Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
10-03-2017 CC HA Agenda Packet (2)
AGENDA OF A REGULAR MEETING - NATIONAL CITY CITY COUNCIL/ COMMUNITY DEVELOPMENT COMMISSION - HOUSING AUTHORITY OF THE CITY OF NATIONAL CITY CALIFORNIA NATIONAL CITY VRINCORPORATED RON MORRISON Mayor ALBERT MENDIVIL Vice Mayor JERRY CANO Council»iember MONA RIOS Councilniember ALEJANDRA SOTELO-SOLIS Councilnaeniber 1243 National City Blvd. National City 619-336-4240 Meeting agendas and minutes available on web WWW.NATIONALCITYCA. GOV COUNCIL CHAMBERS CIVIC CENTER 1243 NATIONAL CITY BOULEVARD NATIONAL CITY, CALIFORNIA TUESDAY, OCTOBER 3, 2017 - 6:00 PM ORDER OF BUSINESS: Public sessions of all Regular Meetings of the City Council / Community Development Commission - Housing Authority (hereafter referred to as Elected Body) begin at 6:00 p.m. on the first and third Tuesday of each month. Public Hearings begin at 6:00 p.m. unless otherwise noted. Closed Sessions begin at 5:00 p.m. or such other time as noted. If a workshop is scheduled, the subject and time of the workshop will appear on the agenda. The Mayor and Council members also sit as the Chairperson and Members of the Board of the Community Development Commission (CDC). REPORTS: All open session agenda items and reports as well as all documents and writings distributed to the Elected Body less than 72 hours prior to the meeting, are available for review at the entry to the Council Chambers. Regular Meetings of the Elected Body are webcast and archived on the City's website www.nationalcityca.gov. PUBLIC COMMENTS: Prior to the Business portion of the agenda, the Elected Body will receive public comments regarding any matters within the jurisdiction of the City and/or the Community Development Commission. Members of the public may also address any item on the agenda at the time the item is considered by the Elected Body. Persons who wish to address the Elected Body are requested to fill out a "Request to Speak" form available at the entrance to the City Council Chambers, and turn in the completed form to the City Clerk. The Mayor or Chairperson will separately call for testimony of those persons who have turned in a "Request to Speak" form. If you wish to speak, please step to the podium at the appropriate time and state your name and address (optional) for the record. The time limit established for public testimony is three minutes per speaker unless a different time limit is announced. Speakers are encouraged to be brief. The Mayor or Chairperson may limit the length of comments due to the number of persons wishing to speak or if comments become repetitious or irrelevant. WRITTEN AGENDA: With limited exceptions, the Elected Body may take action only upon items appearing on the written agenda. Items not appearing on the agenda must be brought back on a subsequent agenda unless they are of a demonstrated emergency or urgent nature, and the need to take action on such items arose after the agenda was posted. CONSENT CALENDAR: Consent calendar items involve matters which are of a routine or noncontroversial nature. All consent items are adopted by approval of a single motion by the City Council. Prior to such approval, any item may be removed from the consent portion of 1 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 2 the agenda and separately considered upon request of a Councilmember, a staff member, or a member of the public. Upon request, this agenda can be made available in appropriate alternative formats to persons with a disability in compliance with the Americans with Disabilities Act. Please contact the City Clerk's Office at (619) 336-4228 to request a disability -related modification or accommodation. Notification 24-hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. Spanish audio interpretation is provided during Elected Body Meetings. Audio headphones are available in the lobby at the beginning of the meeting. Audio interpretacion en espanol se proporciona durante sesiones del Consejo Municipal. Los audiofonos estan disponibles en el pasillo al principio de la junta. Spanish to English interpretation services are available to members of the public who wish to speak to the City Council during the meeting. "Request to Speak" forms requesting interpretation must be filed within the first two hours of the meeting. Espanol a los servicios de interpretacion Ingles de audio esta disponibles para los miembros del publico que desean hablar con el Ayuntamiento durante del Consejo Municipal. "Solicitud para hablar de" formas solicitud de interpretacion deben ser presentadas dentro de las dos primeras horas del Consejo Municipal. COUNCIL REQUESTS THAT ALL CELL PHONES AND PAGERS BE TURNED OFF DURING CITY COUNCIL MEETINGS. 2 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 3 OPEN TO THE PUBLIC A. CITY COUNCIL CALL TO ORDER ROLL CALL PLEDGE OF ALLEGIANCE TO THE FLAG PUBLIC COMMENTS (THREE -MINUTE TIME LIMIT) PROCLAMATIONS AWARDS AND RECOGNITIONS PRESENTATIONS 1. Presentation from the appointed Proposition "D" Independent Evaluation Committee regarding the City of National City District Transactions and Use Tax. (Finance) **Companion Item #24** 2. Presentation on Project Labor Agreements and Affordable Housing Policy and Financing by LeSar Development Consultants. (Housing & Economic Development) 3. Presentation on Sewer Rate Study and proposed rate increases. (Engineering/Public Works) **Companion Item #25** 4. Update on Paradise Creek Educational Park (Jim Neri, Neri Landscape Architecture). (Engineering/Public Works) INTERVIEWS / APPOINTMENTS 5. Interviews and Appointments - Current Vacancies & Expired Terms / Veterans and Military Families Advisory Committee. (City Clerk) CONSENT CALENDAR 6. Motion of the City Council of the City of National City approving the waiving of the reading of the text of the Ordinances considered at this meeting and providing that such Ordinances shall be introduced and/or adopted after a reading of the title only. (City Clerk) 7. Resolution of the City Council of the City of National City authorizing the Mayor to execute the Third Amendment to the Lease by and between the 3 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 4 City and the Boys and Girls Club of Greater San Diego, Inc., consenting to a sublease between the Boys and Girls Club and Integrity Charter School for the city -owned land and building located at 1430 "D" Avenue in National City. (Housing & Economic Development) 8. Resolution of the City Council of the City of National City authorizing the establishment of an Engineering Department Grants Fund appropriation of $365,000 in Disadvantaged Community (DAC) Planning Grant funds through the Proposition 1 DAC Involvement Grant Program for the Paradise Valley Creek Water Quality and Community Enhancement Project and establishment of a corresponding revenue budget. (Engineering/Public Works) 9. Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the National Joint Powers Alliance (NJPA) Contract #081716-KTC with Kenworth Truck Company through Inland Kenworth (US) Inc. (authorized dealer) to award the purchase of one (1) T400 Series Conventional 10 yard dump truck to Inland Kenworth (US) Inc., in an amount not to exceed $149,951.88. (Engineering/Public Works) 10. Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the National Joint Powers Alliance (NJPA) Contract #113012-HDI with H.D. Industries, Inc. (manufacturer) through the Haaker Equipment Company (distributor) to award the purchase of one (1) H.D. Industries Pro -Patch TCM-425-80 DHE mounted on a 2018 Ford F-750 chassis to Haaker Equipment Company for pothole repairs, in an amount not to exceed $180,109.58. (Engineering/Public Works) 11. Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the City of Modesto Purchase Order (Contract) No. 112254 with Municipal Maintenance Equipment, Inc. to award the purchase of one (1) RAVO 5 iSeries Sweeper to Municipal Maintenance Equipment, Inc. in an amount not to exceed $253,574.18, consistent with City of Modesto Request for Bid and Specifications No. 1617-12. (Engineering/Public Works) 12. Resolution of the City Council of the City of National City waiving the formal bid process pursuant to National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City to utilize San Diego County's Contract No. 553982 to award the purchase of three P25 MCC7500 consoles for the National City Police Dispatch 4 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 5 Center, from Motorola Solutions, Inc. in an amount not to exceed $227,689, using FY16 Urban Area Security Initiative (UASI) Grant Funds. (Fire) 13. Resolution of the City Council of the City of National City, 1) authorizing the acceptance of the County of San Diego's Community Enhancement Program grant funds of $10,000 for the special event "A Kimball Holiday", with no matching funds required; 2) authorizing the City Manager to execute an agreement between the City of National City and the County of San Diego to receive FY18 Community Enhancement Program grant funds; 3) and authorizing the establishment of a Reimbursable Grants Citywide Fund appropriation of $10,000 and corresponding revenue budget. (Community Services) 14. Temporary Use Permit — Harvest Fest hosted by Cornerstone Church of San Diego at 1914 Sweetwater Road on October 31, 2017 from 6 p.m. to 9 p.m. with no waiver of fees. (Neighborhood Services) 15. Investment transactions for the month ended July 31, 2017. (Finance) 16. Warrant Register #7 for the period of 08/09/17 through 08/15/17 in the amount of $1,803,390.22. (Finance) 17. Warrant Register #8 for the period of 08/16/17 through 08/22/17 in the amount of $987,526.96. (Finance) 18. Warrant Register #9 for the period of 08/23/17 through 08/29/17 in the amount of $1,808,798.21. (Finance) PUBLIC HEARINGS: ORDINANCES AND RESOLUTIONS 19. Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Section 18.21.040 pertaining to the maximum area and number of accessory structures. (Applicant: Fred Puhn) (Case File 2017-21 A) (Planning) 20. Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Title 6 Section 6.04 of the National City Municipal Code regarding business tax rates to comply with current law, including 1) reverting gross receipts and flat business tax rates to those established by Ordinance No. 1606, enacted in 1977, correcting rate calculations where necessary; 2) repealing the Marginal Tax Rate Table; 3) repealing Appendix D to Ordinance No. 1606; and 4) refunding business taxes and associated applicable fees overpaid within the twelve months prior to the effective date of this Ordinance. (Finance) NON CONSENT RESOLUTIONS 5 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 6 21. Resolution of the City Council of the City of National City, 1) amending the Fiscal Year 2018 Capital Improvement Program Budget to include a list of projects proposed to receive funding from the Road Maintenance and Rehabilitation Account (RMRA) as required by Senate Bill 1, the Road Repair and Accountability Act of 2017; 2) adjusting budget appropriations for Fiscal Year 2018 Traffic Monitoring / Safety Enhancements project by releasing $300,000 in Gas Tax Fund appropriations; 3) adjusting budget appropriations for Fiscal Year 2018 Safe Routes to School Pedestrian and Bicycle Safety Enhancements project to appropriate $343,345 in RMRA funds through the Gas Tax Fund for construction; and 4) reducing corresponding Gas Tax Fund revenue budget for receipt of RMRA funds from $350,432 to $343,345 for Fiscal Year 2018 based on the latest revenue projections for National City from the State Department of Finance. (Engineering/Public Works) NEW BUSINESS 22. Temporary Use Permit Wavetec requesting to use the lot located at 1918 Cleveland Avenue to repair a 43 ft. sailboat from October 3, 2017 thru December 31, 2017 with no waiver of fees. (Neighborhood Services) 23. Temporary Use Permit — 1st Annual Bayside Brew and Spirits Festival sponsored by the National City Chamber of Commerce at Pepper Park on October 21, 2017. (Neighborhood Services) 24. Report to the City Council of the City of National City from the appointed Proposition D Independent Evaluation Committee containing a recommendation regarding the City of National City District Transactions and Use Tax, pursuant to the provisions of Section 4.160.180 of the City of National City Municipal Code. (Finance) **Companion Item #1' 25. Report on Sewer Rate Study and proposed rate increases. (Engineering/Public Works) **Companion Item #3** 26. Discussion of the proposed termination of the federal Deferred Action for Childhood Arrivals (DACA) program, including consideration of a Resolution in support of the program. (City Manager) 27. City Council discussion and direction on Assembly Bill 485 Pet Store Operators: Dogs, Cats and Rabbits (O'Donnell and Dababneh), including consideration of a letter of support modeled after the letter of support provided by the Office of Assembly Member O'Donnell. (City Manager) B. COMMUNITY DEVELOPMENT COMMISSION - HOUSING AUTHORITY CONSENT RESOLUTIONS - HOUSING AUTHORITY 6 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 7 28. Resolution of the Community Development Commission -Housing Authority of the City of National City authorizing the Executive Director to execute an Acknowledgment and Agreement to the Letter of Consent from Copper Hills Limited Partnership dated September 18, 2017, approving the transfer in interest of Centerline California Corporate Partners IV, L.P., and Related California Corporate IV SLP, L.P. as Limited Partners to National Community Renaissance of California, a California non-profit corporation, or an affiliate of the General Partner, to enable the refinancing and rehabilitation of Vista del Sol Apartments located at 1545 Q Avenue in National City. (Housing and Economic Development) PUBLIC HEARINGS: RESOLUTIONS - HOUSING AUTHORITY NON CONSENT RESOLUTIONS - HOUSING AUTHORITY NEW BUSINESS - HOUSING AUTHORITY C. REPORTS STAFF REPORTS MAYOR AND CITY COUNCIL CLOSED SESSION REPORT ADJOURNMENT Regular Meeting of the City Council and Community Development Commission - Housing Authority of the City of National City - Tuesday - October 17, 2017 - 6:00 p.m. - Council Chambers - National City, California. 7 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 8 The following page(s) contain the backup material for Agenda Item: Presentation from the appointed Proposition "D" Independent Evaluation Committee regarding the City of National City District Transactions and Use Tax. (Finance) **Companion Item #24** 8 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO.: ITEM TITLE: Presentation from the appointed Proposition "D" Independent Evaluation Committee regarding the City of National City District Transactions and Use Tax. PREPARED BY: Mark Roberts, Director of Finance PHONE: 619-336-4330 EXPLANATION: DEPARTMENT: Finance�/ APPROVED BY: 7' - 4 FINANCIAL STATEMENT: ACCOUNT NO. NA APPROVED: 1-7Ze. FINANCE APPROVED: MIS ENVIRONMENTAL REVIEW: This is not a project and, therefore, not subject to environmental review. ORDINANCE: INTRODUCTION FINAL ADOPTION STAFF RECOMMENDATION: BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: Proposition "D" Independent Evaluation Committee's "Report and Recommendations on Proposition D"' 9 of 525 CALIFORNIA AT1 0 NAL citify acAv _! IlV�R 011, AT To: City Council of the City of National City From: Proposition "D" Independent Evaluation Committee Date: October 3, 2017 Re: Report and Recommendations on Proposition "D" Facts & Background 2006 — Proposition "D" Tax Measure passed by voters On June 6, 2006, National City voters passed Proposition "D," a one percent transactions & use tax ("transactions & use tax") measure that imposed a transactions tax for up to ten years to fund City services, facilities, and programs. Proposition "D" requires that "every five years, the Mayor, with approval of the City Council, shall appoint an independent committee comprised of three experts in financial matters, who will report their(sic) recommendations to the Mayor and City Council as to whether the transaction and use tax should remain in effect at the rate of one percent, or whether the City Council should reduce the rate of tax or terminate the imposition of the tax." 2011 — Recommendation of the Proposition "D" Independent Evaluation Committee In 2011, the first Proposition "D" Independent Evaluation Committee ("Committee") was formed and asked to evaluate and offer a recommendation to the Mayor and City Council pursuant to the covenants of the tax measure. Based on the economic environment at the time and revenue and expenditure projections, the Committee recommended that the transactions & use tax be continued at the current rate. 2014 — Continuation of the Proposition "D" Tax passed by voters In 2014, with the expiration of the original transactions & use tax on the horizon and the impacts of economic events outside the control of the City, including the global recession and financial crisis, the dissolution of Redevelopment, and the continued take-aways by the State of California further straining the City's already tight budget, the City Council approved to place the Continuation of City Services Funding Measure on the November 2014 ballot. Voters approved this measure on November 4, 2014. The Continuation Measure kept intact the provision that an independent committee be appointed to make recommendations about the tax rate. 10 of 525 2016 — The 2016 Proposition "D" Independent Evaluation Committee The 2016 Proposition "D" Independent Evaluation Committee began its work on January 25, 2017. At its initial meeting, the Committee received a presentation from City Manager Leslie Deese. Ms. Deese reviewed the financial strategies the City has implemented in order to overcome the structural deficit faced by the City during the previous five years. Ms. Deese also discussed the impact on the City's ability to provide services should the tax measure be discontinued. Over the next several months, the Committee received presentations from City staff covering various topics including: • revenue and expenditure trends and five year forecast; • productivity and workload statistics; • ten-year history of budgeted positions for the General Fund and all City funds, including FTEs per 1,000 population; • City Council Reserve Policy and reserve amounts and history for General Fund and all City funds; • overview of City's pension plan, including benefit formulas, Employer Paid Member Contribution (EPMC) amounts, demographics of miscellaneous and safety plans, and options for paying down the City's unfunded liability; • asset management overview of the current Capital Improvement Program, including infrastructure, facilities, and vehicle fleet; • economic development presentation of the City's developing vision for the future of its downtown, waterfront, and residential areas and the balance between growth and expanding need for City services; • financial five-year outlook with and without transactions & use tax revenues, including potential impacts on operating budgets, staffing reductions, and reserve balances; and • presentation by Mayor Ron Morrison on his vision for National City's future, including diversifying revenue sources while building up the local business base. Financial Background and Analysis Based on information found in the City's financial reports and provided to the Committee by City staff, transactions & use tax revenues have helped provide the City's General Fund with a surplus in each of the fiscal years from 2013 through 2016. Beginning in fiscal year 2017 and for the foreseeable future, budgeted expenditures are expected to exceed revenues, creating a budget deficit each National City Revenues/Transfers In and Expendltures/Transfers Out Excludes One-time Revenues 2013 (actual) through 2022 (projected) I 1111 ltI).&9 2I W.d _.. at1,.*j IOM.M�.I bM7b. S MUWei ln4p*dS bolonkes 2OQtp.ke.0 lttl p*.tS 11 of 525 fiscal year. Revenues received from the transactions & use tax help mitigate the budget deficit, but do not fix it. National City has also worked hard to contain salary and benefit costs by freezing vacant positions and eliminating positions beginning in fiscal year 2012. In addition, National City implemented pension reform measures to help offset rising costs. These measures included fully eliminating Employer Paid Member Contributions, negotiating lower retirement formula tiers for some employees, National City Full -Time Equivalent Budgeted positions Fiscal Year 2008 through 2022 (projected) 2S0 ■11111 I■1■■■ 111111 111 2008 2039 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 ■General Fond ■All Other Funds and implementing the State -mandated pension reform measures in 2013. Despite these measures, pension costs continue to escalate and are expected to be a major factor in the future increasing costs. Forward -looking Components and the Challenges the Committee Had with Them Looking Ahead — National City Plans and Challenges As the oversight committee's charter is to recommend prospectively whether the transactions & use tax should continue at the same rate, a lower rate, or not at all, the Committee requested presentations on National City's plans for the future and discussions on what challenges National City may face. While certainly a contribution to trend analysis, past performance alone by the City with transactions & use tax funds only looks backwards, and the Committee felt strongly the need to look forward. The Committee received the following future -looking presentations, and the Committee concluded that National City lacks a cohesive vision and strategy for its future. The lack of a strategy makes impossible the creation of a holistic plan to get beyond the structural deficit in the National City budget that the transactions & use tax was intended to address. Presentation by Mayor Ron Morrison Mayor Morrison presented a compelling and thoughtful perspective on National City's future, but he immediately caveated that he spoke only for himself and not the City Council as a whole. Regardless of the substance of his vision and however compelling it may have been, the Committee notes that it is important for elected leadership —not just the Mayor, but the entire Council —to curate a conversation with National City residents to determine what the City wants to become and what it would take to create that vision. The Committee does not dispute that this would be a challenging endeavor, but it is the very type of adaptive problem, as defined by Harvard's Ron Heifetz and Marty Linsky, that demands leadership. 3 12 of 525 Presentation by the Economic Development Department The Housing & Economic Development Department presented plans on the future of National City's downtown and an exciting video that visualizes what the community could look like. Again, however, the Committee notes that the plan is an isolated plan, not placed within the context of a larger vision or strategy. The Committee could not conclude whether this plan aligned with the earlier Downtown Specific Plan, referenced by Mayor Morrison in his presentation, and the Committee also notes that even if fully realized, the impact to property tax and sales tax revenue would fall markedly short in closing the structural deficit faced by National City. Presentation on Coordination with the Port of San Diego City staff presented the latest activity related to the tidelands within National City's boundaries that are managed by the Port of San Diego, and the Committee notes that the City staff's goals, even if achieved, would be only minimal and very incremental in addressing the structural deficit. Recommendation to Continue the City of National City's District Transactions & Use Tax at the Current Rate of One Percent, with Dissenting Opinion Why the Committee Voted for Continuance The Committee carefully evaluated National City's financial situation and looked at both the costs associated with running the City and the revenues available for the City from all sources, including the transactions & use tax, to provide those services. The fundamental cause of the General Fund deficit stems from three factors: increased costs to provide basic services paid for through the General Fund, anemic to no growth in real dollar terms in sales tax revenue since the Great Recession, and reductions in revenue from the State of California. When a city's general fund is out of balance, only three choices exist: 1) revenues can be increased; 2) expenditures can be reduced; or 3) a combination of the two. National City has focused on, and continues to manage, expenditures. Revenue enhancement is extremely difficult, and there is no plan in place that would significantly increase revenues in the near term, or even in the foreseeable future. Revenue growth resulting from improved economic conditions occurs slowly and will not supplant the need for the transactions & use tax, and the economic development programs presented to the Independent Evaluation Committee have not convinced the Committee that any real revenue enhancements will occur from the plan as outlined. Despite the rising costs to provide services, and less -than -needed increases in revenues, the Committee found that the City staff have fulfilled their duty of being good stewards of the public's funds, that monies available to the City are spent on necessary support services and for 4 13 of 525 the public good, and that costs are minimized and vacant positions are not filled to contain spending. Even with these fiscally conservative efforts, the Committee found that eliminating the transactions & use tax at this time would be detrimental to the financial health of the City and negatively impact the residents and businesses residing in National City. It is for these reasons, it is the recommendation of the Proposition "D" Independent Evaluation Committee that the Mayor and City Council keep the transactions & use tax in effect at the full rate of one percent. Dissenting Opinion (Committee Member Hong) The Committee's vote to recommend the maintenance of the transactions & use tax at the same rate of 1% was not unanimous with the following reasoning for the dissenting opinion. The recommendation is that —until the elected leadership of National City develop and lead with a cohesive strategy for National City's future —the citizens of National City should not have to pay this additional tax. This opinion notes that National City is, relative to other cities in the region, low income, and there is a fear that the continuance of the transactions & use tax without a meaningful plan to correct the structural deficit merely perpetuates the challenges faced by the City and prolongs the likely life of the transactions & use tax. The City staff are not equipped by the City's elected leadership to make progress against a meaningful plan to correct the structural deficit that the transactions & use tax is intended to correct. As a matter of public administration, the absence of performative goals is quite alarming. But to be clear, this is a leadership challenge and not a staff failure. The staff report to legitimately elected officials who are responsible for laying out the goals against which staff need to perform. As noted in the section on looking ahead, developing goals as a body of elected officials is certainly challenging, but that is a duty squarely in the realm of elective leadership. It is a matter of record that City staff have engaged in numerous activities to cut costs and improve efficiencies in the operations of National City. Indeed, this was reflected in the presentations, as well as the report of the predecessor oversight committee. This opinion does not dispute this finding and assesses that City staff continue these efforts to operate efficiently. Cost cutting alone, however, is far from sufficient in addressing the structural deficit faced by National City, and the plans for the future are too piecemeal and —even if realized perfectly — wholly inadequate in addressing the structural deficit. For example, the presenters lauded the establishment of an In-n-Out restaurant immediately adjacent the I-5 freeway and described the additional sales tax revenue, as a result. Notably, however, there is insufficient zoned land to replicate such successful establishments to create scale or substantive impact against the structural deficit. This is not to say that the author of this dissenting opinion would naively believe a single type of economic activity should address the structural deficit, but, rather, that activity should all be placed in the context of performative goals and an overarching strategy. Because of the constraints faced by the City, elected leadership have a responsibility to engage constituents to make value judgments and hard calls. There are too many mutually exclusive and zero -sum decision points that need to be made to address the structural deficit. 14 of 525 Essentially, the elected leadership of National City must choose one of two pathways: either engage the constituency and make the necessary —and hard —choices needed to generate sustainable revenue to eliminate the transactions & use tax or tell constituents that the transactions & use tax will continue in perpetuity because the hard choices cannot be made. Additional Recommendations • The Committee unanimously concurs with the recommendation of the dissenting member that the elected leadership of the City must choose one of two pathways: either engage the constituency and make the necessary —and hard —choices needed to generate sustainable revenue to eliminate the transactions & use tax or tell constituents that the structural deficit may continue, potentially necessitating a continuance of the transactions & use tax beyond its planned sunset. o To assist the elected leadership in understanding what potential choices may need to be made, several economic scenarios could be developed to determine possible revenue outcomes. For instance, a best -case economic scenario would inform a public dialogue on what would need to be achieved in order to close the structural deficit. • The structure of the next Proposition "D" Independent Evaluation Committee should consist, at least, of five members in order to facilitate offline working groups and more robust dialogue without violating the Brown Act. The Committee further recommends that the next committee have participation from at least one resident of National City and a representative from the business community of National City. • The presentations provided to the next committee should be ordered such that the financial performance presentations are placed in the context of vision and strategy for the City. More specifically, the future Committee's work would be enhanced if the order of presentations goes as such: o vision and strategy by the Mayor and City Council; o the long-term economic strategy intended to achieve said vision; o the financial projections needed to achieve that long-term economic strategy; and o the historic financial performance of the City. • With respect to the long-term economic strategy above, the next Committee should note the following: o whether it is consistent with the adopted General Plan; o whether it adequately projects five, ten, and fifteen years out; o whether it resolves the structural deficit that the temporary nature of the transactions & use tax was intended to resolve. • The next committee should be convened as soon as possible after the cohesive development of vision and strategy with associated long-term economic strategy and financial projections and, preferably, sooner than the five-year point, to make a prospective recommendation for the transactions & use tax. This committee's recommendation to continue the one percent rate was predicated on historic performance, but there is no empirical evidence to suggest that the structural gap is closing. 15 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 16 The following page(s) contain the backup material for Agenda Item: Presentation on Project Labor Agreements and Affordable Housing Policy and Financing by LeSar Development Consultants. (Housing & Economic Development) 16 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM Na 2 ITEM TITLE: Presentation on Project Labor Agreements and Affordable Housing Policy and Financing by LeSar Development Consultants_ PREPARED BY: DEPARTMENT: Housing & Economic Carlos Aguirre, Housing and Economic Dev. Mgr. Devrpme PHONE: 619-336-4391 EXPLANATION: APPROVED BY: LeSar Development Consultants (LDC) was requested by the City of National City to provide a "neutral" (non -advocatory) overview of Project Labor Agreements (PLAs). The first briefing memo attached examines the legal definition of PLAs and the intended outcomes and impacts of these agreements. LDC will also provide summary information addressing financing mechanisms for affordable housing and related infrastructure with emphasis on the legislation recently approved by the State of California to promote development of affordable housing. The second briefing memo attached provides a summary of legislation that affects local policy formation enabling streamlined permitting and funding sources that will become available in 2018. Additionally, LDC has provided a memorandum with information on affordable housing trends and a glossary of housing terms for reference. FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Accept and file the report. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: 1, Project Labor Agreements Memorandum 2. Affordable Housing Financing Memorandum 3. Power Point Presentation 4. Affordable Housing Trends Memorandum 5, Housing Terms Glossary 17 of 525 Attachment No. 1 To: From: Date: Re: LESAR DEVELOPMENT CONSULTANTS Memo - Project Labor Agreements Carlos Aguirre, Housing and Economic Development Manager, City of National City Brad Raulston, Deputy City Manager, City of National City Alfredo Ybarra, Director Housing & Economic Development, City of National City Artemis Spyridonidis, Senior Associate, LDC Sharon Hudnall, Senior Associate, LDC September 12, 2017 Task 1: Project Labor Agreements I. Introduction LeSar Development Consultants (LDC) was requested by the City of National City to provide a "neutral" (non -advocatory) overview of Project Labor Agreements (PLAs) that would address these points: "What are PLAs? What are they designed to achieve? What are the pros and cons? At what point do PLAs make financial sense, and when do they not? Are there other ways to achieve the desired impacts, such as local preference, or prevailing wage?" This briefing memo examines the legal definition of PLAs and the intended outcomes and impacts of these agreements. Cornell University's PLA evaluation tool, entitled "Test for Determining the Financial Feasibility," is also included. In addition, this Memo summarizes the standard arguments for and against PLAs posed by labor groups and the building industry. Finally, practices such as Local Preference, Targeted Hiring, and requiring prevailing wage rates are examined as potential alternative to PLAs that might accomplish many of the same objectives. II. What are Project Labor Agreements? A Project Labor Agreement (PLA) is a pre -hire contract negotiated between the project manager, contractors, and unions that establishes the terms and conditions of employment for a specific construction project. Through negotiations, construction unions determine the wage rates and benefits of all employees working on the project. These terms apply to all contractors and subcontractors who successfully bid on the project. PLAs typically require contractors to hire workers through union halls, and non -union workers must pay union dues for the length of the project. In addition, contractors must follow union rules on pensions, work conditions, and dispute 18 of 525 Attachment No. 1 resolution. In exchange, unions give up their right to strike and to undertake other job actions that could potentially cause delays and cost overruns. PLAs may be used on both public and private projects, and even apply to all agency -wide or citywide construction projects. A PLA can be created for a single project or multiple projects. As a policy, cities may adopt a Master Project Labor Agreement, which typically includes local and/or targeted hiring provisions, is negotiated once, and applies to all projects under the purview of the municipal agency. One example of a Master PLA is the departmental PLA entered into by the City of Los Angeles Department of Public Works, which covers all construction contracts awarded by the agency's Board, and includes targeted hiring provisions for local disadvantaged residents and apprentices. A local example of a regional PLA-type contract is the "Project Stabilization Agreement" (PSA) between San Diego Unified School District, San Diego Building and Construction Trades Council, and Southwest Regional Council of Carpenters (2009). Developed for major school construction and upgrade work covered by bonds (Propositions 5 and Z), the PSA governs a project if it is equal to or exceeding $1 million in value, based on the "construction cost estimate prior to the submittal of the individual project estimate to the state." The PSA sets basic standards for contractor hiring, dispute resolution, payment of fringe benefits, and utilization of apprentices.' III. Intended Outcomes of PLAs PLAs are designed to ensure that projects are: (1) completed on time; (2) completed on budget; and, (3) completed without any labor disputes (e.g. strikes or slowdowns) during the time period of construction. Federal Legislation Executive Order 135oz, enacted by the Obama Administration (Feb. 2009), states that PLAs are intended to prevent special challenges to government -funded projects over $25 million. The "special challenges" they seek to prevent are referred to in the Executive Order are as follows: • Labor disputes that delay completion dates; • Difficulties asserted by contractors in predicting labor costs and/or interruptions in labor supply; • Lack of coordination among employers; • Uncertainty about the terms and conditions of employment of various groups of workers; and, • Frictions or disputes regarding coordination among contractors and/or terms and conditions of employment, resulting from the absence of an agreed upon resolution mechanism. In sum, a PLA is intended to ensure that in a complex project involving multiple contractors and multiple crafts, everybody works together, points of conflict are minimized, and things get done in an orderly fashion so that schedules can be maintained, and a good quality project completed on time.2 ' San Diego Unified School District, Project Stabilization Agreement. https://www.sandiegounified.org/project- stabilization-agreement-psa 2 Ralph Scharnau and Michael F. Sheehan. Project Labor Agreements in Iowa: An Important Tool for Managing Complex Public Construction Projects. (October 2004) http://www.iowapolicyproject.org/zooz- zoo4docs/o4lzot-PLAs-xs.pdf) 19 of 525 Attachment No. 1 IV. Desired Impacts of PLAs The desired impacts of government PLAs are formed at the outset of a project in order to: guarantee efficient, timely and quality work; establish fair and consistent labor standards and work rules; supply skilled labor and an experienced and highly competent work force; establish set labor -related costs over the project's life; establish stable labor-management relations through legally binding dispute resolution mechanisms; and, provide protection from strikes, lockouts and other similar disruptions. V. When DO PLAs Make Financial Sense? The decision as to whether a PLA makes sense is most often made on a case -by -case basis. PLAs are more likely found appropriate —and experience has demonstrated great value —for larger, more complicated projects that last more than a few months and that often present unique scheduling issues. Large-scale, multi -phase projects often have a Master PLA. However, agency -wide or city- wide "standing" PLAs for all public works projects can create a scenario for inappropriately applying the complex PLA framework to smaller or simpler crafts or trade projects. a. Test for Determining Financial Feasibility The following guidelines, developed at Cornell University,3 provide a checklist for agency and board decision -makers' consideration: 1) Base the decision to ratify or authorize the Project Labor Agreement on a review of the project manager or a consultant's report and recommendation. 2) The project manager /consultant's report should analyze the particular cost savings and other benefits which a project labor agreement would provide. 3) Among factors to be considered are: o Labor cost savings from coordinating various craft schedules and other terms / conditions via a uniform agreement instead of various local union agreements. o Potential cost savings and flexibility due to alternative dispute resolution procedures in response to job site problems, jurisdictional disputes and workers compensation claims. o Potential benefits (time and money saved, public convenience) of ensuring labor harmony for the duration of the project. o Whether a PLA would provide more immediate and efficient access to a pool of skilled journey level workers and apprentices. 4) Consider local labor market conditions: Is there a documented skilled labor shortage in the area? Is there likely to be one during the length of the project? Will other projects be competing for the same labor pool? 4 (The competition for skilled construction and trades workers is currently 3 Kotler, "Project Labor Agreements in New York State: In the Public Interest." P. 11. 4 According to Freddie Mac, the construction industry is struggling with a shortage of skilled labor. The number of open construction jobs has risen steadily since the recession to 154,000 in May zo17. The increase in unfilled job openings is due to the industry's challenge in attracting Millennials and the increased enforcement of immigration laws. (Kelsey Ramirez, "Freddie Mac: Construction employers struggle to attract Millennials; 3 20 of 525 Attachment No. 1 intense. The labor shortage in this sector is attributed to a large percentage of older workers retiring, lack of training programs, and a step up in immigration enforcement. According to the California Employment Development Department, in San Diego County, 67,20o people were employed in the construction industry in June 2015. The EDD projects total construction industry employment will reach 71,9oo jobs in San Diego County by 2022. 5) Would a PLA provide an opportunity for apprentice recruitment and training? o Consider the likelihood that the skill level will translate into safer job performance with reduction in costs due to lower injury rates. 6) How would a PLA contribute to an on -time and on -budget completion of the project? o Is the project of such complexity that a delay in one area will significantly delay the entire project? Does this project have serious time constraints? o Would delay seriously inconvenience the entity, its clients, or the general public? (For example, could project interruptions delay the opening of a school, or cause transportation congestion, or interfere with revenue flow, as with non -collection of bridge tolls?) 7) The language of the PLA should ensure that hiring is done in a nondiscriminatory manner, that contractors are permitted to retain a certain percentage of "core" employees, and that all successful bidders must become signatories to the PLA. In particular, it is important to take these steps: o Direct that a PLA be concluded prior to the opening of bids and include the complete agreement in the bid package. o Conduct bidding pursuant to a PLA in a nondiscriminatory manner, open to union and nonunion contractors. b. Cost Thresholds, Generally The widespread voluntary use of PLAs on private -sector projects demonstrates their benefits and usefulness as an engineering management tool. Because the owners of private projects are profit - driven, the widespread use of PLAs on these projects over long time spans is a good indication that PLAs, especially on large, and/or complex projects, most often produce noticeable positive net benefits.5 Although PLAs may be used for a range of construction projects, regardless of size, the trend historically in California has been to primarily apply them to large multi -phase or complex infrastructure projects costing millions to billions of dollars. Recent examples of such projects locally, concerning PLAs in place with the San Diego County Building and Construction Trades Council, AFL- CIO (an association comprised of 22 member unions), are: o Petco Park: PLA ($456.8 million public -private project) increased immigration enforcement drives away laborers." Housingwire. (July 31, 2o17) https://www.housingwire.comfarticles/4o836-freddie-mac-construction-employers-struggle-to-attract- millennials. 5 Project Labor Agreements in Iowa: An Important Tool for Managing Complex Public Construction Projects. Ralph Scharnau & Michael F. Sheehan. October 2004. http://www.iowapolicyproject.org/zoo2- zoo4docs/o41zo1-PLAs-xs.pdf 21 of 525 Attachment No. 1 o San Diego Unified School District: Project Stabilization Agreement under Propositions S and Z, with a $2.1 billion bond to renovate schools o San Diego Emergency Water Storage Project: PLA - $1.2 billion project However, since 1999, PLAs have become prevalent at large and small local governments in California's major metropolitan areas. They are being applied to projects of all sizes, ranging from large infrastructure projects down to contracts for bathroom renovations as low as $20,000.6 Cases of downward -spiraling cost thresholds for PLAs in California are most often found in school districts with Master PLAs relating to bond funding or municipalities with department -wide PLAs. For example: o Los Angeles Unified School District: Proposition BB Contracts - $175,000 for prime multi -trade construction contracts; $20,000 for prime specialty contracts. o Orange County Construction Program Stabilization Agreement (2000 - 2004): $225,000 or more for general contracts, $15,000 or more for specialty contracts county -wide. Another example in Orange County is the Rancho Santiago Community College District Project Stabilization Agreement (2003), developed for capital improvement projects under the Measure E bond, which applies to contracts $200,000 and above. o Santa Ana Unified School District: Measure C Contracts - $225,000 or more for general contracts, $15,000 or more for specialty contracts, and $5,000 for single -trade contracts. In contrast, in New York State, the Wicks Reform Act of 2008 waived earlier procurement requirements mandating separate specifications and bidding for sub -projects such as plumbing, heating, and electrical work on public works projects. While encouraging PLA use, the new law exempts more than 7o percent of public works projects from Wicks rules by raising project thresholds from $50,000 to $3 million —a 6o-fold jump for New York City, to $1.5 million for downstate suburbs, and up to $5oo,000 for upstate projects. These changes were intended as cost - saving measures. (The New York State Division of Budget predicted that the legislation would save New York City $200 million in long term capital construction costs for FY 2009, along with annual debt service savings of $14 million by FY 2012.) The reforms also represented a further policy endorsement of PLA use.7 VI. Arguments Favoring and Opposing PLAs a. Arguments in Favor of PLAs Proponents of PLAs argue that they make sense for public works projects because these collective bargaining agreements do the following: • Promote a planned approach to labor relations. • Allow contractors to more accurately predict labor costs and schedule production timetables. • Reduce the risks of shoddy work and costly disruptions. 6 Kevin Dayton. From Peace to Absurdity - The Emergence of Cost Thresholds and Multi -Project Coverage for Project Labor Agreements in California: Shifting the Purpose from Labor Peace to Cutting Competition. (February 4, 2o13) http://laborissuessolutions.com/tagfcost-thresholds-for-project-labor-agreements/ Kotler, "Project Labor Agreements in New York State: In the Public Interest." P. 15. 22 of 525 Attachment No. 1 • Encourage greater efficiency and productivity. A report published by the Economic Policy Institute' found that : "If designed properly, PLAs can help projects meet deadlines by guaranteeing a steady supply of highly skilled labor through the building and construction trades unions' nationwide network of referral systems and by reconciling the various work routines of the many trades. PLAs also help to assure timely completion by keeping projects free from disruptions resulting from local labor disputes, grievances, or jurisdictional issues." In countering an anti-PLA study published by the Association of Builders and Contractors, the State Building and Construction Trades Council of California asserts that, by keeping jobs in local communities, PLAs are an effective driver for economic growth. The Council argues that PLAs also provide a concrete mechanism for increasing the number of skilled workers in communities where there is a labor shortage (through apprenticeship programs) and for assuring that taxpayers' investments are leveraged through local hiring agreements and community benefits.9 A PLA standardizes otherwise incompatible work schedules, apprentice -journey level ratios, hours, payment arrangements, and other terms and conditions, providing greater cost efficiencies. According to a study of PLAs in New York State,'° "On a typical construction project operating without the benefit of a PLA, there can be 15 or more different collective bargaining agreements covering work being performed by various crafts." Multiple, separate union contracts lead to inefficiencies that can be reduced by a PLA because "they are negotiated to cover all the crafts on a single project, and the term of the PLA coincides with the duration of the project." In summary, proponents assert that PLAs provide job stability and prevent costly delays by: (1) providing a uniform contract expiration date so that the project is not affected by the expiration of various local union agreements while the PLA is in effect; (2) guaranteeing no -strikes and no - lockouts; (3) providing alternative dispute resolution procedures for a range of issues; (4) assuring that contractors get immediate access to a pool of well -trained and highly -skilled workers through union referral procedures during the hiring phases and throughout the life of the project; and, (5) providing a driver for local economic development, jobs creation and other social benefits. b. Arguments in Opposition to PLAs Generally, challenges to these agreements assert that they: • Interfere with an employee's right to choose to join a union. 8 Matthew M. Bodah and Dale Belman, "Building Better: A Look at Best Practices for the Design of Project Labor Agreements." Economic Policy Institute (August 12, 2o1o). http://www.epi.org/publication/building_better_a_look_at_best_practices_for_the_design_of_project_labor/ 9 State Building and Construction Trades Council of California, News Bulletin. "Labor, Management Inform Local Government Why PLAs Work." (August 8, 2oi1) http://www.sbctc.org/docuserfiles/files/whyplaswork.pdf 7O Fred B. Kotler, "Project Labor Agreements in New York State: In the Public Interest [Electronic version]. (Ithaca, NY: Cornell University, School of Industrial and Labor Relations — Extension Division, Construction Industry Program) (2009), pages 2 & 3. http://digitalcommons.ilr.cornell.edu/reports/22/ 23 of 525 Attachment No. 1 • Drive up construction costs. Specifically, they: (1) drive up the lowest bid for the project by decreasing competition; and, (2) increase the costs by subjecting contractors to union hiring and work rules. • Exclude open -shop (non -union) contractors from bidding on projects by placing restrictions or pre -qualifications on the bidding conditions." These points are discussed below. Interfere with an employee's right to join a union. PLAs generally require contractors bidding on a project to: • Hire employees through union hiring halls. This process sometimes prevents a non- union company from hiring its own employees and forces it to accept the workers the union hiring halls send to them. • Pay workers' health and welfare benefits to union trust funds. Because non- union companies have their own benefit plans, this provision causes these companies to pay benefits twice: once to the union and once to the company plan. • Potentially exclude non -union workers from participating in apprenticeship training programs. • Follow union work rules. • Require their workers to pay union dues and fees in order to work on a PLA project. As a result, non -union contractors are often deterred from bidding on projects covered by PLAs, consequently narrowing the pool of likely bidders and decreasing competition. '2' Increased Costs and Fewer Bidders — Key Studies. According to a Massachusetts study conducted by Beacon Hill Institute, PLAs add 12 percent to the cost of construction; a Connecticut study found that PLAs add 18 percent to the cost of construction.13 A September 2001 study by Ernst & Young,14 commissioned by Erie County, New York, analyzed the impact of PLAs on public construction projects and concluded that the number of bidders was reduced for projects with PLAs, as "the use of PLAs strongly inhibits participation in public bidding by non -union contractors." A PLA report from the Worcester Municipal Research Bureau stated that PLAs reduced the number of bidders on construction projects, and led to lower savings than would be possible where contractors are able to work under their usual arrangements for employees.'5 11 Project Labor Agreements on Federal Projects: A Costly Solution / August 2oo9, pages 18 & 19. '2 A study by the Weber -Merritt Research Firm found that 7o% of contractors would be "less likely" to bid on a federal project if it required a PLA. (Maurice Baskin, Esq. Venable LLP, "Union -only Project Labor Agreements: The Public Record of Poor Performance," 13-16 (2oo5 Edition). http://www.opencontracting.com/studies/pdfs/PublicRecordofPoorPerformancezoo5.pdf (accessed May 28, zoo9). 13 Project Labor Agreements on Federal Projects: A Costly Solution, page 22. 14 Erie County (NY) Courthouse Construction Projects: Project Labor Agreement Study (September zoos), p. 23. 15 PLAs on Public Construction Projects: The Case For and Against (May zoos). 24 of 525 Attachment No. 1 In March 2oo6, the Public Interest Institute released a study concluding that the PLA agreed for the construction of the Iowa Events Center project in downtown Des Moines placed an "unnecessary burden" on local workers, businesses and taxpayers.i6 PLA opponents, such as the Associated Builders and Contractors, argue the Office of Management and Budget reported no instance in which federally funded non-PLA projects worth $25 million or more suffered from cost overruns or delays over the period 2ool-2oo8." In this regard, ABC asserts that a primary objective for forming a PLA (preventing work stoppages and budget overruns) may be achieved through other management tools and strategies. Reduction of Available Labor Pool. Opponents claim that since more than 80 percent of all construction workers in the United States are not members of any union, PLAs give preferential treatment or "set -aside" employment to less than 20 percent of the construction workforce.i8 VII. Alternatives to Achieving the Assumed Benefits of PLAs a. Local Preference The term "local preference" encompasses several ways in which local governments favor local businesses.19 For example, a jurisdiction could issue requests for proposals specifying that qualifying businesses have a local presence. Or, it could allow extra points or higher bid prices for local contractors, a higher bid price for locally produced goods or local suppliers in construction and public works projects, or require vendors to employ local residents.20 The percentage preference given to local businesses ranges from 1 to 5 percent, with 5 percent being the most popular. Some cities set a maximum number of contracts that their preference will apply to, while others set a minimum number. Many cities exclude public works and construction contracts from their preference policies for numerous reasons, including the need to access a larger, regional skilled labor pool, or lack of "reciprocity agreements" in local hiring preferences from neighboring jurisdictions. i6 Wikipedia (https://en.wikipedia.org/wiki/Project_Labor_Agreement 17 Based on FOIA request to OMB by the ABC. (Project Labor Agreements on Federal Projects: A Costly Solution. Pp. 15 -16. i8 In 2o16, union members accounted for 15.9 percent of wage and salary workers in California, unchanged from 2o15, the U.S. Bureau of Labor Statistics reported. https://www.bls.gov/regions/west/news- release/unionmembership_california.htm. The U.S. Labor Department reports that in 2014, 13.9% of construction workers in San Diego County and nationally were members of a labor union and 86.1% of construction workers were not union members. 19 A "local business" can refer either to a business that is owned by local residents, or to the local branch of a multi -state business that has a local business license, pays local taxes, and hires all local residents as its employees. 20 Semoon Chang. Considering Local Business Preference Policies in Bids and Purchases. Government Finance Review (June am). http://www.gfoa.org/sites/default/files/GFR_JUN_12_38.pdf 25 of 525 Attachment No. 1 Case Study: Los Angeles In awarding points to bidders that propose to use local hiring as a competitive strategy, the City of Los Angeles offers a 10 percent scoring advantage to small, local contractors that meet specific criteria. For example, in order to qualify, such businesses must have gross receipts not exceeding $3 million. This local preference applies to contracts up to $100,000 and a PLA applies in hiring. b. Targeted Hire versus Local Hire "Local hire" primarily refers to programs that require direct hiring of residents of specific local areas. "Targeted hire" refers to hiring requirements for target groups, such as minorities, women, or low- income workers. In other words, local hire is tied solely to a specific geographic region, while targeted hire is broader, encompassing different segments of the population across geographic regions. For instance, while a targeted hire initiative might require hiring workers from an economically disadvantaged zip code, a local hire program might require hiring workers who live within five miles of the construction project.21 "Targeted hire initiatives" are mechanisms used by jurisdictions to increase the participation of socially and economically disadvantaged workers and businesses in public construction projects based on work availability. Many public agencies have adopted initiatives containing elements of both, (i.e. local targeted hire), such as the cities of San Francisco or Cleveland, which require hiring local residents while also hiring a percentage of workers who face employment barriers or are low-income. Violation of the Privileges and Immunities Clause: Discriminating Against Non -Residents in Local Hire Ordinances. No local government may discriminate against non-residents solely on the basis of their non-resident status. Local hire ordinances must demonstrate a particular type of reason for the difference in treatment between residents and non-residents to avoid violating the Privileges and Immunities Clause of Article IV of the U.S. Constitution. Many local hire ordinances have legally justified the preference for local residents based on such reasons as: high unemployment rates, the cost of unemployment to the local jurisdiction, and the notion that the cost of higher unemployment rates and welfare benefits paid to unemployed local workers outweighs the benefits of hiring nonresident workers. Local hire ordinances are constitutional when data proves that the ordinance is designed to counteract high rates of unemployment and poverty.22 (Note that the unemployment rate in National City, as of April 2017, was 4.8 percent. Within the City of San Diego, the unemployment rate currently is 3.6 percent.) Local Hiring or Targeted Hiring in PLAs Both project owners and labor unions can negotiate a PLA with community workforce provisions that include targeted hire and Women and Minority Business Enterprise (WMBE) goals and exemptions in order to minimize the impact of a PLA on disadvantaged or small firms. When local hiring or targeted hiring are included in an agency- or city-wide PLA, the advantages are: • Direct influence on all hiring by labor union dispatch halls with less risk of litigation. • Increased control and coordination of different contractors and unions in large projects. • Encouragement of labor peace. 21 Kotler, "Project Labor Agreements in New York State: In the Public Interest." Page 13. 22 Ibid., page 33. 26 of 525 Attachment No. 1 • Provisions for dispute resolution. Challenges could include: • May be subject to the limitations of labor union national agreements.23 • May potentially increase barriers to small and WMBE firms to access public works projects. • May discourage participation of open -shop firms and workers. • May require investment into administration of new programs.24 The potential impacts of a targeted hire initiative include that they may: build public support for projects; encourage working with new partners; have the potential to recruit more disadvantaged workers; create workforce tracking and other compliance systems; and, develop solutions to bidding and employment barriers. Although these initiatives can be extremely successful when designed and implemented effectively, they can drive up construction costs and add complexity to the requirements with which contractors must already comply.25 Certain targeted hire tools support workers at all levels of the workforce pipeline by including recruitment, support services such as GED classes, childcare support, and funding for tools, training programs, and job placement. These components strive to address structural barriers workers face in accessing employment. To provide this type of assistance, some targeted hire initiatives include strategies for funding programs and support services. An advantage of meeting this targeted hire requirement under a PLA would be that the labor union handles administration of these programs. Hybrid Targeted Hire Approaches:z6 Local hire and/or targeted hire approaches can also be implemented through a combination of policy tools. One example is an ordinance mandating the use of PLAs with Community Workforce Provisions. In 2o14, the County of Sonoma, CA, approved a PLA ordinance mandating the adoption of PLAs in all federal and non-federal projects over $io million dollars.27 The County set forth a template PLA to be adapted to each project, although a hiring requirement of 70 percent local workers is to remain constant in all agreements. The PLA Ordinance also sets forth requirements for pre -apprenticeships and technical workforce training programs for local workers. Other examples includes ordinances passed in the City of Watsonville, CA,z'requiring PLAs in projects at or above $600,000 and in the Town of Merrillville, IN29, requiring PLAs for all construction projects receiving tax increment financing or properties granted tax 23 Labor union national agreements are specific to a trade or industry (e.g., building trades and construction) for a defined period of time and govern policies of local trade unions and affiliates. 24 For example, support services for local workers (education and training, child care, etc.) may require access to multiple additional funding sources to cover costs, including administration these programs by agency staff or contractors. 25 Exploring Targeted Hire: An Assessment of Best Practices in the Construction Industry UCLA Labor Center (March 2014), pp. 12 -13. http://www.seattle.govicontracting/docsflabor/TargetedHire.pdf 26 Ibid., p. 46. 27 http://laborissuessolutions.com/wp-content/uploads/2o14/ol/Sonoma-County-Project-Labor-Agreement- Policy-and-Template-2o14.pdf 28 Watsonville, CA Project Labor Agreements for Public Works Construction Projects (Nov. 2017). http://www.codepublishing.com/CA/Watsonville/html/Watsonvilleo7/Watsonvilleo717.html �9 Chas Reilly, "Merrillville Ordinance Expands Scope of Project Labor Agreements (Sept. ii, 2013). Nwi.com http://www.nwitimes.com/news/localf lake/merrillville/merrillville-ordinance-expands-scope-of-project-labor- agreementsfarticle_9b59oc2f-5ddc-52c3-2258-f4a439dd9154.html 10 27 of 525 Attachment No. 1 abatements. The Hunters Point Shipyard project in the Bay Area provides another example of a Community Benefits Agreement that delivered economic benefits.3° c. Does Local Preference meet the Desired Impacts of PLAs? Local business preference is often linked to a mandated PLA in hiring requirements (as it is in Los Angeles). However, local preference ordinances do not produce all the same impacts provided by PLAs. To achieve local economic benefits on public works and construction contracts, reciprocal agreements with neighboring jurisdiction should be in place.31 But, because of the complexity of agreement and other barriers, the reciprocal requirement is not popular among cities unless it is required by state law.32 d. Prevailing Wage What is Prevailing Wage? California Prevailing Wage Law requires workers on publicly -funded construction projects —called "public works" —to be paid union wages, as determined by the State. In recent years, the legal definition of public works has greatly expanded - for example, to housing or infrastructure projects that receive any state funding. The California Prevailing Wage Law was passed in the 193os as a way to ensure that workers on public projects were paid at prevailing market rates. In recent years, the Prevailing Wage Law has been expanded to require union wages on virtually any construction project in California. Prevailing Wage claims can increase the cost of a major construction project by millions of dollars and can be brought years after construction is complete. In 2o13, the California Labor Commission brought more than 40o enforcement actions against developers and contractors, and collected $17.7 million in retroactive prevailing wage payments.33 Some litigation involved mixed -use (housing/commercial) projects receiving both public and private funding.34 3° Michael Reich, Ken Jacobs, and Miranda Dietz, When Mandates Work: Raising Labor Standards at the Local Level. Chapter io: Community Benefit Agreements and Economic Development at Hunters Point Shipyard. (January 22, 2o14). http://laborcenter.berkeley.edu/when-mandates-work-raising-labor-standards-at-the-local-level/ 31 As an example, on December 14, 2o1o, the San Francisco Board of Supervisors passed an ordinance establishing the San Francisco Local Hiring Policy for Construction. The San Francisco Policy requires contractors and their subcontractors performing public works projects for the City and County of San Francisco worth $400,000 or more to hire local San Francisco residents and extends to projects at sites located up to 7o miles beyond the jurisdictional limits of San Francisco. The San Francisco program authorizes the negotiation of reciprocity agreements with other local jurisdictions that maintain local hiring programs. League of California Cities. http://www.cacities.org/getattachment/6f1574a4-d13b-4888-bee7-8b9dcc5ff14d/5-zo1z-Spring-Kristi-J- Smith-Barbara-R-Ga-Senet-Co.aspx 32 Sernoon Chang. Considering Local Business Preference Policies in Bids and Purchases. (June 2o12). www.gfoa.orgisitesidefaultifiles/GFR_JUN_12_38.pdf 33 Jeffers, Mangels, Butler and Mitchell (JMBM), LLP. (2o17) http://www.jmbm.com/prevailing-wage- compliance-and-defense.html 34 JMBM, ibid. In complex projects, PLAs (negotiated in advance with unions) are often recommended as a way to avoid a prevailing wage dispute. In some cases, the best approach is to obtain an advance ruling from the State on whether a proposed project is subject to prevailing wage requirements. Such a ruling is known as a Public Works Coverage Determination. 11 28 of 525 Attachment No. 1 The federal prevailing wage law —known as the Davis -Bacon Act —has also expanded rapidly in recent years. More than 6o federal statutes now require varying degrees of compliance with Davis- Bacon.35 In terms of housing, prevailing wage rates36 apply to HUD -funded projects, such as Section 8 and the Community Development Block Grant. Although critics of prevailing wage argue that it adds significantly to project costs, there are cases that demonstrate the opposite. For example, a 2011 study from Working Partnerships USA found that payment of prevailing wage on public works projects in San Jose provided an array of economic benefits to the region while actually lowering overall construction costs. The study concluded that over the past five years, San Jose's prevailing wage policy added $164 million in economic activity, produced $1.9 million in local tax revenue, and generated more than 1,500 local construction jobs.37 In cases where the majority of work goes to local contractors, the benefits of prevailing wage to the economy can be substantial. Does Prevailing Wage Meet the Desired Impacts of PLAs? Prevailing wage addresses the goal of worker equity and avoiding labor disputes by adopting union rates. However, the other impacts specifically sought through PLAs (projects completed on schedule, on budget, with a quality product) are not guaranteed outcomes of prevailing wage requirements alone, since the outcomes are the responsibility of and impacted by multiple parties, including the developer and the general contractor. Prevailing wage rates in California are almost always based on the wage rates and benefit payments indicated in collective bargaining agreements for construction trade unions. As a result, contractors pay a common wage rate for each specific trade in a defined geographic region, regardless of whether the contractors were signatories to a PLA or to a union collective bargaining agreement for their employees. In public works projects (including housing) subject to prevailing wage requirements, these conditions neutralize the difference in wage rates for construction trade workers when comparing projects with a PLA and those without a PLA. VIII. Conclusion A Project Labor Agreement as a collective bargaining and engineering management tool can deliver many economic and social benefits, when applied appropriately. Public works and housing development projects that justify use of a PLA tend to share these characteristics: • Large, complex or multi -phased (more than 1 year of construction) — schools, bridges, stadiums, expansive mixed -use projects. • Cost threshold of no less than $25 million. • Located in areas with high unemployment and a low rate of unfilled construction jobs, i.e., no labor shortage. 35 Davis -Bacon requirements have been added to numerous federal grant and loan programs, perhaps most notably the U.S. Department of Energy loan guarantee programs for renewable energy. (Ibid.) 36 U.S. Department of Housing and Urban Development, Handbook 1344•1; Rev. 2. Chapter 2: PREVAILING WAGE REQUIREMENTS IN HUD PROGRAMS. https://portal.hud.gov/hudportal/documents/huddoc?id=13441c2SECH.pdf 37 http://www.sbctc.org/doc.asp?id=i83 12 29 of 525 Attachment No. 1 • Located in areas that have a large percentage of union shops or labor groups with a large percentage of skilled workers in the construction industry. • A strong recent (1999 — present) regional history of work stoppages or lockouts. • Funding consists of federal and /or state loans or grants requiring prevailing wage or certification that a trained and skilled workforce is used on a project. • Additional workforce development benefits are desired as a project outcome, such as training and apprenticeship opportunities. To achieve specific economic and social benefits within a region, alternative approaches to PLAs may also be considered. These include preferences (local or targeted) and prevailing wage requirements that are incorporated in bid specifications and offer higher competitive scoring on proposals. 13 30 of 525 Attachment No. 1 ADDITIONAL INFORMATION AND RESOURCES State and Local Policy Measures Addressing PLAs Fair and Open Competition: A San Diego Ban on Project -Labor Agreements Initiative, Proposition A was on the June 5, 2012 ballot for voters in the City of San Diego in San Diego County, where it was approved. Proposition A amends the San Diego Municipal Code to prohibit the City from requiring a Project Labor Agreement (PLA) on City of San Diego construction projects, except where required by state or federal law, or as a condition of the receipt of state or federal funds. San Diego County already had a ban in force against Project Labor Agreements, after having approved Proposition A on the November 2, 2010 ballot.38 On October 2, 2011, Gov. Jerry Brown signed Senate Bill 922. This bill is an attempt to prevent California cities from banning government -mandated project labor agreements. Senate Bill 922 establishes PLAs to be "fair" and "democratic."39 Opponents charged that SB 922 would suppress the Fair and Open Competition movement that started in California. The bill was signed one day before the San Diego City Council was expected to place a measure on the June 2012 ballot for voters to enact a Fair and Open Competition measure in the City of San Diego. The Escondido City Council also unsuccessfully proposed a model "home rule" charter amendment that failed to collect the required number of signatures to make it to the ballot.4° On September 30, 2011, Governor Jerry Brown also signed Assembly Bill 436, which exempts certain local governments from paying labor compliance fees to the state if they require contractors to sign PLAs with unions for construction. The California Department of Industrial Relations has issued regulations reflecting this policy. In contrast, Nevada was the 23rd state to restrict the ability of state and local government entities to implement PLA mandates on taxpayer funded construction projects. Other Sources of Information "America's Building Trades Unions Hail New Study That Points to Effectiveness of Project Labor Agreements," PR Newswire, April 14, 2009. http://news.prnewswire.com/ViewContent.aspx?ACCT=log&STORY=/www/story/04-14- 2oo9 f o005005929&EDATE. Dale Belman, Matthew M. Bodah and Peter Philips, Project Labor Agreements (Washington, D.C.: Electri International, 2007), http://massbuildingtrades.org/project-labor-agreements-white- papers. 38 https://ballotpedia.org/San_Diego_Ban_on_Project-Labor_Agreements,_Proposition_A_(June_2o12) 39 http://thetruthaboutplas.com/2o11/1o/o3/california-governor-signs-union-backed-senate-bill-9zz-intended-to- end-local-project-labor-agreement-bans/ 4° Sacramento Bee, "California: Measure to Outlaw Labor Agreements on Projects Fails to Qualify (Thu, Feb 2 2012). http://www.citizensincharge.org/news/california-measure-to-outlaw-labor-agreements-on- projects-fails-to-qualify 14 31 of 525 Attachment No. 1 The Impact of Government -Mandated Project Labor Agreements (PLAs): A Review of Key Reports and Studies (2017 Edition) Highlights excerpts from studies pertaining to common points of contention during PLA debates. http://thetruthaboutplas.com/2012/12/28/plastudies/ Government -Mandated Project Labor Agreements: The Public Record of Poor Performance (2011 Edition). The 2011 edition of ABC General Counsel Maury Baskin's report on government -mandated PLAs documents a record of PLA construction projects experiencing a pattern of cost overruns, reduced competition, delays in construction, construction defects, safety problems and diversity issues. The author presents his research as a key resource to find failed government -mandated PLA projects in a specific community, illustrating why anti -competitive and costly government -mandated PLAs are "a bad solution in search of a problem." http://thetruthaboutplas.com/wp- content/uploads/20 i2/12/Baskin-Report-on-Government-Mandated-PLAs-The-Public-Record-of-Poor- Performance-2011-Edition-032311.pdf PLAs — Labor Info: http://www.forworkingfamilies.org/pageJpolicy-tools-community-workforce- agreement-examples In 2016, union members accounted for 15.9 percent of total wage and salary workers in California, unchanged from 2015, the U.S. Bureau of Labor Statistics reported. State union membership levels depend on both the employment level and the union membership rate. The largest numbers of union members lived in California (2.6 million) and New York (1.9 million). Over half of the 14.6 million union members in the U.S. lived in just seven states (California, 2.6 million; New York,1.9 million; Illinois, 0.8 million; Pennsylvania, 0.7 million; and Michigan, New Jersey, and Ohio, 0.6 million each), though these states accounted for only about one-third of wage and salary employment nationally. https://www.bls.gov/regions/west/news-release f unionmembership_california.htm University of California Berkeley Labor Center: http://laborcenter.berkeley.edu/ UCLA Labor Center: https://www.labor.ucla.eduf 15 32 of 525 Attachment No. 2 rii AR DEVELOPMELESNT CONSULTANTS To: From: Date: Re: Memo - Financing Carlos Aguirre, Housing and Economic Development Manager, City of National City Brad Raulston, Deputy City Manager, City of National City Alfredo Ybarra, Director Housing & Economic Development, City of National City Artemis Spyridonidis, Senior Associate, LDC Sharon Hudnall, Senior Associate, LDC September 12, 2017 Task 2: Financing Introduction LeSar Development Consultants (LDC) was requested by the City of National City to provide summary information as part of a policy brief addressing financing mechanisms for affordable housing and related infrastructure, addressing the question: "What pending or recently approved legislation could increase funding resources to boost the production of affordable housing?" Included in this Memo are major bills currently active in the State Legislature that must be approved by September 15th in order to be forwarded to the Governor who must sign or veto such legislation by October 15th, 2017. After September 15th, we can provide updates on the legislation forwarded to the Governor, and on an ongoing basis through October 15th, we can provide updates on legislation signed or vetoed by the Governor. The Memo also contains a summary of legislation signed into law in 2016 that affects local policy formation enabling streamlined permitting (specifically, density bonuses and Accessory Dwelling Units) and funding resources that will become available in zo18. In addition, we provide an overview of tax increment financing mechanisms — formation of an Enhanced Infrastructure Financing District and a Community Revitalization and Investment Authority (CRIA) — which became state law in 2o15. I. What Pending Financing Legislation Could Increase Funding Resources to Boost the Production of Affordable Housing? Among the numerous bills introduced into the 2o17-2o18 California Legislature, three senate bills — SB 2, SB 3, and SB 35 — could have a significant impact on creating financing sources and mandating 1 33 of 525 Attachment No. 2 policy changes to increase affordable housing production, as summarized below. The package of housing bills will provide the largest amount of state financing for affordable housing in California history — up to $4.1 billion in bond funding and generate an estimated 70,00o housing units over the next five years. A fourth bill (AB 45), will add a grant funding program for Teachers -Only Housing, which was legislated in 2016 (SB 1413). These bills (summarized below) must be signed by the Governor by October 15th. LDC will provide an update summary identifying legislative proposals signed into law or vetoed by the Governor after this date. The Building Homes and Jobs Act (SB 2)1, a funding measure by Sen. Toni Atkins (D-San Diego), will raise approximately $25o million annually for low-income housing by charging $75 to $225 in document fees on real estate transactions, excluding residential property sales. The bill was amended Tuesday, August 29th, to respond to concerns about raising fees for homeowners refinancing their homes. In the first year, half the funds would be made available to local governments to support community planning and half to the Department of Housing and Community Development to fund programs for people experiencing or at risk of homelessness. Beginning in 2019, local governments would receive 7o percent of the funds, and the remaining 3o percent would be appropriated to the California Housing Finance Agency to create mixed -income multifamily residential housing. Senate Bill 3, the Veterans and Affordable Housing Bond Act of 20182 (Beall, D-San Jose) authorizes bonds to be issued in the amount of $4 billion to finance various existing housing programs, as well as infill infrastructure financing, and affordable housing matching grant programs. This bill is subject to voter approval at the November 6th, 2o18, statewide general election. The initial bill would have authorized $3 billion in bonds for the construction of new low-income housing. The additional $1 billion extends the Cal -Vet Farm and Home Loan Program, which provides homeownership subsidies to veterans. To reduce barriers to development, Senate Bill 353 (Wiener, D-San Francisco) eliminates multiple local planning reviews for projects that meet certain zoning and affordability standards in jurisdictions with lagging housing production rates. The bill also requires qualifying projects to meet prevailing wage standards for construction workers. Other housing -related bills to be approved by the Legislature include: The Workforce Housing Opportunity Zone (SB 540)4, authored by Sen. Roth (D-Riverside), allows local governments to form priority housing zones and charge fees for developers seeking approvals 1 California Legislative Information. SB-2 Building Homes and Jobs Act. https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201720180SB2 2 California Legislative Information. SB-3 Veterans and Affordable Housing Bond Act of 2018. https://legi nfo.legislatu re. ca.gov/faces/bilINavClient.xhtm l?bi ll_id=201720180SB3 3 California Legislative Information. SB-35 Planning and zoning: affordable housing: streamlined approval process. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201720180SB35 4 California Legislative Information. Workforce Housing Opportunity Zone -- SB 540. https://Iegi nfo.legislatu re. ca.gov/faces/bilINavClient.xhtm I?bi II_id=201720180SB540 2 34 of 525 Attachment No. 2 within the zone. Governments would be required to approve proposed developments that meet the plan's criteria within 6o days. Assembly Bill 15055 authorizes local governments to adopt ordinances mandating developers to include a certain percentage of units for low-income households in any multifamily development as part of the jurisdiction's land use and zoning regulations. The bill was co-authored by Assemblymembers Bloom (D-Santa Monica), Chiu (D-San Francisco), and Gloria (D-San Diego). AB 73, Planning and Zoning: Housing Sustainability Districts', authored by Assemblymember Chiu, provides local governments with incentives to rezone developments to increase housing density near transit and job centers. II. What Recently Approved Financing Legislation Could Increase Funding Resources to Boost the Production of Affordable Housing? Listed below are key affordable housing and community development funding and policy bills approved by Governor Brown in 2016. Teachers -Only Public Housing Bill: In September 2016, the Governor signed into law Senate Bill 14137 (Leno), which is designed to allow school districts across the state to lease school district - owned property for the purpose of building special public housing for teachers and school administrators. Although aimed specifically at the challenging housing situation for teachers in San Francisco, the bill applies to any school district in California. Under previous law, the government can't use taxpayer funds to build housing projects for people just because they have a particular job. The new legislation establishes the Teacher Housing Act of 2016 and provides that a school district may offer programs that address the housing needs of teachers and school district employees who face challenges in securing affordable housing. Developers of teachers -only public housing are now able to access Low Income Housing Tax Credits and leverage other government funding to construct affordable housing (rental or ownership) on school district -owned land. Key points: o Senate Bill 1413 explicitly allows districts to use surplus property for developing workforce housing and could make it easier for officials to seek state, federal, private and other funding sources such as tax credits to finance the projects. o Who Can Benefit — Teachers and other school district employees. The bill defines the beneficiaries of the Teachers Only Public Housing law as follows: "Teacher or school district employee" means any person employed by a unified school district maintaining 5 California Legislative Information. AB-1505 Land use: zoning regulations. https://legi nfo.legislatu re. ca.gov/faces/bi l I NavClient.xhtm l?bi ll_id=201720180AB1505 6 California Legislative Information. Planning and Zoning: Housing Sustainability Districts — AB 73. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201720180AB73 ' California Legislative Information. Teachers -Only Public Housing Bill — SB 1413. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160SB1413 3 35 of 525 Attachment No. 2 prekindergarten, transitional kindergarten, and grades 1 to 12, inclusive, an elementary school district maintaining prekindergarten, transitional kindergarten, and grades 1 to 8, inclusive, or a high school district maintaining grades 9 to 12, including, but not limited to, certificated and classified staff." San Francisco school officials and Mayor Ed Lee, a sponsor of Leno's legislation, last fall announced plans to jointly develop educator housing for at least 10o households as well as provide rental assistance for at least 10o educators, zoo down payment assistance loans and $250,00o in housing counseling services per year over the next five years. The city has set - aside $2 million in pre -development funds for the zo16-zo17 fiscal year and hopes to move forward with at least one project within the next two years. In a statement to the media, Mayor Lee said: "SB 1413 delivers on the promise that we are building housing for school district employees — teachers, paraprofessionals, administrators who are dedicated to our students, parents and schools." Affordable Housing: AB 28188 (Chiu) creates a process for assessing the fair market value of a community land trust home that takes into consideration the affordability restrictions on the property. (Sponsor: Coalition of Community Land Trust) Veterans Housing for Women: SB 8669 (Roth) -- The Veterans Housing and Homeless Prevention Bond Act of 2014 authorizes the issuance of bonds in the amount of $60o million for expenditure by the California Housing Finance Agency, the Department of Housing and Community Development, and the Department of Veterans Affairs to provide multifamily housing and services to veterans. This bill authorizes a housing developer or service provider that provides housing or services to provide housing or services to veterans and their children in women -only facilities in limited instances. RDA Boomerang Funds: AB 203110 (Bonta) authorizes cities (i.e., RDA successor agencies) to issue bonds against their redevelopment "boomerang funds" for affordable housing development, without voter approval. Affordable Housing: AB 2584" (Daly) authorizes a housing provider to bring an action against a local agency to comply with the Housing Accountability Act, which prohibits a local agency from disapproving a housing development project, including farmworker housing, for very low, low- or moderate -income households or an emergency shelter unless the local agency makes specified written findings. 8 California Legislative Information. Property Taxation: Community Land Trust — AB 2818, https://legi nfo.legislatu re. ca.gov/faces/billNavClient.xhtm l?bi ll_id=201520160AB2818 9 California Legislative Information. Veterans Housing for Women — SB 866. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160SB866 '° California Legislative Information. Local government: affordable housing: financing — AB 2o31. https://leginfo.legislature.ca.gov/faces/bill NavClient.xhtml?bill_id=2o152o16oABzo31 11 California Legislative Information. Affordable Housing — AB 2584. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160AB2584 4 36 of 525 Attachment No. 2 Community Revitalization: AB 2492t2 (Alejo and Garcia) makes changes to allow greater flexibility for the creation of community revitalization and investment authorities (CRIA) and allows a CRIA to receive funding from the same sources (e.g., tax increment) as an enhanced infrastructure financing district (El FD). To establish a CRIA a city or county must determine that at least 8o percent of the project area has an annual median income that is less than 8o percent of the statewide average as determined by the U.S. Census. This bill would give a city or county the option of using the statewide average or the citywide or countywide average. This change provides a more precise standard and could have the effect of expanding the area that could be included in a CRIA. To establish a CRIA a city or county must also establish that 8o percent of the project area meets three of four conditions: high unemployment, high crime rate, deteriorated infrastructure, or deteriorated commercial or residential structures. Economic Development: AB 806'3 (Dodd and Frazier), allows counties and cities to acquire, sell, or lease county -owned or city -owned real property (including sites acquired by former redevelopment agencies) to promote economic development, subject to specified requirements. Accessory Dwelling Units: AB 229914 (Bloom) requires cities and counties to enact an ordinance allowing the creation of second units or ADUs in single-family and multifamily residential zones. SB 1069'5 (Wieckowski) requires that an ordinance be written for the creation of ADUs specifying where they may be located, standards, and lot density. AB 2406i6 (Thurmond) authorizes local agencies to issue ordinances allowing the creation of junior accessory dwelling units (ADUs) in single-family residential zones. Junior ADUs are a repurposing of vacant bedrooms within a single family home. This bill relaxes restrictions to allow more of these alternative housing units to exist legally and requires the ordinance to include standards for the creation of a junior ADU, required deed restrictions, and occupancy requirements. The bill prohibits an ordinance from requiring, as a condition of granting a permit, water and sewer connection fees, additional parking, or fire sprinklers or fire attenuation requirements. Density Bonuses: 12 California Legislative Information. Community Revitalization — AB 2492. https://legi nfo.legislatu re. ca.gov/faces/billNavClient.xhtm l?bi l l_id=201520160AB2492 13 California Legislative Information. Economic Development — AB 806. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160AB806 la California Legislative Information. Land use: housing: 2nd units — AB 2299. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160AB2299 15 California Legislative Information. Land Use: Zoning — AB 1069. https://Iegi nfo.Iegislatu re. ca.gov/faces/biIINavClient.xhtm I?bi lI_id=2015201605 B1069 16 California Legislative Information. Housing: junior accessory dwelling units —AB 2406. https://Ieginfo.Iegislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160AB2406 5 37 of 525 Attachment No. 2 AB 250117 (Bloom) clarifies the provision of density bonuses as affordable housing development incentives, including (for the first time) mixed -used projects. AB 2501 provides that the density bonus law shall be interpreted liberally by local jurisdictions in favor of producing the maximum number of total housing units. AB 2208i8 (Santiago), Air Rights, requires cities and counties to consider as land suitable for residential development, sites owned or leased by the city or county that are capable of accommodating residential development above the existing building. AB 193419 (Santiago) requires a city or county to grant exceptions from the general plan, zoning ordinance or local regulatory requirements to a commercial developer partner with an affordable housing development to construct a joint project or two separate projects encompassing affordable housing to take advantage of density bonus law. AB 24422O (Holden) adds a provision to the density bonus law allowing a density bonus to be provided to a developer that agrees to construct a housing development with at least 5 percent of the total units set -aside for transitional foster youth. Homelessness: The No Place Like Home Program, AB 162821, was signed into law by Governor Brown in August 2016. It creates a safety net program that will provide $2 billion to local communities for the construction and rehabilitation of permanent supportive housing with services for homeless individuals experiencing mental illness. Spearheaded by Senate President pro Tempore Kevin de Leon, the legislation allocates a portion of future monies from Proposition 63, the 2004 Mental Health Services Act (MHSA), which imposes a i percent tax on California residents with incomes that exceed a million dollars annually to pay back the bond. The $2 billion total in bond funding from MHSA will be available from HCD as follows: a) $20o million on an "Over -The -Counter" (non-competitive) process in which the state contracts directly with counties; and b) $i.8 billion on a competitive basis to counties. The way the program is envisioned to be structured at this point would give counties the option of applying for and then directly controlling its local allocation of the No Place Like Home funds. Counties may apply in partnership with housing developers. Counties may also allow local projects to compete for funds at the 17 California Legislative Information. Housing: Density Bonuses —AB 2501. https://legi nfo.legislatu re.ca.gov/faces/billNavClient.xhtm l?bi l l_id=201520160AB2501 18 California Legislative Information. Local planning: housing element: inventory of land for residential development — AB 2208. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160AB2208 19 California Legislative Information. Planning and zoning: development bonuses: mixed -use projects — AB 1934. https://leginfo.legislature.ca.gov/faces/biIINavClient.xhtml?bill_id=201520160AB1934 20 California Legislative Information. Density Bonus — AB 2442. https://Iegi nfo.legislatu re. ca.gov/faces/bi I ITextCl ient.xhtml?bi I I_id=201520160AB2442&sea rch_keywords=Density +Bonus 21 California Legislative Information. No Place Like Home Program — AB 1628. https://Iegi nfo.Iegislatu re. ca.gov/faces/bi l I NavClient.xhtm l?bi ll_id=201520160AB1628 6 38 of 525 Attachment No. 2 statewide level. It is anticipated that large counties, such as Los Angeles, San Francisco and San Diego, will ask for a direct allocation. The County of San Diego Health and Human Services Agency (HHSA) will administer No Place Like Home funding, which is anticipated to be available to applicants in mid -to -late 2018. III. Funding Sources for Infill Development, and Related Policy Requirements The State of California has authorized two new funding mechanisms available to municipalities — the Enhanced Infrastructure Financing District (EIFD) and the Community Revitalization and Investment Authority (CRIA). These funding options are intended to help fill the public funding gap created by the dissolution of Redevelopment Agencies (RDAs). Both utilize tax increment (i.e., property tax) revenues to finance infrastructure, affordable housing, and economic revitalization activities. Enhanced Infrastructure Financing District The passage by the California Legislature of Senate Bill 628 in 2015 allows cities, counties, or cities and counties to establish an enhanced infrastructure financing district (EIFD) to finance public facilities, development, and projects of community -wide significance through a number of financing mechanisms. This mechanism provides broad authority for local agencies to use tax increment or property tax revenues to finance a wide variety of projects, including infrastructure, parks and open space, affordable housing, etc. SB 628 also provides for a lower voter approval threshold to issue bonds and a wider range of infrastructure investments. The formation of an EIFD by a city or county requires: 1. Establishing a Public Financing Authority (PFA); 2. Adoption of a resolution of intention to establish an EIFD and an Infrastructure Financing Plan (IFP); and 3. Conducting a public hearing before approving the adoption of the IFP. The PFA serves as the governing board of the EIFD and implements the approved IFP. The PFA must include members of the public and legislative bodies of participating taxing entities. Through the EIFD, the PFA may, by majority vote, initiate proceedings to issue bonds. The IFP is the implementing document of the EIFD. The IFP must include: (a) a description of the development or financial assistance proposed within the EIFD; (b) a financing plan specifying how tax increment revenues from affected taxing entities will be divided; (c) revenue projections; (d) a plan for financing public facilities; and (e) the termination date of the EIFD (up to 45 years from approval date of bond issuance or EIFD loan). The IFP must be adopted by the governing boards of all taxing entities that have agreed to allocate tax increment to the EIFD. EIFDs may raise funds in multiple ways, including: 1. Tax increment bonds. EIFDs may issue bonds to finance projects and other activities if 55 percent of qualified voters approve such issuance. 2. Tax increment financing. EIFDs may divert property tax from any participating tax entity (with the exception of a school district) within the EIFD. 3. Loans. ElFDs may also obtain a loan to fund activities described in the IFP. 4. Impact fees, development agreement fees and user fees. 7 39 of 525 Attachment No. 2 EIFDs may fund public capital facilities or projects of community -wide significance, including parks, open space and recreational facilities; transportation facilities (including highways, parking and transit, and sewage and water treatment facilities); projects which implement a Sustainable Communities Strategy; low and moderate income housing; and other uses. So long as each taxing entity included in the EIFD agrees that a project provides "significant benefits" to the district or community, there are no statutory limits on projects that an EIFD may pursue. Local governments can form an EIFD without an election. Although voter approval is still necessary to issue tax increment bonds, the threshold for approval is 55 percent rather than two-thirds. An EIFD can fund a wide range of projects, using both private and public/private partnerships (P3) models, and can even fund projects outside of the EIFD.22 An EIFD can be established pending a public hearing and the complete dissolution of any former redevelopment agency that the primary taxing entity may have belonged to, including the payment of all successor debts incurred while a part of the redevelopment agency. The district acquires funding from the property tax increment of properties within the district that consent to funding projects within it, in much the same fashion as TIF districts. If part of the EIFD includes a former Redevelopment Project Area, then the District cannot collect tax increment revenues from the former RDA project area until old redevelopment debts are paid. As noted, the funding of a wide variety of infrastructure projects can be accomplished using ElFDs. These publicly funded upgrades and enhancements can help serve affordable housing projects by providing them with quality, well -maintained infrastructure, the cost of which would otherwise have to be paid for by the developer. Meanwhile, the funding can be used directly to subsidize the development of moderate, low, and very low-income housing units in mixed- income developments, particularly those located in transit -priority projects (TPPs)�3, as well as reimburse developers for the permitting fees and other costs associated with developing affordable housing units within the district. The funding may also be directed to such facilities that provide child care or house providers of consumer services and goods to indirectly assist residents in the development(s). EIFDs also add a safeguard to ensure that any housing destroyed or removed in a development process is replaced, particularly affordable units. Any affordable units must be replaced on a one -for - one basis, all other units on a one -to -four basis, and relocation benefits must be allocated to displaced tenants. Furthermore, replacement affordable units must be ensured affordable status under covenant for 55 years for renter -occupied units and 45 years for owner -occupied units for low and moderate -income tenants. The flexibility, wide applicability, and reliability of a constant revenue stream make EIFDs an appealing funding mechanisms for projects such as the Los Angeles River revitalization efforts, which is one of the first major projects in California to use an EIFD. 22 Glenn Q. Snyder and Matthew F. Valdez, "Enhanced Infrastructure Districts: A Flexible New Tool for Local Governments." Law36o (April 17, zoi6). ?3 Transit priority projects are residential, employment and mixed use projects located within % mile of a light rail station or high frequency bus stop. Projects in these areas are already entitled to certain advantages under SB 375, which established a CEQA document known as a "Sustainable Communities Environmental Assessment" for qualifying TPPs as an alternative to a Mitigated Negative Declaration or Environmental Impact Report. 8 40 of 525 Attachment No. 2 Otay Mesa EIFD —One of the First in the State Formed by a Locality In February 2017, the San Diego City Council voted unanimously to establish a public financing authority for an EIFD in Otay Mesa. The EIFD is projected to yield nearly $80o million in estimated property tax increment over the next 45 years for much -needed infrastructure projects that are expected to accelerate economic development and job growth in Otay. The projects would be primarily freeway onramps, road widenings and other transportation upgrades. Revenues generated by the district would also pay for road work, parks, a new police substation, fire stations, libraries, swimming pools, and water and sewer projects over a 45-year period. Councilmember David Alvarez, who represents the area, noted�4 in an interview with The San Diego Union Tribune that an EIFD was the best chance to narrow a large difference between infrastructure needs and funding in Otay Mesa. "Developer fees aren't going to cover the cost of the infrastructure that's needed in Otay Mesa, neither are any other initiatives or anything else the city has done at this time," the councilman said. "This would probably be what gets us the closest to actually funding that $510 million gap that exists in infrastructure needs for Otay Mesa." Community Revitalization and Investment Authority (CRIA) Another entity similar to an EIFD is a community revitalization and investment authority (CRIA), authorized under AB 2. Like an EIFD, a CRIA is a tax increment financing tool that allows government entities to invest in communities that have higher -than -average crime and unemployment rates as well as deteriorating, aging, or inadequate infrastructure and buildings. CRIAs can be created by a city, county, jointly by a city and county, or by a combination of local governments through a joint powers authority (JPA), and are administered by a board consisting of government representatives of the affected taxing district(s) and at least two members of the general public. To qualify for the creation of a CRIA, So percent of households in the prospective district must have a median income of less than 8o percent of the State's median household income. Additionally, three out of the four following requirements must be satisfied: 1) unemployment is at least 3 percent higher than the statewide median; 2) the crime rate is at least 5 percent higher than the statewide median; 3) the presence of deteriorated or inadequate infrastructure; and 4) the presence of deteriorated commercial and residential structures. As with El FDs, CRIAs freeze property taxes in the respective district at the time of approval and collect the corresponding tax increment increases to fund projects. All taxing entities within the district must consent to diverting a portion of their share of property tax revenue to implement the CRIA. 24 David Garrick, "Otay Mesa to benefit from state's partial revival of redevelopment." The San Diego Union Tribune (Feb. 8th, 2o17). http://www.sandiegouniontribune.com/news/politics/sd-me-otay-district-zol7ozo8- story.html 9 41 of 525 Attachment No. 2 Provision of funds for affordable housing is a primary focus of CRIAs. At least 25 percent of all tax revenues generated by a district must be diverted to a fund for the purposes of creating and rehabilitating low and moderate -income housing. Additionally, CRIAs may allocate funding toward the rehabilitation, repair, construction or upgrading of public infrastructure within the district, the acquisition and transfer of real property, the issuance of bonds, and to other mechanisms that indirectly contribute to affordable housing.25 25 Southern California Association of Governments (SCAG). Comprehensive Guide to Affordable Housing Policy. (2017) https://www.scag.ca.gov/Documents/ComprehensiveGuideToLocalAffordableHousingPolicy.pdf 10 42 of 525 Attachment No. 3 9/26/2017 43 of 525 1 Attachment No. 3 9/26/2017 ABOUT NATIONAL CITY 60,04 3 Population i 2016 $290,5 00 Median Property 16,69 9 $41,4 37 Median Fa Income Number of Total 30.7% Of Housing Units are Owner -Occupied 3 41XProject La or •reements • A Project Labor Agreement (PLA) is a pre -hire contract negotiated between the project manager, contractors, and unions that establishes the terms and conditions of employment for a specific construction project. • Through negotiations, construction unions determine the wage rates and benefits of all employees working on a project. • Goal: PLAs are designed to ensure that projects are: (1) completed on time; (2) completed on budget; and (3) completed without any labor disputes (e.g., strikes or slowdowns) during the time period of construction. 4 44 of 525 2 Attachment No. 3 9/26/2017 41XProject La or reements • Local Example: The "Project Stabilization Agreement" (PSA) between San Diego Unified School District, San Diego Building and Construction Trades Council, and Southwest Regional Council of Carpenters. 41,0k Project La or reements • Desired Impacts of PLAs: The desired impacts of government PLAs are formed at the outset of a project in order to: guarantee efficient, timely, and quality work; establish fair and consistent labor standards and work rules; supply skilled labor and an experienced and highly competent work force; establish set labor -related costs over the project's life; establish stable labor- management relations through legally binding dispute resolution mechanisms; and provide protection from strikes, lockouts, and other similar disruptions. 6 45 of 525 3 Attachment No. 3 9/26/2017 41XProject La or reements When DO PLAs Make Financial Sense? • The decision as to whether a PLA makes sense is most often made on a case -by -case basis. PLAs are more likely found appropriate —and experience has demonstrated great value —for larger, more complicated projects that last more than a few months and that often present unique scheduling issues. 41XProject La or reements Cornell University's 6-point Test for Determining Financial Feasibility 1. Base the decision to ratify or authorize the Project Labor Agreement on a review of the project manager or a consultant's report and recommendation. 46 of 525 4 Attachment No. 3 9/26/2017 Project La or reements 2. Factors to be considered: • Labor cost savings from coordinating various craft schedules and other terms / conditions via a uniform agreement instead of various local union agreements. • Potential cost savings and flexibility due to alternative dispute resolution procedures in response to job site problems, jurisdictional disputes, and workers compensation claims. • Potential benefits (time and money saved, public convenience) of ensuring labor harmony for the duration of the project. • Whether a PLA would provide more immediate and efficient access to a pool of skilled journey -level workers and apprentices. 41XProject La or •reements 3. Consider local labor market conditions. • Is there a documented skilled labor shortage in the area? Is there likely to be one during the length of the project? Will other projects be competing for the same labor pool? 10 47 of 525 5 Attachment No. 3 9/26/2017 41XProject La or reements 4. Consider whether a PLA would provide an opportunity for apprentice recruitment and training. • Consider the likelihood that the skill level will translate into safer job performance with reduction in costs due to lower injury rates. 41XProject La or reements 5. Consider how a PLA would contribute to an on -time and on -budget completion of the project. • Is the project of such complexity that a delay in one area will significantly delay the entire project? Does this project have serious time constraints? • Would delay seriously inconvenience the entity, its clients, or the general public? (For example, could project interruptions delay the opening of a school, or cause transportation congestion, or interfere with revenue flow, as with non - collection of bridge tolls?) 12 48 of 525 6 Attachment No. 3 9/26/2017 Project La or reements 6. PLA Language • The language of the PLA should ensure that hiring is done in a nondiscriminatory manner, that contractors are permitted to retain a certain percentage of "core" employees, and that all successful bidders must become signatories to the PLA. In particular, it is important to take these steps: • Direct that a PLA be concluded prior to the opening of bids and include the complete agreement in the bid package. • Conduct bidding pursuant to a PLA in a nondiscriminatory manner, open to union and nonunion contractors. 13 14110k Project La or •reements Cost Thresholds, Generally • The widespread voluntary use of PLAs on private -sector projects demonstrates their benefits and usefulness as an engineering management tool. Because the owners of private projects are profit - driven, the widespread use of PLAs on these projects over long time spans is a good indication that PLAs, especially on large and/or complex projects, most often produce noticeable positive net benefits. • Although PLAs may be used for a range of construction projects, regardless of size, the trend historically in California has been to primarily apply them to large multi -phase or complex infrastructure projects costing millions and into the billions of dollars. 14 49 of 525 7 Attachment No. 3 9/26/2017 AdII Project La or A• reements Recent examples of such projects locally, concerning PLAs in place with the San Diego County Building and Construction Trades Council, AFL-CIO (an association comprised of 22 member unions), are: • Petco Park: PLA ($456.8 million public -private project) • San Diego Unified School District: Project Stabilization Agreement under Propositions S and Z, with a $2.1 billion bond to renovate schools • San Diego Emergency Water Storage Project: PLA ($1.2 billion project) 15 41XProject La or •reements PLAs in California Schools • Since1999, PLAs have become prevalent at large and small local governments in California's major metropolitan areas. They are being applied to projects of all sizes, ranging from large infrastructure projects to contracts for bathroom renovations as low as $20,000. Cases of downward -spiraling cost thresholds for PLAs in California are most often found in school districts with Master PLAs relating to bond funding or municipalities with department -wide PLAs. For example: • Los Angeles • Orange County • Santa Ana Unified School District 16 50 of 525 8 Attachment No. 3 9/26/2017 Project La or reements Proponents Say: • PLAs make sense for public works projects because these collective bargaining agreements do the following: • Promote a planned approach to labor relations. • Allow contractors to more accurately predict labor costs and schedule production timetables. • Reduce the risks of shoddy work and costly disruptions. • Encourage greater efficiency and productivity. 17 Project La or reements Opponents Say: • PLAs create the following challenges: • Interfere with an employee's right to choose to join a union. • Drive up construction costs. Specifically, they (1) drive up the lowest bid for the project by decreasing competition and (2) increase the costs by subjecting contractors to union hiring and work rules. • Exclude open -shop (non -union) contractors from bidding on projects by placing restrictions or pre -qualifications on the bidding conditions. 51 of 525 9 Attachment No. 3 9/26/2017 40tProject La or reements Alternative: Local Preference • The term "local preference" encompasses several ways in which local governments favor local businesses. For example, a jurisdiction could issue requests for proposals specifying that qualifying businesses have a local presence. Or, it could allow extra points or higher bid prices for local contractors, a higher bid price for locally produced goods or local suppliers in construction and public works projects, or require vendors to employ local residents. 19 40tProject La or reements Does Local Preference meet the Desired Impacts of PLAs? - Local preference ordinances do not produce all the same impacts provided by PLAs. To achieve local economic benefits on public works and construction contracts, reciprocal agreements with neighboring jurisdiction should be in place. But, because of the complexity of agreement and other barriers, the reciprocal requirement is not popular among cities unless it is required by state law. 20 52 of 525 10 Attachment No. 3 9/26/2017 40tProject La or reements Alternative: Targeted Hire versus Local Hire • "Local hire" primarily refers to programs that require direct hiring of residents of specific local areas. "Targeted hire" refers to hiring requirements for target groups, such as minorities, women, or low- income workers. In other words, local hire is tied solely to a specific geographic region, while targeted hire is broader, encompassing different segments of the population across geographic regions. 21 40tProject Labor reements Prevailing Wage • California Prevailing Wage Law requires workers on publicly - funded construction projects —called "public works" —to be paid union wages, as determined by the state. In recent years, the legal definition of public works has greatly expanded — for example, to housing or infrastructure projects that receive any state funding. 22 53 of 525 11 Attachment No. 3 9/26/2017 40. Project La or reements Case Study: Paradise Creek Apartments • 201 Affordable Housing Units • Funding Sources • Prevailing Wage • Section 103 Requirements Photo credit: www.paradisecreekliving.com 40tProject La or reements Does Prevailing Wage Meet the Desired Impacts of PLAs? Prevailing wage addresses the goal of worker equity and avoiding labor disputes by adopting union rates. However, the other impacts specifically sought through PLAs (projects completed on schedule, on budget, with a quality product) are not guaranteed outcomes of prevailing wage requirements alone, since the outcomes are the responsibility of and impacted by multiple parties, including the developer and the general contractor. 24 54 of 525 12 Attachment No. 3 9/26/2017 40tProject La or reements Conclusion • PLAs should be considered on a case by case basis. • PLAs are more favorable under certain conditions, such as the size of the project, the cost threshold, and the labor market. 25 Legislative Update • Several bills have been approved by the Assembly and the Senate and await the Governor's signature. The Governor has until October 15 to either sign or veto these bills. 26 55 of 525 13 Attachment No. 3 9/26/2017 SB 2: The Building Homes and Jobs Act Senator Atkins (D-San Diego) • Anticipated to raise $250m annually • Establishes the Building Housing and Jobs Trust Fund • Beginning January 1, 2018, a $75 fee will be imposed on every real estate instrument, paper, or notice that is required by law per parcel for every real estate transaction, with certain exceptions. • Fees will be transferred quarterly to HCD and then deposited into the Trust Fund. or r SB 3: Veterans and Affordable Housing Bond Act Senator Beall (D-San Jose) • $4b in general obligation bonds for affordable housing and a veterans homeownership program • Will be on the November 2018 ballot SB 35: Affordable Housing Streamlined Process Senator Weiner (D-San Francisco) • Creates streamlined, ministerial approval process for infill development in jurisdictions that have not met their RHNA assessments 28 56 of 525 14 Attachment No. 3 9/26/2017 SB 450: Workforce Housing Opportunity Zone Senator Roth (D-Riverside) • Specific Plans would prioritize housing, and require approval of projects within 60 days. AB 565: Alternative Building Regulations Assemblymember Bloom (D-Santa Monica) • Would allow housing for artists in industrial and commercial buildings. 29 SB 1413: Teachers -Only Public Housing Bill Senator Leno (D-San Francisco) • Designed to allow school districts across the state to lease school district -owned property for the purpose of building special public housing for teachers and school administrators 1 11 57 of 525 15 Attachment No. 3 9/26/2017 AB 1505: Inclusionary Housing Assemblymembers Bloom, Chiu, Gloria • "Palmer Fix" • Authorizes local governments to adopt ordinances mandating developers to include a certain percentage of units for low-income households in any multifamily development as part of the jurisdiction's land use and zoning regulations AB 2031: RDA Boomerang Funds Assemblymember Bonta (D-Oakland) • Authorizes cities (i.e., RDA successor agencies) to issue bonds against their redevelopment "boomerang funds" for affordable housing development, without voter approval SB 866 Veterans Housing for Women Senator Roth (D-Riverside) • $600m for housing and services to veterans 32 58 of 525 16 Attachment No. 3 9/26/2017 Community Revitalization: Current Law • CRIAs can be created by a city, county, jointly by a city and county, or by a combination of local governments through a joint powers authority (JPA), and are administered by a board consisting of government representatives of the affected taxing district(s) and at least two members of the general public. • To qualify for the creation of a CRIA, 80% of households in the prospective district must have a median income of less than 80% of the state's median household income. Community Revitalization: Current Law • Additionally, three out of the four following requirements must be satisfied: 1. Unemployment is at least 3% higher than the statewide median. 2. The crime rate is at least 5% higher than the statewide median. 3. There is the presence of deteriorated or inadequate infrastructure. 4. There is the presence of deteriorated commercial and residential structures. 1I 34 59 of 525 17 Attachment No. 3 9/26/2017 FINANCING AB 2492: Community Revitalization Assemblymembers Alejo, Garcia • Makes changes to allow greater flexibility for the creation of community revitalization and investment authorities (CRIA) and allows a CRIA to receive funding from the same sources (e.g., tax increment) as an enhanced infrastructure financing district (EIFD) Enhanced Infrastructure Financing District (EIFD) • Created in 2015 with the passage of SB 628 • Can finance public facilities, development, and projects of community -wide significance through a number of financing mechanisms 1 36 60 of 525 18 Attachment No. 3 9/26/2017 41 Financing Enhanced Infrastructure Financing District (EIFD) The formation of an EIFD by a city or county requires the following: 1. Establishment of a Public Financing Authority (PFA). 2. Adoption of a resolution of intention to establish an EIFD and an Infrastructure Financing Plan (IFP). 3. A public hearing prior to approval of the IFP. EIFDs may raise funds in multiple ways, including: • Tax increment bonds. EIFDs may issue bonds to finance projects and other activities if 55% of qualified voters approve such issuance. • Tax increment financing. EIFDs may divert property tax from any participating tax entity (with the exception of a school district) within the EIFD. • Loans. EIFDs may also obtain a loan to fund activities described in the IFP. • Fees. Impact fees, development agreement fees, and user fees 61 of 525 19 Attachment No. 3 9/26/2017 How is an EIFD Formed? Local governments can form an EIFD without an election. • Although voter approval is still necessary to issue tax increment bonds, the threshold for approval is 55% rather than two-thirds. 39 How is an EIFD Formed? • An EIFD can be established pending a public hearing and the complete dissolution of any former redevelopment agency to which the primary taxing entity may have belonged. • Dissolution must include the payment of all successor debts incurred while a part of the redevelopment agency. 40 62 of 525 20 Attachment No. 3 9/26/2017 LOCAL EXAMPLE: Otay Mesa In February 2017, the San Diego City Council voted unanimously to establish a public financing authority for an EIFD in Otay Mesa. The EIFD is projected to yield nearly $800 million in estimated property tax increment over the next 45 years for much -needed infrastructure projects that are expected to accelerate economic development and job growth. The projects would be primarily freeway onramps, road widenings and other transportation upgrades. Revenues generated by the district would also pay for road work, parks, a new police substation, fire stations, libraries, swimming pools, and water and sewer projects over the 45-year period. Photo Credit: City of San Diego RHNA Allocation 2003-2010 Permits Issued 2003-2010 Carlsbad 1.922 1,460 3.382 '196 813 1,009 30% Chula Vista 3,875 2,945 6.820 158 372 530 B% Coronado 14 11 25 12 17 29 1169b Del Mar 6 4 10 0 0 0 0% El Cajon 86 75 161 8 50 56 36% Enanitas 392 299 691 59 34 93 13% Escondido 548 417 965 130 123 253 26% Imperial Beach 13 9 22 0 0 0 0% La Mesa 89 68 157 32 0 32 20 % Lemon Grove 46 32 78 26 45 71 91% National City 18 39 57 60 Z7 87 153% Oceanside 1,445 1,098 2,543 199 209 408 16% Poway 285 216 501 225 43 268 535'6 San Diego 10,645 8,090 18,735 2.363 1,367 3,730 20% San Marcos 1,407 1,069 2,476 295 361 656 26941 Santee 317 241 558 80 53 133 2455 Solana Beach 30 22 52 0 8 8 15% Vista 510 388 898 32 32 64 7113 Unincorporated 2,476 1,881 4,357 97 467 564 13913 Source: SANDAG Regional Housing Needs Assessment Plan, Fifth Housing Element Cycle 63 of 525 21 Attachment No. 3 9/26/2017 National City Progress to Date in Fifth Housing Element Cycle: Apri 30, 2013 — April 30, 2021 Very Low Low RHNA Assessment 465 353 Building Permits Issued to Date 1158 249% of RHNA 278 78.75% of RHNA 43 Housing Trends Naturally Occurring Affordable Housing — "NOAH" • Provides options for students, seniors, millennials, and other populations with low- to mid -income. • Typically costs one-half to two-thirds of the cost of new construction. • One -for -one replacement 44 64 of 525 22 Attachment No. 3 9/26/2017 Innovation in Housing Typology • Types: Small space design, micro -units, shipping containers • Tiny Homes (aka "micro units") are typically under 500 sq. ft. Not defined by California state law. • "Better Together" 45 Accessory Dwelling Units - ADUs • Financing Programs • Amnesty Programs 46 65 of 525 23 Attachment No. 3 9/26/2017 Shared Equity and Community Land Trusts • Emphasizes long-term affordability • Community Land Trust 47 Value Capture and Incentive Zoning • Value Capture: Fees on developers and land owners, such as Land Value Tax, Tax Increment Financing (EIFDs and CRIAs). • Incentive Zoning: Provides a zoning bonus for the construction or preservation of affordable housing. 48 66 of 525 24 Attachment No. 3 9/26/2017 67 of 525 25 Attachment No. 4 LiFLESAR DEVELOPMENT CONSULTANTS To: From: Date: Re: Memorandum Carlos Aguirre, Manager, Housing and Economic Development, City of National City Brad Raulston, Deputy City Manager, City of National City Alfredo Ybarra, Director, Housing & Economic Development, City of National City Artemis Spyridonidis, Senior Associate, LDC Sharon Hudnall, Senior Associate, LDC September 22, 2017 Housing Policy Trends I. Introduction Several prominent housing trends are shaping the landscape of affordable housing in California and beyond. Some, such as ADUs, provide a new take on an already existing policy, while others, such as innovative housing typologies, offer new solutions to solve the housing crisis. Within this section, we provide an overview and legislative update on the following affordable housing policy trends: 1. Preservation of Affordable Housing and NOAH 2. Innovation in Housing Typologies 3. Accessory Dwelling Units (ADUs) 4. CEQA Streamlining 5. Inclusionary Zoning 6. Shared Equity and Community Land Trusts 7. Value Capture and Incentive Zoning 68 of 525 Attachment No. 4 Memo Re: Housing Policy Trends II. Housing Policy Trends A. Preservation of Affordable Housing and NOAH (Naturally Occurring Affordable Housing) i. Description of Preservation of Affordable Housing "Affordable housing preservation" refers to the successful recapitalization of affordable rental housing in order to: • Safeguard long-term rental assistance for current and future generations; • Improve and modernize properties through capital repairs; and • Stabilize properties by placing them on solid financial footing. The goal of affordable housing preservation policies is to maintain the existing local supply of affordable, below -market -rate rental housing that is available to extremely -low-income to low-income residents. Preservation of affordable rental housing is an effective strategy because: • NOAH provides options for students, seniors, millennials, and other populations with low to mid -income. • As growing demand for housing outpaces supply, preventing conversion of affordable housing to market -rate units will help maintain the stock for extremely low- to mid - income residents. • Preservation typically costs one-half to two-thirds of what it costs to construct new housing. • Preservation can deepen and lengthen affordability protections. • It can increase energy and operating efficiencies as upgrades are made for units subject to new affordability compacts. • It prevents displacement by allowing low-income tenants to remain in place. • It may offer opportunities to leverage public and private investment in existing assets (i.e., to use local resources more efficiently). ii. Best Practices in Preservation of Affordable Housing • Require one -for -one replacement and offer market -based incentives. Require developers to provide one affordable housing unit for each existing unit that is removed through conversion to market -rate units and/or require a higher ratio of affordable housing to market rate when granting density bonuses to projects.' Alternatively, require payment of in -lieu fees for demolition or conversion of affordable housing units as replacement costs. ' California Government Code Title 7. Planning and Land Use [6500o - 66499.58], Div. 1. Planning and Zoning [65000 - 66103], Chapter 4.3. Density Bonuses and Other Incentives [65915 - 659-8] states that: "An applicant shall be ineligible for a density bonus or any other incentives or concessions under this section if the housing development is proposed on any property that includes a parcel or parcels on which rental dwelling units are or, if the dwelling units have been vacated or demolished in the five-year period preceding the application, have been subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of lower or very low income; subject to any other form of rent or price control through a public entity's valid exercise of its police power; or occupied by lower or very low income households, unless the proposed housing development replaces those units..." Page zof14 69 of 525 Attachment No. 4 Memo Re: Housing Policy Trends • Target NOAH units for incentives to preserve housing affordability. Establish a leveraged public -private investment fund and/or partnership structure with nonprofit housing agencies interested in purchasing NOAH units to add to their affordable housing portfolios. • Link long-term housing affordability compacts to access to public funding or subsidies. Structure a Housing Preservation Incentives Program or a Permanent Affordability Program that includes deed -restricted compacts for projects receiving public subsidies or assistance to preserve existing or new affordable housing units. • Execute long-term covenants to maintain below -market rental rates for affordable housing developments financed with assistance from government sources. • Develop a funding source to preserve NOAH units requiring capital for repairs or to support acquisition of the housing by nonprofits for rehab as affordable housing. iii. Challenges to Preservation of Affordable Housing • Acquiring/rehabilitating affordable housing properties or converting them to market -rate rentals is more profitable than maintaining properties as affordable (without government subsidies or cost -based incentives). • The limited supply of mid -range housing is driving higher -wage renters (above 50% AMI) to seek naturally occurring affordable housing, thereby decreasing its availability for renters with lower incomes. iv. Pending Legislation • Senate Bill 2 (Atkins; 12 co-authors)Z would provide a permanent source of financing from the state to localities to create new housing and preserve affordable housing stock. Revenues would be generated by imposing a fee of $75 on real estate transaction recording documents, not to exceed $225. • Assembly Bill 72 (Santiago and Chiu).3 This bill allows the Department of Housing and Community Development (HCD) to determine whether cities are meeting their Housing Element requirements and to refer cities to the Attorney General for failure to comply. HCD could report a locality to the Attorney General if it has taken an action in violation of: a) the Housing Accountability Act; b) no -net -loss -in zoning density law limiting downzoning and density reductions; c) density bonus law; and d) prohibiting discrimination against affordable housing. 2 California Legislative Information: http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=2o172o18oSB2 3 California Legislative Information: http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=2o172o18oAB72 Page3of14 70 of 525 Attachment No. 4 Memo Re: Housing Policy Trends • AB 1637 (Gloria)4 would allow housing authorities in the City of San Diego and Santa Clara County to implement a pilot program to develop or finance mixed -income housing projects in which 4o% of the units are limited to households whose income does not exceed 8o% of area median income (AMI). Housing authorities could use unrestricted funds from local sources (e.g., general fund or developer impact or linkage fees) to provide loans to finance units for middle -income households — households with incomes that do not exceed 15o% of AMI. This bill could provide more flexibility to county and city housing authorities, as well as access to broader funding resources, to acquire NOAH multifamily units and preserve zo% as affordable housing. B. Innovation in Housing Typology i. Description of Innovation in Housing Typology Innovative housing typology refers to alternative dwelling types that span a range of options, including:1) low rise/high density, 2) small space design, 3) micro -units (e.g., tiny houses and converted shipping containers), and 4) low carbon/zero net energy usage. They are typically found in highly urbanized areas where building space is limited, but also may be considered in less urbanized areas as alternative housing types for vulnerable individuals such as those exiting homelessness. Such units are individualized, community centered — close to transit, public services, and other amenities — and less costly to develop than conventional affordable housing types. Policies governing innovative housing typology allow remodeling, refurbishing, recycling, repurposing, and reusing existing structures to create affordable housing with higher densities. These policies support creative solutions to produce housing in small, underused spaces (internal or external) that require no new land redevelopment. They also present significant savings from energy efficiency and avoid the need to expand infrastructure. California trends in innovative housing typology include the following: • Shipping container homes. This type of housing consists of modified and re -purposed shipping containers assembled to build a house. Examples include the following: o In zo16, Redondo Beach approved a multigenerational residential project in a single lot called the Lucia Container Home using recycled steel cargo containers. The structure of the shipping containers kept the project costs down. The units also include sustainable features, such as solar power, energy -efficient appliances, and other eco-friendly amenities. (http://luciacontainerhome.com) o A public -benefit corporation FlyawayHomes, LLC is planning to build housing using shipping containers to house homeless individuals. One of the projects has already broken ground in South Los Angeles on a lot located on Colden Avenue. (https://flyawayhomes.org/details) 4 California Legislative Information: http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=zo17zo18oAB1637 Page 4 of 14 71 of 525 Attachment No. 4 Memo Re: Housing Policy Trends o Potter's Lane, a 16-unit housing project in Midway City (an unincorporated area of Orange County), is an energy -efficient, environmentally friendly complex made from more than 5o shipping containers from the Port of Los Angeles. The project is part of an innovative strategy to house homeless veterans faster. The buildings are designed in a U-shape with a center courtyard and offer indoor and outdoor gardens. Potter's Lane is the first complex of its kind in the country. (https://www.afhusa.org/potterslane.php) • Tiny homes. Residential structures under 50o square feet are generally accepted to be called tiny homes. They can be either on wheels or on a foundation. o In the counties of Alameda, Contra Costa, Lake, Mendocino, Napa, Sacramento, and Sonoma, tiny houses on wheels are allowed as "caregiver dwellings" in the backyard of a person who needs assistance. Recently, Fresno approved tiny houses on wheels as backyard cottages without the requirement for the tiny house dweller to serve as a caregiver. ii. Best Practices Pilot Programs • New Jersey State Senator Raymond Lesniak is co -sponsoring a bill in the New Jersey Legislature to establish a three-year Tiny House Pilot Program that would assist residents struggling financially as well as the state's homeless population with acquiring housing through the construction of small, affordable homes. The bill is making its way through the New Jersey legislature. Tiny Homes • Fresno recently changed its zoning and development code to allow small homes on wheels to be used as independent living quarters. Previously, the mobile units could only serve as temporary lodging. • Progressive tiny housing zoning ordinances were approved in Rockledge, Florida in 2o14. A citizen -led initiative prompted the City to consider two appropriate zoning districts for tiny houses: redevelopment mixed use districts (RMUs) and planned unit developments (PUDs). The City also added definitions to distinguish tiny houses on foundations from tiny houses on wheels. Today, both tiny houses on wheels and foundations are legal inside the city limits within two zoning districts that include community use. The Rockledge Tiny House Community will be a pocket neighborhood with homes ranging from 15o to 70o square feet around shared park space. • New York City's first micro apartment building opened to residents in 2o16. The Mayor's Office has relaxed zoning restrictions so that developers can now include apartments under 40o square feet in new developments. iii. Challenges to Innovative Housing Typology • Residential zoning laws and building codes are designed for conventional single-family homes and/or ADUs. Page 5 of 14 72 of 525 Attachment No. 4 Memo Re: Housing Policy Trends • Building codes: Many cities and counties have a minimum size requirement of 1,000 square feet or more for construction of a new home on its own land. Compliance with sanitation/plumbing, fire, and other health and safety codes is also often an issue. • Tiny homes in California can be permitted as ADUs. However, existing laws require that these units must be attached to or on the same parcel as a single-family housing unit. • Home Owners Associations (HOAs) typically disallow innovative housing types and pose litigation risks. • Banks are reluctant to lend for tiny houses and other small, unconventional structures because they are out of compliance with building codes and are perceived to pose a risk. Tiny houses can also cost more per unit than manufactured homes and be subject to legal challenges due to zoning and code violations.5 • RV and mobile home parks sometimes require that a licensed manufacturer build the home. iv. Critiques • Micro -unit or tiny house structures are "better together." They need a critical mass to achieve their promise as viable alternatives to neighborhoods of larger single-family homes. Dropped randomly into acre -lot subdivisions and diminished by surrounding buildings, they look eccentric and experimental. They need small -lot site -planning as an intentional community. • Even as recycled products, stacked shipping containers use much more steel than is needed for housing and require expensive steel reinforcing; they are not energy efficient (lack sufficient insulation); and labor costs for welding versus carpentry a re higher for stacked structures than for wood framed units.6 Converted containers work better as temporary (homeless shelter, emergency, military, worker, special event) housing than as permanent units. • Office -to -residential conversions are a type of innovative housing. However, most repurposing of older commercial structures for housing is happening in and around urban cores with considerable preexisting density. Fewer examples of conversions are found in lower -density submarkets and suburban areas, even though many are plagued by high office vacancy rates and unmarketable office locations. 5 The typical tiny house can cost $50,000 or less per unit. Ronald D. White. "Tiny homes are all the rage. But here's why the market is more bust than boom." Los Angeles Times. Oct. 14, 2016. http://www.latimes.com/business/la-fi-tiny-homes-zoi6io14-snap-story.htmll. 6 Lloyd Alter. "What's wrong with shipping container housing?" TreeHugger. Sept. 8, 2o15. https://www.treehugger.com/sustainable-product-design/whats-wrong-shipping-container-housing-one- architect-says-everything.html. Page 6 of 14 73 of 525 Attachment No. 4 Memo Re: Housing Policy Trends • Tiny houses, once allowed, could lead to a proliferation of randomly sited, substandard housing structures that degrade the neighborhood and fail to meet building/zoning codes. v. Legislative Updates Recent Changes to Law: • In December 2016, the International Code Council approved RB-168-i6, a tiny house index, to be added to the International Residential Code book that is used throughout the United States, allowing people to receive a Certificate of Occupancy for their tiny house. This will make it easier for localities to develop policies authorizing tiny houses.? Pending Legislation: • SB 329 (Leyva): This bill requires all state and local programs designed to facilitate homeownership or residence to include manufactured housing. Specifically, this bill requires every agency managing affordable housing funding to reopen regulations to include manufactured housing with existing operational programs. C. Accessory Dwelling Units (ADUs) i. Description of ADU Policy The State Second Unit Law governing ADUs (effective Januaryi, 2o17) requires local municipalities to develop ordinances and establishes rules for the following: (i) location of accessory dwelling units, (2) use restrictions, (3) approval of ADUs through a ministerial site plan review, and (4) development standards (size, height limits, parking, utilities, internal features such as inclusion of a bathroom, kitchen, closets, etc.). ii. Best Practices • According to the California Department of Housing and Community Development, successful ADU programs are flexible, uncomplicated, and include financial incentives and extensive public education to generate community support. These criteria can be met with loan programs, tax incentives, streamlined permitting, and reduced development fees. • Innovative financing programs are demonstrating the viability of including ADUs in the local affordable housing mix. Products such as the Marin Housing Authority's Residential Rehabilitation Loan (https://www.marinhousing.org/residential-rehab-loan-program.html) provide loans of up to $35,00o that can be used for ADU repairs and compliance. The loans offer 5% interest and a 15-year term. However, they require owners to be very low income (at or below 50% of area median income), which makes many residents ineligible for the loan. • Amnesty programs can help bring illegal units into compliance with state law and municipal code. 7 International Code Council (ICC). "Loft in Tiny House." (Jan. io, 2oi7) https://www.iccsafe.org/forum/intl- building-and-residential-codes-non-structural-issues/loft-in-a-tiny-house Page7of14 74 of 525 Attachment No. 4 Memo Re: Housing Policy Trends iii. Challenges • Generally, there is a lack of public understanding about ADU laws and a lack of federal or state funding to construct, convert, or upgrade ADUs as affordable housing among lower income property owners. • There is also a lack of conventional financing sources for property owners to affordably create ADUs. • There is a lack of incentives for property owners to bring illegal ADUs into compliance with building codes. iv. Critiques • There is a misconception that encouraging ADUs will lead to uncontrolled densities in neighborhoods, with associated problems such as congested parking on streets and in alleyways that will negatively impact property values. • Perception that legal ADUs are costly and therefore feasible mostly among higher income property owners. • Possible misconception that if a Tax Assessor's Office has previously recognized an ADU, the structure automatically is assumed legal by the Planning and Zoning or Building Codes Departments. v. Legislative Updates Recent Changes to State Law • Three bills passed in September 2016, which went into effect January 1, 2017, amend the State Second Unit Law (Section 65852.2) of the Government Code. They are Assembly Bill (AB) 2299 (Bloom), AB 2406 (Thurmond), and Senate Bill 1069 (Wieckowski). AB 2299 (Bloom) and AB 2406 (Thurmond) present opportunities to alleviate the affordable housing shortage and for homeowners hoping to generate rental income through their existing property. For example, AB 24o6 allows for "junior accessory dwelling units" which are small units enclosed within an existing single-family home. (The junior unit must be less than Soo square feet but can have an efficiency kitchen.) This bill prohibits local agencies from requiring additional parking if the project is located near transit and also waives water and sewer connection fees. • Also approved by the legislature, SB 1069 (Wieckowski) requires an ordinance for the creation of ADUs and revises requirements for the approval or disapproval of an ADU application when a local agency has not adopted an ordinance. Pending Legislation • AB 494 (Bloom): Would revise existing legal condition to allow ADUs to be rented separately from the primary residence.' 8 California Legislative Information: http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=zo17zo18oAB494 Page 8 of 14 75 of 525 Attachment No. 4 Memo Re: Housing Policy Trends • SB 229 (Wieckowski): Further clarifies requirements to be featured in local ordinances, including that the ADU is not intended for sale separate from the primary residence and may be rented.9 • SB 431 (Bates)10: For five years following adoption of an updated local ADU ordinance, a building inspector may waive some or all requirements, with exceptions for health and safety requirements, of an applicable building code in respect to previously unpermitted ADUs constructed before January ., 2oo8. An older ADU issued a permit under these provisions would not count toward the local agency's RHNA target for affordable housing. • AB i585 (Bloom)11: Would require every city or county to establish an affordable housing zoning board, and procedures by a developer of an affordable housing project meeting certain criteria could apply with one single application for a CUP or other discretionary permits. D. CEQA Streamlining i. Description of CEQA Streamlining CEQA (California Environmental Quality Act) is a statute that requires state and local agencies to identify the significant environmental impacts of their actions and to avoid or mitigate those impacts, if feasible. Streamlining these regulations could have the following benefits: • Creating a "friendlier" regulatory environment conducive to more affordable housing development • Reducing barriers and approval time to affordable housing production at the local level • Establishing a legal framework and processes to discourage litigation abuse affecting infill and other types of affordable housing projects ii. Best Practices • "By right" permitting. Streamline the approval process by allowing more types of projects with ministerial permits, including site plan review, based on pending "by right" authorization from new state legislation. • Guidelines. Guidelines can provide clarity up front through use of a template or checklist approach identifying what type of documentation is required to study the impacts of a specific project or parcel. 9 California Legislative Information: http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=2o17zoi8oSB229 1° California Legislative Information: http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=2oi72oi8oSB431 1t California Legislative Information: http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=zo17zoi8oAB494 Page 9 of 14 76 of 525 Attachment No. 4 Memo Re: Housing Policy Trends • Program EIRs (PEIRs). Program EIRs can be tiered from by projects within the area they cover. Tiering from a Program EIR allows developers to avoid the timely, costly, and redundant task of creating an additional EIR addressing the same area. Program EIRs are recommended because, unlike Master EIRs, they do not expire in five years. iii. Challenges • Generally, opposition by environmentalists to CEQA reform and streamlining is driven by concerns that modifications, waivers, etc., will "water down" protections provided by the law. Further, outdated general, community, and specific plans present barriers to the use of existing streamlining tools, such as tiering. iv. Critiques • Developers believe CEQA adds time, cost, and uncertainty to infill and mixed -use development projects that discourage investment and invite frivolous lawsuits. • Reforms to CEQA meant to incentivize compact infill development that help reduce GHG emissions and create more sustainable development may only apply to very few projects (e.g., transit -oriented development). Thus, planners and developers may find them ineffective. v. Legislative Updates Pending Legislation • AB 1404 (Berman) expands the CEQA categorical exemption for infill development projects within cities to include projects in unincorporated areas, on sites of no more than five acres substantially surrounded by urban uses. Specifically, this bill: 1) requires infill projects in unincorporated areas to meet the same conditions as infill projects in cities in order to qualify for the categorical exemption and 2) requires the Office of Planning and Research to recommend proposed amendments to the infill categorical exemption, for the purpose of implementing this bill, to the Secretary of the Natural Resources Agency for certification and adoption by January 1, 2o149. • SB 35 (Wiener), Planning and Zoning: This bill would streamline, incentivize and remove local barriers to creating affordable housing projects in all communities, including those failing to meet regional housing needs contained in their Housing Element. • AB 30 (Caballero), Planning and Zoning: This bill would authorize a legislative body of a city or county to identify an area of underperforming infill and direct the planning agency to prepare a specific plan to provide for permitting and accelerated development within that area "by right." • SB 540 (Roth), Workforce Housing Opportunity Zone: This bill would authorize local jurisdictions to establish Workforce Housing Opportunity Zones by preparing an EIR pursuant to CEQA and adopting a specific plan. Local jurisdictions could impose a specific plan fee on permit applications and would be authorized to apply for a no - Page 10 of 14 77 of 525 Attachment No. 4 Memo Re: Housing Policy Trends interest loan from the Office of Planning and Research to support their efforts to develop a specific plan and accompanying El Rs within the zones. For a period of five years after a plan is adopted, the local jurisdictions would be prohibited from denying any development that is proposed within the area of the zone if that development satisfies certain criteria, unless the local government makes certain findings. The bill would provide that, after the zone is adopted, a lead agency is not required to prepare an El R or negative declaration for a housing development that occurs within the zone if specified criteria are met. • AB 1585 (Bloom), Affordable Housing Zoning Board: This bill would establish in each city and county in the state an affordable housing zoning board and procedures by which developers of affordable housing could submit to that board a single application for a comprehensive conditional use or other discretionary permit. E. Inclusionary Zoning i. Description of Inclusionary Zoning Inclusionary zoning increases the inventory of local housing that is affordable to lower income households without concentrating large numbers of affordable housing units in a single project area. To address gentrification, inclusionary zoning also helps ensure that revitalizing neighborhoods retain some mixed -income residents, even as those neighborhoods become more economically prosperous and desirable to higher -wage- earners. ii. Best Practices • Combine inclusionary zoning requirements with incentive zoning, e.g., include a density bonus, waiver, or reduction of fees, as well as amending parking ratio requirements, to offset costs to developers. (Ref. General Plan, Ordinance 22.52.188o - Affordable housing option.) • Determine a realistic percentage (e.g.,15% or zo%) of affordable housing units vis-a-vis market -rate units that will support the financial viability of the project (i.e., achieve a balance between affordable and market rate housing). • Make inclusionary housing policies mandatory, not voluntary. • Require rental projects to provide onsite affordable units in exchange for subsidy or other benefits. iii. Challenges • The perception that mandatory inclusionary zoning programs drive up costs and reduce the supply of market -rate housing, compounding affordability problems. Page 11 of 14 78 of 525 Attachment No. 4 Memo Re: Housing Policy Trends iv. Critiques Arguments opposing inclusionary zoning include: • Opposition from developers and those who claim inclusionary zoning ineffectively uses the market to achieve social aims • Places an unfair burden or financial hardship on developers • Does not address factors that cause high housing costs • Resale controls are economically inefficient • High implementation cost for local governments • Because market -rate homeowners and renters ultimately bear the cost of in -lieu fees, implementing such fees constitutes a tax on homeowners and renters and raises the cost of middle -income housing. • In -lieu fee programs are not effective in producing new affordable housing v. Legislative Updates • Pending legislation (2017): AB i5o5 reverses Palmer/Patterson rulings by authorizing a city or county to establish inclusionary housing requirements as a condition of the development of residential rental units. The bill requires the ordinance to provide alternative means of compliance that may include in -lieu fees, land dedication, off -site construction, or acquisition and rehabilitation of existing units. F. Shared Equity and Community Land Trusts i. Description of Shared Equity and Community Land Trusts Shared equity refers to an affordable housing strategy that emphasizes long-term affordability. A community land trust (CLT) is a shared equity model that promotes long-term affordability by removing the cost of land from the sale price of the home. The buyer leases the land from a CLT, which is a third party (such as a nonprofit) that owns and manages the land. Other roles that a CLT might play include land acquisition and offering home ownership education. Other shared equity models include deed restricted housing with a resale restriction recorded with the property for a given time period (typically 99 years) and limited equity housing cooperatives, in which buyers purchase a share of stock in the cooperative, entitling them to occupy a unit at an affordable rate. ii. Best Practices • A community land trust may receive land or buildings from a local government, or from private donations. • Assembling a CLT advisory committee may result in a more effective CLT by providing community outreach, determining properties of opportunity, and providing counsel on the acquisition process. • With time and a build-up of affordable housing units, a CLT may become financially independent. Page 12 of 14 79 of 525 Attachment No. 4 Memo Re: Housing Policy Trends iii. Challenges • CLTs historically have been hard to scale, as it is difficult to obtain the necessary levels of funding, staffing, and political support. A CLT poses funding challenges. Well -endowed foundations can afford the carrying costs (often for conservation reasons) but smaller groups may not be able to afford these costs. The real estate industry is also already speculative; setting a fixed value on a home may not appeal to advocates. Further, in "hot" markets it is very difficult for CLT groups that lack municipal support or the necessary funding to obtain expensive land. Finally, federal funding continues to dwindle, making it more difficult for CLT groups to establish consistent funding mechanisms. iv. Critiques • Any limitation on appreciation could be seen as an infringement of private property rights. • Shared equity may hinder the market -based ability of lower -income households to build wealth because a limit is placed on the price owner -occupants may charge and the equity they may receive when their property changes hands. Concentrating in one geographical area, especially one with mostly single-family homes, may not provide the density or volume needed to mitigate the affordability crisis. G. Value Capture and Incentive Zoning i. Description of Value Capture and Incentive Zoning Value capture mechanisms associated with affordable housing include fees on developers and such incentives as density bonuses. These are coded into zoning ordinances. Incentive zoning is a program that promotes affordable housing in new residential developments by providing a zoning bonus for the construction or preservation of affordable housing. ii. Best Practices Value capture strategies can be applied to developers or landowners, and they can be applied before or after a public improvement is built. Value capture strategies could be used to generate funding to build low- and moderate -income housing, particularly in underserved communities. • Types of value capture include: Land value tax (LVT) • Tax -increment financing (TIF) Due to recent legislation, there are two new tools (EIFDs and CRIAs) that can be used to capture tax increment revenue as a replacement for redevelopment agencies: i) Enhanced Infrastructure Financing Districts (EIFD) — EIFDs do not have an affordable housing set -aside, but can require the building or rehabilitating of housing units if affordability covenants exist or are instated. If housing is financed under an EIFD, then an inclusionary housing policy is required for deed -restriction of a percentage of units to low -and moderate -income households. A Public Finance Authority (PFA) is established as the governing board of an EIFD — the County could participate as part of the board and recommend that a portion of TIF revenue be dedicated to affordable housing. Page13of14 80 of 525 Attachment No. 4 Memo Re: Housing Policy Trends 2) Community Revitalization and Investment Authorities (CRIA) — requires a 25% set -aside for affordable housing. • Special assessment districts or improvement districts • Infrastructure impact fees (such as traffic or utility fees) • Joint development • Air rights • Exactions, public easements, or other non -possessory interests Incentives to encourage production of affordable housing may include: • Density bonuses and allowance of additional floor space, i.e., floor area ratio (FAR) • Inclusionary Housing Bonus (Inclusionary Housing is addressed within this document as its own separate policy item.) • Waiver of developer impact fees or parking ratio requirements (e.g., forTOD, senior, or special needs affordable housing projects) • Land donations by a public agency for the development or by the developer to the government (city or county) in lieu of inclusion of affordable housing units iii. Legislative Updates • AB 1637 (Gloria) would give public housing authorities in the City of San Diego and Santa Clara County authority to implement a pilot program to develop and finance middle -income housing projects. "Middle -income housing" refers to a residential project with at least 4o% of the units affordable and occupied by persons at or below 8o% of AMI and at least io% of the units affordable to households with incomes not exceeding 15o% of AMI. Eligible housing authorities can provide gap financing as a loan to cover the remaining cost of developing a middle -income housing project after other financing (e.g., bond funds, tax credits, conventional loans, or other private and public funds) has been secured. Page14of14 81 of 525 Attachment No. 5 rdLESAR DEVELOPMENT CONSULTANTS Memo - Housing Terms Glossary To: Carlos Aguirre, Housing and Economic Development Manager, City of National City Brad Raulston, Deputy City Manager, City of National City Alfredo Ybarra, Director Housing & Economic Development, City of National City From: Artemis Spyridonidis, Senior Associate, LDC Date: September 12, 2o17 Re: Housing Terms Glossary Accessory Dwelling Unit (ADU): A second, small residential structure located on the same property site, or attached to, a main single-family home. AFL-CIO: The American Federation of Labor and Congress of Industrial Organizations. This national organization is comprised of 56 national and international labor unions that represent a total of 12.5 million workers.' "By right" permitting: A property owner's use of property and structures in manners consistent with that which is listed as permissible in the zoning district in which his or her property is located. California Employment Development Department (EDD): One of the largest departments of the State of California, EDD connects job seekers to employers with labor needs.2 California Environmental Quality Act (CEQA - pronounced "see-kwa): a statute that requires state and local agencies to identify the significant environmental impacts of ' https://aflcio.org/about 2 http://www.edd.ca.gov/About_EDD/ 82 of 525 1 Attachment No. 5 specific actions (typically related to a project) and to avoid or mitigate those impacts, if feasible. California Housing Finance Agency (CaIHFA — Pronounced "Cal H-F-A): This California state agency supports renters and homebuyers through financing and loan programs. It was established in 1975 as the State of California's affordable housing lender with the aim of producing low interest loans through the sale of tax-exempt bonds.3 CEQA Streamlining: an efficient, simple regulatory and permitting system that makes it easier and less costly to develop housing and other projects while protecting public regulatory goals, as established under the California Environmental Quality Act. Community Land Trust (CLT): a nonprofit corporation that develops and stewards affordable housing, community gardens, civic buildings, commercial spaces and other community assets. Community land trusts can be used for many types of development (including commercial and retail), but are primarily used to ensure long- term housing affordability. Community Revitalization and Investment Authority (CRIA — pronounced "kree-ah"): a tax increment financing tool that allows government entities to invest in communities that have higher -than -average crime and unemployment rates as well as deteriorating, aging, or inadequate infrastructure and buildings. Community Workforce Provision: Used in Project Labor Agreements (PLAs), these provisions require social investment through policies such as targeted hiring and local hiring. Davis -Bacon: The Davis -Bacon Act of 1931 is the federal prevailing wage law. It requires prevailing wage on public works projects, including HUD -funded projects such as Section 8 and Community Development Block Grants.4 Density Bonus: An increase in the number of units above what would normally be allowed under a specific zoning regulation or ordinance, based on the agreement that the bonus density is being granted for a public good, such as affordable housing (e.g., the bonus units will be sold at a lower price). 3 http://www.calhfa.ca.gov/about/index.htm 4 U.S. Department of Housing and Urban Development, Handbook i344.i; Rev. 2. Chapter 2: PREVAILING WAGE REQUIREMENTS IN HUD PROGRAMS. https://portal.hud.gov/hudportal/documents/huddoc?id=13441c2SECH.pdf 2 83 of 525 Attachment No. 5 Enhanced Infrastructure Financing District (EIFD): Authorized under Senate Bill 638, an "EIFD" allows cities or counties to finance public facilities, development, and projects of community -wide significance through a number of financing mechanisms. This mechanism provides broad authority for local agencies to use tax increment or property tax revenues to finance a wide variety of projects, including infrastructure, parks and open space, and affordable housing. Housing Typologies: The various forms of housing, including single family residences and multi -family residences (apartments). "Alternative housing typologies" include non-traditional types of housing, such as accessory dwelling units, small space units, tiny homes, and shipping container homes. Impact Fee (also "Development Impact Fee" or DIF): A fee that is imposed by a local government on a new or proposed development project to pay for all or a portion of the costs of providing public services related to the new development. In -lieu fee program: Aan option by which developers can pay into a municipally administered housing fund as an alternative to complying with an inclusionary zoning ordinance. Inclusionary Zoning: Municipal and county planning ordinances that require a given share of new construction units to be affordable by people with low to moderate incomes. Inclusionary housing ordinances can be mandatory or voluntary and have different set -aside requirements, affordability levels, and control periods. Most inclusionary zoning programs offer developers incentives, such as density bonuses, expedited approval, and fee waivers. Infill Development: The development of vacant or under -used parcels within existing urban areas that are already largely developed. Living Wage: A living wage is the hourly rate at which a person must be paid in order to support their family as the sole breadwinner working one full-time job. In San Diego County, the living wage for one adult supporting one child is $27.72; for one adult supporting two children, it is $32.53.5 Local Hiring: Programs that require direct hiring of residents of a specific local area. Master Project Labor Agreement: Also known as a "Master Labor Agreement," these agreements relate to certain geographic areas, such as an entire jurisdiction. Mitigated Negative Declaration (MND): A "Negative Declaration" is a written statement describing the reasons for which a project will not have a significant 5 http://Iivingwage.mit.edu/counties/o6o73 84 of 525 3 Attachment No. 5 effect on the environment and does not require the preparation of an environmental impact report.6 Naturally Occurring Affordable Housing (NOAH): Rental homes that are affordable without public subsidy. Prevailing Wage: California's Prevailing Wage law was passed in the 193os to ensure that workers on public projects were paid at prevailing market rates. Prevailing wage is calculated by taking into account the rate at which a majority of workers practicing a particular craft are paid.? Project Labor Agreements (PLA): a pre -hire contract entered into between a project manager, contractors, and unions. The terms of the PLA set wage rates and benefits, require alternative dispute resolution, and prohibit strikes. Project Stabilization Agreement (PSA): An agreement to abide by union standards relating to hiring and benefits, and which prohibits work disruptions such as strikes. RDA Boomerang Funds: An abbreviated form of "Redevelopment Agency Boomerang Funds," these are monies that are reimbursed from the State of California to local governments that had established Redevelopment Agencies (RDAs) and collected tax increment revenues that were submitted to the State, prior to the termination of the Redevelopment Act in 2012. RHNA ("Reena"): Regional Housing Needs Assessment assigned by SANDAG to jurisdictions within San Diego County. This assessment informs jurisdictions of the number of units they must build at different income levels. San Diego County Building and Construction Trades Council, AFL-CIO: A San Diego County council of 22-member construction and trade unions.' Streamline permitting: an efficient, simple, and streamlined regulatory and permitting system that makes it easier and less costly to develop housing and other projects while protecting public regulatory goals, as established under CEQA. Targeted Hiring: Programs that require hiring target groups, such as minorities, women, or low-income workers. Tax Increment: Revenues obtained by local municipalities through an assessment on private property, i.e., property tax. 6 (DEQA Statutes Section 21064). 7 http://www.dir.ca.gov/OPRL/faq_prevailingwage.html#q2 8 http://www.sdbuildingtrades.com/ 4 85 of 525 Attachment No. 5 Transit priority projects (TPPs): Residential, employment, and mixed use projects located within % mile of a light rail station or high frequency bus stop. Tiering: a permitting approach by which, rather than preparing a single environmental impact statement (EIS) as the basis for approving the entire project, an agency conducts two or more rounds - or "tiers" - of environmental review. In Tier 1, the agency typically prepares an EIS that analyzes a program or large project on a broad scale. In Tier 2, the agency prepares one or more additional documents, which examine individual projects or sections in greater detail. Tiny Home: a home of 40o square feet or less, either on wheels or on a foundation. A distinction is often made between small houses (between 40o and 1,000 square feet) and tiny houses (less than 40o square feet with some as small as 8o square feet). WMBE: Women and Minority Business Enterprise 5 86 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 87 The following page(s) contain the backup material for Agenda Item: Presentation on Sewer Rate Study and proposed rate increases. (Engineering/Public Works) **Companion Item #25** 87 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Presentation on Sewer Rate Study and proposed rate increases PREPARED BY: Kuna Muthusamy, Assistant Director DEPARTMENT: Engineering/Public Works PHONE. 619-336-4383 APPROVED BY: AC This is a presentation summarizing the findings of the Sewer Rate Study. This presentation is a companion item to "New Business" item titled, "Report on the Sewer Rate Study and proposed rate increases." FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: I 1 FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: N/A BOARD 1 COMMISSION RECOMMENDATION: NIA ATTACHMENTS: 1. PowerPoint slides 88 of 525 City of National City Sewer Rate Study City Council Meeting October 3, 2017 89 of 525 Background • Last National City Rate Study: 2003 • Adopted rates for FY 2003 through Fir 2006 • No sewer service charge adjustments since 2006 • FY 2018 rates are the same as FY 2006 rates for ail users Average Metro FY 2018 Monthly Rate: $50.82/month National City 38% lower than Average Metro FY 2018 Rate FY 2010 San Diego Administrative Protocol stabilized Metro rates for eight years OM Sal P1 SO Ian P1 Sewerliale Com pmioa for Paricipmengftencies i't San Diego Nebo Sys. Nolsalossa malls af..ileraid Nit marrillm 1 40. Sig cf4 . 'Wider afi nE®iamef lice Ifir of 0 ,*000. oft 90 of 525 What Has Changed? • City of San Diego began planning for the Pure Water Program in FY 2015 ° San Diego provided Pure Water Program (PWP) planning, design, and construction costs through FY 2022 for Phase 1 of PWP in September 2016 o Many Participating Agencies (PA's) prepared updated rate cases in FY 2017 in response to projected sharp increased costs for PWP o Metro annual charges to PA's increased above Protocol starting in FY 2018 (current fiscal year) o San Diego using only pay-as-you-go from PWP CIP until FY 2020, causing step increases in annual PA costs • City of National City Sewer Master Plan (2011) identified average of $2 million in annual capital needs over the next 10 years. • CIP Needs Assessment presentation made to City Council on Feb 28th, 2017 91 of 525 Current Metro Projections FY 18 FY 19 FY20 FY21 FY22 FY23 Metro Low $5, 520, 749 $6,187.843 $ 8,553,739 $ 7, 662, 714 $5, 511, 370 $ 5, 786, 939 Metro High $6,101,880 $6,539195 $10,264,486 $9,195,257 $6,613,645 $6,944,327 Difference $ 581,131 $ 651,352 $ 1,710,747 $1, 532, 543 $1,102,275 $1,157, 389 % Increase 11% 11% 20% 20% 20% 20% 92 of 525 Sewer Service Furid Revenue Projections vs Expenses — Without Rate Increases 20,000,000 15,000,000 10,000,000 5,000.000 0 -5,000,00D -10,000,000 Sewer Service Fund Revenue Projections vs Expenses Without Rate Increases (FY 2018 - FY 2023) FY18 FY15 FY20 FY21 FY23 tmir: Sewage Transport and Treatment (MWWD) National Oty Maintenance & °peratfons National (Ay Sewer GIP Projected Revenues (without rate Increases) —Sewer Fund 08lance (without rate increases) 93 of 525 Sewer Service Fund Revenue Projections vs Expenses — With Proposed Rate Increases 18,000,000 16,000,000 14,000,000 12,000,000 10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 0 Sewer Service Fund Revenue Projections vs Expenses With Rate Increases (FY 2018 - FY 2023) FY113 FY19 FYZO FY21 PY22 Sewage Transport and Treatment (MWWD] National City Maintenance&Operations National City Sewer Op —Projected Revenues (with rate Increases) --Sewer Fund Balance (with rate increases) FY23 94 of 525 Recommended Reserve Policy Operations/Cash Flow Reserve Metro Cash Flow Reserve Emergency/Natural Disaster Reserve Capital Expansion and Replacement Reserves The operating reserve provides working capital for -day-to-day operations and helps to absorb fluctuations in cash balances due to routine difference in revenue and expense cycles. A 50% cash flow reserve is recommended. It is recommended that the City establish a Metro Cash Flow Reserve in this amount of $4.4 millionto be used to offset unplanned cost increases Frome the Purre Water Program. Recent historic events such as Hurricanes Harvey & Irma have only emphasized the need for an agency to have additional monies set aside to pay for unforeseen events. It is recommended that this reserve be established at a minimum of 60-days of operating cash. The expansion and replacement reserves provides funding for replacement, repair, or rehabilitation of wastewater infrastructure due to routine capital project planning or in the event of catastrophic failure of a major system asset. 95 of 525 Sewer Service Fund With EstabUshment of Reserves — With Proposed Rate Increases 15,000,000 10,000,000 5,000,000 0 (5,000,000) (10,000,000) FY18 -"""- Sevier Service Fund with Establishment of Reserves With Rate increases (FY 2018 - FY 2023) FY19 moo Projected Revenues (with rate Increases) Recommended Reserv9s Use / Replacenent of Reserves FY20 FY21 1 1 FY22 FY23 »6!TofalExpenses -Sewer Fund Baiance (after establishment of reserves) 96 of 525 Rate Study Process Revenue Requirement Analysis Cost of service Analysis Rate Design Analysis Compares the sources of funds (revenue} to the expenses of the utility to determine the overall rate adjustment required Allocates the revenue requirements to the various customer classes of service in a "fair and equitable manner Considers both the level and structure of the rate design to collect the target level of service 97 of 525 Long Range Financial Plan: Establishment & Use of Reserves 1 1 22 Totn1Flevroue 13 5 6,957,939.32 $ 7,881,470.71 $ 8,696,609.30 $ 9,521,184.34 $10,409,369.16 $ 11, 43,792_61 Total Esqsastars $ 7,473,749.71 _ $ 10,221,478.71 5 12,671,609.30 $11.866284-34 $ 9,794,369.16 $ 10,148,792.61 Fund Balance Prior ♦o Reserves $15,014,450.61 $ 12,674,450.61 $ 4.669.450.51 $ 6,554,450.61 $ 6,969,450.61 $ 8,264,450.61 , Romeo Towels: 0'r,eretsans%,-.9sTA Flows $ 3,736,574.56 $ 4,1101739,36 $ 5,336A/4.65 $ 4,933,092_17 $3„897,184.58 $ 4,074,39$ 31 r ..-11.0 Cas?M T Tat-, $ 4,40 ,000 00 $ 4,400,000.00' $ 4,400,00000 $ 4,400„000.00 $ 4,400,000.90 $ $,400,000.00 E merge cy,/t m_ 051',tear $ 1,245,624 95 $ 1,370,246.45 $ 1,778,601.55 $ 1,644,364.06 $ 1,299,061. 53 $ 1,3=8,132.1.0 Capael Eh -penmen Raseive $ 1,000,000.00 $ 1,000,0aoo' $ 1000,000.00 $ 1,000,000.00 0,0 $ 1,000,000 $ P,000,000.00 . Capita) Fteserve----------- S - 1. . S - 3,ouccoomoo $ 7 000pC4omou $ 0 $ 1,000,,E 00 $ 1,1100,000L00 Teat $11,382,499,81 $ 11.880,985 81 $ 13514,406.20 .1,000,000. 5$12.977,456 23 511,596,246.11 5 11,832,528.41 Fund Balance Over/(Unde)rTasget $ 3,631,950.80 S 793,464.80 $ (4.+814,955.59) $ (6.6623,005.62) $ (4,626,79.5.50) $ (3,568,077.80) s. of fsrw $ S1.6r1 o.39) $ (Z 34eo0 oo) $ ek9m.4,o $(2,3464000 0) $ 61.5,000,00 $ sousioolux$ Footnote: The (Use)/Replacement of Reserves — A negative value indicates use of reserves required to offset total expenses. A positive value indicates replenishment of reserves based on revenues exceeding expenses. 98 of 525 Cost of Service & date Design National City's rate structure meets all industry standards and Federal and State regulations " No rate structure charges required or recommended U Only rate component change due to water conservation • Residential EDU decreased from 280 gpd to 240 gpd to equal Metro flow • 240 gpd is Metro PA standard gallonage for residential EDU 4 Used by County of San Diego and City of Lemon Grove 99 of 525 Rate Comparison: Current vs. Proposed +9.8% Revenue Requirement Per Year User Class Current 2019 2020 2021 2022 2023 Residential: $ Per Month Single Family $ 32,08 $ 35.23 $ 38.68 $ 42.47 $ 46.61 $ 51.18 Multi-family/Condo $ 25.00 $ 27.48 $ 30.17 $ 33.13 $ 36.36 $ 39.92 Mobile Homes $ 19.50 $ 21.49 $ 23.60 $ 25.91 $ 28.43 $ 31.22 Non -Residential: $ Per HCF Commercial - Low $ 3.03 $ 3.61 $ 3.97 L $ 4.35 $ 4.78 $ 5.25 Commercial - Medium Low $ 3.12 $ 3.89 $ 4.33 $ 4.73 $ 5.13 $ 5.66 Commercial - Medium $ 4.09 $ 4.69 $ 5.37 $ 5.76 $ 6.13 $ 6.80 Commercial - Medium High $ 4.90 $ 5.48 $ 6.40 $ 6.80 $ 7.12 $ 7.95 Commercial - High $ 6.12 $ 6.82 $ 8.14 $ 8.55 $ 8.79 $ 9.88 100 of 525 Components of FY2019 Single Family Rate Components of FY 2109 Single Family Monthly Rate Jsan Diego Metro National City CIP NC Collection System •Use ofReserves 101 of 525 FY 2019 National City Single Family Rate vs. FY 2018 Metro Agencies seo $ea $70 $40 $30 $20 $10 Monthly Sewer Rate Comparison for Participating Agencies in San Diego Metro System Based on 7 units of water and 314 inch Residential meters'rre for sewer billings established by January 201E1 0 J Flat Sewer Rate Water Consumption Based Sewer Rate 0 Nationals Rate ce P lig' 102 of 525 Questions? Note: This presentation is a companion item to "New Business" item titled, "Report on the Sewer Rate Study and proposed rate increases." 103 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 104 The following page(s) contain the backup material for Agenda Item: Update on Paradise Creek Educational Park (Jim Neri, Neri Landscape Architecture). (Engineering/Public Works) 104 of 525 Item 10/3/2017 UPDATE ON PARADISE CREEK EDUCATIONAL PARK (JIM NERI, NERI LANDSCAPE ARCHITECTURE) (ENGINEERING/PUBLIC WORKS) 105 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 106 The following page(s) contain the backup material for Agenda Item: Interviews and Appointments - Current Vacancies & Expired Terms / Veterans and Military Families Advisory Committee. (City Clerk) 106 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 03, 2017 AGENDA ITEM NO. ITEM TITLE: Interviews and Appointments: Current Vacancies & Expired Terms / Veterans and Military Families Advisory Committee. (City Clerk) PREPARED BY: ;Michael R. Della DEPARTMENT: City Clerk PHONE: ;619-336-4226 APPROVED BY: EXPLANATION: See attached FINANCIAL STATEMENT: ACCOUNT NO. ENVIRONMENTAL REVIEW: ORDINANCE: INTRODUCTION: APPROVED: APPROVED: FINAL ADOPTION: I STAFF RECOMMENDATION: Re -appoint and appoint as desired BOARD / COMMISSION RECOMMENDATION: Finance MIS ATTACHMENTS: ;Explanation Working Group Report & Recommendation on the creation of Military Advisory Committee Ordinance 2017-2432 City Council Minutes February 21, 2017 Applications 107 of 525 BOARDS & COMMISSIONS — CURRENT VACANCIES AND EXPIRED TERMS October 03, 2017 CIVIL SERVICE COMMISSION (Appointing Authority: City Council) There is one expiring term on the Civil Service Commission (Fred Puhn). The Incumbent has requested re -appointment. There are no new applications on file. Name Interviewed Fred Puhn Incumbent LIBRARY BOARD OF TRUSTEES (Appointing Authority: Mayor subject to confirmation by City Council) There is one vacancy on the Library Board. One new application (Lance Mirkin) has was interviewed. Name Interviewed Lance Mirkin Yes PARKS, RECREATION & SENIOR CITIZENS ADVISORY BOARD (PRSCAB) (Appointing Authority: Mayor subject to confirmation by City Council) There are three (3) expiring terms (Roy Cesena, Yvonne Cordoba and Jose Rodriguez) on the PRSCAB). Roy Cesena and Yvone Cordoba desire to be reappointed. Jose Rodriguez has not yet indicated his desire. There are no new applicants. Note: Per Council Policy #107, Mr. Cesena and Ms. Cordoba will need a 4/5 vote for reappointment. Name Interviewed Roy Cesena Incumbent Yvonne Cordoba Incumbent Jose Rodriguez Incumbent PUBLIC ART COMMITTEE (Appointing Authority: Mayor subject to confirmation by City Council) There is one expiring term (Claudia Torres) on the Public Art Committee. The incumbent has not yet indicated her desire to be re -appointed. There are no new applicants. Note: Per Council Policy #107, Ms. Torres will need a 4/5 vote for reappointment. Name Interviewed Claudia Torres Incumbent TRAFFIC SAFETY COMMITTEE (Appointing Authority: Mayor subject to confirmation by City Council) There is one (1) expiring term (Ryan Whipple) on the Traffic Safety Committee and he has indicated a desire to be re -appointed. Name Interviewed Ryan Whipple Incumbent 108 of 525 BOARDS & COMMISSIONS — VETERANS AND MILITARY FAMILIES ADVISORY COMMITTEE October 03, 2017 EXPLANATION Earlier this year the City Council adopted Ordinance 2017-2432 establishing an eleven member (11) Veterans and Military Families Advisory Committee. Beginning in March of this year, ten (10) individuals have submitted applications for appointment to the committee. All have been interviewed. At the Council meeting of September 19th additional background information on the establishment of the Veterans Advisory Committee was requested. Attached you will find the: • City Manager Working Group Report and Recommendation on the Creation of a Military Advisory Committee • Ordinance 2017-2432 creating the Veterans and Military Families Advisory Committee unanimously adopted on February 21, 2017. According to Ordinance 2017-2432 members of the committee may be residents and non-residents. It was the intent of the Working Group involved in the establishment of the committee to appoint residents and/or individuals with military, veteran, and professional ties to National City in as many of the following categories as possible, including: • Veteran resident of National City • Active duty service member • Family member or spouse of active duty service member • Family fleet representative (Naval Base San Diego) • Veteran -based service organization • Sweetwater High School ROTC student • San Diego County Supervisor Veterans Advisory Council (VAC) rep. • 2-1-1 San Diego representative • Social Services representative • Faith -Based community representative • National City business community representative 109 of 525 RECOMMENDATION It is recommended that action be taken to move forward with appointments to the Committee. Applicants for the Veterans and Military Families Advisory Committee Name Interviewed Bert Andrade Yes Victor Barajas Yes Shirley Ferrill Yes Darnisha Hunter Yes Mike Judd Yes Mona S. Minton Yes Stepheni Norton Yes Luz Ramirez Yes Vilavanh Sanginthirath Yes Meg Storer Yes 110 of 525 City Manager Working Group Report and Recommendation on the Creation a Military Advisory Committee Purpose At the March 1, 2016 regular City Council meeting, the City Council approved the City Manager's recommendation to form a working group whose task was to develop a recommendation to the City Council to form a military advisory committee, and if so, its purpose and responsibilities. The working group has concluded its meetings. As the staff report outlines, the working group recommends the City Council form a committee of volunteers charged with advising the City Council on matters related to the support of our veterans and military community, make recommendations to the City Council with respect to veterans and military service member related issues, ceremonies, and other activities that occur within National City, and provide a forum for discussion of issues relating to veterans and military families. The Committee would provide advice and assistance to National City residents regarding resources available for veterans and military families and act as a conduit of communication and coordination between the local veteran and military community, and the City of National City. Background National City shares a unique relationship with the U.S. Military, stretching back decades. This is due, in large part, to housing a major portion of Naval Base San Diego along the City's waterfront. We take pride in honoring National City's service members and hometown heroes. Some of the events the City participates in to recognize and honor our veterans and military personnel include: • Fallen heroes am remembered at the Kimball Bowl War Memorial, which is fully dressed on major holidays. • National City's "Armed Services Recognition Program" honors hometown heroes, past and present. • The National City Chamber of Commerce honors our military with the annual City co -sponsored "Salute to Navy" luncheon. • Las Vista Memorial Park's annual Memorial Day event honors the men and women who died while serving in the United States Armed Forces. • The County of San Diego's Office of Military & Veteran's Affairs staffed a resource table this year at National City's "National Night Out Against Crime" event. • For the past three years, the National City Fire Department and the National City Firefighters Local 2744 have partnered with the "Wounded Warrior Project" to support their annual "Soldier Bicycle Ride and Dinner". 1 111 of 525 The "Soldier Ride" is three days of physical and emotional support and healing for the participants. Approxirnately 60-70 wounded warriors attend the ride from throughout the Nation. In addition to hosting dinner at Fire Station 34, NCFD further assists the WWP by providing volunteer EMT's/Paramedics to ride with the warriors and provide immediate first aid in the event of accident or injury. Many of the participants say the dinner event at the Fire Station is the highlight of the Soldier Ride! It is a wonderful opportunity for the Firefighters and members of the community to spend time with our military veterans who have sacrificed so much for our country. • National City held a War Memorial Unveiling and Rededication Ceremony in December 2015. The refurbished War Memorial lives on as a tribute to our fallen heroes. Other improvements to the Memorial complex included new concrete seat walls, public safety cameras, and street and decorative lighting. A pentagon dedicated to the five armed branches of the U.S. Military, a Military Wall of Honor, and hand -made mosaic benches, pay further tribute to our veterans. • National City is honored to employ several military reservists. The Military and Veterans Code requires that we provide full compensation to an employee for the first 30 days of active duty assignment, if the person has been in our employ for a period of not less than one year. Under the City's military policy, to help alleviate a financial hardship, for 6-months following that initial 30 days, we supplement the military pay if it is Tess than the employee's City wages. This is another commitment to our military reservists. In addition, National City is home to several veterans and military organizations, most notably, the Thomas H. Crosby, Jr. VFW Post 4630 and the Larry E. Bennett American Legion Post 255. Several years ago, National City established an informal military advisory committee in partnership with the local VFW, American Legion, and other organizations to honor and recognize our veterans and military personnel. The committee was subsequently disbanded due to staffing and budgetary constraints. Given National City's long history with the military, the City Council has continued to discuss opportunities on how to strengthen ties with the military community. Forming a military advisory committee has been discussed over the last couple of years. • September 2013 - the City Council discussed forming a military advisory committee to provide a collaborative forum on events and issues of interest to active duty service members and retired military veterans. 112 of 525 While the City Council did not take action on the item, Councilmembers Rios and Sotelo-Solis offered to work together to refine the purpose and framework for consideration at a later date. • April 2014 - the City Council established the War Memorial Ad -Hoc Committee with representatives from the veteran community, city boards & commissions, and city staff. The committee's purpose was to redesign National City's War Memorial to ensure safety of the plaques and enhance critical features into the "D" Avenue community corridor project. Consistent with the nature of an ad -hoc committee, once the project was completed, the committee disbanded. • February 2016 - Councilmember Rios requested that staff return with a report on the formation of a military advisory committee. In March, 2016 the City Council directed the City Manager to form a working group to develop a recommendation to form a committee, including purpose, responsibility, membership, meeting times and location, and duration of existence. City Manager's Working Group The working group met on six occasions between April and September, 2016. The membership was comprised of experts in military and veteran affairs from the National City community and San Diego region, including military veterans, reservists, regional partners, and city staff. National City is home to the County of San Diego's newly opened Office of Military & Veterans Affairs, which provided the opportunity for key County personnel to also serve on the working group. Committee Membership: • David Bavencoff — US Coast Guard Reserves; Lieutenant, National City Police Department Shirley Ferrill — Adjutant for American Legion Post 434 • Ray Flores — County of San Diego, Office of Military & Veterans Affairs, and Executive Director, San Diego Veterans Coalition • Gerald Forand — CWO3 Marine Corps JROTC, Sweetwater High School; Military Veteran • Sara Krueger - Veterans Services Representative, Office of Military Veterans Affairs Health and Human Services Agency • Wil Quintong - Director, County of San Diego, Office of Military & Veterans Affairs • Meg Storer - Vice President of Community and Government Relations, 211 San Diego • Armando Telles — US Marine Corps Veteran, and advocate for veterans' and military families • Bili York - Executive Vice President, 211 San Diego 3 113 of 525 City staff included Management Analyst Lauren Maxilom, Deputy City Clerk/Executive Secretary Esther Clemente, and City Manager Leslie Deese. Working Group Recommendations The working group's expertise and insight allowed for a robust and passionate dialogue on many issues impacting veterans, military personnel, and their families. While there are many resources available, there is not an avenue available through the City itself. The proposed Committee would help fill that void. It is important to note that the proposed Committee would not provide direct services but rather would serve as a conduit to guide to the appropriate resource(s). Equally important to the working group members was the opportunity for National City to honor our military men and women through community events, ceremonies, and other activities. To assist the City Council in formulating a decision, the working group provides the following recommendations on proposed Committee goals and parameters, including purpose/mission, responsibility, membership, and duration of existence. Committee Name: Veterans & Military Families Advisory Committee Purpose: The National City Veterans and Military Families Advisory Committee would serve in an advisory capacity to the City Council of the City of National City on matters related to the support of our veterans and military community. The Committee would make recommendations to the City Council with respect to veterans and military service member related issues, ceremonies, and other activities that occur within National City. Committee meetings would provide a forum for discussion of issues relating to veterans and military families. The Committee would provide advice and assistance to National City residents regarding resources available for veterans, military personnel and their families. The Committee would act as a conduit of communication and coordination between the local veteran and military community, and the City of National City. Responsibilities may include, providing recommendations to the City Council on issues of interest to veterans, military personnel, and their families. Providing a forum to discuss and help resolve issues, encouraging and promoting awareness, planning and assisting the City with planning of events honoring the heritage of our veterans and military community to establish and promote positive relations within the City, and serve as a liaison between the City of National City and community partners. Goals: Partnership Education Awareness Connections Engagement 114 of 525 Membership: The working group recommends up to an eleven (11) member committee to be composed of representatives from the National City community and regional partners. The intent would be to appoint residents and/or individuals with military, veteran, and professional ties to National City in as many of the categories as possible, including: 1. Veteran resident of National City 2. Active duty service member 3. Family member or spouse of active duty service member 4. Family fleet representative (Naval Base San Diego) 5. Veteran -based service organization 6. Sweetwater High School ROTC student 7. San Diego County Supervisor Veterans Advisory Council (VAC) rep, 8. 2-1-1 San Diego representative 9. Social Services representative 10. Faith -Based community representative 11. National City business community representative Meetings: Committee meeting should be held, at minimum, on a quarterly basis; however, this should be determined by City Council and committee membership based on anticipated workload and need. Duration of Committee Existence: Indefinite. Local and Regional Resources Working in conjunction with local and regional service providers, the Committee would act as liaison to National City veterans and their families to connect them with the assistance they are seeking and the services and benefits they may be eligible for, including: • San Diego County Office of Military & Veterans Affairs, South Region MVRC, 401 Mile of Cars Way Suite 300, National City, CA 91950 (619) 731-3348 www.sandiegocountv.govlhhsa The Office of Military & Veterans Affairs provides professional services for military veterans and their dependents and survivors who are entitled to benefits from the United States Department of Veterans Affairs, the State of California, and other agencies as applicable. • 2-1-1 San Diego, P.O. Box 420039, San Diego, CA 92142 (858) 300-1211 or 2-1-1 www.211sandiego.org 2-1-1 San Diego's Military and Veteran Services Program is lead and operated all by veterans, from the Executive Vice President of 2-1-1 to the interns. The program connects San Diego's veterans, active duty military, 5 115 of 525 reservists, national guards, and their families to available services. San Diego County District Attorney CARE Center - 12 N Euclid, National City, CA 91950 (619) 356-4489 www.sdcarecenter.orq The Veterans Empowerment Program helps veterans reentering society from incarceration as well as address issues of all veteran populations returning to San Diego County. • Vet -Connect Program - Provides veterans the ability to come into a designated County or City Library for a virtual face-to-face meeting with a Veterans Services Representative. The Vet -Connect is currently active in the Julian, Poway, and Alpine libraries. • Library Outreach Program — The County of San Diego's library outreach program provides an opportunity for Veterans to meet with an accredited County Veteran Services Representative at a designated County or City Library. The following libraries are currently designated for this veteran outreach program: Chula Vista, El Cajon, Downtown Central, Rancho San Diego, Ramona, and Pine Valley. • Helmets to Hardhats — www.helmetstohardhats.orq A National, nonprofit program that connects National Guard, Reserve, retired and transitioning active -duty military service members with skilled training and quality career opportunities in the construction industry. • San Diego Association of Governments (SANDAG) - San Diego Regional Military Working Group, 401 B Street, Suite 800, San Diego, CA 92101 (619) 699-1900 www.sandaq.orq Provides a collaborative forum for the various branches of the military and SANDAG to address areas of mutual interest, including growth management, habitat, transportation, regional growth, housing, water, energy, and other related topics. • U.S. Department of Veterans Affairs, San Diego Regional Benefit Office, 8810 Rio San Diego Drive, San Diego, CA 92108 (800) 827-1000 www.va.gov For more information about community resources for veterans, active duty military and their families, please dial 2-1-1 or go to www.211sandiego.orq to access programs such as "Courage to Call" or "Vets' Community Connections". Conclusion: The working group recommends the City Council create a veterans and military family advisory committee given National City's long history and relationship with 6 116 of 525 the military, and our proximity to Naval Base San Diego and other military installations, and most importantly, that National City is home to many active duty and retired military personnel, veterans, and their families, . National City currently has seven established boards and commission whose members are appointed by the Mayor and City Council. Boards, commissions, and committees are supported by city staff and operate in accordance with Title 16 of the National City Municipal Code, the Ralph M. Brown Act, Rosenberg's Rules of Order, and City Council Policy #107. Staff Recommendation: Staff supports the working group's recommendation that the City Council create a military advisory committee. 7 117 of 525 ORDINANCE NO. 2017 — 2432 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AMENDING TITLE 1 6 OF THE NATIONAL CITY MUNICIPAL CODE BY RENUMBERING CHAPTER 16.09 TO CHAPTER 16.10 AND ADDING A NEW CHAPTER 16.09 ESTABLISHING A VETERANS AND MILITARY FAMILIES ADVISORY COMMITTEE WHEREAS, at the March 1, 2016 regular City Council meeting, the City Council approved the City Manager's recommendation to form a working group whose task was to develop a recommendation to the City Council to form a military advisory committee and its purpose and responsibilities; and WHEREAS, the working group presented a report to the City Council at the October 4, 2016 City Council meeting regarding the creation of a Veterans and Military Families Advisory Committee (the "Committee") made up of volunteers charged with advising the City Council on matters related to the support of our veterans and military community, making recommendations to the City Council with respect to veterans and military service member related issues, ceremonies, and other activities that occur within National City, and providing a forum for discussion of issues relating to veterans and military families; and WHEREAS, the Committee would also provide advice and assistance to National City residents regarding resources available for veterans and military families, and act as a conduit of communication and coordination between the local veteran and military community, and the City of National City. NOW THEREFORE, the City Council of the City of National City does ordain as follows: Section 1. Title 16 of the National City Municipal Code is amended by amending the Table of Contents to read as follows: Chapters: 16.01 16.02 16.03 16.04 16.05 16.06 16.07 16.08 16.09 16.10 TITLE 16 City Boards, Commissions, and Committees Civil Service Commission Committee on Housing and Community Development Community and Police Relations Commission Park, Recreation, and Senior Citizen's Commission Planning Commission Public Art Committee Traffic Safety Committee Veterans and Military Families Advisory Committee Provisions applicable to all Boards, Commissions, and Committees 118 of 525 Section 2. reads as follows: Sections: Chapter 16.09 is added to Title 16 of the National City Municipal Code to 16.09 VETERANS AND MILITARY FAMILIES ADVISORY COMMITTEE 16.09.010 Created 16.09.020 Purpose 16.09.030 Term — Vacancy 16.09.040 Chair — Offices — Staff support 16.09.050 Bylaws and operating procedures 16.09.060 Meetings — Functions and authority 16.09.070 Residency requirement — Compensation 16.09.010 Created. Pursuant to the authority granted by Sections 36505 — 36506 of the California Government Code, there is hereby created a veterans and military families advisory committee, consisting of eleven (11) members to be appointed by the mayor subject to confirmation by the city council, and serving at the pleasure of the mayor and city council. 16.09.020 Purpose. The National City Veterans and Military Families Advisory Committee serves in an advisory capacity to the City Council of the City of National City on matters related to the support of our veterans and military community. The Committee makes recommendations to the City Council with respect to veterans and military service member - related issues, ceremonies, and other activities that occur within National City. Committee meetings provide a forum for discussion of issues relating to veterans and military families. The Committee provides advice and assistance to National City residents regarding resources available for veterans, military personnel, and their families. The Committee acts as a conduit of communication and coordination between the local veteran and military community, and the City of National City. The Committee's responsibilities may include providing recommendations to the City Council on issues of interest to veterans, military personnel, and their families; providing a forum to discuss and help resolve issues, encouraging and promoting awareness, planning and assisting the City with planning of events honoring the heritage of our veterans and military community to establish and promote positive relations within the City; and serving as a liaison between the City of National City and community partners. 16.09.020 Term — Vacancy. A. The members of the veterans and military families advisory committee shall be appointed for staggered terms of four (4) years. Ordinance No. 2017-2432 2 Veterans and Military Families Adding NCMC Chapter 16.09 Advisory Committee 119 of 525 B. If a vacancy occurs other than by expiration of a term, such vacancy shall be filled by appointment for the unexpired portion of said term in the same manner as original appointments are made. C. In the event of expiration of a term, the member of the committee whose term has expired shall continue to serve until their successor is appointed and sworn into office. 16.09.030 Chair — Offices — Staff support. The veterans and military families advisory committee shall annually elect its chair from among the appointed members and, subject to the provisions of law, may create and fill such other offices as it deems necessary. The city council shall provide such staff assistance as the council deems appropriate. 16.09.040 Bylaws and operating procedures. The veterans and military families advisory committee may adopt bylaws and operating procedures from time to time, provided that if any provision of such bylaws or operating procedures conflicts with this Chapter 16.09, this Chapter shall prevail. The bylaws shall contain provisions relating to attendance of committee members. 16.09.050 Meetinqs—Functions and authority. A. The veterans and military families advisory committee shall hold at least one regular meeting each quarter, and shall keep a record of its resolutions, transactions, findings, and determinations, which record shall be a public record unless the city attorney determines otherwise. Any regular meeting may be dispensed with by a majority vote of the committee. Special meetings as are necessary may be called by the chair or a majority of the members of the committee after at least twenty-four hours' written notice has been posted and served upon the members of the committee. All meetings shall be conducted in compliance with the Ralph M. Brown Act (the "Open Meeting Law", California Government Code Section 54950 et seq.). B. The committee shall investigate, consider, and act upon all matters referred to it by appropriate public officials or agencies or private citizens concerning members of the military, military veterans, and their families residing in the city; and conduct such investigations and prepare such reports as it is directed so to do by the city council; conduct investigations and prepare such reports as it deems appropriate upon request of responsible private citizens or organizations. C. A quorum to conduct business consists of a majority of the members of the committee. D. A majority of a quorum is necessary to act upon a matter. 16.09.060 Residency requirement —Compensation. The members of the veterans and military families advisory committee may be residents or non-residents of the city and need not be electors of the city. Committee members shall serve without compensation, except that the city council may from time to time pay such expenses of committee members that are incurred during the conduct of committee business as the council deems appropriate. [Signature Page to Follow] Ordinance No. 2017-2432 3 Veterans and Military Families Adding NCMC Chapter 16.09 Advisory Committee 120 of 525 PASSED and ADOPTED this 21st day of February, 2017. Ron Morrison, Mayor ATTEST: ildiAllt14' Mich el R. Dalla, y Clerk APPROVED AS TO FORM: / 1/ George H. Eiser, III Interim City Attorney Ordinance No. 2017-2432 4 Veterans and Military Families Adding NCMC Chapter 16.09 Advisory Committee 121 of 525 Passed and adopted by the Council of the City of National City, California, on February 21, 2017 by the following vote, to -wit: Ayes: Councilmembers Cano, Mendivil, Morrison, Rios, Sotelo-Solis. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: By: RON MORRISON Mayor of the City of National City, California /1/ City Clerk of the City of ational City, California Deputy I HEREBY CERTIFY that the foregoing Ordinance was not finally adopted until seven calendar days had elapsed between the day of its introduction and the day of its final passage, to wit, on February 7, 2017 and on February 21, 2017. I FURTHER CERTIFY THAT said Ordinance was read in full prior to its final passage or that the reading of said Ordinance in full was dispensed with by a vote of not less than a majority of the members elected to the Council and that there was available for the consideration of each member of the Council and the public prior to the day of its passage a written or printed copy of said Ordinance. I FURTHER CERTIFY that the above and foregoing is a full, true and correct copy of ORDINANCE NO. 2017-2432 of the City Council of the City of National City, passed and adopted by the Council of said City on February 21, 2017. By: City Clerk of the City of National City, California Deputy 122 of 525 Mike Dalla From: Lauren Maxilom Sent: Tuesday, August 29, 2017 3:16 PM To: Mike Dalla; Leslie Deese Subject: RE: Vet's Committee Attachments: Ordinance- VMFAC.PDF; Military Advisory - Committee Reccomendation.pdf Mr. Dalla, I've attached the ordinance & committee recommendation for your reference. Membership: The working group recommends up to an eleven (11) member committee to be composed of representatives from the National City community and regional partners. The intent would be to appoint residents and/or individuals with military, veteran, and professional ties to National City in as many of the categories as possible, including: 1. Veteran resident of National City 2. Active duty service member 3. Family member or spouse of active duty service member 4. Family fleet representative (Naval Base San Diego) 5. Veteran -based service organization 6. Sweetwater High School ROTC student 7. San Diego County Supervisor Veterans Advisory Council (VAC) rep. 8. 2-1-1 San Diego representative 9. Social Services representative 10. Faith -Based community representative 11. National City business community representative From: Lauren Maxilom Sent: Tuesday, August 08, 2017 3:56 PM To: Mike Dalla <MDalla@nationalcityca.gov>; Leslie Deese <LDeese@nationalcityca.gov> Subject: RE: Vet's Committee Big woops!!! I re -read the recommendation not the ordinance. Great catch Mr. Dalla From: Mike Dalla Sent: Tuesday, August 08, 2017 3:55 PM To: Leslie Deese <LDeese@nationalcityca.gov> Cc: Lauren Maxilom <LMaxilom@nationalcityca.gov> Subject: RE: Vet's Committee The Ordinance spells out "11 members with staggered terms of 4 years". In order to accomplish that with the least amount of disruption you would have: 2 members appointed to a one year term expiring in 2018 3 members appointed to a two year term expiring in 2019 3 members appointed to a three year term expiring in 2020 1 123 of 525 CITY COUNCIL MINUTES February 21, 2017 MUNICIPAL CODE 2017 (506-2-32) 17. Ordinance No. 2017-2432. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AMENDING TITLE 16 OF THE NATIONAL CITY MUNICIPAL CODE BY RENUMBERING CHAPTER 16.09 TO CHAPTER 16.10 AND ADDING A NEW CHAPTER 16.09 ESTABLISHING A VETERANS AND MILITARY FAMILIES ADVISORY COMMITTEE. (City Manager) RECOMMENDATION: Adopt the Ordinance. TESTIMONY: None. ACTION: Motion by Sotelo-Solis, seconded by Rios, to adopt the Ordinance. Carried by unanimous vote. 124 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) Civil Service Committee Library Board of Trustees Planning Commission Parks, Recreation & Senior Citizens Advisory Board Public Art Committee* X Veterans & Military Families Advisory Committee* Traffic Safety Committee Applicants must be residents of the City of National City except for those marked by an * and all applicants must be U.S. Citizens. ➢ Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: /K ,''N r'- AN dam c/ ' Home Address: E-Mail: 6, c y CASA[/- i A iv, v ' rz Business Affiliation: 4 ((t 1 ,,. ;. (6 Tel. No.:/ % - 775 Title: ,%'. Business,Address: Tel. No.: Length of Residence in National City: c. San Diego County: 5L f i b California: Educational Background: -1,J /1(ci Occupational Experience: 1 t,5. / - 2 6 yes Professional or Technical Organization Memberships: ,byreder Civic or Community Experience, Membership, or Previous Public Service Appointments: Experience or Special Knowledge Pertaining to Area of interest: /i, a7e E U „,,_! /;/4 -7 IL t vice,,— S (f 1- / 4.kw. C i �j /6.• (' —i 1l�=: /2s< v.L ,,= 55 cl , Have you ever been convicted of a felony crime? No: Yes:_ misdemeanor crime? No:X Yes:_ If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes ansv,.ers to the above two questions. Date: \-'s 7 Signature: C� _... 714 46, L ---- , Please feel free to provide additional information or letters of endorsement. Return completed form to: Office of the City Clerk, 1243 National City Blvd., National City, CA 91950 Thank you for your interest in serving the City of National City. This documents is filed as a public document Revised: March 2017 125 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) Civil Service Committee _ Library Board of Trustees _ Parks, Recreation & Senior Citizens Advisory Board Y Veterans & Military Families Advisory Committee* _ Planning Commission Public Art Committee* Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: iC. z • —Eo.-ca.r-, E-Mail: 1%\O-w ,c-G\cs 10,11\06 • Ctl,K.,1 Home Address: 615- tic'-Y'o o.(\ fke_. NCB Tel. No.: Glc- 730-c?283 Business Affiliation: Title: Business Address: Tel. No.: Length of Residence in National City: /U pct.,. San Diego County: /0)/6 California: /«/v-S . Educational Background: Tae-Nt\e- c ScAerce.. +e\ \\1\wprActe a l_ . r-bc-e_SSiorc),\ \A-1,�, �. e-wcs).rces (SWNR) ee_z - cc,-tcly.. Occupational Experience: 1r,,resc\L\-kcx\S Professional or Technical Organization Memberships: cep A-. nva8\c ev Sv O- cL G t o.Ycl r rve ((scl ) Civic or Community Experience, Membership, or Previous Public Service Appointments: N\I\N A t t �v\tie e 1c.�. oc s Cot...,tin, ion ; C—RT" ; iSC . , 5�G A C . Experience or Special Knowledge Pertaining to Area of Interest: by 10 ye.c.gb IAvru► vtel Mt It 1y ,r nil yes ►ce_ We.kkbe S . Have you ever been convicted of a felony crime? Now Yes:_ misdemeanor crime? No: .Yes:_ if any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answers to the above two questions. Cz =t `�i ac - Date: 971 In Signature:/ lt.- c -�-t ern Please feel free to provide additional information or letters of endors 4entt.. r-Zz Please return completed form to: Office of the City Clerk r-0 1243 National City Blvd., National City, CA Q592) Thank you for your interest in serving the City of National City. This documents is filed as a public document Revised: February 2017 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) Library Board of Trustees Parks, Recreation & Senior Citizens Advisory Board Veterans & Military Families Advisory Committee* Civil Service Committee Planning Commission Public Art Committee* Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. i Name: J9hJ r l�\j F rr l � � E-Mail: Shi v'{ekjd t Cf.i Home Address: � %/�2 /y,�j Tel. No.; /,,/�' Business Affiliation: (A)c ct)r — / g[// J) Title: Business Address: Tel. No.: Length of Residence in National City: I/ 9h San Diego County: , `I yr California: Educational Background: 14 i 5h Se,h oo j G U'iLd U a+e�; Occupational Experience: (] re_Iri C-Lx • pt b) lc, apea k 1 r) 1., jeri,Ci&r_S h 1 p orrQi) 1 t a 4 1onGz 1, Professional or Technical Organization Memberships: P}me ri cc rl Lee- , orj VFW 4.i / N.C, e,ham er o-P Comten 6re, e ii`Ii-fricr kit mex Civic or Community Experience, Membership, or Previous Public Service Appointments: Experience or Special Knowledge Pertaining to Area of Interest: (Jcif e_ ym u.c,Alaiiyj se_r ea o/7 �% 61is1r er.��°rJ,`CCiiibA Gm fri, Have you ever been convicted of a felony crime? No:X. Yes: misdemeanor crime? No: Yes:_ If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answers to the above two questions. Date: (Y') 2q J 17 Signature: Please feel free to provide additional information or letters of endors eritl > Please return completed form to: Office of the City Clerk n 1243 National City Blvd., National City, CA 91 5t Thank you for your interest in serving the City of National City. This documents is filed as a public document Revised: February 2017 127 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) — Civil Service Committee _ Library Board of Trustees T Planning Commission Parks, Recreation & Senior Citizens Advisory Board Public Art Committee* _X_ Veterans & Military Families Advisory Committee* — Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: _Darnisha Hunter E-Mail: _dhunetr@sanidego.gov Home Address: _1486 14th Street, Imperial Beach, CA 91932 _ Tel, No.: 702.575.4109_Business Affiliation: Office of Mayor Kevin L. Faulconer Title: _Military and Veteran Advocate Business Address: _202 C. Street 11rh Floor San Diego, CA 92101_ Tel, No.: 619.236.6568 Length of Residence in National City: San Diego County: 6yrs_ California: 6yrs. Educational Background: _Some College Occupational Experience: I've worked with the Military and Veterans over 25 yrs. I taught transitional services on Nellis Airforce Base for 6yrs.l'm currently on the USO Gala Committee and the USS Peralta Commissioning Committee. Professional or Technical Organization Memberships: Member of the Veteran Coalition, Volunteer USO, Civic or Community Experience, Membership, or Previous Public Service Appointments: I sit on the Design and Review Board for the City of Imperial Beach. Experience or Special Knowledge Pertaining to Area of Interest: Working with Veterans with to help them transition into the civilian employment market for over 25yrs. Have you ever been convicted of a felony crime? No: _X_ Yes: misdemeanor creme? No: _ Yes: _X_ If any convictions were expunged disclosure is not required. Convictions are+noL decessarily disqualifying. Please feel free to provide an explanation or information regarding y arri"erHo the above two questions. . x• Po Track tickets for speeding. Using cell phone while driving , '� n Y Date: _4/14/2017 Signature: ---- �" o JC Please feel free to provide additional info ation or le'j of endorserr> nt, 4? Pc Please return completed form to: Office of the City Clerk O 1243 National City Blvd., National City, CA 91950 r Thank you for your interest in serving the City of National City. This documents is filed as a public document Revised: February 2017 5 128 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) Civil Service Committee Library Board of Trustees _ Planning Commission Parks, Recreation & Senior Citizens Advisory Board Public Art Committee* X Veterans & Military Families Advisory Committee* Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: Mike Judd E-Mail: Mike.Juddc vvsd.net Home Address: 625 N. Cuyamaca St, El Cajon, CA 92020 Tel. No.: 6195699971 Business Affiliation: Veterans Village of San Diego Title: SSVF Program Supervisor Business Address: 4141 Pacific Highway, San Diego, CA 92110 Tel. No.: 6199612165, ext. 4697 Length of Residence in National City: 0 San Diego County: 29 Years California: 29 years Educational Background: BS in Psychology (Pending) Occupational Experience: US Army: 5 years, California National Guard: 4.5 Years, Veterans Village of San Diego: 8.5 years Professional or Technical Organization Memberships: Veterans and Family Forum (Current) Civic or Community Experience, Membership, or Previous Public Service Appointments: Chair of Veteran Transition Workgroup for San Diego Veterans Coalition (2010) Experience or Special Knowledge Pertaining to Area of Interest: Last 8.5 years with VVSD working with the VA, DOD, Police Departments, Community Partners, and San Diego Mayor's office as well as Reps from Duncan Hunter and Scott Peters office — All for Veteran or Military issues. Have you ever been convicted of a Felony crime? No Misdemeanor crime? No If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answers to the above two questions. Date: Z 011241 Signature: Please feel free to provide additional information or letters of endorsement. Please return completed form to: Office of the City Clerk 1243 National City Blvd., National City, CA 91950 l 129 of 525 Mike Dalla From: Esther Clemente Sent: Thursday, April 20, 2017 11:51 AM To: Mike Dalla Subject: FW: Veterans and Military Families Advisory Committee Application Attachments: VMFAC Application - MJudd.pdf From: Mike Judd [mailto:mike.judd@vvsd.net) Sent: Thursday, April 20, 2017 11:08 AM To: Clerk <Clerk@nationalcityca.gov> Subject: Veterans and Military Families Advisory Committee Application Good Morning, Mr. Dalla! My name is Mike Judd and I've been a San Diego County Resident for the majority of my life. I caught wind of the City Manager's suggestion to begin an advisory committee for the City Council of National City that would discuss and handle Veteran and Military issues. I'm interested in taking part in this advisory committee as not only a combat veteran myself, but also as a provider of Veteran services in San Diego County. I've spent the last 8.5 years working at Veterans Village of San Diego with veterans of all eras by providing peer support, resources and referrals, and am now a Program Supervisor for a multimillion dollar grant that provides financial assistance to homeless veterans. As you are probably aware, Veterans Village of San Diego has been around for over 30 years and while it still maintains a heavy focus on in -patient treatment for substance abuse and mental health, it also maintains three rapid rehousing grant's providing almost $1.5 million annually in temporary financial assistance to homeless veterans. I began my work at VVSD, and spent 4 years doing so, working solely with Iraq and Afghanistan veterans who were having trouble returning to civilian life after their time at war. I took part in the creation and growth of the very first veteran specific helpline, Courage to Call, which is now run by 2-1-1. I've worked with and have been a part of the San Diego Veterans Coalition and sit on the advisory board for Veterans and Family Forum (VetFam) and would love to provide my knowledge and experience to the National City attempt at tackling Veteran and Military issues. Thank you for your consideration. If you have any questions, comments, or concerns, I can be reach at the contact information below. Mike Judd Program Supervisor Supportive Services for Veteran Families (SSVF) — Priority 1 Veterans Village of San Diego Cellphone: 619.569.9971 Office: 619.961.2165 Ext: 4697 Fax: 619.961.2167 www.vvsd.net 7 130 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) Civil Service Committee Library Board of Trustees Planning Commission Parks, Recreation & Senior Citizens Advisory Board — Public Art Committee* X Veterans & Military Families Advisory Committee* Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: Mona S. Minton E-Mail: mminton(d neighborhoodhouse.orq Horne Address: Tel. No.: Business Affiliation: Title: General Manager Business Address: 56660 Copley Dr. SD CA 92111 Tel. No.: 858-715-2642 Length of Residence in National City: San Diego County: 5 yrs. California: Educational Background: PhD- Clinical Psychology, MA in Marriage & Family Therapy Occupational Experience: As the General Manager, Programs/Clinics/Community Affairs at The Neighborhood House Association located in San Diego CA, I have an extensive background working with children, adolescence, adults and older adults struggling with chemical dependency, homelessness, life skills and mental health disorders. I have a PhD in Clinical Psychology and a Masters in Marriage and Family Therapy. I speak and understand multiple languages (English, Spanish, Hindi and Gujarati) and currently serve on 6 committees throughout the East/Central San Diego and North County Region lending my expertise to address a variety of socio-economic, gender and cultural issues. While working for other organizations such as Circle of Friends, Department of Family Services, North County Serenity House, Mental Health Systems, Donavan State Prison, and San Diego County Jails, I have made significant contributions in women and men's prevention, intervention, treatment and recovery programs. Professional or Technical Organization Memberships: San Diego Senior Alliance, CFAR Disparities Care Community Advisory Board, RJDCF Volunteer Advisory Committee, Re-entry roundtable, Policy & Procedure Committee. Civic or Community Experience, Membership, or Previous Public Service Appointments: Experience or Special Knowledge Pertaining to Area of Interest: / have over 16 years of experience working with the population mentioned above and working for Neighborhood House Association over 4 years I've been able to make a significant contribution to all the programs that provide services to our Veterans population, some of those services are Mental Health Assessment, Psychiatric Evaluation, Medication Management, Individual and group therapy, Rehabilitative and recovery 8 131 of 525 activities, Case Management, Crisis intervention and serving over 117,000 meals to Adults and Veterans annually through our NHA Central Kitchen. Have you ever been convicted of a felony crime? No: X Yes:_ misdemeanor crime? No:>( Yes:_ If any convictions were expunged disclosure is not required, Convictions are not necessarily disqualifying. Please feel free to provide an explanation or in armatign regarding yes answers to the above two questions Date: 4/18/2017 Signature: Please feel free to provide additional information or letters of 'endorsement. Please return completed form to: Office of the City Clerk 1243 National City Blvd., National City, CA 91950 Thank you for your interest in serving the City of National City. This documents is filed as a public document Revised: February 2017 BOARDS, COMMISSIONS & COMMITTEES Meeting Times and Locations CIVIL SERVICE COMMISSION Second Thursday of every other month 5:30 p.m. — City Hall Large Conference Room COMMUNITY AND POLICE RELATIONS COMMISSION Third Thursday of February, May, August & November 6:00 p.m. — City Council Chambers LIBRARY BOARD OF TRUSTEES Second Wednesday of every month 4:30 p.m. — National City Public Library PARKS, RECREATION & SENIOR CITIZENS ADVISORY BOARD Third Thursday of every month 4:00 p.m — City Hall Large Conference Room PLANNING COMMISSION First and Third Monday of every month 6:00 p.m. — City Council Chambers PUBLIC ART COMMITTEE Fourth Tuesday of January, April, July, October 3:00 p.m. — City Hall Large Conference Room TRAFFIC SAFETY COMMITTEE Second Wednesday of every month 2:00 p.m — City Hall Large Conference Room 9 132 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES _ Community & Police Relations Commission* (CPRC) — Civil Service Committee Library Board of Trustees _ Planning Commission Parks, Recreation & Senior Citizens Advisory Board _ Public Art Committee* Veterans & Military Families Advisory Committee* _ Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: Stepheni Norton E-Mail: steph@steph.n-i.com Home Address: 1430 E 24th St, National City, CA 6196028951 Business Affiliation: Title: Tel. No.: CI m Business Address: Tel. No.: Cli,I. n =-t'Xi - (CI Length of Residence in National City: 5 San Diego County: 26 Califosa: w j~-..M. 44 = CrIrn =o Educational Background: c- +� =+ o Entrepreneurial Business Management, Pepperdine University .< +.r Veteran Entrepreneurship (V-WISE), Syracuse University - Martin J. Whitman School of Management, 2013 Occupational Experience: retired Chief Petty Officer and decorated military Veteran. with significant expenence wlthln the International government sector - local, slate and federal regulatory compliance, as well as technology experience in research and development labs, the legal sector, and manufacturing. Professional or Technical Organization Memberships: member Homegrown by Heroes, Farmer Veteran Coalition, USCG Chief Petty Officers Association, Coalition for Veteran Owned Business Civic or Community Experience, Membership, or Previous Public Service Appointments: Member National City Chamber of Commerce, Member San Diego Food Systems Alliance Experience or Special Knowledge Pertaining to Area of Interest: Retired U.S. Coast Guard Chief, decorated veteran. See attached bio-sketch Have you ever been convicted of a felony crime? No: X Yes:__ misdemeanor crime? No: x Yes: If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answers to the above two questions. Date: 3/31/2017 Signature: Please feel free to provide additional information or letters of endorsement. Please return completed form to: Office of the City Clerk 1243 National City Blvd., National City, CA 91950 Thank you for your interest in serving the City of National City. This documents is filed as a public document Revised: February 2017 BOARDS, COMMISSIONS & COMMITTEES Meeting Times and Locations CIVIL SERVICE COMMISSION Second Thursday of every other month 5:30 p.m. — City Hall Large Conference Room COMMUNITY AND POLICE RELATIONS COMMISSION Third Thursday of February, May, August & November 6:00 p.m. — City Council Chambers LIBRARY BOARD OF TRUSTEES Second Wednesday of every month 4:30 p.m. — National City Public Library PARKS, RECREATION & SENIOR CITIZENS ADVISORY BOARD Third Thursday of every month 4:00 p.m — City Hall Large Conference Room PLANNING COMMISSION First and Third Monday of every month 6:00 p.m. — City Council Chambers PUBLIC ART COMMITTEE Fourth Tuesday of January, April, July, October 3:00 p.m. — City Hall Large Conference Room TRAFFIC SAFETY COMMITTEE • 134 of 525 STEPHENI NORTON steph(a)steph-n-i. com www.linkedin.comfm/stepheninorton/ A retired Chief Petty Officer and decorated military Veteran, with significant experience within entrepreneurial business management, government sector - local, state, federal and international regulatory compliance, as well as technology experience in research and development labs, the legal sector, and manufacturing. PROFESSIONAL EXPERIENCE SMALL BUSINESS ENTREPRENEUR. 04/2003 to present Startup and Growth Strategy. Set company vision, mission and goals. Prepare business plan, operation plan, marketing and sales plan, financial plan, and contingencies. Research and determine target market and competitors' strengths and characteristics. Plan and execute companies marketing and advertising plan. Hire and work closely with design resources to develop marketing and advertising copy and materials. Author classified ads, press and news releases, and article contributions to publicize the company. Locate and network with potential clients and suppliers. Create company data management plan; hire and work closely with administrative resources to manage and organize company data. Manage company A/P, A/R, payroll, tax and financial statements preparation. Manage customer feedback, act on their comments to ensure that their requests are taken care of. Dickinson Farm. Small plot urban farm. 2014 to present Dale St, South Park. Residential income property. 2008 to present Tradesmen. 21 CFR Consulting, LLC. Commercial income property and event space. Pharmaceutical, medical device and 2013 to present biotechnology software compliance consulting. 2003 to 2008 YEOMAN. U.S. Coast Guard Reserve, 02/2010 to 08/2015. Leadership. Forward deployed, during Deepwater Horizon incident response and Operations Enduring Freedom, managing human resources, travel, pay and personnel administration for up to 2500 service members. Recruit Company Mentor, mentored new recruits into the highly -motivated apprentices needed to do Coast Guard work. Meritoriously advanced to Chief Petty Officer. Program Development. Developed mobilization process benchmarked by the fleet, including tracking tool to manage, track and report on the over 4000 data points, generated by the mobilization of 77 service members. Developed a document management system to support the life cycle management of document based information to capture, storage, classify, index, version, and maintain required Unit directives and correspondence. Reduced lost items by over 95%. Research and Data Management. Managing project officer for multi -district consolidation and reorganization - focused on requirement gathering and validation, process definition and improvement. Developed various metric gathering and reporting tools for over 2000 data points. Military Awards. Coast Guard Commendation Medal; Army Commendation Medal, with Operational Distinguishing Device; Coast Guard Achievement Medal; Coast Guard Commandant Letter of Commendation Ribbon with Operational Distinguishing Device and Bronze Star; National Defense Service Medal with Bronze Star; Global War on Terrorism Expeditionary Medal; Global War on Terrorism Service Medal; Armed Forces Reserve Medal with two Mobilization devices; Coast Guard Overseas Service Ribbon; Coast Guard Enlisted Person of the Year Ribbon; Military Outstanding Volunteer Service Medal; Coast Guard Good Conduct Medal; and various other team, unit and service awards. OMBUDSMAN. U.S. Coast Guard, 09/2008 — 0B/2013. Program Development. Planned and executed first of its kind pre -deployment training collaborating with six community agencies to provide critical administrative, legal medial and work -life information to over 300 Coast Guard Members and family Members. Developed and implemented a strategic communication program to ensure effective communication between organizational leadership, community resources, Coast Guard Members and family Members during various short CONUS and long-term OCONUS deployments. Page 1 of 2 12 135 of 525 STEPHENI NORTON step h step h-n-i. com Military Awards. Reserve Family Readiness Award. 2011, 2013 LEAD CONSULTANT. 2000 — 2008. www.linkedin.com/in/stepheninorton/ Leadership. Lead consultant and then business owner of a Global Software Compliance Consulting firm. Schedule included foreign and domestic travel over 80%. Provided regulatory compliance expertise worldwide. Managed project working and travel budgets between $50K-1.2M. Contributing author to various industry publications including IVTs Journal of Validation Compliance, a periodical sought after by the FDA regulated industry for subject matter expert advice; as well as a speaker at numerous industry events. RECENT EDUCATION & TRAINING B.S., Business and Management, Pepperdine University, Currently Sustainable Agriculture Training Program, Cal Poly — Pomona, 2017 Small Farms Program, Cornell University, 2016 Small -Scale Farming, Arizona State University Food System Transformation, 2015 Veteran Entrepreneurship (V-WISE), Syracuse University - Martin J. Whitman School of Management, 2013 Chiefs Call to Indoctrination, October 3, 2013 MEDIA APPERANCES "Veteran Leadership" Interview, The Profitable Farm with Charlotte Smith, March 20, 2017 "Hungry for Fresh Produce", Californian Garden Magazine, January 25, 2017 "Entrepreneur program gives veteran her 'tribe' back", American Legion Magazine, January 18, 2017 "Craft beer and local produce", San Diego Reader, December 27, 2016 "Savoring San Diego: An Epicurean Adventure", Travel Channel, December 14, 2016 "Veterans in the Workplace", San Diego Union Tribune, October 9, 2016 "Leading Lady", Syracuse University, November 7, 2016 "Simple Business Planning for Urban Backyard Market Garden" Workshop, Women in Sustainable Agriculture Conference, Oregon State University, 2016 "A Tale of Destruction" Interview, Impact Matters Podcast, May 8, 2016 BUSINESS HONORS National City Business of the Year, Finalist. 2016 Emerging Woman Owned Business Award, Finalist. 2016 East Village Association - Most Collaborative Development, Finalist. 2015 Veteran of the Day, U.S. Department of Veterans Affairs. 2015 Student of the Week, Syracuse University, Institute for Veterans and Military Families. 2015 Shipmate of the Week, U.S. Coast Guard. 2013 Trooper Focus, The Wire, Joint Task Force Guantanamo Bay, Cuba. 2013 50 People to Watch, San Diego Magazine. 2012 Women Who Mean Business, Finalist, San Diego Business Journal. 2011 PROFESSIONAL MEMBERSHIP Board Member, National City Chamber of Commerce Voting Member, San Diego Food System Alliance Member, U.S. Coast Guard Chief Petty Officers Association Member, Coalition for Veteran Owned Business Member, Farmer Veteran Coalition Member, Farm Bureau Member, National Young Farmers Coalition Certified Farm, Homegrown by Heroes Member, Slow Food USA & Urban San Diego Member, The Rosie Network Page 2 of 2 13 136 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) Civil Service Committee Library Board of Trustees Planning Commission Parks, Recreation & Senior Citizens Advisory Board Public Art Committee* Veterans & Military Families Advisory Committee* _ Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. �,+ i Name: L 7_ �11. D (1'� t Q.� 2-E-Mail: S1,I1 .-T \-"� f(,''� V f_ >E17'�'it ! (' cf.( l'Y,► Home Address: lu0 n. `54 • @`M4101 VIS V (tvi qic11. Tel. No.: �Q I Business Affiliation: Business Address: Title: Tel. No.: Length of Residence in National City: V- Q„5, San Diego County: UtVyys, California: C`.---(,irs6 Educational Background: P-/ 14/%1C4f - \N\\\ Qi. \ /e coAkt*C Pt/ Jf c S [ SL) 17 Occupational Experience: NenV`',./\ \)1/40t29if'1 wIC1cQ`a(,X t 41 () t ,l PVIlkua.S i<.7 tAto-rie Professional or Technical Organization Memberships:*17itA1'1'lll' j :).(A iet 0-k)aU, y CA,A-t ‘c) Civic or Community Experience, Membership, or Previous Public Service Appointments: ` C 4\ U b L 1 S� U1� S �, i l� �I In Experience or Special Knowledge Pertaining to Area of Interest: Have you ever been convicted of a felony crime? No( Yes:_ misdemeanor crime? No:kYes: If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answers to the above two questions. Date: 610-1.1 Signature: 1 t QL Please feel free to provide additional information or letters of rsement. Please return completed form to: Office of the City Clerk 1243 National City Blvd., National City, CA 91950 Thank you for your interest in serving the City of National City. This documents is filed as a public document Revised: February 2017 137 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) Library Board of Trustees Varks, Recreation & Senior Citizens Advisory Board eterans & Military Families Advisory Committee* Civil Service Committee Planning Commission Public Art Committee* Traffic Safety Committee Applicants must be residents of the City of National City except for those marked by an * and all applicants must be U.S. Citizens. Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: VILAVANH SANGINTHIRATH E-Mail: VILAVANHLIVE.COM Home Address: 1013 E 18TH STREET NATIONAL CITY, CA 91950 Tel. No.: (858) 568-2326 Business Affiliation: SAN DIEGO INNOVATIONS & POWERHOUSE BUSINESS SOUTIONS Title: FOUNDER & CEO Business Address: 9285 DOWDY DR. SUITE 205. SAN DIEGO, CA 92131 Tel. No.: (619) 434-2860 Length of Residence in National City: 32 YEARS San Diego County: 32 YEARS California: 32 YEARS Educational Background: SAN DIEGO STATE UNIVERSITY, BUSINESS MANAGEMENT WITH AN EMPHASISS IN MARKETING. SAN DIEGO MESA COLLEGE, ASSOCIATES IN BUSINESS ADMINISTRATEION. SAN DIEGO STATE UNIVERSITY, CERTIFICATE OF MANAGEMENT & LEADERSHIP Occupational Experience: PLEASE SEE ATTACHMENT FOR OVERVIEW OF PROFESSIONAL EXPERIENCE Professional or Technical Organization Memberships: MEMBER OF ASIAN BUSINESS ASSOCIATION. MEMBER OF CALIFORNIA DIVERSITY COUNCIL. MEMBER OF SAN DIEGO NON-PROFIT ASSOCIATION. SPEAKER AT MANY HIGH PROFILED CONFERENCES, EVENTS, AND YOUTH EMPOWERMENT OPPORTUNITITES. Civic or Community Experience, Membership, or Previous Public Service Appointments: BOARD OF DIRECTOR, GIRLS IN TECH SAN DIEGO. BOARD OF DIRECTORS, BREAK THE SILIENCE AGAINST DOMESTIC VOILENCE. BOARD ADVISOR. GERSON INSTUTUTE. EXECUTIVE TEAM MEMBER, MAINSTREET ALLIANCE SAN DIEGO. Experience or Special Knowledge Pertaining to Area of Interest: I HAVE MANY FAMILY MEMBERS AND CLOSE FRIENDS IN THE MILITARY, I UNDERSTAND THE COMPLEXITIES AND STRUGGLES OF LIVING THE MILITARY LIFESTYLE THAN MOST CIVILIANS. THE GREATEST PART IS THROUGH MY PROFESSIONAL BACKGROUND AND EXPERIENCES OF BEING AN ENTREPRENEUR AND WORKING WITH SMALL BUSINESSES, I'VE BEEN FORTUNATE 138 of 525 ENOUGH TO HELPED OVER 5 MILITARY INDIVIDUALS TRANSITIONING OUT OF THE FORCE TO START THEIR BUSINESS AND BUILD A GREAT FUTURE FOR THEIR FAMILIES. I'M CURRENTLY WORKING ON MY NEWEST INNITIATIVE CALLED SAN DIEGO INNOVATIONS, AND ONE OF THE FOCUS IS WORKING WITH THE WORKFORCE PARTNERSHIP TO PROVIDE A PIPELINE FOR MILITARY PERSONNELS THROUGHOUT SAN DIEGO. I'M IN DISCUSSIONS WITH COUNTY OF SUPERIOR COURT AND SECOND CHANCE TO PROVIDING A PROGRAM FOR MILITARY VETERANS TO GETTING THE MENTAL HEALTH, AND TRAINING NEEDED TO GET BACK ON THEIR FEET. FROM A PERSONAL STANDPOINT. I CAN SYMPATHIZE WITH THE STRUGGLES AND HEARTBREAK THAT COME WITH LOSING A LOVED SOLIDER AT WAR WITH THE LOSS OF MY COUSIN AND A COUPLE CLOSE FRIENDS, I'M A SINGLE MOTHER AND I'VE ALSO HELPED OVER 20 MILITARY PARENTS (SINGLE OR NOT) BY PROVIDING THEM RESOURCES AND OUTLETS THROUGH MY BLOG, MEET UP GROUPS, AND NETWORK OPPORTUNITITES TO GET THE SUPPORT NEEDED. I STARTED A SOCIAL GROUP CALLED MEMOIRS OF SINGLE PARENTS IN 2013, OVER 100 PARENTS IN THE GROUP ARE MILITARY MEMBERS AND HAVE REACHED OUT TO ME FROM ALL AREAS IN THE NATION TO THANK ME FOR MY SUPPORT AND AN AREA TO LET OUT THE PAIN AND STRUGGLES AS A PARENT. IN 2005, I MOVED TO GERMANY FOR ONE YEAR TO BE A COUNSELOR FOR MILITARY CHILDREN WHERE I STAYED ON THE ARMY BASE AND HELPED KIDS FROM AGES 6 MONTHS TO 17 YEARS OF AGE. I COACHED AND TAUGHT BASKETBALL, CONDUCTED EDUCATIONAL ACTIVITIES, BECAME AN OUTLET FOR CONSULTATION SO THE KIDS CAN RELATE AND HELP GUIDE THEM THROUGH DIFFICULT CHANGES. I BECAME GREAT FRIENDS WITH MANY OF THE PARENTS, COUNSELORS, AND TECHERS TO THIS DAY. Have you ever been convicted of a felony crime? No/Yes: misdemeanor crime? No: -/Yes: If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answers to the above two questions. Date: t(ii n Signature: Please feel free to provide additional informatio'is.or Idt ers of endorsement. Return completed form to: Office of the City Clerk, 1243 National City Blvd., National City, CA 91950 Thank you for your interest in serving the City of National City. This documents is filed as a public document IG Revised: March 2017 139 of 525 Vilavanh Sanginthirath mnovattve strategiest and forward think'ng team +ecder wrih o prorer track record for identifying opportur es, present a bold vnsion, ono bur'ding sucressfuteams from the ground up PROFESSIONAL EXNEKiiU LL l ?C 7 - Presen• Chief Executive Officer Powerhouse Business Solutions San D:ege, C� \!r Developed and launched overall strategy, financial plans, pricing structure, legal contracts and business plan Build partnerships with Focal businesses, chambers, and community to drive economic growrtn and impact Co -Managing Director & Director of Marketing Girls in Tech, San Diego Athie�cr�.cr:}, Built infrastructure of organization includ ng programs, marketing plans, strategic partnerships; executive team Advocated and spoke during events, media appearances Launched with over 550 reg strants, and a 70i5 a:ir ton ions 2016 - May 2017 San Diego, CA Director of Marketing Gerson Institute Achltvkr•,ents Developed new Infrastucture, workflow and processes for all departments: marketing, sales, production Launched Gerson Cookbook generating over S200K Conducted systems & process, saving over SEMK November 2014 • May 2016 Marketing Manager I Canada HD Supply, Inc. Achievements Generated over SaMM and contributed 16% in co. saes Exceeded forecast and hit a record S50MM in revenue Lead new market strategy & website, drove 16% growth April 2014 • November 201e CRM Marketing Campaign Manager Petco Animal Supplies, Inc. Achievements Managed P&P Campaign, generate 53 4MM in 2 days Support camps gns for loya ty, ecommerce, merchandise San Diego, CA • an Diego, CA Corporate I Nonprofit j Small Business Board Member ( Community Leader (858) 568-2326 t. viiavanh@live.com ►� San Diego, CA Q E N Tl i_% AREAS OF EXPERTISE Years of Experience Leadership Strategic Planning 5..egettng Finance Market Expansion Change n,tanagei ent Teat B.. ding Systems Integration Strategic Partners E-Commerce :'gmt. Operation workflow Data Analysis Community Curator 6 a 10 INVOLVEMENT & ACHIEVEMENTS SD Magazine - Woman of the Year 2017 Nominee Intern - Councilmember A. Sotelo-Solis Board of Director - Break the Silence Against DV Board Advisor - Gerson Institute Advocate - Veterans & Military Family Meet Ups Speaker - U.S News STEM Solutions Conference Executive Team - Women of Main Street Alliance Member - Asian Business Association II Member - American Marketing Association Member - California Diversity Council III Member - San Diego Non -Profit Association III Speaker - Break the Silence Community Outreach EDUCATION San Diego State University Business Management • emphasis in Marketing a, San Diego State University Certificate in Management & Leadership 140 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Community & Police Relations Commission* (CPRC) _ Civil Service Committee Library Board of Trustees _ Planning Commission _ Parks, Recreation & Senior Citizens Advisory Board _ Public Art Committee* X Veterans & Military Families Advisory Committee* _ Traffic Safety Committee Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: FR:La,* ,-5-\-(2,re_\r Home Address: i .F . --� cY'_ C_r'C>_«,U E-Mail: rifDA''a i- -) i5A1_ cl),\•Tel. No.e, :' era&In.: Business Affiliation: al1 GYat)zN t ./.,_ t Title:\J�i't k-vct t cc,,,a i\u, Col (i t' Business Address:? 'fit/-! (.:,14'-r.C~1t_ii:C tl Sffi s-\\•cl,C at12? Tel. No.: h�.f. 'Y`( V—A •) Length of Residence in National City: San Diego County: California: Educational Background: ri ?fi-5 c:`c':' a;1.h I11 } yt'(-7t-,. kJ:AC'i'r)fA..}\.) cu a ' Occupational Experience: Professional or Technical Organization Memberships: .22�1 rjr \lc.11m\PY .A15) C t Civic or Community Experience, Membership, or Previous Public Service Appointments: Experience or Special Knowledge Pertaining to Area of Interest: Have you ever been convicted of a felony crime? No Yes: misdemeanor crime? No:_ Yes:_ If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answers to the above two questions. Date: ��` ate! } } Signature: Please feel free to provide additional information or letters of endorsement. Please return completed form to: Office of the City Clerk 1243 National City Blvd., National City, CA 91950 Thank you for your interest in serving the City of National City. This documents is filed as a public document Q Revised: February 2017 /U 141 of 525 CITY OF NATIONAL CITY APPLICATION FOR APPOINTMENT TO CITY BOARDS, COMMISSIONS, AND COMMITTEES Civil Service Commission X Planning Commission '>C Community & Police Relations Commission* (CPRC) Public Art Committee* Library Board of Trustees -K Traffic Safety Committee )4 Parks, Recreation & Senior Citizens Advisory Board Note: Applicants must be residents of the City of National City except for those marked by an * Applicants for the Community and Police Relations Commission must pass a criminal background check prior to appointment. Name: hcchc Q A [_a i l VOA. Home Address: 1 , `-1( )4 ( Ue� rtiTel. No.: 647 - w‘7- 4/ 41L3 Business Affiliation: Title: Business Address: Tel. No.: Length of Residence in National City: 2 , San Diego County: t f 3 California: C Educational Background: �� S b 6(,� ��� L Sc-&,o/ C(74- lam'6?iye1r Sic lc1 LetAJ Occupational Experience: 3 3- ve_a y S t n 41- h c J `� er--v �r Ae, rroir r t l nth/ s Professional or Technical Organization Memberships: Civic or Community Experience, Membership, or Previous Public Service Appointments: vct t- &I /21 ..er / -c, /G E/ - Fin - C. n* 4 r C (,+ C ' .,�� U, sk. Experience or Special Knowledge Pertaining to Area of Interest: Have you ever been convicted of a felony crime? No x.Yes:_ misdemeanor crime? No:,Yes: ?‹. If any convictions were expunged disclosure is not required. Convictions are not necessarily disqualifying. Please feel free to provide an explanation or information regarding yes answeto t rabove two questions c,, nn -r -a 94-C Date: pg/a//f� Signa c Please feel free to provide adds tonal information or letters of enders rnent. CT) Please return completed form to: Office of the City Clerk 1243 National City Blvd, National City, CA 91950 Thank you for your interest in serving the City of National City. * Residency requirements may not apply This documents is Vied as a public document f' Revised: December 2015 142 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 143 The following page(s) contain the backup material for Agenda Item: Motion of the City Council of the City of National City approving the waiving of the reading of the text of the Ordinances considered at this meeting and providing that such Ordinances shall be introduced and/or adopted after a reading of the title only. (City Clerk) 143 of 525 Item # 6 10/03117 MOTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY APPROVING THE WAIVING OF THE READING OF THE TEXT OF THE ORDINANCES CONSIDERED AT THIS MEETING AND PROVIDING THAT SUCH ORDINANCES SHALL BE INTRODUCED AND/OR ADOPTED AFTER A READING OF THE TITLE ONLY. (City Clerk) 144 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 145 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City authorizing the Mayor to execute the Third Amendment to the Lease by and between the City and the Boys and Girls Club of Greater San Diego, Inc., consenting to a sublease between the Boys and Gir 145 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 ITEM TITLE: Resolution of the City Council of the City of National City authorizing the Mayor to execute the Third Amendment to the Lease by and between the City and the Boys and Girls Club of Greater San Diego, Inc., consenting to a sublease between the Boys and Girls Club and Integrity Charter School for the city - owned land and building located at 1430 "D" Avenue in National City. AGENDA ITEM NO. PREPARED BY° Gregory Rose Property Agent PHONE: 619 336-4266 EXPLANATION: (Please see attached background report). FINANCIAL STATEMENT: ACCOUNT NO. DEPARTMENT: Housing & Economic Dev ,pment AL. At APPROVED APPROVED:arffffig, Finance APPROVED: MIS The Boys and Girls Club will use the revenue from the sublease to offset direct costs of their programs. However, in the event the lease income is greater than the operational and programming expenses, the City shall be entitled to the net income, if any, up to the amount of the sublease. ENVIRONMENTAL REVIEW: The Third Amendment to the Lease is not considered a project as defined by the California Environmental Quality Act (CEQA)T and is therefore not subject to CEQA. ORDINANCE: INTRODUCTION: I FINAL ADOPTION: I 1 STAFF RECOMMENDATION: Approve the resolution. BOARD 1 COMMISSION RECOMMENDATION: N/A ATTACHMENTS: 1. 'Background Report 2. Third Amendment to Lease" 146 of 525 Attachment No. 1 Background Report In 2011, the City of National City and the Boys and Girls Club ("BAGC") entered into a 20-year lease agreement for use of the City -owned land and building located at 1430 "D" Avenue for the purposes of maintaining a clubhouse and promoting the physical, mental, and moral well-being of the boys and girls of National City, and for boys and girls in the immediate vicinity. On August 16, 2011 the City Council adopted Resolution 2011-183, which approved the 20-year lease agreement with BAGC. The BAGC pays one dollar per year for rent. Second Amendment to 20-Year Lease Agreement According to section six of the 20-year lease agreement with the City, any subletting requires the City's prior written consent. In order to assist BAGC with their operating costs, the City entered into an agreement (Second Amendment) allowing two (2) temporary and non-exclusive sub -lessees, Integrity Charter School ("Integrity") and Episcopal Community Service ("ECS"), onto the city -owned land and building located at 1430 D Avenue. Both Integrity and ECS agreed to share the land and facility with BAGC and pay monthly rent directly to the BAGC. The Second Amendment also entitled the City to the net income from the subleases, if any, up to the amount of the two subleases. Moreover, the Second Amendment gave the City the option to require BAGC to operate and maintain the future Kimball Park Skate Park. If exercised, the City would coordinate with BAGC to develop a secure facility, which would allow BAGC to control access. The first sublease with Integrity was entered into on July 1, 2014, for a two (2) year term with a one (1) year option to extend. Integrity uses six (6) identified classrooms for kindergarten through second grade. Furthermore, the sublease provided Integrity with access to the BAGC's bathrooms, computer lab, and gymnasium. The base monthly rent was $5,000 per month for the ten (10) months the site was in use, which conformed as closely as possible to the school schedule of the National City School District. In addition to the monthly rent, Integrity paid BAGC $30 per student for those students who were not eligible in the after - school program. Summary of lease terms: • $5,000 per month to the BAGC • 2 years with a 1 year option • $30 to the BAGC for every non after -school program eligible student Third Amendment to the Lease The Third Amendment would approve a new sublease between BAGC and Integrity. The lease is for a five (5) year term with a two (2) year option to extend. The proposed base monthly rent is $6,000 per month payable monthly, in advance, on the first day of each month for the period of five (5) years. Upon the anniversary of each year of the term of this Third Amendment, the Base Rent shall increase by two percent (2%) per annum over the prior year's Base Rent. Summary of sublease terms: • $6,000 per month with a 2% per annum increase to the BAGC • 5 years with a 2 year option Recommendation Staff recommends approving the Third Amendment to the 20-year lease agreement, which would allow the new sublease agreement with Integrity. 147 of 525 Attachment No. 2 TIMID AMENDMENT TO LEASE This Third Amendment to the Lease, ("Third Amendment") is effective as of October 3, 2017 between the BOYS & GIRLS CLUBS OF GREATER SAN DIEGO. a California nonprofit corporation ("Lessee" or the "Club") and INTEGRITY CHARTER SCHOOL ("Integrity" or "Sub -Tenant") (each a "party and collectively the "parties"). REC;TALS A. The Club leases the real property located at 1430 "D" Avenue, National City, California, 91950, County of San Diego, State of California (the "Property", sometimes referred to as the "Payne Family Branch") from the City of National City (the "City"). B. Pursuant to the Lease between the Club and the City, the Club is granted the right to sublet the Premises, but only with the prior written consent of the City. Therefore, the effectiveness of this Third Amendment is expressly made contingent upon the Club's receipt of the City's written consent. C. The Club and Integrity executed a Sublease effective July 1, 2014, which Sublease was approved by the City. D. The parties now desire to execute a new Sublease to replace the instrument dated July 1, 2014, which has expired. NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. Section 1.1 The Terms: The Term of the Sublease shall be as follows: 1.1.1 Term. The term ("Term") of this Third Amendment commences on October 3, 2017 ("Commencement Date") and ends at 11:59 p.m., on October 3, 2022, unless sooner terminated under the terms of the Sublease. 1.1.2 Option. Sub -Tenant shall, provided the Sublease is in full force and effect and Sub -Tenant is not in default under any of the terms and conditions of the Sublease, have the option to extend this Sublease for a term of two (2) years on the same terms and conditions set forth in the Sublease except as modified by the terms, covenants and conditions as set forth below: a. If Sub -Tenant elects to exercise the option, then Sub -Tenant shall provide Club with written notice no earlier than the date which is twelve (12) months prior to the expiration of the Term of the Sublease, as amended, but no later than the date which is six (6) months prior to the expiration of the Term of the Sublease. If Sub -Tenant fails to provide such notice, Sub -Tenant shall have no further or additional right to extend or renew the Term of the Sublease. Third Amendment to Lease Page 1 of 3 148 of 525 Attachment No. 2 b. This option is not transferable. The parties hereto acknowledge and agree that they intend that the aforesaid option to extend this Sublease shall be "personal" to Sub -Tenant as set forth above and that in no event will any assignee or Sublessee have any rights to exercise the aforesaid option to extend. Sub -Tenant shall have no further right to extend the term of the Lease. 2. Section 2.1: The Base Rent shall be modified as follows: 2.1 Base Rent. Sub -Tenant shall pay to the Club Base Rent as minimum monthly rent, without deduction, setoff, prior notice, or demand the sum of $6,000 per month, payable monthly, in advance, on the first day of each month for the period of five (5) years. The Base Rent for any partial month, including but not limited to October, 2017, shall be prorated on the basis of a thirty (30) day month. Base Rent and any increase thereof, as provided below, shall be paid in lawful money of the United States to the Club at the address set forth on the signature page of this Third Amendment or to such other person or at such other place as the Club may designate in writing. Upon the anniversary of each year of the "Term of this Third Amendment, the Base Rent shall increase by two percent (2%) per annum over the prior year's Base Rent, payable as set forth above. By way of example, on October 3, 2018 the Base Rent shall be increased by two percent (2%) for a total Base Rent of $6,120 per month. 3. Ratification and Confirmation. Except as provided herein, the terms and conditions of this Third Amendment, as referenced above shall remain unchanged and unaffected. 4. Conflict. In the event of any conflict or inconsistency between the provisions of this Third Amendment, except as to the Term and Base Rent as provided above, the provisions of the Sublease dated July 1, 2014 shall control in all respects. 5. Incorporation of Recitals. Recital provisions set forth above are an integral part of this Agreement and are by this reference incorporated herein as though set forth in full. BOYS & GIRLS CLUBSa..QF GREATER SAN DIEGO B Third Amendment to Lease y Sherlock, President/CEO .0. Box 178569 San Diego, CA 92177 Page 2 of 3 149 of 525 Attachment No. 2 INTEGRITY CHARTER SCHOOL BY: .. _..6 (Print name) 701 National City Boulevar, National City, CA 91950 Director CONSENTED TO BY THE CITY OF NATIONAL CITY By: Ron Morrison, Mayor APPROVED AS TO FORM AND CONTENT Angil Morris -Jones City Attorney Q:1LBB1real estatelBoys' and Girls' Club\Integrity Charter School -National City -Payne Brancg%TIDRD AMENDMENT TO LEASE 06272017-6.wpd Third Amendment to Lease Page 3 of 3 150 of 525 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE THE THIRD AMENDMENT TO THE LEASE BY AND BETWEEN THE CITY AND THE BOYS AND GIRLS CLUB OF GREATER SAN DIEGO, INC., CONSENTING TO A SUBLEASE AGREEMENT BETWEEN THE BOYS AND GIRLS CLUB AND INTEGRITY CHARTER SCHOOL FOR THE CITY -OWNED LAND AND BUILDING LOCATED AT 1430 "D' AVENUE IN NATIONAL CITY WHEREAS, on August 16, 2011, City Council adopted Resolution 2011-183, to enter into a 20-year Lease Agreement with the Boys and Girls Club of Greater San Diego, Inc., ("BAGC") for the lease of the City -owned land and building located at 1430 "D" Avenue for the annual cost of $1 for the purpose of maintaining a clubhouse to promote the physical, mental, and moral well-being of the boys and girls within National City, and for boys and girls in the immediate vicinity; and WHEREAS, in recognition of a $1,000,000 contribution from L. Robert Payne, BAGC requested approval from the City to rename the National City Branch of the Boys and Girls Club to the Bob Payne Family Branch; and WHEREAS, on May 7, 2013, the City Council adopted Resolution No. 2013-62, entering into the First Amendment to the Lease Agreement approving the renaming of the National City Branch to the Bob Payne Family Branch and to allow for the exterior signage to be changed to reflect the new name, to wit: Boys & Girls Clubs Bob Payne Family Branch; and WHEREAS, to assist the Boys and Girls Club with their operating costs, on August 5, 2014, the City Council adopted Resolution No. 2014-112 authorizing a Second Amendment to the Agreement consenting to a Sublease Agreement between the BAGC and Integrity Charter School ("Integrity"), and a second Sublease between the BAGC and Episcopal Community Services to allow subletting of the City -owned land and building located at 1430 "D" Avenue; and WHEREAS, BAGC's 2014 Sublease Agreement with Integrity Charter School for the City -owned land and building located at 1430 "D" Avenue in National City provides for a base rent of $5,000 per month, plus $30 per student for those students who are not eligible for the after -school program, for the 10 months Integrity is using the site; and WHEREAS, the term of the Sublease was for two (2) years with an option to extend for one (1) additional year; and WHEREAS, the Third Amendment to the Sublease between BAGC and the City of National City provides for the City's consent to a new Sublease Agreement between BAGC and Integrity for the City -owned land and building located at 1430 "D" Avenue for a term of five (5) years, with an option to extend for two (2) additional years, and a base rent of $6,000 per month that increases by two percent (2%) annually. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of National City hereby authorizes the Mayor to execute the Third Amendment to the Lease Agreement by and between the City of National City and the Boys and Girls Clubs of Greater San Diego, Inc., consenting to a new Sublease Agreement between BAGC and Integrity Charter 151 of 525 Resolution No. 2017 — Page Two School for a term of five (5) years, with an option to extend for two (2) additional years, and a base rent of $6,000 per month that increases by two percent (2%) annually. PASSED and ADOPTED this 3rd day of October, 2017. ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Angil P. Morris -Jones City Attorney Ron Morrison, Mayor 152 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 153 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City authorizing the establishment of an Engineering Department Grants Fund appropriation of $365,000 in Disadvantaged Community (DAC) Planning Grant funds through the Proposition 1 DAC Involvement Gr 153 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: [October 3, 20171 AGENDA ITEM NO. ITEM TITLE: [Resolution of the City Council of the City of National City authorizing the establishment of an Engineering Department Grants Fund appropriation of $365,000 in Disadvantaged Community (DAC) Planning Grant funds through the Proposition 1 DAC involvement Grant Program for the Paradise Valley Creek Water Quality and Community Enhancement Project and establishment of a corresponding revenue budget. PREPARED In `, [Jose Lopez, Assistant Engineer -Civil PHONE: [336-431 2 EXPLANATION: (See attached. DEPARTMENT: APPROVF! ± Y° Engineering/Public Works[ FINANCIAL STATEMENT: APPROVED: Finance ACCOUNT NO. APPROVED: MIS [Revenue Account No. 296-06.5F 4-3463 - $365,000 Expenditure Account No. 296-409-500-598-6584 (Paradise Valley Creek Water Quality and Community Enhancement) - $365,000 No City Match Required[ ENVIRONMENTAL REVIEW: The project complies with the California Environmental Quality Act (CEQA). ORDINANCE: INTRODUCTION: 1 I F!NAI AffPTION: STAFF RECOMMENDATION: Adopt Resolution authorizing the establishment of an Engineering Department Grants Fund appropriation of $365,000 in DAC Planning Grant funds through the Proposition 1 DAC Involvement Grant Program for the Paradise Valley Creek Water Quality and Community Enhancement Project and establishment of a corresponding revenue budget. BOARD / COMMISSION RECOMMENDATION: [N/A1 ATTACHMENTS: 1. [Explanation w/ attachments 2. Resolution 154 of 525 EXPLANATION National City's portion of Paradise Valley Road is located within a 100-Year Federal Emergency Management Area (FEMA) Special Flood Hazard Area (SFHA). There are over 20 properties within the FEMA SFHA adjacent to the project site, which is located at the bottom of a hill. The eastern side of the project site collects stormwater runoff that confluences with the stormwater runoff from E. Plaza Boulevard. During storm events, trash, bacteria and other pollutants are carried towards the creek on the western portion of the project site, which contributes to flooding and impairs overall quality of life for residents. The project will improve water quality for the creek and mitigate flooding by implementing the following measures: 1) construct bioretention areas along portions of Paradise Valley Road upstream of E. Plaza Boulevard to treat stormwater runoff; and 2) construct a flood protection detention basin downstream of E. Plaza Boulevard to improve flood control and protect properties located within the FEMA SFHA. In addition, these improvements will encourage residents to use the sidewalks and/or proposed recreational path that will have learning stations describing the stormwater treatment process. On July 26, 2016, staff received notification from the Disadvantaged Community (DAC) Project Selection Workgroup of their decision to recommend the Paradise Valley Creek Water Quality and Community Enhancement Project for $365,000 in the DAC Planning Grant solicitation. The Regional Advisory Committee (RAC) approved the DAC Project Selection Workgroup's recommendation on August 3, 2016. On August 2, 2017, the City was notified that the Proposition 1 Disadvantaged Community Involvement Grant Proposal for the San Diego Funding Area had been approved for the full funding request of $5,551,350 from the Department of Water Resources (DWR). The DWR has confirmed that all allowable project costs incurred after January 22, 2017 are eligible for reimbursement. Staff is requesting authorization to establish an Engineering Grants Fund appropriation in the amount of $365,000 and corresponding revenue budget in order to allow for reimbursement of project expenses. While this grant is for planning only (preliminary engineering and environmental studies), staff intends to submit a new grant application for project construction once the application period opens in 2018, 155 of 525 Project Area within DAC (Entire Project is within DAC) Fr'v0c5-.a.2 I-10ad F05: LI 0F! DEtwt 07 Eani-k 1 5r; fflet 150 Teat hiAt•-.4.4 P:trget Aran V-2 DAC 1im1! •Legend kaaas pI11 T. PrAWS SUPs UM: C,4.ertix 156 of 525 From: Rosalyn Prickett [ma ilto:rprickett@rmcwater.comj Sent: Tuesday, July 26, 2016 2:58 PM To: Kuna Muthusamy <kMuthusamy@nationalcityca.gov> Cc: 'mstadier@sdcwa.org' <mstadier@sdcwa.org> Subject: Congratulations on Funding Recommendation! Kuna — Congratulations!! The DAC Project Selection Workgroup has decided to recommend the Paradise Valley Creek Water Quality and Community Enhancement for $365,000 in the DAC Planning Grant solicitation! This recommendation will be made to the Regional Advisory Committee (RAC) at their next meeting (Wednesday August 37d, 9-11:30am, SDCWA Board Room, 4677 Overland Ave, San Diego). if approved by the RAC, this recommendation will then be forwarded to the Tri-County FACC, San Diego County Water Authority Board, and CA Department of Water Resources in the following weeks. Please note that the region's funding package could potentially change at any of these steps in the approval process. We're excited to see your project be recommended for funding! Congratulations again! Cheers, Rosalyn Rosalyn Prickett, AICP Senior Water Resources Planner Principal RMC Water and Environment 10509 Vista Sorrento Pkwy, Suite 205 San Diego, CA 92121 P: (858) 875.7400 D: (858) 875.7420 C: (619) 861.2180 ror'ickettarmcwater.corn I www.rmcwater.com toRMO water and €1/1 !ironmeznt Complex Challenges I Innovative Solutions 157 of 525 From: Burton, Loisa [mailto:LBurton@sdcwa.orgj Sent: Wednesday, August 02, 2017 5:44 PM To: LesliePgroundworksandiego.org; Kvouel@escondido.org; Kuna Muthusamy <kMuthusamvOnationa]citvca.eov>; annPIandconserve.com; chris.pereerin@oarks.ca.gov; amandas@sdhc.org; kpezzoJi@ucsd.edu; rhutsel@sandieeoriver.org; lazvhwater@vuimamwd.com; Leanne.Crow@sdcountv.ca.aov; njonkhoffPramona-nsn.gov Cc: Reeh, Amy <Amvt vuimamwd.com>; Williamson, Richard <Rich@vuimamwd.com>; lazvhwater@vuimamwd.com; cwbinder(casmrwm.ors; sreckker@ramona-nsn.Bov; Stadler, Mark <MStadler@sdcwa.org>; Friehauf, Dana <DFriehauf@sdcwa.org>; Yamada, Robert <ryamada a@sdcwa.org> Subject: Proposition 1, DAC Planning Grant - Official Award and Request for Information Hi all, It's official! The Proposition 1 Disadvantaged Community Involvement Grant Proposal for the San Diego Funding Area has been approved for the full funding request of $5,551,350 from the Department of Water Resources (DWR). Congratulations!!! The award is conditioned upon the execution of the grant agreement between DWR and the Water Authority; and certain requirements must be met before the grant agreement processing commences. The requirement applicable to each local project sponsor (LPS) is below: • Environmental Information Form. Please see attached. Please complete, sign and return the El form to me via email at Iburton@sdcwa.org by COB on Monday, August 21, 2017. In addition, please provide the name and contact information (email, phone and address) of the person that will be the project manager and authorized representative for the project. Lastly, please see attached Continuing Obligations to Maintain Eligibility jar Grants Reimbursement that are applicable to some LPS. Upon DWR's acceptance of the conditional documents (including the El form), the grant agreement process wi[I begin. [ will keep you apprised of the next steps as soon as we receive the agreement. Please !et me know if you have significant project scope, budget and schedule changes. Again, congratulations to all and thank you for your patience. Do not hesitate to contact me if you have any questions or need further assistance. Coisa 0, Burton Loisa Burton Grants Administrator San Diego County Water Authority 858 522-6739 (Phone) 4677 Overland Avenue, San Diego, CA 92123 158 of 525 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL AUTHORIZING THE ESTABLISHMENT OF AN ENGINEERING DEPARTMENT GRANTS FUND APPROPRIATION IN THE AMOUNT OF $365,000 FOR DISADVANTAGED COMMUNITY ("DAC") PLANNING GRANT FUNDS THROUGH THE PROPOSITION 1 DAC INVOLVEMENT GRANT PROGRAM FOR THE PARADISE VALLEY CREEK WATER QUALITY AND COMMUNITY ENHANCEMENT PROJECT AND ESTABLISHMENT OF A CORRESPONDING REVENUE BUDGET WHEREAS, National City's portion of Paradise Valley Road is located within a 100-Year Federal Emergency Management Area ("FEMA") Special Flood Hazard Area ("SFHA"); and WHEREAS, there are over 20 properties within the FEMA SFHA adjacent to the project site, which is located on the north side of Paradise Valley Road at the bottom of a hill; and WHEREAS, the eastern side of the project site collects stormwater runoff that confluences with the stormwater runoff from East Plaza Boulevard and during storm events, trash, bacteria, and other pollutants are carried towards the creek on the western portion of the project site, which contributes to flooding and impairs overall quality of life for residents; and WHEREAS, the Paradise Valley Creek Water Quality and Community Enhancement Project (the "Project") will construct bioretention areas along portions of Paradise Valley Road upstream of East Plaza Boulevard to treat stormwater runoff, and a flood protection detention basin downstream of East Plaza Boulevard to improve flood control and protect properties located within the FEMA SFHA; and WHEREAS, these improvements will also encourage residents to use the sidewalks and/or proposed recreational path that will have learning stations describing the stormwater treatment process; and WHEREAS, on July 26, 2016, the City was notified that the Disadvantaged Community ("DAC") Project Selection Workgroup recommended the City's Project for Proposition 1 Disadvantaged Community Involvement Grant funds in the amount of $365,000; and WHEREAS, the City received notification from the San Diego Water Authority on August 2, 2016 that the Proposition 1 Disadvantaged Community Involvement Grant Proposal for the San Diego Funding Area had been approved by the California Department of Water Resources (DWR) for the full funding request of $5,551,350; and WHEREAS, the DWR has confirmed that all allowable project costs incurred after January 22, 2017 are eligible for reimbursement; and WHEREAS, while this grant is for planning only (preliminary engineering and environmental studies), staff intends to submit a new grant application for project construction once the application period opens in 2018. 159 of 525 Resolution No. 2017 — Page Two NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the establishment of an Engineering Grants Funds appropriation in the amount of $365,000 and corresponding revenue budget in order to allow for reimbursement of project expenses. PASSED and ADOPTED this 3rd day of October, 2017. ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Angil P. Morris -Jones City Attorney Ron Morrison, Mayor 160 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 161 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the National Joint Pow 161 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: 'October 3, 2017 AGENDA ITEM NO, I ITEM TITLE: 'Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the National Joint Powers Alliance (NJPA) Contract #081716-KTC with Kenworth Truck Company through Inland Kenworth (US) Inc. (authorized dealer) to award the purchase of one (1) T400 Series Conventional 10 yard dump truck to Inland Kenworth (US) Inc., in an amount not to exceed $149,951.88. PREPARED Bar PHOI Ray Roberson, Management Analyst I (619) 336-45831 EXPLANATION: See attached explanation. FINANCIAL STATEMENT: ACCOUNT NO. 644-416-221-511-0000 (Equipment Replacement Reserve): Funds are appropriated and available in the abcvc account. ENVIRONMENTAL REVIEW: NIP ORDINANCE: INTRODUCTION: STAFF RECOMMENDATION' Adopt Resolution awarding the purchase of one (1) T400 Series Conventional 10 yard dump truck for the National City Engineering and Public Works Department. BOARD 1 COMMISSION RECOMMENDATION: IN/A.] f FINAL ADOPTION: DEPARTMENT: Engineering/Public Works APPROVED BY: APPROVED: $149,951.88 ATTACHMENTS: 1. Explanation 2. Quote & Vehicle Specs 3. Proof of NJPA Contract #081716-KTC 4. Resolution 162 of 525 Explanation: As part of the FY 2018 annual budget, City Council approved fundin g through the General Fund and Sewer Service Fund for the purchase of one (1) 10 yard dump truck for the National City Engineering and Public Works Department. Staff seeks Council authority to waive the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorize the City (Buyer) to piggyback the National Joint Powers Alliance (NJPA) Contract #081716-KTC with Kenworth Truck Company through Inland Kenworth (US) Inc. (authorized dealer) to award the purchase of one (1) T400 Series Conventional 10 yard dump truck to inland Kenworth (US) Inc., in an amount not to exceed $149,951.88. NCMC Section 2.60.260 provides authority to the purchasing agent to join with other public jurisdictions to take advantage of cooperative purchasing opportunities, including but not limited to any federal, state or local agency pricing program or structure that is determined by the purchasing agent to allow a procurement that is in the best interests of the City. The purchasing agent may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined by the purchasing agent to be in substantial compliance with the City's procurement procedures, irrespective of the contracting limits of that jurisdiction or agency, even if the City had not initially joined with that public agency in the cooperative purchase. National City's purchasing staff has confirmed that the National Joint Powers Alliance (NJPA) Contract #081716-KTC was competitively bid through a Request for Bid (RFB) process, and that the respective procurement procedures are in substantial compliance with those of National City. Therefore, staff requests that City Council authorize the City (Buyer) to piggyback the National Joint Powers Alliance (NJPA) Contract #081716-KTC to award the, purchase of one (1) T400 Series Conventional 10 yard dump truck, in an amount not to exceed $149,951.88, consistent with Section 2.60.260 of the National City Municipal Code regarding cooperative purchasing. The funding to purchase this vehicle was approved by City Council through adoption of the FY 2018 annual budget. The Equipment Replacement Reserve will be replenished by the General Fund ($109,951.88) and Sewer Service Fund ($40,000)., 163 of 525 INLAND BUYERS ORDER & PURCHASE AGREEMENT INLAND KENWORTH (US) INC. 500 N. Johnson Ave. Ei Cajon, California 92020 Phone : (619y 328-16 0 Fax: DATE: ADDRESS: CITY: ZIP: 8/30/2017 1243 National City Boulevard National City 91950-430 BUYER'S NAME: PHONE: STATE: City of National City (619) 336-4589 CA QUANTITY: YEAR: SERIAL # (s): STOCK # (s): 1 NEW: New 2017 MAKE: SPECIAL ORDER SPECIAL ORDER COLOR: TBD MODEL: DESCRIPTION: Vaiew Elliptical Dump Body QUANTITY: YEAR: SERIAL # (s): STOCK # (s): 1 2018 NEW: New MAKE: Kenworth SPECIAL ORDER SPECAIL ORDER COLOR: White MODEL: T440 DESCRIPTION: 10-12 Yard Dump Chassis ADDITIONAL PROVISIONS: NJPA Contract #0181716-KTC SALESPERSON: Tommy Claus Price / Unit Qty Purchase Total $35,340.00 1 $35, 340.00 $102,230.00 1 $102,230.00 FET $0.00 Ext. Warranty $0.00 Documentation $80.00 Sales Tax $12,044.38 Administration $220 1j License & Title $20.00 Tire Disposal Fee $17.50 Out of State Delivery $0.00 Total $149,951.88 Cash Deposit MOO Trade Equity $0.00 Amount Financed $0.00 Cash on Delivery $149,951.88 Inland Kenworth (US) Inc. - Buyers Order & Purchase Agreement - Page 1 / 3 164 of 525 .v. 14.11.19.1100 / 22935 August 31, 2017 ' BUYER HEREBY SUBMITS THE ABOVE ORDER WHICH SHALL CONSTITUTE. BUYER'S OFFER TO PURCHASE THE VEHICLE(S), CHASSIS OR ACCESSORY (IES) (INDIVIDUALLY AND TOGETHER , THE 'VEHICLE") AS IDENTIFIED ABOVE FOR THE PURCHASE PRICE AND ON THE TERMS AND CONDITIONS SET FORTH IN THE ABOVE ORDER AND THIS AGREEMENT (TOGETHER, THE "AGREEMENT"), WHICH INCLUDES THE ABOVE ORDER AND THE ADDITIONAL TERMS AND CONDITIONS, WHICH BUYER REPRESENTS IT HAS REVIEWED AND UNDERSTANDS. AGREED BY PURCHASER Siar:ature Title Date SELLER HEREBY ACCEPTS BUYER'S OFFER AND AGREES TO SELL TO BUYER THE IDENTIFIED VEHICLE ON Ti-IE TERM AND CONDITIONS SET FORTH IN THIS AGREEMENT. ACCEPTED BY SELLER Signature THANK YOU FOR YOUR BUSINESS! Title Date :dud Kenwortth (US) Inc. - Buyers Ode] & Purchase Agreement - Page 2 ,+ 3 165 of 525 ,v. 14,11.19 1100 r' 22935 August 31, 2017 TERMS AND CONDITIONS 1. As used in this Agreement (a)"Seller' means Inland Kenworth (US), Inc., a corporation, (b) "Buyer' means the party executing this Agreement as shown on page 1, (c) "Manufacturer" means the entity that manufactured the Vehicle as shown on page 1 and (d) `Vehicle" means and includes the vehicle(s), chassis equipment and/or accessory(ies) ordered and purchased by Buyer as identified on page 1. It is understood by Buyer that (i) Seller is not the agent of Manufacturer for any purpose, and (ii) Seller and Buyer are the only parties to this Agreement and Manufacturer is not a party to this Agreement. 2. An order from Buyer shah only be deemed placed when this Agreement has been signed by both the Buyer and Seller which shall be the only method by which Buyer commits to purchase the Vehicle and Seller commits to sell the Vehicle unless otherwise agreed by Buyer and Selferin writing, signed by both parties. Buyer shall fully cooperate with Seller in connection with such order and delivery of the Vehicle, iccludIng executing any documents and doing such acts as may be reasonably requested by Seller. 3. Buyer acknowledges that Manufacturer has reserved the right to change the price andfor design of any new Product being purchased by Buyer hereunder at any time without notice and in its sole discretion if Seller Is unable to procure the Veh:c!e(s) ordered by Buyer from Manufacturer on the price set fo ell le this Agreement by reason of Manufacturers change in price or design cr for any other reason outside the control of Seller, Seller shaft ;mmed'•ately notify Buyer end within five (E days after the delivery of sucn notce, and as their only legal or equitable remedy, Seller or Buyer may elect to cancel the order and terminate this Agreement by written notice to : le other provided such party is not in default hereunder. In the event of such cancellation, neither Buyer nor Seller shall have any further legal or equitable remedy against the o. ;er. 4, If Buyer is trading a used motor vehicle (the "trade-in vehicle') as a part of the consideration for the purchase of the Vehicle as provided herein., such trade -fin vehicle shall not be delivered to Seller until Seller delivers to Buyer the Vehicle ordered by Buyer without Seller's prior written consent If the trade-in vehicle is delivered to Seller before delivery of the Vehicle ordered by Buyer Seller shall store such trade-in vehicle as en accommodation to Buyer and the risk of loss as to such trade-in vehicle shall remain with Buyer. Buyer's trade-in vehicle shall be reappraised at the time of delivery of the Vehicle purchased by Buyer and the reappraised value shall determine the actual trade allowance for the trade-in vehicle to be applied against the purchaser price for the Vehicle being purchased by Buyer- Buyer understands that the original trade allowance for the trade -In vehicle is an estimated value and the reappraised vaiue shall be determinative of the actual trade allowance even though less than the original trade allowance. At the time of delivery of the trade-in vehicle to Seller, Buyer shall deliver to Seller the certificate of title for the trade-in vehicle. Buyer warrants that the trade-in vehicle shall be delivered to Seller free and clear of all liens and encumbrances except ae. otherwise noted herein. The certificate of title to the trade-in vehicle (I) shall not be a "salvage title certificate issued by the Department of Motor Vehicles for the state in which the Veit Ic!e was sold, and (2) shall not be a certificate of title issued by any other authority indicating that the trade-in vehicie has been reconstructed or repaired by reason of collision or other damage: otherwise, the trade -In vehicle shall then be reappraised. lithe trade-in vehicle's reappraised value is less than its trade allowance, Buyer shaft pay to Seller the difference in value at the time of delivery of the trade-in vehicle. 5. The purchase price for the Vehicle being purchased by Buyer hereunder includes reimbursement for federal excise taxes, but excludes any federal, state or local sales, use, occupational or like taxes or duties now in force or enacted in the future unless expressly so stated. Any such tax, fee or charge of any nature whatsoever imposed by any governmental authority on, or measured by, the transaction between Seller and Buyer (exclusive of taxes on net income) shall be paid by Buyer in addition to the purchase price for the Vehicle. If Seller is required to pay any such tax, fee or charge, at the time of sale of thereafter, Buyer shall reimburse Sellerthe^afore. 6. THE MANUFACTURER'S WARRANTY IS THE ONLY WARRANTY APPLICABLE TO THE VEHICLE BEING PURCHASED HEREUNDER WHETHER NEW OR USED. THE PURCHASE OF ANY USED VEHICLE FROM SELLER SHALL BE ON AN "AS-1S, WHERE IS' BASIS UNLESS SELLER DELIVERS TO BUYERA SEPARATE WRITTEN WARRANTY OR SERVICE CONTRACT. EXCEPT AS PROVIDED BY THE FOREGOING, SELLER HEREBY DISCLAIMS ALL WARRANTIES, EITHER EXPRESS OR IMPLIED, INCLUDING ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, REGARDING THE VEHICLE. 7. BUYER AGREES THAT ITS SOLE LEGAL AND EQUITABLE REMEDY FOR SELLER'S FAILURE TO DELIVER TO BUYER THE VEHICLE ORDERED BY BUYER UNDER THIS AGREEMENT SHALL BE TO REQUIRE SELLER TO RETURN TO BUYER ANY FUNDS DELIVERED TO SELLER BY BUYER FOR THE PURCHASE OF THAT VEHICLE- IN NO EVENT SHALL SELLER BE LIABLE FOR COSTS OF PROCUREMENT OF SUBSTITUTE GOODS BY BUYER OR BE LIABLE FOR ANY SPECIAL, CONSEQUENTIAL, OR INCIDENTAL DAMAGES, HOWEVER CAUSED INCLUDING, BUT NOT LIMITED TO, ANY LOST PROFITS,WHETHER FOR BREACH DF THIS AGREEMENT, NEGLIGENCE OR OTHERWISE. 8. If Buyer breaches this Agreement by failing to purchase any Vehicle ordered by Buyer, in addition to any other remedy available to Seller at law or in equity, (i) Buyer shall indemnify and hold harmless Seller from any loss, damage, liability, cost end expense incurred by Seller in connection with such order. (ii).Seller may resell the ordered Vehicle and retain that portion of Buyer's deposit which is equal to (A) the difference between Buyer's purchase price less Sellers final disposition price, plus (B) Seller's cost of sale, including without limitation, any other general and incidental damages incurred by Seller, with the balance of Buyer's deposit, if any, returned to Buyer, andfor (il) Seller may repossess all or any portion of the Vehicle sold to Buyer- g. No modification, change or amendment to this Agreement or waiver of any term hereof shall be deemed effective unless made in writing and signed by the parties. Time is the essence of this Agreement and each of the parry's obligations hereunder. This Agreement shall be binding on and inure to the benefit of Buyer and Seller and their respective successors and assigns; provided, however, Buyer may not assign this Agreement without Seller's prior consent and any such attempted assignment without Seller's consent shall be void. This Agreement shall be govemed under the laws of the state in which Seller's business is located. Any legal action to enforce the terms of this Agreement or to seek damages by reason of its breach shall be brought in state or federal courts with the appropriate jurisdiction of the county in which Sellers business is located. If any portion of this Agreement is found to be invalid, illegal, or unenforceable, such portion shall be deemed severed from this Agreement, and the remaining parts hereof shall remain in full force and effect as fully as though such invalid, illegal or unenforoeable portion had never been part of this Agreement. If suit is brought in connection with this Agreement or to enforce the Agreement, the prevailing party shall be entitled to recover from the losing party reasonable attorneys' fees, both at trial and on appeal, together with any costs and expenses incidental to any such prooeedings. This Agreement constitutes the entire agreement between the parties pertaining to its subject matter and supersedes at prior agreements, representations and understandings of the parties regarding the subject matter hereof. The Agreement may be executed in any number of counterparts, each of which shall be deemed an original, and all of which together shall be deemed the same instrument. The failure by Seller to enforce at any time any of the provisions of this Agreement shall not be construed as a waiver of such provisions, nor affect the validity of this Agreement or any part thereof, or the right of Seller to thereafter enforcer such prevision. Buyer acknowledges that it has not entered into this Agreement in reliance upon any warranty or representation by any person or entity exueet tut tire warteirties or representations specifically set lorth herein. Buver represents and war rants that ii intends to use iha Vehicle for commerciai purposes only and not for personal, tamily, household or consumer purposes. 10. All demands, notices, consents, or other communications required or permitted to be given under this Agreement by either party, shall be sent to the other party at the address set forth herein and shall be deemed to have been duly given (1) if delivered by personal delivery, when delivered, (2) if mailed, three business days after being deposited in the United States mail, certified or registered mail, retum receipt requested, end postage prepaid, (3) if sent by facsimile, upon transmission to thafacsimile numbers below provided thata copy is promptly sent by U.S. mail and a transmission receipt is provided, or (4) if sent by courier, The business day after being sent by a nationally reputable overnight courier service. 1". Seller reserves a purchase money security interest in the Vehicle sold hereunder and the proceeds thereof in the amount of the purchase price until the purchase price for tire Vehicle has been paid in full- Buyer shall perform all acts necessary or appropriate to assist Seller in perfecting and maintaining such security interest Please Initial Inland Kenworth (US) Inc - Buyers Order & Purchase Agreement - Page 3 J 3 166 of 525 v. 14.11.19,1100 J 22935 August 31, 2017 Valew Quality Track Bodies 12522 Violet Rd. Adelanto, CA. 92301 Ph. 760-24 4878 Valew Elliptical (Tub Style) Dump Body 15'- 10 / 12 Yard This body is designed for demolition and rock industries. All steel gauges have been increased for greater durability. Body Specifications: Sides and Floor Hardox 450 steel Top Rail Formed Steel Cheater Board Slots Tailgate Hardox 450 steel Cab guard Valew Sub -frame H.D. channel Hydraulic Hoist (Telescopic Style) Hydraulic Pump Hydraulic Reservoir Hot Shift PTO Lighted safety locking controls Spreader apron Cab guard High Lift Gate Air tail gate release Center Ditch Gate Ph 45 air hitch assembly with air and electric to rear 7 Pin RV Type Plug Asphalt rated spring loaded tarp system 36" Tool Box Wheel Chock Holder LED Marker and Tail Lights Prhner and Painted Black in Color Installed Price $34,990.00 plus all applicable taxes, FET and fees (Quotation Only) Quoted By: Frank Flores Quote# IKWSD-05192017 Note: 132" CA Required with clean frame rails. 167 of 525 Inland Kenworth El Cajon 1141 500 N. Johnson Ave. E1 Cajon, California United States 92020 Phone: (619) 328-1600 Fax: (619) 328-1750 Email: Model: Type: Description: Intended Serv.: Commodity: City of National City 1243 National City Blvd National City, Califcr rft United Mates 91960 Phone: (619) 336-4589 Fax: Contact Email: tgaut@nationalcityca.gov Prepared for: Tony Gaut Vehicle Summary Unit T400 Series Conventional. FULL TRUCK Dump Truck Application Local pickup & delivery. Vehicles which haul Gravel/crushed rock/sand Body Type: Length (ft): Height (ft): Max Laden Weight (Ibs): No. of Trailer Axles: Type: Length (ft): Height (ft): Kingpin Inset (in): Corner Radius (in): Length (ft): Width (in): Height (ft): Approved by: Trailer Restrictions End dump 15,0 13.5 4000 0 0.0 0.0 0 0 120 102. 13.5 Chassis Fr Axle Load (Ibs): Rr Axle Load (lbs) G.C.V . (Ibs): Road Conditions: Class A (Highway) Class B (Hwy/Mtn) Class C (Off -Hwy) Class D (Off -Road) Maximum Grade: Wheelbase (in): Overhang (in): Fr Axle to BOC (in): Cab to Axle (in): Cab to EOF (in): Overall Comb. Length (in): Special Req. U.S. Domestic Registry, 50-State 14320 40000 66000 89 10 01 00 6 169 60 67 102 162 279 Date: Note: All sales are F.O.B. designated plant of manufacture. I � Ask your dealer for a quote today, or visit ourwebsite r© www.oaccarflnancial.com, PACCAR Financial offers innovative finance, lease and insurance programs customizes to meet your needs. Unpublished options may require review/approval. Dimensional and performance data for unpublished options may vary from that displayed it PROSPECTOR. Printed. Effective Dale: Prepared by: 8/31/2017 8.51:32 AM Jan 1, 2017 Administrator Complete Model Number T400 Series Conventional. Quote1DTPCJCO: 074914244 Version Number: 39.20 59638-E8F6-1376 168 of 525 Page I of 11 Inland Kenworth El Cajon 1141 500 N. Johnson Ave. El Cajon, California United States 92020 Phone: (619) 328-1600 Fax: (619) 328-1750 Email: Data Code Model 0000410 0 0070070 0 0080050 0 0090062 0 0091042 0 0093005 0 0095010 0 0098025 0 Engine & Equipment 0129569 0 KENWORTH City of National City 1243 National City Blvd National City, California U_nited States 91950 Phone: (619) 336-4589 Fax: Contact Email: tgaut@nationalcityca.gov Prepared for: Tony Gaut Description T400 Series Conventional. T440 6x4 Class 8 GARB Idle Emissions Reduction Feature for PX-7 and PX-9 T440 6x4 C!ass 8 Gravel/crushed rock/sand Local pickup & delivery. Vehicles which haul freight, typically operating within a 100-mile radius, on public streets & highways, & other paved surfaces, including limited Class C roads. Includes package & freight delivery, as well as fuel oil or petroleum distribution, etc. Road usage: minimum 3% Class B, do not code for Class D. End dump U.S. Domestic Registry, 50-State PACCAR PX-9 370 2017 3702000 365@2100 1250@1400 Includes turbo exhaust brake, no code is used. Diagnostic Plug for data link, Oil Cooler, Aluminum Flywheel Housing. N09200 N205 120..Standard Maximum Speed Limit[LSL1 N09220 N207 0....Expiration Distance N09240 P09 120...Hard Maximum Speed Limit N09260 P14 62...Maximum Accelerator Pedal Vehicle Speed N09280 P16 0....Acce!erator Lower Droop N09300 P19 62...Maximum Cruise Speed N09320 C143 0....Cruise Control Lower Droop N 09360 N203 252..Reserve Speed Function Reset Distance N09380 N202 0....Maximum Cycle Distance N09400 N206 10...Maximum Active Distance N09420 N201 0....Reserve Speed Limit Offset N09440 P11 NO...Engine Protection Shutdown N09460 P06 NO...Gear Down Protection N09480 P26 1400.Max PTO Speed N09500 P02 NO...Cruise Control Auto Resume N09520 PO4 NO...Auto Engine Brake in Cruise N09540 N209 0....Expiration Distance N09560 P520 YES..Enable Idle Shutdown Park Brake Set N09580 P32 5,,..Timer Setting N09600 P233 YES..Enab!e Impending Shutdown Warning Unpublished options may require review/approval. D!rnenslcr•.al and performance data for unpublished options may vary from that dlsplayod in PROSPECTOR. Printed: Effective Date: Prepared by: 813112017 8:51:32 AM Jan 1, 2017 Administrator Complete Model Number: QuotefDTPO1CO: Version Number: Weight 11,511 0 0 0 0 0 0 0 0 T400 Series Conventional. Q74914244 39.20 59638-E8F6-13 76 169 of 525 Page 2 of 11 KENWORTH Data Code Description N09620 P234 60...Timer For Impending Shutdown Warning N09640 P516 35...Engine Load Threshold N09680 P33 NO...1die Shutdown Manual Overrule N09720 P230 YES..Enable Hot Ambient Automatic Overrule N09740 P46 40... Low Ambient Temperature Threshold hf09760 P56 60... intermedi ate Ambient Temperature Threshold N09780 P47 80,..High Ambient Temperature Threshold 1000151 0 Prospector Version 40.2 Replaces 40.1 1000684 0 Effective VSL Setting NA 1000858 0 Eri ine idle Shutdown Timer Disabled 1000859 0 Enable FIST Ambient Temp Overrule 1000860 0 Enable EST in PTO Mode Use only with MX and Cummins engines 1000891 0 Eff EIST DIA Expiration Miles Use only with MX and Cummins engines 1002060 S Air compressor: Cummins 18.7 CFM For Cummins And PACCAR PX engines. 1061092 S Engine mount Powercore air cleaner. w/constant torque SS clamps, pop-up air restriction indicator. Pop-up indicator is standard. 1105230 0 Fan Hub: Horton 2-Speed for ISL9, iSL-G, PX-8 or PX-9 1122505 S Cooling module: 1300 square inches. Includes aluminum radiator core, aluminum charge air cooler, translucent surge tank and washer bottle, silicone hoses, and extended life coolant. Drain valve is not available wlAllison transmissions. 1160205 0 Bug screen: Front of grille on C500 ,T800, T880, and W900. Behind grille on T660. T680, and T300 (Medium Duty). 1247166 S Exhaust: 2017 EPA RH Under DPFISCR w►/ RH 0 side of vertical cab tailpipe w/ daycabs, extended daycabs, or modular sleepers. 1290136 S Tailpipe: 5 in. single 36 in. 45 degree curved. 0 1321145 0 Fue! Filter:Fleetg::ard FS1003 0 Fuel/Water Separator for PX-9 1321200 0 Run Aid:None 0 For Fuel Filter 1321300 0 StartAid:None 0 "For Fuel Filter 1500029 0 Kenworth Fuel Cooler 6 Required for Cummins engines with a single fuel tank. Required for PACCAR MX-13 engine with a single fuel tank and stationary use: High RPM, low vehicle speed, sustained for longer than 1 hour. Optional for all other applications. Weight 0 0 0 0 0 0 0 0 Unpublished options may require review/approval. Dimensional and performance data for unpublished options may vary from that displayed in PROSPECTOR. Printed: 8/31/2017 8:51:32 AM Complete Model Number: T400 Series Conventional. Effective Date: Jan 1, 2017 QuoteiDTPO/CO: 074914244 Prepared by: Administrator Version Number 39.20 59638-E8F6- i 376 170 of 525 Page 3ofI1 KENWORTH Data Code Description Weight 1700149 0 Retarder Jacobs for PX-8191SL wl 57 3-way switch.. Replaces the standard turbo brake for PX-8 engines. 1816260 0 Alternator: PACCAR 160 amp, brush type 0 1821220 S Batteries: 2 PACCAR GP31 threaded post (700-730) 0 1400-1460 CCA dual purpose. 1836100 S Starter: PACCAR 12 volt electrical system. W/ 0 centralized power distribution incorporating plug-in style relays. Circuit protection for serviceability, 12-volt light system wlcircuit protection circuits number & color coded. 1840005 0 Battery disconnect switches 2, mounted on 2 battery box. 1900082 0 Multi -function engine connector for body builder 0 interface for Cummins_ 1900086 0 Connection between PTO switch & engine 0 requires code 1900082 or 1900084. T6801T880_ This feature is standard, no code required. Transmission & Clutch 2011203 0 Transmission: Allison 3000RDS 5-speed w/PTO drive gear. 5th Gen Controls. Includes heat exchanger & oil level sensor. Rugged Duty Series for vocational applications. Transynd transmission fluid is standard on all Allison 1000, 2000, 3000 & 4000 series transmissions. Requires a push button shift control code. Oil temperature gauge is standard on class 8 models. 2406453 0 Driveline: 2 Dana SPL250XL 1 centerbearing requires 3500057 interaxle driveline. Low maintenance offering from Spicer. On -highway 350K mi first service interval, 100K mi subsequent service interval on U-joint, splines tubed for life, quick disconnect end caps. 2410018 0 Torque converter included wlAllison Transmission. 2410151 0 Pushbutton control center console mounted. Class 8 with Allison Transmission. 2410203 0 Allison FuelSense Base: Includes EcoCal, 5th Gen Controls, and Dynamic Shift Sensing 2410244 0 J1939 Park Brake Auto Neutral 2429100 0 Chassis w!n be fitted !vl LH transmission PTO. (Prevents ECU Fllnterfering w/ PTO Only). 2429358 0 Rear transmission support springs for transmission PTO applications are required to ensure that engine flywheel housings are not overloaded when transmission PTO's are installed. Front Axle & Equipment 2503469 0 Dana Spicer E-1462W Front Axle rated 14.6K 5in. drop, wide track for better tuming radius. iinpubiished options may require reviewlapprovat. Dimensional and performance data for unpublished options may vary from that displayed in PROSPECTOR. Printed: Effective Date: Prepared by: 291 0 0 n 0 0 57 8/3112017 8:51:32 AM Complete Model Number: T400 Series Conventional. Jan 1, 2017 Quote1DFPOJCO: Q74914244 Administrator Version Number. 39.20 59633-E8F6-13766 171 of 525 Page 4 of 11 Data Code 2621310 O 2690002 0 2707050 S 2741970 S 2750001 S 2765001 0 2864019 0 2893881 2899336 0 KENWORTH Description Front Brakes: 14.6K Bendix ES s-cam 16.5x5 in. Front Brake Drums: 14.6K 166x5 in. cast. Front Hub: 14,600 lbs. aluminum hub pilot 10-bolt, 11-114 in. bolt circle . ConMet PreSet Plus Hub package; front axle. Hubcap: front vented. Front Auto Slack Adjuster. Front Springs: Taperleaf 14.6K w/shock absorbers 2-leaf. With maintenance -free elastomer spring pin bushings. Standard with rubber pins. Not available on W900L or W900S. Single power steering gear: 16K TRW TAS85 W9B available, but not available W95, W9L or T3. Power Steering Cooler:Radiator Mounted Air -to -Oil Rear Axle & Equipment 3122154 0 Dual Meritor RT41-145A rear axle rated at 40K w1 bolt -on ring gears. (RT4O-145A w! 11 mm. wall thickness). axles. Rear Axle Ratio -4.11. Dual Rear Brakes 16-112x7 in. to 46K; Bendix ES -extended service S-cam. Dual Rear Brake Drums: cast. Dual Rear Hubs: Aluminum hub pilot 46K 11-114 in. bolt circle. ConMet PreSet Pius Hub package; dual rear axle. Dual Rear axle automatic slack adjusters. Spring Brake: 3030 long stroke dual 30 square inches travel; replaces standard 2-1/2 in. travel. Helps keep brakes in adjustment longer. Bendix 4S14M anti -lock brake system wl air traction control (ATC). !nteraxle driveline 1 Dana SPLI7OXL Wheel Differential Lock for Dana Spicer Axle P220605; changes S to D to the axle part number. Rear suspension: Tandem Reyco 102 40K, 4-spnng snultileaf & 52 in. axle spacing. Steel crossmembers & gussets Unladen Height 10.8 in Laden Height 9 2 in 3200411 0 3334004 0 3392005 0 3407050 0 3441972 0 3465002 0 3485207 0 3495228 0 3500057 0 3531000 0 3736418 0 Tires & Wheels 4070021 0 4277408 0 Tandem rear Front Tires: Bridgestone R283A Ecopia 295175R22.5 Rear tires: Bridgestone M760 Ecopia 295175R22.5 14PR 40.7in. diameter. 27 tread depth. 19.0in. SLR. EPA SmartWay verified. Unpublished options may require review/approval. Dimensional and performance data for unpublished options may vary from that displayed In PROSPECTOR. Printed: Effective Date: Prepared by: 8/31/2017 8:51:32 AM Jan 1,2017 Administrator Complete Model Number: Quote/DTPO/CO: Version Number: Weight -62 78 0 0 0 0 25 18 11 1,885 0 0 0 0 0 0 4 2 15 500 2 72 T404 Series Conventional. Q74914244 39.20 59638-E8F6-1376 172 of 525 Page 5 of 11 Data Code 4900008 0 5042285 0 Description KENWORTH Weight 0 20 5242375 0 3 5853906 0 0 Rear Tire Quantity: 8 Front Wheel: Accuride 50344 22.5x8.25 steel Steel Ar rmior[TM1 powder coat, hub -pilot mount.heavy-duty 5 hand -hole hub pilot mount. Rear .. ee,: Accuride 51408 L2.5x8.25 Steel Steel Armor[TM] powder coat, hub -pilot mount. 74001b. maximum rating. 2-hand holes. Air disc brake compatible. Code is priced per pair of wheels. Powder coat white steel wheel. Use in conjunction with front, dual front, rear, spare or lift axle wheel code{s). All wheels on chassis must have same finish color. Rear Wheel/Rim Quantity: 8 5900008 0 0 Frame & Equipment 6056200 0 Frame Rails: 10-3/4 x 3-112 x 318in. Steel to 191 284 in. Truck frame weight is 3.48 Ib.-in. per pair of rails. Section modulus is 17.80, RBM is 2,132,000 in-Ibs per rail. Frame rail availability may be restricted based upon application, axle/suspension capacity, fifth wheel setting, or component/dimensional specifications. The results of the engineering review may result in a change to the requested frame rail. If a change is required Kenworth Application Engineering will advise the dealer of the appropriate material specification for a substitute rail. 6302460 S Bumper: Tapered painted steel channel. 0 Requires a bumper setting code. 6319050 S 50 in. Bumper setting. Requires a bumper code. 0 6324025 0 Front tow hook: Center mounted, cast. 28 Requires iron front drive brackets. 6390103 S Front mudflaps. 0 6390304 S Brackets, Front Drive: Aluminum up to 15,999 Ibs. 0 6390312 0 Brackets: iron front spring drive. Included with 47 front spring capacity of 16,000 Ibs or greater; code not required. 6405048 S Battery box module: Short length aluminum 0 parallel under cab, aluminum diamond plate cover wl step. Up to 2 air tanks may mount to bottom of box. Batteries will be oriented perpendicular on rail, 6409901 0 Battery box location: LH Side. 0 6451090 3 T470,C5, T6, T8 non -polished DPF/SCR or CNG cover 0 diamond pate w1 step. For use w12010 or later exhaust systems. For T8, use extended length non -polished battery box on opposite rail to match the length of under cab components. End plates will be painted standard black frame color. 6700005 0 Drop -type crossmember below frame pintle hook; 155 square end -of -frame towing configuration. 6710029 0 Premier 370 air -operated hook, rated 90,000 Ib 45 horizontal. 18,000 Ib vertical. Unpublished options may require revlewlapproval. Dimensional and performance data for unpublished options may vary from that displayed in PROSPECTOR. Printed: Effective Date: Prepared by: 8/31/2017 8:51:32 AM Jan 1, 2D17 Administrator Complete Mode! Number: 4uote/DTPO/CO: Version Number: T400 Series Conventional. Q74914244 39.20 59638-E8 6-1376 173 of 525 Page 6 of I Data Code Description 6712028 0 Maximum Unladen Rear Hook Height i5 28 in. Use with a drop -type crossmember only. Kenworth will make every effort to meet the customer's specified trailer hook height above the road. Exact heights depend on wheelbase, front and rear suspensions, tires and frame material. if exact height is crucial, the. hook must be installed by the bocy builder. 6721125 0 Delete Mudflap Arms: dealer/customer responsible for installation of arrns. 6723000 0 Delete Mudflap Shields-Dealer/Customer responsible for installation of shields. Fuel Tanks & Equip 7014056 S Fuel Tank: 55 US gallon 22in. aluminum BOC replace. Class 8 fuel tank includes an anti -siphon device on the filler neck. 7722011 0 Small round DEF tank. 11 gallons of useable volume. The DEF tank will be located on the side you specified. If you have specific configuration or body builder concerns, please utilize the Custom Frame Layout option. Standard capacity is calculated by fuel capacity of the vehicle and will accommodate two diesel fill -ups for every DEF fill -up. For 1:1 DEF fuel fill ratio, add 7889204. 7889203 0 Standard DEF to fuel fill ratio: 2:1 or greater. 7889245 0 Anti -siphon device swaged in place. For any number of fuel tanks. 7889604 0 7930056 0 Cab & Equipment 8024310 S 6000137 0 8090450 S 8108010 S 8201013 S 8201200 0 8203060 0 DEF tank location is on the LH. Location: 56 gal fuel tank RH behind cab Cab: Curved Glass Conventional. Cab Includes aluminum & fiberglass fully hucked cab wi all aluminum bulkhead doors & continuous stainless steel piano -style door hinges. Single electric horn standard. Incandescent exterior lights include diagnosable bulb detection and warning. Trailer cable on tractors includes integrity detection. Standard features include multiplex wiring for interior lights, automated pre -trip inspection, short and open check diagnostics. 'Warning alarm wiii sound when lights are left on. Cab dooir beefing blocks, top & bottom. 0 Hood: Sloped Aerodynamic T440 Hood. 0 Includes hood and mounted Grille. split fenders w/ mudflaps, & separate bumper. Cab heater: W;integral defrosters & A/C 45,000 0 btu cab heater. No sleeper heater/AC. Includes 5 mode rotary control. T860 include filter media. Steering wheel: 18 in. 4-spoke. Adjustable telescoping tilt steering column. 10 5 sets of keys. Replaces standard 2 sets of keys. 0 Weight 0 -12 -8 0 0 0 0 Unpublished options may require review/approvaE. Dimensional and performance data for unpublished options may vary from that displayed in PROSPECTOR. Printed: 8131/2017 8:51:32 AM Complete Model Number: T400 Series Conventional. Effective Date: Jan 1, 2017 QuolelDTPO/CO: Q74914244 Prepared by: Administrator Version Number 39.20 59638-E8F6-1376 174 of 525 Page 7 of 11 KENWORTH Data Code Description Weight 8203072 0 Flip Valve/LT/Piping To End -of -Frame 0 8205038 0 8205069 0 8205118 0 8205123 0 Air Accessory. Dash Mounted Controls on dash for pintle hook. Includes piping. Dash Controls:Tailgate or Dump Gate, Includes Piping and Telltale Information for customer -installed PTO Chelsea 277. 10-bolt. Available only with Allison 300014000 series transmissions. Switch a Wiring for Customer -Installed PTO. 0 Electric over hydraulic PTO. Includes switch guard. Wiring is routed to LH frame for connection to the customer installed PTO. No air controls are provided with this code. 8208494 0 One spare switch: Wired to power. 0 8220106 0 Gauge: Dash mounted air finer restriction gauge. 0 8222722 0 Gauge: Manifoid Pressure Gauge. 0 The NavPlus !ID unit includes a virtual manifold pressure gauge. 8225658 0 Gauge: Axle oil temperature, dual -drive axle. (2 gauges) wlintegral warning light. 8282004 S KW Driver Information Center: Includes fuel economy, RPM display, trip information, truck information, diagnostics, gear display, alarm clock. 8282009 S Instrument package: Includes speedometer, tachometer, fuel gauge, engine coolant temperature gauge, engine oil pressure, voltmeter. Class 8 also includes primary & secondary air reservoir gauges & an air application gauge. DEF level gauge and warning lamp are included with 2010+ engines. Engine hour meter and outside air temperature readouts are standard. Primary read out will be MPH. Add 8240620 to switch primary scale to KPH in Canada. 8331140 S Cab interior: Summit. T4401T470 Only. Includes smooth upholstered side & back panels wlstitched accent lines, upholstered door pads, full vinyl headliner, black dash panels & black rubber floormats. 3343304 S Interior color: Slate Gray wltrim Dark Slate Gray 8410181 0 eDriver seat: Kenworth Air cushion Plus IB vinyl. Standard features includes 7 in. fore and aft slide adjustmentwlisolator, 6- 23 degree recline, air suspension with cover, du& armrests, and single chamber air lumbar support. Seat cushion is 20 inches wide w/ 2-position tilt and 2-position front cushion extension. Seat material has a horizontal stitch pattern and is 2-tone in color. Seat back is carpeted. Seat is manufactured by National. Includes inside visor and retractable 3-point matching seat belts. Grey seat belts. 8480180 0 Rider seat: IKenworth Toolbox Plus IB vinyl. Wldual armrests. 2 8490110 S Seat color: Dark Slate Gray. 1 0 0 0 0 0 -4 Unpublished options may require review/approval. Dimensional and performance data for unpublished options may vary from that displayed In PROSPECTOR. Printed: 8131/2017 8:51:32 AM Complete Model Number: T400 Series Convenlional. Effective Date: Jan 1, 2017 QuotelDTPOICO: Q74914244 Prepared by: Administrator Version Number: 39.20 59638-E8F6-1376 175 of 525 .Page 8of11 .E W RTH Data Code Description 8699514 0 Speakers: Four 4 in. x 6 in. high performance. Adds 2 speakers to the Panasonic standard 2. Located in cab header & rear cab corners. 8700108 0 Under dash center console: Includes one cupholder & two 12V outlets. For use wlAutoshift, Ultrashift, & Allison Gen IV only. 8700168 S Non -self cancelling turn signal: Wicolvmn-n-iounted headlight dimmer switch & intermittent wiper control.. 8700186 S Electric LH & RH door locks. 8700966 0 Kenworth NavPius HD Navigation System: Vantage, Splendor, APEX, Summit, or Pinnacle intenor. System hardware includes: head unit that mounts in radio opening and 7in. high resolution touthscreen display mounted in dash area four. Includes: Truck specific navigation by ALK, Sinus and XM satellite radio receiver. 8800200 S Cab access contoured grabhandles, LHIRH. 8800400 S Grabhandle: LH inside door frame above dash. 8800401 S Grabhandle: RH inside door frame above dash. 8832115 0 Daylite Door: LHIRH includes RH peeper window 8841411 S Single air horn under cab. 8850300 S Look -Down, Pass. Door, Stainless 8.5x4.4 8865000 0 Mirror: Dual Kenworth aerodynamic heated motorized 7 in. x 13 in. mirrors. Mirror shell painted cab color, mirror arms black. LHIRH convex mirrors 5 in. x 7 in. heated. Mirror brackets set for.8- 112 ft load width. Switch located on door pad. 8871445 0 Rear cab stationary window 17 in. x 36 in. dark tint. 8879213 0 Electric -powered LH & RH door window lifts. Switch located on door. 8890003 0 1.5in x 11.5in Plastic Records Holder Mounted On Rear Cab Panel 8890100 S One-piece windshield, v:' curved glass. 8890351 0 2 in. rubberwneeiweli render extension. 8890898 0 Link Cabmate suspension. Weight 0 0 0 0 0 0 0 0 0 0 26 0 0 8 22 Lights & Instruments 9010801 S Headlamps: Halogen Projector Low Beam, Halogen 0 Complex Reflector High Beam 9022137 0 Marker Lights: Five, rectangular, LED 0 9030010 S Turn Signal Lights: Mounted on fender 0 9058037 0 Swi:toh & Wiring for Customer -Installed Floodlight 0 WIO Electrical Pass -Through - 1st Set Wire Coiled BOC/BOS. 9058052 0 Switch & Wiring for Customer -Installed Floodlight 0 : W/O Electrical Pass -Through - 2nd Set. Wire Coiled BOCIBOS. Unpublished options may require reviewiapprovai. Dimensional and performance data For unpublished options may vary from that displayed In PROSPECTOR. Printed: 8/31/2017 8:51:32 AM Complete Model Number: T400 Series Conventional. Effective Date: Jan 1, 2017 QuolelDTPO1C0: 074914244 Prepared by: Administrator Version Number. 39.20 59638-E8F6-1376 176 of 525 Page 9 of 11 Data Code 9058056 0 9070138 S 9090039 S 9090126 0 9090151 0 9090302 0 9090845 0 Description Switch & Wiring for Customer -Installed Floodlight : W10 Electrical Pass -Through - 3rd Set. Wire Coiled BOC/BOS. Combination Stop, Tail, Turn & Backup Lights RH & LH. Marker Lights: Interrupter Switch. Included in Turn Signai For Ali Models Except T3, The T3 Switch is in The Dash. Electric Backup Alarm: Meets SAE J994 & OSHA requirements. Wiring:Cust. Install Trlr Elec. Brake Controller. Class 8/T4 Content Includes Dash Sianals: Ignition Power (20A), Ground, Stop Lamp and Electric Trailer Brake Controller Wired To EOF Junction Box. These Signals Are Located Near The Navolus HD Area. No Nee To Code For An Additional End of Frame Junction Box. EOF Junction Box Signals Are: Ground, Tail Lamp, Marker Lamp, Left Tum, Right Turn, Stop Lamp and Electric Trailer Brake Controller Wired To Dash. Medium Duty (not T4) Content Includes A MP 280 Series Connector In Dash Near Driver Door Connections With Signals: Battery Power (40A), Ground, Stop Lamp and Electric Trailer Brake Controller Wired To Chassis Connector. Medium Duty (not T4) 2 Way Deutsch Chassis Connector Located Near Back of Cab, With Signals: Ground and Electric Trailer Brake Controller Wired To Dash Connector. Junction Box: Mounted Behind Cab or Sleeper Not Mounted at End of Frame. Circuit Brakers: Replacing fuses. Does not apply to any 5-amp fuse box position. Brakers include stop/brake/turn, tail Tamp, high & low beams. marker/clearance lamps, horn, fuel heat, gauges, air dryer, HVAC controls, panel lamps. Some circuits will remain fuses. Weight 0 4 1 0 Air Equipment 9101215 S Air Dryer Bendix AD -IS heated Puraguard 0 9108001 S Moisture ejection valve wl pull cable drain. 0 9110020 0 Full truck kit: Glad hands mounted at end -of- 15 frame.Seven-way female receptacle mounted at end -of -frame in tail!amp bracket. Kit includes dash mounted trailer air supply valve, trailer hand control valve, and hoses/fittings for the valves. Dash mounted parking brake vaive, tracior protection valve, and spring brake inversionlreiay valves are standard. 9140020 S 9140328 0 Nylon air tubing in frame & cab, excluding hoses subject to excessive heat o'r flexing. Trailer ABS electric supply through SAE J560 7-pin connector per TMC RP137). Extended Warranty 9200021 0 Standard Warranty. 9210159 U NJPA Non -Discountable Fee _r. 0 0 Unpublished options may require reviewiapproval. Dimensional and performance data for unpublished options may vary from that displayed in PROSPECTOR. Printed: 8131/2017 8 51:32 AM Complete Model Number: T400 Series Conventional. Effective Date: Jan 1, 2017 Quote/DTPOICQ: Q74914244 Prepared by: Administrator Version Number: 39.20 5963 S-E8F6-1376 177 of 525 Page 10 of 1 Data Code Miscellaneous 9400076 0 9409852 0 9490206 0 9490406 0 Paint 9700000 0 9943001 0 9943050 0 9944320 0 9965510 S KENWORTH Description Weight Local PDI then Ship to Specific Address. N94000 Factory PDI N94010 Vaiew Quality Truck Bodies N94020 12522 Violet Road N84030 Adelento, CA 92301 N94040 Frank Flores 760-246-4878 GHG Secondary Manufacturer: Does Not Apply Warning triangle reflector kit: Shipper! loose, Kit consists of 3 triangles in plastic carrying case. Not floor mounted. One 5 lb. dry chemical type fire extinguisher mounted outboard of rider seat. Class ABC. Paint color number. N97020 A - L0006 WHITE N97200 FRAME N0001 BLACK N97700 BUMPER L0006 WHITE 0 0 4 11 0 Bumper Painted Color A 0 Day Cab Standard Paint 0 1 - Color Paint - Day Cab 0 Color will be White if no other color is specified. Base coat/clear coat. 0 The Kenworth Color Selector contains additional instructions, as well as information on Kenworth paint guidelines and surface finish applications. Kenworth is standard with Dupont Imron Elite paint. Total Weight 15039 lb Prices and Specifications Subject to Change Without Notice. Unpublished options may require review/approval. Dimensional and performance data for unpublished options may vary from that displayed In PROSPECTOR. Printed: 8/31/2017 8:51:32 AM Complete Model Number: T400 Series Conventional. Effective Date: Jan 1, 2017 Quote/DTPO,CO: 074914244 Prepared by: Administrator Version Number: 39.20 59638-E8F6-1376 178 of 525 Page 11 of 11 9114/2017 National Joint Powers Alliance :: Kenworth Truck Company Home > Cooperative Purchasing >Contracts - Fleet >Vehicles and Chassis > Kenworth Truck Company Overview Contract Documentation Pricing Marketing Materials NJPA Contact Information HOW 1'O PURCHASE 7 our Step-by-Siepgguitie Vendor Contact Info Mike Kleespies Direct Phone: 813-455-1248 pnike.kleespiesekpaccarcam www.kenworth.com Ryan Breezee Direct Phone: 425-828-5452 nranbreezee0Daccar,con+ www.k -itworth.com Kenworth Truck Company Contract#_ 081716-KTC Category: Vehicles and Chassis Maturity Date: 11/15/2020 NgAWARDED Kenworth Truck Company has forged a solid reputation for quality, innovation and technology in producing The World's Best® medium and heavy duty trucks over the past 93 years. From enhanced durability to improved driver comfort to optimized operational efficiency, each Kenworth stands as a testament to our uncompromising engineering and craftsmanship. 7hat tradition continues today with the company's award -winning Kenworth T680 and TS80 models, which were honored as Heavy Duty Commercial Truck of the Year by the American Truck Dealers (ATD) in 2013 and 2015, respectively. Kenworth's Internet home page is at www.kenworth.com. Kenworth is a PACCAR company. https:11www.nj pacoop.orglcooperative-purohasi ng1vontracts-fleetfvehi 179 of 525 381716-ktc/ 111 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY WAIVING THE FORMAL BID PROCESS PURSUANT TO NATIONAL CITY MUNICIPAL CODE SECTION 2.60.260 REGARDING COOPERATIVE PURCHASING AND AUTHORIZING THE CITY TO PIGGYBACK ON THE NATIONAL JOINT POWERS ALLIANCE CONTRACT NO. 081716-KTC WITH KENWORTH TRUCK COMPANY FOR THE COOPERATIVE PURCHASE OF ONE (1) T400 SERIES CONVENTIONAL 10 YARD DUMP TRUCK FROM INLAND KENWORTH (US) INC., IN AN AMOUNT NOT TO EXCEED $149,951.88 WHEREAS, as part of the Fiscal Year 2018 annual budget, the City Council approved funding through the General Fund and Sewer Service Fund for the purchase of one (1) 10 yard dump truck for the National City Engineering and Public Works Department; and WHEREAS, there is an opportunity for the City to piggyback on the National Joint Powers Alliance ("NJPA") Contract No. 081716-KTC with Kenworth Truck Company for the purchase of one (1) T400 Series Conventional 10 yard dump truck from Inland Kenworth (US) Inc., in an amount not to exceed $149,951.88; and WHEREAS, Section 2.60.260 of the National City Municipal Code provides that the City may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined to be in substantial compliance with the City's procurement procedures, and such a determination has been made in this case. It is therefore recommended that the purchase be made without complying with the competitive bidding procedure set forth in the Municipal Code. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby affirms the determination that the National Joint Powers Alliance's procurement procedures are in substantial compliance with the City's, and pursuant to Section 2.60.260 of the Municipal Code, authorizes the waiver of the bidding process to piggyback on National Joint Powers Alliance Contract No. 081716-KTC with Kenworth Truck Company for the cooperative purchase of one (1) T400 Series Conventional 10 yard dump truck from Inland Kenworth (US) Inc., in an amount not to exceed $149,951.88. PASSED and ADOPTED this 3"i day of October, 2017. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk Angil P. Morris -Jones City Attorney 180 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 181 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the National Joint Pow 181 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE iOctober 3, 2017 AGENDA ITEM NO. ITEM TITLE: !Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the National Joint Powers Alliance (NJPA) Contract #113012-HDI with H.D. Industries, Inc. (manufacturer) through the Haaker Equipment Company (distributor) to award the purchase of one (1) H.D. Industries Pro -Patch TCM-425-80 DHE mounted on a 2018 Ford F-750 chassis to Haaker Equipment Company for pothole repairs, in an amount not to exceed $180,109.58. PREPARED BY: 1Ray Roberson, Management Analyst II PHONE: ,(619) 336-45831 EXPLANATION: See attached explanation. FINANCIAL STATEMEN' ACCOUNT NO. APPR /F,.)7 1644-416-221-511-0000 (Equipment Replacement Reserve): $180,109.58 Funds are appropriated and available in the above account. ENVIRONMENTAL REVIEW: DEPARTMENT Engineering/Public Works APPROVED BY: ORDINANCE: INTRODUCTION: 1 FINAL ADOPTION: 1 STAFF RECOMMENDATION: Adopt Resolution awarding the purchase of one (1) H.D. Industries Pro -Patch TCM-425-80 DHE mounted on a 2018 Ford F-750 chassis to Haaker Equipment Company for pothole repairs. BOARD / COMMISSION RECOMMENDATION: 1N/A. ATTACHMENTS: 1. Explanation 2. Quote & Vehicle Specs 3. Proof of NJPA Contract #113012-HDI 4. Resolution MIS 182 of 525 'Explanation: As part of the FY 2018 annual budget, City Council approved funding through the Equipment Replacement Fund for the purchase of one (1) heavy duty patch truck for pothole repairs for the National City. Engineering and Public Works Depa ftrnent. Staff seeks Council authority to waive the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the National Joint Powers Alliance (NJPA) Contract #113012- HDI with H.D. Industries, Inc. (manufacturer) through the Haaker Equipment Company (distributor) to award the purchase of one (1) H.D. Industries Pro -Patch ; CM-425-80 DHE mounted on a 2018 Ford F-750 chassis to Haaker Equipment Company, in an amount not to exceed $180,109.58. NCMC Section 2.60.260 provides authority to the purchasing agent to join with other public jurisdictions to take advantage of cooperative purchasing opportunities, including but not limited to any federal, state or local agency pricing program or structure that is determined by the purchasing agent to allow a procurement that is in the best interests of the City. The purchasing agent may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined by the purchasing agent to be in substantial compliance with the City's procurement procedures, irrespective of the contracting limits of that jurisdiction or agency, even if the City had not initially joined with that public agency in the cooperative purchase. National City's purchasing staff has confirmed that the National Joint Powers Alliance (NJPA) Contract #113012-HDI was competitively bid through a Request for Bid (RFB) and bid process, and that the respective procurement proc-edures are in substantial compliance with those of National City. Therefnra staff ranifasts that City Council authorize the City (Buyer) to ningyhack the National Joint Powers Alliance (NJPA) Contract # i 13012-HDI to award the purchase of one (1) H.D. Industries Pro -Patch TCM-425-80 DHE mounted on a 2018 Ford F-750 chassis to Haaker Equipment Company for pothole repairs, in an amount not to exceed $180,109.58, consistent with Section 2.60.260 of the National City Municipal Code regarding cooperative purchasing. The funding to purchase this vehicle was approved by City Council through adoption of the FY 2018 annual budget. The Equipment Replacement Reserve will be replenished by the General Fund. 183 of 525 EQUIPMENT COMPANY 2070 North White Avenue, La Verne, California 91750 (909) 598-2706 — FAX (909) 598-1427 — haaker.com M AWARDED r, NTRAC T Ilk CITY OF NATIONAL CITY 1243 National City Bl. National City, CA 91950 PROPOSAL August 30, 2017 ATTN: Mr. Tony Gaut 619-336-4589 In accordance with your request, we are pleased to submit the following proposal for your consideration and approval based on the NJFA Cooperative PurchasinE Agreement — Contract #1i P#113O12. ONE (1) H.D. INDUSTRIES PRO -PATCH TCM-425-80 DHE Mounted on a 2018 Ford F-750 chassis. Includes the following: ✓ ✓ ✓/ Y ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Wacker WP1550AW Compactor Plate Stanley BR60 (6OLB) Jackhammer 50 Gallon LP Gas Bottle Set of Manuals — Parts/Operator Hydraulic Operated Steel Top Doors Spoils Bin 30" % Cy, Heating Systems Electronic Throttle Controls Emulsion Oil Tank Capacity and Heating System Temperature Gauges Hand Torch Liquid Asphalt Oil Pump Releasing Agent Storage Tank Liquid Asphalt Hand Sprayer Releasing Agent Hose Reel Hydraulic Tool Line Hose Reel Hydraulic Pump Dumping Pan that tucks away under rear of truck Back Up Camera ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ./ ✓ ✓ ✓ ✓ ✓ RetractabFe hose reel for Fan Spray Wand-15 ft. capacity only 22" Wide Drop Plate 75,000 BTU Hand Torch Power Set Hydraulic Oil Rcscrvoir Hydraulic Oil Cooler Hydraulic Hose and Fittings Hydraulic Control Valve Hard Service Auger Drip Pan 8 gallon Water Tank 1- gallon Safety Lighting — 2 Amber LED emitter lights Extra Tool Box Work Deck 18"x46" Hot Shift PTO Electronic Throttle Control Rialto, CA Light Package 184 of 525 Unit Bid Price... $ 165,618.00 Sales Tax (8.75%) $ 14,491.58 TQTAL FOB:_NATIONAL CITY. CA; .............:....... .............. lR[I_lti9_SR THE PROPERTY HEREIN IS GUARANTEED BY MANUFACTURER'S WARRANTY ONLY AND SELLER MAKES NO WARRANTY EXPRESSED OR IMPLIED, OF MERCHANTABILITY OR OTHERWISE, OR OF FITNESS FOR ANY PARTICULAR PURPOSE, THAT EXTENDS BEYOND THE ABOVE DESCRIPTION OF THE EQUIPMENT. NOTE: Price is good for 60 Days . Cost increases due to the addition of Government mandated safety or environmental devices incurred after the date of this proposal, will be charged to you at our cost. Proof of such costs, if any, will be documented. TAXES: SALES TAX applicable at time of delivery will be shown on our invoice. FEDERAL EXCISE TAXES if applicable, will require payment unless a properly executed Exemption Certificate is submitted. 7 DELIVERY; 180-270 Days TERMS: Net 10 Or Auvroved Lease Add-On/Cooperative Purchase Authorization: Haaker Equipment Company offers the above proposed price, terms and conditions to any governmental agency or subdivision in the State of California or Nevada for a period not to exceed a full calendar year from the date of original purchaser's purchase order or contract. We appreciate the opportunity to present this proposal and look forward to being of further and continued service. HAAKER EQUIPMENT COMPANY ACCEPTED BY: BY: air CHUY VALLEJO DATE: 185 of 525 Customer Proposal Prepared for: Chuy Vallejo City of National City 1243 National City Blvd National City, CA 91950 Office: 909-598-2706 Email: Chuy@haaker.com Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 Prepared by: Rick Martin Office: 717-665-2466 Email: rmartin@hondruauto.com Date: 05/01/2017 Vehicle: 2017 F-750 Gas Base Regular Cab Quote ID: National 186 of 525 1 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office; 717-665-3551 Chuy Vallejo City of National City 1243 National City Blvd National City, CA 91950 Office: 909-598-2706 Email: Chuy@haaker.com Re: vehicle Proposal Dear Mr. Vallejo, Thank you very much for your interest in acquiring a vehicle from our dealership. We concur that your interest is well deserved. We hope that an outstanding product lineup and our dedication to customer service will enhance your ownership experience should you decide to buy a vehicle from US: Attached, please find additional information that I hope will assist you in making a more informed decision. Please feel free to contact me at any time as I would truly appreciate the opportunity to be of service to you. Sincerely, Rick Martin 717-665-2466- rmartin@hondruauto.com Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 0510112017 187 of 525 2 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote iD: National Selected Equipment & Specs Dimensions * Exterior length: 332.0" * Exterior width: 96.7" * Vvheelbase:212.0" * Rear track: 72.6" * Front headroom: 40.7" * Front shoulder room: 68.0" Powertrain * 320hp 6.8L SOHC 30 valve V-10 engine with SMP1 * federal * Rear -wheel drive * Fuel Economy Highway: NIA * Transmission PTO provision * Right mounted horizontal muffler Suspension/Handling * Front non -independent leaf spring suspension with anti -roll bar * Hydraulic power -assist re -circulating ball Steering * 11.0R22.5 AS front and rear tires * Rubber auxiliary rear springs Body Exterior * 2 doors * Black door mirrors * Side steps * Clearcoat paint • i--good mounted grille Convenience Manual air conditioning * Power front windows * Manual tilt steering wheel * Front cupholders * Dual electric horn Seats and Trim * Seating capacity of 2 * Fixed passenger seat * Driver seat folding back, passenger seat fixed back • Driver seat with 4 way direction control, passenger seat with 2 way direction control Entertainment Features * AM/FM stereo radio with radio data system * MP3 decoder * External memory control * 4 speakers * Cab to axle: 138.0" * Exterior height: 92.9" * Front track: 81.8" * Front legroom: 41.4" * Front hiproom: 67.6" * Recommended fuol : regular unleaded * TorgShift-G 6 speed automatic transmission with overdrive * Fuel Economy Cty: N/A * 60.0 gal. rectangular Left front fuel tank * Standard rear differential * Right mounted horizontal tailpipe * Rear rigid axle leaf spring suspension with regular shocks * Front and rear 22.5 x 7,5 wheels * Dual rear wheels * Driver and passenger power remote heated folding door mirrors * Chrome bumpers * Trailer harness * Straight front bumper ends * Front and rear 22.6 x 7.5 white steel wheels with 10 wheel studs * Cruise controi with steering wheel controls * Remote power door locks with illuminated entry * Wireless phone connectivity * Passenger visor mirror * Automatic gearshift steering column lever * Fixed driver seat • Bucket driver seat, Bucket passenger seat * Low back seats * Manual fore/aft seats * Single CD player * Auxiliary audio input * Steering wheel mounted radio controls * Wireless streaming Prices and content avaiiability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared for; Chuy Vallejo, City of National City By: Rick Martin Date: 0510/12017 188 of 525 3 <.cfm-cLr9: Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: Nations Selected Equipment & Specs (cont°d) * Fixed antenna Lighting; Visibility and Instrumentation * Halogen sealed beam headlights * Light tinted windows * Tachometer * Oil pressure gauge * Trip odometer Safety and Security * 4-wheel ABS brakes * Power remote door locks with Dimensions General Weights Curb. 9437 lbs. Rear curb weight. 3661 lbs. Rear axle capacity 21000 lbs. Rear spring rating.. .. .. 21000 Ebs. Rear tire/wheel capacity.. 23360 lbs. Rear GAWK... 21000 lbs. GCWR... - .. 35000 Ibs. Trailering Type Hamess.. Yes Fuel Tank type Capacity 60 gal. Front Frame Height loaded.. 35 " Rear Frame Height loaded.... 36 " Selected Options that limit GVWR Special Rating GVWR - Limited to 25,999 Ib. GVWR 18D P owertrai n Engine Type Block material Iron Head material Aluminum. Injection ... Sequential MPI Orientation.... Longitudinal Valves per cylinder ... 3 Engine Spec Bore Displacement ... Engine Power Output . 320 HP @ 3,900 RPM 3.55`: 415 cu.in. * Variable intermittent front windshield wipers * Front reading lights * Voltmeter * Trip computer * RNDM * Hydraulic disc brakes * Security system Front curb weight:. 5777 lbs. Front axle capacity.. 12000 lbs. Front spring rating.... . .. 12000 lbs. Front tire/wheel capacity . 12350 lbs. Front GAWR.... .. . 12000 lbs. GVWR. .. 25999 lbs. Height unloaded. Height unloaded Cylinders Ignition. Liters Recommended fuel Valvetrain Compression ratio.. Stroke. 37" 38" V/-10 Electronic 6.BL Regular unleaded SOHC 9.2:1 4.16" Torque. 460 ft.-lb @ 3,000 RPM Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05/0112017 189 of 525 4 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular CabBase(F7A) Price Level: 756 Quote ID; National Selected Equipment & Specs (cont'd) Alternator Amps 175 Battery Cold cranking amps. 900 Location .. Forward right Step. .. .... Yes Transmission Electronic control. Yes Lock -up. Yes Overdrive. . Yes, speed.. ..6 Type.. .. Automatic Transmission Gear Ratios 1st... ..3.974 2nd.. 2.318 3rd ... 1.516 4th .. . 1.149 5th .0.858 -6th .. 0.674 .Reverse Gear ratios .3.128 Transmission Torque Converter Stall ratio... ..... ...2.00 Transmission Extras Driver selectable mode.. . Yes Oil cooler Regular duty PTO provision.... Yes Drive Type Type . Rear -wheel Drive Axle Ratio .... .6 5 Exhaust Material . .Non stainless steel System type Single Emissions • CARB . Federal nr!veabi!Pty Brakes ABS .. 4-wheel ABS channels .. 4 Type Hydraulic disc Vented discs. Front and rear Suspension Control Ride.. Regular Front Suspension independence .. ... Non -independent Type. I eaf Anti -roll bar Regular Front Spring Type Tapered leaf Grade Regular Front Shocks Type .. . Regular Rear Suspension Prices and content availability as shown are subject to change and shoula be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing. availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current informatlon. Prepared for: Chuy Vallejo, City of National City Lay: Rick Martin Date: OS/0112017 190 of 525 5 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: Nations Selected Equipment & Specs (cont'd) Independence.. Rigid axle Type. Leaf Rear Spring Type Multi -leaf Grade Regular Auxiliary. Rubber Rear Shocks Type .. Regular Steering Activation Hydraulic power -assist Type Re-circulatinn ball Steering Specs ## of wheels ... 2 Exterior Front Wheels Diameter.. .. 22,5" Width.. 7.50" Rear Wheels Diameter.. ..22.5" Width 7.50" Dual Yes Front Tires Aspect 82 Diameter 22.5" Sidewalls BSW Tread. AS Width 11.0" LT load rating G RPM . 496 Rear Tires Aspect.... .. . .82 Diameter.. 22.5" Sidewalls . BSW Tread.. AS Width.. ... .. 1 1.0" LT load rating .. ... G RPM ... 496 Wheels Front track... ... 81.8" Rear track. 72.6" Turning radius (to curb).. 28' Turning radius (to bumper). . 30' Wheelbase .... 212.0" Body Features Front splash guards.... .... Yes Body material . Compositelgalvanized steel Side steps ..... . . Yes Body Doors Door count.. 2 Exterior Dimensions Length. 332.0" Body width. . 90.7,E Body height 92.9" Cab to axle 138.0" Axle to end of frame... .. .. 81.0" Frame section modulus.. 151 cu.in. Frame yield strength (psi)... 80000.0 Frame rail depth ... . 10.3" Frame. rail width.. 3.1" Framo rail thickness .. .. 0.4" Max RBM (in.-Ibs.) .1275200.0 Frame rail section.. .. .. 9 5" Front bumper to Front axle. 39.0" Nominal RBM (in.-Ibs.). ....1211200.0 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current informat{on. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05101i2017 191 of 525 6 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas; Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Selected Equipment & Specs (cont'd) Seat'!fg Passenger Capacity Capacity 2 Driver Seat Type Bucket Back. . . Folding Back type..... Low Way direction control. 4 Fore/aft Manual Passenger Seat Type... .. Bucket Back Fixed Back type .. .... Low Way direction control .... 2 Fore/aft ... Manual Front Seat Trim Material .... Vinyl Back material.... Carpet Convenience AC And Heat Type Air conditioning.. ... Manual Audio System CD.. .Single CD location ..... .. . In -dash MP3 decoder . MP3 decoder Auxiliary audio input.... . Yes Radio AM/FM stereo Radio data system. .. Yes Radio grade. . Regular Seek -scan. Yes External memory control. External memory control . Audio Speakers Speaker type Regular Speakers. 4 Audio Controls Steering wheel controls.... Yes Voice activation. Yes Wireless streaming.... . Yes Audio Antenna Type ak.,„.t t41.GL Cruise Control Cruise control . ..With steering wheel controls Convenience Features 12V DC power outlet... . 2 Wireless phone connectivity. .Yes Horn .. Dual electric Door Lock Activation Type .... Power Remote Keyfob (all doors) instrumentation Type Display. Analog Instrumentation Gauges Tachometer Engine temperature .. . . Yes oil pressure Yes Yes Voltmeter .. Yes Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because or special local pricing, availability or pricing adjustments not reflected in the dealers computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05fC112017 192 of 525 7 Hondru Ford 1 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 20/7 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Selected Equipment & Specs (cont'd) Transmission fluid temp Yes Instrumentation Warnings Battery • . Yes Lights on. Yes Key... .. ..: Yes Service interval ... Yes Brake fluid. Yes Transmission fluid temp .. Yes Instrumentation Displays Clock . ..In -radio display instrumentation Feature Trip computer .... .Yes Trip odometer. Yes Shift indicator... .. RNDM Steering Wheel Type Material. Urethane Tilting Manual Front Side Windows Window 1st row activation. Power Window Features Tinted ... ... Light Front Windshield Wiper . . Variable intermittent Rear Windshield Window. Fixed Automatic Gearshift Location. Steering column lever Interior Passenger Visor Mirror... Yes Headliner Coverage. Pull IateriaF . Cloth Floor Trim Coverage. Full Covering VinyVrubber Trim Feature Gear shift knob Urethane Interior accents ... Chrome Lighting Dome light type Delay Front reading .... Yes Illuminated entry ...Yes Variable IP lighting Yes Floor Console Storage Type ... Partial Overhead Console Storage Storage.. Yes Type. . Mini Storage Front Beverage holder(s). Yes Glove box. Yes Instrument panel. . Bin Dashboard.. Yes Prices and content availability as shown are subject to change ana should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05/01 f2017 193 of 525 8 Hondru-Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Selected Equipment & Specs (cont'd) Legroom Front... Headroom Front .... Hip Room Front Shoulder Room Front.... 41.4" 40.7" 67.6" Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected In the dealers computer system, See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05101/2317 194 of 525 9 Hondru Ford: 300 South Main Street, Manhelm, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 .Gas, Regular Cab Regular Cab Base(F7A) ?rice Level: 750 Quote ID: National Warranty - Standard Equipment & Specs Warranty Basic Distance.. Uniirnited miles Months.. 24 months Po Overtrain Distance. 100000 miles Months.. 60 months Corrosion Perforation Distance Unlimited miles Months 36 months Roadside Assistance Distance Unlimited miles Months 24 months Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy VatleJo, City of National City By: Rick Martin Date: 055/01r20 7 195 of 525 10 - - Hondru Ford, 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Selected Options Code Description MSRP Base Vehicie F7A Base Vehicle Price (F7A) $58,530.00 Engines 99Y 6.6L 3V SEFi V10 Gasoline - 320 HP STD @ 3900 RPM, 460 lb-ft Torque @ 3000 RPM Torque; 460 ft.Ibs. © 3000 rpm. 425 50-State Emissions NIC Transmissions 44P Ford TorgShift HD 6-Speed STD Automatic - Double Overdrive, less PTO Provision, less Park Pawl 41B Transmission Power Take -Off $295.00 Provision Front Wheels & Tires 647 Wheels, Front 22.5x7.5 White STD Powder Coated Steel, 10-Hole 085.75MM BC) hub piloted, flanged nut, metric mount, 7.50 DC rims; with steel hubs. TCG Tires. Front Two 11 R22.5G STD .Goodyear Endurance RSA (496 rev/mile) Rear Wheels & Tires 667 Wheels, Rear 22.5x7.5 White Powder STD Coated Steel, 10-Hole ;285.75MM BC) hub pirated, flanged nut, .metric mount, 7.50 CC rims; with stccl hubs. RCG Tires, Rear Four 11R22.5G STD Goodyear Endurance RSA (496 rev/mile) Brakes 67J 154 Hydraulic Brake System - Bosch HydroMax Full power with automatic adjustment, 4-channel ABS antitock brake system. includes 12"x 3" (Bosch) OSSA type rear axle mounted parking brake, Orscheln lever control, right of driver. Included Trailer Connection Socket - 7-Way, $100.00 Wired for 1 urn Signals, Separate of Stop mounted at rear of frame, for separate freer stop, tail, fum, marker fight circuits. Includes efectrfe trailer brake accommodation package with cab connections far mounting customer installed electric brake unit_ Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current Information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Cate: 6510 1t26i7 11 196 of 525 ,.. Hondru Ford 20.17 F 750 Gas, Regular Cab 300 South Main Street, Manheim, Pennsylvania, Regular Cab Base(F7A) 175452213 Price Level: 750 Quote ID: National Office: 717-665-3551 Selected Options (cont'd) Code Description MSRP Front Axle and Suspension 43P 61D 153 60A Rear Axle and Suspension 12,000 lb. Cap. Non -Driving - Dana $525.00 E-1202I -1-Beam Type Taper -Leaf Springs, Parabolic- $305.00 12,000 lb. Cap 2-leaf,, 82"x3,15". Front Stabilizer Bar $490_00 Lube, Front Axle, EmGard 50W, $50.00 Synthetic Oil 475 21,000 lb, Single Reduction - Open - STD Dana / Spicer 21060S NOTE: When specifying an axle ratio, check performance guidelines for startabiirty and gradeability. 68P Multi -Leaf Springs - 21,000 Ib. Cap STD 11-leaf includes 2,000 ib auxiliary springs for toad stabilization. 961 Shock Absorbers, Rear - Double $165.00 Acting. 607 Lube, Rear Axle, ErnGard 75W-90, $100.00 Synthetic Oil X6D 6.50 Axle Ratio N/C Wheelbase 212WB 212" W ieelbase/138" CA181" $515.00 AF1332" OAL Frame 535 765 18D 86C Exhaust 91H Singie Channel - Straignt't,' 15.14 STD SM, 80,000 PSI 1,211,200 RBM, Nigh strength low alloy steel. 10.250"x 3,092"x 0.375" (260.4mm x 78.5mm x 9.5mm). Bumper, Front - Ful! Width, Chrome Included Plated Steel - (Included in (90E) Exterior Appearance Group) Special Rating GVWR - Limited to $120.00 25,999 lb. GVWR Chrome Grille Surround - (Included in Included (90E) Exterior Appearance Group) Single, Horizontal Muffler- Frame Mounted Right Side Back of Cab wlCatalytic Converter STD Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the deaier's computer system. See salesperson for the most current information. Prepared for. Chuy Vallejo, City of National City By: Rick Martin Date: 05l3112v-17 197 of 525 12 Hondru Ford # 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 •F750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Selected Options (cont'd) Code Description MSRP Downward facing, outlet tip. Fuel Tanks 65D Fuel Tank - LH 60 Gallon - Steel . $250.00 12 12 Gal. Single Tank Fuel Fill. $0.00 Mandatory Charge Applied, Based On Tank Selection Electrical f Alternator / Battery 17A 55M 63A 59E 962 16V Seats 88A Cab ynterior 175 Amp Mitsubishi Alternator Extra heavy duty 12 Volt. Jump Start Stud - Remote Mounted Included $90.00 Battery - One 900 CCA, Includes STD Steel Battery Box 12Voft, Motorcraft. Body Builder Wiring - At End of $135.00 Frame, Separate - (ILO Standard - Back of Cab Combined) • includes sealed connectors for 2 ground circuits, with separate left/stop, separate right/stop, stop lamps, back up lamps. Also includes 2 additional pass through wires to cab. Daytime Running Lamps $45.40 Voltmeter $100.00 Available in message center. 3010/30 Fixed Driver & Fixed STD Passenger w/Consolette - Vinyl 600A Preferred Equipment Package 600A Includes: - Wheel Seals, Front - Oil lubricated, SKF ScotSeal PIusXL Seals - Wheel Seals, Rear - Oil lubricated, SKF ScotSeaf PtusXL Seals - Hydraulic Brake System - Bosch HydroMax Full power with automatic adjustment, 4-channel ABS ant/Jock brake system. Includes 12"x 3" (Bosch) DSSA type rear axle mounted parking brake, Orscheln lever control, right of driver. - 175 Amp Mitsubishi Alternator Extra heavy duly 12 Volt. - Lights - Roof Marker/CJoarance • Amhcr Lenses, 5 Lights - Tow Hooks, Front 12) - Frame -Mounted, Painted Black - Floor Covering - Black Vinyl - Intelligent Oil Life Monitor - Steering Column - Tilt - Steering Wheel - Black PVC w/tntegral Cruise Control Switches 90A Appearance Group N/C $735.00 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current Information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin 0-Ate: t Ci 20i7 198 of 525 13 Hondru •Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Selected Options (conttd) Code Description MSRP 90P 59F 21D 586 Includes front -mounted overhead console with dual stingless bins and integral front map reading fights. Includes: - Chrome Trimmed Air Registers w/Positive Shut-off - Power- Equipment Group - (Included in (90A) Appearance Group) Includes power front side windows, power door kicks and door trim panel. Power Equipment Group - (Included Included in (90A) Appearance Group) Includes power front side windows, power -door locks and door trim panel. Four Body Builder Switches - $125.00 Mounted in Center instrument Panel With connector access Located in engine compartment. Amperages vary by switch: 10. 15, 25, 25. SYNC Media System $395.00 Includes dash mounted USB 2.0 port and redundant steering wheel SYNC controls, Radio, Electronic Premium AM/FM $280.00 Stereo, Disc With 4 speakers, dash -mounted aux audio input jack and clock and redundant steering wheel audio controls. 85A Anti Theft System $120.00 85K Remote Keyless Entry w12 Key Fobs $170.00 Cab Exterior 90E Exterior Appearance Group $730.00 includes: - Bumper, Front - FuII Width, Chrome Plated Steel - (Included in (90E) Exterior Appearance Group) - Chromed Fender Badge - Chrome Grille Surround- (Included in (90E) Exterior Appearance Group) 54R Mirrors, Dual - Heated & Motorized $275.00 Rectangular, XL2020 - 102"Width Integral spot mirror, sail type, solid black finish. Miscellaneous PAINT Paint Type - Envirommnntelry STD Friendly, "3 - Wet System" 79V COV Required NIC Send a paper Certificate of Origin for a Vehicle (COV) for those states that file electronically - CA or MI. Interior Colors E_01 Gray TIC Primary Colors Y2_01 Oxford White NIC SUBTOTAL $64,645.00 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current Information. Prepared for: Chuy Vallejo, City of National City By: Rick martin Date: 05/01/2017 14 199 of 525 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Selected Options (cont'd) Code Description MSRP Destination Charge $1, 495. 00 TOTAL $66,140.00 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Ms. -tin Date: 05/0112017 200 of 525 15 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Pricing - Single Vehicle MSRP Vehicle Pricing Base Vehicle Price $58 530 00 Options & Colors $6,115.00 Upfitting $0 00 Destination Charge $1,495.00 Subtotal Pre -Tax Adjustments Description CA GPC Total $66,140.00 -$6,500.00 $59,640.00 Customer Signature Acceptance Date Prices and content availability as shown are subject to change and shouid be treated as estimates only. Actual base vehicle, package and option pricing may varyfrom this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05101i2017 201 of 525 16 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National Major Equipment (Based on selected options, shown at right) 6.8L V-10 SOHC w/5MPI 320hp TorqShift-G 6 speed automatic w/OD * 4-wheel ABS, hydraulic disc brakes * Air conditioning * AM/FM stereo with seek -scan, single in -dash CD player, MP3 decoder, auxiliary audio input, external memory control * Daytime running * Variable intermittent wipers * Tachometer * Folding low back driver bucket seat, low back passenger bucket seat * 900 amp single battery * Side steps 60.0 gal. left front fuel tank * Front axle capacity: 12000 lbs. * Front spring rating: 12000 Ibs. * Frame section modulus: 15.1 cu.in. * Cab to axle: 138" * Transmission PTO Provision * Dual electric horn Fuel Economy City N/A Exterior:Oxford White Interior:Gray k 279/82R22.5 G BSW AS tires * Tinted glass * Wireless streaming • Dual power remote heated mirrors • 22.5 x 7.5 white steel disc wheels * Message Center * Vinyl seats ' * 175 amp alternator * Audio control on steering wheel * Multi -leaf rear springs * Rear axle capacity: 21000 Ibs. * Rear spring rating: 21000 Ibs. * Frame Yield Strength 80000 psi * Axle to end of frame: 81" * Right mounted horizontal muffler, Right mounted horizontal tailpipe Hwy N/A Selected Options MSRP STANDARD VEHICLE PRICE. $58,530.00 Preferred Equipment Pa,kage 600A . N/C 6.81.3V SEFI V10 Gasoline - 320 HP @ 3900 RPM, 460 lb-ft Torque @ 3000 RPfr!I. .. STD 50-State Emissions . NIC Wheels, Front 22.5x7.5 White Powder Coated Steel, 10- Hole STD Tires, Front Two 11R22.:5G Goodyear Endurance RSA (496 rev/mile) STD Wheels, Rear 22.5x7.5 White Powder Coated Steel, 10- Hole . STD Tires, Rear Four 11R22.5G Goodyear Endurance RSA (496 rev/Tile) STD Hydraulic Brake System - Bosch HydroMax Included 21,000 lb. Single Reducton - Open - Dana / Spicer 21060S .. . . STD Multi -Leaf Springs - 21,000 Ib. Cap. STD Single Channel - Straight 'C' 15.14 SM, 80,000 PSI. STD Single, Horizontal Muffler - Frame Mounted Right Side Back of Cab w/Catalytic Converter. STD 12 Gal. Single Tank Fuel Fill. Mandatory Charge Applied, Based On Tank Selectiorl.. $0.00 175 Amp Mitsubishi. Alternator. Included Battery - One 900 CCA, Includes Steel Battery Box . STD Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 0510.712017 17 202 of 525 Hondru Ford 300 South Main Street, Marrheim, Pennsylvania, 175452213 Z Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 759 Quote IDNational 30/0/30 Fixed Driver & Fixed Passenger w/Consoiette - Vinyl ... STD Paint Type - Environmentally Friendly, "3 - Wet System" . STD Wheel Seals, Front - Oil lubricated, SKF ScotSeal PIusXL Seals Included Wheel Seals, Rear • Oil lubricated, SKF ScotSeal PIusXL Seals Included Lights - Roof Marker/Clearance - Amber Lenses, 5 Lights .. Included Tow Hooks, Front (2) •• Frame -Mounted, Painted Black. . Included Floor Covering - Black Vinyl .. Included Intelligent Oil Life Monitor ...Included Steering Column - Tilt Included Steering Wheel - Black F'VC w/Integral Cruise Control Switches Included 12,000 Ib. Cap. Non -Driving - Dan.a E-1202I - I -Beam Type . $525.00 212" Wheelbase/138" CA/81" AF/332" OAL $515.00 Fuel Tank - LH 60 Galion - Steel $250.00 SYNC Media System $395.00 Racio, Electronic Premium AM/FM Stereo, Disc. $280.00 Mirrors, Dual - Heated & Motorized Rectangular, XL2020 - 102" Width $275.00 Transmission Power Take -Off Provision $295.00 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special Iota[ pricing, availability or pricing adjustments rot reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05f0112017 18 203 of 525 Hondru Ford 2017 F-750 Gas, Regular Cab 300 South Main Street, Marheim, Pennsylvania, 175452213 Regular Cab Base(F7A) Office: 717-665-3551 Price Level: 750 Quote ID: Nayona Ford TorqShift HD 6-Speed Automatic - Double Overdrive, less PTO Provision, less Park Pawl STD Trailer Connection Socket - 7-Way, Wired for Turn Signals, Separate of Stop $100.00 Body Builder Wiring - At End of Frame, Separate - (ILO Standard - Back of Cab Combined) $135.00 6.50 Axle Ratio N/C Special Rating GVWR - Limited to 25,999 Ib. GVWR $120.00 Taper -Leaf Springs, Parabolic - 12,000 Ib. Cap $305.00 Front Stabilizer Bar $490,00 Lube, Front Axle, EmGard 50W, Synthetic Oil $50.00 Lube, Rear Axle, EmGard 75W-90, Synthetic Oil $100.00 Shock Absorbers, Rear • Double Acting. $165.00 Jump Start Stud - Remote Mounted .$90.00 Voltmeter $100.00 Daytime Running Lamps $45.00 Appearance Group $735.00 Chrome Trimmed Air Registers w/Positive Shut -Off Included Power Equipment Group - (Included in (90A) Appearance Group) Included Four Body Builder Switches - Mounted in Center Instrument Panel ... $125.00 Remote Keyless Entry w/2 Key Fobs $170.00 Anti Theft System $120.00 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments rot reflected in the dealer's computer system. See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date; 05/01/2017 19 204 of 525 Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 yf Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: National COV Required. NIC Exterior Appearance Group $730.00 Bumper, Front - Full Width, Chrome Plated Steel - (Included in (90E) Exterior Appearance Group) Included Chromed Fender Badge ... Included Chrome Grille Surround - (Included in (90E) Exterior Appearance Group) Included Oxford White NIC Gray ... NIC S U BTOTAL Destination Charge . . . $64,645.00 $1,495.00 TOTAL $66,140.00 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information, Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 0510112017 20 205 of 525 9.7',..111.4.0.4,:k Hondru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 Performance 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: Nations Performance predictions in this report represent an estimate of vehicle performance based on standard operating conditions. Variations in customer equipment, load configuration, ambient conditions, and/or operator driving techniques car cause significant variations in vehicle performance. These values are not representative of results that may be shown in actual dynamometer tests. This report should therefore be used as a guide for comparati :.e vehicle performance. tff U1 Dimensions A .... C D E F .... G .. H. v L L. M Tt Front of Bumper to Front Axle. . 39.00 in, Front Bumper to Back of Cab (BBC).. .. . 113.00 in. Wheelbase (WB). 212.00 in. Overall Length (OAL) 332.00 in. Back of Cab to Rear Axle (CA). . 138.00 in. Back of Cab to End of Frame.. . 219.00 in. Rear Axle to End of Frame (AF) ... 81.00 in. Frame Section Height.... . ... 10.30 in, Rear Frame Height Unloaded... 38,00 in. Rear Frame i-ieight Loaded 36.50 in. Cab Height. 92.90 in. Body Width .. 96.70 in. Maximum Ground Clearance N/A Minimum Ground Clearance NIA Front Tread 81.80 in. Rear Tread . 72.60 in. Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current Information. Prepared for: Chuy Vallejo, City o; National City By: Rick Martin Date: 05/0112017 206 of 525 21 Honu Ford 300 Sodruth Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 quote ID: National Performance (cont'd) Weight GVW Front Axle Rear Axle Totals Chassis. 5,777 Ibs .3,661 Ibs . 9,438 Ibs Body .0 lbs .... .. . .0 Ibs 0 Jbs Occupants Weight 200 ibs 100 Ibs ... 300 Ibs Fuel 40 lbs .. 20 Ibs . 60 lbs 1 Max Payload - (Max Payload).. .. 5,983 Ibs 10,218 Ibs 16,201 Ibs TOTAL 12,000 Ibs 13,999 Ibs 25,999 Ibs Ratings GAWR. Wheels/Tires.. Suspension Axle Legal Axle Limit... Front Axle Rear Axle GVWR 12,000 Ibs .. 21,000 ibs 12,350 Ibs 23,360 ibs 12,000 ibs .21,000 ibs 12,000 Ibs 21,000 Ibs 0 Ibs 0 lbs Selected Options that limit GVWR Totals 18D Special Rating GVWR - Limited to 25,999 lb, GVWR .. 25,999 Ibs 25,999 Ibs Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system. See salesperson for the most current information. Prepared For: Chuy Vallejo, City of National City By: Rick Martin Date: 0510112017 207 of 525 22 Handru Ford 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-665-3551 Performance (cont'd) Start, Grade and Speed Shift indicator Vehicle equipped without Park Pawl. Shift indicator will display RNDM. Start Ratio Start grade capability in 1st gear ... 3.97 Start grade capability in reverse. . 3.13 Grade maximum grade in 4th gear Maximum grade in 5th gear Maximum grade in 6th gear. Ratio 1.15. 0.86. 0.67 Speed Top Speed (level grade) . To meet your requirement you need a maximum axle ratio of 11.20 Top Speed on 3.0% grade.. ... To meet your requirement you need a maximum of 165 hp Cruise Speed Engine RPM at desired cruise speed . . Variables in Use Rear axle ratio:. . Tire size:.. Gross Vehicle Weight (GVW): Clutch engagement torque: l nrriiie conversion ratio: Peak engine torque: Engine Power:.... 6.5016.50 11R22.5 (496 rev/mile) 25,999 ihs 230 ft.ibs. 2.00 460 ft.Ibs. 320hp@3,900rpm 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Levet: 750 Quote ID: Nationa Desired 15.00 %.. 15.00 % Desired 3.00 % 3.00 % 3.00 % Desired 75 mph 55 mph 60 mph Peak Torque RPM:.. Frontal Area:. Cruising RPM. Worst road surface. Final Drive Ratio: crag Coetificient Calculated 21.19 % 16.68 % Calculated 6.13 % 4.57 % 3.59 % Calculated 83 mph 72 mph 2,173 rpm 3,000 rpm 56.34 Sq.Ft. 2,600 rpm Typical Highway 0.67 0.80 Prices and content availability as shown are subject to change and should be treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments not reflected in the dealer's computer system, See salesperson for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05/01/2017 208 of 525 23 Hondru Ford r 300 South Main Street, Manheim, Pennsylvania, 175452213 Office: 717-655-355 1 Performance (cont'd) Shift Chart 5.000 4,500 4,000 3,500 3,000 E. 2,500 2,000 1,500 1 1,000 Soo 2017 F-750 Gas, Regular Cab Regular Cab Base(F7A) Price Level: 750 Quote ID: Nation. �Gear5111ft Cruise Speed —Pe* Torque RPM Peak HP RPM -.Cruising RPM Governed RPM 2 d 3rd .. a { 5 10 15 2Q 25 30 35 44 45 50 55 50 65 70 75 80 85 90 95 mph Turning Radius Turning radius to curb: Turning radius to bumper.. . 28.12 ft 29.69ft Prices and content availability as shown are subject to change and should be Treated as estimates only. Actual base vehicle, package and option pricing may vary from this estimate because of special local pricing, availability or pricing adjustments notreflected in the dealer's computer system. See salesperson•, for the most current information. Prepared for: Chuy Vallejo, City of National City By: Rick Martin Date: 05/01l2 17 209 of 525 24 9/14/2017 National Joint Powers Alliance :: HD Industries, Inc. Home > Cooperative Purchasing >Contracts - Fleet >Roadway Maintenance, Asphalt, Snow & Ice > HD Industries, Inc. FI.U. INDUSTRIES, INC. Overview Contract Documentation Pricing Marketing Materials WA Contact Information HOW TO PURCHASE r Our step-by-step guide Vendor Contact Info Harold Dillingham Dir&ct Phone: 500-256-6126 Info1+Ooro-patch.com www.oro-patch,corn HD Industries, Inc. Contract#: 113012-HDI Categery: Roadway Maintenance, Asphalt, Snow & Ice Description: Pot -Hole Repair Maturity Date: 02/20/2018 _1TL A AWARDED c:.3N H.D. Industries, Inc is a leading manufacturer of Asphalt Pothole Fetchers with 34 years of experience. The Pro - Patch Pothole Patcher by H.D. Industries, Inc is a patented asphalt patching machine capable of making effective and permanent repairs under all weather conditions. We have a 45,060 sq. foot facility that ensures our patented designs are integrated with state of the art engineering and top quality workmanship from experienced craftsman. Call us today or visit www.Pro-Patch.com for a demo of our product and more information about our products. h ttp s://www. n j p a co op , o rg/coo pe rati v e-purch a s i ng/contracts-fl eetl roadui 210 of 525 asphalt-snow-ice1113012-hdi/ 111 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY WAIVING THE FORMAL BID PROCESS PURSUANT TO NATIONAL CITY MUNICIPAL CODE SECTION 2.60.260 REGARDING COOPERATIVE PURCHASING AND AUTHORIZING THE CITY TO PIGGYBACK NATIONAL JOINT POWERS ALLIANCE CONTRACT NO. 113012-HDI WITH H.D. INDUSTRIES, INC. FOR THE COOPERATIVE PURCHASE OF ONE (1) H.D. INDUSTRIES PRO -PATCH TCM-425-80 DHE MOUNTED ON A 2018 FORD F-750 CHASSIS FROM HAAKER EQUIPMENT COMPANY FOR POTHOLE REPAIRS IN AN AMOUNT NOT TO EXCEED $180,109 WHEREAS, as part of the Fiscal Year 2018 annual budget, City Council approved funding through the Equipment Replacement Fund for the purchase of one (1) heavy duty patch truck for pothole repairs for the National City Engineering and Public Works Department; and WHEREAS, there is an opportunity for the City to piggyback on the National Joint Powers Alliance (NJPA) Contract No. 113012-HDI with H.D. Industries, Inc., for the cooperative purchase of one (1) H.D. Industries Pro -Patch TCM-425-80 DHE mounted on a 2018 Ford F- 750 chassis to Haaker Equipment Company, in an amount not to exceed $180,109.58; and WHEREAS, Section 2.60.260 of the National City Municipal Code provides that the City may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined to be in substantial compliance with the City's procurement procedures, and such a determination has been made in this case. It is therefore recommended that the purchase be made without complying with the competitive bidding procedure set forth in the Municipal Code. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby affirms the determination that the National Joint Powers Alliance's procurement procedures are in substantial compliance with the City's, and pursuant to Section 2.60.260 of the Municipal Code, authorize the waiver of the bidding process to piggyback on the National Joint Powers Alliance (NJPA) Contract No. 113012-HDI with H.Q. Industries, Inc., for the cooperative purchase of one (1) H.D. Industries Pro -Patch TCM-425-80 DHE mounted on a 2018 Ford F-750 chassis from Haaker Equipment Company for pothole repairs in an amount not to exceed $180,109.58. PASSED and ADOPTED this 3rd day of October, 2017. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk Angil P. Morris -Jones City Attorney 211 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 212 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the City of Modesto Pu 212 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATF7 (October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Resoiution of the City Council of the City of National City, waiving the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City (Buyer) to piggyback the City of Modesto Purchase Order (Contract) No. 112254 with Municipal Maintenance Equipment, Inc. to award the purchase of one (1) RAVO 5 iSeries Sweeper to Municipal Maintenance Equipment, Inc. in an amount not to exceed $253,574.18, consistent with City of Modesto Request for Bid and Specifications No. 1617-12. PREPARED BY: Ray Roberson, Management Analyst II PHONE: 1(619) 336-4583 EXPLANATION: See attached explanation. DEPARTMENTS Engineering/Public Works APPROVED BY: FINANC1AI STATFMFNT: APPROVED L ( Finance ACCOUNT NO. APPROVED: 044-416-221-511-0000 (Equipment Replacement Reserve): $253,574.18 Funds are appropriated and available in the above account. ENVIRONMENTAL REVIEW: jN/AE ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Adopt Resolution awarding the purchase of one (1) RAVO 5 iSeries Sweeper to Municipal Maintenance Equipment, Inc. in an amount not to exceed $253,574.18. BOARD / COMMISSION RECOMMENDATION: 1N/A.l MIS ATTACHMENTS: 1. Explanation 2. Quote 3. City of Modesto Resolution, Purchase Order (Contract) No. 112254, RFB and Specifications No. 1617-12 4. Resolution 213 of 525 Explanation: As part of the FY 2018 annual budget, City Council approved funding through the Trash Rate Stabilization Fund for the purchase of one (1) street sweeper for the National City Engineering and Public Works Department. Staff seeks Council authority to waive the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorize the City (Buyer) to piggyback the City of Modesto Purchase Order (Contract) No. 112254 with Municipal Maintenance Equipment, Inc. to award the purchase of one (1) RAVO 5 iSeries Sweeper to Municipal Maintenance Equipment, Inc. in an amount not to exceed $253,574.18, consistent with City of Modesto Request for Bid and Specifications No. 1617-12. NCMC Section 2.60.260 provides authority to the purchasing agent to join with other public jurisdictions to take advantage of cooperative purchasing opportunities, including but not limited to any federal, state or local agency pricing program or structure that is determined by the purchasing agent to allow a procurement that is in the best interests of the City. The purchasing agent may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined by the purchasing agent to be in substantial compliance with the City's procurement procedures, irrespective of the contracting limits of that jurisdiction or agency, even if the City had not initially joined with that public agency in the cooperative purchase. National City's purchasing staff has confirmed that the City of Modesto Bid and Specifications No. 1617-12 was competitively bid through a Request for Bid (RFB) process, and that the respective procurement procedures are in substantial compliance with those of National City. Therefore, staff requests that City Council authorize the City (Buyer) to piggyback the City of Modesto Purchase Order (Contract) No. 112254 with Municipal Maintenance Equipment, Inc. to award the purchase of one (1) RAVO 5 iSeries Sweeper to Municipal Maintenance Equipment, Inc. in an amount not to exceed $253,574.18, consistent with City of Modesto Request for Bid and Specifications No. 1617-12, as allowed by Section 2.60.260 of the National City Municipal Code regarding cooperative purchasing. The funding to purchase this vehicle was approved by City Council through adoption of the FY 2018 annual budget. The Equipment Replacement Reserve will be replenished by the Trash Rate Stabilization Fund. 214 of 525 ' a f "Customer Satisfaction is Our Goal" August 30, 2017 2360 Harvard Street • •Sacramento, CA 95815 • (9I6) 922-1 101 • Fax: (916) 922.1034 1913 Nancita Circle • Placentia, CA 92870 • (714) 528-8770 • Fax: (714) 528-8744 4750 Caterpillar Rd., Unit D • Redding, CA. 96003 • (530)-243-4856 a Fax: (530) 243-1447 1930 W. Winton Ave., Suite 8 • Hayward, CA 94545 • (510) 670.0230 .• Fax: (510) 670-9003 www.source-rnrne.coin • California State Contractors License #980409 • DIR 1000004282 City of National City TEL 619-336-4589 Public Works FAX 619-336-4594 1726 Wilson Avenue tgaut©nationalcityca.gov National City, CA 91950 Attention: Tony Gaut, Equipment Maintenance Supervisor We are pleased to provide the following cooperative purchase proposal and information for the City of Modesto's recent purchase of a RAVO 5 iSeries Sweeper for your review. Municipal Maintenance Equipment, Inc. is happy to offer additional unit(s) as.provided to the city of Modesto. We can honor the purchase price of $229,275.00 for each RAVO 5 iSeries per City of Modesto's Bid No. 1617-12 opened 10-26-116 and Purchase Order No. 112254 dated 1-30-17. To meet the requirements for the City of National City, we are able to make the following additionto the City of Modesto's specifications for your consideration: Addition: Container Dump (High Dump) Summary: 1 each RAVO 5 iSeries per City of Modesto's bid specs Including above Container Dump Addition Sub -Total 8.75% Estimated Sales Tax CA Tire Fee Total F.O.B. National City, CA $ 3,887.00 • $229,275.00 + 3,887.00 $233,162.00 20,401.68 • 10.50 $253,574. 1 8 Quotation includes delivery and on -site training n Normal delivery 150-180 days A,R.O. • • Sales tax applicable at time of delivery will be shown on invoice O Terms Net. 30 • Quotation valid for 30 days Thank you for your continued interest in this fine product. We appreciate the opportunity to offer the RAVO Compact Sweeper for your review and look forward to being of further service should you require it. Respectfully submitted, Municipal !MMaintenar.,ce Equipment, Inc. (.fames Wheeler, General Manager Enclosures 215 of 525 WEEillN4.3 AROljNo THE WQRLD WITri PrissioN 216 of 525 SLVEEPflIc5 ROLfNt) TJft VNi014L0,VVIT.1i PA55l67. 1. introduction 2. Definitions 3. Scope of the warranty 4. Obligations of the beneficiary 5. Period of warranty 6. Exclusions 3 3 5 5 6 FAYAT GROUP 217 of 525 I. Introduction The Fayat Group, of which RAVO is part, develops, produces and setts high -quality products throughout the world. We strive to provide optimal service and competitive prices for our clients. This as supported bythe factory warranty provided with each new machine with which we express our confidence In the quality of our products. These conditions describe the scope ofthe procedures related to the factorywarrastty. All sales and service employees of RAVO are expected to be aware of the policy and procedures established in these warranty conditions. We call your attention to the fact that the procedures are not the same for all companies within the Fayat group. .The warranty conditions are part of the RAVO dealer and/or service dealer contract, and offers prepared by RAVO and are exclusively intended for use by RAVO (service) dealers. End users are not entitled to make claims against RAVO on the basis of these conditions; all requests must be directed to a recognised service point of the RAVO dealer network. In addition to the MVO warranty conditions, the FMME conditions apply to all offers made by RAVO and agreements made with RAVO, with the exception of art, XI {"Warranty") of the FME conditions. These RAVE} warranty conditions take the place of the warranty provision We* FME conditions. Important: Warranty claims are only valid when the conditions established in article d of these wananty conditions have been satisfied. 2. Definitions -RAVO: the private limited company RAVO BV established according to the laws of the Netherlands established in Alkmaar, The Netherlands, registered with the Chamber of Commerce in Alkmaar under no. 37045872. - Manufacturing defect: a deficiency that was not detectible at the time of inspection or delivery that the dealer proves to have been entirety or primarily a direct result of Incorrect construction by RAVO, poor workmanship and/or the use of poor -quality materials. -End user. a person that purchases RAVO products for his/her own use. - Dealer_ (re)seller of RAVO end products and/or provider of maintenance service. - Form 5E330.07: Form concerning delivery, installation and warranty registration that roust be filled in by the dealer and end user at the time of sale. 218 of 525 3. Scope of the warranty 3.1 RAVO guarantees the machines and parts that it produces and sells against defects that occur during the period established in article 5 that are entirely or primarily the result of a manufacturing defect. The obligations of RAVO resulting from {defects in) (portions of) machines and parts it sells are limited by the conditions of this warranty. 3.2 Machines The warranty on machines establishes the right to compensation of the cost of replaced parts and the directly related labour costs, to the extent these costs were necessary to restore a factory defect. Parts The warranty on parts exclusively provides the right to compensation of the cost of the replaced part, to the extent these costs were required to restore a factory defect of the replaced part. There is no right to compensation forthe related labour costs. 3.3 The warranty provides no right to compensation for costs not explicitly mentioned in article 3.2, such as costs for replacement machines, regular maintenance, transport {incl. government taxes), lubrication and leaning agents, towing. administration, fuel and additional costs. Furthermore, the warranty provides no right to compensation forthe cost of temporary ar repeat repairs. Costs included under "temporary repairs" indude all costs for workthet will not result in the permanent repair of a defect. 3.4 - If the dealer does not satisfy all of the obligations of the dealer agreement, the sales agreement or any related agreement with RAVO or does not do so adequately or within the established time frame, RAVO is exempted from all warranties related to these agreements. 3.5 RAVO extends warranties exclusively to RAVO dealers that have purchased RAVO machines and/or parts directly from RAVO. Thewarranty cannot be transferred to, nor in any other way benefit, a third party. 3.5 Warranty is provided exclusively for machines and parts produced by RAVO. No warranty is given on machines and/or parts sold but not manufactured by RAVO unless RAVO has rights to compensation established by a warranty from the manufacturer. The term and coverage of this warranty is established by the manufacturer's warranty conditions. 3.7 At the request of the dealer, RAVO can mediate warranty claims for machines and/or parts that are provided directly from the manufacturer to the end user, however only after the dealer has first contacted the manufacturer and underthe condition that RAVO is under no obligation to provide a warranty for the concerned machine and/or part. 219 of 525 .11)0,r,v+'-'rrooty kltr?n , 4. Obligations of the beneficiary 4.1 MediInes must be registered by the end user within 14 days fallowing the date of delivery by sending the completed and signed form SF330.07. 4.2 RAVO must be Informed in writing, not laterthan 4 weeks following commencement of the work underwerrartty, of the nature and scope of the deficiency and the (budgeted) repair costs. Faltlure to comply with thls requirement results in annulment of the warranty coverage for this incident lender penalty of nullity, legal claims related *warranty procedures must be }r±liit + within 1 year of the timely not$ficatim of the deficiency. 4.3 The dealer's required to use original RAVO parts and accessories, obtained from RAVO, for warranty repairs. The cost of parts obtained from third parties and/or repairs tarried out by third parties will not be reimbursed, except with advance, written approval from RAVO. 5. Period of warranty 5.1 A right to coverage under warranty only exists when the beneficiary proves that the deficiency occurred within the period mentioned hereafter. 5.2 The start date of the warranty period is the date of delivery to the end user or at most 30 days from the date of departure from the RAVO manufacturing facility in Alkmaar, whichever is reached first. 5.3 Cieferral afthe warranty start date,, to a total of maximum 6 months, can be established ifthe machine is delivered prior to the in-ser to date. This must be suopurted through submission of a request for 'delayed warranty start dote." Including the date of delivery and the planned In- service date es well as a signed copy of form SF330.37. RAVO can deny the request. tithe machine is used before the delayedwarranty start date, the start date indicated in 5.2 applies. 5.4 The period of warranty: Compact sweepers: • 2 years or 2000 engine hours. The first value that is reached shall apply with binding effect. • 55 years on chassis and container module Tanker nodules lguiiey emptier, vacuum trucks and combinations): • 1 year or 1000 hours of vacuum purrnp operation, The first value that's reached shall apply with binding effect. • 5 years -for tine tank Parts sold and produced by RAVO: • 1 year. Demoanadiines • 1 year or 1:100 engine hours. The first value that is reached shall apply with binding effect. 220 of 525 6. Exclusions 15. i There Is no right to warranty coverage lithe dealer cannot prow that • the failure is the result of factory defect • the regular maintenance inspections, and possible associated repairs, indicated in the maintenance booklet have been performed adequately and according to schedule • the machine and the part in question have been used in accordance with the intended use as defined in the RAVO use, maintenance and operating guidelines • repairs have been performed in accordance with the service manual for the machine • the defect is not the result of normal wear, such as wear of tires, wheels and components that are exposed to and/or related to the stream of contaminants, such as the suction nozzle and suction tube inducting connections, extensions elbows and other components, brushes and fan, fan cone and housing with fan tunnel • the machine and the part in question is adjusted (or has been) accordingto RAVO-established specifications • the failure is not the result of replacement or use of any part in the machine that was not provided by RAVO or does not meet the specifications established by RAVO • no change has been made to the machine that was not approved by RAVO 221 of 525 a: i,l1 Jiro i 111111111 AM •BAR a W tiii m ij Ail q MIMI '2 of 525 Ft YEARS- RAMP. ... MODESTO CITY COUNCIL RESOLUTION NO. 2017-15 RESOLUTION AUTHORIZING THE AWARD OF BID FOR THE PURCHASE OF A NEW COMPACT BIKE LANE SWEEPER TO MUNICIPAL MAINTENANCE EQUIPMENT, SACRAMENTO, CA, AND AUTHORIZING THE CITY MANAGER, OR HIS DESIGNEE, TO ISSUE A PURCHASE ORDER FOR AN ESTIMATED TOTAL COST OF $246,768 WHEREAS, the purchase of a new compact bike lane sweeper for the Green Waste Division of the Public Works Department has been approved to support the cleaning of new bike lanes in various Iocations around the City, and 'WHEREAS, the City Manager authorized the Purchasing Manager to issue formal Request for Bids (RFB) for new vehicles and heavy equipment through various competitive processes, and 'WHEREAS, on September 28, 2016, the Purchasing Division issued RFB 16I7- 12 for the purchase of a new compact bike lane sweeper on the City's website under the commodity codes for automotive vehicles, trucks with specialized bodies and street sweepers. Prospective bidders were notified online of the bid opportunity. Eight companies chose to download oad the RFD document, and WHEREAS, on October 25, 2016, bids were formally opened in the City Clerk's office. One company chose to respond. There are no local vendors capable of providing this type of equipment. Municipal Maintenance Equipment, Sacramento, CA, provided a responsive and -responsible bid, and WHEREAS, based on providing the overall lowest responsive and responsible bid, City staff recommends the award of bid for the purchase of a compact bike lane sweeper to Municipal Idlaintenarice Equipment, Sacramento, CA, for a total estimated cost of $246,768, and 0 tl10120171PWISFisahiolitem 16 2017-15 223 of 525 WHEREAS, Modesto Municipal Code Section 8-3.203 generally requires all purchases, which meet or exceed S50,000 for material, equipment or contractual services to be formally bid. The award of bid for the purchase of a compact bike lane sweeper to Municipal Ivlaintenance Equipment, Sacramento, CA, conforms to the Modesto Municipal Code 8-3,203, and WHEREAS, all street sweepers in the City are purchased by the Stormwater Compliance Fund and operated by the Green Waste Division, and WHEREAS, sufficient funds for a new compact bike Iane sweeper are budgeted in Fiscal Year 201 6-2017 in account 4480-44111-57003, NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby authorizes the award of bid for the purchase of a new compact bike lane sweeper to Municipal Maintenance Equipment, Sacramento, CA, BE IT FURTHER RESOLVED that the City Manager, or his designee, is authorized to issue a purchase order for an estimated total cost of S246,768. 0tf10120I7/FW/SFisahi<era 16 2 2017.1 224 of 525 The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 10th day ofJanuary, 2017, by Councilmember Ridenour, who moved its adoption, which motion being duly seconded by Councilmember Zoslocki, was upon roll call carried and the resolution adopted by the following vote; AYES: Councilmembers: Ah You, Grewal, Kenoyer, Madrigal, Ridenour, Zosiocki, Mayor Brandvold NOES: Councilmembers: None ABSENT: Councilmeinbers: None ATTEST: (SEAL) APPROVED AS' TO FORM: By; ADAM U. LINDOREN, City A a1l}0/2017/PWfSFischioiutem k6 3 TEPH IE LOPEZ, City 2011-15 225 of 525 MODESTO CALIFORNIA PURCHASE ORDER City of Modesto Purchasing Division 1010 Tenth St„Suite 5300 Modesto, CA, 95354 Tel: (209) 577-5405 Fax: (209) 544-6821 Vendor: MUNICIPAL MAINTENANCE EQUIP 2360 HARVARD STREET SACRAMENTO,CA, 95815 Purchase Order No: 112254 Deliver By : 30-JUN.-2017 Foe . Terms : Wet SO Buyer : Cindy Medley Requester : Kathleen Crandall Issue Date : 30.JAN-2017 Page : 1 of 2 IRevisien: Ship To: PW.Fleet Services Administration 1609 6th Street Modesto, CA 95354 Invoice To: City of Modesto Accounts Payable PO Sox 642 Modesto, GA 95353 Vendor Contact: Email: Fax: i1NE OTY ' UOM ITEM - DESCRIPTION UNIT PRICE EXTENDED PRICE 1 2 3 l I 1 1 1 I� 1 Each LOT Each CURRENT YEAR, RAVO 5 iSERIES, SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED PER SPECIFICATION 1617-12 TIRE RECYCLE FEE VENDOR TO COMPLETE ALL DPiV PAPERWORK, THE CITY REQUIRES AN EXEMPT PLATE FOR, LOCAL GOVERNMENT. I . 229,276,0300 10.5000 0.0000 I i i 225,275,00 10.50 0,00 Note to Supplies: Per RFB 1617-12, Uafed 10125/16 From Frank Wheeler 111 SALES TAX: $ 16,909.03 IMPORTANT 1NSTRUCTYONS 1.INVOICE IN DUPLICATE. MAIL PROMPLTY TO CITY OF MODESTO ATTN:ACCT PAYABLE P.O.BOX 642, MODESTO, CALIFORNIA 95353. 2. INVOICE EACH PURCHASE ORDER SEPARATELY. 3. ALL ITEMS F.O.B DESTINATION UNLESS OTHERWISE SPECIFIED. 4-CITY RESALE PERMIT N(7•SRAM 28-043E175. 5. ORDER SUBJECT TO CON➢ITIONS SET FORTH ON FACE OF ORDER AND ATTACHED TERMS AND CONDITIONS. TOTAL: $ 246,194.53 Ili 226 of 525 PURCHASE ORDER -TERMS & CONDrONS 1.PAYMENTS: Payments shalt be made iipon submission of itemized invoices in duplicate at the prices stipulated herein for supplies delivered and accepted or services rendered and accepted, less deductions, if any, as herein provided. Payment for partial deliveries may be made whenever amounts due so warrant or when requested by the Vendor and approved by the Purchasing Manager, 2.INSPECTiON: All materials and workmanship are subject to Inspection and test by the City for compliance with specifications.as inrliu1ed herein, within a reasonable time after delivery. In the event articles or services ere detective or not in conformity with this order, the City shall have the rights to either reject the items or require correction. Defective articles or services shag be removed from City premises and/or corrected by and at the expense of the Vendor. Failure to inspect and accept or reject shall not relieve the Vendor from responsibility for compliance with specifications. Final acceptance shall be conclusive except as regards to latent defects, fraud. or such gross mistakes as amount to fraud. 3.RESPONSIBiLITY: Unless otherwise specified, the Vendor shall be responsible for all items covered by this Purchase Order until delivered at the designated delivery point and the Vendor shall bear all risks as to items rejected or requiring correction after notice of such rejection or correction is given. 4.SHIPMEN1': All items F.O.B. Destination unless otherwise specified. When authorized, freight to be prepaid. Do not ship collect Original receipted freight bill must accompany invoice. Shipment must be made within the time stated on Purchase Order, failing which City reserves the right to purchase elsewhere and Charge Vendor with any loss incurred, unless delay in making shipment is due to unforeseeable causes beyond the control, and without the fault or negligence of the Vendor. S.CHANGES. This Purchase Order may at any time, by written order, be changed in regard to the materials or service to be furnished, quantities ordered, unit price, discount, delivery point or arrangeernents, terms or any other 'natters affecting a valid order. In the event such change causes an Increase or decrease in the cost of performance hereunder, and equitable adjustment will be made for the cost thereof, subject to the approval of the Purchasing Manager, and written notice given therefore. b.WARRANTYNT : Notwithstanding any other provisions of the order, Vendor warrants that the materials, supplies or other services furnished shall be of the most suitable grade and exactly as specified in this order. Such warranty shall include the following: performance, workmanship, labor, materials, seller's design or engineering contributions. if a defect is discovered in any item of materials, supplies or services covered in this order, Vendor shall correct at its expense, Including transportation/freight, such defects as are reportedwifhin one year of final_acseptance. Upon expiration of the applicable warranty period. all such liability shall terminate except for fraud, or such gross mistakes as amount to fraud, Patent detects er specific failure to comply with the terms of this order. 7.DlSCOl3NT: In connection with any discount offered, time will be computed from date of delivery to carrier when delivery and acceptance are at point of origin, or from date of delivery and acceptance if at destination or from date correct invoice Is received by City if invoice date is later than date of delivery. &INSURANCE: All orders where work, maintenance, or service is performed on City property require appropriate Insurance and indemnification. Services will be suspended without proper insurance certificates being on tile with the City. Contact the City Purchasing Office to verify the type and amount of Insurance required. 9.EXEMPTIONS: The City is exempt from payment of Federal Excise Tax, All invoices shall be exclusive of such excise lax. 1f purchase is not subject to Sales Tax, the statement tor resale will appear In body of Purchase Order. 1O.INFRINGEMENT: Vendor agrees to protect. Indemnify and save harmless the City as buyer, its agents, officers, employees, and volunteers from any claim, loss or damage from infringement of trademarks patents, copyrights and unfair competition action with respect to this Purchase Order. 11.!NDEMNITY: The Vendor shall hold the City,lts agents, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims,losses,Iiabilities, judgments or damages from every cause, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, arising directly or indirectly out of any negligent tar intentional act or emission of Vendor, or its agents, officers, employees, or volunteers relating to or during the performance of ils obligations under this Agreement. Vendor's obligation to defend, indemnify, and hold the City, its agents, officers, and employees harmless under the provisiohs of this paragraph is not limited to or restricted by any requirement In this Agreement for Vendor to procure and maintain a policy of insurance. In the indemnity clause contained herein Vendor agrees to defend, indemnify and hold City harmless from the negligence of its employees, among other risks. With reference to fres foregoing, the parties agree that all risk of loss, including but not limited to damages, property losses and Defense of third party suits, arising out of or reta ing to the operation of City owned vehicles by Vendor's employees is apportioned to Vendor in accordance with Ilia provisions i uri ined iri Indemnity. 12.GOVERNING LAW: This Purchase Order shall be deemed made in, governed by, performed in, and construed and enforced in accordance with the laws of the State of California, U.S.A„ without giving effect to its conflicts of laws, provisions or principles. 13.UABI UTY: The City shall not be responsible for any damage that may accrue by reason of the death or injury of the person of the Vendor's officers, agents, employees, invitees, or licensees, or be set up at any time because of personal injury or damage to oroperty sustained by any other person or persons, which may have been caused or contributed to, approxlmately or remotely, by reason of or in the course of performance of the Purchase Order. The Vendor shall assume full responsibility for the defense of any claim arising under the Purchase Order and the Vendor shall Rave, keep, and bear harmless the City, all officers and employees thereof, from ail damages, costs, or expenses because of personal injury or property damage based on the performance of this Purchase Order or asserted against It. 14,DISPUTES: Al! disputes concerning questions of fact which may arise -under this -Purchase Order, and not disposed of by mutual consent, shall be decided by the Purchasing Manager. 1S.OFFER AND ACCEPTANCE: Vendor represents its acceptance to provide products and/or services as follows: City's offer to purchase products and/or services is expressly candilioned upon Vendor's assent to the terms and conditions set forth in City's purchase order documents, specifications, supporting data, and these articles. Vendor agrees that Vendor's Order Acknowledgment terms and conditions received prior to, during, or after order placement by City are hereby rejected. City purchase orders signed by the City's Purchasing Manager or his/her designated agent and issued to Vendor constitute written notification to Vendor of City's rejection of any and all of Vendor Order Acknowledgments, counter offers and changes to the City's terms and conditions. 16.CANCELLATION: The City reserves the right to cancel the order with the vendor upon failure to meet contractual expectations andler obligations, as recommended by the Purchasing Manager or his/her designee. Either party may terminate the contract in its uniiateral discretion for any or no reason by providing at least sixty(SO) days written noliee of its desire to terminate. 17.ASSIGNMENT: Neither this purchase order nor any portion thereof shall be subcontracted or assigned without the written consent of the City in each and every instance. 18.MISCELLANEOUS: Time is of the essence in each and every provision of this purchase order. 227 of 525 MODESTO CALIFORNIA CITY OF MODESTO REQUEST FOR BID MW SPECIFICATIONS NO. 1617-12 FOR SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED BID OPENING: October 25, 2016 at 11:00 A.M. CITY OF MODEST° CONTACT: Cindy Malley, Buyer E-MAIL ADDRESS: cme1y a®modestogov.com PHONE: (209) 571-5164 1 228 of 525 CITY OFF MODESTO REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 TABLE OF CONTENT'S Page Notice to Bidders ... ••-3 City Contacts ... 4 Calendar of Evens ..., ... ......,.4 Offer and Acceptance. 4 FORMS BM Acknowledgement (Signature Form) 5 Pricing Schedule (Signature form) ••«6 Exceptions, Clarifications, Amendments 7 References ... 8 Financial Interest Disclosure Four », 9-11 Company History Statement. ...... ... ... 12 Support of Local Vendor Declaration Form ..13 KCAL SPECIFICATIONS AND REQXJ NTS Scope of Work ... ....14 Technical Liaison ............ .......,..14 Delivery, Inspections and Acceptance .... 14 GENERAL TERMS AND CONDITIONS Bid Submittal 15 Acceptance/Rejection oflrreguiar Bids. 15 Complete Bid Document ....... 15 Compliance / Non-Corplianc.e 16 Pricing Format ». 16 Pricing Schedule 16 Award of Bid 16 Termination of Services ... ..................17 Payment, .;. .....20 Ailachment A— Equipment Specification PSIS 88 —SWEEPER, COMPACT, BIKE Imo, TRUCK MOUNTED 2 229 of 525 NOTICE TO BIDDERS NOTICE IS H H REBY GIVEN flat the City of Modesto, County of Stanis? a~us, State of California, will receive at the City Clerk's office, 1010 Tenth Street, Suite 6600, Modesto, CA 95354 sealed bids for the purchase and delivery of one current year sweeper, compact, bike lane, trek mounted for the Public Works Department, Fleet Services Division. All equipment, materials, and supplies shall be fitrnished F.O.B. City of Modesto. Bids can be downloaded from the City's Purchasing website at http://www.modestogov.com/257/Contracting-Bid- Opportunties; such bids shall include all necessary specifications. Each bid .hail be sealed and filed with the City Clerk's office, 1010 Tenth Street, Suite 6600, Modesto, CA 95354 no later than Tuesday, October 25, 2016 at 11:00 A.A , at which time bids will be opened, read and recorded. All bids shall be available for review following City Council award approval, at the Purchasing Division, 1010 Tenth Street, 5th Floor, Suite 5300, Modesto, CA 95354. Bids will be received only at the address shown above, and prior to the time indicated. Any bid received at or after said time and/or date, or at a place other than the stated address cannot be considered and will be returned to the bidder unopened. All bids, whether delivered by an employee of the bidder, U.S. Postal Service, courier or package delivery service mast be received and time stamped at the stated address prior to the time designated. The City Clerk's time stamp shall be considered the official timepiece for the purpose of establiFhing the actual receipt of bids. The City of Modesto assumes no responsibility for delay in the delivery of the bid. On the outside of boot the bid envelope and courier envelope, the bidder shall indicate the following: NAME AND ADDRESS OF BIDDER SPECi 1CATION NUMBER 1617-12 SWAP t, COMPACT, DEICE LANE, TRUCK MOUNTED BID OPENING DATE: OCTOBER 25, 2016 AT 11:00 A.M. MAIL TO: CITY CLERK 111 OF MODESTO P.O. BOX 642 MODESTO, CA 95353 COURIER TO: CITY CLERK CITY OF MODESTO 1010 10711 STREET, SUITE 6600 MODESTO, CA 95354 The City reserves the.right to reject any or all bids or to waive any informalities or minor irregularities in a bid. No bidder may withdraw -his/her bid for a period of sixty (60) days after the date setior.the-npening thereof. Bidder shall state the warranty covering items bid, in writing, with the City's bid sheet at the bid opening. 3 230 of 525 CITY CONTACTS All questions regarding these specifications, terms, and conditions shall be submitted in writing via email to: cmedley@a,modestogov.com All contacts during the bid process shall be through the Purchasing Division. Attempts by the bidder to contact department representatives may result in disqualification of the bidder from the bid process. CALENDAR OF EVENTS Event Date Bid Issued September 28, 2016 Written Questions Due October 4, 2016 Addendum Issued October 11, 2016 Response Due BEFORE 11:00 A.M. on Tuesday, October 25, 2016 Bid Award Date December 1, 2016 Note: Award date is approximate. Note; Deliver or mall bids to the referenced address, rn1v, as indicated in the Notice to Bidders. It is the responsibility of each bidder to be familiar with all of the specifications, terms and conditions and the site condition (if applicable). The bidder agrees and acknowledges all RFB/Q specifications, terms, and conditions and indicates the ability to perform by submission of a bid. By the submission of a bid, the bidder certifies that if awarded a contract they will make no claim against the City based upon ignorance of conditions or misunderstanding of the specifications. OFFER AND ACCEPTANCE: Seller represents his/her acceptance to provide products and/or services as follows: City's offer to purchase products. and/or services is expressly conditioned upon Seller's assent to the terms and conditions set forth in City purchase order documents, specifications, supporting data, and these articles. Seller agrees that Seller's Order Acknowledgement terms and conditions received prior to, during, or after order placement by City are hereby rejected. City purchase orders signed by the City's Purchasing Manager or his designated agent and issued to Seller constitutes written notification to Seller of City's rejection of any and all of Seller Order Aclmowledgements, cater offers and change to the City's-terms and conditions. 4 231 of 525 REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED BID ACKNOWLEDGEMENT The City is soliciting bids from qualified bidders to furnish its requirements per the specifications, tetras and conditions contained in the above referenced Bid number. This Bid Aclmowledgementnrost be comply signed by a reemomulde officer or employee, dated and submitted with the bid response. Obligations assumed by such signature must be fulfilled. 1. Preparation ofBids: (a) Ali prices and. notations nuasthe printed in ink ortypewritten. No erasures pentmted. Errors may be crossed out and corms printed in ink or typewritten adjacent and must be initialed in uric by person signing Orchid. (b) Quote price asspecified pecifiled in Bid_ No alberalans or changes or any }dad shall be permitted to Bid Fortin. Responses that do not comply shall be subject to rejection in totaL ' 2. Failure to Saha* Bid Ifyou are not submitting a bid but want to remain en the mailing list and receive theme bids, complete, sign and return this Bid . Acknowledgement and state the reason you are not pricing. 3. Taxes and Freight Charges: (a) Unless otherwise required and specified in the RFB, the prices quoted herein do not include Sales, Use or other taxes. (b) No charge for delivery, drayage, express, parcel post pang, cartage, cane, license fees, permits, costs of bonds, or for any other purpose, except taxes legally payable by City, will be paid by the City unless expressly included and itemized in the bid. (c) Amount paid for transpoaaticn of property to the City is exempt from Fedaral Transportation Tax. An exemption certificate is not required where the shipping paper shows the consignee as one (1) of the Agencies; as such papers may be ace. red by the carrier as proof of the exempt character of the shipment (d) Articles sold to the Agencies are exempt Sam certain Federal excise taxes. The Agencies will furnish an exertion certificate. 4. Award: (a) Unless otherwise specified by the bidder or the RFB gives notice of an aril -or -none award, the City may accept any item or group of items of any bid. (b) Bide are subject to acceptance at anytime within thirty (30) days ofopening, -unless otherwise specified in the RFB. (c) A valid, written purchase order marled, or otherwise furnished, to the successful bidder within the time for acceptance apecilied results in a binding contract without further action by either party. The contract shall be interpreted, construed and given effect in all respects according to the Laws of the State of California 5. Patent Indemnity: Bidders who do business with the City shall hold the City, its officers, agents and employees, harmless from liability of nature or kind, including cost and expenses,for infringement or use of anyp t, copyright or ether proprietary right, secret process, winded d or an. article ar appliance famished or used in connection with the contract ar purebase order. te>iad inveioa, 6. Samples: Samples of items, when required, shall be furnished fredof expense to the City and if not destroyed by test may upon request (made when the sample is furnished), be rettuned at the bidder's expense. 7. Rights and Remedies of Agencies for Default (a) In the event any item furnished by the bidder in the performance of the contract or purchase order should fail to conform to the specifications therefore or to the sample submitted by the bidder with its bid, the City may reject the same, and it shall thereupon become the duty of the bidder to reclaim and remove the same forthwith, without expense to the City, and immediately to replace all such rejected items with others contemning to suelh.specifications or samples; provided that should the bidder fail, neglect or refuse so to do the City shall thereupon have the right purchase in the open market, in lieu thereof; a corresponding quantity ofauy such items and to deduct from any moneys due or that may there after come due to vendor the difference between the prises maned in the contract or purchase order and the actual cost thereof to the City. In the event that the bidder fails to make prompt delivery assperi fled for any item, the same candltions as to the rights of the City to purchase ir_tlne_opanmatket and to reimbursetnent set forth above shall apply. except when delivery is delayed by fire, stake, freight embargo, or Act ofOod or the government (b) post of inspection or deliveries or offers for delivery, which do not meet specifications, will be home by the bidder_ (c) The rights and remedies of the Agencies provided above shall not be exclusive and are in addition to any other rights and remedies provided by law or under the contract. 8. Discounts: (a) Terms of less than ten (10) days for cash discount will be considered as net (b) In connection with any discount offered, time will be computed from date of complete, satisfactory delivery of the supplies, equipment or services specified in the RFB, or from date correct invoices are received by the City at the billing address specified, if the latter date is later than the date of delivery. Payment is deemed to be made, fbetepunpose of c=Mg thc discount, on the date ofmaMeg the t 's shook 9. California Government Code Section 4552: In submitting a bid to a public purebasing body, the bidder offers and agrees that if the but is accepted, it will assign 10 the purchasing body all rigs title, and isiterest in and to ail causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. 15) or under the Cartwright Act (Chapter 2, amiraencing with Section 16700, ofPart 2 ofDivision 7 of the Business andPrafessions Code), arising fines pure aces of goads, materials, or services by the bidder for sale to the purchasing body pursuant to the bit Such assignwent shall be made and become effective at the time the purchasing body tenders final payment to the bidder. 10. No Guarantee or Warranty: The City makes no guarantee or warranty as to the condition, emnphleteness or safety ofauy material or equipment feat may be traded in on this order. 11. One "Inked" Signed Original Bid Document Required: Failure to furnish one "inked" signed original bid document may result in disqualification. THE undersigned acknowledges receipt of the referenced RFB and/or Addenda and offers and agrees to furnish the Rrticies and/or services spewed on behalf of the bidder Indicated below, in accordance ;with the specifications, terms and conditions of this RFB and Bid Acknowledgement, for the pricing indicated on the Pricing Schedule. Fri$: Municipal Maintenance Equipment, Inc. Address: 2360 Harvard Street City/S elZap:Sacr nto, C 95815 Sigflstureffitiegaer. Vice President 10-14-16 5 232 of 525 Delivery to be included in price of vehicle. REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED PRICING SCHEDULE Item Description Qty Unit of - Issue Unit Cost Extended Cost Current Year Sweeper, Compact, Bike Lane, Truck Mounted 1 EA $ 229,275.00 $ 229,275.00. Tire Recycle Fee (non taxable) . 1 LT $ 10.50 $ 10.60 Sales Tax @ 7.625% 1 LT $ 17,482.22 $ 17,482.22 TOTAL PRICE $ 246,767.72 Year, Make and Model 2016 Ravo 5 iSeries Delivery Lead Time Number of Business Days After Receipt of Order. 90-150 Days /ARO If optional Air Suspended Drivers Seat is desired please add $1,400.00 If optional Water Recycling System is desired please add $3,801.60 If optional 100 hour Service Kit "c" is desired add $536.98 If optional 500 hour Service kit "b' is desired add $304.61 Dealer License Number (DIVIV) 14533 Option prices do not include Sales Tax The above stated pricing is subject to Net 30percent ( %) cash discount if invoice is paid 30 days after acceptance of equipment. Terms of less than ten (10) days will be considered as net. Does bidder accept the City's Epay Payment Program? Please check one: Yes No X Information regarding the program is provided in Section 2.20 Payment THE undersigned acknowledges receipt of the referenced RFB and/or Addenda and offers and agrees to furnish the articles and/or services specified on behalf of the bidder indicated below, in accordance with the specifications, terns and conditions of this RFB and Bid Ac znowledgement, for the pricing indicated on the Company Name: Municipal Maintenance Equipment, inc. By (Person Submitting Bid): Frank Wheeler ill Print) By (Person Submitting Bid): T._ (Signature) Title of Person Submitting Bid: Aire President Business Address, City, State, Zip 2360 harvard Street Sacramento, CA 95815 Email Address: tuvheeiesource-mme.com Telephone No.: 916-922-11°1 I Fax No.: 916-922-1034 , Date; 10-14-16 6 233 of 525 REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED EXCEPTIONS, CLARIFICATIONS, AMENDMENTS Exceptions, Clarifications, Amendments List requests for bid clarifications and exceptions below, if any, add company name and submit with your bid response. The bidder shall list any equivalent or equal product by make, model, and part number. Technical specifications for the proposed equivalent product shall be attached to the exceptions page. The exceptions will be reviewed, approved or denied at the time of evaluation. All exceptions shall be listed on this form. If excentions are not listed on this form, it will be assumed that bidder meets all specifications as written. Attachment Reference To: Description No. Page No. Paragraph No. {S` No Exceptions Taken' Bidder's Company Name: Municipal Maintenance Equipment, inc. 7 234 of 525 REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED REFACES Respondents are to provide a list of three (3) current or former r clients in the area provided below. References ahatl be provided as required in the bid specifications, terms and conditions. References shall have purchased a similar vehicle or equipment as outlined in these specifications, teams and conditions. The City may contact some or all of the references provided in order to determine the bidder's performance record on providing similar vehicles or equipment described in this bid. The City reserves the right to contact refe iices other than those provided in the response and to use the information gained from them in the award process. Company Name: City and County of San Francisco Address: 2323 Cesar Chavez Street City, State, Zip .Code: •. San Francisco, CA 94124 Contact Person: John Leal Tel9hone Number: 415-695-2133 Emil Address: john.leal©sfdpw.org 'rype cif Business: Public Works Date .of Purchase: 11-o6-201 S Company Name: City of San Rafael Address: 'i 11 Morphew Street City., State, Zap Code. San Rafael, CA 94901 Contact Person: . . Mark Wright Telephone Number: 415-486-3172 . Eanaii Address:. • . mark.wright@cityofsanrafael.org �'' +pe:of Business: Public Works Date of Burese: 8-03-2016 Company Name: City of Corte Madera ' Address: 81 Lucky Drive City, Mate, Zip Code Corte Madera, CA 94925 'Contact Person Jim Ravine Telephone:I umber: 415-927-5057 lliiiai A:ddiess:' irav to@tcmmal1.org . e of Business: Public Works Date of Pine: . 10-19-2015 Bidder's Company Name: Muri cipat Mairdenance Equipment, Inc. 8 235 of 525 REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCJC MOUNTED FINANCIAL INTEREST DISCLOSURE FORM FINANCIAL MEREST DISCLOSURE REQUIRED DISCLOSURE BEGINNING THE COUNCIL MEETING OF JANUARY 7, 2003 The ordinance requiring financial interest disciOsme by all parties having a direct or indirect interest of $2,000 or more (except for certain publicly traded companies) wilt be effective at the Council meeting of Januaryl,°2003. This means that any Council action on a contract, agreement or development right must be accompanied by a FINANCIAL INTEREST DISCLOSURE FORM listing by name all parties that have a material financial interest in the agreement, contract or development right. PLEASE NOTE, any Council action that requires a FINANCIAL INTEREST DISCLOSURE cannot be considered by the City Council until the required reporting is made. That means that Agenda Items without the DISCLOSURE will be removed from the Council Agenda, FinDisclosurel2-I9 9 236 of 525 FINANCIAL INTEREST DISCLOSURE FORM All persons included within the meaning of either of the following tests have a material financial interest in an agreement, or application for development rights, submitted for approval or disapproval by the City Council, and shall be identified by the applicant, by name. Tests of Materiality: 1. Whether it is foreseeable to a reasonable person that the value of their interest in property • available for use by an applicant, or their interest in the applicant itself, may increase or-. decrease by an amount greater than $2,000.0O as a direct or indirect result of Council action on the applicant's agreement or application for development rights. 2. Whether it is foreseeable to a reasonable person that the person's gross income from the applicant may increase or decrease by a sum greater than $2,000.00 as a direct or indirect result of Council action on the agreement or application for development rights. .it is the legal obligation of all applicants for approval of an agreement or of an application for development rights to verify in writing, under penalty of perjury, that the identity of each person having a material financial interest in the agreement or application or development rights is true, correct and complete. The applicant understands that this information is provided under penalty of perjury, and that intentionally supplying misinformation or deception may result in either invalidation of the agreement or application, or criminal prosecution for misdemeanor violation of the Modesto Municipal Code, or both. Negligent provision of misinformation shall be grounds for invalidation. In accordance with the Modesto Municipal Code, each applicant has a continuing obligation to maintain the truth, accuracy and completeness of the financial interest disclosure .infonntation provided below until after final consideration by the City Council of any matter arising out of or relating to the agreement or application. By signing this document I agree to the information contained within. COMPANY TAME; Municipal Maintenance Equipment, inc. Not Applicable APPLICANT'S NAME (SIGNATURE): APPLICANT'S NAME/TITLE (PRINT): 10-14-16 Applicable Names: DATE: (See attached list) Questions concerning the application of either test to particular facts should be resolved in advance of Council action by agreement with the department head recommending approval of its agreement/application. DIRECTOR 10 237 of 525 COMPANY NAME: Municipal Maintenance Equipment, Inc. NAMES Sivmahire , Print: Not Applicable S / Print Signature / Print: Signature / Print: Signature/Print Signature / Print Signature / Print: Signaler / Print:. Signature / Print Signatm / Print Signature / Print: Signature / Print Signatuire / Print Sim] Plint: Side / Print Signature / Print $ignathre / Print Signature 1 Print Signore / Print Signature / Print: Signature] Pry , 11 238 of 525 REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED COMPANY HISTORY STATEMENT Your company shall have been in business for a minimum of three (3) continuous years (immediately prior to the time of the RFB submittal date) providing equipment outlined in this bid. The company history statement shall be prepared on company letterhead and provided with the bid submittal. See Attached 12 239 of 525 REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED SUPPORT OF LOCAL VENDORS REQUEST FOR DECLARATION of LOCAL BUSINESS Should the bidder that submits the lowest responsive bid or quote and would otherwise normally qualify to receive the bid pursuant to Sections 8-3.203 and 8-3.204 of the Modesto Municipal Code (MMC) not be local business as defined herein, the lowest bid or quote submitted by a local business that is within five percent (5%) of the lowest bid or quote, whether or not that bidder is the second lowest bidder, may be deemed to be the lowest bidder if the local bidder agrees to reduce its bid to match the bid or quote of the lowest bidder in writing within five (5) business days after notification by City Purchasing staff, provided that said local bidder is deemed to be a responsible bidder as determined by the Purchasing Manager. To qualify as a local bidder, the bidder must have a physical business location within the City of Modesto and a current City of Modesto b► siuess license. El I declare I am a local business per the above criteria Company Name: Street Address: Telephone Number. Business License Number: SUPPORT OF LOCAL VENDORS DECLARATION OF ELIGIBILITY Not Applicable Under penalty of perjury, The Undersigned declaim that the foregoing information is true and correct: Print/Type Name: Title: Signature: Date: Frank Wheeler III Vloe President 10-14-16 • 13 240 of 525 REQUEST FOR BID AND SPECIFICATIONS NO. 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUN1ED TECHMCAL SPECIFICATIONS AND REQUIREMENTS 1.1 SCOPE OF WORK: The Public Works Department, Fleet Services Division, requests the purchase and delivery of one current year sweeper, compact, bike lane, track mounted per department specifications listed on Attachment A. 12 TECHNICAL LIAISON: Work under any resulting contract shall be performed under the general technical guidance and direction of the City of Modesto's "Technical Liaison", Steve Fischio, Fleet Manager (209) 342-2222. The Technical Liaison is not authorized to commit the City to changes in specifications, requirements, or scope of work, changes in price(s), period of performance or delivery date(s) or method of shipment. Changes of a contractual or business nature shall be effected only by written change to the contract, issued by the City of Modesto, Purclhasing Division representative, Cindy Medley, Buyer, (209) 571.5164, or by the Purging Manager. 1.3 PARTS AND MATERIALS APPROVAL: The Technical Liaison shall have the opportunity, at his discretion, to approve all parts and materials required for the purchase of the vehicle, prior to award. All parts and materials not conforming to the requirements orate specifications shall be considered defective and all such parts and materials, whether in place or not, shall be rejected and removed immediately from the delivery site by the vendor, at the vendor's expense, unless otherwise permitted or directed by the Technical Liaison. Upon failure of the vendor to comply with any order from the Technical Liaison, the Technical Liaison shall have the authority to remove and replace the defective parts and materials, and deduct the cost from any monies due, or to become due to the vendor. 1.4 DEALER'S RESPONSIBILITY FOR VEHICLES: Until the format acceptance of the vehicle or vehicles by the Technical Liaison, the dealer shall be responsible for and have care, custody, and control of the parts, materials, and equipment to be used therein, delivered to the delivery site. The dealer shah bear mil risk of loss, Wary or damage to any part of the vehicle or vehicles, and parts, material or equipment by action of the elements, or from any other ��e, whether arising from the execution or non -execution of the delivery of the vehicle or vehicles. The dealer shall rebuild, repair, restore and make whole, all loss or damage to any portion of the vehicle or vehicles including all parts and materials, before final acceptance, and shall bear the expense thereof, except for such loss or damage caused by the acts of the City, State, or Federal Government: or by an act of God as defined in Section 4150 of the California Government Code. 1.5 DELIVERY, INSPECTION AND ACCEPTANCE: When applicable, the dealer shall notify the City of Modesto, two (2) weeks prior to paint so that a pre -paint inspection can be arranged. A delivery and inspection appointment Aril be made five (5) working days, prior to delivery. Contact Fleet Services for appointment at (209) 342-2221. vehicles delivered without prior notice may be rejected, requiring a second delivery, at dealers expense. Fleet Services will not accept ownership until the vehicles have been inspected for compliance. 14 241 of 525 REQUEST FOR BID AND SPECIFICATIONS NO, 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED GENERAL TERMS AND COiiDI IONS 2.1 BID SUBM1T'TAL: Bidders shall submit one "inked" (preferably blue ink) signed original bid document, plus two (2) copies of a • signed original bid document. The original bid document shall be clearly marked. Photocopies do not constitute an original bid document. • FAILURE TO FURNISH ONE "INKED" SIGNED ORIGINAL BID DOCUMENT MAY RESULT IN DISQUALIFICATION. It is the responsibility of the bidders to identify information in their bid responses that they consider to be confidential under the California Public Records Act. To the extent that the City agrees with that designation, such information will be held in confidence whenever possible. All other information will be considered public. All costs associated with the preparation of this bid shall be borne by the bidder. All exceptions taken to these specifications shall be specifically and clearly identified on the Exceptions, Clarifications, and Amendments Form. FaU re to comply with this provision may be grounds for bid. rejection. Bidder shall not refer exceptions to manufacture literature or body builder quotes. An equiv_alentproduct shall be submitted on the Exceptions, Clarifications, Amendment form and shall contain the manufacturers name, make, part number and any technical specifications. Exceptions taken shall riot affect the overall performance and quality of the materials and/or services required by the City. The Purchasing Manager or his designated agent shall n, sire the dal decision regarding the acceptability of the materials and/or services with exceptions. 2.1.1 ACCEPTANCE/REJECTION OF IRREGULAR BIDS: A contract shall be awarded to the bidder whose bid most closely satisfies the needs of the City and is deemed the most advantageous to the City. The City reserves the right to reject any or all bids or to waive any informalities or minor ixiegularities in a bid. 2.1,2 COMPLETE BID DOCUMENT: The following forms constitute the triakeup of a Complete bid document: • Bid Acknowledgement (Signature Form) • Pricing Schedule (Signature Form) • Exceptions, Clarifications, Amendments • References • Financial Interest Disclosure Form • Company History Statement • Support of Local Vendor Declaration Form (if applicable) Failure to furnish any of these forms may result in disqualification. 242 of 525 2.2 COMPLIANCE: Bidders are required to sign the "Pricing Schedule and Bid Acknowledgement Form" of this bid document, thereby acknowledging they are in full compliance with all requirements of Bid No. 1617-12, and any addendum to such bid. Failure to comply may reset in disqualification. Bidder shall famish one "inked" signed original bid document, plus two (2) copies of the signed original bid. FAILURE TO FURNISH ONE ".INKED" SIGNED ORIGINAL BID DOCUMENT MAY RESULT IN DISQUALIFICATION. The bidder guarantees that the offered equipment, material or services meet all safety requirements applicable in accordance with Cal -OSHA regulations and any other rule or regulation required by the City of Modesto. 2.3 NON-COMPLIANCE: If you cannot comply with a specification requirement, note as an addendum on the Exceptions, Clarifications, Amendments Form specification paragraph, your exception, and your recommendation. The Purchasing Manager will, evaluate your recommendation. If after evaluation it is determined that the bidder is not in compliance with the specification, the bid may be rejected. 2.4 PRICING FORMAT: Unless otherwise stated, the bidder agrees that, in the event of a price decline, the benefit of such lower pricing shall be extended to the City. All prices for parts, materials and equipment shall be F.O.B. destination, Modesto, CA. Any freight/delivery charges shall be included in the bidder's unit price. 2.5 PRICM1G SCHEDULE; Bidders shall use the Pricing Schedule form, tie present their bid pricing. No other form or format shah be accepted. 2.6 AWARD OF BID: This is an"all or none" bid award. The City reserves the right to decline to award a contract if it is determined that the proposed pricing is not competitively prced based on similar contracts with public agencies within the State of California. The City reserves the right to select that bid, which best suits the City's needs. Regardless of City staiTs recommendation, the City Council reserves the right to award a contract to the bidder that best suits the City's needs as determined by the City Council whether or not said award is consistent with City staff's recommendation for award. 2.7 QUANTITIES. The successful bidder shall be required to provide whatever quantities may be required. No minimum or maximum is guaranteed or implied. -_..1.6. 243 of 525 2.8 TERMINATION OF SERVICES: The City reserves the right to discontinue service with the Vendor upon failure to meet contractual expectations and/or obligations, as recommended by the technical liaison or his/her agent. The City reserves the right to review the service Vendor's performance at any time with or without the knowledge or consent of the Vendor, Cancellation of services shall be determined by the collaborative efforts of the Technical Liaison, Purchasing Manager, or his designee, after reviewing the incident(s) of failure to perform. 2.9 OTHER GOVERNMENT/PUBLICLY FUNDED AGENCIES: If mutually agreeable to all parties, the issuance of any resultant contract/purchase order referencing these specifications and modified by mutual agreement between all parties may be extended to other government or publicly funded agencies. It shall be understood that all terms and conditions as specified herein shall apply 2.10 NON-DISCRMNATIGN: A. During the performance of this contract, Contractor and itssubcontractors shall not unlawfully discriminate ag inat any employee or applicant for employment because of race, color, ancestry, religion, sex, national origin, marital status, age, medical condition (cancer related), physical handicap (including AIDS), or sexual orientation. Equal employment opportunity extends, but is not limited to recruitment, compensation, benefits, layoff teation, and all other conditions of employment. Contractor and subcontractors shall ensure that the evaluation and treatment of their employees and applicants for employment are free of such discrimination. Contractor and subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Government Code, Section 12900 et seq.) and the applicable regulations promulgated thereunder (California Administrative Code, Title 2, Section 7285.0 et seq.). The applicable regulations of the Fair Employment and dousing Commission implementing Government Code, Section 12900, set forth. m Chapter 5 of Division 4 of Title 2 of the California Administrative Code are incorporated into this contract by reference and made a pit herd es if set forth in full. E . -Contractor and its subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other agreement. C. Contractor shall include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform work under the contract. D. Contractor shall permit access by representatives of the Department of Fair Employment and Housing and the City upon reasonable notice at any time during the normal business hours, but in no case less than twenty-four (24) hogs notice, to such of its books, records, accounts, other sources of information and its facilities as said Department or City shall require to ascertain compliance with this clause. 244 of 525 2.11 INN DISCR]MINATION OF THE HANDICAPPED: CERTIFICATION OF BIDDER REGARDING NON-DISCRIMINATION OF THE HANDICAPPED By executing this agreement, the bidder hereby certifies that he/she is in compliance with the Americans with Disabilities Act of 1990, the applicable administrative requirements promulgated in response thereto, and any other applicable Federal laws and regulations relating to handicap discrimination and participation, and will continue to do so for at least the duration of the agreement - and any extensions thereof. 2.12 DRUG FREE WORKPLACE: Bidder/Contractor certifies that he/she is in compliance with Sections 8350 - 8355 of Chapter 5.5 of the Government Code, Drug Free Workplace Act. Every person or organization awarded a contract/purchase order or grant for the procurement of any property or service from any state agency (city) shall certify to the contracting or granting agency that it will provide a drug free workplace. 2.13 PROTEST AND APPEAL PROCEDURES: Potential offerors, Bidders, contractors and subcontractors wishing to protest or appeal the procurement or contracting process or a decision to award by the City of Modesto, must follow the procedures provided in the City of Modesto Purchasing Manual, Section I, Procedure 5. Protest procedures are in place that allow for a protest during the bid/bid process and must be filed no later than three (3) days after the bid/bid opening. A protest to an announced decision to award a contract may also be filed no later than ten (10) calendar days after the Intent to Award letter date. Protests or appeals, which are not submitted in accordance with the above procedures, will not be reviewed. A copy of the procedures may be obtained by contacting -the -City of Modesto Purchasing Office at (209) 577-5405. 2.14 HOLD HARMLESS AGREEMENT: The CONTRACTOR shall hold the CITY, its agents, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities and damages from every cause, including but not limited to injury to person or property or wrongful death, with the indemnity to include reasonable attorney's fees, and all costs and expenses, arising directly or indirectly out of any act or omission of CONTRACTOR, whether or not the act or omission arises 1 •in the sole negligence or other liability of CITY, or its agents, officers, employees, or volunteers relating to or during the perfrr'n nce of its obligations under the Agreement- 2.15 ASSIGNMENT OF RIGHTS: CONTRACTOR offers and agrees, and will require all subcontractors and suppliers to agree, to assign to the CITY all rights, title, and interest in and to all causes of action it and they may have under Section 4 of the Clayton Act (15 United States code, Section 15) or under the Cartwright Act (Business and Professions Code, Section 16700 et seq.), arising from the purchase of goods, services, or materials pursuant to this contract or any subcontract. The assignment made by CONTRACTOR and all assignments made by subcontractors and suppliers shall be made and become effective at the time the CITY tenders final payment to CONTRACTOR, without further acknowledgment by the parties (Government Code, Sections 4550- 4554). 2.16 CITY PROCESS/PROCEDURE APPROVALS: C1:fY approval of any process or procedure shall not relieve the bidder of his/her responsibility to furnish the required items and service meeting all specifications contained herein. 18 245 of 525 2.17 BIDDER/SELLER REPRESENTATION: The bidder/seller represents that: A. He/She has had an opportunity to examine and has examined any and all of the documents, including specifications, any resultant purchase order and supporting data, and that he/she has, from the information contained in such documents, specifications, and data, fully acquainted himself/herself with all conditions relevant to the work. B. He/She has made all reasonable investigations essential to a full' understanding of the difficulties, which may be encountered in performing the work. C. He/She will complete the work for the compensation stated above. D. He/She assumes fall and complete responsibility for all conditions relevant to the work and all risks in connection therewith. E. In addition thereto, the bidder/seller represents that he/she is fully qualified to do the work in accordance with the terms of any Purchase Order issued within the time specified in it. F. Anything mentioned in the specifications and not in the Purchase Order, or mentioned in the Purchase Order and not mentioned in the specifications; shall be of like effect as if shown or mentioned in both. In case of difference between the specifications and the Purchase Order, the Purchase Order shall govern. 2.18 FAILURE TO PERFORM SATISFACTORY: It is agreed and understood that if the CONTRACTOR fails to performi the work as specified herein, CITY's representative may (I) consent to accept such unsatisfactory service with an appropriate adjustment in contract price, based on established cost factors, (2) have such required work done by CITY forces or otherwise, and charge the cost thereof to the CONTRACTOR, or (3) recommend termination of contract between said CONTRACTOR and the City of Modesto. Those discrepancies and deficiencies in the work that remains uncorrected after the date set for correction may be the necessay jns cation for a billing adjustment in the month following the occurrence. Unless otherwise negotiated, billing adjustments for this incomplete or uncorrected work sal be permanent retention of 100% of the estimated monthly most for the work not ooir ^.ted or oornpleted. 2.19 SUPPORT OF LOCAL V iDOJ : Should the bidder that submits the lowest responsive bid or quote and would otherwise normally qualify to receive the bid pursuant to Sections 8-3.203 and 8-3.204 of the Modesto Municipal Code (MMC) not be a local business as defined herein the lowest bid or quote submitted by a local business that is within five percent (5%) of the lowest bid or quote, whether or not that bidder is the second lowest bidder, may be deemed to be the lowest bidder if the local bidder agrees to reduce its bid to match the bid or quote of the lowest bidderin writing within five (5) business days attei notifivatiorrby City Purchasing staff, provided that said local bidder is deemed to be a responsible bidder as determined by the Purchaai g Manager. To qualify as a local bidder, the bidder must have a physical business location within the City of Modesto and a current City of Modesto business license. 19 246 of 525 2.20 PAYMENT: • Paper Payment Method: All invoices shall be paid in full within thirty (30) days after completion and acceptance of the vehicles by the City, and receipt of a properly prepared invoice in duplicate, subject to cash discounts allowed and stated in this bid document. • Electronic Payment Method: The City of Modesto provides an Epay Program which involves payment of invoices by a secure Visa account number assigned to the supplier after award of bid or contract. Notification of payments and required invoice information are issued to the supplier's designed Accounts Receivable contact by email remittance advice at time of payment. During the bid evaluation process preference may be shown to bidders that agree to accept Epay for payment of invoices. Please indicate on the Pricing Schedule whether or not your company will accept the City's Epay Program. 20 247 of 525 ATTACHMENT A These specifications are for new, current year model, equipment and accessories. Unless otherwise noted in the specification, all standard and optional features are to be manufacturer's production options. If a specified item only is available as part of a package, the package is to be included as part of the bid. Any part of the bid that does not meet the mi i.mum specification must be identified in the bid as an exception. Any dealer or third party installed options must be clearly identified in the bid as an exception. No after -market options, except as noted, will be accepted unless approved in writing by the Fleet Manager. Exceptions to these specifications will be accepted only as approved in writing by the Fleet Manager. BASE BID ITEMS Specifications for a New and Unused Hydrostatic Drive, Vacuum Type Street Sweeper with Tipping Hopper: 1. The intent of the following specifications is to describe the minimum requirement for a New Hydrostatic Drive, Vacuum Type Street Sweeper with Tilting Hopper. ..The Vehicle chassis to be fiunished under these specifications should be a production model vehicle and be listed as the manufacturer's current model. The vehicle must comply with the standard specifications for the model offered including additional options as contained herein. Vehicle should be a street legal model and be registered with the California DMV as an - On -Road vehicle with Exempt plates. 2. MANUFACTURER'S SPECIFICATIONS: Complete manufacturer's specification, published -literature and photos or illustrations of the unit proposed, should be furnished with bid. Only models in current production and in service that are catalogued by the manufacturer and for which printed literature and specifications are available will be accepted. Bidders shall prepare and submit their own proposals addressing each section, item or component of these specifications, indicating full complianee without exception, or explaining in detail any exceptions, or deviations. Bidders must be a factory authorized paw, service and warranty dealer. 3. BASE VEHICLE: ▪ Compact dedicatee. self-propelling hydrostatic four-wheel vacuum street sweeper with integral chassis with a maximum sweeping speed of 10 MPH and travel speed of 30 MPH. * 2 Wheel, front wheel steering • Dual tires in rear * Turning radius curb to curb should not be larger than 16.6' (200'). 4. CONTAMEX.: STANDARD iIPMNG • Material: 304 Stainless Steel -plug • Reinforcement: Hardened Steel reinforcement Side and rear panels: Made of acryaonitrile butadiene styrene (ABS) • Volume: 6.5 yards Volumetric (5.6 Yard usable) Capacity aF Dumping height 34 inch Discharge system: Tipping by means of 2 hydraulic cylinders with Safety support system 55 degrees (58 degrees including floor slope) Duunp Angle: -2_l. 248 of 525 • Backup hydraulic pump: Manually operated hydraulic pressure pump to tip the hopper • Floor angle: 3.8 Degrees G Inspection doors: 2 Doors, one at RH side, one at LH side of the hopper • Screen: One piece, stainless steel, easy lift system by means of cable, actuated on left side of unit. 5. Rear Door System: • Material: • . Operation: • Opening: • Locking device: • Seal Material: • Safety support: Hardened Steel Hydraulically byremote control (with safety button) Be means of 2 hydraulic cylinders Hydraulically locking by means of 2aliy re-adjustabie pins EPDM ! Weather temperature resistant 1 6. REAR MOUNTBD WANDER HOSE: • A rear mounted hose shall be attached to the unit, inlet on top of unit. Spring style boom with 12' minimum poly hose with a heavy duty steel end, 3' minimum. Diameter of hose, 7.9". Water injection included. 7. FAN HOUSING: • Fan should be mounted on top of the hopper and accessible from the top. • Coupling available to wash out fan and hopper at ground level. 8. CHASSIS: • Material: Purpose built 0.16 inch hardened steel chassis • Contents: Incorporated tanks for fuel, hydro oil and spray water 9. ENGINE AND DRIVE SYSTEM: ENGINE • Single engine: Cummins FCEx!03.8A_AA ! QSF3t89 or approved equal • Emission level: Tier 4 final • C.A.R.B. Certification: Engine being bid. is to be the latest On -Road emissions legal. Variations are acceptable as long as there is a tB certificate available for the engine furnished. • Cylinder • Fuel: • Power. • Max. torque (lb ft.): • Carter capacity (gal.) • PTO ratio: • Timing Gear 4 cylinder turbocharged with 3760 CC Diesel 130 HP 488 a 1600 rpm 2.11. 1:1 Gearwheel driven Type Wheel support Suspension system Independent through lateral Amu at the bottom & slider shut with wheel support & a trunnion at the top (McPherson) Independent hydro -pneumatic suspension in slider strut with level control ,12 249 of 525 Steering angle (°) Inwards 68° Outwards 40° Type Wheel support Independent rigid trailing arms Suspension system Rubber diabolo springs Planetary gear in wheel hub Brevini RF4612 Gear ratio 1:11,25 1 fires % urre in S [) 1 - - : • . t , Front 215175 R 17.5 Rear (dual) 205/65 R17.5 .stem out Dual circuit, full pressure by tandem foot metering valve, one on ; front brakes, other on rear brakes, rear brakes through ALR valve Foot metering valve Micro Pedal and Base unit MEP - 464 - 022 Max. brake pressure 2031 PSI at front brakes, 363 to 1450 PSI at rear brakes through ALR valve ALR Brandltypelseti rig valve, Ate / reducer 1363 to 1450 PSI _ . Fluid type , Hydraulic oil Front brake, per wheel Ventilated disc brake, Perrot Disk d=9,7 inch, Perrot calliper 2 pistons each site d=3,7 inch Rear brake, per wheel By hydrostatic engine brake and hydraulically and mechanically operated drum brake, drum brake Knott 300 x 60 (11,8 x 2,4 inch) Parking brake Spring loaded, hydraulically released on rear drum brake System Lay -out Steering on frontwheel only Full hydraulic steering through an Orbitrol steering unit Hydraulic power is taken from steering .pump Actuation Linear balanced cylinder, traversed positioned, in-between front wheels. Piston road is fixed to chassis, cylinder body moves. Front wheels are connected bypush-pull rods with ball joints. 10. CABIN: • Two persons, all weather sound insulated cab shall be mounted at the front of the chassis • Cabin noise level should not exceed 77 dB • Cab must have a centrally located floor window with view on the: suction nozzle • Cab should have two mechanically suspended seats • Cab should be equipped with: o Air conditioning o .ABM radio, standard sound system package o Slightly tilted panoramic front screen with safety gh s windows for an optimum view in all weather conditions. o Two windshield wipers with washer o Rotating strobe lights, 2 front and 2 rear. Rear mounted arrow -board with controls in- cabin o Heating and ventilation system mounted inside the cabin. o License plate holder, front and rear. o Mirrors on doors, 2 each, 6" x 10" minimum with one each side heated. Above doors an Additional minor installed, 6" x 10" minimum. -23 250 of 525 o Two (2) color monitors, 7" in diameter, one mounted on rear door and one mounted near vacuum tube. CONTROLS AND INSTRUMENTATION: o Engine RPM gauge o Engine hour counter o Engine oil pressure gauge o Engine temperature gauge o Sweeping hour counter o Volt Meter o Brush rotation speed regulated by a potentiometer o Direction indicator handle (including horn and head lights) o Joystick for side shifting the brash system, lifting of suction nozzle and brush system o Remote control for opening of the rear door and dumping of debris o Indicator contents fuel tank o Indicator contents water flank o Warning buzzers for. • Empty water tank while the pump is on • Parking brake on • Engine cooling water running hot • Low engine oil pressure • Low hydro oil pressure • High hydro oil temperature 11. VACUUM SYSTEM: Broom system • Two circular brooms should be mounted in front of the front wheels under the cab by means of a pulled broom system • Brooms will be hydraulically powered With i Anitely variable control from the cab • Brooms shall have anlinirnum diameter of 35 inch Brooms shall have a speed between 0 and 210 RPM • Brooms shal have a side shift to left and right of 9.1 inch ▪ Brooms shall have an angle adjustment of 21 degrees • Brooms should be operated by means of a joystick in the cabin • Broom system should be connected by means of closed bolts and require no greasing • The machine shall have a third broom mounted in front of the sweeper with: o A linear movement of 47 inch o A maximum reach measured from the front bumper of 71 inch o Hydraulically ly operated by means of a joystick in the cabin o Third boom shall have a quick release system and stands for storage • The sweeping path of the sweeper shall be: o 87 inch by use of 2 brooms o 122 inch by use of 2 brooms + the front broom 12. FAN: Material: Rorinm • Tensile Strength: 200,000 PSI 24 251 of 525 • Hardness (Brinell): 400 HB Minimal • Drive: Hydraulic • Diameter: 28 inch • Number of blades: 10 • Max Speed: 3300 RPM • Max Capacity: 18,300 cubic yards per hour 13. PICK-UP MECHANISM: • Vacuum type accomplished by air movement • Vacuum shall be developed by a hydraulically powered blower • Blower speed shall be controlled inside the cab • The pick-up nozzle shall be mounted forward of the front wheels and between the two brooms • An access door inside the cab shall give the operator access to the suction tube • Air exiting the blower will be directed through the rear door toward the ground • Dust control should meet PM 10 standard and be certified as such • Suction nozzle shall be 4.7 (L) by 24.8 (W) Inch and made out of corten steel lined with I inateX • The suction tube shall have a diameter of 8.9 inch and made out of 304 stainless steel 14. WATER SYSTEM: • Waterpump make- Tellariui or equivalent • Type: . Self priming impeller 1FE 25 24 • Max. Capacity: 12,4 Gallon ® 7,3 PSI 3,0 Gallon Q 29,0 PSI • Nozzles: 2 per broom 5 in -the -suction system • Additional water system: Hydraulically driven water pump, 4 GPM () 2175 PSI, stainless steel reel with 25' of Yz" hose and spray wand. 15. WARRANTY: • The machine shall have a wnty of 2 years or 2000 engine hours (whichever come:, first) against defects in material or workmanship. The machine shall have a war. auty of 5 years on the chassis and container module 16. DELIVERY: Unit is to be delivered in complete and ready -to -operate condition to: City of Modesto Fleet Services Division 1609 8* Street Modesto CA 95354 17. LICENSE: Vendor to complete all licensing of the vehicle in the State of California with "EXEMPT" plates. The City of Modesto is considered to be an "Other Political Subdivision" for the purpose of EXEMPT Plates. To be registered to: City of Modesto P.O. Box 642 Modesto, CA 95353 252 of 525 TEINAArq 1.9 /la , Z' "Customer Satisfaction IS Dar Goal" October 14, 2016 2360 Harvard•Street • Sacramento, CA 95815 • (916) 922-1101 • Fax: (9! 6) 922-1034 1913 Planate Circle .• Placentia, CA,92870 • (714) 528-8770 Fax: (714) 528-8744 4750 Caterpillar Rd., Unit D • Redding, CA 96003 • (530) 243-4856 • Fax: (530) 243-1447 1930 W. Winton Ave., Suite 8 • Hayward, CA 94545 • (510) 670-0230 • Pax: (510) 670-9003 www.source-mrne.corn • California State Contractor's License #980409 • DIR 1000004282 City.Of Modesto Purchasing Division.1.. 010 10th Street, Suite 6600 Modesto, CA 95364 Attention: Cindy Medley, Buyer RE: Bid No. 1617-12 Sweeper, Compact, Bike Lane, Truck Mounted Due October 25, 2016 11:00 a.m. We are pleased to provide the following Company History Statement for the Ravo 5 iSeries Chassis Mounted, Hydrostatic Drive, Vacuum Type Street Sweeper for your • review. Municipal Maintenance Equipment, Inc. origins began in early 1992 and today Municipal Maintenance Equipment is recognized as the source for municipal products throughout Cal'ifornia'and Northern Nevada. Municipal Maintenance Equipment is headquartered in - Sacramento, CA, with additional parts and service facilities inPlacentia, Redding, and Hayward, CA: At these four locations, NMME currently employs 28 people who sell, service, and support our product Tines.• We have represented the.Ravo products for the past 3 years in California and Northern Nevada. Ravo, a division of Fayat Group, was founded over 50 years ago and today Ravo. is recognized -as a company; that is known fpr product innovation, quality, user friendly product, and standing behind what they manufacture. Raub is headquartered irk Alkmaar, The Netherlands where they design, build: and support their extensive product offerings.. - Municipal Maintenanca Equipment is .proud of our company's history and is looking. forward to leading our industry byoffering our customer's outstanding support -services. We hope to have the opportunity to provide the Ravo product to the City of Modesto and- . provide you an outstanding service levei.equal to none.- Thank you for the opportunity to provide this proposal and your conaicleratiori of the Ravo Street Sleeper. • Respectfully submitted, ' `Municipal. Maintenance Equipment, inc. Fr Wheeler III, Vice .President 253 of 525 Specifications For Street Sweeper With Tipping Hopper The intent of the following specifications is to descxle the minimum requirement for a new sweeper. My and all exceptions must be listed on a separate sheet entitled: EXCEPTIONS TO BID General Designation • Compact dedicated self propelling hydrostatic four wheel vacuum street sweeper with integral chassis with.a maximum sweeping speed of 10 MPH and travel speed of 30 MPH • 2 Wheel Front wheel steering (maneuverability) • Double tires in rear (balance) • Turning radius curb to curb should not be larger than 200 inch Container Standard moping • Material: • Reinforcement • Side and rear panels: • Volume: • Dumping height • Discharge system: Safety future: _.-. • Floor angle: 304 Stainless Steel plating Corten Steel reinforcement Made of acrylonitriie butadiene styrene (ABS) 6.6 yards 34 inch Tipping by means of 2 hydraulic cylinders Safety support 2 Manually operated hydraulic pressure pump to tip the hopper: 3.8 Degrees Inspection doors: 2 Doors, one at RH side, one et LH side of the hopper Screen: One piece, stainless steel, easy lift system by means of cable, actuated on left side of unit Rear Door System • Material: • Operation: • Opening: • Looking device: • Seal Material: • Safety support: Corten Steel Hydraulically by remote control (with safety button) Be means of 2 hydraulic cylinders Hydraulically locking by means of 2 manually re -adjustable pins EPDM / Weather temperature resistant 1 Rear Mounted Wander Hose - Optional • A rear mounted hose shall be attached to tho ;nit, Inlet on top of mitt. Spring style boom with 12' minimum poly hose with a heevy duty ems! end, 3' minimum. Diameter of hose, 7.9". Water injection included. Fan housing a Fan should be mounted on top of the hopper and accessible from the emu. • Coupling available to wash out fan and hopper at ground level. Chassis • Material: Purpose built 0.18 Inch Corten steel chassis • Contents: incorporated tanks for fuel, hydro oil and spray water Engine + drive system Engine • Single engine: Emission level: Cylinder: ▪ Fuel: • Power: • Max. torque (lb ft): • Carter capacity (gal,) • PTO ratio: • Timing Gear: Cummins FCEx103.81, / QSF3.8 Tier 4 final 4 cylinder turbocharged with 3760 CC Diesel 130 HP 488 la 1600 rpm. 2.11 1:1 Gear wheel driven 254 of 525 Suspension system Steering angle (`') Inwards 68° Outaerds Type Wheel support Suspension system Independent rigid Wang arms Rubber dabolo springs Planetary gear in arn1 hub Gear natio Brevidi RF46r2 10.5111*IMIANY; Front Rear (double • System lay -ad 1:11,25 Bridgestone 215/75 R17.5 Bridgestone 205165 R17.5 Dual circuU, ftifl pressure by tandem foot metering vatve, one on front brakes, other on rear bmkes, rear bralres.through ALR valve Foot metering valve Micro Pedal and Base unit MEP - 484 - 022 Max. brake pressure 2031 PSI at front brakes, am to 1450 PSI at rear brakes through ALR valve ALR valve, Brand/type/setting Ate 1 reducer/ 383 to 1450 PS1 Fluki type Hydraulic oil Front brake, per wheat • . Ventilated disc brake, Perrot Disk cr-9,7 inch, Perrot calliper 2 pistons each she tfr-3,7 inch Rear brake, per wheel By hydrostatic engine brake and hydraulically and mechanically operated drum brake, drum brake Knott 300 x 811 (11,8 x 2,4 inch) Parking brake System lay -out Spring loaded, hydraulically released on rear drum brake 1-71 :4V.4.467'.71 . • , Steering on front wheels only. Full hydraulic steering through as Orbital steering unit. (no mechanical connection between steering wheel and front wheels) Hydraulic power is taken from steering pump Actuation linear balanced cylinder, transverse manned, in-between frontwheels. Piston rod is bred to chassis, cylr.der body moves. Front wheels are connected by push -put rod's with ball joints to cyllnder body. Steering levers at the wheel support are angled Steering unit Orbeild typec Sauer Dan 150112195 Steering cylinder RAVO spec 05- 11-553-00-C! D=nn. d=nn, smarm System lay -out Full hydrostatic drive sys'arn with varieb. deplanernent motors, one at each rear wheel. A variable displacement drive pump at the engine. Both the drive pump and motors are controlled electrically by an electrical accelerator pedal through an electronic Hydraulic System Aiiwai,c4n..i.L..,,, -,.....c.,. 4.---32."' '-•,7,4'.'4 .:-:._ .s..-..s......-Z,..-!t2s..c...,..,,:z.j.i. ...! . -z..., '• , tem— '''.—..z_1;:;, -,....q.... %., :7:- ......1., '' ' Make i Type Linde/ HPV105 Max displacement (cu.infrev) 6.41 Maxpeak pressure (PSI) 7252 Max operating essjjL_.6092 Max speed input (rpm), 3200 . 255 of 525 Make Linde f 11MV 55 ,�,.,wa / j/p�� MaxMa7c dement (cuin.frev) 3.3 Min displacement (011111 1.12 —. ry Max torque ifi max displacementlibfWPSI). 0.041 Max creak pressure (PSi) 7252 Max operating pressure (PSI) 6092 Max armed oubt t min x (rpm} 4100 Make f ype Undo / HPRl5 Displacement (in./rev) 4.63 Adjusted p^es„ure (PSI) 2538 Max operating pressure (PSl) 6092 Max pressure (PSI7252 A�aloa VOAC Type F12-4041F-IN-X-35mm Disytacement (cuin.hev) 2.44 Ard pressure (PS)253B Max operating pressure (PS1 6092 press 6902 . - .. l+l i _ *: • z y .c : 'c • �c:' . r- _ .. 4._ :: J.yh, r `--z. r;� : • - F .. ,a. , > • f Parker Type PGP517A0190A1]1 H3VJ9J8B1 B1 Displacement (cminJrev) 1.18 Adjusted l} pressure f 2535 Max (PSI) 3625 ' iYv}-Ci9 SR&-Ynv ' _.. ,i':i 7 ' ., x fyam✓" - ,��T?L, -`^ K Make Parker TVs TE 185 Displacement (our t.itev)lr. 9.95 Max A operating re (' S-2604.10.stl 25 Maxpressure rut g M! Atr .;0,43..•,�"aei C' ^h._ ''•la t 4 ;}f'� �2901 �gp��' - e31.,: `�` f., • •kx�-�-'A--e- ,- '-N .. Ak4i ^,F� $: 'tixC Make Parker T$pe PGP51120110 Al ii2VJ7'J - 511A0tM0)t3781BiF2 pjLpFD Displacement (cu in rev) 0,671 + 0,366_ Adjusted presrare (PSI) - 1305 (0,671 win) 2900 (0,368 calm I Max pressure (P5i) 3989 ramrx>'3s€1;5-zt4-:)4 witaiii ...:ab • N.s,.c. "�V :; •tr �.5"a�':'?1:.`��.t:K=�f..d 6 . "_ r'. Drive . _i Ili eteed f Orbital ,Z`�h wtF• is' 'te', r•'"�t ^rf"` ' nI ...'�";„ i_t:y..0_, .a..: N .: .'.♦ ..G:i S rris w _':-i1``- Velta a (V) 24, with running_ervine 28 Battery N ) 2x 12f72 Mercator (VIA) . 28 f 90 Cabin • Two persons, all weather sound insulated cab shall be mounted at the front of the chassis • Cabin noise level (Lpa) should not exceed 77 dB • Cab must have a centrally located floor window with view an the suction nozzle • Ceb should have Mt n1ethanEc:ay suSpenesed seal • Cab should be equipped with: o Air conditioning 256 of 525 o AMIFM radio CD 1 MP3 player o Slightly tilted panoramic front screen with safety glass windows for an optimum view in all weather conditions o Two windscreen wipers with electric screen washer o Rotating strobe sights, 2 front and 2 rear. Rear mounted arrowboard with controls in cabin o Heating and ventilation system mounted inside the imbin o Toolbox mounted in front of passenger seat. o License plate holder. o Mirrors on doors, 2 each, 8" x 10° minimum with one each side heated. Above doors an additional mirror installed, 6° x 10° minimum. o Two color monitors, 7° in diameter, one mounted on rear door and one mounted near vacuum tube. • Controls and Instrumentation o Engine RPM gauge o Engine hour counter o Engine oil pressure gauge o Engine temperature gauge o Sweeping hour counter o Volt Meter o Brush rotation speed regulated by a potentiometer o Direction Indicator handle (Including hom and head tights) o Joystick for side shifting the brush system, lifting of suction nozzle and brush system ..-o Remote control for opening of the rear door and dumping of debris o Indicator contents fuel tank o lndlcator contents water tank o Warring buzzers for: • Empty water tank while the pump is on • Parldng brake on a Engine cooling water running hot • Low engine oil pressure • Low hydro oil pressure • High hydro oil temperature ^+vim z _ sS '.' : .Y,aMnL!..'... _.f>' _iii�`E-... t sue''. .ate.-s` . 't `':. J3.- r�a'c'.x ,r.F.,,.,..'. Interior length 55.1 interior width 66.9 Interior height 62.2 18.9 - Footstep Ile gM Floor height 31.5 Distance floor - seat 18.9 Distance floor - steering wheel 30=3-31,9 Distance seat - front screen 38,8-51,6 Distance seat - roof 43.9 Distance seat - steering wheel I 19,7-31,5 Dimensions and weights Sweeper I Version STH 4 T ins =._ ''`t4:. ` `� `' . ; ' :' L(Without thrid broom) 178.1 Width excl. Mirrors 71.1 Width incl. mirrors 89.8 Height without vaanderhose 98.2 Height with wanderhase 111.0 Wheelbase 71.5 Front overhang 59.4 Rear overhang 44.6 257 of 525 Distance upper side chassis - front axle centre 20.7 Width chassis 68.9 _ Track width rear 50.6 Trade Width front 57.9 Total empty weight 13713 Empty weight front axle 6746 -i Empty weight rear axle 6967 Max. weight front axle 10892- 1 Max. weight rear axe 16587 G.V.W. 25132 Loading capacity 1212..5 _ Capar fuel tank 28 Capacity Water tank . 160 Ca a-; h ulic 011 tank 25.1 Turning radius waft to wall 238 Turning radius curb to heft 199 • Hill Climbin Capacity WW. -..'_i , . --::.,,, . 3 .-«... ter'. ._»._:., Loaded ICJ^ 1s angle `l 10 Unloaded percentage (% 28 angle ( .18 Vacuum System Broom system • Two circular brooms should be mounted in front of the front wheels under the cab by means of a pulled broom system • Brooms III be hydraulically powered with infinite, varible control from the 1 • Brooms shall have a minimum clamber of 35 inch • Brooms shall have a speed between 0 and 210 RPM • Brooms mil have a side shift to left and right of 9.1 inch • Brooms shall have an angle adjustment of 21 degrees • Brooms should be operated by means of a joystick in the cabin • Broom system should be connected by means of closed bolts and require no greasing • The machine shall have a third broom mounted in front of the sweeper with: a A linear movement of 47 inch o A maximum reach measured from the front bumper of 71 inch a Hydraullcalty. operated by means of a joystick in the cabin o Third boom shall have a quick rise system and stands for storage • The sweeping path of the sweeper shall be: O 87 inch by use of 2 brooms O 122 inch by use -of 2 browns -the front broom Fan • • • • • Maternal: Tensile Strength: Hardness (Brinell): Drive: Diameter: Borm 200,000 PSI 400 HB Minimal Hydraulic 28 Inch Number of blades: 10 • Max Speed: 3300 RPM • Max Capacity: 18,300 cubic yards per hour Pick-up Mechanism Vacuum type accomplished by air movement Vacuum shall be developed by a hydraulically powered blower Blower speed shall be controlled inside the cab { The pick up nozzle shall be mounted forward of the front wheels and between the two brooms An access door inside the cab shall give the operator access to the suction tube • Air exiting the blower will be directed through the rear door toward the ground Dust control should meet PM 10 standard and be certified as such • 'Suction nozzle shall be 4:7 (L) by 24.8 (W) Inch and made out of corten steel lined with Linatex The suction tube shall have a diameter of 8.9 inch and made out of 304 stainless steel Water System • Waterpump make: Tellarini fi Type: Self pruning impeller IFE 26-24 • Max. Capacity: 12,4 Gallon @ 7,3 PSI 3,0 Gallon @ 29,0 PSI Nozzles: 2 per broom, 5 in the suction system Additional water system: Hydraulically driven water pump, 4 GPM @ 2175 PSI, stainless steel reel with 25' of 4` hose and spray wand. Warranties • The machine shall have a warranty of 2 years or 2000 engine hours (whichever comes first) against defects in material or workmanship. items outside this warranty are: o Fluids o Filters — oil, air, hydraulic, water o Belts o Lights and Fuses o Glass o Tires o Batteries o Cutting edges (Rubbers) o Fan, suction tube and nozzles o Water spray nozzles o Pulleys and nozzle wheel o Brooms and broom drive plates o Windshield wiper blades ® The machine shall have a warranty of 5 years on the chassis and container rnuraule yr 259 of 525 CITY OF MODESTO PURCHASING DIVISION P.O. BOX 642 MODESTO, CA 95353 PH: (209) 571-5164 FAX: (209) 544-8821 1617-12 SWEEPER, COMPACT, BIKE LANE, TRUCK MOUNTED October 25, 2016 ITEM/DESCRIPTIONQTY UNIT OF ISSUE CO: Municipal Maintenance Equipment, Sacramento, CA Unit Price Extended Price Yweepertompact, Bike tne, li-Tic ounter per Specifications 1 EA $229,275.00 $229,275.00 Sales Tax 1 LT $17,482.22 Tire Recycle Fee 1 LT _ $0.00 $10.50 Total Estimated Cost $246,767.72 Year /Make / Model 2016 Ravo 5 iSeries Delivery Lead Time 90-150 Days --- Optional Equipment Additional Cost (sales tax not included) Air Suspended Drivers Seat $1,400.00 Water Recycling System $3,801.60 100 Hour Service Kit "c" S536.98 500 Houe Service Kit "b„ $304.61 260 of 525 Downloaded Bid Files for City of Modesto _ Exported on 12/07/2016 Download Project Title Invitation tt file Name File Title Vendor (Download Date 2332973 Sweeper, Compact, Bike Lane, Truck Mounted 16:17-12 1617-12 51617-12 Sweeper Bike Lane Compact sonsray machinery 10/5/2016 2332573 Sweeper, Compact, Bike lane, Truck Mounted 16:17-12 1617-12 51617-12 Sweeper Bike Lane Compact Belkorp Ag, LLC 10/5/2016 2326197 Sweeper, Compact, Bike Lane, Truck Mounted 1617-12 1617-12 .51617-12 Sweeper Bike Lane Compact Reliable Supply, Inc. 10/3/2016 10/1/2016 2325745 Sweeper, Compact, Bike Lane, Truck Mounted 1617-12 1617-12 51617-12 Sweeper Bike Lane Compact Johnston North America 2325057 Sweeper, Compact, Bike Lane, Truck Mounted 16:17-12 1617-12 51617-12 Sweeper Bike Lane Compact Sweeper Shop 9/30/2016 2323132 Sweeper, Compact, Bike Lane, Truck Mounted 1617-12 1617-12 51617-12 Sweeper Bike Lane Compact DMullis Insurance 9/30/2016 2322913 Sweeper, Compact, Bike Lane, Truck Mounted 1617-12 1617-12 51617-12 Sweeper Bike Lane Compact Prime Vendor ilc. 9/29/2016 2321B28 Sweeper, Compact, Bike Lane, Truck Mounted 1617-12 1617-12 51617-12 Sweeper Bike Lane Compact Municipal Maintenance Equipment, 9/29/2016 2320314 Sweeper, Compact, Bike Lane, Truck Mounted 1617-12 1617-12 5.1617-12 Sweeper Bike Lane Compact Western Truck Exchange 9/29/2016 9/29/2016 2320207 Sweeper, Compact, B;ke Lane, Truck Mounted 16:_7-12 1617-12 51617-12 Sweeper Bike Lane Compact Terry Equipment Inc 261 of 525 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY WAIVING THE FORMAL BID PROCESS PURSUANT TO NATIONAL CITY MUNICIPAL CODE SECTION 2.60.260 REGARDING COOPERATIVE PURCHASING AND AUTHORIZING THE CITY TO PIGGYBACK ON CITY OF MODESTO PURCHASE ORDER (CONTRACT) NO. 112254 WITH MUNICIPAL MAINTENANCE EQUIPMENT, INC., FOR THE COOPERATIVE PURCHASE OF ONE (1) RAVO 5 'SERIES SWEEPER FROM MUNICIPAL MAINTENANCE EQUIPMENT, INC., IN AN AMOUNT NOT TO EXCEED $253,574.18 WHEREAS, as part of the Fiscal Year 2018 annual budget, the City Council approved funding through the Trash Rate Stabilization Fund for the purchase of one (1) street sweeper for the National City Engineering and Public Works Department; and WHEREAS, there is an opportunity for the City to piggyback City of Modesto Purchase Order/Contract No. 112254 with Municipal Maintenance Equipment for the cooperative purchase of one (1) RAVO 5 iSeries Sweeper in an amount not to exceed $253,574.18; and WHEREAS, Section 2.60.260 of the National City Municipal Code provides that the City may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined to be in substantial compliance with the City's procurement procedures, and such a determination has been made in this case. It is therefore recommended that the purchase be made without complying with the competitive bidding procedure set forth in the Municipal Code. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby affirms the determination that the City of Modesto's procurement procedures are in substantial compliance with the City's, and pursuant to Section 2.60.260 of the Municipal Code, authorizes the waiver of the bidding process for the cooperative purchase of one (1) RAVO 5 iSeries Sweeper from Municipal Maintenance Equipment in an amount not to exceed $253,574.18, utilizing City of Modesto Purchase Order/Contract No. 112254. PASSED and ADOPTED this 3rd day of October, 2017. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalia, City Clerk Angil P. Morris -Jones City Attorney 262 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 263 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City waiving the formal bid process pursuant to National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City to utilize San Diego County's Contract No. 55398 263 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE October 3, 2017 AGENDA ITEM NO.: ITEM TITLE: Resolution of the City Council of the City of National City waiving the formal bid process pursuant to National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorizing the City to utilize San Diego County's Contract No. 553982 to award the purchase of three P25 MCC7500 consoles for the National City Police Dispatch Center, from Motorola Solutions, Inc. in an amount not to exceed $227,689, using FY16 Urban Area Security Initiative (UASI) Grant Funds. (Fire) PREPARED BY Frank Parra, Director of Emergency Services DEPARTMENT: Fi PHONE: 619-336-4551 APPROVED BY: EXPLANATION: See Staff Report. FINANCIAL STATEMENT APPROVED: FINANCE ACCOUNT NO. APPROVED: MIS Expenditure Account: 282-411-937-515-0000 Communication Equipment — General Fund $227,689 Funds are appropriated and available in the above account. No City match required. ENVIRONMENTAL REVIEW This is not a project and, therefore, not subject to envircnn,entai review. ORDINANCE: INTRODUCTION fl FINAL ADOPTION ❑ STAFF RECOMMENDATION: Adopt the resolution. BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: 1. Staff Report 2. County Contract # 553982 Agreement with Motorola Solutions, Inc. for Regional Communications System Replacement 3. Resolution 264 of 525 CALIFORNIA NATIONAL CIS I INCORPORATED City Council Staff Report October 3, 2017 BACKGROUND The San Diego County Sheriff's Department manages the San Diego County -Imperial County Regional Communications System (RCS) radio network that serves the majority of the public safety (law enforcement and fire) and public service (transportation and schools) users in the region. In coordination with all agencies, RCS staff is in the planning stages to upgrade the regional public safety communications system. On September 5, 2017, the City Council adopted Resolution No. 2017-166 for a subaward of FY16 UASI funding in the amount of $227,689 for the City to upgrade P25 MCC7500 compatible dispatch console equipment for the National City Police Dispatch Center. The City is responsible for the procurement and maintenance of console equipment. The County of San Diego conducted a competitive procurement for a new RCS and the contract was awarded to Motorola Solutions, Inc. The contract includes equipment and services to replace dispatch console systems. Staff seeks Council authority to waive the formal bid process consistent with National City Municipal Code Section 2.60.260 regarding cooperative purchasing and authorize the City (Buyer) to piggyback the County's contract # 553982 with Motorola Solutions, Inc. to procure the equipment and services necessary to replace three P25 MCC7500 dispatch consoles in an amount not to exceed $227,689. The collaboration with RCS staff and the City staff has been instrumental in this major communications upgrade. ANALYSIS NCMC Section 2.60.260 provides authority to the Buyer to join with other public jurisdictions to take advantage of cooperative purchasing opportunities, including but not limited to any federal, state, or local agency pricing program or structure that is determined by the Buyer to allow a procurement that is in the best interests of the City. The Buyer may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined by the Buyer to be in substantial compliance with the City's procurement procedures, irrespective of the contracting limits of that jurisdiction or agency, even if the City had not initially joined with that public agency in the cooperative purchase. National City's purchasing staff has confirmed that the County's contract # 553982 was competitively bid through a Request for Bid (RFB) process, and that the respective procurement procedures are in substantial compliance with those of National City. Therefore, staff requests that the City Council authorize the City (Buyer) to piggyback the County's contract # 553982 to award the purchase of three P25 MCC7500 dispatch consoles to 265 of 525 Motorola Solutions, Inc. in an amount not to exceed $227,689, consistent with Section 2.60.260 of the National City Municipal Code regarding cooperative purchasing. The funding to purchase the dispatch consoles was approved by City Council through Resolution # 2017-166 for the FY 2018 budget. The FY16 UASI Grant Funds require the City to purchase the equipment and request reimbursement from the City of San Diego Office of Homeland Security. FISCAL IMPACT Funds are appropriated and available in account # 282-411-937-515-0000 Communication Equipment — General Fund $227,689. No City match required. RECOMMENDATION Adopt the resolution. 266 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT NATH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT AGREEMENT Agreement Between County of San Diego and MOTOROLA SOLUTIONS, INC. for COUNTY OF SAN DIEGO REGIONAL COMMUNICATIONS SYSTEM (RCS) REPLACEMENT Agreement No. 553982 267 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION 1.1.11 Console System Motorola's dispatch console solution for the County of San Diego NGPSCS consists clone (I) MCC 7500 dispatch console to be used as maintenance consoles for the purpose of staging. Motorola has not provided additional consoles, since they are not part of this procurement. The MCC' 7500 dispatch console is Motorola's mission -critical high -tier radio dispatch IP console system. The MCC 7500 consoles interface directly to the radio system's IP network and offer seamless connectivity between County of San Diego dispatch operators and radio users, as well as interoperability with existing trunked and conventional systems. Audio processing, encryption, and switching intelligence for dispatch are performed within each operator position, without additional centralized electronics. Integration with the New Radio Network While consoles from other manufacturers can function on the ASTRO 25 network through the Project 25-standard console subsystems interface (CSSi), the MCC 7500 console offers the most complete and compliant solution for the County of San Diego NGPSCS. CSSI is not needed for the MCC 7500 consoles. Voice Encryption The MCC -series consoles provide true end -to -end encryption from the subscriber to the console operator position, enhancing operational security. This assures that sensitive, private communications will remain secure, from the user in the field to the console dispatch operator. Motorola has provided the AES encryption algorithm on the provided maintenance console. Console System Security To use the dispatch console, an operator must enter a valid radio system user account name and password. The dispatch console validates that information with the radio system's network manager and allows the user to access only the resources for which the user has access rights. Flexible, Scalable Design The MCC 7500 will provide the San Diego County/Imperial County with scalable, flexible, system architecture, sophisticated network management and security, and an easy migration to future capabilities. Their advanced feature set, ease of operation, and customizability will improve the safety of both San Diego and Imperial County's first responders and decrease dispatch operator workload, while maintaining strict voice communications security. Tight Integration with the New Radio System The console is directly integrated with the ASTRO 25 technology that provides the foundation of our solution for San Diego County/Imperial County. Operator positions connect directly to the radio system's IP transport network. Audio processing, encryption, and switching intelligence for dispatch are performed within each operator position, without additional centralized electronics. The console is capable of maintaining audio and data recording of the calls made on the communications system. Designed for Mission Critical Use An additional benefit of the MCC 7500 console for the San Diego County/Imperial County NGPSCS is that it shares an operational likeness and user interface with the CENTRACOM Gold Elite consoles already in use by San Diego County/Imperial County RCS. This will reduce the need to formally train dispatch operators prior to transition from their current console to the new console. Motorola has had many successful migrations from Gold Elite to MCC 7500 consoles with little or no formal training. Page 318 of 1300 268 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION All console equipment is designed and built to withstand the high demands of a 2417 dispatch environment and requires desktop and mounting space similar to a personal computer, Integration with the New County of San Diego Next Generation Public Safety Communications System (NGPSCS) The MCC 7500 consoles have been fully engineered under a single corporate umbrella to provide fully -integrated communications on the ASTRO 25 technology being provided for County of San Diego NGPSCS. While consoles from other manufacturers can function on the ASTRO 25 network through the Project 25-standard console subsystems interface (CSSI), the providedconsole offers the most complete and compliant solution for County of San Diego NGPSCS. How a MCC 7500 console site connects to an ASTRO 25 system such as County of San Diego NGPSCS is shown in Figure 1- 42. T Control Stations Local Analog Conventional Stations CCGW Aux UO Server Conventional Site Controller Console Site Link to Radio System Controller Router LAN Switches MCC 7590 Console pt MCC 7500 Console Figure 1-42: Typical Dispatch Console Site Infrastructure - Simplified Block Diagram. Seamless Control of Trunked and Conventional Resources The MCC 7500 is compatible -with the trunked radio resources on the new County of San Diego NGPSCS network, and with the existing conventional channels. Both trunked talkgroups and conventional radio channels can be accessed and controlled from one MCC 7500 dispatch console over the same network. This tight union between radio infrastructure and dispatch console equipment reduces overall transport costs., the need for duplicate fixed network equipment, and several other benefits. as shown in Table 1-14. Page 319 of 1300 269 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION Table i-14: Benefits of the MCC 7500 tP-based Consoles and County of San Diego NGPSCS ASTRO 25 Network. Feature Tight coordination between the IP network and IP console eliminates the potential for audio degradation. Benefit to County of San Diego NGPSCS Subscribers and console operators will be able to communicate without loss of information. Emergency calls are prioritized for successful delivery regardless of network traffic. Activation of an emergency alarm by field units provides an audible alert, displays the unit ID and provides a visual alert. Dispatchers are also prompted to acknowledge the emergency alarm. Inherent access to all system resources within the network provides dispatch priority to reach any user when needed. Console operators will always be able to reach out to users in the field. Rapid call set up times and quality of service, regardless of the size of the system. The ability to scale the system to handle future capacity, while maintaining efficient dispatch operations. True end -to -end multiple encryption capabilities from the subscriber to the console operator position, enhancing operational security Assurance that sensitive, private communications will remain secure, from the user in the field to the dispatch console operator Improved bandwidth efficiencies reduce transport costs Ongoing cost savings utilizing County of San Diego NGPSCS network connectivity MCC 7500 Dispatch Console Components An MCC 7500 IP dispatch console site consists of the following elements, also shown in Figure 1-43. • Site Routers. • Site Switches. • Voice Processing Module (VPM)- • Operator position computers. • Desktop speakers. • Footswitch. • Headset jacks. • Gooseneck microphone. The MCC 7500 dispatch console functions as an integrated component of the total radio system, fully participating in system level features such as end -to -end encryption and agency partitioning. Because the network is IP-based, the system's interfaces and components can be distributed physically throughout the network. Logging components are distributed at the core sites and console sites. CCGWs can be located at conventional -only RF sites, at trunking RF sites, the Core Site, or at console sites with conventional stations. Aux I/O Servers can be placed anywhere in the system, closest to where they are needed. Page 320 of 1300 270 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION Desktop Desktop Speakers ' t II . . Analog —+ - - f . VP/A Microphone f oelsoidt Local Logging Recorder -- trstannl Recall Recorder edomal Pagig Fatotna TrAvlaa,e Enootlon ] , System 11 lir Ana Headset Jacks MCC 7500 Dispatch Consoles Monitor Ethernet Cable alILP Dispatch Console PC Ethernet ,) Cable / LAN Console Site Switch Router 2 Ethernet Cables per Dispatch Console Figure1-43: Motorola MCC 7500 Dispatch Console Hardware Architecture. Operator Position Components MCC 7500 operator positions connect directly to the radio system's IP transport network through the site routers. Audio processing, encryption, and switching intelligence for dispatch are performed within each software -based operator position, without additional centralized electronics. An MCC 7500 operator position consists of a computer, a Voice Processing Module (VPM), multiple speakers, a desktop gooseneck microphone; headset jack box and footswitch. Console Site Link WAN) MCC 7500 Operator Position Components Site Routers The Site Router provides an interface that handles all of the IP network management traffic between the core sites and the MCC 7500 logical dispatch sites. The Site Router provides the following: • Routing - the router directs traffic to and from the next hop in the IP network and enables redundant links • Traffic prioritization - the router applies a prioritization marking to the packets leaving the site. • Fragmentation - the router fragments large IP packets per industry standards. Page 321 of 1300 271 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION The site router is a Motorola GGM 8000 Gateway, shown in Figure 1-44. The same GGM 8000 Gateway also provides CCGW support for the conventional resources. The County of San Diego NGPSCS MCC 7500 console sites are linked to the core sites with redundant site links that provide path diversity. Figure 1- 4: Motorola GGM 8000 Gateway with CCGW. Voice Processing Module (VPM) The VPM provides vocoding and audio processing services for the dispatch console. It connects to the console site LAN switch and communicates with the dispatch console PC via Ethernet. Each operator position includes a PC and a dedicated VPM. The VPM also provides connections for analog devices to be connected to the digital console. The VPM has connectors for the following devices: • One desktop microphone. • Two headset jacks. • Two desktop speakers. • Logging recorder. • Radio instant recall recorder. • External telephone set. • External paging encoder. • Footswitch. • Generic transmit audio input. Personal Computer (PCI The dispatch console uses a Motorola -certified Personal Computer. In the current ASTRO 25 system release, the PCs are Hewlett Packard Z440 mini -towers running the Microsoft® Windows? 64 bit operating system. The 64 bit OS is used to efficiently process large amounts of RAM. The PC includes a standard I01-key keyboard and mouse. The PCs are processed through Motorola factories in Schaumburg so that the application software, and sound cards can be installed and tested to ensure they are operating properly. Desktop Speakers A typical MCC 7500 console has two speakers, one for selected audio and the second for all remaining unselected audio. Additional speakers can be provided for each MCC 7500 console, allowing the dispatch operators to continue utilizing specific speaker arrangement with designated audio sources in each speaker. Footswitch The dispatch console is provided with a dual pedal Footswitch. The Footswitch can be cons figured to control general transmit and monitor functions. Headset Jack Each dispatch console position is equipped with Iwo headset jacks. A headset jack allows a dispatch console user to use a headset while operating the dispatch console. The headset jack contains two volume controls: one for adjusting the level of received radio audio and one for adjusting the level of received telephone audio. The headset plug inserted into the jack automatically disconnects the Page 322 of 1300 272 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION console's dedicated microphone and mutes the select speaker. Pressing the radio PIT will mute the microphone to telephone connection, but not the telephone's incoming audio. Connection to ASTRO 25 System Core The MCC 7500 console site for County of San Diego NGPSCS requires redundant site links to provide path diversity. The console site has two logical connections which are to the master system core site and to the backup system core with each connection using a different site gateway. Each console site gateway provides an interface that handles all of the IP Network Management traffic between the MCC 7500 console center and County of San Diego ASTRO 25 system's core sites. The site gateways fragment large IP packets according to industry standards, prioritize packets. and convert Ethernet data to the desired transport medium. hi addition, the site LAN switch identified in the optional dispatch equipment provides LAN interfaces for dispatch site equipment and a LAN port for the link to the core sites. Through the switch, service technicians can access the system's configuration manager and service the equipment. Connection to Local Resources The MCC 7500 dispatch console supports both trunking and conventional channels and is designed to operate with Motorola's P25 trunking system platform. It uses Internet Protocol (IP) packets to pass call control data and voice communications efficiently and reliably through the radio system's IP transport network. The MCC 7500 dispatch console solution provides access to existing analog conventional resources through the use of conventional channel gateways (CCGW). The CCGW interface with the existing conventional resource and convert the input to IP for use with the MCC 7500 dispatch network. 1.1.11.1 Required Equipment and Licensing "I'he following equipment and licensing is required to add each dispatch console to the System. Network Equipment to add a console site: • Two (2) Site Switches. • Two (2) Site Gateways. Dispatch Equipment: • One (1) MCC 7500 ASTRO 25 software. • One (I) Voice Processor Module (VPM). • One (I) AC line cord. • One (1) twenty —two inch wide non -touch black monitor. • One (1) Z440 computer workstation. • Two (2) Desktop speaker. • One (1) Gooseneck Microphone. • Two (2) I4eadset jacks. • Two (2) Headset base module. • Two (2) Single muff headset. • One (1) Footswiich. • One (1) Soundcard. • One (l) Creative Tabs speakers. • One (l) Instant recall recorder. • One (l) McA fee. Page 323 of 1300 273 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION Dispatch Equipment Licenses: • One (I) MCC 7500 Basic Console Functionality Soltware License. • One ( I ) MCC 7500 Trunking Operation. • One ( I ) MCC 7500 Advance Conventional Operation. • One (1) MCC 7500 Secure Operation. • One ( I ) AES algorithm encryption. • One ( I ) MCC 7500 Over the Ethernet keying (O IiK) operation. 1.1.11.2 Dispatch Equipment —Feature, Options and Accessories This section lists the features. options and accessories available for the MCC7500_ FEATURES The following lists available MCC 7500 features. System Level Features • Seamless IP Connectivity with Radio System • Configured via Radio System Configuration Manager • Full Participation in Radio System Fault Management • Full Participation in Radio System Agency Partitioning • Compatible with MKM 7000 Console Alias Manager • Full Participation in Radio System Dynamic System Resilience (DSR) ASTRO 25 Trunking Features • Full Access to ASTRO 25 Trunked Radio System • IMBE/AMBE Vocoder for ASTRO 25 Resources • Full Support for Project 25 FDMA (Phase I) Operation • Full Support for Project 25 TDMA (Phase II) Operation • Trunked Talk Group Calls • Trunked Announcement Group Calls • Trunked Private Calls • Trunked CaII Alerts • Trunked Emergency Alarms • Trunked Emergency Calls • Trunked Tactical/Normal • Trunked Repeater On/Off • Trunked Remote Monitor • Trunked PTT ID and Alias ASTRO 25 Conventional Features • PTT ID and Alias • Call Alert • Emergency Alarm and CaII • Mixed Mode (Analog/Digital) Operation • Voice Selective Call • Secure Gall • Secure Key Select • Secure Keyset Select • Received Key Display • Autokey Key Display • Momentary Key Override • Radio Enable/Disable • Radio Status Display • Radio Status Request • Radio Message Display • Radio Check • Remote Monitor • Ignore Mobile to Mobile Calls Page 324 of 1300 274 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION Analog Conventional Features • Tone Remote Control • Analog Talk & Listen • Private Line (PL) Selection • Wild Card I & II • Monitor • Supervisor Takeover (via Relay) • RF Cross Mute • E & M Control • Frequency Selection • Repeater On/Off • Mute Second Receiver • Line Operated Busy Light (LOBL) • Main/Alternate Conventional Interfaces • RF Cross Busy General Secure Features • Supports up to 60 Encrypted Calls Simultaneously • AES Algorithm • DES -XL Algorithm • DVP-XL Algorithm • Multi -Select Cross -Mode Alert • Receive Cross -Mode Indication • Key Management via KVL • Key Management via OTEK (Over The Ethernet Keying) • Supports up to 6 Encryption Algorithms Simultaneously • DES-OFB Algorithm • ADP Algorithm • DVI-XL Algorithm • Patch Cross -Mode Alert • Clear Audio Alert • Key Management via Store and Forward (KMF with KVL) General Console Features • Intuitive, Easy -to -Use Graphical User Interfaces (Elite or IED) • Elite GUI is Highly Configurable to meet Unique Customer Needs • Up to 8 Speakers • Up to 2 Headsets Desk Microphone • Footswitch • Instant Recall Recorder Port for Radio Audio • Instant Recall Recorder Port for Console Telephony Audio • Local Logging Recorder Port • Telephone Headset Port (for radio & telephone on one headset) • General Transmit • Instant Transmit • Select/Unselect • Multi -Select • 15 Customizable Alert Tones (Trunking & Conventional) • Channel Marker (Trunking & Conventional) • VU Meter (On Screen) • Integrated Tone Paging Encoder • Patch (Standard & Permanent) • Generic Auxiliary Inputs & Outputs • ACIM Link to Consolette VPM Features • Supports up to 8 Speakers • Supports one Desktop Microphone • Supports up to 2 Headsets • Supports one Footswitch Page 325 of 1300 275 of 525 COUNTY CONTRACT NUMBER 553962 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION • Telephone Headset Port (for radio & telephone on one headset) • Dedicated Private Auxiliary Inputs & Outputs • Instant Recall Recorder Port for Console Telephony Audio • Instant Recall Recorder Port for Radio Audio • Local Logging Recorder Port • External Paging Encoder Port • Ethernet Connection between VPM and PC (up to 200 meters) • Multiple Mounting Options OPTIONS The dispatch equipment options available are the following: • Console Alias Manager. • Auxiliary Inputs/Outputs. • Conventional Channel Gateway. • Conventional Site Controller. Each of the options is described in more detail below. Console Alias Manager Motorola has provided the MKM 7000 Console Alias Manager (CAM) which manages the radio unit 1D aliases that are displayed on MCC 7500 consoles. The CAM enables agencies that are shafting a radio system to make changes to the aliases that are displayed on their dispatch positions and logging recorders, without affecting the aliases displayed on the dispatch positions and logging recorders of other agencies on the system. CAM provides the functionality equivalent to the Alias Database Manager (ADM) from previous releases used for the Elite Gold series consoles. A typical dispatch console uses many types of aliases to make it easier for dispatchers to do their jobs by providing meaningful, descriptive names instead of numeric 1D numbers for different resources on the console. For example, aliases are used for: • Trunking talkgroups and conventional channels. • Aux I/Os. • Secure keys used for voice encryption. • Frequencies on multi -frequency conventional channels. • PL codes on conventional channels using PL. • Preconfigured pages. • Radio unit iDs. (also called radio PTT 1Ds) Most of these aliases are defined when the console is first installed and rarely or never change. But, radio unit IDs can change more often and thus need a way to easily make changes. The MKM 7000 Console Alias Manager satisfies this need. The CAM supports aliases for radio unit IDs for ASTRO 25 trunking systems. ASTRO 25 conventional systems, MDC 1200 conventional systems, and Advanced Securenet conventional systems. When SmartX site converters are used with SmartZone or SMARTNEI' systems. the CAM supports aliases for those types of radio unit IDs as well. The CAM does not support aliases for systems connected via an ISS1 link, neither will it suppot9 non -Motorola consoles connected via a CSSI link. Page 326 of 1300 276 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION Auxiliary Inputs and Outputs An Auxiliary Input/Output server enables console operators to control and monitor external devices, such as doors and lights, from the console user interface. Multiple dispatch consoles anywhere in the network may monitor and control the same relay output and/or external inputs. Changes are indicated across all dispatch consoles simultaneously. Customizable graphic icons are also used to provide a visual indication of both the function and state of external inputs. The contact closures and input buffers required to interface to these devices are housed in Remote Terminal Units (RTUs). These RTUs can be physically located close to where they are needed, at any console site or RF site. The dispatch consoles and RTUs communicate with each other across the radio system's IP transport network. Individual relay outputs can be configured so that they require a safety switch to be pressed before they respond to any commands from the dispatch console user. Supported Aux I/O Configurations The following Aux 1/0 configurations are supported. Aux I/O Configuration Momentary Input Description This is an input where the user interface always shows the true state of the input. Latched Input This is an input where the user interface does not necessarily show the true state of the input. When the input goes active, the user interface shows the state as active. The display will continue to show the state as active even if the input changes to the inactive state. A dispatch console user must manually reset the display to return it to the inactive state. Momentary Output This output relay is activated when the dispatch console user presses the button on the user interface and deactivated when the dispatch console user releases the button. Latched Output This output relay changes state only when the dispatch console user presses the button. Interlocked Latched Output This latched output relay is part of a group of latched output relays. Only one of the relays in the group may be active at a time. Interlocked relays work in a "break before make" fashion; that is, the previously active relay is deactivated before the new relay is activated. Conventional Channel Gateway Equipment Conventional Channel Gateways (CCGWs) are used to interface analog and ASTRO 25 conventional channels to the ASTRO 25 radio system infrastructure. CCGWs provide 4-wire analog interfaces for analog channels and V.24 and IP digital interfaces for ASTRO 25 conventional channels. The platform that is hosting a CCGW may be solely dedicated to that task or it may also be used as a console site router or an RF site router, provided the WAN link is not redundant. The enhanced GGM 8000-based CCGW is available for interfacing to conventional channels. The enhanced CCGW can support combinations of analog, MDC 1200, ACIM Link, digital and mixed mode channels simultaneously. Low density and high density versions of the enhanced CCGW are available. • The low density version contains four analog ports and four V.24 ports plus an Ethernet port. Up to eight conventional channels can be connected to the analog and V.24 ports. The eight channels can be mixtures of analog, MDC 1200, ACIM Link, digital or mixed mode. In addition to the Page 327 of 1300 277 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT A-2 - SYSTEM DESCRIPTION eighi channels connected to ports, up to 16 IP based channels can be supported. This brings the total number of channels supported on the low density version to 24. • The high density version contains eight analog ports and eight V.24 ports plus an Ethernet port. Up to 16 conventional channels can be connected to the analog and V.24 ports. The 16 channels can he mixtures of analog. MI)C' 1200, ACIM Link, digital or mixed mode. In addition to the 16 channels connected to ports. up to 16 11' based channels can be supported. This brings the total number of channels supported on the high density version to 32. Conventional Site Controllers The conventional site controller allows dispatch console users to continue to access and control local conventional channels if connectivity to the radio system's controller is lose. This mode of operation is often called "fallback operation" or "site conventional operation'. The conventional site controller is comprised of the GCP 8000 site controller hardware with different software to provide the conventional capabilities. When used as a conventional site controller, the GCP 5000 site controller is outlined with a single site controller module rather than two site controller modules. Only one conventional site controller is required per console site or conventional subsystem. This single conventional site controller is capable of supporting the full set of dispatch consoles, archiving interface servers and CCG Ws that can be placed in a console site or conventional subsystem. Accessories The table shown below lists the accessories available for the MCC 7500 Dispatch Console. NON TOUCH MONITORS 17 INCH NON -TOUCH MONITOR, BLACK 19 INCH NON -TOUCH MONITOR, BLACK 22 INCH WIDE NON -TOUCH MONITOR, BLACK 24INCH WIDE NON -TOUCH MONITOR, BLACK TOUCH SCREEN MONITORS 17 INCH MONITOR WITH TOUCH SCREEN, BLACK ELO 1929LM 19IN LED COLOR MONITOR 22 INCH WIDE WITH TOUCH SCREEN MONITOR, BLACK TRACKERBALL TRACKERBALL ONLY PS/2 & USB COMPATIBLE HEADSET BOTTOM HDST MODULE BASE W/PTT, 15' CBL HDST MODULE BASE W/PTT, 25' CBL HEADSET TOP SUPRAPLUS SINGLE MUFF HEADSET SUPRAPLUS NC SINGLE MUFF HEADSET SUPRAPLUS DUAL MUFF HEADSET SUPRAPLUS NC DUAL MUFF HEADSET INSTANT RECALL RECORDER DUAL IRR SW USB HASP WITH LICENSE (V47) Page 328 of 1300 278 of 525 COUNTY CQNTF"' T NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC PI :UGIONEAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIT ba Urego County T LIST Phase 2 Equipment Detail SITE ITEM QTY NOMENCLATURE DESCRIPTION PRICE DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP DIAGNOSTIC EQUIP .4 ca DIAGNOSTIC EQUIP co ZDIAGNOSTIC EQUIP ao —OIAGNOSTIC EQUIP 0 DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE EQUIPMENT AEROFLEX AEROFLEX AEROF LEX AEROFLEX AEROFLEX AEROFLEX AEROFLEX AEROFLEX AEROFLEX ANTRITSU ANTRITSU ANTRITSU ANTRITSU ANTRITSU ANTRITSU ANTRITSU ANTRITSU GIGETESTER GIGETESTER POWER SENSOR MCC75OO MCC7500 MCC7500 MCC7S00 MCC7500 MCC7500 MCC7500 MCC7S00 MCC7500 MCC7500 MCC7500 MCC7500 MCC7500 CCGW CCGW CCGW AIS AIS 3 TT05345AA 3 TT05346AA 3 TTD5347AA 3 T'05356AA 3 TT05375AA 3 DDN9837 3 ODN9840 3 DDN9845 3 ODN9847 3 055412EBASE 3 051091420R 3 DSSMPL1 3 D5S412E6GH2 3 055412ETPS 3 DS541ZEP25 3 DS5412E0431 3 OS5412E5312 3 DSMT9090ASTRO 3 OSMT9090ASTRO3YR 3 POWER SENSOR 1 61933 1 CA00140AA 1 DS22WBLK 1 TT2833 1 OSRMP61SA 2 91912 1 B1914 2 81913 2 RLN6099A 2 RMNS0778 1 DSTWIN6328A 1 DDN2134 1 CON6673 11 SQMO1SUM0205 11 CA01616AA 11 CA02086AA 4 TT2833 4 81933 P25 CONVENTIONAL WITH DES OFB TYPE ill / 390XOPT200/ R2075A P25 TRUNKING VHF/UHF/700/800MHZ / 390XOPT201 / R2076A LSM GENERATE AND RECEIVE/ANALYSIS / 390X0P1204 / R2079A AUTOTEST 11 FOR P25 RADIO SYSTEMS / 390XOPT218 / R2083A EXTENDED WARRANTY 36 TOTAL MONTHS / W390X/203 / R2071A 20 AMP CURRENT SHUNT 0.0) OHM / AC24011 / R1794A SOFT PADDED CARRYING CASE FOR AEROFLEX 3920 / AC25012 ACCESSORY POUCH /AC25029 ANTENNA BNC 50 MHZ / AC25042 ANRITSU 5412E BASE UNIT WITH REQ'D, OPTIONS DUAL DIRECTIONAL COUPLER, 40DB, ZOOW CW, 80-1000 MHZ PRECISION N(M) LOAD, 6.0 GHZ, 42DB ANRITSU ADD 6 GHZ BW TO SPECTRUM AND NETWORK ANALYZER ANRITSU HIGH ACCURACY POWER METER W/ US9 SENSOR ANRITSU P25 ANALYZER AND P25 COVERAGE OPTION ANRITSU 5412E OPTION 431 - COVERAGE MAPPING ANRITSU 3 YEAR EXT SERV - SEND TO ANRITSU STD CALIBRATION ANRITSU MT9090 W/ GIGABIT ETHERNET TESTER OPTIONS ANRITSU MT9090A 3 YR EXT WARR ON MAINFRAME AND MODULE ROHDE AND SCHWARZ POWER SENSOR MOTOROLA VOICE PROCESSOR MODULE ADD: AC LINE CORD, NORTH AMERICAN 22 INCH WIDE NON -TOUCH MONITOR, BLACK COMPUTER, 2440 WORKSTATION WINDOWS 7 [NON RETURNABLE] SPD, TYPE 3, 120V RACK MOUNT, 15A PLUG-IN W/ 6] 15A NEMA 5-15 OUTLETS MCC SERIES DESKTOP SPEAKER MCC SERIES DESKTOP GOOSENECK MICROPHONE MCC SERIES HEADSET JACK HOST MODULE BASE W/PT7, 25' C8L SUPRAPLUS SINGLE MUFF HEADSET PROVIDES ONE DUAL PEDAL FOOTSWITCH FOR USE WITH MOTOROLA MCC 7500 015P SOUND BLASTER AUDIGY FX PCIE SOUND CARD CREATIVE IAt3S INSPIRE A60 GGM 8000 GATEWAY ADD: AC POWER ADD: HIGH DENSITY ENH CONY GATEWAY COMPUTER, 2440 WORKSTATION WINDOWS 7 [NON RETURNABLE) MOTOROLA VOICE PROCESSOR MODULE 6/23/2016 5 5 $ 5 5 5 5 5 5 $ 5 5 5 5 5 5 $ 5 6,353.10 7,622.10 25,412.40 6,353.10 3,685.50 758.70 504.90 126,90 156.60 63,115.20 2,349.00 1,053.00 25,920.00 9,849.60 20,331,00 8.100,00 5,248.80 25,401.60 950.40 14,409.90 5 9,536.00 5 5 2,804.15 $ 2,507.50 5 219.30 5 720.00 $ 200.00 S 320.00 5 387.20 5 176.00 $ 246.50 $ 64.88 S 39.10 5 41,580.00 5 59,400.00 5 10,030.00 5 38,144.00 Page 35 279 of 525 COUNTY CONTRACT NUMBER 553982 AGREEMENT WITH MOTOROLA SOLUTIONS INC FOR REGIONAL COMMUNICATIONS SYSTEM REPLACEMENT EXHIBIaA-nD4 i-ego aEQ IPMuntyENT LIST Phase 2 Equipment Detail SITE ITEM QTY NOMENCLATURE DESCRIPTION PRICE DISPATCH CONSOLE EQUIPMENT DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE LICENSING DISPATCH CONSOLE SOFTWARE DISPATCH CONSOLE SOFTWARE DISPATCH CONSOLE SOFTWARE DISPATCH CONSOLE SOFTWARE DISPATCH CONSOLE SOFTWARE ZJ — m CO :EMERY HILL ANT SUBSYS EMERY HILL ANT SUBSYS 0 tMERY HILL ANTSUBSYS EMERY HILL ANTSUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANT SURSY5 EMERY HILL ANT SUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANT SU 85Y5 EMERY HILL ANT SUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANTSUBSYS EMERY HILL ANT SUBSYS EMERY HILL ANTSUBSYS EMERY HILL ANTSUBSYS EMERY HILL ANT SU85Y5 EMERY HILL ANTSUBSYS AIS MASTER SITE MCC7500 MCC7500 MCC7500 MCC7500 MCC7500 MCC7500 MCC7500 AIS AIS AIS MCC7500 MCC7500 MCC7500 M CC7SOO AIS TX ANT TX ANT UPPERJUMPR UPPERJUMPR UPPERJUMPR MAINLINE MAINLINE MAINLINE MAINLINE SURGE SURGE LOWERJUMPR LOWERJUMPR RFMIXING REMIXING REMIXING REMIXING RFMIXING RFMIXING ANTACC RX ANT 4 27 1 1 1 1 1 1 1 4 4 4 1 1 1 1 4 CA00140AA UA00156AA CA01642AA CA01643AA CA01644AA CA00147AF CA00182AB CA01220AA BLN 1313 CA00147AF CA01220AA CA00182AB 81905 T744B T7885 DDN2089 CA00288A8 2 DSSE4145F3PALOFPIP_P 4 DSCLAMP130 50 L1705 4 DON1090 4 TDN9289 200 13617 4 DDN1077 10 D5SG7806B2A 2 DSLSSGRIP 2 OSTSXOFMBF 2 DSGSAKITD 60 L1705 4 DDN1090 30 L1705 4 DDN1090 30 L1700 4 D0N9769 30 L1700 4 DON9769 I4 MDN6B17 1 DSSC479HF1LDFD4NUP ADD: AC LINE CORD, NORTH AMERICAN ADD: MCC7S00 CONSOLE LICENSES {CITY 5) ADD: MCC 7500 BASIC CONSOLE FUNCTIONALITY SOFTWARE LICENSE ADD; MCC 75C0 / MCC 7100 TRUNKING OPERATION ADO: MCC 75C0 /MCC 7100 ADV CONVL OPERATION ADD: MCC 75C0 SECURE OPERATION ADD: AES ALGORITHM ADO: MCC 7500 / MCC 7100 OTEK OPERATION MCC 7500/ MCC 7100 INBOUND EVENT DISPLAY HEN FIELD -ADD LIC ADO: MCC 7500 SECURE OPERATION ADO: MCC 7500 / MCC 7100 OTEK OPERATION ADD: AES ALGORITHM MCC 7500ASTRO 25 SOFTWARE WINDOWS SUPPLEMENTAL FULL CONFIG MCAFEE WINDOWS AV CLIENT DUAL IRR SW USB HASP WITH LICENSE (V47) ADD: MCC 7500 ARCHIVING INTERFACE SERVER SOFTWARE LICENSE ENC 4 DIPOPLE ARRAY PATRN ADJ, 8.0.11.0D80 GAIN LOW PIM 746-869MHZ PIP ALUMINUM 1.5-2.88 IN DIAMETER 1,5.2.88 IN DIAMETER LDF4-SOA CABLE: 1/2" LDF HELIAX POLY JKT PER FOOT L4TDM-P5A 7.16 DIN MALE PS FOR 1/2 IN CABLE 221213 CABLE WRAP WEATHERPROOFING 7/81N HELIAX VIRTUAL AIR FOAM FILLED CORREGATED CABLE (AVAS-SOFX)/FOOT 7-161N DIN FEMALE CONNECTOR El -FIT FOR 7/BIN CABLE (MOTOROLA SPECIFIC) SG78.0662A GROUNDING KIT FOR 7/8 1N COAXIAL CABLE L55GRIP 7/8" SUPPORT HOIST GRIP RF SPD, 698-2700MHZ DC BLOCK HIGH POWER, DIN FEMALE/MALE BIDIRECTIONAL GROUND STRAP KIT - DIN LDF4-50A CABLE: 1/2" LW HELIAX POLY JKT PER FOOT L4TDM-PSA 7-16 DIN MALE PS FOR 1/2 IN CABLE LDF4-50A CABLE: 1/2" LOF HELIAX POLY JKT PER FOOT L4TOM•PSA 7-16 DIN MALE PS FOR 1/2 IN CABLE F511-50A CABLE: 1/4" SUPERFLEX POLY JKT PER FOOT F1TNM.HC 1/4" TYPE N MALE CONNECTOR FOR F511-50A CABLE FSJ1.50A CABLE. 1/4" SUPERFLEX POLY JKT PER FOOT F1TNM•HC 1/4" TYPE N MALE CONNECTOR FOR FSJ1-50A CABLE 42396A-5 7/8" CABLE HANGER STAINLESS, 10 PK COLLINEAR OMNI 9.508D LOW PIM NULL FILL PIP RATED, HD 746.869 4 DEG DT 6/71/2016 5 5 $ 5 $ 5 5 $ 5 5 5 $ 110,025.00 9,600.00 4,000.00 2,400.00 2,600.00 600.00 2,680.00 3,360.00 10,400.00 10,720.00 2,400.00 200.00 40.75 140.25 2,290.52 48,192.00 12,886.00 323.00 L48.75 96.90 74.80 1,42 8.00 135.15 191.25 48.45 215.90 59.50 178.50 96.90 89,25 96,90 57.38 92,65 57,38 92.65 386,75 4, 808.45 Page 36 280 of 525 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY WAIVING THE FORMAL BID PROCESS PURSUANT TO NATIONAL CITY MUNICIPAL CODE SECTION 2.60.260 REGARDING COOPERATIVE PURCHASING AND AUTHORIZING THE CITY TO UTILIZE SAN DIEGO COUNTY CONTRACT NO. 553982 TO AWARD THE PURCHASE OF THREE P25 MCC7500 CONSOLES FOR THE NATIONAL CITY POLICE DISPATCH CENTER, FROM MOTOROLA SOLUTIONS, INC., IN AN AMOUNT NOT TO EXCEED $227,689, USING FISCAL YEAR 2016 URBAN AREA SECURITY INITIATIVE (UASI) GRANT FUNDS WHEREAS, the San Diego County Sheriff's Department manages the San Diego County -Imperial County Regional Communications System ("RCS") radio network that serves the majority of the public safety and public service users in the region; and WHEREAS, in coordination with all agencies, RCS is in the planning stages to upgrade the regional public safety communications system; and WHEREAS, on February 2, 2017, the City Council adopted Resolution No. 2017- 12 to enter into an Agreement with the City of San Diego Office of Homeland Security for the distribution of Fiscal Year 2016 Urban Area Security Initiative ("UASI") grant funds in the amount of $219,010 for the reimbursable purchase of equipment, planning, and training for the Police and Fire Department; and WHEREAS, $200,000 of those grant funds was for the upgrade of three radio consoles to new P25 MC7500 consoles at the National City Police Department ("NCPD") for the dispatchers; and WHEREAS, subsequent to the original grant request, new revised and updated quotes were received from Motorola that increased the cost by $27,689; and WHEREAS, the City of San Diego Office of Homeland Security approved additional grant funds in the amount of $27,689 to cover the increased cost of new P25 MC7500 consoles, which provided a total of $227,689 in grant funds for the upgrade of the dispatch consoles; and WHEREAS, the County of San Diego conducted a competitive procurement for a new regional communications system and awarded the contract to Motorola Solutions, Inc., which includes equipment and services to replace dispatch console systems; and WHEREAS, there is an opportunity for the City to piggyback on the County of San Diego Contract No. 553982 with Motorola Solutions, Inc., to procure the equipment and services necessary to replace three P25 MCC7500 NCPD dispatch consoles in an amount not to exceed $227,689; and WHEREAS, Section 2.60.260 of the National City Municipal Code provides that the City may buy directly from a vendor at a price established through competitive bidding by another public agency whose procedures have been determined to be in substantial compliance with the City's procurement procedures, and such a determination has been made in this case. It is therefore recommended that the purchase be made without complying with the competitive bidding procedure set forth in the Municipal Code. 281 of 525 Resolution No. 2017 — Page Two NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby affirms the determination that the County of San Diego's procurement procedures are in substantial compliance with National City's, and pursuant to Section 2.60.260 of the Municipal Code, authorizes waiving the bidding process of the City to piggyback on the County of San Diego Contract No. 553982 with Motorola Solutions, Inc., for the cooperative purchase of three P25 MCC7500 consoles for the National City Police Dispatch Center in an amount not to exceed $227,689, using Fiscal Year 2016 Urban Area Security Initiative grant funds. PASSED and ADOPTED this 3rd day of October, 2017. ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Angil P. Morris -Jones City Attorney Ron Morrison, Mayor 282 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 283 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City, 1) authorizing the acceptance of the County of San Diego's Community Enhancement Program grant funds of $10,000 for the special event "A Kimball Holiday", with no matching funds required; 2) aut 283 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. i ITEM TITLE: Resolution of the City Council of the City of National City, 1) authorizing the acceptance of the County of San Diego's Community Enhancement Program grant funds of $10,000 for the special event "A Kimball Holiday", with no matching funds required; 2) authorizing the City Manager to execute an agreement between the City of National City and the County of San Diego to receive FY18 Community Enhancement Program grant funds; 3) and authorizing the establishment of a Reimbursable Grants Citywide Fund appropriation of $10,000 and corresponding revenue budget. PREPARED BY: Audrey Denham DEPARTMENT: Community Services PHONE: 336-4243 APPROVED BY: EXPLANATION: In February 2017, Community Services staff applied for the County of San Diego's Community Enhancement Program in order to expand the City's annual special event "A Kimball Holiday". The Community Enhancement Program is funded by a set percent of Transient Occupancy Tax revenues. The goal of the Community Enhancement Program is to stimulate tourism, promote the economy, create jobs, or provide a better quality of life. In June 2017, the City was awarded $10,000 in grant funds. Community Enhancement Program grant funds must be used for the purpose of expanding "A Kimball Holiday", and cannot be used on event activities that have been funded through the City's General Fund budget. New activities at "A Kimball Holiday" will include: a snow play area, an outdoor movie screen and holiday themed movie, miniature train ride, a Reindeer Dash fun run/walk, arts and crafts for youth, and additional holiday decor. FINANCIAL STATEMENT: APPROVED: `Wv , z Finance ACCOUNT NO. APPROVED: 282-00000-3474 (Reimbursable Grants Citywide Fund county grants account) - $10,000.00 282-441-340-264-0000 (Reimbursable Grants Citywide Fund promotional materials account) - $10,000.00 No financial impact on the City's General Fund budget. ENVIRONMENTAL REVIEW: This is not a project and, therefore, is not subject to environmental review. ORDINANCE: INTRODUCTION: FINAL ADOPTION: MIS STAFF RECOMMENDATION: Adopt the resolution, 1) authorizing the acceptance of the County of San Diego's Community Enhancement Program grant funds of $10,000; 2) authorizing the City Manager to execute an agreement between the City of National City and the County of San Diego; 3) and authorizing the establishment of a Reimbursable Grants Citywide Fund appropriation of $10,000 and corresponding revenue budget. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: 1. Grant Agreement I Lb4 OT 5Lb County office use only P—1001836 0-12900 E — 53666 T-001 A-100122 Supplier # — 1114069 COMMUNITY ENHANCEMENT PROGRAM GRANT AGREEMENT BETWEEN THE COUNTY OF SAN DIEGO AND City of National City This Grant Agreement is entered into between the County of San Diego, a political subdivision of the State of California (County), and City of National City, a Municipal Corporation (Grantee) on WHEREAS during the 1982-83 fiscal year, the San Diego County Board of Supervisors established the Community Enhancement program; and WHEREAS, pursuant to Board of Supervisors Policy B-58, the purpose of this Program is to provide funds to nonprofit and/or tax exempt organizations that promote and generate tourism and/or economic development at the regional and community levels throughout San Diego County; and WHEREAS, the County funds this program primarily with the County's Transient Occupancy Tax; and WHEREAS, on 06/27/2017 (11), the Board of Supervisors allocated the grant funding set forth in this Agreement for the purpose described in this Agreement. NOW, THEREFORE, the parties agree as follows: 1. Amount of Grant. The County agrees to pay Grantee the amount of $10,000.00. Under no circumstances is County obligated to pay Grantee more than this amount. County shall pay Grantee after County receives a signed copy of this Agreement from Grantee. 2. Purpose of Grant. Grantee shall use the grant funds provided by County under this Agreement solely for the following purpose: Kimball Holiday and Tree Lighting Celebration. 3. Term of Agreement. The term of this Agreement shall be July 1, 2017 through June 30, 2018. 4. Time Period for Use of Grant Funds and Documentation of Expenditures. (a) Grantee shall spend all grant funds provided by the County for the purposes specified in Paragraph 1 before the end of the Term of Agreement. (b) Grantee shall complete Documentation of Contract Costs report setting forth Grantee's total actual expenditures of the grant funds provided under this Agreement. Grantee shall submit this documentation to the County's administrator promptly after spending the grant funds, but in no event later than 30 days after the end of the Term of Agreement specified above. If the parties agree to extend the Term of Agreement, Grantee shall submit this expenditure documentation not later than 30 days after the end of the extended Term. (c) Grantee shall retain copies of all receipts, invoices, cash register tapes and other direct evidence of the expenditure of funds for which grant funds are used for the duration of the audit period specified in Paragraph 8. (d) If the County's administrator: (i) determines that the Grantee failed to spend all of the grant funds 1 285 of 525 (ii) disallows any expenditure by Grantee; (iii) determines that the grant funds provided exceed Grantee's total actual expenditures authorized under this Agreement; or (iv) grant funds were used in a manner contrary to Paragraphs 2 or 5 Grantee shall refund to the County the amount specified by the County's administrator. Grantee shall make this refund within 7 County business days after receiving a written request for refund from the County's administrator. In its sole discretion, the County may offset the refund amount from any payment due to or to become due to Grantee under this Agreement or any other agreement with the County. (e) If Grantee fails to provide the required documentation of expenditures as required in Subparagraph (b) and (c) above, the County's administrator may request Grantee to refund to the County all or any portion of the grant funds provided under this Agreement. Within 7 County business days of receipt of a written request for a refund, Grantee shall refund to the County the amount specified by the County's administrator. (f) If Grantee incurs expenses before the County pays the grant under this Agreement, the County will reimburse Grantee in an amount not to exceed the amount specified in Paragraph 1 upon submission of documentation to County's administrator setting forth Grantee's actual expenditures for the purpose specified in Paragraph 2 and approval of the documentation by County's administrator. 5. Restrictions on use of grant funds. (a) Grant funds shall not be used for any purpose prohibited by laws governing the use of public funds including, but not limited to, religious purposes, political campaigning, or purely private purposes or activities. (i) If Grantee provides or participates in any activity for which public funds may not be used, such as religious activities, Grantee shall inform the County of this activity before accepting any grant funds. Grantee shall ensure that no grant funds awarded pursuant to the Agreement are used to support in any manner said activity. (b) Grantee shall not spend any grant funds on food or beverages. (c) Grantee shall not donate any grant funds to a third party. (d) Grantee may not include in its Documentation of Grant Expenditures report under this Agreement any expenditures for which Grantee has received or is or will be claiming funding from any other source. (e) Grantee shall not assign or transfer any interest in this Agreement (whether by assignment or novation), without the prior written consent of the County. (f) Grantee shall comply with Board Policy B-58. (g) Grantee's failure to comply with any provision in Paragraph 5 shall constitute a material breach of this Agreement. 6. Administrator of Agreement. The Office of Financial Planning in the Auditor and Controller's Office shall administer this Agreement on behalf of the County, and Shannon Bullock at (619) 336- 4352 shall administer it on behalf of Grantee. County and Grantee may from time to time designate a different administrator by providing notice in the manner required by Paragraph 7. 7. Notice. All communications from Grantee to the County shall be sent to the Chief Financial Officer as listed below. Any notice or notices or other documentation required or permitted to be given pursuant to this Agreement may be personally served on the other party by the party giving such notice, or may be served by certified mail, postage prepaid, return receipt requested, to the following addresses: 286 of 525 County: Chief Financial Officer Office of Financial Planning County of San Diego 1600 Pacific Highway Room 352 San Diego, CA 92101 Grantee: City of National City City of National City National City branch 140 E. 12th Street, Suite B National City, CA 91950 Notices that are personally served shall be deemed delivered on the date served. Notices sent by certified mail shall be deemed delivered 5 County business days after mailing. County and Grantee may from time to time designate a new address for providing notice by providing notice of the new address in accordance with this Paragraph. 8. Audit and Inspection of Records. At any time during normal business hours and as often as the County may deem necessary, the Grantee shall make available, within 5 County business days of the receipt of a request, to the County for examination all of its records with respect to all matters covered by this Agreement and will permit the County to audit, examine and make excerpts or transcripts from such records, and make audits of all invoices, materials, payrolls, records of personnel and other data relating to all matters covered by this Agreement. Unless otherwise specified by the County, said records shall be made available for examination within San Diego County, California. Grantee shall maintain such records in an accessible location and condition for a period of not less than 4 years following receipt of final payment under this Agreement unless County agrees in writing to an earlier disposition. The State of California or any Federal agency having an interest in the subject of this Agreement shall have the same rights conferred upon County by this Agreement. 9. Termination of Agreement for Cause. If Grantee fails to perform its obligations according to this Agreement, the County may send Grantee a written notice of default that specifies the nature of the default. Grantee shall cure the default within 3 County business days following receipt of the notice of default. If Grantee fails to cure the default within that time, the County may terminate this Agreement by giving Grantee written notice of immediate termination. Upon termination, Grantee shall promptly provide County's administrator with Documentation of Grant Expenditures setting forth Grantee's total actual expenditures for the purpose of the grant as of the effective date of termination. Grantee shall promptly refund to County all funds County paid to Grantee under this Agreement that exceed Grantee's total actual expenditures for the purpose of the grant, as determined by County's administrator, as of the effective date of termination. The County may also seek any and all legal and equitable remedies against Grantee for breaching this Agreement. 10. Termination for Convenience of County. County may terminate this Agreement at any time by giving written notice to Grantee of such termination and specifying the effective date thereof at least 30 County business days before the effective date of such termination. On or before the date of termination, Grantee shall provide County's administrator with Documentation of Grant Expenditures setting forth Grantee's total actual expenditures for the purpose of the grant as of the effective date of termination. Grantee shall promptly refund to County all funds County paid to Grantee under this Agreement that exceed Grantee's total actual expenditures for the purpose of the grant, as determined by County's administrator, as of the effective date of termination. 11. Termination for Convenience of Grantee. Grantee may terminate this Agreement at any time by giving written notice to County's administrator of such termination and specifying the effective date thereof at least 60 County business days before the effective date of such termination. On or before the date of termination, Grantee shall provide County's administrator with Documentation of Grant Expenditures setting forth Grantee's total actual expenditures for the purpose of the grant as of the effective date of termination. Grantee shall promptly refund to County all funds County paid to Grantee under this Agreement that exceed Grantee's total actual expenditure for the purpose of the grant, as determined by County's administrator, as of the effective date of termination. 3 287 of 525 12. Interest of Grantee. Grantee covenants that Grantee presently has no interest, including, but not limited to, other projects or independent contracts, and shall not acquire any such interest, direct or indirect, which would conflict in any manner or degree with Grantee's completing the purpose of the grant as specified in Paragraph 2. Grantee further covenants that in the performance of this Agreement, no person having any such interest shall be employed or retained by Grantee. 13. Publication, Reproduction and Use of Material. No material produced, in whole or in part, under this Agreement shall be subject to copyright in the United States or in any other Country. The County shall have unrestricted authority to publish, disclose, distribute, and otherwise use, in whole or in part, any reports, data or other materials prepared under this Agreement. 14. Insurance. Grantee shall maintain such insurance as will fully protect both Grantee and County from any or all claims under any workers' compensation act or employer's liability laws, and from any and all claims of whatsoever kind or nature for the damage to property or for bodily injury, including death, made by anyone whomsoever which may arise from operations carried on under this Agreement, either by Grantee or by anyone directly or indirectly engaged or employed by Grantee. Grantee shall exonerate, indemnify and hold harmless County from and against, and shall assume full responsibility for payment of all federal, state and local taxes or contributions imposed or required under unemployment insurance, social security and income tax laws with respect to Grantee and Grantee's employees engaged in performance of this Agreement. County and its agents and employees shall not be, or be held, liable for any liabilities, penalties, or forfeitures, or for any damage to the goods, properties, or effects of Grantee. 15. Independent Capacity. In the performance of this Agreement, Grantee and its agents, employees and volunteers shall act in an independent capacity and not as officers, employees, agents or volunteers of the County. This Agreement does not create an employment relationship between Grantee and the County. 16. Equal Opportunity. Grantee will not discriminate against any employee, or against any applicant for such employment because of age, race, color, religion, physical handicap, ancestry, sex, or national origin. This provision shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. 17. Defense and Indemnity. County shall not be liable for, and Grantee shall defend and indemnify County and its officers, agents, employees and volunteers (collective, "County Parties") against any and all claims, deductibles, self -insured retentions, demands, liability, judgments, awards, fines, mechanics' liens or other liens, labor disputes, losses, damages, expenses, charges or costs of any kind or character, including attorneys' fees and court costs (collectively, "Claims"), which arise out of or are in any way connected to County's provision of funds and/or Grantee's use of County funds under this Agreement arising either directly or indirectly form any act, error, omission or negligence of Grantee or its officers, employees, agents, contractors, licensees or servants, including without limitation, Claims caused by the concurrent negligent act, error or omission, whether active or passive, of County Parties. Grantee shall have no obligation; however, to defend or indemnify County Parties from a Claim if it is determined by a court of competent jurisdiction that such Claim was caused by the sole negligence or willful misconduct of County Parties. 18. Governing Law. This Agreement shall be construed and interpreted according to the laws of the State of California. 19. Complete Agreement. This Agreement constitutes the entire agreement between Grantee and County regarding the subject matter contained herein. All other representations, oral or written, are superseded by this Agreement. Neither party is relying on any representation outside of this Agreement. This Agreement may be changed only by written amendment signed by both parties. 20. Waiver. The failure of either party to enforce any term, covenant or condition of this Agreement shall not be construed as a waiver of that parry's right to subsequently enforce this, or any other term, covenant or condition of this Agreement. No waiver shall be deemed effective unless the waiver is expressly stated in writing and signed by the party waiving the right or benefit. 21. Consultation with Counsel. Each party has had the opportunity to consult with independent legal counsel of its own choosing before executing this Agreement and has executed this Agreement without fraud, duress, or undue influence of any kind. 4 288 of 525 22. Interpretation. The provisions of this Agreement shall be liberally construed to effectuate its purpose. The language of all parts of this Agreement shall be construed simply according to its plain meaning and shall not be construed for or against either party. 23. (Reserved) 24. Terms and Conditions Survive Expiration of Term of Agreement. Unless otherwise specified herein, all terms and conditions of this Agreement shall survive the expiration of the Term of Agreement specified in Paragraph 3 above. 25. Remedies. Unless otherwise expressly provided herein, the rights and remedies in this Agreement are in addition to, and not a limitation on, other rights and remedies under this Agreement, at law or in equity, and exercise of one right or remedy shall not be deemed a waiver of any other right or remedy. 26. Prevailing Wage. To the extent this grant funds construction, alteration, demolition, installation, repair, refuse and ready mix concrete hauling, or maintenance work and the amount of the grant exceeds $1,000, the project funded by the grant shall be deemed a "public work" for prevailing wage purposes. It is not the intent of this Agreement to impose an obligation to pay prevailing wages on work otherwise exempt from the State's prevailing wage laws. Grantee shall be solely responsible for ensuring prevailing wages are paid when owed. Projects subject to the payment of prevailing wages are subject to compliance monitoring and enforcement by the Department of Industrial Relations. Grantee shall be responsible for ensuring all required job site postings and all certified payroll and other reporting applicable to it as an awarding body are completed in accordance with the State's prevailing wage regulations. Information regarding the State's prevailing wage requirements can be obtained from the Director, Department of Industrial Relations at www.dir.ca.gov , Labor Code § 1720, et seq., and 8 Cal. Code of Regs. § 16000, et seq. WHEREFORE, the parties execute this Agreement on the date first written above. COUNTY OF SAN DIEGO GRANTEE By: Deputy Chief Administrative Officer/Auditor and Controller or Designated Representative Ebony N. Shelton, Director Office of Financial Planning By: Date Authorized signatory Print name and title [Note: Person signing on behalf of Grantee must be authorized by Grantee's Board of Directors to sign this Agreement and must be same person Grantee listed in its funding application as being authorized to sign.] 5 Return This Agreement 289 of 525 THIS PAGE LEFT BLANK INTENTIONALY 6 290 of 525 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE ACCEPTANCE OF COUNTY OF SAN DIEGO COMMUNITY ENHANCEMENT PROGRAM GRANT FUNDS IN THE AMOUNT OF $10,000, • WITH NO MATCHING FUNDS REQUIRED, FOR THE SPECIAL EVENT NAMED "A KIMBALL HOLIDAY", AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF NATIONAL CITY AND THE COUNTY OF SAN DIEGO TO RECEIVE FISCAL YEAR 2018 COMMUNITY ENHANCEMENT PROGRAM GRANT FUNDS, AND AUTHORIZING THE ESTABLISHMENT OF A REIMBURSABLE GRANTS CITYWIDE FUND APPROPRIATION IN THE AMOUNT OF $10,000 AND A CORRESPONDING REVENUE BUDGET WHEREAS, the purpose of the County of San Diego's Community Enhancement Program (the "Program") is to provide funds to non-profit and/or tax exempt organizations that promote and generate tourism and/or economic development at the regional and community levels throughout San Diego County, and is funded by a set percent of Transient Occupancy Tax revenues; and WHEREAS, in February 2017, Community Services staff applied for County of San Diego's Program funds in order to expand the City's annual special event named "A Kimball Holiday"; and WHEREAS, in June 2017, National City was awarded $10,000 in grant funds that are required to be used for the purpose of expanding "A Kimball Holiday", and cannot be used on event activities that have been funded through the City's General Fund budget; and WHEREAS, the new activities at "A Kimball Holiday" will include a snow play area, an outdoor movie screen with a holiday themed movie, miniature train ride, a Reindeer Dash fun run/walk, arts and crafts for youth, and additional holiday decor. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the acceptance of the County of San Diego Community Enhancement Program grant funds in the amount of $10,000. BE IT FURTHER RESOLVED that the City Council authorizes the City Manager to execute the Grant Agreement. BE IT FURTHER RESOLVED that the City Council authorizes the establishment of a Reimbursable Grants Citywide Fund appropriation in the amount of $10,000 and a corresponding revenue budget. PASSED and ADOPTED this 3rd day of October, 2017. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Della, City Clerk Angil P. Morris -Jones, City Attorney 291 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 292 The following page(s) contain the backup material for Agenda Item: Temporary Use Permit — Harvest Fest hosted by Cornerstone Church of San Diego at 1914 Sweetwater Road on October 31, 2017 from 6 p.m. to 9 p.m. with no waiver of fees. (Neighborhood Services) 292 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Temporary Use Permit — Harvest Fest hosted by Cornerstone Church of San Diego at 1914 Sweetwater Road on October 31. 2017 from 6 p.m. to 9 p.m. with no waiver of fees. PREPAHEL) bY: :Dionisia Trejo PHONE: (619) 336-4255 EXPLANATION: DEPARTMENT: Neighborhood Services Department APPROVED BY: �j�..,.,... This is a request from Cornerstone Church of San Diego to conduct a Harvest Festival at 1914 Sweetwater Road on October 31, 2017 from 6 p.m. to 9 p.m. Set up for the event will commence at 12:00 p.m. on the day of the event. This event will include live Christian music, inflatable bouncer slide, game booths, and food booths. Tower lights to provide extra lighting. Applicant will provide their own stage and audio equipment. Note: This will mark the 13th Annual Harvest Festival event by Cornerstone Church of San Diego. FINANCIAL STATEMENT: ACCOUNT NO. APPROVED: Finance APPROVED: MIS }City fee of $237.00 for processing the TUP through various City departments. Total Fees $237.00 ENVIRONMENTAL REVIEW: NII ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Approve the Application for a Temporary Use Permit subject to compliance with all conditions of approval with no waiver of fees or in accordance to City Council Policy 802. BOARD / COMMISSION RECOMMENDATION: 'MN ATTACHMENTS: Application for a Temporary Use Permit with recommended approvals and conditions of approval. 293 of 525 Type of Event Fair/Festival ❑TUP City of National City R Neighborhood Services Department 1243 National City Boulevard a National City, CA 91950 (619) 336.4394 a fax (619) 336-4217 www.nationalcitycia.gov Special Event Application ❑ Parade/March ❑ Walk or Run ❑ ConcertJPerf ormance 0 Sporting Event ❑ Other (specify) Event Name & Location Event Title Harvest Fest Event location (list all sites beingCornerstone Church of San Diego Event Times Set -Up Starts Date 10/31/17 Event Starts Date 10/31/17 12:00pm Tuesd Time Day of Weekay Time 6:O0pm Tuesday Day of week Event Ends 9 fl0 Date 10131/17 Time pm Day of week Tuesday Breakdown Ends Date 10/31/17 Time 11:00pm Day of Beek Tuesday Applicant Information_ Apt cant (Your name ) Shannon Bryant Cornerstone Church S�rrsari'ag U+nge�ti�t:�rt Event Coordinator (if different from applicant) NIA � rx a 1014 Sweetwater Rd National City 91950 Day Phone 619-425-9333 After Hours Phone 019-841-8962 Cell Fax Public information Phone 619-425-93333 E_rrrail godsladyma ie@gmail.com Applicant agrees to _investfggaate, defend, indemnify and hold harmless the Cty, its officers, employees and agents from and against any and all loss, damage, lability, claims, demands, detriments. charges, (including attomey's fees) and car of action of any character which the City, its ofitc.ani, employees expenseag may incur, sustain or be subjected tc on account of loss or damage nlfxloyeand agents bodily injury to or death of any� �'° or the of use thereof and for bodiless of u each persons (including but not ranted to the employees, subcontractors, agents and party hereto) arising out of or in any way connected to the occupancy, enjoyment and use of any City premises under this agreement to the extant permitted by law. Applicant understands this TUP/special event may impMcate fees for City services, which *II have to be paid in the City's Finance Department 48 hours prior to the event set-up. The undersigned also understands and accepts the laity's refund poixny for application processing and facility use and that fees and charges are adjusted annually and are subject to or`cang& Signature of Applicant Shannon Bryant nfi, .. itap 'ty signed by Shannon 0 7.021517:sa:4s -0sroa' Date $t1Ulf 17 1 294 of 525 Special Event Application (continued) Please complete the following sections with as much detail as possible since fees and requirements are based on the information you provide us. F;ees'iProceedaiReportingg Is your organization a "Tax Exempt, nonprofit" organization? Yes 01 No ❑ Are admission, entry, vendor or participant fees required? Yes 0 No ■0 If YES, please explain the purpose and provide amount (s): 0 event. Estimated Gross Receipts including ticket, product and sponsorship sales from this 2,000 _ Estimated Expenses for this event. 0 What is the projected amount of revenue tiat the Nonprofit Organization will receive as a result of this event? Description of Event First time event 9 Retumin Event ❑ include site map with application ❑ Note that this description may be published in our City Public Special Events Calendar: This is a community event that provides an alternative to Halloween. There will be food-, games, and entertainment. ,Es'timated Attendance Anticipated # of Participants: 600 Anticipated # of Spectators: 60fl 2 295 of 525 Traffic Control, Security, First Aid and Accessibility Requesting to oleos street(s) to vehicular traffic? Yes ❑ No ❑! List any streets requiring closure as a result of the event (provide map): Date and time of street closure: Date and time of street reopening: ❑ Other (explain) Requesting to post "rro parking" notices? Yes 0 No 121 ❑ Requested "No Parking" on city streets and/or parking lots (list streets/parkin g lots) (provide map): O Other (explain) Security and Crowd Control - Depending on the number of participants, your event may require Police services.. - Please describe your procedures for both Crowd Control and internal Security: Cornerstone Church security and traffic ministries. Have you hired Professional Security to handle security arrangements for this event? Yes n = FE if YES, name and address of Security Organization Security Director (Nance): Phone: if using the services of a professional security Limn AND the event Mil r ort City property, please provide a copy of b tertifteata, evidencing liability Witt limits of at l $ , Million dollars per =manta= Mii!i yn dollars aggregate, as wail as and addition Insured endomement naming the City of National City, its of oars, employees. and agents as additional insureds. Evfdance of insurance must be primed by the vendor or its insurer to the City's Risk Manager for review and apt prior to the event. Is this a night event? Yes ® No ❑ If YES, please state how the event and surrounding area will be illuminated to ensure safety of the participants and spectators: Tower lights will be rented to illuminate the parking lot, along with existing property lighting_ 296 of 525 t�J First Aid Depending on the number of participants, your event may require specific First Aid services. First aid station to be staffed by event staff? Yes 0 No ❑ First aid/CPR certified? Yes El No ❑ ❑ First aid station to be staffed by professional company. ► Company Accessibility Please describe your Accessibility Plan for access at your event by individuals with disabilities: We will have the restrooms to our facility open which are ADA compliant Elements of your Event Setting up a stage? Yes 0 No ❑ 0 Requesting. City's PA system. ❑ Requesting City Stage; if yes, which size? ❑ Dimensions (13x28) ❑ Dimensions (20x28) 20x28 (Dimensions) ® Applicant providing own stage ► ( Setting up canopies or tents? 5 10X10 # of canopies size # of tents size-1 ❑ No canopiesltents being set up Setting up tables and chairs? El Furnished by Applicant or Contractor 20 # of tables ❑ No tables being set up 150 # of chairs ❑ No chairs being set up ❑ (For City Use Only) Sponsored Events — Does not apply to co -sponsored events # of tables- ❑ No tables being set up # of chairs ❑ No chairs being set up Contractor Name Contractor Contact Information Address 4 City/State Phone Number 297 of 525 t- 11 Setting up other equipment? ❑ Sporting Equipment (explain) Cl Other (explain) jJ Not setting up any equipment listed above at event Having ampllfeed sound andior music? Yes No ❑ [3 PA System for announcements ® CD player or DJ music I Live Music ► Smail 4-5 piece live band P. ❑ Large 6+ piece live band O Other (explain) If using live music or a DJ. i► Contractor blame- Carrzerstane Worship I istry 1914 Sweetwater Rod National City, CA 619-425-9333 Address CRylStat Phone Number Using lighting equipment at your event? Yes iio❑ j] Bringing in own lighting equipment ❑ Using professional lighting company _ ► Company Name Address city Phone Number Using electrical power? Yes I No ❑ O Using on -site elm " 0 For sound andior lighting ❑ For food andior refrigeration O Bringing In generator(s). CI For tioundrandfor lighting ❑ For food andfor refrigeration Vendor Informatio i PLEASE NOTE: You may be required to apply for a temporary health pennant if food or beverages are sold of given away during -your special event. Also see Permits and Compliance' on page 6 in the Special Event Guide. For additional Information on obtaining a temporary health permit, please contact the County of San Diego Enr nm 1 Helldal at (619) 338-2363. Having food and non-alcoholic beverages at your event? Yes © No❑ O Vendors preparing food on -site b # ► Business License.# !flies, please describe how food Iva be served andtor prepared: If you intend to cook od in the event area please specify the method: ❑ GAS ❑ ELECTRIC ❑ CHARCOAL ❑ OTHER (Specify): ElVendors bringing pre -paced food ► # 1 ► Business License # ❑ Vendors bringing bottled, non-alcoholic beverages (Le., bottled water, can soda, etc.) l� # ❑ Vendors sung food # 9 BMsIIIess lam #(s) ❑ Vendors selling merchandise # ► Business License #(s) 5 298 of 525 CI Food/beverages to be handled by organization; no outside vendors ❑ Vendors selling services # ► Business License #(s) ► Explain services ❑ Vendors passing out information only (no business license needed) # f Explain type(s) of information El No selling or informational vendors at event Having children activities? Yes LI No ❑ PLEASE NOTE: In the event inflatable jumps are provided at the event, The City of National City requires commercial liability insurance with limits of at least $1 Million dollars per occurrence/$2 Million dollars aggregate. In addition, the City of National City must be named as an Additional Insured pursuant to a separate`endorsement, which shall be provided by the vendor or its insurer to the City's Risk Manager, along with the Certificate of Insurance, for approval prior to the event. The application should be filed out at least one week prior to the event. There is a $25 fee to process the permit application. For questions or to obtain a copy of the "Facility Use Application', please contact the Engineering/Public Works Department at (619) 336-4580. ❑ Inflatable bouncer house # Q Rock climbing wall Height 0 inflatable bouncer slide # 1 0 Arts & crafts (i.e., craft making, face painting, etc.) ❑ Other Having fireworks or aerial display? Yes ❑ No ❑ Vendor name and license # Dimensions Duration Number of shells Max. size PLEASE NOTE: In the event fireworks or another aerial display is planned for your event, The City of National City requires cnrnmercial liability insurance with limits of at least $2 Million dollars per occurrence! $4 Million dollars aggregate. In addition, the City of National City must be named as an Additional Insured pursuant to a separate endorsement, which shall be provided by the vendor or its insurer to the City's Risk Manager, along with the Certificate of Insurance, for approval prior to the event Depending on the size and/or nature of the fireworks display, the City reserves the right to request higher liability limits. The vendor must also obtain a fireworks permit from the National City Fire Department and the cost is $502.00 Arranging for media coverage? Yes No ■❑ ❑ Yes, but media will not require special set-up ❑ Yes, media will require special set-up. Describe 6 299 of 525 f �5 PLEASE NOTE: For City sponsored or co -sponsored events, banners publicizing the event may be placed on the existing poles on the 1800 block and 3100 block of National City Boulevard. The banners must be made to the City's specifications. Please refer to the City's Special Event Guidebook and Fee Schedule for additional infonrraon. Are you planning to have signage at your event? Yee 0 No 0 ❑ Yes, we will post signage # Dimensions ® Yes, having inflatable signage # 10. (complete Inflatable Signage Request form) 0 Yes, we will have banners # v Event title, activities, date and hours M What wili signsibanners say' j '�11+�i i�i ❑ How will signslbanners be anchored or mounted? thon by CVS PLEASE NOTE One toilet for every 250 people is required, unless the applicant can show that there are sufficient facilities in the immediate area available to the public during the event, Are you planning to provide portable restroorns at the event? Yes 0 No HI If yes, please identify the following: > Total number of portable toilets: ® Total number of ADA accessible portable toilets: ❑ Contracting with portable toilet vendor. la Company phpr Load -in Day & Time D Load -out Day & Time ❑ Portable toilets to be serviced: Time Set-up, Breakdown, CJean-iip Setting up he day before the event? ❑ Yes, will set up the day before the event. la No, set-up will occur on the event day Requesting vehicle ass onto the turf? 0- # of set-up day(s) ❑ Yes, requesting access onto turf for set-up and breakdown (complete attached Vehicle Access Request form) ❑ No, vehicles will Inadlunioad from nearby street or parking lot. 7 300 of 525 IDE L tt o'Fen ❑ City to install litter fence ❑ Applicant to install litter fence N/A Breaking down set-up the day after the event? ❑ Yes, breakdown will be the day after the event. 1 # of breakdown day(s) ❑ No, breakdown will occur on the event day. How are you handling clean-up? ❑ Using City crews fl Using volunteer clean-up crew during and after event. ❑ Using professional cleaning company during and after event. Miscellaneous Please list anything important about your event not already asked on this application: Please make a copy of this application for your records. We do not provide copies. 8 301 of 525 • 4 I. Special Event Information Special Events Pre -Event Storm Water Compliance Checklist Name especial Event: Harvest Fest Event Address: Cornerstone Church of San Diego Event Host/Goordlnator: Shannon Bryant Expected It of Attendees: 1500 Phone. Number: 619- 25-9333 II. Storm Water Best Management Practices (BMPs Review: • YES NO N/, Will enough trash cans provided for the event? Provide number of trash bins: 15 r Will enough recycling bins provided for the event? Provide number of recycle bins: 5 /`� 1� Will all portable toilets have secondary containment trays? (exceptions for ADA compliant portable toilets) .....",/ Do all storm drains have screens to temporarily protect trash and debris from entering? Are spill cleanup kits readily available at designated spots? * A Post -Event Storm Water Compliance Checklist will be completed by City Staff. 9 302 of 525 City of National City PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Persons requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which includes the City, its officials, agents and employees named as additional insured and to sign the Hold Harmless Agreement. Certificate of insurance must be attached to this permit. The insurance company issuing the insurance policy must Have a A.M. Best's Guide Rating of A:VII and that the insurance company is a California admitted company; if not, then the insurance policy to the issuance of the permit for the event. The Certificate Holder must reflect: City of National City Risk Management Department 1243 National City Boulevard National City, CA 91950 Cornerstone Church of San Diego Organization: Mike Ramirez Person in Charge of Activity: Address: 1914 Sweetwater Road National City, CA. 91950 Telephone: Date(s) of Use: HOLD HARMLESS AGREEMENT As a condition of the issuance of a temporary use permit to conduct its activities on public or private property, the undersigned hereby agree(s) to defend, indemnify and hoid harmless the City of National City and the Parking Authority and its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or, for any personal injury, death or property damage, or both, or any litigation and other liability, including attorneys fees and the costs of litigation, arising out of or related to the use of public property or the activity taken under the permit by the permittee or its agents, employees or contractors. Shannon Bryant p�gfta��ysignedby 7273o5nBryant Date; 2017.02.15 13:12:35-OB'00' Signature of Applicant: Official Title: Date: 1 For_Dffice Use Only Certificate of Insurance Approved _ Date 10 303 of 525 4 o le Maps 1914 Sweetwater Rd 1914 Sweetwater Rd National CIS CA 91950 Imagery ©2Q1i Geogle, Mee; date C12017 Geogle United ; ati 50 ft L.,..-..-- 304 of 525 oc( cky-R5( (j c� s De vice CITY OF NATIONAL CITY NEIGHBORHOOD SERVICES DEPARTMENT APPLICATION FOR A TEMPORARY USE PERMIT RECOMMENDATIONS AND CONDITIONS SPONSORING ORGANIZATION: Cornerstone Church EVENT: Harvest Fest DATE OF EVENT: October 31, 2017 APPROVALS: DEVELOPMENT SERVICES YES [ x ] NO [ ] SEE CONDITIONS [ x ] RISK MANAGER YES [ x ] NO [ ] SEE CONDITIONS [ x ] PUBLIC WORKS YES [ x ] NO [ ] SEE CONDITIONS [ ] FINANCE YES [ x ] NO [ ] SEE CONDITIONS [ x ] FIRE YES [ x ] NO [ ] SEE CONDITIONS [ x ] POLICE YES [ x ] NO [ ] SEE CONDITIONS [ x ] CITY ATTORNEY YES [x ] NO [ ] SEE CONDITIONS [ x ] COMMUNITY SERVICES YES [ x ] NO [ ] SEE CONDITIONS [ ] NEIGHBORHOOD SERVICES YES [ x ] NO [ ] SEE CONDITIONS [ x ] CONDITIONS OF APPROVAL: DEVELOPMENT SERVICES (619) 336-4318 Building No comments Planning Speakers and lights shall be directed away from neighboring residential properties. Engineering No comments POLICE DEPARTMENT There are no stipulation from the Police Department. We will notify the on duty personnel of the event. They will provide extra patrol during their unobligated times. CITY ATTORNEY Requires an indemnification and hold harmless agreement. 305 of 525 COMMUNITY SERVICES No involvement NEIGHBORHOOD SERVICES Neighborhood Notifications — Events are required to notify residents and/or businesses of the surrounding impacted areas by the event. The notice shall include the name of the event, name and phone number of the company/organization producing the event, the dates and times of the event (including set-up and breakdown) and a detailed description of how the residents and/or businesses may be affected, such as by street closures, "No Parking" signs being posted, music at the event, etc. RISK MANAGER (619) 336-4370 Risk Management has reviewed the above captioned application for the issuance of a Temporary Use Permit. In as much as the event will held solely on private property there will be no additional insurance requirements necessary for the issuance of the permit. It should be noted that the Hold Harmless and Indemnification Agreement were properly executed by the applicant at the time the Special Event Application was submitted. PUBLIC WORKS (619)366-4580 No involvement FINANCE All Food servers/preparers should have a Food Handler's card/Health Permit from the Health Department. 306 of 525 FIRE (619) 336-4550 inspection Required No Fee's unless changes are made to TUP Stipulations required by the Fire Department for this event are as follows: 1) Access to the area to be maintained at all times, entrances and emergency roadways 2) Fire Department access into and through booth areas are to be maintained at all times. Fire apparatus access roads shall have an unobstructed width of not Tess than 20 feet and an unobstructed vertical clearance of not less than 13 feet 6 inches 3) Fire Hydrants shall not be blocked or obstructed 4) Participants on foot are to move immediately to the sidewalk upon approach of emergency vehicle(s) 5) Vehicles in roadway are to move immediately to the right upon approach of emergency vehicle(s) 6) Provide a 2A:10BC fire extinguisher at stage area. Extinguisher to be mounted in a visible location between 3'/2`to 5' from the floor to the top of the extinguisher. Maximum travel distance from an extinguisher shall not be more than 75 feet travel distance. See Attached 7) Internal combustion power sources that may be used for inflatables, shall be of adequate capacity to permit uninterrupted operation during normal operating hours. Refueling shall be conducted only when the ride is not in use 8) Internal combustion power sources shall be isolated from contact with the public by either physical guards, fencing or an enclosure. Internal combustion power shall be at least 20 feet away stage area 9) Any electrical power used is to be properly grounded and approved. Extension cords shall be used as "Temporary Wiring" only 10) A fire safety inspection is to be conducted by the Fire Department prior to operations of the event to include all rides, cooking areas, game booths, etc. 307 of 525 11) If tents or canopies are used, the following information shall apply: Tents having an area from 0-200 square feet shall be $200.00 • Tents having an area more than 201 square feet shall be $400.00 • Canopies having an area from 0-400 square feet shall be no charge. ▪ Canopies from 401-500 square feet shall be $250.00. Canopies from 501-600 square feet shall be $300.00. Canopies from $601.00 or greater shall be $400.00. • Multiple tents and or canopies placed together equaling or greater than the above stated information shall be charged accordingly. Tents shall be flame-retardant treated with an approved State Fire Marshal seal attached. A permit from the Fire Department must be obtained. Fees can only be waived by the City Council. A ten feet separation distance must be maintained between tents and canopies. A permit from the Fire Department must be obtained. Cooking shall not be permitted under tents or canopies unless the tents or canopies meet State Fire Marshal approval for cooking. See Fire Marshall for required explanation 12) Concession stands utilized for cooking shall have a minimum of 10 feet of clearance on two sides and shall not be located within 10 feet of tents or canopies. 13) All cooking booths or areas to have one 2A:10BC fire extinguisher. If grease or oil Is used in cooking a 40:BC or class "K" fire extinguisher will be requilred. See Fire Marshal for required explanation. All fire extinguishers to have a current State Fire Marshal Tag attached. 14) First Aid will be provided by Cornerstone Church of San Diego personnel. 15) Provide Blow Up Slide vendors California State Fire Marshal Certificate for Flame Resistance. 16) Carnivals and Fairs require a $500 Permit, 17) Required inspections taking place, after hours, holidays, and weekends will be assessed a minimum of one hundred ($200.00) dollars. 308 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 309 The following page(s) contain the backup material for Agenda Item: Investment transactions for the month ended July 31, 2017. (Finance) 309 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO.: ITEM TITLE: Investment transactions for the month ended July 31, 2017. PREPARED BY: Ronald Gutlay DEPARTMENT: Finan PHONE: 619-336-4346 APPROVED BY: EXPLANATION: In accordance with California Government Code Section 53646 and City of National City's investment policy section XIIA, a monthly report shall be submitted to the legislative body accounting for transactions made during the reporting period. The attached listing reflects investment transactions of the City of National City's investment portfolio for the month ending July 31, 2017. FINANCIAL STATEMENT: ACCOUNT NO. NA APPROVED: `tZ/7 4 /eG- - FINANCE APPROVED: ENVIRONMENTAL REVIEW: This is not a project and, therefore, not subject to environmental review. ORDINANCE: INTRODUCTION FINAL ADOPTION MIS STAFF RECOMMENDATION: Accept and file the Investment Transaction Ledger for the month ended July 31, 2017. BOARD / COMMISSION RECOMMENDATION: NA ATTACHMENTS: Investment Transaction Ledger 310 of 525 City of National City Consolidated Account #10218 Transaction Ledger 6/30/17 Thru 7/31/17 Transaction Settlement Acq/Disp Type Date CUSIP Quantity Security Description Price Yield Amount Interest Pur/Sold Total Amount Gain/Loss ACQUISITIONS Purchase Purchase Purchase Purchase Purchase Purchase Purchase Purchase Purchase ase ase ase 07/01/2017 60934N807 07/05/2017 60934N807 07/07/2017 06538BY80 07/12/2017 60934N807 07/12/2017 89233GZB5 07/14/2017 02665WAZ4 07/14/2017 594918BG8 07/15/2017 60934N807 07/15/2017 90LAIF$00 07/16/2017 60934N807 07/17/2017 857477AV5 07/18/2017 47788BAB0 rc ase 07/20/2017 36164KAG6 Purchase 07/20/2017 60934N807 Purchase 07/24/2017 91159HHL7 Purchase 07/26/2017 912828J50 Purchase 07/26/2017 912828L32 Purchase 07/26/2017 912828UV0 Purchase 07/28/2017 22160KAJ4 Purchase 07/29/2017 60934N807 Purchase 07/31/2017 60934N807 Subtotal 2,300.00 Federated Investors Govt Oblig Fund Inst. 244.35 Federated Investors Govt Oblig Fund Inst. 595,000.00 Bank of Tokyo Mitsubishi NY Discount CP 1.33% Due 11/8/2017 1,837.50 Federated Investors Govt Oblig Fund Inst. 600,000.00 Toyota Motor Credit Discount CP 1.26% Due 12/11/2017 400,000.00 American Honda Finance Note 2.45% Due 9/24/2020 270,000.00 Microsoft Callable Note Cont. 10/03/20 2% Due 11/3/2020 3,600.00 Federated Investors Govt Oblig Fund Inst. 80,206.86 Local Agency Investment Fund State Pool 2,025.00 Federated Investors Govt Oblig Fund Inst. 400,000.00 State Street Bank Note 1.95% Due 5/19/2021 170,000.00 John Deere Owner Trust 2017-B A2A 1.59% Due 4/15/2020 600,000.00 GE Capital Treasury LLC Discount CP 1.3% Due 1/16/2018 2,531.25 Federated Investors Govt Oblig Fund Inst. 400,000.00 US Bancorp Callable Note 1X 12/29/2020 2.35% Due 1/29/2021 600,000.00 US Treasury Note 1.375% Due 2/29/2020 360,000.00 US Treasury Note 1.375% Due 8/31/2020 200,000.00 US Treasury Note 1.125% Due 3/31/2020 400,000.00 Costco Wholesale Corp Note 2.15% Due 5/18/2021 4,700.00 Federated Investors Govt Oblig Fund Inst. 7,618.75 Federated Investors Govt Oblig Fund Inst. 5,100,063.71 1.000 0.59 % 2,300.00 0.00 2,300.00 0.00 1.000 0.59 % 244.35 0.00 244.35 0.00 99.542 1.35 % 592,274.24 0.00 592,274.24 0.00 1.000 0.59 % 1,837.50 0.00 1,837.50 0.00 99.468 1.28 % 596,808.00 0.00 596,808.00 0.00 101.462 1.98 % 405,848.00 2,994.44 408,842.44 0.00 100.370 1.88 % 270,999.00 1,065.00 272,064.00 0.00 1.000 0.59 % 3,600.00 0.00 3,600.00 0.00 1.000 1.01 % 80,206.86 0.00 80,206.86 0.00 1.000 0.59 % 2,025.00 0.00 2,025.00 0.00 99.014 2.22 % 396,056.00 1,256.67 397,312.67 0.00 99.991 1.60 % 169,985.23 0.00 169,985.23 0.00 99.350 1.33 % 596,100.00 0.00 596,100.00 0.00 1.000 0.59 % 2,531.25 0.00 2,531.25 0.00 101.009 2.05 % 404,036.00 4,569.44 408,605.44 0.00 99.735 1.48 % 598,408.26 3,317.94 601,726.20 0.00 99.364 1.59 % 357,709.02 1,990.76 359,699.78 0.00 99.047 1.49 % 198,094.42 719.26 198,813.68 0.00 100.302 2.07 % 401,208.00 1,672.22 402,880.22 0.00 1.000 0.59 % 4,700.00 0.00 4,700.00 0.00 1.000 0.62 % 7,618.75 0.00 7,618.75 0.00 5,092,589.88 17,585.73 5,110,175.61 0.00 TOTAL ACQUISITIONS 5,100,063.71 5,092,589.88 17,585.73 5,110,175.61 0.00 Chandler Asset Management Page 7 Execution Time: 8/31/2017 11:09:57 AM City of National City Consolidated Account #10218 Transaction Ledger 6/30/17 Thru 7/31/17 Transaction Settlement Acq/Disp Type Date CUSIP Quantity Security Description Price Yield Amount Interest Pur/Sold Total Amount Gain/Loss DISPOSITIONS Sale Sale Sale Sale Sale Sale Sale Sale Sale Security rawal rity rawal rity rawal Security Withdrawal 07/07/2017 60934N807 07/12/2017 60934N807 07/14/2017 60934N807 07/17/2017 60934N807 07/18/2017 60934N807 07/20/2017 60934N807 07/24/2017 60934N807 07/26/2017 60934N807 07/28/2017 60934N807 592,274.24 596,808.00 680,906.44 397,312.67 169,985.23 596,100.00 408,605.44 1,160,239.66 402,880.22 Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. Federated Investors Govt Oblig Fund Inst. 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 0.59 % 0.59 % 0.59 % 0.59 % 0.59 % 0.59 % 0.59 % 0.59 % 0.59 % 592,274.24 596,808.00 680,906.44 397,312.67 169,985.23 596,100.00 408,605.44 1,160,239.66 402,880.22 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 592,274.24 596,808.00 680,906.44 397,312.67 169,985.23 596,100.00 408,605.44 1,160,239.66 402,880.22 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Subtotal 5,005,111.90 5,005,111.90 0.00 5,005,111.90 0.00 07/07/2017 90LAIF$00 500,000.00 Local Agency Investment Fund State Pool 1.000 500,000.00 0.00 500,000.00 0.00 07/18/2017 60934N807 1,916.09 Federated Investors Govt Oblig Fund Inst. 1.000 1,916.09 0.00 1,916.09 0.00 07/21/2017 90LAIF$00 1,500,000.00 Local Agency Investment Fund State Pool 1.000 1,500,000.00 0.00 1,500,000.00 0.00 07/31/2017 90SDCP$00 20,000.00 County of San Diego Pooled Investment 1.000 20,000.00 0.00 20,000.00 0.00 Pool Subtotal 2,021,916.09 2,021,916.09 0.00 2,021,916.09 0.00 TOTAL DISPOSITIONS 7,027,027.99 7,027,027.99 0.00 7,027,027.99 0.00 OTHER TRANSACTIONS Interest 07/01/2017 3133EFW52 400,000.00 FFCB Note 0.000 2,300.00 1.15% Due 7/1/2019 Interest 07/12/2017 3137EADN6 490,000.00 FHLMC Note 0.000 1,837.50 0.75% Due 1/12/2018 Interest 07/15/2017 912828S43 435,000.00 US Treasury Note 0.000 1,631.25 0.75% Due 7/15/2019 Interest 07/15/2017 912828XK1 450,000.00 US Treasury Note 0.000 1,968.75 0.875% Due 7/15/2018 Interest 07/16/2017 94974BFG0 270,000.00 Wells Fargo Corp Note 0.000 2,025.00 1.5% Due 1/16/2018 Interest 07/20/2017 3135G0E33 450,000.00 FNMA Note 0.000 2,531.25 1.125% Due 7/20/2018 0.00 2,300.00 0.00 0.00 1,837.50 0.00 0.00 1,631.25 0.00 0.00 1,968.75 0.00 0.00 2,025.00 0.00 0.00 2,531.25 0.00 Chandler Asset Management Page 8 Execution Time: 8/31/2017 11:09:57 AM City of National City Consolidated Account #10218 Transaction Ledger 6/30/17 Thru 7/31/17 Transaction Settlement Acq/Disp Type Date CUSIP Quantity Security Description Price Yield Amount Interest Pur/Sold Total Amount Gain/Loss OTHER TRANSACTIONS Interest Interest Interest Interest 07/29/2017 91159HHL7 07/31/2017 912828SD3 07/31/2017 912828TH3 07/31/2017 912828UL2 Subtotal 400,000.00 US Bancorp Callable Note 1X 12/29/2020 2.35% Due 1/29/2021 400,000.00 US Treasury Note 1.25% Due 1/31/2019 400,000.00 US Treasury Note 0.875% Due 7/31/2019 490,000.00 US Treasury Note 1.375% Due 1/31/2020 4,185,000.00 0.000 0.000 0.000 0.000 4,700.00 2,500.00 1,750.00 3,368.75 24,612.50 Dividend 07/05/2017 60934N807 7,026,264.28 Federated Investors Govt Oblig Fund Inst. 0.000 244.35 Dividend 07/15/2017 90LAIF$00 2,912,812,615.4 Local Agency Investment Fund State Pool 0.000 80,206.86 2 W 1 Subtotal 2,919,838,879.7 0 80,451.21 0.00 0.00 0.00 0.00 4,700.00 2,500.00 1,750.00 3,368.75 0.00 0.00 0.00 0.00 0.00 24,612.50 0.00 0.00 0.00 244.35 80,206.86 0.00 0.00 0.00 80,451.21 0.00 ca AL OTHER TRANSACTIONS 2,924,023,879.7 0 105,063.71 0.00 105,063.71 0.00 Chandler Asset Management Page 9 Execution Time: 8/31/2017 11:09:57 AM CC/CDC-HA Agenda 10/3/2017 — Page 314 The following page(s) contain the backup material for Agenda Item: Warrant Register #7 for the period of 08/09/17 through 08/15/17 in the amount of $1,803,390.22. (Finance) 314 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO.: TEM TITLE: Warrant Register #7 for the period of 08/09/17 through 08/15/17 in the amount of $1,803,390.22. (Finance) PREPARED BY:Karla Apalategui, Accounting Assistant PHONE: 619-336-4572 EXPLANATION: Per Government Section Code 37208, attached are the warrants issued for the period of 08/09/17 through 08/15/17. Consistent with Department of Finance, listed below are all payments above $50,000. DEPARTMENT: Financ APPROVED BY: Vendor SDG&E Springboard CDFI Adminsure Inc Public Emp Ret System Check/Wire 330331 734298 734418 8092017 Amount 84,097.49 70,000.00 111,155.88 245,659.79 Explanation Wastewater / Gas & Electric Utilities FTHB Loan — 830 Edgerton Way W/C Acct Replenishment Jul 2017 Service Period 07/18/17 — 07/31/17 FINANCIAL STATEMENT: ACCOUNT NO. Warrant total $1,803,390.22. APPROVED: `07 G� - FINANCE APPROVED: ENVIRONMENTAL REVIEW: This is not a project and, therefore, not subject to environmental review. ORDINANCE: INTRODUCTION FINAL ADOPTION MIS STAFF RECOMMENDATION: Ratify warrants totaling $1,803,390.22 BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: Warrant Register # 7 J 15 of 525 CALIFORNIA+�__ 1/2 PAYEE ACADEMI TRAINING CENTER LLC AGUIRRE, C ALDEMCO ALPHA PROJECT FOR THE HOMELESS ASPEN RISK MANAGEMENT GROUP AZTEC APPLIANCE BARRETT ENGINEERED PUMPS INC BOOT WORLD CALIFORNIA COMMERCIAL SECURITY CALIFORNIA ELECTRIC SUPPLY CLF WAREHOUSE INC COAST ENERGY SOLUTION CPCA CSA SAN DIEGO COUNTY DANIELS TIRE SERVICE DEPARTMENT OF TRANSPORTATION ENTERPRISE FLEET MANAGEMENT GRAINGER HILTON PALM SPRINGS MASON'S SAW METRO AUTO PARTS DISTRIBUTOR NATIONAL RECREATION AND PARK ASSOC OPPER & VARCO LLP O'REILLY AUTO PARTS PALMA, A POWERSTRIDE BATTERY CO INC PRO BUILD PROJECT PROFESSIONALS CORP PRUDENTIAL OVERALL SUPPLY RON BAKER CHEVROLET S & J BUILDERS & RESTORATION SAN DIEGO FRICTION PRODUCTS SDCHCC SDG&E SITEONE LANDSCAPE SUPPLY LLC SMART & FINAL SMART SOURCE OF CALIFORNIA LLC SOUND SOLUTION AUTO STYLING SOUTHERN CALIF TRUCK STOP STAPLES BUSINESS ADVANTAGE STARDUST INN SUPERIOR READY MIX SWEETWATER AUTHORITY T MAN TRAFFIC SUPPLY THE SHERWIN WILLIAMS CO TOPECO PRODUCTS U S BANK UNITED ROTARY BRUSH CORP VALLEY INDUSTRIAL SPECIALTIES VISTA PAINT NATIONAL CI?? ?ATCORPQRAT813 . WARRANT REGISTER #7 8/15/2017 DESCRIPTION RANGE SHOOTING / PD REIMB ECON DEV FINANCING TRAINING FOOD / NUTRITION CENTER ALPHA PROJECT OUTREACH SVC. JUNE 17 / NSD RISK MANAGEMENT CONSULTANT SERVICES CITY WIDE APPLIANCE PURCHASES / PW CITY WIDE ON SITE PUMP/MOTOR REPAIR MOP# 64096 SAFETY BOOTS / PW MOP#45754 GENERAL SUPPLIES / PW MOP#45698 ELECTRIC PARTS / PW MOP#80331 GENERAL SUPPLIES / PW REFUND OF BUILDING FEE TRAINING TUITION CHIEF/CITY MANAGER TEAM FAIR HOUSING SERVICES/HED TIRES FOR CITY FLEET FOR FY 2018 HIGHWAY LIGHTING FOR FY 2017 ENTERPRISE FLEET LEASE AND MAINTENANCE MOP#65179 GENERAL SUPPLIES / PW CACEO SEMINAR HOTEL / NSD MOP# 45729 EQUIPMENT SUPPLIES / PARKS PW MOP# 75943 AUTO SUPPLIES / FLEET PW MEMBERSHIP FY 2018 / CSD TOD PROJECT - OPPER & VARCO LLP MOP# 75877 SMALL SHOP SUPPLIES / PW REIMB HUD CONFERENCE MOP#67839 AUTO SUPPLIES / PW MOP#45707 GENERAL SUPPLIES / PW WAYFINDING MOP#45742 LAUNDRY SERVICES / PW MOP#45751 AUTO PARTS / PW REPAIR TO STRUCTURAL DAMAGE TO FIRE MOP#80333 AUTO PARTS / PW SD CO HISPANIC MEMBERSHIP / R. MORRISON WASTEWATER - GAS & ELECTRIC UTILITIES MOP#45720 LANDSCAPE SUPPLIES / PW SNACKS FOR CASA DE SALUD / CSD PATCH BROCHURE / PD WINDOW TINT TAURUS / PW MOP#45758 PROPANE AND OIL SUPPLIES / PW MOP 45704 OFFICE SUPPLIES CAMACHO / CSD RELOC COSTS STARDUST INN / HOUSING COLD MIX ASPHALTS & TACK OIL / PW WASTEWATER DIVISION WATER UTILITIES MOP#76666 TRAFFIC PAINT / PW MOP#77816 PAINT SUPPLIES / PW MOP# 63849 SUPPLIES FOR SIGNS/ PW CREDIT CARD EXPENSES / POLICE MOP#62883 AUTO SUPPLIES / PW MOP#46453 AUT MOP#68384 TRP 316 of 525 tiVpw CHK NO DATE AMOUNT 330297 8/15/17 2,000.00 330298 8/15/17 2,256.20 330299 8/15/17 11,194.96 330300 8/15/17 12,533.50 330301 8/15/17 2,700.00 330302 8/15/17 144.39 330303 8/15/17 16,066.13 330304 8/15/17 175.33 330305 8/15/17 100.59 330306 8/15/17 64.37 330307 8/15/17 103.18 330308 8/15/17 360.65 330309 8/15/17 960.00 330310 8/15/17 10,280.94 330311 8/15/17 1,875.46 330312 8/15/17 8,206.82 330313 8/15/17 28,980.00 330314 8/15/17 1,143.88 330315 8/15/17 705.12 330317 8/15/17 961.85 330318 8/15/17 650.98 330319 8/15/17 650.00 330320 8/15/17 97.50 330321 8/15/17 59.44 330322 8/15/17 198.33 330323 8/15/17 411.69 330324 8/15/17 3,204.85 330325 8/15/17 8,971.37 330326 8/15/17 611.84 330327 8/15/17 23.03 330328 8/15/17 15,670.00 330329 8/15/17 137.07 330330 8/15/17 149.00 330331 8/15/17 84,097.49 330332 8/15/17 632.62 330333 8/15/17 87.67 330334 8/15/17 714.49 330335 8/15/17 110.00 330336 8/15/17 75.97 330337 8/15/17 760.16 330338 8/15/17 2,219.88 330339 8/15/17 2,571.48 330340 8/15/17 470.79 330341 8/15/17 488.02 330342 8/15/17 444.76 330343 8/15/17 72.80 330344 8/15/17 5,465.95 330345 8/15/17 1,201.54 330346 8/15/17 1,635.07 330347 8/15/17 1,375.19 CALIFORNIAF__ 2/2 PAYEE WAXIE SANITARY SUPPLY WESTFLEX INDUSTRIAL WILLY'S ELECTRONIC SUPPLY RIVERSIDE COUNTY SHERIFF DEPT SABALA, A YOUNG, G WIRED PAYMENTS EDD PAYCHEX BENEFIT TECHNOLOGIES ARCO BUSINESS SOLUTIONS SPRINGBOARD CDFI ADMINSURE INC PUBLIC EMP RETIREMENT SYSTEM PAYROLL Pay period Start Date 17 8/1/2017 NATIONAL tarry 1141CORPORAT8D . WARRANT REGISTER #7 8/15/2017 DESCRIPTION MISCELLANEOUS JANITORIAL SUPPLIES / PW MOP#63850 AUTO SUPPLIES / PW MOP#45763 ELECTRIC SUPPLIES / PW TRAINING TUITION / SABALA / PD TRAINING ADV SUB / PD TRAINING FBI ACADEMY - YOUNG / PD UNEMPLOYMENT INS 04/01/17 - 6/30/17 BENETRAC ESR SVCS BASE FEE JUL 2017 FUEL FOR CITY FLEET JULY 2017 FTHB LOAN - 830 EDGERTON WAY IN NATIONAL W/C ACCT REPLENISHMENT JUL 2017 SERVICE PERIOD 07/18/17 - 07/31/17 End Date 8/14/2017 Check Date 8/23/2017 CHK NO 330348 330349 330350 330351 330352 330353 376756 615077 734277 734298 734418 8092017 DATE AMOUNT 8/15/17 1,147.10 8/15/17 54.66 8/15/17 37.52 8/15/17 160.00 8/15/17 384.00 8/15/17 255.00 A/P Total 236,110.63 8/11/17 1,453.00 8/11/17 507.00 8/11/17 25,915.21 8/10/17 70,000.00 8/11/17 111,155.88 8/9/17 245,659.79 1,112,588.71 GRAND TOTAL $ 1,803,390.22 317 of 525 Certification IN ACCORDANCE WITH SECTION 37202, 37208, 372059 OF THE GOVERNMENT CODE, WE HEREBY CERTIFY TO THE ACCURACY OF THE DEMANDS LISTED ABOVE AND TO THE AVAILABILITY OF FUNDS FOR THE PAYMENT THEREOF AND FURTHER THAT THE ABOVE CLAIMS AND DEMANDS HAVE BEEN AUDITED AS REQUIRED BY LAW. MARK ROBERTS, FINANCE LESLIE DEESE, CITY MANAGER FINANCE COMMITTEE RONALD J. MORRISON, MAYOR -CHAIRMAN ALBERT MENDIVIL, VICE -MAYOR ALEJANDRA SOTELO-SOLIS, MEMBER MONA RIOS, MEMBER JERRY CANO, MEMBER I HEREBY CERTIFY THAT THE FOREGOING CLAIMS AND DEMANDS WERE APPROVED AND THE CITY TREASURER IS AUTHORIZED TO ISSUE SAID WARRANTS IN PAYMENT THEREOF BY THE CITY COUNCIL ON THE 3RD OF OCTOBER 2017. AYES NAYS ABSENT 318 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 319 The following page(s) contain the backup material for Agenda Item: Warrant Register #8 for the period of 08/16/17 through 08/22/17 in the amount of $987,526.96. (Finance) 319 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO.: TEM TITLE: Narrant Register #8 for the period of 08/16/17 through 08/22/17 in the amount of $987,526.96. Finance) PREPARED BY:Karla Apalategui, Accounting Assistant PHONE: 619-336-4572 EXPLANATION: Per Government Section Code 37208, attached are the warrants issued for the period of 08/16/17 through 08/22/17. Consistent with Department of Finance, listed below are all payments above $50,000. Vendor Check/Wire Law Offices of T. A Scott Ace Electric Inc KT U &A SDG&E STC Traffic Inc 330355 330364 330386 330399 330405 Amount 200,000.00 346,277.85 94,367.01 90,070.91 76,664.00 DEPARTMENT: Finan APPROVED BY: Explanation Liability Claim Cost El Toyon & Las Palmas Lighting Prjt NC Downtown Specific Project Facilities Div. Gas & Electric Utilities Pedestrian Midblock Crossing Prjct FINANCIAL STATEMENT: ACCOUNT NO. Warrant total $987,526.96. APPROVED: `07 G� - FINANCE APPROVED: ENVIRONMENTAL REVIEW: This is not a project and, therefore, not subject to environmental review. ORDINANCE: INTRODUCTION FINAL ADOPTION MIS STAFF RECOMMENDATION: Ratify warrants totaling $987,526.96 BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: Warrant Register # 8 J2U Ot 525 CALIFORNIA+�__ 1/2 PAYEE REGIONAL TRAINING CENTER CLAIMS MANAGEMENT ASSOCIATES LAW OFFICES OF TIMOTHY A SCOTT ABLE PATROL & GUARD AMAZON BAKER & TAYLOR BRODART CO CALIFA GROUP EBSCO INFORMATION SERVICES SIRSIDYNIX 774271 ACE ELECTRIC INC ALEXANDRA SILBER AT&T AT&T ATKINS NORTH AMERICA INC CHILDREN'S HOSPITAL CITY OF CHULA VISTA CITY OF SAN DIEGO COMMUNITY ROWING OF SD COX COMMUNICATIONS DALEY & HEFT LLP DALEY & HEFT LLP DAVENPORT HOTELS DEPT OF TOXIC SUBSTANCE CONTROL D-MAX ENGINEERING EVCON ASSOCIATES LLC EXPRESS PIPE AND SUPPLY CO INC GOLDEN WEST COLLEGE HAAKER EQUIPMENT COMPANY HERNANDEZ, R INTERNATIONAL CODE COUNCIL KTU&A MABPA MAINTEX INC MALLORY SAFETY & SUPPLY LLC MYERS AND SONS NACOLE NGUYEN, L ORKIN PENSKE FORD PROJECT PROFESSIONALS CORP RIVERSIDE COMMUNITY SAN DIEGO HYDRAULICS SDG&E SILVERGATE FINANCIAL INC SMART SOURCE OF CALIFORNIA LLC SOUTH BAY MOTORSPORTS SPARKLETTS STAPLES BUSINESS ADVANTAGE STC TRAFFIC INC NATIONAL CI?? ?ATCORPQRAT8t WARRANT REGISTER #8 8/22/2017 DESCRIPTION REGIONAL TRAINING CENTER CLASS / PLANNING PROFESSIONAL SERVICES / RISK LIABILITY CLAIM COST SECURITY GUARD SERVICE FOR FY2018 /LIBRARY BOOKS / LIBRARY BOOKS / LIBRARY BOOKS / LIBRARY CALIFA MEMBERSHIP RENEWAL 7/1/17 - 6/30/17 EBSCO DATABASE SUBSCRIPTION / LIBRARY SINGLE MATTE -LAM BARCODES / LIBRARY EL TOYON AND LAS PALMAS LIGHTING PROJECT DECROPSY / PD AT&T PHONES JULY 2017 AT&T PHONES JULY 2017 ALLEY DESIGN SERVICES / ENG SAFE ROUTES TO SCHOOL PROGRAM JUNE 2017 ANIMAL FEES / PD TRANSPORTATION / TREATMENT FEES FY 2017 LEARN TO ROW SUMMER CAMP CLASSES / CSD COX CABLE SERVICES AUGUST 2017 LIABILITY CLAIM COST LIABILITY CLAIM COST 2017 NACOLE CONFERENCE EPA ID & MANIFEST FEE CALFIRE URBAN FORESTRY GRANT ECONOMIC DEVELOPMENT SERVICES CITY WIDE PLUMBING PARTS & MATERIALS / PW TRAINING TUITION SWAT LUCKY PD STRAINER / SEWER DIVISION PW TRAVEL REIMB / FIRE -RESCUE MED CONFERENCE ICC MEMBERSHIP / BUILDING NC DOWNTOWN SPECIFIC PROJECT MABPA LUNCHEON / AUGUST/ CM MENDIVIL CITY WIDE JANITORIAL SUPPLIES / PW SNAP HOOKS SUPPLIES - PARKS PW PEDESTRIAN BARRICADE TYPE 1 WET SET 2017 NACOLE CONFERENCE REGISTRATION TRAINING ADV SUB SWAT / PD PEST CONTROL SERVICES / JULY 2017 R&M CITY VEHICLES FOR FY 2018 EL TOYON & LAS PALMAS PARK PROJECT TRAINING TUITION PUBLIC SAFETY HONOR GUARD SEAL KIT REPLACEMENT - FLEET PW FACILITIES DIVISION GAS & ELECTRIC UTILITIES T&A #962 CANYON RIDGE HOMES MOP SMART SOURCE PD WHISTLES R&M CITY VEHICLES AS NEEDED FY 2018 WATER SERVICES / JULY 2017 MOP 45704 OFFI JGINEERING PEDESTRIAN MI 321 of 525 NG PROJECT CHK NO DATE AMOUNT 330354 8/22/17 199.00 330355 8/22/17 11,250.00 330356 8/22/17 200,000.00 330357 8/22/17 3,119.33 330358 8/22/17 114.37 330359 8/22/17 2,076.33 330360 8/22/17 203.66 330361 8/22/17 400.00 330362 8/22/17 16,899.00 330363 8/22/17 505.01 330364 8/22/17 346,277.85 330365 8/22/17 400.00 330367 8/22/17 352.85 330368 8/22/17 69.96 330369 8/22/17 17,790.66 330370 8/22/17 18,599.38 330371 8/22/17 37,553.11 330372 8/22/17 924.65 330373 8/22/17 3,312.00 330374 8/22/17 3,532.77 330375 8/22/17 5,711.01 330376 8/22/17 485.40 330377 8/22/17 1,484.10 330378 8/22/17 215.00 330379 8/22/17 11,507.50 330380 8/22/17 4,000.00 330381 8/22/17 10.47 330382 8/22/17 424.00 330383 8/22/17 427.20 330384 8/22/17 134.15 330385 8/22/17 240.00 330386 8/22/17 94,367.01 330387 8/22/17 25.00 330388 8/22/17 260.94 330389 8/22/17 224.54 330390 8/22/17 342.67 330391 8/22/17 1,332.00 330392 8/22/17 1,725.30 330393 8/22/17 437.36 330394 8/22/17 53.65 330395 8/22/17 4,720.73 330396 8/22/17 174.00 330398 8/22/17 346.43 330399 8/22/17 90,070.91 330400 8/22/17 10,717.60 330401 8/22/17 580.74 330402 8/22/17 1,098.91 330403 8/22/17 30.74 330404 8/22/17 191.27 330405 8/22/17 76,664.00 CALIFORNIA F__ 2/2 PAYEE SUPERIOR READY MIX SWEETWATER AUTHORITY TARGET SPECIALTY PRODUCTS THE COUNSELING TEAM THE HOME DEPOT CREDIT SERVICES TODD PIPE & SUPPLY LLC U S BANK UNDERGROUND SERVICE ALERT VERIZON WIRELESS VISTA PAINT SECTION 8 HAPS NATIONAL CI?? ?ATCORPQRAT8D WARRANT REGISTER #8 8/22/2017 DESCRIPTION CONCRETE DELIVERY SERVICES / PW FACILITIES DIVISION WATER BILL FY 2018 WALKING SPRAY BOOM / PW EMPLOYEE SUPPORT SVC FOR FD ON 617117 GENERAL SUPPLIES NEEDED FOR BUILDING CITY WIDE PLUMBING MATERIALS & PARTS CREDIT CARD EXPENSES / POLICE UNDERGROUND SERVICE ALERT FY 2018 VERIZON WIRELESS JULY 2017 TRAFFIC PAINT FOR STREETS Start Date 8/16/2017 End Date 8/22/2017 GRAND TOTAL CHK NO DATE AMOUNT 330406 8/22/17 282.61 330407 8/22/17 482.36 330408 8/22/17 1,266.41 330409 8/22/17 1,706.25 330410 8/22/17 421.09 330411 8/22/17 1,296.40 330412 8/22/17 2,669.37 330413 8/22/17 270.70 330414 8/22/17 1,009.28 330415 8/22/17 1,215.19 A/P Total 982,202.22 5,324.74 $ 987,526.96 322 of 525 Certification IN ACCORDANCE WITH SECTION 37202, 37208, 372059 OF THE GOVERNMENT CODE, WE HEREBY CERTIFY TO THE ACCURACY OF THE DEMANDS LISTED ABOVE AND TO THE AVAILABILITY OF FUNDS FOR THE PAYMENT THEREOF AND FURTHER THAT THE ABOVE CLAIMS AND DEMANDS HAVE BEEN AUDITED AS REQUIRED BY LAW. MARK ROBERTS, FINANCE LESLIE DEESE, CITY MANAGER FINANCE COMMITTEE RONALD J. MORRISON, MAYOR -CHAIRMAN ALBERT MENDIVIL, VICE -MAYOR ALEJANDRA SOTELO-SOLIS, MEMBER MONA RIOS, MEMBER JERRY CANO, MEMBER I HEREBY CERTIFY THAT THE FOREGOING CLAIMS AND DEMANDS WERE APPROVED AND THE CITY TREASURER IS AUTHORIZED TO ISSUE SAID WARRANTS IN PAYMENT THEREOF BY THE CITY COUNCIL ON THE 3RD OF OCTOBER 2017. AYES NAYS ABSENT 323 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 324 The following page(s) contain the backup material for Agenda Item: Warrant Register #9 for the period of 08/23/17 through 08/29/17 in the amount of $1,808,798.21. (Finance) 324 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO.: ITEM TITLE: Warrant Register #9 for the period of 08/23/17 through 08/29/17 in the amount of $1,808,798.21. (Finance) PREPARED BY:Karla Apalategui, Accounting Assistant PHONE: 619-336-4572 DEPARTMENT: Finan APPROVED BY: EXPLANATION: Per Government Section Code 37208, attached are the warrants issued for the period of 08/23/17 through 08/29/17. Consistent with Department of Finance, listed below are all payments above $50,000. Vendor Check/Wire Amount Explanation Dell Marketing L P 330439 63,203.59 Optiplex 3030 All in One Build/MIS Medifit Community Svcs LLC 330455 72,040.03 Management Fee June 2017 Public Emp Ret System 8252017 229,121.86 Service Period 08/01/17 — 08/14/17 FINANCIAL STATEMENT: ACCOUNT NO. Warrant total $1,808,798.21. APPROVED: `-/Z/7 G� - FINANCE APPROVED: MIS ENVIRONMENTAL REVIEW: This is not a project and, therefore, not subject to environmental review. ORDINANCE: INTRODUCTION FINAL ADOPTION STAFF RECOMMENDATION: Ratify warrants totaling $1,808,798.21 BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: Warrant Register # 9 325 of 525 CALIFORNIA+�__ 1/4 PAYEE REGIONAL TRAINING CENTER 4 ALL PROMOS AIRGAS WEST ALL FRESH PRODUCTS AMEDEE, W AMERICAN AWARDS AWARD MASTER BEST BUY BUSINESS BILLIARD DIRECT INC BOOT WORLD BROWDER, M BSN SPORTS CARTEGRAPH SYSTEMS INC CELLEBRITE USA INC CLEAN HARBORS CLF WAREHOUSE INC COMMUNITY ROWING OF COUNTY OF SAN DIEGO COX COMMUNICATIONS CPP PRINTING CULLIGAN CUSTOM METAL CONCEPTS INC DCS TESTING & EQUIPMENT INC DELL MARKETING L P D-MAX ENGINEERING ECMS ECOLAB EPLUS TECHNOLOGY INC FEDEX GOVCONNECTION INC GRAINGER GRANICUS INC GUZMAN, K HAPPY SOFTWARE INC HOSOPO CORPORATION INGA JR, R KRONOS INC LASER SAVER INC LIFETIME PRODUCTS INC MEDIFIT COMMUNITY SERVICES LLC MELLADO DESIGNS MES CALIFORNIA METRO AUTO PARTS DISTRIBUTOR MOTOROLA SOLUTIONS INC MSI MIDSTATE INSTRUMENTS MTS MUNICIPAL INFORMATION SYSTEMS NAPA AUTO PARTS NATIONAL CITY TROPHY NEXUS IS INC NATIONAL CI?? ?ATCORPQRAT813 . WARRANT REGISTER #9 8/29/2017 DESCRIPTION TRAINING CONSORTIUM FEES FY17-18 KEYCHAINS FOR THE EFM PROGRAM / PD MOP# 45714 SAFETY SUPPLIES / PARKS FOOD / NUTRITION CENTER MILEAGE REIMBURSEMENT TROPHY LG/CSD THE LADY GLITZ CROWN / CSD CONTROLLERS FOR PS4 AT CASA DE SALUD / CSD SERVICE TO MOVE THE POOL TABLE / CSD MOP# 64096 SAFETY BOOTS / PW TRAINING REIMB DISPATCH / POLICE SPORTS EQUIPMENT FOR CASA DE SALUD / CSD CDP PARTNER HOSTING 09/01/17 - 08/31/18 CELLEBRITE SERVICE FY 18 HOUSEHOLD HAZARDOUS WASTE / PW MOP#80331 AUTO PARTS / FLEET PW LEARN TO ROW SUMMER CAMP / CSD NEXTGEN REGIONAL COMMUNICATIONS SYSTEM COX DATA SERVICES FY18 MOUNTED POSTER FOR MISS NATIONAL CITY WATER SOFTENER / NUTRITION STANDARD GAS RAM / PD HOSE AND LADDER TESTING / FIRE OPTIPLEX 3030 ALL IN ONE BUILD / MIS PARADISE CREEK DAC GRANT TURNOUT REPAIRS / FIRE CHEMICALS FOR DISHWASHER / NUTRITION VMWARE LICENSING / MIS FEDEX SHIPPING- ENG/PW FORTINET ACCESS POINTS 223C / MIS MOP 65179 . SUPPLIES / FIRE DEPT MONTHLY MANAGED SVCS / AUG 2017 DEMO CLASS HAPPY SUPPORT RENEWAL FY 2018 / SEC 8 BUILDING FEE REFUND MEDICAL SERVICES TELESTAFF UPGRADE - PD LASERSAVER PRINTER CONSUMABLES / MIS TABLES AND CHAIRS FOR CASA DE SALUD / CSD MANAGEMENT FEE JUNE 2017 POLO UNIFORMS FOR STAFF / NSD NOZZLE BUBBLECUP / PW MOP#75943 AUTO PARTS / FLEET PW NETRMS ADD ON TO SAN DIEGO SHERIFF / PD THERMAL CAMERA KIT / FIRE MTS TROLLEY FLAGGER SVC FY 17./ NSD MISAC SOUTHERN CHAPTER MEMBERSHIP / MIS MOP 45735. SUPPLIES / FIRE CHARGES MOP# 66556 NAM VOIP PHONE SYS 326 of 525 MIS CHK NO DATE AMOUNT 330416 8/29/17 2,572.00 330417 8/29/17 2,561.65 330418 8/29/17 264.00 330419 8/29/17 1,878.60 330420 8/29/17 14.45 330421 8/29/17 251.79 330422 8/29/17 356.94 330423 8/29/17 279.70 330424 8/29/17 461.05 330425 8/29/17 847.41 330426 8/29/17 307.86 330427 8/29/17 385.43 330428 8/29/17 39,600.00 330429 8/29/17 3,700.00 330430 8/29/17 966.96 330431 8/29/17 246.19 330432 8/29/17 1,104.00 330433 8/29/17 8,920.50 330434 8/29/17 403.87 330435 8/29/17 99.80 330436 8/29/17 216.50 330437 8/29/17 1,921.56 330438 8/29/17 3,568.02 330439 8/29/17 63,203.59 330440 8/29/17 33,613.02 330441 8/29/17 260.73 330442 8/29/17 248.50 330443 8/29/17 15,732.00 330444 8/29/17 151.62 330445 8/29/17 5,767.02 330446 8/29/17 489.62 330447 8/29/17 1,477.35 330448 8/29/17 88.22 330449 8/29/17 11,132.00 330450 8/29/17 166.00 330451 8/29/17 73.00 330452 8/29/17 13,801.66 330453 8/29/17 2,383.24 330454 8/29/17 1,249.99 330455 8/29/17 72,040.03 330456 8/29/17 487.13 330457 8/29/17 326.50 330458 8/29/17 415.15 330459 8/29/17 24,141.00 330460 8/29/17 12,323.55 330461 8/29/17 95.05 330462 8/29/17 160.00 330463 8/29/17 1.12 330464 8/29/17 40.66 330465 8/29/17 5,336.59 CALIFO RNIA F__ 2/4 PAYEE OLIVER PRODUCTS PADRE JANITORIAL SUPPLIES POWERSTRIDE BATTERY CO INC PREMIER SAFETY PRO BUILD PRO -EDGE KNIFE PRUDENTIAL OVERALL SUPPLY QUESTYS SOLUTIONS ROADONE SAN DIEGO COUNTY ASSESSOR SAN DIEGO GAS & ELECTRIC SAN DIEGO UNION TRIBUNE SDG&E SEAPORT MEAT COMPANY SITEONE LANDSCAPE SUPPLY LLC SMART & FINAL SOUTHERN CALIF TRUCK STOP STAPLES BUSINESS ADVANTAGE SWANK MOTION PICTURES INC SWEETWATER AUTHORITY SYSCO SAN DIEGO INC THE HELMET CENTER LLC THE SHERWIN WILLIAMS CO TINOSA INC TRITECH SOFTWARE SYSTEMS U S BANK ULINE UNITED ROTARY BRUSH CORP UPS SUPPLY CHAIN SOLUTIONS INC WILSON, V VICTOR STANLEY INC VISTA PAINT WEST MARINE PRODUCTS INC WESTFLEX INDUSTRIAL WILLY'S ELECTRONIC SUPPLY ZOLL MEDICAL CORP CITY OF NATIONAL CITY HINDERLITER DE LLAMAS & ASSOC JEROME'S FURNITURE WAREHOUSE KONICA MINOLTA MEDIFIT COMMUNITY SERVICES LLC OPTUM BANK ROGUE FITNESS SAN DIEGO UNION TRIBUNE SASI REGIONAL TRAINING CENTER ADMINSURE INC ALDEMCO ALL FRESH PRODUCTS AMERICAN CANCER SOCIETY NATIONAL CI?? ?ATCORPQRAT813 . WARRANT REGISTER #9 8/29/2017 DESCRIPTION MATERIALS FOR HOME DELIVERED MEALS JANITORIAL SUPPLIES / NUTRITION MOP#67839 AUTO PARTS / FLEET PW FILTER SET / FIRE MOP# 45707. SUPPLIES CMS DAY / NSD KNIFE SHARPING SERVICE / NUTRITION MOP# 45742 LAUNDRY SERVICES / PW QUESTYS RENEWAL 7/1/17-6/30/18 MOP# 475948 TOWING SERVICES / PW COUNTY SD RECORDS / HOUSING GAS & ELECTRIC UTILITIES / NUTRITION UNION TRIBUNE - PUBLIC NOTICES SDG&E - UTILITIES FOR 130 E. 8TH STREET FOOD / NUTRITION CENTER MOP# 69277 WEED ABATEMENT SUPPLIES / PW MOP 45756. SUPPLIES FIRE CHARGES MOP# 45758 PROPANE / PW MOP 45704 / OFFICE SUPPLIES / COUNCIL SUMMER MOVIES IN THE PARK / CSD WATER SERVICE FOR 500 E PLAZA BLVD. - SW FOOD / NUTRITION CENTER MOTOR HELMETS / PD MOP# 77816. PAINT SUPPLIES CYLINDER HYDRO TESTS / FIRE CAD NEW CONNECTION PROXY CONFIGURATION / MIS CREDIT CARD EXPENSES / FIRE GYM MATS FOR CASA DE SALUD / CSD MOP#62883 AUTO SUPPLIES / PW SHIPPING CHARGES / PD POLICE ACADEMY REIMBURSEMENT / PD IRON SERIES 36-GALLONS-42 COMPONENTS/ENG MOP# 68834. PAINT SUPPLIES / NSD MARINE RADIOS AND WATER SAFETY BAGS / CSD MOP# 63850 PIPE SUPPLIES / PW MOP WILLYS / PD MIS SUPPLIES ZOLL MONITOR REPAIR / FIRE PETTY CASH REPLENISHMENT /JUNE 2017 CONTRACT SERVICES - SALES TAX TWIN XL 8" SLUMBER SET FIRM / FIRE COPIER EQUIPMENT LEASE / JUNE 2016 MANAGEMENT FEE FOR POOL / CSD H S A BANKING DUES APRIL - JUNE 2017 ROGUE HG GYM EQUIPMENT / FIRE ADVERTISING / JUNE 2017 MONTHLY TRUST ACCOUNTING FEES CCMA FY 17/18 ANNUAL FEE-DEESE, RAULSTON PROFESSIONAL SERVICES SEPTEMBER FOOD / NUTRITION CENTER FOOD / NUTRITIO TUP REIMBURSEI 327 of 525 CHK NO DATE AMOUNT 330466 8/29/17 2,035.80 330467 8/29/17 218.48 330468 8/29/17 248.62 330469 8/29/17 33.60 330470 8/29/17 1,818.08 330471 8/29/17 46.00 330472 8/29/17 286.18 330473 8/29/17 14,689.84 330474 8/29/17 180.00 330475 8/29/17 22.00 330476 8/29/17 2,637.76 330477 8/29/17 1,297.40 330478 8/29/17 135.86 330479 8/29/17 1,222.14 330480 8/29/17 415.35 330481 8/29/17 18.66 330482 8/29/17 29.04 330483 8/29/17 781.64 330484 8/29/17 515.00 330485 8/29/17 27.54 330486 8/29/17 8,836.59 330487 8/29/17 1,429.98 330488 8/29/17 334.82 330489 8/29/17 1,300.00 330490 8/29/17 7,980.00 330491 8/29/17 2,259.98 330492 8/29/17 980.62 330493 8/29/17 398.15 330494 8/29/17 95.00 330495 8/29/17 89.98 330496 8/29/17 16,720.45 330497 8/29/17 640.87 330498 8/29/17 882.27 330499 8/29/17 352.71 330500 8/29/17 9.95 330501 8/29/17 1,083.08 330502 8/29/17 1,263.87 330503 8/29/17 8,815.26 330504 8/29/17 2,079.44 330505 8/29/17 4,287.63 330506 8/29/17 28,011.14 330507 8/29/17 61.75 330508 8/29/17 2,563.77 330509 8/29/17 1,120.20 330510 8/29/17 386.50 330511 8/29/17 2,250.00 330512 8/29/17 7,169.16 330513 8/29/17 1,768.38 330514 8/29/17 2,003.86 330515 8/29/17 84.85 CALIFORNIAF__ 3/4 PAYEE ANDERSON, S AT&T COX COMMUNICATIONS CULLIGAN DEESE, L DELL MARKETING L P ENSAFE INC G P LUTZ PROPERTIES GOVERNMENT FINANCE GRAINGER GREGORY, B GUTIERREZ JR, C GUTIERREZ JR, C HARD ROCK HOTEL PALM SPRINGS METRO FIRE & SAFETY NEXT DAY PRINTED TEES OLIVARES, G PADRE JANITORIAL SUPPLIES PIERSON, D PRO -EDGE KNIFE RIVERSIDE COMMUNITY RODRIGUEZ, M S&S WORLDWIDE INC SABALA, A SAN DIEGO GAS & ELECTRIC SAN DIEGO MIRAMAR COLLEGE SAN DIEGO MIRAMAR COLLEGE SAN DIEGO UNION TRIBUNE SANCHEZ, L SDCFPOA SEAPORT MEAT COMPANY STAPLES BUSINESS ADVANTAGE STC TRAFFIC INC SWANK MOTION PICTURES INC SYSCO SAN DIEGO INC TELLEZ, J THE SHERWIN WILLIAMS CO TOPECO PRODUCTS U S BANK U S HEALTHWORKS ULINE URBAN FUTURES INC VALENCIA STONE & TILE WAXIE SANITARY SUPPLY WAXIE SANITARY SUPPLY NATIONAL alnir ?NCORPQRAT8D . WARRANT REGISTER #9 8/29/2017 DESCRIPTION TRAINING ADV SUB HONOR GUARD! PD AT&T PHONES JULY 2017 COX CABLE SERVICES JULY 2017 WATER SOFTENER FOR DISHWASHER & STEAMER TRAINING ADV SUB POLICE CHIEF& CITY MANGER COMPUTER EQUIPMENT/ HOUSING ENVIRONMENTAL SERVICES - ENG T&A#90054 REFUND 421 T AVE DISTINGUISHED BUDGET AWARDS PROGRAM MOP 65179, BUILDING CHARGES POLICE ADMIN DEPARTMENT REIM FOR FRAMES TRAINING ADV SUB COMPUTER CRIMES / PD TRAINING REIMB FOR MILEAGE / PD CACEO CONF. LODGING / NSD SERVICE FIRE EXTINGUISHERS / FIRE STAFF SHIRTS / COMMUNITY SERVICES RETIREE HEALTH BENEFITS /AUG 2018 JANITORIAL SUPPLIES / NUTRITION TRAINING ADV SUB SURVEILLANCE TECH / PD KNIFE SHARPING SERVICE / NUTRITION TRAINING TUITION PUBLIC SAFETY HONOR GRD TRAINING ADV SUB POLICE & CITY MANGER/ PD GAMES FOR SPECIAL EVENTS / CSD TRAINING ADV SUB HONOR GUARD / PD GAS & ELECTRIC UTILITIES TRAINING TUITION CPT/CPR MACIAS & YBARRA TRAINING TUITION CPT CPR/NAVARRO CITYWIDE PEDEST. MIDBLOCK RETIREE HEALTH BENEFITS / AUG 2018 SDCFPOA MEMBERSHIP FOOD / NUTRITION CENTER MOP 45704! OFFICE SUPPLIES / CMO T&A#90163 PARADISE CREEK H. SUMMER MOVIES IN THE PARK / CSD FOOD / NUTRITION CENTER TRAINING ADV SUB COPS WEST / PD MOP# 77816. PAINT SUPPLIES/ NSD MOP 63849, FIRE CHARGES CREDIT CARD EXPENSES / FIRE MEDICAL SERVICES OUTLET POWER STRIPS AND DOOR HANDLE CONTINUING DISCLOSURE / SA APPEAL REIMBURSEMENT/ NSD JANITORIAL SUPPLIES / PW MISCELLANEOUS JANITORIAL SUPPLIES / PW CHK NO DATE AMOUNT 330516 8/29/17 571.64 330517 8/29/17 8,799.29 330518 8/29/17 173.10 330519 8/29/17 15.00 330520 8/29/17 204.40 330521 8/29/17 3,059.23 330522 8/29/17 17,315.00 330523 8/29/17 110.88 330524 8/29/17 425.00 330525 8/29/17 3.81 330526 8/29/17 102.33 330527 8/29/17 517.95 330528 8/29/17 248.58 330529 8/29/17 884.18 330530 8/29/17 191.28 330531 8/29/17 287.55 330532 8/29/17 280.00 330533 8/29/17 528.57 330534 8/29/17 431.98 330535 8/29/17 46.00 330536 8/29/17 174.00 330537 8/29/17 256.00 330538 8/29/17 848.73 330539 8/29/17 571.64 330540 8/29/17 2,505.46 330541 8/29/17 92.00 330542 8/29/17 46.00 330543 8/29/17 313.22 330544 8/29/17 330.00 330545 8/29/17 150.00 330546 8/29/17 1,056.92 330547 8/29/17 924.55 330548 8/29/17 4,355.00 330549 8/29/17 565.00 330550 8/29/17 6,463.46 330551 8/29/17 420.80 330552 8/29/17 29.04 330553 8/29/17 106.63 330554 8/29/17 108.33 330555 8/29/17 327.00 330556 8/29/17 92.57 330557 8/29/17 7,000.00 330558 8/29/17 405.30 330559 8/29/17 1,028.35 330560 8/29/17 2,079.22 WITMER PUBLIC SAFETY GROUP INC YOGA ONE INC CLAMPS, VALVESI PW ONSITE INSTRUC 328 of 525 EVENT/CSD 330561 8/29/17 809.77 330562 8/29/17 350.00 \ CALIFORNIA �__ 4/4 NATIONAL My nvy INCORPORATED WARRANT REGISTER #9 8/29/2017 PAYEE DESCRIPTION WIRED PAYMENTS PUBLIC EMP RETIREMENT SYSTEM SERVICE PERIOD 08/01/17 - 08/14/17 PAYROLL Pay period Start Date 18 8/15/2017 End Date 8/28/2017 Check Date 9/6/2017 CHK NO DATE AMOUNT A/P Total 533,656.63 8252017 8/25/17 229,121.86 1,046,019.72 GRAND TOTAL $1,808,798.21 329 of 525 Certification IN ACCORDANCE WITH SECTION 37202, 37208, 372059 OF THE GOVERNMENT CODE, WE HEREBY CERTIFY TO THE ACCURACY OF THE DEMANDS LISTED ABOVE AND TO THE AVAILABILITY OF FUNDS FOR THE PAYMENT THEREOF AND FURTHER THAT THE ABOVE CLAIMS AND DEMANDS HAVE BEEN AUDITED AS REQUIRED BY LAW. MARK ROBERTS, FINANCE LESLIE DEESE, CITY MANAGER FINANCE COMMITTEE RONALD J. MORRISON, MAYOR -CHAIRMAN ALBERT MENDIVIL, VICE -MAYOR ALEJANDRA SOTELO-SOLIS, MEMBER MONA RIOS, MEMBER JERRY CANO, MEMBER I HEREBY CERTIFY THAT THE FOREGOING CLAIMS AND DEMANDS WERE APPROVED AND THE CITY TREASURER IS AUTHORIZED TO ISSUE SAID WARRANTS IN PAYMENT THEREOF BY THE CITY COUNCIL ON THE 3' OF OCTOBER 2017. AYES NAYS ABSENT 330 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 331 The following page(s) contain the backup material for Agenda Item: Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Section 18.21.040 pertaining to the maximum area and number of accessory structures. (Applicant: Fred Puhn) (Case File 2017-21 A) (Planning) 331 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATv October 3, 2017 AGENDA ITEM NO. 1 ITEM TITLE: [Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Section 18.21.040 pertaining to the maximum area and number of accessory structures. (Applicant Fred Puhn) (Case File 2017-21 A) 1 PREPARED BY: Martin Reeder, AICF1 DEPARTMENT: ip PHONE: i619-336-4313 APPROVED BY: EXPLANATION: The applicant owns a very large lot that is developed with a historic home and several accessory structures. The applicant wishes to construct additional accessory structures; however, the existing number and cumulative square -footage of accessory structures exceeds the maximum allowed by the Land Use Code. The applicant wishes to modify the maximum allowed accessory structure amount in order to construct a new carport, deck, and porch. The current property condition is considered legal nonconforming with regard to accessory structures. The change to Table 18.21.040 of the Land Use Code was prepared and considered by the Planning Commission on September 18, 2017. The attached Background Repot describes the change in detail. FINANCIAL STATEMENT: ACCOUNT NO. ENVIRONMENTAL REVIEW: Not a project per CEQA ORDINANCE: INTRODUCTION: STAFF RECOMMENDATION: Staff concurs with the Planning Commission's recommendation to adopt the amendment to Table 18.21.040 related to the maximum area and number of accessory structures BOARD / COMMISSION RECOMMENDATION~ he Planning Commission recommended approval of the Land Use Code amendment. Ayes: Baca, DelaPaz, Flores, Sendt, Quintero, Yamane Absent: Garci • FINAL ADOPTION: APPROVED: APPROVED: Finance: MIS ATTACHMENTS: 1. Background Report 2. Findings 3. Overhead 4. Site Plan 5. Proposed Code changes 6. Planning Commission Resolution 2017-22 (a) 7. Public Hearing Notice 8. Ordinance 332 of 525 BACKGROUND REPORT The applicant owns a very large lot that is developed with a historic home and several accessory structures. The applicant wishes to construct additional accessory structures; however, the existing number and cumulative sauere=footage of arson; structures exceeds the maximum allowed by the Land Use Code. The applicant wishes to modify the maximum allowed accessory structure amount in order to construct a new carport, deck, and porch. The current property condition is considered legal nonconforming with regard to accessory structures. History The applicant originally approached the City Council in 2012 and asked for an amendment to the Code related to accessory structures. The City Council initiated the Code Amendment by minute action at their meeting of May 15, 2012, The Planning Commission :held a public hearing on September 18, 2017 and recommended approval of the amendment to the City Council. Amendments are typically approved by Ordinance, most of which require introduction and adoption. However, in the case of land use decisions, introduction is not required and the Ordinance may be adopted after a public hearing. Moving forward, all land use Ordinances will be presented this way. Site Characteristics The applicant owns an approximately 60,000 square -foot residential property developed with a single-family residence and approximately 2,404 square feet of accessory structures, including a tool shed, oversized garage, washroom, ra nnada/patio cover, and a porch. The property is on the east side of Shell Avenue and south of East 4th Street in the Small Lot Residential (RS-2) Zone. The existing residence is a historic home that is on a list of locally -designated histu is structures. Proposal The applicant wishes to amend Table 1€.21.040 the Land Use Code, which currently reads as follows: Attachment 1 333 of 525 Development Requirement By Zoning District RS-1 RS-2 RS-3 Maximum area (total), accessory structures - Excluding up to 400 SF of covered parking Greater of 300 SF or 30% of floor area of primary structures Greater of 300 SF or 30% of floor area of primary structures Greater of 300 SF or 30% of floor area of primary structures Number of detached buildings 3 3 3 The applicant's property is currently developed with a 3,316 square -foot home and 2,004 square feet of accessory structures (after discounting 400 square feet of covered parking). This equates to 60% of the area of the primary structure, which is double the allowable amount in the current Code. In addition, there are already three separate detached structures on the site, the maximum allowed under the current Code. Because the existing structures were permitted at the time they were constructed (before the current maximum area was established), the property is considered to be legal nonconforming. The applicant is requesting that the maximum cumulative square -footage of accessory structures be limited to no more than 10% of the lot. in addition, the limitation on the number of detached structures would have to be increased or removed. The applicant has justified the request based on the fact that the lot is very large and that the current minimums penalize large properties due to homes not being commensurately larger on such lots. Analysis The current limit of 300 square feet or 30% of the primary structure area is generally based on an average home size of 1,000 to 1,200 square feet (30% of 1,000 square feet is 300 square feet). The average lot size in the City is approximately 5,000 square feet, which is also the minimum lot size in most of the City. The applicant's property is 12 times larger than this size. Although the existing residence is significantly larger (3,316 square feet) than what's typically located on an average -sized lot (typically around 1,000 to 1,200 square feet), the house would need to be over 14,000 square feet in size to accommodate the requested amount of accessory structures, which is untenable. 334 of 525 The applicant has suggested that the Code be amended to provide a maximum percentage of accessory structures based on the size of the lot. This would allow a property to have more accessory structures the larger it is. The intent of limiting the total size and amount of accessory structures is to avoid having the accessory :structures appear as the primary use. Therefore, it is important that any changes take this into account. The change. would need to allow the applicant to acessomplish his goal (an additional 2,248 square feet of accessory structures) as well as to ensure that changes do not affect existing neighborhoods by • increasing the percentage of accessory structures on existing properties such that the character of the areas is impacted. In order to address the request., staff is suggesting that a cumulative maximum of 10% of the size of the lot be established rather than 30% of the primary structure. in addition, the caveat that no single accessory structure have a footprint greater than 30% of the primary structure would be added. This would ensure that smaller lots would not be overrun with accessory structures (this would not be an issue on a very large lot). In order to accommodate the additional detached structures, the maximum number would need to be raised to at least five to accommodate the request. To put this proposed change into perspective, a 5,000 square -foot lot with a 1,000 square -foot house would now be able to have up to 500 square feet of accessory structures as follows: 10% of lot 500 square feet Max. structure size - 30% of primary structure 300 square feet Under current standards, the example lot would be allowed 300 square feet of accessory structure. With the change, up to 500 square feet world be allowed. Therefore, the potential increase in accessory structures on existing smaller residential Tots would be minimal (up to 40% more, but no more than 200 square feet overall). The larger the home, the less this percentage becomes. Although the applicant needs the maximum number of detached structures increased in order to accommodate his project, staff has reservations about the lecrease. While it would likely not be an issue with the subject lot or other large lots, smaller lots may be overrun with multiple smaller structures. To avoid this issue, the number of separate detached structures will change depending on the size of the lot. For lots up to 10,000 square feet in size, the number would remain at three. For lots greater than 10,000 square feet, three additional structures would be permitted for every 5,000 square feet of lot area. This would apply to both the RS-2 and RS-3 zones, where the minimum lot size is 5,000 square feet. No changes to the number of detached structures is proposed 335 of 525 in the RS-1 zone. This is because this zone is the lowest density in the City with a minimum lot size of 10,000 square feet. Changes to the number of detached structures may result in neighborhood character changes in the RS-1 zone that have not been analyzed in this staff report. In order to accommodate the requested development, staff is recommending that Table 18.21.040 be modified as follows (changes are underlined): 18.21.040 - General Development Standards. Development Requirement By Zoning District RS-1 RS-2 RS-3 Maximum area (total), accessory structures - Excluding up to 400 SF of covered parking 10% of lot size (d) 10% of lot size (d) 10% of lot size (d) Number of detached buildings 3 3 per full 5,000 ft2 of 3 per full 5,000 ft2 of lot area lot area (d) No single accessory structure shall have a footprint greater than 30% of the primary structure. Findings for Approval There are two findings for approval, one related to General Plan consistency and one related to compliance with the California Environmental Quality Act (CEQA). General Plan conformance The requested Code Amendment is consistent with the General Plan, as accessory structures are already a permitted use in residential zones. The amendment would only serve to increase the size and amount .of accessory structures permitted on residential properties by a relatively small amount. No increase in the number of units or in allowable densities would result from the change. In addition, there is already a maximum lot coverage of 75% in the RS-1, RS-2, and RS-3 zones, which would not change. 336 of 525 CEQA compliance This application is not considered to be a project under CEQA as any changes would be in relation to ministerial projects, which are exempt from the application of CEQA per Section 21080 of the Public Resources Code; ministerial projects are already exempt. Findings for Denial While staff is in support of the proposed amendment, the change may have some significant effects, particularly on smaller lots. The main issue wo uid be the potential for cluttering on properties with very small houses, which could tend the appearance of more accessory use of a property than the primary residential use (e.g. an 800 square - foot house on a 6,000 square foot lot, which would allow up to 600 square feet of accessory structures under this change — close to the size of the home). While these issues would be limited to smaller Tots, particularly in heavily -developed areas, the issues are not expected to be present at the subject property. There are very few, if any, lots that are this large (60,000+ square feet), but that are only developed with a single-family residence. Piannino Commission Hearing Planning Commission conducted a public hearing on the matter at their meeting of September 18, 2017. Commissioners asked questions related to the property condition, public noticing, and applicability of the amendment. The Commission voted by unanimous vote of those present (one member was absent) to recommend approval of the amendment to the City Council. Summary The applicant has a unique property in that it is approximately twelve times the size as the minimum lot size in the RS-2 zone, but is only developed with a comparatively small single-family residence. As a result, the strict application of the Land Use Code with regard to awry structures proves to be a disadvantage for the owner. The property is large enough to accommodate additional accessory structures without detracting from the low density character of the area. In addition, the changes would be limited so that the same could be applied appropriately in the RS-1, RS-2, and RS-3 zones. 337 of 525 Options 1. Approve the amendment to Table 18.21.040 of the Land Use Code based on the attached findings; or 2. Deny the amendment to Table 18.21.040 of the Land Use Code based on attached findings/findings to be determined by the Planning Commission; or 3. Continue the item to a specific date. Staff is recommending approval of the requested Code Amendment. 338 of 525 RECOMMENDED FINDINGS FOR APPROVAL 1. That the proposed amendment is consistent with General Plan policy, because accessory structures are already a permitted use in residential zones and the amendment would only serve to increase the amount of accessory structures permitted on residential properties by a relatively small amount; no increase in the number of units or in allowable densities would result from the change. In addition, the maximum lot coverage of 75% will remain. 2. That the proposed amendment has been reviewed to be in compliance with the California Environmental Quality Act (CEQA); the project is not considered a project under CEQA, as any changes would be in relation to ministerial projects, which are exempt from the application of CEQA per Section 21080 of the Public Resources Code. RECOMMENDED FINDINGS FOR DENIAL 1. That increasing the amount of accessory structures to ten percent of the size of the lot in the RS-1, RS-2, and RS-3 zones would cause water quality issues due to the increase in impervious surface on smaller Tots in heavily -developed areas. 2. That increasing the amount of accessory structures allowable i; F the RS-1, RS-2, and RS-3 zones could cause the appearance of more of an accessory use than the primary use, thus resulting in a cluttered appearance. Attachment 2 339 of 525 201 i -21 A— 425 Shell Avenue — Overhead R.I F0 SA PL, 0„Ic STt1,46 P�RcM• Z,07 46 4' Attachment 4 t STI,N1G WASH R0'011 t a0 !el 1- eco 701 1A.1"1ROL• GARAG e, Fy "M1113.-r G RtAnA0 .alzF.'7 i.°S,C):1-"IrEiFf. Le.(3,A DM% 0 ta . acto reirr OF •iso e.F. PR VI -CHARD ',S rAo S V LLA • ADDITION 'TO 14 All EIN L. - c.vre, .11illiM'tet`e-0E= 4A-no4*4, C.rrY Z1144- 911LOOL .- a-rA4m OF LIF)1A AMC" PDIN.C. ftvl A '1`14 ERMC3f,," t,10 t•S'S' .Recbeitosit pisu • Dte`600 ccutert -114Z 0 Prt oF! court4.-ry zvw te$E.7, -FR cvretevc GONRC fit) H 1.4 4tkELL/WE; Wixflou t 84 t,„4 • CrrY.I. Cift. p:19:6"a „ (Gts)477s--11,5.w Livi4v45 .PP.:CPARr, 1311 .rikepett t'tC Pui.10. kr, (s-rwre ow. e,Aurioniwot •• Li.ceNstr NO, ycile 2:46). ' • • 4, 1401.)sr 4.40251-tettilf AREA e ,..",31 6 . fT EXtellf4.AC.wrkvic-rultgx, 1404. Fr - -6 . LOT RC Pc bA t•Se.s 'ACRES, .e.f-0;t1* FT 2- PoitCw4 'Ord A:2-4 :04,-.'e-rz-• PRO ERTY LINE g/r/i-71atuf,15-5t4p0MiiS .047 -R A- ADP CAR Po grr/ PORCHORC 4fZYMC,K Cer PON BY Er" PO I-1 NI IgiG4 PRI- 0 0 061-E; sigio .scALM vat? 341 of 525 Proposed Code changes Deleted language Proposed language Development Requirement By Zoning District RS-1 RS-2 RS-3 Maximum area (total), accessory structures - Excluding up to 400 SF of covered parking Greater 300 SF or Greater 300 SF or Greater 300 SF of 30% floor of 30% of floor aroa of 10% of lot size (d) of or WAriat 10% of lot size (d) of area of 10% of lot size (d) Number of detached buildings 3 3 3 per full 5,000 ft2 of lot area 3 3 per full 5,000 ft2 of lot area (d) No single accessory structure shall have a footprint greater than that of half of the primary structure. Attachment 5 342 of 525 RESOLUTION NO. 2017-22 (a) A RESOLUTION OF THE PLANNING COMMIeSION OF THE CITY OF NATIONAL crrY, CALIFORNIA, APPROVING A migtocow. ewe AMENDMENT AMENDING SECTION 18.21.04e RELATED TO MAXIMUM AREA. OF ACCESSORY STRUCTURES. APPLICANT: FRED PUHN. CASE. FILE NO.: 2017-21 A VOIEREAS, pursuant to the terms and provisions of the: Government Code of the State of Calftornia, proceedings _were duty initiated for the amendment of the National City Municipal Code, Chapter 18.12.140 (B) and, WHEREAS, the Planning Commission of the City of National City, California, considered said proposed amendment at a duly advertised public hearing held on September 18, 2017, at which time the Manning Commission considered evidence; and, WHEREAS, at said public hearing the Planning Commission considered the staff report provided for Case File No. 2017-21 A, which is maintained by the City and incorporated herein by reference; along with any other evidence presented at said hearing; and, WHEREAS, this action is taken pursuant to ali applicable procedures required by State law. and City law; and, WHEREAS, this action is taken in an effort to be compliant with. applicable State and Federal law; and. WHEREAS, the action hereby taken is found to be essential for the preservatkm of the public health, safety and general welfare. NOW, THEREFORE, BE IT RESOLVED by the C. 'Planning Commission of the City of Nostkinal City, California, that the evidencepreeented to the Planning Commission at the public hearing held on .September 18, 2017,:support the following findings: 1. That the proposed amendment is consistent with General Plan policy, because accessory structures are already .a pemiltted use in residential zones and, the amendment would only serve to increase the amount of accessory structures permitted on residential properties by..a relatively small amount; no increase in the number of units or in allowable densfties would result from the change. In addition, the maximum lot coverage of 76(i6 will remain. Attachment 6 343 of 525 2. That the proposed amendment has been reviewed to be 17% compliance with the California Environnvontal Quality Act (CEQA); the project is flat considered s project under CEQA, aa sir/ changes would. be in relation to ministor 4E0 poled, which are exempt from the application oi CEQA per. Section 21080 of the Public Reaources Code. BE n- FLIRTHeR RESOLVED that copies of this Reg5ctiu Jon be Committed fortlwith to the applicmni and tu tis City Council. CERTiFICATION: This certifies that the Resolution was adopted by thin Plarrana COniriliB61011 litt their meeting of September 18, 2017, by the following vote: AyEs: Quintero, Baca, Yamane, 5endt, Flores, Dela Paz None. MY& ABSENT: Garcia ABSTAIN: None. 344 of 525 CITY OF NATIONAL CITY Office of the City Clerk 1243 National City Blvd., National City, California 9195C 619-336-4228 phone / 619-336-4229 fax Michael R. Dal:a, CMC - City Clerk NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the City Council of the City of National City will hold a Public Hearing after the hour of 6:00 p.m., Tuesday, October 3, 2017, in the City Council Chambers, Civic Center, 1243 National City Blvd., National City, CA., to consider: AN ORDINANCE AMENDING TITLE 18 (ZONING) SECTION 18.21.040 RELATED TO MAXIIVIUM AREA OF ACCESSORY STRUCTURES. The amendment would increase the maximum size and amount of accessory structures in the RS-1, RS-2, and RS-3 zones citywide. The full text of the proposed Code Amendment is available for viewing in the City Clerk's Office during normal business hours. The Planning Commission conducted a public hearing at their meeting of September 18, 2017 and voted 6-0 (with 1 absent) to recommend adoption of the Code Amendment. Anyone interested in this matter may appear at the above time and place and be heard. If you challenge the nature of the proposed action in court, you may be limited to raising only those issues you or someone else raised at the Public Hearing described in this notice, or in written correspondence delivered to the undersigned, or to the City Council of the City of National City at, or prior to, the Public Hearing. September 20, 2017 Attachment 7 Michael R. Daila, CMC City Clerk 345 of 525 ORDINANCE NO. 2017 — 2438 ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AMENDING SECTION 18.21.040 PERTAINING TO THE MAXIMUM AREA AND NUMBER OF ACCESSORY STRUCTURES WHEREAS, pursuant to the terms and provisions of the California Government Code, proceedings were duly initiated for the amendment of the National City Municipal Code; and WHEREAS, on September 18, 2017, a noticed public hearing was held by the Planning Commission and all persons interested were given the opportunity to appear and be heard before the Planning Commission; and WHEREAS, the Planning Commission has regularly and duly certified its report to the City Council of National City and has recommended approval of such amendment: and WHEREAS, on October 3, 2017, pursuant to the publication of legal notice, the City Council held a public hearing on the proposed ordinance and all persons interested were given the opportunity to appear and be heard before the City Council. NOW, THEREFORE, the City Council does ordain as follows; Section 1. All protests, if any, against said amendment to the Municipal Code and each of them be and hereby are denied and overruled. Section 2. That Section 18.21.040 of Title 18 of the Municipal Code be amended to read as follows: 18.21.040 General development standards. Development standards for residential zones are set forth in Table 18.21.040. Table 18.21.040 Development Standards Residential Zones Development Requirement By Zoning District RS-1 RS-2 RS-3 RS-4 RM-1 RM-2 RM-3 Minimum setbacks, Primary structure Front Side —Interior 20' 20' 15' 10'/ 15(a) 15' 10' 10' 5' 5' 3/0(b) 5' 5' 5' Ordinance No. 2017-2438 Amending NCMC Section 18.21.040 Page 1 Maximum Area and Number of Accessory Structures 346 of 525 Development Requirement By Zoning District RS-1 RS-2 RS-3 RS-4 RM-1 RM-2 RM-3 Side —Exterior 10' 10' 5' 10'(a) 5' 5' 10' Rear 25' 25' 10' 15' 5' 5' 5' Minimum setbacks, Accessory structure Front 20' 20' 15' 10/ 15'(c) 15' 10' 10' Side —Interior 5' 5' 5' 3' 5' 5' 5' Side —Corner 5' 5' 5' 10' 5' 5' 5' Rear 5' 5' 5' 3' 5' 5' 5' Detached building separation Number of detached buildings 5' 5' 5' 6' 5' 5' 5' 3 per full 5,000 ftz of lot area 3 per full 5,000 ftz of lot area 3 per full 5,000 ftz of lot area 3 Minimum lot area Minimum street frontage (Standard) 10,000 SF 5,000 SF 5,000 SF 2,500 SF 5,000 SF 5,000 SF 5,000 SF 60' 50' 50' 25' 50' 50' 50' Minimum street frontage (lots on the bulb of a cul- de -sac) Maximum density 36' 36' 36' 15' 36' 36' 36' du 5 8 0 of area One One du per du per lot lot One du per 2,900 SF of lot area One One du du for each per 2,500 1,900 SF of SF of lot area lot area One du er 9008 pSF f lot area One per SF lot Ordinance No. 2017-2438 Amending NCMC Section 18.21.040 Page 2 347 of 525 Maximum Area and Number of Accessory Structures Development RS-1 RS-2 Requirement RS-3 By RS-4 Zoning District RM-1 RM-2 RM-3 Minimum usable open space N/A N/A N/A N/A See Section 18.41.040 75% 95' Maximum lot coverage 75% 75% 75% N/A 75% 75% Maximum height, primary structure 35' 35' 35' 35' 45' 65' Maximum stories, primary structure 2 2 3 3 4 6 9 Maximum height, accessory structure 35' 35' 35' 35' 45' 65' exceed the height of accessory adjacent zone of the adjacent 95' allowed within zone. Shall not exceed the number of stories or height of the primary structure. Shall not maximum structures in 100-feet Maximum area (total), accessory structures — Excluding up to 400 SF of covered parking 10% of 10% of lot size lot size (d) (d) 10% of lot size (d) None None None None Notes: (a) Stoops and porches may extend into the front yard up to the front property line or in the case of a corner parcel, to the side property line. Garages shall maintain a fifteen -foot front yard setback. (b) A zero foot minimum side yard, for one side yard on the parcel, is permitted provided that there is a six-foot separation to the adjacent residential structure and that there is a minimum three-foot side yard setback on the opposite side. (c) Except for stoops and porches, accessory structures shall not be located in the front yard setback. Porches or stoops should be at least six feet deep. (d) No single accessory structure shall have a footprint greater than that of half of the primary structure. [Signature Page to Follow] Ordinance No. 2017-2438 Amending NCMC Section 18.21.040 Page 3 Maximum Area and Number of Accessory Structures 348 of 525 PASSED and ADOPTED this 3rd day of October, 2017. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk Angil P. Morris -Jones City Attorney Ordinance No. 2017-2438 Amending NCMC Section 18.21.040 Page 4 Maximum Area and Number of Accessory Structures 349 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 350 The following page(s) contain the backup material for Agenda Item: Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Title 6 Section 6.04 of the National City Municipal Code regarding business tax rates to comply with current law, including 1) reverting gross receipts a 350 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO.: ITEM TITLE: Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Title 6 Section 6.04 of the National City Municipal Code regarding business tax rates to comply with current law, including 1) reverting gross receipts and flat business tax rates to those established by Ordinance No. 1606, enacted in 1977, correcting rate calculations where necessary; 2) repealing the Marginal Tax Rate Table; 3) repealing Appendix D to Ordinance No. 1606; and 4) refunding business taxes and associated applicable fees overpaid within the twelve months prior to the effective date of this ordinance. PREPARED BY: Mark Roberts, Director of Finance PHONE: 619-336-4330 EXPLANATION: See attached staff report. DEPARTMENT: Financ APPROVED BY: FINANCIAL STATEMENT: APPROVED: `-/Ze a ,eal- FINANCE ACCOUNT NO. APPROVED: MIS See attached staff report. ENVIRONMENTAL REVIEW: This is not a project and, therefore, not subject to environmental review. ORDINANCE: INTRODUCTION FINAL ADOPTION X STAFF RECOMMENDATION: See attached staff report. BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: 1. Staff Report 2. Proposed Ordinance 351 of 525 \\ \ 1 1 1 CALIFORNIA --rt NATIONAL CISyY 'NCORPORATEI City Council Staff Report October 3, 2017 ITEM Staff Report: Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Title 6 Section 6.04 of the National City Municipal Code regarding business tax rates to comply with current law, including 1) reverting gross receipts and flat business tax rates to those established by Ordinance No. 1606, enacted in 1977, correcting rate calculations where necessary; 2) repealing the Marginal Tax Rate Table; 3) repealing Appendix D to Ordinance No. 1606; and 4) refunding business taxes and associated applicable fees overpaid within the twelve months prior to the effective date of this ordinance. BACKGROUND Persons or entities conducting business in the City are required by Chapter 6.04 of the Municipal Code to obtain a business license and pay a business tax on an annual basis. The amount of tax paid is based upon a percentage of annual gross receipts received by each business, or on the basis of flat tax rates for specific businesses. The applicable taxes for businesses based upon gross receipts appear in a table designated as Appendix A of Chapter 6.04 of the Municipal Code. The applicable taxes for specific businesses, based upon flat tax rates, are set forth in Sections 6.04.280, 6.04.310, 6.04.320, and 6.04.330 of Chapter 6.04 of the Municipal Code, and upon a table designated as Appendix B of Chapter 6.04 of the Code. Copies of the current Appendix A and Appendix B are attached. Section 6.04.270 of the Municipal Code provides for the payment of a flat tax upon application for an initial business license; thereafter, with the exception of businesses covered under Sections 6.04.280, 6.04.310, and 6.04.330, the tax is based upon gross receipts. Pursuant to Section 6.04.280, even those businesses for which a flat tax is prescribed by Sections 6.04.280, 6.04.310, and 6.04.330 may instead elect to pay a tax based on gross receipts. DISCUSSION Recently, it was determined by City staff that the process utilized for the last enactment of the business tax ordinance, which is the version of the ordinance that currently exists in the aforementioned sections of the Municipal Code and in Appendix A and Appendix B, would not meet current legal requirements. The proposed ordinance would amend these sections of the Municipal Code as well as Appendix A and Appendix B to comply with current law. The effect of the proposed ordinance, if approved, would reduce the business tax by approximately 30%, on average, for businesses required to pay the tax; and authorize refunds to businesses for the overpayment of business taxes and associated applicable fees paid during the twelve-month period prior to the effective date of this Ordinance, up to and including the effective date (overpayment is defined as the difference between what was actually paid and the proposed reduced tax and fees). 352 of 525 Page 2 Staff Report: Public Hearing and Adoption of an Ordinance of the City Council of the City of National City amending Title 6 Section 6.04 of the National City Municipal Code regarding business tax rates to comply with current law. September 19, 2017 The amended versions of Appendix A and Appendix B, which have been re -designated Appendix B and Appendix C, respectively, are included within the proposed ordinance. In addition to the issues arising from the ordinance enactment process, it has recently been determined that some of the dollar amounts in the gross receipts tax table were miscalculated. These miscalculations have been corrected in the proposed gross receipts tax table, Appendix B. To prevent this error from recurring, it is proposed that the Marginal Tax Rate Table, which was used in arriving at the erroneous calculations, and which was attached to an earlier ordinance (Ordinance No. 1606, enacted in 1977) be repealed. It is also recommended that Appendix D to Ordinance No. 1606, which explains the manner in which the amounts in the Marginal Tax Rate Table are calculated, be repealed. Lastly, the "National Indices of Ability to Pay and Tax Classification by Industry," upon which the classification of businesses in Chapter 6.04 is based, is attached to the proposed ordinance as Appendix A. The classification to which a business belongs is one of the factors used to determine the amount of tax payable under the gross receipts tax table. FISCAL IMPACT The discrepancies in the aforementioned Municipal Code provisions have, in some cases, resulted in an overpayment of business taxes by affected businesses. Accordingly, the proposed ordinance includes a section providing that upon submittal of a claim for refund, the Director of Finance shall refund the amount of any business tax paid which exceeds the amount of business tax specified in the ordinance. As required by law, the proposed ordinance further provides that refunds would be made for business taxes paid during the one year period prior to the effective date of the ordinance. The estimated impact of the initial refunding of overpaid business taxes and fees is estimated to be approximately $200,000. Thereafter, the annual impact of the reduction in business taxes is estimated at $200,000. RECOMMENDATION Adopt the ordinance, amending Title 6 Section 6.04 of the National City Municipal Code regarding business tax rates to comply with current law, including: • reverting gross receipts business tax rates (table, Appendix B) and flat business tax rates (table, Appendix C) to those established by Ordinance No. 1606, enacted in 1977, correcting gross receipts tax table calculations where necessary; • repealing the Marginal Tax Rate Table; • repealing Appendix D to Ordinance No. 1606; and • refunding business taxes and associated applicable fees overpaid within the twelve months prior to the effective date of this ordinance. ATTACHMENT Proposed Ordinance 353 of 525 ORDINANCE NO. 2017 — 2439 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AMENDING TITLE 6 SECTION 6.04 OF THE NATIONAL CITY MUNICIPAL CODE REGARDING BUSINESS TAX RATES TO COMPLY WITH CURRENT LAW, INCLUDING REVERTING GROSS RECEIPTS AND FLAT BUSINESS TAX RATES TO THOSE ESTABLISHED BY ORDINANCE NO. 1606, ENACTED IN 1977; CORRECTING RATE CALCULATIONS WHERE NECESSARY; REPEALING THE MARGINAL TAX RATE TABLE; REPEALING APPENDIX D TO ORDINANCE NO. 1606; AND REFUNDING BUSINESS TAXES AND ASSOCIATED APPLICABLE FEES OVERPAID WITHIN THE TWELVE MONTHS PRIOR TO THE EFFECTIVE DATE OF THIS ORDINANCE BE IT ORDAINED by the City Council of the City of National City as follows: Section 1. That Section 6.04.270 of the National City Municipal Code is hereby amended to read as follows: 6.04.270 Initial business tax. Unless exempted or taxed on a flat rate basis pursuant to Section 6.04.310, 6.04.320, or 6.04.330, a person making application for the initial business tax license for a newly established business is required to pay a first year's tax of twenty dollars ($20), the minimum annual tax, prorated by quarter. Upon making application in the following (second) year, that second year's tax due will be based upon the actual gross receipts for the first year. For all future years thereafter, the person will pay the tax based upon the gross receipts for the preceding year. Section 2. That Section 6.04.280 of the National City Municipal Code is hereby amended to read as follows: 6.04.280 Computation of total business tax based on gross receipts. A. The total business tax levied by this section shall be determined by the business tax rate classification schedule by business class (see Section 6.04.030(B) and Appendix A) and the corresponding tax on the gross receipts of that business as set forth in Appendix B ("Gross Receipts Tax Table"). B. Businesses for which an alternative flat tax is prescribed by sections 6.04.310, 6.04.320 or 6.04.330 may elect to pay a tax based on gross receipts prescribed by this section and shall thereafter be taxed on the basis of the gross receipts schedule applicable to the business classification determined by the collector. Section 3. That Section 6.04.310 of the National City Municipal Code is hereby amended to read as follows: 6.04.310 Business by vehicle —Optional rate. A. Except as provided in Section 6.04.070(E)(4), every person not having a fixed place of business within the city and not otherwise designated, who on a regular basis conducts business by vehicle and charges a fee for service, shall pay an annual 354 of 525 business tax of twenty-five dollars ($25) per vehicle operated within the city, or may make a binding election to pay a business tax measured by business classification and the gross receipts derived from business within the city as set out in Section 6.04.280. B. Any person conducting business by vehicle in the city vending food products or beverages shall pay an annual business tax of seventy-five dollars ($75) per year per vehicle operated within the city, or may make a binding election to pay a business tax measured by business classification and gross receipts derived from business within the city pursuant to Section 6.04.280. C. Upon payment, identifying vehicle decals will be issued by the collector in a quantity equal to the number of vehicles through which business is conducted. D. Any business by vehicle that operates additional vehicles within the city after payment of annual taxes has been made shall make an additional application to the collector to account for the additional vehicles. After the appropriate tax has been paid for the additional vehicle(s), additional vehicle decals will be issued. E. Taxes for the first year of operation shall not be prorated, unless the annual gross receipt method is elected by the taxpayer. Section 4. That Section 6.04.320 of the National City Municipal Code is hereby amended to read as follows: 6.04.320 Businesses located outside city limits —Optional rate. A. Out -of -city Contractors. Except as provided in Section 6.04.320(C), and in lieu of a tax based on gross receipts, every state -licensed contractor licensed as an A or B contractor conducting business in the city who does not have a fixed place of business in the city shall pay annually a flat tax of seventy-five dollars ($75). Every contractor conducting business in this city as a subcontractor or state -licensed C or D contractor who does not have a fixed place of business in the city shall pay annually a flat tax of fifty dollars ($50). Any contractor may make a binding election to pay a business tax measured by classification and gross receipts derived from business within the city pursuant to Section 6.04.280. Penalties shall accrue at the rate set forth in Section 6.04.370(D). A contractor who commences business during the last quarter of a calendar year shall pay only twenty-five percent of the initial installment at the time of application if a flat tax is elected, and will be subject to normal tax the years following. B. Every other person not having a fixed place of business in the city who conducts business in the city and is not otherwise subject to a tax by any of the other sections of this chapter shall pay a business tax calculated at the same rate prescribed herein for the same type of business having a fixed place of business within National City based on the gross receipts earned within National City or twelve percent of gross receipts from all sources within California where the amount of gross receipts earned within National City cannot readily be calculated or otherwise be determined by the collector. C. In order to promote public safety, the city council will allow any out -of -city contractor installing a work of improvement that does not exceed five hundred dollars in materials and labor, inclusive, to pay a tax of ten dollars for a one -day tax certificate, in addition to any applicable building or engineering permit fees. This certificate shall not be available during any calendar year when the contractor performs any single job Ordinance No. 2017 — 2439 2 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 355 of 525 exceeding five hundred dollars, or has performed two jobs each not exceeding five hundred dollars. The applicant shall make his or her declaration under penalty of perjury on a form provided by the collector to the building and safety director or city engineer in conjunction with the permit application for the work of improvement. A receipt showing proof of payment shall qualify as the business license. D. First year's taxes will not be prorated, except as provided in Section 6.04.320(A). Section 5. That Section 6.04.330 of the National City Municipal Code is hereby amended to read as follows: 6.04.330 Specific taxes applicable to specific categories of businesses. A. Taxes applicable to specific categories of businesses previously established in Title 6 by Ordinances 708, 1048, 1231, 1699, 1788 or 2037 are recodified and summarized in Appendix B to this chapter. Recodification in Appendix B is not intended to constitute enactment of a new tax and shall be construed in Tight of that intent. B. Video Machines. A business which also operates video machines on its premises shall pay in addition to any tax based on gross receipts for its principal business an additional tax of fifty-five dollars per machine, not to exceed a total of four thousand five hundred dollars annually for all video machines. An identifying decal shall be affixed to each machine, unless the business tax license specifies the number of machines for which tax has been paid and the number of machines installed does not exceed the number specified on the business tax license (thereby allowing for replacement and maintenance). C. Amusement Arcades. Amusement arcades shall be taxed on a flat tax basis of one hundred dollars ($100) per year. D. Any business listed in this section or Appendix B may make a binding election to pay its tax on the basis of total gross receipts and the classification schedule determined by the collector, including revenues from coin -operated equipment or amusement devices, instead of this section, and such election shall be thereafter binding upon that business. E. A swap meet shall be taxed at the rate of four thousand five hundred dollars ($4,500) per year instead of gross receipts, unless it makes a binding election to pay its tax on the basis of total gross receipts and the classification schedule determined by the collector. F. A pawnshop shall be taxed at the rate of one hundred fifty dollars ($150) per year instead of gross receipts, unless it makes a binding election to pay its tax on the basis of total gross receipts and the classification schedule determined by the collector. Section 6. That Appendix "A" of Chapter 6.04 of the National City Municipal Code is restated to read as follows: Ordinance No. 2017 — 2439 3 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 356 of 525 CHAPTER 6.04 APPENDIX A National Indices of Ability to Pay and Tax Classification by Industry SIC No. Description Net Profit to Tax Net Sales (%) Class 01 Agricultural Production - Crops 5.90 3 02 Agricultural Production - Livestock 5.90 3 07 Agricultural Services 7.16 3 08 Forestry 7.16 3 09 Fishing, Hunting, and Trapping 7.16 3 10 Metal Mining 7.71 4 11 Anthracite Mining 7.71 4 12 Bituminous Coal and Lignite Mining 7.71 4 13 Oil and Gas Extraction 7.71 4 14 Mining and Quarrying of Nonmetallic Minerals, Except Fuels 7.71 4 15 Building Construction - General Contractors 2.69 1 16 Construction Other Than Building - General Contractors 2.84 1 17 Construction - Special Trade Contractors 7.01 3 20 Manufacturing - Food and Kindred Products 3.53 2 22 Manufacturing - Textile Mill Products 3.47 1 23 Manufacturing - Apparel and Other Finished Textile Products 2.89 1 24 Manufacturing - Lumber and Wood Products Except Furniture 2.98 1 25 Manufacturing - Furniture and Fixtures 4.03 2 26 Manufacturing - Paper and Allied Products 4.88 2 27 Manufacturing - Printing, Publishing, and Allied Industries 6.30 3 28 Manufacturing - Chemicals and Allied Products 8.26 4 29 Manufacturing - Petroleum and Related Products 5.69 3 30 Manufacturing - Rubber and Miscellaneous Plastic Products 3.00 1 31 Manufacturing - Leather and Leather Products 3.35 1 32 Manufacturing - Stone, Clay, Glass, and Concrete Products 4.72 2 33 Manufacturing - Primary Metal Industries 1.75 1 34 Manufacturing - Fabricated Metal Products Except Machinery and 4.00 2 Transportation Equipment 35 Manufacturing - Machinery, except Electrical 6.78 3 36 Manufacturing - Electrical and Electrical Machinery, Equipment, and 3.03 1 Supplies 37 Manufacturing - Transportation Equipment 2.41 1 Ordinance No. 2017 - 2439 4 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 357 of 525 SIC Net Profit to Tax No. Description Net Sales (%) Class 38 Manufacturing - Measuring, Analyzing, and Controlling Instruments; 10.18 4 Photographic Medical, and Optical Goods; Watches and Clocks 39 Manufacturing - Miscellaneous Manufacturing Equipment 3.49 1 40 Railroad Transportation 0.00 1 41 Local and Suburban Transit and Interurban Highway Passenger 4.28 2 Transportation 42 Motor Freight Transportation and Warehousing 4.75 2 45 Transportation by Air 0.00 1 46 Pipe Lines, Except Natural Gas 10.54 4 47 Services Incidental to Transportation 2.15 1 48 Communication 12.04 5 49 Electrical, Gas, and Sanitary Services (Utilities) 8.66 4 50 Wholesale Trade - Durable Goods 2.51 1 51 Wholesale Trade - Nondurable Goods 2.51 1 52 Retail Trade - Building Materials, Hardware Garden Supply, and 3.26 1 Mobile Home Dealers 53 Retail Trade - General Merchandise Stores 3.73 2 54 Retail Trade - Food Stores 2.28 1 55 Retail Trade - Automotive Dealers and Gasoline Services Stations 2.10 1 56 Retail Trade - Apparel and Accessory Stores 4.43 2 57 Retail Trade - Furniture, Home Furnishings, and Equipment Stores 4.04 2 58 Retail Trade - Eating and Drinking Places 4.66 2 59 Retail Trade - Other 4.54 2 60 Banking 8.24 4 61 Credit Agencies other than Banks 4.33 2 62 Security and Commodity Brokers, Dealers, Exchanges, and Services 3.59 2 63 Insurance Carriers (Underwriters) 4.14 2 64 Insurance Agents, Brokers, and Services 21.25 6 65 Real Estate 3.93 2 66 Combinations of Real Estate, Insurance, Loans, or Law Offices 30.41 6 67 Holding and Other Investment Offices 48.37 6 70 Service - Hotels, Rooming Houses; Camps and Other Lodging Places 2.41 1 72 Services - Personal 14.02 5 73 Services - Business 4.85 2 75 Automotive Repair, Automotive Services, and Garages 9.45 4 76 Miscellaneous Repair Services 9.45 4 Ordinance No. 2017 - 2439 5 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 358 of 525 SIC Net Profit to Tax No. Description Net Sales (%) Class 78 Services - Motion Pictures 79 Services - Amusement and Recreation, except Motion Pictures 80 Health Services 81 Legal Services 82 Educational Services 83 Social Services 84 Museums, Art Galleries, Botanical and Zoological Gardens 86 Membership Organizations 891 Engineering, Architectural, and Surveying Services 893 Accounting, Auditing, and Bookkeeping Services 899 Services - not Elsewhere Classified Alphabetical Business Classification Index SIC No. Business Description 3.69 2 4.87 2 38.41 6 50.50 6 5.91 3 6.57 3 6.57 3 6.57 3 25.35 6 33.14 6 6.57 3 Tax Class A 65 Abstract Land Title or Warranty Companies 2 61 Acceptance Corporations and Dealers 2 63 Accident Insurance Carrier 2 893 Accountants All Types 6 893 Accounting and Bookkeeping Services 6 Accounting and Bookkeeping Machines and Supplies (See Office Machines) 17 Acoustical Contractors 3 73 Advertising Agencies, including Outdoor Services 2 73 Advertising, novelties, signs, placards, etc. 2 61 Agricultural Credit Institutions 2 55 Aircraft, Dealers, Retail 1 17 Air Conditioning Contractor 3 76 Air Conditioning Service and Repair 4 73 Airplane Rental 2 72 Alterations, Clothing 5 41 Ambulance Service 2 79 Amusement and Recreation Services 2 79 Amusement Machines, Coin -Operated 2 Ordinance No. 2017 — 2439 6 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 359 of 525 SIC Tax No. Business Description Class 79 Amusement Parks 2 07 Animal Hospital 3 73 Answering Service 2 59 Antiques, Dealers, Retail 2 76 Antiques, Repair and Restoration 4 65 Apartment Buildings or Complexes, Rental 2 57 Appliances, Household, Dealers 2 76 Appliances, Household, Repair of 4 891 Architects 6 76 Armature Rewinding Shops 4 73 Armored Car Service 2 59 Art, Dealers, Retail 2 73 Artists, Commercial 2 899 Artists' Studios or Portrait Artists, Non -Commercial 3 59 Artists' Supply and Materials Stores, Retail 2 79 Athletic Arena or Clubs, Where Admission Is Charged 2 73 Auctioneers, Commission or Fee Basis 2 59 Auction Houses (General Merchandise), Retail 2 50 Automatic Sprinklers, Wholesale 1 55 Automobile Accessories, Dealers 1 75 Automobile, Automatic Car Wash 4 75 Automobile, Body and Paint Shop 4 55 Automobile, Dealers, Retail, New or Used 1 61 Automobile Loan Finance Companies 2 75 Automobile, Rental or Leasing, not including Driver 4 55 Automobile Parts, Retail 1 50 Automobile Parts, Wholesale 1 75 Automobile Repairs, Overhaul and General Servicing 4 75 Automobile Tires, Recapping 4 55 Automobile Tires, Retail 1 75 Automobile Towing Service 4 41 Automobile Transportation Service, including Driver 2 59 Automobile Wreckers, Buying Used Cars and Selling the Parts, Retail 2 17 Awning Installation Contractors 3 Ordinance No. 2017 — 2439 7 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 360 of 525 SIC No. Business Description Tax Class B 54 Bakery, Retail 1 20 Bakery Products, Manufacturer Only 2 51 Bakery Products, Wholesale Only 1 79 Ballroom, Lease or Rented for Dancing or Parties 2 79 Bands, Dance 2 60 Banks 4 72 Barber Schools 5 72 Barber Shops 5 50 Barber Supplies, Wholesale 1 55 Batteries, Auto, Retail 1 50 Bearings, Dealers, Wholesale 1 72 Beauty Schools 5 72 Beauty Shops 5 50 Beauty Supplies, Wholesale 1 50 Belting, Wholesale 1 20 Beveridge Manufacture, All Types 2 59 Bicycle Dealers, Retail 2 79 Bicycle Rental 2 76 Bicycle Repair 4 50 Bicycle Supplies, Wholesale 1 73 Billboard, Firms Engaged in the Erection and Lease of Space 2 79 Billiard or Pool Hall 2 51 Billiard or Pool Supplies, Wholesale 1 12 Bituminous Coal and Lignite Mining 4 76 Blacksmith 4 80 Blood Banks 6 35 Blowers and Blower Systems, Manufacturing 3 73 Blueprinting Services 2 70 Boarding House, including Fraternity and Sorority 1 55 Boat Supplies and Accessories, Retail 1 55 Boat, Dealers, Retail 1 76 Boilermaker Shops, Repair of Boilers 4 50 Boilers, Wholesale 1 17 Boiler, Setting of 3 50 Bolts, Nuts, and Screws, Dealers, Wholesale 1 Ordinance No. 2017 — 2439 8 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 361 of 525 SIC Tax No. Business Description Class 73 Bondsmen 2 27 Book Publishers 3 59 Book Store, Retail 2 79 Booking Agent, except Motion Pictures 2 893 Bookkeeping Services 6 72 Bootblacks, Bootblack Stands 5 20 Bottlers of Soft Drinks 2 50 Bottlers Suppliers, Wholesale 1 79 Bowling Alleys 2 59 Bowling Equipment and Supplies, Retail 2 51 Bowling Equipment and Supplies, Wholesale 1 26 Box, Manufacturing 2 79 Boxing or Wrestling Matches 2 50 Brake Linings Wholesale Dealers 3 56 Bridal Shops, Retail 2 Brokers (See Heading under Type of Broker, for Example: Real Estate Broker, Food Broker, etc.) Building Contractors (See Contractors) 52 Building Materials and Supplies, Retail 1 50 Building Materials, Wholesale 1 17 Burglar Alarm, Installation Only 3 73 Burglar Alarm, Maintenance and Monitoring Only 2 41 Bus and Motor Coach Company 2 41 Bus Terminals 2 73 Business Agents or Brokers, Selling Business Concerns 2 73 Business Consultant, except Finance - Investment 2 61 Business Credit Institutions 2 27 Business Forms, Manufacturing 3 59 Business Forms, Retail 2 Business Machines (See Office Machines) 82 Business Schools 3 C 25 Cabinet Shops, Manufacturers, not Custom 2 57 Cabinet Shop, for Individual Order 2 58 Cafeterias 2 59 Camera and Photographic Supplies, Retail 2 50 Camera and Supplies, Wholesale 1 Ordinance No. 2017 — 2439 9 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 362 of 525 SIC Tax No. Business Description Class 76 Camera Repair Shop 4 59 Cameras, Retail 2 70 Campgrounds 1 59 Camping Equipment, other than Trailers, Retail 2 55 Campers and Other Recreational Vehicles, Retail 1 54 Candy, Retail 1 51 Candy, Wholesale 1 59 Canvassers 2 75 Car Wash 4 79 Carnivals 2 17 Carpenters 3 72 Carpet and Rug Cleaning 5 57 Carpet and Rug, Dealers, Retail 2 17 Carpet Layers, Contractors 3 50 Carpets, Wholesale 1 Cash Registers and Supplies (See Office Machines) 63 Casualty Insurance Carrier 2 58 Caterers 2 17 Ceiling Contractors 3 32 Cement Manufacture 2 50 Cement Products, Wholesale Dealers 1 65 Cemetery Companies, Agents, or Dealers in Cemetery Lots 2 07 Cemetery Lots, Caretakers of 3 893 Certified Public Accountants 6 82 Charm, Fashion, Finishing, and/or Modeling Schools 3 20 Cheese, Manufacturers or Processors 2 28 Chemical and Allied Products, Manufacturing 4 80 Chiropractors 6 52 Christmas Trees, Retail 1 51 Cigarettes or Tobacco, Wholesale 1 59 Cigar and Cigarette Stores and Stands, Retail 2 64 Claim Adjustment Agencies 6 32 Clay, Stone, and Glass Products, Manufacturing 2 72 Cleaning of Garments 5 59 Clothing, Dealers in Second -Hand Clothing 2 23 Clothing Manufacturers 1 Ordinance No. 2017 — 2439 10 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 363 of 525 SIC Tax No. Business Description Class 56 Clothing, Retail 2 72 Clothing, Rental 5 51 Clothing, Wholesale 1 50 Coal, Dealers, Wholesale 1 62 Coal, Wood, or Coke Agents or Brokers 2 59 Coal, Wood, or Coke, Dealers, Retail 2 51 Coffee, Dealers, Wholesale 1 42 Cold Storage Warehouse 2 73 Collection and Claim Agency, except for Real Estate 2 66 Combinations of Real Estate, Insurance, Loans, Law Offices 6 62 Commodity Brokers and Dealers (Contracts) 2 48 Communication 5 73 Computer Programming and Other Software Services 2 50 Concrete Products, Dealers, Wholesale 1 32 Concrete, Manufacturer, Block, Brick, and Other Products 2 32 Concrete, Manufacturer, Ready Mixed and Transit -Mixed 2 16 Concrete Work Contractors (Roads, Highways, and Streets) 1 17 Concrete Work Contractors (Driveways, Sidewalks, and Floors Only) 3 62 Consultants, Finance - Investments 2 73 Consulting Services, except Investment and Family 2 15 Contractors, Building 1 16 Contractors, Heavy Construction, other than Building 1 17 Contractors, Special Trade 3 80 Convalescent Home 6 73 Copying Service 2 28 Cosmetics, Manufacturer 4 59 Cosmetics, Dealers, Retail 2 51 Cosmetics, Wholesale 1 62 Cotton Brokers, Agents or Warehousemen 2 42 Cotton Compresses and Warehouses 2 22 Cotton Fabrics, Manufacture 1 07 Cotton Ginning 3 83 Counseling Services 3 20 Cracker Manufacturer 2 73 Credit Reporting Agencies 2 61 Credit Unions 2 Ordinance No. 2017 — 2439 11 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 364 of 525 SIC No. Business Description Tax Class D 20 Dairy Products, Processing 2 54 Dairy Products, Retail 1 51 Dairy Supplies, Wholesale 1 79 Dancing Academies or Schools 2 79 Dance Halls 2 73 Data Processing Services 2 73 Data Processing Systems, Supplies, and Equipment, including Keypunching 2 83 Day Care Centers 3 73 Decorators, Interior 2 54 Delicatessen 1 42 Delivery Service (Messenger/Courier), Vehicular 2 50 Dental Equipment and Supplies, Wholesale 1 80 Dental Laboratories and/or Dentists 6 53 Department Stores 2 73 Detectives, Agencies 2 72 Diaper Service 5 07 Dog Kennels and/or Grooming 3 70 Dormitories, Commercially Operated 1 57 Drapery Stores, Retail 2 56 Dressmakers for Retail Trade 2 82 Driver Training School 3 59 Drug Store, Retail 2 51 Drugs, Wholesale 1 72 Dry Cleaning, Coin -Operated 5 72 Dry Cleaning, Retail 5 50 Dry Cleaning, Wholesale 1 51 Dry Goods, Wholesale 1 17 Drywall Contractors 3 72 Dyeing and Cleaning Plants, except Rug Cleaning 5 E 17 Earthmoving for Building Construction 3 16 Earthmoving, not Connected with Building Construction 1 82 Educational Services and Schools 3 54 Eggs, Retail 1 51 Eggs, Wholesale 1 Ordinance No. 2017 — 2439 12 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 365 of 525 SIC Tax No. Business Description Class 49 Electric, Gas, and Sanitary Services (Utilities) 4 50 Electric Light Bulbs, Wholesale 1 49 Electric Power Company (Utility) 4 57 Electrical Appliances and Supplies, Retail 2 50 Electrical Appliances and Supplies, Wholesale 1 76 Electrical Appliances, Repair 4 17 Electrical Contractors 3 36 Electrical Machinery, Equipment, and Supplies Manufacturing 1 50 Elevators, including Repair, Wholesale 1 73 Employment Agencies 2 891 Engineering, Architectural, and/or Surveying Services 6 27 Engraving 3 79 Entertainment, except Motion Pictures 2 73 Equipment Rental and Leasing 2 72 Escort Services 5 51 Explosives, Sales and Distributors, Wholesale 1 17 Excavating and Foundation Contractors, Building Construction Only 3 16 Excavating Contractors, other than Building 1 73 Exterminators 2 F 59 Fabric Shops, Retail 2 61 Factors 2 50 Farm Equipment and Machinery 1 51 Farm Supplies 1 20 Feeds, for Pets and Other Animals, Manufacture of 2 17 Fencing Contractors 3 28 Fertilizer, Manufacture 4 51 Fertilizer, Wholesale 1 73 Field Warehousing 2 73 Film Developers, for General Public 2 78 Film Distributor 2 61 Finance Companies 2 50 Fire Extinguishers, Sale of 1 73 Fire Extinguishers, Service of 2 63 Fire Insurance Carriers 2 59 Fish Aquariums, Retail 2 Ordinance No. 2017 — 2439 13 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 366 of 525 SIC Tax No. Business Description Class 54 Fish and Seafood Stores, Retail 1 51 Fish or Other Seafood, Wholesale 1 59 Fish, Tropical Fish, Retail 2 59 Fish Bait, Retail 2 09 Fisheries 3 25 Fixtures and Furniture, Manufacturing 2 57 Floor Covering, Retail 2 50 Floor Covering, Wholesale 1 17 Flooring Contractors 3 59 Florists, Retail 2 51 Florists, Wholesale 1 54 Food, Retail, Dealer, not Consumed on Premises 1 51 Food Broker 1 17 Foundation Contractors, Building Construction Only 3 33 Foundries 1 47 Freight Forwarders 1 54 Fruit and Produce, Retail 1 51 Fruit and Produce, Wholesale 1 59 Fuel Dealers, Retail 2 72 Funeral Homes, Funeral Directors, and/or Undertakers 5 56 Fur, Retail 2 17 Furnace or Heating Contractors 3 57 Furniture, Dealers, Retail 2 59 Furniture Dealers, Second -Hand, Retail 2 25 Furniture and Fixtures, Manufacturing 2 76 Furniture Repairing, Refinishing, and Reupholstering 4 50 Furniture, Wholesale 1 G 75 Garages, Automotive Repair 4 49 Garbage Collection Agencies 4 72 Garment Pressing and Alteration 5 49 Gas, Dealers in Liquefied Petroleum Gas and Natural Gas 4 59 Gas, Dealers in Liquefied Petroleum Gas, Delivered to Customers' Premises, Retail 2 49 Gas, Natural Gas Company 4 55 Gasoline Service Stations 1 51 Gasoline, Wholesale 1 Ordinance No. 2017 — 2439 14 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 367 of 525 SIC Tax No. Business Description Class 53 General Merchandise Stores 2 59 Gift Shops 2 17 Glass Installation Contractors 3 75 Glass, Replacement and Repair, Automotive 4 52 Glass, Retail 2 32 Glass, Stone and Clay Products, Manufacturing 2 79 Golf Courses, including Miniature 2 16 Grading, General Construction 1 62 Grain Broker (Commodity) 2 42 Grain Elevators, Stores Only 2 51 Grain, Dealers, Wholesale 1 73 Graphic Arts 2 59 Gravestones, Finished, Retail 2 59 Greeting Cards, Retail 2 54 Grocers, Retail 1 51 Grocers, Wholesale 1 59 Guns, Retail 2 50 Guns, Wholesale 1 76 Gunsmiths, Repair of Guns 4 H 72 Hairdressers and/or Stylists 5 52 Hardware, Retail 1 50 Hardware, Wholesale 1 72 Hat Cleaning and Blocking, Retail 5 09 Hatchery, Poultry 3 56 Hats, Retail 2 72 Health Clubs 5 80 Health Services, General 6 59 Hearing Aids, Retail 2 17 Heating Contractor 3 16 Heavy Construction 1 63 Health Insurance Carrier 2 16 Highway and Street Construction 1 59 Hobby Shops, Retail 2 67 Holding Companies 6 57 Home Furnishing Stores, Retail 2 Ordinance No. 2017 — 2439 15 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 368 of 525 SIC Tax No. Business Description Class 07 Horticulturists 3 56 Hosiery, Retail 2 51 Hosiery, Wholesale 1 22 Hosiery Mills 1 63 Hospital Insurance Carrier 2 50 Hospital Supplies 1 80 Hospitals, Sanitariums, and Like Institutions 6 07 Hospitals, Animal 3 70 Hotels, except Residential 1 65 Hotels, Residential 2 50 Hotel Supplies, Wholesale 1 17 House Mover and Wrecker 3 59 House -To -House, Retail 2 I 59 Ice, Dealers, Retail 2 51 Ice, Dealers, Wholesale 1 20 Ice, Manufacturers 2 50 Ice -Making, Machinery and Equipment, Wholesale 1 54 Ice Cream Dealers, Retail, not Consumed on Premises 1 58 Ice Cream Dealers, Retail, Consumed on Premises 2 20 Ice Cream, Manufacture 2 51 Industrial Chemicals, Wholesale 1 72 Industrial Laundries 5 61 Installment Sales Finance, other than Banks 2 07 Insemination, Artificial 3 17 Insulation Contractor 3 66 Insurance, Loans, Law, Real Estate Offices, Combinations of 6 64 Insurance Agents, Brokers, and Other Insurance Services 6 64 Insurance Adjustor 6 63 Insurance Carriers, All Types 2 64 Insurance Solicitors 6 17 Intercommunication Equipment Installation Contractor 3 73 Interior Decorator 2 62 Investment Counselors 2 62 Investment Firm, General Brokerage 2 67 Investment Offices (Management) 6 Ordinance No. 2017 — 2439 16 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 369 of 525 SIC No. Business Description 62 Iron Brokers 07 Irrigation Systems, Landscape Services Tax Class 2 3 J 73 Janitor or Housekeeping Service 2 50 Janitor or Housekeeping Supplies, Wholesale 1 76 Jewelry, Repair, including Watch Repair 4 59 Jewelry, Retail 2 50 Jewelry, Wholesale 1 K 79 Karate Instruction 2 07 Kennels 3 17 Kitchen Designers and Contractors 3 22 Knitting Mills 1 L 50 Laboratory Equipment and Supplies, Wholesale 1 57 Lamp Dealers, Retail 2 50 Lamp Dealers, Wholesale 1 36 Lamps, Manufacturers 1 65 Land Title or Warranty Company 2 07 Landscape Services and Landscape Architects 3 66 Law, Real Estate, Insurance, Loan Offices, Combinations of 6 72 Laundries, including Automatic Machines, Coin -Operated and Industrial 5 07 Lawn Care 3 50 Lawnmower, Dealers, Wholesale 1 52 Lawn and Garden Supplies, Retail 1 76 Lawnmowers, Repairs 4 81 Lawyers 6 82 Learning Centers 3 73 Leased Equipment 2 75 Leasing Companies, Vehicles without Drivers 4 59 Leather Goods, Retail 2 50 Leather Goods, Wholesale 1 31 Leather and Leather Products, Manufacturing 1 81 Legal Services 6 63 Life Insurance Carrier 2 57 Linen Shop, Retail 2 Ordinance No. 2017 — 2439 17 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 370 of 525 SIC Tax No. Business Description Class 72 Linen Supply Service 5 59 Liquefied Petroleum Gas, Delivered to Customers' Premises, Retail 2 61 Loan (Small) Lenders, Licensed 2 66 Loans, Real Estate, Insurance, Law Offices, Combinations of 6 76 Locksmiths 4 70 Lodging and Rooming Houses 1 59 Luggage, Retail 2 24 Lumber, Manufacture 1 52 Lumber Merchants, Operating Lumber Yards, Retail 2 50 Lumber Merchants, Operating Lumber Yards, Wholesale 1 M 35 Machine Shops 3 59 Magazine Stores and Stands, Retail 2 59 Mail Order Business 2 73 Management Consultants 2 67 Management Investment Companies 6 72 Manicurists 5 17 Mantel Work, Contractors 3 MANUFACTURING 20 Bakery Products 2 28 Chemical and Other Allied Products 4 32 Concrete, Clay, Stone, and Glass Products 2 36 Electrical Machinery, Equipment and Supplies 1 34 Fabricated Metal Products 2 25 Furniture and Fixtures 2 31 Leather and Leather Products 1 35 Machinery, except Electrical 3 33 Metal Products, Primary 1 26 Paper and Allied Products 2 20 Pet and Other Animal Food 2 29 Petroleum Refining and Related Industries 3 30 Rubber and Miscellaneous Products 1 22 Textile Mill Products 1 37 Transportation Equipment 1 24 Wood Products, except Furniture 1 39 Manufacturing, not Otherwise Classified 1 Ordinance No. 2017 — 2439 18 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 371 of 525 SIC Tax No. Business Description Class 17 Masonry and Stonework Contractors 3 72 Massage 5 25 Mattress and Bedsprings Manufacture 2 76 Mattress Renovating 4 57 Mattresses, Retail 2 54 Meat, Retail 1 51 Meat, Wholesale 1 20 Meat Slaughtering and/or Packing Plants 2 17 Mechanical Contractors 3 63 Medical Insurance Carriers 2 80 Medical and Other Health Services, including Laboratories 6 56 Men's Furnishings, Retail 2 73 Messenger Service 2 33 Metal Products, Manufacturing 1 54 Milk, Retail 1 51 Milk Depots, with or without Truck Delivery 1 51 Millinery, including All Lines of Millinery, Wholesale 1 56 Millinery Shops or Stores, Retail 2 51 Mills, Flour, Wholesale 1 20 Mills, Flour and Other Grain Products 2 10-14 Mining, All Types 4 73 Miscellaneous Business Services, not Otherwise Classified 2 65 Mobile Home Sites, Rental 2 52 Mobile Homes, Retail 1 42 Mobile Homes, Transportation of 2 59 Monuments, Retail 2 61 Mortgage Brokers 2 70 Motels, except Residential 1 65 Motels, Residential 2 78 Motion Picture Films, Distributors, Producers, or Agents for 2 78 Motion Picture Operators 2 78 Motion Picture Theatre or Drive -In 2 42 Motor Freight Lines 2 82 Motor Vehicle Drivers Training School 3 79 Motorcycle Rental 2 55 Motorcycles, Dealers, Retail 1 Ordinance No. 2017 — 2439 19 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 372 of 525 SIC Tax No. Business Description Class 55 Motors, Outboard, Dealers, Retail 1 42 Movers, Trucking with or without Storage 2 42 Movers, Storage Only 2 57 Music, Sheet, or Musical Instruments, Retail 2 79 Music Distribution Systems, Coin -Operated 2 73 Music Distribution Systems, except Coin -Operated 2 76 Musical Instrument Repair Shops 4 62 Mutual Funds, Selling By Independent Salesman 2 N 49 Natural Gas and/or Liquefied Petroleum Gas 4 27 Newspapers, Publishing of 3 59 Newspapers, Retail 2 51 Newspapers, Wholesale 1 59 Newsstands 2 65 Nonresidential Building Operators 2 62 Notes, Endorsers and Buyers 2 59 Notions and Novelties 2 83 Nurseries, Day 3 07 Nursery or Horticulturists 3 80 Nurses, All Types 6 80 Nursing Homes, Convalescent 6 83 Nursing Homes, Residential Type 3 82 Nurses Schools 3 0 65 Office Buildings, Rental 2 50 Office Furniture and/or Supplies, Wholesale 1 57 Office Furniture, Retail 2 76 Office Machines, Service and Repair 4 73 Office Machines, Rental 2 59 Office Machines, Equipment and/or Supplies, Retail 2 73 Office Secretarial Service 2 51 Oil, Fuel, Wholesale 1 50 Ophthalmic Goods, Wholesale 1 38 Optical Goods, Manufacture 4 50 Optical Goods or Supplies, Wholesale 1 59 Optical Goods Stores, Retail 2 Ordinance No. 2017 — 2439 20 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 373 of 525 SIC Tax No. Business Description Class 38 Opticians 4 80 Optometrists 6 59 Orthopedic and Artificial Limb Stores, Retail 2 65 Operators of Nonresidential, Residential, and/or Apartment Buildings 2 65 Operators of Mobile Home Sites 2 80 Osteopathic Physicians 6 P 47 Packing Goods, for Shipping 1 42 Packing House, Cold Storage 2 28 Paint Manufacturers 4 52 Paint, Retail 1 51 Paint, Wholesale 1 17 Painting and Paper Hanging Contractors 3 26 Paper and Allied Products, Manufacturing 2 42 Parcel Delivery Companies 2 75 Parking Lots and Garages 4 70 Parking Spaces (Trailer Park) 1 16 Paving and Asphalt Contractors 1 59 Pawn Brokers, All Types and Classifications 2 59 Peddlers, All Types and Classifications 2 61 Personal Loan Companies 2 67 Personal Holding Companies 6 72 Personal Services 5 73 Pest Control 2 20 Pet and Other Animal Food Manufacture 2 59 Pet Shops 2 29 Petroleum Refining and Related Industries 3 59 Pharmacies 2 50 Phonograph Record Businesses, Wholesale 1 57 Phonograph and Record Stores, Retail 2 73 Photocopying Service 2 73 Photograph Developing and Retouching 2 72 Photographers, Portrait for the General Public 5 73 Photographers, Commercial 2 72 Photographic School 5 59 Photographic Supply Stores, Retail 2 Ordinance No. 2017 — 2439 21 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 374 of 525 SIC Tax No. Business Description Class 80 Physical Therapist 6 80 Physicians 6 57 Pianos and Organs, Retail 2 57 Picture and/or Picture Frames, Dealers, Retail 2 16 Pipe Laying Contractors 1 58 Pizzerias 2 17 Plastering and Dry Wall Contractors 3 52 Plumbing Supplies, Retail 1 50 Plumbing Supplies, Wholesale 1 17 Plumbing, Heating, and Air Conditioning Contractors 3 50 Poultry Equipment, Wholesale 1 02 Poultry and Egg Production 3 20 Poultry Slaughtering, Dressing, and /Or Packing 2 02 Poultry Hatcheries 3 27 Printing, All Types 3 80 Psychologists 6 73 Public Relations Services 2 27 Publishers 3 50 Pumps, Wholesale 1 Q 14 Quarrying 4 R 75 Radiator, Repairs, Automotive 4 57 Radio and Television, Retail 2 50 Radio, Phonographs, and Television, Dealers in Supplies, Wholesale 1 73 Radio and Television, for Rent or Lease 2 76 Radio and Television Repairs 4 48 Radio and Television Stations, including CATV 5 40 Railroad Companies 1 66 Real Estate, Insurance, Loans, Law Offices, Combinations of 6 65 Real Estate Dealers in or Agents for, including Renting, Contracting, or Charging for 2 Repairs on Houses; Dealers without Offices; Brokers for Real Estate Loans 65 Real Estate, Leasing and/or Renting 2 57 Record Stores, Retail 2 79 Recreation Center 2 55 Recreation Vehicles, Retail 1 72 Reducing Salons 5 Ordinance No. 2017 — 2439 22 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 375 of 525 SIC Tax No. Business Description Class 57 Refrigerators and Freezers, Retail 2 50 Refrigerators, Wholesale or Distributors 1 80 Rehabilitation House, Outpatient 6 59 Religious Goods Stores, Retail 2 73 Rental Service, Miscellaneous Rental Services not Otherwise Listed 2 76 Repair Services, except Automotive 4 73 Research and Development Laboratories 2 65 Residential Building Operators 2 58 Restaurants, Shall Include not Only Places Where Meals are Served and the Public 2 Invited, but Also Any Place Where Meals are Served to Limited or Restricted Classes of Persons for Pay 50 Restaurants, Supplies and Equipment, Wholesale 1 RETAIL TRADE 56 Apparel and Accessories 2 52 Building Materials, Hardware, Garden Supply, and Mobile Home Dealers 1 54 Food Markets of Grocery Stores 1 57 Furniture, Home Furnishing and Equipment 2 53 General Merchandise 2 59 Miscellaneous Retail Stores not Otherwise Listed 2 79 Riding Schools, including Academies, Renting Horses to Ride 2 17 Roofing Contractors 3 50 Roofing, Wholesale 1 52 Roofing, Retail 1 70 Rooming House, including Fraternity and Sorority 1 30 Rubber and Miscellaneous Plastic Products, Manufacturing 1 59 Rubber Stamps, Retail 2 72 Rug Cleaning, not Connected with Laundries 5 57 Rugs, including Carpets, Retail 2 S 73 Salvage 2 50 Sand, Dealers, Wholesale 1 52 Sand, Dealers, Retail 1 58 Sandwiches, Retail, Consumed on Premises 2 20 Sandwiches, Manufacture for Sale off Premises 2 80 Sanitariums 6 61 Savings and Loan Associations 2 50 Saws, Wholesale 1 Ordinance No. 2017 — 2439 23 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 376 of 525 SIC Tax No. Business Description Class 76 Saws, Sharpening and Repair 4 50 Scales, Wholesale 1 72 Scales, Coin -Operated: Operation of 5 59 School Supplies, including Books, Dealers, Retail 2 50 School Supplies, Wholesale 1 50 Scrap Yard 1 24 Screens, Doors and Windows Wood Manufacturing 1 50 Screens, Doors and Windows, Wholesale 1 34 Screens, Windows and Doors, Metal, Manufacturers 2 72 Seamstresses 5 59 Second -Hand Goods of Any Description 2 73 Secretarial Service 3 52 Seeds, Bulbs, and/or Nursery Stock, Retail 1 55 Service Stations 1 76 Sewer, Septic Tank, and Cesspool Service 4 36 Sewing Machines, Manufacture 1 57 Sewing Machines, Retail 2 50 Sewing Machines, Wholesale 1 17 Sheet Metal Contractors 3 23 Shirts, Manufacturers 1 56 Shoe, Dealers, Retail 2 72 Shoe Repair Shops 5 50 Shoes, Wholesale 1 73 Sign Painting and Lettering Service 2 73 Sign Service, Outdoor Advertising 2 59 Skiing Equipment, Retail 2 86 Social Club 3 50 Soda Fountain Supplies, Wholesale 1 58 Soda Fountains 2 51 Soft Drinks, Distributors 1 20 Soft Drink Bottlers. 2 53 Soft Drink Stands, Retail 2 61 Small Loan Lenders 2 59 Sporting Goods, Retail 2 50 Sporting Goods, Wholesale 1 79 Stables, Riding 2 Ordinance No. 2017 — 2439 24 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 377 of 525 SIC Tax No. Business Description Class 59 Stationery, including Books 2 17 Steam, Hot Air, Vapor, and Hot Water Contractors 3 73 Stenographer and Stenographic Services 2 62 Stock Brokers and Dealers 2 32 Stone, Clay, and Glass Products, Manufacturing 2 57 Stoves, Dealers, Retail 2 50 Stoves, Wholesale 1 76 Stove Repairs 4 17 Structural Steel Erection Contractors 3 65 Subdividers and Developers 2 50 Surgical Instruments, Wholesale 1 891 Surveying Services 6 17 Swimming Pools, Contractors 3 79 Swimming Pools 2 59 Swimming Pool Supplies, Retail 2 T 56 Tailor, Custom, Retail 2 72 Tailor, Shops, Repair 5 57 Tape Recorders, Retail 2 72 Tax Service 5 41 Taxicabs 2 76 Taxidermists 4 48 Telegraph, Service or Signal Companies or Agents 5 73 Telephone Answering Service 2 48 Telephone Companies 5 48 Television Broadcasting Stations, including CATV 5 73 Television, Rent or Lease, including Radios, other than Licensed Radio and Television 2 Dealers 57 Television and Radio, Retail 2 76 Television and Radio Repair Shops 4 73 Temporary Employment Agencies 2 23 Textile Mill Products, Manufacturing, Apparel Only 1 22 Textile Mill Products, Manufacturing, Fabric Only 1 79 Theatrical Booking Agencies, except Motion Pictures 2 79 Ticket Bureau, Selling Theatrical, Football, Baseball Tickets, and for Like 2 Performances 17 Tile and Marble Contractors 3 Ordinance No. 2017 — 2439 25 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 378 of 525 SIC Tax No. Business Description Class 52 Tile, Retail 1 50 Tile, Wholesale 1 76 Tin and Metal Shops, Repair Only 4 75 Tires, Recapping 4 63 Title Insurance 2 59 Tombstones, Retail 2 76 Tool Sharpening and Repair 4 72 Towels and Uniform Rental 5 59 Toys, Retail 2 50 Toys, Wholesale 1 50 Tractors, Wholesale 1 82 Trade Schools 3 73 Trading Stamps, Redemption, Promotion, and/or Sale to Stores 2 65 Trailer Parks, including Mobile Home Rental for Residential Purposes 2 70 Trailer Parks and Campsites, for Transients 1 55 Trailers, Recreational and Utility, Retail 1 75 Trailers, (U-Haul-lt Type), Rental 4 37 Transportation Equipment, Manufacturing 1 47 Travel Bureau 3 07 Tree Surgery 1 75 Truck and Automobile Rental or Leasing, not including Driver 4 42 Trucking, except Rental or Leasing, including Driver 2 67 Trusts, Management of 6 27 Typesetting, for Printing Trade 3 59 Typewriters and Other Office Machines, retail 2 50 Typewriters, Wholesale 1 U 72 Uniform Supply Service 5 72 Uniform Rental 5 76 Upholsterer, Furniture 4 75 Upholstery Repair, Automotive 4 59 Used Merchandise, Retail 2 V 57 Vacuum Cleaners, Retail 2 50 Vacuum Cleaners, Wholesale 1 53 Variety Store 2 Ordinance No. 2017 — 2439 26 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 379 of 525 SIC Tax No. Business Description Class 54 Vegetable Markets, Retail 1 59 Vending Machines, Sale of Products 2 50 Vending Machines, Wholesale 1 25 Venetian Blind, Manufacturing 2 07 Veterinarian 3 82 Vocational Schools 3 W 52 Wallpaper, Retail 1 51 Wallpaper, Wholesale 1 42 Warehouse Storage Rooms, General 2 73 Warehousing, Field, not Public 2 75 Washing Cars 4 57 Washing Machines, Retail 2 50 Waste Paper and Rags, Wholesale 1 76 Watchmaker, including Repairs 4 30 Water Hose and/or Steam Hose, Manufacturers 1 17 Water Well Drilling Contractors 3 17 Waterproofing Contractors 3 52 Weather Stripping, Dealers, Retail 1 47 Weighing Services, connected with transportation 1 17 Welding Contractor, Operating at Site of Construction 3 50 Welding Machinery and Equipment, Wholesale 1 76 Welding Repair Services, including Automotive 4 50 Wholesalers, Durable Goods 1 51 Wholesalers, Nondurable Goods 1 56 Wigs, Retail 2 51 Wigs, Wholesale 1 73 Window Cleaning Service 2 69 Wood Dealer, Retail 2 17 Wrecker, Buildings 3 75 Wrecker, Towing Service 4 Y 59 Yarn Shops, Retail 2 Ordinance No. 2017 — 2439 27 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 380 of 525 Section 7. That Appendix "B" of Chapter 6.04 of the National City Municipal Code are hereby amended to read as follows: CHAPTER 6.04 - APPENDIX B GROSS RECEIPTS TAX TABLE TAXABLE GROSS RECEIPTS BRACKET BUSINESS CLASSIFICATION 1 2 3 4 5 6 0 4,999 20 20 20 20 20 20 5,000 99,999 20 26 32 39 45 52 100,000 199,999 35 46 58 70 81 93 200,000 299,999 48 64 80 96 112 128 300,000 399,999 60 81 101 121 141 161 400,000 499,999 73 93 121 145 169 194 500,000 599,999 84 113 141 169 197 225 600,000 699,999 96 128 160 192 224 256 700,000 799,999 107 143 179 214 250 286 800,000 899,999 118 157 197 236 275 315 900,000 999,999 129 172 215 257 300 343 1,000,000 1,099,999 139 185 232 278 324 371 1,100,000 1,199,999 149 199 248 298 348 398 1,200,000 1,299,999 159 212 265 318 371 423 1,300,000 1,399,999 168 224 280 336 392 449 1,400,000 1,499,999 177 236 296 355 414 473 1,500,000 1,999,999 222 296 370 444 518 592 2,000,000 2,499,999 266 355 444 533 621 710 2,500,000 2,999,999 310 413 516 619 723 826 3,000,000 3,499,999 352 469 586 703 820 938 3,500,000 3,999,999 392 523 653 784 915 1,045 4,000,000 4,999,999 470 627 783 940 1,096 1,253 5,000,000 5,999,999 545 727 908 1,090 1,271 1353 6,000,000 7,999,999 688 918 1,147 1,376 1,606 1,735 8,000,000 10,999,999 894 1,192 1,490 1,788 2,086 2,284 11,000,000 13,999,999 1,091 1,455 1,819 2,183 2,546 2,810 14,000,000 15,999,999 1,217 1,623 2,029 2,434 2,839 3,145 16,000,000 17,999,999 1,343 1,791 2,238 2,686 3,132 3,480 18,000,000 19,999,999 1,469 1,958 2,448 2,937 3,425 3,815 20,000,000 21,999,999 1,594 2,126 2,657 3,189 3,718 4,150 22,000,000 and above 1,720 2,294 2,867 3,440 4,011 4,485 Ordinance No. 2017 - 2439 NCMC Title 6 28 of 30 Amending Chapter 6.04 (Appendix A & B) Business and Franchise Taxes 381 of 525 CHAPTER 6.04 - APPENDIX C FLAT TAX RATES FOR SPECIFIC BUSINESSES TYPE OF BUSINESS ANNUAL TAX RATE OTHER TAX RATE ADOPTED BY ORDINANCE SECTION NUMBER Amusement Arcade $100 1048 41 Auctioneer $50 (Class A & C) $10/day (Class B) 811 17 Bingo $50 Bowling Alleys (Standard Sized) $100 $5/quarter/alley 1012 1 Bowling Alleys (Substandard Sized) $25 $5/quarter/alley 1012 2 Dance Hall $300 963 1 Food Vending Vehicle $75 1657 Mobile Amusement Vehicle $25 986 181 Mobile Searchlight Advertising $50 937 ---- Out of Town Vendor (per Vehicle) $25 1606 20 Outside Contractors (A & B Licensed) $75 1652 21 Outside Contractors (C Licensed) $50 1652 21 Pawnbroker $150 708 40 Shooting Galleries $100 ---- 41 Swap Meet $4,500 1231 12 Taxis — Paratransit $50 1125 2 Video Machines $55 per machine 82-1788 ---- Second Location $10 Section 8. That Appendix "B," "Marginal Tax Rate Relationship to Tax Rate in Bracket One," and Appendix "D," "How Business Taxes are Figured," of Ordinance No. 1606, are hereby repealed. Section 9. Upon submittal of a claim for refund, the Director of Finance shall refund the amount of any business tax paid that exceeds the applicable business tax paid specified in this Ordinance. Refunds shall be made only for business tax payments made from the date that is twelve (12) months prior to the effective date of this Ordinance, up to and including the effective date of this Ordinance. Ordinance No. 2017 — 2439 NCMC Title 6 29 of 30 Amending Chapter 6.04 (Appendix A & B) Business and Franchise Taxes 382 of 525 Section 10. This Ordinance is not intended to increase any business tax, but to codify tax rates in effect in upon the 1986 effective date of Proposition 62. Therefore, no voter approval of this Ordinance is required under California Constitution, article XIII C, section 2 or Government Code section 53720 et seq. This Ordinance shall be construed in light of this intent. Section 11. Severability. If any section, subsection, sentence, clause, phrase or portion of this Ordinance or its application to any person or circumstance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance or its application to other persons and circumstances. The City Council of the City of National City hereby declares that it would have adopted this Ordinance and each section, subsection, sentence, clause, phrase or portion thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions be declared invalid or unconstitutional and, to that end, the provisions hereof are hereby declared to be severable. Section 12. Effect of Amendments. It is the intent of the City Council of the City of National City that the National Municipal Code sections affected by this Ordinance shall not be considered repealed and reenacted in their amended form; that the portions which are not altered are to be considered as having been the law from the time when they were enacted; that the new provisions are to be considered as having been enacted at the time of the amendment; and that the omitted portions are to be considered as having been repealed at the time of the amendment. PASSED and ADOPTED this 3rd day of October, 2017. ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Angil P. Morris -Jones City Attorney Ordinance No. 2017 — 2439 Ron Morrison, Mayor 30 of 30 Amending Chapter 6.04 (Appendix A & B) NCMC Title 6 Business and Franchise Taxes 383 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 384 The following page(s) contain the backup material for Agenda Item: Resolution of the City Council of the City of National City, 1) amending the Fiscal Year 2018 Capital Improvement Program Budget to include a list of projects proposed to receive funding from the Road Maintenance and Rehabilitation Account (RMRA) as requi 384 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 ITEM TITLE: AGENDA ITEM NO. Resolution of the City Council of the City of National City, 1) amending the Fiscal Year 2018 Capita! Improvement Program Budget to include a list of projects proposed to receive funding from the Road Maintenance and Rehabilitation Account (RMRA) as required by Senate Bill 1, the Road Repair and Accountability Act of 2017; 2) adjusting budget appropriations for Fiscal Year 2018 Traffic Monitoring / Safety Enhancements project by releasing $300,000 in Gas Tax Fund appropriations; 3) adjusting budget appropriations for Fiscal Year 2018 Safe Routes to School Pedestrian and Bicycle Safety Enhancements project to appropriate $343,345 in RMRA funds through the Gas Tax Fund for construction; and 4) reducing corresponding Gas Tax Fund revenue budget for receipt of RMRA funds from $350,432 to $343,345 for Fiscal Year 2018 based on the latest revenue projections for National City from the State Department of Finance. PREPARED BY: Stephen Manganiello, Director of PW / City Engineer DEPARTMENT: Engineering/Public Works PHONE: 336-4382 EXPLANATION: See attached. APPROVED BY: FINANCIAL STATEMENT : APPROVED: I-04d Finance ACCOUNT NO. APPROVED: MIS Revenue Account: 109-00000-3416 (Gas Tax, SHC Sec 2030 RMRA) - reduce from $350,432 to $343,345 Expenditure Accounts: 1) Release $300,000 in FY 2018 appropriations from 109-409-500-598-5573 (Traffic Monitoring / Safety Enhancements) 2) Appropriate $343,345 to 109-409-500-598-0135 (SRTS Ped & Bike Safety Enhancements) ENVIRONMENTAL REVIEW: The project complies with the California Environmental Quality Act (CEQA). ORDINANCE: INTRODUCTION: - FINAL ADOPTION: STAFF RECOMMENDATION: Adopt Resolution amending the Fiscal Year 2018 Capital Improvement Program Budget to include a list of projects proposed to receive funding from the RMRA; and adjusting budget appropriations and corresponding revenue budget. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: 1. Explanation wi attachments 2. Resolution 385 of 525 Explanation On April 28, 2017, Governor Brown signed State Senate Bill (SB) 1 (Beall, Chapter 5, Statutes of 2017), which is known as the Road Repair and Accountability Act of 2017. To address basic road maintenance, rehabilitation and critical safety needs on both the state highway and local streets and road system, SB 1: increases per gallon fuel excise taxes; increases diesel fuel sales taxes and vehicle registration fees; and provides for inflationary adjustments to tax rates in future years. Beginning November 1, 2017, the State Controller (Controller) will deposit various portions of this new funding into the newly created Road Maintenance and Rehabilitation Account (RMRA). A percentage of this new RMRA funding will be apportioned by formula to eligible cities and counties pursuant to Streets and Highways Code (SHC) Section 2032(h) for basic road maintenance, rehabilitation, and critical safety projects on the local streets and roads system. The State Department of Finance has published revised revenue projections for cities and counties. National City is eligible to receive up to $343,345 in RMRA funds for FY 2018 (see attached revenue projections). SB 1 emphasizes the importance of accountability and transparency in the delivery of California's transportation programs. Therefore, in order to be eligible for RMRA funding, statute requires cities and counties to provide basic annual RMRA project reporting to the California Transportation Commission (Commission). SHC Section 2032.5(a) articulates the general intent of the legislation that recipients of RMRA funding be held accountable for the efficient investment of public funds to maintain local streets and roads and are accountable to the people through performance goals that are tracked and reported. Pursuant to SHC Section 2030(a), the objective of the Local Streets and Roads Program is to address deferred maintenance on the local streets and roads system through the prioritization and delivery of basic road maintenance and rehabilitation projects as well as critical safety projects. Cities and counties receiving RMRA funds must comply with all relevant federal and state laws, regulations, policies, and procedures. The main requirements for the program are codified in SHC Sections 2034, 2036, 2037, and 2038 and include the following: • Prior to receiving an apportionment of RMRA funds from the Controller in a fiscal year, a city or county must submit to the Commission a list of projects proposed to be funded with these funds. All projects proposed to receive funding must be included in a city or county budget that is adopted by the applicable city council or county board of supervisors at a regular public meeting [SHC 2034(a)(1)j. • The list of projects ;rust include a description and the location of each proposed project, a proposed schedule for the project's completion, and the estimated useful life of the improvement [SHC 2034(a)(1)]. Further guidance regarding the scope, content, and submittal process for project lists prepared by cities and counties is provided in Sections 9-10. ® The project list does not limit the flexibility of an eligible city or county to fund projects in accordance with local needs and priorities so long as the projects are consistent with RMRA priorities as outlined in SHC 2030(b) ISHC 2034(a)(1)]. 386 of 525 The Commission will report to the Controller the cities and counties that have submitted a list of projects as described in SHC 2034(a)(1) and that are therefore eligible to receive an apportionment of RMRA funds for the applicable fiscal year [SHC 2034(a)(2)]. The Controller, upon receipt of the report from the Commission, shall apportion RMRA funds to eligible cities and counties pursuant to SHC 2032(h) [SHC 2034(a)(2)]. For each fiscal year in which RMRA funds are received and expended, cities and counties must submit documentation to the Commission that includes a description and location of each completed project, the amount of funds expended on the project, the completion date, and the estimated useful life of the improvement [SHC 2034(b)]. Further guidance regarding the scope, content, and submittal process for program expenditure reports is provided in Sections 12-13. A city or county receiving an apportionment of RMRA funds is required to sustain a maintenance of effort (MOE) by spending at least the annual average of its general fund expenditures during the 2009-10, 2010-11, and 2011-12 fiscal years for street, road, and highway purposes from the city's or county's general fund [SHC 2036]. Monitoring and enforcement of the maintenance of effort requirement for RMRA funds will be carried out by the Controller and is addressed in more detail in Section 15. A city or county may spend its apportionment of RMRA funds on transportation priorities other than priorities outlined in SHC 2030(b) if the city or county's average Pavement Condition Index (PCI) meets or exceeds 80 [SHC 2037], By July 1, 2023, cities and counties receiving RMRA funds must follow guidelines developed by the California Workforce Development Board (Board) that address participation and investment in, or partnership with, new or existing pre -apprenticeship training programs [SHC 2038]. Further information regarding the forthcoming Board Guidelines and future Board -sponsored grant opportunities is available in Section 16. In order to comply with the requirements for receipt and use of RMRA funds, staff recommends the following City Council actions: 1) Amend the Fiscal Year 2018 Capital Improvement Program Budget to include a list of projects prnnocerd to receive funding from the RMRA (see attached project sheet); 2) Adjust budget appropriations for Fiscal Year 2018 Traffic Monitoring 1 Safety Enhancements project by releasing $300,000 in Gas Tax Fund appropriations; 3) Adjust budget appropriations for Fiscal Year 2018 Safe Routes to School (SRTS) Pedestrian and Bicycle Safety Enhancements project to appropriate $343,345 in RMRA funds through the Gas Tax Fund for construction; 4) Reduce corresponding Gas Tax Fund revenue budget for receipt of RMRA funds from $350,432 to $343,345 for Fiscal Year 2018 based on the latest revenue projections for National City from the State Department of Finance (DOF). Notes on staff recommendations: While staff anticipated $350,432 in RMRA. revenues as part of the FY 2018 budget (based on State DOF revenue projections at that time), staff requested that City Council only authorize $300,000 in Gas Tax Fund appropriations for capital projects, since revenue projections were 387 of 525 preliminary. Based on the latest SB 1 Guidelines for use of RMRA funds published in August 2017, the SRTS Pedestrian and Bicycle Safety Enhancements project represents a more appropriate use of RMRA funds than the Traffic Monitoring ! Safety Enhancements project. Therefore, the staff recommendations outlined above would allow the $300,000 in Gas Tax Funds to be reallocated to the SRTS project, along with the remaining $43,345 in projected RMRA revenues. 388 of 525 ATTACHMENT B Local Streets and Roads - Prrojeeted FY2017-18 Revenues Baser/ an State bept of Finance statewide revenue projections as of May 2017 Est/mated 11 May 2017 I1Ighway Users Tax Acct (HUTA)(11 Streets & Highways Code Sac2103 1s1 SAN t IEGO COUNTY.': ' CA' :AD CHULA, VISTA Loan TOTAL Scc2105(3)j Sec210633p Sec2107(3) Sec2107.5(4) Repayments) HUTA nevi Road Maintnc Rehab Acct TOTAL COROIO DEL r1,R €L"CAION ENCINITAS ESQ MQIDO IMPERXAL BEACH LA' MIESA 1,170,735 1,5764543 957,477 2,038,265 _ 10,000 - 303,291 6,056,431 1,497,670 Z111. i 1�i 969 95.478 194 (309 ,-6,000' 28,666 5352857 142,552 1s;877 25,422 26161 �32,865 1,000 4,890 103,218 24,148 451 992 608,703 372,80Z 786,932 10,000 117,093 2,347,325 578,214 -PIM/ 368,349 227 373 476,202 7 76, a ' 1,423 799 349,899 GROVE NATIONAL CITY 1 OCEANSIDE - POWA'f TAN MARCUS SANTEE--- 498,778 1, 11 410,677 868, 10,000 129,214 2,588,757 636,065 3,226,832 7,564,101 728,4 9. 127,364 2,925,539 1,773,698 10;000...-_..-1.72;"at 3,451;0•-0 - $b7,8'03 4,3081$ 121,168 163,178 1033.99 �210,957 6 000 31,390 636,092 155,005 791,098 MOM -- - 356,774 220s,379 4'S1,2 �,S00 ' _"RIM 1,379,445- - 338,904 1,77MW 117,5''3 158,283 T00,441 204,628 8,000 3 ' 817,334 - 707,8as 268,394 361,450 223,204 467,282 7,500 88, 1,307,360 _ 345 1,740,705 777,110 1-046,543 y 6!, 6�l -'1, $72 VI 000 201 3.18 4,025,110 " 123 7----_,_ 233 221.29�` 298,014 184,873 385,275 7,500 57327 1,154,277 ,087 1�4374= SAN DIEGO 8,148,6V 8277,'725 5006,_568 10,701,448 20,000 1,592 44 31,744696 7,883,100 30,607,705 412,056 ,9b21"- rd$ 717.402 7,500 1, 2,138,734 527,125 2_x.65,860 250,679 337 592 208,786-"R 936,4'N9 .� 7,5o0J_-. #r4,9ai 1,36C039 ' " ' 31i ,682----1 628,621 • SOLANA BEACH 59,500 80, !63 53,298 103,764 3,000 15,440 315,363 76,242 301,606 VISTA_ _ - -- 436,794 588,236 1'28 7600 472 7,,500 1l'3,1W "2,266 398=-. 55588 T/2 2 825:167 SAN FRANCISCO A,Q, IN COUNTY} E LATHR P ZY -- wawa • RIPON 3TOC KTO N TRACY -- - 394 005 ,IS O:ISI,,O COUN" 8136 896,724 54 43_ -' 1,159,286 286 ,827, 54154,458 3,119,350 6,663,685 20,000 31,500 42,421 97,662 1(31-623 279,219 37 � 28 �__. - ,.-126,134.-.�. 439 20&---- 3a5,0327 ai 1.3 ,875 1,877L.4_ ,01 EU 57 719 32 01 537 19,776,468 4,896,275 24,672,743 30,433 54,842 2,000 6,160 169,357 40,206 209,653 84,272 170,033 4,000 26, 612,790 124,936 637,725 486,129 7 5�10 _ 72,335 " ,423,2255- ', Ti5tTS 1 81 8 ,18b 567,$08 - ' 776 84,488 1,605,327 rem 2.li1' a'. .. 113,222 4,000 16,847 144,398 83,192 427,690 2. 426 779 1-6, p0� 36 7- ,$fit " 7$3 124 8,991,082 _2,- 6 97S 750Q 1a2,471 _.--2 11 , 5�1',0'34-...R_._, A .. 0 0 ■ E 78,313 105,464 68,526-136,344 4,000 20, 12'935 100 182 513 117 ATASCADERO 136,383 183,669 115 781 237,447 6,000 35,331 71481�2 174,469 889,082 5 EL PADE ROBLES 138,670 186,756 241,4 6 6,000 35 925 442 177,402 $m,5 ' ROVI NEACH '- .. 59,171 79,686 5a, a 103,018 3,000 5321 313,152 75,694 WA?'" MORRO DAY PISMO E-AA 47,356 63,775 43,335 82,448 004 12.258 182 60,500 317 762 19 5Ti LLJI'T OBISPO 203,685 274,305 170,547 354,622 6,009 52,787 1,06i MO 565 1 3.2 -1' 11 May 2017 3g,48,661 - _ 34 62,909 2 00D 9361 Caft{'orind rtgrivtance.covx 3268 48223 ',4' Page 10 0114 389 of 525 City of National City 5-Year Capital Improvement Program (FY 2018 - FY 2022) Prc�rect-Titler. de Rotates to S hool Pedestrian aiTd-EiWCIe Safety Enhancements (Pi 2018) 1---exmpietton date: 12018 Pre:rect i n: 7`atagory: infrastructure Projects include various infrastructure improvements Citywide, r:o enhance access and safety for children walking and biking to school. FY2018 improvements include, 1) construction of traffic calming measures such as corner bulb -outs and high intensity signing and striping, and new pedestrian curb ramps for ADAcompliance at the intersection of Harbison Avenue and E. 2nd Street 2) construction of a raised crosswalk with pedestrian actuated flashing crosswalk signs, high intensity striping, and new pedestrian curb ramps for ADA compliance on Lanoitan Avenue in front of Lincoln Acres Elementary School; and 3) street resurfacing and restripingto include a "road diet' for traffic calming converting fourtravel lanes to three travel lanes (two westbound and one eastbound) with a two- way left -turn center lane, Class II bike lanes, and new pedestrian curb ramps for ADA compliance on Division Street between Euclid Avenue and Harbison Avenue. Future improvements will be prioritized based on neighborhood walk audits, public surveys and traffic safety evaluations, fMAaI i iaance r]nFF pera$ nst Reduction in maintenance costs associated with transportation infrastructure improvements; cost impacts for maintenance of school crosswalk improvements, bike lanes and signage General Plan Cnsistency: See next page for General Plan Consistency. Financial Summary Photo J Exhibit Project Budget Distribution' Funding Source Prior FY Funding? FY z01S Furidinj Design / Engineering / Environmental Right ofway ncquisltian Corstrucdon Support Corstruction Management & Inspections Construction TOTAL 1 Includes Prior FY Funding and FY 2018 2 Prior FY Funding goes back to FY 2017 a General Funt - $100,000 of S700,000 included in this Financial Summary (/ Gas Tax Fund - FY 2018 Road Maintenance 80,0DD 0 10,000 60,000 350,000 Generel Fund (001) Gas Tax Fund (109) 56,655 1110,I000 343,345 rL `' : i .,, r i' x •-- -- ` •• 500,000 Funding, in FY 2018 Funding and Rehabilitation for Traffic Monitoring /safety Account IRMRA) funding through 56,655 Enhancements project Senate Bill 443,34?. IS 1 Future Funaitng Noels Funding Source FY 2019 FY 2020 FY 2021 FY 2022 Total Example of raised crosswau iocaree on G.ranger Avenue In trant at [ganger Jr Hi* School flocking north) General Fund (001) Gas Tax Fund (109) TransNet Prop A Fund (307) 100,000 200,000 200,000 100,000 200,000 200,00C. 100,009 200,000 200,000 100,000 200,000 200,000 400,000 800,000 800,000 Prom Status Project in design. Construction contract award estimated for 2nd Quarter of FY 2018. 500,000 500,000 500,000 500,000 2,000,000 390 of 525 City of National City 5-Year Capital Improvement Program (FY 2018 - FY Z02Z) *tITilet titer t0 C esti an cn iterairiFin Consistency: Polity LU-8.4: P.an the circulation system and public infrastructure and services to provide capacity for the realistic build -out of the city. Poiiry LU-8.5: Update the capital improvement program for the improvement of existing public facilities and the development of new facilities and plan for the equitable distribution of infrastructure improvements and public facilities and services considering both number/size and access/distance to facilities. Policy C-2,2: Enhance connectivity by eliminating gaps and barriers in roadways. bikeway, and pedestrian networks. Policy C-2.5: Encourage traffic circulation improvements that minimize land acquisition and major construction, such as, but not limited tc, enhanced road markings, synchronized traffic signals, intelligent Transportation System (ITS) network management End more left turn restrictions. Policy C-2.6: Enhance the quality of life in the City's Neighborhoods and minimize impacts on schools, hospitals, convalescent homes and other sensitive facilities through the implementation of traffic calming measures in these areas to reduce vehicle speeds and discourage cut -through traffic. Policy C-4.5: Encourage the use of alternative transportation modes. Policy C-8.1: Provide connectivity of wide, well -lit walking environments with safety buffers between pedestrians and vehicular traffic, when feasible. Policy C-8.3: Identify and implement necessary pedestrian improvements with special emphasis on providing safe access to schools, parks, community and recreation centers, shopping districts, and other appropriate facilities. Policy C-8.4: Promote walking as the primary travel mode to schools. Policy C-8.5: improve pedestrian safety at intersections and mid -block crossings. Policy C-8.8: Provide a continuous pedestrian network within and between neighborhoods to facilitate pedestrian travel free from major impediments and obstacles. Policy HEJ-3.2: Identify and eliminate, where feasible, barriers to outdoor physical activity, such as damaged, Incomplete, blocked, or littered sidewalks and bike paths, lack of safe street crossings and direct connecticns, excessive speeding, insufficient lighting, incic ence or perception of crime, and lack of landscaping and shade trees along streets. 391 of 525 RESOLUTION NO. 2017 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING: 1) AMENDING THE FISCAL YEAR 2018 CAPITAL IMPROVEMENT PROGRAM BUDGET TO INCLUDE A LIST OF PROJECTS PROPOSED TO RECEIVE FUNDING FROM THE ROAD MAINTENANCE AND REHABILITATION ACCOUNT (RMRA) AS REQUIRED BY SENATE BILL 1, THE ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017; 2) ADJUST BUDGET APPROPRIATIONS FOR FISCAL YEAR 2018 TRAFFIC MONITORING / SAFETY ENHANCEMENTS PROJECT BY RELEASING $300,000 IN GAS TAX FUND APPROPRIATIONS; 3) ADJUST BUDGET APPROPRIATIONS FOR FISCAL YEAR 2018 SAFE ROUTES TO SCHOOL PEDESTRIAN AND BICYCLE SAFETY ENHANCEMENTS PROJECT TO APPROPRIATE $343,345 IN RMRA FUNDS THROUGH THE GAS TAX FUND FOR CONSTRUCTION; AND 4) REDUCE CORRESPONDING GAS TAX FUND REVENUE BUDGET FOR RECEIPT OF RMRA FUNDS FROM $350,432 TO $343,345 FOR FISCAL YEAR 2018 BASED ON THE LATEST REVENUE PROJECTIONS FOR NATIONAL CITY FROM THE STATE DEPARTMENT OF FINANCE WHEREAS, Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017 (Chapter 5, Statutes of 2017), was passed by the Legislature and signed into law by Governor Brown in April 2017, to address the significant multi -modal transportation funding shortfalls statewide; and WHEREAS, SB 1 includes accountability and transparency provisions that will ensure the residents of National City are aware of the projects proposed for funding in our community and which projects have been completed each fiscal year; and WHEREAS, the City of National City (''City") must include a list of all projects proposed to receive funding from the Road Maintenance and Rehabilitation Account ("RMRA"), created by SB 1, in the City's Capital Improvement Program (' CIP") budget, which must include a description and the location of each proposed project, a proposed schedule for the project's completion, and the estimated useful life of the improvements; and WHEREAS, the City will receive an estimated $343,345 in RMRA funding in Fiscal Year 2018 from SB 1; and WHEREAS, the City prioritizes projects based on health and safety benefits, input from the community, project costs, schedule and available funding, and consistency with long-range planning documents and policies; and WHEREAS, the list of projects proposed to receive funding from the RMRA were developed based on the criteria above to ensure revenues are being used on high -priority and cost-effective projects that meet the community's priorities for transportation investment; and WHEREAS, revenues received from the RMRA will greatly assist the City in increasing the overall quality and sustainability of our transportation system for the benefit of the public; and 392 of 525 Resolution No. 2017 — October 3, 2017 Page Two WHEREAS, preventative maintenance and enhancements to the local transportation system will reduce drive times and traffic congestion, and improve access for pedestrians and bicycles, which will lead to reductions in vehicle emissions helping the State achieve its air quality and greenhouse gas emissions reductions goals; and WHEREAS, the SB 1 project list and overall investment in our local streets and roads infrastructure, with a focus on maintenance and safety, investing in complete streets infrastructure, and using cutting -edge technology, materials and practices, will have significant, positive co -benefits statewide. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby amends the Fiscal Year 2018 CIP budget to include the following list of projects proposed to receive funding from the RMRA as required by SB 1: 1) FY 2018 Safe Routes to School (SRTS) Pedestrian and Bicycle Enhancements — Harbison Avenue and E. 2nd Street Traffic Calming; construct traffic calming measures such as corner bulb -outs and high intensity signing and striping, and new pedestrian curb ramps for Americans with Disabilities Act (ADA) compliance at the intersection of Harbison Avenue and E. 2nd Street (estimated construction completion in FY 2018 with useful life of 30 years); 2) FY 2018 Safe Routes to School (SRTS) Pedestrian and Bicycle Enhancements — Lincoln Acres Elementary School Raised Crosswalk; construct a raised crosswalk with pedestrian actuated flashing crosswalk signs, high intensity striping, and new pedestrian curb ramps for ADA compliance on Lanoitan Avenue in front of Lincoln Acres Elementary School (estimated construction completion in FY 2018 with useful life of 30 years); and 3) FY 2018 Safe Routes to School (SRTS) Pedestrian and Bicycle Enhancements — Division Street Traffic Calming, Euclid Avenue to Harbison Avenue; provide street resurfacing and restriping to include a "road diet" for traffic calming converting four travel lanes to three travel lanes (two westbound and one eastbound) with a two-way left -turn center lane, Class II bike lanes, and new pedestrian curb ramps for ADA compliance on Division Street between Euclid Avenue and Harbison Avenue (estimated construction completion in FY 2018 with useful life of 15 years). BE IT FURTHER RESOLVED that the City Council of the City of National City authorizes staff to adjust budget appropriations for Fiscal Year 2018 Traffic Monitoring / Safety Enhancements project by releasing $300,000 in Gas Tax Fund appropriations. BE IT FURTHER RESOLVED the City Council of the City of National City authorizes staff to adjust budget appropriations for Fiscal Year 2018 Safe Routes to School Pedestrian and Bicycle Safety Enhancements project to appropriate $343,345 in RMRA funds through the Gas Tax Fund for construction of the SB 1 project list for FY 2018. BE IT FURTHER RESOLVED the City Council of the City of National City authorizes staff to reduce corresponding Gas Tax Fund revenue budget for receipt of RMRA funds from $350,432 to $343,345 for Fiscal Year 2018 based on the latest revenue projections for National City from the State Department of Finance. 393 of 525 Resolution No. 2017 — October 3, 2017 Page Three PASSED and ADOPTED this 3rd day of October, 2017. ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Angil P. Morris -Jones City Attorney Ron Morrison, Mayor 394 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 395 The following page(s) contain the backup material for Agenda Item: Temporary Use Permit Wavetec requesting to use the lot located at 1918 Cleveland Avenue to repair a 43 ft. sailboat from October 3, 2017 thru December 31, 2017 with no waiver of fees. (Neighborhood Services) 395 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Temporary Use Permit — Wavetec requesting to use the lot located at 1918 Cleveland Avenue to repair a 43 ft. sailboat from October 3, 2017 thru December 31, 2017 with no waiver of fees. PREPARED BY: ;Dionisia Trejo DEPARTMENT: Neighborhood Services Department PHONE: (619) 336-4255 APPROVED BY: % r- EXPLANATION : This is a request from Wavetec to use the lot located at 1918 Cleveland Avenue to repair a 43 ft. sailboat from October 3, 2017 thru December 31, 2017. The boat has been located at the subject lot for approximately fourteen months. The boat requires upholstery, new electronics, new propeller, light rigging and two water pumps. Once completed the boat will be relocated to Pier 32 for permanent slip location. The use of this lot for boat repair is not allowed in this zone, hence this TUP request. Note: This is the first time this organization has requested a Temporary Use Permit to use the subject lot for temporary boat repair. FINANCIAL STATEMENT: ACCOUNT NO. 1 APPROVED: Finance APPROVED: MIS City fee of $237.00 for processing the TUP through various City Departments. Total Fees: $237 00 ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Approve the Application for a Temporary Use Permit subject to compliance with all conditions of approval with no waiver of fees or in accordance to City Council Policy 802. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: Application for a Temporary Use Permit with recommended approvals and conditions of approval. 396 of 525 Type of Event ❑ Fir/Festiva] TUP City of National City in Neiy---irhood Services Department 1243 National City Boulevard i National City, CA 91950 4k (619) 336-4364 • fax (619) 336-4217 www.nationalcityca. gov Special Event Application ❑ Parade/March ❑ Walk or Run D Concert/Performance ❑ Sporting Event ❑ Other (specify) E v. ent-N a tile= & Location — Event Title Cooftle/ViZ ! 3 / &4.i j b D+ .f - Ja.anc.4 e Event Location (list all sites being requested) l4' SC/e✓ela.ld caa a prem 1,1 es. Time Day of Week tJer•• o'Z 0 / Event Starts Date Time Day of Week Event Ends Date Time Day of Week Applicanf(Your nanfe) xi./ 4-Spohsorino Orbanization Event Coordinator (if different from applicant) /}} Mailing Address e r Sam Z ,wren 3 gi f9 Day Phone/q b7 fter Hours Phone l ellill, . e7r45(1-. Public Information Phone _ E-mail yy 1nC Applicant agrees to investigate, defend, indemnify and hold harmless the City, its officers, employees and agents from and against any and all Toss, damage, liability, claims, demands, detriments, oasts, charges, expense (including attomey's fees) and causes of action of any character which the City, its officers, employees and agents may incur, sustain or be subjected to on account of loss or damage to property or the loss of use thereof and for bodily injury to or death of any persons (including but not limited to the employees, subcontractors, agents and invitees of each party hereto) arising out of or in any way connected to the occupancy, enjoyment and use of any City premises under this agreement to the extent permitted by law. Applicant understands this TUP/special event may i City's Finance Department 48 hours prior to the ev City's refund policy for application processing are subject to change. Signature of Applicant: to fee t-up. use r - ices, which will have to be paid in the e undersigned also understands and accepts the nd that fees and charges are adjusted annually and Date 612 l- 1 397 of 525 VOW Special Event Application (continued) Please oornplete the following sections with as.much detail as possible sincefees and requirements are basedon•the.information you provide us Fees/Proceeds/Reporti n Is your organization a "Tax Exempt, nonprofit" organization? Yes ❑ No tlY Are admission, entry, vendor or participant fees required? Yes ❑ No [I/ If YES, please explain the purpose and provide amount (s): $ A< ' Estimated Gross Receipts including ticket, product and sponsorship sales from this ev nt. . $ % Estimated Expenses for this event. as a 4' What is the projected amount of revenue that the Nonprofit Organization will receive ult of this event? Description of Event ❑ First time event 0 Returning Event include site map with application Note that this description may be published in our City Public Special Events Calendar. C- rn 1 G Lt 3 4'2t / r^ rae cat lif.ept. 31 korw J/s f . Ae T M . Seett ref U1 r'e,,s j, vac,` Allvd r s . Esti;iiaied Attendant Anticipated # of Participants: E -"_ Anticipated # of Spectators; 2 398 of 525 a-` Traffic Control, Securit , First Aid and Accessibilit Requesting to close street(s) to vehicular traffic? Yes ❑ No 'f' List any streets requiring closure as a result of the event (provide map): Date and lime of street closure: Date and time of street reopening: El Other (explain) Requesting to post "no parking" notices? Yes D No Ig[, ❑ Requested "No Parking' on city streets and/or parking lots (list streets/parking Tots) (provide map): ❑ Other (explain) Security and Crowd Control Depending on the number of participants, your event may require Police services. Please describe your procedures for both Crowd Control and Internal Security: Have you hired Professional Security to handle security arrangements for this event? Yes D No If YES, name and address of Security Organization Security Director (Name): Phone: If using the services of a professional security firm AND the event will occur on City property, please provide a copy of its insurance certificate, evidencing liability with limits of at least $1 Million dollars per ocdurance/$2 Million dollars aggregate, as well as and additional insured endorsement naming the City of National City, its officers, employees, and agents as additional. insureds Evidence of insurance must be provided by the vendor or its insurer to the City's Risk Manager for review and approval prior to the event: Is this a night event? Yes ❑ No If YES, please state how the event and surrounding area will be illuminated to ensure safety of the pa 'cipants and spectators: 399 of 525 First Aid 5.. ;) /i9 Depending on the number of participants, your event may require specific First Aid services. First aid station to be staffed by event staff? Yes El No 1First aid/CPR certified? Yes El No ❑ First aid station to be staffed by professional company. ► Company ffff Accessibilit dC/4,1.. Please describe your Accessibility Plan for access at your event by individuals with disabilities: Elements of our Event Setting up a stage? Yes ❑ NoVAt U � ❑ Requesting City's PA system .' ❑ Requesting City Stage; if yes, which size? ❑ Dimensions (138) ❑ Dimensions (208) ❑ Applicant providing own stage ® (Dimensions) Setting up canopies or tents? # of canopies size # of tents size No canopies/tents being set up Setting up tables and chairs? ❑ Furnished by Applicant or Contractor # of tables st No tables being set up # of chairs14' No chairs being set up ❑ (For City Use Only) Sponsored Events — Does not apply to co -sponsored events # of tables No tables being set up # of chairs No chairs being set up Contractor Name Contractor Contact Information Address City/State Phone Number 4 400 of 525 Setting up other equipment? ❑ Sporting Equipment (explain) ❑ Other (explain) ❑ Not setting up any equipment listed above at event Having amplified sound and/or music? Yes ❑ No 0 PA System for announcements ❑ CD player or DJ music ❑ Live Music ► ❑ Small 4-5 piece live band ► ❑ Large 6+ piece live band O Other (explain) If using live music or a DJ. ► Contractor Name Address City/State Phone Number Using lighting equipment at your event? Yes C] No ❑ Bringing in own lighting equipment O Using professional lighting company ► Company Name Address City/State Phone / umber Using electrical power? Yes ❑ No, ❑ Using on -site electricity ❑ For sound and/or lighting ❑ For food and/or refrigeration ❑ Bringing in generator(s) 0 For sound and/or lighting 0 For food and/or refrigeration Vendor Iisformiatio PV.ASE llOTE: You may be required to apply. for a temporary health. permit if food or beverages are sold of given away during your special even#. Also see 'Permits and Compliance or page 8 in the Special Event Guide. For additional information on obtaining a temporary health permit, please contact the County of San Diego Environmental Health at (619) 338-2363, /V/04 Having food and non-alcoholic beverages at your event? Yes ❑ Noy4 ❑ Vendors preparing food on -site ► # ► Business License # If yes, please describe how food will be served and/or prepared: If you intend to cook food in the event area please specify the method: ❑ GAS ❑ ELECTRIC ❑ CHARCOAL ❑ OTHER (Specify): O Vendors bringing pre -packaged food ► # ► Business License # ❑ Vendors Ixinging bottled, non-alcoholic beverages (i.e., bottled water, can soda, etc.) ► # ❑ Vendors selling food # ► Business License #(s) ❑ Vendors seising merchandise # D Business License #(s) 401 of 525 ❑ Food/beverages to be har. ,tl by organization; no outside vendors ❑ Vendors selling services # ► Business License #(s) ► Explain services ❑ Vendors passing out information only (no business license needed) # ► Explain type(s) of information No selling or informational vendors at event Having children activities? Yes ❑ No121 PLEASE NOTE: in the event inflatable jumps are provided at the event, The City of National City requires commercial liability insurance with limits of at least $1 Million dollars per occurrence/$2 Million dollars aggregate. In addition, the City of National City must be named as an Additional Insured pursuant to a separate endorsement, which shall be provided by the vendor or its insurer to the City's Risk Manager, along with the Certificate of Insurance, for approval poor to the event. The application should be filed out at least one week prior to the event. There is a $25 fee to process the permit application. For questions or to obtain a copy of the "Facility Use Application", please contact the Engineering/Public Works Department at (619) 336-4580 ❑ Inflatable bouncer house # ❑ Rock climbing wall Height ❑ Inflatable bouncer slide # ❑ Arts & crafts (i.e., craft making, face painting, etc.) ❑ Other Having fireworks or aerial display? Yes ❑ No ❑ Vendor name and license # Dimensions Duration Number of shells Max. size PLEASE NOTE: In the event fireworks or another aerial display !G planned for your event, The City of National City requires commercial liability insurance with limits of at least $2 Million dollars .per occurrence/ $4 Million dollars aggregate. In addition, the City of National City must be named as an Additional Insured.pursuant to a separate endorsement. which shall be provided by the vendor or its insurer to the City's Risk Manager, along with the Certificate of insurance, for approval prior to .the event Depending an the size and/or nature of the fireworks display, the City reserves the right to request higher liability limits The vendor must also obtain a fireworks permit from the National City Fire Department and the cost is $502.00 Arranging for media coverage? Yes❑ No ❑ Yes, but media will not require special set-up ❑ Yes, media will require special set-up. Describe 6 402 of 525 EISIMPIRMI PLEASE NOTE. For City sponsored or co -sponsored events, banners publicizing the event may be planed on the existing poles on the 1800 block and 3100 block of National City Boulevard. The banners must be made to the City's specifications. Please refer to the City's Special Event Guidebook and Fee Schedule for additional information. Are you planning to have signage at your event? Yes ❑ No ❑ Yes, we will post signage # Dimensions ❑ Yes, having inflatable signage # ► (complete Inflatable Signage Request form) ❑ Yes, we will have banners # ❑ What will signs/banners say? ❑ How will signslbanners be anchored or mounted? Waste Management PLEASE NOTE. One toilet for every 250 people is required, unless the applicant can show that there are sufficient facilities in the immediate area available to the public during the event. Are you planning to provide portable restrooms at the event? Yes ❑ No EX If yes, please identify the following: ► Total number of portable toilets: ► Total number of ADA accessible portable toilets: ❑ Contracting with portable toilet vendor. ► Company Phone I> Load -in Day & Time la Load -out Day & Time ❑ , Portable toilets to be serviced. ► Time Set-up, teakdown, Clean-up A-04- Setting up the day before the event? ❑ Yes, will set up the day before the event. i► # of set-up day(s) No, set-up will occur on the event day Requesting vehicle access onto the turf? ❑ Yes, requesting access onto tun` for set-up and breakdown (complete attached Vehicle Access Request form) '1X,No, vehicles will load/unload from nearby street or parking lot. '7 403 of 525 Fence ❑ City to install litter fence ❑ Applicant to install litter fence CNIA Breaking down set-up the day after the event? ❑ Yes, breakdown will be the day after the event. ► # of breakdown day(s) No, breakdown will occur on the event day. / How are you handling clean-up?/ A ❑ Using City crews ❑ Using volunteer clean-up crew during and after event. ❑ Using professional cleaning company during and after event. Miscellaneous Please list anything important aboutyour event not already asked on this application: A / S Or? 4 14l;7n arL e 445 b e e. ei elm AboLA / rn.04-( ask rr=q ,j c. add, 7116rilq, /1464AS * G�I�J � - s'o eivn '7"4. k-e 740 R (/7 e ro `', CJ Please make a copy of this application for your records. We do not provide copies. and -7/n t v ift 7'A.e rec71 7CD #44 oat 1s r'{]/ri . / rs / ct isigiantis h'ki yo. fis'i 1-.0 (41'. //veil sylifed VZ-e. Led-71104 eifiLei 404 of 525 Special Events Pre -Event Stoma Water Compliance Checklist 1. Special Event Information Name of Special Event: Event Address: ?if 81 det,k424,1-Expected # of Attendees: 0 Event Host/Coordinator: Phone Number: G,�1 370 7( I1. Storm Water Best Management Practices (BMPs) Review YES NO N/A Will enough trash cans provided for the event? Provide number of trash bins: Will enough recycling bins provided for the event? Provide number of recycle bins: Will all portable toilets have secondary containment trays? (exceptions for ADA compliant portable toilets) Do ail storm drains have screens to temporarily protect trash and debris from entering? Are spill cleanup kits readily available at designated spots? * A Post -Event Storm Water Compliance Checklist will be completed by City Staff. 405 of 525 City of National City PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Persons requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which includes the City, its officials, agents and employees named as additional insured and to sign the Hold Harmless Agreement. Certificate of insurance must be attached to this permit. The insurance company issuing the insurance policy must have a A.M. Best's Guide Rating of AA/Hand that the insurance company is a California. admitted company; if not, then the insurance policy to the issuance of the permit for the event. The Certificate Holder must reflect: City of National City Risk Management Department 1243 National City Boulevard National City, CA 91950 Organization; N� Person in Charge of Activity: Cot / 4h Address: C e/ 4 S Cbvt. :4 xl 3 c S'D� 04 q o Telephone: G / 37a /pig Date(s) of Use: /b -3 - &J) I HOLD HARMLESS AGREEMENT As a condition of the issuance ofa temporary use permit to conduct its activities on public or private property, the undersigned hereby agree(o) to defend, indemnify, and hold harmless the City of National City and the Parking Authority and its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or, for any personal inju , . -ath or property damage, or both, or any litigation and other liability, including atti me s fees - id the costs of litigation, arising out of or related to the use of public pre ie or the : • ivity taken under the permit by the permittee or its agents, emplo, - • , con - to Signature of Applicant: II liti mow - Official Title: Date: 1r (q. 3 For Office Use Only Certificate of Insurance Approved D ate 10 406 of 525 k6J 1918 CLEVELAND AVENUE 407 of 525 CITY OF NATIONAL CITY NEIGHBORHOOD SERVICES DEPARTMENT APPLICATION FOR A TEMPORARY USE PERMIT RECOMMENDATIONS AND CONDITIONS SPONSORING ORGANIZATION: Wavetec EVENT: Complete 43' Sailboat for Launch Date DATE OF EVENT: October 3, 2017 thru December 31, 2017 APPROVALS: DEVELOPMENT SERVICES YES [ x ] NO [ ] SEE CONDITIONS [ ] RISK MANAGER YES [ x ] NO [ ] SEE CONDITIONS [ x ] PUBLIC WORKS YES [ x ] NO [ ] SEE CONDITIONS [ x ] FINANCE YES [ x ] NO [ ] SEE CONDITIONS [ x ] FIRE YES [ x ] NO [ ] SEE CONDITIONS [ x POLICE YES [ x ] NO [ ] SEE CONDITIONS [ x ] CITY ATTORNEY YES [ x ] NO [ ] SEE CONDITIONS [ x COMMUNITY SERVICES YES [ x ] NO [ ] SEE CONDITIONS [ ] NEIGHBORHOOD SERVICES YES [ x ] NO [ ] SEE CONDITIONS [ x CODE ENFORCEMENT YES [ x ] NO [ ] SEE CONDITIONS [ x ] CONDITIONS OF APPROVAL: DEVELOPMENT SERVICES (619) 336-4318 No comments POLICE DEPARTMENT This process will not impact patrol services. On duty personnel will be made aware of the move. CITY ATTORNEY Requires an indemnification and hold harmless agreement, and a policy of general liability insurance, with the City and its officers, officials, employees, agents, and volunteers as additional insureds, with amounts of coverage to be determined by the Risk Manager. COMMUNITY SERVICES No comments 408 of 525 NEIGHBORHOOD SERVICES Neighborhood Notifications — Events are required to notify residents and/or businesses of the surrounding impacted areas by the event. The notice shall include the name of the event, name and phone number of the company/organization producing the event, the dates and times of the event (including set-up and breakdown) and a detailed description of how the residents and/or businesses may be affected, such as by street closures, "No Parking" signs being posted, music at the event, etc. CODE ENFORCEMENT No work shall be conducted on or at the boat on Sundays. Monday — Saturday work hours shall only occur 7 a.m. — 7 p.m. The use of this parcel for boat repair is not allowed in this zone. Therefore, a Temporary Use Permit is required. This boat must be removed from the premises no later than December 31, 2017. RISK MANAGER (619) 336-4370 Risk Management has reviewed the above captioned application for the issuance of a Temporary Use Permit. In as much as the event will held solely on private property there will be no additional insurance requirements necessary for the issuance of the permit. It should be noted that the Hold Harmless and Indemnification Agreement were properly executed by the applicant at the time the Special Event Application was submitted. PUBLIC WORKS (619)366-4580 No involvement FINANCE Wavetec has already applied for a Business License. Finance/Business License has no other stipulations. 409 of 525 FIRE (619) 336-4550 Stipulations required by the Fire Department for this event are as follows: 1) Access to and in and through all parking Tots is to be maintained at all times. 2) Fire Hydrants and Fire Department connections for fire sprinkler systems shall not be blocked or obstructed. 3) if tents or canopies are used, contact the Fire Dept. for permits, see below 4) If tents or canopies are used, tents having an area in excess of 200 square feet and or canopies in excess of 400 square feet or multiple tents and or canopies placed together equaling or greater than the above stated areas, are to be used, they shall be fame -retardant treated with an approved State Fire Marshal seal attached. A ten feet separation distance must be maintained between tents and canopies. A permit from the Fire Department must be obtained. Cooking shall not be permitted under tents or canopies unless the tents or canopies meet "State Fire Marshal approval for cooking. Certificate of State Fire Marshal flame resistancy shall be provided to the National City Fire Department if applicable. A permit for the projected canopies/tents shall be four hundred ($400.00) dollars. Fees can only be waived by City Council. Canopies: Tents: 0-400sf- $0 401 500 sf - 501 600 sf - 601 — 700 sf - 0 —200 sf 201 — (+) sf - $250.00 $300.00 $400.00 $200.00 $400.00 5) If work extends what is -listed on the TUP .the Fire Dept. will need to be contacted for possible TUP modifications. As well as the County of San Diego Hazmat Division. 6) If any hazardous work starts, including fiber glassing, hot work painting, etc. All related California Fire and NFPA Codes will need to be met and the Fire Dept. must be contacted to issue required permits. 410 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 411 The following page(s) contain the backup material for Agenda Item: Temporary Use Permit — 1st Annual Bayside Brew and Spirits Festival sponsored by the National City Chamber of Commerce at Pepper Park on October 21, 2017. (Neighborhood Services) 411 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Temporary Use Permit — 1st Annual Bayside Brew and Spirits Festival sponsored by the National City Chamber of Commerce at Pepper Park on October 21, 2017 with a request for waiver of fees. PREPARED BY: ;Dionisia Trejo PHONE: 619) 336-4255 ' APPROVED BY: EXPLANATION: This is a request from the National City Chamber of Commerce to conduct the 15t Annual Bayside Brew and Spirits Festival on October 21, 2017 from 12 p.m. to 5 p.m. This event is being held at Pepper Park which requires a Port of San Diego large event permit. In accordance with the Unified Port of San Diego permit process, any event which could require Police or Fire services at Pepper Park must also process with the City of National City's designated departments to determine if permits are warranted and if fees apply. This process is to ensure that National City Police and Fire services are aware of large events planned at Pepper Park and that proper review for public safety is conducted. DEPARTMENT: Neighborhood Services Department The lstAnnual Bayside Brew and Spirits Festival will host over forty local San Diego and Baja California micro breweries, ten spirits brand, ten food vendors and live entertainment. Proceeds from the festival will benefit A Reason to survive (ARTS), a National City non-profit organization helping youth realize their full potential though the arts and creative expression. Applicant will provide private security for the event. Applicant is requesting to use City Tots A & B located on Bay Marina Drive for additional parking. Note: This is the first time this organization has requested a Temporary Use Permit to conduct the 1st Annual Bayside Brew and Spirits Festival. FINANCIAL STATEMENT: APPROVED: Finance ACCOUNT NO. APPROVED: MIS City fee of $237 for processing the TUP, plus $200 for the National City Fire Department inspection fees, $500 for Public Works, $476 for Engineering, $118 for Building, and $829.51 for Police Department. Total fees $2,360.51 ENVIRONMENTAL REVIEW: ;NUS ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Approve the application for a Temporary Use Permit subject to compliance with all conditions of approval with no waiver of fees or in accordance to City Council Policy 802. BOARD 1 COMMISSION RECOMMENDATION: NIA ATTACHMENTS: Application for a Temporary Use Permit with recommended approvals and conditions of approval. 412 of 525 ' Type of Event City of National City S Neighborhood Services Department 1243 Nationa] City Boulevard ■ National City, CA 91950 (619) 336-4364 ■ fax (619) 336-4217 www.nationalcityca.gov Special Event Application Fair/Festival 0 Parade/March ❑ TUP ❑ Sporting Event Event Name &-Location' O Walk or Run ❑ Concert/Performance ❑ Other (specify) Event Title 1st Annual Bayside Brew and Spirits Festival Event Location (list all sites being requested) Pepper Park, 3299 Tidelands Ave, National Ciiy, CA 919: Event Times Set -Up Starts Date 10/21/17 Event Starts 6:00am Time Date 10/21/17 Tune12:00 pm . Date 10/21/17 Time S:OOpm Event Ends Breakdown Ends Date 10/21/17 Day of Week Saturday Day of Week Saturday Day of Week Saturday.. Time 9:00pm App.licantl-nforrnation Day of Week Saturday Jacqueline Reynoso National City Chamber of Applicant (Your name) Sponsoring Organization Event Coordinator (if different from applicant) First Comes Love Mailing Address 901 National City Blvd., National City, CA 91950 619-477-9339 619-477-9339 619-890-6614 Day Phone After Hours Phone Cell Fax Public Information Phone 519-477-9339 • E-mail info@baysidebrewfest.com Applicant agrees to investigate, defend, Indemnify and hold harmless the City, its officers, employees and agents from and against any and all loss, damage, liability, claims, demands, detriments, costs, charges, expense (including attomey's fees) and causes of action of any character which the City, its officers, employees and agents may incur, sustain or be subjected to on account of loss or damage to property or the loss of use thereof and for bodily injury to or death of any persons (including but not limited to the employees, subcontractors, agents and Invitees of each party hereto) arising out of or In any way connected to the occupancy, enjoyment and use of any City premises under this agreement to the extent permitted by law. Applicant understands this TUP/special event may implicate fees for City services, which will have to be paid in the Clty's Finance Department 48 hours prior to the event set-up. The undersigned alsp understands and accepts the City's refund policy for application processing and facility use and that fees and charges are adjusted annually and are subject to change. Signature of Applicant: Date 09/26/2017 I 413 of 525 Special Event Application (continued) Please complete the following sections with as much detail as possible since fees and requirements are based on the information you provide us. Fees/Proceeds/Reporting Is your organization a "Tax Exempt, nonprofit" organization? Yes ] No ❑ Are admission, entry, vendor or participant fees required? Yes ❑1 No D If YES, please explain the purpose and provide amount (s): $50 Admission, $100 VIP Admission, $20 Parking, $1001$250/$600 Vendor Booths. Sponsorships ranging from $1000 to $30000. Will cover event expenses and brewer attraction. Ticket proceeds partially benefit ARTS. 55,000.00 $ Estimated Gross Receipts including ticket, product and sponsorship sales from this event. 5Ut)00.00 , $ Estimated Expenses for this event. 5,000.00 $ What is the projected amount of revenue that the Nonprofit Organization will receive as a result of this event? Description of Event ❑■ First time event ❑ Returning Event I include site map with application Note that this description may be published in our City Public Special Events Calendar: A beer & music festival highlighting the unique culture of National City. We believe that bringing more micro -breweries and beer tasting rooms is a perfect fit. This will be an annual event highlighting the city, the culture, and its growing brewery and tasting room industry. The festival will host over 40 local San Diego and Baja California micro breweries, 10 spirits brands, and 10 food trucks/vendors, with different artists/bands playing throughout the day. Estimated Attendance Anticipated # of Participants: 40 Anticipated # of Spectators: 1,200 2 414 of 525 Traffic Control, Securit , First Aid and Accessibiiit Requesting to close street(s) to vehicular traffic? Yes ❑ No ❑® List any streets requiring closure as a result of the event (provide map): Date and time of street closure: Date and time of street reopening: ❑ Other (explain) Requesting to post "no parking" notices? Yes El No ❑ ❑a Requested No Parking" on city streets and/or parking lots (list streets/parking lots) (provide map): Pepper Park Vehicle Parking, A & B Parking lots (Bay Marina Dr. & Cleveland Ave.) ❑ Other (explain) Securit and Crowd Control Depending on the number of participants, your event may require Police services. Please describe your procedures for both Crowd Control and Internal Security: Premier Property Security Services will provide private event security as follows: Vendor loading: 2 Agents, 8am-1lam Parking/Traffic Control: 4 Agents (2 posted at roundabout, 1 at Harbor Lot, 1 at Union lot), 8am-9pm Have you hired Professional Security to handle security arrangements for this event? Yes© No❑ If YES, name and address of Security Organization Premier Property cti,; ; .Services Security Director (Name): Victor Gonzalez Phone: 83 9-384-8535 If using the services of a professional security firm AND the event will occur on City property, please -provide a copy of its insurance certificate, evidencing liability with limits of at least $1 Million dollars per occurance/$2 Million dollars aggregate, as well as and additional insured endorsement naming the City of National City, its officers, employees, and agents as addthonal insureds. Evidence of insurance must be provided by the vendor or its insurer to the City's Risk Manager for review and approval prior to the event. Is this a night event? Yes ❑ No ❑I� If YES, please state how the event and surrounding area will be illuminated to ensure safety of the participants and spectators: 3 415 of 525 First Aid Depending on the number of participants, your event may require specific First Aid services. First aid station to be staffed by event staff? Yes ❑ No ■❑ First aid/CPR certified? Yes ❑ No ❑� 0 First aid station to be staffed by professional company. II,.Company American Medical Response Accessibility Please describe your Accessibility Plan for access at your event by individuals with disabilities: Pepper Park is ADA Accessible, including ADA parking and ramps., Elements of your Event Setting up a stage? Yes No ❑ ❑ Requesting City's PA system ❑ Requesting City Stage; if yes, which size? ❑ Dimensions (13)(28) ❑ Dimensions (20x28) 24" X 16" El Applicant providing own stage ► (Dimensions) Setting up canopies or tents? 1 40 # of canopies size 20' X 20' # of tents size 10" X 10" ❑ No canopies/tents being set up Setting up tables and chairs? ❑� Furnished by Applicant or Contractor 60 100 # of tables ❑ No tables being set up # of chairs ❑ No chairs being set up ❑ (For City Use Only) Sponsored Events — Does not apply to co -sponsored events # of tables ❑ No tables being set up # of chairs ❑ No chairs being set up Contractor Name Patty's Party Renters Contractor Contact Informatian2601 Hoover Ave, Ste A-B National City, CA 619-336-0467 Address City/State Phone Number 4 416 of 525 Setting up other equipment? ❑ Sporting Equipment (explain) Other (explain) Bike rack barricades and 8ft fencing • Not setting up any equipment listed above at event Having amplified sound andlor music? Yes IJ No ❑ ❑ PA System for announcements ® CD player or DJ music J",' Live Music ❑■ Small 4-5 piece live band is Q Large 6+ piece live band ❑ Other (explain) If using five music or a DJ. y Contractor Name Refugio Music • 1633 Hoover Ave Address National City, CA 239-247-9454 CriyIstate Phone Number Using lighting equipment at your event? Yes Noll ❑ Bringing in own lighting equipment ❑ Using professional lighting company Company Name Address Using electrical power? Yes 0 No ❑ ❑ Using on -site electricity ■❑ Bringing in generator(s) City/State ❑ For sound andlor lighting ❑i• For sound and/or lighting Phone Number ❑ For food andlor refrigeration • For food andlor refrigeration VCndor Information PLEASE ROTE: You may be required to appaiy for a temporary health permit if food or beverages are sold of given away during your special event. Also see `Permits and Compliance' on page R in iibeape.C.ir:€ "cyi,i Siiiw�s. Foradditional information on obtaining a temporary health permit, please contact the County of San Diego Environmental Health at (619) 338-2363. Having food and non-alcoholic beverages at your event? Yes ® No❑ �{ Vendors preparing food on -site D # I> Business License # List attached If yes, please describe how food will be served and/or prepared: Description attached if you intend to cook food in the event area please specify the method: o❑ GAS I ELECTRIC CHARCOAL ❑ OTHER (Specify); ❑ Vendors bringing pre -packaged food 0- n > Business License ■❑ Vendors bringing bottled, non-alcoholic beverages (le., bottled water, can soda, etc.) • Vendors selling food # 5 Susiness License #(s) 0 Vendors selling merchandise # 5 to. Business License #(s) 5 417 of 525 ❑ Food/beverages to be handled by organization; no outside vendors ❑■ Vendors selling services # 1 D Business License #(s) 1 Explain services Resorts/Vacations LIE1 Vendors passing out information only (no business license needed) # 38 D Explain type(s) of information 27 Brewers, 4 distilleries, 2 wineries. 8 sponsors ❑ No selling or informational vendors at event Having children activities? Yes ❑ No ❑l■ PLEASE NOTE: In the event inflatable jumps are provided at the event, The City of National City requires commercial liability insurance with limits of at least $1 Million dollars per occurrencel$2 Million dollars aggregate. In addition, the City of National City must be named as an Additional Insured pursuant to a separate endorsement, which shall be provided by the vendor or its insurer to the City's Risk Manager, along with the Certificate of Insurance, for approval prior to the event. The application should be filed out at least one week prior to the event. There is a $25 fee to process the permit application For questions or to obtain a copy of the "Facility Use Application", please contact the Engineering/Public Works Department at (619) 336-4580. ❑ Inflatable bouncer house # ❑ Rock climbing wall Height ❑ Inflatable bouncer slide # ❑ Other ❑ Arts & crafts (i.e., craft making, face painting, etc.) Having fireworks or aerial display? Yes ❑ No 0 ❑ Vendor name and license # Dimensions Duration Number of shells Max. size PLEASE NOTE: In the event fireworks or another aerial display is planned for your event, The City of National City requires commercial liability insurance with Limits of at least $2 Million dollars per occurrence/ $4 Million dollars aggregate. In addition, the City of National City must be named as an Additional Insured pursuant to a separate endorsement, which shall be provided by the vendor or its Insurer to the City's Risk Manager, along with the Certificate of Insurance, for approval prior to the event Depending on the size and/or nature of the fireworks display, the City reserves the right to request higher liability limits. The vendor must also obtain a fireworks permit from the National City Fire Department and the cost is $502.00 Arranging for media coverage? Yesll No ❑ ® Yes, but media will not require special set-up 0 Yes, media will require special set-up. Describe 6 418 of 525 Event Signage PLEASENOTE: For City sponsored or co -sponsored events, banners publicizing the event may be placed on the existing poles on the 1800 block and 3100 block of National City Boulevard. The banners must be made to the City's specifications. Please refer to the City's Special Event Guidebook and Fee Schedule for additional information. Are you planning to have signage at your event? Yes ❑■ No ❑ ❑® Yes, we will post signage # 35 Dimensions Description attached ❑ Yes, having inflatable signage # ElYes, we will have banners # 8 ► (complete Inflatable Signage Request form) Bayside Brew and Spirits Festival, Pepper Park, 12prn-.5pm, 10/21/17 El What will signs/banners say? 0 How will signslbanners be anchored or mounted? A-frames,Metal stands, yard posts, bunjee cords, zipties Waste Manac ernent PLEASE NOTE. One toilet for every 250 people is required, unless the applicant can show that there are sufficient facilities in the immediate area available to the public during the event, Are you planning to provide portable restrooms at the event? Yes IN No ❑ If yes, please identify the following: ► Total number of portable toilets: 16 ► Total number of ADA accessible portable toilets: 2 ® Contracting with portable toilet vendor. ► Diamond Environmental, 760-744-7191 Load -in Day & Time 8:00am Company Phone ► Load -out Day & Time 7:00pm ElPortable toilets to be serviced. to.Time Throughout event :Set-up, Breakdown, Clean-up Setting up the day before the event? ❑ Yes, will set up the day before the event. f No, set-up will occur on the event day Requesting vehicle access onto the turf? ► # of set-up day(s) ❑ Yes, requesting access onto turf for set-up and breakdown (complete attached Vehicle Access Request form) E No, vehicles will load/unload from nearby street or parking lot. 7 419 of 525 NPDE a fence ❑ City to install litter fence ❑ Applicant to install litter fence ■❑ N/A Breaking down set-up the day after the event? ❑ Yes, breakdown will be the day after the event. R. # of breakdown day(s) ❑ No, breakdown will occur on the event day. How are you handling clean-up? ❑ Using City crews ❑■ Using volunteer clean-up crew during and after event. ❑■ Using professional cleaning company during and after event. Miscellaneous Please list anything important about your event not already asked on this application: Please see event maps (4), press release, event summary, and request to waive event permit and related fees Please make a copy of this application for your records. We do not provide copies. 8 420 of 525 Special Events Pre -Event Storm Water Compliance Checklist I. Special Event Information Name of Speaal Event: Bayside Brew and Spirits Festival Event Address: Pepper Park, 3299 Tidelands Ave, Nati, Expected # of Attendees: 1,500 - Event Host/Coordinator: First Comes Love Phone Number: B'f9-501-'i695 1L Storm Water Best Management Practices (BMPs) Review YES Will enough trash cans provided for the event? Provide number of trash bins: 2 5- NO N/A Will enough recycling bins provided for the event? Provide number of recycle bins:? r Will all portable toilets have secondary containment trays? (exceptions for ADA compliant portable toilets) Do all storm drains have screens to temporarily protect trash and debris from entering? Are spill cleanup kits readily available at designated spots? "4 A Post -Event Storm Water Compliance Checklist will be completed by City Staff. 9 421 of 525 City of National City PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Persons requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which includes the City, its officials, agents and employees named as additional insured and to sign the Hold Harmless Agreement. Certificate of insurance must be attached to this permit. The insurance company issuing the insurance policy must have a A.M. Best's Guide Rating of A:V]I and that the insurance company is a California admitted company; if not, then the insurance policy to the issuance of the permit for the event. The Certificate Holder must reflect: City of National City Risk Management Department 1243 National City Boulevard National City, CA 91950 Organization: National City Chamber of Commerce Person in Charge of Activity: Jacqueline Reynoso 901 National City Blvd., National City, CA 91950 Address: rr Telephone: � t } Date(s) of Use: / I / io 'tt HOLD HARMLESS AGREEMENT As a condition of the issuance of a temporary use permit to conduct its activities on pubic or private property, the undersigned hereby agrees) to defend, indemnify and hold harmless the City of National City and the Parking Authority and its officers, employees and agents from and against any and all claims, demands, costs, tosses, liability or, for any personal injury, death or property damage, or both, or any litigation and other liability, including attorneys fees and the costs of Litigation, arising out of or related to the use of public property or the activity taken under the permit by the permittee or its agents, employee 1 contractors. Signature of Applicant: 1 Official Title: Pre iden en � , C �� Date: ql7�' 5- For Office Use • nfy Certificate of insurance Approved 10 Date 422 of 525 Notional City Chamber of Commerce 901 National Cily Blvd. National City, CA, 91950 Business: (619) 477-9339 Pax: (619) 477-5018 Email: info@natIonalatychamber.org Website: wwwnationolcitychomber.org September 26, 2017 Honorable Mayor and Council City of National City 1243 National City Blvd. National City, CA 91 950 To Whom it May Concern: The Nationai City Chamber of Commerce is honored to host the Inaugural Bayside Brew & Spirits Festival at Pepper Park on October 21, 201 7. As part of our permit application to the Port of San Diego for use of Pepper Park and port facilities, the port requires that we obtain a fire permit, TUP, and sign off on our ABC license from the City of National City. We respectfully request a waiver of fees for this event by the City of National City. We are working hard to deliver a first rate event for the public to enjoy. Together, we are placing National City and the Cali -Baja region on the on the map as an emerging craft beer market. Your continued and additional support helps us sustain a vibrant economy for our residents to enjoy. ABOUT THE EVENT (Press Release attached) Title sponsor, the Port of San Diego and event founder, the National City Chamber of Commerce — have partnered with the City of National City and the Consul General of Mexico in San Diego to give participants the opportunity to explore working relationships with breweries and spirit manufacturers on both sides of the U.S.-Mexico Border. The event will also feature wines from Valle de Guadalupe and some of Mexico's finest tequila, mescal and whiskey. Proceeds from the festival will benefit ARTS, a National City non-profit helping youth realize their full potential through the arts and creative expression. The event is also a reflection of National City's gradual emergence as a multi -cultural destination and residential community lust 10 minutes from downtown San Diego. Its affordability and location are increasingly attracting millennials, young entrepreneurs, heaitny food eateries and — perhaps most important — developers with a sensitivity to its contemporary tastes and unique urban and multi -cultural tapestry. One already -clear result of the upcoming event is that it has helped forge stronger ties between the city of National City, the Port of San Diego, the San Diego Tourism Authority, the San Diego Brewers Guild, the South Bay Craft Beer Business Guild, and craft brewers. These ties clearly point toward job creation, increased tourism and boosted tax revenues. Event information may be found at www.baysiidebrewfest.com. Thank you for your consideration and support of our annual events. We appreciate your consideration of our request for a fee waiver. Sin Jacquenne L. Reynoso President/ CEO National City Chamber of Commerce 423 of 525 NCCH, ►1111I ARL CERTIFICATE OF LIABILITY INSURANCE OP ID: T 09/22/z1r 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 ADDRiONAL INSURED, the pollcy(lee) must have ADDITIONAL INSURED provisions or be endorsed, IF SUBROGATION IS WAIVED, subject to the terms and conditions of the polity, certain policies may require an endorsement A statement en this certificate does not confer rights to the certificate holder In Ileu of such endorsement(s). PRODUCER 858-452-2200 Waterldge Insurance Services 10717 Sorrento Valley Rd. San Diego, CA 92121 Jeffrey H. Byroads CONTACT Tiffany Blair ' PHONE 858-452_2200 FAX 858-4524004 (AJC, No 1A0' NOS lin,, lalrr©wateridge,com INSUR] arm AFFORDING COVERAGE NAM # 1NsuRE„,Philadelphia Indemnity Ins Co 18858 INSURES National Clty Chamber of 901 National City Boulevard National City, CA 91950 INSURER B: ,, INSURER C: INSURER D; INSURER E : INSURER F : COVERAGES CERTIFICATE NUMBER: REV O 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 liUITH 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, IXCLUSIONS AMID CONDITIQNS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAIL) CLAIMS. IPISR TYPE OF INSURANCE ADDL r VAR 1NIfQ POI.[CY NUMBERtBGrsR7NYYYYI POLICY EFF POLICY EXP ifHNUDDlYYYYL LIMITS A X COMMERCIAL GENVAALUABWTY e PHPK1713195 0912312017 EACHOCCURREiCE $ 1,000,000 09/2312018 DAMAGE TO RENTED ' REMISES 100,000 $ X DCCUR MED EXP {Amy one Person.' $ 5,000 PERSONAL S AM? NAR•Y 1,000,0D GENERAL AGGREGATE s 3,000,00dEVIL EVIL . AGGREGATE POLICY X OTHER: LIMIT APPLIES PER; Sr& LOC PRODUCTS -COMPIQPAGG $ 3,000,000 $ Fr( AUTOMOBILE X LIABILITY ANY AUTO OWNED X. SCHEDULED MOAN PliPK1713185 09/2312017 CA Ea apdepp LlJGLE LIMIT S 13000,000 09/23/2015 BODILY RAIJURY(Per derson4 $ BODILYINJURY/Pereccident) $ rigraggAmAGE is UMBRELLA LING EXCESS LIAS X OCCUR CLAIMS -MADE PHUB600B67 • 09f2312017 EACH OCCURRENCE S 1,000,000 09/2312018 AGGREGATE $ 1,000,000 $ DED X RETEIIT10N$ 101000 WORKERS COMPENSATION AND EMPLOYERS' uAsiLnY Y) ANY PROPRIETOR/PARTNERJE)XECUT1VE I1 OFFICERI! IF,MeEEXCL.'JDEG7 INan lda ory m ran 11 s, c4e9rxth 1r dFT L7 GRIP:IOAI OF QPERATIQNS bBMW NIA t I PERTUT'E I R - ELEACH ACCIDENT 1 ,_ -_S - - En EIVIPLt3Y 5 EL DIBaEAS -p9LICY Mr_ $ • 1 .. DE$CPIP'T10N OF OPERATIONS 1 LOCATIONS I VEHICLES (ACORD 1o1, Madame Remarks Schedule, may be attached If more apace Is raquhedl THE CITY OF NATIONAL CITY ITS ELECTED OFFICIALS,EMPLOYEES AND VOLUNTEERS AS THEIR RESPECTIVE INTERESTS MAY APPEAR ARE NAMED ADDITIONAL INSURED W/RESPECT TO GENERAL LIABILITY PER ATTACHED. RE: NAMED INSURED'S SIGNS LOCATED IN THE CITY LIMITS OF NATIONAL CITY CERTIFICATE t1QLDER CITY OF NATIONAL CITY C/O RISK MANAGER 1243 NATIONAL CITY BLVD. NATIONAL CITY, CA 92050 J—. ACORD 2512016103) NATID02 CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERER IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE 1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD 424 of 525 POLICY NUMBER: PHPK1713195 COMMERCIAL GENERAL LIABILITY CG20260413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - DESIGNATED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILII Y COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organlzatlon(s): The City of National City (ySit manuscript) information required to cam•lete this Schedule If not shown above will be shown in the Declarations. A. Section lI — Who Is An insured is amended to B. include as an additional insured the person(s) ar organizations) 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 your aots or omissions or the acts or omissions of those acting on your behalf' 1. in the performance or your ongoing operations; or 2. in connection with your premises owned by or rented to you. 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. With respect to the insurance afforded to these additional insureds, the following is added to Section ill — Limits Of Insurance: If coverage provided to the additional insured is required by a corrtract or agreement, the most we wi!l pay on behalf of the additionai itiaured Is the amount of insurance: 1. Required by the contract or aggr'eem l e rt; 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. 0320280413 CD Insurance Services Office, Inc., 2012 Pagel.lof 14 425 of 525 Bayside Brew & Spirits Pestivtil Pepper Park October 21, 2017 Bvent'£ime-12.5pm Total Sq Pt 72,31i4 VIP Sq Pt:15,000 Alt HAIM- Om me Pla x-,�hn hcy x¢ er VIP Perking - 60 0 Boat Launch f ADA Parking to Remain open dour XATsY�: r�oey =Bftfee=e • pcati potty ❑ s nt 10wn te etmeana ADA O a security gaud (4 mirk' A =Aframe 426 of 525 Go- de October 21, 2017 Parking Map - Pepper Park 3299 Tidelands Ave., National City, CA 91950 60 Reserved Spaces Imegety 02017 Googie,Mdate 02017 Ocoee Urged Siam 20€t 427 of 525 13reu; & Spirit?, FESTIVAL "A" & "B' Parking Lots Bay Marina D[r. & Cleveland Ave. Parking Lot Map October 21, 2017 (11arn-6pm) Brew &Spir a F EST I V A L Harvest Meat Distribution Center / Union Lots Parking Lot Map -134 spaces October 21, 2017 (l lam-8pm) Imagery 02017 Goog#e. Map data 02017 Goo* United States 50 ft 429 of 525 FOOD VENDOR LIST Event:Bayside Brew and Spirits Festivarganizer: Ulkutekin Event Group Cell Phone: 619.501.1695 Date(s) of Event: 10/21/17 Location: Pepper Park - National City NAME OF BOOTH & Food Type- PERSON -IN -CHARGE Name, Address & Phone # MENU ITEMS List Major Menu Items BUSINESS TYPE Non -Profit or Licensed Business & TFF Permit Number* Booth Name: " Su Q Food Truck Name: Barbara Merktev Me Sandwich and idle BBQ Plate Sandwich and side Asada Fries BBQ Salad Sliders! Veggie Burger Check one: t Nonprofit in Licensed Business TFF Permit #*: 441798 Address: 12735 Poway Rd., Poway CA 92064 Check if applicable: ■ Pre -Packaged Only It Open Food Exp. Date: Phone; 619-995 •. Booth Name: Epic Eatz Name: Chris Bracamonte Surf and turf cuisine Check one: ❑ Nonprofit r Licensed Business TFF Permit #*: Deh2912-Ffmp-446946 Address: Muareta, CA 92582 Check if applicable: ❑ Pre -Packaged Only ❑x Open Food Exp. Date: Phone: 951-340-0163 Booth Name: Okamoto Kitchen Karns: Gerald Abraham 'DreeseMochlsdda -$e Japan Hee C,-$8 a. aRae r-adB, Plate- CR(atsu Curry Sandwich- $12 JeNan 9ambmBentakBeg/ Teter Tote -$10 Sandwich-S7D Poke Sobs -$18' Check one: E] Nonprofit D Licensed Business TFF Permit #*: Address: 7647 Hayvenhurs": Ave Suite #45. Van Nuys Check if applicable: ❑ Pre -Packaged Only Exp. Date: Phone: 858-516-1769 l7 Open Food Booth Name: Dos Bandidos Name: Hector Aguilar fvIexicanfocd Check one: 0 Nonprofit El Licensed Business TFF Permit r: Address: 9045 Judicial Drive #4511, San Dlega 92422 Check If applicably • Pre -Packaged Only Exp. Date: Phone: 858-255-1716 © Open Food Booth Name: BubbaQ Food Truck Name: BBQ Check one: ❑ Nonprofit Q Licensed Business TFF Permit #": Address: Check if applicable: ❑ Pre -Packaged Only Exp. Date: Phone: III Open Food Booth Name: Names Check one: ■ Nonprofit ■ Licensed Business TFF Permit #*: Address: Check if applicable; III Pre -Packaged Only rl Open Food Exp. Date: Phone: Booth Name: Name: Check one: ❑ Nonprofit E] Licensed Business TFF Permit #*: Address: Check If applicable: ❑ Pre -Packaged Only • Open Food Exp. Date: Phone: Booth Name: Name: Check one: 0 Nonprofit ❑ Licensed Business Ti"F Permit #*: Address: Check If applicable: 0 Pre -Packaged Only ❑ Open Food Exp. Date: Phone: Booth Nance: Name: Check one: 0 Nonprofit ❑ Licensed Business TFF Permit #*: Address: Check if applicable: • Pre -Packaged Only Exp. Date: Phone: ■ Open Food Booth Name: Name: Check one: D Nonprofit ❑ Licensed Business TFF Permit #*: Address: Check If applicable: ❑ Pre -Packaged Only ❑ Open Food Exp. Date: Phone: *Permit # must be a DEH issued Temporary Food Facility permit (single event or annual). Other permit types will not be accepted. DEH:FH-632 (Rev. 07/17) 430 of 525 5 Brew Fest Signage Sftes For Event Promotion A Frame Signage (Dimenston: 35X 20) 1. Wal Greens Marquee (Euclid) 2, Cornerstone Church 3. Cal-Trans/City (805 overpass @ Market/E. Plaza) 4. Mile of Cars - Dealerships and NC Blvd. 5. Pier 32 Marina 6. Pepper Pork City intersections: 7. NC Blvd & Sweetwater Rd. 8. NC Blvd. & 8th Street 9. NC Blvd. & 24th Street 10. Plaza Blvd. & Euclid Ave. 11. Sweeweater Rd. & 24th Street 12. Main Street and Division St. 13. Division & Euclid Ave. 14. Division & Palm Ave. 15. Division & Highland Ave. 16. Highland & 8th Street 17. Highland & Plaza Blvd 18. Highland & 24th Street 19. Sweetwater & Euclid Ave 20. Marina Way & Bay Marina Drive 21. Exit off of 5 Freeway and Bay Marina Drive 22. Exit off of 5 Freeway and 8th Street 23, Exit off of 805 Freeway and Sweetwater Rd. 24, Exit off of .54 Freeway and Reo Drive Hanging Suntiers 25. Goodies Bar & Grill 26. National City Blvd (x2) - Hanging Banners 27. Clarion Hotel (Facing Freeway) 28. U-Haul (Facing Freeway) 29. Fence at Vacant Lot next to Chamber of Commerce along east side of NC Blvd. 30. Pepper Park Moving Ads 31. MTS•(Bus stop signage & decals on vehicles) 32. National City School Marquees 33. Westfield Plaza Bonita Mall 34.Mile of Cars-3 Freeway Message Boards 431 of 525 PRESS RELEASE Contact: Amy Ulketekin Cell; {619) 501-1695 901 National City Blvd. National City, CA 91950 www.BaySideBrewFest.corn NATIONAL CITY v1/4,it CHAMBER OF COMMERCE N.' National City's First Annual Brew Fest Kicks Off in October A beer, spirit, wine & music festival highlighting the unique bi-national culture and commerce in National City, CA To San Diego's reputation as the king of surf, sand and sun, add one more basic ingredient: beer. It's been proclaimed by brew fans and critics alike to be one of the top craft beer cities in Am erica. Yet despite the craft beer surge in the San Diego region, and the beverage's undeniable history as one of the world's oldest and most multi -cultural beverages, no one has sought to recognize its international roots. Until now. That international flavor will be part of National City's first Bayside Brew and spirits Festival to be held Oct. 21 from noon to 5pm at Pepper Park on San Diego Bay. The South Bay event will host more than 40 local and international micro -brewers, and also feature live bands performing throughout the day. In addition, event -goers can enjoy world -class performances by Bill Caballero Latin Jazz Quintet, Maiz featuring musicians from the B-Side Players, and local favorites, Los Shadows. Title sponsor, the Port of San Diego and event founder, the National City Chamber of Commerce - have partnered with the City of National City and the Consul General of Mexico in San Diego to give participants the opportunity to explore working relationships with breweries and spirit manufacturers on both sides of the U.S.-Mexico Border. The event will also feature wines from Valle de Guadalupe and some of Mexico's finest tequila, mescal and whiskey. Proceeds from the festival will benefit ARTS, a National City non-profit helping youth realize their full potential through the arts and creative expression. "N "This is a first for the San Diego region," noted Eddie Trejo who operates Machete Beer House, National City's first craft beer venue which opened in 2015. He is one of the event's co- chairs and a leader in the effort to develop the South Bay craft beer industry into an economic asset in South County. "Craft beer is all about `local' and the sense of place that goes with local brews. ,A key aspect of Bayside Brew lest will be our unique sense of place along what is probably the most dynamic and economically important border in the world." The event is also a reflection of National City's gradual emergence as a multi -cultural destination and residential community just 10 minutes from downtown San Diego. Its affordability and location are increasingly attracting millennials, young entrepreneurs, healthy food eateries and perhaps most important - developers with a sensitivity to its contemporary tastes and unique urban and multi -cultural tapestry. A vibrant micro -brewing scene is an important part of that picture, says Jacqueline Reynosa, CEO of National City's 577- member Chamber of Commerce. FOR RELEASE SEPTEMBER 25, 2017 432 of 525 "It's not just a matter of building a sector of the economy that can really help the city," she says. "It's a matter of continuing to build a city that attracts the creative energy arid optimism of young professionals and lets them know they have an important stake in the city's future." She says planners envision the Brew Fest as an annual event. One already -clear result of the upcoming event is that it has helped forge stronger ties between the city of National City, the Port of San Diego, the San Diego Tourism Authority, the San Diego Brewers Guild, the South Bay Craft Beer Business Guild, and craft brewers. These ties clearly point toward job creation, increased tourism and boosted tax revenues, Reynoso says. "The festival has already engaged sponsors, participants, community members, and industry leaders to work collaboratively on executing a shared vision that benefits the local, regional and binational economy." "As the Port Commissioner from National City, I'm especially proud that the Port supports quality events like these to bring people to the waterfront. We're all about partnerships, growing the economy and engaging the community. We are thrilled to be sponsoring this cultural event," said Robert "Dukie" Valdelrarna, Chairman of the Port of San Diego Board of Port Commissioners. Northwest craft beer celebrity entrepreneur Art Larrance will also appear at a VIP preview on Oct. 20 at Machete Beer House, 2325 Highland Ave., National City. The Portland, OR - based Larrance is a co-founder of Portland Brewing and a policy advocate who helped open the door for the craft movement in Portland. He is also a principal organizer of the Oregon Brewers Festival which launched in 1988, and is an owner of Cascade Brewing and the popular Raccoon Lodge & Brew Pub in Portland. VIP guests at the Oct. 21 festival can also hear a short presentation by Larrence and sample select brews from Cascade and other participating brewers on site. Southwest Airlines, SDG&E and the National City Chamber will host both VIP events. VIP guests will enjoy exclusive early festival admission from 12pm-1 pm, sampling of select limited release brews and wine, complimentary food, uriiirnfled access to the VIP lounge, and a "rneet and greet" with event sponsors and elected officials. VIP tickets may be purchased online at www.baysidebrewfest.corn for $75 prior to October 10, $100 thereafter. Cencr al admission tickets are $35 before October 10, $50 after that date. National City, with its bayside location and position just 10 minutes from both downtown San Diego and the International Border, has become a prime event spot in recent years. Besides the upcoming Bayside Brew Fest, the city is now home to annual Chamber -sponsored events like the International Mariachi Festival, which launched in 2011 and attracts more than 20,000 people; and the Automobile Heritage Day Car Show which attracts 5,000 people and more than 200 classic car exhibitors. For event information and involvement opportunities as a volunteer, sponsor, vendor, or guest, visit www.BaysideBrewFest.com FOR RELEASE SEPTEMBER 25, 2077 ### 433 of 525 13rew &Oifi8pir td rF x FESTIVA L Event Update: September 26, 2017 Date: October 21, 2017 Time: 12pm VIP, 1 pm-5pm general admission Site: Pepper Park, 3299 Tidelands Ave Organizer: National City Chamber of Commerce Website: www.baysidebrewfest.com Media Partners 1. Untappd 2. 101 things to do 3. Facebook Ads 4. West Coaster 5. El Latino 6. Armed Forces Dispatch 7. City Beat 8. Entercom - 94.9 9. Street Team 10. Entravision 11. Port of San Diego 12. Televisa 13. Filipino Press 14. Siar News 15. Uniradio 16. 92.5 17. San Diego Union Tribune Sponsors IAS Builders Cox Communication Sycuan Casino Port of San Diego 7 Mile Casino City of National City Teague Insurance State Farm SDG&E 434 of 525 VIP Experience - October 20.2017 Early admission at 12pm Special limited release beers, wines and spirits Meet and Greet with Art Larrance Private seated area Catered food and beverages by Hoofers, Waterfront Grille, Big Thyme, Others pending Photo Opportunities Access to VIP restrooms Promo Item (beer opener) VIP Pre -Party at Machetes - October 21, 2017 Music entertainment Appetizers Guest List invite - Brewers, VIP Ticket Holders, Committee "Bar talk with Art Larrance" Breweries ▪ Absolution Brewing Company Ironfire Brewing Co • Mamut Brewery Co • Cerveceria lnsurgente • Ludica Artesana! Embarcadero Brewing ▪ Coast Beverage Distributing Novo Brazil Brewery • Bay City Brewing Company • Mother Earth Brew Co • Firestone Walker Brewing Company • Cerveceria Texcoco Mystic Ales • Fall. Brewing Company • iniand Empiro Brewing Company • Bay Bridge Brewing • Pacific Islander Beer Co ▪ Chula Vista Brewery • Acoustic Ales Brewing • Border X Brewing Co • Th33 Punk Ales Brewing • Cerveceria Heisenberg • Cerveceria Legion • Shangri-La Highland Craft Beer • Alta Brewing Company • Kilowatt Brewing Company • Border Psycho Brewery • Duck Foot Brewing Company 435 of 525 Wineries • Carruth Cellars. • Orfila Vineyards and Winery Distilleries • Liberty Call Distilling • Mamut Spirits • San Diego Distillery • Savile Premium Rumtini food Vendors • Epic Eatz • Buqqa Gourmet Food Truck • Dos Bandidos • Super Q Food Truck • Okamoto Kitchen Artisan Vendors • Lip Sense (cosmetics) • Mimi's Kitchen (cookies) • Mimi's Kitchen {pretzel necklaces to sell) • Soleil Communications - Welk Resorts (resort promotion) • Studio Nichoel (hand crafted jewelry) • Cali Life Co. {wood sunglasses and watches) • Floppy Beer Hoppy Life (beer lifestyle brand) Entertainment Bill Caballero Latin Quartet Matz featuring musicians from B-Side Players DJ's Israel Maldonado and Viejo Lobo Los Shadows 436 of 525 CITY OF NATIONAL CITY NEIGHBORHOOD SERVICES DEPARTMENT APPLICATION FOR A TEMPORARY USE PERMIT RECOMMENDATIONS AND CONDITIONS SPONSORING ORGANIZATION: National City Chamber of Commerce EVENT: 1StAnnual Bayside Brew and Spirits Festival DATE OF EVENT: October 21, 2017 APPROVALS: DEVELOPMENT SERVICES RISK MANAGER PUBLIC WORKS FIRE POLICE CITY ATTORNEY NEIGHBORHOOD SERVICES CODE ENFORCEMENT YES [ x ] NO [ ] SEE CONDITIONS [ x ] YES [ x ] NO [ ] SEE CONDITIONS [ x ] YES [ x ] NO [ ] SEE CONDITIONS I x 1 YES [ x ] NO [ ] SEE CONDITIONS [ x ] YES [ x ] NO [ ] SEE CONDITIONS [ x ] YES [ x ] NO [ ] SEE CONDITIONS [ x ] YES [ x ] NO [ ] SEE CONDITIONS [ x YES [ x ] NO [ ] SEE CONDITIONS [ x ] CONDITIONS OF APPROVAL: DEVELOPMENT SERVICES (619) 336-4318 Building The map that was provided is not clear. I need clarification for the fohowing items. Provide a clear plan showing where the fencing is taking place. Minimum size of plan is 30" X 24", 3 copies. It looks like the public bathrooms are also in the fenced in area. If so, this will remove a public bathroom from the rest of the park. Or, is the entire park being permitted for this event and no other use for the public will be available? Provide dimensions for the fenced off area. I need this so that I can provide a maximum occupancy for the event. This occupancy also dictate how many bathrooms will be necessary including how many accessible bathrooms and hand wash stations. o Since food is being served, has the City received a health department clearance for this event? If one is not needed, we would still need County Health to provide that in writing. A fee of $1 18.00 per hour with a minimum of one hour per plan check will need to be paid in advance of the plan review. 437 of 525 Engineering A traffic control plan will be required for any closure, street restrictions or detours to be conducted. 1. Traffic Control Cover Sheet (11 x17 sheet). http:llwww.nationalcityca.cgovlhomelshowdocument?id=13600 2. Certificate of Liability Insurance. http:/lwww_nationalcityca.govlhomelshowdocument?id=14026 3. Contractors' State License (hardcopy required). 4. Contractor's City Business License (hardcopy required). 5. Traffic Control Plans must be submitted on 11 x17. 6. Traffic Control Fee $476.00. 7. Please submit all documents at least 30 days prior to commencing work/event. POLICE DEPARTMENT The promoter of this event is expecting to have 1250 people in attendance. There will be one security officer per 50 guests. We require them to have 25 private security guards on site to control the entrance, exits, roaming, and traffic control. I reviewed the security plan and agree with their proposed deployment. We require an 8' chain link fence to separate the general public from this 21 and over event. In addition, it is reasonable and prudent for the City to require the use of NCPD Officers for the event. Using the standard concept of 2 officers per 1000 people, (1 contact & 1 cover). Therefore, it is my recommendation that the organizer hire (2) NCPD Police Officers. Those officers will complement the security detail and provide police services at the event. The total cost for park security for 2 Police Officers, 5.5 hours per officer, will be $829.51. The breakdown is as follows: 5 hours at the park and % hour total for donning and doffing. That would be for a total of 11 hours of overtime, at a pay rate of $75.41 per hour. NCPD will also provide extra patrol with on -duty personnel as available. CITY ATTORNEY Requires an indemnification and hold harmless agreement, ana a policy of general liability insurance, with the City and its officials, employees, agents and volunteers as additional insureds, with amounts of coverage to be determined by the Risk Manager. 438 of 525 NEIGHBORHOOD SERVICES Neighborhood Notifications — Events are required to notify residents and/or businesses of the surrounding impacted areas by the event. The notice shall include the name of the event, name and phone number of the company/0 rganization producing the event, the dates and times of the event (including set-up and breakdown) and a detailed description of how the residents and/or businesses may be affected, such as by street closures, `'No Parking" signs being posted, music at the event, etc. CODE ENFORCEMENT All off -site advertising (Le. NOT located on Port property) must be removed from all locations no later than 9 a.m., Oct. 23, 2017. RISK MANAGER (619) 336-4370 Risk Management has reviewed the above captioned request for the issuance of a Temporary Use Permit. In order to satisfy the City's insurance requirements it will be necessary for the Applicant, the Security and Crowd Control Provider (Premier Properties Security) and the Event Medical Provider (American Medical Response) to provide the following: A valid copy of the Certificate of Liability Insurance from the applicant, Premier. Properties Security and American Medical Response. The applicant, Premier Properties Security and American Medical Response must each provide a separate additional insured endorsement wherein it notes as the additional insured as "The City of National City, its officials, aly, agents, empioyees and vo!unteers' The insurance policy has a combined single limit of no less than $.1,000,000.00 (ONE MILLION DOLLARS) for each occurrence and $2,000,000.00 (TWO MILLION DOLLARS) in aggrogato that would cover the date and location of the event. The insurance company issuing the insurance policy has an A.M. Best's Guide Rating of A: VII and that the insurance company is a California admitted company. The Certificate Holder must reflect: City of National City c/o Risk Manager 1243 National City Boulevard National City, CA. 91950-4397 It should be noted that the Indemnification and Hold Harmless Agreement were properly executed by the applicant t at the time the Special Event Application was submitted. executed 439 of 525 PUBLIC WORKS (619)366-4580 Street Division We will only be charging the Chamber $250 per lot (rather than the typical $500 per lot) since site prep will be completed as part of a prior event (Maytime Band Review). The $250 per lot is for site restoration after the event. Total for both Tots requested $ 500. FIRE (619) 336-4550 INSPECTION REQUIRED Total fee amount for all Fire Department permits is After Hours inspection $200, total ($200.00) dollars. Fees can only be waived by City Council. 1) Access to the street to be maintained at all times, to both entrances and Fire Department connections for fire sprinkler systems, standpipes, etc. 2) Fire Department access into and through canopy areas are to be maintained at all times. Fire apparatus access roads shall have an unobstructed width of not less than 20 feet and an unobstructed vertical clearance of not Tess than 14 feet. 3) Fire Hydrants shall not be blocked or obstructed. 4) Participants on foot are to move immediately to the sidewalk upon approach of emergency vehicle(s). 5) Vehicles in roadway are to move immediately to the right upon approach of emergency vehicle(s). 6) Provide a 2A:1 OBC fire extinguisher at stage if stage is being used. Extinguisher to be mounted in a visible location between 3%2` to 5' from the floor to the top of the extinguisher. Maximum travel distance from an extinguisher shall not be more than 75 feet travel distance. 7) All cooking booths or areas to have one 2A:10BC. If grease or oil is used in cooking a 40:BC or class "K" fire extinguisher will be required. All fire extinguishers to have a current State Fire Marshal Tag attached. Please see attached example. 8) if Charcoal is being used, provide metal cans with lids and label "HOT COALS ONLY" for used charcoal disposal. 440 of 525 9) Any electrical power used is to be property grounded and approved. Extension cords shall be used as "Temporary Wiring" only. 10) A fire safety inspection is to be conducted by the Fire Department prior to operations of the event to include ail cooking areas etc. 11) Required inspections taking place, after hours, holidays, and weekends will be assessed a minimum of two hundred ($200.O0) dollars. 12) First Aid shall be provided by organization. 13) Provide map of VIP site area, all ADA accessibility, exit plan and all dimensions (Building Official will need to evaluate for exiting and occupant load, fees will apply). 14) Provide map of entire fenced area, all ADA accessibility, exit plan and all dimensions (Building Official will need to evaluate for exiting and occupant load, fees will apply). 15) If tents or canopies are used, tents having an area in excess of 200.square feet and or canopies in excess of 400 square feet or multiple tents and or canopies placed together equaling or greater than the above stated areas, are to be used, they shall be flame-retardant treated with an approved State Fire Marshal seal attached. A ten feet separation distance must be maintained between tents and canopies. A permit from the Fire Department must be obtained. Cooking shall not be permitted under tents or canopies unless the tents or canopies meet $State Fire Marshal approval for cooking. Certificate of State Fire Marshal flame resistancy shall be provided to The National City Fire Department if applicable. A permit for the projected canopies/tents shall be four hundred ($400.00) dollars. Fees can only be waived by City Council. Canopies: Tents: 0 - 400 sf - $0 401 - 500 sf - $250.00 501 - 600 sf - $300.O0 601 - 700 sf - $400.00 0 -200 sf - $200.00 201 - (-i-) sf - $400.00 441 of 525 16) Exit openings from tents shall remain open unless covered by a flame —resistant curtain. The curtain shall comply with the following: Curtains shall be free sliding on a metal support. The support shall be a minimum of 80 inches above the floor level at the exit. Then curtains shall be so arranged that, when open, no part of the curtain obstructs the exit. Curtains shall be of a color, or colors, that contrast with the color of the tent. 17) In public tent areas, smooth surfaced, unobstructed aisles having a minimum width of not less than 44 inches shall be provided from seating areas, and aisles shall be progressively increased in width to provide, at all points, not less than 1 foot of isles width for each 50 persons served by such aisles at the point. 18) All chairs used for seating inside or outside tents/canopies shall be secured to one another using approved chair binding methods. 19) Exits shall be clearly marked. Exit signs shall be installed at required exit doorways and where otherwise necessary to indicate clearly the direction of egress when the exit serves and occupant of 50 or more 20) Exit signs shall be GREEN in color and shali be of an approved self lumination type or shall be internally or externally illuminated by luminaries supplied in the following manner: n Two separate circuits, one of which shall be separated from all other circuits, for occupant loads of 300 or less. 21) Means of egress shall be illuminated with light (Bug Eyes) having an intensity of not less than 1 foot-candle at the floor level while the structure is occupied. Fixtures required for means of egress illumination shall be supplied from a separate circuit or source of power. 22) Exits, aisles and passageways shall not be blocked or have their minimum clear width obstructed in any manner by ticket offices, turnstiles, concessions, chairs, equipment, animal chutes, poles, or guy ropes, or anything whatsoever, not shall they be blocked by persons, for whom no seats are available. 23) Internal combustion power sources that may be used for emergency power shall be of adequate capacity to permit uninterrupted operation during normal operating hours. Refueling shall be conducted prior to start of the event. 24) Internal combustion power sources (Generators/Transformers) shall be isolated from contact with the public by either physical guards, fencing or an enclosure. Internal combustion power shall be at least 20 feet away from the tent and shall be provided with a fire extinguisher rated at minimum of 10 B-C. 442 of 525 25) Internal combustion power sources that may be used shall be of adequate capacity to permit uninterrupted operation during normal operating hours. 26) Any electrical power used is to be properly grounded and approved. Extension cords shall be used as "Temporary Wiring" only. Consult building official for requirements. 27) Every room or space that is an assembly occupancy shall have the occupant load of the tent or space posted in a conspicuous place, rear the main exit or exit access doorway from the room or space. Posted signs shall be of an approved legible permanent design and shall be maintained by the owner or authorized agent. The maximum occupant Toad of this space shall be based on room set-up and items placed inside tents or canopies. The maximum occupancy load shall posted by the Euildina Official based on room configuration. At no time shall the owner or agent allow the posted occupant load to be exceeded. 28) Smoking shall not be permitted in tents, canopies or membrane structures. Approved "No Smoking" signs shall be conspicuously posted. 29) A Traffic Plan and Parking Plan with Emergency Access into Pepper Park from Marina Way andlor Tidelands Ave. to W. 32"cl Street is re wired and must be maintained as with NO PARKING ZONES, PATROLLLED AND HAVE VEHICLES REMOVED THROUGHOUTJHE ENTIRE EVENT. 30) Automobiles, Food Trucks and other internal combustion engines shall be a minimum distance of twenty feet (20) from tents and canopies. 31) First Aid will be provided by the organizer, 32) The Event shall provide 2A: 10EC fire extinguishers mounted throughout in addition to the specific ones required. I his can be accomplished by placing there at a 75 feet navel distance layout around the event. Contact the fire department for additional information if needed. 33) Where are the food trucks being placed? 34) Will there be any other cooking? 35) There shall be trained Crowd Managers or crowd manager/supervisors at a ratio of one crowd manager/supervisors tor every 250 occupants, as approved in addition to the security. 35) Where are :emu planning on parking the vehicles not allowed at Pepper Park with possibly 1250 vehicles in attendance? This should be part of the traffic/parking plan. 443 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 444 The following page(s) contain the backup material for Agenda Item: Report to the City Council of the City of National City from the appointed Proposition D Independent Evaluation Committee containing a recommendation regarding the City of National City District Transactions and Use Tax, pursuant to the provisions of Sect 444 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO.: ITEM TITLE: Report to the City Council of the City of National City from the appointed Proposition "D" Independent Evaluation Committee containing a recommendation regarding the City of National City District Transactions and Use Tax, pursuant to the provisions of Section 4.160.180 of the City of National City Municipal Code. PREPARED BY: Mark Roberts, Director of Finance PHONE: 619-336-4330 EXPLANATION: See attached explanation. DEPARTMENT: Finance APPROVED BY: a�� FINANCIAL STATEMENT: ACCOUNT NO. NA APPROVED: 7,/ QFINANCE APPROVED: MIS ENVIRONMENTAL REVIEW: This is not a project and, therefore, not subject to environmental review. ORDINANCE: INTRODUCTION FINAL ADOPTION STAFF RECOMMENDATION: Accept and file the report. BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: Proposition "D" Independent Evaluation Committee Report 445 of 525 Attachment Report to the City Council of the City of National City from the appointed Proposition "D" Independent Evaluation Committee containing a recommendation regarding the City of National City District Transactions and Use Tax, pursuant to the provisions of Section 4.160.180 of the City of National City Municipal Code. October 3, 2017 Explanation In June 2006, the voters of the City of National City approved a one percent district transactions and use tax. The tax was conditioned on two things: it would sunset after ten years; and, every five years, an independent committee comprising three experts in financial matters would "report their(sic) recommendations to the mayor and city council as to whether the transaction and use tax should remain in effect at the rate of one percent, or whether the city council should reduce the rate of tax or terminate the imposition of the tax." The first independent committee convened on September 22, 2011. After a series of meetings, the committee delivered its report to the City Council on November 10, 2011, recommending the tax remain in effect at the full rate of one percent. The committee presented its findings and recommendation at the regular City Council meeting of November 15, 2011. In November 2014, the voters of National City approved the extension of the transactions and use tax at the rate of one percent for an additional twenty years with the same independent review provisions. The second independent committee, consisting of Haney Hong of the San Diego Taxpayers Association, Ray Major of the San Diego Association of Governments, and Sarah Waller -Bullock from the City of La Mesa, with Ms Waller -Bullock serving as the committee chair, held a series of open meetings, which began January 25, 2017 and concluded July 20, 2017. Having received various presentations from City staff and conducted an extensive review of the City's financial records, the committee now brings forward its report and recommendations, pursuant to the voter -approved ballot initiatives and Section 4.160.180 of the City of National City Municipal Code. 446 of 525 CALIFORNIA AT1 0 NAL citify acAv _! IlV�R 011, AT To: City Council of the City of National City From: Proposition "D" Independent Evaluation Committee Date: October 3, 2017 Re: Report and Recommendations on Proposition "D" Facts & Background 2006 — Proposition "D" Tax Measure passed by voters On June 6, 2006, National City voters passed Proposition "D," a one percent transactions & use tax ("transactions & use tax") measure that imposed a transactions tax for up to ten years to fund City services, facilities, and programs. Proposition "D" requires that "every five years, the Mayor, with approval of the City Council, shall appoint an independent committee comprised of three experts in financial matters, who will report their(sic) recommendations to the Mayor and City Council as to whether the transaction and use tax should remain in effect at the rate of one percent, or whether the City Council should reduce the rate of tax or terminate the imposition of the tax." 2011 — Recommendation of the Proposition "D" Independent Evaluation Committee In 2011, the first Proposition "D" Independent Evaluation Committee ("Committee") was formed and asked to evaluate and offer a recommendation to the Mayor and City Council pursuant to the covenants of the tax measure. Based on the economic environment at the time and revenue and expenditure projections, the Committee recommended that the transactions & use tax be continued at the current rate. 2014 — Continuation of the Proposition "D" Tax passed by voters In 2014, with the expiration of the original transactions & use tax on the horizon and the impacts of economic events outside the control of the City, including the global recession and financial crisis, the dissolution of Redevelopment, and the continued take-aways by the State of California further straining the City's already tight budget, the City Council approved to place the Continuation of City Services Funding Measure on the November 2014 ballot. Voters approved this measure on November 4, 2014. The Continuation Measure kept intact the provision that an independent committee be appointed to make recommendations about the tax rate. 447 of 525 2016 — The 2016 Proposition "D" Independent Evaluation Committee The 2016 Proposition "D" Independent Evaluation Committee began its work on January 25, 2017. At its initial meeting, the Committee received a presentation from City Manager Leslie Deese. Ms. Deese reviewed the financial strategies the City has implemented in order to overcome the structural deficit faced by the City during the previous five years. Ms. Deese also discussed the impact on the City's ability to provide services should the tax measure be discontinued. Over the next several months, the Committee received presentations from City staff covering various topics including: • revenue and expenditure trends and five year forecast; • productivity and workload statistics; • ten-year history of budgeted positions for the General Fund and all City funds, including FTEs per 1,000 population; • City Council Reserve Policy and reserve amounts and history for General Fund and all City funds; • overview of City's pension plan, including benefit formulas, Employer Paid Member Contribution (EPMC) amounts, demographics of miscellaneous and safety plans, and options for paying down the City's unfunded liability; • asset management overview of the current Capital Improvement Program, including infrastructure, facilities, and vehicle fleet; • economic development presentation of the City's developing vision for the future of its downtown, waterfront, and residential areas and the balance between growth and expanding need for City services; • financial five-year outlook with and without transactions & use tax revenues, including potential impacts on operating budgets, staffing reductions, and reserve balances; and • presentation by Mayor Ron Morrison on his vision for National City's future, including diversifying revenue sources while building up the local business base. Financial Background and Analysis Based on information found in the City's financial reports and provided to the Committee by City staff, transactions & use tax revenues have helped provide the City's General Fund with a surplus in each of the fiscal years from 2013 through 2016. Beginning in fiscal year 2017 and for the foreseeable future, budgeted expenditures are expected to exceed revenues, creating a budget deficit each National City Revenues/Transfers In and Expendltures/Transfers Out Excludes One-time Revenues 2013 (actual) through 2022 (projected) I 1111 ltI).&9 2I W.d _.. at1,.*j IOM.M�.I bM7b. S MUWei ln4p*dS bolonkes 2OQtp.ke.0 lttl p*.tS 448 of 525 fiscal year. Revenues received from the transactions & use tax help mitigate the budget deficit, but do not fix it. National City has also worked hard to contain salary and benefit costs by freezing vacant positions and eliminating positions beginning in fiscal year 2012. In addition, National City implemented pension reform measures to help offset rising costs. These measures included fully eliminating Employer Paid Member Contributions, negotiating lower retirement formula tiers for some employees, National City Full -Time Equivalent Budgeted positions Fiscal Year 2008 through 2022 (projected) 2S0 ■11111 I■1■■■ 111111 111 2008 2039 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 ■General Fond ■All Other Funds and implementing the State -mandated pension reform measures in 2013. Despite these measures, pension costs continue to escalate and are expected to be a major factor in the future increasing costs. Forward -looking Components and the Challenges the Committee Had with Them Looking Ahead — National City Plans and Challenges As the oversight committee's charter is to recommend prospectively whether the transactions & use tax should continue at the same rate, a lower rate, or not at all, the Committee requested presentations on National City's plans for the future and discussions on what challenges National City may face. While certainly a contribution to trend analysis, past performance alone by the City with transactions & use tax funds only looks backwards, and the Committee felt strongly the need to look forward. The Committee received the following future -looking presentations, and the Committee concluded that National City lacks a cohesive vision and strategy for its future. The lack of a strategy makes impossible the creation of a holistic plan to get beyond the structural deficit in the National City budget that the transactions & use tax was intended to address. Presentation by Mayor Ron Morrison Mayor Morrison presented a compelling and thoughtful perspective on National City's future, but he immediately caveated that he spoke only for himself and not the City Council as a whole. Regardless of the substance of his vision and however compelling it may have been, the Committee notes that it is important for elected leadership —not just the Mayor, but the entire Council —to curate a conversation with National City residents to determine what the City wants to become and what it would take to create that vision. The Committee does not dispute that this would be a challenging endeavor, but it is the very type of adaptive problem, as defined by Harvard's Ron Heifetz and Marty Linsky, that demands leadership. 3 449 of 525 Presentation by the Economic Development Department The Housing & Economic Development Department presented plans on the future of National City's downtown and an exciting video that visualizes what the community could look like. Again, however, the Committee notes that the plan is an isolated plan, not placed within the context of a larger vision or strategy. The Committee could not conclude whether this plan aligned with the earlier Downtown Specific Plan, referenced by Mayor Morrison in his presentation, and the Committee also notes that even if fully realized, the impact to property tax and sales tax revenue would fall markedly short in closing the structural deficit faced by National City. Presentation on Coordination with the Port of San Diego City staff presented the latest activity related to the tidelands within National City's boundaries that are managed by the Port of San Diego, and the Committee notes that the City staff's goals, even if achieved, would be only minimal and very incremental in addressing the structural deficit. Recommendation to Continue the City of National City's District Transactions & Use Tax at the Current Rate of One Percent, with Dissenting Opinion Why the Committee Voted for Continuance The Committee carefully evaluated National City's financial situation and looked at both the costs associated with running the City and the revenues available for the City from all sources, including the transactions & use tax, to provide those services. The fundamental cause of the General Fund deficit stems from three factors: increased costs to provide basic services paid for through the General Fund, anemic to no growth in real dollar terms in sales tax revenue since the Great Recession, and reductions in revenue from the State of California. When a city's general fund is out of balance, only three choices exist: 1) revenues can be increased; 2) expenditures can be reduced; or 3) a combination of the two. National City has focused on, and continues to manage, expenditures. Revenue enhancement is extremely difficult, and there is no plan in place that would significantly increase revenues in the near term, or even in the foreseeable future. Revenue growth resulting from improved economic conditions occurs slowly and will not supplant the need for the transactions & use tax, and the economic development programs presented to the Independent Evaluation Committee have not convinced the Committee that any real revenue enhancements will occur from the plan as outlined. Despite the rising costs to provide services, and less -than -needed increases in revenues, the Committee found that the City staff have fulfilled their duty of being good stewards of the public's funds, that monies available to the City are spent on necessary support services and for 4 450 of 525 the public good, and that costs are minimized and vacant positions are not filled to contain spending. Even with these fiscally conservative efforts, the Committee found that eliminating the transactions & use tax at this time would be detrimental to the financial health of the City and negatively impact the residents and businesses residing in National City. It is for these reasons, it is the recommendation of the Proposition "D" Independent Evaluation Committee that the Mayor and City Council keep the transactions & use tax in effect at the full rate of one percent. Dissenting Opinion (Committee Member Hong) The Committee's vote to recommend the maintenance of the transactions & use tax at the same rate of 1% was not unanimous with the following reasoning for the dissenting opinion. The recommendation is that —until the elected leadership of National City develop and lead with a cohesive strategy for National City's future —the citizens of National City should not have to pay this additional tax. This opinion notes that National City is, relative to other cities in the region, low income, and there is a fear that the continuance of the transactions & use tax without a meaningful plan to correct the structural deficit merely perpetuates the challenges faced by the City and prolongs the likely life of the transactions & use tax. The City staff are not equipped by the City's elected leadership to make progress against a meaningful plan to correct the structural deficit that the transactions & use tax is intended to correct. As a matter of public administration, the absence of performative goals is quite alarming. But to be clear, this is a leadership challenge and not a staff failure. The staff report to legitimately elected officials who are responsible for laying out the goals against which staff need to perform. As noted in the section on looking ahead, developing goals as a body of elected officials is certainly challenging, but that is a duty squarely in the realm of elective leadership. It is a matter of record that City staff have engaged in numerous activities to cut costs and improve efficiencies in the operations of National City. Indeed, this was reflected in the presentations, as well as the report of the predecessor oversight committee. This opinion does not dispute this finding and assesses that City staff continue these efforts to operate efficiently. Cost cutting alone, however, is far from sufficient in addressing the structural deficit faced by National City, and the plans for the future are too piecemeal and —even if realized perfectly — wholly inadequate in addressing the structural deficit. For example, the presenters lauded the establishment of an In-n-Out restaurant immediately adjacent the I-5 freeway and described the additional sales tax revenue, as a result. Notably, however, there is insufficient zoned land to replicate such successful establishments to create scale or substantive impact against the structural deficit. This is not to say that the author of this dissenting opinion would naively believe a single type of economic activity should address the structural deficit, but, rather, that activity should all be placed in the context of performative goals and an overarching strategy. Because of the constraints faced by the City, elected leadership have a responsibility to engage constituents to make value judgments and hard calls. There are too many mutually exclusive and zero -sum decision points that need to be made to address the structural deficit. 451 of 525 Essentially, the elected leadership of National City must choose one of two pathways: either engage the constituency and make the necessary —and hard —choices needed to generate sustainable revenue to eliminate the transactions & use tax or tell constituents that the transactions & use tax will continue in perpetuity because the hard choices cannot be made. Additional Recommendations • The Committee unanimously concurs with the recommendation of the dissenting member that the elected leadership of the City must choose one of two pathways: either engage the constituency and make the necessary —and hard —choices needed to generate sustainable revenue to eliminate the transactions & use tax or tell constituents that the structural deficit may continue, potentially necessitating a continuance of the transactions & use tax beyond its planned sunset. o To assist the elected leadership in understanding what potential choices may need to be made, several economic scenarios could be developed to determine possible revenue outcomes. For instance, a best -case economic scenario would inform a public dialogue on what would need to be achieved in order to close the structural deficit. • The structure of the next Proposition "D" Independent Evaluation Committee should consist, at least, of five members in order to facilitate offline working groups and more robust dialogue without violating the Brown Act. The Committee further recommends that the next committee have participation from at least one resident of National City and a representative from the business community of National City. • The presentations provided to the next committee should be ordered such that the financial performance presentations are placed in the context of vision and strategy for the City. More specifically, the future Committee's work would be enhanced if the order of presentations goes as such: o vision and strategy by the Mayor and City Council; o the long-term economic strategy intended to achieve said vision; o the financial projections needed to achieve that long-term economic strategy; and o the historic financial performance of the City. • With respect to the long-term economic strategy above, the next Committee should note the following: o whether it is consistent with the adopted General Plan; o whether it adequately projects five, ten, and fifteen years out; o whether it resolves the structural deficit that the temporary nature of the transactions & use tax was intended to resolve. • The next committee should be convened as soon as possible after the cohesive development of vision and strategy with associated long-term economic strategy and financial projections and, preferably, sooner than the five-year point, to make a prospective recommendation for the transactions & use tax. This committee's recommendation to continue the one percent rate was predicated on historic performance, but there is no empirical evidence to suggest that the structural gap is closing. 452 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 453 The following page(s) contain the backup material for Agenda Item: Report on Sewer Rate Study and proposed rate increases. (Engineering/Public Works) **Companion Item #3** 453 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Report on Sewer Rate Study and proposed rate increases PREPARED BY: Kuna Muthusamy, Assistant Director PHONE: 619-336-4383 EXPLANATION: See attached background report and Sewer Rate Study. DEPARTMENT: Engineering/Public Works APPROVED BY: FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: NIA ORDINANCE: INTRODUCTION: n FINAL ADOPTION: APPROVED: Finance APPROVED: MIS STAFF RECOMMENDATION: 1. Accept and file background report and Sewer Rate Study. 2. Direct staff to mail out Notice of Public Hearing per Proposition 218 requirements. BOARD 1 COMMISSION RECOMMENDATION: N/A ATTACHMENTS: Background Report 2. Sewer Rate Study 3. Notice of Public Hearing 454 of 525 Background Report National City provides wastewater service to approximately 17,000 customers within the incorporated area of the City of National City. It owns and operates approximately 100 miles of pipeline, 2,000 manholes, and 2 lift stations/force mains. The City is responsible for collecting and conveying wastewater flows originating within the City to the City of San Diego's Point Loma Treatment Plant for treatment and disposal. The City's primary goals are operating the sewerage system safely and efficiently while meeting the needs of their customers. To meet these goals, the City undertakes routine leaning, inspections, and repairs and rehabilitates its facilities as needed. The wastewater system operates in an area subject to strict regulatory oversight by Federal and State agencies such as the U.S. Environmental Protection Agency (USEPA) and the California State Water Resources Control Board (SWRCB). The City must comply with a multitude of laws including, but not limited to, State Wastewater Discharge Requirements (WDRs). Complying with these regulations and resulting mandates contributes to a large share of the cost burden on the City's system. The City of National City is one of thirteen participating agencies (PAs) who send their wastewater to the City of San Diego Metropolitan Sewage Treatment System (Metro) for treatment and disposal. Along with the other PA's, the City entered into the Regional Disposal Agreement with San Diego in 1998. Due to positive financial negotiations with San Diego since that time and especially the establishment of the "Administrative Protocol on Allocation of Operating Reserves and Debt Service Coverage" during FY2010the City has enjoyed stable annual billings for the last 8 years from the City of San Diego. However, in 2015 the City of San Diego initiated a multi -billion dollar public works project entitled the Pure Water Program which will provide the double benefit of "secondary equivalency' to San Diego's wastewater customers including National City as well as a significant new potable water supply for the City of San Diego. In September 2016, the City of San Diego provided the PAs with a range of annual costs from FY 2016 through FY 2022 for Phase I of the Pure Water Program. These annual cost increases began with FY 2018 (current fiscal year) and are the basis for establishing the San Diego portion of the revenue requirement developed by this Study. The City of National City customers enjoy some of the lowest sewer service charges in the Metro System. The City last adjusted sewer service charges through a 2003 Rate Study and rates were last increased in FY 2006. FY 2018 charge is 38% lower than the average Metro PA rate of $50.82 per month. However, the City's increased internal CIP requirements and the costs associated with the Pure Water Program require that the City adjust their sewer rates for the next five years at an average of 9.8% per year. The City's sewer utility was evaluated on a "stand-alone" basis. That is, no subsidies between the utility or other City funds occur. By viewing the utility on a stand-alone basis, the need to 455 of 525 adequately fund both operations and maintenance (O&M) and capital infrastructure (CIP) must be balanced against the rate impacts on utility customers. A comprehensive process was used to review the City's rates and projected expenses. Background information on capital needs was available through the CIP Needs Assessment, which was presented at the City Council Meeting of February 28, 2017. The revenue requirement analysis revealed that several significant financial changes have occurred since the City's 2003 rate study and subsequently adopted sewer user rates. The significant changes are: 1. The Wastewater Master Plan contains an annual capital requirement of $2 million for capital projects for the next 9 years. 2. The planning phase of the City of San Diego's Pure Water Program have begun and during FYE 2018 to FYE 2023 additional Metro costs are anticipated for Phase 1 of this program. City of San Diego staff has identified the increased funding level for the participating agencies from the 2010 adopted Protocol level of $65 million to $128 million per year over the next four -years. The City's portion of this budget is currently 7.4%. National City's increased funding level for the Pure Water Program is included in this rate case. The largest component of the City of National City's revenue requirement is the costs associated with transportation, treatment and disposal of the City's wastewater by the Metro facilities. A summary of the projected City collection system O&M, CIP and Metro expenses, compared to current and proposed sewer rates, are included in the City's rate case and summarized in the charts below. 456 of 525 20,000,000 15,000,000 10,000,000 5,000,000 0 -5,000,000 -10,000,000 18,000,000 16,000,000 14,000,000 12,000,000 10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 0 Sewer Service Fund Revenue Projections vs Expenses Without Rate Increases (FY 2018 - FY 2023) FY18 FY19 FY20 FY21 Sewage Transport and Treatment (MWWD) National City sewer CIP Sewer Fund Balance (without rate increases} National City Maintenance & Operations - - Projected Revenues (without rate increases) Sewer Service Fund Revenue Projections vs Expenses With Rate Increases (FY 2018 - FY 2023) FY18 FY19 FY20 Sewage Transport and Treatment (MWWD) National City Sewer CIP Sewer Fund Balance (with rate increases) FY21 FY22 FY23 National City Maintenance & Operations Projected Revenues (with rate increases) 457 of 525 Based on cost of service and projected revenue requirements, the City proposes new sewer service charges. The following table shows the proposed sewer charges for FY 2019 through FY 2023 and compares them to existing charges: User Class Current 2019 2020 2021 2022 2023 Residential: $ Per Month Single Family $ 32.08 $ 35.23 $ 38.68 $ 42.47 $ 46.61 $ 51.18 Multi-family/Condo $ 25.00 $ 27.48 $ 30.17 $ 33.13 $ 36.36 $ 39.92 Mobile Homes $ 19.50 $ 21.49 $ 23.60 $ 25.91 $ 28.43 $ 31.22 Non -Residential: $ Per HCF Commercial - Low $ 3.03 $ 3.61 $ 3.97 $ 4.35 $ 4.78 $ 5.25 Commercial - Medium Low $ 3.12 $ 3.89 $ 4.33 $ 4.73 $ 5.13 $ 5.66 Commercial - Medium $ 4.09 $ 4.69 $ 5.37 $ 5.76 $ 6.13 $ 6.80 Commercial - Medium High $ 4.90 $ 5.48 $ 6.40 $ 6.80 $ 7.12 $ 7.95 Commercial - High $ 6,12 $ 6.82 $ 8.14 $ 8.55 $ 8.79 $ 9.88 The City should also establish a definitive reserve policy to protect the financial integrity of our sewer enterprise fund. City staff proposes a reserve policy that meets industry standard guidelines in establishing formai reserve policies as well as the City's needs for financial stability and potential exposures to external forces which could require unplanned O&M or capital expenditures. The establishment of this reserve has been integrated into the projected revenue requirements for the rate case. The following chart presents a financial picture of the Sewer Enterprise Fund over the next five fiscal years based on the inclusion of proposed sewer rate increases (revenues), total expenses, and operational and capital reserves. Sewer Service Fund with Establishment of Reserves With Rate Increases (FY 2018 FY 2023) 15,000,000 10,000,000 5,000,000 0 (5,000,000) Projected Revenues (with rate increases) Recommended Reserves Use / Replacement of Reserves FY2i FY22 FY23 Total Expenses Sewer Fund Balance (after establishment of reserves) 458 of 525 Long Range Financial Plan: Establishment & Use of Reserves Table I S Total Revenue S 6,557,939.32 $ 7,221,478.71 1 5 2,696,605.30 $ 9 52:,164.334 $10,409,365.16 5 11,443,792.61 12 TotaaCxi:strsswK 5 7,473,745.71 5 10,221,472.71 5 12,671,605-3D 511,866,1134.34 $ 9,794,369.16 $ 10,145,792_61 13Fur..dBaisnte Prior toReserves 515,014,450.61 $11,674,454.61 $ 8,699,450,61 66,354,450,61 68,969,450.61 52264,460.61 :.a .a11.6:A'::L';.li ai.^.: 1 ii S 3,7&S,117 .5.5 0 11C..M3?55 5 5,S5S 54 53 $ 4$33,95217 $ 3,697,129,58 $ 4,074,395.31 19 :Mato FicAv .5 4409,909.10 5 4,40900100 5 4,400,1109:a $ 4,400,990SiO : $ 4,400,993.93 5 4,409,008.CD 17 E iersenty.f a4 l3iszstar 5 1245;624.55 $ 1,370,249 45 $ 1,77960155- 5 1,644,364.. , 3 1,259,051.53 5 1,358,132 10 13 Capita; _xp5 •s3rat Esu rve 5 1,00D,000:33 $ imuowar, $ 1,909,090 03 5 1,090,000 0� 3 1;003,099.00 $ 1,090,990 Oa 14 Capita' Rep ar.enie Reserve S 1. 090,990.93 3 1,399 i,D0.00 3 1,009,000.00 $ 1,053,0nor.1 $ 1.000,E O.09 $ .„090,199,99 29 Total Rr:.rtrnnsendad Ras8*vas 5 11,362,45911 $ 11,35 935 81, S 12,514,405.20 , $12,977,45 23 51:,595,Z e.541 5 11,83.2,528.41 21 Fund Balance Over/{UndejrTercet 5 3,631,950.60 $ 793,464.20 $ {4,814,955.59) 5 {6,623,005.62 5 (4,626,795.50} $ (3,568,077,80) 22 ;i.isel; kc:itternan of Rase ^as $ y92.5,E1C:39; 9 :2,94o,;,CD, ri 5 1%975,9013.00 $4:S43,C00 0 ) $ 0194C .03 $ 1,221,930.09 1 J Footnote: (Use)/Replacement of Reserves — A negative value indicates use of reserves required to offset total expenses. A positive value indicates replenishment of reserves based on revenues exceeding expenses. The following chart represents a monthly sewer rate comparison for PA's before and after the FY 2019 proposed rate increase. With the rate increase for FY 2019, National City would still have the lowest sewer rate among all cities in San Diego County. SOO $ao $70 $09 SSD $30 $20 $10 1. Monthly Sewer Rate Comparison for Participating Agencies in San Diego Metro System Based on 7 units of water and Aid inch Residential meter size for sewer billings established by January 2018 Flat Sewer Rate Water ConcunptIon Based Sewer Rate National City Rate 1110 zu, d., 4pe 41> .&N 459 of 525 City of National City Sewer Rate Study September 2017 Submitted To: City of National City 1243 National City Boulevard National City, CA 91950-4301 Submitted By: NV5 15092 Avenue of Science, Suite 200 San Diego, CA 92128 858.385.0500 460 of 525 City of National City Sewer Rate Study September 2017 Prepared for City of National City 1243 National City. Bo cle.va.til National City, CA 91950-4301 Prepared by: NV5, Inc. 15092 Avenue of Science, Suite 200 San Diego, CA 92128 85 8.385.0500 461 of 525 Contents 1.0 Executive Summary 3 1.1 Findings..............................................................................................................................................4 1.2 Recommendations 5 2.0 Introduction 11 2.1 Background: City of National City...............................................................................................11 2.2 Background: City of San Diego Metropolitan Sewage Treatment System .............................12 2.3 Rate Study Summary............................................................................................13 3.0 Wastewater Rate Study.......................................................................................................................14 3.1 Overview of the Sewer Service Charge Update Process...........................................................14 Tables Table 1-1— Sewer Enterprise Fund Long Range Plan without Revenue Adjustments (Status Quo) .. 4 Table 1-2 — Recommended Annual Revenue Adjusttnent.......................................................................... 5 Table 1-3 - Sewer Enterprise Fund Long Range Plan with Recommended Revenue Adjustments 6 Table 1-4: Recommended Annual Sewer Service Charges7 Table 2-1 Summary of Low and High Metro Cost Projections...............................................................12 Table 3-1: City of National City Revenue Requirements..........................................................................15 Table 3-2: City of National City Long Range F n n i.1 lan....................................................................18 Table 3-3: Summary of Current Users and .Estimated Sewer. Flow.........................................................19 Table 3-4: Comparison of Current Versus Proposed Sewer User Rates ................................................. 20 Figures Figure 1-1 Metro Member Agencies Sewer Rates Comparison................................................................. 8 Figure 2-1 Sewer Rate Comparison. for Participating Agencies in San Diego Metro System..............13 Figure 3-1 Overview of the Comprehensive Rate Study Analysis...........................................................14 Figure 3-2 Major Cost Components of City of National City's FY 2019 Revenue Requirements .....16 Figure 3-3 Components of FY 2019 Single Family Monthly Rate..........................20 City of National City — Sewer Rate Study 2017 462 of 525 NV5 Figure 3-4 Metro Member Agencies Sewer Rate Comparison.................................................................21 Appendices Appendix A — Wastewater Rate Study Abbreviations AWWA American Water Works Association BMP Best Management Practices as Prescribed by the State of California BOD Biochemical Oxygen Demand — A Measure of Sewage Strength CIP Capital Improvement Program or Plan EDU Equivalent Dwelling Unit ENR-CCI Engineering News Record Construction Cost Index FY Fiscal Year Ending June 30 GPD Gallons per Day HCF Hundred Cubic Feet Metro City of San Diego Metropolitan Wastewater System mg/l Milligrams per Liter O&M Operations and Maintenance PA Participating Agency in the San Diego Metro System TSS Total Suspended Solids — A Measure of Sewage Strength US EPA U.S. Environmental Protection Agency City of National City — Sewer Rate Study 2017 463 of 525 NV5 1.0 Executive Summary This report was prepared for the City of National City (City) to document the development of a wastewater multi -year financial plan, cost of service analysis, and rate design for the City (rate case). The specific goals of the study were to: ▪ Evaluate the adequacy of projected revenues under existing sewer service charges to meet projected revenue requirements; • Develop a wastewater cost of service and rate model for the City covering a five-year study (Fiscal Year 2019 through Fiscal Year 2023) period for both ongoing operations and planned capital improvements; Allocate the projected fiscal years revenue requirements to the various customer classes in accordance with the proportionate share of their wastewater contributions; Develop a five-year sewer service charge program that produces revenues adequate to meet financial needs of the City for both their required funding of the City of San Diego's Pure Water Program and the City's operations and capital needs, while recognizing customer costs of service, and local and state legal and policy considerations such as California Constitution Articles XIII C and D (Proposition 218), and Proposition 26; and • Recommend appropriate reserve levels for operations and capital needs. City of National City — Sewer Rate Study 2017 3 464 of 525 NV5 1 a1 Findings During the course of our analysis in relation to the specific goals of the study we made the following ftnclings: 1. The City of National City last adjusted the sewer service charges in FY 2006. 2. Wastewater service charge revenues at current levels will not be sufficient over the next five years to meet the increasing cost of City operating and capital expenses without negatively affecting fund balance levels'. In the absence of annual rate adjustments, projections show that the City would deplete the Net Fund Balance during FY 2022. Line 23 on Table 1-1 on the next page illustrates the projected financial picture without recommended sewer service charge adjustments, and shows that the City's Fund Balance falls below recommended operating reserve target levels by FY 2019 and falls into a negative cash position by FY 2022. 1 The term "fund balance" refers to the remaining amounts available after short-term liabilities (monies owed) are paid off with the agency's available cash and other financial resources (such as receivables). The fund balance includes reserved and unreserved components. For the purposes of this Study, this term refers to "available cash excluding reserved monies" and the term "fund" refers to either the Operating or Capital account in which these monies reside. Table 1-1— Sewer Enterprise Fund Long Range Plan without Revenue Adjustments (Status Quo) FYE 2018 FYE 2019 FYE 2020 FYE 2021 FYE 2022 FYE 2023 1 Beginning Balance $15,530,261.00 $ 15,014,450.61 $ 11,760,911.22 $ 6,037,2441.24 $ 1,128,996.22 $ (1,707,433-63) 2 Revenue: 3 Non -Operating Revenue $ 15,090.00 $ 15,000.00 $ 16,000.00 $ 15;000.00 $ 15,000.00 $ 15,000.00 4 User Fees $ 6,942,939.32 $ 6,942,939.32 $ 6,942,939.32 $ 8,942,939-32 $ 6;942,939.32 $ 6,942,939.32 6 Tcte!Re'.'n ue $ 6,957,939.32 $ 5,957,932.32 $ 2,957,030.32 $ 6,257,232.32 $ E,957,939.32 $ 0,957,939,324 6 Operations Expenses: 7 Collection System Maintenance $ 1,235,415.00 $ 2,015,522.43 $ 2,099,213.62 $ 2,184,253.96 $ 2,263,206.29 $ 2,341,467.45 8 Metro and JPA costs- Low Projection $ 5,53E1334.71 $ 6,205,952.28 $ 8,572;395.88 ,8 7.281;230.38 $ 5,531,1R2.87 $ 5,807,325.16 9 10 Total Operations Expense! $ 7,473,742.71 $ 8,221,478.71 $ 19,671,609.30 $ 9,666,164.34 $ 7,794,36E1.16 $ 8,148,-,m2.61 11 12 Capital tmprovernent Program: 13 Collection System GIP $ - $ 2,000,000.00 $ 2,000,000.00 $ 2,000,000-00 $ 2,000,000.00 $ 2,000,000.0D 14 Total &penses $ 7,473,749.71 $ 10,221,478.71 $ 12,871,609.30 $ 11,888,184.34 $ 9,794,369.16 $ 10, 148,792.61 15 Fund Balance Prior to Reserves 6 16,014,466.61 $11,750,911.22 $ 6,037,241.24 $ 1,128,996.22 $ (1,707,433.631 $ (4,898,286.92) 16 Reserve Targets: 17 Operations/Cash Flow $ 3,736,874.86 $ 4,110,739.36 $ 5,335,804.65 $ 4,933,092.17 $ 3,891,184.58 $ 4,074,396.31 18 Metro Cash Flow $ 4,400,060.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 19 EmergencylNat Disaster $ 1,245,624.85 $ 1,370,246.45 $ 1,778,601.55 $ 1,644,364.06 $ 1,299,081.53 $ 1,358,132.10 20 Capital Expanaion Reserve $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 21 Capital Replacement Reserve $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,090.00 $ 1000000.00 $ 1,000,000.0D 22 Total Recommended Reserves $ 11,382,499.81 3 11,830,985.81 5 13,514,406.2D $ 12,977,456.23 $ 11,596,248.11 $ 11,832,528.41 23 Fund Balance Over/Under) $ 3,631,950.80 $ (130,074.59) $ (7,477,164.96) ${11,846,460.01) $(13,303,879.73) $ (16,730,815.32)I Reserve Target f 3. The City does not have a formal reserve policy for their operations or capital funds. City of National City — Sewer Rate Study 2017 N VS 465 of 525 4. The City does not have a mechanism to pass through wholesale treatment costs from the City of San Diego to customers should those costs rise beyond projections in the cost of service model, or beyond future year projections. 5. The City has an adequate system of sewer service charges to meet regulatory and industry standards, and their current rate schedule reflect the proper elements of a cost of service based rate structure. Thus we are not recommending any structural changes to the current system of charges. 1.2 Recommendations The following lists NV5, Inc.'s (NV5) recommendations to address the findings listed above: 1. Per the cost -of -service analysis contained within this report, NV5 recommends City wastewater service charges be adjusted to reflect current costs of providing sewer service to customers within the City_ This recommendation includes adjusting total revenue from rates by 9.8 percent per year beginning in FY 2018 and ending in FY 2023 as shown in Table 1-2. Table 1-2 — Recommended Annual Revenue Adjustment Fiscal Year FY2018 FY2019 FV2020 FY2021 FY2022 FY2023 Revenue Adjustment 9.8% 9.8% 9.8% - 9.8% 9.8% 9.8% Effective Month July July July July July July Based on the cost of service analysis, revenue adjustments per customer class will vary, however, in total, the City requires 9.8 percent more revenue from customer rates each year. Should the City approve these rate adjustments, the projected finanrial picture of the City should stabilize by FY 2022 as demonstrated in Table 1-3, Line 22. City of National City — Sewer Rate Study 2017 466 of 525 NV5 Table 1-3 - Sewer Enterprise Fund Long Range Plan with Recommended Revenue Adiustmen FYE 2018 FY6 2019 FYE 2020 FYE 2021 FYE 2022 FYE 2023 1 Beginning Balance $ 15,530,261.00 5 15,014,450.61 $ 12,674,450.61 $ 8,699,450.61 $ 6,354,450.51 $ 6,969,450.61 2 Revenue: 3 Non -Operating Revenue $ 15,000.00 $ 15,000.00 $ 15,000.00 $ 15,000.00 S 15,000.00 $ 15,000.00 4 User Fees $ 6,942,939.32 $ 7,866,478.71 $ 8,681,609.30 $ 9,505,184,34 $10,394,369.16 $ 11,428,792.61 5 Tote! Revenue $ 6,957,939.32 $ 7,881,478.71 $ 8,696,609.30 $ 9,521,184.34 $10,409,369,16 $ 11,443,792.61 6 Operations Expenses: 7 Collection System Maintenance $ 1,935,415.00 $ 2,015,522.43 $ 2,099,213.62 $ 2,184,253.96 $ 2,263,206.29 $ 2,341,467,45 8 Metro encl.PAcosts - Low Projection $ 5,538,334.71 $ 5,205,956.28 $ 8,572,395.68 $ 7,681,930.38 $ 5,531,162.87 $ 5,807,325.16 9 Total Operations Expenses $ 7,473,749.71 $ 8,221,478.71 $ 10,671,609.30 $ 9,866,184.34 $ 7,794,369.16 ' $ 8,146,792,61 10 Capital Improvement Program: 11 Collection System CIP $ - $ 2,000,000.00 $ 2,000,000.00 $ 2,000,000.00 $ 2,000,000.00 $ 2,000,000.00 12 Total Expenses $ 7,473,749.71 $ 10,221,478.71 $ 12,671,609.30 511,865,184,34 $ 9,794,369.16 $ 10,148,792.61 13 Fund Balance Prior to Reserves $15,014,450.61 $ 12,674,450.61 $ 8,699, 450.61 $ 6,354,450.61 $ 6,969,450.61 $ 8,264,450.61 14 Reserve Targets: 15 OperaticnsjCash Flow $ 3,735,874.86 $ 4,110,739.35 $ 5,335,804.65 $ 4,933,092.17 $ 3,897,184.58 $ 4,074,396.31 16 Metro Cash Flow $ 4,400,000.00 $ 4,40%000.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 17 Emergency/Nat. Disaster $ 1,245,624.95 $ 1,370,246,45 $ 1,778,601.55 $ 1,644,364.06 $ 1,299,061.53 $ 1,358,132.10 18 Capital Expansion Reserve $ 1,000,000.0D $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 19 Capital Replacement Reserve $ 1,000,000.00 $ 1,000,000.0D $ 1,000,000.00 $ 1,040,000.00 $ 1,000,000.00 $ 1,000,000.00 20 Total Recommended Reserves $ 11,382,499,81 $ 11,880,985.81 $ 13,514,406.20 $12,977,456.23 $11,596,246,11 $ 11,832,528.41 21 Fund Balance Over/(UndejrTarget $ 3,531,950,80 $ 793,464.80 $ (4,814,955.591 $ (6,623,005,62) $ (4,626,795,50) $ (3,568,077.801 22 (Use)/Replacement of Reserves $ (515,810.39j $ (2,340,0u0.00 $ (3,975,uuO.00) $(2,345,000.00) $ 615,000.00 $ 1,295,000.00 I City of National City — Sewer Rate Study 2017 467 of 525 N VS 2. Based on cost of service and projected revenue requirements the City should adopt the following sewer service charges. Table 1-4 shows the proposed sewer charges for FY 2019 through FY 2023 and compares them to existing charges. Table 1-4. Recommended Annual Sewer Service Charges User Class Current 2019 2020 2021 2022 2023 Residential: $ Per Month Single Family $ 32.08 $ 35.23 $ 38.68 $ 42.47 $ 46.61 $ 51.18 Multi-family/Condo $ 25.00 $ 27.48 $ 30.17 $ 33.13 $ 36.36 $ 39.92 Mobile Homes $ 19.50 $ 21.49 $ 23.60 $ 25.91 $ 28.43 $ 31.22 Non -Residential: $ Per HCF Commercial - Low $ 3.03 $ 3.61 $ 3.97 $ 4.35 $ 4.78 $ 5.25 Commercial - Medium Low $ 3.12 $ 3.89 $ 4.33 $ 4.73 $ 5.13 $ 5.66 Commercial - Medium $ 4.09 $ 4.69 $ 5.37 $ 5.76 $ 6.13 $ 6.80 Commercial - Medium High $ 4.90 $ 5.48 $ 6.40 $ 6.80 $ 7.12 $ 7.95 Commercial - High $ 6.12 $ 6.82 $ 8.14 $ 8.55 $ 8.79 $ 9.88 City of National City - Sewer Rate Study 2017 7 468 of 525 NV5 Figure 1-1 summarizes all San Diego Metro Member Agencies comparative sewer user rates based on 7 HCF of water usage/sewer flow and a residential monthly base fee. It should be noted that the rates shown are those effective July 1, 2017. The figure also includes the City's current monthly rate as well as the proposed FY 2019 rate of $35.23 per EDU per month. The City's first proposed rate adjustment will not begin until July 1, 2018. By that time the majority of these rates will be 5% to 10% higher as all agencies except San Diego either have adopted current rate cases or are in the process of updating their current rate cases to phase in the required Pure Water Program costs. Even with the proposed 5-year rate adjustments National City will still enjoy some of the lowest rates among the users of the San Diego Metro System. The proposed FY 2019 single family rate will be as low as 35.23 which is 37% lower than the existing (FY 2018) average Metro member agency rate of $50.82. $00 $80 $70 $60 $50 $40 $30 $20 $10 Figure 1-1 Metro Member Agencies Sewer Rates Comparison Monthly Sewer Rate Comparison for Participating Agencies in San Diego Metro System Based on 7 units of water and 3/4 inch Residential meter size for sewer billings established by January 2018 ce Fiat Sewer Rate Water Consumption Based Sewer Rate National City Rate 11 City of National City — Sewer Rate Study 2017 ,ke1Y - fr?U , d l NV5 469 of 525 3. The City should establish a definitive reserve policy to protect the financial integrity of their sewer enterprise fiend. The following operational and capital reserves are recommended: Operations/Cash Flow Reserve The operating reserve provides working capital for day-to-day operations and helps to absorb fluctuations in cash balances due to routine difference in revenue and expense cycles. The City of National City places their sewer service charges on the _ annual County of San Diego Property Tax Roll for cost effective and efficient collection of these charges. Therefore a 50% cash - flow reserve is recommended. Metro Cash Flow Reserve In 2015 San Diego provided the City with a draft financing plan for the Pure Water Program which established National City's non -debt funded portion of the program to be $4.4 million in estimated pay -go expenses. It is recommended that the City establish a Metro Cash Flow Reserve in this amount to be used to offset unplanned cost increases for this project Emergency/Natural Disaster Reserve Recent historic events such as Hurricanes Harvey & Irma have only emphasized the need for an agency to have additional monies set aside to pay for unforeseen events such a restoring service to flooded pump stations, etc. It is recommended that this reserve be established at a minimum of 60-days of operating cash. This would provide cash -flow until the City is able to secure outside funding and/or FEMA reimbursements. Capital Expansion and Replacement Reserves i The expansion and replacement reserve provides funding for replacement, repair, or rehabilitation of wastewater 1 infrastructure due to routine capital project planning or in the event of catastrophic failure of a major system asset. The City's 1 current master plan estimates these needs to be $2 million per year and thus we are recommending that the reserve be established at this level. City of National City — Sewer Rate Study 2017 470 of 525 4. l\'V5 recommends that the City provide a provision to give the City the ability to pass through City of San Diego wholesale transportation, treatment, and disposal costs to customers should those costs rise beyond projections in the cost of service model or beyond what the City notices to customers at time of rate implementation. This action would obviate the need for the City to conduct another Proposition 218 mailed 45-day notice and public hearing requirement. The authority to provide this provision is located in California Government Code Section 53756. Specifically, the Government Code reads as follows: An agency providing seater, wastewater, sewer, or refuse collection service may adopt a schedule of fees or charges authoriing automatic adjustments that pass through increases in wholesale charges for water, sewage treatment, or wastewater treatment or adjustments for inflation, if it complies with all of the following: (a) It adopts the schedule of fees or charges, for a proper0-related service for aperiod not to exceed five yearspursuant to Section 53755. (b) The schedule of fees or charges may include a schedule of adjustments, including a dearly defined formula for adjusting for inflation. Any inflation adjustment to a fee or charge for a property -related service shall not exceed the cost of providing that service. (c) The schedule of fees or charges for an agency that purchases wholesale water, sewage treatment, or wastewater treatment from a public ageng may provide for automatic adjrustmerrts that pass through the adopted increases or decreases in the wholesale charges for water, sewage treatment, or wastewater treatment established by the other agency. City of National City— Sewer Rate Study 2017 10 471 of 525 NV5 2.0 Introduction This study (Study) takes a long-range planning approach to establishing wastewater service charges and fees. A discussion of the long-range plan and recommended sewer charge and fee adjustments are included in the following section of this report. The analyses contained herein include operation and maintenance (O&M) costs, City of San Diego Metropolitan Wastewater Department (Metro) transportation, treatment and disposal costs, reserve levels, and identified capital improvement projects (CIP). To that end, the Study examines the revenues generated by the City and makes recommendations for revenue adjustments, as needed. The City retained l ,'V S in 2017 to update a wastewater cost of service study previously developed by PBS&J in FY 2003. Karyn Keese of The Keze Group, LLC, is the lead rate consultant for this Study and was the rate consultant from PBS&J who prepared the FY 2003 study which established the City's sewer user charges from FY 2003 to FY 2006. As stated earlier, the FY 2006 sewer service charges are still in effect today. For purposes of this report, the study period is the fiscal years beginning July 1, 2018 and ending June 30, 2023. Unless otherwise noted, references in this report to a specific year are for the City's fiscal year ending June 30_ To avoid confusion between calendar and fiscal years, the term FY refers to the year beginning July 1 and ending June 30. Presented herein are the results of a Study of the City's projected revenues, revenue requirements, cost of service, and rates for service. 2.1 Background: City of National City The City provides wastewater service to approximately 17,000 customers within the incorporated area of the City of National City. It owns and operates approxitnately 100 miles of pipeline, 2,000 Tfar+noles, and 2 IL -Ft stydons. The coillection, treatment, and disposal of wastewater in. an environmentally safe and efficient manner promote healthy coinmunities and increase the quality of life for local residents. The City is responsible for collecting and conveying wastewater flows originating within the City to the City of San Diego's Point Lorna Treatment Plant for treatment and disposal. The City's primary goals are operating the sewerage system safely and efficiently while meeting the needs of their customers. To meet these goals, the City undertakes routine cleaning, inspections, and repairs and rehabilitates its facilities as needed_ The wastewater system operates in an area subject to strict regulatory oversight by Federal and State agencies such as the U.S. Environmental Protection Agency (US EPA) and the California State Water Resources Control Board (SWRCB). The City must comply with a multitude of laws including, but not limited to, State Wastewater Discharge Requirements City of National City — Sewer Rate Study 2017 11 472 of 525 N VS (WDRs). Complying with these regulations and resulting mandates contributes to a large share of the cost burden on the City's system. The City completed a Wastewater Master Plan in 2011 which will be updated in the near future, this plan identified an average of $2 million per year in required rehabilitation and expansion projects for the next 9 years following the Plan. These annual projected capital improvement costs (CIP) are incorporated into this Study and form the basis for the City's annual capital requirements. 2.2 Background: City of San Diego Metropolitan Sewage Treatment System The City of National City is one of thirteen participating agencies (PAs) who send their wastewater to the City of San Diego Metropolitan Sewage Treatment System. (Metro) for treatment and disposal. Along with the other PAs the City entered into the Regional Disposal Agreement with San Diego in 1998. Due to positive financial negotiations with San Diego since that time and especially the establishment of the "Administrative Protocol on Allocation of Operating Reserves and Debt Service Coverage" during FY 2010 the City has enjoyed stable annual billings for the last 8 years from the City of San Diego. However, in 2015 the City of San Diego initiated a multi -billion dollar public works project entitled the Pure Water Program which will provide the double benefit of "secondary equivalency" to San Diego's wastewater customers including National City as well as a significant new potable water supply for the City of San Diego. In September 2016 the City of San Diego provided the PAs with a range of annual costs from FY 2016 through FY 2022 for Phase I of the Pure Water Program. These annual cost increases began with FY 2018 (current fiscal year) and are the basis for establishing the San Diego portion of thr. revenue requirement developed by this Study. in September 2016 the City of San Diego provided the PAs with a range of annual costs from FY 2016 through FY 2022 for Phase 1 of the Pure Water Program. These projections provided both a low and a high end -of -range. Table 2-1 below summaries the range of costs provided to National City which are recommended by San Diego to be used in establishing this rate case. After discussions with City staff NV5 is recommending that the Metro low cost numbers be used for this rate analysis, and that a pass -through resolution should be adopted should the costs exceed the Metro low projections. Table 2-1 Summary of Low and High Metro Cost Projections FY18 FY19 FY20 FY21 FY22 FY23 I Metro Low Treatment Costs $5,520,749 $8,187,843 $ 8,553,739 $7,652,714 $5,511,370 $5,786,939 Mato Transportation 8, JPA Costs $ 17,586 $ 18,113 $ 18,657 $ 19,218 $ 19,793 $ 20,387 Total Metro Low Costs $5,538,335 $6,205,956 $ 8,572,396 $7,681,930 $5,531,183 $5,807,325 Metro High Treatment Costs $6,101,880 $6,839,195 $10,264,486 $9,195,257 $6,613,645 $6,944,327 I Metro Transportation 8, JPA Costs $ 17,586 $ 18,113 $ 18,657 $ 19,216 $ 19,793 $ 20,387 Total Metro High Costs $6,119,466 $6,857,308 $10,283,143 $9,214,473 $6,633,438 $6,964,714 City of National City — Sewer Rate Study 2017 12 473 of 525 NY5 2 3 Rate Study Summary The City of National City customers enjoy some of the lowest sewer service charges in the Metro System as shown in Figure 2-1 and have for many years. The City last adjusted sewer service charges in FY 2006 and the FY 2018 charge is 38% lower than the average Metro PA rate of $50.82 per month. However, the City's increased internal CIP requirements and the costs associated with the Pure Water Program require that the City adjust their sewer rates for the next five years at an average of 9.8% per year_ $90 $90 $70 $60 UO $40 $30 $20 $10 Figure 2-1 Sewer Rate Comparison for Participating Agencies in San Diego Metro System Monthly Sewer Rate Comparison for Participating Agencies in San Diego Metro System Based on 7 units of water and 3f 4 inch Residential meter size for sewer billings established by January 2018 Flat Sewer Rate Water Consumption Based Sewer Rate c City of National City — Sewer Rate Study 2017 13 474 of 525 NV 5 3.0 Wastewater Rate Study 3.1 Overview of the Sewer Service Charge Update Process A comprehensive rate study typically utilifies three interrelated analyses to address the adequacy and equity of the utility's rates. These three analyses are a revenue requirement analysis, a cost of service analysis, and a rate design analysis. The process is illustrated in Figure 3 -1. Figure 3-1 Overview of the Comprehensive Rate Study Analysis Revenue Requirement Analysis Cost of Service Analysis Rate Design Analysis Compares the sources of funds (revenue) to the expenses of the utility to determine the overall rate adjustment required Allocates the revenue requirements to the various customer classes of service in a "fair and equitable manner Considers both the level and structure of the rate design to collect the target level of service The City's sewer utility was evaluated on a "stand-alone" basis. That is, no subsidies between the utility or other City funds occur. By viewing the utility on a stand-alone basis, the need to adequately fund both operations and maintenance (O&M) and capital infrastructure (C IP) must be balanced against the rate impacts on utility customers. A detailed and comprehensive process was used to review the City's rates. As a part of the rate study process a number of on -site project meeting and conference calls were used to review the results with City management, staff, and the City Council. From this process, final proposed rates were developed and their development is reviewed in this section of the report. Following is a summary of each step in the process. City of National City — Sewer Rate Study 2017 14 475 of 525 NVS Revenue Requirement Analysis The revenue requirement analysis revealed that several significant financial changes have occurred since the City's 2003 rate study and subsequently adopted sewer user rates. The significant changes are: m The 2011 Wastewater Master Plan contains an annual capital requirement of $2 million needed in capital projects for the next 9 years. These costs were not included in the City's FY 2018 adopted budget. The planning phase of the City of San Diego's Pure Water Program has begun and during FY 2018 to FY 2023 additional Metro costs are anticipated for Phase 1 of this program. City of San Diego staff has identified the increased funding level for the participating agencies from the 2010 adopted Protocol level of $65 million to $128 million per year over the next four -years. The City's portion of this budget is currently 7.4%. National City's increased funding level for the Pure Water Program is included in this rate case. The largest component of the City of National City's revenue requirement is the costs associated with transportation, treatment, and disposal of the City's wastewater by the Metro facilities. A summary of the projected City collection system O&M and CIP, plus San Diego Metro expenses to be included in the City's rate case, are included on Table 3-1. Table 3-1: City of National City Revenue Requirements FY19 FY20 FY21 FY22 FY23 Personnel Services $ 991,191 $ 1,044,152 $ 1,097,540 $1,143, 891 $ 1,188, 573 Maintenance & Operations $ 457,423 $ 471,146 $ 485,280 $ 499,838 $ 514,834 Metro Treatment & Transportation $ 6,205,956 $ 8,572,396 $ 7,681,930 $5,531,163 $ 5,807,325 Administrative $ 540,349 $ 556,560 $ 573,257 $ 590,454 $ 608,1681 Collection System CIP $ 2,026,560 $ 2,027,356 $ 2,028,177 $2,029,022 $ 2,029,893 $10, 221,479 $12, 671, 609 $11, 8666,184 $ 9,794, 369 $10,148,793 City of National City — Sewer Rate Study 2017 476 of 525 N VS Figure 3-2 shows the percentage of each of the major cost centers in the City's rate case. As noted the majority of all required revenue from rates (61%) will be paid directly to the City of San Diego. Figure 3-2 Major Cost Components of City of National City's FY 2019 Revenue Requirements 'Per=nelServices Akan tanance & Ogaatio s Metro Treatment at Transportation r Administrsttwe Catletabt SirsiQniCIP As a part of establishing the revenue requirement for the City's rate case City staff requested NV5 consultant's guidance in establishing a sound reserve policy to financially protect the City's sewer enterprise fund. At the end of FY 2017 (lune 30, 2017) the City's sewer enterprise fund showed a reserve cash fund balance of $15.5 million. NV5 consultants reviewed with City staff industry standard guidelines in establishing formal reserve policies as well as the City's needs for financial stability and potential exposures to external forces which could requite unplanned O&M or capital expenditures. After review of these guidelines and exposures the following formal reserve policy is recommended for the City consisting of three cash fiow reserves and two capital reserves. The establishment of this reserve policy has been integrated into the projected revenue requirements for the rate case. V y Operations/Cash Flow Reserve. The operating reserve provides working capital for -day-to-day operations and helps to absorb fluctuations in cash balances due to routine difference in revenue and expense cycles. The City of National City places their sewer service charges on the annual County of San Diego Property Tax Roll for cost effective and efficient collection of these charges. The City's fiscal year begins July 1 of each year and must fund their ongoing operations and capital budget requirements starting at that date. However, the City does not receive their first revenues from the tax roll until January of the following year and thus there is a lag of budget funding of six months. Therefore, a 50% cash flow reserve is recommended to allow for the orderly payment of the City's sewer enterprise fund's expenditures throughout the fiscal year City of National City — Sewer Rate Study 2017 16 477 of 525 NVS Metro Cash Flow Reserve: In 2015 the City of San Diego launched their Pure Water San Diego Program, a massive public works project, which introduces an additional risk of annual cost overruns to the City's required payments to San Diego for transportation, treatment, and disposal of wastewater collected from the City's customers. In 2015 San Diego provided the City with a draft financing plan for the entire program which established National City's non -debt funded portion of the program to be $4.4 million in estimated pay -go expenses. It is recommended that the City establish a Metro Cash Flow Reserve in this amount to be used to offset unplanned cost increases for this project. Emergency/Natural Disaster Reserve Recent historic events such as Hurricane Harvey have only emphasized the need for an agency to have additional monies set aside to pay for unforeseen events such a restoring service to flooded pump stations, etc. It is recommended that this reserve be established at a minimum of 60-days of operating cash, This would provide cash -flow until the City was able to secure outside funding and/or FEMA reimbursements. Capital Expansion and Replacement Reserves. As a. participating agency (PA) in the San Diego Metro System the City is required by State and US EPA regulations to maintain reserves that provide for the expansion and replacement of the City's collection system. The expansion and replacement reserve provides funding for replacement, repair, or rehabilitation of wastewater infrastructure due to routine capital project planning or in the event of catastrophic failure of a major system asset. The City's current master plan estimates these needs to be $2 million per year and thus we are recommending that the reserve be established at this level. The final step in determining the revenue requirement for the City's rate case was to overlay the projected expenditures for the next five years 'as summarized in Table 3-1 and the recommended reserve policy. Table 3-2 creates a long-range plan showing the use of reserves to moderate the annual rate adjustment to 9.8% per year stating in FY 2019 from FY 2018 through FY 2021. The use/replacement of the City's reserves is shown on Line 22. A detailed copy of the five-year revenue requirement is included in Appendix A to this report. City of National City — Sewer Rate Study 2017 17 478 of 525 NV5 Table 3-2: City of National City Long Range Financial Plan FYE 201E FYE 2019 FYE 2020 FYE 2021 i FYE 2022 FYE 2023 1 Beginning Balance $15,530,261.00 $ 15,014,450.61 $ 11,750,911.22 $ 6,037,241.24 3 1,128,996.22 $ (1,707,433.63) 2 Revenue: 3 Non -Operating Revenue $ 15,000.00 $ 15,000.00 $ 15,000.00 3 15,000.00 $ 15,000.00 $ 15,000.00 4 User Fees $ 6:942,939.32 $ 6,942,939.32 $ 6,942,939.32 $ 6,942,939.32 $ 6,942,939.32 $ 6,942,939.32 5 Total Revenue $ 6957,939.32 $ 6,957,939.32 3 6,957,939.32 5 6,957,939.32 $ 6,957,939.32 3 6 957 939.32 6 Operations Expenses: 7 Collection System Maintenance $ 1,935,415.00 $ 2,015,522.43 $ 2:099,213.62 $ 2,184,253.96 $ 2,263,206.29 $ 2,341,467.45 8 Metro and JPA oasts - Low Projection $ 5,538,334.71 $ 6;205,956_28 $ 8,572,395.68 $ 7,681,930.36 $ 5,531,162.67 $ 5,807,325.16 9 10 Total Operations Expenses $ 7,473,749.71 $ 8,221,478.71 $10,671,609.30 $ 9,868,184.34 $ 7,794,369.16 $ 8,148,79161 11 12 Capital Improvement Program: 13 Collection System CIP $ 3 2,000,000.00 $ 2,000,000.00 $ 2,000,000.00 3 2,000,000.00 $ 2,000,000 00 14 ToiaiEvpenses $ 7,473,749.71 3 10,221,478.71 $ 12,671,609.30 $ 11,866,184.34 $ 9,794 369.16 $ 10,148792.61 15 Fund Balance Prior to Reserves $ 15,014,450.61 $ 11,750,911.22 $ 6,037,241.24 $ 1,128,996.22 i $ (1,707,433,63) $ (4,898,296.92) 16 Reserve Targets: 17 Operatlons/Cesh Flow 3 3,736,674.86 $ 4,110,739.36 $ 5,335,604.65 $ 4,933,092.17 $ 3,897,184.58 3 4,074,396.31 18 Metro Cash Flow 3 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 $ 4,400,000.00 19 Emergency/Nat Disaster 3 1,245,624.95 $ 1,370,246.45 $ 1,778,601.55 $ 1,644,364.06 $ 1,299,061.53 $ 1,358,132.10 71 20 Capital Expansion Reserve 3 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 21 Capital ReplacementResene 3 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 $ 1,000,000.00 3 1,000,000.00 $ 1,000,000.00 22 Total Recommended Reserves $ 11,382,499.81 $ 11,880,985.81 $ 13,514,406.20 $ 12,977,456.23 $ 11,596 246.11 j $ 11,832 528.41 23 Fund Balance Overi(Under) $ 3,631,950.80 $ (130,074.59) $ (7,477,164.96) $ (11,848,480.01) $ (13,303,679.73) $ (16.730,815.32) Reserve Tartlet Cost of ServiceAnalysis: The cost of service analysis revealed that several major changes have occurred in users and use since the City's 2003 rate study and subsequently adopted sewer user rates. The significant changes are: • As with other communities in San Diego County and Southern California. the City's citizens and businesses have decreased their water usage significantly since FY 2003. This has decreased revenues from the commercial and industrial users of the City who are billed on their annual water usage • The City uses an equivalent dwelling unit (EDE. system of rates for their residential users. Historically the City has used 280 gallons per day (gpd) for a single family residential user for billing purposes. Multi-family/condo units are considered to be 0.78 EDU and mobile home units 0.61 EDUs. These EDUs are consistent with industry standards for EDU based user systems. However, due to the decreased water use by residential as well as commercial/industrial users the gallons per EDU have decreased to an estimated 240 gpd. 240 gpd is consistent with the majority of the P A s wastewater generation rate (in gpd) for EDUs such as the County of San Diego and the City of Lemon Grove. City of National City — Sewer Rate Study 2017 18 479 of 525 NVS The City's rate model was updated with the number of residential and commercial/industrial users used for billing purposes on the FY 2018 tax roll. As noted above the gallons for residential EDUs were revised to 240 gpd per EDU and the most recent water usage for commercial/industrial users was included. Table 3-3 summarizes the current number of City users and their projected sewer flows based on the current tax roll water use data for FY 2018. Table 3-3: Summary of Current Users and Estimated Sewer Flow Units of Service and Loadinga FLOW: BOD: SS: {A) {B) {C) (0) (E) (F) (a) User Group No. of Active Total Flow Total Annual Flow Annual BOD Armual Customers Flow {MfalY�} BOO User Load SS per User Lead (MOD) (HCF) (MGIL) (LBS/YR) (MGIL) (LBSI(R) Single Family 5,873 1.4095 514.47 200 858,118 200 858,116 Multl4amilylcondo 9,840 1.8420 572.35 200 1,121,439 200 1,121,438 Mobile Homes 370 0.0542 19.77 2CC 32,977 200 32,977 Subtotal- Residential 16,063 3.3067 0 1,206.59 2,012,532 2,012,632 Commercial - Low' 770 0.7045 343,530 257.13 200 428,882 200 428,882 Commercial - Medium Low 203 0.1495 72,891 54.58 200 91,001 300 136,502 Commercial - Medium 8 0.0387 18,858 14.12 400 47,087 400 47,087 Commercial - Medium High 90 0.1014 49,445 37.01 600 186,190 500 164,325 Commercial - High 29 0.0482 23,494 17.59 880 99,728 900 131,991 Subtotal Non -Residential 1,100 1.0422 508,218 380.40 851,887 898,787 TOTAL 17,163 4.3479 506,218 1,586.99 2,864,419 2,911,319 Rate Design Analysis: As part of the rate setting process a routine review of an agency's sewer service charge rate structure is performed. This is done to assure that the agency's rate structure meets industry standards as well as complies with local, State, and Federal guidelines and regulations. The City of National City first established their current rate structure- in the mid-1990's and it was submitted to the State Water Resources Control Board of the State of California (SWRCB) and the US EPA. The rate structure and the cost allocations upon which it is based were approved by both the SWRCB and the US EPA. These principles still meet industry standards today and follows Best Management Practices (BMP's) established by the State of California, and thus there are no recommended changes to the existing rate structure. The City uses a combination of EDU's for residential users and water based rates for commercial/industrial users. Single family residential users are considered to be 1 EDU, and multi- family/condo users 0.78 EDU, and mobile home users 0.61 EDU. Commercial/industrial users are grouped based on their estimated sewage strengths into five classes of users. Each year 90° of the prior year's water usage per commercial/industrial customer is used to determine the upcoming year's sewer service charge. City of National City — Sewer Rate Study 2017 19 480 of 525 NV5 All classes of users will continue to be billed their annual sewer service charge on the County of San Diego tax roll based on either their EDU classification or their annual water usage and sewage strength category. Table 3-4 compares the current FYE 2018 sewer rates with the proposed FYE 2019 through FYE 2023 of the proposed rate case. The entire output from the rate model showing all steps in the rate case is contained in Appendix A to this Study Table 3-4: Comparison of Current Versus Proposed Sewer User Rates User Class Current 2019 2020 2021 2022 2023 Residential: $ Per Month Single Family $ 32.08 $ 35.23 $ 38.68 $ 42.47 $ 46.61 $ 51.18 Mu]ti-family/Condo $ 25.00 $ 27.48 $ 30.17 $ 33.13 $ 36.36 $ 39.92 Mobile Homes $ 19.50 $ 21.49 $ 23.60 $ 25.91 $ 28.43 $ 31.22 Non -Residential: $ Per HCF Commercial - Low $ 3.03 $ 3.61 $ 3.97 $ 4.35 $ 4.78 $ 5.25 Commercial - Medium Low $ 3.12 $ 3.89 $ 4.33 $ 4.73 $ 5.13 $ 5.66 Commercial - Medium $ 4.09 $ 4.69 $ 5,37 $ 5.76 $ 6.13 $ 6.80 Commercial - Medium High $ 4.90 $ 5.48 $ 6.40 $ 6.80 $ 7.12 $ 7.95 Commercial - High $ 6.12 $ 6.82 $ 8.14 $ 8.55 $ 8.79 $ 9.88 As discussed earlier in this report, the majority of the revenue requirement recovered by the City's sewer service charges go to pay for cost associated with charge from San Diego Metro. Figure 3-3 summaries the major components of the proposed FY 2019 monthly single family sewer service charge of $35.23 per EDLT. This figure also shows the use of City reserves to phase in the Pure Water Program and City CIP costs: Figure 3-3 Components of FY 2019 Single Family Monthly Rate Components of FY 2109 Single Family Monthly Rate ' J San Diego Metro National City CIP NC Collection System Use of Reserves City of National City- Sewer Rate Study 2017 20 481 of 525 NV5 Figure 3-4 summarizes all San Diego Metro Member Agencies comparative sewer user rates based on 7 HCF of water usage/sewer flow and a residential monthly base fee. It should be noted that the rates shown are those effective July 1, 2017. The City's first proposed rate adjustment is not until July 1, 2018. By that time the majority of these rates will be 5% to 10% higher as all agencies except San Diego either have adopted current rate cases or are in the process of updating their current rate cases to phase in the required Pure Water Program costs. Even with the proposed 5-year rate adjustments National City will still enjoy some of the lowest rates among the users of the San Diego Metro System. The proposed FY 2019 single family rate will be as low as $35.23 which is 37% lower than the existing (FY 2018) average Metro member agency rate of $50.82 SO0 $B0 $70 360 150 $30 $20 110 Figure 3-4 Metro Member Agencies Sewer Rate Comparison Monthly Sewer Rate Comparison for Participating Agencies in San Diego Metro System Based on 7 units of water and 3/4 Inch Residential meter size for sewer billings established by January 201E 4�oep Get oe03 e * -. Flat Sewer Rate Water Consumption used Sewer Rate National City Rate City of National City — Sewer Rate Study 2017 482 of 525 NVE Appendix A - Rate Model • Assumptions ^� Wastewater Operations & Maintenance Budget • Budget Summary • Step 1 — Customer Summary and Estimated Flows • Step 2 — Determination of Unit Costs • Step 3 — Sewer User Rate Calculations by Fund and Cost City of National City — Sewer Rate Study 2017 483 of 525 N VS tem: 2017-28) Location Map with Recommended Enhancements (TSC 484 of 525 CALIFORNIA NialiONAL NOTICE OF PUBLIC HEARING to Consider Proposed Adjustments to Sewer Service Charges Tuesday, December 5, 2017, 6:00 p.m. Proposition 218 Pursuant to Article XIIID of the California Constitution and the Proposition 218 Omnibus Imp!ementation Act, the City of National City (the "City) hereby gives notice that a public hearing will be held on December 5, 2017, at 6:00 PM, or as soon as possible thereafter as the matter can be heard, at the regularly scheduled City Council meeting. The public hearing will be held in the Council Chamber of the Civic Center, located at 1243 National City Boulevard, National City, California. Upon conclusion of the public hearing, the City Council will consider a proposed increase to the cost the City charges for sewer service for Fiscal Year 2018/19 through 2022/23. If approved, the rate adjustment will become effective on customers' 2018/19 property tax bills. For more detailed information on how the sewer rates were calculated, copies of the NV5 rate study analysis (see below) are available at http://www.nationalcityca.govlgovernmentlenaineering-public- works/engineering-division/sewer-service or at the Engineering / Public Works Department, located at 1243 National City Boulevard, National City, California, 91950, Telephone No. (619)-336-4580. Reason for Proposed Rate Increase The City is provided wastewater treatment and disposal services by the City of San Diego's Metropolitan Wastewater System ("Metro"). The proposed rate adjustments will allow the City to coilect sufficient revenue so the City may continue providing sewer service to customers in the face of sharply increasing operating costs from Metro to fund the Pure Water Program. The proposed rate adjustments will also enable the City to pay for capital improvements that are essential for operating the sewer system in a safe and financially prudent manner. Revenues derived from the City's sewer service charges, and any adopted adjustments described in this notice, will be used solely for the actual and necessary expenses of providing sewer service to customers. The City is prohibited by law from making a profit on sewer service. Engineering & Public Works Department 1243 National City Boulevard, National City, CA 91950-4301 (619) 336-4380 Engineering * (619) 336-4580 Public Works * Fax (619) 336-4397 wuvw. nationalcityca. gov 485 of 525 CALIFORNIA NATIONAL Cliff The City elected to conduct a comprehensive review of its sewer rates for all users to ensure the long term stability of its sewer services. The new proposed rate increases are based on a September 2017 rate study titled "City of National City Sewer Rate Study" ("Study") conducted by NV5, a well -respected engineering and consulting firm. NV5 considered all sewer -related factors described in this notice, in addition to other, more specific information described in the Study, in conducting their sewer rate analysis. The Study, and its underlying rate methodology, is available at http:I/www.nationalcitvca.govlgovernmentlengineering-public-workslengineering- division/sewer-service. Copies of the Study are also available at the Engineering/ Public Works Department at the Civic Center. The Study's underlying rate methodology will be discussed in more detail at the December 5th public hearing. Protest Procedure The property owner of record may file a written protest to the proposed rate adjustment. Property owners do not have to attend the public hearing in order to file a protest. Protests may be mailed to: City Clerk, 1243 National City Boulevard, National City, California 91950. If protesting by mall, please write on the front of the envelope that the enclosed letter of protest is for the proposed sewer rate adjustments. All protests must be received before the close of the public comment portion of the public hearing on Decembers, 2017. Any protests received after that date and time, even if postmarked on or prior to that date, will not be counted. Any protest received via e-mail, fax, or other electronic means shall also not be r•nunted. The gr+atuPre en the protest must be th t of fhe property owner record and be an original signature. Protests with copies of signatures will not be counted. Ora! comments do not qualify as a protest, unless accompanied by a written protest. While customers who live on property owned by others may attend the public hearing, the City will only count written protests filed by property owners. Only one valid protest per parcel will be counted. In order to be counted, each protest must contain the following: 1. State that the property owner of record does not agree with the proposed rate increase. Engineering & Public Works Department 1243 National City Boulevard, National City, CA 91950-4301 (619) 336-4380 Engineering * (619) 336-4580 Public Works * Fax (619) 3364397 www.nationalcityca.gov 486 of 525 CALIFORNIA «•0, NATIONAL GM, 2. Identify the location of the parcel by street address, assessor's parcel number (APN) listed on the address label of your envelope, or City account number. 3. Provide the printed name and original signature of the property owner submitting the protest. 4. If you wish to protest and you own multiple properties, you may file one valid protest for each parcel that you own. Only one protest will be counted per parcel. For example, if you own five parcels and you wish to file protests for each of your properties, you must file five separate protests. 5. if you wish to protest and your parcel is owned by more than one person, or by a corporation or other legal entity, you may only file one protest for that parcel. Proper documentation must be provided showing that the person who signs the protest has the authority to sign on behalf of the other owners, corporation, or legal entity. 6. If the name of the property owner was not shown on San Diego County's last equalized assessment roll as the owner of record, you must provide the City with a certified copy of a recorded deed. Individuals with disabilities, who require reasonable accommodation under the Americans with Disabilities Act in order to participate in the public hearing, should contact the City Clerk's Office as far in advance of the public hearing as possible. Proposed Increases The City last adjusted sewer service charges in FY 2006. The NV5 Study showed that, over the next five years, current sewer service revenues will not meet the increasing cost of City operating and capital expenses. The City system of sewer service charges meets regulatory and industry standards and the current rate schedule reflects the proper elements of a cost-ofservice-based rate structure. No structural changes to the current system of charges will be made. Based upon the Study, rate increases will be considered for each of the City's four distinct sewer customer groups: (I) single-family residential; (2) multi -family; (3) mobile home parks; and (4) commercial/industrial. The City maintains a specific sewer charge formula for each of these four customer groups. Single family, multi -family, and mobiie home customers are billed flat rates based on a system of equivalent dwelling units established for each of these three customer groups. Commercial/industrial users are placed into one of five rate categories Engineering & Public Works Department 1243 National City Boulevard, National City, CA 91950-4301 (619) 336-4380 Engineering * (619) 336-4580 Public Works * Fax (619) 336-4397 www. nati on alcityca. gov 487 of 525 CALIFORNIA . A ;iOCm". raotv OEpoaA'P based on (1) their respective sewage strengths, and (2) 90% of the users' total water usage from the prior year. The following rate table contains the recommended sewer service charges that the City Council will consider for adoption at the public hearing: User Class Current 2019 2020 2021 2022 2023 Residential: $ Per Month Single Family $ 32.08 $ 35.23 $ 38.68 $ 42.47 $ 46.61 $ 51.18 Multi-family/Condo $ 25.00 $ 27.48 $ 30.17 $ 33.13 $ 36.36 $ 39.92 Mobile Homes $ 19.50 $ 21.49 $ 23.60 $ 25.91 $ 28.43 $ 31.22 Non -Residential: $ Per HCF Commercial - Low $ 3.03 $ 3.61 $ 3.97 $ 4.35 $ 4.78 $ 5.25 Commercial - Medium Low $ 3.12 $ 3.89 $ 4.33 $ 4.73 $ 5.13 $ 5.56 Commercial - Medium $ 4.09 $ 4.69 $ 5.37 $ 5.76 $ 6.13 $ 6.80 Commercial - Medium High $ 4.90 $ 5.48 $ 6.40 $ 6.80 $ 7.12 $ 7.95 Commercial - High $ 6.12 $ 6.82 $ 8.14 $ 8.55 $ 8.79 $ 9.88 Pass -Through Costs The above -proposed rate table is based, in part, on projections provided by Metro. The City will not pass through to customers any increases to wholesale treatment costs from Metro that exceed the amounts listed in the rate table above. The City will provide customers at least 30 days' notice before the effective date of any adjustment reflected in the rate table above. If you have any questions about this process, or this notice in general, please contact the Engineering / Public Works Department at (619)-336-4580. Engineering & Public Works Department 1243 National City Boulevard, National City, CA 91950-4301 (619) 336-4380 Engineering * (619) 336--4580 Public Works * Fax (619) 336-4397 www.nationalcityca.gov 488 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 489 The following page(s) contain the backup material for Agenda Item: Discussion of the proposed termination of the federal Deferred Action for Childhood Arrivals (DACA) program, including consideration of a Resolution in support of the program. (City Manager) 489 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Discussion of the proposed termination of the federal Deferred Action for Childhood Arrivals (DACA) program, including consideration of a Resolution in support of the program. PREPARED BY: Stacey Stevenson PHONE: 336-4308 EXPLANATION: See attached staff report. DEPARTMENT: City Manager's Office APPROVED BY: h-- FINANCIAL STATEMENT: APPROVED: ACCOUNT NO. APPROVED: N/A ENVIRONMENTAL REVIEW: This is not a project and, therefore, is not subject to environmental review. ORDINANCE: INTRODUCTION: FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Accept the report and provide any further direction to staff. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: Staff Report 490 of 525 CALIFORNIA Nal°NAL MIT r 5CORPORATED City Council Staff Report October 3, 2017 ITEM Staff report — Discussion of the proposed termination of the federal Deferred Action for Childhood Arrivals (DACA) program, including consideration of a Resolution in support of the program. INTRODUCTION At the September 5, 2017 meeting of the City Council, during Public Comment, the City Council was asked to give consideration to the adoption of a Resolution in opposition to the anticipated termination of the federal Deferred Action for Childhood Arrivals (DACA) program. During the Council Comment portion of the same meeting, the City Council directed staff to return with an agendized item on the subject, allowing the Council to engage in a dialog on what can be done to support the "DREAMers", including a discussion of what other municipalities are doing related to this matter. BACKGROUND On June 15, 2012, the Secretary of Homeland Security announced that certain people who came to the United States as children and meet several guidelines may request consideration of deferred action for a period of two years, subject to renewal. In response, on August 15, 2015, U.S. Customs and Immigration Services (USCIS) began accepting applications for DACA deferments. A deferred action is a discretionary determination to defer a removal action of an individual as an act of prosecutorial discretion. The guidelines for consideration of a DACA application are as follows: 1. Were under the age of 31 as of June 15, 2012; 2. Came to the United States before reaching their 166' birthday; 3. Have continuously resided in the United States since June 15, 2007, up to the present time; 4. Were physically present in the United States on June 15, 2012, and at the time of making the request for consideration of deferred action with USCIS; 491 of 525 Page 2 Staff Report — Discussion of the proposed termination of the federal Deferred Action for Childhood Arrivals (DACA) program, including consideration of a Resolution of a Resolution in support of the program. October 3, 2017 5. Had no lawful status on June 15, 2012; 6. Are currently in school, have graduated or obtained a certificate of completion from high school, have obtained a general education development (GED) certificate, or are an honorably discharged veteran of the Coast Guard or Armed Forces of the United States; and 7. Have not been convicted of a felony, significant misdemeanor, or three or more other misdemeanors, and do not otherwise pose a threat to national security or public safety. Individuals granted deferment under DACA are considered to be lawfully present in the United States during the period in which the deferred action is in place. Such deferrals are granted for a period of two years and may be renewed, through a renewal application process, on a case -by - case basis at the discretion of the USCIS. During the period of deferral, individuals may obtain employment authorization from USCIS provided they can demonstrate an economic necessity for employment. The individuals currently living in the United States under a DACA deferment are often referred to as "DREAMers". The term stems from the Development, Relief and Education for Alien Minors (DREAM) Act that failed to pass in 2010. According to one report, as of March 31, 2017, 787,580 people have been approved for the program since it began and nearly 800,000 renewals have been approved over the life of the program. On September 5, 2017, the Department of Homeland Security (DHS) initiated an orderly phase out of the DACA program with a limited, six-month window during which it will consider certain requests for DACA applications for work authorization, under specific parameters. Individuals who have not submitted an application by September 5 for an initial request under DACA may no longer apply. Those individuals that currently have a DACA deferral status will retain their period of deferred action and employment authorization document until they expire, unless terminated or revoked. Those that expire between September 5, 2017 and March 5, 2017 can apply for renewal if they file on or before October 5, 2017. During the six-month phase out period, the United States Congress will consider options for a permanent legislative solution to replace or continue the current program. Since the September 5, 2017 announcement, there has been much informal discussion on the issue but no additional formal action or executive orders issued. It is uncertain what will happen to the current "Dreamers" if there is not a continuation of the current program or a replacement for it by the time DACA is scheduled to end in March, 2018. 492 of 525 Page 3 Staff Report — Discussion of the proposed termination of the federal Deferred Action for Childhood Arrivals (DACA) program, including consideration of a Resolution of a Resolution in support of the program. October 3, 2017 DISCUSSION At the direction of the City Council, staff reached out to other California cities to find out what steps they are taking in relation to this matter. To date, staff has not identified a local municipality that has taken a formal position or action related to DACA. At the State level, on September 6, 2017, the Attorneys General for 15 States and the District of Columbia sued the U.S. government to block the end of DACA. The constitutional argument includes allegations that the decision was motivated by discriminatory reasons, that it violated due process by being fundamentally unfair and that it violated laws that dictate procedures for federal regulations. The plaintiff States in the lawsuit are Connecticut, Delaware, Hawaii, Illinois, Iowa, Massachusetts, New Mexico, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia and Washington. On September 11, 2017, the Attorneys General for California, Maine, Maryland and Minnesota have filed a lawsuit over the decision to end DACA. The suit, filed in the U.S. District Court for the Northern District of California argues that the rescinding DACA is a violation of the Constitution and federal laws. Included in the complaint are allegations that: • The Administration's termination of DACA and the associated DHS memorandum may lead to the untenable outcome that the Administration will renege on the promise it made to Dreamers and their employers that information they gave to the government for their participation in the program would not be used to deport them or prosecute their employers. The threatened misuse of sensitive information provided in good faith by DACA grantees to the government is fundamentally unfair, violating the Fifth Amendment's due process guarantee. • The federal Regulatory Flexibility Act also requires the government to analyze the effects of a proposed change on small businesses, many of which are owned by, or employ, Dreamers, and take comments on the proposed change. The Administration completely ignored these legal requirements. • The termination of DACA directly affects the substantive rights of almost 800,000 people and indirectly affects millions more, as well as small and large businesses, non -profits, and the towns, cities and states that these individuals call home. The federal Administrative Procedure Act requires such a change to be made for sound reasons, and for the public to be able to make formal comments on it before it is made into law. Whether or not the initiative was implemented through notice and comment rulemaking, it cannot be terminated without it. On September 5, 2017, City of National City Mayor Ron Morrison submitted a letter to the Congressional Delegation requesting the formalization of DACA. 493 of 525 Page 4 Staff Report — Discussion of the proposed termination of the federal Deferred Action for Childhood Arrivals (DACA) program, including consideration of a Resolution of a Resolution in support of the program. October 3, 2017 On September 7, 2017, the local Sweetwater Union High School District issued a letter to Sweetwater families in response to the DACA announcement, restating the district's commitment to maintaining a safe and healthy learning environment for students, with an affirmation to provide a safe, welcoming, and inclusive learning environment for immigrant students and their families. As of September 26, 2017, members of both the House and the Senate have introduced action steps and/or actual Acts intended to address this matter in a manner that would continue to provide protections for some if not all of the current program recipients. As of the time of this report, there are no planned votes on this matter. As discussed above, there have been no known actions taken at the local level. The only Resolution identified is the Resolution presented to the Council during the September 5, 2017 Public Comment, as noted above. A copy of said Resolution has been provided to the Council as an attachment to this report for consideration. RECOMMENDATION Accept the report and provide any further direction to staff. FISCAL IMPACT There is no fiscal impact associated with this item. Attachments: 1. Citizen Draft Resolution in Support of Dreamers 2. Mayor Ron Morrison - Letter to Congressional Delegation 3. Sweetwater Union High School District Message to Families on Pending DACA Decision. 494 of 525 (Rn,thC O1aL Resolution In Support of DREAMers mmu it cakiens My name is Coyote Moon, and I live on East 1 lt' St. I'm here to support an agenda item for a Resolution declaring that National City will support our DREAMers! This is an example. Whereas, the 2016 electoral season included divisive rhetoric targeted at women, LGBTQ people, persons with disabilities, Muslims and other religious minorities, immigrants (both documented and undocumented), DREAMERS (Development, Relief & Education of Alien Minors" DREAM ACT), DAPA (Deferred Action for Parents of Americans), DACA (Deferred Action for Childhood Arrivals) students, and people of color including Black, Brown and indigenous peoples. Whereas, in light of the results of the 2016 election, National City teachers and parents have witnessed our students expressing, in both public and private, confusion, anxiety, fear for their physical safety and well-being, and concerns about their individual rights, all of which negatively impact the achievement of their educational goals; Whereas, a mission of our city is to serve and support all students to achieve student success, and the core value of this student focus requires us to address the needs of students in our actions, work harmoniously, and show compassion; And whereas, our DREAMers are in distress and fearful of imminent deportations by the U.S. President, and this is affecting their motivation to continue their education; Therefore, Be It Resolved, that National City reaffirms its commitment to fostering a diverse, inclusive, and safe environment for all students, free from discrimination, bullying, harassment, and fear, Be It Further Resolved, that National City encourages our citizens to show compassion and support for students who may be experiencing anxiety, uncertainty, and fear in the current political climate, Be It Further Resolved, that National City strongly supports the letter from University of California President Janet Napolitano, California State University Chancellor Tim White, and California Community College Chancellor Eloy Ortiz Oakley urging President Trump to continue the DACA program, Be It Further Resolved, that National City will support every measure to assure that our city is a safe place for the continuation of the education of all our students, and in particular for our DACA and DAPA students and all other targeted populations, Be It Finally Resolved, that National City will work with campus and community organizations to advocate for policies and procedures that will comprehensively protect the safety and security of our students, faculty, staff, and the broader community. 495 of 525 N ATIONAA 1=� 1 {NCOR ORATED September 5, 2017 Dear Congressional Delegation: As the Mayor of the City of National City, I am writing to express my concerns about the announcement this morning concerning the DACA (Deferred Action for Childhood Arrivals) program. So many innocent lives will be negatively affected, if not destroyed, if this program is allowed to end. Many individuals within our community know of no existence besides their lives here in the United States and it would be inhuman if they were to be forcibly removed to another country whose environment is foreign to them and the life they have here in this nation of immigrants. I would implore our Congressional delegations to formalize the DACA program into legislation. Please let's demonstrate what makes our County so great and show the World our sense of compassion and fair play. I would hope that this would not take the full six months as that would be torturous for individuals that are the most vulnerable within our society. I ask for your speedy attention and action on this time sensitive and life changing issue. As always, thank you in advance for your kind consideration. Sincerely, Ron Morrison Mayor Ron Morrison 1243 National City Blvd., National City, CA 91950-4301 Office: (619) 336-4233 .1c1 4 91 Fax: (619) 336-4239 rmorrison@nationalcl 496 of 525 �vv.nationalcityca.gov Attachment 3 SWEETWATER DISTRICT MESSAGE TO FAMILIES ON PENDING DACA DECISION Dear Sweetwater Families: Yesterday, the White House announced calling for an end to the Deferred Action of Childhood Arrivals program (DACA). The DACA program allows undocumented immigrants who arrived in the United States as minors to apply for a renewable two-year work permit and shields them from deportation. It is important for you to know that all of our students have the right to attend school without the fear of detention and/or deportation. The Sweetwater school community believes strongly in ethics of tolerance and respect for all. What makes our district so unique is the different background and culture each student brings to our classrooms every day. Last year, the Sweetwater Board of Trustees passed Resolution 4468, Advocating For and Protecting Each of the District's Students as an outward demonstration of our commitment to "promote inclusion and provide a safe and secure environment...wherein each student and each employee is protected from all forms of discrimination." The board then reinforced the resolution with adoption of Board Policies 5145.4, 5145.41, 5145.42 — all of which establish procedures to further protect/enforce our student's immigration rights. The Sweetwater District is committed to maintaining a safe and healthy learning environment for each of our students by affirming the clearly stated values of safety, inclusion, and equity. The policies affirm the District's commitment specifically to providing a safe, welcoming, and inclusive learning environment for immigrant students and their families. Please know that these policies prohibit information -sharing with local law enforcement and federal immigration authority to the fullest extent possible under the law. Further, the state of California has its own California Dream Act, which is unrelated to DACA and allows undocumented students to receive state financial aid for college. We are grateful to our Board for their vision and leadership and we are proud of the beliefs and values we embrace as a district. 497 of 525 If you have questions or concerns regarding your legal rights, we encourage you to seek independent legal counsel. Additional resources for families can be found on the San Diego County Office of Education website at http://www.sdcoe.net/educators/Pages/Immigration-Law-Briefing-for- Schools.aspx Sincerely, Karen Janney, Ed.D. Superintendent 498 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 499 The following page(s) contain the backup material for Agenda Item: City Council discussion and direction on Assembly Bill 485 Pet Store Operators: Dogs, Cats and Rabbits (O'Donnell and Dababneh), including consideration of a letter of support modeled after the letter of support provided by the Office of Assembly Member 499 of 525 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: City Council discussion and direction on Assembly Bill 485 — Pet Store Operators: Dogs, Cats and Rabbits (O'Donnell and Dababneh), including consideration of a letter of support modeled after the letter of support provided by the Office of Assembly Member O'Donnell. PREPARED BY: Stacey Stevenson PHONE: 336-4308 EXPLANATION: See attached explanation DEPARTMENT: City Manager APPROVED BY: FINANCIAL STATEMENT: APPROVED: ACCOUNT NO. APPROVED: See attached explanation. ENVIRONMENTAL REVIEW: This is not a project and is therefore not subject to environmental review. ORDINANCE: INTRODUCTION: FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Direct staff to submit a letter in support of Assembly Bill 485. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: Explanation Draft letter in support of Assembly Bill 485 (O'Donnell and Dababneh) Senate Rules Committee Analysis Assembly Floor Analysis Assembly Committee on Appropriations Analysis 500 of 525 EXPLANATION Assembly Bill 485 (AB 485), Pet Store Operators: Dogs, Cats, and Rabbits, as drafted by Assembly Members O'Donnell and Dababneh and amended in the Assembly and Senate, regulates the retail sale of dogs, cats and rabbits by pet stores. AB 485: 1. Prohibits, on or after January 1, 2019, a pet store operator from selling a live dog, cat, or rabbit in a pet store unless the dog, cat, or rabbit was obtained from a public animal control agency or shelter, society for the prevention of cruelty to animals shelter, humane society shelter or non-profit animal rescue or adoption organization. 2. Requires the sale of dogs or cats as specified in Item #1) above, to be in compliance with specified spay or neuter laws. 3. Requires each pet store to maintain records sufficient to document the source of each dog, cat, or rabbit the pet store sells, as specified. Additionally, each pet store shall post, in a conspicuous location on the cage or enclosure of each animal, a sign listing the name of the public animal control agency or shelter, society for the prevention of cruelty to animals shelter, humane society shelter, or nonprofit from which each dog, cat, or rabbit was obtained. Public animal control agencies or shelters may periodically require pet stores engaged in sales of dogs, cats, or rabbits to provide access to these records. 4. Authorizes a public or private shelter, as specified, to enter into cooperative agreements with animal rescue or adoption organizations regarding rabbits. 5. Makes a pet store operator who violates the provisions of this bill subject to a civil penalty of $500 and specifies that each animal offered for sale in violation constitutes a separate violation. 6. Defines a "rescue group". 7. Exempts a pet store operator, subject to the provisions of this bill, from the Pet Protection Act, except the requirements for a health examination of the pet, maintaining health and immunization records, and animal treatment and care in the pet store, as specified. With the Bill having passed the Assembly and Senate, and having been enrolled on September 15, 2017, on September 19, 2017, the City Council of the City of National City directed staff to agendize this matter for discussion and consideration. Specifically, consideration of submission of a letter of support for the Bill to Governor Brown. A draft letter of support, based on the template provided by the Office of Assembly Member O'Donnell has been provided the consideration by the City Council. FISCAL IMPACT The non -reimbursable local cost of enforcement has not been calculated. 501 of 525 Attachment 1 RE: Assembly Bill 485 — Pet Store Operators: Dogs, Cats and Rabbits (as enrolled) Request for Signature Dear Governor Brown: The City of National City respectfully requests your signature on Assembly Bill 485 (O'Donnell and Dababneh), a measure that regulates the retail sale of dogs, cats and rabbits by pet stores. California taxpayers spend a quarter of a billion dollars annually to house animals in local shelters while puppy mills, kitten factories and bunny bundlers throughout the country continue to mass breed animals for profit. Assembly Bill 485 (AB 485) curtails these operations by supporting access to pet adoption and prohibiting the sale of animals sourced from unethical breeders at retail pet stores. AB 485 provides for the uniform regulation of pet store retail sales activities statewide related to dogs, cats and rabbits. By offering dogs, cats and rabbits for adoption from nearby shelters, pet stores can save the lives of animals in search of a home, discourage the breeding of animals by animal mills, and relieve pressure on county budgets and local tax payers. For these reasons, the City of National City respectfully asks for your signature of AB 485 .:::........:.... (O'Donnell and Dababneh). 502 of 525 SENATE RULES COMMITTEE Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 AB 485 THIRD READING Bill No: AB 485 Author: O'Donnell (D) and Dababneh (D), et al. Amended: 9/7/17 in Senate Vote: 21 SENATE BUS., PROF. & ECON. DEV. COMMITTEE: 7-1, 7/17/17 AYES: Hill, Dodd, Galgiani, Glazer, Hernandez, Newman, Pan NOES: Wilk NO VOTE RECORDED: Fuller ASSEMBLY FLOOR: 55-11, 5/30/17 - See last page for vote SUBJECT: Pet store operators: dogs, cats, and rabbits SOURCE: Social Compassion in Legislation DIGEST: This bill prohibits, beginning January 1, 2019, a pet store operator from selling a live cat, dog, or rabbit in a pet store unless they were obtained from a public animal control agency or shelter, specified nonprofit, or animal rescue or adoption organization, as defined; permits a public or private shelter to enter into cooperative agreement with animal rescue or adoption organizations regarding rabbits; requires dogs or cats sold in a retail pet store to comply with current spay and neuter laws; provides specified exemptions to the pet warranty law; and permits an animal control officer, a humane officer, or a peace officer to enforce the pet store prohibition. SenateFloor Amendments of 9/7/17 require additional sections of the Pet Protection Act that a pet store operator, subject to the provisions of this bill, must comply with including a health examination of dogs or cats prior to placement with other dogs or cats and maintaining of immunization and health status records. SenateFloor Amendments of 8/30/17 exempt a pet store operator from specified laws governing the retail sale of dogs and cats. 503 of 525 AB 485 Page 2 ANALYSIS: Existing law: 1) Establishes procedures and requirements for the care and maintenance of animals in the custody of a pet store and details the responsibilities of the pet shop, as specified. (Health and Safety Code (HSC) § 122350 et seq. and Penal Code (PC) § 5971) 2) Defines a "pet store" to mean a retail establishment open to the public and selling or offering for sale animals, as specified, does not include a retail establishment selling or offering animals to agricultural operations, as specified. (HSC § 122350(i)) 3) Requires each pet store operator to maintain records for identification purposes of the person from whom the animals in the pet store were acquired, as specified. (HSC § 122355(d)) 4) Establishes the Polanco-Lockyer Pet Breeder Warranty Act, related to the sale of dogs by breeders. Specifies information to disclose to the consumer, including records of diseases or illness. Requires dog breeders to maintain the health and safety of the dogs and prohibits them from knowingly selling a dog that is ill. (HSC § § 122045-122110) 5) Establishes the Lockyer-Polanco-Farr Pet Protection Act (Pet Protection Act), related to the retail sale of dogs and cats. Requires that pet dealers possess a permit in order to sell dogs and cats and provide consumers disclosures related to the pet, including breeder information, health records, and any known health condition. Specifies civil penalties for violating these provisions. (HSC § § 122125-122220) 6) Specifies that it is the policy of the state that no adoptable animal, as defined, should be euthanized within a public or private shelter if it can be adopted into a suitable home, as specified. (Food and Agriculture Code § 17005 and PC § 599d) This bill: 1) Prohibits, on or after January 1, 2019, a pet store operator from selling a live dog, cat, or rabbit in a pet store unless the dog, cat, or rabbit was obtained from a public animal control agency or shelter, society for the prevention of cruelty to animals shelter, humane society shelter or non-profit animal rescue or adoption organization. 504 of 525 AB 485 Page 3 2) Requires the sale of dogs or cats as specified in Item # 1) above, to be in compliance with specified spay or neuter laws. 3) Requires each pet store to maintain records sufficient to document the source of each dog, cat, or rabbit the pet store sells, as specified. 4) Authorizes a public or private shelter, as specified, to enter into cooperative agreements with animal rescue or adoption organizations regarding rabbits. 5) Makes a pet store operator who violates the provisions of this bill subject to a civil penalty of $500 and specifies that each animal offered for sale in violation constitutes a separate violation. 6) Defines a "rescue group", as specified. 7) Exempts a pet store operator, subject to the provisions of this bill, from the Pet Protection Act, except the requirements for a health examination of the pet, maintaining health and immunization records, and animal treatment and care in the pet store, as specified. Background Puppy Mills. "Puppy Mills" or "Kitty Factories" are common terms for large commercial breeding facilities that mass produce animals for sale at retail markets. These are separate from other types of breeders who produce a smaller quantity of animals and typically in California do not sell directly to retail pet outlets; however, there are no restrictions on pet stores as to where they can acquire animals for retail sale. This bill, as indicated by the author and its proponents, aims to limit the sales of animals in California that are from "puppymills", "kitten factories" or other commercial breeding facilities (especially those in other states) and to help promote and encourage the availability of shelter animals in California as a source for either adoption or for sale in a pet store establishment. As many commercial breeding facilities focus on quantity, there are concerns about the health of animals from these places, and oftentimes, news headlines report on this issue. As explained by the Humane Society Veterinary Medical Association, although the conditions in these puppy mills vary widely in quality, they are typically operated with an emphasis on profits over animal welfare and the dogs often live in substandard conditions, housed for their entire reproductive lives in cages or runs, provided little to no positive human interaction or other forms of environmental enrichment, and minimal to no veterinary care. 505 of 525 AB 485 Page 4 Consumer Protection Laws Regarding the Purchase and Sale of Animals. In California, there are certain laws related to the sale of pets in California, including regulations for animal care in pet stores, consumer rights, requirements for breeders, sales at swap meets, and kennels. However, there are no requirements or restrictions pertaining to the acquisition of animals for purpose of animal sales, although pet store operators are required to maintain specific documentation about an animal's health records and are also required to provide consumers with information about the breeder or broker. There are no current prohibitions on pet store operators related to the sale of puppies, kittens, rabbits or dogs acquired from individuals, brokers, or mass commercial breeders who have enforcement violations at the local, state or federal level. There is also no requirement that a pet store operator has to purchase animals from a licensed United States Department of Agriculture (USDA) breeder. The Pet Protection Act specifies the requirements for retail sellers of animals to ensure purchaser protection for the sale of ill or sick animals, and provides some form of disclosures to individuals about where the animal was bred. This bill will exempt a pet store operator, subject to the provisions of this bill, from various requirements in the Pet Protection Act including disclosure requirements, return and refund policies among others; however, a pet store operator must still comply with existing laws in the Pet Protection Act pertaining to the treatment of animals in retail establishments, maintaining health and immunization records, and provide health evaluations prior to the placement dogs and cats with other dogs and cats. This bill does not change or limit current practices for individuals purchasing animals from local breeders, the Internet (if applicable laws allow), other states, or by other private sales. Lax Oversight of Breeders. Breeders who sell to a pet store or to consumers over the Internet are required to hold a license and be inspected by the USDA. However, as noted by various animal welfare organizations, the AWA provides a minimal level of specificity for animal care and violations are often found in many commercial breeding organizations, while others operate underground making enforcement of the laws difficult and challenging. In recent years, the Animal and Plant Health Inspection Service's (APHIS) under the USDA has provided on its Web site information regarding inspections of commercial animal breeding facilities and lists of persons licensed and registered under the federal Animal Welfare Act (AWA), but as of February 3, 2017, this information is no longer available from the APHIS. 506 of 525 AB 485 Page 5 Animal Shelters and Rescue Organizations and Cooperative Agreements with Animal Rescue or Adoption Organizations. Approximately 6.5 million companion animals enter the United States animal shelters nationwide every year, approximately 3.3 million dogs and 3.2 million cats, and approximately 1.5 million of those are euthanized. Currently, a public or private shelter may enter into a cooperative agreement with any animal rescue or adoption organization for a dog, cat or rabbit, which allows the shelter to release the animal to the rescue or adoption organization rather than have the animal euthanized. The rescue or adoption organization need only request the release of the animal to their possession so they may attempt to have the animal adopted. Local City/County Ordinances and Other State Efforts Similar to this Bill. Approximately 34 cities in California have established ordinances that restrict or outright ban the retail sale of animals at pet stores, specifically dogs, cats, and rabbits. Across the country there are at least 16 states with one or more cities with prohibitions on selling live cats, dogs, or rabbits at a retail pet store, and Canada, recently enacted prohibitions on the selling of these animals as well in pet stores. FISCAL EFFECT: Appropriation: No Fiscal Com.: No Local: No SUPPORT: (Verified 8/29/17) Social Compassion in Legislation (source) Actors and Others for Animals AGWC Rockin' Rescue Alicia Pet Care Center All About the Animals Alley Cat Allies American Rat Terrier Rescue Corp. American Society for the Prevention of Cruelty to Animals Animal Friends of the Valley Animal Hope and Wellness Foundation Animal Legal Defense Fund Animal Protection and Rescue League Animal Rescue Recon Animal Shelter Assistance Program Best Friends Animal Society Bow -Wows & Meows, Inc. Bunnies Urgently Needing Shelter California Animal Control Directors Association Camp Cocker Rescue 507 of 525 AB 485 Page 6 Cities of Antioch, Carlsbad, Encinitas, La Quetta, Long Beach, Los Angeles, Sacramento, Signal Hill, Turlock, and West Hollywood Coastal German Shepherd Rescue San Diego Councilmember Esther C. Sanchez, City of Oceanside Councilmember Melissa Fox, City of Irvine Councilmembers Mona Rios and Alejandra Sotelo-Solis, City of National City Davey's Voice David Toro Foundation Dog Adoption and Welfare Group Dog Squad Rescue East Bay Rabbit Rescue Fix Long Beach Fresno Humane Animal Services Friends of Long Beach Animals Gentle Barn Golden State Humane Society Harley' s Dream Healthy Spot Helen Sanders CatPAWS Humane Society of the United States Humane Society Silicon Valley Humane Society Veterinary Medical Association It's The Pits Labrador Rescuers of San Diego Last Chance for Animals Last Chance for Animals, San Diego Chapter Lobby for Animals Lucy Pet Foundation Mayor Pro Tem David J. Toro, City of Colton Mayor Will Rogers, City of Burbank National Animal Rescue Coalition NOAH — Not One Animal Harmed Oakland Animal Services Ozzy Foundation Palm Springs Animal Shelter Passion for Paws Rescue Paw Project Peace 4 Animals Pedro Pet Pals Peninsula Humane Society and SPCA 508 of 525 AB 485 Page 7 People for Ethical Treatment of Animals Pet Food Express Public Interest Coalition Puppy Coalition Foundation Rabbit Rescue Rescue House RESQCATS, Inc. Rockin Pets Foundation Sacramento SPCA San Diego Animal Advocates San Diego House Rabbit Society San Diego Humane Society San Francisco SPCA Santa Cruz County Animal Shelter Saving Pets One At a Time Shamrock Rescue Foundation SoulPlayMates Dog Rescue & Advocacy Southern California Bulldog Rescue, Inc. Southland Collie Rescue, Inc. Spay -Neuter Action Project Spay -Neuter Action Project SPOT Rescue Starfish Animal Rescue Start Rescue State Humane Association of California Supervisor Katy Tang, City and County of San Francisco Take Me Home Rescue Thrive Animal Rescue Wagging Dog Rescue Numerous individuals OPPOSITION: (Verified 8/29/17) American Kennel Club Animal Council Animal Issues Movement Animal Kingdom Pet Shop Broadway Puppies Bulldog Club of America California Federation of Dog Clubs California Retailers Association 509 of 525 AB 485 Page 8 Cat Fanciers' Association Chinese Shar-Pei Club of America, Inc. Citizens for Responsible Pet Ownership Dog Owners of the Golden State English Cocker Spaniel Club of Southern California Hello Puppies National Animal Interest Alliance National Federation of Independent Business Mayor Ron Morrison, City of National City Pet Industry Joint Advisory Council Pinogy PuppySpot World Pet Association Individual Pet Store Owners/Operators ARGUMENTS IN SUPPORT: Supporters write that by stopping one of the major outlets for the puppy mill pipelines in California, the Legislature is setting the standard for the rest of the country and that models already exist in responsible pet stores including Petsmart and Petco, so supporters do not believe that this bill will be an undue burden on merchants or animals control officers. Supporters state that by offering animals for adoption from nearby shelters, pet stores can save the lives of animals in search of a home, save the breeding animals trapped in puppy mills, and relieve pressure on county and city budgets and local taxpayers. ARGUMENTS IN OPPOSITION: Opponents argue that this bill is an extreme overreach that could shut down many small, local pet stores that provide healthy, quality pets to the public. Opponents state concerns that the Author has rejected amendments that would provide that retail stores can only obtain dogs and cats from USDA -licensed breeders (or breeders exempt from USDA licensing requirements) that have not been cited for any direct or critical noncompliance violation under the AWA for a two-year period prior to offering for sale any dog or cat and have not been cited for non-compliance during the most recent inspection by the USDA. ASSEMBLY FLOOR: 55-11, 5/30/17 AYES: Aguiar-Curry, Arambula, Baker, Berman, Bloom, Bocanegra, Bonta, Brough, Burke, Calderon, Cervantes, Chavez, Chiu, Chu, Cooley, Dababneh, Daly, Flora, Friedman, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gomez, Gonzalez Fletcher, Gray, Holden, Irwin, Jones -Sawyer, Kalra, Levine, Limon, Low, Maienschein, McCarty, Medina, Mullin, Muratsuchi, Nazarian, O'Donnell, 510 of 525 AB 485 Page 9 Quirk, Quirk -Silva, Reyes, Ridley -Thomas, Rodriguez, Rubio, Salas, Santiago, Mark Stone, Thurmond, Ting, Waldron, Weber, Wood, Rendon NOES: Bigelow, Caballero, Fong, Ga lagher, Harper, Lackey, Mathis, Melendez, Obemolte, Patterson, Voepel NO VOTE RECORDED: Acosta, Travis Allen, Chau, Chen, Choi, Cooper, Cunningham, Dahle, Eggman, Frazier, Grayson, Kiley, Mayes, Steinorth Prepared by: Bill Gage / B., P. & E.D. / 9/9/17 16:08:11 **** END **** 511 of 525 AB 485 Paw, 1 CONCURRENCE IN SENATE AMENDMENTS AB 485 (O'Donnell and Dababneh) As Amended September 7, 2017 Majority vote ASSEMBLY: 55-11 (May 30, 2017) SENATE: 38-0 (September 12, 2017) Original Committee Reference: B. & P. SUMMARY: Prohibits a pet store operator from selling a live cat, dog, or rabbit in a retail pet store unless the dog, cat, or rabbit was obtained from a public animal control agency or shelter or rescue group as defined; requires all authorized sales of dogs and cats to be in compliance with laws requiring the spaying or neutering of animals ; permits a public or private shelter to enter into cooperative agreement with animal rescue or adoption organizations regarding rabbits; and requires pet stores to maintain and post records relating to the source of each dog, cat, or rabbit the pet store sells for at least one year. The Se nate amendments: 1) Remove language relative to enforcement by animal control officers. 2) Revises language to allow pet stores to sell dogs, cats, or rabbits sourced from a nonprofit "rescue group" instead of a nonprofit "animal rescue or adoption organization. " 3) Define "rescue group" for purposes of the bill to mean a nonprofit organization that does not obtain animals from breeders or brokers for compensation. 4) Require the maintenance and posting of records relating to the source of all dogs, cats, and rabbits sold. 5) Expressly provide that violators of the section are subject to a $500 civil penalty, per animal, and not a misdemeanor. 6) State that the section does not prohibit a local governing body from adopting more protective animal welfare requirements. 7) Exempts a pet store operator subject to this section from certain requirements that are relevant to animals obtained from breeders or other sources than rescue groups. THIS BILL: 1) Prohibits a pet store operator from selling a live cat, dog, or rabbit in a retail pet store unless the dog, cat, or rabbit was obtained from a public animal control agency or shelter or rescue group that is in a cooperative agreement with at least one private or public shelter. 2) Authorizes a public or private shelter, as specified, to enter into cooperative agreements with animal rescue or adoption organizations regarding rabbits that are equivalent to existing cooperative agreements regarding dogs and cats, as specified. 512 of 525 AB 485 Page 2 3) Requires all sales of dogs and cats authorized by the bill to be in compliance with laws requiring the spaying or neutering of animals. 4) Requires pet stores to maintain records sufficient to document the source of each dog, cat, or rabbit the pet store sells or provides space for, for at least one year. 5) Requires pet stores to post, in a conspicuous location on the cage or enclosure of each animal, a sign listing the name of the public animal control agency or shelter, society for the prevention of cruelty to animals shelter, humane society shelter, or nonprofit from which each dog, cat, or rabbit was obtained. 6) Authorizes public animal control agencies or shelters to periodically require pet stores engaged in sales of dogs to provide access to records. 7) Makes a pet store operator who violates these provisions subject to a civil penalty of $500. Each animal offered for sale in violation of this section constitutes a separate violation. 8) Delays Implementation of the law until January 1, 2019. FISCAL EFFECT: According to the Senate Appropriations Committee, pursuant to Senate Rule 28.8, negligible state costs. COMMENTS: Purpose. This bill is sponsored by Social Compassion in Legislation. According to the author, "California taxpayers spend a quarter of a billion dollars annually to house and kill animals in local shelters while puppy mills throughout the country continue to mass breed animals for profit. [This bill] attempts to curtail these operations by supporting access to pet rescue and adoption in California retail pet stores. By offering puppies, kittens and rabbits for adoption from nearby shelters, pet stores can save the lives of animals in search for a home, save the breeding animals trapped in puppy mills, and relieve pressure on county budgets and local tax payers." Background. Animal and Consumer Protection Laws. In California, there are a host of laws related to the sale of pets in California, including regulations for animal care in pet stores, consumer rights, requirements for breeders, sales at swap meets, and kennels. The Pet Store Animal Care law applies to animals in pet stores and places certain requirements on how animals can be treated while in a store pending sale. For example, Health and Safety Code (HSC) Section 122353 requires that the floor of an animars primary enclosure to be constructed to prevent injury; requires primary animal enclosures to contain an enrichment device (toy); provide platforms for cats; and, cages for birds are required to be large enough for the bird to spread its wings fully, among others. A pet store operator or at least one employee is required to be present in the store at least once daily, regardless if the store is open for business. Pet stores are required to isolate and not sell those animals suspected of having a contagious condition, and ensure that each animal is treated without delay. However, there are no requirements or restrictions pertaining to the acquisition of animals for purpose of animal sales, although pet store operators are required to maintain specific documentation about an animal's health records and are also required to provide consumers with information about the breeder or broker. Pet store operators are required to maintain records for identification purposes of the person from whom the animals in the pet store was acquired, including that person's name, address, and 513 of 525 AB 485 Page 3 telephone number, and the date the animal was acquired (HSC Section 122355(d)). There are no current prohibitions on pet store operators related to the sale of puppies, kittens, rabbits or dogs acquired from individuals, brokers, or mass commercial breeders who have enforcement violations at the local, state or federal level related to animal care laws. In order to address consumer protection for the sale areal pets the Lockyer-Polanco-Farr Pet Protection Act (Pet Protection Act) specifies the requirements for retail sellers of animals to ensure purchaser protection for the sale of ill or sick animals, and provides some form of disclosures to individuals about where the animal was bred. As currently drafted, this bill would prohibit the retail sale of dogs, cats, or bunnies at a retail pet store unless that animal was obtained from an animal shelter, humane association or other non-profit. However, the specifications of the Pet Store Animal Care laws and the Pet Protection Act would still apply to the sale of shelter animals at retail stores. As currently drafted, this bill does not change or limit current practices for individuals purchasing animals from local breeders, the Internet (if applicable laws allow), other states, or by other private sales. Puppy Mills. 'Puppy Mills" or "Kitty Factories" are common terms for large commercial breeding facilities that mass produce animals for sale at retail markets. It is estimated that there are 10,000 puppy mills in the United States. These are separate from other types of breeders who produce a smaller quantity of animals and typically in California do not sell directly to retail pet outlets; however, there are no restrictions on pet stores as to where they can acquire animals for retail sale. Mass produced, commercial animal breeders are typically scrutinized for their treatment of the animals including producing sick animals, inhumane treatment, and providing abhorrent living conditions. This bill aims to limit the sales of animals in California that are from 'puppy mills," 'kitten factories" or other commercial breeding facilities and to help ensure that available shelter animals are a source of animal sales. Federal Law. The federal Animal Welfare Act was passed by Congress in 1966 and establishes minimum standards for the care and treatment of animals bred for commercial sale, exhibited to the public, used in biomedical research or commercial transport. The United States Department of Agriculture (USDA) is responsible for overseeing the commercial dog breeding industry. Breeders who sell to a pet store or consumers over the Internet are required to hold a license. However, as noted by various animal welfare organizations, federal laws provide a minimal level of specificity for animal care and violations are often found in many commercial breeding organizations, while others operate underground making enforcement of the laws difficult and challenging. According to the USDA, there are approximately 120 field -based employees who inspect licensed commercial breeding facilities in all 50 states. If a violation is found, then a facility is given a notice to correct, and in those serious cases of neglect, legal action may occur. According to the USDA, the system used to inspect a dog or cat breeding facility is based on a risk -based system. The frequency of an inspection is dependent upon a facility's compliance record, while all licensed facilities are inspected; those facilities with more compliance issues are inspected more frequently. In addition, the USDA reports that its inspectors may visit a facility when the USDA receives a complaint. Animal Shelters. According to information provided by the ASPCA (American Society for the Prevention of Cruelty to Animals), approximately 6.5 million companion animals enter the United States animal shelters nationwide every year, approximately 3.3 million dogs and 3.2 million cats, and approximately 1.5 million of those are euthanized. The Humane Society notes that across the United States there are more 3,300 shelters and a large number of non -sheltered 514 of 525 AB 485 Page 4 rescue and fostering groups. In California, there are approximately 200 shelters or rescue organizations. Local Ordinances. There are approximately 33 cities in California that have placed restrictions on the retail sale of pets at pet stores including Los Angeles, West Hollywood, Irvine, Chula Vista, San Francisco, Beverly Hills, San Marcos, Colton, Truckee, and Turlock. Other States. Across the country there are at least 16 states, including: Colorado, Florida, Georgia, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, Pennsylvania, Rhode Island, Texas, and Utah, that contain one or more cities which have enacted similar prohibitions on selling live cats, dogs, or rabbits at a retail pet store unless those animals are from a shelter. Analysis Prepared by: Jimmy Fremgen / B. & P. / (916) 319-3301 FN: 0002196 515 of 525 Date of Hearing: May 17, 2017 ASSEMBLY COMMIT"1EE ON APPROPRIATIONS Lorena Gonzalez Fletcher, Chair AB 485 (O'Donnell) — As Amended March 28, 2017 Policy Committee: Business and Professions Vote: 10 - 1 Urgency: No State Mandated Local Program: Yes Reimbursab le : No AB 485 Page 1 SUMMARY: This bill prohibits a pet store operator from selling a live cat, dog, or rabbit in a retail pet store unless the dog, cat, or rabbit was obtained from a from a public animal control agency or shelter or specified nonprofit, animal rescue or adoption organization; permits a public or private shelter to enter into cooperative agreement with animal rescue or adoption organizations regarding rabbits; and, permits an animal control officer, a humane officer, or a peace officer to enforce the pet store prohibition. FISCAL EFFECT: Non -reimbursable local costs for enforcement. COMMENTS: 1) Purpose. According to the author, "California taxpayers spend a quarter of a billion dollars annually to house and kill animals in local shelters while puppy mills throughout the country continue to mass breed animals for profit. [This bill] attempts to curtail these operations by supporting access to pet rescue and adoption in California retail pet stores. By offering puppies, kittens and rabbits for adoption from nearby shelters, pet stores can save the lives of animals in search for a home, save the breeding animals trapped in puppy mills, and relieve pressure on county budgets and local tax payers." 2) Background. The Pet Store Animal Care law applies to animals in pet stores and places requirements on how animals can be treated while in a store pending sale. A pet store operator or at least one employee is required to be present in the store at least once daily, regardless if the store is open for business. Pet stores are required to isolate and not sell animals suspected of having a contagious condition, and ensure that each animal is treated without delay. There are no requirements or restrictions pertaining to the acquisition of animals for purpose of animal sales, although pet store operators are required to maintain specific documentation about an animal's health records and are also required to provide consumers with information about the breeder or broker. Pet store operators are required to maintain records for identification purposes of the person from whom the animals in the pet store was acquired, including that person's name, address, and telephone number, and the date the animal was acquired. 'Puppy Mills" or "Kitty Factories" are common terms for large commercial breeding facilities that mass produce animals for sale at retail markets. It is estiurated that there are 10,000 puppy mills in the United States. These are separate from other types of breeders who produce a smaller quantity of animals and typically in California do not sell directly to 516 of 525 AB 485 Page 2 retail pet outlets; however, there are no restrictions on pet stores as to where they can acquire animals for retail sale. The United States Department of Agriculture (USDA) oversees the commercial dog breeding industry. Breeders who sell to a pet store or consumers over the Internet are required to hold a license. According to the USDA, there are approximately 120 field -based employees who inspect licensed commercial breeding facilities in all 50 states. If a violation is found, then a facility is given a notice to correct, and in those serious cases of neglect, legal action may occur. The frequency of an inspection is dependent upon a facility's compliance record, while all licensed facilities are inspected; those facilities with more compliance issues are inspected more frequently. In addition, its inspectors may visit a facility when the USDA receives a complaint. The ban on retail pet sales is an attempt to reduce the number of animals sold in this state from 'puppy mills" or "kitty factories." This bill seeks to ensure that private or public animal shelters can enter into cooperative agreements with recuse organizations for rabbits, as they currently do with dogs and cats. 3) Arguments in Support. Supporters believe this bill will decrease the demand for puppies and kittens bred in puppy and kitty mills and will provide greater opportunities for placing animal shelter and rescue animals. They also assert that this bill is not an undue burden on merchants nor animals control officers. 4) Arguments in Opposition. Opponents believe that the restriction is too strict and that there should be an exception in the bill for animals purchased from Responsible Breeders, and that a definition of "Responsible Breeders" should be included in the bill. Other assert that the bill severely restricts consumer choice, and will not stop puppy mills, but instead will spur the growth of an unregulated market. 5) Prior Legislation. SB 945 (Moaning), Chapter, Statutes of 2015, established standards for pet boarding facilities and pet boarding operators, as specified. AB 339 (Dickenson), Chapter 231, Statues of 2013, made it unlawful to sell animals at a swap meet unless the local jurisdiction has adopted an ordinance that includes specified requirements relating to the care and treatment of animals, beginning January 1, 2016. AB 490 (Smyth), Chapter, 446, Statutes of 2009, revised the guidelines by which a pet store operator or employee may euthanize rodents and rabbits intended as food for another animal, and modifies the definition of a pet store, as specified. AB 241 (Nava) of the 2008-09 would have prohibited any person or business entity from owning more than 50 adult unsterilized dogs or cats for the purposes of breeding them for pets. This bill was vetoed by then Governor Schwarzenegger. Analysis Prepared by: Jennifer Swenson / APPR. / (916) 319-2081 517 of 525 CC/CDC-HA Agenda 10/3/2017 — Page 518 The following page(s) contain the backup material for Agenda Item: Resolution of the Community Development Commission -Housing Authority of the City of National City authorizing the Executive Director to execute an Acknowledgment and Agreement to the Letter of Consent from Copper Hills Limited Partnership dated September 518 of 525 CITY OF NATIONAL CITY, CALIFORNIA COMMUNITY DEVELOPMENT COMMISSION -HOUSING AUTHORITY COUNCIL AGENDA STATEMENT MEETING DATE: October 3, 2017 AGENDA ITEM NO. ITEM TITLE: Resolution of the Community Development Commission -Housing Authority of the City of National City authorizing the Executive Director to execute an Acknowledgment and Agreement to the Letter of Consent from Copper Hills Limited Partnership dated September 18, 2017, approving the transfer in interest of Centerline California Corporate Partners IV, L.P., and Related California Corporate IV SLP, L.P. as Limited Partners to National Community Renaissance of California, a California non-profit corporation, or an affiliate of the General Partner, to enable the refinancing and rehabilitation of Vista del Sol Apartments located at 1545 Q Avenue in Natinnal City. PREPARED BY: Carlos Aguirre, Housing and Econ. Dev. Mgr. PHONE: 619-336-4391 EXPLANATION: See Attachment No. 1 FINANCIAL STATEMENT: ACCOUNT NO. DEPARTMENT: Housing & Economic Dev. APPROVE APPROVED' APPROVED: Finance MIS There is no fiscal impact caused by the transfer, as the General Partner and the new Limited Partner will still be responsible for the existing indebtedness owed to the Housing Authority. ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Adopt the Resolution. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: 1: Background Report 2: Consent Letter 3: Resolution 519 of 525 Attachment No. 1 REFINANCE OF VISTA DEL SOL (FORMERLY "Q" AVENUE COMMUNITY) BACKGROUND National Community Renaissance of California, a California non-profit corporation, (NCRC) recently submitted a tax-exempt bond application for Vista Del Sol (Property) as part of a new plan to refinance and rehab the Property. The Property, located at 1545 "Q" Avenue, National City, CA 91905, is a 132 unit collection of apartment buildings which NCRC' acquired and rehabbed with financial assistance from the Community Development Commission of the City of National City (CDC) in 1998. On June 8, 2016, as part of the refinancing of the Property, the Community Development Commission -Housing Authority (CDC -HA), as the Housing Successor Agency to the CDC, executed a Commitment letter to enable CDC-HA's existing loan(s) to be assigned to and assumed by NCRC or a NCRC formed limited partnership as a new loan (New Loan) under the following terms: • Loan Amount —Up to $7,646,061" which is the loan balance and accrued interest of the CDC -HA Residual Receipts Loan and CDC -HA Rehabilitation loan as of December 31, 2015. (No additional or new CDC -HA funding is contemplated or proposed in this Commitment Letter); • Interest Rate — 3% simple per annum; • Term of Affordability — 57 years from the date the Assignment & Assumption Agreement and related documents are executed; • Term of the Loan — 57 years from the date the Assignment & Assumption Agreement and related documents are executed; • Repayment: Annual payments based on a to -be -determined percentage of residual receipts to be defined in the assignment and assumption agreement and related document; and, • Collateral: Deed of trust secured by the land and improvements. The New Loan will be non -recourse and subject to meeting all CDC -HA requirements and acceptance of due diligence documentation. The proposed Sources & Uses under the refinancing plan is on the following page. 1 of 2 520 of 525 Attachment No. 1 SOURCES OF FUNDS Total First Mortgage $ 8,236,695 Deferred DevNote 174,392 General Partner Equity 100 Refinance Loan - CDC of City ofNational City Loans (Assumption) 7,646,061 Seller Carryback Grants and Federally Loan (NCRC) 2,895,295 -Subsidized Loans: All grant Historic proceeds and BMIR Loans used to finance costs in eligible basis - - Credits I Limited Partner Equity 8,585,157 TOTAL SOURCES OF FUNDS 27,537,699 USES OF FUNDS Land and Bolding Acquisition 12,484,626 Construction' Hard" Costs 7,149,660 Contractor and Developer Fees i 2,438,891 Soft Costs 5,464,522 TOTAL. ITSFC OF FUNDS P 27.517.699 Under the proposed refinancing and rehabilitation plan, NCRC intends to secure tax exempt bond and tax credit allocations and close financing and begin rehabilitation of Vista del Sol in late 2017 or early 2018. In order to proceed with new financing, Centerline California Corporate Partners IV L.P. and Related California Corporate IV SLP, L.P. must agree to transfer their entire interest in the as Limited Partners to NCRC as the new Limited Partner. The purpose of the attached letter is to request written consent to the transfer of the interest of the Investor Limited Partner and the Special Limited Partner in the Partnership. Pursuant to CDC -HA loan requirements, the Borrower shall not sell, convey, transfer, or dispose of the Property, or any part thereof or interest therein, without first obtaining the written consent of the Lender. The Partnership will remain subject to all existing indebtedness to the CDC -HA. ' NCRC (formerly Southern California Housing Development Corporation) is the developer and property manager of the Property and through its affiliate, The Southern California Housing Development Corporation of Orange, formed Copper Hills Apartments Limited Partnership, to own the Property for tax credit syndication purposes. CDC Residual Receipts Loan Balance as of December 31, 2015 - $973,707: CDC Accrued Interest as of December 31, 2015 - $2,434; CDC Rehabilitation Loan Balance as of December 31, 2015 - $4,454,037; CDC Accrued Interest as of December 31, 2015 - $2,215,883. 2 of 2 521 of 525 Attachment No. 2 Copper Hills Apartments Limited Partnership c/o Southem California Housing Development Corporation of Orange 9421 Haven Avenue Rancho Cucamonga, CA 91730 September 18, 2017 Ms. Leslie Deese Executive Director Community Development Commission -Housing Authority ("CDC -HA") City of National City 140 East 12th Street, Suite B National City, California 91950-6530 Copper Hills Apartments Limited Partnership (the "Partnership") Dear Ms. Deese: Reference is hereby made to that certain Residual Receipts Loan, dated February 9, 1999 and the Rehabilitation Loan, dated June 1, 1999 in the original principal amounts of $2,400,000 and $4,454,037 respectively (the "Loans") from the City of National City Community Development Commission -Housing Authority (the "Lender") to the Partnership, pursuant to that certain Affordable Housing Agreement, Regulatory Agreement and Declaration of Restrictive Covenants, and Operating and Maintenance Agreement, dated December 7, 1998 (the "Loan Agreements"), in connection with the development, construction and operation of that 132-unit apartment complex in National City, California, known as "Vista del Sol Apartments" (the "Property"). The Loans are evidenced by that certain Residual Receipts Promissory Note dated as of February 9, 1999 and that Rehabilitation Promissory Note, dated as of June 1, 1999 (the "Notes") and secured by that certain Deed of Trust dated as of February 9, 1999 and that Construction Deed of Trust, dated as of June 1, 1999 (the "Mortgages") from the Partnership to the Lender. Centerline California Corporate Partners IV LP, the 99.98% investor limited partner of the Partnership (the "Investor Limited Partner"), and Related California Corporate IV SLP, L.P., the 0.01 % special limited partner of the Partnership (the "Special Limited Partner"), have agreed to transfer their entire interest in the Partnership to National Community Renaissance of California, a California non-profit corporation ("NCRC") or an affiliate of the General Partner, as defined below. NCRC is affiliated with the Southern California Housing Development Corporation of Orange, the current general partner of the Partnership (the "General Partner"). The purpose of this letter is to request your written consent to the transfer of the interest of the Investor Limited Partner and the Special Limited Partner in the Partnership. Pursuant to Section 6 of the Notes, the Borrower shall not sell, convey, transfer, or dispose of the Property, or any part thereof or interest therein, without first obtaining the written consent of the Lender. The Partnership will remain subject to all existing indebtedness, including the Loan. KH 3471 14.2 522 of 525 1 Attachment No. 2 Name: Title: ACKNOWLEDGED AND AGREED BY LENDER: Copper Hills Apartments Limited Partnership September 18, 2017 Any reference to the Investor Limited Partner or the Special Limited Partner in the Loan Documents shall henceforth be deemed to refer to NCRC or the designated affiliate of the General Partner and all notices should be sent to: National Community Renaissance of California 9421 Haven Avenue Rancho Cucamonga, CA 91730 Attention: Kevin Chin Please acknowledge consent of such transfer by executing a copy of this letter where indicated below and returning (i) an original executed acknowledgment to my attention at the address listed above and (ii) a copy of the executed acknowledgement to Kevin Chin, Vice President of Project Development via email at kchin@nationalcore.org Please feel free to contact Kevin Chin at (909) 204-3540 or Sara Silverstein at Klein Hornig LLP, at (202)-842-9006, ssilverstein@kleinhornig.com, with any questions. Thank you for your prompt attention to this matter. Sincerely, COPPER HILLS APARTMENTS LIMITED PARTNERSHIP By: SOUTHERN CALIFORNIA HOUSING DEVELOPMENT CORPORATION OF ner By: /AJti�-1 J (�fL-FW L f �AJL CITY OF NATIONAL CITY COMMUNITY DEVELOPMENT COMMISSION -HOUSING AUTHORITY By: Leslie Deese Its: Executive Director cc: Atty. Alison Wadle, Alden Torch Financial Atty. Chrysa Long, Klein Hornig LLP Atty. Sara Silverstein, Klein Hornig LLP KM'Meilc4.2 523 of 525 2 RESOLUTION NO. 2017 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION -HOUSING AUTHORITY OF THE CITY OF NATIONAL CITY AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE AN ACKNOWLEDGMENT AND AGREEMENT TO THE LETTER OF CONSENT FROM COPPER HILLS APARTMENTS LIMITED PARTNERSHIP DATED SEPTEMBER 18, 2017, APPROVING THE TRANSFER IN INTEREST OF CENTERLINE CALIFORNIA CORPORATE PARTNERS IV, L.P., AND RELATED CALIFORNIA CORPORATE IV SLP, L.P., AS LIMITED PARTNERS TO NATIONAL COMMUNITY RENAISSANCE OF CALIFORNIA, A CALIFORNIA NON-PROFIT CORPORATION, OR AN AFFILIATE OF THE GENERAL PARTNER, TO ENABLE THE REFINANCING AND REHABILITATION OF VISTA DEL SOL APARTMENTS LOCATED AT 1545 Q AVENUE IN NATIONAL CITY WHEREAS, National Community Renaissance of California ("NCRC") intends to submit a tax-exempt bond application for Vista Del Sol (the "Property") due June 14, 2016 as part of a new plan to refinance and rehabilitate the multi -family complex located at 1545 "Q" Avenue that consists of 132 units; and WHEREAS, NCRC acquired and rehabilitated the Property with financial assistance from the Community Development Commission of the City of National City ("CDC") in 1998; and WHEREAS, on June 8, 2016, as part of the refinancing of the Property, the Community Development Commission -Housing Authority ("CDC -HA") executed a Commitment Letter to enable CDC-HA's existing loan(s) to be assigned to and assumed by NCRC or a NCRC formed limited partnership as a new loan; and WHEREAS, under the proposed refinancing and rehabilitation plan, NCRC intends to secure tax-exempt bond financing and tax credit allocations and close financing and begin rehabilitation of Vista del Sol in late 2017 or early 2018; and WHEREAS, in order to proceed with new financing, Centerline California Corporate Partners IV L.P., and Related California Corporate IV SLP, L.P., must agree to transfer their entire interest in the as Limited Partners to NCRC as the new Limited Partner; and WHEREAS, pursuant to CDC -HA loan requirements, the Borrower shall not sell, convey, transfer, or dispose of the Property, or any part thereof or interest therein, without first obtaining written consent; and WHEREAS, Copper Hills Apartments Limited Partnership is requesting written consent from the CDC -HA to transfer the interest of the Investor Limited Partner and the Special Limited Partner in the Partnership to NCRC or an affiliate of Southern California Housing Development Corporation of Orange (General Partner) to facilitate the refinancing and rehabilitation of Vista del Sol Apartments. NOW, THEREFORE, BE IT RESOLVED that the Community Development Commission -Housing Authority of the City of National City hereby authorizes its Executive Director to execute the Acknowledgment and Agreement to the Letter of Consent from Copper Hills Apartments Limited Partnership dated September 18, 2017, approving the transfer in interest of Centerline California Corporate Partners IV, L.P., and Related California Corporate IV 524 of 525 Resolution No. 2017 — Page Two SLP, L.P., as Limited Partners to National Community Renaissance of California, a California non-profit corporation, or an affiliate of the General Partner, to enable the refinancing and rehabilitation of Vista del Sol Apartments located at 1545 "Q" Avenue in National City, a copy of the Consent Letter, dated September 18, 2017, containing the Acknowledgment and Agreement executed by the Executive Director, is on file in the office of the City Clerk. PASSED and ADOPTED this 3rd day of October, 2017. ATTEST: Leslie Deese, Secretary APPROVED AS TO FORM: Angil P. Morris -Jones General Counsel Ron Morrison, Chairman 525 of 525