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HomeMy WebLinkAbout2009 09-15 CC CDC AGENDA PKT (8)City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE Septemher 15, 2009 AGENDA ITEM NO. 19 �TEM TITLE A report on vacant retail spaces and efforts to assist property owners with vacant retail spaces. PREPARED BY (� Patricia Beard ext 4255 1`-tr Redevelopment Manager DEPARTMENT Community Development EXPLANATION The economic downturn of 2008-09 has resulted in decreased consumer spending, impacting several retailers in National City. Through direction from the City Manager's office, staff has been seeking to assist property owners in instances where stores, such as Mervyn's, Circuit City and auto dealers have closed. Staff will report on the status of retail vacancies and provide an update on efforts to refill currently empty retail spaces. (Please see the attached Background Report for detailed information about retail vacancies.) Environmental Review Not applicable Financial Statement Decreased consumer spending due to the economic downturn has resulted in a projected reduction of sales taxes to the General Fund for FY 09-10. Account No STAFF RECOMMENDATION Accept and file. BOARD / COMMISSION RECOMMENDATION STRATEGIC GOAL: 1 c) Accurately forecast finances and manage investments wisely. ATTACHMENTS Resolution No. 1. Background Report ATTACHMENT 1 BACKGROUND REPORT In the autumn of 2008, the City learned that Mervyn's Department Stores were closing all stores nationally and going out of business. National City was home to two Mervyn's and would lose both jobs and municipal revenues due to the closures. As the economic downtown worsened, the City learned that Circuit City was also closing nationally and three new car dealerships on the Mile of Cars closed. The franchise for San Diego Dodge was bought by Tony McCune and consolidated into the McCune dealerships on the Mile of Cars, leaving a vacant dealership site. The Volvo and Saturn franchises were withdrawn from National City. The projected decrease in sales tax due to decreased consumer spending and business closures for fiscal year 2009-10 is more than $3 million dollars — a significant amount that is needed to fund police and fire services, keep public facilities open and maintain full City services for residents and businesses. The City is working with property owners facing vacancies to aide in retail recruitment. This Background Report provides a summary of the status of business vacancies and staff efforts. Mervyn's: Mervyn's stores were located at Plaza Bonita Mall and on Highland Avenue. The ground floor of the Plaza Bonita location has been leased to John's Incredible Pizza. This restaurant, which includes amusements such as a roller coaster and games, is an exciting addition to Plaza Bonita and is expected to open in spring, 2010. Staff is assisting Westfield, owners of Plaza Bonita, to locate a tenant for the second floor. SEA Properties, owners of the Highland location, have signed a grocery tenant — El Super Market — for most of the vacant retail space at the Highland Avenue location. The store is expected to open in the second quarter of 2010. Circuit City: Five nationally -known retailers are being pursued by Cushman Wakefield Realtors to fill the Sweetwater Road Circuit City site. These include TJ Maxx, 99 Ranch, Petco, JoAnn's and Fresh and Easy. Cushman and Wakefield believe one of these retailers will sign a lease for the site before year end. Mile of Cars: Staff is working with the Mile of Cars Association to launch a recruitment campaign for new dealers. Subaru of America, Inc. has filled the vacated Saturn dealership, however two dealership sites remain vacant. Please see the complete inventory of vacancies that follows. fge20091MtctosotCotp02008NAV1EQ,andfo ele:Atlas;lnc FOR LEASE 1 1040 National City Blvd. - National City, CA 91950 - Direct Lease SuitelFloor: Space Available: Space Type: Space 1 15,560 SF Office Office -R&D http:lllisti ng.loopnetcom/16370467 Rental Rate: Lease Type: LoopNet ID: Status: $7.71/SF/Year Industrial Gross 16370467 Available 2 Grove Plaza Shopping Center-222o-2240 E. Plaza Blvd., National City, CA 91950 -Direct: Lease Suite/Floor: Space Available: Space Type: P-2 925 SF Shopping Center Neighborhood Center http://l Isting.loop net com/15426935 Rental Rate: Lease Type: LoopNetID: Status: $23.40/SF/Year N/A 15426935 Available Page 1 of 10 Created: 9/2/2009 LoopNet, Inc. Ct Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by LoopNet a Grove Plaza Shopping Center - 2220-224C E. Plaza Blvd.. National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: K-2 912 SF Shopping Center Neighborhood Center httpallisting.loopnetcorn/15426935 Rental Rate: Lease Type: LoopNet ID: Status: $23.40/SF/Year N/A 15426935 Available 2 Grove Plaza Shopping Center - 2220-2240 E P.aza Blvd.. National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: I-1 655 SF Shopping Center Neighborhood Center httpallisting.loopnet.com/15426935 Rental Rate: Lease Type: LoopNet ID: Status: $33.00/SF/Year NNN 15426935 Available 3 RETAIL/AUTOMOTIVE PROPERTY - 1532 National City Blvd. National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: Space 1 3,668 SF Retail Vehicle Related httpallisting.loopnet.com116000016 Rental Rate: Lease Type: LoopNet ID: Status: 4 VAPS LLC - 148 E. 30st, National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: A4 511 SF Office Office Building http://listing.loopnetcom115099899 4 VAPS LLC - 148 E. 30st, National Cit Suite/Floor: Space Available: Divisible To: Space Type: 1 1,358 SF 600 SF Office Office Building httpallisting.loopnetcom115099899 Rental Rate: Lease Type: Parking Ratio: LoopNet ID: Status: CA 91950 - Direct Lease Rental Rate: Lease Type: Parking Ratio: LoopNet ID: Status: $1620/SF/Year NNN 16000016 Available $15.00/SF/Year Modified Gross 4/1,000 SF 15099899 Available $20.40/SF/Year Modified Gross 4/1,000 SF 15099899 Available Page 2 of 10 Created: 912/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by Looptiet- 4 VAPS LLC - 148 E. 30st. National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: A3 1,102 SF Industrial Flex Space http://listIng.loopnetcom/15099899 Rental Rate: Lease Type: Parking Ratio: LoopNet ID: Status: $17.40/SF/Year Modified Gross 4/1,000 SF 15099899 Available 5 South Bay Marketplace - 3400-3470 Highland Avenue, National City, CA 91950 htta:/INshng.loopnetcom/15284890 This property is fully leased 6 Sweetwater Plaza West - 1635 Sweetwater Rd.. National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: 1st 1,600 SF Shopping Center Community Center http://listing.loopnet.com/14940186 Rental Rate: Lease Type: LoopNet ID: Status: $16.201SF/Year NNN 14940186 Available 1 LOW LEASE RATE!!!!, LOW NNN'S!!!!, GREAT CORNER!!! - 205-217 Highland Ave., National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 217 6,890 SF 8,050 SF Shopping Center Strip Center httpitlisting.l000net.com115040618 Rental Rate: Lease Type: LoopNet ID: Status: $10.20/SF/Year NNN 15040618 Available $ Southbay Plaza - 1240 E. Plaza Blvd.: National City, CA 91950 - Direct Lease SuitelFloor: Space Available: Space Type: Is Space 1 1,200 SF Retail Restaurant 1 1 Rental Rate: Lease Type: LoopNet ID: Status: $27.00/SF/Year NNN 16380561 Available 9 Sweetwater Plaza East - 1717-1747 Sweetwater Rd, National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: 1727D 675 SF Retail Retail (Other) http:Hiisting.loopnetcom/16374965 Rental Rate: Lease Type: LoopNet ID: Status: Negotiable NNN 16374965 Available Page 3 of 10 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Cell% Powered by i 00%lNet 9 Sweetwater Plaza East - 1717-1747 Sweetwater Rd. National city, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: 1727L 2,400 SF Retail Retail (Other) http:Alisting.loopnet.com116374965 Rental Rate: Lease Type: LoopNet ID: Status: Negotiable NNN 16374965 Available 9 Sweetwater Plaza East - 1717-1747 Sweetwater Rd. National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: 1727R 670 SF Retail Retail (Other) http:/Aisting.ioopnetcom116374965 Rental Rate: Lease Type: LoopNet ID: Status: Negotiable NNN 16374965 Available 9 Sweetwater Plaza East - 1717-1747 Sweetwater Rd, National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: 1747A-C 3,200 SF Retail Retail (Other) http://listing.loopnetcom116374965 Rental Rate: Lease Type: LoopNet ID: Status: Negotiable NNN 16374965 Available 9 Sweetwater Plaza East - 1717-1747 Sweetwater Rd. National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: Kiosk 135 SF Retail Retail (Other) http:Aisting.loopnet.com/16374965 Rental Rate: Lease Type: LoopNet ID: Status: Negotiable NNN 16374965 Available 10 Bay Plaza Shopping Center- 1420-1430 E. Plaza Blvd. National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: B2 4,550 SF Shopping Center Strip Center http:/Aisting.loopnetcoml15193118 Rental Rate: Lease Type: LoopNet ID: Status: $33.00/SF/Year N/A 15193118 Available Page 4 of 10 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. C Powered by LoopNet- 10 Bay Plaza Shopping Center -1420-1430 E. Plaza Blvd. National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Divisible To: Space Type: D2 3,500 SF 1,500 SF Shopping Center Strip Center httplAlsting.loopnet.com/15193118 Rental Rate: Lease Type: LoopNet ID: Status: $28.80/SF/Year NNN 15193118 Available 10 Bay Plaza Shopping Center - 1420-1430 E. Plaza Blvd. Nat onal City, CA 91950 - Direct Lease Suite/Floor: Space Available: Divisible To: Space Type: D5 2,000 SF 1,000 SF Shopping Center Strip Center http:/llisting.loonnetcom/15193118 10 Bay Plaza Shopping Center - 1420-1430 Lease Suite/Floor: Space Available: Space Type: E6 918 SF Shopping Center Strip Center http:litisting.ioopnetcom/15193118 10 Bay Plaza Shopping Center - 1420-1430 Lease Suite/Floor: Space Available: Space Type: E7B 1,599 SF Shopping Center Strip Center http:lliisting.ioopnetcom115193118 Rental Rate: Lease Type: LoopNet ID: Status: $30.00/SF/Year NNN 15193118 Available E. Plaza Blvd, National City, CA 91950 - Direct 10 Bay Plaza Shopping Center -1420-1430 Lease Suite/Floor: Space Available: Space Type: E17 835 SF Shopping Center Strip Center http:Nllsting.loopnetcoml15193118 Rental Rate: Lease Type: LoopNet ID: Status: $37.08/SF/Year NNN 15193118 Available E. Plaza Blvd, National C ty, CA 91950 - Direct Rental Rate: Lease Type: LoopNet ID: Status: $34.20/SF/Year NNN 15193118 Available E. Plaza Blvd, National City, CA 91950 - Direct Rental Rate: Lease Type: LoopNet ID: Status: $34.20/SF/Year NNN 15193118 Available Page 5 of 10 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. 46) Powered by LoopNet 10 Bay Plaza Shopping Center - 1420-1430 E. Plaza Blvd, National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: E18 560 SF Shopping Center Strip Center httpJ/listing,loopnetcom115193118 Rental Rate: Lease Type: LoopNet ID: Status: $34.20/SF/Year NNN 15193118 Available io Bay Plaza Shopping Center - 1420-1430 E. Plaza Blvd, National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: E23 250 SF Shopping Center Strip Center http:/11isting.loopnetcom/15193118 Rental Rate: Lease Type: LoopNet ID: Status: $36.00/SF/Year NNN 15193118 Available 10 Bay Plaza Shopping Center- 1420-1430 E. Plaza Blvd. National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: E19 1,359 SF Shopping Center Strip Center http://iisting.loopnetcond15193118 Rental Rate: Lease Type: LoopNet ID: Status: $28.68/SF/Year NNN 15193118 Available 10 Bay Plaza Shopping Center- 1420-1430 E. Plaza Bivd. National City, CA 91950 -Direct Lease Suite/Floor: Space Available: Space Type: K13 80 SF Shopping Center Strip Center http://listing-l000netcom/15193118 Rental Rate: Lease Type: LoopNet ID: Status: Negotiable NNN 15193118 Available 11 Harbor View Commercial Condos - East 8th St & D Ave. National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 406 E 8th St 2,434 SF 5,984 SF Retail Street Retail http://listing.loopnetcom/18299855 Rental Rate: Lease Type: LoopNet ID: Status: $22.80/SF/Year NNN 16299855 Available Page 6 of 10 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by LoopNet 11 Harbor View Commercial Condos - East 8th St & D Ave. Nat oral City. CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 408 E 8th St 2,405 SF 5,984 SF Retail Street Retail http:/llisting.loopnet.com/16299855 Rental Rate: Lease Type: LoopNet ID: Status: $22.80/SF/Year NNN 16299855 Available 11 Harbor View Commercial Condos - East 8th St & D Ave, Natona'. City, CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 410 E 8th St 1,145 SF 5,984 SF Retail Street Retail http:/listing.loopnet.com116299855 Rental Rate: Lease Type: LoopNet ID: Status: $22.80/SF/Year NNN 16299855 Available 11 Harbor View Commercial Condos - East sth st & D Ave, National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 819 D St 1,341 SF 6,454 SF Retail Street Retail http:lAistintt.l000net.com/16299855 Rental Rate: Lease Type: LoopNet ID: Status: $21.00/SF/Year NNN 16299855 Available 11 Harbor View Commercial Condos - East 8th St & D Ave. National C',ty, CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 821 D St 1,353 SF 6,454 SF Retail Street Retail http://Iisting.loopnet.com/16299855 Rental Rate: Lease Type: LoopNet ID: Status: $21.00/SF/Year NNN 16299855 Available i l Harbor View Commercial Condos - East 8th St & D Ave. National City. CA 9195C - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 823 D St 1,354 SF 6,454 SF Retail Street Retail http:plisting.loopnet.com/16299855 Rental Rate: Lease Type: LoopNet ID: Status: $21.00/SF/Year NNN 16299855 Available Page 7 of 10 Created: 9/2/2009 LoopNet, Inc- © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by LoopNet. 11 Harbor View Commercial Condos - East 8th St & D Ave, National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: 825 D St 2,406 SF 6,454 SF Retail Street Retail http:lllisting.loopnet.Com/16299855 Rental Rate: Lease Type: LoopNet ID: Status: $21.00/SF/Year NNN 16299855 Available 12 Sweetwater Road - 1717-1747 Sweetwater Road, National City. CA 91950 - Direct Leas SuitelFloor: Space Available: Space Type: Kiosk 135 SF Retail Retail (Other) httpJ/listing.loopnet.com/16275162 Rental Rate: Lease Type: LoopNet ID: Status: $19.80/SF/Year NNN 16275162 Available 12 Sweetwater Road - 1717-1747 Sweetwater Road, National City, CA 91950 - Direct Leas Suite/Floor: Space Available: Space Type: 1727-D 675 SF Retail Retail (Other) httpJfiisting.loopnetcomf16275162 Rental Rate: Lease Type: LoopNet ID: Status: $19.80/SF/Year NNN 16275162 Available 12 Sweetwater Road - 1717-1747 Sweetwater Road, National City. CA 91950 - Direct Leas Suite/Floor: Space Available: Space Type: 1727-L 2,400 SF Retail Retail (Other) http://listingioopnet.com/16275162 Rental Rate: Lease Type: LoopNet ID: Status: $19.80/SF/Year NNN 16275162 Available 12 Sweetwater Road - 1717-1747 Sweetwater Road. National City, CA 91950 - Direct Leas Suite/Floor: Space Available: Space Type: 1727-R 670 SF Retail Retail (Other) http:fflisting.Ioopnetcom/16275162 Rental Rate: Lease Type: LoopNet ID: Status: $19.80/SF/Year NNN 16275162 Available 12 Sweetwater Road - 1717-1747 Sweetwater Road, National City, CA 91950 - Direct Leas Suite/Floor: Space Available: Space Type: 1747-A-C 3,200 SF Retail Retail (Other) http:lAisting,Ioopnetcom/16275162 Rental Rate: Lease Type: LoopNet ID: Status: $19.80/SF/Year NNN 16275162 Available Page 8 of 10 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. t"lBIY _ Powered by Looptit t 13 Sweetwater Crossings - 1502-1910 Sweetwater Road; National City. CA 91950 -Direct Lease Suite/Floor: 1510D Rental Rate: $27.00/SF/Year Space Available: 2,400 SF Lease Type: NNN Space Type: Shopping Center LoopNet ID: 15239543 Neighborhood Center Status: Available http://listing.Ioopnetcom/15239543 13 Sweetwater Crossings - 1502-1910 Sweetwater Road. Nat onal City. CA 91950 • Direct Lease Suite/Floor: 1626 E&F Space Available: 2,160 SF Space Type: Shopping Center Neighborhood Center http:!/Iisting.Ioopnet.com/15239543 Rental Rate: $27.00/SF/Year Lease Type: NNN LoopNet ID: 15239543 Status: Available 13 Sweetwater Crossings - 1502-1910 Sweetwater Road. National City, CA 91950 - Direct Lease SuitelFloor: 1510-B Rental Rate: $27.00/SF/Year Space Available: 1,800 SF Lease Type: NNN Space Type: Shopping Center LoopNet ID: 15239543 Neighborhood Center Status: Available http:/Aisting.loopnetcond15239543 13 Sweetwater Crossings - 1502-1910 Sweetwater Road, National City. CA 91950 - Direct Lease Suite/Floor: 1722 A&B Rental Rate: $27.00/SF/Year Space Available: 2,400 SF Lease Type: NNN Space Type: Shopping Center LoopNet ID: 15239543 Neighborhood Center Status: Available http:/flisting.ioopnetcoml15239543 13 Sweetwater Crossings - 1502-1910 Sweetwater Road. National City. CA 91950 - Direct Lease Suite/Floor: Anchor Rental Rate: Space Available: 33,006 SF Lease Type: Space Type: Shopping Center LoopNet ID: Neighborhood Center Status: http://Iisting.loopnetcomll5239543 $18.00/SF/Year N/A 15239543 Available 14 2940 National City Blvd - National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: SUM 68,389 SF Land Retail (land) http://listing.loopnet.com/16191566 Rental Rate: Lease Type: LoopNet ID: Status: $3.84/SF/Year Full Service Gross 16191566 Available Page 9 of 10 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by LoopNet Photo Not Provided 15 Galleria Shopping Center - 2720 E Plaza Rd, National City. CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: Space 1 645 SF Retail Retail (Other) http://listing.Ioopnetcom/16078852 Rental Rate: Lease Type: LoopNet ID: Status: $24.00/SF/Year N/A 16078852 Available 16 1241 Highland Avenue - Nationa' City. CA 91950 - Direct Lease Suite/Floor: Space Available: Maximum Contiguous: Space Type: Space 1 800 SF 2,000 SF Retail Street Retail http: llisting.loopnetcom/15899764 Rental Rate: Lease Type: LoopNet ID: Status: $11.88/SF/Year NNN 15899764 Available 16 1241 Highland Avenue - National City, CA 91950 - Direct Lease Suite/Floor: Space Available: Space Type: 1,200 SF Retail Retail (Other) http:IAisting.loopnetcoml15899764 Rental Rate: Lease Type: LoopNet ID: Status: $11.88/SF/Year NNN 15899764 Available 17 416 National City Blvd - National City, CA 91950 -Direct Lease Suite/Floor: Space Available: Divisible To: Maximum Contiguous: Space Type: Space 1 2,805 SF 2,800 SF 5,000 SF Retail Street Retail http•//listing loopnetcomi15435755 Rental Rate: Lease Type: LoopNet ID: Status: 1,8 115 W Plaza Blvd - National C'ty, CA 91950 Suite/Floor: Space Available: Space Type: 1 1,500 SF Office Office Building http:l/listing.loopnetcom/16363169 Rental Rate: LoopNet ID: Status: $12.00/SF/Year NNN 15435755 Available $27.00/SF/Year 16363169 Available Page 10 of 10 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by LoeVNlt FOR SALE ti S k t tr 5 ay 1 , kk 1 ges I y}v -02009 Nit sroSORCAT 02008NAV1EQ, and foriele Atlas Inc. ', s a , 1 Harbor View Commercial Condos - 408 E 8th St, National City, CA 91950 Property Type: Building Size: Price: PricelSF: LoopNet ID: Status: http://iisting.loopnet.com/16299941 Retail Street Retail 2,405 SF $553,150 $230.00/SF 16299941 Active 2 1325 E Plaza Blvd - National City, CA 91950 Property Type: Retail Restaurant Building Size: 6,653 SF Price: Price/SF: LoopNet ID: Status: http:tllisting.loopnet.com/16345269 $1,930,000 $290.09/SF 16345289 Active 3 2704 Highland Avenue - National City, CA 91950 Property Type: Industrial Warehouse Building Size: 15,000 SF Price: Price/SF: LoopNet ID: Status: http://listing.loopnetcomi16343363 $900,000 $60.00/SF 16343363 Active ti' Page 1 of 4 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. 1540 E 8th Street - National City, CA 91950 Property Type: Unit Size: Price: Price/Acres: LoopNet ID: Status: http:/Aisting.loopnet.com/16255361 Land Retail (land) 0.62 Acres 5 1515 Highland Avenue - National City.. Property Type: Building Size: Price: Price/SF: LoopNet ID: Status: http:/llistin$.loopnet.com1 16205751 Retail Retail (Other) 1,254 SF $590,000 $957,434/Acres 16255361 Active CA 91950 $275,000 $219.30/SF 16205751 Active 5 2830-2912 1/2 E 8th St - National City. CA 91950 Property Type: No. Units: Building Size: Year Built: Multifamily Garden/Low-Rise 7 4,100 SF 1938 Price: Price/Unit: Cap Rate: GRM: Occupancy: LoopNet ID: Status: httpJlllsting.loopnet.com116052214 $850,000 $121,429 6.61% 10.1 100% 16052214 Active 7 Highlander-2525 Highland Avenue. National City. CA 91950 Property Type: Multifamily Garden/Low-Rise No. Units: 150 Building Size: 96,000 SF Year Built: 1999 httol/Iisting.loopnet.com/16048441 Price: Price/Unit: Cap Rate: LoopNet ID: Status: $11,500,000 $76,667 7.00% 16048441 Active 8 416 National City Blvd - 416 National City Blvd., National City. CA 91950 Property Type: Building Size: Price: Price/SF: Cap Rate: LoopNet ID: Status: http:/tlisting.looanetcom/15926924 Retail Free Standing Bldg 5,000 SF $600,000 $120.00/SF 10.00% 15926924 Active Page 2 of 4 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by Looptlet- 9 Large Corner Lot with Free Standing Buildings -2829 National City Blvd.. National City. CA 91950 Property Type: Building Size: Price: Price/SF: LoopNet ID: Status: http:/flisting.loopnetcom/15914 t Retail Vehicle Related 33,000 SF 10 2202 National City Boulevard - National Property Type: Retail Street Retail Building Size: 13,500 SF Price: Price/SF: Cap Rate: LoopNet ID: Status: http•//Iistina IooanetcomH5835014 $3,900,000 $118.18/SF 15914596 Active City. CA 91950 $6,700,000 $496.301S F 6.50% 15835014 Active 2940 National City Blvd , Unit #: 1 - National City, CA 91950 Property Type: Land Commercial/ Other (land) Unit Size: 1.57 Acres LoopNet ID: Lot Size: 68,389 SF Status: http allistlnq.looanet.com/16226820 Price: Price/Acres: $3,000,000 $1,910,834/ Acres 16226820 Active 12 801 National City Blvd. -National City. CA 91950 Property Type: Retail Street Retail Building Size: 7,022 SF http:/flisting.loopnetcom/16193002_ Price: LoopNet ID: Status: Not Disclosed 16193002 Active 2127-2151 Highland Ave - National City, CA 91950 Property Type: Land Retail (land) Unit Size: 0.36 Acres Price: Price/Acres: LoopNet ID: Status: http:/flisting.loopnetcoml16163563 $995,000 $2,791,768/ Acres 16163563 Active Page 3 of 4 Created: 9/2/2009 LoopNet, Inc. 0 Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. Powered by LoopNet et 2120 Highland Ave - National Cty. CA 91950 Property Type: Land Commercial! Other (land) Unit Size: 0.78 Acres LoopNet ID: Status: http:l/listing Joopnetcom/4 5886577 Price: Price/Acres: $1,900,000 $2,445,311/ Acres 15886577 Active Page 4 of 4 Created: 9/2/2009 LoopNet, Inc. © Copyright 1995 - 2009 This information comes from users and sources believed to be reliable, but is not guaranteed. C� Powered by LooplkR- COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT National City, California IEETING DATE: Sept 15, 2009 AGENDA ITEM NO. 20 ITEM TITLE: Authorize the reimbursement of Community Development Commission expenditures in the amount of $52,226.04 to the City of National City for the period of 08/12/09 through 08/18/09 PREPARED BY: Jeanette Ladrido, DEPARTMENT Finance Finance Director (619) 336-4331 EXPLANATION: Effective July 1, 2008, the Community Development Commission's fiscal operations have been merged with the City of National City. In order to streamline the payment process, the City of National City pays for all ex- penditures for the CDC. Attached is a detailed listing of all CDC warrants paid for with the City General Funds. Staff requests ap- proval of the reimbursement of CDC activity. • Environmental Review N/A Financial Statement Approve the reimbursement of funds to the City of National City in the amount of $52,226.04 STAFF RECOMMENDATION Accept and File. BOARD/COMMISSION RECOMMENDATION N/A ♦ J TACHMENTS (Listed Below) Warrants for the period the period of 08/12/09 through 08/18/09 COMMUNITY DEVELOPMENT COMMISSION WARRANT REGISTER # 7 8/18/2009 PAYEE GENESIS COATINGS, INC. INTERNATIONAL CODE COUNCIL INC SAN DIEGO PRETZEL CO. SIZZLER RESTAURANT #45 THE KARAOKE SPECIALIST ULTIMATE STAFFING SERVICES SECTION 8 SECTION 8 HAPS PAYMENTS DESCRIPTION GRAFFITI MELT COATING INSPECTOR CERTIFICATION & MEMB ECONOMIC DEVELOPMENT LOAN ECONOMIC DEVELOPMENT LOAN ECONOMIC DEVELOPMENT LOAN NEIGHBORHOOD SVCS TEMP EMP Start Date End Date 8/12/2009 8/18/2009 CHK NO DATE 228644 8/18/09 228645 8/18/09 228646 8/18/09 228647 8/18/09 228648 8/18/09 228649 8/18/09 AMOUNT 363.33 105.00 15,000.00 3,378.00 8,000.00 2,017.40 A/P Total $ 28,863.73 23,362.31 GRAND TOTAL $ 52,226.04 COMMUNITY DEVELOPMENT COMMISSION Warrant Register # 7 8/18/2009 502 SECTION 8 FUND 511 TAX INCREMENT FUND 522 LOW/MODERATE HOUSING FUND 23,362.31 28,758.73 105.00 52,226.04 COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT National City, California EETING DATE: Sept 15, 2009 AGENDA ITEM NO. 21 ITEM TITLE: Authorize the reimbursement of Community Development Commission expenditures in the amount of $273,323.84 to the City of National City for the period of 08/19/09 through 08/25/09 PREPARED BY: Jeanette Ladrido, C Finance Director EXPLANATION: DEPARTMENT Finance (619) 336-4331 Effective July 1, 2008, the Community Development Commission's fiscal operations have been merged with the City of National City. In order to streamline the payment process, the City of National City pays for all ex- penditures for the CDC. Attached is a detailed listing of all CDC warrants paid for with the City General Funds. Staff requests ap- proval of the reimbursement of CDC activity. Environmental Review N/A Financial Statement Approve the reimbursement of funds to the City of National City in the amount of $273,323.84 STAFF RECOMMENDATION Accept and File. BOARD/COMMISSION RECOMMENDATION N/A l'ACHMENTS (Listed Bel w) Warrants for the period the period of 08/19/09 through 08/25/09 N zliCOar%askrgn COMMUNITY DEVELOPMENT COMMISSION WARRANT REGISTER #8 8/25/2009 PAYEE CITY OF CHULA VISTA BEARD CHRISTENSEN & SPATH LLP CHRISTMAS IN JULY ESSENTIA MANAGEMENT FEDEX HARRIS & ASSOCIATES ICF JONES & STOKES OPPER & VARCO PRO BUILD PRUDENTIAL OVERALL SUPPLY PRUDENTIAL OVERALL SUPPLY SAN DIEGO DAILY TRANSCRIPT SAN DIEGO HABITAT FOR HUMANITY SAN DIEGO TROLLEY INC STAPLES ADVANTAGE ULTIMATE STAFFING SERVICES TA PAINT STFLEX INDUSTRIAL DIXIELINE BUILDERS PAYROLL Pay period Start Date 17 7/28/2009 DESCRIPTION MARCH 2009 SERVICES REIMB-CA FISH & GAME MEETING LEGAL SERVICES REIMB - NC YOUTH ENHANCEMENT BROWNFIELD GRANT PROGRAM MAIL COURIER AQUATIC CENTER WESTSIDE SPECIFIC PLAN EIR HARBOR DISTRICT/ACE METALS MATERIALS - CD UNIFORMS - CD UNIFORMS - CD ADVERTISING - MARINA GATEWAY REIMB PROJECT DRAWDOWN RQST FLAGGING SERVICE OFFICE SUPPLIES - S8 TEMP EMP - NEIGHBORHOOD PAINTING SUPPLIES - CD PAINTING SUPPLIES - CD CASA FAMILIAR-1111 D AVE/1101-1109 E AV End Date Check Date 8/10/2009 8/19/2009 CHK NO DATE AMOUNT 228714 8/20/09 2,620.00 228718 8/25/09 38.50 228719 8/25/09 132.65 228720 8/25/09 10,011.00 228721 8/25/09 34,713.33 228722 8/25/09 22.50 228723 8/25/09 225.00 228724 8/25/09 7,316.75 228725 8/25/09 178.50 228726 8/25/09 76.73 228727 8/25/09 13.34 228728 8/25/09 53.36 228729 8/25/09 775.00 228730 8/25/09 74,788.00 228731 8/25/09 206.38 228732 8/25/09 119.04 228733 8/25/09 1,960.30 228734 8/25/09 884.90 228735 8/25/09 398.27 228828 8/25/09 52,769.04 A/P Total $ 187,302.59 86,021.25 GRAND TOTAL $ 273,323.84 '.- IRCOa oR rED COMMUNITY DEVELOPMENT COMMISSION Warrant Register # 8 8/25/2009 502 SECTION 8 FUND 505 HOME FUND 506 HOME LOAN PROGRAM FUND 511 TAX INCREMENT FUND 522 LOW/MODERATE HOUSING FUND 20,875.16 75, 347.26 10,011.00 112,707.79 54,382.63 273,323.84 City of National City, California COMMUNITY DEVELOPMENT AGENDA STATEMENT METING DATE September 15, 2009 AGENDA ITEM NO. 22 ITEM TITLE ITEM of the Community Development Commission of the City of National City authorizing the Chairman to execute a Memorandum of Understanding in the amount of not -to - exceed $25,000 annually with the San Diego State University Foundation to provide Business Management Technical Assistance to National City Businesses PREPARED BY Alfredo Ybarra (Ext. 4279) DEPARTMENT Community Development, Housing and Grant EXPLANATION In 2006, the Community Development Commission (CDC) collaborated with the San Diego State University Foundation (SDSU) and established the SDSU Technical Assistance Program which has to date assisted 72 local small to mid -size businesses improve and/or expand their businesses. This new Memorandum of Understanding (MOU) will require that SDSU provide business consulting to 14 businesses per academic year, with a potential of 42 businesses over the next 3-year period. The approval of this MOU would allow City staff, National City Chamber of Commerce (NCCC) and SDSU's College of Business Administration to offer a mutually beneficial service to small businesses located within the redevelopment areas of National City. Consulting teams made up of 3 to 4 students will continue to work with small businesses and make recommendations to improve business performance. The consulting process generally takes three months. National City Chamber staff and two business professors from SDSU oversee the whole process. Participating businesses are eligible for a forgivable loan up to $15,000 from the CDC to implement the recommended business improvements. The MOU will cover one year from July 1, 2009 —June 30, 2010, with the possibility of two- one year extensions. The CDC Executive Director will have sole discretion to extend the contract for each year through Spring of 2012 if warranted. Environmental Review NI N/A Financial Statement Approved By: Finance Director The MOU funding requirement of $25,000 is budgeted for fiscal year 2009-2010. The program may be extended for up to two years for total potential costs of 75,000. Account No. STAFF RECOMMENDATION Adopt Resolution BOARD / COMMISSION RECOMMENDATION ATTACHMENTS ( Listed Below) Resolution No. Memorandum of Understanding A-200 (9/99) RESOLUTION NO. 2009- RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE A MEMORANDUM OF UNDERSTANDING WITH THE SAN DIEGO STATE UNIVERSITY FOUNDATION TO PROVIDE BUSINESS MANAGEMENT AND TECHNICAL ASSISTANCE TO NATIONAL CITY BUSINESSES WITH A NOT -TO -EXCEED AMOUNT OF $25,000 ANNUALLY WHEREAS, San Diego State University, School of Business provided assistance to National City businesses in the form of individual consultation by underclassman and graduate students during a three-year period beginning in the Fall Semester of 2006 and ending in the Spring Semester of 2009; and WHEREAS, San Diego State University, School of Business has agreed to continue to provide assistance to National City businesses in the form of individual consultation by underclassman and graduate students during a three-year period beginning in the Fall Semester of 2009 and ending in the Spring Semester of 2012; and WHEREAS, the Community Development Commission of the City of National City and the San Diego State University Foundation are both desirous of executing a Memorandum of Understanding to continue to provide business management technical assistance to National City businesses. NOW, THEREFORE, BE IT RESOLVED, that the Community Development Commission of the City of National City hereby authorizes the Chairman to execute a Memorandum of Understanding with the San Diego State University Foundation to provide business management technical assistance. Said Memorandum of Understanding is on file in the office of the City Clerk. PASSED and ADOPTED this 15th day of September, 2009. ATTEST: Michael Dalla, City Clerk Ron Morrison, Mayor APPROVED AS TO FORM: George H. Eiser, III City Attorney MEMORANDUM OF UNDERSTANDING BETWEEN COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AND THE SAN DIEGO STATE UNIVERSITY FOUNDATION RECITALS A. The purpose of this Memorandum of Understanding is to create a business partnership between the Community Development Commission of National City (CDC) and the SDSU Research Foundation in order to provide business management assistance to small businesses located and operated in National City. I. TERMS A. CDC Staff or the National City Chamber of Commerce (Program Administrator) 1. Staffing and Supervision a. CDC Staff or Program Administrator will select five (5) professional advisors from the community that can be called upon by the students, SDSU staff and CDC Staff or Program Administrator to provide community perspective. b. CDC Staff or Program Administrator will pre-screen National City businesses, of which fourteen (14) will be selected annually to participate in the program. c. If for any reason (1) one or more of the selected businesses is disqualified, the CDC Staff or Program Administrator will select the next most qualified businesses. d. CDC Staff or Program Administrator will act as the liaisons between SDSU students, staff and businesses. e. This agreement will cover one year from July 1, 2009-June 30, 2010, with the possibility of two - one year extensions. At the sole discretion of the CDC Executive Director, this agreement may be extended for an additional periods for technical assistance through the Spring Semester of 2012 if warranted. B. SDSU Students 1. Staffing and Supervision a. SDSU will commit four (4) students per business. b. SDSU will commit an advising committee which consists of one (1) professor (Howard Toole, PhD and Don Sciglimpaglia, PhD) and three (3) graduate business students to oversee the undergraduate students assisting the businesses. c. SDSU undergraduate students, graduate students, and professors will provide student "consulting" for fourteen (14) businesses each academic year (seven in the Fall semester and seven in the Spring semester). Consulting is defined as providing technical assistance, resulting in a written and oral consulting report, to be delivered to CDC Staff or Program Administrator and the participating business, in the form of any or all of the following: i. Business plan creation ii. Business expansion iii. Advertising and promotion iv. Web site and use of internet computer training v. Market study or market research vi. Contract bidding vii. Customer relations viii. Cost analysis and control ix. Export/import x. Inventory control xi. Special government program xii. Taxes xiii. Accounting -bookkeeping xiv. Insurance xv. Time management scheduling xvi. Personnel management training d. SDSU graduate students, under the supervision of the faculty members of the advising committee, will provide limited short-term consulting for past participants in the program, primarily aimed at implementing previously made recommendations. Such short-term consulting will be on a time available basis. If it is determined that significant issues still exist with a past participant in the program, then the business shall become a candidate for future consulting. However, preference shall be given to businesses which have not as yet received consulting. II. FUNDING AND FACILITIES A. CDC Staff or Program Administrator a. CDC Staff will provide compensation to SDSU Foundation for small business technical assistance within National City over the next three fiscal years, to be accomplished by the CDC paying to SDSU Foundation a total fixed fee of $25,000. by August 15th of each of the three fiscal years (2009, 2010, and 2011). In return, the service provided by SDSU Foundation to the City of National is: technical assistance to 7 small businesses per semester ($12,500) for a total of two semesters and/or 14 businesses served, totaling $25,000 a school year. Thus, this contract is not to exceed a total fixed fee of $75,000. b. The CDC Staff or Program Administrator will make available on an as needed basis a "meeting place" for participants of its Business Consulting and Technical Assistance Program. It should have meeting space for student consulting and business meetings or presentations, Internet access and secured filing/storage. B. SDSU Research Foundation a. SDSU will be responsible for compensating SDSU staff. b. SDSU will submit a progress report on the services provided four times per academic year (mid-term and end of each academic semester). IN WITNESS WHEREOF, the parties hereto have caused this Memorandum of Understanding to be executed by their respective duly authorized representatives on this 21th day of July 2009. SAN DIEGO STATE UNIVERSITY FOUNDATION Dated: 7 /30 10 t By: St COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY Dated: By: Ron Morrison, Chairman Approved as to form: Approved as to form: George H. Eiser, Ill General Counsel, SDSU Foundation Legal Counsel City of National City, California COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT MEETING DATE September 15, 2009 AGENDA ITEM NO. 23 / ITEM TITLE RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY APPROVING AN AGREEMENT WITH O'DAY CONSULTANTS INC. TO PROVIDE AS -NEEDED CIVIL ENGINEERING SERVICES WITH NOT -TO -EXCEED AMOUNT OF $75,000 AND AUTHORIZING THE CHAIRMAN TO EXECUTE THE AGREEMENT PREPARED BY Colby Young Project Manager (x4297) DEPARTMENT Redevelopment EXPLANATION Community Development Commission of the City of National City (CDC) desires to employ a consultant to provide as -needed civil engineering services related to various projects within the National City Redevelopment Project. Upon direction from the Executive Director, the CDC advertised a Request for Qualifications for civil engineering services on April 9, 2009. Eighteen proposals were received and reviewed by a staff committee. The CDC has determined that O'Day Consultants is a registered civil engineering firm and is qualified by experience and ability to perform as -needed civil engineering services. Staff recommends retaining O'Day Consultants for a period of two years to perform civil engineering services for CDC with a not -to -exceed amount of $75,000. Environmental Review N/ N/A Financial Statement Agreement nas not -to -exceed amount of $75,000. Charges will be applied to accounts on a project by project basis. Approved By: Finance Director Account No. STAFF RECOMMENDATION Adopt resolution. BOARD I COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Proposed Agreement A-200 (9/99) RESOLUTION NO. 2009 - RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY APPROVING AN AGREEMENT WITH O'DAY CONSULTANTS INC. TO PROVIDE AS -NEEDED CIVIL ENGINEERING SERVICES WITH A NOT -TO -EXCEED AMOUNT OF $75,000 AND AUTHORIZING THE CHAIRMAN TO EXECUTE THE AGREEMENT WHEREAS, the Community Development Commission of the City of National City (CDC) is implementing the National City Redevelopment Plan; and WHEREAS, CDC desires to employ a consultant to provide as -needed civil engineering services related to various projects within the National City Redevelopment Project; and WHEREAS, CDC has determined that O'Day Consultants Inc. is a registered civil engineering firm and is qualified by experience and ability to perform as - needed civil engineering services. NOW, THEREFORE, BE IT RESOLVED that the Community Development Commission of the City of National City hereby approves the Agreement with O'Day Consultants Inc. to provide as -needed civil engineering services. Said Agreement is on file in the office of the City Clerk. PASSED and ADOPTED this 15th day of September, 2009. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: George H. Eiser, Ill Legal Counsel Attachment 1 AGREEMENT BY AND BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AND O'DAY CONSULTANTS INC. THIS AGREEMENT is entered into this 15th day of September, 2009, by and between the COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, a community development commission (the "CDC"), and O'DAY CONSULTANTS INC., a civil engineering firm (the CONSULTANT). RECITALS WHEREAS, the CDC desires to employ a CONSULTANT to provide civil engineering services. WHEREAS, the CDC has determined that the CONSULTANT is a civil engineering firm and is qualified by experience and ability to perform the services desired by the CDC, and the CONSULTANT is willing to perform such services. FOLLOWS: NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS 1. ENGAGEMENT OF CONSULTANT. The CDC hereby agrees to engage the CONSULTANT and the CONSULTANT hereby agrees to perform the services hereinafter set forth in accordance with all terms and conditions contained herein. The CONSULTANT represents that all services required hereunder will be performed directly by the CONSULTANT or under direct supervision of the CONSULTANT. 2. SCOPE OF SERVICES. The CONSULTANT will perform services as set forth in the attached Exhibit "A". The CONSULTANT shall be responsible for all research and reviews related to the work and shall not rely on personnel of the CDC for such services, except as authorized in advance by the CDC. The CDC may unilaterally, or upon request from the CONSULTANT, from time to time reduce or increase the Scope of Services to be performed by the CONSULTANT under this Agreement. Upon doing so, the CDC and the CONSULTANT agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction or increase in the compensation associated with said change in services, not to exceed a factor of 10% from the base amount. 3. PROJECT COORDINATION AND SUPERVISION. Colby Young hereby is designated as the Project Coordinator for the CDC and will monitor the progress and execution of this Agreement. The CONSULTANT shall assign a single Project Director to provide supervision and have overall responsibility for the progress and execution of this Agreement for the CONSULTANT. John Strohminger thereby is designated as the Project Director for the CONSULTANT. 4. COMPENSATION AND PAYMENT. The compensation for the CONSULTANT shall be based on monthly billings covering actual work performed. Billings shall include labor classifications, respective rates, hours worked and also materials, if any. The total cost for all work described in Exhibit "A" shall not exceed $75,000 (the Base amount) without prior written authorization from the Executive Director. Monthly invoices will be processed for payment and remitted within thirty (30) days from receipt of invoice, provided that work is accomplished consistent with Exhibit "A"as determined by the CDC. The CONSULTANT shall maintain all books, documents, papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred and shall make such materials available at its office at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment under this Agreement, for inspection by the CDC and for furnishing of copies to the CDC, if requested. 5. ACCEPTABILITY OF WORK. The CDC shall decide any and all questions which may arise as to the quality or acceptability of the services performed and the manner of performance, the acceptable completion of this Agreement and the amount of compensation due. In the event the CONSULTANT and the CDC cannot agree to the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT in this Agreement, the CDC or the CONSULTANT shall give to the other written notice. Within ten (10) business days, the CONSULTANT and the CDC shall each prepare a report which supports their position and file the same with the other party. The CDC shall, with reasonable diligence, determine the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT. 6. LENGTH OF AGREEMENT. The term of this Agreement shall commence on September 15, 2009, and terminate on June 30, 2011, unless sooner terminated as provided for herein. 7. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The Memoranda, Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT for this Project, whether paper or electronic, shall become the property of the CDC for use with respect to this Project, and shall be turned over to the CDC upon completion of the Project, or any phase thereof, as contemplated by this Agreement. Contemporaneously with the transfer of documents, the CONSULTANT hereby assigns to the CDC and CONSULTANT thereby expressly waives and disclaims, any copyright in, and the right to reproduce, all written material, drawings, plans, specifications or other work prepared under this agreement, except upon the CDC's prior authorization regarding reproduction, which authorization shall not be unreasonably withheld. The CONSULTANT shall, upon request of the CDC, execute any further document(s) necessary to further effectuate this waiver and disclaimer. The CONSULTANT agrees that the CDC may use, reuse, alter, reproduce, modify, assign, transfer, or in any other way, medium or method utilize the CONSULTANT's written work product for the CDC's purposes, and the CONSULTANT expressly waives and disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to intellectual property and artistic works. Any modification or reuse by the CDC of documents, drawings or specifications prepared by the CONSULTANT shall relieve the CONSULTANT from liability under Section 14 but only with respect to the effect of the modification or reuse by the CDC, or for any liability to 2 Citys Standard Agreement —June 2008 revision the CDC should the documents be used by the CDC for some project other than what was expressly agreed upon within the Scope of this project, unless otherwise mutually agreed. 8. INDEPENDENT CONSULTANT. Both parties hereto in the performance of this Agreement will be acting in an independent capacity and not as agents, employees, partners or joint venturers with one another. Neither the CONSULTANT nor the CONSULTANT'S employees are employee of the CDC and are not entitled to any of the rights, benefits, or privileges of the CDC's employees, including but not limited to retirement, medical, unemployment, or workers' compensation insurance. This Agreement contemplates the personal services of the CONSULTANT and the CONSULTANT's employees, and it is recognized by the parties that a substantial inducement to the CDC for entering into this Agreement was, and is, the professional reputation and competence of the CONSULTANT and its employees. Neither this Agreement nor any interest herein may be assigned by the CONSULTANT without the prior written consent of the CDC. Nothing herein contained is intended to prevent the CONSULTANT from employing or hiring as many employees, or subCONSULTANTs, as the CONSULTANT may deem necessary for the proper and efficient performance of this Agreement. All agreements by CONSULTANT with its subCONSULTANT(s) shall require the subCONSULTANT to adhere to the applicable terms of this Agreement. 9. CONTROL. Neither the CDC nor its officers, agents or employees shall have any control over the conduct of the CONSULTANT or any of the CONSULTANT's employees except as herein set forth, and the CONSULTANT expressly agrees not to represent that the CONSULTANT or the CONSULTANT's agents, servants, or employees are in any manner agents, servants or employees of the CDC, it being understood that the CONSULTANT its agents, servants, and employees are as to the CDC wholly independent CONSULTANTs and that the CONSULTANT's obligations to the CDC are solely such as are prescribed by this Agreement. 10. COMPLIANCE WITH APPLICABLE LAW. The CONSULTANT, in the performance of the services to be provided herein, shall comply with all applicable State and Federal statutes and regulations, and all applicable ordinances, rules and regulations of the City of National City, whether now in force or subsequently enacted. The CONSULTANT, and each of its subCONSULTANTs, shall obtain and maintain a current City of National City business license prior to and during performance of any work pursuant to this Agreement. 11. LICENSES, PERMITS, ETC. The CONSULTANT represents and covenants that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its profession. The CONSULTANT represents and covenants that the CONSULTANT shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement, any license, permit, or approval which is legally required for the CONSULTANT to practice its profession. 12. STANDARD OF CARE. A. The CONSULTANT, in performing any services under this Agreement, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the CONSULTANT'S trade or profession currently practicing under similar conditions and in similar locations. The CONSULTANT shall take all special precautions necessary to protect the CONSULTANT's employees and members of the public from risk of harm arising out of the nature of the work and/or the conditions ofthe work site. 3 Citys Standard Agreement — June 2008 revision B. Unless disclosed in writing prior to the date of this agreement, the CONSULTANT warrants to the CDC that it is not now, nor has it for the five (5) years preceding, been debarred by a governmental agency or involved in debarment, arbitration or litigation proceedings concerning the CONSULTANT's professional performance or the furnishing of materials or services relating thereto. C. The CONSULTANT is responsible for identifying any unique products, treatments, processes or materials whose availability is critical to the success of the project the CONSULTANT has been retained to perform, within the time requirements of the CDC, or, when no time is specified, then within a commercially reasonable time. Accordingly, unless the CONSULTANT has notified the CDC otherwise, the CONSULTANT warrants that all products, materials, processes or treatments identified in the project documents prepared for the CDC are reasonably commercially available. Any failure by the CONSULTANT to use due diligence under this sub -paragraph will render the CONSULTANT liable to the CDC for any increased costs that result from the CDC's later inability to obtain the specified items or any reasonable substitute within a price range that allows for project completion in the time frame specified or, when not specified, then within a commercially reasonable time. 13. NON-DISCRIMINATION PROVISIONS. The CONSULTANT shall not discriminate against any employee or applicant for employment because of age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. The CONTRACTOR/ CONSULTANT [CHOOSE ONE] will take positive action to insure that applicants are employed without regard to their age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. Such action shall include but not be limited to the following: employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The CONSULTANT agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CDC setting forth the provisions of this non-discrimination clause. 14. CONFIDENTIAL INFORMATION. The CDC may from time to time communicate to the CONSULTANT certain confidential information to enable the CONSULTANT to effectively perform the services to be provided herein. The CONSULTANT shall treat all such information as confidential and shall not disclose any part thereof without the prior written consent of the CDC. The CONSULTANT shall limit the use and circulation of such information, even within its own organization, to the extent necessary to perform the services to be provided herein. The foregoing obligation of this Section 13, however, shall not apply to any part of the information that (i) has been disclosed in publicly available sources of information; (ii) is, through no fault of the CONSULTANT, hereafter disclosed in publicly available sources of information; (iii) is already in the possession of the CONSULTANT without any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the CONSULTANT by a third party, but only to the extent that the use or disclosure thereof has been or is rightfully authorized by that third party. The CONSULTANT shall not disclose any reports, recommendations, conclusions or other results of the services or the existence of the subject matter of this Agreement without the prior written consent of the CDC. In its performance hereunder, the CONSULTANT shall comply with all legal obligations it may now or hereafter have respecting the information or other property of any other person, firm or corporation. CONSULTANT shall be liable to CDC for any damages caused by breach of this condition, pursuant to the provisions of Section 14. 4 City's Standard Agreement — June 2008 revision 15. INDEMNIFICATION AND HOLD HARMLESS. The CONSULTANT agrees to defend, indemnify, and hold harmless the City of National City, its officers and employees, against and from any and all liability, loss, damages to property, injuries to, or death of any person or persons, and all claims, demands, suits, actions, proceedings, reasonable attorneys' fees, and defense costs, of any kind or nature, including workers' compensation claims, of or by anyone whomsoever, resulting from or arising out of the CONSULTANT's negligent performance of this Agreement. 16. WORKERS' COMPENSATION. The CONSULTANT shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California, the applicable provisions of Division 4 and 5 of the California Government Code and all amendments thereto; and all similar state or Federal acts or laws applicable; and shall indemnify, and hold harmless the CDC and its officers, and employees from and against all claims, demands, payments, suits, actions, proceedings and judgments of every nature and description, including reasonable attorney's fees and defense costs presented, brought or recovered against the CDC or its officers, employees, or volunteers, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by the CONSULTANT under this Agreement. 17. INSURANCE. The CONSULTANT, at its sole cost and expense, shall purchase and maintain, and shall require its subCONSULTANTs, when applicable, to purchase and maintain throughout the term of this agreement, the following insurance policies: ❑ A. If checked, Professional Liability Insurance (errors and omissions) with minimum limits of $1,000,000 per occurrence. B. Automobile insurance covering all bodily injury and property damage incurred during the performance of this Agreement, with a minimum coverage of $1,000,000 combined single limit per accident. Such automobile insurance shall include owned, non -owned, and hired vehicles ("any auto"). C. Commercial general liability insurance, with minimum limits of $1,000,000 per occurrence/$2,000,000 aggregate, covering all bodily injury and property damage arising out of its operations under this Agreement. D. Workers' compensation insurance in an amount sufficient to meet statutory requirements covering all of CONSULTANT'S employees and employers' liability insurance with limits of at least $1,000,000 per accident. In addition, the policy shall be endorsed with a waiver of subrogation in favor of the CDC. Said endorsement shall be provided prior to commencement of work under this Agreement. If CONSULTANT has no employees subject to the California Workers' Compensation and Labor laws, CONSULTANT shall execute a Declaration to that effect. Said Declaration shall be provided to. CONSULTANT by CDC. E. The aforesaid policies shall constitute primary insurance as to the CDC, its officers, employees, and volunteers, so that any other policies held by the CDC shall not contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior written notice to the CDC of cancellation or material change. F. Said policies, except for the professional liability and workers' compensation policies, shall name the CDC and its officers, agents and employees as additional insureds, and separate additional insured endorsements shall be provided. G. If required insurance coverage is provided on a "claims made" rather than "occurrence" form, the CONSULTANT shall maintain such insurance coverage for three years after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date must be on or before the date of this Agreement. H. Any aggregate insurance limits must apply solely to this Agreement. 5 City's Standard Agreement —June 2008 revision I. Insurance shall be written with only California admitted companies which hold a current policy holder's alphabetic and financial size category rating of not less than A VIII according to the current Best's Key Rating Guide, or a company equal financial stability that is approved by the CDC's Risk Manager. In the event coverage is provided by non -admitted "surplus lines" carriers, they must be included on the most recent California List of Eligible Surplus Lines Insurers (LESLI list) and otherwise meet rating requirements. J. This Agreement shall not take effect until certificate(s) or other sufficient proof that these insurance provisions have been complied with, are filed with and approved by the CDC's Risk Manager. If the CONSULTANT does not keep all of such insurance policies in full force and effect at all times during the terms of this Agreement, the CDC may elect to treat the failure to maintain the requisite insurance as a breach of this Agreement and terminate the Agreement as provided herein. K. All deductibles and self -insured retentions in excess of $10,000 must be disclosed to and approved by the CDC. 18. LEGAL FEES. If any party brings a suit or action against the other party arising from any breach of any of the covenants or agreements or any inaccuracies in any of the representations and warranties on the part of the other party arising out of this Agreement, then in that event, the prevailing party in such action or dispute, whether by final judgment or out -of - court settlement, shall be entitled to have and recover of and from the other party all costs and expenses of suit, including attorneys' fees. For purposes of determining who is to be considered the prevailing party, it is stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not be considered in determining the amount of the judgment or award. Attorney's fees to the prevailing party if other than the CDC shall, in addition, be limited to the amount of attorney's fees incurred by the CDC in its prosecution or defense of the action, irrespective of the actual amount of attorney's fees incurred by the prevailing party. 19. MEDIATION/ARBITRATION. If a dispute arises out of or relates to this Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the dispute by mediation in San Diego, California, in accordance with the Commercial Mediation Rules of the American Arbitration Association (the "AAA") before resorting to arbitration. The costs of mediation shall be borne equally by the parties. Any controversy or claim arising out of, or relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be settled by arbitration in San Diego, California, in accordance with the Commercial Arbitration Rules of the AAA then existing. Any award rendered shall be final and conclusive upon the parties, and a judgment thereon may be entered in any court having jurisdiction over the subject matter of the controversy. The expenses of the arbitration shall be borne equally by the parties to the arbitration, provided that each party shall pay for and bear the costs of its own experts, evidence and attorneys' fees, except that the arbitrator may assess such expenses or any part thereof against a specified party as part of the arbitration award. 20. TERMINATION. A. This Agreement may be terminated with or without cause by the CDC. Termination without cause shall be effective only upon 60-day's written notice to the CONSULTANT. During said 60-day period the CONSULTANT shall perform all services in accordance with this Agreement. B. This Agreement may also be terminated immediately by the CDC for cause in the event of a material breach of this Agreement, misrepresentation by the CONSULTANT in connection with the formation of this Agreement or the performance of services, or the failure to perform services as directed by the CDC. 6 Citys Standard Agreement —June 2008 revision C. Termination with or without cause shall be effected by delivery of written Notice of Termination to the CONSULTANT as provided for herein. D. In the event of termination, all finished or unfinished Memoranda Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT, whether paper or electronic, shall immediately become the property of and be delivered to the CDC, and the CONSULTANT shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of the Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused the CDC by the CONSULTANT's breach, if any. Thereafter, ownership of said written material shall vest in the CDC all rights set forth in Section 6. E. The CDC further reserves the right to immediately terminate this Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONSULTANT; (2) a reorganization of the CONSULTANT for the benefit of creditors; or (3) a business reorganization, change in business name or change in business status of the CONSULTANT. 21. NOTICES. All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered; or sent by overnight mail (Federal Express or the like); or sent by registered or certified mail, postage prepaid, return receipt requested; or sent by ordinary mail, postage prepaid; or telegraphed or cabled; or delivered or sent by telex, telecopy, facsimile or fax; and shall be deemed received upon the earlier of (i) if personally delivered, the date of delivery to the address of the person to receive such notice, (ii) if sent by overnight mail, the business day following its deposit in such overnight mail facility, (iii) if mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if the address is outside the State of California) after the date of deposit in a post office, mailbox, mail chute, or other like facility regularly maintained by the United States Postal Service, (iv) if given by telegraph or cable, when delivered to the telegraph company with charges prepaid, or (v) if given by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand, direction or other communication delivered or sent as specified above shall be directed to the following persons: To CDC: To CONSULTANT: Brad Raulston Executive Director Community Development Commission City of National City 1243 National City Boulevard National City, CA 91950-4301 John Strohminger O'Day Consultants 2710 Loker Avenue West, Suite 100 Carlsbad, CA 92010 Notice of change of address shall be given by written notice in the manner specified in this Section. Rejection or other refusal to accept or the inability to deliver because of changed address of which no notice was given shall be deemed to constitute receipt of the notice, demand, request or communication sent. Any notice, request, demand, direction or other communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty- eight (48) hours by letter mailed or delivered as specified in this Section. 7 Citys Standard Agreement — June 200e revision 22. CONFLICT OF INTEREST AND POLITICAL REFORM ACT OBLIGATIONS. During the term of this Agreement, the CONSULTANT shall not perform services of any kind for any person or entity whose interests conflict in any way with those of the City of National City. The CONSULTANT also agrees not to specify any product, treatment, process or material for the project in which the CONSULTANT has a material financial interest, either direct or indirect, without first notifying the CDC of that fact. The CONSULTANT shall at all times comply with the terms of the Political Reform Act and the National City Conflict of Interest Code. The CONSULTANT shall immediately disqualify itself and shall not use its official position to influence in any way any matter coming before the CDC in which the CONSULTANT has a financial interest as defined in Government Code Section 87103. The CONSULTANT represents that it has no knowledge of any financial interests that would require it to disqualify itself from any matter on which it might perform services for the CDC. ❑ If checked, the CONSULTANT shall comply with all of the reporting requirements of the Political Reform Act and the National City Conflict of Interest Code. Specifically, the CONSULTANT shall file a Statement of Economic Interests with the City Clerk of the City of National City in a timely manner on forms which the CONSULTANT shall obtain from the City Clerk. The CONSULTANT shall be strictly liable to the CDC for all damages, costs or expenses the CDC may suffer by virtue of any violation of this Paragraph 21 by the CONSULTANT. 23. MISCELLANEOUS PROVISIONS. A. Computation of Time Periods. If any date or time period provided for in this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a Saturday, Sunday or federal, state or legal holiday. B. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute but one and the same instrument. C. Captions. Any captions to, or headings of, the sections or subsections of this Agreement are solely for the convenience of the parties hereto, are not a part of this Agreement, and shall not be used for the interpretation or determination of the validity of this Agreement or any provision hereof. D. No Obligations to Third Parties. Except as otherwise expressly provided herein, the execution and delivery of this Agreement shall not be deemed to confer any rights upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto. E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are hereby incorporated herein by this reference for all purposes. F. Amendment to this Agreement. The terms of this Agreement may not be modified or amended except by an instrument in writing executed by each of the parties hereto. G. Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of any such provision or any other provision hereof. H. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. I. Entire Agreement. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between the parties as to the subject matter hereof. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of 8 Citys Standard Agreement —June 2008 revision any party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. J. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. K. Construction. The parties acknowledge and agree that (i) each party is of equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity to consult with its own, independent counsel and such other professional advisors as such party has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv) each party and such party's counsel and advisors have reviewed this Agreement, (v) each party has agreed to enter into this Agreement following such review and the rendering of such advice, and (vi) any rule or construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or any amendments hereto. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first above written. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY By: Ron Morrison, Mayor APPROVED AS TO FORM: George H. Eiser, Ill City Attorney O'DAY CONSULTANTS INC. (Corporation — signatures of two corporate officers) (Partnership— one signature (Sole proprietorship — one sjnatttue) By: By: 9 (Name) '4-V2 lc ,cf , r (Print) Pis - (Title) (Name) n t cf-i I_ It rL », C i) /q r (Print) (Title) City's Standard Agreement — June 2008 rev!sion EXHIBIT "A" NATIONAL CITY "In the Center q%ItAf1" SERVICES & EXPERTISE As a full -service civil engineering and land surveying firm, O'Day Consultants offers extensive services to the Public and Private sectors for a wide range of projects. From Public Works and CIP projects to developing Industrial Business Parks to creating Residential Communities, we have successfully delivered excellent, top- quality services to all of our clients. CIVIL ENGINEERING Project Management Feasibility Studies Retaining Wall Des'gn Subdivision Engineering Precise Grading & Site Design Street Improvements Erosion Control Urban Pollution Control Plans Traffic Control Flans Right -of -Way Engineering Exhibit Preparation Storm Drain Design Storm Water Management Plans Storm Water Pollution Prevention Plans Sewer & Water Facilities Main Design Recycled Water & Water Main Design PLANNING Site Planning Specific Plans Tentative Tract Maps Phasing Plans Striping Plans View Analysis Development Feasibility Analysis Government Entitlement Processing Capital Improvement Projects Assessment District Forma ion COST & QUALITY ESTIMATES Bid Analysis Specifications Cost Estimates Phasing Studies Invoice Analysis Quantity Takeoffs Bidding Documents Bid Administration LAND SURVEYING Monumentation Surveys Boundary & Property Surveys Geodetic Control Surveys GPS Surveying Site Resource Surveys Topographic Surveys Records of Survey Corner Records Field Surveys ALTA Surveys Parcel & Subdivision Maps Project""As-Bults" Legal Descriptions Easements &Plats Construction Staking & Support HYDROLOGY Erosion Control Yard Drains Master Plan Studies Preliminary Storm Drain Layout Hydrology & Hydraulic Calculations Flood Plain & Map Modification Hood Control Channels Dam & Detention Basin Design Natural & Lined Channel Improvements EARTHWORK CALCULATIONS Calculations Analysis Verification Arbitration COORDINATION & APPROVAL Agency Processing Client Coordination Sub -consultant Coordination NPDES Permitting ACORD CERTIFICATE OF LIABILITY INSURANCE DATE (MMIODiYYYY) 09/29/2008 PRODUCER (619)574-6220 FAX (619)574-6288 Insurance Office of America, Inc. DBA IOA Insurance Services 1775 Hancock Street, Ste. 180 Illign Diego, CA 92110 RFD O'Day Consultants, Inc. 2710 Loker Avenue West, #100 Carlsbad, CA 92010-6609 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERT FICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE NAIC # INSURERA: Travelers Cas.Ins Co of Amer. INSURERS. Hartford Insurance Company 00914 INSURER C: Travelers Property Casualty INSURER D. OneBeacon Insurance 36161 INSURERE. ACE American Insurance Company VERAGES 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 01 HEH DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR I TR ADD'L NSR❑ TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE DATE IMM,DD(YYI POLICY EXPIRATION DATE Iy1M/DD/YY1 LIMNS A GENERAL LIABILITY COMMERCIAL GENERAL LIABILITY 6805344L576 10/01/2008 10/01/2009 EACH OCCURRENCE $ 1,000,000 X DAMAGE TO HEN FED PREMISES (Fa necreenrel $ 300,000 X lCLAIMS MADE X OCCUR MED EXP (Any one person) $ 5,000 BFPO PERSONA' & ADV INJURY $ 1,000,000 GENERAL AGGREGATE $ 2,000,000 GENT AGGREGATE LIMIT APPLIES PER: PRODUCTS- COMP/OP AGO $ 2,000,000 POLICY n PRO- LOC ECT B AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS N ON -OWNED AUTOS 72UECUQ3007 07/01/2008 07/01/2009 COMBINED SINGLE LIMIT (Ea accident) $ 1,000,000 X BODILY INJURY (Per person) $ BODILY INJURY (Per accident) $ PROPERTY DAMAGE (Per accident) $ 11 GARAGE LIABILITY ANY AUTO AUTO ONLY EA ACCIDENT $ OTHER THAN EA ACC $ AUTO ONLY. AGG $ C EXCESS/UMBRELLA LIABILITY CUP7338Y561 10/01/2008 10/01/2009 EACH OCCURRENCE $ 5,000,000 X OCCUR CLAIMS MADE DEDUCTIBLE - RETENTION $ 0 AGGREGATE $ 5,000,000 $ $ $ y D WORKERS COMPENSATION ANO EMPLOYERS' LIABILITY ANY PROPRIETORJPARTNER/EXECUTIVE OFFICER/MEMBER EXCLUDED', II yes, describe under SPECIAL PROVISIONS below 406013937 09/01/2008 09/01/2009 X WO ATU OTH- FR E.L. EACH ACCIDENT $ 1,000,000 E.L. DISEASE - EA EMPLOYEE $ 1,000,000 E.L. DISEASE - POLICY LIMI I $ 1,000,000 E OTHER Professional Liability Claims Made G23633115002 01/20/2008 01/20/2009 $1,000,000 each claim $2,000,000 aggregate $50,000 deductible E5 DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS /te: All Operations of the Named Insured. .proof of Insurance 2} 10 Days notice of cancellation for non-payment of premium. CERTIFICATE HOLDER FOR YOUR INFORMATION ONLY =ACORD 25 (2001/08) CANCELLATISN SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, NS AGENTS OR REPRESENTATIVES. AUTHORIZED REPRESENTATIVE Kell Howell/SMITAK Oh—T' t/ ' f ' 4 /'„, C J W� ¢ya c Y- ©ACORD CORPORATION 1988 City of National City, California COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT 24 MEETING DATE September 15, 2009 AGENDA ITEM NO. ITEM TITLE RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY APPROVING AN AGREEMENT WITH KTU&A TO PROVIDE AS -NEEDED PLANNING AND URBAN DESIGN SERVICES WITH NOT -TO -EXCEED AMOUNT OF $75,000 AND AUTHORIZING THE CHAIRMAN TO EXECUTE THE AGREEMENT PREPARED BY Colby Young Project Manager (x4297) DEPARTMENT Redevelopment R EXPLANATION Community Development Commission of the City of National City (CDC) desires to employ a consultant to provide as -needed planning and urban design services related to various projects within the National City Redevelopment Project. Upon direction from the Executive Director, the CDC advertised a Request for Qualifications for planning and urban design services on April 9, 2009. Ten proposals were received and reviewed by a staff committee. The CDC has determined that KTU&A is a registered planning and urban design firm and is qualified by experience and ability to perform as -needed planning and urban design services. Staff recommends retaining KTU&A for a period of two years to perform planning and urban design services for CDC with a not -to -exceed amount of $75,000. Environmental Review \I N/A Financial Statement Agreement nas not -to -exceed amount of $75,000. Charges will be applied to accounts on a project by project basis. Approved By: Finance Director Account No. STAFF RECOMMENDATION Adopt resolution. BOARD I COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Proposed Agreement A-200 (9(99) RESOLUTION NO. 2009 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY APPROVING AN AGREEMENT WITH LATITUDE 33 TO PROVIDE AS - NEEDED PLANNING AND URBAN DESIGN SERVICES WITH A NOT -TO -EXCEED AMOUNT OF $75,000 AND AUTHORIZING THE CHAIRMAN TO EXECUTE THE AGREEMENT WHEREAS, the Community Development Commission of the City of National City (CDC) is implementing the National City Redevelopment Plan; and WHEREAS, CDC desires to employ a consultant to provide as -needed planning and urban design services related to various projects within the National City Redevelopment Project; and WHEREAS, CDC has determined that Latitude 33 is a registered planning and urban design firm and is qualified by experience and ability to perform as -needed planning and urban design services. NOW, THEREFORE, BE IT RESOLVED that the Community Development Commission of the City of National City hereby approves the Agreement with Latitude 33 to provide as -needed planning and urban design services. Said Agreement is on file in the office of the City Clerk. PASSED and ADOPTED this 15th day of September, 2009. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: George H. Eiser, Ill Legal Counsel Attachment 1 AGREEMENT BY AND BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AND KTU&A THIS AGREEMENT is entered into this 15th day of September, 2009, by and between the COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, a community development commission (the "CDC"), and KTU&A, a planning/urban design firm (the CONSULTANT). RECITALS WHEREAS, the CDC desires to employ a CONSULTANT to provide planning/urban design services. WHEREAS, the CDC has determined that the CONSULTANT is a planning/urban design firm and is qualified by experience and ability to perform the services desired by the CDC, and the CONSULTANT is willing to perform such services. NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS FOLLOWS: 1. ENGAGEMENT OF CONSULTANT. The CDC hereby agrees to engage the CONSULTANT and the CONSULTANT hereby agrees to perform the services hereinafter set forth in accordance with all terms and conditions contained herein. The CONSULTANT represents that all services required hereunder will be performed directly by the CONSULTANT or under direct supervision of the CONSULTANT. 2. SCOPE OF SERVICES. The CONSULTANT will perform services as set forth in the attached Exhibit "A". The CONSULTANT shall be responsible for all research and reviews related to the work and shall not rely on personnel of the CDC for such services, except as authorized in advance by the CDC. The CDC may unilaterally, or upon request from the CONSULTANT, from time to time reduce or increase the Scope of Services to be performed by the CONSULTANT under this Agreement. Upon doing so, the CDC and the CONSULTANT agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction or increase in the compensation associated with said change in services, not to exceed a factor of 10% from the base amount. 3. PROJECT COORDINATION AND SUPERVISION. Colby Young hereby is designated as the Project Coordinator for the CDC and will monitor the progress and execution of this Agreement. The CONSULTANT shall assign a single Project Director to provide supervision and have overall responsibility for the progress and execution of this Agreement for the CONSULTANT. Michael Singleton thereby is designated as the Project Director for the CONSULTANT. 4. COMPENSATION AND PAYMENT. The compensation for the CONSULTANT shall be based on monthly billings covering actual work performed. Billings shall include labor classifications, respective rates, hours worked and also materials, if any. The total cost for all work described in Exhibit "A" shall not exceed $75,000 (the Base amount) without prior written authorization from the Executive Director. Monthly invoices will be processed for payment and remitted within thirty (30) days from receipt of invoice, provided that work is accomplished consistent with Exhibit "A"as determined by the CDC. The CONSULTANT shall maintain all books, documents, papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred and shall make such materials available at its office at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment under this Agreement, for inspection by the CDC and for furnishing of copies to the CDC, if requested. 5. ACCEPTABILITY OF WORK. The CDC shall decide any and all questions which may arise as to the quality or acceptability of the services performed and the manner of performance, the acceptable completion of this Agreement and the amount of compensation due. In the event the CONSULTANT and the CDC cannot agree to the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT in this Agreement, the CDC or the CONSULTANT shall give to the other written notice. Within ten (10) business days, the CONSULTANT and the CDC shall each prepare a report which supports their position and file the same with the other party. The CDC shall, with reasonable diligence, determine the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT. 6. LENGTH OF AGREEMENT. The term of this Agreement shall commence on September 15, 2009, and terminate on June 30, 2011, unless sooner terminated as provided for herein. 7. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The Memoranda, Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT for this Project, whether paper or electronic, shall become the property of the CDC for use with respect to this Project, and shall be turned over to the CDC upon completion of the Project, or any phase thereof, as contemplated by this Agreement. Contemporaneously with the transfer of documents, the CONSULTANT hereby assigns to the CDC and CONSULTANT thereby expressly waives and disclaims, any copyright in, and the right to reproduce, all written material, drawings, plans, specifications or other work prepared under this agreement, except upon the CDC's prior authorization regarding reproduction, which authorization shall not be unreasonably withheld. The CONSULTANT shall, upon request of the CDC, execute any further document(s) necessary to further effectuate this waiver and disclaimer. The CONSULTANT agrees that the CDC may use, reuse, alter, reproduce, modify, assign, transfer, or in any other way, medium or method utilize the CONSULTANT's written work product for the CDC's purposes, and the CONSULTANT expressly waives and disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to intellectual property and artistic works. Any modification or reuse by the CDC of documents, drawings or specifications prepared by the CONSULTANT shall relieve the CONSULTANT from liability under Section 14 but only with respect to the effect of the modification or reuse by the CDC. or for any liability to 2 Ciy's Standard Agreement — June 2008 revision the CDC should the documents be used by the CDC for some project other than what was expressly agreed upon within the Scope of this project, unless otherwise mutually agreed. 8. INDEPENDENT CONSULTANT. Both parties hereto in the performance of this Agreement will be acting in an independent capacity and not as agents, employees, partners or joint venturers with one another. Neither the CONSULTANT nor the CONSULTANT'S employees are employee of the CDC and are not entitled to any of the rights, benefits, or privileges of the CDC's employees, including but not limited to retirement, medical, unemployment, or workers' compensation insurance. This Agreement contemplates the personal services of the CONSULTANT and the CONSULTANT's employees, and it is recognized by the parties that a substantial inducement to the CDC for entering into this Agreement was, and is, the professional reputation and competence of the CONSULTANT and its employees. Neither this Agreement nor any interest herein may be assigned by the CONSULTANT without the prior written consent of the CDC. Nothing herein contained is intended to prevent the CONSULTANT from employing or hiring as many employees, or subCONSULTANTs, as the CONSULTANT may deem necessary for the proper and efficient performance of this Agreement. All agreements by CONSULTANT with its subCONSULTANT(s) shall require the subCONSULTANT to adhere to the applicable terms of this Agreement_ 9. CONTROL. Neither the CDC nor its officers, agents or employees shall have any control over the conduct of the CONSULTANT or any of the CONSULTANT's employees except as herein set forth, and the CONSULTANT expressly agrees not to represent that the CONSULTANT or the CONSULTANT's agents, servants, or employees are in any manner agents, servants or employees of the CDC, it being understood that the CONSULTANT its agents, servants, and employees are as to the CDC wholly independent CONSULTANTs and that the CONSULTANT's obligations to the CDC are solely such as are prescribed by this Agreement. 10. COMPLIANCE WITH APPLICABLE LAW. The CONSULTANT, in the performance of the services to be provided herein, shall comply with all applicable State and Federal statutes and regulations, and all applicable ordinances, rules and regulations of the City of National City, in force at the time services are rendered. The CONSULTANT, and each of its subCONSULTANTs, shall obtain and maintain a current City of National City business license prior to and during performance of any work pursuant to this Agreement. 11. LICENSES, PERMITS, ETC. The CONSULTANT represents and covenants that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its profession. The CONSULTANT represents and covenants that the CONSULTANT shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement, any license, permit, or approval which is legally required for the CONSULTANT to practice its profession. 12. STANDARD OF CARE. A. The CONSULTANT, in performing any services under this Agreement, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the CONSULTANT'S trade or profession currently practicing under similar conditions and in similar locations. The CONSULTANT shall take all special precautions necessary to protect the CONSULTANT's employees and members of the public from risk of harm arising out of the nature of the work and/or the conditions of the work site. 3 City's Standard Agreement - June 2008 revision B. Unless disclosed in writing prior to the date of this agreement, the CONSULTANT warrants to the CDC that it is not now, nor has it for the five (5) years preceding, been debarred by a governmental agency or involved in debarment, arbitration or litigation proceedings concerning the CONSULTANT's professional performance or the furnishing of materials or services relating thereto. C. The CONSULTANT is responsible for identifying any unique products, treatments, processes or materials whose availability is critical to the success of the project the CONSULTANT has been retained to perform, within the time requirements of the CDC, or, when no time is specified, then within a commercially reasonable time. Accordingly, unless the CONSULTANT has notified the CDC otherwise, the CONSULTANT represents that all products, materials, processes or treatments identified in the project documents prepared for the CDC are reasonably commercially available. Any failure by the CONSULTANT to use due diligence under this sub -paragraph will render the CONSULTANT liable to the CDC for any increased costs that result from the CDC's later inability to obtain the specified items or any reasonable substitute within a price range that allows for project completion in the time frame specified or, when not specified, then within a commercially reasonable time. 13. NON-DISCRIMINATION PROVISIONS. The CONSULTANT shall not discriminate against any employee or applicant for employment because of age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. The CONTRACTOR/ CONSULTANT [CHOOSE ONE] will take positive action to insure that applicants are employed without regard to their age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. Such action shall include but not be limited to the following: employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The CONSULTANT agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CDC setting forth the provisions of this non-discrimination clause. 14. CONFIDENTIAL INFORMATION. The CDC may from time to time communicate to the CONSULTANT certain confidential information to enable the CONSULTANT to effectively perform the services to be provided herein. The CONSULTANT shall treat all such information as confidential and shall not disclose any part thereof without the prior written consent of the CDC. The CONSULTANT shall limit the use and circulation of such information, even within its own organization, to the extent necessary to perform the services to be provided herein. The foregoing obligation of this Section 13, however, shall not apply to any part of the information that (i) has been disclosed in publicly available sources of information; (ii) is, through no fault of the CONSULTANT, hereafter disclosed in publicly available sources of information; (iii) is already in the possession of the CONSULTANT without any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the CONSULTANT by a third party, but only to the extent that the use or disclosure thereof has been or is rightfully authorized by that third party. The CONSULTANT shall not disclose any reports, recommendations, conclusions or other results of the services or the existence of the subject matter of this Agreement without the prior written consent of the CDC. In its performance hereunder, the CONSULTANT shall comply with all legal obligations it may now or hereafter have respecting the information or other property of any other person, firm or corporation. CONSULTANT shall be liable to CDC for any damages caused by breach of this condition, pursuant to the provisions of Section 14. 4 City's Standard Agreement — June 2008 revision 15. INDEMNIFICATION AND HOLD HARMLESS. The CONSULTANT agrees to defend, indemnify, and hold harmless the City of National City, its officers and employees, against and from any and all liability, loss, damages to property, injuries to, or death of any person or persons, and all claims, demands, suits, actions, proceedings, reasonable attorneys' fees, and defense costs, of any kind or nature, including workers' compensation claims, of or by anyone whomsoever, resulting from or arising out of the CONSULTANT's established negligent performance of this Agreement. 16. WORKERS' COMPENSATION. The CONSULTANT shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California, the applicable provisions of Division 4 and 5 of the California Government Code and all amendments thereto; and all similar state or Federal acts or laws applicable; and shall indemnify, and hold harmless the CDC and its officers, and employees from and against all claims, demands, payments, suits, actions, proceedings and judgments of every nature and description, including reasonable attorney's fees and defense costs presented, brought or recovered against the CDC or its officers, employees, or volunteers, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by the CONSULTANT under this Agreement. 17. INSURANCE. The CONSULTANT, at its sole cost and expense, shall purchase and maintain, and shall require its subCONSULTANTs, when applicable, to purchase and maintain throughout the term of this agreement, the following insurance policies: ❑ A. If checked, Professional Liability Insurance (errors and omissions) with minimum limits of $1,000,000 per occurrence. B. incurred during thc performance of this Agreement, with a minimum -coverage of $1,000,000 and hired vehicles ("any auto"). (KTUA does not own vehicles) C. Commercial general liability insurance, with minimum limits of $1,000,000 per occurrence/$2,000,000 aggregate, covering all bodily injury and property damage arising out of its operations under this Agreement. D. Workers' compensation insurance in an amount sufficient to meet statutory requirements covering all of CONSULTANT'S employees and employers' liability insurance with limits of at least $1,000,000 per accident. In addition, the policy shall be endorsed with a waiver of subrogation in favor of the CDC. Said endorsement shall be provided prior to commencement of work under this Agreement. If CONSULTANT has no employees subject to the California Workers' Compensation and Labor laws, CONSULTANT shall execute a Declaration to that effect. Said Declaration shall be provided to CONSULTANT by CDC. E. The aforesaid policies shall constitute primary insurance as to the CDC, its officers, employees, and volunteers, so that any other policies held by the CDC shall not contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior written notice to the CDC of cancellation or material change. F. Said policies, except for the professional liability and workers' compensation policies, shall name the CDC and its officers, agents and employees as additional insureds, and separate additional insured endorsements shall be provided. G. If required insurance coverage is provided on a "claims made" rather than "occurrence" form, the CONSULTANT shall maintain such insurance coverage for three years after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date must be on or before the date of this Agreement. H. Any aggregate insurance limits must apply solely to this Agreement. 5 City's Standard Agreement - June 2008 revision I. Insurance shall be written with only California admitted companies which hold a current policy holder's alphabetic and financial size category rating of not less than A VIII according to the current Best's Key Rating Guide, or a company equal financial stability that is approved by the CDC's Risk Manager. In the event coverage is provided by non -admitted "surplus lines" carriers, they must be included on the most recent California List of Eligible Surplus Lines Insurers (LESLI list) and otherwise meet rating requirements. J. This Agreement shall not take effect until certificate(s) or other sufficient proof that these insurance provisions have been complied with, are filed with and approved by the CDC's Risk Manager. If the CONSULTANT does not keep all of such insurance policies in full force and effect at all times during the terms of this Agreement, the CDC may elect to treat the failure to maintain the requisite insurance as a breach of this Agreement and terminate the Agreement as provided herein. K. All deductibles and self -insured retentions in excess of $10,000 must be disclosed to and approved by the CDC. 18. LEGAL FEES. If any party brings a suit or action against the other party arising from any breach of any of the covenants or agreements or any inaccuracies in any of the representations and warranties on the part of the other party arising out of this Agreement, then in that event, the prevailing party in such action or dispute, whether by final judgment or out -of - court settlement, shall be entitled to have and recover of and from the other party all costs and expenses of suit, including attorneys' fees. For purposes of determining who is to be considered the prevailing party, it is stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not be considered in determining the amount of the judgment or award. Attorney's fees to the prevailing party if other than the CDC shall, in addition, be limited to the amount of attorney's fees incurred by the CDC in its prosecution or defense of the action, irrespective of the actual amount of attorney's fees incurred by the prevailing party. 19. MEDIATION/ARBITRATION. If a dispute arises out of or relates to this Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the dispute by mediation in San Diego, California, in accordance with the Commercial Mediation Rules of the American Arbitration Association (the "AAA") before resorting to arbitration. The costs of mediation shall be borne equally by the parties. Any controversy or claim arising out of, or relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be settled by arbitration in San Diego, California, in accordance with the Commercial Arbitration Rules of the AAA then existing. Any award rendered shall be final and conclusive upon the parties, and a judgment thereon may be entered in any court having jurisdiction over the subject matter of the controversy. The expenses of the arbitration shall be borne equally by the parties to the arbitration, provided that each party shall pay for and bear the costs of its own experts, evidence and attorneys' fees, except that the arbitrator may assess such expenses or any part thereof against a specified party as part of the arbitration award. 20. TERMINATION. A. This Agreement may be terminated with or without cause by the CDC. Termination without cause shall be effective only upon 60-day's written notice to the CONSULTANT. During said 60-day period the CONSULTANT shall perform all services in accordance with this Agreement. B. This Agreement may also be terminated immediately by the CDC for cause in the event of a material breach of this Agreement, misrepresentation by the CONSULTANT in connection with the formation of this Agreement or the performance of services, or the failure to perform services as directed by the CDC. 6 City's Standard Agreement — June 2003 revision C. Termination with or without cause shall be effected by delivery of written Notice of Termination to the CONSULTANT as provided for herein. D. In the event of termination, all finished or unfinished Memoranda Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT, whether paper or electronic, shall immediately become the property of and be delivered to the CDC, and the CONSULTANT shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of the Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused the CDC by the CONSULTANT's breach, if any. Thereafter, ownership of said written material shall vest in the CDC all rights set forth in Section 6. E. The CDC further reserves the right to immediately terminate this Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONSULTANT; (2) a reorganization of the CONSULTANT for the benefit of creditors; or (3) a business reorganization, change in business name or change in business status of the CONSULTANT. 21. NOTICES. All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered; or sent by overnight mail (Federal Express or the like); or sent by registered or certified mail, postage prepaid, return receipt requested; or sent by ordinary mail, postage prepaid; or telegraphed or cabled; or delivered or sent by telex, telecopy, facsimile or fax; and shall be deemed received upon the earlier of (i) if personally delivered, the date of delivery to the address of the person to receive such notice, (ii) if sent by overnight mail, the business day following its deposit in such overnight mail facility, (iii) if mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if the address is outside the State of California) after the date of deposit in a post office, mailbox, mail chute, or other like facility regularly maintained by the United States Postal Service, (iv) if given by telegraph or cable, when delivered to the telegraph company with charges prepaid, or (v) if given by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand, direction or other communication delivered or sent as specified above shall be directed to the following persons: To CDC: To CONSULTANT: Brad Raulston Executive Director Community Development Commission City of National City 1243 National City Boulevard National City, CA 91950-4301 Michael Singleton KTU&A 3916 Normal Street San Diego, CA 92103 Notice of change of address shall be given by written notice in the manner specified in this Section. Rejection or other refusal to accept or the inability to deliver because of changed address of which no notice was given shall be deemed to constitute receipt of the notice, demand, request or communication sent. Any notice, request, demand, direction or other communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty- eight (48) hours by letter mailed or delivered as specified in this Section. 7 City's Standard Agreement — June 2008 revision 22. CONFLICT OF INTEREST AND POLITICAL REFORM ACT OBLIGATIONS. During the term of this Agreement, the CONSULTANT shall not perform services of any kind for any person or entity whose interests conflict in any way with those of the City of National City, The CONSULTANT also agrees not to specify any product, treatment, process or material for the project in which the CONSULTANT has a material financial interest, either direct or indirect, without first notifying the CDC of that fact. The CONSULTANT shall at all times comply with the terms of the Political Reform Act and the National City Conflict of Interest Code. The CONSULTANT shall immediately disqualify itself and shall not use its official position to influence in any way any matter coming before the CDC in which the CONSULTANT has a financial interest as defined in Government Code Section 87103. The CONSULTANT represents that it has no knowledge of any financial interests that would require it to disqualify itself from any matter on which it might perform services for the CDC. ❑ If checked, the CONSULTANT shall comply with all of the reporting requirements of the Political Reform Act and the National City Conflict of Interest Code. Specifically, the CONSULTANT shall file a Statement of Economic Interests with the City Clerk of the City of National City in a timely manner on forms which the CONSULTANT shall obtain from the City Clerk. The CONSULTANT shall be strictly liable to the CDC for all damages, costs or expenses the CDC may suffer by virtue of any violation of this Paragraph 21 by the CONSULTANT. 23. MISCELLANEOUS PROVISIONS. A. Computation of Time Periods. If any date or time period provided for in this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a Saturday, Sunday or federal, state or legal holiday. B. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute but one and the same instrument. C. Captions. Any captions to, or headings of, the sections or subsections of this Agreement are solely for the convenience of the parties hereto, are not a part of this Agreement, and shall not be used for the interpretation or determination of the validity of this Agreement or any provision hereof. D. No Obligations to Third Parties. Except as otherwise expressly provided herein, the execution and delivery of this Agreement shall not be deemed to confer any rights upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto. E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are hereby incorporated herein by this reference for all purposes. F. Amendment to this Agreement. The terms of this Agreement may not be modified or amended except by an instrument in writing executed by each of the parties hereto. G. Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of any such provision or any other provision hereof. H. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. I. Entire Agreement. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between the parties as to the subject matter hereof. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of 8 City's Standard Agreement — June 2008 revision any party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. J. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. K. Construction. The parties acknowledge and agree that (i) each party is of equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity to consult with its own, independent counsel and such other professional advisors as such party has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv) each party and such party's counsel and advisors have reviewed this Agreement, (v) each party has agreed to enter into this Agreement following such review and the rendering of such advice, and (vi) any rule or construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or any amendments hereto. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first above written. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY By: Ron Morrison, Mayor APPROVED AS TO FORM: George H. Eiser, Ill City Attorney KTU&A Corporation (Corporation — signatures of two corporate officers) (Partnership — one signature) (Sole proprietorship — one signa)ure) By: 9 (Nam M -vc L. (St. (Print) 3 (� t're5t(1e ,± icTo /\ Title) f (Name) 4 6 a (Print) � P%kE57 p�'lt 7-fU,[i i- (Title) City's Standard Agreement - June 2008 revision Exhibit A Scope of Services Urban planning Urban design Landscape Architecture Architecture (ZTA as a subconsultant on the team) Design guidelines Storefront design concepts Signage programs and guidelines Site planning Traffic calming Complete streets analysis and level of service for non -vehicular uses Pedestrian studies Bike studies Transit planning and design Smart growth Mixed use infill projects 3 dimensional massing studies and modeling Visual simulations Visual impact assessments 08/30/08 ConfirmNet -> 16192949965 Pg 2/2 ACORD,T. CERTIFICATE OF LIABILITY INSURANCE DATE(MM/OO/YY) 08/30/08 PRODUCER 0A99520 Cavignac & Associates 450 B Street, Suite 1E100 San Diego, CA 92101-8005 1-619-234-6848 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURED K T U + A, Inc . 3916 Normal Street San Diego, CA 92103 I INSURER A: Travelers Property Casualty Company of America INSURERB:The Travelers Indemnity Company of Connecticut INSURER C:Liberty Insurance Underwriters, Inc. INSURER UL INSURER E. COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO TILE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN. THE INSURANCE AFFORDED BY I HE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL TIIE TERMS, EXCLUSIONS AND CONDO IONS OF SUCH POLICIES. AGGREGATE LIMOS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ITR TYPE DF INSURANCE POLICY NUMBER POLICY EFFECTIVE RATE IMM/DD(YYI POLICY EXPIRATION DATE IMM/DD/YY1 LIMITS A GENERALITABNNY X COMMERCIAI GENERAL LIABILITY 6804770L322 09/01/08 09/01/09 EACH OCCURRENCE $ 1,000,O00 $ 1, 000 , 000 FIRE DAMAGE (Any one fire) CLAIMS MADE I X l OCCUR MED EXP (Any one parson) $ 10,000 X GENE —1 No Deductible PERSONAL BADV INJURY $1,000,000 GENERAL AGGREGATC $ 2,000 000 AGGREGATE LIMIT APPLIES PER: POLICY I X I TA: n LOC PRODUCTS • COMP/OP AGG $ 2,000, 000 AUTOMOBILE X X X LIABILITY ANY AUTO BA4907L122 09/01/013 09/01/09 COMBINED SINGLE LIMIT (Ea accident) $ 1, 000, 000 BODILY INJURY (Pm person) BODILY INJURY (Per accidenll PROPERTY DAMAGE (Pet accident) GARAGE LIABILITY ANY AUTO IAUTO AUTO ONLY " EA ACCIDENT $ OTHER THAN EAACC S ONLY' AGG $ EXCESS —I LIABILITY OCCUR I —I CLAIMS MADE EACH OCCURRENCE $ AGGREGATE $ $ $ 8 WORKERSCOMPENSAIION AND EMPLOYERS' LIABILITY 11137109Y567 09/01/08 09/D1/09 X WCSTATU- LIMITSLOTH TORY LIMITS ER E.L. EACH ACCIDENT $ 1, 000.000 E.L. DISEASE " EA EMPLOYEE $ 1, 000, DD D E.L. DISEASE -POLICY LIMIT $ 1, 000, 0 0 D C OTHER Professional Liability Claims made, defense coats included w/in limit AEE1971500108 09/01/08 09/01/09 Each Claim (2,000,000 Aggregate 'F2,000,000 s DESCRIPTION OF OPERATIONS/LOCATIONSIVEHICLES,'EXCLUSIONS ADDEO BY ENDORSEMENIISPECLAL PROVISIONS CERTIFICATE HOLDER I N I ADD, IIONAL INSURED, INSURER LETTER KTO+A 3916 Normal Street San Diego, CA 92103 USA CANCELLATION 10 days HOC for non-payment of premium. SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCFtI ER BEFORE 1 DE EXPIRAI ION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 10 UAYS WHIT TEN NOTICE 10 THE CERTIFICATE HOLDER NAMED 10 THE LEFT, BUT FAILURE 10 DO SO SHALL IMPOSE NO OBI (CATION OR LIABILITY OF ANY KIND UPON THE INSURER ITS AGENTS OR REPRESENTATIVES. AUTHORIZED REPRESENTATIVE ACORD 25-S (7197) Katherine 9671438 Certificate Delivery by CerlificatesIJwv - www.ConfirrnNcl. corn - A77 669 A600 LOACORD CORPORATION 1988 City of National City, California COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT 25 MEETING DATE September 15, 2009 AGENDA ITEM NO. ITEM TITLE RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY APPROVING AN AGREEMENT WITH LATITUDE 33 TO PROVIDE AS -NEEDED PLANNING AND URBAN DESIGN SERVICES WITH NOT -TO -EXCEED AMOUNT OF $75,000 AND AUTHORIZING THE CHAIRMAN TO EXECUTE THE AGREEMENT PREPARED BY Colby Young Project Manager (x4297) DEPARTMENT Redevelopment EXPLANATION Community Development Commission of the City of National City (CDC) desires to employ a consultant to provide as -needed planning and urban design services related to various projects within the National City Redevelopment Project. Upon direction from the Executive Director, the CDC advertised a Request for Qualifications for planning and urban design services on April 9, 2009. Ten proposals were received and reviewed by a staff committee. The CDC has determined that Latitude 33 is a registered planning and urban design firm and is qualified by experience and ability to perform as -needed planning and urban design services. Staff recommends retaining Latitude 33 for a period of two years to perform planning and urban design services for CDC with a not -to -exceed amount of $75,000. Environmental Review 1 N/A Financial Statement Agreement has not -to -exceed amount of $75,000. Charges will be applied to accounts on a project by project basis. Approved By: Finance Director Account No. STAFF RECOMMENDATION Adopt resolution. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Proposed Agreement A-200 (9/99) RESOLUTION NO. 2009 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY APPROVING AN AGREEMENT WITH KTU&A TO PROVIDE AS -NEEDED PLANNING AND URBAN DESIGN SERVICES WITH A NOT -TO - EXCEED AMOUNT OF $75,000 AND AUTHORIZING THE CHAIRMAN TO EXECUTE THE AGREEMENT WHEREAS, the Community Development Commission of the City of National City (CDC) is implementing the National City Redevelopment Plan; and WHEREAS, CDC desires to employ a consultant to provide as -needed planning and urban design services related to various projects within the National City Redevelopment Project; and WHEREAS, CDC has determined that KTU&A is a registered planning and urban design firm and is qualified by experience and ability to perform as -needed planning and urban design services. THEREFORE, BE IT RESOLVED that the Community Development City of National City hereby approves the Agreement with KTU&A to planning and urban design services. Said Agreement is on file in the k. NOW, Commission of the provide as -needed office of the City Cler PASSED and ADOPTED this 15th day of September, 2009. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: George H. Eiser, III Legal Counsel Attachment 1 AGREEMENT BY AND BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AND LATITUDE 33 THIS AGREEMENT is entered into this 15th day of September, 2009, by and between the COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, a community development commission (the "CDC"), and LATITUDE 33, a planning/urban design firm (the CONSULTANT). RECITALS WHEREAS, the CDC desires to employ a CONSULTANT to provide planning/urban design services. WHEREAS, the CDC has determined that the CONSULTANT is a planning/urban design firm and is qualified by experience and ability to perform the services desired by the CDC, and the CONSULTANT is willing to perform such services. NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS FOLLOWS: 1. ENGAGEMENT OF CONSULTANT. The CDC hereby agrees to engage the CONSULTANT and the CONSULTANT hereby agrees to perform the services hereinafter set forth in accordance with all terms and conditions contained herein. The CONSULTANT represents that all services required hereunder will be performed directly by the CONSULTANT or under direct supervision of the CONSULTANT. 2. SCOPE OF SERVICES. The CONSULTANT will perform services as set forth in the attached Exhibit "A". The CONSULTANT shall be responsible for all research and reviews related to the work and shall not rely on personnel of the CDC for such services, except as authorized in advance by the CDC. The CDC may unilaterally, or upon request from the CONSULTANT, from time to time reduce or increase the Scope of Services to be performed by the CONSULTANT under this Agreement. Upon doing so, the CDC and the CONSULTANT agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction or increase in the compensation associated with said change in services, not to exceed a factor of 10% from the base amount. 3. PROJECT COORDINATION AND SUPERVISION. Colby Young hereby is designated as the Project Coordinator for the CDC and will monitor the progress and execution of this Agreement. The CONSULTANT shall assign a single Project Director to provide supervision and have overall responsibility for the progress and execution of this Agreement for the CONSULTANT. Randi Coopersmith thereby is designated as the Project Director for the CONSULTANT. 4. COMPENSATION AND PAYMENT. The compensation for the CONSULTANT shall be based on monthly billings covering actual work performed. Billings shall include labor classifications, respective rates, hours worked and also materials, if any. The total cost for all work described in Exhibit "A" shall not exceed $75,000 (the Base amount) without prior written authorization from the Executive Director. Monthly invoices will be processed for payment and remitted within thirty (30) days from receipt of invoice, provided that work is accomplished consistent with Exhibit "A"as determined by the CDC. The CONSULTANT shall maintain all books, documents, papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred and shall make such materials available at its office at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment under this Agreement, for inspection by the CDC and for furnishing of copies to the CDC, if requested. 5. ACCEPTABILITY OF WORK. The CDC shall decide any and all questions which may arise as to the quality or acceptability of the services performed and the manner of performance, the acceptable completion of this Agreement and the amount of compensation due. In the event the CONSULTANT and the CDC cannot agree to the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT in this Agreement, the CDC or the CONSULTANT shall give to the other written notice. Within ten (10) business days, the CONSULTANT and the CDC shall each prepare a report which supports their position and file the same with the other party. The CDC shall, with reasonable diligence, determine the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT. 6. LENGTH OF AGREEMENT. The term of this Agreement shall commence on September 15, 2009, and terminate on June 30, 2011, unless sooner terminated as provided for herein. 7. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The Memoranda, Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT for this Project, whether paper or electronic, shall become the property of the CDC for use with respect to this Project, and shall be turned over to the CDC upon completion of the Project, or any phase thereof, as contemplated by this Agreement. Contemporaneously with the transfer of documents, the CONSULTANT hereby assigns to the CDC and CONSULTANT thereby expressly waives and disclaims, any copyright in, and the right to reproduce, all written material, drawings, plans, specifications or other work prepared under this agreement, except upon the CDC's prior authorization regarding reproduction, which authorization shall not be unreasonably withheld. The CONSULTANT shall, upon request of the CDC, execute any further document(s) necessary to further effectuate this waiver and disclaimer. The CONSULTANT agrees that the CDC may use, reuse, alter, reproduce, modify, assign, transfer, or in any other way, medium or method utilize the CONSULTANT's written work product for the CDC's purposes, and the CONSULTANT expressly waives and disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to intellectual property and artistic works. Any modification or reuse by the CDC of documents, drawings or specifications prepared by the CONSULTANT shall relieve the CONSULTANT from liability under Section 14 but only with respect to the effect of the modification or reuse by the CDC, or for any liability to 2 City's Standard Agreement - June 2008 revision the CDC should the documents be used by the CDC for some project other than what was expressly agreed upon within the Scope of this project, unless otherwise mutually agreed. 8. INDEPENDENT CONSULTANT. Both parties hereto in the performance of this Agreement will be acting in an independent capacity and not as agents, employees, partners or joint venturers with one another. Neither the CONSULTANT nor the CONSULTANT'S employees are employee of the CDC and are not entitled to any of the rights, benefits, or privileges of the CDC's employees, including but not limited to retirement, medical, unemployment, or workers' compensation insurance. This Agreement contemplates the personal services of the CONSULTANT and the CONSULTANT's employees, and it is recognized by the parties that a substantial inducement to the CDC for entering into this Agreement was, and is, the professional reputation and competence of the CONSULTANT and its employees. Neither this Agreement nor any interest herein may be assigned by the CONSULTANT without the prior written consent of the CDC. Nothing herein contained is intended to prevent the CONSULTANT from employing or hiring as many employees, or subCONSULTANTs, as the CONSULTANT may deem necessary for the proper and efficient performance of this Agreement. All agreements by CONSULTANT with its subCONSULTANT(s) shall require the subCONSULTANT to adhere to the applicable terms of this Agreement. 9. CONTROL. Neither the CDC nor its officers, agents or employees shall have any control over the conduct of the CONSULTANT or any of the CONSULTANT's employees except as herein set forth, and the CONSULTANT expressly agrees not to represent that the CONSULTANT or the CONSULTANT's agents, servants, or employees are in any manner agents, servants or employees of the CDC, it being understood that the CONSULTANT its agents, servants, and employees are as to the CDC wholly independent CONSULTANTs and that the CONSULTANT's obligations to the CDC are solely such as are prescribed by this Agreement. 10. COMPLIANCE WITH APPLICABLE LAW. The CONSULTANT, in the performance of the services to be provided herein, shall comply with all applicable State and Federal statutes and regulations, and all applicable ordinances, rules and regulations of the City of National City, in force at the time services are rendered. The CONSULTANT, and each of its subCONSULTANTs, shall obtain and maintain a current City of National City business license prior to and during performance of any work pursuant to this Agreement. 11. LICENSES, PERMITS, ETC. The CONSULTANT represents and covenants that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its profession. The CONSULTANT represents and covenants that the CONSULTANT shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement, any license, permit, or approval which is legally required for the CONSULTANT to practice its profession. 12. STANDARD OF CARE. A. The CONSULTANT, in performing any services under this Agreement, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the CONSULTANT'S trade or profession currently practicing under similar conditions and in similar locations. The CONSULTANT shall take all special precautions necessary to protect the CONSULTANT's employees and members of the public from risk of harm arising out of the nature of the work and/or the conditions of the work site. 3 City's Standard Agreement - June 20Q8 revision B. Unless disclosed in writing prior to the date of this agreement, the CONSULTANT warrants to the CDC that it is not now, nor has it for the five (5) years preceding, been debarred by a governmental agency or involved in debarment, arbitration or litigation proceedings concerning the CONSULTANT's professional performance or the furnishing of materials or services relating thereto. C. The CONSULTANT is responsible for identifying any unique products, treatments, processes or materials whose availability is critical to the success of the project the CONSULTANT has been retained to perform, within the time requirements of the CDC, or, when no time is specified, then within a commercially reasonable time. Accordingly, unless the CONSULTANT has notified the CDC otherwise, the CONSULTANT represents that all products, materials, processes or treatments identified in the project documents prepared for the CDC are reasonably commercially available. Any failure by the CONSULTANT to use due diligence under this sub -paragraph will render the CONSULTANT liable to the CDC for any increased costs that result from the CDC's later inability to obtain the specified items or any reasonable substitute within a price range that allows for project completion in the time frame specified or, when not specified, then within a commercially reasonable time. 13. NON-DISCRIMINATION PROVISIONS. The CONSULTANT shall not discriminate against any employee or applicant for employment because of age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. The CONTRACTOR/ CONSULTANT [CHOOSE ONE] will take positive action to insure that applicants are employed without regard to their age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. Such action shall include but not be limited to the following: employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The CONSULTANT agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CDC setting forth the provisions of this non-discrimination clause. 14. CONFIDENTIAL INFORMATION. The CDC may from time to time communicate to the CONSULTANT certain confidential information to enable the CONSULTANT to effectively perform the services to be provided herein. The CONSULTANT shall treat all such information as confidential and shall not disclose any part thereof without the prior written consent of the CDC. The CONSULTANT shall limit the use and circulation of such information, even within its own organization, to the extent necessary to perform the services to be provided herein. The foregoing obligation of this Section 13, however, shall not apply to any part of the information that (i) has been disclosed in publicly available sources of information; (ii) is, through no fault of the CONSULTANT, hereafter disclosed in publicly available sources of information; (iii) is already in the possession of the CONSULTANT without any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the CONSULTANT by a third party, but only to the extent that the use or disclosure thereof has been or is rightfully authorized by that third party. The CONSULTANT shall not disclose any reports, recommendations, conclusions or other results of the services or the existence of the subject matter of this Agreement without the prior written consent of the CDC. In its performance hereunder, the CONSULTANT shall comply with all legal obligations it may now or hereafter have respecting the information or other property of any other person, firm or corporation. CONSULTANT shall be liable to CDC for any damages caused by breach of this condition, pursuant to the provisions of Section 14. 4 City's Standard Agreement • June 2008 revision 15. INDEMNIFICATION AND HOLD HARMLESS. The CONSULTANT agrees to indemnify and hold harmless the City of National City, its officers and employees, against and from all liability, loss, damages to property, injuries to, or death of any person or persons, and all suits, actions, proceedings, reasonable attorneys' fees, and defense costs, of any kind or nature, including workers' compensation claims, of or by anyone whomsoever, resulting from or arising out of the CONSULTANT's negligent performance of this Agreement. 16. WORKERS' COMPENSATION. The CONSULTANT shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California, the applicable provisions of Division 4 and 5 of the California Government Code and all amendments thereto; and all similar state or Federal acts or laws applicable; and shall indemnify, and hold harmless the CDC and its officers, and employees from and against all claims, demands, payments, suits, actions, proceedings and judgments of every nature and description, including reasonable attorney's fees and defense costs presented, brought or recovered against the CDC or its officers, employees, or volunteers, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by the CONSULTANT under this Agreement. 17. INSURANCE. The CONSULTANT, at its sole cost and expense, shall purchase and maintain, and shall require its subCONSULTANTs, when applicable, to purchase and maintain throughout the term of this agreement, the following insurance policies: ❑ A. If checked, Professional Liability Insurance (errors and omissions) with minimum limits of $1,000,000 per claim. B. Automobile insurance covering all bodily injury and property damage incurred during the performance of this Agreement, with a minimum coverage of $1,000,000 combined single limit per accident. Such automobile insurance shall include owned, non -owned, and hired vehicles ("any auto"). C. Commercial general liability insurance, with minimum limits of $1,000,000 per occurrence/$2,000,000 aggregate, covering all bodily injury and property damage arising out of its operations under this Agreement. D. Workers' compensation insurance in an amount sufficient to meet statutory requirements covering all of CONSULTANT'S employees and employers' liability insurance with limits of at least $1,000,000 per accident. In addition, the policy shall be endorsed with a waiver of subrogation in favor of the CDC. Said endorsement shall be provided prior to commencement of work under this Agreement. If CONSULTANT has no employees subject to the California Workers' Compensation and Labor laws, CONSULTANT shall execute a Declaration to that effect. Said Declaration shall be provided to CONSULTANT by CDC. E. The aforesaid policies shall constitute primary insurance as to the CDC, its officers, employees, and volunteers, so that any other policies held by the CDC shall not contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior written notice to the CDC of cancellation or material change. F. Said policies, except for the professional liability and workers' compensation policies, shall name the CDC and its officers, agents and employees as additional insureds, and separate additional insured endorsements shall be provided. G. If required insurance coverage is provided on a "claims made" rather than "occurrence" form, the CONSULTANT shall maintain such insurance coverage for three years after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date must be on or before the date of this Agreement. H. Any aggregate insurance limits must apply solely to this Agreement. 5 City's Standard Agreement —June 2008 revision Insurance shall be written with only California admitted companies which hold a current policy holder's alphabetic and financial size category rating of not less than A VIII according to the current Best's Key Rating Guide, or a company equal financial stability that is approved by the CDC's Risk Manager. In the event coverage is provided by non -admitted "surplus lines" carriers, they must be included on the most recent California List of Eligible Surplus Lines Insurers (LESLI list) and otherwise meet rating requirements. J. This Agreement shall not take effect until certificate(s) or other sufficient proof that these insurance provisions have been complied with, are filed with and approved by the CDC's Risk Manager. If the CONSULTANT does not keep all of such insurance policies in full force and effect at all times during the terms of this Agreement, the CDC may elect to treat the failure to maintain the requisite insurance as a breach of this Agreement and terminate the Agreement as provided herein. K. All deductibles and self -insured retentions in excess of $10,000 must be disclosed to and approved by the CDC. 18. LEGAL FEES. If any party brings a suit or action against the other party arising from any breach of any of the covenants or agreements or any inaccuracies in any of the representations and warranties on the part of the other party arising out of this Agreement, then in that event, the prevailing party in such action or dispute, whether by final judgment or out -of - court settlement, shall be entitled to have and recover of and from the other party all costs and expenses of suit, including attorneys' fees. For purposes of determining who is to be considered the prevailing party, it is stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not be considered in determining the amount of the judgment or award. Attorney's fees to the prevailing party if other than the CDC shall, in addition, be limited to the amount of attorney's fees incurred by the CDC in its prosecution or defense of the action, irrespective of the actual amount of attorney's fees incurred by the prevailing party. 19. MEDIATION/ARBITRATION. If a dispute arises out of or relates to this Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the dispute by mediation in San Diego, California, in accordance with the Commercial Mediation Rules of the American Arbitration Association (the "AAA") before resorting to arbitration. The costs of mediation shall be borne equally by the parties. Any controversy or claim arising out of, or relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be settled by arbitration in San Diego, California, in accordance with the Commercial Arbitration Rules of the AAA then existing. Any award rendered shall be final and conclusive upon the parties, and a judgment thereon may be entered in any court having jurisdiction over the subject matter of the controversy. The expenses of the arbitration shall be borne equally by the parties to the arbitration, provided that each party shall pay for and bear the costs of its own experts, evidence and attorneys' fees, except that the arbitrator may assess such expenses or any part thereof against a specified party as part of the arbitration award. 20. TERMINATION. A. This Agreement may be terminated with or without cause by the CDC. Termination without cause shall be effective only upon 60-day's written notice to the CONSULTANT. During said 60-day period the CONSULTANT shall perform all services in accordance with this Agreement. B. This Agreement may also be terminated immediately by the CDC for cause in the event of a material breach of this Agreement, misrepresentation by the CONSULTANT in connection with the formation of this Agreement or the performance of services, or the failure to perform services as directed by the CDC. 6 City's Standard Agreement — June 2008 revision C. Termination with or without cause shall be effected by delivery of written Notice of Termination to the CONSULTANT as provided for herein. D. In the event of termination, all finished or unfinished Memoranda Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT, whether paper or electronic, shall immediately become the property of and be delivered to the CDC, and the CONSULTANT shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of the Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused the CDC by the CONSULTANT's breach, if any. Thereafter, ownership of said written material shall vest in the CDC all rights set forth in Section 6. E. The CDC further reserves the right to immediately terminate this Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONSULTANT; (2) a reorganization of the CONSULTANT for the benefit of creditors; or (3) a business reorganization, change in business name or change in business status of the CONSULTANT. 21. NOTICES. All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered; or sent by overnight mail (Federal Express or the like); or sent by registered or certified mail, postage prepaid, return receipt requested; or sent by ordinary mail, postage prepaid; or telegraphed or cabled; or delivered or sent by telex, telecopy, facsimile or fax; and shall be deemed received upon the earlier of (i) if personally delivered, the date of delivery to the address of the person to receive such notice, (ii) if sent by overnight mail, the business day following its deposit in such overnight mail facility, (iii) if mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if the address is outside the State of California) after the date of deposit in a post office, mailbox, mail chute, or other like facility regularly maintained by the United States Postal Service, (iv) if given by telegraph or cable, when delivered to the telegraph company with charges prepaid, or (v) if given by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand, direction or other communication delivered or sent as specified above shall be directed to the following persons: To CDC: To CONSULTANT: Brad Raulston Executive Director Community Development Commission City of National City 1243 National City Boulevard National City, CA 91950-4301 Randi Coopersmith Latitude 33 4933 Paramount Drive, Second Floor San Diego, CA 92123 Notice of change of address shall be given by written notice in the manner specified in this Section. Rejection or other refusal to accept or the inability to deliver because of changed address of which no notice was given shall be deemed to constitute receipt of the notice, demand, request or communication sent. Any notice, request, demand, direction or other communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty- eight (48) hours by letter mailed or delivered as specified in this Section. 7 Citys Standard Agreement— June 2008 revision 22. CONFLICT OF INTEREST AND POLITICAL REFORM ACT OBLIGATIONS. During the term of this Agreement, the CONSULTANT shall not perform services of any kind for any person or entity whose interests conflict in any way with those of the City of National City. The CONSULTANT also agrees not to specify any product, treatment, process or material for the project in which the CONSULTANT has a material financial interest, either direct or indirect, without first notifying the CDC of that fact. The CONSULTANT shall at all times comply with the terms of the Political Reform Act and the National City Conflict of Interest Code. The CONSULTANT shall immediately disqualify itself and shall not use its official position to influence in any way any matter coming before the CDC in which the CONSULTANT has a financial interest as defined in Government Code Section 87103. The CONSULTANT represents that it has no knowledge of any financial interests that would require it to disqualify itself from any matter on which it might perform services for the CDC. LI If checked, the CONSULTANT shall comply with all of the reporting requirements of the Political Reform Act and the National City Conflict of Interest Code. Specifically, the CONSULTANT shall file a Statement of Economic Interests with the City Clerk of the City of National City in a timely manner on forms which the CONSULTANT shall obtain from the City Clerk. The CONSULTANT shall be strictly liable to the CDC for all damages, costs or expenses the CDC may suffer by virtue of any violation of this Paragraph 21 by the CONSULTANT. 23. MISCELLANEOUS PROVISIONS. A. Computation of Time Periods. If any date or time period provided for in this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a Saturday, Sunday or federal, state or legal holiday. B. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute but one and the same instrument. C. Captions. Any captions to, or headings of, the sections or subsections of this Agreement are solely for the convenience of the parties hereto, are not a part of this Agreement, and shall not be used for the interpretation or determination of the validity of this Agreement or any provision hereof. D. No Obligations to Third Parties. Except as otherwise expressly provided herein, the execution and delivery of this Agreement shall not be deemed to confer any rights upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto. E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are hereby incorporated herein by this reference for all purposes. F. Amendment to this Agreement. The terms of this Agreement may not be modified or amended except by an instrument in writing executed by each of the parties hereto. G. Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of any such provision or any other provision hereof. H. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. I. Entire Agreement. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between the parties as to the subject matter hereof. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of 8 Citys Standard Agreement — June 2008 revision any party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. J. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. K. Construction. The parties acknowledge and agree that (i) each party is of equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity to consult with its own, independent counsel and such other professional advisors as such party has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv) each party and such party's counsel and advisors have reviewed this Agreement, (v) each party has agreed to enter into this Agreement following such review and the rendering of such advice, and (vi) any rule or construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or any amendments hereto. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first above written. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY By: Ron Morrison, Mayor APPROVED AS TO FORM: George H. Eiser, III City Attorney By: B 33 gnatures of two corporate officers) ne sr nature) shi r — one sure) (Name) f?.. Mkt). (tea <: (Print) ( 1 ...%sTe (Title) C. JOb' J rtik0,115abtli (Print) (Title) 9 City's Standard Agreement —June 2008 revision Latitude 33 Planning and Engineering File: 101-098 August 25, 2009 CITY OF NATIONAL CITY Scope of Services 1. Preparation of Area Plans and Design Guidelines 2. Master Planning Preparation and Document Review 3. Physical/Site Planning Preparation and Review 4. Zoning Code Review and Revisions 5. Civil Engineering Plan Preparation and Review 6. Civil Engineering Studies Preparation and Review 7. Site/Field Survey 8. Landscape Architecture Design and Review 9. On -Site Landscape Design Preparation and Review 10. Streetscape Plan Preparation and Review 11. Street Median Plan Preparation and Review 12. Parking Facility Landscaping Plan Preparation and Review 13. Architecture Design and Review 14. Analysis and Projection of Physical Building Form at Urban and Neighborhood Scales 15. Exterior Spatial Analysis 16. Visual Simulations 17. Public Participation and Consensus Building 18. Community Outreach/Facilitation 19. Governmental Affairs 20. Demographic and Economic Forecasting 21. Business Valuations 22. Market and Financial Feasibility Studies I\PROMO\I01-000 to 101-099\I01-098\ 101-098 - Scope of Services doe 4933 Paramount Drive, Second Floor, San Diego, CA 92123 (858) 751-0633 • Fax (858) 751-0634 • email: mailbox@latitude33.com 1 ACORD,. CERTIFICATE OF LIABILITY INSURANCE DATE (MMVDDM/) 08/21/09 PRODUCER 0A99520 Cavignac & Associates B Street, Suite 1800 San Diego, CA 92101-8005 certificates@cavignac.com 1-619-234-6848 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURED Latitude 33 Planning & Engineering 4933 Paramount Drive, 2nd Floor San Diego, CA 92123 INSURER& The Travelers Indemnity Company of Connecticut INSURER B: Travelers Property Casualty Company of America INSURER C: XL Specialty Insurance Company INSURER D: INSURER E: COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE DATE IMMIDD/YY1 POLICY EXPIRATION DATE (MM/DD/YY1 LIMITS A GENERAL X LIABILITY COMMERCIAL GENERAL LIABILITY 6806446L474 10/21/08 10/21/09 EACH OCCURRENCE $ 1,000,000 FIRE DAMAGE (My one tire) $ 1, 000 , 000 CLAIMS MADE X I OCCUR MED EXP (Any one person) $ 1, 000 X X GEN'L No Deductible PERSONAL 8,ADV INJURY $ 1, 000, 000 Cross Liab. included GENERAL AGGREGATE g 2,000,000 AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP/OP AGG $ 2,000,000 POLICY X PR0. IFCT -I LOG A AUTOMOBILE X LIABILITY ANY AUTO BA6462L892 10/21/08 10/21/09 nt)INGLE LIMIT COMBINEaccident) (Ea $1, 000, 000 BODILY INJURY (Per person) $ BODILY INJURY (Per accident) $ PROPERTY DAMAGE (Per accident) $ GARAGE LIABILITY ANY AUTO AUTO ONLY - EA ACCIDENT $ OTHER THAN EA ACC $ AUTO ONLY: AGG $ B EXCESS X LIABILITY CUP7777Y385 10/21/08 10/21/09 EACH OCCURRENCE $ 5,000,000 OCCUR CLAIMS MADE AGGREGATE $ 5,000,000 _ .X DEDUCTIBLE RETENTION $ -0- $ $ $ A WORKERS COMPENSATION AND EMPLOYERS' LIABILITY UB7396Y02908 10/21/08 10/21/09 X WC STATU- OTH- TORYLIMIITS ER EL EACH ACCIDENT $1,000,000 E.L. DISEASE - EA EMPLOYEE $ 1,000,000 E.L. DISEASE - POLICY LIMIT $ 1, 000, 000 C OTHER Professional Liability Claims made, defense costs included w/in limit DPR9614616 10/21/08 10/21/09 Each Claim 11,000,000 Aggregate $2,000,000 $ DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/EXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS RE: On Call Agreement CDC, its officers, employees and volunteers are named as Additional Insureds Primary & Non -Contributory with respects to General Liability and Additional Insureds with respect to Auto Liability per attached forms. Primary applies to Auto Liability per policy form. Waiver of Subrogation in favor of those listed above applies to Workers Compensation per attached form. CERTIFICATE HOLDER I I' ADDITIONAL INSURED: INSURER LETTER: (RE: On Call Agreement) The Community Development Commission City of National City 9: Colby Young 3 National City Boulevard INational City, CA 91950-4301 ACORD 25-S (7/97) DonnaP 12841936 USA CANCELLATION 10 days NOC for non-payment of premium SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL 4451#341C MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES. AUTHORIZED REPRESENTATIVE O ACORD CORPORATION 1988 POLICY NUMBER: 68o6446L474 COMMERCIAL GENERAL LIABILITY THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED (ARCHITECTS, ENGINEERS AND SURVEYORS) This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART A. The following is added to WHO IS AN INSURED (Section II): Any person or organization that you agree in a "contract or agreement requiring insurance" to include as an additional insured on this Coverage Part, but only with respect to liability for "bodily injury", "property damage" or "personal injury" caused, in whole or in part, by your acts or omissions or the acts or omissions of those acting on your behalf: a. In the performance of your ongoing operations; b. In connection with premises owned by or rented to you; or C. In connection with "your work" and included within the "products -completed operations hazard". Such person or organization does not qualify as an additional insured for "bodily injury", "property damage" or "personal injury" for which that person or organization has assumed liability in a contract or agreement. The insurance provided to the additional insured is limited as follows: d. This insurance does not apply on any basis to any person or organization for which coverage as an additional insured specifically is added by another endorsement to this Coverage Part. e. This insurance does not apply to the rendering of or failure to render any "professional services". f. The limits of insurance afforded to the additional insured shall be the limits which you agreed in that "contract or agreement requiring insurance" to provide for that additional insured, or the limits shown in the Declarations for this Coverage Part, whichever are less. This endorsement does not increase the limits of insurance stated in the LIMITS OF INSURANCE (Section III) for this Coverage Part. B. The following is added to Paragraph a. of 4. Other Insurance in COMMERCIAL GENERAL LIABILITY CONDITIONS (Section IV): However, if you specifically agree in a "contract or agreement requiring insurance" that the insurance provided to an additional insured under this Coverage Part must apply on a primary basis, or a primary and non- contributory basis, this insurance is primary to other insurance that is available to such additional insured which covers such additional insured as a named insured, and we will not share with the other insurance, provided that: (1) The "bodily injury" or "property damage" for which coverage is sought occurs; and (2) The "personal injury" for which coverage is sought arises out of an offense committed; after you have entered into that "contract or agreement requiring insurance". But this insurance still is excess over valid and collectible other insurance, whether primary, excess, contingent or on any other basis, that is available to the insured when the insured is an additional insured under any other insurance. C. The following is added to Paragraph 8. Transfer Of Rights Of Recovery Against Others To Us in COMMERCIAL GENERAL LIABILITY CONDITIONS (Section IV): We waive any rights of recovery we may have against any person or organization because of payments we make for "bodily injury", "property damage" or "personal injury" arising out of "your work" performed by you, or on your behalf, under a "contract or agreement requiring insurance" with that person or organization. We waive these rights only where you have agreed to do so as part of the "contract or agreement requiring insurance" with such person or organization entered into by you before, and in effect when, the "bodily injury" or "property damage" occurs, or the "personal injury" offense is committed. D. The following definition is added to DEFINITIONS (Section V): "Contract or agreement requiring insurance" means that part of any contract or agreement under which you are required to include a person or organization as an additional insured on this Coverage Part, provided that the "bodily injury" and "property damage" occurs, and the "personal injury" is caused by an offense committed: a. After you have entered into that contract or agreement; b. While that part of the contract or agreement is in effect; and c. Before the end of the policy period. CG D3 81 09 07 2007 The Travelers Companies, Inc. Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 1 of 1 tiF TRAVELERS WORKERS COMPENSATION AND EMPLOYERS LIABILITY POLICY ENDORSEMENT WC 99 03 76 (00) POLICY NUMBER: U57396Y02908 WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT - CALIFORNIA (BLANKET WAIVER) We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule. The additional premium for this endorsement shall be % of the California workers' compensation premium otherwise due on such remuneration. Schedule Person or Organization Job Description ANY PERSON OR ORGANIZATION FOR WHICH THE INSURED HAS COMPLETED A WRITTEN AGREEMENT TO PROVIDE THIS WAIVER. COMMERCIAL AUTO Physical Damage Coverage is extended to "autos" that you hire, rent or borrow subject to the following: (1) (2) The most we will pay for "loss" in any one "accident" to a hired, rented or borrowed "auto" is the lesser of: (a) $50.000: (b) The actual cash value of the dam- aged or stolen property as of the time of the "loss': or (c) The cost of repairing or replacing the damaged or stolen property with other property of like kind and quality An adjustment for depreciation and physical condition will be made in deter- mining actual cash value in the event of a total "loss". (3) If a repair or replacement results in better than hke kind or quality, we will not pay for the amount of betterment. (4) A deductible equal to the highest Physical Damage deductible applicable to any owned covered "auto". This Coverage Extension does not apply to: (5) (a) Any "auto" that is hired, rented or bor- rowed with a driver, or (b) Any "auto" that is hired, rented or bor- rowed from your "employee". F. BLANKET WAIVER OF SUBROGATION SECTION IV — BUSINESS AUTO CONDITIONS, A. Loss Conditions, 5. Transfer Of Rights Of Recovery Against Others To Us is deleted and replaced by the Following: 5. Transfer Of Rights Of Recovery Against Others To Us We waive any right of recovery we may have against any person or organization to the ex - Page 2 of 2 tent required of you by a written contract exe- cuted prior to any "accident" or "loss", pro- vided that the "accident" or "loss" arises out of the operations contemplated by such con- tract. The waiver applies only to the person or organization designated in such contract. G. BLANKETADDITIONAL INSURED SECTION II — LIABILITY COVERAGE. part A. i. Who Is An Insured, paragraph c. is amended by adding the following: Any person or organization that you are required to include as an additional insured on this Cover- age Form in a written contract or agreement that is signed and executed by you before the "bodily injury" or "property damage" occurs and that is in effect during the policy period is an 'insured" for Liability Coverage, but only for damages to which this insurance applies and only to the extent that person or organization qualifies as an "insured" under the Who is An Insured provision contained in Section II. H. EMPLOYEE HIRED AUTOS SECTION Il — LIABILITY COVERAGE, A. Cov- erage,1_ Who Is An Insured is amended by add- ing the following: An "employee" of yours is an "insured" while op- erating an "auto" hired or rented under a contract or agreement in that "employee's" name, with your permission, while performing duties related to the conduct of your business_ I. COVERAGE EXTENSION — TRAILERS SECTION I — COVERED AUTOS, C. Certain Trailers, Mobile Equipment and Temporary Substitute Autos, paragraph 1. is deleted and replaced by the following: 1. "Trailers" with a load capacity of 3,000 pounds or less designed primarily for travel on public roads. includes Ine copyrighted material of Insurance Services Office. inc. with its permission. CA T4 20 07 06 Includes the copyrighted matenat or The St. Paul Travelers Companies, Inc. 7,142E COMMERCIAL AUTO THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. AUTO COVERAGE PLUS ENDORSEMENT This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM With respect to coverage provided by this endorse- ment, the provisions of the Coverage Form apply unless modified by the endorsement. A. PERSONAL EFFECTS COVERAGE SECTION III - PHYSICAL DAMAGE COVER- AGE, A. Coverage, 4. Coverage Extensions is amended by adding the following: Personal Effects Coverage We will pay up to S400 for "loss" to wearing ap- parel and other personal effects which are: (1) owned by an "insured"; and (2) in or on your covered "auto"; in the event of a total theft "toss" of your covered ".auto"_ No deductibles apply to Personal Effects Cover- age. B. AUTO LOAN LEASE GAP COVERAGE SECTION III - PHYSICAL DAMAGE COVER- AGE, A. Coverage, 4. Coverage Extensions is amended by adding the following: Auto Loan Lease Gap Coverage for Private Passenger Type Vehicles In the event of a total "loss" to a covered "auto" of the private passenger type shown in the Schedule or Declarations for which Physical Damage Cov- erage is provided, we will pay any unpaid amount due on the lease or loan for such covered "auto" less the following: (1) The amount paid under the Physical Damage Coverage Section of the policy for that "auto": and (2) Any: (a) Overdue lease/loan payments at the time of the "lass (b) Financial penalties imposed under a lease for excessive use, abnormal wear and tear or high mileage: (c) Security deposits not returned by the les- sor: CA T4 20 07 06 C. D. E. (d) Costs for extended warranties, Credit Life Insurance. Health, Accident or Disability Insurance purchased with the loan or lease; and (e) Carry-over balances from previous loans or leases. COVERAGE EXTENSION - AUDIO, VISUAL AND DATA ELECTRONIC EQUIPMENT NOT DESIGNED SOLELY FOR THE PRODUCTION OF SOUND SECTION III - PHYSICAL DAMAGE COVER- AGE, B. Exclusions, exception paragraph a. to exclusions 4.c & 4.d is deleted and replaced with the following: a. Equipment and accessories used with such equipment. except tapes, records or discs, provided such equipment is permanently in- stalled in the covered "auto" at the time of the "loss" or is removable from a housing unit which is permanently instatted in the covered "auto" at the time of the loss", and such equipment is designed to be solely operated by use of the power from the "auto's" electri- cal system, in or upon the covered "auto"; or WAIVER OF DEDUCTIBLE - GLASS SECTION III - PHYSICAL DAMAGE COVER- AGE, D. Deductible is amended by adding the following: No deductible for a covered "auto" will apply to glass damage if the glass is repaired rather than replaced_ HIRED AUTO PHYSICAL DAMAGE COVER- AGE SECTION III - PHYSICAL DAMAGE COVER- AGE, A. Coverage, 4. Coverage Extensions is amended by adding the following: Hired Auto Physical Damage Coverage Exten- sion If hired "autos" are covered "autos" for Liability Coverage and this policy also provides Physical Damage Coverage for an owned "auto", then the includes the copyrighted matenai of Insurance Services Office. Inc. with as permission. Page 1 of 2 Includes the copyrighted material of The St Paul Travelers Companies. Inc. City of National City, California COUNCIL AGENDA STATEMENT .JIEETING DATE September 15, 2009 AGENDA ITEM NO. ITEM TITLE Presentation on the National City First Time Homebuyer Program PREPARED BY Carlos Aguirre (Ext. 4391) EXPLANATION 26 DEPARTMENT Housing and Grants Division Community Development Dep According to U.S. Census 2000 Data, only 34.3% of National City's housing stock is owner occupied. Under the current National City Strategic Action Plan Objective 6B, the City Council has expressed an interest in addressing the low rate of owner occupancy by increasing opportunities for homeownership and has directed staff to develop and implement programs to assist residents to become homeowners. Staff requests that Council review the draft program guidelines and share their input through the process. The final draft of the program will be presented for approval by the City Council on November 17, 2009. The National City Community Development Commission has assisted over 350 first time homebuyers with "silent second," deferred principal payment mortgages and down payment assistance in the past and has recently developed the capacity to administer the program once more. Our target for the current fiscal year is to assist 8 to 10 homebuyers with the program. The Housing and Grants Division intends to request proposals to originate and process the loans generated. Although preference may be given to National City residents that apply, the program will work on a first come, first serve basis and will be closed when funds are depleted. The program will reopen on the availability of program income or new program allocations as may become available with authorization from City Council. Environmental Review N/A Financial Statement Approved By: Finance Director The Council has appropriated $358,090.00 in HOME program funds for FY2009-2010. Account No. 505 STAFF RECOMMENDATION Not applicable to this report. BOARD I COMMISSION RECOMMENDATION Not applicable to this report. ATTACHMENTS ( Listed Below ) Resolution No. Attachment No. 1: FTHB Program Summary (Draft) Attachment No. 2: Implementation Timeline Attachment No. 3: FTHB Program Guidelines (Draft) A-200 (9/99) Attachment No.1: FTHB Program Summary r aNC.•}�pp,. �•�D NATIONAL CITY FIRST TIME HOMEBUYER PROGRAM ELIGIBLE BORROWERS • The applicant may not have held an ownership interest in real property within the past three years. • Income must be at or below 80% of the currently published San Diego County area median income, adjusted for household size. Household Size Annual Income 1 person $46,250 2 people $52,900 3 people $59,500 4 people $66,100 5 people $71,400 6 people $76,700 7 people $81,950 8 people $87,250 • Households will be required to provide a down payment or cash investment. A minimum contribution of 3% of the total purchase price of the property will be required from the borrower's personal funds and must be used for down payment, closing costs or cash reserves, no gifts. • Maximum liquid assets after down payment and closing cost contribution may not exceed $25,000. • Priority is given to current residents of the City of National City and households who are employed in businesses within the City of National City at the time of application. Income - eligible employees of the City of National City are encouraged to apply. ELIGIBLE PROPERTIES • Properties must be located within the City of National City limits. • Properties can be new or resale single-family homes, including detached homes, condominiums and townhouses. Duplexes, triplexes or fourplexes do not qualify as eligible properties. • Properties must be owner -occupied or vacant. The City will not incur costs for tenant relocation. • Properties must meet local housing code standards upon occupancy. Properties built prior to 1978 must meet compliance with lead -based paint hazard regulations. • The maximum purchase price cannot exceed 95 percent (95%) of the median purchase price for the area, as determined by the U.S. Department of Housing and Urban Development ($451,250 effective 1/09). LOAN TERMS • The maximum loan amount shall be 20% of the purchase price up to $40,000. Up to 2% of the purchase price may be funded by the City loan toward payment of closing costs. • No interest is charged on the loan (except in the case of default). Instead, the program is based on an equity share. The amount of equity due to the City is based upon the number of years after the date of execution of the City's loan. It begins at 50% of the equity and decreases by 5% each year. After 10 full years of owner occupancy, there is no equity share. • The loan principal shall become due and payable at the time of the property's transfer of title, refinance (except as earlier defined), rental or sale. Attachment No 2: FTHB Program Implementation Timeline TIMELINE FOR THE NATIONAL CITY FIRST TIME HOMEBUYER PROGRAM FISCAL YEAR 2009-2010 April 21, 2009 (Tuesday) City Council Annual Action Plan Approval Council authorizes allocation of $358,090 for FY09-10. August 31, 2009 (Monday) FTHB Program Draft Guidelines Created Final draft of the program guidelines and budget for FY09-10 is completed. September 2, 2009 (Wednesday) Staff Report due for the September 15th City Council Meeting Submit draft Program Guidelines and presentation to the City Council. September 15, 2009 (Tuesday) Item on City Council on Program Goals and Guidelines Presentation on Draft Program Guidelines September 21, 2009 (Monday) RFP made available to the General Public The RFP is published on the National City website and made available by the Housing and Grants Division. September 28, 2009 (Monday) RFP Workshop and Q&A at MLK Center, 10.am. Presentation on Qualifications, Requirements, and Scope of Work to potential respondents. October 8, 2009 (Thursday) RFP Submissions Due October 19, 2009 (Monday) City Selects RFP Contract Candidate October 19 to November 3, 2009 Contract Negotiations Period Contract terms are finalized by Nov. 3 November 4, 2009 (Wednesday) Staff Report due for the Nov. 17th City Council Meeting - Submit final Program Guidelines and Contract for review. November 17, 2009 (Tuesday) City Council Resolution Council approves final Program Guidelines and Contract. Nov. 18 to Dec. 17 2009 City Markets FTHB Program Program marketing materials are created and distributed. January 4, 2009 (Monday) FTHB Program Funds released to the General Public Contract period begins with Contractor for 6 months. Attachment #3: FTHB Program Guidelines INC,O0gO1 A:TE FIRST-TIME HOMEBUYER PRORAM MANUAL Fz� Shared Equity: Down payment and Cjo ing Cost Assistance lty of N °tional City pment Department rusing and Grants Division 43 National City Blvd. nal City, CA 91910 (619) 336-4391 (619) 336-4286 Fax EFFECTIVE: January 4, 2009 (Subject to change) EQUAL HOUSING OPPORTUNITY CITY OF NATIONAL CITY Attachment #3: FTI IB Program Guidelines FIRST-TIME HOMEBUYER PROGRAM MANUAL TABLE OF CONTENTS Effective June 18, 2008 PURPOSE OF THE PROGRAM MANUAL GENERAL DEFINITIONS SECTION I -BORROWER ELIGIBILITY REQUIRMENTS A. ELIGIBLE BORROWER B. INCOME CRITERIA C. HOUSEHOLD ELIGIBILITY REQUIREMENTS D. ELIGIBLE PROPERTIES E. MAXIMUM PURCHASE PRICE F. LOAN PROCEDURES AND TERMS SECTION II -PROGRAM ADMINISTRATION ANDPROCEDURES A. LENDER ELIGIBILITY B. LOAN ORIGINATION AND PROGRAM APPLICArf C. CITY APPLICATION PACKET D. PROPERTY INSPECTION E. CITY PROCESSING F. LOAN CLOSING G. CANCELLATION AND COMMITMEN` SECTION III- CHANGES PRIOR TO APPENDIX A-INCOM° APPENDIX B-SEQUECE OF LO APPENDIX C-CITY LC V QUA APPENDIX D-SECTION z 0 APPENDIX E -SHARED E ® EXAMP NT POLICY STANDARDS (HQS) 2 Attachment #3: FTHB Program Guidelines PURPOSE OF THE PROGRAM MANUAL The purpose of this Program Manual is to describe the program and delineate the role of the City, the applicant/borrower and the lenders. This document contains a description of the City of National City First -Time Homebuyer Program requirements, processing procedures and program administration. Loan processing forms are contained in a separate document. The City may revise these guidelines from time to time. Public notice will be given for significant program changes before adoption. The City encourages all eligible homebuyers to apply. Participating lenders are expected to be well informed about all the restrictions contained in this manual so that both applicants and sellers are aware of these restrictions before the application is,ahe; epted. The lender will reject those applications where the information submitted indicatestttt the applicant does not qualify for the program. GENERAL DEFINITIONS AFFIDAVIT: A deposition filed in connection with t 4 program made crar oath and subject to penalties of perjury APPLICANT: Any person who applies for City loan assistance ASSETS: Cash or a non -cash item that,,can be converted to cash. Assets exclude necessary personal property CITY: The City of National City Commurii De(*ment COMMITMENT: A document which is original d and issued by the City, based on review and approval of the applicationpackage and lendter's certification that the requirements necessary for issuance of a Citytian have bee met. A cp,mmitment will be valid for 120 days. THE CITY WILL ONLY ISSUE A'CQ1v1MITME ;,; FOR A LOAN THAT HAS BEEN APPROVED BUT NOT YET FUNDED. NO EXCEPTIO ELIGIBLEt ROB son meeting the criteria as set forth in this manual ELIGIB DWELLING Rc properlocated within the City of National City. This may include a resident�unit to be b , a new' 'unit, or an existing. The unit must be designed as a residence for e householdt od must meet property standards and criteria as set forth in this 31„4manual EQUITY: The dolt that constitutes the difference between the sales price of the Property and the surrfrthe following amounts; 1) principal on the First Note and Deed of Trust; 2) principal on the Second Note and Deed of Trust to the City of National City; 3) all costs of sale, including costs of brokers' commissions, escrow fees, title costs and fees, recording costs, etc.; 4) current year taxes, including all real estate taxes calculated to the date of sale; 5) borrower's down payment not including the loan from the City to Borrower; 6) costs of any capital improvements to the Property, provided such improvements were approved by the City prior to construction and provided that such improvements have been documented to the satisfaction of the City EQUITY SHARE: The equity share starts at 50%/50% between the Borrower and the City. The amount of the Borrower's share in the Equity of the Property shall increase by five percent (5%) per year, measured on the anniversary date of the Deed of Trust. Correspondingly, the 3 Attachment #3: FTHB Program Guidelines City's share in the equity of the Property shall decrease by five percent (5%) per year. In the event that no Equity exists at the time of transfer or sale, the City loan (HOME funds) will still be due and payable. In the event that a negative Equity situation exists, and the full amount of the City loan is not available to be recaptured, the amount of the loan required to be repaid to the City will be set forth in the HOME agreement between the Borrower and the City. A Shared Equity example is attached as Appendix E. EXISTING HOME (RESALE HOME): A dwelling unit that has been previously occupied. HOME FUNDS/HOME INVESTMENT: Funds received pursuant to the HOME Investment Partnership program under the Department of Housing and Urban Development (HUD), codified at 42.U.S.C. Section 12701, et seq., 24 CFR Part 92, to provide funds for affordable housing HOMEOWNER INVESTMENT: Homeowner's down payment, and any capital improvement investment made by the owner since purchase INCOME: The gross amount of all taxable incomefor all mortgagors and adult household members that is anticipated to be received duri nitre coming twelve.:(2) months. All income derived from any source, including income tern wages (gross pay°Qovertime, pensions, veteran's compensation, bonuses, public assistance, alimony, net rental income, dividends and interest, etc. must be included. Non-taxable income mu be listed, but bracketed, in order to exclude this income from the annual family income calculation; verification of non-taxable status may be required. ISSUER: Community Development C rnissi Community Development Department of;te Cit' n,4of theity of National City through the tional City LENDER: A financial institution, lwhetheR bry` leer, reta't:'or wholesale, licensed to provide mortgage loans in the, State oflifornia T}e established by the City_n order to participate a a LENDING SERVICES close, and pa,,cke,e, and se e loan. institution must meet all the requirements lender in the City program seed contractor that will process, underwrite, LOAN: A extension of credit hided to an Eligible Borrower to finance the purchase of an Eligible Da LOW-INCOME established by the U.S. Depart A household U.S. Depa mer'tofHor with income at or below 80% of the Area Median Income as '•rent of Housing and Urban Development. Every 12-18 months, g and Urban Development updates these figures NEW HOME: A dwe lgg unit that is proposed to be constructed, is currently under construction, or exists but has not been previously occupied NET PROCEEDS: Sales price minus loan repayment and closing costs OWNERSHIP: Any of the following interests in residential property: fee simple interest; joint tenancy; tenancy in common; interest of a tenant -shareholder in a cooperative; life estate; interest held in trust for the Applicant that would constitute a present ownership interest if held by the Applicant 4 Attachment #3: FTHB Program Guidelines PRINCIPAL RESIDENCE: Residence must be occupied as the primary home of the buyer and be defined as one of the following types of residences: 1) single-family house; 2) condominium unit; 3) town home unit PROHIBITED MORTGAGE: Subordinate mortgages and any liens superior to the City First - Time Homebuyer loan, other than the new first Trust Deed. PROPERTY STANDARDS: Minimum performance standards a property must meet for program eligibility. Standards are established in 24 CFR Part 882 (Housing Quality Standards), as attached as Appendix D PROPERTY VALUE: Value of the eligible property as determinecy a certified appraisal PURCHASE PRICE: Cost of acquiring the residence, exclu or finance costs, and the value of services performe acquisition usual and reasonable settlement mortgagor in completing the RELATED PERSON: Any party(ies) who may hay. a beneficial interest ip the sale or financing of the subject property, other than a qualified lejd'er SINGLE-FAMILY RESIDENCE: Housing unit ended and used for occupancy by one household 5 Attachment #3: FTHB Program Guidelines SECTION I BORROWER ELIGIBILITY REQUIREMENTS Both federal and state law sets borrower eligibility requirements. Income guidelines are modified, based on federal directives every twelve to eighteen months. The City will notify the Lenders when those changes take place, including the effective date of each change. In an attempt to assure that all requirements are clear, the First-time Homebuyer Application and Affidavit are required to be signed by each Applicant and must be included in the Application Package submitted to the City. A. ELIGIBLE BORROWERS 1. Qualified applicants must be first-time homebuyers. °eThe Applicant may not have held an ownership interest in his/her Principal Residence within the paiee years. This timeframe includes those 36 months before the date the mortgage is executed. In the case of a married couple, both parties must meet this requirement. The bdi4q,spouse and any other parties who will be listed on title must meet pis requirement. The''Lenrder must verify this through his/her examination of the Applicant's federal tax returns fore preceding three years. The Applicant(s) cannot have claimed�,a�deduc i n for mortgage interest or taxes on real property claimed as a Principal Residence.' 2. To demonstrate compliance with th requirement, Applicants must complete and sign the First-time Homebuyer Applicatiorr�d davit and,provide copies of their last three (3) years signed federal tax returns (or kcep le.,alternat e exhibits). a) The Applicant(s) can provide the signets 1040ArI04OEZ or 40 federal income tax forms for the preceding years, including all schedules. These fo ms shall be submitted to the Lender and forwarded to theC with the completed loan application. The tax returns must be signed and dated in billue ink byte Applic nts. b) If the Applicant( has/have fir the short form, 1040A or 1040EZ for the last three (3) years, completes'an signs t required affidavits, but is unable to produce copies of the signed returns, the ed copy of IRS Letter Form 1722 in lieu of actual returns The Applicant may request:this letter, free of charge, from the local IRS Office. 722'must include the signature of a representative of the IRS. Letter Form, 22 should node the information: Name and sal se{cy number n Type of returr�'� iu mental status iv shown on urn v. A J d gross income vi. Taxa 2�rge ie vii. Self em l ment tax viii. Number of exemptions c) In the event the Applicant(s) was not obligated to file federal income tax returns for any of the preceding three (3) years, it will be necessary for the Lender to obtain a completed and signed Income Tax Affidavit from the Applicant, which is required in place of the above. This document is to be forwarded to the City with the application package. d) If either copies of the required tax returns or the 1722 Form cannot be obtained, the Lender may be able to help the Applicant establish first-time homebuyer status with copies of utility bills and a signed and notarized statement from the Applicants landlords for the previous three years. e) When the Commitment is issued during the period between January 1 and February 15 and the Applicant has not yet filed his/her/their Federal Income Tax Return for the preceding 6 Attachment #3: FTHB Program Guidelines year, the City may rely on an affidavit. The affidavit must affirm that the Applicant is not entitled to claim deductions for taxes or interest on a principal residence for the preceding year. After February 15, a tax return will be required. 3. Upon close of escrow, the buyer must occupy the home as their Principal Residence. 4. Applicant(s) need not be a U.S. citizen. Legal resident aliens are eligible to apply but must show proof of status. 5. Priority is given to current residents of the City of National City and households who are employed in businesses within the City of National City at the time of application. 6. City of National City employees are eligible to participate. B. INCOME CRITERIA 1. Income must be at or below 80% of the currently pup s ed San Diego County median income, adjusted for household size. Income limits,. been established by the U.S. Department of Housing and Urban Development and a e adjusted annually. In accordance with this requirement, applicants may not obtain 'stated income" loans. The true income 33, must be a qualifying factor in loan approval. Household Size A ual Income 1 person 6,250 2 people $52, 00 3 people $59 4 people $66,10f 5 people , 71' 400 6 people- arv%y 00, 7 people 8,peop`Le,, Effecting h 19, 2009 2. Gross income is calculated by taking the Applicant's anticipated adjusted gross monthly income, at the tiMe34,gf appl and rn plying it by twelve. Adjusted gross income 33.3 includes the gross 67' e income, before payroll deductions of: wages, salaries, commissions, "tips and bonus, alimony, public assistance, etc. The adjusted gross n ome 6I*65,n udes e income earned on assets, such as dividends earned on stock and merest earned o savingsand checking. The adjusted gross income qualification is pursuant to the 24 CFR 92.2. ,)(3) for reporting under the IRS Form 1040 series for indivi a ederal annual come x purposes. Gross income includes the combined taxable adjustedgross income ofa mortgagors and all other adult members of the household. a. Self ed or Seasonal Employees: The formula that the Lender uses to determine the anticipated monthly income of self-employed and/or seasonal workers is ed that all income as described in this manual is included in the acceptable calculation. b. Co-Borrower/Co-Mortgagor: If a co -borrower or co -mortgagor will be on both the title and the deed of trust, his/her income must be included in determining eligibility for the program. The IRS regulation states "income to be taken into account in determining gross income is income of the mortgagor(s) and any other person who is expected to both live in the residence being financed and to be secondarily liable on the mortgage." c. Spouses: Married couples are treated as co -applicants, whether: 1) they are separated; 2) either spouse is applying for the loan; or 3) either spouse plans to be named on title. d. Computing Income 7 Attachment #3: FTHB Program Guidelines determination of excess inc vii. Income Verification: The Lender b income is within, tie program g complete, and :dsoc tinted possible. viii. No Income: Adult me hers, 18 income must complete,and sign th i. Program Computation vs. Mortgage Underwriter's Computation: The City loan figure represents ANTICIPATED income, while the Lender's figure represents income AVERAGED over the last few years and the City program requires that every source of taxable and non-taxable income be listed on the Income Computation Worksheet, however, non-taxable income should be bracketed and not added into the maximum annual family income calculation. ii. Income Parameters: See Appendix A of this manual for examples of sources of income, which must be considered in computing buyer income. iii. Military Pay: See Appendix A of this manual for Military Pay explanations. iv. Self -Employed: Year-to-date profit and loss statement and three prior year's tax returns are required. v. Other Income: Sources of income other than wages'Must be documented by third party verifications. In cases where the third party fails to respond, acceptable alternative sources of documentation can be determined on a case -by -case basis and should follow standard FNMA income verificationuidelines. vi. Documentation: In cases where the Applicant is errs pfoyed, acceptable sources of documentation used to verify income ' cede a recent pay stub with year-to-date earnings and an employer Verificationof Earnings statement (VOE). If the application is taking place duringl first four months of the year, a year-to-date total may be insufficient. The Lender must supplement the pad stub information with the prior year W-2 statement m t./or t returns. On some pay stubs, the year-to-date earnings include pay from,`last part of the prior year. If this is determined to be the caeiquest that 'employer submit a signed statement of verification of exact ye to incomes Miscalculation can result in the qualifiegApn of the buyer. e burden of proving that the Buyer's in s�. The computation should be clear, party'`verifications, to the greatest extent ars and older, of the household who have no eclaration of No Income form. 8 Attachment #3: FTHB Program Guidelines C. HOUSEHOLD ELIGIBILITY REQUIREMENTS 1. Households shall have sufficient income and credit -worthiness to qualify for primary financing from a participating lender. 2. Households will be required to provide a down payment or cash investment. A minimum contribution of 3% of the total purchase price of the property will be required from the borrower's personal funds and must be used for down payment, closing costs or cash reserves, no gifts. 3. Maximum liquid assets after down payment and closing cost contribution may not exceed $25,000. D. ELIGIBLE PROPERTIES 1. Properties must be located within the City of National 2. Properties can be new or resale single-familr homes, ucluding detached homes, condominiums and townhouses. Duplexes, trip* or fourplexlo not qualify as eligible properties. 3. Properties must be owner -occupied or vacca: The City will not fur costs for tenant relocation. 4. Properties must meet local code inspection si detailed Housing Quality Standards. 5. Properties built prior to 1978 must meet compliance with lead -based paint regulations for Notification, Evaluation and Redd t2 o of lead -based t paint hazards in federally owned property and housing receiving asRegulation (September 15, 1999) [24 CFR Part 35] E. MAXIMUM PURCHA on occupancy. See Appendix D for The maximum purc me price can* exceed c 5 percent (95%) of the median purchase price for the area, as det�]ned bX t o U.S. Dettartment of Housing and Urban Development ($451,250. effective 1/0` F. LOAN PROCEDU AN „ RMS 1. The' imum loan arr nt s r be 20% of the purchase price up to $40,000 subject to the condit' of the prop qua f ing factors and staff assessment. Up to 2% of the purchase ce may be ed by the City loan toward payment of closing costs. The City loan may bsed towar he down payment, closing costs, an interest rate buy -down or any combinati there 2. The maximum CL, bined loan to value) of the City and the new 1st Trust Deed loans shall not exceed th ximum approved CLTV required by the 15t mortgage lender. 3. Non -occupant co -borrowers shall not be allowed. 4. Total housing ratio (PITI) cannot exceed 36% of Applicant(s) gross monthly income. The City may make exceptions if less than twenty percent payment shock is involved. 5. Total debt -to -income ratio may not exceed 45% or 41% if obtaining an FHA loan. 6. No prepayment penalty allowed. 7. Maximum fees to the Applicant of 1.25% origination, discount points for below par pricing only, and $350 processing are acceptable for the purchase transaction. No other Broker or Admin type fees allowed. Other third party fees that are reasonable and customary are allowable. 8. The terms of the City's second trust deed are designed to encourage long-term residency in the program -assisted home. No interest is charged on the loan (except in the case of 9 Attachment 43: FTHB Program Guidelines default). Instead, the program is based on an equity share. The amount of equity due to the City is based upon the number of years after the date of execution of the City's loan. It begins at 50% of the equity and decreases by 5% each year. After 10 full years of owner occupancy, there is no equity share. Only the principal remains due and payable. See shared equity example in Exhibit E. 9. The loan shall become due and payable at the time of the property's transfer of title, refinance (except as earlier defined), rental or sale. 10.The loan shall also become due and payable when the acceleration clause is triggered. The acceleration clause will be in effect when the property is no longer the principal place of residency of the eligible homebuyer, or upon discovery of willful misrepresentation or fraud in connection with the program. Rental of the property is prohibited and will cause the loan to be accelerated. 11. Second and subsequent mortgages to the new First Trust, i eed, except for this City Loan, are not permitted. 12.The loan is not assumable. 13. A Promissory Note and Deed of Trust will secure the loan. 14.The City Loan can be used with conventional, FHA VA, and other ans issued be a qualified lender, except adjustable rate mortgages h less than fiV ears fixed, negative amortization and stated income mortgages � 15.The City of National City Community Development Department does not underwrite the loans. Lenders willprocess the under) in �' y g ,q'tortg�s` using standard procedures, with adjustments to those procedures to conform to°tthe City loan guidelines. 10 Attachment #3: FTHB Program Guidelines SECTION II PROGRAM ADMINISTRATION AND PROCEDURES Eligible Applicants will apply for the City of National City's First -Time Homebuyer Program in conjunction with normal mortgage loan application procedures. The City loan application must be filed with an application for a mortgage to a Participating Lender. The City loan processing procedures are designed to coincide with the standard mortgage loan processing and underwriting criteria that are in place at most mortgage lending institutions, although there are some City restrictions that must supercede normal processing and underwriting criteria. Recognizing that there are procedural variations among participating lenders, the steps outlined here are meant to serve as segenrial guidelines. Please note, however, that all elements of the processing sequence must b edmpleted at some point. A. LENDER ELIGIBILITY A lender is defined as a financial institution, w tfer broker, retail, ox=wholesale, licensed to make first mortgage loans in the State of Calif; . All Lenders who wi to participate in the City program must be enrolled as a participatin ` lender To enroll and marn5tain active status a lender must: 1. Attend a lender certification course by The Len 2. Agree to adhere to Quality Commitment Policy. 3. Designate a contact person for the m 4. Pay a lender certification fee of $ 5. All lending personnel involved wit and study and apply or, ures list 6. Provide the First-tinife,i'o yer Pr loan processors 7. Cooperate with] The Lender will be requii application a dam or willfully and infq statem staff will t he Applic or misreprese ke all lawful acti services Contractor e refer to Appendix C. ram mist attend City training sessions ender Training Handbook Manual and Lender Training Handbook to all ng the best possible service to the Applicants **that no material misstatements appear in the ts. If t '`,der becomes aware of such, whether negligently otify the City immediately. The Lender should also be aware ties provided by California law if a person makes a false e sole purpose of participating in this program. Housing to coriect or mitigate the problem. B. LOAN ORIATION A?PROGRAM APPLICATION �, 1. Borrower applie Lender for a mortgage and City loan. Lender performs standard underwriting procedtir, ,o qualify Applicant for a first mortgage, utilizing the City's required underwriting requiremen s in lieu of certain standard criteria. 2. Lender describes parameters of the City program to Applicant and determines eligibility based on a review of income, prior homeownership and all other factors listed in this manual. 3. Lender obtains three prior year's tax returns from Applicant and prepares to have the Seller Affidavit forwarded with instructions to the seller. 4. Lender gives the Applicant a copy of the City's First -Time Homebuyer Application and Affidavit. This document serves as the formal application to the City and contains the required certifications below: a. That the residence will be used as the Principal Residence and that the Applicant must notify the City when the home ceases to be the Principal Residence 11 Attachment l3: FTIIB Program Guidelines b. That the Applicant has not had an ownership interest in a Principal Residence during the three year period prior to the date of application c. That this is a new mortgage loan* d. That the loan applied for does not constitute a prohibited mortgage* e. That the Applicant was not forced to apply through a particular Lender f. That the Applicant's gross annual household income does not exceed permitted income limits g. That no interest is being paid to a related person* h. Acknowledgment that any material misstatement or fraud is made under penalty of perjury *New Mortgage Requirements: The Lender and the Applicant sing the Program Affidavits, state that the mortgage being acquired in connection with thesfoan will not be used to acquire or replace an existing mortgage or land contract. *Prohibited Mortgages: Any liens superior to the City First -Time- emebuyer Loan, other than the new first Trust Deed, are not allowed under anytyumstances. *No Interest Paid to Related Persons: No interest' on the mortgage (orertified indebtedness) may be paid to a person who is a "Related Person', any party(ies) who may have a beneficial interest in the sale or financing of the subject property, o e�r'than the qualified Lender. C. CITY APPLICATION PACKET Lender transmits an application packet othe Lending ices Contractor that includes the following City forms and additional documentation as reouirec 1. City First -Time Homebuyer Applicat on and Affid t * 2. Complete copy of L fer' First Moi- g geLoan Application p ut' 3. Income Com at�Qn Worksiiaet and asupporting documentation* 4. Most recent 30-day bank statement 5. Lead -Based Paint Disclosure 6. Copy of Signed 1pt 7. Seller Affl( ll*n" 8. Purchase ont act and illAddendums signed by all parties 9. Appraisal and 1 10. Copy of Title Repo: 11.Th`ree,,years of Federal Incorcre-tax Returns and/or Declaration of No Income Affidavits* fl� for a three-year period 12. Fundin guest and Escrow Information Sheet* 13. Letter of A's.gnmentaf the Funding Lender is different than the Originating Lender: A copy of the NotiTransfer signed at closing or a letter on company letterhead with the name, address, p o e and fax number of the Funding Lender along with the date the assignment is being made will be sufficient) 14. Certificate of Completion for First -Time Homebuyer Education Training Course 15. Signed and executed copy of the Power of Attorney if applicable *City Forms are to be completed as high quality copies of the original documents. Updated forms will be provided to participating lenders as they are revised and may be ordered by phoning (619) 585-5722. Please note that all documents must be submitted in hard -copy form and are not accepted by facsimile. Mail the APPLICATION PACKAGE to: Lending Services Contractor 12 Attachment #3: FTI IB Program Guidelines Once funded LENDING SERVICES CONTRACTOR will deliver the APPLICATION PACKAGE to: City of National City Community Development Department/Housing and Grants Division 1243 National City Blvd. f'lational City, CA 91910 Submission of the above mentioned forms/documents to the City constitutes completion of the APPLICATION PACKAGE. Technically, the originating broker's role is finished and the funding lender is responsible for submitting the final Close of Escrow Package. However, it is advisable for the broker to discuss with the funding lender their role in submitting the closing package, a failure to meet the Commitment expiration deadline can resn additional work and costs to both the broker and funding lender. D. PROPERTY CODE INSPECTION REQUIREMENT, The Lender must request that a City Housing Ins or conduct a prop t1y inspection to ensure the subject property meet State and local hog:tog quality standards ark,,code requirements. The City will notify the Lender, Buyer, and Esei of work p ded to cure'defe.cts, if any, within seven (7) business days of such inspection. Pleat efer`=/ppendix D. All properties built prior to 1978 reduction/abatement and clearance o' and Community Development Act of 1 Assessor (or equivalent per HUD prot present on the subject prow* the City business days of such d n. A C Based Paint Risk Asse copy of any and all the assessment. Red required and must be c wire transfertty:' E. CITY PlROCESSIN 'ent of tl Assessme lion or a 1. LENDI 0,SERVICES Cd a determinat.as to comp the LENDING` SERVICES Commitment des days. 2. The City will main- �°-a cumulative total of loan amounts reserved. When program funds are about to be depleted, the Lending Services Contractor will notify all participating Lenders. 3. Lender will complete the remainder of the standard mortgage application process 4. Package Turn -Around: City staff date -stamp packages and review in order of receipt. Turn around time for reviewing and sending a loan commitment or denial letter to the Lender is six (6) business days from the receipt of a complete package. 5. RUSH: Packages marked "RUSH" or "SUPER RUSH" etc. will not be processed ahead of other pending packages. 6. Incomplete Packages: Incomplete packages may delay the approval and subsequent issuance of the City Commitment Approval Letter. mee properl4. teport(s ement of t HUfq ulations for notification, inspection, sed pairrit 4 zards under Title X of the Housing ity Cod spector and/or City Certified Risk es di' Lead -Based Paint Hazards are Lender and Escrow within three (3) fied RIs"Assessor will be scheduled a Lead - he Risk Assessor will provide all parties with a ithin seven (7) business days of the completing identified Lead -Based Paint Hazards will be e City prior to close of escrow and prior to accepts and reviews the Application package and makes ness and accuracy. After the Application has been approved, TRACTOR will issue a Commitment to the Lender. The ervation number for the Application and is valid for 90 calendar 13 Attachment #3: FTHB Program Guidelines F. LOAN CLOSING 1. LENDING SERVICES CONTRACTOR partially completes the Closing Affidavit. 2. Lender and City forward loan documents to selected escrow officer with instruction for closing the loans. The buyer signs the City loan documents. The escrow officer forwards the copies of the executed Loan Documents back to the LENDING SERVICES CONTRACTOR. 3. Before the expiration of the 90-day commitment and prior to recordation, the Lender and Escrow send the Close of Escrow documents to LENDING SERVICES CONTRACTOR. These documents include: a. Signed copy of City Deed of Trust and Homeowner's Regulatory Agreement for the HOME program participation (Escrow sends original Deed of Trust; and Agreement to County Recorder's Office), original Promissory Note, forgivable Note (if' applicable), Truth in Lending Statement, Escrow Instructions and all amendments and coWof,estimated HUD 1 Statement. b. Closing Affidavit signed by the Applicant(s) at the timea_of the°loan closing. c. All outstanding loan conditions listed on the Commitment` letter and/or Instructions to Escrow. d. City reviews Closing Package and checks the `ileto ensure all necessary documents have been submitted. 4. City loan documents are only good durinc e month that they are drain and any delays may require the preparation of all City final loan pcume0S4ith a corrected -'date. There will be no funding into the month. 5. LENDING SERVICES CONTRACTOI €ill transfer fun fs by wire as instructed on the Funding Request and Escrow Information locatedSheet in thenorms section of this Manual. Any secondary wires that are issued due to-rrorso behalf ofi Lender, Escrow or Title Company will require an additional $35.00 re -wire`` an l e paidby the party at fault. Lenders must adhere to processing period, proripiy noti loan cancellations am request If the Lender assigns personnel, thelr ass requiremerx ull resposf ty and°tire LENDING SERVICES CONTRACTOR ING SERVICES CONTRACTOR in writing of any or commitment extensions: of City loan forms to Escrow or Title Office for training the personnel to comply with the 14 Attachment #3: FTIIB Program Guidelines G. CANCELLATION AND COMMITMENT EXPIRATIONS 1. Cancellations: When a decision is made not to continue with the City application, written notice must be received at the Offices of Lending Services Contractor prior to the expiration of the Commitment. The notice must include the reason for the cancellation and the signatures of both the Lender and the Applicant. 2. Expiration of Commitment: Before the Commitment has expired, the Lender must either: a. Submit the closing package b. Submit written notice of loan cancellation c. Request a 30 day extension in writing Upon expiration of the Commitment, the Lender must do one of t*,following: a. If the loan has not closed, the Lender must submit a request for extension and provide estimate of closing date to LENDING SERVICES CONTRACTOR b. If 120 days has passed since the Commitment wasp sued and no extension was requested, the Lender must submit an entirely new Loan Application with current income verification with a letter of explanation for the elay c. If the loan was canceled, the Lender subm s cancellation node described above In all cases, expiration of the Commitment without the re fired action by the Lender will result in the Lender being placed on "Inactive Status ,=,and t"Lender may submit no new City applications until the issue has been resolved. Fa lure to comply may result in the Lender's removal from the Certified Lender Part e,r List and prom. SECTION III The Lender must immediately noti change that could affect the AF circumstances of the Apspnt s� Commitment:, tto, natica y i 1. Income' e eligibility of anticed taxable`' 1 comae e hors CHANGES PRIOR TO CLOSING Lending Services Contractor issues a loan, r�Commitment based on the Applicant's and Seller's Affidavits and the Lender's certification that the City's Program requirements have been met. the LENDING SERVICES CONTRACTOR in writing of any m Cor income after th which effect anent based or rifled for theCommitment is valid as long as the loan closes within four months ancial information was originally submitted and there have been no changes -eviously reported income. If the loan does not close within three months, all applicable City docume anion must be re -submitted and income must be re -verified. 2. Marital Status"` If th Applicant gets married after issuance of the Commitment and prior to closing, the spousemust satisfy the prior homeownership requirements contained in the First -Time Homebuyer Application and Affidavit and the Closing Affidavit. The Lender must also notify the LENDING SERVICES CONTRACTOR program administrator. Any increase in the household income because of the new spouse must be considered and may affect re - issuance of a new Commitment. 3. Acquisition Cost: If a change in acquisition cost occurs after the Commitment and prior to closing, the Lender will be required to originate and submit a new version of: a. First -Time Homebuyer Loan Application and Affidavit b. Amended Escrow Instructions c. Seller Affidavit d. All other documentation that may be applicable as listed previously in this Manual licant(s) el ibility for the loan. If a change in the sloe no longer meets program requirements, the e oked. the Applicant for a City loan is based on the Applicant's The LENDING SERVICES CONTRACTOR will issue the old income as of the date the Commitment is issued. The 15 Attachment #3: FTHB Program Guidelines 4. Loan Amount: Any changes to the loan amount which occur after the Commitment has been issued and prior to closing must be reported to the City immediately by phone, followed up with a written confirmation along with all applicable documentation listed in this Program Manual. Upon receipt of revised/updated documentation, a revised Commitment may be issued. 16 Attachment #3: FTHB Program Guidelines APPENDIX A INCOME GROSS ANNUAL INCOME Gross annual income is defined as the anticipated annualized gross taxable income of a mortgagor (or mortgagors) and adult members of the household. Annualized income is the sum of monthly gross taxable income multiplied by twelve (2). Gross monthly income includes all taxable sources of income derived from: gross pay, overtime compensation, part- time employment earning, bonuses, dividends, interest, royalties, pensions, Veterans Administration (VA) compensation, net rental income, alimony, ,public assistance payments, sick pay, social security benefits, unemployment compensation,income received from trusts, income received from business activities or investmnts, and aey?other source of taxable income not listed above. Information regarding income must be currerr loan closing. Income not included by the Len Lender's income total on the "Income Computation the City loan program. Income of ti expected to live in the residence beirr calculation. All non-taxable income m Worksheet", but not counted when calcu In summary, income of ai gross income calculatio the residence shoulck spouses, whether or n iortgagor (oy d must at and bra al grei hin the t recent 30-ti y period preceding bu sted above, must be added to the 'Sheet" income eligibility calculation for rtgagors) and any other adult who is e included in the household income ted on the "Income Computation -family income. 1 i`d ors (on p title and'deed of trust) shall be included in the or the praram Arditionally, the income of any adult who will live in included for marries couples, income includes the income of both �n title. For purposes of computingthe b yer's gross monthly income, the monthly income is the "total entitlement" shown on the', plica 's most recent monthly Leave and Earnings Statement and includes all ular pay,s , vial a`° `and allowances. Non -taxed income,such as a housing -f9 P y� allowance is°`it counted as,,come, but must be listed and bracketed. Certain categories of pay, which may receiveonly sporadically, may need to be considered on a case -by -case basis. 17 Attachment fk3: FTHB Program Guidelines APPENDIX B SEQUENCE OF LOAN PROCESS 1. HOMEBUYER • With Lender, determines loan eligibility. • Selects house that is vacant or owner -occupied. • Makes Purchase Offer, which is accepted pending financing. • Applies to Participating Lender for financing. • Lender gives homebuyer a City Loan Information Package. • Completes Homebuyer Education course. 2. LENDER • Starts processing for mortgage loan and City loan. • Verifies eligibility for City loan. Prepares and forwards application package to City. • Processes, underwrites and approves Applicant for Itrst moi e. • Requests that City inspect property for health asafety defer 3. LENDING SERVICES CONTRACTOR STAFF„ND CERTIFIED : LEAD BASED PAINT PROFESSIONALS: • Inspects selected property for health aa iSafety defects, lead -baser aint hazards and notifies lender, buyer and Escrow of work needed to:cure"defects. • LENDING SERVICES CONTRACTOR notifies* er.,Lender and Escrow within 15 days of lead -based hazard determination (if applicable rd provides Buyer, Lender, and Escrow a copy of any/all Risk AssessmentRe ort(s). • LENDING SERVICES CONTRAs Com ent to Lender after approving application package and verifying that the sproperty meets minimum property standards. to (NOTE: The City may choose issue C itment pending receipt of missing documentation and completion of wow two pure progeny of code violations and/or lead - based paint hazar* • Work to cure property defectand/or E d-based paint hazards takes place by Certified Lead -Based Pailn'ta# rofessiona °(if applica . • Re -inspection and` c rancty tees place to ensure Housing Quality Standards and elimination of lei ed pain 4. ESCRO & LE LENDING SERVICES CONTRACTOR • Coor•X -tes signingf all closing documents by Sellers and Borrowers. 5. LET • Seri lose of Escro ackaggnd all outstanding documentation (per the Commitment) to LE G SERVICES, NTRACTOR prior to Commitment expiration. • Funds to hrough Es��w/Title and Escrow/Title Company and sends Deed of Trust and all recorda g. docum tts to the Title Company or County Recorder's Office (close of escrow). 6. LENDING SERV"T ONTRACTOR • Receives and reviews Close of Escrow Package (outstanding documentation, original documents, and certified/executed copies). • Wires City loan funds through Escrow/Title and Escrow/Title Company sends Deed of Trust and all recordable documents to the Title Company or County Recorder's Office (close to escrow) . • Conducts random audit of Lenders records. 7. HOMEBUYER • Receives City loan. • Signs an Annual Affidavit of Owner -Occupancy. 18 Attachment #3: FTHR Program Guidelines APPENDIX C CITY LOAN QUALITY COMMITMENT POLICY The City of National City Community Development Department and the Lending Services Contractor invites the entire mortgage lending community to participate in the First -Time Homebuyer Program. Participation will continue to be open to those mortgage lenders who uphold the following work standards: • Lending company personnel receive training for the program before being assigned to prepare loan packages. This training includes: LENDING SERVICES CONTRACTOR training sessions (if applicable); knowledge of training manual; knowledge of City - provided update letters. • Each lender enrolled in the program designates i LEND lG SERVICES CONTRACTOR Contact Person for each participating branch. The Contacts sponsibilities include: 1) making Lender Update letters (including attachments) avail a to all City loan -related personnel in a timely manner; 2) attend g at least one trainiWsession per year (if applicable); 3) notifying Housing staff of any re -assignment of Contact person and/or changes in company location and or stagy • Expiration of a LENDING SERVICES CONTRA TOR ban Commitment without submission of the required paperwork must be addressee a timely manner by; submitting the documents necessary to makee current, rose the loan, or canceling the pending loan with notification to the Cit • The lender must obtain the LENDING SERVICES CONTRACTOR's Commitment to issue the loan before funding the loan. • Each participating a ensures that gthe closing or funding department of their company is away of their obligations under the city loan program and is prepared to submit all necessary closing=documenta ion in a timely manner. • Buyers are treed fairly, receiving a f 11 and accurate explanation about the city loan. For questions thane lenansw r, the buyer is referred to housing staff. 19 Attachment #3: FTHB Program Guidelines APPENDIX D NATIONAL CITY CODE INSPECTION REQUIREMENT For purposes of the program, the City must use the HOME Investment Partnership (HOME) Program Requirements. HOME Program regulation 24 CFR 92.251(a)(2) states that housing must "meet all applicable State and local housing quality standards and code requirements and, if there are no such standards or code requirements, the housing must meet the housing quality standards in 24 CFR 982.401." The Acceptability Criteria listed with each section below sets theA ninimum standards that must be met in all residential units. The Interpretation of Accept l ty Criteria listed after those criteria are the standards that HUD feels should also be met Efa e property is to have long-term utility and contribute to the livability of the unit. ACCEPTABLE CRITERIA AND INTERPRETATIONS A. SITE AND NEIGHBORHOOD - The site an j neighborhood shall be seasonably free from disturbing noises and reverberations and oo ei hazards to the health safety and general welfare of the occupants. ACCEPTABILITY CRITERIA - The site aril neighborhood 'hall not be subject to serious adverse environmental conditions, natural or c de such as, 1. Dangerous walks, steps or instabili 2. Flooding, poor drainage, septic tank er hazards or mudslides; 3. Abnormal air pollution, smoke or dust 4. Excessive noise, vibrationsvehicular 5. Excessive accumulats'of tr 6. Vermin or rodent inf station; 7. Fire hazards; Generally, approval of a *area under ka v; G Section 8, HOME and/or HOPE III will be sufficient to meet F e crate INTERPRETATION OF ACCEPTABILITY CRITERIA 1. All step and walks should bel, free from dangerous cracks, crumbling or breaks, tripping hazards, broken &missing 'materials, etc., and be provided with sufficient pitch to prevent wateiumulation. 2. The lot shoo d have p we drainage away from the dwelling and/or dwelling unit to prevent standing w rat 1 foundation. 3. No additions. 4. No additions. 5. Any materials, which accumulate on a property in the neighborhood, should be removed or screened and arranged in a manner that does not detract from the general appearance of the neighborhood. 6. No additions - see #5 above - removal of trash, garbage, debris, etc., will significantly reduce infestation problems. 7. The site should be free from fire hazards, such as the storage of highly flammable materials, etc. 20 Attachment #3: FTHB Program Guidelines B. ACCESS - The dwelling/dwelling unit shall have adequate access for the occupants. ACCEPTABILITY CRITERIA - 1. The dwelling/dwelling unit shall be usable and capable of being maintained without unauthorized use of other private properties. 2. The building shall provide an alternative means of egress in case of fire, i.e., fire stairs, egress through windows, etc. INTERPRETATION OF ACCEPTABILITY CRITERIA 1. The property should be adjacent to an access street or road. 2. No additions. C. STRUCTURE AND MATERIALS - The dwelling/dwelling uni pose any threat to the health and safety of the occupants, from the environment. ACCEPTABILITY CRITERIA 1. Ceilings, walls (interior and exterior), floors, r.� s porches, etc , sh not have any serious defects such as severe bulging or leaning, largeholes, loose surface materials, severe buckling or noticeable movement under walking stress, missing parts r other seriot damage. 2. The roof structure shall be firm and the roof shall be w tither tight. 3. The exterior wall structure and the exterior a i nor wall surfaces shall not have any serid ous defects such as serious lea 'g buckling, saing, cracks or holes, loose materials, loose siding or other serious damage. 4. The conditions and equipment of interiorexterior irways, halls, porches, walkways, etc., shall be such as not to present a danger offr and<alling. 5. Elevators shall be maintaied in a safe�oper �g co on. m 6. In the case of a mobile fom,the hoes s l be securely anchored by a tie -down device, which distributes and transfers loads impose iy the unit to appropriate ground anchors so as to resist wind, overturning and slid' g. II be structurally so as not to so as to protect the occupants INTERPRETATION OF AC 1. Where cr wl- sp es ors floor joists;Ts a otherwise`damaged conditio required=." The extern , nterior walls winter (coo rg loss in the s' installations of ng to pr should be repaire „yplacee< 2. The roof structure:' ents exr � first -floor structural wood members, including n' pilings should be inspected for cracked, broken, rotten or nsDamaged members should be repaired and/or replaced as uld be *reather-tight in a manner that prevents heat loss in the mer) as much as possible. This includes the repainting and/or t the exterior surface from the elements. The interior walls required to facilitate this criterion. d be firm in that all roof -framing members should be free from TM TR"^ cracks and rot. The r of'sheathing should be solid and free from sagging, buckling, heaving, etc. If the roof appears to be well worn, it should be replaced. If possible, the best replacement will include stripping all the way down to the sheathing and replacing. If costs dictate, a second layer of roofing can be installed over the first layer. If there are already two or more layers of roofing materials, the roof should be stripped down to the sheathing, and if necessary, replace the sheathing and then install the new roof covering. 3. Concrete block or brick foundations, piers and pilings, should be inspected for loose mortar joints. All empty or cracked mortar joints should be tuck -pointed in an acceptable manner to match, as closely as possible, the rest of the structure. The joints should be recessed. 21 Attachment #3: FTHB Program Guidelines The chimney should be inspected for loose mortar joints and proper height. All empty or cracked mortar joints should be tuck -pointed in an acceptable manner to match, as closely as possible, the rest of the chimney. The joints should be recessed. 4. All exterior steps, walkways and porches should be free of tripping hazards. Crumbling, cracked, broken, missing and/or uneven conditions should be repaired and/or replaced as necessary. The condition of all interior stairways should be such as not to present a danger of tripping or falling, see above. Handrails should be properly installed on all stairways. 5. No additions. 6. No additions. 7.- The property should be inspected by a qualified extermination firm, and if necessary treated for vermin, rodents, termites and other wood -burrowing insect 8. All outbuildings such as garages, storage sheds, etc; should be repaired to a usable condition or removed from the property. 9. The general appearance of the outside of the structure and he lot, after rehabilitation, should be such that it makes a significant contion to the t .eral appearance of the neighborhood. 10. Installation of gutters and down spouts is,; away from foundations. o"ngly recommended it `order to divert water D. LEAD -BASED PAINT - The dwelling unit shall'compliance with the HUD Lead -Based Paint regulations. ACCEPTABILITY CRITERIA 1. The dwelling/dwelling unit shall conl. Part 35, issued pursuant to ad -Base' 2. The owner shall prove t t ficatioi regulations. 3. If the property vyaconstructe a notice and pamph 4 s requira inform them of the p symptoms and trefatment" poisoning INTERPRETATION OF AC 1. Comp a' •e with the Lea; • Notifica prior to '1? information" • All contracts • The inspection fi ad poiso ed Paint regulations at 24 CFR Prevention Act, 42 USC 4801. e duvet 3ng is in compliance with such HUD rior to 1 , any in -place tenant/family shall be furnished by the L,a;Based Paint regulations. Such notice shall thttiazards of lead -based paint poisoning, the a and the precautions to be taken against lead CRITERIA int regulations requires the following to all occui3 is that the property may contain lead -based and th�azards, symptoms and treatment of such esting:fa elevated blood levels (EBL) for children. e language prohibiting the use of lead -based p ,F elimination of "immediate hazards", which are peeling, flaking, cracking or other defects in previously painted surfaces. 2. No additions. 3. No additions E. WATER SUPPLY actions: paint, if constructed poisoning, including a i nt. defined as chipping, ACCEPTABILITY CRITERIA 1. The dwelling/dwelling unit shall be served by an approved public or private sanitary water supply. 22 Attachment #3: FTIIB Program Guidelines areas. 3. At leas. operable INTERPRETATION OF ACCEPTABILITY CRITERIA 1. The dwelling unit should have a water heater of sufficient capacity to serve present and anticipated future residents. Further, they should not be allowed in bathrooms, bedrooms, sleeping rooms or closets. 2. Hot and cold water should be supplied to all kitchens, baths and laundry facilities. 3. All water lines should be protected from freezing. F. INTERIOR AIR QUALITY - The dwelling/dwelling unit should be free of pollutants in the air at levels that threaten the health of the occupants. ACCEPTABILITY CRITERIA 1. The dwelling/dwelling unit shall be free from dangerous le v# of air pollution from carbon monoxide, sewer gas, fuel gas, dust and other harmful air poll ants. 2. Air circulation shall be adequate throughout the dwelling sn tilling unit. 3. Bathroom areas shall have at least one operable'u ndow or other adequate exhaust ventilation. INTERPRETATION OF ACCEPTABILITY CRITERIA 1. All gas or oil fired appliances should had dwelling/dwelling unit for combustion gases. 2. All windows designed to open should be cap% proper window hardware to make them operable', and maintained. 3. Kitchen areas should also have prr -a ventilation. G. ILLUMINATION AND ELECTRICITY illumination to permit normal indoor a occupants. Sufficient electI. ources appliances while assuring m fire. ACCEPTABILITY CRITERIA 1. Living and sleepingo ms shallelude at I c3'st one window. 2. A ceiling or wall type t e ll b resent and working in the bathroom and kitchen re`lectric outl s zone of which may be an overhead light, shall be present and e living a'' , kitc nd each bedroom area. proper venting ° the outside of the le of being easily openec provided with the d p,(Orded with screens properly installed ye adequate natural or artificial rt the health and safety of the o permit use of essential electrical INTERPR" . ON OF ACCE 1. No add 1. A ceiling o and hallways. 2. All outlets insta 3. Each unit should RITERIA in a workman -like manner erated by a wall switch should be present in the kitchen, bath suit of the rehabilitation work should be of the grounded type. rovided with a least 100 amp service and a sufficient number of circuits to service present and anticipated future use of the: • There should be separate circuits for any air conditioners (including window type), furnaces, electric dryers, electric stoves, microwaves and any other special appliances. • There should be two separate 20-amp circuits (minimum) for the heavy workload area in the kitchen, and all kitchens should be wired to the National Electric Code (NEC), based on the size and layout of each individual kitchen. • With the exception of kitchens (see b. above), all other rooms should be assessed relative to their use of electricity and additional outlets and/or switches installed based on usage and safety factors. • Electrical outlets in the bathrooms and kitchens should have an overload switch. 4. Connection at the main service to the unit should be in an acceptable manner. 23 Attachment #3: FTHB Program Guidelines • Placement of the connection should be out of the reach of children, • Proper anchoring should be used. 6 All defective exposed "knob & tube" wiring should be removed. It is recommended that any additional exposed "knob & tube" also be removed and replaced in conduit to prevent splicing and/or unsafe usage. 7. All hazardous conditions such as broken switches/outlets, missing covers, bare wiring, fixtures not properly installed/anchored should be repaired/replaced in an acceptable manner. It is recommended that all "pendant" type fixtures be replaced with an appropriate ceiling/wall fixture. 8. Although though a room may meet acceptability criteria #3 above, if the inspection reveals the use of octopus plugs, adapters, extension/zip cords and/or other unsafe practices, additional outlets should be tilled. H. THERMAL ENVIRONMENT - The dwelling/dwelling thall have and be capable of maintaining a thermal environment healthy for the humai ACCEPTABILITY CRITERIA 1. The dwelling/dwelling unit shall contain safe eating and coolies cilities, which are in proper operating condition and can provide adequate heat and/or coolies to each room in the dwelling/dwelling unit appropriate for the climate,to insure*:healthy healthy living elvironment. 2. Unvented room heaters that burn gas, oil orCrosenea unacceptable. 0 INTERPRETATION OF ACCEPTABILITY CRITERIA 1. All parts of the venting system for 1 eating/wing units should be in proper working condition. For example: • Vent pipes should be free of rust and(' I prope'inta d . • Where vent pipes are connected to a ason chi ey,that chimney should be properly maintained so that all mortar joints are tight sealed. 2. No additions. ratingof -30 with acceptable insulation material. Where 3. The attic should #�€ +nsulated too F�, p st=a cellulose is used, it should be to for fire pr Aection. Cellulose bags should be labeled with acceptable ratings derive o tees. x 4. Weather spshoe applied as'needed around all doors. and windows. 5. Storm windows an doors 'should be installed whenever possible. 6. Any wife walls thatre on exterior wall, if opened down to the studs during the course of the rehabilitation%, shout be fullyinsulated with an acceptable insulation material. 7. All join. in the buildi• n�envelo` should be caulked/sealed. All brittle or loose caulking should be re aced. 8. Supply and turn heati lair -conditioning ducts should be insulated whenever they run through unheate areas/s 9. It is strongly re" tnt �ed that whenever space heaters and/or floor furnaces are used, they be replaced with roperly installed more efficient central heating/cooling system. I. SANITARY FACILITIES - The dwelling/dwelling unit shall include its own sanitary facilities, which are in proper operating condition, can be used in privacy, and are adequate or personal cleanliness and the disposal of human waste. ACCEPTABILITY CRITERIA 1. A flush toilet in a separate, private room; a fixed basin with hot and cold running water; and a bathtub and/or shower with hot and cold running water, shall be present in the dwelling/dwelling unit, and shall be fully operational. 2. These facilities shall utilize an approved public or private disposal system. 24 Attachment #3: FTHB Program Guidelines INTERPRETATION OF ACCEPTABILITY CRITERIA 1. The toilet, basin, and tub or shower should all be located in the same room, if at all possible. 2. Where a public sewage system is not used, documentation in the file should show where the appropriate health agency has approved the disposal system. J. SPACE AND SECURITY — The dwelling/dwelling unit shall afford the family adequate space and security. ACCEPTABILITY CRITERIA 1. A living room, kitchen area, and bathroom shall all be present. 2. The dwelling/dwelling unit shall contain at least one sleeping or living/sleeping room of appropriate size for each two persons. 1. Exterior doors and windows accessible from outside thek.€ 'tshall be lockable. 2. Each dwelling/dwelling unit should have smoke detector sere bedrooms are located on more than one floor of a structure, smoke detectors should benstailed on each floor. It is recommended that all smoke detectors be U.L. approved and be lid -wired. U.L. approved battery type or a combination electric/battery type may also be used. INTERPRETATION OF ACCEPTABILITY CRITER 1. No additions K. FOOD PREPARATION AND REFUW suitable space and equipment to stoi' shall be adequate facilities and servi including facilities for temporary storage ACCEPTABLE CRITER 1. The unit shall cone range, 2) refrigerat tenant/family, and 3)" 2. The sink shall drain 3. Adequate ` et, r 4. There sib 6et a refuse, inJling faciliti INTERPREON OF ACCE 1. No additiotts, made witho 2. Food storm pace sho preparation space ould b, 3. No additions. ISPOSAL ` Tlae dwelling/dwelling unit shall contain re and see,foods in a sanitary manner. There sanitar ? posal of food waste and refuse, ent in operating condition: 1) cooking stove or he unit supplied by either the owner or the Id running water. ',private system. e, prepare and serving of food shall be provided. ties and services for the sanitary disposal of food waste and rary storage where necessary (i.e. garbage cans). �yXR BILITkRITERIA ity permits and not performed in a workman -like manner. be in the form of cabinets and/or pantry type storage. Food the form of counters or other horizontal workspace. L. SANITARY CONDITION - The unit and its equipment shall be in sanitary condition. ACCEPTABILITY CRITERIA 1. The unit and its equipment shall be free of vermin and rodent infestation. INTERPRETATION OF ACCEPTABILITY CRITERIA 1. No additions not made without City permits 25 Attachment #3: FTHB Program Guidelines APPENDIX E SHARED EQUITY EXAMPLE NOTE: The following example assumes an initial (a) Gross Sales Price of $150,000 (b), Net Sales Price of $135,000 ($150,000 minus 10% seller fees), (c) 1st mortgage balance of $100,000 and City 2nd of $25,000 (d), Total Equity of $10,000 (b-c), and a City loan of $25,000.00 at a 0% interest rate, with an APR of 0%. The table is for the purpose of illustration only. Actual sales price and net sales price will vary. The principal amount of the loan remains due. # Months After Date Of Agreement Gross Sales Price (a) Net Sales Price (b) (a-10% fee) Mortgage Balances ( c ):d (1st $100k38 2nd $25,K) Total Equity ) ( b-c ) Buyer's Equity Share Incr es 5% Per year City of Chula Vista's Equity Decreases 5% per year 0-12 $150,000 $135,000 $125,0d0i, $10,000,, $5,000 (50%) $5,000 (50%) 13-24 $155,000 $139,500 $125,000-, $14,,500 $7,975 (55%) '` $6,525 (45%) 25-36 $155,000 $139,500 $125,000 e $1 ,00 $8,700 (60%) $5,800 (40%) 37-48 $160,000 $140,000 $125,000 $1 ,0-00 $9,750 (65%) $5,250 (35%) 49-60 $160,000 $140,000 25,000 000 $10,500 (70%) $4,500 (30%) 61-72 $165,000 $148,500 2 000 $2 0 $17,625 (75%) $5,875 (25%) 73-84 $165,000 $148,500 125,000 $23,500 $18,800 (80%) $4,700 (20%) 85-96 $170,000 $153,000 025,000�w $28,000, 23,800 (85%) $4,200 (25%) 97-108 $170,000 $1 ,000 $ ,000 08,,000 $25,200 (90%) $2,800 (10%) 109-120 $175,000 $1 $300 $30,875 (95%) $1,625 (5%) Thereafter $175,000 .57,500 i� $125,000 $32,500 $32,500 (100%) $0 (0%) In this example, the fi ance char could vary,tetween $1,625 and $6,525. Your amount will differ, depending upon gi se alprice, the amount of equity, and the number of months after the date oagreement that t he sales occurs. If the Propldrtr` erty is so , Borrower` shall receive fi receive fifr;percent (50°/ constitutes the difference bel amounts: e firlyyear of the term of the Note secured by this Deed of Trust, ercetti4,(50%) of the Equity in the Property and the City shall f the Equity. "Equity" is defined as the dollar amount that een the sales price of the Property and the sum of the following 1. Principal on the'FIst„le'and the Deed Trust; and 2. Principal on this Se id Note and Deed of Trust to the City of Chula Vista; and 3. All costs of sales, including cost of brokers' commissions, escrow fees, title costs and fees, recording cost, etc.; and 4. Current year taxes, including all real estate taxes calculated to the date of sale; and 5. Borrower's down payment not including the loan from the City to Borrower; and 6. All principal paid down on the First Note and Deed of Trust; and 7. Costs of any improvements to the Property provided such improvements were approved by the City prior to construction and provided that such improvements have been documented to the satisfaction of the City. The amount of the Borrower's share in the equity of the Property shall increase by five percent (5%) per year, measured on the anniversary date of this Deed of Trust. Correspondingly, the 26 Attachment #3: FTHB Program Guidelines City's share in the equity of the Property shall decrease by five percent (5%) per annum. For the sake of example, if the Property is sold more than (5) but less than six (6) years after the date of this Deed of Trust, the City would have a twenty-five percent (25%) share in the Equity and the Borrower would have a seventy five percent (75%) share in the Equity of the Property. In the event that no Equity exists at the time of transfer or sale, the HOME funds (item lb above) will still be due and payable. In the event that a negative Equity situation exists, and the full amount of the HOME funds are not available to be recaptured, the amount of HOME funds required to be repaid to the City will be as set forth in 24 CFR 92.254(a)(ii)(A)(3). The formulas are as follows: HOME investment X Net proceeds = HOME amo-to be recaptured HOME investment + homeowner investment Homeowner investment X Net proceeds = Amount't#meowner HOME investment + homeowner investment "HOME investment" is defined as funds received p Program. "Homeowner investment" is defined improvements made by the owner since purch nt to the hrd amount of Investment Partnership payment and capital 27 City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE September 15, 2009 AGENDA ITEM NO. 27 ITEM TITLE Boards & Commissions Staff Report, Recommendations and City Council Action PREPARED BY EXPLANATION Michael R. Dalla DEPARTMENT City Clerk The City Council requested that a review and formal report be made regarding City Boards & Commissions relative to administration, need, improved efficiency and possible re -organization and consolidation. That report is attached. Environmental Review X N/A Financial Statement None. STAFF RECOMMENDATION Review the report and take any actions deemed appropriate. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Staff Report A-200 (9/99) OFFICE OF THE CITY CLERK 1243 National City Blvd. National City, CA 91950 619-336-4228 phone • 619-336-4229 fax September 10, 2009 TO: Mayor and City Council FROM: City Clerk SUBJECT: Boards & Commissions Staff Report, Recommendations and City Council Action INTRODUCTION National City has been fortunate over the years to have a large group of citizen volunteers who serve on our Boards and Commissions and advise and make recommendations to the City Council. As of January 2009, the City had eleven such Boards and Commissions (here -after referred to as "Boards") made up of 69 residents and volunteers. Boards & Commissions as of January 2009 Board / Commission / Committee Members Civil Service Commission 5 Community & Police Relations 9 Park & Recreation Advisory Board 5 Public Art Committee 7 Senior Citizens Advisory Board 5 Street Tree Committee 5 Traffic Safety Committee 5 Housing & Community Development 9 Library Board of Trustees 5 Planning Commission 7 Building Advisory & Appeals Board. 7 69 The system of citizen -based advisory Boards has remained relatively unchanged for many years. New Boards have been added over time; however a review of the continuing need for existing Boards has seldom occurred. In February of 2009, the City Clerk's office requested that the City Attorney initiate a review of the statutory need, purpose and make-up of the seven -member Building 'Advisory and Appeals Board (BAAB) and the nine -member Housing & Community Development Committee (HCDC). Following that review, the City Council took action to assume the responsibilities of the BAAB and to transfer the responsibilities of the HCDC to the Planning Commission. The City Council also requested that a review and formal report be made regarding the remaining Boards relative to administration, need, improved efficiency and possible re- organization and consolidation. REPORT For purposes of this report and review, the Planning Commission, Civil Service Commission and Library Board of Trustees, by virtue of their statutory standing or status, were considered exempt from consideration for consolidation or modification. A synopsis of the remaining six Boards appears below including date established, membership, length of terms, term expiration date, meeting frequency, staffing department, mission / purpose, status, relevant issues and current membership status. SYNOPSIS OF INDIVIDUAL BOARDS COMMUNITY AND POLICE RELATIONS COMMISSION (CPRC) (Established 2003) Members: 9 (7 voting / 5 residents and 2 non-residents) Length of Term: 2 years Terms expire: February 28th Meets: 4 times per year Staffing Provided by: Community Services Mission / Purpose: "To provide a forum for citizens to voice their concerns about police conduct, practices and policies; to examine police practices and policies as they pertain to conduct issues; and to identify opportunities to ameliorate adversity between the National City Police Department and citizen complaints." Status: The CPRC is active and functioning. Recent agendas have been brief and actionable agenda items limited. Meeting frequency has been changed to quarterly. Relevant Issues: It has been suggested that CPRC membership be reduced from nine members to six (five voting). That could be accomplished by eliminating the Human Rights position that has never been filled and eliminating one non-resident and one resident position. Membership Status: There is currently one resident vacancy on the Commission that expires in February 2010. The non -voting Human Rights positon remains vacant. Of the serving members; one term expired in 2007, three terms expire in February 2010 and two in February of 2011. PARK AND RECREATION ADVISORY BOARD (PRAB) (Established 1960) Members: 5 Length of Term: 3 years Terms Expire: March 31st Meets: Monthly Staffing Provided by: Community Services Mission / Purpose: "To advise the City Council upon matters of policy and matters of administration of the parks owned and operated by the City of National City and the recreation activities conducted in said parks". Status: The Board is active and functioning. Actionable agenda items are limited. A majority of their meetings are devoted to hearing reports and presentations from Community Services Department Staff and staff from other departments on the various recreation activities within their individual purview. Relevant Issues: 1) The stated Mission of PRAB should be updated to reflect the fact that City recreation activities take place in other locations in addition to parks. Membership Status: The Board is at full strength. There is one expired term. Three terms expire in March 2010 and one term expires in 2011. PUBLIC ART COMMITTEE (Established 2004) Members: 7 Length of Term: 2 years Terms Expire: July 20th Meetings are held: Monthly Staffing Provided by: Community Services Mission / Purpose: No mission or purpose was stated in the Resolution that created the Art Committee. The unwritten purpose of the Committee is understood to be: To consider and advise the City Council on matters relating to Public Art. Status: The Public Art Committee has met sporadically over the last couple of years due to the lack of agenda items or lack of a quorum. The current economic climate has eliminated any public art projects warranting the committees review or recommendation to the City Council. Relevant Issues If the Public Art Committee continues under existing conditions, that is to say, without meaningful business items coming before it, then its continuing viability as a committee could be in jeopardy. Committee members will be less inclined to make a time commitment to attend meetings where little or nothing of substance requires their attention. The City Council should consider the advisability of maintaining the status quo with its commensurate use of increasingly limited staff time and resources or deactivating the Public Art Committee until such time as public art and related issues warrant its reactivation. Another alternative is to look at ways to reconstitute the committee in a less formal way, perhaps as a Mayors Advisory Committee on Public Art. Membership Status: The Committee is at full strength. All terms expire on June 20, 2010. SENIOR CITIZENS ADVISORY BOARD (Established 1973) Members: 5 Length of Term: 2 years Terms Expire: August 31 st Meets: Every two months Staff Provided by: Community Services Mission / Purpose: "To serve in an advisory capacity in all matters pertaining to the senior citizens in the City of National City and shall report its findings to the City Council of said City." Status: The Senior Citizens Advisory Board has met sporadically over the last 12 to 24 months due to a vacancy and lack of a quorum. Actionable agenda items are limited. A majority of the meetings are devoted to reports from Community Services Staff on the various activities within the purview of Community Services. Relevant Issues: The Senior Citizens Advisory Board could continue as currently constituted. Having a Board made up of senior citizens and devoted solely to senior citizens issues is certainly appropriate, especially as their numbers continue to expand with the influx of baby boomers, If, however, consolidating existing boards is an option that the City Council would like to consider, the Senior Citizens Advisory Board and the Park and Recreation Advisory Board warrant further consideration. The agenda for both Boards usually include numerous staff reports and presentations dealing with the same topics. A combined Board (The Park, Recreation and Senior Citizens Advisory Board) would promote efficiency and better utilization of limited staff and could be structured so that all existing members on both Boards could continue to serve. With normal attrition, such a combined board, if successful, could evolve into a five or seven member board. Another variation could be for both Boards to meet jointly. Either variation could be implemented on a trial basis. Membership Status: The Board was brought up to full strength in May. There are two expired terms, two terms expire in August 2010 and one term expires in 2011. STREET TREE AND PARKWAY COMMITTEE (Established 1971) Members: 5 Length of Term: 4 years Term Ends: April 30th Meets: Monthly Staff Provided by: Public Works Mission / Purpose: "To review and pass upon all questions of the removal and/or relocation of trees on public property within the City of National City." Status: The Committee is inactive due to lack of actionable items. The last time the Committee met was August 2008. Relevant Issues: The need for a Street Tree Committee has diminished over the years as trees, parkways and neighborhoods have developed and matured. In view of the lack of agenda items and the resulting inactivity of the Street Tree Committee, it is a clear candidate for deactivation. The Planning Commission would be a logical choice to address any street tree issues in the future. In the event the Street Tree Committee is deactivated, its members should be given an opportunity and first consideration for appointment to other vacant positions. Membership Status: The Committee is at full strength. Two terms expire April 30, 2010, one expires in 2011 and two expire in 2012. TRAFFIC SAFETY COMMITTEE (Established 1952) Members: 5 Length of Term: 2 years Term Ends: December 31st Meets: Monthly Staff Provided by: Engineering Dept Mission / Purpose / Duties: "The Traffic Safety Committee shall study and report on all matters referred to it by appropriate public agencies or private citizens concerning traffic safety in National City. The Committee shall conduct such investigations and make such reports as it is directed so to do by the National City Council." Status: The Traffic Safety Committee is active and functioning. It receives citizen input, hears staff reports and makes decisions and recommendations to the City Council. Relevant Issues: Currently city staff makes extensive presentations to the Traffic Safety Committee for consideration and recommendation to the City Council. Then the staff provides the same reports to the City Council for consideration and final action. In thespirit of improving efficiency, conserving limited staff resources and relieving the City Council from decisions on such items as red curb, handicapped parking and U-turn signs, it has been suggested that consideration be given to delegating such traffic safety issues entirely to the Traffic Safety Committee. If the City Attorney determines that such a delegation of responsibilities to the Traffic Safety Committee by the City Council is feasible under the law, such a step would expedite the processing of traffic issues, eliminate some of the duplication that presently occurs and help streamline the City Council agenda. A process could be set up so that all decisions of the Committee would be final unless appealed to the City Council. Membership Status: The Committee is at full strength. Two terms expire on December 31, 2009 and three expire in 2010. BOARDS & COMMISSION HOUSEKEEPING ISSUES With experience gained as the Office that deals directly with Board & Commission Administration and the appointment process and in the course of during this review, a number of issues and recommendations have been identified for your consideration. Alternate Members The ability to raise a quorum has been a recurring problem for some Boards. In an effort to address that problem, it is recommended that the City Council appoint Alternate Members to selected Boards. Alternate members would participate at a meeting only in the event of the absence of a regular member. In the event of an unexpected vacancy on a Board, the alternate member would automatically be eligible for appointed to fill the unexpired term provided they are in good standing (have a good attendance record). The City Council could then act to appoint a new alternate with little or no interruption to the functioning of the. Board that lost a member. Appointing alternate members should reduce the number of occasions when a meeting can't be held due to the lack of a quorum. 5 Standardize Expiration Dates At the present time, Board member terms expire in February, March, April, June, July, August, September and December. That situation creates numerous problems in administering the program. It is recommended that term expiration months be standardized so that all terms expire during the same two months every year. For example; March and September. That would make it easier and more efficient to administer the program because advertising and interviews could be scheduled on a twice -a -year basis. It would also make it possible for existing Board members to apply and be considered for appointment to a different board. Standardize Length of Terms Presently terms are for two, three and four year timeframes. For some of the same reasons identified in the preceding item, it is recommended that two-year terms be eliminated and term lengths be standardized to three and four years. Attendance Records Attendance is important to the smooth operation of our Boards & Commission system. It is recommended that each Department that staffs a Board maintain and submit an annual attendance log to the City Clerk for inclusion on the City Council agenda. Departments should also be responsible for reporting excessive or unexcused absences when they occur. It is further recommended that uniform attendance policies and guidelines be established and implemented. Annual Reports All Boards act in an advisory capacity to the City Council. Some Boards advise or make recommendations to the City Council on an on -going basis (Planning Commission, Traffic Safety), others advise less frequently if at all. It is recommended that the Chairman of each Board personally appear before the City Council on an annual basis to make a brief report on the past activities and accomplishments of their respective Board. Such reports will serve to foster a stronger connection and understanding between the Boards and City Council and more completely fulfill their advisory role to the City Council. By -Laws Many Boards do not have any. sort of formal by-laws in place for election of Chair and Vice Chair, rotation of positions, attendance, reporting of absences, etc. It is recommended that a standardized by-law template be prepared for adoption by those Boards that do not have by-laws in place. Boards and Commissions Resolution it is recommended that all actions, if any, taken as a result of this report by the City Council regarding Boards & Commissions be memorialized in a single Omnibus Resolution. City Council Policy Manual The City Council policy on Boards and Commissions (Policy # 107) was last updated in 1989. It is recommended that the Policy be updated to reflect current and new policies and practices adopted by the City Council. Recognition Board members volunteer to donate their time and talent without compensation (except for the Planning Commission) in order to help make a better community. To demonstrate awareness and appreciation for their service, it is recommended that the City Council consider and develop an appropriate form of recognition for all Board members. SUMMARY OF POSSIBLE ACTIONS AND RECOMMENDATONS COMMUNITY AND POLICE RELATIONS COMMISSION (CPRC) Make no Changes Eliminate the non -voting Human Rights position Reduce the Commission to 5 voting members RECOMMENDED PARK AND RECREATION ADVISORY BOARD (PRAB) Make no Changes Update the Mission statement to include all recreation sites RECOMMENDED Combine the PRAB with the Senior Citizens Advisory Board RECOMMENDED PUBLIC ART COMMITTEE Make no Changes Clarify the Purpose / Mission of the Committee RECOMMENDED Reduce the Committee to five members in June 2010 RECOMMENDED Change meeting frequency to quarterly RECOMMENDED Deactivate the Public Art Committee as currently constituted RECOMMENDED SENIOR CITIZENS ADVISORY BOARD Make no Changes Combine Seniors Citizens Advisory Board with PRAB on a trial basis RECOMMENDED STREET TREE AND PARKWAY COMMITTEE Make no Changes Deactivate the Street Tree Committee and transfer duties to Planning RECOMMENDED TRAFFIC SAFETY COMMITTEE Make no Changes Delegate City Council Traffic Safety Issues to Traffic Safety Committee RECOMMENDED BOARD & COMMISSION HOUSEKEEPING ISSUES Appoint alternate members to selected Boards Establish March 31 and Sept 30 as term expiration dates Establish term lengths to be three or four years Require that an annual attendance report be made to Council Establish uniform attendance policies & guidelines Require an annual update to Council by Board Chairpersons Prepare standardized by-laws for implementation where needed Appoint Council committee to develop Board recognition program Update City Council Policy #107 Adopt an Omnibus Resolution reflecting City Council actions regarding Boards & Commissions RECOMMENDED RECOMMENDED RECOMMENDED RECOMMENDED RECOMMENDED RECOMMENDED RECOMMENDED RECOMMENDED RECOMMENDED RECOMMENDED ITEM #28 9/15/09 Financial Update - Finance - Proposition 1A ERAF Shift Fiscal Condition ITEM #29 9/15/09 City Manager's Response to Correspondence from Towing Companies - City Manager - CALIFORNIA+- no a ll INCORPORATED September 8, 2009 Dear Messrs. Ramsey, Mercado, and Mr. Giusti: Thank you for your letter regarding the 2006 National City towing contract. Although your letter is dated August 26, 2009, neither 1 nor the City Council have received the original letter (possibly as a result of the letter having an incorrect zip code). After receiving a copy from the San Diego Union Tribune on September 8, 2009, I personally called each of your offices to inform you 1 would be responding. Please note there is also an incorrect phone number for Mr. Giusti. Vice -Mayor Alejandra Sotelo-Solis requested information related to the current towing contracts with JC Towing and Moynahan's Towing at the regular City Council Meeting of August 18`h. This was provided by City staff to the City Council at the September 1s` meeting, pursuant to a written report prepared by myself and the Police Department. Both the meeting and the agenda can be viewed on the City's website. Also, on August 18`h, Vice -Mayor Sotelo-Solis requested a review of National City's conflict of interest policy. This information was also provided at the September 1st Council meeting in a report prepared by the City Attorney. When these two requests were discussed at the regular September Is` City Council meeting, the City Council unanimously directed the City Attorney and City staff to respond as follows: • Towing Contract — provide a comprehensive performance assessment of JC Towing and Moynahan's Towing by March of 2010. • Conflict of Interest Policy — provide an expanded reporting policy to include the Executive Assistant III and IV positions reporting to the Mayor, City Attorney, and City Manager's offices at the September 15th City Council meeting. Office of the City Manager 1243 National City Boulevard, National City, CA 91950-4301 619/336-4240 Fax 619/336-4327 www.nationalcityca.gov Email cmo@nationalcityca.gov The concerns expressed in your letter cover three points: 1) Conduct an impartial review of Ms. Josie Clark's involvement; 2) Investigate the propriety of Ms. Clark's alleged intervention; and, 3) provide a performance audit of the towing vendors. The City Manager and City Attorney's Offices have responded to the question of Ms. Clark's involvement. A detailed timeline of activities related to the towing contract was provided to the City Council and public at the September 15t meeting. The City Manager's office will conduct a 12 month performance and contract audit of the two companies which is due March of 2010. Your statement that Ms. Clark's actions "cast a dark shadow" over the 2006 RFP process is extremely puzzling. The tow contract RFP process began in November of 2005. As you know, the City Council awarded the contract to JC Towing and Moynahan's Towing on a 4 to 1 vote March 21, 2006. During this process, Rod One filed a legal challenge which was resolved in favor of National City by the San Diego Superior Court in July of 2006. Since Ms. Clark was not hired by National City until July 7, 2007, your statement is without foundation. Moreover, RoadOne's legal challenge in 2006 certainly provided the opportunity to raise any and all issues deemed appropriate. RoadOne first sought an order preventing the Council from awarding the tow contracts. RoadOne lost. RoadOne then pursued its writ challenging the selection process. RoadOne lost that challenge, too. While RoadOne raised three primary issues: 1) bias by the evaluator; 2) lack of appropriate consideration of RoadOne's proposed referral fee; and, 3) the City failing to comply with the RFP requirements; the court denied RoadOne any relief. In summary, the court denied RoadOne's challenge in its entirety and entered judgment in the City's favor. In particular, the court noted "the record supports the City's decision ranking RoadOne third out of all bidders" as well as the decision to not award the contract to RoadOne. As an example, the court cited "Sgt. Bishop's observations regarding RoadOne's history of delays in responding to tow calls." There is no dispute that the process to select the towing companies has met procedural and legal requirements. In the interest of transparency and public accountability, information has been provided expediently to the City Council and public. It is attached for your review and records. And, as indicated above, the Council meeting and agenda can be viewed at the City's website. Thank you for your interest in National City and please advise me if you require additional information. Sincer, Chris Zapata City Manager' National City, California cc: Mayor Ron Morrison Vice Mayor Alejandra Sotelo Solis Councilman Frank Parra Councilman Jess Van Deventer Councilwoman Rosalie Zarate George Eiser, City Attorney Attachments: City Manager Report on Towing Contract City Attorney Report on Conflict of Interest August 26, 2009 Chris Zapata City Manager City of National City 1243 National City Blvd. National City, CA 92150 RE: REQUEST FOR PERFORMANCE AND COMPLIANCE AUDIT OF NATIONAL CITY TOWING CONTRACT Dear Mr. Zapata: As you are likely aware, recent articles in the Union -Tribune revealed that Ms. Josie Clark, while serving as Mayor Morrison's "Confidential Assistant" and an assistant for the other council members simultaneously continued her business relationship with JC Towing, a towing vendor for National City. Accordingly, we believe it would be in both the City's and the public interest for your office to (1) conduct an impartial review of whether Ms. Clark's actions resulted in an actual or appearance of a conflict of interest; (2) investigate the propriety of Ms. Clark's alleged intervention on JC Towing's behalf with the National City Police Department; and (3) provide a performance audit of the towing vendors. The appearance of a conflict -of -interest needs to be investigated to assure the public that there were no improper actions or any violation of the taw. More specifically, there should be a public accounting and timeline for all and any disclosures by Ms. Clark made to your office or the Mayor regarding her continued employment by JC Towing. Furthermore, the Union -Tribune articles state that the National City Police Department complained about Ms. Clark's intervention and favorable advocacy for her other employer - JC Towing. This merits further investigation as to whether Ms. Clark's actions violated any of National City's human resource policies or municipal code. Under the existing circumstances, we believe it to be appropriate for and request that the National City Police Department conduct an audit of the performance by both towing vendors (JC Towing Et Moynahan's Towing) to ensure that they are in compliance with their contractual obligations such as; timely response times, proper invoicing for services rendered, etc. This is especially important in the light of the fact that Ms. Clark is reported to have contacted the National City Policy Department with respect to issues regarding J.C. Towing's timely responses. Lastly, in light of the recent disclosures regarding Ms. Clark's actions, as participants in the 2006 RFP process we feel that the recent extension of the towing contract in March 2009 casts a dark shadow on the procurement process and that these issues must be addressed immediately to assure the public of a fair, equal and transparent process. Once again, thank you for your kind consideration to our request. Brad Ramsey Road One Towing (858) 492-5252 4-77 Rudy Mercado American Towing (619) 427-0284 CC: Mayor Ron Morrison Vice -Mayor Alejandra Sotelo-Solis Councitmember Jesse VanDeVenter Councitmember Rosalie Zaratie Councitmember Frank Parra t Giusti Rancho Del Oro Towing (619) 404-9980 ITEM #30 9/15/09 Closed Session Report City Attorney -