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Agenda

Adelanto City Council
May 8, 2024

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May 8, 2024
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Adelanto City Council
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AGENDA

REGULAR MEETING

OF THE ADELANTO CITY COUNCIL,

ADELANTO PUBLIC FINANCING AUTHORITY,

ADELANTO PUBLIC UTILITY AUTHORITY,

ADELANTO COMMUNITY BENEFIT CORPORATION,

AND THE SUCCESSOR AGENCY BOARD
MAY 8, 2024

City Council
Gabriel Reyes, Mayor
Daniel Ramos, Mayor Pro Tem
Joy Jeannette, Councilor
Angelo Meza, Councilor
Amanda Uptergrove, Councilor
City Manager
Jessie Flores
City Attorney
Todd Litfin
Meetings held:
2 nd & 4th Wednesday
Adelanto Governmental Center
City Council Chambers
11600 Air Expressway, Adelanto
Open Session: 7:00 p.m.

NOTE: PLEASE TURN CELL PHONES OFF OR PLACE THEM ON VIBRATE DURING THE CITY COUNCIL MEETING AS A COURTESY TO OTHERS. Thank you, Administrative Staff The City Council Agenda packet may be reviewed by the public at the reception counter in City Hall. Any writings or documents pertaining to an open session item, provided to a majority of the City Council within 72 hours of a regular meeting, shall be made available for public inspection at the reception counter in City Hall at 11600 Air Expressway, Adelanto, CA 92301, during normal business hours. Members of the public can view the agenda or download any staff reports in advance by accessing the City website at www.ci.adelanto.ca.us on Thursday the week before the scheduled meeting.

The public may view the meeting or participate / comment remotely as follows:
• All of our meetings are streamed live at
https://adelanto.granicus.com/ViewPublisher.php?view_id=1 and are also available for playback after the meeting.
• Participate via zoom please log in using any of the options below:
• Teleconference
https://zoom.us/j/93146444676?pwd=YVU5anBFak1xSFZ4emNnNW9FNExiQT09 Or Telephone:
1-669-900-6833
Webinar ID: 931 4644 4676
Passcode: 7601
Submit written comments:

We encourage submittal of written comments supporting, opposing, or otherwise commenting on an agenda item, for distribution to the City Council prior to the meeting. Send emails to [email protected]; written correspondence may be sent to Brenda Lopez, 11600 Air Expressway Adelanto CA 92301.
1 REGULAR MEETING
MAY 8, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us Rules of Decorum
“Members of the Public are advised that all PAGERS, CELLULAR TELEPHONES and any OTHER COMMUNICATION DEVICES are to be turned off upon entering the City Council Chambers.” If you need to have a discussion with someone in the audience, kindly step out into the lobby. Under the Government Code, the City Council may regulate disruptive behavior that impedes the City Council Meeting.

Disruptive conduct may include, but is not limited to:
• Screaming or yelling during another audience member’s public comments period; • Profane language directed at individuals in the meeting room; • Throwing objects at other individuals in the meeting room; • Physical or verbal altercations with other individuals in the meeting room; and • Going beyond the allotted three-minute public comment period granted.

When a person’s or group’s conduct disrupts the meeting, the Mayor or presiding officer will request that the person or group stop the disruptive behavior, and WARN the person or group that they will be asked to leave the meeting room if the behavior continues.

If the person or group refuses to stop the disruptive behavior, the Mayor or presiding officer may order the person or group to leave the meeting room, and may request that those persons be escorted from the meeting room. Any person who, without authority of law, willfully disturbs or breaks up a City Council meeting is guilty of a misdemeanor. (Pen. Code, § 403.) It should also be noted that any person who WILLFULLY disturbs or breaks up the City Council meeting may be arrested for a misdemeanor offense. (Penal Code, § 403.)

MEMBERS OF THE PUBLIC WISHING TO ADDRESS THE CITY COUNCIL MEMBERS

ARE REQUIRED TO FILL OUT A SPEAKER REQUEST FORM AND PLACE IT IN THE TRAY ON THE PODIUM PRIOR TO MEETING. Thank you, Administrative Staff The City Council packet may be reviewed by the public at the reception counter in City Hall. Any writings or documents pertaining to an open session item, provided to a majority of the City Council Members within seventy-two (72) hours of a Regular Meeting and twenty-four (24) hours of a Special Meeting. Members of the public can view the agenda or download any staff reports in advance by accessing the City’s website at www.ci.adelanto.ca.us on the Thursday of the week before the scheduled meeting.

AMERICANS WITH DISABILITIES ACT: In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk at (760) 246-2300, ext. 11123, no later than seventy-two (72) hours prior to the meeting per 28 CFR 34.102.104.
2 REGULAR MEETING
MAY 8, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us TIME: _____________
ROLL CALL: Councilor Jeannette ________
Councilor Meza ________
Councilor Uptergrove
Mayor Pro Tem Ramos ________
Mayor Reyes ________
INVOCATION:

FLAG SALUTE: ______________________
B. APPROVAL OF AGENDA
C. CITY MANAGERS ANNOUNCEMENTS AND REPORT
D. CITY COUNCIL ANNOUNCEMENTS AND REPORTS
E. PRESENTATIONS

1. Presentation from City of Adelanto to Lt. Ryan Smith for his years of service.

2. Presentation by City of Adelanto’s Energy Consultant Jose Hernandez.

3. Presentation by Dr. Gil Keinan regarding Pro Housing Element Update.

F. PUBLIC COMMUNICATIONS
This is the time and place for members of the public to comment on any matter within the jurisdiction of the City Council. Members of the public wishing to address the City Council Members on items not on the agenda can push *9 on their telephones to raise their hands. The City Clerk will call on you in the order received. You will be asked to un-mute - to do so you must push *6. Please state your name for the record. There is a time limit of three (3) minutes.

Members of the audience may address the City Council on non-agenda items; however, in accordance with Government Code section 54954.2, the City Council may not take action on an item not appearing on the agenda
A. CALL TO ORDER—REGULAR MEETING
3 REGULAR MEETING
MAY 8, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us G. CONSENT CALENDAR
Items on the Consent Calendar are considered routine in nature and non-controversial and require no further discussion by the City Council. They may be acted on in one motion unless a member of the City Council requests a separate discussion on an item.

MOTION APPROVING THE CONSENT CALENDAR AS PRESENTED

1. Waiver of Full Reading of Ordinances. Proposed action to waive full reading (except title) of all ordinances appearing on this City Council agenda as authorized by Government Code Section 36934, unless otherwise directed by the City Council.

2. Receive and file Commercial and Residential Recycling Department Annual Report.

3. Receive and file Commercial and Residential Recycling Department Monthly Report.

4. Receive and file Commercial and Residential Recycling Department 1st. Quarter Report.

5. Receive and File Business License Department Report.

6. Approval of 2nd Reading of Ordinance 650 entitled:

ORDINANCE NO. 650

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF ADELANTO, REPEALING SECTION 17.80.130 AND
AMENDING SECTIONS 8.60.030, 17.200.140, AND

17.80.120 OF THE ADELANTO MUNICIPAL CODE
UPDATING THE CITY’S CANNABIS RETAILER

REGULATIONS

7. Approval of Amendment No. 5 to the Professional Consultant Services Agreement between the City of Adelanto and Local Equity LLC.

8. Approval of first (1st) amendment to the professional Consultant Services Agreement between the City of Adelanto and Mad Studios.

M__________________S__________________ACTION__________________ 4 REGULAR MEETING
MAY 8, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us H. ADELANTO PUBLIC UTILITY AUTHORITY CONSENT CALENDAR
Items on the Consent Calendar are considered routine in nature and non-controversial, and require no further discussion by the City Council. They may be acted on in one motion unless a member of the City Council requests a separate discussion on an item.

PUBLIC COMMENT: OPEN: CLOSED:

1. Waiver of Full Reading of Ordinances. Proposed action to waive full reading (except title) of all ordinances appearing on this City Council agenda as authorized by Government Code Section 36934, unless otherwise directed by the City Council.

2. Approval of Amendment No. 5 to the Professional Consultant Services Agreement between the City of Adelanto and Local Equity LLC.

3. Approval Professional Services Agreement between the Adelanto Public Utility Authority and Political Dynamics.

M__________________S__________________ACTION__________________ I. NEW BUSINESS
PUBLIC COMMENT: OPEN: CLOSED:

1. ADOPTION OF ORDINANCE NO. 651 - AMENDMENT TO INCREASE THE CITY MANAGER'S AUTHORIZATION THRESHOLD FOR ENTERING INTO CONTRACTS FROM $30,000 TO $75,000. (MARC)
RECOMMENDATION: Staff recommends that the City Council approve Ordinance No. 651 a proposed Amendment to increase the City Manager's authorization threshold for entering into contracts from $30,000 to $75,000. This adjustment aligns with current market conditions and operational needs while maintaining appropriate checks and balances.

ORDINANCE NO. 651

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ADELANTO, COUNTY OF SAN BERNARDINO, AMENDING SECTION 3.10.270(E) OF THE ADELANTO

MUNICIPAL CODE PERTAINING TO CITY MANAGER CONTRACT AUTHORITY M__________________S__________________ACTION__________________ 5 REGULAR MEETING
MAY 8, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us PUBLIC COMMENT: OPEN: CLOSED:

2. DISCUSSION TINY HOMES COMMUNITY PROGRAM. (JESSIE)
RECOMMENDATION: The City Council discuss and provide direction and feedback.

PUBLIC COMMENT: OPEN: CLOSED:

3. DISCUSSION ITEM UTILITY BOX PROGRAM. (JESSIE)
RECOMMENDATION: The City Council discuss and provide direction and feedback.

PUBLIC COMMENT: OPEN: CLOSED:

4. DISCUSSION ITEM MLITARY BANNER PROGRAM. (JESSIE)
RECOMMENDATION: The City Council discuss and provide direction and feedback.

J. ITEMS REMOVED FROM THE CONSENT CALENDAR
K. FUTURE AGENDA ITEMS
City Councilmembers may request to receive a report, schedule a study session, or to place an item on a future City Council agenda regarding matters within the jurisdiction of the City Council. Requests require a motion, a second, and a majority vote of the City Council. Individual requests should be voted on separately. The City Manager shall work with City staff to respond to inquiries and requests as soon as practicable in an appropriate manner. 6 REGULAR MEETING
MAY 8, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us L. PUBLIC COMMUNICATIONS
This is the time and place for members of the public to comment on any matter within the jurisdiction of the City Council. Members of the public wishing to address the City Council Members on items not on the agenda can push *9 on their telephones to raise their hands. The City Clerk will call on you in the order received. You will be asked to un-mute - to do so you must push *6. Please state your name for the record. There is a time limit of three (3) minutes.

Members of the audience may address the City Council on non-agenda items; however, in accordance with Government Code section 54954.2, the City Council may not take action on an item not appearing on M. ADJOURNMENT
The next Regular Meeting of the City Council will be held on May 22, 2024, at 7:00 p.m.

TIME OUT:

M__________________S__________________ACTION____________________

I, BRENDA LOPEZ, CITY CLERK OF THE CITY OF ADELANTO, OR MY DESIGNEE,

HEREBY CERTIFY THAT A TRUE, ACCURATE COPY OF THE FOREGOING AGENDA WAS POSTED ON MAY 4, 2024 SEVENTY-TWO (72) HOURS PRIOR TO THE MEETING PER GOVERNMENT CODE 54954.2 IN THE GOVERNMENTAL CENTER’S DISPLAY CASE, 11600

AIR EXPRESSWAY, THE ADELANTO POST OFFICE, AND ADELANTO LIBRARY IN ADELANTO, CALIFORNIA.

Brenda Lopez, City Clerk
N. DECLARATION OF POSTING
7 REGULAR MEETING
MAY 8, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us

YOUR CITY GOVERNMENT
CHARTER CITY: Ratified by the electors of the City at an election on November 3, 1992. “A Charter City can do what the Charter permits it to do, so long as there is not direct violation of the State Constitution.”
CITY COUNCIL: The City Council is the legislative and policy-making body of the City. The City Council is composed of one elected Mayor and four Council Members, elected at large (to represent the entire City), to serve four (4) year, staggered terms.

CITY MANAGER: The City Manager is the chief executive officer responsible for the day-to-day administration of City affairs.

CITY COUNCIL MEETING: The regular meeting of your City Council is a vital part of the democratic process in the conduct of the City’s affairs. These meetings are open to the public and conducted by your elected representatives who are responsible, as a body, for the operation of Adelanto’s City government. The City Council appreciates your interest and urges citizen participation in government matters.

LEGISLATIVE TERMS
ORDINANCES: Ordinances are the means by which the City enacts its local laws. Unless an urgent situation exists, ordinances will first be presented at a City Council meeting as a “first reading.” At a subsequent City Council meeting, there will be a “second reading” and vote for or against adoption. Ordinances go into effect after a waiting period of thirty (30) days, in most cases, during which time the summary of the ordinance is published in a local newspaper approved for this purpose.

RESOLUTIONS: Resolutions and minute orders are the means by which the City Council formally adopts policies and/or approves specific actions. These go into effect upon adoption 8 Adelanto City Hall ~ 11600 Air Expressway, Adelanto, CA 92301 ~ (760) 246-2300 ~ Fax (442) 249-1121

REGULAR MEETING

OF THE ADELANTO CITY COUNCIL

ADELANTO PUBLIC FINANCING AUTHORITY,

ADELANTO PUBLIC UTILITY AUTHORITY,

ADELANTO COMMUNITY BENEFIT CORPORATION,

AND THE SUCCESSOR AGENCY BOARD
MAY 8, 2024
All of our meetings are streamed live at https://adelanto.granicus.com/ViewPublisher.php?view_id=1 and are also available for playback after the meeting.

Participate via zoom please log in using any of the options below:

Teleconference https://us06web.zoom.us/j/93146444676?pwd=YVU5anBFak1xSFZ4emNnNW9FNExiQT09

TIME TELECONFERENCE
To Participate and and Call in for public
comments:

Please call 1-669-900-6833 along with
conference code 931 4644 4676
Open Session – 7:00 p.m. Passcode: 7601

Dated: May 4, 2024 Brenda Lopez, City Clerk, CMC
9 CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y DATE: May 8, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Brenda Lopez, City Clerk
SUBJECT: ANNUAL COMMERCIAL & RESIDENTIAL SOLID WASTE AND

RECYCLING REPORT
STAFF RECOMMENDATION:

Receive and file.

ATTACHMENTS:

1. Burrtec’s Annual Commercial and residential Solid Waste and Recycling Report 10 11
12 13
14 15
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CITY COUNCIL AGENDA REPORT
| A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: May 8, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Brenda Lopez, City Clerk
SUBJECT: MONTHLY COMMERCIAL & RESIDENTIAL SOLID WASTE AND

RECYCLING REPORT
STAFF RECOMMENDATION:

Receive and file.

ATTACHMENTS:

1. Burrtec’s Monthly Commercial and residential Solid Waste and Recycling Report 52 53
54 55
56 57
58 59
60 61
62 63
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66 67
68 69
70 71
72 73

CITY COUNCIL AGENDA REPORT
| A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: May 8, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Brenda Lopez, City Clerk
SUBJECT: 1
st QUARTER COMMERCIAL & RESIDENTIAL SOLID WASTE AND

RECYCLING REPORT
STAFF RECOMMENDATION:

Receive and file.

ATTACHMENTS:

1. Burrtec’s Monthly 1
st
. Quarter Commercial and residential Solid Waste and Recycling Report 74 75
76 77
78 79
80 81
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CITY COUNCIL

AGENDA REPORT
1 | P a g e
STAFF RECOMMENDATION:

Staff recommends that the City Council accept the monthly Business License Division report for the period ending April 30, 2024.

BACKGROUND:

The New Business Activity Listing exhibits all the new business licenses processed during the month.

Included in the report are new applicants and businesses that renewed their annual license with the City. Anyone doing business within the City must obtain a business license.

The Cash Receipt Listing exhibit lists all money received by the Business License Division for the issuance of a new business licenses, business license renewal, or a temporary business license.

FISCAL IMPACT:

A total of $6,649.00 processed during the month of April 2024.

ATTACHMENTS:

1. Monthly New Business Activity Listing for April 2024.

2. Monthly Cash Receipt List for April 2024.

DATE: May 8, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: HdL Companies / Via: Brenda Lopez, City Clerk
SUBJECT: BUSINESS LICENSE REPORT – APRIL 2024
127

CITY COUNCIL

AGENDA REPORT
2 | P a g e
APRIL SUMMARY:
31%
7% 8%
11%
25%
2% 10%
6%
Contractors (27) Home Business (6) General Retail (7) General Service (9) Rental Property (22) Manufacturing (9) Professional (2) Temporary (5) 0 25
50 75
100
125
150
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec
2019 2020 2021 2022 2023 2024
Business License Accounts Processed by Rate Category
(Total Record Count = 87)
53%
47%
Based Outside the City = 46 Based Inside the City = 41

TOTAL NUMBER OF ACCOUNTS PROCESSED BUSINESS LICENSES ISSUED BY LOCATION 128
Monthly Business Activity Listing
Firm Name Firm Address Business Description Located Inside Adelanto License Type Issue Date Amount 760 AUTO GLASS 10829 FLORAL ST Home Occupation Yes Renewal 2024-04-02 $29.00 ACTIVE AUTO INCORPORATED 12036 BARTLETT AVE H Automobile Sales Yes Renewal 2024-04-02 $104.00 AIRESTREAM MECHANICAL, INC. 4345 E LOWELL ST Contractors (Class A, B1, C20) No Reinstated 2024-04-01 $104.00 ALPHA OMEGA SEPTIC SERVICE 11755 SANTA FE AVENUE EAST Contractors (Class A, B1, C20) No Renewal 2024-04-01 $104.00 AMERICAN MEDICAL RESPONSE 14828 7TH ST Ambulance No Renewal 2024-04-01 $104.00 APPLE RENTAL PROPERTIES LLC 11537 FLORIAN ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-02 $34.00 ARTURO NAVARRO 17966 AVERY ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-10 $34.00 AT&T MOBILITY 1025 LENOX PARK BLVD NE # 360 Misc Business No Renewal 2024-04-14 $54.00 AZ-7 INC 15316 LOTUS CIR Contractors (Class A, B1, C20) No Renewal 2024-04-07 $104.00 AZTECH SOLAR INC 1716 N FINE AVE 105 Contractors (C4, C6, C8, C10, C12, C16, C42) No New Application 2024-04-15 $64.00 BINDRA & LAXMI 10862 TOLLIVER ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-21 $34.00 BLUE NITE PROTECTION AGENCY 28646 LAKECREST AVE Private Patrol Night Watch No New Application 2024-04-18 $54.00 BRYTON POWER LLC 1971 W 700 N STE 201 Contractors (Class A, B1, C20) No New Application 2024-04-02 $104.00 BUILDERS TERMITE INC 13610 IMPERIAL HWY STE 4 Pest Control No New Application 2024-04-09 $54.00 CALIFORNIA SOLAR & ELECTRIC INC 9559 CENTER AVE STE J Contractors (C4, C6, C8, C10, C12, C16, C42) No New Application 2024-04-19 $64.00 CASA UNIDA HOUSING 18051 VERBENA RD Home Occupation Yes Renewal 2024-04-26 $29.00 CASTADA PROPERTY MANAGEMENT 14691 KIMBERLY ST Hotels,Motels & Other Rental Units Yes New Application 2024-04-24 $231.00 CHARTER OAK RENTALS 18253 BELLFLOWER ST Hotels,Motels & Other Rental Units No Renewal 2024-04-21 $34.00 COLE'S HAIR GROW 11611 VILLA ST Home Occupation Yes Renewal 2024-04-07 $29.00 DALAR BUSINESS SOLUTION LLC 9941 YUCCA RD Manufacturing Flat Fee Yes New Application 2024-04-25 $204.00 DALAR BUSINESS SOLUTION LLC 9941 YUCCA RD Manufacturing Flat Fee Yes New Application 2024-04-25 $204.00 DEWEY PEST CONTROL 14300 VALLEY CENTER Misc Business No Renewal 2024-04-18 $54.00 EATANOTHER SMASH BURGER 3550 CASAMIA AVE Temporary BL No New Application 2024-04-20 $54.00 FERNANDO PAYAN 14786 SANDSTONE ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-01 $34.00 FIBA TECHNOLOGIES INC 17909 ADELANTO RD Manufacturing Flat Fee Yes Renewal 2024-04-29 $104.00 FLAVIO JIMINEZ 11938 LEE AVE #A_D Hotels,Motels & Other Rental Units Yes New Application 2024-04-27 $34.00 FUNNY KERNEL 43205 ANDRADE AVE G Retail/Wholesale No Renewal 2024-04-16 $54.00 GA PROPERTIES 11757 NEHMANS WAY Hotels,Motels & Other Rental Units Yes Renewal 2024-04-14 $34.00 GEORGE FONSECA 11713 DESERT GLEN ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-02 $34.00 GORDOLICIOUS TACOS & CATERING 21150 THUNDERBIRD RD Food Catering Service No New Application 2024-04-05 $34.00 Process Summary:

New - Pending Approval: 23
Renewal Accounts: 60
Reinstated Accounts: 4 Attachment No. 1
Reporting Period: April 2024
Total Licenses Processed: 87
129
Monthly Business Activity Listing
Firm Name Firm Address Business Description Located Inside Adelanto License Type Issue Date Amount GRACIES STEAMWORK & SPARKLES 14002 JOCKEY LN Car Wash (Primary Business) No Renewal 2024-04-02 $54.00 GREEN CALIFORNIA CAPITAL INC 9979 YUCCA RD Manufacturing Flat Fee Yes New Application 2024-04-01 $204.00 GREEN CALIFORNIA CAPITAL INC 9979 YUCCA RD Manufacturing Flat Fee Yes New Application 2024-04-01 $204.00 GREEN DESIGN SERVICES 12400 VENTURA BLVD UNIT 725 Contractors (Class A, B1, C20) No New Application 2024-04-08 $104.00 GREEN WORLD WINDOWS 3810 WABASH DR STE B Contractors (All Other Class 'C') No Renewal 2024-04-19 $54.00 GROUNDWORK ENGINEERING INC 24920 SHADOW RIDGE CT Contractors (Class A, B1, C20) No Renewal 2024-04-17 $104.00 HABITAT RESTORATION SCIENCES INC 1217 DISTRIBUTION WAY Contractors (All Other Class 'C') No Renewal 2024-04-16 $54.00 HDO13 HOLDINGS LLC 17327 MUSKRAT AVE UNIT 13 Manufacturing Flat Fee Yes Renewal 2024-04-28 $104.00 IDEAL PROGRESSION LLC 10438 BUCKBOARD CIR Home Occupation Yes Renewal 2024-04-25 $29.00 IDEAL PROGRESSION LLC 18516 LARKSPUR RD Home Occupation Yes Renewal 2024-04-25 $29.00 IPERMIT 31225 LA BAYA 213 Misc Business No Renewal 2024-04-23 $54.00 JOSE NUNEZ 18222 CHERIMOYA RD Hotels,Motels & Other Rental Units Yes Renewal 2024-04-02 $34.00 KONA ICE OF THE VICTOR VALLEY LLC 11291 CAMDEN ST Confectionary Wagons No Renewal 2024-04-22 $4.00 KYA SERVICES, LLC 1800 E MCFADDEN AVE Contractors (All Other Class 'C') No Renewal 2024-04-14 $54.00 LAYNE CHRISTENSEN COMPANY 1717 W PARK AVE Contractors (Class A, B1, C20) No Renewal 2024-04-02 $104.00 LEE & ASSOCIATES, INC. 14369 PARK AVENUE STE. 200 Real Estate No Renewal 2024-04-01 $154.00 LUTFALLAH ELNABBOUT 14982 DAISY Hotels,Motels & Other Rental Units Yes Renewal 2024-04-15 $34.00 MARY JANE EDIBLES APPAREL 12000 STADIUM RD Temporary BL Yes Reinstated 2024-04-21 $50.00 MCKEE ELECTRICAL CONTRACTING 15436 COLLEEN CT Contractors (C4, C6, C8, C10, C12, C16, C42) No New Application 2024-04-08 $64.00 MEXIBACHI 5625 AVALON BLVD Temporary BL No Reinstated 2024-04-20 $54.00 NAJERA LANDSCAPING 10563 LEE AVE Home Occupation Yes Renewal 2024-04-27 $29.00 NATIONAL RENT-A-FENCE 11029 BEECH AVE Contractors (All Other Class 'C') No Renewal 2024-04-25 $54.00 NEWCO TRADING,INC. 17058 RACCOON AVE Manufacturing Flat Fee Yes Renewal 2024-04-21 $104.00 NEXT-N-LINE TAX SERVICES 11328 BARTLETT AVE STE 5 Retail/Wholesale Yes Renewal 2024-04-26 $54.00 NOVA STORAGE ADELANTO, LP 16488 ADELANTO RD Mini Storage Yes Renewal 2024-04-29 $756.00 OJ INSULATION LP 600 S VINCENT AVENUE Contractors (All Other Class 'C') No Renewal 2024-04-01 $54.00 ONE SPACE LLC 15290 ALEXANDRIA ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-24 $34.00 PALMAS DEL MAR, L.P. 18612 CASABA Hotels,Motels & Other Rental Units Yes Renewal 2024-04-20 $34.00 PETTWAY PROPERTIES 11553 RUSSET PL Hotels,Motels & Other Rental Units Yes Renewal 2024-04-02 $34.00 PUFF CORP 1201 W 5TH ST STE T800 Retail/Wholesale No Renewal 2024-04-10 $54.00 Process Summary:

New - Pending Approval: 23
Renewal Accounts: 60
Reinstated Accounts: 4 Attachment No. 1
Reporting Period: April 2024
Total Licenses Processed: 87
130
Monthly Business Activity Listing
Firm Name Firm Address Business Description Located Inside Adelanto License Type Issue Date Amount R-T WELDING AND FABRICATION 14071 VALLEY DR Contractors (C21, C35, C36, C39, C51) No Renewal 2024-04-02 $79.00 RANCHO TREE SERVICE, INC. 164 W HOSPITALITY LN 109 Contractors (All Other Class 'C') No New Application 2024-04-26 $54.00 RICH SUPREME LLC 308 PAYSON RD Hotels,Motels & Other Rental Units No Renewal 2024-04-02 $34.00 ROKSTAD POWER INC 14055 LAURELWOOD PL STE B Contractors (C4, C6, C8, C10, C12, C16, C42) No Renewal 2024-04-21 $64.00 ROSALES CLEANING SERVICES 19019 JOSHUA ST Janitorial Serv and Supplies Yes Renewal 2024-04-02 $34.00 SAID M. SAID 11807 DESERT GLEN Hotels,Motels & Other Rental Units Yes Renewal 2024-04-06 $34.00 SAUCY B'S BARBECUE 43309 16TH ST W APT 15 Temporary BL No New Application 2024-04-20 $54.00 SECC CORPORATION 16224 KOALA RD Misc Business Yes Renewal 2024-04-11 $54.00 SECURITAS SECURITY SERVICES USA, INC. 15428 CIVIC DR STE 305 Private Patrol Night Watch No Renewal 2024-04-07 $54.00 SHED WORLD 6694 CALIENTE RD # A Contractors (Class A, B1, C20) No Reinstated 2024-04-17 $104.00 SILVIA MUNOZ 12020 BROCKMAN AVE Hotels,Motels & Other Rental Units Yes Renewal 2024-04-15 $34.00 SOUTHLAND MIXER 12231 HIBISCUS ROAD Manufacturing Flat Fee Yes Renewal 2024-04-01 $104.00 STATEWIDE TRAFFIC SAFETY AND SIGNS, INC 1100 MAIN ST 100 Contractors (All Other Class 'C') No Renewal 2024-04-06 $54.00 SUGAR HOUSE PROPERTY MANAGEMENT 11712 OXFORD ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-27 $34.00 TECH WAYNE COMPANY INC 7080 DAWN WAY Contractors (Class A, B1, C20) No New Application 2024-04-16 $104.00 THE MANDEL FAMILY TRUST 14560 CHIPPENDALE CIR Hotels,Motels & Other Rental Units No Renewal 2024-04-24 $34.00 THE VANGUARD GROUP LLC 15134 DESERT ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-20 $34.00 TITANIUM PLUMBING 1545 S LA CIENEGA BLVD Contractors (All Other Class 'C') No New Application 2024-04-04 $54.00 TRAFFIX DEVICES, INC 12128 YUCCA RD Manufacturing Flat Fee Yes Renewal 2024-04-01 $104.00 TRIDENTCARE 12612 RAYMER ST Professional Services (A) No Renewal 2024-04-02 $129.00 UNITED SIGN SYSTEMS 5201 PENTECOST DR Contractors (All Other Class 'C') No New Application 2024-04-10 $54.00 VANESSA ESPINOZA 10575 LEISURE CIRCLE Hotels,Motels & Other Rental Units Yes Renewal 2024-04-07 $34.00 VERDE HOME DESIGN INC 16888 NISQUALLI RD STE 160 Contractors (Class A, B1, C20) No New Application 2024-04-09 $104.00 VERIZON WIRELESS 11720 BARTLETT AVE Contractors (All Other Class 'C') No Renewal 2024-04-27 $54.00 VERSONOVA LLC 10769 ALMOND ST Hotels,Motels & Other Rental Units Yes Renewal 2024-04-21 $34.00 WALL TO WALL CONSTRUCTION 20250 QUAIL RUN RD Contractors (Class A, B1, C20) No New Application 2024-04-04 $104.00 YOUNG STONER LLC 12000 STADIUM RD Temporary BL Yes New Application 2024-04-20 $50.00 Process Summary:

New - Pending Approval: 23
Renewal Accounts: 60
Reinstated Accounts: 4 Attachment No. 1
Reporting Period: April 2024
Total Licenses Processed: 87
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Totals for New Receipts
Summary by GL Account #
Paid to Client
Business License Tax - G/L #100-0000-43035 $100.00
Total: $100.00
Paid to HdL
Unknown ($1.00)
Building Dept - Commercial Zoning Fees $1,525.00
Building Dept - Home Occupation Zoning Fees $190.00
Business License Tax - G/L #100-0000-43035 $8,232.63
Penalties - G/L #100-0000-43035 $244.52
SB-1186 Fees - City Portion $428.40
SB-1186 Fees - State Portion $47.60
Total: $10,667.15
Summary by Payment Type
8 Check 663.57
3 Credit Balance -
78 Credit Card 7,328.32
27 eCheck 2,675.26
2 Paid at City 100.00
118 Grand Total: $10,767.15
Summary by Geo Area
118 10,767.15
118 Grand Total $10,767.15
City of Adelanto
Business License Division
Cash Receipts Summary
4/01/2024 to 4/30/2024
Attachment 2
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ORDINANCE NO. 650

AN ORDINANCE OF THE CITY COUNCIL OF THE

CITY OF ADELANTO, REPEALING SECTION

17.80.130 AND AMENDING SECTIONS 8.60.030,

17.200.140, AND 17.80.120 OF THE ADELANTO
MUNICIPAL CODE UPDATING THE CITY’S

CANNABIS RETAILER REGULATIONS
FACTS

1. In 1996, the voters of the State of California approved Proposition 215, which was codified as Health and Safety Code Section 11362 et seq., and entitled the Compassionate Use Act of 1996, which intended to enable seriously ill Californians to legally possess, use, and cultivate marijuana for medical use under limited, specified circumstances; and

2. In 2004, the California legislature enacted Senate Bill 420, the Medicinal Marijuana Program (the “MMP”), which, as codified in California Health and Safety Code Section 11362.7 et seq., was intended to clarify the CUA’s scope and immunize from criminal prosecution, under specified state laws, certain activities and conduct related to the provision of medicinal marijuana to qualified patients; and

3. On November 8, 2016, the voters of the State of California approved Proposition 64, entitled the “Control, Regulate and Tax Adult Use of Marijuana Act,” which legalizes and regulates recreational marijuana in California; and,

4. The State has established an integrated licensing and regulatory system for both medicinal and recreational marijuana businesses consistent with Propositions 215 and 64 entitled the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”), codified in Business and Professions Code section 26000 et seq.; and

5. Business and Professions Code section 26200 expressly recognizes the ability of cities to completely prohibit all medicinal and recreational cannabis businesses or to allow and regulate such businesses; and,

6. The City of Adelanto allows both storefront and non-storefront cannabis retailers to operate within the City and the purpose of this ordinance is to update those regulations to help cannabis retailers thrive in the City while protecting the public from potential negative impacts of these businesses.

NOW, THEREFORE, THE COUNCIL OF THE CITY OF ADELANTO DOES ORDAIN AS FOLLOWS:

SECTION 1. The foregoing Facts are adopted as findings of the City Council as though set forth in fully within the body of this ordinance.

SECTION 2. The City Council finds that the proposed Zoning Code amendment is consistent with the goals, policies, and objectives of the General Plan. More specifically, the amendment is consistent with Chapter 3, Economic Development, because it helps to implement the City’s economic development goals and policies, including job creation, infrastructure expansion, and revenue generation. The City Council further finds that the Zone Code amendment will not affect compatibility of existing uses.
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SECTION 3. The City Council finds that the adoption of this Ordinance is exempt from review under the California Environmental Quality Act (CEQA) pursuant to the common sense exemption (CEQA Guideline 15061(b)(3)) because it can be see with certainty that there is no possibility that permitting one cannabis retail location to operate within the City may have a significant effect on the environment. Cannabis retail operations are small footprint and retailers are likely to operate within an existing vacant location rather than engage in new construction, and would likely qualify for the in-fill development exemption (CEQA Guideline 15332). In the event the sole retailer permitted in Adelanto does not qualify for the in-fill development exemption or another CEQA exemption, CEQA review would be conducted concurrently with project processing, ensuring that any environmental impacts are less than significant.

SECTION 4. Adelanto Municipal Code Section 17.80.120 is amended in its entirety to read as shown in Exhibit A to this Ordinance.

SECTION 5. Adelanto Municipal Code Section 17.80.130 is repealed in its entirety.

SECTION 6. Adelanto Municipal Code Section 17.200.140 is amended to delete the definition of “medical marijuana dispensary.”
SECTION 7. Adelanto Municipal Code Section 8.60.030 is amended in its entirety to read as follows:
“8.60.030 Commercial Non-Medical Cannabis Activities Prohibited.

All commercial non-medical cannabis activities within the City are prohibited except in full compliance with all applicable requirements of Chapter 17.80 of this Code.” SECTION 8. Severability. If any provision, section, paragraph, sentence, clause or phrase of this ordinance, or any part thereof, or the application thereof to any person or circumstance is for any reason held to be invalid or unconstitutional by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance, or any part thereof, or its application to other persons or circumstances. The City Council hereby declares that it would have passed and adopted each provision, section, paragraph, subparagraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, paragraphs, subparagraphs, sentences, clauses or phrases, or the application thereof to any person or circumstance, be declared invalid or unconstitutional.

SECTION 9. This ordinance shall become effective on the thirtieth (30th) day following passage and adoption hereof.

PASSED AND ADOPTED BY THE COUNCIL OF THE CITY OF ADELANTO THIS day of , 2024, by the following vote:

AYES:

NOES:

ABSENT:
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APPROVED
Gabriel Reyes, Mayor
ATTEST
Brenda Lopez, City Clerk
APPROVED AS TO FORM:

Todd Liftin, City Attorney
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EXHIBIT “A”

17.80.120 Cannabis Retail.
(a) Purpose. The purpose and intent of this Section is to regulate the retail sale of adult-use and medicinal cannabis in order to promote the health, safety, and general welfare of the residents and businesses within the City. The City is authorized to regulate this activity pursuant to the MAUCRSA.
(b) Definitions. For purposes of this Section, the following definitions shall apply unless the context clearly indicates otherwise. Unless otherwise defined herein, the terms in this Section shall have the same meaning as set forth in MAUCRSA and any rules promulgated pursuant thereto:
(1) “Applicant” or “Applicants” means the individual, entity, or any of their authorized agents or employees, applying for a Retail Permit or Conditional Use Permit. (2) “Cannabis” means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from cannabis. “Cannabis” does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. For the purpose of this division, “Cannabis” does not mean “industrial hemp” as defined by Section 11018.5 of the Health and Safety Code. (3) “CUP” means a Conditional Use Permit issued by the City in accordance with this Code.
(4) “Deliver,” “Delivering,” and “Delivery” shall be defined in accordance with the MAUCRSA, Business and Professions Code Section 26001, and other applicable State laws. (5) “Retailer” means a person authorized to engage in the retail sale of Cannabis goods to customers.
a. “Non-Storefront Retailer” means a Retailer that sells Cannabis goods to customers only through delivery and with a Type 9 retail license from the State of California Department of Cannabis Control.
b. “Storefront Retailer” means a Retailer that has a physical location where customers can purchase Cannabis goods and with a Type 10 retail license from the State of California Department of Cannabis Control. A Storefront Retailer may also deliver Cannabis goods to customers.
(6) “Retail Permit” means a City permit to conduct retail sales of adult-use and/or 136
medical Cannabis in accordance with the terms and conditions of this Section and the conditions of approval for the permit. A Retail Permit will be designated as either a Non-Storefront Retail Permit or a Storefront Retail Permit.
(7) “Retail Permittee” means a person or entity that has been issued a Retail Permit by the City pursuant to the terms and conditions of this Section. (8) “MAUCRSA” means the Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA). (Business and Professional Code, Section 26000 et seq.) (9) “Medicinal Cannabis” or “Medicinal Cannabis Product” means cannabis or a cannabis product, respectively, intended to be sold for use pursuant to the Compassionate Use Act of 1996 (Proposition 215), found at Section 11362.5 of the Health and Safety Code and other applicable State laws, by a medicinal cannabis patient in California who possesses a physician's recommendation. For purposes of this definition, “Medicinal Cannabis” also means “Medical Marijuana.”
(10) “Cannabis Retail Overlay Zone” means the area bounded by Air Expressway to the north, Rancho Road to the south, Adelanto Street and Permain Street and to the west, and Mesa Linda Road to the east (Cannabis Retail Overlay Zone 1), and the area bounded by Violet Road to the north, Powerline Road to the south, Jonathan Road to the west, and Highway 395 to the east. The easterly boundary to Highway 395 is setback 600' from the highway. (Cannabis Retail Overly Zone 2).
(11) “Premises” means and pertains to a physical place of business, building, facility, office, or warehouse owned or operated by a Retail Permittee falling within the jurisdiction of the City of Adelanto.
(c) Unauthorized Cannabis Retail Prohibited. The retail sale of Cannabis within the City is prohibited without a valid Conditional Use Permit and Retail Permit as provided for in this Section.
(d) Conditional Use Permit. Retailers are conditionally permitted in the Cannabis Retail Overlay Zone. The provisions of chapter 17.130 of this code shall govern applications for a conditional use permit for Cannabis retail sales. An Applicant for a Cannabis Retail conditional use permit must possess a valid Retail Permit at the time the conditional use permit is approved. (e) Retail Permit.
(1) Cannabis Retail Operating Standards. Cannabis retail within the City shall be in conformance with the following standards:

A. All retail sales of Cannabis and Cannabis products shall be in conformance with all applicable State laws and regulations.

B. Retailers shall only engage in sales and deliveries between the hours of 6:00 a.m. and 10:00 p.m.
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C. All cannabis shall be kept in a secured manner during all business and nonbusiness hours.

D. Each Retailer shall operate within a legal structure that is compliant with all applicable State and local laws.

E. Each Retailer must pay all applicable taxes pursuant to all federal, State, and local laws. Each Retail shall pay the City's Cannabis Excise Tax provided for retailers in AMC Chapter 3.60.

F. On-site smoking, ingestion, or consumption of cannabis or alcohol is prohibited at all Non-Storefront Retailer premises. The building entrance shall be clearly and legibly posted with a notice indicating that smoking, ingesting, or consuming cannabis or alcohol on the premises, or in the vicinity of the Non-Storefront Retailer, is prohibited. The term "premises" as used in this Subsection and the following Subsection includes the cannabis retail building, as well as any accessory structures and parking areas.

G. Smoking, ingestion and consumption of cannabis and cannabis products may occur on the premises of a Storefront Retailer if specifically permitted by the Retail Permit and the CUP for the premises, and subject to the following regulations.

1. Access to the area where cannabis consumption is allowed must be restricted to persons twenty-one years of age and older. The dispensary shall be responsible for checking identification and ensuring that underaged individuals do not enter.

2. Cannabis consumption shall not be visible from any place where persons under the age of twenty-one are permitted.

3. Cannabis consumption must occur only within the areas designated for consumption by the license.

4. The cannabis business must install and maintain in good working order an odor control system. Odors caused by the consumption of cannabis at the retail premises must not be detectable from any public place. The cannabis business shall submit and abide by an odor control plan approved by the city as a part of the retail permit application and approval process.

The plan shall include the use of a Vapor Phase System utilizing an odor neutralizer, such as Cannabolish or a similarly effective technology.

5. Only cannabis and cannabis products purchased from the retailer during the same visit by the customer may be consumed within the retail premises. Individuals may not bring cannabis or cannabis products into a retailer for the purposes of consumption.

6. Cannabis and cannabis products that are only partially consumed on the premises of the dispensary must be repackaged in accordance with this Section prior to leaving the retail premises.

7. Representatives of the city, including, but not limited to, law enforcement officers, must be permitted to enter the premises, including all areas where consumption is 138
allowed, at any time during the regular business hours of the retailer and/or whenever consumption is occurring on site.

H. Signage for each Retailer shall be limited to name of the business only, shall be in compliance with the City's sign code. Signage shall not include any drug-related symbols.

I. Alcoholic beverages shall not be sold, stored, distributed, or consumed on the premises. A Retailer shall not hold or maintain a license from the State Department of Alcohol Beverage Control to sell alcoholic beverages or operate a business that sells alcoholic beverages.

In addition, alcohol shall not be provided, stored, kept, located, sold, dispensed, or used on the premises of any Retailer.

J. Physician services and medical cannabis recommendations shall not be provided at a cannabis Retailer premises.

K. The building and premises in which any Retailer is located, as well as the operations as conducted therein, shall fully comply with all applicable rules, regulations, and laws including, but not limited to, zoning and building codes, the City's business license ordinances, the Revenue and Taxation Code, the Americans with Disabilities Act, and the MAUCRSA. Compliance with all requirements of State law pertaining to adult-use and/or medical cannabis dispensing and delivery is also required.

L. A cannabis Retailer shall not grow, cultivate, manufacture, or process cannabis, unless expressly and affirmatively authorized by State and local law. A cannabis Retailer shall not be operated as a cannabis cultivation, manufacturing, distribution, transportation, or testing facility, unless expressly and affirmatively authorized by State and local law.

M. The operators of a cannabis Retailer shall provide the City Manager or the City Manager's designee with the name, cell phone number, facsimile number, and email address of an on-site representative to whom the City and the public can provide notice if there are any operational problems associated with the Retailer. Each cannabis Retailer shall make every good faith effort to encourage residents and the public to call this representative to resolve any operational problems before any calls or complaints are made to the City or law enforcement.

N. A cannabis Retailer shall be operated in accordance with the conditions of approval associated with the applicable CUP for the parcel of real property upon which the cannabis Retailer activities occur.

O. Retail permittees shall implement sufficient security measures to both deter and prevent unauthorized entrance into areas containing cannabis products and theft of cannabis products from the retail premises.

P. A cannabis retail premises shall implement a security plan including the following measures:

1. Security cameras shall be installed and maintained in good condition, and used in an on-going manner with at least 120 concurrent hours of digitally recorded documentation in a format approved by the City Manager or the City Manager's designee. The 139
cameras shall be in use 24 hours per day, seven days per week. The areas to be covered by the security cameras include, but are not limited to, the storage areas, dispensing areas, delivery areas, all doors and windows, and any other areas as determined by the City Manager or the City Manager's designee. Remote log-in information shall be provided to the City Manager, the City Manager's designee, and law enforcement to allow them to view the security camera images and recordings from their own facilities at any time. Any disruption in security camera images shall be cured expeditiously.

2. The cannabis Retailer shall be secured with an alarm system that is operated and monitored by a reputable security company.

3. Entrances to all storage areas shall be locked at all times, and under the control of the Retailer’s staff.

4. All cannabis shall be stored in a secured and locked space, and in a manner as to prevent diversion, theft, or loss.

5. The entrances and all window areas to Storefront Retailers shall be illuminated during evening hours. All Retailers shall comply with the City’s lighting standards regarding fixture type, wattage, illumination levels, shielding, et cetera, and shall secure the necessary lighting approvals and permits as needed.

6. All windows on the building that houses the cannabis Retailer shall be appropriately secured.

7. Recordings made by the security cameras shall be made available to the City Manager, the City Manager's designee, and law enforcement upon verbal request—no search warrant or subpoena shall be needed to view the recorded materials.

Q. The City Manager, the City Manager's designee, shall have the right to enter the Retailer for the purpose of making reasonable inspections to observe and enforce compliance with this Section and all laws of the City and the State. The City Manager, the City Manager's designee, shall maintain a log tracking the time and date of all inspections, the individuals requesting the inspection, and the result of each inspection. Individuals participating in any such inspection must take precautions and comply with standard safeguards and procedures in place at the facility regarding security, clean room/clean area access and anti-contamination measures.

R. A Retailer shall notify the City Manager or the City Manager's designee within 24 hours of discovering any of the following:

1. Any discrepancies identified during routine inventory checks.

2. Diversion, theft, loss, or any criminal activity involving the Retailer or any agent or employee of the Retailer.

3. The loss or unauthorized alteration of records related to medical cannabis, registered qualifying patients, primary caregivers, or Retailer agents or employees. 140

4. Any other breach of security.

S. A Retailer shall not dispense or deliver medicinal cannabis to any person without government-issued identification and adequate documentation demonstrating qualification to purchase, obtain, or possess medical cannabis. Physician's recommendations shall be verified by Retailer’s staff prior to dispensing or delivering any medicinal cannabis to a qualified patient or primary caregiver, and at least every six months thereafter.

T. Each Retailer shall do regular monthly inventories, and shall record and account for the total quantity of cannabis retained, sold, and delivered on or from the premises. These records shall be maintained for three years from the date created and shall be open to inspection by the City Manager, the City Manager's Designee, and law enforcement.

U. A Retailer shall maintain medicinal cannabis customer records in a secure location within the City, available for inspection upon demand by the City Manager, the City Manager's designee, or law enforcement. Such records shall include, without limitation, a copy of the physician's recommendation and, if using a primary caregiver, a notarized written authorization from the patient to be represented by such primary caregiver.

V. During the delivery of cannabis, each vehicle driver shall carry a copy of the Retail Permit, a copy of the delivery request, a form of government-issued identification, and all other information required by State law. The driver shall present these documents upon the request of law enforcement, the City Manager, or the City Manager's designee.

W. Prior to sale, cannabis products shall be labeled and placed in a tamper-evident package. Labels and packages of adult-use and/or medical cannabis products shall, at minimum, meet the requirements specified under Business and Professions Code Sections 26106 and 26120 and other applicable State laws.

X. All cannabis delivery vehicles shall:

1. Be equipped with, and utilize, a vehicle alarm system.

2. Have and utilize a direct communication system with the Retailer.

3. Keep all cannabis in a secure and locked container.

4. Have an internal partition between the driver and all passengers from the cannabis storage containers that prevents access by the driver and passengers to all cannabis products from inside the vehicle.

5. Not carry more cannabis than allowed by State law and required to fulfill all immediate delivery requests.

Y. Retailers must be compliant in the State mandated Seed-to-Sale Tracking system METRC.
(2) Retail Permit Applications. All applicants wishing to obtain a Retail Permit from 141
the City shall file an application with the City upon a form provided by the City and shall pay a Retail Permit application fee as established by the City. An applicant for a Retail Permit shall submit the following information with their application for a Retail Permit:

A. The address of the location for which the Retail Permit is sought, and number of delivery vehicles employed in the retail delivery of cannabis, if any. If delivery is proposed, a detailed delivery plan demonstrating how the applicant will comply with State and local delivery requirements must be included.

B. A site plan and floor plan for the proposed premises denoting the use of all areas on the premises, including storage, dispensing and delivery areas, lighting, signage, ingress and egress points and security camera locations. The site plan shall also show the odor control measures that will be installed and information regarding the effectiveness of those measures shall accompany the site plan.

C. A proposed security plan in compliance with the retail operating standards in this Section.

D. The name and address of the owner and lessor of the real property upon which the Retailer is proposed to be located. In the event the applicant is not the legal owner of the property, the application must be accompanied with a notarized acknowledgement from the owner of the property that a cannabis Retailer may be operated on the property.

E. Proof of the nature of the applicant’s organizational status, such as articles of incorporation, by-laws, organizational minutes, partnership agreements, and other documentation that may be required by the City to verify the ownership of the applicant.

F. Written authorization for the City Manager or the City Manager's designee to verify the information contained in the application and to conduct a background check on all “owners” (as defined by MAUCRSA) of the applicant.

G. Any such additional and further information as is deemed necessary by the City Manager or the City Manager's designee to administer this Section.

H. A statement in writing by the applicant that the applicant certifies under penalty of perjury that all the information contained in the application is true and correct. (3) Retail Permit Issuance, Transfer, Renewal.

A. A Retail Permit will not be awarded to an applicant if:

1. The applicant made one or more false or misleading statements or omissions in the application or during the application process.

2. The proposed Retailer is not allowed by State or local law.

3. The applicant is not a legal representative of the Retailer. 142

4. Any “owner” of the applicant has been convicted of a felony, or a misdemeanor involving moral turpitude, or the illegal use, possession, distribution, transportation, or any such similar activity related to controlled substances, with the exception of cannabis-related offenses for which the conviction occurred prior to passage of Compassionate Use Act. A conviction within the meaning of this Section means a plea or verdict of guilty or a conviction following a plea of nolo contendere.

5. The applicant has engaged in unlawful, fraudulent, unfair, or deceptive business acts or practices.

6. The application and accompanying materials demonstrates that the applicant would not comply with one or more of the requirements of this Section.

7. The cannabis Retailer is proposed to be located at a premises within 600 feet of a school, public playground or park, child care or day care facility, youth center. All distances shall be measured in a straight line, without regard to intervening structures, from the nearest point of the building or structure in which the cannabis Retailer is, or will be located, to the nearest property line of those uses described in this Subsection.

B. A Retail Permit is subject to any additional conditions that may be applied by the City at the time of issuance or renewal as necessary to properly regulate the retail activities and to protect the public.

C. Before a Retail Permit will be issued to an applicant, Retail Permit fees must be paid to offset all foreseeable regulatory costs to the City for all retail related operations.

D. A Retail Permittee shall:

1. Carry liability insurance in the amounts and types set by the City Manager or the City Manager's designee, and name the City as an additional insured on all such insurance policies.

2. Execute an Indemnification Agreement prepared by the City that fully indemnifies the City for all liabilities associated with the Retail Permit, the Retail Permittee's cannabis related activities, and any action taken by the Retail Permittee pursuant to this Section.

3. Defend the City, at the Retail Permittee's sole expense, in any action against the City or its agents, officers, or employees associated with the Retail Permit, the Retail Permittee's cannabis-related activities, or any action taken by the Retail Permittee pursuant to this Section. The City may, at its sole discretion, participate in the defense of any such action, but such participation shall not relieve the Retail Permittee of its indemnification and reimbursement obligations.

4. Reimburse the City for all costs, expenses, fees, and attorneys' fees incurred by the City related to any action against the City or its agents, officers, or employees associated with the Retail Permit, the Retail Permittee's cannabis related activities, or any action taken by the Retail Permittee pursuant to this Section.
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E. Subsequent to the issuance of a Retail Permit, the Retail Permittee shall report any change of ownership in the business to the City. A change of ownership that solely involves a previously approved owner no longer being an owner of the cannabis business shall be reported to the City within thirty days of the change. A change in ownership that involves adding a new owner to the previously approved ownership, or a transfer of the Retail Permit to a new ownership group, must be approved by the City in advance. All proposed new owners must submit to a background check. The City shall approve the change in ownership unless one or more of the grounds to deny a retail permit listed in Subsection A above are present.

F. A Retail Permit shall expire and be null and void 12 months after issuance to the Retail Permittee unless properly renewed. Upon payment of the applicable Retail Permit fees, and passing any requisite retail inspections, a Retail Permittee that is fully operational and engaging in retail sales to the public shall be entitled to renew their Retail Permit, provided that the permittee maintained compliance with all City, State, and other applicable cannabis and business-related laws during the term of their permit, and subject to all prevailing laws at the time of renewal. A Retail Permittee that is not fully operational and engaging in retail sales to the public may apply for a renewal of their Retail Permit but a renewal shall only be approved if the City finds that there is good cause for the permittee’s failure to be fully operational.

G. To the fullest extent permitted by law, the City does not assume any liability, and expressly does not waive sovereign immunity, with respect to any cannabis retail activities, or for the activities of any cannabis Retailer.
(e) Enforcement.
(1) Any cannabis retail activities within the City in violation of this Section are hereby declared to be unlawful and a public nuisance.
(2) Any party who engages in any violation of this Section, or who owns, possesses, controls, or has charge of any parcel of real property in the City upon which a violation of the Section is maintained, shall be subject to the penalties and remedies provided by this Section. (3) Any violation of this Section shall constitute a separate offense for each and every day the violation occurs or persists.
(4) Any person in violation of any provision of this Section shall be guilty of a misdemeanor and shall be punishable by a fine of up to $1,000 and up to six months imprisonment per offense per day.
(5) Any person in violation of any provision of this Section shall be punishable by an administrative fine of up to $1,000 per offense per day. Aggregate daily fines shall not exceed $10,000.00 per day if administrative fines are imposed immediately without prior issuance of a Notice of Violation.

If the City imposes fines immediately without prior issuance of a Notice of Violation, the property owner or their agent shall have 5 days in which to submit evidence to the City of the following: i) a tenant is in possession of the property, ii) the rental or lease agreement with the 144
tenant prohibits commercial cannabis activity, and iii) the property owner or agent did not know the tenant was engaging in illegal commercial cannabis activity and no complaint, property inspection, or other information alerted the rental property owner or agent to the illegal commercial cannabis activity.

The City Manager or their designee must determine whether the evidence submitted by the property owner or rental agent proves items i, ii, and iii above to be true. If the City Manager or their designee so finds, the City will suspend the fines and provide the property owner or their agent with 10 days to remedy the violations before fines are reinstated. (6) Any violation of this Section or any other City or State cannabis law by a Retail Permittee is grounds for revoking the relevant Retail Permit. In addition, the City Manager or the City Manager's designee may revoke a Retail Permit if any of the following occur subject to a reasonable opportunity for the Retail Permittee to cure the deficiency during a period of no more than 30 days:

A. The City Manager or the City Manager's designee determines that the cannabis Retailer has failed to comply with this Section, any condition of approval, or any agreement or covenant as required pursuant to this Section.

B. Ownership of the Retailer is changed or transferred to a third party, without prior City approval.

C. The Retailer fails to maintain 120 hours of security recordings.

D. The Retailer fails to provide remote access to the security cameras to the City Manager, the City Manager's designee, or law enforcement, or fails to allow inspection of the security recordings, the activity logs, or of the premises by authorized City officials. (7) Any decision regarding the revocation of a Retail Permit may be appealed to an independent neutral third party administrative hearing officer appointed by the City Manager or the City Manager's designee ("Hearing Officer"). Said appeal shall be made by a notice of appeal from the person appealing within 15 days from the date of the decision to revoke the Retail Permit. The appeal shall be accompanied by a written verified declaration setting forth the basis for the claim that the Retail Permit was improperly revoked. The Hearing Officer's decision shall be final and binding upon the City and the appellant.
(8) These penalties and remedies are cumulative, and in addition to any other penalties and remedies available to the City.
145

CITY COUNCIL AGENDA REPORT
| A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: May 8, 2024
TO: Honorable Mayor and City Council Members
FROM:

BY:

Jessie Flores, City Manager
Brenda Lopez, CMC, City Clerk
SUBJECT: CONSIDERATION OF AMENDMENT NO.5 TO THE PROFESSIONAL CONSULTANT

SERVICES AGREEMENT WITH LOCAL EQUITY LLC TO EXTEND THE CONTRACT TERM TWELVE MONTHS (THROUGH December 31, 2025) AND INCREASE TOTAL COMPENSATION.

STAFF RECOMMENDATION:

Staff Recommends the City Council approve Amendment No. 5 to the Professional Consultant Services Agreement with Local Equity LLC to extend Section 3.1.2 Term on the attached Agreement for six (6) months with an increased compensation (due to increased services) of One Hundred Twelve Thousand Five Hundred Dollars ($112,500.00).

BACKGROUND:

On October 14, 2021, the City Manager entered into a Professional Consultant Services Agreement (“Agreement”) with Local Equity LLC to provide professional economic development consulting services for six months from October 1, 2021 through March 31, 2022. On March 29, 2022, the City Council approved the First Amendment to the Agreement, extending the services through August 31, 2022. On October 12, 2022, the City Council approved the Second Amendment to the Agreement, extending the services through February 28, 2023, and on March 23, 2023, the City Council approved the Third Amendment to the agreement, with the ability to authorize extra work where needed. The Fourth Amendment was approved and extended the agreement from September 1, 2023, through August 31, 2024.

The Fifth Amendment will extend the Term of the Agreement by six (6) months and shall commence on June 1, 2024, through December 31, 2024. The cost is Eighteen Thousand Seven Hundred Fifty Dollars ($18,750.00) per month. Under the Fifth Amendment, the Consultant shall receive One Hundred Twelve Thousand Five Hundred Dollars ($112,500.00) in total compensation. The increase is due to the increased services to the City and APUA. 146
The approved contract provided that Local Equity LLC would perform the following services:

ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE: Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

City: Technical Assistance and Financial Capacity Increase Local Equity will provide the following support to the City of Adelanto. • Client Attraction:
- Participation in meetings with large corporations that want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city’s goals and objectives.
• Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets. - Engage with County, State, and Federal government to position projects for grants/loan support.
- Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. • Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Local Equity estimates the scope of this work at an average of 30 hours/week.

Adelanto Public Utility: CIP & Management Support
- Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance improvements and collaboration in the area of water and sewer infrastructure. This may include:
- Grant Application and management
- Special district formation
- Feasibility analysis and masterplans
- Sewer and water capacity increase & optimization
- Coordination with Engineering and third party consultants Local Equity estimates the scope of this work at an average of 60 hours/week.

Developer/Investor Support – Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto or Adelanto Public 147
Utility Authority.)
Information on Local Equity LLC is below:

Dr. Gil Keinan is experienced and qualified to provide professional consulting services as it relates to real estate finance and economic development. Dr. Keinan is the Managing Director of Local Equity LLC, an economic development organization and finance lender that provides financial solutions to community priority projects in the Inland Empire and the Central Coast. Dr. Keinan also co-founded HObsequio, a hotel asset management and advisory firm. He previously served as FUSE Executive Fellow with the County of San Bernardino, leading efforts to attract investment into 57 low-income Opportunity Zone census tracts.

Dr. Keinan’s background includes expertise in real estate with known management and investment firms. His hands-on operational insights from Four Seasons Hotels, coupled with strong comfort in marketing, management, development and value creation in private equity, enabled him to lead complicated deals to successful exits. Overall, Dr. Keinan provided leadership to over $2 billion in asset management and supported over $1 billion in transaction volume.

Dr. Keinan studied the impact of management groups on hotel sales value as part of his doctoral dissertation research at Pepperdine University. He received his M.B.A. from the University of San Francisco, and is a graduate of the University of Surrey (United Kingdom) School of Hospitality Management.

Dr. Keinan is frequently contacted as a resourceful leader for input on multiple non-profits, industry groups, and academia. He serves on the board of directors of the Neighborhood Housing Services of Inland Empire, is a member of the National Real Estate Investor Association, Discover Inland Empire Tourism Association, California Association of Local Economic Development, the American Real Estate Society, Urban Land Institute, and the Hospitality Asset Managers Association. His greatest strength is his ability to creatively untangle ‘hairy’ situations, while building long lasting relationships that provide value to his employees, clients, and partners. He has lived in seven countries and speaks multiple languages and enjoys discussing the intersection of macro- and micro-economic trends.

Dr. Gil Keinan has been instrumental in the Civic Center Campus Development, economic development projects and valuable with grants qualifications. To continue the on-going progress and build upon these achievements, it is recommended to amend the Master Agreement to extend the Term and increase compensation.

FISCAL IMPACT:

The total cost of Amendment No. 5 is $ 112,500.00 and will be included in the budget. Based on an estimation of the amount of work spent on City matters and APUA matters, one third of the $112,500.00 amount is being paid by the City and two-thirds is being paid by the APUA. 148
ATTACHMENTS:

1. Fifth Amendment to Professional consultant Service Agreement

2. Fourth Amendment to Professional Consultant Service Agreement

3. Third Amendment to Professional Consultant Service Agreement

4. Second Amendment to Professional Consultant Service Agreement

5. First Amendment to Professional Consultant Service Agreement

6. Master Agreement

7. Local Equity LLC Scope of Services
149

CITY OF ADELANTO/ADELANTO PUBLIC UTILITY AUTHORITY
AMENDMENT NO. 5 TO
PROFESSIONAL SERVICES AGREEMENT – LOCAL EQUITY, LLC
This is Amendment No. 5 (“Amendment No. 5”) to that certain Professional Service Agreement – (“Agreement”) made on May 14, 2024, between the City of Adelanto (“City”) and Local Equity, LLC (“Consultant”) and the four amendments thereto. The Adelanto Public Utility Authority is an additional party to this Agreement and is included within the definition of City within the Agreement. This Amendment No. 5 is made and entered into on May 8, 2024, to extend the term of the Agreement for six additional months.

1. Capitalized terms used but not defined in this Amendment No. 5 shall have the meanings ascribed to them in the Agreement.

2. Section 3.1.2, “Term of Services” is amended to add the following language at the end of Section 3.1.2 to read as follows:

3.1.2. Term of Services. The term of this Amendment No. 5 to this Agreement shall begin on June 1, 2024, and shall end on December 1, 2024, unless the term of the Agreement is otherwise terminated or extended as provided for in the Agreement. The time provided to Consultant to complete the services required by this Agreement shall not affect the City's right to terminate the Agreement, as provided for in the Agreement.

3. SECTION 3.3.1, “Compensation” is amended to add the following language at the end of Section 3.3.1 to read as follows:

SECTION 3.3.1 COMPENSATION.

City hereby agrees to pay Consultant a sum not to exceed ONE HUNDRED TWELVE THOUSAND FIVE HUNDRED DOLLARS ($112,500.00) notwithstanding any contrary indications that may be contained in Consultant’s proposal, for the Services to be performed under this Agreement from June 1, 2024, to December 1, 2024. In the event of a conflict between this Agreement and Exhibit A, regarding the amount of compensation, this Agreement shall prevail. City shall pay Consultant for the Services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to Consultant for the Services rendered pursuant to this Agreement. Contractor shall submit all invoices to City in the manner specified herein. Except as specifically authorized in advance by City, 150
AMENDMENT NO. 1
Consultant shall not bill City for duplicate services performed by more than one person.

The compensation is EIGHTEEN THOUSAND SEVEN HUNDRED FIFTY DOLLARS ($18,750.00) per month.

4. Exhibit A, “Scope of Services” is supplemented to include the below language. The supplement to the “Scope of Services” is not intended to replace the original Exhibit A to the Agreement, but instead to augment and increase the scope of work listed in the original Exhibit A to the Agreement and is amended to read as follows:

ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto and the Adelanto Public Utility Authority to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

City: Technical Assistance and Financial Capacity Increase Local Equity will provide the following support to the City of Adelanto. • Client Attraction:
- Participation in meetings with large corporations that want to invest in the city.
- Support the city with direct marketing efforts to corporations that are a fit with the city’s goals and objectives.
• Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets. - Engage with County, State, and Federal government to position projects for grants/loan support.
- Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested.
• Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Local Equity estimates the scope of this work at an average of 30 hours/week.

Adelanto Public Utility Authority: CIP & Management Support Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance improvements and collaboration in the area of water and sewer infrastructure.

This may include:
151
AMENDMENT NO. 1
• Grant Application and management
• Special district formation
• Feasibility analysis and masterplans
• Sewer and water capacity increase & optimization
• Coordination with Engineering and third party consultants Local Equity estimates the scope of this work at an average of 60 hours/week.

Developer/Investor Support – Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto/APUA).

5. All other terms and conditions of the Agreement remain in full force and effect.

6. This Amendment No. 5 may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.

IN WITNESS WHEREOF, the Parties hereto have executed and entered into this Agreement as of the Effective Date.

CITY OF ADELANTO
____________________________
Jessie Flores, City Manager
Attest:
____________________________
Brenda Lopez, City Clerk
Approved as to Form:
____________________________
Todd Litfin, City Attorney

CONTRACTOR
______________________________

ADELANTO PUBLIC UTILITY

AUTHORITY
____________________________
Jessie Flores, Executive Director
152
AMENDMENT NO. 1
Attest:
____________________________
Brenda Lopez, Clerk
Approved as to Form:
____________________________
Todd Litfin, General Counsel
153

CITY OF ADELANTO
AMENDMENT NO. AMENDMENT #4 TO

PROFESSIONAL CONSULTANT SERVICES AGREEMENT
This is Amendment No. 4 ("Amendment No.4") to that certain PROFESSIONAL CONSULTANT SERVICES AGREEMENT ("Agreement -) made on (14 TH Day Of October, 2021) between the City of Adehmto ("City") and [Local Equity LLC3 ("Consultant"), which this Amendment No. 4 is made and entered into on 23r d Day of August, 2023 to extend the professional C.CODOmille development consulting services, increase the scope of work and increase the compensation amount:

I. Capitalized terms used but not defined in this Amendment No. 4 shall have the meanings ascribed to them in the Agreement.

2. 3.12, "Scope of Services and Term" is amended to read as follows:

Term of Services. The term of this Agreement shall begin on September 1, 2023 and shall end on August 31,2024 unless the tenn of the Agreement is otherwise terminated or extended as provided for in Section 3.6.1. The time provided to [Con.sultant/Coniractorl to complete the services required by this Agreement shall not affect the City's right to terminate the Agreement, as provided for in Section

3.6.1. SECTION 2, "Compensation" is amended to read as follows, increasing the contract amount by: One Hundred Fifty Thousand dollars ($150,000.00) or approximately twelve thousand five hundred dollar ($12,500.00) per month.

SECTION 2., COMPENSATION.

City hereby agrees to pay [Consultant] a sum not to exceed Three Hundred and Thirty Thousand dollars ($330,000.00) notwithstanding any contrary indications that may be contained in [Consultantl's proposal, for the Services to be performed payment specified below shall be the only payments from City to [Consultant) for the Services rendered pursuant to this Agreement. Consultant shall submit all invoices to City in the manner specified herein. Except as specifically authorized in advance by City, Consultant shall not bill City for duplicate services performed by more than one person. 154
Date: C?:, • 7-f% • '73:1#1-:

CITY: CONSULTANT:

CRY OF ADBANTO LOCAL EQUITY, LILC
Date: Ns olS : aZ02:2›
APPROVED AS TO FORM:

Todd Utfin, Oty Attorney
Date:e12/2 3
AMENDMENT NO. 4
155
EMMETT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers end developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

Technical Assistanat and Financial Capacity increase
Local Equity will provide the following support to the City of AdeJanto.

Cileht Attraction:

Participation in meetings with large corporations that want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city's goals and objectives.
• Project Pinandng:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This indudes City owned infrastructure assets.
- Engage with local lenders and philanthropy to ascertain the levefof interest and assemble a debt/equity target group for specific projects.
- Support the city in the development and improvement of the Wastewater facility - Engage with County, State, and Federal government to position projects for grants/loan support Collaborate with CDFIs, CDEs, and other NGOs on alternative financing - Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. • Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Based on current discussions, Local Equity estimates the scope of this work at an average of 30 hours/week.
• Water/sewer scope:
• Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance Improvements and collaboration in the area of water and sewer infrastructure. This may include:
- Grant Application and management
- Special district formation
• Feasibility analysis and rnasterplans
George Air Force Base Plume
Sewer and water capacity increase
Developer/Investor Support - Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the cheat (The City of Adelanto) 156
Exhibit A, "Scope of Service? is supplemented to include the supplement attached as Exhibit A hereto_ The supplement to the "Scope of Service? is nut intended to replace the original Exhibit A to the Agreement, but instead to augment and increase the scope of work listed in the original Exhibit A to the Agreement The initial paragraph of the original Exhibit A, "Scope of Service?, to the Agreement is amended to read as follows:
and reimbursable costs incurred under this Agreement In the event of a conflict between this Agreement and Exhibit A, regarding the amount of compensation, this Agreement sh.all prevail. City shall pay [Consultant] for the Services rendered pursuant to this Agreement at the time and in the manner set forth herein. The

EXHIBIT A

SCOPE OF SERVICES
Consultant %hall provide PROFESSIONAL CONSULTANT SERVICES in the amount not to exceed THREE HUNDRED THIRTY HOUSAND DOLLARS ($330,000.00) as further detailed in the following page(s).

3. All other tenns and conditions of the Agreement remain in full force and effect.

4. This Amendment No. 4 may be executed in multiple counterparts, each of vidiich shall be an original and all of which together shall constitute one agreement. (Signatures oit Following Page)
157
1 2023

THIRD AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT
(Engagement: Professional Economic Development Consulting Services) (Parties: City of Adelanto and Local Equity, LLC)
THIS THIRD AMENDMENT (hereinafter, “Third Amendment”) to that certain agreement entitled “Professional Services Agreement”, dated October 14, 2021 (hereinafter, “Master Agreement”), is hereby made and entered into this 22nd day of March, 2023 (hereinafter, “Effective Date”), by and between CITY OF ADELANTO, a municipal corporation (hereinafter, “City”) and LOCAL EQUITY, LLC (hereinafter, “Consultant”). For purposes of this Third Amendment, the capitalized term “Parties” shall be a collective reference to both City and Consultant. The capitalized term “Party” may refer to either City or Consultant interchangeably, as appropriate.

RECITALS
This Third Amendment is made and entered into with respect to the following facts:

WHEREAS, on October 14, 2021, the Parties executed and entered into the Master Agreement for Consultant to provide professional economic development consulting service for six months from October 1, 2021 to March 31, 2022 for a total not exceeding thirty thousand dollars ($30,000.00) or approximately five thousand dollars ($5,000) per month; and WHEREAS, the Master Agreement was later amended by way of a first amendment (hereinafter “First Amendment”), and approved by the City Council of the City of Adelanto (“City Council”) at its Regular Meeting of March 29, 2022, to expand the general Scope of Services, extend the Term by five months from April 1, 2022 to August 31, 2022, and to increase the overall compensation by a total not exceeding thirty thousand dollars ($30,000.00) or approximately six thousand dollars ($6,000.00) per month; and
WHEREAS, the Master Agreement was later amended by way of a second amendment (hereinafter “Second Amendment”), and approved by the City Council of the City of Adelanto (“City Council”) at its Regular Meeting of October 12, 2022, to expand the general Scope of Services, extend the Term by six (6) months from September 1, 2022 to February 28, 2023, and to increase the overall compensation by a total not exceeding sixty thousand dollars ($60,000.00) or approximately ten thousand dollars per month; and

WHEREAS, for purposes of this Third Amendment, the Master Agreement as amended by way of the First and Second Amendment, may be referred to collectively as the “Master Agreement.” The Master Agreement is attached and incorporated hereto as Exhibit “A”; and WHEREAS, the Parties now wish to further extend the Term and further increase the compensation; and
WHEREAS, under the terms of the Master Agreement, City agreed to pay Consultant a total Not-to-Exceed Sum of ONE HUNDRED TWENTY THOUSAND DOLLARS ($120,000) for all work contemplated under the Master Agreement (hereinafter, “Not-to-Exceed Sum”); and WHEREAS, the Parties wish to increase the total Not-to-Exceed Sum of ONE HUNDRED 158
2 TWENTY THOUSAND DOLLARS ($120,000) by SIXTY THOUSAND DOLLARS ($60,000), for a new total Not-to-Exceed Sum of ONE HUNDRED EIGHTY THOUSAND DOLLARS ($180,000) to cover the extended term of the Agreement.

NOW, THEREFORE, in consideration of the mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties agree as follows:

SECTION 1. Section 3.1.2 (TERM) of the Master Agreement is further amended to extend the Term of the Agreement for an additional six (6) months commencing as of March 1, 2023 through August 31, 2023.

SECTION 2. Section 3.3.1 (COMPENSATION) of the Master Agreement is hereby amended in its entirety to read as follows:

Consultant shall receive compensation, excluding authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit “B” which is attached and incorporated hereto. The total compensation shall not exceed a monthly notto-exceed amount of Ten Thousand Dollars ($10,000) (hereinafter “Monthly Not-toExceed”) for a total not-to-exceed compensation of One Hundred Eighty Thousand Dollars ($180,000) (hereinafter “Total Compensation”).

SECTION 3. Except as otherwise set forth in this Third Amendment, the Master Agreement as previously amended by way of the First and Second Amendment shall remain binding, controlling, and in full force and effect. Section 3.6.6 of the Master Agreement notwithstanding, this Third Amendment together with the Master Agreement and the First and Second Amendment, shall constitute the entire, complete, final, and exclusive expression of the Parties with respect to the matters addressed in both documents. In the event of a conflict or inconsistency between the provisions of this Third Amendment, including any and all attachments to this Third Amendment and the provisions of the Master Agreement or the First and Second Amendment, the provisions of the Third Amendment shall govern and control but only to the extent of the conflict and no further.

SECTION 4. The provisions of this Third Amendment shall be deemed a part of the Master Agreement as previously amended by way of the First and Second Amendment and except, as otherwise provided under this Third Amendment, the Master Agreement as previously amended by way of the First and Second Amendment, and all provisions contained therein shall remain binding and enforceable.
[SIGNATURES ON NEXT PAGE]

159
3 IN WITNESS WHEREOF, the Parties hereto have caused this Third Amendment to be executed on the day and year first appearing above.

CITY:

CITY OF ADELANTO
By:__________________________________
Jessie Flores, City Manager
Date:

APPROVED AS TO FORM:

By:__________________________________
Marc Tran, City Attorney
Date:

CONSULTANT:

LOCAL EQUITY, LLC
By:_____________________________
Name:_________________________
Title: ___________________________
Date:

160
4 EXHIBIT “A”

MASTER AGREEMENT
161
1 2022

SECOND AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT
(Engagement: Professional Economic Development Consulting Services) (Parties: City of Adelanto and Local Equity, LLC.)
THIS SECOND AMENDMENT (hereinafter, “Second Amendment”) to that certain agreement entitled “Professional Services Agreement”, dated October 14, 2021 (hereinafter, “Master Agreement”), is hereby made and entered into this 12th day of October, 2022 (hereinafter, “Effective Date”), by and between CITY OF ADELANTO, a municipal corporation (hereinafter, “City”) and LOCAL EQUITY, LLC. (hereinafter, “Consultant”). For purposes of this Second Amendment, the capitalized term “Parties” shall be a collective reference to both City and Consultant. The capitalized term “Party” may refer to either City or Consultant interchangeably, as appropriate.

RECITALS
This Second Amendment is made and entered into with respect to the following facts:

WHEREAS, on October 14, 2021, the Parties executed and entered into the Master Agreement for Consultant to provide professional economic development consulting services; and WHEREAS, the Master Agreement was later amended by way of a first amendment (hereinafter, “First Amendment”), and approved by the City Council of the City of Adelanto (“City Council”) at its Regular Meeting of March 29, 2022, to extend the Term and expand the Compensation; and
WHEREAS, for purposes of this Second Amendment, the Master Agreement as amended by way of the First Amendment, may be referred to collectively as the “Master Agreement.” The Master Agreement is attached and incorporated hereto as Exhibit “A”; and WHEREAS, the Parties now wish to further extend the Term; and WHEREAS, under the terms of the Master Agreement, City agreed to pay Consultant a total Not-to-Exceed Sum of SIXTY THOUSAND DOLLARS ($60,000) for all work contemplated under the Master Agreement (hereinafter, “Not-to-Exceed Sum”); and WHEREAS, the Parties wish to increase the total Not-to-Exceed Sum of SIXTY THOUSAND DOLLARS ($60,000) by SIXTY THOUSAND DOLLARS ($60,000), for a new total Not-to-Exceed Sum of ONE HUNDRED TWENTY THOUSAND DOLLARS ($120,000) to cover the extended term of the Agreement.

NOW, THEREFORE, in consideration of the mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties agree as follows:

SECTION 1. Section 3.1.2 (TERM) of the Master Agreement is further amended to extend the Term of the Agreement for an additional six (6) months commencing as of September 1, 2022 through February 28, 2023.
162
2 SECTION 2. Section 3.3.1 (COMPENSATION) of the Master Agreement is hereby amended in its entirety to read as follows:

Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement. The total compensation shall not exceed a monthly not-to-exceed amount of TEN THOUSAND DOLLARS ($10,000) (hereinafter “Monthly Not-to-Exceed”) for a total not-to-exceed compensation of ONE HUNDRED TWENTY THOUSAND DOLLARS ($120,000) (hereinafter “Total Compensation”).

SECTION 3. Except as otherwise set forth in this Second Amendment, the Master Agreement as previously amended by way of the First Amendment shall remain binding, controlling, and in full force and effect. Section 3.6.6 of the Master Agreement notwithstanding, this Second Amendment together with the Master Agreement and the First Amendment, shall constitute the entire, complete, final, and exclusive expression of the Parties with respect to the matters addressed in both documents. In the event of a conflict or inconsistency between the provisions of this Second Amendment, including any and all attachments to this Second Amendment and the provisions of the Master Agreement or the First Amendment, the provisions of the Second Amendment shall govern and control but only to the extent of the conflict and no further.

SECTION 4. The provisions of this Second Amendment shall be deemed a part of the Master Agreement as previously amended by way of the First Amendment and except, as otherwise provided under this Second Amendment, the Master Agreement as previously amended by way of the First Amendment, and all provisions contained therein shall remain binding and enforceable.
[SIGNATURES ON NEXT PAGE]
163
3 IN WITNESS WHEREOF, the Parties hereto have caused this Second Amendment to be executed on the day and year first appearing above.

CITY:

CITY OF ADELANTO
By:__________________________________
Jessie Flores, City Manager
Date:

APPROVED AS TO FORM:

By:__________________________________
Marc Tran, City Attorney
Date:

CONSULTANT:

LOCAL EQUITY, LLC.

By:_____________________________
Name:_________________________
Title: ___________________________
Date:
164
4 EXHIBIT “A”

MASTER AGREEMENT
165
FIRST AMENDMENT TO PROFESSIONAL CONSUTA_NT SERVICES AGREEMENT THIS FIRST AMENDMENT (hereinafter, "First Amendment") to that "Professional Consultant Services Agreement" dated October 14, 2021 (hereinafter, the "Master Agreement") by and between the CITY OF ADELANTO. a California municipal corporation (hereinafter, "City") and LOCAL EQUITY LLC, a California Limited liability Company (hereinaller, "Consultant"), is hereby made and entered into this 21' day of March, 2022 ("Effective Date").

For purposes of this First Amendment, the capitalized term "Parties" shall be a collective reference to both City and Consultant. The term "Party" may refer to either City or Consultant, interchangeably as appropriate.

RECITALS
This FIRST AMENDMENT is made and entered into with respect to the following facts:

WHEREAS, on October 14, 2021, the Parties executed and entered into the Master Agreement for Consultant to provide professional economic development consulting services according to the terms and conditions set forth in the Master Agreement terminating on March 31, 2022; and
WHEREAS, the Master Agreement is attached and incorporated hereto as Exhibit "A" and amended by way of this First Amendment; and
WHEREAS, the Parties further wish to amend the Master Agreement to extend the term and increase compensation.

AGREEM VILL
NOW, THEREFORE, in consideration of the mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties agree as follows:

I Recitals. The preceding recitals are hereby incorporated herein by this reference and are expressly made as covenants of this Agreement. The foregoing recitals arc true and correct.

2. Term. The Parties hereby amend Section 3.1.2 of the Master Agreement to read as follows:

The First Amendment shall add the following paragraph number two (2) to read as follows:

The term of this Agreement shall be extended five (5) months by the First Amendment to the Master Agreement and shall commence on April 1, 2022 to August 31, 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other 166
established schedules and deadlines.

Therefore, the Master Agreement shall read in its entirety as follows:

The term of this Agreement shall be from October 1, 2021 to March 31, 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

The term of this Agreement shall he extended five (5) months by the First Amendment to the Master Agreement and shall commence on April 1, 2022 to August 31, 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3. Compensation. The Parties hereby amend Section 3.3.1 of the Master Agreement to read as follows:

The First Amendment shall add the following paragraph number two (2) to read as follows:

Consultant shall receive compensation, including authorized reimbursements, for all Services performed under this Agreement at the same monthly retainer fee of Six Thousand Dollars ($6,000) per month. Under the First Agreement, the Consultant shall receive Thirty Thousand Dollars ($30,000) in compensation. The total compensation not-to-exceed amount under both the Master Agreement and the First Amendment is Sixty Thousand Dollars ($60,000). Extra work may be authorized, as described in the Master Agreement, and if authorized, will be compensated at the rates and manner set forth in the Master Agreement.

Therefore, the Master Agreement shall read in its entirety as follows:

Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at rates set forth in Exhibit "B" attached hereto and incorporated by reference. The total compensation shall not exceed Thirty Thousand Dollars ($30,000) without written approval of the City Council or City Manager as applicable. Extra work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

Consultant shall receive compensation, including authorized reimbursements, for all Services performed under this Agreement at the same monthly retainer te-e of Six Thousand Dollars ($6,000) per month. Under the First Agreement, the Consultant shall receive Thirty Thousand Dollars ($30,000) in compensation. The total compensation not-to-exceed amount under both the Master Agreement and the First Amendment is Sixty Thousand Dollars ($60,000). Extra work may be -2-
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authorized, as described in the Master Agreement, and if authorized, will be compensated at the rates and manner set forth in the Master Agreement. 4 Entire Agreement. The Master Agreement, together with this First Amendment, embodies the entire understanding between Consultant and City with respect to its subject matter and can be changed only by an instrument in writing signed by Consultant and City.

5. Effect of Amendment. The term "Agreement" when used in this First Amendment or the Master Agreement shall mean the Master Agreement as amended, modified, and supplemented by this First Amendment unless the context would require otherwise. Except to the extent the Master Agreement is modified by this First Amendment, the remaining terms and conditions of the Master Agreement shall remain unmodified and in full force and effect. In the event of conflict, between the terms and conditions of the Master Agreement and the terms and conditions of this First Amendment, the terms and conditions of this First Amendment shall prevail and control.
[SIGNATURES ON FOLLOWING PAGE]
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IN WITNESS WHEREOF, this First Amendment has been executed as of the day and year first set forth above.

CITY OF ADELANTO: LOCAL EQUITY LLC:

Gabriel Reyes, Mayor (ill Kellum, President
Date: March 29, 2022 Date: la 3 /10200/Z
ATTEST:
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Brenda Lopez
City Clerk
Date: March 29, 2022
APPROVED AS TO FORM:

M• rc Tran, City Attorney
Olivarez Madruga Lemieux O'Neill
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N1AS1ER AGREENIENT
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CITY OF ADELANTO

PROFESSIONAL CONSULTANT SERVICES AGREEMENT

1. PARTIES AND DATE.

This Agreement is made and entered into this 14th day of October, 2021, by and between the City of Adelanto, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 11600 Air Expressway, Adelanto, CA 92301 ("City") and Local Equity LLC a Limited Liability Company, with its principal place of business at 603 N. Euclid Avenue Ontario, CA 91762 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. RECITALS.

2.1 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional economic development consulting services required by the City on the terms and conditions set forth in this Agreement. Consultant represents that it is experienced in providing professional economic development services, and is familiar with the plans of the City.

2.2 Project.

City desires to engage Consultant to render such professional economic development consulting services for the communications by the City with residents and the public ("Project") as set forth in this Agreement,

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to hilly and adequately supply the professional public affairs and creative communication support services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term. The term of this Agreement shall be from October 1, 2021 to March 31. 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3.2 Responsibilities of Consultant.

3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing 1 OMLO: October 2018
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the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, nor any of its officials, officers, directors, employees , or agents shall have control over the conduct of Consultant or any of Consultant's officers, employees, or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance.

3.2.2 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City.

Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement is as follows: Mr. Gil Keinan.

3.2.3 3.2.4 City's Representative. The City hereby designates Jessie Flores, City Manager, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the Scope of Work or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City’s behalf and to execute all necessary documents which enlarge the Scope of Work or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.2.5 Consultant's Representative. Consultant hereby designates Mr. Gil .

Keinan, President, or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.2.6 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times.

3.2.7 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services.

Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and 2 OMLO: October 2018
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subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.8 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If Consultant performs any work knowing it to be contrary to such laws, rules and regulations, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees, agents, and volunteers free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

3.2.9 Insurance.

3.2.9.1 l ime for Compliance. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Consultant shall not allow any subconsultant to commence work on any subcontract until it has provided evidence satisfactory to the City that the subconsultant has secured all insurance required under this section.

3.2.9.2 Types of Insurance Required. As a condition precedent to the effectiveness of this Agreement for work to be performed hereunder, and without limiting the indemnity provisions of the Agreement, the Consultant, in partial performance of its obligations under such Agreement, shall procure and maintain in full force and effect during the term of the Agreement the following policies of insurance. If the existing policies do not meet the insurance requirements set forth herein, Consultant agrees to amend, supplement or endorse the policies to do so.

Commercial General Liability:

Insurance which affords coverage at least as broad as Insurance Services Office "occurrence" form CG 0001, or the exact equivalent, with limits of not less than $1,000,000 per occurrence and no less than $2,000,000 in the general aggregate. Defense costs shall be paid inside the limits. The policy shall contain no endorsements or provisions (1) limiting coverage for contractual liability; (2) excluding coverage for claims or suits by one insured against another (cross-liability); or (3) containing any other exclusion(s) contrary to the terms or purposes of this Agreement.
(A) Commercial General Liability
Workers' Compensation/Employer’s Liability:

Compensation Insurance, as required by the State of California and Employer's Liability Insurance with a limit of not less than $1,000,000 per accident for bodily injury and disease. If Consultant has no employees or agents, Consultant shall not be required to maintain Workers’ Compensation Insurance. However, in the event that Consultant hires employees or agents during the term of this Agreement, Consultant shall obtain and maintain Workers’ Compensation/Employer’s Liability Insurance in accordance with this section. (B) Workers'
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Professional Liability (Errors & Omissions) Professional Liability insurance or Errors & Omissions insurance appropriate to Consultant’s profession with limits of not less than $1,000,000. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusionsthat may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least three (3) years from termination or expiration of this Agreement.
(C)

3.2.9.3 Insurance Endorsements. Required insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms approved by the City to add the following provisions to the insurance policies:
(A) Workers' Compensation:

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Waiver of Subrogation: A waiver of subrogation stating
that the insurer waives all rights of subrogation against the City, its officials, officers, employees, agents, and volunteers.
(2)
(B) Professional Liability (Errors & Omissions):

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Contractual Liability Exclusion Deleted: This insurance shall include contractual liability applicable to this Agreement. The policy must “pay on behalf of’the insured and include a provision establishing the insurer’s duty to defend. (2)

3.2.9.4 Primary and Non-Contributing Insurance. All policies of Commercial General Liability and Automobile Liability insurance shall be primary and any other insurance, deductible, or self-insurance maintained by the City, its officials, officers, employees, agents, or volunteers shall not contribute with this primary insurance. Policies shall contain or be endorsed to contain such provisions.

3.2.9.5 Waiver of Subrogation. All policies of Commercial General Liability and Automobile Liability insurance shall contain or be endorsed to waive subrogation against the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby grants to City a waiver of any right to subrogation which any insurer of said Consultant may acquire against the City by virtue of the payment of any loss under such insurance.

Consultant agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. Consultant shall require similar written express waivers and insurance clauses from each of its subconsultants.
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3.2.9.6 Deductibles and Self-Insured Retentions. Any deductible or self-insured retention must be approved in writing by the City and shall protect the City, its officials, officers, employees, agents, and volunteers in the same manner and to the same extent as they would have been protected had the policy or policies not contained a deductible or self-insured retention.

3.2.9.7 Evidence of Insurance. The Consultant, concurrently with the execution of the Agreement, and as a condition precedent to the effectiveness thereof, shall deliver either certified copies of the required policies, or original certificates on forms approved by the City, together with all endorsements affecting each policy. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for approval. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15 days) prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City.

If such coverage is cancelled or reduced and not replaced immediately so as to avoid a lapse in the required coverage, Consultant shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies.

3.2.9.8 Failure to Maintain Coverage. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced immediately so as to avoid a lapse in the required coverage, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement effective upon notice.

3.2.9.9 Acceptability of Insurers. Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and authorized to transact business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.

3.2.9.10 Enforcement of Agreement Provisions (non estoppel). Consultant acknowledges and agrees that actual or alleged failure on the part of the City to inform Consultant of noncompliance with any requirement imposes no additional obligation on the City nor does it waive any rights hereunder.

3.2.9.11 Requirements Not Limiting. Requirement of specific coverage or minimum limits contained herein are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. If the Consultant maintains higher limits than the minimums contained herein, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.

3.2.9.12 Claims Made Policies. If any of the required policies provide coverage on a claims-made basis:

The Retroactive Date must be shown and must be before the effective date of the Agreement or the beginning of work under this Agreement. (A)
(B) Such insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of all services under this Agreement. 5 OMLO: October 2018
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If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the effective date of the Agreement, the Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of all services under this Agreement.
(C)

3.2.9.13 Special Risks or Circumstances. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

3.2.9.14 Insurance for Subconsultants. Consultant shall include all subconsultants engaged in any work for Consultant relating to this Agreement as additional insureds under the Consultant's policies, or the Consultant shall be responsible for causing subconsultants to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements, including adding the City, its officials, officers, employees, agents, and volunteers as additional insureds to the subconsultant's policies.

All policies of Commercial General Liability insurance provided by Consultant’s subconsultants performing work relating to this Agreement shall be endorsed to name the City, its officials, officers, employees, agents and volunteers as additional insureds using endorsement form ISO CG 20 38 04 13 or an endorsement providing equivalent coverage. Consultant shall not allow any subconsultant to commence work on any subcontract relating to this Agreement until it has received satisfactory evidence of subconsultant’s compliance with all insurance requirements under this Agreement, to the extent applicable.

TheConsultant shall provide satisfactory evidence of compliance with thissection upon request ofthe City,

3.2.10 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, butshall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subconsultants, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and othersafety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

Consultant warrants that all employees and
subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies described in Section 3,2.12.2 of this Agreement. Consultant further warrants that it, its employees and subcontractors have or will receive adequate training, as determined by the City, regarding these requirements as they may relate to the Services.

3.2.10.1 Standard of Care.

3.3 Fees and Payments.

3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements,for all Services rendered under this Agreement at the rates set forth in Exhibit "B" attached hereto and incorporated herein by reference. The total compensation shall not exceed Thirty thousand dollars ($30,000.00) without written approval of the City Council or City Manager as applicable. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

3.3.2 Payment of Compensation. Consultant shall submit to City a monthly invoice which indicates work completed and hours of Services rendered by Consultant. The invoice shall describe 6 OMLO: October 2018
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the amount of Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the invoice. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges thereon. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein.

3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "B" of this Agreement.

3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.

Rate Increases. In the event that this Agreement is renewed pursuant to Section

3.1.2, the rate set forth in Exhibit “B” may be adjusted each year at the time of renewal as set forth in Exhibit “B”.

3.3.5 3.4 California Labor Code Provisions.

Prevailing Wage Law. Consultant is aware of the requirements of CaliforniaLabor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. Consultant shall obtain a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement from the website of the Division of Labor Statistics and Research of the Department of Industrial Relations located at www.dir.ca.gov/dlsr/. In the alternative, Consultant may view a copy of the prevailing rates of per diem wages at the City. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at theConsultant's principal place of business and at the project site. Consultant shall defend, indemnify and hold the City, its officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

3.4.1 3.4.2 Registration. If the services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations. Consultant shall maintain registration for the duration of the project and require the same of any subconsultants. This project may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations.

It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements.

3.5 Accounting Records.

Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant OMLO: October 2018

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to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.6 General Provisions.

3.6.1 Termination of Agreement.

3.6.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause.

3.6.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request.

3.6.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.6.1.4 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

Consultant: Gil Keinan
603 N, Euclid Ave.

Ontario, CA 91762
City: City of Adelanto
11600 Air Expressway
Adelanto, California 92301
Attn: Brenda Lopez, City Clerk
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address.

Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.
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3.6.2 Ownership of Materials and Confidentiality.

Documents & Data; Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). Consultantshall require all subconsultantsto agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement.

Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk.

3.6.2.1 3.6.2.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.6.2.3 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unlessthe City'slegal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the Release Notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of the Objection Notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.6.3 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney's fees and all other costs of such action.

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3.6.5 Indemnification.

3.6.5.1 counsel reasonably approved by the City), indemnify and hold the City, its officials, officers, employees, agents and volunteers free and harmless from any and all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, (collectively, “Claims’) in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all consequential damages, expert witness fees and attorneys’ fees and other related costs and expenses. Notwithstanding the foregoing, to the extent Consultant’s services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to Claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its officials, officers, employees, agents or volunteers.

Scope of Indemnity. To the fullest extent permitted by law, Consultant shall defend (with

3.6.5.2 Additional Indemnity Obligations. To the fullest extent permitted by law, Consultant shall defend, with counsel of City’s choosing and at Consultant’s own cost, expense and risk, any and all claims, suits, actions or other proceedings of every kind covered by Section 3.6.5.1 that may be brought or instituted against City or its directors, officials, officers, employees, volunteers and agents. Consultant shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, volunteers and agents as part of any such claim, suit, action or other proceeding. Consultant shall also reimburse City for the cost of any settlement paid by City or its directors, officials, officers, employees, agents or volunteers as part of any such claim,suit, action or other proceeding. Such reimbursement shall include payment for City's attorney'sfees and costs, including expert witness fees. Consultantshall reimburse City and its directors, officials, officers, employees, agents, and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials officers, employees, agents, or volunteers.

3.6.6 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties.

3.6.7 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in San Bernardino County.

3.6.8 Time of Essence. Time is of the essence for each and every provision of this Agreement.

3.6.9 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project.

3.6.10 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties.

3.6.11 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent 10 OMLO: October 2018
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of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.6.12 Construction: References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

3.6.13 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.6.14 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

3.6.15 No Third-Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.6.16 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in foil force and effect.

3.6.17 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

3.6.18 Kqual Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such nondiscrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted.

3.6.19 Labor Certification. By itssignature hereunder, Consultant certifiesthat it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.
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3.6.20 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

3.6.21 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.7 Subcontracting.

3.7.1 Prior Approval Required. Consultantshall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City.

Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

CITY OF ADELANTO LOCAL EQUITY LLC
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By: \ u By:
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#ieNrlores f
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Gil Keinan
President
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ATTEST:

By:

Brenda Lopez TJ
City Clerk
APPROVED AS TO FORM:

By:

Marc Tran
City Attorney
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EXHIBIT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

Technical Assistance and Financial Capacity Increase
Local Equity will provide the following support to the City of Adelanto. •Client Attraction:
- Participation in meetings with large corporationsthat want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city's goals and objectives.
•Natural Preservation and Mitigation:
- In collaboration with the city, work on preparation and mitigation strategies of the Joshua Tree. •Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets.
- Engage with local lenders and philanthropy to ascertain the level of interest and assemble a debt/equity target group for specific projects.
- Support the city in the development and improvement of the Wastewater facility - Engage with County, State, and Federal government to position projects for grants/ loan support.
- Collaborate with CDFIs, CDEs, and other NGOs on alternative financing - Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. •Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profitsto promote a healthy and collaborative support mechanism for project specific needs.

Based on current discussions, Local Equity estimates the scope of this work at an average of 30 hours/week.

Developer/Investor Support - Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto] 184
EXHIBIT "B"

COMPENSATION
Compensation not to exceed Thirty Thousand Dollars. ($30,000.00) Local Equity LLC fee amount of $30,000 billed at monthly retainer fee of $6,000 over a 5 month contract period from October 1, 2021 to February 28, 2022. 185
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CITY OF ADELANTO

PROFESSIONAL CONSULTANT SERVICES AGREEMENT

1. PARTIES AND DATE.

This Agreement is made and entered into this 14th day of October, 2021, by and between the City of Adelanto, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 11600 Air Expressway, Adelanto, CA 92301 ("City") and Local Equity LLC a Limited Liability Company, with its principal place of business at 603 N. Euclid Avenue Ontario, CA 91762 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. RECITALS.

2.1 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional economic development consulting services required by the City on the terms and conditions set forth in this Agreement. Consultant represents that it is experienced in providing professional economic development services, and is familiar with the plans of the City.

2.2 Project.

City desires to engage Consultant to render such professional economic development consulting services for the communications by the City with residents and the public ("Project") as set forth in this Agreement,

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to hilly and adequately supply the professional public affairs and creative communication support services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term. The term of this Agreement shall be from October 1, 2021 to March 31. 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3.2 Responsibilities of Consultant.

3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing 1 OMLO: October 2018
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the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, nor any of its officials, officers, directors, employees , or agents shall have control over the conduct of Consultant or any of Consultant's officers, employees, or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance.

3.2.2 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City.

Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement is as follows: Mr. Gil Keinan.

3.2.3 3.2.4 City's Representative. The City hereby designates Jessie Flores, City Manager, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the Scope of Work or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City’s behalf and to execute all necessary documents which enlarge the Scope of Work or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.2.5 Consultant's Representative. Consultant hereby designates Mr. Gil .

Keinan, President, or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.2.6 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times.

3.2.7 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services.

Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and 2 OMLO: October 2018
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subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.8 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If Consultant performs any work knowing it to be contrary to such laws, rules and regulations, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees, agents, and volunteers free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

3.2.9 Insurance.

3.2.9.1 l ime for Compliance. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Consultant shall not allow any subconsultant to commence work on any subcontract until it has provided evidence satisfactory to the City that the subconsultant has secured all insurance required under this section.

3.2.9.2 Types of Insurance Required. As a condition precedent to the effectiveness of this Agreement for work to be performed hereunder, and without limiting the indemnity provisions of the Agreement, the Consultant, in partial performance of its obligations under such Agreement, shall procure and maintain in full force and effect during the term of the Agreement the following policies of insurance. If the existing policies do not meet the insurance requirements set forth herein, Consultant agrees to amend, supplement or endorse the policies to do so.

Commercial General Liability:

Insurance which affords coverage at least as broad as Insurance Services Office "occurrence" form CG 0001, or the exact equivalent, with limits of not less than $1,000,000 per occurrence and no less than $2,000,000 in the general aggregate. Defense costs shall be paid inside the limits. The policy shall contain no endorsements or provisions (1) limiting coverage for contractual liability; (2) excluding coverage for claims or suits by one insured against another (cross-liability); or (3) containing any other exclusion(s) contrary to the terms or purposes of this Agreement.
(A) Commercial General Liability
Workers' Compensation/Employer’s Liability:

Compensation Insurance, as required by the State of California and Employer's Liability Insurance with a limit of not less than $1,000,000 per accident for bodily injury and disease. If Consultant has no employees or agents, Consultant shall not be required to maintain Workers’ Compensation Insurance. However, in the event that Consultant hires employees or agents during the term of this Agreement, Consultant shall obtain and maintain Workers’ Compensation/Employer’s Liability Insurance in accordance with this section. (B) Workers'
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Professional Liability (Errors & Omissions) Professional Liability insurance or Errors & Omissions insurance appropriate to Consultant’s profession with limits of not less than $1,000,000. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusionsthat may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least three (3) years from termination or expiration of this Agreement.
(C)

3.2.9.3 Insurance Endorsements. Required insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms approved by the City to add the following provisions to the insurance policies:
(A) Workers' Compensation:

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Waiver of Subrogation: A waiver of subrogation stating
that the insurer waives all rights of subrogation against the City, its officials, officers, employees, agents, and volunteers.
(2)
(B) Professional Liability (Errors & Omissions):

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Contractual Liability Exclusion Deleted: This insurance shall include contractual liability applicable to this Agreement. The policy must “pay on behalf of’the insured and include a provision establishing the insurer’s duty to defend. (2)

3.2.9.4 Primary and Non-Contributing Insurance. All policies of Commercial General Liability and Automobile Liability insurance shall be primary and any other insurance, deductible, or self-insurance maintained by the City, its officials, officers, employees, agents, or volunteers shall not contribute with this primary insurance. Policies shall contain or be endorsed to contain such provisions.

3.2.9.5 Waiver of Subrogation. All policies of Commercial General Liability and Automobile Liability insurance shall contain or be endorsed to waive subrogation against the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby grants to City a waiver of any right to subrogation which any insurer of said Consultant may acquire against the City by virtue of the payment of any loss under such insurance.

Consultant agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. Consultant shall require similar written express waivers and insurance clauses from each of its subconsultants.
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3.2.9.6 Deductibles and Self-Insured Retentions. Any deductible or self-insured retention must be approved in writing by the City and shall protect the City, its officials, officers, employees, agents, and volunteers in the same manner and to the same extent as they would have been protected had the policy or policies not contained a deductible or self-insured retention.

3.2.9.7 Evidence of Insurance. The Consultant, concurrently with the execution of the Agreement, and as a condition precedent to the effectiveness thereof, shall deliver either certified copies of the required policies, or original certificates on forms approved by the City, together with all endorsements affecting each policy. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for approval. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15 days) prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City.

If such coverage is cancelled or reduced and not replaced immediately so as to avoid a lapse in the required coverage, Consultant shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies.

3.2.9.8 Failure to Maintain Coverage. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced immediately so as to avoid a lapse in the required coverage, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement effective upon notice.

3.2.9.9 Acceptability of Insurers. Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and authorized to transact business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.

3.2.9.10 Enforcement of Agreement Provisions (non estoppel). Consultant acknowledges and agrees that actual or alleged failure on the part of the City to inform Consultant of noncompliance with any requirement imposes no additional obligation on the City nor does it waive any rights hereunder.

3.2.9.11 Requirements Not Limiting. Requirement of specific coverage or minimum limits contained herein are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. If the Consultant maintains higher limits than the minimums contained herein, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.

3.2.9.12 Claims Made Policies. If any of the required policies provide coverage on a claims-made basis:

The Retroactive Date must be shown and must be before the effective date of the Agreement or the beginning of work under this Agreement. (A)
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If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the effective date of the Agreement, the Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of all services under this Agreement.
(C)

3.2.9.13 Special Risks or Circumstances. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

3.2.9.14 Insurance for Subconsultants. Consultant shall include all subconsultants engaged in any work for Consultant relating to this Agreement as additional insureds under the Consultant's policies, or the Consultant shall be responsible for causing subconsultants to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements, including adding the City, its officials, officers, employees, agents, and volunteers as additional insureds to the subconsultant's policies.

All policies of Commercial General Liability insurance provided by Consultant’s subconsultants performing work relating to this Agreement shall be endorsed to name the City, its officials, officers, employees, agents and volunteers as additional insureds using endorsement form ISO CG 20 38 04 13 or an endorsement providing equivalent coverage. Consultant shall not allow any subconsultant to commence work on any subcontract relating to this Agreement until it has received satisfactory evidence of subconsultant’s compliance with all insurance requirements under this Agreement, to the extent applicable.

TheConsultant shall provide satisfactory evidence of compliance with thissection upon request ofthe City,

3.2.10 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, butshall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subconsultants, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and othersafety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

Consultant warrants that all employees and
subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies described in Section 3,2.12.2 of this Agreement. Consultant further warrants that it, its employees and subcontractors have or will receive adequate training, as determined by the City, regarding these requirements as they may relate to the Services.

3.2.10.1 Standard of Care.

3.3 Fees and Payments.

3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements,for all Services rendered under this Agreement at the rates set forth in Exhibit "B" attached hereto and incorporated herein by reference. The total compensation shall not exceed Thirty thousand dollars ($30,000.00) without written approval of the City Council or City Manager as applicable. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

3.3.2 Payment of Compensation. Consultant shall submit to City a monthly invoice which indicates work completed and hours of Services rendered by Consultant. The invoice shall describe 6 OMLO: October 2018
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the amount of Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the invoice. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges thereon. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein.

3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "B" of this Agreement.

3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.

Rate Increases. In the event that this Agreement is renewed pursuant to Section

3.1.2, the rate set forth in Exhibit “B” may be adjusted each year at the time of renewal as set forth in Exhibit “B”.

3.3.5 3.4 California Labor Code Provisions.

Prevailing Wage Law. Consultant is aware of the requirements of CaliforniaLabor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. Consultant shall obtain a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement from the website of the Division of Labor Statistics and Research of the Department of Industrial Relations located at www.dir.ca.gov/dlsr/. In the alternative, Consultant may view a copy of the prevailing rates of per diem wages at the City. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at theConsultant's principal place of business and at the project site. Consultant shall defend, indemnify and hold the City, its officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

3.4.1 3.4.2 Registration. If the services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations. Consultant shall maintain registration for the duration of the project and require the same of any subconsultants. This project may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations.

It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements.

3.5 Accounting Records.

Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant OMLO: October 2018

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to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.6 General Provisions.

3.6.1 Termination of Agreement.

3.6.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause.

3.6.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request.

3.6.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.6.1.4 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

Consultant: Gil Keinan
603 N, Euclid Ave.

Ontario, CA 91762
City: City of Adelanto
11600 Air Expressway
Adelanto, California 92301
Attn: Brenda Lopez, City Clerk
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address.

Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.
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3.6.2 Ownership of Materials and Confidentiality.

Documents & Data; Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). Consultantshall require all subconsultantsto agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement.

Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk.

3.6.2.1 3.6.2.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.6.2.3 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unlessthe City'slegal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the Release Notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of the Objection Notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.6.3 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney's fees and all other costs of such action.

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3.6.5 Indemnification.

3.6.5.1 counsel reasonably approved by the City), indemnify and hold the City, its officials, officers, employees, agents and volunteers free and harmless from any and all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, (collectively, “Claims’) in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all consequential damages, expert witness fees and attorneys’ fees and other related costs and expenses. Notwithstanding the foregoing, to the extent Consultant’s services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to Claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its officials, officers, employees, agents or volunteers.

Scope of Indemnity. To the fullest extent permitted by law, Consultant shall defend (with

3.6.5.2 Additional Indemnity Obligations. To the fullest extent permitted by law, Consultant shall defend, with counsel of City’s choosing and at Consultant’s own cost, expense and risk, any and all claims, suits, actions or other proceedings of every kind covered by Section 3.6.5.1 that may be brought or instituted against City or its directors, officials, officers, employees, volunteers and agents. Consultant shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, volunteers and agents as part of any such claim, suit, action or other proceeding. Consultant shall also reimburse City for the cost of any settlement paid by City or its directors, officials, officers, employees, agents or volunteers as part of any such claim,suit, action or other proceeding. Such reimbursement shall include payment for City's attorney'sfees and costs, including expert witness fees. Consultantshall reimburse City and its directors, officials, officers, employees, agents, and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials officers, employees, agents, or volunteers.

3.6.6 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties.

3.6.7 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in San Bernardino County.

3.6.8 Time of Essence. Time is of the essence for each and every provision of this Agreement.

3.6.9 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project.

3.6.10 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties.

3.6.11 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent 10 OMLO: October 2018
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of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.6.12 Construction: References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

3.6.13 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.6.14 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

3.6.15 No Third-Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.6.16 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in foil force and effect.

3.6.17 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

3.6.18 Kqual Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such nondiscrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted.

3.6.19 Labor Certification. By itssignature hereunder, Consultant certifiesthat it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.
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3.6.20 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

3.6.21 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.7 Subcontracting.

3.7.1 Prior Approval Required. Consultantshall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City.

Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

CITY OF ADELANTO LOCAL EQUITY LLC
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Gil Keinan
President
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ATTEST:

By:

Brenda Lopez TJ
City Clerk
APPROVED AS TO FORM:

By:

Marc Tran
City Attorney
1 2 OMLO:October 2018
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EXHIBIT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

Technical Assistance and Financial Capacity Increase
Local Equity will provide the following support to the City of Adelanto. •Client Attraction:
- Participation in meetings with large corporationsthat want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city's goals and objectives.
•Natural Preservation and Mitigation:
- In collaboration with the city, work on preparation and mitigation strategies of the Joshua Tree. •Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets.
- Engage with local lenders and philanthropy to ascertain the level of interest and assemble a debt/equity target group for specific projects.
- Support the city in the development and improvement of the Wastewater facility - Engage with County, State, and Federal government to position projects for grants/ loan support.
- Collaborate with CDFIs, CDEs, and other NGOs on alternative financing - Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. •Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profitsto promote a healthy and collaborative support mechanism for project specific needs.

Based on current discussions, Local Equity estimates the scope of this work at an average of 30 hours/week.

Developer/Investor Support - Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto] 204
EXHIBIT "B"

COMPENSATION
Compensation not to exceed Thirty Thousand Dollars. ($30,000.00) Local Equity LLC fee amount of $30,000 billed at monthly retainer fee of $6,000 over a 5 month contract period from October 1, 2021 to February 28, 2022. 205
EXHIBIT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

City: Technical Assistance and Financial Capacity Increase Local Equity will provide the following support to the City of Adelanto. • Client Attraction:
- Participation in meetings with large corporations that want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city’s goals
and objectives.
• Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options.

This includes City owned infrastructure assets.
- Engage with County, State, and Federal government to position projects for grants/loan support.
- Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. • Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Local Equity estimates the scope of this work at an average of 30 hours/week.

Adelanto Public Utility: CIP & Management Support
- Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance improvements and collaboration in the area of water and sewer infrastructure. This may include:
- Grant Application and management
- Special district formation
- Feasibility analysis and masterplans
- Sewer and water capacity increase & optimization
- Coordination with Engineering and third party consultants Local Equity estimates the scope of this work at an average of 60 hours/week.

Developer/Investor Support – Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto) 206

CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: May 8, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Brenda Lopez, CMC, City Clerk
SUBJECT: EXTENSION OF AGREEMENT WITH MAD STUDIOS
STAFF RECOMMENDATION:

Staff recommends that the City Council approve the extension of the agreement for an additional six months at the same monthly rate of $2,000. This extension will enable the City to maintain its communication momentum and effectively engage with the community.

BACKGROUND AND DISCUSSION:

The City entered into an agreement with Mad Studios to provide marketing and media content services aimed at promoting various city initiatives, events, and programs. Mad Studios has consistently delivered high-quality content that has effectively engaged residents and stakeholders, contributing to increased community awareness and participation.

It is proposed to extend the existing agreement with Mad Studios for an additional six months, with services to be rendered at the same monthly rate of $2,000. This extension will enable the City to continue benefiting from Mad Studios' expertise in creating compelling marketing materials and media content, thereby sustaining momentum in its communication efforts.
207

CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
Several factors support the extension of the agreement with Mad Studios:

1. Continuity: Extending the agreement ensures continuity in marketing and media content production, allowing the City to maintain its presence and engagement with the community without interruption.

2. Cost-Effectiveness: The proposed extension at the same monthly rate represents a cost-effective solution, as it avoids the need for renegotiation and potential price increases while providing value for the services rendered.

3. Performance: Mad Studios has demonstrated a strong track record of delivering results, producing content that resonates with the target audience and aligns with the City's communication objectives.

4. Flexibility: A six-month extension provides flexibility for the City to reassess its communication needs and explore alternative arrangements beyond the extended period.

FISCAL IMPACT:

The extension of the agreement with Mad Studios for an additional six months at the same monthly rate of $2,000 will result in an increased contract amount of $12,000. The total contract value for the full year will amount to $24,000. Funds for this extension are available within the allocated budget for marketing and communication initiatives.

ATTACHMENTS:

1. Mad Studios Amendment No. 1.
208

CITY OF ADELANTO
AMENDMENT NO. 1 TO
PROFESSIONAL SERVICES AGREEMENT – MARKETING AND MEDIA CONTENT

CREATION
This is Amendment No. 1 (“Amendment No. 1”) to that certain Professional Service Agreement – Marketing and Media Content Creation (“Agreement”) made on November 6, 2023, between the City of Adelanto (“City”) and Mad Studios (“Consultant”), which this Amendment No. 1 is made and entered into on May 8, 2024, to extend the term of the Agreement for six additional months:

1. Capitalized terms used but not defined in this Amendment No. 1 shall have the meanings ascribed to them in the Agreement.

2. Section 1.1, “Term of Services” is amended to read as follows:

1.1 Term of Services. The term of this Agreement shall begin on November 1, 2023, and shall end on November 1, 2024, unless the term of the Agreement is otherwise terminated or extended as provided for in Section 8. The time provided to Consultant to complete the services required by this Agreement shall not affect the City's right to terminate the Agreement, as provided for in Section 8.

3. SECTION 2, “Compensation” is amended to read as follows:

SECTION 2. COMPENSATION.

City hereby agrees to pay Consultant a sum not to exceed TWENTY FOUR THOUSAND DOLLARS ($24,000.00) notwithstanding any contrary indications that may be contained in Consultant’s proposal, for the Services to be performed and reimbursable costs incurred under this Agreement. In the event of a conflict between this Agreement and Exhibit A, regarding the amount of compensation, this Agreement shall prevail. City shall pay Consultant for the Services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to Consultant for the Services rendered pursuant to this Agreement. Contractor shall submit all invoices to City in the manner specified herein. Except as specifically authorized in advance by City, Consultant shall not bill City for duplicate services performed by more than one person. The compensation is TWO THOUSAND DOLLARS ($2,000.00) per month. Amendment No. 1 increases the total compensation to not exceed TWENTY FOUR THOUSAND DOLLARS ($24,000.00) due to the extension of the term of services by six months.
209
AMENDMENT NO. 1

4. Exhibit A, “Scope of Services” is supplemented to include the below language. The supplement to the “Scope of Services” is not intended to replace the original Exhibit A to the Agreement, but instead to augment and increase the scope of work listed in the original Exhibit A to the Agreement and is amended to read as follows:

EXHIBIT A

SCOPE OF SERVICES
Services shall include Marketing and Media Content Creation services in the amount of an additional TWELVE THOUSAND DOLLARS ($12,000.00) for the additional six month term of the Agreement.

5. All other terms and conditions of the Agreement remain in full force and effect.

6. This Amendment No. 1 may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.

IN WITNESS WHEREOF, the Parties hereto have executed and entered into this Agreement as of the Effective Date.

CITY OF ADELANTO
____________________________
Jessie Flores, City Manager
Attest:
____________________________
Brenda Lopez, City Clerk
Approved as to Form:
____________________________
Todd Litfin, City Attorney

CONTRACTOR
______________________________
Arley Arsineda Owner
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City of Adelanto

MAD STUDIOS
Date prepared: May 3, 2023
Project name: City Marketing & Media
Project lead: Arley Arsineda
Project budget: $24,000 for 1 year contract
Overview
Summary
Mad Studios is a leading media and marketing agency dedicated to serving the city of Adelanto. With a focus on Public Information Officer (PIO) support, Mad Studios offers comprehensive solutions to enhance communication and outreach strategies.

Leveraging cutting-edge technology and creative expertise, they develop tailored campaigns to effectively convey important messages and initiatives to the community.

From dynamic social media management to engaging multimedia content production, Mad Studios ensures that the PIO's objectives are met with precision and impact. Their commitment to innovation and client satisfaction makes them the go-to partner for media and marketing needs in Adelanto.

Justification
Mad Studios' expertise in media and marketing is crucial for Adelanto's Public Information Officer (PIO) to effectively disseminate information and engage with the community. By leveraging innovative strategies and creative solutions, Mad Studios ensures that the PIO's messages reach the target audience efficiently, fostering greater awareness and participation in city initiatives. Their specialized services play a vital role in enhancing communication channels and strengthening connections between the city and its residents, ultimately contributing to a more informed and engaged community.

Objective
Mad Studios aims to provide top-notch media and marketing services to support the Public Information Officer (PIO) of Adelanto, effectively enhancing communication and outreach efforts to the community through different channels. 211
Scope of Work
List of Job Responsibilities
Coverage at every groundbreak event
Coverage of city events, clinics, award ceremonies + special stories Formatting and creating Monthly E-Newsletter
Graphic for Social Media and Newsletter
Billboard Design
Social Media Management ( facebook and instagram )
Filming and Editing the Mayor Minute update
Drone photos and filming
3D renders of future project
Attending Weekly Staff Meeting
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ADELANTO PUBLIC UTILITY AUTHORITY
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y DATE: May 8, 2024
TO: Honorable Chairman, and Public Utility Authority Members FROM: Jessie Flores, Executive Director
BY: Brenda Lopez, CMC , City Clerk
SUBJECT: CONSIDERATION OF AMENDMENT NO.5 TO THE PROFESSIONAL CONSULTANT

SERVICES AGREEMENT WITH LOCAL EQUITY LLC TO EXTEND THE CONTRACT TERM SIX MONTHS (THROUGH DECEMBER 31, 2024) AND INCREASE TOTAL COMPENSATION.

STAFF RECOMMENDATION:

Staff Recommends the Adelanto Public Utility Authority approve Amendment No. 5 to the Professional Consultant Services Agreement with Local Equity LLC to extend Section 3.1.2 Term on the attached Agreement for six (6) months with an increased compensation (due to increased services) of One Hundred Twelve Thousand Five Hundred Dollars ($112,500.00).

BACKGROUND:

On October 14, 2021, the City Manager entered into a Professional Consultant Services Agreement (“Agreement”) with Local Equity LLC to provide professional economic development consulting services for six months from October 1, 2021 through March 31, 2022. On March 29, 2022, the City Council approved the First Amendment to the Agreement, extending the services through August 31, 2022. On October 12, 2022, the City Council approved the Second Amendment to the Agreement, extending the services through February 28, 2023, and on March 23, 2023, the City Council approved the Third Amendment to the agreement, with the ability to authorize extra work where needed. The Fourth Amendment was approved and extended the agreement from September 1, 2023, through August 31, 2024.

The Fifth Amendment will extend the Term of the Agreement by six (6) months and shall commence on June 1, 2024, through December 31, 2024. The amount of compensation is Eighteen Thousand Seven Hundred Fifty Dollars ($18,750.00) per month. Under the Fifth Amendment, the Consultant shall receive One Hundred Twelve Thousand Five Hundred Dollars ($112,500.00) in total compensation. This increase is due to the increased services being provided by the Consultant. 231
The approved contract provided that Local Equity LLC would perform the following services:

ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE: Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

City: Technical Assistance and Financial Capacity Increase Local Equity will provide the following support to the City of Adelanto. • Client Attraction:
- Participation in meetings with large corporations that want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city’s goals and objectives.
• Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets.
- Engage with County, State, and Federal government to position projects for grants/loan support.
- Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. • Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Local Equity estimates the scope of this work at an average of 30 hours/week.

Adelanto Public Utility: CIP & Management Support
- Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance improvements and collaboration in the area of water and sewer infrastructure. This may include:
- Grant Application and management
- Special district formation
- Feasibility analysis and masterplans
- Sewer and water capacity increase & optimization
- Coordination with Engineering and third party consultants Local Equity estimates the scope of this work at an average of 60 hours/week. 232
Developer/Investor Support – Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto or Adelanto Public Utility Authority).

Information on Local Equity LLC is below:

Dr. Gil Keinan is experienced and qualified to provide professional consulting services as it relates to real estate finance and economic development. Dr. Keinan is the Managing Director of Local Equity LLC, an economic development organization and finance lender that provides financial solutions to community priority projects in the Inland Empire and the Central Coast. Dr. Keinan also co-founded HObsequio, a hotel asset management and advisory firm. He previously served as FUSE Executive Fellow with the County of San Bernardino, leading efforts to attract investment into 57 low-income Opportunity Zone census tracts.

Dr. Keinan’s background includes expertise in real estate with known management and investment firms.

His hands-on operational insights from Four Seasons Hotels, coupled with strong comfort in marketing, management, development and value creation in private equity, enabled him to lead complicated deals to successful exits. Overall, Dr. Keinan provided leadership to over $2 billion in asset management and supported over $1 billion in transaction volume.

Dr. Keinan studied the impact of management groups on hotel sales value as part of his doctoral dissertation research at Pepperdine University. He received his M.B.A. from the University of San Francisco, and is a graduate of the University of Surrey (United Kingdom) School of Hospitality Management.

Dr. Keinan is frequently contacted as a resourceful leader for input on multiple non-profits, industry groups, and academia. He serves on the board of directors of the Neighborhood Housing Services of Inland Empire, is a member of the National Real Estate Investor Association, Discover Inland Empire Tourism Association, California Association of Local Economic Development, the American Real Estate Society, Urban Land Institute, and the Hospitality Asset Managers Association. His greatest strength is his ability to creatively untangle ‘hairy’ situations, while building long lasting relationships that provide value to his employees, clients, and partners. He has lived in seven countries and speaks multiple languages and enjoys discussing the intersection of macro- and micro-economic trends.

Dr. Gil Keinan has been instrumental in the Civic Center Campus Development, economic development projects and valuable with grants qualifications. To continue the on-going progress and build upon these achievements, it is recommended to amend the Master Agreement to extend the Term and increase compensation.
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FISCAL IMPACT:

The total cost of Amendment No. 5 is $ 112,500.00 and will be included in the budget. Based on an estimation of the amount of work spent on City matters and APUA matters, one third of the $112,500.00 amount is being paid by the City and two-thirds is being paid by the APUA.

ATTACHMENTS:

1. Fifth Amendment to Professional consultant Service Agreement

2. Fourth Amendment to Professional Consultant Service Agreement

3. Third Amendment to Professional Consultant Service Agreement

4. Second Amendment to Professional Consultant Service Agreement

5. First Amendment to Professional Consultant Service Agreement

6. Master Agreement

7. Local Equity LLC Scope of Services
234

CITY OF ADELANTO/ADELANTO PUBLIC UTILITY AUTHORITY
AMENDMENT NO. 5 TO
PROFESSIONAL SERVICES AGREEMENT – LOCAL EQUITY, LLC
This is Amendment No. 5 (“Amendment No. 5”) to that certain Professional Service Agreement – (“Agreement”) made on May 14, 2024, between the City of Adelanto (“City”) and Local Equity, LLC (“Consultant”) and the four amendments thereto. The Adelanto Public Utility Authority is an additional party to this Agreement and is included within the definition of City within the Agreement. This Amendment No. 5 is made and entered into on May 8, 2024, to extend the term of the Agreement for six additional months.

1. Capitalized terms used but not defined in this Amendment No. 5 shall have the meanings ascribed to them in the Agreement.

2. Section 3.1.2, “Term of Services” is amended to add the following language at the end of Section 3.1.2 to read as follows:

3.1.2. Term of Services. The term of this Amendment No. 5 to this Agreement shall begin on June 1, 2024, and shall end on December 1, 2024, unless the term of the Agreement is otherwise terminated or extended as provided for in the Agreement. The time provided to Consultant to complete the services required by this Agreement shall not affect the City's right to terminate the Agreement, as provided for in the Agreement.

3. SECTION 3.3.1, “Compensation” is amended to add the following language at the end of Section 3.3.1 to read as follows:

SECTION 3.3.1 COMPENSATION.

City hereby agrees to pay Consultant a sum not to exceed ONE HUNDRED TWELVE THOUSAND FIVE HUNDRED DOLLARS ($112,500.00) notwithstanding any contrary indications that may be contained in Consultant’s proposal, for the Services to be performed under this Agreement from June 1, 2024, to December 1, 2024. In the event of a conflict between this Agreement and Exhibit A, regarding the amount of compensation, this Agreement shall prevail. City shall pay Consultant for the Services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to Consultant for the Services rendered pursuant to this Agreement. Contractor shall submit all invoices to City in the manner specified herein. Except as specifically authorized in advance by City, 235
AMENDMENT NO. 1
Consultant shall not bill City for duplicate services performed by more than one person.

The compensation is EIGHTEEN THOUSAND SEVEN HUNDRED FIFTY DOLLARS ($18,750.00) per month.

4. Exhibit A, “Scope of Services” is supplemented to include the below language. The supplement to the “Scope of Services” is not intended to replace the original Exhibit A to the Agreement, but instead to augment and increase the scope of work listed in the original Exhibit A to the Agreement and is amended to read as follows:

ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto and the Adelanto Public Utility Authority to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

City: Technical Assistance and Financial Capacity Increase Local Equity will provide the following support to the City of Adelanto. • Client Attraction:
- Participation in meetings with large corporations that want to invest in the city.
- Support the city with direct marketing efforts to corporations that are a fit with the city’s goals and objectives.
• Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets. - Engage with County, State, and Federal government to position projects for grants/loan support.
- Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested.
• Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Local Equity estimates the scope of this work at an average of 30 hours/week.

Adelanto Public Utility Authority: CIP & Management Support Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance improvements and collaboration in the area of water and sewer infrastructure.

This may include:
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AMENDMENT NO. 1
• Grant Application and management
• Special district formation
• Feasibility analysis and masterplans
• Sewer and water capacity increase & optimization
• Coordination with Engineering and third party consultants Local Equity estimates the scope of this work at an average of 60 hours/week.

Developer/Investor Support – Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto/APUA).

5. All other terms and conditions of the Agreement remain in full force and effect.

6. This Amendment No. 5 may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.

IN WITNESS WHEREOF, the Parties hereto have executed and entered into this Agreement as of the Effective Date.

CITY OF ADELANTO
____________________________
Jessie Flores, City Manager
Attest:
____________________________
Brenda Lopez, City Clerk
Approved as to Form:
____________________________
Todd Litfin, City Attorney

CONTRACTOR
______________________________

ADELANTO PUBLIC UTILITY

AUTHORITY
____________________________
Jessie Flores, Executive Director
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AMENDMENT NO. 1
Attest:
____________________________
Brenda Lopez, Clerk
Approved as to Form:
____________________________
Todd Litfin, General Counsel
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CITY OF ADELANTO
AMENDMENT NO. AMENDMENT #4 TO

PROFESSIONAL CONSULTANT SERVICES AGREEMENT
This is Amendment No. 4 ("Amendment No.4") to that certain PROFESSIONAL CONSULTANT SERVICES AGREEMENT ("Agreement -) made on (14 TH Day Of October, 2021) between the City of Adehmto ("City") and [Local Equity LLC3 ("Consultant"), which this Amendment No. 4 is made and entered into on 23r d Day of August, 2023 to extend the professional C.CODOmille development consulting services, increase the scope of work and increase the compensation amount:

I. Capitalized terms used but not defined in this Amendment No. 4 shall have the meanings ascribed to them in the Agreement.

2. 3.12, "Scope of Services and Term" is amended to read as follows:

Term of Services. The term of this Agreement shall begin on September 1, 2023 and shall end on August 31,2024 unless the tenn of the Agreement is otherwise terminated or extended as provided for in Section 3.6.1. The time provided to [Con.sultant/Coniractorl to complete the services required by this Agreement shall not affect the City's right to terminate the Agreement, as provided for in Section

3.6.1. SECTION 2, "Compensation" is amended to read as follows, increasing the contract amount by: One Hundred Fifty Thousand dollars ($150,000.00) or approximately twelve thousand five hundred dollar ($12,500.00) per month.

SECTION 2., COMPENSATION.

City hereby agrees to pay [Consultant] a sum not to exceed Three Hundred and Thirty Thousand dollars ($330,000.00) notwithstanding any contrary indications that may be contained in [Consultantl's proposal, for the Services to be performed payment specified below shall be the only payments from City to [Consultant) for the Services rendered pursuant to this Agreement. Consultant shall submit all invoices to City in the manner specified herein. Except as specifically authorized in advance by City, Consultant shall not bill City for duplicate services performed by more than one person. 239
Date: C?:, • 7-f% • '73:1#1-:

CITY: CONSULTANT:

CRY OF ADBANTO LOCAL EQUITY, LILC
Date: Ns olS : aZ02:2›
APPROVED AS TO FORM:

Todd Utfin, Oty Attorney
Date:e12/2 3
AMENDMENT NO. 4
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EMMETT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers end developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

Technical Assistanat and Financial Capacity increase
Local Equity will provide the following support to the City of AdeJanto.

Cileht Attraction:

Participation in meetings with large corporations that want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city's goals and objectives.
• Project Pinandng:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This indudes City owned infrastructure assets.
- Engage with local lenders and philanthropy to ascertain the levefof interest and assemble a debt/equity target group for specific projects.
- Support the city in the development and improvement of the Wastewater facility - Engage with County, State, and Federal government to position projects for grants/loan support Collaborate with CDFIs, CDEs, and other NGOs on alternative financing - Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. • Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Based on current discussions, Local Equity estimates the scope of this work at an average of 30 hours/week.
• Water/sewer scope:
• Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance Improvements and collaboration in the area of water and sewer infrastructure. This may include:
- Grant Application and management
- Special district formation
• Feasibility analysis and rnasterplans
George Air Force Base Plume
Sewer and water capacity increase
Developer/Investor Support - Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the cheat (The City of Adelanto) 241
Exhibit A, "Scope of Service? is supplemented to include the supplement attached as Exhibit A hereto_ The supplement to the "Scope of Service? is nut intended to replace the original Exhibit A to the Agreement, but instead to augment and increase the scope of work listed in the original Exhibit A to the Agreement The initial paragraph of the original Exhibit A, "Scope of Service?, to the Agreement is amended to read as follows:
and reimbursable costs incurred under this Agreement In the event of a conflict between this Agreement and Exhibit A, regarding the amount of compensation, this Agreement sh.all prevail. City shall pay [Consultant] for the Services rendered pursuant to this Agreement at the time and in the manner set forth herein. The

EXHIBIT A

SCOPE OF SERVICES
Consultant %hall provide PROFESSIONAL CONSULTANT SERVICES in the amount not to exceed THREE HUNDRED THIRTY HOUSAND DOLLARS ($330,000.00) as further detailed in the following page(s).

3. All other tenns and conditions of the Agreement remain in full force and effect.

4. This Amendment No. 4 may be executed in multiple counterparts, each of vidiich shall be an original and all of which together shall constitute one agreement. (Signatures oit Following Page)
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1 2023

THIRD AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT
(Engagement: Professional Economic Development Consulting Services) (Parties: City of Adelanto and Local Equity, LLC)
THIS THIRD AMENDMENT (hereinafter, “Third Amendment”) to that certain agreement entitled “Professional Services Agreement”, dated October 14, 2021 (hereinafter, “Master Agreement”), is hereby made and entered into this 22nd day of March, 2023 (hereinafter, “Effective Date”), by and between CITY OF ADELANTO, a municipal corporation (hereinafter, “City”) and LOCAL EQUITY, LLC (hereinafter, “Consultant”). For purposes of this Third Amendment, the capitalized term “Parties” shall be a collective reference to both City and Consultant. The capitalized term “Party” may refer to either City or Consultant interchangeably, as appropriate.

RECITALS
This Third Amendment is made and entered into with respect to the following facts:

WHEREAS, on October 14, 2021, the Parties executed and entered into the Master Agreement for Consultant to provide professional economic development consulting service for six months from October 1, 2021 to March 31, 2022 for a total not exceeding thirty thousand dollars ($30,000.00) or approximately five thousand dollars ($5,000) per month; and WHEREAS, the Master Agreement was later amended by way of a first amendment (hereinafter “First Amendment”), and approved by the City Council of the City of Adelanto (“City Council”) at its Regular Meeting of March 29, 2022, to expand the general Scope of Services, extend the Term by five months from April 1, 2022 to August 31, 2022, and to increase the overall compensation by a total not exceeding thirty thousand dollars ($30,000.00) or approximately six thousand dollars ($6,000.00) per month; and
WHEREAS, the Master Agreement was later amended by way of a second amendment (hereinafter “Second Amendment”), and approved by the City Council of the City of Adelanto (“City Council”) at its Regular Meeting of October 12, 2022, to expand the general Scope of Services, extend the Term by six (6) months from September 1, 2022 to February 28, 2023, and to increase the overall compensation by a total not exceeding sixty thousand dollars ($60,000.00) or approximately ten thousand dollars per month; and

WHEREAS, for purposes of this Third Amendment, the Master Agreement as amended by way of the First and Second Amendment, may be referred to collectively as the “Master Agreement.” The Master Agreement is attached and incorporated hereto as Exhibit “A”; and WHEREAS, the Parties now wish to further extend the Term and further increase the compensation; and
WHEREAS, under the terms of the Master Agreement, City agreed to pay Consultant a total Not-to-Exceed Sum of ONE HUNDRED TWENTY THOUSAND DOLLARS ($120,000) for all work contemplated under the Master Agreement (hereinafter, “Not-to-Exceed Sum”); and WHEREAS, the Parties wish to increase the total Not-to-Exceed Sum of ONE HUNDRED 243
2 TWENTY THOUSAND DOLLARS ($120,000) by SIXTY THOUSAND DOLLARS ($60,000), for a new total Not-to-Exceed Sum of ONE HUNDRED EIGHTY THOUSAND DOLLARS ($180,000) to cover the extended term of the Agreement.

NOW, THEREFORE, in consideration of the mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties agree as follows:

SECTION 1. Section 3.1.2 (TERM) of the Master Agreement is further amended to extend the Term of the Agreement for an additional six (6) months commencing as of March 1, 2023 through August 31, 2023.

SECTION 2. Section 3.3.1 (COMPENSATION) of the Master Agreement is hereby amended in its entirety to read as follows:

Consultant shall receive compensation, excluding authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit “B” which is attached and incorporated hereto. The total compensation shall not exceed a monthly notto-exceed amount of Ten Thousand Dollars ($10,000) (hereinafter “Monthly Not-toExceed”) for a total not-to-exceed compensation of One Hundred Eighty Thousand Dollars ($180,000) (hereinafter “Total Compensation”).

SECTION 3. Except as otherwise set forth in this Third Amendment, the Master Agreement as previously amended by way of the First and Second Amendment shall remain binding, controlling, and in full force and effect. Section 3.6.6 of the Master Agreement notwithstanding, this Third Amendment together with the Master Agreement and the First and Second Amendment, shall constitute the entire, complete, final, and exclusive expression of the Parties with respect to the matters addressed in both documents. In the event of a conflict or inconsistency between the provisions of this Third Amendment, including any and all attachments to this Third Amendment and the provisions of the Master Agreement or the First and Second Amendment, the provisions of the Third Amendment shall govern and control but only to the extent of the conflict and no further.

SECTION 4. The provisions of this Third Amendment shall be deemed a part of the Master Agreement as previously amended by way of the First and Second Amendment and except, as otherwise provided under this Third Amendment, the Master Agreement as previously amended by way of the First and Second Amendment, and all provisions contained therein shall remain binding and enforceable.
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3 IN WITNESS WHEREOF, the Parties hereto have caused this Third Amendment to be executed on the day and year first appearing above.

CITY:

CITY OF ADELANTO
By:__________________________________
Jessie Flores, City Manager
Date:

APPROVED AS TO FORM:

By:__________________________________
Marc Tran, City Attorney
Date:

CONSULTANT:

LOCAL EQUITY, LLC
By:_____________________________
Name:_________________________
Title: ___________________________
Date:

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4 EXHIBIT “A”

MASTER AGREEMENT
246
1 2022

SECOND AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT
(Engagement: Professional Economic Development Consulting Services) (Parties: City of Adelanto and Local Equity, LLC.)
THIS SECOND AMENDMENT (hereinafter, “Second Amendment”) to that certain agreement entitled “Professional Services Agreement”, dated October 14, 2021 (hereinafter, “Master Agreement”), is hereby made and entered into this 12th day of October, 2022 (hereinafter, “Effective Date”), by and between CITY OF ADELANTO, a municipal corporation (hereinafter, “City”) and LOCAL EQUITY, LLC. (hereinafter, “Consultant”). For purposes of this Second Amendment, the capitalized term “Parties” shall be a collective reference to both City and Consultant. The capitalized term “Party” may refer to either City or Consultant interchangeably, as appropriate.

RECITALS
This Second Amendment is made and entered into with respect to the following facts:

WHEREAS, on October 14, 2021, the Parties executed and entered into the Master Agreement for Consultant to provide professional economic development consulting services; and WHEREAS, the Master Agreement was later amended by way of a first amendment (hereinafter, “First Amendment”), and approved by the City Council of the City of Adelanto (“City Council”) at its Regular Meeting of March 29, 2022, to extend the Term and expand the Compensation; and
WHEREAS, for purposes of this Second Amendment, the Master Agreement as amended by way of the First Amendment, may be referred to collectively as the “Master Agreement.” The Master Agreement is attached and incorporated hereto as Exhibit “A”; and WHEREAS, the Parties now wish to further extend the Term; and WHEREAS, under the terms of the Master Agreement, City agreed to pay Consultant a total Not-to-Exceed Sum of SIXTY THOUSAND DOLLARS ($60,000) for all work contemplated under the Master Agreement (hereinafter, “Not-to-Exceed Sum”); and WHEREAS, the Parties wish to increase the total Not-to-Exceed Sum of SIXTY THOUSAND DOLLARS ($60,000) by SIXTY THOUSAND DOLLARS ($60,000), for a new total Not-to-Exceed Sum of ONE HUNDRED TWENTY THOUSAND DOLLARS ($120,000) to cover the extended term of the Agreement.

NOW, THEREFORE, in consideration of the mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties agree as follows:

SECTION 1. Section 3.1.2 (TERM) of the Master Agreement is further amended to extend the Term of the Agreement for an additional six (6) months commencing as of September 1, 2022 through February 28, 2023.
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2 SECTION 2. Section 3.3.1 (COMPENSATION) of the Master Agreement is hereby amended in its entirety to read as follows:

Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement. The total compensation shall not exceed a monthly not-to-exceed amount of TEN THOUSAND DOLLARS ($10,000) (hereinafter “Monthly Not-to-Exceed”) for a total not-to-exceed compensation of ONE HUNDRED TWENTY THOUSAND DOLLARS ($120,000) (hereinafter “Total Compensation”).

SECTION 3. Except as otherwise set forth in this Second Amendment, the Master Agreement as previously amended by way of the First Amendment shall remain binding, controlling, and in full force and effect. Section 3.6.6 of the Master Agreement notwithstanding, this Second Amendment together with the Master Agreement and the First Amendment, shall constitute the entire, complete, final, and exclusive expression of the Parties with respect to the matters addressed in both documents. In the event of a conflict or inconsistency between the provisions of this Second Amendment, including any and all attachments to this Second Amendment and the provisions of the Master Agreement or the First Amendment, the provisions of the Second Amendment shall govern and control but only to the extent of the conflict and no further.

SECTION 4. The provisions of this Second Amendment shall be deemed a part of the Master Agreement as previously amended by way of the First Amendment and except, as otherwise provided under this Second Amendment, the Master Agreement as previously amended by way of the First Amendment, and all provisions contained therein shall remain binding and enforceable.
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3 IN WITNESS WHEREOF, the Parties hereto have caused this Second Amendment to be executed on the day and year first appearing above.

CITY:

CITY OF ADELANTO
By:__________________________________
Jessie Flores, City Manager
Date:

APPROVED AS TO FORM:

By:__________________________________
Marc Tran, City Attorney
Date:

CONSULTANT:

LOCAL EQUITY, LLC.

By:_____________________________
Name:_________________________
Title: ___________________________
Date:
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4 EXHIBIT “A”

MASTER AGREEMENT
250
FIRST AMENDMENT TO PROFESSIONAL CONSUTA_NT SERVICES AGREEMENT THIS FIRST AMENDMENT (hereinafter, "First Amendment") to that "Professional Consultant Services Agreement" dated October 14, 2021 (hereinafter, the "Master Agreement") by and between the CITY OF ADELANTO. a California municipal corporation (hereinafter, "City") and LOCAL EQUITY LLC, a California Limited liability Company (hereinaller, "Consultant"), is hereby made and entered into this 21' day of March, 2022 ("Effective Date").

For purposes of this First Amendment, the capitalized term "Parties" shall be a collective reference to both City and Consultant. The term "Party" may refer to either City or Consultant, interchangeably as appropriate.

RECITALS
This FIRST AMENDMENT is made and entered into with respect to the following facts:

WHEREAS, on October 14, 2021, the Parties executed and entered into the Master Agreement for Consultant to provide professional economic development consulting services according to the terms and conditions set forth in the Master Agreement terminating on March 31, 2022; and
WHEREAS, the Master Agreement is attached and incorporated hereto as Exhibit "A" and amended by way of this First Amendment; and
WHEREAS, the Parties further wish to amend the Master Agreement to extend the term and increase compensation.

AGREEM VILL
NOW, THEREFORE, in consideration of the mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties agree as follows:

I Recitals. The preceding recitals are hereby incorporated herein by this reference and are expressly made as covenants of this Agreement. The foregoing recitals arc true and correct.

2. Term. The Parties hereby amend Section 3.1.2 of the Master Agreement to read as follows:

The First Amendment shall add the following paragraph number two (2) to read as follows:

The term of this Agreement shall be extended five (5) months by the First Amendment to the Master Agreement and shall commence on April 1, 2022 to August 31, 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other 251
established schedules and deadlines.

Therefore, the Master Agreement shall read in its entirety as follows:

The term of this Agreement shall be from October 1, 2021 to March 31, 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

The term of this Agreement shall he extended five (5) months by the First Amendment to the Master Agreement and shall commence on April 1, 2022 to August 31, 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3. Compensation. The Parties hereby amend Section 3.3.1 of the Master Agreement to read as follows:

The First Amendment shall add the following paragraph number two (2) to read as follows:

Consultant shall receive compensation, including authorized reimbursements, for all Services performed under this Agreement at the same monthly retainer fee of Six Thousand Dollars ($6,000) per month. Under the First Agreement, the Consultant shall receive Thirty Thousand Dollars ($30,000) in compensation. The total compensation not-to-exceed amount under both the Master Agreement and the First Amendment is Sixty Thousand Dollars ($60,000). Extra work may be authorized, as described in the Master Agreement, and if authorized, will be compensated at the rates and manner set forth in the Master Agreement.

Therefore, the Master Agreement shall read in its entirety as follows:

Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at rates set forth in Exhibit "B" attached hereto and incorporated by reference. The total compensation shall not exceed Thirty Thousand Dollars ($30,000) without written approval of the City Council or City Manager as applicable. Extra work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

Consultant shall receive compensation, including authorized reimbursements, for all Services performed under this Agreement at the same monthly retainer te-e of Six Thousand Dollars ($6,000) per month. Under the First Agreement, the Consultant shall receive Thirty Thousand Dollars ($30,000) in compensation. The total compensation not-to-exceed amount under both the Master Agreement and the First Amendment is Sixty Thousand Dollars ($60,000). Extra work may be -2-
252
authorized, as described in the Master Agreement, and if authorized, will be compensated at the rates and manner set forth in the Master Agreement. 4 Entire Agreement. The Master Agreement, together with this First Amendment, embodies the entire understanding between Consultant and City with respect to its subject matter and can be changed only by an instrument in writing signed by Consultant and City.

5. Effect of Amendment. The term "Agreement" when used in this First Amendment or the Master Agreement shall mean the Master Agreement as amended, modified, and supplemented by this First Amendment unless the context would require otherwise. Except to the extent the Master Agreement is modified by this First Amendment, the remaining terms and conditions of the Master Agreement shall remain unmodified and in full force and effect. In the event of conflict, between the terms and conditions of the Master Agreement and the terms and conditions of this First Amendment, the terms and conditions of this First Amendment shall prevail and control.
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IN WITNESS WHEREOF, this First Amendment has been executed as of the day and year first set forth above.

CITY OF ADELANTO: LOCAL EQUITY LLC:

Gabriel Reyes, Mayor (ill Kellum, President
Date: March 29, 2022 Date: la 3 /10200/Z
ATTEST:
61)44, lwapsda_
Brenda Lopez
City Clerk
Date: March 29, 2022
APPROVED AS TO FORM:

M• rc Tran, City Attorney
Olivarez Madruga Lemieux O'Neill
-4-
254
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N1AS1ER AGREENIENT
255
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CITY OF ADELANTO

PROFESSIONAL CONSULTANT SERVICES AGREEMENT

1. PARTIES AND DATE.

This Agreement is made and entered into this 14th day of October, 2021, by and between the City of Adelanto, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 11600 Air Expressway, Adelanto, CA 92301 ("City") and Local Equity LLC a Limited Liability Company, with its principal place of business at 603 N. Euclid Avenue Ontario, CA 91762 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. RECITALS.

2.1 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional economic development consulting services required by the City on the terms and conditions set forth in this Agreement. Consultant represents that it is experienced in providing professional economic development services, and is familiar with the plans of the City.

2.2 Project.

City desires to engage Consultant to render such professional economic development consulting services for the communications by the City with residents and the public ("Project") as set forth in this Agreement,

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to hilly and adequately supply the professional public affairs and creative communication support services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term. The term of this Agreement shall be from October 1, 2021 to March 31. 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3.2 Responsibilities of Consultant.

3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing 1 OMLO: October 2018
257
the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, nor any of its officials, officers, directors, employees , or agents shall have control over the conduct of Consultant or any of Consultant's officers, employees, or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance.

3.2.2 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City.

Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement is as follows: Mr. Gil Keinan.

3.2.3 3.2.4 City's Representative. The City hereby designates Jessie Flores, City Manager, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the Scope of Work or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City’s behalf and to execute all necessary documents which enlarge the Scope of Work or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.2.5 Consultant's Representative. Consultant hereby designates Mr. Gil .

Keinan, President, or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.2.6 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times.

3.2.7 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services.

Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and 2 OMLO: October 2018
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subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.8 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If Consultant performs any work knowing it to be contrary to such laws, rules and regulations, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees, agents, and volunteers free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

3.2.9 Insurance.

3.2.9.1 l ime for Compliance. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Consultant shall not allow any subconsultant to commence work on any subcontract until it has provided evidence satisfactory to the City that the subconsultant has secured all insurance required under this section.

3.2.9.2 Types of Insurance Required. As a condition precedent to the effectiveness of this Agreement for work to be performed hereunder, and without limiting the indemnity provisions of the Agreement, the Consultant, in partial performance of its obligations under such Agreement, shall procure and maintain in full force and effect during the term of the Agreement the following policies of insurance. If the existing policies do not meet the insurance requirements set forth herein, Consultant agrees to amend, supplement or endorse the policies to do so.

Commercial General Liability:

Insurance which affords coverage at least as broad as Insurance Services Office "occurrence" form CG 0001, or the exact equivalent, with limits of not less than $1,000,000 per occurrence and no less than $2,000,000 in the general aggregate. Defense costs shall be paid inside the limits. The policy shall contain no endorsements or provisions (1) limiting coverage for contractual liability; (2) excluding coverage for claims or suits by one insured against another (cross-liability); or (3) containing any other exclusion(s) contrary to the terms or purposes of this Agreement.
(A) Commercial General Liability
Workers' Compensation/Employer’s Liability:

Compensation Insurance, as required by the State of California and Employer's Liability Insurance with a limit of not less than $1,000,000 per accident for bodily injury and disease. If Consultant has no employees or agents, Consultant shall not be required to maintain Workers’ Compensation Insurance. However, in the event that Consultant hires employees or agents during the term of this Agreement, Consultant shall obtain and maintain Workers’ Compensation/Employer’s Liability Insurance in accordance with this section. (B) Workers'
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Professional Liability (Errors & Omissions) Professional Liability insurance or Errors & Omissions insurance appropriate to Consultant’s profession with limits of not less than $1,000,000. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusionsthat may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least three (3) years from termination or expiration of this Agreement.
(C)

3.2.9.3 Insurance Endorsements. Required insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms approved by the City to add the following provisions to the insurance policies:
(A) Workers' Compensation:

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Waiver of Subrogation: A waiver of subrogation stating
that the insurer waives all rights of subrogation against the City, its officials, officers, employees, agents, and volunteers.
(2)
(B) Professional Liability (Errors & Omissions):

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Contractual Liability Exclusion Deleted: This insurance shall include contractual liability applicable to this Agreement. The policy must “pay on behalf of’the insured and include a provision establishing the insurer’s duty to defend. (2)

3.2.9.4 Primary and Non-Contributing Insurance. All policies of Commercial General Liability and Automobile Liability insurance shall be primary and any other insurance, deductible, or self-insurance maintained by the City, its officials, officers, employees, agents, or volunteers shall not contribute with this primary insurance. Policies shall contain or be endorsed to contain such provisions.

3.2.9.5 Waiver of Subrogation. All policies of Commercial General Liability and Automobile Liability insurance shall contain or be endorsed to waive subrogation against the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby grants to City a waiver of any right to subrogation which any insurer of said Consultant may acquire against the City by virtue of the payment of any loss under such insurance.

Consultant agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. Consultant shall require similar written express waivers and insurance clauses from each of its subconsultants.
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3.2.9.6 Deductibles and Self-Insured Retentions. Any deductible or self-insured retention must be approved in writing by the City and shall protect the City, its officials, officers, employees, agents, and volunteers in the same manner and to the same extent as they would have been protected had the policy or policies not contained a deductible or self-insured retention.

3.2.9.7 Evidence of Insurance. The Consultant, concurrently with the execution of the Agreement, and as a condition precedent to the effectiveness thereof, shall deliver either certified copies of the required policies, or original certificates on forms approved by the City, together with all endorsements affecting each policy. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for approval. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15 days) prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City.

If such coverage is cancelled or reduced and not replaced immediately so as to avoid a lapse in the required coverage, Consultant shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies.

3.2.9.8 Failure to Maintain Coverage. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced immediately so as to avoid a lapse in the required coverage, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement effective upon notice.

3.2.9.9 Acceptability of Insurers. Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and authorized to transact business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.

3.2.9.10 Enforcement of Agreement Provisions (non estoppel). Consultant acknowledges and agrees that actual or alleged failure on the part of the City to inform Consultant of noncompliance with any requirement imposes no additional obligation on the City nor does it waive any rights hereunder.

3.2.9.11 Requirements Not Limiting. Requirement of specific coverage or minimum limits contained herein are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. If the Consultant maintains higher limits than the minimums contained herein, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.

3.2.9.12 Claims Made Policies. If any of the required policies provide coverage on a claims-made basis:

The Retroactive Date must be shown and must be before the effective date of the Agreement or the beginning of work under this Agreement. (A)
(B) Such insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of all services under this Agreement. 5 OMLO: October 2018
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If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the effective date of the Agreement, the Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of all services under this Agreement.
(C)

3.2.9.13 Special Risks or Circumstances. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

3.2.9.14 Insurance for Subconsultants. Consultant shall include all subconsultants engaged in any work for Consultant relating to this Agreement as additional insureds under the Consultant's policies, or the Consultant shall be responsible for causing subconsultants to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements, including adding the City, its officials, officers, employees, agents, and volunteers as additional insureds to the subconsultant's policies.

All policies of Commercial General Liability insurance provided by Consultant’s subconsultants performing work relating to this Agreement shall be endorsed to name the City, its officials, officers, employees, agents and volunteers as additional insureds using endorsement form ISO CG 20 38 04 13 or an endorsement providing equivalent coverage. Consultant shall not allow any subconsultant to commence work on any subcontract relating to this Agreement until it has received satisfactory evidence of subconsultant’s compliance with all insurance requirements under this Agreement, to the extent applicable.

TheConsultant shall provide satisfactory evidence of compliance with thissection upon request ofthe City,

3.2.10 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, butshall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subconsultants, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and othersafety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

Consultant warrants that all employees and
subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies described in Section 3,2.12.2 of this Agreement. Consultant further warrants that it, its employees and subcontractors have or will receive adequate training, as determined by the City, regarding these requirements as they may relate to the Services.

3.2.10.1 Standard of Care.

3.3 Fees and Payments.

3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements,for all Services rendered under this Agreement at the rates set forth in Exhibit "B" attached hereto and incorporated herein by reference. The total compensation shall not exceed Thirty thousand dollars ($30,000.00) without written approval of the City Council or City Manager as applicable. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

3.3.2 Payment of Compensation. Consultant shall submit to City a monthly invoice which indicates work completed and hours of Services rendered by Consultant. The invoice shall describe 6 OMLO: October 2018
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the amount of Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the invoice. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges thereon. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein.

3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "B" of this Agreement.

3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.

Rate Increases. In the event that this Agreement is renewed pursuant to Section

3.1.2, the rate set forth in Exhibit “B” may be adjusted each year at the time of renewal as set forth in Exhibit “B”.

3.3.5 3.4 California Labor Code Provisions.

Prevailing Wage Law. Consultant is aware of the requirements of CaliforniaLabor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. Consultant shall obtain a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement from the website of the Division of Labor Statistics and Research of the Department of Industrial Relations located at www.dir.ca.gov/dlsr/. In the alternative, Consultant may view a copy of the prevailing rates of per diem wages at the City. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at theConsultant's principal place of business and at the project site. Consultant shall defend, indemnify and hold the City, its officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

3.4.1 3.4.2 Registration. If the services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations. Consultant shall maintain registration for the duration of the project and require the same of any subconsultants. This project may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations.

It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements.

3.5 Accounting Records.

Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant OMLO: October 2018

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to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.6 General Provisions.

3.6.1 Termination of Agreement.

3.6.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause.

3.6.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request.

3.6.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.6.1.4 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

Consultant: Gil Keinan
603 N, Euclid Ave.

Ontario, CA 91762
City: City of Adelanto
11600 Air Expressway
Adelanto, California 92301
Attn: Brenda Lopez, City Clerk
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address.

Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.
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3.6.2 Ownership of Materials and Confidentiality.

Documents & Data; Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). Consultantshall require all subconsultantsto agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement.

Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk.

3.6.2.1 3.6.2.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.6.2.3 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unlessthe City'slegal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the Release Notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of the Objection Notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.6.3 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney's fees and all other costs of such action.

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3.6.5 Indemnification.

3.6.5.1 counsel reasonably approved by the City), indemnify and hold the City, its officials, officers, employees, agents and volunteers free and harmless from any and all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, (collectively, “Claims’) in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all consequential damages, expert witness fees and attorneys’ fees and other related costs and expenses. Notwithstanding the foregoing, to the extent Consultant’s services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to Claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its officials, officers, employees, agents or volunteers.

Scope of Indemnity. To the fullest extent permitted by law, Consultant shall defend (with

3.6.5.2 Additional Indemnity Obligations. To the fullest extent permitted by law, Consultant shall defend, with counsel of City’s choosing and at Consultant’s own cost, expense and risk, any and all claims, suits, actions or other proceedings of every kind covered by Section 3.6.5.1 that may be brought or instituted against City or its directors, officials, officers, employees, volunteers and agents. Consultant shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, volunteers and agents as part of any such claim, suit, action or other proceeding. Consultant shall also reimburse City for the cost of any settlement paid by City or its directors, officials, officers, employees, agents or volunteers as part of any such claim,suit, action or other proceeding. Such reimbursement shall include payment for City's attorney'sfees and costs, including expert witness fees. Consultantshall reimburse City and its directors, officials, officers, employees, agents, and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials officers, employees, agents, or volunteers.

3.6.6 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties.

3.6.7 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in San Bernardino County.

3.6.8 Time of Essence. Time is of the essence for each and every provision of this Agreement.

3.6.9 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project.

3.6.10 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties.

3.6.11 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent 10 OMLO: October 2018
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of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.6.12 Construction: References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

3.6.13 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.6.14 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

3.6.15 No Third-Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.6.16 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in foil force and effect.

3.6.17 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

3.6.18 Kqual Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such nondiscrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted.

3.6.19 Labor Certification. By itssignature hereunder, Consultant certifiesthat it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.
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3.6.20 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

3.6.21 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.7 Subcontracting.

3.7.1 Prior Approval Required. Consultantshall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City.

Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

CITY OF ADELANTO LOCAL EQUITY LLC
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By: \ u By:
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Jc£
#ieNrlores f
-
£ity Manager
Gil Keinan
President
V
ATTEST:

By:

Brenda Lopez TJ
City Clerk
APPROVED AS TO FORM:

By:

Marc Tran
City Attorney
1 2 OMLO:October 2018
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EXHIBIT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

Technical Assistance and Financial Capacity Increase
Local Equity will provide the following support to the City of Adelanto. •Client Attraction:
- Participation in meetings with large corporationsthat want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city's goals and objectives.
•Natural Preservation and Mitigation:
- In collaboration with the city, work on preparation and mitigation strategies of the Joshua Tree. •Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets.
- Engage with local lenders and philanthropy to ascertain the level of interest and assemble a debt/equity target group for specific projects.
- Support the city in the development and improvement of the Wastewater facility - Engage with County, State, and Federal government to position projects for grants/ loan support.
- Collaborate with CDFIs, CDEs, and other NGOs on alternative financing - Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. •Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profitsto promote a healthy and collaborative support mechanism for project specific needs.

Based on current discussions, Local Equity estimates the scope of this work at an average of 30 hours/week.

Developer/Investor Support - Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto] 269
EXHIBIT "B"

COMPENSATION
Compensation not to exceed Thirty Thousand Dollars. ($30,000.00) Local Equity LLC fee amount of $30,000 billed at monthly retainer fee of $6,000 over a 5 month contract period from October 1, 2021 to February 28, 2022. 270
271
272
273
274
275
276

CITY OF ADELANTO

PROFESSIONAL CONSULTANT SERVICES AGREEMENT

1. PARTIES AND DATE.

This Agreement is made and entered into this 14th day of October, 2021, by and between the City of Adelanto, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 11600 Air Expressway, Adelanto, CA 92301 ("City") and Local Equity LLC a Limited Liability Company, with its principal place of business at 603 N. Euclid Avenue Ontario, CA 91762 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. RECITALS.

2.1 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional economic development consulting services required by the City on the terms and conditions set forth in this Agreement. Consultant represents that it is experienced in providing professional economic development services, and is familiar with the plans of the City.

2.2 Project.

City desires to engage Consultant to render such professional economic development consulting services for the communications by the City with residents and the public ("Project") as set forth in this Agreement,

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to hilly and adequately supply the professional public affairs and creative communication support services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term. The term of this Agreement shall be from October 1, 2021 to March 31. 2022, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3.2 Responsibilities of Consultant.

3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing 1 OMLO: October 2018
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the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, nor any of its officials, officers, directors, employees , or agents shall have control over the conduct of Consultant or any of Consultant's officers, employees, or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance.

3.2.2 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City.

Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement is as follows: Mr. Gil Keinan.

3.2.3 3.2.4 City's Representative. The City hereby designates Jessie Flores, City Manager, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the Scope of Work or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City’s behalf and to execute all necessary documents which enlarge the Scope of Work or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.2.5 Consultant's Representative. Consultant hereby designates Mr. Gil .

Keinan, President, or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.2.6 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times.

3.2.7 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services.

Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and 2 OMLO: October 2018
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subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.8 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If Consultant performs any work knowing it to be contrary to such laws, rules and regulations, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees, agents, and volunteers free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

3.2.9 Insurance.

3.2.9.1 l ime for Compliance. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Consultant shall not allow any subconsultant to commence work on any subcontract until it has provided evidence satisfactory to the City that the subconsultant has secured all insurance required under this section.

3.2.9.2 Types of Insurance Required. As a condition precedent to the effectiveness of this Agreement for work to be performed hereunder, and without limiting the indemnity provisions of the Agreement, the Consultant, in partial performance of its obligations under such Agreement, shall procure and maintain in full force and effect during the term of the Agreement the following policies of insurance. If the existing policies do not meet the insurance requirements set forth herein, Consultant agrees to amend, supplement or endorse the policies to do so.

Commercial General Liability:

Insurance which affords coverage at least as broad as Insurance Services Office "occurrence" form CG 0001, or the exact equivalent, with limits of not less than $1,000,000 per occurrence and no less than $2,000,000 in the general aggregate. Defense costs shall be paid inside the limits. The policy shall contain no endorsements or provisions (1) limiting coverage for contractual liability; (2) excluding coverage for claims or suits by one insured against another (cross-liability); or (3) containing any other exclusion(s) contrary to the terms or purposes of this Agreement.
(A) Commercial General Liability
Workers' Compensation/Employer’s Liability:

Compensation Insurance, as required by the State of California and Employer's Liability Insurance with a limit of not less than $1,000,000 per accident for bodily injury and disease. If Consultant has no employees or agents, Consultant shall not be required to maintain Workers’ Compensation Insurance. However, in the event that Consultant hires employees or agents during the term of this Agreement, Consultant shall obtain and maintain Workers’ Compensation/Employer’s Liability Insurance in accordance with this section. (B) Workers'
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Professional Liability (Errors & Omissions) Professional Liability insurance or Errors & Omissions insurance appropriate to Consultant’s profession with limits of not less than $1,000,000. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusionsthat may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least three (3) years from termination or expiration of this Agreement.
(C)

3.2.9.3 Insurance Endorsements. Required insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms approved by the City to add the following provisions to the insurance policies:
(A) Workers' Compensation:

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Waiver of Subrogation: A waiver of subrogation stating
that the insurer waives all rights of subrogation against the City, its officials, officers, employees, agents, and volunteers.
(2)
(B) Professional Liability (Errors & Omissions):

Cancellation: Required insurance policies shall not be
canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. a)
Contractual Liability Exclusion Deleted: This insurance shall include contractual liability applicable to this Agreement. The policy must “pay on behalf of’the insured and include a provision establishing the insurer’s duty to defend. (2)

3.2.9.4 Primary and Non-Contributing Insurance. All policies of Commercial General Liability and Automobile Liability insurance shall be primary and any other insurance, deductible, or self-insurance maintained by the City, its officials, officers, employees, agents, or volunteers shall not contribute with this primary insurance. Policies shall contain or be endorsed to contain such provisions.

3.2.9.5 Waiver of Subrogation. All policies of Commercial General Liability and Automobile Liability insurance shall contain or be endorsed to waive subrogation against the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby grants to City a waiver of any right to subrogation which any insurer of said Consultant may acquire against the City by virtue of the payment of any loss under such insurance.

Consultant agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. Consultant shall require similar written express waivers and insurance clauses from each of its subconsultants.
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3.2.9.6 Deductibles and Self-Insured Retentions. Any deductible or self-insured retention must be approved in writing by the City and shall protect the City, its officials, officers, employees, agents, and volunteers in the same manner and to the same extent as they would have been protected had the policy or policies not contained a deductible or self-insured retention.

3.2.9.7 Evidence of Insurance. The Consultant, concurrently with the execution of the Agreement, and as a condition precedent to the effectiveness thereof, shall deliver either certified copies of the required policies, or original certificates on forms approved by the City, together with all endorsements affecting each policy. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for approval. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15 days) prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City.

If such coverage is cancelled or reduced and not replaced immediately so as to avoid a lapse in the required coverage, Consultant shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies.

3.2.9.8 Failure to Maintain Coverage. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced immediately so as to avoid a lapse in the required coverage, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement effective upon notice.

3.2.9.9 Acceptability of Insurers. Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and authorized to transact business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.

3.2.9.10 Enforcement of Agreement Provisions (non estoppel). Consultant acknowledges and agrees that actual or alleged failure on the part of the City to inform Consultant of noncompliance with any requirement imposes no additional obligation on the City nor does it waive any rights hereunder.

3.2.9.11 Requirements Not Limiting. Requirement of specific coverage or minimum limits contained herein are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. If the Consultant maintains higher limits than the minimums contained herein, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.

3.2.9.12 Claims Made Policies. If any of the required policies provide coverage on a claims-made basis:

The Retroactive Date must be shown and must be before the effective date of the Agreement or the beginning of work under this Agreement. (A)
(B) Such insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of all services under this Agreement. 5 OMLO: October 2018
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If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the effective date of the Agreement, the Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of all services under this Agreement.
(C)

3.2.9.13 Special Risks or Circumstances. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

3.2.9.14 Insurance for Subconsultants. Consultant shall include all subconsultants engaged in any work for Consultant relating to this Agreement as additional insureds under the Consultant's policies, or the Consultant shall be responsible for causing subconsultants to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements, including adding the City, its officials, officers, employees, agents, and volunteers as additional insureds to the subconsultant's policies.

All policies of Commercial General Liability insurance provided by Consultant’s subconsultants performing work relating to this Agreement shall be endorsed to name the City, its officials, officers, employees, agents and volunteers as additional insureds using endorsement form ISO CG 20 38 04 13 or an endorsement providing equivalent coverage. Consultant shall not allow any subconsultant to commence work on any subcontract relating to this Agreement until it has received satisfactory evidence of subconsultant’s compliance with all insurance requirements under this Agreement, to the extent applicable.

TheConsultant shall provide satisfactory evidence of compliance with thissection upon request ofthe City,

3.2.10 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, butshall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subconsultants, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and othersafety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

Consultant warrants that all employees and
subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies described in Section 3,2.12.2 of this Agreement. Consultant further warrants that it, its employees and subcontractors have or will receive adequate training, as determined by the City, regarding these requirements as they may relate to the Services.

3.2.10.1 Standard of Care.

3.3 Fees and Payments.

3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements,for all Services rendered under this Agreement at the rates set forth in Exhibit "B" attached hereto and incorporated herein by reference. The total compensation shall not exceed Thirty thousand dollars ($30,000.00) without written approval of the City Council or City Manager as applicable. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

3.3.2 Payment of Compensation. Consultant shall submit to City a monthly invoice which indicates work completed and hours of Services rendered by Consultant. The invoice shall describe 6 OMLO: October 2018
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the amount of Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the invoice. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges thereon. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein.

3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "B" of this Agreement.

3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.

Rate Increases. In the event that this Agreement is renewed pursuant to Section

3.1.2, the rate set forth in Exhibit “B” may be adjusted each year at the time of renewal as set forth in Exhibit “B”.

3.3.5 3.4 California Labor Code Provisions.

Prevailing Wage Law. Consultant is aware of the requirements of CaliforniaLabor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. Consultant shall obtain a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement from the website of the Division of Labor Statistics and Research of the Department of Industrial Relations located at www.dir.ca.gov/dlsr/. In the alternative, Consultant may view a copy of the prevailing rates of per diem wages at the City. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at theConsultant's principal place of business and at the project site. Consultant shall defend, indemnify and hold the City, its officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

3.4.1 3.4.2 Registration. If the services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations. Consultant shall maintain registration for the duration of the project and require the same of any subconsultants. This project may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations.

It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements.

3.5 Accounting Records.

Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant OMLO: October 2018

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to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.6 General Provisions.

3.6.1 Termination of Agreement.

3.6.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause.

3.6.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request.

3.6.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.6.1.4 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

Consultant: Gil Keinan
603 N, Euclid Ave.

Ontario, CA 91762
City: City of Adelanto
11600 Air Expressway
Adelanto, California 92301
Attn: Brenda Lopez, City Clerk
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address.

Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.
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3.6.2 Ownership of Materials and Confidentiality.

Documents & Data; Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). Consultantshall require all subconsultantsto agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement.

Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk.

3.6.2.1 3.6.2.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.6.2.3 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unlessthe City'slegal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the Release Notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of the Objection Notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.6.3 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney's fees and all other costs of such action.

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3.6.5 Indemnification.

3.6.5.1 counsel reasonably approved by the City), indemnify and hold the City, its officials, officers, employees, agents and volunteers free and harmless from any and all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, (collectively, “Claims’) in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all consequential damages, expert witness fees and attorneys’ fees and other related costs and expenses. Notwithstanding the foregoing, to the extent Consultant’s services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to Claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its officials, officers, employees, agents or volunteers.

Scope of Indemnity. To the fullest extent permitted by law, Consultant shall defend (with

3.6.5.2 Additional Indemnity Obligations. To the fullest extent permitted by law, Consultant shall defend, with counsel of City’s choosing and at Consultant’s own cost, expense and risk, any and all claims, suits, actions or other proceedings of every kind covered by Section 3.6.5.1 that may be brought or instituted against City or its directors, officials, officers, employees, volunteers and agents. Consultant shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, volunteers and agents as part of any such claim, suit, action or other proceeding. Consultant shall also reimburse City for the cost of any settlement paid by City or its directors, officials, officers, employees, agents or volunteers as part of any such claim,suit, action or other proceeding. Such reimbursement shall include payment for City's attorney'sfees and costs, including expert witness fees. Consultantshall reimburse City and its directors, officials, officers, employees, agents, and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials officers, employees, agents, or volunteers.

3.6.6 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties.

3.6.7 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in San Bernardino County.

3.6.8 Time of Essence. Time is of the essence for each and every provision of this Agreement.

3.6.9 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project.

3.6.10 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties.

3.6.11 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent 10 OMLO: October 2018
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of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.6.12 Construction: References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

3.6.13 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.6.14 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

3.6.15 No Third-Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.6.16 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in foil force and effect.

3.6.17 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

3.6.18 Kqual Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such nondiscrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted.

3.6.19 Labor Certification. By itssignature hereunder, Consultant certifiesthat it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.
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3.6.20 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

3.6.21 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.7 Subcontracting.

3.7.1 Prior Approval Required. Consultantshall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City.

Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

CITY OF ADELANTO LOCAL EQUITY LLC
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By: \ u By:
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£ity Manager
Gil Keinan
President
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ATTEST:

By:

Brenda Lopez TJ
City Clerk
APPROVED AS TO FORM:

By:

Marc Tran
City Attorney
1 2 OMLO:October 2018
288
EXHIBIT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

Technical Assistance and Financial Capacity Increase
Local Equity will provide the following support to the City of Adelanto. •Client Attraction:
- Participation in meetings with large corporationsthat want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city's goals and objectives.
•Natural Preservation and Mitigation:
- In collaboration with the city, work on preparation and mitigation strategies of the Joshua Tree. •Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options. This includes City owned infrastructure assets.
- Engage with local lenders and philanthropy to ascertain the level of interest and assemble a debt/equity target group for specific projects.
- Support the city in the development and improvement of the Wastewater facility - Engage with County, State, and Federal government to position projects for grants/ loan support.
- Collaborate with CDFIs, CDEs, and other NGOs on alternative financing - Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. •Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profitsto promote a healthy and collaborative support mechanism for project specific needs.

Based on current discussions, Local Equity estimates the scope of this work at an average of 30 hours/week.

Developer/Investor Support - Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto] 289
EXHIBIT "B"

COMPENSATION
Compensation not to exceed Thirty Thousand Dollars. ($30,000.00) Local Equity LLC fee amount of $30,000 billed at monthly retainer fee of $6,000 over a 5 month contract period from October 1, 2021 to February 28, 2022. 290
EXHIBIT "A"

SCOPE OF SERVICES
ECONOMIC DEVELOPMENT SUPPORT AND ASSISTANCE:

Local Equity LLC shall work with the City of Adelanto to attract capital providers and developers of infrastructure, housing, manufacturing, distribution facilities, and Cannabis facilities.

City: Technical Assistance and Financial Capacity Increase Local Equity will provide the following support to the City of Adelanto. • Client Attraction:
- Participation in meetings with large corporations that want to invest in the city. - Support the city with direct marketing efforts to corporations that are a fit with the city’s goals
and objectives.
• Project Financing:
- Engage in discussions about projects that have high community impact to understand the financing needs. Educate staff and investors about available alternative financing options.

This includes City owned infrastructure assets.
- Engage with County, State, and Federal government to position projects for grants/loan support.
- Support the city in creating materials and documentation required to apply for, process, and maintain loans, bonds, and philanthropic capital- as requested. • Stakeholder collaboration:
- Upon request by the client, engage with other public agencies or non-profits to promote a healthy and collaborative support mechanism for project specific needs.

Local Equity estimates the scope of this work at an average of 30 hours/week.

Adelanto Public Utility: CIP & Management Support
- Act as convener to City staff, consultants, vendors (PERC), and third-party agencies to advance improvements and collaboration in the area of water and sewer infrastructure. This may include:
- Grant Application and management
- Special district formation
- Feasibility analysis and masterplans
- Sewer and water capacity increase & optimization
- Coordination with Engineering and third party consultants Local Equity estimates the scope of this work at an average of 60 hours/week.

Developer/Investor Support – Not Included
Local Equity may contract with local developers and investors to advance their projects in Adelanto, help attract debt and equity financing, and act as local intermediary. Such costs will be carried by the 3rd party with no impact to the client (The City of Adelanto) 291

ADELANTO PUBLIC UTILITY AUTHORITY
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: May 8, 2024
TO: Honorable Chairman, and Public Utility Authority Members FROM: Jessie Flores, Executive Director
BY: Brenda Lopez, CMC , City Clerk
SUBJECT: CONSIDERATION OF PROFESSIONAL SERVICES AGREEMENT BETWEEN THE ADELANTO PUBLIC UITILITY AUTHORITY (APUA) AND POLITICAL DYNAMICS.

STAFF RECOMMENDATION:

Staff Recommends the Adelanto Public Utility Authority approve a professional services agreement with Political Dynamics for a period of six (6) months in a not to exceed amount of $15,000.

Background:

The proposed agreement entails engaging Political Dynamics for a duration not surpassing six months.

The consultant's responsibilities will encompass the following tasks:
• Governmental Relations: Political Dynamics will liaise with key personnel in the Administration, State Legislature, and Federal Government to facilitate interactions on behalf of the City of Adelanto concerning its water and energy infrastructure. This involves securing Letters of Support from state elected officials endorsing Adelanto's infrastructure initiatives, advocating for funding from state and federal agencies for water and power infrastructure projects, and engaging with State and Federal Agencies to garner additional support for infrastructure endeavors. Furthermore, they will collaborate with State Water Board officials to address potential challenges posed by the George Air Force Base Plume and its implications on wastewater processing and future development in Adelanto's water well, seeking positive funding opportunities for resolving the Plume issue.
• Infrastructure Financing Plan: Political Dynamics will develop a financing or grant plan for water/hydrogen power infrastructure based on a climate resiliency framework. • Economic Development Opportunities: Researching and recommending potential economic development prospects for Adelanto aligned with the forecast for water and power infrastructure.
• Federal Government Engagement: Establishing a liaison with governmental advocates in Washington, DC to bolster federal funding for water infrastructure projects. 292
• Communication and Evaluation: Political Dynamics will provide regular updates on progress through update calls and collaborate with City of Adelanto team members to assess progress and identify any additional services required within the scope of work.

Fiscal Impact:

The total cost of the agreement is $15,000, which will be covered by the Adelanto Public Utility Authority.

Attachments:

1. Professional Services Agreement (PSA) with Political Dynamics.

2. Scope of work.
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ADELANTO PUBLIC UTILITY AUTHORITY

PROFESSIONAL SERVICES AGREEMENT
Intergovernmental Consulting Services
THIS PROFESSIONAL SERVICES AGREEMENT (“Agreement”) is made and effective this 8th day of May, 2024 (“Effective Date”) by and between the ADELANTO PUBLIC UTILITY AUTHORITY, a California joint powers authority, (“City”) and Political Dynamics, a Nevada LLC (“Consultant”). City and Consultant may sometimes herein be referred to individually as a “Party” and collectively as the “Parties.”
SECTION 1. SERVICES.

Subject to the terms and conditions set forth in this Agreement, Consultant shall provide to City the services described in the Scope of Services, attached hereto as Exhibit A and incorporated herein by this reference (the “Services”). Consultant will perform subsequent task orders as requested by the Contract Administrator (as defined below), in accordance with the Scope of Services. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A, this Agreement shall prevail.

1.1 Term of Services. The term of this Agreement shall begin on May 8, 2024, and shall end on November 8, 2024, unless the term of this Agreement is otherwise terminated or extended as provided for in Section 8. The time provided to Consultant to complete the Services required by this Agreement shall not affect City’s right to terminate this Agreement, as provided for in Section 8.

1.2 Standard of Performance. Consultant represents and warrants that Consultant is a provider of first class work and services and Consultant is experienced in performing the Services contemplated herein and, in light of such status and experience, Consultant shall perform the Services required pursuant to this Agreement in the manner and according to the standards observed by a competent practitioner of the profession in which Consultant is engaged in the geographical area in which Consultant practices its profession and to the sole satisfaction of the Contract Administrator.

1.3 Assignment of Personnel. Consultant shall assign only competent personnel to perform the Services pursuant to Agreement. In the event that City, in its sole discretion, at any time during the term of this Agreement, desires the reassignment of any such persons, Consultant shall, immediately upon receiving notice from City of such desire of City, reassign such person or persons.

1.4 Time. Consultant shall devote such time to the performance of the Services pursuant to this Agreement as may be reasonably necessary to satisfy Consultant’s obligations hereunder.

1.5 Authorization to Perform Services. Consultant is not authorized to perform any of the Services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator.
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1.6 Warranty. By executing this Agreement, Consultant warrants that Consultant (i) has thoroughly investigated and considered the Services, (ii) has carefully considered how the Services should be performed, and (iii) fully understands the facilities, difficulties, and restrictions attending performance of the Services.

SECTION 2. COMPENSATION.

City hereby agrees to pay Consultant a sum not to exceed FIFTEEN THOUSAND DOLLARS ($15,000.00) notwithstanding any contrary indications that may be contained in Consultant’s proposal, for the Services to be performed and reimbursable costs incurred under this Agreement. In the event of a conflict between this Agreement and Exhibit A, regarding the amount of compensation, this Agreement shall prevail. City shall pay Consultant for the Services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to Consultant for the Services rendered pursuant to this Agreement. Consultant shall submit all invoices to City in the manner specified herein.

Except as specifically authorized in advance by City, Consultant shall not bill City for duplicate services performed by more than one person. It is understood that the compensation will be paid monthly in the amount of $2,500 per month.

2.1 Invoices. Consultant shall submit invoices monthly during the term of this Agreement, based on the cost for the Services performed and reimbursable costs incurred prior to the invoice date. Invoices shall contain the following information:
a. Serial identifications of progress bills; i.e., Progress Bill No. 1 for the first invoice, etc.;
b. The beginning and ending dates of the billing period; c. A “Task Summary” containing the original contract amount, the amount of prior billings, the total due this period, the balance available under this Agreement, and the percentage of completion;
d. At City’s option, for each item in each task, a copy of the applicable time entries or time sheets shall be submitted showing the name of the person performing the Services, the hours spent by each person, a brief description of the Services, and each reimbursable expense; e. The total number of hours of work performed under this Agreement by Consultant and each employee, agent, and subcontractor of Consultant performing the Services hereunder necessary to complete the Services described in Exhibit A; f. Receipts for expenses to be reimbursed;
g. The Consultant Representative’s signature.

Invoices shall be submitted to:

City of Adelanto
Attn: Accounts Payable
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11600 Air Expressway
Adelanto, CA 92301

2.2 Monthly Payment. City shall make monthly payments, based on invoices received, for the Services satisfactorily performed, and for authorized reimbursable costs incurred. City shall have thirty (30) days from the receipt of an invoice that complies with all of the requirements above to pay Consultant.

2.3 Retention of Funds, Final Payment. Consultant hereby authorizes City to retain and deduct from any amount payable to Consultant not exceeding five percent (5%) of the total compensation. The retained funds shall be paid to Consultant within sixty (60) days after final acceptance of the Services by the City and after Consultant has furnished City with full release of all undisputed payments under this Agreement. In the event there are any claims specifically excluded by Consultant from the operation of the release, City may retain proceeds of up to one hundred fifty percent (150%) of the amount in dispute. The failure of City to exercise such right to deduct or to withhold shall not, however, affect the obligations of Consultant to insure, indemnify, and protect City as provided in this Agreement. City shall pay the last five percent (5%) of the total amount due pursuant to this Agreement within sixty (60) days after completion of the Services and submittal to City of a final invoice, if all of the Services required have been satisfactorily performed.

2.4 Total Payment. City shall not pay any additional sum for any expense or cost whatsoever incurred by Consultant in rendering the Services pursuant to this Agreement. City shall make no payment for any extra, further, or additional service pursuant to this Agreement.

In no event shall Consultant submit any invoice for an amount in excess of the maximum amount of compensation provided above either for a task or for the entirety of the Services performed pursuant to this Agreement, unless this Agreement is modified in writing prior to the submission of such an invoice.

2.5 Hourly Fees. Fees for the Services performed by Consultant on an hourly basis shall not exceed the amounts shown on the fee schedule included with Exhibit A.

2.6 Reimbursable Expenses. Reimbursable expenses are included within the maximum amount of this Agreement.

2.7 Payment of Taxes. Consultant is solely responsible for the payment of employment taxes incurred under this Agreement and any federal or state taxes.

2.8 Payment upon Termination. In the event that City or Consultant terminates this Agreement pursuant to Section 8, City shall compensate Consultant for all outstanding costs and reimbursable expenses incurred for Services satisfactorily completed and for reimbursable expenses as of the date of written notice of termination. Consultant shall maintain adequate logs and timesheets in order to verify costs and reimbursable expenses incurred to that date. 296
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SECTION 3. FACILITIES AND EQUIPMENT.

Except as otherwise provided, Consultant shall, at its sole cost and expense, provide all facilities and equipment necessary to perform the services required by this Agreement. City shall make available to Consultant only physical facilities such as desks, filing cabinets, and conference space, as may be reasonably necessary for Consultant’s use while consulting with City employees and reviewing records and the information in possession of City. The location, quantity, and time of furnishing those facilities shall be in the sole discretion of City. In no event shall City be required to furnish any facility or equipment that may involve incurring any direct expense, including but not limited to computer, long-distance telephone or other communication charges, vehicles, and reproduction facilities.

SECTION 4. INSURANCE REQUIREMENTS.

Not Applicable.

SECTION 5. INDEMNIFICATION.

5.1 Indemnification for Professional Liability. Where the law establishes a professional standard of care for performance of the Services, to the fullest extent permitted by law, Consultant shall indemnify, protect, defend (with counsel selected by City), and hold harmless City and any and all of its officers, employees, officials, volunteers, and agents from and against any and all claims, losses, costs, damages, expenses, liabilities, liens, actions, causes of action (whether in tort, contract, under statute, at law, in equity, or otherwise) charges, awards, assessments, fines, or penalties of any kind (including reasonable consultant and expert fees and expenses of investigation, costs of whatever kind and nature and, if Consultant fails to provide a defense for City, the legal costs of counsel retained by City) and any judgment (collectively, “Claims”) to the extent same are caused in whole or in part by any negligent or wrongful act, error, or omission of Consultant, its officers, agents, employees, or subcontractors (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of professional services under this Agreement.

5.2 Indemnification for Other than Professional Liability. Other than in the performance of professional services and to the full extent permitted by law, Consultant shall indemnify, protect, defend (with counsel selected by City), and hold harmless City, and any and all of its officers, employees, officials, volunteers, and agents from and against any and all Claims, where the same arise out of, are a consequence of, or are in any way attributable to, in whole or in part, the performance of this Agreement by Consultant or by any individual or entity for which Consultant is legally liable, including but not limited to officers, agents, employees or subcontractors of Consultant.

5.3 Not applicable.

5.4 Limitation of Indemnification. The provisions of this Section 5 do not apply to claims occurring as a result of City’s sole or active negligence. The provisions of this Section 5 shall not release City from liability arising from gross negligence or willful acts or omissions of City or any and all of its officers, officials, employees, and agents acting in an official capacity. 297
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SECTION 6. INDEPENDENT CONTRACTOR.

At all times during the term of this Agreement, Consultant shall be an independent contractor and shall not be an employee of City. City shall have the right to control Consultant only insofar as the results of the Services rendered pursuant to this Agreement and assignment of personnel pursuant to Subsection 1.3; however, otherwise City shall not have the right to control the means by which Consultant accomplishes the Services rendered pursuant to this Agreement.

The personnel performing the Services under this Agreement on behalf of Consultant shall at all times be under Consultant’s exclusive direction and control. Consultant shall not at any time or in any manner represent that it is or any of its officers, employees, or agents are in any manner officers, officials, employees, or agents of City. Consultant shall not incur or have the power to incur any debt, obligation, or liability whatever against City, or bind City in any manner. Except for the fees paid to Consultant as provided in this Agreement, City shall not pay salaries, wages, or other compensation to Consultant for performing the Services hereunder for City. City shall not be liable for compensation or indemnification to Consultant for injury or sickness arising out of performing the Services hereunder. Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System (“PERS”) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits.

SECTION 7. LEGAL REQUIREMENTS.

7.1 Governing Law. The laws of the State of California shall govern this Agreement.

7.2 Compliance with Applicable Laws. Consultant and any subcontractor shall comply with all applicable local, state, and federal laws and regulations applicable to the performance of the work hereunder. Consultant shall not hire or employ any person to perform work within City or allow any person to perform the Services required under this Agreement unless such person is properly documented and legally entitled to be employed within the United States. Consultant acknowledges and agrees that it shall be independently responsible for reviewing the applicable laws and regulations and effectuating compliance with such laws. Consultant shall require the same of all subcontractors.

7.3 Not applicable.

7.4 Licenses and Permits, Fees and Assessments. Consultant represents, warrants, and covenants to City that Consultant and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice their respective professions, and perform the Services. Consultant represents, warrants, and covenants to City that Consultant and its employees, agents, and subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required to practice their respective professions, and perform the Services. In addition to the foregoing, Consultant and any subcontractors shall obtain and maintain during the term of this Agreement valid business licenses from City. Consultant 298
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shall have the sole obligation to pay for any fees, assessments, and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for Consultant’s performance of the Services, and shall indemnify, defend and hold harmless City, its officers, employees or agents of City, against any such fees, assessments, taxes, penalties or interest levied, assessed, or imposed against City hereunder.

7.5 Conflicts of Interest, Political Reform Act. Consultant represents, warrants, and covenants that Consultant presently has no interest, direct or indirect, which would interfere with or impair in any manner or degree the performance of Consultant’s obligations and responsibilities under this Agreement. Consultant further agrees that while this Agreement is in effect, Consultant shall not acquire or otherwise obtain any interest, direct or indirect, that would interfere with or impair in any manner or degree the performance of Consultant’s obligations and responsibilities under this Agreement. Consultant acknowledges that pursuant to the provisions of the Political Reform Act (Government Code Section 87100 et seq.), City may determine the Consultant to be a “consultant” as that term is defined by 2 California Code of Regulations Section 18700.3. In the event City makes such a determination, Consultant agrees to complete and file a “Statement of Economic Interest” with the City Clerk to disclose such financial interests as required by City. In such event, Consultant further agrees to require any other person doing work under this Agreement to complete and file a “Statement of Economic Interest” to disclose such other person’s financial interests as required by City.

7.6 Annual Appropriation of Funding. In accord with Article 16 Section 18 of the California Constitution, payment of compensation under this Agreement is contingent upon annual appropriation of funds by City for that purpose. Consultant acknowledges and agrees that to the extent that the Services extend beyond one (1) fiscal year, payment for such Services is expressly conditioned on City’s annual appropriation of funds for such Services for each year. If no funds are appropriated then this Agreement shall be terminated. City pledges and agrees to process such appropriation requests annually and in good faith. Nothing in this Subsection shall be construed to limit the right of either Party to terminate this Agreement as provided herein.

SECTION 8. TERMINATION AND MODIFICATION.

8.1 Termination. City may cancel this Agreement at any time and without cause upon written notification to Consultant.

8.2 Termination by Consultant. Consultant may cancel this Agreement upon 30 days’ written notice to City.

8.3 Consequences of Termination. In the event of termination, Consultant shall be entitled to compensation for the Services performed up to the date of termination; City, however, may condition payment of such compensation upon Consultant delivering to City any or all documents, photographs, computer software, video and audio tapes, and other materials provided to Consultant or prepared by or for Consultant or City in connection with this Agreement.

8.4 Extension. City may, in its sole and exclusive discretion, extend the end date of this Agreement beyond that provided for in Subsection 1.1. Any such extension shall require a written amendment to this Agreement, as provided for herein. Consultant understands and agrees 299
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that, if City grants such an extension, City shall have no obligation to provide Consultant with compensation beyond the maximum amount provided for in this Agreement. Similarly, unless authorized by the Contract Administrator, City shall have no obligation to reimburse Consultant for any otherwise reimbursable expenses incurred during the extension period.

8.5 Amendments. The Parties may amend this Agreement only by a writing signed by all the Parties.

8.6 Assignment and Subcontracting. City and Consultant recognize and agree that this Agreement contemplates personal performance by Consultant and is based upon a determination of Consultant’s unique personal competence, experience, and specialized personal knowledge.

Moreover, a substantial inducement to City for entering into this Agreement was and is the professional reputation and competence of Consultant. Consultant may not assign this Agreement or any interest therein without the prior written approval of the Contract Administrator. Consultant shall not subcontract any portion of the performance contemplated and provided for herein, other than to the subcontractors noted in Consultant’s proposal, without prior written approval of the Contract Administrator. In the event that key personnel leave Consultant’s employ, Consultant shall notify City immediately.

8.7 Survival. All obligations arising prior to the expiration or termination of this Agreement and all provisions of this Agreement allocating liability between City and Consultant shall survive the expiration or termination of this Agreement.

8.8 Options upon Breach by Consultant. If Consultant materially breaches any of the terms of this Agreement, City's remedies shall include, but not be limited to, any or all of the following:
a. Immediately terminate this Agreement;
b. Retain the plans, specifications, drawings, reports, design documents, and any other work product prepared by Consultant pursuant to this Agreement; c. Retain a different consultant to complete the Services described in Exhibit A; and/or
d. Charge Consultant the difference between the cost to complete the Services described in Exhibit A that is unfinished at the time of breach and the amount that City would have paid Consultant pursuant to Section 2 if Consultant had completed the Services.

SECTION 9. KEEPING AND STATUS OF RECORDS.

9.1 Records Created as Part of Consultant’s Performance. All reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form that Consultant prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of City. Consultant hereby agrees to deliver those documents to City upon the expiration or termination of this Agreement. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement 300
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are prepared specifically for City and are not necessarily suitable for any future or other use. Any use of such documents for other projects by City shall be without liability to Consultant. City and Consultant agree that, until final approval by City, all data, plans, specifications, reports, and other documents are confidential and will not be released to third parties without prior written consent of both Parties unless required by law. Consultant understands and agrees that it may be required to provide documents to the City to be produced in response to a Public Records Act request.

9.2 Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, rights of reproduction, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, test data, survey results, models, renderings, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings, digital renderings, or data stored digitally, magnetically, or in any other medium, which are prepared or caused to be prepared by Consultant under this Agreement (“Documents and Data”). Consultant shall require all subcontractors to agree in writing that City is granted a nonexclusive and perpetual license for any Documents and Data the subcontractor prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to license any and all Documents and Data. Consultant makes no such representation and warranty in regard to Documents and Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents and Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City’s sole risk.

9.3 Consultant’s Books and Records. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for the Services or expenditures and disbursements charged to City under this Agreement for a minimum of three (3) years, or for any longer period required by law, from the date of final payment to Consultant under this Agreement. All such records shall be maintained in accordance with generally accepted accounting principles and shall be clearly identified and readily accessible.

9.4 Inspection and Audit of Records. Any records or documents that Subsection 9.3 of this Agreement requires Consultant to maintain shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of City.

Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds TEN THOUSAND DOLLARS ($10,000.00), this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of City, for a period of three (3) years after final payment under this Agreement.

SECTION 10. MISCELLANEOUS PROVISIONS.

10.1 Attorneys’ Fees. If either Party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing Party shall be entitled to reasonable attorneys’ fees and expenses including costs, in addition to any other relief to which that Party may be entitled; provided, however, that the attorneys’ fees awarded pursuant to this Subsection shall not exceed the hourly rate paid by City for legal services multiplied by the reasonable number of hours spent by the prevailing Party in the conduct of the 301
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litigation. The court may set such fees in the same action or in a separate action brought for that purpose.

10.2 Venue. In the event that either Party brings any action against the other under this Agreement, the Parties agree that trial of such action shall be vested exclusively in San Bernardino County.

10.3 Severability. If any provision of this Agreement is held invalid, the remainder of this Agreement shall not be affected thereby and all other parts of this Agreement shall nevertheless be in full force and effect.

10.4 Section Headings and Subheadings. The section headings and subheadings contained in this Agreement are included for convenience only and shall not limit or otherwise affect the terms of this Agreement.

10.5 No Implied Waiver of Breach. Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement. Acceptance by City of any work or services by Consultant shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a non-defaulting Party on any default shall impair such right or remedy or be construed as a waiver. Any waiver by either Party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement.

10.6 Successors and Assigns. The provisions of this Agreement shall inure to the benefit of and shall apply to and bind the successors and assigns of the Parties.

10.7 Consultant Representative. All matters under this Agreement shall be handled for Consultant by John Feliz (“Consultant’s Representative”). The Consultant’s Representative shall have full authority to represent and act on behalf of Consultant for all purposes under this Agreement. The Consultant’s Representative shall supervise and direct the Services, using his best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

10.8 City Contract Administration. This Agreement shall be administered by a City employee, Jessie Flores, Executive Director (“Contract Administrator”). All correspondence shall be directed to or through the Contract Administrator or his designee. The Contract Administrator shall have the power to act on behalf of City for all purposes under this Agreement. Unless otherwise provided in this Agreement, Consultant shall not accept direction or orders from any person other than the Contract Administrator or his designee.

10.9 Notices. Any written notice to Consultant shall be sent to:

Political Dynamics, LLC
Attn: John Feliz
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1840 Westminster Ct.

Carmichael, CA 95808
Any written notice to City shall be sent to the Contract Administrator at:

Adelanto Public Utility Authority
11600 Air Expressway
Adelanto, CA 92301
Attn: Jessie Flores, Executive Director
with a copy to:

City Clerk
City of Adelanto
11600 Air Expressway
Adelanto, CA 92301

10.10 Not applicable

10.11 Rights and Remedies. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the Parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

10.12 Integration. This Agreement, including the scope of services attached hereto and incorporated herein as Exhibit A, represents the entire and integrated agreement between City and Consultant and supersedes all prior negotiations, representations, or agreements, either written or oral. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply.

10.13 Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.

10.14 Execution of Contract. The persons executing this Agreement on behalf of each of the Parties hereto represent and warrant that (i) such Party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said Party, (iii) by so executing this Agreement, such Party is formally bound to the provisions of this Agreement, and (iv) that entering into this Agreement does not violate any provision of any other agreement to which said Party is bound.

10.15 Nondiscrimination. Consultant covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that in the performance of this Agreement there shall be no discrimination against or segregation of, any person or group of persons on account of any impermissible classification including, but not limited to, race, color, creed, religion, sex, marital status, sexual orientation, national origin, or ancestry. 303
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10.16 No Third-Party Beneficiaries. There are no intended third-party beneficiaries under this Agreement and no such other third parties shall have any rights or obligations hereunder.

10.17 Nonliability of City Officers and Employees. No officer, official, employee, agent, representative, or volunteer of City shall be personally liable to Consultant, or any successor in interest, in the event of any default or breach by City or for any amount which may become due to Consultant or to its successor, or for breach of any obligation of the terms of this Agreement.

10.18 No Undue Influence. Consultant declares and warrants that no undue influence or pressure is used against or in concert with any officer or employee of City in connection with the award, terms or implementation of this Agreement, including any method of coercion, confidential financial arrangement, or financial inducement. No officer or employee of City shall receive compensation, directly or indirectly, from Consultant, or from any officer, employee, or agent of Consultant, in connection with the award of this Agreement or any work to be conducted as a result of this Agreement.

10.19 No Benefit to Arise to City Employees. No member, officer, or employee of City, or their designees or agents, and no public official who exercises authority over or has responsibilities with respect to this Agreement during his/her tenure or for one (1) year thereafter, shall have any interest, direct or indirect, in any agreement or sub-agreement, or the proceeds thereof, for the Services to be performed under this Agreement. [Signatures on Following Page]
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IN WITNESS WHEREOF, the Parties hereto have executed and entered into this Agreement as of the Effective Date.

ADELANTO PUBLIC UTILITY

AUTHORITY
APUA President
Attest:

Brenda Lopez, Clerk
Approved as to Form:

Todd Litfin, General Counsel

CONSULTANT
John Feliz

«Consultant_Signature_2»

[Note: 2 officer’s signatures required if
Consultant is a corporation, unless provided
with a certificate of secretary in-lieu]
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EXHIBIT A.

EXHIBIT A

SCOPE OF SERVICES
Services shall include Intergovernmental Consulting Services services in the amount not to exceed Fifteen Thousand Dollars ($15,000.00) as further detailed in the following page(s).

Scope of Services:

1. Meet with key staff in the Administration, State Legislature and Federal Government to develop interaction on behalf of the Adelanto Public Utility Authority’s water and energy infrastructure. Contact relevant agencies and legislative personnel that deal with infrastructure issues:
• Obtain Letters of Support from state elected officials supporting the Adelanto Public Utility Authority’s infrastructure program: wastewater treatment, water and power grants including possible tribal relations to develop hydrogen production.
• Support calls to state and federal agencies to secure funds for Adelanto and county water/power infrastructure efforts
• Liaison with State and Federal Agencies for additional infrastructure support.
• Work with State Water board officials to mitigate potential negative developments related to the George Air Force Base Plume and its subsequent effects on the city’s ability to process wastewater and/or future development in the city’s water well. Engage with Air Force officials to create a positive funding environment for future solutions to the proposed Plume problem.

2. Develop a water/hydrogen power infrastructure financing or grant plan based on a climate resiliency framework.

3. Research, examine, and recommend possible economic development opportunities for the Adelanto Public Utility Authority in keeping with the water/power forecast.

4. Create a liaison with Washington, DC governmental advocates to develop federal government engagement to increase funding for water infrastructure.

5. Political Dynamics will communicate on a regular update call on progress of the above efforts and will work with the Adelanto Public Utility Authority team members to evaluate progress and any additional services that may need to be added into the above scope. With the contacts, relationships, and previous success in working with state agencies for entities like the APUA we are confident in the ability to deliver these services. 306
Scope of Service-Intergovernmental Consulting 2024

1. Meet with key staff in the Administration, State Legislature and Federal Government to develop interaction on behalf of the City of Adelanto’s water and energy infrastructure.

Contact relevant agencies and legislative personnel that deal with infrastructure issues:
•Obtain Letters of Support from state elected officials supporting the City of Adelanto’s infrastructure program: wastewater treatment, water and power grants including possible tribal relations to develop hydrogen production. •Support calls to state and federal agencies to secure funds for Adelanto and county water/power infrastructure efforts
•Liaison with State and Federal Agencies for additional infrastructure support. *Work with State Water board officials to mitigate potential negative developments related to the George Air Force Base Plume and its subsequent effects on the city’s ability to process wastewater and/or future development in the city’s water well. Engage with Air Force officials to create a positive funding environment for future solutions to the proposed Plume problem.

2. Develop a water/hydrogen power infrastructure financing or grant plan based on a climate resiliency framework.

3. Research, examine, and recommend possible economic development opportunities for the City of Adelanto in keeping with the water/power forecast.

4. Create a liaison with Washington, DC governmental advocates to develop federal government engagement to increase funding for water infrastructure.

5. Political Dynamics will communicate on a regular update call on progress of the above efforts and will work with City of Adelanto team members to evaluate progress and any additional services that may need to be added into the above scope. With the contacts, relationships, and previous success in working with state agencies for cities like Adelanto we are confident in the ability to deliver these services. 307

CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: May 8, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Todd Litfin, City Attorney
SUBJECT: AMENDMENT TO INCREASE THE CITY MANAGER'S AUTHORIZATION THRESHOLD FOR ENTERING INTO CONTRACTS FROM $30,000 TO $75,000.

STAFF RECOMMENDATION:

It is recommended that the City Council approve the proposed Amendment to increase the City Manager's authorization threshold for entering into contracts from $30,000 to $75,000. This adjustment aligns with current market conditions and operational needs while maintaining appropriate checks and balances.

BACKGROUND AND DISCUSSION:

This report outlines a proposal to amend the authorization threshold for the City Manager to enter contracts without observing the bidding procedure. Currently, the City Manager is authorized to enter contracts for personal services, professional and consulting services, and other contractual services up to $30,000. The proposed change seeks to raise this threshold to $75,000, provided there exists an unencumbered appropriation in the fund account against which said expense is to be charged.

Background:

The current authorization threshold of $30,000 was established to facilitate timely procurement processes and ensure efficient delivery of services. However, as the cost of goods and services continues to rise, there is a need to adjust this threshold to reflect current market conditions and maintain operational flexibility. 308

CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
It is proposed that the City Manager's authorization threshold for entering into contracts without observing the bidding procedure be increased from $30,000 to $75,000. This adjustment would allow the City Manager to secure necessary services and resources more effectively while still ensuring appropriate oversight and accountability.

Several factors support the proposed increase in the authorization threshold:
• Efficiency: Raising the threshold would streamline procurement processes, reducing administrative burden and expediting service delivery. • Flexibility: A higher threshold would provide the City Manager with greater flexibility to respond to emergent needs and market fluctuations promptly. • Cost Savings: By reducing the frequency of small-scale procurements, the city can potentially achieve cost savings through economies of scale and reduced administrative overhead.
• Competitive Advantage: Increasing the threshold can attract a broader range of vendors, fostering increased competition and potentially leading to better value for the city.

FISCAL IMPACT:

Increasing signing authority for the City Manager from $30,000 to $75,000, provided there exists and unencumbered appropriation in the fund against which said expense is to be charged.

ATTACHMENTS:

Ordinance No. 651
309
ORDINANCE NO. 651

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ADELANTO, COUNTY OF SAN BERNARDINO, AMENDING SECTION 3.10.270(E) OF THE

ADELANTO MUNICIPAL CODE PERTAINING TO CITY MANAGER

CONTRACT AUTHORITY
WHEREAS, the City of Adelanto desires to amend its local laws pertaining to the contract authority of the City Manager.

THE CITY COUNCIL OF THE CITY OF ADELANTO DOES HEREBY ORDAIN AS FOLLOWS:

SECTION 1. Adelanto Municipal Code section 3.10.270(E) is hereby amended to read in its entirety as follows:

The City Manager is authorized to enter into contracts for personal services, for professional and consulting services and for other contractual services without observing the bidding procedure provided herein where the amount of the contract does not exceed the amount of seventy five thousand dollars ($75,000.00), provided there exists an unencumbered appropriation in the fund account against which said expense is to be charged; SECTION 2. SEVERABILITY. If any section, subsection,subdivision, paragraph,sentence, clause or phrase of this Ordinance, or any part thereof is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, clause or phrase would be subsequently declared invalid or unconstitutional.

SECTION 3. EFFECTIVE DATE. This Ordinance shall be in full force and effect thirty (30) days after its adoption.

SECTION 4. CERTIFICATION. The City Clerk shall certify to the passage and adoption of this Ordinance, and shall cause the same to be published within fifteen (15) days after passage in accordance with law, and shall cause this Ordinance and its certification, together with proof of publication, to be entered into the Book of Ordinances of the City of Adelanto. 310
PASSED, APPROVED AND ADOPTED THIS 8
th DAY May, 2024
____________________________________
Gabriel Reyes, Mayor of the City of Adelanto
____________________________________
Brenda Lopez, City Clerk
APPROVED AS TO FORM:
__________________________________________
Todd Litfin, City Attorney
311
I, Brenda Lopez, City Clerk of the City of Adelanto, California, do hereby certify that the foregoing Ordinance No. 651 was duly introduced for the first reading on the 8 th day of May, 2024
and regularly adopted at a regular meeting of the City Council of the City of Adelanto on this 22nd day of May, 2024, by the following vote, to-wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

IN WITNESS WHEREOF, I hereunto set my hand and affix the official seal of the City of Adelanto on this 22nd day of May, 2024.
___________________________________
Brenda Lopez, City Clerk
SEAL
312

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