2. Original Agreement and First through Third Amendments — Anaheim City Council, June 17, 2025

ORIGINAL AGREEMENT
s THIS AGREEMENT ("Agreement"), dated for purposes of identification only this I day of ft...0(4aAaA 7 2019, is made and entered into by and between the CITY OF ANAHEIM, a municipal corporation,
hereinafter referred to as "ANAHEIM,"
A
LYONS SECURITY SERVICE, INC., a California
corporation, hereinafter referred to as
"CONTRACTOR."
ANAHEIM and CONTRACTOR are sometimes individually referred to herein as "Party" and collectively as "Parties."
WITNESSETH:

WHEREAS, ANAHEIM is a municipal corporation duly organized and validly existing under the laws of the State of California with the power to carry on its business as it is now being conducted under the statutes of the State of California and the Charter of the City of Anaheim; and
WHEREAS, ANAHEIM desires to engage CONTRACTOR to provide security services for the Salvation Army Emergency Shelter located at 1300 S. Lewis Street, Anaheim, California (the "Services"); and
WHEREAS, CONTRACTOR possesses the skill, experience, ability, background, certification and knowledge to provide the services for the Project as described in this Agreement; and
WHEREAS, ANAHEIM has solicited and received a proposal from CONTRACTOR dated January 14,2019 (the "Proposal"), has reviewed the previous experience and evaluated the expertise of CONTRACTOR, and desires to retain CONTRACTOR to render services under the terms and conditions set forth in this Agreement. 1 NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL

PROMISES, COVENANTS AND CONDITIONS HEREIN CONTAINED, THE PARTIES HERETO AGREE AS FOLLOWS:

1. SERVICES TO BE PROVIDED BY CONTRACTOR
In compliance with all of the terms and conditions of this Agreement, CONTRACTOR shall provide to ANAHEIM all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the services necessary for the Project ("Services"). The Services are more particularly described in the Proposal attached hereto as Exhibit "A" and incorporated herein by this reference ("Scope of Services"). ANAHEIM may elect to delete certain tasks of the Scope of Services at its sole discretion.

2. TERM
The term of this Agreement shall commence on January 15, 2019 and shall terminate two (2) years thereafter, unless sooner terminated as provided herein ("Term"). In addition, the Planning and Building Director is authorized to extend the Term of this Agreement for such time as may be reasonably necessary for completion of any outstanding services at the time. However, in no event shall such extension exceed six (6) months.

All parties recognize that the continuation of this Agreement after the close of any fiscal year of ANAHEIM, which fiscal year ends on June 30 of each year, shall be subject to budget approval providing for or covering such contract items as an expenditure in said budget.

ANAHEIM does not represent that said budget item will be actually adopted, said determination being the determination of the City Council at the time of the adoption of the budget herein. No penalty shall accrue to ANAHEIM in the event this provision shall be exercised. Should termination be accomplished in accordance with this Section, a settlement shall be negotiated by the parties based on items delivered, services provided, monies paid and monies due.

3. TIME OF PERFORMANCE

3.1 Time is of the essence in the performance of this Agreement and the Services shall be performed to completion in a diligent and timely manner. The failure by CONTRACTOR to perform the Services in a diligent and timely manner may result in termination of this Agreement by ANAHEIM.

3.2 The time period(s) specified for performance of the Services rendered, pursuant to this Agreement, shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of CONTRACTOR, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, pestilence, and other natural catastrophes, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, civil disturbance or disobedience, labor dispute, labor or 2 material shortage, sabotage, government priorities, restraint by court order or public authority and action or non-action by or inability to obtain the necessary authorization or approvals from any governmental agency or authority, and/or acts of any governmental agency, including ANAHEIM, which by the exercise of due diligence such Party could not reasonably have been expected to avoid and which by exercise of due diligence has been unable to overcome, if CONTRACTOR shall within ten (10) days of the commencement of such delay notify the Project Administrator in writing of the causes of the delay. The Project Administrator shall ascertain the facts and the extent of delay, and may extend the time for performing the Services for the period of the enforced delay if, in the judgment of the Project Administrator, such delay is justified. The Project Administrator's determination shall be final and conclusive upon the Parties to this Agreement. In the event of delay, however caused, CONTRACTOR's sole remedy shall be an extension of the Agreement, pursuant to this Section, and CONTRACTOR shall not be entitled to recover damages against ANAHEIM.

4. COMPENSATION

4.1 ANAHEIM shall pay CONTRACTOR for the Services rendered, pursuant to this Agreement, in accordance with the costs set forth in the Proposal attached hereto as Exhibit "A" and incorporated herein by this reference ("Fee Structure"). CONTRACTOR and ANAHEIM agree that no changes to the hourly rates and charges set forth in the Fee Structure shall be made during the term of this Agreement without the prior written approval of ANAHEIM.

4.2 For Year One of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $376,564.08 or $31,380.34 monthly for the period of time beginning January 15, 2019 through December 31, 2019. For Year Two of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $413,808.00 or $34,484.00 monthly for the period of time beginning January 1, 2020 through December 31, 2020. In addition, during the Term of the Agreement, for any additional needed security services, CONTRACTOR may provide these additional security services at a rate of $22.13 per hour, in an amount not to exceed $150,000 per year.

4.3 In addition, to facilitate provision of the Services under this Agreement immediately due to the time sensitivity and nature of the Services involved, ANAHEIM agrees to pay to CONTRACTOR within fifteen (15) days of approval of the Agreement an amount not to exceed twenty percent (20%) of the amount due to CONTRACTOR for Year One of the Agreement, as provided above in Section 4.2, which amount shall not exceed Seventy-Five Thousand, Three Hundred and Twelve Dollars and No/Cents ($75,312.00); such amount is to be deducted from final CONTRACTOR invoice to ANAHEIM. Thereafter, ANAHEIM shall pay CONTRACTOR monthly for the Services.

4.4 CONTRACTOR shall submit monthly invoices to ANAHEIM describing the work performed the preceding month. CONTRACTOR's bills shall include the name of the 3 person who performed the work, a brief description of the Services performed and/or the specific task in the Scope of Services to which it relates, the date the Services were performed, the number of hours spent on all work billed on an hourly basis, and a description of any reimbursable expenditures. ANAHEIM shall pay CONTRACTOR no later than thirty (30) days after approval of the monthly invoice by ANAHEIM staff.

4.5 No Extra Services shall be rendered by CONTRACTOR, unless such Extra Work is first approved by written amendment to this Agreement. As used herein, "Extra Work" means any work that is determined by ANAHEIM to be necessary for the proper completion of the Services, but which is not included within the Scope of Services and which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Compensation for any authorized Extra Work billed on a time and expense basis shall be paid in accordance with billing rates set forth in the Fee Structure attached hereto.

5. PROJECT MANAGER

5.1 CONTRACTOR shall designate a Project Manager, who shall coordinate the Services. This Project Manager shall be available to ANAHEIM at all reasonable times during the Term of this Agreement. It is expressly understood that the experience, knowledge, capability and reputation of the Project Manager is a substantial inducement for ANAHEIM to enter into this Agreement. Therefore, the Project Manager shall be responsible during the Term of this Agreement for directing all activities of CONTRACTOR and devoting sufficient time to personally supervise the provision of Services hereunder. The Project Manager may not be changed by CONTRACTOR and no other personnel may be assigned to supervise the Services to be provided hereunder without the express written consent of ANAHEIM.

5.2 Any personnel or subcontractor, if any, who fail or refuse to perform the Services in a manner acceptable to ANAHEIM, or who are determined by ANAHEIM, in its sole discretion, 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 continuously furnish the necessary personnel to complete the Services on a timely basis as contemplated by this Agreement.

6. ADMINISTRATION
This Agreement will be administered by the Planning and Building Department. The following employees of the Planning and Building Department shall be authorized to take the following actions:

6.1 The Director of Planning and Building or his designee is authorized to take any action on behalf of ANAHEIM as set forth herein in this Agreement, including, but not limited to extra work, compensation, renewal or termination of Services. 4 6.2 Sandra Sagert shall be the Project Administrator. The Project Administrator shall have the power to act on behalf of ANAHEIM for review and approval of all Services performed by CONTRACTOR under this Agreement. The Project Administrator shall not be authorized to approve extra work, changes to compensation or rates, renewal or termination of Services under this Agreement.

7. STANDARD OF CARE

7.1 CONTRACTOR shall perform all Services under this Agreement in a skilful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. CONTRACTOR represents and maintains that it is skilled in the professional calling necessary to perform the Services.

CONTRACTOR warrants that all employees and subcontractors, if any, shall have sufficient skill and experience to perform the Services assigned to them. By delivery of completed work, CONTRACTOR certifies that the work conforms to the requirements of this Agreement; all applicable federal, state and local laws; and the professional standard of care.

7.2 CONTRACTOR represents and warrants to ANAHEIM that it has, shall obtain, and shall keep in full force in effect during the term hereof, at its sole cost and expense, all licenses, permits, qualifications, insurance and approvals of whatsoever nature that is legally required of CONTRACTOR to practice its profession. CONTRACTOR shall maintain a City of Anaheim business license during the term of this Agreement.

8. FAMILIARITY WITH WORK
By executing this Agreement, CONTRACTOR represents and warrants that CONTRACTOR: (i) has thoroughly investigated and considered the Services to be performed; (ii) has carefully considered how the Services should be provided; and (iii) fully understands the facilities, difficulties and restrictions attending the provision of the Services under this Agreement.

Should CONTRACTOR discover any latent or unknown conditions materially differing from those inherent in the provision of such Services or as represented by ANAHEIM, CONTRACTOR shall immediately inform ANAHEIM of such fact and shall not proceed except at CONTRACTOR's risk until written instructions are received from ANAHEIM.

9. INDEPENDENT CONTRACTOR

9.1 Neither ANAHEIM nor any of its employees shall have any control over the manner, mode or means by which CONTRACTOR, its agents or employees, perform the services required herein, except as otherwise set forth herein. Except as expressly provided herein, ANAHEIM shall have no voice in the selection, discharge, supervision or control of CONTRACTOR's employees, servants, representatives or agents, or in fixing their number, compensation or hours of service. CONTRACTOR shall perform all services required herein as an independent contractor of ANAHEIM and shall remain at all times, as to ANAHEIM, a wholly 5 independent contractor with only such obligations as are consistent with that role. CONTRACTOR shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of ANAHEIM. ANAHEIM shall not in any way or for any purpose become or be deemed to be a partner of CONTRACTOR in its business or otherwise or a joint venturer or a member of any joint enterprise with CONTRACTOR.

9.2 In consideration for the compensation paid to CONTRACTOR by ANAHEIM, CONTRACTOR agrees that ANAHEIM shall not be liable or responsible for any benefits, including, but not limited to, worker's compensation, disability, retirement, life, unemployment, health or any other benefits, and CONTRACTOR agrees that it shall not sue or file a claim, petition or application therefor against ANAHEIM or any of its officers, employees, agents, representatives or sureties.

10. INSURANCE

10.1 Without limiting ANAHEIM's right to indemnification, it is agreed that CONTRACTOR shall secure, prior to commencing any activities under this Agreement, and maintain, during the term of this Agreement, insurance coverage as follows:

.01 Workers' Compensation Insurance as required by California law and Employers Liability Insurance in an amount not less than $1,000,000 per occurrence.

.02 Commercial General Liability Insurance, including coverage for Premises and Operations, Contractual Liability, Personal Injury Liability, Products/Completed Operations Liability, and Independent Contractor's Liability, in an amount not less than $1,000,000 per occurrence, $2,000,000 annual aggregate, written on an occurrence form. Such insurance shall be written on a primary basis (i.e., without a self-insured retention), but may include a deductible of not more than $10,000 per occurrence, provided that such deductible is disclosed to ANAHEIM, in writing, at the inception of this Agreement.

.03 Comprehensive Automobile Liability Coverage including-as applicable-owned, non-owned, and hired autos, in an amount not less than $1,000,000 per occurrence, combined single limit, as required by California law.

.04 Professional Liability Insurance in an amount not less than $1,000,000 per claim, and CONTRACTOR shall maintain such coverage for at least two (2) years from the termination of this Agreement. Such insurance shall be written on a primary basis (i.e., without a self-insured retention), but may include a deductible of not more than $5,000 per claim, provided that such deductible is disclosed to ANAHEIM, in writing, at the inception of this Agreement.

10.2 Each insurance policy required by this Agreement shall contain the following clause or shall otherwise provide for the following conditions: "This insurance shall not be cancelled, or limited in scope or coverage, until after thirty (30) days prior written notice has been 6 given to the City Clerk, City of Anaheim, 200 S. Anaheim Blvd., Anaheim, CA 92805, except in the event of cancellation for non-payment of premium which shall provide for not less than ten (10) days' notice."

10.3 Each insurance policy required by this Agreement, excepting policies for Professional Liability and Workers' Compensation, shall contain the following clauses or shall otherwise provide for the following conditions:
.01 "It is agreed that any insurance maintained by CONTRACTOR, pursuant to this Agreement, shall be primary to, and not contribute with, any insurance or self-insurance maintained by the City of Anaheim."
.02 "The City of Anaheim, its officers, agents, employees, representatives and ANAHEIM-designated volunteers are added as additional insureds as respects the acts, omissions, operations and activities of, or on behalf of, the named insured, in regard to products supplied to, or work or services performed for, or related to, the City of Anaheim."

10.4 Prior to commencing any work under this Agreement, CONTRACTOR shall deliver to ANAHEIM insurance certificates confirming the existence of the insurance required under this Agreement, and including the applicable clauses referenced above. Also, within thirty (30) days of the execution date of this Agreement, CONTRACTOR shall provide ANAHEIM: (i) endorsements to the insurance policies which add to these policies the applicable clauses referenced above; or (ii) in lieu of said endorsements, documentation acceptable to ANAHEIM evidencing that the coverage, terms, and conditions set forth in the above-referenced clauses are otherwise included in said insurance policies. Insurance required hereunder shall be placed with insurers: (i) admitted to write insurance in California; (ii) possessing an A. M. Best's rating of A VII or higher; or (iii) otherwise acceptable to ANAHEIM, with prior written permission from ANAHEIM. In the event that a claim or other legal action is filed against ANAHEIM, and if ANAHEIM, in its good faith opinion, believes it may have coverage under any of the insurance required herein, then ANAHEIM has the right to demand, and to receive within a reasonable time period, copies of the insurance policies related to such required insurance; provided, however, that this provision shall not apply if the Parties agree that CONTRACTOR shall fully defend, hold harmless, and indemnify ANAHEIM against any such claim or other legal action.

10.5 In addition to other remedies ANAHEIM may have if CONTRACTOR fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required, ANAHEIM may, at its sole option:
.01 Order CONTRACTOR to stop work under this Agreement and/or withhold any payment(s) which become due to CONTRACTOR hereunder until CONTRACTOR demonstrates compliance with the requirements hereof; or .02 Terminate this Agreement.
7 Exercise of any of the above remedies, however, is an alternative to other remedies ANAHEIM may have and is not the exclusive remedy for CONTRACTOR's failure to maintain insurance or secure appropriate endorsements.

10.6 Nothing herein contained shall be construed as limiting in any way the extent to which CONTRACTOR may be held responsible for payments of damages to persons or property resulting from CONTRACTOR's, (or CONTRACTOR's contractors/subcontractor, if any) performance of the work covered under this Agreement.

10.7 In the event CONTRACTOR hires other persons or firms to perform some of the work related to this Agreement, CONTRACTOR shall ensure, and certify to ANAHEIM in writing that: (i) the acts or omissions of such persons or firms are covered under the above-referenced liability insurance; or (ii) such firms maintain insurance equal to or better than, and subject to the same limits, terms and conditions as, the insurance required of CONTRACTOR under this Agreement (except for firms which are not performing professional services-such firms shall not be required to carry the above-referenced professional liability insurance); and in either instance, CONTRACTOR shall provide, or cause to be provided, evidence of such insurance coverage, reasonably acceptable to ANAHEIM.

10.8 ANAHEIM's Risk Manager is hereby authorized to reduce the requirements set forth herein in the event he determines that such reduction is in ANAHEIM's best interest.

11. INDEMNIFICATION

11.1 As respects acts, errors or omissions in the performance of professional services, CONTRACTOR agrees to indemnify and hold harmless ANAHEIM, its officials, officers, and employees from and against any and all claims, losses, damages, defense costs, or liability, of any kind or nature, to the extent arising directly out of CONTRACTOR's (or CONTRACTOR's contractors' or subcontractors', if any) negligent acts, errors or omissions in the performance of professional services under this Agreement.

11.2 As respects all acts, errors or omissions which do not arise directly out of the performance of professional services, including but not limited to those acts, errors or omissions typically covered by ISO-based general and automobile liability insurance coverage, CONTRACTOR agrees to indemnify, defend (at ANAHEIM's option), and hold harmless ANAHEIM, its officials, officers, employees, agents, and representatives from and against any and all claims, losses, damages, defense costs, or liability, of any kind or nature (collectively referred to hereinafter as "Claims"), arising out of or in connection with CONTRACTOR's (or CONTRACTOR 's contractors' or subcontractors', if any) acts, errors, omissions, or work, relative to this Agreement; except for those Claims which arise out of the sole negligence or willful misconduct of ANAHEIM.
8 11.3 The obligations set forth in this indemnification provision (i) shall be in effect without regard to whether or not ANAHEIM, CONTRACTOR, or any other person maintains, or fails to maintain, insurance coverage, or a self-insurance prop -am, for any such Claims; and (ii) shall survive the termination of this Agreement.

12. PROGRESS
CONTRACTOR is responsible for keeping the Project Administrator and/or his/her duly authorized designee informed on a regular basis regarding the status and progress of the Services, activities performed and planned, and any required meetings.

13. PROHIBITION AGAINST ASSIGNMENTS AND TRANSFERS
The Parties recognize that a substantial inducement to ANAHEIM for entering into this Agreement is the professional reputation, experience and competence of CONTRACTOR.

Neither the whole nor any interest in, nor any of the rights or privileges granted under this Agreement shall be assigned, transferred or encumbered in any way without the prior written consent of ANAHEIM. Any such purported assignment, transfer, encumbrance, pledge, subuse, or permission given without such consent shall be void as to ANAHEIM. If ANAHEIM approves an assignment or transfer, this Agreement and the covenants and conditions contained herein shall be binding upon and inure to the benefit of and shall apply to the permitted successors and assigns of CONTRACTOR.

14. SUBCONTRACTING
CONTRACTOR shall not subcontract any portion of the work to be performed under this Agreement without the prior written authorization of ANAHEIM. CONTRACTOR shall be fully responsible to ANAHEIM for all acts and omissions of any approved subcontractor.

Nothing in this Agreement shall create any contractual relationship between ANAHEIM and subcontractor nor shall it create any obligation on the part of ANAHEIM to pay or to see to the payment of any monies due to any such subcontractor other than as otherwise required by law.

ANAHEIM is an intended beneficiary of any work performed by any subcontractor for purposes of establishing a duty of care between the subcontractor and ANAHEIM pursuant to this Agreement.

15. USE AND OWNERSHIP OF DOCUMENTS AND DATA

15.1 ANAHEIM shall furnish to CONTRACTOR such documents and materials as may be relevant and pertinent to the provision of services hereunder as ANAHEIM may possess or acquire.

15.2 All documents and materials furnished by ANAHEIM to CONTRACTOR, Section

15.1, shall remain the property of ANAHEIM and shall be returned to ANAHEIM upon termination of this Agreement, for any reason. All documents or material prepared or caused to 9 be prepared by CONTRACTOR, its officers, employees, agents and subcontractors, in the course of implementing this Agreement, shall become the exclusive property of ANAHEIM, and ANAHEIM shall have the sole right to use such materials in its discretion without further compensation to CONTRACTOR or any other party. CONTRACTOR shall, at CONTRACTOR' s sole cost and expense, provide such documents and material to ANAHEIM upon prior written request.

15.3 Documents and material prepared by CONTRACTOR, pursuant to this Agreement, are not intended or represented to be suitable for reuse by ANAHEIM or others on any other project. Any use of completed documents for other projects and any use of incomplete documents without specific written authorization from CONTRACTOR will be at ANAHEIM's sole risk and without liability to CONTRACTOR. Further, any and all liability arising out of changes made to CONTRACTOR's deliverables under this Agreement by ANAHEIM or persons other than CONTRACTOR, is waived against CONTRACTOR and ANAHEIM assumes full responsibility for such changes unless ANAHEIM has given CONTRACTOR prior notice and has received from CONTRACTOR written consent for such changes.

16. CONFIDENTIALITY
All documents, including drafts, preliminary drawings or plans, notes, ideas and communications that result from the Services provided under this Agreement, shall be kept confidential by CONTRACTOR unless ANAHEIM authorizes, in writing, the release of said information.

17. INTELLECTUAL PROPERTY INDEMNITY
CONTRACTOR shall defend and indemnify ANAHEIM, its agents, officers, representatives and employees against any and all liability, including costs, for infringement of any United States' letters patent, trademark, or copyright infringement, including costs, contained in the work product or documents provided by CONTRACTOR to ANAHEIM pursuant to this Agreement.

18. RECORDS
CONTRACTOR shall keep records and invoices in connection with the work to be performed under this Agreement. CONTRACTOR shall maintain complete and accurate records with respect to the costs incurred under this Agreement and any services, expenditures and disbursements charged to ANAHEIM, for a minimum period of three (3) years, or for any longer period required by law, from the date of final payment to CONTRACTOR under this Agreement.

All such records and invoices shall be clearly identifiable. CONTRACTOR shall allow a representative of ANAHEIM to examine, audit and make transcripts or copies of such records and any other documents created, pursuant to this Agreement, during regular business hours.

CONTRACTOR shall allow inspection of all work, data, Documents, proceedings and activities 10 related to the Agreement for a period of three (3) years from the date of final payment to CONTRACTOR under this Agreement.

19. WITHHOLDINGS
ANAHEIM may withhold payment to CONTRACTOR of any disputed sums until satisfaction of the dispute with respect to such payment. Such withholding shall not be deemed to constitute a failure to pay according to the terms of this Agreement. CONTRACTOR shall not discontinue work as a result of such withholding. CONTRACTOR shall have an immediate right to appeal to the City Manager or his/her designee with respect to such disputed sums.

CONTRACTOR shall be entitled to receive interest on any withheld sums at the rate of return that ANAHEIM earned on its investments during the time period, from the date of withholding of any amounts found to have been improperly withheld.

20. ERRORS AND OMISSIONS
In the event of errors or omissions that are due to the negligence or professional inexperience of CONTRACTOR which result in expense to ANAHEIM greater than what would have resulted if there were not errors or omissions in the work accomplished by CONTRACTOR, the additional cost and expense shall be borne by CONTRACTOR. Nothing in this paragraph is intended to limit ANAHEIM's rights under the law or any other sections of this Agreement.

21. ANAHEIM'S RIGHT TO EMPLOY OTHER CONTRACTORS
CONTRACTOR acknowledges and agrees that this Agreement and the provision of services hereunder are nonexclusive and that ANAHEIM may enter into similar agreements with other entities for the provision of similar services.

22. CONFLICTS OF INTEREST
CONTRACTOR or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act"), which: (1) requires such persons to disclose any financial interest that may foreseeably be materially affected by the work performed under this Agreement; and (2) prohibits such persons from making, or participating in making, decisions that will foreseeably financially affect such interest.

If subject to the Act, CONTRACTOR shall conform to all requirements of the Act. Failure to do so constitutes a material breach and is grounds for immediate termination of this Agreement by ANAHEIM. CONTRACTOR shall indemnify and hold harmless ANAHEIM for any and all claims for damages resulting from CONTRACTOR' s violation of this Section.

23. NOTICES
11 All notices, demands or other writings to be made, given or sent hereunder, or which may be so given or made or sent by either ANAHEIM or CONTRACTOR to the other shall be deemed to have been given when in writing and personally delivered or if mailed on the third (3rd) day after being deposited in the United States mail, certified or registered, postage prepaid, and addressed to the respective Parties at the following addresses:

If to ANAHEIM:

With copies to.

To CONTRACTOR:

City Clerk
City of Anaheim
200 S. Anaheim Boulevard, 2nd Floor
Anaheim, California 92805
FAX No. (714) 765-4105
City of Anaheim
200 S. Anaheim Boulevard, 5th Floor
Anaheim, California 92805
FAX No. (714) 765-4404
Lyons Security Service, Inc.
505 N. Villa Real, Suite 203
Anaheim, California 92807
Phone No. (949) 298-6859

24. ENFORCEMENT OF AGREEMENT

24.1 Events of Default.
.01 For purposes of this Section 24, the word "Default" shall mean the failure of CONTRACTOR to perform any of CONTRACTOR' s duties or obligations or the breach by CONTRACTOR of any of the terms and conditions set forth in this Agreement. In addition, CONTRACTOR shall be deemed to be in Default upon CONTRACTOR' s (i) application for, consent to, or suffering of, the appointment of a receiver, trustee or liquidator for all or a substantial portion of its assets; (ii) making a general assignment for the benefit of creditors; (iii) being adjudged bankrupt; (iv) filing a voluntary petition or suffering an involuntary petition under any bankruptcy, arrangement, reorganization or insolvency law (unless in the case of an involuntary petition, the same is dismissed within thirty (30) days of such filing); or (v) suffering or permitting to continue unstayed and in effect for fifteen (15) consecutive days any attachment, levy, execution or seizure of all or a substantial portion of CONTRACTOR' s assets or of CONTRACTOR's interests hereunder.
.02 ANAHEIM shall not be deemed to be in Default in the performance of any obligation required to be performed by ANAHEIM hereunder unless and until ANAHEIM has failed to perform such obligation for a period of thirty (30) days after receipt of written notice from 12 CONTRACTOR specifying in reasonable detail the nature and extent of any such failure; provided, however, that if the nature of ANAHEIM's obligation is such that more than thirty (30) days are required for its performance, then ANAHEIM shall not be deemed to be in Default if ANAHEIM shall commence to cure such performance within such thirty (30) day period and thereafter diligently prosecute the same to completion.

24.2 Immediate Termination for CONTRACTOR's Default. In the event of any Default by CONTRACTOR, ANAHEIM may immediately terminate this Agreement. Such termination shall be effective immediately upon receipt by CONTRACTOR of written notice from ANAHEIM. In such event, CONTRACTOR shall have no further rights hereunder, and ANAHEIM shall have all other rights and remedies as provided by law.

24.3 Termination Without Cause. ANAHEIM may terminate this Agreement at any time without the necessity of cause or Default by giving seven (7) days notice in writing to CONTRACTOR. In such event, the Parties shall have no further rights hereunder, except that CONTRACTOR shall be paid for all services adequately rendered prior to such termination.

CONTRACTOR may not terminate this Agreement except for cause.

25. COMPLIANCE WITH ALL LAWS
CONTRACTOR shall at its own cost and expense comply with all statutes, ordinances, regulations and requirements of all governmental entities, including federal, state, county or municipal, whether now in force or hereinafter enacted. In addition, all work prepared by CONTRACTOR shall conform to applicable local, county, state and federal laws, rules, regulations and permit requirements and be subject to approval of the Project Administrator.

26. WAIVER
A waiver by either Party of any breach, of any term, covenant or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein, whether of the same or a different character.

27. INTEGRATED CONTRACT
This Agreement and the Exhibits hereto contain the entire agreement of ANAHEIM and CONTRACTOR with respect to the matters covered hereby, and no agreement, statement or promise made by either ANAHEIM or CONTRACTOR which is not contained herein, shall be valid or binding. No prior agreement, understanding or representation pertaining to any such matter shall be effective for any purpose.

28. CONFLICTS OR INCONSISTENCIES
In the event there are any conflicts or inconsistencies between this Agreement and the Exhibits, or any other attachments attached hereto, the terms of this Agreement shall govern. 13 29. INTERPRETATION
Each Party acknowledges that he/she/it has had the benefit of advice of competent legal counsel with respect to its decision to enter this Agreement. The provisions of this Agreement shall be interpreted to give effect to their fair meaning and shall be construed as prepared by both Parties.

30. AMENDMENTS
This Agreement may be modified or amended only by a written document executed by both CONTRACTOR and ANAHEIM and approved as to form by the City Attorney.

31. SEVERABILITY
If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be held invalid or unenforceable, the remainder of this Agreement, or the application of its terms and provisions to persons and circumstances other than those to which it has been held invalid or unenforceable shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law

32. REMEDIES CUMULATIVE
The remedies given to ANAHEIM and CONTRACTOR herein shall be cumulative and are given without impairing any other rights given ANAHEIM or CONTRACTOR by statute or law now existing or hereafter enacted and the exercise on any one (1) remedy by ANAHEIM or CONTRACTOR shall not exclude the exercise of any other remedy.

33. NO THIRD PARTY BENEFICIARIES
The Parties intend that neither rights nor remedies be granted to any third party as a beneficiary of this Agreement or of any covenant, duty, obligation or undertaking established herein.

34. CONTROLLING LAW AND VENUE
The laws of the State of California shall govern this Agreement and all matters relating to it and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange.

35. DISCRIMINATION
14 CONTRACTOR agrees not to discriminate against any person or class of persons by reason of sex, color, race, creed, religion, marital status, handicap, ancestry, national origin or other prohibited basis in its provision of Services or hiring of subcontractors or employees. To the extent this Agreement provides that CONTRACTOR offer accommodations or services to the public, such accommodations or services shall be offered by CONTRACTOR to the public on fair and reasonable terms.

36. AUTHORITY
Each individual executing this Agreement on behalf of a corporation, nonprofit corporation, partnership or other entity or organization, represents and warrants the he or she is duly authorized to execute and deliver this Agreement on behalf of such entity or organization and that this Agreement is binding upon the same in accordance with its terms. CONTRACTOR shall, at ANAHEIM's request, deliver a certified copy of it governing board's resolution or certificate authorizing or evidencing such execution.

37. EFFECTIVE DATE
This Agreement shall be effective on January 15, 2018 ("Effective Date"). [Remainder of page intentionally left blank; signatures on next page] 15 ATTEST:

City Clerk of Anaheim
Actkv City Clak
By:

Printed Name: _Y..el.AArA •-QAA
Title: \ - • \
"CONTRACTOR"
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the dates hereinafter respectively set forth.

DATE OF EXECUTION: CITY OF ANAHEIM
a municipal corporation
By:
"ANAHEIM"
DATE OF EXECUTION: LYONS SECURITY SERVICE, INC., a California corporation
APPROVED AS TO FORM:

ROBERT FABELA, CITY ATTORNEY
By:

Dated:
130951
Attachments: Exhibit A
16 LYONS ALWAYS ON TARGE -T.

SECURITY SERVICE. INC.

Kno. 12I
City of Anaheim — TSA Emergency Shelter
Post Orders
Updated: Jan 14 2019
This document represents the post orders for the city of Anaheim, TSA Emergency Shelter. Each officer assigned to the city of Anaheim site shall read and acknowledge, that they understand and will comply with the rules and regulations required to work this post.

Hours of coverage: 24-hours, 7 days-a-week
Number of officers: 2 Unarmed Security Officers
History of Project:

Over the past couple of years, the city of Anaheim has looked for ways to help constituents in need of basic needs and one of the projects the city and its elected officials have deemed necessary is to create a transitional housing project to help those who need shelter. In response to this requirement, the city of Anaheim has designed a facility with the help of the Salvation Army to assist with housing individuals that currently are looking for shelter.

Primary Objectives: To provide a peaceful and proper use of all facilities within the TSA Emergency Shelter. This includes providing information on rules and regulation of the shelter, including but not limited to, shelter visiting hours of operation, placement of restrooms or other facilities, maintenance of shelter (removal of graffiti, broken lights, damaged sprinklers, damaged signs), improper use of facilities, improper use of open spaces within the facility, improper use of grass areas, and the use of illegal paraphernalia.

Lyons Security service, Inc. will assist the city of Anaheim by offering a contracted service of security officers to provide a helpful aid by assisting in all activities listed above. Officers will assist the city by providing 2 onsite unarmed security officers to the designated site to help act as a deterrent to unwanted activity. Furthermore, Lyons Security Service Inc. officers will provide a written report daily describing the findings of their patrols as well as documentation of areas of improvement. In this Post Orders Document, instructions will be given to outline the requirement and expectations of each officer.

Shift:

Officer will report on the dedicated site at the start of their shift, officers will be dressed and ready to start work at the designated time of their shift. Officers will check the equipment and report any damage they may find. Damage should be reported at the start of the shift to Lyons Supervising staff.

Arriving at the designated post: Officers will park in designated parking spaces found within the facility. Officers will relieve the officer and take down any information that may require being passed down from the previous shift(s). While on foot patrol, officers will be responsible for identifying the areas of concern as outlined in the primary objective section of the post orders. Officers will document in their Daily Activity Report the findings as well as use the proper channels to report issues. If an officer reports an issue to any onsite stai: they should document in their daily activity report that the issue has been successfully reported through the proper channels.

Officers will remember that the facility will be working with individuals seeking shelter and all officers are expected to remain professional throughout their time on duty. Security officers will not enter any of the interior part of the facilities without being accompanied by a member of the Salvation Army or City of Anaheim Representative. 2582 N. Santiago Blvd, Orange CA 92867 www.Lyons.Seeurity1=.ca Telephone; (949) 298-6859 — [email protected],n P_P $24141

LYONS SECURITY SERVICE,

S ON TARGET
Officer Duties:

1. If there is an emergency, contact 911 not the dispatch line

2. If the security officer requires a police response for a non-emergency disturbance, the officer is to contact (714) 765-1911 and ask for the incident number from the dispatch so the officer can document it in the Daily Activity Report.

3. If the officer finds drug use, the officer will report the issue immediately to the onsite Salvation Army employee.
4 If the officer finds an individual requiring assistance into the shelter, the officer will contact the onsite Salvation Army staff.

5. Daily Activity Reports shall be ernailed at the end of the shift to the following email list:

N' I, laL uritLj_ ;, • ; ,Lulk:,.A1.1,
r:r :; anal ?ir„n ; I 4 ht , al ; ML r .arai], Contacts:

Lyons Security Service, 244{our Line: (949) 298-6859
City of Anaheim, Police Department: (714) 765-1911
2582 N, Santiagofllvd, Orange CA 92867 -- www,LyortAtineitiln.2.com —Telephorie (949) 298-6859 — reports*IyonmeeteityinLeorn LYONS EXHIBIT fr

-A LWAYS ION TARGET. —. -
SECURITY SERVICE, INC.

To the City of Anaheim
Regarding: Request for Quote — Security Services
January 14 2019
To the City of Anaheim with respects to the TSA Emergency Shelter located on 1300 S. Lewis St., Anaheim CA, Lyons Security Service, Inc. (Lyons) will provide unarmed security service to the city for the emergency shelter for a period of 2 years beginning January 15*, 2019. Services will include two, 24-hour shifts, 7 days-a-week, 365 days- a-year. Lyons will provide licensed, bonded, and insured uniform officers at all times as well as dedicated managerial staff to the city of Anaheim. Lyons will work with the city as well as the Salvation with regards to site specific procedures (Post Orders). Post Orders may be changed or modified by the city of Anaheim at any time. Post Order modification by the Salvation Army or by Lyons will be approved by the city prior to any changes.

Based on the information provided to Lyons Security Service, Inc, the following quote was developed. A 20% upfront fee has been requested to help assist Lyons with the transition of the project.

Year 1(1/15/19 — 12/31/19): $376,564.08 or $31380.34 Monthly (split evenly between 12 months)

1. Regular Days: 48 hours a day, 7 days-a-week at $22.13 per hour for 344 days. 365410.56

2. Holiday Days: 48 hours a day, 7 days-a-week at $33.20 per hour for 7 days. 11153.52 Year 2 (1/1/20— 12/31/20): $413,808.00 or $34,484.00 Monthly

1. Regular Days: 48 hours a day, 7 days-a-week at $23.30 per hour for 358 days.

2. Holiday Days: 48 hours a day, 7 days-a-week at $34.95 per hour for 8 days.

Year 2 is adjusted as the minimum wage will increase to $13.00 (currently $11.00) per hour. 366 days are calculated in year 2 as it is leap year (2/29/20).

If the city desired the use of a company-owned vehicle to be utilized for this program, the additional cost would be $3.47 per hour per vehicle. If the city desired the use of a company-owned golf cart or NEV for this program, the additional cost would be $0.87 per hour.

Regards,
Nicholas Guidiee, CPP
5N. Villa Real, CA- wwwlyonsSecuriiyI orn- Teleptwm: (949) 298-6 9 - Email. rep ts®tyonssecurityinc.com G i
ORIGINAL I \ 4 044. I

FIRSTAMENDMENT TO AGREEMENT
THIS FIRST AMENDMENT TO AGREEMENT, dated for purposes of identification only this
by and between the
9 "T m%
day of NA^. e.c-c-A , 2021 is made and entered into

CITY OF ANAHEIM, a municipal corporation,
hereinafter referred to as "ANAHEIM,"
A
N
D
LYONS SECURITY SERVICE, INC., a California corporation, hereinafter referred to as "CONTRACTOR."
WITNESSETH:

WHEREAS, the parties have previously entered into a written agreement dated February 1, 2019 to provide security services for the Salvation Army Emergency Shelter located at 1300 S. Lewis Street, Anaheim, California (hereinafter, the "Agreement"); and WHEREAS, the parties wish to amend the Agreement to extend the term of the Agreement by two years to January 15, 2023; and, (ii) increase the compensation for the Agreement by an additional $2,879,289.60, and a not to exceed amount of $150,000 per year for additional security services on an as-needed basis, as attached hereto as Exhibit A-1 and incorporated herein.

NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL

PROMISES, COVENANTS AND CONDITIONS HEREIN CONTAINED, THE PARTIES HERETO AGREE AS FOLLOWS:

1. The Agreement is hereby amended to incorporate new Exhibit "A-1," attached hereto.

2. That Section 2 of the Agreement "TERM," is hereby amended in its entirety to read as follows:
1 "The term of this Agreement shall commence on January 15, 2019 and shall terminate four (4) years thereafter, unless sooner terminated as provided herein ("Term"). In addition, the Planning and Building Director, or designee, is authorized to extend the Term of this Agreement for such time as may be reasonably necessary for completion of any outstanding services at the time. However, in no event shall such extension exceed six (6) months.

3. That Section 4.2 of the Agreement, "COMPENSATION," is hereby amended in its entirety to read as follows:
"4.2 For Year One of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $376,564.08 or $31,380.34 monthly for the period of time beginning January 15, 2019 through December 31, 2019. For Year Two of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $413,808.00 or $34,484.00 monthly for the period of time beginning January 1, 2020 through December 31, 2020. For Year Three of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $1,091,944.80 for the period of time beginning January 1, 2021 through December 31, 2021. For Year Four of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $1,193,472.00 for the period of time beginning January 1, 2022 through January 14, 2023. For the 6 month Extension Option beginning January 15, 2023 through July 14, 2023, ANAHEIM shall pay CONTRACTOR an amount of $592,393.20 In addition, during the Term of the Agreement, for any additional needed security services, CONTRACTOR may 2 provide these additional security services, in an amount not to exceed $150,000 per year."

4. Except as expressly amended hereby, all the remaining provisions of the Agreement, as amended, shall remain in full force and effect.

5. CONTRACTOR and CONTRACTOR's signators represent that the signators hold the positions set forth below their signatures and that the signators are authorized to execute this First Amendment to Agreement on behalf of CONTRACTOR and to bind CONTRACTOR hereto.

6. This First Amendment to the Agreement shall be effective on the date on which this Agreement is executed by ANAHEIM.
[Signatures Appear on Following Page]
3 DATE, OFEXECUTION:
3p iqd,)
ATTE •
— Clerk f the City of Anaheim

CITY OF ANAHEIM,
a municipal corporation
RO T FABELA, CITY AT
By
ey
ty City Attorney
Date
140146.4
IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to Agreement to be executed on the dates hereinafter respectively set forth. "CITY"
LYONS SECURITY SERVICE, INC.,
a California corporation
DATE OF EXECUTION: By
\_•.,1/4\Att ,N,.0 15 Printed Name c.

Title ,c-.4/5-14K-J—

"CONTRACTOR"
APPROVED AS TO FORM:
4 EXHIBIT A-1

STARTS AFTER THIS PAGE
5 P.P.O. 126417
LYONS SECURITY SERVICE, INC.

ALWAYS ON TARGET;
Lyons Security Service, Inc., an Anaheim Business
Updated Costs for City of Anaheim Emergency Shelter Years: 2021 & 2022 plus 2023 six-month extension if needed. For the year of 2020, Lyons Security Service, Inc. provided the following service for the city of Anaheim Emergency Shelter:

1. 96 Hours of Security Service a day, 365 days a year at an hourly rate of $23.30 for 356 days a year (plus 1 day leap year 2020), and $34.95 per hour on 9 recognized holidays. The 96 Hours a day is broken down by the following coverage:
a. 1 Guard, 24/7, at the front entrance of the parking lot to verify and allow the permitted entrance of pedestrian and vehicle traffic.
b. 1 Guard, 24/7, at the Intake desk, signing in and out of individuals, verifying unauthorized items are not permitted.
c. I Guard, 24/7, patrolling the trailers housing 324 residents d. 1 Guard, 24/7, patrolling the parking lot, RVs and assisting with foot traffic on Salvation Place and Lewis Street to ensure businesses are not disrupted.

2. In Response to the 2020 pandemic, Lyons has added the following:
a. 24 hours a day at the city-owned property at Stanford Ct. as TSA is currently utilizing this property for storage.
b. An additional 24 hours per day at the Salvation Army property for the protection and monitoring of city-owned RVs used in response to COVID19. c. An Additional 8 Hours per day to help assist the Salvation Adult Rehabilitation Center (ARC) during nights.

3. The total number of hours of service, per day, is 154. 2020 Breakdown:

Basic Hourl Wa • e
FICA Taxes

5.00 $1.15
$ 15.00
FUE & SUE Taxes $0.28
Worker's Com .ensation
General Liability
$0.93
$0.40
$2.36
Sub Total 17.76 _ Management
AccountinQ $0.24
Field Management Expenses $0.89
Project Manager Expense $0.44
Office Expenses $0.87
Profit $0.53
Training $0.14
Uniform Fees $0.08
Employee Health Insurance $1.76
EmploN ee Sick Pay $0.22
Equipment Expense $0.28
E & 0 Costs $0.04
CA Unemploy ment Fund m i iiir,_____
$23.30 TOTAL HOURLY RATE
505 S. Villa Real, Suite 203A, Anaheim — wwwlyonsSecuritylnc.com Telephone • (949) 298-6859 — Email: [email protected] P.P.0 12687
LYONS SECURITY SERVICE, INC.

ALWAYS ON TARGET.
2021 Security Service Price: January 1,2021 —December 31, 2021 Starting Jan 1, 2021, the state of CA will raise the minimum wage of all employees from $13 to $14.00 for all industries with more than 25 employees. This site alone requires more than 25 employees and will require all service providers to follow the 13 to 14 dollars increase.

Basic Hourly Wage $16.00

16.00 FICA Taxes $1.22
FUE & SUE Taxes $0.28
Worker's Compensation _ $1.22 0.... 1 - /
General Liabilit \ $0.40
Sub Total s, 19.12
Management ilik Accountina $0.24
Field Management Expenses $0.89
Project Manaaer Expense $0.44
Office Expenses $0.87
Profit $0.53
Training $0.14
Uniform Fees $0.08
Emplo). ee Health Insurance $1.76
Employee Sick Pa) $0.22
Equipment Expense $0.28
E & 0 Costs $0.04
CA Unemplo}ment Fund $0.05
1111111MIL $24.66 TOTAL HOURLY RATE
From Year-to-Year change, we see an adjustment of 1.36 per hour. This adjustment is made in direct response to the increase of hourly rate mandated by the state of CA:

Increase of $1.00 for the price increase of hourly rate Increase of $0.07 for the FICA Taxes
Increase of $0.29 for the adjustment in Worker's Compensation Rate due to the increase of wages and hours Estimated Costs:

1. Anaheim Emergency Shelter Total Coverage: $1,093,424.40 a. 96 Hours of Daily Coverage at the AES: $874,739.52
b. 24/7 Coverage Stanford Ct. Overflow Coverage: $218,684.88 c. Any additional coverage will be at the following Hourly Rates:
i. Regular Per Hour Costs: $24.66
ii. 9 Recognized Holidays Hourly Costs: $36.99
505 S. Villa Real, Suite 203A, Anaheim - www.LyonsSecuritylne.eom - Telephone: (949) 298-6859 - Email: [email protected] LYONS SECURITY SERVICE, INC.

P.P.O. 128137
ALWAYS ON TARGET.
2022 Security Service Price: January 1, 2022 - January 14, 2023: $1,193,472.00 Starting Jan 1, 2022, the state of CA will raise the minimum wage of all employees from $14 to $15.00 for all industries with more than 25 employees. This site alone requires more than 25 employees and will require all service providers to follow the 14 to 15 dollars increase.

Basic HouLly_a_Tags $17.00
I -.0o
FICA Taxes $1.30
FUE & SUE Taxes $0.28
Worker's Compensation $1.38
S2.96
General Liability $0.40
Sub Total 0.36
Management
Accounting $0.24
Field Management Expenses $0.89
Project Manager Expense $0.44
Office Expenses $0.87
Profit $0.53
Training $0.14
Uniform Fees $0.08
Employee Health Insurance $1.76
Employee Sick Pa,,, $0.22
Equipment Expense $0.28
E & 0 Costs $0.04
CA Unemplo ment Fund $0.05 ,
TOTAL HOURLY RATE $25.90
From Year-to-Year change, we see an adjustment of 1.24 per hour. This adjustment is made in direct response to the increase of hourly rate mandated by the state of CA:

Increase of $1.00 for the price increase of hourly rate Increase of $0.08 for the FICA Taxes
Increase of $0.16 for the adjustment in Worker's Compensation Rate due to the increase of wages and hours Estimated Costs:

1, Anaheim Emergency Shelter Total Coverage for Jan 1, 2022 —Dec. 313' 2022: $1,148,406.00 a. 96 Hours of Daily Coverage at the AES: $918,724.80
b. 24/7 Coverage Stanford Ct. Overflow Coverage: $229,681.20 c. Any additional coverage will be at the following Hourly Rates:
i. Regular Per Hour Costs: $25.90
ii. 9 Recognized Holidays Hourly Costs: $38.85

2. Jan 1 2023 — Jan 14, 2023: $45,066.00
a. 96 Hours of Daily Coverage at the AES: $36,052.80
b. 24/7 Coverage Stanford Ct. Overflow Coverage: $9,013.20 505 S. Villa Real, Suite 203A, Anaheim — www.LyonsSeeuritylne.com — Telephone: (949) 298-6859 — Email [email protected] P.P.o. 126117
LYONS SECURITY SERVICE, INC.

ALWAYS ON TARGET
6 Month Extension Option: January 15, 2023 — July 14,2023 11:59 PM: $592,393.20 Basic Hourl Wa e

$18.00
$ 18.00
FICA Taxes $1.38 —1
FUE & SUE Taxes $0.28
Worker's Compensation $1.45
{-79" $3.11
General Liabilit s0 40
Sub Total 21.51
Management
Accounting $0.24
Field Manauement Ex )enses $0.89
Proiect Mana2er Ex )ense $0.44
Office Ex , enses $0.87
Profit $0.53
Traininu $0.14
Uniform Fees $0.08
Employee Health Insurance $1.76
Employee Sick Pa \ $0.22
Equipment Expense $0.28
E & 0 Costs $0.04
CA Unemplo)ment Fund $0.05
TOTAL HOURLY RATE 1111111110m $27.05 1
From Year-to-Year change, we see an adjustment of 1.15 per hour. This adjustment is made in direct response to the increase of hourly rate mandated by the state of CA:

Increase of $1.00 for the price increase of hourly rate Increase of $0.08 for the FICA Taxes
Increase of $0.07 for the adjustment in Worker's Compensation Rate due to the increase of wages and hours Estimated Costs:

1. Anaheim Emergency Shelter Total Coverage:
a. 96 Hours of Daily Coverage at the AES: $473,914.56
b. 24/7 Coverage Stanford Ct. Overflow Coverage: $118,478.64 c. Any additional coverage will be at the following Hourly Rates:
i. Regular Per Hour Costs: $27.05
ii. 9 Recognized Holidays Hourly Costs: $40.57
505 S. ViIL Real, Suite 203A, Anaheim - www.LyonsSecuritylnc.com - Telephone: (949) 298-6859 - Email: reports©Iyonssecurityin.2.com

ORIGINAL

SECONDAMENDMENT TO AGREEMENT
THIS SECOND AMENDMENT TO AGREEMENT, dated for purposes of identification only this 27th day of June, 2023 is made and entered into by and between the CITY OF ANAHEIM, a municipal corporation,
hereinafter referred to as "ANAHEIM,"
A
LYONS SECURITY SERVICE, INC., a California corporation, hereinafter referred to as "CONTRACTOR."
WITNESSETH:

WHEREAS, the parties have previously entered into a written agreement dated February 1, 2019 to provide security services for the Salvation Army Emergency Shelter located at 1300 S. Lewis Street, Anaheim, California (hereinafter, the "Agreement"); and WHEREAS, in March of 2021 the parties entered into a First Amendment extending the term of the Agreement by two years to January 15, 2023; and, (ii) increasing the compensation for the Agreement by an additional $2,879,289.60, and a not to exceed amount of $150,000 per year for additional security services on an as-needed basis.

WHEREAS, the parties wish to again amend the Agreement, to extend its term by one additional year to July 13, 2024; and, (ii) increase the compensation for the Agreement by an additional $1,367,282.40, as reflected in Exhibit A-2 and incorporated herein.

NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL

PROMISES, COVENANTS AND CONDITIONS HEREIN CONTAINED, THE PARTIES HERETO AGREE AS FOLLOWS:

I. The Agreement is hereby amended to incorporate new Exhibit "A-2," attached hereto.
1 2. That Section 2 of the Agreement "TERM," is hereby amended in its entirety to read as follows:
"The term of this Agreement shall commence on January 15, 2019 and shall terminate five (5) year thereafter, unless sooner terminated as provided herein ("Term"). In addition, the Housing and Community Development Director, or designee, is authorized to extend the Term of this Agreement for such time as may be reasonably necessary for completion of any outstanding services at the time. However, in no event shall such extension exceed six (6) months.

3. That Section 4.2 of the Agreement, "COMPENSATION," is hereby amended in its entirety to read as follows:
"4.2 For Year One of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $376,564.08 or $31,380.34 monthly for the period of time beginning January 15, 2019 through December 31, 2019. For Year Two of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $413,808.00 or $34,484.00 monthly for the period of time beginning January 1, 2020 through December 31, 2020. For Year Three of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $1,091,944.80 for the period of time beginning January 1, 2021 through December 31, 2021. For Year Four of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of $1,193,472.00 for the period of time beginning January 1, 2022 through January 14, 2023. For the 6 month Extension Option beginning January 15, 2023 through July 14, 2023, ANAHEIM shall pay 2 CONTRACTOR an amount of $592,393.20. ANAHEIM shall pay CONTRACTOR an amount of $1,367,282.40 for the period of time beginning July 1, 2023 through July 13, 2024. In addition, during the Term of the Agreement, for any additional needed security services, CONTRACTOR may provide these additional security services, in an amount not to exceed $150,000 per year."

4. Except as expressly amended hereby, all the remaining provisions of the Agreement, as amended, shall remain in full force and effect.

5. CONTRACTOR and CONTRACTOR's signators represent that the signators hold the positions set forth below their signatures and that the signators are authorized to execute this Second Amendment to Agreement on behalf of CONTRACTOR and to bind CONTRACTOR hereto.

6. This Second Amendment to the Agreement shall be effective on the date on which this Agreement is executed by ANAHEIM.
[Signatures Appear on Following Page]
3 DATE OF EXECUTION:

CITY OF ANAH
a mud ipal co
M,
ion n
Jay
City rk of the City of Anaheim Wei a 3
Date
149227
or!
puty City A y
By
IN WITNESS WHEREOF, the parties hereto have caused this Second Amendment to Agreement to be executed on the dates hereinafter respectively set forth. "CITY"
DATE OF EXECUTION:

LYONS SECURITY SERVICE, INC.,
a California corporation
By
Printed Nam 1'J:4.01as ic-
Title Pre -s t-

"CONTRACTOR"
APPROVED AS TO FORM:

ROBERT FABELA, CITY ATTORNEY
4 LYONS ALWAYS ON TARGET.

SECURITY SERVICE, INC.

P.P.O. 12687
Lyons Security Service, Inc., an Anaheim Business is submitting an updated Costs for City of Anaheim Emergency Shelter Years: July 1, 2023 through June 30, 2024.

Anticipated Budget for July 1 2023 — June 30 2024
We have discussed in detail the security program with Salvation Army Management. When the program started on February Pt,2019, the shelter had occupation for 224 individuals and Lyons Security Service, Inc. provided four 24- hour posts throughout the facility through 2 fixed manned posts and 2 roving posts. This gave us an ability to provide roughly 50:1 ratio on security to individuals at the shelter. Since 2019, the city has added 100 more occupants making the new total of individuals in the shelter, 324. Although the number of individuals being sheltered has grown, the security personnel number has not and we now sit with a ratio of roughly 80:1. This change has created a need to increase our security personnel to meet the needs of the individuals occupying the space within the facility. At this time, Lyons and Salvation Army both agree a need for a 5'h guard is undoubtedly needed but also a possible 6th security officer as we have 1 security entrance and exit where we will be adding a metal detector that will slow down the traffic coming in and out. We would request these individuals only work during the day time hours of 6AM — lOPM as we can remain with 4 individuals during the overnight hours of lOPM — 6AM.

Current Coverage

1. For 2023, we will be providing 120 Hours of Security Service a day, 365 days a year at an hourly rate of $30.92 for 357 days a year, and $46.38 per hour on 8 recognized holidays. The 120 Hours a day is broken down by the following coverage:
a. 1 Guard, 24/7, at the front entrance of the parking lot to verify and allow the permitted entrance of pedestrian and vehicle traffic.
b. 1 Guard, 24/7, at the Intake desk, signing in and out of individuals, verifying unauthorized items are not permitted.
c. 1 Guard, 24/7, patrolling the trailers housing 324 residents d. 1 Guard, 24/7, patrolling the parking lot, assists with check-ins. e. 1 Guard, 24/7, working to assist staff throughout the property.

2. The total number of hours of service currently being provided per day is 120 2023 Breakdown:

Basic Hourl Wa• e $20.00
$ 2000
FICA Taxes $1.53
FUTA & SUTA $0.54
Worker's Compensation $1.52
i S3.59
General Liability $0.69
Sub Total S 24.28
Employee Benefits
Sick Pay $0.28
Health Insurance $1.88
Paid Time Off (40 Hours) $0.50
Holiday $0.78 83.44
Overhead/Management
Accounting $0.19
Field Management Expenses $0.36
Project Manager Expense $0.61
505 S. Villa Real, Suite 203A, Anaheim — www.LyonsSecuritylne.com — Telephone: (949)298-6859 — Email: [email protected] [email protected] (949) 298-6859 — Em 505 S. Villa Rea l, Suite 203A, Anaheim — www LyonsSecuritylnc.com — Tele GI
A4 . 114o4$3

THIRD AMENDMENT TO AGREEMENT
THIS THIRD AMENDMENT TO AGREEMENT, dated for purposes of identification only this 16th day of July, 2024, is made and entered into by and between the CITY OF ANAHEIM, a municipal corporation,
hereinafter referred to as "ANAHEIM,"
A
LYONS SECURITY SERVICE, INC., a California corporation, hereinafter referred to as "CONTRACTOR."
WITNESSETH:

WHEREAS, the parties have previously entered into a written agreement dated February 1, 2019 to provide security services for the Salvation Army Emergency Shelter located at 1300 S. Lewis Street. Anaheim, California (hereinafter, the "Agreement"); and WHEREAS, in March of 2021 the parties entered into a First Amendment: (i) extending the term of the Agreement by two years to January 15, 2023; and, (ii) increasing the compensation for the Agreement by an additional $2,879289.60, and a not to exceed amount of SI50,000 per year for additional security services on an as-needed basis, WHERAS. in June of 2023 the parties entered into a Second Amendment: ( ) extending the term of the Agreement by one year to July 13, 2024; and, (ii) increasing the compensation for the Agreement by an additional 51,367,282.40.

WHEREAS, the parties wish to again amend the Agreement, to extend its term by one additional year to July 13, 2025; and, (ii) increase the compensation for the Agreement by an additional S1,453,073.40, as reflected in Exhibit A-3 and incorporated herein.

NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL

PROMISES, COVENANTS AND CONDITIONS HEREIN CONTAINED, THE PARTIES HERETO AGREE AS FOLLOWS:
1 1. The A Et -cement is hereby amended to incorporate new Exhibit "A-3." attached hereto.

2. That Section 2 of the Agreement "TERM," is hereby amended in its entirety to read as follows:
"The term of this Agreement shall commence on January 15, 2019 and shall terminate six (6) years thereafter. unless sooner terminated as provided herein ("Term"). In addition, the Housing and Community Development Director, or designee, is authorized to extend the Term of this Agreement for such time as may be reasonably necessary for completion of any outstanding services at the time. However, in no event shall such extension exceed six (6) months.

ANAHEIM does not represent that said budget item will be actually adopted. said determination being the determination of the City Council at the time of the adoption of the budget herein. No penalty shall accrue to ANAHEIM in the event this provision shall be exercised. Should termination be accomplished in accordance with this Section, a settlement shall be negotiated by the parties based on items delivered, services provided, monies paid and monies due."

3. That Section 4.2 of the Agreement, "COMPENSATION." is hereby amended in its entirety to read as follows:
"4.2 For Year One of the Agreement, ANAHEIM shall pay CONTRACTOR an amount of 5376.564.08 or 531,380.34 monthly for the period of time beginning January 15, 2019 through December 31, 2019. For Year Two of the Agreement.

ANAHEIM shall pay CONTRACTOR an amount of S413,808.00 or $34,484.00 monthly for the period of time beginning January 1. 2020 through December 31, 2020. For Year Three of the Agreement. ANAHEIM shall pay CONTRACTOR an amount of S1,091,944.80 for the period of time beginning January 1, 2021 through December 31, 2021. For Year Four of the Agreement. ANAHEIM shall pay CONTRACTOR an amount of S1.193,472.00 for the period of time beginning 2 January 1, 2022 through January 14, 2023. For the 6 month Extension Option beginning January 15, 2023 through July 14, 2023, ANAHEIM shall pay CONTRACTOR an amount of S592,393.20. ANAHEIM shall pay
CONTRACTOR an amount of $ I ,367,282.40 for the period of time beginning July I, 2023 through July 13, 2024. ANAHEIM shall pay CONTRACTOR an amount of S1,453,073.40 for the period of time beginning July 1, 2024 through July 13, 2025. In addition, during the Term of the Agreement, for any additional needed security services. CONTRACTOR may provide these additional security services, in an amount not to exceed $ I 50,000 per year."

4. Except as expressly amended hereby, all the remaining provisions of the Agreement, as amended, shall remain in full force and effect.

5. CONTRACTOR and CONTRACTOR's signators represent that the signators hold the positions set forth below their signatures and that the signators are authorized to execute this Third Amendment to Agreement on behalf of CONTRACTOR and to bind CONTRACTOR hereto.

6. After this Third Amendment to the Agreement is executed by ANAHEIM, this Third Amendment to the Agreement shall be retroactively effective on and afier July 1, 2024. /Signatures Appear on Following Page]
3 C

CITY OF ANAHEIM
a munic . al corporat .

DATE OF EXECUTION:
jt ) 04 -
AT
o the City of Anaheim
"CITY"
IN WITNESS WHEREOF the parties hereto have caused this Third Amendment to Agreement to be executed on the dates hereinafter respectively set forth.

DATE OF EXECUTION:

LYONS SECURITY SERVICE, INC,
a California corporation
By ki
Printed Name PJ:c.1--0la-S G.vic)i'cf
Title Pr cis iae,t+

"CONTRACTOR"
0 FORM:
11 TY ATTORNEY
AlLwSi Ho tize
rirCity Attorney
Date

APPROVE
ROBERT
Ryai
Dept
4 EXHIBIT A-3

STARTS AFTER THIS PAGE
LYONS A LWAY S ON TA RG E T.

SECURITY SERVICE, INC.

P.P.°. 12687

Lyons Security Service, Inc., an Anaheim Business, is submitting an updated Costs for the City of Anaheim Emergency Shelter Years: July 1, 2024, through June 30, 2025.

Anticipated Budget for July 1 2024 —June 30 2025
Lyons Security currently provides security coverage for the Anaheim Emergency Shelter located on the Salvation Army property in the city of Anaheim. The shelter supports housing for 324 individuals experiencing homelessness.

Lyons provides 24/7/365 security patrols of the complex and neighboring street areas. Currently, we provide 120 hours daily to the shelter and will continue to do so for the July 1, 2024— June 30, 2025 fiscal year.

Continuity of Coverage: Lyons will continue to schedule staff at the levels consistent to the shelter needs of 120 hours per day.

Continuity of Price: Despite potential fiscal escalations, Lyons will maintain our hourly rate at $30.92 as a demonstration of our commitment to being a reliable partner to the city. While we hold steady on our hourly rate, adjustments to our General Liability and Excess Liability insurance costs are necessary, reflecting significant shifts observed in the Insurance Market this year. These adjustments stem from Insurance Companies becoming more risk- averse regarding clients engaging with affordable housing and shelter communities. Specifically, in 2024, our General Liability increased by 176.1% compared to the previous year, and our Excess Liability surged by 336.2%.

Current Coverage

1. For FY 24/25, we will be providing 120 Hours of Security Service a day, 365 days a year, at an hourly rate of $30.92 for 357 days a year and $46.38 per hour on 8 recognized holidays. The 120 Hours a day is broken down by the following coverage:
a. I Guard, 24/7, at the front entrance of the parking lot to verify and allow the permitted entrance of pedestrian and vehicle traffic.
b. 1 Guard, 24/7, at the Intake desk, signing in and out of individuals, verifying unauthorized items are not permitted.
c. 1 Guard, 24/7, patrolling the trailers housing 324 residents d. 1 Guard, 24/7, patrolling the parking lot, assists with check-ins. e. 1 Guard, 24/7, working to assist staff throughout the property.

2. The total number of hours of service currently being provided per day is 120 Estimated Costs: $1,453,073.40

1. Anaheim Emergency Shelter Total Coverage: $1,367,282.40

2. Insurance Adjustments: $85,790.40
a. This will be invoiced each month in evenly split payments of $7,149.20 b. Any Additional Coverage will be at the Hourly Rates:
i. Regular Per Hour Costs: $30.92
h. 8 Recognized Holidays Hourly Costs: $46.38
505 S. Villa Real, Suite 203A, Anaheim — www.LyonsSecuritylnc.com — Telephone: (949)298-6859 Email: [email protected] P.P.O. 12687
LYONS SECURITY SERVICE, INC.

A LWAYS ON TA R G ET.
2024 Breakdown:

Basic Hourly Wage $20.00
Ir . -..........i,d, S20.00
FICA Taxes $1,53
Ft 1TA & SUTA $0,54
1111.1111011111011.1111------2.07
Worker's Compensation $ I .52
General Liability $1.47
.111111 $2.99
Employee Benefits
Sick Pay S0.39
Health Insurance S1.88
S2.27
Overhead/Management
Accounting $0.19
Field Management Expenses $0.56
Project Manager Expense $0.61
Office Expenses $0.22
Profit $0.33
Training $0.84
Uniform Fees $0.21
Equipment Expense $0.48
E. & 0 Costs $0.15
_,,,11111011 3."
iii . $30.92 TOTAL HOURLY RATE
505 S. Villa Real, Suite 203A, Anaheim — www.LyonsSecuritylnc.com — Telephone: (949) 298-6859— Email: [email protected]

Anaheim City CouncilJune 17, 2025

Anaheim City Council
June 17, 2025