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CITY COUNCIL AGENDA REPORT
City of Anaheim
HOUSING AND COMMUNITY DEVELOPMENT
DEPARTMENT
DATE: JUNE 17, 2025
FROM: HOUSING AND COMMUNITY DEVELOPMENT DEPARTMENT
SUBJECT: FOURTH AMENDMENT TO AGREEMENT WITH LYONS
SECURITY SERVICE, INC. FOR EMERGENCY SHELTER
SECURITY
ATTACHMENT (Y/N): YES ITEM # 13
GOVERNMENT CODE § 84308 APPLIES: YES
RECOMMENDATION:
That the City Council, by Motion, take the following actions:
1. Approve the Fourth Amendment to Agreement between the City of Anaheim and Lyons Security Service, Inc. (Lyons Security) for Emergency Shelter Security at The Salvation Army (TSA) Anaheim Emergency Shelter (AES) located at 1455 S. Salvation Place and surrounding area, to extend the term of the Agreement by one year to July 31, 2026; and increase the compensation for the Agreement by an additional $1,616,584.64; and
2. Authorize the Housing and Community Development Director to execute the Fourth Amendment, as well as any subsequent amendments or documents necessary for the continuation or clarification of security services at The Salvation Army (TSA) Anaheim Emergency Shelter (AES) and surrounding area, provided they are approved by the City Attorney’s Office and do not increase the total compensation payable to Lyons Security.
BACKGROUND:
In November 2018, the Anaheim City Council approved an agreement with The Salvation Army (TSA) to operate the Anaheim Emergency Shelter (AES) located at 1455 S. Salvation Place for a period of two years. As part of that agreement, the City agreed to provide security services for the emergency shelter and its surrounding area.
To meet this obligation, the City entered into a two-year agreement with Lyons Security Service, Inc. (Lyons Security) in January 2019, for the provision of security services at the emergency shelter, with the agreement set to expire on January 15, 2021.
On November 10, 2020, City Council approved an Amendment to the Agreement with TSA to extend the operation of AES for a period of two years. The action extended the shelter agreement until January 31, 2023. Inherently, an amendment to the Agreement Fourth Amendment to Agreement with Lyons Security Service, Inc. for Emergency Shelter Security June 17, 2025
for Emergency Shelter Security was necessary to fulfill the continuing obligation of the City to provide security for the emergency shelter and its surrounding area. Therefore, at the meeting on March 9, 2021, staff requested approval to enter into the First Amendment to the Shelter Security contract, extending the terms for both time and funding. The First Amendment extended the agreement to January 14, 2023, and provided an option to extend the contract for an additional six months, if necessary. The First Amendment also set the expiration date to July 14, 2023, and increased compensation by an additional $2,879,289.60.
In December 2022, staff reviewed the TSA shelter operation contracts and determined that there were sufficient funds in the existing contract to extend the shelter agreement for time only. The City Manager exercised the authority delegated to him to extend the shelter operations contract to June 30, 2023, and the City utilized the option in the Lyons Security contract to continue security services for this time.
In June 2023, the City Council passed the Third Amendment to the Original Agreement for AES shelter operations to continue through June 30, 2024. This action extended the time of TSA shelter's operations and increased the maximum reimbursement amount in the contract to cover costs incurred for operations of the shelter over the contract extension period.
Similarly, in June 2024, the City Council passed the Fourth Amendment to the Original Agreement to continue AES shelter operations through June 30, 2025. This action extended the time of TSA shelter's operations and increased the maximum reimbursement amount in the contract to cover costs incurred for operations of the shelter over the contract extension period.
To continue AES operations, a Fourth Amendment to the Agreement for Emergency Shelter Security is required to fulfill the continuing obligation of the City to provide security for the emergency shelter and surrounding area while the AES is operational.
Concurrently, a Fifth Amendment to the Original Agreement to extend AES shelter operations under the Original Agreement will be presented at the June 17, 2025, City Council Meeting due to the Fourth Amendment expiring on June 30, 2025.
DISCUSSION:
The proposed Fourth Amendment to the Agreement for Emergency Shelter Security between the City and Lyons Security allows TSA emergency shelter operations to continue safely for the contract period term. The AES has the capacity to serve up to 325 individuals, and in the last year, occupancy has been continuously near full capacity.
Lyons Security provides daily security coverage with 128 hours of security service, 365 days a year, to support comprehensive AES operations.
The total annual cost for this proposed Fourth Amendment is $1,616,584.64. As outlined in the attachments, the cost of proposed services has slightly increased from prior years due to statewide employment changes such as the increase in minimum wage, paid sick leave, and the staffing level increase from 120 to 128 hours of security service. For background, City staff requested an additional guard for nighttime patrol of the TSA trailer lot to best support comprehensive AES operations.
Fourth Amendment to Agreement with Lyons Security Service, Inc. for Emergency Shelter Security June 17, 2025
Lyons Security personnel remain on the AES premises at all times. They are assigned to assist at the Intake Desk where individuals first enter the shelter, secure the entrance to the site to prevent unauthorized access to the property, patrol the area and housing shelter residents, and assist shelter personnel to address safety concerns as needed.
Lyons Security is now entering its seventh year of providing security services at the AES. During their tenure, they have continuously increased their understanding of the unique nature of providing security services at a front line, safety net operation, and formed a great partnership with TSA.
Staff recommends approval of the Fourth Amendment to ensure continuity of operations and safety at AES.
IMPACT ON BUDGET:
Sufficient appropriation is included in the Department’s proposed FY 2025/26 General Fund Budget for City Council consideration tonight. The department will continue to pursue grant opportunities when available to offset the costs.
Respectfully submitted,
Grace Ruiz-Stepter
Director of Housing and Community Development
Attachments:
1. Fourth Amendment to Agreement
2. Original Agreement, First, Second, and Third Amendments