AVALON CITY COUNCIL MEETING
TUESDAY, JULY 28, 2026 — 5:00 PM
410 AVALON CANYON ROAD, AVALON, CA 90704
AGENDA
In compliance with the Americans with Disability Act, if you need special assistance to participate in this meeting, please contact the City Clerk’s Office (310) 510-0220. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. (28 CFR 35. 102-35.104 ADA Title II). All public records relating to an agenda item on this agenda are available for the public inspection at the time the records are distributed to all, or a majority of all, members of the City Council. Such records shall be available at City Hall located at 410 Avalon Canyon Rd. Additionally, space for interpreters will be provided at City Hall The public may attend the meeting in person or via zoom by logging into the following:Zoom Meeting Link:
https://uso6web.zoom. us/j/840831 42771 ?pwd=teo2bzTwd M mgH uQdxwx3Q3vXtl FwZx. 1 Meeting ID: 840 8314 2771
Passcode: 197401
Zoom meetings will have captions in English or Spanish, at the option of the public attending.
In addition, for the public’s convenience, but not participation, the meeting can be viewed:
On local cable: Catalina Broadband Solutions channel 3
Streaming on YouTube: httrs://www.youtube.com/CityofAvalonCA
CALL TO ORDER I PLEDGE OF ALLEGIANCE I INVOCATION I ROLL CALL
ANNOUNCEMENTS I WRITTEN COMMUNICATIONS
DEPARTMENT HEAD REPORTS
CITY MANAGER REPORT I CITY ATTORNEY REPORT
COUNCILMEMBER REPORTS I REQUESTS I MAYOR REPORT
PRESENTATIONS
1. SCE Southern California Edison Government Relations Manager Rashina Young will provide a PSPSIWildfire update. (5 minutes)
2. A representative of Catalina Island Health will provide an update regarding the organization. (10 minutes)
ORAL COMMUNICATION
Members of the public may address the City Council at this time. No action will be taken on non-agenda items at this meeting. Speakers should limit comments to two (2) minutes each.
CITY COUNCIL AGENDA
JULY 28, 2026
PAGE 2
CONSENT CALENDAR
ActionsAlthough the live recording is the official record of public meetings, minutes are prepared for the Council’s approval.
Recommended Action
Approve minutes from the June 16, 2026 regular City Council Meeting, June 25, 2026 Special City Council Meeting and July 7, 2026 regular City Council Meeting.
2. Warrants
Expenditures Submitted for Approval:
• US Bank General Account Warrants totaling $1 ,41 8,833.53.• Successor Agency (SA) US Bank Account Warrants totaling $153,350.00.• One payroll totaling $312,169.00.• One electronic fund transfer to CaIPERS for the City’s unfunded accrued pension liability totaling $1,349,372.00.
• Two electronic fund transfers totaling $120,258.08.
Recommended Action
Approve the disbursements for June 22, 2026 through July 10, 2026 totaling $3,200,632.61.
3. League of California Cities Annual Voting Delegate
The Annual League of California Cities Conference will be held in Anaheim, Californiafrom September 23-25, 2026. An important part of the conference is the Annual Business Meeting. At this business meeting, the League membership considers and takes action on resolutions that establish League Policy. In order to vote at the Business Meeting, City Council must designate a voting delegate and an alternate voting delegate.
Recommended Action
Adopt a resolution appointing Mayor Marshall as the voting delegate and Mayor Pro Tem Michael Ponce as an alternate voting delegate for the Annual League of California Cities Conference in September 2026.
4. Waterside Proiect Change Conditions of Use— Catalina Jetski Rental Corp.
The applicant has submitted a Waterside Project Application to amend conditions of use of their current waterside permit. Currently, the waterside permit authorizes personal watercraft rentals emanating from a barge anchored just outside City waters. The applicant is requesting to add the service of a “Banana Boat Tour” along the Catalinacoastline, outside of City waters.
Recommended Action
Make the affirmative findings as set forth in the Avalon Municipal Code § 10-2.416(a), and grant an amendment to the current Waterside Permit to Catalina Jetski Rental Corp. with conditions set forth by the Harbor Department.
CITY COUNCIL AGENDA
JULY 28, 2026
PAGE 3
PUBLIC HEARING
5. First Reading of an Ordinance enacting Section 3-3.422 “Short-Term Rental Facilitator Reporting” to the Municipal Code
The Short-Term Rental Facilitator Act of 2025 was enacted by Senate Bill 346 (Durazo).The Act provides a mechanism for cities to receive reporting regarding STRs operating in their jurisdiction. Once a city invokes the Act by ordinance, the Act requires online platforms like Airbnb and VRBO to identify and report short-term rentals in the city.
Recommended Action
Open the public hearing, receive public testimony, close the public hearing, and bymotion: 1. Find that the adoption of the proposed ordinance is statutorily exempt fromreview under the California Environmental Quality Act (“CEQA”) under CEQA Guidelines sections 15378 and 15061. 2. Introduce and waive all further readings of the proposedordinance enacting Section 3-3.422 “Short-Term Rental Facilitator Reporting” to the Avalon Municipal Code.
6. First Reading of an Ordinance Amending Chapter 9-5, Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code, implementing housing program 14 as set forth in the 6th Cycle General Plan Housing Element and Finding the Action to be Statutorily Exempt from the California Environmental Quality Act Under Public ResourcesCode § 21080.17 The proposed ordinance will amend Chapter 9-5, Article 6 (Accessory Dwelling Units) ofTitle 9 of the Avalon Municipal Code to comply with recent changes to state law that impose new limits on local authority to regulate Accessory Dwelling Units (ADU5) and Junior Accessory Dwelling Units (JADU5).
Recommended Action
Open the public hearing, receive public testimony, close the public hearing, and by motion: 1. Find that the adoption of the proposed ordinance is statutorily exempt fromreview under the California Environmental Quality Act (CEQA) under Public Resources Code § 21080.17. 2. Introduce and waive all further readings of the proposed ordinance amending Chapter 9-5 Residential Zones, Article 6 “Accessory Dwelling Units” of the Avalon Municipal Code.
GENERAL BUSINESS7. Repair and Maintenance of City of Avalon Fire Engine 7 While conducting repairs to the Engine 7 pump, mechanics discovered a number of other necessary repairs. As the vehicle was already at a qualified mechanics in Azusa, City Staff determined there was an economic advantage to completing all work necessary to make Engine 7 safe to operate and pass required regulatory testing.
CITY COUNCIL AGENDA
JULY 28, 2026
PAGE 4
Recommended Action
1. Amend the Fiscal Year 2025-26 Budget, adding an additional $75,000 to account #10245-6781 to support the rehabilitation of the City-owned Fire Engine 7. 2. Ratify prior action and authorize an additional expenditure of an amount not-to-exceed $75,000 to Performance Truck Repair, a sole source vendor, for the rehabilitation of the City-ownedFire Engine 7 for a total repair of $96,192.72.
8. Ovivo Screen Lease Extension
In order to continue uninterrupted operations of the Wastewater Treatment Plant (MNTP) the City engaged Ovivo to lease a Micro Ozzy Cup Screen. The original lease terms needto be extended to allow sufficient time for repairs to the WWTP grit chamber.
Recommended Action
Authorize the City Manager, or his designee, to extend a lease agreement with Ovivo for a Micro Ozzy Cup Screen for an additional three-month period, for a not-to-exceed sum of $40,000.
9. Award of Construction Contract — Wastewater Treatment Plant Lab Roof Modification and Casino Showers and Restrooms Roof Remediation
The City-owned roofs at the Wastewater Treatment Plant (WV’JTP) Laboratory and the Casino Showers and Restroom Building have reached the end of their useful service lives and have experienced ongoing deterioration due to age and continuous exposure to the harsh coastal marine environment.Recommended Action
Authorize the City Manager or his designee to negotiate and execute a contract with Best Contracting Services, Inc. for the Wastewater Treatment Plant Lab Roof Modification of $145,000 and Casino Showers & Restrooms Roof Remediation of $125,000 for a total project contract amount not-to-exceed $270,000 as budgeted in the City’s Fiscal Year 2026-2027 Capital Improvement Plan, Project No. 275004 and No. 277001. The following funding accounts will be used 11325-6552 (Saltwater Fund $58,000), 10825-6521 (Sewer Fund $87,000), and 10470-6679 (Harbor Fund $145,000).
ADJOURN
NOTICE OF POSTING
I, Devin Elise Hart, declare that the City Council Agenda for Tuesday, July 28, 2026 was posted on Friday, July 24, 2026 on the City’s website, www.cityofavalon.qov/aqendacenter, and at City Hall, 410 Avalon Canyon Road.Dev[rc’ Elise Hart, Senior Management Analyst
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM:
ORIGINATING DEP: City Clerk CITY MANAGER: 1MM
PREPARED BY: Gabrielle Morones, City Clerk
SUBJECT: City Council Minutes
RECOMMENDED ACTION(S): Approve minutes from the June 16, 2026 regular City Council Meeting and June 25, 2026 Special City Council Meeting.
REPORT SUMMARY: Although the live recording is the official record of public meetings,minutes are prepared for the Council’s approval.
FISCAL IMPACTS: N/A.
GOAL ALIGNMENT: Not Aligned.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: N/A.
FOLLOW UP ACTION: File minutes in the City Clerk’s office.
ADVERTISING, NOTICE AND PUBLIC CONTACT: The item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS:
- June 16, 2026 regular City Council Meeting Minutes.
- June 25, 2026 Special City Council Meeting Minutes.
- July 7, 2028 regular City Council Meeting Minutes.
AVALON CITY COUNCIL MEETING
TUESDAY, JUNE 16, 2026
MINUTES
CALL TO ORDER -5:01 p.m.
ROLL CALL — Present: Mayor Anni Marshall, Councilmembers De La Rosa, Lisa Lavelle,Michael Ponce and Mary Schickling. Also present: City Manager David Maistros, City Attorney Scott Campbell and Senior Management Analyst Devin Hart. Absent: City Clerk Gabrielle Moron es.
WRITTEN COMMUNICATIONS — City staff received three (3) written communications regarding Item #14. Adult-Use Cannabis Discussion. Copies were distributed to City Council and are on file in the City Clerk’s office.
COUNCILMEMBER REQUESTS- Councilmember Lavelle requested that the following items be placed on a future agenda for discussion:
1. Potential penalties for residents who operate transportation services without the required transportation permit.
2. Establish an appropriate waiting period, if any, before an individual who has operated illegally without a transportation permit may be eligible to apply for and obtain a transportation permit.
CONSENT CALENDAR-There were eight items on the Consent Calendar. Motion to approve Items #1-#8 made by Lisa Lavelle, seconded by Mary Schickling. (All Ayes)1. Actions Approved minutes from the May 19, and June 2, 2026 regular City Council Meeting.
2. Warrants
Approved a US Bank General Account Warrants totaling $2,232,643.85, a US Bank LMI Housing Authority Warrants $146,477.31, three payrolls totaling $821,522.61, four electronic fund transfers totaling $425,707.52 for a total disbursement of $3,626,351 .29 for April 27, 2026 through May 29, 2026.
3. Gann Appropriations Limit for Fiscal Year 2026-2027
Adopted Resolution No. 26-18 of the City of Avalon Establishing an Appropriations Limit for Fiscal Year 2026/2027 Pursuant to Article XIII B of the California Constitution.
4. Resolution Adopting List of Proiects for Annual SB1 Allocation Adopted Resolution No. 26-19 of the City of Avalon Adopting a List of Projects for Fiscal Year 2026-27 Funded by SB 1: The Road Repair and Accountability Act of 2017.
CITY COUNCIL MINUTES
JUNE 16, 2026
PAGE 2
5. Adopt an Ordinance Prohibiting Fireworks in the City of Avalon Adopted Ordinance No. 1230-26 An Ordinance of the City Council of the City of Avalon Prohibiting the Use, Possession, Sale, and Discharge of Fireworks within the City of Avalon.
6. Award Professional Audit Services Contract
Authorized the City Manager to execute a professional services agreement with DavisFarr LLP for professional auditing services for the fiscal year ending June 30, 2026, with the option of extending for the two (2) subsequent fiscal years.
7. Cooperation Agreement for Continued Participation in the Los Angeles Urban County Community Development Block Grant Program
Authorized the City Manager to execute the cooperation agreement with the Los Angeles County Development Authority for a three-year term beginning July 1, 2027 — June 30, 2030.
8. 2026 Conflict of Interest Code-Biennial Notice
Directed the City Clerk to notify all City Departments and advisory bodies that have previously adopted conflict of interest codes, of the biennial review requirements for such conflict of interest codes. Required all departments and advisory bodies that havepreviously adopted conflict of interest codes to review such conflict of interest codes and report to the City Council any amendments, or report that no amendments are necessary,no later than October 1, 2026.
PUBLIC HEARING
9. Public Hearing and Submittal of Property Related Fees to Los Angeles County for FY26- 27 Property Tax Roll — Sewer, Saltwater, and Solid Waste Fees
1. Mayor Marshall opened a public hearing on whether to collect the annual trash collection service fees, grease collection service fees, sewer user fees, and saltwatercharges, on the property tax roll by the County of Los Angeles.
2. Comments were heard, and it was determined that there was not a majority protest filed. Mayor Marshall closed the public hearing and adopted the following four resolutions:Adopted Resolution No. 26-20 of the City Council of the City of Avalon Adopting the Report of the Annual Solid Waste Collection Service Fees and Directing the City Clerk of the City to File Said Report with the Los Angeles County Auditor and Request the Auditor Place the Fiscal Year 2026-2027 Solid Waste Collection Service Fees on the Tax Roll.
Adopted Resolution No. 26-21 of the City Council of the City of Avalon Adopting the Report of the Annual Grease Collection Service Fees and Directing the City Clerk of the City to File Said Report with the Los Angeles County Auditor and Request the Auditor Place the Fiscal Year 2026-2027 Grease Collection Service Fees on the Tax Roll.
CITY COUNCIL MINUTES
JUNE 16, 2026
PAGE 3
Adopted Resolution No. 26-22 of the City Council of the City of Avalon Adopting the Report of the Annual Sewer User Fees and Directing the City Clerk of the City to File SaidReport with the Los Angeles County Auditor and Request the Auditor Place the Fiscal Year 2026-2027 Sewer User Fees on the Tax Roll.
Adopted Resolution No. 26-23 of the City Council of the City of Avalon Adopting the Report of The Annual Saltwater Charges and Directing the City Clerk of the City to File Said Report with the Los Angeles County Auditor and Request the Auditor Place the Fiscal Year 2026-2027 Saltwater Charges on the Tax Roll.
3. City Council directed the City Clerk to request Los Angeles County to place the feeson the FY 2026/27 Property Tax Roll.
Motion to approve made by Lisa Lavelle, seconded by Michael Ponce. (4 Ayes-Marshall, De La Rosa, Lavelle and Ponce; 1 No-Schickling)
10. Fiscal Year 2026-2027 Miscellaneous Fee Schedule
1. City Council heard a presentation regarding the Miscellaneous Fee Schedule. 2.
Mayor Marshall opened the Public Hearing; no comments were heard. 3. MayorMarshall closed the Public Hearing. 4. Adopted Resolution No. 26-24 of the City Council of the City of Avalon Setting Fees for Services, Facilities and Activities of the City of Avalon for Fiscal Year 2026-27.
GENERAL BUSINESS
11. Catalina Food Tours Transportation Permit Application
1. City Council received presentation. 2. City Council discussed. 3. Approved the Transportation Permit for Catalina Food Tours to be added to the existing Residential Vehicle permit to conduct tours with stated conditions.
City Council Member Lisa Lavelle recused herself due to a Conflict of Interest.
Motion to approve made by Anni Marshall, seconded by Mary Schickling.(4 Ayes-Marshall, De La Rosa, Ponce and Schickling; 1 Abstention-Lavelle)
12. Roger’s Guided Tours Transportation Permit Application
1. City Council received presentation. 2. City Council discussed. 3. Approved the Transportation Permit for Roger’s Guided Tours utilizing one existing Residential Autoette permit to conduct tours with stated conditions.Motion to approve by Yesenia De La Rosa, seconded by Mary Schickling. (All Ayes)
13. Pebbly Beach Road Temporary Turn Around Installation and Traffic Safety Improvements Approved the plan as presented for modifications and striping along Pebbly Beach Road including installation of k-rail, signage and striping to install a temporary vehicle turn around.
Motion to approve made by Michael Ponce, seconded by Lisa Lavelle (All Ayes)
CITY COUNCIL MINUTES
JUNE 16, 2026
PAGE 4
14. Adult-Use Cannabis Discussion
City Council reached consensus to not take any further action to pursue legalization ofadult-use cannabis in Avalon.
Motion to approve made by Anni Marshall, seconded by Michael Ponce. (3 Ayes-Marshall, De La Rosa, Ponce; 2 Noes-Lavelle and Schickling)
15. Repair and Maintenance of City Shoreboat Float
1. Amended the Fiscal Year 2025-26 Budget, adding an additional $33,500 to account #10470-5705 to support the rehabilitation of the City-owned Shoreboat End Float. 2.
Ratified prior action and authorized an additional expenditure of an amount not-to-exceed $33,346.36 to Al Larson Boat Shop, a sole source vender, for the rehabilitation of the City-owned Shore-boat Float for a total repair of $93,346.36.Motion to approve made by Michael Ponce, seconded by Yesenia De La Rosa. (All Ayes)
16. Award to DCCM for Proiect Management Services
1. Made the affirmative finding the City will not gain a competitive advantage through a separate competitive solicitation and that the required services can be obtained moreeconomically and efficiently pursuant to Avalon Municipal Code Section 3-4.111(C); 2.
Awarded a Professional Services Agreement to DCCM to provide Project Management Services for the Pebbly Beach Landfill Life Site Optimization Project and related on-callconsulting services in an amount not-to-exceed $200,000 annually; and 3. Authorized theCity Manager to execute the Agreement and any related documents, including amendments within the approved contract authority.
Motion to approve made by Lisa Lavelle, seconded by Yesenia De La Rosa. (All Ayes)
17. Contract for Stage 1 Design and Engineering Services Progressive Design-Build Contract for the Cabrillo Mole Revitalization Proiect Phase 2
Authorized the City Manager to finalize negotiations and execute the Stage 1 design and engineering services progressive design-build contract for the Cabrillo Mole Revitalization Phase 2 Project with Anderson Burton Construction, Inc. for a not-to-exceed sum of $1.8 million.
Motion to approve made by Lisa Lavelle, seconded by Michael Ponce. (All Ayes) BREAK 7:49 p.m.-7:56 p.m.
18. Proposed Fiscal Year 2026-27 Budget
City Council continued discussing the proposed Fiscal Year 2026-27 Budget.City Council adopted Resolution No. 26-25 of the City Council of the City of Avalon Adopting the Budget for Fiscal Year 2026-27.
Motion to approve made by Michael Ponce, seconded by Yesenia De La Rosa. (All Ayes)
CITY COUNCIL MINUTES
JUNE 16, 2026
PAGE 5
CLOSED SESSION-8:30 p.m.-8:50 p.m.
Following the appropriate announcement of the Closed Session items the City Council went into Closed Session to discuss the following:
1. Conference with legal counsel—anticipated litigation Gov’t Code Section 54956.9(d)(2): 2 cases
The City has received two letters from Lance Ware, one dated May 29, 2026 and the other dated June 3,2026 threatening litigation. Copies of the letters (without any exhibits) are attached and are also available for public inspection with exhibits pursuant to Government Code Section 54957.5.
Following Closed Session, the City Manager announced that there was no reportable action.Mayor Marshall adjourned the meeting at 9:09 p.m.I, Gabrielle Morones, City Clerk, do hereby certify that the digital recording of the regular City Council Meeting on June 16, 2026, is the official record of the Council Meeting and is on file andmaintained in City Hall. 2e
Gabrielle Morones, City Clerk
AVALON SPECIAL CITY COUNCIL MEETING
THURSDAY, JUNE 25, 2026
MINUTES
CALL TO ORDER -5:00 p.m.ROLL CALL — Present: Mayor Anni Marshall, Councilmembers Lisa Lavelle, Michael Ponceand Mary Schickling. Also present: City Manager David Maistros, City Attorney Scott Campbell and Senior Management Analyst. Absent: Councilmembers De La Rosa.
WRITTEN COMMUNICATIONS — City Staff received one (1) written communication regarding Item #1 Direction on City Action in Response to May 29, 2026 Demand for Cure and Correct Letter and Unconditional Commitment Letter and 22 written communications regarding Item #2Rescission of the May 22, 2026 Letter to the Federal Communications Commission andDirection Filing Responses to the Federal Communications Commission in Response to Filing of AVX.
GENERAL BUSINESS
1. Direction on City Action in Response to May 29, 2026 Demand for Cure and Correct Letter and Unconditional Commitment Letter
Authorized the City Attorney to Prepare an Unconditional Commitment Letter in responseto the May 29, 2026 Demand for Cure and Correct Letter.
Motion to approve made by Michael Ponce, seconded by Lisa Lavelle. (4 Ayes — Marshall, Lavelle, Ponce and Schickling, 1 Absent — De La Rosa)
2. Rescission of the May 22, 2026 Letter to the Federal Communications Commission and Direction Filing Responses to the Federal Communications Commission in Response toFiling of AVXRescinded the May 22, 2026 letter to the Federal Communications Commission (FCC) and authorized the City Attorney to file responses to AVX’s filings with the FCC.
Motion to approve made by Michael Ponce, seconded by Lisa Lavelle. (4 Ayes — Marshall, Lavelle, Ponce and Schickling, 1 Absent — De La Rosa) Mayor Marshall adjourned the meeting at 5:17 p.m.
I, Gabrielle Morones, City Clerk, do hereby certify that the digital recording of the special City Council Meeting on June 25, 2026, is the official record of the Council Meeting and is on file and maintained in City Hall.Gabrielle Morones, City Clerk
AVALON CITY COUNCIL MEETING WHICH ALSO INCLUDED
A MEETING OF THE CITY OF AVALON CITY COUNCIL ACTING AS
THE SUCCESSOR AGENCY TO THE AVALON COMMUNITY IMPROVEMENT AGENCY TUESDAY, JULY 7, 2026
MINUTES
CALL TO ORDER: 5:00 p.m.
ROLL CALL- Present: Mayor Anni Marshall, Councilmembers De La Rosa, Lisa Lavelle,Michael Ponce and Mary Schickling. Also present: City Manager David Maistros, CityClerk Gabrielle Morones, and City Attorney Scott Campbell.
GENERAL BUSINESS
1. Resolution Reciting the Facts of the June 2, 2026 Statewide Direct Primary/General Municipal Election
Adopted Resolution No. 26-26 of the City Council of the City of Avalon, California, Reciting the Facts of the Statewide Direct Primary/General Municipal Election Held on June 2, 2026, Declaring the Result Thereof and Such other Matters as Provided by Law.
Motion to approve made by Lisa Lavelle, seconded by Yesenia De La Rosa.(All Ayes)
2. Seating of the Newly Elected Officials
The City Clerk administered the Oath of Office to the newly elected Mayor Anni Marshall and City Councilmembers Donna Lopez and Michael Ponce.
PRESENTATIONS
1. SCE Southern California Edison Government Relations Manager Rashina Young provided a PSPSlWildfire update.
2. Jennifer Kumiyama, Executive Director of Disabled Resources Center, Inc. provided a presentation regarding programs, services, and resources available to Avalon residents with disabilities to support independent living and community inclusion.
CONSENT CALENDAR- The City Manager pulled Item #3 from the agenda due to lastminute revisions. The item will be presented for approval at the next City Council meeting.
Motion to approve Items #446 made by Michael Ponce, seconded by Lisa Lavelle.(All Ayes)PULLED ITEM
3. Actions
Although the live recording is the official record of public meetings, minutes are prepared for the Council’s approval.
CITY COUNCIL/SUCCESSOR AGENCY TO THE ACIA MINUTES
JULY 7, 2026
PAGE 2
Recommended Action
Approve minutes from the June 16, 2026 regular City Council Meeting and June 25, 2026 Special City Council Meeting.
4. Warrants
Approved a US Bank General Account Warrants totaling $1,417,836.76, one payroll totaling $277,816.71 and four electronic fund transfers totaling $234,267.31 for a total of disbursement of $1,929,920.78 for June 1, 2026 through June 19, 2026.
5. Law Enforcement Services Agreement with Los Angeles County Adopted Resolution No. 26-27 of the City of Avalon Notifying the Los Angeles County Board of Supervisors of its Desire to Receive Specified Law EnforcementServices from the Los Angeles County Sheriffs Office, Authorizing the Expenditure of Cops Grant Funds and Authorizing the City Manager to Execute the City-County Municipal Service Level Authorization Form (SH-AD 575) for Fiscal Year 2026- 2027.
The following item on the Consent Calendar was the City Council acting as the Successor Agency to the Avalon Community Improvement Agency
6. Last and Final Recognized Obligation Payment Schedule (ROPS) and Successor Agency Administrative Budget for the Period of July 1, 2027 through June 30, 2035Adopted Resolution No. SA 26-28 of the Successor Agency to the Avalon Community Improvement Agency Approving the Last and Final Recognized Obligation Payment Schedule and Administrative Budget for the Period of July 1, 2027 through June 30, 2035.
GENERAL BUSINESS (CONTINUED)
7. Appointing a Mayor Pro-Tem
Appointed Michael Ponce to serve as Mayor ProTem.
Motion to approve made by Anni Marshall, seconded by Yesenia De La Rosa.(All Ayes).
8. Audit Committee
Appointed Lisa Lavelle and Donna Lopez to serve on the audit committee.Motion to approve made by Anni Marshall, seconded by Michael Ponce. (All Ayes)
CITY COUNCILISUCCESSOR AGENCY TO THE ACIA MINUTES
JULY 7, 2026
PAGE 3
9. Purchase of Mobile LED Screen Unit for Community Engagement and Event EnhancementsPursuant to the City of Avalon’s Procurement Policy, authorized the City Manager or his designee to procure a LED screen unit, to be funded through a 50/50 costsharing partnership with Love Catalina for a not-to-exceed sum of $71,883.
Motion to approve made by Michael Ponce, seconded by Yesenia De La Rosa.(4 Ayes-Marshall, De La Rosa, Lavelle, Ponce; 1 No-Lopez)
10. Geotechnical Drilling Contract for the Cabrillo Mole Revitalization Proiect
1. Made the affirmative finding that the City will not gain a competitive advantage by bidding and can contract work more economically or efficiently pursuant to Avalon Municipal Code Section 3-4.111 (c), and 2. Awarded a professional services contract for geotechnical sonic drilling for the Cabrillo Mole Revitalization Project for a not-to-exceed sum of $95,000 to Gregg Drilling, LLC — CIP Project #1 80005, Fund #10470-6667.
Motion to approve made by Michael Ponce, seconded by Lisa Lavelle. (All Ayes)
11. Change Order #4 for Cultural Resources Consultation Agreement with Onterris USA, Inc. (Previously Montrose Environmental Services)
Authorized the City Manager to execute Change Order #4 for the professional services agreement with Onterris Usa, Inc. — previously Montrose EnvironmentalSolutions, Inc. — to continue to provide cultural resource consulting for the FiveCorner Site Improvement Project, for an additional sum of $38,124.00 and a new total contract sum of $277,496.00.
Motion to approve made by Lisa Lavelle, seconded by Michael Ponce. (All Ayes) Mayor Marshall adjourned the meeting at 6:55 p.m.
I, Gabrielle Morones, City Clerk, do hereby certify that the digital recording of the regular City Council Meeting on July 7, 2026, is the official record of the Council Meeting and ison file and maintained in City Hall.Gabrielle Morones, City Clerk
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM: 2
ORIGINATING DEP: Finance CITY MANAGER: 1MM
PREPARED BY: Matthew Baker, Finance Director
SUBJECT: Warrants
RECOMMENDED ACTION(S): Approve the disbursements for June 22, 2026 through July 10, 2026 totaling $3,200,632.61.
REPORT SUMMARY: These disbursements through July 10th are comprised of warrants from the Successor Agency (SA) US Bank Account totaling $153,350.00, warrants from the US Bank General Account, including via ACH and wire transfers, totaling $1,418,833.53, one payroll totaling $312,169.00, one electronic fund transfer to CaIPERS for the City’s unfunded accrued pension liability (UAL) totaling $1,349,372.00, and other electronic fund transfers totaling $120,258.08. The City prepays the annual UAL amount in July, resulting in interest savings of approximately 3.33%.
ITEM DESCRIPTION AMOUNT DATE
SA US BANK WARRANTS CK# 351-352 153,350.00 06/24/26GE US BANK WARRANTS CK# 42149-42161 806,232.11 06/24/26 GE US BANK WARRANTS CK# 42162-4222 1 455,848.58 07/02/26GE US BANK WARRANTS CK# 42222-42226 30,597.26 07/08/26GE US BANK ACH/WIRE PMT#V260023-V270003 126,155.58 07/09/26 PAYROLL 312,169.00 07/10/26EET- CALPERS UAL 1,349,372.00 07/10/26EET -CALPERS MEDICAL 110,705.38 07/08/26EFT - HARBOR/REC CREDIT CARD AND BANK SERVICE FEES 9,552.70 07/10/26 TOTAL DISBURSEMENTS $3,200,632.61
GOAL ALIGNMENT: Ongoing meeting of City obligations.
FISCAL IMPACTS: There are sufficient funds available, and the expenditures are included in the FY25-26 Budget and FY26-27 Budget.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: N/A
FOLLOW UP ACTION: N/A
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.ATTACHMENTS: Audit Certificate, Warrant Lists, U.S. Bank Credit Card Detail
CITY OF AVALON
JUNE 22ND-JULY 10TH 2026 DISBURSEMENTS
July 28, 2026
ITEM DESCRIPTION AMOUNT DATE
SA US BANK WARRANTS CK# 351-352 153,350.00 06/24/26OF US BANK WARRANTS CKII 42149-42161 806,232.11 06/24/26OF US BANK WARRANTS CK# 42162-42221 455,848.58 07/02/26OF US BANK WARRANTS CK# 42222-42226 30,597.26 07/08/26OF US BANK ACH/WIRE PMT# V260023-V270003 126,155.58 07/09/26PAYROLL 312,169.00 07/10/26EFT - CALPERS UAL 1,349,372.00 07/10/26EFT - CALPERS MEDICAL 110,705.38 07/08/26EFT - HARBOR/REC CREDIT CARD AND BANK SERVICE FEES 9,552.70 07/10/26 TOTAL DISBURSEMENTS $ 3,200,632.61
CERTIFICATE
IN ACCORDANCE WITH SECTION 32702
OF THE GOVERNMENT CODE, I CERTIFY
THAT THE ABOVE DEMANDS ARE ACCURATEAND THAT FUNDS ARE AVAILABLE FOR PAYMENT.
APPROVED AND AUDITED THIS
28TH DAY OF JULY 2026 I CERTIFY UNDER PENALTY OF PERJURY
THAT THE FOREGOING IS TRUE AND
CORRECT.
AUDIT COMMITTEE -MICHAEL PONCE EXECUTED THIS 28TH DAY OF JULY 2026
AUDIT COMMITTEE - MARY SCHICKLING FINANCE DIRECTOR - MATTHEW BAKER
CITY OF AVALON
WARRANT DISBURSEMENTS
June 24, 2026
CHECK DATENUMBER ISSUED AMOUNT NAME DESCRIPTION351 06/24/2026 150,000.00 CITY OF AVALON ROPS 25-26 ADMIN AL352 06/24/2026 3,350.00 HARRELL & COMPANY ROPS 25-26B ITEM16 $ 153,350.00
CITY OF AVALON
WARRANT DISBURSEMENTS
June 24, 2026
CHECK DATE
NUMBER ISSUED AMOUNT NAME DESCRIPTION
42149 06/24/2026 9,120.00 4LEAF, INC. SERVICE:PLANNING42150 06/24/2026 141,667.00 CATALINA CHAMBER OF COMMERCE TOT:07/2026 42151 06/24/2026 59,590.44 CATALINA EXPRESS SURSIDY:05/202642151 06/24/2026 594.00 CATALINA EXPRESS TRAVEL:OS/2026421S2 06/24/2026 43,62652 EDISON UTILITIES: ALL DEPT 42153 06/24/2026 24,083.33 AVALON SHOREBOAT SERVICE CORP CONTRACT SVCS:07/202642154 06/24/2026 20,600.00 ENVIRONMENTAL SYSTEMS RESEARCH INST SERVICE: IT FY274215S 06/24/2026 1,1S1.S0 FINELINE CONSTRUCTION EXCAVATON DEPOSIT 42156 06/24/2026 11S.42 HAAKER SUPPLIES:PUBLIC WORKS421S7 06/24/2026 22S.16 HART, DEVIN REIMB:OP/COSTS42158 06/24/2026 489,S3S.00 JORDAHL CONSTRUCTION SERVICE:CIP 18000S421S9 06/24/2026 1,925.00 RSG, INC SERVICE: S/A 42160 06/24/2026 9,357.91 SIRIAS CLEANING SERVICE 2ND HALF: 06/202642160 06/24/2026 99.00 SIRIA’S CLEANING SERVICE SERVICE: RECREATION42161 06/24/2026 4,541.83 CORPORATE PAYMENT SYSTEMS SEE ATTACHED DETAIL $ 806,232.11
CITY OF AVALON
US BANK CREOIT CARD CHAROES PAID JUNE 24, 2026
July 28, 2026
LAST NAME POSTDATE AMTUSD VENDOR DESCRIPTION DEPARTMENTSCHMIDT 4/56/2526 ROE] CHEIS HARDWARE SUPPLIES: HARBOR HARBOR SCHMIDT A/ 17/2026 09.05 CATALINA ESFRESS TRAINING &TRAVEL HARBORSCHMIDT 4/20/2026 EJ2 SR WEST MARINE MAINTENANCE OF PREMISES HARBORSCHMIDT 4/2J/2026 S2.14 VOSS SUPPLIES: FIRE CREW HARBORSCHMIDT 4/27/2S2R Ru_OS CATALINA EXPRESS TRAINING & TRAVEL HARBORSCHMIDT S/H/2S26 500.00 DACATEL COMMUNICATIONS SUBSCRIPTION: IT HARBORSCHMIDT S/6/2026 RJS.RO FEDERAL LICENSING OPERATING COST: LICENSE HARBORSCHMIOT 5/7/2026 6694 URER TRAINING &T05VEL HARBORSCHMIDT 5/11/2026 59.00 SENOHUR SMS SUBSCRIPTION SUBSCRIPTION: IT HARBORSCHMIDT 5/12/2026 3,208.55 CROWD CONTROL COMPANS MAINTENANCE OF PREMISES HARBOR $ 4,S41.R3 CHECK 42EE1
CITY OF AVALON
WARRANT DISBURSEMENTS
July 2, 2026
CHECK DATE
NUMBER ISSUED
42162 07/02/202642163 07/02/2026
42164 07/02/202642165 07/02/202642166 07/02/2026
42167 07/02/202642168 07/02/2026
42169 07/02/202642170 07/02/2026
42172 07/02/2026
42173 07/02/202642174 07/02/2026
42175 07/02/2026
42176 07/02/202642177 07/02/2026
42178 07/02/202642179 07/02/2026
42110 07/02/202642181 07/02/2026
42182 07/02/202642183 07/02/202642194 07/02/202642195 07/02/2026 42186 07/02/202642187 07/02/202642188 07/02/202642189 07/02/202642190 07/02/2026 42191 07/02/2026
42192 07/02/202642193 07/02/202642194 07/02/202642195 07/02/202642196 07/02/202642197 07/02/2026 42198 07/02/202642199 07/02/202642200 07/02/202642201 07/02/2026 42202 07/02/2026
42203 07/02/2026
42204 07/02/202642205 07/02/202642206 07/02/2026
42207 07/02/2026
42208 07/02/202642209 07/02/202642210 07/02/202642211 07/02/202642212 07/02/202642213 07/02/2026 42214 07/02/202642215 07/02/202642216 07/02/202642217 07/02/2026 42218 07/02/202642219 07/02/2026
42220 07/02/2026
42221 07/02/2026
AMOUNT NAME
16,485.00 INTERNATIONAL CONSULTING SERVICES
4,09S.00 INTERNATIONAL CONSULTING SERVICES
315.00 INTERNATIONAL CONSULTING SERVICES
9,135.00 INTERNATIONAL CONSULTING SERVICES
630.00 INTERNATIONAL CONSULTING SERVICES
60,704.00 JAMISON ENGINEERING CONTRACTORS INC
1,143.20 IOROAHL CONSTRUCTION1,290.00 KET CODE MEDIA, INC 7,20R.R4 L.N. CURTIS & SONS
15.94 LINDE GAS & EOUIPMENT INC.SS.2R ISEAND ETPRESS HELICOPTERS INC. 777.99 MCDONALD, AUDRA
2,223.00 MCKEE, LISA
296.42 NAPA AUTO PARTS
79.00 NIU, PHOERE
1,338.40 PINNACLE DESIGNS
1,000.00 OUADIENT FINANCE USA, INC.
940.36 OUILL CORP
120.00 RAIN FOR RENT
298.24 RICOH USA, INC.
4R9.36 SFC HOLDINGS, LLC
22R.91 SIRIA’S CLEANING SERVICE
10,704.00 STAY GREEN, INC.
2,R11.22 ULINE, INC.
241.07 WALTERS WHOLESALE ELECTRIC CO
7R,000.00 WEST COAST ARRORISTS, INC
2,199.16 WEST MARINE PRO
7,741.93 A.AA OIL, INC
SSR,30R.S4 AL LARSON ROAT SHOP, INC.
40.30 ALRERTSON COMPANIES - AMAZON CAPITAL SERVICES, INC.
S,ROR.E4 AMAZON CAPITAL SERVICES, INC.2,537.19 ANGELUS RLOCK CO., INC.1,S25.27 AT & T2,451.96 AVALON BOAT STAND 2,569.29 AVALON FREIGHT SERVICES, LLC
7,042.95 AVALON MOORING & DIVING
600.00 RASIN MARINE300.00 RENTDAHL, MART
126.74 ROUND TREE MEDICAL
2,525.37 CART MART, INC
8,909.2S CATALINA REVERAGE CO
644.16 CATALINA REVERAGE CO
1,R62.RR CATALINA ISLAND VACATIONS RENTALS
168.00 CATALINA ISLANDER
1S7.RR CHARLES E. THOMAS COMPANY, INC.
8,730.44 CD. OF LOS ANGELES SHERIFF’S DEPT8,827.30 COMMERCE HOSE & INDUSTRIAL PRODUCTS 3,782.28 COUNTY OF LA INTERNAL SERVICES DEPT
13,201.20 DATA INTEGRITY SERVICES, INC.
DION & SONS MARINE FUELS INC
2,472.40 DION & SONS MARINE FUELS INC
250.02 EDISON
32,9S7.17 GED-LOGIC ASSOCIATES, LLC.
2,S2S.SS HA.AKER
499.46 HOME DEPOT CREDIT SERVICES
4,347.98 L.N. CURTIS & SONS
1,1S3.S0 MASA
5,000.00 RURIO, LUIS
DESCRIPTION
SERVICE: CIPR 1R000SSERVICE: CIPR 205001
SERVICE: CIPR 20S001SERVICE: CIPR 267001
SERVICE: CIP 207012
CIP 205011SERVICE: PW
SERVICE: AVCHAMRERSUPPLIES. FIRE
SUPPLIES: WELDING
FREIGHT GARAGE
RETIREE INS.07/202EREFUND. AMBULANCE
SUPPLIES: GARAGEREFUND: AMBULANCE
SUPPLIES: HARRORPOSTAGE REFILL
SUPPLIES. ALL DEPTSSUPPLIES. PW
COPIER LEASE: PLANNING
UNIFORMS: HARBOR
REIMB: OP/COSTSSERVICE: PUBLIC WORKSSERVICE PUBLIC WORKS SERVICE: PUBLIC WORKS
SERVICE: PUBLIC WORKS
SUP PLIES: H AR RD R
FUEL: ALL DEPTSSERVICE: HARRORSUPPLIES: ADMIN
VOID:MUTI-STUB CHECK
SUPPLIES ALL DEPTSSUPPLIES.PURLIC WORCOMMUNICATIONS. ALL SERVICE: HARROR
FREIGHT: ALL DEPTS
SERVICE: HARBOR
SERVICE: HARBORSERV ICE R EC RE AT ID N
SUPPLIES: FIRE
SUPPLIES. GARAGESUPPLIES. ALL DEPTS
SUPPLIES. CIP IR0003
LODGING. PUBLIC WORKS
ADVERTISING:ALL DEP
SERVICE: HARBORWTRFNT PTRL.OS/2026 04/2026
EOUIP.PUBLIC WORKS
SERVICE: ITSERVICE: IT
VOID:MUTI-STUB CHECK
FUEL: HARRORUTILITIES. ALL DEPT
PBL ETPANSION CIP
SUPPLIES:PUBLIC WORSUPPLIES-PUBLIC WORSUPPLIES: FIRE
DUES: 06/2026SERVICE : REC RE AT ION
$ 455,848.58
CITY OF AVALON
WARRANT DISBURSEMENTS
July 8, O26
CHECK DATENUMBER ISSUED AMOUNT NAME DESCRIPTION
42222 07/08/2026 1,191.62 SIXTRENTACAR, LLC TRAIN/TRAVEL:HARBOR 42223 07/08/2026 - CORPORATE PAYMENT SYSTEMS VOID: MULT-STUB CHECK42224 07/08/2026 - CORPORATE PAYMENT SYSTEMS VOIO: MULT-STUB CHECK42225 07/08/2026 27,937.82 CORPORATE PAYMENT SYSTEMS SEE ATTACHED DETAIL42226 07/08/2026 1,467.82 VERIZON WIRELESS COMMUNICATIONS: ALL $ 30,597.26
CITY OF AVALON
US BANK CREDIT CABO CHABGBS PAlO JULY B, 2026
July 28, 2026
LAST NAME POSTDATE AMTUSD VENDOB DESCBIPTIDN DEFARTMENTRAKER 6/3/2026 30430 ZOOM,COM SURSCBIPTIDN: IT FINANCE RAKER 6/3/2026 (D,2ER.OB) THE WILLOWS PAL SFRINOS TRAINING & TRAVEL FINANCEBAKER 6/10/2026 10411 LANOS END SUPPLIES- FINANCE FINANCEFRANCIS S/SS/2B2B 49.12 CALIFORNIA ANIMAL WELFAR SPPLIFS, CODC ENFORCEMENT ADMINFRANCIS 5/25/2526 59.00 VONS PROGRAM SUPPLIES ADMINFRANCIS 6/2/2026 SRS.RS IN OLTNS INC SUBSCRIPTION: BECTCLING ADMINFRANCIS 6/2/2026 67600 LEAOUE OF CALIFORNIA TRAINING &TBAVEL: COUNCIL ADMIN SCHMIDT 5/10/2026 20000 CATALINA PEST CONTROL MAINTENANCE OF PREMISES HARBORSCHMIDT 5/23/2026 3R.S2 CHITS HARDWARE RUPPLIES: MAINTENANCE HARBOR SCHMIDT S/23/2026 51.96 CHETS HARDWARE SUPPLIES: MAINTENANCE HARBORSCHMIDT 6/1/2026 90.00 CATALINA EEPRESS TRAINING &TBAVEL HARBORSCHMIDT 6/2/2026 567,11 DATATEL COMMUNICATIONS SUBSCRIPTION: IT HARBORSCHMIDT R/B/2026 200.00 CATALINA PENT CONTROL MAINTENANCE OF PREMISES HARBORSCHMIDT 6/10/2026 19.00 SENDHUR SUBSCRIPTION: IT HARBORSCHMIDT 6/10/2026 104.06 ISLAND MARINE FUEL BALBOA FUEL:HARBOR HARBOR JEFF H. S/SS/202B 1,025DB TRAFFIC SAFETY STORE SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H. S/SS/202R 26.42 CHESS HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSIEFF H. 5/15/2026 14.31 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKS JEFF H. 1/16/2026 14.00 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H. 1/16/2026 7.71 CHET’S HARDWARE STREET SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H 5/16/2026 SS.41 CHET’S HARDWARE STREET SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H. 1/16/2026 R.BS CHET’S HARDWARE STREET SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H. S/16/2026 26.43 CHEE’S HARDWARE STREET SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H 1/13/2026 1,616.76 ORANGE COUNTT WINWATER STBEET SUPPLIES’ PUBLIC WORKS PUBLIC WORKS JEFF H. 1/17/2026 ISO? CHESS HARDWARE STREET SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H. 6/17/2026 19.02 CHESS HARDWARE STREET SUPPLIES: PUBLIC WORKS PUBLIC WORKS JEFF H. 1/17/2026 11.01 CHITS HARDWARE STREET SUPPLIES: PUBLIC WORKS PUBLIC WORKS JEFF H, 1/22/2026 90.34 CHET’S HARDWARE SUPPLIES: FURLIC WORKS PUBLIC WORKSJEFF H 6/21/2026 976.04 PEBBLY BEACH BUILDING SUPPLE SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFF H. 1/22/2026 14.71 PEBBLT BEACH BUILDING SUPPLE SUPPLIES: PUBLIC WORKS PUBLIC WORKSJEFE H 5/20/2026 39.90 REMARKABLE OSLO OFFICE SUPPLJES: PUBLIC WOBKS PUBLIC WORKS D.E. HART 1/11/2026 40000 DIR-DLSE CONTRACT SERVICES ADMIND.E, HART 6/0/2026 10101 CANVA SUBSCCRIPTION: IT ADMIND.E. HART 6/10/2026 11.99 DBDPBOS SUBSCCBIPTION: IT ADMIND.E. HART 6/14/2026 11.00 OUICK E SIGN SUBSCCBIPTIDN: IT ADMINMEFFERT 1/31/2026 94,06 VONS SUPPLIES: FIRE FIRE MEFFERT 6/2/2026 333,04 HILTON TRAINING/TRAVEL FIBEMEFFERT 6/3/2026 31.72 WALMART TRAINING/TRAVEL FIREMEFFERT 0/2/2026 110.63 BILLY’S AT THE BEACH TRAINING/TRAVEL PIBEMEFFERT 6/3/2026 101.07 HILTON TRAINING/TRAVEL FIREMEFFERT 6/3/2026 19170 HILTON TRAINING/TRAVEL FIREMEFFERT 6/3/2026 101.07 HILTON TRAINING/TRAVEL FIREMEFFERT 6/10/2028 109.27 CURTIS TOOLS MAINTENANCE OR PREMISES FIREROGELIO H. 5/14/2026 14.32 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSROGELIO H. 1/14/2026 104.71 PEBBLY BEACH BUILDING SUPPLT SUPPLIES: PUBLIC WORKS PUBLIC WORKS ROGELJD H. S/1S/202B 300.12 PERRLT BEACH BUILDING SUPPLT SUPPLIES: PUBLIC WORKS PUBLIC WORKS ROGELJO H. 1/1S/2026 02.49 PERRLT BEACH BUILDING SUPPLY SUPPLIES: PUBLIC WORKS PUBLIC WORKS BOGELIO H. 1/20/2026 161.31 CHEF’S HABDWABE SUPPLIES: PUBLIC WOBKS PUBLIC WORKSROGELIO H. 1/20/2026 100.91 PEBBLY BEACH BUILDING SUPPLT SUPPLIES: PUBLIC WORKS PUBLIC WORKSBOGELIO H. 1/26/2026 14.07 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSBOGELIO H. 1/28/2026 17.90 CHET’S HARDWARE SUPPLIES PUBLIC WORKS PUBLIC WORKSROGELIO H. 1/27/2026 9704 PEBBLY BEACH BUILDING SUPPLE SUPPLIES PUBLIC WORKS PUBLIC WORKSROGELIO H. 1/29/2026 0.49 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSROGELIO H 6/1/2026 65.OH CHET’S HARDWARE SUPPLIES PUBLIC WORKS PUBLIC WORKSROGELIO H 6/1/2028 76.01 CHEE’S HARDWARE SUPPLIES PUBLIC WORKS PUBLIC WORKSROGELIO H. 6/2/2026 11094 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKS 000ELID H 6/2/2026 100,10 AVALON GAS STATION FUEL: PUBLIC WORKS PUBLIC WORKSROGELID H. B/3/202B 44.00 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSROGELIO H. 0/4/2026 71.67 CHESS HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSBDGELIO H. 6/4/2026 SORE CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSBDGELIO H. 0/9/2026 196.09 CRET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSPHIL H. 5/11/2026 107.46 CHET’S HARDWARE SMALL TOOLS PUBLIC WORKSPHIL H. 1/14/2020 66.17 PEBBLE BEACH BUILDING SUPPLY SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSPHIL H. 1/19/2026 SE.3B CHET’S HARDWARE SUPPLIES- HARBOR MAINTENANCE PUBLIC WORKSPHIL H. 1/21/2026 R2.BR CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSPHIL H. 5/22/2026 11.42 CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSPHIL H, 1/20/2026 47.36 CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSPHIL H. 1/29/2026 0.01 CHIT’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKS PHIL H. B/2/252R 112.03 HOME DEPOT SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSPHIL H. 6/3/2026 19100 PEBBLY BEACH BUILDING SUPPLE SUPPLIES HARBOR MAINTENANCE PUBLIC WORKSPHIL H, 6/9/2026 16,67 CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSPHIL H. 6/9/2026 4,95 CHET’S HARDWARE SUPPLIES HARBOR MAINTENANCE PUBLIC WORKSPHIL H. 6/11/2026 143.29 CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSCORDERO 1/26/2026 43.40 CHET’S HARDWARE SUPPLIES: CITY HALL PUBLIC WORKS GREENLAW 1/22/2026 2,321.42 CONTRACTORS WAREHOUSE GREEN PIER ELECTRICAL PROJECT PUBLIC WORKSGILBERT 1/14/2026 70.12 CHET’S HARDWARE MAINTENANCE OP PREMISES PLANNINGGILBERT 1/15/2026 17.60 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PLANNINGGILBERT 1/14/2026 13R.44 PEBBLY BEACH BUILDING SUPPLE MAINTENANCE OP PREMISES PLANNINGGILBERT 1/10/2026 133.93 CHET’S HARDWARE MAINTENANCE OP PREMISES PLANNINGGILBERT 5/19/2026 10.41 CHET’S HARDWARE MAINTENANCE OP PREMISES PLANNINGGILBERT 1/21/2026 23.12 CHETS HARDWARE MAINTENANCE OP PREMISES PLANNINGGILBERT 1/26/2026 4.91 CHET’S HARDWARE MAINTENANCE OP PREMISES PLANNINGGILBERT 1/26/2020 3.91 CHET’S HARD1VABE MAINTENANCE OP PREMISES PLANNING
$ 27,937.82 CHECK 4222S
CITY OF AVALON
US BANK CRBDIT CARD CHAROBS PAID JULY 8,2026
July 28, 2026
LAST NAME POSTDATE AMTUSD VENDOR DESCRIPTIDN DEPARTMENT GILBERT 6/3/2026 SR.4S CHET’S HARDWARE MAINTENANCE OF PREMISES PLANNINDGILBERT 6/3/2028 259.90 PEBBLY BEACH BUILDIND SUPPLY MAINTENANCE OF PREMISED PLANNINGDILBERT R/D/2026 77.7D CHEE’S HARDWARE MAINTENANCE OF PREMISES PLANNINGGILBERT 6/5/2026 38DB CHET’S HARDWARE MAINTENANCE OF PREMISED PLANNINGDILBERT 6/4/2026 129 4D PEBBLY BEACH BUILDIND SUPPLY MAINTENANCE OF PREMISED PLANNIND GILBERT 6/11/2D26 7645 PEBBLY BEACH BUILDING SUPPLY MAINTENANCE OP PREMISED PLANNING HMEILAK 1/D6/2D2R 2RD.33 RRIMAR INDUSTRIES SUFPLIES:FUBLIC WORKS PUBLIC WORKSHMEILAK D/26/2D2R 11.01 CHET’S HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC WORKSHMEILAK 5/26/3026 297.48 CHET’S HARDWARE SUPPLIED: PURLIC WORKS PUBLIC WORKSHMEILAK 6/4/2026 3S5.RD APWA.NET TRAINING/TRAVEL PUBLIC WORKS HMEILAK 6/0/2026 1.82204 SP CHARGE PAPA VEHICLE/EOUIPMENT PUBLIC WORKSHMEILAK R/R/2D26 42.20 CHET’S HARDWARE SUPPLIES:PURLIC WORKS PUBLIC WORKS ALEGRIA 1/15/2026 5997 LTFE TRAINING/TRAVELALEGRIA 5/D5/2D2R 2.99 APPLE.COM SUBSCRIPTION: FIRE FIREALEGRIA S/14/202R 247.42 HAMPTON INN TRAINING/TRAVEL FIRE ALEGRIA 1/16/2026 250.00 STARLINK SUBSCRIPTION: IT FIREALEGRIA S/14/2025 17.07 TACO BELL TRAINING/TRAVEL FIREALEGRIA 5/27/2026 222.R0 MELIN UNIFORMS FIREALEGRIA 6/2/2126 ROSO CATALINA EPRESS TRAINING/TRAVEL FIREALEGRIA 6/2/2026 99.01 CATALINA EPRESS TRAINING/TRAVEL FIREALEGRIA 6/3/2026 37SDD CATALINA EPRESS TRAINING/TRAVEL FIREALEGRIA 6/4/2026 213 25 HOME SUITE RT HILTON TRAINING/TRAVEL FIREALEGRIA 6/8/2026 22R 22 STICKER APP SUPPLIES FIRE FIREALEGRIA 6/9/2026 9730 STICKER APP SUPPLIES: FIRE FIRE ALEGRIA 6/9/2026 33.94 TRADER JOE TRAINING/TRAVEL FIREALEGRIA 6/10/2026 10.16 UPS POSTAGE: FIRE FIREALEGRIA 6/10/2026 149.19 VOND TRAINING/TRAVEL FIREALEGRIA 6/11/2026 37.RS VONS TRAINING/TRAVEL FIREALEGRIA 6/11/2026 183.06 VONS TRAINING/TRAVEL FIREC. CISNEROS 5/19/2026 3098S FIRE SAFETY USA SUPPLIES: FIRE FIREC. CISNEROS 5/22/2026 167.93 COSTCO TRAINING/TRAVEL FIREC CISNEROS 0/8/2026 21991 VONS TRAINING/TRAVEL FIREC. CISNEROS 6/12/2026 99.00 CATALINA EPRESS TRAINING/TRAVEL FIREC. CISNEROS 6/12/2020 37.97 CHET’S HARDWARE SUPPLIES: FIRE FIREC. CISNEROS 6/12/2026 197.66 HOTEL.COM TRAINING/TRAVEL FIRED.E. HART S/1R/202R 17.63 VOND PROGRAM SUPPLIES RECREATIOND.E. HART 5/19/2026 37S.00 CATALINA EFOESS TRAVEL CONTRACT SERVICES RECREATIOND.E. HART 5/20/2026 190.00 CATALINA EPSESS TRAVEL CONTRACT SERVICES RECREATIOND.E. HART S/22/2026 99.00 CATALINA EFRESS TRAVEL: CONTRACT SERVICES RECREATIONG.E. HART 5/22/2026 10.00 CATALiNA EPRESS TRAVEL: CONTRACT SERVICES RECREATIONGE HART 1/22/2026 3746 CHET’S HARDWARE PROGRAM SUPPLIES RECREATIONGE. HART S/27/2026 12001 STARLINK SUBSCRIFTION: IT RECREATIONG.E HART 5/27/2026 6641 VONS PROGRAM SUPPLIES RECREATIONG.E HART 6/4/2026 54610 CUSTOM INK SUPPLIES: DAT CAMP RECREATIOND.E. HART 6/1/2020 1,090 35 IMPRINT PROGRAM SUPPLIES 4TH RECREATIOND.E. HART 6/0/2026 21161 ETSY.COM PROGRAM SUPPLIES 4TH RECREATION D.C. HART R/R/2I32R 80.11 CHIT’S HARDWARE PROGRAM SUPPLIES RECREATIOND.C. HART 6/0/2026 22.03 CHIT’S HARDWARE PROGRAM SUPPLIES RECREATIOND.C. HART 6/9/2026 B79.01 DRI ESIGNS PROGRAM SUPPLIES 4TH RECREATIOND.C. HART 6/9/2026 29.00 LLOYDS SUFPLIES: DAY CAMP RECREATIONDE HART 6/0/2026 144.09) CHIT’S HARDWARE PROGRAM SUPPLIES RECREATIOND.C HART 6/10/2026 01.40 VONS SUPPLIES. SENIOR PROGRAM RECREATIOND.C. HART 6/12/2026 126.74 CROWN AWARDS PROGRAM SUPPLIES RECREATIONL. RUBIO 1/18/2026 230.07 CHIT’S HARDWARE SUPPLIES: VEHICLE MAINTENANCE GARAGEL RUBIO 1/20/2026 71336 AUTO ZONE SUPPLIES VEHICLE MAINTENANCE GARAGEL. BUBIO 1/20/2076 9.91 CHIT’S HARDWARE SUPPLIES: VEHICLE MAINTENANCE GARAGEL. RUBIO 1/29/2026 36.35 CHIT’S HARDWARE SUPPLIES: VEHICLE MAINTENANCE GARAGEL. RURIO 5/20/2026 140.79 AVALON GAS STATION VEHICLE: FUEL GARAGE L. RUBIO 6/1/2026 42.2S AVALON HARBOR FUEL DOCK SUPPLIES: VEHICLE FUEL ORRAGEL. RUBIO 6/2/2026 200.00 AVALON GAS STATION VEHICLE: FUEL GARAGEL. RURIO 6/2/2026 200.00 AVALON GAS STATION VEHICLE: FUEL GARAGEL RURIO 6/2/2026 200.00 AVALDN GAS STATION VEHICLE: FUEL GARAGEL. RUBIO 6/9/2026 630.78 RAY DIETER TIRE SUPPLIES: VEHICLE MAINTENANCE GARAGE
CITY OF AVALON
WARRANT DISBURSEMENTS
July 8,2026
EFT DATE
NUMBER ISSUED AMOUNT NAME DESCRIPTION
V260023 6/29/2026 2,550.00 BOAT TRANSACTIONS LLC SERVICE: HARBOR V260024 7/1/2026 9,950.00 NICOLAS FLORES RAMIREZ SERVICE: HARBORV260025 7/1/2026 10,200.00 BOAT TRANSACTIONS LLC SERVICE: HARBORV270001 7/9/2026 43,00000 CLEARGOV, INC. BUDGET SOFTWARE FY27V270002 7/9/2026 24,514.08 GRANICUS, INC. VACATION RENTAL MONITORING FY27V270003 7/9/2026 35,941.50 MULTIMEDIA LED INC. RECREATION TV SCREEN (DEPOSIT) $ 126,155.58
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM: 3
ORIGINATING DEP: Administration CITY MANAGER IMM
PREPARED BY: Gabrielle Morones, City Clerk
SUBJECT: League of California Cities Annual Voting Delegate RECOMMENDED ACTION(S): Adopt a resolution appointing Mayor Marshall as the voting delegate and Mayor Pro Tern Michael Ponce as an alternate voting delegate forthe Annual League of California Cities Conference in September 2026.
REPORT SUMMARY: The Annual League of California Cities Conference will be held in Anaheim, California from September 23-25, 2026. An important part of the conference isthe Annual Business Meeting. At this business meeting, the League membership considers and takes action on resolutions that establish League Policy. In order to voteat the Business Meeting, City Council must designate a voting delegate and an alternate voting delegate. Historically, the Mayor and Mayor Pro Tern have been appointedvoting/alternate voting delegates if they attend the meeting.
GOAL ALIGNMENT: Professional development.
FISCAL IMPACTS: Cost of conference registration to be determined.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City of Avalon will not be able to vote on the Resolutions at the Annual League of California Cities Conference.FOLLOW UP ACTION: Implement City Council Direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.ATTACHMENTS:
1. Resolution
RESOLUTION NO. ____ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AVALON
APPOINTING A VOTING DELEGATE TO THE
2026 ANNUAL LEAGUE OF CALIFORNIA CITIES CONFERENCE
WHEREAS, the Annual League of California Cities Conference will be held in Anaheim, California from September 23 through 25, 2026; and WHEREAS, traditionally, the Mayor is appointed to be the City of Avalon’s voting delegate and an alternate is selected; and
WHEREAS, the Mayor, and the Mayor ProTem will be attending the Annual League of California Cities Conference and available to vote at the Annual Business Meeting.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Avalon hereby resolves as follows:
1. Mayor Ann H. Marshall shall be the City of Avalon’s Voting Delegate, and
2. Mayor ProTern Michael Ponce shall be the Alternate Voting Delegate.
PASSED, APPROVED AND ADOPTED at a regular meeting ofthe City Council ofthe City of Avalon on this 28th day of July, 2026 by the following vote:AYES:NOES:ABSTAIN:
ABSENT:
Ann H. Marshall, Mayor
ATTEST:
Gabrielle Morones, City Clerk
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM: 4
ORIGINATING DEP: Harbor CITY MANAGER: 1MM
PREPARED BY: Kevin Schmidt, Harbor Master
SUBJECT: Waterside Project Change Conditions of Use— Catalina Jetski Rental Corp.
RECOMMENDED ACTION(S): Make the affirmative findings as set forth in the Avalon Municipal Code § 10-2.416(a), and grant an amendment to the current Waterside Permit to Catalina Jetski Rental Corp. with conditions set forth by the Harbor Department.
REPORT SUMMARY: The applicant has submitted a Waterside Project Application to amend conditions of use of their current waterside permit. Currently, the waterside permit authorizes personal watercraft rentals emanating from a barge anchored just outside City waters. The applicant is requesting to add the service of a “Banana Boat Tour” along the Catalina coastline,outside of City waters.
The applicant has proposed using a 26’ Boston Whaler Outrage with a crew minimum of two, an operator and deckhand/spotter, to tow a commercial-grade 10-person inflatable “banana-boat” capable of carrying 10 passengers. However, the total number of passengers allowed on a single tour will be six.
While this proposal may increase shoreboat boat traffic in and out of the Harbor, it will not result in any substantial negative impact upon Avalon Harbor floats, except as noted in subsection (2),below. The recommendation is to approve the change in conditions of use provided all stipulations are met.
Section 10-2.416 of the Municipal Code provides that a waterside permit may only be granted where the City Council is able to make the following affirmative findings:
(1) The project will not result in a substantial alteration of the City’s present or planned waterside uses of the Avalon Harbor,
(2) Mth regard to transportation and circulation, the project (i) will not generate substantial additional boat trips, including shoreboat trips, or other movement within AvalonHarbor; (ii) will not have a substantial negative impact upon existing mooring, docking, or other anchorage facilities; (iii) will not have a substantial impact on other modes and systems oftransportation; (iv) will not result in substantial alterations of present patterns of circulation or movement ofpeople and/or goods; (v) will not increase traffic hazards to swimmers, boaters, or other existing activities; and (vi) will not restrict or alter existing coastal access; Impact: This service may slightly increase the number of shore-boat trips in and out of the inner Harbor.
Mitigation: Catalina Jetski Rental Corp. will use the shore-boats to deliver passengers to and from the Jet-ski Barge. The tow-vessel will not be allowed to deliver passengers to City floats/docks except in case of an emergency.
(3) The project will not have a substantial impact upon, and will not result in, a need for new or altered governmental seivices, including but not limited to fire, police, maintenanceof facilities, and harbor department services; (4) The project will not result in the use of substantial amounts of fuel or other forms of energy or substantially increase the demand upon existing energy or require the developmentof new sources of energy; (5) The project will not result in the need for new utility systems or a substantial alteration of existing sources orsystems for power, natural gas, communications, water, sewage disposal or solid waste;
(6) The project will not obstruct any scenic vista or view open to the public, and will not result in the creation of an aesthetically offensive site which is open to public view; (7) The project will not result in a substantial negative impact upon the quality and quantity of existing recreational opportunities or result in alterations or restrictions to coastalaccess,’ (8) The applicant is fit to be entrusted with the privileges of a permit, in that he has not engaged in prior violations of the City’s harbor regulations, including the provisions of this article, has timely paid any harbor-related fees and has not presented checks returned for insufficientfunds. (9) The applicant has a license to do business in the City, in good standing and is current on all fees and charges due to the City,’
(10) The applicant can demonstrate compliance with all Federal, State, and local laws, including all applicable City zoning laws,
The City Council may deny the permit where the impacts listed in paragraphs (1) through (10) above are cumulatively significant, even though the individual impacts are limited. The CityCouncil may approve a project where mitigation measures eliminating significant impacts are incorporated into the project, and the approval shall be conditioned upon the implementation of such mitigation measures. The failure to comply and maintain any mitigation measures shall be a basis for suspension or revocation of a waterside project permit pursuant to § 10-2.415.
City Staff recommends the City Council make the affirmative findings pursuant to Avalon Municipal Code § 10.2.416 above, and grant an amendment to the current Waterside Permit to Catalina Jetski Rental Corp. add the following conditions:
1. Catalina Jetski Rental Corp. will add the service of offering tours on an inflatable “banana boat” towed behind a 26-foot outboard powered vessel, originating from the Jetski barge located just outside City waters, west of the Hamilton Cove mooring area.
2. All vessel operators shall have the required U.S. Coast Guard mariner’s documents for the transport of passengers.
3. The tow vessel must have a minimum crew of two, operator and deckhand/spotter.
4. Crew must comply with all state and federal requirements for the towing of passengers behind a vessel, including the use of a red or orange waterski flag when required by California state law.
5. The maximum number of passengers is limited to six and shall be required to always wear USCG-approved personal floatation devices. All passengers must be given the option to wear protective headgear.
6. The tow-vessel speed while towing passengers shall not exceed 10 knots.
7. Tours shall not be conducted inside City waters at any time and shall not interfere with vessel traffic in and around Avalon Harbor.
8. All required and current registration/documentation for the tow-vessel shall be provided to the Harbor Department prior to start of operations.
9. The number of passengers on the “Jet-ski Barge” shall not exceed U.S. Coast Guard and California State regulations at any time.
10. Insurance documentation showing this service is covered under the applicant’s policy, shall be provided to the Harbor Department prior to the start of operations. 11 .Tours will not be conducted during periods of inclement weather or ocean conditions.12.This service will be conducted on a 90-day trial basis. The Harbor Master or his/her designee may halt this service at any time, if safety and/or operational concerns warrant the stoppage.
GOAL ALIGNMENT: Increase recreation options for boaters, visitors and residents in the Avalon Harbor area.
FISCAL IMPACTS: Unknown, potential increase in Harbor Use fees.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: This service will not be provided to boaters, visitors and residents.FOLLOW UP ACTION: Notify Catalina Jetski Corp. of the City Council’s decision.
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.
ATTACHMENTS:
1. Waterside Project Application
2. Catalina Jetski Rental Corp. 2026 Waterside Permit3. Email correspondence from applicant
4. Standard List of Conditions for Waterside Project Applications Standard List of Conditions Relating to Waterside Project Applications
1. Section 1-6.01 Public Liability Insurance
(a) Applicants for permits or franchises and parties to leases and contracts with the City of Avalon may be required by the Avalon Municipal Code or the City Manager to maintain a policy of general liability insurance. Such policy shall conform to the City’s insurance requirements as adopted by resolution of the City Council or as required by the City’sinsurer or risk sharing pool. At minimum such policy shall:
(1) Contain broad form commercial general liability insurance, or in the case of marine operations, the substantial equivalent, with respect to the premises, as applicableand the permittee, franchisee, contractor or lessees’ activities with a combined single limit of not less than $1 000,000 per occurrence; $2,000,000 general aggregate; and $2,000,000 products/completed operations aggregate. Such insurance shall beproduced by an insurer authorized to do business in California with a then-current Best’s Insurance Guide Rating of not less than A-VU, shall name the City of Avalon,its officers, agents and employees as additional insureds, and shall contain a provision that prohibits cancellation, modification; and (2) Name the City as additional insured and contain a waiver of subrogation against the named insured or respective officers, employees, agents. General liability insurance can be provided in the form of an endorsement to the applicant’s insurance as required by resolution of the City Council or as required by the City’s insurer or risk sharing pool; and
(3) Provide immediate written notice if: 1) any of the required insurance policies are terminated; 2) the limits of any of the required polices are reduced; 3) or the deductible or self-insured retention is increased. In the event of any cancellation or reduction in coverage or limits of any insurance, applicant shall forthwith obtain and submit proof of substitute insurance; and
(4) Provide primary insurance coverage at least as broad as required by resolution of the City Council or as required by the City’s insurer or risk sharing pool. Any insurance or self-insurance maintained by the City shall be excess of the applicant’sinsurance and shall not contribute with it. (b) The applicant shall provide evidence of such insurance coverage by providing the City with a copy of the policy and/or a copy of a fully explanatory certificate of insurance, as determined by the City. The City reserves the right to review any and all of the required insurance policies and/or endorsements but has no obligation to do so. Failure to demand evidence of full compliance with the insurance requirements set forth in this agreement or failure to identify any insurance deficiency shall not relieve applicant from, nor be construed or deemed a waiver of, its obligation to maintain the required insurance at all times during the performance of this agreement.
2. Section 10-2.402 Use of Harbor Related Facilities: Use Fees Wharfage, dockage, landing and use fees for the use of or impact upon any harbor or harborrelated facility owned or controlled by the City of Avalon shall be as follows:(a) Except as otherwise specifically provided in this article, for all boats, ships, vessels, airplanes, or other transportation facilities carrying passengers for hire or charter, whetheroperating under the authority of the California Public Utilities Commission or not, which land, discharge, load, or embark passengers on, to, or from such harbor facilities, $3.00 for each passenger so landed, discharged, loaded or embarked. Commencing on September 2, 2025, the fees shall be as follows:(1) Three dollars ($3.00) for each passenger so landed or discharged; and (2) Five dollars ($5.00) for each passenger so loaded or embarked. (b) As used in this subsection, “cruise ship” shall mean a vessel which lists Avalon as
a portof-call and which anchors so as to permit passengers to disembark and return to the same vessel.
(1) The fee of five dollars ($5.00) for each passenger shall be levied upon one hundred percent (100%) of the manifest passengers on
a cruise ship, excluding persons
employed upon the vessel.
(2) Commencing on January 1, 2026,the fee shall be increased as follows: Seven dollars and fifty cents ($7.50) for each passenger shall be levied upon one hundred percent (100%) of the manifest on
a cruise ship, excluding persons employed upon
the vessel, on or after January 1, 2026.
(c) For businesses engaged in the operation of excursion boats using such facilities for landing, discharging, loading or embarking passengers on, to, or from such facilities, 7% of the gross receipts of such business derived from such use. For the purpose of thissection, “excursion boats” shall mean vessels operating from points in the City and returning thereto for sightseeing scenic tours or as pleasure cruises, and carryingpassengers for hire, but not providing facilities for overnight stays. (d) For businesses engaged in the operation of “shore boats,” as defined herein, and using such facilities for landing, discharging, loading or embarking passengers on, to, or fromsuch facilities, 7% of the gross receipts of such business derived from such use, excepting therefrom receipts for transportation of passengers to and from “cruise ships,” as defined in subsection (b) herein, or as otherwise provided in an applicable franchise agreementissued pursuant to § 10-2.410. For the purpose of this section, “shore boats” shall mean vessels
carrying passengers or freight for hire to and from boats moored within or without City waters to the shore in Avalon, between such boats in City waters or between points on the shore in Avalon.(e) Operators of fishing tournaments whose participants use City harbor facilities during the course of such tournaments shall comply with the provisions of Title 3, Chapter 3-3 regarding admissions taxes as applied to entry fees charged for participation in such tournament.
(f) For all other businesses not otherwise expressly provided for in this § 10-2.402 carrying passengers for hire by vessel from points in the City and returning thereto, or from one point in the City to another point therein, or engaged in the renting, leasing,or chartering of boats, paddle boards, rafts, or other floating watercraft for hire and using City harbor facilities, or whose patrons regularly use such facilities for launching,landing, boarding, unloading, embarking or disembarking, docking, or other similaruses, or whose business activities involve the use of such facilities, 7% of the gross receipts derived from such use.
(g) The fees for the use of such facilities by those not falling within the classifications set forth in subsections (a) through (d) of this section shall be determined initially by a schedule adopted by the Council or shall be incorporated into the flat rental of any contract, permit, lease, franchise or other agreement entered into for use of the facilities.
(h) Businesses which fall within subsections (c), (d) and (f) may exclude from gross receipts otherwise subject to harbor use fees: (1) gross receipts from the sale of marine parts; and (2) gross receipts from marine services rendered to the holder of a valid waterside permit issued pursuant to § 10-2.412 through 10-2.416.
The fees authorized by the provisions of this section shall be in addition to any rents paid tothe City, and all other taxes, license and permit fees, if any, including those paid pursuantto the provisions of 10-2.410 of this article. There shall be a credit of taxes paid, if any, pursuant to the provisions of Title 3, Article 3, Chapter 3-3 and § 3-1 .204 subsections (b) through (f).
5. Section 10-2.410 Permits; Franchises to Conduct Business(a) The City facilities serve as a primary point of ingress and egress for large numbers of people and their relatively small size make necessary control and coordination ofbusinesses operating on the City facilities to avoid undue congestion, to assure against hazard, excessive noise and traffic and to prevent confusion and injury. (b) It is necessary and vital to the safe and efficient movement of people through the City facilities that the number, nature and scope of businesses on the City facilities be regulated to protect the safety and welfare of all persons. The Council shall, accordingly, have the power and authority, in its discretion, to authorize the use or occupation of the City facilities or some portion thereof to any person by issuance ofa waterside project permit. It shall be unlawful for any person, entity or business to use or occupy City facilities for any business purpose, including all land transportation services, without first being issued a waterside project permit by the City Council and entering into a permit agreement.
Notwithstanding the foregoing, the City Council may, in its discretion, award exclusive franchises for shore boat service and baggage handling service on the Mole, for a term not to exceed five years. Such franchises are vital and necessary to the public safety and welfare in that a proliferation of such services within the limited area available would make for excessive traffic congestion and confusion. (c) Neither franchisee need obtain a separate waterside project permit under this section but shall be holders of a City business license. The franchisee shall enter into a franchise agreement with the City which sets forth the terms and conditions ofoperation of such services. (d) For the reasons set forth in paragraphs (a) and (b) above, it is necessary to establish limitations and restrictions on businesses providing nonvital recreational services in the harbor. The following regulations are designed to reduce congestion and to encourage safe, reliable, and year-round provision of recreational services:(1) No more than 114 watercraft rentals-without-operator vessels shall be granted harbor permits.
(2) All businesses operating in the harbor, except those enumerated in paragraph (b) of this section and fishing tournament operators, shall maintain a shore base of operations or an office on Santa Catalina Island. Such office shall have a business telephone which is covered 24 hours per day. Any answering service or mechanical means of recording messages may be used provided messagesare checked by the operator no less than three times per day. (3) All businesses operating in the harbor, except those enumerated in paragraph (b) of this section shall provide an insurance policy in compliance with § 1-6.01 of this Code, shall hold a City business license and shall hold all necessary permits, licenses, certificates or other similar approvals necessary under the law for the type of service performed.
(4) In addition to the provisions of § 10-2.402, all businesses operating within the harbor, except those operating pursuant to a franchise issued by the City, shall:
(i) In the case of new cross-channel carriers, obtain and keep in force a bond or bank letter of credit to secure payment of wharfage fees in the amount of $100,000. After five years of continuous operation, and once annually thereafter, the cross-channel carrier may request the City Council to eliminate or reduce the security. Upon consideration of such request, theCity Council should give consideration to the carrier’s history of timelinessof payments, any planned or foreseeable significant changes in operation which may impact expenses and revenues, the tariff schedule, a current statement of assets and liabilities, and business plan or other projection of revenues and expenses.
(ii) In the case of waterside permit holders other than cross-channel carriers and other than fishing tournament operators subject to this article which have held fishing tournaments in Avalon prior to the effective date of this ordinance, pay to the City
a non-refundable use fee deposit of $1 ,000, payable in two installments of $500 each, the first installment on the inception of operations within the Avalon Harbor and the second on August 1. The use fee deposit may be applied against use fees due and owing under § 10-2.402 at such time that thepermittee has made timely payment of use fees for 13 consecutive months. (iii) In all cases where the business operates seven or more months during any twelve-month period, pay to the City use fees under § 10-2.402 no fewer than seven months of any twelve-month period, and in no event less than the sum of $25 per month for each month the business is operating and reports salesreceipts. (iv) In all cases except fishing tournament operators, where the business operates fewer than seven months during any twelve-month period, pay to the City a use fee of
$200 for each month the business is closed or does not report any sales receipts. (5) The charges authorized by paragraph (4) of this section shall be in addition to any payments pursuant to the provisions of any lease agreement. (6) All vessels over 16 feet in length operated for hire or used to conduct work in the harbor shall be equipped with a marine radio which shall be monitored at all times that the vessel is in operation.
(7) All businesses operating in the harbor shall maintain all equipment, materials, facilities, machinery and vessels utilized in the operation of the licensed business in a good and working condition, and such businesses shall only employ workers whoare qualified to conduct the duties appropriate to the licensed business. (e) For the purposes of this section, “harbor” shall mean that area from inside Cabrillo Mole to inside Casino Groin.
4. Resolution 96-36 Mandatory Activation Dates for Waterside Permits Section 4. All newly permitted businesses must have proof of insurance, other requiredpermits and/or leases, and all required deposits in place prior to commencing businessoperations in Avalon Harbor. All new permits issued before January 31 will expire on April 1 of the year of issuance unless the business is operating as of that date. All new permits issued after January 31 will expire sixty (60) days after issuance unless the business is operating asof that time. The Harbor Master shall have the authority to grant one extension of thirty (30) days of the time within which a business must be operating, upon showing a good cause. \J)oiei side Pern’it Appicaton
11 r’ i L_m
Waterskie Permit Application
Name of Applicant Catalpa Jet Ski Rentals
P mail strris(:orritinaJetski coni
Name of Business/Project 121201 OQzi
h;yscal Avator Location of Custcanei Service;Check-in at the same locaton as the Catalina Jet 3k: Rental ncr—on Cprrurrtcns -Etd Pon of Green Phias: c Pie
tiC.LLtui, leSs ecciptiuii (atai:na Jot Ok Iter tais woal like to extend eLr exstina aperat:uts ton dude Saura Coat TCLIrS Tne Banana Boat [bors vail 9D alona the CaoO:a CoatiueNc lb sf he Calalma Jet Ski Barge t:vads Vhtes Landing The Banana Boat IOLlS w:Il he concuctd at a leisurely pace that s safe based upon tue water condutions on any given day The Banana Boat will he pulled by a 26ft Boston ‘JVhalu The Boston V\!lralci has been instaled with an engineei ed tow barspfucail’desiLieu to safely puli Inc La’mia boat ( g li- bat iS CigunCi cc: tü pull over 2500 lbs. The Banana Boa’ has a capacity of op to ten (10 people howrujer AC plan to limit the amount of oeopte to six (6 oeople n’axinmnu per tarp ret This vaIl enac a safety as welt as rrlr’rtnate concc—rns assic sited win aximun i ceg(t load:ng on tie Banana Boat The Buiir:a Boat specs are provided as cliuas — Coumerc:al quade 10 man banana boat is varier and inure siablis built to preform excellent i choppy water coriditos and ocean use — •Jtol Heav duty UV i es:stant 00 cod 1100 denIm 4Q on P\/C. L)nss poruture resistant rnatenal renfarced in mum sir ass areas Elite Ciass : WELDED crams & :Oisr caries to: cuunmei cal Strun;i 3 exteiiosru.: Ste O:aniess steel pull rings tore nainess will] steel toggle - Dimcrsions nfla:ed 11’ x 8’. Max Load 10 riders - 1 800lbs All psocipaits vaIl be i eqoired to wear Coast Guanc approved life jackets ann me’, will lu omen the ontuno to ‘a s’ sofe’v nesrdnear sin d’usi wet 500 I he L:nnon ‘0fnsileu sell be d: leers tJ: a CaOan wrth a six-pace censo hero vr:ll also he one C) Catalina Jst Sir ernalvee at the rear of the noal viatrhnq the Bcmno.a Br. at Tour parlic:pants at all times. ‘,Ge have also entaIled a i’solilr (OPS tint will manor the speed and lopsics for each Banana Boat cm Ic o. Is Page rig
enables us to nicinitor (lie speed of the tows effectively) We have confirmed - insraic.e :overage for the addition of the Bai:ana Boat Tours to ow Jet Ski operations.
Please qote that the Sctnii Whaler ‘rP not he operating n r’f ott r“ i.i..:h. of Avslc; the pa!sengers for the Canora Boat Tour will cc rrsportel bi !!c Shore Scat (e.g. as Is the cur’ent situation with the Catalina Jet Ski Rentals particrpan’s). The tours will go Nonh of the Jet Ski Ba9e ano there”e will notincrease any :raffic in the Avalon Harbx On the mzip provided sketch the projectibusiness activities showing tfre proposed locations ‘,f atl watertor,rc traffic and activity.
Number 0
..d’
Trips per day 0 to 4 Banar’n Anat Tours witl be completer! ri dayType Schedule
Banana &at Tour
We wor rId like to begin the Btrna,a Sop! Tours in the !attF, pert -9 Mel 2Q2( VVeanticipate the Banana Boat Tours will continue through mid-Octobei of 2rX’:.
For scheduled services. including
shore boats. where will queuingbe and for what duration? Shnre Boat will be ut;lized as r!e tronspnnstinn fm the f3:rar, Boat Fai;is How will people be transported to
the facility?
How often’
Shoreboat
0 to 4 times per day
Number of passengers per trip? 6
If the proposed business’activity requires a new structure or n,nd:ficalicn to harbor fac:lit,es or the harbor esellincluding the moles and oier attach the proposed plans 11,
i’.sp. gt
‘10.0 aeny emp joes would he [his will require an add:!on o a rhenium 2 to • atalrne Jet Ski cirpoyces H Avalon•c;aoeci? oill he aeed co o#A,. alum
‘21 ii- Channels VIlE will he used as conii.oacaiions votii Shook uSt Dedicater: riros will useu by lie Cyoteoc and Carahna Jet Ski staff
31040b 2193
answering machine, hours oh 9 A V ii nul d P lvi
illerarion
hr q rid Gd h0 rid s’ kr’ a :Jriikyp0 EiAc1.sGLc±p:1i,LrgpEArpiit Application_niusjj2p __!O.ZZ:dL1d S
iS iii si.m, No Sign :rro’... iii at this toe
‘tease coac:i all pr ore ant ceitricattoris requ:ieto to leiall pm tc,rrn tee ru::tctI train applied lam in this applcaton Standard List of Conditions R&ating to Waterside Project Applications 3 —dO I Polio is hO nerlrarruc —p l(oIiS to rommis ii franchises and parties Pr looses and contracts with the Cily of Avalir’ mao be rotined by the Aurlur Morrism-rI Code ci the City Mrir:aqei to ruiulau a policy ut public liak:lhly iesurmrnce. h policy shall
ii hill I: or fr’;F :;orninieicial itfliI 01:1 Ii irri000 0 in IllS .O5 0 iiiii!ilC oei-itciiS. Fe eriretaito :ri;-i5-it to IS ErSrit Os apphcaii art lie purittr-e encu000 ChitrOOtti or le,eiis cict:Oitesdoitn a cruuriirca irIs Intuit ci ‘1 less nair Si PUP huh eor nr;hirrerce arid aggegate Such ocerince shill he pciucerl iv an rirSuru :rnrzd to Co ousirruss 1 Cctifioic vrth ildu cirirint Pests lncumnce Guide Flatrnj of ott less than A\/ll shrill name my of Avaitri nc rtfrsrrr. agents of plomes as ardl’onat SOISt(iO ann sh,ill CoittOiC. a i or riot pruitihIs ‘1 irIs’ iiC:i I -s-n .10101
• Jour i L:tv is eii.trl.rri mum1 rind ruuiiri a .namver of ut rqrm:cu sorriest hi ri’iuisd insured on iesmciive rihrers r’flr-(—’. —:rrrltr:I
trot it am nrr co r;inCrl r- o’rl[vut ii oust ihrrly 30 dare poor wrrtv imnitco no the City arid I: larry and riot eccoss 000c—iaue lr:rirrr:rr coverage siroli lay siirgi.t tic [is’ irtrt)i rival f tie Cmly r[clcrril shall rrvrdo evicieirs’e of riucic istiance coverage 1’ p cirliirq the ity vllr ii copy of ike pOlOy arm or a cony ci folly ErilOSLy certtc’e of ‘rso’crice as iolriniri’reCt by the (rity 2;—aoFtelclsiF,c,.lrl,-
ifant:t:r.rage. iiAkti ic orsi lees to the is,i 01 (1 ripact pot cry harm. or i-ruibr-relciteo tasrlly rst ri rrdullin•;i hy tie Cry of f-l’J51r)[ DrIl h as Iill)v’S ‘ri oh re stlmooree irornif (‘liv tircSil0S this aticle For all hcfs. skrnlr ‘j;el; rijlinttS On other trarp station as rn mclssrotrrs Cr rhO m liar -‘i vii liii oto’StOrrl croci liii, Siiriliurrly üf tire al1OulO ‘lOll Dirties triiiirsr aiim ii t. ccc: Ccli. discharge tort, r tO I p5sOtiQcdS un 3m or from soon Pity hretlior faIrIes ccc otllr F 0 5) p rrseriqo sir l:rr,h’tl isi.hmoe: carted c rintlcarkcrd. (rur:mcoc.it or Ilarurm 2010 ant ertd:nr’ ut [coo ry 26 2k2 the tee shall I.e inicrearsed crc blocs I lime :33 001 Dollars for eacir p:-rssenqe so landed. rhisolar qert. loaded or etrrtrr hurl. i Lorrosses OriS05i S the i a-ration of excirsiorr iiars osug soOt tarcilinus 1.1 laming dsu’rarrlilig cci y it ass cones cr’ IrS on ft,,i: tb icr iits savant t7*’: I Doomi 01 tOe 01015 EcOrOts Of Soon 1J1i5ricls riemivOct flour .1,,.: r- tiE .rpcm liar se.:irun ar,iiciorr moats’ hll ‘Carl 0155(5 Oprar)iirio tiara points inc the orb aria mtuirnrnq “ar 315
tflfl53
A)iIOqple oj paw6 Gnu u0!buolze p Ajia4 gAsp ji. auj auli d!41!M tp.qM S sseuisnq .. is, ec 1u,ao ba aor U loqH sojs’ipJ flan4s c1a. N’l au.i, t.1. IC u”.’ arnlxa hpqs ioj’ sAsp fiuue dsdvnssl ssGufl fl14 ssaUaSflq St buqjsaGuo se Jo uo i.ady g Jo aiii iseA jO .nuUnsSl ssopuI cijj snq non S 6ealjejado qJo iota ejep liv MGU j.uiad oanssu iq Arnnue ajecise 3NC.ei.1f. U! pea aipd 0) Ouizuaunuoo SSaLlISflq sitoijejado Ui uoeay JuqJe uv MGU sj;uuad p011551 wcyo:i A;e.iuer k 1PM Jo G°ueinsLi IGLOO ieaiitbai 511Lw4d 1cqpue SflSa PUS i€ 3UIlInfl uoIr.w p jy AIMW pawed sassautsnq rniiw oaeq ,oojd p sp(ThJ)Drfl%t3itIwNpV1U5flPUDfl1fl1fth(dW4j SWJad
prnjipenb cq pnpLItX) Gqj seqnp ae,irtojdrIe o aqi pasusoi; ssausnq ilcI)QfldCt JO 3’. posuezii ss’;utsnq iii e pou6 3unjo ‘ioijtptIcn nue wins snssatinl’q peis A1’jo Mwtwa sn’poai mit’ ,r iiui.s u.e:uitst. e auawdinbe ‘S)E.fliCu. •.aq’pq Aiet.’i.pew pus siG%G!i i.’ztin i: e t iiv sossousnq ôweiado ii; aqj .uqjeq OIIIII3UI ciqpea igaiM 1W’IS eq psao.uni: I.’ lie Sattift iCe)) Gq1 ‘asso.’ s eq itoftkjado niw uaaixs (ga: Gaj it i4iBu:ti pwacaa’..k’ .ioj aiie jo pasn a; jOAiflO vtw* iS G•41 ioqine pe.s oi oaomnb ‘as?.’ 1. spssaa’ 9 iv eaj p CMI papunH ooooes’ swijoj 103 qDGO qjuow eq ssausnq Si pesop u, soup ;uu )e’cIsi *a ios& SicileDal asn Acu -.
..
• sqiuotu ilupop hut epv*j ijj a,p.uw d p: SOleb)10 JQMdt uSqi UGAGS (1) (ai) UI lie SGSfl GJGqM Geft SSGIQSIK3 rn Wits JO A)UW3) lAft toCg$’ siepoc tad 4)110111 JO) LJ3PG tftUOitI sip sseuisnq s 6eposado pus spoda, sa;es • jdr esn saaj apun U90G9 -O pOtt tOM;; heLp eiGAflS IL) SLftUOUI jo Aus GAIGMI I) (e tannin popod LIe LI! Ott ssei uteup SGGIZ GJGL4M Ge)) nousnq sa;ejacio UGAGS 1L 10 GlOW UOW Sift bUIiflp hue GAfrM) let) efluow oo..wci Aed qful AuIJ (ill) UI flU aAlpflasucl SLftUOW
uo.j.as c-at toy qons ‘t..JIi iø 4i aeiMu.I:4 seq apew t-’wi wd,.I*1d ,‘ dW sea; n’g ei’’i•’p 1 E Uiwni tepuil IirIoit ii saeee nun saai enp pus
puo.&s Ho Isniin, e’q as. ce:I, psosip Aim hi 1UUWHUI%hsI LaO aip uojdatiu.; jo suoiteodo uiq qt uoieAv Joqiej pus .)q) eluj rsatpuIq4 pgt siencu ipso .siI) 151!) Jo ;tuU pUesIloqj ‘OaOOOIS; Jeiioa aqsAtti UI 06 ) s;u;u,Uetsi.- j Lii a;l ass JO Gp!sJa)eA panad tlsdiquq iatpO tieu; iauueLpsson 5J01a0 As’:i 01 sill a(q3 e GNIfPU’lISs•.UstI asn .i.. •aSudGp III) oe osiupuaeq pants. Ac1 aqi iieus
Gift SU0SqAOtd JO U0flG9 flg SaSsGiqSnq 6uitniodo uiipqca mp milieu jdasxa osoq) bttipnodn )ittl’stnci P it) UOIIIMIU (4 se Usqi GdJqj () Sauna iad Asp
Aep 4ty 6uua’Asue wainag a pesiusipaw siteaw p CupaMsue hew sq pasit pepm*o’i s.6essow ate popaqo ott w) smoq ii ;D SUOt)CJOCI’) JO us O0ljjtm LI) e)Ue GtI’iB)CO iwuisi ut.mS 004)0 ppeqs aieq e ssau.snq .)cai:iidtiei eto,qt p paian Aiianj 11103 c iiv sassatamsnq jeado Oemi eq aq; Joqrni jdar.xa asoq; paeiawnua UI qdetieied lip p. sit); uoepaS IW.Lp. UIe)UISLU V GWL)S sseq sasøpinj ph1p1i(’YO) SSelQSflfl j C 1101)309 I flU UI .5J••••$ SJ;LkJ.) )1WJ411 55t) CflILptmUJJ O 304)0 j:.aiiaatbe paIG)ud OflI) Jo; .flfl JO Gift •5Øe)fip(4 uais Cci pGIei0Gi3i,I (6111 GUt miii iClud. i’ i’ SpL .iU05t. fibLit eq paulewSiep Atimput Aq a ap’pai1os pejdapu Aq eqi IrJullo) so ibi Gt)j n.j iOJ Gill ow p ipns SaqI3ej Aq esoqi pu 6uqj Uq)M ‘NI 5u04b041’ISSp w e)iuj ul suoipasqits tel qbttOq IpI Ji1 PGtUGP WU4 pg •
SGAqp5 GAj0AU e an jo upns saiiqpej flAGS flu) uaosaiJ p aqj ssoth wuIazaJ soepo tepws sssn jo G5Oe)M ssauisnq OSOqM suusjutd A.spn6ai ash tpns sat$)p.j to; ‘6utpuiiej 6u,pusi 6uipeoq buIi.ItuIufl Guiapiiqtiia Jo 6LifihiItqiI.Gha üiiipop •0 Buiseai to BLIIIG),Jsip JO seoq aipped spjeoq $453 JO JGLflO bufleOIJ )JSJ31G)BM JO; Otit) )ilB bLUsh Apr) ioqiet4 sewpoej to usog sjuind II! uap £p pus fiu.wrqat uianen so uiaos nuo juind eq aqi Atiri i i-minis nod UlcitOift to i,abe5j- ‘i. aip fiuip..is (p N.J fit IGtfte sabauIsIiq cju asae;c Assatdi’o paw:ud qu b!Li1 uuIWhS OL COP CJIAJJh.i ,r:lJuGSSUd iv; OJILI .q ,.%.M 1)3115 iiIdlu5LUflOi
A)eleuloo qftM Ce)) suomspiwd apjo ç iai’te:gj c 6upebaj sucssiwpe saxe) so papacie 01 Agu., saa1 p3IiieLp O) jc,ietj;.sd .ii ,u.awewa3; •.:i;. .ças Caj su3itiahic JO 6u!qs., sjuawewno; ssuigt. sjuvdt.pscsd ass Aqo iaqwq saq1sej riuunp u4 1153110.) JO aJUi)s ill uqe*
Sielul) paicow i1.q)1M JO )flOefttM h SJUIIIM o; at)) GJOqS UI UO)5A UGMjaq LiOnS 5)5(M) UI A)i SJGIHM JO ttGGMmGQ SILItOd Jo ;...
OLYI JOJ aqi esodinci p sep uolpGs atoqs ueoq polls ueaw spasseA 6unhueo siaflusossieci io )qfimalj JO) 0)03111 put wos; 0) uotp -at pouap eq uotpasqns iqi waisq Jo so GSIM.imq)o pepIAuJd UI US oqeqdde easiepueij )uawusJCe panssi ;ueirnJ ssauisnq paawap wotJ epns asn Ciiiqdaoxa W040JOLII sidiesot JO) UUI15)JOdSUeI) jo siai&assed 0) p155 .1134 GSIflJ. diqs se, OUII’icqusmp 6upeq so bunpsqwa siahuassed 110 0) Jo woi; ipns sagqoisg flAGS (:L) ;uaaiad jo aqj ssotC Sidpaoa i ipni arnqs s;eoq so paapp u15J04 pue buisn ipns semzqnej ;oj ii. (p) mej sessseqsi’q pa6c6us eq oip lu:JGdO hAt jrs • ;qtistuoao :hss
0101011) 303 Ouiaasiia8ts oguess smog o so aiiwca1 sasinn pus &qhneo so6uossed toj ain Inc mu fi’tipmo;cI sapp.sej mj • Application Acknowledgement and Payment
HOW will you remit crwment Orodit Cord(!dease note a 3% o:nvtrrrenr;o Tee is assessed on all credit card
yniento
rose ciirOc to ocknowledqe yolu ‘r’es
nm.rctoncnna of n nddition,ol
iOSS .10 iC iJ OiGiat
card orisautrorisTotai cue con’ TOOOCC tee s: g 13
-c -judo -u: urot if dos ‘1atersIne Pet ct iS gr anteci jm/slie wil coitouct his’her nusness in dOCCi O.oflce WiTh all fuciet il state one loul avvs icLurq the Cry s plo ring and oninq laws uqr ses to doom rote terms of ft rs Permit and all rules. [eguiat:ons one/ui resthctons OCed coon mt by the City Council Pp-niicant must follow all rsulotions regarding the use of CityCo..is This Permit may be revoked susenicea or further conditioned at any time by toe City ocirmt;cns of the foregong o’ imniedotely n h-u Cciy Managers drsrrreoc:n if tfe pub!C S :htty orc’eleir:rr is ic the actions or mactrans of the Applicant Farlure to pay use 0005 SiiOil OtsO 1)0 0 volaton of the terms al this Pemrt Any ecciston made by the City Counc;il regarnriq inS rernrh !S fiat and conclusve Pecsrons of the City Manager may be appealed to the C ComiC ci the Cdy s notmfed ott in iD is of the Cii’ Managers decision but the City s f,-lanaoer s decision shati reman n O:Z until the mst equrar mnroeumrq of the City Cuuicl 01 so ich an on-ps-al may he s-are
City ofAvalon
Saiita CaIa!i,w lsla,,d, C4
June 30. 2026
CATALINA Jil SKI RF,NFAL CORP.
Stevan & Evan Nornhold
P0 Box 1015
Avalon. (‘A 90704
Email Address: e eiin’niiold’:gmaiI.com
Dear Ste an & Evim:
Enclosed is our Revocable Waterside Permit for 2026. look over sour permit and make an\ corrections of your in tbrmai ion on the permit ii se 1.
PLEASE PROVII)E EACH OF YOUR EMPLOYEES THE FOLLOWING 1NFORMATON:
Section 10—2.416 (a)(2)(ii ) states that your Waterside Permit Operations. “will not have a substantial negative impact upon existini.t mooring. docking. or other anchorage facilities...“ Iherefore to make sure operations run smoothly ibr e ervonc would like to take this opportunit to rem nd all of our Waterside Permit holders of the lol Io ing:
Your use of the Cit floats is br loading and off—loading customers onl . limited to 1 0 in mutes.
2. I fvour waterside permit restricts ‘ on to use (‘ahrillo Mole lloats. please be advised when (‘atalina Express or a cruise ship tender is using the (‘abri lb Mole floats, the float is considered a “secure area” and your captain or enipIo cc who holds a government issued iWIC card must escort our customers up and down the ramp to avoid contusion with the Catalina Express or cruise ship passengers per the Avalon Harbor Securit Plan.
3. Alay s avoid interfering with the cross channel and the cruise ship tendering operations. -I. [)o not lea e a boat unattended at an’ lime while tied to a float.
5. While our vessel is alongside a lloat and ou are in gear. please insure that any prop wash does not affect other ‘ essels or operations
6. The speed limit upon entering the harbor is 5 miles i3’r hoot ‘7. [he harbor is a “no v ake” ione.
8. Lastly, please do not use the pump out facilities for sour bilge. These pumps are for sewage only.
P1 I ASL ni ike otit information is cot icct If ‘ill infot nation is cot rcct and certi I icatcs ind/oi licenses ha e not expired. sign and return the permit o our office no later than March 24. 2026. I fa section is highlighted, this information is ni issing or needs renewal.
Please call mvselfor (1ier I Allison ‘ ith an questions or concerns at 3 I 0—5 10—0535.
Sincere Iv.
4A
Kevin Schmidt
Ilarbor Master
Avalon City Flail 410 A’.alun Canyon Road P0 Box 707 Avalon. CA 90704—0707 Telephone: 3 10.5 10.0220 Facsimile: 3 10.5 10.0901 www.CitvoiAvalon.com
CITY OF AVALON
REVOCABLE WATERSIDE PERMIT
GRANT OF PERMIT
City grants CATALINA JET SKI RENTAL CORP. a Waterside Permit to carry on the business ofaquatic rentals, concession items, dive supplies, snacks, beverages and air station under Business License #
TERMThe Term of this Permit shall commence January 1, 2026, and continue until December 31, 2026, or until terminated by the provisions hereof, whichever occurs first.
A. Pursuant to Avalon Municipal Code Section 10-2.402, the Use Fee is 7%. The 7% fee will be applied only to charters other than cruise ship tendering.
B. Permittee shall pay the monthly fees on or before the last day of the month immediately following each calendar month. If any such amount so payable is not paid by the last day of the immediately following month, there shall be added to such amount interest payable atthe rate of one-half (1/2) of one percent per month on the amount of the tax for each month or portion thereof, from the date the tax is first delinquent. If such tax is delinquent and unpaid, there shall in addition be added thereto a one-time penalty in the amount of ten percent (lO%) of the amount of the tax, computed from the date the tax first becomes delinquent.
C. As stated in Sec. 10-2.410 of the Avalon Municipal Code,” (iii) In all cases where the business operates seven (7) or more months during any twelve (12) month period, pay to the City use fees under Section 10-2.402 no fewer than seven (7) months of any twelve (12) month period, and in no event less than the sum of Twenty-Five and no/lOOths ($25.00) Dollars per month for each month the business is operating and reports sales receipts.
D. (iv) In all cases except fishing tournament operators, where the business operates fewer than seven (7) months during any twelve (12) month period, pay to the City a use fee of Two Hundred and no/lOOths ($200.00) Dollars for each month the business is closed or does not report sales receipts.
INITYPermittee shall indemnify, protect and hold harmless City from and against any and all claims,losses, damages or liabilities arising from Permittee’s business operations conducted pursuant to this Permit and shall further indemnify and hold harmless City from and against any and all claims arising from any negligence of Permittee, or any such claim or any action or proceeding brought thereon; and in case any action or proceeding be brought against City by reason of any such claim, Permittee upon notice from City shall defend the same at Permittee’s expense by counsel satisfactory to City. Permittee, as a material part of the conditions upon which Cityagrees to issue this Permit, hereby assumes risk of damage to property or injury to persons inconnection with Permittee’s business operations under this Permit arising from any cause, including the negligence of City, except gross negligence or intentional misconduct, and Permittee hereby waives all claims in respect thereof against City.
EXEMPTION OF CITY FROM LIABILITY
Permittee hereby agrees that City shall not be liable for injury to Permittee’s business or any loss of income therefrom or for damage to the goods, wares, equipment, merchandise or other property of Permittee, Permittee’s employees, invitees, customers, or any other person in connection with activities conducted pursuant to this Permit, nor shall City be liable for injury to the person of Permittee, Permitte&s employees, agents or contractors. City shall not be liable for any damages arising from any act or neglect of any other permittee or their customers.
EMPLOYEES & AGENTS
The Waterside Permit Holder and all of its employees and agents must be qualified and possess the skills, licenses and certifications necessary to perform the activitiesauthorized in this permit to industry standard. Copies of all licenses, certifications and training must be attached to this Waterside Permit and approved by the Harbor Master. Any new employees or agents hired throughout the year must supply their license, certifications and training records to the Harbor Master prior to beginning work.
ASSIGNMENT
This Permit is not assignable by Permittee and any attempted or purported assignment or delegation of this Permit shall be null and void.
REVOCATION
This Permit is subject to revocation at any time by the City for violation of any of the terms hereof, or of any City ordinances or rules and/or regulations adopted by the City. The decision of City as to the revocation of this Permit shall be final and conclusive.
NOTICES
All notices pursuant to this Permit or required by law shall be in writing and made to the parties by personal delivery or certified mails, return receipt requested, by delivery or mailing to:
City Of Avalon
P. 0. Box 707
Avalon, CA 90704
PERMITTEE Catalina Jet Ski Rental Corp.
Steven & Evan Nornhold
P.O. Box 1015
Avalon, CA 90704
___________
Office
925-877-6317 Evan Nornhold
evanMornhQjgmail.com
or such other place or places as the parties may from time to time designate in writing.
WAIVER
The waiver of any of the terms, covenants or conditions of this Permit by the City shall not be construed to be a waiver of any other term, covenant or condition.
INSURANCE
1. Permittee, as set forth in Avalon Municipal Code Section 1-6.01, is required to maintain a policy of public liability insurance. Such policy shall:
a. Contain broad form commercial general liability insurance, or in the case of marine operations, the substantial equivalent, with respect to the Premises, as applicable and the permittee, franchisee, contractor or lessees’ activities with a combined single limit of not less than $1,000,000 per occurrence and aggregate. Such insurance shall be produced by an insurer authorized to do business in California with a then current Best’s Insurance Guide Rating of not less than A-Vu. , shall name the City of Avalon, its officers, agents and employees as additional insureds, and shall contain a provision that prohibits cancellation, modification or; and b. Name the City as additional insured and contain a waiver of subrogation against the named insured or respective officers, employees, agents; and c. Provide that it may not be canceled without at least thirty (30) days prior written notice to the City; and
d. Provide primary and not excess coverage Insurance coverage shall be subject to the approval of the City.
2. If Permittee uses a vessel or vessels during the course of business for which this Waterside Permit has been granted, the Permittee, as set forth in Avalon Municipal Code Section 10-2.219, is required to provide proof of current and valid Protection & Indemnity (P & I) or Watercraft Liability Insurance. Such policy shall:
a. Contain limits of at least Five Hundred Thousand and no/lOOths ($500,000.00) Dollars per vessel; and
b. Name the City of Avalon, its officials, employees, and volunteers as an additional insured; and
c. Provide immediate written notice if (1) any of the required insurance policies is terminated; (2) the limits of any of the required polices are reduced; (3) or the deductible or self-insured retention is increased; and
d. In the event of any cancellation or reduction in coverage or limits of any insurance, owner or operator shall forthwith obtain and submit proof of substitute insurance; and
e. Contain a provision allowing for cost recovery for salvage; andf. Contain a provision for pollution control.
Vessel owner’s or permittee’s insurance coverage shall be primary insurance coverage as respects the City, its officers, officials, employees, and volunteers. Any insurance or selfinsurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the owner’s or permittee’s insurance and shall not contribute with it. The permittee shall provide evidence of required insurance coverage(s) by providing the City with a copy of thepolicy(ies) and/or a copy of a fully explanatory certificate(s) of insurance, as determined by the City.SPECIAL CONDiTIONS
Permittee is subject to the following special terms and conditions as set forth by the Harbor Master and/or City Council:
1. Barge will be anchored off Hamilton Cove in a location specified by the Harbor Master.
2. All Jet Ski rentals will remain west of Hamilton Cove.
3. Number of passengers on barge does not exceed 6 at any time as specified by Coast Guard direction.
REQUIRED LICENSES (Attach copy of license or certificate if applicable) Vessel Make Registration # Length Expiration
____
_______
_____
Date
Seadoo CF 12
____
Seadoo CF i2
Seadoo CF
_____
12 ____
Seadoo CF
_____
12 Seadoo CF
______
12 —
‘Seadoo ‘CF -— 12,
Seadoo CF____ 12
AUTHORITY
The person so signing the Permit hereby warrants that he/she has full authority to sign this Permit on behalf of Permittee.
PERMITTEE:
___________________ _______ _____
CITY OF AVALON:
_______
______
DATE:
_________________________
Kevin Schmidt I I--len ic Master
H,i ixr !)op:i tnltmt
City of Avalon
/i0) i0U53 0)’)
J [email protected]
4.4 www.cjyofavaIon.gov
9 .12 Fiiut e
P0 Bc /01
\‘nr (A 00/04
vwwctvofavaton.go
From: Steve Nornhold <stevencatalinajetski.com>
Sent: Wednesday, May 13, 2026 9:06:21 PM
To: Kevin Schmidt <kshmJcityofavalon.gov>
Cc: Evan Nornhold <[email protected]>
Subject: Proposed Banana Boat Tours
You don’t often get email from [email protected]. Learn why this is important Hi Kevin,
I submitted the form to the City of Avalon to extend Catalina Jet Ski’s operations to include 3anana Boat Tours along the Catalina Coastline. I wasn’t able to attach any pictures, so I have attached thm to this e-mail. Provided below is a brief summary of the proposed Banana Boat Tours:
• Participants for the Banana Boat Tours will be transported via Shoreboat. • The Banana Boat holds a maximum of ten (10) people; however, to ensure safety, we pla ito limit the number of participants per tour to six (6). Provided below are the specificatons of th Banana Boat:
• The Banana Boat Tours wilL run North of the Catalina Jet Ski Barge towards Whites Landing; therefore, it will not increase boat traffic through the Avalon Harbor. • A 26 foot Boston WhaLer Outrage will be used to pull the Banana Boat. Provided below is a picture of the Boston Whaler: - - Commercial grade 10 man banana boat is wider and more stable, buiLt to preform exceLlent in choppy water conditions and ocean use. Material: Heavy duty UV resistant reinforced 1100 denier 40 oz PVC. Dense puncture resistant material, reinforced in high stress’areas. Elite Class = WELDED seams & nose comes for commercial strength & extended life. Stainless steel putt rings, tow harness with steel toggle c, Dimensions inflated: 17 x 8. Max Load: 10 riders - 1 800lbs o Includes: nylon storage bag, foot pump, and operation instructions. 4 • A specialized tow bar has been installed on the Boston Whaler that is engineered to pull over 2,500 lbs.
• A captain with a six-pack license be the driver for the tours. One additional Catalina Jet Ski employee will be at the rear of the boat watching the Banana Boat Tour participants at all times. • The speed of the tour will be conducted at a leisurely pace. This is not going to be a fast paced Banana Boat ride that places the participants at risk.
• All participants will be required to wear Coast Guard approved life jackets. All participants will have the option to wear protective headgear and/or wet suit bottoms. • Our insurance carrier has approved the addition of the Banana Boat Tours to our insurance coverage.
• We would like to start the tours in ihe latter part of May ann nave them run through mid-October.
Please let me know if you may have some Timt o discuss any coiIcrns you ma’ have with the proposed tours.
Thank you,
Steve
Cell 925-382-3482
...
)
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM: 5
ORIGINATING DEP: Finance Department CITY MANAGER: 1MM
PREPARED BY: Matthew Baker, Finance Director
SUBJECT: First Reading of an Ordinance enacting Section 3-3.422 “Short Term Rental Facilitator Reporting” to the Municipal Code RECOMMENDED ACTION(S): Open the public hearing, receive public testimony, close the public hearing, and by motion: (1) Find that the adoption of the proposed ordinance is statutorily exempt from review under the California Environmental Quality Act (“CEQA”) under CEQA Guidelines sections 15378 and 15061. (2) Introduce and waive all further readings of the proposed ordinance enacting Section 3-3.422 “Short-Term Rental Facilitator Reporting” tothe Avalon Municipal Code.
REPORT SUMMARY: The Short-Term Rental Facilitator Act of 2025 was enacted by SenateBill 346 (Durazo). The Act provides a mechanism for cities to receive reporting regarding STRs operating in their jurisdiction. Once a city invokes the Act by ordinance, the Act requires online platforms like Airbnb and VRBO (defined in the statute as “short-term rental facilitators”) to identify and report short-term rentals in the city. This information helps cities to identify STRs that operate illegally, as well as to enforce their TOT ordinances and collect taxes that STR operators owe.
The Act expressly allows a city to require monthly reporting because the City requires TOT to be remitted monthly.
The Act also expressly allows a city to establish administrative fines for reporting violations.The proposed ordinance makes the reporting requirements under the Act a part of the City’s STR ordinance; it makes violation of the reporting requirements an infraction; and it establishes administrative fines of up to $5,000 per violation, in accordance with state law. (Gov. Code § 53069.4, 36900(d).)
Adopting the proposed ordinance will require STR facilitators to report STRs in the City, whichwill help the City to collect TOT and enforce the City’s STR regulations. This in turn will help increase revenue to the City’s general fund and help protect public health, safety, and welfare.
ENVIRONMENTAL REVIEW: Adoption of the proposed ordinance is exempt from the California Environmental Quality Act (“CEQA”) under Section 15378 because the activity is not a “project” subject to CEQA. (Cal. Code Regs. Tit. 14, § 15378.) Section 15378 defines a project as an activity that “has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” (Cal.Code Regs. Tit. 14, § 15378(a).) These measures are not expected to result in any direct or reasonably foreseeable indirect physical change in the environment, and thus adoption of the ordinance is not
a “project” under CEQA. Moreover, the City Council finds that even if adopting this ordinance were considered
a “project,” it is exempt from CEQA under State CEQA
Guidelines section 15061(b)(3), the “common sense” exemption, because it can be seen with certainty that there is no possibility that the Ordinance will have a significant effect on the
environment. (Cal. Code Regs. Tit. 14, §15061(b)(3).)
ATTACHMENTS: Proposed Ordinance
ORDINANCE NO. ____ AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF AVALON ENACTING SECTION 3-3.422 “SHORT-TERM RENTAL FACILITATOR REPORTING” OF THE
AVALON MUNICIPAL CODE TO REQUIRE REPORTING IN ACCORDANCE WITH SB 346; AND FINDING THAT THE ACTION DOES NOT QUALIFY AS A PROJECT SUBJECT TO CEQA UNDER STATE CEQA GUIDELINES SECTION 15378 AND IS
OTHERWISE EXEMPT FROM CEQA UNDER STATE CEQA GUIDELINES SECTION 15061 (B)(3)
WHEREAS, the Legislature enacted Senate Bill 346 (Durazo), known as the ShortTerm Rental Facilitator Act of 2025, to address enforcement challenges faced by local jurisdictions by authorizing reporting requirements and cooperation obligations for online companies and other short-term rental facilitators; and WHEREAS, the City Council finds that adopting regulations consistent with state law will promote compliance, transparency, and effective local enforcement; NOW, THEREFORE, the City Council of the City of Avalon, California, does ordain as follows:SECTION 1. Section 3-3.422 Enacted. Avalon Municipal Code Section 3-3.422 “ShortTerm Rental Facilitator Reporting,” is hereby enacted to read in full as set forth herein:
3-3.422 Short-Term Rental Facilitator Collection and Reporting.
A. Application of Short-Term Rental Facilitator Act of 2025. The provisions of Chapter 4.6 (commencing with Section 50990) of Part 1 of Division 1 of Title 5 of the Government Code are hereby made applicable within the city’s jurisdictionalboundaries.
B. Definitions. For purposes of this section, “marketplace,” “short-termrental” and “short-term rental facilitator” each has have the same meaning as in Government Code section 50991, and “operator” means a person who lists a short-term rental for rent on a marketplace operated by a short-term rental facilitator.
C. Reporting.
1. Reporting Required Monthly. Each short-term rental facilitator must report, in the form and manner prescribed by the City Finance Director, the physical address, including nine-digit ZIP Code of each short-term rental occurring in the prior calendar month, by no later than the twentieth day of the following month. This requirement constitutes the city’s “request” under Government Code section 50993(a).
554140004471576011
2. Additional Information. If the above information in not sufficient, the City Finance Director may request, if necessary to identify a short-term rental, the following:
a. The assessor parcel number of each short-term rental. b. The URL associated with the specific short-term rental listing. c. Information exclusively related to the identification of anaccessory dwelling unit, guest house, or single unit of a timeshare or multifamily housing project located at a single address that is located at the address or assessor parcel number requested.
3. Audit. The Finance Director may conduct an audit or otherwise examine the records of the short-term rental facilitator documenting the receipt of the transient occupancy tax due and payable to the city.
D. Penalties. Notwithstanding anything else in this code, a violation of this section is punishable as a criminal misdemeanor and is also subject to anadministrative citation and assessment of an administrative fine as established by resolution of the City Council, consistent with Government Code section 53069.4.
Each listing that is not reported as required and each day that a violation occurs is a new, separate violation.
SECTION 2. CEQA. The City Council finds that adoption of this ordinance is exempt from the California Environmental Quality Act (“CEQA”) under Section 15378 because the activity is not a “project” subject to CEQA. (14 Cal. Code Regs. § 15378.) Section 15378defines a project as an activity that “has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” (14 Cal. Code Regs. § 15378(a).) These measures are not expected to result in any direct or reasonably foreseeable indirect physical change in the environment, and thus adoption of the ordinance is not a “project” under CEQA. Moreover, the citycouncil finds that even if adopting this ordinance were considered a “project,” it is exempt from CEQA under State CEQA Guidelines section 15061(b)(3), the “common sense” exemption, because it can be seen with certainty that there is no possibility that the Ordinance will have a significant effect on the environment. (14 Cal. Code Regs.§ 15061(b)(3).) SECTION 3. Severability. If any portion of this ordinance or any application thereof toany person or circumstance is held to be invalid or unconstitutional by a decision of a court of competent jurisdiction or preempted by state legislation, the invalidating decisionor legislation does not affect the validity of the remaining portions of the ordinance. Thecity council hereby declares that it would have adopted this ordinance without the invalidportion.
SECTION 4. Effective Date and Posting. This ordinance takes effect 30 days following its adoption by the City Council.
Page2of3
55414.0004471576011
SECTION 5. Posting and Publication. The city clerk is hereby directed to post or publish this ordinance as required by Government Code section 36933.
INTRODUCED AND FIRST READ at the meeting of the city council of the city of Avalon, California, on the 28th day of July, 2026, and thereafter ADOPTED at a regular meeting of the city council held on the 1st day of September, 2026, by the following vote:
AYES:
NOES:
ABSENT:
APPROVED:Ann H. Marshall, MAYOR
ATTEST:
Gabrielle Morones, CITY CLERK
Page3of3
55414.0004471576011
CITY OF AVALON CITY COUNCIL
MEETING DATE: June 16, 2026 AGENDA ITEM: 6
ORIGINATING DEP: Planning and Building CITY MANAGER: 1MM PREPARED BY: Kelly Ribuffo, Contract Planner
SUBJECT: First Reading of an Ordinance Amending Chapter 9-5, Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code,implementing housing program 14 as set forth in the 6th CycleGeneral Plan Housing Element and Finding the Action to be Statutorily Exempt from the California Environmental Quality Act Under Public Resources Code § 21080.17
EXECUTIVE SUMMARY: The proposed ordinance will amend Chapter 9-5, Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code to comply with recent changes to statelaw that impose new limits on local authority to regulate Accessory Dwelling Units (ADU5) and Junior Accessory Dwelling Units (JADU5). Except as otherwise noted, these new laws take effecton January 1, 2026.
RECOMMENDED ACTION(S): Open the public hearing, receive public testimony, close thepublic hearing, and by motion: 1. Find that the adoption of the proposed ordinance is statutorily exempt from review under the California Environmental Quality Act (CEQA) under Public Resources Code § 21080.17. 2. Introduce and waive all further readings of the proposed ordinance amending Chapter 9-5 Residential Zones, Article 6 “Accessory Dwelling Units” of the Avalon Municipal Code.
BACKGROUND: On September 20, 2022, the City Council adopted the 2021-2029/6th Cycle General Plan Housing Element. The Housing Element is a state-mandated section of theGeneral Plan which identifies the housing needs, opportunities, and constraints in the City of Avalon. The Housing Plan section of the Housing Element further sets forth the City’s goals, policies and programs to address Avalon’s identified housing needs, including production of 27new housing units as allocated by the Southern California Association of Governments (SCAG) Regional Housing Needs Assessment (RH NA) for the 6th review cycle.
The Housing Plan contains 26 programs adopted to implement the goals and policies of the Housing Element. Some programs require one-time code amendments, while others have ongoing review schedules that require monitoring legislative actions and regular updates to the Avalon Municipal Code (AMC). Over the next several months, the Planning and Building Department will bring forth a series of code amendments for consideration to implement all of the housing programs to ensure the City continues to be compliant with State law. The amendments proposed implement the requirements of Program #14 (Accessory Dwelling Units)of the Housing Element.
DISCUSSION AND ANALYSIS: In late 2025, four new bills were enacted that further amend state ADU law as summarized below.
AB 462 — Coastal Development Permits; Disaster-Affected Areas
Existing law requires most ADUs proposed in the Coastal Zone to obtain a Coastal DevelopmentPermit (CDP) in addition to other local ADU permit requirements. Historically, the CDP for an ADU was not subject to state ADU law’s 60-day shot clock to approve or deny a complete ADU application. Additionally, local permitting decisions on a CDP for an ADU could be appealed to the California Coastal Commission if the underlying property was subject to the Coastal Commission’s appeals jurisdiction (as set forth in Public Resources Code 30603).
AB 462 alters the status quo on numerous fronts. Most notably, local agencies with a certified local coastal program (LCP) must now approve or deny a CDP application for an ADU within 60 days of receiving a complete application. The local agency’s review of the CDP application mustalso take place “concurrently with the process to approve or deny” any other permit required toapprove the ADU (i.e., an ADU permit and building permit). (Gov. Code, § 66329(a).) AB 462 also eliminates the ability to appeal a CDP for an ADU to the Coastal Commission. If a localagency does not have a certified LCP, then it now must “immediately notify” the CoastalCommission when an ADU application is submitted. Subject to limited exceptions, the CoastalCommission’s review of the CDP application is subject to the same 60-day shot clock that applies to local agencies with a certified LCP. (Id., at (b)(1)-(5).) Beyond changes to CDP processing, AB 462 modifies the rules governing the issuance of a certificate of occupancy (CofO) for an ADU. Historically, state law has prohibited a local agency from issuing a CofO for an ADU before one is issued for the primary dwelling (i.e., the primarydwelling must have a CofO before the ADU can receive one).
AB 462 creates a narrow exception to this prohibition for detached ADUs when all of the following conditions are satisfied: (1) the Governor has declared a state of emergency for the county onor after February 1, 2025; (2) the primary dwelling was substantially damaged or destroyed byan event referenced in the state of emergency proclamation; and (3) the ADU has been issuedconstruction permits and passed all required inspections. (Gov. Code, § 66328(b).) If theseconditions are satisfied, the detached ADU can receive a CofO before the primary dwelling. Inall other scenarios, the primary dwelling still needs a CofO before one can be issued for an ADU.
AB 462 was enacted as an urgency measure that took effect immediately when signed by the Governor (on October 10, 2025).
The following three bills were enacted as non-urgency measures and take effect on January 1,2026.
AB 1154—JADU Owner-Occupancy; Short-Term RentalWhen a JADU is developed, existing state law requires a property owner to reside in the JADU or remaining portion of the single-family dwelling. AB 1154 narrows this requirement to now onlyapply when a JADU shares sanitation facilities (bathroom) with the single-family dwelling. If theJADU has its own bathroom, then the property owner does not have to reside on the property atall. (See amended Gov. Code, § 66333(b).) AB 1154 also expressly prohibits JADUs from being used as short-term rentals (i.e., rented for a term shorter than 30 days). (See amended Gov. Code, § 66333(g).) Most local ADUordinances already included this prohibition, including prohibiting ADUs from being used asshort-term rentals.SB 9; SB 543 — Ordinance Submittal to HCD; Approval Page3of8
Under existing law, local agencies are required to submit a copy of their ADU ordinance to the California Department of Housing and Community Development (HCD) within 60 days ofadoption.
This year’s SB 91 and SB 543 create a penalty for failing to do so by rendering null and void any local ordinance that is not submitted to HCD within 60 days of adoption. (See amended Gov.
Code, § 66326(d); new Gov. Code, § 66333.5(d).) The bills further specify that a local ADU ordinance is null and void if HCD issues findings that the ordinance does not comply with statelaw and the local agency fails to respond to HCD within 30 days. (Id.) SB 543 — ADU Size; Number of ADUs; Impact Fees; Application Timeline SB 543 makes numerous changes and clarifications to state ADU law, the most notable of which are summarized below.
ADU & JADU Size
Existing law limits the maximum size of a JADU to 500 square feet and prohibits local ADU ordinances from imposing certain development standards that would prevent an ADU created under Government Code section 66314 through 66322 from being at least 800 square feet.
SB 543 amends state ADU law to specify that allowable square footage of an ADU or JADU refers to square footage of “interior livable space.” (See amended Gov. Code, § 66313(d), 66321 (b)(2).)
Impact FeesExisting law exempts ADUs that are 750 square feet or smaller from development impacts fees (DIFs).SB 543 clarifies that DIFs may not be imposed on an ADU that has 750 or fewer square feet of interior livable space or on a JADU with 500 or fewer square feet of interior livable space.
The bill also exempts an ADU or JADU with less than 500 square feet of interior livable spacefrom school impact fees. (See amended Gov. Code, § 66311.5.) Quantity of ADUs Created Under Government Code Section 66323 Existing state law creates four categories of ADUs that must be approved if they comply with thelimited standards provided in Government Code section 66323(a)(1)—(4). These are:
(1) a converted ADU and JADU created on a lot with a proposed or existing single-family dwelling (Gov. Code, § 66323(a)(1));
(2) a detached ADU created on a lot with a proposed or existing single-family dwelling (Gov.
Code, § 66323(a)(2));
Not to be confused with the SB 9 of 2021 (Stats. 2021, ch. 162) regarding urban lot splits and second primary dwelling units.
(3) converted ADUs created in an existing multifamily dwelling (Gov. Code, § 66323(a)(3)); and
(4) detached ADUs created on a lot with a proposed or existing multifamily dwelling.
For some time, there has been uncertainty as to whether ADUs created under Government Code section 66323 could be combined. Some practitioners interpreted the statute to not require local agencies to allow combinations. Initially, HCD took the same position, in its 2020 ADU Handbook. But for the last few years, HCD has taken the opposite position: that yes, combinations are permitted. (See HCD January 2025 ADU Handbook, at p. 19 [“[P]ursuant to Government Code section 66323, subdivision (a), local governments must allow units createdpursuant to subparagraphs (1) and (2) together or (3) and (4) together”].) SB 543 codifies HCD’s most recent interpretation by amending Government Code section 66323 to specifically allow combinations. Thus, a lot with a multifamily dwelling can now have a converted ADU or ADUs created under section 66323(a)(3) and detached ADUs created under section 66323(a)(4). And a lot with a single family dwelling can now have a converted ADU and a JADU created under section 66323(a)(1) and a detached ADU created under section 66323(a)(2).
ADU Permitting Process
Existing law has long required local agencies to approve or deny an ADU application within 60 days of receiving a complete application. However, state law was silent with respect to incompleteness determinations, subsequent resubmittals, and appealing local decisions on ADU applications.
SB 543 requires local agencies to now:
(1) determine whether an ADU application is complete within 15 business days of submittal;(2) if the application is if incomplete, within the same 15 days provide the applicant with a list of incomplete items and how to address them;
(3) review a resubmitted application for completeness within 15 business days; (4) provide the applicant with a written appeal process for any incompleteness determination or denial (to the Planning Commission or City Council, or both); and (5) provide a final written determination on the appeal within 60 business days of receiving the appeal). (See amended Gov. Code, § 66317 [ADUs], 66335 [JADU5].) Complete amendment language is included in the draft ordinance attached to the proposed resolution (Attachment 1) and strike-through amendment text (Attachment 2).
AB 462 took effect immediately when signed, but technically it doesn’t require any change to a local ADU ordinance; the City just needs to follow the new rules for CDP processing andissuance of a certificate of occupancy, if applicable. But the remaining bills took effect January 1, 2026, and for the City’s ADU ordinance to remain valid and enforceable, it must comply with the new changes in state law. Adopting the proposed ordinance ensures that the City’s ADU ordinance will remain in compliance with state law.
On May 22, 2026, the Planning Commission held a duly noticed public hearing at which time written and oral evidence was considered regarding the proposed amendments is included asAttachment 3 of this report. The Planning Commission adopted Planning Commission Resolution No. PC 26-10, which recommends adoption of the proposed ordinance by the City Council.
It is the opinion of staff that the proposed amendments comply with existing State law concerning ADUs and fully implements Program #14 of the 6th Cycle Housing Element.
ENVIRONMENTAL REVIEW: Under California Public Resources Code section 21080.17, CEQA does not apply to the adoption of an ordinance by a city or county implementing theprovisions of Chapter 13 of Division 1 of Title 7 of the California Government Code, which isCalifornia’s ADU law. Therefore, the proposed ordinance is statutorily exempt from CEQA in that the proposed ordinance implements state ADU law.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The Avalon Municipal Code will not be amended, and the City will be out of compliance with the mandated implementation program set forth in the 6t[ Cycle General Plan Housing Element.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS:
1. Ordinance Draft
2. Strike-through Amendment Text
3. Planning Commission Staff Report (PC#2913) and Resolution No. PC 26-10
ATTACHMENT I
ORDINANCE DRAFT
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF AVALON AMENDING CHAPTER 9-5 RESIDENTIALZONES, ARTICLE 6 “ACCESSORY DWELLING UNITS”OF TITLE 9 OF THE AVALON MUNICIPAL CODE AND FINDING THE ACTION TO BE STATUTORILY EXEMPTFROM CEQA UNDER PUBLIC RESOURCES CODE § 21080.17
WHEREAS, pursuant to the authority granted to the City of Avalon (“City”) by Article XI, Section 7 of the California Constitution, the City has the police power to regulate the use of land and property within the City in a manner designated to promote public convenience and general prosperity, as well as public health, welfare, and safety; and WHEREAS, the City of Avalon is committed to implementation of Program #14 (Accessory Dwelling Units) adopted as part of the 202 1-2029 6th Cycle General Plan Housing Element; and
WHEREAS, the City Council reviewed the proposed Ordinance, attached as Exhibit A, and the effects and demands of such regulations and other development on the City’s resources;and WHEREAS, on May 22, 2026, the Avalon Planning Commission held a duly-noticed public hearing, at which time written and oral evidence was considered regarding the amendments to the development regulations for accessory dwelling units in permissible zones throughout thecity; and WHEREAS, the Planning Commission adopted Planning Commission Resolution No. PC 26-10 with recommendations to the City Council regarding adoption of the aforementionedamendments; and WHEREAS, on June 16, 2026, the City Council held a duly-noticed public meeting and considered the recommendations of the Planning Commission, staff report, other supportingdocuments, and any public testimony concerning this ordinance; and WHEREAS, the City Council finds that the proposed Ordinance is consistent with the City’s General Plan because the proposed amendments to the AMC will implement Program #14of the City’s 202 1-2029 6th Cycle General Plan Housing Element, and the proposed amendments implement Policy 11-9 of the Land Use Element, which provides for infill of the City Center area and increasing the intensity of development on vacant and underutilized properties, in lieu ofoutward development, where appropriate; and WHEREAS, all legal prerequisites to the adoption of this ordinance have occurred.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF AVALON DOES ORDAIN AS FOLLOWS:Section 1. Incorporation of Recitals. The City Council hereby finds that the foregoingrecitals are true and correct and are incorporated herein as substantive findings.
Section 2. Code Amendment. The City Council hereby adopts the proposed ordinance amending Article 6 of Chapter 9-5 of Title 9 ofthe Avalon Municipal Code to read as proposed in Exhibit A, entitled “Article 6 -Accessory Dwelling Units”.
Section 3. Severability. If any section, subsection, subdivision, sentence, clause, or phrase of this Ordinance, or any part thereof is for any reason held to be unconstitutional, void, or invalid, such decisions shall not affect the validity of the remaining portion 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 ormore section, subsection, subdivision, paragraph, sentence, clause, or phrase be declaredunconstitutional, void, or invalid.
Section 4. CEQA Exemptions. The City Council finds that, pursuant to California Public Resources Code section 21080.17, the California Environmental Quality Act (“CEQA”) does not apply to the adoption of an ordinance by a city or county implementing the provisions of Chapter 13 of Division I of Title 7 of the California Government Code, which is California’s ADU law.
Therefore, adoption of the proposed Ordinance is statutorily exempt from CEQA in that it implements state ADU law.
Section 5. Certification. The City Clerk of the City of Avalon shall certify the passage andadoption ofthis Ordinance and shall cause the same, or a summary thereof to be published and/orposted in the manner required by law.Section 6. Effective Date. This Ordinance shall become effective thirty days from its adoption.
INTRODUCED at a regular meeting of the City Council of the City of Avalon on the 281h day of July, 2026, by the following vote:AYES:
NAYS:
ABSENT:ABSTAIN:
PASSED, APPROVED AND ADOPTED at a regular meeting ofthe City Council ofthe City of Avalon on this 18th day of August, 2026, by the following vote:
AYES:
NAYS:
ABSENT:
ABSTAIN:
Ann H. Marshall, Mayor
ATTEST:Gabrielle Morones, Deputy City Clerk
APPROVED AS TO FORM:
Scott Campbell
Best Best & Krieger, LLP
EXHIBIT A
Avalon Municipal Code Title 9, Chapter 9-5,
Article 6 -Accessory Dwelling Units
§ 9-5.601. Purpose.
The purpose of this section is to allow and regulate accessory dwelling units (ADUs) and junior accessory dwelling units (JADUs) in compliance with Chapter 13 of Division 1 of Title 7 of theCalifornia Government Code.§ 9-5.602. Effect of Conforming.
An ADU or JADU that conforms to the standards in this section will not be:
(a) Deemed to be inconsistent with the City’s general plan and zoning designation for the lot on which the ADU or JADU is located.
(b) Deemed to exceed the allowable density for the lot on which the ADU or JADU is located.
(c) Considered in the application of any local ordinance, policy, or program to limit residential growth.
(d) Required to correct a nonconforming zoning condition, as defined in subsection 9-
5.603(h) below. This does not prevent the City from enforcing compliance with applicable building standards in accordance with Health and Safety Code section 17980.12.
§ 9-5.603. Definitions.
As used in this section, terms are defined as follows:
(a) “Accessory dwelling unit” or “ADU” means an attached or a detached residential dwelling unit that provides complete independent living facilities for one or more persons and is located on a lot with a proposed or existing primary residence. An accessory dwelling unit also includes the following:(1) An efficiency unit, as defined by section 17958.1 of the California Health and Safety Code; and
(2) A manufactured home, as defined by section 18007 ofthe California Health and Safety Code.
(b) “Accessory structure” means a structure that is accessory and incidental to a dwelling located on the same lot.
(c) “Complete independent living facilities” means permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single-family or multifamily dwelling is or will be situated.
(d) “Efficiency kitchen” means a kitchen that includes all of the following:
(1) A cooking facility with appliances.
(2) A food preparation counter and storage cabinets that are of a reasonable size in relation to the size of the JADU.
(e) “Junior accessory dwelling unit” or “JADU” means a residential unit that satisfies all of the following:(1) It is no more than 500 square feet of interior livable space in size.(2) It is contained entirely within an existing or proposed single-family structure. An enclosed use within the residence, such as an attached garage, is considered to be a part of and contained within the single-family structure. (3) It includes its own separate sanitation facilities or shares sanitation facilities with the existing or proposed single-family structure.
(4) If the unit does not include its own separate bathroom, then it contains an interior entrance to the main living area of the existing or proposed singlefamily structure in addition to an exterior entrance that is separate from the main entrance to the primary dwelling.
(5) It includes an efficiency kitchen, as defined in subsection 9-5.603(d) above. (f) “Livable space” means a space in a dwelling intended for human habitation, including living, sleeping, eating, cooking, or sanitation. (g) “Living area” means the interior habitable area of a dwelling unit, including basements and attics, but does not include a garage or any accessory structure. (h) “Nonconforming zoning condition” means a physical improvement on a property that does not conform with current zoning standards.
(i) “Passageway” means a pathway that is unobstructed clear to the sky and extends from a street to one entrance of the ADU or JADU.
(j) “Proposed dwelling” means a dwelling that is the subject of a permit application and that meets the requirements for permitting.
(k) “Public transit” means a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportation that charge set fares, run on fixed routes, and are available to the public.
(1) “Tandem parking” means that two or more automobiles are parked on a driveway or in any other location on a lot, lined up behind one another. § 9-5.604. Approvals.
The following approvals apply to ADUs and JADUs created under this section:
(a) Ministerial ADU and Building Permits Required. Every ADU and JADU requires an ADU permit and a building permit. The City will review and approve permit applications in accordance with subsection 9-5.604(c) below. (b) Processing Fee. The City may charge a fee to reimburse it for costs incurred in processing ADU permits, including the costs of adopting or amending the City’sADU ordinance. The ADU-permit processing fee is determined by the Director of Community Development and approved by the City council by resolution. (c) Process and Timing.
(1) Completeness.
a. Determination in 15 days. The City will determine whether an application to create or serve an ADU or JADU is complete and will provide written notice of the determination to the applicant within 15 business days after the City receives the application submittal. b. Incomplete items. If the City’s determination under subsection 9-
5.604(c)(1)(a) above is that the application is incomplete, the City’s notice must list the incomplete items and describe how theapplication can be made complete. c. Cure. After receiving a notice that the application is incomplete, the applicant may cure and address the items that were deemed by the City to be incomplete.
d. Subsequent submittals. If the applicant submits additional information to address incomplete items, within 15 business days of the subsequent submittal the City will determine in writing whetherthe additional information remedies all the incomplete items that the City identified in its original notice. The City may not require the application to include an item that was not included in the originalnotice. e. Deemed complete. Ifthe City does not make a timely determination as required by this subsection 9-5.604(c)(1), the application or resubmitted application is deemed complete for the purposes of subsection 9-5 .604(c)(3) below.
f. Appeal of incompleteness. An applicant may appeal the City’s determination that the application is incomplete by submitting a written appeal to the City clerk. The Planning Commission willreview the written appeal and affirm or reverse the completenessdetermination and provide a final written determination to theapplicant within 60 business days after receipt of the appeal. (2) No discretion or hearing. Ministerial permits for an ADU or JADU are considered and approved without discretionary review or a hearing. (3) Deadline to approve or deny ministerial approvals. The City must approve or deny an application to create an ADU or JADU within 60 daysfrom the date that the City receives a complete application. If the City has not approved or denied the complete application within 60 days, the application is deemed approved unless either:a. The applicant requests a delay, in which case the 60-day time period is tolled for the period of the requested delay, or
b. When an application to create an ADU or JADU is submitted with a permit application to create a new single-family or multifamilydwelling on the lot, the City may delay acting on the permitapplication for the ADU or JADU until the City acts on the permitapplication to create the new single-family or multifamily dwelling,but the application to create the ADU or JADU will still beconsidered ministerially without discretionary review or a hearing. (4) Denial. If the City denies an application to create an ADU or JADU, the City must provide the applicant with comments that include, among other things, a list of all the defective or deficient items and a description of howthe application may be remedied by the applicant. Notice of the denial and corresponding comments must be provided to the applicant within the 60-day time period established by subsection 9-5.604(c)(3) above. (5) Appeal of denial. An applicant may appeal the City’s denial of the application by submitting a written appeal to the City clerk. The Planning Commission will review the written appeal and affirm or reverse the denial and provide a final written determination to the applicant within 60 businessdays after receipt of the appeal. (6) Deadline to approve or deny CDP. Nothing in state ADU and JADU laws or this code supersedes or in any way alters or lessens the effect orapplication of the California Coastal Act of 1976, except that:
a. If a coastal development permit (CDP) is required for the ADU or JADU, a complete CDP application must be included for the ADUor JADU application to be complete; and b. The CDP application must be approved or denied within 60 days of receiving the complete application.
c. If the City does not have a certified local coastal plan or program when the complete ADU or JADU application is received, the Citywill immediately notify the California Coastal Commission of the complete application.
(7) Concurrent review of demolition. A demolition permit for a detached garage that is to be replaced with an ADU is reviewed with the applicationfor the ADU and issued at the same time. § 9-5.605. Classes.
(a) Class 1: Statutorily Regulated. Class 1 ADUs and JADUs are approved under Government Code section 66323. If an ADU or JADU complies with each of the general requirements in subsection 9-5.606, it is allowed in each of the scenarios provided in this subsection 9-5.605(a). An ADU and JADU approved under this subsection 9-5.605(a)(1) may be combined with an ADU approved under thissubsection 9-5.605(a)(2), and ADUs approved under this subsection 9-5.605(a)(3) may be combined with ADUs approved under this subsection 9-5.605(a)(4). (1) Converted on Lot with Single-Family: One ADU as described in this subsection 9-5.605(a)(1) and one JADU on a lot with a proposed or existingsingle-family dwelling on it, where the ADU or JADU:a. Is either: within the space of a proposed single-family dwelling; within the existing space of an existing single-family dwelling; or (in the case of an ADU only) within the existing space of an accessory structure, plus up to 150 additional square feet if theexpansion is limited to accommodating ingress and egress; and b. Has exterior access that is independent of that for the single-family dwelling; and
c. Has side and rear setbacks sufficient for fire and safety, as dictated by applicable building and fire codes.
d. The JADU complies with the requirements of Government Code sections 66333 through 66339.
(2) Limited Detached on Lot with Single-Family: One detached, new construction ADU on a lot with a proposed or existing single-familydwelling, ifthe detached ADU satisfies each of the following limitations:
a. The side- and rear-yard setbacks are at least three feet. b. The total floor area is 800 square feet of livable space or smaller.c. The peak height above grade does not exceed the applicable height limit in subsection 9-5.606(b) below.
(3) Converted on Lot with Multifamily: One or more ADUs within portions of existing multifamily dwelling structures that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageways, attics, basements, or garages, if each converted ADU complies with state building standards for dwellings. Under this subsection 9-5.605(a)(3), at least one converted ADU is allowed within an existing multifamily dwelling, up to a quantity equal to 25 percent of the existingmultifamily dwelling units. (4) Limited Detached on Lot with Multifamily: No more than two detached ADUs on a lot with a proposed multifamily dwelling, or up to eight detached ADUs on a lot with an existing multifamily dwelling, if eachdetached ADU satisfies all of the following:a. The side- and rear-yard setbacks are at least three feet. Ifthe existing multifamily dwelling has a rear or side yard setback of less than four feet, the City will not require any modification to the multifamilydwelling as a condition of approving the ADU. b. The peak height above grade does not exceed the applicable height limit provided in subsection 9-5.606.(b) below.
c. If the lot has an existing multifamily dwelling, the quantity of detached ADUs does not exceed the number of primary dwellingunits on the lot. (b) Class 2: Locally Regulated. Class 2 ADUs are approved under Government Code sections 66314—66322. Except for Class 1 ADUs approved under subsection 9-
5.605(a) above, all ADUs are subject to the standards set forth in 9-5.606 and 9-5.607 below. § 9-5.606. General ADU and JADU Requirements.
The following requirements apply to all Class 1 and Class 2 ADUs and JADUs:
(a) Zoning.
(1) A Class 1 ADU approved under subsection 9-5.605(a) above may be created on a lot in a residential or mixed-use zone.
(2) A Class 2 ADU approved under subsection 9-5.605(e)(2) above may be created on a lot that is zoned to allow single-family dwelling residential useor multifamily dwelling residential use. (3) In accordance with Government Code section 66333(a), a JADU may only be created on a lot zoned for single-family residences. (b) Height.
(1) Except as otherwise provided by subsections 9-5.606(b)(2) and 9-
5.606(b)(3) below, a detached ADU created on a lot with an existing or proposed single family or multifamily dwelling unit may not exceed 16 feet in height.
(2) A detached ADU may be up to 18 feet in height if it is created on a lot with an existing or proposed single family or multifamily dwelling unit that is located within one-half mile walking distance of a major transit stop or high quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code, and the ADU may be up to two additional feet inheight (for a maximum of 20 feet) if necessary to accommodate a roof pitch on the ADU that is aligned with the roof pitch of the primary dwelling unit. (3) A detached ADU created on a lot with an existing or proposed multifamily dwelling that has more than one story above grade may not exceed 18 feet in height.
(4) An ADU that is attached to the primary dwelling may not exceed 25 feet in height or the height limitation imposed by the underlying zone that applies to the primary dwelling, whichever is lower. Notwithstanding the foregoing,ADUs subject to this subsection 9-5.606(b)(4) may not exceed two stories. (5) For purposes ofthis subsection 9-5.606(b), height is measured from existing legal grade or the level of the lowest floor, whichever is lower, to the peak of the structure.
(c) Fire Sprinklers.
(1) Fire sprinklers are required in an ADU or JADU if sprinklers are required in the primary residence.
(2) The construction of an ADU or JADU does not trigger a requirement for fire sprinklers to be installed in the existing primary dwelling. (d) Rental Term. No ADU or JADU may be rented for a term that is shorter than 30 days. This prohibition applies regardless of when the ADU or JADU was created. (e) No Separate Conveyance. An ADU or JADU may be rented, but, except as otherwise provided in Government Code section 66341, no ADU or JADU may be sold or otherwise conveyed separately from the lot and the primary dwelling (in the case of a single-family lot) or from the lot and all of the dwellings (in the case of a multifamily lot).
(f) Septic System. Ifthe ADU or JADU will connect to an onsite wastewater-treatment system, the owner must include with the application a percolation test completed within the last five years or, if the percolation test has been recertified, within the last 10 years.
(g) Owner Occupancy.
(1) ADUs. ADUs are not subject to an owner-occupancy requirement. (2) JADUs.
a. Generally. As required by state law, JADUs are generally subject to an owner-occupancy requirement. A natural person with legal orequitable title to the property must reside on the property, in either the primary dwelling or JADU, as the person’s legal domicile andpermanent residence. b. Exceptions. The owner-occupancy requirement in this subsection 9-
5.606(g)(2) does not apply in either of the following situations:
(I) The JADU has separate sanitation facilities (i.e., does not share sanitation facilities with the existing primary dwelling unit structure).
(II) The property is entirely owned by another governmental agency, land trust, or housing organization.
(h) Deed Restriction. Prior to issuance of a certificate of occupancy for an JADU, a deed restriction must be recorded against the title of the property in the CountyRecorder’s office and a copy filed with the Planning Department. The deed restriction must run with the land and bind all future owners. The form of the deed restriction will be provided by the City and must provide that:
(1) The JADU may not be sold separately from the primary dwelling.(2) The JADU is restricted to the approved size and to other attributes allowed by this section.
(3) The deed restriction runs with the land and may be enforced against future property owners.
(4) The deed restriction may be removed if the owner eliminates the JADU, as evidenced by, for example, removal ofthe kitchen facilities. To remove thedeed restriction, an owner may make a written request of the Director, providing evidence that the JADU has in fact been eliminated. The Director may then determine whether the evidence supports the claim that the JADU has been eliminated. Appeal may be taken from the Director’sdetermination consistent with other provisions of this Code. Ifthe JADU is not entirely physically removed, but is only eliminated by virtue of havinga necessary component of an JADU removed, the remaining structure and improvements must otherwise comply with applicable provisions of thisCode. (5) The deed restriction is enforceable by the Director or his or her designee for the benefit of the City. Failure of the property owner to comply with the deed restriction may result in legal action against the property owner, and the City is authorized to obtain any remedy available to it at law or equity, including, but not limited to, obtaining an injunction enjoining the use of the JADU in violation ofthe recorded restrictions or abatement ofthe illegal unit.
(i) Income Reporting. In order to facilitate the City’s obligation to identify adequate sites for housing in accordance with Government Code sections 65583.1 and 66330, the following requirements must be satisfied:
(1) With the building-permit application, the applicant must provide the City with an estimate ofthe projected annualized rent that will be charged for theADU or JADU. (2) Within 90 days after each yearly anniversary ofthe issuance ofthe building permit, the owner must report the actual rent charged for the ADU or JADUduring the prior year. If the City does not receive the report within the 90-day period, the owner is in violation of this Code, and the City may send the owner a notice of violation and allow the owner another 30 days to submit the report. If the owner fails to submit the report within the 30-day period, the City may enforce this provision in accordance with applicable law.
(j) Building & Safety.
(1) Must comply with building code. Subject to subsection 9-5.606(j)(2) below, all ADUs and JADUs must comply with all local building code requirements.
(2) No change of occupancy. Construction of an ADU does not constitute a Group R occupancy change under the local building code, as described in Section 310 of the California Building Code, unless the building official orCode Enforcement Officer makes a written finding based on substantial evidence in the record that the construction of the ADU could have a specific, adverse impact on public health and safety. Nothing in this subsection 9-5.606(j)(2) prevents the City from changing the occupancy code of a space that was uninhabitable space or that was only permitted for nonresidential use and was subsequently converted for residential use inaccordance with this section. (k) Certificate of Occupancy Timing.
(1) Generally. No certificate of occupancy for an ADU or JADU may be issued before the certificate of occupancy is issued for the primary dwelling unit. (2) Limited Exception for State-declared Emergencies. Notwithstanding subsection 9-5.606(k)(1) above, a certificate of occupancy for an ADU may be issued before a certificate of occupancy for the primary dwelling if eachofthe following requirements are met:a. The county is subject to a proclamation of a state of emergency made by the California Governor on or after February 1, 2025. b. The primary dwelling was substantially damaged or destroyed by an event referenced in the Governor’s state of emergency
proclamation.
c. The ADU has been issued construction permits and has passed all required inspections.
d. The ADU is not attached to the primary dwelling.
§ 9-5.607. Specific ADU Requirements.
The following requirements apply only to Class 2 ADUs approved under subsection 9-5.605(b) above. This subsection does not apply to Class 1 ADUs or JADUs approved under subsection 9-
5.605(a) above.
(a) Maximum Size.
(1) The maximum size of a detached or attached ADU subject to this subsection 9-5.607 is 850 square feet of interior livable space for a studio or onebedroom unit and 1,000 square feet of interior livable space for a unit with two or more bedrooms.
(2) An attached ADU that is created on a lot with an existing primary dwelling is further limited to 50% of the floor area of the existing primary dwelling. (3) Application of other development standards in this subsection 9-5.607, such as FAR or lot coverage, might further limit the size of the ADU, but noapplication ofthe percent-based size limit in subsection 9-5.607(a)(2) aboveor of an FAR, front setback, lot coverage limit, or open-space requirement may require the ADU have less than 800 square feet of interior livable space.
(b) Floor Area Ratio (FAR). No ADU subject to this subsection 9-5.607 may cause the total FAR ofthe lot to exceed 45%, subject to subsection 9-5.607(a)(3) above. (c) Setbacks.
(1) ADUs that are subject to this subsection 9-5.607 must conform to 3-foot front-yard setbacks, subject to subsection 9-5.607(a)(3) above. (2) ADUs that are subject to this subsection 9-5.607 must conform to 3-foot side- and rear-yard setbacks.
(3) No setback is required for an ADU that is subject to this subsection 9-5.607 if the ADU is constructed in the same location and to the same dimensions as an existing structure.
(d) Lot Coverage. No ADU subject to this subsection 9-5.607 may cause the total lot coverage of the lot to exceed 50%, subject to subsection 9-5.607(a)(3) above. (e) Minimum Open Space. No ADU subject to this subsection 9-5.607 may cause the total percentage of open space of the lot to fall below 50%, subject to subsection 9-
5.607(a)(3) above.
(f) Passageway. No passageway, as defined by subsection 9-5.603(1) above, is required for an ADU.
(g) Parking.
(1) Generally. One off-street parking space is required for each ADU or bedroom, whichever is less. The parking space may be provided in setbackareas or as tandem parking, as defined by subsection 9-5.603(1) above. (2) Exceptions. No parking under subsection 9-5.607(g)(1) is required in the following situations:a. The ADU is located within one-half mile walking distance of public transit, as defined in subsection 9-5.603(k) above.
b. The ADU is located within an architecturally and historically significant historic district.
c. The ADU is part ofthe proposed or existing primary residence or an accessory structure.
d. When on-street parking permits are required but not offered to the occupant ofthe ADU.
e. When there is an established car share vehicle stop located within one block ofthe ADU.
f. When the permit application to create an ADU is submitted with an application to create a new single-family or new multifamilydwelling on the same lot, provided that the ADU or the lot satisfies any other criteria listed in subsections 9-5.607(g)(2)(a) through (e)above. g. When the resident or owner of an ADU does not operate or maintain an autoette pursuant to a valid resident vehicle permit, also referred to interchangeably as an autoette permit, pursuant to AMC Title 4, Chapter 4-4 Traffic, Article 17 Registration of Vehicles. (3) No Replacement. When a garage, carport, covered parking structure, or uncovered parking space is demolished in conjunction with the constructionof an ADU or converted to an ADU, those off-street parking spaces are not required to be replaced.
(h) Architectural Requirements.
(1) The materials and colors ofthe exterior walls, roof and windows and doors must match the appearance and architectural design of those of the primarydwelling. (2) The exterior lighting must be limited to down-lights or as otherwise required by the building or fire code.
(3) The ADU must have an independent exterior entrance, apart from that of the primary dwelling.
(4) The interior horizontal dimensions of an ADU must be at least 10 feet wide in every direction, with a minimum interior wall height of seven feet. (5) Windows and doors of the ADU may not have a direct line of sight to an adjoining residential property. Fencing, landscaping, or privacy glass may be used to provide screening and prevent a direct line of sight. (6) All windows and doors in an ADU less than 30 feet from a property line that is not a public right-of-way line must either be (for windows) clerestorywith the bottom of the glass at least six feet above the finished floor, or (for windows and for doors) utilize frosted or obscure glass. (i) Landscape Requirements. Evergreen landscape screening must be planted and maintained between the ADU and adjacent parcels as follows:
(1) At least one 15-gallon size plant must be provided for every five linear feet of exterior ADU wall. Alternatively, at least one 24” box size plant must be provided for every ten linear feet of exterior ADU wall. (2) Plant specimens must be at least six feet tall when installed. As an alternative, a solid fence of at least six feet in height may be installed. (3) All landscaping must be drought-tolerant.
§ 9-5.608. Fees.
The following requirements apply to all Class 1 ADUs and JADUs and Class 2 ADUs that areapproved under subsections 9-5.605(a) or 9-5.605(b) above. (a) Impact Fees.
(1) No impact fee is required for a JADU or for an ADU that has less than 750 square feet of interior livable space. For purposes of this subsection 9-
5.608(a), “impact fee” means a “fee” under the Mitigation Fee Act (Gov.
Code § 66000(b)) and a fee under the Quimby Act (Gov. Code § 66477).“Impact fee” here does not include any connection fee or capaCity charge for water or sewer service.
(2) A JADU or ADU with less than 500 square feet of interior livable space does not increase assessable space by 500 square feet for purposes ofEducation Code section 17620(a)(1)(C), and is therefore not subject to school fees under Education Code section 17620.
(3) Any impact fee that is required for an ADU that has 750 square feet or more of interior livable space must be charged proportionately in relation to the square footage of the primary dwelling unit. (E.g., the floor area of the ADU, divided by the floor area of the primary dwelling, times the typical fee amount charged for a new dwelling.)
(b) Utility Fees.
(1) If an ADU or JADU is constructed with a new single-family home, a separate utility connection directly between the ADU or JADU and the utility and payment of the normal connection fee and capacity charge for anew dwelling are required. (2) Except as described in subsection 9-5.608(b)(1), JADUs and converted ADUs on a single-family lot that are created under subsection 9-5.605(a)(1) above are not required to have a new or separate utility connection directlybetween the JADU or ADU and the utility. Nor is a connection fee orcapacity charge required. Notwithstanding the rest of this paragraph, adirect utility connection is required for separate conveyance of an ADU when separate conveyance is allowed under this Code.
(3) Except as described in subsection 9-5.608(b)(1), all ADUs that are not covered by subsection 9-5.608(b)(2) require a new, separate utilityconnection directly between the ADU and the utility. a. The connection is subject to a connection fee or capacity charge that is proportionate to the burden created by the ADU based on either the floor area or the number of drainage-fixture units (DFU) values, as defined by the Uniform Plumbing Code, upon the water or sewersystem. b. The portion ofthe fee or charge that is charged by the City may not exceed the reasonable cost of providing this service.
§ 9-5.609. Nonconforming Zoning Code Conditions, Building Code Violations, and Unpermitted Structures.
(a) Generally. The City will not deny an ADU or JADU application due to a nonconforming zoning condition, building code violation, or unpermitted structure on the lot that does not present a threat to the public health and safety and that is not affected by the construction of the ADU or JADU.
(b) Unpermitted ADUs and JADUs constructed before 2020. (1) Permit to Legalize. As required by state law, the City may not deny a permit to legalize an existing but unpermitted ADU or JADU that was constructed before January 1, 2020, if denial is based on either ofthe following grounds:
a. The ADU or JADU violates applicable building standards, or b. The ADU or JADU does not comply with state ADU or JADU law or this ADU ordinance (AMC 9-5.6).
(2) Exceptions:
a. Notwithstanding subsection 9-5.609(b)(1) above, the City may deny a permit to legalize an existing but unpermitted ADU or JADU that was constructed before January 1, 2020, if the City makes a findingthat correcting a violation is necessary to comply with the standards specified in California Health and Safety Code section 17920.3. b. Subsection 9-5.609(b)(1) above does not apply to a building that is deemed to be substandard in accordance with California Health and Safety Code section 17920.3.
§ 9-5.610. Nonconforming ADUs and Discretionary Approval.
Any proposed ADU or JADU that would otherwise be allowed under this section but that does not conform to the objective design or development standards set forth in subsections 9-5.601 through9-5.609 of this section may be allowed by the City with a conditional use permit, in accordance with AMC Chapter 9-8, Article 4.
ATTACHMENT 2
STRIKE-THROUGH AMENDMENT TEXT
ARTICLE 6
Accessory Dwelling Units
§ 9-5.601. Purpose.
The purpose of this section is to allow and regulate accessory dwelling units (ADUs) and junior accessory dwelling units (JADUs) in compliance with Chapter 13 of Division 1 of Title 7 of theCalifornia Government Code. § 9-5.602. Effect of Conforming.
An ADU or JADU that conforms to the standards in this section will not be:
(a) Deemed to be inconsistent with the City’s general plan and zoning designation for the lot on which the ADU or JADU is located.
(b) Deemed to exceed the allowable density for the lot on which the ADU or JADU is located.
(c) Considered in the application of any local ordinance, policy, or program to limit residential growth.
(d) Required to correct a nonconforming zoning condition, as defined in subsection 9.-
5.603 below9-5.603(h below. This does not prevent the City from enforcing compliance with applicable building standards in accordance with Health and Safety Code section 17980.12.
§ 9-5.603. Definitions.
As used in this section, terms are defined as follows:
(a) Accessory dwelling unit or ADU—4eans means an attached or a detached residential dwelling unit that provides complete independent living facilities for one or more persons and is located on a lot with a proposed or existing primary residence. An accessory dwelling unit also includes the following:
(1) (a—An efficiency unit, as defined by section 17958.1 of the California Health and Safety Code; and
(2) b)—A manufactured home, as defined by section 18007 of the California Health and Safety Code.
(b) Accessory structure Means means a structure that is accessory and incidental to a dwelling located on the same lot.
(c) Complete independent living facilities Means means permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single family or multifamily dwelling is or will be situated.
(d) Efficiency kitchen Means means a kitchen that includes all of the following:
(1) a-A cooking facility with appliances.(2) (b)—A food preparation counter and storage cabinets that are of a reasonable size in relation to the size of the JADU.
(e) Junior accessory dwelling unit or JADU Means means a residential unit that satisfies all ofthe following:
(1) fa—It is no more than 500 square feet of interior livable space in size.(2) (b—It is contained entirely within an existing or proposed singlefamily structure. An enclosed use within the residence, such as an attached garage, is considered to be a part of and contained within the single-familystructure.(3) e—It includes its own separate sanitation facilities or sharessanitation facilities with the existing or proposed single-family structure.(4) 4)—If the unit does not include its own separate bathroom, then itcontains an interior entrance to the main living area of the existing or proposed single-family structure in addition to an exterior entrance that is separate from the main entrance to the primary dwelling.(5) e)—It includes an efficiency kitchen, as defined in this—subsectionabove9-5.603(d above. (f) “Livable space” means a space in a dwelling intended for human habitation, including living, sleeping, eating, cooking, or sanitation. (g) Living area-Means means the interior habitable area of a dwelling unit, including basements and attics, but does not include a garage or any accessory structure. (h) Nonconforming zoning condition Means means a physical improvement on a property that does not conform with current zoning standards. (i) Passageway Means means a pathway that is unobstructed clear to the sky and extends from a street to one entrance of the ADU or JADU. (j) Proposed dwelling Means means a dwelling that is the subject of a permit application and that meets the requirements for permitting. (k) Public transit Means means a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportation that charge set fares, run on fixed routes, and are available to the public. Access to the City of Avalon Seaside Transit (COAST) on-demand transit system shall also qualify as public transit for the purposes of this article. 2 (1) Tandem parking Means means that two or more automobiles are parked on a driveway or in any other location on a lot, lined up behind one another. § 9-5.604. Approvals.
The following approvals apply to ADUs and JADUs created under this section:
(a Building permit Only. If an ADU or JADU complies with each of the general requirements
in subsection 9 5.605 below, it is allowed with only a building permit in the following scenarios:
Ministerial ADU and Buildinz Permits Required. Every ADU and JADU requires an ADU permit and a building permit. The City will review and anorovepermit applications in accordance with subsection 9-5.604(c) below. (b) Processinz Fee. The City may char2e a fee to reimburse it for costs incurred in processing ADU permits. including the costs of adopting or amending the City’s ADU ordinance. The ADU-permit orocessin fee is determined by the Director of Community Develooment and anoroved by the City council by resolution. (c) Process and Timing.
(1) Comnleteness.
a. Determination in 15 days. The City will determine whether an anolication to create or serve an ADU or JADU is comolete and will nroyide written notice of the determination to the applicant within 15 business days after the City receives the application submittal. b. Incomniete items. If the City’s determination under subsection 9-
5.604(c)(1)(a) above is that the application is incomplete, the City’s notice must list the incomnlete items and describe how theapplication can be made complete. c. Cure. After receiving a notice that the application is incomplete, the applicant may cure and address the items that were deemed by theCity to be incomplete. d. Subseuuent submittals. If the applicant submits additional information to address incomplete items. within 15 business days of the subseguent submittal the City will determine in writing whetherthe additional information remedies all the incomnlete items that the Cit-v identified in its oriina1 notice. The City may not require the application to include an item that was not included in the orithnalnotice. e. Deemed complete. Ifthe City does not make a timely determination as required by this subsection 9-5.604(c)(1). the application or 3 resubmitted annlication is deemed comolete for the purposes of subsection 9-5.604(c)(3) below.
f. Anneal of incomnieteness. An applicant may appeal the City’s determination that the application is incomplete by submitting a written anneal to the City clerk. The Planning Commission willreview the written appeal and affirm or reverse the completeness determination and provide a final written determination to theapplicant within 60 business days after receipt ofthe appeal. (2) No discretion or hearina. Ministerial permits for an ADU or JADU are considered and approved without discretionary review or a hearing. (3) Deadline to approve or deny ministerial anprovals. The City must approve or deny an application to create an ADU or JADU within 60 daysfrom the date that the City receives a comnlete application. If the City hasnot annroved or denied the comolete application within 60 days. theapplication is deemed anoroved unless either:a. The annlicant reauests a delay, in which case the 60-day time period is tolled for the period of the requested delay, or
b. When an application to create an ADU or JADU is submitted with a permit annlication to create a new sinale-familv or multifamilydwelling on the lot, the City may delay acting on the permitapplication for the ADU or JADU until the City acts on the permitapplication to create the new single-family or multifamily dwelling. but the application to create the ADU or JADU will still be considered ministerially without discretionary review or a hearing. (4) Denial. If the City denies an application to create an ADU or JADU, the City must provide the applicant with comments that include. among other things, a list of all the defective or deficient items and a description of howthe annlication may be remedied by the applicant. Notice ofthe denial and corresponding comments must be provided to the applicant within the 60-day time period established by subsection 9-5.6O4(c(3) above. (5) Anneal of denial. An applicant may anneal the City’s denial of the application by submitting a written appeal to the City clerk. The Planning Commission will review the written appeal and affirm or reverse the denial and provide a final written determination to the anplicant within 60 businessdays after receipt of the appeal. (6) Deadline to annrove or deny CDP. Nothing in state ADU and JADU laws or this code sunersedes or in any way alters or lessens the effect orapplication ofthe California Coastal Act of 1976. excent that:
4 a. If a coastal develooment nermit (CDP is required for the ADU or JADU, a complete CDP application must be included for the ADUor JADU auplication to be comniete: and b. The CDP aDolication must be aooroved or denied within 60 days of receiving the comDlete annlication.
(7) Concurrent review of demolition. A demolition nermit for a detached arae that is to be renlaced with an ADU is reviewed with the anolication for the ADU and issued at the same time.
§ 9-5.605. Classes.
Class 1: Statutorily Regulated. Class 1 ADUs and JADUs are aoDroved underGovernment Code section 66323. If an ADU or JADU comDlies with each of the general requirements in subsection 9-5.606. it is allowed in each of the scenarios nrovided in this subsection 9-5.605(a. An ADU and JADU aonroved under this subsection 9-5.605(a)(fl may be combined with an ADU arnroved under thissubsection 9-5.605(a)(2). and ADUs annroved under this subsection 9-5.605(a)(3) may be combined with ADUs anproved under this subsection 9-5.605(a(4. (1) Converted on Single family Lot with Single-Family: One ADU as described in this subsection 9 5.60’l(a)(l) 9-5.605(a)(1) and one JADU ona lot with a proposed or existing single-family dwelling on it, where the ADU or JADU:
a. Is either: within the space of a proposed single-family dwelling; within the existing space of an existing single-family dwelling; or (in the case of an ADU only) within the existing space of an accessory structure, plus up to 150 additional square feet if theexpansion is limited to accommodating ingress and egress; and b. Has exterior access that is independent of that for the single-family dwelling; and
c. Has side and rear setbacks sufficient for fire and safety, as dictated by applicable building and fire codes.
d. The JADU complies with the requirements of Government Code sections 66333 through 66339.
(2) Limited Detached on Single family Lot with Single-Family: One detached, new-construction ADU on a lot with a proposed or existing single-family dwelling (in addition to any JADU that might otherwise beestablished on the lot under subsection 9 5.60’l(a)(l) above), ifthe detached ADU satisfies each of the following limitations:
a. The side- and rear-yard setbacks are at least three feet. 5 b. The total floor area is 800 square feet of livable space or smaller. c. The peak height above grade does not exceed the applicable height limit in subsection 9 5.605(b)9-5.606(b) below.
(3) Converted on Multifamily Lot with Multifamily: One or more ADUs within portions of existing multifamily dwelling structures that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageways, attics, basements, or garages, if each converted ADU complies with state building standards for dwellings. Under this subsection 9 5.604(a)(3)9-5.605(a)(3), at least one converted ADU is allowed within an existing multifamily dwelling, up to a quantity equal to 25% percent of the existing multifamily dwelling units.
(4) Limited Detached on Multifamily Lot with Multifamily: No more than two detached ADUs on a lot that has an existing orwith a proposedmultifamily dwelling, or un to eitht detached ADUs on a lot with an existina multifamily dwelling, if each detached ADU satisfies bethflll ofthefollowing limitations:a. The side- and rear-yard setbacks are at least three feet. Ifthe existing multifamily dwelling has a rear or side yard setback of less than fourfeet, the City will not require any modification to the multifamilydwelling as a condition of approving the ADU. b. The peak height above grade does not exceed the applicable height limit provided in subsection 9 5.605(b)9-5.606.(b below. c. If the lot has an existing multifamily dwelling. the quantity of detached ADUs does not exceed the number of nrimarv dwellinR units on the lot.
(b) Class 2: Locally Regulated. Class 2 ADUs are approved under Government Code sections 66314—66322. Except for Class 1 ADUs approved under subsection 9-5.605(a above, all ADUs are subiect to the standards set forth in 9-5.606 and 9-5.607 below. (b) ADU Permit.
(1) Except as allowed under subsection 9 5.60(a) above, no ADU may be created without a building permit and an ADU permit in compliance with the standards set forth in subsections 9 5.605 and 9 5.606 below.
(2) The City may charge a fee to reimburse it for costs incuffed in processing ADU permits, including the costs of adopting or amending the City’s ADU ordinance. The ADU permit processing fee is determined by the Director of Community Development and approved by the City Council by resolution. (c) Process and Timing.
6 (1) An ADU permit is considered and approved ministerially, without discretiona’ review or a hearing.
(2) The City must approve or deny an application to create an or JPU within 60 days from the date that the City receives a completed application. If the City has not approved or denied the completed application within 60 days, the application isdeemed approved unless either:
a. The applicant requests a delay, in ‘which case the 60 day time period is tolled for the period ofthe requested delay, or
b. When an application to create an U or JU is submifted with a peit application to create a new single family or multifamily dwelling on the lot, the City may delay acting on the penit application for the ADU or J1U until theCity acts on the peit application to create the new single family or multifamily dwelling, but the application to create the ADU or JADU will stillbe considered ministerially without discretiona’ review or a hearing. f) If the City denies an application to create an 1’VDU or JADU, the City must provide the applicant with comments that include, among other things, a list of all the defective or deficient items and a description of how the application may he remedied by theapplicant. Notice of the denial and corresponding comments must be provided to theapplicant within the 60 day time period established by subsection 9 5.604(c)(2) above. (4) A dpn,nhHnn nrm + fnr n rletnrhed nrne flint ig U’ k0 reolaced nn AflJJ ig ô” reviewed with the application for the ADU and issued at the same time. § 9 5.6059-5.606. General ADU and JADU Requirements.
The following requirements apply to all Class 1 and Class 2 ADUs and JADUs-that under subsections 9 5.601(a) or 9 5.604(b) above:(a) Zoning. (1) AnA Class 1 ADU or JADU subject only to a building permitanoroved under subsection 9 601(a) above9-5.605(a) above may be created on a lot in a residential or mixed-use zone.
(2) AnA Class 2 ADU or JADU subject to an ADU permitapproved under subsection 9 5.604(b) above 9-5.605(e(2 above may be created on a lot that is zoned to allow single-family dwelling residential use or multifamily dwelling residential use.
(3) In accordance with Government Code section 66333(a), a JADU may only be created on a lot zoned for single-family residences. (b) Height.
(1) Except as otherwise provided by subsections 9 5.605(b)(2) and 9
5.605(b)(3)9-5.606(b)(2 and 9-5.606(b(3’) below, a detached ADU created 7 on a lot with an existing or proposed single family or multifamily dwelling unit may not exceed 16 feet in height.
(2) A detached ADU may be up to 18 feet in height if it is created on a lot with an existing or proposed single family or multifamily dwelling unit that islocated within one-half mile walking distance of a major transit stop or a high quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code, and the ADU may be up to two additional feet in height (for a maximum of 20 feet) if necessary to accommodate a roof pitch on the ADU that is aligned with the roof pitch ofthe primary dwelling unit.
(3) A detached ADU created on a lot with an existing or proposed multifamily dwelling that has more than one story above grade may not exceed 18 feetin height. (4) An ADU that is attached to the primary dwelling may not exceed 25 feet in height or the height limitation imposed by the underlying zone that appliesto the primary dwelling, whichever is lower. Notwithstanding the foregoing,ADUs subject to this subsection 9 5.605(b)(1)9-5.606(b(4) may not exceed two stories.
(5) For purposes of this subsection 9 5.605(b)9-5.606(b), height is measured from existing legal grade or the level ofthe lowest floor, whichever is lower, to the peak of the structure.
(c) Fire Sprinklers.
(1) Fire sprinklers are required in an ADU or JADU if sprinklers are required in the primary residence.
(2) The construction of an ADU or JADU does not trigger a requirement for fire sprinklers to be installed in the existing primary dwelling. (d) Rental Term. No ADU or JADU may be rented for a term that is shorter than 30 days. This prohibition applies regardless of when the ADU or JADU was created. (e) No Separate Conveyance. An ADU or JADU may be rented, but, except as otherwise provided in Government Code Section 66341, no ADU or JADU may besold or otherwise conveyed separately from the lot and the primary dwelling (in thecase of a single-family lot) or from the lot and all of the dwellings (in the case of a multifamily lot).
(1) Septic System. Ifthe ADU or JADU will connect to an onsite wastewater-treatment system, the owner must include with the application a percolation test completed within the last five years or, if the percolation test has been recertified, within the last 10 years.
8 (g) Owner Occupancy.
(1) ADUs. ADUs are not subject to an owner-occupancy requirement.(2) JADUs. (1) An ADU that is permitted after January 1, 2020, but before January 1, 2025, is not subject to any owner occupancy requirement.
(2) Unless applicable law requires otherwise, all ADUs that are permifled on or after owner occupancy requirement. A natural person
wmi legal or equitable title to the property must reside on the property as the personslegal domicile and permanent residence. a. —Generallv._As required by state law, a11—JADUs are generally subject to an owner-occupancy requirement. A natural person with legal or equitable title to the property must reside on the property, in either the primary dwelling or JADU, as the personsperson’s legaldomicile and permanent residence. However, the b. Exceptions. The owner-occupancy requirement in this subsection 9-
5.605(g)(3)9-5.6O6()(2) does not apply 4in either of the followingsituations:
W The JADU has separate sanitation facilities (i.e.. does not share sanitation facilities with the existing primary dwelling unit structure.
(II) Iproperty is entirely owned by another governmental agency, land trust, or housing organization.
(h) Deed Restriction. Prior to issuance of a building permit for an ADU orcertificate of occunancv for an JADU, a deed restriction must be recorded against the title of the property in the County Recorder’s office and a copy filed with the Director (or their designee) and filed with the Planning Department. The deed restriction must run with the land and bind all future owners. The form of the deed restriction will beprovided by the City and must provide that:
(1) Except as otherwise provided in Government Code Section 66341, the ADU efihe JADU may not be sold separately from the primary dwelling. (2) The ADU or JADU is restricted to the approved size and to other attributes allowed by this section.
(3) The deed restriction runs with the land and may be enforced against future property owners.
(4) The deed restriction may be removed if the owner eliminates the ADU or JADU, as evidenced by, for example, removal of the kitchen facilities. To 2 remove the deed restriction, an owner may make a written request of the Director, providing evidence that the ADU or JADU has in fact been eliminated. The Director may then determine whether the evidence supports the claim that the ADU or JADU has been eliminated. Appeal may be taken from the Director’s determination consistent with other provisions of this Code. If the ADU or JADU is not entirely physically removed, but is only eliminated by virtue of having a necessary component of an ADU or JADU removed, the remaining structure and improvements must otherwise comply with applicable provisions ofthis Code.
(5) The deed restriction is enforceable by the Director or his or her designee for the benefit of the City. Failure of the property owner to comply with the deed restriction may result in legal action against the property owner, and the City is authorized to obtain any remedy available to it at law or equity, including, but not limited to, obtaining an injunction enjoining the use of the ADU or JADU in violation of the recorded restrictions or abatement of the illegal unit.
(i) Income Reporting. In order to facilitate the City’s obligation to identify adequate sites for housing in accordance with Government Code sections 65583.1 and 66330, the following requirements must be satisfied:
(1) With the building-permit application, the applicant must provide the City with an estimate ofthe projected annualized rent that will be charged for theADU or JADU. (2) Within 90 days after each yearly anniversary ofthe issuance of the building permit, the owner must report the actual rent charged for the ADU or JADU during the prior year. If the City does not receive the report within the 90- day period, the owner is in violation of this Code, and the City may send the owner a notice of violation and allow the owner another 30 days to submit the report. If the owner fails to submit the report within the 30-day period, the City may enforce this provision in accordance with applicable law.
(j) Building & Safety.
(1) Must comply with building code. Subject to subsection 9 5.605(j)(2)9
5.606(i)(2) below, all ADUs and JADUs must comply with all local building code requirements.
(2) No change of occupancy. Construction of an ADU does not constitute a Group R occupancy change under the local building code, as described in Section 310 of the California Building Code, unless the building official orCode Enforcement Officer makes a written finding based on substantial evidence in the record that the construction of the ADU could have a specific, adverse impact on public health and safety. Nothing in this 10 subsection 9 5.605j)(2)9-5.606(i(2 prevents the City from changing the occupancy code of a space that was uninhabitable space or that was only permitted for nonresidential use and was subsequently converted forresidential use in accordance with this section. (k) Certificate of Occupancy Timing.
(1) Generally. No certificate of occuoancv for an ADU or JADU may be issued before the certificate of occupancy is issued for the primary dwelling unit. (2) Limited Excention for State-declared Emerencies. Notwithstanding subsection 9-5.606(k(fl above, a certificate of occunancv for an ADU may be issued before a certificate of occuancv for the primary dwelling if each ofthe followin2 requirements are met:a. The county is subject to a Droclamation of a state of emerencv made by the California Governor on or after February 1. 2025. b. The primary dwelling was substantially damaged or destroyed by an event referenced in the Governor’s state of emerencvproclamation. c. The ADU has been issued construction permits and has gassed all required inspections.
d. The ADU is not attached to the primary dwelling.
§ 9 5.6069-5.607. Specific ADU Requirements.
The following requirements apply only to Class 2 ADUs that require an ADU permitanproved under subsection 9 5.604(b) 9-5.605(b) above. This subsection does not apply to Class 1 ADUs orJADUs approved under subsection 9-5.605(a) above.
Maximum Size.
(I) The maximum size of a detached or attached ADU subject to this subsection 9 5.6069-5.607 is 850 square feet of interior livable space for a studio or one-bedroom unit and 1,000 square feet of interior livable space for a unit with two or more bedrooms.
(2) An attached ADU that is created on a lot with an existing primary dwelling is further limited to 50% of the floor area of the existing primary dwelling. (3) Application of other development standards in this subsection 9 5.6069
5.607, such as FAR or lot coverage, might further limit the size ofthe ADU, but no application of the percent-based size limit in subsection 9—
5.606(a)(2) above9-5.607(a(2 above or of an FAR, front setback, lot 11 coverage limit, or open-space requirement may require the ADU e-behy less than 800 square feet of interior livable space.
(b) Floor Area Ratio (FAR). No ADU subject to this subsection 9 5.6069-5.607 may cause the total FAR of the lot to exceed 45%, subject to subsection 9 5.606(a)(3)above9-5.607(a(3 above. (c) Setbacks.
(1) An ADUADUs that subject to this subsection 9 5.606 9-5.607 must conform to a—3-foot front-yard setbacksetbacks, subject to subsection 9— 5 .606(a)(3) above9-5 .607(a(3) above.
(2) An ADUADUs that isr subject to this subsection 9 5.606 9-5.607 must conform to 3-foot side- and rear-yard setbacks.
(3) No setback is required for an ADU that is subject to this subsection 9 5.606 9-5.607 if the ADU is constructed in the same location and to the same dimensions as an existing structure.
(d) Lot Coverage. No ADU subject to this subsection 9 5.606 9-5.607 may cause the total lot coverage of the lot to exceed 50%, subject to subsection 9 5.606(a)(3) above9-5.607(a(3’) above.
(e) Minimum Open Space. No ADU subject to this subsection 9 5.606 9-5.607 may cause the total percentage of open space of the lot to fall below 50%, subject tosubsection 9 5.606(a)(3) above9-5.607(a(3 above. (f) Passageway. No passageway, as defined by subsection 9 5.603 above9-5.603(i above, is required for an ADU.
(g) Parking.
(1) Generally. One off-street parking space is required for each ADU bedroom, whichever is less. The parking space may be provided in setback areas or as tandem parking, as defined by subsection 9 5.603 above9
5.603(1) above.
(2) Exceptions. No parking under subsection 9 5.606(g)(1) 9-5.607()(1) is required in the following situations:
a. The ADU is located within one-half mile walking distance of public transit, as defined in subsection 9 5.603 above9-5.603(k) above. b. The ADU is located within an architecturally and historically significant historic district.
12 c. The ADU is part ofthe proposed or existing primary residence or an accessory structure under ubsection 9 5.601(a)(l) above. d. When on-street parking permits are required but not offered to the occupant ofthe ADU.
e. When there is an established car share vehicle stop located within one block of the ADU.
f. When the permit application to create an ADU is submitted with an application to create a new single-family or new multifamilydwelling on the same lot, provided that the ADU or the lot satisfiesany other criteria listed in subsections 9 5.606(g)(2)a 2
5.607(u)(2(a through e above(e) above.
g. When the resident or owner of an ADU does not operate or maintain an autoette pursuant to a valid resident vehicle permit, also referred to interchangeably as an autoette permit, pursuant to AMC Title 4, Chapter 4-4 Traffic, Article 17 Registration of Vehicles. (3) No Replacement. When a garage, carport, covered parking structure, or uncovered parking space is demolished in conjunction with the constructionof an ADU or converted to an ADU, those off-street parking spaces are notrequired to be replaced. (h) Architectural Requirements.
(1) The materials and colors of the exterior walls, roof, and windows and doors must match the appearance and architectural design ofthose of the primarydwelling. (2) The exterior lighting must be limited to down-lights or as otherwise required by the building or fire code.
(3) The ADU must have an independent exterior entrance, apart from that of the primary dwelling.
(4) The interior horizontal dimensions of an ADU must be at least 10 feet wide in every direction, with a minimum interior wall height of seven feet. (5) No window or door of the ADU may have a direct line of sight to an adjoining residential property. Each window and door must either belocated where there is no direct line of sight or screened using fencing,landscaping, or privacy glass to prevent a direct line of sight. (6) All windows and doors in an ADU are-less than 30 feet from a property line that is not a public right-of-way line must either be (for windows) clerestory 13 with the bottom of the glass at least six feet above the finished floor, or (for windows and for doors) utilize frosted or obscure glass. (7) The roof slope must match that of the dominant roof slope of the primary dwelling. The dominant roofslope is the slope shared by the largest portionof the roof. (i) Landscape Requirements. Landscaping shall comply with the objective requirements of the underlying zone.
(j) Allowed Stories. No ADU subject to this subsection 9-5.607 may have more than one story, except that an ADU that is attached to the primary dwelling may have the stories allowed under subsection 9-5.606(b)(4).
§ 9 5.6079-5.608. Fees.
The following requirements apply to all Class 1 ADUs and JADUs and Class 2 ADUs that areapproved under subsections 9 5.604(a) or 9 5.604(b) above9-5.605(a) or 9-5.605(b) above.
Impact Fees.(1) No impact fee is required for a JADU or for an ADU that isha less than 750 square feet in sizeof interior livable space. For purposes of this subsection 9 5.607(a), ‘9-5.608(a), “impact fee” means a “fee” under the Mitigation Fee Act (Gov. Code § 66000(b)) and a fee under the QuimbyAct (Gov. Code § 66477). “Impact fee” here does not include any connection fee or capacity charge for water or sewer service.(2) A JADU or ADU with less than 500 square feet of interior livablesoace does not increase assessable stace by 500 square feet for ournoses of Education Code section 17620(a)(l)(C), and is therefore not subject to school fees under Education Code section 17620.(3) 2Any impact fee that is required for an ADU that i.sha 750 square feet or larger in sizemore of interior livable space must be charged proportionately in relation to the square footage of the primary dwelling unit. (E.g., the floor area of the ADU, divided by the floor area of the primary dwelling, times the typical fee amount charged for a new dwelling.) (b) Utility Fees.
(1) If an ADU or JADU is constructed with a new single-family home, a separate utility connection directly between the ADU or JADU and the utility and payment of the normal connection fee and capacity charge for anew dwelling are required. (2) Except as described in subsection 9 5.607(b)(1), 9-5.608(b)(1). JADUs and converted ADUs on a single-family lot that are created under subsection 9- 14 5.607(a)(l)9-5.605(a)(l) above are not required to have a new or separate utility connection directly between the JADU or ADU and the utility. Nor is a connection fee or capacity charge required. Notwithstanding the rest of this nararaph, a direct utility connection is required for senarate conveyance of an ADU when separate conveyance is allowed under thisCode. (3) Except as described in subsection 9 5.607(b)(l)9-5.608(b)(l), all ADUs that are not covered by subsection 9 5.607(b)(2)9-5.608(b(2 require anew, separate utility connection directly between the ADU and the utility for any utility that is provided by the city. All utilities that are not provided by the city are subject to the connection and fee requirements of the utility provider.
a. The connection is subject to a connection fee or capacity charge that is proportionate to the burden created by the ADU based on either the floor area or the number of drainage-fixture units (DFU) values, as defined by the Uniform Plumbing Code, upon the water or sewer system.
b. The portion of the fee or charge that is charged by the City may not exceed the reasonable cost of providing this service.
§ 9 5.6089-5.609. Nonconforming Zoning Code Conditions, Building Code Violations, and Unpermitted Structures.(a) Generally. The 4tyj will not deny an ADU or JADU application due to a nonconforming zoning condition, building code violation, or unpermitted structureon the lot that does not present a threat to the public health and safety and that isnot affected by the construction of the ADU or JADU. (b) Unpermitted ADUs and JADUs constructed before 2020. (1) Permit to Legalize. As required by state law, the €4tyjty may not deny a permit to legalize an existing but unpermitted ADU or JADU that was constructed before January 1, 2O-l-822fl, if denial is based on either of thefollowing grounds:a. The ADU or JADU violates applicable building standards, or b. The ADU or JADU does not comply with the-state ADU or JADU law (Government Codc cction 65852.2) or this ADU ordinance(AMC 9-5.6). (2) Exceptions:
a. Notwithstanding subsection 9 5.608(b)(l) above9-5.609(b(1’) above, the City may deny a permit to legalize an existing but 15 unpermitted ADU or JADU that was constructed before January 1, 2020, if the City makes a finding that correcting a violation is necessary to comply with the standards specified in CaliforniaHealth and Safety Code section 17920.3. b. Subsection 9 5.608(b)(1) above9-5.609(b)(1) above does not apply to a building that is deemed to be substandard in accordance with California Health and Safety Code section 17920.3.
§ 9 5.6099-5.610. Nonconforming ADUs and Discretionary Approval.
Any proposed ADU or JADU that would otherwise be allowed under this section butihLdoes not conform to the objective design or development standards set forth in subsections 9 5.6019-5.601 through 9 5.6089-5.609 of this section may be allowed by the City with a conditional use permit, in accordance with the-AMC Chanter 9-8. Article 4 other provisions of this title. 16 Summary report:
Litera Compare for Word 11.10.1.2 Document comparison done on 1/29/2026 1:18:33 PM
Style name: Default Style
Intelligent Table Comparison: Active
Original filename: Avalon -ADU Code (existing).docx
Modified DMS: iw://bbklaw-mobility. imanage.workliManage/44627 154/1Changes:
Acki 377
Delete 195Move From 0
Move To 0
Table Insert 0Table Delete 0Table moves to 0Table moves from 0 Embedded Graphics (Visio, ChemDraw, Images etc.) 0Embedded Excel 0Format changes 0Total Changes: 572 ATTACHMENT 3
PLANNING COMMISSION STAFF REPORT AND RESOLUTION NO. PC 26-10
CITY OF AVALON PLANNING COMMISSION
MEETING DATE: May 20, 2026 AGENDA ITEM: _____________ PREPARED BY: Kelly Ribuffo, Contract Planner APP TYPE(S): ZTA SUBJECT: A Public Hearing and consideration of a resolution recommending approval to the City Council of zoning text amendments to Chapter 9-5, Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code, implementing housing program 14 as set forth in the 6 Cycle General PlanHousing Element and Adoption of Exemption Findings Under the CaliforniaEnvironmental Quality Act SUMMARY: A Public Hearing and consideration of a resolution recommending approval to the City Council of zoning text amendments to Chapter 9-5, Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code, implementing housing Program 14 as set forth in the 6thCycle General Plan Housing Element. The proposed project is exempt from environmental review under Public Resources Code § 21080.17.RECOMMENDED ACTION(S):
1. Conduct a public hearing.
2. Find that the adoption of the proposed ordinance is statutorily exempt from review under the California Environmental Quality Act (CEQA) under Public Resources Code § 21080.17.
3. Adopt Resolution No. PC 26-10, recommending to the Avalon City Council adoption of a Resolution approving zoning text amendments to Chapter 9-5, Article 6 (AccessoryDwelling Units) of Title 9 of the Avalon Municipal Code.
AUTHORIZING GUIDELINES: AMC Section 9-1.106 authorizes the Planning Commission to review and take action on recommendations to the City Council on amendments to Title 9 of the Avalon Municipal code, pursuant to Title 7 of the Government Code (Planning Law).
BACKGROUND: On September 20, 2022, the City Council adopted the 2021 -2029/6th Cycle General Plan Housing Element. The Housing Element is a state-mandated section of theGeneral Plan which identifies the housing needs, opportunities, and constraints in the City of Avalon. The Housing Plan section of the Housing Element further sets forth the City’s goals, policies and programs to address Avalon’s identified housing needs, including production of 27 new housing units as allocated by the Southern California Association of Governments (SCAG)Regional Housing Needs Assessment (RHNA) for the 6th review cycle.
The Housing Plan contains 26 programs adopted to implement the goals and policies of the Housing Element. Some programs require one-time code amendments, while others have ongoing review schedules that require monitoring legislative actions and regular updates to the Avalon Municipal Code (AMC). Over the next several months, the Planning and Building Department will bring forth a series of code amendments for consideration to implement all of
the housing programs to ensure the City continues to be compliant with State law. The amendments proposed at this time are intended to address the requirements of Program #14 (Accessory Dwelling Units).
DISCUSSION AND RECOMMENDATIONS: Accessory dwelling units (ADU5) and junior accessory dwelling units (JADUs) help meet the City’s housing needs for all income levelsand also provide a housing resource for seniors and low- and moderate-income households throughout the entire community. In accordance with State law, accessory units (also known as second units or granny flats) are allowed by right in all residential zones within the City.Chapter 9-5, Article 6, Accessory Dwelling Units, provides specific development standardsand processing requirements for ADUs.
Program #14 requires that the City continue to amend the ordinance based on future changes to State law and work with the California Department of Housing and Community Development (HCD) to ensure continued compliance with State law. The City will also continue to monitor the extent of ADU production to ensure that the ordinance modificationsare successful and that the Housing Element goals can be met.
SB 543, AB 1154, and AB 46, adopted in 2025, are the most recent legislative acts thatinclude multiple updates to State ADU law which clarify the development requirements for ADUs. Below is a summary of the substantive amendments proposed to comply with current State law requirements:
• Update Government Code and Health and Safety Code legal references throughout.• Remove the “building-permit only” processing option. All ADUs and JADUs now require approval of a ministerial ADU permit and building permits. (Section 9-5.604.a) • Identify the Planning Commission as the review authority of appeals of determinations made by staff regarding the completeness and/or denial of ADU permit applications. (Section 9-5.604.c.1 .f and 9-5.604.c.5) • Clarify that ADU permits are not exempt from compliance with the Coastal Development Permit (CDP) review process. If required, CDP applications must be approved or denied with 60 days of an ADU permit application being deemedcomplete. (Section 9-5.604.c.6). The ability to appeal a CDP for an ADU to theCoastal Commission has also been eliminated by state law. • Establish two classes of ADUs depending on the governing State laws applicable to their processing and clarify the number of detached ADUs permitted on a lot with proposed multi-family development. (Section 9-5.605)
o Class I ADUs and JADUs are approved under Government Code section 66323. The Class 1 category allows for the creation of ADU5 on lots in a residential or mixed use zone and JADUs on lots zoned for single-familyresidences subject to certain applicable standards, as specified by state law. • On a lot with a single-family use, up to one attached ADU, one detached ADU, and one JADU may be constructed.
Page3of6
• On a lot with an existing multi-family use (two or more units), one or more ADUs may be created within portions of existing multifamily dwelling structures that are not used as livable space (such as storage rooms, garages, etc.) up to a quantity equal to 25% of the existing multi-familydwelling units. • On a lot with a proposed multi-family use (two or more units),up to two detached ADUs may be constructed.
• On a lot with an existing multi-family use (two or more units), up to eight detached ADUs may be constructed, with the quantity not to exceed the number of existing primary dwelling units on the lot.
o Class 2 ADUs are approved pursuant to Government Code sections 66314 through 66322. The Class 2 category is subject to other local object development standards (e.g. size, FAR, lot coverage, minimum open space, and others). • Update the owner-occupancy requirements for JADUs. (Section 9-5.606.g.2) JADU5 that do not share sanitation facilities with the primary dwelling unit structure may potentially be exempt for the owner-occupancy requirement. • Clarify timing for issuance of a certificate of occupancy (COO) for ADUs and JADUs in relationship to the COO for a primary dwelling unit. (Section 9-5.606.k) • Clarify that ADUs and JADUs under 500 square feet of interior living area are not subject to school fees under Education Code section 17620. (Section 9-5.608.a.2) • Clarify that a direct utility connection is required for separate conveyance of an ADU when separate conveyance is allowed by code. (Section 9-5.608.b.2) Complete amendment language is included in the draft ordinance attached to the proposed resolution (Attachment 1) and strike-through amendment text (Attachment 2). It is the opinion of staff that the proposed amendments comply with existing State law concerning ADUs and fully implements Program #14 of the 6th Cycle Housing Element.
GENERAL PLAN, LAND USE, AND ZONING COMPLIANCE:
Compliant pursuant to Government Code section 66314(c). The proposed amendments to the AMC are consistent with the City’s General Plan because they will implement Program #14 of the City’s 2021-2029 6th Cycle General Plan Housing Element, and the proposed amendments implement Policy 11-9 of the Land Use Element, which provides for infill of the City Center area and increasing the intensity of development on vacant and underutilized properties, in lieu of outward development, where appropriate
ENVIRONMENTAL DETERMINATION: Under California Public Resources Code section 21080.17, CEQA does not apply to the adoption of an ordinance by a city or county implementing the provisions of Chapter 13 of Division I of Title 7 of the California Government Code, which is California’s ADU law. Therefore, the proposed ordinance is statutorily exempt from CEQA in that the proposed ordinance implements state ADU law.
Page4of6
ADVERTISING, NOTICE AND PUBLIC CONTACT: On April 10, 2026, the Hearing Notice was published in Catalina Islander. The notice was posted on the City website and in two additionallocations on the same date.
ATTACHMENTS:
1. Draft Resolution No. PC 26-10
2. Strike-through Amendment Text
ATTACHMENT I
DRAFT RESOLUTION NO. PC 26-10
RESOLUTION NO. 26-10
A RESOLUTION OF THE PLANNING COMMISSION OFTHE CITY OF AVALON RECOMMENDING TO THE CITY
COUNCIL APPROVAL OF AMENDMENTS TO CHAPTER
9-5 RESIDENTIAL ZONES, ARTICLE 6 “ACCESSORY
DWELLING UNITS” OF TITLE 9 OF THE AVALONMUNICIPAL CODE AND FINDING THE ACTION TO BE
STATUTORILY EXEMPT FROM CEQA UNDER PUBLIC
RESOURCES CODE § 21080.17
WHEREAS, pursuant to the authority granted to the City of Avalon (“City”) by Article XI, Section 7 of the California Constitution, the City has the police power to regulate the use of land and property within the City in a manner designated to promote public convenience and general prosperity, as well as public health, welfare, and safety; and WHEREAS, the Planning Commission has authority per Avalon Municipal Code (AMC) Section 9-1.106 to review and take action on recommendations to amend municipal code regulations; and
WHEREAS, the City of Avalon is committed to implementation of the housing programs adopted as part of the 2021-2029 6th Cycle General Plan Housing Element, including Program #14(Accessory Dwelling Units); and WHEREAS, the Planning Commission reviewed the proposed Ordinance, attached as Exhibit A, and the effects and demands of such regulations and other development on the City’s resources; and
WHEREAS, on May 20, 2026, the Planning Commission held a duly-noticed public hearing, at which time written and oral evidence was considered regarding the proposed amendments to the development regulations for accessory dwelling units within residential zonesof the City; and WHEREAS, the Planning Commission finds that the proposed Ordinance is consistent with the City’s General Plan because the proposed amendments to the AMC will implementProgram #14 of the City’s 2021-2029 6th Cycle General Plan Housing Element, and the proposed amendments implement Policy 11-9 of the Land Use Element, which provides for infill of the CityCenter area and increasing the intensity of development on vacant and underutilized properties, in lieu of outward development, where appropriate; and
WHEREAS, the Planning Commission has considered the staff report, supporting documents, public testimony, and all pertinent information submitted; and WHEREAS, all other legal pre-requisites for the consideration of the proposed municipal code regulations by the Planning Commission have occurred.
NOW THEREFORE, THE PLANNING COMMISSION OF THE CITY OF
AVALON DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. Incorporation of Recitals. The Planning Commission hereby finds that the foregoing recitals are true and correct and are incorporated herein as substantive findings.
Section 2. CEQA Exemptions. The Planning Commission recommends that the City Council find that, under California Public Resources Code section 21080.17, the California Environmental Quality Act (“CEQA”) does not apply to the adoption of an ordinance by a city or countyimplementing the provisions of Chapter 13 of Division 1 of Title 7 of the California GovernmentCode, which is California’s ADU law. Therefore, adoption ofthe proposed Ordinance is statutorily exempt from CEQA in that it implements state ADU law.Section 3. General Plan. The Planning Commission hereby finds that the adoption of theOrdinance is consistent with the General Plan as a matter of law under Government Code section66314(c).Section 4. Code Amendment. The Planning Commission hereby recommends that the CityCouncil adopt the proposed ordinance amending amending Article 6 of Chapter 9-5 of Title 9 of the Avalon Municipal Code to read as proposed in Exhibit A, entitled “Article 6 - AccessoryDwelling Units”.
Section 5. Severability. If any section, subsection, subdivision, sentence, clause, or phrase of this Ordinance, or any part thereof is for any reason held to be unconstitutional, void, or invalid, such decisions shall not affect the validity of the remaining portion of this Resolution or any part thereof. The Planning Commission hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase thereof’ irrespective ofthe fact that any one or more section, subsection, subdivision, paragraph, sentence, clause, or phrase bedeclared unconstitutional, void, or invalid.
Section 5. Effective Date. This Resolution takes effect immediately upon adoption.
BE IT FURTHER RESOLVED that a copy of this Resolution be delivered to the City of Avalon City Clerk for transmittal to the City of Avalon City Council.PASSED, APPROVED AND ADOPTED this 20th day of May, 2026.
Chair Kathlene Smith
ATTEST:
Dave M. Maistros, City Manager
CERTIFICATE:
I, Donna Terpinitz-Romo, hereby certify that the foregoing Resolution 26-10 was adopted by the Planning Commission of the City of Avalon at a special meeting held on the 2O day ofMay 2026, by the following vote, to witAYES:
NOES:
ABSENT:ABSTAIN:
Donna Terpinitz-Romo, Senior Administrative Assistant
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM: 7
ORIGINATING DEP: Fire CITY MANAGER: 1MM
PREPARED BY: Michael Alegria, Fire Chief
SUBJECT: Repair and Maintenance of City of Avalon Fire Engine 7 RECOMMENDED ACTION(S): 1. Amend the Fiscal Year 2025-26 Budget, adding an additional $75,000 to account #10245-6781 to support the rehabilitation of the City-owned Fire Engine 7.2. Ratify prior action and authorize an additional expenditure of an amount not-to-exceed $75,000 to Performance Truck Repair, a sole source vendor, for the rehabilitation of the Cityowned Fire Engine 7 for a total repair of $96,192.72.
REPORT SUMMARY: On March 3, 2026, City Council authorized repairs and maintenance for an amount not-to-exceed $30,000 for essential repairs to Fire Engine 7.
Engine 7 was driven from the Avalon Freight Services in San Pedro to Azusa CA. While driving the vehicle to the maintenance center, multiple alarms and lights came on in the cab. The vehicle was initially scheduled to have its pump repaired. However, once the pump was removed, mechanics were unable to get the same exact pump replaced. Mechanics had to modify almost every component for the new pump to be installed.
As the vehicle was already at the mechanic, City Staff determined there was an economic advantage to completing all work necessary to make Engine 7 safe to operate and pass required regulatory testing.
It took them 230 hours of labor to mock-up the new pump assembly from Waterous, the new pump sits an inch higher due to the new plates. They also had to mark and weld new holes for the pump on the pump panel and intakes, install the new tank to pump and the pipe in the watertank that had multiple holes in it, installed a new primer, the old one was missing pieces, installed new flappers, pipes, gaskets etc. Additional work includes installation of a new auxiliary inlet on the diver’s side, and a new radiator.
To meet its financial obligations, City Staff recommends the City Council amend the Fiscal Year2025-26 Budget, adding an additional $75,000 to account #10245-6781 to support the rehabilitation of the City-owned Fire Engine 7. City Staff also recommends the City Council ratifyprior action and authorize an additional expenditure of an amount not-to-exceed $75,000 to Performance Truck Repair, for a total repair of $96,192.72.FISCAL IMPACTS: Vehicle Repairs and Maintenance is outlined En the Fiscal Year 2025-26Budget fund 10245-6781.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City budget would not accurately reflect the repair costs.FOLLOW UP ACTION: Implement City Council direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.ATTACHMENTS: Performance Truck repair invoices and quote.
Invoice
PERFORMANCE TRUCK REPAIR INC.
892 W. 10th st.
Azusa, Ca 91702
Phone # (626) 664-0995
(626)664-0995 INFO@PTR ORP.COM
Bill To
Avalon Fire Department420 Avalon Canyon Rd
Avalon, Ca 90704
P.O. NUMEER I PR #
Date Invoice #
6/30/2026 20181
Vehicle #
E-7
Quantity Description Rate Amount
VEHICLE: 01 HME
yiN. 44KFT42801W219632-Discharge #3 -one new discharge cap safety chain installed. Number threedischarge leaking at vacuum test so we removed and rebuilt discharge valve. -Discharge #2 - removed rebuilt and reinstalled valve-Passenger auxiliary inlet- pipe and valve was rotted. Assembled new piping and set correct angles for correct ‘valve location, Installed new pipe and torque to spec. Fabricated new brackct. Removed rebuilt and reinstalled passenger side in valve.
-Rear suction - clean and install salve, valve actuator bracket s’e relocated and fabricated. Tested actuator, use two new bolts to mount valve, new intake adapter required to be threaded into the adapter.
-tank till/rear discharge number four plumbing - pipes were rotted and requiredreplacing in length due to updated discharge manifold and new pump height.Reassemble new pipes and set proper angles. Both valves were rebuilt with valve rebuild kits. Tank fill line from valve to tank was replaced because it was cracked and assembled new pipe. Rear discharge number four pipe from valve to rear line in pump. Housing had to be extended assembled new pipe and set angles
-passenger intake relief- old pipes were rotted new pipes installed, Set angles, and replaced intake relief valve-pump panels - two new 6 inch intake covers were fabricated as well as theoriginal pump panels were modified to fit new intake height, and all new haniware was installed-pump #DATA plate - new installed new pump, data plate and hardware -pump panel detail - pump panels polished and painted
-replaced deluge and rear discharge pressure fittings-replaced valve body drain fittings at discharge 1,2,3.4, rear discharge,passenger and driver aux inlet all new drain fittings -OPM - installed new display, installed thermal switch, new purge check valveand wired display.
Sales Tax (1075%) Signature
Total
Payments/Credits
Balance Due
Ship To
Invoice
PERFORMANCE TRUCK REPAIR INC.
892 W. 10th st.
Bill To
Avalon Fire Department
420 Avalon Canyon Rd
Avalon, Ca 90704
I [email protected]
Sales Tax (10.75%) $0.00Total so.oo
Payments/Credits $0.00
Balance Due
Azusa, Ca 91702
Phone # (626) 664-0995
(626)664-0995
Date Invoice #
6/30/2026 20181
Ship To
P.O. NUMBER 1 PR# Vehicle #
E-7
Quantity Description Rate Amount
-performed vacuum test-while during pump test the vehicle overheated-removed and replaced water pump, thermostat and water pump belt SignaWre
Clients choosing to pay
L
by credit card will incur a 3% merchant processing fee. No fee applies to ACH, check, or cash payments.Terms are net 10th. Delinquent accounts are subject to a service charge of 1 5% per month,pursuant to California code. If it becomes necessaryto file suit for the collection of any I_I.. ft-.,. _5...11 3.. ..1 l.. c:..
Invoice
PERFORMANCE TRUCK REPAIR INC.
892 W. 10th st.
Azusa, Ca 91702
Date Invoice #
6/30/2026 20172
Phone # (626) 664-0995
(626)664-0995 [email protected]
Bill To
Avalon Fire Department
420 Avalon Canyon Rd
Avalon, Ca 90704
Quantity Description Rate Amount
VEHICLE: 01 HME
yIN. 44KFT42801W2 19632
I 3865-lA OPM PANEL ASSEMBLY CM/CS 1.64570 l,645.70T 2 2904-lA ANODEASSEMBLY FLO 2-1/2 IN. 4 BOLT 698.90 1,397.80T 8 1195 GASKET 3.10 24.80T 16 1218 GASKET 2.90 46.40T 15 7564 0-RING 1.15 17.25T 1 710 PILOT VALVE REPAIR KIT 301.60 301.601 1 5141 DRAIN VALVE REPAIR KIT 26.10 26.IOT 1 1000 PNEUMATIC SHIFT REPAIR KIT 118.95 1 18.95T 1 700578 3” VALVE KIT 565.54 565.541 6 3325X8X4 NIPPLE FITTING 5.24 31 .44T 4 5404-12-08 NIPPLE FITTING 10.00 40.001 4 3325X6X4 NIPPLE FITF[NG 8.15 32.601 4 3325X4NIPPLEFITTING 4.12 16.48T 2 3325X12 X 8 NIPPLE FITTING 22.00 44.001 5 3325X6NIPPLE FITTING 5.55 27.75T 5 5406-P-04 PLUG 2.16 l0.80T 2 I872X4X4S PUSH CONNECT FITTING 20.00 40.OOT 1 1869X8X8S PUSH CONNECT FITTING 25.67 25.67T 1 5404-04-04 NIPPLE FITTING 2.97 2.97T 1 3700X4 TEE FITTING 12.00 12.OOT I 5406-HP-08 PLUG 4.79 4,791 4 1869X12X12S SWIVEL FITTING 57.00 228.001 3 I868X8X8 PUSH CONNECT FITTING 16.00 48.OOT 9 1869X4X4S PUSH CONNECT FITTING 21.00 189.001 2 1869X4S PUSH CONNECT FITTING 15.00 30.OOT 2 1869X6S PUSH CONNECT FITTING 17.61 35.22T I 1868X4X4 PUSH CONNECT FITTING 8.34 8.34T 25 FT. I0004BK TUBING 2.09 52.251 25 FT. 1000513K TUBING 2.48 62.OOT Signature
Sales Tax (10.75%)
Total
Payments/Credits
Balance Due
Ship To
P.O. NUMBER PR# Vehicle#
E-7
Invoice
PERFORMANCE TRUCK REPAIR INC.
892 W. 10th St.
Azusa, Ca 91702
Date Invoice #
6/30/2026 20172
Phone # (626) 664-0995
(626664-0995
Bill To
Avalon Fire Department
420 Avalon Canyon Rd
Avalon, Ca 90704
E-7
Quantity Description Rate Amount
I 1469X12 90 FITTING 49.50 49.50T
I I697RADIATORCAP 11.00 hOOT
1 3/8” X 2’ NIPPLE Hfl1NG 9.53 9,53T 1 9022 TENSIONER 254.00 254.OOT I 10399 WATER PUMP 412.53 412.531I REBUILT CHARGE AIR COOLER AND PRESSURE TESI’ 375.00 375.00 2 7402 2.5’ VAL\’E KIT 250.84 501 .68T
1 80685 BELT 126.00 126.OOT
1 84903 THERMOSTAT 121.88 121 .88T1 4905 SENSOR 37.70 37.70T 2 9464 AUTO DRAJN VALVE 60.00 120.OOT
1 6650 INTAKE RELIEF VALVE 1,283.25 I.283.25T
I 3’ X 6” GALV NIPPLE 30.48 30.48T
5 G902F 2.S” GALV 90 ELBOW 59.45 297.251
I 2F04 2.5” X 4 GALV NTPPLE 62.34 62.34T
1 GT2F2.5” (IALVTEEFITTLNG 91.38 91.38T
1 452F 2.5’ GALV 45 ELBOW 95.53 95.53T
I 2F062.5’X6.5”GALVNTPPLE 46.23 46.23T
I 2F4F 2.5’ X 4.5” GALV NIPPLE 76.70 76.70T
1 2F5F 2.5’ X 5.5’ GALV NTPPLE 72.77 72.77TI 2F062.5” X6” GALVNIPPLE 75.40 75.401 I 2F3F 2.5” X 3.5” GALV NIPPLE 69.45 69.451
2 5YM04 CHECK VALVE 98.60 197.201
1 881309 2.5” HOSE 34.50 34.50T
I 2.5” FEMALE NH FITTING 130.00 130.001
1 45823 GROOVED CRLMPED FITTING 174.00 174.0011 45822 2,5” FEMAI.E CRIMPED FIYfING 145.00 145.OOT I 3 FT. BLACK STEEL PIPE 43.91 43.9IT
I 3I2I24SDEGREEFITTING 210.29 210.29T 1 14G2’X4’STEEL 132.00 132.OOT I 4029E FLOWMATIC 62.35 62.351
Signature
Sales Tax (10.75%)
Total
Payments/Credits
Balance Due
I [email protected]
Ship To
P.O. NUMBER L PR # Vehicle #
Invoice
PERFORMANCE TRUCK REPAIR INC.
892W. l0thst.
Azusa, Ca 91702
L Date invoice 4
6/30/2026 20172
[email protected]
Bill To
Avalon Fire Department
420 Avalon Canyon Rd
Avalon, Ca 90704
Vehicle #
Quantity Description Rate Amount
1 4503 3 STD 45 WELD ELL, IMPORT 25.00 25.001 1 9003 3 STD LIR 90 WELD ELL, IMPORT 42.53 42.53T I DISCHARGECAPCHAIN 11.00 hOOT 1 8906 2.5’ VALVE REBUILT KIT 211.78 211.78T 2 6 INTAKE GASKETS 16.00 32.OOT I DIESEL FUEL FOR VEHICLE 200.00 200.001 I HARDWARE, SHOP SUPPLIES, BRAKE KLEEN, ZiP ‘liES, WIRE, 612.00 6l2.OOT WIRE LOOM, WIRE CONNECTORS AND MISC. 1 TIAZMAT 65.00 65.00 I LAPTOP DIAGNOSTIC SOFTWARE CHARGE 70.00 70.00 1 FREIGHT 636.15 636.15 230 HOURS LABOR TO PERFORM THE FOLLOWING: 175.00 40,250.00 -Mock up new pump assembly from Waterous - Remove both intakes and intake adapters. Install pump into vehicle, connect intake, adapters, install intakes and tank to pump valves. Set geometry of pump, new pump has updated mounting design and sits 1 inch higher due to new mountain plates. Mark mounting holes for pump, remove intakes, tank to pump and pump. Weld original mounting holes and drill new mounting holes. -Pump install - install pump into truek, mount intake adapters to pump with new gaskets and torque to spec. Mount pump to truck with new hardware and torque to spec. Install bolt intakes with new gaskets and torque to spec. -update anode kit on both intakes-Tank to pump - tank to pump pipe in water tank had multiple holes. Remove and replace pipe. Tank to pump valve was installed but was leaking. Took valve back out, rebuilt, 3 inch vale and reinstalled valve. Installed new tank to pump flapper and bushes
-Bullet primer - upon inspection of bullet primer, small spring that applies button, not present, ordered new spring, and installed bullet primer. Connected electrical and plumbing to bullet primer. -Auxiliary inlet driver side - install new pipe that came with the pump and Signature Sales Tax (10.75%)
Total
Payments/CreditsBalance Due
Phone # (626) 664-0995
(626)664-0995
Ship To
P.O. NUMBER1 PR#
E-7
Invoice
PERFORMANCE TRUCK REPAIR TNC.
892 W. 10th St.
Azusa, Ca 91702
Date Invoice #
6/30/2026 20172
Phone # (626) 664-0995(626)664-0995
Bitt To
Avalon Fire Department
420 Avalon Canyon Rd
Avalon, Ca 90704
E-7
Quantity Description Rate Amount
replaced 0-ring and torque to spec. Rebuilt valve before installing with 2 1/2 i inch kit. Installed auxiliary inlet pump panel cover, installed auxiliary inlet capI and ball bearings. Installed auxiliary inlet valve drain fitting and replaced three-quarter inch pipe to three-quarter inch tube 900 fining -Passenger discliaige manifold - install installed new passenger side, discharge manifold and gasket and torque to spec
-Driverside discharge manifold - install installed old discharge manifold and new gasket. Prior to install we cleared and cleaned out all debris out of manifold.
-Foam discharge manifold -disassembled manifold, cleaned all large debris from pipes, put back together with all new gaskets and installed to passenger side, discharge manifold with new gaskets and torque to spec. Installed New i fittings for foam manitold and check valves. -Center discharge cover - remove from old pump, clean and install with new gaskets and torque to spec
-Deluge turret - install deluge pipe with new gaskets and torque to spec.
Deluge valves, upper trunion rotted away. Installed new 3 inch valve and body.
Installed turret to valve. Deluge valve brace bracket too short, we manufactured new bracket, and installed bracket
-Preeonnect Manifold - we cut off manifold, mounting bracket and relocated bracket to fit new intake design install installed manifold with new 0-rmg and Torque to spec
I -Pump Transmission actuator - actuator had oil in a sealed air chamber. We removed actuator and installed new 0-ring kit and installed on pump Trans with new gaskets
-Pump trans install - reinstall pump, Trans, pump primer and dry lines -Master drain - instailed new master drain reseal kit and replaced all new pump drain fittings as well as air tubes
-Installed all new fitting onto the top of the pump
-Pump cooler - installed with all new fittings
-Discharge Il - installed and adjusted linkage
Signature
Sales Tax (10.75%)
Total
Payments/CreditsBalance Due
I [email protected]
Ship To
P.O. NUMBER PR# Vehicle #
Invoice
PERFORMANCE TRUCK REPAIR INC.
892W. l0thst.
Azusa, Ca 91702
L Date Invoice #
6/30/2026 2O172_j
Phone # (626) 664-0995
(626)664-0995
Bill To
Avalon Fire Department
420 Avalon Canyon Rd
Avalon, Ca 90704
P.O. NUMBER
[email protected]
PR# Vehicle #
E-7
Quantity Description Rate Amount
-Front pre-coimect - installed front pre-connect pipe from foam discharge manifold and replaced with all new pipe and replaced vitolic clamps-Discharge relief valve - installed one new pipe at discharge manifold, installed one new pipe at intake, the length of the pipes bad to be changed due to the updated discharge manituild. All discharge relief hoses were replaced.
Discharge relief pilot valve was rebuilt with a new seal and oring kit. Installed discharge relief valve and pilot alse and wired it to the Waterous specs. -Preconnecta. - reconnect one and two valves were rebuilt, two new automatic drain valves were installed due to both of them being plugged and leaking -Drain valves - four new fittings instatled tbr driver side suction drain. passenger side suction drain, valve number two drain and valve number three drain
-Rear suction air release drain - install installed new fittings Sales Tax (10.75%) — Signature
Total
Payments/CreditsBalance Due
Ship To
Invoice
PERFORMANCE TRUCK REPAIR INC.
892W. l0thst.
Azusa, Ca 91702
Date Invoice #
6/30/2026 20172
Phone # (626) 664-0995
(626)664-0995
Bill To
Avalon Fire Department
420 Avalon Canyon Rd
Avalon, Ca 90704
P.O. NUMBER
[email protected]
PR# Vehicle #
E-7
Quantity Description Rate Amount
Signature Sales Tax (10.75%)
Total
$1,203.31
$53,793.07
Payments/Credits $00O
Balance Due $53,793.07
Ship To
Clients choosing to pay by credit card will incur a 3% merchant processing fee. No fee applies to ACH, check, or cash payments.
Terms arc net 10th. Delinquent accounts are subject to a service charge of 1.5% per month. pursuant to California code. If it becomes necessaryto file suit for the collection of any c.,... ,.k..1I T. i,.. .1... k...... c;...,.,.,....
PERFORMANCE TRUCK REPAIR
892 W. 10th St.
Azusa, Ca 91702
Phone # (626)664-0995
INFO(PTRCORP.COM
Name / Address Ship To
Avalon Fire Department
420 Avalon Canyon RdAvalon, Ca 90704
PR#
I•i A
Dale Estimate
7/15/2026 4946
Vehicle #
—
Description Qty Rate Total
VEHICLE: 01’HME
UNIT: E-7
yIN. 44KFT42801W219632
136032 RE-CORED RADIATOR 1 9,787.00 9,787.OOT
16 HOURS LABOR TO REMOVE RADIATOR AND RE-INSTALL 16 175.00 2,80000
RE-CORED RADIATOR
*THERE MAY BE ADDITIONAL PARTS ANDOR LABOR 0.00 0.00
NEEDED TO COMPLETE JOB, WE WILL NOTIFY YOU OF
THIS IF THIS BECOMES NECESSARY
Subtotal 512.58700
Sales Tax (10.75%) $1,052.10
Total $13,639.10
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM: 8
ORIGINATING DEP: Administration CITY MANAGER: TMM
PREPARED BY: Devin Hart, Senior Management Analyst
Robert Greenlaw, P.E., City Engineer
SUBJECT: Ovivo Screen Lease Extension
RECOMMENDED ACTION(S): Authorize the City Manager, or his designee, to extend alease agreement with Ovivo for a Micro Ozzy Cup Screen for an additional three-month period, for a not-to-exceed sum of $40,000.
REPORT SUMMARY: On December 18, 2025 a failure occurred on a force main at the City of Avalon’s Wastewater Treatment Plant (MAJTP). City personnel, working cooperatively with the City’s WWTP contractor PERCWater (PERC), were able tostabilize the force main and install a temporary bypass.
However, while City personnel were working to make permanent repairs at the MNTP headworks — the initial stage of the wastewater treatment process where raw sewage enters the system — a second failure occurred when a structural beam that supportscritical equipment collapsed resulting in the headworks grit screen falling into the grit tank.
This cascade of unfortunate events led to the decision to take the headworks out of operation and deploy a leased piece of equipment to perform the process.
Avalon Municipal Code (AMC) Section 4-2.05 designates the City Manager as the Director of Emergency Services and grants him the authority to request the City Council proclaim the existence of a “local emergency”.
Due to the significance of the headworks and the scope of necessary repairs, the City Manager made the finding that an emergency exists and, under his emergency authority, authorized a lease with Ovivo for an Ovivo Micro Ozzy Cup Screen.
The City anticipated leasing the screen for an approximate 2 to 3-month period for a notto-exceed sum of $55,000. The not-to-exceed sum included the rental rate as well as anticipated mobilization, demobilization, installation and freight fees. During the time the leased screen is in service, the City and PERC will determine if the screen is an appropriate long-term replacement, and the City may ultimately purchase the screen fromOvivo — pending City Council approval.On February 2, 2026, the City Council ratified prior action taken by the City Manager including approval of the lease agreement.
While the leased screen has been in place, PERC and other City contractors have worked to make significant repairs to the WWTP grit chamber. These repairs are scheduled to be completed in the next 60 days. At that time, the City and PERC will make a determinationif they should keep the Ovivo Micro Ozzy Cup Screen, or return it. If the City team determines the screen should be kept, their recommendation will come to the City Council for their consideration and approval.
FISCAL IMPACTS: These contracted services will be allocated to Fiscal Year 2026-27 Capital Improvement Program — Major Sewer Projects CIP #205012, Fund #10850-6521.
GOAL ALIGNMENT: Vital infrastructure.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City Manager will not have authority to procure equipment for necessary repairs to the WWTP.FOLLOW UP ACTION: City Staff will work to determine additional scope.
ADVERTISING, NOTICE AND PUBLIC CONTACT: The item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS: None.
CITY OF AVALON CITY COUNCIL
MEETING DATE: July 28, 2026 AGENDA ITEM: 9
ORIGINATING DEP: Public Works CITY MANAGER: MM
PREPARED BY: Jackeline Cordero, Public Works Director
SUBJECT: Award of Construction Contract — Wastewater Treatment Plant Lab Roof Modification and Casino Showers andRestrooms Roof Remediation RECOMMENDED ACTION(S): Authorize the City Manager or his designee to negotiate and execute a contract with Best Contracting Services, Inc. for the Wastewater Treatment Plant Lab Roof Modification of $145,000 and Casino Showers & Restrooms RoofRemediation of $125,000 for a total project contract amount not-to-exceed $270,000 as budgeted in the City’s Fiscal Year 2026-2027 Capital Improvement Plan, Project No. 275004 and No. 277001. The following funding accounts will be used 11325-6552 (Saltwater Fund $58,000), 10825-6521 (Sewer Fund $87,000), and 10470-6679 (HarborFund $145,000).
REPORT SUMMARY: The City-owned roofs at the Wastewater Treatment Plant (WWTP)Laboratory and the Casino Showers and Restroom Building have reached the end of theiruseful service lives and have experienced ongoing deterioration due to age and continuous exposure to the harsh coastal marine environment. The deteriorated roofing systems have resulted in water intrusion, increasing maintenance costs, and the potential for damage to City facilities and equipment.
To address these deficiencies, the City prepared plans and specifications and solicitedformal competitive bids in accordance with Avalon Municipal Code Section 3-4.106. The project includes removal of the existing roofing systems and installation of new roofing systems, together with related repairs and improvements necessary to provide long-term protection of both facilities. The project was publicly advertised, and bids were due on Friday, June 19, 2026. One responsive bid was received from Best Contracting Services, Inc.
CONTRACTOR BASE BID
Best Contracting Services, Inc. $21 1 400.00
Staff have reviewed the bid package submitted by Best Contracting Services, Inc. and determined the bid is responsive and the contractor possesses the qualifications, licensing, and experience necessary to successfully complete the project. Although only one bid was received, Staff believe the bid is fair and reasonable given the specialized nature of roofing work on Catalina Island, prevailing wage requirements, mobilization costs associated with transporting labor and materials to the island, and current construction market conditions. Construction is anticipated to begin following contract execution and procurement of materials, with completion for both projects expected in Fall 2026. Time is of the essence to mobilize and complete this project before the winter storm season begins, since it is predicted to be a Super El Nino. The project timeline for construction is 60 days from the notice to proceed. Staff recommends awarding theconstruction contract to Best Contracting Services, Inc.
FISCAL IMPACTS: Wastewater Treatment Plant Lab Roof Modification of $145,000 and Casino Showers & Restrooms Roof Remediation of $125,000 for a total project contractamount not-to-exceed $270,000 as budgeted in the City’s Fiscal Year 2026-2027 Capital Improvement Plan, Project No. 275004 and No. 277001. The following funding accounts will be used 11325-6552 (Saltwater Fund $58,000), 10825-6521 (Sewer Fund $87,000), and 10470-6679 (Harbor Fund $145,000).GOAL ALIGNMENT: Supports the City’s strategic goal of maintaining reliable public infrastructure and ensuring continued regulatory compliance by protecting critical public facilities.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City will notcontract with a qualified firm to repair recurring roof leaks at the WWTP Lab and Casino Showers and Restrooms.
FOLLOW UP ACTION: Implementation of City Council direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT: The item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS: Draft Contract Template
CITYOFAVALON
SHORT FORM CONSTRUCTION CONTRACT
[***INSERT PROJECT NAME9
1. PARTIES AND DATE.
This Contract is made and entered into this [***INSERT DAY***] day of [***INSERT MONTH***], [***INSERT YEAR***] by and between the City of Avalon, a municipal corporation organized under the laws of the State of California with its principal place of business at 410 Avalon Canyon Road, Avalon, California 90704 (“City”) and [***INSERT NAME***], a [***INSERT
TYPE OF ENTITY - CORPORATION, PARTNERSHIP, SOLE PROPRIETORSHIP OR OTHER LEGAL ENTITY***J with its principal place of business at [***INSERT ADDRESS***] (“Contractor”). City and Contractor are sometimes individually referred to as “Party” and collectively as “Parties” in this Contract.2. REcITALs.
2.1 City is a public agency organized under the laws of the State of California, with power to contract for services necessary to achieve its purpose.
2.2 Contractor. Contractor desires to perform and assume responsibility for the provision of certain construction services required by the City on the terms and conditions set forth in this Contract. Contractor represents that it is duly licensed and experienced in providing [***INSERT DESCRIPTION OF PROJECT WORK***] related construction services to public clients, that it and its employees or subcontractors have all necessary licenses and permits toperform the services in the State of California, and that it is familiar with the plans of City. The following license classifications are required for this Project: [***INSERT LICENSE CLASSIFICATIONS***]
2.3 Proiect. City desires to engage Contractor to render such services for the [***INSERT PROJECT NAME***] (Project”) as set forth in this Contract.
2.4 Proiect Documents & Certifications. Contractor has obtained, and delivers concurrently herewith, [***INSERT APPLICABLE PERFORMANCE BOND, PAYMENT BOND, INSURANCE DOCUMENTS AND OTHER CERTIFICATIONS] as required by the Contract.
3. TERMS
3.1 Compensation and Payment.
3.1.1 Amount of Comrensation. As consideration for performance of the Work required herein, City agrees to pay Contractor the Total Contract Price of [INSERT WRITTEN DOLLAR AMOUNT]Dollars ($[INSERT NUMERICAL DOLLAR AMOUNT] .00) (Total Contract Price”) provided that such amount shall be subject to adjustment pursuant to theapplicable terms of this Contract or written change orders approved and signed in advance by the City.
3.1.2 Payment of Compensation. If the Work is scheduled for completion in thirty (30) or less calendar days, City will arrange for payment of the Total Contract Price upon 650900044113124.1
completion and approval by City of the Work. If the Work is scheduled for completion in more than thirty (30) calendar days, City will pay Contractor on a monthly basis as provided for herein.
On or before the fifth (5th) day of each month, Contractor shall submit to the City an itemizedapplication for payment in the format supplied by the City indicating the amount of Work completed since commencement of the Work or since the last progress payment. These applications shall be supported by evidence which is required by this Contract and such other documentation as the City may require. The Contractor shall certify that the Work for which payment is requested has been done and that the materials listed are stored where indicated. Contractor may berequired to furnish a detailed schedule of values upon request of the City and in such detail and form as the City shall request, showing the quantities, unit prices, overhead, profit, and all other expenses involved in order to provide a basis for determining the amount of progress payments.
3.1.3 Prompt Payment. City shall review and pay all progress payment requests in accordance with the provisions set forth in Section 20104.50 of the California PublicContract Code. However, no progress payments will be made for Work not completed inaccordance with this Contract. Contractor shall comply with all applicable laws, rules andregulations relating to the proper payment of its employees, subcontractors, suppliers or others.
3.1.4 Contract Retentions. If this Contract is greater than Five Thousand dollars ($5,000), from each approved progress estimate, five percent (5%) will be deducted and retained by the City, and the remainder will be paid to Contractor. All Contract retention shall bereleased and paid to Contractor and subcontractors pursuant to California Public Contract Code Section 7107.
3.1.5 Other Retentions. In addition to Contract retentions, the City may deduct from each progress payment an amount necessary to protect City from loss because of:
(1) liquidated damages which have accrued as of the date of the application for payment; (2) any sums expended by the City in performing any of Contractor’s obligations under the Contract which Contractor has failed to perform or has performed inadequately; (3) defective Work not remedied;(4) stop notices as allowed by state law; (5) reasonable doubt that the Work can be completed for the unpaid balance of the Total Contract Price or within the scheduled completion date; (6) unsatisfactory prosecution of the Work by Contractor; (7) unauthorized deviations from theContract; (8) failure of Contractor to maintain or submit on a timely basis proper and sufficient documentation as required by the Contract or by City during the prosecution of the Work; (9)erroneous or false estimates by Contractor of the value of the Work performed; (10) any sums representing expenses, losses, or damages as determined by the City, incurred by the City for which Contractor is liable under the Contract; and (11) any other sums which the City is entitledto recover from Contractor under the terms of the Contract or pursuant to state law, including Section 1727 of the California Labor Code. The failure by the City to deduct any of these sums from a progress payment shall not constitute a waiver of the City’s right to such sums.
3.1.6 Substitutions for Contract Retentions. Pursuant to California Public Contract Code section 22300, Contractor may substitute securities for any money withheld by theCity to ensure the performance under the Contract. At the request and expense of Contractor, securities equivalent to the amount withheld shall be deposited with the City, with the State or a federally chartered bank as the escrow agent, who shall return such securities to Contractor upon satisfactory completion of the Contract. Deposit of securities with an escrow agent shall be subject to a written agreement between the escrow agent and the City, which provides that no portion of the securities shall be paid to Contractor until the City has certified to the escrow agent,in writing, that the Contract has been satisfactorily completed. The City shall certify that the Contract has been satisfactorily completed within sixty (60) days of work “completion” as defined 2 6509.00044113124.1
in Section 7107(c) of the California Public Contract Code. Securities eligible for investment under this section shall be limited to those listed in Section 16430 of the Government Code, bank or savings & loan certificates of deposit, interest-bearing demand deposit accounts, stand-by lettersof credit, or any other security mutually agreed to by Contractor.
3.1 .7 Payment to Subcontractors. Contractor shall pay all subcontractors for and on account of work performed by such subcontractors in accordance with the terms of their respective subcontracts and as provided for in Section 7108.5 of the California Business and Professions Code. Such payments to subcontractors shall be based on the measurements and estimates made and progress payments provided to Contractor pursuant to this Contract.
3.1.8 Title to Work. As security for partial, progress, or other payments, title to Work for which such payments are made shall pass to the City at the time of payment. To the extent that title has not previously been vested in the City by reason of payments, full title shall pass to the City at delivery of the Work at the destination and time specified in this Contract. Such transferred title shall in each case be good, free and clear from any and all security interests, liens, or other encumbrances. Contractor promises and agrees that it will not pledge, hypothecate, or otherwise encumber the items in any manner that would result in any lien, securityinterest, charge, or claim upon or against said items. Such transfer of title shall not implyacceptance by the City, nor relieve Contractor from the responsibility to strictly comply with the Contract, and shall not relieve Contractor of responsibility for any loss of or damage to items.
3.1.9 Labor and Material Releases. Contractor shall furnish City with labor and material releases from all subcontractors performing work on, or furnishing materials for, the Work governed by this Contract prior to final payment by City.
3.2 Incorporation of Documents. This Contract includes and hereby incorporates in full by reference the following documents, including all exhibits, drawings, specifications and documents therein, and attachments and addenda thereto: [***INSERT ADDITIONAL DOCUMENT OR REMOVE DOCUMENT LISTED IF NOT APPLICABLE TO THIS CONTRACT] • Services/Schedule (Exhibit “A”)
• Plans and Specifications (Exhibit “B”)• Special Conditions (Exhibit “C”) • Contractor’s Certificate Regarding Workers’ Compensation (Exhibit “D”)• Public Works Contractor Registration Certification (Exhibit “E”)• Payment and Performance Bonds (Exhibit “F”)• Fleet Compliance Certification. (Exhibit “G”) • Federal Requirements (Exhibit “H”)
• Addenda
• Change Orders executed by the City• [**INSERT EDITION**] Edition of the Standard Specifications for Public Works Construction (The Greenbook), Excluding Sections 1-9 • Notice Inviting Bids, if any• Instructions to Bidders, if any• Contractor’s Bid To the extent there is a conflict between any portions of this Contract, the order of precedence shall be as follows: change orders, special conditions, technical specifications, plans/construction 3 65059 00000\441 13124.1
drawings, general contract terms, scope of work, standard plans, advertisements for bid/proposals, bids/proposals or other documents submitted by Contractor.
3.3 Contractor’s Basic Obligation; Scope of Work.
3.3.1 Scope of Work. Contractor promises and agrees, at its own cost and expense, to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately complete the Project, including all structuresand facilities necessary for the Project or described in the Contract (hereinafter sometimesreferred to as the “Work”), for a Total Contract Price as specified pursuant to this Contract. All Work shall be subject to, and performed in accordance with the above referenced documents, aswell as the exhibits attached hereto and incorporated herein by reference. The plans and specifications for the Work are further described in Exhibit “B” attached hereto and incorporated herein by this reference. Special Conditions, if any, relating to the Work are described inExhibit “C” attached hereto and incorporated herein by this reference.
3.3.2 Change in Scope of Work. Any change in the scope of the Work, method of performance, nature of materials or price thereof, or any other matter materiallyaffecting the performance or nature of the Work shall not be paid for or accepted unless suchchange, addition or deletion is approved in advance and in writing by a valid change order executed by the City.
3.3.3 Change Orders and Time Extensions.
3.3.3.1 Change Orders. All changes to the Contract, including compensation increases and time extensions, shall be through a written Change Order inaccordance with this Article. The City, without invalidating the Contract, may order changes in the Work consisting of additions, deletions or other revisions, and Contractor’s compensation and thetime for completion shall be adjusted accordingly. Whenever any change is made as providedfor herein, such change shall be considered and treated as though originally included in the Contract, and shall be subject to all terms, conditions, and provisions of the original Contract.Contractor shall not be entitled to claim or bring suit for damages, whether for loss of profits orotherwise, on account of any decrease or omission of any item or portion of Work to be done. No dispute, disagreement, or failure of the parties to reach agreement on the terms of the Change Order shall relieve the Contractor from the obligation to proceed with performance of the Work,including Additional Work, promptly and expeditiously. Any alterations, extensions of time, Additional Work, or any other changes may be made without securing consent of the Contractor’s surety or sureties.
3.3.3.2 City Directive. The City may direct changes in the Work by delivering a written directive. To the extent the work directive results in a change to compensation or time, Contractor must timely request a Change Order and comply with all Change Order procedures in accordance with this Article. Notwithstanding issuance of a work directive, Contractor’s failure to timely request a Change Order shall constitute a waiver by Contractor ofany adjustment to compensation or time extension for Work performed under the directive. TheCity shall not be liable to Contractor for Work performed or omitted by Contractor in reliance on verbal orders.
3.3.3.3 Contractor’s Notice of Change/Delay. If Contractor intends to initiate a Change Order Request, then Contractor shall provide the City with written notice of the 4 6509.00044113124.1
underlying facts and circumstances that gave rise to the proposed change within the following times:
(A) If due to unknown subsurface or latent physical conditions, within three (3) days from the discovery date or prior to the alterations of the conditions, whichever is earlier.
(B) If due to a Force Majeure Event, as soon as reasonably practicable under the conditions, which shall be no longer than three (3) days from the date the Contractor discovers that the Force Majeure Event gives rise to a change, unless that the conditions are such that notice within three (3) days is not possible or practicable.
(C) If due to any other matter that may involve an adjustment to the Contract Time or the Contract Price, within seven (7) Days from the discovery date.
To be considered valid and complete, the notice of change/delay shall include ageneral statement of the circumstances giving rise to the notice of change/delay and a reasonable order of magnitude estimate of the additional costs and/or time.
If the circumstances give rise to both a cost adjustment and time extension, Contractor shall submit the notice of change and notice of delay concurrently.
3.3.3.4 Request for Change in Compensation and/or Extension of Tiin. Contractor shall submit a Change Order Request for any adjustment to Contractor’s compensation and/or any extension of time. The Change Order Request shall be made prior to incurring any expense and within fourteen (14) Days from either Contractor’s notice of change/delay or the City’s directive ordering the change. For any costs or information that cannotbe determined at the time Contractor submits the Change Order Request, Contractor shall submit to the City notice of the costs or information and all supporting documentation within five (5) Days of when the costs or other information become subject to determination. The Change Order Request shall include all of the following information (unless inapplicable to the change):
(A) A detailed description of the circumstances giving rise to the request;(B) A complete itemized cost proposal, including itemized pricing for first tier Subcontractors;
(C) Supporting documentation for all costs;(D) A time impact analysis showing the impact of the delay to the critical path to completion;
(E) If any added costs or information cannot be determined at the time of the Change Order Request, the reason the costs or information cannot be determined at the time; and
(F) Certification to the accuracy of the Change Order Request under penalty of perjury.
The time impact analysis shall be in the critical path method format and shall show the sequencing of all critical and non-critical new activities and/or activity revisions 5 650.004113124.1
affected by the delay, with logic ties to all affected existing activities noted on the schedule. The City may demand, and Contractor shall provide, any additional information supporting the Change Order Request, including but not limited tonative electronic format version of schedules and time impact analyses. Contractor shall provide the requested additional information within five (5) Days of the request.
3.3.3.5 City’s Final Decision on Change Order; Ordered Changes, If the City denies the Change Order Request or disagrees with the proposal submitted by Contractor, it will notify the Contractor, and the City will provide its opinion of the appropriate priceand/or time extension. If no agreement can be reached, the City shall have the right to order the Work performed on a time and materials basis or to issue a unilateral Change Order setting forth the City’s determination of the reasonable additions or savings in costs and time attributable tothe extra or deleted work. The City shall also have the right to order changes in the Work to be performed promptly by the Contractor on a time and materials basis or to issue a unilateral Change Order setting forth the City’s determination of the reasonable additions or savings in costsand time attributable to the extra or deleted work. The City’s determination shall become finaland binding if the Contractor fails to submit a claim in writing in accordance with Article 9.2 to theCity within fourteen (14) Days of the issuance of the unilateral Change Order, disputing the termsof the unilateral Change Order and providing such supporting documentation for its position as the City may reasonably require.
3.3.3.6 Contractor’s Waiver of Further Relief.
(A) Contractor recognizes and acknowledges that timely submission of a formal written notice of change/delay and Change Order Request, whether or not the circumstances of the change may be known to the City oravailable to the City through other means, is not a mere formality but is ofcrucial importance to the ability of the City to promptly identify, prioritize,evaluate and mitigate the potential effects of changes. Any form of informal notice, whether verbal or written (including, without limitation, statements in requests for information, statements in Submittals,statements at any job meeting or entries on monthly reports, daily logs or job meeting minutes), that does not strictly comply with the formal requirements of this Article, shall accordingly be insufficient. (B) CONTRACTOR’S FAILURE TO PROVIDE A COMPLETE AND TIMELY
NOTICE OF CHANGE/DELAY AND/OR CHANGE ORDER REQUEST,
OR TO COMPLY WITH ANY OTHER REQUIREMENT OF THIS
ARTICLE, SHALL CONSTITUTE A WAIVER BY CONTRACTOR OF THE
RIGHT TO A CONTRACT ADJUSTMENT ON ACCOUNT OF SUCH
CIRCUMSTANCES AND A WAIVER OF ANY RIGHT TO FURTHER
RECOURSE OR RECOVERY BY REASON OF OR RELATED TO SUCH
CHANGE BY MEANS OF THE CLAIMS DISPUTE RESOLUTION
PROCESS OR BY ANY OTHER LEGAL PROCESS OTHERWISEPROVIDED FOR UNDER APPLICABLE LAWS.
3.3.3.7 Change Order Format. A Change Order signed by the Contractor indicates the Contractor’s agreement therewith, including any adjustment incompensation or extension of time, and the full and final settlement of all costs (direct, indirectand overhead) related to the Work authorized by the Change Order. The City may designate the 6 6509.00044113124.1
forms to be used for notices, requests, and Change Orders. If so designated, Contractor may only use such forms. Contractor shall not reserve a right to assert impact costs, extended job sitecosts, extended overhead, constructive acceleration and/or actual acceleration beyond what is stated in the Change Order. No Claims shall be allowed for impact, extended overhead costs,constructive acceleration and/or actual acceleration due to a multiplicity of changes and/or clarifications. The Contractor may not change or modify the City’s Change Order form in anattempt to reserve additional rights.
3.3.3.8 Determining Adjustments to Compensation.
(A) Limitation on Costs. Contractor shall not be entitled to any compensation for Work subject to a Change Order except as expressly set forth in this Article. The mark-up added in instances of Additional Work shall constitute the entire amount of profit, any mark-ups, any field or home office overhead costs, including personnel, equipment or office space, anymaterials, or any costs of equipment idle time for such Work. (B) Unit Price Change Orders.
(1) When the actual quantity of a Unit Price Work item varies from the Bid Schedule, compensation for the change in quantity will be calculated by multiplying the actual quantity by the unit price. This calculation may result in either an additive or deductive ChangeOrder. Bid items included on the Bid Schedule may be deducted from the Work in their entirety without any negotiated extra costs.
Because Unit Price Work includes overhead and profit as determined by Contractor at the time of its Bid submission, no mark up or deduction for overhead and profit will be allowed.
(2) The City or Contractor may initiate a Change Order or Change Order Request to adjust the Contract Price in accordance with ContractorDocuments based on actual quantities of Unit Price Work. The City or Contractor may make a claim for an adjustment in the Unit Pricein accordance with the Contract Documents if: (1) the quantity of any item of Unit Price Work performed by Contractor differs by twentyfive percent (25%) or more from the estimated quantity of such itemindicated in the Contract; (2) there is no corresponding adjustment with respect to any other item of Work; and (3) Contractor believes that Contractor is entitled to an increase in unit price as a result of having incurred additional expense or the City believes that the City is entitled to a decrease in unit price and the parties are unable to agree as to the amount of any such increase or decrease. (C) Lump Sum Change Orders. Whenever possible, any changes affecting compensation shall be in a lump sum mutually agreed by the Contractorand the City. (D) Time and Materials Change Orders. The City may direct the Contractor to proceed with the Additional Work with payment to be made on the basis of actual cost of the labor and materials required to complete the Additional Work. If the Project is federally funded, a time and materials Change 7 6509.0004413124.1
Order shall only be issued after a determination that no other Change Order is suitable and the Change Order shall include a ceiling price that the Contractor exceeds at its own risk.
(E) Federally Funded Proiects. For any change in price to the Contract, general and administrative expenses shall be negotiated and must conform to the cost principles set forth under at 2 C.F.R. Part 200, subpartE, and profit shall be negotiated as a separate element of the cost. To establish a fair and reasonable profit, consideration must be given to thecomplexity of the Additional Work to be performed, the risk borne by theContractor, the Contractor’s investment, the amount of subcontracting, the quality of its record of past performance, and industry profit rates in thesurrounding geographical area for similar work. (F) Allowed Costs. Estimates for lump sum quotations and accounting for time-and-material work shall be limited to direct expenditures necessitated specifically by the change and shall be segregated as follows:
(1) Labor. The costs of labor will be the actual cost for wages prevailing locally for each craft or type of worker at the time the work is done,plus employer payments of payroll taxes and insurance, health and welfare, pension, vacation, apprenticeship funds, and other direct costs resulting from federal, state or local laws, as well asassessment or benefits required by lawful collective bargainingagreements. The use of a labor classification which would increase the cost will not be permitted unless the Contractor establishes the necessity for such additional costs. Labor costs for equipment operators and helpers shall be reported only when such costs are not included in the invoice for equipment rental. Estimated labor hours must only include hours for those workmen and working foremen directly involved in performing the change order work. Supervision above the level of working foremen (such as general foremen, superintendent, project manager, etc.) is considered to be included in the markup percentages as outlined below. Note that no separate allowances for warranty expense will be allowed as a direct cost of achange order. Costs attributed to warranty expenses will beconsidered to be covered by the markup. Labor burden allowable inChange Orders shall be defined as employer’s net actual cost of payroll taxes (FICA, Medicare, SUTA, FUTA), net actual cost for employer’s cost of union benefits (or other usual and customary fringe benefits if the employees are not union employees), and net actual cost to employer for worker’s compensation insurance taking into consideration adjustments for experience modifiers, premium discounts, dividends, rebates, expense constants, assigned risk poolcosts, net cost reductions due to policies with deductibles for selfinsured losses, assigned risk rebates, etc. Contractor shall reduce their standard payroll tax percentages to properly reflect the effective cost reduction due to the estimated impact of the annual maximum wages subject to payroll taxes. An estimated percentage for labor burden may be used for pricing change orders. However, thepercentage used for labor burden to price Change Orders will be 8 65059.00000\44 113124.1
examined at the conclusion of the Project and an adjustment to the approved Change Orders will be processed if it is determined that theactual labor burden percentage should have been more or less than the estimated percentage used.
(2) Materials. The cost of materials reported shall be at the lowest current price at which such materials are locally available in thequantities involved, plus sales tax, freight and delivery. Materialscosts shall be based upon Supplier or manufacturer’s invoice. (3) Tool and Equipment Use. Regardless of ownership, the rates to be used in determining equipment use shall not exceed listed rates prevailing locally at equipment rental agencies, or distributors, at the time the work is performed. The Contractor shall furnish cost data supporting the establishment of the rental rate. The rental rate to beapplied for use of each items of equipment shall be the rate resulting in the least total cost to the City for the total period of use. The City shall make the final determination as to an equitable rental rate for the equipment. No payment will be made for the use of small tools,which have a replacement value of $1,000 or less. The rental timeto be paid for equipment shall be the time the equipment is in productive operation on the Additional Work being performed. Rental time will not be allowed while equipment is inoperative due to breakdowns. All equipment shall, in the opinion of the City, be in good working condition and suitable for the purpose for which theequipment is to be used. Equipment with no direct power unit shall be powered by a unit of at least the minimum rating recommended by the manufacturer. Before construction equipment is used on any Additional Work, the Contractor shall plainly stencil or stamp an identifying number thereon at a conspicuous location, and shall furnish to the City, in duplicate, a description of the equipment and its identifying number. When hourly rates are listed, any part of an hour less than 30 minutes of operation shall be considered to be 1/2- hour of operation, and any part of an hour greater than 30 minutes will be considered one hour of operation. When daily rates are listed, any part of a day less than 4 hours operation shall be considered tobe 1/2-day of operation. (C) Allowed Mark-up. The allowed mark-up for any and all overhead (including supervision and home and field office costs) and profit on workadded to the Contract shall be determined in accordance with the followingprovisions:
(1) “Net Cost” is defined as the actual costs of labor, materials and tools and equipment only, excluding overhead and profit. The costs ofapplicable insurance and bond premium will be reimbursed to theContractor and Subcontractors at cost only, without mark-up.Contractor shall provide the City with documentation of the costs, including but not limited to payroll records, invoices, and such otherinformation as the City may reasonably request. 9 650900044113124.1
(2) For Work performed by the Contractor’s forces the allowed mark-up shall not exceed fifteen (15%) percent of labor costs, ten percent (10%) of material costs, and ten percent (10%) of the cost of tools and equipment use.
(3) For Work performed by a Subcontractor, the added cost for overhead and profit shall not exceed fifteen percent (15%) of the Subcontractor’s Net Cost of the Work to which the Contractor mayadd up to five percent (5%) of the Subcontractor’s Net Cost. (4) For Work performed by a sub-subcontractor, the added cost for overhead and profit shall not exceed fifteen percent (1 5%) of the subsubcontractor’s Net Cost for Work to which the Subcontractor andContractor may each add up to an additional five percent (5%) of the Net Cost of the lower tier subcontractor.
(5) No additional mark-up will be allowed for lower tier subcontractors, and in no case shall the added cost for overhead and profit payable by the City exceed twenty-five percent (25%) of the Net Cost as defined herein, of the party that performs the Work.
(H) Documentation of Time-and-Material Costs.
(1) T&M Daily Sheets. Contractor must submit timesheets, materials invoices, records of equipment hours, and records of rental equipment hours to the City’s for an approval signature each day that Work is performed on a time-and-material basis. The Engineer’s signature on time sheets only serves as verification that the Workwas performed and is not indicative of the City’s agreement to Contractor’s entitlement to the cost.
(2) T&M Summary Sheet. Contractor shall submit a T&M Summary Sheet, which shall include total actual costs, within five (5) Days following completion of Additional Work on a time-and-material basis.
Contractor’s total actual cost shall be presented in a summary tablein an electronic spreadsheet file by labor, material, equipment, and any other costs, along with documentation supporting the costs.
Contractor’s failure to submit the T&M Summary Sheet within five (5) Days of completion of the Additional Work will result in Contractor’s waiver for any reimbursement of any costs associated with the Additional Work.
(I) Excluded Costs. The following costs or any other home or field office overhead costs, all of which are to be considered administrative costs covered by the Contractor’s mark-up, shall not be allowed costs and shallnot be included in any lump sum proposals or time-and-materials invoices:
(1) Overhead Cost. Payroll costs and other compensation of Contractor’s officers, executives, principals, general managers, engineers, architects, estimators, attorneys, auditors, accountants, purchasing and contracting agents, timekeepers, clerks, and other 10 65059.00000\441 13124.1
personnel employed by Contractor whether at the Site or in Contractor’s principal office or any branch office, material yard, or shop for general administration of the Work;
(2) Office Expenses. Expenses of Contractor’s principal and branch offices;
(3) Capital Expenses. Any part of Contractor’s capital expenses, including interest on Contractor’s capital employed for the Additional Work and charges against Contractor for delinquent payments; (4) Negligence. Costs due to the negligence of Contractor or any Subcontractor or Supplier, or anyone directly or indirectly employedby any of them or for whose acts any of them may be liable, including without limitation the correction of Defective Work, disposal of materials or equipment wrongly supplied, and making good any damage to property;
(5) Small Tools. Cost of small tools valued at less than $1000 and that remain the property of Contractor;
(6) Administrative Costs. Costs associated with the preparation of Change Orders (whether or not ultimately authorized), costestimates, or the preparation or filing of Claims; (7) Anticipated Lost Profits. Expenses of Contractor associated with anticipated lost profits or lost revenues, lost income or earnings, lost interest on earnings, or unpaid retention;
(8) Home Office Overhead. Costs derived from the computation of a home office overhead” rate by application of the Eichleay, Allegheny, burden fluctuation, or other similar methods; (9) Special Consultants and Aftorneys. Costs of special consultants or attorneys, whether or not in the direct employ of Contractor, employed for services specifically related to the resolution of a Claim,dispute, or other matter arising out of or relating to the performance of the Additional Work.
(10) Other. Other overhead or general expense costs of any kind and the cost of any item not specifically and expressly included in theContract Documents; including but not limited to: submittals, drawings, field drawings, shop drawings, including submissions ofdrawings; field inspection; general superintendence; computer services; reproduction services; salaries of project engineer,superintendent, timekeeper, storekeeper, and secretaries; janitorialservices; small tools, incidentals and consumables; temporary onsite facilities (offices, telephones, high speed internet access, plumbing, electrical power, lighting; platforms, fencing, water):
surveying; estimating; protection of work: handling and disposal fees; 11 65090004413124.1
final cleanup; other incidental work; related warranties; insurance and bond premiums.
3.3.4 Procedure for Resolving Claims.
3.3.4.1 Prerequisites. Contractor shall timely comply with any and all requirement of the Contract Documents pertaining to notices and requests for changes to the Contract Time or Contract Price, including but not limited to all requirements of Article 9.1, as aprerequisite to filing any claim governed by this Article. The failure to timely submit a notice of delay or notice of change, or to timely request a change to the time for completion or Contractor’scompensation, or to timely provide any other notice or request required herein shall constitute a waiver of the right to further pursue the claim under the Contract or at law.
3.3.4.2 Intent. Effective January 1, 1991, Section 20104 et seq., of the California Public Contract Code prescribes a process utilizing informal conferences, non-binding judicial supervised mediation, and judicial arbitration to resolve disputes on construction claims of $375,000 or less. Effective January 1, 2017, Section 9204 of the Public Contract Code prescribes a process for negotiation and mediation to resolve disputes on construction claims.
The intent of this Article is to implement Sections 20104 et seq. and Section 9204 of the California Public Contract Code. This Article shall be construed to be consistent with all applicable law, including but not limited to these statutes.
3.3.4.3 Claims. For purposes of this Article, “Claim” means a separate demand by the Contractor for:
(A) An adjustment to the time for completion including, without limitation, for relief from damages or penalties for delay assessed by the City; (B) Payment by the City of money or damages arising from Work done by or on behalf of the Contractor pursuant to the Contract, payment for which isnot otherwise expressly provided or to which the Contractor is not otherwise entitled; or
(C) An amount the payment of which is disputed by the City.
A “Claim” does not include any demand for payment for which the Contractor has failed to provide notice, request a Change Order, or otherwise failed to follow any procedures contained in the Contract Documents.
3.3.4.4 Filing Claims. Claims governed by this Article may not be filed unless and until the Contractor completes any and all requirements of the Contract Documentspertaining to notices and requests for changes to the Contract Time or Contract Price, and Contractor’s request for a change has been denied in whole or in part. Claims governed by this Article must be filed no later than thirty (30) Days after a request for change has been denied inwhole or in part or after any other event giving rise to the Claim. The Claim shall be submitted inwriting to the City and shall include on its first page the following words in 16 point capital font:
THIS IS A CLAIM.” The Claim shall include the all information and documents necessary to substantiate the Claim, including but not limited to those identified below. Nothing in this Article is intended to extend the time limit or supersede notice requirements otherwise provided by Contract Documents. Failure to follow such contractual requirements shall bar any Claims orsubsequent proceedings for compensation or payment thereon. 12 650.004113124.1
3.3.4.5 Documentation. The Contractor shall submit all Claims in the following format:
(A) Summary description of Claim including basis of entitlement, merit and amount of time or money requested, with specific reference to the Contract Document provisions pursuant to which the Claim is made (B) List of documents relating to Claim:
(1) Specifications(2) Drawings(3) Clarifications (Requests for Information) (4) Schedules(5) Other
(C) Chronology of events and correspondence
(D) Narrative analysis of Claim merit(E) Analysis of Claim cost, including calculations and supporting documents(F) Time impact analysis in the form required by the Contract Documents or, if the Contract Documents do not require a particular format, CPM format,if an adjustment of the Contract Time is requested
3.3.4.6 City’s Response. Upon receipt of a Claim pursuant to this Article, the City shall conduct a reasonable review of the Claim and, within a period not to exceed45 Days, shall provide the Contractor a written statement identifying what portion of the Claim is disputed and what portion is undisputed. Any payment due on an undisputed portion of the Claim will be processed and made within 60 Days after the City issues its written statement. (A) If the City needs approval from its governing body to provide the Contractor a written statement identifying the disputed portion and theundisputed portion of the Claim, and the City’s governing body does notmeet within the 45 Days or within the mutually agreed to extension of time following receipt of a Claim sent by registered mail or certified mail, return receipt requested, the City shall have up to three (3) Days following thenext duly publicly noticed meeting of the City’s governing body after the 45-Day period, or extension, expires to provide the Contractor a written statement identifying the disputed portion and the undisputed portion. (B) Within 30 Days of receipt of a Claim, the City may request in writing additional documentation supporting the Claim or relating to defenses orClaims the City may have against the Contractor. If additional informationis thereafter required, it shall be requested and provided pursuant to thissubdivision, upon mutual agreement of the City and the Contractor. TheCity’s written response to the Claim, as further documented, shall be 13 6509.00044113124.1
submitted to the Contractor within 30 Days (if the Claim is less than $50,000, within 15 Days) after receipt of the further documentation, or within a period of time no greater than that taken by the Contractor in producing the additional information or requested documentation, whichever is greater.
3.3.4.7 Meet and Confer. If the Contractor disputes the City’s written response, or the City fails to respond within the time prescribed, the Contractor may so notify the City, in writing, either within 15 Days of receipt of the City’s response or within 15 Days of the City’s failure to respond within the time prescribed, respectively, and demand in writing an informalconference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand, the City shall schedule a meet and confer conference within 30 Days for settlement of the dispute.
3.3.4.8 Mediation. Within 10 business days following the conclusion of the meet and confer conference, if the Claim or any portion of the Claim remains in dispute, the City shall provide the Contractor a written statement identifying the portion of the Claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the Claim shall be processed and made within 60 Days after the City issues its writtenstatement. Any disputed portion of the Claim, as identified by the Contractor in writing, shall be submitted to nonbinding mediation, with the City and the Contractor sharing the associated costsequally. The public entity and Contractor shall mutually agree to a mediator within 10 businessdays after the disputed portion of the Claim has been identified in writing, unless the parties agree to select a mediator at a later time.
(A) If the parties cannot agree upon a mediator, each party shall select a mediator and those mediators shall select a qualified neutral third party tomediate with regard to the disputed portion of the Claim. Each party shallbear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator.
(B) For purposes of this Article, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board,in which an independent third party or board assists the parties in disputeresolution through negotiation or by issuance of an evaluation. Anymediation utilized shall conform to the timeframes in this Article. (C) Unless otherwise agreed to by the City and the Contractor in writing, the mediation conducted pursuant to this section shall excuse any furtherobligation under Section 20104.4 to mediate after litigation has beencommenced. (D) The mediation shall be held no earlier than the date the Contractor completes the Work or the date that the Contractor last performs Work, whichever is earlier. All unresolved Claims shall be considered jointly in a single mediation, unless a new unrelated Claim arises after mediation is completed.
3.3.4.9 Procedures After Mediation. If following the mediation, the Claim or any portion remains in dispute, the Contractor must file a Government Code claim pursuant to Chapter 1 (commencing with Section 900) and Chapter 2 (commencing with Section 910) of Part 3 of Division 3.6 of Title I of the Government Code prior to initiating litigation. For 14 65059.00000\441 13124.1
purposes of those provisions, the running of the period of time within which a Government Code claim must be filed shall be tolled from the time the Contractor submits his or her written Claimpursuant to subdivision (a) until the time the Claim is denied, including any period of time utilizedby the meet and confer conference.
3.3.4.10 Civil Actions. The following procedures are established for all civil actions filed to resolve Claims of $375,000 or less:
(A) Within 60 Days, but no earlier than 30 Days, following the filing or responsive pleadings, the court shall submit the matter to non-bindingmediation unless waived by mutual stipulation of both parties or unlessmediation was held prior to commencement of the action in accordance with Public Contract Code section 9204 and the terms of this Contract.
The mediation process shall provide for the selection within 15 Days by both parties of a disinterested third person as mediator, shall be commenced within 30 Days of the submittal, and shall be concluded within 15 Days from the commencement of the mediation unless a time requirement is extended upon a good cause showing to the court. (B) If the matter remains in dispute, the case shall be submitted to judicial arbitration pursuant to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, notwithstanding Section 1114.11 of that code. The Civil Discovery Act of 1986 (Article 3 (commencing with Section 2016) of Chapter 3 of Title 3 of Part 4 of the Code of Civil Procedure) shall apply to any proceeding brought under thissubdivision consistent with the rules pertaining to judicial arbitration. Inaddition to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, (A) arbitrators shall, when possible,be experienced in construction law, and (B) any party appealing an arbitration award who does not obtain a more favorable judgment shall, inaddition to payment of costs and fees under that chapter, also pay theattorney’s fees on appeal of the other party.
3.3.4.11 Government Code Claim Procedures.
(A) In addition to any and all requirements of the Contract Documents pertaining to notices of and requests for adjustment to the Contract Time, Contract Price, or compensation or payment for Additional Work, disputed Work, construction claims and/or changed conditions, the Contractor must comply with the claim procedures set forth in Government Code Section900, et seq. prior to filing any lawsuit against the City. (B) Such Government Code claims and any subsequent lawsuit based upon the Government Code claims shall be limited to those matters that remain unresolved after all procedures pertaining to adjustment of the Contract Time or Contract Price for Additional Work, disputed Work, construction claims, and/or changed conditions have been followed by Contractor. IfContractor does not comply with the Government Code claim procedureor the prerequisite contractual requirements, Contractor may not file anyaction against the City. 15 650.004113124.1
(C) A Government Code claim must be filed no earlier than the date the Work is completed or the date the Contractor last performs Work on the Project, whichever occurs first. A Government Code claim shall be inclusive of all unresolved Claims known to Contractor or that should reasonably byknown to Contractor excepting only new unrelated Claims that arise after the Government Code claim is submitted.
3.3.4.12 Non-Waiver. The City’s failure to respond to a Claim from the Contractor within the time periods described in this Article or to otherwise meet the timerequirements of this Article shall result in the Claim being deemed rejected in its entirety, and shallnot constitute a waiver of any rights under this Article.
3.4 Substitutionsl”Or Equal”. Pursuant to Public Contract Code Section 3400(b), the City may make a finding that designates certain products, things, or services by specific brand or trade name. Unless specifically designated in this Contract, whenever any material, process,or article is indicated or specified by grade, patent, or proprietary name or by name of manufacturer, such Specifications shall be deemed to be used for the purpose of facilitating the description of the material, process or article desired and shall be deemed to be followed by the words “or equal.”
Contractor may, unless otherwise stated, offer for substitution any material, process or article which shall be substantially equal or better in every respect to that so indicated or specified in this Contract. However, the City may have adopted certain uniform standards for certainmaterials, processes and articles. Contractor shall submit requests, together with substantiating data, for substitution of any “or equal” material, process or article no later than thirty-five (35) daysafter award of the Contract. To facilitate the construction schedule and sequencing, some requests may need to be submitted before thirty-five (35) days after award of Contract. Provisionsregarding submission of “or equal” requests shall not in any way authorize an extension of time for performance of this Contract. If a proposed “or equal” substitution request is rejected, Contractor shall be responsible for providing the specified material, process or article. The burdenof proof as to the equality of any material, process or article shall rest with Contractor.
The City has the complete and sole discretion to determine if a material, process or article is an “or equal” material, process or article that may be substituted. Data required to substantiaterequests for substitutions of an “or equal” material, process or article data shall include a signedaffidavit from Contractor stating that, and describing how, the substituted “or equal” material,process or article is equivalent to that specified in every way except as listed on the affidavit.
Substantiating data shall include any and all illustrations, specifications, and other relevant data including catalog information which describes the requested substituted “or equal” material,process or article, and substantiates that it is an “or equal” to the material, process or article. The substantiating data must also include information regarding the durability and lifecycle cost of the requested substituted “or equal” material, process or article. Failure to submit all the required substantiating data, including the signed affidavit, to the City in a timely fashion will result in the rejection of the proposed substitution.
Contractor shall bear all of the City’s costs associated with the review of substitution requests. Contractor shall be responsible for all costs related to a substituted “or equal” material,process or article. Contractor is directed to the Special Conditions (if any) to review any findingsmade pursuant to Public Contract Code section 3400.
3.5 Period of Performance and Liquidated Damages.
16 6509.00044113124.1
3.5.1 Contractor shall perform and complete all Work under this Contract within [***INSERT NUMBER OF CALENDAR OR WORKING DAYS***] days, beginning the effective date of the Notice to Proceed (“Contract Time”). Contractor shall perform its Work instrict accordance with any completion schedule, construction schedule or project milestonesdeveloped by the City. Such schedules or milestones may be included as part of Exhibits “A” or“B” attached hereto, or may be provided separately in writing to Contractor. Contractor agrees that if such Work is not completed within the aforementioned Contract Time and/or pursuant to any such completion schedule, construction schedule or project milestones developed pursuant to provisions of the Contract, it is understood, acknowledged and agreed that the City will suffer damage. Pursuant to Government Code Section 53069.85, Contractor shall pay to the City as fixed and liquidated damages the sum of [***INSERT WRITTEN DOLLAR AMOUNT***] ($[INSERT NUMERICAL DOLLAR AMOUNTJ per day for each and every calendar day of delaybeyond the Contract Time or beyond any completion schedule, construction schedule or Projectmilestones established pursuant to the Contract.
3.5.2 Contractor’s Means and Methods.
3.5.2.1 Contractor is solely responsible for the means and methods utilized to perform the Work. Contractor shall perform all Work in a skillful and workmanlikemanner, and consistent with the standards generally recognized as being employed byprofessionals in the same discipline in the State of California. Contractor warrants that all employees and Subcontractors shall have sufficient skill and experience to perform the Work assigned to them. Contractor represents that it, its employees and Subcontractors have alllicenses, permits, qualifications and approvals of whatever nature that are legally required toperform the Work, and that such licenses and approvals shall be maintained throughout the termof this Contract. Contractor shall perform the Work in full compliance with all applicable state, federal and local laws and to the all jurisdictions having authority over the Project.
3.5.3 Construction Schedule.
3.5.3.1 General Requirements. The schedule shall be prepared in a critical path method format and in an electronic scheduling program acceptable to the City and as specified in the Contract Documents. Contractor shall deliver the schedule and all updates to the City in both paper and electronic form. The electronic versions shall be in the format and includeall data used to prepare the schedule.
3.5.3.2 Schedule. The receipt or approval of any schedules by the City shall not in any way relieve the Contractor of its obligations under the Contract Documents. The Contractor is fully responsible to determine and provide for any and all staffing and resources atlevels which allow for good quality and timely completion of the Project. Contractor’s failure toincorporate all elements of Work required for the performance of the Contract or any inaccuracyin the schedule shall not excuse the Contractor from performing all Work required for a completed Project within the specified Contract Time. If the required schedule is not received by the time the first payment under the Contract is due, Contractor shall not be paid until the schedule is received, reviewed and accepted by the City.
3.5.3.3 Schedule Contents. The schedule shall indicate the beginning and completion dates of all phases of construction; critical path for all critical, sequential time related activities; and “float time” for all “slack” or “gaps” in the non-critical activities. The schedule 17 65004113124.1
shall include appropriate time allowances and constraints for Submittals, items of interface with Work performed by others, and specified construction, start-up and performance tests. All floatshall be owned by the Project. Schedules indicating early or late completion shall not modify or have any effect on the Contract Time, regardless of whether the schedules are reviewed and/oraccepted by the City.
3.5.3.4 Schedule Updates. Contractor shall continuously update its construction schedule. Contractor shall submit an updated and accurate construction schedule to the City: (1) prior to the start of construction, if there are any changes to the initial schedule; (2)with each progress payment request; and (3) whenever requested to do so by the City. The City may withhold progress payments or other amounts due under the Contract Documents if Contractor fails to submit an updated and accurate construction schedule. Upon the City’s request, Contractor shall submit any schedules or updates to the City in the native electronic format of the software used to create the schedule. Contractor shall also submit schedules showing a two-week detailed look-ahead at weekly meetings conducted with the City. The twoweek look-ahead schedule shall clearly identify all staffing and other resources which in theContractor’s judgment are needed to complete the Work within the Contract Time, and it shall clearly state the number of staff to be used on each daily segment of the Work.
3.5.3.5 Acceptance. Acceptance of the schedules by the City will not impose on responsibility for accuracy, for sequencing, scheduling, or progress of the Work, or compliance with the Contract Documents. Acceptance will not interfere with or relieve Contractor from Contractor’s full responsibility therefor.
3.5.4 Time for Completion and Liquidated Damages.
3.5.4.1 Time for Completion. The time for completion shall commence:
(1) on the date stated in the Notice to Proceed, or (2) if the Notice to Proceed does not specify acommencement date, then on the date of the Notice to Proceed and shall be completed by Contractor in the time specified in the Contract Documents. The City is under no obligation toconsider early completion of the Project; and the Contract completion date shall not be amended by the City’s receipt or acceptance of the Contractor’s proposed earlier completion date. Any difference in time between the Contractor’s early completion and the Contract Time shall beconsidered a part of the Project float. Contractor shall not be entitled to compensation, and theCity will not compensate Contractor, for delays which impact early completion. Contractor shall not, under any circumstances, receive additional compensation from the City (including but notlimited to indirect, general, administrative or other forms of overhead costs) for the period between the time of earlier completion proposed by the Contractor and the Contract completion date.
3.5.4.2 Liquidated Damages. If the Work is not completed within the Contract Time(s), it is understood that the City will suffer damage. In accordance withGovernment Code section 53069.85 and Public Contract Code section 7102, being impracticaland infeasible to determine the amount of actual damage, it is agreed that Contractor shall pay to the City as fixed and liquidated damages, and not as a penalty, the sum stipulated in the Contractfor each calendar day of delay until the Work is fully completed. Contractor and its surety shall be liable for any liquidated damages. Any money due or to become due the Contractor may beretained to cover liquidated damages.
3.5.4.3 Inclement Weather. Contractor shall abide by the City’s determination of what constitutes inclement weather. Time extensions for inclement weather shall only be granted when the Work stopped during inclement weather is on the critical path of the 18 6509.0004413124.1
Project schedule. Contractor shall not be entitled to reverse liquidated damages for time extensions resulting from inclement weather.
3.5.4.4 Extension of Time. Contractor’s entitlement to an extension of the Contract Times for a City-caused delay shall only be allowed when, and then only to the extentthat, the City-caused delay extends the critical path beyond the Contract Time. and the delay to the Critical Path must be established by a proper time impact analysis. When the City-caused delay to the Critical Path occurs simultaneously with a Contractor-caused delay to the Critical Path, the Contract Time may be extended, as determined by City, however, such delay is noncompensable and the Contract Price shall not be adjusted. The City shall ascertain the facts and extent of delay and grant extension of time for completing the Work when, in its judgment, the facts justify such an extension. Contractor shall not be entitled to an adjustment in the ContractTimes for delays within the control of Contractor. Delays attributable to and within the control of a Subcontractor or Supplier shall be deemed to be delays within the control of Contractor. Ifapproved, the increase in time required to complete the Work shall be added to the Contract Time.
3.5.4.5 Reverse Liquidated Damages. Consistent with Public Contract Code section 7102, Contractor will be compensated for damages incurred due to unreasonabledelays to the critical path for which the City is responsible. The parties agree that determining Contractor’s exact delay damages are and will continue to be impracticable and extremely difficult.
As such, for each calendar day in excess of the time for completion set forth in Article 2 of the Contract, the City shall pay to the Contractor the sum stipulated in the Contract per day. Suchamount shall constitute the only payment allowed for any City-caused delays and shall necessarily include all overhead, all profits, all administrative costs, all bond costs, all labor, materials, equipment and rental costs and any other costs, expenses and fees incurred or sustained as a result of such delays. Contractor shall not be entitled to reverse liquidated damages for any change in the Work in which Contractor is compensated for overhead and profit through a change in Unit Price Work or a Change Order resulting in a lump sum or allowed mark-up for the additional Work. The amount of reverse liquidated damages shall be reduced by Contractor’s concurrentdelays.
3.5.4.6 Force Majeure. In accordance with subparagraphs “D” and “E” above, the Contractor shall not be charged liquidated damages, and the City shall not be responsible, for any delays to the critical path resulting from a Force Majeure Event. If a delay to the critical path results from a Force Majeure Event, the Contractor will be entitled to a time extension but will not receive an adjustment to the Contract Price or any other compensation.
Such a non-compensable adjustment shall be Contractor’s sole and exclusive remedy for such delays.
3.5.4.7 No Damages for Reasonable Delay. The City’s liability to Contractor for delays for which the City is responsible shall be limited to only an extension of timeunless such delays were unreasonable under the circumstances. In no case shall the City beliable for any costs which are borne by the Contractor in the regular course of business, including,but not limited to, home office overhead and other ongoing costs. Damages caused by unreasonable City delay shall be based on actual costs only, no proportions or formulas shall be used to calculate any delay damages.
3.5.4.8 Procedure for Time Extensions and Delay Damages.
Contractor shall not be entitled to any extension of time or any reverse liquidated damages unless Contractor properly notices the delay and adjustment to compensation and requests a ChangeOrder in accordance with Article 9.1 Change Orders and Time Extensions. Contractor’s failure to 19 65059 00000\44113124.1
timely and fully comply with the Change Order procedures in the Contract Documents shall constitute a waiver of Contractor’s right to a time extension or reverse liquidated damages.
3.5.5 Contractor’s Responsibility for Work.
3.5.5.1 Responsibility for, and security of, all Work and materials related to Contractor’s Work is the responsibility of Contractor until final acceptance of theContractor’s Work by the City. The City shall not be held responsible for the care or protection ofany material or parts of the Work prior to final acceptance. Contractor shall take every necessaryprecaution against injury or damage to any part thereof by the action of the elements or from any cause whether arising from the execution or non-execution of the Work and all loss or damageshall be borne by Contractor. The Contractor shall rebuild, repair, restore and make good at itsown expense all injuries or damages to any portion of the Work before its completion andacceptance. In the event of damage proximately caused by an Act of God, as defined by Section7105 of the Public Contract Code, the City will pay for repair or restoration to damaged Work in excess of 5% of the total Bid.
3.5.6 Occupancy.
3.5.6.1 The City reserves the right to occupy or utilize any portion of the Work at any time before completion, and such occupancy or use shall not constitute acceptance of any part of Work covered by this Contract. This use shall not relieve the Contractor of itsresponsibilities under the Contract.
3.5.7 Securities for Money Withheld.
3.5.7.1 Pursuant to section 22300 of the Public Contract Code of the State of California, Contractor may request the City to make retention payments directly to an escrow agent or may substitute securities for any money withheld by the City to ensure performance under the contract. At the request and expense of Contractor, securities equivalent to the amount withheld shall be deposited with the City or with a state or federally chartered bank as the escrow agent who shall return such securities to Contractor upon satisfactory completionof the contract. Deposit of securities with an escrow agent shall be subject to a written agreement substantially in the form provided in section 22300 of the Public Contract Code.
3.5.8 The City’s Right to Suspend/Terminate the Contract.
3.5.8.1 Suspension of Work by the City.
(A) The City in its sole and absolute discretion for any reason or no reason whatsoever may at any time, with or without cause, suspend performance of all or any part of the Work by giving not less than five (5) Days written notice to the Contractor. Such notice of suspension of Work will designate the amount and type of plant, labor, and equipment to be committed to the Project during the period of suspension. Contractor shall use its best efforts to utilize its plant, labor, and equipment in such a manner as to minimize costs associated with suspension.
(B) Upon receipt of any such notice, Contractor shall, unless the notice requires otherwise: (1) immediately discontinue Work on the date and to the extent specified in the notice; (2) place no further orders or 20 6509.00044113124.1
subcontracts for material, services, or facilities with respect to suspended Work other than to the extent required in the notice; (3) promptly make every reasonable effort to obtain suspension upon terms satisfactory to the City of all orders, subcontracts, and rental agreements to the extentthey relate to performance of Work suspended; and (4) continue to protect and maintain the Work including those portions on which Work has been suspended.
(C) The City shall not be liable for any additional costs, damages or anticipated profits incurred by Contractor or its Subcontractors and the Contract Price shall not be increased during the period of suspension, except the actual costs incurred by Contractor, excluding overhead and profit for (a) thepurpose of safeguarding the Work and material and equipment in transit or at the Site during the period of suspension, (b) Contractor’s or itsSubcontractor’s rented equipment which are maintained at the Site, or (c)other reasonable and unavoidable costs of shutting down the Work, or reassembling personnel and equipment resulting directly from such suspension. Contractor shall be granted an extension of the Contract Time equal to the number of days performance of Work is suspended; provided, however, that no actual costs or extension of Contract Time shall be granted if the suspension results from Contractor’s non-compliance with the requirements of the Contract.
3.5.8.2 Termination for Cause by the City.
(A) In the sole estimation of the City, if the Contractor refuses or fails to prosecute the Work or any separable part thereof with such diligence as will insure its completion within the time specified by the Contract Documents, or any extension thereof, or fails to complete such Work within such time, or if the Contractor should be adjudged a bankrupt, or if it should make a general assignment for the benefit of its creditors, or if a receiver should be appointed on account of its insolvency, or the Contractor or anyof its subcontractors should violate any of the provisions of this Contract, the City may serve written notice upon the Contractor and its surety of the City’s intention to terminate this Contract. This notice of intent to terminateshall contain the reasons for such intention to terminate this Contract, anda statement to the effect that the Contractor’s right to perform this Contractshall cease and terminate upon the expiration often (10) Days unless such violations have ceased and arrangements satisfactory to the City have been made for correction of said violations.
(B) After expiration of the ten (10) Day period, the City may terminate the Contract by providing a Notice of Termination to the Contractor. The City may take over and complete the Work by any method it may deemappropriate, including enforcement of the Project performance bond. If the City takes over the Work, the City may, without liability for so doing,take possession of and utilize in completing the Work such materials, appliances, plant, and other property belonging to the Contractor as maybe on the Site. 21 65059 00000\44 113124.1
(C) Contractor shall not be entitled to receive any further payment hereunder as a result of such termination. Contractor and its surety shall be liable to the City for any excess costs or other damages incurred by the City to complete the Work, including professional services and expenses,reasonable overhead, profit, and attorneys’ fees. This payment obligation shall survive completion of the Project and termination or expiration of this Contract.
3.5.8.3 Termination for Convenience by the City:
(A) The City may terminate performance of the Work called for by the Contract Documents in whole or, from time to time, in part, upon ten (10) Days written notice if the City determines that a termination is in the City’s interest. The Contractor shall terminate all or any part of the Work upon delivery to the Contractor of a Notice of Termination specifying that the termination is for the convenience of the City, the extent of termination, and the effective date of such termination.
(B) After receipt of Notice of Termination, and except as directed by the City, the Contractor shall, regardless of any delay in determining or adjusting any amounts due under this termination for convenience clause,immediately proceed with the following obligations: (1) stop Work as specified in the Notice; (2) complete any Work specified in the Notice ofTermination in a least cost/shortest time manner while still maintaining thequality called for under the Contract Documents; (3) leave the property upon which the Contractor was working and upon which the facility (or facilities) forming the basis of the Contract Document is situated in a safe and sanitary manner such that it does not pose any threat to the publichealth or safety; (4) terminate all subcontracts to the extent that they relate to the portions of the Work terminated; and (5) place no further subcontracts or orders, except as necessary to complete the continued portion of the Contract.
(C) In case of such termination for the City’s convenience, the Contractor shall be entitled to receive payment for Work actually completed by Contractorin conformity with this Contract prior to Contractor’s receipt of City’s Noticeand costs incurred by reason of such termination. Any documentationsubstantiating costs incurred by the Contractor solely as a result of theCity’s exercise of its right to terminate this Contract pursuant to this clause, which costs the Contractor is authorized under the Contract documents to incur, shall: (I) be submitted to and received by the City no later than 30 Days after the effective date of the Notice of Termination; (2) describe the costs incurred with particularity; and (3) be conspicuously identified as“Termination Costs occasioned by the City’s Termination forConvenience.” If the City rejects any costs, Contractor shall be deemed to waive the rejected costs unless Contractor files a Claim within thirty (30) Days of the rejection pursuant to Article 9.2.
(D) Contractor shall be entitled to receive only the amounts payable under this Article, and Contractor specifically waives any claim for any other amounts or damages, including, but not limited to, any claim for consequential 22 6509.00044113124.1
damages or lost profits. The provisions in this Article are in addition to and not in limitation of any other rights or remedies available to the City. (E) Termination of the Contract shall not relieve surety of its obligation for any just claims arising out of or relating to the Work performed. (F) Notwithstanding any other provision of this Article, when immediate action is necessary to protect life and safety or to reduce significant exposure orliability, the City may immediately order Contractor to cease Work on the Project until such safety or liability issues are addressed to the satisfaction of the City or the Contract is terminated.
(G) If the City terminates Contractor for cause, and if it is later determined that the termination was wrongful, such default termination shall automatically be converted to and treated as a termination for convenience. In such event, Contractor shall be entitled to receive only the amounts payableunder this Article, and Contractor specifically waives any claim for anyother amounts or damages, including, but not limited to, any claim forconsequential damages or lost profits.
3.5.9 Defective Work.
3.5.9.1 The City May Correct Defective Work.
(A) If Contractor fails to correct Defective Work, or to remove and replace rejected Work as required by the City, or if Contractor fails to perform the Work in accordance with the Contract Documents, or if Contractor fails to comply with any other provision of the Contract Documents, the City may,after seven (7) Days written notice to Contractor, correct, or remedy any such deficiency.
(B) In connection with such corrective or remedial action, the City may exclude Contractor from all or part of the Site, take possession of all or part of the Work and suspend Contractor’s services related thereto, take possession of Contractor’s tools, appliances, construction equipment and machineryat the Site, and incorporate in the Work all materials and equipment storedat the Site or for which the City has paid Contractor but which are storedelsewhere. Contractor shall allow the City, and the agents, employees,other contractors, and consultants of each of them, access to the Site toenable the City to exercise the rights and remedies to correct the Defective Work.
(C) All claims, costs, losses, and damages (including but not limited to all fees and charges of engineers, architects, attorneys, and other professionals and all court or arbitration or other dispute resolution costs) incurred or sustained by the City correcting the Defective Work will be charged againstContractor, and a Change Order will be issued incorporating the necessary revisions in the Contract Documents with respect to the Work;and the City shall be entitled to an appropriate decrease in the Contract Price. Such claims, costs, losses and damages will include but not be 23 6509.00044113124.1
limited to all costs of repair, or replacement of work of others destroyed or damaged by correction, removal, or replacement of defective Work. (D) If the Change Order is executed after all payments under the Contract have been paid by the City and the Project retention is held in an escrowaccount as permitted by the Contract Documents, Contractor will promptlyalert the escrow holder, in writing, of the amount of retention to be paid to the City. If the Change Order is executed after release of the Project retention, an appropriate amount will be paid by Contractor to the City.
Contractor shall not be allowed an extension of the Contract Time becauseof any delay in the performance of the Work attributable to the Citycorrecting Defective Work.
3.5.9.2 Acceptance of Defective Work.
(A) If, instead of requiring correction or removal and replacement of defective Work, the Cfty prefers to accept it, the City may do so. Contractor shall pay all claims, costs, losses, and damages (including but not limited to all fees and charges of engineers, architects, attorneys, and other professionals and all court or arbitration or other dispute resolution costs) attributable to the City’s evaluation of and determination to accept suchdefective Work and for the diminished value of the Work. If anyacceptance of Defective Work occurs prior to release of the Project retention, a Change Order will be issued incorporating the necessary revisions in the Contract Documents with respect to the Work, and the Cityshall be entitled to an appropriate decrease in the Contract Price, reflecting the diminished value of Work and all costs incurred by the City. If the acceptance of defective occurs after release of the Project retention, anappropriate amount will be paid by Contractor to the City.
3.5.10 Completion and Acceptance of Work.
3.5.10.1 Final Inspection. Upon written notice from Contractor that the entire Work is complete, the Engineer will promptly make a final inspection with the City andContractor and will notify Contractor in writing of all particulars in which this inspection reveals that the Work is incomplete or defective. Contractor shall immediately take such measures as are necessary to complete such Work or remedy such deficiencies.
3.5.10.2 Final Acceptance. The acceptance of the Work on behalf of the City will be made by the Engineer. Such acceptance by the City shall not constitute a waiver ofdefects. After Contractor has, in the opinion of the Engineer, satisfactorily completed allcorrections identified during the final inspection and has delivered, in accordance with theContract Documents, all maintenance and operating instructions, schedules, guarantees, bonds,certificates or other evidence of insurance, certificates of inspection, Record Documents, andother documents required by the Contract Documents, the City shall execute a Notice ofCompletion, constituting final acceptance and completion of the Project, except as may beexpressly noted.
3.5.11 Guarantee of Work.
24 6509.00044113124.1
3.5.11.1 Neither the final payment nor any provision in the Contract Documents shall relieve Contractor of responsibility for faulty materials or workmanship.
Contractor hereby guarantees that materials and Work shall be completed in conformance with the Contract Documents and that the materials and Work provided will fulfill the requirements ofthis guarantee. Contractor hereby agrees to repair or replace, at the discretion of the City, any or all Work that may prove to be defective in its workmanship, materials furnished, methods ofinstallation or fail to conform to the Contract Document requirements together with any other Work which may be damaged or displaced by such defect(s) within a period of one (1) year (or as otherwise indicated in the Contract Documents or in any guarantee or warranty provided by anymanufacturer or supplier of equipment or materials incorporated into the Work, whichever is later) from the date of the Notice of Completion of the Project without any expense whatever to the City, ordinary wear and tear and unusual abuse and neglect excepted. Contractor shall be required to promptly repair or replace defective equipment or materials, at Contractor’s option. The Contractor shall remedy at its expense any damage to City-owned or controlled real or personal property. All costs associated with such corrective actions and testing, including the removal,replacement, and reinstitution of equipment and materials necessary to gain access, shall be the sole responsibility of the Contractor.
3.5.11.2 For any Work so corrected, Contractor’s obligation hereunder to correct defective Work shall be reinstated for an additional one (1) year period, commencingwith the date of acceptance of such corrected Work. The reinstatement of the one (1) yearwarranty shall apply only to that portion of Work that was corrected. Contractor shall perform such tests as the City may require to verify that any corrective actions, including, without limitation, redesign, repairs, and replacements comply with the requirements of the Contract Documents.
In the event of Contractor’s failure to comply with the above-mentioned conditions within ten (10)Days after being notified in writing of required repairs, to the reasonable satisfaction of the City, the City shall have the right to correct and replace any defective or non-conforming Work and anywork damaged by such work or the replacement or correction thereof at Contractor’s sole expense. Contractor shall be obligated to fully reimburse the City for any expenses incurred hereunder immediately upon demand.
3.5.11.3 In addition to the warranty set forth in this Article, Contractor shall obtain for the City all warranties that would be given in normal commercial practice and assign to the City any and all manufacturer’s or installer’s warranties for equipment or materialsnot manufactured by Contractor and provided as part of the Work, to the extent that such thirdparty warranties are assignable and extend beyond the warranty period set forth in this Article.
Contractor shall furnish the City with all warranty and guarantee documents prior to final acceptance of the Project by the City as required.
3.5.11.4 When specifically indicated in the Contract Documents or when directed by the Engineer, the City may furnish materials or products to the Contractor for installation. In the event any act or failure to act by Contractor shall cause a warranty applicable to any materials or products purchased by the City for installation by the Contractor to be voided or reduced, Contractor shall indemnify the City from and against any cost, expense, or otherliability arising therefrom, and shall be responsible to the City for the cost of any repairs, replacement or other costs that would have been covered by the warranty but for such act or failure to act by Contractor.
3.5.11.5 The City shall notify the Contractor, in writing, within a reasonable time after the discovery of any failure, defect, or damage. The Contractor shall within ten (10) Days after being notified commence and perform with due diligence all necessary work 25 65059 00000\441 13124.1
to remedy the failure, defect, or damage. If the Contractor fails to promptly remedy any defect or damage, the City shall have the right to replace, repair or otherwise remedy the defect, or damage at the Contractor’s expense.
3.5.11.6 In the event of any emergency constituting an immediate hazard to health, safety, property, or licensees, when caused by Work of the Contractor not in accordancewith the Contract requirements, the City may undertake at Contractor’s expense, and without prior notice, all Work necessary to correct such condition.
3.5.11.7 This Article shall not limit City’s rights under this Contract or with respect to latent defects, gross mistakes, or fraud. Nothing in the warranty or in the Contract Documents shall be construed to limit the rights and remedies available to the City at law or in equity, including, but not limited to, Code of Civil Procedure section 337.15.
3.5.12 Consistent with Public Contract Code Section 7102, Contractor will be compensated for damages incurred due to delays for which the City is responsible. The partiesagree that determining Contractor’s exact delay damages is and will continue to be impracticableand extremely difficult. As such, for each calendar day in excess of the Contract Time, the City shall pay to the Contractor $1***INSERT AMOUNT***1 per day as Reverse Liquidated Damages and not as a penalty or forfeiture. Such amount shall constitute the only payment allowed for anyCity caused delays and shall necessarily include all overhead, all profits, all administrative costs,all bond costs, all labor, materials, equipment and rental costs and any other costs, expenses and fees incurred or sustained as a result of such delays. Notice of requests for delay damages and additional days shall be provided to the City within five (5) Days from the discovery of thecircumstances giving rise to any delay or three (3) Days from the discovery of any latent orsubsurface conditions giving rise to a delay.
3.5.13 If Contractor is delayed in the performance or progress of the Work by a Force Majeure Event (as defined herein), then the Contractor shall be entitled to a timeextension, as provided herein, when the Work stopped is on the critical path and shall not becharged liquidated damages. Such a non-compensable adjustment shall be Contractor’s soleand exclusive remedy for such delays and the Contractor will not receive an adjustment to the Total Contract Price or any other compensation. Contractor must submit a timely request in accordance with the requirements of the Contract.
3.5.14 A Force Majeure Event shall mean an event that materially affects a Party’s performance and is one or more of the following: (1) Acts of God or other natural disasters occurring at the project site; (2) terrorism or other acts of a public enemy; (3) orders of governmental authorities (including, without limitation, unreasonable and unforeseeable delay in the issuance of permits or approvals by governmental authorities that are required for the work); (4) pandemics, epidemics or quarantine restrictions; and (5) strikes and other organized laboraction occurring at the project site and the effects thereof on the work, only to the extent suchstrikes and other organized labor action are beyond the control of Contractor and itssubcontractors, of every tier, and to the extent the effects thereof cannot be avoided by use of replacement workers. For purposes of this section, “orders of governmental authorities,” includes ordinances, emergency proclamations and orders, rules to protect the public health, welfare andsafety, and other actions of the City in its capacity as a municipal authority 26 65059 00000\44 113124.1
3.6 Standard of Performance; Performance of Employees. Contractor shall perform all Work under this Contract in a skillful and workmanlike manner, and consistent with the standards generally recognized as being employed by professionals in the same discipline inthe State of California. Contractor represents and maintains that it is skilled in the professional calling necessary to perform the Work. Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Work assigned to them.
Finally, Contractor represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Work, including a City Business License, and that such licenses and approvals shall be maintained throughout the term of this Contract. As provided for in the indemnification provisions of this Contract, Contractor shall perform, at its own cost and expense and without reimbursement from the City, any work necessary to correct errors or omissions which are caused by Contractor’sfailure to comply with the standard of care provided for herein. Any employee who is determined by the City to be uncooperative, incompetent, a threat to the safety of persons or the Work, or any employee who fails or refuses to perform the Work in a manner acceptable to the City, shall be promptly removed from the Project by Contractor and shall not be re-employed on the Work.
3.7 Control and Payment of Subordinates; Contractual Relationship. City retains Contractor on an independent contractor basis and Contractor is not an employee of City. Anyadditional personnel performing the work governed by this Contract on behalf of Contractor shallat all times be under Contractor’s exclusive direction and control. Contractor shall pay all wages, salaries, and other amounts due such personnel in connection with their performance under this Contract and as required by law. Contractor shall be responsible for all reports and obligationsrespecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, and workers’ compensation insurance.
3.8 City’s Basic Obligation. City agrees to engage and does hereby engage Contractor as an independent contractor to furnish all materials and to perform all Work according to the terms and conditions herein contained for the sum set forth above. Except as otherwise provided in the Contract, the City shall pay to Contractor, as full consideration for the satisfactoryperformance by Contractor of the services and obligations required by this Contract, the belowreferenced compensation in accordance with compensation provisions set forth in the Contract.
3.9 Labor
3.9.1 Prevailing Wages. Contractor is aware of the requirements of California Labor 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. Since the Work is being performed as part of an applicable “public works”or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensationis $1,000 or more, Contractor agrees to fully comply with such Prevailing Wage Laws. City shall provide Contractor with a copy of the prevailing rates of per diem wages in effect at the commencement of this Contract. Contractor shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Work available to interested parties upon request, and shall post copies at Contractor’s principal place of business and at the project site. Contractor shall defend, indemnify and hold the City, its officials, officers,employees and agents free and harmless from any claim or liability arising out of any failure oralleged failure to comply with the Prevailing Wage Laws. Contractor and any subcontractor shall forfeit a penalty of up to $200 per calendar day or portion thereof for each worker paid less thanthe prevailing wage rates. 27 65004113124.1
3.9.2 Apprenticeable Crafts. When Contractor employs workmen in an apprenticeable craft or trade, Contractor shall comply with the provisions of Section 1777.5 of theCalifornia Labor Code with respect to the employment of properly registered apprentices upon public works. The primary responsibility for compliance with said section for all apprenticeable occupations shall be with Contractor. The Contractor or any subcontractor that is determined by the Labor Commissioner to have knowingly violated Section 1777.5 shall forfeit as a civil penalty an amount not exceeding $100 for each full calendar day of noncompliance, or such greateramount as provided by law.
3.9.3 Hours of Work. Contractor is advised that eight (8) hours labor constitutes a legal day’s work. Pursuant to Section 1813 of the California Labor Code, Contractorshall forfeit a penalty of $25.00 per worker for each day that each worker is permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week, except when payment for overtime is made at not less than one and one-half (1-1/2) times the basic rate for that worker.
3.9.4 Payroll Records. Contractor and each subcontractor shall keep an accurate payroll record, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by him or her in connectionwith the public work. The payroll records shall be certified and shall be available for inspection at all reasonable hours at the principal office of Contractor in the manner provided in Labor Code section 1776. In the event of noncompliance with the requirements of this section, Contractorshall have 10 days in which to comply subsequent to receipt of written notice specifying in what respects such Contractor must comply with this section. Should noncompliance still be evident after such 10-day period, Contractor shall, as a penalty to City, forfeit not more than $100.00 foreach calendar day or portion thereof, for each worker, until strict compliance is effectuated. Theamount of the forfeiture is to be determined by the Labor Commissioner. A contractor who is found to have violated the provisions of law regarding wages on Public Works with the intent to defraud shall be ineligible to bid on Public Works contracts for a period of one to three years asdetermined by the Labor Commissioner. Upon the request of the Division of Apprenticeship Standards or the Division of Labor Standards Enforcement, such penalties shall be withheld fromprogress payments then due. The responsibility for compliance with this section is on Contractor.
In accordance with Labor Code section 1771.4, the Contractor and each subcontractor shall furnish the certified payroll records directly to the DIR on a weekly basis and in the format prescribed by the Department of Industrial Relations (DIR”), which may include electronic submission. The requirement to submit certified payroll records directly to the LaborCommissioner under Labor Code section 1771.4 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Section 1771.4.
3.9.5 Contractor and Subcontractor Registration. Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be registered with the DIR. Nobid will be accepted nor any contract entered into without proof of the contractor’s and subcontractors’ current registration with the DIR to perform public work. Contractor is directed to review, fill out and execute the Public Works Contractor Registration Certification attached heretoas Exhibit “E” prior to contract execution. Notwithstanding the foregoing, the contractorregistration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1.
28 65059.00000\441 13124.1
3.9.6 Labor Compliance; Stop Orders. This Project is subject to compliance monitoring and enforcement by the DIR. It shall be the Contractor’s sole responsibility to evaluate and pay the cost of complying with all labor compliance requirements under this Contract andapplicable law. Any stop orders issued by the DIR against Contractor or any subcontractor thataffect Contractor’s performance of Work, including any delay, shall be Contractor’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Contractor caused delay subject to any applicable liquidated damages and shall not becompensable by the City. Contractor shall defend, indemnify and hold the City, its officials,officers, employees and agents free and harmless from any claim or liability arising out of stop orders issued by the DIR against Contractor or any subcontractor.
3.10 Performance of Work; Jobsite Obligations.
3.10.1 Water Quality Management and Compliance.
3.10.1.1 Water Quality Management and Compliance. Contractor shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by the performance of the Work including, without limitation, all applicable provisions of the Federal Water Pollution Control Act (33 U.S.C. § 1300); the California Porter-Cologne Water Quality Control Act (Cal Water Code § 13000-14950); local ordinances regulating discharges of storm water; and any and all regulations, policies, or permits issued pursuant to any such authority regulating the discharge of pollutants, as that term is used in the Porter-Cologne Water QualityControl Act, to any ground or surface water in the State.
3.10.1.2 Compliance with the Statewide Construction General Permit.
Contractor shall comply with all conditions of the most recent iteration of the National Pollutant Discharge Elimination System General Permit for Storm Water Discharges Associated with Construction Activity, issued by the California State Water Resources Control Board (‘Permit”). It shall be Contractor’s sole responsibility to file a Notice of Intent and procure coverage under the Permit for all construction activity which results in the disturbance of more than one acre of total land area or which is part of a larger common area of development or sale. Prior to initiating work, Contractor shall be solely responsible for preparing and implementing a Storm Water Pollution Prevention Plan (SWPPP) as required by the Permit. Contractor shall be responsible for procuring, implementing and complying with the provisions of the Permit and the SWPPP,including the standard provisions, and monitoring and reporting requirements as required by the Permit. The Permit requires the SWPPP to be a “living document” that changes as necessary to meet the conditions and requirements of the job site as it progresses through difference phases of construction and is subject to different weather conditions. It shall be Contractor’s sole responsibility to update the SWPPP as necessary to address conditions at the project site.
3.10.1.3 Other Water Quality Rules Regulations and Policies. Contractor shall comply with the lawful requirements of any applicable municipality, drainage City, or local agency regarding discharges of storm water to separate storm drain systems or other watercourses under their jurisdiction, including applicable requirements in municipal storm water management programs.
3.10.1.4 Cost of Compliance. Storm, surface, nuisance, or other waters may be encountered at various times during construction of the Work. Therefore, the Contractor,hereby acknowledges that it has investigated the risk arising from such waters and assumes any and all risks and liabilities arising therefrom.
29 6505 9.00000\44 113124.1
3.10.1.5 Liability for Non-Compliance. Failure to comply with laws, regulations, standards, ordinances, and permits listed in Sections 3.10.1.1, 3.10.1.2, 3.10.1.3,and 3.10.1.4 of the Contract is a violation of federal and state law. Pursuanttothe indemnification provisions of this Contract, Contractor hereby agrees to defend, indemnify and hold harmless theCity and its directors, officials, officers, employees, volunteers and agents for any alleged violations. In addition, City may seek damages from Contractor for any delay in completing the Work in accordance with the Contract, if such delay is caused by or related to Contractor’s failureto comply with the Permit.
3.10.1.6 Reservation of Right to Defend. City reserves the right to defend any enforcement action brought against the City for Contractor’s failure to comply with the Permitor any other relevant water quality law, regulation, or policy. Pursuant to the indemnification provisions of this Contract, Contractor hereby agrees to be bound by, and to reimburse the City for the costs (including the City’s attorney’s fees) associated with, any settlement reached between the City and the relevant enforcement entity.
3.10.1.7 Training. In addition to the standard of performance requirements set forth in this Contract, Contractor 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 paragraph 3.10.1.
Contractor further warrants that it, its employees and subcontractors will receive adequate training, as determined by City, regarding the requirements of the laws, regulations and policies described in paragraph 3.10.1 as they may relate to the Work provided under this Contract. Upon request, City will provide the Contractor with a list of training programs that meet the requirements of this paragraph.
3.10.2 Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. Contractor shall comply with the requirements of the specifications relating to safety measures applicable in particular operations or kinds of work. Incarrying out its Work, Contractor shall at all times be in compliance with all applicable local, stateand federal laws, rules and regulations, and shall exercise all necessary precautions for the safetyof employees appropriate to the nature of the Work and the conditions under which the Work is to be performed. Safety precautions as applicable shall include, but shall not be limited to, adequate life protection and lifesaving equipment; adequate illumination for underground and night operations; instructions in accident prevention for all employees, such as machinery guards, safe walkways, scaffolds, ladders, bridges, gang planks, confined space procedures, trenching and shoring, fall protection and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and adequate facilities for theproper inspection and maintenance of all safety measures. Furthermore, Contractor shall prominently display the names and telephone numbers of at least two medical doctors practicing in the vicinity of the Project, as well as the telephone number of the local ambulance service, adjacent to all telephones at the Project site.
3.10.3 Laws and Regulations. Contractor 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 Contract or the Work, including all Cal/OSHA requirements, and shall give all notices required by law. Contractor shall be liable for all violations of such laws and regulations in connection with the Work. If Contractor observes that the drawings or specifications are at variance with any law, rule or regulation, it shall promptly notify the City in writing. Any necessary changes shall be made by written change order. If Contractor performs any work knowing it tobe contrary to such laws, rules and regulations and without giving written notice to the City, 30 650900044113124.1
Contractor shall be solely responsible for all costs arising therefrom. City is a public entity of the State of California subject to certain provisions of the Health & Safety Code, Government Code, Public Contract Code, and Labor Code of the State. It is stipulated and agreed that all provisions of the law applicable to the public contracts of a municipality are a part of this Contract to the same extent as though set forth herein and will be complied with. Contractor shall defend, indemnify and hold City, its officials, directors, officers, employees and agents free and harmless,pursuant to the indemnification provisions of this Contract, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.
3.10.4 Permits and Licenses. Contractor shall be responsible for securing City permits and licenses necessary to perform the Work described herein, including, but not limited to, a City Business License. While Contractor will not be charged a fee for any City permits, Contractor shall pay the City’s applicable business license fee. Any ineligible contractor or subcontractor pursuant to Labor Code Sections 1777.1 and 1777.7 may not perform work on this Project.
3.10.5 Trenching Work. If the Total Contract Price exceeds $25,000 and if the Work governed by this Contract entails excavation of any trench or trenches five (5) feet or more in depth, Contractor shall comply with all applicable provisions of the California Labor Code,including Section 6705. To this end, Contractor shall submit for City’s review and approval a detailed plan showing the design of shoring, bracing, sloping, or other provisions to be made forworker protection from the hazard of caving ground during the excavation of such trench or trenches. If such plan varies from the shoring system standards, the plan shall be prepared by a registered civil or structural engineer.
3.10.6 Hazardous Materials and Differing Conditions. As required by California Public Contract Code Section 7104, if this Contract involves digging trenches or other excavations that extend deeper than four (4) feet below the surface, Contractor shall promptly, and prior to disturbance of any conditions, notify City of: (1) any material discovered in excavation thatContractor believes to be a hazardous waste that is required to be removed to a Class I, Class II or Class Ill disposal site; (2) subsurface or latent physical conditions at the site differing from those indicated by City; and (3) unknown physical conditions of an unusual nature at the site, significantly different from those ordinarily encountered in such contract work. Upon notification,City shall promptly investigate the conditions to determine whether a change order is appropriate.
In the event of a dispute, Contractor shall not be excused from any scheduled completion date and shall proceed with all Work to be performed under the Contract, but shall retain all rights provided by the Contract or by law for making protests and resolving the dispute.
3.10.7 Underground Utility Facilities. To the extent required by Section 4215 of the California Government Code, City shall compensate Contractor for the costs of: (1) locatingand repairing damage to underground utility facilities not caused by the failure of Contractor toexercise reasonable care; (2) removing or relocating underground utility facilities not indicated in the construction drawings; and (3) equipment necessarily idled during such work. Contractor shall not be assessed liquidated damages for delay caused by failure of City to provide for removal orrelocation of such utility facilities.
3.10.8 Air Quality. Contractor shall comply, and shall ensure all subcontractors comply, with all applicable requirements of the most current version of the regulations imposed by California Air Resources Board (“CARB”) including, without limitation, allapplicable terms of Title 13, California Code of Regulations Division 3, Chapter 9 and all pending amendments (‘Regulation”). Throughout the Project, and for three (3) years thereafter, 31 650004113124.1
Contractor shall make available for inspection and copying any and all documents or information associated with Contractor’s and its subcontractors’ fleets including, without limitation, theCertificates of Reported Compliance (CRC5”), fuel/refueling records, maintenance records, emissions records, and any other information the Contractor is required to produce, keep or maintain pursuant to the Regulation upon two (2) calendar days’ notice from the City. Contractor shall be solely liable for any and all costs associated with compliance with the Regulation as wellas for any and all penalties, fines, damages, or costs associated with any and all violations, or failures to comply with the Regulation. Contractor shall defend, indemnify and hold harmless the City, its officials, officers, employees and authorized volunteers free and harmless from anyclaims, liabilities, costs, penalties or interest arising out of any failure or alleged failure to comply with the Regulation.
3.10.9 Contractor must fully comply with all applicable laws, rules and regulations in furnishing or using equipment and/or providing services, including, but not limited to, emissions limits and permitting requirements imposed by the California Air Resources Board (CARB). Although CARB limits and requirements are more broad, Contractor shall specificallybe aware of their application to portable equipment”, which definition is considered by CARB toinclude any item of equipment with a fuel-powered engine. Contractor shall indemnify City against any fines or penalties imposed by CARB, or any other governmental or regulatory agency for violations of applicable laws, rules and/or regulations by Contractor, its subcontractors, or others for whom Contractor is responsible under its indemnity obligations provided for in this Contract.
3.10.10 State Recycling Mandates. Contractor shall comply with State Recycling Mandates. Any recyclable materials/debris collected by the contractor that can be feasibly diverted via reuse or recycling must be hauled by the appropriate handler for reuse or recycling.
3.10.11 Inspection Of Site. Contractor has visited sites where Work is to be performed and has become acquainted with all conditions affecting the Work. Contractor warrants that it has made such examinations as it deems necessary to determine the condition of the Work sites, its accessibility to materials, workmen and equipment, and to determine the Contractor’sability to protect existing surface and subsurface improvements. No claim for allowances—time or money—will be allowed as to such matters.
3.10.12 Field Measurements. Contractor shall make field measurements, verify field conditions and shall carefully compare such field measurements and conditions and other information known to Contractor with the Contract Documents before commencing activities.Errors, inconsistencies or omissions discovered shall be reported to the City immediately andprior to performing any work or altering the condition.
3.11 Completion of Work. When Contractor determines that it has completed the Work required herein, Contractor shall so notify City in writing and shall furnish all labor and material releases required by this Contract. City shall thereupon inspect the Work. If the Work isnot acceptable to the City, the City shall indicate to Contractor in writing the specific portions oritems of Work which are unsatisfactory or incomplete. Once Contractor determines that it has completed the incomplete or unsatisfactory Work, Contractor may request a re-inspection by theCity. Once the Work is acceptable to City, City shall pay to Contractor the Total Contract Price remaining to be paid, less any amount which City may be authorized or directed by law to retain.
Payment of retention proceeds due to Contractor shall be made in accordance with Section 7107 of the California Public Contract Code.
32 65059.00000\441 13124.1
3.12 Loss and Damage. Except as may otherwise be limited by law, Contractor shall be responsible for all loss and damage which may arise out of the nature of the Work agreed toherein, or from the action of the elements, or from any unforeseen difficulties which may arise orbe encountered in the prosecution of the Work until the same is fully completed and accepted by City. In the event of damage proximately caused by an Act of God, as defined by Section 7105of the Public Contract Code, the City may terminate this Contract pursuant to Section 3.18.3;provided, however, that the City needs to provide Contractor with only one (1) day advanced written notice.
3.13 Indemnification.
3.13.1 Scope of Indemnity. To the fullest extent permitted by law, Contractor shall defend, indemnify and hold the City, its officials, 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, regardless of whether the allegations are false, fraudulent, or groundless, to property or persons, including wrongful death, (collectively, Claims”) in any manner arising outof, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Contractor, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Contractor’s services, the Project or this Contract, including without limitation the payment of all expert witness fees, attorneys’ fees and other related costs and expenses.
Notwithstanding the foregoing, to the extent required by Civil Code section 2782, Contractor’s indemnity obligation shall not apply to such loss or damage which is caused by the sole or activenegligence or willful misconduct of the City.
3.13.2 Additional Indemnity Obligations. Contractor shall defend, with counsel of City’s choosing and at Contractor’s own cost, expense and risk, any and all Claims covered by this section that may be brought or instituted against City or its officials, employees, agents and authorized volunteers. In addition, Contractor shall pay and satisfy any judgment, award or decree that may be rendered against City or its officials, employees, agents and authorized volunteers as part of any such claim, suit, action or other proceeding. Contractor shall also reimburse City for the cost of any settlement paid by City or its officials, employees, agents andauthorized volunteers as part of any such claim, suit, action or other proceeding. Suchreimbursement shall include payment for City’s attorney’s fees and costs, including expert witness fees. Contractor shall reimburse City and its officials, employees, agents and authorizedvolunteers, for any and all legal expenses and costs incurred by each of them in connectiontherewith or in enforcing the indemnity herein provided. Contractor’s obligation to indemnify shall survive expiration or termination of this Contract, and shall not be restricted to insurance proceeds, if any, received by the City, its officials, employees, agents and authorized volunteers.
3.14 Insurance. [***CITY RISK MANAGER TO REVIEW TO DETERMINE WHETHER REQUIREMENTS AND LIMITS ARE ACCEPTABLE***]
3.14.1 Time for Compliance. Contractor shall not commence Work under this Contract until it has provided evidence satisfactory to the City that it has secured all insurancerequired under this section. In addition, Contractor shall not allow any subcontractor tocommence work on any subcontract until it has provided evidence satisfactory to the City that thesubcontractor has secured all insurance required under this section. Failure to provide and maintain all required insurance shall be grounds for the City to terminate this Contract for cause. 33 655900044113124.1
3.14.2 Minimum Requirements. Contractor shall, at its expense, procure and maintain for the duration of the Contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Work hereunder by Contractor, its agents, representatives, employees or subcontractors. Contractor shall also require all of its subcontractors to procure and maintain the same insurance for theduration of the Contract. Such insurance shall meet at least the following minimum levels of coverage:
3.14.2.1 Minimum Scope of Insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 00 01); (2) Automobile Liability:
Insurance Services Office Business Auto Coverage form number CA 00 01, code I (any auto); (3) Workers’ Compensation and Employer’s Liability: Workers’ Compensation insurance asrequired by the State of California and Employer’s Liability Insurance; and (4) Builders VA II Risk:
Builders/All Risk insurance covering for all risks of loss, including explosion, collapse, underground excavation and removal of lateral support (and including earthquakes and floods ifrequested by the City). Policies shall not contain exclusions contrary to this Contract.
3.14.2.2 Minimum Limits of Insurance. Contractor shall maintain limits no less than: (1) General Liability: $5,000,000 per occurrence for bodily injury, personal injury andproperty damage. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limitshall be twice the required occurrence limit; (2) Automobile Liability: $5,000,000 per accident for bodily injury and property damage; (3) Workers’ Compensation and Employer’s Liability: Workers’ compensation limits as required by the Labor Code of the State of California. Employer’s Liability limits of $1 000,000 each accident, policy limit bodily injury or disease, and each employee bodilyinjury or disease; and (4) Builders VA II Risk: Completed value of the project. Defense costs shallbe available in addition to the limits. Notwithstanding the minimum limits specified herein, any available coverage shall be provided to the parties required to be named as additional insureds pursuant to this Contract
3.14.2.3 Primary Insurance. For any claims related to this project, the Contractor’s insurance coverage shall be primary insurance coverage at least as broad as ISOCC 20 01 04 13 as respects the City its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it.
3.14.2.4 Notices; Cancellation or Reduction of Coverage. At least fifteen (15) days prior to the expiration of any such policy, evidence showing that such insurancecoverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or materially reduced, Contractor shall, within ten (10) days after receipt of written notice of suchcancellation 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. In the event any policy of insurance required under this Contract does not comply with these specifications or is canceled and not replaced, the City has the right but not the dutyto obtain the insurance it deems necessary and any premium paid by the City will be promptly reimbursed by Contractor or the City may withhold amounts sufficient to pay premium from Contractor payments. In the alternative, the City may suspend or terminate this Contract. 34 65059.00000\44 113124.1
3.14.3 Insurance Endorsements. The insurance policies shall contain the following provisions, or Contractor shall provide endorsements (amendments) on forms supplied or approved by the City to add the following provisions to the insurance policies:
3.14.3.1 General Liability. (1) Such policy shall give the City, its officials, employees, agents and volunteers additional insured status using ISO endorsements CG2O 10 10 01 pIus CG2O 37 1001, or endorsements providing the exact same coverage, with respect to the Work or operations performed by or on behalf of Contractor, including materials, parts or equipment furnished in connection with such work; (2) all policies shall waive or shall permitContractor to waive all rights of subrogation which may be obtained by the Contractor or any insurer by virtue of payment of any loss or any coverage provided to any person named as an additional insured pursuant to this Contract, and Contractor agrees to waive all such rights ofsubrogation; and (3) the insurance coverage shall be primary insurance as respects the City, itsofficials, employees, agents and volunteers, or if excess, shall stand in an unbroken chain ofcoverage excess of Contractor’s scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its officials, employees, agents and volunteers shall be excess of Contractor’s insurance and shall not be called upon to contribute with it.
3.14.3.2 Automobile Liability. (I) Such policy shall give the City, its officials, employees, agents and volunteers additional insured status with respect to theownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hiredor borrowed by Contractor or for which Contractor is responsible; (2) all policies shall waive orshall permit Contractor to waive all rights of subrogation which may be obtained by the Contractoror any insurer by virtue of payment of any loss or any coverage provided to any person namedas an additional insured pursuant to this Contract, and Contractor agrees to waive all such rightsof subrogation; and (3) the insurance coverage shall be primary insurance as respects the City, its officials, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of Contractor’s scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its officials, employees, agents and volunteers shall be excess of Contractor’s insurance and shall not be called upon to contribute with it in any way.
3.14.3.3 Workers’ Compensation and Employer’s Liability Coverage.
The insurer shall agree to waive all rights of subrogation against the City, its officials, employees, agents and volunteers for losses paid under the terms of the insurance policy which arise from work performed by Contractor.
3.14.3.4 All Coverages. Each insurance policy required by this Contract shall be endorsed to state that: (1) coverage shall not be suspended, voided, reduced or canceled except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the City; and (2) any failure to comply with reporting or other provisions of thepolicies, including breaches of warranties, shall not affect coverage provided to the City, its officials, employees, agents and volunteers.
3.14.4 Builders’/All Risk Policy Requirements. The builders/all risk insurance shall provide that the City be named as loss payee. In addition, the insurer shall waive all rightsof subrogation against the City.6509.00044113124.1 35 STRUTURSJ
LLATION FLOAiJ
ING STRUCTUJ
TROYED DURINc
ALLAtlON,AN
3.14.5 Separation of Insureds; No Special Limitations. All insurance required by this Section shall contain standard separation of insureds provisions. In addition, such insurance shall not contain any special limitations on the scope of protection afforded to the City,its officials, employees, agents and volunteers.
3.14.6 Professional Liability Insurance. All architects, engineers, consultants or design professionals retained by Contractor shall also procure and maintain, for a period of five(5) years following completion of the Contract, errors and omissions liability insurance with a limit of not less than $1,000,000 per occurrence. This insurance shall name the City, its directors,officials, officers, employees, agents and volunteers as additional and insureds with respect to Work performed, and shall otherwise comply with all requirements of this Section. Defense costs shall be paid in addition to the limits.
3.14.7 Deductibles and Self-Insurance Retentions. Any deductibles or selfinsured retentions must be declared to and approved by the City. Contractor shall guarantee that, at the option of the City, either: (1)the insurer shall reduce or eliminate such deductibles or selfinsured retentions as respects the City, its officials, employees, agents and authorized volunteers;or (2) the Contractor shall procure a bond or other financial guarantee acceptable to the City guaranteeing payment of losses and related investigation costs, claims and administrative anddefense expenses.
3.14.8 Acceptability of Insurers. Insurance is to be placed with insurers with a currentA.M. Best’s rating no less than A:VIl, licensed to do business in California, and satisfactory to the City. Exception may be made for the State Compensation Insurance Fund when not specifically rated.
3.14.9 Verification of Coverage. Contractor shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Contract and acopy of Declarations and Endorsements Page of the CGL policy listing all policy endorsements to City before work begins. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms supplied or approved by the City. All certificates and endorsements must be received andapproved by the City before work commences. The City reserves the right to require complete,certified copies of all required insurance policies, at any time.
3.14.10 Subcontractors. All subcontractors shall meet the requirements of this Section before commencing Work. Contractor shall furnish separate certificates and endorsements for each subcontractor. Subcontractor policies of General Liability insurance shall name the City, its officials, employees, agents and authorized volunteers as additional insureds using form ISO 20 38 04 13 or endorsements providing the exact same coverage. All coverages for subcontractors shall be subject to all of the requirements stated herein except as otherwise agreed to by the City in writing.650900044113124.1
36 3.14.11 Reporting of Claims. Contractor shall report to the City, in addition to Contractor’s insurer, any and all insurance claims submitted by Contractor in connection with the Work under this Contract.
3.15 Bond Requirements.
3.15.1 Payment Bond. If required by law or otherwise specifically requested by City in Exhibit C” attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Contract a Payment Bond in an amount required by the City and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until the bond has been received and approved by the City.
3.15.2 Performance Bond. If specifically requested by City in Exhibit “C” attached hereto and incorporated herein by reference, Contractor shall execute and provide toCity concurrently with this Contract a Performance Bond in an amount required by the City andin a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until the bond has been received and approved by the City.
3.15.3 Bond Provisions. Should, in City’s sole opinion, any bond become insufficient or any surety be found to be unsatisfactory, Contractor shall renew or replace the effected bond within (ten) 10 days of receiving notice from City. In the event the surety orContractor intends to reduce or cancel any required bond, at least thirty (30) days prior written notice shall be given to the City, and Contractor shall post acceptable replacement bonds at least ten (10) days prior to expiration of the original bonds. No further payments shall be deemed due or will be made under this Contract until any replacement bonds required by this Section are accepted by the City. To the extent, if any, that the Total Contract Price is increased in accordance with the Contract, Contractor shall, upon request of the City, cause the amount of the bond to be increased accordingly and shall promptly deliver satisfactory evidence of such increase to theCity. If Contractor fails to furnish any required bond, the City may terminate the Contract forcause.
3.15.4 Surety Qualifications. Only bonds executed by an admitted surety insurer, as defined in California Code of Civil Procedure Section 995.120, shall be accepted. If aCalifornia-admitted surety insurer issuing bonds does not meet these requirements, the insurer will be considered qualified if it is in conformance with Section 995.660 of the California Code of Civil Procedure, and proof of such is provided to the City.
3.16 Warranty. Contractor warrants all Work under the Contract (which for purposes of this Section shall be deemed to include unauthorized work which has not been removed andany non-conforming materials incorporated into the Work) to be of good quality and free from any defective or faulty material and workmanship. Contractor agrees that for a period of one year (or the period of time specified elsewhere in the Contract or in any guarantee or warranty provided by any manufacturer or supplier of equipment or materials incorporated into the Work, whicheveris later) after the date of final acceptance, Contractor shall within ten (10) days after being notifiedin writing by the City of any defect in the Work or non-conformance of the Work to the Contract, commence and prosecute with due diligence all Work necessary to fulfill the terms of the warranty at its sole cost and expense. Contractor shall act sooner as requested by the City in response toan emergency. In addition, Contractor shall, at its sole cost and expense, repair and replace any portions of the Work (or work of other contractors) damaged by its defective Work or whichbecomes damaged in the course of repairing or replacing defective Work. For any Work so corrected, Contractor’s obligation hereunder to correct defective Work shall be reinstated for an 37 6509.00044113124.1
additional one year period, commencing with the date of acceptance of such corrected Work.
Contractor shall perform such tests as the City may require to verify that any corrective actions,including, without limitation, redesign, repairs, and replacements comply with the requirements of the Contract. All costs associated with such corrective actions and testing, including the removal, replacement, and reinstitution of equipment and materials necessary to gain access, shall be the sole responsibility of Contractor. All warranties and guarantees of subcontractors, suppliers and manufacturers with respect to any portion of the Work, whether express or implied, are deemed to be obtained by Contractor for the benefit of the City, regardless of whether or not such warranties and guarantees have been transferred or assigned to the City by separate agreement and Contractor agrees to enforce such warranties and guarantees, if necessary, on behalf of theCity. In the event that Contractor fails to perform its obligations under this Section, or under anyother warranty or guaranty under this Contract, to the reasonable satisfaction of the City, the Cityshall have the right to correct and replace any defective or non-conforming Work and any work damaged by such work or the replacement or correction thereof at Contractor’s sole expense.
Contractor shall be obligated to fully reimburse the City for any expenses incurred hereunder upon demand.
3.17 Employee/Labor Certifications.
3.17.1 Contractor’s Labor Certification. By its signature hereunder, Contractor certifies that he 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 Work. A certification form for this purpose, which is attached to this Contract as Exhibit “D” and incorporated herein by reference, shall be executed simultaneously with this Contract.
3.17.2 Equal Opportunity Employment. Contractor represents that it is an equal opportunity employer and that it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex, age or other interests protected by the State or Federal Constitutions. Such non-discrimination shall include,but not be limited to, all activities related to initial employment, upgrading, demotion, transfer,recruitment or recruitment advertising, layoff or termination.
3.17.3 Verification of Employment Eligibility. By executing this Contract, Contractor verifies that it fully complies with all requirements and restrictions of state and federallaw respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time, and shallrequire all subcontractors and sub-subcontractors to comply with the same.
3.18 General Provisions.
3.18.1 City’s Representative. The City hereby designates the [***INSERT NAME], or his or her designee, to act as its representative for the performance of this Contract(‘City’s Representative”). City’s Representative shall have the power to act on behalf of the City for all purposes under this Contract. Contractor shall not accept direction or orders from any person other than the City’s Representative or his or her designee.
3.18.2 Contractor’s Representative. Before starting the Work, Contractor shall submit in writing the name, qualifications and experience of its proposed representative who shall be subject to the review and approval of the City (“Contractor’s Representative”). Following 38 6509.00044113124.1
approval by the City, Contractor’s Representative shall have full authority to represent and act on behalf of Contractor for all purposes under this Contract. Contractor’s Representative shall supervise and direct the Work, using his best skill and attention, and shall be responsible for allconstruction means, methods, techniques, sequences and procedures and for the satisfactorycoordination of all portions of the Work under this Contract. Contractor’s Representative shalldevote full time to the Project and either he or his designee, who shall be acceptable to the City,shall be present at the Work site at all times that any Work is in progress and at any time that any employee or subcontractor of Contractor is present at the Work site. Arrangements for responsible supervision, acceptable to the City, shall be made for emergency Work which may be required. Should Contractor desire to change its Contractor’s Representative, Contractor shallprovide the information specified above and obtain the City’s written approval.
3.18.3 Contract Interpretation. Should any question arise regarding the meaning or import of any of the provisions of this Contract or written or oral instructions from City, the matter shall be referred to City’s Representative, whose decision shall be binding upon Contractor.
3.18.4 Anti-Trust Claims. This provision shall be operative if this Contract is applicable to California Public Contract Code Section 7103.5. In entering into this Contract to supply goods, services or materials, Contractor hereby offers and agrees to assign to the City aN rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Section 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700, of Part 2 of Division 7 of the Business and Professions Code) arising from purchases of goods, services, or materials pursuant to the Contract. This assignment shall be made and become effective at the time the City tender final payment to Contractor, without further acknowledgment by the Parties.
3.18.5 Notices. All notices hereunder and communications regarding interpretation of the terms of the Contract or changes thereto shall be provided by the mailing thereof by registered or certified mail, return receipt requested, postage prepaid and addressed as follows:
CONTRACTOR:
[***INSERT CONTRACTOR NAME AND ADDRESS***]
AnN: [***INSERT CONTRACTOR REP. NAME ANDTITLE***]
CITY:
City of Avalon
410 Avalon Canyon
P.O. Box 707
Avalon, CA 90704Attn: [***INSERT NAME AND TITLE***]
Any notice so given shall be considered received by the other Party three (3) days after deposit in the U.S. Mail as stated above and addressed to the Party at the above address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method ofservice. 39 6509.000441131241
3.18.6 Time of Essence. Time is of the essence in the performance of this Contract.
3.18.7 Assignment Forbidden. Contractor shall not, either voluntarily or by action of law, assign or transfer this Contract or any obligation, right, title or interest assumed byContractor herein without the prior written consent of City. If Contractor attempts an assignment or transfer of this Contract or any obligation, right, title or interest herein, City may, at its option, terminate and revoke the Contract and shall thereupon be relieved from any and all obligations to Contractor or its assignee or transferee.
3.18.8 No Third Par-tv Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.
3.18.9 Laws; Venue. This Contract shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Contract, the action shall be brought in a state or federal court situated in the County of Los Angeles, State of California.
3.18.10 Counterparts. This Contract may be executed in counterparts, each of which shall constitute an original.
3.18.11 Successors. The Parties do for themselves, their heirs, executors, administrators, successors, and assigns agree to the full performance of all of the provisions contained in this Contract.
3.18.12 Solicitation. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Contract. Further, Contractor 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 Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Contract. For breach or violation of this warranty, City shall have the right to terminate this Contract without liability.
3.18.13 Conflict of Interest. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Contract. Further, Contractor 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 Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Contract. For breach or violation of this warranty, City shall have the right to rescind this Contract without liability. For the term of this Contract, no director, official, officer or employee of City, during the term of his or her service withCity, shall have any direct interest in this Contract, or obtain any present or anticipated material benefit arising therefrom. In addition, Contractor agrees to file, or to cause its employees or subcontractors to file, a Statement of Economic Interest with the City’s Filing Officer as required under state law in the performance of the Work.
3.18.14 Certification of License.
3.18.14.1 Contractor certifies that as of the date of execution of this Contract, Contractor has a current contractor’s license of the classification indicated below underContractor’s signature. 40 650900044113124.1
3.18.14.2 Contractors are required by law to be licensed and regulated by the Contractors’ State License Board which has jurisdiction to investigate complaints against contractors if a complaint regarding a patent act or omission is filed within four (4) years of the date of the alleged violation. A complaint regarding a latent act or omission pertaining to structuraldefects must be filed within ten (10) years of the date of the alleged violation. Any questionsconcerning a contractor may be referred to the Registrar, Contractors’ State License Board, P.O.
Box 26000, Sacramento, California 95826.
3.18.15 Authority to Enter Contract. Each Party warrants that the individuals who have signed this Contract have the legal power, right and authority to make this Contract and bind each respective Party.
3.18.16 Entire Contract; Modification. This Contract contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all priornegotiations, understandings or agreements. This Contract may only be modified by a writing signed by both Parties.
3.18.17 Non-Waiver. None of the provisions of this Contract shall be considered waived by either Party, unless such waiver is specifically specified in writing.
3.18.18 City’s Right to Employ Other Contractors. City reserves right to employ other contractors in connection with this Project or other projects.
3.18.19 Federal Provisions. [***INCLUDE THIS SECTION ONLY IF APPLICABLE; DELETE OTHERWISE AND DELETE ASSOCIATED EXHIBIT. YOU MAY ALSO
NEED TO INCLUDE SOME INFORMATION IN THE REP DUE TO FEDERAL FUNDING GUIDELINES. CONSULT LEGAL COUNSEL IF NECESSARY***]When funding for the Project is provided, in whole or in part, by an agency of the federal government, Contractor shall also fully and adequately comply with the provisions included in Exhibit “H” (Federal Requirements)attached hereto and incorporated herein by reference (“Federal Requirements”). With respect toany conflict between such Federal Requirements and the terms of this Contract and/or the provisions of state law, the more stringent requirement shall control. [Signatures on Next Page]
41 65059.00000\44 113124.1
SIGNATURE PAGE FOR CONSTRUCTION CONTRACT
BETWEEN THE CITY OF AVALON
AND **INSERT CONTRACTOR NAME**9
IN WITNESS WHEREOF, the Parties have entered into this Contract as of the [***INSERT DAY***] day of [***INSERT MONTH***], [***INSERT YEAR***].
CITY OF AVALON [INSERT NAME OF CONTRACTOR]
[If Corporation, TWO SIGNATURES,
Approved: President OR Vice President jQ Secretary OR Treasurer REQUIRED] By:________________________________
[INSERT NAME][INSERT TITLE] By:______________________
Its:_____________________________
ATTESTED: Printed Name:_______________
By:____________________________
City Clerk By:__________________________
Its:_____________________________
APPROVED AS TO FORM:
Printed Name:_________________
Best Best & Krieger LLP Contractor’s License Number and City Attorney Classification
DIR Registration Number
42 65059 00000\441 131241
EXHIBIT “A”
SERVICES I SCHEDULE
[INSERT SCOPE OF SERVICES]
ExhibitA- 1
6505900000\44 113124.1
EXHIBIT “B”
PLANS AND SPECIFICATIONS
[INSERT ALL PLANS AND SPECS]
Exhibit B - 1
65059.00000\44 113124.1
EXHIBIT “C”
SPECIAL CONDITIONS
ARTICLE 1. BONDS
Concurrently with this Contract, the Contractor shall deliver to the City four identical counterparts of the Performance Bond and Payment Bond on the forms supplied by the City and included as Exhibit “F” to the Contract. The surety supplying the bond must be an admitted surety insurer, as defined in Code of Civil Procedure Section 995.120, authorized to do business as such in the State of California and satisfactory to the City. The Performance Bond and the Payment Bond shall be for one hundred percent (100%) of the Total Contract Price. [***INSERT ADDITIONAL SPECIAL CONDITIONS USING ABOVE FORMAT**9 Exhibit C - I
650.004113124.1
EXHIBIT “D”
CERTIFICATION
LABOR CODE - SECTION 1861
I, the undersigned Contractor, am aware of the provisions of Section 3700, etg., of the California Labor Code which require every employer to be insured against liability for Worker’sCompensation or to undertake self-insurance in accordance with the provisions of the Code, and I, the undersigned Contractor, agree to and will comply with such provisions before commencing the performance of the Work on this Contract.
[***INSERT CONTRACTOR NAME9By: ________ Signature
Name (Print)
Title (Print)
Exhibit D - 1
65059.00000\441 13124.1
EXHIBIT “E”
PUBLIC WORKS CONTRACTOR REGISTRATION CERTIFICATION
Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be registered with the Department of Industrial Relations. See http://www.dir.ca.gov/Public Works/PublicWorks.html for additional information.
No bid will be accepted nor any contract entered into without proof of the contractor’s and subcontractors’ current registration with the Department of Industrial Relations to perform public work.
Contractor hereby certifies that it is aware of the registration requirements set forth in Labor Code sections 1725.5 and 1771.1 and is currently registered as a contractor with the Department of Industrial Relations.1
Name of Contractor:_________________________________DIR Registration Number:___________________________DIR Registration Expiration:____________________________ Small Project Exemption: _____Yes or _____No
Unless Contractor is exempt pursuant to the small project exemption, Contractor further acknowledges:
1. Contractor shall maintain a current DIR registration for the duration of the project.
2. Contractor shall include the requirements of Labor Code sections 1725.5 and 1771.1 in its contract with subcontractors and ensure that all subcontractors are registered at the time of bid opening and maintain registration status for the duration of the project.
3. Failure to submit this form or comply with any of the above requirements may result in a finding that the bid is non-responsive.
Name of Contractor:______________________
Signature:
Name and Title:______________________Dated:_________________________________ 1 If the Project is exempt from the contractor registration requirements pursuant to the small project exemption underLabor Code Sections 1725.5 and 1771.1, please mark “Yes” in response to “Small Project Exemption.” Exhibit E - 1
6509.00044113124.1
EXHIBIT “F”
PAYMENT AND PERFORMANCE BONDS
REFERENCE FOLLOWING PAGES FOR APPLICABLE BOND FORMS
Exhibit F - I
650900044113124.1
PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:
THAT WHEREAS, the City of Avalon (hereinafter referred to as City”) has awarded to _______________________
(hereinafter referred to as the Contractor”)
__________________________
an agreement for
__________________________________
(hereinafter referred to as the Project”).
WHEREAS, the work to be performed by the Contractor is more particularly set forth in the contract documents for the Project dated
__________________,
(hereinafter referred to as
“Contract Documents”), the terms and conditions of which are expressly incorporated herein by reference; and
WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents.
NOW, THEREFORE, we,
________________,
the undersigned Contractor and ___________________________________________________ as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of
_____________________________
DOLLARS,
($ ), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs,executors and administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept andperformed at the time and in the manner therein specified, and in all respects according to theirintent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of allmaterials and workmanship; and shall indemnify and save harmless the City, its officers and agents, as stipulated in said Contract Documents, then this obligation shall become null and void;otherwise it shall be and remain in full force and effect.
The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rights or the Contractor or Surety’s obligations under the Contract, law or equity, including, but not limited to, California Code of Civil Procedure section 337.15.
Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City’s option:
(1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or
(2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of thelowest responsive and responsible bidder, arrange for a Contract between such Exhibit F - 2
65059.00000\441 13124.1
bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the totalamount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
(3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the totalamount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor.
Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City’s objection to Contractor’s further participation in the completion of the Project.
The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waivenotice of any such change, extension of time, alteration or addition to the terms of the Contract Documents orto the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code.
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of _______________ 20.J. (Corporate Seal)
______________________________________
Contractor! Principal
By_____________________________
Title_________________________________
(Corporate Seal)
___________________________________
Surety
By_____________________________
Attorney-in-Fact
Exhibit F - 3
6505 9.00000\44 113124.1
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached.
(Attach Attorney-in-Fact Certificate) Title____________________________________ The rate of premium on this bond is _____________ per thousand. The total amount of premium charges,
$________________________________
(The above must be filled in by corporate attorney.)
THIS IS A REQUIRED FORMAny claims under this bond may be addressed to:
(Name andAddressofSurety) ________________________________________________ (Name and Address of Agent or __________________________________________________ Representative for service of process in California, if different
from above)
(Telephone number of Suretyand Agent or Representative for service of process in California)
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
ExhibitF-4
650.004113124.1
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIACOUNTY OFOn ______________ ____ personally appeared
__________________________________________
who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public ______________________________________________________ OPTIONAL Though the in formation below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT LI Individual
Corporate Officer
Title or Type of Document
Number of Pages
Date of Document
Signer(s) Other Than Named Above
20_, before me, Notary Public,
Title(s)
Partner(s) Limited
LI General
Attorney-In-Fact
u Trustee(s)
II Guardian/Conservatorii Other:
Signer is representing:Name Of Person(s) Or Entity(ies) 65059 00000\441 13124.1
Exhibit F - 5
PAYMENT BOND
KNOW ALL MEN BY THESE PRESENTS That
THAT WHEREAS, the City of Avalon (hereinafter referred to as “City”) has awarded to _______________________
(hereinafter referred to as the “Contractor”)
__________________________
an agreement for
__________________________________
(hereinafter referred to as the “Project”); and
WHEREAS, the work to be performed by the Principal is more particularly set forth in the contract documents for the Project dated ____________________ (‘Contract Documents”), the terms and conditions of which are expressly incorporated by reference; and WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials,provisions, provender, equipment, or other supplies used in, upon, for or about the performanceof the work contracted to be done, or for any work or labor done thereon of any kind, or foramounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wagesof employees of said Principal and its Subcontractors with respect to such work or labor the Suretyon this bond will pay for the same to the extent hereinafter set forth.
NOW THEREFORE, we, the Principal and
___________________________
as Surety,
are held and firmly bound unto the City in the penal sum of __________________ ________________________________ Dollars ($ ) lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Suretyor Sureties will pay for the same, in an amount not exceeding the sum herein above specified,and also, in case suit is brought upon this bond, all litigation expenses incurred by City in suchsuit, including reasonable attorneys’ fees, court costs, expert witness fees and investigationexpenses.
This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon this bond.
It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance,addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement Exhibit F - 6
650900044113124.1
pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change ormodification of any terms of payment or extension of the time for any payment pertaining orrelating to any scheme or work of improvement herein above described, nor by any rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent orsubsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit suchbond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recoveryshall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions ofsections 2819 and 2845 of the California Civil Code.
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ___________,20 (Corporate Seal)
Contractor/ Principal
By________________________________
Title___________________________________
(Corporate Seal) Surety
By_________________
Attorney-in-Fact
Title___________________________________
Signatures of those signing for the Contractor and Surety must be notarized and evidence ofcorporate authority attached. A Power-of-Attorney authorizing the person signing on behalf of theSurety to do so much be attached hereto.
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
Exhibit F - 7
6509.00044113124.1
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIACOUNTY OF ___________ On ______________ ____ personallyappeared ____________________________________________,
who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
______________________________________________________
OPTIONAL
Though the in formation below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title or Type of Document
Number of Pages
Date of Document
Signer(s) Other Than Named Above
20_, before me, Notary Public,
Title(s)
Partner(s) Li Limited
j General
Attorney-In-Fact
Trustee(s)
Li Guardian/Conservatorii Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
650900044131241
Exhibit F - 8
EXHIBIT “G”
Fleet Compliance Certification
Contractor hereby acknowledges that they have reviewed the California Air Resources Board’spolicies, rules and regulations and are familiar with the requirements of Title 13, California Codeof Regulations, Division 3, Chapter 9, effective on January 1, 2024 (the Regulation”). Contractorhereby certifies, subject to penalty for perjury, that the option checked below relating to the Contractor’s fleet, and/or that of their subcontractor(s) (Fleet”) is true and correct:
The Fleet is subject to the requirements of the Regulation, and the appropriate Certificate(s) of Reported Compliance have been attached hereto.
The Fleet is exempt from the Regulation under section 2449.1(f)(2), and a signed description of the subject vehicles, and reasoning for exemption has been attached hereto.Contractor and/or their subcontractor is unable to procure R99 or RiCO renewable diesel fuel as defined in the Regulation pursuant to section 2449.i(f)(3). Contractor shall keep detailed records describing the normal refueling methods, their attempts to procure renewable diesel fuel and proof that shows they were not able to procure renewable diesel(i.e. third party correspondence or vendor bids).
The Fleet is exempt from the requirements of the Regulation pursuant to section 2449(i)(4) because this Project has been deemed an Emergency, as defined under section 2449(c)(18). Contractor shall only operate the exempted vehicles in the emergencysituation and records of the exempted vehicles must be maintained, pursuant to section2449(i)(4).
The Fleet does not fall under the Regulation or are otherwise exempted and a detailed reasoning is attached hereto.
Name of Contractor:
Signature: — Name:
Title:
Date:
6509.00044113124.1
NOT APPLICABLE
65059.00000\441 13124.1
EXHIBIT “H”
FEDERAL REQUIREMENTS