INCORPORATED
JULY 26. 1957
HACITY OFFL
BRADBURY
SPECIAL MEETING
of the
CITY of BRADBURY
CITY COUNCIL
Monday, May 4, 2026 - 6:00 P.M.
BRADBURY CIVIC CENTER
600 Winston Avenue, Bradbury, CA 91008
BRADBURY
AGENDA
Special Meeting of the Bradbury City Council
To be held on Tuesday, May 4, 2026
at the Bradbury Civic Center
600 Winston Avenue, Bradbury, CA 91008
OPEN SESSION 6:00 PM
Each item on the agenda, no matter how described, shall be deemed to include any appropriate motion, whether to adopt a minute motion, resolution, payment of any bill, approval of any matter or action, or any other action. Items listed as "For Information" or "For Discussion" may also be subject of an "action" taken by the Board or a Committee at the same meeting.
CALL TO ORDER
ROLL CALL: Mayor Bruny, Mayor Pro Tem Szymkowski, Councilmembers Lathrop, Barakat & Hale APPROVAL OF THE AGENDA: Majority Vote of City Council to proceed with City Business DISCLOSURE OF ITEMS REQUIRED BY GOVERNMENT CODE SECTION 1090 & 81000 ET.SEQ.
1. PUBLIC COMMENT
Anyone wishing to address the City Council on any matter that is not on the agenda for a public hearing may do so at this time. Please state your name and address clearly for the record and limit your remarks to five (5) minutes.
Please note that while the City Council values your comments, the City Council cannot respond nor take action until such time as the matter may appear on a forthcoming agenda. Routine requests for action should be referred to City staff during normal business hours, Monday through Friday, 8:30 a.m. - 5:00 p.m., at 626.358.3218.
The City of Bradbury will gladly accommodate disabled persons or those who need accommodations for translation or interpretation services at a city public meeting. Please call the City Manager at 626.358.3218 at least 48 hours prior to the scheduled meeting for special assistance.
Agenda - City Council of the City of Bradbury Pg. 1 Special Meeting - May 4, 2026
2. AGREEMENT BETWEEN THE CITY OF BRADBURY AND SUNRISE REAL ESTATE FOR THE
PAYMENT OF FEES AND COSTS RELATED TO CONTRACT ENVIRONMENTAL, PLANNING, ENGINEERING AND LEGAL SERVICES FOR DEVELOPMENT OF 8.8 ACRES ON ROYAL OAKS DRIVE
The Sunrise Real Estate owns 8.8 acres on the corner of Royal Oaks Drive North and Winston Avenue. They have submitted an application to develop the property. In response, an agreement was drafted that specifies the developer will pay for costs associated with processing the application. It is recommended that the City Council adopt the agreement with Sunrise Real Estate for the payment of costs related to their application.
3. RESOLUTION NO. 26-08 OPPOSING THE ESSENTIAL SERVICES RESTORATION ACT, LOS
ANGELES COUNTY GENERAL SALES TAX MEASURE, AND AUTHORIZE TO OPPOSE ASSEMBLY BILL NO. 1768
11 At the April 19, 2026 City Council meeting, Council Member Hale requested that an item be agendized to consider opposition to a half-cent general sales tax proposal for Los Angeles County. It is recommended that the City Council adopt Resolution No. 26-08 to oppose the Essential Services Restoration Act, Los Angeles County General Sales Tax Measure appearing on the ballot for the June 2, 2026 Statewide Primary Election, and authorize the Mayor to execute a letter opposing Assembly Bill No. 1768.
ADJOURNMENT:
The City Council will adjourn to a Regular Meeting at the Bradbury Civic Center, 600 Winston Avenue, Bradbury, CA 91008 on Tuesday, May 19, 2026 at 7:00 p.m. "I, Diane Jensen, City Clerk, hereby certify that I caused this agenda to be posted at the Bradbury City Hall entrance gate by 5:00 p.m. on Thursday, April 30, 2026." City Clerk - City of Bradbury
Agenda - City Council of the City of Bradbury Pg. 2 Special Meeting - May 4, 2026 / CALL TO ORDER
/ PLEDGE OF ALLEGIANCE
V ROLL CALL
APPROVAL OF AGENDA
DISCLOSURE OF ITEMS REQUIRED BY
GOVERNMENT CODE SECTION 1090 &
81000 ET.SEQ.
AGENDA ITEM NO. 1 - PUBLIC COMMENT
AGENDA ITEM NO. 2
AGREEMENT BETWEEN THE CITY OF
BRADBURY AND SUNRISE REAL ESTATE
FOR THE PAYMENT OF FEES AND COSTS
RELATED TO CONTRACT ENVIRONMENTAL,
PLANNING, ENGINEERING AND LEGAL
SERVICES FOR DEVELOPMENT OF 8.8
ACRES ON ROYAL OAKS DRIVE
Elizabeth Bruny, Mayor (District 5)
Melodie Szymkowski, Mayor Pro Tem (District 2)
Richard T. Hafe, Council Member (District 1)
Richard Barakat, Council Member (District 3)
BRADBURY Bruce Lathrop, Council Member (District 4)
City of Bradbury
Agenda Memo
TO: Honorable Mayor and Members of the City Council
FROM: Kevin Keamey, City Manager
DATE: May 4, 2026
SUBJECT: AGREEMENT BETWEEN THE CITY OF BRADBURY AND
SUNRISE REAL ESTATE FOR THE PAYMENT OF FEES AND
COSTS RELATED TO CONTRACT ENVIRONMENTAL,
PLANNING, ENGINEERING AND LEGAL SERVICES FOR
DEVELOPMENT OF 8.8 ACRES ON ROYAL OAKS DRIVE
ATTACHMENTS: 1) Professional Services Agreement between the City of Bradbury and Sunrise Real Estates
SUMMARY
Sunrise Real Estate ('developer') owns 8.8 acres on the corner of Royal Oaks Drive North and Winston Avenue, in the City of Bradbury ('City') and has submitted an application to develop the property. In response, an agreement was drafted that specifies the developer will pay for costs associated with processing the application.
It is recommended that the City Council adopt the agreement (ATTACHMENT #1) between the City of Bradbury and Sunrise Real Estate for the payment of costs related to their application.
DISCUSSION
Sunrise Real Estate owns three (3) parcels consisting of approximately 8.8 acres on the corner of Royal Oaks Drive North and Winston Avenue. The developer has filed an application to develop the property into seventeen (17) lots, with the majority of the lots under 20,000 square feet. The application includes a General Plan Amendment, Zone Change, Zone Text Amendment, Specific Plan, and Tentative Tract Map. The FOR CITY COUNCIL AGENDA 5/4/26 AGENDA ITEM #
Contract Adoption with Sunrise Real Estate
development will require environmental review, which the type of environmental document needed will be determined once an Initial Study is completed.
The City of Bradbury does not have sufficient resources to prepare or review the environmental documents, including the related studies, reports, and analysis, and to process the project. Accordingly, to process the project, the City will need to hire a contract environmental consultant and a contract planner. The City has already released a Request for Proposals with a due date of Friday, May 8, 2026. Additionally, the project will require the services of the City Planner, as well as engineering, landscape architecture, and legal services, to be provided by the City's contract engineer, contract landscape architect, and contract City Attorney firm.
The agreement between the City and developer stipulates that the developer agrees to pay for all professional costs and expenses related to the services provided as part of the project. As part of the agreement, the developer agrees to deposit $40,000 within five (5) business days of the execution and delivery of the agreement by all parties. The agreement also allows the City to request additional funding when the developer's deposit account runs low.
FINANCIAL ANALYSIS
As part of the agreement between the developer and the City, the developer agrees to pay all professional costs and expenses related to the project's environmental review.
Since services utilized as part of this agreement will be paid for by the developer's deposits), this agreement poses no significant financial impact to the City.
RECOMMENDATION
It is recommended that the City Council adopt the agreement between the City of Bradbury and Sunrise Real Estate (ATTACHMENT #1) for the payment of costs related to their application.
ATTACHMENT #1
AGREEMENT
BETWEEN THE CITY OF BRADBURY AND SUNRISE REAL ESTATE
FOR THE PAYMENT OF FEES AND COSTS RELATED TO
CONTRACT ENVIRONMENTAL, PLANNING, ENGINEERING AND LEGAL
SERVICES FOR DEVELOPMENT OF
8.8 ACRES ON ROYAL OAKS DRIVE
This Agreement ("Agreement") is entered into as of May 4, 2026, by and between the City of Bradbury, California, a general law city and municipal corporation ("City"), and Sunrise Real Estate, a California Corporation ("Developer"), who agree as follows:
1. Recitals. This Agreement is made with reference to the following facts and circumstances:
Developer is the owner of approximately 8.8 acres located on the northwest corner of Royal Oaks Drive and Winston Avenue in the City with APNs of 8527-023-012, 8527-023-020, and 8527-023-021 ("Property").
B. The Property is located in the A-1 zone of the City.
C. Developer has filed applications for a General Plan Amendment, Zone Change, Zone Text Amendment, Specific Plan, and Tentative Tract Map for a 17 lot subdivision of the Property with the majority of the lots under 20,000 square feet. These approvals, collectively referred to as the "Project," will require environmental review. Until an Initial Study is completed, it is unknown what type of environmental document will be required.
D. Developer will provide the following technical studies: biological resources; air quality/GHG modeling; Phase 1 cultural resources; geotechnical/soil; hydrology/LID/drainage; noise assessment; and Traffic/MT screening. City then will prepare the Initial Study, the required environmental document, including any other required studies, and will peer review Developer's studies.
E. City does not have sufficient resources to prepare or review the environmental documents, including the related studies, reports and analyses, and to process the Project. Accordingly, in order for City to process the Project, City will need to hire a contract environmental consultant and a contract planner ("Contract Services").
Additionally, the Project will require the services of the City Planner, as well as engineering, landscape architecture and legal services, to be provided by the City's contract engineer, contract landscape architect, and contract City Attorney firm, respectively ("City Services"). Collectively, the Contract Services and City Services are referred to as "Services."
F. Developer would like the City to begin work on the Project, including processing the applications and issuing Requests for Proposals (RFPs) as soon as feasible.
G. City believes it is in the public interest for Developer to pay for the above- described Services.
H. Developer desires to move forward with the Project, subject to the reimbursement obligations set forth herein.
2. Agreement to Pay for Services.
A. Developer shall pay for the City Services. City Services are billed on an hourly basis. The current rates are as follows:
* City Attorney - $450/hour. [Developer shall reimburse the City for any time reviously billed by the City Attorney on this matter prior to entering into this Agreement These rates may increase starting July 1. 202€
* City Planner - $165/hour (this is separate from the Contract Planning Consultant. * City Engineer - $170/hour for the project principal and $147/hour for the project manager and plan check engineer. These rates are scheduled to increase starting July 1, 2026 to $180/hour for the project principal and $170/hour for the project manager and plan check engineer.
* City Landscape Architect - $140/hour.
B. City will issue RFPs for a contract planning consultant, environmental consultant, and wildfire expert within ten (10) business days of the execution of this Agreement, and otherwise process the applications and studies in a timely manner. Once the City chooses the selected consultants and enters into agreements, City and Developer shall amend this Agreement to incorporate the proposals and Developer agrees to pay for such Contract Services.
3. Application Fees.
A. The project requires the following application fees be paid:
FEE AMOUNT
Specific Plan 13,507.42
Subdivision 4,844.09
Zoning Code Amendment 17,228.81
Zone Change 14,511.59
General Plan Amendment 14,511.59
Total 64,603.50
These fees are based on the fully burdened hourly rates of the City Manager, City Planner (Consultant), City Clerk, and Management Analyst as they existed in 2009. The 2009 Sunrise Real Estate Reimbursement Agreement
fees were adjusted by three percent (3%) in 2014 to set the rates that are currently in effect. There has not been any increase to the fee schedule since that time. The hourly rates for the four positions are therefore calculated as follows for purposes of the fees:
• City Manager - $118.70
• City Planner - $120.51
• City Clerk - $63.18
• Management Analyst - $52.66
B. It is recognized by both parties that this Agreement calls for the hourly reimbursement of the City Planner and that some of the fees being charged may involve duplicative services, given the nature of such services. In order to ensure that the City is not charging fees which exceed the cost of services, the following procedure will be used.
Developer will pay for all application fees set forth in Section 3.A above and will reimburse the City for all Services in accordance with Section 2 above. The City Manager, City Clerk, and Management Analyst (collectively, "Staff") shall keep track of their time in 10 minute increments. At the conclusion of Staff's work on the project, it will be determined how much time was expended by each person and that will be multiplied by the hourly rate set forth above. It the amount is less than $64,603.50, the difference will be refunded to the Developer. No additional sums will be due if the amount exceeds $64,603.50.
4. Deposits.
A. Within five (5) Business Days of execution and delivery of this Agreement by all parties, Developer agrees to deposit with City the sum of forty thousand dollars ($40,000.00) for initial City Services. Developer understands that no work will take place on this Project until the deposit is made; but once the Deposit is made, the City will begin work without delay and process the Project expeditiously. Developer shall make additional deposits to cover anticipated expenses once the City enters into agreements for Contract Services.
B. At any time that City determines in good faith that the sums then held in deposit are inadequate to pay for the projected Services to be paid from such deposit over the succeeding two (2) month period, Developer shall replenish the relevant deposit with the amount requested by City in writing, within ten (10) Business Days of such written request.
C. Should any deposit not be replenished in the time and amount specified as above, City may direct that all Services be halted until such time as such deposit is replenished. Developer shall be responsible for all costs incurred as a result of any suspension of work
D. City shall provide Developer with monthly statements of draws against this deposit, accompanied by invoices, time records, or other reasonable back-up therefor.
Sunrise Real Estate Reimbursement Agreement
City may redact bills if necessary to maintain attorney-client confidentiality or work- product privilege, but a general summary of attorney work and hours shall be provided.
Developer shall notify City of any objections to the invoice within 10 days of receipt of it.
The Parties shall then meet and confer regarding any such objections within 10 days of Developer's notice to the City.
E. The deposit will be placed in a non-interest bearing trust account. Developer understands and agrees that City will not pay interest to Developer on the deposit, and Developer will not seek interest payments from City on any unused portion of the deposit.
No later than forty (40) days after the earliest to occur of: (1) Developer notifies City in writing of its withdrawal of the Project applications, or (2) the Project is otherwise abandoned, City will provide Developer with a final accounting of costs and expenses, accompanied by invoices, time records or other reasonable back-up therefor, which accounting the Developer agrees will be conclusive, in the absence of manifest error. Should the total reimbursement amount required for any service be less than the total amount deposited by Developer with respect to such services, City will refund any remaining deposit amount relating to such services to Developer within forty-five (45) days after determining the final reimbursement amount for such services.
G. In the event Developer fails or refuses to make any of the deposits required herein, 1) City may apply funds from other deposits held by it to cover the shortfalls and 2) Developer shall be liable to City for the amount of all fees charged to the City for Services actually provided which exceed the amount of the deposit paid by Developer for such Services. City shall have the right to pursue a breach of contract action against the Developer for said fees and Developer have the right to pursue a breach of contract action based upon any objections it may file to the City's accounting, invoices, and charges under this Agreement. Further the prevailing party in any dispute and/or litigation necessary to enforce or interpret this Agreement shall be entitled to seek and collect its costs and reasonable attorney's fees from the other party.
Other Costs. Developer acknowledges that the cost of the Services does not include application, permitting, inspection, or other fees which may be charged by City in connection with the Project. To the extent the fees ordinarily charged by City for projects similar to the Project relate to costs that are not reimbursed under this Agreement, such fees shall be separately paid in accordance with the relevant City fee schedule.
6. No Guarantee of Approval. Developer acknowledges that its payments and deposits described herein do not mean that the City will approve the Project or that City staff will make a recommendation in favor of the Project. The City retains the right to consider all feasible mitigation measures and alternatives, and the right to deny the project. Even if the Project is not approved, Developer shall remain liable for all costs for Services actually provided concerning the Project.
Sunrise Real Estate Reimbursement Agreement
Independence of Consultants.
A. During the term of this Agreement, Developer will not directly or indirectly enter or propose to enter into any financial or business relationship with any of City's consultants that are working on the Project.
B. Developer hereby acknowledges and agrees as follows:
i. City has sole discretion to select which of its employees or independent contractors are assigned to work on Developer's application; City has sole discretion to determine which persons City will hire as consultants to work on Developer's application.
ill. As between City and Developer, City has sole discretion to direct the work and evaluate the performance of the consultants whom the City hires to work on Developer's application. City retains the right to terminate or replace at any time any consultant who is assigned to work on Developer's application. iv. City has sole discretion to determine the amount of compensation paid to consultants hired by City to work on Developer's application.
V. City, not Developer, shall pay consultants hired or assigned by City to work on Developer's application from a deposit account under the exclusive control of City, which is to be funded by Developer as set forth in this Agreement.
C. Neither Developer nor its officers, employees or agents, shall communicate with the environmental consultant team during the term of this Agreement unless such communication is initiated by an authorized member of the consultant team to obtain information about the Project or otherwise necessary to provide the studies required by the City.
8. Term and Termination. Absent a formal withdrawal of the Project application(s), Developer shall not be entitled to terminate this Agreement. The term of this Agreement shall commence upon the execution and delivery of this Agreement by all parties hereto.
If Developer does formally withdraw the Project applications), Developer shall remain liable for all costs for the Services incurred through the date of termination. The term of this Agreement shall commence upon the execution and delivery of this Agreement by all parties hereto and shall terminate on the earliest to occur of: (a) the City taking final action on the Project; and (b) Developer formally withdrawing its Project applications. The provisions of Sections 4.E, 4.F, 5, 6, 8 through 10 (inclusive) and 14 through 22 (inclusive) shall survive termination of this Agreement.
Sunrise Real Estate Reimbursement Agreement
9. Developer Default.
A. Should Developer fail to perform any of its obligations under this Agreement, then City may, at its option, pursue any or all of the remedies available to it under this Agreement, at law or in equity.
Without limiting any other remedy which may be available to it, if Developer fails to perform any of its obligations under this Agreement, other than providing an additional deposit when required, City may cease performing its obligations under this Agreement after providing Developer with a 10-day notice to cure.
C. If any amounts remain owing to City for Services actually performed prior to termination of this Agreement, City may bring an action to recover all costs and expenses incurred by the City in completing such Services, together with interest thereon from the date incurred at the rate of ten percent (10%) per annum, or at the maximum legal rate, whichever is greater.
If the Project is approved and any amounts remain owing to City pursuant to this Agreement for Services actually performed prior to termination of this Agreement, City may withhold permits and/or certificates of occupancy until all such amounts are paid.
10. Indemnification. Developer further agrees that to the fullest extent permitted by law, the Developer shall defend, indemnify, and hold harmless, the City of Bradbury and its officers, employees, volunteers, attorneys and agents (in the aggregate, "City Indemnitees") from any and all liability, demand, claim, action, or proceeding, whether actual or threatened, including by way of example but not exclusion, proceedings of an administrative or regulatory nature and proceedings that may be associated with alternative dispute resolution (an "Indemnified Claim") brought by third parties against any City Indemnities (including any advisory agency of the City), challenging the validity of any approvals granted for the Project, the Environmental Document concerning the Project, or seeking damages which may arise from this Agreement, other than liabilities, demands, claims, actions or proceedings caused by the sole negligence or willful misconduct of the City or any City Indemnitee. In any defense of any City Indemnitees, City shall have the absolute right to unilaterally select the legal counsel for such City Indemnitees (with the intention of using one law firm to defend all City Indemnitees unless conflicts of interest preclude such joint representation) and any experts or consultants deemed necessary by City in an exercise of City's sole discretion.
City shall promptly render notice to the Developer of the existence of the Indemnified Claim (a "Notice") and Developer shall defend the City Indemnitees at Developer's expense. City shall cooperate fully with Developer in the defense of any Indemnified Claim. In any Notice, City shall estimate the cost of its defense, which shall include but not be limited to actual attorney fees, court costs, expert witness and consultant fees, and all other costs that may arise out of, or be incurred by City in the defense of an Indemnified Claim. Upon such Notice, Developer shall promptly deposit funds equal to the first three (3) months of the Estimated Cost of defense with the City Sunrise Real Estate Reimbursement Agreement
and shall make additional deposits as and when required to fund the further costs of defending the City Indemnitees for such Indemnified Claim. City shall refund, without interest, any unused portion of the deposits once litigation is finally concluded or a dispute is resolved regarding an Indemnified Claim.
11. Compliance with Law. Developer will, at its sole cost and expense, comply with all of the requirements of all federal, state, and local laws now in force, or which may hereafter be in force, pertaining to this Agreement.
12. Waiver of Breach. Any express or implied waiver of a breach of any term of this Agreement will not constitute a waiver of any further breach of the same or any other term of this Agreement.
13. Notices. Except as otherwise expressly provided by law, all notices or other communications required or permitted by this Agreement or by law to be served on or given to either party to this Agreement by the other party shall be in writing and will be deemed received on: (i) the day of delivery if delivered by hand, e-mail (with confirmation of receiving party) and fax (both email and fax required for notices delivered by email or fax), or overnight courier service, during regular business hours; or (i) on the third business day following deposit, with postage prepaid, in the United States Postal Service and addressed to the contracting parties if sent by United States Mail. Name, address, telephone numbers, and e-mail addresses of the Parties for notice are as follows:
City : City of Bradbury
600 Winston Ave.
Bradbury, CA 91008
Attention: Kevin Kearney, City Manager
Phone: 626/358-3218
Email: [email protected]
A Copy to: Cary S. Reisman
City Attorney, City of Bradbury
Jones & Mayer
3777 N. Harbor Blvd.
Fullerton, CA 92835
Phone: 714/446-1400
Email: [email protected]
Developer: Selina Sun
Sunrise Real Estate
130 S. 1st Ave.
Arcadia, CA 91006
Phone: (626) 321-2427
Email: [email protected]
Sunrise Real Estate Reimbursement Agreement
Either party may change its address for the purpose of this section by giving written notice of the change to the other party.
Interpretation. This Agreement is deemed to have been prepared by all of the parties hereto, and any uncertainty or ambiguity herein shall not be interpreted against the drafter, but rather, if such ambiguity or uncertainty exists, shall be interpreted according to the applicable rules of interpretation of contracts under the law of the State of California.
15. Business Day. For purposes of this Agreement, "Business Day" means any day other than a Saturday, Sunday, a federal holiday, or a day on which City Hall for the City of Bradbury is closed for the conduct of regular business.
16. Successors. This Agreement shall be binding on and inure to the benefit of the successors and assigns of the respective parties hereto. However, this Agreement shall sons as fare. not be assigned by Developer in whole or in part without the prior written consent of City.
Governing Law. This Agreement has been made in and will be construed in accordance with the laws of the State of California, and exclusive venue for any action involving this Agreement will be in Los Angeles County.
18. Partial Invalidity. Should any provision of this Agreement be held by a court of competent jurisdiction to be either invalid or unenforceable, the remaining provisions of this Agreement will remain in effect, unimpaired by the holding.
19. Integration. This instrument constitutes the sole agreement between City and Developer respecting the above matters, and correctly sets forth the obligations of City and Developer. Any Agreements or representations by City to Developer not expressly set forth in this instrument are void.
20. Construction. The language of each part of this Agreement will be construed simply and according to its fair meaning, and this Agreement will never be construed either for or against either party, whether or not that party drafted all or a portion hereof.
21. Authority/Modification. Each party represents and warrants that all necessary action has been taken by such party to authorize the undersigned to execute this Agreement on behalf of such party and to engage in the actions of such party described herein. This Agreement may be modified solely by written amendment signed by both City and Developer. City's City Manager, or designee, may execute any such amendment on behalf of City.
22. Counterparts. This Agreement may be executed in any number of counterparts, each of which will be an original, but all of which together will constitute one instrument executed on the same date.
Sunrise Real Estate Reimbursement Agreement
•
IN WITNESS WHEREOF the parties hereto have executed this Agreement as of the day and year first hereinabove written.
CITY OF BRADBURY
By:
Elizabeth Bruny
Mayor
APPROVED AS TO FORM:
By:_
Cary S. Reisman
City Attorney
DEVELOPER
Sunrise Real Estate
By:_
Selina Sun
Sunrise Real Estate Reimbursement Agreement
AGENDA ITEM NO. 3
RESOLUTION NO. 26-08 OPPOSING THE
ESSENTIAL SERVICES RESTORATION ACT,
LOS ANGELES COUNTY GENERAL SALES
TAX MEASURE, AND AUTHORIZE TO
OPPOSE ASSEMBLY BILL NO. 1768
Elizabeth Bruny, Mayor (District 5)
Melodie Szymkowski, Mayor Pro Tem (District 2)
Richard T. Hale, Council Member (District 1)
Richard Barakat, Council Member (District 3)
BRADBURY Bruce Lathrop, Council Member (District 4)
City of Bradbury
Agenda Memo
TO: Honorable Mayor and Members of the City Council
FROM: Kevin Kearney, City Manager
DATE: May 4, 2026
SUBJECT: RESOLUTION NO. 26-08 OPPOSING THE ESSENTIAL SERVICES
RESTORATION ACT, LOS ANGELES COUNTY GENERAL SALES
TAX MEASURE, AND AUTHORIZE TO OPPOSE ASSEMBLY BILL
NO. 1768
ATTACHMENTS: 1) Resolution No. 26-08
2) Letter of Opposition to AB 1768
SUMMARY
At the April 19, 2026 City Council meeting, Council Member Hale requested that an item be agendized to consider opposition to a half-cent general sales tax proposal for Los Angeles County. Resolution No. 26-08 expresses the City Counci's opposition to a half- cent sales tax proposal known as the Essential Services Restoration Act, due to its broad and unspecific purposes, and for exceeding the established limit on local sales tax rates.
In support of the general sales tax proposal, Assembly Bill No. 1768 ("AB 1768"), introduced February 9, 2026, seeks to temporarily override the Transactions and Use Tax Law, allowing the combined rate of taxes in LA County to exceed the statutory limit of 2%.
It is recommended that the City Council adopt Resolution No. 26-08 to oppose the Essential Services Restoration Act, Los Angeles County General Sales Tax Measure, appearing on the ballot for the June 2, 2026 Statewide Primary Election and authorize the Mayor to execute a letter opposing Assembly Bill No. 1768 (Transactions and Use Taxes:
County of Los Angeles).
5/4/26 AGENDA ITEM #_3
FOR CITY COUNCIL AGENDA
BACKGROUND
At its meeting on February 10, 2026, the Los Angeles County Board of Supervisors voted 4-1 to place the Essential Services Restoration Act on the June 2, 2026, Statewide Primary Election ballot. The general sales tax measure proposes a new half-cent (0.5%) tax increase, purportedly to offset federal funding reductions resulting from H.R. 1, the "One Big Beautiful Bill Act," signed into law by President Donald Trump on July 4, 2025.
Federal reductions have significantly impacted enrollment and coverage in Medicaid (Medi-Cal), DHS's primary funding source. In proposing the measure, the Board of Supervisors noted that the County faces more than $1 billion in annual federal revenue losses to DHS and the Department of Public Health. As a result, the Board of Supervisors has proposed a general sales tax measure that seeks to recoup the loss of federal funding from LA County taxpayers.
Under the proposed allocation in the adopting documentation, 47% of the revenues would fund no-cost or reduced-cost care for low-income, uninsured residents. An additional 22% would support public hospitals and clinic services, 10% would fund health equity grants, and 5% would go to nonprofit hospitals serving communities where at least 40% of residents within a five-mile radius live below 200% of the federal poverty level or are designated disadvantaged communities.
While it is presumed that most revenue generated by the proposed measure would be distributed to the County's Department of Health Services ("DHS) and allocated as described above, these would merely be suggested allocations that could be completely ignored by the County. As a General Tax measure, the new tax proceeds could be spent on any general govermental expenditure.
In February 2023, Assembly Bill 1679 paved the way for the County's Measure A to exceed the 2% statutory cap on local sales and use taxes in Los Angeles County. Due to Measure A, which was approved by LA County voters in November 2024, overall sales tax permanently increased by a net of 0.25%.
To facilitate this new tax proposal, Assemblymember Isaac Bryan (District 55) introduced Assembly Bill 1768 on February 9, 2026, which would again allow the existing limit on local sales tax to be topped.
At the April 19, 2026 City Council meeting, Council Member Hale requested that an item be agendized to consider opposition to a half-cent general sales tax proposal for Los Angeles County.
DISCUSSION
As proposed, the Essential Services Restoration Act General Sales Tax Measure would take effect 10 days after the Los Angeles County Board of Supervisors declares the
election results and would be sunset on October 1, 2031. The measure proposes a half- cent increase to the County's transactions and use tax (sales tax), which is projected to generate more than $1 billion annually.
General sales tax measures require approval by a simple majority of voters and are unrestricted in use. As a general tax, the revenues from the proposed measure will be deposited into the County's General Fund and may be used for any County services, at the discretion of the Board of Supervisors. The proposed ballot text for the June 2, 2026, Statewide Primary Election is shown below:
Essential Services Restoration Act for Los Angeles County General Sales Tax Measure
Shall the measure to help our community address severe federal cuts enacted by the President and Congress; reduce the loss of essential services, including healthcare for County residents; reduce the risk of closing the County's four public hospitals and numerous clinics, and significant healthcare provider layoffs and other service cuts by enacting a 1/2 percent (0.5%) general sales tax for 5 years, generating approximately $1 billion annually, with independent audits, be adopted?
Given the County's challenges in effectively tracking and delivering measurable progress with previously approved general tax measures, it is unlikely that a different outcome would result from this latest general tax proposal.
Federal spending decisions can certainly affect local communities; however, shifting the costs to cities to replace lost federal funding places additional burdens on local taxpayers.
While reductions in federal public health funding may have local impacts, the proposed sales tax does not account for the possibility that federal funding could later be restored.
The ordinance contains no provisions to suspend or terminate the tax if funding returns, nor does it consider the relatively short timeframe of the current federal administration compared to the five-year duration of the tax proposal.
The proposed County tax is possible because the State Legislature has since modified these statutory limits, effectively weakening local government control.
FISCAL IMPACT
If the Essential Services Restoration Act is approved by LA County voters in June, the sales tax rate everywhere in the county would increase by 0.5% through October 31, 2031.
Although additional revenue could help maintain public services available to all LA County residents, there is no clear evidence that Bradbury residents will directly benefit from any of these new funds or that any of these funds will be used for health services specifically.
As a result, Bradbury residents are likely to contribute more through the higher tax than
any benefits they would receive in return.
RECOMMENDATION
It is recommended that the City Council adopt Resolution No. 26-08 to oppose the Essential Services Restoration Act, Los Angeles County General Sales Tax Measure, appearing on the ballot for the June 2, 2026, Statewide Primary Election, and authorize the Mayor to execute a letter opposing Assembly Bill No. 1768 (Transactions and Use Taxes: County of Los Angeles).
ATTACHMENT #1
RESOLUTION NO. 26-08
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRADBURY, CALIFORNIA, OPPOSING THE LOS ANGELES COUNTY "HEALTHCARE FUNDING RESTORATION ACT" COUNTYWIDE SALES TAX MEASURE
WHEREAS, Los Angeles County has proposed placing a one-half cent (1/2¢) countywide general sales tax measure known as the Healthcare Funding Restoration Act, on the June 2026 Primary Election ballot; and,
WHEREAS, the proposed measure would increase the overall sales tax burden on residents and businesses and may impact local economic activity and the ability of cities to secure voter support for locally controlled funding measures; and, F
WHEREAS, the structure of the proposed measure does not guarantee proportional return of revenues to the communities from which they are generated and relies on centralized County allocation decisions; and,
WHEREAS, the County has immediately jumped to the imposition of a sales tax increase instead of conducting the necessary reviews of its system to ensure efficient and effective health care service delivery; and,
WHEREAS, the City expresses concerns regarding accountability, transparency, and long-term local benefit associated with the proposed measure; and, WHEREAS, the County has developed a spending plan for sales tax proceeds that would direct such a general sales tax if passed, but cannot guarantee that such funding be actually delivered and provide for a sustained health care system.
NOW, THEREFORE IT IS HEREBY RESOLVED by the City Council of the City of Bradbury, State of California, as follows:
Section 1. The City Council formally expresses its opposition to the proposed Los Angeles County Healthcare Funding Restoration Act countywide general sales tax measure.
Section 2. The City Clerk is directed to transmit a copy of this Resolution to the Los Angeles County Board of Supervisors, the County Chief Executive Officer, local legislative representatives, and other appropriate agencies.
Section 3. The Mayor shall sign and the City Clerk shall certify to the passage and adoption of this Resolution and thereupon the same shall take effect and be in force.
PASSED, APPROVED AND ADOPTED by the City Council of the City of Bradbury, State of California, this 4' day of May, 2026, by the following vote:
MAYOR - CITY OF BRADBURY
ATTEST:
=
CITY CLERK - CITY OF BRADBURY
"I, Diane Jensen, City Clerk, hereby certify that the foregoing Resolution, being Resolution No. 26-08, was duly adopted by the City Council of the City of Bradbury, California, at a regular meeting held on the 4th day of May, 2026 by the following roll call vote:" AYES:
NOES:
ABSENT:
CITY CLERK - CITY OF BRADBURY
ATTACHMENT #2
CITY of BRADBURY
Incorporated July 26, 1957
Elected Officials
May 4, 2026
Mayor
Elizabeth Bruny, District 5
California State Assembly
Mayor Pro Tem
Melodie Szymkowski, District 2 Committee on Revenue and Taxation Councilmember 1020 N Street, Room 167A
Richard T. Hale, Jr., District 1
Sacramento, CA 95814
Councilmember
Richard G. Barakat, District 3
RE: OPPOSITION TO AB 1768 (GIPSON) - TRANSACTIONS AND USE Councilmember
Bruce Lathrop, District 4 TAXES: COUNTY OF LOS ANGELES
Dear Chair and Members of the Committee:
Staff On behalf of the City of Bradbury, I write to respectfully express our opposition to City Manager AB 1768, which would authorize Los Angeles County to exceed the statutory cap Kevin Keamey, PhD
on local transactions and use taxes.
City Clente
Diane Tensen
The City of Bradbury recognizes the importance of maintaining strong healthcare Management Analyst
Paulina Reyes and public health services throughout Los Angeles County. However, the approach contemplated by AB 1768 raises significant concerns regarding the preservation of City Attorney
Cary Reisman local fiscal authority and the long-term ability of cities to fund essential municipal Building Inspector services.
Mark Handler
City Engineer
David Gilbertson Cities rely on the limited flexibility provided under existing law to pursue locally controlled revenue measures approved by voters. These locally generated funds are City Planner
Jim Kasama essential to sustaining services that residents rely on daily, including public safety, Finance Director infrastructure maintenance, parks and recreation programs, and community Suresh Malkani
services. By authorizing Los Angeles County to exceed the existing sales tax cap, AB 1768 risks crowding out the remaining tax capacity available to cities and limiting cities' ability to pursue future voter-approved measures necessary to maintain service levels and address emerging community needs.
Additionally, residents and businesses throughout Los Angeles County already face one of the highest cumulative sales tax burdens in the state. Further increasing the countywide sales tax may reduce consumer spending, place small and 600 Winston Avenue, Bradbury, CA 91008 • 626.358.3218 • fax 626.303.5154 independently owned businesses at a competitive disadvantage, and weaken local economic vitality. Layering additional countywide taxation onto existing local taxes may also diminish voter support for locally controlled funding initiatives that cities depend upon to maintain essential services and invest in infrastructure.
The City is also concerned that revenues generated within cities would not necessarily be returned to those communities in proportion to their contribution. The proposed countywide measure relies on centralized allocation decisions, limiting the likelihood that cities such as Bradbury would receive direct or measurable benefits from the additional tax burden placed on our residents.
Finally, the statutory cap on local transactions and use taxes exists to maintain a balance between the taxing authority of multiple jurisdictions and to protect taxpayers from overlapping tax increases. Authorizing exemptions to this cap for individual counties risks establishing a precedent that could undermine the effectiveness of this safeguard and erode the fiscal balance intended under state law.
For these reasons, the City of Bradbury respectfully urges the Committee to oppose AB 1768.
While we acknowledge the challenges facing healthcare funding, solutions should not come at the expense of local fiscal sustainability and the ability of cities to serve their residents.
Thank you for considering the City's concerns.
Sincerely,
Elizabeth Bruny
Mayor
600 Winston Avenue, Bradbury, CA 91008 • 626.358.3218 • fax 626.303.5154