Scope of Work
Task 1: Project Initiation, Management, and Data Collection
Task 1.1 – Ongoing Project Management and Quality Assurance/ Quality Control Process
Our project management approach stresses communication, teamwork, objectivity, and accountability to meet project objectives. Task 1 includes general administrative duties including client correspondence, billing, project documentation, and administration of the study control plan.
We believe in a no-surprises approach and communicate with clients on a regular basis through web conferences, and telephone conferences so that the client is always aware of project status.
Raftelis’ quality assurance/quality control (QA/QC) process fosters high quality, accurate work. The QA/QC process includes reviews by the Project Manager and Technical Reviewer. These senior staff members review work products for consistency and validity to ensure that the cost of service and rate models are based on sound rate-making principles and standard industry practice. Senior staff also review the report not only to ensure that it is a high-quality comprehensive report that is consistent with model results, but also that it clearly conveys the rationale and derivation of the rates.
Task 1.2 – Project Initiation and Data Collection
Additionally, Raftelis believes a productive kick-off meeting is the most effective way to begin a study of this nature. The goals for this meeting include:
• Providing a forum to finalize the work plan and schedule with City staff • Understanding of the City’s goals and policy objectives • Establishing an appropriate schedule for the study
• Providing an opportunity for City staff to meet and become comfortable with our Project Team
• Reviewing the data needs for the study
Accomplishing these objectives will help to ensure that the project progresses as smoothly as possible.
A detailed data request list will also be submitted prior to the kick-off meeting so that the City can assemble the appropriate data in the required format. The Project Team will study this data diligently to understand the City’s current rate structure, ordinances, revenue streams, operating and capital expenses, customer base, and Waste Management contract terms. Raftelis will also review the City’s current reserve structure and targets and propose recommendations that are consistent with industry standards as well as the City’s risk management tolerance.
Deliverable(s): Data Request List, Kick Off Meeting Minutes Meeting(s): One Webinar
Task 2: Financial Plan Development
This important task ascertains the revenue needed to ensure the financial integrity of the City’s solid waste utility. The financial plan model projects the City’s existing rate revenue, other operating and non-operating revenues, debt service payments, and operating and capital expenses over a ten-year Exhibit A-1 (Solid Waste and Recycling Rate Study)
9.14.a
Water and Wastewater Rate Study
Packet Pg. 205
Mr. Amer Jakher
City of Chino
Sep 1, 2022
period. We project future yearly O&M expenses such as salaries and benefits, power, and materials using City approved inflationary assumptions. The ten-year financial plan also models the sources and uses of funds for each reserve. For a typical capital reserve, the sources of funds include cash reserves and debt proceeds. Modeling the yearly ending balance in the capital reserve allows stakeholders to determine the rate impacts of various capital improvement plan scenarios and assess the proper use of debt and reserves to fund capital projects. Raftelis will develop a ten-year cash flow analysis for the solid waste enterprise funds to determine the revenue adjustments needed while minimizing sharp rate fluctuations. Raftelis will also review reserve policies to recommend appropriate reserve balances (operating, capital, rate stabilization, etc.) that are consistent with industry standards as well as the City’s risk tolerance. The financial plan is presented in an easy-to- understand format on an interactive dashboard. The dashboard allows users to alter certain assumptions (Waste Management contract terms, CIP, CIP funding, debt, revenue adjustments, etc.) so that the model user can appreciate the effects of revenue adjustments, capital financing through rates or debt, and reserve balances. Several features of the model’s dashboard include the ability to show or indicate:
Revenue adjustments for the next ten years
Reserve balances and reserve targets as well as debt service coverage ratios (days cash on hand and reserve funding levels)
Projected operating costs and revenue streams
Operating cost break down
Different capital funding sources such as PAYGO (rate funding) and debt financing, including the City’s debt capacity
Spin buttons (dynamic selection options) that allow for the quick selection of inputs for scenario analyses
From a client’s perspective, the models are very easy to understand and show the impacts of various assumptions, allowing both staff and the City Commission to make informed decisions. The model will create a rate forecast for up to ten years based on the forecasted costs. Raftelis will conduct one to two web meetings with City staff to select the financial plan scenario(s) to be presented to the City.
The goal of these meetings is to identify the key issues and scenarios that will be presented to the City as part of the rate study. A sample dashboard is shown below.
-Deliverable(s): Financial Plan Model
Meeting(s): Two Webinars
Exhibit A-1 (Solid Waste and Recycling Rate Study)
9.14.a
Water and Wastewater Rate Study
Packet Pg. 206
Mr. Amer Jakher
City of Chino
Sep 1, 2022
Task 3: Model Development
Raftelis will develop a solid waste rate models with the flexibility to compare the current rate structure with the proposed rate structures. The models will have the capability to examine different revenue adjustments and funding sources.
Deliverable(s): Financial and Rate Model
Meeting(s): None
Task 4: Franchise Fees (optional)
The Supreme Court of California recently ruled that franchise fees need to reflect the cost of service under Proposition 26 and cannot be set arbitrarily. Raftelis will review the basis of current franchise fees and determine if they comply with Proposition 26. Typically, franchise fees may be based on wear and tear of City streets used by Waste Management as well as rights of way used to haul waste. Raftelis will work with the City to identify these costs to include in the rate study.
Deliverable(s): Franchise fee memo
Meeting(s): One web meeting
Task 5: Cost of Service
For the solid waste rate study, Raftelis will use industry standards for garbage, yard waste, recyclables, and organics based on the American Public Works Association’s (APWA) Solid Waste Rate Setting and Financing Guide: Analyzing Cost of Services and Designing Rates for Solid Waste Agencies. We will review and recommend changes, as appropriate, to the existing residential solid waste rates for at a minimum of five fiscal years beginning in FY 2023-24. We will review cost options Exhibit A-1 (Solid Waste and Recycling Rate Study) 9.14.a Water and Wastewater Rate Study
Packet Pg. 207
Mr. Amer Jakher
City of Chino
Sep 1, 2022
for organic waste collection consistent with SB 1383 regulations. We will include pass through Waste Management’s rates for commercial customers and include the City’s administrative costs to calculate commercial rates.
Throughout the cost allocation process, Raftelis will incorporate the City’s policy considerations, as well as current federal, state, and local rules and regulations such as Proposition 218. Raftelis is well versed with Proposition 218 requirements and its implications on rates. Our Project Team has extensive experience with Proposition 218 and has conducted numerous conference sessions on the topic.
Deliverable(s): None
Meeting(s): None
Task 6: Rate Design
Using the Financial Plan and Cost of Service models, Raftelis will design residential, commercial, and industrial solid waste and recycling rates that align with City objectives. The baseline rate design will preserve the current base rate structure to compare the customer impacts of the alternative rate structures to the baseline structure. Once the rates have been designed, Raftelis will determine the revenues generated using the current customer data to ensure adequate revenue generation. We will then review our proposed rates with City staff. Together, we will revisit the rate-making objectives and evaluate whether, and the extent to which, the new rates meet the City’s objectives. Once the rates have been designed, Raftelis will determine the revenues generated using the current customer data to ensure adequate revenue generation. We will then review our proposed rates with City staff.
Together, we will revisit the rate making objectives and evaluate whether, and the extent to which, the new rates meet the City’s objectives.
Raftelis will follow industry guidelines to ensure fairness and equity. Once the revenue requirements have been determined, the Raftelis Team will calculate the solid waste rates and review and recommend changes, as appropriate, to the existing rates.
We will ensure that the City’s billing system can implement the proposed rates.
Deliverable(s): Draft Rate Design Analysis with Attached Cost of Service Model Meeting(s): Two Web Meetings
Task 7: Rate Survey
Raftelis will conduct a solid waste rates survey of five comparable cities by population and location and summarize the findings in an easy-to-understand format. The survey will also identify any revenue sources or enhancements not currently being utilized by the City.
Deliverable(s): Rate Survey and Rate Model
Meeting(s): None
Exhibit A-1 (Solid Waste and Recycling Rate Study)
9.14.a
Water and Wastewater Rate Study
Packet Pg. 208
01225.0001/458446.1 B-1
EXHIBIT “B”
SPECIAL REQUIREMENTS
(INTENTIONALLY LEFT BLANK)
5.3 Indemnification.
To the full extent permitted by law, Consultant agrees to indemnify, defend and hold harmless the City, its officers, employees and agents (“Indemnified Parties”) against, and will hold and save them and each of them harmless from, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities whether actual or threatened (herein “claims or liabilities”) that may be asserted or claimed by any person, firm or entity arising out of or in connection with caused by the negligent performance of the work, operations or activities provided herein of Consultant, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Consultant is legally liable (“indemnitors”), or arising from caused by Consultant’s or indemnitors’ reckless or willful misconduct, or arising from caused by Consultant’s or indemnitors’ negligent performance of or failure to perform after notice and expiration of any applicable cure period any term, provision, covenant or condition of this Agreement, and in connection therewith:
(d) In the event the City, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Consultant for such damages or other claims arising out of or in connection with the negligent performance of or failure to perform the work, operation or activities of Consultant hereunder, Consultant agrees to pay to the City, its officers, agents or employees, any and all costs and expenses incurred by the City, its officers, agents or employees in such action or proceeding, including but not limited to, legal costs and attorneys’ fees.
7.7 Liquidated Damages.
Since the determination of actual damages for any delay in performance of this Agreement would be extremely difficult or impractical to determine in the event of a breach of this Agreement, the Contractor and its sureties shall be liable for and shall pay to the City the sum of Zero ($0.00) as liquidated damages for each working day of delay in the performance of any service required hereunder. The City may withhold from any monies payable on account of services performed by the Contractor any accrued liquidated damages.
9.14.a
Water and Wastewater Rate Study
Packet Pg. 209
01225.0001/458446.1 C-1
EXHIBIT “C”
SCHEDULE OF COMPENSATION
I. Consultant shall be compensated for the servi ces provided under this Agreement in accordance with the budget and rates provided in Exhibit “C-1”.
II. Within the budgeted amounts for each Task, and with the approva l of the Project Manager, funds ma y be shifted from one Task subbudget to another so lon g as the Contract Sum is not exceeded per Section 2.1, unless Additional Services are approved per Section 1.10.
III. The City will compensate Consultant for the Services performed upon submission of a valid invoice, as described in Section 2.4.
IV. The total compensation for the Services shall not exceed the Contract Sum, as provided in Section 2.1 of this Agreement.
9.14.a
Water and Wastewater Rate Study
Packet Pg. 210
City of Chino
Water and Sewer Rate Study
FEE PROPOSAL / AUGUST 2, 2022
Exhibit C-1 (Water and Sewer Rate Study)
9.14.a
Water and Wastewater Rate Study
Packet Pg. 211
RAFTELIS 2
Fee Proposal
The following table provides a breakdown of our proposed fee for this project. This table includes the estimated level of effort required for completing each task and the hourly billing rates for our project team members. Expenses include costs associated with travel and a $10 per hour technology charge covering computers, networks, telephones, postage, etc.
HoursPD PM TR SC Total1. Project Management, Kick-off Meeting, QA/QC, and Data Collection1 4 16 4 8 32$9,0472. Ten-Year Potable Water and Wastewater Financial Plan Model2 1 2 28 50 80$18,9803. Water and Wastewater Cost-of-service Analysis2 14 1 16 33$8,3454. Lift Station Cost-of-Service1 2 4 4$2,6005. Water Budget and Wastewater Rate Design And Customer Bill Impacts2 1 2 28 50 80$18,9806. Miscellaneous Fees6 12$3,9907. Water and Wastewater Rate Survey1 8 9$1,8958. Rate Model Training1 1 8 9$1,8959. Draft and Final Report1 1 24 60 85$19,44010. Review Public Hearing Notice and Staff Report3 2 5$1,28511. Two City Council Meetings2 12 4 18$5,014Total Estimated Meetings / Hours 7 5 13 137 5 222 351Hourly Billing Rate $350 $285 $285 $190Total Professional Fees $4,550 $39,045 $1,425 $42,180 $87,640$87,640$3,831$91,471PD - Project Director, Sudhir Pardiwala, PE (CA)PM - Project Manager, John Wright, CPATR - Technical Reviewer, Steve Gagon, PE (AZ) SC - Staff ConsultantsTotal Fees Total ExpensesTotal Fees & Expenses TasksVirtual MeetingNumber of In-Person MeetingsTotal Fees & Expenses Exhibit C-1 (Water and Sewer Rate Study) 9.14.a
Water and Wastewater Rate Study
Packet Pg. 212
RAFTELIS 3
Hourly Billing Rates
Project team hours and expenses will be billed on the same invoice. Expenses related to travel will be billed at cost.
Additional services outside the agreed upon scope of work will be billed on a time and materials basis. Raftelis’ billing rates can be found below. These rates will be in effect for calendar year 2022 and will then increase annually by 3% unless specified otherwise by contract.
POSITION HOURLY BILLING RATE**
Chair/Chair Emeritus $475
Chief Executive Officer/President $400
Executive Vice President $350
Vice President $325
Senior Manager $285
Principal Consultant $270
Manager $250
Senior Consultant $225
Consultant $195
Creative Director $195
Associate $165
Graphic Designer $140
Analyst $120
Administration $90
Technology Charge* $10
*Technology/Communications
Charge: This is an hourly fee
charged monthly for each hour
worked on the project to recover
telephone, facsimile, computer,
postage/overnight delivery,
conference calls,
electronic/computer webinars,
photocopies, etc.
**For services related to the
preparation for and participation in
deposition and trials/hearings, the
standard billing rates listed above
will be increased by an amount up to
50 percent.
Exhibit C-1 (Water and Sewer Rate Study) 9.14.a
Water and Wastewater Rate Study
Packet Pg. 213
Mr. Amer Jakher
City of Chino
Sep 1, 2022
Project Fees
Fees for the scope shown will not exceed the costs as shown below. The estimated fees are based on the Scope of Work included in this proposal, and our preliminary understanding of the City’s needs and objectives are shown in the table below.
The table below details the estimated hours and billing rates for each consultant and administrative support related to each task of the scope of work. Expenses include a $10 per hour technology charge covering computers, networks, telephones, postage, etc.
HoursPM TR SC Admin Total1. Project Initiation, Management, and Data Collection1 8 2 8 4 22$5,2902. Financial Plan Development2 12 25 37$8,5703. Model Development1 8 9$1,7204. Franchise Fees (optional)5. Cost of Service8 3 16 27$6,6056. Rate Design2 8 2 12 22$5,5907. Rate Survey1 10 11$2,0608. Draft and Final Report 12 2 40 1 55$11,8859. Council Workshop1 6 1 4 1 12$3,34710. Proposition 218 Notice/Public Hearing1 8 4 12$3,6370Total Estimated Meetings / Hours5 2 64 10 127 6 207Hourly Billing Rate$350 $325 $160 $85Total Professional Fees$22,400 $3,250 $20,320 $510 $46,480Total Fees $46,480Total Expenses $2,224Total Fees & Expenses$48,7044. Franchise Fees (optional)1 10 16 26$6,320 TasksWeb MeetingsNumber of MeetingsTotal Fees & Expenses PM - Project Manager, Sudhir Pardiwala TR - Technical Reviewer, Steve GagnonSC - Staff ConsultantsAdmin - Administrative Staff Exhibit C-1 (Solid Waste and Recycling Rate Study)
9.14.a
Water and Wastewater Rate Study
Packet Pg. 214
01225.0001/458446.1 D-1
EXHIBIT “D”
SCHEDULE OF PERFORMANCE
I. Consultant shall perform al l services and deliver all work products timely in accordance with the schedule attached hereto as Exhibit “D-1” II. The Project Manager may approve extensions for performance of the s ervices in accordance with Section 3.2.
9.14.a
Water and Wastewater Rate Study
Packet Pg. 215
Exhibit D-1 (Water and Sewer Rate Study)
9.14.a
Water and Wastewater Rate Study
Packet Pg. 216
Mr. Amer Jakher
City of Chino
Sep 1, 2022
Project Schedule
Raftelis proposes to complete the scope of services by April 2023 as shown below.
Exhibit D-1 (Solid Waste and Recycling Rate Study)
9.14.a
Water and Wastewater Rate Study
Packet Pg. 217
Revenue: Expenditure:5307320-43640,
Transfer In: 5301000-50000 Transfer Out: 2621000-40001
M E M O R A N D U M
CITY OF CHINO
DEVELOPMENT SERVICES DEPARTMENT
COUNCIL MEETING DATE: OCTOBER 4, 2022
TO: LINDA REICH, CITY MANAGER
FROM: NICHOLAS S. LIGUORI, AICP, DEVELOPMENT SERVICES DIRECTOR
SUBJECT: PRESERVE SEWER LIFT STATION, FORCE M AIN AND GRAVITY LINE ANNUAL RECONCILIATION OF SEWER CREDITS FISCAL YEAR 2021 -22 (CHINO DEVELOPMENT CORPORATION).
RECOMMENDATION
1) Appropriate $400,000 from the unappropriated reserves of the Sewer Fund 530 and schedule a corresponding year-end transfer in the same amount from The Preserve Sewer Development Impact Fee Fund 262; 2) approve a reimbursement in the amount of $400,000 to Chino Development Corporation for The Preserve Sewer Lift Station, Force Main and Gravity Line project; 3) authorize Sewer Development Impact Fee Credits in the amount of $890,424 issued to Chino Development Corporation for properties in The Preserve; 4) apply the Sewer Development Impact Fee Credits and reimbursement to the balance owed to Chino Development Corporation per th e terms of the Agreement, bringing forward the remaining balance owed to Chino Development Corporation in the amount of $5,219,887.44; and 5) authorize the City Manager to execute all necessary documents on behalf of the City.
FISCAL IMPACT
Requires an appropriation of $400,000 from the unappropriated reserves of the Sewer Fund 530 with a corresponding year -end transfer in the same amount from The Preserve Sewer Development Impact Fee Fund 262. The credited amount is applied to the balance owed to the developer by the City, bringing the remaining balance owed to the developer to $5,219,887.44.
Staff will continue to monitor the fund balances in The Preserve Sewer DIF program and will begin making progress payments to the developer (when funds are available) until the terms of the agreement are fulfilled. Each progress payment will require an appropriation of funds and, therefore, each payment will be brought back to the City Council for approval. There is sufficient fund balance for this transaction.
CITY OF CHINO MISSION / VISION / VALUES / STRATEGIC ISSUES:
The recommendation detailed above furthers the City’s values and strategic issues that serve as key pillars on which identified priorities, goals, and action plans are built, by fostering:
• Financial Stability
9.15 NEW BUSINESS
Packet Pg. 218
COUNCIL MEETING DATE: OCTOBER 4, 2022
SUBJECT: PRESERVE SEWER LIFT STATION, FORCE MAIN AND GRAVITY LINE ANNUAL RECONCILIATION OF SEWER CREDITS FISCAL YEAR 2021-22 (CHINO DEVELOPMENT
CORPORATION)
PAGE 2
• Responsible Long-Range Planning
9.15 NEW BUSINESS
Packet Pg. 219
COUNCIL MEETING DATE: OCTOBER 4, 2022
SUBJECT: PRESERVE SEWER LIFT STATION, FORCE MAIN AND GRAVITY LINE ANNUAL RECONCILIATION OF SEWER CREDITS FISCAL YEAR 2021-22 (CHINO DEVELOPMENT
CORPORATION)
PAGE 3
BACKGROUND
In 2004, the City of Chino (“City”) entered into a Development Agreement (“DA”) with three entities of the Lewis Management Corporation known as Chino Development Corporation, Chino Preserve Development C orporation, and Chino Holding Company, LLC (collectively referred to as “Lewis”).
The DA was entered into to help guide the orderly development of The Preserve, which was envisioned as a master -planned residential and commercial community. Additionally, t he DA sets the terms and conditions of development on property owned by Lewis and established the rights and obligations of the developer and the City during development.
The Preserve DA, as amended, in conjunction with the conditions of approval for Tract s 16419, 16419-1, 16420, 16420 -1, 16797, 17057, 17571, 17572, and 19994, required Lewis to design and construct various sewer improvements as a condition to development of The Preserve.
The sanitary sewer plan identified in the Preserve Specific Plan for p ortions of the Preserve north of Pine Avenue was originally designed to divert sewage to the Inland Empire Utilities Agency’s (IEUA) Regional Plant 2 located on El Prado Road north of Pine Avenue. However, due to IEUA’s plan to decommission Regional Plant 2, the City was required to find an alternative solution. Since a gravity -based sewer system was not possible due to the existing topography challenges in The Preserve, it was decided that The Preserve Lift Station, Force Main, and Gravity Line project ("P roject") would be the most feasible solution. This Project consists a lift station, force main and gravity line to collect and convey sewer flows that are gravity fed to the southern portion of The Preserve up to IEUA’s Kimball Interceptor.
This Project wa s satisfactorily constructed to meet City specifications, which was formally accepted as complete by the City Council on January 15, 2019. In conjunction with the formal acceptance of the sewer improvements, the City Council approved a credit/reimbursement agreement with the City and Lewis as amended (“Agreement”). Pursuant to the terms of the Agreement, Lewis will receive sewer development impact fee credit and /or be reimbursed for the actual validated costs for an in amount not to exceed $12,162,432.
The sewer improvements are master -planned and are included in the City’s Preserve and Citywide Sewer Development Impact Fee (“DIF”) programs. The DIF Ordinance provides that if, as a condition of approval of a development project, a developer constructs a pub lic facility identified in the DIF Nexus and Calculation Report, for which a DIF is imposed, the Developer shall be eligible to receive reimbursement and a fee credit toward the DIF imposed on the development project for the same type of public facility so constructed and shall be entitled to credit for eligible costs of constructing the public facilities.
ISSUES/ANALYSIS
The current DIF Nexus and Calculation Report includes a cost estimate for the Sewer Lift Station/Force Main Project (SW-143) and Gravity Line (SW-103) for a not to exceed amount of $12,578,856. The City Engineer reviewed the developer's final accepted/approved "as -built" plans, specifications and supporting documentation and determined that $12,162,432 is eligible for DIF credit and reimbur sement. The remaining balance of $416,424 will be used to off -set costs associated with the expansion of this facility for the purchase and installation of additional pumps to increase the capacity as development within the Preserve continues.
9.15 NEW BUSINESS
Packet Pg. 220
COUNCIL MEETING DATE: OCTOBER 4, 2022
SUBJECT: PRESERVE SEWER LIFT STATION, FORCE MAIN AND GRAVITY LINE ANNUAL RECONCILIATION OF SEWER CREDITS FISCAL YEAR 2021-22 (CHINO DEVELOPMENT
CORPORATION)
PAGE 4
The Develope r received Sewer DIF credits in the Preserve for multiple residential and commercial development projects for FY 2021 -22 in the amount of $890,424. Additionally, The Preserve Sewer DIF fund balance includes available funds in the amount of $400,000. The above-mentioned amounts were deducted from the amount owed to the Developer, bringing a balance forward of $5,219,887.44. The payment and credit reconciliation is attached as Exhibit B to this report.
Construction of sewer main improvements are part of the City’s long range planning efforts to ensure the orderly development of The Preserve Specific Plan area. In addition, the City’s goal of sustaining financial stability and integrity in the implementation of the DIF program would be achieved through the continued efforts to fulfill the terms of the Agreement.
Therefore, it is Staff’s recommendation to the City Council to authorize the credits issued to the Developer in The Preserve in the amount of $890,424 and approve Progress Payment No. 3 in the amount of $400,000, bringing forward a new balance owed to the Developer in the amount of $5,219,887.44.
Attachments: Exhibit A - Original Credit and Reimbursement Agreement No. 2019-220 Exhibit B - Payment and Credit Reconciliation Summary
9.15 NEW BUSINESS
Packet Pg. 221
S. Ramos Contract No. Z011- 22 0
DS/ Administration Approved /// 51
43/€ 3,, #
zy
REIMBURSEMENT AGREEMENT
FOR
SEWER LIFT STATION/ FORCE MAIN ( Project SW- 143)
GRAVITY LINE ( Projects SW- 103)
THIS AGREEMENT is made and entered into this
15th
day of January, 2019 by and
between the CITY OF CHINO, a Municipal Corporation, hereinafter called the " CITY", and CHINO DEVELOPMENT CORPORATION, hereinafter called the " DEVELOPER" together referred to as " PARTIES".
WITNESSETH
WHEREAS, CITY, pursuant to that certain Preserve Development Agreement No. 2004- 073 effective July
1st,
2004 ( the " Agreement"), required DEVELOPER to install certain Public Facilities described in the approved Development Impact Fee Calculation and Nexus Report as a condition precedent to obtaining development approvals; and WHEREAS, DEVELOPER installed the Sewer Lift Station/ Force Main Project and Gravity Line described in Exhibit 1 ( the " Improvements") attached hereto and made a part of hereof which benefits property subject to the Agreement (the "Lewis Property) and other property within The Preserve Area and of the General City depicted in Exhibit 2 (" Area of Benefit") attached hereto and made part of hereof; and
WHEREAS, DEVELOPER agreed, at its own expense, to furnish all equipment and material necessary to perform and complete in a good and workmanlike manner, the Improvements. DEVELOPER agreed to advertise, publicly bid, and award a contract for construction of Public Improvement in accordance with Public Contract Code and comply with all applicable provisions of California law, including but not limited to the prevailing wage provisions contained in the Labor Code; and
WHEREAS, Chino Municipal Code ( CMC) Chapter 3. 45 ( the " Preserve DIF Ordinance") also specifies that any DEVELOPER in the portion of the City known as The Preserve that constructs sewer improvements described in the reports referenced in the Preserve DIF Ordinance that are in excess of what is needed for its development is entitled to a priority reimbursement from the sewer fee account and/or fee credit against its obligation to pay sewer development impact fees; and
WHEREAS, DEVELOPER has completed all work incidental to the installation of the said Improvements according to the specifications of the CITY, and said work was completed under the inspection of, and to the satisfaction of, the City Engineer of CITY and any change orders shall be approved by the City Engineer.
NOW, THEREFORE, the PARTIES acknowledge the truth of the foregoing recitals and agree as follows:
SEWER SYSTEM LIFT STATION, FORCE MAIN& GRAVITY LINE
PROJECTS SW143& SW103 Page 1 of 6
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 222
AGREEMENT
1. Preserve DIF Credit and Priority Reimbursement. a. DIF Ordinance Reimbursementor Credit Amount. The City Engineer has determined that the total cost of the Improvements that are eligible for credit or reimbursement pursuant to CMC Chapters 3. 45 and 3. 40 is estimated to be Nine Million, Five Hundred Fifty- Five Thousand 9, 955, 000. 00) dollars (" Total DIF Cost"). The foregoing estimate of the Total DIF Cost shall be subject to adjustment based on the final accepted and approved " as- built plans" and specifications and the review of actual cost documentation by the City Engineer pursuant to CMC 3.45. 110.6. 3 and C. 9.
b. DEVELOPERshall be reimbursedfor the actual, City Engineer-approved costs DEVELOPER incurs to construct the Public Improvements pursuant to the procedure set forth in this Section. The Public Improvements are apportioned as follows: estimated Sewer Collection Facilities DIF: Project SW- 143 Sewer Lift Station/ Force ($ 8,371,000.00) and estimated Gravity Line Project SW- 103 ($ 1, 584, 000. 00).
c. Project Credits. Of the Total DIF Cost, as of July 1st,
2018,
1, 220, 202. 00 (" Past Project Credit") has been used by DEVELOPER or its assignees as a project credit against The Preserve DIF Sewer Fees otherwise due and payable within the Lewis Property pursuant to CMC Section 3. 45. 110. 6 of (" Project Credit") as more particularly set forth in Exhibit 3 titled " Sewer Credit Reconciliation" attached hereto and made part of hereof.
d. Remaining Priority Reimbursement and Project Credit. An amount equal to the Total DIF Cost, as ultimately determined by the City Engineer, less the Past Project Credit ( the " Chino Amount") remains to be returned to DEVELOPER as a Priority Reimbursement collected from properties within the Area of Benefit and/ or as a Project Credit against Preserve DIF Sewer Fees otherwise due and payable by DEVELOPER anywhere within the Lewis Property. On the first business day on or following each February
1st
commencing on February
1st,
2019 ( each, a " Payment
Date"), CITY shall pay DEVELOPER 100% ( exclusive of any overhead rate collected by City per CMC Section 3.45. 030, K) of the amount of the Preserve Sewer Fees collected from properties ( within the Area of Benefit) during the preceding calendar year, unless the CITY and DEVELOPER agree in writing to a lower percentage, until the Chino Amount has been returned in full to DEVELOPER by reimbursement or Project Credit or by a combination. Any Project Credit used by the DEVELOPER toward any future project on the Lewis Property shall be applied against the amount of the Preserve Sewer DIF at the time the DEVELOPER becomes liable for its payment. Of the Chino Amount, the DEVELOPER agrees that not less than $ 2, 010, 597. 00 shall be utilized as
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 223
Project Credit, including the Past Project Credit. Whenever DEVELOPER elects to use all or any portion of the remaining Chino Amount as a Project Credit against Preserve Sewer Fees otherwise due and payable within Lewis Property, DEVELOPER shall provide written notice to the CITY of the amount to be applied from time to time and the portion of the Lewis Property for which the Project Credit will be used and the assignee, if applicable, of such Project Credit amount. Under no circumstances shall DEVELOPER and/ or its assignees receive Priority Reimbursement payments and Project Credit that, in total, exceed the Chino Amount. e. Annual Reconciliation. Once each year, commencing February 1St, 2019 and each February 1st thereafter, CITY and DEVELOPER representatives shall meet for the purpose ascertaining the amount of the reimbursement paid by CITY to the DEVELOPER from Preserve DIF Sewer Fees collected from properties in the Area of Benefit during the prior calendar year and the amount of Project Credit taken by DEVELOPER against its obligation to pay Preserve DIF Sewer Fees for its development of any portion of the Lewis Property. CITY and DEVELOPER shall prepare a document that reconciles the CITY' S reimbursement payment amount to DEVELOPER, if any, and Project Credit amount taken by the DEVELOPER, if any, attributable to the prior calendar year that shall be signed by said representatives. When so signed, said reconciliation document shall constitute a revision of Chino Amount then remaining and it shall be binding on the PARTIES.
2. Acceptance of Improvements. The Improvements shall be the sole property of CITY upon acceptance by the CITY. DEVELOPER shall notify CITY in writing when the Improvements are complete. Such written notification shall include a request that CITY accept the Improvements. The CITY shall accept the Improvements within ninety ( 90) calendar days from receipt of such notification by the DEVELOPER unless the Director of Public Works determines that the Improvements does not comply with the Plans and Contract Documentsin which case he may require DEVELOPERto remedy any deficiency of the Improvements. CITY shall further be the beneficiary of the construction agreement between DEVELOPER and the construction contractor, Pacific Hydrotech Corporation for the installation, completion, and maintenance of the Improvements dated May 8th, 2017, as amended on the same date and again on December 27, 2018 as well as the related warranty bond, dated January 9 , 2019.
3. Indemnity. DEVELOPER, to the fullest extent permitted by law, shall indemnify, defend, and hold the CITY and its elected and appointed officials, agents, employees, and authorized volunteers harmless from and against any and all actions, suits, claims, liabilities, losses, damages, penalties, obligations, and expenses ( including but not limited to attorneys' fees, expert witness fees, and court costs) (" Claims") that arise, directly or indirectly, from the design and/or construction of the Improvements. In addition, the foregoing indemnity provision shall only apply to Claims which are tendered by the CITY to DEVELOPERby written notice delivered within one year from the date on which CITY accepts the Improvements and shall survive the termination of this Agreement
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 224
for that one- year period. It is understood that the duty to indemnify and hold harmless includesthe dutyto defendas setforth in section2778of the CaliforniaCivilCode.
4. Preservation of City' s Rights. The City hereby preserves its right to impose on any and all future development projects conditions of approval requiring the construction and/ or payment of development impact fees for the construction of any sewer facilities that may be deemed necessary and are part of the Master Plan of Facilities pursuant to CMC 3. 45.
5. Notices. All notices permitted or required under this Agreement shall be deemed made when delivered to the applicable party's representative as provided in the Agreement. Such notices shall be mailed or otherwise delivered to the addresses set forth below, or at such other addresses as the respective PARTIES may provide in writing for this purpose:
DEVELOPER: CITY:
CHINO DEVELOPMENT CORPORATION City of Chino
1156 N. Mountain Avenue 13220 Central Avenue
Upland, CA 91786 Chino, CA 91710
Attn: Mr. John M. Goodman Attn: City Manager
With copy to:
Lewis Management Corp.
1156 N. Mountain Ave
Upland CA 91786
Attn: General Counsel
Such notices shall be deemed made when personally delivered or when mailed, forty-eight 48) hours after deposit in the U.S. Mail, certified mail, return receipt requested, to the party at its applicable address.
6. Entire Agreement; Amendment. This Agreement contains the entire agreement of the PARTIES hereto with respect to the matters contained herein, and supersedes all negotiations, prior discussions and preliminary agreements or understandings, written or oral. No waiver or modification of this Agreement shall be binding unless consented to by both PARTIES in writing.
7. Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilegeor servicevoluntarilygivenor performedby a partyshall give the other party any contractual rights by custom, estoppel, or otherwise.
8. Invalidity and Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
and maintenanceof
the ImprovementsdatedMay 8th, 2017, as amendedon the samedate andagainon December27, 2018 as well as the related
warranty bond, dated January9 , 2019. 3. Indemnity. DEVELOPER, to the fullest extent permitted by law, shall indemnify, defend, and hold the CITY and its electedand appointed officials, agents,employees, and authorizedvolunteersharmlessfrom and against any and all actions, suits, claims, liabilities, losses, damages, penalties, obligations, and expenses ( includingbut not limited to attorneys' fees, expert witness fees, and courtcosts) (" Claims") thatarise, directlyor indirectly, fromthe design and/ or constructionof the Improvements. In addition, the foregoingindemnityprovisionshallonly applyto Claimswhichare tenderedby the CITY to DEVELOPERby writtennoticedeliveredwithin one year from the date on which CITY acceptsthe Improvementsand shall survive theterminationof
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 225
9. Cooperation: Further Acts. The PARTIES shall fully cooperate with one another and shall take any additional acts or sign any additional documents as may be necessary, appropriateor convenientto attain the purposesof this Agreement.
10. Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in San Bernardino County.
11. Construction; Captions. Since the PARTIES or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party.
The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.
12. Incorporation of Recitals. The Recitals are incorporated herein and made an operative party of this Agreement.
13. Authority to Enter into Agreement. Each party warrants that it has all requisite power and authority to execute and perform this Agreement. Each person executing this Agreement on behalf of their party warrants that he or she has the legal power, right and authorityto make this Agreementand bind his or her respectiveparty.
14. Assignment. This Agreement may not be assigned by the CITY.
DEVELOPER may assign its rights to all or any portion of the Priority Reimbursement provided that DEVELOPER stipulate in a written notice to the CITY the name and address of the assignee and the amount assigned.
15. Counterparts. This Agreement may be signed in counterparts, each pf which shall constitute an original.
SIGNATURE PAGE FOLLOWS
cation of thisAgreementshall bebinding
unless consented to by bothPARTIESin writing.7. Waiver. No waiverof any default shall constitute a waiverof any other default or breach, whether of the same or othercovenantor condition. Nowaiver, benefit,privilegeor servicevoluntarilygivenor performedby a party shallgive the otherparty
any contractual rights by custom, estoppel, or otherwise.8. Invalidity andSeverability.
If any portionof this Agreementis declared invalid, illegal, or otherwise unenforceableby a court of competentjurisdiction, the remaining provisionsshallcontinuein
full force and
effect.Page 4 of 6 and maintenanceof the ImprovementsdatedMay 8th, 2017,as amendedon the same date and againon
December27, 2018 as well as the related warrantybond, dated January 9 , 2019. 3. Indemnity. DEVELOPER, to the fullest extent permitted by law, shall indemnify, defend, and hold the CITY and its electedandappointed officials, agents, employees, and authorized volunteers harmless from and against any and all actions,suits, claims, liabilities, losses, damages, penalties, obligations, and expenses ( including but not limitedto attorneys' fees, expert witnessfees, and courtcosts) ("Claims") that arise, directlyor indirectly, from the designand/ or constructionof the Improvements.
In addition, the foregoingindemnity provisionshall only apply to Claimswhichare tenderedby the CITY to DEVELOPERby written noticedeliveredwithin one year fromthe date on whichCITYaccepts
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 226
IN WITNESS WHEREOF, DEVELOPER has signed and the CITY Council of CITY has authorized this Agreement to be executed on January / 7 , 2019, at Chino, California.
APPROVED AS TO CONTENT: APPROVED AS TO FORM:
Af a. 7/ 1
CITY Engineer Date CITY Attorney Date
CITY OF CHINO: CHINO DEVELOPMENT CORPORATION:
41 ' 13r ave 6.'" 4,1ity;14
Ma hl ntyne Name Title
CITY Marla. r
L« ir ", t„,..
Si. , ature Date
4-11
ATTEST:
t N / k
C-
Th
dress i""`
r. - OA
6\
1755 OVID
Ang - obles Date
CITY Clerk
Exhibit 1; Description of Sewer Lift Station/ Force Main Project and Gravity Line, 2- pages.
Exhibit 2; Area of Benefit; 1- page
Exhibit 3; Sewer Credit Reconciliation; 1- page
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 227
Exhibit 1
Improvements
Preserve Sewer projects within Preserve DIF Program
Sewer Lift Station / Force Main- Project SW- 143
Gravity Sewer Line from Pine Ave to Lift station in Johnson Avenue from- Project SW 103
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 228
CITY OF CHINO, CALIFORNIA
Master Facilities Plan Project Detail
As Of 2017- 18
Infrastructure: Sewer Collection System
Project Title/ Ref#: Pine To Lift Stafion( Reach Number 3) SW- 1 03 • Submitting Departments: Public Works- Engineering
Project Description:
Construct2,480`of 20" pipefromPine to liftstation. Project administrationconsisting of engineering,project management staking, surveying, soils,materialstestingandinspectionhasbeenaddedat20%ofconstructionscosts,and10%ocontingencycosthasbeenaddedtothe combined project administration and construction costs.
Justification/ Consequences of Avoidance:
Constructionofthislineisnecessarytobeabletomeetthesewagecollectioncapacitydemandsthatareanticipatedto occurwhenthe currentlyundevelopedupstreamparcelsarefullydeveloped. Unlikeotherinfrastructure,failureto constructneededsewercollectionprojects willeliminateanypossibilityoffutureprivateconstruction.
Relationshipto GeneralPlanDevelopment
TheprojectisrelatedtothecollectionofwastewaterfromThePreserveareaofChino.Theamountofanyprojectcostsnotfullyattributedto newdevelopmentwithinthegeneralarea(ifany)representsthepercentageofproposedsewercollectionandtransmissionlinescurrently needed (ora portionthereof)thusthatpercentageIsrecognizedasacurrentdefidencyandwillneedtobefinancedby sourcesotherthan RIFs.
Allocation To General Plan Buildout 100. 00%
Reference Document
Sewer MasterPlan, Subareas1and 2, ChinoAgriculturalPreserve, as amended by LDKING.05/04/10.
Project Timing:
The projectwillbeconstructedas neededbasedupontherateofdevelopmentand/orDevelopmentImpactFeesareavailable.As a result all projects default to the final year column.
PROPOSED EXPENDITURES FY2017- 18 FY2018- 19 FY 2019- 20 FY2020- 21 FY2021- 36 Total all Years
1. Design 1 Engineering/ Adminlstratic 0 0 0 0 240, 000 240, 000
2. Land Acquistion/ Right Of Way 0 0 0 o 0 o
3. Construction 0 0 0 0 $ 1, 200, 000 $ 1,200, 000
4. Contingency 0 0 0 0 144, 000 144, 000
5. Equipment/ Other 0 0 0 0 0 0
TOTAL COST: 0 0 0 0 $ 1, 584, 000 $ 1, 584, 000
6 and maintenanceof theImprovementsdatedMay8th,
2017, as amendedon
the samedate
andagain on December27, 2018 as well as the relatedwarrantybond, datedJanuary9 , 2019.
3. Indemnity. DEVELOPER, to the fullest
extent permitted by law, shall indemnify, defend, and hold the CITY and its elected and appointedofficials, agents, employees, and authorizedvolunteers harmless from and againstany and all actions,suits, claims, liabilities, losses, damages, penalties, obligations, and expenses ( includingbut not limited to attorneys' fees, expertwitness fees, and court costs) (" Claims") that arise, directly or indirectly, from the designand/ or constructionof the Improvements. In addition, the foregoingindemnityprovision shall only applyto Claims which are tenderedby theCITY to DEVELOPERby writtennoticedeliveredwithinone yearfrom the date on whichCITYacceptsthe Improvementsand shall survivethe terminationof this AgreementPage 3 of 6
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 229
CITY OF CHINO, CALIFORNIA
Master Facilities Plan Project Detail
As Of 2017- 18
Infrastructure: Sewer Collection System
Project Trtle/ Ref#: Lift Station And Force Main SW- 1 43 Submitting Departments: PublicWorks- Engineering
Project Description:
Construct 8,200' of force mainand a liftstationatthe intersectionsofReach# 2 and Reach# 3. Project administration consistingof engineering, projectmanagementstaking,surveying,soils,materialstestingandinspectionhasbeenaddedat20%ofconstructionscosts,and10% contingencycosthasbeenaddedtothecombinedprojectadministrationandconstructioncosts.
Justification/ Consequences of Avoidance:
Constructionofthislineisnecessaryto beabletomeetthesewagecollectioncapacitydemandsthatareanticipatedtooccurwhenthe currentlyundevelopedupstreamparcelsarefullydeveloped. UnlikeotherInfrastructure,failureto constructneededsewercollectionprojects will eliminate any possibilityoffutureprivate construction.
Relationship to General PlanDevelopment
The projectis relatedtothecollectionofwastewaterfromlimitedportionsoftheGeneralAreaoftheCityandThePreseiveareaofChina. The amountofanyprojectcostsnotfullyattributedtonewdevelopmentwithinthegeneralarea(if an representsthepercentageofproposed sewercollectionandtransmissionlinescurrentlyneeded (oraportionthereof)thusthatpercentageisrecognizedasacurrentdeficiencyand will need to be financed by sources otherthan DIFs.
Allocation To General Plan Buildout 100. 00%
Reference Document
Sewer MasterPlan, Subareas1 and 2,ChinoAgricultural Preserve,as amended by LDKING.05/ 04/10. • Project Timing:
The projectwillbe constructedasneededbasedupontherateofdevelopmentand/orDevelopmentImpactFeesareavailable.As a result all projects default to the final year column.
PROPOSED EXPENDITURES FY2017- 18 FY2018- 19 FY2019- 20 FY2020- 21 FY 2021- 36 Totes an Years
1. Design/ Engineering/ Administratic o 0 0 0 $ 1, 235, 000 $ 1, 235, 000
2. Land Acqulstlon/ Right Of Way 0 0 0 0 200, 000 200, 000
3. Construction 0 0 0 0 $ 8, 175, 000 $ 8, 175, 000
4. Contingency 0 0 0 0 761, 000 761, 000
5. Equipment/ Other 0 0 0 0 0 0
TOTAL COST: 0 o 0 o $ 8, 371, 000 $ 8, 371, 000 maintenanceof the
Improvementsdated May8th, 2017, as amendedon the same dateand againon December27, 2018 as well as the relatedwarranty
bond, dated January 9 , 2019. 3. Indemnity. DEVELOPER, to the fullest extent permitted by law, shall indemnify, defend, and hold the CITY and its elected and appointed officials, agents, employees, and authorizedvolunteersharmlessfromand againstany and all actions, suits, claims, liabilities, losses, damages, penalties, obligations, and expenses (including but not limited to attorneys' fees, expert witness fees, and court costs) ("Claims") that arise, directlyor indirectly, from thedesignand/ or constructionof the Improvements. In addition, the foregoingindemnityprovisionshall onlyapply to Claimswhicharetendered by the CITY to DEVELOPERby writtennoticedeliveredwithinone year from the dateon whichCITY accepts the Improvementsandshallsurvive the terminationof this
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 230
Exhibit 2
Area of Benefit
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 231
Credit Reconciliation- Exhibit 3
DIF Cost Estimates Citywide Allocation Preserve Allocation SW- 143 Lift Station& Force Main $ 8, 371, 000. 00 $ 1, 674, 200. 00 $ 6, 696, 800. 00 SW- 103 Pine Ave to Lift Station( Reach 3) $ 1, 584, 000. 00 $ 1, 584, 000. 00 Reimbursement Amount $ 9, 955, 000. 00 $ 1, 674, 200. 00 $ 8, 280, 800. 00 Credits
Audited Sewer Credits- 1, 573 units $ ( 1, 220, 202. 00) Future Credits- 764 $ 790, 395. 00)
Total Credits to be Applied $ ( 2, 010, 597. 00)
Fund Balance
Available DIF Fund Balance Citywide $ ( 1, 674, 200. 00) Available DIF Fund Balance The Preserve $ 25, 000. 00) Payment No. I $ ( 1, 699, 200. 00)
Reimbursement Amount $ 9, 955, 000. 00
Audited Sewer Credits- 1, 573 units $ ( 1, 220, 202. 00) Payment No. 1 $ ( 1, 699, 200. 00)
Balance Forward $ 7, 035, 598. 00
9.15.a
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 232
Updated DIF Estimates Citywide Allocation Preserve Allocation SW-143 Lift Station & Force Main 10,941,000.00$ 2,188,200.00$ 8,752,800.00$ SW-103 Pine Ave to Lift Station 1,637,856.00$ -$ 1,637,856.00$ Nexus Report Cost Estimate 12,578,856.00$ 2,188,200.00$ 10,390,656.00$ Validated Costs 12,162,432.00$ 2,432,486.40$ 9,729,945.60$ (FY 2019) Payment No. 1 (1,699,200.00)$ (1,674,200.00)$ (25,000.00)$ (FY 2019) Audited Credits -1,575 Units (1,220,202.00)$ -$ (1,220,202.00)$ Balance Forward Subtotal 9,243,030.00$ 758,286.40$ 8,484,743.60$ Balance Forward 9,243,030.00$ 758,286.40$ 8,484,743.60$ (FY 2020) No Cash Payment -$ -$ -$ (FY 2020) Audited Credits - 1,941 Units (1,198,656.00)$ -$ (1,198,656.00)$ Balance Forward Subtotal 8,044,374.00$ 758,286.40$ 7,286,087.60$ Balance Forward 8,044,374.00$ 758,286.40$ 7,286,087.60$ (FY 2021) Cash Payment No. 2 (958,286.40)$ (758,286.40)$ (200,000.00)$ (FY 2021) Audited Credits - 512 Units/Commercial (575,776.16)$ -$ (575,776.16)$ Balance Forward Subtotal 6,510,311.44$ (0.00)$ 6,510,311.44$ Balance Forward 6,510,311.44$ (0.00)$ 6,510,311.44$ (FY 2022) Cash Payment No. 3 (400,000.00)$ -$ (400,000.00)$ (FY 2022) Audited Credits - 645 Units/Commercial (890,424.00)$ -$ (890,424.00)$ Balance Forward 5,219,887.44$ (0.00)$ 5,219,887.44$ Exhibit B
Payment & Credit Reconciliation Summay
Credit/Reimbursement Reconciliation
9.15.b
Annual True-Up Sewer Lift Station Credit/Reimbursement
Packet Pg. 233
Revenue: Expenditure:
Transfer In: Transfer Out:
M E M O R A N D U M
CITY OF CHINO
COMMUNITY SERVICES DEPARTMENT
COUNCIL MEETING DATE: OCTOBER 4, 2022
TO: LINDA REICH, CITY MANAGER
FROM: SILVIA AVALOS, COMMUNITY SERVICES DIRECTOR
SUBJECT: COMMUNITY SERVICES COMMISSION MEMBER AT-LARGE.
RECOMMENDATION
Approve the recommendation of the Community Services Commission and ratify the reappointment of Community Services Commissioner Member At-Large Gregory Marquez for a three-year term ending June 30, 2025 and direct the City Clerk to administer the Oath of Office.
FISCAL IMPACT
There is no fiscal impact.
CITY OF CHINO MISSION / VISION / VALUES / STRATEGIC ISSUES:
The recommendation detailed above furthers the City’s values and strategic issues that serve as key pillars on which identified priorities, goals, and action plans are built, by fostering:
• Superior Customer Service
• Exemplary Leadership
9.16 NEW BUSINESS
Packet Pg. 234
COUNCIL MEETING DATE: OCTOBER 4, 2022
SUBJECT: COMMUNITY SERVICES COMMISSION MEMBER AT-LARGE PAGE 2
BACKGROUND
The Community Services Commission is comprised of seven members as stipula ted in Chino Municipal Code, Section 2.38.030. Six members are appointed by the Mayor and one at -large member is appointed by the remaining six Commissioners and ratified by the City Council.
On June 30, 2022, Commissioner Marquez’ member at -large term en ded. Chino Municipal Code Section 2.38.050 allows a member to continue in office until such time as an appointment is made to fill the position. On June 27, 2022, the Community Services Commission formed a Sub-Committee to discuss options to fill the term. On July 25, 2022 the Sub -Committee recommended to the full Commission that a new recruitment be conducted to fill the position.
This recommendation was unanimously approved with Commissioner Marquez abstaining.
ISSUES/ANALYSIS
The City Clerk’s office coordinated the recruitment process and notices inviting interested Chino residents to apply was published in the Chino Champion, the City website, and on social media.
The City received nine applications by the published deadline of August 19, 2022.
On Aug ust 22, 2022 the Community Services Commission established a Sub -Committee to review the applications and conduct interviews. Candidate interviews were held on September 1, 2022. Based on the input received from the candidates during this process, the Su b- Committee determined that incumbent Gregory Marquez would continue to be the best person for this position. On September 26, 2022 the Sub -Committee presented their recommendation to the full Commission and it was approved by vote of 4 -1-1-1 (Strong disse nting; Takeuchi absent; and Marquez recused). The Community Services Commission’s recommendation is being presented to City Council for consideration and ratification to reappoint Gregory Marquez to the position of member at-large for a term ending June 30, 2025.
9.16 NEW BUSINESS
Packet Pg. 235