Covina City Council
February 18, 2025

CITY COUNCIL/SUCCESSOR AGENCY TO THE COVINA

REDEVELOPMENT AGENCY/COVINA PUBLIC FINANCING

AUTHORITY/COVINA HOUSING AUTHORITY JOINT MEETING
AGENDA

Tuesday, February 18, 2025, 6:30 p.m.
125 E. College Street, Covina, California
Council Chamber of City Hall

IMPORTANT NOTICE
Members of the public may view the meeting live on the City’s website at www.covinaca.gov or on local cable television, Spectrum Channel 29 and Frontier Channel 42. To view from the website, scroll down on the home page and click "City Meetings", once on the page, click the highlighted word next to Video Library under the City Council Meeting Agendas and Minutes header. A live banner will appear at the start of the meeting.

Public Comments: During the meeting, there will be an opportunity for the public to speak. Public testimony is limited to five (5) minutes per speaker, unless, for good cause, the Mayor/Chairperson amends the time limit; a speaker’s time may not be transferred to another speaker. State Law prohibits the Council/Agency/Authority Members from taking action on any item not on the agenda. Those wishing to speak on a LISTED AGENDA ITEM will be heard when that item is addressed.

In Person: To address the Council/Agency/Authority please complete a yellow speaker request card located at the entrance of the Council Chamber and give it to the City Clerk. Your name will be called when it is your turn to speak.

Meeting Assistance Information: In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk’s Office at [email protected] or 626-384-5430. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

Pages

CLOSED SESSION

CALL TO ORDER
Council/Agency/Authority Members: Walter Allen, III, Patricia Cortez, Hector Delgado, Mayor Pro Tem/Vice Chair Victor Linares, and Mayor/Chair John C. King

PUBLIC COMMENTS
The public is invited to comment on Closed Session items only at this time. To address the Council/Agency/Authority please complete a yellow speaker request card located at the entrance and give it to the City Clerk. Your name will be called when it is your turn to speak. Individual speakers are limited to five minutes each, unless, for good cause, the Mayor/Chairperson amends the time limit.

CLOSED SESSION
The City Council/Successor Agency to the Covina Redevelopment Agency/Covina Public Financing Authority/Covina Housing Authority will adjourn to closed session for the following:

A. Government Code § 54957.6 – CONFERENCE WITH LABOR

NEGOTIATORS
Agency Designated Representative:

Chris Marcarello, City Manager
Update on negotiations with Police Association of Covina (PAC) RECESS
JOINT MEETING—OPEN SESSION 7:30 PM

RECONVENE AND CALL TO ORDER

ROLL CALL
Council/Agency/Authority Members: Walter Allen, III, Patricia Cortez, Hector Delgado, Mayor Pro Tem/Vice Chair Victor Linares, and Mayor/Chair John C. King

PLEDGE OF ALLEGIANCE
Led by Councilmember Allen

INVOCATION
Given by Covina Police Chaplain Ron Butler

CLOSED SESSION REPORT

PUBLIC COMMENTS
To address the Council/Agency/Authority please complete a yellow speaker request card located at the entrance and give it to the City Clerk. Your name will be called when it is your turn to speak. Those wishing to speak on a LISTED AGENDA ITEM will be heard when that item is addressed. Those wishing to speak on an item NOT ON THE AGENDA will be heard at this time. State Law prohibits the Council/Agency/Authority Members from taking action on any item not on the agenda. Individual speakers are limited to five minutes each, unless, for good cause, the Mayor/Chairperson amends the time limit.

COUNCIL/AGENCY/AUTHORITY COMMENTS
Council/Agency/Authority Members wishing to make any announcements of public interest or to request that specific items be added to future Council/Agency/Authority agendas may do so at this time.

CITY MANAGER COMMENTS

CONSENT CALENDAR PUBLIC COMMENTS
The public is invited to comment on Consent Calendar items only at this time. To address the Council/Agency/Authority please complete a yellow speaker request card

located at the entrance and give it to the City Clerk. Your name will be called when it is your turn to speak. Individual speakers are limited to five minutes each, unless, for good cause, the Mayor/Chairperson amends the time limit.

CONSENT CALENDAR
All matters listed under consent calendar are considered routine, and will be enacted by one motion. There will be no separate discussion on these items prior to the time the Council/Agency/Authority votes on them, unless a member of the Council/Agency/Authority requests a specific item be removed from the consent calendar for discussion.

CC 1. Minutes 7
Staff Recommendation:

Approve the Minutes of the February 4, 2025, Regular Meeting of the City Council/Successor Agency to the Covina Redevelopment Agency/Covina Public Financing Authority/Housing Authority.

CC 2. Payment of Demands 13
Staff Recommendation:

Approve Payment of Demands in the amount of $3,210,281.45.

CC 3. City of Covina Investment Report for Month Ended January 31, 2025 21 Staff Recommendation:

Receive and File.

CC 4. Covina Recreation Village Project – Phase II – Award of a Professional Services Agreement (PSA) for Structural Engineering Services to EC + Associates Engineering, Inc. for an Amount Not-to-Exceed $69,850 37 Staff Recommendation:

Award a Professional Services Agreement (PSA) for the Covina Recreation Village Project – Phase II for structural engineering services to EC + Associates Engineering, Inc. as the responsive and responsible bidder for a not-to-exceed amount of $69,850 and authorize the City Manager to execute the PSA; and

1. Establish a contingency allowance of $10,000 with EC + Associates Engineering, Inc. for additional engineering services, if needed.

2. CC 5. Fiscal Year 2024-25 Mid-Year Budget Update and Adjustments 61 Staff Recommendation:

Adopt Resolution CC 2025-12 & SA 2025-01 authorizing Fiscal Year 2024-2025 mid-year budget adjustments; and

1. 2. Receive and file the Fiscal Year 2024-25 Mid-Year Budget Update.

CC 6. Seventh Amendment to the Agreement between MRH & Associates and the City of Covina
83 Staff Recommendation:

Approve the Seventh Amendment to the agreement between MRH & Associates LLC and the City of Covina and authorize the City Manager to execute the amendment.

CC 7. Badillo Street Resurfacing Project – Project No. P2506 – Award of Contract to Gentry Brothers, Inc. in the Amount of $649,950 91

Staff Recommendation:

Approve plans and specifications for the Badillo Street Resurfacing Project – Project No. P2506;

1. Award a contract for the Badillo Street Resurfacing Project – Project No. P2506 to Gentry Brothers, Inc. as the lowest responsive and responsible bidder in the amount of $649,950 and authorize the City Manager to execute the contract;

2. Award a Professional Services Agreement (PSA) to CEJ Engineers, Inc. for Construction Management and Inspection Services for an amount not-to-exceed $135,200 and authorize the City Manager to execute the agreement;

3. Award a Professional Services Agreement (PSA) to Willdan Engineering for Pavement Analysis & Testing for an amount not-toexceed $25,000 and authorize the City Manager to execute the agreement; and

4. Authorize a contingency amount of $120,000 for any unforeseen construction expenses.

5. CC 8. Covina Police Department Hiring Incentive Program 171 Staff Recommendation:

Approve the creation of a hiring incentive program for the police department.

CC 9. One Year Extension of the Agreement with Professional Account Management LLC
173
Staff Recommendation:

Approve the Fourth Amendment to the agreement with Professional Account Management LLC for a one (1) year extension to provide parking citation processing and collections services; and authorize the City Manager to execute the amendment.

CC 10. Street Residential Resurfacing Project – Project No. P2505 – Award of Contract to Gentry Brothers, Inc. in the Amount of $524,095 177
Staff Recommendation:

Approve plans and specifications for the Street Residential Resurfacing Project – Project No. P2505;

1. Award a contract for the Street Residential Resurfacing Project to Gentry Brothers, Inc. as the lowest responsive and responsible bidder in the amount of $524,095 and authorize the City Manager to execute the contract; and

2. Authorize a contingency amount of $52,410 (approximately 10%) for any unforeseen construction expenses.

3. CC 11. Additional Funding Allocation from the Street Trees and Landscape District Fund and Approval of Change Order for Gentry Brothers, Inc in the Amount of $74,525 for the Cienega Avenue Street Resurfacing Project – Project No. P2508
189
Staff Recommendation:

Approve Change Order from Gentry Brothers, Inc in the amount of $74,525; and

1.

Approve Resolution CC 2025-11 appropriating $74,525 from available Street Trees and Landscape District Fund – Fund Balance to account number 2720-2250-55030-P2508.

2. PUBLIC HEARINGS
PH 1. Public Hearing Considering the Adoption of Resolution CC 2025-10, Approving Participation in the Fifth Year of the Los Angeles County Permanent Local Housing Allocation Program, and Considering the Funding-Related Allocation
195
Staff Recommendation:

City Council to open the public hearing and consider public testimony and close the public hearing; and

1. Adopt Resolution CC 2025-10, approving participation in the fifth year of the Los Angeles County Permanent Local Housing Allocation Program, specifying the use of PLHA funds, & amending the FY 24-25 Community Development Budget; and

2. Authorize the City Manager or his designee to execute the Participation Agreement and other related documents as necessary.

3. CONTINUED BUSINESS
CB 1. Issuance of Notices to Proceed in the City’s Commercial Cannabis Permit Program RFP Process
213
Staff Recommendation:

That the City Council consider the remaining applicants in the City’s Commercial Cannabis RFP process and authorize up to two (2) applicants to proceed in the preapplication and permitting process.

ADJOURNMENT
The Covina City Council/Successor Agency to the Covina Redevelopment Agency/Covina Public Financing Authority/Covina Housing Authority will adjourn to its next regular meeting of the Council/Agency/Authority scheduled for Tuesday, March 4, 2025, at 6:30 p.m. for closed session and at 7:30 p.m. for open session inside the Council Chamber at City Hall, located at 125 East College Street, Covina, California, 91723.

1 CITY COUNCIL/SUCCESSOR AGENCY TO THE COVINA REDEVELOPMENT

AGENCY/COVINA PUBLIC FINANCING AUTHORITY/COVINA HOUSING

AUTHORITY JOINT MEETING

MINUTES
February 4, 2025, 7:30 p.m.
125 E. College Street, Covina, California
Council Chamber of City Hall
Councilmembers Present: Councilmember Walter Allen, III Councilmember Patricia Cortez
Councilmember Hector Delgado
Mayor/Chair John C. King
Councilmembers Absent: Mayor Pro Tem/Vice-Chair Victor Linares Staff Present: City Clerk Drew Aleman (Elected Member)
City Manager Chris Marcarello
City Attorney Candice K. Lee
Police Chief Ric Walczak
Community Development Director Brian Lee
Parks & Recreation/Library Services Director Lisa Evans Public Works Director Rafael Fajardo
Deputy City Manager Angel Carrillo
Chief Deputy City Clerk Fabian Velez
Interim Finance Director Theresa Franke
Staff Absent: City Treasurer Neil Polzin (Elected Member) _____________________________________________________________________

2 CLOSED SESSION

CLOSED SESSION - WAS NOT HELD
JOINT MEETING—OPEN SESSION 7:30 PM

CALL TO ORDER
Mayor King called the Council/Agency/Authority meeting to order at 7:32 p.m. with all Councilmembers present except Mayor Pro Tem Linares.

ROLL CALL

PLEDGE OF ALLEGIANCE
Led by Councilmember Allen.

INVOCATION
Given by Covina Police Chaplain

PUBLIC COMMENTS
Melinda Forbes thanked the City Council for the recently completed paving projects and redesigned parks in the community. She also thanked the City Council for their leadership and protecting the diverse community.

Sonnie Swenston recalled her time spent in Covina as a child and thanked the City Council for the new and improved recreational facilities and parks.

Mistress Bandito Duran commented regarding his call for services regarding driving under the influence, police officer salary, calls for services regarding domestic violence, business cards for police officers, public information of police officers, and the potential fear of retaliation police officers can feel.

Trump 45/47 spoke on Brandonburg V. Ohio, community safety, and sanctuary cities.

COUNCIL/AGENCY/AUTHORITY COMMENTS
Councilmember Cortez requested that an update be provided in the near future regarding traffic and pedestrian safety in the vicinity of Citrus Avenue and Cypress Avenue. She also requested that staff examine what additional measures the City can take for smoke-free outdoor areas.

Councilmember Delgado stated his excitement for the start of the Covina Recreation Village Project.

Councilmember Allen thanked the Public Works and Parks & Recreation staff for their work with the newly-improved Hollenbeck Park. He also requested that the City Council support a resolution opposing the proposed Saffron Project in the unincorporated area of the City. City Manager Marcarello informed the City Council that an update regarding the item will be heard in March.

Mayor King announced that FRIC & FRAC, a micro-transit program for the Downtown and F.A.I.R. District corridors, will begin on Thursday, February 6th, and operate every weekend from Thursday to Sunday with varying hours of operation. He also thanked Community Development

3 Director Lee, Parks & Recreation/Library Services Director Evans, Public Works Director Fajardo, and their teams for the work completed on the Covina Recreation Village Project and park improvements. Mayor King highlighted Consent Calendar items CC 4-CC 8, all relating to continued infrastructure improvements throughout the City and noted the Sunflower resurfacing project will begin soon.

CITY MANAGER COMMENTS
None.

CONSENT CALENDAR PUBLIC COMMENTS
There were no public comments.

CONSENT CALENDAR
CC 1. Minutes
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado
Approve the Minutes of the December 17, 2024, Regular Meeting of the City Council/Successor Agency to the Covina Redevelopment Agency/Covina Public Financing Authority/Housing Authority.

Approved (4 to 0); Linares Absent
CC 2. Minutes
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado
Approve the Minutes of the January 21, 2025, Regular Meeting of the City Council/Successor Agency to the Covina Redevelopment Agency/Covina Public Financing Authority/Housing Authority.

Approved (4 to 0); Linares Absent
CC 3. Payment of Demands
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado
Approve Payment of Demands in the amount of $4,957,966.33 Approved (4 to 0); Linares Absent
CC 4. Badillo Street Water Services Replacement Project – Project No. W2501 – Final Acceptance and Filing Notice of Completion
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado

1. Accept the work performed by GRBCON, Inc; and

2. Authorize the City Clerk to file a Notice of Completion for the Badillo Street Water Services Replacement Project – Project No. W2501.

Approved (4 to 0); Linares Absent

4 CC 5. City-Wide Alleyway Resurfacing Project – Project No. P2504 – Final Acceptance and Filing Notice of Completion
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado

1. Accept the work performed by FS Contractors, Inc.; and

2. Authorize the City Clerk to file a Notice of Completion for the City-Wide Alleyway Resurfacing Project – Project No. P2504.

Approved (4 to 0); Linares Absent
CC 6. Covina Heights Paving Project – Project No. W2401 – Final Acceptance and Filing Notice of Completion
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado

1. Accept the work performed by Gentry Brothers, Inc.; and

2. Authorize the City Clerk to file a Notice of Completion for the Covina Heights Paving Project – Project No. W2401.

Approved (4 to 0); Linares Absent
CC 7. Hollenbeck Park Urban Greening Revitalization Project – Project No.

P2403/P2512 – Final Acceptance and Filing Notice of Completion Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado

1. Accept the work performed by Green Giant Landscape, Inc.; and

2. Authorize the City Clerk to file a Notice of Completion for the Hollenbeck Park Urban Greening Revitalization Project – Project No. P2403/P2512.

Approved (4 to 0); Linares Absent
CC 8. Covina Recreation Village Project – Project No. P2202 – Demolition of Existing Easterly Building
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado
Authorize the Director of Public Works/City Engineer to approve a contract Change Order for the Covina Recreation Village Project – Project No. P2202 with Perera Construction and Design, Inc. to demolish the existing easterly building for the amount of $251,952.93 to be paid from available and previously allocated State of California Budget Act of 2021 (SB 129) Library Grant funds.

Approved (4 to 0); Linares Absent

5 CC 9. Contract Agreements for On-Call Construction Contractors for the Period of February 4, 2025 – June 30, 2028 for a Not-to-Exceed Amount of $500,000 per Fiscal Year
Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado
Authorize the City Manager to execute Contract Agreements between the City of Covina and Approved On-Call Construction Contractors.

Approved (4 to 0); Linares Absent
CC 10. Professional Services Agreements for CEQA and NEPA Related Services Motion made by: Councilmember Allen
Seconded by: Councilmember Delgado

1. Approve Professional Services Agreements to allow for continued contractual support for CEQA and NEPA related consulting services for a compensation amount not to exceed $300,000 each for Michael Baker, Dudek, Inc., and Environmental Science Associates (ESA); and

2. Approve Third Amendment to Professional Services Agreement with EPD Solutions, Inc. to extend term of agreement, update the approved fee schedule, and amend compensation by $122,000 for continued contractual support for CEQA and NEPA related consulting services.

Approved (4 to 0); Linares Absent

ADJOURNMENT
At 8:02 p.m., the Covina City Council/Successor Agency to the Covina Redevelopment Agency/Covina Public Financing Authority/Covina Housing Authority adjourned to its next regular meeting of the Council/Agency/Authority scheduled for Tuesday, February 18, 2025, at 6:30 p.m., for closed session and 7:30 p.m., for open session in the Council Chamber located inside of City Hall, 125 East College Street, Covina, California, 91723. ________________________________
Fabian Velez, Chief Deputy City Clerk
_____________________________
John C. King, Mayor/Chair

CITY OF COVINA AND

SUCCESSOR AGENCY TO THE

COVINA REDEVELOPMENT AGENCY

AGENDA ITEM REPORT
ITEM NO. CC 2
Meeting: February 18, 2025
Title: Payment of Demands
Presented by: Theresa Franke, Interim Director of Finance Recommendation: Approve Payment of Demands in the amount of $3,210,281.45.

EXECUTIVE SUMMARY/BACKGROUND:

Attached is a list of warrants and demands which are being presented for approval and are summarized as follows:

Accounts Payable Warrants January 17, 2024 – January 30, 2025 CITY checks/EFTs $ 2,054,068.52
CITY payroll $ 1,141,658.26
CITY voids $ (28,968.82)
Worker’s Comp $ 43,207.93
$ 3,209,965.89
SACRA checks/EFTs $ 93.48
SACRA payroll $ 222.08
$ 315.56
TOTAL checks/EFTs $ 3,210,281.45
DISCUSSION:

The attached reports have been reviewed by the Interim Director of Finance.

FISCAL IMPACT:

Sufficient funding is available and the related costs are included in the Fiscal Year 24/25 budget.

Respectfully submitted,

CITY OF COVINA
Check Register
Jan 17, 2025 - Jan 30, 2025
Check # Check Date Vendor Name Amount
5994 09/30/2024 5438 BMO 32,622.25
5995 01/21/2025 477 STATE OF CA 673.00
5996 01/22/2025 477 STATE OF CA 20.00
5997 01/22/2025 3280 INTERNAL REVENUE SERVICE 1,141.19
5998 10/31/2024 5438 BMO 22,873.17
5999 12/04/2024 5438 BMO 23,169.93
6000 01/30/2025 4003 MidAmerica 1,625.73
20919 01/30/2025 2033 NATIONWIDE RETIREMENT SOLUTIONS 34,750.00 20920 01/30/2025 788 COVINA, CITY OF 51,080.57 *
Internal transfers - workers comp allocation - no net cash effect (51,080.57) * subtotal EFT/wires/direct deposits/internal transfers $116,875.27 124750 01/22/2025 14 A1 RENTALS 429.97
124751 01/22/2025 84 AIRGAS-WEST 735.02
124752 01/22/2025 113 ALL CITY MANAGEMENT SVC 15,609.60 124753 01/22/2025 219 AT&T 67.69
124754 01/22/2025 239 AUTOZONE INC 46.28
124755 01/22/2025 254 AZUSA LIGHT & WATER 60.73
124756 01/22/2025 260 B & K ELECTRIC WHOLESALE 291.45
124757 01/22/2025 269 BAKER AND TAYLOR INC 1,064.76
124758 01/22/2025 333 BERLITZ LANGUAGES, INC. 60.00
124759 01/22/2025 457 CA PARKS AND REC SOCIETY 170.00
124760 01/22/2025 480 CALIFORNIA ASSOCIATION OF 180.00
124761 01/22/2025 568 CAT SPECIALTIES INC 1,341.17
124762 01/22/2025 649 CINTAS CORP #693 389.63
124763 01/22/2025 700 COLLEY FORD 333.25
124764 01/22/2025 703 UNIQUE PRINTING 269.01
124765 01/22/2025 734 CONTROL AUTOMATION DESIGN INC 10,654.38 124766 01/22/2025 749 BOHL PH.D., NANCY K. 700.00
124767 01/22/2025 767 COVINA DOWNTOWN ASSOCIATION 10,513.00 124768 01/22/2025 783 CITY OF COVINA WATER 128.70
124769 01/22/2025 962 SUPERIOR COURT OF CALIFORNIA, CNTY OF LOS ANGELES 4,715.00 124770 01/22/2025 962 SUPERIOR COURT OF CALIFORNIA, CNTY OF LOS ANGELES 483.00 124771 01/22/2025 970 EDISON CO 41.04
124772 01/22/2025 970 EDISON CO 7,664.57
124773 01/22/2025 1156 THE GAS COMPANY 1,650.60
124774 01/22/2025 1204 GOLDEN STATE WATER COMPANY 83.60 124775 01/22/2025 1235 GRAINGER 248.86
124776 01/22/2025 1361 HOLLIDAY ROCK CO INC 1,366.28
124777 01/22/2025 1505 JOHNNY'S POOL SERVICE 529.15
124778 01/22/2025 1571 KING BOLT CO 1.74
124779 01/22/2025 1619 LA CNTY SHERIFF'S DEPT 388.96
124780 01/22/2025 1680 LEAGUE OF CALIF CITIES 2,025.00
124781 01/22/2025 1707 LIEBERT CASSIDY WHITMORE 22,996.00 124782 01/22/2025 1710 LIFELOC TECHNOLOGIES INC 149.00
124783 01/22/2025 1754 LOWE'S COMPANIES INC 811.88
124784 01/22/2025 1792 MANNING & KASS 39,582.92
124785 01/22/2025 1895 MERRIMAC ENERGY GROUP 31,996.49
124786 01/22/2025 1924 MILLERS & ISHAMS 232.11
124787 01/22/2025 1933 MISSION LINEN SUPPLY 82.52
124788 01/22/2025 2027 NAPA AUTO PARTS 111.13
124789 01/22/2025 2312 PROFORCE MARKETING, INC 0.08
124790 01/22/2025 2335 PYRO-COMM SYSTEMS INC 135.00
Attachment A Page 1 of 5

CITY OF COVINA
Check Register
Jan 17, 2025 - Jan 30, 2025
Check # Check Date Vendor Name Amount
124791 01/22/2025 2345 QUILL 69.72
124792 01/22/2025 2619 SGV EXAMINER 522.50
124793 01/22/2025 2711 SOUTHEAST CONSTRUCTION PRODUCTS - COVINA 292.71 124794 01/22/2025 2736 STAPLES BUSINESS ADVANTAGE 82.30 124795 01/22/2025 2852 THREE VALLEY MUN WATER DISTR 8,344.05 124796 01/22/2025 2855 CHARTER COMMUNICATIONS 206.03
124797 01/22/2025 2935 UNDERGROUND SERVICE ALERT 73.63
124798 01/22/2025 3004 VICTORY EXTERMINATING INC 235.00 124799 01/22/2025 3052 WATERLINE TECHNOLOGIES INC 4,520.49 124800 01/22/2025 3070 WEST COAST ARBORISTS INC 39,872.11 124801 01/22/2025 3082 WESTERN WATER WORKS SUPPLY 3,009.76 124802 01/22/2025 3152 YWCA 2,769.74
124803 01/22/2025 3163 GENTRY BROTHERS INC 700,245.07
124804 01/22/2025 3729 SUNBELT RENTALS INC 395.00
124805 01/22/2025 3749 JCL TRAFFIC SERVICES 335.01
124806 01/22/2025 3810 MYERS & SONS HI-WAY SAFETY INC 3,671.61 124807 01/22/2025 3837 SONSRAY MACHINERY LLC 521.70
124808 01/22/2025 3839 DOANE AND HARTWIG WATER SYSTEMS, INC. 7,203.74 124809 01/22/2025 3929 BOOT BARN INC 450.00
124810 01/22/2025 3964 RED WING BUSINESS ADVANTAGE ACCOUNT 93.11 124811 01/22/2025 3988 LANDSCAPE WAREHOUSE III 731.55
124812 01/22/2025 4123 RUDY CARDENAS 175.00
124813 01/22/2025 4201 OFFICE TEAM - A ROBERT HALF COMPANY 21,236.80 124814 01/22/2025 4249 H.Q. ENTERPRISES 4,976.86
124815 01/22/2025 4332 ERIC ARROYO 1,350.00
124816 01/22/2025 4389 EMPLOY AMERICA 2,580.00
124817 01/22/2025 4455 FRONTIER 3,764.11
124818 01/22/2025 4571 POWER SECURITY GROUP INC 11,446.50 124819 01/22/2025 4676 Hill Brothers Chemical Company 3,384.68 124820 01/22/2025 4704 S & J Supply Company, Inc. 1,616.74 124821 01/22/2025 4747 Empire Pipe Cleaning and Equipment, Inc. 142,773.81 124822 01/22/2025 4764 UniFirst Corporation 523.00
124823 01/22/2025 4813 JOHNSON CONTROLS FIRE PROTECTION LP 1,912.51 124824 01/22/2025 4824 Occu-Med, Ltd. 6,531.20
124825 01/22/2025 4858 Prestine Uniforms, LLC 6,469.20
124826 01/22/2025 4871 HARRINGTON INDUSTRIAL PLASTICS, LLC 385.91 124827 01/22/2025 4885 ELIE FARAH 5,778.00
124828 01/22/2025 4925 Humane Society of Pomona Valley, Inc. 26,973.08 124829 01/22/2025 4928 Springstead & Associates, Inc. 4,000.00 124830 01/22/2025 4960 Data Ticket, Inc. 200.00
124831 01/22/2025 5081 Veolia ES Technical Solutions, LLC 209.10 124832 01/22/2025 5108 DocuSign, Inc. 580.00
124833 01/22/2025 5186 Dash Platform, LLC 375.01
124834 01/22/2025 5228 ODP BUSINESS SOLUTIONS, LLC 339.96 124835 01/22/2025 5245 THERESA FLORES-FRANKE 35.00
124836 01/22/2025 5269 CONTROL AIR ENTERPRISES LLC. 3,478.54 124837 01/22/2025 5280 ALDERMAN & HILGERS LLP 3,869.49
124838 01/22/2025 5283 Y TIRE PERFORMANCE 498.68
124839 01/22/2025 5285 MLXPERTS LLC 10,500.00
124840 01/22/2025 5336 ABI DOCUMENT SUPPORT SERVICES LLC 1,318.90 124841 01/22/2025 5354 MALLORY SAFETY & SUPPLY LLC 135.57 124842 01/22/2025 5425 AQMNI LLC 20,587.09
Attachment A Page 2 of 5

CITY OF COVINA
Check Register
Jan 17, 2025 - Jan 30, 2025
Check # Check Date Vendor Name Amount
124843 01/22/2025 5484 ACTIVE SAN GABRIEL VALLEY 6,110.00 124844 01/22/2025 5508 ROADLINE PRODUCTS INC USA 4,504.82 124845 01/22/2025 5518 THE PAPE' GROUP INC 12,678.75
124846 01/22/2025 5521 COMPRESSOR DESIGN AND SERVICES INC 1,003.00 124847 01/22/2025 5531 CU TECHNOLOGY LLC / ACORN TECHNOLOGY SERVICES 1,875.00 124848 01/22/2025 5546 L.N. CURTIS & SONS 1,409.78
124849 01/22/2025 5553 SOUTHERN TIRE MART LLC 656.26
124850 01/22/2025 5575 LINCO PICTURE FRAMING INC 1,422.96 124851 01/22/2025 5577 Bear Electrical Solutions, LLC 16,414.00 124852 01/22/2025 5614 SUNLAND TIRE CO OF COVINA 311.59 124853 01/22/2025 99999 FREDDIE LOPEZ JR. 55.00
124854 01/22/2025 99999 THERESA FLORES FRANKE 26.26
124855 01/27/2025 2447 RIVERSIDE CNTY SHERIFF'S DEPT 661.00 124856 01/28/2025 99999 LISA EVANS 296.87
124857 01/30/2025 44 ADAMSON INDUSTRIES 5,768.46
124858 01/30/2025 219 AT&T 574.15
124859 01/30/2025 239 AUTOZONE INC 5.51
124860 01/30/2025 568 CAT SPECIALTIES INC 303.30
124861 01/30/2025 649 CINTAS CORP #693 779.26
124862 01/30/2025 654 CITRUS CAR WASH 59.94
124863 01/30/2025 700 COLLEY FORD 27.84
124864 01/30/2025 703 UNIQUE PRINTING 68.36
124865 01/30/2025 749 BOHL PH.D., NANCY K. 440.00
124866 01/30/2025 783 CITY OF COVINA WATER 170.40
124867 01/30/2025 849 DAPEER ROSENBLIT & LITVAK LLP 6,743.58 124868 01/30/2025 970 EDISON CO 2,931.21
124869 01/30/2025 1055 FEDEX 326.15
124870 01/30/2025 1156 THE GAS COMPANY 93.14
124871 01/30/2025 1241 GRAND PRINTING 1,109.99
124872 01/30/2025 1387 HUNTER, JOHN L. 9,487.01
124873 01/30/2025 1429 INLAND EMPIRE STAGES 2,927.63
124874 01/30/2025 1547 KELLY PAPER CO 2,775.54
124875 01/30/2025 1559 KEYSER MARSTAN ASSOCIATES INC. 590.00 124876 01/30/2025 1561 KEYSTONE UNIFORM DEPOT 358.21
124877 01/30/2025 1612 LA CNTY DEPT OF PUBLIC WORKS 21,643.80 124878 01/30/2025 1680 LEAGUE OF CALIF CITIES 20,739.00 124879 01/30/2025 1694 LEWIS ENGRAVING INC 286.65
124880 01/30/2025 1707 LIEBERT CASSIDY WHITMORE 18,956.00 124881 01/30/2025 1895 MERRIMAC ENERGY GROUP 62,807.26
124882 01/30/2025 2027 NAPA AUTO PARTS 1,404.36
124883 01/30/2025 2091 O REILLY AUTO PARTS 36.04
124884 01/30/2025 2163 PACIFIC PARKING SYS INC 848.50
124885 01/30/2025 2309 PROFESSIONAL ACCOUNT MANAGEMENT LLC 5,835.40 124886 01/30/2025 2345 QUILL 54.70
124887 01/30/2025 2415 REPUBLIC MASTER CHEFS 514.70
124888 01/30/2025 2736 STAPLES BUSINESS ADVANTAGE 561.85 124889 01/30/2025 2795 STATE WATER RESOURCES CONTROL BOARD 51,738.32 124890 01/30/2025 3001 VERIZON WIRELESS 7,242.57
124891 01/30/2025 3052 WATERLINE TECHNOLOGIES INC 560.07 124892 01/30/2025 3070 WEST COAST ARBORISTS INC 1,042.20 124893 01/30/2025 3102 WILLDAN FINANCIAL SERVICES 1,340.00 124894 01/30/2025 3152 YWCA 2,035.31
Attachment A Page 3 of 5

CITY OF COVINA
Check Register
Jan 17, 2025 - Jan 30, 2025
Check # Check Date Vendor Name Amount
124895 01/30/2025 3701 DEPARTMENT OF JUSTICE 816.00
124896 01/30/2025 3729 SUNBELT RENTALS INC 4,240.98
124897 01/30/2025 3755 CARB/PERP 735.00
124898 01/30/2025 3771 BLACK & WHITE EMERGENCY VEHICLES 916.44 124899 01/30/2025 3796 RICHARDS, WATSON & GERSHON 25,608.06 124900 01/30/2025 4065 VERIZON BUSINESS SERVICES 843.50 124901 01/30/2025 4065 VERIZON WIRELESS 933.56
124902 01/30/2025 4131 EDWARD PROFESSIONAL ADVISORS LLC 2,500.00 124903 01/30/2025 4201 OFFICE TEAM - A ROBERT HALF COMPANY 1,496.80 124904 01/30/2025 4225 CORELOGIC SOLUTIONS, LLC 238.70
124905 01/30/2025 4246 FERGUSON ENTERPRISES LLC #3325 106.61 124906 01/30/2025 4249 H.Q. ENTERPRISES 47.41
124907 01/30/2025 4332 ERIC ARROYO 1,350.00
124908 01/30/2025 4360 MOORE IACOFANO GOLTSMAN, INC. 16,503.75 124909 01/30/2025 4379 789, Inc. 6,061.45
124910 01/30/2025 4448 FS CONTRACTORS, INC. 36,142.50
124911 01/30/2025 4455 FRONTIER 1,215.75
124912 01/30/2025 4571 POWER SECURITY GROUP INC 11,753.50 124913 01/30/2025 4676 Hill Brothers Chemical Company 1,229.30 124914 01/30/2025 4764 UniFirst Corporation 370.67
124915 01/30/2025 4766 HASA, INC. 550.05
124916 01/30/2025 4817 Weck Analytical Environmental Services, Inc. 217.00 124917 01/30/2025 4833 Michael R. Hillmann 2,860.00
124918 01/30/2025 4854 CEJ Engineers, Inc. 79,705.00
124919 01/30/2025 4886 DG Collision LLC 687.50
124920 01/30/2025 4983 Ad Valorem Records,Inc. 10,100.31 124921 01/30/2025 5045 CONVERSE CONSULTANTS 3,100.00
124922 01/30/2025 5099 CliftonLarsonAllen LLP 14,387.10 124923 01/30/2025 5109 SITEREP CONSTRUCTION SERVICES, INC. 116,505.00 124924 01/30/2025 5117 Steam It All LLC 1,210.00
124925 01/30/2025 5138 Ricoh USA, Inc. 627.57
124926 01/30/2025 5232 RestaurantFurniture4Less.com 9,937.45 124927 01/30/2025 5269 CONTROL AIR ENTERPRISES LLC. 485.00 124928 01/30/2025 5280 ALDERMAN & HILGERS LLP 762.50
124929 01/30/2025 5291 AMAZON CAPITAL SERVICES, INC 14.31 124930 01/30/2025 5401 ND CONSTRUCTION COMPANY INC 3,877.44 124931 01/30/2025 5404 SAN FERNANDO VALLEY ALARM CO. 82.00 124932 01/30/2025 5439 PARKWOOD LANDSCAPE MAINTENANCE INC 42,837.46 124933 01/30/2025 5508 ROADLINE PRODUCTS INC USA 322.75 124934 01/30/2025 5531 CU TECHNOLOGY LLC / ACORN TECHNOLOGY SERVICES 7,517.50 124935 01/30/2025 5553 SOUTHERN TIRE MART LLC 544.40
124936 01/30/2025 5607 ACLARA TECHNOLOGIES LLC 14,377.70 124937 01/30/2025 5607 ACLARA TECHNOLOGIES LLC 2,795.39 124938 01/30/2025 5616 BBR ATHLETICS INC 1,916.97
124939 01/30/2025 5617 DUNWRIGHT PAINTING 7,499.00
124940 01/30/2025 99999 CHRIS MARCARELLO 486.87
124941 01/30/2025 99999 DYLAN DIXON 169.64
subtotal checks $ 1,937,286.73
123459 10/10/2024 1895 MERRIMAC ENERGY GROUP (28,968.82) subtotal voids $ (28,968.82)
payroll (01/30/25) $ 1,141,880.34
payroll (//) $ -
Attachment A Page 4 of 5

CITY OF COVINA
Check Register
Jan 17, 2025 - Jan 30, 2025
Check # Check Date Vendor Name Amount
workers' compensation $ 43,207.93
TOTAL checks/EFTs $3,210,281.45
Attachment A Page 5 of 5

CC Regular Meeting

AGENDA ITEM REPORT
ITEM NO. CC 3
Meeting: February 18, 2025
Title: City of Covina Investment Report for Month Ended January 31, 2025 Presented by: Theresa Franke, Interim Director of Finance Charles Russom, Sr. Management Analyst
Recommendation: Receive and File.

EXECUTIVE SUMMARY:

Pursuant to Government Code Section 53600 et seq. and Section 4.0 of the City of Covina’s Investment Policy, a monthly investment report must be provided to the City Council and City Manager, containing detailed information of all securities, investments and monies of the City.

DISCUSSION:

The attached report for the City and Successor Agency reflects the portfolio balances for the month ended January 31, 2025. The report is in conformity with the City’s Investment Policy as well as Government Code 53601. In accordance with the City's Investment Policy, the City Council authorizes staff to continue investing the City's idle funds in similar securities as those presented in these reports attached hereto. There are sufficient funds to meet the pooled expenditure requirements for all City funds for the next 6 months.

FISCAL IMPACT:

None to receive and file.

Respectfully submitted,

CASH AND INVESTMENT BALANCE 12/31/2024 $91,077,111.78
RECEIPTS 1/1/25-1/31/25 35,090,290.54

DISBURSEMENTS 1/1/25-1/31/25 (31,731,136.54)
CASH AND INVESTMENT BALANCE 1/31/2025 $94,436,265.78

ANALYSIS OF CASH AND INVESTMENT BALANCE - BOOK VALUE
INVESTMENT PORTFOLIO Attachment A-2 $55,182,479.69
LOCAL AGENCY INVESTMENT FUND Attachment A-4 33,650,961.85 TOTAL PUBLIC INVESTMENTS 88,833,441.54
CHECKING / PETTY / STIFEL CASH BALANCES 5,602,824.24
CASH AND INVESTMENT BALANCE 1/31/2025 94,436,265.78
CASH HELD BY BOND TRUSTEES 3,829,707.12
TOTAL CASH AND INVESTMENT / BOND TRUSTEE CASH BALANCE 1/31/2025 $98,265,972.90

CITY OF COVINA INVESTMENT REPORT
FOR THE MONTH ENDED JANUARY 31, 2025
The purpose of this report is to provide readers with the overall cash position of the City. There is sufficient investment liquidity to meet the required reserve limits of the City's operations.

Attachment A -City

BOOK ACQUISITIONMATURITY MARKET

TYPE OF INVESTMENT ISSUER VALUE DATE DATE VALUE
City of Covina:

Drawer & Petty Cash N/A $7,780.12 N/A N/A $7,780.12
General - Checking Account BMO 1,122,257.23 N/A Demand 1,122,257.23 Public Agency Saving - Parking Fines BMO 81,440.49 N/A Demand 81,440.49 Utility Billing Account BMO 27,917.95 N/A Demand 27,917.95Workers' Compensation - Checking Account BMO 141,995.54 N/A Demand 141,995.54Payroll - Checking Account BMO 286,897.64 N/A Demand 286,897.64Money Market BMO 2,767,874.14 N/A Demand 2,767,874.14 AFLAC Flexible Spending Account BMO 17,737.14 N/A Demand 17,737.14 STIFEL Cash Per GL Various 1,148,923.99 Various Various 1,148,923.99STIFEL Investment Portfolio Various 55,182,479.69 Various Various 54,964,323.88Local Agency Investment Fund State of California 33,650,961.85 N/A Demand 33,650,961.85 Subtotal (A) $94,436,265.78 $94,218,109.97
Cash Held With 3rd Party Administrator:TRIP 2017A Covina Wilmington Trust $644.99 N/A Demand $644.99 LA County Loan Agreement U.S. Bank 1,625,041.92 N/A Demand 1,625,041.92 Other Post-Employment Benefits Charles Schwab 1,554,681.32 N/A Demand 1,554,681.322021 Taxable Pension Obligation Bonds U.S. Bank 649,336.28 N/A Demand 649,336.28 2019 Wastewater Refunding Bonds U.S. Bank 2.61 N/A Demand 2.61 Subtotal (B) $3,829,707.12 $3,829,707.12
TOTAL (A+B) $98,265,972.90 $98,047,817.09

CITY OF COVINA

CASH AND INVESTMENT SUMMARY
FOR THE MONTH ENDED JANUARY 31, 2025
The purpose of this schedule is to show the total cash and investments held by the City of Covina by account.

Exhibit A-2

CITY OF COVINA
Stifel
Investment Portfolio as of
January 2025
Issuer Purchase Date
Market Price Per
Share Qty
Total Original Cost
Value Coupon CUSIP Maturity Trustee
FEDL Agric MTG CorpMedium Term Note 06/30/22 94.359000 1,000,000 915,357.70 $ 0.9400 31422XGQ9 10/26/2026 Stifel FEDL Agric MTG Corp -
Medium Term Note 07/02/24 100.230000 1,000,000 1,000,000.00 5.2700 31424WLD2 7/9/2027 Stifel FEDL Agric MTG Corp -
Medium Term Note 01/16/25 99.981000 1,000,000 1,000,000.00 4.6300 3134HAW66 12/30/2027 Stifel Total Agricultural Mortgage 2,915,357.70 3,000,000 $
FEDL Farm Credit Bank Bond 02/02/22 94.721000 1,000,000 996,151.59 $ 1.5000 3133ENKV1 1/13/2027 Stifel Federal Farm Credit Bank Bond 04/07/22 97.765000 1,000,000 1,008,973.48 3.1500 3133EJDV8 3/22/2027 Stifel FEDL Farm Credit Bank Bond 08/12/24 99.832000 1,000,000 1,000,000.00 4.6200 3133ERNS6 8/12/2027 Stifel Total Federal Farm Credit 3,005,125.07 3,000,000 $
FEDL Home Loan Bank Bond 02/02/22 98.581000 1,000,000 1,009,923.31 $ 2.6250 3130A6ZQ3 12/12/2025 Stifel FEDL Home Loan Bank Bond 04/07/22 98.059000 1,000,000 1,004,834.79 3.0000 3130A2VE3 9/11/2026 Stifel Tennessee Valley AuthPWR Bond 1995 SER E 06/30/22 101.628000 1,000,000 1,027,444.28 6.7500 880591CJ9 11/1/2025 Stifel FEDL Home Loan Bank Bond 05/09/23 100.057000 1,000,000 1,000,000.00 5.0500 3130AVZG0 5/15/2028 Stifel FEDL Home Loan MTG CorpPool #WN2479 12/04/23 100.172200 1,000,000 993,437.50 4.9400 3132XGXH4 5/1/2028 Stifel FEDL Home Loan MTG CorpPool#WN2534 02/16/24 99.890100 1,000,000 997,187.50 4.9000 3132XGY83 12/1/2028 Stifel FEDL Home Loan MTG Corp -
Medium Term Note 02/20/24 99.996000 1,000,000 997,570.00 5.2500 3134H1TX1 2/23/2029 Stifel FEDL Home Loan MTG Corp -
Medium Term Note 02/22/24 99.501000 1,000,000 993,939.00 5.0000 3134H1UK7 2/23/2029 Stifel FEDL NATL MTG ASSNPool#BSB8718 Balloon 03/05/24 98.846700 1,000,000 986,562.50 4.3800 3140LKVL4 6/1/2028 Stifel FEDL Home Loan MTG CorpPOOL#WN2559 04/10/24 1,000,000 98.998100 979,062.50 4.6000 3132XGZZ2 1/1/2029 Stifel FEDL Home Loan MTG CorpPOOL#WN2537 04/16/24 100.063800 1,000,000 989,687.50 4.9000 3132XGZB5 12/1/2028 Stifel FEDL NATL MTG ASSN Note 06/07/24 100.142000 1,000,000 1,000,000.00 5.2600 3135GATR2 6/10/2027 Stifel FEDL Home Loan Bank Bond 09/04/24 98.579000 980,000 980,000.00 4.2000 3130B2GZ2 8/13/2029 Stifel FEDL Home Loan Bank Bond 09/09/24 97.723000 2,000,000 2,000,000.00 4.0000 3130B2NS0 9/4/2029 Stifel FEDL Home Loan Bank Bond 10/22/24 99.948000 1,950,000 1,950,000.00 3130B3DD2 4.7000 10/22/2027 Stifel FEDL Home Loan Bank Bond 10/25/24 99.529000 1,000,000 1,000,000.00 4.5300 3130B3AS2 10/16/2028 Stifel FEDL Home Loan Bank Bond 10/25/24 97.475000 1,000,000 990,500.00 4.0000 3130B32X0 10/2/2029 Stifel FEDL Home Loan Bank Bond 10/25/24 99.749000 1,000,000 1,000,000.00 4.6500 3130B3F65 10/22/2029 Stifel FEDL NATL MTG ASSN Note 10/25/24 99.245000 1,000,000 1,000,000.00 4.4000 3135GAXR7 8/3/2029 Stifel FEDL Home Loan Bank Bond 11/04/24 99.816000 1,000,000 1,000,000.00 3133ERZM6 4.3300 11/5/2026 Stifel FEDL Home Loan Bank Bond 11/04/24 99.996000 1,000,000 1,000,000.00 3133ERZT1 4.6700 11/7/2028 Stifel FEDL Home Loan Bank Bond 11/05/24 99.803000 1,000,000 1,000,000.00 3130B3M67 4.5000 11/13/2029 Stifel FEDL Home Loan Bank Bond 11/19/24 99.882000 1,000,000 1,000,000.00 4.6248 3130B3RN5 11/19/2027 Stifel FEDL Home Loan MTG Corp -
Medium Term Note 11/19/24 99.866000 1,000,000 1,000,000.00 4.8982 3134HAXZ1 11/7/2028 Stifel FEDL Home Loan Bank Bond 11/26/24 99.987000 1,000,000 1,000,000.00 4.5479 3133ERZS3 11/12/2027 Stifel FEDL Home Loan Bank Bond 12/10/24 99.877000 1,000,000 1,000,000.00 3130B42Y6 4.5000 12/23/2027 Stifel FEDL Home Loan Bank Bond 12/23/24 100.330000 1,000,000 1,003,097.04 4.6840 3130B0EE5 3/6/2028 Stifel FEDL Home Loan Bank Bond 01/14/25 100.009000 1,000,000 1,000,000.00 3130B4MG3 5.0000 1/16/2029 Stifel Total Federal Home Loan 29,903,245.92 29,930,000 $

Exhibit A-2

CITY OF COVINA
Stifel
Investment Portfolio as of
January 2025
Issuer Purchase Date
Market Price Per
Share Qty
Total Original Cost
Value Coupon CUSIP Maturity Trustee
State Bank of India -
New York NY CD 02/01/22 95.088000 245,000 245,000.00 $ 1.7500 856285G21 2/9/2027 Stifel Pentagon Federal CR UN - Tysons
Corner VA 02/02/22 94.909000 245,000 245,000.00 1.7000 70962LBE1 2/18/2027 Stifel Sallie Mae Bank -
Salt Lake City UT CD 02/16/22 95.877000 245,000 245,000.00 2.2000 795451BH5 2/23/2027 Stifel American Express Natl BK -
Salt Lake City UT CD 03/01/22 99.737000 245,000 245,000.00 1.8000 02589ABP6 3/10/2025 Stifel Beal Bank -
Las Vegas NV CD 03/01/22 95.565000 245,000 245,000.00 2.0500 07371CK81 3/3/2027 Stifel Beal Bank -
Plano TX CD 03/01/22 95.565000 245,000 245,000.00 2.0500 07371AZQ9 3/3/2027 Stifel BMW Bank North America -
Salt Lake City UT CD 03/01/22 99.774000 245,000 245,000.00 1.8000 05580AK37 3/4/2025 Stifel Medallion Bank -
Salt Lake City UT CD 03/01/22 95.486000 245,000 245,000.00 2.0500 58404DNG2 3/8/2027 Stifel Live Oak Bkg Co -
Wilmington NC CD 03/03/22 99.890000 249,000 248,751.00 1.8500 538036HW7 2/14/2025 Stifel Cpital One Bank USA NA -
Glen Allen VA CD 04/07/22 96.685000 245,000 245,000.00 2.7000 14042TFJ1 4/13/2027 Stifel Synchrony Bank -
Draper UT CD 04/07/22 96.681000 245,000 245,000.00 2.7000 87165FK45 4/14/2027 Stifel Ally Bank -
Midvale UT CD 04/27/22 98.277000 245,000 245,000.00 2.8500 02007GQQ9 5/5/2026 Stifel Capital One NA -
Mclean VA CD 04/27/22 97.362000 245,000 245,000.00 3.0500 14042RRA1 5/4/2027 Stifel Goldman Sachs Bank USA -
New York NY CD 04/27/22 97.343000 245,000 245,000.00 3.0500 38149M6Y4 5/11/2027 Stifel Toyota Finl Svgs BankHenderson NV CD 05/09/22 97.651000 245,000 245,000.00 3.2000 89235MNH0 5/17/2027 Stifel First Natl Bank of AmerEast Lansing MI CE 05/16/22 98.997000 245,000 245,000.00 3.0000 32110YXE0 11/28/2025 Stifel Morgan Stanley Bank NA- Salt
Lake City UT CD 05/16/22 97.755000 245,000 245,000.00 3.2500 61690UJ68 5/19/2027 Stifel Morgan Stanley PVT BK NAPurchase NY CD 05/16/22 97.755000 245,000 245,000.00 3.2500 61768EJR5 5/19/2027 Stifel Discover BankGreenwood DE CD 05/20/22 97.635000 245,000 245,000.00 3.2000 254673E36 5/24/2027 Stifel Barclays Bank DEWilmington DE CD 05/24/22 99.559000 245,000 245,000.00 3.0500 06740KQS9 6/2/2025 Stifel BMO Harris Bank NAChicago IL CD 06/23/22 99.548000 245,000 245,000.00 3.2000 05600XGK0 6/24/2025 Stifel American First CR UNBrea CA SHS CTF 06/30/22 99.520000 245,000 245,000.00 3.2500 02616ABJ7 7/15/2025 Stifel Austin Telco Fed CR UN- Austin
TX SHS CTF 11/14/22 101.318000 245,000 245,000.00 5.0500 052392CC9 11/27/2026 Stifel Baxter CR UNVernon Hills IL SHS CTF 11/14/22 101.248000 245,000 245,000.00 5.0000 07181JAV6 11/30/2026 Stifel All in FED CR UnionDaleville AL SHS CTF 12/07/22 100.271000 245,000 245,000.00 4.4500 01664MAA4 12/21/2026 Stifel Ideal Credit UnionWoodbury MN SHS CTF 12/07/22 100.719000 245,000 245,000.00 4.5000 45157PAZ3 12/29/2027 Stifel Community West CR UNKentwood MI CD 12/12/22 100.261000 245,000 245,000.00 5.0000 20416JAC8 6/23/2025 Stifel Alliant Credit UnionChicago IL SHS CTF 12/20/22 101.692000 245,000 245,000.00 4.8500 01882MAA0 12/30/2027 Stifel Valley Strong CR UNBakersfield CA SHS CTF 01/04/23 100.024000 245,000 245,000.00 5.1000 920133AL9 7/18/2025 Stifel Sound CR UNTacoma WA ShS CTF 02/06/23 100.047000 245,000 245,000.00 5.1000 83616HAC8 2/21/2025 Stifel

Exhibit A-2

CITY OF COVINA
Stifel
Investment Portfolio as of
January 2025
Issuer Purchase Date
Market Price Per
Share Qty
Total Original Cost
Value Coupon CUSIP Maturity Trustee
First NATL BankDamariscotta ME CD 03/09/23 101.129000 245,000 245,000.00 $ 5.0000 32117BFR4 9/23/2026 Stifel KodabankDrayton ND CD 03/09/23 101.128000 245,000 245,000.00 5.0000 50007DAC3 9/22/2026 Stifel Truliant FEDL CR UNWinston Salem NC SHS CTF 03/09/23 100.963000 245,000 245,000.00 5.1500 89789AAH0 3/23/2026 Stifel Cornerstone Bank- Fargo ND CD 05/01/23 102.642300 245,000 245,000.00 - 219232CR4 5/10/2028 Stifel Centris FEDL CR UNOmaha NE SHS CTF 05/09/23 100.208000 245,000 245,000.00 5.0000 15643VAB8 5/24/2025 Stifel Credit Union of TexasAllen TX SHS CTF 05/11/23 100.020000 245,000 245,000.00 5.1500 22551KAZ5 5/27/2025 Stifel First Choice FEDL CR UNNew Castle PA SHS CTF 05/17/23 100.207000 245,000 245,000.00 5.0000 31949HAA9 5/27/2025 Stifel Global Federal CR UNAnchorage AK SHS CTG 06/06/23 100.320000 245,000 245,000.00 5.2000 37892MAL8 6/16/2025 Stifel Oregon CMNTY CR UNEugene OR SHS CTF 06/16/23 100.334000 245,000 245,000.00 5.1500 68584JAE9 6/23/2025 Stifel CY Fair FCUHouston TX SHS CTF 06/26/23 100.332000 245,000 245,000.00 5.3000 23248UAC1 7/14/2028 Stifel Southwest Heritage CUOdessa TX SHS CTF 06/26/23 100.773000 245,000 245,000.00 5.1000 84503PAF7 1/7/2026 Stifel Inspire FEDL CR UNBristol PA SHS CTF 06/29/23 101.016000 245,000 245,000.00 5.0000 457731AQ0 6/30/2026 Stifel Liberty Fed CR UNEvansville IN SHS CTF 07/01/23 100.446000 245,000 245,000.00 5.3000 53052LAW9 7/14/2025 Stifel TTCU Federal CR UnionTulsa OK CD 07/10/23 100.498000 245,000 245,000.00 5.3500 89854LAE3 7/25/2025 Stifel Numerica Credit Union-Spokane
VLY WA SHS CTF 07/12/23 102.793000 245,000 245,000.00 5.1000 67054NBK8 7/31/2028 Stifel GESA CR UNRichland WA CD 07/19/23 101.419000 245,000 245,000.00 5.2500 37424PAH7 7/31/2026 Stifel GHS FED CR UN- Binghamton
NY SHS CTF 08/02/23 100.035000 245,000 245,000.00 5.6000 36266LAB2 8/17/2028 Stifel Pima FEDL CR UNTucson AZ SHS CTF 08/02/23 101.518000 245,000 245,000.00 5.3000 722000AC0 8/17/2026 Stifel Communitywide FEDL CR UNSouth Bend IN SHS CTF 08/04/23 100.561000 245,000 245,000.00 5.2000 20416TBD3 8/29/2025 Stifel Signature Federal Cred U 08/16/23 101.545000 245,000 245,000.00 5.3000 82671DAG2 8/28/2026 Stifel Advantage FEDL CR UNRochester NY SHS CTF 08/24/23 100.952000 245,000 245,000.00 5.3000 00790JAD4 12/31/2025 Stifel Money One FCULargo MD SHS CTF 09/01/23 102.525000 245,000 245,000.00 5.0000 60936TAL3 9/14/2028 Stifel Tucson FEDL CR UNTucson AZ CD 09/01/23 102.516000 245,000 245,000.00 5.0000 898812AC6 9/8/2028 Stifel Lafayette FEDL CR UNRockville MD SHS CTF 11/22/23 100.417000 245,000 245,000.00 5.5500 50625LBP7 5/30/2025 Stifel SCE FCUIrwindale CA SHS CTF 12/13/23 100.255000 245,000 245,000.00 5.0000 78413RAJ6 6/20/2025 Stifel Corp America Family CUElgin IL CD 02/13/24 100.000000 245,000 245,000.00 5.0000 219873AA4 2/21/2025 Stifel Washington State BankWashington IA CD 04/02/24 100.503000 245,000 245,000.00 5.0000 93974LAG5 10/9/2025 Stifel Bethpage FED CR UNBethpage NY SHS CTF 04/29/24 100.213000 245,000 245,000.00 5.2500 08756MAA8 5/13/2025 Stifel Global FED CR UN -
Anchorage AK SHS CTF 05/14/24 101.006000 245,000 245,000.00 5.0500 37892MAP9 5/29/2026 Stifel Morgan Stanley PVT BK NA -
Purchase NY CD 05/14/24 100.973000 245,000 245,000.00 5.0500 61768E3X9 5/22/2026 Stifel First Foundation Bank -
Irvine CA CD 06/05/24 101.265000 245,000 245,000.00 5.0625 32026U5X0 12/14/2026 Stifel First Bank -
Hamilton NJ CD 06/06/24 100.551000 245,000 245,000.00 5.1500 319137CJ2 9/18/2025 Stifel Flagstar Bank NA -
Hicksville NY CD 06/06/24 100.624000 245,000 245,000.00 5.3000 33847GHY1 9/12/2025 Stifel Bridgewater Bank -
Bloomington MN CD 06/20/24 100.050000 245,000 245,000.00 5.3500 108622PX3 6/28/2029 Stifel First FEDL S&L ASSN -
Lakewood OH CD 06/20/24 100.671000 245,000 245,000.00 5.3589 32023HBV9 6/28/2028 Stifel Credit Union New Jersey -
Ewing NJ SHS CTF 06/25/24 100.347000 245,000 245,000.00 5.4611 22552BAA9 7/9/2027 Stifel

Exhibit A-2

CITY OF COVINA
Stifel
Investment Portfolio as of
January 2025
Issuer Purchase Date
Market Price Per
Share Qty
Total Original Cost
Value Coupon CUSIP Maturity Trustee
Jovia FINL FEDL CR UN -
Westbury NY CD 07/02/24 245,000 100.720000 245,000.00 5.0000 48115LAL8 1/20/2026 Stifel ClearPath FED CR UN -
Burbank CA SHS CTF 07/09/24 100.433000 245,000 245,000.00 $ 5.4000 18507MAD3 7/30/2029 Stifel Altaone FED CR UN -
Ridgecrest CA SHS CTF 08/27/24 245,000 98.314000 245,000 3.8500 02157RAC1 9/13/2029 Stifel Marine FEDL CR UNJacksonvill NC SHS CTF 08/27/24 100.085000 245,000 245,000.00 4.3500 56824JBB9 2/27/2026 Stifel Workers FEDL Credit UNLittleton MA SHS CTF 08/27/24 99.379000 245,000 245,000.00 4.0000 98138MCK4 8/30/2027 Stifel Vantage West CR UNTucson AZ SHS CTF 09/04/24 99.353000 245,000 245,000.00 4.0000 92213MAB7 9/13/2027 Stifel United Fidelity Bank FSBEvansville IN CD 09/16/24 100.098000 245,000 245,000.00 4.3500 910286HZ9 3/27/2026 Stifel Texas Exchange Bank SSBCrowley TX CD 10/28/24 99.386000 245,000 245,000.00 4.0500 88241TUA6 7/12/2028 Stifel First Bank of The LakeOsage Beach MO CD 10/31/24 99.676000 245,000 245,000.00 4.0000 31925YBU5 4/30/2026 Stifel San Francisco FEDL CR UNSan Francisco CA SHS 11/20/24 100.001000 245,000 245,000.00 4.2500 79772FAL0 11/27/2028 Stifel Freedom Northwest CR UN 12/23/24 99.569000 245,000 245,000.00 4.1200 356436AV7 12/31/2029 Stifel Carter FEDL CR UNSpringhill LA SHS CTF 01/14/25 99.902000 245,000 245,000.00 14622LAW2 4.2000 1/28/2028 Stifel JP Morgan Chase Bank NAColumbus OH CD 01/24/25 100.473000 245,000 245,000.00 4.7500 46657VWH9 1/31/2030 Stifel Total Certificates of Deposit 19,358,751.00 19,359,000 $ 55,182,479.69 55,289,000 $
1,148,923.99
Stifel Total Value of Portfolio 56,331,403.68 55,289,000 $ Stifel Cash
Stifel Securities

Qty Purch Date Maturity
Date of
Disposition
Share Price at Purchase Date Net Trade Amount
Cost Basis
Value Market Value
Accrued
Interest Issuer CUSIP Held by
2,450 01/14/25 1/28/2028 100.000000 $ 245,000.00 $ 245,000.00 $ 245,000.00 Carter FEDL CR UNSpringhill LA SHS CTF 14622LAW2 Stifel 10,000 01/14/25 1/16/2029 100.000000 1, 1,000,000.00 1, 000,000.00 000,000.00 FEDL Home Loan Bank Bond
3130B4MG3 Stifel
10,000 01/16/25 12/30/2027 100.000000 1, 1,000,000.00 1, 000,000.00 000,000.00 FEDL Agric MTG Corp -
Medium Term Note 3134HAW66 Stifel
2,450 01/24/25 1/31/2030 100.000000 245,000.00 245,000.00 245,000.00 JP Morgan Chase Bank NAColumbus OH CD 46657VWH9 Stifel Total 2,490,000.00 $ 2, $ 2,490,000.00 490,000.00 $ -
Qty Purch Date Maturity
Date of
Disposition
Share Price at Sale
/ Maturity Date
Original Cost
Value
Par Value at
Sale/Maturity
Gain / (Loss) on
Sale /
Redemption
Interest
Earnings Since
Purchase Issuer CUSIP Held by
2,450 06/26/23 1/7/2025 1/7/2025 100.000000 $ 245,000.00 $ 245,000.00 19, - $ 381.85 Western Alliance BankPhoenix AZ CD 95763PPD7 Stifel
2,450 04/13/23 1/16/2025 1/16/2025 100.000000 249,000.00 249,000.00 8, - 726.52 Knoxville TVA Employees -
Credit Union 499724AL6 Stifel
10,000 02/02/22 1/21/2025 1/21/2025 100.000000 1, 1, 000,000.00 000,000.00 39, - 600.00 FEDL Farm Credit Bank Bond 3133ENLU2 Stifel 2,450 01/09/23 7/21/2025 7/21/2025 100.000000 245,000.00 245,000.00 25, - 024.27 Technology CR UNSan Jose CA SH CTF 87868YAH6 Stifel
Total 1,739,000.00 $ 1, $ - 739,000.00 $ 92, $ 732.64
Period Interest Revenue
Previous Month $127,483.58Previous 12 mos. $2,894,051.06

CITY OF COVINA
Investment Transaction Summary
for the Month Ended January 31, 2025
Purchased Investments
Net Revenue Analysis - for Period Ending January 31, 2025 Sold/Matured Investments

Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
February 05, 2025
LAIF Home
PMIA Average Monthly
Yields

CITY OF COVINA

CITY TREASURER
125 E. COLLEGE STREET
COVINA, CA 91723-2199
Account Number: 98-19-219
January 2025 Statement
Tran Type Definitions
Effective
Date
Transaction
Date
Tran
Type Confirm
Number
Web
Confirm
Number Authorized Caller Amount
1/8/2025 1/8/2025 RD 1765157 1725711 BEI ZOU 6,000,000.00 1/15/2025 1/14/2025 QRD 1767233 N/A SYSTEM 316,628.15
1/22/2025 1/21/2025 RD 1767896 1728443 BEI ZOU 3,000,000.00 Account Summary
Total Deposit: 9,316,628.15 Beginning Balance: 24,334,333.70 Total Withdrawal: 0.00 Ending Balance: 33,650,961.85
2/5/25, 3:01 PM LAIF Regular Monthly Statement
https://laifms.treasurer.ca.gov/RegularStatement.aspx 1/1 Attachment A-4 City

Statement Total
Balance Percentage
Cash Balances $5,602,824 5.70%
Local Agency Investment Fund 33,650,962 34.24%
Treasury / Agency 35,823,729 36.46%
Certificate of Deposits 19,358,751 19.70%
Funds Held by Bond Trustees 3,829,707 3.90%
Total $98,265,973 100.00%

CITY OF COVINA
Cash & Investment Holdings by Type as of January 31, 2025 *Average Investment coupon rate: 4.33% (based on weighted average of Original Cost Value) Cash Balances, 5.70%
Local Agency Investment
Fund, 34.24%
Treasury / Agency, 36.46%
Certificate of Deposits,

19.70%
Funds Held by Bond
Trustees, 3.90%

HOLDINGS BY TYPE
Attachment A-5 City

CASH AND INVESTMENT BALANCE 12/31/2024 $645,337.08
RECEIPTS 1/1/25-1/31/25 6,646.93

DISBURSEMENTS 1/1/25-1/31/25 -
CASH AND INVESTMENT BALANCE 1/31/2025 $651,984.01

ANALYSIS OF CASH AND INVESTMENT BALANCE
CHECKING ACCOUNT $73,817.64
LOCAL AGENCY INVESTMENT FUND Attachment A-6 578,166.37
AVAILABLE CASH BALANCES $651,984.01
CASH HELD BY BOND TRUSTEES 0.00
TOTAL CASH AND INVESTMENT / BOND TRUSTEE CASH BALANC 1/31/2025 $651,984.01 FOR THE MONTH ENDED JANUARY 31, 2025

SUCCESSOR AGENCY TO THE COVINA REDEVELOPMENT AGENCY INVESTMENT REPORT Attachment A- Agency

BANK ACQUISITION MARKET

TYPE OF INVESTMENT ISSUER VALUE DATE DATE VALUE
Successor Agency to the Covina Redevelopment Agency:Checking Account BMO $73,817.64 N/A Demand $73,817.64Local Agency Investment Fund State of California 578,166.37 Demand 578,166.37 Subtotal (A) $651,984.01 $651,984.01
Cash Held With 3rd Party Administrator:(1) 2013 Series A Tax Allocation Bonds U.S. Bank* $0.00 N/A Demand ($0.00) Fiscal Agent: U.S. Bank(2) 2014 Series A Tax Allocation Bonds U.S. Bank* 0.00 N/A Demand 0.00 Fiscal Agent: U.S. Bank(3) 2004 Series B Tax Allocation Bonds U.S. Bank* 0.00 N/A Demand 0.00 Fiscal Agent: U.S. Bank Subtotal (B) ($0.00) ($0.00)
TOTAL (A+B) $651,984.01 $651,984.01
* Formerly BNY Mellon

SUCCESSOR AGENCY TO THE COVINA REDEVELOPMENT AGENCY

CASH AND INVESTMENT SUMMARY
FOR THE MONTH ENDED JANUARY 31, 2025
The purpose of this schedule is to show the total cash and investments held by the Successor Agency to the Covina Redevelopment Agency by account.

Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
February 05, 2025
LAIF Home
PMIA Average Monthly
Yields

S/A CITY OF COVINA FOR COVINA

REDEVELOPMENT AGENCY

FINANCE DIRECTOR
125 EAST COLLEGE STREET
COVINA, CA 91723-2199
Account Number: 65-19-007
January 2025 Statement
Tran Type Definitions
Effective
Date
Transaction
Date
Tran
Type Confirm
Number
Web
Confirm
Number Authorized Caller Amount
1/15/2025 1/14/2025 QRD 1766309 N/A SYSTEM 6,646.93
Account Summary
Total Deposit: 6,646.93 Beginning Balance: 571,519.44
Total Withdrawal: 0.00 Ending Balance: 578,166.37
2/5/25, 3:04 PM LAIF Regular Monthly Statement
https://laifms.treasurer.ca.gov/RegularStatement.aspx 1/1 Attachment A-6 Agency

Quarter
Ending City Agency*
1/31/2023 $87,605,975 $3,610,391
1/31/2024 $100,524,580 $623,663
1/31/2025. $98,265,973 $651,984

CITY OF COVINA AND SUCCESSOR AGENCY TO THE COVINA REDEVELOPMENT AGENCY Cash and Investments Three Year Comparison as of January 31, 2025 The purpose of this schedule is to show, for comparison purposes, the total cash and investment values for the last 3 years. *Successor Agency to Covina Redevelopment Agency
$0
$20,000,000
$40,000,000
$60,000,000
$80,000,000
$100,000,000
$120,000,000
1/31/2023 1/31/2024 1/31/2025.
$87,605,975
$100,524,580
$98,265,973
$3,610,391 $623,663 $651,984
MONTH ENDING JAN 31, 2025
City of Covina & Agency* Total Cash & Investments
Three Year Comparison
City Agency*
sdsdad
Attachment A-7 City Agency

Carrying Cost Plus
Description Accrued Interest Purch. Fair Value Accrued Interest United States Treasury:

Bills $ 42,926,380,346.04 $ 43,388,983,305.00 NA
Notes $ 47,712,004,249.09 $ 47,674,732,330.50 $ 462,691,523.00 Federal Agency:

SBA $ 216,168,173.61 $ 216,352,890.86 $ 956,235.00
MBS-REMICs $ 1,213,098.54 $ 1,199,058.14 $ 5,292.04
Debentures $ 7,826,369,240.48 $ 7,805,873,300.00 $ 87,552,618.50 Debentures FR $ - $ - $ -
Debentures CL $ 2,350,000,000.00 $ 2,348,999,000.00 $ 27,068,389.50 Discount Notes $ 28,215,247,930.56 $ 28,518,879,650.00 NA Supranational Debentures $ 3,046,274,656.75 $ 3,028,880,500.00 $ 29,094,096.50 Supranational Debentures FR $ - $ - $ -
CDs and YCDs FR $ - $ - $ -
Bank Notes
CDs and YCDs $ 14,400,000,000.00 $ 14,402,301,575.23 $ 196,794,618.03 Commercial Paper $ 10,044,014,430.49 $ 10,160,255,208.31 NA Corporate:

Bonds FR $ - $ - $ -
Bonds $ 895,310,112.42 $ 887,014,670.00 $ 8,848,653.91
Repurchase Agreements $ - $ - $ -
Reverse Repurchase $ - $ - $ -
Time Deposits $ 5,068,500,000.00 $ 5,068,500,000.00 NA
PMIA & GF Loans $ 194,249,000.00 $ 194,249,000.00 NA
TOTAL $ 162,895,731,237.98 $ 163,696,220,488.04 $ 813,011,426.48 Fair Value Including Accrued Interest $ 164,509,231,914.52 Repurchase Agreements, Time Deposits, PMIA & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost).

State of California
Pooled Money Investment Account
Market Valuation
1/31/2025
Attachment A-8

CC Regular Meeting

AGENDA ITEM REPORT
ITEM NO. CC 4
Meeting: February 18, 2025
Title: Covina Recreation Village Project – Phase II – Award of a Professional Services Agreement (PSA) for Structural Engineering Services to EC + Associates Engineering, Inc. for an Amount Not-to-Exceed $69,850
Presented by: Rafael M. Fajardo, Director of Public Works/City Engineer Recommendation: 1. Award a Professional Services Agreement (PSA) for the Covina Recreation Village Project – Phase II for structural engineering services to EC + Associates Engineering, Inc. as the responsive and responsible bidder for a not-to-exceed amount of $69,850 and authorize the City Manager to execute the PSA; and

2. Establish a contingency allowance of $10,000 with EC + Associates Engineering, Inc. for additional engineering services, if needed.

EXECUTIVE SUMMARY:

On July 16, 2024, the City Council approved a contract with Perera Construction and Design, Inc. for the construction of the Covina Recreation Village Project - Phase I, which consists of the construction of a new gymnasium at the westerly building of the previous Vita Pakt warehouse site. Phase II consists of retrofitting the existing easterly building to construct a new 14,140 square-foot library. Construction is underway with an anticipated completion in late 2025
An updated structural engineering analysis of the easterly building was recently completed which concluded that portions of the building have major structural deficiencies that are cost-prohibitive and unsafe for future development. At its last meeting, the City Council authorized a change order to Perera Construction and Design, Inc. to demolish the structurally deficient areas of the building, making it shovel-ready for future construction of the new library space. As proposed, the City Council will now consider authorizing the preparation of revised structural construction plans and specifications for the space.

Following an informal bidding process with the City’s on-call engineering firms, it has been determined that EC + Associates Engineering, Inc. is the successful consultant to perform this work. As such, it is recommended that a Professional Services Agreement (PSA) (Attachment A) be awarded for the Covina Recreation Village Project – Phase II to EC + Associates Engineering, Inc. in an amount not to exceed $69,850.

DISCUSSION:

The original project designs prepared by Gonzalez Goodale Architects (GGA) indicate the retrofit of the existing easterly building for the construction of the library. However, the existing building has several structural deficiencies such as a missing foundation and bracing which create not only a safety issue but are also cost prohibitive to address. Thus, the structural plans prepared by GGA need to be revised.

City staff requested proposals from the City’s on-call structural engineering firms for the preparation of the structural plans and specifications pertaining to the new library. City staff received three proposals and ranked the companies according to their fee schedule as follows:

Rank Consultant Location Amount
1 EC + Associates Engineering Inc. Downey, CA $69,850
2 CEJ Engineers, Inc. Walnut, CA $75,590
3 Montenegro Consultants, Inc. Rosemead, CA Non-Responsive City staff reviewed all proposal documents as well as consultant backgrounds and recent projects for competency and responsiveness to the deliverables identified in the RFP. It was determined that EC + Associates Engineering, Inc. was best prepared to serve as project consultant and perform all requisite professional design services.

FISCAL IMPACT:

Funding for the aforementioned structural engineering services in the amount of $79,850 will be taken from the contingency balance of $100,000 originally intended for the Construction Management & Grant Management Services awarded to Siterep Construction Services, Inc on July 18, 2023 for the Covina Recreation Village Project. Funding will be from the Parks CIP Fund account number: 4600-3400-55100-P2202.

CEQA (CALIFORNIA ENVIRONMENTAL QUALITY ACT):

This project has been determined to be categorically exempt under CEQA in accordance with Title 14, Chapter 3, Class 1, Sections 15301 and 15302. This exemption includes the minor alteration of existing public facilities involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination.

The project involves negligible or no expansion of an existing use.

Respectfully submitted,

Report Approval Details
Document Title: CRV - Phase II - Award of Contract for Design Engineering Services to EC + Associates Engineering Inc.docx
Attachments: - Attachment A - PROFESSIONAL SERVICES AGREEMENT - CRV Phase II - Structural Engineering.docx
- Attachment B - Proposal - EC+Associates Engineering.pdf Final Approval Date: Feb 13, 2025
This report and all of its attachments were approved and signed as outlined below:

Raphael Guillen
Rafael Fajardo
Theresa Franke
Fabian Velez
Chris Marcarello

ATTACHMENT A

PROFESSIONAL SERVICES AGREEMENT
This Professional Services Agreement (“Agreement”) is dated February 18, 2025 (“Effective Date”) and is between the City of Covina, a California municipal corporation (“City”) and EC + Associates Engineering, a California corporation (“Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

RECITALS
A. City desires to utilize the services of Consultant as an independent contractor to provide structural engineering design services for the Covina Recreation Village Project – Phase II.

B. Consultant represents that it is fully qualified to perform such services by virtue of its experience and the training, education and expertise of its principals and employees.

C. City desires to retain Consultant and Consultant desires to serve City to perform these services in accordance with the terms and conditions of this Agreement.

The parties therefore agree as follows:

1. Term of Agreement. The term of this Agreement shall be from the Effective Date through June 30, 2026 unless sooner terminated as provided in Section 14 of this Agreement.

2. Compensation.

A. Compensation. As full compensation for Consultant’s services provided under this Agreement, City shall pay Consultant a sum not to exceed Sixty-Nine Thousand Eight Hundred and Fifty Dollars ($69,850) (the “maximum compensation”), based on the hourly rates set forth in the Approved Fee Schedule, attached hereto as Exhibit A. Any terms in Exhibit A, other than the payment rates and schedule of payment, are null and void.

B. Expenses. The amount set forth in paragraph A shall include reimbursement for all actual and necessary expenditures reasonably incurred in the performance of this Agreement.

C. Additional Services. City shall not allow any claims for additional services performed by Consultant, unless the City Council and the Consultant Representative authorize the additional services in writing prior to Consultant’s performance of the additional services or incurrence of additional expenses. Any additional services or expenses authorized by the City Council shall be compensated at the rates set forth in Exhibit A, or, if not specified, at a rate mutually agreed to by the parties. City shall make payment for additional services and expenses in accordance with Section 4 of this Agreement.

3. Consultant’s Services.

A. Scope of Services. Consultant shall perform the services described in the Scope of Services, attached as Exhibit B. City may request, in writing, changes in the scope of services to be performed. Any changes mutually agreed upon by the parties, and any increase or decrease in compensation, shall be incorporated by written amendments to this Agreement.

B. Party Representatives. For the purposes of this Agreement, the City Representative shall be the City Manager, or such other person designated in writing by the City Manager (the “City Representative”). For the purposes of this Agreement, the Consultant Representative shall be Eduardo Carrillo, Owner (the “Consultant Representative”). The Consultant Representative shall directly manage Consultant’s services under this Agreement. Consultant shall not change the Consultant Representative without City’s prior written consent.

C. Time for Performance. Consultant shall commence the services on the Effective Date and shall perform all services by the deadline established by the City Representative or, if no deadline is established, with reasonable diligence.

D. Standard of Performance. Consultant shall perform all services under this Agreement in accordance with the standard of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City.

E. Personnel. Consultant has, or will secure at its own expense, all personnel required to perform the services required under this Agreement. All of the services required under this Agreement shall be performed by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to perform such services. Consultant shall determine the means, methods, and details by which Consultant’s personnel will perform the services under this Agreement. Consultant shall be solely responsible for the satisfactory work performance of all personnel engaged in performing the services and compliance with the customary professional standards.

F. Compliance with Laws. The Consultant shall keep itself informed of all local, state and federal ordinances, laws and regulations which in any manner affect those employed by it or in any way affect the performance of its service pursuant to this Agreement. The Consultant shall at all times observe and comply with all such ordinances, laws and regulations. The City and its agents shall not be liable at law or in equity occasioned by failure of the Consultant to comply with this section. This Agreement may call for services that, in whole or in part, constitute “public works,” as defined in the California Labor Code. Therefore, as to those services that may be “public works”, including professional engineering services, Consultant shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit C.

G. Permits and Licenses. Consultant shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of services under this Agreement, including a business license.

4. Method of Payment.

A. Invoices. Consultant shall submit to City an invoice, on a monthly basis or less frequently, for actual services performed pursuant to this Agreement. Each invoice shall itemize the services rendered during the billing period, hourly rates charged, if applicable, and the amount due. If City disputes any of Consultant's fees, it shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth on the invoice.

B. Payment. City shall pay all undisputed invoice amounts within thirty (30) calendar days after receipt up to the maximum compensation set forth in Section 2 of this Agreement. City

shall not withhold federal payroll, state payroll or other taxes, or other similar deductions, from payments made to Consultant. For all reimbursements authorized by this Agreement, Consultant shall provide receipts on all reimbursable expenses in excess of Fifty Dollars ($50) in such form as approved by the Finance Director.

C. Audit of Records. Consultant shall make all records, invoices, time cards, cost control sheets and other records maintained by Consultant in connection with this agreement available during Consultant’s regular working hours to City for review and audit by City.

5. Ownership of Documents. Upon completion of, or in the event of termination or suspension of this Agreement, all original documents, designs, drawings, maps, models, computer files containing data generated for the work, surveys, notes, and other documents prepared in the course of providing the services to be performed (“written products”) pursuant to this Agreement shall become the sole property of the City without restriction or limitation upon its use and may be used, reused, disseminated or otherwise disposed of by the City without the permission of the Consultant. With respect to computer files containing data generated for the work, Consultant shall make available to the City, upon reasonable written request by the City, the necessary computer software and hardware for purposes of accessing, compiling, transferring and printing computer files. Consultant may take and retain copies of the written products as desired, but the written products shall not be the subject of a copyright application by Consultant.

6. Independent Contractor.

A. Consultant is, and shall at all times remain as to City, a wholly independent contractor and not an employee of City. The personnel performing the services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City. Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees. Consultant shall not, at any time, or in any manner, represent that it or any of its officers, agents or employees are in any manner employees of City. Consultant and Consultant’s personnel shall not supervise any of City’s employees; and City’s employees shall not supervise Consultant’s personnel. Consultant’s personnel shall not wear or display any City uniform, badge, identification number, or other information identifying such individual as an employee of City; and Consultant’s personnel shall not use any City e-mail address or City telephone number in the performance of any of the services under this Agreement. Consultant shall acquire and maintain, at its sole cost and expense, such vehicles, equipment, and supplies as Consultant’s personnel require to perform any of the services required by this Agreement. Consultant shall perform the services off of City premises at locations of Consultant’s choice, except as otherwise may from time to time be necessary in order for Consultant’s personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant’s performance of the services under this Agreement, or as may be necessary to inspect or visit City locations and/or private property to perform the services.

City may make a computer available to Consultant from time to time for Consultant’s personnel to obtain information about or to check on the status of projects pertaining to the services under this Agreement.

B. No employee benefits shall be available to Consultant in connection with the performance of this Agreement. Except for the fees paid to Consultant as provided in the Agreement, City shall not pay salaries, wages, or other compensation to Consultant for performing

services hereunder for City. City shall not be liable for compensation or indemnification to Consultant for injury or sickness arising out of performing services hereunder. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant’s personnel in connection with their performance of the services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: Social Security taxes, other retirement or pension benefits, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. Notwithstanding any other agency, state, or federal policy, rule, regulation, statute or ordinance to the contrary, Consultant and any of its officers, employees, agents, and subcontractors providing any of the services under this Agreement shall not become entitled to, and hereby waive any claims to, any wages, salaries, compensation, benefit or any incident of employment by City, including, but not limited to, eligibility to enroll in, or reinstate to membership in, the California Public Employees Retirement System (“PERS”) as an employee of City, and entitlement to any contribution to be paid by City for employer contributions or employee contributions for PERS benefits.

C. Consultant shall indemnify and hold harmless City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs, and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s personnel practices. or to the extent arising from, caused by, or relating to the violation of any of the provisions of this Section

6. In addition to all other remedies available under law, City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Section 6. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify, and hold harmless as set forth in any other provision of this Agreement.

7. PERS Compliance and Indemnification.

A. General Requirements. The parties acknowledge that City is a local agency member of PERS, and as such has certain pension reporting and contribution obligations to PERS on behalf of qualifying employees. Consultant agrees that, in providing its employees and any other personnel to City to perform the services under this Agreement, Consultant shall assure compliance with the Public Employees’ Retirement Law, commencing at Government Code Section 20000, the regulations of PERS, and the Public Employees’ Pension Reform Act of 2013, as amended. Without limitation to the foregoing, Consultant shall assure compliance with regard to personnel who have active or inactive membership in PERS and to those who are retired annuitants and in performing this Agreement shall not assign or utilize any of its personnel in a manner that will cause City to be in violation of the applicable retirement laws and regulations.

B. Indemnification. Consultant shall defend (with legal counsel approved by City, whose approval shall not be unreasonably withheld), indemnify, and hold harmless City, and its City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs, and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s violation of any provisions of this Section 7. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify, and hold harmless as set forth in any other provision of this Agreement.

8. Confidentiality. All data, documents, discussion, or other information (collectively “data”) developed or received by Consultant or provided for performance of this Agreement are deemed confidential. Consultant shall keep all data confidential and shall not disclose any data to any person or entity without City’s prior written consent. City shall grant such consent if disclosure is legally required. Consultant shall return all data to City upon the expiration or termination of this Agreement. Consultant’s covenant under this Section 8 shall survive the expiration or termination of this Agreement.

9. Conflicts of Interest. Consultant and its officers, employees, associates and subcontractors, if any, shall comply with all conflict of interest statutes of the State of California applicable to Consultant’s services under this Agreement, including the Political Reform Act (Gov.

Code, § 81000 et seq.) and Government Code Section 1090. During the term of this Agreement, Consultant may perform similar services for other clients, but Consultant and its officers, employees, associates and subcontractors shall not, without the City Representative’s prior written approval, perform work for another person or entity for whom Consultant is not currently performing work that would require Consultant or one of its officers, employees, associates or subcontractors to abstain from a decision under this Agreement pursuant to a conflict of interest statute. Consultant shall incorporate a clause substantially similar to this Section 9 into any subcontract that Consultant executes in connection with the performance of this Agreement.

10. Indemnification.

A. Indemnity for Design Professional Services. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, indemnify and hold harmless City and its elected officials, officers, attorneys, agents, employees, designated volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively “Indemnitees”), from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, liens and losses of any nature whatsoever, including fees of accountants, attorneys or other professionals, and all costs associated therewith, and reimbursement of attorney’s fees and costs of defense (collectively “Liabilities”), whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to, in whole or in part, the negligence, recklessness or willful misconduct of Consultant, its officers, agents, servants, employees, subcontractors, material men, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of design professional services under this Agreement by a “design professional,” as the term is defined under California Civil Code Section 2782.8(c)(2).

B. Other Indemnities.
1) Other than in the performance of design professional services, and to the fullest extent permitted by law, Consultant shall, at its sole cost and expense, defend, hold harmless and indemnify the Indemnitees from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, liens and losses of any nature whatsoever, including fees of accountants, attorneys or other professionals, and all costs associated therewith, and the payment of all consequential damages (collectively “Claims”), in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of this

Agreement, including the Indemnitees’ active or passive negligence, except for Claims arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the parties. Consultant shall defend the Indemnitees in any action or actions filed in connection with any Claim with counsel of the Indemnitees’ choice, and shall pay all costs and expenses, including all attorneys’ fees and experts’ costs actually incurred in connection with such defense. Consultant shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith.
2) Consultant shall pay all required taxes on amounts paid to Consultant under this Agreement, and indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Consultant shall fully comply with the workers’ compensation law regarding Consultant and Consultant’s employees. Consultant shall indemnify and hold City harmless from any failure of Consultant to comply with applicable workers’ compensation laws.

City may offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Subparagraph B. 2). 3) Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 10 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Claims in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant’s subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant’s subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Claims arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the parties.

C. Workers’ Compensation Acts not Limiting. Consultant’s obligations under this Section 10, or any other provision of this Agreement, shall not be limited by the provisions of any workers’ compensation act or similar act. Consultant expressly waives its statutory immunity under such statutes or laws as to City, its officers, agents, employees and volunteers.

D. Insurance Requirements not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. This hold harmless and indemnification provisions in this Section 10 shall apply regardless of whether or not any insurance policies are determined to be applicable to the Liability, Claim, tax, assessment, penalty or interest asserted against City.

E. Survival of Terms. The indemnification in this Section 10 shall survive the expiration or termination of this Agreement.

11. Insurance.

A. Minimum Scope and Limits of Insurance. Consultant shall procure and at all times during the term of this Agreement carry, maintain, and keep in full force and effect, insurance as follows:
1) Commercial General Liability Insurance with a minimum limit of Two Million Dollars ($2,000,000) per occurrence for bodily injury, personal injury and property damage and a general aggregate limit of Four Million Dollars ($4,000,000) per project or location.

If Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds.
2) Automobile Liability Insurance for any owned, non-owned or hired vehicle used in connection with the performance of this Agreement with a combined single limit of Two Million Dollars ($2,000,000) per accident for bodily injury and property damage. If Consultant does not use any owned, non-owned or hired vehicles in the performance of services under this Agreement, Consultant shall obtain a non-owned auto endorsement to the Commercial General Liability policy required under Subparagraph A. 1) of this Section 11. 3) Workers’ Compensation Insurance as required by the State of California and Employer’s Liability Insurance with a minimum limit of One Million Dollars ($1,000,000) per accident for bodily injury or disease. If Consultant has no employees while performing services under this Agreement, workers’ compensation policy is not required, but Consultant shall provide an executed declaration that it has no employees. 4) Professional Liability Insurance with minimum limits of Two Million Dollars ($2,000,000) per claim and in aggregate.

B. Acceptability of Insurers. The insurance policies required under this Section 11 shall be issued by an insurer admitted to write insurance in the State of California with a rating of A:VII or better in the latest edition of the A.M. Best Insurance Rating Guide. Self-insurance shall not be considered to comply with the insurance requirements under this Section 11.

C. Additional Insured. The commercial general and automobile liability policies shall contain an endorsement naming the City, its officers, employees, agents and volunteers as additional insureds.

D. Primary and Non-Contributing. The insurance policies required under this Section 11 shall apply on a primary non-contributing basis in relation to any other insurance or selfinsurance available to City. Any insurance or self-insurance maintained by City, its officers, employees, agents or volunteers, shall be in excess of Consultant’s insurance and shall not contribute with it.

E. Consultant’s Waiver of Subrogation. The insurance policies required under this Section 11 shall not prohibit Consultant and Consultant’s employees, agents or subcontractors from waiving the right of subrogation prior to a loss. Consultant hereby waives all rights of subrogation against City.

F. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be approved by City. At City’s option, Consultant shall either reduce or eliminate

the deductibles or self-insured retentions with respect to City, or Consultant shall procure a bond guaranteeing payment of losses and expenses.

G. Cancellations or Modifications to Coverage. Consultant shall not cancel, reduce or otherwise modify the insurance policies required by this Section 11 during the term of this Agreement. The commercial general and automobile liability policies required under this Agreement shall be endorsed to state that should the issuing insurer cancel the policy before the expiration date, the issuing insurer will endeavor to mail thirty (30) calendar days’ prior written notice to City. If any insurance policy required under this Section 11 is canceled or reduced in coverage or limits, Consultant shall, within two (2) business days of notice from the insurer, phone, fax or notify City via certified mail, return receipt requested, of the cancellation of or changes to the policy.

H. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section 11 in full force and effect during the term of this Agreement, or in the event any of Consultant’s policies do not comply with the requirements under this Section 11, City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may, but has no duty to, take out the necessary insurance and pay, at Consultant’s expense, the premium thereon. Consultant shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant.

I. Evidence of Insurance. Prior to the performance of services under this Agreement, Consultant shall furnish City’s Risk Manager with a certificate or certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section 11. The endorsements are subject to City’s approval. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant shall maintain current endorsements on file with City’s Risk Manager. Consultant shall provide proof to City’s Risk Manager that insurance policies expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Consultant shall furnish such proof at least two (2) weeks prior to the expiration of the coverages.

J. Indemnity Requirements not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant’s liability or as full performance of Consultant’s duty to indemnify City under Section 10 of this Agreement.

K. Subcontractor Insurance Requirements. Consultant shall require each of its subcontractors that perform services under this Agreement to maintain insurance coverage that meets all of the requirements of this Section 11.

12. Mutual Cooperation.

A. City’s Cooperation. City shall provide Consultant with all pertinent data, documents and other requested information as is reasonably available for Consultant’s proper performance of the services required under this Agreement.

B. Consultant’s Cooperation. In the event any claim or action is brought against the City relating to Consultant’s performance or services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires.

13. Records and Inspections. Consultant shall maintain full and accurate records with respect to all matters covered under this Agreement for a period of five (5) years. Consultant shall, without charge, provide City with access to the records during normal business hours. City may examine and audit the records and make transcripts therefrom, and inspect all program data, documents, proceedings and activities.

14. Termination or Suspension of Agreement.

A. Right to Terminate or Suspend. City may terminate or suspend this Agreement at any time, at will, for any reason or no reason, after giving written notice to Consultant at least seven (7) calendar days before the termination or suspension is to be effective. Consultant may terminate this Agreement at any time, at will, for any reason or no reason, after giving written notice to City at least sixty (60) calendar days before the termination is to be effective.

B. Obligations upon Termination. Consultant shall cease all work under this Agreement on or before the effective date of termination specified in the notice of termination. In the event of City’s termination of this Agreement due to no fault or failure of performance by Consultant, City shall pay Consultant based on the percentage of work satisfactorily performed up to the effective date of termination. In no event shall Consultant be entitled to receive more than the amount that would be paid to Consultant for the full performance of the services required by this Agreement.

15. Force Majeure. Consultant shall not be liable for any failure to perform its obligations under this Agreement if Consultant presents acceptable evidence, in City’s sole judgment, that such failure was due to strikes, lockouts, labor disputes, embargoes, acts of God, inability to obtain labor or materials or reasonable substitutes for labor or materials, governmental restrictions, governmental regulations, governmental controls, judicial orders, enemy or hostile governmental action, civil commotion, fire or other casualty, or other causes beyond Consultant’s reasonable control and not due to any act by Consultant.

16. Notices. Any notices, consents, requests, demands, bills, invoices, reports or other communications which either party may desire to give to the other party under this Agreement must be in writing and conclusively deemed effective: (a) on personal delivery, (b) on confirmed delivery by reputable document delivery service or courier service during Consultant’s and City's regular business hours, or (c) five business days after deposit in the United States mail, by first class mail, postage prepaid, and addressed to the party to be notified as set forth below:

If to City: If to Consultant:

Attn: Public Works, Engineering Attn: Eduardo Carrillo
City of Covina EC + Associates Engineering
125 E. College Street 1412 Espanol Ave
Covina, California 91723 Montebello, CA 90640

17. Non-Discrimination and Equal Employment Opportunity. In the performance of this Agreement, Consultant shall not discriminate against any employee, subcontractor or applicant for employment because of race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information, sexual orientation or other basis prohibited by law.

Consultant will take affirmative action to ensure that subcontractors and applicants are employed,

and that employees are treated during employment, without regard to their race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information or sexual orientation.

18. Prohibition of Assignment and Delegation. Consultant shall not assign any of its rights or delegate any of its duties under this Agreement, either in whole or in part, without City’s prior written consent. City’s consent to an assignment of rights under this Agreement shall not release Consultant from any of its obligations or alter any of its primary obligations to be performed under this Agreement. Any attempted assignment or delegation in violation of this Section 18 shall be void and of no effect and shall entitle City to terminate this Agreement. As used in this Section 18, “assignment” and “delegation” means any sale, gift, pledge, hypothecation, encumbrance or other transfer of all or any portion of the rights, obligations, or liabilities in or arising from this Agreement to any person or entity, whether by operation of law or otherwise, and regardless of the legal form of the transaction in which the attempted transfer occurs.

19. No Third-Party Beneficiaries Intended. Except as otherwise provided in Section 10, this Agreement is made solely for the benefit of the parties to this Agreement and their respective successors and assigns, and no other person or entity may have or acquire a right by virtue of this Agreement.

20. Waiver. No delay or omission to exercise any right, power or remedy accruing to City under this Agreement shall impair any right, power or remedy of City, nor shall it be construed as a waiver of, or consent to, any breach or default. No waiver of any breach, any failure of a condition, or any right or remedy under this Agreement shall be (1) effective unless it is in writing and signed by the party making the waiver, (2) deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy, or (3) deemed to constitute a continuing waiver unless the writing expressly so states.

21. Exhibits. Exhibits A, B, and C constitute a part of this Agreement and are incorporated into this Agreement by this reference. If any inconsistency exists or arises between a provision of this Agreement and a provision of any exhibit, the provisions of this Agreement shall control.

22. Entire Agreement. This Agreement and all exhibits referred to in this Agreement constitute the final, complete and exclusive statement of the terms of the agreement between the parties pertaining to the subject matter of this Agreement and supersede all other prior or contemporaneous oral or written understandings and agreements of the parties. No party has been induced to enter into this Agreement by, nor is any party relying on, any representation or warranty except those expressly set forth in this Agreement.

23. Amendment of Agreement. This Agreement may be amended only by a writing signed by both parties. The City Manager is authorized to sign an amendment to this Agreement on the City Council’s behalf and without the City Council’s prior approval to make the following nonsubstantive modifications to the Agreement: (a) name changes; (b) extensions of time; (c) nonmonetary changes in the scope of work; and (d) termination of the Agreement.

24. Headings. The headings in this Agreement are included solely for convenience of reference and shall not affect the interpretation of any provision of this Agreement or any of the rights or obligations of the parties to this Agreement.

25. Word Usage. Unless the context clearly requires otherwise, (a) the words “shall,” “will” and “agrees” are mandatory and “may” is permissive; (b) “or” is not exclusive; and (c) “includes” or “including” are not limiting.

26. Time of the Essence. Time is of the essence in respect to all provisions of this Agreement that specify a time for performance; provided, however, that the foregoing shall not be construed to limit or deprive a party of the benefits of any grace or use period allowed in this Agreement.

27. Governing Law and Choice of Forum. This Agreement, and any dispute arising from the relationship between the parties to this Agreement, shall be governed by and construed in accordance with the laws of the State of California, except that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be applied in interpreting this Agreement. Any dispute that arises under or relates to this Agreement (whether contract, tort or both) shall be resolved in a municipal, superior or federal court with geographic jurisdiction over the City of Covina.

28. Attorneys’ Fees. In any litigation or other proceeding by which on party seeks to enforce its rights under this Agreement (whether in contract, tort or both) or seeks a declaration of any rights or obligations under this Agreement, the prevailing party shall be shall be awarded reasonable attorneys’ fees together with any costs and expenses, to resolve the dispute and to enforce the final judgment.

29. Severability. If a court of competent jurisdiction holds any provision of this Agreement to be illegal, invalid or unenforceable for any reason, the validity of and enforceability of the remaining provisions of this Agreement shall not be affected and continue in full force and effect.

30. Authority to Execute Agreement. The person or persons executing this Agreement on behalf of Consultant warrants and represents that he or she has the authority to execute this Agreement on behalf of the Consultant and has the authority to bind Consultant to the performance of its obligations hereunder.
[SIGNATURE PAGE FOLLOWS]

The parties, through their duly authorized representatives, are signing this Agreement on the date stated in the introductory clause.

City:

City of Covina,
a California municipal corporation
By:

Name: Christopher Marcarello
Title: City Manager
ATTEST:

By:

Name: Fabian Velez
Title: Chief Deputy City Clerk
Consultant:

EC + Associates Engineering
a California corporation
By:

Name:

Title:

By:

Name:

Title:
(Two signatures of corporate officers required
for corporations under Corporations Code
Section 313, unless corporate documents
authorize only one person to sign this
Agreement on behalf of the corporation.)

EXHIBIT A

APPROVED FEE SCHEDULE

EXHIBIT B

SCOPE OF SERVICES

EXHIBIT C

CALIFORNIA LABOR CODE COMPLIANCE
(Labor Code §§ 1720 et seq., 1813, 1860, 1861, 3700)
If this Agreement calls for services that, in whole or in part, constitute “public works” as defined in the California Labor Code, then:

1. This Agreement is subject to the provisions of Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code relating to public works and the awarding public agency (“City”) and Consultant agrees to be bound by all the provisions thereof as though set forth in full herein.

2. Consultant shall be registered with the Department of Industrial Relations (“DIR”) in accordance with California Labor Code Section 1725.5 and has provided proof of registration to City prior to the Effective Date of this Agreement.

3. Consultant shall comply with the provisions of California Labor Code Sections 1771, 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The applicable prevailing wage determination(s) may be obtained at (http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm), are on file with City, and are available to any interested party upon request. Consultant shall, as a penalty to City, forfeit not more than two-hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the Director of Industrial Relations for the work or craft in which the worker is employed for any public work done under this Agreement by Consultant or by any subcontractor.

4. Pursuant to California Labor Code Section 1771.4, Consultant’s services are subject to compliance monitoring and enforcement by the Department of Industrial Relations.

Consultant shall post job site notices as prescribed by DIR regulations and agrees to furnish the records specified in California Labor Code Section 1776 directly to the Labor Commissioner in the manner prescribed by California Labor Code Section 1771.4(a)(3) and (c)(2).

5. Consultant shall comply with the provisions of California Labor Code Section 1776 which, among other things, require Consultant and each subcontractor to: (1) keep accurate payroll records, (2) certify and make such payroll records available for inspection as provided by Section 1776, and (3) inform City of the location of the records. Consultant is responsible for compliance with Section 1776 by itself and all of its subcontractors.

6. Consultant shall comply with the provisions of California Labor Code Section 1777.5 concerning the employment of apprentices on public works projects, and further agrees that Consultant is responsible for compliance with Section 1777.5 by itself and all of its subcontractors.

7. Consultant shall comply with the provisions of California Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by Consultant or by any subcontractor for each calendar day during which such

worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the California Labor Code.

8. California Labor Code Sections 1860 and 3700 provide that every contractor will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this Agreement.”
Date _______________ Signature ____________________________________

Project: Citrus Recreation Village – West Bldg. Gymnasium Please initial here: _______
EC + Associates Engineering, Inc.
www.ecaengineering.com
1412 Espanol Ave. Montebello, CA 90640 P: 562 708 3586
Confirmation of Agreement for
Providing Professional Services
Date: January 29, 2025
Client: Rafael Fajardo
E: [email protected]
Subject: Citrus Recreation Village – West Bldg. Gymnasium 640 N. Citrus Avenue
Covina, CA 91723
Dear Rafael;
We are pleased to submit the following proposal covering the performance of structural design services in connection with the above subject project.

The terms 'Engineer', 'He', and 'His' throughout this document refer to ‘EC and Associates Engineering, Inc.'.

For the consideration hereafter set forth, Engineer agrees to provide the following services:

Scope of Work:

Structural drawings and calculations for west gymnasium building – concrete tilt-up with wood roof structure.

Scope of work shall be per plans provided by: Rafael Fajardo and dated: 01-29-2025 Services Offered
We offer the following services with the corresponding fee preceding:
$ 69,850.00 Structural drawings and calculations.
$ 69,850.00 Total
Not included in the above services (unless specifically stated) are Title –24 Energy Compliance, Structural Observation, Soils Investigations, Engineering Surveys, or Specialty Consultants (such as Mechanical, Electrical, Civil and/or Geotechnical Engineers, Surveyors, etc.) Also, we assume standard conventional foundations will be sufficient to carry anticipated loads. If soil conditions are encountered at a later date that require special designs (expansive soils, deep foundations, etc.) an additional contract will be issued for such designs.

Fee Data
Our compensation for providing the above services, for the mutually agreed fee of $69,850.00 will be due:
$52,300.00 due upon signing this proposal and prior to commencing work, as a retainer. $17,550.00 due before project is emailed in PDF to Client for review.

Any significant changes (increase or decrease) in square footage area or configuration data cited under “Scope of Work” will cause the fee to be adjusted proportionately, as mutually agreed upon between the Client and Engineer.

Client agrees that any work resulting from changes to the plans made after the date indicated on ”Services Offered” shall be deemed extra work and shall be paid by Client according to Engineer’s standard fee schedule.

ATTACHMENT B
Project: Citrus Recreation Village – West Bldg. Gymnasium Please initial here: _______
EC + Associates Engineering, Inc.
www.ecaengineering.com
1412 Espanol Ave. Montebello, CA 90640 P: 562 708 3586
The fee quoted under ”Services Offered” does not include any fees to be paid to the city and to any other professionals, such as a surveyor, soil engineer and any other city or county department’s clearances, public hearings, expediting, title 24 energy calculations etc. Time spent on these services will be charged extra, if needed.

Site improvements outside the structure, checking shop drawings by others, steel stair design, temporary shoring and designing field changes are not included in the fee quoted on ”Services Offered”, but can be requested by owner or agent to be additionally provided at the applicable hourly rate indicated in the Standard fee schedule below.

As-built structural information of all existing structural elements shall be provided by the client prior to commencing the design. The flat fee of this agreement does not include any cost or time to be spent to obtain such information.

If Client needs services beyond the scope of this contract, Engineer may require further written authorization from Client to carry out additional work either in form of a signed Request for Additional Engineering or as an additional Proposal and Contract for engineering services.

Client may terminate the Agreement at any time by sending a written notice to the Engineer. Client is responsible to pay for all work performed until the time of termination or the total balance remaining on the project, whichever is smaller. The value of work hours is calculated using Engineer’s standard fee schedule.

In addition, Client is required to pay for any out-of-pocket and reimbursable expenses spent on the project.

All such payments become due at the time of the termination.

Standard Fee Schedule
Principal $275.00 per hour
Project Engineer $175.00 per hour
Design Draftsmen $100.00 per hour
Office Administrator $ 40.00 per hour
Reimbursable Expenses Cost + 25%
Mileage 75 cents per mile
Requested Plotting performed in-house $ 5.00 per sheet
These hourly fees are valid for the current calendar year only. Reimbursable and out-of-pocket expenses, i.e., digital copies, messenger fees, permit fees, etc., will be charged as applicable.

Engineer shall not release plans or calculations without receipt of second payment. Client agrees to pay a late fee computed at 10% premium on any unpaid balance, unpaid 30 days after the date of Engineer's original invoice. The fee is due and payable whenever plans and calculations are ready for first submission, whether or not the Client applied for, or received, a building permit. Engineering includes minimum code requirements, detailing and specifications necessary to pass governmental review and to obtain a building permit only. If changes to the original plans are necessary due to requirements of the Building and Safety, inspector, contractor, or the design professionals prior to construction, causing an increase in the construction budget, these changes shall not be treated as damages, but rather as value added items, which would have increased the construction cost if they were included in the original plans. Client relieves Eduardo J. Carrillo personally and EC And Associates Engineering, Inc. as a company, for any and all responsibilities and liabilities associated with architectural services in connection with the project mentioned above, even if Eduardo J. Carrillo’s engineering stamp and signature may appear on the plans. Eduardo J.

Carrillo personally and EC And Associates Engineering, Inc., are responsible for the structural engineering part of the design only. Client and Engineer incorporate herein, make a part hereof, and agree to be bound by the standard provisions of this agreement.

Standard Provisions

1. The Client binds himself, his partners, successors, executors, administrators, and assigns to the Engineer to this agreement with respect to all of the terms and conditions of this agreement.

2. The Client shall pay the costs of checking and inspection fees, zoning and annexation application fees, assessment fees, soils engineering fees, soils testing fees and all other fees, permits, bond premiums, title company charges, blueprints and reproductions and all other charges not specifically covered by the terms of this agreement.

Project: Citrus Recreation Village – West Bldg. Gymnasium Please initial here: _______
EC + Associates Engineering, Inc.
www.ecaengineering.com
1412 Espanol Ave. Montebello, CA 90640 P: 562 708 3586

3. All tracing, survey notes and other original documents as instruments of service remain the property of the Engineer, except where by law or precedent these documents become public property. The Client agrees to waive any and all claims against the Engineer and to defend, indemnify and hold the Engineer harmless from and against any and all claims, losses, liabilities and damages arising out of or resulting from the unauthorized use, reuse or alteration of the Engineer’s design, drawings and specifications.

4.Should litigation be necessary to enforce any term or provision of this agreement, or to collect any portion of the amount payable under this agreement, then all litigation and collection expenses, witness fees, court costs, and attorney's fees shall be paid to the prevailing party.

5.In the event all or any portion of the work prepared or partially prepared by the Engineer should be suspended, abandoned, or terminated, Client shall pay Engineer for the work performed on an hourly basis as stated hereon. The hourly compensation to Engineer calculated here under shall not exceed the maximum contract price agreed upon between the parties.

6.In the event that Client institutes a suit against Engineer because of any failure or alleged failure to perform, error, omission or negligence, and if such suit is not successfully prosecuted, or if it is dismissed, or if verdict is rendered for Engineer, Client agrees to pay Engineer any and all costs of defense, including attorney’s fees and court costs and any and all other expenses of defense which may be necessary, immediately following dismissal of the case or immediately upon verdict being rendered in behalf of Engineer.

7.Neither the Client nor Engineer shall assign his interest in this agreement to a third party without the written consent of the other.

8. No conditions or representations, altering, detracting from, or adding to the terms hereof shall be valid unless printed or written hereon or evidenced in writing by either party to this agreement and accepted in writing by the other.

9. Engineer shall not be responsible for damages or be in default or be deemed to be in default by reason of delays in performance, by reason of strikes, lockouts, accidents, acts of God, and other delays unavoidable or beyond Engineer’s reasonable control, or due to shortages or unavailability of labor at established area wage rate or delays caused by failure of Client or Client’s agents to furnish information or to approve or disapprove Engineer’s work promptly, or due to late, slow, or faulty performance by Client, other contractors, or governmental agencies, the performance of whose work is precedent to or concurrent with the performance of Engineer’s work. In the case of the happening of any such cause of delay, the time of completion shall be extended accordingly.

10. In the event that litigation be instituted under the terms and conditions of this agreement, the same is to be brought and tried in judicial jurisdiction of the court of the county in which the Engineer’s principal place of business is located and Client waives the right to have suit brought, or tried in, or removed to any other county or jurisdiction.

11. Engineer does not guarantee the quality of performance by the construction contractor or contractors, or other third parties, nor is he responsible for their acts or omissions.

12. Engineer makes no warranty, whether expressed or implied, as to its findings, recommendations, specifications, or professional advice except that these were promulgated after being prepared in accordance with generally accepted engineering practices and under the direction of registered professional engineers.

13. Engineer makes no representations concerning soil conditions unless specifically included in writing in this agreement, and he is not responsible for any liability that may arise out of the making or failure to make soil surveys, or sub-surface soil tests, or general soil testing.

14. In the event that any changes are made in the plans and specification by the Client or persons other than the Engineer, which affects the Engineer’s work, any and all liability arising out of such changes is waived as against the Engineer and the Client assumes full responsibility for such changes unless Client has given Engineer prior notice and has received from Engineer written consent for such changes.

15. The Engineer is not responsible, and liability is waived by Client as against Engineer, for use by Client or any other person of any plans or drawings not signed by Engineer.

16. The Client agrees that in accordance with generally accepted construction practices, the construction contractor will be required to assume sole and complete responsibility for job site conditions during the course of construction of the project, including safety of all persons and property; that this requirement shall be made to apply continuously and not be limited to normal working hours; and the Client further agrees to defend, indemnify and hold the Engineer harmless from any and all liability, real or alleged, in connection with the performance of work on this project, excepting liability arising from the sole negligence of the Engineer.

Project: Citrus Recreation Village – West Bldg. Gymnasium Please initial here: _______
EC + Associates Engineering, Inc.
www.ecaengineering.com
1412 Espanol Ave. Montebello, CA 90640 P: 562 708 3586

17.The client agrees to limit the engineers Liability to the client and to all contractors and subcontracts on the project, due to professional negligent acts, errors or omissions of the Engineer to the sum of the Engineer’s fee.

18. The terms and provisions of this agreement shall not be construed to alter, waiver, or affect any lien or stop notice rights, which the Engineer may have for the performance of engineering services under this agreement.

19. In the event Client fails to pay Engineer promptly or within sixty (60) days after invoices are rendered, then Client agrees that Engineer shall have the right to consider said default a total breach of this agreement and the duties of the Engineer under this agreement terminated. In such event, Client shall then promptly pay Engineer for all of the fees, charges and services performed by Engineer based on an hourly rate as stated above.

20. There are no understandings or agreements except as herein expressly stated.

21. This proposal is valid for thirty (30) days only, unless signed and retainer is paid.

22. The Engineer’s services shall be performed in a manner consistent with the degree of skill and care ordinarily exercised by practicing design professionals performing similar services in the same location, at the same site and under the same or similar circumstances and conditions. The Engineer makes no other representations or warranties, whether expressed or implied, with respect to the services rendered hereunder.

In witness whereof, the parties have accepted, made and executed this Agreement on the terms, conditions and provisions stated above in this Proposal and Agreement, on the following day and date:

Respectfully submitted, Client:

EC AND ASSOCIATES ENGINEERING, INC.

NAME: __________________________
SIGNATURE: _______________________
____________________
Eduardo J. Carrillo
Authorized representative Date: ___________________________ Date: 1/29/2025
cc: File
Additional Agreements:
• Structural Observation and/or field visits (if required) at $400.00/visit. The structural observation fee will be due and collected at every visit at the time of service. Non-approved structural observations have to be revisited until approved.

CC Regular Meeting

AGENDA ITEM REPORT
ITEM NO. CC 5
Meeting: February 18, 2025
Title: Fiscal Year 2024-25 Mid-Year Budget Update and Adjustments Presented by: Theresa Franke, Interim Finance Director
Charles Russom, Sr. Management Analyst
Recommendation: 1. Adopt Resolution CC 2025-12 & SA 2025-01 authorizing Fiscal Year 2024-2025 midyear budget adjustments; and

2. Receive and file the Fiscal Year 2024-25 Mid-Year Budget Update.

EXECUTIVE SUMMARY:

The Mid-Year Budget Update provides an update on the status of the City's finances. The report includes recommended budget revisions as well as year-end revenue and expenditure projections.

BACKGROUND:

The City Council adopted the FY 2024-25 Budget on June 4, 2024. The total revenue budget was projected at $114,303,465 and total expenditures projected at $110,736,421. The adopted General Fund budget was balanced with revenues and expenditures totaling $53,872,734.

The originally adopted budget has been amended over the past several months to include prior year carryovers and additional appropriations authorized by the City Council. Factoring in these amendments and additional appropriations, the current General Fund revenue budget totals $54,165,524 while the budgeted expenditures total $60,044,086.

DISCUSSION:

As a part of the Mid-Year report, staff has analyzed year to date revenues and expenditures as compared to the budget and identified accounts requiring adjustments.

General Fund:

The table below summarizes the original Fiscal Year 2024-25 General Fund adopted budget:

The following table summarizes the current Fiscal Year 2024-25 General Fund budget, revised to reflect actual June 30, 2024 fund balances, budget resolutions approved by the City Council in the current fiscal year to date, and encumbrance carryovers:

Adopted 2024-25 Budget June 30, 2024 June 30, 2025
Beginning Fund Balance Revenues Expenditures Ending Fund Balance Change 1010 General Fund $ 10,103,601 $ 53,872,734 $ 53,872,734 $ 10,103,601 $ - 1095 Special General Fund (Transaction/Use Tax) 14,017,374 8,627,000 8,533,882 14,110,492 93,118 $ 24,120,975 $ 62,499,734 $ 62,406,616 $ 24,214,093 $ 93,118

The current budget projects a General Fund deficit of $5,878,562 and Transaction and Use Tax Fund deficit of $476,435 at the end of Fiscal Year 2024-25. The Transaction and Use Tax Fund includes transfers to the General Fund to offset general operating costs, as well as funding for Capital Projects.

General Fund Revenues:

The table below summarizes Fiscal Year 2024-25 general fund revenues. The table includes FY 2023-24 actual revenues, the adopted and revised FY 2024-25 budget, recommended mid-year adjustments, as well as year-end figures indicating projected Fiscal Year 2024-25 revenues.

The original budget process utilized a conservative approach in projecting revenues, however based on year to date receipts and an analysis of final outcomes for the prior fiscal year, it is anticipated that overall general fund revenues will remain stable. With this in mind, as reflected on the above table, we are projecting a net revenue increase of $305,089 which includes increased Property Taxes, offset by reductions to Sales Tax, Utility User Tax, and Franchise/Other Taxes. Other Revenues reflect a decrease of $20,000 settlements and a transfer of $6,785,021 from Measure CC (Transfer & Use Tax). The total increase to general fund revenues, including the Measure CC transfer, is $7,070,110.
2024-25 Revised Budget June 30, 2024 June 30, 2025
Beginning Fund Balance Revenues Expenditures Ending Fund Balance Change 1010 General Fund $ 14,310,433 $ 54,165,524 $ 60,044,086 $ 8,431,871 (5,878,562) 1095 Special General Fund (Transaction/Use Tax) 24,631,465 8,627,000 9,103,435 24,155,030 (476,435) $ 38,941,899 $ 62,792,524 $ 69,147,521 $ 32,586,902 (6,354,997) City of Covina
General Fund Revenue Summary
Fiscal Year 2024-25
2024 2025 2025 2025 2025
General Fund Revenues Actual Adopted Revised Mid-Yr Adj Projected YE Property Tax $ 17,682,095 $ 16,952,000 $ 16,952,000 $ 1,085,000 $ 18,037,000 Sales Tax 10,701,878 11,403,000 11,403,000 (700,000) 10,703,000 Utility Users Tax 6,024,394 5,900,000 5,900,000 (150,000) 5,750,000 Franchises/Other Taxes 3,108,155 3,012,500 3,012,500 (60,000) 2,952,500 Total Taxes 37,516,522 37,267,500 37,267,500 175,000 37,442,500 Licenses and Permits 1,267,252 1,076,050 1,076,050 160,000 1,236,050 Intergovernmental 1,169,378 1,007,200 1,007,200 206,865 1,214,065 Charges for Services 3,389,296 3,507,012 3,599,802 263,224 3,863,026 Fines and Forfeitures 1,105,477 1,199,500 1,199,500 (500,000) 699,500 Other Revenues 4,041,398 9,815,472 10,015,472 6,765,021 16,780,493 General Fund Total $ 48,489,323 $ 53,872,734 $ 54,165,524 $ 7,070,110 $ 61,235,634 2024 2025 2025 2025 2025
Special General Fund Revenues Actual Adopted Revised Mid-Yr Adj Projected YE Transaction & Use Tax $ 8,535,570 $ 8,627,000 $ 8,627,000 $ - $ 8,627,000 Special General Fund Total $ 8,535,570 $ 8,627,000 $ 8,627,000 $ - $ 8,627,000

General Fund Expenditures:

The following table summarizes Fiscal Year 2024-25 General Fund expenditures by department. The table includes Fiscal Year 2023-24 actual expenditures, the adopted and revised FY 2024-25 budget, recommended mid-year adjustments, as well as year-end figures indicating projected Fiscal Year 2024-25 expenditures.

The recommended expenditure mid-year adjustments represent a total increase of $1,191,548. This represents an increase of $458,247 for programs and services utilized for city operations and is comprised of ongoing projects within the City, including Royal Oak Middle School Urban Greening Project, Covina Skate Park Solar Lighting Project, and Clariti Building Permit software. In addition, there is a Non-Departmental expenditure that is increasing the Public Liability fund by $696,408, ensuring adequate funds for legal activity and settlements incurred by the City. Special General Fund expenditures reflect increases to Capital Projects and Internal Services items budgeted but not spent in the prior fiscal year. The transfer to General Fund is Measure CC funding used to maintain City operations. General Fund Expenditures by department are further detailed in Attachment B.

City of Covina
General Fund Expenditure Summaries by Department
Fiscal Year 2024-25
General Fund Expenditures 2024 2025 Adopted 2025 Revised Mid-Year 2025 By Department Actual Budget Budget Adjustments Projected YE Legislative $ 593,753 $ 605,862 $ 609,294 $ - $ 609,294 Administration 991,453 1,384,105 1,384,105 - 1,384,105
Finance 1,166,068 1,386,903 1,401,868 - 1,401,868
Non-Departmental (1,067,160) (2,445,990) (2,445,990) 733,302 (1,712,689) Human Resources 1,277,857 1,367,107 1,367,107 30,000 1,397,107 Police 23,990,988 26,401,599 26,706,621 - 26,706,621
Emergency Services (6,825) - - - -
Fire 10,070,577 12,812,054 12,812,054 - 12,812,054
Public Works 3,680,550 4,292,710 4,325,427 191,413 4,516,840 Parks and Recreation 3,991,392 4,668,008 4,693,427 35,500 4,728,927 Community Development 3,800,670 3,400,376 9,190,173 201,334 9,391,506 Total General Fund (GF) Expenditures $ 48,489,323 $ 53,872,734 $ 60,044,086 $ 1,191,548 $61,235,634 2024 2025 Adopted 2025 Revised Mid-Year 2025
Actual Budget Budget Adjustments Projected YE
Transfer to General Fund $ 32,924 $ 8,533,882 $ 8,758,881 $ 6,785,021 $15,543,901 Transfer to Capital Projects Funds 2,100,685 - 226,655 4,470,959 4,697,614 Transfer to Enterprise Funds 160,150 - - - -
Transfer to Internal Services Funds 253,039 - 117,899 429,507 547,407 Total Special GF Expenditures $ 2,546,799 $ 8,533,882 $ 9,103,435 $ 11,685,487 $20,788,922 Special General Fund Expenditures

Fund Balances:

The following table illustrates the General Fund budget including all the recommended mid-year adjustments, including the Measure CC fund. This balance meets the City’s goal of maintaining a minimum of 20% emergency reserve in the General Fund.

All the recommended General Fund mid-year adjustments are summarized in Resolution CC 2025-12 & SA 2025- 01 (Attachment C & D) and detailed in Exhibit A.

Other Funds:

There are several adjustments recommended in various Special Revenue, Capital Projects, Enterprise and Internal Service Funds as detailed in Attachment A. Primarily these adjustments represent items pertaining to grant funds expended in the prior FY with reimbursement revenues received in the current FY, as well as budgeted items that were approved in the prior FY that were not spent.

Staffing Changes:

Over the past year, with increased responsibilities and duties, departments have analyzed their staffing needs and are recommending reclassification of two positions. Both positions will not have a fiscal impact for the remainder of the fiscal year. The requested reclassifications are detailed below.

Department From To
Community Development Management Analyst Sr. Management Analyst Human Resources Management Analyst Trainee Human Resources Management Analyst FISCAL IMPACT:

Should all the recommended mid-year adjustments be approved, the total revenue budget will be $169,144,230 and budgeted expenditures would total $201,761,724 citywide (Attachment A). The General Fund is projected to end the year with a fund balance of $14,310,433 and Measure CC will end with a fund balance of $12,469,543.

CEQA (CALIFORNIA ENVIRONMENTAL QUALITY ACT):

Not applicable.

Respectfully submitted,
2024-25 Mid-Year Projection June 30, 2024 June 30, 2025 Beginning Fund Balance Revenues Expenditures Ending Fund Balance Change 1010 General Fund $ 14,310,433 61,235,634 61,235,634 $ 14,310,433 - 1095 Special General Fund (Transaction/Use Tax) 24,631,465 8,627,000 20,788,922 12,469,543 (12,161,922) $ 38,941,899 69,862,634 82,024,556 $ 26,779,977 (12,161,922)

City of Covina
FY 2024-25 Budget Summary
Fund Description
June 30, 2024 Fund
Balance Revenue Budget
Mid-Year
Adjustment
Available
resources Expenditure Budget
Mid-Year
Adjustments
June 30, 2025
Fund Balance Chg
1010 General Fund 14,310,433 54,165,524 7,070,110 75,546,068 60,044,086 1,191,548 14,310,433 - 1095 Special General Fund (Transaction/Use Tax) 24,631,465 8,627,000 - 33,258,465 9,103,435 11,685,487 12,469,543 (12,161,922) Total General Fund 38,941,899 62,792,524 7,070,110 108,804,533 69,147,521 12,877,035 26,779,977 (12,161,922) - - - -
2020 Low Mod Housing Asset Fund 2,125,668 681,481 - 2,807,149 2,428,201 27,090 351,858 (1,773,810) 2025 Housing Bond Proceeds 04 Priva 935,078 6,000 - 941,078 696,481 - 244,597 (690,481) 2055 2004 Bond-Private 276,800 - - 276,800 208,482 - 68,319 (208,482) 2100 Community Development Block Gr - 425,096 - 425,096.00 425,096 - - - 2120 Permanent Local Housing Allocation - 1,645,313 - 1,645,313 1,645,313 - - - 2185 Building Equipment Reserve 1,049 5,000 - 6,049 5,000 - 1,049 - 2189 Heritage Tree Preservation 41,223 - - 41,223 - 41,223 - 2200 Police Evidence Reserve 337,936 - - 337,936 - - 337,936 - 2205 Inmate Communication 29,623 - - 29,623 - - 29,623 - 2221 Federal Treasury Narcotics 108,461 - - 108,461 - - 108,461 - 2222 Federal Justice Narcotic Siezu 234,175 - - 234,175 - - 234,175 - 2230 Other State Grants (226,588) 1,556,371 511,956 1,841,739 1,666,739 175,000 (0) 226,588 2246 Supplemental Law 140,177 183,000 - 323,177 134,361 - 188,816 48,639 2270 Other Federal Grants - 173,100 (1,470) 171,630 173,100 (1,470) (0) (0) 2271 Justice Assistance Grant - 14,000 (3,095) 10,905 14,000 (3,095) - - 2272 Justice Assistance Grant Impact - - 32,982 32,982 - 3,352 29,630 29,630 2278 Homeland Security Grant - 223,867 - 223,867 223,867 - - - 2285 COPS Grant (8,031) 650,000 8,031 650,000 650,000 - - 8,031 2290 Traffic Safety Fund 29,859 - - 29,859 - - 29,859 - 2300 State Gas Tax 159,678 1,380,061 - 1,539,739 1,591,164 - (51,425) (211,103) 2310 Road Maintenance and Rehab 1,729,760 1,234,566 - 2,964,326 2,830,839 - 133,488 (1,596,273) 2360 CA-Strong Motion Instrumentati 12,173 - - 12,173 - - 12,173 - 2365 SB1186 Fund 103,980 - - 103,980 17,000 - 86,980 (17,000) 2370 CA-Green Building Standards 3,406 - - 3,406 - - 3,406 - 2400 Proposition A 2,321,532 1,719,583 - 4,041,115 2,314,823 - 1,726,292 (595,240) 2405 Proposition C 1,203,685 1,204,681 - 2,408,366 1,630,439 - 777,927 (425,758) 2407 TDA - 51,708 - 51,708 - - 51,708 51,708
2410 Measure R 865,633 890,854 - 1,756,487 1,796,343 (59,925) 20,070 (845,564) 2420 Measure M 259,642 2,003,479 - 2,263,121 1,278,582 984,538 0 (259,641) 2500 Air Quality Improvement 51,040 64,000 - 115,040 28,231 - 86,809 35,769 2510 Measure W 16,112,311 8,817,882 - 24,930,193 16,382,600 - 8,547,592 (7,564,718) 2520 DOC Beverage Container Grant 30,355 12,939 - 43,294 13,097 - 30,197 (158)

City of Covina
FY 2024-25 Budget Summary
Fund Description
June 30, 2024 Fund
Balance Revenue Budget
Mid-Year
Adjustment
Available
resources Expenditure Budget
Mid-Year
Adjustments
June 30, 2025
Fund Balance Chg
2530 Oil Payment Program 1,898 7,370 - 9,268 7,210 - 2,058 160 2600 Cultural Arts 3,015 - - 3,015 - - 3,015 -
2604 Quimby Fees 292,910 1,129,696 - 1,422,606 1,382,496 - 40,110 (252,800) 2700 Municipal Parking District 813,228 260,483 - 1,073,711 151,430 10,000 912,281 99,053 2710 Street Lighting Assessment Dis (69,764) 317,016 - 247,252 265,309 - (18,057) 51,707 2720 Street Trees and Landscaping 632,190 216,779 - 848,969 95,764 - 753,204 121,015 2740 Community Facilities District 83,248 300,000 - 383,248 300,000 - 83,248 - 2750 Shoppers Lane Parking District 56,799 20,000 - 76,799 11,564 - 65,235 8,436 2800 Literacy Grant - 46,680 - 46,680 52,884 (796) (5,408) (5,408) 2810 Library Equipment Reserve (16,444) 15,700 - (744) 18,200 (1,494) (17,450) (1,006) 2830 Other Library Grants 6,314 24,962 23,678 54,954 54,691 - 263 (6,051) 2890 PEG-Public Education and Government 601,713 70,000 - 671,713 48,732 - 622,981 21,268 2920 Public Safety Donation 15,773 - - 15,773 - - 15,773 - 2922 DARE Donation Admin 4,787 - - 4,787 - - 4,787 -
2926 Gang & Graffiti Donation 922 - - 922 - - 922 -
2927 Police Explorer Donation 12,240 - - 12,240 4,597 - 7,643 (4,597) 2930 Gang/Graffiti Scholarship Fund 679 - - 679 - - 679 - 2931 Every 15 Minutes Admin 2,896 - - 2,896 - - 2,896 - 2957 Playground Equip Replace Donat 5,941 - - 5,941 - - 5,941 - 2958 Teen Program Fundraising 2,505 - - 2,505 - - 2,505 - 2960 Parks & Recreation Donations 14,544 - - 14,544 - - 14,544 - 2965 Youth Program Donations 11,483 - - 11,483 - - 11,483 - 2966 Youth Sports Equip Donation 55,562 - - 55,562 9,600 - 45,962 (9,600) 2967 Volunteen Web Berger Grant 25,337 2,200 - 27,537 5,468 - 22,069 (3,268) 2968 Senior Fundraising Donations 6,272 - - 6,272 - - 6,272 - 2969 Grandmothers Club Donations 2,008 - - 2,008 2,008 - - (2,008) 2970 Library Services-Donation 42,833 - - 42,833 - - 42,833 - 2971 Lib Book Donation 9,374 - - 9,374 - - 9,374 -
2972 Library Services-IT Donation 1,475 - - 1,475 - - 1,475 - 2973 Gates Donation Fund 13,026 - - 13,026 - - 13,026 - 2975 Lib Services-Literacy Donation 10,933 - - 10,933 - - 10,933 - 2976 Joseph J Borrello Memorial 61,316 - - 61,316 - - 61,316 - 2980 Miscellaneous Grants - 24,000 219,660.69 243,661 49,000 - 194,661 194,661

City of Covina
FY 2024-25 Budget Summary
Fund Description
June 30, 2024 Fund
Balance Revenue Budget
Mid-Year
Adjustment
Available
resources Expenditure Budget
Mid-Year
Adjustments
June 30, 2025
Fund Balance Chg
2990 ARPA - - 440,910.43 440,910 630,911 (190,001) - -
4010 General CIP - 659,892 156,080.40 815,973 659,892 156,080 - - 4200 Public Works CIP - 260,242 - 260,242 260,242 - - - 4300 Transportation CIP (72,262) 7,572,262 - 7,500,000 7,500,000 - - 72,262 4600 Parks and Recreation CIP (500,903) 28,144,235 896,562 28,539,894 26,161,242 913,637 1,465,014.75 1,965,918 4630 Kahler Russell Park Gymnasium 111,540 - - 111,540 - - 111,540 - 4640 Joslyn Center Reconstruction 5,000 - - 5,000 - - 5,000 - 4701 Impact Fees-General Govt 264,010 - - 264,010 231,178 - 32,832 (231,178) 4702 Impact Fees-Library Admin 210,484 - - 210,484 - - 210,484 - 4703 Impact Fees-Police Admin 71,304 - - 71,304 - - 71,304 - 4704 Impact Fees-Park Fac Admin 66,273 - - 66,273 39,000 - 27,273 (39,000) 4705 Impact Fees-Streets Adm 336,331 - - 336,331 - - 336,331 - 4706 Impact Fees-Fire Admin 129,494 - - 129,494 - - 129,494 - 4707 Storm Water CFD 1,778 - - 1,778 11,096 - (9,319) (11,096) 6010 Water Utility Admin 7,337,686 12,632,321 - 19,970,007 13,803,314 2,452,761 3,713,931 (3,623,755) 6011 Water Capital Improvement Fund 2,916,358 - 2,400,000 5,316,358 4,544,835 (711,821) 1,483,345 (1,433,013) 6200 Environmental-Waste Mgmt 1,400,125 1,238,860 - 2,638,985 1,830,344 49,779 758,862 (641,263) 6300 Sewer Utility 6,761,864 3,071,283 - 9,833,147 4,559,657 128,438 5,145,052 (1,616,812) 6400 Theatre Fund 938,302 366,200 - 1,304,502 916,226 - 388,276 (550,026) 7010 Central Equipment Operations 2,913,294 2,070,671 - 4,983,964 2,537,872 - 2,446,093 (467,201) 7020 Building Maintenance 1,121,532 2,048,475 - 3,170,008 2,310,077 - 859,931 (261,602) 7200 Information Technology 1,814,051 1,864,487 - 3,678,538 2,227,179 77,387 1,373,973 (440,078) 7360 Worker's Compensation 2,576,048 1,045,711 - 3,621,759 1,045,711 423,500 2,152,548 (423,500) 7370 Public Liablity 35,343 2,193,062 800,000 3,028,404 2,195,539 - 832,865 797,523 8186 Downtown District 563 8,358 - 8,921 8,358 - 563 -
8187 Prospero 225 5,388 - 5,613 5,388 - 225 -
T800 OPEB Trust 1,394,677 100,000 - 1,494,677 4,500 - 1,490,177 95,500 SXXX Successor Agency Funds 3,617,954 34,218 5,102,770 8,754,942 5,208,936 - 3,546,006 (71,948) 101,976,607 151,486,055 17,658,175 271,120,836 184,451,729 17,309,995 69,359,113 (32,617,494)

2024 2025 2025 Mid-Year Projected
Legislative Actual Adopted Revised Adjustments Year End City Council 225,699 308,502 308,502 - 308,502
City Clerk 4,679 11,179 11,179 - 11,179
Elections 66,805 650 650 - 650
City Treasurer 4,431 10,031 10,031 - 10,031
City Attorney 292,138 275,500 278,931 - 278,931
593,753 605,862 609,294 - 609,294
2024 2025 2025 Mid-Year Projected
Administration Actual Adopted Revised Adjustments Year End City Manager 345,794 481,238 481,238 - 481,238
Economic Development 117,472 327,516 327,516 - 327,516
Public Information 103,306 111,327 111,327 - 111,327
Records Management 424,881 464,025 464,025 - 464,025
991,453 1,384,105 1,384,105 - 1,384,105
2024 2025 2025 Mid-Year Projected
Finance Actual Adopted Revised Adjustments Year End
Accounting 1,153,636 1,375,253 1,390,218 1,390,218
Duplicating 12,432 11,650 11,650 - 11,650
1,166,068 1,386,903 1,401,868 - 1,401,868
2024 2025 2025 Mid-Year Projected
Non Departmental Actual Adopted Revised Adjustments Year End Cost Allocation (2,362,874) (2,834,596) (2,834,596) - (2,834,596) Intergovernmental 40,797 53,700 53,700 - 53,700
Community Outreach 30,014 60,000 60,000 - 60,000
General Obligation 3,250 5,000 5,000 - 5,000
Capital Lease 45,349 - - - -
Transfers Out 1,176,304 269,906 269,906 733,302 1,003,208 (1,067,160) (2,445,990) (2,445,990) 733,302 (1,712,689) 2024 2025 2025 Mid-Year Projected
Human Resources Actual Adopted Revised Adjustments Year End General Administration 536,982 564,486 564,486 - 564,486 General Insurance 740,875 802,621 802,621 30,000 832,621 1,277,857 1,367,107 1,367,107 30,000 1,397,107
2024 2025 2025 Mid-Year Projected
Police Department Actual Adopted Revised Adjustments Year End General Administration 5,860,570 6,525,835 6,525,835 - 6,525,835 Crime Prevention 520,725 564,887 607,566 - 607,566
Investigations 2,979,526 3,118,422 3,118,422 - 3,118,422 Patrol 9,565,886 10,599,858 10,822,814 - 10,822,814
Police Records 601,521 699,006 699,006 - 699,006
Jail 479,284 502,490 502,490 - 502,490
Canine 3,132 5,500 5,500 - 5,500
Traffic 659,786 671,633 671,633 - 671,633
Parking Control 451,142 465,765 465,765 - 465,765
Communications Svcs 1,440,786 1,685,759 1,685,759 - 1,685,759 Police Training 667,912 688,445 688,445 - 688,445
Computer Service 339,363 431,000 470,387 - 470,387
Disaster Preparation 55,804 59,500 59,500 - 59,500
Animal Control 365,551 383,500 383,500 - 383,500
23,990,988 26,401,599 26,706,621 - 26,706,621
City of Covina
General Fund Expenditure Summaries by Department
Fiscal Year 2024-25

City of Covina
General Fund Expenditure Summaries by Department
Fiscal Year 2024-25
2024 2025 2025 Mid-Year Projected
Emergency Services - COVID Actual Adopted Revised Adjustments Year End Emergency Medical Services (6,825) - - - -
(6,825) - - - -
2024 2025 2025 Mid-Year Projected
Fire Department Actual Adopted Revised Adjustments Year End Fire Suppression 10,070,577 12,812,054 12,812,054 - 12,812,054 10,070,577 12,812,054 12,812,054 - 12,812,054
2024 2025 2025 Mid-Year Projected
Public Works Actual Adopted Revised Adjustments Year End General Administration 351,354 434,797 434,797 - 434,797 Graffiti 600 800 800 - 800
Engineering 554,040 669,366 620,771 96,413 717,184
Streets 1,532,947 1,944,476 1,944,476 95,000 2,039,476
Street Trees Landscaping 100 - 24,900 24,900
Park Maint 1,241,509 1,243,270 1,299,683 - 1,299,683
3,680,550 4,292,710 4,325,427 191,413 4,516,840
2024 2025 2025 Mid-Year Projected
Parks And Recreation Actual Adopted Revised Adjustments Year End General Administration 750,048 868,590 868,590 - 868,590 Community Relations 235,763 178,341 178,341 - 178,341
Recreation Services 693,345 751,713 751,713 35,500 787,213 Community Programs 70,808 83,595 83,595 - 83,595
Senior Services 374,539 443,240 463,705 - 463,705
Community Parade 325,123 265,389 265,389 - 265,389
Community Special Events 27,221 50,249 50,249 - 50,249
Aquatics 288,365 308,918 308,918 - 308,918
Library Services 1,226,180 1,717,974 1,722,927 - 1,722,927 3,991,392 4,668,008 4,693,427 35,500 4,728,927
2024 2025 2025 Mid-Year Projected
Community Development Actual Adopted Revised Adjustments Year End General Administration 1,322,302 1,345,797 6,726,622 36,334 6,762,955 Planning 789,550 670,896 726,939 140,000 866,939
Planning Commission 12,956 17,225 17,225 - 17,225
Building Inspection 1,013,651 830,709 884,911 25,000 909,911 Code Enforcement 538,459 535,749 563,312 - 563,312
Business Assistance 123,752 - 271,164 - 271,164
3,800,670 3,400,376 9,190,173 201,334 9,391,506
Total Gen Fund 48,489,323 53,872,734 60,044,086 1,191,548 61,235,634

ATTACHMENT C
RESOLUTION CC 2025-12

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COVINA, CALIFORNIA, AUTHORIZING FISCAL YEAR 2024-2025 MID-YEAR

BUDGET ADJUSTMENTS
WHEREAS, on June 4th, 2024, the City Council of Covina adopted Resolution CC 2024- 31 adopting the Fiscal Year 2024-25 Budget for the City of Covina/Covina Public Financing Authority/Covina Housing Authority; and
WHEREAS, certain programs included in the Fiscal Year 2024-25 Budget will have revenue and expenditures which may vary from the adjusted budget; and WHEREAS, the City Council desires that the Fiscal Year 2024-25 Budget be adjusted for each of these programs to assure budgetary compliance; and WHEREAS, the cost center adjustments are reported in Exhibit A of this Resolution.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COVINA, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. That the budget adjustments to the City of Covina Fiscal Year 2024-25 Budget are adopted as listed in Exhibit A and the City Manager is authorized to implement the same.

SECTION 2. The City Clerk shall certify to the passage and adoption of this resolution and shall enter the same in the Book of Original Resolutions.

APPROVED and PASSED this 18th day of February, 2025.

City of Covina, California
ATTEST:

FABIAN VELEZ, Chief Deputy City
Clerk
BY:

JOHN C. KING, Mayor

CERTIFICATION
I, Fabian Velez, Chief Deputy City Clerk of the City of Covina, do hereby certify that Resolution CC 2025-12 was duly adopted by the City Council of the City of Covina at a regular meeting held on the 18th day of February 2025, by the following vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

Dated:

FABIAN VELEZ, Chief Deputy City Clerk

Account Object Project
Amount Increase /
(Decrease)
General Fund
Proposed Revenue Adjustments
General
Property Tax 10100000 40120 300,000
Gen- SB211 Pass 10100000 40195 785,000
Sales Tax 10100000 40200 (700,000)
Transient Occupancy Tax 10100000 40300 (60,000)
UUT - Telephone 10100000 40720 (50,000)
UUT - Gas 10100000 40760 (100,000)
General - Property Rent 10100000 43600 (20,000)
General - Transfer-GF 10100000 49110 6,785,021
Police Department
Gen-Patrol Other Governments 10101130 42990 5,000
Gen- Court Fines 10101130 44100 (250,000)
Gen- Parking Control 10101300 44200 (250,000)
Gen- Settlements 10101110 48300 (20,000)
Gen-Parking Overnight 10101300 43150 (100,000)
Emergency Fire Service
Fire Medical Passthrough 10101600 43185 (200,000)
Emergency Covid
Covid Emergency Relief 10101650 42101 COVID 201,865
Public Works
GF-Engineering-Eng Serv-Other 10102100 43250 300,000
Parks & Recreation
Leisure Lifestyle Class Revenue 1010RS32 43315 10,000
Cultural Excursion Revenue 1010RS33 43316 20,050
Community Development
Community Development Property Rental 10104000 43600 328,174 Zoning/Sub 10104010 43410 (75,000)
Gen-Bldg Insp Bldg-Perm 10104100 41200 160,000
Proposed Expenditure Adjustments
General Fund
General Transfer- CIP 10100000 59140 36,893
Human Resources
Pre-employment Medicals 10100800 51330 30,000
Public Works
Gen-Engineering-Other Prof Fees 10102100 51990 96,413
Gen-Streets-Tree Maintenance 10102200 52330 95,000
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary

Account Object Project
Amount Increase /
(Decrease)
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary
Parks and Recreation
Telephone 10103000 52200 10,000
Instructor Fees 1010RS32 51350 7,000
Recreation Program Fees 1010RS33 51600 18,500
Community Development
Community Development Admin - Consulting 10104000 51005 20,000 Com Dev Consulting 10104000 51005 ROMS 10,000
Community Development Admin Land 10104000 55010 6,334
Consulting 10104010 51005 140,000
Gen-Bldg Insp Planning C 10104100 51560 25,000
Financial Services Provided
Transfer-Internal Service Fund 10109900 59170 696,408
Special General Fund (Measure CC)
Transfer- General Fund 10950000 59110 6,785,021
Transfer-Capital Projects Fund 10950000 59140 P2202 3,914,879 Transfer-Capital Projects Fund 10950000 59140 556,080
Transfer-Internal Services Fund 10950000 59170 429,507
Special Revenue Funds
Housing Authority
Housing Authority - Legal, HMLS 20204700 51205 HMLS 20,000 Housing Authority - Redev 20204700 51205 7,090
Other State Grants
Other State-Patrol Oth St Grn 22301130 42190 100,000
Other State-Patrol Officer Wellness Grant 22301130 42190 OWMHG 13,909 Other State-Patrol Cannabis Task Force 22301200 42190 223,046 Cannabis Retail Program 22304000 42190 CANNA 175,000
Cannabis Retail Program-Full Time 22304000 50010 CANNA 102,450 Cannabis Retail Other Professional Fees 22304000 51990 CANNA 72,550 Other Federal Grants
Other Federal Grants Revenue 22704000 42090 (1,470)
Other Federal Grants Motor Vehicle 22704000 55550 (1,470) Justice Assistance Grants
JAG24 Grant 22711120 42080 JAG24 (3,095)
JAG Regular Part-Time Employees 22711120 50015 JAG23 (12,861) JAG Medicare Contribution 22711120 50110 JAG23 (186)
JAG Workers Compensation 22711120 50400 JAG23 (953)
JAG Regular Medicare Contribution 22711120 50110 JAG24 145 JAG Regular Workers Compensation 22711120 50400 JAG24 742 JAG Regular Part-Time Employees 22711120 50015 JAG24 10,018 Impact Grant
County Impact Grant Revenue 22721130 42285 32,982
Impact Grant Overtime 22721130 50030 3,352
COPS Grant
COPS Grant Revenue 22851130 42285 8,031

Account Object Project
Amount Increase /
(Decrease)
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary
Measure R Fund
Traffic Signal Systems 24102200 55340 T2502 (59,925)
Measure M Fund
Regular Full-Time Employees 24202200 50010 (40,462)
Traffic Calming Improvements Project 24202200 55310 P2008 25,000 Measure M-Street-Street Infrastructure 24204300 55310 1,000,000 Municipal Parking District
Parking District - Lawn/Landscape 27002800 52320 10,000 Literacy Grant
Regular Part-Time Employees 28003900 50015 (796)
Library Equipment Reserve
Computer Supplies 28103900 54030 (1,494)
Other Library Grants
Other Library Grants Revenue 28303900 42190 23,678
Other State Grants
Covina Opioid Settlement 29801110 48300 219,661
American Rescue Plan Act
ARPA Revenue 29900000 42096 440,910
ARPA PD Software 29901130 51795 (17,139)
ARPA PD Compuer Hardware 29901130 55700 (3,002)
ARPA Fire Services 29901650 51420 (63,087)
ARPA Computer Hardware 29904000 55700 (106,773)
Capital Improvements (CIP) Funds
General CIP
General CIP - CD - Revenue 40104000 49110 F2501 156,080 General CIP - CD - Buildings and Structures 40104000 55100 F2501 156,080 Parks & Recreation CIP
Parks CIP- Transfer frm General Fund 46003400 49110 P2202 896,562 Parks CIP-Improvement Bldgs/Structures 46003400 55100 P2202 496,562 Parks CIP-Improvement Not Bldgs/Structures 46003400 55200 P2403 15,975 Parks CIP-Improvement Not Bldgs/Structures 46003400 56800 P1601 1,100 Parks CIP-Improvement Bldgs/Structures 46003900 55100 P2202 400,000 Enterprise Funds
Water Utility Admin
Transfer to Enterprise Fund 60100000 59160 2,400,000
Transfer-Internal Service Fund 60105000 59170 12,761
Water-Trans and Dist- 60105080 52424 40,000
Water Capital Improvements
Transfer from Enterprise Funds 60110000 49160 2,400,000 Water Distribution System 60115080 55410 (711,821)
Evironmental Waste Management
Environmental - Other Professional Fees 62005550 51990 10,000 Transfer-Internal Service Fund 62005550 59170 1,085
Computer Hardware 62005580 55700 38,693

Account Object Project
Amount Increase /
(Decrease)
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary
Sewer Utility
Computer Hardware 63002700 55700 38,693
Transfer-Internal Service Fund 63002700 59170 89,745
Internal Service Funds
Information Technology
IT Computer Hardware 72006200 55700 77,387
Workers Compensation
Workers Comp Administration 73600860 51310 100,000
Medical Fees 73600860 51330 290,000
Other Professional fees 73600860 51890 33,500
Public Liability
Transfer Public Liability Reserve 73700000 49110 800,000

Attachment D
RESOLUTION SA 2025-01

A RESOLUTION OF THE SUCCESSOR AGENCY TO THE COVINA

REDEVELOPMENT AGENCY OF THE CITY OF COVINA, CALIFORNIA, AUTHORIZING FISCAL YEAR 2024-2025 MID-YEAR BUDGET

ADJUSTMENTS
WHEREAS, On June 4th, 2024, Successor Agency to the Covina Redevelopment Agency adopted Resolution SA 2024-01 adopting the Fiscal Year 2024-25 Budget.

WHEREAS, certain programs included in the Fiscal Year 2024-25 Budget will have revenue and expenditures which may vary from the adjusted budget; and WHEREAS, the Successor Agency to the Covina Redevelopment Agency desires that the Fiscal Year 2024-25 Budget be adjusted for each of these programs to assure budgetary compliance; and
WHEREAS, the cost center adjustment appropriating $5,102,770 is represented in this Resolution in account number S5314450-49700.

NOW, THEREFORE, THE SUCCESSOR AGENCY TO THE COVINA
REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. That the budget adjustment to the Successor Agency to the Covina Redevelopment Agency Fiscal Year 2024-25 Budget is listed below and the Executive Director is authorized to implement the same.

SECTION 2. The City Clerk shall certify to the passage and adoption of this resolution and shall enter the same in the Book of Original Resolutions.

Account No.

Account
Description Amount ($) Increase/ Decrease
S5314450-49700
Transfer From
General Fund $ 5,102,770 Increase
APPROVED and PASSED this 18th day of February, 2025.

Successor Agency to the Covina
Redevelopment Agency of Covina,
California
BY:

JOHN C. KING, Chair

Resolution SA 2025-XX Page 2 of 2
ATTEST:

FABIAN VELEZ
Agency Secretary

CERTIFICATION
I, Fabian Velez, Secretary of the Successor Agency to the Covina Redevelopment Agency, do hereby certify that Resolution SA 2025-01, was duly adopted by the Successor Agency to the Covina Redevelopment Agency at a regular meeting held on the 18th day of February, 2025, by the following vote:

AYES: BOARD MEMBERS:

NOES: BOARD MEMBERS:

ABSTAIN: BOARD MEMBERS:

ABSENT: BOARD MEMBERS:

Dated:

FABIAN VELEZ
Agency Secretary

Account Object Project
Amount Increase /
(Decrease)
General Fund
Proposed Revenue Adjustments
General
Property Tax 10100000 40120 300,000
Gen- SB211 Pass 10100000 40195 785,000
Sales Tax 10100000 40200 (700,000)
Transient Occupancy Tax 10100000 40300 (60,000)
UUT - Telephone 10100000 40720 (50,000)
UUT - Gas 10100000 40760 (100,000)
General - Property Rent 10100000 43600 (20,000)
General - Transfer-GF 10100000 49110 6,785,021
Police Department
Gen-Patrol Other Governments 10101130 42990 5,000
Gen- Court Fines 10101130 44100 (250,000)
Gen- Parking Control 10101300 44200 (250,000)
Gen- Settlements 10101110 48300 (20,000)
Gen-Parking Overnight 10101300 43150 (100,000)
Emergency Fire Service
Fire Medical Passthrough 10101600 43185 (200,000)
Emergency Covid
Covid Emergency Relief 10101650 42101 COVID 201,865
Public Works
GF-Engineering-Eng Serv-Other 10102100 43250 300,000
Parks & Recreation
Leisure Lifestyle Class Revenue 1010RS32 43315 10,000
Cultural Excursion Revenue 1010RS33 43316 20,050
Community Development
Community Development Property Rental 10104000 43600 328,174 Zoning/Sub 10104010 43410 (75,000)
Gen-Bldg Insp Bldg-Perm 10104100 41200 160,000
Proposed Expenditure Adjustments
General Fund
General Transfer- CIP 10100000 59140 36,893
Human Resources
Pre-employment Medicals 10100800 51330 30,000
Public Works
Gen-Engineering-Other Prof Fees 10102100 51990 96,413
Gen-Streets-Tree Maintenance 10102200 52330 95,000
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary

Account Object Project
Amount Increase /
(Decrease)
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary
Parks and Recreation
Telephone 10103000 52200 10,000
Instructor Fees 1010RS32 51350 7,000
Recreation Program Fees 1010RS33 51600 18,500
Community Development
Community Development Admin - Consulting 10104000 51005 20,000 Com Dev Consulting 10104000 51005 ROMS 10,000
Community Development Admin Land 10104000 55010 6,334
Consulting 10104010 51005 140,000
Gen-Bldg Insp Planning C 10104100 51560 25,000
Financial Services Provided
Transfer-Internal Service Fund 10109900 59170 696,408
Special General Fund (Measure CC)
Transfer- General Fund 10950000 59110 6,785,021
Transfer-Capital Projects Fund 10950000 59140 P2202 3,914,879 Transfer-Capital Projects Fund 10950000 59140 556,080
Transfer-Internal Services Fund 10950000 59170 429,507
Special Revenue Funds
Housing Authority
Housing Authority - Legal, HMLS 20204700 51205 HMLS 20,000 Housing Authority - Redev 20204700 51205 7,090
Other State Grants
Other State-Patrol Oth St Grn 22301130 42190 100,000
Other State-Patrol Officer Wellness Grant 22301130 42190 OWMHG 13,909 Other State-Patrol Cannabis Task Force 22301200 42190 223,046 Cannabis Retail Program 22304000 42190 CANNA 175,000
Cannabis Retail Program-Full Time 22304000 50010 CANNA 102,450 Cannabis Retail Other Professional Fees 22304000 51990 CANNA 72,550 Other Federal Grants
Other Federal Grants Revenue 22704000 42090 (1,470)
Other Federal Grants Motor Vehicle 22704000 55550 (1,470) Justice Assistance Grants
JAG24 Grant 22711120 42080 JAG24 (3,095)
JAG Regular Part-Time Employees 22711120 50015 JAG23 (12,861) JAG Medicare Contribution 22711120 50110 JAG23 (186)
JAG Workers Compensation 22711120 50400 JAG23 (953)
JAG Regular Medicare Contribution 22711120 50110 JAG24 145 JAG Regular Workers Compensation 22711120 50400 JAG24 742 JAG Regular Part-Time Employees 22711120 50015 JAG24 10,018 Impact Grant
County Impact Grant Revenue 22721130 42285 32,982
Impact Grant Overtime 22721130 50030 3,352
COPS Grant
COPS Grant Revenue 22851130 42285 8,031

Account Object Project
Amount Increase /
(Decrease)
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary
Measure R Fund
Traffic Signal Systems 24102200 55340 T2502 (59,925)
Measure M Fund
Regular Full-Time Employees 24202200 50010 (40,462)
Traffic Calming Improvements Project 24202200 55310 P2008 25,000 Measure M-Street-Street Infrastructure 24204300 55310 1,000,000 Municipal Parking District
Parking District - Lawn/Landscape 27002800 52320 10,000 Literacy Grant
Regular Part-Time Employees 28003900 50015 (796)
Library Equipment Reserve
Computer Supplies 28103900 54030 (1,494)
Other Library Grants
Other Library Grants Revenue 28303900 42190 23,678
Other State Grants
Covina Opioid Settlement 29801110 48300 219,661
American Rescue Plan Act
ARPA Revenue 29900000 42096 440,910
ARPA PD Software 29901130 51795 (17,139)
ARPA PD Compuer Hardware 29901130 55700 (3,002)
ARPA Fire Services 29901650 51420 (63,087)
ARPA Computer Hardware 29904000 55700 (106,773)
Capital Improvements (CIP) Funds
General CIP
General CIP - CD - Revenue 40104000 49110 F2501 156,080 General CIP - CD - Buildings and Structures 40104000 55100 F2501 156,080 Parks & Recreation CIP
Parks CIP- Transfer frm General Fund 46003400 49110 P2202 896,562 Parks CIP-Improvement Bldgs/Structures 46003400 55100 P2202 496,562 Parks CIP-Improvement Not Bldgs/Structures 46003400 55200 P2403 15,975 Parks CIP-Improvement Not Bldgs/Structures 46003400 56800 P1601 1,100 Parks CIP-Improvement Bldgs/Structures 46003900 55100 P2202 400,000 Enterprise Funds
Water Utility Admin
Transfer to Enterprise Fund 60100000 59160 2,400,000
Transfer-Internal Service Fund 60105000 59170 12,761
Water-Trans and Dist- 60105080 52424 40,000
Water Capital Improvements
Transfer from Enterprise Funds 60110000 49160 2,400,000 Water Distribution System 60115080 55410 (711,821)
Evironmental Waste Management
Environmental - Other Professional Fees 62005550 51990 10,000 Transfer-Internal Service Fund 62005550 59170 1,085
Computer Hardware 62005580 55700 38,693

Account Object Project
Amount Increase /
(Decrease)
City of Covina
FY 2024-2025 Mid-Year Adjustments Summary
Sewer Utility
Computer Hardware 63002700 55700 38,693
Transfer-Internal Service Fund 63002700 59170 89,745
Internal Service Funds
Information Technology
IT Computer Hardware 72006200 55700 77,387
Workers Compensation
Workers Comp Administration 73600860 51310 100,000
Medical Fees 73600860 51330 290,000
Other Professional fees 73600860 51890 33,500
Public Liability
Transfer Public Liability Reserve 73700000 49110 800,000

CC Regular Meeting

AGENDA ITEM REPORT
ITEM NO. CC 6
Meeting: February 18, 2025
Title: Seventh Amendment to the Agreement between MRH & Associates and the City of Covina Presented by: Ric Walczak, Chief of Police
Recommendation: Approve the Seventh Amendment to the agreement between MRH & Associates LLC and the City of Covina and authorize the City Manager to execute the amendment.

EXECUTIVE SUMMARY:

The current agreement with MRH & Associates LLC is set to expire on June 30, 2025. This seventh amendment is intended to change the consultants title to “Homeland Security and Emergency Services Coordinator”. It will also extend the agreement to June 30, 2026.

DISCUSSION:

Since October 2018, MRH & Associates (Consultant) has been assisting the City of Covina with emergency operations center training and exercises to ensure the City is able to respond to emergencies and to continue providing services with minimal or no disruption during unusual incidents/events.

The purpose of this request is to align the city and consultant with contemporary security challenges requiring collaboration with Federal Emergency Management Administration (FEMA), Department of Homeland Security (DHS), Federal Bureau of Investigation (FBI) and the Joint Regional Intelligence Center (JRIC). In light of upcoming national events, the title of Homeland Security and Emergency Services Coordinator positions the consultant to participate in National Security classified briefings that may impact the city.

The Homeland Security and Emergency Services Coordinator will report directly to the Covina Chief of Police and liaise with the Los Angeles County Fire Department.

The current Covina annual city budget for emergency services is $50,000.00 with a consultant hourly rate of $65.00 per hour. The amended request provides four (4) days EOC staffing @ five (5) hours daily, and twenty (20) hours per week. More hours in FY 2025-26 will be worked in the event of an emergency, such as in this year’s wildfire/wind event. The new budget amount of $80,000 will cover this contract cost as well as contingency work. The proposed amendment provides more service hours and aligns the consultant’s experience, with contemporary compensation.

The following scope of services is proposed:

HOMELAND SECURITY
 Maintain active liaison with local, state and federal law enforcement agencies regarding all-hazards incidents, criminal and terrorism intelligence.
 Attend relevant local, state and federal agencies meetings and training sessions.  Remained informed regarding emerging threats and best practices that may impact the city.  Represent the city regionally during upcoming special events requiring coordination and preparedness.  Represent the city during special event planning involving security-related incidents.

 Serve as the city’s representative during classified briefings with the FBI, Joint Terrorism Task Force meetings.
 Liaise with the JRIC to ensure timely intelligence sharing that provides situational awareness to emerging incidents.
 Provide ad hoc briefings to the City Manager, Chief of Police, city elected officials and other directors regarding significant events designated as For Official Use Only (FOUO).  Assist the Chief of Police and Information Technology Section in evaluation and development of a realtime operations center including review of manufactures, emerging technologies, integration platforms and Unmanned Aerial Systems.
 Assist Covina Police Department in delivering community presentations regarding Homeland Security and Emergency Preparedness topics.
 Assist the Covina Police Department in homeland security related training.  Attend appropriate homeland security training as approved by the Chief of Police.

EMERGENCY SERVICES
 Collaborate with all city directors, including Fire and Police personnel in the development and management of the city’s Emergency Operations Center (EOC).  Identify and maintain an updated city-wide EOC Cadre.  Coordinate Standardized Emergency Management System (SEMS) and Incident Command System (ICS) training for all EOC Cadre members and city employees.
 Organize and conduct annual EOC tabletop exercises for EOC Cadre personnel to ensure preparedness and resilience.
 Assist in the development of Event and Incident Action Plans as needed.  Manage the updates of the city’s Emergency Operations Plan (EOP) and associated appendices.  Review the FEMA-required Hazard Mitigation Plan (HAZMIT).  Mentor designated personnel to assume the role of Homeland Security and Emergency Services Coordinator.
 Function as advisor to the Director of Emergency Services (City Manager), Chief of Police and City Attorney during emergency situations.
 Liaise with local, state and federal agencies involved in emergency preparedness and response.  Participate in Area D Disaster Management meetings to enhance regional collaboration.  Attend appropriate emergency preparedness training as approved by the Chief of Police.  Provide ad hoc briefings to the City Manager, Chief of Police, city elected officials and other directors regarding emergency preparedness.

FISCAL IMPACT:

This amendment has no impact on the Fiscal Year 2024-25 general fund. The revised contract cost ($80,000) will be effective July 1, 2025 and included in Fiscal Year 2025-26 budget account 1010-1700-51005.

CEQA (CALIFORNIA ENVIRONMENTAL QUALITY ACT):

Not applicable
Respectfully submitted,

ATTACHMENT A
1 12923/0001/1924106-1

SEVENTH AMENDMENT TO AGREEMENT BETWEEN THE CITY OF COVINA AND

MRH & ASSOCIATES LLC
THIS SEVENTH AMENDMENT is made and entered into as of July 1, 2025 by and between the City of Covina, a California municipal corporation (hereinafter referred to as “City”), and MRH & Associates LLC, a Limited Liability Company (hereinafter referred to as "Consultant"). In consideration of the mutual covenants and conditions set forth herein, the parties agree as follows:

1. This Seventh Amendment is made with the respect to the following facts and purposes:
a. On October 1, 2018, the City and Consultant entered into that certain Professional Services Agreement for Emergency Operations Center training and assistance in the amount of $50,000.
b. On August 20, 2019, The City and Consultant entered into the First Amendments to that certain Professional Services Agreement to extend the term of the agreement to October 1, 2020 and to increase compensation in the amount of $50,000 for a total not-to-exceed Agreement amount of $100,000.
c. On June 2, 2020 the City and Consultant entered into the Second Amendment to that certain Professional Services Agreement to extend the term of agreement to June 30, 2021 and to increase the compensation in the amount of $100,000 for a new total agreement amount not to exceed $200,000 and to amend the Agreement as set forth in the Second Amendment.
d. On July 1 , 2021 the City and Consultant entered into the Third Amendment to that certain Professional Services Agreement to extend the term of agreement to June 30, 2022 and to increase the compensation in the amount of $50,000 for a new total agreement amount not to exceed $250,000 and to amend the Agreement as set forth in the Third Amendment. e. On July 1, 2022 the City and Consultant entered into the Fourth Amendment to extend the term of agreement to June 30, 2003 and to increase the compensation in the amount of 50,000 for a new amout of $300,000 and to amend the Agreement as set forth in the Fouth Amendment.
f. On July 1, 2023 the City and Consultant entered into the Fifth Amendment to extend the term of agreement to June 30, 2024 and to increase the compensation in the amount of $50,000 for a new amout of $350,000 and to amend the Agreement as set forth in the Fifth Amendment.
g. Only July 2, 2024 the City and Consultant entered into a Sixth Amendment to extend the terms of agreement to June 30, 2025 and increase the compensation in the amount of $50,000 for a new amount of $400,000 and to amend the agreement as set forth in the Sixth Amendment.
h. The parties now desire to extent the agreement to June 30, 2026, to increase compensation in the amount of $80,000 for a new total agreement not to exceed $480,000, to

2 12923/0001/1924106-1
amend the scope of service and party representative and to amend this Agreement as set forth in this Seventh Amendment.

2. Section 1 of the Agreement entitled “TERM OF AGREEMENT” is hereby amended to read as follows:
“The term of this Agreement shall be from the Effective Date of July 1, 2025 through June 30, 2026, unless sooner terminated as provided in Section 12 of this Agreement. The City may, upon mutual agreement, extend this Agreement for one (1) additional one year terms.”

3. Paragraph A of Section 2 of the Agreement entitled “COMPENSATION” is hereby amended to read as follows:

A. Compensation. As full compensation for Consultant’s services provided under this Agreement, City shall pay Consultant a sum not to exceed Four Hundred Eighty Thousand Dollars ($480,000) (the “maximum compensation”), based on the hourly rates set forth in the Approved Fee Schedule, attached hereto as Exhibit A. Any terms in Exhibit A, other than the payment rates and schedule of payment, are null and void.”

4. Paragraph A of Section 3 of the Agreement entitled “Scope of Services” is hereby amended to read as follows:

A. Scope of Services. Consultant shall perform the services described in the Scope of Services, attached hereto as Exhibit B. City may request, in writing, changes in the scope of services to be performed. Any changes mutually agreed upon by the parties, and any increase or decrease in compensation, shall be incorporated by written amendments to this Agreement.

5. Paragraph B of Section 3 of the Agreement entitled “Party Representatives” is hereby amended to read as follows:

B. Party Representatives. For the ourposes of this Agreement, the City Representative shall be the Chief of Police, or such other person designated in writing by the Chief of Police (the “City Representatives”). For the purposes of this Agreement, the Consultant Representative shall be Michael R. Hillmann, Homeland Security and Emergency Services Coordinator (the “Consultant Representative”). The Consultant Representative shall directly manage Consultant’s services under this agreement.

Consultatn shall not change the Consultant Representative without City’s prior written approval.

5. Except for the changes specifically set forth herein, all other terms and conditions of the Agreement shall remain in full force and effect.

3 12923/0001/1924106-1
The parties, through their duly authorized representatives, are signing this Seventh Amendment on the date stated in the introductory clause.

City:

City of Covina,
a California municipal corporation
By:

Name: Chris Marcarello
Title: City Manager
ATTEST:

By:

Name: Fabian Velez
Title: Chief Deputy City Clerk
Consultant:

MRH & Associates LLC
A Limited Liability Company
By:

Name: Michael R. Hillmann
Title:

By:

Name:

Title:
(Two signatures of corporate officers required
for corporations under Corporations Code
Section 313, unless corporate documents
authorize only one person to sign this
Agreement on behalf of the corporation.)

4 12923/0001/1924106-1
Exhibit A
Approved Fee Schedule

2. As full compensation for consutaltant’s services provided under this agreement, City shall pay consultant at a rate of $80/hour for work performed

5 12923/0001/1924106-1
Exhibit B
Scope of Services

HOMELAND SECURITY
 Maintain active liaison with local, state and federal law enforcement agencies regarding all-hazards incidents, criminal and terrorism intelligence.  Attend relevant local, state and federal agencies meetings and training sessions.  Remained informed regarding emerging threats and best practices that may impact the city.
 Represent the city regionally during upcoming special events requiring coordination and preparedness.
 Represent the city during special event planning involving security-related incidents.  Serve as the city’s representative during classified briefings with the FBI, Joint Terrorism Task Force meetings.
 Liaise with the JRIC to ensure timely intelligence sharing that provides situational awareness to emerging incidents.
 Provide ad hoc briefings to the City Manager, Chief of Police, city elected officials and other directors regarding significant events designated as For Official Use Only (FOUO).  Assist the Chief of Police and Information Technology Section in evaluation and development of a real-time operations center including review of manufactures, emerging technologies, integration platforms and Unmanned Aerial Systems.  Assist Covina Police Department in delivering community presentations regarding Homeland Security and Emergency Preparedness topics.
 Assist the Covina Police Department in homeland security related training.  Attend appropriate homeland security training as approved by the Chief of Police. 

EMERGENCY SERVICES
 Collaborate with all city directors, including Fire and Police personnel in the development and management of the city’s Emergency Operations Center (EOC).  Identify and maintain an updated city-wide EOC Cadre.  Coordinate Standardized Emergency Management System (SEMS) and Incident Command System (ICS) training for all EOC Cadre members and city employees.  Organize and conduct annual EOC tabletop exercises for EOC Cadre personnel to ensure preparedness and resilience.
 Assist in the development of Event and Incident Action Plans as needed.  Manage the updates of the city’s Emergency Operations Plan (EOP) and associated appendices.
 Review the FEMA-required Hazard Mitigation Plan (HAZMIT).

6 12923/0001/1924106-1
 Mentor designated personnel to assume the role of Homeland Security and Emergency Services Coordinator.
 Function as advisor to the Director of Emergency Services (City Manager), Chief of Police and City Attorney during emergency situations.
 Liaise with local, state and federal agencies involved in emergency preparedness and response.
 Participate in Area D Disaster Management meetings to enhance regional collaboration.  Attend appropriate emergency preparedness training as approved by the Chief of Police.  Provide ad hoc briefings to the City Manager, Chief of Police, city elected officials and other directors regarding emergency preparedness.

CC Regular Meeting

AGENDA ITEM REPORT
ITEM NO. CC 7
Meeting: February 18, 2025
Title: Badillo Street Resurfacing Project – Project No. P2506 – Award of Contract to Gentry Brothers, Inc. in the Amount of $649,950
Presented by: Rafael M. Fajardo, Director of Public Works/City Engineer Recommendation: 1. Approve plans and specifications for the Badillo Street Resurfacing Project – Project No. P2506;

2. Award a contract for the Badillo Street Resurfacing Project – Project No. P2506 to Gentry Brothers, Inc. as the lowest responsive and responsible bidder in the amount of $649,950 and authorize the City Manager to execute the contract;

3. Award a Professional Services Agreement (PSA) to CEJ Engineers, Inc. for Construction Management and Inspection Services for an amount not-to-exceed $135,200 and authorize the City Manager to execute the agreement;

4. Award a Professional Services Agreement (PSA) to Willdan Engineering for Pavement Analysis & Testing for an amount not-to-exceed $25,000 and authorize the City Manager to execute the agreement; and

5. Authorize a contingency amount of $120,000 for any unforeseen construction expenses.

EXECUTIVE SUMMARY:

As part of the City’s Fiscal Year 2024-25 Capital Improvement Program, the City Council approved the Badillo Street Resurfacing Project. The project objective is to replace existing, worn-out pavement, sidewalk repairs, traffic striping, and the improvement of other appurtenances. The project will rehabilitate approximately 0.5 miles of arterial roadway along West Badillo Street from Lark Ellen Avenue to Azusa Avenue.

Following a public bidding process, it has been determined that the lowest responsive and responsible bidder for the project is Gentry Brothers, Inc. As such, it is recommended that a contract (Attachment A) be awarded for the Badillo Street Resurfacing Project to Gentry Brothers, Inc. as the lowest responsive and responsible bidder in the amount of $649,950 and authorize the City Manager to execute the contract. Construction improvements are expected to commence in March 2025.

DISCUSSION:

A Notice Inviting Bids was published in the San Gabriel Valley Examiner on Thursday, January 16th, January 23rd, and January 30th, 2025.

Sealed bids were accepted in the Office of the City Clerk until 10:00 am on Tuesday, February 4, 2025. Beginning at 10:00 a.m. on February 4, 2025, the City Clerk publicly opened five (5) sealed bids with the following results:

Rank Bidder Location Base Bid Amount
1 Gentry Brothers, Inc. Irwindale, CA $649,950
2 Vance Corporation Beaumont, CA $724,241.30
3 Hardy & Harper, Inc. Lake Forest, CA $789,000
4 Onyx Paving Company, Inc. Anaheim, CA $802,000
5 All American Asphalt Baldwin Park, CA $816,899

City staff has reviewed all bid documents for compliance and evaluated the contractor’s professional background and recently completed projects for competency. As a result, City staff recommends an award of contract to the lowest responsive and responsible bidder, Gentry Brothers, Inc., given that this firm has completed major road reconstruction projects for several public agencies in southern California including the City of Covina’s Citrus Avenue Rehabilitation Project, Rowland Avenue Resurfacing Project, Covina Heights Paving Project, and Barranca Avenue/Cienega Avenue Street Resurfacing Projects.

FISCAL IMPACT:

The Badillo Street Resurfacing Project was included in the adopted Fiscal Year 2024-25 Capital Improvement Program as follows:

Project Funds Amount Allocated Account
RMRA $1,300,000 2310-2200-55310-P2506
Grand Total $1,300,000

PROJECT EXPENSES
Description Amount
Contract Base Bid (Gentry Brothers) $649,950
Contingency Allowance $120,000
Project Subtotal $769,950
Construction Management and Inspection Services (CEJ Engineers, Inc.) $135,200 Pavement Analysis & Testing (Willdan Engineering) $25,000 Total Project Fiscal Impact $930,150
CEQA (CALIFORNIA ENVIRONMENTAL QUALITY ACT):

This project has been determined to be categorically exempt under CEQA in accordance with Title 14, Chapter 3, Class 1, Sections 15301 and 15302. This exemption includes the minor alteration of existing public facilities involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination.

The project involves negligible or no expansion of an existing use.

Respectfully submitted,

ATTACHMENT A

CONTRACT

CITY OF COVINA CONTRACT FOR
BADILLO STREET RESURFACING PROJECT – PROJECT NO. P2506
THIS CONTRACT (“Contract”) is made and entered this 18th day of February, 2025 (“Effective Date”), by and between the CITY OF COVINA, a California municipal corporation (“City”) and Gentry Brothers, Inc a California corporation (“Contractor”). Contractor’s California State Contractor’s license number is 397682; Class A. Contractor’s DIR registration number is 10000002240.

In consideration of the mutual covenants hereinafter set forth, the parties hereto agree as follows:

1. Contract Documents. The Contract Documents consist of this Contract, the Notice Inviting Bids, Instructions to Bidders, Bid (including documentation accompanying the Bid and any postBid documentation submitted before the Notice of Award), the Bonds, permits from regulatory agencies with jurisdiction, General Provisions, Special Provisions, Plans, Standard Plans, Standard Specifications, Reference Specifications, Addenda, Change Orders, and Supplemental Agreements. The Contract Documents are attached hereto and incorporated herein by reference.

In the event of any conflict between the terms of this Contract and any incorporated documents, the terms of this Contract shall control.

2. Scope of Services. Contractor shall perform the Work in a good and workmanlike manner for the project identified as Badillo Street Resurfacing Project – Project No. P2506 (“Project”), as described in this Contract and in the Contract Documents.

3. Compensation. In consideration of the services rendered hereunder, City shall pay Contractor an amount not to exceed Six Hundred and Forty-Nine Thousand Nine Hundred and Fifty Dollars ($649,950) in accordance with the prices as submitted in the Bid, attached hereto as Exhibit “A” and incorporated herein by this reference.

4. Incorporation by Reference. All of the following documents are attached hereto and incorporated herein by this reference: Workers’ Compensation Certificate of Insurance, Additional Insured Endorsement (Comprehensive General Liability), Additional Insured Endorsement (Automobile Liability), and Additional Insured Endorsement (Excess Liability).

5. Antitrust Claims. In entering into this Contract, Contractor offers and agrees to assign to City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. § 15) or under the Cartwright Act (Cal. Bus. & Prof. Code, § 16700 et seq.) arising from purchases of goods, services, or materials pursuant to the Contract. This assignment shall be made and become effective at the time City tenders final payment to Contractor without further acknowledgment by the parties.

6. Prevailing Wages. City and Contractor acknowledge that the Project is a public work to which prevailing wages apply.

7. Workers’ Compensation. California Labor Code Sections 1860 and 3700 provide that every contractor will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, by signing this Contract, the Contractor certifies as follows:

“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the Work of this Contract.”

8. Trenches and Other Excavations. If this Project involves the digging trenches or other excavations that will extend deeper than four (4) feet below the surface, Contractor shall promptly, and before the following conditions are disturbed, notify City, in writing, of any: (1) material that Contractor believes may be material that is hazardous waste, as defined in Section 25117 of the Health and Safety Code, that is required to be removed to a Class I, Class II, or Class III disposal site in accordance with provisions of existing law; (2) subsurface or latent physical conditions at the site differing from those indicated by information about the site made available to proposers prior to the deadline for submitting proposals; and (3) unknown physical conditions at the site of any unusual nature, different materially from those ordinarily encountered and generally recognized as inherent in work of the character provided for in this Contract.

9. Titles. The titles used in this Contract are for convenience only and shall in no way define, limit or describe the scope or intent of this Contract or any part of it.

10. Authority. Any person executing this Contract on behalf of Contractor warrants and represents that he or she has the authority to execute this Contract on behalf of Contractor and has the authority to bind Contractor to the performance of its obligations hereunder.

11. Entire Agreement. This Contract, including the Contract Documents and any other documents incorporated herein by specific reference, represents the entire and integrated agreement between City and Contractor. This Contract supersedes all prior oral or written negotiations, representations or agreements. This Contract may not be modified or amended, nor any provision or breach waived, except in a writing signed by both parties that expressly refers to this Contract.

12. Counterparts. This Contract may be executed in counterpart originals, duplicate originals, or both, each of which is deemed to be an original for all purposes.

IN WITNESS WHEREOF, the parties hereto have executed the Contract the day and year first above written.
[SIGNATURE PAGE FOLLOWS]

CITY OF COVINA
By:

City Manager
ATTEST:

By:

Chief Deputy City Clerk
Dated:
(“CONTRACTOR”)
By:

Printed Name:

Title:

By:

Printed Name:

Title:

EXHIBIT A

EXHIBIT B

PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS that:

WHEREAS the City of Covina (“City”), has awarded to
(“Principal”)
(Name and address of Contractor)
a contract (the “Contract”) for the Work described as follows:

BADILLO STREET RESURFACING PROJECT – PROJECT NO. P2506
(Project Description/ Name)
WHEREAS, Principal is required under the terms of the Contract to furnish a Bond for the faithful performance of the Contract.

NOW, THEREFORE, we, the undersigned Principal, and

(Name and address of Surety)
(“Surety”) a duly admitted surety insurer under the laws of the State of California, as Surety, are held and firmly bound unto the City in the penal sum of
Dollars ($ ), this
amount being not less than the total Contract Price, in lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors executors and administrators, jointly and severally, firmly by these presents.

THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if the hereby bounded Principal, his, her or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the Contract and any alteration thereof made as therein provided, on the Principal’s part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise, it shall be and remain in full force and effect.

As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorneys’ fees, incurred by City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. Surety hereby waives any statute of limitations as it applies to an action on this Bond.

The Surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract or of the Work to be performed thereunder or the specifications accompanying the same shall in anywise affect its obligations under this Bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract or to the Work or to the specifications.

Surety hereby waives the provisions of California Civil Code Sections 2845 and 2849. The City is the principal beneficiary of this Bond and has all rights of a party hereto.

IN WITNESS WHEREOF, two (2) identical counterparts of this instrument, each of which shall for all purposes be deemed an original hereof, have been duly executed by Principal and Surety, on the date set forth below, the name of each corporate party being hereto affixed and these presents duly signed by its undersigned representative(s) pursuant to authority of its governing body.

Dated:
“Principal”
By:

Its
By:

Its
(Seal)
“Surety”
By:

Its
By:

Its
(Seal)
Note: This Bond must be executed in duplicate and dated, all signatures must be notarized, and evidence of the authority of any person signing as attorney-in-fact must be attached. DATE OF BOND MUST NOT BE BEFORE DATE OF CONTRACT. IF CONTRACTOR IS A PARTNERSHIP, ALL PARTNERS MUST EXECUTE BOND. DATE OF BOND MUST NOT BE PRIOR TO DATE OF CONTRACT. Surety companies executing Bonds must appear on the Treasury Department’s most current list (Circular 570 as amended) and be authorized to transact business in the State where the project is located.

EXHIBIT C

PAYMENT BOND
(LABOR AND MATERIALS)
KNOW ALL PERSONS BY THESE PRESENTS that:

WHEREAS the City of Covina (“City”), has awarded to
(“Principal”)
(Name and address of Contractor)
a contract (the “Contract”) for the Work described as follows:

BADILLO STREET RESURFACING PROJECT – PROJECT NO. P2506
(Project Description/Name)
WHEREAS, under the terms of the Contract, the Principal is required before entering upon the performance of the Work, to file a good and sufficient payment Bond with the City to secure the claims to which reference is made in Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code.

NOW, THEREFORE, we, the undersigned Principal, and
(Name and address of Surety)
(“Surety”) a duly admitted surety insurer under the laws of the State of California, as Surety, are held and firmly bound unto the City and all contractors, subcontractors, laborers, material suppliers, and other persons employed in the performance of the Contract and referred to in Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code in the penal sum of Dollars
($ ), for materials furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to this Work or labor, that the Surety will pay the same in an amount not exceeding the amount hereinabove set forth, and also in case suit is brought upon this Bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees, including reasonable attorneys’ fees, incurred by City in successfully enforcing this obligation, to be awarded and fixed by the court, and to be taxed as costs and to be included in the judgment therein rendered.

It is hereby expressly stipulated and agreed that this Bond shall inure to the benefit of any and all persons, companies, and corporations entitled to file claims under Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this Bond.

Upon expiration of the time within which the California Labor Commissioner may serve a civil wage and penalty assessment against the principal, any of its subcontractors, or both the principal and its subcontractors pursuant to Labor Code Section 1741, and upon expiration of the time within which a joint labor management committee may commence an action against the principal, any of its subcontractors, or both the principal and its subcontractors pursuant to Labor Code Section 1771.2, if the condition of this Bond be fully performed, then this obligation shall become null and void, otherwise it shall be and remain in full force and effect.

The Surety hereby stipulates and agrees that no change, extension of time, alteration, or addition to the

terms of the Contract or the Specifications accompanying the same shall in any manner affect its obligations on this Bond, and it does hereby waive notice of any such change, extension, alteration or addition.

IN WITNESS WHEREOF, two (2) identical counterparts of this instrument, each of which shall for all purposes be deemed an original hereof, have been duly executed by Principal and Surety, on the date set forth below, the name of each corporate party being hereto affixed and these presents duly signed by its undersigned representative(s) pursuant to authority of its governing body.

Dated:
“Principal”
By:

Its
By:

Its
(Seal)
“Surety”
By:

Its
By:

Its
(Seal)
Note: This Bond must be executed in duplicate and dated, all signatures must be notarized, and evidence of the authority of any person signing as attorney-in-fact must be attached. DATE OF BOND MUST NOT BE BEFORE DATE OF CONTRACT. IF CONTRACTOR IS A PARTNERSHIP, ALL PARTNERS MUST EXECUTE BOND. DATE OF BOND MUST NOT BE PRIOR TO DATE OF CONTRACT. Surety companies executing Bonds must appear on the Treasury Department’s most current list (Circular 570 as amended) and be authorized to transact business in the State where the project is located.

ATTACHMENT B

City of Covina
Public Works Department - Engineering DivisionBadillo Street Resurfacing Project - Project No. P2506 Item Description Quantity Unit Unit Price Total Unit Price Total Unit Price Total Unit Price Total Unit Price Total 1 Mobilization, Clearing & Grubing (5% maximum of Total Bid Price) 1 LS 25,000.00 $ 25,000.00 $ 35,487.82 $ 35,487.82 $ 15,750.00 $ 15,750.00 $ 28,000.00 $ 28,000.00 $ 39,999.00 $ 39,999.00 $ 2 NPDES/SWPPP/BMP's 1 LS 5,000.00 $ 5,000.00 $ 8,170.84 $ 8,170.84 $ 7,350.00 $ 7,350.00 $ 6,000.00 $ 6,000.00 $ 8,000.00 $ 8,000.00 $ 3 Traffic Control 1 LS 25,000.00 $ 25,000.00 $ 19,327.59 $ 19,327.59 $ 80,524.00 $ 80,524.00 $ 101,000.00 $ 101,000.00 $ 43,500.00 $ 43,500.00 $ 4 Adjust Existing Manhole Frame and Cover To Finished Surface 29 EA 800.00 $ 23,200.00 $ 1,298.10 $ 37,644.90 $ 1,210.00 $ 35,090.00 $ 1,111.00 $ 32,219.00 $ 1,500.00 $ 43,500.00 $ 5 Adjust Existing Valve Frame and Cover to Finish Surface 18 EA 125.00 $ 2,250.00 $ 46.93 $ 844.74 $ 52.00 $ 936.00 $ 444.00 $ 7,992.00 $ 1,300.00 $ 23,400.00 $ 6 Cold Mill Existing AC Pavement To a Depth of 3" 157,000 SF 0.50 $ 78,500.00 $ 0.28 $ 43,960.00 $ 0.50 $ 78,500.00 $ 0.44 $ 69,080.00 $ 0.44 $ 69,080.00 $ 7 Remove Existing A.C Pavement, Base Material & Subgrade to a depth of 6". Construct 6" A.C Pavement SF 4.00 4,000 $ 16,000.00 $ 6.80 $ 27,200.00 $ 11.00 $ 44,000.00 $ 8.25 $ 33,000.00 $ 9.25 $ 37,000.00 $ 8 Construct 1" AC Leveling Course D-PG 64-10 990 TON 100.00 $ 99,000.00 $ 122.07 $ 120,849.30 $ 125.00 $ 123,750.00 $ 123.00 $ 121,770.00 $ 132.00 $ 130,680.00 $ 9 Construct 2" ARHM GG-C Pavement Overlay 2,000 TON 120.00 $ 240,000.00 $ 135.44 $ 270,880.00 $ 136.00 $ 272,000.00 $ 137.00 $ 274,000.00 $ 140.00 $ 280,000.00 $ 10 Remove and Construct 4" P.C.C Sidewalk per SPPWC Std. Plan No. 112-2 & 113-2. SF 10.00 2,600 $ 26,000.00 $ 19.69 $ 51,194.00 $ 10.50 $ 27,300.00 $ 12.00 $ 31,200.00 $ 14.00 $ 36,400.00 $ 11 Remove and Construct ADA Curb Ramp per SPPWC Std. Plan No. 111-5 Case and Type per Plan EA 10,000.00 6 $ 60,000.00 $ 10,853.55 $ 65,121.30 $ 9,980.00 $ 59,880.00 $ 8,200.00 $ 49,200.00 $ 10,300.00 $ 61,800.00 $ 12 Furnish and Install Traffic Loop Detector 36 EA 500.00 $ 18,000.00 $ 529.19 $ 19,050.84 $ 470.00 $ 16,920.00 $ 555.00 $ 19,980.00 $ 475.00 $ 17,100.00 $ 13 Install Thermoplastic Striping and Pavement Markings to Match Existing in Kind LS 32,000.00 1 $ 32,000.00 $ 24,509.97 $ 24,509.97 $ 27,000.00 $ 27,000.00 $ 28,559.00 $ 28,559.00 $ 26,440.00 $ 26,440.00 $ Total $ 724,241.30 649,950.00 $ 789,000.00 $ $ 802,000.00 $ 816,899.00 All American Asphalt
Bid Submission Deadline - February 4, 2025 at 10:00 am Base Bid Gentry Brothers, Inc. Vance Corporation Hardy & Harper, Inc. Onyx Paving Company, Inc

ATTACHMENT C

ATTACHMENT D

PROFESSIONAL SERVICES AGREEMENT
This Professional Services Agreement (“Agreement”) is dated February 18, 2025 (“Effective Date”) and is between the City of Covina, a California municipal corporation (“City”) and CEJ Engineers, Inc., a California corporation (“Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

RECITALS
A. City desires to utilize the services of Consultant as an independent contractor to provide Construction Management and Inspection Services for the Badillo Street Resurfacing Project – Project No. P2506.

B. Consultant represents that it is fully qualified to perform such services by virtue of its experience and the training, education and expertise of its principals and employees.

C. City desires to retain Consultant and Consultant desires to serve City to perform these services in accordance with the terms and conditions of this Agreement.

The parties therefore agree as follows:

1. Term of Agreement. The term of this Agreement shall be from the Effective Date through December 31, 2025, unless sooner terminated as provided in Section 14 of this Agreement.

2. Compensation.

A. Compensation. As full compensation for Consultant’s services provided under this Agreement, City shall pay Consultant a sum not to exceed One Hundred and Thirty Five Thousand Two Hundred Dollars ($135,200) (the “maximum compensation”), based on the hourly rates set forth in the Approved Fee Schedule, attached hereto as Exhibit A. Any terms in Exhibit A, other than the payment rates and schedule of payment, are null and void.

B. Expenses. The amount set forth in paragraph A shall include reimbursement for all actual and necessary expenditures reasonably incurred in the performance of this Agreement.

C. Additional Services. City shall not allow any claims for additional services performed by Consultant, unless the City Council and the Consultant Representative authorize the additional services in writing prior to Consultant’s performance of the additional services or incurrence of additional expenses. Any additional services or expenses authorized by the City Council shall be compensated at the rates set forth in Exhibit A, or, if not specified, at a rate mutually agreed to by the parties. City shall make payment for additional services and expenses in accordance with Section 4 of this Agreement.

3. Consultant’s Services.

A. Scope of Services. Consultant shall perform the services described in the Scope of Services, attached as Exhibit A. City may request, in writing, changes in the scope of services to be performed. Any changes mutually agreed upon by the parties, and any increase or decrease in compensation, shall be incorporated by written amendments to this Agreement.

B. Party Representatives. For the purposes of this Agreement, the City Representative shall be the City Manager, or such other person designated in writing by the City Manager (the “City Representative”). For the purposes of this Agreement, the Consultant Representative shall be Joaquin Cervantes, Principal (the “Consultant Representative”). The Consultant Representative shall directly manage Consultant’s services under this Agreement. Consultant shall not change the Consultant Representative without City’s prior written consent.

C. Time for Performance. Consultant shall commence the services on the Effective Date and shall perform all services by the deadline established by the City Representative or, if no deadline is established, with reasonable diligence.

D. Standard of Performance. Consultant shall perform all services under this Agreement in accordance with the standard of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City.

E. Personnel. Consultant has, or will secure at its own expense, all personnel required to perform the services required under this Agreement. All of the services required under this Agreement shall be performed by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to perform such services. Consultant shall determine the means, methods, and details by which Consultant’s personnel will perform the services under this Agreement. Consultant shall be solely responsible for the satisfactory work performance of all personnel engaged in performing the services and compliance with the customary professional standards.

F. Compliance with Laws. The Consultant shall keep itself informed of all local, state and federal ordinances, laws and regulations which in any manner affect those employed by it or in any way affect the performance of its service pursuant to this Agreement. The Consultant shall at all times observe and comply with all such ordinances, laws and regulations. The City and its agents shall not be liable at law or in equity occasioned by failure of the Consultant to comply with G. Permits and Licenses. Consultant shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of services under this Agreement, including a business license.

4. Method of Payment.

A. Invoices. Consultant shall submit to City an invoice, on a monthly basis or less frequently, for actual services performed pursuant to this Agreement. Each invoice shall itemize the services rendered during the billing period, hourly rates charged, if applicable, and the amount due. If City disputes any of Consultant's fees, it shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth on the invoice.

B. Payment. City shall pay all undisputed invoice amounts within thirty (30) calendar days after receipt up to the maximum compensation set forth in Section 2 of this Agreement. City shall not withhold federal payroll, state payroll or other taxes, or other similar deductions, from payments made to Consultant. For all reimbursements authorized by this Agreement, Consultant shall provide receipts on all reimbursable expenses in excess of Fifty Dollars ($50) in such form as approved by the Administrative Services Director.

C. Audit of Records. Consultant shall make all records, invoices, time cards, cost control sheets and other records maintained by Consultant in connection with this agreement available during Consultant’s regular working hours to City for review and audit by City.

5. Ownership of Documents. Upon completion of, or in the event of termination or suspension of this Agreement, all original documents, designs, drawings, maps, models, computer files containing data generated for the work, surveys, notes, and other documents prepared in the course of providing the services to be performed (“written products”) pursuant to this Agreement shall become the sole property of the City without restriction or limitation upon its use and may be used, reused, disseminated or otherwise disposed of by the City without the permission of the Consultant. With respect to computer files containing data generated for the work, Consultant shall make available to the City, upon reasonable written request by the City, the necessary computer software and hardware for purposes of accessing, compiling, transferring and printing computer files. Consultant may take and retain copies of the written products as desired, but the written products shall not be the subject of a copyright application by Consultant.

6. Independent Contractor.

A. Consultant is, and shall at all times remain as to City, a wholly independent contractor and not an employee of City. The personnel performing the services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City. Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees. Consultant shall not, at any time, or in any manner, represent that it or any of its officers, agents or employees are in any manner employees of City. Consultant and Consultant’s personnel shall not supervise any of City’s employees; and City’s employees shall not supervise Consultant’s personnel. Consultant’s personnel shall not wear or display any City uniform, badge, identification number, or other information identifying such individual as an employee of City; and Consultant’s personnel shall not use any City e-mail address or City telephone number in the performance of any of the services under this Agreement. Consultant shall acquire and maintain, at its sole cost and expense, such vehicles, equipment, and supplies as Consultant’s personnel require to perform any of the services required by this Agreement. Consultant shall perform the services off of City premises at locations of Consultant’s choice, except as otherwise may from time to time be necessary in order for Consultant’s personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant’s performance of the services under this Agreement, or as may be necessary to inspect or visit City locations and/or private property to perform the services.

City may make a computer available to Consultant from time to time for Consultant’s personnel to obtain information about or to check on the status of projects pertaining to the services under this Agreement.

B. No employee benefits shall be available to Consultant in connection with the performance of this Agreement. Except for the fees paid to Consultant as provided in the Agreement, City shall not pay salaries, wages, or other compensation to Consultant for performing services hereunder for City. City shall not be liable for compensation or indemnification to Consultant for injury or sickness arising out of performing services hereunder. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant’s personnel in connection with their performance of the services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such

additional personnel, including, but not limited to: Social Security taxes, other retirement or pension benefits, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. Notwithstanding any other agency, state, or federal policy, rule, regulation, statute or ordinance to the contrary, Consultant and any of its officers, employees, agents, and subcontractors providing any of the services under this Agreement shall not become entitled to, and hereby waive any claims to, any wages, salaries, compensation, benefit or any incident of employment by City, including, but not limited to, eligibility to enroll in, or reinstate to membership in, the California Public Employees Retirement System (“PERS”) as an employee of City, and entitlement to any contribution to be paid by City for employer contributions or employee contributions for PERS benefits.

C. Consultant shall indemnify and hold harmless City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs, and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s personnel practices. or to the extent arising from, caused by, or relating to the violation of any of the provisions of this Section

6. In addition to all other remedies available under law, City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Section 6. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify, and hold harmless as set forth in any other provision of this Agreement.

7. PERS Compliance and Indemnification.

A. General Requirements. The parties acknowledge that City is a local agency member of PERS, and as such has certain pension reporting and contribution obligations to PERS on behalf of qualifying employees. Consultant agrees that, in providing its employees and any other personnel to City to perform the services under this Agreement, Consultant shall assure compliance with the Public Employees’ Retirement Law, commencing at Government Code Section 20000, the regulations of PERS, and the Public Employees’ Pension Reform Act of 2013, as amended. Without limitation to the foregoing, Consultant shall assure compliance with regard to personnel who have active or inactive membership in PERS and to those who are retired annuitants and in performing this Agreement shall not assign or utilize any of its personnel in a manner that will cause City to be in violation of the applicable retirement laws and regulations.

B. Indemnification. Consultant shall defend (with legal counsel approved by City, whose approval shall not be unreasonably withheld), indemnify, and hold harmless City, and its City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs, and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s violation of any provisions of this Section 7. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify, and hold harmless as set forth in any other provision of this Agreement.

8. Confidentiality. All data, documents, discussion, or other information (collectively “data”) developed or received by Consultant or provided for performance of this Agreement are deemed confidential. Consultant shall keep all data confidential and shall not disclose any data to any person or entity without City’s prior written consent. City shall grant such consent if

disclosure is legally required. Consultant shall return all data to City upon the expiration or termination of this Agreement. Consultant’s covenant under this Section 8 shall survive the expiration or termination of this Agreement.

9. Conflicts of Interest. Consultant and its officers, employees, associates and subcontractors, if any, shall comply with all conflict of interest statutes of the State of California applicable to Consultant’s services under this Agreement, including the Political Reform Act (Gov.

Code, § 81000 et seq.) and Government Code Section 1090. During the term of this Agreement, Consultant may perform similar services for other clients, but Consultant and its officers, employees, associates and subcontractors shall not, without the City Representative’s prior written approval, perform work for another person or entity for whom Consultant is not currently performing work that would require Consultant or one of its officers, employees, associates or subcontractors to abstain from a decision under this Agreement pursuant to a conflict of interest statute. Consultant shall incorporate a clause substantially similar to this Section 9 into any subcontract that Consultant executes in connection with the performance of this Agreement.

10. Indemnification.

A. Indemnity for Design Professional Services. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, indemnify and hold harmless City and its elected officials, officers, attorneys, agents, employees, designated volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively “Indemnitees”), from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, liens and losses of any nature whatsoever, including fees of accountants, attorneys or other professionals, and all costs associated therewith, and reimbursement of attorney’s fees and costs of defense (collectively “Liabilities”), whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to, in whole or in part, the negligence, recklessness or willful misconduct of Consultant, its officers, agents, servants, employees, subcontractors, material men, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of design professional services under this Agreement by a “design professional,” as the term is defined under California Civil Code Section 2782.8(c)(2).

B. Other Indemnities.
1) Other than in the performance of design professional services, and to the fullest extent permitted by law, Consultant shall, at its sole cost and expense, defend, hold harmless and indemnify the Indemnitees from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, liens and losses of any nature whatsoever, including fees of accountants, attorneys or other professionals, and all costs associated therewith, and the payment of all consequential damages (collectively “Claims”), in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Claims arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the parties. Consultant shall defend the Indemnitees in any action or actions filed in connection with any Claim with counsel of the

Indemnitees’ choice, and shall pay all costs and expenses, including all attorneys’ fees and experts’ costs actually incurred in connection with such defense. Consultant shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith.
2) Consultant shall pay all required taxes on amounts paid to Consultant under this Agreement, and indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Consultant shall fully comply with the workers’ compensation law regarding Consultant and Consultant’s employees. Consultant shall indemnify and hold City harmless from any failure of Consultant to comply with applicable workers’ compensation laws.

City may offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Subparagraph B. 2). 3) Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 10 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Claims in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant’s subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant’s subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Claims arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the parties.

C. Workers’ Compensation Acts not Limiting. Consultant’s obligations under this Section 10, or any other provision of this Agreement, shall not be limited by the provisions of any workers’ compensation act or similar act. Consultant expressly waives its statutory immunity under such statutes or laws as to City, its officers, agents, employees and volunteers.

D. Insurance Requirements not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. This hold harmless and indemnification provisions in this Section 10 shall apply regardless of whether or not any insurance policies are determined to be applicable to the Liability, Claim, tax, assessment, penalty or interest asserted against City.

E. Survival of Terms. The indemnification in this Section 10 shall survive the expiration or termination of this Agreement.

11. Insurance.

A. Minimum Scope and Limits of Insurance. Consultant shall procure and at all times during the term of this Agreement carry, maintain, and keep in full force and effect, insurance as follows:

1) Commercial General Liability Insurance with a minimum limit of Two Million Dollars ($2,000,000) per occurrence for bodily injury, personal injury and property damage and a general aggregate limit of Four Million Dollars ($4,000,000) per project or location.

If Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds.
2) Automobile Liability Insurance for any owned, non-owned or hired vehicle used in connection with the performance of this Agreement with a combined single limit of Two Million Dollars ($2,000,000) per accident for bodily injury and property damage. If Consultant does not use any owned, non-owned or hired vehicles in the performance of services under this Agreement, Consultant shall obtain a non-owned auto endorsement to the Commercial General Liability policy required under Subparagraph A. 1) of this Section 11. 3) Workers’ Compensation Insurance as required by the State of California and Employer’s Liability Insurance with a minimum limit of One Million Dollars ($1,000,000) per accident for bodily injury or disease. If Consultant has no employees while performing services under this Agreement, workers’ compensation policy is not required, but Consultant shall provide an executed declaration that it has no employees. 4) Professional Liability Insurance with minimum limits of Two Million Dollars ($2,000,000) per claim and in aggregate.

B. Acceptability of Insurers. The insurance policies required under this Section 11 shall be issued by an insurer admitted to write insurance in the State of California with a rating of A:VII or better in the latest edition of the A.M. Best Insurance Rating Guide. Self-insurance shall not be considered to comply with the insurance requirements under this Section 11.

C. Additional Insured. The commercial general and automobile liability policies shall contain an endorsement naming the City, its officers, employees, agents and volunteers as additional insureds.

D. Primary and Non-Contributing. The insurance policies required under this Section 11 shall apply on a primary non-contributing basis in relation to any other insurance or selfinsurance available to City. Any insurance or self-insurance maintained by City, its officers, employees, agents or volunteers, shall be in excess of Consultant’s insurance and shall not contribute with it.

E. Consultant’s Waiver of Subrogation. The insurance policies required under this Section 11 shall not prohibit Consultant and Consultant’s employees, agents or subcontractors from waiving the right of subrogation prior to a loss. Consultant hereby waives all rights of subrogation against City.

F. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be approved by City. At City’s option, Consultant shall either reduce or eliminate the deductibles or self-insured retentions with respect to City, or Consultant shall procure a bond guaranteeing payment of losses and expenses.

G. Cancellations or Modifications to Coverage. Consultant shall not cancel, reduce or otherwise modify the insurance policies required by this Section 11 during the term of this Agreement. The commercial general and automobile liability policies required under this Agreement shall be endorsed to state that should the issuing insurer cancel the policy before the expiration date, the issuing insurer will endeavor to mail thirty (30) calendar days’ prior written notice to City. If any insurance policy required under this Section 11 is canceled or reduced in coverage or limits, Consultant shall, within two (2) business days of notice from the insurer, phone, fax or notify City via certified mail, return receipt requested, of the cancellation of or changes to the policy.

H. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section 11 in full force and effect during the term of this Agreement, or in the event any of Consultant’s policies do not comply with the requirements under this Section 11, City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may, but has no duty to, take out the necessary insurance and pay, at Consultant’s expense, the premium thereon. Consultant shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant.

I. Evidence of Insurance. Prior to the performance of services under this Agreement, Consultant shall furnish City’s Risk Manager with a certificate or certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section 11. The endorsements are subject to City’s approval. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant shall maintain current endorsements on file with City’s Risk Manager. Consultant shall provide proof to City’s Risk Manager that insurance policies expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Consultant shall furnish such proof at least two (2) weeks prior to the expiration of the coverages.

J. Indemnity Requirements not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant’s liability or as full performance of Consultant’s duty to indemnify City under Section 10 of this Agreement.

K. Subcontractor Insurance Requirements. Consultant shall require each of its subcontractors that perform services under this Agreement to maintain insurance coverage that meets all of the requirements of this Section 11.

12. Mutual Cooperation.

A. City’s Cooperation. City shall provide Consultant with all pertinent data, documents and other requested information as is reasonably available for Consultant’s proper performance of the services required under this Agreement.

B. Consultant’s Cooperation. In the event any claim or action is brought against the City relating to Consultant’s performance or services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires.

13. Records and Inspections. Consultant shall maintain full and accurate records with respect to all matters covered under this Agreement for a period of five (5) years. Consultant shall, without

charge, provide City with access to the records during normal business hours. City may examine and audit the records and make transcripts therefrom, and inspect all program data, documents, proceedings and activities.

14. Termination or Suspension of Agreement.

A. Right to Terminate or Suspend. City may terminate or suspend this Agreement at any time, at will, for any reason or no reason, after giving written notice to Consultant at least seven (7) calendar days before the termination or suspension is to be effective. Consultant may terminate this Agreement at any time, at will, for any reason or no reason, after giving written notice to City at least sixty (60) calendar days before the termination is to be effective.

B. Obligations upon Termination. Consultant shall cease all work under this Agreement on or before the effective date of termination specified in the notice of termination. In the event of City’s termination of this Agreement due to no fault or failure of performance by Consultant, City shall pay Consultant based on the percentage of work satisfactorily performed up to the effective date of termination. In no event shall Consultant be entitled to receive more than the amount that would be paid to Consultant for the full performance of the services required by this Agreement.

15. Force Majeure. Consultant shall not be liable for any failure to perform its obligations under this Agreement if Consultant presents acceptable evidence, in City’s sole judgment, that such failure was due to strikes, lockouts, labor disputes, embargoes, acts of God, inability to obtain labor or materials or reasonable substitutes for labor or materials, governmental restrictions, governmental regulations, governmental controls, judicial orders, enemy or hostile governmental action, civil commotion, fire or other casualty, or other causes beyond Consultant’s reasonable control and not due to any act by Consultant.

16. Notices. Any notices, consents, requests, demands, bills, invoices, reports or other communications which either party may desire to give to the other party under this Agreement must be in writing and conclusively deemed effective: (a) on personal delivery, (b) on confirmed delivery by reputable document delivery service or courier service during Consultant’s and City's regular business hours, or (c) five business days after deposit in the United States mail, by first class mail, postage prepaid, and addressed to the party to be notified as set forth below:

If to City: If to Consultant:

Attn: Public Works, Engineering Attn: Joaquin Cervantes City of Covina CEJ Engineers, Inc
125 E. College Street 18800 Amar Rd., Suite B13
Covina, California 91723 Walnut, CA 91789

17. Non-Discrimination and Equal Employment Opportunity. In the performance of this Agreement, Consultant shall not discriminate against any employee, subcontractor or applicant for employment because of race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information, sexual orientation or other basis prohibited by law.

Consultant will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment, without regard to their race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry,

age, physical disability, mental disability, medical condition, genetic information or sexual orientation.

18. Prohibition of Assignment and Delegation. Consultant shall not assign any of its rights or delegate any of its duties under this Agreement, either in whole or in part, without City’s prior written consent. City’s consent to an assignment of rights under this Agreement shall not release Consultant from any of its obligations or alter any of its primary obligations to be performed under this Agreement. Any attempted assignment or delegation in violation of this Section 18 shall be void and of no effect and shall entitle City to terminate this Agreement. As used in this Section 18, “assignment” and “delegation” means any sale, gift, pledge, hypothecation, encumbrance or other transfer of all or any portion of the rights, obligations, or liabilities in or arising from this Agreement to any person or entity, whether by operation of law or otherwise, and regardless of the legal form of the transaction in which the attempted transfer occurs.

19. No Third-Party Beneficiaries Intended. Except as otherwise provided in Section 10, this Agreement is made solely for the benefit of the parties to this Agreement and their respective successors and assigns, and no other person or entity may have or acquire a right by virtue of this Agreement.

20. Waiver. No delay or omission to exercise any right, power or remedy accruing to City under this Agreement shall impair any right, power or remedy of City, nor shall it be construed as a waiver of, or consent to, any breach or default. No waiver of any breach, any failure of a condition, or any right or remedy under this Agreement shall be (1) effective unless it is in writing and signed by the party making the waiver, (2) deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy, or (3) deemed to constitute a continuing waiver unless the writing expressly so states.

21. Exhibits. Exhibits A and B constitute a part of this Agreement and are incorporated into this Agreement by this reference. If any inconsistency exists or arises between a provision of this Agreement and a provision of any exhibit, the provisions of this Agreement shall control.

22. Entire Agreement. This Agreement and all exhibits referred to in this Agreement constitute the final, complete and exclusive statement of the terms of the agreement between the parties pertaining to the subject matter of this Agreement and supersede all other prior or contemporaneous oral or written understandings and agreements of the parties. No party has been induced to enter into this Agreement by, nor is any party relying on, any representation or warranty except those expressly set forth in this Agreement.

23. Amendment of Agreement. This Agreement may be amended only by a writing signed by both parties. The City Manager is authorized to sign an amendment to this Agreement on the City Council’s behalf and without the City Council’s prior approval to make the following nonsubstantive modifications to the Agreement: (a) name changes; (b) extensions of time; (c) nonmonetary changes in the scope of work; and (d) termination of the Agreement.

24. Headings. The headings in this Agreement are included solely for convenience of reference and shall not affect the interpretation of any provision of this Agreement or any of the rights or obligations of the parties to this Agreement.

25. Word Usage. Unless the context clearly requires otherwise, (a) the words “shall,” “will” and “agrees” are mandatory and “may” is permissive; (b) “or” is not exclusive; and (c) “includes” or “including” are not limiting.

26. Time of the Essence. Time is of the essence in respect to all provisions of this Agreement that specify a time for performance; provided, however, that the foregoing shall not be construed to limit or deprive a party of the benefits of any grace or use period allowed in this Agreement.

27. Governing Law and Choice of Forum. This Agreement, and any dispute arising from the relationship between the parties to this Agreement, shall be governed by and construed in accordance with the laws of the State of California, except that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be applied in interpreting this Agreement. Any dispute that arises under or relates to this Agreement (whether contract, tort or both) shall be resolved in a municipal, superior or federal court with geographic jurisdiction over the City of Covina.

28. Attorneys’ Fees. In any litigation or other proceeding by which on party seeks to enforce its rights under this Agreement (whether in contract, tort or both) or seeks a declaration of any rights or obligations under this Agreement, the prevailing party shall be shall be awarded reasonable attorneys’ fees together with any costs and expenses, to resolve the dispute and to enforce the final judgment.

29. Severability. If a court of competent jurisdiction holds any provision of this Agreement to be illegal, invalid or unenforceable for any reason, the validity of and enforceability of the remaining provisions of this Agreement shall not be affected and continue in full force and effect.

30. Authority to Execute Agreement. The person or persons executing this Agreement on behalf of Consultant warrants and represents that he or she has the authority to execute this Agreement on behalf of the Consultant and has the authority to bind Consultant to the performance of its obligations hereunder.
[SIGNATURE PAGE FOLLOWS]

The parties, through their duly authorized representatives, are signing this Agreement on the date stated in the introductory clause.

City:

City of Covina,
a California municipal corporation
By:

Name:

Title:

ATTEST:

By:

Name: Fabian Velez
Title: Chief Deputy City Clerk
Consultant:

CEJ Engineers, Inc
a California corporation
By:

Name: Joaquin Cervantes
Title: President
By:

Name: Joaquin Cervantes
Title: Vice President
(Two signatures of corporate officers required
for corporations under Corporations Code
Section 313, unless corporate documents
authorize only one person to sign this
Agreement on behalf of the corporation.)

EXHIBIT A

APPROVED FEE SCHEDULE/SCOPE OF SERVICES

EXHIBIT B

CALIFORNIA LABOR CODE COMPLIANCE
(Labor Code §§ 1720 et seq., 1813, 1860, 1861, 3700)
If this Agreement calls for services that, in whole or in part, constitute “public works” as defined in the California Labor Code, then:

1. This Agreement is subject to the provisions of Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code relating to public works and the awarding public agency (“City”) and Consultant agrees to be bound by all the provisions thereof as though set forth in full herein.

2. Consultant shall be registered with the Department of Industrial Relations (“DIR”) in accordance with California Labor Code Section 1725.5 and has provided proof of registration to City prior to the Effective Date of this Agreement.

3. Consultant shall comply with the provisions of California Labor Code Sections 1771, 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The applicable prevailing wage determination(s) may be obtained at (http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm), are on file with City, and are available to any interested party upon request. Consultant shall, as a penalty to City, forfeit not more than two-hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the Director of Industrial Relations for the work or craft in which the worker is employed for any public work done under this Agreement by Consultant or by any subcontractor.

4. Pursuant to California Labor Code Section 1771.4, Consultant’s services are subject to compliance monitoring and enforcement by the Department of Industrial Relations.

Consultant shall post job site notices as prescribed by DIR regulations and agrees to furnish the records specified in California Labor Code Section 1776 directly to the Labor Commissioner in the manner prescribed by California Labor Code Section 1771.4(a)(3) and (c)(2).

5. Consultant shall comply with the provisions of California Labor Code Section 1776 which, among other things, require Consultant and each subcontractor to: (1) keep accurate payroll records, (2) certify and make such payroll records available for inspection as provided by Section 1776, and (3) inform City of the location of the records. Consultant is responsible for compliance with Section 1776 by itself and all of its subcontractors.

6. Consultant shall comply with the provisions of California Labor Code Section 1777.5 concerning the employment of apprentices on public works projects, and further agrees that Consultant is responsible for compliance with Section 1777.5 by itself and all of its subcontractors.

7. Consultant shall comply with the provisions of California Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by Consultant or by any subcontractor for each calendar day during which such

worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the California Labor Code.

8. California Labor Code Sections 1860 and 3700 provide that every contractor will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this Agreement.”
Date _______________ Signature ____________________________________

ATTACHMENT E

PROFESSIONAL SERVICES AGREEMENT
This Professional Services Agreement (“Agreement”) is dated February 18, 2025 (“Effective Date”) and is between the City of Covina, a California municipal corporation (“City”) and Willdan Engineering, Inc., a California corporation (“Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

RECITALS
A. City desires to utilize the services of Consultant as an independent contractor to provide Pavement Analysis & Testing for the Badillo Street Resurfacing Project – Project No.

P2506.

B. Consultant represents that it is fully qualified to perform such services by virtue of its experience and the training, education and expertise of its principals and employees.

C. City desires to retain Consultant and Consultant desires to serve City to perform these services in accordance with the terms and conditions of this Agreement.

The parties therefore agree as follows:

1. Term of Agreement. The term of this Agreement shall be from the Effective Date through December 31, 2025, unless sooner terminated as provided in Section 14 of this Agreement.

2. Compensation.

A. Compensation. As full compensation for Consultant’s services provided under this Agreement, City shall pay Consultant an amount not-to-exceed Twenty-Five Thousand Dollars ($25,000) (the “maximum compensation”), based on the hourly rates set forth in the Approved Fee Schedule, attached hereto as Exhibit A. Any terms in Exhibit A, other than the payment rates and schedule of payment, are null and void.

B. Expenses. The amount set forth in paragraph A shall include reimbursement for all actual and necessary expenditures reasonably incurred in the performance of this Agreement.

C. Additional Services. City shall not allow any claims for additional services performed by Consultant, unless the City Council and the Consultant Representative authorize the additional services in writing prior to Consultant’s performance of the additional services or incurrence of additional expenses. Any additional services or expenses authorized by the City Council shall be compensated at the rates set forth in Exhibit A, or, if not specified, at a rate mutually agreed to by the parties. City shall make payment for additional services and expenses in accordance with Section 4 of this Agreement.

3. Consultant’s Services.

A. Scope of Services. Consultant shall perform the services described in the Scope of Services, attached as Exhibit B. City may request, in writing, changes in the scope of services to be performed. Any changes mutually agreed upon by the parties, and any increase or decrease in compensation, shall be incorporated by written amendments to this Agreement.

B. Party Representatives. For the purposes of this Agreement, the City Representative shall be the City Manager, or such other person designated in writing by the City Manager (the “City Representative”). For the purposes of this Agreement, the Consultant Representative shall be Mike Bustos, Deputy Director – Construction Management & Inspection Services (the “Consultant Representative”). The Consultant Representative shall directly manage Consultant’s services under this Agreement. Consultant shall not change the Consultant Representative without City’s prior written consent.

C. Time for Performance. Consultant shall commence the services on the Effective Date and shall perform all services by the deadline established by the City Representative or, if no deadline is established, with reasonable diligence.

D. Standard of Performance. Consultant shall perform all services under this Agreement in accordance with the standard of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City.

E. Personnel. Consultant has, or will secure at its own expense, all personnel required to perform the services required under this Agreement. All of the services required under this Agreement shall be performed by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to perform such services. Consultant shall determine the means, methods, and details by which Consultant’s personnel will perform the services under this Agreement. Consultant shall be solely responsible for the satisfactory work performance of all personnel engaged in performing the services and compliance with the customary professional standards.

F. Compliance with Laws. The Consultant shall keep itself informed of all local, state and federal ordinances, laws and regulations which in any manner affect those employed by it or in any way affect the performance of its service pursuant to this Agreement. The Consultant shall at all times observe and comply with all such ordinances, laws and regulations. The City and its agents shall not be liable at law or in equity occasioned by failure of the Consultant to comply with G. Permits and Licenses. Consultant shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of services under this Agreement, including a business license.

4. Method of Payment.

A. Invoices. Consultant shall submit to City an invoice, on a monthly basis or less frequently, for actual services performed pursuant to this Agreement. Each invoice shall itemize the services rendered during the billing period, hourly rates charged, if applicable, and the amount due. If City disputes any of Consultant's fees, it shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth on the invoice.

B. Payment. City shall pay all undisputed invoice amounts within thirty (30) calendar days after receipt up to the maximum compensation set forth in Section 2 of this Agreement. City shall not withhold federal payroll, state payroll or other taxes, or other similar deductions, from payments made to Consultant. For all reimbursements authorized by this Agreement, Consultant shall provide receipts on all reimbursable expenses in excess of Fifty Dollars ($50) in such form as approved by the Administrative Services Director.

C. Audit of Records. Consultant shall make all records, invoices, time cards, cost control sheets and other records maintained by Consultant in connection with this agreement available during Consultant’s regular working hours to City for review and audit by City.

5. Ownership of Documents. Upon completion of, or in the event of termination or suspension of this Agreement, all original documents, designs, drawings, maps, models, computer files containing data generated for the work, surveys, notes, and other documents prepared in the course of providing the services to be performed (“written products”) pursuant to this Agreement shall become the sole property of the City without restriction or limitation upon its use and may be used, reused, disseminated or otherwise disposed of by the City without the permission of the Consultant. With respect to computer files containing data generated for the work, Consultant shall make available to the City, upon reasonable written request by the City, the necessary computer software and hardware for purposes of accessing, compiling, transferring and printing computer files. Consultant may take and retain copies of the written products as desired, but the written products shall not be the subject of a copyright application by Consultant.

6. Independent Contractor.

A. Consultant is, and shall at all times remain as to City, a wholly independent contractor and not an employee of City. The personnel performing the services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City. Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees. Consultant shall not, at any time, or in any manner, represent that it or any of its officers, agents or employees are in any manner employees of City. Consultant and Consultant’s personnel shall not supervise any of City’s employees; and City’s employees shall not supervise Consultant’s personnel. Consultant’s personnel shall not wear or display any City uniform, badge, identification number, or other information identifying such individual as an employee of City; and Consultant’s personnel shall not use any City e-mail address or City telephone number in the performance of any of the services under this Agreement. Consultant shall acquire and maintain, at its sole cost and expense, such vehicles, equipment, and supplies as Consultant’s personnel require to perform any of the services required by this Agreement. Consultant shall perform the services off of City premises at locations of Consultant’s choice, except as otherwise may from time to time be necessary in order for Consultant’s personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant’s performance of the services under this Agreement, or as may be necessary to inspect or visit City locations and/or private property to perform the services.

City may make a computer available to Consultant from time to time for Consultant’s personnel to obtain information about or to check on the status of projects pertaining to the services under this Agreement.

B. No employee benefits shall be available to Consultant in connection with the performance of this Agreement. Except for the fees paid to Consultant as provided in the Agreement, City shall not pay salaries, wages, or other compensation to Consultant for performing services hereunder for City. City shall not be liable for compensation or indemnification to Consultant for injury or sickness arising out of performing services hereunder. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant’s personnel in connection with their performance of the services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such

additional personnel, including, but not limited to: Social Security taxes, other retirement or pension benefits, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. Notwithstanding any other agency, state, or federal policy, rule, regulation, statute or ordinance to the contrary, Consultant and any of its officers, employees, agents, and subcontractors providing any of the services under this Agreement shall not become entitled to, and hereby waive any claims to, any wages, salaries, compensation, benefit or any incident of employment by City, including, but not limited to, eligibility to enroll in, or reinstate to membership in, the California Public Employees Retirement System (“PERS”) as an employee of City, and entitlement to any contribution to be paid by City for employer contributions or employee contributions for PERS benefits.

C. Consultant shall indemnify and hold harmless City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs, and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s personnel practices. or to the extent arising from, caused by, or relating to the violation of any of the provisions of this Section

6. In addition to all other remedies available under law, City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Section 6. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify, and hold harmless as set forth in any other provision of this Agreement.

7. PERS Compliance and Indemnification.

A. General Requirements. The parties acknowledge that City is a local agency member of PERS, and as such has certain pension reporting and contribution obligations to PERS on behalf of qualifying employees. Consultant agrees that, in providing its employees and any other personnel to City to perform the services under this Agreement, Consultant shall assure compliance with the Public Employees’ Retirement Law, commencing at Government Code Section 20000, the regulations of PERS, and the Public Employees’ Pension Reform Act of 2013, as amended. Without limitation to the foregoing, Consultant shall assure compliance with regard to personnel who have active or inactive membership in PERS and to those who are retired annuitants and in performing this Agreement shall not assign or utilize any of its personnel in a manner that will cause City to be in violation of the applicable retirement laws and regulations.

B. Indemnification. Consultant shall defend (with legal counsel approved by City, whose approval shall not be unreasonably withheld), indemnify, and hold harmless City, and its City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs, and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s violation of any provisions of this Section 7. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify, and hold harmless as set forth in any other provision of this Agreement.

8. Confidentiality. All data, documents, discussion, or other information (collectively “data”) developed or received by Consultant or provided for performance of this Agreement are deemed confidential. Consultant shall keep all data confidential and shall not disclose any data to any person or entity without City’s prior written consent. City shall grant such consent if

disclosure is legally required. Consultant shall return all data to City upon the expiration or termination of this Agreement. Consultant’s covenant under this Section 8 shall survive the expiration or termination of this Agreement.

9. Conflicts of Interest. Consultant and its officers, employees, associates and subcontractors, if any, shall comply with all conflict of interest statutes of the State of California applicable to Consultant’s services under this Agreement, including the Political Reform Act (Gov.

Code, § 81000 et seq.) and Government Code Section 1090. During the term of this Agreement, Consultant may perform similar services for other clients, but Consultant and its officers, employees, associates and subcontractors shall not, without the City Representative’s prior written approval, perform work for another person or entity for whom Consultant is not currently performing work that would require Consultant or one of its officers, employees, associates or subcontractors to abstain from a decision under this Agreement pursuant to a conflict of interest statute. Consultant shall incorporate a clause substantially similar to this Section 9 into any subcontract that Consultant executes in connection with the performance of this Agreement.

10. Indemnification.

A. Indemnity for Design Professional Services. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, indemnify and hold harmless City and its elected officials, officers, attorneys, agents, employees, designated volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively “Indemnitees”), from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, liens and losses of any nature whatsoever, including fees of accountants, attorneys or other professionals, and all costs associated therewith, and reimbursement of attorney’s fees and costs of defense (collectively “Liabilities”), whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to, in whole or in part, the negligence, recklessness or willful misconduct of Consultant, its officers, agents, servants, employees, subcontractors, material men, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of design professional services under this Agreement by a “design professional,” as the term is defined under California Civil Code Section 2782.8(c)(2).

B. Other Indemnities.
1) Other than in the performance of design professional services, and to the fullest extent permitted by law, Consultant shall, at its sole cost and expense, defend, hold harmless and indemnify the Indemnitees from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, liens and losses of any nature whatsoever, including fees of accountants, attorneys or other professionals, and all costs associated therewith, and the payment of all consequential damages (collectively “Claims”), in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Claims arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the parties. Consultant shall defend the Indemnitees in any action or actions filed in connection with any Claim with counsel of the

Indemnitees’ choice, and shall pay all costs and expenses, including all attorneys’ fees and experts’ costs actually incurred in connection with such defense. Consultant shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith.
2) Consultant shall pay all required taxes on amounts paid to Consultant under this Agreement, and indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Consultant shall fully comply with the workers’ compensation law regarding Consultant and Consultant’s employees. Consultant shall indemnify and hold City harmless from any failure of Consultant to comply with applicable workers’ compensation laws.

City may offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Subparagraph B. 2). 3) Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 10 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Claims in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant’s subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant’s subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Claims arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the parties.

C. Workers’ Compensation Acts not Limiting. Consultant’s obligations under this Section 10, or any other provision of this Agreement, shall not be limited by the provisions of any workers’ compensation act or similar act. Consultant expressly waives its statutory immunity under such statutes or laws as to City, its officers, agents, employees and volunteers.

D. Insurance Requirements not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. This hold harmless and indemnification provisions in this Section 10 shall apply regardless of whether or not any insurance policies are determined to be applicable to the Liability, Claim, tax, assessment, penalty or interest asserted against City.

E. Survival of Terms. The indemnification in this Section 10 shall survive the expiration or termination of this Agreement.

11. Insurance.

A. Minimum Scope and Limits of Insurance. Consultant shall procure and at all times during the term of this Agreement carry, maintain, and keep in full force and effect, insurance as follows:

1) Commercial General Liability Insurance with a minimum limit of Two Million Dollars ($2,000,000) per occurrence for bodily injury, personal injury and property damage and a general aggregate limit of Four Million Dollars ($4,000,000) per project or location.

If Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds.
2) Automobile Liability Insurance for any owned, non-owned or hired vehicle used in connection with the performance of this Agreement with a combined single limit of Two Million Dollars ($2,000,000) per accident for bodily injury and property damage. If Consultant does not use any owned, non-owned or hired vehicles in the performance of services under this Agreement, Consultant shall obtain a non-owned auto endorsement to the Commercial General Liability policy required under Subparagraph A. 1) of this Section 11. 3) Workers’ Compensation Insurance as required by the State of California and Employer’s Liability Insurance with a minimum limit of One Million Dollars ($1,000,000) per accident for bodily injury or disease. If Consultant has no employees while performing services under this Agreement, workers’ compensation policy is not required, but Consultant shall provide an executed declaration that it has no employees. 4) Professional Liability Insurance with minimum limits of Two Million Dollars ($2,000,000) per claim and in aggregate.

B. Acceptability of Insurers. The insurance policies required under this Section 11 shall be issued by an insurer admitted to write insurance in the State of California with a rating of A:VII or better in the latest edition of the A.M. Best Insurance Rating Guide. Self-insurance shall not be considered to comply with the insurance requirements under this Section 11.

C. Additional Insured. The commercial general and automobile liability policies shall contain an endorsement naming the City, its officers, employees, agents and volunteers as additional insureds.

D. Primary and Non-Contributing. The insurance policies required under this Section 11 shall apply on a primary non-contributing basis in relation to any other insurance or selfinsurance available to City. Any insurance or self-insurance maintained by City, its officers, employees, agents or volunteers, shall be in excess of Consultant’s insurance and shall not contribute with it.

E. Consultant’s Waiver of Subrogation. The insurance policies required under this Section 11 shall not prohibit Consultant and Consultant’s employees, agents or subcontractors from waiving the right of subrogation prior to a loss. Consultant hereby waives all rights of subrogation against City.

F. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be approved by City. At City’s option, Consultant shall either reduce or eliminate the deductibles or self-insured retentions with respect to City, or Consultant shall procure a bond guaranteeing payment of losses and expenses.

G. Cancellations or Modifications to Coverage. Consultant shall not cancel, reduce or otherwise modify the insurance policies required by this Section 11 during the term of this Agreement. The commercial general and automobile liability policies required under this Agreement shall be endorsed to state that should the issuing insurer cancel the policy before the expiration date, the issuing insurer will endeavor to mail thirty (30) calendar days’ prior written notice to City. If any insurance policy required under this Section 11 is canceled or reduced in coverage or limits, Consultant shall, within two (2) business days of notice from the insurer, phone, fax or notify City via certified mail, return receipt requested, of the cancellation of or changes to the policy.

H. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section 11 in full force and effect during the term of this Agreement, or in the event any of Consultant’s policies do not comply with the requirements under this Section 11, City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may, but has no duty to, take out the necessary insurance and pay, at Consultant’s expense, the premium thereon. Consultant shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant.

I. Evidence of Insurance. Prior to the performance of services under this Agreement, Consultant shall furnish City’s Risk Manager with a certificate or certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section 11. The endorsements are subject to City’s approval. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant shall maintain current endorsements on file with City’s Risk Manager. Consultant shall provide proof to City’s Risk Manager that insurance policies expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Consultant shall furnish such proof at least two (2) weeks prior to the expiration of the coverages.

J. Indemnity Requirements not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant’s liability or as full performance of Consultant’s duty to indemnify City under Section 10 of this Agreement.

K. Subcontractor Insurance Requirements. Consultant shall require each of its subcontractors that perform services under this Agreement to maintain insurance coverage that meets all of the requirements of this Section 11.

12. Mutual Cooperation.

A. City’s Cooperation. City shall provide Consultant with all pertinent data, documents and other requested information as is reasonably available for Consultant’s proper performance of the services required under this Agreement.

B. Consultant’s Cooperation. In the event any claim or action is brought against the City relating to Consultant’s performance or services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires.

13. Records and Inspections. Consultant shall maintain full and accurate records with respect to all matters covered under this Agreement for a period of five (5) years. Consultant shall, without

charge, provide City with access to the records during normal business hours. City may examine and audit the records and make transcripts therefrom, and inspect all program data, documents, proceedings and activities.

14. Termination or Suspension of Agreement.

A. Right to Terminate or Suspend. City may terminate or suspend this Agreement at any time, at will, for any reason or no reason, after giving written notice to Consultant at least seven (7) calendar days before the termination or suspension is to be effective. Consultant may terminate this Agreement at any time, at will, for any reason or no reason, after giving written notice to City at least sixty (60) calendar days before the termination is to be effective.

B. Obligations upon Termination. Consultant shall cease all work under this Agreement on or before the effective date of termination specified in the notice of termination. In the event of City’s termination of this Agreement due to no fault or failure of performance by Consultant, City shall pay Consultant based on the percentage of work satisfactorily performed up to the effective date of termination. In no event shall Consultant be entitled to receive more than the amount that would be paid to Consultant for the full performance of the services required by this Agreement.

15. Force Majeure. Consultant shall not be liable for any failure to perform its obligations under this Agreement if Consultant presents acceptable evidence, in City’s sole judgment, that such failure was due to strikes, lockouts, labor disputes, embargoes, acts of God, inability to obtain labor or materials or reasonable substitutes for labor or materials, governmental restrictions, governmental regulations, governmental controls, judicial orders, enemy or hostile governmental action, civil commotion, fire or other casualty, or other causes beyond Consultant’s reasonable control and not due to any act by Consultant.

16. Notices. Any notices, consents, requests, demands, bills, invoices, reports or other communications which either party may desire to give to the other party under this Agreement must be in writing and conclusively deemed effective: (a) on personal delivery, (b) on confirmed delivery by reputable document delivery service or courier service during Consultant’s and City's regular business hours, or (c) five business days after deposit in the United States mail, by first class mail, postage prepaid, and addressed to the party to be notified as set forth below:

If to City: If to Consultant:

Attn: Public Works, Engineering Attn: Chien Chen
City of Covina Willdan Engineering, Inc
125 E. College Street 1515 S. Sunkist Street, Suite E
Covina, California 91723 Anaheim, CA 92806

17. Non-Discrimination and Equal Employment Opportunity. In the performance of this Agreement, Consultant shall not discriminate against any employee, subcontractor or applicant for employment because of race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information, sexual orientation or other basis prohibited by law.

Consultant will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment, without regard to their race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry,

age, physical disability, mental disability, medical condition, genetic information or sexual orientation.

18. Prohibition of Assignment and Delegation. Consultant shall not assign any of its rights or delegate any of its duties under this Agreement, either in whole or in part, without City’s prior written consent. City’s consent to an assignment of rights under this Agreement shall not release Consultant from any of its obligations or alter any of its primary obligations to be performed under this Agreement. Any attempted assignment or delegation in violation of this Section 18 shall be void and of no effect and shall entitle City to terminate this Agreement. As used in this Section 18, “assignment” and “delegation” means any sale, gift, pledge, hypothecation, encumbrance or other transfer of all or any portion of the rights, obligations, or liabilities in or arising from this Agreement to any person or entity, whether by operation of law or otherwise, and regardless of the legal form of the transaction in which the attempted transfer occurs.

19. No Third-Party Beneficiaries Intended. Except as otherwise provided in Section 10, this Agreement is made solely for the benefit of the parties to this Agreement and their respective successors and assigns, and no other person or entity may have or acquire a right by virtue of this Agreement.

20. Waiver. No delay or omission to exercise any right, power or remedy accruing to City under this Agreement shall impair any right, power or remedy of City, nor shall it be construed as a waiver of, or consent to, any breach or default. No waiver of any breach, any failure of a condition, or any right or remedy under this Agreement shall be (1) effective unless it is in writing and signed by the party making the waiver, (2) deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy, or (3) deemed to constitute a continuing waiver unless the writing expressly so states.

21. Exhibits. Exhibits A and B constitute a part of this Agreement and are incorporated into this Agreement by this reference. If any inconsistency exists or arises between a provision of this Agreement and a provision of any exhibit, the provisions of this Agreement shall control.

22. Entire Agreement. This Agreement and all exhibits referred to in this Agreement constitute the final, complete and exclusive statement of the terms of the agreement between the parties pertaining to the subject matter of this Agreement and supersede all other prior or contemporaneous oral or written understandings and agreements of the parties. No party has been induced to enter into this Agreement by, nor is any party relying on, any representation or warranty except those expressly set forth in this Agreement.

23. Amendment of Agreement. This Agreement may be amended only by a writing signed by both parties. The City Manager is authorized to sign an amendment to this Agreement on the City Council’s behalf and without the City Council’s prior approval to make the following nonsubstantive modifications to the Agreement: (a) name changes; (b) extensions of time; (c) nonmonetary changes in the scope of work; and (d) termination of the Agreement.

24. Headings. The headings in this Agreement are included solely for convenience of reference and shall not affect the interpretation of any provision of this Agreement or any of the rights or obligations of the parties to this Agreement.

25. Word Usage. Unless the context clearly requires otherwise, (a) the words “shall,” “will” and “agrees” are mandatory and “may” is permissive; (b) “or” is not exclusive; and (c) “includes” or “including” are not limiting.

26. Time of the Essence. Time is of the essence in respect to all provisions of this Agreement that specify a time for performance; provided, however, that the foregoing shall not be construed to limit or deprive a party of the benefits of any grace or use period allowed in this Agreement.

27. Governing Law and Choice of Forum. This Agreement, and any dispute arising from the relationship between the parties to this Agreement, shall be governed by and construed in accordance with the laws of the State of California, except that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be applied in interpreting this Agreement. Any dispute that arises under or relates to this Agreement (whether contract, tort or both) shall be resolved in a municipal, superior or federal court with geographic jurisdiction over the City of Covina.

28. Attorneys’ Fees. In any litigation or other proceeding by which on party seeks to enforce its rights under this Agreement (whether in contract, tort or both) or seeks a declaration of any rights or obligations under this Agreement, the prevailing party shall be shall be awarded reasonable attorneys’ fees together with any costs and expenses, to resolve the dispute and to enforce the final judgment.

29. Severability. If a court of competent jurisdiction holds any provision of this Agreement to be illegal, invalid or unenforceable for any reason, the validity of and enforceability of the remaining provisions of this Agreement shall not be affected and continue in full force and effect.

30. Authority to Execute Agreement. The person or persons executing this Agreement on behalf of Consultant warrants and represents that he or she has the authority to execute this Agreement on behalf of the Consultant and has the authority to bind Consultant to the performance of its obligations hereunder.
[SIGNATURE PAGE FOLLOWS]

The parties, through their duly authorized representatives, are signing this Agreement on the date stated in the introductory clause.

City:

City of Covina,
a California municipal corporation
By:

Name:

Title:

ATTEST:

By:

Name: Fabian Velez
Title: Chief Deputy City Clerk
Consultant:

Willdan Engineering, Inc
a California corporation
By:

Name: Vanessa Munoz
Title: President
By:

Name: Kate Nguyen
Title: Secretary
(Two signatures of corporate officers required
for corporations under Corporations Code
Section 313, unless corporate documents
authorize only one person to sign this
Agreement on behalf of the corporation.)

EXHIBIT A

APPROVED FEE SCHEDULE/SCOPE OF SERVICES
Pavement Analysis & Testing for the Badillo Street Resurfacing Project – Project No. P2506 in an amount not-to-exceed $25,000.

EXHIBIT B

CALIFORNIA LABOR CODE COMPLIANCE
(Labor Code §§ 1720 et seq., 1813, 1860, 1861, 3700)
If this Agreement calls for services that, in whole or in part, constitute “public works” as defined in the California Labor Code, then:

1. This Agreement is subject to the provisions of Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code relating to public works and the awarding public agency (“City”) and Consultant agrees to be bound by all the provisions thereof as though set forth in full herein.

2. Consultant shall be registered with the Department of Industrial Relations (“DIR”) in accordance with California Labor Code Section 1725.5 and has provided proof of registration to City prior to the Effective Date of this Agreement.

3. Consultant shall comply with the provisions of California Labor Code Sections 1771, 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The applicable prevailing wage determination(s) may be obtained at (http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm), are on file with City, and are available to any interested party upon request. Consultant shall, as a penalty to City, forfeit not more than two-hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the Director of Industrial Relations for the work or craft in which the worker is employed for any public work done under this Agreement by Consultant or by any subcontractor.

4. Pursuant to California Labor Code Section 1771.4, Consultant’s services are subject to compliance monitoring and enforcement by the Department of Industrial Relations.

Consultant shall post job site notices as prescribed by DIR regulations and agrees to furnish the records specified in California Labor Code Section 1776 directly to the Labor Commissioner in the manner prescribed by California Labor Code Section 1771.4(a)(3) and (c)(2).

5. Consultant shall comply with the provisions of California Labor Code Section 1776 which, among other things, require Consultant and each subcontractor to: (1) keep accurate payroll records, (2) certify and make such payroll records available for inspection as provided by Section 1776, and (3) inform City of the location of the records. Consultant is responsible for compliance with Section 1776 by itself and all of its subcontractors.

6. Consultant shall comply with the provisions of California Labor Code Section 1777.5 concerning the employment of apprentices on public works projects, and further agrees that Consultant is responsible for compliance with Section 1777.5 by itself and all of its subcontractors.

7. Consultant shall comply with the provisions of California Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by Consultant or by any subcontractor for each calendar day during which such

worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the California Labor Code.

8. California Labor Code Sections 1860 and 3700 provide that every contractor will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this Agreement.”
Date _______________ Signature ____________________________________

CC Regular Meeting

AGENDA ITEM REPORT
ITEM NO. CC 8
Meeting: February 18, 2025
Title: Covina Police Department Hiring Incentive Program Presented by: Ric Walczak, Chief of Police
Recommendation: Approve the creation of a hiring incentive program for the police department.

EXECUTIVE SUMMARY:

The recruitment and retention of qualified sworn law enforcement personnel continues to be a challenge for most law enforcement agencies in California. Additionally, competition between local law enforcement agencies to attract qualified police officer candidates has increased significantly, creating staffing and coverage challenges to appropriately serve local communities. Despite the City’s best recruitment efforts, the Police Department has been challenged with staffing vacancies in its sworn ranks that impacts operational capabilities. As a result, the Covina Police Department and Human Resources Department have worked to develop new recruiting strategies to help enhance police officer recruitment efforts. As proposed, the Hiring Incentive Program will help to bolster staffing levels and maintain competitiveness in the regional marketplace.

DISCUSSION:

The proposed Hiring Incentive Program consists of the following measures:

1. Hiring Incentive
Newly Hired Lateral Officers would be eligible for an incremental $30,000 incentive payment.

Lateral Officers shall have experience working in municipal law enforcement or county sheriff’s departments. The payment will be received in three installments:
 The first installment of $10,000 will be paid upon completion of the fifth full pay period following the first date of employment.
 The second installment of $10,000 will be paid upon successful completion of the field training program.
 The third installment of $10,000 will be paid upon successful completion of probation.

Newly hired Police Officer Recruits would be eligible for an incremental $10,000 incentive payment. The payment will be in three installments:
 The first installment of $2,500 will be paid upon completion of the fifth full pay period following the first date of employment.
 The second installment of $2,500 will be paid upon successful completion of the field training program.
 The third installment of $5,000 will be paid upon successful completion of probation.

Newly hired Lateral Dispatchers would be eligible for an incremental $12,000 incentive payment.

The payment will be in three installments.

 The first installment of $4,000 will be paid upon completion of the fifth full pay period following the first date of employment.
 The second installment of $4,000 will be paid upon successful completion of the field training program.
 The third installment of $4,000 will be paid upon successful completion of probation.

2. Referral Incentive
In order to encourage Police Department employees to assist in the recruitment of police officer candidates, the Police Department proposes an incentive to enhance our recruitment efforts.

Permanent, active, full-time Police Department employees who refer a police officer applicant (lateral or recruit) that is successful in the hiring process may receive a total of $5,000.  The first installment of $2,500 will be paid upon the new employee’s completion of the fifth full pay period following the first date of employment.  The second installment of $2,500 will be paid upon the new employees’ successful completion of the field training program.

Requirements:
 The hiring incentive for laterals and new police officer recruits as well as lateral dispatchers shall be effective after City Council approval of the hiring incentive program and shall only apply to those candidates applying to newly posted recruitments reflecting such incentives.

All above-proposed incentives are considered taxable pay and are not be eligible for inclusion in retirement calculations. The Police Department consulted with representatives from respective bargaining units and received no objections to the above recommendations.

FISCAL IMPACT:

The estimated cost of the hiring incentive program is approximately $100,000 which will come from the general fund balance. Adequate funds exist for anticipated current year expenditures, and future year costs will be included in the proposed budget to account 1010 1130 50095.

CEQA (CALIFORNIA ENVIRONMENTAL QUALITY ACT):

Not applicable.

Respectfully submitted,

CC Regular Meeting

AGENDA ITEM REPORT
ITEM NO. CC 9
Meeting: February 18, 2025
Title: One Year Extension of the Agreement with Professional Account Management LLC Presented by: Ric Walczak, Chief of Police
Recommendation: Approve the Fourth Amendment to the agreement with Professional Account Management LLC for a one (1) year extension to provide parking citation processing and collections services; and authorize the City Manager to execute the amendment.

EXECUTIVE SUMMARY:

Prior to 2017, the City of Covina contracted with the City of Inglewood to provide parking citation processing and collection services under the name "Inglewood Citation Management Services" (ICMS). In April 2007, the City of Inglewood contracted with Professional Account Management LLC (PAM) a Duncan Solutions Company, to provide a new citation processing system, technical support services and expanded collection services to support the City's internal and external client agencies. In 2017, the City of Covina entered into an agreement with PAM for five (5) years, with an option to extend for five (5) additional one-year terms. It is recommended that the City Council consider authorizing the fourth one-year extension pursuant to the agreement.

DISCUSSION:

Since March 1, 2017, PAM has been directly providing citation processing and collection services to the City of Covina under a new 5-year agreement with the option to extend the agreement for five (5) additional one-year terms. Under this agreement the Police Department has been utilizing the following services:
• Hosted AutoProcess Parking Citation System
• Preparing and mailing courtesy/delinquent notices
• Telephone customer service system with payment by credit/debit cards • On-line payment system
• Lock-box payment processing
• Obtaining State/DMV registered owner information
• Providing hosted document management system for administrative reviews • Providing comprehensive delinquent citation collection services with DMV registration holds and Franchise Tax Board intercept liens
Continuing citation processing and collection services with PAM will ensure the City does not experience any disruption of service or delays in receiving parking citation revenues.

FISCAL IMPACT:

The annual cost of service provided by PAM is approximately $140,000 and is covered by funds generated by citations issued.