Cudahy City Council
July 19, 2022

AGENDA

A REGULAR MEETING

OF THE CUDAHY CITY COUNCIL
and JOINT MEETING of the
CITY OF CUDAHY AS SUCCESSOR AGENCY and HOUSING SUCCESSOR AGENCY

TO THE CUDAHY DEVELOPMENT COMMISSION
Tuesday, July 19, 2022 – 6:30 P.M.

Written materials distributed to the City Council within 72 hours of the City Council meeting shall be available for public inspection at www.cityofcudahy.com In compliance with the Americans with Disabilities Act (ADA) if you need special assistance to participate in this meeting, you should contact the City Clerk’s Office at (323) 773-5143 at least 72 hours in advance of the meeting.

Rules of Decorum
Under the Government Code, the City Council may regulate disruptive behavior that impedes the City Council Meeting.

Disruptive conduct may include, but is not limited to:
• Screaming or yelling during another audience member’s public comments period; • Profane language directed at individuals in the meeting room; • Throwing objects at other individuals in the meeting room; • Verbal altercations with other individuals in the meeting room; and • Going beyond the allotted three-minute public comment period granted.

When a person’s or group’s conduct disrupts the meeting, the Mayor or presiding officer will request that the person or group stop the disruptive behavior and WARN the person or group that they will be asked to leave the meeting room if the behavior continues.

If the person or group refuses to stop the disruptive behavior, the Mayor or presiding officer may order the person or group to leave the meeting room and may request that those persons be escorted from the meeting room. Any person who, without authority of law, willfully disturbs or breaks up a City Council meeting is guilty of a misdemeanor. (Pen. Code, § 403.)
Elizabeth Alcantar, Mayor
Jose R. Gonzalez, Vice Mayor
Jack M. Guerrero, Council Member
Blanca Lozoya, Council Member
Daisy Lomelí, Council Member

REMOTE TELECONFERENCE AND

ELECTRONICALLY
This meeting will be conducted telephonically
and electronically pursuant to Government
Code § 54953
Teleconference Phone Number:
1 (669) 900-6833
Meeting ID: 825 8078 0888
https://us02web.zoom.us/j/82580780888

City of Cudahy
City Council and Successor Agency
Regular Meeting Agenda
July 19, 2022, at 6:30 P.M.

1. CALL TO ORDER

2. ROLL CALL
Council / Agency Member Guerrero
Council / Agency Member Lozoya
Council / Agency Member Lomelí
Vice Mayor / Vice Chair Gonzalez
Mayor / Chair Alcantar

3. PLEDGE OF ALLEGIANCE

4. LAND ACKNOWLEDGEMENT
We would like to acknowledge that the land we inhabit today was once known as Tovangaar, the home of the Gabrieleño-Tongva people. We show our respects to the Gabrieleño-Tongva people, as well as all Indigenous people, past, present, and future, and honor their labor as original caretakers of this land. We commit to uplifting the Gabrieleño-Tongva people, invite you to acknowledge the history, and join us in caring for this land.

5. PRESENTATIONS
A. Finance Department Annual Update

6. CLOSED SESSION PUBLIC COMMENTS - NONE

7. CLOSED SESSION - NONE

8. CLOSED SESSION ANNOUNCEMENT - NONE
Pursuant to Municipal Code Section 2.04.020, regular city council meetings are set to begin at 6:30 p.m., since there are no closed session items scheduled, the council will continue with the proceedings of this meeting without any break for closed session.

9. PUBLIC COMMENTS
(Each member of the public may provide a public comment telephonically or electronically by clicking the hand icon on Zoom or pressing star (*) nine (9) on the telephone, if he or she wishes to address the City Council. Members of the public are permitted to speak for three (3) minutes concerning items under the City Council’s jurisdiction, including items on the council agenda.)

City of Cudahy
City Council and Successor Agency
Regular Meeting Agenda
July 19, 2022, at 6:30 P.M.

(Any person who, without authority of law, willfully disturbs or breaks up a City Council meeting is guilty of a misdemeanor. (Pen. Code, § 403).)

10. CITY COUNCIL COMMENTS / REQUESTS FOR AGENDA ITEMS (Each Council Member is limited to three minutes.)
(This is the time for the City Council / Agency to comment on any topics related to “City Business,” including announcements, reflections on city / regional events, response to public comments, suggested discussion topics for future council meetings, general concerns about particular city matters, questions to the staff, and directives to the staff (subject to approval / consent of the City Council majority members present, regarding staff directives). Each Council / Agency Member will be allowed to speak for a period not to exceed three (3) minutes. Notwithstanding the foregoing, the City Council Members shall not use this comment period for serial discussions or debate between members on City business matters not properly agendized. The City Attorney shall be responsible for regulating this aspect of the proceeding.)

11. CITY MANAGER REPORT (information only)

12. REPORTS REGARDING AD HOC, ADVISORY, STANDING, OR OTHER COMMITTEE

MEETINGS

13. WAIVER OF FULL READING OF RESOLUTIONS AND ORDINANCES (Consideration to waive full text reading of all Resolutions and Ordinances by single motion made at the start of each meeting, subject to the ability of the City Council / Agency to read the full text of selected resolutions and ordinances when the item is addressed by subsequent motion.) (COUNCIL / AGENCY)
Recommendation: Approve the Waiver of Full Reading of Resolutions and Ordinances.

14. CONSENT CALENDAR
(Items under the Consent Calendar are considered routine and will be enacted by one motion, prior to the vote to approve the Consent Calendar, each Council Member shall have a maximum of three (3) minutes to comment on the Consent Calendar as a whole. There will be no separate discussion of these items unless a Council / Agency Member so requests specific item(s) be removed from the Consent Calendar for separate action. Items may only be considered as a separate action if either (1) a Council Member must recuse themselves due to a conflict of interest or (2) a Council Member has specific questions for City Staff. Items called for separate discussion will be heard as the next order of business.)
A. Consideration to Review and Approve the Draft Minutes of July 5, 2022, for the Regular Meeting of the City Council and the Joint Meeting of the City of Cudahy as Successor Agency and Housing Successor Agency to the Cudahy Development Commission (page 9)

City of Cudahy
City Council and Successor Agency
Regular Meeting Agenda
July 19, 2022, at 6:30 P.M.

Presented by the City Clerk
Recommendation: The City Council is requested to review and approve the City Council / Successor Agency Draft Minutes for July 5, 2022.

B. Adoption of Proposed Resolution No. 22-41 Proclaiming a Local Emergency, Ratifying the Proclamation of a State of Emergency by Governor Newsom on March 4, 2020, and ReAuthorizing Remote Teleconference Meetings of the City Council, City Boards, and all Commissions of the City of Cudahy, for the Period from July 19, 2022, through August 18, 2022, Pursuant to Brown Act Provisions (page 21)
Presented by the City Attorney
Recommendation: The City Council is requested to approve proposed Resolution No. 22-41 proclaiming a local emergency, ratifying the proclamation of a State of Emergency by Governor Newsom on March 4, 2020, and re-authorizing remote teleconference meetings of the City Council, City Boards, and all Commissions of the City of Cudahy, for the period from July 19, 2022, through August 18, 2022, pursuant to Ralph M. Brown Act provisions.

C. Adoption of Proposed Ordinance Amending Section 20 (Appointment, Reappointment, and Removal) of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code (page 29)
Presented by the City Attorney
Recommendation: The City Council is requested to approve an Ordinance by second reading, amending Section 20 of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code.

D. Approval of the Local Agency Investment Fund (LAIF) for the Month of June 2022 (page 35) Presented by the Finance Director
Recommendation: The City Council is requested to approve the Local Agency Investment Fund (LAIF) Report for the month of June 2022 in the amount of $11,202,228.14.

E. Approval of the City Demands and Payroll Including Statement of Investment for the Month of June 2022 (page 39)
Presented by the Finance Director

City of Cudahy
City Council and Successor Agency
Regular Meeting Agenda
July 19, 2022, at 6:30 P.M.

Recommendation: The City Council is requested to approve the Demands and Payroll in the amount of $1,261,663.52 including the Statement of Investments for the month of June 2022.

F. Adoption of a Proposed Resolution No. 22-42 Superseding and Repealing Resolution No. 22-35, and Amending the Adopted Fringe Benefits and Salary Plan Establishing Provisions for All Fulltime Employees, and Hourly Employees (page 49) Presented by the Human Resources Manager
Recommendation: The City Council is requested to approve the proposed Resolution No. 22-42, amending the fringe benefits and salary plan establishing provisions for all full-time employees, hourly employees, and appointed officials and repealing Resolution No. 22-35.

15. PUBLIC HEARING
A. Resolution of Public Interest and Convenience No. 22-43 Approving the City’s Purchase and Sale Agreement for the Sale of Real Property at 5256 Elizabeth Street and 5260 Elizabeth Street (APN 6224-001-901 and APN 6224-001-902) (page 113)
Presented by the Contract City Planner
Recommendation: Staff recommends that the City Council of the City of Cudahy (the “City”):

1. Adopt the Resolution of Public Interest and Convenience No. 22-43, approving the City’s Purchase and Sale Agreement (“PSA”) to sell the real property located at 5256 Elizabeth Street and 5260 Elizabeth Street, Cudahy, California with the following Los Angeles County Assessor Parcel Numbers: 6224-001-901 and 6224-001-902, in order to allow for the development of a multifamily residential development (“Project”).

16. BUSINESS SESSION
A. Adoption of Proposed Resolution No. 22-44 In Support of Senate Bill 1245 (page 211) Presented by the City Attorney
Recommendation: The City Council is requested to adopt proposed Resolution No. 22-44 supporting Senate Bill 1245.

City of Cudahy
City Council and Successor Agency
Regular Meeting Agenda
July 19, 2022, at 6:30 P.M.

B. Adoption of Proposed Resolution No. 22-45 Dissolving the Parks and Recreations Commission, Establishing the Recreation, Arts, and Cultural Heritage Commission, and Adopting the Objectives and Policies for the Recreation, Arts, and Cultural Heritage Commission (page 219) Presented by the City Attorney
Recommendation: The City Council is requested to adopt proposed Resolution No. 22-45 dissolving the Parks and Recreations Commission, establishing the Recreation, Arts, and Cultural Heritage Commission, and adopting the Objectives and Policies for the Recreation, Arts, and Cultural Heritage Commission.

C. Adoption of Ordinance Amending Section 10.04.040 of Chapter 10.04 (Traffic Code) of Title 10 (Vehicles and Traffic) of the Cudahy Municipal Code (page 227) Presented by the Administrative Services Director
Recommendation: The City Council is requested to adopt Ordinance No. 724 by first reading, amending Section 10.04.040 of Chapter 10.04 (Traffic Code) of Title 10 (Vehicles and Traffic) of the Cudahy Municipal Code.

D. Creation and Appointment of Ad Hoc Rent Control Committee (page 235) Presented by the City Clerk
Recommendation: The City Council is requested to create an Ad Hoc Rent Control Committee and appoint two council members to serve on the committee.

E. Consideration to Appoint Board Members to the Planning Commission (page 237) Presented by the City Clerk
Recommendation: The City Council is requested to review applications and appoint commission applicants to the Planning Commission.

17. COUNCIL DISCUSSION - NONE

18. ADJOURNMENT

City of Cudahy
City Council and Successor Agency
Regular Meeting Agenda
July 19, 2022, at 6:30 P.M.

I, Richard Iglesias, hereby certify under penalty of perjury under the laws of the State of California that the foregoing agenda was posted on the City’s Website, City Hall, Bedwell Hall, Clara Park, and Lugo Park not less than 72 hours prior to the meeting. A copy of said Agenda is on file in the City Clerk’s Office.

Dated this 14th day of July 2022
Richard Iglesias, CMC
City Clerk

Blank Page

“Serving the People” "Sirviendo A La Comunidad"
Staff Report
07/19/2022 Page 1 of 2

STAFF REPORT
Date: July 19, 2022
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Richard Iglesias, City Clerk
Subject: Consideration to Review and Approve the Draft Minutes of July 5, 2022, for the Regular Meeting of the City Council and the Joint Meeting of the City of Cudahy as Successor Agency and Housing Successor Agency to the Cudahy Development Commission

RECOMMENDATION
The City Council is requested to review and approve the City Council / Successor Agency Draft Minutes for July 5, 2022.

BACKGROUND / ANALYSIS
On December 12, 2016, the City Council of the City of Cudahy adopted Resolution No. 16-38, approving the use of summary action minutes, meant to allow the City Clerk's Office to write the minutes in brief, assuring a record of Council's actions, due to having a recording of the full Council Meeting on the City’s website.

Historically
The Municipal Clerk is one of the oldest professions in government, dating back to 1272 A.D., originating in England. The record keeper then was called Remembrancer, an English official whose job was to remind the Lord Treasurer and Barons of Court, of business pending.

Years later, in the 1600s, when early colonists came to America, the office of the Clerk was one of the first offices to be established. Over the years, the City Clerk’s office has become the core for local government, and the liaison to the residents of the Community. The Municipal Clerk (City Clerk) is the record keeper of a City’s recorded history.

Item Number
14A

“Serving the People” "Sirviendo A La Comunidad"
Staff Report
07/19/2022 Page 2 of 2
William Bennett Munro, a Canadian historian, and political scientist, who taught at Harvard University and the California Institute of Technology, stated in one of his first textbooks written: “No other office in municipal service has so many contacts. It serves the Mayor, the City Council, the City Manager (when there is one), and all administrative departments, without exception. All of them call upon it, almost daily, for some service or information. Its work is not spectacular, but it demands versatility, alertness, accuracy, and no end of patience.

The public does not realize how many loose ends of city administration this office pulls together.”
Moving forward to the present time, the City Clerk’s office today is generally responsible for keeping a record of City Council meetings; agreements; recordings of official documents; legal advertisements; municipal elections; commissions and committees current files; claims against the city; and other legal or official documents.

City Clerks are required to keep record of the proceedings (minutes) of Council meetings (Government Code Sections 36814 and 40801). Minutes are the official record of a meeting which provides a history of the Council’s decisions and actions.

CONCLUSION
City Council is requested to approve the attached City Council / Agency Draft Minutes of the proceedings of July 5, 2022.

FINANCIAL IMPACT
No Financial Impact.

ATTACHMENT
A. Draft Minutes July 5, 2022
B. Resolution No. 16-38, approving the City Clerk’s use of Summary Action Minutes as the Official Record of the City Council proceedings.

City Council/Successor Agency Minutes of 7/5/22 Page 1 of 8

MINUTES
CUDAHY CITY COUNCIL REGUAR MEETING and
CITY OF CUDAHY AS SUCCESSOR AGENCY and

HOUSING SUCCESSOR AGENCY TO THE CUDAHY

DEVELOPMENT COMMISSION JOINT MEETING
July 5, 2022 6:30 P.M.

1. CALL TO ORDER
Mayor / Chair Alcantar called the meeting to order at 6:33 p.m.

2. ROLL CALL
PRESENT: Council / Agency Member Jack M. Guerrero
Council / Agency Member Blanca Lozoya
Council / Agency Member Daisy Lomelí
Vice Mayor / Vice Chair Jose R. Gonzalez (arrived at 6:36 p.m.) Mayor / Chair Elizabeth Alcantar
ABSENT: NONE
ALSO PRESENT: City Manager, Alfonso Noyola, Deputy City Attorney Stephanie Archiaga, Deputy City Attorney, Susie Altamirano, City Clerk, Richard Iglesias, Junior Deputy City Clerk, Estefania Zamora, Finance Director, Joshua Calhoun, Administrative Services Director, Brenda Rodriguez, and Interim Community Development Director Salvador Lopez.

3. PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was led by Council Member Guerrero.

4. LAND ACKNOWLEDGEMENT
The Land Acknowledgment was led by Council Member Lomelí.

We would like to acknowledge that the land we inhabit today was once known as Tovangaar, the home of the Gabrieleño-Tongva people. We show our respects to the Gabrieleño-Tongva people, as well as all Indigenous people, past, present, and future, and honor their labor as original caretakers of this land. We commit to uplifting the Gabrieleño-Tongva people, invite you to acknowledge the history, and join us in caring for this land.

5. PRESENTATIONS – NONE

6. CLOSED SESSION PUBLIC COMMENTS
Attachment A Page 11 of 261
City Council/Successor Agency Minutes of 7/5/22 Page 2 of 8 Jack Guerrero announced he would be withdrawing from closed session proceeding due to not having sufficient background of item 7A to justify the classification under the government code, mentioned he is unable to make an independent corroboration, the risk of Council members exceeding the parameters of the limited scope for discussion, reminded colleagues that any breach of the Brown Act subjects Council individually to civil sanction and worst case to criminal misdemeanor prosecution, and alleged a pattern of deviating from the brown act in the past.

7. CLOSED SESSION
A. Session Pursuant to Government Code Section 54956.9(d)(2) – Conference with Legal Counsel to Discuss Matter Involving Potential Litigation – One Matter At 6:41 p.m., Deputy City Attorney, Stephanie Arechiga recessed to closed session.

At 7:33 p.m., Mayor Alcantar reconvened to open session.

8. CLOSED SESSION ANNOUNCEMENT
Deputy City Attorney Stephanie Arechiga announced no reportable action at this time.

9. PUBLIC COMMENTS
Gerardo Hernandez asked the Council to not support Council Member Guerrero’s resolution to declare the city a sanctuary city for unborn children, shared a story of a 10- year-old victim who had to travel for an abortion, passing Council Member Guerrero’s resolution affirms the City of Cudahy to ban abortion procedures even in the event of rape and life threating pregnancies, stated this is a war against woman bodily autonomy.

Tevina Q. spoke against Council Member Guerrero’s resolution to declare the city a sanctuary city for unborn children.

Abigail Mejia spoke in opposition of Council Member Guerrero’s resolution and support Council Member Lomeli’s resolution, mentioned Senator Lena Gonzalez has been fighting to ensure all women not just those in California know that the state continues to protect women fundamental rights of abortion, stated the Senator Gonzalez wrote SB 245 extending access to reproductive health care eliminating out of pocket costs. Senator Gonzalez will continue to protect and advocate reproductive freedom for all.

Krystal Markovich spoke against Council Member Guerrero’s resolution to declare the city a sanctuary city for unborn children.

Jack Guerrero commented on the recent modifications of the consent calendar protocols, alleged it violates the Brown Act, summarized the changes to the public, mentioned the ordinance does not include who in the City is powered to determine which items are consent and which are not.

City Council/Successor Agency Minutes of 7/5/22 Page 3 of 8 Star expressed her support for Council Member Lomeli resolution and spoke against Council Member Guerrero’s resolution to declare the city a sanctuary city for unborn children.

Reyna Lopez shared her embarrassment to see the resolution on this agenda, spoke against Council Member Guerrero, and shared a personal story.

10. CITY COUNCIL COMMENTS / REQUESTS FOR AGENDA ITEMS
Council Member Guerrero Council Member Guerrero announced he attended the NALEO conference and commented on the changes to the consent calendar and his evaluation of the consent calendar protocols.

Council Member Lomelí thanked everyone who attended tonight’s meeting and opposing her colleague’s item, congratulated all grads, covid rates increase and give an update where residents can get tested.

Vice Mayor Gonzalez thanked everyone, stated women reproductive rights are women decisions and should be individually made with no restrictions, thanked the team for the 4th of July festival, congratulated all grads, and mentioned his attendance at the NALEO conference.

Mayor Alcantar thanked everyone that attended the meeting, shared her attendance at the 7th annual purple lily award with Latino Equality Alliance, mentioned she sent out a letter on behalf of the City supporting SB 972 street vendors, also commented on her attendance at the 4th of July event, thanked staff and wants to host a workshop for youth that skateboard in the city, lastly asked Council to adjourn the meeting in memory of 53 migrants that were left abandoned in a semi-truck and the 7 that were murdered at the July 4th event in Chicago.

11. CITY MANAGER REPORT (information only)

12. REPORTS REGARDING AD HOC, ADVISORY, STANDING OR OTHER COMMITTEE MEETINGS – NONE

13. WAIVER OF FULL READING OF RESOLUTIONS AND ORDINANCES Motion: Vice Mayor Gonzalez motioned to waive full reading of resolutions and ordinances, seconded by Council Member Lozoya. Motion passed 4-1 by the following roll call vote:

AYES: Lozoya, Lomelí, Gonzalez, and Alcantar
NOES: Guerrero
ABSENT: None
ABSTAIN: None

14. CONSENT CALENDAR

City Council/Successor Agency Minutes of 7/5/22 Page 4 of 8 Council Member Guerrero stated minutes missing material points and important commentary directly related to the matter. He shared an example from a meeting last year in October, and stated he will be voting against item 14A.

A. Consideration to Review and Approve the Draft Minutes of June 7, 2022 for the Regular Meeting of the City Council and the Joint Meeting of the City of Cudahy as Successor Agency and Housing Successor Agency to the Cudahy Development Commission
Recommendation: The City Council is requested to review and approve the City Council / Successor Agency Draft Minutes for June 7, 2022.

B. Consideration to Receive and File City Council Calendar for Fiscal Year 2022-23 Recommendation: The City Council is requested to receive and file the City Council Calendar, which indicates the Fiscal Year (FY) 2022-23 council meeting dates, draft staff report and attachments due date, draft council agenda packet delivery dates and the City’s designated holidays
Motion: Mayor Alcantar motioned to approve Consent Calendar items, seconded by Council Member Lomelí. Motion passed 4-1 by the following roll call vote:

AYES: Lozoya, Lomelí, Gonzalez, and Alcantar
NOES: Guerrero
ABSENT: None
ABSTAIN: None

15. PUBLIC HEARING – NONE

16. BUSINESS SESSION
A. Resolution of public interest and convenience, declaring the city’s intent to sell real property at 5256 Elizabeth Street and 5260 Elizabeth Street (APN 6224-001-901 and APN 6224-001-902) for the construction of a multifamily residential development Presented by the Interim Community Development Director Recommendation: Staff recommends that the City Council of the City of Cudahy (the “City”): 1. Adopt the Resolution of Public Interest and Convenience No. 22-39, declaring the City’s intent to sell the real property located at 5256 Elizabeth Street and 5260 Elizabeth Street, Cudahy, California with the following Los Angeles County Assessor Parcel Numbers: 6224- 001-901 and 6224-001-902, in order to allow for the development of multifamily residential development (“Project”).

Motion: Vice Mayor Gonzalez motioned to adopt the Resolution of Public Interest and Convenience No. 22-39, declaring the City’s intent to sell the real property located at 5256 Elizabeth Street and 5260 Elizabeth Street, Cudahy, California with the following Los Angeles County Assessor Parcel Numbers: 6224- 001-901 and 6224-001-902, in order

City Council/Successor Agency Minutes of 7/5/22 Page 5 of 8 to allow for the development of multifamily residential development (“Project”), seconded by Council Member Lomelí. Motion passed 3-1 by the following roll call vote:

AYES: Lomelí, Gonzalez, and Alcantar
NOES: Guerrero
ABSENT: None
ABSTAIN: Lozoya (Recused herself due to proximity of property) B. Declaration of surplus property pursuant to Government Code 54220 et. seq. in the City of Cudahy, California, County of Los Angeles, (APNs: 6226-022-904, 6226-022- 905, 6226-022-906, 6226-022-907, 6226-022-908, 6226-022-909, 6226-022-910, 6226-022-911)
Presented by the Interim Community Development Director Recommendation: Staff recommends that the City Council of the City of Cudahy (the “City”), sitting as Successor Agency to the former Redevelopment Agency of the City of Cudahy (“Successor Agency”): Find that the declaration of surplus property is exempt from environmental review pursuant to the California Environmental Quality Act; and adopt a resolution declaring that the properties located at 4613 Clara Street, 4615 Clara Street, 7638 Atlantic Ave., 7660 Atlantic Ave., 7644 Atlantic Ave., 7630 Atlantic Ave. (APNs: 6226-022-904, 6226-022-905, 6226-022-906, 6226-022-907, 6226-022-908, 6226-022-909, 6226-022-910 6226-022-911) are surplus land and are no longer necessary for the Successor Agency’s use, and directing the Executive Director, or their designee, to follow the procedures set forth in the Surplus Land Act, California Government Code Section 54220, et seq., for the sale of surplus land.

Motion: Agency Member/Council Member Lomelí motioned to Find that the declaration of surplus property is exempt from environmental review pursuant to the California Environmental Quality Act; and adopt a resolution declaring that the properties located at 4613 Clara Street, 4615 Clara Street, 7638 Atlantic Ave., 7660 Atlantic Ave., 7644 Atlantic Ave., 7630 Atlantic Ave. (APNs: 6226-022-904, 6226-022-905, 6226-022-906, 6226-022- 907, 6226-022-908, 6226-022-909, 6226-022-910 6226-022-911) are surplus land and are no longer necessary for the Successor Agency’s use, and directing the Executive Director, or their designee, to follow the procedures set forth in the Surplus Land Act, California Government Code Section 54220, et seq., for the sale of surplus land, seconded by Agency Member/Council Member Lozoya. Motion passed 4-0 by the following roll call vote:

AYES: Lozoya, Lomelí, Gonzalez, and Alcantar
NOES: None
ABSENT: None
ABSTAIN: Guerrero
C. Adoption of Proposed Ordinance Amending Section 20 (Appointment, Reappointment, and Removal) of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code Presented by the City Attorney

City Council/Successor Agency Minutes of 7/5/22 Page 6 of 8 Recommendation: The City Council is requested to approve an Ordinance by first reading, amending Section 20 of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code.

Motion: Council Member Lozoya motioned to approve an Ordinance by first reading, amending Section 20 of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code, seconded by Council Member Lomelí. Motion passed 5-0 by the following roll call vote:

AYES: Guerrero, Lozoya, Lomelí, Gonzalez, and Alcantar
NOES: None
ABSENT: None
ABSTAIN: None
D. Adoption of Proposed Resolution No. 22-40 Establishing the Objectives and Policies for the Planning Commission
Presented by the City Attorney
Recommendation: The City Council is requested to adopt proposed Resolution No. 22- 40 establishing the objectives and policies for the Planning Commission.

Motion: Council Member Lomelí motioned to adopt proposed Resolution No. 22-40 establishing the objectives and policies for the Planning Commission, seconded by Mayor Alcantar. Motion passed 5-0 by the following roll call vote:

AYES: Guerrero, Lozoya, Lomelí, Gonzalez, and Alcantar
NOES: None
ABSENT: None
ABSTAIN: None
E. Consideration to Adopt a Proposed Urgency Ordinance of the City Council of the City of Cudahy Establishing an Interim Prohibition on Residential Rent Increases and Creating an Ad Hoc Rent Control City Council Subcommittee Presented by the City Attorney
Recommendation: It is staff’s recommendation that the City Council take one of the following actions: 1. Adopt Urgency Ordinance No. 724 establishing a temporary prohibition on residential rent increases for a period of 90 days with the ability to extend further; or 2. Take no further action and receive and file this report.

Motion: Vice Mayor Gonzalez motioned to adopt Urgency Ordinance No. 724 establishing a temporary prohibition on residential rent increases for a period of 90 days with the ability to extend further with exemption of any properties under 4 units, seconded by Mayor Alcantar. Motion failed 3-2 by the following roll call vote:

AYES: Lomelí, Gonzalez, and Alcantar

City Council/Successor Agency Minutes of 7/5/22 Page 7 of 8 NOES: Lozoya, and Guerrero
ABSENT: None
ABSTAIN: None
Subsequent Motion: Council Member Lomelí motioned to adopt Urgency Ordinance No. 724 establishing a temporary prohibition on residential rent increases for a period of 90 days with the ability to extend further, seconded by Mayor Alcantar. Motion failed 3-2 by the following roll call vote:

AYES: Lomelí, Gonzalez, and Alcantar
NOES: Lozoya, and Guerrero
ABSENT: None
ABSTAIN: None

17. COUNCIL DISCUSSION
A. Council Member Guerrero
i. Resolution to declare the City of Cudahy a sanctuary city for unborn children.

B. Council Member Lomelí
i. Support of Countywide pilot project to expand and improve access to sexual and reproductive health care services via LA County Abortion Access Safe Haven Pilot Program

18. ADJOURNMENT
Council Member Lomelí motioned to adjourn the City Council / Agency meeting at 9:18 p.m. in memory of the 53 migrants from San Antonio, Texas, and the 7 victims from Highland Park Parade, seconded by Vice Mayor Gonzalez. Motion passed 5-0 by the following roll call vote:

AYES: Guerrero, Lozoya, Lomelí, Gonzalez, and Alcantar
NOES: None
ABSENT: None
ABSTAIN: None

Elizabeth Alcantar
Mayor
ATTEST:

City Council/Successor Agency Minutes of 7/5/22 Page 8 of 8

Richard Iglesias
City Clerk

Attachment
B

“Serving The People” "Sirviendo A La Comunidad"
Staff Report
07/19/2022 Page 1 of 3

STAFF REPORT
Date: July 19, 2022
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: City Attorney’s Office
Subject: Adoption of Proposed Resolution No. 22-41 Proclaiming a Local Emergency, Ratifying the Proclamation of a State of Emergency by Governor Newsom on March 4, 2020, and Re-Authorizing Remote Teleconference Meetings of the City Council, City Boards, and all Commissions of the City of Cudahy, for the Period from July 19, 2022, through August 18, 2022, Pursuant to Brown Act Provisions

RECOMMENDATION
The City Council is requested to approve proposed Resolution No. 22-41 proclaiming a local emergency, ratifying the proclamation of a State of Emergency by Governor Newsom on March 4, 2020, and re-authorizing remote teleconference meetings of the City Council, City Boards, and all Commissions of the City of Cudahy, for the period from July 19, 2022, through August 18, 2022, pursuant to Ralph M. Brown Act provisions.

BACKGROUND
COVID-19 (also known as the “Coronavirus Disease”) is a respiratory disease that was first reported in China in December 2019, has now spread throughout the state of California, including through the City of Cudahy (“City”). On March 4, 2020, Governor Gavin Newsom declared a State of Emergency in response to the rising cases of COVID-19 throughout the state of California. On the same day as Governor Newsom’s declaration, the Los Angeles County Board of Supervisors and Los Angeles County Department of Public Health (“LACDPH”) declared a local emergency and local public health emergency in response to the spread of COVID-19 throughout the County. On April 10, 2020, in response to the conditions of extreme peril to the safety of persons within the City, the Cudahy City Council (“City Council”) declared a local emergency consistent with the declaration of local emergency by the LACDPH.

On September 16, 2021, Governor Newsom signed into law Assembly Bill No. 361 (“AB 361”), Item Number
14B

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which, until January 1, 2024, authorizes a local agency to use teleconferencing without complying with the teleconferencing requirements imposed by the Brown Act when a legislative body of a local agency holds a meeting during a declared State of Emergency, as that term is defined, when state or local health officials have imposed or recommended measures to promote social distancing or when the legislative body has determined that meeting in person would present imminent risks to the health or safety of attendees.

Currently, the state-declared emergency remains in effect. LACDPH has issued a series of Health Officer Orders containing mandates and recommendations for keeping individuals safe, reducing risk, and preventing the spread of COVID-19. The most recent Public Health Order (“Health Order”) by the LACDPH, effective as of April 22, 2022, states that Los Angeles County is currently experiencing increases in COVID-19 cases, positivity rates, and COVID-19 hospitalizations are no longer in decline. The Health Order continues to strongly recommend masks for all persons, regardless of vaccine status, in indoor public settings and businesses.

On June 21, 2022, the City Council adopted Resolution No. 22-36, proclaiming a local emergency, ratifying the proclamation of a State of Emergency by Governor Newsom on March 4, 2020, and re-authorizing remote teleconference meetings of the City Council, City Boards, and all Commissions of the City, for the period from June 21, 2022, through July 21, 2022.

ANALYSIS
AB 361 requires legislative bodies that hold teleconferenced meetings under its abbreviated teleconferencing procedures to give notice of the meeting and post agendas, as described, to allow members of the public to access the meeting and address the legislative body, to give notice of the means by which members of the public may access the meeting and offer public comment, including an opportunity for all persons to attend via a call-in option or an internetbased service option, and to conduct the meeting in a manner that protects the statutory and constitutional rights of the parties and the public appearing before the legislative body. AB 361 also requires the legislative body take no further action on agenda items when there is a disruption which prevents the public agency from broadcasting the meeting, or in the event of a disruption within the local agency’s control which prevents members of the public from offering public comments, until public access is restored. AB 361 prohibits the legislative body from requiring public comments to be submitted in advance of the meeting and specifies that the legislative body must provide an opportunity for the public to address the legislative body and offer comments in real time. AB 361 prohibits the legislative body from closing the public comment period and the opportunity to register to provide public comment, until the public comment period has elapsed or until a reasonable amount of time has elapsed, as specified.

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All City Council, Board, and Commission meetings are open and public, as required by the Brown Act, so that any member of the public may attend, participate, and watch the City Council or City Commission conduct their business. Given the County of Los Angeles is currently experiencing an increase of COVID-19 cases throughout the County, the City continues to recommend measures to promote social distancing which include requiring staff and civilians wear masks in City buildings as well as posting COVID-19 safety measures throughout City buildings and on the City’s social media accounts.

Once the initial authorizing resolution is adopted, as it was on October 5, 2021, ongoing authorization every thirty (30) days is required by majority vote. If the legislative body desires to continue using the teleconference exception, it must confirm the circumstances of the State of Emergency thirty (30) days after the first teleconference meeting and every thirty (30) days thereafter. Resolution Number 22-36 expires on July 21, 2022, staff recommends the City Council adopt the attached resolution before the existing resolution lapses.

CONCLUSION
In light of the continuing State declaration of emergency resulting from the COVID-19 pandemic and the imminent risks to the health and safety of attendees at meetings conducted in person due to the spread of COVID-19, staff recommends the City Council approve proposed Resolution No. 22-41 proclaiming a local emergency, ratifying the proclamation of a State of Emergency by Governor Newsom on March 4, 2020, and re-authorizing remote teleconference meetings of the City Council of the City of Cudahy, for the period from July 19, 2022, through August 18, 2022, pursuant to Ralph M. Brown Act provisions.

FINANCIAL IMPACT
There is no financial impact on the City at this time.

ATTACHMENTS
A. Proposed Resolution No. 22-41

1 RESOLUTION NO. 22-41

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

CUDAHY, CALIFORNIA PROCLAIMING A LOCAL

EMERGENCY, RATIFYING THE PROCLAMATION OF A

STATE OF EMERGENCY BY GOVERNOR NEWSOM ON
MARCH 4, 2020, AND RE-AUTHORIZING REMOTE

TELECONFERENCE MEETINGS OF THE CITY COUNCIL,

CITY BOARDS, AND ALL COMMISSIONS OF THE CITY OF
CUDAHY, FOR THE PERIOD FROM JULY 19, 2022,
THROUGH AUGUST 18, 2022, PURSUANT TO BROWN

ACT PROVISIONS
WHEREAS, COVID-19 (also known as the “Coronavirus Disease”) is a respiratory disease that was first reported in China in December 2019, it has now spread throughout the state of California, including throughout the City of Cudahy (“City”); and WHEREAS, on March 4, 2020, Governor Gavin Newsom declared a State of Emergency in response to the rising cases of COVID-19 throughout the state of California; and
WHEREAS, on March 4, 2020, the Los Angeles County Board of Supervisors and Los Angeles County Department of Public Health (“LACDPH”) declared a local emergency and local public health emergency in response to the spread of COVID-19 throughout the County; and
WHEREAS, on March 17, 2020, Governor Newsom issued Executive Order N-29- 20, which allowed local governments meet remotely without adherence to the traditional teleconferencing rules set forth in the Ralph M. Brown Act (“Brown Act”), this waiver was extended through September 30, 2021, by Executive Order N-08-21; and WHEREAS, on April 10, 2020, in response to the conditions of extreme peril to the safety of persons within the City, the Cudahy City Council (“City Council”) declared a local emergency consistent with the declaration of local emergency by the LACDPH; and WHEREAS, on September 16, 2021, Governor Newsom signed into law Assembly Bill No. 361 (“AB 361”), which, until January 1, 2024, authorizes a local agency to use teleconferencing without complying with the teleconferencing requirements imposed by the Brown Act, when a legislative body of a local agency holds a meeting during a declared State of Emergency, as that term is defined, when state or local health officials have imposed or recommended measures to promote social distancing or when the legislative body has determined that meeting in person would present imminent risks to the health or safety of attendees; and
WHEREAS, as stated in the most recent Public Health Order (“Health Order”) by the LACDPH, effective as of April 22, 2022, Los Angeles County is currently experiencing increases in COVID-19 cases, positivity rates, and COVID-19 hospitalizations are no longer in decline; and
Attachment A Page 24 of 261
2 WHEREAS, the Health Order continues to strongly recommend masks for all persons, regardless of vaccine status, in indoor public settings and businesses; and WHEREAS, AB 361 requires legislative bodies that hold teleconferenced meetings under its abbreviated teleconferencing procedures to give notice of the meeting and post agendas, as described, to allow members of the public to access the meeting and address the legislative body, to give notice of the means by which members of the public may access the meeting and offer public comment, including an opportunity for all persons to attend via a call-in option or an internet-based service option, and to conduct the meeting in a manner that protects the statutory and constitutional rights of the parties and the public appearing before the legislative body; and
WHEREAS, AB 361 requires the legislative body take no further action on agenda items when there is a disruption which prevents the public agency from broadcasting the meeting, or in the event of a disruption within the local agency’s control which prevents members of the public from offering public comments, until public access is restored; and WHEREAS, AB 361 prohibits the legislative body from requiring public comments to be submitted in advance of the meeting and specifies that the legislative body must provide an opportunity for the public to address the legislative body and offer comment in real time; and
WHEREAS, AB 361 prohibits the legislative body from closing the public comment period and the opportunity to register to provide public comment, until the public comment period has elapsed or until a reasonable amount of time has elapsed, as specified; and WHEREAS, all City Council, Board, and Commission meetings are open and public, as required by the Brown Act, so that any member of the public may attend, participate, and watch the City Council or City Commission conduct their business; and WHEREAS, on October 5, 2021, the City Council adopted Resolution No. 21-35, proclaiming a local emergency, ratifying the proclamation of a State of Emergency by Governor Newsom on March 4, 2020, and authorizing remote teleconference meetings of the City Council, City Boards, and all Commissions of the City, for the period from October 5, 2021, through November 4, 2021, pursuant to Brown Act provisions; and WHEREAS, on November 2, 2021, the City Council adopted Resolution No. 21- 43, extending Resolution No. 21-35 an additional thirty (30) days through December 4, 2021, pursuant to Brown Act provisions; and WHEREAS, on November 16, 2021, the City Council adopted Resolution No. 21- 46, extending Resolution No. 21-43 through January 3, 2022, pursuant to Brown Act provisions; and
WHEREAS, on December 21, 2021, the City Council adopted Resolution No. 21- 51, extending Resolution No. 21-46 through January 20, 2022, pursuant to Brown Act provisions; and

3 WHEREAS, on January 18, 2022, the City Council adopted Resolution No. 22-02, extending Resolution No. 21-51 through February 17, 2022, pursuant to Brown Act provisions; and
WHEREAS, on February 15, 2022, the City Council adopted Resolution No. 22- 07, extending Resolution No. 22-02 through March 17, 2022, pursuant to Brown Act provisions; and
WHEREAS, on March 15, 2022, the City Council adopted Resolution No. 22-11, extending Resolution No. 22-07 through April 14, 2022, pursuant to Brown Act provisions; and
WHEREAS, on April 5, 2022, the City Council adopted Resolution No. 22-13, extending Resolution No. 22-11 through May 5, 2022, pursuant to Brown Act provisions; and
WHEREAS, on May 3, 2022, the City Council adopted Resolution No. 22-19, extending Resolution No. 22-13 through June 2, 2022, pursuant to Brown Act provisions; and
WHEREAS, on May 17, 2022, the City Council adopted Resolution No. 22-21, extending Resolution No. 22-19 through June 16, 2022, pursuant to Brown Act provisions; and
WHEREAS, on June 7, 2022, the City Council adopted Resolution No. 22-25, extending Resolution No. 22-21 through July 7, 2022, pursuant to Brown Act provisions; and
WHEREAS, on June 21, 2022, the City Council adopted Resolution No. 22-36, extending Resolution No. 22-25 through July 21, 2022, pursuant to Brown Act provisions; and
WHEREAS, the City continues to recommend measures to promote social distancing which include requiring staff and civilians wear masks in City buildings as well as posting COVID-19 safety measures throughout City buildings and on the City’s social media accounts; and
WHEREAS, in light of the continuing State declaration of emergency resulting from the COVID-19 pandemic, the continuing recommendation by Los Angeles County Public Health officials for masking at indoor events and social distancing, and the imminent risks to the health and safety of attendees at meetings conducted in person due to the spread of COVID-19, the City Council desires to make the findings required by AB 361 to allow the City Council and all City Boards and Commissions to continue to meet under AB 361’s abbreviated teleconferencing procedures.

NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED BY THE CITY COUNCIL OF THE CITY OF CUDAHY, CALIFORNIA, AS FOLLOWS:

4 SECTION 1. The Recitals set forth above are true and correct and are incorporated into this Resolution by reference.

SECTION 2. The City Council finds that the State and County declarations of emergency in response to the COVID-19 pandemic remain in place.

SECTION 3. The City Council finds that local officials, specifically, the Los Angeles County Department of Public Health, continues to recommend social distancing and masks.

SECTION 4. The City of Cudahy staff along with the City Council are hereby authorized and directed to take all actions necessary to carry out the intent and purpose of this Resolution including, conducting open and public City Council and City Board and Commission meetings in accordance with the newly revised provisions of the Ralph M.

Brown Act.

SECTION 5. If any section, subsection, sentence, clause, or phrase of this Resolution is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Resolution. The City Council hereby declares that it would have passed this Resolution and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of this Resolution would be subsequently declared invalid or unconstitutional.

SECTION 6. This Resolution shall take effect immediately upon adoption and shall be effective until the earlier of (i) August 18, 2022, or (ii) such time the City Council adopts a subsequent resolution in accordance with Government Code section 54953(e)(3) to extend the time during which the legislative bodies of the City of Cudahy may continue to teleconference without compliance with paragraph (3) of subdivision (b) of section 54953.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Cudahy at the regular meeting of this 19th day of July 2022.
______________________________
Elizabeth Alcantar
Mayor
ATTEST:
____________________________
Richard Iglesias
City Clerk

5 STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:

CITY OF CUDAHY )
I, Richard Iglesias, City Clerk of the City of Cudahy, hereby certify that the foregoing Resolution No. 22-41 was passed and adopted by the City Council of the City of Cudahy, signed by the Mayor and attested by the City Clerk at a regular meeting of said Council held on the 19th day of July 2022 and that said Resolution was adopted by the following vote, to-wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Richard Iglesias
City Clerk

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STAFF REPORT
Date: July 19, 2022
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager
By: City Attorney’s Office
Subject: Adoption of Proposed Ordinance Amending Section 20 (Appointment, Reappointment, and Removal) of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code

RECOMMENDATION
The City Council is requested to approve an Ordinance by second reading, amending Section 20 of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code.

BACKGROUND/ANALYSIS
On September 7, 1976, the City Council passed Ordinance No. 213 establishing the qualifications and terms for Commissions in the City. On July 18, 1988, the City Council adopted Ordinance No. 395, amending the qualifications regarding Commission membership for all City Commissions. On October 4, 1993, the City Council adopted Ordinance No. 482, amending the term for City Commissioners. On April 5, 2022, the City Council adopted Ordinance No. 719, amending the City Commissioners qualifications and terms for Commissions for the City.

City Commissioners provide a valuable service to the City by advising the City Council on numerous issues. In an effort to avoid any potential conflicts of interest of Commissioners which would lead to a recusal, the City Council wishes to update the guidelines for Commissioners and prevent any Commissioner involvement with any nonprofit sponsored by the City.

Item Number
14C

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CONCLUSION
Based on the foregoing, staff recommends that the City Council adopt Ordinance No. 723, amending Section 20 (Appointment, Reappointment, and Removal) of Chapter 2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code.

FINANCIAL IMPACT
There are no financial impacts anticipated by this requested action.

ATTACHMENT
A. Ordinance No. 723

ORDINANCE NO. 723

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF CUDAHY AMENDING SECTION 20 (APPOINTMENT,
REAPPOINTMENT AND REMOVAL) OF CHAPTER 2.32
(CITY COMMISSIONERS) OF TITLE 2 (ADMINISTRATION

AND PERSONNEL) OF THE CUDAHY MUNICIPAL CODE
WHEREAS, on September 7, 1976, the City Council for the City of Cudahy (“City Council”) adopted Ordinance No. 213 establishing the qualifications and terms for Commissions in the City of Cudahy (“City”); and
WHEREAS, on July 18, 1988, the City Council adopted Ordinance No. 395, amending the qualifications regarding Commission membership for all City Commissions; and
WHEREAS, on October 4, 1993, the City Council adopted Ordinance No. 482, amending the term for City Commissioners; and
WHEREAS, on April 5, 2022, the City Council adopted Ordinance No. 719, amending the City Commissioners qualifications and terms for Commissions for the City; and
WHEREAS, City Commissioners provide a valuable service to the City by advising the City Council on numerous issues; and
WHEREAS, the City Council wishes to update the Cudahy Municipal Code (“Municipal Code”) to ensure there are no conflicts of interest with the Commissioners participation in advisory decisions of the City.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CUDAHY DOES ORDAIN AS FOLLOWS:

Section 1. The facts set forth in the recitals above are true and correct.

Section 2. Section 20 (Appointment, Reappointment and Removal) of Chapter

2.32 (City Commissioners) of Title 2 (Administration and Personnel) of the Cudahy Municipal Code is hereby amended in its entirety to read as follows:
“2.32.020 Appointment, Reappointment, and Removal
Each member of the City Council shall have authority to appoint one (1) member to each Commission. Each Councilmember shall appoint their Commissioner within thirty (30) days of assuming office or from a vacancy occurring for said Commission. If no appointment is made within sixty (60) days after assumption of office of the appointing Councilmember, the City Council shall appoint a Commissioner to the vacant seat by a Attachment A Page 31 of 261
Ordinance No. 723

majority vote.

Each Commissioner shall serve on only one (1) Commission at a time, occupation of two or more commission seats at one time will disqualify the individual from all Commissions.

No Commissioner shall serve on the board of any nonprofit sponsored by the City while occupying a Commissioner seat, failure to recuse themselves from the board of a City sponsored nonprofit will disqualify the individual from the Commission.

Commission members may be removed from their appointment due to disqualification as provided in this Chapter or upon the sole decision by the Councilmember who appointed said Commissioner. All appointments and removals of Commissioners shall occur during an open meeting of the City Council. If removal of a Commissioner occurs, the City Clerk shall send notice to that Commissioner at the last address on file with the City.”
Section 3. CEQA. This Ordinance is not subject to CEQA under the general rule set forth in Section 15601(b)(3) of the CEQA Guidelines that CEQA only applies to projects which have the potential for causing a significant effect on the environment.

Section 4. Inconsistent Provisions. Any provision of the Cudahy Municipal Code, or appendices thereto, that conflicts with the provisions of this Ordinance, to the extent of such conflict and no further, is hereby repealed or modified to the extent necessary to affect the provisions of this Ordinance.

Section 5. Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance, or any part thereof is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, clause or phrase would be subsequently declared invalid or unconstitutional.

Section 6. Construction. This Ordinance is intended to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. To the extent the provisions of the Cudahy Municipal Code as amended by this Ordinance are substantially the same as the provisions of that Code as it read prior to the adoption of this Ordinance, those amended provisions shall be construed as continuations of the earlier provisions and not as new enactments.

Section 7. Publication and Effective Date. The Mayor shall sign, and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within fifteen (15) days after its adoption.

This Ordinance shall become effective thirty (30) days after adoption.

Ordinance No. 723

PASSED, APPROVED and ADOPTED by the City Council of the City of Cudahy this XX day of XXXXXX 2022.
________________________________
Elizabeth Alcantar
Mayor
ATTEST:
_________________________________
Richard Iglesias
City Clerk

Ordinance No. 723

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:

CITY OF CUDAHY )
I, Richard Iglesias, City Clerk of the City of Cudahy, hereby certify that the foregoing Ordinance No. 723 was introduced for a first reading on the 5th day of July 2022 and approved for a second reading and adopted by said Council at its regular meeting held on the ___ day of ____ 2022 by the following vote, to-wit:

AYES:

NOES:

ABSTAIN:

ABSENT:

________________________________
Richard Iglesias
City Clerk

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STAFF REPORT
Date: July 19, 2022
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Joshua Calhoun, Finance Director
Subject: Approval of the Local Agency Investment Fund (LAIF) for the Month of June 2022

RECOMMENDATION
The City Council is requested to approve the Local Agency Investment Fund (LAIF) Report for the month of June 2022 in the amount of $11,202,228.14.

BACKGROUND

1. In 1955, the Pooled Money Investment Account (PMIA) started. LAIF became part of the PMIA. The oversight is provided by the Pooled Money Investment Board (PMIB) and an inhouse Investment Committee. The PMIB members consist of the State Treasurer, Director of Finance, and State Controller.

2. In 1977, LAIF was created as a voluntary program by Section 16429.1 et seq. of the California Government Code. The program was intended to be used as an investment alternative for California's local governments and special districts. The LAIF continues today under State Treasurer, Fiona Ma's administration.

3. On June 1, 2022, the balance in LAIF was $11,202,228.14 (See Attachment).

4. On June 31, 2022, the balance in LAIF was $11,202,228.14 (See Attachment).

ANALYSIS
The voluntary program offers local agencies the opportunity to participate in a major portfolio, which invests hundreds of millions of dollars, using the investment expertise of the State Treasurer’s Office investment staff at no additional cost to the taxpayer.

Item Number
14D

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All securities are purchased under the authority of Government Code Section 16430 and 16480.4. The State Treasurer's Office takes delivery of all securities purchased on a delivery versus payment basis using a third-party custodian.

Cudahy Municipal Code Section 3.04.080 indicates, "Except as otherwise provided, no warrant shall be drawn or evidence of indebtedness issued unless there shall be at the time sufficient money in the treasury legally applicable to the payment of the same."

CONCLUSION
Once the City Council approves the current LAIF, the ending balance of $11,202,228.14, this balance June be relied upon when determining whether or not there are sufficient funds available to pay demands and payroll as required by Cudahy Municipal Code Section 3.04.080.

FINANCIAL IMPACT
None

ATTACHMENT
A. Local Agency Investment Fund (LAIF) Balance

LOCAL AGENCY INVESTMENT FUND
General Account - City #98-19-225
Beginning Balance as of June 01, 2022 $ 11,202,228.14
LAIF Interest earned 0
Transfer from City operating account 0
Transfer to City operating account 0
Ending Balance as of June 30, 2022 $ 11,202,228.14
Attachment A Page 37 of 261
Blank Page

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STAFF REPORT
Date: July 19, 2022
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Joshua Calhoun, Finance Director
Subject: Approval of the City Demands and Payroll Including Statement of Investment for the Month of June 2022

RECOMMENDATION
The City Council is requested to approve the Demands and Payroll in the amount of $1,261,663.52 including the Statement of Investments for the month of June 2022.

BACKGROUND

1. On December 13, 1993, Ordinance 476 was adopted and codified as Cudahy Municipal Code Section 3.04.080 indicating, "Except as otherwise provided, no warrant shall be drawn, or evidence of indebtedness issued unless there shall be at the time sufficient money in the treasury legally applicable to the payment of the same."

2. During June, the following demands and payroll have been completed by the Finance Department:

Demands $ 883,042.62 (Attachment A)
Payroll Warrants $ 378,620.90 (Attachment B)
Total: $ 1,261,663.52

ANALYSIS
The Check Register Report (Attachment A), Payroll Warrants including payroll taxes and insurance premiums (Attachment B), Statement of Investment (Attachment C) indicate that the cash and investment balance was sufficient for disbursements for the month, a summary of cash received and disbursed by month during Fiscal Year (FY) 2021-22 (Attachment D), and Item Number
14E

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a summary of cash received and disbursed by month during FY 2020-21 (Attachment E).

Cudahy Municipal Code Section 3.04.070 indicates, "...Budgeted demands paid by warrant prior to audit by the council shall be presented to the council for ratification and approval..."

CONCLUSION
The Finance Director certifies to the accuracy and availability of funds for payment. A Demand/Warrant Register has been submitted to the City Council for approval in accordance with Cudahy Municipal Code Section 3.04.070.

FINANCIAL IMPACT
The Cash and Investment Report by Source (Attachment C) indicates that there are sufficient funds within the City’s holdings to meet the City’s cash flow requirements.

ATTACHMENTS
A. Accounts Payable Check Register Report.

B. Payroll Warrants including payroll taxes and insurance premiums C. Statement of Investments
D. Summary of Cash Receipt / Disbursement by Month FY 2021-22 E. Summary of Cash Receipt / Disbursement by Month FY 2020-21

City of Cudahy
Check Register Report
Check
Date
Check
Number
Status Amount
BANK:

Vendor
Number
Vendor Name Check Description
WELLS FARGO BANK Page: 1
Time: 8:39 pm
Date: 07/01/2022
Void/Stop
Date
Reconcile
Date
WELLS FARGO BANK Checks
52983 06/13/22 Printed 2378-3 8330 ATLANTIC AVE INC Acct# 00960 -Fuel for Vehicles 05/21/22 795.02 to 05/31/22
52984 06/13/22 Printed 10695 AARON HERNANDEZ Mileage Reimbursement CCCA 146.25 Conference 5/12 to 05/15
ADVANCED IMAGING 274.28

SOLUTIONS
52985 06/13/22 Printed 10603 Kyocera 4053ci/7353ci 04/20/22 to 05/19/22
52986 06/13/22 Printed 10658 ALFONSO NOYOLA Mileage Reimbursement CCCA 146.25 Conference 5/12 to 5/15
52987 06/13/22 Printed 1778 ALL CITY MANAGEMENT School Crossing Guard Services 2,964.00 05/01/22 to 05/14/22
AMAZON CAPITAL SERVICES, 1,242.15
INC.
52988 06/13/22 Printed 10640 Acct# ALK0BMX27WYXQ 05/23/22 to 06/05/22
52989 06/13/22 Printed 10696 ANDRES RANGEL Mileage Reimbursement CCCA 146.25 Conference 5/12 to 05/15
52990 06/13/22 Printed 10595 ARAMSCO INC Bleach, Liners, Toilet tissue Liquid soap, 2,625.74 towel
52991 06/13/22 Printed 0057-2 AT & T PHONE SERVICE Acct# 323 562 2005 521 2 Business 50.28 Local
52992 06/13/22 Printed 0175 BKM OFFICEWORKS, LLC. Office Furniture for HR and Senior 4,365.52 Accountant
52993 06/13/22 Printed 10499 BOXING 4 KIDS LA Boxing Instructor May 2022 1,363.50 CENTRAL BASIN MUNICIPAL 159.60
WATER
52994 06/13/22 Printed 4546 Recycled WAter Tier 1 March 2022 52995 06/13/22 Printed 0186 COUNTY OF LOS ANGELES Housing Costs April 2022 4,295.15 52996 06/13/22 Printed 5552 CUDAHY AUTO CENTER Maint for Truck #5 New air filter and oil 331.40 filter
52997 06/13/22 Printed 10005 DAPEER, ROSENBLIT & LITVAK Municipal Code Enforcement 04/08/22 to 263.40 04/22/22
52998 06/13/22 Printed 10684 ELIZABETH 48 LLC. Refund Security Deposit for grading 4254 5,879.00 Elizabeth st
52999 06/13/22 Printed 6087 FIRST AMERICAN DATA TREE Property Detail Report 05/01 - 05/31/22 99.00 GARVEY EQUIPMENT 608.58

COMPANY
53000 06/13/22 Printed 8203 Pole Prunner
GOLDEN STATE WATER 783.59

COMPANY
53001 06/13/22 Printed 0126-1 Water Services - 5229 Cecilia May 2022 HAULAWAY STORAGE 74.20

CONTAINERS
53002 06/13/22 Printed 10053 21ft container Rental Unit #09920 May 2022
53003 06/13/22 Printed 2139-2 HDL COREN & CONE TaxableTax Allocation Refundng Annual 1,500.00 Continuing Disc Report
HOME DEPOT CREDIT 164.36

SERVICES
53004 06/13/22 Printed 2724 Acct# 6035 3225 0024 3625 Supplies 05/23 to 06/06/22
53005 06/13/22 Printed 9723 IT SYSTEM HOUSE, LLC IT outsourcing monthly fee 05/01/22 to 3,200.00 05/31/22
53006 06/13/22 Printed 10659 JACK M GUERRERO Mileage Reimbursement CCCA 146.25 Conference 5/12 to 05/15
53007 06/13/22 Printed 10660 JOSE R GONZALEZ Mileage Reimbursement CCCA 146.25 Conference 5/12 to 05/15
53008 06/13/22 Printed 10690 JOSHUA CALHOUN Mileage Reimbursement CCCA 146.25 Conference 5/12 to 05/15
KIMLEY-HORN AND 22,966.16

ASSOCIATES,INC
53009 06/13/22 Printed 10694 2nd Progress Inv - April 22 Project# 099895001.3
LA COUNTY SHERIFF'S 345,343.10

DEPARTMENT
53010 06/13/22 Printed 0197 Law Enforcement Services April 2022 LAW OFFICES OF GLENN 30,125.00
WARD
53011 06/13/22 Printed 10457 Legal Serv - Cannabis Special Nov 2021 to May 22
53012 06/13/22 Printed 10598 LEAF Kyocera Copier/Doc fees May 2022 422.70 53013 06/13/22 Printed 5411 LIEBERT CASSIDY WHITMORE Personnel Serv. Rendered Disablity 78.00 Matter: M. Ibarra
53014 06/13/22 Printed 10655 LUIS AGUILAR 3 signs, embroidery, Council decals, 696.00 business cards
Attachment A Page 41 of 261
City of Cudahy
Check Register Report
Check
Date
Check
Number
Status Amount
BANK:

Vendor
Number
Vendor Name Check Description
WELLS FARGO BANK Page: 2
Time: 8:39 pm
Date: 07/01/2022
Void/Stop
Date
Reconcile
Date
WELLS FARGO BANK Checks
53015 06/13/22 Printed 10679 M&J CARPETS CORPORATION 4 boxes of grafe flooring 293.20 53016 06/13/22 Printed 1978-2 OFFICE DEPOT Acct# 89762286 Office Supplies 04/22 to 124.23 06/06
53017 06/13/22 Printed 10201-1 OLIVAREZ MADRUGA LAW April 2022 Legal Services Special 32,256.00 Matters Successor Ag
53018 06/13/22 Printed 5537 PSI PRINTING SYSTEM INC. Envelopes, Municipal forms AP Laser 659.42 Checks
REGIONAL TAP SERVICE 443.50
CENTER
53019 06/13/22 Printed 9737 Senior Tap Card January 2022 53020 06/13/22 Printed 10372-1 RICOH USA, INC. Laserfiche Cloud 1 year term licence 10,247.07 public portal
53021 06/13/22 Printed 2802 SAM'S CLUB Acct#1921 Purchases 05/19/22 to 1,790.74 06/02/22
53022 06/13/22 Printed 8394 SANDLER BROTHERS Wht turkish bath twl/case 246.81 53023 06/13/22 Printed 0069-3 SIEMENS MOBILITY, INC. Traffic Signal Call out April 22 - 7,693.64 Clara/Wilcox
53024 06/13/22 Printed 0071-1 SO CAL GAS Acct# 041 883 6870 0 - Otis 04/14/22 to 29.30 05/13/22
53025 06/13/22 Printed 0071-1 SO CAL GAS Acct#016 800 7800 1- Santa Ana 59.54 04/15/22 to 05/16/22
SOUTHERN CALIFORNIA 716.45
EDISON
53026 06/13/22 Printed 0070 Acct# 700305960272 04/20 to 05/18/22 SOUTHERN CALIFORNIA 62.73
EDISON
53027 06/13/22 Printed 0070 Acct# 700555566837 04/04/22 to 05/31/22
SOUTHERN CALIFORNIA 4,802.42
EDISON
53028 06/13/22 Printed 0070 Acct# 700253825503 03/11/22 to 04/19/22
SOUTHERN CALIFORNIA 17,268.83
EDISON
53029 06/13/22 Printed 0070 Acct# 700402348364 04/11/22 to 05/31/22
53030 06/13/22 Printed 10592 SPARKLETTS Acct# 886209420520024 Water 05/02 to 384.58 05/16/22
STAPLES BUSINESS 1,008.12

ADVANTAGE
53031 06/13/22 Printed 5647 Acct# AL 1876809 05/23/22 to 06/05/22 53032 06/13/22 Printed 10467 STEAMX, LLC SIGNAL HILL Pressure Washer Service 509.65 53033 06/13/22 Printed 10599 TIERRA WEST ADVISORS INC COA Administration March 2022 6,102.50 53034 06/13/22 Printed 8363 TIME WARNER CABLE Acct# 8448 30 044 0414354 Internet - 228.27 Clara 05/27 to 6/26
53035 06/13/22 Printed 8363 TIME WARNER CABLE Acct# 8448 30 044 0414297 Internet Otis 227.97 5/23 to 06/22
53036 06/13/22 Printed 8363 TIME WARNER CABLE Acct#8448 30 044 04311291 Internet 319.98 Santa Ana 5/12to6/11
53037 06/13/22 Printed 9991 TRANSTECH ENGINEERING, INC. Preliminary Engineering Serv 210722 CUD 25,213.50 Local Raod safety
53038 06/13/22 Printed 8066 TYLER TECHNOLOGIES INC. Fund Balance Annual Fees 16,358.80 53039 06/13/22 Printed 9951 WILLDAN NPDES Services April 2022 2,252.25 53040 06/15/22 Printed 10699 MD HEATING & COOLING AC Replacement Bedwell Hall Deposit 1,000.00 53041 06/23/22 Printed 2378-3 8330 ATLANTIC AVE INC Fuel for City Vehicles 06/01/22 - 06/10/22 848.37 53042 06/23/22 Printed 10700 ADELAIDE PILAR MUSIC Live Music Performance Independence 2,500.00 Day
53043 06/23/22 Printed 1778 ALL CITY MANAGEMENT School Crossing Guard Services 2,964.00 05/15/22 to 05/28/22
AMAZON CAPITAL SERVICES, 359.60
INC.
53044 06/23/22 Printed 10640 Acct# ALK0BMX27WYXQ Supplies 06/06 to 06/15/22
AMERICAN CITY PEST & 457.00

TERMITE
53045 06/23/22 Printed 7995 Pest Control - June 2022 5220 Santa Ana 53046 06/23/22 Printed 10595 ARAMSCO INC Empire stripper, floor finish, toilet tissue, 994.47 floor pads
53047 06/23/22 Printed 10697 ARDENT FITNESS,LLC Treadmill and leg press Lugo Fitness 5,803.50 Center
53048 06/23/22 Printed 8021 AT & T MOBILITY Acct# 287293439262 Mobility bill 5/3 to 619.56 06/02/22

City of Cudahy
Check Register Report
Check
Date
Check
Number
Status Amount
BANK:

Vendor
Number
Vendor Name Check Description
WELLS FARGO BANK Page: 3
Time: 8:39 pm
Date: 07/01/2022
Void/Stop
Date
Reconcile
Date
WELLS FARGO BANK Checks
53049 06/23/22 Printed 10133 AVANT-GARDE, INC. Funding Compliance Services May 2022 5,170.00 BOOMBOX MOBILE STAGE & 2,300.00
SOUND
53050 06/23/22 Printed 10708 Stage Rental for Independence Day 53051 06/23/22 Printed 7019 BUSINESS CARD Acct# 5474 9704 3621 0249 05/05 to 1,547.90 06/04/22
53052 06/23/22 Printed 10502 CINDY'S JUMPERS, LLC Independance Day Inflatables,games and 5,737.95 rentals
53053 06/23/22 Printed 2289 CONSOLIDATED DISPOSAL Property Tax Refuse Assessment Pass 61,341.81 thru recpt 5/20/22
53054 06/23/22 Printed 6045 CONTRERAS GARDEN SUPPLY Weed Wacker/Concrete Grinder Tune up 358.00 and Supplies
53055 06/23/22 Printed 10701 DANNY MORENO Balloon and Face painting Independance 800.00 Day
53056 06/23/22 Printed 10709 DAVID RAMIREZ Small Business Support Program CDBG 10,000.00 DEPARTMENT OF TOXIC 430.97

SUBSTANCES
53057 06/23/22 Printed 10072 Project Mgmt-01/01 to 03/2022 Project #301008-SM
53058 06/23/22 Printed 10485 ENTERPRISE FM TRUST Toy High & Ford Fusion June 2022 3,856.35 Monthly Lease
FARMACIA EL REY 10,000.00

WHOLESALE &
53059 06/23/22 Printed 10704 Small Business Support Prgm CDBG 53060 06/23/22 Printed 10581 FIESTA TAXI COOPERATIVE INC. Dial a ride seniors May 2022 3,124.14 GARVEY EQUIPMENT 1,648.24

COMPANY
53061 06/23/22 Printed 8203 3000 Watt Generator
53062 06/23/22 Printed 2139-2 HDL COREN & CONE Audit Services - Sales Tax April - June 1,451.45 2022/Q4 2021
HOME DEPOT CREDIT 1,372.29

SERVICES
53063 06/23/22 Printed 2724 Acct# 6035 3225 0024 3625 Hardware and Supplies
53064 06/23/22 Printed 10703 HOUSE OF WINNERS, INC. 30 mugs laser etching 6 wall frame insert 469.67 and plates
53065 06/23/22 Printed 10705 INNER BEAST B INC. Small Business Support Program CDBG 10,000.00 53066 06/23/22 Printed 10707 INSUN JOUNG Small Business Support Prgm CDBG 10,000.00 53067 06/23/22 Printed 10677 J.P.M. GLASS CO. Glass top for desks Brenda, Andres, 3,611.35 Aaron & Joshua
53068 06/23/22 Printed 1824 KNOTT'S BERRY FARM Community Excursion -Soak City July 23, 3,200.00 2022
LAW OFFICES OF MOISES 2,500.00

VASQUEZ
53069 06/23/22 Printed 10702 Settlement Claim:Irma R.vs City of Cudahy 53070 06/23/22 Printed 10679 M&J CARPETS CORPORATION 8 boxes of grafe flooring 581.72 53071 06/23/22 Printed 7014 NATIONWIDE ENVIRONMENTAL Streets/Park Sweeping May 2022 8,924.56 OCCUPATIONAL HEALTH 660.00

SERVICES
53072 06/23/22 Printed 5187 PreEmployment Physicals Marcus Black 53073 06/23/22 Printed 10201-1 OLIVAREZ MADRUGA LAW May 2022 Legal Services General Legal 50,921.00 Services
53074 06/23/22 Printed 9717 PCAM, LLC Monthly Shuttle Service May 2022 14,661.72 53075 06/23/22 Printed 4502 PYRO SPECTACULARS, INC. Independence Day Event Final Payment 8,250.00 53076 06/23/22 Printed 10430 RIGHT OF WAY, INC. City Signs - No Parking Signs New No 20,561.90 Parking hours
53077 06/23/22 Printed 10706 S L RESTAURANT GROUP, INC. Small Business Support Prgm CDBG 10,000.00 53078 06/23/22 Printed 0069-3 SIEMENS MOBILITY, INC. Traffic signal callouts May 2022 7,724.71 SO CAL COMPTON PIPE 277.91

SUPPLY CO
53079 06/23/22 Printed 10514 Asphalt Cold Patch 60lb bag 53080 06/23/22 Printed 0071-1 SO CAL GAS Acct# 073 000 7400 7 4835 Clara - 5/11 83.45 to 06/10/22
STAPLES BUSINESS 73.77

ADVANTAGE
53081 06/23/22 Printed 5647 Acct# AL 1876809 06/06/22 to 07/16/22 UNDERGROUND SERVICE 56.20

ALERT-SC
53082 06/23/22 Printed 2859 Monthly database Maint Fee New Ticket Qty 28
53083 06/23/22 Printed 10662 UNEXPECTED ATTRACTIONS Independence Day Event DJ, band sound 1,000.00 and lighting

City of Cudahy
Check Register Report
Check
Date
Check
Number
Status Amount
BANK:

Vendor
Number
Vendor Name Check Description
WELLS FARGO BANK Page: 4
Time: 8:39 pm
Date: 07/01/2022
Void/Stop
Date
Reconcile
Date
WELLS FARGO BANK Checks
53084 06/23/22 Printed 5631 WELLS LOCK & KEY Door Lock/Key Services Bedwell office 364.00 53085 06/23/22 Printed 9951 WILLDAN NPDES Services May 2022 13,482.25 53087 06/28/22 Printed 10698 B & W COMMUNICATIONS, INC. 2 Hand held radios for Code Enforcement 11,344.54 53088 06/28/22 Printed 10699 MD HEATING & COOLING Removal and Installation of new 2 ton unit 13,630.44 53089 06/28/22 Printed 0095 PETTY CASH Petty Cash Increase from $500 to $1000 823.41 53090 06/28/22 Printed 10467 STEAMX, LLC SIGNAL HILL Glass Blast 50# Bag Med 20-40 for 2,249.10 grafitti removal
53091 06/28/22 Printed 5695 VISTA PAINT 5 Gallon paint fro graffitti removal 2,058.59 Total Checks: 108 Checks Total (excluding void checks): 883,042.62 Total Payments: 108 Bank Total (excluding void checks): 883,042.62 Total Payments: 108 Grand Total (excluding void checks): 883,042.62

06/01/22 06/15/22 06/29/22 Total
(a) Direct Deposits 78,835.51 76,440.79 80,329.36 235,605.66 (b) ICMA Direct Deposit 1,685.00 11,685.00 3,370.00 16,740.00 (c) CalPERS Retirement 12,507.44 12,290.74 - 24,798.18
(d) Payroll taxes 17,751.67 17,124.60 19,822.49 54,698.76 (e) Medical 496.73 41,981.47 4,300.10 46,778.30
Total Amount 111,276.35 159,522.60 107,821.95 378,620.90 (a) Employees / Council Members / Commissioners
(b) Payments to ICMA
(c) Payments for CalPERS Retirement
(d) Federal / State payroll taxes and unemployment
(e) Medical Insurance

CITY OF CUDAHY
Payroll Warrants including payroll taxes and insurance premiums:

Attachment B Page 45 of 261
Type Issuer Amount % of Total
Checking - 7128 Wells Fargo 327,493.00 1.72%
Deposit - 4588 Wells Fargo 3,174,596.00 16.66%
Payroll - 4570 Wells Fargo 74,609.86 0.39%
Savings - 4752 Wells Fargo 330,155.16 1.73%
Successor Agency - 0688 Wells Fargo 3,941,722.78 20.68% Money Market Account Bank of New York (BNY) (a) 8,176.47 0.04% Pooled Savings State Local Agency 11,202,228.14 58.78%
Investment Fund (LAIF)
Total 19,058,981.41 100.00%
Pursuant to California Government Code Section 53646(b), I hereby certify that all investments held by the Authority are in compliance with state law and the agency's Statement of Investment Policy, and that there are sufficient funds within the agency's investment holdings to meet the Authority's cash flow requirements for the next six (6) months.

Respectfully submitted,
Joshua Calhoun
Joshua Calboun
Finance Director

CITY OF CUDAHY
Statement of Investments
06/30/2022
Attachment C Page 46 of 261
Month
Cash Receipts Disbursement
July 2021 $ 4,384,936.17 (a) 1,719,070.00 (b)
August 2021 1,302,245.06 1,724,180.11
September 2021 1,466,415.84 1,914,075.46
October 2021 1,180,116.32 951,668.82
November 2021 1,237,105.57 1,138,377.87
December 2021 1,067,809.93 861,657.95
January 2022 4,005,438.74 802,654.76
February 2022 963,370.98 1,063,520.04
March 2022 865,004.36 1,114,196.44
April 2022 1,177,290.04 778,141.92
May 2022 2,627,717.86 1,456,097.60
June 2022 1,839,140.97 1,261,663.52
Total: $ 22,116,591.84 14,785,304.49
Note (a) - Includes $2.819 M received from American Rescue Plan Act Note (b) - City liability, workers comp insurance, and PERS unfunded pension Month
Cash Receipts Disbursement
July 2021 $ 3,902,895.43 (1) 1,619,239.22 (2)
August 2021 1,279,409.42 669,082.58
September 2021 844,812.89 950,848.20
October 2021 879,973.23 784,400.59
November 2021 559,848.45 732,580.26
December 2021 446,464.02 672,977.93
January 2022 2,387,758.00 (3) 677,662.37
February 2022 682,478.37 656,951.12
March 2022 579,530.62 689,284.30
April 2022 653,561.53 703,644.94
May 2022 2,280,192.31 (4) 809,591.34
June 2022 453,988.59 895,818.39
Total: $ 14,950,912.86 9,862,081.24
Average Per Month: 1,245,909.41 821,840.10
Note (1) - Includes $2.819 M received from American Rescue Plan Act Note (2) - City liab. & workers comp insurance, and PERS unfunded pension liab.

Note (3) - Includes a $1,556,568 in Motor Vehicle In-lieu receipt Note (4) - Includes a $1,532,675 in Motor Vehicle In-lieu receipt All Funds
General Fund
City of Cudahy
Summary of Cash Receipt/Disbursement by Month - FY 2021-22 Attachment D Page 47 of 261
City of Cudahy
Summary of Cash Receipt/Disbursement by Month - FY 2020-21 Date
Cash Receipts Disbursement
July 2020 $ 945,731.86 1,601,736.41 (a)
August 2020 846,957.17 848,796.72 (b)
September 2020 833,291.03 2,124,717.36 (c)
October 2020 1,062,800.55 1,182,383.42
November 2020 659,628.77 1,306,263.15
December 2020 1,311,484.43 2,173,441.15
January 2021 3,350,443.45 (d) 1,060,654.55
February 2021 674,730.87 1,109,204.58
March 2021 926,683.14 836,434.56
April 2021 1,538,509.06 (e,f) 855,274.57
May 2021 836,434.66 (g) 1,741,084.39
June 2021 2,033,756.58 (e) 994,649.73
Total: $ 15,020,451.57 15,834,640.59
Note (a) - City liab. and workers comp insurance, and PERS unfunded pension liab.

Note (b) - Design cost for Atlantic Blvd and 2 sheriff payments Note (c) - Successor Agency Debt Service Payment
Note (d) - Prop A exchange
Note (e) - Return of funds relating to 2018 Tax Allocation Bonds for future distribution by County Note (e) - ROPS distribution from County and bi-annual motor-vehicle-in-lieu Note (f) - Bi-annual motor-vehicle-in-lieu and ROPS bond payoff Note (g) - Bi-annual motor-vehicle-in-lieu
Date
Cash Receipts Disbursement
July 2020 $ 589,776.02 1,479,465.32 (1)
August 2020 630,087.31 674,854.02 (2)
September 2020 545,056.04 357,053.30 (3)
October 2020 579,132.16 435,035.33
November 2020 305,836.70 (4) 969,257.43
December 2020 687,431.14 435,461.12
January 2021 2,032,222.78 (5) 880,295.34
February 2021 470,497.49 899,360.58
March 2021 498,995.65 502,004.21
April 2021 1,089,204.61 682,214.37
May 2021 502,004.21 (5) 1,291,779.94
June 2021 1,292,485.23 842,844.11
Total: $ 9,222,729.34 9,449,625.07
Average Per Month: 768,560.78 787,468.76
Note (1) - City liab. & workers comp insurance, and PERS unfunded pension liab., Note (2) - 2 sheriff payments
Note (3) - Virtual City Hall Software first installment Note (4) - Prop A Exchange
Note (5) - Bi-annual motor-vehicle-in-lieu
All Funds
General Fund
Attachment E Page 48 of 261
“Serving The People” "Sirviendo A La Comunidad"
Staff Report Page 1 of 2
07/19/2022

STAFF REPORT
Date: July 19, 2022
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Noel Barajas, Human Resources Manager
Subject: Adoption of a Proposed Resolution No. 22-42 Superseding and Repealing Resolution No. 22-35, and Amending the Adopted Fringe Benefits and Salary Plan Establishing Provisions for All Full-time Employees, and Hourly Employees

RECOMMENDATION
The City Council is requested to approve the proposed Resolution No. 22-42, amending the fringe benefits and salary plan establishing provisions for all full-time employees, hourly employees, and appointed officials and repealing Resolution No. 22-35.

BACKGROUND

1. On October 5, 2021, the City Council approved Resolution No. 21-33 updating the consolidated salary schedule for miscellaneous employees.

2. On October 19, 2021, the City Council approved Resolution No. 21-42 updating the consolidated salary schedule for miscellaneous employees.

3. On June 7, 2022, the City Council approved Resolution No. 22-35 updating the consolidated salary schedule for miscellaneous employees.

ANALYSIS
The City Manager has analyzed the organizational structure of the city of Cudahy. Due to job vacancies in recent years, the organizational structure of the city has shifted. The city manager recommends the following changes to help build internal capacity and have a more effective organizational structure.

Creation of new classifications:

Item Number
14F

“Serving The People” "Sirviendo A La Comunidad"
Staff Report Page 2 of 2
07/19/2022
• Office Clerk (Full-time, CMEA) – A6
• Senior Building Inspector (Full-time, CMEA)– A15

Updating of classifications:
• Administrative Clerk (Part-time) – H10
• Building Inspector (Full-time, CMEA)– A14

CONCLUSION
Approval of the FBSP is consistent with the recommended organizational chart presented by the City Manager. Not updating the current FBSP will result in outdated City Classifications listed on affected compensation schedules, which will be inconsistent with the adopted City Classification Plan.

FINANCIAL IMPACT
All fiscal impact has been accounted for in the Annual City Budget for Fiscal Year 2022-23. Cost saving from contractual services and current vacancies, will help mitigate costs of newly created positions and salary increases.

ATTACHMENTS
A. Proposed Resolution No. 22-42, superseding and Repealing Resolution No. 22-35 and Amending the Adopted Fringe Benefits and Salary Plan Establishing Provisions for All Full-time Employees, Hourly Employees, and Appointed Officials. Exhibit A - Updated Fringe Benefit Salary Plan (Redline)
B. Job Classification- Administrative Clerk
C. Job Classification- Office Clerk
D. Job Classification- Building Inspector
E. Job Classification- Senior Building Inspector

RESOLUTION NO. 22-42

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF CUDAHY, CALIFORNIA SUPERSEDING AND
REPEALING RESOLUTION NO. 33-35, AND

AMENDING THE FRINGE BENEFITS AND SALARY
PLAN ESTABLISHING PROVISIONS FOR ALL FULLTIME AND HOURLY EMPLOYEES, AND APPOINTED

OFFICIALS
WHEREAS, the salaries and compensation of officers and employees of the City of Cudahy (“City”) shall be fixed and determined by resolution of the City Council in accordance with Municipal Code Section 2.04.070; and
WHEREAS, on September 21, 2021, the City Council approved Resolution No. 21-31 updating the consolidated salary schedule for miscellaneous employees; and WHEREAS, On October 5, 2021, the City Council approved Resolution No. 21-33 updating the consolidated salary schedule for miscellaneous employees; and WHEREAS, On October 19, 2021, the City Council approved Resolution No. 21- 42 updating the consolidated salary schedule for miscellaneous employees; and WHEREAS, On June 7, 2022, the City Council approved Resolution No. 22-35 updating the consolidated salary schedule for miscellaneous employees; and

BASED UPON THE ABOVE RECITALS, THE CITY COUNCIL OF THE CITY OF

CUDAHY, CALIFORNIA, DOES HEREBY FIND, DETERMINE, AND RESOLVE AS FOLLOWS:

SECTION 1. The recitals set forth above are true and correct and incorporated herein by this reference.

SECTION 2. The City Council hereby approves the Fringe Benefits and Salary Plan (the “Plan”), attached hereto as Exhibit “A” and incorporated herein by reference.

SECTION 3. This Resolution and Exhibit “A” shall repeal and replace Resolution No. 22 - 35. This Resolution and Exhibit “A” amend the Fringe Benefits and Salary Plan to ratify the following classifications under the consolidated salary schedules:

Creation of new Positions:
• Office Clerk (Full-time, CMEA) – A6
• Senior Building Inspector (Full-time, CMEA)– A15
Attachment A Page 51 of 261

Updating of classification:
• Administrative Clerk (Part-time) – H10
• Building Inspector (Full-time, CMEA)– A14
SECTION 4. Notwithstanding the benefits and salary described in the Fringe Benefits and Salary Plan for individuals under employment agreements with the City, City employees with employment agreements shall only be entitled to those benefits and salary amounts identified in their individual employment agreements. The Fringe Benefits and Salary Plan identifies benefits and salaries of employees under employment agreements with the City for administrative convenience purposes only, and the Plan shall not supersede any employment agreement provisions or control the benefits and salary provided to employees with employment agreements with the City. To the extent that any benefits described in the Plan conflict with the applicable employment agreements, and as the employment agreements and memorandums of understanding may be amended from time to time, the employment agreements and memorandums of understanding control.

SECTION 5. If any part of this Resolution, or the application thereof, is held to be invalid, the remainder of this Resolution shall not be affected thereby, and this Resolution shall otherwise continue in full force and effect. To this end, the provisions of this Resolution, and each of them, are severable.

SECTION 6. This Resolution shall take effect immediately following its adoption by the City Council, and the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Cudahy at its regular meeting on this 19th day of July 2022.

Elizabeth Alcantar
Mayor
ATTEST:

Richard Iglesias
Assistant City Clerk

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:

CITY OF CUDAHY )
I, Richard Iglesias, Deputy City Clerk of the City of Cudahy, hereby certify that the foregoing Resolution No. 22-42 was passed and adopted by the City Council of the City of Cudahy, signed by the Mayor and attested by the City Clerk at a regular meeting of said Council held on the 19th day of July, 2022, and that said Resolution was adopted by the following vote, to-wit:

AYES:

NOES:

ABSTAIN:

ABSENT:

Richard Iglesias
Assistant City Clerk

EXHIBIT “A”

FRINGE BENEFITS AND SALARY PLAN

FRINGE BENEFITS AND SALARY PLAN
(Exhibit A to Resolution No. 22-42)
Effective July 19, 2022

CITY OF CUDAHY CALIFORNIA
Incorporated November 10, 1960

2

3 TABLE OF CONTENTS
PART I – THE FRINGE BENEFIT PLAN................................................................................................................. 6 Section 1. Purpose ...................................................................................................................................... 6 Section 2. Applicability................................................................................................................................ 6 Section 3. Holidays...................................................................................................................................... 7 Section 4. Vacation ..................................................................................................................................... 8 Section 5. Sick Leave ................................................................................................................................... 9 Section 6. Car Allowance........................................................................................................................... 10 Section 7. Reimbursementfor Expenses................................................................................................... 10 Section 8. Health Insurance ....................................................................................................................... 11 Section 9. Health Insurance for Retirees ................................................................................................... 12 Section 10. Life Insurance ......................................................................................................................... 13 Section 11. Disability Insurance................................................................................................................. 14 Section 12. Dental Insurance..................................................................................................................... 15 Section 13. Vision Insurance .................................................................................................................... 16 Section 14. Deferred Compensation (457 or 401a) Plan ............................................................................ 17 Section 15. Retirement Contribution......................................................................................................... 17 Section 16. Severance Allowance............................................................................................................. 18 Section 17. Relocation Allowance .............................................................................................................. 19 Section 18. Uniform Allowance.................................................................................................................. 19 Section 19. Cell Phone Stipend .................................................................................................................. 19 Section 20. Bereavement Leave ................................................................................................................ 20 Section 21. Miscellaneous Leaves of Absence ........................................................................................... 21 Section 22. Education Reimbursement ..................................................................................................... 22 Section 23. Educational Seminars ............................................................................................................... 23 Section 24. The Extension of Benefits to Other Classifications............................................................... 23 Section 25. Hourly Employees................................................................................................................. 24 PART II - THE SALARY PLAN............................................................................................................................ 25 Section 1. Purpose ................................................................................................................................... 26 Section 2. The Classification Plan ............................................................................................................. 26 Section 3. Basic Compensation Plan......................................................................................................... 26 Section 4. Pay Philosophy ........................................................................................................................ 26 Section 5. Plan Maintenance..................................................................................................................... 27

4 Section 6. Eligibility for Salary Advancement........................................................................................... 27 Section 7. Merit Ranges...........................................................................................................................28 Section 8. Compaction Rule ....................................................................................................................29 Section 9. Salaries Above Market Rate – Use of "Y" Rating Method .......................................................29 Section 10. Trainee Positions...................................................................................................................29 Section 11. Salary Differentials/Stipends ................................................................................................30 a. (5%) Salary Differential................................................................................................................ 30 b. (10%) Salary Differential.............................................................................................................. 30 c. Bi-lingual Pay ............................................................................................................................... 30 d. Temporary Upgrade- Acting Capacity.........................................................................................31 e. Temporary Upgrade- Work out of Class.....................................................................................31 Section 12. Overtime................................................................................................................................ 32 Section 13. Compensatory Time Off ......................................................................................................... 32 Section 14. Executive Leave ......................................................................................................................33 Section 15. On-Call (Standby) Pay ..............................................................................................................33 Section 16. Call Back Pay...........................................................................................................................33 Section 17. Additional Approved Increasesin Compensation and Changesto the Salary and Classification Plans........................................................................................................................................................34 Section 18. The Provisions of This Plan Shall Be Operative on the Date of Its Adoption .............................34 ADDENDUM.................................................................................................................................................. 35

1. HOURLY RANGE TABLES........................................................................................................... 36

2. ASSOCIATION RANGE TABLES.................................................................................................. 37

3. MANAGEMENT/CONFIDENTIAL RANGE TABLES......................................................................38

4. SALARY SCHEDULES ................................................................................................................. 39

5 PART I

THE FRINGE BENEFITS
PLAN

6 PART I – THE FRINGE BENEFIT PLAN
Section 1. Purpose
This Exhibit to Resolution No. 22-** is enacted pursuant to Section 2.04.070 of the Cudahy Municipal Code to provide for the fringe benefits of City officers and employees.

The City of Cudahy has established a number of benefit programs for its eligible employees. This Plan does not restate all of the features of these benefit programs. The purpose of this Plan is to identify the coverage amounts, costs and limitations of specific benefits as applied and approved by the City Council for specific employee groups. Additional terms, conditions, and limitations regarding program eligibility and benefit entitlement are included in official plan documents, which, notwithstanding the foregoing, shall control in determining coverage amounts, costs and limitations of specific benefits. Additional administrative guidelines may also be found in the City’s Personnel Rules, and other terms and conditions of employment within the Cudahy Miscellaneous Employees’ Memoranda of Understanding. The Fringe Benefit and Salary Plan shall not change the nature of any employee’s status as an at-will employee.

Section 2. Applicability
This exhibit defines the various benefits provided to City officers and employees. Each category covered herein indicates the specific group and/or classification of employee for which the benefit applies (e.g. Appointed Officials, Management/Confidential Employees, and Miscellaneous Employees).

Hourly employees shall not be entitled to any City benefits except as otherwise provided herein, and defined specifically under Section 23 below.

City employees with employment agreements shall only be entitled to those benefits and salary amounts identified in their individual employment agreements. The Fringe Benefits and Salary Plan identifies benefits and salaries of employees under employment agreements with the City for administrative convenience purposes only, and the Plan shall not supersede any employment agreement provisions or control the benefits and salary provided to employees with employment agreements with the City. To the extent that any benefits described herein conflict with the applicable employment agreement, and as the employment agreements and memorandums of understanding may be amended from time to time, the employment agreement controls.

7 Section 3. Holidays
a) Appointed Officials (Non-represented)
The City Clerk, City Treasurer, Directors and City Manager shall be entitled to the same holidays that Management/Confidential employees receive, unless changed by an amendment to this Resolution by the City Council.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
Management/Confidential employees shall be entitled to the same holidays that Miscellaneous employees are entitled to, unless changed by an amendment to this Resolution by the City Council.
c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)1 Every employee shall be entitled to the following paid holidays each year and such other as may be designated by action of the City Council:

1. New Year’s Day – January 1st

2. Martin Luther King Jr. Day - The third Monday in January

3. President’s Day - The third Monday in February

4. Cesar Chavez Day – March 31st

5. Memorial Day - The last Monday in May

6. Juneteenth Day – June 19th

7. Independence Day - July 4th

8. Labor Day - The first Monday in September

9. Veteran’s Day – November 11th

10. Thanksgiving Day

11. Christmas Eve – December 24th

12. Christmas Day – December 25th

13. One Floating Holidays (Pro-rated for New Employees based on hire date) The observance of holidays, work on a holiday, and other related rules as applied to holiday compensation shall be administered consistent with the City’s Personnel Rules and as defined in the Cudahy Miscellaneous Employees’ Association MOU.

If the Friday after Thanksgiving or Good Friday fall on a regularly scheduled work day, it shall be considered a designated holiday; alternatively, if the Friday after Thanksgiving or Good Friday fall on the employees day off, it shall not be considered a designated holiday. 1 See Memorandum of Understanding By and Between Cudahy Miscellaneous Employees’ Association and The City of Cudahy, July 1, 2022-June 30, 2025 (hereinafter “CMEA MOU”), pg. 12

8 Section 4. Vacation
a) Appointed Officials (Non-represented)
The City Clerk, City Treasurer, and Directors shall be entitled to the same Vacation benefits that Miscellaneous Employees are entitled to, including buy-back provisions unless changed by an amendment to this Resolution by the City Council.

The City Manager shall receive a maximum of eighty (80) hours of vacation leave per year, and may carry over unused leave from year to year, not to exceed a total of 320 hours, at which time accruals shall cease. On December 31st of each year, accumulated and unused vacation leave may be sold back to the City at the regular hourly rate, provided that fifty (50) hours of accrued vacation time remains on the books.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
Management/Confidential employees shall be entitled to the same Vacation benefits that Miscellaneous employee are entitled to including buy-back provisions, unless changed by an amendment to this Resolution by the City Council.
c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)2 1) Accrual of Vacation Leave
Full-time employees shall accrue paid vacation leave on the following scheduled basis.

Years of Service Hours Per Year Bi-Weekly Accrual Maximum Accrual 0-5 80 3.077 hours 160 hours
6-10 120 4.616 hours 240 hours
11+
2) Vacation Buy Back
160 6.154 hours 320 hours
At the end of each calendar year, provided that fifty (50) hours of accrued vacation time remains on the books, employees may request pay in lieu of time off for accrued and unused vacation time. Upon separation from City employment, all accrued but unused vacation time is eligible to be sold back at full value based on the employee’s rate of pay at the time of separation.
2 See CMEA MOU, pp. 7-8

9 3) Vacation Policy
Vacation Leave shall be administered consistent with the City’s Personnel Rules and as defined in the Cudahy Miscellaneous Employees’ Association MOU.

Section 5. Sick Leave
a) Appointed Officials (Non-represented)
The City Clerk, City Treasurer and City Manager shall be entitled to twelve (12) days of sick leave per year (96) hours and may sell back at full rate of pay accrued but unused sick leave on the same terms and conditions as established for other employees, unless changed by an amendment to this Resolution by the City Council.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
Management/Confidential employees shall be entitled to the same Sick Leave benefits that Miscellaneous employee are entitled to, unless changed by an amendment to this Resolution by the City Council.
c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)3 1) Accrual of Sick Leave
Employees shall be granted sick leave with pay at the rate based on the current number of hours the employee is regularly scheduled to work during a workday. For example, employees who are currently scheduled to work 10 hours during the workday will receive ten (10) hours of sick leave with pay for each full month of service. Any sick leave accrued but unused in any year shall be accumulated to a maximum accumulation of 480 hours.

The granting of any leave of absence without pay exceeding fifteen (15) consecutive calendar days shall cause the employees’ normal rate of sick leave accumulation to be extended by the number of calendar days for which such leave of absence has been granted less the first fifteen (15) calendar days of such leave. Observed holidays occurring during sick leave shall not be counted as a day of sick leave. 2) Sick Leave Buy-Back
On July 1 of each year, employees may sell back at 100% value of the maximum 120 hours of sick leave that they have accrued but did not utilize during the previous fiscal year. This is subject to the condition that an employee must leave at least 80 hours of sick
3 See CMEA MOU pp. 9-10.

10 leave on the books prior to being eligible for any sick leave buy back. Sick leave buy-back shall be based on the employee's actual rate of pay on June 30 of the fiscal year in which it was accumulated. Employees who are eligible to sell back unused sick leave retain the option of maintaining all or a portion of their accumulated sick leave on the books.

Upon retirement from employment with the city, all accumulated sick leave is eligible to be sold back at 50% value of the maximum of 192 hours of sick leave that they have accrued but did not utilize based on the employee's rate of pay at the time of separation.
3) Sick Leave Policy
The use of Sick Leave shall be administered consistent with the City’s Personnel Rules and as defined in the Cudahy Miscellaneous Employees’ Association MOU.

Section 6. Car Allowance
The City recognizes that various Appointed Officials and Department Heads may require extensive use of an automobile in the ordinary course of performing duties for the City. Accordingly, the City Manager will determine which positions, based on duties will receive this compensation not to exceed as added compensation, shall provide an automobile allowance to the following classifications, in the amounts defined below, unless changed by an amendment to this Resolution by the City Council.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.

Section 7. Reimbursement for Expenses
The City will reimburse employees for reasonable and authorized expenses incurred on behalf of the City of Cudahy. All travel and other business expenses must be preapproved by the department head and the City Manager and must follow the Travel/Training Expense Policy and be reported within one (1) month from the time they are incurred. Every attempt will be made to issue reimbursement for approved expenses within two (2) weeks from the time the expense report forms received by Finance. Failure to report expenses in a timely manner may jeopardize timely reimbursement for expenses or lead to disciplinary action.

Employees shall be reimbursed for the use of their vehicle for City Business at the allowable IRS Standard Mileage Rate for each year. Employees shall be reimbursed upon submittal of a monthly reimbursement form with Department Head approval.

11 Section 8. Health Insurance
a) Appointed Officials (Non-represented)
For the City Treasurer, City Clerk, the City shall contribute towards the coverage in a health insurance program available through the Public Employees’ Retirement System as provided under the Public Employees’ Medical and Hospital Care Act. The City’s maximum contribution shall be consistent with the contribution paid by the City for Management/Confidential employees, unless changed by an amendment to this Resolution by the City Council.

For the City Manager, the City shall contribute towards the coverage in a health insurance program available through the Public Employees’ Retirement System as provided under the Public Employees’ Medical and Hospital Care Act. The City’s maximum contribution shall be 100% of plan cost for City Manager and Dependent’s Coverage.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
For Management/Confidential Employees, the City shall contribute towards the coverage in a health insurance program as provided by the City. The City’s maximum contribution shall be consistent with the contribution paid by the City for Miscellaneous employees, unless changed by an amendment to this Resolution by the City Council.
c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)4 The City shall contribute toward the coverage of employees and their dependents in the medical insurance program available through the Public Employee's Retirement System as provided for under the Public Employee's Medical and Hospital Care Act as follows:

Effective upon MOU adoption, the City shall contribute an amount up to 100% of the coverage amount for the Kaiser Permanente plan that corresponds to the employee’s coverage. For an employee with Blue Shield insurance, the City and employee shall equally share the difference between the Blue Shield plan and Kaiser Permanente plan monthly premium amount that corresponds to the employee’s coverage where the Blue Shield plan monthly premium is higher than the Kaiser Permanente monthly premium.
4 See CMEA MOU p. 16-17.

12 Section 9. Health Insurance for Retirees
a) Vesting of Medical Benefits for Appointed Officials (Non-represented) Appointed officials including the City Clerk, City Treasurer, Directors, and City Manager may be eligible for vesting of medical benefits under the CalPERS Plan for life-time coverage, including spouse and eligible dependents consistent with CalPERS rules. The City’s maximum contribution shall be that amount that is offered to top management employees, unless changed by an amendment to this Resolution by the City Council. Appointed officials shall vest with life-time benefits for Dental Insurance and Vision Insurance upon the fifth anniversary of continuous service with the City. The City’s maximum contribution shall be that amount that is offered to top management employees, unless changed by an amendment to this Resolution by the City Council. Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Vesting of Medical Benefits for Management/Confidential Employees (Non-represented) Management/Confidential Employees may be eligible for vesting of medical benefits under the CalPERS Plan for life-time coverage, including spouse and eligible dependents consistent with CalPERS rules and upon retirement from the City of Cudahy. The City’s maximum contribution shall be that amount that is offered to Miscellaneous employees, unless changed by an amendment to this Resolution by the City Council.

Management/Confidential Employees shall vest with life-time benefits for Dental Insurance and Vision Insurance upon the fifth anniversary of continuous service with the City. The City’s maximum contribution shall be that amount that is offered to Miscellaneous employees, unless changed by an amendment to this Resolution by the City Council.
c) Vesting of Medical Benefits for Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)
Miscellaneous Employees may be eligible for vesting of medical benefits under the CalPERS Plan for life-time coverage, including spouse and eligible dependents consistent with CalPERS rules. The City’s maximum contribution is $1,200.00 of the plan cost.

13 Section 10. Life Insurance
a) Appointed Officials (Non-represented)
The City Clerk and City Treasurer shall receive City paid term life insurance benefits that Miscellaneous employees are entitled to, unless changed by an amendment to this Resolution by the City Council.

The City Manager shall receive City paid term life insurance policy in the amount of $1,000,000.00.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
Management/Confidential employees shall be entitled to the same life Insurance benefits that Miscellaneous employees are entitled to, unless changed by an amendment to this Resolution by the City Council.
c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)5 Effective January 11, 2016, the City will provide a term life insurance policy in the amount of $100,000 per employee. The premium for such insurance shall be paid by the City.
5 See CMEA MOU p. 17.

14 Section 11. Disability Insurance
a) Appointed Officials (Non-represented)
The City Manager, City Clerk, and City Treasurer shall receive a City paid Long Term Disability policy, unless changed by an amendment to this Resolution by the City Council.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
Management/Confidential employees shall be entitled to the same Disability Insurance benefits that miscellaneous employees are entitled to, unless changed by an amendment to this Resolution by the City Council.
c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)6 The City will provide a sixty (60) day Long Term Disability policy. 100% of the premium coverage for such insurance shall be paid by the City.

Upon execution of the MOU, the City will immediately take steps to join the short-term disability insurance plan proposed and outlined by Keenan Associates as described in exhibit “B” of the agreement. 6 See CMEA MOU, p. 17.

15 Section 12. Dental Insurance
a) Appointed Officials (Non-represented)
For the City Clerk and City Treasurer, the City shall contribute towards the coverage in a dental insurance program as provided by the City. The City’s maximum contribution shall be consistent with the contribution paid by the City for Management/Confidential employees, unless changed by an amendment to this Resolution by the City Council.

For the City Manager, the City shall contribute 100% towards the cost of the dental insurance plan as provided by the City for employee and eligible dependents.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
For Management/Confidential Employees, the City shall contribute towards the coverage in a dental insurance program as provided by the City. The City’s maximum contribution shall be consistent with the contribution paid by the City for Miscellaneous employees, unless changed by an amendment to this Resolution by the City Council. c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)7 The City shall offer a dental plan for employees and their dependents. The City will contribute towards the purchase of said dental coverage if the employee elects coverage as follows:

Effective January 11, 2016, the City shall contribute an amount up to the average amount of the dental plans available that corresponds to the employee’s coverage. 7 See CMEA MOU, pp. 17.

16 Section 13. Vision Insurance
a) Appointed Officials (Non-represented)
For the City Treasurer and City Clerk, the City shall contribute towards the coverage in a vision insurance program as provided by the City. The City’s maximum contribution shall be consistent with the contribution paid by the City for Management/Confidential employees, unless changed by an amendment to this Resolution by the City Council.

For the City Manager, the City shall contribute 100% towards the cost of the vision insurance plan as provided by the City for employee and eligible dependents.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
For Management/Confidential Employees, the City shall contribute towards the coverage in a vision insurance program as provided by the City. The City’s maximum contribution shall be consistent with the contribution paid by the City for Miscellaneous employees, unless changed by an amendment to this Resolution by the City Council. c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)8 For Miscellaneous Employees, the City shall offer vision care insurance for employees and their dependents. The City shall contribute towards the coverage in a vision insurance program as provided by the City. Effective January 11, 2016, the City shall contribute 100% of the coverage amount that corresponds to the employee’s coverage. 8 See CMEA MOU, p. 17.

17 Section 14. Deferred Compensation (457 or 401a) Plan a) Appointed Officials (Non-represented)
The City does not make a contribution to said Plan on behalf of employees.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
The City does not make a contribution to said Plan on behalf of employees. c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association) The City does not make a contribution to said Plan on behalf of employees.

Section 15. Retirement Contribution
Every full-time employee shall participate in the California Public Employees Retirement System (CalPERS) plan as adopted by the City Council, as well as part-time classes that are not formally excluded via the City’s CalPERS contract. Hourly classes that are excluded via the City’s CalPERS contract shall not be enrolled in the plan. Participation in the retirement plan continues until the employee terminates employment with the City for any reason and shall then cease under the terms of said plan. An employee is vested after five (5) years and may be eligible for benefits from the CalPERS system.
a) First Tier Retirement Formula (“Classic Members”):

Effective July 1, 2008, the City amended the CalPERS contract to provide the benefit knows as 2.7% at 55 retirement formula.
1) Miscellaneous Employees(Cudahy Miscellaneous Employees’ Association)9 For unit members covered under the 2.7% at 55 retirement formula, who are defined as “classic members” under the Public Employees Reform Act of 2013 (PEPRA) (i.e. not defined as “new members” under Gov. Code section 7522.04(f):

Effective January 11, 2016 - Classic members shall pay 3% of “compensation earnable” as defined in Gov. Code section 20636, representing the members’ employee’s contribution to CalPERS. Effective July 1, 2016 – Classic members shall pay an additional 3% for a total of 6% of “compensation earnable” as defined in Gov. Code section 20636, representing the members’ employee’s contribution to CalPERS.

Effective July 1, 2017 – Classic members shall pay an additional 2% for a total of 8% of “compensation earnable” as defined in Gov. Code section 20636, representing the members’ employee’s contribution to CalPERS.
9 See CMEA MOU, pp. 17-18.

18 b) Second Tier Retirement Formula (“Classic Members”):

Effective October 16, 2011, the benefit known as 2% @ 60 retirement formula shall apply to employees hired or who become eligible for enrollment in the CalPERS Retirement Plan on or after the effective date of the City’s contract amendment with CalPERS to implement this benefit. For unit members covered under this 2% at 60 retirement formula, who are defined as “classic members” under the PEPRA (i.e. not defined as “new members” under Gov. Code section 7522.04(f)), the City will only contribute the normal employer contribution, and the employee is responsible for paying the entire employee’s contribution rate of 7% of “compensation earnable” as defined in Gov. Code section 20636. c) Third Tier Retirement Formula (“New Members”): Effective January 1, 2013, in accordance with the Public Employees’ Pension Reform Act (PEPRA) and Gov. Code section 7522.30, new employees hired on or after January 1, 2013 shall be enrolled in the benefit known as 2% @ 62 retirement formula. The City will only contribute the normal employer contribution, and the employee is responsible for paying the employee contribution of 50% of the total normal cost, as defined by CalPERS.
d) Employer Paid Member Contributions (EPMC)
Should the City express interest in providing the EPMC benefit for any employee unit, a “me too” clause shall take effect for the Miscellaneous Unit Section 16. Severance Allowance
a) Appointed Officials (Non-represented)
For Appointed Officials, the City shall provide any specified severance allowance in accordance with the agreed upon terms of employment addressed in individual employment contracts.
b) Management/Confidential Employees (Non-represented)
For Management/Confidential employees, the City shall provide any specified severance allowance in accordance with the agreed upon terms of employment addressed in individual employment contracts.

19 Section 17. Relocation Allowance
a) Appointed Officials (Non-represented)
Relocation allowance may be provided within individual employment contracts, subject to approval by the City Council.
b) Management/Confidential Employees (Non-represented)
Relocation allowance may be provided within individual employment contracts, subject to approval by the City Council.

Section 18. Uniform Allowance
a. Miscellaneous Employees(Cudahy Miscellaneous Employees’ Association)10 The City shall purchase uniforms for designated employees as budgeted, but not to exceed $600/year.

Section 19. Cell Phone Stipend
a. Miscellaneous Employees(Cudahy Miscellaneous Employees’ Association)11 Employees who are not issued cell phones by the City and use their personal cell phones for minimal work-related use are eligible to receive a monthly stipend in the amount of $20. Employees who believe they are eligible to receive the stipend shall make a request to the City Manager for the stipend. The City Manager or designee shall then decide whether the employee is eligible for the stipend.

The City positions that are issued cell phones by the City, and employees holding these positions are not eligible to receive the cell phone stipend. 10 See CMEA MOU, p. 19. 11 See CMEA MOU, p. 20.

20 Section 20. Bereavement Leave
The City shall provide bereavement leave to all full-time Appointed Officials, Management/Confidential Employees, and Miscellaneous employees12.

Regular full-time employees are entitled to up to four (4) working days of leave, with pay, upon the death of an immediate family member, calculated at regular base rate, to arrange and attend the funeral.

The City shall administer the provisions of this benefit as defined in the Personnel Rules and the City of Cudahy Miscellaneous Employees’ Association MOU. Management/Confidential Employees and Appointed Officials shall follow the same provisions and rules as provided to Miscellaneous employees for Bereavement Leave.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
12 See CMEA MOU, p. 10.

21 Section 21. Miscellaneous Leaves of Absence
The City shall provide leaves of absence policies for the following categories:
a) Paid Bone Marrow or Organ Donor Leave
b) Paid Time Off for Jury Duty/Witness Duty
c) Time Off to Vote
d) Family and Medical Leave (FMLA)/California Family Rights Leave (CFRA) e) Pregnancy Disability Leave (PDL)
f) Work Related Disability Leave
g) Medical Disability Leave
h) Industrial Leave
i) Military Duty Leave
j) Military Family Leave
k) Spousal/Registered Domestic Partner Military Leave
l) School Activities and School Visits Leave
m) Victims of Domestic Violence, Sexual Assault and Other Crimes Leave n) Volunteer Civil Service Leave
o) Literacy Assistance Leave
p) Personal Leave/
The City’s personnel rules shall serve as the official policy related to eligibility and benefits for the above stated leaves. It is the intent of the City to comply with all state and federal laws related to leaves, and to the extent that state and federal laws provide a greater benefit, the City shall comply and provide such benefits to eligible employees.

Management/Confidential Employees and Appointed Officials shall follow the same provisions and rules as provided to Miscellaneous employees for under the section Leave of Absence Without Pay.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.

22 Section 22. Education Reimbursement
a) Appointed Officials (Non-represented)
The City Clerk, City Treasurer and City Manager shall be entitled to education reimbursement on the same terms and conditions as established for Management/Confidential employees.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
The City shall reimburse Management/Confidential Employees for the cost of books and tuition for courses taken at any State College, State University, Community College or an approved accredited private college or university as approved by the City Manager. c) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)13 The City will reimburse employees for 50% of the cost of tuition up to a maximum reimbursement equivalent to a part-time Cal State tuition per fiscal year for courses taken at any state college, state university, private university or community college, not to exceed $2,500 per employee per year. Courses must be related to the current job. The City Manager or designee must approve all courses in advance in order for the employee to be eligible for the reimbursement, subject to available funds.

In order for an employee to be reimbursed for a course, proof of successful completion must first be furnished. In graded courses, a letter grade of "C" or better is required. In a "Pass/Fail" grading system, a "Pass is required. In a "Credit/No Credit" grading system, a "Credit" is required for approval.

Courses from a private university or college may also be considered; however, reimbursement for such courses shall not exceed the amount permitted for a similar course at a state college or university.

The educational reimbursement will be provided upon completion of coursework. The employee must remain employed by the City or the employee must repay the cost based on the following scale:
• 100% of the reimbursement if employee leaves within 6 months, • 75% of the reimbursement if employee leaves after 6 months, • 50% of the reimbursement if employee leaves after 12 months, • 25% of the reimbursement if employee leaves after 18 months, • 0% of the reimbursement if employee leaves after two years. 13 CMEA MOU, p. 18.

23 Section 23. Educational Seminars
a. Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)14 Employees wishing to further their education through short-term courses or one-day seminars at City expense may do so but only with written Department Head approval. The City shall administer the terms of this provision as further defined under the Education Seminars section of the Cudahy Miscellaneous Employees’ Association MOU.

Section 24. The Extension of Benefitsto Other Classifications a) AppointedOfficials (Non-represented)
The fringe benefits set forth herein are minimum benefits; to the extent greater benefits are extended to other employees of the City, the City Clerk, City Treasurer and City Manager shall be entitled to such benefits. All provisions of the Cudahy Municipal Code, any Memorandum of Understanding with represented employees of the City, and the City’s Personnel Rules that relate to fringe benefits as those provisions now exist, or hereinafter may be amended, shall apply to the City Clerk, City Treasurer, and City Manager in like manner as they apply to other employees of City.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.
b) Management/Confidential Employees (Non-represented)
All Management/Confidential employees are entitled to and shall enjoy the specific fringe benefits as described and defined within each benefit provision.

Except as otherwise stated within any section of the Fringe Benefits and Salary Plan, all Management/Confidential employees are exempt from the City’s Personnel Rules. All Management/Confidential employees are at-will employees. 14 See CMEA MOU, p. 18-19.

24 Section 25. Hourly Employees
a) Eligibility for Benefits
Hourly employees shall not be entitled to any City benefits except as otherwise provided herein.
b) Paid Sick Leave Accrual
Hourly employees, including temporary, extra help, part-time, and seasonal employees who work 30 or more days within a year from when employment commences, shall be entitled to 24 hours of sick leave per fiscal year, effective July 1, 2015, and employees shall receive subsequent annual sick leave accruals of 24 hours added to their leave bank in January of each calendar year. Sick leave must be used in a minimum of 2 hour increments. Unused sick leave under this program may be carried over to the following year not to exceed an accrual cap of six (6) days/forty-eight (48) hours of sick leave. An employee may use no more than twenty-four (24) hours in any one year. Employees are entitled to request and use accrued paid sick days beginning on the 90th day of employment. The rate of pay shall be at the employee’s regular hourly wage. c) FICA Alternative Plan
Hourly employees shall be entitled to receive the City’s 3.75% FICA alternative plan contribution in lieu of Social Security and/or participation in CalPERS.

25 PART II

THE SALARY PLAN

26 PARTII - THE SALARYPLAN
Section1. Purpose
This Exhibit to Resolution No. 22-** is enacted pursuant to Section 2.04.070(2) of the Cudahy Municipal Code to provide for the compensation of City officers and employees and to conform to the principle of equal pay for equal work. Notwithstanding the foregoing, the terms of individual employment agreements shall control over the compensation amounts described in this Salary Plan when determining the salary of individual employees under contract with the City.

Section2. TheClassificationPlan
The Classification Plan includes the allocation of class titles to salary ranges for City officers and employees under one Plan in which all positions substantially similar with respect to duties, authority, responsibility and working conditions are included within the same class, and that the same schedules of compensation be made to apply with equity under the working conditions to all positions in the same class.

The Classification Plan further includes the allocation of class titles to salary ranges for those employees which are designated as non-represented Management/Confidential employees who are exempt from the classified service. These exempt classes consist of persons appointed by the City Council, including the City Manager, City Clerk, City Treasurer, and persons appointed by the City Manager, including department heads or designees, that serve in an "at will" capacity subject to the terms and conditions of an employment agreement, and are exempt from the classified service.

Non-classified positions are entitled to no more than the same benefits as provided to classified employees in a similar position and level in the organization. The Classification Plan as of the date of adoption of this Plan is hereby established as set forth in the addendum, referred to as the Salary Schedule, which is attached hereto and incorporated herein by reference. The Classification Plan shall not change the nature of any employee’s status as an at-will employee.

27 Section 3. Basic Compensation Plan
The basic compensation plan for City officers and employees, as of the date of adoption of this Plan is hereby established as set forth in the Addendum, including the following:
1) Hourly Range Table
2) Association Range Table
3) Management/Confidential Range Table
4) Salary Schedule
The Salary Plan shall be referred to as the Salary Schedule which incorporates the allocation of ranges (defined in the range tables) to classifications, which is attached hereto and incorporated herein by reference.

Range tables for the Cudahy Municipal Employees’ Association include steps with approximately 2.5% between steps.

Range tables for Appointed Officials (City Treasurer, and City Manager) have one step (flat rate).

Range tables for Management/Confidential include ten (10) steps with approximately 2.5% between steps.

Range tables for Hourly employees consist of one (1) to three (3) steps with approximately 5% between steps.

Section 4. Pay Philosophy
The City Council establishes a pay philosophy that the base pay of all positions shall be ideally set at the median pay provided by comparable cities of similar size, budget, staff, and geographic area, based on the City’s financial ability to pay.

28 Section 5. Plan Maintenance
Increases to the Range tables and applied to the Salary Schedule are adopted and approved by the City Council via Resolution to amend the Fringe Benefit and Salary Plan.

Such recommended increases are negotiated between the City and the Cudahy Miscellaneous Employees’ Association. The City Council may further take appropriate action to extend such increases to unrepresented Management/Confidential Employees, Appointed Officials including the City Clerk, City Treasurer, and City Manager, and positions appointed by the City Manager.

In addition to negotiated increases, the City may take steps to maintain the Salary Plan by conducting regularly scheduled salary reviews and/or intermittent salary reviews as determined by changes in the labor market, and the need to compete for talent and/or retain current employees.

Section 6. Eligibility for Salary Advancement
a) Management/Confidential Employees (Non-represented)
Management/Confidential employees may receive the same considerations for salary advancement as provided to Miscellaneous Employees, at the City Manager’s discretion. b) Miscellaneous Employees (Cudahy Miscellaneous Employees’ Association)15 Salary step increases shall be considered on a merit basis only, and at prescribed times as defined in the Personnel Rules and the Cudahy Municipal Employees’ Association MOU.

Any employee receiving a promotion shall receive a salary increase consistent with the Personnel Rules and the Cudahy Municipal Employees’ Association MOU. 15 CMEA MOU, pp. 5-6.

29 Section 7. Merit Ranges
a) Appointed Officials and Management/Confidential Employees (Non-represented) Appointed City Officials including the City Clerk, City Treasurer and City Manager, as well as nonrepresented Management/Confidential employees who serve in an at-will capacity and are exempt from the classified service, may, subject to the terms and conditions set forth below, be eligible to have his/her salary increased to a maximum of fifteen percent beyond the regularly assigned top step of his/her salary range or salary set forth in an existing contract. The City Manager shall have administrative authority to assign, create and maintain the merit range (pay band) to implement the provisions of this Section.

Such increase shall be subject to documentation of the eligible employee’s outstanding performance, based on performance and achievement of previously defined goals. The City Manager shall solely determine placement within the merit range based on the employee’s performance. Notwithstanding the foregoing, with regard to increases for the City Manager and other Officials appointed by the City Council, the City Council shall determine placement within the merit range based on the employee’s performance, subject to the Appointed Official’s employment agreement, if any.

The continuation of increases pursuant to the provisions of this Section shall not be automatic, and failure to sustain “outstanding performance” shall cause the employee’s pay to revert to the regularly assigned step for his/her classification. An employee who fails to sustain “outstanding performance” shall have their compensation reduced to the “regular range”, in accordance with this section, and at the City Manager’s discretion for Management/Confidential classes, and the City Council’s discretion for Appointed Officials. Salary for Appointed Officials/ Management/Confidential employees who have an employment agreement with the City shall not be modified prior to an amendment to his/her employment agreement, unless the agreement permits the increase or decrease to be handled administratively.

The regular salary range shall constitute the regularly defined Steps in the Salary Range (A-J).

The “merit range” shall constitute a “pay band” with a minimum rate set one dollar above the maximum of the “regular salary range” and the maximum set at an amount not to exceed fifteen percent beyond the regularly assigned top step of the salary range. The “pay band” shall be added to the Salary Schedule for the assigned non-represented Management/Confidential classifications and Appointed Officials when the increase is recommended by the City Manager or City Council.

In no case shall an employee receive additional merit compensation above the designated “merit range” as defined herein.

Eligibility for additional compensation granted to all employees as part of changes authorized by the City Council shall not be adversely affected by the employee’s status in steps granted beyond the regularly assigned step pursuant to the provisions of this Section. Salaries granted pursuant to this provision shall be reported to PERS as compensation earned.

30 Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of salary that may be contained in this Fringe Benefits and Salary Plan
b) Miscellaneous Employees(Cudahy Miscellaneous Employees’ Association) As provided in the Cudahy Miscellaneous Employees’ Association MOU, employees may be eligible for merit longevity compensation as continuing incentive to career employees upon achieving the “J” step and completing ten continuous years of service. Employees may be eligible for a 5% stipend above their base pay rate , and after twenty (20) years, the stipend shall increase to a total of 7.5% above the base pay rate. Such payment shall be granted with the approval of the city Manager to employees who continue to “Exceed Standards” as evidenced by the performance rating of such employee, which is defined as a comprehensive rating at or above the middle column of the current reporting form, or the equivalent rating on any revised reporting form. Merit Longevity may be removed by the City Manager when the employee’s performance does not merit such additional compensation. The provisions of this section shall be administered in accordance with the specific language in the Cudahy Miscellaneous Employees’ Association MOU.

Section 8. Compaction Rule
The top step of the salary range of any Management/Confidential classification shall be a minimum of two steps (approximately ten percent) above the top step of the closest subordinate classification, with the exception of those Management/Confidential classifications supervising specialized classifications which are highly compensated due to labor market conditions. In the case of highly compensated positions due to labor market conditions, employees may directly supervise a subordinate classification where the maximum salary range exceeds the supervisory class without the two step minimum (approximately ten percent).

Subordinate classification shall be defined as any position classification in which there are employees who are supervised by the Management/Confidential employee.

Section 9. Salaries Above Market Rate – Use of "Y" Rating Method The City Manager has the authority to implement a “Y” rating for employees whose range is found to exceed the market rate based on a salary survey. The employee in this case shall receive no increase in salary unless the maximum salary established by this Plan for their classifications exceeds the amount of their "Y" rate.

Section 10. Trainee Positions
The City Manager has the authority to establish a Trainee class for any class in the system. The salary range for Trainee classes shall be established with a salary range starting fifteen percent (15%) below the first step of the regular position and ending five percent (5%) below the first

31 step of the regular position. Employees who successfully complete the training program and meet the criteria for the higher level class, may be reclassified to the higher level class upon approval by the City Manager.

Section 11. Salary Differentials/Stipends
Exceptions shall be made to Sections 2 and 3 of this Plan as follows:
a. (5%) Salary Differential
After investigation and approval by the City Manager, a 5% Salary Differential shall be assigned to persons found to possess as a regular assignment such additional duties and responsibilities or whose positions entail certain hazards as to warrant additional compensation, which additional salary shall be limited to the following:

No current provisions
b. (10%) Salary Differential
After investigation and approval by the City Manager, a 10% Salary Differential shall be assigned to persons found to possess as a regular assignment such additional duties and responsibilities or whose positions entail certain hazards as to warrant additional compensation, which additional salary shall be limited to the following:

No current provisions
c. Bi-lingual Pay

1. Appointed Officials (Non-represented)
The City Clerk, City Treasurer and City Manager shall be entitled to the same compensation as provided to Management/Confidential employees, which shall be provided as a stipend rather than incorporated into base pay, when the positions have been designated as bi-lingual positions.

Notwithstanding the above, provisions of an employment agreement shall supersede and control over any description of benefits/salary that may be contained in this Fringe Benefits and Salary Plan.

2. Management/Confidential Employees (Non-represented)
Management/Confidential employees shall be entitled to the same compensation as provided to Miscellaneous employees, which shall be provided as a stipend rather than incorporated into base pay, when the positions have been designated as bi-lingual positions.

32 3. Miscellaneous Employees(Cudahy Miscellaneous Employees’ Association)16 Approved and certified employees shall be compensated with a bilingual pay stipend in the amount of $75.00 per month for oral translation duties, and $125.00 per month for oral and written translations.

The provisions of this section shall be administered in accordance with the specific language in the Cudahy Miscellaneous Employees’ Association MOU. d. Temporary Upgrade – Acting Capacity

1. Miscellaneous Employees(Cudahy Miscellaneous Employees' Association)17 An employee who has been designated by the City to serve in an acting capacity for thirty (30) consecutive work days or more shall receive Step A of the pay range for the classification in which the employee is performing active duties, or a stipend of 5% above the base pay, whichever is greater. Service in an acting capacity shall not be used as a basis for, or in support of, a request for reclassification. The City Manager or designee may determine that a position filled pursuant to an acting assignment shall be filled based on a competitive process to afford an equal opportunity for internal/external candidates.
e. Temporary Upgrade – Work Out of Class

1. Miscellaneous Employees(Cudahy Miscellaneous Employees' Association)18 The City may temporarily assign employees to work out of classification. The selection of employees for an out-of-classification assignment shall be at the discretion of the City Manager or designee. A temporary out-of-class stipend of 5% above the employee’s base pay shall be authorized with advance approval by the Department Head, upon consultation and approval from the City Manager or designee when an employee is designated and scheduled to work in an out- of- class assignment. Paid holidays shall be considered as days actually worked. Other forms of authorized leave such as sick leave, emergency leave and vacation shall not be considered as days actually worked. 16 See CMEA MOU, p. 16. 17 See CMEA MOU, pp. 7. 18 See CMEA MOU, p. 7.

33 Section 12. Overtime
The City’s pay policy is intended to comply with the salary pay requirements of current State and Federal laws, and shall be construed in accordance with these laws and regulations. Further, the City shall administer the pay practices related to overtime consistent with the City’s personnel rules and the Cudahy Miscellaneous Employees’ Association MOU.

Non-exempt employees shall be paid for hours worked in accordance with all legal requirements. Overtime is calculated at one and one-half (1 ½) times the employee’s regular base rate of pay for all time worked over 40 hours in one workweek. Hours paid that are not actually worked, such as holidays, sick days, and vacation hours do not count as hours worked when calculating weekly overtime. a. Miscellaneous Employees – (Cudahy Miscellaneous Employee’s Association)19

1. For all workweeks in which there is no designated holiday that falls during the workweek or a day in which the employee is sent home due to an unexpected City closure, or by management due to lack of work or an act of God, the employee shall be eligible for overtime pay (time and one half the employee’s regular rate of pay as that term is used in the Fair Labor Standards Act) for time worked over 40 hours per workweek. In a workweek where there is a designated holiday that falls during the workweek or a day in which the employee is sent home due to an unexpected City closure, or by management due to lack of work or an act of God and is thus unable to work their regularly scheduled shift, and the employee has not taken any time off or leave during that same week (e.g. vacation, sick or other personal leave), the employee shall be eligible for overtime pay (time and one half) for time worked beyond the employee’s scheduled shift(s) during that workweek.

2. When an employee is not regularly scheduled to work on Saturdays and Sundays the employee shall receive overtime pay (time and one-half) for all time worked on those days.

When an employee works on a designated City holiday, the employee shall receive overtime pay (double time) for all time worked on the holiday.

Exempt employees are not entitled to receive overtime pay even though they may have to work hours beyond their normal schedule, as work demands require.

Section 13. Compensatory Time Off
a. Miscellaneous Employees – (Cudahy Miscellaneous Employee’s Association)20 The City’s pay policy is intended to comply with the salary pay requirements of current State and Federal laws, and shall be construed in accordance with these laws and regulations. Further, the City shall administer the pay practices related to Compensatory Time consistent with the City’s personnel rules and the Cudahy Miscellaneous Employees’ Association MOU. 19 CMEA MOU, pp. 13-14 20 CMEA MOU, p. 14-15.

33 Compensatory time is an alternative method of overtime payment to non-exempt employees.

In lieu of paying a non-exempt employee for overtime worked, employees may be granted compensatory time off at the overtime rate of one and one half (1 ½) for each hour of overtime worked. Employees shall have the option of receiving overtime pay for any overtime worked.

Use of earned compensatory time off must be approved in advance by the Department Head or designee. The maximum accrual limit is 120 hours.

Section 14. Executive Leave
Management/Confidential employees shall be entitled to take three (3) days (30 hours) of executive leave per fiscal year. The three (3) days (30 hours) may not be carried over to the next fiscal year and their use must have the prior permission of the City Manager. This provision shall be administered in accordance with the City’s Personnel Rules and the Cudahy Miscellaneous Employees’ Association MOU.

Section 15. On-Call (Standby) Pay
a. Miscellaneous Employees – (Cudahy Miscellaneous Employee’s Association)21 An employee who has been instructed by their direct supervisor to stand-by is free to use this time for their own benefit. Employees On-Call (Standby) shall receive two (2) hours of compensatory time for an assigned 24 consecutive hour shift, which will not be counted towards over-time calculations.

The City’s pay policy is intended to comply with the salary pay requirements of current State and Federal laws, and shall be construed in accordance with these laws and regulations. Further, the City shall administer the pay practices related to On-Call (Standby) Pay consistent with the City’s personnel rules and the Cudahy Miscellaneous Employees’ Association MOU.

Section 16. Call Back Pay
a. Miscellaneous Employees – (Cudahy Miscellaneous Employee’s Association)22 Call back duty occurs when an employee is called back in to work after their regular shift has ended. An employee called back to duty shall be paid a minimum of two (2) hours of compensatory time at a rate equal to time and one-half (1 ½) the regular hourly pay rate, and for actual hours worked at time and one-half the regular hourly pay rate, if hours worked exceeds two (2).
21 CMEA MOU, p. 15.
22 CMEA MOU, p. 15.

34 34
The City’s pay policy is intended to comply with the salary pay requirements of current State and Federal laws, and shall be construed in accordance with these laws and regulations. Further, the City shall administer the pay practices related to Call Back Pay consistent with the City’s personnel rules and the Cudahy Miscellaneous Employees’ Association MOU.

Section 17. Additional Approved Increasesin Compensation and Changesto the Salary and Classification Plans
a. Miscellaneous Employees – (Cudahy Miscellaneous Employee’s Association)23 All members shall receive:
• A 3% increase to their base rate effective July 1, 2022; • A 2.5% increase to their base rate effective July 1, 2023; and • A 2.5% increase to their base rate effective July 1 2024.

Section 18. The Provisions of This Plan Shall Be Operative on the Date of Its Adoption.

ADDENDUM:

1. HOURLY RANGE TABLES

2. ASSOCIATION RANGE TABLES

3. MANAGEMENT/CONFIDENTIAL RANGE TABLES

4. SALARY SCHEDULES
23 CMEA MOU, p. 5.

HOURLY RANGE TABLES

Compensation Salary Schedule
Effective July 1, 2022
Ranges A B C
H1 $15.45 $16.22 $17.03
H2 $16.22 $17.03 $17.89
H3 $17.04 $17.89 $18.78
H4 $17.88 $18.77 $19.71
H5 $18.78 $19.72 $20.70
H6 $19.71 $20.70 $21.73
H7 $20.70 $21.74 $22.83
H8 $21.74 $22.83 $23.97
H9 $22.82 $23.97 $25.16
H10 $23.97 $25.17 $26.42

ASSOCIATION RANGE TABLES

Association Compensation Schedule
Effective July 1, 2022
Ranges A B C D E F G H I J
A1 $3,429 $3,515 $3,602 $3,693 $3,785 $3,879 $3,976 $4,076 $4,178 $4,282 A2 $3,594 $3,684 $3,776 $3,870 $3,967 $4,066 $4,168 $4,272 $4,379 $4,488 A3 $3,773 $3,867 $3,964 $4,063 $4,165 $4,269 $4,375 $4,485 $4,597 $4,712 A4 $3,956 $4,055 $4,157 $4,260 $4,367 $4,476 $4,588 $4,703 $4,820 $4,941 A5 $4,150 $4,254 $4,360 $4,469 $4,581 $4,695 $4,813 $4,933 $5,056 $5,183 A6 $4,358 $4,467 $4,579 $4,693 $4,810 $4,931 $5,054 $5,180 $5,310 $5,442 A7 $4,397 $4,507 $4,620 $4,735 $4,854 $4,975 $5,099 $5,227 $5,357 $5,491 A8 $4,573 $4,688 $4,805 $4,925 $5,048 $5,174 $5,304 $5,436 $5,572 $5,711 A9 $4,800 $4,920 $5,043 $5,169 $5,298 $5,431 $5,566 $5,705 $5,848 $5,994 A10 $5,038 $5,164 $5,293 $5,425 $5,561 $5,700 $5,842 $5,988 $6,138 $6,291 A11 $5,289 $5,421 $5,557 $5,696 $5,838 $5,984 $6,134 $6,287 $6,444 $6,605 A12 $5,358 $5,492 $5,629 $5,770 $5,914 $6,062 $6,214 $6,369 $6,528 $6,691 A13 $5,549 $5,687 $5,830 $5,975 $6,125 $6,278 $6,435 $6,596 $6,760 $6,929 A14 $5,824 $5,969 $6,118 $6,271 $6,428 $6,589 $6,754 $6,922 $7,096 $7,273 A15 $6,110 $6,263 $6,419 $6,580 $6,744 $6,913 $7,086 $7,263 $7,444 $7,631 A16 $6,410 $6,570 $6,734 $6,903 $7,075 $7,252 $7,433 $7,619 $7,810 $8,005 A17 $6,726 $6,894 $7,066 $7,243 $7,424 $7,610 $7,800 $7,995 $8,195 $8,400 A18 $7,057 $7,233 $7,414 $7,599 $7,789 $7,984 $8,183 $8,388 $8,598 $8,813 A19 $7,404 $7,589 $7,778 $7,973 $8,172 $8,377 $8,586 $8,801 $9,021 $9,246 A20 $7,771 $7,966 $8,165 $8,369 $8,578 $8,793 $9,012 $9,238 $9,469 $9,705 A21 $8,153 $8,357 $8,566 $8,780 $9,000 $9,225 $9,456 $9,692 $9,934 $10,183 A22 $8,558 $8,772 $8,992 $9,216 $9,447 $9,683 $9,925 $10,173 $10,427 $10,688 A23 $8,981 $9,205 $9,435 $9,671 $9,913 $10,161 $10,415 $10,675 $10,942 $11,216 A24 $9,427 $9,662 $9,904 $10,151 $10,405 $10,665 $10,932 $11,205 $11,485 $11,772

DIRECTOR / MANAGEMENT /

CONFIDENTIAL RANGE TABLES

Confidential Compensation Schedule
Effective July 1, 2022
Range A B C D E F G H I J
C-1 $4,083 $4,185 $4,289 $4,397 $4,506 $4,619 $4,735 $4,853 $4,974 $5,099 C-2 $4,716 $4,834 $4,955 $5,079 $5,206 $5,336 $5,469 $5,606 $5,746 $5,890 C-3 $5,349 $5,483 $5,620 $5,761 $5,905 $6,052 $6,204 $6,359 $6,518 $6,681 Director/ Manager Compensation Schedule
Effective July 1, 2022
Ranges A B C D E F G H I J
M-1 $5,619 $5,759 $5,903 $6,051 $6,202 $6,357 $6,516 $6,679 $6,846 $7,017 M-2 $6,346 $6,505 $6,667 $6,834 $7,005 $7,180 $7,360 $7,544 $7,732 $7,925 M-3 $7,498 $7,685 $7,878 $8,074 $8,276 $8,483 $8,695 $8,913 $9,136 $9,364 M-4 $8,906 $9,129 $9,357 $9,591 $9,831 $10,077 $10,329 $10,587 $10,851 $11,123 M-5 $10,295 $10,552 $10,816 $11,086 $11,363 $11,647 $11,939 $12,237 $12,543 $12,857

SALARY SCHEDULES

TITLE GROUP RATE RANGE STEP A STEP B STEP C STEP D STEP E STEP F STEP G STEP H STEP I STEP J Account Clerk PT HOURLY H10 $23.97 $25.17 $26.42
Accounting Technician CMEA MONTHLY A12 $5,358 $5,492 $5,629 $5,770 $5,914 $6,062 $6,214 $6,369 $6,528 $6,691 Administrative Analyst CONFIDENTIAL MONTHLY C1 $4,083 $4,185 $4,289 $4,397 $4,506 $4,619 $4,735 $4,853 $4,974 $5,099 Administrative Assistant CMEA MONTHLY A8 $4,573 $4,688 $4,805 $4,925 $5,048 $5,174 $5,304 $5,436 $5,572 $5,711 Administrative Clerk PT HOURLY H10 $23.97 $25.17 $26.42 Administrative Intern PT HOURLY H5 $18.78 $19.72 $20.70 Administrative Services Director MGMT MONTHLY M4 $8,906 $9,129 $9,357 $9,591 $9,831 $10,077 $10,329 $10,587 $10,851 $11,123 Assistant City Engineer CMEA MONTHLY A20 $7,771 $7,966 $8,165 $8,369 $8,578 $8,793 $9,012 $9,238 $9,469 $9,705 Assistant City Clerk MGMT MONTHLY M2 $6,346 $6,505 $6,667 $6,834 $7,005 $7,180 $7,360 $7,544 $7,732 $7,925 Assistant Engineer CMEA MONTHLY A14 $5,824 $5,969 $6,118 $6,271 $6,428 $6,589 $6,754 $6,922 $7,096 $7,273 Assistant Recreation Program Coordinator CMEA MONTHLY A5 $4,150 $4,254 $4,360 $4,469 $4,581 $4,695 $4,813 $4,933 $5,056 $5,183 Associate Engineer CMEA MONTHLY A16 $6,410 $6,570 $6,734 $6,903 $7,075 $7,252 $7,433 $7,619 $7,810 $8,005 Building Inspector CMEA MONTHLY A14 $5,824 $5,969 $6,118 $6,271 $6,428 $6,589 $6,754 $6,922 $7,096 $7,273 City Council Member ELECTED MONTHLY FLAT RATE $484
City Clerk APPOINTED MONTHLY M4 $8,906 $9,129 $9,357 $9,591 $9,831 $10,077 $10,329 $10,587 $10,851 $11,123 City Manager APPOINTED MONTHLY FLAT RATE $18,025
City Treasurer APPOINTED MONTHLY FLAT RATE $5,339
Community Development Director MGMT MONTHLY M5 $10,295 $10,552 $10,816 $11,086 $11,363 $11,647 $11,939 $12,237 $12,543 $12,857 Community Preservation Officer CMEA MONTHLY A8 $4,573 $4,688 $4,805 $4,925 $5,048 $5,174 $5,304 $5,436 $5,572 $5,711 Community Preservation Technician PT HOURLY H8 $21.74 $22.83 $23.97 Deputy City Clerk CONFIDENTIAL MONTHLY C2 $4,716 $4,834 $4,955 $5,079 $5,206 $5,336 $5,470 $5,606 $5,746 $5,890 Executive Secretary CONFIDENTIAL MONTHLY A10 $5,038 $5,164 $5,293 $5,425 $5,561 $5,700 $5,842 $5,988 $6,138 $6,291 Finance Director MGMT MONTHLY M5 $10,295 $10,552 $10,816 $11,086 $11,364 $11,648 $11,939 $12,237 $12,543 $12,857 Human Resources Manager MGMT MONTHLY M3 $7,498 $7,686 $7,878 $8,075 $8,277 $8,484 $8,696 $8,913 $9,136 $9,364 Human Resources Specialist CONFIDENTIAL MONTHLY C3 $5,350 $5,484 $5,621 $5,761 $5,905 $6,053 $6,204 $6,359 $6,518 $6,681 Junior Deputy City Clerk CONFIDENTIAL MONTHLY C1 $4,083 $4,185 $4,290 $4,397 $4,507 $4,619 $4,735 $4,853 $4,975 $5,099 Maintenance Aide PT HOURLY H2 $16.22 $17.03 $17.89
Maintenance Leader CMEA MONTHLY A6 $4,358 $4,467 $4,579 $4,693 $4,810 $4,931 $5,054 $5,180 $5,310 $5,442 Maintenance Superintendent CMEA MONTHLY A11 $5,289 $5,421 $5,557 $5,696 $5,838 $5,984 $6,134 $6,287 $6,444 $6,605 Maintenance Supervisor CMEA MONTHLY A9 $4,800 $4,920 $5,043 $5,169 $5,298 $5,431 $5,566 $5,705 $5,848 $5,994 Maintenance Worker CMEA MONTHLY A3 $3,773 $3,867 $3,964 $4,063 $4,165 $4,269 $4,375 $4,485 $4,597 $4,712 Management Analyst CMEA MONTHLY M2 $6,346 $6,504 $6,667 $6,834 $7,005 $7,180 $7,359 $7,543 $7,732 $7,925 Maintenance Worker Janitorial CMEA MONTHLY A3 $3,773 $3,867 $3,964 $4,063 $4,165 $4,269 $4,375 $4,485 $4,597 $4,712 Municipal Enforcement Officer PT HOURLY H6 $19.71 $20.70 $21.73 Parking Enforcement Officer CONFIDENTIAL MONTHLY A7 $4,397 $4,507 $4,620 $4,735 $4,854 $4,975 $5,099 $5,227 $5,357 $5,491 Planning Assistant CMEA MONTHLY A9 $4,800 $4,920 $5,043 $5,169 $5,298 $5,431 $5,566 $5,705 $5,848 $5,994 Planning Associate CMEA MONTHLY A10 $5,038 $5,164 $5,293 $5,425 $5,561 $5,700 $5,842 $5,988 $6,138 $6,291 Planning Technician PT HOURLY H7 $20.70 $21.74 $22.83
Public Safety and Services Manager MGMT MONTLY M3 $7,315 $7,498 $7,685 $7,878 $8,074 $8,276 $8,483 $8,695 $8,913 $9,136 Public Works Director/Engineer MGMT MONTHLY M5 $10,295 $10,552 $10,816 $11,086 $11,364 $11,648 $11,939 $12,237 $12,543 $12,857 Purchasing and Grants Coordinator CMEA MONTHLY A12 $5,358 $5,492 $5,629 $5,770 $5,914 $6,062 $6,214 $6,369 $6,528 $6,691 Recreation Aide PT HOURLY H1 $15.45 $16.22 $17.03
Recreation Leader PT HOURLY H3 $17.04 $17.89 $18.78
Recreation Program Coordinator CMEA MONTHLY A9 $4,800 $4,920 $5,043 $5,169 $5,298 $5,431 $5,566 $5,705 $5,848 $5,994 Parks and Recreation Program Manager CMEA MONTHLY A11 $5,289 $5,421 $5,557 $5,696 $5,838 $5,984 $6,134 $6,287 $6,444 $6,605 Senior Accountant CMEA MONTHLY A17 $6,726 $6,894 $7,066 $7,243 $7,424 $7,610 $7,800 $7,995 $8,195 $8,400 Senior Community Preservation Officer CMEA MONTHLY A9 $4,800 $4,920 $5,043 $5,169 $5,298 $5,431 $5,566 $5,705 $5,848 $5,994 Senior Parking Enforcement Officer CONFIDENTIAL MONTHLY A16 $6,410 $6,570 $6,734 $6,903 $7,075 $7,252 $7,433 $7,619 $7,810 $8,005 Senior Recreation Leader PT HOURLY H4 $17.88 $18.77 $19.71 Supportive Services Coordinator CMEA MONTHLY A13 $5,549 $5,687 $5,830 $5,975 $6,125 $6,278 $6,435 $6,596 $6,760 $6,929 Office Clerk CMEA MONTHLY A6 $4,358 $4,467 $4,579 $4,693 $4,810 $4,931 $5,054 $5,180 $5,310 $5,442 Senior Building Inspector CMEA MONTHLY A15 $6,110 $6,263 $6,419 $6,580 $6,744 $6,913 $7,086 $7,263 $7,444 $7,631

CITY OF CUDAHY
SALARY SCHEDULE EFFECTIVE DATE July 19, 2022

ADMINISTRATIVE CLERK
(Part-Time)
DEFINITION:

Under close supervision, performs a variety of routine clerical tasks; receives training and guidance in the more difficult tasks; and performs other related duties as required.

EXAMPLES OF ESSENTIAL DUTIES:

The duties and responsibilities listed below are intended to provide a representative list of the various types of work that may be performed. Specifications are not intended to reflect all duties performed within the job class, and incumbents may expect to perform other related similar duties. • Receives office and telephone callers; assist the general public and City staff by providing basic information related to specific program areas of assignment. • Refers callers to appropriate City staff for further assistance as needed. • Provides basic information and forms to the public.
• Enters routine data into a computer from various sources; verifies data for accuracy and completeness.
• Assists in maintaining accurate and up-to-date office files and records for assigned areas. • Learns to process mail including receiving, sorting, time-stamping, logging, and distributing incoming and outgoing correspondence and packages.
• Learns to type, format, edit, revise, proofread, and process a variety of documents and forms including general correspondence, notices, reports memos and other documents. • Operates a variety of office equipment including a computer, typewriter, copier,

CITY OF CUDAHY

CLASSIFICATION SPECIFICATION
Attachment B Page 98 of 261
Administrative Clerk Classification Specification

facsimile machine and adding machine; learns to utilize various computer applications and software packages.
• Participates in cross training and provides back up to other internal staff; assists other office personnel in performing related administrative support functions. • Establishes positive working relationships with City staff and the general public. • Assumes responsibility for ensuring the duties of the position are performed in a safe and efficient manner.
• Performs other duties as assigned.

QUALIFICATIONS:

Knowledge of: Basic office practices and procedures; correct English usage, including spelling, grammar and punctuation; basic office procedures, methods, and equipment including computers and word processing software; record keeping and filing practices and procedures; methods and techniques of proper phone etiquette; basic math.

Ability to: Learn to perform a variety of clerical duties of a general nature for an assigned office; learn the organization, operation, and services of the City and of outside agencies as necessary to assume assigned responsibilities; operate office equipment including computers and supporting word processing applications; type accurately at a speed necessary to meet the requirements of the position; learn to operate a multi-line telephone system; learn to maintain office and specialized files; understand and follow written and oral instructions; use tact and discretion in dealing with sensitive situations and concerned people and customers; communicate clearly and concisely, both orally and in writing; establish and maintain effective professional working relationships with those contacted in the course of work.

Education and Experience: Any combination of education and experience which may provide the required knowledge and abilities and skills is qualifying. A typical way is graduation from high school or equivalent supplemented by courses in office practices and procedures.

Experience in clerical or administrative work may be substituted for the supplemental education requirement. Ability to speak Spanish is highly desirable, but not required.

Necessary Special Requirements: Possession of a valid Class C motor vehicle operator’s license from the State of California.

OTHER QUALIFICATIONS:

The physical demands described below are representative of those that must be met by an employee to successfully perform the essential functions of the job. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions on a case-by-case basis.

While performing the duties of this classification, an incumbent is regularly required to use hands and fingers to handle, or feel. The employee is frequently required to talk, hear, and to sit and reach with hands and arms. The employee is occasionally required to stand, walk, climb or balance and stoop, kneel, crouch or crawl. The employee must regularly lift and/or move up

Recreational Aide Classification Specification

to ten (10) pounds, frequently lift and/or move up to twenty-five (25) pounds. Specific vision abilities required by this job include close vision, distance vision, color vision, peripheral vision, depth perception and ability to adjust focus.

FLSA Status: Non-Exempt Effective Date: July 19, 2022

OFFICE CLERK
(Full-Time)
DEFINITION:

Under immediate supervision, performs varied clerical work performs routine office administrative duties; and performs other related duties as required.

EXAMPLES OF ESSENTIAL DUTIES:

The duties and responsibilities listed below are intended to provide a representative list of the various types of work that may be performed. Specifications are not intended to reflect all duties performed within the job class, and incumbents may expect to perform other related similar duties. • Responsible for receiving office and telephone callers; assisting the general public and City staff by providing basic information.
• Posts, checks, balances, and adjusts accounts; gathers, tabulates, and proofreads statistical data.
• Refers callers to appropriate City staff for further assistance as needed. • Provides basic information and forms to the public.
• Keeps various financial data and records, daily logs, and other records. • Serves at the public counter determining and collecting service payments; counts and verifies each receipt; prepares and makes bank deposits. • Assists in the preparation of payroll reports and documents. • Creates, sorts, and distributes correspondence.
• Keeps abreast of new laws and regulations effecting area of responsibility. • Assist in preparing a variety of documents and forms including general correspondence, notices, reports memos and other documents.
• Participates in cross training and provides back up to other staff; assists other office personnel in performing related administrative support functions; serves as a back-up to other finance and/or City functions.
• Establishes positive working relationships with City staff and the general public. • Assumes responsibility for ensuring the duties of the position are performed in a safe and efficient manner.

CITY OF CUDAHY

CLASSIFICATION SPECIFICATION
Attachment C Page 101 of 261
Office Clerk Classification Specification

• Performs other related duties, as assigned.

QUALIFICATIONS:

Knowledge of: Clerical and financial record keeping procedures and filing systems; basic methods and practices of financial record keeping and accounting; daily cashiering procedures and duties; billing, account management, and financial system software and procedures; customer service and customer relations practices and principles; English usage, spelling, grammar and punctuation; modern office practices, equipment, and procedures; computer systems and software applications; City organization, functions and policies; safe work methods and safety regulations.

Ability to: Maintain a variety of routine financial records; prepare routine financial reports and keep detailed records; examine source documents and review for accuracy and discrepancies; perform basic arithmetical calculations quickly and accurately; interpret customer accounts; explain City policies; exercise independent judgment and initiative within established guidelines; operate standard office equipment, personal computers, and related software; communicate clearly and concisely, orally and in writing; be tactful and courteous to the public; effectively represent the City, including its programs and policies with the public; establish and maintain effective working relationships with all levels of City management, employees, the public and others encountered in the course of work; provide excellent customer service and resolve public concerns and complaints; understand and follow oral and written directions; work effectively with a small group or individually; skillfully and safely operate a motor vehicle when required in the course of performing work duties.

Education and Experience:. A degree from a four-year college is highly desirable in business administration, political science or a related field is highly desirable. Any combination of education and experience which may provide the required knowledge and abilities and skills is qualifying. A typical way is graduation from high school or equivalent supplemented by the completion of college level coursework in accounting; and one (1) year of experience in financial recordkeeping. Ability to speak Spanish is highly desirable.

Necessary Special Requirements: Possession of a valid Class C motor vehicle operator's license from the State of California.

OTHER QUALIFICATIONS:

The physical demands described below are representative of those that must be met by an employee to successfully perform the essential functions of the job. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions on a case-by-case basis.

While performing the duties of this classification, an incumbent is regularly required to use hands and fingers to handle, or feel. The employee is frequently required to talk, hear, and to sit and reach with hands and arms. The employee is occasionally required to stand, walk, climb or balance and stoop, kneel, crouch or crawl. The employee must regularly lift and/or move up to ten (10) pounds, frequently lift and/or move up to twenty-five (25) pounds. Specific vision abilities required by this job include close vision, distance vision, color vision, peripheral vision, depth perception and ability to adjust focus.

FLSA Status: Non-Exempt Effective Date: July 19, 2022

BUILDING INSPECTOR
(Full-Time)
DEFINITION:

Under general supervision, conducts field inspections and checks residential, commercial and industrial construction, alteration, or repair of buildings and other structures; enforces codes related to building, plumbing, electrical, mechanical, structural, and finish trade areas; provides building code information to the public; approves submitted building plans for compliance with building, zoning, mechanical, plumbing, electrical, housing, and related codes and regulations governing the construction, alteration, repair, and use of buildings and structures; and performs other related duties as required.

EXAMPLES OF ESSENTIAL DUTIES:

The duties and responsibilities listed below are intended to provide a representative list of the various types of work that may be performed. Specifications are not intended to reflect all duties performed within the job class, and incumbents may expect to perform other related similar duties. • Performs the full array of residential, commercial, and industrial building construction, remodel, and repair field inspections to ensure the health, safety, and welfare of the public; determines existence and type of various building code violations. • Compiles, analyzes, and evaluates findings of investigations and inspections. • Interacts with architects and construction contractors to ensure code compliance; performs follow-up inspections as required; ensures compliance with all applicable municipal building related codes and regulations.
• Issues standard construction and occupancy permits and approves final inspection certificates.
• Conducts residential and commercial field inspections before and during construction, remodeling or repair.
• Ensures compliance with building and related codes and regulations; checks the safety of construction and installation practices.
• Inspects the quality of materials and methods of construction for footings and foundations, excavations, wood framing, concrete work, steel erection, lathing, plastering, tile work, pools and spas, masonry, electrical, plumbing, and other construction work.

CITY OF CUDAHY

CLASSIFICATION SPECIFICATION
Attachment D Page 103 of 261
Building Inspector Classification Specification

• Makes final inspections to clear permits.
• Interprets, applies, and explains applicable county, and municipal electrical, plumbing, structural, and mechanical codes, and other related laws, codes, and regulations to the public, internal staff, and other agencies.
• Advises architects, contractors, and property owners on the requirements for compliance; explains processes and procedures for obtaining compliance or appropriate permits. • Maintains clear, concise, and comprehensive records and reports related to inspection activities.
• Enters and retrieves information from records systems. • Processes and approves submitted building plans for compliance with building, mechanical, plumbing, electrical, housing, and related codes and regulations governing the construction, alteration, repair, and use of buildings and structures. • Checks for grade and quality of materials used in construction. • Assists in and coordinates plan review with other City divisions and outside agencies. • Abates homes and businesses and issues stop work orders and correction notices. • Responds to questions and concerns from the public, internal staff, and other agencies; Provides information as appropriate and resolves plans and building code issues and complaints; cooperates with other agencies.
• Responds to emergency situations as required.
• Interprets and monitors City rules, policies, and procedures pertaining to building and zoning administration; explains and provides information to owners about building applications and permits.
• Reviews applications for completeness and researches application and permit status; explains required inspections and construction requirements to owners, architects, engineers, contractors, and the public.
• Prepares and maintains records and files for monitoring deficiencies and status of compliance. • Responds to verbal and written inquiries; interprets and explains requirements and restrictions relative to building codes, ordinances, regulations, policies, and procedures. • Processes and approves building permit applications.
• Assesses fees in accordance with established schedules. • Recommends service levels; performs field observations to ensure compliance with division policies, practices, and City ordinances; prepares reports related to division activities. • Provides technical assistance to contractors, engineers, architects, and the public in regards to construction plans and specifications, projects, code interpretations, inspection requests, City policies and procedures.

Building Inspector Classification Specification

• Assists at the permit counter; provides information and assistance regarding construction codes as necessary; issues and writes permits; assists in answering questions; calculates building permits, plan checks, and developer fees.
• Files and logs current projects to track status; transmits plans to other divisions, and outside consultants as appropriate.
• Conducts research and prepares reports regarding selected plans and specifications, permits, inspections, complaints, or disputes.
• Coordinates building inspection activities with other City divisions and outside agencies. • Prepares a variety of reports and correspondence, including notices of violations and followup letters. • Attends various meetings and training seminars; keeps informed of changes and new legislation pertaining to building codes and related regulations. • Performs plan checks to ensure minimum design criteria, energy standards, and that the Disabled Access Requirements are met.
• Checks and approves plans and specifications for the construction, alteration, and repair of residential, commercial, and industrial buildings and structures; ensures that plans meet the requirements of related building codes, regulations, and restrictions; indicates corrections of structural deficiencies where required.
• Prepares comprehensive correction lists, reviews calculations, maintains files, and records of the specifications, calculations, and other pertinent information related to submitted plans. • Checks or assists in checking of building plans and specifications for residential, and nonresidential structures for compliance with applicable Building, Electrical, Plumbing, Occupancy, and Zoning Codes.
• Develops alternative methods to comply with those requirements and restrictions. • Participates in a variety of City committees, study groups and task forces as required. • Establishes positive working relationships with representatives of community organizations, state/local agencies and associations, City management and staff, and the public. • May be exposed to confidential and privileged information during the course of duties, which should be maintained as such.
• Maintains daily log of contacts or inspections for code enforcement cases. • Participates in cross training and provides back up to other staff; assists other office personnel in performing related administrative support functions; serves as a back-up to other finance and/or City functions.
• Establishes positive working relationships with City staff and the general public. • Assumes responsibility for ensuring the duties of the position are performed in a safe and efficient manner.

Building Inspector Classification Specification

• Performs other duties as assigned.

QUALIFICATIONS:

Knowledge of: Principles, practices and methods used in various building construction areas, including plumbing, electrical, and mechanical; principles and practices of structural and civil engineering; operational characteristics and use of standard equipment used in building inspection and the building trades; building and construction standards and materials; construction materials and testing procedures; principles, practices, and methods used in plan checking and permit issuance; uniform codes and related engineering practices; modern methods of building construction; applicable federal, state, county, and local laws, codes, and regulations, including laws, ordinances, and codes related to construction plans review, building construction, and zoning; investigative principles and practices; public relations techniques and procedures; basic principles of mathematics; techniques of scheduling work assignments; standard office procedures, practices and equipment, including a computer and applicable software; methods and techniques for record keeping and report preparation and writing; proper English, spelling, and grammar; and occupational hazards and standard safety practices.

Ability to: Apply policies, procedures, codes, and regulations pertaining to building inspection; plan and prioritize daily inspections; read, interpret, and explain maps, sketches, plans, drawings, specifications, and technical manuals; maintain I.C.B.O. certification through continuing education programs; keep accurate records; learn more complex principles, practices, techniques, and regulations pertaining to assigned duties; implement, explain, and apply applicable laws, codes and regulations; read, interpret, and record data accurately; perform mathematical calculations quickly and accurately; organize, prioritize, and follow-up on work assignments; work independently and as part of a team; make sound decisions within established guidelines; respond to issues and concerns from contractors, homeowners, and the community; analyze a complex issue, and develop and implement an appropriate response; follow written and oral directions; observe safety principles and work in a safe manner; communicate clearly and concisely, both orally and in writing; and establish and maintain effective working relationships Education and Experience: Any combination of education and experience which may provide the required knowledge and abilities and skills is qualifying. A typical way is graduation from high school or equivalent; and the equivalent of three (3) years of experience in one (1) or more of the general building trades, construction or a related field, and two (2) years of experience as a building inspector with a public agency. Ability to speak Spanish is highly desirable.

Necessary Special Requirements: Possession of a valid Class C motor vehicle operator’s license from the State of California. Possession of an I.C.C. Building Inspection certificate.

OTHER QUALIFICATIONS:

The physical demands described below are representative of those that must be met by an employee to successfully perform the essential functions of the job. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions on a case-by-case basis.

Building Inspector Classification Specification

Position requires sitting, standing, walking on level and slippery surfaces, reaching, twisting, turning, kneeling, bending, stooping, squatting, crouching, grasping, and making repetitive hand movement in the performance of daily duties. The position also requires both near and far vision when inspecting work and operating assigned equipment. The need to lift, carry, and push tools, equipment, and supplies weighing 25 pounds or more is also required. Additionally, the incumbent in this outdoor position works in all weather conditions, including wet, hot, and cold. The position entails working in situations that may expose the employee to fumes or airborne particles, electrical shock, or mechanical hazards. The nature of the work also requires the incumbent to climb ladders, drive motorized vehicles, operate in heavy vehicle traffic conditions, and often work with constant interruptions; ability to speak and hear; ability to get from one location to another in the course of doing business.

Some of these requirements may be accommodated for otherwise qualified individuals requiring and requesting such accommodations.

FLSA Status: Non-Exempt Effective Date: July 19, 2022

SENIOR BUILDING INSPECTOR
(Full-Time)
DEFINITION:

Under general supervision, conducts field inspections and checks residential, commercial and industrial construction, alteration, or repair of buildings and other structures; enforces codes related to building, plumbing, electrical, mechanical, structural, and finish trade areas; provides building code information to the public; approves submitted building plans for compliance with building, zoning, mechanical, plumbing, electrical, housing, and related codes and regulations governing the construction, alteration, repair, and use of buildings and structures; and performs other related duties as required.

EXAMPLES OF ESSENTIAL DUTIES:

The duties and responsibilities listed below are intended to provide a representative list of the various types of work that may be performed. Specifications are not intended to reflect all duties performed within the job class, and incumbents may expect to perform other related similar duties. • Supervises, trains and assists with the evaluation of assigned staff. • Determines building and construction inspection priorities and distributes work to staff as appropriate
• Performs the full array of residential, commercial, and industrial building construction, remodel, and repair field inspections to ensure the health, safety, and welfare of the public; determines existence and type of various building code violations. • Compiles, analyzes, and evaluates findings of investigations and inspections. • Interacts with architects and construction contractors to ensure code compliance; performs follow-up inspections as required; ensures compliance with all applicable municipal building related codes and regulations.
• Issues standard construction and occupancy permits and approves final inspection certificates.
• Conducts residential and commercial field inspections before and during construction, remodeling or repair.
• Ensures compliance with building and related codes and regulations; checks the safety of construction and installation practices.
• Inspects the quality of materials and methods of construction for footings and foundations, excavations, wood framing, concrete work, steel erection, lathing, plastering, tile work, pools

CITY OF CUDAHY

CLASSIFICATION SPECIFICATION
Attachment E Page 108 of 261
Senior Building Inspector Classification
Specification Page 2
and spas, masonry, electrical, plumbing, and other construction work. • Makes final inspections to clear permits.
• Interprets, applies, and explains applicable county, and municipal electrical, plumbing, structural, and mechanical codes, and other related laws, codes, and regulations to the public, internal staff, and other agencies.
• Advises architects, contractors, and property owners on the requirements for compliance; explains processes and procedures for obtaining compliance or appropriate permits. • Maintains clear, concise, and comprehensive records and reports related to inspection activities.
• Enters and retrieves information from records systems. • Processes and approves submitted building plans for compliance with building, mechanical, plumbing, electrical, housing, and related codes and regulations governing the construction, alteration, repair, and use of buildings and structures. • Checks for grade and quality of materials used in construction. • Assists in and coordinates plan review with other City divisions and outside agencies. • Abates homes and businesses and issues stop work orders and correction notices. • Responds to questions and concerns from the public, internal staff, and other agencies; Provides information as appropriate and resolves plans and building code issues and complaints; cooperates with other agencies.
• Responds to emergency situations as required.
• Interprets and monitors City rules, policies, and procedures pertaining to building and zoning administration; explains and provides information to owners about building applications and permits.
• Reviews applications for completeness and researches application and permit status; explains required inspections and construction requirements to owners, architects, engineers, contractors, and the public.
• Prepares and maintains records and files for monitoring deficiencies and status of compliance. • Responds to verbal and written inquiries; interprets and explains requirements and restrictions relative to building codes, ordinances, regulations, policies, and procedures. • Processes and approves building permit applications.
• Assesses fees in accordance with established schedules. • Recommends service levels; performs field observations to ensure compliance with division policies, practices, and City ordinances; prepares reports related to division activities. • Provides technical assistance to contractors, engineers, architects, and the public in regards to construction plans and specifications, projects, code interpretations, inspection requests, City policies and procedures.

Senior Building Inspector Classification
Specification Page 3
• Assists at the permit counter; provides information and assistance regarding construction codes as necessary; issues and writes permits; assists in answering questions; calculates building permits, plan checks, and developer fees.
• Files and logs current projects to track status; transmits plans to other divisions, and outside consultants as appropriate.
• Conducts research and prepares reports regarding selected plans and specifications, permits, inspections, complaints, or disputes.
• Coordinates building inspection activities with other City divisions and outside agencies. • Prepares a variety of reports and correspondence, including notices of violations and followup letters. • Attends various meetings and training seminars; keeps informed of changes and new legislation pertaining to building codes and related regulations. • Performs plan checks to ensure minimum design criteria, energy standards, and that the Disabled Access Requirements are met.
• Checks and approves plans and specifications for the construction, alteration, and repair of residential, commercial, and industrial buildings and structures; ensures that plans meet the requirements of related building codes, regulations, and restrictions; indicates corrections of structural deficiencies where required.
• Prepares comprehensive correction lists, reviews calculations, maintains files, and records of the specifications, calculations, and other pertinent information related to submitted plans. • Checks or assists in checking of building plans and specifications for residential, and nonresidential structures for compliance with applicable Building, Electrical, Plumbing, Occupancy, and Zoning Codes.
• Develops alternative methods to comply with those requirements and restrictions. • Participates in a variety of City committees, study groups and task forces as required. • Establishes positive working relationships with representatives of community organizations, state/local agencies and associations, City management and staff, and the public. • May be exposed to confidential and privileged information during the course of duties, which should be maintained as such.
• Maintains daily log of contacts or inspections for code enforcement cases. • Participates in cross training and provides back up to other staff; assists other office personnel in performing related administrative support functions; serves as a back-up to other finance and/or City functions.
• Establishes positive working relationships with City staff and the general public. • Assumes responsibility for ensuring the duties of the position are performed in a safe and efficient manner.

Senior Building Inspector Classification
Specification Page 4
• Performs other duties as assigned.

QUALIFICATIONS:

Knowledge of: Principles, practices and methods used in various building construction areas, including plumbing, electrical, and mechanical; principles and practices of structural and civil engineering; basic principles of supervision and training; operational characteristics and use of standard equipment used in building inspection and the building trades; building and construction standards and materials; construction materials and testing procedures; principles, practices, and methods used in plan checking and permit issuance; uniform codes and related engineering practices; modern methods of building construction; applicable federal, state, county, and local laws, codes, and regulations, including laws, ordinances, and codes related to construction plans review, building construction, and zoning; investigative principles and practices; public relations techniques and procedures; basic principles of mathematics; techniques of scheduling work assignments; standard office procedures, practices and equipment, including a computer and applicable software; methods and techniques for record keeping and report preparation and writing; proper English, spelling, and grammar; and occupational hazards and standard safety practices.

Ability to: Apply policies, procedures, codes, and regulations pertaining to building inspection; plan and prioritize daily inspections; read, interpret, and explain maps, sketches, plans, drawings, specifications, and technical manuals; maintain I.C.B.O. certification through continuing education programs; keep accurate records; learn more complex principles, practices, techniques, and regulations pertaining to assigned duties; implement, explain, and apply applicable laws, codes and regulations; read, interpret, and record data accurately; perform mathematical calculations quickly and accurately; organize, prioritize, and follow-up on work assignments; work independently and as part of a team; make sound decisions within established guidelines; respond to issues and concerns from contractors, homeowners, and the community; analyze a complex issue, and develop and implement an appropriate response; follow written and oral directions; observe safety principles and work in a safe manner; communicate clearly and concisely, both orally and in writing; and establish and maintain effective working relationships.

Education and Experience: Any combination of education and experience which may provide the required knowledge and abilities and skills is qualifying. A typical way is graduation from high school or equivalent; and the equivalent of three (3) years of experience in one (1) or more of the general building trades, construction or a related field, and two (2) years of experience as a building inspector with a public agency, and one year experience in a lead or supervisory role. Ability to speak Spanish is highly desirable.

Necessary Special Requirements: Possession of a valid Class C motor vehicle operator’s license from the State of California. Possession of an I.C.C. Building Inspection certificate.

OTHER QUALIFICATIONS:

The physical demands described below are representative of those that must be met by an employee to successfully perform the essential functions of the job. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions on a case-by-case basis.

Senior Building Inspector Classification
Specification Page 5
Position requires sitting, standing, walking on level and slippery surfaces, reaching, twisting, turning, kneeling, bending, stooping, squatting, crouching, grasping, and making repetitive hand movement in the performance of daily duties. The position also requires both near and far vision when inspecting work and operating assigned equipment. The need to lift, carry, and push tools, equipment, and supplies weighing 25 pounds or more is also required. Additionally, the incumbent in this outdoor position works in all weather conditions, including wet, hot, and cold. The position entails working in situations that may expose the employee to fumes or airborne particles, electrical shock, or mechanical hazards. The nature of the work also requires the incumbent to climb ladders, drive motorized vehicles, operate in heavy vehicle traffic conditions, and often work with constant interruptions; ability to speak and hear; ability to get from one location to another in the course of doing business.

Some of these requirements may be accommodated for otherwise qualified individuals requiring and requesting such accommodations.

FLSA Status: Non-Exempt Effective Date: July 19, 2022

“Serving The People” "Sirviendo A La Comunidad"
Staff Report
7/19/2022 Page 1 of 1

STAFF REPORT
Date: July 19, 2022
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Brian Byun, BBK Law
Salvador Lopez Jr., Contract Planner
Subject: Resolution of Public Interest and Convenience No. 22-43 Approving the City’s Purchase and Sale Agreement for the Sale of Real Property at 5256 Elizabeth Street and 5260 Elizabeth Street (APN 6224-001-901 and APN 6224- 001-902)
RECOMMENDATION:

Staff recommends that the City Council of the City of Cudahy (the “City”):

1. Adopt the Resolution of Public Interest and Convenience No. 22-43, approving the City’s Purchase and Sale Agreement (“PSA”) to sell the real property located at 5256 Elizabeth Street and 5260 Elizabeth Street, Cudahy, California with the following Los Angeles County Assessor Parcel Numbers: 6224-001-901 and 6224-001-902, in order to allow for the development of a multifamily residential development (“Project”).

BACKGROUND/PROJECT DESCRIPTION:

City has been in negotiations with Camerra Capital, Inc., a California corporation (the “Developer”) regarding the sale and purchase of that certain property commonly known as 5256 and 5260 Elizabeth Street, Cudahy, California with the following Los Angeles County Assessor Parcel Numbers: 6224-001-901 and 6224-001-902 (the “Property”). The Property will be sold by the City by entering into a Purchase and Sale Agreement (“PSA”) with the Developer whereby Developer would develop the property into a multifamily residential development project after purchase.

The Project includes the construction of up to 24 multifamily residential units located on a 40,880 square foot (.94 acre) lot. The zoning of the Property is Medium Density Residential (MDR).

On July 5, 2022, the City Council approved a Resolution No. 22-39, declaring the City’s intent to sell the Property and setting a public hearing to approve the PSA for July 19, 2022.

ATTACHMENTS
A. Resolution No. 22-43
B. Housing Disposition and Development Agreement.

Item Number
15A

55733.00002\40310045.1
RESOLUTION NO. 22-43

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUDAHY,

CALIFORNIA, APPROVING THE EXECUTION OF A PURCHASE AND SALE AGREEMENT WITH CAMERRA CAPITAL, INC., A CALIFORNIA
CORPORATION, FOR THE SALE OF CERTAIN REAL PROPERTY AT 5256 ELIZABETH STREET AND 5260 ELIZABETH STREET
WHEREAS, the City of Cudahy (“City”) currently owns in fee that certain real property generally located at 5256 AND 5260 Elizabeth Street, in the City of Cudahy (APNs: 6224-001- 901 and APN 6224-001-902) and legally described in Exhibit “A” attached to this resolution and incorporated by reference herein (the “Property”); and
WHEREAS, the City intends to sell the Property by executing a Purchase and Sale Agreement (“PSA”) with Camerra Capital, Inc., a California corporation (“Purchaser”); and WHEREAS, California Government Code Section 54220 et seq. (the “Surplus Land Act”) was amended in 2019 by Assembly Bill 1486 (“AB 1486”); and WHEREAS, the Surplus Land Act, as amended by AB 1486, does not apply to this Property because pursuant to section 54234(a)(1) of the Surplus Land Act, the Property was subject to a legally binding agreement between the parties, effective as of a date prior to September 30, 2019; and
WHEREAS, under the pre-amended Surplus Land Act, the Property is not considered “surplus” because it is being used for the development of affordable housing and economic development, which falls under the category of “agency use” in the Surplus Land Act; and WHEREAS, California Government Code Sections 37420 through 37430 authorize the City to dispose of property; and
WHEREAS, on July 5, 2022, the City Council passed and approved Resolution No. 22- 39, which declared the City’s intent to sell the Property and announced a public hearing scheduled for July 19, 2022 in order to hear any protests to the sale.

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

SECTION 1. Incorporation of Recitals. The foregoing recitals are true and correct and are incorporated herein and made an operative part of this Resolution.

SECTION 2. Surplus Land Act Findings. The City Council of the City hereby finds and determines that the Property is not subject to the Surplus Land Act, as amended by AB 1486, because the Property is the subject of a legally binding agreement, entered into by the parties prior to September 30, 2019. Therefore, pursuant to Government Code section 54234(a)(1), the Property is subject to the Surplus Land Act as it existed prior to AB 1486. Under that version of the Surplus Land Act, the Property is not “surplus” because it will be put to an “agency use,” namely, the development of affordable housing and economic development.

SECTION 3. Approval. The City Council hereby approves sale of the Property to the Purchaser for valuable consideration and directs the City Manager to execute the related PSA Attachment A Page 114 of 261
55733.00002\40310045.1
and do or cause his designees to do any other actions necessary to carry out the intent of this resolution. The City Council hereby finds that the sale of the Property to the Purchaser is in the best interest of the City.

SECTION 4. Public Convenience and Necessity Findings. The City Council of the City hereby finds and determines that public convenience and necessity require the sale of the Property. The factors demonstrating that the public convenience and necessity require the sale of the Property include, but are not limited to the following: (i) strengthening the City’s land use and social structure and (ii) alleviating economic and physical blight on the Property.

SECTION 7. Notice of Exemption. The City Council hereby directs staff to prepare, execute and file with the Los Angeles County Clerk a Notice of Exemption within five working days of the approval of the PSA.

SECTION 8. Custodian of Documents. The custodian of documents constituting the record of proceedings for this matter is the City Clerk’s Office. The documents constituting the record of proceedings for this matter are located at City Hall at 5220 Santa Ana Street, Cudahy, CA 90201.

SECTION 9. Severability. If any provision of this Resolution is held invalid, the remainder of this Resolution shall not be affected by such invalidity, and the provisions of this Resolution are severable.

SECTION 10. Effective Date. This Resolution shall become effective immediately upon its adoption.

The City Clerk of the City of Cudahy shall certify as to the adoption of this Resolution.

55733.00002\40310045.1
PASSED, APPROVED, AND ADOPTED this 19th day of July, 2022. _____________________________________

ELIZABETH ALCANTAR, MAYOR
ATTEST:
________________________________

CITY CLERK

STATE OF CALIFORNIA )

COUNTY OF LOS ANGELES )

CITY OF CUDAHY )
I, RICHARD IGLESIAS, City Clerk of the City of CUDAHY, DO HEREBY CERTIFY that the foregoing Resolution No. 22-43 was duly passed and adopted by the City Council of the City of Cudahy at their regular meeting held on July 19, 2022, by the following roll call vote, to wit:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:
____________________________________

RICHARD IGLESIAS, CITY CLERK

55733.00002\40310045.1
EXHIBIT “A”
TO
RESOLUTION NO. 22-43

LEGAL DESCRIPTION OF PROPERTY

PARCEL A
Parcel 1:

The West 52.5 feet of Lot 421 of Tract No. 180, in the City of Cudahy, County of Los Angeles, State of California, as per map recorded in Book 13, Page 198, of Maps, in the Office of the County Recorder of said County.

Parcel 2:

An easement for community driveway purposes over the Westerly 7.5 feet of the East 52.5 feet of Lot 421, of Tract No. 180, as recorded in Book 13, Page 198, of Maps.

PARCEL B
Parcel 1:

Lot 421 of Tract No. 180, in the City of Cudahy, County of Los Angeles, State of California, as per map recorded in Book 13, Page 198, of Maps, in the Office of the County Recorder of said County.

Except therefrom the West 52.5 feet of said land.

Parcel 2:

An easement for ingress and egress and community driveway purposes over the East 7.5 feet of the West 52.5 feet of Lot 421, of Tract No. 180, in the City of Cudahy, County of Los Angeles, State of California, as per map recorded in Book 13, Page 198, of Maps, in the Office of the County Recorder of said County.

Assessor's Parcel Number: 6224-001-901 and 6224-001-902 Commonly known as: 5256 Elizabeth Street and 5260 Elizabeth Street, Cudahy, CA 90201

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Error! Unknown document property name.

HOUSING DISPOSITION

AND DEVELOPMENT AGREEMENT
among

CITY OF CUDAHY
a California municipal corporation
and
CUDAHY 421222723 LLC
a California limited liability company
Attachment B Page 118 of 261
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TABLE OF CONTENTS
Page
i
Error! Unknown document property name.

ARTICLE I. DEFINITIONS; REPRESENTATIONS AND WARRANTIES; EFFECTIVE DATE........................................................................................ 2

1.1 Definitions............................................................................................................... 2

1.2 Representations and Warranties. ........................................................................... 12 ARTICLE II. PROPERTY DISPOSITION ....................................................................... 14

2.1 Purchase and Sale ................................................................................................. 14

2.2 Payment of Purchase Price.................................................................................... 15

2.3 Eminent Domain ................................................................................................... 15

2.4 Title Approval ....................................................................................................... 15

2.5 Developer Investigations. ..................................................................................... 17

2.6 Developer to Obtain all Project Entitlements. ...................................................... 18

2.7 Delivery of Property Free of Occupants ............................................................... 21

2.8 Project Marketing Plan ......................................................................................... 22 ARTICLE III. ESCROW INSTRUCTIONS ....................................................................... 22

3.1 Opening of Escrow ............................................................................................... 22

3.2 Conditions to Close of Escrow ............................................................................. 22

3.3 Developer’s Escrow Deposits. .............................................................................. 24

3.4 City’s Escrow Deposits. ........................................................................................ 25

3.5 Closing Procedure. ................................................................................................ 26

3.6 Close of Escrow .................................................................................................... 26

3.7 Recordation and Distribution of Documents ........................................................ 28

3.8 Escrow Closing Costs, Taxes and Title Policy Premium ..................................... 28

3.9 Escrow Cancellation Charges ............................................................................... 29

3.10 Escrow Cancellation ............................................................................................. 29

3.11 Report to IRS ........................................................................................................ 29 ARTICLE IV. PROJECT DEVELOPMENT...................................................................... 30

4.1 Developer Covenant to Undertake Project ........................................................... 30

4.2 Phasing .................................................................................................................. 30

4.3 Public Benefits ...................................................................................................... 30

4.4 City Approval........................................................................................................ 32

4.5 Developer Changes to Plans and Specifications During Course of Construction .......................................................................................................... 32

4.6 Construction Start and Completion of Project ...................................................... 32

4.7 Compliance with Laws ......................................................................................... 33

4.8 Schedule of Performance ...................................................................................... 33

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TABLE OF CONTENTS
Page
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Error! Unknown document property name.

4.9 Developer Attendance at City Meetings ............................................................... 33

4.10 City’s Right to Inspect Project and Property ........................................................ 33

4.11 Cost of Construction ............................................................................................. 34

4.12 Prevailing Wages. ................................................................................................. 34

4.13 Certificate of Completion. .................................................................................... 35 ARTICLE V. DEVELOPER COVENANTS AND ACKNOWLEDGMENTS .............. 37

5.1 Obligation to Refrain from Discrimination........................................................... 37

5.2 Form of Non-Discrimination and Non-Segregation Clauses ................................ 37

5.3 Environmental Indemnity of the City by the Developer ....................................... 39

5.4 Insurance ............................................................................................................... 40

5.5 Taxing Authority Approval and Surplus Land Act............................................... 44 ARTICLE VI. PROJECT FINANCING .............................................................................. 44

6.1 Project Financing .................................................................................................. 44

6.2 Project Budget ....................................................................................................... 45

6.3 Only Permitted Exceptions ................................................................................... 45

6.4 City Right to Discharge Prohibited Encumbrances .............................................. 45

6.5 Rights of Lender and City Regarding Permitted Security Instruments. ............... 46 ARTICLE VII. DEFAULTS, REMEDIES AND TERMINATION .................................... 48

7.1 Defaults - General. ................................................................................................ 48

7.2 DEVELOPER’S ELECTION RE: SPECIFIC ENFORCEMENT OF

AGREEMENT OR WAIVER OF RIGHT TO SPECIFIC

PERFORMANCE AND LIMITATION ON RECOVERY OF
DAMAGES PRIOR TO CLOSE OF ESCROW .................................................. 49

7.3 Legal Actions. ....................................................................................................... 51

7.4 Rights and Remedies are Cumulative ................................................................... 51

7.5 Developer Indemnification of the City ................................................................. 51 ARTICLE VIII. GENERAL PROVISIONS. .......................................................................... 52

8.1 Incorporation of Recitals....................................................................................... 52

8.2 Restrictions on Transfers. ..................................................................................... 52

8.3 Notices, Demands and Communications Between the Parties. ............................ 53

8.4 Conflict of Interest ................................................................................................ 54

8.5 Warranty Against Payment of Consideration for Agreement ............................... 54

8.6 Non-liability of City, Officials and Employees .................................................... 54

8.7 Unavoidable Delay; Extension of Time of Performance. ..................................... 54

8.8 Inspection of Books and Records ......................................................................... 55

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TABLE OF CONTENTS
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Error! Unknown document property name.

8.9 Real Estate Commissions ...................................................................................... 55

8.10 Binding on Successors and Assigns ...................................................................... 55

8.11 Entire Agreement. ................................................................................................. 56

8.12 Execution of this Agreement ................................................................................ 56

8.13 Survival of Indemnity Obligations ........................................................................ 56

8.14 Time Declared to be of the Essence ...................................................................... 56

8.15 Approvals .............................................................................................................. 56

8.16 Further Assurances................................................................................................ 57

8.17 City Approvals and Actions .................................................................................. 57 Exhibit A Legal Description of Property
Exhibit B Scope of Development
Exhibit C Schedule of Performance
Exhibit D Form of Grant Deed
Exhibit E Form of Notice of Agreement
Exhibit F Form of Official Action of Developer
Exhibit G Form of Certificate of Completion

55733.00002\40024957.8
1 Error! Unknown document property name.

This HOUSING DISPOSITION AND DEVELOPMENT AGREEMENT (“Agreement”) is dated as of [Date] (“Date of Agreement”), for reference purposes only, and is entered into by and among the City of Cudahy, a municipal corporation, duly organized and existing under the Constitution and laws of the State of California (“City”), and Cudahy 421222723 LLC, a California limited liability company (“Developer”). The City and the Developer are sometimes referred to in this Agreement, each individually, as a “Party,” or collectively, as the “Parties.”

RECITALS
This Agreement is entered into with reference to the following recitals of fact (“Recitals”) that City and Developer believe to be true as of the Effective Date of this Agreement:

A. The City is the owner of that certain real property located approximately at 5256 Elizabeth Street and 5260 Elizabeth Street, Cudahy, California, 90201, with the following Los Angeles County Assessor Parcel Numbers: 6224-001-901 and 6224-001-902, and more specifically described in Exhibit A attached hereto and incorporated herein by this reference (“Property” or “Site”).

B. On September 17, 2020, Camerra Capital, Inc., a California corporation and affiliate of and on behalf of the Developer submitted a written proposal to the City to acquire the Property from the City which Developer updated and amended based upon discussions with City and as provided by the terms of this Agreement, (collectively, “Developer Proposal”). The Developer proposed the acquisition and redevelopment of the Property as an up to 24-unit luxury apartment complex (but with a minimum of 19 units). The Project will be consistent with the land use designation for the Site consisting of 0.94 acres under the General Plan, City’s zoning ordinance, and applicable specific plans, as may be amended from time to time but subject to a re-subdivision or adoption of the PUD as needed to create a separate parcel and APN for the site of each unit. The Site is located within an MDR zone, which allows for the construction of up to 25 units per acre on the Site. The Project is more particularly described in the Scope of Development attached hereto as Exhibit B.

C. City and Developer wish to enter into this Agreement to set forth the terms and conditions relating to City’s disposition of the Site to Developer .

D. The Developer’s proposed acquisition of the Property and subsequent construction and completion of the Project (as defined in Section 1.1.53) on the Property pursuant to the terms of this Agreement is in the best interest of the City and the health, safety and welfare of the City’s taxpayers and residents and is in accordance with the public purposes set forth in applicable law.

Implementation of this Agreement will further the City’s goals and objectives for lower income housing.

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2 Error! Unknown document property name.

NOW, THEREFORE, in consideration of the mutual promises set forth in this Agreement and other good and valuable consideration, the receipt and sufficiency of which is acknowledged by City and Developer, the Parties agree as follows:

TERMS AND CONDITIONS
ARTICLE I.

DEFINITIONS; REPRESENTATIONS AND WARRANTIES;

EFFECTIVE DATE

1.1 Definitions. All initially capitalized terms not otherwise defined in this Agreement shall have the following meanings:

1.1.1 “Additional Insureds” has the meaning ascribed to such term in Section 5.4.

1.1.2 “Affiliate” means and refers to any person or entity, directly or indirectly, Controlling or Controlled by or under common Control with the applicable person or entity, whether by direct or indirect ownership of equity interests, by contract or otherwise.

1.1.3 “Agreement” means this Housing Disposition and Development Agreement.

1.1.4 Reserved.

1.1.5 “CEQA” means the California Environmental Quality Act, Public Resources Code Sections 21000, et seq.

1.1.6 “Certificate of Completion” means the written certification of City that the construction of the Project has been completed in compliance with the terms and conditions of this Agreement, substantially in the form of Exhibit G attached to this Agreement.

1.1.7 “City” means the City of Cudahy, California, a public body corporate and politic.

1.1.8 “City Manager” means the City Manager of the City or his or her designee or successor in function.

1.1.9 “Reserved.

1.1.10 “City Requirements” has the meaning ascribed to the term in Section 2.6.1.

1.1.11 “City’s Title Notice Response” means the written response of the City to the Developer’s Title Notice, in which the City either (i) elects to cause the removal from the

55733.00002\40024957.8
3 Error! Unknown document property name.

Preliminary Report of any matters shown in Schedule B of the Preliminary Report as exceptions to coverage under the proposed Title Policy that were objected to in the Developer’s Title Notice, or (ii) elects not to cause the removal from the Preliminary Report of any matters shown in Schedule B of the Preliminary Report as exceptions to coverage under the proposed Title Policy that were objected to in the Developer’s Title Notice.

1.1.12 “Close of Escrow” or “Closing” means the recording of the Grant Deed for the Property in the official records of the Recorder of the County, and completion of each of the actions set forth in the executed escrow instructions executed by the Escrow Holder, the City and the Developer (the “Escrow Instructions”) by the Escrow Holder for the City to sell the Property to the Developer and the Developer to purchase the Property from the City.

1.1.13 “Completion of Construction” means the issuance of a Certificate of Completion confirming that the Temporary Certificate of Occupancy for the Project, based on the plans submitted by the Developer to the City, has been issued.

1.1.14 “Construction Financing” means one or more loans that Developer shall obtain from one or more Institutional Lenders, the proceeds of which are to be used and applied to pay the reasonable costs of obtaining such loans and either: (a) the Project Costs; or (b) to refinance only the outstanding amount owed under a prior loan obtained by Developer to finance the amount described in “(a)” of this Section 1.1.15 (without any other amounts). Such Construction Financing loans shall provide for normal and customary disbursement controls for the payment of Project Costs and normal and customary fees and expenses for loans of similar size and purpose. The Construction Financing is set forth in the Project Budget.

1.1.15 “Construction Financing Documents” means the various documents and instruments made by and between Developer and one or more Institutional Lenders that evidence or perfect the Construction Financing or the security for repayment of the Construction Financing, including any associated Security Instrument.

1.1.16 “Control” means and refers to possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a person or entity, whether by ownership of equity interests, by contract or otherwise.

1.1.17 “Controlling” and “Controlled” mean and refer to exercising or having Control.

1.1.18 “County” means the County of Los Angeles, California.

1.1.19 “Developer” means Cudahy 421222723 LLC, a California limited liability company and its successors and assigns that are permitted by this Agreement.

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4 Error! Unknown document property name.

1.1.20 “Developer’s Title Notice” means a written notice from the Developer to the City indicating the Developer’s objection to specific matters shown in Schedule B of the Preliminary Report as exceptions to coverage under the proposed Title Policy for the Property, describing in suitable detail the actions that the Developer reasonably believes are indicated to cure or correct each of the Developer’s objections.

1.1.21 “Due Diligence Investigations” means the Developer’s due diligence investigations of the Property to determine the suitability of the Property for development and operation of the Project, including, without limitation, investigations of the environmental and geotechnical suitability of the Property, as deemed appropriate in the reasonable discretion of the Developer, all at the sole cost and expense of the Developer.

1.1.22 “Due Diligence Investigation Rejection Notice” means a written notice of the Developer delivered to the City and the Escrow Holder, prior to the end of the Due Diligence Period, indicating the Developer’s rejection of the condition of the Property and refusal to accept a conveyance of fee title to the Property, describing in reasonable detail the actions that the Developer reasonably believes are indicated to allow the Developer to accept the condition of the Property.

1.1.23 “Due Diligence Period” means the date commencing on the Effective Date and ending at 5:00 p.m. on the one hundred eightieth (180th) day following the Effective Date.

1.1.24 “Earnest Money Deposit” means One Hundred Fifty Thousand Dollars ($150,000.00) payable in cash or other immediately available funds, payable in installments of $50,000 upon execution of this Agreement and opening of Escrow, an additional $50,000 on the first day of the fourth month after execution and the balance upon approval by the City of the re-subdivision or PUD required for development of the Project.

1.1.25 “Effective Date” has the meaning ascribed to the term in Section 1.2.3.

1.1.26 “Environmental Claims” has the meaning ascribed to the term in Section 5.3.

1.1.27 “Environmental Laws” means all federal, state, local, or municipal laws, rules, orders, regulations, statutes, ordinances, codes, decrees, or requirements of any government authority regulating, relating to, or imposing liability of standards of conduct concerning any hazardous substance (as later defined), or pertaining to occupational health or industrial hygiene (and only to the extent that the occupational health or industrial hygiene laws, ordinances, or regulations relate to Hazardous Substances on, under, or about the Property), occupational or environmental conditions on, under, or about the Property, as now or may at any later time be in effect, including without limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (“CERCLA”) [42 USC Section 9601 et seq.]; the Resource Conservation

55733.00002\40024957.8
5 Error! Unknown document property name.
and Recovery Act of 1976 (“RCRA”) [42 USC Section 6901 et seq.]; the Clean Water Act, also known as the Federal Water Pollution Control Act (“FWPCA”) [33 USC Section 1251 et seq.]; the Toxic Substances Control Act (“TSCA”) [15 USC Section 2601 et seq.]; the Hazardous Materials Transportation Act (“HMTA”) [49 USC Section 1801 et seq.]; the Insecticide, Fungicide, Rodenticide Act [7 USC Section 6901 et seq.] the Clean Air Act [42 USC Section 7401 et seq.]; the Safe Drinking Water Act [42 USC Section 300f et seq.]; the Solid Waste Disposal Act [42 USC Section 6901 et seq.]; the Surface Mining Control and Reclamation Act [30 USC Section 101 et seq.] the Emergency Planning and Community Right to Know Act [42 USC Section 11001 et seq.]; the Occupational Safety and Health Act [29 USC Section 655 and 657]; the California Underground Storage of Hazardous Substances Act [California Health & Safety Code Section 25288 et seq.]; the California Hazardous Substances Account Act [California Health & Safety Code Section 25300 et seq.]; the California Safe Drinking Water and Toxic Enforcement Act [California Health & Safety Code Section 24249.5 et seq.] the Porter-Cologne Water Quality Act [California Water Code Section 13000 et seq.] together with any amendments of or regulations promulgated under the statutes cited above and any other federal, state, or local law, statute, ordinance, or regulation now in effect or later enacted that pertains to occupational health or industrial hygiene, and only to the extent the occupational health or industrial hygiene laws, ordinances, or regulations relate to Hazardous Substances on, under, or about the Property, or the regulation or protection of the environment, including ambient air, soil, soil vapor, groundwater, surface water, or land use.

1.1.28 “Environmental Matters” has the meaning ascribed to the term in Section 5.3.

1.1.29 “Environmental Site Remediation” means the environmental site remediation work required to remediate certain soil conditions required to construct the building and its foundation and obtain required approval of the California Department of Toxic Substances Control.

1.1.30 “Escrow” has the meaning ascribed to the term in Section 2.1.

1.1.31 “Escrow Closing Date” means, subject to extension due to Unavoidable Delay, either (a) on or before the fifth business day following the Escrow Holder’s receipt of written confirmation from both City and Developer of the satisfaction or waiver of all conditions precedent to the Close of Escrow; or (b) December 1, 2022, whichever occurs first.

1.1.32 “Escrow Holder” means Commonwealth Land Title Company, Attn: Cheryl Greer, 601 S. Figueroa Street, Suite 4000, Los Angeles, CA 90017 or such other escrow holder mutually agreed upon in writing by both City and Developer.

1.1.33 “Escrow Opening Date” has the meaning ascribed to the term in Section 3.1.

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6 Error! Unknown document property name.

1.1.34 “Event of Default” has the meaning ascribed to the term in Section 7.1.

1.1.35 “FIRPTA Affidavit” means an affidavit complying with Section 1445 of the United States Internal Revenue Code.

1.1.36 “Governmental Agency” means any and all courts, boards, agencies, commissions, offices, or authorities of any nature whatsoever for any governmental unit (federal, state, county, district, municipal, city, or otherwise) whether now or later in existence.

1.1.37 “Governmental Requirements” means all codes, statutes, ordinances, laws, permits, orders, and any rules and regulations promulgated thereunder of any Governmental Agency.

1.1.38 “Grant Deed” means a deed in the form of Exhibit D to this Agreement, conveying all of the City’s interest in the Property to the Developer.

1.1.39 “Hazardous Substances” means, without implied limitation, substances defined as “hazardous substances,” “hazardous material,” “toxic substance,” “solid waste,” or “pollutant or contaminate” in the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Sections 9601, et seq.; the TSCA; the Hazardous Materials Transportation Act, 49 U.S.C. Sections 1801, et seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Sections 6901, et seq.; those substances listed in the United States Department of Transportation (DOT) Table [49 CFR 172.101], or by the EPA, or any successor authority, as hazardous substances [40 CFR Part 302]; and those substances defined as “hazardous waste” in Section 25117 of the California Health and Safety Code or, as “hazardous substances” in Section 25316 of the California Health and Safety Code; other substances, materials, and wastes that are, or become, regulated or classified as hazardous or toxic under federal, state, or local laws or regulations and in the regulations adopted pursuant to said laws, and shall also include manure, asbestos, polychlorinated biphenyl, flammable explosives, radioactive material, petroleum products, and substances designated as a hazardous substance pursuant to 33 USC Section 1321 or listed pursuant to 33 USC Section 1317. Notwithstanding the foregoing, “Hazardous Substances” shall not include such products in quantities as are customarily used in the construction, maintenance, development or management of residential developments or associated buildings and grounds, or typically used in residential activities in a manner generally used in other comparable residential developments, or substances commonly ingested by a significant population living within the Project including, without limitation, alcohol, aspirin, tobacco and saccharine.

1.1.40 “Indemnified Parties” has the meaning ascribed to the term in Section 5.3.

1.1.41 “Institutional Lender” means any of the following: (a) a bank (State, Federal or foreign), trust company (in its individual or trust capacity), insurance company, credit

55733.00002\40024957.8
7 Error! Unknown document property name.
union, savings bank (State or Federal), pension, welfare or retirement fund or system, real estate investment trust (or an umbrella partnership or other entity of which a real estate investment trust is the majority owner), Federal or State agency regularly making or guaranteeing mortgage loans, investment bank or a subsidiary of a Fortune 500 company; or (b) any person or entity that is an Affiliate of or is a combination of any one or more of the persons or entities described in “(a)” of this Section.

1.1.42 “Lender” means the holder of any Security Instrument and its successors and assigns.

1.1.43 “Notice of Agreement” means the notice in the form of Exhibit E to this Agreement to be recorded against the Property at the Close of Escrow to provide constructive record notice of the existence and application of this Agreement to the Property.

1.1.44 “Parties” means, collectively, the City and the Developer.

1.1.45 “Party” means, individually, the City or the Developer, as applicable.

1.1.46 “PCO Statement” means a preliminary change of ownership statement provided for in California Revenue and Taxation Code Section 480.3.

1.1.47 “Permanent Loan” means any loan that the Developer shall obtain from an Institutional Lender, the proceeds of which are to be used and applied solely to pay: (1) the reasonable costs of obtaining such loan; (2) the then current outstanding principal and interest under any Construction Financing or any interim financing or bridge loan; and (3) any reasonable and customary fees or charges of the Institutional Lender providing the Financing relating to payoff of the prior Financing. The anticipated Permanent Loans are set forth in the Project Budget.

1.1.48 “Permitted Exceptions” means (i) any and all items shown in Schedule B of the Preliminary Report as exceptions to coverage under the proposed Title Policy that the Developer accepts, pursuant to Section 2.4; (ii) any exceptions from coverage under the proposed Title Policy; (iii) non-delinquent property taxes and assessments; (iv) this Agreement; (v) the Grant Deed; (vi) the Notice of Agreement; (vii) the Deed of Trust; (viii) any Permitted Security Instrument; (ix) any agreement restricting occupancy and rents of the Project required by an Institutional Lender or the Subordinate Loan Lender; (x) any encumbrance recorded against the Property with Developer’s consent or as a result of the activities of Developer; and (xi) any other document or encumbrance expressly required or allowed to be recorded against the Property or the Project under the terms of this Agreement.

1.1.49 “Permitted Security Instrument” means any Security Instrument: (a) that encumbers only the Property or any interest in the Property; (b) that is held by a Lender that is an Institutional Lender, subject to the jurisdiction of the courts of the State, not immune from suit and

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cannot elect to be immune from suit; and (c) only secures: (i) the repayment of money used to pay or reimburse the Project Costs; (ii) a bona fide Permanent Loan; (iii) a delivery assurance fee regarding a Permanent Loan that is refundable to Developer at the close of the Permanent Loan; or (iv) any Refinancing. Promptly after execution, Developer shall promptly delivery a copy of any Security Instrument to the City, with the Lender’s name and notice address.

1.1.50 “Permitted Transfer” means any of the following types of Transfer by Developer, which unless otherwise provided do not require the City’s prior written approval and where, except for a Transfer described in subsections .1, .2, .3, .4, .6, .7 and .9 below, the person or entity to which such Transfer is made expressly and unconditionally assumes in a written assignment and assumption agreement between such person or entity, Developer and City that is in a form reasonably acceptable to City (as evidenced by execution of such assignment and assumption agreement by the City Manager), all obligations of Developer under this Agreement:

1.1.50.1 Any Transfer to Institutional Lender: (1) pursuant to a Permitted Security Instrument as collateral for bona fide Construction Financing to pay all or any part of the Project Costs; or (2) pursuant to a Permitted Security Instrument as collateral for a bona fide Permanent Loan.

1.1.50.2 Any Transfer directly resulting from the foreclosure or deed in lieu of foreclosure of a Permitted Security Instrument for a loan from an Institutional Lender to the Project or as otherwise permitted under Section 6.5.7.

1.1.50.3 Any Transfer of stock or equity in the Party that does not change management or operational Control of the Project, with no material change in beneficial ownership (with the exception of any conveyance to member(s) of the immediate family(ies) of the transferor(s) or trusts for their benefit) and which constitutes a tax-free transaction under Federal income tax law and California real estate transfer tax.

1.1.50.4 Reserved.

1.1.50.5 Any Transfer of this Agreement and the Property to a limited partnership in which the managing general partner is the Developer or its Affiliate.

1.1.50.6 The Transfer and sale of limited partnership interests in Developer while the Developer is in the form of a limited partnership.

1.1.50.7 In the event that any general partner of the Developer, while the Developer is in the form of a limited partnership, is removed by the limited partner of such limited partnership for cause following default under the partnership agreement, the Transfer of the general partner interest selected by the limited partner is approved by the City, which approval shall not be withheld unreasonably, delayed or conditioned.

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1.1.50.8 Any dilution of a general partner’s interest in the Developer while the Developer is in the form of a limited partnership, in accordance with the Developer’s limited partnership agreement.

1.1.51 “Plans and Specifications” has the meaning ascribed to the term in Section

2.6. 1.1.52 “Preliminary Report” means a preliminary report issued by the Title Company in contemplation of the issuance of the Title Policy, accompanied by legible copies of all documents listed in Schedule B of the report as exceptions to coverage under the proposed Title Policy. The Parties acknowledge that they may prepare one (1) or more Preliminary Reports for each parcel, or group of parcels, comprising the Property. In such case, all reports, notices, and objection letters which pertain to the Preliminary Report for the entirety of the Property shall apply separately to each Preliminary Report associated with a parcel or a group of parcels.

1.1.53 “Project” means the construction and redevelopment of the Property as a luxury apartment complex with an affordable housing component reserved for occupancy by verylow-income eligible persons, including all required or associated on-site and off-site improvements, all hardscape and all landscaping, all as specifically described in the Scope of Development, and all to be developed in accordance with the Plans and Specifications to be approved by the City and any conditions imposed by the City in its approval of the Plans and Specifications.

1.1.54 “Project Budget” means the Project Costs and anticipated sources of funds to pay the Project Costs as set forth in the Project proforma to be provided to and approved by the City Manager prior to the end of the Due Diligence Period, as may be modified from time to time pursuant to Section 6.2.

1.1.55 “Project Commencement Date” means no later than the date thirty (30) days after the Close of Escrow.

1.1.56 “Project Completion Date” means that date set forth therefor by which a Certificate of Completion shall be issued for the Project, as more particularly provided in the Schedule of Performance. The Project Completion Date shall be no later than the date which is twenty-four (24) months after the Close of Escrow, subject to Unavoidable Delay.

1.1.57 “Project Costs” means all of the costs of acquisition of the Property and development and construction of the Project.

1.1.58 “Property” means that real property, and all current and future improvements thereon (including, without implied limitation, the Project), legally described in Exhibit A.

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1.1.59 “Property Transfer” means and refers to any “change in ownership,” as defined in Revenue and Taxation Code Sections 60, et seq., of all or any portion of the Property.

1.1.60 “Purchase Price” means the purchase price for the Property in the amount of One Million Six Hundred and Fifty Thousand Dollars and No Cents ($1,650,000.00) minus a credit to cover the Environmental Site Remediation costs of Two Hundred Seventy Five Thousand Dollars and No Cents ($275,000.00) for a net purchase price of One Million Three Hundred Seventy Five Thousand Dollars and No Cents ($1,375,000.00).

1.1.61 “Record”, “recorded”, “recording” or “recordation” each mean and refer to recordation of the referenced document in the official records of the Recorder of the County of Los Angeles, California.

1.1.62 “Refinancing” means any loan secured by a Permitted Security Instrument that the Developer obtains from an Institutional Lender subsequent to recordation of the Construction Loan for any of the following purposes: (1) to pay off all or a portion of an existing loan secured by a Permitted Security Instrument where the Lender providing the new loan will disburse loan proceeds to or on behalf of Developer exceeding the amount of principal and interest under the existing loan being paid plus the amount of any reasonable and customary fees and costs associated with obtaining such new loan that are actually paid by Developer and not rebated or refunded to Developer; or (2) any loan extension, modification or equivalent regarding an existing loan to Developer secured by a Permitted Security Instrument that results in the Lender of the existing loan disbursing additional loan proceeds to or on behalf of Developer in excess of the original principal amount of the loan.

1.1.63 “Schedule of Performance” means the schedule for the performance of certain actions by the Parties pursuant to this Agreement, attached to this Agreement as Exhibit C.

1.1.64 “Scope of Development” means the detailed description of the Project attached to this Agreement as Exhibit B.

1.1.65 “Security Instrument” means any security instrument, deed of trust, security deed, contract for deed, deed to secure debt, or other voluntary real property (including leasehold) security instrument(s) or agreement(s) intended to grant real property (including leasehold) security for any obligation (including a purchase-money or other promissory note) encumbering the Property, as entered into, renewed, modified, consolidated, increased, decreased, amended, extended, restated, assigned (wholly or partially), collaterally assigned, or supplemented from time to time, unless and until paid, satisfied, and discharged of record. If two or more such security instruments are consolidated or restated as a single lien or held by the same Lender (as applicable), then all such security instruments so consolidated or restated shall constitute a single Security Instrument. A participation interest in a security instrument (or partial assignment of the secured loan) does not itself constitute a Security Instrument.

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1.1.66 “Senior” means, referring to multiple Security Instruments, the Security Instrument that is most senior in lien of the same type. Where Senior is used as a comparative term as against any specified Security Instrument, such term refers to any Security Instrument of the same type that is senior in lien to such specified Security Instrument. If only one Security Instrument of a particular type exists, then it shall be deemed the Senior Security Instrument of such type.

1.1.67 “Senior Loan” has the meaning as set forth in Section 2.2.3.

1.1.68 “State” means the State of California.

1.1.69 “Subordinate Loan” means any loan approved through revisions to the Project Budget by the City Manager pursuant to Section 6.2, and which is secured by a Permitted Security Instrument.

1.1.70 “Title Company” means Escrow Holder or such other title company mutually agreed upon in writing by both City and Developer

1.1.71 “Title Policy” means a standard CLTA owners’ policy of title insurance issued by the Title Company, with coverage in the full amount of the Purchase Price and insuring fee title to the Property, subject only to the Permitted Exceptions. However, at Developer’s option, Developer may acquire an ALTA extended coverage policy. City shall pay for the standard CLTA policy. Developer shall pay for any additional or ALTA extended coverage policy.

1.1.72 “Transfer” means any of the following:

1.1.72.1 Any assignment, conveyance, grant, hypothecation, mortgage, pledge, sale, or other transfer, whether direct or indirect, of all or any part of such property, right or obligation, or of any legal, beneficial, or equitable interest or estate in such property, right or obligation or any part of it (including the grant of any easement, lien, or other encumbrance); or

1.1.72.2 Any conversion, exchange, issuance, modification, reallocation, sale, or other transfer of any direct or indirect equity interest(s) in the owner of such property, right or obligation by the holders of such equity interest(s); or

1.1.72.3 Any merger, consolidation, sale, or lease of all or substantially all of the assets of the Developer or a series of such sales, assignments and the like that, in the aggregate, result in a disposition of more than a 49% interest of all or substantially all of the assets of the Developer; or

1.1.72.4 Any Property Transfer; or

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1.1.72.5 The recordation of any deed of trust, mortgage, lien or similar encumbrance against all or any portion of the Property or the Project.

1.1.73 “Unavoidable Delay” means any delay that is caused by the exclusively by the other Party or that is beyond the control of the City or the Developer, including delay caused by strikes, acts of God, weather, inability to obtain labor or materials, inability to obtain governmental permits or approvals, governmental restrictions (including so called “stay at home orders” or similar orders, widespread disease or public health emergencies, civil commotion, fire or similar causes, but excluding circumstances subject to Section 8.7.2.

1.2 Representations and Warranties.City Representations and Warranties. The representations and warranties of City contained in this Section 1.2.1 shall be based upon the actual knowledge of the City Manager as of the Effective Date. All representations and warranties contained in this Section 1.2.1 are true and correct as of the Effective Date. City’s liability for misrepresentation or breach of warranty, representation or covenant, wherever contained in this Agreement, shall survive the execution and delivery of this Agreement and the Closing. City hereby makes the following representations, covenants and warranties and acknowledges that the execution of this Agreement by Developer has been made in material reliance by Developer on such covenants, representations and warranties:

1.2.1.1 City is a public body corporate and politic, duly formed and operating under the laws of the State of California. City has the legal power, right and authority to enter into this Agreement and to execute the instruments and documents referenced herein, and to consummate the transactions contemplated hereby.

1.2.1.2 The persons executing any instruments for or on behalf of City have been authorized to act on behalf of City and this Agreement is valid and enforceable against City in accordance with its terms and each instrument to be executed by City pursuant hereto or in connection therewith will, when executed, shall be valid and enforceable against City in accordance with its terms. No approval, consent, order or authorization of, or designation or declaration of any other person, is required in connection with the valid execution and delivery of and compliance with this Agreement by City.

1.2.1.3 City has taken all requisite action and obtained all requisite consents for agreements or matters to which City is a party in connection with entering into this Agreement and the instruments and documents referenced herein and in connection with the consummation of the transactions contemplated hereby. Notwithstanding the foregoing, Developer acknowledges that the Successor Agency and Developer entered into an ENA on December 21, 2020, in reliance upon Health and Safety Code Section 54234 and the application of the Surplus Land Act (Gov’t Code Section 54220 et. seq.) (“SLA”) as it existed prior to the adoption of Assembly Bill 1484.

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Application of AB 1484 by the California Department of Housing and Community Development would require the City to comply with the SLA prior to selling the property.

1.2.1.4 If the City becomes aware of any act or circumstance that would change or render incorrect, in whole or in part, any representation or warranty made by the City under this Agreement, whether as of the date given or any time thereafter, whether or not such representation or warranty was based upon the City’s knowledge and/or belief as of a certain date, the City will give immediate written notice of such changed fact or circumstance to the Developer.

1.2.2 Developer Representations and Warranties. All representations and warranties contained in this Section 1.2.2 are true and correct as of the Effective Date. The Developer’s liability for misrepresentation or breach of warranty, representation or covenant, wherever contained in this Agreement, shall survive the execution and delivery of this Agreement and the Closing. The Developer hereby makes the following representations, covenants and warranties and acknowledges that the execution of this Agreement by City has been made in material reliance by City on such covenants, representations and warranties:

1.2.2.1 The Developer is a California limited liability, lawfully entitled to do business in the State of California and the City. The Developer has the legal right, power and authority to enter into this Agreement and the instruments and documents referenced herein and to consummate the transactions contemplated hereby. The persons executing this Agreement and the instruments referenced herein on behalf of the Developer hereby represent and warrant that such persons have the power, right and authority to bind the Developer.

1.2.2.2 The Developer has taken all requisite action and obtained all requisite consents in connection with entering into this Agreement and the instruments and documents referenced herein and the consummation of the transactions contemplated hereby, and no consent of any other party is required for the Developer’s authorization to enter into Agreement.

1.2.2.3 Neither the execution of this Agreement nor the consummation of the transactions contemplated hereby shall result in a breach of or constitute a default under any other agreement, document, instrument or other obligation to which the Developer is a party or by which the Developer may be bound, or under law, statute, ordinance, rule, governmental regulation or any writ, injunction, order or decree of any court or governmental body applicable to the Developer or to the Property.

1.2.2.4 This Agreement is, and all agreements, instruments and documents to be executed by the Developer pursuant to this Agreement shall be, duly executed by and shall be valid and legally binding upon the Developer and enforceable in accordance with their respective terms. No approval, consent, order or authorization of, or designation or declaration of any other person, is required in connection with the valid execution and delivery of in compliance with this Agreement by the Developer.

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1.2.2.5 If the Developer becomes aware of any act or circumstance that would change or render incorrect, in whole or in part, any representation or warranty made by the Developer under this Agreement, whether as of the date given or any time thereafter, whether or not such representation or warranty was based upon the Developer’s knowledge and/or belief as of a certain date, the Developer will give immediate written notice of such changed fact or circumstance to the City.

1.2.3 Effective Date. This Agreement is dated ______ for reference purposes only. This Agreement shall not become effective until the date on which all of the following are true (“Effective Date”): (a) this Agreement is approved and executed by the appropriate authorities of Developer and delivered to City; (b) Developer has delivered to City a certified copy of the official action taken by all of the entities comprising the Developer approving this Agreement, substantially in the form attached to this Agreement as Exhibit F; (c) following all legally required notices and hearings, this Agreement is approved by the City Council; and (d) this Agreement is executed by the authorized representatives of City. City shall provide Developer with written notice of the Effective Date, however, failure by the City to provide such notice shall not modify or delay the Effective Date.

1.2.4 Exhibit List. The following is a list of the Exhibits attached to this Agreement. Each of the Exhibits is incorporated by this reference into the text of this Agreement.

Exhibit A Legal Description of Property
Exhibit B Scope of Development
Exhibit C Schedule of Performance
Exhibit D Form of Grant Deed
Exhibit E Form of Notice of Agreement
Exhibit F Form of Official Action of Developer
Exhibit G Form of Certificate of Completion
ARTICLE II.

PROPERTY DISPOSITION

2.1 Purchase and Sale. In exchange for the Purchase Price and the Developer’s other covenants and undertakings set forth in this Agreement, the City shall sell the Property to the Developer and the Developer shall purchase the Property from the City pursuant to the terms and conditions of this Agreement. For the purposes of exchanging funds and documents to complete the sale from the City to the Developer and the purchase by the Developer from the City of the Property pursuant to the terms of this Agreement, the City and the Developer agree to open an escrow (“Escrow”) with the Escrow Holder. Article III of this Agreement constitutes the joint escrow instructions of the Parties to the Escrow Holder for completion of the Escrow for the sale

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of the Property, as contemplated by this Agreement. The Developer and the City shall execute such further escrow instructions, consistent with the provisions of this Agreement, as may be reasonably requested by the Escrow Holder. In the event of any conflict between the provisions of this Agreement and any other escrow instructions requested by the Escrow Holder, the provisions of this Agreement shall control.

2.2 Payment of Purchase Price.

2.2.1 Time of Payment. The Developer shall pay the Purchase Price by depositing the Purchase Price in immediately available funds into the Escrow, at least one (1) business day preceding the Escrow Closing Date.

2.2.2 Earnest Money Deposit. Concurrent with its opening of the Escrow, the Developer shall deposit into Escrow the Ernest Money Deposit. The Escrow Holder shall deposit the Earnest Money Deposit into an interest bearing account. All interest earned on such funds shall be added to the original principal amount of the Earnest Money Deposit and be considered part of the same. The Earnest Money Deposit shall be nonrefundable upon the conclusion of the Due Diligence Period. Upon the Close of Escrow, the Earnest Money Deposit shall be credited to the Developer toward the Purchase Price and paid to the City as part of the Purchase Price. Should Escrow fail to close, the Earnest Money Deposit shall be forfeited by Developer and shall be paid to the City upon the cancelation of Escrow in accordance with Section 3.10.

2.3 Eminent Domain. If any portion of the Property or any interest in any portion of the Property, becomes the subject of any eminent domain proceeding prior to Close of Escrow, other than such a proceeding by the City, including the filing of any notice of intended condemnation or proceedings in the nature of eminent domain commenced by any Governmental Agency, the City shall immediately give the Developer notice of such occurrence, and the Developer shall have the option, exercisable within ten (10) business days after receipt of such notice from the City, to either: (1) cancel the Escrow and terminate this Agreement and the Escrow, in which case the Parties and the Escrow Holder shall proceed in accordance with Section 3.10; or (2) continue with this Agreement in accordance with its terms, in which event the City shall assign to the Developer any right of the City to receive any condemnation award attributable to the Property.

2.4 Title Approval. As soon as practicable following the Effective Date, the City shall obtain from Title Company the Preliminary Report and deliver a copy of the Preliminary Report to the Developer. Within thirty (30) days following the Developer’s receipt of a Preliminary Report for the entire Property, the Developer shall deliver the Developer’s Title Notice to the City. If the Developer fails to deliver the Developer’s Title Notice to the City within thirty (30) days following the Developer’s receipt of the Preliminary Report, the Developer will be deemed to approve the status of title to the Property. Within twenty (20) days following receipt by the City of Developer’s

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Title Notice, if any, the City shall serve City’s Title Notice Response. If the City does not serve City’s Title Notice Response, if necessary, within twenty (20) days following its receipt of Developer’s Title Notice, the City shall be deemed to elect not to remove any matter objected to in Developer’s Title Notice, if any, from the Preliminary Report. If the City elects in City’s Title Notice Response to cause the removal of any matter objected to in Developer’s Title Notice from the Preliminary Report, the City shall cause the removal of each such objectionable matter from the Preliminary Report within sixty (60) days following receipt by the Developer of City’s Title Notice Response or such other period of time that may be agreed to in writing by both the City and the Developer. If the City is unwilling or unable to cause the removal of any matter objected to in Developer’s Title Notice from the Preliminary Report, then, within ten (10) days following the Developer’s receipt of City’s Title Notice Response stating that the City is unwilling to remove or cause the removal of any matter objected to in Developer’s Title Notice or upon the expiration of the above sixty (60) day time period during which the City elected to remove such objectionable matters from the Preliminary Report and was unable to do so, the Developer may either (1) refuse to accept the title to and conveyance of the Property, in which case the Parties shall have the right, subject to Section 2.4.2, to cancel the Escrow and terminate this Agreement without liability to either Party or any other person, by delivery of a written notice of termination to the Escrow Holder, or (2) be deemed to waive its objection to any items set forth in Developer’s Title Notice.

2.4.1 If at any time prior to the Close of Escrow the Title Company issues an updated Preliminary Report containing any previously undisclosed matter affecting title to the Property, or the City becomes aware of any previously undisclosed matter affecting title to the Property, following the delivery of the Developer’s Title Notice, the City shall provide written notice to the Developer of such matter, together with any updated Preliminary Report related to such matter. The City and the Developer shall have such rights and obligations with respect to such previously undisclosed title matters as they did with respect to any title matters set forth in the original Preliminary Report as set forth in Section 2.4.

2.4.2 Before exercising any right a Party may have under this Section 2.4 to cancel the Escrow and terminate this Agreement, such Party shall notify the non-terminating Parties in writing of its election to terminate and shall, upon a non-terminating Party’s request, which must be delivered, if at all, within three (3) days following its receipt of the terminating Party’s notice of election to terminate, meet and confer with the non-terminating Parties for a period of thirty (30) days. During such time, the Parties shall meet as often as reasonably requested by any Party to negotiate, in good faith, methods and means by which the objectionable title matter may be eliminated or mitigated. Nothing herein shall constitute an agreement, representation, or warranty by any Party that an acceptable resolution of the objectionable title matter will be achieved, nor shall any Party be obligated to expend any funds or undertake any other action whatsoever with respect to such title matter unless such agreement is reduced to a writing which is approved by all Parties, in their sole and absolute discretion. If, at the end of such thirty (30) day period, the Parties have not been able to agree on a mutually acceptable method of resolving such

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title matter, or if any proposed agreement is disapproved by the City Council, the Escrow shall be cancelled, this Agreement shall be terminated without liability to any Party, and the Parties shall proceed pursuant to Section 3.10.

2.4.3 The City agrees not to place any matters of record against the Property (other than Permitted Exceptions and any matters arising from City’s issuance or exercise of any remedy related to any approval for the Project), prior to the Close of Escrow, without the prior written consent of Developer.

2.5 Developer Investigations.

2.5.1 The Developer shall have until the expiration of the Due Diligence Period to complete all of its Due Diligence Investigations with respect to the entirety of the Property. The Developer shall complete all of its Due Diligence Investigations within the Due Diligence Period and shall conduct all of its Due Diligence Investigations at its sole cost and expense. The Developer shall rely solely and exclusively upon the results of its Due Diligence Investigations of the Property, including, without limitation, investigations regarding geotechnical soil conditions, compliance with applicable laws pertaining to the use of the Property by the Developer and any other matters relevant to the condition or suitability of the Property for the Project, as the Developer may deem necessary or appropriate. City makes no representation or warranty to the Developer relating to the condition of the Property or suitability of the Property for any intended use or development by the Developer. The Developer shall deliver a Due Diligence Investigation Rejection Notice to the City prior to the end of the Due Diligence Period. If the Developer does not timely deliver its Due Diligence Investigation Rejection Notice prior to the end of the Due Diligence Period, the Developer shall be deemed to have accepted the condition of the Property in its current condition. If the condition of the Property is rejected, then either Party shall have the right, subject to Section 2.4.2, to cancel the Escrow and terminate this Agreement, in its sole discretion, without liability to the other Party or any other person, by delivery of a written notice of termination to the other Party and Escrow Holder. The Developer shall accept all conditions of the Property, without any liability of the City whatsoever, upon the Developer’s deemed acceptance of the condition of the Property by its failure to timely deliver its Due Diligence Investigation Rejection Notice. The Developer’s failure to timely deliver its Due Diligence Investigation Rejection Notice shall evidence the acceptance of the condition of the Property by the Developer in its existing “AS IS,” “WHERE IS” and “SUBJECT TO ALL FAULTS” condition, as of the last day of the Due Diligence Period. In its sole discretion, the Developer may accept the Property in its “AS IS,” “WHERE IS” and “SUBJECT TO ALL FAULTS” condition at any time before the end of the Due Diligence Period. The Developer shall conduct during the Due Diligence Period such environmental assessment(s) of the Property as the Developer deems appropriate. If such assessment(s) do not reveal the presence of any Hazardous Substances on the Property in levels that exceed applicable Governmental Requirements, then the City shall promptly and at its sole cost and expense install security fencing around the Property. If such assessment(s)

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do reveal the presence of any Hazardous Substances on the Property in levels that exceed applicable Governmental Requirements, then the City and the Developer shall negotiate in good faith in an effort to reach agreement as to the allocation of responsibility and cost of remediation thereof.

2.5.2 Any Due Diligence Investigations of the Property by the Developer shall not unreasonably disrupt any then existing use or occupancy of the Property or the operations of the City. The Developer shall be liable for any damage or injury to any person or property arising from the acts of the Developer, its employees, agents or representatives during the course of any Due Diligence Investigations on the Property and the Developer shall indemnify, defend with counsel reasonably acceptable to the City and hold harmless the City and its elected officials, officers, directors, attorneys, contractors, agents and employees from any and all actual or alleged liens, claims, demands or liability arising from any Due Diligence Investigations by the Developer on the Property other than for discovery of existing conditions on the Property. Prior to commencing any Due Diligence Investigations on the Property, the Developer shall deliver copies of policies or certificates of insurance to the City evidencing compliance by the Developer with the liability insurance requirements of Section 5.3.

2.5.3 Before exercising any right a Party may have under this Section 2.5 to cancel the Escrow and terminate this Agreement, such Party shall notify the non-terminating Parties in writing of its election to terminate and shall, upon a non-terminating Party’s request, which must be delivered, if at all, within three (3) days following its receipt of the terminating Party’s notice of election to terminate, meet and confer with the non-terminating Parties for a period of thirty (30) days. During such time, the Parties shall meet as often as reasonably requested by any Party to negotiate, in good faith, methods and means by which the objectionable due diligence matter may be eliminated or mitigated. Nothing herein shall constitute an agreement, representation, or warranty by any Party that an acceptable resolution of the objectionable due diligence matter will be achieved, nor shall any Party be obligated to expend any funds or undertake any other action whatsoever with respect to such due diligence matter unless such obligation is reduced to a writing which is approved by all Parties, in their sole and absolute discretion. If, at the end of such thirty (30) day period, the Parties have not been able to agree on a mutually acceptable method of resolving the objectionable due diligence matter, or if any proposed agreement is disapproved by the City Council, the Escrow shall be cancelled, this Agreement shall be terminated without liability to any Party, and the Parties shall proceed pursuant to Section 3.10.

2.6 Developer to Obtain all Project Entitlements.

2.6.1 Submission of Development Application. Developer shall exercise reasonable efforts to prepare and submit all required Applications, documents, fees, charges or other items (including, without limitation, deposits, funds or sureties in the ordinary course)

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required for the Construction of the Project, pursuant to all applicable Laws and Approvals, to each necessary Government for review and approval. Further, Developer shall obtain all Approvals for the Construction of the Project on the Property from each Government, prior to the Project Commencement Date.

2.6.2 No Waiver of Discretion. Nothing in the approval of this Agreement by the City shall be binding on the City Council, Design Review Committee, or any other commission, committee, board or body of the City regarding any Approvals of the Project required by such bodies regarding Developer’s use or development of the Property. Nothing in this Agreement, nor any action by Developer with reference to this Agreement or any related documents shall be deemed to constitute issuance or waiver of any required City Approval or City Approval regarding the Property, the Project or Developer, or waiver or exercise of any legislative discretion of the City regarding any Application, Approval or other matter relating to Developer’s intended use or development of the Property. The Parties acknowledge and agree that this Agreement is not a statutory development agreement pursuant to Government Code Sections 65864, et seq.

2.6.3 No Commitment to Development. The Parties agree that nothing in this Agreement is intended to commit the Developer to completing a particular project or to commit the City to granting any Approval. The City’s approval of this Agreement does not constitute approval by the City of any development of the Property or of other activity on the Property that would have a direct or reasonably foreseeable indirect environmental impact pursuant to CEQA. (See 14 C.C.R. §§ 15060(c); 15378(b).) Moreover, Developer’s future use or development of the Property is expressly conditioned on CEQA compliance. City shall conduct environmental review in accordance with CEQA prior to taking any discretionary action with regard to any proposed development of the Property. Nothing in this Agreement shall be construed to limit the City’s discretion to consider and adopt any mitigation measure or project alternative, including the alternative of rejecting any proposed development of the Property, as provided in Public Resources Code section 21002. Following completion of the City’s environmental review of any proposed development of the Property, the City shall file a notice of such approval as provided in Public Resources Code section 21152. Developer’s purchase of the Property will serve the current needs of the City.

2.6.4 Future Proposals Subject to Review. Developer and the City shall work together to conduct environmental review in accordance with CEQA before City takes action on any plan or entitlement or before the Parties’ Close of Escrow under this Agreement. The Parties agree and acknowledge that any proposed development of the Property might change as a result of various environmental factors. On or before the Close of Escrow, the scope and location of proposed development and the design of the anticipated improvements might change to account for needs of Developer, including changes required by the CEQA process. Notwithstanding the foregoing, the City retains the absolute sole discretion to (i) modify each transaction, create and enter into transactional documents, and modify each component of the Project as may, in its sole

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discretion, be necessary to comply with CEQA, (ii) select other feasible alternatives to avoid significant environmental impacts, (iii) balance the benefits of each component against any significant environmental impacts prior to taking final action if such significant impacts cannot otherwise be avoided, and/or (iv) determine not to proceed with the Project in its entirety. No legal obligations will exist unless and until the Parties have negotiated, executed and delivered mutually acceptable agreements based upon information produced from the CEQA environmental review process and on other public review and hearing processes, subject to all applicable Government Approvals.

2.6.5 The City’s zoning, building and land use regulations (whether contained in ordinances, the City’s municipal code, conditions of approval, policies, practice or elsewhere) (collectively, the “City Requirements”), shall be applicable to the use and development of the Project on the Property by the Developer. The Developer acknowledges that all Plans and Specifications and any changes to the Plans and Specifications shall be subject to the City Requirements. No action by the City with reference to this Agreement or any related documents shall be deemed to constitute a waiver of any City Requirements regarding the Property, the Project, the Developer, any successor-in-interest of the Developer or any successor-in-interest to the Property. The City Requirements may only be changed or waived by modification or variance approved by the City and consistent with this Agreement. No entitlement, permit or other approval from the City for development of the Project on the Property shall attach to any portion of the Property or otherwise become effective to allow the Developer to develop the Project on the Property until after the Developer owns fee title to that portion of the Property to which such entitlement, permit or other approval pertains. Under no circumstances shall the Developer commence development of any portion of the Project on the Property prior to the Developer owning fee title to the Property.

2.6.6 The approval of the Scope of Development shall not be binding on the City Council or the Planning Commission of the City regarding any approvals of the Project required by such bodies. The Developer obtains no right to develop the Project on the Property or any portion of the Property by virtue of this Agreement, except that following the Close of Escrow, the Developer shall possess the same rights as any other owner of property within the Property that desires to develop its property in a manner consistent with the City’s General Plan. If any revisions of the Scope of Development are required by a Governmental Agency (other than the City) having jurisdiction over the Property or the Project, the Developer shall promptly make any such revisions that are generally consistent with the Scope of Development.

2.6.7 Notwithstanding any provision to the contrary in this Agreement, following the Close of Escrow, the Developer agrees to accept and comply fully with any and all conditions of approval applicable to all approvals, permits and other governmental actions regarding the development or operation of the Project on the Property, so long as such conditions of approval are consistent with the Scope of Development and this Agreement in all material respects.

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2.6.8 Developer to Pay All Costs and Expenses. The Parties agree that the City shall not provide any financial assistance to the Developer in connection with the Project except as may be expressly set forth in this Agreement.

2.6.8.1 The Developer shall be solely responsible for paying for the costs of all design work, construction, labor, materials, fees and permit expenses associated with the Project.

2.6.8.2 The Developer shall pay any and all fees pertaining to the review and approval of the Project by the City, any other Governmental Agency and utility service providers, including the costs of preparation of all required construction, planning and other documents reasonably required by a Governmental Agency pertinent to the development or operation of the Project on the Property, including, but not limited to, specifications, drawings, plans, maps, permit applications, land use applications, zoning applications, environmental review and disclosure documents and design review documents.

2.6.8.3 The Developer shall pay for any and all costs, including, but not limited to, the costs of design, construction, relocation and securing of permits for sewer or utility improvements and connections, that may be required in development of the Project, whether located on or off of the Property.

2.6.8.4 The Developer shall obtain any and all necessary approvals, prior to the commencement of applicable portions of construction, and the Developer shall take reasonable precautions to ensure the safety and stability of surrounding properties during said construction.

2.6.8.5 In accordance with this Section 2.6.8, Developer is responsible for all of its costs associated with development of the Project. Developer must pay all application and process fees, charges and costs, make all deposits and provide all bonds or other security associated with the submission to and processing by the City of any and all applications and other documents and information to be submitted to the City by the Developer under to this Agreement or otherwise associated with the Project. Unless otherwise expressly agreed by the Parties, each Party shall be responsible for its own costs associated with the project.

2.6.9 The Developer shall obtain all entitlements, permits and other approvals for use and development of the Project on the Property from each Governmental Agency, within the time period for such actions specifically set forth in the Schedule of Performance, subject to any extensions of time authorized by this Agreement upon the occurrence of an Unavoidable Delay.

2.7 Delivery of Property Free of Occupants. At the Close of Escrow, the City will deliver possession of the Property to Developer free and clear of any contractual rights created by or with the consent of the City for any person or entity (other than Developer) to use or occupy the Property.

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2.8 Project Marketing Plan. At least 90 calendar days prior to the Completion of Construction, Developer shall submit to the City an affirmative fair housing marketing plan for the Project. Within ten (10) calendar days after the City receives such marketing plan submitted by Developer, the City shall approve or disapprove such marketing plan. The City’s failure to approve such marketing plan within the specified ten (10) calendar day period, shall constitute City’s deemed approval of such marketing plan.

ARTICLE III.

ESCROW INSTRUCTIONS

3.1 Opening of Escrow. For purposes of this Agreement, the opening of Escrow shall be the first date on which a fully executed copy of this Agreement and the Earnest Money Deposit are deposited with Escrow Holder (“Escrow Opening Date”). The Developer shall cause the Escrow to be opened within five (5) days following the Effective Date. Escrow Holder shall promptly confirm in writing to each of the Parties the date of the Escrow Opening Date. This ARTICLE III shall constitute the joint escrow instructions of the City and the Developer to Escrow Holder for conduct of the Escrow to complete the purchase and sale of the Property between them, as contemplated in this Agreement.

3.2 Conditions to Close of Escrow. The conditions set forth below shall be satisfied or waived in writing by the respective benefited Party on or before the Escrow Closing Date or the Party benefited by any unsatisfied condition shall not be required to proceed to close Escrow.

3.2.1 Developer’s Conditions to Close of Escrow. The Developer’s obligation to purchase the Property from the City on the Escrow Closing Date shall be subject to the satisfaction of the following conditions precedent, each of which can only be waived in writing by the Developer:

3.2.1.1 The Developer agrees, or is deemed, to accept the title to and conveyance of the Property, pursuant to Section 2.4;

3.2.1.2 The Developer fails to deliver a Due Diligence Investigation Rejection Notice to the City prior to the expiration of the Due Diligence Period;

3.2.1.3 The City’s planning commission finds, pursuant to Government Code Section 65402, that the Project is consistent with the City’s General Plan;

3.2.1.4 Developer has received the commitments for funding to make the construction and operation of the Project financially feasible in the Developer’s discretion;

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3.2.1.5 The Title Company is unconditionally committed to issue the Title Policy for the Property, subject to any Permitted Exceptions, to the Developer;

3.2.1.6 Developer approves the Escrow Holder’s estimated Escrow closing/settlement statement;

3.2.1.7 The representations, warranties and covenants of the City set forth in Section 1.2.1 are true and correct in all material respects on the Effective Date and on the Escrow Closing Date;

3.2.1.8 The Developer has obtained all discretionary entitlements required in connection with the development of the Property, subject to conditions of approval acceptable to Developer in Developer’s sole discretion, any applicable appeal period has expired without appeal having been filed or, if an appeal is filed, such appeal has been denied, and no legal action has been instituted against Developer or the City alleging the invalidity of such entitlements;

3.2.1.9 The City has completed all of its material obligations required by this Agreement to be completed prior to the Close of Escrow; and

3.2.1.10 The City deposits the items into the Escrow required by Section 3.3.

3.2.2 City’s Conditions to Close of Escrow. The City’s obligation to sell the Property to the Developer on or before the Escrow Closing Date shall be subject to the satisfaction of the following conditions precedent, which can only be waived in writing by the City:

3.2.2.1 The Developer agrees, or is deemed, to accept the title to and conveyance of the Property, pursuant to Section 2.4;

3.2.2.2 The Developer fails to deliver a Due Diligence Investigation Rejection Notice to the City prior to the expiration of the Due Diligence Period;

3.2.2.3 The City’s planning commission finds, pursuant to Government Code Section 65402, that the Project is consistent with the City’s General Plan;

3.2.2.4 The Title Company is unconditionally committed to issue the Title Policy for the Property, subject to any Permitted Exceptions, to the Developer;

3.2.2.5 The Developer submits to the City evidence satisfactory to the City, in the City’s reasonable discretion, that the Developer has obtained all discretionary entitlements necessary for the development of the Property with the Project;

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3.2.2.6 The Developer has completed all of its material obligations required by this Agreement to be completed prior to the Close of Escrow;

3.2.2.7 The Developer submits to the City the Developer’s organizational documents;

3.2.2.8 The Developer submits to the City the marketing plan for the Project pursuant to Section 2.8;

3.2.2.9 The Developer submits to the City a copy of the construction contract for the Project in substantially final form (with a copy of the final construction contract being delivered to the City by Close of Escrow);

3.2.2.10 The Developer submits to the City copies of the Construction Financing Documents in substantially final form (with copies of the final Construction Financing Documents being delivered to the City through Close of Escrow);

3.2.2.11 [Reserved]

3.2.2.12 The Developer submits to the City documents evidencing a commitment from the Lender(s) of all Subordinate Loan(s) to Developer to provide the Subordinate Loan(s);

3.2.2.13 The representations, warranties and covenants of the Developer set forth in Section 1.2.2 are true and correct in all material respects on the Effective Date and on the Escrow Closing Date;

3.2.2.14 The Developer submits to the City an executed Project Labor Agreement with the Los Angeles County Trade Counsel pursuant to Section 4.3.2.1;

3.2.2.15 The City has entered into a Compensation Agreement the affected taxing entities pursuant to Health and Safety Code Section 34180; and

3.2.2.16 The Developer deposits the items into the Escrow required by Section 3.3.

3.3 Developer’s Escrow Deposits. Following satisfaction or waiver of each of the Developer’s conditions to Close of Escrow set forth in Section 3.2.1, the Developer shall deposit the following funds and documents into Escrow at least one (1) business days prior to the Escrow Closing Date in a writing delivered to the Parties:

3.3.1 Purchase Price. The Developer has deposited the Purchase Price less the Earnest Money Deposit into Escrow.

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3.3.2 PCO Statement. A PCO Statement executed by the authorized representative(s) of the Developer.

3.3.3 Acceptance of Grant Deed. The Certificate of Acceptance of the Grant Deed, in the form attached to the Grant Deed, executed by the authorized representative(s) of the Developer in recordable form.

3.3.4 Notice of Agreement. The Notice of Agreement executed by the authorized representative(s) of the Developer in recordable form, to be recorded against the Property at the Close of Escrow.

3.3.5 Construction Financing Security Instrument(s). A Permitted Security Instrument(s) securing repayment of the Construction Financing, executed by the authorized representative(s) of Developer in recordable form, to be recorded against the Property at the Close of Escrow.

3.3.6 Subordinate Loan(s) Security Instrument(s). Permitted Security Instrument(s) securing repayment of the Subordinate Loan(s) executed by the authorized representative(s) of Developer in recordable form, to be recorded against the Property at the Close of Escrow.

3.3.7 Reserved.

3.3.8 Reserved.

3.3.9 Other Funds and Documents. Such documents required from Developer under the terms of this Agreement to close the Escrow and funds as required to pay all Escrow closing costs, which shall be the sole responsibility of Developer, or by the Escrow Holder in the performance of the Escrow Holder’s contractual or statutory obligations relating to the Escrow.

3.4 City’s Escrow Deposits. Following satisfaction or waiver of each of the City’s conditions to Close of Escrow set forth in Section 3.2.2, the City shall deposit the following documents into Escrow at least one (1) business days prior to the Escrow Closing Date:

3.4.1 Grant Deed. The Grant Deed executed by the authorized representative(s) of the City in recordable form.

3.4.2 FIRPTA Affidavit (City). The FIRPTA Affidavit completed and executed by the authorized representative(s) of the City.

3.4.3 Notice of Agreement. The Notice of Agreement executed by the authorized representative(s) of the City in recordable form.

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3.4.4 Reserved

3.5 Closing Procedure. When each of the Developer’s Escrow required deposits, as set forth in Section 3.3, and each of the City’s Escrow required deposits, as set forth in Section

3.4, are deposited into Escrow, Escrow Holder shall request confirmation in writing from both the City and the Developer that each of their respective conditions to the Close of Escrow, as set forth in Section 3.2, are satisfied or waived. Upon Escrow Holder’s receipt of written confirmation from both the City and the Developer that each of their respective conditions to the Close of Escrow are either satisfied or waived, Escrow Holder shall close the Escrow for the Property by doing all of the following:

3.5.1 Recordation of Documents. File the documents set forth in Section 3.7 with the Office of the Recorder of the County, for recordation in the order set forth in Section 3.7.

3.5.2 Distribution of Recorded Documents. Distribute each recorded document to the Party or person designated for such distribution in Section 3.7.

3.5.3 PCO Statement. File the PCO Statement with the Office of the Recorder of the County.

3.5.4 FIRPTA Affidavit. File the FIRPTA Affidavit with the United States Internal Revenue Service.

3.5.5 Title Policy. Obtain and deliver the Title Policy to the Developer.

3.5.6 Funds. Deliver the sum of One Million Three Hundred and Seventy Five Thousand Dollars and No Cents ($1,375,000.00), held by the Escrow Holder for the account of City to City, less any charges to the account of City under the terms of this Agreement, and deliver any funds for the account of Developer to Developer, less any other charges to the account of Developer under the terms of this Agreement.

3.6 Close of Escrow. The Close of Escrow shall occur on or before the Escrow Closing Date. The City and the Developer may mutually agree to change the Escrow Closing Date by joint written instruction to the Escrow Holder. The City Manager is authorized to agree to one or more extensions of the Escrow Closing Date on behalf of the City up to a maximum time period extension of twelve (12) months in the aggregate, in the City Manager’s sole and absolute discretion. If for any reason the Close of Escrow has not occurred by the Escrow Closing Date, then any Party not then in default of this Agreement may cancel the Escrow and terminate this Agreement, subject to the notice and cure provisions of Section 7.1 (to the extent applicable), without liability to any other Party or any other person for such termination and cancellation, by delivering written notice of termination to the other Party(ies) and Escrow Holder and, thereafter, the Parties shall proceed pursuant to Section 3.10 if the non-terminating Party is not in default or