Agenda — Cudahy City Council, August 20, 2024 (part 2 of 2)

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Figure 4 – Non-Conforming Floor Plan
Figure 5 - Non-Conforming Site Plan
• Plumbing Permit (Installation of new toilet, sinks, vents, drains and rough plumbing) issued by the City’s Building & Safety Division on February 9, 2022 (Attachment F, p. 174).
• Building Permit No. 8548 (Installation of metal panels on the exterior of the facility) issued by the City’s Building & Safety Division on May 4, 2022 (Attachment F, p. 172). • Building Permit No. 8451 (Demolition of interior partition walls) issued by the City’s Building & Safety Division on November 4, 2022 (Attachment F, p. 173).

14. As of January 31, 2023, Operator had accumulated a total outstanding balance of $421,098.98 for “substantial past due fees and costs owed to the City despite prior notice and opportunity to cure” (Attachment F, p. 219).

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On February 1, 2023, the City presented the Operator with a Letter Agreement agreeing to the Deferment and Payment Program to forbear the outstanding payments due (“Letter Agreement”) pursuant to the terms of the Deferment and Payment Program described above (Attachment F, pp. 219-226). The Letter Agreement stated that the Operator had an outstanding balance of $421,098.98 in past due fees. By signing the Letter Agreement, the Operator also acknowledged and agreed “that the past due amounts stated are true and correct and are in fact presently due and owing. The parties agree that the Operator is in ‘default status’ on its obligations under the Development Agreement with the City… [and would] remain in ‘default status’ on its Development Agreement until all past due fees set forth in [the] Letter Agreement have been paid and Operator is in full compliance with all terms of its Development Agreement” (Attachment F, pp. 221-222). Pursuant to the terms of the Letter Agreement, the Operator agreed to maintain current payments for Community Benefit Fees and Cost Recovery Fees as they become due under the Development Agreement, effective March 1, 2023, and to commence a 12-month payment schedule for past-due Community Benefit Fees and Cost Recovery Fees beginning April 1, 2023. As stated above, all past due and accruing Non-Operating Fees were deferred until six months after the Operator was first issued a Temporary Certificate of Occupancy.

15. The Operator accepted the proposed terms and executed the Letter Agreement on February 2, 2023.

16. Between April and June 2023, the City provided the Operator with three Notices of Delinquency (Attachment F, pp. 228-242) under the Letter Agreement and provided an opportunity for the Operator to cure outstanding payments due. However, the default on the Letter Agreement was not timely cured and therefore was terminated and no longer in full force and effect as of June 16, 2023. Accordingly, the total of all past due amounts at the time the Letter Agreement was terminated and an amount of $470,049.49 was due and owing (Attachment F - pp. 244-246).

17. On June 23, 2023, the City sent a Final Demand Letter (Attachment E) demanding the Operator to respond to the following demands: 1) Proof of revival of the LLC’s entity status with the State; 2) Forwarding payment for all past due amounts; and 3) Contact the City to revise the CCP’s Schedule of Performance and for further information to become compliant with the DA and CCP. The Final Demand Letter provided 30 days for the Operator to comply, so that no further action would be necessary. The Operator did not respond in a timely manner and has failed to make any attempt to cure the defaults.

18. On August 9, 2023, the City issued an Escrow Account Letter (Attachment F, pp. 248-249) requiring all cannabis operators to open an escrow account by September 15, 2023, to ensure payment of Cost Recovery Fees. As of the writing of this report, the Operator has not opened an escrow account nor made any payments into the account.

19. Under Article 5(d) of the DA, the City Manager, his/her designee(s), and Sheriff’s Department designee have the right to enter the Subject Site from time to time

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unannounced for the purpose of making reasonable inspections to observe and enforce compliance with the Development Agreement and state and local laws and regulations without the requirement of a search warrant, subpoena, or court order. Condition of Approval No. 16 also permits the City Building Official, City Cannabis Enforcement staff, and Planning Department staff the authority to conduct periodic site inspections to ensure compliance with CCP conditions (Attachment F, p. 73).

On October 10, 2023, the City staff from the Building and Safety Division conducted an inspection of the Site and posted a stop work notice due to unpermitted construction (Attachment F, pp. 251-252). During the inspection the following Building and Fire Code violations were observed: (1) installation of a double door and roll up door; and (2) installation of fire sprinkler lines. All violations observed were constructed without obtaining the proper permits and/or inspections. The Operator has failed to take necessary actions to correct the stop work notice. To correct the actions, the Operator is required to obtain requisite approvals and permits from the City Planning Division, Building & Safety Division, and the County Fire Department. As of the writing of this report, the Operator has not obtained requisite approvals and permits from the City Planning Division, Building & Safety Division, or the County Fire Department.

20. On October 24, 2023, the City issued a letter (Attachment F, pp. 254-255) updating the Operator on their payment and fees related to the DA by correcting the amount due to an error in the total amount billed. The City provided the Operator a credit in the amount of $14,950.50, which was applied to the Operator’s outstanding balance of $495,487.88 outstanding as of October 1, 2023.

21. On November 27, 2023, the City issued to the Operator a Notice of Review Hearing (Attachment F, pp. 257-258) with the hearing date, time, and place. The notice informed the Operator that the Review Hearing was being held pursuant to Article 19 of DA No. 18- 014C, requested the Operator to timely submit evidence of compliance and to submit payment for an estimated cost3 of the Review Hearing (Attachment F, pp. 257-258). The City did not receive any response, reply, documents evidencing compliance, or payment for the cost of the Review Hearing.

22. As of December 23, 2023, the website for the Department of Cannabis Control reflected no record of a cannabis license issued to Starcraft, LLC (Attachment K). As of the writing of this report, there continues to be no record of any cannabis license issued to the Operator (Attachment N).

23. On December 29, 2023, the City sent a follow-up to the Notice of Review (“Follow Up Notice”) to the Operator confirming that it had not received any communication from the Operator confirming attendance at the Review Hearing and that the ability to present before the hearing officer had been waived (Attachment H). The City did not receive any 3 Pursuant to Article 19(a) of the DA, Operators must submit an annual review and administration fee deposit based on the City’s estimated cost, upon the City’s reasonable notice in advance of the review. The City provided approximately 39 days’ notice of the estimated cost.

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response from the Operator.

24. On January 8, 2024, the duly appointed third-party Hearing Officer, Steve Napolitano, conducted a Review Hearing as authorized under CMC Section 5.20.080(7) and Section 19 of the DA No. 18-014C to hear and consider information and evidence submitted by City staff through an Administrative Record (Attachment F) and the Operator. No representation from the Operator was present at the hearing nor did the Operator submit any information or evidence for consideration.

25. On February 15, 2024, the Hearing Officer issued a written decision and order (the “Decision”) (Attachment G) finding evidence showing the Operator, despite considerable notice and opportunities to cure outstanding issues, has breached the terms and conditions of the DA and CCP and recommends the Planning Commission and City Council repeal Ordinance No. 701 terminating DA No. 18-014C and revoke the related interest in CCP No. 18-0014.

26. On May 14, 2024, pursuant to State law and the CMC, the Planning Commission held a duly noticed public hearing to consider the Hearing Officer’s recommendation to repeal Ordinance No. 701 and terminate DA No. 18-014C. The Planning Commission considered all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents. No representation from the Operator was present at the hearing. After closing public hearing, the Planning Commission adopted Resolution No. 2024-15 (Attachment M), recommending the City Council repeal Ordinance No. 701 and terminate related DA No. 18-014C.

27. On July 16, 2024, pursuant to State law and the CMC, the City Council held a duly noticed public hearing to consider the recommendation by the Planning Commission to repeal Ordinance No. 701 and terminate DA No. 18-017C. After consideration of all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents. No representation from the Operator was present at the hearing. After closing public hearing, the City Council voted X-X to introduce and adopt by first reading Ordinance No. 754.

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Development Agreement, the Operator may request the City to issue a Certificate of Compliance pursuant to Article 19(e). Any decision to terminate a development agreement must be reviewed by the Planning Commission prior to review by the City Council. Gov. Code § 65867. Under Article 19(d), the decision to terminate a development agreement by the City Council is final and only subject to appeal pursuant to Civil Code Section 1094.5.

As it relates to the CCP, pursuant to CMC Sections 5.20.080(6) and 5.20.080(7), any material violations of Chapter 5.20, any other relevant city law or state law, condition of approval, or any other required agreement or covenant, such as a development agreement, by a cannabis permittee, or cannabis permittee’s agent, is ground for suspending or revoking the relevant cannabis permit. The decision to suspend or revoke a cannabis permit is with the City Manager or his designee. Furthermore, pursuant to CMC Section 5.20.080, any decision regarding the suspension or revocation may be appealed to the City Council.

The City has appointed a Hearing Officer to conduct a review of the Operator’s compliance with CCP No. 18-0014 and DA No. 18-014C. The findings and determinations made by the Hearing Officer inform any subsequent action to terminate or modify the Development Agreement and suspension or revocation of the CCP. As stated above, and further described in Attachment G, the Hearing Officer issued a written decision making several findings of fact and conclusions and determined that Starcraft, LLC breached the terms and conditions pursuant to DA No. 18-014C and CCP No. 18-0014, based on a preponderance of the evidence, in the following material aspects:

1. Violation #1: Breach of Payment Obligations. Pursuant to the terms of the DA, the Operator is responsible for timely payment of Community Benefit Fees (Article 5(b)); Cost Recovery Fees (Article 8); and Operating Fees (Article 7(c)). The Operator’s obligation to make timely payments of the Community Benefit Fees, Cost Recovery Fees and Operating Feeds under the DA is also restated in CCP Condition of Approval No. 45; and timely payment for Operating fees pursuant to Condition of Approval No. 8 for cultivation activities (Attachment F, pp. 67-75). Pursuant to the terms of the DA, Operators that are more than 30 days past due with Operating Fees are subject to a penalty equal to twentyfive percent (25%). In addition, a ten percent (10%) penalty shall be added to the first day of each calendar month following the imposition of the initial 25% penalty, if the fee remains unpaid in whole or in part, up to a maximum of the one hundred percent (100%) of the payable fee.

The Operator’s duty to comply with the CCP conditions of approval are incorporated into DA No. 18-014C under Section 18.4 Conditions 1(a) and 1(b) require the Operator to pay all City-issued invoices within 30 days of receipt. The City has regularly sent monthly invoices for Community Benefit Fees, Cost Recovery Fees, Non-Operating Fees, and applicable late penalties since 2019 (Attachment F, pp. 263-373).

The City executed a Letter Agreement to grant the Operator relief in the form of deferred 4 Section 18 of DA No. 18-014C states “Owner shall comply with all conditions of approval of the Regulatory Permit approved by City Council.” The Regulatory Permit is CCP No. 18-0014.

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payment obligations of the Operating Fees and a payment schedule for past-due Community Benefit Fees and Cost Recovery Fees; and an obligation to remain current on recurring fees under the DA. The Operator did not make a single timely payment in the three months that followed the execution of the Letter Agreement between March to May 2023. As of December 2023, the City reported that the Operator is past due in the amount of $503,912.82 and past-due payments continue to accumulate, including late payment penalties. The Operator continues to fail to make payments and as of June 13, 2024, $570,700.50 is due and owing.

Table 1. Summary of Past and Current Amounts Due as of June 13, 2024 Fee Type Payment Amount Due
Community Benefit Program $365,335.16
Cost Recovery Fees $101,453.31
Non-Operating Fees $78,448.44
Penalties (Late Payments) $25,463.59
TOTAL $570,700.50
Based on the evidence submitted by the City, the Hearing Officer found that “based on the unrefuted evidence presented by the City...a preponderance of the evidence shows that [Operator] breached multiple conditions of the DA and CCP. Despite multiple attempts and notices by the City to gain compliance, the evidence shows that [Operator] failed to comply with their payment obligations, which constitutes the necessary grounds for termination of the DA and revocation of the CCP under the CMC” (Attachment G). The CCP conditions of approval are incorporated into the DA through Section 18. The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-15 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-014C and repeal Ordinance No. 701 and terminate the related DA.

2. Violation #2: Failure to Implement the Project Under Prescribed Time Limits under CCP No. 18-0014. The Operator’s duty to comply with the CCP’s conditions of approval are incorporated into DA No. 18-014C under Section 18. CCP Condition of Approval No. 20(A)(i) sets a 90-day time frame in which the Operator needed to obtain a Zoning Clearance. Condition of Approval No. 20(A)(ii) sets a 90-day time frame in which the Operator must complete construction of Phase I of the Project. CCP Condition of Approval 20(A)(iii) sets a 180-day time limitation from the effective date of the CCP to complete all tenant improvements, construction, and obtain a certificate of occupancy from the Building & Safety Division. Failure to obtain a Zoning Clearance within 90 days of the effective date of the CCP, renders the CCP to “expire and become null and void” (Attachment F, p. 74). The City Manager’s ability to grant an extension of time for a Zoning Clearance if the Operator has made diligent efforts to implement the project is stated in Conditions of Approval 20(A)(i), (ii), and (iii). The Operator was notified of the failure to implement the project within the prescribed timelines and provided an opportunity to

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cure pursuant to the City’s Final Demand Letter (Attachment E).

The Operator has failed to provide any evidence that it has obtained a Zoning Clearance, completed construction of Phase I, or completed the tenant improvements, obtained a certificate of occupancy, or otherwise demonstrated substantial progress to complete Phase II within the prescribed time periods. Nor does the City have any record of any request by the Operator for an extension of time to the City Manager and there is no evidence to demonstrate the Operator has made substantial progress, such as submitting an application for a Zoning Clearance or building permit plan check. Based on the evidence submitted by the City, the Hearing Officer found that “[t]o the extent the [Operator] has obtained building permits and constructed any improvements, these permits were obtained in violation of Condition of Approval No. 18 under CCP No. 18- 0014. The [Operator] has not obtained a Zoning Clearance pursuant to Chapter 20.84 of the CMC, but [Operator] has obtained permits for (1) an electrical permit for an electrical panel and circuit; (2) a plumbing permit for a toilet and sink; (3) a building permit for the installation of metal panels on the exterior of the facility; and (4) a demolition permit for the demolition of interior partition walls. In order for the [Operator] to complete tenant improvements or otherwise obtain a certificate of occupancy the [Operator] is required to remove all improvements made illegally as outlined in [Attachment F, pp. 251-252] and submit complete plans for plan check to complete tenant improvements. “ “Based on the foregoing, the [Operator] breached its conditions of approval for CCP No. 18-0014 failing to implement the Project within the time limits set forth in Conditions of Approval No. 20” (Attachment G, p. 8). As previously stated, the CCP conditions of approval are incorporated into the DA through Section 18. The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-15 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-014C and repeal Ordinance No. 701 and terminate the related DA.

3. Violation #3: Breach of Condition of Approval No. 18 (Construction Activities) under CCP No. 18-0014. The Operator’s duty to comply with the CCP’s conditions of approval are incorporated into DA No. 18-014C under Section 18. CCP No. 18-0014 Condition of Approval No. 18 states that “prior to any construction, the [Operator] shall obtain a Zoning Clearance for construction from the Planning Division and a Building Permit from the Building and Safety Division.” The City has no record of any requisite applications, approvals, or permits, inclusive of a Zoning Clearance, for permits obtained by the Operator for some limited work described above. Additionally, the City contacted the Los Angeles Fire Department, Special Occupancy Inspection Unit, and no building permits record were found for the fire sprinklers (Attachment F, pp. 387-388). In accordance with Article 4(d) of the DA, the Owner “shall not operate any facility, and no permit, license, or other approval issued by City shall be valid unless and until the Los Angeles County Fire Department has approved Owner's site plan, floor plan, safety plan, and any other plans that require its approval.”

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The Operator failed to obtain any requisite approvals, inclusive of a Zoning Clearance and permits from the City Planning Division and Building & Safety Division prior to the installation of interior nonstructural walls, metal framing, fire sprinkler lines, and a restroom remodel in the facility.

Based on the unrefuted evidence submitted by the City, the Hearing Officer found that “[t]he [Operator] failed to obtain requisite approvals, inclusive of a Zoning Clearance, and permits from the City Planning Division and Building & Safety Division prior to the installation of interior nonstructural walls, metal framing, fire sprinkler lines, and a restroom remodel in the facility. Therefore, the [Operator] breached Conditions of Approval No. 28 of CCP No. 18-0014” (Attachment G, pp. 8-9). As previously stated, the CCP conditions of approval are incorporated into the DA through Section 18. The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-15 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-014C and repeal Ordinance No. 701 and terminate the related DA.

4. Violation #4: Breach of Conditions of Approval No. 17 (Commercial Cannabis Permit Modification) Under CCP No. 18-0014. CCP Condition of Approval No. 17 states “prior to undertaking any operational or construction-related activity which is not expressly described in the CCP conditions, the [Operator] shall first contact the City Manager, or his designee, to determine if the proposed activity requires a modification of the CCP. The City Manager may, at his sole discretion, require the Operator to file a written and/or mapped description of the proposed activity in order to determine if a permit modification is required.”
On January 4, 2022, the Operator submitted building permit plans for interior tenant improvements at the Subject Site to the City’s plan check consultants without first obtaining a Zoning Clearance from the Planning Division and payment of the required fees. Furthermore, the plans submitted by the Operator do not conform to the original Site Plan and Floor Plans approved by the City in the Operator’s CCP and DA. These revised plans would have additionally allowed for distribution activities which the Operator was not approved for. The Operator was authorized by the City for commercial cannabis cultivation activities only. The Operator never filed a written or mapped description of the design changes made to the facility plans nor made the City Manager aware that such changes would be made. The City Manager has not approved any changes to the facility that do not conform to the original site plan and floor plan approved by the City in the Operator’s CCP and DA.

Based on the unrefuted evidence submitted by the City, the Hearing Officer found that “the [Operator] breached its conditions of approval for CCP No. 18-0014 by failing to receive City Manager approval for the design changes made to the facility set forth in Conditions of Approval No. 17” (Attachment G, p. 9). As previously stated, the CCP conditions of approval are incorporated into the DA through Section 18. The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of

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Resolution No. 2024-15 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-014C and repeal Ordinance No. 701 and terminate the related DA.

5. Violation #5: Non-compliance with State Law. Recital I of the DA states the Owner has applied for one (1) cannabis license for cultivation activities. Section 21 of the DA states that the facility shall not operate unless the Owner is the holder of a State-issued Cannabis license for the type of commercial cannabis facility or business operation that is the subject of the DA. The Owner has breached the DA because the Owner has not obtained a State-issued Cannabis license for the facility. As of July 9, search of the term “Starcraft” on the Department of Cannabis Control’s website shows no record of an active cannabis license issued to the Operator (Attachment N).

Based on the unrefuted evidence submitted by the City, the Hearing Officer found that the “[Operator] has failed to maintain all its necessary licenses to operate under the DA, which constitutes a breach of Article 21 of the DA” (Attachment G, p. 9). The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-15 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-014C and repeal Ordinance No. 701 and terminate the related DA.

PUBLIC NOTICE AND COMMENTS
This item was noticed in accordance with the City’s public notice requirements, which involved mailed notices to property owners and tenants within 300 feet of the Site and publication in the local newspaper (Attachment J). As of the writing of this report, City staff have not received any public comments.

ENVIRONMENTAL ANALYSIS
The action(s) have been assessed in accordance with the California Environmental Quality Act (“CEQA”) (Pub. Res. Code § 21000 et seq.), CEQA Guidelines (Cal, Code Regs., tit. 14, § 15000 et seq.) and the environmental regulations of the City. The Project is categorically exempt from the requirements of CEQA pursuant to CEQA Guidelines Section 15321 - Class 21 (Enforcement Actions by Regulatory Agencies). This exemption is applicable to “[a]ctions by regulatory agencies to enforce or revoke a lease, permit, license, certificate, or other entitlement for use issues, adopted, or prescribed by the regulatory agency or enforcement or a law, general rule, standard, or objective, administered or adopted by the regulatory agency.” If the City Council adopts Ordinance No. 754 to repeal Ordinance No. 701 and terminate DA No 18-014C, it would be an enforcement action. Therefore, the action(s) are categorically exempt from the provisions of CEQA.

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CONCLUSION
As discussed above and based on the preponderance of unrefuted evidence offered at the Review Hearing; the public hearing by the Planning Commission finding that the Operator has failed to comply with the terms and conditions of its DA, despite being provided with ample notice and several opportunities to achieve compliance, thereby recommending to the City Council that it repeal Ordinance No. 701 and DA No. 18-014C through the adoption of Planning Commission Resolution No. 2024-15. As stated above, the Operator has failed to comply with their obligations under the DA, despite being provided with ample notice and several opportunities to achieve compliance. Therefore, City staff recommends the City Council adopt Ordinance No. 754 repealing Ordinance No. 701 and terminating DA No. 18-014C.

ATTACHMENT
A. Ordinance No. 754

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ORDINANCE NO. 754

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF CUDAHY REPEALING ORDINANCE NO. 701 AND

TERMINATING RELATED DEVELOPMENT AGREEMENT
NO. 18-014C BETWEEN STARCRAFT, LLC AND THE
CITY OF CUDAHY.

20.84.640; and
WHEREAS, on September 11, 2017, the City Council adopted Ordinance No. 673 establishing regulations for commercial cannabis activities, in a specified Overlay Zone through an acquisition of a Commercial Cannabis Permit and execution of a development agreement with the City; and
WHEREAS, on November 19, 2018, the City Planning Commission (“Planning Commission”) conducted a properly noticed public hearing to consider an application by Starcraft, LLC (“Operator”) for approval of a Commercial Cannabis Permit to allow nonstore front commercial cannabis cultivation activities at 4925 Cecelia Street (“Site”); and WHEREAS, at this hearing, the Planning Commission heard and considered verbal and written testimony and evidence, and recommended on a 2-1 vote to continue the item to a date uncertain; and
WHEREAS, on November 23, 2018, the City received a formal written correspondence in the nature of an appeal from the Operator requesting that the City Council hold an immediate hearing on their applications for a Commercial Cannabis ATTACHMENT A Page 156 of 330
City Council Ordinance No. 754

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Permit and a Development Agreement; and
WHEREAS, on December 4, 2018, the City Council conducted a properly noticed public hearing to consider the issuance of the Commercial Cannabis Permit (“CCP”) No. 18-014 and Development Agreement (“DA”) No. 18-014C at which the City Council heard and considered both written and oral testimony and evidence and subsequently approved, and adopted Resolution No. 18-57 for CCP No. 18-0014; and WHEREAS, at the same hearing the City Council considered and approved CCP No. 18-0014 it also conducted the first reading of Ordinance No. 701 which authorized the execution of DA No. 18-014C between the Operator and the City; and WHEREAS, on December 18, 2018, the City Council adopted, on second reading, Ordinance No. 701 approving DA No. 18-014C and authorizing the Mayor to execute the DA on behalf of the City; and
WHEREAS, the effective date of the Development Agreement is April 5, 2019 (“Effective Date”); and
WHEREAS, upon the Effective Date of Ordinance No. 701, the Operator was granted the permission to conduct commercial cannabis cultivation activities provided, among other things, it apply for and receive a Zoning Clearance pursuant to the CMC’s requirements, receive State licensing approval from the Department of Cannabis Control, and comply with the terms outlined in the DA and conditions of approval under the CCP inclusive of the timely payment of Community Benefit Fees, Cost Recovery Fees and Operating/Non-Operating Fees and applicable penalties and interest; and WHEREAS, the Operator has not complied with the terms and conditions of the DA and CCP despite multiple notices and opportunities to cure, and remains in material breach of thereof; and
WHEREAS, on November 27, 2023, the City provided notice to the Operator that it would be conducting a Review Hearing (“Review Hearing”) under Article 19 of DA No. 18-014C, which informed the Operator of the burden to prove compliance with the DA and CCP; and
WHEREAS, the Operator never provided a timely response to the City’s notice for a Review Hearing; and
WHEREAS, on November 29, 2023, the City sent a follow up notice informing the Operator it had not received any response to the Review Hearing Notice; and WHEREAS, the Operator did not respond to the follow up notice; and WHEREAS, on January 8, 2024, Steve Napolitano, Esq., a duly appointed thirdparty hearing officer for the City (“Hearing Officer”), conducted a properly noticed Review Hearing; and
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City Council Ordinance No. 754

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WHEREAS, the Operator did not participate at the Review Hearing, was not present at the hearing and did not present any evidence for consideration prior to or during the hearing, and the Hearing Officer heard and considered information and evidence by City staff, which a true and correct copy of the staff report and supporting evidence is attached hereto as Exhibit “A” and incorporated herein by reference; and WHEREAS, the Hearing Officer heard and considered information and evidence by City staff; and
WHEREAS, on February 15, 2024, the Hearing Officer issued a written decision and order (the “Decision”), incorporated by reference and attached hereto as Exhibit “B”, making several findings of fact and conclusions of law with respect to the Operator’s noncompliance with the DA and CCP based on a preponderance of the evidence; and WHEREAS, the CCP’s conditions of approval are incorporated into the DA through Article 18 of DA No. 18-014C; and
WHEREAS, the Hearing Officer determined that the Operator breached the DA and CCP in five material respects; and
WHEREAS, the Hearing Officer determined that Operator breached its payment obligations due to the Operator’s non-payment of fees and penalties due and owed to the City totaling $503,912.83, which continue to accumulate; and WHEREAS, the Operator continues to fail to meet its payment obligations and the total amount due to the City as of June 13, 2024, is $570,700.50; and WHEREAS, the Operator breached its obligation to implement the project within the prescribed time periods contained within CCP No. 18-0014 Condition of Approval No. 20 (Time Limits), because there is no evidence that the Operator has made a diligent effort to implement the Project in any fashion inclusive of an application for a Zoning Clearance to permit the commercial cannabis activities; and WHEREAS, the Operator breached CCP No. 18-0014 Condition of Approval No. 18 (Construction Activities) for failing to obtain any requisite approvals from the City Planning Division and Building & Building and Safety Division prior to conducting construction activities; and
WHEREAS, the Operator breached CCP No. 18-0014 Condition of Approval No. 17 (Commercial Cannabis Permit Modification) due to the Operator’s failure to receive City Manager approval for the design changes made to the facility; and WHEREAS, the Operator failed to comply due to operator's failure to maintain all its necessary licenses to operate in the state of California, in violation of Article 21 under the DA; and
WHEREAS, the Hearing Officer has recommended that the City Council adopt an ordinance repealing Ordinance No. 701 terminating DA18-014C and revoking the related ATTACHMENT A Page 158 of 330
City Council Ordinance No. 754

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interest in CCP18-0014; and
WHEREAS, pursuant to state law and the CMC, the Planning Commission duly noticed, agendized, and conducted a public hearing on this matter on May 14, 2024; and WHEREAS, the Planning Commission considered all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents relating to the repeal of Ordinance No. 701; and
WHEREAS, after the close of such public hearing, the Planning Commission adopted Resolution No. 2024-15, attached hereto and incorporated by reference as Exhibit “C”, recommending the City Council repeal Ordinance No. 701 and terminate related DA No. 18-014C; and
WHEREAS, pursuant to state law and the CMC, the City Council duly noticed, agendized, and conducted a public hearing on this matter; and WHEREAS, the City Council considered all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents relating to the repeal of Ordinance No. 701; and
WHEREAS, after the close of such public hearing, the City Council introduced and adopted by first reading Ordinance No. 754, repealing Ordinance No. 701 and terminating related DA No. 18-014C.

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

SECTION 1. RECITALS
That the above Recitals are true and correct and are incorporated as though fully set forth herein.

SECTION 2. ADOPTION OF HEARING OFFICER’S FINDINGS OF FACT AND

CONCLUSIONS OF LAW
The City Council has reviewed and considered the Decision by the Hearing Officer (Exhibit “B”) issued on February 15, 2024, on this matter. For the reasons stated in the Decision, and as recommended by the Planning Commission (Exhibit “C”), the City Council adopts the Hearing Officer’s findings of fact and conclusions of law as its own and determines that Starcraft, LLC is not in compliance with the terms and conditions of the Development Agreement No. 18-014C and finds that Starcraft, LLC is in default of its contractual obligations set forth in said Development Agreement and has breached its Conditions of Approval for CCP No. 18-0014 by a showing of the preponderance of the evidence.

ATTACHMENT A Page 159 of 330
City Council Ordinance No. 754

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SECTION 3. TERMINATION OF DEVELOPMENT AGREEMENT
Pursuant to Article 19(d) of the Development Agreement, the City Council may terminate Development Agreement No.18-014C in its entirety. For the reasons stated in the Decision, and as recommended by the Planning Commission, the City Council hereby adopts this Ordinance repealing Ordinance No. 701 terminating DA No. 18-014C in its entirety.

SECTION 4. SEVERABILITY
If any section, subsection, sentence, clause, phrase, or portion of this Ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance, and each section, subsection, subdivision, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions might subsequently be declared invalid or unconstitutional.

SECTION 5. CALIFORNIA ENVIRONMENTAL QUALITY ACT
The City Council has determined that this Ordinance is categorically exempt from the California Environmental Quality Act (“CEQA”) (Pub. Res. Code § 21000 et seq.) and CEQA Guidelines (Cal. Code Regs., tit. 14, § 21000 et seq.) pursuant to CEQA Guidelines Section 15321 (Class 21) because the repeal of Ordinance No. 701 and termination of DA No. 18-014C is an enforcement action to revoke an entitlement interest.

SECTION 6. PUBLICATION
The City Clerk shall certify the passage and adoption of this Ordinance and shall cause this Ordinance to be published and/or posted as required by law, which shall take full force and effect thirty days from its adoption.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Cudahy at the regular meeting of this ______ day of _____ 2024. ______________________________
Jose R. Gonzalez
Mayor
ATTEST:

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City Council Ordinance No. 754

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____________________________
Richard Iglesias
City Clerk

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. 754 was introduced for a first reading on the _____ day of ____ 2024 and approved for a second reading and adopted by said Council at its regular meeting held on the ______ day of ______ 2024 by the following vote, to-wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Richard Iglesias
City Clerk
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City Council Ordinance No. 754

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EXHIBIT “A”
EVIDENCE SUBMITTED BY THE CITY (“ADMINISTRATIVE RECORD”) ATTACHMENT A Page 162 of 330
City Council Ordinance No. 754

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EXHIBIT “B”

HEARING OFFICER DECISION AND ORDER
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City Council Ordinance No. 754

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EXHIBIT “C”

PLANNING COMMISSION RESOLUTION
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STAFF REPORT
Date: August 20, 2024
To: Honorable Mayor and City Council Members
From: Alfonso Noyola, City Manager
By: Juan Arauz, AICP, Community Development Director
Subject: Adoption by Second Reading of Ordinance No. 755 Repealing Ordinance No. 700, Terminating Development Agreement No. 18-015C between the City of Cudahy and Staple Room, LLC.

RECOMMENDATION
City staff recommends that the City Council take the following action(s):

1. Adopt by second reading Ordinance No. 755 (Attachment A) repealing Ordinance No. 700 terminating DA No. 18-015C between the City and Staple Room, LLC.

SUMMARY
Pursuant to the terms and conditions of DA No. 18-015C and Commercial Cannabis Permit (“CCP”) No. 18-0015, it is the City’s purpose and intent to regulate cannabis activities within the City in a responsible manner to protect the health, safety, and welfare of the residents of Cudahy and to enforce rules and regulations consistent with California’s cannabis laws. Cannabis operators with development agreements are obligated to comply with all provisions of the Cudahy Municipal Code (“CMC”), obligations of the DA, and conditions of approval under the CCP, and applicable state and local laws and related regulations. This report provides a summary of the unrefuted evidence offered at an administrative review hearing; a decision by a thirdparty hearing officer (“Hearing Officer”) finding the Operator in default of the DA and out of compliance with the CCP; the public hearing by the Planning Commission determining that the Operator has failed to comply with the terms and conditions of its DA, despite being provided with ample notice and several opportunities to achieve compliance, thereby recommending to the City Council that it repeal Ordinance No. 700 and DA No. 18-015C through the adoption of Planning Commission Resolution No. 2024-16. On July 16, 2024, the City Council voted X-X to adopt Ordinance No. 755.

Item Number
12I

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BACKGROUND

1. On September 11, 2017, the City adopted Ordinance No. 673 (Attachment B) establishing the City’s commercial cannabis production activity regulations codified in Chapter 5.20 of the Cudahy Municipal Code (“CMC”). CMC Section 5.20.040 authorizes medicinal commercial cannabis activities within a designated overlay zone, pursuant to a development agreement adopted in accordance with the Development Agreement Law (Govt. Code Section 65864 et seq.) and Chapter 20.28 of the CMC.

2. On November 19, 2018, the Planning Commission conducted a properly noticed public hearing to consider a commercial cannabis permit application for cannabis manufacturing at 4931 Cecelia Street (“Subject Site”) shown in Figure 1, below. On a 2-1 vote, the Planning Commission continued the item to a date uncertain.

Figure 1 – Aerial of the Subject Site.

1. On December 4, 2018, the City Council adopted Resolution No. 18-59 to hear an application for a development agreement by Operator. The City Council also instructed the Planning Commission to make a final decision and recommend to the City Council regarding the CCP no later than December 17, 2018. The minutes are provided in Attachment C.

2. On December 4, 2018, the City Council introduced and conducted the first reading to adopt Ordinance No. 700 (Attachment D) approving DA No. 18-015C (Attachment F, pp. 83-130) inclusive of Exhibits A-F (Attachment F, pp. 132-161) between Operator and the City authorizing commercial cannabis manufacturing and distribution activities at the Subject Site as illustrated in Figures 2 and 3, below. The City Council minutes are provided in Attachment C. The CCP and the DA require the Operator to make timely payments for Site
4931 Cecilia Street

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Community Benefit Fees; Cost Recovery Fees; and Non-Operating Fees.1

3. On December 18, 2018, the City Council adopted Ordinance No. 700 by second reading approving Development Agreement No. 18-015C and authorizing the Mayor to execute the DA on behalf of the City. The minutes are provided in Attachment M.

4. On October 2, 2019, the City provided the Operator with a Notice of Delinquency (Attachment F, p. 163) due to failure to pay the various fees due under CCP No. 18-0015 and DA No. 18-015C, prior to placing the Operator in default status due to payment noncompliance, inclusive of the non-payment of Community Benefit Fees, Cost Recovery Fees, and Non-Operating Fees in the amount of $57,442.80. The Operator was given no later than October 17, 2019, to cure the amount, however, the delinquency was not timely cured.

5. On May 4, 2021, the City provided the Operator with a Notice of Default (Attachment F, pp. 165-166) due to non-compliance with the payment of fees (Community Benefit Fees, Cost Recovery Fees, and Non-Operating Fees) and associated penalties in the amount of $212,684.61. The Operator was given no later than 30 days to cure the default, however, the default was not timely cured.

6. From May 2021 through August 2021, the City’s Building & Safety Division received the following plan check submittals and/or issued the building permits for the Site:
• On May 19, 2021, the Building and Safety Division issued Building Permit No. 8220 (Attachment F, p. 168) for the installation of a perimeter fence. • Building Permit plan check #514 was received on July 12, 2021, for interior tenant improvements at the Site as demonstrated in Figures 4 and 5, below. (Attachment F, pp. 172-207) The plan check submittal received approval on February 8, 2022.

However, the plans submitted by the Operator do not conform to the original site plan and floor plan approved by the City in the Operator’s CCP and DA as shown in Figures 2 and 3 above. Additionally, as shown in Figures 4 and 5 below, the non-conforming plans submitted included 7,419 sf of cultivation space inclusive of areas for nurseries, flowering plants, trimming and drying. However, the submitted plans were outside of the scope of the Operator’s approvals because the Operator was authorized to conduct cannabis manufacturing and distribution only. City staff would like to clarify that the Administrative Record did not contain the correct attachment for the building permit plans referenced in Administrative Record, Attachment F, pp. 171-207. As such, City staff has included the correct attachment as part of this report included as Attachment K. The above statements made during the Review Hearing remain true and correct.
1 As used herein, the term Non-Operating Fees and Operating Fees are used interchangeably.

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Figure 4 – Non-Conforming Floor Plan

Figure 5 - Non-Conforming Site Plan
• On August 3, 2021, the Building and Safety Division issued Electrical Permit No. 8308 for the installation of an electrical panel and circuit. • On August 9, 2021, the Building and Safety Division issued Plumbing Permit No. 8318 for the installation of trench drains, floor drains, plumbing pipes.

7. On October 19, 2021, the City provided the Operator with a Final Demand Letter (Attachment F, pp. 209-210) due to payment non-compliance informing the Operator that Community Benefit Fees, Cost Recovery Fees, Non-Operating Fees and any applicable penalties had accumulated to $231,046.35. This letter included a list of prior efforts by the City to achieve compliance. The Operator was given no later than 30 days to cure the default and comply with payment obligations, however, the default was not timely cured.

8. Pursuant to City Council direction, on December 7, 2022, the City Manager offered a Deferment and Payment Program (Attachment F, pp. 212-213) to assist cannabis

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operators with accumulated Community Benefit, Cost Recovery and Non-Operating Fees by deferring and providing additional time for payment without penalty. Under the program:
a. Unpaid Non-Operating Fees would be deferred (without penalty) until six (6) months after the Operator was issued a Certificate of Occupancy, and then repay already accumulated Non-Operating Fees within 12 months; and
b. Operators would continue to be responsible for the timely payment of Community Benefit Fees and Cost Recovery Fees, as they accumulated; and c. Previously incurred Community Benefit Fees and Cost Recovery Fees would be subject to a payment plan and require timely payments.

All cannabis operators that were interested in participating in the program were given no later than January 31, 2023, to execute an agreement and participate in the Deferment and Payment Program (Attachment F, pp. 212-213). The City received interest from the Operator and due to the good faith negotiations between both parties, the City extended the opportunity for the Operator to participate.

9. On February 1, 2023, the City presented the Operator with a Letter Agreement agreeing to the Deferment and Payment Program to forbear the outstanding payments due (“Letter Agreement”) pursuant to the terms of the Deferment and Payment Program described above (Attachment F, pp. 215-222). The Operator accepted the proposed terms and executed the Letter Agreement on February 2, 2023, and agreed to commence payments on March 2, 2023. The Letter Agreement stated that the Operator had an outstanding balance of $402,707.00 in past due fees. By signing the Letter Agreement, the Operator also acknowledged and agreed “that the past due amounts stated are true and correct and are in fact presently due and owing. The parties agree that the Operator is in ‘default status’ on its obligations under the Development Agreement with the City… [and would] remain in ‘default status’ on its Development Agreement until all past due fees set forth in [the] Letter Agreement have been paid and Operator is in full compliance with all terms of its Development Agreement” (Attachment F, p. 217).

Pursuant to the terms of the Letter Agreement, the Operator agreed to maintain current payments for Community Benefit Fees and Cost Recovery Fees as they become due under the Development Agreement, effective March 1, 2023, and to commence a 12-month payment schedule for past-due Community Benefit Fees and Cost Recovery Fees beginning April 1, 2023. As stated above, all past due and accruing Non-Operating Fees were deferred until six months after the Operator was first issued a Temporary Certificate of Occupancy.

10. The Operator executed the Letter Agreement on February 2, 2024 (Attachment F, pp. 215- 222).

11. Between April and June 2023, the City provided the Operator with three Notices of Delinquency (Attachment F, pp. 224-238) under the Letter Agreement and provided an opportunity for the Operator to cure outstanding payments due. However, the default

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on the Letter Agreement was not timely cured and therefore was terminated and no longer in full force and effect as of June 16, 2023. (See Attachment F, pp. 234-235) Accordingly, the total of all past due amounts at the time the Letter Agreement was terminated and an amount of $446,339.79 was due and owing. (Attachment E)

12. On June 23, 2023, the City sent a Final Demand Letter (Attachment E) demanding the Operator to respond to the following demands: 1) Proof of revival of the LLC’s entity status with the State; 2) Forwarding payment for all past due amounts; and 3) Contact the City to revise the CCP’s Schedule of Performance and for further information to become compliant with the DA and CCP. The Final Demand Letter provided 30 days for the Operator to comply, so that no further action would be necessary. The Operator did not respond in a timely manner and has failed to make any attempt to cure the defaults.

13. On August 9, 2023, the City issued an Escrow Account Letter (Attachment F, pp. 244-245) requiring all cannabis operators to open an escrow account by September 15, 2023, to ensure payment of Cost Recovery Fees. As of the writing of this report, the Operator has not opened an escrow account nor made any payments into the account.

14. Under Article 5(d) of DA No. 18-015C, the City Manager, his/her designee(s), and the Sheriff’s Department designee have the right to enter the Site from time to time unannounced for the purpose of making reasonable inspections to observe and enforce compliance with the Development Agreement and state and local laws and regulations without the requirement of a search warrant, subpoena, or court order. Condition of Approval 23 also permits the City Building Official, City Cannabis Enforcement staff, and Planning Department staff the authority to conduct periodic site inspections to ensure compliance with CCP conditions (Attachment F, p. 72).

15. On October 10, 2023, the City staff from the Building and Safety Division conducted an inspection of the Site and posted a stop work notice due to unpermitted construction (Attachment F, pp. 247-249). During the inspection, the following building and fire code violations were observed: (1) installation of plumbing pipes; (2) installation of interior non-structural walls; (3) installation of metal framing; (4) installation of fire sprinkler lines; and (5) completion of restroom remodel. All violations observed were constructed without obtaining the proper permits and/or inspections. The Operator has failed to take necessary actions to correct the stop work notice. To correct the actions, the Operator is required to obtain requisite approvals and permits from the City Planning Division, Building & Safety Division, and the County Fire Department. As of the writing of this report, the Operator has not obtained requisite approvals and permits from the City Planning Division, Building & Safety Division, or the County Fire Department.

16. On October 24, 2023, the City issued a letter (Attachment F, pp. 251-252) updating the Operator on their payment and fees related to the DA by correcting the amount due to an error in the total amount billed. The City provided the Operator a credit in the amount of $14,950.50, which was applied to the Operator’s outstanding balance of $467,345.76 as of October 1, 2023.

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17. On November 27, 2023, the City issued the Operator a Notice of Review Hearing (Attachment F, pp. 254-255) with the hearing date, time, and place. The notice informed the Operator that the Review Hearing was being held pursuant to Article 19 of DA No. 18- 014C, requesting the Operator to timely submit evidence of compliance and to submit payment for an estimated cost2 of the Review Hearing (Attachment F, pp. 257-258). The City did not receive any response, reply, documents evidencing compliance, or payment for the cost of the Review Hearing.

18. As of December 18, 2023, the website for the California Department of Cannabis Control shows that the Operator’s provisional manufacturing license had been withdrawn and was no longer active. As of the writing of this report, the Department of Cannabis Control shows that the license has expired. (Attachment L)

19. On December 29, 2023, the City sent a follow-up to the Notice of Review (“Follow Up Notice”) to the Operator confirming that the City had not received any communication from the Operator confirming attendance at the Review Hearing and that the ability to present before the hearing officer had been waived (Attachment H). The City did not receive a timely response from the Operator.

20. On January 8, 2024, the duly appointed third-party Hearing Officer, Steve Napolitano, conducted a Review Hearing as authorized under CMC Section 5.20.080(7) and Section 19 of the DA No. 18-014C to hear and consider information and evidence submitted by City staff through an Administrative Record (Attachment F) and the Operator. No representation from the Operator was present at the hearing nor did the Operator submit any information or evidence for consideration.

21. On February 15, 2024, the Hearing Officer issued a written decision and order (Attachment G) finding evidence showing the Operator, despite considerable notice and opportunities to cure outstanding issues, has breached the terms and conditions of the DA and CCP and recommends the Planning Commission and City Council repeal Ordinance No. 700 terminating DA No. 18-015C and revoke the related interest in CCP No. 18-0015.

22. On May 14, 2024, pursuant to State law and the CMC, the Planning Commission held a duly noticed public hearing to consider the Hearing Officer’s recommendation to repeal Ordinance No. 700 and terminate DA No. 18-015C. The Planning Commission considered all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents. No representation from the Operator was present at the hearing. After closing public hearing, the Planning Commission adopted Resolution No. 2024-16 (Attachment N), recommending the City Council repeal Ordinance No. 700 and terminate related DA No. 18-015C.
2 Pursuant to Article 19(a) of the DA, Operators must submit an annual review and administration fee deposit based on the City’s estimated cost, upon the City’s reasonable notice in advance of the review. The City provided over 30 days’ notice of the estimated cost.

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23. On July 16, 2024, pursuant to State law and the CMC, the City Council held a duly noticed public hearing to consider the recommendation by the Planning Commission to repeal Ordinance No. 700 and terminate DA No. 18-015C. After consideration of all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents. No representation from the Operator was present at the hearing. After closing public hearing, the City Council voted X-X to introduce and adopt by first reading Ordinance No. 755.

DISCUSSION/ANALYSIS
During a review of the Operator’s compliance with the Development Agreement, the burden is upon the Operator to demonstrate good faith compliance with the terms of the Development Agreement under Article 19. Pursuant to Government Code Section 65868.1 and Articles 19 and 19(d) of the Development Agreement, if the City Council determines, based on substantial evidence, that the Operator has not complied in good faith with the terms of the conditions of the Development Agreement, the City Council may terminate the Development Agreement, or alternatively may choose to modify and impose conditions reasonably necessary to protect the interests of the City. Conversely, if the Operator is found to be in compliance with the Development Agreement, the Operator may request the City to issue a Certificate of Compliance pursuant to Article 19(e). Any decision to terminate a development agreement must be reviewed by the Planning Commission prior to review by the City Council. Gov. Code § 65867. Under Article 19(d), the decision to terminate a development agreement by the City Council is final and only subject to appeal pursuant to Civil Code Section 1094.5.

The City has appointed a “Hearing Officer” to conduct a review of the Operator’s compliance with CCP No. 18-0015 and DA No. 18-015C. The findings and determinations made by the Hearing Officer inform any subsequent action to terminate or modify the Development Agreement and suspension or revocation of the CCP. As stated above, and further described in Attachment G, the Hearing Officer issued a written decision making several findings of fact and conclusions and determined that Staple Room, LLC breached the terms and conditions pursuant to DA No. 18- 015C and CCP No. 18-0015, based on a preponderance of the evidence, in the following material aspects:

1. Violation #1: Breach of Payment Obligations. Pursuant to the terms of the DA, the Operator is responsible for timely payment of Community Benefit Fees (Article 5(b)); Cost

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Recovery Fees (Article 8); and Operating Fees (Article 7(c)). The Operator is also obligated to make the fees due under the DA pursuant to CCP Condition of Approval No. 24; and timely payment for non-operating fees pursuant to Condition of Approval No. 8 and 16 (Attachment F, pp. 54-74). The Operator’s obligation to make timely payments of the Community Benefit Fees, Cost Recovery Fees and Operating Fees under the DA is also restated in CCP Conditions of Approval 1(a) and 1(b), which require the Operator to pay all City-issued invoices within 30 days of receipt; timely payment for Operating Fees pursuant to Condition of Approval No. 8 for manufacturing activities; timely payment for Operating Fees pursuant to Condition of Approval No. 16 for distribution activities; and payment of all fees due under DA pursuant to the DA terms under Condition of Approval No. 24. (Attachment F, pp. 63). Pursuant to the terms of the DA, Operators that are more than 30 days past due with Operating Fees are subject to a penalty equal to twenty-five percent (25%). In addition, a ten percent (10%) penalty shall be added to the first day of each calendar month following the imposition of the initial 25% penalty, if the fee remains unpaid in whole or in part, up to a maximum of the one hundred percent (100%) of the payable fee.

The Operator’s duty to comply with the CCP conditions of approval are incorporated into the DA No. 18-015C under Section 18.3 Conditions 1(a) and 1(b) require the Operator to pay all City-issued invoices within 30 days of receipt. Conditions 8, 16, and 24 all require timely payment of fees due under the Development Agreement. The City has regularly sent monthly invoices for Community Benefit Fees, Cost Recovery Fees, Non-Operating Fees, and applicable late penalties since 2019 (Attachment F, pp. 272-380).

The City executed a Letter Agreement to grant the Operator relief in the form of deferred payment obligations of the Operating Fees and a payment schedule for past-due Community Benefit Fees and Cost Recovery Fees; and an obligation to remain current on recurring fees under the DA. The Operator did not make a single timely payment in the three months that followed the execution of the Letter Agreement between March to May 2023. As of December 1, 2023, the City reported that the Operator was past due in the amount of $482,639.65 and past-due payments continue to accumulate, including late payment penalties. The Operator continues to fail to make payments and as of June 13, 2024, $531,431.44 is due and owing.

Table 1. Summary of Past and Current Amounts Due as of June 13, 2024 Fee Type Payment Amount Due
Community Benefit Program $365,335.16
Cost Recovery Fees $101,516.66
Non-Operating Fees $48,754.53
Penalties (Late Payments) $15,825.09
TOTAL $531,431.44
3 Section 18 of DA No. 18-015C states “Owner shall comply with all conditions of approval of the Regulatory Permit approved by City Council.” The Regulatory Permit is CCP No. 18-0015.

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Based on the evidence submitted by the City, the Hearing Officer found that “based on the unrefuted evidence presented by the City...a preponderance of the evidence shows that [Operator] breached multiple payment conditions of their DA and CCP. Despite multiple attempts and notices by the City to gain compliance, the evidence shows that [Operator] failed to comply with their payment obligations, which constitutes the necessary grounds for termination of the DA and revocation of the CCP under the CMC

5.20.080(6)(a)” (Attachment G). The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-16 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-015C and repeal Ordinance No. 700 and terminate the related DA.

2. Violation #2: Failure to Implement the Project Under Prescribed Time Limits under CCP No. 18-0015. The Operator’s duty to comply with the CCP’s conditions of approval are incorporated into DA No. 18-014C under Section 18. CCP Condition of Approval No. 30(A)(i) sets a 90-day time frame in which the Operator needed to obtain a Zoning Clearance.

Condition of Approval No. 30(A)(ii) sets a 90-day time frame in which the Operator must complete construction of Phase I of the Project. CCP Condition of Approval 30(A)(iii) sets a 180-day time limitation from the effective date of the CCP to complete all tenant improvements, construction, and obtain a certificate of occupancy from the Building Department. Failure to obtain a Zoning Clearance within 90 days of the effective date of the CCP, renders the CCP to “expire and become null and void” (Attachment F, p. 73). The City Manager’s ability to grant an extension of time for a Zoning Clearance if the Operator has made diligent efforts to implement the project is stated in Conditions of Approval 30(A)(i), (ii), and (iii). The Operator was notified of the failure to implement the project within the prescribed timelines and provided an opportunity to cure pursuant to the City’s Final Demand Letter (Attachment E).

Based on the evidence submitted by the City, the Hearing Officer found that “[t]o the extent the [Operator] has obtained building permits and constructed any improvements, these permits were obtained in violation of Condition of Approval No. 28 under CCP No. 18-0015. The [Operator] has not obtained a Zoning Clearance pursuant to Chapter 20.84 of the CMC, nor has the [Operator] applied for all the required building permits to complete tenant improvements or otherwise obtained a certificate of occupancy. In order for the [Operator] to complete tenant improvements or otherwise obtain a certificate of occupancy the [Operator] is required to remove all improvements made illegally as outlined in [Attachment F, pp. 247-249]. Based on the evidence above, the City has shown

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that the [Operator] breached its conditions of approval for CCP No. 18-0015 by failing to implement the Project within the time limits set forth in Conditions of Approval No. 30” (Attachment G, pp. 7-8). As previously stated, the CCP conditions of approval are incorporated into the DA through Section 18. The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-16 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-015C and repeal Ordinance No. 700 and terminate the related DA.

3. Violation #3: Breach of Condition of Approval No. 28 (Construction Activities) under CCP No. 18-0015. The Operator’s duty to comply with the CCP’s conditions of approval are incorporated into DA No. 18-014C under Section 18. CCP No. 18-0015 Condition of Approval No. 28 states that “prior to any construction, the [Operator] shall obtain a Zoning Clearance for construction from the Planning Division and a Building Permit from the Building and Safety Division.” The City’s Planning Division and Building and Safety Division have no record of any requisite applications, approvals, or permits obtained by the Operator. Additionally, the City contacted the Los Angeles Fire Department, Special Occupancy Inspection Unit and no building permits record were found for the fire sprinklers (Attachment F, pp. 382-383). In accordance with the DA, the Owner shall not operate any facility, and no permit, license, or other approval issued by City shall be valid unless and until the Los Angeles County Fire Department has approved Operator’s site plan, floor plan, safety plan, and any other plans that require its approval.

Based on the evidence submitted by the City, the Hearing Officer found that “[t]he [Operator] failed to obtain any requisite approvals, inclusive of a Zoning Clearance, and permits from the City Planning Division and Building & Safety Division prior to the installation of interior nonstructural walls, metal framing, fire sprinkler lines, and a restroom remodel in the facility. Therefore, the [Operator] breached Conditions of Approval No. 28.” (Attachment G. pp. 8-9). As previously stated, the CCP conditions of approval are incorporated into the DA through Section 18. The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-16 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-015C and repeal Ordinance No. 700 and terminate the related DA.

4. Violation #4: Failure to Obtain State-Issued Cannabis Licenses for Cultivation and Manufacturing. Recital I of the DA states the Owner has applied for two (2) cannabis licenses for 1) manufacturing; and 2) distribution activities. Section 21 of the DA states that the facility shall not operate unless the Owner is the holder of a State-issued Cannabis license for the type of commercial cannabis facility or business operation that is the subject of the DA. The Operator breached the DA because the Owner does not hold a state-issued Cannabis license for the facility. A search of the term “Staple Room” on the DCC website shows that the Operator’s cannabis manufacturer license issued by the state has been withdrawn (Attachment F, pp. 257-258).

Based on the unrefuted evidence submitted by the City, the Hearing Officer found that

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“the [Operator] has failed to maintain all its necessary licenses to operate under the DA, which constitutes a breach of Article 21 of the DA” (Attachment G. p. 9). The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-16 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-015C and repeal Ordinance No. 700 and terminate the related DA.

5. Violation #5: Breach of Conditions of Approval No. 27 (Commercial Cannabis Permit Modifications) under CCP No. 18-0015. CCP No. 18-0015 Condition of Approval No. 27 states “prior to undertaking any operational or construction-related activity which is not expressly described in the CCP conditions, the [Operator] shall first contact the City Manager, or his designee, to determine if the proposed activity requires a modification of the CCP. The City Manager may, at his sole discretion, require the Operator to file a written and/or mapped description of the proposed activity in order to determine if a permit modification is required.”
On July 12, 2021, the Operator submitted building permit plans for interior tenant improvements at the Subject Site without first obtaining a Zoning Clearance from the Planning Division and payment of the required fees. The plan check submittal received approval on February 8, 2022. However, the plans submitted by the Operator do not conform to the original Site Plan and Floor Plan approved by the City in the Operator’s CCP and DA. Additionally, the non-conforming plans submitted include cultivation rooms which is a cannabis activity the Operator was not approved for. The Operator was authorized by the City for commercial cannabis manufacturing and distribution only. The Operator never filed a written or mapped description of the design changes made to the facility plans nor made the City Manager aware that such changes would be made. The City Manager has no record of a request or approval of any changes to the facility that do not conform to the original site plan and floor plan approved by the City in the Operator’s CCP and DA.

Based on the evidence submitted by the City, the Hearing Officer found that “the [Operator] breached its conditions of approval for CCP NO. 18-0015 by failing to receive City Manager approval for the design changes made to the facility set forth in Condition of Approval No. 27 (Attachment G, p. 9-10). As previously stated, the CCP conditions of approval are incorporated into the DA through Section 18. The Hearing Officer’s determination was ratified by the Planning Commission through the adoption of Resolution No. 2024-16 which recommends that the City Council find that Operator is in default of the terms set forth in DA No. 18-015C and repeal Ordinance No. 700 and terminate the related DA.

City staff would like to clarify that the Administrative Record did not contain the correct attachment for the building permit plans referenced in Administrative Record, Attachment F, pp. 171-207. As such, City staff has included the correct attachment as part of this report included as Attachment O. The above statements made during the Review Hearing remain true and correct.

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ENVIRONMENTAL ANALYSIS
The action(s) have been assessed in accordance with the California Environmental Quality Act (“CEQA”) (Pub. Res. Code § 21000 et seq.), CEQA Guidelines (Cal, Code Regs., tit. 14, § 15000 et seq.) and the environmental regulations of the City. The Project is categorically exempt from the requirements of CEQA pursuant to CEQA Guidelines Section 15321 - Class 21 (Enforcement Actions by Regulatory Agencies). This exemption is applicable to “[a]ctions by regulatory agencies to enforce or revoke a lease, permit, license, certificate, or other entitlement for use issues, adopted, or prescribed by the regulatory agency or enforcement or a law, general rule, standard, or objective, administered or adopted by the regulatory agency.” If the City Council adopts Ordinance No. 755 to repeal Ordinance No. 700 and terminate DA No. 18-015C, it would be an enforcement action. Therefore, the action(s) are categorically exempt from the provisions of CEQA.

CONCLUSION
As discussed above and based on the preponderance of unrefuted evidence offered at the administrative review hearing; the public hearing by the Planning Commission finding that the Operator has failed to comply with the terms and conditions of its DA, despite being provided with ample notice and several opportunities to achieve compliance, thereby recommending to the City Council that it repeal Ordinance No. 700 and DA No. 18-015C through the adoption of Planning Commission Resolution No. 2024-16. As stated above, the Operator has failed to comply with their obligations under the DA, despite being provided with ample notice and several opportunities to achieve compliance. Therefore, City staff recommends the City Council adopt Ordinance No. 755 repealing Ordinance No. 700 and terminating DA No. 18-015C.

ATTACHMENT
A. Ordinance No. 755

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ORDINANCE NO. 755

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
CUDAHY REPEALING ORDINANCE NO. 700 AND

TERMINATING RELATED DEVELOPMENT AGREEMENT
NO. 18-015C BETWEEN STAPLE ROOM, LLC AND THE
CITY OF CUDAHY.

WHEREAS, the City of Cudahy (the “City”) is a general law city, incorporated under the laws of the State of California; and
WHEREAS, pursuant to its police power, the City may enact and enforce laws within its boundaries that promote the public health, safety, or general welfare of the community, and are not in conflict with general laws; and WHEREAS, to strengthen the public planning process, encourage private participation in comprehensive planning and reduce the economic risk of development, the California State Legislature adopted Section 65864 et seq. of the California Government Code (the “Development Agreement Statute"); and
WHEREAS, the Development Agreement Statute authorizes the City to enter into a development agreement with a person having legal or equitable interest in real property for the development of such property in order to establish certain development rights in exchange for public benefits; and
WHEREAS, in accordance with the Development Agreement Statute, the City Council adopted Ordinance No. 690 in 2018 establishing the procedures and requirements for the consideration of development agreements with the City and are contained within Cudahy Municipal Code (“CMC”) Sections 20.84.530 through 20.84.640; and WHEREAS, on September 11, 2017, the City Council adopted Ordinance No. 673 establishing regulations for commercial cannabis activities, in a specified Overlay Zone through an acquisition of a Commercial Cannabis Permit and execution of a development agreement with the City; and
WHEREAS, on November 19, 2018, the City Planning Commission (“Planning Commission”) conducted a properly noticed public hearing to consider an application by Staple Room, LLC (“Operator”) for approval of a Commercial Cannabis Permit to allow non-store front commercial cannabis manufacturing activities at 4931 Cecilia Street (“Site”); and
WHEREAS, at this hearing, the Planning Commission heard and considered verbal and written testimony and evidence, and recommended on a 2-1 vote to continue the item to a date uncertain; and
WHEREAS, on November 23, 2018, the City received a formal written correspondence in the nature of an appeal from the Operator requesting that the City Council hold an immediate hearing on their applications for a Commercial Cannabis Permit ATTACHMENT A Page 178 of 330
Ordinance No. 755

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and a Development Agreement; and
WHEREAS, on December 4, 2018, the City Council conducted a properly noticed public hearing to consider the issuance of the Commercial Cannabis Permit (“CCP”) No. 18-0015 and Development Agreement (“DA”) No. 18-015C at which the City Council heard and considered both written and oral testimony and evidence and subsequently approved, and adopted Resolution No. 18-65 for CCP No. 18-0015; and WHEREAS, at the same hearing the City Council considered and approved CCP No. 18-0015, it also conducted the first reading of Ordinance No. 700 which authorized the execution of DA No. 18-015C between the Operator and the City; and WHEREAS, on December 18, 2018, the City Council adopted, on second reading, Ordinance No. 700 approving DA No. 18-015C and authorizing the Mayor to execute the DA on behalf of the City; and
WHEREAS, the effective date of the Development Agreement is January 18, 2018 (“Effective Date”); and
WHEREAS, upon the Effective Date of Ordinance No. 700, the Operator was granted the permission to conduct commercial cannabis manufacturing and distribution activities provided, among other things, it apply for and receive a Zoning Clearance pursuant to the CMC’s requirements, receive State licensing approval from the Department of Cannabis Control, and comply with the terms outlined in the DA and conditions of approval under the CCP inclusive of the timely payment of Community Benefit Fees, Cost Recovery Fees and Operating/Non-Operating Fees and applicable penalties; and WHEREAS, the Operator has not complied with the terms and conditions of the DA and CCP despite multiple notices and opportunities to cure, and remains in material breach of thereof; and
WHEREAS, on November 27, 2023, the City provided notice to the Operator that it would be conducting a Review Hearing (“Review Hearing”) under Article 19 of DA No. 18- 015C, which informed the Operator of the burden to prove compliance with the DA and CCP; and
WHEREAS, the Operator never provided a timely response to the City’s notice for a Review Hearing; and
WHEREAS, on November 29, 2023, the City sent a follow up notice informing the Operator it had not received any response to the Review Hearing Notice; and WHEREAS, the Operator did not respond to the follow up notice; and WHEREAS, on January 8, 2024, Steve Napolitano, Esq., a duly appointed thirdparty hearing officer for the City (“Hearing Officer”), conducted a properly noticed Review Hearing; and
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Ordinance No. 755

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WHEREAS, the Operator did not participate at the Review Hearing, was not present at the hearing and did not present any evidence for consideration prior to or during the hearing, and the Hearing Officer heard and considered information and evidence compiled by City staff, which a true and correct copy of the staff report and supporting evidence is attached hereto as Exhibit “A” and incorporated herein by reference; and WHEREAS, the Hearing Officer heard and considered information and evidence by City staff; and
WHEREAS, on February 15, 2024, the Hearing Officer issued a written decision and order (the “Decision”), incorporated by reference and attached hereto as Exhibit “B”, making several findings of fact and conclusions of law with respect to the Operator’s noncompliance with the DA and CCP based on a preponderance of the evidence; and WHEREAS, the CCP’s conditions of approval are incorporated into the DA through Article 18 of DA No. 18-015C; and
WHEREAS, the Hearing Officer determined that the Operator breached the DA and CCP in five material respects; and
WHEREAS, the Hearing Officer determined that Operator breached its payment obligations due to the Operator’s non-payment of fees and penalties due and owed to the City totaling $482,639.65, which continue to accumulate; and WHEREAS, the Operator continues to fail to meet its payment obligations and the total amount due to the City as of June 13, 2024 is $531,431.44 and WHEREAS, the Operator had breached its obligation to implement the project within the prescribed time periods contained within CCP No. 18-0015 Condition of Approval No. 30 (Time Limits), because there is no evidence that the Operator has made a diligent effort to implement the Project in any fashion inclusive of an application for a Zoning Clearance to permit the commercial cannabis activities; and WHEREAS, the Operator breached CCP No. 18-0015 Condition of Approval No. 28 (Construction Activities) for failing to obtain any requisite approvals from the City Planning Division and Building & Safety Division prior to conducting construction activities; and
WHEREAS, the Operator breached CCP No. 18-0015 Condition of Approval No. 27 (Commercial Cannabis Permit Modification) due to the Operator’s failure to receive City Manager approval for the design changes made to the facility; and WHEREAS, the Operator failed to comply due to the Operator’s failure to maintain all its necessary licenses to operate in the state of California, in violation of Article 21 of the DA; and
WHEREAS, the Hearing Officer has recommended that the City Council adopt an ordinance repealing Ordinance No. 700 terminating DA18-015C and revoke the related ATTACHMENT A Page 180 of 330
Ordinance No. 755

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interest in CCP No. 18-0015; and
WHEREAS, pursuant to state law and the CMC, the Planning Commission duly noticed, agendized, and conducted a public hearing on this matter on May 14, 2024; and WHEREAS, the Planning Commission considered all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents relating to the repeal of Ordinance No. 700; and
WHEREAS, after the close of such public hearing, the Planning Commission adopted Resolution No. 2024-16, attached hereto and incorporated by reference as Exhibit “C”, recommending the City Council repeal Ordinance No. 700 and terminate related DA No. 18-015C; and
WHEREAS, pursuant to state law and the CMC, the City Council duly noticed, agendized, and conducted a public hearing on this matter; and WHEREAS, the City Council considered all public comments received before and during the public hearing, the presentation by City staff, the relevant staff report, administrative record, and all other pertinent documents relating to the repeal of Ordinance No. 700; and
WHEREAS, after the close of such public hearing, the City Council introduced and adopted by first reading Ordinance No. 755, repealing Ordinance No. 700 and terminating related DA No. 18-015C.

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

SECTION 1. RECITALS
That the above Recitals are true and correct and are incorporated as though fully set forth herein.

SECTION 2. ADOPTION OF HEARING OFFICER’S FINDINGS OF FACT AND

CONCLUSIONS OF LAW
The City Council has reviewed and considered the Decision by the Hearing Officer (Exhibit “B”) issued on February 15, 2024, on this matter. For the reasons stated in the Decision and as recommended by the Planning Commission (Exhibit “C”), the City Council adopts the Hearing Officer’s findings of fact and conclusions of law as its own and determines that Staple Room, LLC is not in compliance with the terms and conditions of the Development Agreement No. 18-015C and finds that Staple Room, LLC is in default of its contractual obligations set forth in said Development Agreement and has breached its Conditions of Approval for CCP No. 18-0015 by a showing of the preponderance of the evidence.

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Ordinance No. 755

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SECTION 3. TERMINATION OF DEVELOPMENT AGREEMENT
Pursuant to Article 19(d) of the Development Agreement, the City Council may terminate Development Agreement No.18-015C in its entirety. For the reasons stated in the Decision and as recommended by the Planning Commission, the City Council hereby adopts this Ordinance repealing Ordinance No. 700 terminating DA No. 18-015C in its entirety.

SECTION 5. CALIFORNIA ENVIRONMENTAL QUALITY ACT
The City Council has determined that this Ordinance is categorically exempt from the California Environmental Quality Act (“CEQA”) (Pub. Res. Code § 21000 et seq.) and CEQA Guidelines (Cal. Code Regs., tit. 14, § 21000 et seq.) pursuant to CEQA Guidelines Section 15321 (Class 21) because the repeal of Ordinance No. 700 and termination of DA No. 18-015C is an enforcement action to revoke an entitlement interest.

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Ordinance No. 755

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PASSED, APPROVED, AND ADOPTED by the City Council of the City of Cudahy at the regular meeting of this ______ day of _____ 2024. ______________________________
Jose R. Gonzalez
Mayor
ATTEST:
____________________________
Richard Iglesias
City Clerk
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Ordinance No. 755

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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. 755 was introduced for a first reading on the _____ day of ____ 2024 and approved for a second reading and adopted by said Council at its regular meeting held on the ______ day of ______ 2024 by the following vote, to-wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Richard Iglesias
City Clerk
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Ordinance No. 755

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EXHIBIT “A”
EVIDENCE SUBMITTED BY THE CITY (“ADMINISTRATIVE RECORD”) ATTACHMENT A Page 185 of 330
Ordinance No. 755

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EXHIBIT “B”

HEARING OFFICER DECISION AND ORDER
ATTACHMENT A Page 186 of 330
Ordinance No. 755

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EXHIBIT “C”

PLANNING COMMISSION RESOLUTION
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STAFF REPORT
Date: August 20, 2024
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Juan Arauz, AICP, Community Development Director
Subject: Adoption by Second Reading of Ordinance No. 741 Amending Cudahy Municipal Code Section 10.04.020 (Vehicle Weight Limits) by adding Patata Street to the list of streets where vehicles exceeding 6,000 pounds are prohibited.

RECOMMENDATION
Staff recommends that the City Council adopt by second reading Ordinance No. 741 (Attachment A), an amendment to the Cudahy Municipal Code (“CMC”) Section

10.04.020 (Vehicle Weight Limits) by adding Patata Street to the list of streets where vehicles exceeding 6,000 pounds are prohibited.

BACKGROUND
Location
Patata Street is located at the southern boundary of the City limits between Atlantic Avenue to the west, Wilcox Avenue to the east, and a Union Pacific Railroad right-of-way to the south.

Within the City limits, Patata Street is approximately 1,150 feet long and 35 feet wide, and has two one-way lanes providing east-west vehicular movement. Patata Street is also improved with a four-foot wide pedestrian walkway on the northern boundary of the street. An aerial view of Patata Street is shown in Figure 1, below.

Figure 1 - Patata Street Aerial
Item Number
12J

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General Plan and Zoning
Properties along Patata Street are comprised of vacant parcels, warehouse buildings containing light industrial and commercial uses, and a commercial cannabis facility. Properties along Patata Street have General Plan Land Use and Zoning designations of Entertainment and Light Industrial. These designations are shown in the image below.

Patata Street Zoning Designation
Under the General Plan Land Use Element and Title 20 of the CMC (“Zoning Code”), the Entertainment designation and corresponding zoning designation is intended to attract pedestrian oriented retail/commercial uses, and prohibits automotive maintenance and trucking related businesses. Specifically, the Entertainment designation is to provide opportunities for retail, theaters, restaurants, commercial recreation (bowling alley, skating rinks), gaming, dining, brew pubs and wineries, residential, lodging and similar business activities. City of Cudahy, 2040 General Plan (“General Plan”), p. LUE-28. Prohibited uses

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include “stand alone residential, automotive maintenance and garages, light industrial, manufacturing, mini-storage, and trucking and transportation-related uses.” General Plan, p.

LUE-28.

Pursuant to the General Plan, industrial designations, inclusive of the Light Industrial designation are intended to support a “range of manufacturing, research and development, start, and clean use opportunities” rather than support heavy manufacturing activities. General Plan, p. LUE-21. The General Plan prohibits “uses that include heavy manufacturing, new warehousing and storage, new trucking and truck lots, and new freight/good storage as a primary use.” General Plan, p. 24.

Street Classification
In the road hierarchy there are generally three major classifications: arterial, collector, and local. Arterial streets are major thoroughfares designed to carry large amounts of traffic, whereas collector streets are designed to carry traffic from local streets onto arterials, and local streets are designed to carry low volumes of traffic at lower speed limits. The Circulation Element of the General Plan classifies Patata Street as a local street.

ANALYSIS
Section 10.04.020(1) of the CMC prohibits vehicles in excess of 6,000 pounds from being used, operated, towed, driven across or parked properties to certain listed streets. Most of the streets listed is Section 10.04.020(1) are designated as local streets. City staff is recommending an amendment to Section 10.04.020(1) of the CMC that would prohibit vehicles in excess of 6,000 pounds on Patata Street. The reasons for this recommendation are described below.

General Plan
The General Plan Circulation Element classifies Patata Street as a local street. Local streets are found primarily in pedestrian-oriented downtowns and residential districts with narrow roads and lower vehicle speed limits. The intersection of Atlantic Avenue and Patata Street has a General Plan Land Use designation of Entertainment, which is intended for pedestrian-oriented commercial uses and prohibits heavy vehicle and truck related businesses. Prohibited uses in the Entertainment Land Use Designation include automotive maintenance and garages, light industrial, manufacturing, mini-storage and truck and transportation-related uses. Mixed-use developments containing residential units are also permitted in the Entertainment area. The posted speed limit on Patata Street is 35 miles per hour. Therefore, because the intersection of Patata Street and Atlantic Avenue has a Land Use designation of Entertainment, and pedestrian-oriented commercial and mixed-use development is permitted in the Entertainment designation. Further east on Patata Street, the properties adjacent to the street carry a Light Industrial Land Use designation, which prohibits heavy manufacturing activities,

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new warehousing and storage, new trucking and truck lots, and new freight/goods storage as a primary use. The prohibition of vehicles in excess of 6,000 pounds on Patata Street would be consistent with the City’s General Plan.

City Zoning Code
Section 20.20.020 (Use Regulations) of the CMC regulates the uses that are permitted, conditionally permitted, and prohibited within the Entertainment Zone. In the Entertainment Zone, uses permitted by-right include restaurants, art galleries, and residential dwellings (when part of a mixed-use development); whereas bars and breweries are conditionally permitted; and drive-throughs and vehicle storage are prohibited. In the Entertainment Zone, the CMC encourages pedestrian-oriented uses and prohibits businesses that rely on commercial trucks as part of their daily operations. Further, the Light Industrial zoning designation prohibits trucking terminals and other similar uses. Therefore, prohibiting vehicles in excess of 6,000 pounds on Patata Street is consistent with the CMC Section 20.20.020.

Proposed Truck Route
Presently, there are no licensed businesses on Patata Street that require daily use of heavy trucks. Existing manufacturing facilities and businesses that are otherwise located in the in the near vicinity would be able to continue to access main thoroughfares, such as Atlantic Avenue, through Wilcox Avenue and Cecelia Street. This “truck route” would adequately serve the uses in the vicinity that rely on commercial trucks as part of their daily operations. Figure 2 below depicts the streets that could be utilized in lieu of Patata Street if the attached ordinance were adopted.

Aerial of Truck Route without Patata Street

Further, pursuant to State law, Section 10.04.030 (Exceptions) of the CMC provides an exception to allow vehicles in excess of 6,000 pounds to use any street for:

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“…purpose of delivering materials to be used in the actual and bona fide conduct of a business located on such street or repair, alteration, remodeling, or construction…” This exception ensure that any business on Patata Street that requires the delivery of goods or mail to be serviced by vehicles in excess of 6,000 pounds. However, this exception does not apply to businesses that require use of heavy trucks as part of their daily business operations.

Therefore, prohibiting vehicles in excess of 6,000 pounds on Patata Street would leave an alternative truck route that would adequately serve uses in the vicinity.

Los Angeles Metropolitan Authority Regional Plan
The Los Angeles Metropolitan Authority (“LA Metro”) has been preparing for a new light rail transit line, the Southeast Gateway Line (previously, West Santa Ana Branch), that would connect southeast Los Angeles County to Downtown Los Angeles. This line would consist of nine new stations, a 14.5-mile segment connecting Artesia, Cerritos, Bellflower, Paramount, Downey, South Gate, Cudahy, Bell, Huntington Park, Vernon, unincorporated FlorenceFirestone and Downtown LA.

One of the proposed Southeast Gateway Line stations is located on Atlantic Avenue, south of Patata Street in the City of South Gate. The image below shows a plan view of the location of this station, one block from Cudahy city limits.

Proposed Southeast Gateway Line Station in South Gate
In preparation for the proposed light rail line, LA Metro has consulted with various cities, including Cudahy, to help plan future development around the vicinity of the station locations.

LA Metro’s specific objective is to facilitate private and public improvements that would complement and encourage ridership on the new light rail line. Public improvements include

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enhanced pedestrian sidewalks, crossings, street furniture and landscaping. Private improvements include Transient Oriented Developments (e.g., mixed-use residential developments) and pedestrian-oriented retail/commercial uses. Therefore, the proposed ordinance would be harmonious with LA Metro’s regional plan for a future light rail station.

Peer Review
To support staff’s assessment and recommendation to prohibit vehicles in excess of 6,000 pounds on Patata Street, Fehr and Peers was retained to provide an independent review and technical memorandum (Attachment “B”). Specifically, Fehr & Peers evaluated the related chapters of the CMC, city ordinances and adopted plans. The technical memorandum states that the City may amend the CMC to restrict heavy vehicles on Patata Street, there are no conflicts with the CMC, the General Plan, and access to commercial properties is not unduly restricted for conducting local business.

In its memorandum, Fehr and Peers concludes that the City may proceed with modifying the CMC to prohibit vehicles in excess of 6,000 pounds on Patata Street. Fehr and Peers also recommends that, in doing so, complementary actions such as signage communicating turn and access restrictions for heavy vehicles, should be added along Atlantic Avenue, Patata Street and Wilcox Avenue.

CONCLUSION
Staff’s recommendation to prohibit vehicles in excess of 6,000 pounds on Patata Street would be consistent with the City’s General Plan and the CMC. Further, existing businesses in the vicinity would not be adversely affected since no business on Patata Street relies on heavy truck for its daily operations, and an alternative truck route is provided along Cecelia Street and Wilcox Avenue.

CEQA
The action(s) have been assessed in accordance with the California Environmental Quality Act (“CEQA”) (Pub. Res. Code § 21000 et seq.), CEQA Guidelines (Cal, Code Regs., tit. 14, § 15000 et seq.) and the environmental regulations of the City. The Project is categorically exempt from the requirements of CEQA pursuant to CEQA Guidelines Section 15061(b)(3). This exemption applies to where it can be seen with certainty that there is no possibility that that the activity in question may have a significant effect on the environment.

FINANCIAL IMPACT
None.

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ATTACHMENTS
A. Proposed Ordinance No. 741

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ORDINANCE NO. 741

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY

OF CUDAHY, CALIFORNIA AMENDING SECTION

10.04.020(1) (VEHICLE WIEGHT LIMITS) OF THE
CUDAHY MUNICIPAL CODE.

WHEREAS, the City of Cudahy (“City”) is a general law city, incorporated under the laws of the State of California; and
WHEREAS, pursuant to the City’s power, the City may enact and enforce laws within its boundaries which promotes the public health, morals, safety, or general welfare of the community, and are not in conflict with the general laws; and WHEREAS, the City finds it necessary to amend the Cudahy Municipal Code (CMC) to add provisions that would prohibit specified large vehicles in consistent with the intent of the City’s General Plan through proposed Ordinance No. 741; and WHEREAS, the City’s General Plan Circulation Element designates Patata Street as a Local Street, and allowing vehicles in excess of 6,000 pounds on Patata Street is in conflict of the classification of a Local Street; and WHEREAS, the City’s General Plan Land Use Element has two designations for properties abutting Patata Street, Entertainment and Light Industrial; and WHERAS, both land use designations discourage and/or prohibit activities involving high-volume of truck traffic and other automotive uses such as new trucking and truck lots and automotive maintenance and garages; and WHEREAS, properties on Patata Street have Zoning designations of Entertainment and Light Industrial. Pursuant to CMC Section 20.20.020 (Use Regulations), uses involving high-volume truck traffic, including distribution centers and truck terminals, are prohibited; and
WHEREAS, CMC Section 10.04.020(1) (Vehicle Weight Limits) lists streets within the City where vehicles in excess of 6,000 pounds are prohibited; and WHEREAS, proposed Ordinance No. 741 would add Patata Street to the list of streets where vehicles in excess of 6,000 pounds are prohibited; and WHEREAS, the City Council conducted a duly noticed public hearing on this matter on May 7, 2024, wherein the City Council considered all public comments received both before and during the public hearing, the presentation by City staff, the relevant staff report and other pertinent documents regarding proposed Ordinance No. 741; and
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Ordinance No. 741

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WHEREAS, on May 7, 2024, the City Council adopted Ordinance No. 741amending the CMC; and
WHEREAS, adoption of this Ordinance would not adversely affect existing permitted businesses on Patata Street; and
WHEREAS, the City desires to bring Patata Street into compliance with the intent of the City’s General Plan and Municipal Code.

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 10.04.020(1) is hereby amended by adding section

10.04.020(1)(k) to read as follows (unless otherwise noted, changes are shown in bold or strikethrough text):

Section 10.04.020 Vehicle Weight Limits.
(1) Notwithstanding the provisions of CMC 10.04.010, no vehicle exceeding 6,000 pounds in gross unladen weight, except a vehicle which is subject to the provisions of Section 1031 through 1036 of the California Public Utilities Code, may be used, operated, towed, driven on or across, or parked on property on or adjacent to the following streets:
(a) Live Oak, Elizabeth, Clara and Santa Ana Streets from the east city limits to the west city limits;
(b) Otis Street from the north city limits to the south city limits; (c) Cecelia Street from Wilcox Avenue to Ferndale Avenue; (d) The entire length of Ferndale Avenue;
(e) Cecelia Street and Fostoria Street from Ferndale Avenue to the east city limits;
(f) Wilcox Avenue from the north city limits to Cecelia Street; (g) Walnut Street from Otis Avenue to the west city limits; (h) Flower Street from Otis Avenue to the west city limits; (i) Hartle Street from Atlantic Avenue to Otis Avenue; and (j) Bear Avenue from the north city limits to Flower Street; and

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Ordinance No. 741

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(k) Patata Street from Atlantic Avenue to Wilcox Street. (2) Every person who violates this section shall be punished by a fine equal to the amount specified in California Vehicle Code Section 42030(a); however, in no event shall such fine be less than $100.00 nor more than $500.00. (3) The following exemptions shall apply to this section. (a) Vehicle weight limits shall not apply to passenger vehicle that does not transport persons for hire. This includes station wagons, sedans, vans, and sport utility vehicles.
(b) Roaming sidewalk vendor as defined in Section 5.08.1515 of the Cudahy Municipal Code, subject to all applicable requirements as described. (c) Pursuant to California Vehicle Code Section 35703, any vehicle making pickups or deliveries of goods, wares, and merchandise from or to any building or structure for the purpose of delivering materials to be used in the actual and bona fide repair, alteration, remodeling, or construction of any building or structure for which a building permit has previously been obtained. This exemption shall not apply to vehicles in excess of 6,000 pounds associated with required daily business operations.

Section 3. CEQA. This Ordinance has been assessed in accordance with the California Environmental Quality Act (“CEQA”) (Pub. Res. Code § 21000 et seq.), CEQA Guidelines (Cal, Code Regs., tit. 14, § 15000 et seq.) and the environmental regulations of the City. Adoption of this Ordinance is categorically exempt from the requirements of CEQA pursuant to CEQA Guidelines Section 15061(b)(3). This exemption applies to where it can be seen with certainty that there is no possibility that that the activity in question may have 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.

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Ordinance No. 741

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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 in full force and effect thirty (30) days after adoption.

PASSED AND ADOPTED by the City Council of the City of Cudahy at a regular meeting held in the month of _______ on the ____ of 2024.
________________________________
Jose R. Gonzalez
Mayor
ATTEST:
_________________________________
Richard Iglesias
City Clerk

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 1 of 3

STAFF REPORT
Date: August 20, 2024
To: Honorable Mayor/Chair and City Council/Agency Members From: From: Alfonso Noyola, City Manager/Executive Director By: Joshua Calhoun, Finance Director
Subject: Approval of Professional Services Agreement for Comprehensive Fee Study Services

RECOMMENDATION
The City Council is requested to award of a Professional Services Agreement (PSA) to Willdan Financial Services to provide Comprehensive Fee Study Services not to exceed $27,700.

BACKGROUND

1. On May 20, 2024, the City issued a Request for Proposals (RFP) for Comprehensive Fee Study Services.

2. On June 20, 2024, the proposal due date closed, the City received four proposals.

3. On July 22, 2024, the City reviewed all proposals.

4. On July 24, 2024, the City notified Willdan Financial Services that it was the top-ranked in the RFP process and would be recommended to Council for contract approval.

ANALYSIS
The Service Fee Study is designed to determine the full costs incurred by the City to support the various activities for which the City charges service fees. Although, it is not feasible for the City to achieve 100% cost recovery, the study identifies reasonable full cost recovery for City services and the recommended level of recovery as determined through discussion with departmental staff.

Item Number
14A

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 2 of 3

Updated service fees are significant to city operations as they identify the true cost of providing a service, ensuring that there is adequate funding to minimize staff shortages and decreases in quality of services.

Since the last fee study that was completed and approved by the City Council in May 2022, there have been severalsignificant events that would change the cost relating to the fees. First being a comprehensive salary study which marked most staff positions to market levels for the first time in over a decade. Secondly, is overall inflation that has increased 7.5% since the last study was conducted. Additionally, the structure of city personnel has changed in how the services are done and performed.

Following best practices, the City issued an RFP to provide comprehensive fee study services.

The City received four (4) proposals during the RFP phase. The four price submittal summaries are below:

Firm Name/State Price
Willdan Financial Services $27,700
Revenue & Cost Specialist, LLC $30,800
Government Consulting Partners, Inc. $41,485
Matrix Consulting Group $53,800
Due to Willdan Financial Service’s extensive experience with cities, expertise, cost, and ability to perform the task requested in the RFP, the City deemed Willdan Financial Service to be the most responsive, and responsible bidder. If approved, Wildan Financial Services would provide comprehensive fee study services.

CONCLUSION
Comprehensive Fee Study services are necessary for city operations in order to recover cost of services and to maintain or increase service capacity. City staff recommends the City Council approve the agreement with Willdan Financial Services, attached as Exhibit A, to provide these services. Adoption of the fees that results of the study will be presented separately to the City Council once completed for discussion and consideration.

STRATEGIC PLAN CORRELATION
None.

FINANCIAL IMPACT
The amount for the comprehensive fee study services is not to exceed $27,700. The services will be funded through the City’s general fund.

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 3 of 3

ATTACHMENTS
A. Draft Professional Services Agreement between the City of Cudahy and Willdan Financial Services.

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2024

PROFESSIONAL SERVICES AGREEMENT
(Engagement: Comprehensive Fee Study)
(Parties: Willdan Financial Services and City of Cudahy) THIS PROFESSIONAL SERVICES AGREEMENT (hereinafter, “Agreement”) is made and entered into this ___________ day of 2023 (hereinafter, the “Effective Date”) by and between the CITY OF CUDAHY, a municipal corporation (hereinafter, “CITY”) and WILLDAN FINANCIAL SERVICES, (hereinafter, “CONSULTANT”). For the purposes of this Agreement, CITY and CONSULTANT may be referred to collectively by the capitalized term “Parties.” The capitalized term “Party” may refer to CITY or CONSULTANT interchangeably, as appropriate.

RECITALS
WHEREAS, CITY requires a qualified Comprehensive Fee Study Consultant; and WHEREAS, CITY staff has determined that CONSULTANT possesses the experience, skills and training necessary to competently provide such services to CITY; and
NOW, THEREFORE, for and in consideration of the mutual covenants and conditions herein contained, CITY and CONSULTANT agree as follows:

ENGAGEMENT TERMS

1.1TERM: This Agreement shall have a term commencing from the Effective Date through June 30, 2025 (hereinafter, the “Term”) . Nothing in this Section shall operate to prohibit or otherwise restrict the CITY’s ability to terminate this Agreement at any time for convenience or for cause as provided under Article V (Termination), below.

1.2 SCOPE OF SERVICES:

A. Subject to the terms and conditions set forth in this Agreement and all exhibits attached and incorporated hereto, CONSULTANT agrees to perform the services and tasks set forth in Exhibit “A” (hereinafter referred to as the “Scope of Work”). CONSULTANT further agrees to furnish to CITY all labor, materials, tools, supplies, equipment, services, tasks and incidental and customary work necessary to competently perform and timely complete the services and tasks set forth in the Scope of Work. For the purposes of this Agreement, the aforementioned services and tasks set forth in the Scope of Work shall hereinafter be referred to generally by the capitalized term “Work”.

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1.3 COMPENSATION: CONSULTANT shall perform the Work in accordance with the “Scope of Work” which is attached and incorporated hereto as Exhibit “B” (hereinafter, the “COMPENSATION RATE”). The foregoing notwithstanding, CONSULTANT’s total compensation for the performance of all Work contemplated under this Agreement, will not exceed the aggregate budgeted sum of TWENTYSEVEN THOUSAND SEVEN HUNDRED DOLLARS ($27,700) (hereinafter, the “Not-to-Exceed Sum”) during the Term of this Agreement, unless such added expenditure is first approved by the City Council. In the event CONSULTANT’s charges are projected to exceed the Aggregate Not-to-Exceed Sum prior to the expiration of this Agreement, CITY may suspend CONSULTANT’s performance pending CITY approval of any anticipated expenditures in excess of the Aggregate Not-to-Exceed Sum or any other CITY approved amendment to the compensation terms of this Agreement.

1.4 PAYMENT OF COMPENSATION: The Not-to-Exceed Sum will be paid to CONSULTANT in monthly increments as the Work is completed. Following the conclusion of each calendar month, CONSULTANT will submit to CITY an itemized invoice indicating the services performed and tasks completed during the recently concluded calendar month, including services and tasks performed and the reimbursable out-of-pocket expenses incurred. If the amount of CONSULTANT’s monthly compensation is a function of hours worked by CONSULTANT’s personnel, the invoice should indicate the number of hours worked in the recently concluded calendar month, the persons responsible for performing the Work, the rate of compensation at which such services and tasks were performed, the subtotal for each task and service performed and a grand total for all services performed. Within thirty (30) calendar days of receipt of each invoice, CITY will notify CONSULTANT in writing of any disputed amounts included in the invoice.

Within forty-five (45) calendar days of receipt of each invoice, CITY will pay all undisputed amounts included on the invoice. CITY will not withhold applicable taxes or other authorized deductions from payments made to CONSULTANT.

1.5 ACCOUNTING RECORDS: CONSULTANT will maintain complete and accurate records with respect to all matters covered under this Agreement for a period of three (3) years after the expiration or termination of this Agreement. CITY will have the right to access and examine such records, without charge, during normal business hours. CITY will further have the right to audit such records, to make transcripts therefrom and to inspect all program data, documents, proceedings, and activities.

1.6 ABANDONMENT BY CONSULTANT: In the event CONSULTANT ceases to perform the Work agreed to under this Agreement or otherwise abandons the undertaking contemplated herein prior to the expiration of this Agreement or prior to completion of any or all tasks set forth in the Scope of Services, CONSULTANT will deliver to CITY immediately and without delay, all materials, records and other work product prepared or obtained by CONSULTANT in the performance of this Agreement. Furthermore, CONSULTANT will only be compensated for the reasonable value of the services, tasks and other Work performed up to the time

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of cessation or abandonment, less a deduction for any damages, costs or additional expenses which CITY may incur as a result of CONSULTANT’s cessation or abandonment.

II.

PERFORMANCE OF AGREEMENT

2.1 CITY’S REPRESENTATIVE: The CITY hereby designates Joshua Calhoun, Finance Director (hereinafter, the “CITY Representative”) to act as its representative for the performance of this Agreement. The CITY Representative or their designee will act on behalf of the CITY for all purposes under this Agreement. CONSULTANT will not accept directions or orders from any person other than the CITY Representative or their designee.

2.2 CONSULTANT REPRESENTATIVE: CONSULTANT hereby designates Chris Fisher, Vice President / Director to act as its representative for the performance of this Agreement (hereinafter, “CONSULTANT Representative”). CONSULTANT Representative will have full authority to represent and act on behalf of the CONSULTANT for all purposes under this Agreement. CONSULTANT Representative or designee will supervise and direct the performance of the Work, using his best skill and attention, and will be responsible for all means, methods, techniques, sequences and procedures and for the satisfactory coordination of all portions of the Work under this Agreement. Notice to the CONSULTANT Representative will constitute notice to CONSULTANT.

2.3 COORDINATION OF SERVICE; CONFORMANCE WITH REQUIREMENTS:

CONSULTANT agrees to work closely with CITY staff in the performance of the Work and this Agreement and will be available to CITY staff and the CITY Representative at all reasonable times. All work prepared by CONSULTANT will be subject to inspection and approval by CITY Representative or his or her designees.

2.4 STANDARD OF CARE; PERFORMANCE OF EMPLOYEES: CONSULTANT represents, acknowledges and agrees to the following:

A. CONSULTANT will perform all Work skillfully, competently and to the highest standards of CONSULTANT’s profession;
B. CONSULTANT shall at all times employ such force, plant, materials, and tools as will be sufficient in the opinion of the CITY to perform the Services within the time limits established, and as provided herein. It is understood and agreed that said tools, equipment, apparatus, facilities, labor, and material shall be furnished and said Services performed and completed as required by the Agreement, and subject to the approval of the CITY’s authorized representative.

C. CONSULTANT will perform all Work in a manner reasonably satisfactory to the CITY;

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D. CONSULTANT will comply with all applicable federal, state and local laws and regulations, including the conflict of interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.) CONSULTANT shall be liable for all violations of such laws and regulations in connection with Services. If CONSULTANT performs any work knowing it to be contrary to such laws, rules and regulations, CONSULTANT shall be solely responsible for all costs arising therefrom; E. CONSULTANT understands the nature and scope of the Work to be performed under this Agreement as well as any and all schedules of performance;
F. All of CONSULTANT’s employees and agents possess sufficient skill, knowledge, training and experience to perform those services and tasks assigned to them by CONSULTANT; and
G. All of CONSULTANT’s employees and agents (including, but not limited to, subcontractors and subconsultants) possess all licenses, permits, certificates, qualifications and approvals of whatever nature that are legally required to perform the tasks and services contemplated under this Agreement and all such licenses, permits, certificates, qualifications and approvals will be maintained throughout the term of this Agreement and made available to CITY for copying and inspection.

The Parties acknowledge and agree that CONSULTANT will perform, at CONSULTANT’s own cost and expense and without any reimbursement from CITY, any services necessary to correct any errors or omissions caused by CONSULTANT’s failure to comply with the standard of care set forth under this Section or by any like failure on the part of CONSULTANT’s employees, agents, contractors, subcontractors and subconsultants. Such effort by CONSULTANT to correct any errors or omissions will be commenced immediately upon their discovery by either Party and will be completed within seven (7) calendars days from the date of discovery or such other extended period of time authorized by the CITY Representative in writing and in her sole and absolute discretion. The Parties acknowledge and agree that CITY’s acceptance of any work performed by CONSULTANT or on CONSULTANT’s behalf will not constitute a release of any deficiency or delay in performance. The Parties further acknowledge, understand and agree that CITY has relied upon the foregoing representations of CONSULTANT, including but not limited to the representation that CONSULTANT possesses the skills, training, knowledge and experience necessary to perform the Work skillfully, competently and to the highest standards of CONSULTANT’s profession.

2.5 ASSIGNMENT: The skills, training, knowledge and experience of CONSULTANT are material to CITY’s willingness to enter into this Agreement. Accordingly, CITY has an interest in the qualifications and capabilities of the person(s) who will perform the services and tasks to be undertaken by CONSULTANT or on behalf

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of CONSULTANT in the performance of this Agreement. In recognition of this interest, CONSULTANT agrees that it will not assign or transfer, either directly or indirectly or by operation of law, this Agreement or the performance of any of CONSULTANT’s duties or obligations under this Agreement without the prior written consent of the CITY. In the absence of CITY’s prior written consent, any attempted assignment or transfer will be ineffective, null and void and will constitute a material breach of this Agreement.

2.6 SUBSTITUTION OF KEY PERSONNEL: CONSULTANT has represented to CITY that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, CONSULTANT may substitute other personnel of at least equal competence upon written approval of CITY. In the event that CITY and CONSULTANT cannot agree as to the substitution of key personnel, CITY shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the CITY, or who are determined by the CITY to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the CONSULTANT at the request of the CITY.

2.7 CONTROL AND PAYMENT OF SUBORDINATES; INDEPENDENT
CONTRACTOR: The Work will be performed by CONSULTANT or under CONSULTANT’s strict supervision. CONSULTANT will determine the means, methods and details of performing the Work subject to the requirements of this Agreement. CITY retains CONSULTANT on an independent contractor basis and not as an employee. CONSULTANT reserves the right to perform similar or different services for other principals during the term of this Agreement, provided such work does not unduly interfere with CONSULTANT’s competent and timely performance of the Work contemplated under this Agreement and provided the performance of such services does not result in the unauthorized disclosure of CITY’s confidential or proprietary information. Any additional personnel performing the Work under this Agreement on behalf of CONSULTANT are not employees of CITY and will at all times be under CONSULTANT’s exclusive direction and control. CONSULTANT will pay all wages, salaries and other amounts due such personnel and will assume responsibility for all benefits, payroll taxes, Social Security and Medicare payments and the like. CONSULTANT will be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: Social Security taxes, income tax withholding, unemployment insurance, disability insurance, workers’ compensation insurance and the like.

2.8 REMOVAL OF EMPLOYEES OR AGENTS: If any of CONSULTANT’s officers, employees, agents, contractors, subcontractors or subconsultants is determined by the CITY Representative to be uncooperative, incompetent, a threat to the adequate or timely performance of the tasks assigned to CONSULTANT, a threat to persons or property, or if any of CONSULTANT’s officers, employees, agents, contractors, subcontractors or subconsultants fail or refuse to perform the Work in

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a manner acceptable to the CITY, such officer, employee, agent, contractor, subcontractor or subconsultant will be promptly removed by CONSULTANT and will not be reassigned to perform any of the Work.

2.9 COMPLIANCE WITH LAWS: CONSULTANT will keep itself informed of and in compliance with all applicable federal, state or local laws to the extent such laws control or otherwise govern the performance of the Work. CONSULTANT’s compliance with applicable laws will include, without limitation, compliance with all applicable Cal/OSHA requirements and applicable regulations of the U.S.

Department of Housing and Urbanization.

2.10 NON-DISCRIMINATION: CONSULTANT represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

2.11 INDEPENDENT CONTRACTOR STATUS: The Parties acknowledge, understand and agree that CONSULTANT and all persons retained or employed by CONSULTANT are, and will at all times remain, wholly independent contractors and are not officials, officers, employees, departments or subdivisions of CITY.

CONSULTANT will be solely responsible for the negligent acts and/or omissions of its employees, agents, contractors, subcontractors and subconsultants.

CONSULTANT and all persons retained or employed by CONSULTANT will have no authority, express or implied, to bind CITY in any manner, nor to incur any obligation, debt or liability of any kind on behalf of, or against, CITY, whether by contract or otherwise, unless such authority is expressly conferred to CONSULTANT under this Agreement or is otherwise expressly conferred by CITY in writing.

III.

INSURANCE

3.1 DUTY TO PROCURE AND MAINTAIN INSURANCE: Prior to the beginning of and throughout the duration of the Work, CONSULTANT will procure and maintain policies of insurance that meet the requirements and specifications set forth under this Article. CONSULTANT will procure and maintain the following insurance coverage, at its own expense:

A. Commercial General Liability Insurance: CONSULTANT will procure and maintain Commercial General Liability Insurance (“CGL Coverage”) as broad as Insurance Services Office Commercial General Liability coverage (occurrence Form CG 0001) or its equivalent. Such CGL Coverage will have minimum limits of no less than One Million Dollars ($1,000,000.00) per occurrence and Two Million Dollars ($2,000,000.00) in the general aggregate for bodily injury, personal injury, property damage, operations, products and completed operations, and contractual liability.

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B. Automobile Liability Insurance: CONSULTANT will procure and maintain Automobile Liability Insurance as broad as Insurance Services Office Form Number CA 0001 covering Automobile Liability, Code 1 (any auto). Such Automobile Liability Insurance will have minimum limits of no less than Two Million Dollars ($2,000,000.00) per accident for bodily injury and property damage.

C. Workers’ Compensation Insurance/ Employer’s Liability Insurance: A policy of workers’ compensation insurance in such amount as will fully comply with the laws of the State of California and which will indemnify, insure and provide legal defense for both CONSULTANT and CITY against any loss, claim or damage arising from any injuries or occupational diseases occurring to any worker employed by or any persons retained by CONSULTANT in the course of carrying out the Work contemplated in this Agreement.

3.2 ADDITIONAL INSURED REQUIREMENTS: The CGL Coverage and the Automobile Liability Insurance will contain an endorsement naming the CITY and CITY’s elected and appointed officials, officers, employees, agents and volunteers as additional insureds.

3.3 REQUIRED CARRIER RATING: All varieties of insurance required under this Agreement will be procured from insurers admitted in the State of California and authorized to issue policies directly to California insureds. Except as otherwise provided elsewhere under this Article, all required insurance will be procured from insurers who, according to the latest edition of the Best’s Insurance Guide, have an A.M. Best’s rating of no less than A:VII. CITY may also accept policies procured by insurance carriers with a Standard & Poor’s rating of no less than BBB according to the latest published edition the Standard & Poor’s rating guide. As to Workers’ Compensation Insurance/ Employer’s Liability Insurance, the CITY Representative is authorized to authorize lower ratings than those set forth in this Section.

3.4 PRIMACY OF CONSULTANT’S INSURANCE: All policies of insurance provided by CONSULTANT will be primary to any coverage available to CITY or CITY’s elected or appointed officials, officers, employees, agents or volunteers. Any insurance or self-insurance maintained by CITY or CITY’s elected or appointed officials, officers, employees, agents or volunteers will be in excess of CONSULTANT’s insurance and will not contribute with it.

3.5 WAIVER OF SUBROGATION: All insurance coverage provided pursuant to this Agreement will not prohibit CONSULTANT or CONSULTANT’s officers, employees, agents, subcontractors or subconsultants from waiving the right of subrogation prior to a loss. CONSULTANT hereby waives all rights of subrogation against CITY, its officials, officers, employees, agents and volunteers.

3.6 VERIFICATION OF COVERAGE: CONSULTANT acknowledges, understands

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and agrees, that CITY’s ability to verify the procurement and maintenance of the insurance required under this Article is critical to safeguarding CITY’s financial well-being and, indirectly, the collective well-being of the residents of the CITY.

Accordingly, CONSULTANT warrants, represents and agrees that it will furnish CITY with original certificates of insurance and endorsements evidencing the coverage required under this Article on forms satisfactory to CITY in its sole and absolute discretion. The certificates of insurance and endorsements for each insurance policy will be signed by a person authorized by that insurer to bind coverage on its behalf, and will be on forms provided by the CITY if requested. All certificates of insurance and endorsements will be received and approved by CITY as a condition precedent to CONSULTANT’s commencement of any Work or any of the Work. Upon CITY’s written request, CONSULTANT will also provide CITY with certified copies of all required insurance policies and endorsements.

3.7 CONSULTANT shall obtain and furnish to CITY a professional liability insurance policy covering the work to be performed hereunder. The policy shall provide coverage for CONSULTANT’s professional liability in an amount not less than One Million Dollars ($1,000,000) per occurrence and in the aggregate. The abovementioned insurance shall not contain a self-insured retention, deductible, or any other similar form of limitation on the required coverage except with the express written consent of CITY. A claims-made policy shall be acceptable if the policy further provides that; (i) the policy restrictive date coincides with or precedes the initiation of the Scope of Work (including subsequent policies purchased as renewals or replacements); and (ii) CONSULTANT shall notify the CITY of circumstances or incidents that might give rise to future claims. If insurance is terminated for any reason, CONSULTANT agrees to purchase an extended reporting provision of at least two (2) years to report claims arising from Work performed in connection with this Agreement.

3.8 FAILURE TO MAINTAIN COVERAGE: In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced immediately so as to avoid a lapse in the required coverage, CITY has the right but not the duty to obtain the insurance it deems necessary, and any premium paid by CITY will be promptly reimbursed by CONTRACTOR or CITY will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, CITY may cancel this Agreement effective upon notice.

3.9 SPECIAL RISKS OR CIRCUMSTANCES. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

IV.

INDEMNIFICATION

4.1 The Parties agree that CITY and CITY’s elected and appointed officials, officers,

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employees, agents and volunteers (hereinafter, the “CITY Indemnitees”) should, to the fullest extent permitted by law, be protected from any and all loss, injury, damage, claim, lawsuit, cost, expense, attorneys’ fees, litigation costs, or any other cost arising out of or in any way related to the performance of this Agreement. Accordingly, the provisions of this indemnity provision are intended by the Parties to be interpreted and construed to provide the CITY Indemnitees with the fullest protection possible under the law. CONSULTANT acknowledges that CITY would not enter into this Agreement in the absence of CONSULTANT’s commitment to indemnify, defend and protect CITY as set forth herein Notwithstanding the foregoing, to the extent CONSULTANT’s services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to Claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the CONSULTANT.

CONSULTANT’s obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the CITY, its officials, officers, employees, agents or volunteers.

4.2 To the fullest extent permitted by law, CONSULTANT shall indemnify, hold harmless and defend the CITY Indemnitees from and against all liability, loss, damage, expense, cost (including without limitation reasonable attorneys’ fees, expert fees and all other costs, and fees of litigation) of every nature arising out of or in connection with CONSULTANT’s performance of work hereunder or its failure to comply with any of its obligations contained in this Agreement, except such loss or damage which is caused by the sole negligence or willful misconduct of the CITY.

4.3 CITY shall have the right to offset against the amount of any compensation due to CONSULTANT under this Agreement, any amount due to CITY from CONSULTANT as a result of CONSULTANT’s failure to either pay CITY promptly for any costs associated with CONSULTANT’s obligations to indemnify the CITY Indemnitees under this Article, or related to CONSULTANT’s failure to either (i) pay taxes on amounts received pursuant to this Agreement or (ii) comply with applicable workers’ compensation laws.

4.4 The obligations of CONSULTANT under this Article will not be limited by the provisions of any workers’ compensation act or similar act. CONSULTANT expressly waives its statutory immunity under such statutes or laws as to CITY and CITY’s elected and appointed officials, officers, employees, agents, and volunteers.

4.5 CONSULTANT agrees to obtain executed indemnity agreements with provisions identical to those set forth herein this Article from each and every subcontractor or any other person or entity involved by, for, with or on behalf of CONSULTANT in the performance of this Agreement. In the event CONSULTANT fails to obtain such indemnity obligations from others as required herein, CONSULTANT agrees to be fully responsible and indemnify, hold harmless and defend CITY and CITY’s elected and appointed officials, officers, employees, agents, and volunteers from and against any and all claims and losses, costs or expenses for any damage due

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to death or injury to any person and injury to any property resulting from any alleged intentional, reckless, negligent, or otherwise wrongful acts, errors or omissions of CONSULTANT’s subcontractors or any other person or entity involved by, for, with or on behalf of CONSULTANT in the performance of this Agreement. Such costs and expenses shall include reasonable attorneys’ fees incurred by counsel of CITY’s choice.

4.6 CITY does not, and shall not waive any rights that it may possess against CONSULTANT because of the acceptance by CITY, or the deposit with CITY, of any insurance policy or certificate required pursuant to this Agreement. This hold harmless and indemnification provision shall apply regardless of whether or not any insurance policies are determined to be applicable to the claim, demand, damage, liability, loss, cost, or expense.

4.7 This Article and all provisions contained herein (including but not limited to the duty to indemnify, defend, and hold free and harmless) shall survive the termination or normal expiration of this Agreement and is in addition to any other rights or remedies which the CITY may have at law or in equity.

TERMINATION

5.1 TERMINATION WITHOUT CAUSE: CITY may immediately terminate this Agreement at any time for convenience and without cause by giving prior written notice of CITY’s intent to terminate this Agreement which notice shall specify the effective date of such termination. Upon such termination for convenience, CONSULTANT will be compensated only for those services and tasks which have been performed by CONSULTANT up to the effective date of the termination.

CONSULTANT may not terminate this Agreement except for cause as provided under Section 5.2, below. If this Agreement is terminated as provided herein, CITY may require CONSULTANT to provide all finished or unfinished Documents and Data, as defined in section 6.1 below, and other information of any kind prepared by CONSULTANT in connection with the performance of the Work.

CONSULTANT will be required to provide such Documents and Data within fifteen (15) calendar days of CITY’s written request. No actual or asserted breach of this Agreement on the part of CITY pursuant to Section 5.2, below, will operate to prohibit or otherwise restrict CITY’s ability to terminate this Agreement for convenience as provided under this Section.

5.2 EVENTS OF DEFAULT; BREACH OF AGREEMENT:

A. In the event either Party fails to perform any duty, obligation, service or task set forth under this Agreement (or fails to timely perform or properly perform any such duty, obligation, service or task set forth under this Agreement), an event of default (hereinafter, “Event of Default”) will occur. For all Events of Default, the Party alleging an Event of Default will give written notice to the defaulting Party (hereinafter referred to as a “Default Notice”) which will specify: (i) the nature of the Event of Default; (ii) the action required to cure

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the Event of Default; (iii) a date by which the Event of Default will be cured, which will not be less than the applicable cure period set forth under Sections 5.2B and 5.2C below or if a cure is not reasonably possible within the applicable cure period, to begin such cure and diligently prosecute such cure to completion. The Event of Default will constitute a breach of this Agreement if the defaulting Party fails to cure the Event of Default within the applicable cure period or any extended cure period allowed under this Agreement.

B. CONSULTANT will cure the following Events of Defaults within the following time periods:
i. Within ten (10) business days of CITY’s issuance of a Default Notice for any failure of CONSULTANT to timely provide CITY or CITY’s employees or agents with any information and/or written reports, documentation or work product which CONSULTANT is obligated to provide to CITY or CITY’s employees or agents under this Agreement.

Prior to the expiration of the 10-day cure period, CONSULTANT may submit a written request for additional time to cure the Event of Default upon a showing that CONSULTANT has commenced efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 10-day cure period. The foregoing notwithstanding, CITY will be under no obligation to grant additional time for the cure of an Event of Default under this Section 5.2B.i. that exceeds seven (7) calendar days from the end of the initial 10-day cure period; or ii. Within fourteen (14) calendar days of CITY’s issuance of a Default Notice for any other Event of Default under this Agreement. Prior to the expiration of the 14-day cure period, CONSULTANT may submit a written request for additional time to cure the Event of Default upon a showing that CONSULTANT has commenced efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 14-day cure period. The foregoing notwithstanding, CITY will be under no obligation to grant additional time for the cure of an Event of Default under this Section 5.2B.ii that exceeds thirty (30) calendar days from the end of the initial 14-day cure period.

In addition to any other failure on the part of CONSULTANT to perform any duty, obligation, service or task set forth under this Agreement (or the failure to timely perform or properly perform any such duty, obligation, service or task), an Event of Default on the part of CONSULTANT will include, but will not be limited to the following: (i) CONSULTANT’s refusal or failure to perform any of the services or tasks called for under the Scope of Work; (ii) CONSULTANT’s failure to fulfill or perform its obligations under this Agreement within the specified time or if no time is specified, within a reasonable time; (iii) CONSULTANT’s and/or its employees’ disregard or violation of any federal, state, local law, rule, procedure or regulation; (iv) the initiation of proceedings under any bankruptcy, insolvency, receivership, reorganization, or similar legislation as relates to CONSULTANT, whether

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voluntary of involuntary; (v) CONSULTANT’s refusal or failure to perform or observe any covenant, condition, obligation or provision of this Agreement; and/or (vii) CITY’s discovery that a statement representation or warranty by CONSULTANT relating to this Agreement is false, misleading or erroneous in any material respect.

C. CITY will cure any Event of Default asserted by CONSULTANT within fortyfive (45) calendar days of CONSULTANT’s issuance of a Default Notice, unless the Event of Default cannot reasonably be cured within the 45-day cure period. Prior to the expiration of the 45-day cure period, CITY may submit a written request for additional time to cure the Event of Default upon a showing that CITY has commenced its efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 45-day cure period. The foregoing notwithstanding, an Event of Default dealing with CITY’s failure to timely pay any undisputed sums to CONSULTANT as provided under Section 1.5, above, will be cured by CITY within five (5) calendar days from the date of CONSULTANT’s Default Notice to CITY.

D. CITY, in its sole and absolute discretion, may also immediately suspend CONSULTANT’s performance under this Agreement pending
CONSULTANT’s cure of any Event of Default by giving CONSULTANT written notice of CITY’s intent to suspend CONSULTANT’s performance (hereinafter, a “Suspension Notice”). CITY may issue the Suspension Notice at any time upon the occurrence of an Event of Default. Upon such suspension, CONSULTANT will be compensated only for those services and tasks which have been rendered by CONSULTANT to the reasonable satisfaction of CITY up to the effective date of the suspension. No actual or asserted breach of this Agreement on the part of CITY will operate to prohibit or otherwise restrict CITY’s ability to suspend this Agreement as provided herein.

E. No waiver of any Event of Default or breach under this Agreement will constitute a waiver of any other or subsequent Event of Default or breach.

No waiver, benefit, privilege, or service voluntarily given or performed by a Party will give the other Party any contractual rights by custom, estoppel, or otherwise.

F. The duties and obligations imposed under this Agreement and the rights and remedies available hereunder will be in addition to and not a limitation of any duties, obligations, rights and remedies otherwise imposed or available by law. In addition to any other remedies available to CITY at law or under this Agreement in the event of any breach of this Agreement, CITY, in its sole and absolute discretion, may also pursue any one or more of the following remedies:
i. Upon written notice to CONSULTANT, the CITY may immediately terminate this Agreement in whole or in part;

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ii. Upon written notice to CONSULTANT, the CITY may extend the time of performance;
iii. The CITY may proceed by appropriate court action to enforce the terms of the Agreement to recover damages for CONSULTANT’s breach of the Agreement or to terminate the Agreement; or
iv. The CITY may exercise any other available and lawful right or remedy.

CONSULTANT will be liable for all legal fees plus other costs and expenses that CITY incurs upon a breach of this Agreement or in the CITY’s exercise of its remedies under this Agreement.

G. In the event CITY is in breach of this Agreement, CONSULTANT’s sole remedy will be the suspension or termination of this Agreement and/or the recovery of any unpaid sums lawfully owed to CONSULTANT under this Agreement for completed services and tasks.

5.3 SCOPE OF WAIVER: No waiver of any default or breach under this Agreement will constitute a waiver of any other default or breach, whether of the same or other covenant, warranty, agreement, term, condition, duty or requirement contained in this Agreement. No waiver, benefit, privilege, or service voluntarily given or performed by a Party will give the other Party any contractual rights by custom, estoppel, or otherwise.

5.4 SURVIVING ARTICLES, SECTIONS AND PROVISIONS: The termination of this Agreement pursuant to any provision of this Article or by normal expiration of its term or any extension thereto will not operate to terminate any Article, Section or provision contained herein which provides that it will survive the termination or normal expiration of this Agreement.

VI.

MISCELLANEOUS PROVISIONS

6.1 DOCUMENTS & DATA; LICENSING OF INTELLECTUAL PROPERTY: All Documents and Data will be and remain the property of CITY without restriction or limitation upon their use or dissemination by CITY. For purposes of this Agreement, the term “Documents and Data” means and includes all reports, analyses, correspondence, plans, designs, notes, summaries, strategies, charts, schedules, spreadsheets, calculations, lists, data compilations, documents or other materials developed and/or assembled by or on behalf of CONSULTANT in the performance of this Agreement and fixed in any tangible medium of expression, including but not limited to Documents and Data stored digitally, magnetically and/or electronically. This Agreement creates, at no cost to CITY, a perpetual license for CITY to copy, use, reuse, disseminate and/or retain any and all copyrights, designs, and other intellectual property embodied in all Documents and Data. CONSULTANT will require all subcontractors and subconsultants working on behalf of CONSULTANT in the performance of this Agreement to agree in

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writing that CITY will be granted the same right to copy, use, reuse, disseminate and retain Documents and Data prepared or assembled by any subcontractor or subconsultant as applies to Documents and Data prepared by CONSULTANT in the performance of this Agreement.

6.2 CONFIDENTIALITY: All data, documents, discussion, or other information developed or received by CONSULTANT or provided for performance of this Agreement are deemed confidential and will not be disclosed by CONSULTANT without prior written consent by CITY. CITY will grant such consent of disclosure as legally required. Upon request, all CITY data will be returned to CITY upon the termination or expiration of this Agreement. CONSULTANT will not use CITY’s name or insignia, photographs, or any publicity pertaining to the Work in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of CITY.

6.3 FALSE CLAIMS ACT: CONSULTANT warrants and represents that neither CONSULTANT nor any person who is an officer of, in a managing position with, or has an ownership interest in CONSULTANT has been determined by a court or tribunal of competent jurisdiction to have violated the False Claims Act, 31 U.S.C., Section 3789 et seq. and the California False Claims Act, Government Code Section 12650 et seq.

6.4 NOTICES: All notices permitted or required under this Agreement will be given to the respective Parties at the following addresses, or at such other address as the respective Parties may provide in writing for this purpose:

CONSULTANT: CITY:

Willdan Financial Services
Attn: Chris Fisher
27368 Via Industria, Suite 200
Temecula, CA 92590
Phone: (951) 587-3500
City of Cudahy
Finance Department
Attn: Joshua Calhoun
5220 Santa Ana Street
Cudahy, CA 90201
Phone: (323) 773-5143 ext. 225
Such notices will be deemed effective when personally delivered or successfully transmitted by facsimile as evidenced by a fax confirmation slip or when mailed, forty-eight (48) hours after deposit with the United States Postal Service, first class postage prepaid and addressed to the Party at its applicable address.

6.5 COOPERATION; FURTHER ACTS: The Parties will fully cooperate with one another, and will take any additional acts or sign any additional documents as are reasonably necessary, appropriate or convenient to achieve the purposes of this Agreement.

6.6 SUBCONTRACTING: CONSULTANT will not subcontract any portion of the Work required by this Agreement, except as expressly stated herein, without the prior written approval of CITY. Subcontracts (including without limitation subcontracts

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with subconsultants), if any, will contain a provision making them subject to all provisions stipulated in this Agreement, including provisions relating to insurance requirements and indemnification.

6.7 CITY’S RIGHT TO EMPLOY OTHER CONSULTANTS: CITY reserves the right to employ other contractors in connection with the various projects worked upon by CONSULTANT.

6.8 PROHIBITED INTERESTS: CONSULTANT warrants, represents and maintains that it has not employed nor retained any company or person, other than a bona fide employee working solely for CONSULTANT, to solicit or secure this Agreement. Further, CONSULTANT warrants and represents that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for CONSULTANT, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, CITY will have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of CITY, during the term of his or her service with CITY, will have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

6.9 TIME IS OF THE ESSENCE: Time is of the essence for each and every provision of this Agreement.

6.10 GOVERNING LAW AND VENUE: This Agreement will be interpreted and governed according to the laws of the State of California. In the event of litigation between the Parties, venue, without exception, will be in the Los Angeles County Superior Court of the State of California. If, and only if, applicable law requires that all or part of any such litigation be tried exclusively in federal court, venue, without exception, will be in the Central District of California located in the City of Los Angeles, California.

6.11 ATTORNEYS’ FEES: If either Party commences an action against the other Party, legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing Party in such litigation will be entitled to have and recover from the losing Party reasonable attorneys’ fees and all other costs of such action.

6.12 SUCCESSORS AND ASSIGNS: This Agreement will be binding on the successors and assigns of the Parties.

6.13 NO THIRD-PARTY BENEFIT: There are no intended third-party beneficiaries of any right or obligation assumed by the Parties. All rights and benefits under this Agreement inure exclusively to the Parties.

6.14 CONSTRUCTION OF AGREEMENT: This Agreement will not be construed in favor of, or against, either Party but will be construed as if the Parties prepared this Agreement together through a process of negotiation and with the advice of their

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respective attorneys.

6.15 SEVERABILITY: If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions will continue in full force and effect.

6.16 AMENDMENT; MODIFICATION: No amendment, modification or supplement of this Agreement will be valid or binding unless executed in writing and signed by both Parties, subject to CITY approval. The requirement for written amendments, modifications or supplements cannot be waived and any attempted waiver will be void and invalid.

6.17 CAPTIONS: The captions of the various articles, sections and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

6.18 INCONSISTENCIES OR CONFLICTS: In the event of any conflict or inconsistency between the provisions of this Agreement and any of the exhibits attached hereto, the provisions of this Agreement will control.

6.19 ENTIRE AGREEMENT: This Agreement, including all attached exhibits, constitutes the entire, complete, final and exclusive expression of the Parties with respect to the matters addressed herein and supersedes all other agreements or understandings, whether oral or written, which may have been entered into between CITY and CONSULTANT prior to the execution of this Agreement. Any statements, representations, or other agreements, whether oral or written, made by either Party that is not embodied herein will not be valid or binding on the Parties. No amendment, modification or supplement to this Agreement will be valid and binding unless in writing and duly executed by the Parties pursuant to Section

6.16, above.

6.20 COUNTERPARTS: This Agreement will be executed in three (3) original counterparts each of which will be of equal force and effect. No handwritten or typewritten amendment, modification or supplement to any one counterpart will be valid or binding unless made to all three counterparts in conformity with Section

6.16, above. One fully executed original counterpart will be delivered to CONSULTANT and one fully executed original will be retained by CITY. (SIGNATURES ON NEXT PAGE)

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IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed the day and year first appearing in this Agreement, above.

CITY OF CUDAHY:

By:

Alfonso Noyola, ICMA-CM
City Manager

Date:____________________________
WILLDAN FINANCIAL SERVICES:

By:

Chris Fisher
Vice President / Director

Date:____________________________
APPROVED AS TO FORM:

By:

City Attorney
Date:____________________________

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EXHIBIT “A”

SCOPE OF WORK

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EXHIBIT “B”

COMPENSATION RATE

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
11/15/2022 Page 1 of 2

STAFF REPORT
Date: August 22, 2024
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Joshua Calhoun, Finance Director
Subject: Consideration to Approve a Product Order for Procurement of Cyber Defense System

RECOMMENDATION
The City Council is requested to approve a product order for the renewal of the cyber defense system with Darktrace Holdings Limited with a not-to-exceed amount of $30,000.00.

BACKGROUND

1. On October 17, 2023, the City identified Darktrace Holdings Limited to be the provider of a cyber defense system for the City’s information technology.

ANALYSIS
In an effort to maximize cyber security within the City’s information technology infrastructure the City has been utilizing Darktrace’s artificial intelligence based system to prevent and detect any cyber attacks on the City’s systems.

The overall goal is to safeguard the City’s information by utilizing high level solutions to combat cyber threats and protect citizens and employee information. Based on performance of the systems capabilities, the City wishes to renew the agreement with Darktrace for another year.

CONCLUSION
The City Council is requested to approve a product order for the renewal of cyber defense system with Darktrace Holdings Limited with a not-to-exceed amount of $30,000.00. If approved, pursuant to Cudahy Municipal Code Section 3.16.130 (Formal Contract Procedure), Item Number
14B

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Staff Report
11/15/2022 Page 2 of 2

Cyber Security services will be entered by purchase order.

STRATEGIC PLAN CORRELATION
Goal E (City Infrastructure and Service Delivery)
Objective:

1. Ensure high-quality infrastructure to continue connectivity throughout the community.

FINANCIAL IMPACT
The project cost would not exceed $30,000 ($27,037 plus applicable taxes/fees), which is currently budgeted in the General Fund.

ATTACHMENTS
A. Product Order Invoice - Darktrace Holding Limited

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PRODUCT ORDER FORM
Customer Name: City of Cudahy
Transactional Tax ID/Business
Registration/VAT No: N/A
Shipping Address: 5220 Santa Ana St, Cudahy, CA 90201
Invoice Address: 5220 Santa Ana St, Cudahy, CA 90201
Attn: Joshua Calhoun
Email: [email protected]
Product Order Form: 156998-202407-11-986212
Date Prepared: 2024/07/11
Expiry Date: 2024/07/25
Darktrace Offering :

Product/Services Description Quantity
Subscription
Period
(months)
Start Date End Date
Annual
Customer Price
USD
Extended
Customer Price
USD

COMBINED COVERAGE
Email
Darktrace/Email/Office365 95 Mailboxes 12.0 2024-08-15 2025-08-14 PREVENT [Not Ordered]
DETECT
Network
Darktrace DETECT/Network 150 Devices 12.0 2024-08-15 2025-08-14

RESPOND
Network
Darktrace RESPOND/Network 150 Devices 12.0 2024-08-15 2025-08-14 Cyber AI Analyst [for Network]

DEPLOYMENT USAGE FEES
Darktrace Deployment Usage Fees/Appliance
(Small) 1 12.0 2024-08-15 2025-08-14
Subscription period commencing on 2024/08/15 (“Commencement Date”) Installation Services
Standard Support Services

TRAINING
eLearning Training
Public Online Training
27,037 27,037
TOTAL 27,037
US: +1 415 229 9100 LATAM: +52 55 7005 0956 UK: +44 (0) 1223 294 100 APAC: +65 6804 5010 E: [email protected] www.darktrace.com Docusign Envelope ID: 6FC7F371-DCD1-4D17-860E-374E7F59692A

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PRODUCT ORDER FORM
Terms and Conditions:
1 By signing this Product Order Form, issuing a purchase order referencing this Product Order Form or otherwise accessing or using the Offering, the Customer's use of the Offering shall be subject to the Darktrace Master Services Agreement included in the Appliance, which can also be found at: https://www.darktrace.com/resources/legalonline-terms.pdf (“Agreement”). Customer is in possession of the Appliance(s) listed above and shall not receive additional such Appliance(s) pursuant to this Product Order Form.
2 Customer’s use of Darktrace/Email is limited to the number of Mailboxes specified above (“Usage Metrics”). For such purposes, a "Mailbox" is an email account capable of sending or receiving email. Email Volume is limited to 6000 emails sent and received in a 24 hour period (“Email Volume”). Should the Mailbox limit or the Email Volume be exceeded, additional Fees shall be payable.
3 The Appliance(s) are for use with respect to the Customer's applicable bandwidth throughput, number of connected devices and connections per minute as set out in the applicable Product Data Sheet (https://darktrace.com/resources/contract-data-sheets.zip) (the “Appliance Specifications”). Should the Appliance Specifications be exceeded, additional Fees shall be payable. The Software is limited to 150 (one hundred and fifty) Devices in use on the Customer network (the “Device Limit”). For the purposes of this calculation a “Device” is a unique Internet Protocol address (IP address), tied to a piece of equipment, apparatus, or instrument, virtual or physical; that is monitored, modelled and visible in the Threat Visualizer within a given 7 day time frame. Should the Device Limit be exceeded, additional Fees shall be payable. 4 Fees are exclusive of any applicable sales tax, goods and services tax, withholding tax or VAT. Fees will be invoiced annually in advance from the Commencement Date.

Payment terms Net 30.
5 If Customer requires a purchase order, it must be sent at the time of acceptance of this Product Order Form and be for the full contract value. If it is not received, Darktrace shall be entitled to invoice without it.
6 Acceptance of this Product Order Form is expressly limited to the terms of Darktrace's offer. Once accepted, the terms and conditions of this Product Order Form and the Agreement will be the complete and exclusive statement of the agreement between the parties. Any modifications proposed by Customer are expressly rejected by Darktrace and shall not become part of the Agreement in the absence of Darktrace’s written acceptance. 7 This Product Order Form may be executed in any number of counterparts and by different parties in separate counterparts. Each counterpart when so executed shall be deemed to be an original and all of which together shall constitute one and the same agreement. Transmission of the executed counterpart of this Product Order Form by email (in PDF, JPEG or other agreed format) shall take effect as delivery of an executed counterpart.

For Customer
Signature:

Name:

Job Title:

Signature Date:

For Darktrace:

Signature: /darktrace_sign_here/
Name: /darktrace_name/
Job Title: /darktrace_title/
Signature Date: /darktrace_date/
("Effective Date")
US: +1 415 229 9100 LATAM: +52 55 7005 0956 UK: +44 (0) 1223 294 100 APAC: +65 6804 5010 E: [email protected] www.darktrace.com Docusign Envelope ID: 6FC7F371-DCD1-4D17-860E-374E7F59692A City Manager
Alfonso Noyola

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 1 of 3

STAFF REPORT
Date: August 20, 2024
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Johncito “John” Peraza, Assistant to the City Manager Subject: Republic Services Proposal for SB1383 Amendment Implementation and Compliance

RECOMMENDATION
The City Council is recommended to provide staff direction related to proposed options by Republic Services for SB1383 Implementation and Compliance.

BACKGROUND
As of January 1, 2022, all residents and businesses in California are required to recycle food and yard waste. Acceptable materials include food waste, green waste, landscape and pruning waste, non-hazardous wood waste and food-soiled paper products.

SB1383 requires local governmental agencies to provide organic waste services within its jurisdiction. Organic waste includes food, green material, landscape, prunings, lumber, wood, paper products, printing and writing paper. The City of Cudahy contracts with Republic Services for recycling and trash hauling services.

Effective July 1, 2024, SB1383 requires local governmental agencies to begin enforcing the said regulations. The regulations aim to divert 75% of organic waste from landfills and a 20% increase in edible food recovery by January 1, 2025.

The City of Cudahy is currently non-compliant with the regulations set forth by SB1383. The City has been in ongoing discussions with Republic Services since at least November 2023 to discuss a contract amendment for SB1383 implementation and compliance services.

Item Number
14C

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 2 of 3

ANALYSIS
CalRecycle has informed the city that an implementation audit is to be expected in the fall of 2024.

Republic Services has provided the city with three potential options to consider as follows to implement service for organic waste in the city. “Term” to be defined as the tenure of the existing agreement with Republic Services.
• Option 1: Term Remains the same
o Residential Year 1 will start at $32.92 per month. Commercial Year 1 will start at $463.53 per month. No changes will be made to the city’s existing agreement with Republic Services and will keep annual increase tied to the Consumer Price Index for regional and disposal levels. No organic waste services would be provided.
• Option 2: Term Remains the same
o Residential Year 1 will start at $29.93 per month and see an increase to $32.92 in the second year. Commercial Year 2 will start at $421.39 and see an increase to $463.53 in the second year. The annual increase will be tied to the Consumer Price Index related to Water, Sewer and Trash levels.
• Option 3: Term extension of three years
o Residential Year 1 will start at $29.93, $31.40 in the second year and $32.92 in the third year. Commercial Year 1 will start at $421.39, $442.04 in the second year and $463.53 in the third year. The annual increase will be tied to the Consumer Price Index related to Water, Sewer and Trash levels. This option extends the existing term by three years.

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 3 of 3

CONCLUSION
Recommending that the City Council provide staff direction regarding Option 1, Option 2, Option 3, or other direction.

STRATEGIC PLAN CORRELATION
Goal D: Financial Stability and Transparency

2. Provide regular updates to the City Council and community about the City’s finances.

FINANCIAL IMPACT
There will be no current impact to the City’s General Fund. Based on the final decision of the City Council on the above options, contract amendments will be prepared. The updated rates will be sent to the customers to pay via Republic Services for the cost of implementation of SB 1383.

ATTACHMENTS
A. Republic Services Proposal Cudahy CA SB1383

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SB1383 Compliance
RSG Proposal for SB1383 Amendment
Implementation and Compliance
July 18, 2024
Attachment A Page 240 of 330
RSG Proposal for SB1383
Amendment Implementation
and Compliance
Competition Sensitive Page i
Table of Contents
Executive Summary....................................................................................................1 Customer Care .......................................................................................................1 Our Values .............................................................................................................1 Local Leadership with National Support......................................................................3 Sustainability .........................................................................................................4 Safety ................................................................................................................4 Talent ................................................................................................................5 Climate Leadership ..............................................................................................5 Communities.......................................................................................................5 Sustainability as a Platform for Growth ......................................................................5 Renewable Energy ...............................................................................................5 Polymer Centers/Blue Polymer ..............................................................................6 Environmental Services ........................................................................................7 Public Education and Outreach.....................................................................................8 Website .................................................................................................................8 Republic Services App .............................................................................................8 Reference Guides & Collateral...................................................................................8 Welcome Packet .....................................................................................................9 Annual Education Updates........................................................................................9 Oops Tags..............................................................................................................9 Presentations to Schools and Other Community Organizations......................................9 Creating Sustainability Focused Generations ...........................................................9 Public Events........................................................................................................11 Curbing Contamination ..........................................................................................11 Pricing Proposal .......................................................................................................12 Recommendation to Proceed .....................................................................................12

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SB1383 Compliance
RSG Proposal for SB1383
Amendment Implementation
and Compliance
Competition Sensitive Page 1
Executive Summary
Republic Services is the national leader
in environmental services. We currently
partner with more than 2,000
municipalities to deliver essential
services while making meaningful
progress toward your climate action
plans.

Customer Care
Republic Services is so much more than a
traditional hauler of municipal recycling and
waste. By offering differentiated products,
services and experiences to meet our
customers’ wants and needs, we drive
customer loyalty and satisfaction. We
continue to invest in and enhance our
customer-facing technology. We also use
our RISE platform for visibility into our
dispatch and collection operations. This
technology equips our dispatchers with realtime routing information and enhanced data visualization tools. RISE has significantly
increased connectivity with our customers,
offering them the ability to “Track My Truck”
— which further improves productivity and
transforms our overall operations.

We know our customers care about
recycling, and they have demonstrated a
willingness to pay for it. We work with our
municipal partners in transforming recycling
into a more durable, economically
sustainable business model. Recycling is
essential to our sustainability platform, and
we continue to invest in it for the long term.

Most evident is our innovation and
investment to develop the nation’s first
polymer and Blue Polymer centers, which
deliver the production-quality plastic
polymers and olefins to enable true plastic
circularity, with capacity to cover all of our
operations in North America.

Our Values
Republic Services is your low-risk,
best value partner
▪ 30 years continuously serving Cudahy,
CA
▪ Customer-centric ‒ 94% customer
retention
▪ Safer ‒ 33% better safety performance
than industry average over the last
decade
▪ Environmental Responsibility ‒ #15 on
Barron’s 2023 100 Most Sustainable
Companies
▪ The country’s second largest collector of
plastics
Figure 1. Your Low-Risk, Best Value Partner. Republic Services is proud to lead the industry in many key factors that make us a preferred partner for municipal recycling and waste services.

Strengths of our Company Benefits to Municipality

99.9% pickup reliability rate Happy community; fewer calls to city hall 33% better safety performance than industry
average over the last decade
Fewer incidents; safer community streets for
children at play
Simple solutions for your community
recycling and waste needs
Easy access to solutions for the growing
number of waste streams
Recognized as #15 on the 2023 Barron’s list
of 100 Most Sustainable Companies
Peace of mind that your partner is a global
leader in sustainable initiatives
Most advanced, integrated Customer
Resource Centers in the industry
Hundreds of trained agents networked
together nationwide, organized in pods that
focus on your market
Web- and smartphone-based app for easy
access by community residents to relevant
information
Stronger communications and easier alert
and news dissemination
Robust community education and outreach Communities educated on recycling produce less contamination and greater diversion

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SB1383 Compliance
RSG Proposal for SB1383
Amendment Implementation
and Compliance
Competition Sensitive Page 2
Our company culture is anchored in five core
values that guide us as we serve our
customers every day.
▪ Safe – We protect the livelihoods of our
colleagues and our communities.
▪ Committed to Serve – We go above
and beyond to exceed our customers’
expectations.
▪ Environmentally Responsible – We
take action to improve our environment.
▪ Driven – We deliver results the right
way.
▪ Human-Centered – We respect the
dignity and unique potential of every
person.

By adhering to these core values, and
constantly striving to improve on them, we
deliver superior service and lead the
industry as the most sustainable partner for
municipalities.

Figure 2. Five core values guide us as we serve our customers every day.

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SB1383 Compliance
RSG Proposal for SB1383
Amendment Implementation
and Compliance
Competition Sensitive Page 3
Local Leadership with National
Support
Our local team is vital to the continued
successful delivery of this contract and its
daily operations. This team’s unique
combination of experience ensures quality
service for the duration of the contract. Our
local and area management teams have
extensive experience operating and
managing waste companies, and they have
longevity in the region. Because of this, we
are proactive in anticipating customers’
needs and adjusting to market changes. We
also implement best practices to continue
improving our operations and customer
service.

General Manager- Jason Bond
Operations Manager- Amias Callender
Maintainace Manager- Robert Deiro
Municipal Manager- Jorge Herrera Avila
Municipal Supervisor- Ruben Martinez
While our local business operation teams are
fully empowered and accountable for
delivering on our commitments, they are
also backed by the support and breadth of
our area and corporate leadership teams.

Together these teams are capable of
amassing expertise and support to respond
to any challenge, even during times of crisis
such as COVID-19 and natural disasters. In
times like this, our area and corporate
teams activate to ensure our people are safe
and assets are operational so we can quickly
return to normal operations. This is a
considerable benefit and risk mitigation to
Cudahy, CA that many other providers in
the industry are unable match.

Figure 3. Local team with a national network. Republic Services delivers essential services and Emergency Response across North America.

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Sustainability
The breadth and scope of our sustainability
platform is earning noteworthy recognition.

Our safety program leads the industry. Our
fleet is reducing its carbon impact. And our
landfills generate renewable energy.

We are Sustainability in Action™. We are
guardians of our environment and shoulder
the responsibility of protecting it. We lead
by example, working diligently to decrease
our vehicle emissions, create innovative
landfill technologies, generate and use
renewable energy, and cultivate community
engagement and employee growth
opportunities. We are privileged to serve
millions of customers nationwide.

Republic Services’ multifaceted sustainability
platform revolves around four elements:

Safety, Talent, Climate Leadership and
Communities. These elements form the
foundation of our 2030 Sustainability Goals.

Safety
We prioritize safety above all else. When
people feel safe, they can fully participate in
the daily opportunities available to them.

Republic Services has a consistently low
occurrence of incidents and accidents. We’re
known for our strict focus on safety and
corresponding best-in-industry, multifaceted and well-organized safety program.

We have a 33% better safety performance
than the industry average for the last 10
years based on OSHA recordable data.

Employees, the public and rate payers all
benefit from our dedication to safety. We
have been and will continue striving to be
the safest waste services company in North
America.

Figure 4. Our 2030 Sustainability Goals encompass Safety, Talent, Communities and Climate Leadership.

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Talent
Engaged employees are the greatest
indicator of our success. We provide ongoing
job training, growth and development
opportunities for our employees at every
level. We are invested in them and look for
meaningful ways to demonstrate our
appreciation for the hard work and
dedication they show every day. Our
inclusion and diversity efforts help to ensure
everyone can bring their best selves to work
each day.

Republic Services’ local offices are staffed
with a team of nearly 200 professionals who
take personal responsibility for serving
customers with care. We are an industry
leader with a national network, decades of
experience, diversified capabilities and
expertise serving clients of all sizes —
including, proudly, Cudahy, CA.

Climate Leadership
In 2017, Republic Services announced its
Sustainability Platform, and from it, our
2030 Sustainability Goals were born. These
ambitious goals help us do best by our
environment, keep us accountable to
responsible disposal and benchmark our
successes.

Communities
We are dedicated to being a good neighbor
in the communities where we live and work.

This includes investing in customer
engagement, philanthropic giving,
volunteerism, environmentally responsible
infrastructure, and operating in our markets
at the highest standards.

Republic Services’ community engagement
plan is based on the needs of communitybased organizations and civic and business entities in Cudahy, CA. We have a track
record of giving to and spending in Cudahy,
CA.

Sustainability as a Platform
for Growth
Our sustainability efforts include major
investments in our planet’s future. We
actively innovate and drive the industry in
new directions, which will ultimately
transform the ways in which recyclable
materials achieve circularity. We are also
dramatically reducing emissions attributed
to landfills and fleet vehicles. Four relevant
examples of our effort and leadership are
outlined below and directly relate to our
third-party recognition and awards.

Renewable Energy
Our landfills safely and responsibly handle
our customers’ waste. These sites also
provide a lesser-known benefit: renewable
energy production.

When organic waste breaks down in a
landfill, the natural process creates biogas,
which largely consists of methane. We
capture this gas though collection systems
and, for many years, have utilized it to
generate energy. Our legacy landfill gas-toenergy (LFGTE) projects produce electricity for the public utility grid.

Today, demand for renewable energy is
driven by efforts to decarbonize and reduce
emissions, so our focus has shifted to
producing renewable natural gas (RNG).

RNG can be used for a variety of
applications to displace conventional gas
from fossil fuels. As a transportation fuel,
RNG can reduce emissions up to 70%, which
has made it highly valued in the
marketplace.

To help meet this rapidly growing demand,
we recently announced a joint venture with
bp to develop 40 landfill RNG projects across
the U.S. This venture is the nation’s largest
RNG portfolio build-out to date, offering
both environmental and economic
sustainability.

Once fully operational, these projects are
expected to generate approximately 12.5
million MMBtu of RNG annually — equivalent
to the average annual natural gas usage of
nearly 200,000 residential customers in the
United States. We are already engaged in 68
LFGTE projects around the country, and
these additional deployments give us scale
to make a significant, direct climate impact.

Once all 40 projects are operational in 2027,
we anticipate capturing and beneficially
reusing 70% of our total landfill gas and
making significant progress toward our
Renewable Energy goal.

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Polymer Centers/Blue Polymer
Plastics circularity has traditionally been a
challenge in the recycling industry. While
many people do their best to recycle, the
lifecycle potential of different recycled
materials is not broadly understood. While
an aluminum can is generally recycled back
into a new can, a water bottle or detergent
jug is more likely to be remade into
products such as textiles, carpet or
construction pipe instead of a new bottle or
jug. These “downcycled” products have few
options for further recycling, so their
lifecycle tends to be finite — not circular.

But demand is growing for recycled plastics
that can be reused in consumer packaging,
and the current supply is not keeping up.

Republic Services wants to keep plastic
packaging in the circular economy.

We have an innovative solution: the
Republic Services Polymer Center, the
nation’s first integrated plastics recycling
facility. The facility is designed to directly
address increasing demand from consumer
brands and packaging manufacturers for
recycled plastic, driving value for recovered
resins and enabling greater circularity.

Our first Polymer Center in Las Vegas
processes plastics from Republic Services’
recycling facilities. More centers are
planned.

Republic Services has entered into a joint
venture with Ravago, a leader in polymer
recycling and distribution, to create Blue
Polymers, a partnership to advance
circularity in the plastics industry. The new
facilities will utilize recycled polyethylene
and polypropylene from Republic Services’
Polymer Centers to create high-quality,
recycled resin for consumer packaging and
other applications. The process will convert
high-density polyethylene and polypropylene
into fully formulated products for use in both
food-grade and non-food-grade sustainable
applications.

Figure 5. Recognition supports our approach. Engaged employees and leadership make Republic Services an employer of choice.

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Environmental Services
In May 2022, Republic Services acquired US
Ecology, a leading provider of environmental
solutions offering treatment, recycling and
disposal of hazardous, non-hazardous and
special waste.

This acquisition allows us to provide
customers with the most complete set of
environmental services in the industry.

US Ecology adds a national platform of
difficult-to-replicate assets and talent to
Republic Services, including: nine specialty
waste landfills with five hazardous waste
landfills; 16 RCRA-permitted treatment,
storage and disposal facilities (TSDFs);
seven wastewater treatment facilities; and
more than 100 environmental services field
locations.

Customers with multiple recycling and waste
service needs value the ability to consolidate
services with a single partner that has a
successful track record of safety, compliance
and environmental responsibility.

These important new service capabilities
mean we can now safely and responsibly
manage more of the non-standard waste
collection and processing tasks that are
critical to all municipalities across the
country. Residential customers can enjoy
drop-off or collection programs for
household hazardous waste, electronics,
universal waste or medical sharps.

Commercial and industrial customers can
now expand their collection program to
include vacuum cleanout services, collection
of oils or solvents, or other unique materials
that come from the business or
manufacturing process.

Lastly, municipalities can now enjoy a single
partner that supports cleanups of
abandoned waste, homeless encampments
and drug labs seized by police, as well as
emergency response to spills, remediation
or natural disasters.

For example, the Republic Services team
was at the forefront of cleanup efforts after
an oil spill off Southern California’s coast in
October 2021. A third party’s pipeline had
ruptured, resulting in more than 125,000
gallons of crude oil washing ashore. When
called into service, we quickly mobilized 250
people who supported recovery efforts
including the collection, transport and
disposal of oil-soaked waste.

Figure 6. Emergency Response Services
– We were at the forefront of cleanup efforts
after an oil spill off Southern California’s
coast in October 2021.

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Public Education and
Outreach
Public education is critical to
maintaining an efficient and costeffective program for environmental services in your community.

The goal of Republic Services’ public
education and outreach program is to
educate residents on industry trends and
best practices, and the specific programs in
your contract. We do this by engaging
community groups and business
associations, to educate residents and
businesses about the key elements of the
program, including relevant program
changes, and highlighting customer service,
cost, environmental benefits and state
requirements.

Website
The Republic Services website is designed to
be a one-stop resource for current and
potential customers. They will find news
updates, collection information and
educational tools. The educational program
provides in-depth information for both
residential and commercial customers, and
the programs are downloadable and can be
used for outreach and environmental
initiatives.

RepublicServices.com provides in-depth
content specific to residential and
commercial needs. If the customer is
directly billed by Republic Services, they can
also inquire into billing-related questions or
even view and securely pay their bill.

Residential customers will also find
resources for recycling and environmental
needs.

Business pages allow users to login and
view/pay their bills, view billing history, and
schedule pickups. Commercial users will also
find resources on how to responsibly dispose
of electronics waste, hazardous household
material, and other environmentally harmful
materials.

On the main page of RepublicServices.com,
visitors will be able to view a video clip of
recycling education that features our “closed
loop” recycling collection program. This
video can easily be edited to focus on any
new initiatives agreed upon with Cudahy,
CA. Additionally, residents can view a video
on our new Plastics Polymer center featuring
our innovative techniques for creating
plastics circularity.

Republic Services App
Our application for mobile devices can be
used to schedule a pick-up, report a missed
pick-up, receive service notifications, search
additional products and services, and much
more. It can be easily downloaded from the
App Store for Apple users or for Android
users from Google Play.

Reference Guides & Collateral
As part of the initial program
implementation our ongoing education
We develop and maintain a library of
public education programs and
materials that our municipalities can
leverage to drive awareness
▪ Instant access to information via
website and the Republic Services app
▪ Facility tours
▪ School education and take-home
materials
▪ Videos and public service
announcements
▪ Community newsletters
Figure 7. Republic Services’ Website.

RepublicServices.com is a one-stop resource.

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efforts, we provide the following materials to
ensure that residents are fully aware of the
services provided by Republic Services and
how to properly use these services.

Welcome Packet
At the commencement of service, Republic
Services will provide an initial information
packet to residents. This packet will contain
information on the services offered and
proper preparation procedures. In addition,
the packet will contain information on
additional services and products offered by
Republic Services as well as a collection day
reminder for their specific location. This
packet will also be made available to new
residents that move into Cudahy, CA.

Annual Education Updates
Republic Services will mail each household
an annual reference guide for collection
services. This reference guide will contain
information on collection services as well as
any updates for acceptable or unacceptable
materials. The reference guide will also
contain information on new products and
services available to residents.

Oops Tags
Oops tags are our first line of education for
residents that have placed unacceptable
items at the curb for collection. Drivers and
route supervisors will leave an oops tag with
the resident if a material cannot be picked
up. Oops tags will provide the reason why
the item was not picked up as well as a
phone number to call for further follow up
information.

Presentations to Schools and
Other Community
Organizations
Republic Services is a well-known friend,
supporter and partner to local schools in
Cudahy, CA. We believe that providing an
environmental education to students will
build a foundation and an appreciation to
preserving and protecting the planet.

Students, in turn, bring this knowledge back
to their families and become catalysts for
promoting sustainable habits at home.

Republic Services provides teachers, staff
and students with training on proper
diversion and disposal practices. We place
significant emphasis on the importance of
recycling as it diverts reusable materials
from being disposed in and allows for a
longer lifespan for local landfills.

We provide education on all aspects of
environmental stewardship including trash,
electricity, water, paper, chemical, and
emissions reductions. Our goal is to
empower students to utilize what they have
learned in their school communities about
environmental sustainability to make a
global impact.

Creating Sustainability Focused
Generations
In order to teach and influence the future
generations in our municipalities, Republic
Services will engage school administrators,
faculty, staff and students in efforts to drive
public education in the scholls. Once
enrolled, the entire school community will
Figure 8. Online Options. About 2.6 customers
use Republic Services online and app-based
solutions to instantly access important
information on services.

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receive specialized education based on that
group’s role in promoting recycling.

Republic Services will include the following
elements when addressing the education
and training needs of each community
member:

1.) Communication and Feedback
Republic Services will communicate the
availability of educational resources to each
school’s administrators through a variety of
outlets prior to the opening of school each
fall. In addition, a recycling representative
will follow up and respond to school/teacher
requests for educational materials,
resources, and presentations throughout the
year.

2.) Logistical Training
Republic Services will meet with
administrators, faculty, facilities personnel,
and parents (through PTA meetings and
other means) initially, and as needed, to
establish and provide training on internal
materials capture systems. We will provide
educational curriculum and program how-to
information in a fun format, such as
storytelling, recycling relays, competitions,
waste audits and videos. Educational
curriculum, activities and presentations are
geared toward grade level/age groups.

3.) Recycling Champions
Republic Services will work with all schools
within the district to identify a recycling
champion within each school who will act as
the school’s recycling coordinator. This
coordinator will monitor faculty, staff and
administrators for optimal, proper recycling
program participation, knowledge, and
utilization of educational resources provided
by Republic Services and other sources.

They will also communicate recycling
program results to students and staff.

4.) District Recycling Committee
Republic Services proposes that the school
district recycling committee be comprised of
the identified recycling champions named in
item 3 above and headed by a district
administrator and a Republic Services
recycling representative. The recycling
committee will meet according to need and
district preference until recycling programs
are functional in all schools.

5.) Recycling Education
All educational materials will be provided in
the primary languages represented in the
student body of the district and can be
found at RecyclingSimplified.com
Republic Services involvement with local
schools goes beyond how we can help with
environmental education; we also believe in
supporting students at all levels. For
example, we provide educational and safety
programs at local schools featuring
characters such as Recycling Rosie, Garbage
Gus and Driver Mike.

The presentation is interactive and features
information on how to recycle and teaches
children how to be safe around collection
vehicles. Children receive a complimentary
coloring book that reinforces the safety
message. At the end of the presentation,
children are escorted out to the parking lot,
where a Republic Services truck and driver
are on hand so that children can sit in the
cab, view the controls, and ask the driver
questions.

Republic Services also encourages an annual
recycling contest among local elementary
schools. Each school is challenged to reduce
waste, recycle more, and separate their food
scraps for composting. Schools will compete
for the greatest year-over-year diversion
results (measured Fall through early
Figure 9. Engaging kids through schools. We
believe that providing an environmental
education to students will build a foundation and
an appreciation to preserving and
protecting the planet.

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Spring). The winning school is rewarded
with an all-expenses paid recycling fair that
will feature multiple activity stations
including recycled art projects, an
opportunity to view the inside of a recycling
collection truck, and products made from
recycled materials.

In addition to providing a unique and
comprehensive school outreach program,
Republic Services plans to reach out to
various community organizations such as
the Chamber of Commerce, Rotary, business
associations and other appropriate groups to
provide detailed recycling outreach
education and offer tools and support for
successful programs.

Public Events
Republic Services will be a true leader in
Cudahy, CA, not only because of our
dedication to excellence in service, but
because we are a proud community partner.

We participate in numerous community
events on an annual basis and propose to
build on these existing efforts by partnering
with Cudahy, CA.to develop and launch a
sustainability-themed outreach schedule for
public events.

The program would involve creating a family
of “green” recycling-specific educational
hand-outs, and a common, customizable
booth design that could be used at local
street fairs, art festivals and concerts.

Republic Services will not only continue to
provide service and assistance to community
events, we will also work with event
planners to bring additional value. This
would include upfront planning for logistics
detail, such as placement of dumpsters,
providing a full contingent of dumpsters at
each collection point with clear messaging to
encourage recycling participation, clean up
services, sponsorships and educational
materials.

We see this as an opportunity to engage
with the community to become even
stronger and more vibrant. Cudahy, CA can
count on Republic Services to be a true
corporate citizen and community partner in
greening the Cudahy, CA service area and
educating residents and businesses every
step of the way.

Curbing Contamination
The best way to reduce contamination is at
the source, with both restricted access lids
and spot checks.

Our drivers are well trained to check for and
document contamination every time they
service a cart or dumpster. The driver can
then remotely update the account to reflect
the contamination note, allowing our
dedicated staff to notify the customer and
offer one-on-one assistance. We work
closely with each customer to develop a
solution to their contamination problem. We
can also provide resources to the city they
can share with residents and property staff.

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Pricing Proposal
Previously, Republic Services has provided
pricing to do a full waiver review on behalf
of the City of Cudahy.

We proposed this with promptness as the
priority and with our partnership we propose
the faster option to be the less expensive
option.
25 days to complete- $24,977.00
50 Days to complete- $29,415.71
As for Hauling and an Amendment we have
the following rate structure.

Residential- $32.92/month
Commercial - $463.53/Month
Each rate now includes trash, recycling and
organics services and be the largest step
towards full compliance with the state.

As we mentioned on our meeting, this rate
assumes 90% participation (10% waivers)
and continuing the CPI language as current.
(90% CPI-All Urban with disposal
component).

Recommendation to
Proceed
Our recommendation would be to start the
waiver process and simultaneously start an
amendment to work through. Either we can
provide that or if you have a draft
agreement, we’d be happy to start there.

Since it will be difficult to nail our
assumptions until we know the full impact of
waivers, we recommend negotiating and
finalizing the cost sheet as the last piece.

Additional Options to
Consider
After careful consideration Republic Services
have come up with two alternative proposals
that achieve the same compliance objectives
with different pricing and a simplified annual
increase methodology. These options in
addition to the original shall present three
paths forward for consideration.

Both proposals below assume set pricing for
the years outlined below and there after
would increase by 100% CPI- Water, Sewer,
Trash with no disposal pass through
component. This simplifies the methodology
and the increase trend closer in line with our
cost increases. In a separate attachment,
we have included 2016-Current for that
proposed index.

First Alterative- 7 Years
Fixed pricing for first two years then CPIWST thereafter.

Year 1 Residential- $29.93
Year 2 Residential- $32.92
Year 1 Commercial- $421.39
Year 2 Commercial- $463.53

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Second Alternative- 10 years (3-year
extension)
Fixed pricing for 3 years with CPI WST
thereafter.

Year 1 Residential- $29.93
Year 2 Residential- $31.40
Year 3 Residential- $32.94
Year 1 Commercial- $421.39
Year 2 Commercial- $442.04
Year 3 Commercial- $463.70
Looking forward to discussions with the City
of Cudahy, we appreciate the partnership
Republic Services has with the city.

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 1 of 3

STAFF REPORT
Date: August 20, 2024
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: Ron Bow, Interim Public Works Director
Subject: Request to Install Holiday Decorations and Lighting

RECOMMENDATION
The City Council is requested to:

1. Provide direction on the preferred location(s) to install Holiday Decorations; and

2. Direct staff to stay within the current budget of $50,00.00 or increase the amount as directed

BACKGROUND
In preparation for the holidays, Public Works Department sent Request for Quotes to qualified companies for holiday decorations services at the following locations: Atlantic Avenue from Florence Avenue to Patata Street, Clara Park, and City Hall. Services include rental, installation, maintenance, and removal of holiday lights and decorations. We asked each to provide a breakdown of decorations and cost to allow flexibility in budgeting.

1. On July 11, 2024, an informal Request for Quotes was sent to four vendors for the decorations of Atlantic Avenue, Clara Park, and City Hall. The vendors were SoCal Lighting Pros, Mobile Illumination, Bright Life Designs, and Dekra-Lite. All vendors, excluding Dekra-Lite, were interested in providing a quote for rental and installation of Christmas Lights for the City of Cudahy.

2. On July 17, 2024, the Public Works Department held an in-person meeting to walkthrough all the locations with the interested vendors. They were informed that the City of Cudahy is most interested in the decorations of Atlantic Avenue but are still keen on a quote for their Item Number
14D

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services at Clara Park and City Hall.

3. On July 31, 2024, all quotes were received. The quotes are re summarized in the table below:

SoCal Lighting Pros Bright Life Designs Mobile Illumination Atlantic Avenue $ 85,350.09 $ 75,620.00 $ 62,904.00
Clara Park - $ 11,990.00 $ 936.00
City Hall $ 11,025.09 $ 10,620.00 $ 702.00
Total $ 96,375.18 $ 98,230.00 $ 64,542.00
Mobile Illumination provided an alternative option for the decoration of Atlantic Avenue only for the total amount of $49,988.

ANALYSIS
Following the review of all proposals for Atlantic Avenue, the alternative from Mobile Illumination is the only quote that meets our budget of $50,000. This quote includes wrapping every other tree in the median with mini lights, installation of Christmas themed pole banners, and decorating the skylines with garland, wreaths, and bows. They also provide complimentary 9-ft flocked tree and complimentary decorations for the Cudahy Civic Center Monument. The alternative option excludes roof lighting for either City Hall or Clara Park.

Although higher priced, Bright Life Designs provided concepts that can create a festive atmosphere at all locations. Their quote includes tree and bush wrapping, season greeting skylines, large lighted snowflakes skylines, Christmas themed pole banners, 5-ft bows placed at the entrances of each building, roof lighting, outer walls to be adorned with wreaths, and a snowflake arch to place at entrance of Clara Park.

The city previously contracted SoCal Lighting Pros for last year’s Christmas decorations.

Although no price was included for Clara Park, their quote includes tree wrapping, banner poles, “Happy Holidays” and “Feliz Navidad” skylines, 80-ft garland skylines with 12 red bows, and roof lighting.

CONCLUSION
Public Works would like the City Council to determine the options preferred for this year’s holiday decorations. The City of Cudahy has traditionally decorated Atlantic Avenue only in the past, however extending the festive decorations to include Clara Park where programming occurs during the festive holiday period is an option and lastly everyday businesses at City Hall will help culminate the holiday spirit and celebrate the New Year of 2025. Upon the decision by

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08/20/2024 Page 3 of 3

the City Council,staff will work with the selected company to begin scheduling and coordinating work immediately after the Thanksgiving Holiday.

Based on Council direction, staff will return with an agreement for approval.

STRATEGIC PLAN CORRELATION
Goal A: Community Services, Program and Activities for All

3. Ensure parks are safe, clean, welcoming, accessible to all.

Goal F: Communication and Outreach

3. Create a sense of place and pride and establish the community’s identity.

FINANCIAL IMPACT
Financial impact will be based on the City Council’s recommendation. If the Council directs that the budget be increased, staff will explore alternative funding sources. The current budgeted amount is $50.000.

ATTACHMENT
A. SoCal Lighting Pros Quote
B. Brightlife Designs Quote
C. Mobile Illumination Quote

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0 Company Address Date 8/6/2024
5348 Bullpen Dr. Fontana, CA 92336 Quotation # 10547
Phone: (805)203-9995 Customer ID CC1560
Quotation For
Ronald Bow or Luis Ramirez Quotation valid until 9/5/2024 5220 Santa Ana St Prepared by Rahn
Cudahy, CA 90201
323.773.5143
Comments or Special Instructions
Salesperson P.O. Number Ship Date F.O.B. Point Terms
Rahn Rental Due on receipt
Quantity Description Unit Price Taxable? Amount
2 3 ft x 40ft Feliz Navidad Skylines $ 3,500.00 No $ 7,000.00 2 3ft x 40ft Happy Holidays $ 3,500.00 No $ 7,000.00
58 6 in Spaced Warm White Tree Trunk
Wraps $ 125.00 No $ 7,250.00
9 80 ft Garland Skylines with 12 Red Bows $ 5,000.00 No $ 45,000.00 28 Small Christmas Themed Banners $ 250.00 No $ 7,000.00 22 Pole Garland Wraps with Bows $ 550.00 No $ 12,100.00 Subtotal $ 85,350.00
If you have any questions concerning this quotation, please contact: Tax Rate 9.25% Rahn at (805) 203-9995 Sales Tax $ -
Other
Thank you for your business! TOTAL $ 85,350.09
Atlantic Blvd
SoCal Lighting Pros

QUOTATION
Attachment A Page 258 of 330
0 Company Address Date 8/6/2024
5348 Bullpen Dr. Fontana, CA 92336 Quotation # 10547
Phone: (805)203-9995 Customer ID CC1560
Quotation For
Ronald Bow or Luis Ramirez Quotation valid until 9/5/2024 5220 Santa Ana St Prepared by Rahn
Cudahy, CA 90201
323.773.5143
Comments or Special Instructions
Salesperson P.O. Number Ship Date F.O.B. Point Terms
Rahn Rental Due on receipt
Quantity Description Unit Price Taxable? Amount
2 3 ft x 40ft Feliz Navidad Skylines $ 3,500.00 No $ 7,000.00 2 3ft x 40ft Happy Holidays $ 3,500.00 No $ 7,000.00
58 6 in Spaced Warm White Tree Trunk
Wraps $ 125.00 No $ 7,250.00
9 80 ft Garland Skylines with 12 Red Bows $ 5,000.00 No $ 45,000.00 28 Small Christmas Themed Banners $ 250.00 No $ 7,000.00 22 Pole Garland Wraps with Bows $ 550.00 No $ 12,100.00 Subtotal $ 85,350.00
If you have any questions concerning this quotation, please contact: Tax Rate 9.25% Rahn at (805) 203-9995 Sales Tax $ -
Other
Thank you for your business! TOTAL $ 85,350.09
Atlantic Blvd
SoCal Lighting Pros

QUOTATION

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0 Company Address Date 8/6/2024
5348 Bullpen Dr. Fontana, CA 92336 Quotation # 10547
Phone: (805)203-9995 Customer ID CC1560
Quotation For
Ronald Bow or Luis Ramirez Quotation valid until 9/5/2024 5220 Santa Ana St Prepared by Rahn
Cudahy, CA 90201
323.773.5143
Comments or Special Instructions
Salesperson P.O. Number Ship Date F.O.B. Point Terms
Rahn Rental Due on receipt
Quantity Description Unit Price Taxable? Amount
1 Buildings Lined $ 7,875.00 No $ 7,875.00
7 Big Trees Trunks Wrapped Street Side
Closest to Buildings $ 450.00 No $ 3,150.00
Subtotal $ 11,025.00
If you have any questions concerning this quotation, please contact: Tax Rate 9.25% Rahn at (805) 203-9995 Sales Tax $ -
Other
Thank you for your business! TOTAL $ 11,025.09
Cudahy City Hall
SoCal Lighting Pros

QUOTATION

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City of Cudahy
Holiday Decoration & Lighting Services
July 31st, 2024

BRIGHTLIFE DESIGNS LLC
Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected]
1 Attachment B Page 261 of 330
Cover Letter
Dear City of Palmdale,
BrightLife Designs is appreciative and eager for the opportunity to submit a proposal for the Holiday Décor Program For City of Cudahy. Our experience with large scale, time sensitive projects across Southern California has granted us with the knowledge and understanding of lighting/decor design and installation needed to accomplish this project successfully.

For years, clients such as City of Santa Ana, City of Huntington Park, City of Costa Mesa, City of Moreno Valley, Los Angeles Metro Station, City of Long Beach, Long Beach Airport, and San Diego International Airport have not only counted on BrightLife Designs’ technical abilities and focused attention to get the job done, but have stayed with us for our innovation, professionalism, and great customer service.

Our team looks forward to collaborating with all city team members involved with the Lighting and Decor Project to ensure our shared understanding of the enhancements throughout City of Cudahy is achieved with the proper overall concept, design, and installation.

Should we be awarded the contract, BrightLife Designs is grateful for the trust you will be placing in our firm to execute this project to the highest of standards. Because of the significant time and resources our firm has devoted to the planning of this project, we are confident the BrightLife Designs team will exceed your expectations in every way.

Sincerely,
Will Gugerty
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] July 29th, 2024
Matthew Harris
[email protected]
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Firm Profile
Firm Information:

Joe Castro: Owner / Designer / Legal Compliance
Will Gugerty: Project Manager / New Business Development SeanOlson: Operations Manager/ Project Manager
Denise Balestier Office Manager
Kim Scott: Product Design / Creative Director
Cesar Torres: Senior Installer / Warehouse Manager
Brian Estes: Senior Installer
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] − BrightLife Designs LLC
− Tax ID 82-4564576
− 6 Full Time: 35-40 Seasonal Staff
− Business Address: 16351 Gothard St, STE C Huntington Beach CA 92647 − Telephone: (714) 326-8326
− Contact Name: Will Gugerty
− Web: www.Brightlifedesigns.com
About BrightLife Designs:

The BrightLife Designs Team has helped Cities, Shopping Center, Resorts, Country Clubs, Business Districts, and more across Southern California achieve their extravagant lighting/holiday program designs for years.

Our team cultivates close and collaborative relationships with each and every client, to ensure their holiday and lighting vision comes to life. Providing our clients with design consultation, installation, removal, and storage services for both Rented and Purchased décor, it is our goal to help spread cheer a little more each year.
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Key Personnel
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected]
Joe Castro Designer & Project Manager
Joe is the founder and reason BrightLife Design thrives like a well-established business that has been functioning for many years. Joe brings 10+years of knowledge, experience and relationships to the BrightLife Design platform and foundation. His drive, determination and tenacity are invaluable to BrightLife’s high performance team. Over the past nine years he has challenged himself to learn all facets of business operations and has duplicated those skills within his team members to ensure that BrightLife Designs implements creative concepts with exemplary execution. After several years in the industry with another company, he was able to branch off and start his own company with more solid company values with the client always coming first.

Will Gugerty Project Management and New Business Development Will utilizes his strong creative and communicative abilities to generate and manage new business in BrightLife Designs’ ever-expanding portfolio. By working closely with the client, our design team, and our installers throughout every part of our process he tactfully ensures clients’ needs are continually met to the utmost degree. Will brings with him multiple years of customer service and management experience, as well as a B.S. in Business Management from San Francisco State University.

BrightLife Experts
BrightLife Designs has an efficient business model and our formulation for financial success depends on long term relationships with a vast array of expert business consultants and contractual staff who provide business guidance, legal compliance, management information systems, public relations, and creative talent such as designers, graphic artists, and sound technicians.We value our experts and nurture long-term relationships. As a result, we can deliver the types of expert services normally associated with larger companies within a cost efficient and stable business model.
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Proposed Specialized Plan and Design of Decorations
BrightLife will ensure all decorations requiring electrical lighting are energy efficient and will use LED lights for all decorating purposes, if applicable. Whenever possible, we will use Lighted Décor Elements made with recycled material, and new or used decorative items that are refurbished and in good conditions upon testing and installation. We will provide specialized planning and designed elements adaptable to the surroundings of each location; planning will be considered for high volume foot traffic areas and for all external weather conditions.

Schedule of installation will be provided to the Client four (4) weeks prior the installation or removal dates. The installation services will be executed on or asclose as possible to desired schedule. Installation and de-installation services to be no longer than 15-17 business days. Service hours for installation and de-installation will take place between 7:00 a.m. and 6:00 p.m., during night hours when traffic is less is also an option, unless otherwise advised by the Client.

BrightLife will be responsible to provide special equipment needed to install and de-install large pieces and/or specialized designs.

Expenses for transporting, packing and for any necessary precautions will be at no cost to the Client. Details of required special equipment is indicated prior to installation.

Potential problems at the service workspace and/or other locations will immediately be communicated to the Client to inform and agree on a correction plan, should there be any.

Service staff will be dressed in BrightLife attire, as outlined by the company’s handbook. BrightLife staff will address all personnel professionally during all interactions.

BrightLife Designs has a 4-hour response time to all Emergency’s, a 24-hour response time to non-emergency when notified. All decorations will be inspected regularly within the time frame specified in this RFP.

BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 5

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Project Approach & Statement of Qualifications
Project Understanding:

It is BrightLife Designs goal and responsibility to enhance the visual appeal and attractiveness of Cudahy with lighting and décor. It is our approach to provide you with a turn-key program. We shall provide design, development, technical and artistic direction of the program,specifically Illuminated enhancements and other decorations. It is necessary for us to create, produce, and execute for you a comprehensive and professional Lighting program. Services provided by BrightLife will include procurement of decorations, materials, labor, supplies, equipment, tools, transportation, and other items necessary for the installation and execution of the project. All pricing includes labor for installation and removal of the décor for the clients.

BrightLife executes all projects in a timely manner while protecting and considering the environment. While it is our job to decorate and beautify, it is our responsibility to install the decorations with the utmost care and respect for the facilities, trees, and surrounding landscape. We take great precautionsto protect the streets, sidewalks, and parkways around the site in a proper manner. As well as pedestrian safety.

Approach & Methodology & Statement of Qualifications:

BrightLife Designs has a complete and thorough understanding of the scope of work required for Cudahy. We understand the staffing and equipment needed to execute the program as well as the time and approach to complete the work. BrightLife will ensure all decorations requiring electrical lighting are energy efficient and will use LED lights for all decorating purposes. BrightLife will use new Lighted Décor Elements made with recycled materials when applicable. Production of any design elements will take place at BrightLife Designs warehouse. We will be responsible for providing special equipment needed for installation and deinstallation of large pieces and specialized décor. We also have a full inventory of products on hand to use for replacement materials when needed and required.

BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 6

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 2024 Holiday Décor Scope of Work
City of Cudahy
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Item # Item Description Quantity Unti Cost Total
1 Median Tree Wrap Lighting
Installation of 5MM Warm White Lights on Median Trees through the Atlantic Ave. Lights to be wrapped 10-12 feet up the tree extending from the main trunk to the crotch of the tree. All Trees will be wrapped to the same level when possible to keep an consistant look.

Approximatley 5-7 strands to be used per tree.
58 $ 300.00 $ 17,400.00
2 Pole Décor Unlit - 24" x 54" Banner
*Purchase required for custom
banners
Installation and Removal of Holiday Themed Banners on Light Poles Down Atlanctic Avenue. Other Design Options Available. Banner size is 24" x 54". Price Includes purchase of Banners.
28 $ 165.00 $ 4,620.00
3 40' Lighted Skyline Option 1
Installation and Removal of Large Lighted Season Greetings Skylines on Eleven pre-exisiting cabling infurstrustures down Atlantic Avenue.

Skylines are 40' across. Availbity subject to change based on approval dates.
2 $ 5,200.00 $ 10,400.00
3A 40' Lighted Skyline Option 2
Installation and Removal of Large Lighted Snowflake Skylines on Eleven pre-exisiting cabling infurstrustures down Atlantic Avenue.

Skylines are 40' across. Availbity subject to change based on approval dates.
9 $ 4,800.00 $ 43,200.00
3B 40' Lighted Skyline Option 3
Installation and Removal of Large Lighted Snowflake Swirl Skylines on Eleven pre-exisiting cabling infurstrustures down Atlantic Avenue.

Skylines are 40' across. Availbity subject to change based on approval dates.
0 $ 4,700.00 -$
3C 40' Lighted Skyline Option 4
Installation and Removal of Large Lighted Wreaths and Garlands Skylines on Eleven pre-exisiting cabling infurstrustures down Atlantic Avenue. Skylines are 40' across. Availbity subject to change based on approval dates.
0 $ 3,800.00 -$
3D 40' Lighted Skyline Option 5
Installation and Removal of Large Lighted Snowflake Swirl Skylines on Eleven pre-exisiting cabling infurstrustures down Atlantic Avenue.

Skylines are 36' across. Availbity subject to change based on approval dates.
0 $ 4,700.00 -$
AREA TOTAL $ 75,620.00
Item # Item Description Quantity Unti Cost Total
4 5ft Bow Installation and Removal of a BrightLife Designs Lighted 5ft Bow installed over the main entrnace to City Hall
1 $ 2,800.00 $ 2,800.00
5 C9 Perimeter Lighting Installation and Removal of 450' C9 Perimeter Lighting on the front facing side of the roof of the City Hall Building and Bedwell Hall. 450 $ 7.00 $ 3,150.00
6 36" Wreaths, Pre-Lit, Pre-Decorated
Installation and Removal of 36" Wreaths on outer wall of City Hall.

Wreaths are adorned with Warm White LED Lights and Beautiful Ornamnetation. Anchor Necessary for this item.
8 $ 350.00 $ 2,800.00
City of Cudahy Cost Sheet
Atlantic Avenue
City Hall

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7 Tree Wrap Lighting
Installation of 5MM Warm White Mini Lights on Trees infront of City Hall. Lights to be wrapped 10-12 feet up the tree extending from the main trunk to the crotch of the tree.

Approximatley 8-10 strands to be used per tree.
*Selection of Quantity subject to change.
2 $ 375.00 $ 750.00
8 Bush Wrap Lighting
Installation of 5MM Warm White Mini Lights on Bushes throughout the main front courtyard at City Hall. Lights draped over entire bushes.

Approximatley Forty (40) strands to be used. 300 Sq ft of Bushes.

Element only possible with power provided to multiple areas. 1 $ 1,120.00 $ 1,120.00
AREA TOTAL $ 10,620.00
Item # Item Description Quantity Unti Cost Total
9 Snowflake Arch Walk Through Photo
Opp
Installation and Removal of One (1) Snowflake Arch Walk Through Photo Opp. Arch is adorned with Cool White Lights. Installed on the main cement walkway leading up to the Community Center
welcoming guests to the event.
1 $ 4,200.00 $ 4,200.00
10 Tree Wrap Lighting
Installation of 5MM Warm White Trees through the Park. Lights to be wrapped 10-12 feet up the tree extending from the main trunk upt ot he crotch of the tree.

Approximatley 8-10 strands to be used per tree.
*Selection of Quantity subject to change.
7 $ 375.00 $ 2,625.00
11 C9 Perimeter Lighting Installation and Removal of 270' C9 Perimeter Lighting on the front facing side of the roof of the Community Center.
270 $ 7.00 $ 1,890.00
12 5ft Bow Installation and Removal of a BrightLife Designs Lighted 5ft Bow installed over the main entrnace to the Community Center 1 $ 2,800.00 $ 2,800.00
13 60" Wreaths, Pre-Lit, Pre-Decorated
Installation and Removal of 60" Wreaths on outer wall of The Community Center. Wreaths are adorned with Warm White LED Lights and Beautiful Ornamnetation. Anchor Necessary for this item. 1 $ 475.00 $ 475.00
AREA TOTAL $ 11,990.00
Annual Total $ 98,230.00
Please Note - the Annual Total provided includes all elements proposed at their current quantities. Items and their quantities are subject to change based on final walkthrough with City Staff.

Please Note - Custom Elements subject to change in availblity based on approval dates and while supplies last.

Clara Park

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 2024 Holiday Décor Concepts
City of Cudahy
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
-Installation of 5MM Warm White Lights on Median Trees through the Atlantic Ave. Lights to be wrapped 10-12 feet up the tree extending from the main trunk to the crotch of the tree. All Trees will be wrapped to the same level, when possible, to keep and consistent look.

Atlantic Ave
Concepts – Item 1
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
-Installation and Removal of Holiday Themed Banners on Light Poles Down Atlantic Avenue.

Other Design Options Available. Banner size is 24" x 54". Other Design Options Available.

Atlantic Ave
Concepts – Item 2
12 Single Double
Additional Designs Available

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
-Installation and Removal of Large Lighted Seasons Greetings Skylines on Eleven pre-existing cabling infrastructures down Atlantic Avenue. Skylines are 40' across.

Atlantic Ave
Concepts – Items 3
13 Description
-Custom Lettering ‘City of
Cudahy’ Available only while
supplies last.
-Item availability dependent
on approval date. Multiple
Designs may need to be used.
-Mix and Matching Between
Designs Available
Option 1 – Lighted Seasons Greetings

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
-Installation and Removal of Large Lighted Snowflake Skylines on Eleven pre-existing cabling infrastructures down Atlantic Avenue. Skylines are 40' across.

Atlantic Ave
Concepts – Items 3A
14 Description
-Custom Lettering ‘City of
Cudahy’ Available only while
supplies last.
-Item availability dependent
on approval date. Multiple
Designs may need to be used.
-Mix and Matching Between
Designs Available
Option 2 – Lighted Snowflakes

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
-Installation and Removal of Large Lighted Snowflake Swirl Skylines on Eleven pre-existing cabling infrastructures down Atlantic Avenue. Skylines are 40' across.

Atlantic Ave
Concepts – Items 3B
15 Description
-Custom Lettering ‘City of
Cudahy’ Available only while
supplies last.
-Item availability dependent
on approval date. Multiple
Designs may need to be used.
-Mix and Matching Between
Designs Available
Option 3 – Lighted Snowflake Swirl

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
-Installation and Removal of Large Lighted Skylines on Eleven pre-existing cabling infrastructures down Atlantic Avenue. Skylines are 40' across.

Atlantic Ave
Concepts – Items 3C
16 Description
-All Greenery is Pre-Lit with
Warm White Lights
- Item arability dependent on
approval date. Multiple Designs
may need to be used.

Option 4 – Lighted Wreaths and Garland

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
-Installation and Removal of Large Lighted Star Swirl 36’ Skylines on Eleven pre-existing cabling infrastructures down Atlantic Avenue.

Atlantic Ave
Concepts – Items 3D
17 Description
-Custom Lettering ‘City of
Cudahy’ Available only while
supplies last.
-Item availability dependent
on approval date. Multiple
Designs may need to be used.
-Mix and Matching Between
Designs Available
Option 5 – Lighted Star Swirl

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Concepts – Item 4, 5
Description Location
-Installation and Removal of a BrightLife Designs Lighted 5ft Bow installed over the main entrance to City Hall -Installation and Removal of 450' C9 Perimeter Lighting on the front facing side of the roof of the City Hall Building and Bedwell Hall
City Hall
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Concepts – Item 6
Description Location
-Installation and Removal of 36" Wreaths on outer wall of City Hall. Wreaths are adorned with Warm White LED Lights and Beautiful Ornamentation. Anchor Necessary for this item.

City Hall
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Concepts – Item 7
Description Location
-Installation of 5MM Warm White Mini Lights on Planter Trees Infront of City Hall. Lights to be wrapped 10-12 feet up the tree extending from the main trunk through some of the main large branches. --Per Tree Price is provided, please select amount of trees desired should it be more than reflected in cost sheet.

City Hall
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Concepts – Item 8
Description Location
-Installation of 5MM Warm White Mini Lights on Bushes throughout the main front courtyard at City Hall.

Lights draped over entire bushes.

Approximatley Forty (40) strands to be used. 300 Sq ft of Bushes City Hall
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Description Location
--Installation and Removal of One (1) Snowflake Arch Walk-Through Photo Opp. Arch is adorned with Cool White Lights. Installed on the main cement walkway leading up to the Community Center welcoming guests to the event.

Community Center
22 Concepts – Item 9
20ft x 14ft

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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Concepts – Item 10
Description Location
--Installation of 5MM Warm White Trees through the Park. Lights to be wrapped 10-12 feet up the tree extending from the main trunk through some of the main large branches. -Per Tree Price is provided, please select amount of tree desired should it be more than reflected in cost sheet.

Community Center
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Concepts – Item 11, 12, 13
Description Location
--Installation and Removal of 270' C9 Perimeter Lighting on the front facing side of the roof of the Community Center. -Installation and Removal of a BrightLife Designs Lighted 5ft Bow installed over the main entrance to the Community Center] -Installation and Removal of 60" Wreaths on outer wall of The Community Center. Wreaths are adorned with Warm White LED Lights and Beautiful Ornamentation. Anchor Necessary for this item.

Community Center
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BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] References/Additional Projects
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References
City of Santa Ana
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] City of Moreno Valley
City of Huntington Park
Below find Three (3) references and description of recent project performed by BrightLife and Team Members within the past five (5) years.

Business Contact Name and Title Description of Project
Name: City of Moreno Valley
Address: 14075 Fredrick Street Moreno
Valley, CA 92552
Email: [email protected]
Phone: 951.413.3289
Claudia Torres
Community Services Super
Intendent
Year 2021-Present - Decorated City Hall
Building, Large 30’ tree, Palm Tree Lighting,
RGB Up lighting, Building Perimeter Lighting.

Business Contact Name and Title Description of Project
Name: City of Santa Ana
Address: 20 Civic Center Plaza,
Sana Ana CA 92701
Email: JCastroCardenas@santaana.org
Phone:714-673-3619
Julie Castro-Cardenas
Economic Development
Specialist
Installation of Overstreet Lighting
across 5+ City blocks in the heart of
Downtown Santa Ana. Holiday
Décor is installed throughout 10 City
blocks of the downtown area,
including multiple large motifs
around the City Hall Plaza.

Business Contact Name and Title Description of Project
Name: City of Huntington Park
Address: 3401 E. Florence Ave,
HuntingtonPark CA
Email: [email protected]
Phone: 323-584-6218
Rene Rubalcava
ManagementAnalyst
The Decoration of Huntington Park’s City hall.

Decorations include 50’ Tree, Perimeter lighting,
Garland, Lighted Palm Trees.

Drive throughtoy drive experience, containing
Tree wraps and canopy decorations as well as
large lighted elements throughout.
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Additional Projects
San Diego International Airport
The BrightLife Designs Team works in tandem with the San Diego International Airport Authority annually to provide a beautiful and expansive holiday décor program with encompasses all terminals, offices, and entrances. The Airport Authority reports extreme guest satisfaction with the unique and aesthetically pleasing greenery and lighted décor.

BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 27

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Additional Projects
City of Santa Ana - Downtown
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 28

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Additional Projects
City of Santa Ana – Winter Village
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 29

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Additional Projects
Los Angeles Metropolitan Transportation Authority
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 30

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Additional Projects
Long Beach Airport
The BrightLife Designs Team has had the
pleasure of providing the guests of the Long
Beach Airport with a pleasant and visually
appealing Holiday Décor Program in the past.

Our team has the ability to provide large
unique décor items, such as large lighted
bows, that have become iconic for the Long
Beach Airport Holiday Program.

BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 31

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Additional Projects
Westwood Village
Westwood Village enjoys year-round tree
lighting on 100+ trees throughout every main
city street in their district with the help of
the BrightLife Designs Team. Trees of varying
sizes are wrapped with our commercial grade
Warm White mini lights in addition to RGB
Up-Lights on specific streets year-round.

BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] 32

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Additional Projects
City of Huntington Beach
Downtown Huntington Beachcontinually trusts
BrightLife Designs to decorate their streets for
the holidays.

Decorations include a 24’ lit Christmas tree, as
well as many other lit elements down the roads.

Including multiple Overstreet Snowflake
Skylines. (Pictured here)
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Additional Projects
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] City of Carson
As well as other lighted elements, The City of
Carson has trusted BrightLife Designs numerous
times to install andmaintain lighted pole mount
decorations all throughout their city streets.
(Pictured here)
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Additional Projects
Douglass Emmitt
Douglass Emmitt’s property portfolio spans across all of Los Angeles (Santa Monica, Beverly Hills, Sherman Oaks, Woodland Hills, Brentwood). The BrightLife Designs team successfully decorates 85+ D.E. properties annually, bringing joy to guests, residents, and employees all the like.

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Terms
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Product Purchase Terms (If applicable)
⁻ Please allow for 2-4 months lead time following receipt of PO for manufacturing and shipping. ⁻ Initial Estimate does not include shipping fees or taxes. Fees to be applied along with official Purchase Order - Any applied discounts are only valid for the stated quote term.

Warranty Information
⁻ We warranty to the original buyer that our displays are free from manufacturer defects. Under normal conditions of use and service, this protection is extended for six (6) seasons on all steel and aluminum frames, five (5) seasons on garland, three (3) seasons on electrical wiring, and one (1) season on all computerized lighting modules, power transformers, and ornamentation. This warranty does not apply to light bulbs or light strands installed on décor elements. Under this warranty, the company’s responsibility is to repair and replace defective products on a prorated basis. To extend this warranty, all products must be inspected at our facility for defects and/or proper care and handling prior to repair or replacement. Return shipping, labor, and/or equipment to install or remove the product are not included in this warranty. Bulb burn-outs and electrical or other damages that may be the cause of the buyer, their installers, weather elements, rough handling, or transit are not covered by this warranty. All merchandise is carefully inspected prior to packaging and shipping. Therefore, goods should be inspected and tested upon delivery and prior to installation. For the purposes of this warranty one (1) season is defined as one (1) installation and removal for a duration lasting no longer than 60 days.

Service Terms and Agreement Single Year
-One year agreement starting Nov 1 2024 through Oct 31, 2025, with two (2) one-year optional extensions at Client’s discretion and based on Bright Life's performance and mutual agreement. -Minimum Service Cost $15,000.00
Service Terms and Agreement Multi Year
-Multi-Year agreement starting Nov 1 2024 through Oct 31, 2027, with two (2) one-year optional extensions at Client’s discretion and based on Bright Life's performance and mutual agreement. Multi-Year pricing incentives offered. Program remains the same throughout the length of the agreement unless change order is requested. -Preference install and removal date selection for Multi-Year clients (if available). -Annual CPI Increase will be included year after year.
36

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Thank You
BRIGHTLIFE DESIGNS LLC Will Gugerty, (562) 810-7363 16351 Gothard St, STE C Huntington Beach, CA 92647 [email protected] Rental: TBD
Purchase: TBD
Installation Date: Nov 1st- Nov 26th/Dec1st-10th, 2024 – Lighting installed in October if possible. Left off until advised by client.

Strike Date: N/A
Installation Address: City of Cudahy
Optional Insurance: Insurance Certificates, Fee of $200. Accepted Or Denied (please circle one) To execute this agreement, sign this proposal and the Terms and Conditions. Please note the payment schedule above, in addition any delinquent accounts with a past due balances are subject to a $90.00 late fee. Upon receipt of initial payment, the dates of installation & removal will be secured.

This quote is valid for 30 days. Thank you.

Sincerely,
Joe Castro Will Gugerty
Authorized Signer Printed Name Date
37

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INTRODUCTION TO MOBILE ILLUMINATION
Reliable. Experienced. Local.

We are determined to operate at the highest levels of service, reliability, professionalism, innovation, and transparency. We have developed cutting-edge technological systems and processes to support our purpose. That purpose is to provide the City of Cudahy with the most collaborative, reliable and all-encompassing services to facilitate a quality lighting installation.

Every project we take on starts with creating a custom design, managing the transition from design to installation, and following through with exceptional service. Our project designers and installation experts carefully craft each property’s Lightscaping design to optimize its value and aesthetic appeal.

We focus on being a turn-key solution for our clients in an effort to simplify their lives and offer our clients a tangible return on their investment in us. We deliver customized lighting for Landscapes, Christmas, Special Events, Year-Round, and Fiberoptic purposes in order to bring memorable moments and distinct enjoyment to everyone we can.

Mobile Illumination, Inc. was established in 2001 as a lighting and décor company specializing in servicing commercial and residential clients. As a family business, we started out only employing a handful of people. We have been blessed to have significant growth over the years and now employ over 70 hardworking, diligent people who we still consider to be family! Our corporate office and 23,000 square foot warehouse is conveniently located right here in Northridge, CA. We have an aggressive fleet of bucket trucks and service vehicles with excellent partners for expanding delivery vehicles and deliverable boom lifts as needed.

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INTRODUCTION TO MOBILE ILLUMINATION
Reliable. Experienced. Local.

Jason Zdenek Nelson Rodriguez Lexi Yamron
President & Founder Director of Operations Sr. Project Manager Jason founded the company in 2001 while
finishing his mechanical engineering degree
at UCLA. Throughout the growth of Mobile
Illumination, Jason has worn just about every
hat in the company which has given him the
ability to relate and understand the
complexities and challenges that each sector
of the business can bring. Jason is heavily
involved in overseeing and managing most of
the higher profile projects. He coordinates on
a daily basis with all management and senior
level personnel to ensure that the quality and
integrity of our work is being adhered to by
everyone within the company. He is a
licensed electrician and licensed real estate
broker. He has been happily married for 18
years, has 3 young boys, and thoroughly
enjoys water sports, skiing, and hiking
outdoors.

Nelson joined Mobile Illumination in 2021.

He has over 15 years of experience in
designing outdoor spaces and managing
and creating efficiency in large scale
projects. In 2021 Nelson spent the majority
of his nights at the LA Zoo lights event
troubleshooting and making sure the event
was in tip top shape for guests to enjoy.

Nelson brings a level of expertise to the
table that guarantees a smooth installation
and run of event. Outside of work he
enjoys grilling, boating, and spending time
with his kids.

Lexi is our Project Manager. She joined the
Mobile Illumination family in 2015 as an
assistant in the office after finishing her
degree at the University of California San
Diego. She quickly proved to have
incredible talent in Project Design. As a
lead designer, she has invested herself
whole heartedly into bringing Mobile
Illumination’s projects to life. Lexi has a
natural knack for seeking out creativity
and cutting-edge designs no matter how
small or large the project. She really
captivates the best color schemes and
décor pallets for our clients. In her free
time she enjoys yoga, gardening, and
traveling the world.

Faith Kincaid
Sales Designer
Faith provides excellent customer service
and beautiful holiday and event lighting
designs. She has been with the company
since 2017 and has a passion for creating
lighting designs and working with
customers. Her past experiences taught her
appreciation for customer service and the
power of building long term relationships
with her clients. She believes in making
your day better, whether it is through her
smile, or helping you smile by providing a
cheerful lighting experience.

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INTRODUCTION TO MOBILE ILLUMINATION
Reliable. Experienced. Local.

Mobile Illumination has been directly involved in the design, master planning, production, installation, strike, storage and inventory management of lighting and decor projects for thousands of properties and municipalities. All operations and warehousing are done through our Northridge location.

Partial List of Clients:

The Grove
Beverly Hills
Americana at Brand
City of Los Angeles
City of Inglewood
Oxnard
City of Santa Clarita
Pasadena
Burbank
City of Torrance
City of Glendale
City of Cypress
City of Cudahy
Copyright ©2024 Mobile Illumination Inc. All Rights Reserved.

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Roofline - Warm White C9 Bulbs
• Beautifully outline the roofline of the Leo P.

Turner Community Center facing the street
and the park
• Roofline of the City Hall Building facing the
street and the parking lot

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Trunk Wraps - Warm White Mini Lights
w/green wire
• Trunk wrap the 58 trees in the median.

Height - 10FT. Branches - 90%. Line
Spacing - 4“ (Pink lines are a rough
estimation of where design will go and only
some trees are shown as examples)

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Beautiful design over Atlantic Ave
between Cecelia and Florence Ave
• Mixed Pine Garland with Warm White Mini
Lights
• 4FT Mixed Pine Wreath with Warm White
Mini Lights
• 38" Red Bow with LED Lights installed to the
left and right of the wreath on each line of
garland

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Customized Pole Banners
• “City of Cudahy Wishes You Season’s
Greetings”
• 14 poles in the median will be decorated
with 2 customized holiday pole banners
• One side will be in English and one side will
be in Spanish
• Customized Spanish side will say”Felices
Fiestas” **The city has an option for “Feliz
Navidad” if that is preferred instead

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Flocked Tree and Garland
• 9FT Flocked Tree placed in the lobby
• Mixed pine garland with warm white mini
lights – installed over the Civic Center
monument
• Valued at $3,000, but will be installed free of
charge

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Mobile Illumination is thrilled to unveil a captivating Christmas lighting design for the City of Cudahy. With an unwavering commitment to artistry and innovation, we will transform Cudahy into a dazzling winter wonderland, creating an unforgettable holiday experience for residents and visitors alike.

Our design concept harmonizes timeless holiday charm, meticulously curated to highlight the city's unique character.

The luminous garlands and fairy lights infuse the streets with a festive glow, creating a grand, illuminated light display in the heart of the city, telling a whimsical holiday story that captivates audiences of all ages.

Mobile Illumination utilizes the latest in LED technology and sustainable lighting practices to ensure energy efficiency without compromising brilliance. Each installation is crafted with precision and attention to detail, reflecting our passion for creating enchanting, immersive environments. Our team of expert designers and technicians work closely with the city to seamlessly integrate the lighting design into Cudahy's landscape, enhancing its beauty and fostering a sense of community spirit.

Experience the magic of the season as Mobile Illumination illuminates the City of Cudahy, turning it into a beacon of holiday joy and wonder.

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Option 2 for the City of Cudahy
• No Roof Lines
• Trunk wrap every other tree in the median on Atlantic Ave. Total of 29 trees • Garland, Wreath and Bows over Atlantic Ave
• Pole Banners in median
• Complimentary Flocked Tree in the lobby
• Complimentary 2 Garland over the Civic Center Monument

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Trunk Wraps - Warm White Mini
Lights w/green wire
• Trunk wrap every other tree in the
median on Atlantic Ave.

Total of 29 trees.

Height - 10FT. Branches - 90%. Line
Spacing - 4“
(Pink lines are a rough estimation of
where design will go and only some
trees are shown as examples)

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Beautiful design over Atlantic Ave
between Cecelia and Florence Ave.

Facing one direction
• Mixed Pine Garland with Warm White Mini
Lights
• 4FT Mixed Pine Wreath with Warm White
Mini Lights
• 38" Red Bow with LED Lights installed to the
left and right of the wreath on each line of
garland

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Our design concept harmonizes timeless holiday charm, meticulously curated to highlight the city's unique character.

Experience the magic of the season as Mobile Illumination illuminates the City of Cudahy, turning it into a beacon of holiday joy and wonder.

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THANK YOU
It is with great pleasure that we present to you our master plan, creative solutions, and vision for your event. Please let us know your thoughts and feedback. If needed, we are happy to continue ironing out options, themes, or budgets considerations prior to finalizing the scope of work. We understand that The City of Cudahy, like many others, has high standards to adhere to in the marketplace and we strive to exceed those standards with each project we produce. We look forward to working together to make this project a huge success for you and your team.

Thank You for the opportunity to partner with you
9255 Corbin Avenue
Northridge, CA 91324
Phone (562)235-3892
Email: [email protected]
www.MobileIllumination.com
Faith Kincaid
City of Cudahy
Copyright ©2024 Mobile Illumination Inc. All Rights Reserved.

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`
E-Mail
[email protected]
Office:
800-840-1777
323.773.5143 ext. 259
90201
E-mail: [email protected]
Zip:

Phone: City of Cudahy Rev
c/o Ramirez, Luis
5220 Santa Ana Street
Cuduhy
Date:
7/29/2024 Faith Kincaid
Project Designer:
562-235-3892
Phone:

Proposal #:

City:

Address:

Name:

We propose to furnish labor, materials, equipment, tools, and supervision in accordance with the below specifications.

City of Cudahy
Rev C-273-
02012

Type
Lights
Qty.
1 Description
Warm White C9 Bulbs - Roofline of the
Leo P. Tuner Community Center facing
the street and the park
Item
Ea. $ 936.00
Sub-Total

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`
`
Warm White C9 Bulbs - Roofline of the
City Hall Building facing the street and
the parking lot
Warm White Mini Lights - Trunk wrap
the 58 trees in the median. Height -
10FT. Branches - 90%. Line Spacing - 4"
Lights
Lights

$ 702.00
$ 20,184.00
1 Ea.
58 Ea.

Quote valid for 90 days.

If you have any questions, you may contact our office by phone at 800-840-1777 and/or by e-mail at [email protected] Https://mobileillumination.com/terms-and-conditions-for-goods-and-services-contracts/

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`
`

Décor
Décor
Mixed Pine Garland with Warm White
Mini Lights - Install across Atlantic Ave
between Cecelia and Florence Ave
4FT Mixed Pine Wreath with Warm
White Mini Lights - Install at the center
of each line across Atlantic Ave. Facing
one direction (Away from the trees)

$ 22,594.00
Ea. $ 3,476.00
1 11
Ea.

Quote valid for 90 days.

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`
`
Décor
Décor

38" Red Bow with LED Lights - Install to
the left and right of the wreaths on
each line of garland across Atlantic Ave.

Facing one direction.

Pole Banner - "Cudahy wishes you
Season's Greetings" on one side. The
other side of the pole to say "Felices
Fiestas". **Can say "Feliz Navidad" if
preferred instead (Using existing pole
mounts)
$ 3,872.00
$ 12,778.00
Ea.

Ea.

28 22
Quote valid for 90 days.

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`
`

$ 64,542.00

Total:

$64,542.00
Décor
Décor

1 9FT Flocked Tree - (Included at no extra
cost) Install in the Lobby
Mixed Pine Garland with Warm White
Mini Lights - (Included at no extra cost)
Install over the monument sign at the
Civic Center
$ -
$ -
Ea.

Ea.

1 Quote valid for 90 days.

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* Important: Tax will be calculated at invoicing for purchased items.

Approver Signature
Initials

All material is guaranteed to be as specified above. All work shall be completed in a workmanlike manner, in accordance with industry standard practices and manufactures' instructions. Any deviation or alteration from the above specifications that involves extra costs will be completed only upon executing a written change order or email approval, and will require extra charges and time to complete, above and beyond this estimate. Owner shall carry fire and other required insurances. Contractor shall carry General Liability Insurance and Workers Compensation Insurance for all employees. All labor is guaranteed against defects for a period of 90 days from the date of completion. Excludes natural acts of nature and/or vandalism.
* Please note: Photos with mark-ups or imagery are only visual guidelines. Actual installation will vary depending on access and safety protocols.
* Customer agrees to the itemized proposal above as well as the terms and conditions https://mobileillumination.com/terms-and-conditionsfor-goods-and-services-contracts * Customer acknowledges any service calls related to tripped GFI or GFCI outlet/s are not covered by Mobile Illumination and will be billed at an additional cost.

Luis Ramirez
Quote valid for 90 days.

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 1 of 2

STAFF REPORT
Date: August 20, 2024
To: Honorable Mayor/Chair and City Council/Agency Members From: Alfonso Noyola, City Manager/Executive Director
By: City Attorney’s Office
Subject: Discussion and Potential Approval of a Resolution Amending the Code of Ethics and Conduct for Elected Officials and Members of Appointed Boards, Commissions, and Committees

RECOMMENDATION
The City Council is recommended to discuss and potentially approve Resolution No. 24-30, amending the Code of Ethics and Conduct for Elected Officials and Members of Appointed Boards, Commissions, and Committees.

BACKGROUND/ANALYSIS
On May 1, 2012, the City Council for the City of Cudahy adopted Resolution No. 12-13, adopting a Code of Ethics and Conduct for Elected Officials and Members of Appointed Boards, Commissions, and Committees (“Code of Ethics”).

On June 11, 2024, Vice Mayor Alcantar requested an amendment to the Code of Ethics, including a policy that each City Council Member be mandated to attend sexual harassment training as held by the City. The proposed edit on the attached Code of Ethics will add this requirement and require all City Council Members attend sexual harassment training within the first six (6) months of certification for each term they are elected to.

CONCLUSION
The City Council is recommended to discuss and potentially approve Resolution No. 24-30, amending the Code of Ethics and Conduct for Elected Officials and Members of Appointed Boards, Commissions, and Committees.

Item Number
14E

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
08/20/2024 Page 2 of 2

STRATEGIC PLAN CORRELATION
No correlation to the strategic plan.

FINANCIAL IMPACT
None.

ATTACHMENTS
A. Resolution No. 24-30

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1 RESOLUTION NO. 24-30

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

CUDAHY, CALIFORNIA AMENDING THE CODE OF

ETHICS AND CONDUCT FOR ELECTED OFFICIALS AND

MEMBERS OF APPOINTED BOARDS, COMMISSIONS,

AND COMMITTEES
WHEREAS, public officials, including the elected and appointed officials of the City of Cudahy (“City”), must comply with laws governing ethics, including but not limited to the Brown Act, the Political Reform Act, AB 1234, and Government Code section 1090, to, among other things:

Ensure government transparency;
Prohibit conflicts of interest;
Prohibit nepotism;
Prohibit bribery and corruption;
Ensure fair processes in government decision-making; and Prevent the misuse of public funds; and
WHEREAS, the City Council of the City (“City Council”) expects that City Officials comply not only with the letter of the law, but also avoid any appearance of impropriety; and
WHEREAS, the City Council holds the public trust in the highest regard; and WHEREAS, the City Council is in an ongoing process to implement specific measures to ensure that City officials act ethically, avoid the appearance of impropriety, and make fair and reasoned decisions that are in the best interests of the City, its residents, businesses, and visitors.

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

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

SECTION 2. The Code of Ethics and Conduct for Elected Officials and Members of Appointed Boards, Commissions, and Committees (the "Code"), attached as Exhibit "A", is hereby adopted.

SECTION 3. Staff is directed to distribute the Code to existing Members of the City Council and the Members of Appointed Boards, Commissions, and Committees as soon as possible.

SECTION 4. Existing members of the City Council and the Members of Appointed Boards, Commissions, and Committees shall sign the statement of commitment to the Code and shall file it with the Office of the City Clerk, if they have not previously done so.

Attachment A Page 323 of 330
2 SECTION 5. Upon the election or appointment of a new City Official, the City Clerk shall provide a copy of the Code to the Official who shall sign the statement of Commitment and return it to the City Clerk.

SECTION 6. All previously adopted Code of Ethics Resolutions are hereby repealed in their entirety.

SECTION 7. This Resolution shall take effect immediately upon adoption. The Mayor shall sign this Resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Cudahy at the regular meeting of this 20th day of August 2024. ______________________________
Jose R. Gonzalez
Mayor
ATTEST:
____________________________
Richard Iglesias
City Clerk

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3 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. 24-30 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 20th day of August 2024 and that said Resolution was adopted by the following vote, to-wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Richard Iglesias
City Clerk

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4 EXHIBIT A

CODE OF ETHICS AND CONDUCT FOR ELECTED

OFFICIALS AND MEMBERS OF APPOINTED BOARDS,

COMMISSIONS, AND COMMITTEES
Statement of Purpose
The City of Cudahy (“City”) has adopted this Code of Ethics and Conduct (“Code of Ethics”) for elected officials and members of appointed boards, commissions, and committees (“City Officials”). In order to facilitate fair, ethical, and accountable local government, the City has developed the following guidelines:
• City Officials, both elected and appointed, shall comply with both the letter and spirit of the laws and policies affecting the operations of the City; and • City Officials shall be independent, impartial, and fair in their judgment and actions; and
• Public office shall be used for the public good, not for personal gain; and • Public deliberations and processes shall be conducted openly, unless legally confidential, in an atmosphere of respect and civility; and • City Officials shall comply with all provisions of AB 1234 including attendance at ethics training within one year of being elected or appointed and every two years thereafter. The certificate of attendance must be filed with the City Clerk; and • City Officials shall attend sexual harassment training, held by the City, within the first six (6) months of certification for each term they are elected to.

1. Act in the Public Interest
Stewardship of the public interest must always be the principal duty of individuals representing the City. City Officials will work for the common good for the people of Cudahy and not for any private or personal interest. City Officials will assure fair and equal treatment of all persons, claims, and transactions coming before the Cudahy City Council, boards, commissions, and committees.

2. Comply with the Law
City Officials will comply with the laws of the nation, the State of California, and the City of Cudahy in the performance of their public duties. These laws include, but are not limited to: the United States and California constitutions; laws pertaining to conflicts of interest, election campaigns, financial disclosures, employer responsibilities, and open processes of government; and City ordinances and policies.

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5 3. Conduct of Members
The professional and personal conduct of City Officials must be above reproach and avoid even the appearance of impropriety. City Officials will refrain from abusive conduct, personal charges, or verbal attacks upon the character or motives of other City Officials.

4. Respect for Process
City Officials will perform their duties in accordance with the processes and rules of order established by the City Council and boards, commissions, and committees governing the deliberation of public policy issues, meaningful involvement of the public, and implementation of policy decisions of the City Council by City staff.

5. Conduct of Public Meetings
City Officials will prepare themselves for public issues; listen courteously and attentively to all public discussions before the body; and focus on the business at hand. They shall refrain from interrupting other speakers, making personal comments not germane to the business of the body, or otherwise interfering with the orderly conduct of meetings.

6. Decision Based on Merit
City Officials will base their decisions on the merits and substance of the matter at hand.

7. Communication
City Officials will publicly share substantive information that is relevant to a matter under consideration by the Council or boards, commissions, and committees which they may have received from sources outside the public decision-making process.

8. Conflict of Interest
In accordance with AB 1234, to assure their independence and impartiality on behalf of the common good, members will not use their official positions to influence government decisions in which they have a material financial interest or personal relationship which may give the appearance of a conflict of interest. In accordance with the law and FPPC requirements, members will disclose investments, interests in real property, sources of income, and gifts. They will abstain from participating in deliberations and decision-making where conflicts may exist.

9. Gifts and Favors
City Officials will comply with the requirements of the Political Reform Act relating to the acceptance and reporting of gifts.

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6 10.Confidential Information
City Officials will respect the confidentiality of information concerning City property, personnel, or proceedings of the City. They will neither disclose confidential information without proper legal authorization, nor use such information to advance their personal interests.

11.Use of Public Resources
City Officials will not use public resources that are not available to the public in general, such as City staff time, equipment, supplies, or facilities, for private gain or personal purposes. Members will not utilize the City's name or logo for the purpose of endorsing any political candidate or business.

12.Representation of Private Interests
In keeping with their role as stewards of the public interest, City Officials will not appear on behalf of the private interests of third parties before the Council or any board, commission, committee, or proceeding of the City, nor will members of boards, commissions, and committees appear before their own bodies or before the Council on behalf of the private interests of third parties on matters related to the areas of service of their bodies.

13. Advocacy
City Officials shall represent the official policies or positions of the City Council, board, commission, or committee to the best of their ability when designated as delegates for this purpose. When presenting their individual opinions and positions, members will explicitly state they do not represent their body or the City of Cudahy, nor will they allow the inference that they do.

14.Policy Role of Members
City Officials will respect and adhere to the council-manager structure of Cudahy city government as outlined in the City Municipal Code Chapter 2.12 with respect to the City Manager's relationship with the City Council. In this structure, the City Council determines the policies of the City with the advice, information, and analysis provided by the public, boards, commissions, and committees and City staff. As provided by the City ordinance, members will not interfere with the administrative functions of the City or the professional duties of City staff. Members will not impair the ability of staff to implement Council policy decisions. They will refrain from any direct interference in personnel matters or during labor negotiations, except through the City Manager and/or the duly appointed chief negotiator.

15.Independence of Boards, Commissions, and Committees
Independent advice of boards, commissions, and committees during the public decision-making process is vital. City Officials will refrain from using their position to unduly influence the deliberations or outcomes of board, commission, and committee proceedings.

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7 16.Positive Work Place Environment
City Officials will recognize their special role in dealing with City employees and refrain from creating the perception of inappropriate direction to staff.

17.Staff Relations
City Officials will treat each other with mutual respect. All concerns or complaints regarding staff should be directed to the City Manager. All work requests should be directed to the City Manager. Council members should not attempt to coerce or influence staff in the appointment of new employees, awarding of contracts, selection of consultants, processing of development applications or granting of City licenses or permits. The Council should not attempt to change or interfere with the operating policies and practices of any City department.

18.Implementation
The Code of Ethics and Conduct is intended to be self-enforcing. City Officials should be thoroughly familiar with the policies and abide by the provisions. Ethical standards will be included in the regular orientations for candidates for City Council, applicants to boards, commissions, and committees, and newly elected and appointed officials.

City Officials entering office will sign a statement affirming they had read and understood the City of Cudahy Code of Ethics and Conduct. In addition, the Code of Ethics and Conduct shall be reviewed bi-annually by the City Council, boards, commissions, and committees, and the City Council shall consider all recommendations from boards, commissions, and committees and update it as necessary.

19.Compliance and Enforcement
The Cudahy Code of Ethics and Conduct outlines standards of ethical conduct expected for members of the Cudahy City Council, boards, commissions, and committees. Members themselves have the primary responsibility to assure that ethical standards are understood and met, and that the public can continue to have full confidence in the integrity of government. The chairs of boards, commissions, and committees and the Mayor have the additional responsibility to intervene when members' actions appear to be in violation of the Code of Ethics and Conduct when brought to their attention. After consideration and consultation, the City Council may impose sanctions on members whose conduct does not comply with the City's ethical standards, such as reprimand, formal censure, loss of seniority, or committee assignment. The City Council also may act to remove members of boards, commissions, and committees from office. Prior to the imposition of any sanctions to a member of the City Council, the City Council shall follow applicable due process procedures with respect to the affected member.

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8 STATEMENT OF COMMITMENT
As a member of the Cudahy City Council or of a City board, commission, or committee, I agree to uphold the Code of Ethics and Conduct for elected and appointed officials adopted by the City Council and conduct myself by the following model of behavior. I will:
• Recognize the worth of individual members and appreciate their individual talents, perspectives, and contributions;
• Help create an atmosphere of respect and civility where individual members, City staff, and the public are free to express their ideas and work to their full potential;
• Conduct my personal and public affairs with honesty, integrity, fairness, and respect for others;
• Respect the dignity and privacy of individuals and organizations; • Keep the common good as my highest purpose and focus on achieving constructive solutions for the public benefit;
• Treat all people with whom I come in contact in the ways I wish to be treated; • Before I speak or act I will ask myself the following four questions:

1. Is it the truth?

2. Is it fair to all concerned?

3. Will it build goodwill and better friendships, partnerships, and collaborations?

4. Will it be beneficial to all concerned?
I affirm that I have read and that I understand, accept and support the City of Cudahy Code of Ethics and Conduct. I also commit to abiding by the provisions of AB 1234 including the ethics training requirement.

Name of Elected or Appointed Body: Position:

Print Name: Signature:

Date:

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Cudahy City CouncilAugust 20, 2024

Cudahy City Council
August 20, 2024