Agenda packet, regular meeting — Cypress City Council, September 9, 2024

AGENDA

REGULAR MEETING

CYPRESS CITY COUNCIL
September 9, 2024
6:00 P.M. - General Session
www.cypressca.org 5275 Orange Avenue
Cypress, California
Interested in speaking to the City Council? Information about participating in the City Council meeting appears at the end of the agenda.

CALL TO ORDER
6:00 P.M.

Council Chambers

ROLL CALL
Cypress City Council, also acting as the Ex-Officio Governing Board of Directors of the Cypress Recreation and Park District
Mayor Scott Minikus
Mayor Pro Tem Bonnie Peat
Council Member David Burke
Council Member Anne Mallari
Council Member Frances Marquez

PRESENTATIONS
Veteran Recognition Presentation
Senator Janet Nguyen Legislative Update
ORAL COMMUNICATIONS ON AGENDA ITEMS (Three minutes per speaker. The City Council may adjust the time allotted per speaker.)
The public may address the City Council on agenda items prior to any action taken. Although Council Members may provide brief responses, the City Council may not engage in a discussion with members of the public during the meeting. Please complete a Speaker's Card to address the City Council in-person. Please follow the instructions at the end of the agenda and wait for the Mayor/City Clerk to call on you to address the City Council virtually. Speakers providing in-person comments will be called first. Members of the public are encouraged to communicate with the City Council via email at [email protected] or by calling 714-229-6699.

CONSENT CALENDAR

CONSENT CALENDAR
All matters listed on the Consent Calendar are to be approved with one motion unless a Council Member requests separate action on a specific item. Council Members voting no or abstaining on a Consent Calendar item may do so without removing the item from the Consent Calendar.

1. Approve Minutes - Meetings of July 8, July 11, August 9, and August 21, 2024 Prepared by: Alisha Farnell, City Clerk
Recommendation: Approve as submitted.

2. Introduce and/or Adopt All Ordinances and Resolutions Presented for Consideration by Title Only and to Waive Further Reading

3. Adopt a Resolution to Amend the Conflict of Interest Code Prepared by: Alisha Farnell, City Clerk
Recommendation: Adopt a Resolution amending the Conflict of Interest Code for the City and Recreation and Park District, which supersedes all prior Conflict of Interest Codes and amendments previously adopted.

4. Approve a Funding Reallocation for FY 2023-24 Capital Project Expenditures Prepared by: Doug Dancs, Director of Public Works
Recommendation:

1. Approve a $650,000 funding transfer from the Road Maintenance and Rehabilitation Account (RMRA) Gas Tax Fund to the City Capital Projects Fund in FY 2023-24 for use on the Concrete Rehabilitation project rather than the Residential Street Resurfacing project; and

2. Approve the funding transfer of $650,000 from the Infrastructure Reserve Bank ($450,000) and the General Fund ($200,000) to the City Capital Project fund in FY 2023-24 for use on the Residential Street Resurfacing project rather than the Concrete Rehabilitation project.

5. Approve a Contract for Park Facility Lock Up Services Prepared by: Doug Dancs, Director of Public Works
Recommendation: Approve a two-year contract for park facility lock up services to California Safety Agency for $45,990.

6. Approve Revisions to the Agreement for Recreation Management Software with CivicPlus, LLC
Prepared by: Jeff Draper, Director of Recreation and Community Services Recommendation: Approve the renewal Statement of Work and Master Services Agreement with CivicPlus, LLC.

September 9, 2024 | Page 2

7. Approve an Agreement for Youth Sports Officials
Prepared by: Jeff Draper, Director of Recreation and Community Services Recommendation: Approve a one-year agreement for youth sports officiating with West Coast Officials for an amount not to exceed $16,632.

8. Approve Supplemental Appropriations and Increases to Estimated Revenues and Transfers for FY 2023-24
Prepared by: Matt Burton, Director of Finance and Administrative Services Recommendation:

1. Approve FY 2023-24 supplemental appropriations of $1,780,950 and increase estimated revenues by $20,800 for the City; and

2. Approve FY 2023-24 supplemental appropriations of $224,923 for the Cypress Recreation and Park District; and

3. Approve a $427,196 transfer from the District's Park Development Fund to the General Fund; and

4. Approve a $427,196 payment to the City's Infrastructure fund to apply against the outstanding Repayment Agreement and Promissory Note between the City and Park District for the construction of Lexington Park.

9. Adopt a Resolution Establishing Benefits for Management Employees Prepared by: Matt Burton, Director of Finance and Administrative Services Recommendation: Adopt a Resolution establishing the Schedule of Benefits for Management employees.

10. Award On-call Contracts for Network Consulting Services Prepared by: Matt Burton, Director of Finance and Administrative Services Recommendation:

1. Award a Professional Contract Services Contract to ADS Consulting Group, Inc. for On-Call Network Consulting Services; and

2. Award a Professional Contract Services Contract to LAN WAN Enterprise for On-Call Network Consulting Services.

NEW BUSINESS
None.

ITEMS REMOVED FROM CONSENT CALENDAR
September 9, 2024 | Page 3
ORAL COMMUNICATIONS (Three minutes per speaker. The City Council may adjust the time allotted per speaker.)
The public may address the City Council on any item within the subject matter jurisdiction of the City Council. Although Council Members may provide brief responses, the City Council may not discuss nor take action on items that are not on the agenda. Please complete a Speaker's Card to address the City Council in-person. Members of the public are encouraged to communicate with the City Council via email at [email protected] or by calling 714-229-6699.

COUNCIL MEMBER REPORTS FROM CITY-AFFILIATED BOARDS AND COMMITTEES

AND REMARKS

COUNCIL MEMBER ITEMS FOR FUTURE CONSIDERATION

CITY MANAGER REMARKS

ADJOURNMENT
The next meeting will be an adjourned Regular Meeting, to be held on Monday, September 23, 2024, beginning at 5:30 p.m. in the Executive Board Room.

Council Members and the public should promptly exit the Council Chambers and proceed through the Civic Center to the parking lot.

I hereby certify under penalty of perjury under the laws of the State of California, that the foregoing Agenda was posted on the City Hall bulletin board and City website not less than 72 hours prior to the meeting. Dated this 6th day of September, 2024.

________________________________
Alisha Farnell, City Clerk
September 9, 2024 | Page 4

PUBLIC PARTICIPATION
Members of the public can participate in the City Council meeting in the following ways:

1. Attend In-Person. First-come, first-served seating is available. All attendees must be free of any symptoms associated with contagious illnesses.

2. Attend Virtually via Webinar. Follow this link:
https://attendee.gotowebinar.com/register/2488719722269824087. Advanced registration is recommended.

The public may address the City Council virtually during Oral Communications on Agenda Items and Public Hearings. Virtual participants must click the 'hand raise' button prior to the end of the first in-person speaker to indicate they wish to address the City Council. Upon clicking the 'hand raise' button, please unmute your microphone and wait for the Mayor/City Clerk to call on you. = Hand Raise = Unmute

3. Submit Public Comments Prior to the Meeting. The public may submit comments via email to [email protected]. Comments submitted by 3:00 p.m. on the day of the meeting will be added to the meeting record.

4. Watch the Meeting. The City Council meeting can be viewed on Spectrum Cable Channel 36 or on the City's website at www.cypressca.org/watchlive.

5. Listen to the Meeting. Listen-only teleconferencing is available by calling (631) 992-3221 and entering Access Code 580-417-299. No registration or audio pin is necessary.

INVOCATION POLICY
The City Council does not endorse the content of the invocation and does not endorse the invocational speaker’s particular faith, belief and/or religious denomination. The City Council has an established neutral policy for selecting and scheduling invocational speakers. The City Council’s policy on invocations is available from the City Clerk.

AMERICANS WITH DISABILITIES ACT
In compliance with the Americans With Disabilities Act, if you need special assistance to participate in this meeting, you should contact the City Clerk at (714) 229-6685 at least 72 hours prior to the meeting to enable the City to make reasonable arrangements to assure accessibility to this meeting.

September 9, 2024 | Page 5
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 1.

FROM: Alisha Farnell, City Clerk
DATE: 09/09/2024
SUBJECT: Approve Minutes - Meetings of July 8, July 11, August 9, and August 21, 2024

RECOMMENDATION
Approve as submitted.

BUDGET IMPACT
None.

LEGAL REVIEW
None required.

APPROVED BY: Peter Grant, City Manager
Attachments
July 8, 2024 Special Meeting Minutes
July 8, 2024 Special Joint Meeting Minutes
July 8, 2024 Regular Meeting Minutes
July 11, 2024 Special Meeting Minutes
August 9, 2024 Special Meeting Minutes
August 21, 2024 Special Meeting Minutes

SPECIAL MEETING

CYPRESS CITY COUNCIL
JULY 8, 2024
4:30 P.M.

A regular meeting of the Cypress City Council was called to order at 4:31 p.m. by Mayor Minikus in the Executive Board Room, 5275 Orange Avenue, Cypress, California.

STAFF PRESENT
City Manager Peter Grant
City Attorney Fred Galante
Director of Finance and Administrative Services Matt Burton City Clerk Alisha Farnell
Human Resources Manager Regina Nguyen

ORAL COMMUNICATIONS ON CLOSED SESSION/ WORKSHOP ITEMS
None.

CLOSED SESSION

CONFERENCE WITH LABOR NEGOTIATOR
Pursuant to Government Code Section 54957.6
Agency Negotiators: City Manager and Director of Finance and Administrative Services Employee Groups: Cypress Employees’ Association
CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Pursuant to Government Code Section 54956.9(d)(1)
Fortis LLP v. Frances Marquez, City of Cypress
Case No. 30-2022-01277792-CU-WM-CJC
Orange County Superior Court
CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION
Initiation of litigation pursuant to Paragraph (4) of Subdivision (d) of Government Code Section 54956.9
Number of Cases: Once Case
Potential Defendant: City of Seal Beach
Mayor Minikus recessed the meeting at 4:32 p.m.

Mayor Minikus reconvened the meeting at 5:28 p.m.

REPORT OF WORKSHOP AGENDA / CLOSED SESSION
The City Attorney stated the City Council will recess back into Closed Session following the Regular Meeting of the City Council to continue the discussion of Closed Session items.

Mayor Minikus recessed the meeting at 5:29 p.m.

Mayor Minikus reconvened the meeting at 9:45 p.m.

The City Council continued its discussion of the Closed Session items listed on the agenda. As to the Conference with Legal Counsel – Existing Litigation, Fortis LLP v.

Frances Marquez, City of Cypress, Council Marquez abstained and did not participate in the Closed Session discussion. No reportable action was taken.

ADJOURNMENT
Mayor Minikus adjourned the meeting at 10:37 p.m. to an adjourned Regular Meeting, to be held on Monday, August 26, 2024, beginning at 6:00 p.m. in the Council Chambers. _______________________________

MAYOR OF THE CITY OF CYPRESS
ATTEST:
___________________________________

CITY CLERK OF THE CITY OF CYPRESS

SPECIAL JOINT MEETING

CYPRESS CITY COUNCIL AND

SENIOR CITIZENS COMMISSION
JULY 8, 2024
5:30 P.M.

A special joint meeting of the Cypress City Council and Senior Citizens Commission was called to order at 5:37 p.m. by Mayor Minikus in the Council Chambers, 5275 Orange Avenue, Cypress, California.

SENIOR CITIZENS COMMISSION
Commissioner Linda Croce – absent
Commissioner Cynthia Fayne
Commissioner Gincy Heins
Commissioner Hank Machal
Commissioner Claudia Nessary
Commissioner Ginger Osman
Commissioner David Skorupinski

STAFF PRESENT
City Manager Peter Grant
City Attorney Fred Galante
Director of Recreation and Community Services Jeff Draper City Clerk Alisha Farnell
Recreation Manager Ian Kokot
Recreation Supervisor Shayna Gutierrez
Recreation Coordinator Taylor Burtle
Recreation Coordinator Alexis Corral
Recreation Specialist Vanessa Banuelos
Recreation Specialist Katherine Diaz
Office Assistant II Carol Shore
INVOCATION Deacon Israel Rodriguez, St. Irenaeus Catholic Church, led the invocation.

PLEDGE OF ALLEGIANCE Council Member Mallari led the Pledge of Allegiance

PRESENTATIONS
The City Council presented a Certificate of Recognition to Cypress Resident Madden Ramirez for assisting to reunite Freddy the K9 with his family.

The City Council accepted a donation from the Senior Center Line Dancers group and recognized their efforts to support the Senior Center.

The Senior Citizens Commission presented Carlos Ramirez with the Grace Lachina Outstanding Senior Recognition Award.

The Recreation Supervisor introduced Senior Center staff members Taylor Burtle, Alexis Corral, Vanessa Banuelos, Katherine Diaz, and Carol Shore.

ORAL COMMUNICATIONS (Limited to three minutes per speaker, unless modified by the City Council)
None.

NEW BUSINESS
Item No. 1: Receive the Annual Update from the Senior Citizens Commission The Director of Recreation and Community Services provided a report on this item.

No action was taken.

ADJOURNMENT
By motion of Council Member Mallari, and seconded by Mayor Pro Tem Peat, the Mayor adjourned the meeting at 6:18 p.m. The next regular meeting of the City Council will be held on Monday, August 26, 2024, beginning at 5:30 p.m. in the Executive Board Room. _______________________________

MAYOR OF THE CITY OF CYPRESS
ATTEST:
___________________________________

CITY CLERK OF THE CITY OF CYPRESS

REGULAR MEETING

CYPRESS CITY COUNCIL
JULY 8, 2024
6:00 P.M. – General Session
A regular meeting of the Cypress City Council was called to order at 6:25 p.m. by Mayor Minikus in the Executive Board Room, 5275 Orange Avenue, Cypress, California.

STAFF PRESENT
City Manager Peter Grant
City Attorney Fred Galante
Director of Finance and Administration Services Matt Burton Director of Public Works Doug Dancs
Director of Recreation and Community Services Jeff Draper Planning Director Alicia Velasco
Chief of Police Mark Lauderback
City Clerk Alisha Farnell
City Engineer Nick Mangkalakiri

PRESENTATIONS
The Chief of Police introduced Police Clerk Laura Blazquez.

ORAL COMMUNICATIONS ON AGENDA ITEMS
Erika Gary, Cypress, spoke regarding Agenda item No. 5.

David Skorupinski, Cypress, spoke regarding Agenda item No. 5.

Terrisa Ha, Cypress, spoke regarding Agenda Item No. 5.

CONSENT CALENDAR
All matters listed on the Consent Calendar are to be approved with one motion unless a Council Member requests separate action on a specific item.

Council Member Burke requested to pull Agenda item No. 5.

A motion was made by Council Member Mallari and seconded by Mayor Pro Tem Peat, to approve consent calendar items No. 1 through 4 and 6 through 10.

The motion was unanimously carried by the following roll call vote:

AYES: 5 COUNCIL MEMBERS: Burke, Mallari, Marquez, Peat and Minikus NOES: 0 COUNCIL MEMBERS: None
ABSENT: 0 COUNCIL MEMBERS: None
Item No. 1: Approve Minutes - Meetings of May 13, May 23, and May 28, 2024 Recommendation: Approve as submitted.

Item No. 2: Introduce and/or Adopt All Ordinances and Resolutions Presented for Consideration by Title Only and to Waive Further Reading Item No. 3: Accept the Community Center Roof Replacement, Project 329 Recommendation:

1. Accept the Community Center Roof Replacement, Project 329, in the amount of $522,610.52 and approve the final payment of $26,130.53 to Rite-Way Roof Corporation; and

2. Authorize the City Engineer to file a Notice of Completion with the County Recorder.

Item No. 4: Approve an Agreement and Task Order for On-Call Stormwater/Water Quality Program Services
Recommendation:

1. Approve an agreement for on-call stormwater/water quality program services with Charles Abbott Associates, Inc., and

2. Approve a task order to Charles Abbott Associates, Inc. not to exceed $162,950 to perform stormwater/water quality program services from August 1, 2024 through June 30, 2025.

Item No. 6: Adopt an Ordinance Approving Electronic and Paper Methods of Filing Campaign Finance Disclosure Statements
Recommendation: Approve the second reading of an Ordinance relating to campaign finance reporting and approving electronic and paper methods of filing campaign finance disclosure statements.

ORDINANCE NO. 1209

AN ORDINANCE OF THE CITY OF CYPRESS, CALIFORNIA
AMENDING SECTION 2-128 OF THE CYPRESS MUNICIPAL CODE

RELATING TO CAMPAIGN FINANCE REPORTING AND APPROVING

ELECTRONIC AND PAPER METHODS OF FILING CAMPAIGN

FINANCE DISCLOSURE STATEMENTS
Item No. 7: Adopt a Resolution Approving a Three-Year Memorandum of Understanding with the Cypress Employees’ Association
Recommendation:

1. Adopt a Resolution approving a Memorandum of Understanding with the Cypress Employees’ Association from July 1, 2024 through June 30, 2027 and;

2. Approve a $125,000 appropriation in the General Fund for FY 2024-25 salary and benefit costs which exceed the adopted budget.

RESOLUTION NO. 6981

A RESOLUTION OF THE CITY COUNCIL AND ACTING AS EX-OFFICIO

BOARD OF DIRECTORS OF THE CYPRESS RECREATION AND PARK

DISTRICT OF THE CITY OF CYPRESS, APPROVING THE

MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF
CYPRESS AND THE CYPRESS EMPLOYEES’ ASSOCIATION

CONCERNING WAGES, SALARIES, FRINGE BENEFITS AND

CONDITIONS OF EMPLOYMENT
Item No. 8: Approve an Agreement Renewing Computer Security Monitoring Services
Recommendation: Approve a three-year agreement with SHI International Corp. for $42,834.13 to renew the CrowdStrike Computer Security Monitoring Services subscription.

Item No. 9: Adopt a Resolution approving the California State-Subdivision Agreement Regarding Distribution and Use of Settlement Funds with Kroger Co. to Resolve Lawsuits Accusing Pharmacy Chains of Mishandling Opioids Pain Drugs Recommendation: Adopt a Resolution authorizing the City to enter into the Settlement Agreement with Kroger Co. to resolve lawsuits accusing pharmacy chains of mishandling opioid pain drugs, agree to the terms of the related State-Subdivision Agreement, and authorize entry into the relates State-Subdivision Agreement with the Attorney General.

RESOLUTION NO. 6982

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS

AUTHORIZING THE CITY OF CYPRESS TO ENTER INTO THE
SETTLEMENT AGREEMENT WITH KROGER CO., AGREE TO THE

TERMS OF THE RELATED STATE-SUBDIVISION AGREEMENT, AND

AUTHORIZE ENTRY INTO THE RELATED STATE-SUBDIVISION

AGREEMENT WITH THE ATTORNEY GENERAL
Item No. 10: Receive and File the Police Department’s Annual Military Equipment Report Per California Assembly Bill 481
Recommendation:

1. Receive and file the Police Department’s Annual Military Equipment Report per California Assembly Bill 481; and

2. Approve a renewal of the military equipment policy previously adopted by City Council Ordinance No. 1194.

PUBLIC HEARING
Item No. 11: Adopt Resolutions to Implement the 2021-2029 Housing Element, Certify the Housing Element Implementation Program Environmental Impact Report, and Hold a General Municipal Election on November 5, 2024 The City Manager provided introductory comments.

The Planning Director provided a report on this item.

The City Council asked questions of staff.

Mayor Minikus opened the Public Hearing.

Mayor Minikus invited members of the public to speak on this item.

Armando Sepulveda, Cypress, spoke in opposition of the item.

Paul Kokkinos, Cypress, requested transparency throughout the process.

Steve Sollitt, Cypress, spoke regarding concerns with housing density.

Larry Civitelli, Cypress, spoke regarding housing impact on local hospitals.

Marilyn Reames, Cypress, spoke in opposition of the item.

Brittany Cook, Cypress, spoke regarding housing element implementation education and outreach.

Donna McDougal, Cypress, spoke regarding concerns with housing density.

Tim Keenan, Cypress, spoke in support of the item.

Brian Rutt, Cypress, spoke in opposition of the item.

Gayel Kaplan, Cypress, spoke regarding concerns with housing density.

Claire Siverman, Cypress, asked questions regarding housing element and expressed concerns with traffic.

Rita Gamil, Cypress, spoke in opposition of the item.

Kori Sanders, Cypress, spoke in support of the item.

Brooke Nafarrete, Cypress, spoke regarding traffic concerns with increased housing.

Mayor Minikus closed the Public Hearing.

The City Council discussion ensued.

The City Attorney read the title of the Ordinance.

A motion was made by Council Member Mallari, and seconded by Mayor Pro Tem Peat, to Adopt a Resolution certifying the Housing Element Implementation Program Environmental Impact Report, approving the Findings of Fact, Statement of Overriding Consideration, and the Mitigation Monitoring and Reporting Program; and Adopt a Resolution ordering the submission to the qualified voters of a measure with discussed revisions to consider approval of an Ordinance repealing the Cypress Town Center and Commons Specific Plan 2.0 and adopting the Cypress Town Center and Commons Specific Plan 3.0; authorizing the Mayor to submit an argument in favor of the measure, setting priorities for filing a written argument regarding the measure; and directing the City Attorney to prepare an impartial analysis, and providing for the filing of any rebuttal argument; and Adopt a Resolution requesting the Board of Supervisors of the County of Orange consolidate a General Municipal Election with the Statewide General Election on November 5, 2024, for the purpose of submitting a Measure to the voters pursuant to Elections Code Section 10403.

The motion was carried by the following roll call vote:

AYES: 4 COUNCIL MEMBERS: Burke, Mallari, Peat and Minikus NOES: 1 COUNCIL MEMBERS: Marquez
ABSENT: 0 COUNCIL MEMBERS: None
RESOLUTION NO. 6983
A RESOLUTION OF CITY COUNCIL OF THE CITY OF CYPRESS (1)

ADOPTING THE FINDINGS REQUIRED BY CEQA GUIDELINES,
SECTION 15091; (2) CERTIFYING THE ENVIRONMENTAL IMPACT
REPORT (SCH NO. 2023040560) FOR THE PROGRAMMATIC UPDATE TO THE CITY’S GENERAL PLAN, LINCOLN AVENUE SPECIFIC PLAN, THE CYPRESS TOWN CENTER AND COMMONS SPECIFIC PLAN 2.0,
THE 2012 CYPRESS BUSINESS AND PROFESSIONAL CENTER
SPECIFIC PLAN, AND IMPLEMENTING ZONING ORDINANCE; (3)

ADOPTING THE PROPOSED MITIGATION MONITORING AND
REPORTING PROGRAM, AND (4) ADOPTING A STATEMENT OF

OVERRIDING CONSIDERATIONS, PURSUANT TO THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT
RESOLUTION NO. 6984

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,

CALIFORNIA, ORDERING THE SUBMISSION TO THE QUALIFIED

ELECTORS OF THE CITY OF CYPRESS OF A MEASURE TO

CONSIDER APPROVAL OF AN ORDINANCE TO REPEAL THE
CYPRESS TOWN CENTER AND COMMONS SPECIFIC PLAN 2.0 AND

ADOPT THE CYPRESS TOWN CENTER AND COMMONS SPECIFIC
PLAN 3.0 TO MEET THE CITY OF CYPRESS’S REGIONAL HOUSING

NEEDS ALLOCATION AT THE GENERAL MUNICIPAL ELECTION TO
BE HELD ON NOVEMBER 5, 2024, AS CALLED BY RESOLUTION NO. 6974
RESOLUTION NO. 6985

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,

CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS OF THE

COUNTY OF ORANGE TO CONSOLIDATE A GENERAL MUNICIPAL
ELECTION TO BE HELD ON NOVEMBER 5, 2024, WITH THE

STATEWIDE GENERAL ELECTION TO BE HELD ON THE SAME DATE

FOR THE SUBMISSION OF A MEASURE TO CONSIDER APPROVAL

OF AN ORDINANCE TO REPEAL THE CYPRESS TOWN CENTER AND
COMMONS SPECIFIC PLAN 2.0 AND ADOPT THE CYPRESS TOWN
CENTER AND COMMONS SPECIFIC PLAN 3.0 TO MEET THE CITY OF CYPRESS’S REGIONAL HOUSING NEEDS ALLOCATION TO THE
VOTERS PURSUANT TO SECTION 10403 OF THE ELECTIONS CODE
Mayor Minikus recessed the meeting at 8:36 p.m.

Mayor Minikus reconvened the meeting at 8:48 p.m.

NEW BUSINESS
None.

ITEMS REMOVED FROM CONSENT CALENDAR
Item No. 5: Approve Agreements to Replace the Roof and HVAC of a City-Owned Building at 10161 Moody Street (Cedar Glen Park), Project 378 Council Member Burke commented on this item.

The City Attorney provided clarifying comments regarding the lease agreement between the City and Boys and Girls Club.

A motion was made by Mayor Pro Tem Peat, and seconded by Council Member Buke, to approve an Agreement for Construction Services with MDJ, LLC., for $507,766.02, and authorize a contingency of $76,000; and Approve a Task Order for Construction Inspection Services to FCG Consultants, Inc., for $49,265.70, and authorize a contingency of $7,400; and appropriate $640,432 in the City Capital Projects Fund for the Roof and HVAC Replacement at 10161 Moody Street (Cedar Glen Park), Project 378; and transfer $620,432 from the Infrastructure Reserve Fund to the City Capital Projects Fund for Project 378; and increase estimated revenues by $20,000 in the City Capital Projects Fund.

The motion was unanimously carried by the following roll call vote:

AYES: 5 COUNCIL MEMBERS: Burke, Mallari, Marquez, Peat and Minikus NOES: 0 COUNCIL MEMBERS: None
ABSENT: 0 COUNCIL MEMBERS: None

ITEMS FROM CITY COUNCIL MEMBERS
Item No. 12: Receive Reports from Council Members Appointed to Represent the City on Organizations and Committees
Council Member Buke provided a report regarding the Orange County Library Advisory Board, Briges at Kramer Place Community Advisory Board, and the Cypress School District Ad Hoc Subcommittee.

Council Member Mallari provided a report regarding the Orange County Fire Authority, Economic Development Ad Hoc Subcommittee, Cypress College Ad Hoc Subcommittee, and Anaheim Union High School District Ad Hoc Subcommittee.

Council Member Marquez provided a report regarding the Santa Ana River Flood Protection Agency.

Mayor Pro Tem Peat provided a report regarding the Orange County Mosquito and Vector Control District, Veteran Recognition Ad Hoc Subcommittee, and Cypress College Ad Hoc Subcommittee.

Mayor Minikus provided a report regarding the Orange County Sanitation District, Anaheim Union High School District Ad Hoc Subcommittee, Regional Military Affairs Committee, League of California Cities General Assembly, Southern California Association of Governments General Assembly, Veteran Recognition Ad Hoc Subcommittee, and West Cities Police Communications Center.

ORAL COMMUNICATIONS:

Armando Sepulveda, Cypress, spoke regarding City Council decorum.

The City Attorney provided clarification regarding procedural guidelines.

Denise Inouye, Cypress, spoke regarding holiday decorations.

Esther Poch, Cypress, spoke regarding district elections.

Brooke Nafarrete, Cypress, spoke regarding City Council behavior during meetings.

COUNCIL MEMBER REPORTS FROM CITY-AFFILIATED BOARDS AND

COMMITTEES AND REMARKS
Council Member Marquez
Attended Concerts on the Green and thanked the Recreation department. Attended the Orange County Public Library Career Online High School graduation ceremony.

Council Member Mallari:

Thanked the Recreation department for the Concerts on the Green and Senior programing.

Council Member Burke:

Congratulated the Recreation department on a successful Concert on the Green and Salute to America event. Attended the Orange County Public Library Career Online High School graduation ceremony.

Mayor Pro Tem Peat:

Attended the Regional Military Affairs Committee and OC Sanitation District Board meeting on behalf of Mayor Minikus. Attended Salute to America and Concerts on the Green. Provided information regarding viral infections transmitted by mosquitos to people.

Mayor Minikus:

Thanked Mayor Pro Tem Peat for attending OC Sanitation District and RMAC meetings on his behalf and stated he was out of town on a business trip. Attended Salute to America and Concerts on the Green.

COUNCIL MEMBER ITEMS FOR FUTURE CONSIDERATION
None.

CITY MANAGER REMARKS
City Attorney provided a report on two Supreme Court case related to homelessness.

ADJOURNMENT
Mayor Minikus adjourned the Regular Meeting at 9:41 p.m. to an adjourned Regular Meeting, to be held on Monday, August 26, 2024, beginning at 5:30 p.m. in the Executive Board Room.
_______________________________

MAYOR OF THE CITY OF CYPRESS
ATTEST:
___________________________________

CITY CLERK OF THE CITY OF CYPRESS

SPECIAL MEETING

CYPRESS CITY COUNCIL
JULY 11, 2024
1:00 P.M.

A special meeting of the Cypress City Council was called to order at 1:00 p.m. by Mayor Minikus in the Executive Board Room, 5275 Orange Avenue, Cypress, California

STAFF PRESENT
City Attorney Fred Galante
City Clerk Alisha Farnell
ORAL COMMUNICATIONS (Limited to three minutes per speaker, unless modified by the City Council)
None.

CLOSED SESSION
CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Pursuant to Government Code Section 54956.9(d)(1)
Fortis LLP v. Frances Marquez, City of Cypress
Case No. 30-2022-01277792-CU-WM-CJC
Orange County Superior Court
Mayor Minikus recessed the meeting at 1:01 p.m.

Mayor Minikus reconvened the meeting at 1:58 p.m.

REPORT OF CLOSED SESSION
The City Attorney reported that the City Council met in Closed Session regarding the item listed on the agenda, namely conference with Legal Counsel – existing litigation, the matter of Fortis LLP v. Frances Marquez. He stated that Council Member Marquez abstained and did not participate in the Closed Session discussion. He further stated the City Council, absent Council Member Marquez, received a briefing, provided direction and no further reportable action was taken.

ADJOURNMENT
Mayor Minikus adjourned the meeting at 1:59 p.m. to an adjourned Regular Meeting, to be held on Monday, August 26, 2024, beginning at 5:30 p.m. in the Executive Board Room.
_______________________________

MAYOR OF THE CITY OF CYPRESS
ATTEST:
___________________________________

CITY CLERK OF THE CITY OF CYPRESS

SPECIAL MEETING

CYPRESS CITY COUNCIL
AUGUST 9, 2024
11:00 A.M.

A special meeting of the Cypress City Council was called to order at 11:05 a.m. by Mayor Minikus in the Executive Board Room, 5275 Orange Avenue, Cypress, California

STAFF PRESENT
Assistant City Attorney Yecenia Vargas
City Clerk Alisha Farnell
ORAL COMMUNICATIONS (Limited to three minutes per speaker, unless modified by the City Council)
None.

CLOSED SESSION
CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION
Pursuant to Government Code Section 54956.9(d)(1)
Discussion of Potential Initiation of Litigation – One Potential Case Mayor Minikus recessed the meeting at 11:06 a.m.

Mayor Minikus reconvened the meeting at 11:30 a.m.

REPORT OF CLOSED SESSION
Assistant City Attorney Vargas reported that the City Council met in Closed Session regarding the item listed on the agenda, namely conference with Legal Counsel – anticipated litigation pursuant to Government Code Section 54956.9(d)(1), discussion of potential initiation of litigation, one potential case. She stated the City Council held a discussion and by motion of Mayor Minikus, seconded by Council Member Mallari, and carried 4-0-1, authorized the City to initiate litigation via writ of mandate to compel the correction of the rebuttal to the argument in favor of Measure S.

ADJOURNMENT
Mayor Minikus adjourned the meeting at 11:32 a.m. to an adjourned Regular Meeting, to be held on Monday, August 26, 2024, beginning at 5:30 p.m. in the Executive Board Room.
_______________________________

MAYOR OF THE CITY OF CYPRESS
ATTEST:
___________________________________

CITY CLERK OF THE CITY OF CYPRESS

SPECIAL MEETING

CYPRESS CITY COUNCIL
AUGUST 21, 2024
2:00 P.M.

A special meeting of the Cypress City Council was called to order at 2:03 p.m. by Mayor Minikus in the Executive Board Room, 5275 Orange Avenue, Cypress, California

STAFF PRESENT
City Manager Peter Grant
City Attorney Fred Galante
Special Council Todd Litfin
City Clerk Alisha Farnell
ORAL COMMUNICATIONS (Limited to three minutes per speaker, unless modified by the City Council)
None.

Mayor Minikus reconvened the meeting at 3:00 p.m.

ADJOURNMENT
Mayor Minikus adjourned the meeting at 3:01 p.m. to an adjourned Regular Meeting, to be held on Monday, August 26, 2024, beginning at 5:30 p.m. in the Executive Board Room.
_______________________________

MAYOR OF THE CITY OF CYPRESS
ATTEST:
___________________________________

CITY CLERK OF THE CITY OF CYPRESS
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 3.

FROM: Alisha Farnell, City Clerk
DATE: 09/09/2024
SUBJECT: Adopt a Resolution to Amend the Conflict of Interest Code

RECOMMENDATION
Adopt a Resolution amending the Conflict of Interest Code for the City and Recreation and Park District, which supersedes all prior Conflict of Interest Codes and amendments previously adopted.

DISCUSSION
The Political Reform Act (Act) requires every state and local agency to adopt a Conflict of Interest Code (Code) that obligates officials and employees who make governmental decisions to disclose their financial interests. To help identify potential conflicts of interest, the law requires public officials and employees in Conflict of Interest Code positions to report their financial interests on a Statement of Economic Interests Form (Form 700).

The Act requires an agency's Conflict of Interest Code to include three components:

Incorporation Section (Terms of the Code) - This section designates where Form 700s are filed and retained (i.e., the agency or the Fair Political Practices Commission).

This section also must reference Fair Political Practices Commission Regulation 18730, which provides the rules for disqualification procedures, reporting financial interests, and references the current gift limit. Regulation 18730 is attached.

1. List of Designated Positions - The Code must list all positions that involve the making or participation in making of decisions that, "may forseeably have a material effect on any financial interest."

2. Detailed Disclosure Categories - A disclosure category is a description of the types of financial interests disclosed on Form 700.

3. The Political Reform Act requires every local agency to review its Code at least every even-numbered year to ensure it remains current and accurate.

Minor revisions to the Conflict of Interest Code are needed at this time to update the list of designated filers to remove positions that have been eliminated and no longer exist in the organization, namely Building Official, City Planner, and Deputy City Attorney.

The attached Resolution adopts the Conflict of Interest Code for the City and Recreation and Park District. Additionally, the City is required to complete and execute the 2024 Local Agency Biennial Notice form and maintain a copy on file in the City Clerk's office.

BUDGET IMPACT
None.

LEGAL REVIEW
None required.

APPROVED BY: Peter Grant, City Manager
Attachments
Resolution
Conflict of Interest Code
FPPC Regulation 18730
2024 Local Agency Biennial Notice
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,

AND ACTING AS THE EX-OFFICIO GOVERNING BOARD OF

DIRECTORS OF THE CYPRESS RECREATION AND PARK DISTRICT,

A SUBSIDIARY DISTRICT OF THE CITY OF CYPRESS, ADOPTING A

CONFLICT OF INTEREST CODE WHICH SUPERSEDES ALL PRIOR

CONFLICT OF INTEREST CODES AND AMENDMENTS PREVIOUSLY

ADOPTED
WHEREAS, the Political Reform Act of 1974, Government Code §§ 81000 et seq., requires every state or local government agency to adopt and promulgate a Conflict of Interest Code and to amend the same on a regular basis; and WHEREAS, the City of Cypress has previously adopted a Conflict of Interest Code, and that Code now requires amendment; and
WHEREAS, the Fair Political Practices Commission (“FPPC”) has adopted Regulation 18730, of the California Code of Regulations (2 Cal. Code of Regulations, § 18730), which contains the terms of a standard or model conflict of interest code, which can be incorporated by reference, and which will be amended to conform to amendments in the Political Reform Act after public notice and hearings conducted by the Fair Political Practices Commission pursuant to the Administrative Procedure Act; and WHEREAS, incorporation by reference of the terms of the aforementioned regulation and amendments to it will help clarify the Conflict of Interest Code requirements and make compliance with such Code easier.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CYPRESS, AND

ACTING AS THE EX-OFFICIO GOVERNING BOARD OF DIRECTORS OF THE

CYPRESS RECREATION AND PARK DISTRICT, DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The attached Conflict of Interest Code incorporating by reference the terms of Regulation 18730 of the California Code of Regulations, and any amendments to it duly adopted by the Fair Political Practices Commission and the attached Appendices “A” and “B” in which officials and employees are designated and disclosure categories are set forth are hereby incorporated by reference and constitute the Conflict of Interest Code for the City of Cypress, California.

SECTION 2. Persons holding designated positions shall file Statements of Economic Interests pursuant to said Conflict of Interest Code.

SECTION 3. The provisions of all Conflict of Interest Codes and amendments thereto previously adopted for the City of Cypress are hereby superseded. 2 SECTION 4. The provisions of this Conflict of Interest Code will become effective upon approval of the City Council of the City of Cypress, and ex-officio governing Board of Directors of the Cypress, Recreation and Park District.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Cypress, and ex-officio governing Board of Directors of the Cypress Recreation and Park District, at a regular meeting held on the 9th day of September, 2024.

MAYOR OF THE CITY OF CYPRESS
ATTEST:

CITY CLERK OF THE CITY OF CYPRESS
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
I, ALISHA FARNELL, City Clerk of the City of Cypress, DO HEREBY CERTIFY that the foregoing Resolution was duly adopted at a regular meeting of the said City Council held on the 9th day of September, 2024, by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

CITY CLERK OF THE CITY OF CYPRESS

CONFLICT OF INTEREST CODE

OF THE CITY OF CYPRESS AND THE

CYPRESS RECREATION AND PARK DISTRICT
The Political Reform Act (Government Code §§ 87100 et seq.) requires state and local government agencies to adopt and promulgate Conflict of Interest Codes. The Fair Political Practices Commission has adopted a regulation (2 California Code of Regulations Section 18730) that contains the terms of a standard Conflict of Interest Code, which can be incorporated by reference in an agency’s code. After public notice and hearing, Regulation 18730 may be amended by the Fair Political Practices Commission to conform to amendments in the Political Reform Act. Therefore, the terms of 2 California Code of Regulations Section 18730 and any amendments to it duly adopted by the Fair Political Practices Commission, is hereby incorporated by reference. This regulation and the attached Appendices, designating positions and establishing disclosure categories, shall constitute the Conflict of Interest Code of the City of Cypress and the Cypress Recreation and Park District.

Individuals holding designated positions shall file statements of economic interests with the City of Cypress. Upon receipt of the statements of the City Council, City Manager, City Attorney, and City Treasurer, who are required to file statements of economic interests under Government Code § 87200, this agency shall make and retain copies and forward the originals of these statements to the Fair Political Practices Commission. Statements for all other designated positions will be retained by the City of Cypress.

Designated employees and individuals who shall file statements of economic interests with the City of Cypress are so designated in Appendix “A.” Legal Reference:

EDUCATION CODE
1006 Prohibitions applicable to specified officers

GOVERNMENT CODE
1090-1097 Prohibitions applicable to specified officers 1125-1128 Incompatible activities
82028 Definitions “Gifts”
82030 Definitions “Income”
82033 Definitions “Interest in real property”
87100-87103.5 Conflicts of Interest
87200-87210 Disclosure
87300-87313 Conflict of interest code
87500 Statements of economic interests
91000-91015 Enforcement
CODE OF REGULATIONS, TITLE 2
18100 et seq. Regulations of the Fair Political Practices Commission 69 OPS. CAL. ATTY. GEN 225 (1986)
APPENDIX “A”
Designated Positions Disclosure Category
Assistant City Attorney................................................................. 1,2,3,4,5,6 Chief of Police.............................................................................. 1,2,3,4,5,6 City Attorney.................................................................................1,2,3,4,5,6 City Clerk......................................................................................1,2,3,4,5,6 City Council.................................................................................. 1,2,3,4,5,6 City Engineer................................................................................1,2,3,4,5,6 City Manager................................................................................1,2,3,4,5,6 City Treasurer/Director of Finance and Administrative
Services....................................................................................... 1,2,3,4,5,6 Consultants*.................................................................................1,2,3,4,5,6 Director of Community Development/Planning............................ 1,2,3,4,5,6 Director of Public Works...............................................................1,2,3,4,5,6 Director of Recreation and Community Services......................... 1,2,3,4,5,6 Finance Manager/Assistant Director of Finance and
Administrative Services................................................................1,2,3,4,5,6 Human Resources Manager........................................................ 1,2,3,4,5,6 Information Technology Manager................................................ 1,2,3,4,5,6 Maintenance Superintendent....................................................... 1,2,3,4,5,6 Members of all City Commissions, Boards, and Committees...... 1,2,3,4,5,6 Police Captain.............................................................................. 1,2,3,4,5,6 Recreation and Community Services Manager............................1,2,3,4,5,6 Police Lieutenant …………………………………………………….1,2,3,4,5,6
Senior Management Analyst........................................................ 1,2,3,4,5,6 ___________________________________
*Consultants shall disclose pursuant to the broadest disclosure category in the Code subject to the following limitations: The City Manager may determine in writing that a particular consultant, although a “designated position,” is hired to perform a range of duties that is limited in scope and thus is not required to fully comply with the disclosure requirements in this Section. Such written determination shall include a description of the consultant’s duties and, based upon that description, a statement of the extent of disclosure requirements. The City Manager’s determination is a public record and shall be retained for public inspection in the same manner and location as this Conflict of Interest Code.

APPENDIX “B”

DISCLOSURE CATEGORIES
Designated Employees in Disclosure Category 1 Must Report:

All interest in real property, as defined in Government Code § 82033, within the jurisdiction. Real property shall be deemed to be within the jurisdiction of the property or any part of it is located within or not more than two miles outside the boundaries of the City of Cypress, or within two miles of any land owned or used by the City of Cypress. No disclosure need be made concerning the principal residence of the designated employee.

Designated Employees in Disclosure Category 2 Must Report:

All investments, as defined in Government Code § 87034. Financial interests are reportable only if located within or subject to the jurisdiction of the City of Cypress, or if the business entity is doing business or planning to do business in the City of Cypress, or has done business within the City of Cypress at any time during the two years prior to the filing of the statement.

Designated Employees in Disclosure Category 3 Must Report:

All income, as defined in Government Code § 82030, from any source located or doing business within the jurisdiction or expecting to do business within the jurisdiction. Income received from a public agency need not be disclosed.

Designated Employees in Disclosure Category 4 Must Report:

Employees whose duties involve contracting or purchasing:

Contracts or makes purchases for the entire City: Investments and business positions in business entities and sources of income, which provide services, supplies, materials, machinery or equipment of the type utilized by the City of Cypress.

Contracts or makes purchases for specific department: Investments and business positions in business entities and sources of income, which provide services, supplies materials, machinery or equipment of the type utilized by the designated employee’s department of division.

Designated Employees in Disclosure Category 5 Must Report: Investments and business positions in business entities, and sources of income, which engage in land development, construction or the acquisition or sale of real property, and all interests in real property.

Designated Employees in Disclosure Category 6 Must Report: All investments and business positions in business entities, and sources of income, which are subject to the regulatory, permit or licensing authority of the City of Cypress. 1 (Regulations of the Fair Political Practices Commission, Title 2, Division 6, California Code of Regulations)
§ 18730. Provisions of Conflict of Interest Codes.
(a) Incorporation by reference of the terms of this regulation along with the designation of employees and the formulation of disclosure categories in the Appendix referred to below constitute the adoption and promulgation of a conflict of interest code within the meaning of Section 87300 or the amendment of a conflict of interest code within the meaning of Section 87306 if the terms of this regulation are substituted for terms of a conflict of interest code already in effect. A code so amended or adopted and promulgated requires the reporting of reportable items in a manner substantially equivalent to the requirements of article 2 of chapter 7 of the Political Reform Act, Sections 81000, et seq. The requirements of a conflict of interest code are in addition to other requirements of the Political Reform Act, such as the general prohibition against conflicts of interest contained in Section 87100, and to other state or local laws pertaining to conflicts of interest.
(b) The terms of a conflict of interest code amended or adopted and promulgated pursuant to this regulation are as follows:
(1) Section 1. Definitions.

The definitions contained in the Political Reform Act of 1974, regulations of the Fair Political Practices Commission (Regulations 18110, et seq. ), and any amendments to the Act or regulations, are incorporated by reference into this conflict of interest code. (2) Section 2. Designated Employees.
2 The persons holding positions listed in the Appendix are designated employees. It has been determined that these persons make or participate in the making of decisions which may foreseeably have a material effect on economic interests. (3) Section 3. Disclosure Categories.

This code does not establish any disclosure obligation for those designated employees who are also specified in Section 87200 if they are designated in this code in that same capacity or if the geographical jurisdiction of this agency is the same as or is wholly included within the jurisdiction in which those persons must report their economic interests pursuant to article 2 of chapter 7 of the Political Reform Act, Sections 87200, et seq.

In addition, this code does not establish any disclosure obligation for any designated employees who are designated in a conflict of interest code for another agency, if all of the following apply:
(A) The geographical jurisdiction of this agency is the same as or is wholly included within the jurisdiction of the other agency;
(B) The disclosure assigned in the code of the other agency is the same as that required under article 2 of chapter 7 of the Political Reform Act, Section 87200; and (C) The filing officer is the same for both agencies.1
Such persons are covered by this code for disqualification purposes only. With respect to all other designated employees, the disclosure categories set forth in the Appendix specify which kinds of economic interests are reportable. Such a designated employee shall disclose in the employee's statement of economic interests those economic interests the employee has which are of the kind described in the disclosure categories to which the employee is assigned in the Appendix. It has been determined that the economic interests set forth in a designated employee's 3 disclosure categories are the kinds of economic interests which the employee foreseeably can affect materially through the conduct of the employee's office. (4) Section 4. Statements of Economic Interests: Place of Filing.

The code reviewing body shall instruct all designated employees within its code to file statements of economic interests with the agency or with the code reviewing body, as provided by the code reviewing body in the agency's conflict of interest code.2 (5) Section 5. Statements of Economic Interests: Time of Filing. (A) Initial Statements. All designated employees employed by the agency on the effective date of this code, as originally adopted, promulgated and approved by the code reviewing body, shall file statements within 30 days after the effective date of this code. Thereafter, each person already in a position when it is designated by an amendment to this code shall file an initial statement within 30 days after the effective date of the amendment. (B) Assuming Office Statements. All persons assuming designated positions after the effective date of this code shall file statements within 30 days after assuming the designated positions, or if subject to State Senate confirmation, 30 days after being nominated or appointed. (C) Annual Statements. All designated employees shall file statements no later than April

1. If a person reports for military service as defined in the Servicemember's Civil Relief Act, the deadline for the annual statement of economic interests is 30 days following the person's return to office, provided the person, or someone authorized to represent the person's interests, notifies the filing officer in writing prior to the applicable filing deadline that the person is subject to that federal statute and is unable to meet the applicable deadline, and provides the filing officer verification of the person's military status.
4 (D) Leaving Office Statements. All persons who leave designated positions shall file statements within 30 days after leaving office.
(5.5) Section 5.5. Statements for Persons Who Resign Prior to Assuming Office.

Any person who resigns within 12 months of initial appointment, or within 30 days of the date of notice provided by the filing officer to file an assuming office statement, is not deemed to have assumed office or left office, provided the person did not make or participate in the making of, or use the person's position to influence any decision and did not receive or become entitled to receive any form of payment as a result of the person's appointment. Such persons shall not file either an assuming or leaving office statement.
(A) Any person who resigns a position within 30 days of the date of a notice from the filing officer shall do both of the following:
(1) File a written resignation with the appointing power; and (2) File a written statement with the filing officer declaring under penalty of perjury that during the period between appointment and resignation the person did not make, participate in the making, or use the position to influence any decision of the agency or receive, or become entitled to receive, any form of payment by virtue of being appointed to the position. (6) Section 6. Contents of and Period Covered by Statements of Economic Interests. (A) Contents of Initial Statements.

Initial statements shall disclose any reportable investments, interests in real property and business positions held on the effective date of the code and income received during the 12 months prior to the effective date of the code.
(B) Contents of Assuming Office Statements.
5 Assuming office statements shall disclose any reportable investments, interests in real property and business positions held on the date of assuming office or, if subject to State Senate confirmation or appointment, on the date of nomination, and income received during the 12 months prior to the date of assuming office or the date of being appointed or nominated, respectively.
(C) Contents of Annual Statements. Annual statements shall disclose any reportable investments, interests in real property, income and business positions held or received during the previous calendar year provided, however, that the period covered by an employee's first annual statement shall begin on the effective date of the code or the date of assuming office whichever is later, or for a board or commission member subject to Section 87302.6, the day after the closing date of the most recent statement filed by the member pursuant to Regulation 18754. (D) Contents of Leaving Office Statements.

Leaving office statements shall disclose reportable investments, interests in real property, income and business positions held or received during the period between the closing date of the last statement filed and the date of leaving office.
(7) Section 7. Manner of Reporting.

Statements of economic interests shall be made on forms prescribed by the Fair Political Practices Commission and supplied by the agency, and shall contain the following information:
(A) Investment and Real Property Disclosure.

When an investment or an interest in real property3is required to be reported,4the statement shall contain the following:

1. A statement of the nature of the investment or interest; 6 2. The name of the business entity in which each investment is held, and a general description of the business activity in which the business entity is engaged;

3. The address or other precise location of the real property;

4. A statement whether the fair market value of the investment or interest in real property equals or exceeds $2,000, exceeds $10,000, exceeds $100,000, or exceeds $1,000,000. (B) Personal Income Disclosure. When personal income is required to be reported,5the statement shall contain:

1. The name and address of each source of income aggregating $500 or more in value, or $50 or more in value if the income was a gift, and a general description of the business activity, if any, of each source;

2. A statement whether the aggregate value of income from each source, or in the case of a loan, the highest amount owed to each source, was $1,000 or less, greater than $1,000, greater than $10,000, or greater than $100,000;

3. A description of the consideration, if any, for which the income was received;

4. In the case of a gift, the name, address and business activity of the donor and any intermediary through which the gift was made; a description of the gift; the amount or value of the gift; and the date on which the gift was received;

5. In the case of a loan, the annual interest rate and the security, if any, given for the loan and the term of the loan.
(C) Business Entity Income Disclosure. When income of a business entity, including income of a sole proprietorship, is required to be reported,6the statement shall contain:

1. The name, address, and a general description of the business activity of the business entity;
7 2. The name of every person from whom the business entity received payments if the filer's pro rata share of gross receipts from such person was equal to or greater than $10,000. (D) Business Position Disclosure. When business positions are required to be reported, a designated employee shall list the name and address of each business entity in which the employee is a director, officer, partner, trustee, employee, or in which the employee holds any position of management, a description of the business activity in which the business entity is engaged, and the designated employee's position with the business entity. (E) Acquisition or Disposal During Reporting Period. In the case of an annual or leaving office statement, if an investment or an interest in real property was partially or wholly acquired or disposed of during the period covered by the statement, the statement shall contain the date of acquisition or disposal.
(8) Section 8. Prohibition on Receipt of Honoraria.
(A) No member of a state board or commission, and no designated employee of a state or local government agency, shall accept any honorarium from any source, if the member or employee would be required to report the receipt of income or gifts from that source on the member's or employee's statement of economic interests. (B) This section shall not apply to any part-time member of the governing board of any public institution of higher education, unless the member is also an elected official. (C) Subdivisions (a), (b), and (c) of Section 89501 shall apply to the prohibitions in this section.
(D) This section shall not limit or prohibit payments, advances, or reimbursements for travel and related lodging and subsistence authorized by Section 89506. (8.1) Section 8.1. Prohibition on Receipt of Gifts in Excess of $520. 8 (A) No member of a state board or commission, and no designated employee of a state or local government agency, shall accept gifts with a total value of more than $520 in a calendar year from any single source, if the member or employee would be required to report the receipt of income or gifts from that source on the member's or employee's statement of economic interests.
(B) This section shall not apply to any part-time member of the governing board of any public institution of higher education, unless the member is also an elected official. (C) Subdivisions (e), (f), and (g) of Section 89503 shall apply to the prohibitions in this section.
(8.2) Section 8.2. Loans to Public Officials.
(A) No elected officer of a state or local government agency shall, from the date of the election to office through the date that the officer vacates office, receive a personal loan from any officer, employee, member, or consultant of the state or local government agency in which the elected officer holds office or over which the elected officer's agency has direction and control.
(B) No public official who is exempt from the state civil service system pursuant to subdivisions (c), (d), (e), (f), and (g) of Section 4 of Article VII of the Constitution shall, while he or she holds office, receive a personal loan from any officer, employee, member, or consultant of the state or local government agency in which the public official holds office or over which the public official's agency has direction and control. This subdivision shall not apply to loans made to a public official whose duties are solely secretarial, clerical, or manual. (C) No elected officer of a state or local government agency shall, from the date of the election to office through the date that the officer vacates office, receive a personal loan from 9 any person who has a contract with the state or local government agency to which that elected officer has been elected or over which that elected officer's agency has direction and control.

This subdivision shall not apply to loans made by banks or other financial institutions or to any indebtedness created as part of a retail installment or credit card transaction, if the loan is made or the indebtedness created in the lender's regular course of business on terms available to members of the public without regard to the elected officer's official status. (D) No public official who is exempt from the state civil service system pursuant to subdivisions (c), (d), (e), (f), and (g) of Section 4 of Article VII of the Constitution shall, while the official holds office, receive a personal loan from any person who has a contract with the state or local government agency to which that elected officer has been elected or over which that elected officer's agency has direction and control. This subdivision shall not apply to loans made by banks or other financial institutions or to any indebtedness created as part of a retail installment or credit card transaction, if the loan is made or the indebtedness created in the lender's regular course of business on terms available to members of the public without regard to the elected officer's official status. This subdivision shall not apply to loans made to a public official whose duties are solely secretarial, clerical, or manual. (E) This section shall not apply to the following:

1. Loans made to the campaign committee of an elected officer or candidate for elective office.

2. Loans made by a public official's spouse, child, parent, grandparent, grandchild, brother, sister, parent-in-law, brother-in-law, sister-in-law, nephew, niece, aunt, uncle, or first cousin, or the spouse of any such persons, provided that the person making the loan is not acting as an agent or intermediary for any person not otherwise exempted under this section. 10 3. Loans from a person which, in the aggregate, do not exceed $500 at any given time.

4. Loans made, or offered in writing, before January 1, 1998. (8.3) Section 8.3. Loan Terms.
(A) Except as set forth in subdivision (B), no elected officer of a state or local government agency shall, from the date of the officer's election to office through the date the officer vacates office, receive a personal loan of $500 or more, except when the loan is in writing and clearly states the terms of the loan, including the parties to the loan agreement, date of the loan, amount of the loan, term of the loan, date or dates when payments shall be due on the loan and the amount of the payments, and the rate of interest paid on the loan. (B) This section shall not apply to the following types of loans:

1. Loans made to the campaign committee of the elected officer.

2. Loans made to the elected officer by his or her spouse, child, parent, grandparent, grandchild, brother, sister, parent-in-law, brother-in-law, sister-in-law, nephew, niece, aunt, uncle, or first cousin, or the spouse of any such person, provided that the person making the loan is not acting as an agent or intermediary for any person not otherwise exempted under this section.

3. Loans made, or offered in writing, before January 1, 1998. (C) Nothing in this section shall exempt any person from any other provision of Title 9 of the Government Code.
(8.4) Section 8.4. Personal Loans.
(A) Except as set forth in subdivision (B), a personal loan received by any designated employee shall become a gift to the designated employee for the purposes of this section in the following circumstances:
11 1. If the loan has a defined date or dates for repayment, when the statute of limitations for filing an action for default has expired.

2. If the loan has no defined date or dates for repayment, when one year has elapsed from the later of the following:
a. The date the loan was made.
b. The date the last payment of $100 or more was made on the loan. c. The date upon which the debtor has made payments on the loan aggregating to less than $250 during the previous 12 months.
(B) This section shall not apply to the following types of loans:

1. A loan made to the campaign committee of an elected officer or a candidate for elective office.

2. A loan that would otherwise not be a gift as defined in this title.

3. A loan that would otherwise be a gift as set forth under subdivision (A), but on which the creditor has taken reasonable action to collect the balance due.

4. A loan that would otherwise be a gift as set forth under subdivision (A), but on which the creditor, based on reasonable business considerations, has not undertaken collection action.

Except in a criminal action, a creditor who claims that a loan is not a gift on the basis of this paragraph has the burden of proving that the decision for not taking collection action was based on reasonable business considerations.

5. A loan made to a debtor who has filed for bankruptcy and the loan is ultimately discharged in bankruptcy.
(C) Nothing in this section shall exempt any person from any other provisions of Title 9 of the Government Code.
12 (9) Section 9. Disqualification.

No designated employee shall make, participate in making, or in any way attempt to use the employee's official position to influence the making of any governmental decision which the employee knows or has reason to know will have a reasonably foreseeable material financial effect, distinguishable from its effect on the public generally, on the official or a member of the official's immediate family or on:
(A) Any business entity in which the designated employee has a direct or indirect investment worth $2,000 or more;
(B) Any real property in which the designated employee has a direct or indirect interest worth $2,000 or more;
(C) Any source of income, other than gifts and other than loans by a commercial lending institution in the regular course of business on terms available to the public without regard to official status, aggregating $500 or more in value provided to, received by or promised to the designated employee within 12 months prior to the time when the decision is made; (D) Any business entity in which the designated employee is a director, officer, partner, trustee, employee, or holds any position of management; or (E) Any donor of, or any intermediary or agent for a donor of, a gift or gifts aggregating $500 or more provided to, received by, or promised to the designated employee within 12 months prior to the time when the decision is made.
(9.3) Section 9.3. Legally Required Participation.

No designated employee shall be prevented from making or participating in the making of any decision to the extent the employee's participation is legally required for the decision to be made. 13 The fact that the vote of a designated employee who is on a voting body is needed to break a tie does not make the employees' participation legally required for purposes of this section. (9.5) Section 9.5. Disqualification of State Officers and Employees.

In addition to the general disqualification provisions of section 9, no state administrative official shall make, participate in making, or use the official's position to influence any governmental decision directly relating to any contract where the state administrative official knows or has reason to know that any party to the contract is a person with whom the state administrative official, or any member of the official's immediate family has, within 12 months prior to the time when the official action is to be taken:
(A) Engaged in a business transaction or transactions on terms not available to members of the public, regarding any investment or interest in real property; or (B) Engaged in a business transaction or transactions on terms not available to members of the public regarding the rendering of goods or services totaling in value $1,000 or more. (10) Section 10. Disclosure of Disqualifying Interest.

When a designated employee determines that the employee should not make a governmental decision because the employee has a disqualifying interest in it, the determination not to act may be accompanied by disclosure of the disqualifying interest. (11) Section 11. Assistance of the Commission and Counsel.

Any designated employee who is unsure of the duties under this code may request assistance from the Fair Political Practices Commission pursuant to Section 83114 and Regulations 18329 and 18329.5 or from the attorney for the employee's agency, provided that nothing in this section requires the attorney for the agency to issue any formal or informal opinion. (12) Section 12. Violations.
14 This code has the force and effect of law. Designated employees violating any provision of this code are subject to the administrative, criminal and civil sanctions provided in the Political Reform Act, Sections 81000-91014. In addition, a decision in relation to which a violation of the disqualification provisions of this code or of Section 87100 or 87450 has occurred may be set aside as void pursuant to Section 91003.
____________________
1 Designated employees who are required to file statements of economic interests under any other agency's conflict of interest code, or under article 2 for a different jurisdiction, may expand their statement of economic interests to cover reportable interests in both jurisdictions, and file copies of this expanded statement with both entities in lieu of filing separate and distinct statements, provided that each copy of such expanded statement filed in place of an original is signed and verified by the designated employee as if it were an original. See Section 81004. 2 See Section 81010 and Regulation 18115 for the duties of filing officers and persons in agencies who make and retain copies of statements and forward the originals to the filing officer. 3 For the purpose of disclosure only (not disqualification), an interest in real property does not include the principal residence of the filer.
4 Investments and interests in real property which have a fair market value of less than $2,000 are not investments and interests in real property within the meaning of the Political Reform Act.

However, investments or interests in real property of an individual include those held by the individual's spouse and dependent children as well as a pro rata share of any investment or interest in real property of any business entity or trust in which the individual, spouse and dependent children own, in the aggregate, a direct, indirect or beneficial interest of 10 percent or greater.
15 5 A designated employee's income includes the employee's community property interest in the income of the employee's spouse but does not include salary or reimbursement for expenses received from a state, local or federal government agency. 6 Income of a business entity is reportable if the direct, indirect or beneficial interest of the filer and the filer's spouse in the business entity aggregates a 10 percent or greater interest. In addition, the disclosure of persons who are clients or customers of a business entity is required only if the clients or customers are within one of the disclosure categories of the filer.

Note: Authority cited: Section 83112, Government Code. Reference: Sections 87103(e), 87300- 87302, 89501, 89502 and 89503, Government Code.

HISTORY

1. New section filed 4-2-80 as an emergency; effective upon filing (Register 80, No. 14).

Certificate of Compliance included.

2. Editorial correction (Register 80, No. 29).

3. Amendment of subsection (b) filed 1-9-81; effective thirtieth day thereafter (Register 81, No. 2).

4. Amendment of subsection (b)(7)(B)1. filed 1-26-83; effective thirtieth day thereafter (Register 83, No. 5).

5. Amendment of subsection (b)(7)(A) filed 11-10-83; effective thirtieth day thereafter (Register 83, No. 46).

6. Amendment filed 4-13-87; operative 5-13-87 (Register 87, No. 16).

7. Amendment of subsection (b) filed 10-21-88; operative 11-20-88 (Register 88, No. 46).

8. Amendment of subsections (b)(8)(A) and (b)(8)(B) and numerous editorial changes filed 8-28- 90; operative 9-27-90 (Reg. 90, No. 42).
16 9. Amendment of subsections (b)(3), (b)(8) and renumbering of following subsections and amendment of Note filed 8-7-92; operative 9-7-92 (Register 92, No. 32).

10. Amendment of subsection (b)(5.5) and new subsections (b)(5.5)(A)-(A)(2) filed 2-4-93; operative 2-4-93 (Register 93, No. 6).

11. Change without regulatory effect adopting Conflict of Interest Code for California Mental Health Planning Council filed 11-22-93 pursuant to title 1, section 100, California Code of Regulations (Register 93, No. 48). Approved by Fair Political Practices Commission 9-21-93.

12. Change without regulatory effect redesignating Conflict of Interest Code for California Mental Health Planning Council as chapter 62, section 55100 filed 1-4-94 pursuant to title 1, section 100, California Code of Regulations (Register 94, No. 1).

13. Editorial correction adding History 11 and 12 and deleting duplicate section number (Register 94, No. 17).

14. Amendment of subsection (b)(8), designation of subsection (b)(8)(A), new subsection (b)(8)(B), and amendment of subsections (b)(8.1)-(b)(8.1)(B), (b)(9)(E) and Note filed 3-14-95; operative 3-14-95 pursuant to Government Code section 11343.4(d) (Register 95, No. 11).

15. Editorial correction inserting inadvertently omitted language in footnote 4 (Register 96, No. 13).

16. Amendment of subsections (b)(8)(A)-(B) and (b)(8.1)(A), repealer of subsection (b)(8.1)(B), and amendment of subsection (b)(12) filed 10-23-96; operative 10-23-96 pursuant to Government Code section 11343.4(d) (Register 96, No. 43).

17. Amendment of subsections (b)(8.1) and (9)(E) filed 4-9-97; operative 4-9-97 pursuant to Government Code section 11343.4(d) (Register 97, No. 15). 17 18. Amendment of subsections (b)(7)(B)5., new subsections (b)(8.2)-(b)(8.4)(C) and amendment of Note filed 8-24-98; operative 8-24-98 pursuant to Government Code section 11343.4(d) (Register 98, No. 35).

19. Editorial correction of subsection (a) (Register 98, No. 47).

20. Amendment of subsections (b)(8.1), (b)(8.1)(A) and (b)(9)(E) filed 5-11-99; operative 5-11- 99 pursuant to Government Code section 11343.4(d) (Register 99, No. 20).

21. Amendment of subsections (b)(8.1)-(b)(8.1)(A) and (b)(9)(E) filed 12-6-2000; operative 1-1- 2001 pursuant to the 1974 version of Government Code section 11380.2 and Title 2, California Code of Regulations, section 18312(d) and (e) (Register 2000, No. 49).

22. Amendment of subsections (b)(3) and (b)(10) filed 1-10-2001; operative 2-1-2001.

Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements) (Register 2001, No. 2).

23. Amendment of subsections (b)(7)(A)4., (b)(7)(B)1.-2., (b)(8.2)(E)3., (b)(9)(A)-(C) and footnote 4. filed 2-13-2001. Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements) (Register 2001, No. 7).

24. Amendment of subsections (b)(8.1)-(b)(8.1)(A) filed 1-16-2003; operative 1-1-2003.

Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, 18 nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements) (Register 2003, No. 3).

25. Editorial correction of History 24 (Register 2003, No. 12).

26. Editorial correction removing extraneous phrase in subsection (b)(9.5)(B) (Register 2004, No. 33).

27. Amendment of subsections (b)(2)-(3), (b)(3)(C), (b)(6)(C), (b)(8.1)-(b)(8.1)(A), (b)(9)(E) and (b)(11)-(12) filed 1-4-2005; operative 1-1-2005 pursuant to Government Code section 11343.4 (Register 2005, No. 1).

28. Amendment of subsection (b)(7)(A)4. filed 10-11-2005; operative 11-10-2005 (Register 2005, No. 41).

29. Amendment of subsections (a), (b)(1), (b)(3), (b)(8.1), (b)(8.1)(A) and (b)(9)(E) filed 12-18- 2006; operative 1-1-2007. Submitted to OAL pursuant to Fair Political Practices Commission v.

Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements) (Register 2006, No. 51).

30. Amendment of subsections (b)(8.1)-(b)(8.1)(A) and (b)(9)(E) filed 10-31-2008; operative 11- 30-2008. Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2008, No. 44).

31. Amendment of section heading and section filed 11-15-2010; operative 12-15-2010.

Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of 19 Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2010, No. 47).

32. Amendment of section heading and subsections (a)-(b)(1), (b)(3)-(4), (b)(5)(C), (b)(8.1)- (b)(8.1)(A) and (b)(9)(E) and amendment of footnote 1 filed 1-8-2013; operative 2-7-2013.

33. Amendment of subsections (b)(8.1)-(b)(8.1)(A), (b)(8.2)(E)3. and (b)(9)(E) filed 12-15-2014; operative 1-1-2015 pursuant to section 18312(e)(1)(A), title 2, California Code of Regulations.

Submitted to OAL for filing and printing pursuant to Fair Political Practices Commission v.

34. Redesignation of portions of subsection (b)(8)(A) as new subsections (b)(8)(B)-(D), amendment of subsections (b)(8.1)-(b)(8.1)(A), redesignation of portions of subsection (b)(8.1)(A) as new subsections (b)(8.1)(B)-(C) and amendment of subsection (b)(9)(E) filed 12- 1-2016; operative 12-31-2016 pursuant to Cal. Code Regs. tit. 2, section 18312(e). Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, 20 April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2016, No. 49).

35. Amendment of subsections (b)(8.1)-(b)(8.1)(A) and (b)(9)(E) filed 12-12-2018; operative 1- 11-2019 pursuant to Cal. Code Regs., tit. 2, section 18312(e). Submitted to OAL for filing and printing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2018, No. 50).

36. Amendment of subsections (b)(8.1)-(8.1)(A) filed 12-23-2020; operative 1-1-2021 pursuant to Cal. Code Regs., tit. 2, section 18312(e). Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2020, No. 52).

37. Amendment of subsections (b)(3)(C), (b)(5)(C), (b)(5.5), (b)(5.5)(A)(2), (b)(7)(D), (b)(8)(A), (b)(8.1)(A), (b)(8.2)(A), (b)(8.2)(C)-(D), (b)(8.3)(A), (b)(9), (b)(9.3), (b)(9.5), (b)(10) and (b)(11) and footnote 5 filed 5-12-2021; operative 6-11-2021 pursuant to Cal. Code Regs., tit. 2, section 18312(e). Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 21 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2021, No. 20).
www.fppc.ca.gov
FPPC Advice: [email protected] (866.275.3772)

Page 1 of 1 ends

2024 Local Agency Biennial Notice
Name of Agency:

Mailing Address:

Contact Person: Phone No.

Email: Alternate Email:

Accurate disclosure is essential to monitor whether officials have conflicts of interest and to help ensure public trust in government. The biennial review examines current programs to ensure that the agency’s code includes disclosure by those agency officials who make or participate in making governmental decisions.

This agency has reviewed its conflict of interest code and has determined that (check one BOX):
 An amendment is required. The following amendments are necessary:
(Check all that apply.)
 Include new positions
 Revise disclosure categories
 Revise the titles of existing positions
 Delete titles of positions that have been abolished and/or positions that no longer make or participate in making governmental decisions
 Other (describe)
 The code is currently under review by the code reviewing body.  No amendment is required. (If your code is over five years old, amendments may be necessary.)
Verification (to be completed if no amendment is required) This agency’s code accurately designates all positions that make or participate in the making of governmental decisions. The disclosure assigned to those positions accurately requires that all investments, business positions, interests in real property, and sources of income that may foreseeably be affected materially by the decisions made by those holding designated positions are reported. The code includes all other provisions required by Government Code Section 87302.
__________________________________________ _________________________ Signature of Chief Executive Officer Date
All agencies must complete and return this notice regardless of how recently your code was approved or amended. Please return this notice no later than October 1, 2024, or by the date specified by your agency, if earlier, to:
(PLACE RETURN ADDRESS OF CODE REVIEWING BODY HERE)
PLEASE DO NOT RETURN THIS FORM TO THE FPPC.

CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 4.

FROM: Douglas Dancs, Director of Public Works
DATE: 09/09/2024
SUBJECT: Approve a Funding Reallocation for FY 2023-24 Capital Project Expenditures

RECOMMENDATION

DISCUSSION
The City receives approximately $1.2 million of Measure M2 revenues from the Orange County Transportation Authority (OCTA) annually for street and right-of-way purposes. To be eligible for M2 funding, cities are required to maintain an annual minimum maintenance of effort (MOE), which mandates local discretionary funds (typically General funds) are expended for streets and right-of-way purposes. The intent of the MOE requirement is to ensure M2 funds supplement, rather than replace, an agency's recurring investment in streets and roads.

Based on a preliminary analysis of FY 2023-24 expenditures, Public Works will fall short of meeting the OCTA MOE requirement by approximately $600,000 and it is recommended that additional discretionary funding is reallocated to eligible project(s) to meet the MOE. The projected shortfall is due to delays with the annual concrete rehabilitation project funded with discretionary General Fund moneys. Unfortunately, due to high demand in the construction market, the contractor was unable to start the concrete rehabilitation project until July 10.

Fortunately, the City invested more than $2.3 million on residential street resurfacing in FY 2023-24, with the majority of the project funding budgeted with restricted Gas Tax moneys.

Swapping $650,000 of restricted Gas Tax funding budgeted for residential street resurfacing for the discretionary funding budgeted for the annual concrete rehabilitation project will ensure sufficient FY 2023-24 General Fund spending to meet MOE requirements. This funding reallocation is permitted by Measure M2 and similar changes have been approved in prior years.

FY 2023-24 BUDGETED FUNDING
Discretionary
General Fund
Restricted
Gas Tax Fund TOTAL
Residential Street Rehabilitation $ 800,000 $ 1,900,000 $ 2,700,000 Annual Concrete Rehabilitation $ 700,000 $ - $ 700,000
TOTAL $ 1,500,000 $ 1,900,000 $ 3,400,000
RECOMMENDED FY 2023-24

REALLOCATION
Discretionary
General Fund
Resticted
Gas Tax TOTAL
Residential Street Rehabilitation $ 1,450,000 $ 1,250,000 $ 2,700,000 Annual Concrete Rehabilitation $ 50,000 $ 650,000 $ 700,000 TOTAL $ 1,500,000 $ 1,900,000 $ 3,400,000
The recommended funding will allow the annual concrete rehabilitation project to be carried over to FY 2024-25 and use restricted GasTax amounts, which will ensure the City meets its FY 2023-24 MOE requirements and remains eligible for ongoing participation in both the Measure M2 and State Gas Tax programs.

To ensure capital project expenditures meet MOE requirements in the future, Public Works will advance project schedules, utilize cooperative agreements, and explore other streamlining efforts. Current street and right-of-way projects, including those funded with discretionary funds, are expected to be completed prior to June 30, 2025. Public Works will monitor project timelines, coordinate more closely with Finance and Administrative Services and brief the City Manager throughout the year to allow sufficient time to respond to any unexpected issues that may impact the City's ability to meet annual MOE requirements.

BUDGET IMPACT
The $650,000 funding reallocation is a timing issue between fiscal years that will not impact fund balance amounts projected to be available at June 30, 2025. Shifting unrestricted discretionary General Fund resources to residential street resurfacing in FY 2023-24 will ensure MOE requirements are met. The corresponding reallocation of $650,000 in restricted Gas Tax funding for the completion of the concrete rehabilitation project is not expected to impact the City's ability to meet it's FY 2024-25 MOE requirements if the other budgeted capital projects using discretionary General Fund resources are completed prior to June 30, 2025.

LEGAL REVIEW
None required.

APPROVED BY: Peter Grant, City Manager
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 5.

FROM: Douglas Dancs, Director of Public Works
DATE: 09/09/2024
SUBJECT: Approve a Contract for Park Facility Lock Up Services

RECOMMENDATION
Approve a two-year contract for park facility lock up services to California Safety Agency for $45,990.

DISCUSSION
Public Works contracts for security patrol services and evening lock-up of park restrooms and tennis courts at nine locations. The two-year agreement with our existing contractor will expire on September 25, 2024. Public Works solicited bids in June and four contractors submitted bids. The lowest responsible bidder was the firm that has provided these services to Cypress for the last two years, California Safety Agency. They are based in Anaheim and have done this type of work throughout Southern California for cities, gated communities, shopping centers, and special events since 2012.

This contract will provide the following services for park restrooms and tennis courts from September 26, 2024 through September 25, 2026:

Nightly locking of all buildings and gates to prevent use by the public Documenting graffiti, vandalism, and facility deficiencies Monitoring suspicious activities, and submitting nightly reports at the end of each work shift
BUDGET IMPACT
Sufficient amounts are included in the City and District budgets to provide for the recommended park facility lock-up services.

LEGAL REVIEW
The City Attorney has approved the agreement as to form.

APPROVED BY: Peter Grant, City Manager
Attachments
Award Information Checklist
Agreement for Contract Services
Bid Proposals
Project Award Information Checklist
Description of Project:

The project scope performs security patrol services to lockup park restrooms and tennis courts.

Project Location: Civic Center Tennis Courts, Civic Center Green Restrooms, Oak Knoll Park, Mackay Park, Arnold Cypress Park, Evergreen Park, Willow Park, Veterans Park, and Lexington Sports Park.

Contract Working Days: Two-years, with zero options to extend.

Bid Comparison:

Bidders Per Location Per Day Grand Total (730 days)

1. CA Safety Agency; $7 $63 $45,990
Anaheim, CA

2. Safeguard on Demand; $16 $144 $105,120
Irvine, CA

3. Patrol Master; $18 $162 $118,260
Santa Ana, CA

4. Professional Security; $25 $225 $164,250
Chatsworth, CA
Apparent Low Bidder: California Safety Agency; Anaheim, CA Qualified to Perform Work: Yes.

Contractor’s License: Valid at time of Award: Yes
Valid at time of Bid: Yes
Experience: The apparent low bidder is the incumbent for the City’s security patrol services to lockup park restrooms and tennis courts since 2022.

CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 6.

FROM: Jeff Draper, Director of Recreation and Community Services DATE: 09/09/2024
SUBJECT: Approve Revisions to the Agreement for Recreation Management Software with CivicPlus, LLC

RECOMMENDATION
Approve the renewal Statement of Work and Master Services Agreement with CivicPlus, LLC.

DISCUSSION
In 2016, the City Council approved an agreement with Rec1 to provide its recreation management solution. Rec1 was then acquired by CivicPlus, LLC (CivicPlus) and renamed CivicRec. In 2019, City Council approved an amendment to the agreement with CivicPlus that automatically renewed each year in September, converted the pricing structure from a percentage of monthly net transactions to an annual fee, and provided a 5% annual cost increase beginning in the 3rd year of service.

In June 2024, CivicPlus issued a renewal Statement of Work with a notice of a 15% price increase beginning September 1, 2025, exceeding the agreement’s allowable 5% annual increase. The primary driver of this price increase is inflation-related, with CivicPlus citing a cumulative inflation rate of over 25 percent since 2017. The Statement of Work also subjects Recreation and Community Services to the terms and conditions of CivicPlus’ Master Services Agreement, superseding and replacing all prior agreements and amendments.

Recreation and Community Services utilizes CivicRec as its recreation management solution, which includes transaction tracking for facility reservations, activity registration, and point of sale items.

Completed
Transactions Revenue Cost ofCivicRec
FY2023-2024
Actuals 7,435 $1,152,506 $14,254
FY 2024-2025
Estimates 7,600 $1,230,000 $15,000
FY 2025-2026
Estimates 7,700 $1,250,000 $17,200
If the new Statement of Work and Master Services Agreement is not approved, CivicPlus, LLC may terminate the agreement with six months notice. After reviewing the price increase and comparing it to other vendors who offer similar services, CivicRec remains the best option for Recreation and Community Services. The increased annual service fee is considerably less than other solutions, which range from $24,000 to $46,000 per year plus implementation and training costs. Unless terminated 60 days prior to the end of the initial term or subsequent renewal terms, the new Master Services Agreement automatically renews each year and allows for a five percent annual increase.

BUDGET IMPACT
Sufficient amounts are included in the Park District’s FY 2024-25 General Fund budget.

Future budgets will incorporate the 15 percent price increase effective in September 2025 and incorporate the terms of the Master Services Agreement.

LEGAL REVIEW
The City Attorney has reviewed the Master Services Agreement.

APPROVED BY: Peter Grant, City Manager
Attachments
Statement of Work
Master Services Agreement
CivicPlus
302 South 4th St. Suite 500
Manhattan, KS 66502
US
Quote #: Q-75474-1
Date: 5/10/2024 10:19 AM
Customer: CYPRESS, CALIFORNIA
QTY Product Name DESCRIPTION

1.00 CivicRec Annual Renewal CivicRec Annual Renewal

1.00 CivicRec Year 1 Annual Fee Discount Year 1 Annual Fee Discount Annual Recurring Services - Initial Term: 9/1/24-8/31/25 USD 14,966.02 Annual Recurring Services - Year 2: 9/1/25-8/31/26 USD 17,210.93

1. This renewal Statement of Work ("SOW") is between Cypress Recreation & Community Services (“Customer”) and CivicPlus, LLC and shall be subject to the terms and conditions of the Master Services Agreement (“MSA”) and the applicable Solutions and Products terms found at: www.civicplus.help/hc/p/legal-stuff (collectively, the “Terms and Conditions”). By signing this SOW, Customer expressly agrees to the Terms and Conditions throughout the Term of this SOW. The Terms and Conditions form the entire agreement between Customer and CivicPlus (collectively, referred to as the “Agreement”). The Parties agree the Agreement shall supersede and replace all prior agreements between the Parties with respect to the services provided by CivicPlus herein (the “Services”).

2. This SOW shall remain in effect for an initial term starting at the Customer’s next renewal date of 9/1/2024 and running for twelve months (“Initial Term”). In the event that neither party gives 60 days’ notice to terminate prior to the end of the Initial Term, or any subsequent Renewal Term, this SOW will automatically renew for additional 1-year renewal terms (“Renewal Term”). The Initial Term and all Renewal Terms are collectively referred to as the “Term”.

3. Unless terminated, Customer shall be invoiced for the Annual Recurring Services on each Renewal Date of each calendar year subject to an annual increase of 5% each Renewal Term.

V. PD 06.01.2015-0048

Page 1 of 2 ends

Acceptance
By signing below, the parties are agreeing to be bound by the covenants and obligations specified in this SOW. For CivicPlus Billing Information, please visit https://www.civicplus.com/verify/.

IN WITNESS WHEREOF, the parties have caused this SOW to be executed by their duly authorized representatives as of the dates below.

Client CivicPlus
By:
___________________________________
By:

Printed Name:
___________________________________
Printed Name:

Amy Vikander
Title:
___________________________________
Title:

Senior Vice President of Customer Success
Date:
___________________________________
Date:
6/21/2024
___________________________________
V. PD 06.01.2015-0048

Page 2 of 2 ends

civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 CivicPlus Master Services Agreement
This Master Services Agreement (this “Agreement”) governs all Statements of Work (“SOW”) entered into by and between CivicPlus, LLC (“CivicPlus”) and the customer entity identified on the SOW (“Customer”). This Agreement governs the use and provision of any Services purchased by Customer, as described in any signed SOW, and the effective date of this Agreement shall commence on the date of signature of the SOW (“Effective Date”). If a SOW has not been executed, then the Effective Date shall be determined as the start date of implementation of any software solution by CivicPlus for Customer. CivicPlus and Customer referred to herein individually as “Party” and jointly as “Parties”.

Recitals
I. WHEREAS, CivicPlus is engaged in the business of developing and providing access to proprietary community engagement and government content, workflow, and general management software solutions, platforms and associated services (the “Services”); and
II. WHEREAS, Customer wishes to engage CivicPlus for the procurement of the Services and/or receive a license subscription for the ongoing use of the Services, as set forth in the SOW; NOW, THEREFORE, Customer and CivicPlus agree as follows:

Agreement
Term & Termination

1. This Agreement shall commence on the Effective Date and shall remain in full force and effect for as long as any SOW is in effect between CivicPlus and Customer, or Services are being provided by CivicPlus to Customer, unless terminated in accordance with this §1 or as otherwise provided in this Agreement (the “Term”). Either Party may terminate this Agreement or any SOW as set forth in such SOW, or at its discretion, effective immediately upon written notice to the other Party, if the other Party materially breaches any provision of this Agreement and does not substantially cure the breach within thirty (30) days after receiving notice of such breach. A delinquent Customer account remaining past due for longer than 90 days is a material breach by Customer and is grounds for CivicPlus termination. CivicPlus reserves the right to withhold, remove and/or discard Customer Data without notice for any breach, including, without limitation, Customer’s non-payment. Upon termination for Customer’s breach, Customer’s right to access or use Customer Data immediately ceases, and CivicPlus shall have no obligation to maintain or forward any Customer Data.

2. Upon termination of this Agreement or any SOW for any reason, (a) the licenses granted for such relevant SOW by §11 below will terminate and Customer shall cease all use of the CivicPlus Property and Services associated with the terminated SOW and (b) any amounts owed to CivicPlus for work performed prior to termination shall immediately become due in full and payable. If Customer has paid in advance for the Services, and this Agreement terminates due to material breach of this Agreement by CivicPlus, CivicPlus shall refund Customer a prorated amount of any amount already paid. Upon termination by Customer for convenience or due to material breach by Customer, in addition to any remedy civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 provided in this Agreement or provided in law or equity, CivicPlus shall be entitled to retain any amounts already paid.

Sections 7, 8, 10, 14, 15, 18, 32 -34, 40, and 42 will survive any expiration or termination of this Agreement.

3. At any time during the Term, CivicPlus may, immediately upon notice to Customer, suspend Customer and any of its Users access to any Service due to a threat to the technical security or technical integrity of the Services.

Invoicing & Payment Terms

4. Customer will pay the amounts owed to CivicPlus for the development and implementation of the Customer’s Services, as defined in the SOW (“Project Development”), subscription and licensing, and annual hosting, support and maintenance services (“Annual Recurring Services”) in accordance with the payment schedule set forth on the applicable SOW. Invoices shall be sent electronically to the individual/entity designated in the SOW’s contact sheet that is required to be filled out and submitted by Customer (the “Contact Sheet”). Customer shall provide accurate, current and complete information of Customer’s legal business name, address, email address, and phone number in the Contact Sheet upon submission of a signed SOW. Customer will maintain and promptly update the Contact Sheet information if it should change. Upon Customer’s request, CivicPlus will mail hard-copy invoices for a $5.00 convenience fee to be added to the mailed invoice.

5. Each SOW will state the amount of days from date of invoice payment is due. Unless otherwise limited by law, a finance charge of 1.5 percent (%) per month or the maximum rate permitted by applicable law, whichever is less, will be added to past due accounts from due date until paid. Payments received will be applied first to finance charges, then to the oldest outstanding invoice(s). If the Customer's account exceeds 60 days past due, support will be discontinued until the Customer's account is made current. If the Customer's account exceeds 90 days past due, CivicPlus may suspend in progress Project Development and Annual Recurring Services will be discontinued, and the Customer will no longer have access to the Services until the Customer's account is made current. Customer will be given 15 days’ notice prior to discontinuation of Services for non-payment.

6. During the performance of Project Development, if Customer requests a change that requires repeated efforts to previously approved work product and such change causes CivicPlus to incur additional expenses (i.e. airline change fees, resource hours, consultant fees, Customer does not show up for scheduled meetings or trainings), Customer agrees to reimburse CivicPlus for such additional expenses. CivicPlus shall notify Customer prior to incurring such expenses and shall only incur those expenses which are approved by Customer.

Ownership & Content Responsibility

7. Upon full and complete payment of amounts owed for Project Development under the applicable SOW, Customer will own any website graphic designs, Services content, module content, importable/exportable data, and archived information (“Customer Content”) created by CivicPlus on behalf of Customer pursuant to this Agreement. “Customer Content” also includes, without limitation, any elements of text, graphics, images, photos, audio, video, designs, artworks, logos, trademarks, services marks, and other materials or content which Customer provides to CivicPlus for processing, transmission, storage, or inputs into any website, software or module in connection with any Services. Customer Content excludes any content in the public domain and any content owned or licensed by CivicPlus, whether in connection with providing Services or otherwise.

8. Upon completion of the Project Development, Customer will take over the management and control of the Services and Customer will assume full responsibility for Customer Content maintenance and administration. Customer, not CivicPlus, shall have sole responsibility for the accuracy, quality, integrity, legality, reliability, appropriateness, and civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 intellectual property ownership or right to use of all Customer Content. Customer hereby grants CivicPlus a worldwide, non-exclusive right and license to reproduce, distribute and display the Customer Content as necessary to provide the Services. Customer represents and warrants that Customer owns all Customer Content or that Customer has permission from the rightful owner to use each of the elements of Customer Content and that Customer has all rights necessary for CivicPlus to use the Customer Content in connection with providing the Services. Customer agrees that CivicPlus shall not be responsible or liable for the content of messages created by Customer or by Customer’s Users or end-users who access Service. Notwithstanding the foregoing, CivicPlus retains the right, but not the obligation, to remove any Customer Content that is libelous, harassing, abusive, fraudulent, defamatory, excessively profane, obscene, abusive, hate related, violent, harmful to minors, that advocates racial or ethnic intolerance, intended to advocate or advance computer hacking or cracking, or other material, products or services that violate or encourage conduct that would violate any laws or thirdparty rights.

9. At any time during the term of the applicable SOW, Customer will have the ability to download the Customer Content and export the data that is processed through the Services (“Customer Data”). Customer may request CivicPlus to perform the export of Customer Data and provide the Customer Data to Customer in a commonly used format, at any time, for a fee to be quoted at time of request and approved by Customer. Upon termination of the applicable SOW for any reason, whether or not Customer has retrieved or requested the Customer Data, CivicPlus reserves the right to permanently and definitively delete the Customer Content and Customer Data held in the Services thirty (30) days following termination of the applicable SOW. During the thirty (30) day period following termination of the SOW, regardless of the reason for its termination, Customer will not have access to the Services.

10. Intellectual Property in the software or other original works created by or licensed to CivicPlus, including all software source code, documents, and materials used in performing the Services (“CivicPlus Property”) will remain the property of CivicPlus. CivicPlus Property specifically excludes Customer Content. Customer shall not (i) license, sublicense, sell, resell, reproduce, transfer, assign, distribute or otherwise commercially exploit or make available to any third party any CivicPlus Property in any way, except as specifically provided in the applicable SOW; (ii) adapt, alter, modify or make derivative works based upon any CivicPlus Property; (iii) create internet “links” to the CivicPlus Property software or “frame” or “mirror” any CivicPlus Property administrative access on any other server or wireless or internet-based device that may allow third party entities, other than Customer, to use the Services; (iv) reverse engineer, decompile, disassemble or otherwise attempt to obtain the software source code to all or any portion of the Services; (v) make any attempt to gain unauthorized access to the Services and/or any of CivicPlus’ systems or networks; or (vi) access any CivicPlus Property in order to: (a) build a competitive product or service, (b) build a product using similar ideas, features, functions or graphics of any CivicPlus Property, or (c) copy any ideas, features, functions or graphics of any CivicPlus Property. The CivicPlus name, the CivicPlus logo, and the product and module names associated with any CivicPlus Property are trademarks of CivicPlus, and no right or license is granted to use them outside of the licenses set forth in this Agreement.

11. Provided Customer complies with the terms and conditions herein, the relevant SOW, and license restrictions set forth in §10, CivicPlus hereby grants Customer a limited, nontransferable, nonexclusive, non-assignable license to access and use the CivicPlus Property associated with any valid and effective SOW, for the term of the respective SOW. The license set forth herein, shall only apply to the extent that Customer is using the Services for legitimate business use as intended by the purpose of the Services and not for the purpose of comparing the Services to a competitor or similar product of CivicPlus. Customer hereby warrants and affirms its purpose in accessing or otherwise using the Services is for their intended purpose only and understands and agrees that any other use shall be considered fraud.

12. All CivicPlus helpful information and user’s guides for the Services (“Documentation”) are maintained and updated electronically by CivicPlus and can be accessed through the CivicPlus “Help Center”. CivicPlus does not provide paper copies of its Documentation. Customer and its Users are granted a limited license to access Documentation as needed.

Customer shall not copy, download, distribute, or make derivatives of the Documentation.

13. Customer acknowledges that CivicPlus may continually develop, alter, deliver, and provide to the Customer ongoing civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 innovation to the Services, in the form of new features and functionalities. CivicPlus reserves the right to modify the Services from time to time. Any modifications or improvements to the Services listed on the SOW will be provided to the Customer at no additional charge. In the event that CivicPlus creates new products or significant enhancements to the Services (“New Services”), and Customer desires these New Services, then Customer will have to pay CivicPlus the appropriate fee for the access to and use of the New Services. CivicPlus shall use its reasonable best efforts to provide workarounds in the event any modification to the Services causes Customer to lose substantial functionality of the Services.

14. CivicPlus in its sole discretion, may utilize all comments and suggestions, whether written or oral, furnished by Customer to CivicPlus in connection with its access to and use of the Services (all reports, comments and suggestions provided by Customer hereunder constitute, collectively, the “Feedback”). Customer hereby grants to CivicPlus a worldwide, non-exclusive, irrevocable, perpetual, royalty-free right and license to incorporate the Feedback in the CivicPlus products and services.

Indemnification

15. CivicPlus will defend at its expense or settle any third-party claim against Customer alleging that the Services provided under this Agreement infringe intellectual property rights. CivicPlus will pay infringement claim defense costs, CivicPlus–negotiated settlement amounts, and damages finally awarded by a court. CivicPlus has no obligation for any claim of infringement arising from Customer's use of the Services for purposes not contemplated by this Agreement.

CivicPlus’s indemnification obligations under this Section 15 are conditioned upon the Customer (i) promptly notifying the CivicPlus of any claim in writing; (ii) cooperating with CivicPlus in the defense of the claim; and (iii) granting CivicPlus sole control of the defense or settlement of the claim. The indemnification obligations of CivicPlus herein shall not apply to any claims of intellectual property infringement related to Customer Content.

Responsibilities of the Parties

16. CivicPlus will not be liable for any act, omission of act, negligence or defect in the quality of service of any underlying carrier, licensor or other third-party service provider whose facilities or services are used in furnishing any portion of the Service received by the Customer.

17. CivicPlus will not be liable for any failure of performance that is caused by or the result of any act or omission by Customer or any entity employed/contracted on the Customer’s behalf. During Project Development, Customer will be responsive and cooperative with CivicPlus to ensure the Project Development is completed in a timely manner.

18. Customer agrees that it is solely responsible for the end-user’s personal data that Customer decides to solicit, collect, store, or otherwise use in connection with any Service provided by CivicPlus. Customer understands and agrees that CivicPlus provides certain solutions with increased security measures for the solicitation and storage of any sensitive data, and it is Customer’s responsibility to determine whether the data it solicits and collects should be stored in such solutions.

Customer understands and agrees that CivicPlus does not have knowledge or control over what type of data Customer solicits therefore CivicPlus has no responsibility for the use or storage of end-users’ personal data in connection with the Services or the consequences of the solicitation, collection, storage, or other use by Customer or by any third party of any personal data. Customer has the sole control and responsibility over the determination of which data and information shall be included in the content that is to be transmitted and stored by CivicPlus. Customer shall not provide to CivicPlus or allow to be provided to CivicPlus any content that (a) infringes or violates any 3rd party’s intellectual property rights, rights of publicity or rights of privacy, (b) contains any defamatory material, or (c) violates any federal, state, local, or foreign laws, regulations, or statutes.
civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233

19. Customer is responsible for all activity that occurs under Customer's accounts by or on behalf of Customer. Customer agrees to (a) be solely responsible for all designated and authorized individuals chosen by Customer (“User”) activity, which must be in accordance with this Agreement and the CivicPlus Terms of Use; (b) be solely responsible for Customer Data; (c) obtain and maintain during the term all necessary consents, agreements and approvals from end-users, individuals or any other third parties for all actual or intended uses of information, data or other content Customer will use in connection with the Services; (d) use commercially reasonable efforts to prevent unauthorized access to, or use of, any User’s log-in information and the Services, and notify CivicPlus promptly of any known unauthorized access or use of the foregoing; (e) use commercially reasonable efforts to prevent unauthorized access to or use of the Services and CivicPlus Property and shall promptly notify CivicPlus of any unauthorized access or use of the Services and/or CivicPlus Property and any loss or theft or unauthorized use of any n User's password or username and/or personal information; and (f) use the Services only in accordance with applicable laws and regulations.

20. The Parties shall comply with all applicable local, state, and federal laws, treaties, regulations, and conventions in connection with its use and provision of any of the Services or CivicPlus Property.

21. CivicPlus shall not be responsible for any act or omission of any third-party vendor or service provider that Customer has selected to integrate any of its Services with.

22. Customer understands that CivicPlus must fastidiously allocate resources across all of its customers and specifically reserves necessary resources for Customer’s Project Development. If any professional services, such as consulting or training, purchased by Customer are not used during the Project Development phase solely due to the inaction or unresponsiveness of Customer, then these services shall expire 30 days after completion of Project Development. The Customer may re-schedule any unused professional services during this 30-day period as mutually agreed upon by the Parties. Any professional services that have not been used or rescheduled shall be marked as complete and closed upon the expiration of the 30-day period.

Data Security

23. CivicPlus shall, at all times, comply with the terms and conditions of its Privacy Policy. CivicPlus will maintain commercially reasonable administrative, physical, and technical safeguards designed to protect the security and confidentiality of Customer Data. CivicPlus will not modify Customer Data or disclose Customer Data, except (a) in order to provide the Services; (b) to prevent or address service or technical problems in connection with support matters; (c) as specifically directed or expressly permitted in writing by Customer, (d) in compliance with our Privacy Policy; or (f) if compelled by law. Notwithstanding the foregoing, CivicPlus reserves the right to delete, suspend, or block known malicious accounts without Customer authorization. Customer understands that CivicPlus has no obligation to provide the Services or maintain the Customer Data, information or other material if Customer’s accounts are past due and unpaid as set forth in this Agreement.

24. Customer acknowledges and agrees that CivicPlus utilizes third-party service providers to host and provide the Services and store Customer Data and the protection of such data will be in accordance with such third party’s safeguards for the protection and the security and confidentiality of Customer’s Data. Notwithstanding anything to the contrary, CivicPlus shall have the right to collect and analyze data and other information relating to the provision, use and performance of various aspects of the Services and related systems and technologies (including, without limitation, information concerning Customer Data and data derived therefrom), and CivicPlus will be free (during and after the term hereof) to use such information and data to improve and enhance the Services and for other development, diagnostic and corrective purposes in connection with the Services and other CivicPlus offerings.

25. CivicPlus may offer Customer the ability to use third-party applications in combination with the Services. Any such third-party application will be subject to acceptance by Customer. In connection with any such third-party application civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 agreed to by Customer, Customer acknowledges and agrees that CivicPlus may allow the third-party providers access to Customer Data as required for the interoperation of such third-party application with the Services. The use of a third-party application with the Services may also require Customer to agree to a separate agreement or terms and conditions with the provider of the third-party application, which will govern Customer's use of such third-party application.

26. In the event of a security breach due to the sole negligence, malicious actions, omissions, or misconduct of CivicPlus, CivicPlus, as the data custodian, will comply will all remediation efforts as required by applicable federal and state law.

CivicPlus Support

27. CivicPlus will use commercially reasonable efforts to perform the Services in a manner consistent with applicable industry standards, including maintaining Services availability 24 hours a day, 7 days a week with 99.9% uptime. Customer will have 24/7 access to the online CivicPlus Help Center (civicplus.help) to review use articles, software best practices, receive maintenance release notes, as well as submit and monitor omni-channel support tickets and access solution specific support contact methods (https://www.civicplus.help/hc/en-us/requests/new).

28. CivicPlus provides live support engineers based in the domestic United States to respond to basic questions concerning use and configuration, to diagnose software code-related errors, and proactively identify potential systems issues. CivicPlus support engineers serve a preliminary function in the agile development process and escalate defects to software developers or architects for remediation. For security purposes, CivicPlus support engineers are not permitted to modify user accounts, and permissions nor distribute access outside of accounts established by means of a support interaction for testing. Customer delegated Users may receive tutorials and guidance on account modifications but will perform the action themselves.

29. CivicPlus support hours span between the hours of 7 am to 7 pm CST, but may vary by product. Customer may access the CivicPlus Help Center (civicplus.help) to obtain each product’s support hours. After hours support is available by tollfree phone call only. Non-emergency support requested outside of support hours will be subject to additional fees, such fees will be quoted to Customer at the time of the request and will be subject to Customer acceptance and invoiced the next business day following the non-emergency support. CivicPlus shall have the sole discretion to determine in good faith whether support requests qualify as an emergency, exceed reasonable use or are outside the scope of services outlined in any SOW.

30. If a reported problem cannot be solved during the first support interaction, Customer will be provided a ticket number that will be used as communication method throughout ticket escalation until a solution is provided. Support service does not include support for errors caused by third party products or applications for which CivicPlus is not responsible.

Marketing

31. Customer hereby authorizes CivicPlus to include CivicPlus’s name and logo inconspicuously within the Customer’s instance of the Services. Customer may publicly refer to itself as a customer of the CivicPlus Services, including on Customer's website and in sales presentations. Notwithstanding the foregoing, each Party hereby grants the other a limited, worldwide, license to use the other’s logo in conformance with such Party’s trademark usage guidelines and solely for the purposes of providing the Services. In no event will either Party issue a press release publicly announcing this relationship without the approval of the other Party, such approval not to be unreasonably withheld. civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 Limitation of Liability

32. CivicPlus’ liability arising out of or related to this Agreement, or any associated SOW, will not exceed the amounts paid by Customer for the Annual Recurring Services in the year prior to such claim of liability.

33. In no event will CivicPlus be liable to Customer for any consequential, indirect, special, incidental, or punitive damages arising out of or related to this Agreement.

34. The liabilities limited by Section 32 and 33 apply: (a) to liability for negligence; (b) regardless of the form of action, whether in contract, tort, strict product liability, or otherwise; (c) even if Customer is advised in advance of the possibility of the damages in question and even if such damages were foreseeable; and (d) even if Customer’s remedies fail of their essential purposes. If applicable law limits the application of the provisions of this Limitation of Liability section, CivicPlus’ liability will be limited to the maximum extent permissible.

Warranties and Disclaimer

35. Each person signing the SOW, or otherwise agreeing to the terms of this Agreement, represents and warrants that he or she is duly authorized and has legal capacity to execute and bind the respective Party to the terms and conditions of the SOW and this Agreement. Each Party represents and warrants to the other that the execution and delivery of the SOW and the performance of such Party’s obligations thereunder have been duly authorized and that this Agreement is a valid and legal agreement binding on such Party and enforceable in accordance with its terms. Customer represents and warrants that Customer has not provided any false information to gain access to the Service and that Customer’s billing information provided on the Contact Sheet is correct; and it has all necessary rights in the Customer Content to permit Customer’s use of the Service and to grant the licenses contained in this Agreement without infringing the intellectual property or other rights of any third parties, violating any applicable laws, or violating the terms of any license or agreement to which it is bound.

36. CivicPlus warrants that the Services will perform substantially in accordance with documentation and marketing proposals, and free of any material defect. CivicPlus warrants to the Customer that, upon notice given to CivicPlus of any defect in design or fault or improper workmanship, CivicPlus will remedy any such defect. CivicPlus makes no warranty regarding, and will have no responsibility for, any claim arising out of: (i) a modification of the Services made by anyone other than CivicPlus, even in a situation where CivicPlus approves of such modification in writing; or (ii) use of the Services in combination with a third-party service, web hosting service, or server not authorized by CivicPlus.

37. The Services may be temporarily unavailable for scheduled maintenance or for unscheduled emergency maintenance, either by CivicPlus or by third-party providers, or because of other causes beyond CivicPlus's reasonable control, but CivicPlus shall use reasonable efforts to provide advance notice in writing or by e-mail of any scheduled service disruption. HOWEVER, SERVICE PROVIDER DOES NOT WARRANT THAT THE SERVICES WILL BE UNINTERRUPTED OR ERROR FREE; NOR DOES IT MAKE ANY WARRANTY AS TO THE RESULTS THAT MAY BE OBTAINED FROM USE OF THE SERVICES.EXCEPT FOR THE EXPRESS WARRANTIES IN THIS AGREEMENT, THE SERVICES ARE PROVIDED “AS IS AND CIVICPLUS HEREBY DISCLAIMS ALL

WARRANTIES, WHETHER EXPRESS, IMPLIED, STATUTORY OR OTHERWISE, INCLUDING ANY IMPLIED

WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR ARISING FROM A PRIOR COURSE OF DEALING.

38. EACH PROVISION OF THIS AGREEMENT THAT PROVIDES FOR A LIMITATION OF LIABILITY,

DISCLAIMER OF WARRANTIES, OR EXCLUSION OF DAMAGES IS TO ALLOCATE THE RISKS OF THIS AGREEMENT BETWEEN THE PARTIES. THIS ALLOCATION IS REFLECTED IN THE PRICING OFFERED BY

CIVICPLUS TO CUSTOMER AND IS AN ESSENTIAL ELEMENT OF THE BASIS OF THE BARGAIN BETWEEN civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 THE PARTIES. EACH OF THESE PROVISIONS IS SEVERABLE AND INDEPENDENT OF ALL OTHER PROVISIONS OF THIS AGREEMENT.

Force Majeure

39. No party shall have any liability to the other hereunder by reason of any delay or failure to perform any obligation or covenant if the delay or failure to perform is occasioned by force majeure, meaning any act of God, storm, pandemic, fire, casualty, unanticipated work stoppage, strike, lockout, labor dispute, civil disturbance, riot, war, national emergency, act of public enemy, internet service provider failure or delay, third party application failure, denial of service attack, or other cause of similar or dissimilar nature beyond its control.

Taxes

40. The amounts owed for the Services exclude, and Customer will be responsible for, all sales, use, excise, withholding and any other similar taxes, duties and charges of any kind imposed by any federal, state or local governmental entity in connection with the Services (excluding taxes based solely on CivicPlus’s income). If the Customer is tax-exempt, the Customer must provide CivicPlus proof of their tax-exempt status, within fifteen (15) days of contract signing, and the fees owed by Customer under this Agreement will not be taxed. If such exemption certificate is challenged or held invalid by a taxing authority then Customer agrees to pay for all resulting fines, penalties and expenses.

Other Documents

41. This Agreement, including all exhibits, amendments, and addenda hereto and all SOWs, constitutes the entire agreement between the Parties and supersedes all prior and contemporaneous agreements, proposals or representations, written or oral, concerning its subject matter. No modification, amendment, or waiver of any provision of this Agreement or any SOW will be effective unless in writing and signed by each Party. However, to the extent of any conflict or inconsistency between the provision in the body of this Agreement and any exhibit, amendment, or addenda hereto or any SOW, the terms of such exhibit, amendment, addenda or SOW will prevail. Notwithstanding any language to the contrary therein, no terms or conditions stated in a Customer purchase order or other order documentation (excluding SOWs) will be incorporated into or form any part of this Agreement, all such terms or conditions will be null and void, unless such term is to refer and agree to this Agreement.

Interlocal Purchasing Consent/ Cooperative Purchasing

42. With the prior approval of CivicPlus, which may be withheld for any or no reason within CivicPlus’s sole discretion, this Agreement and any SOW may be extended to any public entity in Customer’s home-state to purchase at the SOW prices and specifications in accordance with the terms stated herein.

43. To the extent permitted by law, the terms of this Agreement and set forth in one or more SOW(s) may be extended for use by other local government entities upon execution of a separate agreement, SOW, or other duly signed writing by and between CivicPlus and such entity, setting forth all of the terms and conditions for such use, including applicable fees and billing terms.
civicplus.com | 302 South 4th Street, Suite 500 | Manhattan, KS 66502 | 888-228-2233 Miscellaneous Provisions

44. The invalidity or unenforceability, in whole or in part, of any provision of this Agreement shall not void, affect the validity or enforceability of any other provision of this Agreement.

45. The Parties negotiated this Agreement with the opportunity to receive the aid of counsel and, accordingly, intend this Agreement to be construed fairly, according to its terms, in plain English, without constructive presumptions against the drafting Party. The headings of Sections of this Agreement are for convenience and are not to be used in interpreting this Agreement. As used in this Agreement, the word “including” means “including but not limited to.”

46. The Parties will use reasonable, good faith efforts to resolve any dispute between them in good faith prior to initiating legal action.

47. This Agreement and any SOW, to the extent signed and delivered by means of a facsimile machine or electronic mail, shall be treated in all manner and respects as an original agreement or instrument and shall be considered to have the same binding legal effect as if it were the original signed version thereof delivered in person. The Parties agree that an electronic signature is the legal equivalent of its manual signature on this Agreement and any SOW. The Parties agree that no certification authority or other third party verification is necessary to validate its electronic signature and that the lack of such certification of third party verification will not in any way affect the enforceability of the Parties’ electronic signature or any resulting agreement between CivicPlus and Customer.

48. Due to the rapidly changing nature of software as a service and digital communications, CivicPlus may unilaterally update this Agreement from time to time. In the event CivicPlus believes such change is a material alteration of the terms herein, CivicPlus will provide Customer with written notice describing such change via email or through its website.

Customer’s continued use of the Services following such updates constitutes Customer’s acceptance of the same. In the event Customer rejects the update to the terms herein, Customer must notify CivicPlus of its objection within ten (10) days receipt of notice of such update.

CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 7.

FROM: Jeff Draper, Director of Recreation and Community Services DATE: 09/09/2024
SUBJECT: Approve an Agreement for Youth Sports Officials

RECOMMENDATION
Approve a one-year agreement for youth sports officiating with West Coast Officials for an amount not to exceed $16,632.

DISCUSSION
Recreation and Community Services offers youth basketball leagues twice each year. The basketball leagues provide recreational opportunities to approximately 400 participants aged seven to thirteen. The leagues regularly fill to capacity within a few hours of opening registration and are coached by volunteers.

Each youth basketball game is officiated by two officials who are certified from the National Association of Sports Officials. The most recent officiating contract expired on June 30, 2024 and a new contract is needed in advance of the Winter Basketball League which starts in November. A Request for Proposals (RFP) was issued to qualified sports official companies in April with four companies responding. West Cost Officials was the lowest responsible bidder and has provided officiating services to Recreation and Community Service for the last several years.

The recommended one-year agreement provides the City with the option for two, one-year extensions through June 30, 2027. Officiating costs are estimated at $16,632 over the initial one-year term of the agreement. If the two optional extensions are exercised, the per game fees will remain fixed for the three-year term and total costs will not exceed $49,896.

BUDGET IMPACT
Sufficient amounts are budgeted in the Park District’s General Fund for the first year of officiating costs included in the contract. If the two optional one-year extensions are exercised, the contract costs will be incorporated into future budgets.

LEGAL REVIEW
The City Attorney has reviewed the contract as to form.

APPROVED BY: Peter Grant, City Manager
Attachments
Agreement

CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 8.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 09/09/2024
SUBJECT: Approve Supplemental Appropriations and Increases to Estimated Revenues and Transfers for FY 2023-24

RECOMMENDATION

1. Approve FY 2023-24 supplemental appropriations of $1,780,950 and increase estimated revenues by $20,800 for the City; and

2. Approve FY 2023-24 supplemental appropriations of $224,923 for the Cypress Recreation and Park District; and

3. Approve a $427,196 transfer from the District's Park Development Fund to the General Fund; and

SUMMARY
Each year when the Budget is prepared, certain programs are budgeted based on best available estimates but are subject to occurrences not known at the time of preparation. In many cases, these factors are out of the City's control and the final budget impact is not known until the end of the fiscal year. Once the exact impact is known, the City Council may approve additional appropriations and establish the final Amended Budget to ensure budgetary compliance at fiscal year-end.

The FY 2023-24 Budget adjustments for the City (Attachment A) and the Cypress Recreation and Park District (Attachment B) are expected to be the final amendments and will be used for year-end financial reporting.

DISCUSSION
General Fund
General Fund
Based on the preliminary analysis of FY 2023-24 operating expenditures, the General Fund will be under total adopted appropriations by approximately $2.8 million. These savings will either be carried over for expenditure in FY 2024-25 or set-aside and invested in accordance with the City's fiscal strategies. Despite these savings, and as is often the case, a few General Fund programs exceeded budget.

City Attorney Services
City Attorney costs exceeded appropriations by $1,142,000. City Attorney services are provided on a contract basis by multiple firms and tend to fluctuate based on the legal matters that arise during the year, the volume of active litigation to which the City is a party, and the amount of work performed by specialty firms. While general attorney services for FY 2023-24 were lower than the prior year, litigation activity was significantly higher than in a typical year. These costs were related to several lawsuits, including the California Voting Rights Act, a Public Records Act lawsuit, a wrongful death claim involving a traffic collision, a lawsuit against the Cypress School District which named the City as a co-defendant, and ongoing litigation involving a police matter. In addition to the recurring matters handled by firms engaged by the City, a $835,000 settlement agreement reimbursed CVRA attorney fees and litigation expenses.

Animal Control Contract Services
The City contracts with the County of Orange for animal control services and charges vary year to year based on actual activity levels in Cypress and the overall costs to provide services throughout the County. Cypress' share of FY 2023-24 County animal control costs were $675,000, which is an increase of more than $280,000 (70%) when compared to the prior year. According to the County, the increase is due to an isolated animal hoarding incident in Cypress which resulted in one-time charges of $147,000 and substantial increases in field services and animal in-takes (confiscations, strays, owner surrenders and wild animals) in Cypress.

North Orange County Service Planning Area Contributions Cypress is a member of the North Orange County Service Planning Area (SPA) which operates two navigation centers providing supportive services to individuals experiencing homelessness. Cypress contributes a portion of annual operating costs associated with navigation centering in Placentia and Buena Park, and these charges vary each year depending on cash flow needs and State funding. The Budget included $100,000 for SPA costs in FY 2023-24. However, due to billing delays associated with determining the prior year State funding, SPA members were required to pay two years of operating costs (FY 2022-23 and FY 2023-24) during the last fiscal year. The costs allocated to Cypress totaled $425,000 for the two years. In addition to paying for two years of operations, the FY 2023-24 allocation does not include an offset for any possible State funding. While State funding will likely be received, the timing will result in cash flow shortages that must (at least temporarily) be passed on to the member agencies. As a result, the annual payment for FY 2023-24 increased to $284,000. Any State funding will be credited against FY 2024-25, which should decrease amounts billed later this fiscal year.

Other Funds
The General Fund Grants Fund includes a variety of operating activities funded by grant proceeds, including the cost to lease several smart waste and recycling trash cans located at City parks. An additional unit was added to serve the needs of Willow Park, which previously did not have a smart waste system, resulting in a budget overage of $700. Sufficient State Beverage Recycling monies are available to pay the additional costs both in FY 2023-24 and future periods.

The Supplemental Law Enforcement Special Revenue Fund exceeded budget due to receiving $20,800 more in State grants than anticipated. The City uses these grant amounts, approximately $170,000 annually, to pay for a Police Services Officer and a portion of a Police Officer. The additional appropriation is fully offset by a $20,800 increase in revenues.

The Lighting District Fund pays to maintain the City's traffic signals and streetlights.

Electricity costs for street lighting exceeded budget by $35,400 due to rate increases and consumption exceeding the estimates prepared by Public Works personnel.

The Low and Moderate Housing Asset Fund, which is restricted to use on eligible housing activities benefiting low and moderate income residents, exceeded its budget for professional services by $10,300 due to the facilitation of the sale of City-owned property located at 5732 Lincoln Avenue. The sale of the property is required by the State under the Surplus Land Act and these costs were not anticipated at the time the FY 2023-24 Budget was prepared.

The City Central Services Internal Service Fund, which accounts for the repair and maintenance of facilities and vehicles, exceeded the budget for maintaining Police vehicles by $38,350. The overage is attributable to multiple vehicle collisions requiring repairs, coupled with rising prices for parts and materials. Additionally, fuel costs increased more than expected.

Recreation and Park District
CRPD General Fund
During FY 2023-24, there were loans outstanding associated with the design and construction of Lexington Park and Arnold Cypress Park. The accrued interest associated with the loans totaled $224,923 and was paid to the City on June 30, 2024. Due to the timing of construction at Arnold Cypress Park, interest rate variations throughout the year, and the repayments during the year on the Lexington loan, the exact amount of interest due on the loans is unknown when preparing the Budget and an adjustment is necessary at the end of the year.

Park Development Fund
The City Council authorized a $12.8 million loan to the District to construct Lexington Park.

Repayments against the outstanding loan balance are made twice a year if Park Development Fees become available. An additional $427,196 of Park Development Fees were received in the second half of FY 2023-24, and it is recommended these amounts be transferred to the District's General Fund and used to repay the City as of June 30, 2024.

After the recommended repayment, the outstanding Lexington Park loan balance will be just over $3.8 million and biannual repayments will continue as Park Development Fees are received.

BUDGET IMPACT
This action provides budgetary compliance for costs already incurred relating to situations This action provides budgetary compliance for costs already incurred relating to situations not anticipated when the Budget was approved; therefore, there is no fiscal impact as a result of this action.

The appropriation requests of $1,780,950 for the City and $224,923 for the District will cover program expenditures which exceeded budget estimates. The recommended adjustments to appropriations and estimated revenues are itemized in Attachment A (City) and Attachment B (District).

The authorization for the District to repay $427,196 results in additional cash balances being available for future infrastructure needs of the City.

LEGAL REVIEW
None required.

APPROVED BY: Peter Grant, City Manager
Attachments
Attachment A - FY 2023-24 Supplemental Appropriations (City) Attachment B - FY 2023-24 Supplemental Appropriations (CRPD) Attachment A

CITY OF CYPRESS

SUPPLEMENTAL APPROPRIATIONS, ESTIMATED REVENUE AND TRANSFER ADJUSTMENTS FOR FISCAL YEAR 2023-24

PURPOSE/DESCRIPTION ACCOUNT NUMBER AMOUNT

SUPPLEMENTAL APPROPRIATIONS - CITY

GENERAL FUND
Litigation Services 111-10105.4179_200 $ 1,142,000
Contributions - North OC SPA 111-20111.4163 324,900
Contract Services - Animal Control 111-20270-4188_007 208,500 TOTAL GENERAL FUND $ 1,675,400

GENERAL FUND GRANTS FUND
Supplies - Special Activity 114-70721.4103_004 $ 700
TOTAL GENERAL FUND GRANTS FUND $ 700

SUPPLEMENTAL LAW ENFORCEMENT FUND
Salaries - Regular 301-50181.4001 $ 20,800
TOTAL SUPPLEMENTAL LAW ENFORCEMENT FUND $ 20,800

LIGHTING DISTRICT FUND
Electricity - Street Lighting 251-70223.4200 $ 35,400
TOTAL LIGHTING DISTRICT FUND $ 35,400

LOW AND MODERATE HOUSING ASSET FUND
Professional Services - Legal 471-62198.4189_004 $ 10,300 TOTAL LOW AND MODERATE HOUSING ASSET FUND $ 10,300

CITY CENTRAL SERVICES INTERNAL SERVICE FUND
Fuel - Police Vehicles 711-70621-7634.4106 $ 22,500
Materials - Police Vehicles 711-70621-7634.4111_100 5,400 Maintenance Services - Police Vehicles 711-70621-7634.4156_100 7,650 Maintenance Services - Police Vehicles Body Repairs 711-70621-7634.4156_150 2,800 TOTAL CITY CENTRAL SERVICES INTERNAL SERVICE FUND $ 38,350 TOTAL SUPPLEMENTAL APPROPRIATIONS - CITY $ 1,780,950

ESTIMATED REVENUES - CITY

SUPPLEMENTAL LAW ENFORCEMENT FUND
Grants - Miscellaneous 301-99999.3525 $ 20,800
TOTAL SUPPLEMENTAL LAW ENFORCEMENT FUND $ 20,800
TOTAL ESTIMATED REVENUES - CITY $ 20,800
Attachment B

CYPRESS RECREATION AND PARK DISTRICT

SUPPLEMENTAL APPROPRIATIONS, ESTIMATED REVENUE AND TRANSFER ADJUSTMENTS FOR FISCAL YEAR 2023-24

PURPOSE/DESCRIPTION ACCOUNT NUMBER AMOUNT

SUPPLEMENTAL APPROPRIATIONS - CRPD

CRPD GENERAL FUND
Debt Service Interest - Loan due to City 212-99999.4280 $ 224,923 TOTAL SUPPLEMENTAL APPROPRIATIONS - CRPD $ 224,923

TRANSFERS - CRPD
Transfer to General Fund from Park Development 213-99999.4501_212 $ 427,196 212-99999.3901_213
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 9.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 09/09/2024
SUBJECT: Adopt a Resolution Establishing Benefits for Management Employees

RECOMMENDATION
Adopt a Resolution establishing the Schedule of Benefits for Management employees.

DISCUSSION
Benefits for Executive Management and Mid-Management employees are established and outlined in a Schedule of Benefits. The Schedule of Benefits is updated annually to incorporate changes to health benefits, with the most recent update approved by the City Council on August 28, 2023. The Schedule of Benefits contains a formula for determining monthly health benefits (medical, dental and vision) that is adjusted each year in advance of open enrollment based on insurance rates for the upcoming calendar year. Effective January 1, 2025, the monthly health benefit will adjust from $2,359.27 to $2,557.07. The City Manager's contract provides for the same health benefits as Executive Management employees and will also adjust. The revised Schedule of Benefits also includes miscellaneous, non-substantive clerical corrections and language updates.

BUDGET IMPACT
The 2025 health benefit adjustment for the 24 management positions is approximately $28,500 for the remainder of the fiscal year and sufficient amounts are included in the Budget.

LEGAL REVIEW
None required.

APPROVED BY: Peter Grant, City Manager
Attachments
Resolution & Management Schedule of Benefits
Schedule of Benefits - Redline

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,

AND ACTING AS EX OFFICIO GOVERNING BOARD OF DIRECTORS

OF THE CYPRESS RECREATION AND PARK DISTRICT AMENDING
RESOLUTION NO. 6944 ESTABLISHING BENEFITS FOR
MANAGEMENT EMPLOYEES.

WHEREAS, the City Council establishes benefits for management employees through adoption of a Resolution specifying benefits to be received; and WHEREAS, management positions shall be provided health and life insurance coverage and leave benefits provided to other employee bargaining units in the City; and
WHEREAS, benefits for Executive Management and Mid-Management employees are established and outlined in a Schedule of Benefits; and WHEREAS, the health insurance cafeteria allowance for management employees is adjusted annually utilizing a formula contained in the Schedule of Benefits.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Cypress, and acting as ex-officio governing Board of Directors of the Cypress Recreation and Park District, HEREBY DOES RESOLVE, DETERMINE and ORDER, that Resolution No. 6944 be amended as indicated below:

SECTION 1. That the schedule of Benefits shown in Exhibit A shall apply for all City of Cypress employees classified as Executive Management and MidManagement employees.

SECTION 2. That Exhibit A shall reflect other language clarification changes.

SECTION 3. This Resolution shall be effective on September 9, 2024, and all resolutions and parts of resolutions in conflict herewith are hereby rescinded.

PASSED AND ADOPTED by the City Council of the City of Cypress, and acting as ex-officio governing Board of Directors of the Cypress Recreation and Park District, at a regular meeting held on the 9th day of September, 2024.

MAYOR OF THE CITY OF CYPRESS
ATTEST:

CITY CLERK OFTHE CITY OF CYPRESS
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
I, ALISHA FARNELL, City Clerk of the City of Cypress, DO HEREBY CERTIFY that the foregoing Resolution was duly adopted at a regular meeting of the said City Council held on the 9th day of September, 2024, by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

CITY CLERK OF THE CITY OF CYPRESS
Revised 9-9-24 Page 1 of 9
EXHIBIT ‘A’

CITY OF CYPRESS

SCHEDULE OF BENEFITS

EXECUTIVE AND MID-MANAGEMENT EMPLOYEES

PART I - HOLIDAYS
Section 1. Recognized Holidays.

A. For pay purposes, the following holidays are recognized as municipal holidays for regular employees. Said employees shall receive these holidays off with pay: New Year's Day, Martin Luther King Jr. Day, Presidents’ Day, Memorial Day, Independence Day, Labor Day, Veteran's Day, Thanksgiving Day, the Friday following Thanksgiving Day, Christmas Eve Day and Christmas Day.

B. Beginning the first pay period of the payroll year, current employees shall be credited with one floating holiday (9 hours). Employees hired after the beginning of the payroll year, but before September 1, will be credited with the floating holiday. Floating holiday may be taken subject to approval of the employee’s supervisor after consideration of the department workload and other staffing considerations such as, but not limited to, leave schedules of other employees already approved, sick leave and position vacancies. Floating holiday must be taken as paid time off in the credited payroll year. There shall be no cash payment for unused floating holiday.

C. When any holiday, recognized by the City, falls on a Sunday, the following Monday shall be considered the holiday; when any day, recognized by the City as a holiday, falls on a Saturday, the preceding Friday shall be considered the holiday.

D. Religious holidays requested off shall be done so in writing to the employee’s supervisor.

If approved, such time shall be charged against accumulated vacation or floating holiday leave.

Section 2. Holidays Falling During Approved Leaves of Absence Without Pay. Any employee on an approved leave of absence without pay, having the holiday fall during the period of such leave of absence without pay, shall be eligible for such holiday pay only in those instances where said employee has worked either the day before or the day immediately following said holiday.

PART II - VACATION
Section 1. Eligibility. All regular, full-time employees, having completed a minimum of six months continuous service with the City, and annually, thereafter, shall be eligible for a paid vacation at the employee’s then current rate of pay. Recognizing that it is preferred that the full vacation be taken at one time, the employee may, nevertheless, request a modification of this preference. Upon approval of the City Manager, appropriate modifications may be allowed.

Section 2. Vacation Accrual.

Executive Management employees shall accrue vacation leave by the following formula:

Hours/Month Year of Employment Annual Amount (Hours)

10.0000 1st – 6th year (120 hours)

10.6667 7th year (128 hours)

11.3334 8th year (136 hours)

12.0000 9th year (144 hours)
Revised 9-9-24 Page 2 of 9

12.6667 10th year (152 hours)

13.3334 11th year (160 hours), and each month thereafter.

Mid-Management employees shall accrue vacation leave by the following formula:

Hours/Month Year of Employment Annual Amount (Hours)

6.6670 1st year (80 hours)

7.3334 2nd year (88 hours)

8.0000 3rd year (96 hours)

8.6667 4th year (104 hours)

9.3334 5th year (112 hours)

10.0000 6th year (120 hours)

10.6667 7th year (128 hours)

11.3334 8th year (136 hours)

12.0000 9th year (144 hours)

12.6667 10th year (152 hours)

13.3334 11th year (160 hours), and each month thereafter.

Section 3. Maximum Accrual.

A. Executive Management employees may accumulate unused vacation to a maximum of 360 hours. Mid-Management employees may accumulate unused vacation to a maximum of the amount accrued in the 24 months immediately preceding the employee's anniversary date of employment with a maximum of 320 hours. The accrual of vacation hours shall cease when an employee's accumulated vacation is at the maximum provided in this Section. However, the value of vacation hours earned in excess of the maximum accrual will be contributed towards the employee’s Retiree Health Savings Plan. Additional vacation hours shall begin accruing when the employee's vacation balance falls below the maximum.

B. For purposes of this Article, the term "anniversary date of employment" is the date an employee began accruing vacation with the City.

Section 4. Use of Vacation.

A. The time at which an employee's vacation is to occur shall be determined by the employee’s supervisor with due regard for the wishes of the employee and particular regard for the needs of the service.

B. An employee who has completed five years or more of continuous service and who has taken 40 cumulative hours of vacation in the current payroll year may elect to be paid for up to a maximum of 80 hours of accrued vacation in the following calendar year. To request payment of up to 80 hours, the employee must submit an irrevocable election form to Human Resources by December 15 of the prior calendar year for the requested payment in the subsequent December’s special payroll. For example, if an employee submits a payout request of 80 hours prior to December 15, 2024 and is deemed eligible to receive a payout, the employee will be paid for 80 hours in December 2025.

Section 5. Vacation Payment at Termination.

A. Employees terminating employment shall be paid in a lump sum for all accrued vacation leave.

Revised 9-9-24 Page 3 of 9
B. When termination is caused by the death of the employee, said payment for unused vacation shall be paid to the beneficiary designated by the employee. Such designation shall be in writing, signed by the employee and filed with the Human Resources Office. In the event an employee has not designated a beneficiary, the payment shall be made to the estate of the employee.

Section 6. Holidays Falling During Vacation Leave. In the event one or more municipal holidays fall within an annual vacation leave, such holiday shall not be charged as vacation leave and the vacation leave shall be extended accordingly.

Section 7. Vacation Earned During Leave of Absence. No vacation leave shall be earned during any leave of absence without pay for each 30-day period of such leave. Vacation leave shall be earned on a prorated basis during a leave of absence on partial pay status.

Section 8. Vacation - Miscellaneous. Employees shall not work for the City during their vacation and, thereby, receive double compensation from the City.

PART III - SICK LEAVE
Section 1. General Sick Leave Provisions.

A. Sick leave shall be requested only in cases of actual personal sickness or disability, medical or dental treatment, or as authorized by the City Manager or the Personnel Officer under the provisions of the Federal Family Medical Leave Act and/or the California Family Rights Act, California Labor Code Section 233 (use of sick leave) or the Healthy Workplace Healthy Family Act of 2014.

The employee requesting sick leave shall notify his/her immediate supervisor prior to the time set for reporting to work. Sick leave with pay shall not be allowed unless the employee has met and complied with these provisions and the department head or the City Manager has approved such payment.

Section 2. Eligibility. All employees covered by this Agreement shall be eligible to accrue sick leave.

Section 3. Accrual. Sick leave shall be accrued at the rate of eight hours per calendar month for each calendar month that an employee has worked regularly scheduled hours and/or has been on authorized leave which provides for full pay, for at least 15 working days in that month. Sick leave shall be earned on a prorated basis during a leave of absence on partial pay status.

Section 4. Accumulation and Payment Plan.

A. Accrued sick leave may be accumulated without limit.

B. Payment of accumulated sick leave shall be granted by the Personnel Officer on an annual basis to all regular employees who have a minimum of 120 hours of accumulated sick leave on record on December 1st, and opt to receive payment of up to 48 hours of sick leave, during the subsequent December’s special payroll at a rate of 50% of current salary. Employees must have a minimum balance of 120 hours after the payment of sick leave to be eligible for the payout.

C. Payment of accumulated sick leave shall be granted by the Personnel Officer on an annual basis to all employees who have a minimum of 240 hours of accumulated sick leave on record on December 1st, and opt to receive payment of up to 48 hours of sick leave, during the subsequent December’s special payroll, at a rate of 100% of current salary. Employees must have a minimum balance of 120 hours after payment of sick leave to be eligible for the payout.

Revised 9-9-24 Page 4 of 9
D. Employees wishing to cash out sick leave as described in Section 4. (B) and (C) above, must submit an irrevocable election form to Human Resources by December 15 for payment on the subsequent December’s special payroll. For example, if an employee submits a payout request for the maximum 48 hours prior to December 15, 2024, payment will be issued in December 2025 (if eligible).

E. In accordance with the annual conversion policy set forth in Section 4. (B), (C) and (D) above, employees shall have the option of depositing their sick leave payment in a City deferred compensation program instead of receiving payment in cash. All deposits made into the deferred compensation program shall be made in accordance with any and all regulations governing the deferred compensation program.

F. Upon death, retirement, separation or termination of an employee covered by this Agreement, with a minimum of 60 days or 480 hours of sick leave accumulation, said employee is entitled to receive 50% compensation for that accumulated sick leave.

G. Upon death, retirement, separation or termination of an employee covered by this Agreement, with a minimum of five years of service and with between 240 hours and 480 hours of sick leave accumulation, said employee is entitled to receive payment for the difference between that amount of sick leave and 240 hours at 50% compensation.

H. If the Chief of Police was promoted and was previously a member of the Cypress Police Management Association (PMA), upon service retirement or termination, he/she will be entitled to receive payment of accumulated sick leave hours earned prior to promotion to Chief of Police, consistent with the terms of the PMA Memorandum of Understanding in effect at the time of promotion. Accumulated sick leave hours will be documented at the time of promotion and shall be paid to the Chief of Police at the highest hourly rate within the PMA upon separation from employment. Sick leave hours accumulated as Chief of Police will be paid in accordance with the sections above. If the Chief of Police is terminated for misconduct, he/she is ineligible for this payment.

I. In accordance with the payment plan set forth in Section 4 (F) and (G) above, upon separation, termination or retirement of an employee covered by this Agreement, said employee shall have the option of depositing their sick leave payment in a City deferred compensation program, instead of receiving payment in cash. All deposits made into the deferred compensation program shall be made in accordance with any and all regulations governing the deferred compensation program.

Section 5. Use.

A. Sick leave may be requested and used as approved by the department head or the City Manager. Payment for approved sick leave shall be authorized until the employee's accumulated total of sick leave hours has been exhausted and at such time the employee shall receive no further payment for sick leave. An employee shall have his/her accumulated sick leave balance reduced by an amount equal to the number of hours of sick leave for which he/she receives payment.

B. Sick leave shall not be granted for disability arising from any sickness or injury purposely self-inflicted or caused by an employee's own willful misconduct.

Section 6. Sick Leave During Vacation. An employee who becomes ill while on vacation may have such period of illness charged to his/her accumulated sick leave provided that: immediately upon return to duty, the employee submits to his/her department head a written request for sick leave and a written statement signed by his/her physician that includes the dates of illness; and the Revised 9-9-24 Page 5 of 9
department head recommends and the City Manager approves granting of such sick leave. The employee may request an extension of vacation due to illness, subject to the approval of the department head and City Manager.

Section 7. Extended Sick Leave. In the event of an employee's continuing illness which results in depletion of sick leave accumulation, the employee may request, in writing, to his/her department head and City Manager, a leave of absence without pay for the purpose of recovering from an illness, provided:

1. The employee has used all of his accumulated sick leave.

2. The employee presents to his/her department head for referral to and consideration by the City Manager, a written estimate of the time needed for recovery signed by the employee's physician.

3. Prior to resuming his/her duties, the employee may be required to take a medical examination at the City’s expense and provide a medical release to return to work from the employee's physician as prescribed by the City Manager. The employment record and the results of such examination shall be considered by the City Manager in determining the employee's fitness to return to work.

Section 8. Federal Medical Leave Act and the California Family Rights Act The City shall comply with the Federal Medical Leave Act of 1993 (FMLA) and the California Family Rights Act (CFRA) of 1991. Where there are differences between similar provisions of the Acts, the City shall comply with the provision which gives the employee the greater rights.

Section 9. On-the-job Injury. Employees who are disabled by injury or illness arising out of and in the course of their duties for the City, shall be entitled, regardless of his/her period of service with the City, to a leave of absence for the period of such disability, but not exceeding one (1) year, or until such earlier date as he/she is retired on permanent disability pension. Employees are eligible for up to four months of salary continuation in lieu of temporary disability payments. During the first five working days of such disability, the City shall pay 100% of the salary in lieu of temporary disability payments. Thereafter, the employee shall receive 80% of salary in lieu of temporary disability payments. Any payments made pursuant to this Section shall not be charged to sick leave; provided, however, no sick leave or vacation benefits shall accrue during the period of such disability.

Section 10. Off-the-job Injury. An employee injured outside of his/her service with the City may apply for benefits under the disability insurance plan provided by the City.

Section 11. California Labor Code Section 233
Pursuant to California Labor Code Section 233, employees may use a total of 48 hours of their accrued and available sick leave for the following reasons:

1. To attend to the illness of their child, parent, spouse, registered domestic partner, parent-inlaw, grandparent, grandchild, sibling or designated person.

Revised 9-9-24 Page 6 of 9
c. To seek medical attention for injuries caused by domestic violence, sexual assault, or stalking.
d. To obtain services from a domestic violence shelter, program, or rape crisis center as a result of domestic violence, sexual assault, or stalking. e. To obtain psychological counseling related to an experience of domestic violence, sexual assault, or stalking.
f. To participate in safety planning and take other action to increase safety from future domestic violence, sexual assault, or stalking, including temporary or permanent relocation.

ARTICLE IV - HEALTH, DENTAL, VISION, LIFE AND DISABILITY INSURANCE Section 1. Health Insurance Plan.

A. For the employees covered by the terms of this Agreement, the City and the employees shall contribute the sums listed below per month per employee toward health insurance:

MEDICAL RATE PROVISIONS AND SCHEDULE
Health Insurance Benefit: The City shall provide health insurance coverage for the employee and any dependents which may include medical, dental and vision insurance plans.

Effective January 1, 2024, the maximum contribution amount will increase from $2,359.27 to $2,557.07 per month for Executive Management and Mid-Management employees. Annual increases to the City’s monthly contributions shall be based upon the average cost of all area HMO plans offered through the PERS Health Plan (2024 $2,191.06/ 2025 $2,393.86) plus the DPO Dental Family rate (2024 $142.40/ 2025 $137.40) and the Family Vision rate (2024/2025 $25.81). Employees shall maintain the PERS Health Plan minimally at the employee-only coverage level, unless the employee demonstrates proof of other group coverage. Coverage under dental and vision plans shall be optional.

If the City’s contribution exceeds the total premium cost of health plans chosen by the employee, the difference may be contributed toward additional/dependent coverage, including additional life insurance, or paid as additional compensation.

If the total premium cost of health plans chosen by the employee exceeds the City’s contribution, the employee shall pay, through payroll deduction, the difference between the total cost and the City’s contribution. The employee’s exercise of the option to use the difference toward additional/dependent health coverage or receive the additional cash as compensation is subject to the conditions controlling enrollment periods and eligibility established by the respective plans or carriers.

B. Retiree Health Savings Plan. The City will contribute $185 per month for each employee participating in the Retiree Health Savings Plan.

C. Retiree Health Savings Program. Full-time employees who promote to a management classification, and have previously opted to grandfather into the Supplemental Health Care Benefit Program, may elect to remain in the program in lieu of mandatory enrollment in the Retiree Health Savings Plan.

D. 401(a) Retirement Savings Plan. The City will contribute $200 per month for Executive Management positions.

Revised 9-9-24 Page 7 of 9
Section 2. Life Insurance Plan.

Executive Management. The City shall pay 100% of the premium for a term life insurance policy for each eligible employee which shall be based upon a formula of one times the employee's annual salary rounded up to the nearest thousand dollars up to $300,000.

Mid-Management. The City shall pay 100% of the premium for a term life insurance policy for each eligible employee of $50,000.

Section 3. Disability Insurance Plan. The City shall provide a short-term and long-term disability insurance plan for all employees covered by this agreement. The City shall pay 100% of the premium.

Section 4. Wellness Program. Executive Management employees may request reimbursement for a maximum of $1,000 on an annual basis for eligible wellness program expenses as determined by the Personnel Officer.

PART V – RETIREMENT
Section 1. The City shall make contributions for employees to the California Public Employees Retirement System (CalPERS) plan known as 2% at 55 for “Classic” Miscellaneous members and 3% at 50 for “Classic” Safety members. “Classic” Miscellaneous employees hired prior to June 30, 2010 shall contribute 3% of salary towards their CalPERS retirement plan.

Section 2. Employees hired after June 30, 2010, if determined to be “Classic” Miscellaneous members, shall contribute 6% of salary towards their CalPERS retirement plan.

Section 3. The Chief of Police, if determined to be a “Classic” Safety member, shall contribute 12% of salary towards his/her CalPERS retirement plan.

Section 4. Employees hired after January 1, 2013 and are new to CalPERS, or have had a six month or more break in service, are considered “PEPRA” members and are subject to all laws, statutes, rules and regulations of the Public Employees’ Pension Reform Act (PEPRA).

Section 5. The City’s CalPERS contract shall provide the Survivor’s Continuance Benefit to employees.

Section 6. The City’s CalPERS contract shall provide for the 1959 Survivor’s Benefit (Level 3).

The City shall make the employees’ contribution in the amount of $2.00 per month.

Section 7. The City’s CalPERS contract shall provide for the “Single Highest Year Compensation” benefit for eligible employees. The City shall pay for the entire cost of this benefit.

PART VI - AUTO ALLOWANCE
A monthly auto allowance will be provided in the amount of $500 for Executive Management employees, $300 for the City Clerk and $200 for all other Mid-Management employees. The Chief of Police has the option of being provided a City vehicle in lieu of the auto allowance.

Revised 9-9-24 Page 8 of 9
PART VII – TECHNOLOGY ALLOWANCE
A monthly technology allowance will be provided in the amount of $100 for Executive Management employees and $75 for Mid-Management employees to purchase and maintain personal technology devices (i.e. cell phone, computer, tablet) and/or services (i.e. internet, cell phone service) to perform the duties of their position.

PART VIII – UNIFORM ALLOWANCE
The classification of Police Chief shall receive a Uniform Allowance of $850 per year.

The classification of Police Support Services Supervisor shall receive a Uniform Allowance of $600 per year.

The classification of Maintenance Supervisor shall receive a Boot/Safety Shoe Allowance of $250 per year. To be eligible for reimbursement, the employee must submit a receipt from the purchase of boots/safety shoes to Human Resources.

PART IX – SPECIAL PAY PROVISION
Section 1. Assistant City Manager Designation. The City Manager may designate the title of Assistant City Manager and assign additional job duties at the higher responsibility to an employee in one the following Executive Management positions: Director of Public Works, Director of Finance and Administrative Services, Chief of Police, Planning Director or Director of Recreation and Community Services. The City Manager may authorize additional compensation of up to 5% over base pay for such duties. The duration of the assignment and additional compensation shall be at the sole discretion of the City Manager.

Section 2. Acting Pay for Executive Management Positions. The City Manager may temporarily grant up to a 5% increase for an acting assignment for those positions who assume acting duties. The increase must fall within the range of the higher position but not exceed the top of the position's range.

Section 3. Management Performance Recognition Program. The City Manager may recognize the outstanding performance of Executive Management and Mid-Management employees.

Based upon criteria and the sole discretion of the City Manager, employees will be eligible to receive a one-time payment up to 5% of base salary within a 12-month period. Such amounts shall be payable in conjunction with an employee’s performance review.

Section 4. Temporary Succession Planning Pay. The City Manager may grant temporary pay to management employees training for potential advancement to a higher-level position. The temporary pay would not exceed 5% of the employee’s current rate of pay. Such assignment would be limited to a maximum of six months. This form of pay differs from Acting Pay in that the position is filled with an incumbent and the employee being trained is not assuming all of the responsibilities associated with the position.

Section 5. Severance. Executive Management employees are entitled to four months’ base salary if terminated without cause. The City Clerk is entitled to six months’ base salary if terminated without cause.
“Cause” for termination shall include, but not limited to the following: persistent, habitual or willful neglect of duty; insubordination; corrupt of willful misconduct; willful malfeasance or conviction of an illegal act amounting to an act of moral turpitude; willful destruction or misuse of City Revised 9-9-24 Page 9 of 9
property; habitual intoxication while on duty, whether by alcohol, prescription or non-prescription drugs; inexcusable absence without an authorized leave of absence; theft or attempted theft; financial mismanagement; material dishonesty; willful violation of Federal or State discrimination and harassment laws while acting in the course and scope of employment; willful and unlawful retaliation against any City officer or employee; engaging in conduct tending to bring embarrassment or disrepute to the City.

The severance pay for Executive Management employees and the City Clerk is contingent upon the following conditions:
a) The employee must execute a comprehensive waiver and release of all claims against the City, its officials, employees, and agents, in a form approved by the City Attorney. b) The waiver and release must become effective and irrevocable. This includes the expiration of any applicable revocation period required by law, such as the 7-day revocation period for employees age 40 and over under the Age Discrimination in Employment Act. c) The employee must comply with all post-employment obligations outlined in the severance agreement, including but not limited to return of City property. d) Severance pay will be provided only for involuntary terminations without cause. It does not apply to voluntary resignations or terminations for cause. e) Severance pay shall be subject to all applicable taxes and withholdings required by law. f) Employees will be advised in writing to consult with an attorney before signing the severance agreement.

Revised 9-9-24 Page 1 of 9
EXHIBIT ‘A’

CITY OF CYPRESS

SCHEDULE OF BENEFITS

EXECUTIVE AND MID-MANAGEMENT EMPLOYEES

PART I - HOLIDAYS
Section 1. Recognized Holidays.

D. Religious holidays requested off shall be done so in writing to the employee’s supervisor.

If approved, such time shall be charged against accumulated vacation or floating holiday leave.

Section 2. Vacation Accrual.

Executive Management employees shall accrue vacation leave by the following formula:

Hours/Month Year of Employment Annual Amount (Hours)

10.0000 1st – 6th year (120 hours)

10.6667 7th year (128 hours)

11.3334 8th year (136 hours)

12.0000 9th year (144 hours)
Revised 9-9-24 Page 2 of 9

12.6667 10th year (152 hours)

13.3334 11th year (160 hours), and each month thereafter.

Mid-Management employees shall accrue vacation leave by the following formula:

Hours/Month Year of Employment Annual Amount (Hours)

6.6670 1st year (80 hours)

7.3334 2nd year (88 hours)

8.0000 3rd year (96 hours)

8.6667 4th year (104 hours)

9.3334 5th year (112 hours)

10.0000 6th year (120 hours)

10.6667 7th year (128 hours)

11.3334 8th year (136 hours)

12.0000 9th year (144 hours)

12.6667 10th year (152 hours)

13.3334 11th year (160 hours), and each month thereafter.

Section 3. Maximum Accrual.

B. For purposes of this Article, the term "anniversary date of employment" is the date an employee began accruing vacation with the City.

Section 4. Use of Vacation.

B. An employee who has completed five years or more of continuous service and who has taken 40 cumulative hours of vacation in his/her current anniversary the current payroll year may elect to be paid for up to a maximum of 80 hours of accrued vacation in the following calendar year. To request payment of up to 80 hours, the employee must submit an irrevocable election form to Human Resources by December 15 of the prior calendar year for the requested payment in the subsequent December’s special payroll. For example, if an employee submits a payout request of 80 hours prior to December 15, 20243 and is deemed eligible to receive a payout, the employee will be paid for 80 hours in December 20254. Vacation balances rolled over from prior calendar years are not eligible for cash out. Regardless of the number of hours irrevocably elected for cash out, the cash out will only be made from hours accrued during the calendar year and not used for time off or otherwise by the employee at the time of the cash out. Cash outs shall be made in the pay period following: 1) the employee’s anniversary date or 2) the accrual of hours requested to be paid out; whichever comes later.

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Section 5. Vacation Payment at Termination.

A. Employees terminating employment shall be paid in a lump sum for all accrued vacation leave.

B. When termination is caused by the death of the employee, said payment for unused vacation shall be paid to the beneficiary designated by the employee. Such designation shall be in writing, signed by the employee and filed with the Human Resources Office. In the event an employee has not designated a beneficiary, the payment shall be made to the estate of the employee.

Section 8. Vacation - Miscellaneous. Employees shall not work for the City during their vacation and, thereby, receive double compensation from the City.

PART III - SICK LEAVE
Section 1. General Sick Leave Provisions.

Section 2. Eligibility. All employees covered by this Agreement shall be eligible to accrue sick leave.

Section 4. Accumulation and Payment Plan.

A. Accrued sick leave may be accumulated without limit.

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C. Payment of accumulated sick leave shall be granted by the Personnel Officer on an annual basis to all employees who have a minimum of 240 hours of accumulated sick leave on record on December 1st, and opt to receive payment of up to 48 hours of sick leave, during the subsequent December’s special payroll, at a rate of 100% of current salary. Employees must have a minimum balance of 120 hours after payment of sick leave to be eligible for the payout.

D. Employees wishing to cash out sick leave as described in Section 4. (B) and (C) above, must submit an irrevocable election form to Human Resources by December 15 for payment on the subsequent December’s special payroll. For example, if an employee submits a payout request for the maximum 48 hours prior to December 15, 20243, payment will be issued in December 20254 (if eligible).

Section 5. Use.

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B. Sick leave shall not be granted for disability arising from any sickness or injury purposely self-inflicted or caused by an employee's own willful misconduct.

Section 6. Sick Leave During Vacation. An employee who becomes ill while on vacation may have such period of illness charged to his/her accumulated sick leave provided that: immediately upon return to duty, the employee submits to his/her department head a written request for sick leave and a written statement signed by his/her physician that includes the dates of illness; and the department head recommends and the City Manager approves granting of such sick leave. The employee may request an extension of vacation due to illness, subject to the approval of the department head and City Manager.

1. The employee has used all of his accumulated sick leave.

2. The employee presents to his/her department head for referral to and consideration by the City Manager, a written estimate of the time needed for recovery signed by the employee's physician.

Section 10. Off-the-job Injury. An employee injured outside of his/her service with the City may apply for benefits under the disability insurance plan provided by the City.

Section 11. California Labor Code Section 233
Pursuant to California Labor Code Section 233, employees may use a total of 48 hours of their accrued and available sick leave for the following reasons:

1. To attend to the illness of their child, parent, spouse, registered domestic partner, parent-inlaw, grandparent, grandchild, or sibling or designated person.

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2. To obtain any relief of services related to being a victim of domestic violence, sexual assault, or stalking including the following with appropriate certification of the need for such services:
a. A temporary restraining order or restraining order.
b. Other injunctive relief to help ensure the health, safety or welfare of themselves or their children.
c. To seek medical attention for injuries caused by domestic violence, sexual assault, or stalking.
d. To obtain services from a domestic violence shelter, program, or rape crisis center as a result of domestic violence, sexual assault, or stalking. e. To obtain psychological counseling related to an experience of domestic violence, sexual assault, or stalking.
f. To participate in safety planning and take other action to increase safety from future domestic violence, sexual assault, or stalking, including temporary or permanent relocation.

ARTICLE IV - HEALTH, DENTAL, VISION, LIFE AND DISABILITY INSURANCE Section 1. Health Insurance Plan.

A. For the employees covered by the terms of this Agreement, the City and the employees shall contribute the sums listed below per month per employee toward health insurance:

Effective January 1, 2024, the maximum contribution amount will increase from $2,243.70 to $2,359.27 to $2,557.07 per month for Executive Management and Mid-Management employees.

Annual increases to the City’s monthly contributions shall be based upon the average cost of all area HMO plans offered through the PERS Health Plan (2023 $2,070.99/ 2024 $2,191.06/ 2025 $2,393.86) plus the DPO Dental Family rate (2023 $146.90/ 2024 $142.40/ 2025 $137.40) and the Family Vision rate (20243/20254 $25.81). Employees shall maintain the PERS Health Plan minimally at the employee-only coverage level, unless the employee demonstrates proof of other group coverage.

Coverage under dental and vision plans shall be optional.

B. Retiree Health Savings Plan. The City will contribute $185 per month for each employee participating in the Retiree Health Savings Plan.

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D. 401(a) Retirement Savings Plan. The City will contribute $200 per month for Executive Management positions.

Section 2. Life Insurance Plan.