Agenda packet — Hawaiian Gardens City Council, May 13, 2026

CITY OF HAWAIIAN GARDENS
CITY COUNCIL AGENDA
Luis Roa, Mayor Pro Tem
Dandy De Paula, Councilmember
Victor Farfan, Councilmember
Ernie Vargas, Councilmember
Maria Teresa Del Rio,
Mayor
Wednesday, May 13, 2026
Regular Meeting, 6:00 PM
Ernesto Marquez, City Manager
Norma Tabares, City Attorney
Pablo Rubio, City Clerk
Meeting Location: City Council Chambers, 21815 Pioneer Boulevard, Hawaiian Gardens, California.

ADA Information: The City of Hawaiian Gardens complies with the provisions of the Americans with Disabilities Act (ADA). Anyone needing special assistance please contact the City Clerk’s Department at (562) 4202641 x 240, at least one (1) business day prior to the meeting so that we may accommodate you.

Bilingual Information: Anyone needing a Spanish bilingual interpreter for ORAL COMMUNICATION ONLY, please contact the City Clerk’s Department at (562) 4202641 x 240, at least one (1) business day prior to the meeting so that we may accommodate you.

The meeting can be viewed as a courtesy only and with no guarantee as to feasibility and disruption via various platforms as follows:

City of Hawaiian Gardens local cable/channel:

ATT 99
FRONTIER 16
Spectrum 36
Live Stream via City website at: www.hgcity.org.

INVOCATION
FLAG SALUTE
ROLL CALL
PUBLIC HEARING COMMENTS AND AGENDA GENERAL COMMENTS ARE TO BE

CITY COUNCIL AGENDA

REGULAR MEETING
MAY 13, 2026 Page 1
Spectrum 36
Live Stream via City website at: www.hgcity.org.

INVOCATION
FLAG SALUTE
ROLL CALL
PUBLIC HEARING COMMENTS AND AGENDA GENERAL COMMENTS ARE TO BE SUBMITTED AND CONDUCTED AS FOLLOWS:

Please note that public comment is only guaranteed to be taken inperson during the meeting or prior to the meeting inwriting by complying with the below procedures. Remote participation is provided as a courtesy only and should not be relied upon to guarantee participation in the meeting. The City reserves the right to terminate remote participation methods (subject to Brown Act restrictions) at any time and for whatever reason. So long as the public may still attend the meeting inperson, the meeting will continue.

VIA WRITTEN CORRESPONDENCE / ECOMMENT: Members of the public who wish to comment on matters before the City may submit written correspondence to the following email address: [email protected], or by ecomment on the City’s website, by no later than Wednesday, May 13, 2026 at 4:00pm. Note: Written correspondence will not be read into the record during the meeting; however, correspondence received by 4:00pm will be forwarded to the City Council, made a part of the official record, and made available for public review during the meeting. If submitting a comment pertaining to an agenda item, please reference the agenda item.

INPERSON COMMENT the City Council will provide members of the public with the opportunity to address the City Council inperson on any issues within the subject matter jurisdiction of the Council or to speak on items on and off the agenda, except for Public Hearing items. Each speaker shall be limited to three (3) minutes of public comment at each regular meeting. The City Council shall not discuss or take action relative to any public comment unless authorized by California Government Code Section 54954.2(b).

COURTESY VIRTUAL PARTICIPATION: As noted above, remote participation is offered merely as a courtesy and convenience. The City cannot guarantee that the public's access to remote participation will be uninterrupted. The City cannot guarantee it will not terminate use of remote participation during the meeting. In order to ensure participation in the meeting, please attend inperson or submit a written comment as set forth above.

Courtesy remote participation will be conducted as follows: All members of the public participating via Zoom will be placed on mute, except for during the opportunity for public comments and when recognized by the Mayor. Members of the public may participate via Zoom by logging on via the information below:

Meeting Link: https://us02web.zoom.us/j/84396805805?

CITY COUNCIL AGENDA

REGULAR MEETING
MAY 13, 2026 Page 2
public comment unless authorized by California Government Code Section 54954.2(b).

Meeting Link: https://us02web.zoom.us/j/84396805805?
pwd=b3dOSGJmdTdiVjZGQWR4VkxxalBidz09
Meeting ID: 843 9680 5805 Passcode: HG1
Members of the public shall have the right to observe and offer public comment at the public meeting, consistent with the public's rights of access and public comment otherwise provided for by the Brown Act, as applicable (including, but not limited to, the requirement that such right of access and public comment be made available in a manner consistent with the Americans with Disabilities Act). The City reserves the right to utilize teleconferencing in accordance with AB 2449.

AGENDA ORGANIZATION
This is the time for the City Council to discuss any changes in the order of agenda items.

A. PUBLIC HEARING(S) / HEARING(s)
B. CONSENT CALENDAR

1. WAIVE READING IN FULL OF ALL ORDINANCES AND RESOLUTIONS ON THE AGENDA
That the City Council waive reading in full of all ordinances and resolutions on the agenda and declare that said titles which appear on the public agenda shall be determined to have been read by title and further reading waived.

SUGGESTED ACTION: Approve Recommendation.

2. Recommendation to adopt on second reading by title only, Ordinance No. 2026625, amending Chapter 6.28 of Title 6 of the Hawaiian Gardens Municipal Code regarding firework regulations and finding the action to be exempt from CEQA.

SUGGESTED ACTION: Approve Recommendation.

3. Recommendation to receive and file warrants processed during the period of April 11 to May 1, 2026.

SUGGESTED ACTION: Approve Recommendation.

4. Recommendation to receive and file a report on coyote sightings, safety suggestions and resources.

SUGGESTED ACTION: Approve Recommendation.

5. Recommendation to receive and file the Public Works Department Permits Report for the month of April 2026.

SUGGESTED ACTION: Approve Recommendation.
6 RecommendationtoadoptResolutionNo0062026approvingthepreliminary

CITY COUNCIL AGENDA

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SUGGESTED ACTION: Approve Recommendation.

4. Recommendation to receive and file a report on coyote sightings, safety suggestions and resources.

SUGGESTED ACTION: Approve Recommendation.

5. Recommendation to receive and file the Public Works Department Permits Report for the month of April 2026.

SUGGESTED ACTION: Approve Recommendation.

6. Recommendation to adopt Resolution No. 0062026, approving the preliminary Engineer's Report for Consolidated Landscaping and Lighting Assessment District No. HGLLA1 and declaring the intent to levy and collect an assessment for fiscal year 20262027, and setting a public hearing on the proposed levy at the regular City Council meeting on Wednesday, June 24, 2026 in accordance with the landscaping and lighting act of 1972.

SUGGESTED ACTION: Approve Recommendation.

7. Recommendation to approve a professional services agreement with Badawi & Associates to provide independent auditing services from FY 20252026 through FY 20272028 with the option to extend for two additional oneyear periods and authorize the City Manager to execute the agreement.

SUGGESTED ACTION: Approve Recommendation.

8. Recommendation to adopt Resolution No. 0052026, approving applications for the sale of Safe and Sane Fireworks from Fireworks Stands in the City of Hawaiian Gardens for the 2026 Independence Day Celebration.

SUGGESTED ACTION: Approve Recommendation.

9. Recommendation to approve the minutes for the City Council meeting of Wednesday, April 22, 2026.

SUGGESTED ACTION: Approve Recommendation.

C. DISCUSSION ITEM(S)

1. Recommendation to approve plans and specifications and award a construction contract to Bridgerock Construction Inc., in the amount of $218,669 for the City Hall Building Restroom Renovation, Project 124, and approve an amendment to the FY 20252026 budget.

SUGGESTED ACTION: Approve Recommendation.

2. Recommendation to discuss Assembly Bill (AB) 413 daylighting requirements and provide direction on implementation of curb markings and parking restrictions.

SUGGESTED ACTION: Approve Recommendation.

D. NEW BUSINESS
E. ORAL STAFF REPORT(S)
F. CITY ATTORNEY REPORT(S)

CITY COUNCIL AGENDA

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MAY 13, 2026 Page 4
SUGGESTED ACTION: Approve Recommendation.

2. Recommendation to discuss Assembly Bill (AB) 413 daylighting requirements and provide direction on implementation of curb markings and parking restrictions.

SUGGESTED ACTION: Approve Recommendation.

D. NEW BUSINESS
E. ORAL STAFF REPORT(S)
F. CITY ATTORNEY REPORT(S)
G. ORAL COUNCIL REPORT(S)
H. CLOSED SESSION
I. ADJOURNMENT
Adjourn to the next Regular City Council meeting to be held on Wednesday, May 27, 2026 at 6:00 PM.

CITY COUNCIL AGENDA

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MAY 13, 2026 Page 5

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B2
65320.00001\44924110.1
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Norma Tabares, City Attorney
Elise McCaleb, Community Development Director
RECOMMENDATION:

Recommendation to adopt on second reading by title only, Ordinance No. 2026-625, amending Chapter 6.28 of Title 6 of the Hawaiian Gardens Municipal Code regarding firework regulations and finding the action to be exempt from CEQA.

BACKGROUND
Each year, residents and visitors celebrate the July 4th holiday by discharging fireworks.

The Hawaiian Gardens Municipal Code (HGMC) allows the discharge of “safe and sane” fireworks between July 1 to 4. However, the discharge of illegal and dangerous fireworks is prohibited. The illegal discharge of fireworks has become significant enough that the Sheriff’s Department receives complaints about illegal firework use throughout the year.

In addition to discharging legally sold fireworks during permissible times, a significant number of residents, visitors, adults, and minors are discharging illegal dangerous fireworks and discharging fireworks during unauthorized times of the year. Furthermore, the significant fire hazards posed by illegal firework use, compounded by dry climatic conditions, create an ongoing threat to the public’s health, safety, and welfare.

Existing Regulations
The State of California has a robust statutory regime dealing with fireworks. Found in Health and Safety Code Sections 12500 et seq., the State imposes, among other things, restrictions on the use of fireworks (including both “safe and sane”1 and “dangerous 1 “Safe and sane fireworks” are defined in §12529 of the California Health and Safety Code and include small items such as fountains, spinners, and snap caps. The Office of the California State Fire Marshal puts a list on its website of fireworks that qualify based on general and specific standards for design, construction, performance, and labeling for such fireworks.

Ordinance No. 2026-625
May 13, 2026

Page 2 ends

65320.00001\44924110.1
fireworks”3), a permitting system for firework displays, and criminal penalties for violating this part of the Health and Safety Code. More pertinent to this item is California Health and Safety Code Section 12541, which specifically authorizes cities to establish their own local fireworks prohibitions and regulations. Violations of the State’s Health and Safety Code are generally subject to misdemeanor prosecution.

The City previously adopted the Los Angeles County Fire Code via Chapter 15.20 of the Municipal Code. Section 5601.1.3 of the Los Angeles County Fire Code which prohibits the possession, manufacture, storage, sale, handling and use of fireworks with an exception for “safe and sane fireworks” that are explicitly allowed by local ordinance.

Pursuant to Health and Safety Code Section 12541 and Section 5601.1.3 of the Los Angeles County Fire Code, the City has established Chapter 6.28 of the Municipal Code regulating the use of fireworks in the City. Specifically, Section 6.28.010 of the Municipal Code allows the sale and discharge of safe and sane fireworks only from 12:00-9:00 pm, July 1 through July 4. Further, Chapter 6.28 also allows for the application and required findings for the issuance of a permit to set up and operate a fireworks stand in the City to sell safe and sane fireworks. The decision on any application issued by staff may be appealed by right to the City Council. The sale and offering of dangerous fireworks are strictly prohibited at all times.

Penalties
An administrative citation may be issued for any violation of Chapter 6.28. The fines are as follows:
• A fine of $2,000 for a first offense;
• A fine of $3,000 for a second offense within one year from the initial offense; • A fine of $4,500 for a third offense within one year from the initial offense.

The City is also authorized to enforce violations of Chapter 6.28 as misdemeanors and impose any other civil penalties established by resolution or ordinance.

Proposed Amendments
New language is recommended to Chapter 6.28 to strengthen the City’s ability to deter and enforce the use of unlawful fireworks. Specifically, the changes will strengthen the City’s ability to take enforcement action against property owners, lessors, and any other person in lawful possession of the property where unlawful fireworks are discharged. This enforcement authority will also extend to unlawful fireworks that are discharged in a public 3 “Dangerous fireworks” are defined in §12505 of the California Health and Safety Code and generally include fireworks that contain hazardous materials or exhibit explosive, projectile, or unpredictable behavior. This also includes firecrackers, skyrockets, Roman candles, large sparklers, and other items deemed unsafe by the State Fire Marshal.

Ordinance No. 2026-625
May 13, 2026

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65320.00001\44924110.1
right of way adjacent to a property owner’s property, if they have knowledge, or should have had knowledge, of the acts that resulted in a violation.

More specifically, the recommended amendments add the definition of a “responsible person,” defined as anyone who violates Chapter 6.28, including a person who discharges illegal fireworks, as well as “hosts,” generally defined as anyone who is in lawful possession of real property (an owner, lessee, social host, etc.) where the violation occurs.

Responsible persons will be strictly liable for any violation that occurs (1) on their property, or (2) in the public right-of-way immediately adjacent to their property, when they know, or should have known, of the acts resulting in a violation. A responsible person will be subject to citation, regardless of their intent or awareness that a violation has occurred.

Moreover, a host will be required to take reasonable measures to prevent any violations on or adjacent to their property.

Notably, responsible persons will not be liable for violations committed by other persons if they are the first to report such violations to the City before the violations are observed by an enforcement officer.

The recommended changes will also allow the City to hold responsible persons liable for recoverable costs and incidental expenses, such as remediating damage caused to City property, associated with a violation of Chapter 6.28. Additionally, the City will be able to treat any violation of Chapter 6.28 that is a threat to health, safety, and welfare as a public nuisance and take corresponding abatement actions.
2026 Fireworks Outreach
In anticipation of the 4th of July, the City will be sending out two mailers, one in May and one in June which outlines the types of fireworks that are allowed and those that are prohibited. The proposed mailers will state that safe and sane fireworks are allowed to be discharged from July 1st to July 4th, specify the fines for using illegal fireworks, and outline safety tips. The City will also use social media posts and an electronic traffic control board to notify residents of the updated regulations and fines associated with the use of illegal fireworks.

FISCAL IMPACT
None.

Ordinance No. 2026-625
May 13, 2026

Page 4 ends

65320.00001\44924110.1

ENVIRONMENTAL REVIEW
This Ordinance is exempt from the requirements of the California Environmental Quality Act (“CEQA”) pursuant to State CEQA Guidelines, as it is not a “project” and has no potential to result in a direct or reasonably foreseeable indirect physical change to the environment because the amendments only enhance and clarify the existing regulatory framework for fireworks without introducing new environmental risks. (14 Cal. Code Regs. § 15378(a).) Even if the Ordinance is considered a “project” subject to CEQA, it is categorically exempt because there is no possibility that this Ordinance or its implementation would have a significant negative effect on the environment for the same reasons above. (14 Cal. Code Regs. § 15061(b)(3).) Staff is further directed to file a Notice of Exemption for this Ordinance with the County Clerk and the State Clearinghouse in accordance with State CEQA Guidelines.

ATTACHMENTS
Ordinance No. 2026-625
65320.00001\44924511.1
ORDINANCE NO. 2026-625

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HAWAIIAN GARDENS, CALIFORNIA AMENDING CHAPTER 6.28 OF TITLE 6 OF

THE HAWAIIAN GARDENS MUNICIPAL CODE REGARDING

FIREWORK REGULATIONS AND FINDING THE ACTION TO BE

EXEMPT FROM CEQA
WHEREAS, the City of Hawaiian Gardens, California (“City”) is a municipal corporation, duly organized under the California Constitution and laws of the State of California;
WHEREAS, pursuant to the police powers delegated to it by the California Constitution, the City has the authority to enact laws which promote the public health, safety, and general welfare of its citizens;
WHEREAS, Health and Safety Code Sections 12500 et seq. impose a statewide framework of restrictions on the use of fireworks, a permitting system for firework displays, and criminal penalties for violating this part of the Health and Safety Code; WHEREAS, California Health and Safety Code Section 12541, specifically authorizes the City to establish its own local fireworks prohibitions and regulations; WHEREAS, the use, possession, and sale of fireworks in the City creates a hazard to the personal safety and well-being of the community and has become significant enough that the Sheriff’s Department now receives complaints about illegal fireworks throughout the year;
WHEREAS, while the Hawaiian Gardens Municipal Code and State law have existing prohibitions and rules on fireworks in the City, enforcement and compliance is an ongoing challenge throughout the year, particularly in and around the 4th of July holiday; WHEREAS, because of the fire hazard risks that the illegal fireworks produce, coupled with dry climatic conditions, the City has determined that there is a current and immediate threat to the public peace, health, safety and welfare posed by the use, possession and/or sale of fireworks in the City and that such interests would be served by enhancing the City’s fireworks regulations;
WHEREAS, to address these issues, the City Council is seeking to update Chapter

6.28 of the Hawaiian Gardens Municipal Code to strengthen the City’s ability to deter and enforce the use of unlawful fireworks;
WHEREAS, all legal preconditions to the adoption of this Ordinance have occurred.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HAWAIIAN GARDENS DOES ORDAIN AS FOLLOWS:
65320.00001\44924511.1
SECTION 1. Recitals. The above recitals are hereby adopted by the City Council and incorporated as set forth in this section.

SECTION 2. CEQA. This Ordinance is exempt from the requirements of the California Environmental Quality Act (“CEQA”) pursuant to State CEQA Guidelines, as it is not a “project” and has no potential to result in a direct or reasonably foreseeable indirect physical change to the environment because the amendments only enhance and clarify the existing regulatory framework for fireworks without introducing new environmental risks. (14 Cal. Code Regs. § 15378(a).) Even if the Ordinance is considered a “project” subject to CEQA, it is categorically exempt because there is no possibility that this Ordinance or its implementation would have a significant negative effect on the environment for the same reasons above. (14 Cal. Code Regs. § 15061(b)(3).) Staff is further directed to file a Notice of Exemption for this Ordinance with the County Clerk and the State Clearinghouse in accordance with State CEQA Guidelines.

SECTION 3. The City Council authorizes Chapter 6.28 (Fireworks) of Title 6 of the Hawaiian Gardens Municipal Code to be amended as provided in this Ordinance.

SECTION 4. Section 6.28.005 (Definitions) is hereby amended in its entirety to read as follows:

6.28.005 Definitions.

For purposes of this chapter, the following definitions will apply. If any of the definitions in this chapter conflict with definitions in other provisions of this Municipal Code, these definitions shall control for the purposes of this chapter:

Chapter means this Chapter 6.28 of the Hawaiian Gardens Municipal Code.

Citation means an administrative citation issued pursuant to this section to remedy a violation.

City means the City of Hawaiian Gardens.

Code or Municipal Code means the Hawaiian Gardens Municipal Code.

Dangerous fireworks is defined by Section 12505 of the California Health and Safety Code, or as that section may be amended.

Host means any person who has legal title to, or leases, rents or is in lawful possession of, any real property in the City, or is otherwise an “Owner” as defined in Section 1.13.020 of this Code; or hosts, organizes, supervises, officiates, conducts, or sponsors a gathering on public or private property. If a host is a minor, then the minor’s parents or legal guardians may also be deemed a host. There may be more than one host associated with a single piece of property.

Enforcement officer shall have the meaning set forth in Section 1.13.020 of this Code.

Person means and includes any individual, partnership of any kind, a corporation of any kind, limited liability company, association, joint venture or other organization or 65320.00001\44924511.1
entity, however formed, as well as fiduciaries, trustees, heirs, executors, administrators, or assigns, or any combination of such persons.

Responsible person means a person or host who causes a violation to occur, or allows a violation to exist or continue by their action or failure to act, whether or not present at the time of the violation. If a responsible person is a minor, then the minor’s parents or legal guardians may also be deemed a responsible person. More than one responsible person may be associated with a single violation.

Safe and sane fireworks, or any variation of this phrase, is defined by Section 12529 of the California Health and Safety Code, or as that section may be amended.

Violation or violates means an act or omission of any act, or use or condition that constitutes an offense of any provision of this chapter.

SECTION 5. Sections 6.28.010 (Safe and Sane Fireworks) is hereby amended in its entirety to read as follows:

6.28.010 – Safe and sane fireworks.

A. Safe and sane fireworks may only be sold and discharged within the City between 12:00 p.m. and 9:00 p.m. each day from July 1 to July 4.

B. It is unlawful for any child under the age of 16 to possess, transport, buy, sell, offer to buy or sell, give, receive, ignite, set off, discharge, or otherwise use safe and sane fireworks within the City at any time except under the direct supervision of that child's parent, legal guardian, or other adult person acting in loco parentis of that child.

C. No person shall possess, transport, buy, offer to buy, sell, offer to sell, give, receive, fire, set off, discharge, or use any safe and sane fireworks in a manner likely to cause injury to life or property.

SECTION 6. Sections 6.28.020 (Fireworks other than safe and sane fireworks) is hereby amended in its entirety to read as follows:

A. Except as provided in this chapter, no person shall possess, transport, buy, sell, offer to buy or sell, give, receive, ignite, set off, discharge, or otherwise use any fireworks not classified as safe and sane, including dangerous fireworks, at any time within the City.

B. To the maximum extent allowable by law, a responsible person may be charged for all recoverable City costs and incidental expenses incurred as a result of a violation of this chapter, including, but not limited to, any costs associated with remediating damage caused to City property.

SECTION 7. Sections 6.28.025 (Responsible Person Liability) is hereby added to read as follows:

A. A responsible person is strictly liable for any violation that occurs (1) on property that the responsible person owns, leases, possesses, or controls, or (2) in the public right- 65320.00001\44924511.1
of-way immediately adjacent to property that the responsible person owns, leases, possesses, or controls, when the responsible person has knowledge, or should have knowledge, of the acts resulting in a violation.

B. A responsible person is subject to citation for any violation, regardless of the responsible person’s intent or awareness of the violation.

C. It is a rebuttable presumption that any prohibited act under this chapter conducted in the public right-of-way or any public property by any person is attributable to the host that owns, leases, possesses, or controls the property immediately adjacent to the public right-of-way or public property where the violation occurred.

D. A responsible person is not liable for violations committed by other persons if the responsible person is the first to report such violations to an enforcement officer, or other authority as designated by the City, for immediate assistance before the violations are observed by an enforcement officer.

E. A host shall take reasonable measures to prevent any violations on or adjacent to property that the host owns, leases, possesses, or controls.

SECTION 8. Section 6.28.160 (Violations) is hereby amended in its entirety to read as follows:

6.28.160 – Violations.

A. Any violation of this chapter is unlawful and constitutes a strict liability offense, regardless of intent or personal knowledge.

B. Administrative citations.

1. Whenever an enforcement officer determines that a violation of this chapter has occurred, the enforcement officer may issue a citation in accordance with Chapter 1.13 of this Code.

2. Notwithstanding the amounts authorized by Chapter 1.13 of this Code, any person who violates any provision of this Chapter 6.28 is subject to administrative fines in the following amounts:
a. A fine of $2,000.00 for a first offense;
b. A fine of $3,000.00 for a second offense within one year from the initial offense;
c. A fine of $4,500.00 for a third offense within one year from the initial offense.

3. Citations may be appealed pursuant to Chapter 1.13 of this Code.

4. Issuance of a citation shall not excuse or discharge a responsible person from the duty to immediately abate and correct a violation of this chapter, nor from any other responsibility or legal consequences for a violation of this chapter.

C. In addition to or in lieu of other action, the City may, at its discretion, undertake any one or all of the following legal actions for violations under this chapter:
65320.00001\44924511.1

1. Criminal penalty. Any violation of this chapter constitutes a misdemeanor punishable under Chapter 1.12 of this Code.

2. Civil penalties. Any person who violates any provision of this chapter is liable for a civil penalty established by resolution or ordinance of the City Council.

D. The City Council may by resolution or ordinance establish, modify, or amend fees for the implementation, administration, and enforcement of this chapter, including, penalties for delinquent payment of such fees.

E. Any condition caused or permitted to exist in violation of this chapter constitutes a threat to public health, safety, and welfare, and is declared and deemed a public nuisance, which may be summarily abated or restored by the City at the violator's expense and the City may institute a civil action to abate, enjoin, or otherwise compel the cessation of such nuisance.

F. The remedies provided in this chapter are cumulative and not exclusive and nothing in this chapter precludes the use or application of any other remedies, penalties, or procedures established by law. This chapter is not the exclusive regulation for fireworks within the City. This chapter supplements and is in addition to the other regulatory codes, statutes, regulations and ordinances heretofore and hereinafter enacted by the City of Hawaiian Gardens, the State of California, or any other legal entity or agency having jurisdiction. Where allowed by law, and as authorized by California Health and Safety Code Section 12541, this chapter supersedes any conflicting provision of the Hawaiian Gardens Fire Code (Chapter 15.20).

SECTION 9. Severability. If any section, sentence, clause or phrase of this Ordinance or the application thereof to any entity, person or circumstance is held for any reason to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are severable. The City Council of the City of Hawaiian Gardens hereby declares that it would have adopted this Ordinance and each section, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsections, sentences, clauses or phrases be declared invalid or unconstitutional.

SECTION 10. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption.

SECTION 11. Records. The documents and materials associated with this ordinance that constitute the record of proceedings on which the City Council’s findings and determinations are based are located at City Hall, 21815 Pioneer Boulevard, Hawaiian Gardens, CA 90716.

SECTION 12. Publication. The City Clerk shall certify to the adoption of this Ordinance. Not later than fifteen (15) days following the passage of this Ordinance, the Ordinance, or a summary thereof, along with the names of the City Council members voting for and against the Ordinance, shall be published in a newspaper of general circulation in the City
65320.00001\44924511.1
PASSED, APPROVED, and ADOPTED, by the City Council of the City of Hawaiian Gardens, California at a regular meeting of the City Council held on the 13th day of May 2026.
___________________________
Maria Teresa Del Rio, Mayor
ATTEST:
___________________________
Pablo Rubio, City Clerk

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B3
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Linda Hollinsworth, Finance Director
Abraham Yi, Accounting Specialist
RECOMMENDATION:

RECOMMENDATION TO RECEIVE AND FILE WARRANTS PROCESSED DURING THE PERIOD OF APRIL 11 TO MAY 1, 2026

SUMMARY
Information for warrants processed from April 11 to May 1, 2026 is provided, in the attachments, for review by the City Council. A detailed report for Accounts Payable (AP) provides a list of all payments presented by payment type and check number. Payments are made to vendors using paper checks, via ACH or online.

Payroll (PR) represents payments for employee payroll, taxes, insurance and CalPers retirement contributions and does not include any detailed information.

FISCAL IMPACT
None

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENTS
A. Financial Summary
B. AP Invoice Approval Lists Payment Type and Check Number Attachment A
Financial Summary
Description Warrant Information Amount
AP Check Payments to Vendors Ck 68827 – 68935 $ 792,853.92 AP ACH Payments to Vendors Ck 1059108 – 1059168 543,020.56 AP Online Payments to Vendors Ck 3225 – 3255 171,551.21 PR Employee Salaries & Benefits Ck 73903 – 74026 209,049.03 PR CalPers- Online Retirement Benefits 4/15/2026, 4/16/2026, 4/30/2026 71,703.67
Voided Check 68812 (14,874.00)
Total for Apr 11-May 1, 2026 $1,773,304.39
City of Hawaiian Gardens
Check Register Report
Check
Date
Check
Number
Status Amount
CHK PMTS 04/11/26 TO 05/01/26
BANK:

Vendor
Number Vendor Name Check Description
BANK OF THE WEST-GENERAL ACCT Page: 1
Time: 4:03 pm
Date: 04/29/2026
Void/Stop
Date
Reconcile
Date
BANK OF THE WEST-GENERAL ACCT Checks
68827 04/15/26 Printed 0824C COLUMBA BARBA 04.19.26 CARNIVAL EVENT - 1,150.00

ENTERTAINMENT
68828 04/15/26 Printed 0895L BAY ALARM COMPANY INST TEMP SENSOR 21815 PIONEER 2,510.00 CH SERVER ROOM - #4373070
68829 04/15/26 Printed 1409P CALIFORNIA DEPT OF PUBLIC 2026 ANNUAL REGISTRATION FEE 25.00 68830 04/15/26 Printed 1841C CLUBCORP USA INC 10.12.26 GOLF TOURNAMENT - 2ND 11,998.26 PMT
CONCENTRA HEALTH 368.00

SERVICES INC
68831 04/15/26 Printed 1938 BREATH ALCOHOL TEST & BUNDLE FEE ORAL FLUID TEST - R.GUZMAN
ECOFRAME CONSTRUCTION 4,900.00
INC
68832 04/15/26 Printed 2652T INTERIOR PAINT - FEDDE SPORTS

COMPLEX & FURGESON

ELEMENTARY
ENERGY SYSTEMS 2,988.00

HOLDINGS INC
68833 04/15/26 Printed 2749W GENERAC MDG150DF4 GENERATOR

MINOR PM SVC
GANAHL LUMBER COMPANY 10.14
INC
68834 04/15/26 Printed 3186 PW SHOP SUPPLIES - WIRE NUT,

ELECTRICAL TAPE
GOVERNMENTAL FINANCIAL 2,080.00

SERVICE
68835 04/15/26 Printed 3433G MAR 2026 SVCS - BANK REC, CIP

FUNDING ENTRIES
68836 04/15/26 Printed 3936T IRON MOUNTAIN INC APR 2026 STORAGE 849.63 68837 04/15/26 Printed 4165 L.A. COUNTY, DEPT OF P.W. FY 25/26 SEWER SERVICE 21815 967.50

PIONEER
68838 04/15/26 Printed 4257J JOSE LEONIDAS LARA 04.17.26 CARNIVAL EVENT - 1,400.00

ENTERTAINMENT
MATRIX CONSULTING GROUP 3,300.00
LTD
68839 04/15/26 Printed 4812Y FEB - MAR26 COMPREHENSIVE &

DEVELOPMENT IMPACT FEE STUDY
68840 04/15/26 Printed 4936V MESA ENERGY SYSTEMS INC 02.27.26 DIAGNOSE, RESET FILTER 6,832.95 RTU #5
METROPOLITAN 1,000.00

TRANSPORTATION
68841 04/15/26 Printed 4941G MAY26 - APR27 STREETSAVER

ANNUAL FEE -PAVEMENT MGMT
PROG
MV CHENG & ASSOCIATES 1,330.00
INC
68842 04/15/26 Printed 5195 MAR 2026 CONSULTING SVCS -

HUMAN RESOURCES ANALYST
68843 04/15/26 Printed 5513K ONSHORE MECHANICAL INC RPLC 2 MINI SPLIT AC UNITS - PSC 12,584.98

LIBRARY SERVER RM & OFFICE
SITEONE LANDSCAPE 250.18
SUPPLY
68844 04/15/26 Printed 6692T TREE STAKE, WOOD STAKE & TREE

TIE SELF-LOCKING
SOUTHERN CALIF EDISON 1,677.16

COMPANY
68845 04/15/26 Printed 6801 03.01 - 03.31.26 SER PER
SOUTHERN CALIF EDISON 9,284.14

COMPANY
68846 04/15/26 Printed 6801 03.01 - 03.31.26 SER PER
SOUTHERN CALIF EDISON 2,811.92

COMPANY
68847 04/15/26 Printed 6801 03.01 - 03.31.26 SER PER
SOUTHERN CALIF EDISON 3,098.55

COMPANY
68848 04/15/26 Printed 6801 03.01 - 03.31.26 SER PER
SOUTHERN CALIFORNIA 375.05

SECURITY
68849 04/15/26 Printed 6855H REPLACE LEVER CYLINDER - CRL

INTERIOR DOOR
68850 04/15/26 Printed 7181K TK ELEVATOR CORPORATION SAFETY TEST - PUBLIC SAFETY 4,326.00 UNDERGROUND SERVICE 55.15
ALERT
68851 04/15/26 Printed 7310 MAR 2026 DIG ALERT NOTICES
68852 04/15/26 Printed 7324 UNIFIRST CORPORATION 03.26.26 UNIFORMS, TOWELS & MATS 934.32 68853 04/15/26 Printed 7649 VISION SERVICE PLAN - CA APR 2026 VISION INSURANCE 1,857.64 68854 04/15/26 Printed 1932C JAMES R WHIRLOW 04.27.26 SENIOR CENTER EXCURSION 1,725.00

SHOW WITH LUNCH
68855 04/15/26 Printed 7907 WILLDAN ENGINEERING FEB 2026 PROF SVCS - CITY 18,929.00

ENGINEERING
ABC UNIFIED SCHOOL 423.30

DISTRICT
68856 04/22/26 Printed 0035M 04.18.26 PARADE - CUSTODIAN 68857 04/22/26 Printed 0137U ANA ACUNA VOLUNTEER LIVE SCAN 03.12.26 25.00 68858 04/22/26 Printed 4603 RAUL AGUIRRE UNIT 42 - REPLACE B1-2 CATALYTIC 2,814.74 CONVERTER, O2 SENSOR
68859 04/22/26 Printed 0276AB SALVADOR ALCAZAR FEB - MAR 2026 LEE WARE POOL 700.00

MAINTENANCE
68860 04/22/26 Printed 0277J ALEX TIRES INC UNIT 58 - FLEET MAINT TIRE CHECK 10.00 68861 04/22/26 Printed 0401JO JOSEPH ANTHONY AMARO 04.17 - 04.19.26 CARNIVAL EVENT - 1,364.00

FIRST AID BOOTH SVCS
68862 04/22/26 Printed 0520HZ JUAN ANGUIANO 04.10.26 WEED ABATEMENT - 22021 2,400.00

NORWALK BLVD
Attachment B
City of Hawaiian Gardens
Check Register Report
Check
Date
Check
Number
Status Amount
CHK PMTS 04/11/26 TO 05/01/26
BANK:

Vendor
Number Vendor Name Check Description
BANK OF THE WEST-GENERAL ACCT Page: 2
Time: 4:03 pm
Date: 04/29/2026
Void/Stop
Date
Reconcile
Date
BANK OF THE WEST-GENERAL ACCT Checks
TERESA CERVANTES DE 25.00
ARCIGA
68863 04/22/26 Printed 0559HAI VOLUNTEER LIVE SCAN 03.12.26 68864 04/22/26 Printed 0835L LOUIE BARRERA VOLUNTEER LIVE SCAN 03.12.26 25.00 CALIFORNIA WOOD 2,541.50

RECYCLING
68865 04/22/26 Printed 1466G ORGANIC HARVEST COMPOST 1CF (300 BAG)-EARTH DAY & CLEANUPS
68866 04/22/26 Printed 1557J ALVARO CAVADA 04.18.26 CARNIVAL EVENT - 4,000.00

ENTERTAINMENT
68867 04/22/26 Printed 1566J JESSICA CEJA 04.11.26 FACILITY RENTAL DEPOSIT 450.00 REFUND
68868 04/22/26 Printed 2126I MIGUEL ANGEL CRUZ 04.18.26 PARADE EVENT - TRAIN 920.00 RENTAL
AIDA FABIOLA ROMERO 1,000.00
CUEVAS
68869 04/22/26 Printed 2158Y 04.04.26 EASTER EVENT - BALLOON DECOR
68870 04/22/26 Printed 2372G GUADALUPE DIAZ VOLUNTEER LIVE SCAN 03.12.26 25.00 68871 04/22/26 Printed 2786J IRENE ESTRADA VOLUNTEER LIVE SCAN 03.12.26 25.00 GANAHL LUMBER COMPANY 27.92
INC
68872 04/22/26 Printed 3186 UNIT 42 & CRL MAINT SUPPLIES 68873 04/22/26 Printed 3213R MARYCARMEN GARCIA 03.24 - 04.03.26 BALLET CLASS 210.00

INSTRUCTOR
68874 04/22/26 Printed 3217T TERESA GARCIA VOLUNTEER LIVE SCAN 03.09.26 25.00 68875 04/22/26 Printed 3668 ALBERTO HERRERA VOLUNTEER LIVE SCAN 03.12.26 25.00 HOWROYD-WRIGHT 2,782.52

EMPLOYMENT
68876 04/22/26 Printed 0558M W/E 04.04.26 CLERICAL AID2 (2) INDEPENDENT CITIES 750.00

ASSOCIATION
68877 04/22/26 Printed 3872 JUL 2025 - JUN 2026 CITY

MEMBERSHIP DUE
JULIANNA RAFAELE V DE 560.00
JOYA
68878 04/22/26 Printed 4025HFJ 03.23 - 04.02.26 TUTORING 68879 04/22/26 Printed 4677 MAC'S LIFT GATE INC UNIT 28 FLEET LIFT GATE MAINT - 2,133.34

RPLC HYDRAULIC CYLINDER
68880 04/22/26 Printed 4740 ERNESTO MARQUEZ 04.13.26 FACILITY RENTAL DEPOSIT 500.00 REFUND
68881 04/22/26 Printed 4908B BERTHA MERAZ VOLUNTEER LIVE SCAN 03.12.26 25.00 68882 04/22/26 Printed 5180B MUNIENVIRONMENTAL LLC MAR 2026 PROF ENVIRON SVCS - 9,288.75 AB939/SB1383/FRANC & ORD TASKS
NEW EDITION SECURITY 14,874.00
PATROL
68883 04/22/26 Printed 5328FS 04.16 - 04.19.26 PARADE & CARNIVAL -

SECURITY SVCS
OCCUPATIONAL HEALTH 260.00

CENTERS
68884 04/22/26 Printed 5464 PHYSICAL EXAM/ORAL FLUID - A.

DELGADO, C. MORENO
68885 04/22/26 Printed 5513K ONSHORE MECHANICAL INC RPLC TRANE IGNITION MODULE, 2,729.52 HEATING BRD, SWITCH - UNIT 4
68886 04/22/26 Printed 5513P ONYX PAVING COMPANY INC FY24/25 ARTERIAL STREET 446,184.12 IMPROVEMENT PROJ 116 - PMT #1
68887 04/22/26 Printed 6143R JORGE RAMIREZ VOLUNTEER LIVE SCAN 03.12.26 25.00 68888 04/22/26 Printed 6228DL LIDIA REYEZ VOLUNTEER LIVE SCAN 03.12.26 25.00 68889 04/22/26 Printed 6269LY ALFREDO G RODRIGUEZ VOLUNTEER LIVE SCAN 03.12.26 25.00 68890 04/22/26 Printed 6269MTT TERESA RODRIGUEZ VOLUNTEER LIVE SCAN 03.12.26 25.00 68891 04/22/26 Printed 6269MV VIRGINIA RODRIGUEZ VOLUNTEER LIVE SCAN 03.12.26 25.00 68892 04/22/26 Printed 6278P ROMO PLANNING GROUP INC 03.02 - 04.03.26 PROF SVCS - CDD 13,552.50 SOUTHERN CALIFORNIA 478.49

SECURITY
68893 04/22/26 Printed 6855H KEYS - LW PARKS/CONCESSIONS 68894 04/22/26 Printed 6870 SOUTHWEST PATROL INC 03.18 - 03.29.26 PATROL SVCS 7,200.00 STATE CONTROLLER'S 3,879.00
OFFICE
68895 04/22/26 Printed 6980 JUL 2025 - JUN 2026 ANNUAL STREET REPORT FY 24/25
68896 04/22/26 Printed 7164NNJL THE SALVATION ARMY, A MAR 2026 HOMELESS ASSISTANCE 2,759.00 PROG - 1 SHELTERBED
68897 04/22/26 Printed 7181K TK ELEVATOR CORPORATION APR - JUN 2026 WHEEL CHAIR LIFT 93.24

MAINT - COUNCIL CHAMBERS
68898 04/22/26 Printed 7324 UNIFIRST CORPORATION 04.09.26 UNIFORMS, TOWELS & MATS 929.58 68899 04/22/26 Printed 7390M URBAN FUTURES INC FY 2025 - 2019 TAX ALLOCATION 3,200.00

REFUND BOND
68900 04/22/26 Printed 7907 WILLDAN ENGINEERING FY24/25 ARTERIAL ST IMPROV PROJ 7,839.00 116 - MAR 2026
68901 04/29/26 Printed 0680J ISMAEL AYALA VOLUNTEER LIVE SCAN 04.09.26 25.00 68902 04/29/26 Printed 0895L BAY ALARM COMPANY INST TEMP SENSOR 21815 PIONEER 1,015.74 CH SERVER RM #4373070 BAL DUE
City of Hawaiian Gardens
Check Register Report
Check
Date
Check
Number
Status Amount
CHK PMTS 04/11/26 TO 05/01/26
BANK:

Vendor
Number Vendor Name Check Description
BANK OF THE WEST-GENERAL ACCT Page: 3
Time: 4:03 pm
Date: 04/29/2026
Void/Stop
Date
Reconcile
Date
BANK OF THE WEST-GENERAL ACCT Checks
68903 04/29/26 Printed 1679C ALLAN N CHACON VOLUNTEER LIVE SCAN 04.08.26 25.00 68904 04/29/26 Printed 1795 CITY OF LONG BEACH 2026 BACKFLOW PREVENTION 299.74 DEVICE ACCT #HB00000722
68905 04/29/26 Printed 3001M GONZALO FLORES REIMB EMP/CELL PHN/FEB 2026 150.00 GANAHL LUMBER COMPANY 734.20
INC
68906 04/29/26 Printed 3186 FEDDE SPORTS COMPLEX SUPPLIES - ZIP-TIE, TIN SNIPS, SCISSORS
68907 04/29/26 Printed 3213R MARYCARMEN GARCIA 04.06 - 04.18.26 BALLET CLASS & 510.00

CARNIVAL/PARADE PERFORMANCE
68908 04/29/26 Printed 3320N NELSON J GODOY 04.17 - 04.19.26 CARNIVAL EVENT - 240.00

MARQUEE LETTERS RENTAL
68909 04/29/26 Printed 3609C HASA INC MAR 2026 SPLASHPAD SVC - 235.00

CLARKDALEL PARK
68910 04/29/26 Printed 3944T JCL TRAFFIC SERVICES 04.18.26 PARADE - MESSAGE BOARD 11,534.20

RENTALS
JULIANNA RAFAELE V DE 560.00
JOYA
68911 04/29/26 Printed 4025HFJ 04.06 - 04.16.26 TUTORING 68912 04/29/26 Printed 4052F FRANK KASTL 04.17 - 04.19.26 CARNIVAL TICKET 58,162.90 SALES
68913 04/29/26 Printed 4155 L.A. COUNTY, DEPT OF P.W. MAR 2026 HGHWY TRAFFIC SIGNAL 76.24 CENTRALIA @ NORWALK
68914 04/29/26 Printed 4337LE LOUIS LEE VOLUNTEER LIVE SCAN 04.16.26 25.00 68915 04/29/26 Printed 4740 ERNESTO MARQUEZ REIMB EMP/04.15.26 SISTER CITY 81.39 62ND ANNIVERSARY -GUEST TRAVEL
NERI'S GENERAL 1,800.00

CONTRACTORS
68916 04/29/26 Printed 3840A 04.17 - 04.19.26 CARNIVAL -

GENERATOR
NEW EDITION SECURITY 930.00
PATROL
68917 04/29/26 Printed 5328FS 04.19.26 CARNIVAL EVENT - ADD'L

GUARDS SECURITY SVCS
68918 04/29/26 Printed 5517GM MANUEL ORDONEZ VOLUNTEER LIVE SCAN 04.10.26 25.00 PRECISION BUILDING 500.00

SERVICS LLC
68919 04/29/26 Printed 5854OB 03.31.26 SCRUB & REFINISH

FLOORS-FEDDE RESTRMS & KITCHEN
68920 04/29/26 Printed 6766IT SOUNDTHINKING INC 03.29.26 - 03.28.27 ANNUAL 49,500.00

SHOTSPOTTER SVCS
SOUTHERN CALIF EDISON 36.55

COMPANY
68921 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 309.62

COMPANY
68922 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 86.64

COMPANY
68923 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 18.57

COMPANY
68924 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 377.69

COMPANY
68925 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 32.76

COMPANY
68926 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 4,194.44

COMPANY
68927 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 34.30

COMPANY
68928 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 34.02

COMPANY
68929 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 10,677.76

COMPANY
68930 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
SOUTHERN CALIF EDISON 34.82

COMPANY
68931 04/29/26 Printed 6801 03.16 - 04.14.26 SER PER
68932 04/29/26 Printed 6870 SOUTHWEST PATROL INC 04.01 - 04.12.26 PATROL SVCS 7,560.00 THE BANK OF NEW YORK 5,500.00
MELLON
68933 04/29/26 Printed 0821B HIGARDTAB19B TRUSTEE FEE

04.26.26 - 04.25.27
68934 04/29/26 Printed 7957 WYCOM SYSTEMS INC 06.05.26 - 06.05.27 ANNUAL LICENSE & 704.25

SUPPORT
68935 04/29/26 Printed 8033X MARIA ZAMARRIPA VOLUNTEER LIVE SCAN 04.15.26 25.00 Total Checks: 109 Checks Total (excluding void checks): 792,853.92 Total Payments: 109 Bank Total (excluding void checks): 792,853.92 Total Payments: 109 Grand Total (excluding void checks): 792,853.92 City of Hawaiian Gardens
Check Register Report
Check
Date
Check
Number
Status Amount
ACH PMTS 04/11/26 TO 05/01/26
BANK:

Vendor
Number Vendor Name Check Description
BANK OF THE WEST-GENERAL ACCT Page: 1
Time: 4:04 pm
Date: 04/29/2026
Void/Stop
Date
Reconcile
Date
BANK OF THE WEST-GENERAL ACCT EFTs
1059108 04/15/26 Printed 0310W ALL CITY ANIMAL TRAPPING 04.06.26 21630 JUAN AVE - REMOVE 100.00

ONE DEAD CAT
AMERICAN CITY PEST 1,605.00

TERMITE INC
1059109 04/15/26 Printed 0440 MAR 2026 PEST CONTROL - CITY HALL
AMERICAN FAMILY LIFE 2,670.10

ASSURANCE
1059110 04/15/26 Printed 0204 MAR 2026 SUPPLEMENTAL

INSURANCE
B & M LAWN AND GARDEN 115.94
INC
1059111 04/15/26 Printed 0705 EQUIP REPR-WALKER MOWER

ENGINE /DRIVE/GROUND BELT,

BRAKE BAND
BANK OF NEW YORK 304,430.42
MELLON
1059112 04/15/26 Printed 0821A 2026 BOND PMT 19A - INTEREST,

CASH ON HAND
1059113 04/15/26 Printed 1419 CALIFORNIA JOINT POWERS CITYWIDE ADA SELF-EVALUATION & 53,400.00

TRANSITION PLAN SVCS
COALITION FOR 151.50

CONTROLLING INS
1059114 04/15/26 Printed 1855L MAR 2026 EAP
1059115 04/15/26 Printed 5682GC COMPASS GROUP USA INC COFFEE SUPPLIES 65.55 1059116 04/15/26 Printed 1998C CORELOGIC INC MAR 2026 PROPERTY DETAIL 285.02

REPORTS
DELTA DENTAL INSURANCE 195.97

COMPANY
1059117 04/15/26 Printed 2338 APR 2026 DENTAL INS
1059118 04/15/26 Printed 3615EF HAWAIIAN GARDENS HAND FEB 2026 CAR WASH 259.00

TRANSPORTATION
1059119 04/15/26 Printed 3788 HOTWIRE ELECTRIC INC DIAGNOSE CSB PHASE II OUTAGE, 645.00

REPR FLR BOX WIRES - CARSON ST
L.A. COUNTY SHERIFF'S 22,763.67
DEPT.
1059120 04/15/26 Printed 4205 02.05 - 02.26.26 SPEC EVENT OT -

TRAFFIC SAFETY ENFORCEMENT
1059121 04/15/26 Printed 5166D MUNICIPAL DENTAL POOL APR 2026 DENTAL PPO INSURANCE 5,056.52 1059122 04/15/26 Printed 6014C CONCEPCION QUIROZ UNIT 17 - RPLC BRAKE SLAVE 798.86

CYLINDER, BRAKE SHOES, TIRE
RAMJAN BROTHERS 3,692.91

ENTERPRISES
1059123 04/15/26 Printed 6444 JANITORIAL SUPPLIES
1059124 04/15/26 Printed 7252Q RHR SYSTEMS INC APR - JUN 2026 QTRLY FIRE ALARM 195.00

MONITORING/RADIO UPLINK
1059125 04/15/26 Printed 6328 SC CONSULTING GROUP LLC MAR 2026 MONTHLY SVCS 6,900.00 STANDARD INSURANCE 1,484.81

COMPANY
1059126 04/15/26 Printed 6928C APR 2026 LIFE INSURANCE
STAPLES BUSINESS 59.95

ADVANTAGE
1059127 04/15/26 Printed 6932-CLKK CITY CLERK OFFICE SUPPLIES STAPLES BUSINESS 74.19

ADVANTAGE
1059128 04/15/26 Printed 6932-FINN FINANCE OFFICE SUPPLIES 1059129 04/15/26 Printed 7161DG THE ADVANTAGE GROUP MAR 2026 FLEX PLAN 81.00

ADMINISTRATION FEES
1059130 04/20/26 Printed 2998A FLOATASIA LLC 04.18.26 CARNIVAL - PARADE FLOAT 8,500.00 RENTAL 50% BAL DUE
1059131 04/22/26 Printed 0310W ALL CITY ANIMAL TRAPPING 04.13.26 11804 CARSON ST - 200.00

REMOVED ONE DEAD CAT
AMERICAN CITY PEST 324.50

TERMITE INC
1059132 04/22/26 Printed 0440 APR 2026 PEST CONTROL - CITY

HALL, CRL, PW YARD, PATIOS
AMERICAN SOCCER 1,037.06
COMPANY INC.
1059133 04/22/26 Printed 0486 YOUTH SPORTS SOCCER SUPPLIES 1059134 04/22/26 Printed 0559HD ARDURRA GROUP INC FY24/25 ARTERIAL ST IMPROV PROJ 10,199.05 116 - MAR 2026
1059135 04/22/26 Printed 6172 BLUETRITON BRANDS INC 03.15 - 04.14.26 BOTTLE WATER 1,397.80

DELIVERY, COOLER RENTALS
FRONTIER 666.77

COMMUNICATIONS
1059136 04/22/26 Printed 3062 APR 2026 LOCAL SERVICE
1059137 04/22/26 Printed 3615EF HAWAIIAN GARDENS HAND MAR 2026 CAR WASH PW FLEET 80.00 1059138 04/22/26 Printed 3653F FELIPE HERNANDEZ MAR 2026 CARSON ST GARDEN SVC 10,100.00 1059139 04/22/26 Printed 3788 HOTWIRE ELECTRIC INC REWIRE LIGHT FIXTURE, REPLACE 2,170.00 LED BULBS - MAOF/H.ROSAS BLDG
1059140 04/22/26 Printed 0893 MADISON LEEDS PARADE ZUMBA CLASS ATTIRES (26) 1,110.95 1059141 04/22/26 Printed 6691V MCLEAN ENTERPRISES INC PAYROLL ENVELOPES 255.59 MICHAEL BAKER 3,570.00

INTERNATIONAL
1059142 04/22/26 Printed 4953 MAR-APR26 PROF SVCS - 25/26 ST

IMPRV, PIONEER IMPRV, CLEAN UP
1059143 04/22/26 Printed 5061 MOLI-MEX INC SR GOLDEN AGE CLUB SHIRTS (25) 1,805.25 NATIONWIDE 12,828.10

ENVIRONMENTAL
1059144 04/22/26 Printed 5305M APR 2026 STREET SWEEPING SVC City of Hawaiian Gardens
Check Register Report
Check
Date
Check
Number
Status Amount
ACH PMTS 04/11/26 TO 05/01/26
BANK:

Vendor
Number Vendor Name Check Description
BANK OF THE WEST-GENERAL ACCT Page: 2
Time: 4:04 pm
Date: 04/29/2026
Void/Stop
Date
Reconcile
Date
BANK OF THE WEST-GENERAL ACCT EFTs
1059145 04/22/26 Printed 5307G SALVADOR NAVA REIMB EMP/CELL PHN/MAR 2026 50.00 1059146 04/22/26 Printed 5436 ZARENE MARIE NUNEZ 02.13 - 03.27.26 BALLET FOLKLORICO 532.60

INSTRUCTOR
1059147 04/22/26 Printed 6014C CONCEPCION QUIROZ UNIT 49 - REPR TIMING BELT KIT 1,380.82 WATER PUMP MIL - 144,540
1059148 04/22/26 Printed 6391 NADIM SALLMAN 04.04.26 VIDEO PROD - EASTER EGG 500.00

HUNT EVENT
1059149 04/22/26 Printed 6518I SDI PRESENCE LLC MAR 2026 EPR PROCUREMENT 10,015.00 SHERWIN-WILLIAMS 820.50

COMPANY
1059150 04/22/26 Printed 6615 PW SHOP INVENTORY - PAINT

SUPPLIES
STAPLES BUSINESS 328.27

ADVANTAGE
1059151 04/22/26 Printed 6932-FINN FINANCE BREAKROOM & COPY ROOM

SUPPLIES
STAPLES BUSINESS 90.93

ADVANTAGE
1059152 04/22/26 Printed 6932-RECC REC ADMIN OFFICE SUPPLIES X-ACT TECHNOLOGY 1,472.08

SOLUTIONS INC
1059153 04/22/26 Printed 7966 APR 2026 OFFICE 365 - BUS PREMIUM 1059154 04/29/26 Printed 0310W ALL CITY ANIMAL TRAPPING 04.21.26 21925 NORWALK BLVD - 100.00

REMOVED ONE DEAD CAT
1059155 04/29/26 Printed 0923A BEST BEST & KRIEGER LLP MAR 2026 PROF ATTORNEY SVCS - 38,183.13

CITY ATTORNEY
CERRITOS REGIONAL 325.00

CHAMBER OF
1059156 04/29/26 Printed 1635 2026 ANNUAL MEMBERHIP

INVESTMENT
1059157 04/29/26 Printed 1860M COAST PARTY RENTALS INC 03.20.26 JR SAFETY FAIR - 3,795.79

EQUIPMENT RENTAL
1059158 04/29/26 Printed 2307N DATA TICKET INC. MAR 2026 COLLECTION AGENCY SVC 200.00 - CODE ENFORCEMENT
1059159 04/29/26 Printed 3219D VANESSA GARCIA 04.09 - 04.18.26 ZUMBA INSTRUCTOR 120.00 HUMAN SERVICES 4,501.75

ASSOCIATION
1059160 04/29/26 Printed 3813F MAR 2026 SENIOR MEALS SERVED 1059161 04/29/26 Printed 5061 MOLI-MEX INC PARADE GRAND MARSHAL PLAQUES 1,563.78 (2)
1059162 04/29/26 Printed 5150Q MRI SOFTWARE LLC JUL 2026 - JUN 2027 HAPPY 14,718.51

SUBSCRIPTION RENEWAL
1059163 04/29/26 Printed 5344NM KRISTINA NIKOLS 04.18.26 PARADE EVENT - TV SHOW 450.00 HOST
GREGORIO J RUIZ DE 1,200.00
CHAVEZ
1059164 04/29/26 Printed 6303 APR 2026 VIDEO PROD - PARADE JIB

CRANE/CARNIVAL DRONE SHOTS
1059165 04/29/26 Printed 6391 NADIM SALLMAN 04.17 - 04.19.23 VIDEO PROD - 2,000.00

CARNIVAL & PARADE EVENT
SHERWIN-WILLIAMS 209.87

COMPANY
1059166 04/29/26 Printed 6615 PAINT SUPPLIES - CENTER ISLAND

MEDIANS/STONES
1059167 04/29/26 Printed 7296 TYLER TECHNOLOGIES INC CAPITAL ASSETS ANNUAL MAINT MAY 611.03 - DEC 2026
VERIZON WIRELESS 576.02

SERVICES, LLC
1059168 04/29/26 Printed 7547 MAR - APR 2026 WIRELESS PHONE

CHARGES
Total EFTs: 61 EFTs Total (excluding void checks): 543,020.56 Total Payments: 61 Bank Total (excluding void checks): 543,020.56 Total Payments: 61 Grand Total (excluding void checks): 543,020.56 City of Hawaiian Gardens
Check Register Report
Check
Date
Check
Number
Status Amount
ONL PMTS 04/11/26 TO 05/01/26
BANK:

Vendor
Number Vendor Name Check Description
BANK OF THE WEST-ONLINE PYMTS Page: 1
Time: 4:09 pm
Date: 04/29/2026
Void/Stop
Date
Reconcile
Date
BANK OF THE WEST-ONLINE PYMTS Checks
3225 03/25/26 Printed 4607P LOWE'S BUSINESS ACCOUNT 03.17.26 STATEMENT DATE 1,060.61 3226 03/10/26 Printed 0821M BMO BANK N.A. M/C 0814 02.28.26 PWA 26,085.96 3227 04/07/26 Printed 7174TC CHARTER COMMUNICATIONS APR 2026 SVCS CABLE TV, INTERNET, 1,276.22

PHONE & STREAMING
3228 04/07/26 Printed 7174TD CHARTER COMMUNICATIONS APR 2026 SVCS CABLE TV & 2,850.72

INTERNET
3229 04/09/26 Printed 1458L CAL PERS RETIREMENT APR 2026 HEALTH PREMIUM 83,698.06

COVERAGE
3230 04/13/26 Printed 1458L CAL PERS RETIREMENT JUN 2026 RETIREES HEALTH 9,171.52

PREMIUM COVERAGE
GOLDEN STATE WATER 250.07

COMPANY
3231 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 140.22

COMPANY
3232 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 146.81

COMPANY
3233 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 174.57

COMPANY
3234 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 482.09

COMPANY
3235 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 374.13

COMPANY
3236 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 516.43

COMPANY
3237 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 275.57

COMPANY
3238 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 456.50

COMPANY
3239 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 1,380.73

COMPANY
3240 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 140.22

COMPANY
3241 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 573.79

COMPANY
3242 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 160.83

COMPANY
3243 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 140.22

COMPANY
3244 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 463.37

COMPANY
3245 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 297.95

COMPANY
3246 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 649.31

COMPANY
3247 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 318.73

COMPANY
3248 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 160.56

COMPANY
3249 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 1,023.51

COMPANY
3250 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 160.64

COMPANY
3251 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
GOLDEN STATE WATER 57.55

COMPANY
3252 04/08/26 Printed 3342G 03.04 - 04.03.26 SER PER 21631

BLOOMFIELD IRR
3253 04/13/26 Printed 1795 CITY OF LONG BEACH 03.08 - 04.06.26 SER PER 1,996.92 3254 04/14/26 Printed 2331KA DE LAGE LANDEN FINANCIAL APR 2026 COPIER SVCS ACCT 2,284.11 #5489323
MIDAMERICA 34,783.29

ADMINISTRATIVE &
3255 04/15/26 Printed 4959A MAY 2026 HRA
Total Checks: 31 Checks Total (excluding void checks): 171,551.21 Total Payments: 31 Bank Total (excluding void checks): 171,551.21 Total Payments: 31 Grand Total (excluding void checks): 171,551.21

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B4
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Steve Gomez, Director of Public Safety & Community Relations RECOMMENDATION:

Recommendation to receive and file a report on coyote sightings, safety suggestions and resources.

SUMMARY
As our communities grow, encounters with coyotes are becoming increasingly common.

In the past, coyotes would typically be found only in more mountainous or rural areas of the region, but their ability to adapt to new environments and the plentiful food found in urban and suburban Southern California has led to coyote sightings across the region, including Hawaiian Gardens.

Coyotes are a valuable member of local ecosystems, helping to control rodent populations. While coyotes naturally are afraid of humans, they can quickly become used to us, leading them to stay in our communities more often. Easy sources of food and water make it easier for them to live in cities like Hawaiian Gardens, and this can lead to problems in our community.

If coyotes become comfortable in urban areas, their behavior changes. Coyotes may harass or harm pets and livestock and may cause property damage. While attacks on humans are rare, especially adapted coyotes may pose risks to small children. For these reasons, it is important for residents to be vigilant, and to take steps to deter coyotes and keep them from staying in the community.

Agenda Item #B4
May 13, 2026

Page 2 ends

Some ways to help deter coyotes from our community:
o Never feed coyotes or provide them with water.
o Do not leave out food or water dishes for dogs, cats, or other animals, as this may attract coyotes.
o Keep trash inside or out of sight as much as possible, and for containers kept outdoors, put lids on tightly.
o Clean areas around bird feeders and pick up fallen fruit from fruit trees, as these will attract both coyotes and their prey.
o Trim around bushes and shrubs and use traps and pesticides to keep rodents away.
o As much as possible, keep pets, especially small animals, inside. o Consider adding motion-sensing light outside your home. o Always walk dogs on a leash, and walk dogs when other people are present, especially at night.
o Never leave small children unattended outside, especially between dusk and dawn when coyotes are most active.

If you encounter a coyote, do not turn your back or ignore the coyote. Remain vigilant and use techniques like these to scare the coyote away. These methods will also help teach coyotes that they are not welcome in the community:
o Make loud noises to scare the coyote. Stomp your feet and wave your arms, and if you can safely do so, throw small rocks or other objects at the coyote to let it know it is not welcome.
o If you encounter a coyote while walking your dog, take control of your dog by picking it up and keep your eyes on the coyote. Use hazing tactics as much as possible.
o If a person is attacked, notify the California Department of Fish and Wildlife, the state agency that regulates wildlife in California. Notify the Sheriff’s Department if necessary, and if serious injuries are sustained, call 911 immediately.

While the City has no role in handling, regulating, or removing coyotes or any other animals, the city is tracking coyote sightings and encounters and asks residents to report any coyote sighting, encounter, or incident to the city. Tracking this information will enable the city to better direct resources from outside agencies and to better educate and serve the community. Sightings and incidents should also be reported to the State Department of Fish and Wildlife at apps.wildlife.ca.gov/wir, or by phone Agenda Item #B4
May 13, 2026

Page 3 ends

at 858-467-4201. Problem animals and incidents should also be reported to Los Angeles County Animal Care and Control at 562-940-6898.

Below are additional resources:
o California Department of Fish and Wildlife: DFW is responsible for managing wildlife regulations in California. Additional information about dealing with coyotes is available at www.wildlife.ca.gov/keep-me-wild/coyote. Report sightings of coyotes or other wildlife to DFW at apps.wildlife.ca.gov/wir. o Los Angeles County: The Los Angeles County Departments of Animal Care & Control and Agricultural Commissioner/Weights & Measures offer advice on dealing with coyotes in your neighborhood. View their resources at animalcare.lacounty.gov/living-with-wildanimals and acwm.lacounty.gov/animal-and-plant-pests-resources. o US Humane Society: The Humane Society offers more detailed information about hazing techniques and managing coyotes. View their information here: www.humanesociety.org/resources/coyotes-people-encounters.

FISCAL IMPACT
None at this time.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENTS
None.

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B5
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Neema Ghanbari, M.S., P.E., Public Works Director
RECOMMENDATION:

RECOMMENDATION TO RECEIVE AND FILE THE PUBLIC WORKS DEPARTMENT PERMITS REPORT FOR THE MONTH OF APRIL 2026

SUMMARY
The Engineering Division, as part of the Public Works Department, is responsible for the implementation of the policies and objectives of the community as set forth in the City of Hawaiian Gardens’ General Plan, Municipal Code, and oversees the project management for the construction of the City’s capital improvements, infrastructure, and public facilities.

The Engineering Division reviews applications and issues construction and encroachment permits for any work that is done in the public right-of-way, such as the streets and alleys, and if the public rights-of-way are used for equipment parking/staging and to conduct any construction, repair, or maintenance of any property or utilities within or adjacent. Work on or use of the public right-of-ways may include: underground and above-ground utilities repair/replacement by utility companies and their contractors, driveway construction, temporary use for staging of equipment and vehicles, and contractors working on behalf of the City for public improvements. The permits and final inspections will ensure that any work is conducted in accordance with City Engineering specifications and appropriate standards and that any traffic control and safety measures are properly in place and followed.

The attached chart is a summary of all permits issued during the month of April 2026.

Agenda Item #B5
May 13, 2026

Page 2 ends

FISCAL IMPACT
None.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENT
A. Monthly Public Works Permits Report List for April 2026

ATTACHMENT A
No. Permit Date Contractor For Location Type Amount
1 1567 04/02/26 Golden State Water Co. 21600 Norwalk Blvd - Alleyway Emergency Repair Leak $ 1,062.00 2 1568 04/13/26 Ran Enterprises Inc. City 22325 Norwalk Blvd (Teen Center) Removal and Replacement of (2) HVAC Units $ - 3 1569 04/13/26 Alcoa Traffic Control SCE 22028 Pioneer Blvd Removal and Replacement of SCE Pole #2103885E $ 1,062.00 4 1570 04/13/26 Elecnor Belco Electric, Inc. City Norwalk Blvd, Tilbury to 215th St. Installation of Pedestrian Hybrid Signal (Hawk) System $ - 5 1571 04/16/26 Frey Environmental Carson St./Pioneer Blvd. Installation of Traffic Signal Loops $ 4,200.00 6 1572 04/21/26 Willdan Engineering City Various Locations Infiltration Testing for Stormwater Projects $ - 7 1573 04/27/26 Alcoa Traffic Control SCE 12352 223rd St. Removal and Replacement of SCE Pole #1797890E $ 1,686.00 7 Total for Month: $ 8,010.00
32 Total for Fiscal Year: $ 104,069.00
`
Total Permits for Fiscal Year:

City of Hawaiian Gardens - Public Works Department
Monthly Report - Public Works Permits Issued
April 2026
Total Permits for Month:

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B6
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Linda Hollinsworth, Finance Director
RECOMMENDATION:

RECOMMENDATION TO ADOPT RESOLUTION NO. 006-2026 OF THE CITY

COUNCIL OF THE CITY OF HAWAIIAN GARDENS, APPROVING THE PRELIMINARY

ENGINEER'S REPORT FOR CONSOLIDATED LANDSCAPING AND LIGHTING ASSESSMENT DISTRICT NO. HG-LLA1 AND DECLARING THE INTENT TO LEVY AND COLLECT AN ASSESSMENT FOR FISCAL YEAR 2026-2027, AND SETTING A

PUBLIC HEARING ON THE PROPOSED LEVY AT THE REGULAR CITY COUNCIL MEETING ON WEDNESDAY JUNE 24, 2026 IN ACCORDANCE WITH THE LANDSCAPING AND LIGHTING ACT OF 1972

SUMMARY
The Consolidated Landscaping and Lighting Assessment District No. HGLLA1 was transferred from Los Angeles County to the City of Hawaiian Gardens (“City”) on July 1, 1995. In accordance with the Landscaping and Lighting Act of 1972, an annual Engineer’s Report has been prepared, and is submitted to City Council for review and preliminary approval. This item requests that the City Council adopt Resolution No. 006-2026, approving the annual preliminary Engineer’s Report, declaring the intention to levy and collect the assessments as specified in the Engineer’s Report and setting the date for a public hearing for the regular City Council meeting of June 24, 2026.

The City funds the utilities for the maintenance of lighting and landscaping through an assessment on all properties in the City-wide Assessment District. The Lighting and Landscaping Assessment District (LLAD) has been in existence for many years and was administered by Los Angeles County prior to the City’s assumption of responsibility in 1995.

Agenda Item #B6
May 13, 2026

Page 2 ends

Each year the City Council must set the assessment and submit the tax roll to the County Tax Collector prior to August 10th of each year. The attached preliminary Engineer's Report presents the basis for setting the assessment, the amount of the proposed assessment for each property, and a summary of the services to be supported by the assessment. The Engineer’s Report proposes to maintain the previous year’s assessment without increase. As such, under Proposition 218 the City is allowed to impose this assessment without a vote of the public to confirm the assessment.

The Landscaping and Lighting Act of 1972, codified in Streets and Highways Code, provides the procedures that need to be followed in the annual levy of assessments. Upon completion of the Engineer’s Report, the City Council is required to approve the report, either as presented, or as modified by the City Council. Upon approval of the report, the City Council then is required to adopt a resolution of intent to levy and collect assessments and set a public hearing on the matter.

FISCAL IMPACT
The revenue from the assessment will be $110,085, with expenses estimated to be $479,000. The deficit between the total expenses and revenue from the assessment will be subsidized by the General Fund or the Gas Tax. In order to decrease the deficit between revenue and expenses, the City can go out to ballot the District to attempt to increase the assessment rate. A possible increase to the Maximum Assessment Rate in place can be done through Majority Protest Ballot Proceedings, which is a requirement of Proposition 218. The Majority Protest proceedings will pass if there is a weighted 50% of returned ballots by property owners in favor of the maximum increase. If the ballot proceeding fails the current maximum assessment rate will stay in place.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENTS
A. Preliminary Engineer’s Levy Report for FY 2026-2027 (Exhibit A) B. Resolution No. 006-2026
F
c

City of Hawaiian Gardens

Consolidated Landscaping and Lighting
Assessment District No. HG-LLA1

2026/2027
ENGINEER’S ANNUAL LEVY REPORT

Intent Meeting: May 13, 2026
Public Hearing: June 24, 2026
27368 Via Industria, Suite 200
Temecula, California 92590
T. 951.587.3500 800.755.6864
F. 951.587.3510 888.326.6864
www.willdan.com
Attachment A

ENGINEER'S REPORT AFFIDAVIT
Establishment of Annual Assessments for the:

Consolidated Landscaping and Lighting
Assessment District No. HG-LLA1
City of Hawaiian Gardens
Los Angeles County, State of California
This Report describes the District and services therein including the improvements, budgets, parcels and assessments to be levied for Fiscal Year 2026/2027, as they existed at the time of the passage of the Resolution of Intention. Reference is hereby made to the Los Angeles County Assessor’s maps for a detailed description of the lines and dimensions of parcels within the District. The undersigned respectfully submits the enclosed Report as directed by the City Council.

Dated this ____________ day of ______________, 2026.

Willdan Financial Services
Assessment Engineer
On Behalf of the City of Hawaiian Gardens
By: ________________________________
Chonney Gano, Project Manager
District Administration Services
By: ________________________________
Tyrone Peter
PE # C 81888

TABLE OF CONTENTS
I. INTRODUCTION .................................................................................................. 1 A. BACKGROUND ...................................................................................................... 2 II. BOUNDARIES OF DISTRICT .............................................................................. 2 III. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT ......................................... 3 IV. IMPROVEMENTS ................................................................................................ 4 V. FINANCIAL ANALYSIS ....................................................................................... 5 VI. METHOD OF APPORTIONMENT ........................................................................ 6 A. INTRODUCTION ..................................................................................................... 6 B. STREET LIGHTING ................................................................................................ 7 C. TRAFFIC SIGNALS ...............................................................................................12 D. STREET RIGHT-OF-WAY LANDSCAPING ...........................................................12 E. GRAFFITI REMOVAL WITHIN STREET RIGHT-OF-WAY .....................................14 F. INCIDENTAL COSTS ............................................................................................14 VII. ASSESSMENT FORMULA ................................................................................ 15 VIII. LIMITATION ON INCREASE OF ANNUAL ASSESSMENTS ........................... 17 IX. ASSESSMENT ROLL ........................................................................................ 18 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 1
I. INTRODUCTION
This Annual Engineer’s Report (“Report”) is prepared pursuant to the City of Hawaiian Gardens (“City”) Council action taken at their regular meeting ordering a report for the levy of assessments for the Fiscal Year commencing July 1, 2026, and ending June 30, 2027 (Fiscal Year 2026/2027).

This report is prepared in recognition of the requirements of Article XIIID of the California Constitution (“Article XIIID”), and the Landscaping and Lighting Act of 1972 (“1972 Act”), being Part 2 of Division 15 of the California Streets and Highways Code.

This Assessment District, by special benefit assessments, will provide funding for street improvements within the City of Hawaiian Gardens public right-of-way. The items funded by the District are exempt from the procedural and approval requirements set forth in Section 5(a) of Article XIIID that states:
...assessments existing on the effective date of this Article shall be exempt from the procedures and approval process set forth in Section 4 [if they were] imposed exclusively to finance the capital costs or maintenance and operation expenses for sidewalks, streets, sewers, water, flood control, drainage systems or vector control.

As discussed herein, the improvements funded by the Assessment District for Fiscal Year 2026/2027 are pre-existing and the assessments are used to fund the maintenance and operation expenses for street improvements. Furthermore, the assessment rates for the District have not increased since prior to July 1, 1997. Therefore, the District assessments are exempt from the procedural requirements of Article XIIID provided the assessments are not increased above the rates and method established prior to July 1, 1997.

This Report presents the engineering analysis for the 2026/2027 Fiscal Year for the Assessment District known as the Consolidated Landscaping and Lighting Assessment District No. HG-LLA1 ("District").

This District, by special benefit assessments, provides funding, on a Citywide basis, for the installation, operation, maintenance and servicing of street lights and traffic signals (including the maintenance of appurtenant horizontal and vertical surfaces); the installation, maintenance and servicing of landscaped areas (parkways, medians, etc.) and the removal or covering of graffiti; all of which are located in the public street right-of-way, which is further defined as one or any combination of the following:

1. Any public street, highway, road, alley, lane, boulevard, parkway, or other way dedicated to or used for public use.

2. Any public property, right-of-way, or leasehold interest which is in use in the performance of a public function, and which adjoins any of the ways described in Item 1 above.

Section 22573 of the 1972 Act, requires assessments to be levied according to benefit rather than according to assessed value. The section states:
"The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements.
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 2
The determination of whether or not a lot or parcel will benefit from the improvements shall be made pursuant to the Improvement Act of 1911 (Division 7 commencing with Section 5000) [of the Streets and Highways Code, State of California]."
The 1972 Act also provides for the classification of various areas within an assessment district into different zones where,
"by reason of variations in the nature, location and extent of the improvements, the various areas will receive differing degrees of benefit from the improvements. A zone shall consist of all territory which will receive substantially the same degree of benefit from the improvements." A. BACKGROUND
The District was originally formed by the Los Angeles County (“County”) Board of Supervisors as County Lighting Maintenance District Number CLMD 10034, which assessed an ad valorem charge exclusively used for street lighting. In response to Proposition 13, on July 24, 1979, the County formed the County Lighting District LLA-1 throughout the County, including a Zone for the City using the Streets and Highways Code provisions for Landscaping and Lighting district benefit assessments. County Lighting District LLA-1 was consolidated with the ad valorem County Lighting Maintenance District Number CLMD 10034 to provide full funding for street lighting maintenance by joint resolution of the Hawaiian Gardens City Council and Los Angeles County Board of Supervisors.

The ad valorem tax revenue contribution represents the amount of general fund monies the City anticipates it will contribute toward the District’s expenses for Fiscal Year 2026/2027. This contribution is adjusted annually based on Ad Valorem tax revenues necessary to fund that portion of the District improvements not funded by the District assessments.

In an effort to gain control of the responsibility for the operation and maintenance of the street lighting system and its funding, the City Council of the City of Hawaiian Gardens initiated proceedings to transfer the authority of the Consolidated District LLA-1 and CLMD 10034 from County to City control. Jurisdiction was transferred by joint resolution of the City and the County as of July 1, 1995. At the same time, the districts were re-designated as the Consolidated Landscaping and Lighting Assessment District No. HG-LLA1. The new Consolidated District No.

HG-LLA1 was expanded to include the funding of other improvements authorized under the 1972 Act. Prior to the transfer, the County of Los Angeles administered each year's levy and collection.

Since July 1, 1995, the City has administered the annual levy and collection.

On March 12, 1996, the City Council, as the property owner of property located at 21815 Pioneer Boulevard (Los Angeles County Assessor's Parcels Number 7075-001-914, 915 and 916), requested said property be annexed into the District, and further declared their written consent and waiver of annexation hearings, notices and protest proceedings for the annexation, as allowed in Streets and Highways Code Section 22608.

II. BOUNDARIES OF DISTRICT
The boundary of the District is within the City limits of the City of Hawaiian Gardens and is shown on the Assessment Diagram that is on file at City Hall with the City Clerk of the City of Hawaiian Gardens and by reference is made part of this report (On file in the office of the City Clerk at the City Hall of Hawaiian Gardens as Exhibit "A"). The lots and parcels within the District are more particularly described on the Los Angeles County Assessor’s Parcel Maps prepared in accordance with Section 327 of the California Revenue and Taxation Code and are on file in the 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 3
Office of the Los Angeles County Assessor. Said Assessor's maps shall define the details concerning the lines and dimensions of such lots or parcels.

III. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT
As applicable or may be applicable to this proposed District, the 1972 Act defines improvements to mean one or any combination of the following:
 The installation or planting of landscaping.
 The installation or construction of statuary, fountains, and other ornamental structures and facilities.
 The installation or construction of public lighting facilities.  The installation or construction of any facilities which are appurtenant to any of the foregoing, or which are necessary or convenient for the maintenance or servicing thereof, including, but not limited to, grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities.
 The maintenance or servicing, or both, of any of the foregoing.  The acquisition of any existing improvement otherwise authorized pursuant to this section.

Incidental expenses associated with the improvements including, but not limited to:
 The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment;
 The costs of printing, advertising, and the publishing, posting and mailing of notices;  Compensation payable to the County for collection of assessments;  Compensation of any engineer or attorney employed to render services;  Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements;
 Any expenses incidental to the issuance of bonds or notes pursuant to Section 22662.5.
 Costs associated with any elections held for the approval of a new or increased assessment.

The 1972 Act defines "Maintain" or "maintenance" to mean furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including:
 Repair, removal, or replacement of all or any part of any improvement.  Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury.  The removal of trimmings, rubbish, debris, and other solid waste.  The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti.
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 4
IV. IMPROVEMENTS
This District, by special benefit assessments, provides funding, for the installation, operation, maintenance, and servicing of streetlights and traffic signals (including the maintenance of appurtenant horizontal and vertical surfaces); the installation, maintenance and servicing of public landscaped areas (parkways, medians, etc.) and the removal or covering of graffiti; all of which are located in public street right-of-way.

Within this assessment district, "improvement" means but is not limited to, one or any combination of the following:

1. The installation or planting of landscaping.

2. The installation or construction of statuary, fountains, and other ornamental structures and facilities.

3. The installation or construction of public lighting facilities, including, but not limited to traffic signals.
"Public lighting facilities" means all works or improvements used or useful for the lighting of any public places, including ornamental standards, luminaries, poles, supports, tunnels, manholes, vaults, conduits, pipes, wires, conductors, guys, stubs, platforms, braces, transformers, insulators, contacts, switches, capacitors, meters, communication circuits, appliances, attachments, and appurtenances.

4. The installation or construction of any facilities which are appurtenant to any of the foregoing or which are necessary or convenient for the maintenance or servicing thereof, including, but not limited to, grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities.

5. The maintenance or servicing, or both, of any of the foregoing. "Maintenance" means the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including:

1. Repair, removal, or replacement of all or any part of any improvement.

2. Providing for the life, growth, health, and beauty of landscaping including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury.

3. The removal of trimmings, rubbish, debris, and other solid waste.

4. The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti.
"Servicing" means the furnishing of:

1. Electric current or energy, gas, or other illuminating agent for any public lighting facilities or for the lighting or operation of any other improvement.

2. Water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvement.

A map showing the location of the street lights within the District is on file at City Hall with the City Clerk of the City of Hawaiian Gardens and by reference is made part of this report.

A map showing the location of landscaping sub-zones within the District is on file at City Hall with the City Clerk of the City of Hawaiian Gardens and by reference is made part of this Report. 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 5
V. FINANCIAL ANALYSIS

STREET LANDSCAPING AND LIGHTING
Fiscal Year
2026/2027
Preliminary Budget

ESTIMATED DIRECT COSTS AND EXPENSES
Equipment Maintenance $5,000
Parkway and Median Landscaping 80,000
Equipment Purchases 0
Utilities: Water 30,000
Utilities: Phone 0
Street Lights, Signs, and Traffic Signals 225,000
Capital Improvement Expenditures 0
County Administration Fees 2,000
Personnel Costs: (Salaries and benefits) 129,000
Legal and Engineering Professional Services 8,000
Fiscal Year 2026/2027 Expenses $479,000

Estimated Ad Valorem Revenue $132,000
Estimated Interest Earnings 0
Excess Tax Increment Fund 160,000
Reserve Fund Balance Contribution 76,803
General Fund Contribution 0
Balance to Levy 2026/2027 110,085
Fiscal Year 2026/2027 Revenues and Adjustments $479,000

Beginning Projected Fund Balance July 1, 2026 $76,803
Fund Balance Adjustment (76,803)
General Fund Capital Improvement Project Reimbursement 0 Ending Projected Fund Balance June 30, 2027 $0

DISTRICT STATISTICS
Total Parcels 2,529
Total Parcels Levied 2,401
FY 2026/2027 Applied Rate per Benefit Unit (Lighting) $5.97 FY 2026/2027 Applied Rate per Benefit Unit (Landscaping) Fiscal Year 2026/2027 Anticipated Levy Amount $110,197.17 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 6
VI. METHOD OF APPORTIONMENT
A. INTRODUCTION
In November 1996 voters of the State of California passed Proposition 218, which added Articles XIIIC and XIIID to the California Constitution requiring new procedures for assessments.

Specifically, as it relates to this District, Article XIIID requires that assessments comply with stated provisions by July 1, 1997, unless an assessment district meets certain exemptions. The exemptions from the procedural and approval requirements are set forth in Section 5 of the Article and include the following:
"(a) any assessment imposed exclusively to finance the capital costs or maintenance and operation expenses for sidewalks, streets, sewers, water, flood control, drainage systems or vector control.”
The District assessments qualify for the exemption as the improvements financed by the assessments are considered exempt under provision (a) quoted above, specifically, "street" improvements.

Street Improvement is defined based on the definitions provided by the Office of the Controller for the State of California in the Guidelines Relating to Gas Tax Expenditures published by the Division of Local Government Fiscal Affairs. The state’s gas tax program is administered in city agencies, but audited by the Office of the State Controller. The proceeds of the gas tax are statutorily limited to expenditures for streets and roads. Because the funds are restricted to street and road costs, the State Controller has developed “Street Purpose Definitions and Guidelines” based on the Manual of Uniform Highway Accounting and Financial Management Procedures developed by the American Association of State Highway Officials. Street improvement is defined as the construction, operation, or maintenance of facilities within the right of way used for street or road purposes including but not limited to the following:
 Installation or expansion of the street lighting system including replacement of old equipment with superior equipment, installation of traffic signals at intersections and railroad crossings, replacement of equipment as required for relocations for street purposes, and purchase and installation of traffic signal control equipment.  Installation or expansion of fences; raised medians or barriers for traffic safety; installation or addition to landscape treatment such as sod, shrubs, trees, irrigation, etc.; installation or extension of curb, gutter, or sidewalks; and replacement of retaining walls to a higher standard.
 Servicing lighting systems and street or road traffic control devices including, repainting and repairing traffic signals and lighting standards; and furnishing of power for street and road lighting and traffic control devices.
 Mowing, tree trimming and watering within the street right of way; replacing top soil, sod, shrubs, trees, irrigation facilities, etc. on the street and roadside; reseeding, re-sodding, and repairing of shoulders and approaches; reshaping or restoration of drainage channels and side slopes; cleaning or repairing of culverts and drains, or curb and gutter. 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 7
The 1972 Act indicates that assessments may be apportioned by any formula or method, which fairly distributes costs among all lots or parcels within the district in proportion to the estimated benefits received.

B. STREET LIGHTING
The primary benefits of street lighting are for the convenience, safety and protection of people and, to a lesser extent, the security or protection of property, property improvements and goods.

The intensity or degree of illumination provided can have a bearing on both.

People Related Benefits (People Use)

1. Reduction in night accidents and attendant human misery and decrease in personal and property loss.

2. Less vulnerability to criminal assault at night.

3. Promotion of business during nighttime hours.

4. Increased facility of use of roads and highways.

5. Inspiration for community spirit and growth.

Security or Property Protection (Security Benefit)

1. Reduction in vandalism and other criminal acts, and damage to improvements.

2. Reduction in burglaries.

Intensity
Intensity or degree of illumination, provided on streets in the District varies with the type of street and the use of the property adjacent thereto. The following table from the Illuminating Engineering Society Handbook was used as a guide for the installation of the majority of the District lighting systems. The cost of providing the highest recommended degree of illumination (used in commercial areas) is about four times the cost of providing the intensity recommended for the lowest category that includes residential properties.

RECOMMENDATION FOR AVERAGE HORIZONTAL FOOTCANDLE ROADWAYS (OTHER THAN EXPRESSWAYS OR FREEWAYS)

AREA CLASSIFICATIONS
Roadway
Classification Downtown Intermediate Outlying & Rural
Major 2.0 1.2 0.9
Collector 1.2 0.9 0.6
Local or Minor 0.9 0.6 0.2
Based on land use information provided by the Los Angeles County Assessor, it has been determined that the primary land use in the City of Hawaiian Gardens is single family residential.

In view of this and the benefits derived by the family unit, both at and in the proximity of their property, a value of one has been assigned to the basic family unit, i.e., the single-family home 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 8
or condominium. The District includes some properties that may not actually have streetlights on their block but which do receive a neighborhood benefit from the lights in the area. Based on engineering evaluation of the factors involved and a strong indication that lighting benefits are largely people related, a value of ½ unit was given to "People Use" while "Intensity" and "Security Benefit" were each rated at ¼ of a unit to form the basic unit. Parcels in other land use categories were then rated by comparison with the basic unit.

In the remainder of the residential category, which is comprised of multiple rental type properties, the value for Intensity would remain at ¼ of a unit, but the other two items would increase in proportion to the number of family dwelling units on the parcel. For example, a duplex was assigned ¼ of a unit for Intensity, 1 unit for People Use, and ½ of a unit for Security Benefit for a total of 1¾ units. The owner of such property would therefore pay 1¾ times as much for lighting as the owner of a single-family residence. In consideration of the distance some units would be from the lighted roadway, Security Benefits in the residential category would not be increased beyond a value of 1 unit. Thus a 5-unit apartment would be assigned ¼ of a unit for Intensity, 2½ units for People Use, and 1 unit for Security Benefits or a total of 3¾ units. As the number of apartments on a parcel increases, the service charge units assigned for people would follow a declining scale as follows:
21 through 50 Apartments
Units for 20 apartments plus ⅓ of a unit for each apartment over 20 (20 apartments = ¼ for Intensity, 10 for People and 1 for Security = 11¼ units).

Example: 50 apartments; (50 - 20)  3 = 10; 11¼ + 10 = 21¼ units. 51 through 100 Apartments
Units for 50 apartments plus ¼ of a unit for each apartment over 50 Example: 100 apartments; (100 - 50)  4 = 12½; 21¼ + 12½ = 33¾ units.

Over 100 Apartments
Units for 100 apartments plus 1/5 of a unit for each apartment over 100 Example: 200 apartments; (200 - 100)  5 = 20; 33¾ + 20 = 53¾.

The remaining 7 percent of the lots or parcels (County-wide as of 1979) were separated into 48 land use categories as determined by the County Assessor and units were assigned on the basis of average benefits received as follows:

Group A
One Unit — Minimum charge for improved property

1. Irrigated Farms

2. Dry Farms

3. Cemeteries

4. Dump Sites
Group B
Moderate Intensity Lighting ½
Nominal People Use 1
Moderate Security Benefit ½
2 Units

1. Animal Kennels
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 9

2. Nurseries and Greenhouses

3. Parking Lots (Industrial)

4. Churches

5. Schools (Private)

6. Petroleum and Gas

7. Utility
Group C
High Intensity Lighting 1
Nominal People Use 1
Moderate Security Benefit ½
2½ Units

1. Parking Lot (Commercial)
Group D
High Intensity Lighting 1
Nominal People Use 1
High Security Benefit 1
3 Units

1. Commercial - Miscellaneous

2. Office Buildings

3. Professional Buildings

4. Banks, Savings & Loans

5. Service Shops

6. Lumber Yards

7. Golf Courses

8. Race Tracks/Stables

9. Camps

10. Homes for Aged
Group E
High Intensity Lighting 1
Moderate People Use 2
High Security Benefit 1
4 Units

1. Stores

2. Store w/office or residence

3. Service Stations

4. Clubs and Lodge Halls
Group F
Nominal Intensity ¼
High People Use 3
High Security Benefit 1
4¼ Units

1. Rooming House
(Same as 6-unit apartment)
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 10
Group G
High Intensity Lighting 1
High People Use 3
High Security Benefit 1
5 Units

1. Restaurant

2. Theater
Group H
Moderate Intensity Lighting ½
Nominal People Use 1
High Security Benefit 1
2½ Units
Doubled due to average size of business 5 Units

1. Light Manufacturing

2. Food Processing Plant

3. Warehousing
Group I
High Intensity Lighting 1
Nominal People Use 1
High Security Benefit 1
3 Units
Doubled due to average size of business 6 Units
(Auto, Recreational Equipment Sales-Service)
Group J
High Intensity Lighting 1
Moderate People Use 2
High Security Benefit 1
4 Units
Doubled due to average size of business 8 Units

1. Markets

2. Bowling Alleys

3. Skating Rinks

4. Department Stores

5. Hotels and Motels

6. Mobile Home Parks

7. Casinos

2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 11
Group K
It was determined that properties within the 11 land use categories in this group (which represent less than 1/3 of one percent of the total lots or parcels within the districts, county-wide as of 1979) varied widely from the norm and therefore these lots or parcels were considered on an individual basis. Each of the parcels or lots in these land use categories was identified on the official lighting district maps and each streetlight or portion thereof in the immediate proximity of the lots or parcels benefiting the lots or parcels was assigned a number of units as indicated below. The total number of units so determined for that category would be distributed among the lots or parcels in that category in proportion to the lot or parcel area as shown below. A minimum of 3 units would be assessed to each lot or parcel to be compatible with Group D that contains many of the smaller business categories. Several huge lots or parcels in outlying areas within the existing lighting districts have no lights in the immediate proximity and therefore those lots or parcels would be assessed the minimum.

K-1
Moderate Intensity Lighting 1¼
Moderate People Use 3
Moderate Security Benefit 1
5¼ Units per Light

1. Open Storage 0.014973 Units per 100 sq. feet

2. Mineral Processing 0.005615 Units per 100 sq. feet
K-2
Moderate Intensity Lighting 1¼
High People Use 4
Moderate Security Benefit 1
6¼ Units per Light

1. Colleges, Universities (Private) 0.001736 Units per 100 sq. feet

2. Wholesale and Manufacturing Outlets 0.059858 Units per 100 sq. feet

3. Athletic and Amusement Facilities 0.027431 Units per 100 sq. feet

4. Heavy Manufacturing 0.006382 Units per 100 sq. feet

5. Hospitals 0.012886 Units per 100 sq. feet
K-3
High Intensity Lighting 1½
High People Use 4
Moderate Security Benefit 1
6½ Units per Light

1. Motion Picture, Radio, T.V. 0.010938 Units per 100 sq. feet

2. Neighborhood Shopping Centers 0.014449 Units per 100 sq. feet

3. Regional Shopping Centers 0.021812 Units per 100 sq. feet 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 12
Determining the Cost per Lot or Parcel
Using the aforementioned procedures, the sum of the total number of units applicable to all of the lots or parcels in the City would be determined (Total Units). The net amount to be raised by assessment (Net Assessment) is then allocated to each parcel in the District based on their assigned units per parcel. The cost to be assessed per unit (Unit Cost) would be equal to the quotient of the Net Assessment divided by the Total Units. To determine a parcel's assessment, a property owner can multiply the Unit Cost by the number of units assigned to the parcel.

Since the benefits have been related to property use and property users, no charge is assessed to vacant lots within the District.

C. TRAFFIC SIGNALS
The primary benefits of traffic signal maintenance are as follows:

1. Safe, orderly movement of traffic as a result of properly spaced, timed and maintained traffic signals.

2. Reduced downtime caused by malfunctioning traffic signals.

3. Reduction in accidents and attendant human misery and decrease in personal and property loss.

4. Increased facility of use of roads and highways.

Traffic signals have many of the same elements of benefit, as well as similar maintenance and servicing requirements, as streetlights. In general, each traffic signal has relatively high intensity safety lighting at its intersection to facilitate safe driving and pedestrian movements.

Therefore, the method of apportionment for traffic signals is determined to be the same as for streetlights, as discussed above under "Street Lights." D. STREET RIGHT-OF-WAY LANDSCAPING
The primary benefits of street right-of-way landscaping are related to the improved quality of life landscaping provides to a community. The landscaping of right-of-way along streets specially benefits parcels within the District by improving the physical and visual environment and making the District area more desirable. Property desirability is increased when infrastructures including landscaped right-of-way are in place, safe, clean, and wellmaintained. Facilities that are unsafe or destroyed by the elements or vandalism decrease the desirability of surrounding property.

The maintenance of street right-of-way landscaping improvements provides a special benefit to parcels within the District. The desirability of parcels within the District is enhanced by the presence of well-maintained medians and parkways. Having properly maintained landscaping within the District means the owners of the assessed parcels may enjoy the benefits of such improvements available for use while avoiding the expense of privately installing and maintaining similar improvements. Each parcel within the District is located within reasonable proximity to the assessed improvements, and therefore, benefits from the improvements provided.
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 13
The proper maintenance of street landscaping improves the aesthetics of parcels by reducing pollution and noise in surrounding areas through the provision of open space and the planting of otherwise barren areas, and reduces property-related crimes against properties within the District, especially vandalism, through the abatement of graffiti. All of the above contribute to a special benefit to each of the parcels assessed within the District.

The method of apportionment for street landscaping is almost exclusively "people" related with little, if any, benefit for "security," and it has no relationship to "lighting intensity". A review of the method of apportionment described in the "Street Lighting" section of this Report leads to the conclusion that only the "People Use" portion of the formula described therein should be used for apportionment of assessments for public landscaping, while discarding the "Security" and "Lighting Intensity" portions of the formula. The street landscaping formula will assign an assessment unit of ½ unit to a single-family residence, similar to the ½ unit People Use unit assigned in the Street Lighting formula. Three examples of the revision of the "Street Lighting" formula for assessing landscape maintenance are presented below.

Example 1
A 100-unit Apartment Complex
From the apartment formula in the "Street Lighting" section of this Report, the revised formula for assessing for public landscape maintenance would be calculated in steps utilizing ½ unit per apartment unit up through 20 apartment units.
1 through 20 Apartments (20 - 0) x ½ = 10
21 through 50 Apartments (50 - 20) x ⅓ = 10
51 through 100 Apartments (100 - 50) x ¼ = 12½
32½ Units
Example 2
Group D
From Group D in the "Street Lighting" section of this Report, the number of units for "People Use" is one (1). Therefore, lots or parcels with the land uses in Group D (office buildings, professional buildings, banks, service shops, lumber yards, etc.) shall be assessed one unit for public landscaping.

Example 3
Sub-group K-2: Wholesale and Manufacturing Outlets
From Sub-Group K-2 in the "Street Lighting" section of this Report, the "People Use" is 4 units.

Converting from the total of 6¼ units in Sub-Group K-2 to 4 units for "People Use" only is accomplished by dividing 4 units by 6¼ units to get a conversion factor of 0.64. Therefore, the units to be assessed for public landscaping for a parcel with a wholesale or manufacturing outlet land use are:

0.059858 x 0.64 = 0.038309 Units per 100 sq. feet of parcel area 2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 14
E. GRAFFITI REMOVAL WITHIN STREET RIGHT-OF-WAY
The primary benefits of an active graffiti removal program are as set forth below:

1. Greater property desirability due to a clean, inviting environment for existing residences and businesses.

2. An increase in commercial/industrial activity when new businesses and their employees can be induced to locate in a graffiti-free Area.

3. A reduction in tagging activity when new tagging is immediately removed, thereby frustrating taggers.

4. An increased sense of safety when gang marking and tagging is not allowed to remain visible. Graffiti removal is a "People" intensive benefit, and the method of apportionment is identical to the formula described in the "Street Right-of-Way Landscaping" section of this Report.

F. INCIDENTAL COSTS
Incidental Costs, which are detailed in the "Financial Analysis" section of this Report, are added to each parcel’s assessment as a percentage of each parcel’s assessment for maintenance and servicing costs of improvements compared to the total of such maintenance and servicing costs pursuant to the 1972 Act.
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 15
VII. ASSESSMENT FORMULA
The following tables show the benefit units assigned to each of the County of Los Angeles Assessor's land use codes.

Land Use
Code Land Use
Street Lighting and
Traffic Signals
(units per parcel)
Public Landscaping
and Graffiti Removal
(units per parcel)
XXXV Vacant Properties 0 0
01XX Single-family, Condominiums 1 ½
02XX Duplex, Two Units 1¾ 1
03XX Three Units 2½ 1½
04XX Four Units 3¼ 2
05XX Five Units or Apartments 3¾ 2½
6 to 20 units. add ½ per unit to the 5-unit total
20-unit Apartment 11¼ 10
for 21 to 50 units, add 1/3 per unit to the 20-unit total 50-unit Apartment 21¼ 20
for 51 to 100 units, add ¼ per unit to the 50-unit total 100-unit Apartment 33¾ 32½
for 101 or more units, add 1/5 per unit to the 100-unit total 200-unit Apartment 53¾ 52½
08XX Rooming Houses (same as 6-unit Apartments) 4¼ 3
09XX Mobile Home Parks 8 4
10XX Commercial - Miscellaneous 3 1
11XX
12XX Stores 4 2
13XX Department Stores 8 4
14XX Supermarkets 8 4
17XX Office Buildings 3 1
18XX Hotels and Motels 8 4
19XX Professional Buildings 3 1
21XX Restaurants 5 3
23XX Banks, Savings & Loans 3 1
24XX Service Shops 3 1
25XX Service Stations 4 2
26XX Auto, Recreational Equipment Sales and Service 6 2 27XX Parking Lots (Commercial) 2½ 1
28XX Animal Kennels 2 1
29XX Nurseries and Greenhouses 2 1
31XX Light Manufacturing 5 2
33XX Warehousing 5 2
34XX Food Processing Plants 5 2
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 16
Land Use
Code Land Use
Street Lighting and
Traffic Signals
(units per parcel)
Public Landscaping
and Graffiti Removal
(units per parcel)
38XX Parking Lots (Industrial) 2 1
40XX Irrigated Farms 1 1
50XX Dry Farms 1 1
61XX Theaters 5 3
63XX Bowling Alleys 8 4
64XX Clubs and Lodge Halls 4 2
66XX Golf Courses 3 1
67XX Race Tracks/Stables 3 1
68XX Camps 3 1
69XX Skating Rinks 8 4
71XX Churches 2 1
72XX Private Schools 2 1
75XX Homes for Aged 3 1
77XX Cemeteries 1 1
81XX Utility 2 1
83XX Petroleum and Gas 2 1
88XX Government Owned Properties 0 0
89XX Dump Sites 1 1
The parcel groups beginning with 15XX have a minimum allotment of 3 units per parcel for street lighting and traffic signals, and a minimum allotment of 2 units per parcel for landscaping, parks and graffiti removal.

Group K
Land Use
Code Land Use
Street Lighting and
Traffic Signals
(units per 100 sq. ft.
of lot area)
Public Landscaping
and Graffiti Removal
(units per 100 sq. ft. of
lot area)
15XX Neighborhood Shopping Centers 0.014449 0.008892
16XX Regional Shopping Centers 0.021812 0.013423
22XX Wholesale and Manufacturing Outlets 0.059858 0.038309 32XX Heavy Manufacturing 0.006382 0.004084
35XX Motion Picture, Radio, TV 0.010938 0.006731
37XX Mineral Processing 0.005615 0.003209
39XX Open Storage 0.014973 0.008556
65XX Athletic and Amusement Facilities 0.027431 0.017556 73XX Colleges, Universities (Private) 0.001736 0.001111 74XX Hospitals 0.012886 0.008247
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 17
VIII. LIMITATION ON INCREASE OF ANNUAL ASSESSMENTS
For Fiscal Year 2026/2027, no increase was made to the assessment rates from those applied in Fiscal Year 2025/2026.

The following tables show the assessment rates for the District:

Street Lighting Street Landscaping
FY 2025/2026
Applied Rate
FY 2026/2027
Applied Rate
FY 2025/2026
Applied Rate
FY 2026/2027
Applied Rate
(per Benefit Unit) (per Benefit Unit) (per Benefit Unit) (per Benefit Unit) $5.97 $5.97 $44.02 $44.02
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 18
IX. ASSESSMENT ROLL
The individual 2026/2027 assessments, tabulated by Assessor's parcel number, are shown on Exhibit "D", the Assessment Roll, on file in the Office of the City Clerk of the City of Hawaiian Gardens by reference are made a part of this report. A summary of the amount of assessment to be collected from each land use is shown in the following table. The assessment on each single-family residence for the current Fiscal Year is $27.98.

Use Code Land Use Description
No. of
Assessed
Parcels
Assessment
Amount
0100 Single-family Residences 1,160 $32,457
0101 Single-family Residences (Pool) 26 727
0108 Single-family Residences (Guesthouse) 1 28
0109 Single-family Residences (Other Improvements only) 6 168 010C Condominium 469 13,123
010D Planned Residential Unit Development (PUD) 60 1,679 010E Condo Conversion 41 1,147
010M Modular 1 28
010V Vacant Residential 1 28
01D6 Residential (Single Family) 2 56
0200 Double, Duplex or Two Units 370 20,150
0201 Double, Duplex or Two Units (Pool) 2 109
02A6 Residential (Multiple Family) 1 28
0300 Three Units (Any Combination) 27 2,186
0400 Four Units (Any Combination) 23 2,471
0500 Five or More Apartment Units 37 12,812
0900 Manufactured Home Park 2 448
0901 Manufactured Home Park (Pool) 1 224
1100 Commercial Stores 42 4,713
1200 Stores and Office Combination 6 672
1210 Store and Residential Combination 3 336
1420 Small Food Store Less than 6000 SQ FT 2 224
1500 Neighborhood Shopping Centers 15 3,475
1600 Regional Shopping Centers 1 106
1700 Office Building 1 118
1814 Hotel and Motel 1 224
1903 Professional Building 1 62
1910 Medical/Dental Buildings 3 186
1920 Veterinary Hospitals, Clinics 1 62
2100 Restaurants, Cocktail Lounge, Tavern 7 1,133
2110 Fast Food- Walk up 3 486
2026/2027 City of Hawaiian Gardens – HG-LLA1 Page 19
Use Code Land Use Description
No. of
Assessed
Parcels
Assessment
Amount
2120 Fast Food- Auto Oriented 1 162
2500 Service Stations 2 224
2600 Auto, Recreation/Construction Equipment, Sales &Services 19 2,353 2610 Used Car Sales 1 124
2620 New Car Sales and Service 1 124
2630 Car Wash 1 124
2640 Car Wash - self-service type 1 124
2670 Auto Service Centers (No Gasoline) 1 124
2700 Parking Lots (Commercial) 17 1,167
270V Parking Lots (Commercial) 1 56
3100 Light Manufacturing 13 1,533
31TO Auto, Recreation/Construction Equipment, Sales &Services 1 118 3300 Warehousing, Distribution, Storage 3 354
3330 Warehousing, Distribution over 50,000 sq. ft. 1 118 3350 Public Storage, Mini Warehouses 1 118
3352 Public Storage, Mini Warehouses 1 118
3900 Open Storage 1 43
6002 Recreational 1 59
6400 Clubs, Lodge Halls, Fraternal Organizations 2 224
6402 Clubs, Lodge Halls, Fraternal Organizations 1 112
64TO Clubs, Lodge Halls, Fraternal Organizations 1 112
6520 Commercial Swimming Pools, Schools 1 859
6530 Gymnasiums, Health Spas 2 249
7100 Churches 9 504
7400 Hospitals 2 1,433
Total 2,401 $110,197

CITY OF HAWAIIAN GARDENS
RESOLUTION NO. 006-2026

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HAWAIIAN

GARDENS, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA,
APPROVING THE PRELIMINARY ENGINEER’S REPORT FOR THE

CONSOLIDATED LANDSCAPING AND LIGHTING ASSESSMENT
DISTRICT NO. HG-LLA1 AND DECLARING THE INTENT TO LEVY AND COLLECT AN ASSESSMENT FOR FISCAL YEAR 2026-2027, AND

SETTING A PUBLIC HEARING ON THE PROPOSED LEVY AT THE
REGULAR CITY COUNCIL MEETING ON WEDNESDAY JUNE 24, 2026

IN ACCORDANCE WITH THE LANDSCAPING AND LIGHTING ACT OF
1972
WHEREAS, the City Council has by previous resolution formed the CITY OF

HAWAIIAN GARDENS CONSOLIDATED LANDSCAPING AND LIGHTING
ASSESSMENT DISTRICT HG-LLA1 (hereafter referred to as the "District"); pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California; and
WHEREAS, the Landscape and Lighting Act of 1972 provides for the levy and collection of assessments by the City of Hawaiian Gardens to pay the maintenance and services of all improvements and facilities related thereto; and, WHEREAS, Willdan Financial Services has prepared a preliminary Engineer’s Report in accordance with said Act, and filed the report with the City Clerk; and, WHEREAS, it is the intent of the City Council to levy an assessment for the Fiscal Year 2026-2027 as specified in said Engineer’s Report;

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HAWAIIAN GARDENS AS FOLLOWS:

SECTION 1. The Engineer’s Report is hereby approved as submitted (Exhibit A).

SECTION 2. The City Council hereby declares its intent to levy and collect assessments on all land within the District boundary for the Fiscal Year 2026-2027.

SECTION 3. The improvements within the District include landscaping, street lighting, and all necessary appurtenances. The preliminary Engineer’s Report provides a description of all improvements and any or all substantial changes to the District or improvements within the District. No substantial changes are proposed to be made in the existing improvements.

SECTION 4. The boundaries of the District are coterminous with the boundaries of the City of Hawaiian Gardens. The District is known and designated as the CITY OF HAWAIIAN GARDENS CONSOLIDATED LANDSCAPING AND LIGHTING ASSESSMENT DISTRICT NO. HG-LLA1.

SECTION 5. The Engineer’s Report, on file with the City Clerk, contains a full and detailed description of the improvements, the boundaries of the District, and the proposed assessments upon assessable lots and parcels of land in the District.

SECTION 6. The assessment as proposed does not represent an increase over the previous year’s assessment.

SECTION 7. Notice is hereby given that a Public Hearing on this matter will be held at the City Council Chamber on Wednesday, June 24, 2026, starting at 6:00 p.m. at their regular meeting.

SECTION 8. The City Clerk shall give notice of the time and place of the Public Hearing by causing the publication of this Resolution in a newspaper of general circulation in the City of Hawaiian Gardens not less than ten (10) days before the date of the hearing.

SECTION 9. The City Clerk or his/her designee shall attest and shall certify to the adoption of the Resolution and shall cause this Resolution and his/her certification to be entered into the Book of Resolutions of the City of Hawaiian Gardens.

SECTION 10. The Mayor or his/her presiding officer is hereby authorized to affix his/her signature to this resolution signifying its passage and adoption by the City Council of the City of Hawaiian Gardens.

PASSED, APPROVED, AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF HAWAIIAN GARDENS ON THIS 13TH DAY OF MAY 2026.

Maria Teresa Del Rio
MAYOR
Attest:

Pablo Rubio

CITY CLERK

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B7
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Linda Hollinsworth, Finance Director
RECOMMENDATION:

RECOMMENDATION TO APPROVE A PROFESSIONAL SERVICES AGREEMENT

WITH BADAWI & ASSOCIATES TO PROVIDE INDEPENDENT AUDITING SERVICES FROM FY 2025-2026 THROUGH FY 2027-2028 WITH THE OPTION TO EXTEND FOR

TWO ADDITIONAL ONE-YEAR PERIODS AND AUTHORIZE THE CITY MANAGER TO

EXECUTE THE AGREEMENT

SUMMARY
For the last eight years, Gruber & Lopez, Inc. have provided auditing services for the City with different lead audit partners. Although this firm has provided excellent service, the City determined that it would be prudent policy to solicit new auditing firms to meet the City’s auditing needs through a competitive process to ensure the quality, objectivity, and favorable pricing of audits.

Federal and state laws require the City of Hawaiian Gardens (“City”) to perform annual audits of its financial statements. Municipalities are authorized to procure auditing services to prepare these audits. The Government Finance Officers Association recommends entering into a multiyear contract with an auditing firm for such services.

Working with a single firm over several years provides continuity and reduces “startup” costs. State law prohibits local agencies from providing the same audit partner with primary responsibilities over their audits after six consecutive years (Government Code section 12410.6). Thus, after a local agency has worked with the same audit partner for six years, the local agency must either work with a different audit partner at that firm or seek another firm to contract for audit services with.

The City’s existing contract with Gruber & Lopez, Inc. expired in June 2025 following the completion of the audit for FY 2024-2025. In February 2026, the City issued an RFP to provide auditing services to the City for three years for the fiscal years ending June 30, 2026 through June 30, 2028, with an option to extend an additional two years. The RFP Agenda Item #B7
May 13, 2026

Page 2 ends

was posted on the City’s website, posted on the website for the California Society of Municipal Finance Officers, and emailed to thirteen firms. The City received four proposals in response to the RFP.

The City considered the proposers’ qualifications, previous experience with audit requirements for our City and cost of services. All four of the proposing firms were qualified and experienced with the types of audits that the City will have performed, including Single Audits and Section 8 Public Housing Agency Audits (pursuant to Section 200.503 of Title 2 of the Code of Federal Regulations), and Successor Agency audits (pursuant to Section 34177 of the Health and Safety Code). Gruber & Lopez, Inc. was among the firms that were considered.

All proposals were reviewed and evaluated based on the criteria outlined in the RFP. After careful consideration, staff determined that it would be in the best interest of the City to select Badawi & Associates to provide auditing services to the City. Badawi & Associates has offices located in Emeryville, CA. The Engagement Partner assigned to the City is Mr. Ahmed Badawi. Mr. Badawi has more than 25 years of experience in municipal auditing and accounting with a focus on cities. The other four (4) assigned members of the engagement team have a total of 40 years of combined experience.

Staff recommends that the City Council approve the Professional Services Agreement with Badawi & Associates to provide independent auditing services for the City for three years beginning with FY 2025-2026 through FY 2027-2028, with an option to extend for two additional years and to authorize the City Manager to execute the final agreement.

FISCAL IMPACT
The not-to-exceed fees for audit services proposed by Badawi & Associates are shown in the Summary of Proposed Costs for Auditing Services (Attachment C). Funds for annual audits are included in each applicable fiscal year budgets for City Council approval.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENTS
A. Professional Services Agreement
B. Badawi & Associates Technical Proposal
C. Summary of Proposed Costs for Auditing Services
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ATTACHMENT A

CITY OF HAWAIIAN GARDENS

PROFESSIONAL SERVICES AGREEMENT

1. PARTIES AND DATE.

This Agreement is made and entered into this 13th day of May, 2026, by and between the City of Hawaiian Gardens, a municipal corporation organized under the laws of the State of California with its principal place of business at 21815 Pioneer Blvd, Hawaiian Gardens, CA 90716, State of California ("City") and Badawi & Associates, a California corporation, with its principal place of business at 5901 Christie Ave., Suite 307, Emeryville, CA 94608 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. RECITALS.

2.1 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional services required by the City on the terms and conditions set forth in this Agreement.

Consultant represents that it is experienced in providing financial audit services to public clients, is licensed in the State of California, and is familiar with the needs of City.

2.2 Project.

City desires to engage Consultant to render such professional services for the preparation of an Annual Comprehensive Financial Report for the fiscal year ended June 30, 2026 and subsequent fiscal years ("Project") as set forth in this Agreement.

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the professional financial audit consulting services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term. The term of this Agreement shall commence upon the execution of this Agreement by the Parties and continue until June 30, 2029, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement and shall meet any other established schedules and deadlines. The Parties may extend the term of this Agreement for up to two (2) additional years, each a renewal term, upon mutual written agreement.
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3.2 Compensation.

3.2.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed the sum of Thirty Nine Thousand Eight Hundred and Fifteen Dollars ($39,815) for FY 2025-2026, Forty-One Thousand and Nine Dollars ($41,009) for FY 2026-2027, and Forty-two Thousand Two Hundred and Forty Dollars ($42,240) FY 2027-2028, without written approval of the City Council or City Manager, as applicable. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

3.2.2 Payment of Compensation. Consultant shall submit to City a monthly invoice which indicates work completed and hours of Services rendered by Consultant. The invoice shall describe the amount of Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the invoice. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein. Payment shall not constitute acceptance of any Services completed by Consultant. The making of final payment shall not constitute a waiver of any claims by the City for any reason whatsoever.

3.2.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "C" of this Agreement.

3.2.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.

3.3 Responsibilities of Consultant.

3.3.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Any personnel performing the Services on behalf of Consultant shall not be employees of City and shall at all times be under Consultant's exclusive direction and control.

Neither City, or any of its officials, officers, directors, employees or agents shall have control over the conduct of Consultant or any of Consultants officers, employees or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance.

3.3.2 Schedule of Services. Consultant shall perform the Services in a prompt and timely manner and in accordance with the Schedule of Services set forth in Exhibit 65320.00001\44978843.1
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"B" attached hereto and incorporated herein by reference. Consultant represents that it has the professional and technical personnel required to perform the Services expeditiously.

Upon request of City, Consultant shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services.

3.3.3 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City.

3.3.4 Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. The key personnel for performance of this Agreement are as follows: Ahmed Badawi, Samantha Michel, Everly Feng, Omar Rahman, and Mitesh Desai.

3.3.5 City's Representative. The City hereby designates Linda Hollinsworth or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the Scope of Services or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City's behalf and to execute all necessary documents which enlarge the Scope of Services or change the Consultant's total compensation subject to the provisions contained in this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.3.6 Consultant's Representative. Consultant hereby designates Ahmed Badawi or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.3.7 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times.

3.3.8 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Consultant represents that it, its employees and subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or 65320.00001\44978843.1
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omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its subconsultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.3.9 Period of Performance.

3.3.9.1 Consultant shall perform and complete all Services under this Agreement within the term set forth in Section 3.1.2 above (“Performance Time”). Consultant shall also perform the Services in strict accordance with any completion schedule or Project milestones described in Exhibits “A” or “B” attached hereto, or which may be separately agreed upon in writing by the City and Consultant (“Performance Milestones”). Consultant agrees that if the Services are not completed within the aforementioned Performance Time and/or pursuant to any such Performance Milestones developed pursuant to provisions of this Agreement, it is understood, acknowledged and agreed that the City will suffer damage.

3.3.9.2 Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable control of the non-performing Party. For purposes of this Agreement, such circumstances include a Force Majeure Event. A Force Majeure Event shall mean an event that materially affects a Party’s performance and is one or more of the following: (1) Acts of God or other natural disasters; (2) terrorism or other acts of a public enemy; (3) orders of governmental authorities (including, without limitation, unreasonable and unforeseeable delay in the issuance of permits or approvals by governmental authorities that are required for the services); (4) strikes and other organized labor action occurring at the site and the effects thereof on the services, only to the extent such strikes and other organized labor action are beyond the control of Consultant and its subcontractors, and to the extent the effects thereof cannot be avoided by use of replacement workers; and (5) pandemics, epidemics or quarantine restrictions. For purposes of this section, “orders of governmental authorities,” includes ordinances, emergency proclamations and orders, rules to protect the public health, welfare and safety, and other actions of a public agency applicable to the services and Agreement.

3.3.9.3 Should a Force Majeure Event occur, the non-performing Party shall, within a reasonable time of being prevented from performing, give written notice to the other Party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement. Force Majeure Events and/or delays, regardless of the Party responsible for the delay, shall not entitle Consultant to any additional compensation.

Notwithstanding the foregoing in this section, the City may still terminate this Agreement in accordance with the termination provisions of this Agreement.

3.3.10 Laws and Regulations; Employee/Labor Certification.

3.3.10.1 Compliance with Laws. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with the Services and this Agreement. All violations of such laws and regulations shall be grounds for the City to terminate the Agreement for cause. 65320.00001\44978843.1
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3.3.10.2 Employment Eligibility; Consultant. Consultant certifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time and shall require all subconsultants and sub-subconsultants to comply with the same. Consultant certifies that it has not committed a violation of any such law within the five (5) years immediately preceding the date of execution of this Agreement, and shall not violate any such law at any time during the term of the Agreement.

3.3.10.3 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted.

3.3.10.4 Reserved.

3.3.10.5 Business License. Consultant shall obtain a City business license within 15 days of execution of this Agreement.

3.3.10.6 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed.

3.3.11 Insurance.

3.3.11.1 Time for Compliance. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Consultant shall not allow any subconsultant to commence work on any subcontract until it has provided evidence satisfactory to the City that the subconsultant has secured all insurance required under this section. Failure to provide and maintain all required insurance shall be grounds for the City to terminate this Agreement for cause.

3.3.11.2 Types of Insurance Required. As a condition precedent to the effectiveness of this Agreement for work to be performed hereunder, and without limiting the indemnity provisions of the Agreement, the Consultant, in partial performance of its obligations under such Agreement, shall procure and maintain in full force and effect during the term of the Agreement the following policies of insurance. If the existing policies do not meet the insurance requirements set forth herein, Consultant agrees to amend, supplement or endorse the policies to do so.
(A) Commercial General Liability: Commercial General Liability Insurance which affords coverage at least as broad as Insurance Services Office "occurrence" form CG 00 01, or the exact equivalent, with limits of not less than $1,000,000 per occurrence and no less than $2,000,000 in the general aggregate. Defense costs shall be paid in addition to the limits. The policy shall contain no endorsements or provisions (1) limiting coverage for contractual liability; (2) excluding coverage for claims or suits by one insured against another 65320.00001\44978843.1
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(cross-liability); (3) products/completed operations liability; or (4) containing any other exclusion(s) contrary to the terms or purposes of this Agreement. (B) Automobile Liability Insurance: Automobile Liability Insurance with coverage at least as broad as Insurance Services Office Form CA 00 01 covering "Any Auto" (Symbol 1), or the exact equivalent, covering bodily injury and property damage for all activities with limits of not less than $1,000,000 combined limit for each occurrence. (C) Workers' Compensation: Workers' Compensation
Insurance, as required by the State of California and Employer's Liability Insurance with a limit of not less than $1,000,000 per accident for bodily injury and disease. (D) Professional Liability (Errors & Omissions): Professional Liability insurance or Errors & Omissions insurance appropriate to Consultant’s profession with limits of not less than $1,000,000. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusions that may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least five (5) years from termination or expiration of this Agreement.

3.3.11.3 Insurance Endorsements. Required insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms approved by the City to add the following provisions to the insurance policies:
(A) Commercial General Liability: (1) Additional Insured: The City, its officials, officers, employees, agents, and volunteers shall be additional insureds with regard to liability and defense of suits or claims arising out of the performance of the Agreement.

Additional Insured Endorsements shall not (1) be restricted to "ongoing operations"; (2) exclude "contractual liability"; (3) restrict coverage to "sole" liability of Consultant; or (4) contain any other exclusions contrary to the terms or purposes of this Agreement. For all policies of Commercial General Liability insurance, Consultant shall provide endorsements in the form of ISO CG 20 10 10 01 and 20 37 10 01 (or endorsements providing the exact same coverage) to effectuate this requirement. (2) Cancellation: Required insurance policies shall not be canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. (B) Automobile Liability. (1) Cancellation: Required insurance policies shall not be canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium.
(C) Professional Liability (Errors & Omissions): (1) Cancellation:

Required insurance policies shall not be canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. (2) Contractual Liability Exclusion Deleted: This insurance shall include contractual liability applicable to this Agreement. The policy must “pay on behalf of” the insured and include a provision establishing the insurer’s duty to defend. (D) Workers' Compensation: (1) Cancellation: Required
insurance policies shall not be canceled or the coverage reduced until a thirty (30) day written 65320.00001\44978843.1
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notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. (2) Waiver of Subrogation: A waiver of subrogation stating that the insurer waives all rights of subrogation against the City, its officials, officers, employees, agents, and volunteers.

3.3.11.4 Primary and Non-Contributing Insurance. All policies of Commercial General Liability and Automobile Liability insurance shall be primary and any other insurance, deductible, or self-insurance maintained by the City, its officials, officers, employees, agents, or volunteers shall not contribute with this primary insurance. Policies shall contain or be endorsed to contain such provisions.

3.3.11.5 Waiver of Subrogation. All required insurance coverages, except for the professional liability coverage, shall contain or be endorsed to waiver of subrogation in favor of the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants.

3.3.11.6 Deductibles and Self-Insured Retentions. Any deductible or selfinsured retention must be approved in writing by the City and shall protect the City, its officials, officers, employees, agents, and volunteers in the same manner and to the same extent as they would have been protected had the policy or policies not contained a deductible or self-insured retention.

3.3.11.7 Evidence of Insurance. The Consultant, concurrently with the execution of the Agreement, and as a condition precedent to the effectiveness thereof, shall deliver either certified copies of the required policies, or original certificates on forms approved by the City, together with all endorsements affecting each policy. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for approval. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15 days) prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or reduced and not replaced immediately so as to avoid a lapse in the required coverage, Consultant shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies.

3.3.11.8 Acceptability of Insurers. Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and authorized to transact business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.

3.3.11.9 Enforcement of Agreement Provisions (non estoppel).

Consultant acknowledges and agrees that actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligation on the City nor does it waive any rights hereunder.
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3.3.11.10 Requirements Not Limiting. Requirement of specific coverage or minimum limits contained in this Section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance.

3.3.11.11 Additional Insurance Provisions
(A) The foregoing requirements as to the types and limits of insurance coverage to be maintained by Consultant, and any approval of said insurance by the City, is not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by the Consultant pursuant to this Agreement, including but not limited to, the provisions concerning indemnification.
(B) If at any time during the life of the Agreement, any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement.
(C) The City may require the Consultant to provide complete copies of all insurance policies in effect for the duration of the Project. (D) Neither the City nor any of its officials, officers, employees, agents or volunteers shall be personally responsible for any liability arising under or by virtue of this Agreement.
(E) The limits set forth herein shall apply separately to each insured against whom claims are made or suits are brought, except with respect to the limits of liability. Further the limits set forth herein shall not be construed to relieve the Consultant from liability in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the City and shall not preclude the City from taking such other actions available to the City under other provisions of the Agreement or law.
(F) Consultant shall report to the City, in addition to Consultant’s insurer, any and all insurance claims submitted by Consultant in connection with the Services under this Agreement.

3.3.11.12 Insurance for Subconsultants. Consultant shall include all subconsultants engaged in any work for Consultant relating to this Agreement as additional insureds under the Consultant's policies, or the Consultant shall be responsible for causing subconsultants to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements, including adding the City, its officials, officers, employees, agents, and volunteers as additional insureds to the subconsultant's policies. All policies of Commercial General Liability insurance provided by Consultant’s subconsultants performing work relating to this Agreement shall be endorsed to name the City, its officials, officers, employees, agents and volunteers as additional insureds using endorsement form ISO CG 20 38 04 13 or an endorsement providing equivalent coverage. Consultant shall not allow any subconsultant to commence work on any subcontract relating to this Agreement until it has received satisfactory evidence of subconsultant’s compliance with all insurance requirements under this Agreement, to the extent applicable. The Consultant shall provide satisfactory evidence of compliance with this section upon request of the City.
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3.4 Reserved.

3.5 Termination of Agreement.

3.5.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those Services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause. The rights and remedies of the City provided in this section shall not be exclusive and are in addition to any other rights and remedies provided by law, equity or under this Agreement.

3.5.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents & Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request.

3.5.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.6 Indemnification.

3.6.1 To the fullest extent permitted by law, Consultant shall defend (with counsel of City’s choosing), indemnify and hold the City, its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s Services, the Project or this Agreement, including without limitation the payment of all damages, expert witness fees and attorney’s fees and other related costs and expenses except such loss or damage caused by the sole negligence or willful misconduct of the City.

Consultant's obligation to indemnify shall survive expiration or termination of this Agreement and shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its officials, officers, employees, agents, or volunteers.

3.6.2 If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance as a “design professional” (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

3.7 General Provisions.

3.7.1 Accounting Records. Consultant shall maintain complete and accurate 65320.00001\44978843.1
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records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement, excluding proprietary documents.

Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.7.2 Independent Contractors and Subcontracting.

3.7.2.1 Use of Consultants. Consultant is aware of statutory and case law regarding classification of workers as independent contractors, including California Labor Code Section 2750.3 and Dynamex Operations West, Inc. v. Superior Court, 4 Cal. 5th 903 (2018). To ensure that Consultant is in compliance with the California Labor Code, Consultant shall only utilize its employees to provide the Services. Consultant may not provide the services through any independent contractor, subcontractor or subconsultant (“Subcontractor(s)”) unless approved by the City as set forth in Section 3.7.2.2 below. Consultant represents and warrants that all personnel who perform the Services on Consultant’s behalf are Consultant’s employees, and that Consultant complies with all applicable laws, rules and regulations governing its employees, including, but not limited to, the California Labor Code, Unemployment Insurance Code and all applicable Industrial Welfare Commission Wage Orders.

3.7.2.2 Prior Approval Required. Consultant shall not use any Subcontractor to provide the Services, or any portion of the work required by this Agreement, without prior written approval of City. In the event that City authorizes Consultant to use a Subcontractor, Consultant shall enter into a written agreement with the Subcontractor, which must include all provisions of the Agreement, including a restriction on the Subcontractor’s use of further independent contractors, subcontractors or subconsultants without the City’s prior written consent.

3.7.3 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

Consultant: Badawi & Associates, CPA
5901 Christie Avenue, Suite 307
Emeryville, CA 94608
ATTN: Ahmed Badawi
City: City of Hawaiian Gardens
21815 Pioneer Blvd
Hawaiian Gardens, CA 90716
ATTN: Finance Director
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

3.7.4 Ownership of Materials and Confidentiality.
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In the event of a dispute regarding the amount of compensation to which the Consultant is entitled under the termination provisions of this Agreement, Consultant shall provide all Documents & Data to City upon payment of the undisputed amount. Consultant shall have no right to retain or fail to provide to City any such documents pending resolution of the dispute. In addition, Consultant shall retain copies of all Documents & Data on file for a minimum of fifteen (15) years following completion of the Project, and shall make copies available to City upon the payment of actual reasonable duplication costs. Before destroying the Documents & Data following this retention period, Consultant shall make a reasonable effort to notify City and provide City with the opportunity to obtain the documents.

3.7.4.2 Subconsultants. Consultant shall require all subconsultants to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or its subconsultants, or those provided to Consultant by the City.

3.7.4.3 Right to Use. City shall not be limited in any way in its use or reuse of the Documents & Data or any part of them at any time for purposes of this Project or another project, provided that any such use not within the purposes intended by this Agreement or on a project other than this Project without employing the services of Consultant shall be at City’s sole risk. If City uses or reuses the Documents & Data on any project other than this Project, it shall remove the Consultant’s seal from the Documents & Data and indemnify and hold harmless Consultant and its officers, directors, agents and employees from claims arising out of the negligent use or re-use of the Documents & Data on such other project. Consultant shall be responsible and liable for its Documents & Data, pursuant to the terms of this Agreement, only with respect to the condition of the Documents & Data at the time they are provided to the City upon completion, suspension, abandonment or termination. Consultant shall not be responsible or liable for any revisions to the Documents & Data made by any party other than Consultant, a party for whom the Consultant is legally responsible or liable, or anyone approved by the Consultant.
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3.7.4.4 Indemnification. Consultant shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers and agents free and harmless, pursuant to the indemnification provisions of this Agreement, for any alleged infringement of any patent, copyright, trade secret, trade name, trademark, or any other proprietary right of any person or entity in consequence of the use on the Project by City of the Documents & Data, including any method, process, product, or concept specified or depicted.

3.7.4.5 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.7.4.6 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unless the City's legal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information.

Consultant shall have five (5) working days after receipt of the release notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of an objection notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.7.5 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

3.7.6 Entire Agreement. This Agreement contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements.

3.7.7 Attorneys’ Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorneys’ fees and all costs of such action.

3.7.8 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Los Angeles County. In addition to any and all contract requirements pertaining to notices of and requests for compensation or payment for extra work, disputed work, claims and/or changed conditions, Consultant must comply with the 65320.00001\44978843.1
-13- PROFESSIONAL SERVICES AGREEMENT
claim procedures set forth in Government Code sections 900 et seq. prior to filing any lawsuit against the City. Such Government Code claims and any subsequent lawsuit based upon the Government Code claims shall be limited to those matters that remain unresolved after all procedures pertaining to extra work, disputed work, claims, and/or changed conditions have been followed by Consultant. If no such Government Code claim is submitted, or if any prerequisite contractual requirements are not otherwise satisfied as specified herein, Consultant shall be barred from bringing and maintaining a valid lawsuit against the City.

3.7.9 Time of Essence. Time is of the essence for each and every provision of this Agreement.

3.7.10 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project.

3.7.11 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties.

3.7.12 Assignment or Transfer. Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Consultant shall not subcontract any portion of the Services required by this Agreement, except as expressly stated herein, without prior written approval of City.

Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

3.7.13 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement.

All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

3.7.14 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.7.15 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

3.7.16 No Third-Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.7.17 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
65320.00001\44978843.1
-14- PROFESSIONAL SERVICES AGREEMENT

3.7.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement.

Consultant further agrees to file, or shall cause its employees or subconsultants to file, a Statement of Economic Interest with the City’s Filing Officer as required under state law in the performance of the Services. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

3.7.19 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

3.7.20 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.7.21 Survival. All rights and obligations hereunder that by their nature are to continue after any expiration or termination of this Agreement, including, but not limited to, the indemnification obligations, shall survive any such expiration or termination. [SIGNATURES ON NEXT PAGE]
65320.00001\44978843.1
-15- PROFESSIONAL SERVICES AGREEMENT

SIGNATURE PAGE TO PROFESSIONAL SERVICES AGREEMENT

BETWEEN THE CITY OF HAWAIIAN GARDENS AND
Badawi & Associates, CPA
IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written.

CITY OF HAWAIIAN GARDENS Badawi & Associates, CPA
By:__________________________________
Ahmed Badawi
Partner
Approved By:

Ernesto Marquez
City Manager
Approved as to Form:
_____________________________________
Best Best & Krieger LLP
City Attorney
Attested By:

City Clerk
Ahmed Badawi
Digitally signed by Ahmed
Badawi
Date: 2026.05.07 15:33:17
-07'00'
65320.00001\44978843.1
EXHIBIT "A"

SCOPE OF SERVICES
[Attach Technical Proposal Dated March 12, 2026]
65320.00001\44978843.1
Exhibit “B”-1 PROFESSIONAL SERVICES AGREEMENT
EXHIBIT "B"

COMPENSATION

[Attach cost proposal dated March 12, 2026]
City of
Hawaiian
Gardens

TECHNICAL PROPOSAL
For Professional Auditing Services for
the City of Hawaiian Gardens
For fiscal years ending June 30, 2026 through 2028,
with the option of extending the contract for two (2)
additional years.

March 12, 2026
Contact Person:

Ahmed Badawi, CPA
Badawi & Associates
Certified Public Accountants
5901 Christie Avenue, Suite 307
Emeryville, CA 94608
Phone: (510) 768-8244
Fax: (510) 768-8249
E-mail: [email protected]
Attachment B

City of Hawaiian Gardens
Table of Contents
Page
Letter of Transmittal ................................................................................................................................................... 1 Firm Qualifications and Experience .......................................................................................................................... 3 Independence ........................................................................................................................................................... 3 Insurance .................................................................................................................................................................. 3 License to Practice in California................................................................................................................................ 3 Conflict of Interest ..................................................................................................................................................... 3 Firm Qualifications .................................................................................................................................................... 3 Technical Approach .................................................................................................................................................. 4 Firm Experience ........................................................................................................................................................ 5 Additional Activities ................................................................................................................................................... 5 Client Training Seminar ............................................................................................................................................ 6 GASB 68 Firm Developed Tools and Assistance ..................................................................................................... 6 Flowcharting Documentation .................................................................................................................................... 6 Quality Control Review ............................................................................................................................................. 6 Federal or State Desk Reviews ................................................................................................................................ 9 Disciplinary Action ..................................................................................................................................................... 9 Litigations .................................................................................................................................................................. 9 Partner, Supervisory, and Staff Qualifications and Experiences ........................................................................ 10 Similar Engagements with Other Governmental Entities ..................................................................................... 18 Understanding ........................................................................................................................................................... 24 of Services to ............................................................................................................................................................ 24 be Provided................................................................................................................................................................ 24 Specific Audit Approach .......................................................................................................................................... 25 Objectives of Our Services ..................................................................................................................................... 25 Audit Approach ....................................................................................................................................................... 25 Technical Approach ................................................................................................................................................ 26 Use of Technology in the Audit ............................................................................................................................... 29 Audit Schedule .......................................................................................................................................................... 31 Discussion of Relevant Accounting Issues ........................................................................................................... 34 Conclusion................................................................................................................................................................. 35 Appendix .................................................................................................................................................................... 36 References .............................................................................................................................................................. 36 Exceptions to the Contract ...................................................................................................................................... 37

March 12, 2026
Letter of Transmittal
Ms. Linda Hollinsworth
Finance Director
City of Hawaiian Gardens
21815 Pioneer Boulevard
Hawaiian Gardens, CA 90716
Dear Ms. Hollinsworth:

Badawi & Associates (B&A), Certified Public Accountants (the “Firm”) is pleased to have the opportunity to respond to your request for a proposal to provide external audit services and to submit its qualifications to perform an independent audit of the financial statements of the City of Hawaiian Gardens (the “City”) for the fiscal years ending June 30, 2026 through 2028, with the option of extending the contract for two (2) additional years. The objective of our audits is to issue opinions regarding the fairness of presentation of the financial position of the City in accordance with generally accepted accounting principles. These audits are to be performed in accordance with generally accepted auditing standards, the standards set forth for financial audits in the Government Accountability Office’s (GAO) Government Auditing Standards, the provisions of the federal Single Audit Act of 1984, as amended in 1996, and the Uniform Guidance, Audits of States, Local Governments and Non-Profit Organizations, Uniform Administrative Requirements, as well as any other applicable federal, state, local or programmatic audit requirements.

We will also perform the following as part of our engagement:
- Single Audit
- Gann Limit Agreed-upon Procedures
We will also apply limited audit procedures to Management’s Discussion and Analysis (MD&A) and required supplementary information. In addition, we will prepare the management letter containing comments and recommendations regarding our review and evaluation of the systems of internal control and accounting procedures.

This proposal will highlight the background of the partners and staff assigned to the engagement, summarize our experience in the governmental area, and describe our approach to auditing the City.

This proposal demonstrates our ability to render the quality examination and to perform the necessary accounting and auditing services requested by the City on a timely basis.

As a partner of the Firm, I will be the primary contact for negotiation of the contract. Additionally, I have been authorized to legally bind the Firm. You may contact me at the following address and phone number:

Ahmed Badawi, CPA
Badawi & Associates
Certified Public Accountants
5901 Christie Avenue, Suite 307
Emeryville, CA 94608
Telephone: (510)768-8244
E-mail: [email protected]
Ms. Linda Hollinsworth
Finance Director
City of Hawaiian Gardens

Page 2 ends

2 We are committed to performing the required work, completing the audit, and issuing the necessary auditors’ reports.

We believe we are the best qualified to perform the audit because our audit staff includes individuals well versed in municipal auditing and reporting requirements. We have performed auditing and consulting engagements for numerous cities throughout California. We will be responsive to the needs of the City, we understand the City’s operational environment, and pledge to you our complete commitment to providing a quality product that meets the City’s requirements.

The approach to the audit has been designed to meet the audit requirements of the City with the least disruption to the City’s office operations. The foundation of the audit approach is based on communication coupled with a strong knowledge of City operations and detailed planning at the initial stages of the audit. Open communication lines with all parties of the Engagement Team and City Management and staff throughout the engagement eliminate “surprises”.

Initial planning and proper assignment of duties to experienced personnel provide for an effective and efficient audit process. Consequently, inefficiencies and disruptions are kept to a minimum. In addition, we perform almost half of the audit tasks during the interim phase to minimize any unforeseen delays during the year-end phase and to ensure a smooth and timely audit process.

The Firm maintains liability insurance coverage for professional liability, Workers’ Compensation, Comprehensive General Liability and Auto as part of our comprehensive insurance policy.

The Firm is an Equal Opportunity employer and complies with all Federal and State hiring requirements. The Firm also supports Affirmative Action philosophies and works hard to provide disadvantaged groups with opportunities for self enhancement.

This proposal is a firm and irrevocable offer for 180 days.

We are confident that you will find our organization offers the required expertise, technical knowledge, and business understanding to perform an audit of the City. Our past experience provides us with a thorough understanding of the needs and requirements of the City, as well as the technical knowledge to perform such services in accordance with the accounting and auditing guidelines as published by the various authoritative entities.

We welcome your inquiries and look forward to further discussions with you.

Sincerely,
Ahmed Badawi
Partner
Badawi & Associates
Certified Public Accountants

City of Hawaiian Gardens Technical Proposal
3 Independence
The Firm is independent of the City of Hawaiian Gardens as defined by the GAO’s Standards for Audit of Governmental Organizations, Programs, Activities and Functions, and the AICPA and California State Society of Certified Public Accountants as promulgated in various auditing and professional standards.

Insurance
The Firm maintains professional liability insurance and other coverage as part of our comprehensive insurance policy. Upon selection as the City’s independent auditor, the Firm and our insurance provider will provide a certificate of insurance to the City which shows the minimum requirements identified by City have been met.

License to Practice in California
The Firm and all key professional staff assigned to the City’s audit are properly licensed to practice as Certified Public Accountants in the State of California and comply with GAO Government Auditing Standards.

The Firm is registered with the California State Board of Accountancy. Its State number is COR6823.

The Firm has met all required State and local laws, rules, and regulations.

Conflict of Interest
The Firm has no conflicts of interest in connection with providing the services described in this proposal. The Firm does not have any financial, business, or other professional relationships with the City or any member of City staff.

Firm Qualifications
Badawi & Associates was founded by Mr. Ahmed Badawi. Mr. Badawi has over 25 years of experience working with state and local government with a special focus on cities. Prior to founding B&A, Mr. Badawi was a partner with several local and national firms, where he headed their government practice in Northern California. Mr. Badawi founded Badawi & Associates to serve the fast-paced needs of California's local governments. The goal is to build a proactive, client-focused culture from the ground up and to eliminate the entrenched bureaucratic culture and intrinsic limitations of the big audit firms.

Located in Emeryville, CA, the Firm serves a variety of cities and towns throughout California as well as conducting financial related services for numerous special districts and authorities.

Names and phone numbers of several of our current and past clients and other references are provided for your inquiries. We encourage you to contact these individuals to obtain information on the quality of the audit and the ability of the audit staff.

Our Emeryville office will be the Engagement Office assigned to the City.

In addition to specific City financial statements, the Firm members have also audited numerous redevelopment agencies, public financing authorities, hospitals, housing authorities, transportation authorities, special districts, water districts, OCJP grants, self-insurance pools, joint power authorities and has also performed numerous compliance audits in accordance with the Single Audit Act, childcare regulations, TOT regulations, AQMD regulations, franchise requirements.

The Engagement Partner assigned to the City will be Mr. Ahmed Badawi. Mr. Badawi has over 25 years of government audit experience. He is a member of various governmental committees, has actively participated in the development of accounting and audit guidelines for the governmental sector, and is an instructor for the California Society of Municipal Finance Officers.

Firm
Qualifications
and
Experience
City of Hawaiian Gardens Technical Proposal
4 The professional staffs assigned to the Engagement are qualified and experienced. Each individual of the Engagement Team has several years of experience and has conducted or participated in numerous municipal audits of various sizes. Their understanding of governmental operations and the various authoritative guidelines will provide the where-with-all to perform the audit in an efficient and effective manner with minimal disruption to the City’s finance department.

Technical Approach
The approach to the audit has been designed to meet the audit requirements of the various authorities with the least disruption to the City’s operations. The foundation of the audit approach is based on communication coupled with a strong knowledge of City operations and detailed planning at the initial stages of the audit. Open communication lines with all parties of the Engagement Team and City Management and staff throughout the engagement eliminate “surprises”. Initial planning and proper assignment of duties to experienced personnel provide for an effective and efficient audit process. Consequently, inefficiencies, disruptions, and lack of understanding are kept to a minimum.

The audit approach will consist of four phases:
1) Initial Planning Meeting:

The Engagement Partner and Manager will meet with City Management to discuss the audit approach, identify specific needs of City Management, and familiarize themselves with City policies and practices.
2) Interim:

The Engagement Team members including the Engagement Team Partner will perform the internal control reviews, test transactions, evaluate compliance with Single Audit Act requirements, identify potential audit issues that need to be addressed, perform limited confirmation procedures, and develop a clear understanding between the Engagement Team and City Management of the year-end audit responsibilities and assignments. In addition, we strive to complete many of the year-end audit tasks during the interim phase to ensure a smoother audit process. We will work with the City on providing a list of those tasks that we will target to complete during interim and work with the City on how to complete them to minimize the amount of effort and time needed at yearend which in turn will assist the City in meeting its goal of issuing the Annual Comprehensive Financial Report.
3) Year-end:

The Engagement Team members including the Engagement Team Partner will conduct validation procedures on general ledger account balances, complete confirmation procedures, perform analytical procedures on revenue and expenditures, perform search for unrecorded liabilities, complete compliance work on Federal Assistance, and wrap up audit field work.
4) Reporting:

Auditor’s reports for all City reporting entities and compliance requirements will be finalized along with Single Audit Reports and Management Letter comments. The Partner and Manager will be available to make presentations to the City Council and/or designated bodies.

City of Hawaiian Gardens Technical Proposal
5 Firm Experience
The Firm is located in Emeryville and provides a full range of accounting services to governmental agencies throughout California, including audit, tax and accounting. The Firm’s professional staff members provide the financial background and specific experience to meet the City’s operational needs. Additionally, this situation provides the City with an auditing firm that has depth in capabilities to address any financial issue the City may need assistance with, and the quality audit approach that you expect.

Our Emeryville office will be the Engagement Office assigned to the City.

Firm policy requires that the Engagement Partner, during the first year of the engagement, be actively involved in the daily fieldwork. This means to the City that Mr. Badawi will actually be on-site during the audit coordinating the audit process, supervising the audit staff, gaining a hands-on understanding of City processes, and benefiting the City with his broad municipal experience. We have found that this effort benefits the City and the Firm through developing a thorough knowledge of the City’s practices and issues and establishing a close working relationship with the City’s Management. Additionally, continuity of audit personnel is assured because of the hands on involvement of the Partner.

We are committed to providing appropriate and related experience, personal involvement, and a broad business perspective to produce a quality end product within the time frames required.

The Firm provides financial and compliance auditing services to governmental agencies throughout California. We are a governmental agency auditing firm and our professional staff members have been performing these services for many years. As a result, we have performed financial and compliance audits on most, if not all, types of governmental agencies and operations including:
 Cities
 Redevelopment
Agencies
 Financing
Authorities
 Housing Authorities
 Special Districts
 Water Districts
 Waste Management
Authorities and
Operations
 Pension Plans
 Child Care
Operations
 Joint Power
Authorities
 Investment Activities
 Landfills
 Enterprise Funds
 Airports
 Transportation
Operations
 Federal and State
Grants
Additional Activities
We offer a full range of accounting and finance services to the governmental sector. These services include:
 Financial audits
 Compliance audits
 Tax advice
 Development of financial and
accounting policies and procedures
 Investment review and compliance
evaluation
 Operational reviews
 Technical guidance on existing and
upcoming accounting issues
 Training seminars
 Pension/profit-sharing plans
 Performance audits
 Business consulting
Consequently, Firm personnel are well qualified to perform the services expected by the City.

City of Hawaiian Gardens Technical Proposal
6 Client Training Seminar
The Firm hosts an annual update on recent technical accounting and finance issues affecting the governmental area. This all day session reviews new and anticipated pronouncements from GASB, discusses future issues under consideration by GASB, reviews accounting treatment of various transactions where issues may arise, and provides a general overview of state and federal compliance issues. All of our clients are invited to attend, free of charge. The one day session qualifies for CPE under the rules of the State Board of Accountancy and is held in the Bay Area.

GASB 68 Firm Developed Tools and Assistance
The Firm has developed tools to assist our clients with preparation of GASB 68 journal entries for the CalPERS’ Cost Sharing Plans (for which individualized actuarial valuations are no longer prepared) and the CalPERS’ Agent Multiple Employer Plans. In addition to providing our clients with these tools and instructions on how to use them, we are available to answer any questions on how to prepare and complete the GASB 68 journal entries.

Flowcharting Documentation
As part of our risk assessment procedures, we prepare flowcharts for documenting our understanding of the City’s significant accounting and financial processes. Flowcharts are updated annually for any changes in the City’s processes and copies can be provided upon request for the City’s internal use. Flowcharted processes may include:
 Financial Reporting, Closing, and Manual Journal Entries  Cash Receipts, Billing, and Accounts Receivable/Revenues  Cash Disbursements, Purchasing, and Accounts Payable/Expenditures  Payroll and Human Resources
Quality Control Review
According to Government Auditing Standards, firms who perform audits under the Yellow Book are required to have a peer review once every three years. We received a report with a rating of pass with no deficiencies which we attached for your review.

City of Hawaiian Gardens Technical Proposal
7 City of Hawaiian Gardens Technical Proposal
8 City of Hawaiian Gardens Technical Proposal
9 The Firm has policies and procedures to ensure it hires only qualified people, that it properly supervises them and provides professional training, that it advances them to responsibilities they are capable of handling, and that it provides them with necessary technical resources. All members of the Firm are very familiar with the stringent quality control standards established by the AICPA.

The Firm is a member of the AICPA Government Audit Quality Center.

The Firm is a member of the AICPA Private Companies Practice Section.

Federal or State Desk Reviews
The Firm has had no negative federal or state reviews in the past three (3) years.

Disciplinary Action
There has not been any state or federal disciplinary actions taken or pending against the Firm nor any findings to report.

Litigations
The Firm has not experienced any lawsuits or legal actions that have been resolved or are currently pending in the prior five years.

City of Hawaiian Gardens Technical Proposal
10 The Engagement Team will normally consist of seven individuals who provide a broad business perspective and significant experience in governmental auditing. This team will provide access to a wide range of technical capabilities which will provide the City with not only the technical support necessary to perform the audit, but also the broad business background to interpret findings and observations to offer effective solutions to issues, and the personal involvement of the Engagement and Compliance Partners of the Firm.

The Engagement Team will be led by Ahmed Badawi, CPA. Mr. Badawi’s background includes over twenty-five years of municipal auditing experience with a special focus on cities. Mr.

Badawi is a member of the Government Accounting and Auditing Committee of the California Society of Certified Public Accountants. He has participated in the audits of numerous City, county and special district governments, as well as non-profit entities. His diversified background offers the technical qualities required of the governmental and non-profit areas and the necessary wherewithal to properly evaluate the entire accounting process, develop opportunities to improve the accounting process, and to offer practical business recommendations.

The second member of the Engagement Team will be Samantha “Samo” Michel, CPA. Ms.

Michel’s background includes seven years of accounting and auditing experience. She has participated in the audits of numerous governmental entities and assisted in their efforts to publish their financial statements in compliance with various regulations. Ms. Michel will be the Audit Manager of this engagement.

The third member of the Engagement Team will be Everly Feng. Ms. Feng’s background includes four years of accounting and auditing experience. She has participated in the audits of numerous governmental entities and assisted in their efforts to publish their financial statements in compliance with various regulations. Ms. Feng will be the Audit Senior of this engagement.

Engagement Partner
Ahmed Badawi
CPA
Audit Manager
Samantha “Samo”
Michel
CPA
Engagement Quality
Reviewer
Mitesh Desai
CPA
Audit Senior
Everly Feng
Professional
Audit Staff
Professional
Audit Staff
IT Specialist
Omar Rahman,

CPA, CISA
Partner,
Supervisory,
and Staff
Qualifications
and
Experiences
City of Hawaiian Gardens Technical Proposal
11 The fourth member of the Engagement Team will be Omar Rahman, CPA, CISA. Mr. Rahman has over 10 years of experience in the field of Information Technology (IT) audit and risk management at the senior and executive management level. He has worked extensively with government agencies, private organizations, and public companies, providing external and internal audit services in support of financial statement audits. Mr. Rahman will serve as the I.T.

Specialist of this engagement.

The fifth member of the Engagement Team will be Mitesh Desai, CPA. Mr. Desai’s background includes eighteen years of experience in municipal auditing. Mr. Desai has participated in the audits of numerous governmental agencies, assisted in their efforts to publish their Annual Comprehensive Financial Reports in compliance with GASB 34, and a volunteer member of the GFOA Special Review Committee. Mr. Desai is responsible for conducting in-house trainings for staff auditors and is credentialed with the Advanced Single Audit Certificate offered by the AICPA. He will serve as the Engagement Quality Reviewer.

Each member of the Engagement Team participates in continuing education programs offered by the AICPA and California State Society of Certified Public Accountants, and each has met the continuing education requirements for municipalities. In addition, the firm offers at least 60 hours of in-house CPE annually focused mainly on municipal audits.

Professional Development:

The Firm maintains a comprehensive training program targeted at appropriate professional staff levels. It utilizes in-house developed educational programs, AICPA and California CPA Foundation educational programs, and on-the-job training.

The Firm’s annual training schedule which officially begins in April for all professional staff and administrative staff includes comprehensive in-house training sessions on such topics as:
 Review of principles of accounting and financial reporting for state and local governments  Review of governmental fund types and account groups
 Review of newly issued generally accepted auditing standards and GAO auditing standards
 Review of Internal Control evaluation approaches including COSO principles  Updates on recent governmental accounting and reporting guidelines  Review of Single Audit requirements and approaches
 Review of financial audit approaches
 Overview of audit and internal control work paper techniques  Review of GASB reporting requirements
 Review of current issues facing the governmental community During the year, professional staff members are sent to various educational sessions sponsored by the AICPA and California State Society of CPAs, as considered appropriate for the level and need of the individual. These classes include, among others:
 Governmental Financial Reporting Standards and Practices  Yellow Book: Government Auditing Standards
 Financial Accounting Standards: Comprehensive Review
 Single Audit
 Governmental Auditing & Accounting Update
 Governmental Accounting Principles
 Comprehensive Review of Generally Accepted Auditing Standards The result of the Firm’s training program is the production of a highly educated and competent municipal audit group capable of performing an efficient and effective audit for the City.

The Engagement Team members will continue their professional development efforts.

City of Hawaiian Gardens Technical Proposal
12 Staff Retention and Continuity:

The Firm's policy on providing service to our clients includes a commitment to maintaining continuity of audit personnel. We cannot guarantee that our staff will remain with the Firm.

However, to encourage our staff to remain with us, we pay competitive wage rates; offer promotional opportunities; provide state-of-the-art equipment and excellent working conditions; and offer various benefits, such as retirement plans, medical plans, profit sharing programs, educational benefits, and other such benefits. We can also guarantee that the partner will be involved in future years. Continuity of audit staff is of prime concern to us and because of the hands-on involvement of the partner; we can assure you that future years’ audits will be conducted in an efficient and effective manner with qualified and experienced professionals.

Resumes of each member of the Engagement Team follow.

City of Hawaiian Gardens Technical Proposal
13 Ahmed Badawi, Certified Public Accountant – Engagement Partner Length of Career
 Over twenty-five years of experience in municipal auditing and accounting with a special focus on cities
 Certified Public Accountant for the State of California Professional Experience
 Partial listing of clients served:
 Has performed numerous financial audits, Single Audits, Transportation Development Act audits, housing audits, electrical utility audits, RDA audits, PFA audits, and Trust Fund audits, and has prepared numerous Annual Comprehensive Financial Reports Education
 BS Degree in Accounting from the University of Alexandria, Egypt Professional Activities
 Member, CALCPA Government Accounting and Auditing Committee  Member, American Institute of Certified Public Accountants  Member, California Society of Certified Public Accountants  Member, Government Finance Officers Association
 Member, California Society of Municipal Finance Officers Continuing Education
 Has met the current CPE educational requirements to perform audits on governmental agencies Services Provided
Financial
Audit
Single
Audit
TDA
Audit
RDA
Audit
Enterprise
Fund Other
Cities/Towns:

Antioch x x x x x x
Atwater x x x x
Azusa x x x x x
Berkeley x x x x x x
Chino x x x x
Compton x
Crescent City x x x x x
Dinuba x x x x x
Dublin x x x x
Folsom x x x x x
Foster City x x x x x
Glendora x x x x x
Guadalupe x x x x x
Healdsburg x x x x x
La Verne x x x x
Lafayette x x x x
Larkspur x x x x
Lathrop x x x x
Lemon Grove x x x x
Millbrae x x x x x
Mountain View x x x x
Ontario x x x x x
Petaluma x x x x x x
Pomona x x x x x
Richmond x x x x x x
San Bruno x x x x x
San Carlos x x x x x x
San Luis Obispo x x x x
Sausalito x x x x
Scotts Valley x x x x x
Wasco x x x x x x
Counties:

Contra Costa County x x x x x
Santa Cruz County x x x x x
Special Districts and Other:

Alameda County Water District x x x
East Bay Regional Park District x x x
City of Hawaiian Gardens Technical Proposal
14 Samantha “Samo” Michel, Certified Public Accountant – Professional Audit Manager Length of Career
 Seven years of experience in municipal auditing
 Three seasons of experience in personal tax preparation  Certified Public Accountant for the State of California Professional Experience
 Has performed numerous financial audits, Single Audits, RDA audits, PFA audits, Transportation Development audits, and housing audits
Education
 BS, University of Washington, Seattle, WA
 Accounting, Foothill College, Los Altos Hills, CA
Professional Activities
 Member, California Society of Certified Public Accountants  Member, Forensic Services Section, California Society of Certified Public Accountants Continuing Education
 Various municipal accounting courses offered by the California Society of CPAs and local universities including:
- Governmental Financial Reporting Standards and Practices - Yellow Book: Government Auditing Standards
- Municipal Accounting
- Single Audit
 Has met the current CPE educational requirements to perform audits on governmental agencies Services Provided
Financial
Audit
Single
Audit
TDA
Audit
SCO
Report
PFA
Audit Other
Cities/Towns:

Antioch x x x x x
Barstow x x
Berkeley x x x x
Buena Park x x x x
Crescent City x x x
East Palo Alto x x x
Folsom x x x
Guadalupe x x x
Lathrop x x x x
Los Gatos x
Menlo Park x x x
Millbrae x x x
Pacifica x x x x x
Pismo Beach x x x
San Bruno x x x x x
San Carlos x x x x x
San Luis Obispo x x x x
San Mateo x x x x
Sausalito x x x
Union City x x x x x
Vacaville x x x x
Waterford x x
Yuba City x x x x
Counties:

Contra Costa County x
Special Districts and Other:

Amador County Transporation Commission x x
Amador Transit x x
Central County Fire District x
Elk Grove Water District x
Hayward Area Recreation District x x
Port of San Luis Harbor x
StopWaste x x
City of Hawaiian Gardens Technical Proposal
15 Everly Feng – Professional Assurance Senior
Length of Career
 Four years of experience in municipal auditing
Professional Experience
 Has performed numerous financial audits, Single Audits, RDA audits, PFA audits, Enterprise Fund and housing audits
Education
 BS Degree in Accounting from San Francisco State University Continuing Education
 Various municipal accounting courses offered by the California Society of CPAs and local universities including:
- Governmental Financial Reporting Standards and Practices - Yellow Book: Government Auditing Standards
- Municipal Accounting
- Single Audit
 Has met the current CPE educational requirements to perform audits on governmental agencies

Services Provided
Financial
Audit
Single
Audit
RDA
Audit
PFA
Audit
Enterprise
Fund Other
Cities/Towns:

Cotati x x
Dublin x x x x
Folsom x x x x
Lafayette x x
Lathrop x x
Lemon Grove x x
Los Altos x x
Mountain View x x x
Ontario x x x x x
Richmond x x x x
San Bruno x x
Sausalito x x
Victorville x x x x
Counties:

Contra Costa County x x
Special Districts and Other:

Hayward Area Recreation District x
Richmond Housing Authority x x
Ross Valley Fire Department x
Sacramento Metropolitan Fire District x x
Union Sanitary District x x x
City of Hawaiian Gardens Technical Proposal
16 Omar Rahman, Certified Public Accountant, Certified Information System Auditor – Information Technology Specialist
Length of Career
 Over ten years of experience auditing information technology (IT) processes and controls  Certified Public Accountant for the State of California  Certified Information System Auditor
Areas of Expertise
 IT risk consulting and audit services for governmental entities, private/public companies, nonprofits, and professional service organizations
 External and internal IT audit services in support of financial statement audits  Technical guidance/support on IT risks and controls in relation to SOX 404a and SOX 404b compliance, NIST 800-53/171a, Cyber Security Framework, HIPAA Technical Safeguards, CCPA/GDPR compliance, COBIT 2019 Framework
 Managed entire life cycle of IT internal and external audit engagements from planning research, audit program development, fieldwork and reporting
 Assess risks related to IT processes/assets and corresponding applications/tools  IT control testing over business automated controls, general IT controls, and cyber security controls as well as IT substantive testing over information systems.

Partial list of governmental clients served:
- City of Berkeley
- City of Chino
- City of Dinuba
- City of Dublin
- City of Healdsburg
- City of Jurupa Valley
- City of Lathrop
- City of Laverne
- City of Lemon Grove
- City of Ontario
- City of Mountain View
- City of Pomona
- City of Richmond
- City of San Carlos
- City of Sausalito
- City of San Luis Obispo
- City of Foster City
- City of Victorville
- Sacramento Metropolitan Fire District
- Sacramento Employment and Training Agency
- Union Sanitary District
Presentations
 November 2017 - Institute of Internal Auditors - General IT Controls for Internal Audit  December 2018 - Institute of Internal Auditors - SDLC Process and Audit/Risk Considerations  February 2019 - IT Audit for Business Process Professionals  May 2019 - IT Internal Audit Emerging Technologies: Data Analytics  September 2019 - Information Systems Audit and Control Association Education
 B.S. Degree in Economics, University of California, Los Angeles, CA.

Professional Activities
 Certified Public Accountant - California
 Certified Public Accountant - Ohio
 Certified Information System Auditor
City of Hawaiian Gardens Technical Proposal
17 Mitesh Desai, Certified Public Accountant – Engagement Quality Reviewer Length of Career
 Eighteen years of experience in municipal auditing with a special focus on cities  Certified Public Accountant for the State of California Professional Experience
 Has performed numerous financial audits, Single Audits, RDA audits, PFA audits, Transportation Development Act audits, and housing audits
Education
 BS Degree in Business Economics with an emphasis in Accounting from University of California, Santa Barbara
Professional Activities
 Member, American Institute of Certified Public Accountants  Member, California Society of Certified Public Accountants  Volunteer Member, GFOA Special Review Committee
Continuing Education
 Various municipal accounting courses offered by the California Society of CPAs and local universities including:
- Governmental Financial Reporting Standards and Practices - Yellow Book: Government Auditing Standards
- Municipal Accounting
- Single Audit
 Has met the current CPE educational requirements to perform audits on governmental agencies Financial Single RDA PFA Enterprise
Audit Audit Audit Audit Fund Other
Cities:

Albany X
Antioch X X X
Azusa X X X X
Berkeley X X X X X
Buena Park X X X X
Calimesa X X X
Crescent City X X X X X
Dablin X X X
East Palo Alto X X X X
El Cerrito X X X X X
Foster City X X X X X
Fremont X X X X X
Lemon Grove X X
Lindsay X X X
Menlo Park X X X
Millbraie X X X X
Newark X X X X
Oakdale X X X X
Pittsburg X X X X X
Placerville X X X X
Rio Vista X X X X
San Mateo X X X X X
Sebastopul X X X X
Solvang X X
Susanville X
Turlock X X X
Union City X X X
Vacaville X X X X X
Waterford X X X X
Yountville X X X
Yuba City X X X X
Child Care Programs:

Menlo Park Child Care X X
Stanislaus County Childcare X X
Non-profits:

Housing Endowment and Regional Trust X
Special Districts and Other:

Castro Valley Sanitary District X
Cosumnes Community Services District X
Marin Municipal Water District X
West County Wastewater District X X
X X
Services Provided
Contra Costa Child Development Programs
City of Hawaiian Gardens Technical Proposal
18 The tables below and on the following page are a partial listing of our clients similar to the City, and illustrates the many different types of components involved in each audit engagement that present very difficult and complex auditing and accounting challenges (in order of audit hours). ** Indicates cities with population over 50,000
** Indicates cities with governmental revenues over $100 million and population over 50,000 City Client Since Hours Engagement Partner Principal Contact Annual Comprehensive Financial Report GFOA Award RDA/Successor Agency Single Audit TDA Water Fund Sewer Fund SCO Report Housing Authority Enterprise Funds Pension Trust Fund ** Richmond 2020 2,338 Ahmed
Badaw i
Jerry Chak
Accounting Manager
(510) 620-6569
[email protected]

X X X X X X X X X
** Berkeley 2008 1,505 Mitesh
Desai
Henry Oyekanmi
Finance Director
(510) 981-7300
[email protected]

X X X X X X X X
** Victorville 2024 950 Ahmed
Badaw i
Carmen Cun
Finance Director/City Treasurer
(760) 955-3170
[email protected]

X X X X X X
San Carlos 2023 865 Ahmed
Badaw i
Paul Harris
Financial Services Manager
(650) 802-4217
[email protected]

X X X X X X X X
** Folsom 2019 786 Mitesh
Desai
Stacey Tamagni
Finance Director
(916) 461-6712
[email protected]

X X X X X X X
** Pomona 2023 756 Ahmed
Badaw i
Andrew Mow bray
Finance Director/City Treasurer
(909) 620-2353
Andrew .mow [email protected]

X X X X X X X X
** Mountain
View 2024 741 Ahmed Badaw i
Derek Rampone
Finance & Administrative Services
Director
(650) 903-6316
derek.rampone@mountainview .gov

X X X X X X X X
* Petaluma 2019 691 Mitesh
Desai
Corey Garberolio
Assistant Finance Director
(707) 778-4357
[email protected]

X X X X X X X X X
La Verne 2023 691 Ahmed
Badaw i
Christy Lopez
Finance Director
(909) 596-8752
[email protected]

X X X X X
Pittsburg 2024 683 Ahmed
Badaw i
Elena Adair
Finance Director
(925) 252-4848
[email protected]

X X X X X X X X X X
* San Luis
Obispo 2019 638 Mitesh Desai
Emily Jackson
Finance Director
(805) 781-7125
[email protected]

X X X X X X
Similar
Engagements
with Other
Governmental
Entities
City of Hawaiian Gardens Technical Proposal
19 City Client Since Hours Engagement Partner Principal Contact Annual Comprehensive Financial Report GFOA Award RDA/Successor Agency Single Audit TDA Water Fund Sewer Fund SCO Report Housing Authority Enterprise Funds Pension Trust Fund Chino 2023 621 Ahmed
Badaw i
Kim Sao
Director of Finance/City Treasurer
(909) 334-3354
[email protected]

X X X X X X
Lafayette 2020 586 Ahmed
Badaw i
Tim Przybyla
Finance Manager
(925) 299-3213
[email protected]

X X X X X
Lathrop 2023 585 Ahmed
Badaw i
Cari James
Finance Director
(209) 941-7320
[email protected]

X X X X X X X
Sausalito 2023 559 Ahmed
Badaw i
Angeline Loeffler
Finance Director
(415) 289-4150
[email protected]
X X X
Pacifica 2024 559 Ahmed
Badaw i
Lucy Xie
Deputy Finance Director
(650) 738-7392
[email protected]

X X X X X
Dinuba 2023 556 Ahmed
Badaw i
Karina Solis
Administrative Services Director
(559) 591-5900
[email protected]

X X X X X X X X
Millbrae 2015 550 Mitesh
Desai
Mike Sung
Finance Director
(650) 259-2433
[email protected]

X X X X X X X
** Dublin 2018 546 Mitesh
Desai
Jay Baksa
Finance Director
(925) 833-6648
[email protected]

X X X X X
Azusa 2017 540 Mitesh
Desai
Talika Johnson
Administrative Services Director
(626) 812-5202
[email protected]

X X X X X X X
Foster City 2023 540 Ahmed
Badaw i
Waqas Hassan
Assistant Finance Director
(650) 286-3204
w [email protected]

X X X X X X X
Jurupa Valley 2023 498 Ahmed
Badaw i
Susan Paragas
Finance Director
(951) 332-6464
[email protected]
X X
Glendora 2022 487 Ahmed
Badaw i
Kyle Johnson
Finance Director
(626) 914-8245
[email protected]

X X X X X X X X
San Bruno 2022 486 Ahmed
Badaw i
Nick Pegueros
Chief Financial Officer
(650) 616-7054
[email protected]

X X X X X X X X
City of Hawaiian Gardens Technical Proposal
20 City Client Since Hours Engagement Partner Principal Contact Annual Comprehensive Financial Report GFOA Award RDA/Successor Agency Single Audit TDA Water Fund Sewer Fund SCO Report Housing Authority Enterprise Funds Pension Trust Fund Healdsburg 2023 452 Ahmed
Badaw i
Katie Edgar
Finance Director
(707) 431-3184
[email protected]

X X X X X X
* Yuba City 2017 450 Mitesh
Desai
Diona Pope
Finance Director
(530) 822-4615
[email protected]

X X X X X X X X
Larkspur 2019 437 Mitesh
Desai
Emilia Gabriele
Administrative Services Director
(415) 927-5016
[email protected]
X X X
Wasco 2021 428 Ahmed
Badaw i
Rocio Mosqueda
Accounting Manager
(661) 758-7234
romosqueda@cityofw asco.org

X X X X X X X
Piedmont 2024 400 Ahmed
Badaw i
Kiran Baw a
Finance Director
(510) 420-3045
kbaw [email protected]
X X X
Pismo Beach 2022 389 Ahmed
Badaw i
Vanessa Garris
Finance Manager
(805) 773-7085
[email protected]

X X X X X X
Atw ater 2021 380 Ahmed
Badaw i
Anna Nicholas
Finance Director
(209) 357-6310
anicholas@@atw ater.org

X X X X X X
Orinda 2024 378 Ahmed
Badaw i
Douglas Alessio
Assist. City Manager/Admin. Serv. Dir.
(925) 253-4220
[email protected]

X X X X X
Lemon Grove 2022 377 Ahmed
Badaw i
Stacey Tang
Finance Director
(619) 825-3803
[email protected]

X X X X
Scotts Valley 2019 311 Mitesh
Desai
Stephanie Hill
Administrative Services Director
(831) 440-5614
[email protected]

X X X X X
Waterford 2018 311 Mitesh
Desai
Tina Envia
Finance Manager
(209) 874-2328 Ext: 104
tenvia@cityofw aterford.org

X X X X
Solvang 2019 308 Mitesh
Desai
Wendy Berry
Administrative Services Director
(805) 688-5575 x 205
w [email protected]

X X X X X X X
Guadalupe 2017 303 Mitesh
Desai
Janice Davis
Finance Director
(805) 356-3895
[email protected]

X X X X X
City of Hawaiian Gardens Technical Proposal
21 City Client Since Hours Engagement Partner Principal Contact Annual Comprehensive Financial Report GFOA Award RDA/Successor Agency Single Audit TDA Water Fund Sewer Fund SCO Report Housing Authority Enterprise Funds Pension Trust Fund Crescent City 2014 227 Ahmed
Badaw i
Linda Leaver
Finance Director
(707) 464-7483 x224
[email protected]

X X X X X X
City of Hawaiian Gardens Technical Proposal
22 The table below lists all special district engagements (in order of audit hours):

Special District Client Since Hours Engagement Partner Principal Contact Annual Comprehensive Financial Report GFOA Award Single Audit Enterprise Funds San Gabriel Valley
Council of Governments 2021 618 Ahmed Badawi
Rey Alimoren
Director of Finance
(626) 962-9292
[email protected]
No N/A X X
Sacramento
Employment and
Training Agency
2023 540 Ahmed
Badawi
Mario Maslac
Fiscal Chief
(916) 263-4020
[email protected]
No N/A X
Sacramento
Metropolitan Fire District 2023 519 Ahmed Badawi
Dave O'Toole
Chief Financial Officer
(916) 859-4300
[email protected]
Yes Yes X
County of Contra Costa
Community Services
Bureau Child
Development Program
2013 505 Mitesh
Desai
Alexandra Heinitz
Department Fiscal Officer
(925) 608-4948
[email protected]
No N/A
El Dorado Irrigation
District 2024 403 Ahmed Badawi
Penny Buchman
Finance Director
(530) 642-4139
[email protected]
Yes Yes X X
Union Sanitary District 2023 362 Ahmed
Badawi
Mark Carlson, CPA
CFO/Business Services Manager
(510) 477-7510
[email protected]
Yes Yes X
Florin Resource
Conservation District/
Elk Grove Water District
2015 350 Mitesh
Desai
Patrick Lee
Finance Manager / Treasurer
(916) 685-3556
[email protected]
Yes Yes X
Hayward Area
Recreation
and Park District
2017 350 Mitesh
Desai
Anne Maze
Administrative Services Director
(510) 881-6707
[email protected]
No N/A X
San Ramon Valley Fire
Protection District 2021 285 Ahmed Badawi
Davina Hatfield
Chief Financial Officer
(925) 838-6668
[email protected]
Yes Yes X
Monterey Bay Unified Air
Pollution Control District 2016 200 Mitesh Desai
Rosa Rosales
Administrative Services Manager
(831) 718-8019
[email protected]
No N/A
Ross Valley Fire
Department 2021 190 Ahmed Badawi
Jeff Zuba
Finance & Admin. Services Director
(262) 989-2208
[email protected]
No N/A
Southern Marin Fire
Protection District 2020 160 Ahmed Badawi
Alyssa Schiffmann
Finance Manager
(415) 388-8182
[email protected]
No N/A
Alameda County Waste
Management Authority
(StopWaste)
2018 154 Mitesh
Desai
Jennifer Luong
Finance Services Manager
(510) 891-6500
[email protected]
Yes Yes
Central County Fire
Department 2012 150 Mitesh Desai
Jan Cooke
Finance Director
(650) 375-7408
[email protected]
Yes Yes
City of Hawaiian Gardens Technical Proposal
23 Special District Client Since Hours Engagement Partner Principal Contact Annual Comprehensive Financial Report GFOA Award Single Audit Enterprise Funds Central Fire Protection
District of
Santa Cruz County
2018 150 Mitesh
Desai
Nancy Dannhauser
Finance Director
(831) 479-6842
[email protected]
No N/A
Marin Wildfire Prevention
Authority 2021 106 Ahmed Badawi
Alyssa Schiffmann
Finance Manager, SMFPD
(415) 952-5859
[email protected]
No N/A
City of Hawaiian Gardens Technical Proposal
24 The City desires an audit of the financial records for the City and an expression of an opinion in accordance with generally accepted accounting principles on the fairness of presentation of financial statements for the fiscal years ending June 30, 2026 through 2028, with the option of extending the contract for two (2) additional years.

The Firm will:
 Express an opinion on the fair presentation of its basic financial statements which includes but is not limited to the financial statements of governmental activities, each major fund and all aggregate remaining fund information in conformity with generally accepted accounting principles in the United States of America.
 Express an "in-relation-to" opinion on the fair presentation of its combining and individual non-major and fiduciary fund financial statements and schedules in conformity with generally accepted accounting principles. The Firm will provide an “in-relation-to” report on the supporting schedules contained in the Annual Comprehensive Financial Report based on the auditing procedures applied during the audit of the basic financial statements and schedules.
 Provide an “in-relation-to” report on the schedule of expenditures of federal awards based on the auditing procedures applied during the audit of the financial statements.  Perform the audit in accordance with generally accepted auditing standards accepted in the United States of America, applicable to the financial audit contained in the Government Auditing Standards issued by the Comptroller General of the United States and the provisions of the Uniform Guidance, Audits of States, Local Governments and Non-Profit Organizations.
 Perform limited procedures on supplementary information required by the Government Accounting Standards Board.
 Issue the following reports, following the completion of the audit of the fiscal year’s financial statements:
 Independent Auditor’s Report on Financial Statements and Schedule of Expenditure of Federal Awards
 Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards
 Independent Auditor’s Report on Compliance with Requirements Applicable to Each Major Program and Internal Control over Compliance in Accordance with the Uniform Guidance
 Schedule of Findings and Questioned Costs
 Auditor’s Communication with Those Charged with Governance  Annual Comprehensive Financial Report following the requirements and guidelines of the GFOA award program
 Gann Limit Agreed-upon Procedures
 Provide special assistance to the City as needed.
 Retain all working papers and reports at the audit firm’s expense for a minimum of 7 years.

In addition, make working papers available to the City and/or any government agency as appropriate.

Should any conditions be discovered requiring corrective action, the Firm will provide a detailed description of the findings and recommended actions as to their resolution.

Understanding
of Services to
be Provided
City of Hawaiian Gardens Technical Proposal
25 The Firm will submit a report to the City’s Council and management detailing auditor’s responsibility under generally accepted auditing standards, significant accounting policies, management judgments and accounting statements, significant audit adjustments, other information in documents containing audited financial statements, disagreements with management, management consultations with other accountants, major issues discussed with management prior to retention, difficulties encountered during the audit, and any significant deficiencies or material weaknesses found during the audit. Non-material instances of noncompliance will be reported in a separate management letter, if appropriate, along with any other observations or recommendations determined to be informative to City Management.

The Firm will be available to provide advice and counsel regarding significant matters during the year.

The Firm’s Partner and Staff welcome the opportunity to make presentations to the City Council and will be ready to respond to questions from the Council and citizens of the City.

Objectives of Our Services
The basic objective of our audit of the City is to conduct an examination of the financial statements in accordance with generally accepted auditing standards and to express our opinion on the fairness of presentation of such financial statements in conformity with generally accepted accounting principles.

Additionally, we believe that another real value of our audit lies in meeting other objectives at no additional cost. The following are other objectives of our services that have important benefits to the City:
 To offer substantive observations and recommendations relating to accounting and operating control policies and procedures.
 To identify opportunities for operating efficiencies and isolate candidate activities for cost reduction opportunities.
 To perform a professional audit in an efficient and effective way to minimize disruption to the office operations.
 To offer ongoing advisory services to assist in the running of the operation and implementation of improved operating procedures.

The engagement will be conducted within the framework of the Firm's quality control program which includes the use of audit programs, careful planning, use of computerized audit software and internal control evaluation and documentation software, and objective review procedures.

On-site staff will use Firm supplied portable computers and printers.

Audit Approach
The specific audit approach has been designed to efficiently and effectively address the audit requirements of the City, to perform the audit of the City’s financial records in a timely manner with minimal disruptions to office operations, and to meet the City’s timeline.

The audit will be conducted in accordance with:
1) Generally accepted auditing standards established by the AICPA. 2) The standards contained in Government Auditing Standards issued by the GAO. 3) Provisions of the Single Audit Act and the Uniform Guidance. 4) Requirements issued by the California State Controller’s office. 5) Other requirements as required.

Specific Audit
Approach
City of Hawaiian Gardens Technical Proposal
26 We will conduct the necessary audit steps to perform:
 Planning of the engagement
 Evaluation of the existing internal control environment to determine degree of risk of material misstatement
 Determination of degree of compliance with laws, regulations, grant provisions, and City approved policies
 Assessment of potential fraudulent issues
 Validation of account balances
 Verification of reasonableness of management estimates Technical Approach
We use an industry specific audit approach tailored to governmental entities. Our governmental audit approach addresses the special risks and circumstances of local governments. As a result, the audit is conducted efficiently and effectively with minimal disruption to your staff.

The core of our governmental technical audit approach can be summarized as follows:

1. Planning, Understanding and Communication:

Based on our previous audit experience, using the budget, organizational charts, manuals and other financial information systems and our knowledge of how governments work, we will obtain an insight to the specific concerns and sensitivities of the City. Our understanding is updated continuously through our year-round contact and communication efforts. We will agree on common audit objectives and expectations with management before audit work begins and, throughout the audit, will meet regularly with management to discuss audit issues and to gather feedback.

2. In-Depth Review of Systems and Controls:

We have developed diagnostic reviews which enable us to evaluate your systems and controls, and to provide management with constructive feedback. Combined with our knowledge of the City and understanding and experience with the City’s accounting software, our control review will form the basis of our audit risk assessment. We will utilize the COSO approach in our evaluation of the City’s internal processes to identify potential control deficiencies. In future years, we will update our understanding through similar procedures.

3. Risk-Based Customized Testing Program:

Our audit approach is tailored to governmental applications. We will use audit programs specifically designed to address the operational environment of governmental entities. Our approach will identify potential control risks and the opportunities for risk of material misstatements and fraud. We will evaluate the various risk assessments and identify the potential risks relating to the:
 Balance Sheets / Statement of Net Position
 Statement of Revenues and Expenditures / Statement of Activities  Presentation
 Disclosure
Our audit procedures will then be developed to address these risk areas.

4. Expanded Interim Fieldwork:

Timeliness and audit efficiency is enhanced by performing extensive interim work. Partners, managers and senior staff work with City staff to identify and resolve potential audit issues early. Accordingly, the amount of audit work to perform at year end is minimized. Because our audit staff is familiar with the operations before year-end fieldwork begins, disruption of accounting staff is minimized.

City of Hawaiian Gardens Technical Proposal
27 5. Smooth Transition:

Our testing program focuses on audit risks identified by our understanding of the City’s operations. We will work with the accounting staff to identify the most effective ways to address our objectives. Communication between the members of the audit engagement team and City staff will be fluid and continuous.

6. Sample Size and Sampling Techniques:

Our audit approach will include sampling activities. Population size and the level of assurance to be derived from a particular test will dictate the sample size. We use sampling in our audit approach to compliment skilled judgment and knowledge of the particular situation. Our sample size will range normally from 25 to 60 items.

7. Automated Systems:

We will evaluate controls over the IT functions to assess control risk. We intend to test controls for purposes of reliance. Our review procedures will evaluate controls over:
 Security Management
 Logical and Physical Access
 Configuration Management
 Segregation of Duties
 Contingency Planning
In addition, we will review controls over:
 Input, processing, output, master data
 Application interface
 Data management system interface
Our information Technology Specialists will evaluate the IT operating control environment.

8. Analytical Procedures:

We use analytical procedures in several aspects of our audit. Extensive knowledge and industry background are required for effective analytics, and our staff possesses the appropriate experience and knowledge for the City to benefit from these procedures.

9. Approach to be Taken in Determining Laws and Regulations Subject to Audit Test Work:

We continuously refer to specific regulations, compliance supplements, state guidelines and contracts currently in force. We perform the procedures required related to laws and regulations, using inquiries, observations and sampling techniques. Some of the laws and regulations that we believe may be applicable to the City are the requirements of the California Public Utilities Commission, Single Audit Act and other applicable laws and regulations, including the California Government Code, provisions of applicable Grant guidelines, California Constitution Gann Limit requirements, requirements of local measures, Child Care Program compliance requirements, etc.

10. Report Format:

We will meet with City Management to review report formats. Any report format changes will be made in conjunction with approval from City Management.

11. Work Plans:

The detailed work plans will be designed to efficiently and effectively address the audit requirements of the City in accordance with generally accepted auditing standards, to perform the audit of the City’s financial records in a timely manner with minimal disruptions to office operations, and to meet the City’s timeline.

City of Hawaiian Gardens Technical Proposal
28 12. Adjusting Journal Entries:

We will discuss and explain proposed audit adjusting entries with the City’s designated Finance Department personnel prior to recording. Audit adjusting entries will be provided in a format showing the lowest level of posting detail needed for data entry on the City’s general ledger system.

13. Listing of Schedules and Tables (anticipated to be prepared by the City):

Based on preliminary inquiries made with management and City staff and review of documents, we will tailor a list of schedules, tables, and other reconciliations required for the audit. We will take into account as much as possible reconciliations already prepared by the City for day to day operations and reporting, as well as any reports that are system generated to limit the need for additional City staff hours.

The following is a listing of some of the significant reconciliations and schedules that we would normally expect the City to provide to us in assisting us in conducting our fieldwork.  Trial Balance
 Annual Comprehensive Financial
Report Account Rollup Schedules
 Budget to Actual Reports
 Bank Reconciliations
 Listing of manually prepared journal
entries posted
 Summary of Investments held by the
City
 Capital Asset Schedules
 Long Term Debt Schedules
 Debt Amortization Schedules and
Calculations of deferred amounts
 Calculations of any debt covenants
amounts or percentages
 Schedule of Leases
 Schedule of Expenditures of Federal
Awards
 Analysis of Deferred Inflows of
Resources and Deferred Outflows of
Resources
 Reconciliation of Receivables to
subsidiary ledgers
 Calculations for estimate of allowance
for uncollectible accounts
 Loans Receivable Schedules
 Reconciliation of Significant Revenue
Accounts
 Fee Schedules
 Compensated Absences Schedules
and Copies of Related Policies
 Claims Payable Schedules
 Pension and OPEB Rollforward and
Supporting Schedules
 GASB 54 Fund Balance Rollforward
Schedule
 Interfund Transaction Schedules
City of Hawaiian Gardens Technical Proposal
29 The Firm maintains a variety of specialized software packages during the audit that enable us to perform an efficient, thorough, and timely audit and keeping time demands on City staff to a minimum.

Trial Balance Management and Financial Statement Preparation ProSystem Fx Engagement allows us to import and manage multiple years of trial balance data including budgetary information, create multiple account groupings, generate reports, post journal entries proposed during the audit (including GASB 34 conversion entries), and link information directly to the financial statements. This gives us the ability to:
 Generate immediate trend and other comparative analysis of trial balance and budget data prior to the start of the audit. This allows us to identify potential issues and make inquiries early in the audit
 Link the financial statements and footnotes prior to the start of the audit allowing us to have majority of the financial statements (including budgetary comparison schedules and other supplementary information) prepared at the time the trial balance is uploaded  Audit adjustments or City adjustments provided during the audit are automatically reflected in the financial statements
Audit Request Management and Document Exchange
Teamwork Project Management (“Teamwork”) is a secure, cloud-based collaboration platform that our Firm now uses to manage the “Prepared by Client (PBC) List” that streamlines the process of requesting, receiving, and keeping track of documents. Teamwork helps to facilitate the engagement through seamless collaboration between the Firm and our clients. By utilizing Teamwork, the City can do all of the following in one secure virtual environment:
 Attach files of any type to document requests
 Easily track the status of document requests
 Access templates and documents from us that require completion  Have multiple City staff get involved and assist in the audit process  Participate in a dialog for questions and notes
We have found that the use of the PBC List in Teamwork has helped our clients be always informed as to the status of their audit, and not be surprised with new requests or follow up on outstanding requests previously provided.

Audit Reporting Phase Management
Teamwork is also used by our Firm to manage the reporting phase of the audit, including timeline, key milestones, draft reviews, and final deliverables. With Teamwork, the entire reporting process and related communications are organized within one centralized project space. Using Teamwork, the City can:
 View the reporting timeline and track upcoming due dates and milestones  Easily see which items are pending, under review, or completed.  Access and review draft versions of reports in a single location  Receive notifications when new drafts or updated versions are uploaded  Participate in proof and review workflows for report approvals prior to final issuance.

We have found that managing the reporting phase of the audit using Teamwork has helped our clients always be informed as to the status of their reports and deliverables.

Use of
Technology
in the Audit
City of Hawaiian Gardens Technical Proposal
30 Computer Aided Audit Tools (CAATs)
The Firm’s data analytics software enables our Engagement Team to perform more than 150 Computer Aided Audit Tools (or “CAATs”). CCH Teammate Analytics gives us the ability to perform advanced data analysis and increase efficiency. By utilizing this software, we can:
 Immediately visualize and analyze 100% of account populations with graphs, charts and statistics to identify anomalies
 Make fewer sample selections that are targeted to problematic areas  Quickly analyze transactional data for:
o Duplicate records
o Missing transactions
o Transaction sequence
o Unusual items
 Compare excel worksheets for changes or differences
 Generate immediate testing samples
 Perform regression analysis
 Filter and extract data from City reports
Audit Planning, Risk Assessment, and Audit Programs
Our firm utilizes CCH Knowledge Coach, which is an expert system that adapts and customizes our audit approach specifically based on the City’s structure, operating environment, specific transactions, and identified risks or matters to be addressed in the audit. The software is frequently updated for new industry trends and audit requirements. Included in the software is a continuous diagnosis of audit forms that identifies missing information, procedures, or any conflicts that need to be addressed prior to issuance of the audit report. We have found that this audit tool greatly benefits our audit clients in the following ways:
 Removal of standardized audit steps and procedures that do not add value to the audit  Targeted audit procedures focusing on risks and accounts specific to the City’s operations
 Audit is always performed in accordance with audit standards especially the risk assessment standards
 Maximizing audit efficiency having less City staff time dedicated to gathering information or responding to inquiries by focusing on material issues  Automatic self-diagnostics ensure no audit steps are missed, guaranteeing a quality audit
Research Tools
We maintain multiple research software packages that are always kept up to date to ensure compliance with accounting and auditing standards and are also a resources for us to provide guidance to our clients. In addition to accounting and audit literature, we have access to interactive disclosure checklists that include sample footnote disclosures and financial statements.

City of Hawaiian Gardens Technical Proposal
31 2026
Period Audit Tasks

April - May - Planning and Administration
 Review and obtain copies of key work papers of prior audit firm.  The entrance conference shall be held with City staff. The purpose of this meeting will be to discuss prior audits and the interim work to be performed. This meeting will also be used to establish overall liaison for the audits and to make arrangements for workspace and other needs
 Review and evaluate the City's accounting and financial reporting.

Prepare an overall memo of recommendations, potential issues, and suggestions for improvements
 Prepare overall memo to the City confirming audit procedures, timing, and assistance
 Prepare detailed audit work plan and audit programs, audit budget and staffing schedule, and list of schedules to be prepared by the City staff
 Send the Teamwork PBC List to the City that will include all request items considered to be necessary for the audit
July - August - Internal Control Evaluation
 Meeting with City Manager and Department Heads of other departments with large operating budgets or which have significant federal grant expenditures
 Attending City Council meetings
 Meeting with off-site locations
 Meeting with key Finance Department personnel
 Obtain and document understanding of key internal control systems through walk-throughs, interviews of staff, and review of supporting documentation
o General ledger system
o Budgeting system
o Revenue, accounts receivable, and cash collections
o Purchasing, expenditures, accounts payable, and cash
disbursements
o Payroll
o Federal Financial Assistance
o Other systems
 Identify control risks
 Evaluate IT control environment
 Perform testing of the internal control system and evaluate the effectiveness of the City’s systems. Select large dollar and random samples of transactions in key operating systems. Sample size to meet required level for determined degree of risk. Review supporting documentation of selected transactions, evaluate adequacy of support and approvals, and conclude on degree of adherence to accuracy and compliance with City policies  Conduct fraud assessment procedures
 Assess degree of risk for material misstatement
 Provide to the City’s management a memo concerning
management letter points and identify issues, if any
Audit
Schedule
City of Hawaiian Gardens Technical Proposal
32 2026
Period Audit Tasks

July - August - Other Tasks
 Review minutes of City Council meetings and other key committees  Perform preliminary substantive procedures, which would include tests of:
o Vendor and contractor payments
o Payroll expense
o Pension and OPEB testing
o Capital asset acquisitions
o Journal entries
o Retrospective review of accounting estimates
 Financial statement database management and other setup, in addition to drafting of all necessary report templates
 Preliminary Single Audit and other compliance testing  Coordinate with City staff and prepare of all appropriate confirmation requests including:
o Bank accounts
o Investment pool accounts
o Accounts receivable
o Federal grants
o Revenue from governmental agencies
o Bond and other debts
o Pension plan
o Attorney letters
o Others, as required
 Update the Teamwork PBC List with any additional requests that will be needed for the City's audit
 Provide the City with audit plan and list of year-end audit schedules  Hold progress conference with City Management
 Hold exit conference with City Management
September -
October
- Final Fieldwork
 Entrance conference with City Management
 Follow-up on all outstanding confirmations
 Verify and validate account balances by reviewing supporting documentation including invoices, vouchers, council resolutions, minutes, and other documents, as required
 Perform analytical review of revenue and expenditures. Determine reason for material differences between budget and actual  Perform a search for unrecorded liabilities by reviewing disbursements subsequent to June 30, testing terms of contractual obligations, and interviewing City staff
 Perform review of subsequent events by discussions with City Management and update all minutes of City Council and key committees
City of Hawaiian Gardens Technical Proposal
33 2026
Period Audit Tasks

- Single Audit Compliance
 Entrance conference with City Management
 Obtain Federal Financial Assistance Schedule
 Determine grants to be considered as major programs including clusters
 Perform audit tests of major grant programs and compliance with Federal Law and Regulations
 Review grant documents, select sufficient number of transactions to test for compliance of Federal Requirements
 Coordinate Single Audit efforts with the Financial Audit efforts  Communicate findings to City Management
 Other Compliance
November - Audit Reports
 Complete drafts of City’s Annual Comprehensive Financial Report  Prepare draft of Single Audit Reports concerning internal control structure, compliance with laws and regulations, and administering of federal financial assistance programs
 Prepare other reports as required
 Provide revised final drafts of all required reports to the City for approval
November
30th
- Final City Audit Reports, Financial Statements, Single Audit Reports, and other reports delivered by no later than November - 30th.

December - Audit Presentation to Council (if requested) - Single Audit Report package submitted to Federal Audit Clearinghouse
Note: the proposed audit schedule above can be adjusted as necessary based on the needs of the City.

Estimated Hours by Audit Phase
Position Planning
Interim
Fieldwork
Year End
Fieldwork Reporting Total
Partner 5 7 14 5 31 Audit Manager 4 18 15 7 44 Audit Senior 2 21 37 11 71 Professional Audit Staff - 41 79 10 130 IT Specialist - 7 - - 7 Administrative Assistant 4 1 6 7 18 Total 15 95 151 40 301 City of Hawaiian Gardens Technical Proposal
34 Identification of Anticipated Potential Audit Problems We do not anticipate that there will be any audit problems at the City. However, the following are some areas that we will carefully investigate and monitor during our audit procedures:
 Financial Reporting:
 Review and evaluate that the City’s Annual Comprehensive Financial Report is in compliance with current reporting and disclosures requirements issued by the GASB and GFOA.
 Review the Annual Comprehensive Financial Report for financial reporting conformance awards issued by CSMFO and GFOA.
 Review and evaluate degree of compliance with the various GASBs in effect.  Review degree of compliance with infrastructure obligations and regulatory provisions.  Internal Control Structure:
 Review and evaluate the City’s internal control functions and ascertain compliance with proper internal control philosophies.
 Review computer system processes and controls and evaluate adequacy of the control environment.

Several new GASB pronouncements will become effective over the time period of this proposal.

As such, specific attention will be provided to determine the proper implementation of these new pronouncements. A list of known new pronouncements with implementation dates that fall within this proposal period are as follows:
2026
 Statement 103 – Financial Reporting Model Improvements  Statement 104 – Disclosure of Certain Capital Assets
2027
 Statement 105 – Subsequent Events

Discussion of
Relevant
Accounting
Issues
City of Hawaiian Gardens Technical Proposal
35 A client relationship with the City will be of great value to our Firm and we welcome the opportunity to develop a long-term relationship with the City. We are committed to:
 Rendering the highest standard of service
 Developing a long-term working relationship dedicated to meeting the needs of the City  Assisting the City in operational issues
 Producing a quality end-product
We have the technical qualifications and experience to provide the level of service desired and expected by the City and stand ready to provide our knowledge and experience for the benefit of your organization.

We would like to express our appreciation to the City and to its Staff for allowing us the opportunity to submit a proposal to perform professional auditing services. We are available, at your convenience, to discuss any aspects of our proposal.

Thank you for allowing us to present our Firm to you.
* * * * * * * * * * * * * * * * *

Conclusion
City of Hawaiian Gardens Technical Proposal
36 References
1) City of Lafayette
 Scope of Work: Annual Comprehensive Financial Report, Single Audit, SAS 114, Gann Limit, TDA, Lamorinda Fee and Finance Authority Report, Lamorinda School Bus Transportation Agency Report, State Controller’s Report  Engagement Partner: Ahmed Badawi (2020 – Present)
 Address: 3675 Mount Diablo Blvd., #210, Lafayette, CA 94549  Principal Contact:

Mr. Tim Przybyla
Finance Manager
(925) 299-3213
[email protected]
2) City of Sausalito
 Scope of Work: Annual Financial Report, SAS 114, Gann Limit, State Controller’s Reports
 Engagement Partner: Ahmed Badawi (2023 – Present)
 Address: 420 Litho Street, Sausalito, CA 94965
 Principal Contact:

Ms. Angeline Loeffler
Finance Director
(415) 289-4150
 [email protected]
3) City of San Carlos
 Scope of Work: Annual Comprehensive Financial Report, SAS 114, Gann Limit, Measure A, Measure M, Measure W, C/CAG Audit, C/CAG Single Audit, State Controller’s Report
 Engagement Partner: Ahmed Badawi (2023 – Present)
 Address: 600 Elm Street, San Carlos, CA 94070
 Principal Contact:

Mr. Paul Harris
Financial Services Manager
(650) 802-4217
[email protected]
4) City of La Verne
 Scope of Work: Annual Comprehensive Financial Report, Single Audit, SAS 114, Gann Limit, Measure LV, State Controller's Report
 Engagement Partner: Ahmed Badawi (2023 – Present)
 Address: 3660 “D” Street, La Verne, CA 91750
 Principal Contact:

Ms. Christy Lopez
Finance Director
(909) 596-8752
[email protected]
5) City of Victorville
 Scope of Work: Annual Comprehensive Financial Report, Single Audit, SAS 114, Victorville Water District, Southern California Logistics Airport Authority, Gann Limit Agreed-upon Procedures
 Engagement Partner: Ahmed Badawi (2024 – Present)
 Address: 14343 Civic Drive, Victorville, CA 92393
 Principal Contact:

Ms. Carmen Cun
Finance Director/City Treasurer
(760) 955-3170
[email protected]
Appendix
City of Hawaiian Gardens Technical Proposal
37 Exceptions to the Contract
With regard to the sample contract, RFP Attachment B, Professional Services Agreement, we would like to edit the below paragraphs as follows:

3.7.1 Accounting Records. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement, excluding Consultant’s audit workpapers. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.7.4.1 Documents & Data; Licensing of Intellectual Property. Unless such property is proprietary in nature, this Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in reports, plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). All Documents & Data shall be and remain the sole property of City, and shall not be used in whole or in substantial part by Consultant on other projects without the City’s express written permission. Consultant shall allow representatives of City, of any government agencies included in the audit of federal grants, and of any of the City’s successor auditors, during normal business hours to examine, audit, and make transcripts or copies of Documents & Data. Within thirty (30) days following the completion, suspension, abandonment or termination of this Agreement, Consultant shall provide to City reproducible copies of all Documents & Data, in a form and amount required by City. City reserves the right to select the method of document reproduction and to establish where the reproduction will be accomplished. The reproduction expense shall be borne by City at the actual cost of duplication. In the event of a dispute regarding the amount of compensation to which the Consultant is entitled under the termination provisions of this Agreement, Consultant shall provide all Documents & Data to City upon payment of the undisputed amount. Consultant shall have no right to retain or fail to provide to City any such documents pending resolution of the dispute. In addition, Consultant shall retain copies of all Documents & Data on file for a minimum of fifteen (15) years following completion of the Project, and shall make copies available to City upon the payment of actual reasonable duplication costs. Before destroying the Documents & Data following this retention period, Consultant shall make a reasonable effort to notify City and provide City with the opportunity to obtain the documents.

Attachment C
Review of Proposals for Auditing Services
FY 2025-2026 through FY 2029-2030
Firm Name Gruber &
Associates
Badawi &
Associates
Vasquez &
Company,
LLP
RAM
Rogers
Anderson
Malody &
Scott
Total Proposed
Costs
FY 2025-2026 $36,100 $39,815 $45,000 $50,385
FY 2026-2027 $36,822 $41,009 $46,350 $50,385
FY 2027-2028 $37,558 $42,240 $47,741 $52,150
FY 2028-2029 $38,309 $43,507 $49,173 $53,510
FY 2029-2030 $39,076 $44,812 $50,648 $53,510

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B8
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Pablo Rubio, City Clerk
RECOMMENDATION:

Recommendation to adopt Resolution No. 005-2026, approving applications for the sale of Safe and Sane Fireworks from Fireworks Stands in the City of Hawaiian Gardens for the 2026 Independence Day Celebration.

SUMMARY
The City Clerk's Office received three (3) applications for the operation of Safe and Sane Fireworks and Fireworks Stands Permits, pursuant to the Hawaiian Gardens Municipal Code ("HGMC"). The applicants, with the approval of the City Council, will be granted and/or denied a permit to conduct the sale of fireworks from properly approved fireworks stands at various locations within the City, as listed on the attachment.

At this time, the City Clerk's office is recommending the approval of all three (3) applicants.

DISCUSSION
Pursuant to the HGMC, Chapter 6.28, the City Clerk's Office has received applications requesting fireworks permits and has conducted the required investigation. The City Clerk recommends that the following three (3) applicants be approved and that permits be issued pursuant to the HGMC.

1. Artesia HS Band Boosters: CVS Shopping Center

2. Crossroads Multi-National Nazarene Church: Food 4 Less

3. Lakewood-Bellflower Elks Lodge #888: Elks Lodge #888 The City Clerk's Office is recommending approval based on the findings that the applicants have met the requirements set forth by HGMC Section 6.28.050.

Agenda Item #B8
May 13, 2026

Page 2 ends

FISCAL IMPACT
The fiscal impact is minimal. Approved applicants are responsible for paying the permit fees.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENTS
A. Resolution No. 005-2026
1 CITY OF HAWAIIAN GARDENS
RESOLUTION NO. 005-2026

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HAWAIIAN

GARDENS, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA,

APPROVING APPLICATIONS FOR THE SALE OF SAFE AND SANE

FIREWORKS FROM FIREWORKS STANDS IN THE CITY OF HAWAIIAN GARDENS FOR THE 2026 INDEPENDENCE DAY CELEBRATION
WHEREAS, the City Council of the City of Hawaiian Gardens permits the sale of Safe and Sane Fireworks within the City of Hawaiian Gardens pursuant to the Hawaiian Gardens Municipal Code Chapter 6.28; and
WHEREAS, the City Council of the City of Hawaiian Gardens shall have the power in its discretion to approve, conditionally approve or to deny applications for the conduct and sale of Safe and Sane Fireworks from fireworks stands within the City of Hawaiian Gardens, per Chapter 6.28 of the Hawaiian Gardens Municipal Code, hereafter referred to as ''HGMC"; and
WHEREAS, the City Clerk's Office has received three (3) applications for Fireworks Permits from local non-profit organizations requesting to be allowed to conduct the sale of Safe and Sane Fireworks within the City of Hawaiian Gardens; and WHEREAS, the City Clerk's Office has reviewed these applications for Fireworks Permits to determine compliance by these non-profit organizations, as required by Section 6.28.050 of the HGMC and these qualifying organizations are identified as part of Exhibit "A' to this resolution; and
WHEREAS, the applicants listed on Exhibit "A" must comply with the provisions of the County of Los Angeles Fire Code; California State Health and Safety Code; the Standard List of Conditions as referenced herein as Exhibit "B" and all the operation regulations and Fireworks Stand restrictions as set forth in Chapter 6.28 of the HGMC.

WHEREAS, the current three (3) applicants must comply with any and all corrections and submittals required by the City Clerk's Office for full compliance with the HGMC, by the deadline set by the City Clerk, prior to final approval and issuance of the Fireworks Permit.

NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF HAWAIIAN GARDENS AS FOLLOWS:

Section 1. The City Clerk's Office is hereby authorized to issue Fireworks Permits to those non-profit organizations as listed in Exhibit "A" of this resolution, subject to the Conditions of Approval as imposed by the City Council.
2 Section 2. The City Clerk's Office and the Los Angeles County Fire Department are directed to verify compliance with all applicable State, County, and City Codes, Ordinances, Regulations, and the Standard List of Conditions, as listed in Exhibit "B" of this resolution.

Section 3. The Mayor of the City of Hawaiian Gardens is hereby authorized to affix his/her signature to this Resolution signifying its approval and adoption by the City Council of the City of Hawaiian Gardens.

Section 4. The City Clerk of the City of Hawaiian Gardens, or his/her duly appointed Deputy, is hereby directed to attest hereto; and shall cause this Resolution and its certification to be entered into the Book of Resolutions of the City Council of the City of Hawaiian Gardens.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Hawaiian Gardens, California on this 13
th day of May 2026.

CITY OF HAWAIIAN GARDENS
___________________________

MARIA TERESA DEL RIO
MAYOR
ATTEST:
___________________________

PABLO RUBIO

CITY CLERK
EXHIBIT “A”

NON-PROFIT ORGANIZATIONS

APPLICANTS FOR APPROVAL

FIREWORK STAND LOCATION
AND

PROPERTY OWNER
1 ARTESIA HS BAND BOOSTERS
Adauca Gomez
12108 Del Amo Blvd. Lakewood, CA 90715
REP: TNT, Maria Oritz
CVS Shopping Center
12221 E. Carson St.

Hawaiian Gardens, LLC
2 IGLESIA DEL NAZARENO DIAS DE GLORIA
Hector Alvizures
12229 Del Amo Blvd.

Cerritos, CA 90703
REP: TNT, Maria Ortiz
Food 4 Less
12222 Carson St.

Ralphs Grocery Company
3 LAKEWOOD-BELLFLOWER ELKS LODGE #888
Diane Hoback
12507 E. Carson St.

Hawaiian Gardens, CA 90716
REP: Phantom, Jahayra Solis
Elks Lodge #888
12507 Carson St.

Elks Lodge
EXHIBIT "B"

STANDARD LIST OF CONDITIONS FOR FIREWORKS STANDS
Pursuant to the Hawaiian Gardens Municipal Code (Chapter 6.28) all the following conditions are mandatory and shall be followed and complied with during the duration of this permit.

1. Approval shall not take effect for any purpose until the applicant and the property owner has filed with the City of Hawaiian Gardens a signed affidavit stating that the applicant and property owner are/is aware of and accepts all the conditions of approval set forth by Resolution No. 005-2026 and/or any conditions of approval set forth by the City Council on the letter of approval.

2. THE ADOPTED RESOLUTION, WITH THESE CONDITIONS, SHALL BE POSTED IN A VISIBLE LOCATION IN THE FIREWORKS STAND AT ALL TIMES.

3. Failure to comply with the conditions set forth in the adopted resolution will result in a citation being issued and/or revocation proceedings, which will automatically and immediately shut down the operation by any official of the Fire Department or the City Building Official.

4. SET-UP AND TEAR-DOWN
Activities carried out as part of this fireworks permit shall occur only during the following times and dates:
a) SET UP AND TEAR DOWN of the stands shall take place between the hours of 8:00 AM and 7:00 PM.
b) NO FIREWORKS STAND SHALL BE ERECTED before Saturday, June 20, 2026 at 8:00 AM. (HGMC 6.28.090(I))
c) The premises on which the FIREWORKS STAND IS ERECTED SHALL BE CLEARED of all structures and debris, no later than Wednesday, July 8, 2026 at 12:00 PM. (HGMC 6.28.090(I))

5. SALES OF FIREWORKS
Carried on as part of this permit shall occur as follows:
a. SALES MAY BEGIN no earlier than twelve noon (12:00 PM) on Wednesday, July 1, 2026. (HGMC 6.28.010).
b. SALES SHALL END no later than nine (9:00 PM) on Saturday, July 4, 2026. (HGMC 6.28.010).
c. HOURS OF OPERATION OF SALES shall take place between 8:00 AM and 9:00 PM, with the exception of section 5.a (above).
d. All retail sales of Safe and Sane Fireworks shall be permitted only from a temporary fireworks stand and the sale from any other building, structure, or other location is prohibited.
e. No fireworks shall be sold or offered for sale within the City, which are classified as dangerous fireworks as defined by the Health and Safety Code of the State of California.
f. Only sales of Safe and Sane Fireworks shall be permitted from the stands. Sale of any other goods or merchandise is hereby strictly prohibited from the stand.

6. FIREWORKS STANDS – OPERATION STANDARDS
a. No person other than the licensee organization shall operate the stand for which the license is issued, or share or otherwise participate in the profits of the operation of such stand.
b. No person other than the individuals who are members of the licensee organization, or the spouses or children thereof, sixteen (16) years of age or older, shall sell or otherwise participate in the sale of fireworks at such stand. There shall be at least one supervisor, twenty-one (21) years of age or older, on duty at all times.
c. No person shall be paid a consideration for selling or otherwise participating in the sale of fireworks at such stands.
d. Each person, group or organization shall be limited to one permit per year and each permit shall be limited to one (1) stand.
e. No fireworks shall be ignited within one hundred (100) feet of the stand. f. No activities shall be conducted in a manner which disturbs, accosts, confronts, harasses, badgers, or annoys any person.

7. FIREWORKS STAND – DESIGN AND LOCATION RESTRICTIONS
a. Fireworks stands need not comply with the provisions of the Building Code of the City; provided, however, that all stands shall be erected under the supervision of the City’s Building Inspector who shall require that stands be constructed in a manner which will reasonably ensure the safety of attendants and patrons. b. Stands erected without the supervision of the City's Building Inspector, shall request an inspection by the City's Building Inspector immediately upon erection of the stand.
c. Fireworks stands shall comply with the Electrical Codes of the City. If electricity is to be utilized by any stand operator, an electrical permit will be required, regardless of the source of electricity.
d. If, in the judgment of the Fire Department Inspector, the construction of the stands or the conduct of the operators therein do not conform to the provisions of this chapter, such officer may order the stands immediately closed. e. No person shall be allowed in the interior of the stands, except those directly employed in the sale of fireworks.
f. No fireworks shall remain unattended at any time, regardless of whether the fireworks stand is open for business or not, but no person shall be permitted to sleep inside a stand.
g. Sleeping and/or security vehicles shall be at least twenty (20) feet from any fireworks stands.
h. No stand shall be placed closer than twenty-five (25) feet from any other building nor within one hundred (100) feet from the storage or use of flammable or combustible agents (i.e. gasoline dispensers).
i. Fireworks stands shall be set back a minimum of fifteen (15) feet from the curb line, but in no case shall fireworks stands be placed within the road or public rightof-way. The front, sides, and rear of the stand shall be unobstructed and have an open area of a minimum of five (5) feet.
j. "NO SMOKING" signs shall be prominently displayed, both inside and outside the stand, letters to be not less than four inches high. No smoking shall be permitted within the stand or within five feet of the stand.
k. All weeds and combustible material shall be cleared from the location of the stand for at least twenty-five (25) feet in all directions. No rubbish shall be allowed to accumulate in or around any fireworks stand, nor shall a fire nuisance be permitted to exist.
l. All fireworks stands must be equipped with a minimum of two (2) operational 2.5- gallon water-type fire extinguishers. One must be easily accessible at each exit of the stand. Each fire extinguisher shall be approved as to efficiency and safety by the Los Angeles County Fire Department Fire Inspector.
m. Each stand in excess of twenty (20) feet in length must have at least two (2) exits, and each stand in excess of forty (40) feet in length must have at least three (3) exits spaced approximately equidistant apart; provided, however, that in no case shall the distance between the exits exceed twenty (20) feet. n. No stand shall be constructed with a depth of more than twelve (12) feet. o. Stands shall be of wood or metal construction, built with a solid roof, rear wall and ends. The front shall be of solid wood or metal, three feet six inches (3’ 6”) in height from ground level to the display shelf.
p. The display shelf shall have a panel of unbreakable or wire mesh glass or window screen wire a minimum of twenty (24) inches in height between the public and the display of fireworks.
q. Signs shall be posted clearly and legibly stating Fireworks shall not be sold to any persons under sixteen (16) years of age.
r. All fireworks on the premises must bear the State Fire Marshall and SAFE AND SANE label.
s. There shall be no storage or display of goods outside of any fully enclosed structure.
t. There shall be no open flames, smoking, barbecues, or tiki-torches, or other flame devices, within twenty-five (25) feet of the fireworks stand.

8. The permittee shall keep and maintain the property in a neat, clean, and safe condition and shall conduct all operations in a neat, orderly, safe, and sanitary manner at all times.

9. Prior to the opening of business, the permittee shall obtain any and all necessary permits as required, including but not limited to building permits, electrical permits or other permits (as applicable) from the Building and Safety Department of the City of Hawaiian Gardens and the Fire Marshall. All work done under these permits must be completed by the project applicant or by a State Licensed Contractor, with a valid City business license. These permits shall be placed in plain view at all times while conducting business.

10. The use of amplified sound-making devices, including horns to advertise, draw attention to or announce the presence of the stand, shall be prohibited.

11. There shall be no use of any mechanical equipment, appliance, or motor which generates noise detectable from outside the property on which the building is located except for the use of an electrical generator.

12. INSURANCE COVERAGE - The permittee shall obtain and maintain for the duration of the fireworks stand permit insurance against claims and injuries to persons or damages to property which may arise from or in connection with the performance of such fireworks stand. Evidence of liability insurance shall be filed with the City. The minimum amount of insurance shall be no less than the following (Subsections a-e):
a. General Liability - $1,000,000.00 per occurrence for bodily injury, personal injury, and property damage. If Commercial General Liability or other form with a general, aggregate limit is used,
either the general aggregate limit shall apply separately or the general aggregate limit shall be for a minimum of
$5,000,000 or twice the required occurrence limit, whichever is higher.
b. Indemnification Clause and Hold Harmless Clause.
c. Additional Insured – The following shall be included:

The City of Hawaiian Gardens, the Public Housing Authority, SARDA, and the Public Financing Authority, their officers, employees and agents shall be named as additional insured on the Certificate of Insurance Form or proper Accord Form. d. The Scope of the insurance shall include Worker's Compensation Insurance as required by the State of California and Employer's Liability Insurance. e. The permittee shall furnish the City with original endorsements affecting coverage.

The endorser shall be signed by a person authorized by the insurer to bind coverage on its behalf.

13. Prior to the first day of business, final inspection and approval shall be obtained from the Building Official and release shall be obtained from the Los Angeles County Fire Department. A release form must be completed and returned to the Hawaiian Gardens Community Development Department. Requests for inspection must be made by calling:
a. Los Angeles County Fire Station No. 34, 21207 S. Norwalk Boulevard, Hawaiian Gardens, CA 90716. Call (562) 865-4119, to schedule an inspection. b. City of Hawaiian Gardens, Building and Safety Division. i. Contact Building and Safety Division by email [email protected] or call (562) 420-2641, Ext. 224.
ii. You are required to schedule your inspection at least 48 hours in advance.

14. All applicants are hereby required to submit and file a completed City's "Fireworks Followup Budget Information" Form by the established due date. Failure to complete and file in a timely manner may result in denial of future applications for lack of compliance. (City Clerk's Office Policy)
FORM DUE DATE IS THURSDAY, AUGUST 27, 2026 BY 5:00 PM.

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #B9
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Pablo Rubio, City Clerk
RECOMMENDATION:

Recommendation to approve the minutes for the City Council meeting of Wednesday, April 22, 2026.

SUMMARY
The City Clerk’s office is to prepare and present the meeting minutes to the City Council for review and approval.

FISCAL IMPACT
None.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENTS
A. April 22, 2026 - Minutes
CITY OF HAWAIIAN GARDENS
CITY COUNCIL MINUTES
Luis Roa, Mayor Pro Tem
Dandy De Paula, Councilmember
Victor Farfan, Councilmember
Ernie Vargas, Councilmember Maria Teresa Del Rio,
Mayor
Wednesday, April 22, 2026
Regular Meeting, 6:00 PM
Ernesto Marquez, City Manager
Norma Tabares, City Attorney
Pablo Rubio, City Clerk

MINUTES
CALL TO ORDER
The City Council meeting was called to order on Wednesday, April 22, 2026 at 6:01 PM.

Mayor Del Rio requested a moment of silence for Pastor Larry Darnell, St. Peter Chanel Catholic Church.

INVOCATION
The invocation was led by Pablo Rubio, City Clerk.

FLAG SALUTE
The flag salute was led by Councilmember Farfan.

ROLL CALL

PRESENT
Councilmember De Paula
Councilmember Farfan
Councilmember Vargas
Mayor Pro Tem Roa
Mayor Del Rio
ABSENT
None
Pablo Rubio, City Clerk, announced a quorum.

PUBLIC COMMENTS GENERAL OR ITEMS ON OR OFF THE AGENDA Reynaldo Rodriguez spoke.

PROCLAMATIONS AND CERTIFICATES

1. RECOGNITION OF ARTIST FELIX QUINTANA FOR HIS “HAWAIIAN GARDENS” LA METRO THROUGH THE EYES OF ARTISTS POSTER
Mayor Del Rio presented the certificate.

Felix Quintana spoke.

Mayen Alcantara, Metro Art Director of Public Art and Design, spoke.

PRESENTATIONS

1. ABC UNIFIED SCHOOL DISTRICT UPDATES BY FRANCISCO NOYOLA, PRESIDENT OF THE BOARD

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1. RECOGNITION OF ARTIST FELIX QUINTANA FOR HIS “HAWAIIAN GARDENS” LA METRO THROUGH THE EYES OF ARTISTS POSTER
Mayor Del Rio presented the certificate.

Felix Quintana spoke.

Mayen Alcantara, Metro Art Director of Public Art and Design, spoke.

PRESENTATIONS

1. ABC UNIFIED SCHOOL DISTRICT UPDATES BY FRANCISCO NOYOLA, PRESIDENT OF THE BOARD
Francisco Noyola, ABCUSD President of the Board, spoke, and introduced Nereyda Armenta, Interim Coordinator Migrant Education.

Mayor Del Rio spoke.

AGENDA ORGANIZATION
There were no changes to the Agenda Organization.

A. PUBLIC HEARING(S) / HEARING(s)

1. Recommendation to continue the Public Hearing for the Minor Use Permit (MUP) for a proposed boat sales business located at 12347 E. Carson Street, to the meeting of June 10, 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to continue the Public Hearing to the City Council meeting of Wednesday, June 10, 2026.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

2. Recommendation to continue the Public Hearing for the appeal of business license denial for Precision Roofing dba A Precision Construction, for property located at 12347 E. Carson Street, to the meeting of June 10, 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to continue the Public Hearing to the City Council meeting of Wednesday, June 10, 2026.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

3. Recommendation to continue the Public Hearing for the appeal of business license denial for ChavezUnlimitedConstruction,Inc.,forpropertylocatedat12347E.CarsonStreet,tothemeeting

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A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to continue the Public Hearing to the City Council meeting of Wednesday, June 10, 2026.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

3. Recommendation to continue the Public Hearing for the appeal of business license denial for Chavez Unlimited Construction, Inc., for property located at 12347 E. Carson Street, to the meeting of June 10, 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to continue the Public Hearing to the City Council meeting of Wednesday, June 10, 2026.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0
B. CONSENT CALENDAR

1. WAIVE READING IN FULL OF ALL ORDINANCES AND RESOLUTIONS ON THE AGENDA That the City Council waive reading in full of all ordinances and resolutions on the agenda and declare that said titles which appear on the public agenda shall be determined to have been read by title and further reading waived.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

2. Recommendation to receive and file the Community Development Department, Building & Safety Division Report for the month of March 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;

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Motion carried: 5–0–0–0

2. Recommendation to receive and file the Community Development Department, Building & Safety Division Report for the month of March 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

3. Recommendation to receive and file the Community Development Department, Code Enforcement Division Report for the month of March 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

4. Recommendation to receive and file the Community Development Department, Planning Division Report for the month of March 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

5. Recommendation to receive and file warrants processed during the period of March 28 to April 10, 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES0

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Motion carried: 5–0–0–0

5. Recommendation to receive and file warrants processed during the period of March 28 to April 10, 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

6. Recommendation to receive and file Treasurer's Report for February and March 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

7. Recommendation to receive and file the Public Works Department Permits Report for the month of March 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

8. Recommendation to approve the minutes for the City Council meeting of Wednesday, April 8, 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio

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Motion carried: 5–0–0–0

8. Recommendation to approve the minutes for the City Council meeting of Wednesday, April 8, 2026.

SUGGESTED ACTION: Approve Recommendation.

A motion was made by Councilmember Farfan, seconded by Mayor Pro Tem Roa, to adopt the Consent Calendar as presented, in its entirety.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0
C. DISCUSSION ITEM(S)

1. Recommendation to approve a donation to Fedde Academy.

SUGGESTED ACTION: Approve Recommendation.

Pablo Rubio, City Clerk, presented the staff report.

Denise Macias, Principal, Fedde Academy, spoke.

Councilmember Vargas spoke.

Mayor Pro Tem Roa spoke.

A motion was made by Mayor Pro Tem Roa, seconded by Councilmember Farfan, to approve a $5,000 donation to Fedde Academy.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0

2. Recommendation to read by title only, conduct first reading and introduce Ordinance No. 2026 625, amending Chapter 6.28 of the Hawaiian Gardens Municipal Code regarding Firework Regulations.

SUGGESTED ACTION: Approve Recommendation.

Elise McCaleb, Community Development Director, presented the staff report.

Councilmember De Paula spoke.

A motion was made by Mayor Pro Tem Roa, seconded by Councilmember Farfan, to approve recommendation.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT:0;

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SUGGESTED ACTION: Approve Recommendation.

Elise McCaleb, Community Development Director, presented the staff report.

Councilmember De Paula spoke.

A motion was made by Mayor Pro Tem Roa, seconded by Councilmember Farfan, to approve recommendation.

The motion carried by the following vote:

AYES: 5; De Paula, Farfan, Vargas, Roa, Del Rio
NOES: 0;
ABSENT: 0;
RECUSE: 0;
Motion carried: 5–0–0–0
D. NEW BUSINESS
There were no New Business items.

E. ORAL STAFF REPORT(S)
Joe Jimenez, Recreation and Community Services Director, announced dates for upcoming events:

April 30 pet vaccinations; May 16 Second Annual Teen Summit; May 22 Memorial Day Event; and announced hours for the Teen Center and tutoring service.

Steve Gomez, Public Safety Director, announced that a Neighborhood Safety Meeting will be held on May 6; and a Catalytic Converter Engraving Event on May 16.

Neema Ghanbari, Public Works Director, thanked everyone who attended the Earth Day Event; and provided an update on the upcoming Carson Street Improvement Project.

F. CITY ATTORNEY REPORT(S)
There were no City Attorney Reports.

G. ORAL COUNCIL REPORT(S)
Councilmember De Paula thanked residents and schools for participating in the parade; and extended condolences to the Catholic community for the passing away of Father Larry Darnell, St. Peter Chanel Catholic Church.

Mayor Del Rio thanked staff and everyone who participated in the parade and carnival Councilmember Vargas complimented staff for the parade and carnival.

H. CLOSED SESSION
There were no Closed Session items.

I. ADJOURNMENT
The City Council adjourned the meeting at 6:50 PM to the next Regular City Council meeting to be held on Wednesday, May 13, 2026 at 6:00 PM.

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H. CLOSED SESSION
There were no Closed Session items.

I. ADJOURNMENT
The City Council adjourned the meeting at 6:50 PM to the next Regular City Council meeting to be held on Wednesday, May 13, 2026 at 6:00 PM.

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CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #C1
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Neema Ghanbari, MS, PE, Public Works Director
RECOMMENDATION:

RECOMMENDATION TO APPROVE PLANS AND SPECIFICATIONS AND AWARD A CONSTRUCTION CONTRACT TO BRIDGEROCK CONSTRUCTION INC., IN THE AMOUNT OF $218,669 FOR THE CITY HALL BUILDING RESTROOM RENOVATION, PROJECT 124, AND APPROVE AN AMENDMENT TO THE FY 2025-2026 BUDGET

SUMMARY
The City Hall building restrooms are over 20 years old and have reached the end of their useful life.

On July 31, 2025, staff retained architectural services from BOA Architecture to prepare plans, specifications, and estimate (PS&E), and to provide construction support for the renovation of the City Hall Restroom Renovation, Project 124.

On April 8, 2026, the City Clerk received four (4) sealed bids for the project, as follows:

Bridgerock Construction Inc., La Puente, CA $218,669
Ankor Associates Inc., Los Angeles, CA $251,124
Union Construction Company, Walnut, CA $294,850
Empire Design & Build, Irvine, CA $310,000
The project’s scope of work includes removal and replacement of the existing plumbing and plumbing fixtures, toilet accessories, floor tiles, light fixtures, exhaust fans, wall grilles, toilet partitions, access panels, and restroom doors to ensure compliance with the Americans with Disabilities Act (ADA).

Agenda Item #C1
May 13, 2026

Page 2 ends

The lowest responsive bidder is Bridgerock Construction Inc. of La Puente with a bid amount of $218,669. Bridgerock Construction Inc. has provided similar services for other agencies, including the cities of South El Monte and Santa Ana, and Rancho Santiago Community College District.

Construction is scheduled to begin in June and is anticipated to be completed by the end of July 2026. Public Works staff are coordinating closely with other departments to minimize disruptions throughout the duration of the project.

FISCAL IMPACT
The total project budget is $220,000, which is included in the Fiscal Year 2025–26 Capital Improvement Program (CIP).

The estimated project expenses are as follows:

Item Budget
Construction $218,669
Construction Contingency (15%) $33,000
Design & Construction Support Services $28,331
Estimated Project Cost $280,000
A budget amendment for FY 2025–2026, allocating $60,000 from the General Fund to increase the project budget, is necessary to complete the project.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENT(S)
A. Project Location Map
Attachment A

PROJECT LOCATION MAP
CITY HALL RESTROOM RENOVATION, PROJECT 124

CITY OF HAWAIIAN GARDENS

CITY COUNCIL

STAFF REPORT
Agenda Item #C2
DATE: May 13, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Ernesto Marquez, City Manager
BY: Neema Ghanbari, MS, PE, Public Works Director
RECOMMENDATION:

RECOMMENDATION TO DISCUSS ASSEMBLY BILL (AB) 413 DAYLIGHTING

REQUIREMENTS AND PROVIDE DIRECTION ON IMPLEMENTATION OF CURB

MARKINGS AND PARKING RESTRICTIONS

SUMMARY
A recent national rise in traffic fatalities has led local and state jurisdictions to explore policy changes that can improve pedestrian and roadway safety at street intersections. One intervention attracting increased interest is known as “daylighting,” in which jurisdictions prohibit parking at the corners of intersections to improve visibility. This strategy allows drivers and pedestrians to see each other more easily by removing the obstacle of parked cars and extending both parties’ sightlines. As a result, drivers have more time to react if a pedestrian steps into the street, and pedestrians have a better sense of when it is safe to cross the street.

In 2023, the California State Legislature adopted Assembly Bill (AB) 413, amending California Vehicle Code (CVC) § 22500 to prohibit parking within 20 feet of a crosswalk, or within 15 feet of a crosswalk with curb extensions, regardless of whether the location is marked red or signed to prohibit parking.

Beginning January 1, 2025, violations of these parking restrictions became subject to citation statewide. However, AB 413 also allows local authorities to establish different parking restrictions near crosswalks if adopted by ordinance and justified by established safety standards.

Since the passage of Assembly Bill 413, City departments, including Public Safety and Public Works, have conducted extensive outreach and public education efforts regarding Agenda Item #C2
May 13, 2026

Page 2 ends

the new safety law. Several social media posts were published on the City’s website and social media accounts, and informational flyers were distributed at City facilities and mailed directly to residents. However, compliance has remained inconsistent and has not met expectations.

Based on the provisions of the bill, drivers may be cited for violations of the law regardless of whether the curb is painted red. To better inform drivers and enhance pedestrian safety, curb markings are now recommended in specific locations, with an emphasis on school sites and high-use areas.

Staff is seeking City Council direction on the implementation of AB 413 and painting red curb markings, as their installation would remove parking spaces in several locations throughout the City and may impact nearby residents.

FISCAL IMPACT
Implementation of curb painting associated with AB 413 daylighting requirements is estimated to cost approximately $20,000. This amount includes materials (paint and related supplies) as well as staff time from the Public Works Department Maintenance Division to complete the work at designated locations throughout the City.

If the City Council elects to proceed with painted curb markings as the chosen implementation approach, ongoing maintenance will be required. Specifically, curb markings will need to be refreshed to maintain visibility and compliance, which will result in recurring costs to the Maintenance Division for materials and staff labor.

SUGGESTED ACTION
Approve Recommendation.

ATTACHMENT(S)
A. City of Hawaiian Gardens Public Notice on California Assembly Bill 413 Implementation

Hawaiian Gardens City CouncilMay 13, 2026

Hawaiian Gardens City Council
May 13, 2026