Hawthorne City Council
October 10, 2023

AGENDA ITEM NO. 8

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: Police - Operations
City Manager: __________
Vontray Norris
Chief of Police: ___________
Gary Tomatani
SUBJECT:

RESOLUTION NO. 8439

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HAWTHORNE, CALIFORNIA AUTHORIZING, APPROVING & RATIFYING THE SUBMITTAL OF THE FY 2023-2024 STATE OF CALIFORNIA OFFICE OF TRAFFIC SAFETY SELECTIVE TRAFFIC ENFORCEMENT PROGRAM (STEP), GRANT NUMBER MC24005 RECOMMENDED MOTION:

Approve Resolution No 8439
DISCUSSION:

The State of California, announced the availability of funds that will be awarded through the Federal Fiscal year 2023-2024 Office of Traffic Safety Selective Enforcement Program (STEP). The goal of our proposed program is to conduct specified traffic related enforcement operations, in conjunction with educational and safety programs, during the grant period (October 2023 – September 2024). Hawthorne Police Department will also use a portion of the grant award to send personnel to ongoing traffic enforcement and supplies necessary to conduct the required enforcement operations and educational programs.

During the grant period, the Hawthorne Police Department will actively participate in several national traffic related safety campaigns, including, but not limited to: National teen Driver Safety Week, National Distracted Driving Awareness Month, Click It or Ticket month, national Motorcycles Safety Month, and California Bicycle and Pedestrian Safety month.

Upon approval of the grant award, the City of Hawthorne will received $185,000. The grant is financed entirely by OTS funds and does not require a cash or in-kind match. In no case may these

funds be commingled with other Funds, even other federal funds, nor may funds be used to supplant expenses for expenses for which the City of Hawthorne has already appropriated funds.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

Goal 2: Develop revenue generating programs and adjust fees FISCAL IMPACT:

The Hawthorne Police Department will receive Grant funding in the amount of $185,000.

NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

1. Resolution No. 8439

2. Grant Agreement - PT24084 - signed
RESOLUTION NO. 8439

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HAWTHORNE, CALIFORNIA AUTHORIZING, APPROVING & RATIFYING THE SUBMITTAL OF THE FY 2023-2024 STATE OF CALIFORNIA OFFICE OF TRAFFIC SAFETY SELECTIVE TRAFFIC ENFORCEMENT PROGRAM (STEP), GRANT NUMBER MC24005 WHEREAS, the City of Hawthorne is eligible for a Federal allocation of funds from Selective Traffic Enforcement Program (STEP) through the State of California Office of Traffic Safety in the amount of $185,000.00; and
WHEREAS, the city may receive $185,000.00 of grant funding to use for programs detailed in the OTS application, including the acquisition of equipment and technology that will enhance the service to the local community; and
WHEREAS, the City Council of the City of Hawthorne recognizes the need and benefit to the City of Hawthorne residents and to the community as a whole.

THEREFORE LET IT BE RESOLVED, by the City Council of the City of Hawthorne as follows:

Section 1. The City Council finds that all of the facts set forth in the recitals of this Resolution are true and correct.

Section 2. The City Council authorizes, approves and ratifies the submittal of the Office of Traffic Safety Ride to Live Motorcycle Education Grant Program. The City Manager or the Chief of Police is further authorized to execute the documents necessary to receive grant funding through the Office of Traffic Safety and administer such grant on behalf of the City of Hawthorne, subject to minor clerical changes by the City Attorney.

Section 3. This authorization is effective until rescinded by the City Council of the City of Hawthorne.

Section 4. This Resolution shall take effect immediately upon its approval by the City Council, and the clerk of the Council shall attest to and certify the vote adopting this Resolution.

PASSED, APPROVED, and ADOPTED this 10th day of October, 2023. ______________________________
ALEX VARGAS, Mayor
City of Hawthorne, California
ATTEST:
______________________________
DAYNA WILLIAMS-HUNTER, City Clerk
City of Hawthorne, California
APPROVED AS TO FORM:
______________________________
ROBERT M. KIM, City Attorney
City of Hawthorne, California
EXHIBIT “A”
OFFICE OF TRAFFIC SAFETY (STEP) 2023 GRANT
9/29/2023 7:41:47 AM Page 1 of 20
State of California – Office of Traffic Safety

GRANT AGREEMENT

GRANT NUMBER
PT24084

1. GRANT TITLE
Selective Traffic Enforcement Program (STEP)

2. NAME OF AGENCY 3. Grant Period
Hawthorne From:

To:
10/01/2023
09/30/2024 4. AGENCY UNIT TO ADMINISTER GRANT
Hawthorne Police Department

5. GRANT DESCRIPTION
Best practice strategies will be conducted to reduce the number of persons killed and injured in crashes involving alcohol and other primary crash factors. The funded strategies may include impaired driving enforcement, enforcement operations focusing on primary crash factors, distracted driving, night-time seat belt enforcement, special enforcement operations encouraging motorcycle safety, enforcement and public awareness in areas with a high number of bicycle and pedestrian crashes, and educational programs. These strategies are designed to earn media attention thus enhancing the overall deterrent effect.

6. Federal Funds Allocated Under This Agreement Shall Not Exceed: $185,000.00

7. TERMS AND CONDITIONS: The parties agree to comply with the terms and conditions of the following which are by this reference made a part of the Agreement:
 Schedule A – Problem Statement, Goals and Objectives and Method of Procedure  Schedule B – Detailed Budget Estimate and Sub-Budget Estimate (if applicable)  Schedule B-1 – Budget Narrative and Sub-Budget Narrative (if applicable)  Exhibit A – Certifications and Assurances
 Exhibit B* – OTS Grant Program Manual
 Exhibit C – Grant Electronic Management System (GEMS) Access *Items shown with an asterisk (*), are hereby incorporated by reference and made a part of this agreement as if attached hereto.

These documents can be viewed at the OTS home web page under Grants: www.ots.ca.gov.

We, the officials named below, hereby swear under penalty of perjury under the laws of the State of California that we are duly authorized to legally bind the Grant recipient to the above described Grant terms and conditions.

IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto.

8. Approval Signatures
A. GRANT DIRECTOR B. AUTHORIZING OFFICIAL
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Shaun Kemp
Traffic Sergeant
[email protected]
(310) 349-2702
12501 S. Hawthorne Blvd.

Hawthorne, CA 90250
ADDRESS: Gary Tomatani
Interim Chief of Police
[email protected]
(310) 349-2810
12501 S. Hawthorne Blvd.

Hawthorne, CA 90250

(Signature) (Date) (Signature) (Date)
C. FISCAL OFFICIAL D. AUTHORIZING OFFICIAL OF OFFICE OF TRAFFIC SAFETY ADDRESS: Felice Lopez
Director of Finance
[email protected]
(310) 349-2923
4455 W. 126th Street
Hawthorne, CA 90250
ADDRESS: Barbara Rooney
Director
[email protected]
(916) 509-3030
2208 Kausen Drive, Suite 300
Elk Grove, CA 95758

(Signature) (Date) (Signature) (Date)
Shaun Kemp (Sep 29, 2023 11:40 PDT)
Shaun Kemp Sep 29, 2023 Felice Lopez (Oct 2, 2023 08:43 PDT) Felice Lopez Oct 2, 2023 Gary Tomatani (Oct 2, 2023 17:28 PDT) Gary Tomatani Oct 2, 2023 Oct 3, 2023 9/29/2023 7:41:47 AM Page 2 of 20
E. ACCOUNTING OFFICER OF OFFICE OF TRAFFIC SAFETY 9. SAM INFORMATION NAME: Carolyn Vu SAM #:

REGISTERED
ADDRESS:

CITY:

ZIP+4:

QU9JK191Z2L3
4455 W. 126th Street
Hawthorne
90250-4421
ADDRESS: 2208 Kausen Drive, Suite 300
Elk Grove, CA 95758

10. PROJECTED EXPENDITURES
FUND CFDA ITEM/APPROPRIATION F.Y. CHAPTER STATUTE PROJECTED

EXPENDITURES
164AL-24.1 20.608 0521-0890-101 2022 43/22 BA/22 $39,100.00 402PT-24.1 20.600 0521-0890-101 2022 43/22 BA/22 $23,800.00 164AL-24 20.608 0521-0890-101 2023 12/23 BA/23 $75,900.00 402PT-24 20.600 0521-0890-101 2023 12/23 BA/23 $46,200.00

AGREEMENT
TOTAL $185,000.00

AMOUNT ENCUMBERED BY THIS DOCUMENT
I CERTIFY upon my own personal knowledge that the budgeted funds for the current budget year are available for the period and purpose of the expenditure stated above.
$185,000.00

PRIOR AMOUNT ENCUMBERED FOR THIS

AGREEMENT
$ 0.00
OTS ACCOUNTING OFFICER’S SIGNATURE DATE SIGNED TOTAL AMOUNT ENCUMBERED TO DATE $185,000.00 Carolyn Vu (Oct 2, 2023 21:12 PDT) Oct 2, 2023 9/29/2023 7:41:47 AM Page 3 of 20
State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule A

GRANT NUMBER
PT24084

1. PROBLEM STATEMENT
The City of Hawthorne is located in Los Angeles County just southeast of the Los Angeles International Airport (LAX). The population is approximately 87,000 residents in an area of about six square miles. The city is surrounded by the 105 freeway on the north, the 405 freeway on the west, and just east of the city is the 110 freeway. Hawthorne is also home to SpaceX, Tesla Motors, Amazon, FedEx, and numerous other major corporations.

Several factors cause daytime traffic in Hawthorne to be extremely heavy. Hawthorne Boulevard is a major north/south thoroughfare that extends from the Palos Verdes Peninsula all the way through the city of Inglewood where it becomes La Brea. Hawthorne Boulevard is three to four lanes in both directions for most of our city. In addition to Hawthorne Boulevard, we have several other main streets that serve as major arteries throughout the South Bay and the Los Angeles, which include: Crenshaw Boulevard, El Segundo Boulevard, Imperial Highway, and Rosecrans Avenue. All of these streets are heavily traveled during the day and into the evening hours. SpaceX, Tesla, FedEX, an Amazon distribution center, two Costco shopping centers, the newly built NFL Sofi Stadium (in the City of Inglewood), and several other businesses in our City cause the traffic volume to swell throughout the day.

In 2020, Hawthorne had a total of 501 crashes with 265 persons injured and 5 fatalities. In 2021, we saw a slight increase with 510 reported crashes with 279 people reporting injuries and 3 fatalities. In 2022, the city of Hawthorne had a total of 514 reported traffic crashes, increasing slightly. The number of people injured though increased 17% to 327 people and fatalities dropped by one to a total of two (2) for the year.

Our total motorcycle involved crashes over the past three years are as follows: 2020: 11 total crashes resulting in 10 injured and 0 killed; 2021: 14 total crashes resulting in 9 injured and 2 killed; 2022: 24 total crashes resulting in 25 injured and 0 killed.

Our total pedestrian involved crashes over the past three years are as follows: 2020: 34 total crashes resulting in 33 injured and 3 killed; 2021: 27 total crashes resulting in 25 injured and 0 killed; 43 total crashes, 46 persons injured and 1 killed. 2022: 43 total crashes resulting in 46 injured and 1 killed.

Our total bicycle involved crashes over the past three years are as follows: 2020: 20 total crashes resulting in 16 injured and 1 killed; 2021: 11 total crashes resulting in 8 injured and 0 killed; 25 total crashes, 23 injured and 0 killed; 2022: 26 total crashes resulting in 24 injured and 0 killed.

The Selective Traffic Enforcement Program (STEP) has greatly aided our department’s effort to promote safer streets. The funding we have received from the STEP grant has been crucial and essential in our ability to staff traffic related operations with the necessary officers and to conduct these traffic operations on a continuous basis throughout the year. In addition to participating in OTS traffic safety campaigns, we continued to assist surrounding agencies in their DUI/CDL checkpoints, traffic enforcement operations, Street Takeover / Sideshow Task Force Operations and the South Bay DUI Task Force (regional DUI enforcement).

In addition to enforcement efforts, in the 2020-2021 grant year, we hosted 10 “Ride to Live” motorcycle safety courses free of charge to the general public. All of this was part of our combined efforts to reduce injuries and death across the traffic spectrum, not just in our city, but in the South Bay. In the grant year 2021-2022 we hosted an additional 10 courses as well.

The City of Hawthorne has an extremely high DUI / DUID arrest rate (see table below). Of our DUI arrests, a high percentage of those drivers arrested provide a blood sample at the time of the arrest. This was either voluntarily or through a Forced Blood Warrant. Those blood draws were and continue to be an additional costly burden to our department.

DUI/DUID Arrests and Blood Draws
Year Total DUI/ DUID Arrests Total Amount of Blood Draws 9/29/2023 7:41:47 AM Page 4 of 20
2020 142 50
2021 168 107
2022 152 96
We did see a decrease in DUI/DUID arrests in 2022. We believe that this does have to do with the efforts of enforcement that we have put in. These enforcement efforts were only possible because of our partnership with OTS. During the most recent three-year span (2020-2022), DUI / DUID has been the second leading primary crash factor for all our reported traffic crashes. In this time span, DUI / DUID drivers caused a total of 249 crashes which has resulted in 57 injured persons and 1 fatality.

When alcohol has been a factor into all reported traffic crashes from 2020-2022, there were 369 total crashes which resulted in 157 persons injured and 4 people killed. From 2021-2022, there was a 37.5% increase in persons reporting injuries where alcohol was a factor in the traffic crash.

Alcohol Involved and/or a Factor in Traffic Crash
Year Total Crashes Persons Injured Persons Killed DUI - PCF in Traffic Crash 2020 105 40 2 69 (14.0 % of Total Crashes)
2021 141 55 1 106 (20.99% of Total Crashes)
2022 123 61 1 72 (14.01% of Total Crashes)
By far, our two most effective strategies in dealing with DUI / DUID’s have been DUI Saturation Patrols which have been effective in locating and arresting DUI drivers on any given day during the week, on a regular basis throughout the year. In addition, DUI / CDL checkpoints have been very successful and wellpublicized (regularly receiving attention on social media). YouTube has seemed to be the most prevalent social media outlet where we see our checkpoints publicized, outside of Law Enforcement. While the creators of those YouTube channels or the videos are not generally pro-law enforcement (certainly, not procheckpoint), the videos serve as further awareness to the public of the dangers of driving while intoxicated and/or under the influence of drugs.

Our top three leading causes for traffic crashes are during the previous 3 years from (in order):

Leading Primary Crash Factors in Traffic Crash 2020-2022:

Primary Crash Factor Number of Crashes Percentage of Total Crashes Improper Turning 396 26.23%
Driving Under the Influence 249 16.49%
Unsafe Speed 220 14.57%
Imperial Highway, El Segundo Boulevard, Hawthorne Boulevard, Rosecrans Avenue, Inglewood Avenue, and Van Ness Avenue are a few of the major thoroughfares that run across our city and connects several adjoining South Bay cities. These streets are heavily traveled by motorists who are often speeding to travel to their destinations. The factor of speed in traffic crashes exponentially increases the likelihood of drivers, passengers, pedestrians, bicyclists, and motorcyclists sustaining serious injuries or death. Traffic Enforcement operations have been critical in combating the public's’ driving behavior by targeting speeding drivers as well as other drivers who commit violations that can cause traffic crashes.

It is our intention to combat this with targeted traffic enforcement operations utilizing more motorcycle officers who are more effective in an urban setting. Motorcycle officers are more apt in concealing this position in the roadway; thus, more capable of monitoring true drivers’ behavior. In addition, motorcycle officers can more easily get through urban city traffic.

It is our hope in 2023 - 2024 to conduct more traffic enforcement operations, continue with DUI Saturation patrols, Motorcycle Safety Enforcement, Bike-Ped operations, and other enforcement operations. All these operations allow our officers to be in the field conducting traffic enforcement, being more visible which leads to safer traffic conditions, hoping to eliminate traffic fatalities and injuries on the roadways not only in the city of Hawthorne but throughout California.
9/29/2023 7:41:47 AM Page 5 of 20
Our partnership with OTS assists in our efforts to tackle DUI / DUID drivers who often times cause serious injuries and death to innocent motorists and pedestrians on the roadway; not to mention, the unbearable anguish victims’ families are forced to endure. In addition, it allows us to staff traffic enforcement operations with the specific goal of reducing injuries deaths on the roadway that can be attributed to improper turning, unsafe speed, and right of way violations as well as a multitude of other unsafe driving violations.

2. PERFORMANCE MEASURES
A. Goals:

1. Reduce the number of persons killed in traffic crashes.

2. Reduce the number of persons injured in traffic crashes.

3. Reduce the number of pedestrians killed in traffic crashes.

4. Reduce the number of pedestrians injured in traffic crashes.

5. Reduce the number of bicyclists killed in traffic crashes.

6. Reduce the number of bicyclists injured in traffic crashes.

7. Reduce the number of persons killed in alcohol-involved crashes.

8. Reduce the number of persons injured in alcohol-involved crashes.

9. Reduce the number of persons killed in drug-involved crashes.

10. Reduce the number of persons injured in drug-involved crashes.

11. Reduce the number of persons killed in alcohol/drug combo-involved crashes.

12. Reduce the number of persons injured in alcohol/drug combo-involved crashes.

13. Reduce the number of motorcyclists killed in traffic crashes.

14. Reduce the number of motorcyclists injured in traffic crashes.

15. Reduce hit & run fatal crashes.

16. Reduce hit & run injury crashes.

17. Reduce nighttime (2100 - 0259 hours) fatal crashes.

18. Reduce nighttime (2100 - 0259 hours) injury crashes.

B. Objectives: Target Number

1. Issue a press release announcing the kick-off of the grant by November 15. The kick-off press releases and media advisories, alerts, and materials must be emailed to the OTS Public Information Officer at [email protected], and copied to your OTS Coordinator, for approval 14 days prior to the issuance date of the release.
1 2. Participate and report data (as required) in the following campaigns; Quarter 1:

National Walk to School Day, National Teen Driver Safety Week, NHTSA Winter Mobilization; Quarter 3: National Distracted Driving Awareness Month, National Motorcycle Safety Month, National Bicycle Safety Month, National Click it or Ticket Mobilization; Quarter 4: NHTSA Summer Mobilization, National Child Passenger Safety Week, and California's Pedestrian Safety Month.
10 3. Develop (by December 31) and/or maintain a “DUI BOLO” program to notify patrol and traffic officers to be on the lookout for identified repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. Updated DUI BOLOs should be distributed to patrol and traffic officers monthly. 12 4. Send law enforcement personnel to the NHTSA Standardized Field Sobriety Testing (SFST) (minimum 16 hours) POST-certified training. 1 5. Send law enforcement personnel to the NHTSA Advanced Roadside Impaired Driving Enforcement (ARIDE) 16 hour POST-certified training. 1 6. Send law enforcement personnel to the Drug Recognition Expert (DRE) training. 1

7. Send law enforcement personnel to SFST Instructor training. 1

8. Conduct DUI/DL Checkpoints. A minimum of 1 checkpoint should be conducted during the NHTSA Winter Mobilization and 1 during the Summer Mobilization. To enhance the overall deterrent effect and promote high visibility, it is recommended the grantee issue an advance press release and conduct social media activity for each checkpoint. For combination DUI/DL checkpoints, departments should issue press releases that mention DL's will be checked at the DUI/DL checkpoint. Signs for DUI/DL checkpoints should read "DUI/Driver's License Checkpoint Ahead." OTS does not fund or support independent DL checkpoints. Only on an exception basis and with OTS pre-approval will OTS fund checkpoints that begin prior to 2 9/29/2023 7:41:47 AM Page 6 of 20
1800 hours. When possible, DUI/DL Checkpoint screeners should be DRE- or ARIDE-trained.

9. Conduct DUI Saturation Patrol operation(s). 35

10. Conduct Traffic Enforcement operation(s), including but not limited to, primary crash factor violations.
18 11. Conduct highly publicized Distracted Driving enforcement operation(s) targeting drivers using hand held cell phones and texting.
4 12. Conduct highly publicized Motorcycle Safety enforcement operation(s) in areas or during events with a high number of motorcycle incidents or crashes resulting from unsafe speed, DUI, following too closely, unsafe lane changes, improper turning, and other primary crash factor violations by motorcyclists and other drivers. 4 13. Conduct highly publicized pedestrian and/or bicycle enforcement operation(s) in areas or during events with a high number of pedestrian and/or bicycle crashes resulting from violations made by pedestrians, bicyclists, and drivers. 7 14. Conduct Traffic Safety educational presentation(s) with an effort to reach community members. Note: Presentation(s) may include topics such as distracted driving, DUI, speed, bicycle and pedestrian safety, seat belts and child passenger safety.
2 15. Participate in highly visible collaborative DUI Enforcement operations. 3

16. Participate in highly visible collaborative Traffic Enforcement operations. 3

17. Send law enforcement personnel to DUI Checkpoint Planning and Management training.
3 18. Conduct specialized enforcement operations focusing specifically on street racing and sideshow activities.
3 3. METHOD OF PROCEDURE
A. Phase 1 – Program Preparation (1st Quarter of Grant Year)  The department will develop operational plans to implement the “best practice” strategies outlined in the objectives section.
 All training needed to implement the program should be conducted in the first quarter.  All grant related purchases needed to implement the program should be made in the first quarter.  In order to develop/maintain the “DUI BOLOs,” research will be conducted to identify the “worst of the worst” repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. The DUI BOLO may include the driver’s name, last known address, DOB, description, current license status, and the number of times suspended or revoked for DUI. DUI BOLOs should be updated and distributed to traffic and patrol officers at least monthly.  Implementation of the STEP grant activities will be accomplished by deploying personnel at high crash locations.

Media Requirements Issue a press release approved by the OTS PIO announcing the kick-off of the grant by November 15, but no sooner than October 1. The kick-off release must be approved by the OTS PIO and only distributed after the grant is fully signed and executed. If you are unable to meet the November 15 deadline to issue a kick-off press release, communicate reasons to your OTS coordinator and OTS PIO.

B. Phase 2 – Program Operations (Throughout Grant Year)  The department will work to create media opportunities throughout the grant period to call attention to the innovative program strategies and outcomes.

Media Requirements
The following requirements are for all grant-related activities:
 Send all media advisories, alerts, videos, graphics, artwork, posters, radio/PSA/video scripts, storyboards, digital and/or print educational materials for grant-related activities to the OTS PIO at [email protected] for approval and copy your OTS coordinator. Optimum lead time would be 7 days before the scheduled release but at least 3 business days prior to the scheduled release date for review and approval is appreciated.
 The OTS PIO is responsible for the approval of the design and content of materials. The agency understands OTS PIO approval is not authorizing approval of budget expenditure or cost. Any cost approvals must come from the Coordinator.
9/29/2023 7:41:47 AM Page 7 of 20
 Pre-approval is not required when using any OTS-supplied template for media advisories, press releases, social media graphics, videos or posts, or any other OTS-supplied educational material.

However, copy the OTS PIO at [email protected] and your OTS coordinator when any material is distributed to the media and public, such as a press release, educational material, or link to social media post. The OTS-supplied kick-off press release templates and any kickoff press releases are an exception to this policy and require prior approval before distribution to the media and public.
 If an OTS-supplied template, educational material, social media graphic, post or video is substantially changed, the changes shall be sent to the OTS PIO at [email protected] for approval and copy to your OTS Coordinator. Optimum lead time would be 7 days prior to the scheduled release date, but at least 3 business days prior to the scheduled release date for review and approval is appreciated.
 Press releases, social media posts and alerts on platforms such as NextDoor and Nixle reporting immediate and time-sensitive grant activities (e.g. enforcement operations, day of event highlights or announcements, event invites) are exempt from the OTS PIO approval process. The OTS PIO and your Coordinator should still be notified when the grant-related activity is happening (e.g. car seat checks, bicycle rodeos, community presentations, DUI checkpoints, etc.).
 Enforcement activities such as warrant and probation sweeps, court stings, etc. that are embargoed or could impact operations by publicizing in advance are exempt from the PIO approval process. However, announcements and results of activities should still be copied to the OTS PIO at [email protected] and your Coordinator with embargoed date and time or with “INTERNAL ONLY: DO NOT RELEASE” message in subject line of email.  Any earned or paid media campaigns for TV, radio, digital or social media that are part of a specific grant objective, using OTS grant funds, or designed and developed using contractual services by a subgrantee, requires prior approval. Please send to the OTS PIO at [email protected] for approval and copy your grant coordinator at least 3 business days prior to the scheduled release date.
 Social media posts highlighting state or national traffic safety campaigns (Distracted Driving Month, Motorcycle Safety Awareness Month, etc.), enforcement operations (DUI checkpoints, etc.), or any other grant-related activity such as Bicycle rodeos, presentations, or events, are highly encouraged but do not require prior approval.
 Submit a draft or rough-cut of all digital, printed, recorded or video material (brochures, posters, scripts, artwork, trailer graphics, digital graphics, social posts connected to an earned or paid media campaign grant objective) to the OTS PIO at [email protected] and copy your OTS Coordinator for approval prior to the production or duplication.  Use the following standard language in all press, media, and printed materials, space permitting:

Funding for this program was provided by a grant from the California Office of Traffic Safety, through the National Highway Traffic Safety Administration.  Space permitting, include the OTS logo on all grant-funded print materials, graphics and paid or earned social media campaign grant objective; consult your OTS Coordinator for specifics, format-appropriate logos, or if space does not permit the use of the OTS logo.  Email the OTS PIO at [email protected] and copy your OTS Coordinator at least 21 days in advance, or when first confirmed, a short description of any significant grant-related traffic safety event or program, particularly events that are highly publicized beforehand with anticipated media coverage so OTS has sufficient notice to arrange for attendance and/or participation in the event.

If unable to attend, email the OTS PIO and coordinator brief highlights and/or results, including any media coverage (broadcast, digital, print) of event within 7 days following significant grantrelated event or program. Media and program highlights are to be reflected in QPRs.  Any press releases, work plans, scripts, storyboards, artwork, graphics, videos or any educational or informational materials that received PIO approval in a prior grant year needs to be resubmitted for approval in the current grant year.
 Contact the OTS PIO or your OTS Coordinator for consultation when changes from any of the above requirements might be warranted.

C. Phase 3 – Data Collection & Reporting (Throughout Grant Year)

1. Prepare and submit grant claim invoices (due January 30, April 30, July 30, and October 30) 9/29/2023 7:41:47 AM Page 8 of 20

2. Prepare and submit Quarterly Performance Reports (QPR) (due January 30, April 30, July 30, and October 30)
 Collect and report quarterly, appropriate data that supports the progress of goals and objectives.  Provide a brief list of activity conducted, procurement of grant-funded items, and significant media activities. Include status of grant-funded personnel, status of contracts, challenges, or special accomplishments.
 Provide a brief summary of quarterly accomplishments and explanations for objectives not completed or plans for upcoming activities.
 Collect, analyze and report statistical data relating to the grant goals and objectives.

4. METHOD OF EVALUATION
Using the data compiled during the grant, the Grant Director will complete the “Final Evaluation” section in the fourth/final Quarterly Performance Report (QPR). The Final Evaluation should provide a brief summary of the grant’s accomplishments, challenges and significant activities. This narrative should also include whether goals and objectives were met, exceeded, or an explanation of why objectives were not completed.

5. ADMINISTRATIVE SUPPORT
This program has full administrative support, and every effort will be made to continue the grant activities after grant conclusion.
9/29/2023 7:41:47 AM Page 9 of 20
State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B

GRANT NUMBER
PT24084

FUND NUMBER CATALOG

NUMBER (CFDA)

FUND DESCRIPTION TOTAL AMOUNT
164AL-24 20.608 Minimum Penalties for Repeat
Offenders for Driving While
Intoxicated
$115,000.00
402PT-24 20.600 State and Community Highway
Safety
$70,000.00

COST CATEGORY FUND
NUMBER

UNIT COST OR
RATE

UNITS TOTAL COST TO
GRANT
A. PERSONNEL COSTS
Straight Time
$0.00
Overtime
DUI/DL Checkpoints 164AL-24 $17,000.00 2 $34,000.00
DUI Saturation Patrols 164AL-24 $1,600.00 35 $56,000.00 Collaborative DUI Enforcement 164AL-24 $1,600.00 3 $4,800.00 Benefits for 164AL OT @ 1.45% 164AL-24 $94,800.00 1 $1,375.00 Traffic Enforcement 402PT-24 $1,600.00 18 $28,800.00
Distracted Driving 402PT-24 $1,600.00 4 $6,400.00
Motorcycle Safety 402PT-24 $1,600.00 4 $6,400.00
Pedestrian and Bicycle Enforcement 402PT-24 $1,600.00 7 $11,200.00 Street Racing and Sideshow Enforcement
Operations
402PT-24 $1,600.00 3 $4,800.00
Collaborative Traffic Enforcement 402PT-24 $1,600.00 3 $4,800.00 Traffic Safety Education 402PT-24 $800.00 2 $1,600.00
Benefits for 402PT OT @ 1.45% 402PT-24 $64,000.00 1 $928.00 Category Sub-Total $161,103.00
B. TRAVEL EXPENSES
In State Travel 402PT-24 $5,072.00 1 $5,072.00
$0.00
Category Sub-Total $5,072.00
C. CONTRACTUAL SERVICES
Phlebotomist 164AL-24 $14,800.00 1 $14,800.00
Dispatcher 164AL-24 $600.00 2 $1,200.00
Category Sub-Total $16,000.00
D. EQUIPMENT
$0.00
Category Sub-Total $0.00
E. OTHER DIRECT COSTS
DUI Checkpoint Supplies 164AL-24 $2,825.00 1 $2,825.00
Category Sub-Total $2,825.00
F. INDIRECT COSTS
$0.00
Category Sub-Total $0.00
GRANT TOTAL $185,000.00
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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B-1

GRANT NUMBER
PT24084

BUDGET NARRATIVE

PERSONNEL COSTS
DUI/DL Checkpoints - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

DUI Saturation Patrols - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Collaborative DUI Enforcement - Overtime for grant funded Collaborative DUI Enforcement operations conducted by appropriate department personnel
Benefits for 164AL OT @ 1.45% - Medicare 1.45%
Traffic Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Distracted Driving - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Motorcycle Safety - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Pedestrian and Bicycle Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Street Racing and Sideshow Enforcement Operations - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Collaborative Traffic Enforcement - Overtime for grant funded Collaborative Traffic Enforcement operations conducted by appropriate department personnel
Traffic Safety Education - Overtime for grant funded traffic safety presentations or campaigns conducted by appropriate department personnel.

Benefits for 402PT OT @ 1.45% - Medicare 1.45%

TRAVEL EXPENSES
In State Travel - Costs are included for appropriate staff to attend conferences and training events supporting the grant goals and objectives and/or traffic safety. Local mileage for grant activities and meetings is included. Anticipated travel may include the OTS Traffic Safety Law Enforcement Forum and the California Traffic Safety Summit. All conferences, seminars or training not specifically identified in the Budget Narrative must be approved by OTS. All travel claimed must be at the agency approved rate. Per Diem may not be claimed for meals provided at conferences when registration fees are paid with OTS grant funds.

CONTRACTUAL SERVICES
Phlebotomist - To draw and collect blood samples during OTS funded operations from suspected DUI drivers on scene as evidence in support of DUI convictions in a court of law.

Dispatcher - Dedicated dispatcher to conduct wants/warrants and DMV license checks for all drivers screened though DUI / CDL checkpoint.

EQUIPMENT
-

OTHER DIRECT COSTS
DUI Checkpoint Supplies - On-scene supplies needed to conduct sobriety checkpoints. Costs may include 28" traffic cones, MUTCD compliant traffic signs, MUTCD compliant high visibility vests (maximum of 10), traffic counters (maximum of 2), generator, gas for generators, lighting, reflective banners, electronic flares, PAS Device/Calibration Supplies, heater, propane for heaters, fan, anti-fatigue mats, and canopies.

Additional items may be purchased if approved by OTS. The cost of food and beverages will not be reimbursed. Each item must have a unit cost of less than $5,000 (including tax and shipping).

INDIRECT COSTS
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-

STATEMENTS/DISCLAIMERS
There will be no program income generated from this grant.

Nothing in this “agreement” shall be interpreted as a requirement, formal or informal, that a particular law enforcement officer issue a specified or predetermined number of citations in pursuance of the goals and objectives here under.

Benefits for personnel costs can only be applied to straight time or overtime hours charged to the grant. 9/29/2023 7:41:47 AM Page 12 of 20
State of California – Office of Traffic Safety

GRANT AGREEMENT
Exhibit A

GRANT NUMBER
PT24084
Certifications and Assurances for Fiscal Year 2024 Highway Safety Grants (23 U.S.C. Chapter 4 or Section 1906, Public Law 109-59, as amended by Section 25024, Public Law 117-58) The officials named on the grant agreement, certify by way of signature on the grant agreement signature page, that the Grantee Agency complies with all applicable Federal statutes, regulations, and directives and State rules, guidelines, policies, and laws in effect with respect to the periods for which it receives grant funding. Applicable provisions include, but are not limited to, the following:

GENERAL REQUIREMENTS
The State will comply with applicable statutes and regulations, including but not limited to:
 23 U.S.C. Chapter 4—Highway Safety Act of 1966, as amended;  Sec. 1906, Public Law 109-59, as amended by Sec. 25024, Public Law 117-58;  23 CFR part 1300—Uniform Procedures for State Highway Safety Grant Programs;  2 CFR part 200—Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards;  2 CFR part 1201—Department of Transportation, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.

NONDISCRIMINATION
(applies to all subrecipients as well as States)
The State highway safety agency [and its subrecipients] will comply with all Federal statutes and implementing regulations relating to nondiscrimination (“Federal Nondiscrimination Authorities”). These include but are not limited to:
 Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq., 78 stat. 252), (prohibits discrimination on the basis of race, color, national origin);
 49 CFR part 21 (entitled Non-discrimination in Federally-Assisted Programs of the Department of Transportation— Effectuation of Title VI of the Civil Rights Act of 1964);  28 CFR 50.3 (U.S. Department of Justice Guidelines for Enforcement of Title VI of the Civil Rights Act of 1964);  The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42 U.S.C. 4601), (prohibits unfair treatment of persons displaced or whose property has been acquired because of Federal or Federal-aid programs and projects);  Federal-Aid Highway Act of 1973, (23 U.S.C. 324 et seq.), and Title IX of the Education Amendments of 1972, as amended (20 U.S.C. 1681-1683 and 1685-1686) (prohibit discrimination on the basis of sex);  Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. 794 et seq.), as amended, (prohibits discrimination on the basis of disability) and 49 CFR part 27;
 The Age Discrimination Act of 1975, as amended, (42 U.S.C. 6101 et seq.), (prohibits discrimination on the basis of age);
 The Civil Rights Restoration Act of 1987, (Pub. L. 100-209), (broadens scope, coverage, and applicability of Title VI of the Civil Rights Act of 1964, The Age Discrimination Act of 1975 and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms “programs or activities” to include all of the programs or activities of the Federal aid recipients, subrecipients and contractors, whether such programs or activities are Federally-funded or not);  Titles II and III of the Americans with Disabilities Act (42 U.S.C. 12131-12189) (prohibits discrimination on the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing) and 49 CFR parts 37 and 38;
 Executive Order 12898, Federal Actions to Address Environmental Justice in Minority Populations and Low-Income Populations (preventing discrimination against minority populations by discouraging programs, policies, and activities with disproportionately high and adverse human health or environmental effects on minority and low-income populations);
 Executive Order 13166, Improving Access to Servicesfor Persons with Limited English Proficiency (requiring that recipients of Federal financial assistance provide meaningful access for applicants and beneficiaries who have limited English proficiency (LEP));
 Executive Order 13985, Advancing Racial Equity and Support for Underserved Communities through the Federal Government (advancing equity across the Federal Government); and  Executive Order 13988, Preventing and Combating Discrimination on the Basis of Gender Identity or Sexual Orientation (clarifying that sex discrimination includes discrimination on the grounds of gender identity or sexual orientation).

The preceding statutory and regulatory cites hereinafter are referred to as the “Acts” and “Regulations,” respectively.

GENERAL ASSURANCES
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In accordance with the Acts, the Regulations, and other pertinent directives, circulars, policy, memoranda, and/or guidance, the Recipient hereby gives assurance that it will promptly take any measures necessary to ensure that:
“No person in the United States shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity, for which the Recipient receives Federal financial assistance from DOT, including NHTSA.”
The Civil Rights Restoration Act of 1987 clarified the original intent of Congress, with respect to Title VI of the Civil Rights Act of 1964 and other non-discrimination requirements (the Age Discrimination Act of 1975, and Section 504 of the Rehabilitation Act of 1973), by restoring the broad, institutional-wide scope and coverage of these nondiscrimination statutes and requirements to include all programs and activities of the Recipient, so long as any portion of the program is Federally assisted.

SPECIFIC ASSURANCES
More specifically, and without limiting the above general Assurance, the Recipient agrees with and gives the following Assurances with respect to its Federally assisted Highway Safety Grant Program:

1. The Recipient agrees that each “activity,” “facility,” or “program,” as defined in 49 CFR part 21 will be (with regard to an “activity”) facilitated, or will be (with regard to a “facility”) operated, or will be (with regard to a “program”) conducted in compliance with all requirements imposed by, or pursuant to the Acts and the Regulations.

2. The Recipient will insert the following notification in all solicitations for bids, Requests For Proposals for work, or material subject to the Acts and the Regulations made in connection with all Highway Safety Grant Programs and, in adapted form, in all proposals for negotiated agreements regardless of funding source:
“The [name of Recipient], in accordance with the provisions of Title VI of the Civil Rights Act of 1964 (78 Stat. 252, 42 U.S.C 2000d to 2000d-4) and the Regulations, hereby notifies all bidders that it will affirmatively ensure that in any contract entered into pursuant to this advertisement, disadvantaged business enterprises will be afforded full and fair opportunity to submit bids in response to this invitation and will not be discriminated against on the grounds of race, color, or national origin in consideration for an award.”

3. The Recipient will insert the clauses of appendix A and E of this Assurance (also referred in every contract or agreement subject to the Acts and the Regulations.

4. The Recipient will insert the clauses of appendix B of DOT Order 1050.2A, as a covenant running with the land, in any deed from the United States effecting or recording a transfer of real property, structures, use, or improvements thereon or interest therein to a Recipient.

5. That where the Recipient receives Federal financial assistance to construct a facility, or part of a facility, the Assurance will extend to the entire facility and facilities operated in connection therewith.

6. That where the Recipient receives Federal financial assistance in the form of, or for the acquisition of, real property or an interest in real property, the Assurance will extend to rights to space on, over, or under such property.

7. That the Recipient will include the clauses set forth in appendix C and appendix D of this DOT Order 1050.2A, as a covenant running with the land, in any future deeds, leases, licenses, permits, or similar instruments entered into by the Recipient with other parties:
a. for the subsequent transfer of real property acquired or improved under the applicable activity, project, or program; and
b. for the construction or use of, or access to, space on, over, or under real property acquired or improved under the applicable activity, project, or program.

8. That this Assurance obligates the Recipient for the period during which Federal financial assistance is extended to the program, except where the Federal financial assistance is to provide, or is in the form of, personal property, or real property, or interest therein, or structures or improvements thereon, in which case the Assurance obligates the Recipient, or any transferee for the longer of the following periods:
a. the period during which the property is used for a purpose for which the Federal financial assistance is extended, or for another purpose involving the provision of similar services or benefits; or b. the period during which the Recipient retains ownership or possession of the property.

9. The Recipient will provide for such methods of administration for the program as are found by the Secretary of Transportation or the official to whom he/she delegates specific authority to give reasonable guarantee that it, other recipients, sub-recipients, sub- grantees, contractors, subcontractors, consultants, transferees, successors in interest, and other participants of Federal financial assistance under such program will comply with all requirements imposed or pursuant to the Acts, the Regulations, and this Assurance.

10. The Recipient agrees that the United States has a right to seek judicial enforcement with regard to any matter arising under the Acts, the Regulations, and this Assurance.

By signing this ASSURANCE, the State highway safety agency also agrees to comply (and require any sub-recipients, sub-grantees, contractors, successors, transferees, and/or assignees to comply) with all applicable provisions governing NHTSA's access to records, accounts, documents, information, facilities, and staff. You also recognize that you must comply with any program or compliance reviews, and/or complaint investigations conducted by NHTSA. You must keep records, reports, and submit the material for review 9/29/2023 7:41:47 AM Page 14 of 20
upon request to NHTSA, or its designee in a timely, complete, and accurate way. Additionally, you must comply with all other reporting, data collection, and evaluation requirements, as prescribed by law or detailed in program guidance.

The State highway safety agency gives this ASSURANCE in consideration of and for obtaining any Federal grants, loans, contracts, agreements, property, and/or discounts, or other Federal-aid and Federal financial assistance extended after the date hereof to the recipients by the U.S. Department of Transportation under the Highway Safety Grant Program. This ASSURANCE is binding on the State highway safety agency, other recipients, sub-recipients, sub-grantees, contractors, subcontractors and their subcontractors', transferees, successors in interest, and any other participants in the Highway Safety Grant Program. The person(s) signing below is/are authorized to sign this ASSURANCE on behalf of the Recipient.

THE DRUG-FREE WORKPLACE ACT OF 1988 (41 U.S.C. 8103)
The Subgrantee will provide a drug-free workplace by:
a. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the grantee's workplace, and specifying the actions that will be taken against employees for violation of such prohibition;
b. Establishing a drug-free awareness program to inform employees about:

1. The dangers of drug abuse in the workplace;

2. The grantee's policy of maintaining a drug-free workplace;

3. Any available drug counseling, rehabilitation, and employee assistance programs;

4. The penalties that may be imposed upon employees for drug violations occurring in the workplace;

5. Making it a requirement that each employee engaged in the performance of the grant be given a copy of the statement required by paragraph (a);
c. Notifying the employee in the statement required by paragraph (a) that, as a condition of employment under the grant, the employee will—

1. Abide by the terms of the statement;

2. Notify the employer of any criminal drug statute conviction for a violation occurring in the workplace no later than five days after such conviction;
d. Notifying the agency within ten days after receiving notice under subparagraph (c)(2) from an employee or otherwise receiving actual notice of such conviction;
e. Taking one of the following actions, within 30 days of receiving notice under subparagraph (c)(2), with respect to any employee who is so convicted—

1. Taking appropriate personnel action against such an employee, up to and including termination;

2. Requiring such employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a Federal, State, or local health, law enforcement, or other appropriate agency; f. Making a good faith effort to continue to maintain a drug-free workplace through implementation of all of the paragraphs above.

POLITICAL ACTIVITY (HATCH ACT)
(applies to all subrecipients as well as States)
The State will comply with provisions of the Hatch Act (5 U.S.C. 1501-1508), which limits the political activities of employees whose principal employment activities are funded in whole or in part with Federal funds.

CERTIFICATION REGARDING FEDERAL LOBBYING
(applies to all subrecipients as well as States)

CERTIFICATION FOR CONTRACTS, GRANTS, LOANS, AND COOPERATIVE AGREEMENTS The undersigned certifies, to the best of his or her knowledge and belief, that:

1. No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement;

2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions;

3. The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grant, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. 9/29/2023 7:41:47 AM Page 15 of 20
This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.

RESTRICTION ON STATE LOBBYING
(applies to subrecipients as well as States)
None of the funds under this program will be used for any activity specifically designed to urge or influence a State or local legislator to favor or oppose the adoption of any specific legislative proposal pending before any State or local legislative body. Such activities include both direct and indirect (e.g., “grassroots”) lobbying activities, with one exception. This does not preclude a State official whose salary is supported with NHTSA funds from engaging in direct communications with State or local legislative officials, in accordance with customary State practice, even if such communications urge legislative officials to favor or oppose the adoption of a specific pending legislative proposal.

CERTIFICATION REGARDING DEBARMENT AND SUSPENSION
(applies to all subrecipients as well as States)

INSTRUCTIONS FOR PRIMARY TIER PARTICIPANT CERTIFICATION (STATES)

1. By signing and submitting this proposal, the prospective primary tier participant is providing the certification set out below and agrees to comply with the requirements of 2 CFR parts 180 and 1200.

2. The inability of a person to provide the certification required below will not necessarily result in denial of participation in this covered transaction. The prospective primary tier participant shall submit an explanation of why it cannot provide the certification set out below. The certification or explanation will be considered in connection with the department or agency's determination whether to enter into this transaction. However, failure of the prospective primary tier participant to furnish a certification or an explanation shall disqualify such person from participation in this transaction.

3. The certification in this clause is a material representation of fact upon which reliance was placed when the department or agency determined to enter into this transaction. If it is later determined that the prospective primary tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency may terminate this transaction for cause or default or may pursue suspension or debarment.

4. The prospective primary tier participant shall provide immediate written notice to the department or agency to which this proposal is submitted if at any time the prospective primary tier participant learns its certification was erroneous when submitted or has become erroneous by reason of changed circumstances.

5. The terms covered transaction, civil judgment, debarment, suspension, ineligible, participant, person, principal, and voluntarily excluded, as used in this clause, are defined in 2 CFR parts 180 and 1200. You may contact the department or agency to which this proposal is being submitted for assistance in obtaining a copy of those regulations.

6. The prospective primary tier participant agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by the department or agency entering into this transaction.

7. The prospective primary tier participant further agrees by submitting this proposal that it will include the clause titled “Instructions for Lower Tier Participant Certification” including the “Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion—Lower Tier Covered Transaction,” provided by the department or agency entering into this covered transaction, without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions and will require lower tier participants to comply with 2 CFR parts 180 and 1200.

8. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. A participant is responsible for ensuring that its principals are not suspended, debarred, or otherwise ineligible to participate in covered transactions. To verify the eligibility of its principals, as well as the eligibility of any prospective lower tier participants, each participant may, but is not required to, check the System for Award Management Exclusions website (https://www.sam.gov/).

9. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings.

10. Except for transactions authorized under paragraph 6 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency may terminate the transaction for cause or default.

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, AND OTHER RESPONSIBILITY MATTERS—

PRIMARY TIER COVERED TRANSACTIONS
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1. The prospective primary tier participant certifies to the best of its knowledge and belief, that it and its principals:
a. Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participating in covered transactions by any Federal department or agency; b. Have not within a three-year period preceding this proposal been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction or contract under a public transaction; violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property; c. Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal, State, or local) with commission of any of the offenses enumerated in paragraph (1)(b) of this certification; and
d. Have not within a three-year period preceding this application/proposal had one or more public transactions (Federal, State, or local) terminated for cause or default.

2. Where the prospective primary tier participant is unable to certify to any of the Statements in this certification, such prospective participant shall attach an explanation to this proposal.

INSTRUCTIONS FOR LOWER TIER PARTICIPANT CERTIFICATION

1. By signing and submitting this proposal, the prospective lower tier participant is providing the certification set out below and agrees to comply with the requirements of 2 CFR parts 180 and 1200.

2. The certification in this clause is a material representation of fact upon which reliance was placed when this transaction was entered into. If it is later determined that the prospective lower tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension or debarment.

3. The prospective lower tier participant shall provide immediate written notice to the person to which this proposal is submitted if at any time the prospective lower tier participant learns that its certification was erroneous when submitted or has become erroneous by reason of changed circumstances.

4. The terms covered transaction, civil judgment, debarment, suspension, ineligible, participant, person, principal, and voluntarily excluded, as used in this clause, are defined in 2 CFR parts 180 and 1200. You may contact the person to whom this proposal is submitted for assistance in obtaining a copy of those regulations.

5. The prospective lower tier participant agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by the department or agency with which this transaction originated.

6. The prospective lower tier participant further agrees by submitting this proposal that it will include the clause titled “Instructions for Lower Tier Participant Certification” including the “Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion—Lower Tier Covered Transaction,” without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions and will require lower tier participants to comply with 2 CFR parts 180 and 1200.

7. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. A participant is responsible for ensuring that its principals are not suspended, debarred, or otherwise ineligible to participate in covered transactions. To verify the eligibility of its principals, as well as the eligibility of any prospective lower tier participants, each participant may, but is not required to, check the System for Award Management Exclusions website ( https://www.sam.gov/).

8. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings.

9. Except for transactions authorized under paragraph 5 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension or debarment.

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY AND VOLUNTARY EXCLUSION—

LOWER TIER COVERED TRANSACTIONS

1. The prospective lower tier participant certifies, by submission of this proposal, that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participating in covered transactions by any Federal department or agency.
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2. Where the prospective lower tier participant is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this proposal.

BUY AMERICA
(applies to subrecipients as well as States)
The State and each subrecipient will comply with the Buy America requirement (23 U.S.C. 313) when purchasing items using Federal funds. Buy America requires a State, or subrecipient, to purchase with Federal funds only steel, iron and manufactured products produced in the United States, unless the Secretary of Transportation determines that such domestically produced items would be inconsistent with the public interest, that such materials are not reasonably available and of a satisfactory quality, or that inclusion of domestic materials will increase the cost of the overall project contract by more than 25 percent. In order to use Federal funds to purchase foreign produced items, the State must submit a waiver request that provides an adequate basis and justification for approval by the Secretary of Transportation.

CERTIFICATION ON CONFLICT OF INTEREST
(applies to subrecipients as well as States)

GENERAL REQUIREMENTS
No employee, officer, or agent of a State or its subrecipient who is authorized in an official capacity to negotiate, make, accept, or approve, or to take part in negotiating, making, accepting, or approving any subaward, including contracts or subcontracts, in connection with this grant shall have, directly or indirectly, any financial or personal interest in any such subaward. Such a financial or personal interest would arise when the employee, officer, or agent, any member of his or her immediate family, his or her partner, or an organization which employs or is about to employ any of the parties indicated herein, has a financial or personal interest in or a tangible personal benefit from an entity considered for a subaward. Based on this policy:

1. The recipient shall maintain a written code or standards of conduct that provide for disciplinary actions to be applied for violations of such standards by officers, employees, or agents. a. The code or standards shall provide that the recipient's officers, employees, or agents may neither solicit nor accept gratuities, favors, or anything of monetary value from present or potential subawardees, including contractors or parties to subcontracts.
b. The code or standards shall establish penalties, sanctions, or other disciplinary actions for violations, as permitted by State or local law or regulations.

2. The recipient shall maintain responsibility to enforce the requirements of the written code or standards of conduct.

DISCLOSURE REQUIREMENTS
No State or its subrecipient, including its officers, employees, or agents, shall perform or continue to perform under a grant or cooperative agreement, whose objectivity may be impaired because of any related past, present, or currently planned interest, financial or otherwise, in organizations regulated by NHTSA or in organizations whose interests may be substantially affected by NHTSA activities. Based on this policy:

1. The recipient shall disclose any conflict of interest identified as soon as reasonably possible, making an immediate and full disclosure in writing to NHTSA. The disclosure shall include a description of the action which the recipient has taken or proposes to take to avoid or mitigate such conflict.

2. NHTSA will review the disclosure and may require additional relevant information from the recipient. If a conflict of interest is found to exist, NHTSA may (a) terminate the award, or (b) determine that it is otherwise in the best interest of NHTSA to continue the award and include appropriate provisions to mitigate or avoid such conflict.

3. Conflicts of interest that require disclosure include all past, present, or currently planned organizational, financial, contractual, or other interest(s) with an organization regulated by NHTSA or with an organization whose interests may be substantially affected by NHTSA activities, and which are related to this award. The interest(s) that require disclosure include those of any recipient, affiliate, proposed consultant, proposed subcontractor, and key personnel of any of the above. Past interest shall be limited to within one year of the date of award. Key personnel shall include any person owning more than a 20 percent interest in a recipient, and the officers, employees or agents of a recipient who are responsible for making a decision or taking an action under an award where the decision or action can have an economic or other impact on the interests of a regulated or affected organization.

PROHIBITION ON USING GRANT FUNDS TO CHECK FOR HELMET USAGE (applies to all subrecipients as well as States)
The State and each subrecipient will not use 23 U.S.C. Chapter 4 grant funds for programs to check helmet usage or to create checkpoints that specifically target motorcyclists. 9/29/2023 7:41:47 AM Page 18 of 20

POLICY ON SEAT BELT USE
In accordance with Executive Order 13043, Increasing Seat Belt Use in the United States, dated April 16, 1997, the Grantee is encouraged to adopt and enforce on-the-job seat belt use policies and programs for its employees when operating company-owned, rented, or personally-owned vehicles. The National Highway Traffic Safety Administration (NHTSA) is responsible for providing leadership and guidance in support of this Presidential initiative. For information and resources on traffic safety programs and policies for employers, please contact the Network of Employers for Traffic Safety (NETS), a public-private partnership dedicated to improving the traffic safety practices of employers and employees. You can download information on seat belt programs, costs of motor vehicle crashes to employers, and other traffic safety initiatives at www.trafficsafety.org. The NHTSA website (www.nhtsa.gov) also provides information on statistics, campaigns, and program evaluations and references.

POLICY ON BANNING TEXT MESSAGING WHILE DRIVING
In accordance with Executive Order 13513, Federal Leadership On Reducing Text Messaging While Driving, and DOT Order 3902.10, Text Messaging While Driving, States are encouraged to adopt and enforce workplace safety policies to decrease crashes caused by distracted driving, including policies to ban text messaging while driving companyowned or rented vehicles, Government-owned, leased or rented vehicles, or privately-owned vehicles when on official Government business or when performing any work on or behalf of the Government. States are also encouraged to conduct workplace safety initiatives in a manner commensurate with the size of the business, such as establishment of new rules and programs or re-evaluation of existing programs to prohibit text messaging while driving, and education, awareness, and other outreach to employees about the safety risks associated with texting while driving. 9/29/2023 7:41:47 AM Page 19 of 20

INSTRUCTIONS FOR ADDING OR UPDATING GEMS USERS

1. Each agency is allowed a total of FIVE (5) GEMS Users.

2. GEMS Users listed on this form will be authorized to login to GEMS to complete and submit Quarterly Performance Reports (QPRs) and reimbursement claims.

3. Complete the form if adding, removing or editing a GEMS user(s).

4. The Grant Director must sign this form and return it with the Grant Agreement.

CURRENT GEMS USER(S)

1. Anthony Barlin
Title: Motor Police Officer Media Contact: No
Phone: (310) 349-2707
Email: [email protected]

2. Stephen Colquette
Title: Lieutenant - Traffic Bureau Commander Media Contact: Yes Phone: (310) 349-2703
Email: [email protected]

3. Shaun Kemp
Title: Traffic Sergeant Media Contact: Yes
Phone: (310) 349-2702
Email: [email protected]

4. Chris Komathy
Title: Police Sergeant Media Contact: No
Phone: (310) 349-2702
Email: [email protected]

5. Joel Romero
Title: Traffic Bureau Commander Media Contact: Yes
Phone: (310) 349-2703
Email: [email protected]
State of California – Office of Traffic Safety
OTS-55 Grant Electronic Management System (GEMS) Access Exhibit C

GRANT NUMBER
PT24084

GRANT DETAILS
Grant Number: PT24084
Agency Name: Hawthorne Police Department
Grant Title: Selective Traffic Enforcement Program (STEP) Agreement Total: $185,000.00
Authorizing Official: Gary Tomatani
Fiscal Official: Felice Lopez
Grant Director: Shaun Kemp
9/29/2023 7:41:47 AM Page 20 of 20
Complete the below information if adding, removing or editing a GEMS user(s) GEMS User 1
Add/Change Remove Access {{[] c12_es_:signer1}}
Add as a media contact? Yes No
{{UserName1_es_:signer1 }} {{UserTitle1_es_:signer1 }}
Name Job Title
{{UserEmail1_es_:signer1 }} {{UserPhone1_es_:signer1 }} Email address Phone number
GEMS User 2
Add/Change Remove Access
Add as a media contact? Yes No
{{UserName2_es_:signer1 }} {{UserTitle2_es_:signer1 }}
Name Job Title
{{UserEmail2_es_:signer1 }} {{UserPhone2_es_:signer1 }} Email address Phone number
GEMS User 3
Add/Change Remove Access
Add as a media contact? Yes No
{{UserName3_es_:signer1 }} {{UserTitle3_es_:signer1 }}
Name Job Title
{{UserEmail3_es_:signer1 }} {{UserPhone3_es_:signer1 }} Email address Phone number
GEMS User 4
Add/Change Remove Access
Add as a media contact? Yes No
{{UserName4_es_:signer1 }} {{UserTitle4_es_:signer1 }}
Name Job Title
{{UserEmail4_es_:signer1 }} {{UserPhone4_es_:signer1 }} Email address Phone number
GEMS User 5
Add/Change Remove Access
Add as a media contact? Yes No
{{UserName5_es_:signer1 }} {{UserTitle5_es_:signer1 }}
Name Job Title
{{UserEmail5_es_:signer1 }} {{UserPhone5_es_:signer1 }} Email address Phone number
Form completed by: Date:

As a signatory I hereby authorize the listed individual(s) to represent and have GEMS user access. {{Name1_es_:signer2:fullname }}
Signature Name
Grant Director
Date Title
Shaun Kemp (Sep 29, 2023 11:39 PDT)
Shaun Kemp ✔
✔
Joel Romero Traffic Bureau Commander [email protected] 310-349-2703 ✔ ✔
Chris Komathy Traffic Sergeant [email protected] 310-349-2702 ✔ ✔
Stephen Colquette Traffic Bureau Commander [email protected] 310-349-2703 ✔ ✔
Aimee Yoshida Traffic Bureau Commander [email protected] 310-349-2703 ✔ Kevin Keus Traffic Sergeant [email protected] 310-349-2702 Sep 29, 2023 Shaun Kemp (Sep 29, 2023 11:40 PDT) Shaun Kemp Shaun Kemp Sep 29, 2023
Grant Agreement - PT24084
Final Audit Report 2023-10-03
Created: 2023-09-29
By: Stephanie Spaid ([email protected])
Status: Signed
Transaction ID: CBJCHBCAABAAi12cofcKFlnfXYqMVVyiTAPSgwPMcWyT "Grant Agreement - PT24084" History
Document created by Stephanie Spaid ([email protected]) 2023-09-29 - 2:42:04 PM GMT
Document emailed to [email protected] for signature 2023-09-29 - 2:42:13 PM GMT
Email viewed by [email protected]
2023-09-29 - 6:36:25 PM GMT
Signer [email protected] entered name at signing as Shaun Kemp 2023-09-29 - 6:39:43 PM GMT
Document e-signed by Shaun Kemp ([email protected]) Signature Date: 2023-09-29 - 6:39:45 PM GMT - Time Source: server Document emailed to [email protected] for signature 2023-09-29 - 6:39:46 PM GMT
Email viewed by [email protected]
2023-09-29 - 6:40:01 PM GMT
Signer [email protected] entered name at signing as Shaun Kemp 2023-09-29 - 6:40:25 PM GMT
Document e-signed by Shaun Kemp ([email protected]) Signature Date: 2023-09-29 - 6:40:27 PM GMT - Time Source: server Document emailed to [email protected] for signature 2023-09-29 - 6:40:29 PM GMT
Email viewed by [email protected]
2023-09-29 - 11:46:37 PM GMT
Signer [email protected] entered name at signing as Felice Lopez 2023-10-02 - 3:42:59 PM GMT
Document e-signed by Felice Lopez ([email protected]) Signature Date: 2023-10-02 - 3:43:01 PM GMT - Time Source: server Document emailed to [email protected] for signature 2023-10-02 - 3:43:05 PM GMT
Email viewed by [email protected]
2023-10-03 - 0:28:21 AM GMT
Signer [email protected] entered name at signing as Gary Tomatani 2023-10-03 - 0:28:46 AM GMT
Document e-signed by Gary Tomatani ([email protected]) Signature Date: 2023-10-03 - 0:28:48 AM GMT - Time Source: server Document emailed to Carolyn Vu ([email protected]) for signature 2023-10-03 - 0:28:50 AM GMT
Email viewed by Carolyn Vu ([email protected])
2023-10-03 - 4:12:38 AM GMT
Document e-signed by Carolyn Vu ([email protected]) Signature Date: 2023-10-03 - 4:12:50 AM GMT - Time Source: server Document emailed to Barbara Rooney ([email protected]) for signature 2023-10-03 - 4:12:52 AM GMT
Email viewed by Barbara Rooney ([email protected]) 2023-10-03 - 6:20:38 PM GMT
Document e-signed by Barbara Rooney ([email protected]) Signature Date: 2023-10-03 - 6:20:49 PM GMT - Time Source: server Agreement completed.
2023-10-03 - 6:20:49 PM GMT

AGENDA ITEM NO. 9

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: Public Works
City Manager: __________
Vontray Norris
Dir. of Public Works: ___________
Akbar Farokhi
SUBJECT:

Progress Payment #3 in the amount of $141,110.06 due to Elecnor Belco Electric of Chino, CA for Hawthorne Blvd Mobility Improvement Project – Phase II (Project # 23-01) RECOMMENDED MOTION:

Staff recommends that the City Council approve this Progress Payment #3 to Elecnor Belco Electric of Chino, CA
DISCUSSION:

This project includes upgrading the existing traffic signals at three different locations on Hawthorne Blvd between Imperial Hwy and 119th St, at the intersections of: Imperial Hwy, 118th St and 119th St. The project also includes installing new traffic signals at the intersection of 116th St.

The work consists of traffic signal upgrades, trenching and installing conduits, construction of curb and gutter, sidewalks and ADA ramps, striping and adjustment of utilities and all other work necessary to complete the improvements in accordance with the Plans and Specifications.

Underground conduit and concrete removal and restoration have been completed at 116th St, 118th St and 119th St. New traffic signal poles have been installed on 116th St and 118th St.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

This project is a result of the City working closely with funding and regulatory agencies to support and improve our infrastructure.

FISCAL IMPACT:

None. Funds for this progress payment in the amount of $141,110.06 are available in the adopted Fiscal Year 2023-2024 budget and will be paid for with approved and allocated funds through the MTA Call for Projects grant.

NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

1. Progress Payment #3

AGENDA ITEM NO. 10

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: Public Works
City Manager: __________
Vontray Norris
Dir. of Public Works: ___________
Akbar Farokhi
SUBJECT:

Progress Payment #6 in the amount of $313,310.00 due to Elecnor Belco Electric of Chino, CA for Highway Safety Improvement Project Traffic Signal Upgrade and Reconstruction 120th St Improvement Project – Prairie Ave to Felton Ave (Project # 21-06).

RECOMMENDED MOTION:

Staff recommends that the City Council approve this Progress Payment #6 to Elecnor Belco Electric of Chino, CA.

DISCUSSION:

This project includes upgrading the existing traffic signals at nine different locations on 120th St between Prairie Ave and Felton Ave, at the intersections of: Prairie Ave, York Ave, Freeman Ave, Birch Ave, Grevillea Ave, Ramona Ave, Eucalyptus Ave, Inglewood Ave and Felton Ave.

The work consists of traffic signal upgrades, trenching and installing conduits, construction of curb and gutter, sidewalks and ADA ramps, striping and adjustment of utilities and all other work necessary to complete the improvements in accordance with the Plans and Specifications.

Sidewalks, curb ramps and underground utilities have been completed along 120th St.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

This project is a result of the City working closely with funding and regulatory agencies to support and improve our infrastructure.

FISCAL IMPACT:

None. Funds for this progress payment in the amount of $313,310.00 are available in the adopted Fiscal Year 2023-2024 budget and will be paid for with approved and allocated Highway Safety Improvement Program (HSIP) Grant and Measure R.

NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

1. Progress Payment #6

AGENDA ITEM NO. 11

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: City Manager
City Manager: __________
Vontray Norris
SUBJECT:

The Los Angeles County Regional Park and Open Space District Technical Assistance ProgramMultijurisdictional Fund.

RECOMMENDED MOTION:

Staff recommends that the City Council approves, receives and file this report.

DISCUSSION:

In the City Council meeting of September 12, 2023 the City Council directed the City Manager to explore the RPOSD Technical Assistance Program- Multi jurisdictional Fund and provide a recommendation for its funding application. Measure A has designated a distinct fund known as the TAP Multi-jurisdictional fund, specifically aimed at financing projects spanning multiple municipalities and unincorporated regions. Notably, Hawthorne falls into the "Very-High-Need" category concerning the availability of parks and open spaces, making us an eligible entity for this fund. We propose endorsing the TAP Multijurisdictional grant to revitalize two state-owned land parcels.

The first site is situated between Freeman Ave and Osage Ave along the 105 Freeway, covering an approximate area of 30,000 square feet. Our recommendation is to transform this space into a pocket park, complete with LED lighting, benches, landscaping, exercise equipment, and an ADA-compliant walkway.

The second site lies between Condon Ave and Burl Ave along the 105 freeway, encompassing approximately 60,000 square feet. Our proposal is to enhance this area by incorporating a scenic walkway, lush vegetation, trees, and diligent maintenance. This endeavor aims to offer our residents a peaceful environment for relaxation, socializing, and connecting with nature. The

design will prioritize sustainable landscaping practices, including water-efficient irrigation and the use of native plantings.

We are deeply committed to involving the local community in the planning and development process to ensure that the project aligns with their needs and desires. We firmly believe that repurposing these state-owned sites in this manner will not only enhance the beauty of the area but also deliver numerous advantages to our community. These benefits include improved opportunities for health and wellness, an increase in property values, and a heightened sense of pride in our surroundings.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

Investing in parks, recreational facilities, and open spaces in the City of Hawthorne can significantly support its economic development strategic plan in several ways. Well-maintained parks and attractive open spaces can become destinations for tourists, leading to increased tourism-related spending in the City, benefiting local businesses like hotels, restaurants, and shops.

Well-maintained parks and green spaces can enhance property values in the surrounding areas. Higher property values can result in increased property tax revenues for the City, contributing to its financial stability. In addition, parks and recreational activities often serve as hubs for community gatherings and events. These activities can foster a sense of community and belonging, which can have a positive impact on civic engagement and social cohesion. Lastly, Green spaces contribute to improved air and water quality and help mitigate the urban heat island effect. These environmental benefits can make the city a more attractive and sustainable place to live and do business.

FISCAL IMPACT:

None.

NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

1. Map
RPOSD TAP MULTIJURISDICTIONAL RECOMMENDATIONS:

AGENDA ITEM NO. 12

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: Public Works
City Manager: __________
Vontray Norris
Dir. of Public Works: ___________
Akbar Farokhi
SUBJECT:

Community Clean Up Event.

RECOMMENDED MOTION:

Staff recommends that the City Council approve the agreement for this event, receive and file this report.

DISCUSSION:

As part of our commitment to keeping the community clean, City of Hawthorne will host two Cleanup Days events in collaboration with Caltrans to clean up the community. The Staff has partnered with Caltrans and is scheduling a Community Clean Up event on Saturday, December 9, 2023 and Saturday March 16, 2024. The Clean California program will fund a portion of this free Community Clean Up. The Clean California initiative is a multi-year clean-up effort to keep roads and waterways free of litter and transform state and local public spaces through beautifying efforts. Caltrans agrees to reimburse the City of Hawthorne with a percentage of costs of labor, equipment, and dumping fees expended for this Community Clean Up Event.

This event is intended to mobilize the community to clean up the City during this focused part of the month. It would include collaboration between Staff and residents and support from Caltrans, Martinez Landscape, and Republic Services for bulky item trash, paper shredding, and electronic waste pick up.

These Community Clean up Events discourage Illegal Dumping along the highways and roads by giving communities a convenient place to dispose of bulky items safely, properly, and at no cost.

No commercial drop-offs are allowed. Residents are invited to drop off their bulky items, paper for shredding, and electronic waste at the Betty Ainsworth Center parking lot at 3851 W El Segundo Blvd. Hawthorne, CA 90250, from 8 am to 1 pm.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

Creating a community clean-up event can benefit a city's economic development by making neighborhoods and public spaces more attractive to residents, visitors, and investors. This can lead to increased property values and revenue for infrastructure. Clean-ups also have environmental benefits. Additionally, they foster community pride and social bonds, enhancing a city's economic resilience and attractiveness to businesses and tourists.

FISCAL IMPACT:

None.

NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

1. Agreement

DUMP DAY EVENT AGREEMENT
THIS AGREEMENT is made this ______ day of ____________, 20__, by and between the State of California, acting by and through the Department of Transportation, hereinafter referred to as CALTRANS; and the City of _Hawthorne_________, hereinafter referred to as “LOCAL AGENCY”; and collectively referred to as “PARTIES.”
The Clean California initiative is a multiyear clean-up effort led by CALTRANS to keep roads and waterways free of litter, create thousands of jobs, and transform state and local public spaces through beautification efforts. As part of the litter collection component, CALTRANS is proposing free dump day events where the public can dispose of household waste safely and properly for free (Dump Day events).

CALTRANS and LOCAL AGENCY, agree to provide free Dump Day events for LOCAL AGENCY’s residents as part of the Clean California initiative.

PARTIES are authorized to enter into a cooperative agreement for improvements to the State Highway System per the California Streets and Highways Code, Sections 114 and 130.

PARTIES MUTALLY AGREE TO DO THE FOLLOWING:

1. PARTIES shall publicize Dump Day events by informing the public that they may dispose of certain household waste items safely and properly for free, at the following locations and dates:
 December 9, 2023 between 8am to 1pm at the Betty Ainsworth Center, 3851 W El Segundo Blvd, Hawthorne, CA 90250
 March 16, 2024 between 8am-1pm at the Betty Ainsworth Center, 3851 W El Segundo, Hawthorne, CA 90250

2. CALTRANS agrees to reimburse the LOCAL AGENCY 100___% (one hundred_ percent) of cost for, including but not limited to labor, equipment and/or dumping fees expended for Dump Day events (Dump Day Costs) up to the maximum Contract Sum stated in this Agreement.

3. CALTRANS has agreed to reimburse LOCAL AGENCY, an amount not to exceed ([$12,000]) to fulfill its obligations under this AGREEMENT.

4. CALTRANS’ obligations under this AGREEMENT are subject to the appropriation of resources by the Legislature and the State Budget Act authority.

5. Based on the amount of trash collected during the Dump Day events, LOCAL AGENCY shall send its invoices to CALTRANS within 45 days of the Dump Day event for the latter’s share of the Dump Day Costs.

6. LOCAL AGENCY shall send invoices to the Caltrans District Clean CA District (07) Coordinator. The itemized invoice shall contain the following:
(a) STATE’s Clean California Program Code: CLEANCADMP;
(b) AGREEMENT number;
(c) Date(s) of services;
(d) Location of services;
(e) Number of hours and hourly rates;
(f) Receipts for trash disposal;
(g) Receipts for equipment, materials, and supplies; and (h) LOCAL AGENCY’s Performance Report that includes tonnage and/or cubic yard measurement of litter/debris disposed.

CALTRANS
John Zaki, Contract Manager
100 S. Main Street
Los Angeles, CA 90012
Office Phone: (213) 269-1275
Mobile Phone: (213) 269-1275
Fax Number: N/A
Email: [email protected]
LOCAL AGENCY contact is the following:

Akbar Farokhi, Director of Public Works
4455 W 126th St. Hawthorne, CA 90250
Office Phone: (310) 349-2980
Mobile Phone: (310) 345-1767
Email: [email protected]

7. Upon review and approval of invoice by the District Clean California Coordinator, CALTRANS shall pay LOCAL AGENCY within forty-five (45) calendar days of receipt of invoices. Payment will be made in accordance with the CA Prompt Payment Act, and within the time specified in Chapter 4.5, sections 927-927.13 of the Government Code.

8. When publicizing the Dump Day events, PARTIES shall inform the public that no hazardous materials will be accepted at the Transfer Stations/Landfills. However, if LOCAL AGENCY accepts hazardous materials, it shall do so at its own risk and responsibility and CALTRANS shall not pay disposal fees for such hazardous material.

9. Participating members of the public will be responsible for legally transporting waste to the Dump Day event.

10. LOCAL AGENCY shall provide the necessary equipment, tools, personal protective equipment, materials, supplies and products necessary to perform the services under this AGREEMENT including refuse intake inspection by staff qualified to identify hazardous materials, transportation, loading and unloading, and handling of Dump Day refuse.

11. CALTRANS does not accept nor take any responsibility for generation of any waste streams, including hazardous materials, associated with the Dump Day event(s).

12. All services performed by LOCAL AGENCY pursuant to this AGREEMENT are intended to be performed in accordance with all applicable Federal, State and LOCAL AGENCY laws, ordinances, and regulations. In case of a conflict between Federal, State and LOCAL AGENCY laws, ordinances, or regulations, the order of precedence applicability of these laws shall be Federal, State and then LOCAL AGENCY laws and regulations, respectively.

13. The total amount CALTRANS will reimburse to LOCAL AGENCY pursuant to this AGREEMENT shall not exceed [$12,000] (“Contract Sum”). Costs incurred by LOCAL AGENCY for PROJECT work under this AGREEMENT in excess of the Contract Sum will be borne by LOCAL AGENCY. It is understood and agreed that this AGREEMENT fund limit is an estimate, and that CALTRANS will only reimburse the actual cost of services rendered as authorized by the CALTRANS Contract Manager or designee at or below the fund limitation amount set forth in this AGREEMENT.

14. This AGREEMENT may only be amended or modified by mutual written agreement of the PARTIES.

15. This AGREEMENT will end on June 30, 2024. This AGREEMENT may be terminated by the PARTIES upon mutual written agreement. In the event of a termination CALTRANS will reimburse LOCAL AGENCY all allowable, authorized, and noncancellable obligations and costs incurred by LOCAL AGENCY prior to the termination.

16. Neither CALTRANS nor any officer or employee thereof is responsible for any injury, damage, or liability occurring by reason of anything done or omitted to be done by LOCAL AGENCY, its contractors, sub-contractors, general public, and/or its agents under or in connection with any work (including hazardous materials), authority, or jurisdiction conferred upon LOCAL AGENCY under this AGREEMENT. It is understood and agreed that LOCAL AGENCY, to the extent permitted by law will defend, indemnify, and save harmless CALTRANS and all of its officers and employees from all claims, suits, or actions of every name, kind, and description brought forth under, but not limited to, tortious, contractual, inverse condemnation, or other theories and assertions of liability occurring by reason of anything done or omitted to be done by LOCAL AGENCY, its contractors, sub-contractors, general public, and/or its agents under this AGREEMENT. PARTIES will continue to work together to plan future events.

PARTIES are authorized to enter into this AGREEMENT and have delegated to the undersigned the authority to execute this AGREEMENT on behalf of the respective agencies and hereby covenant to have followed all the necessary legal requirements to validly execute this AGREEMENT. By signing below, the PARTIES each expressly agree to execute this AGREEMENT electronically.
____________________ __________ ____________________ __________ Godson Okereke Date Vontray Norris Date
Deputy District Director Maintenance City Manager
Caltrans District (07) City of Hawthorne

EXHIBIT A
DUMP DAY Locations and Schedule
 December 9, 2023 between 8am to 1pm at the Betty Ainsworth Center, 3851 W El Segundo Blvd, Hawthorne, CA 90250
 March 16, 2024 between 8am-1pm at the Betty Ainsworth Center, 3851 W El Segundo, Hawthorne, CA 90250
____________________ __________ ____________________ __________ Godson Okereke Date Vontray Norris Date
Deputy District Director Maintenance City Manager
Caltrans District (07) City of Hawthorne

AGENDA ITEM NO. 13

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: Housing
City Manager: __________
Vontray Norris
Dir. of Housing: ___________
Kimberly Mack
SUBJECT:

Annual Rent Increase for City-Owned Multi-Family Affordable Housing Units RECOMMENDED MOTION:

Staff recommends that the City Council approve an annual rent increase for City-owned multifamily affordable housing units. The increase will be either 3% or the year's Consumer Price Index (CPI) rate, whichever is higher.

DISCUSSION:

BACKGROUND:

The City of Hawthorne possesses six (6) Affordable Housing buildings, encompassing a total of 38 units affordable to moderate- and very low-income households. The existing affordability restrictions mandate that the properties remain affordable and be occupied by individuals and families with moderate and very-low household incomes for the longest feasible duration, but no less than 55 years from the initial restriction date. The earliest building's affordability terms are set to expire in 2046, with the latest ending in 2064.

Following the enactment of various legislative changes and the dissolution of Redevelopment Agencies statewide in 2012, the City lost funding sources for the necessary maintenance and operation of its Affordable Housing properties. In the absence of support from the City's General Fund, the sole income stream for covering essential maintenance and operational costs is derived from the monthly rents paid by tenants residing in these Affordable Housing properties.

In 2020, City staff conducted a comprehensive review of the City's affordable housing rents.

This review revealed that the City’s affordable rents are considerably below those permissible by the properties’ affordability covenants. These lower-than-optimal rents are placing a financial burden on the City, impacting our ability to maintain the properties without subsidies from alternative funds and grants. It is crucial to underscore that General Fund and grant support will

remain necessary until rents are adjusted to a sustainable level.

DISCUSSION:

To address the financial sustainability of the City's Affordable Housing Program, it is imperative to acknowledge that rents for the City's Affordable Housing units have remained stagnant for more than a decade, while utility, maintenance, and improvement costs have continued to rise.

Considering these escalating operational expenses, an adjustment in rental rates becomes a vital consideration to ensure that the properties are adequately maintain absent a dedicated funding source and alleviate the fiscal strain on the City.

A moderate increase of the greater of 3% or the current year CPI rate in rental rates provides a balance between the need to maintain financial stability for the City and the goal of avoiding undue financial hardship for our residents.

Rents
Table 1 below presents the following for all affordable housing properties owned by the City:
• The existing gross rents for all the properties (Existing Gross Rents); • The increased rents calculated using the maximum allowable rents based on the 2023 income limits for very low, low and moderate income households published by the Department of Housing and Community Development (HCD) or 2023 HCD Rent Limit; and • The rents with the proposed increase of 3% (Existing Gross Rent +3%).

Table 1. Existing Gross Rents, Allowable Increase, and Proposed Increase As shown in Table 1, the 2023 HCD Rent Limit allows for a substantial increase in rental rates.

The average rent per unit for all properties is $625 and the HCD limit would push this figure to $1,590, a 154% increase. In contrast, the proposed increase of 3% represents a significantly smaller Property Existing Gross Rent
1 2023 HCD Rent Limit % $ Existing Gross Rent + 3%
% $
11529 Gale $581 $2,341 303% $1,760 $598 3% $17
11537 Gale 624 1,130 81% 505 643 3% 19
11605 Gale 428 1,007 135% 578 441 3% 13
12529 Truro 1,059 1,244 17% 185 1,091 3% 32
12720 & 12726 Grevillea 431 2,228 417% 1,797 444 3% 13
Avg. Rent Per Unit (All Properties): $625 $1,590 154% $965 $643 3% $19 Current Total Rent (Per Month): $19,213 $65,356 240% $46,143 $19,789 3% $576 Current Total Rent (Per Year): $230,556 $784,268 240% $5 3,712 $237,473 3% $6,917 1Existinggross rent represents theaverageof all theunits ineachproperty. Inaddition, gross rents utilizedforthepurposes of this analysis donot includeSection8subsidies.

Max. Allowable Increase Proposed Increase
Source: City of Hawthorne, CaliforniaDepartment of HousingandCommunityDevelopment (HCD)

adjustment that aims to balance the City's financial needs with the affordability of housing for our residents.

Furthermore, the total annual rent for all properties within the program amounts to $230,556. If rents were increased to the HCD limits, this total would increase to $784,268, reflecting a 240% increase. In contrast, the proposed 3% increase would result in a more modest total rent of $237,473 in one year, yielding $6,917 in additional revenue that could be utilized for maintenance, operation, and improvement costs. This method represents a responsible and sustainable approach to maintaining the program's financial stability.

Three Percent Increase
As shown in Table 2 below, the proposed 3% annual increase in rental rates for the City's Affordable Housing Program aligns closely with the median CPI increase of 3.2% over a five-year period. This choice reflects a responsible and measured approach, considering the local economic landscape and cost-of-living trends. Such an increase balances the program's financial stability with the affordability imperative for our residents.

Table 2. Consumer Price Index Increase, Five Years
Utility Costs
The City pays utilities for all City-owned apartment units to Southern California Edison, Cal Water, the Hawthorne Water System, and SoCal Gas. Rate increases for electricity have been the most significant. Table 3 below offers a detailed perspective on the rate increases for electricity over the past five fiscal years, reflecting the general upward trend in utility rates. These figures, sourced from Southern California Edison, illustrate the rate increases experienced in baseline service, nonbaseline service, and high usage charges.

Table 3. Electricity Cost Increase, Southern California Edison Year CPI
2019 3.2%
2020 3.1%
2021 0.9%
2022 7.5%
2023 5.8%
Median Increase: 3.2%
Source: Bureauof LaborStatistics, LosAngeles 12- monthCPI, January Year Baseline Service % Inc. Nonbaseline Service % Inc. High Usage Charge % Inc. FY 18-19 $ 0.10008 $ 0.15302 $ 0.33253 FY 19-20 0.11940 19.3% 0.18082 18.2% 0.25005 -24.8%
FY 20-21 0.16135 35.1% 0.23451 29.7% 0.31698 26.8%
FY 21-22 0.17324 7.4% 0.25627 9.3% 0.34985 10.4%
FY 22-23 0.15697 -9.4% 0.24612 -4.0% 0.34648 -1.0%
5-Year Increase $ 0.05689 56.8% $ 0.09310 60.8% $ 0.01395 4.2% Source: SouthernCaliforniaEdison

Rate increases for water usage have been significant as well. Table 4 below details rate increases for water usage since January 1, 2017, reflecting a similar increasing trend in the cost of water.

The table includes the changes in rates for general metered service, metered service for senior residents (which include a 20% discount), and reclaimed water service.

Table 4. Water Usage Cost Increase, California Water Service Waste services are provided by Republic Services. The franchise contract between the City and Republic Services includes a provision for an annual rate increase of 4.2% every July.

These rate increases translate into higher costs for the City, affecting various operational aspects.

The misalignment between rising utility rates and unchanged rents for City-owned multi-family affordable housing units has led to an escalating financial burden for the City. As utility expenses continue to outpace rental income, the City's budget faces increased strain, which may impact our ability to maintain essential services and programs.

Improvement Costs
In addition to the notable increase in utility costs, it is essential to address the impact of other significant expenses that the City has incurred and is projected to incur. These expenses further contribute to the financial burden faced by the City, particularly in the context of managing affordable housing properties. The following expenses are noteworthy and have been paid-for using alternative monies, such as grants and other City funds:

1. 2020 Roof Repair: The City undertook essential roof repairs in 2020, incurring a total cost of $48,650. These repairs were distributed across different housing sites, with Gale accounting for $27,000, Truro for $33,809, and Grevillea for $15,200. These repairs were essential for maintaining the structural integrity of the properties and ensuring the safety and well-being of our residents.

2. 2023 Exterior Project: Currently underway, this extensive project entails the replacement of roofs, plywood, fascia board, rafter tails, rain gutters, painting, and hole repairs, among Ef ective Date
General
Metered
Service Rate*
% Inc.

Senior Metered
Service Rate* % Inc.

Reclaimed
Water Service
Rate*
% Inc.
01/01/2017 $ 4.1762 $ 3.3410 $ 2.4180
01/01/2020 4.6652 11.7% 3.7322 11.7% 2.7012 11.7%
01/01/2021 5.2063 11.6% 4.1651 11.6% 3.0144 11.6%
01/01/202 5.8117 11.6% 4.6494 11.6% 3.3650 11.6%
07/01/2023 5.8999 1.5% 4.7199 1.5% 3.4160 1.5%
6-Year Increase $ 1.72370 41.3% $ 1.37890 41.3% $ 0.9 80 41.3% *Per 100cubic feet. * For first 1,000cubic feet, per 100cubic feet. Source: CaliforniaWater Service

other crucial maintenance tasks. The project's estimated cost is $1,495,580 for all housing sites. The breakdown of costs by site is as follows: Gale $211,000, Grevillea $252,000, 11605 Gale $211,000, 12720 & 12726 Grevillea $252,000, 11529 & 11537 Gale $540,000, and Truro $192,000. These expenditures are crucial for ensuring the long-term viability of our affordable housing properties.

3. Maintenance Charged to Other Funds: An additional $100,000 has been allocated from other City funds to cover maintenance expenses for these properties. This reflects the City's commitment to maintaining the quality and safety of its housing units.

4. Future Projects: The City has identified further projects for the near future, including an exterior project not to exceed $200,000 for all sites. This project will involve tasks such as asphalt removal, concrete work, landscaping, irrigation, fencing, and lighting upgrades, contributing to the overall upkeep and appearance of the properties. The estimated breakdown by site includes Gale $33,500, Truro $9,500, Gale $28,000, 11605 Gale $36,285, and Grevillea $69,021.25.

5. 2023-2024 Interior Work: An ambitious interior work project is anticipated for 2023- 2024, with an estimated cost not to exceed $2,777,123 for all housing sites. This comprehensive project will encompass drywall replacement, painting, electrical upgrades (GFI), appliance and fixture upgrades, cabinet replacements, floor replacements, window upgrades, security gate installation, garage door improvements, and more. This project is expected to go out to bid in the current month and is pivotal for maintaining the overall quality and functionality of the affordable housing units.

Conclusion
Given the static rental rates and the rising costs of utilities and property improvements, the proposed 3% annual increase in rental rates emerges as a necessary measure to ensure the wellbeing and quality of life for our tenants. This balanced approach addresses the financial challenges faced by the City, enabling essential property improvements while maintaining affordability for our valued residents. It is a step toward the long-term financial sustainability of the Affordable Housing Program, benefitting both the City and our community members.

STAFF RECOMMENDATION
Stagnant rents and rising costs affecting the Affordable Housing Program are financially impacting the City’s ability to maintain the properties without subsidies from other funds. To help mitigate the financial impacts to the City, staff recommends:

1. Approve an annual rent increase of 3% or the percentage corresponding to the CPI (per Bureau of Labor Statistics), whichever is larger, for the Affordable Housing properties. If this is approved, the rental rates of the Affordable Housing units shall not exceed the mandated rent limit, as published by the California Department of Housing and Community Development or the HOME Program limits; whichever is applicable.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

None.

FISCAL IMPACT:

None.

NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

1. Hawthorne Council Meeting Presentation 2023-10-10
Proposed Annual Rent
Increase for City-Owned
Affordable Housing
Hawthorne City Council
October 10, 2023
Introductions
Von Norris, City Manager
Kimberly Mack, Housing Director
Hitta Mosesman, CDH Vice President
Irlanda Martinez, CDH Project Manager
Overview
I. Background
II. Proposed
Rent Increase
III. Increased
Costs
IV. Options
V. Questions
Background
12720 & 12726
Grevillea 11605 Gale 11529 Gale 11537 Gale 12529 Truro
Units 8 10 12 5 3
Affordability Moderate
Income
Very Low
Income
Moderate
Income
Very Low
Income
Very Low
Income
Existing Gross
Rent 1
$431 $428 $581 $624 $1,059
Acquisition
Year 1991 2008 2008 2009 2009
Covenant
Expiration 2046 2064 2064 2064 2064
• Six (6) City-owned affordable housing properties
• 38 total units
• 55-year affordability covenants
• Maintenance and operation costs paid using rent revenues and alternative City funds (e.g., General Fund, grants)
• City pays for water, trash, and vacant unit/common space electric and gas
1 Existing gross rent represents the average rent for all units in each property Proposed Rent
Increase
• Rents must be calculated per HCD Income Limits (published annually) • Monthly Rent Limit = Annual Income Limit (based on household size) * 30% (per HCD guidelines) divided by 12 (months).
• Existing gross rents < allowable gross rents (per State guidelines) • Proposal:
• Increase existing gross rents by either 3% or corresponding year’s CPI, whichever is greater.
• Allow increase in perpetuity, until allowable rents are reached.

Proposed Rent
Increase
(Cont.)
• 3% annual increase based on median CPI increase in last five years.

Increased
Costs
• Notable electricity cost increase over the last five years (57%):
• 4.2% annual rate increase built into waste services
franchise contract
Increased
Costs
(cont.)
• Notable water cost increase over the last six years (41%):
• Major Improvements including:
• 2020 Roof Repair - $48,650 for all sites (Complete)
• 2023 Exterior Project - $1,495,580 for all sites (In process) • 2023 Exterior Project – not to exceed $200,000 for all sites (October)
• 2023-2024 Interior Work – not to exceed $2,777,123 for all sites (Pending)
• Portion of Costs covered by grants
Staff
Recommendation
Approve an annual rent increase of the
greater of 3% or corresponding year’s CPI
increase. Rental rates shall not exceed the
mandated rent limit, as published by HCD.

Questions

AGENDA ITEM NO. 14

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: City Attorney
City Manager: __________
Vontray Norris
City Attorney: ___________
Robert Kim
SUBJECT:

Fiscal Year 2023/2024 Budget Adjustment to Account Number 250-1901-736-0-0-45554 (Arthur J. Gallagher Insurance) from $125,000.00 to $200,000.00 and Approval of a Blanket Purchase Order (“BPO”) for the Same.

RECOMMENDED MOTION:

Staff Recommends that the City Council approve the Fiscal Year 2023/2024 budget adjustment to account number 250-1901-736-0-0-45554 (Arthur J. Gallagher Insurance) from $125,000.00 to $200,000.00 and approve of a Blanket Purchase Order (“BPO”) for the same amount.

DISCUSSION:

The city has a number of insurance brokers that provide varying policies, for which the premiums are budgeted for each fiscal year. Last year, the city’s annual premiums for earthquake and underground storage tank insurance policies were about $45,000 and $20,000 respectively. With the increase of natural disasters statewide, some insurance companies have raised their premiums substantially or, as was the case with State Farm, withdrawing from the state entirely.

In anticipation of the increases, staff budgeted a combined $125,000.00 for both insurance policies. However, this was still insufficient as the insurance provider increased the earthquake premium alone to $158,742.43. It should be noted that unlike typical insurance brokers, brokers for municipalities are more specialized and have a high degree of skill and expertise that is not ideal for competitive bidding.

Given the increases, staff is requesting a change to the budget from $125,000.00 to $200,000.00 to cover (1) the increase in the earthquake insurance and (2) the premium for insurance on the underground storage tanks.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

FISCAL IMPACT:
$125,000.00 was approved for Fiscal year 2023/2024 Budget. There will be an additional impact of $75,000.00 to the General Fund.

NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

None

AGENDA ITEM NO. 15

CITY OF HAWTHORNE
City Council

AGENDA BILL
For the meeting of October 10, 2023
Originating Department: Housing
City Manager: __________
Vontray Norris
Dir. of Housing: ___________
Kimberly Mack
SUBJECT:

Housing Successor Agency Reports for Fiscal Year Ending 2021-22.

RECOMMENDED MOTION:

Staff recommends that the City Council receive and file the City of Hawthorne Housing Successor Agency Annual Report for Fiscal Year 2021-22
DISCUSSION:

Background:

The City of Hawthorne (“City”) serves as the Housing Successor Agency to the former Hawthorne Redevelopment Agency (“Agency”), which was dissolved on February 1, 2012. Each Housing Successor Agency is required to prepare an annual report documenting its assets, revenues, expenditures, and how it is meeting requirements imposed by Health and Safety Code Section 34176.1.

The annual report is required to contain the following:
1) A summary of housing successor agency duties;
2) The balance of the Low- and Moderate-Income Housing Asset Fund (“Housing Asset Fund”);
3) An inventory of properties held in the Housing Asset Fund; and 4) Reports on the City’s performance thus far in meeting the income and age proportionality requirements of Health and Safety Code (“HSC”) Section 34176.1.

The report is due to the California Department of Housing and Community Development by April 1 each year and must be posted on the City’s website. The report for Fiscal Year 2021-22 is being presented to the City Council for receive and file.

Analysis:

The City’s progress on major requirements in the Fiscal Year 2021-22 is summarized below.

Housing Asset Fund Activity
The City deposited $162,048 into the Housing Asset Fund during Fiscal Year 2021-22. Revenues were from investment earnings and rental property income (security deposits, rents, and machine income).

Real Property Assets and Loans Receivables
As the Housing Successor Agency, the City inherited 6 real properties, 1 loan, and 2 deferrals from the former Agency when it dissolved on February 1, 2012. The value of real properties and loans receivable was $5 million as of June 30, 2020. Of the 6 properties, 5 are already developed and operating as affordable housing, and 1 is in the process of being sold/developed.

Expenditure Proportionality Requirements
Expenditures from the Housing Asset Fund must meet specific proportionality requirements by income level and age:
• Administrative and monitoring expenses are capped at $200,000 annually, adjusted for inflation, or 5 percent of the value of real properties and loans receivable, whichever is higher.
• Up to $250,000 may be spent annually on rapid re-housing solutions for homelessness. • If Housing Asset Funds are spent on housing projects and programs, within each five-year compliance period:
o At least 30% must be spent on extremely low-income households (earning up to 30% of the Area Median Income);
o No more than 20% may be spent on low-income households (earning 60-80% of the Area Median Income); and
o No monies may be spent on moderate or above moderate-income households (earning more than 80% of the Area Median Income).
• No more than 50% of rental housing units assisted by the City or the former Redevelopment Agency in the prior 10 years may be restricted to seniors.

The City only incurred administrative expenses during Fiscal Year 2021-22 and is meeting all requirements for rapid rehousing, projects and programs, and senior expenditures. However, the $245,541 limit for administrative expenditures was exceeded with a total of $237,137 spent. Staff is working to reduce annual administrative expenditures to ensure requirements are met in the future.

Steps Following Approval:

City Staff will post the FY 2021-22 Housing Successor Annual Report on the City’s website.

ECONOMIC DEVELOPMENT STRATEGIC PLAN:

None
FISCAL IMPACT:

None
NOTICING PROCEDURES:
72 hours posted notice pursuant to the Ralph M. Brown Act ATTACHMENT(S):

1. Hawthorne Housing Successor Agency Annual Report for Fiscal Year 2021-22 FY 2021-22 Housing Successor Annual Report 1-1 April 2023 City of Hawthorne
2021-22 Housing Successor
Agency Annual Report

CITY OF HAWTHORNE
Housing Successor Agency to the Former Hawthorne
Redevelopment Agency
April 1, 2023
Prepared for:

CITY OF HAWTHORNE
Prepared by:
22 Executive Park, Suite 200
Irvine, California 92614
(949) 655-3900
FY 2021-22 Housing Successor Annual Report 1-2 April 2023 City of Hawthorne
Table of Contents
Section 1 Introduction .........................................................................................................1-3

1.1 Reporting Requirements...............................................................................1-3

1.2 Expenditure Requirements ...........................................................................1-4

1.3 Assets Transferred to the Housing Successor Agency ................................1-5 Section 2 Low and Moderate Income Housing Asset Fund .............................................2-1

2.1 Housing Asset Fund Deposits and Ending Balance .....................................2-1

2.2 Expenditure Limitations ................................................................................2-1

2.3 Statutory Value of Real Properties and Loan Receivables...........................2-2 Section 3 Property Development & Disposition................................................................3-1 Section 4 Outstanding Inclusionary & Replacement Housing.........................................4-1 Section 5 Senior Housing Expenditure Proportionality ...................................................5-1 Section 6 Excess Surplus....................................................................................................6-2 Section 7 Inventory of Homeownership Units...................................................................7-1 Section 8 Deposits from City to Agency Loan Repayments ........................................8-1

APPENDICES
A Housing Asset Transfer Form
FY 2021-22 Housing Successor Annual Report 1-3 April 2023 City of Hawthorne
Section 1 Introduction
This Housing Successor Annual Report (“Report”) has been prepared pursuant to the California Health and Safety Code (“HSC”) Section 34176.1(f) and sets forth certain details of the City of Hawthorne (“City” or “Housing Successor”) as the Housing Successor of the Hawthorne Redevelopment Agency (“Agency”).

The purpose of this Report is to provide the governing body of the Housing Successor an annual report on the housing assets and activities of the Housing Successor under Part 1.85, Division 24 of the HSC – In particular, Sections 34176 and 34176.1 (“Dissolution Law”). The Report is due to the California Department of Housing and Community Development (“HCD”) by April 1st each year.

1.1 Reporting Requirements
Senate Bill (“SB”) 341 (2013-14) established that all former redevelopment agency housing assets must be maintained in a separate fund called the Low- and Moderate-Income Housing Asset Fund (“Housing Asset Fund”). HSC Section 34176.1(f) contains a series of annual reporting requirements for housing successor agencies regarding Housing Asset Funds. These requirements are presented below:
• Revenues and Expenditures
o Total amount deposited for the fiscal year.
o Statement of balance at the close of the fiscal year. o Description of expenditures for the fiscal year, broken out as follows:
▪ Rapid rehousing for homelessness prevention;
▪ Administrative expenses;
▪ Monitoring expenses (included as an administrative expense); ▪ All other expenditures must be reported as spent for each income group as defined by SB 341.
o Description of any transfers to another housing successor agency for a joint project. • Other Assets and Active Projects
o Description of any housing project(s) still funded through the Recognized Obligation Payment Schedule (“ROPS”).
o Update on property disposition or development for any property owned by the housing successor.
o Other “portfolio” balances, including the statutory value of any real property transferred from the former Agency or purchased by the Housing Asset Fund, and the value of loans and grants receivable.

FY 2021-22 Housing Successor Annual Report 1-4 April 2023 City of Hawthorne
o Inventory of homeownership units assisted by the former Agency or the City, subject to covenants, restrictions, or an adopted program that protects the former Agency’s investment of monies from the Low- and Moderate-Income Housing Fund.
• Obligations & Proportionality
o Description of any outstanding production obligations of the former Agency that are inherited by the City.
o Compliance with proportionality requirements (income group targets), which must be upheld on a five-year cycle.
o Percentage of deed-restricted rental housing restricted to seniors and assisted by the entity assuming housing functions, the former Agency, or the county within the past ten years compared to the total number of units assisted by any of those three agencies.

SB 341 also mandates that housing successor agencies conduct an independent financial audit of the Housing Asset Fund within six months of the end of each fiscal year - This financial audit may be included in the independent financial audit of the host jurisdiction. The City’s Comprehensive Annual Financial Report (“CAFR”) for Fiscal Year (“FY”) 2021-22 was completed in December 2022, includes an audit of the Housing Asset Fund1and is available on the City’s website.

This Report presents the activities of the Housing Successor for FY 2021-22.

1.2 Expenditure Requirements
The law provides the following guidelines for expenditures from the Housing Asset Fund:

1. Administrative costs, including housing monitoring, are capped at $200,000 adjusted annually for inflation or 5% of the statutory value of any land owned by the housing successor agency and of loans and grants receivable.
a. In the City’s case, 5% of $4,910,822, or $245,541.

2. If the former Agency did not have outstanding housing production requirements, the housing successor agency is authorized to spend up to $250,000 per year on homeless prevention and rapid rehousing services to individuals and families who are homeless or would be homeless without this assistance.
a. In the City’s case, the former Agency had a surplus of affordable housing production units. Therefore, the City is allowed to make this expenditure if it chooses, and funding is available for such expenditures. 1 Housing Asset Fund balances, revenues, and expenditures in this report differ slightly from the CAFR because the CAFR includes activity from Fund 463.

FY 2021-22 Housing Successor Annual Report 1-5 April 2023 City of Hawthorne

3. Remaining allowable expenditures must be spent to improve housing options affordable to households in the following income groups:
a. Extremely low income (households earning 30% or less of the Area Median Income (“AMI”)) – Minimum of 30% spent on housing options must be spent in this category.
b. Very low income (households earning 31% to 60% of the AMI) – No requirements. c. Low income (households earning 61% to 80% of the AMI) – Maximum of 20% spent on housing options may be spent in this category. d. No funding may be spent on moderate income households (earning 81% to 120% of the AMI), as was previously authorized by redevelopment law.

Failure to comply with the extremely low-income requirement in any five-year compliance period will result in the City having to ensure that 50% of remaining funds be spent on extremely lowincome rental units until in compliance. Exceeding the expenditure limit for lower income households in any five-year reporting period will result in the City not being able to expend any funds on that income category until in compliance.

Housing successor agencies must report expenditures by category each year, but compliance with expenditure limitations is reported at the end of each five-year compliance period. For instance, a housing successor agency could spend all of its funds in a single year on lower-income households, as long as it was 20% or less of the total expenditures during the five-year compliance period. The second five-year compliance period began on July 1, 2019, and ends on June 30, 2024.

1.3 Assets Transferred to the Housing Successor Agency
The City prepared a Housing Asset Transfer Form (“HAT”) in 2012 that provided an inventory of all housing-related assets transferred from the former Agency to the City following the dissolution of redevelopment. The HAT was approved by the California Department of Finance (“DOF) on August 30, 2012 and included:
• Real properties;
• Loans/Grants Receivables;
• Rents; and
• Deferrals.

FY 2021-22 Housing Successor Annual Report 2-1 April 2023 City of Hawthorne
Section 2 Low and Moderate Income Housing Asset Fund
The Housing Asset Fund replaced the former Agency’s Low- and Moderate-Income Housing fund.

It includes all assets transferred from the Agency to the City via the HAT.

2.1 Housing Asset Fund Deposits and Ending Balance
The City deposited $162,048 into the Housing Asset Fund during FY 2021-22. Revenues were generated from investment earnings and rental property income (security deposits and rents).

As shown on Table 2 below, the Housing Asset Fund closed FY 2021-22 with $7.5 million in assets2- None of which is held to pay for enforceable obligations on the ROPS.

2.2 Expenditure Limitations
Table 3 summarizes Housing Asset fund expenditures on administrative costs and homeless prevention in FY 2021-22, and affordable housing activities by income level from July 1, 2019 through June 30, 2024.
2 Excludes the statutory value of real properties held by the Successor Agency in Fund 463.

Revenue Source Amount
Investment Earnings $ 9,845
Rents & Security Deposits 152,203
Total $ 162,048
Table 1. Fiscal Year 2021-22 Housing Asset Fund Deposits Source: City of Hawthorne, Funds 462 & 464-468 Trial Balance Detail Reports Balance Type 1
Amount
Cash $ 7,118,482
Interest Receivable 8,400
Accounts Receivable -
Loans Receivable 328,743
Total $ 7,455,625
Table 2. Fiscal Year 2021-22 Housing Asset Fund Ending Balance Source: City of Hawthorne, Funds 462 & 464-468 Trial Balance Detail Reports 1 Excludes statutory value of Land Held for Resale, as it is not a part of the CAFR Asset Balance FY 2021-22 Housing Successor Annual Report 2-2 April 2023 City of Hawthorne
All Housing Asset Fund expenditures have been administrative so far for the second five-year compliance period that started on July 1, 2019. The City spent $237,137 in administrative expenditures which is under the limit for the year. The City will continue its efforts to decrease administrative expenditure and ensure that future expenditures meet proportionality requirements.

2.3 Statutory Value of Real Properties and Loan Receivables The City inherited 6 properties, 1 loan, and 2 deferrals from the former Agency when it dissolved on February 1, 2012. Table 4 below shows the total value of real properties and loans receivable.

The Housing Asset Transfer Form in Appendix A shows more detailed information about each property and loan receivable.

The total statutory value of real properties is $4,582,079 and outstanding loan receivables total is $328,743, for a combined value of $4,910,822.

Admin/
Monitoring
Rapid
Rehousing
Ext. Low <30%
AMI
Very Low 31-
60% AMI
Low 61-80%
AMI
FY 2019-20 $647,358 $0 $0 $0 $0
FY 2020-21 374,058 0 0 0 0
FY 2021-22 237,137 0 0 0 0
FY 2022-23 0 0 0
FY 2023-24 0 0 0
Total Expenditures $237,137 $0 $0 $0 $0
SB 341 Limitation $245,541 $250,000 >30% N/A <20%
Compliant (Yes/No) Yes Yes Yes Yes Yes
Source: City of Hawthorne, Funds 462 & 464-468 Trial Balance Detail Report Table 3. Fiscal Year 2021-22 Housing Asset fund Expenditures Annual Limits Five-Year Limits
2021 - 22 July 1, 2019 - June 30, 2024
Asset Amount
Real Properties
12726 Grevillea Avenue $ 332,928
11529 Gale Avenue 1,575,064
11537 Gale Avenue 828,169
11605 Gale Avenue 883,585
12529 Truro Avenue 729,873
14115 Cordary Avenue 232,460
Subtotal $ 4,582,079
Loan Receivables
Southern California Housing Development Corp (Hawthorne Terrace) $ 328,743 Subtotal $ 328,743
Total $ 4,910,822
Table 4. Fiscal Year 2021-22 Real Properties & Receivables Source: City of Hawthorne, Hawthorne Housing Asset Transfer Form FY 2021-22 Housing Successor Annual Report 3-1 April 2023 City of Hawthorne
Section 3 Property Development & Disposition
HSC Section 34176(e) requires that all real properties acquired by the Agency prior to February 1, 2012 and transferred to the City be developed for affordable housing purposes or disposed of within five years from the date DOF approved the HAT, or September 30, 2017. However, the law allows for a five-year extension via adoption of a resolution - The City adopted Resolution No. 7915 on July 25, 2017, allowing for a five-year extension. The property disposition and development deadline is now August 30, 2022.

The Agency transferred 6 real properties to the City on the HAT, 5 of which are already developed and operating as affordable housing and 1 of which is in the process of being sold/developed. The Agency also transferred affordability covenants with 3 properties that are overseen by the City.

The properties are described below.
• 12726 Grevillea Avenue
This multifamily rental property has 8 moderate income units. The former Agency acquired the property in 1991 and recorded a 55-year affordability covenant that expires in 2064. • 11529 Gale Avenue
This multifamily rental property has 12 moderate income units. The former Agency acquired the property in 2008 and recorded a 55-year affordability covenant that expires in 2064.
• 11537 Gale Avenue
This multifamily rental property has 5 very low-income units. The former Agency acquired the property in 2009 and recorded a 55-year affordability covenant that expires in 2064. • 11605 Gale Avenue
This multifamily rental property has 10 very low-income units restricted to seniors. The former Agency acquired the property in 2008 and recorded a 55-year affordability covenant that expires in 2064.
• 12529 Truro Avenue
This multifamily rental property has 3 very low-income units. The former Agency acquired the property in 2009 and recorded a 55-year affordability covenant that expires in 2064.

FY 2021-22 Housing Successor Annual Report 3-2 April 2023 City of Hawthorne
• 14115 Cordary Avenue
This property was acquired in 2011. The City previously issued an RFP in 2019 for the development of a permanent supportive housing project for veterans experiencing homelessness. A developer was chosen in December 2019, but the City and developer were unable to come to an agreement on the number of units. In 2020, the City issued another RFP for the property’s purchase and development. The City selected Skid Row Housing Trust as the development partner. In February of 2022, the Hawthorne City Council approved a disposition, development, and loan agreement with Encore Apartments, L.P. for a 19-unit, low-income veterans housing project.
• Hawthorne Terrace – 12923 & 12938 Kornblum Avenue
The City monitors an affordability restriction at this 100-unit multifamily rental property with 54 very low-income units and 46 low-income units. The 55-year covenant expires in 2059.
• TELACU Gardens – 13000 Doty Avenue
The City monitors an affordability restriction at this multifamily rental property.

Completed in September 1988, this senior housing development project was completed as a partnership between TELACU, the United States Department of Housing and Urban Development (“HUD”), and the former Agency. Known as Hawthorne Senior Gardens, this property is a 75-unit low- and moderate-income facility located on Doty Avenue. The Agency provided funding for an additional elevator and other capital improvements. • TELACU Terrace – 4536 W. 118th Street
The City monitors an affordability restriction at this multifamily rental property. Dedicated in October 1992, TELACU Terrace provides affordable housing to low-income seniors.

The 75-unit complex includes 8 units designated for special-needs seniors. Situated at the corner of 118th Street and Grevillea Avenue, this residential complex is centrally located to amenities including shopping areas, and community facilities and services. Agency assistance included funding for the acquisition of land, relocation, and clearance of the property.

FY 2021-22 Housing Successor Annual Report 4-1 April 2023 City of Hawthorne
Section 4 Outstanding Inclusionary & Replacement Housing The former Agency had a surplus of over 100 affordable housing units when it dissolved in February 2012. There are no outstanding inclusionary or replacement housing obligations of the former Agency to be fulfilled by the City.

FY 2021-22 Housing Successor Annual Report 5-1 April 2023 City of Hawthorne
Section 5 Senior Housing Expenditure Proportionality
This report must include an accounting of deed-restricted senior rental units that were produced over the last 10 years. The City may use Housing Asset Funds to assist no more than 50% of the aggregate total number of senior housing units produced by either the City or former Agency during the past 10 years. Exceeding this limitation will prohibit the use of Housing Asset Funds to subsidize any senior rental units in the future.

As shown in Table 5 below, the City and former Agency assisted 4 properties in the last ten years, of which 0% are restricted to seniors. The City may spend more money subsidizing senior rental units in the future; however, it must ensure that no more than 50% of the total aggregate number of rental units at all affordability levels produced within the preceding 10 years are restricted to seniors.

Property Address # Restricted
Units
# Senior
Restricted Units
Acquired/
Assisted
Covenant
Recorded Covenant Expires
11519 Cedar Avenue 5 0 6/16/2015 6/16/2015 15 years
14135 Cerise 127 0 6/21/2015 1/21/2015 55 years after first occupancy 14105-14137 Chadron Avenue 28 0 9/15/2014 11/21/2012 30 years after first occupancy 14004 Doty Avenue 7 0 8/4/2014 11/12/2013 30 years after first occupancy Total 167 0
% Senior Units 0%
Table 5. Deed-Restricted Rental Units Assisted Since Fiscal Year 2011-12 Source: City of Hawthorne
FY 2021-22 Housing Successor Annual Report 6-2 April 2023 City of Hawthorne
Section 6 Excess Surplus
Excess surplus calculations were once performed by redevelopment agencies on an annual basis and are intended to ensure that funds are expended to benefit low-income households in an expeditious manner - Funds should be encumbered within four years of receipt. SB 341 reinstates this calculation for housing successor agencies. Excess surplus is defined by HSC Section 34176.1(d) as “an unencumbered amount in the account that exceeds the greater of one million dollars, or the aggregate amount deposited into the account during the housing successor agency’s preceding four fiscal years, whichever is greater.”
Pursuant to State law, the City must encumber any excess surplus amount within three fiscal years, or the funds must be transferred to HCD. As shown in Table 6 below, the Housing Asset Fund has no excess surplus in the Housing Asset Fund for FY 2021-22. The City encumbered $1,500,000 for the development of the 14115 Cordary Avenue property through a Disposition, Development, and Loan Agreement executed on February 22, 2022.

FY Deposits Cash Balance1 Encumbered
Funds
Unencumbered
Cash Balance
Greater of 4 Yrs
of Deposits or
$1M2
Projected
Excess Surplus3
FY 2016-17 1,109,338 2,179,661 2,179,661 2,751,101 -
FY 2017-18 3,003,359 2,964,106 2,964,106 3,860,416 -
FY 2018-19 1,779,519 5,677,348 5,677,348 6,556,596 -
FY 2019-20 475,859 7,102,055 7,102,055 6,856,964 245,091 FY 2020-21 370,869 6,930,556 6,930,556 6,368,075 562,481 FY 2021-22 376,403 6,927,367 1,500,000 5,427,367 5,629,606 - Source: City of Hawthorne, Funds 462 & 464-468 Trial Balance Detail Report Table 6. Excess Surplus Projections
1 Represents the ending balance of the prior fiscal year or the beginning balance of the current fiscal year. 2 Excess surplus is an unencumbered amount that exceeds the greater of $1 million or the aggregate amount deposited during the preceding four years. Assumes the first year of Housing Asset Fund deposits is FY 2012-13, when redevelopment agencies dissolved effective 2/1/2012. 3 Projected excess surplus based on most current interpretation of the excess surplus calculation methodology. The Agency must encumber any excess surplus amount within three fiscal years, or the funds must be transferred to HCD for its Multifamily Housing Program or Joe Serna, Jr. Farmworker Housing Grant Program. Projected excess surplus is subject to change, as deposits for past reports are to be reviewed.

Note: 2021-22 Encumbered Funds are allocated to assist in the development of the Encore Apartments project for a 19-unit, low-income veterans housing project.

FY 2021-22 Housing Successor Annual Report 7-1 April 2023 City of Hawthorne
Section 7 Inventory of Homeownership Units
AB 1793 requires this report to include an inventory of homeownership units assisted by the former Agency or the Housing Successor Agency that are subject to covenants or restrictions or to an adopted program that protects the former Agency’s investment of moneys from the Low- and Moderate-Income Housing Fund. No homeownership properties were assisted by the former Agency that are subject to homeownership affordability covenants.

FY 2021-22 Housing Successor Annual Report 8-1 April 2023 City of Hawthorne
Section 8 Deposits from City to Agency Loan Repayments
HSC Section 34191.4(b)(3)(C) requires that 20 percent of any loan repayment made from a redevelopment successor agency to a city, for a loan that a city made to a former redevelopment agency, be deducted from the loan repayment amount and transferred to the Housing Asset Fund.

The repayment of loans made from low- and moderate-income housing set aside funds are payable 100 percent to the Housing Asset Fund. The remaining balance was paid to the Housing Asset Fund in FY 2017-18. This loan is no longer a loan receivable.

FY 2021-22 Housing Successor Annual Report April 2023
City of Hawthorne
APPENDIX A – Housing Asset Transfer Form
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