Indio City Council
August 20, 2025

IWA Resolution No. 2025-83, authorizing IWA’s Executive Director to exec... Page 404 of 1094 Engineering and O&M Guidelines for Crossings
The applicant and/or their contractor may be liable for all damages to Reclamation facilities and appurtenances as a result of construction and for any other damages or losses suffered by Reclamation or its water contractors, including power, irrigation, municipal and industrial water supply, and communication losses.

10. Trench excavation should comply with the most current Occupational Safety and Health Administration standards or Reclamation Health and Safety Standards, whichever are more stringent. Trench backfill should be placed in 4- to 6-inch lifts if hand compacted or no more than 8-inch lifts if power compacted. Trench backfill within Reclamation's ROW should be compacted to 95 percent relative compaction (ASTM D 698, Standard Proctor) (or 90 percent of ASTM D 1557). Mechanical compaction using heavy equipment (greater than 2,000 pounds) should not be used within 18 inches of the Reclamation pipeline. Flowable fill (or controlled low strength material) should be substituted for compacted pipe embedment under canals and may be used when crossing pipelines.

11. Erosion control measures , including re-vegetation, should be implemented after completing construction.

12. If existing drainage features are to be modified during construction, detailed drawings showing the proposed drainage replacement/ restoration should be submitted with the application for review and approval. The applicant is responsible for the care and handling of storm water runoff both during and after construction.

13. The applicant should not divert surface runoff 3 toward Reclamation canal or canal embankments. The 100-year storm
4 surface runoff should
use detention basins outside of Reclamation's ROW. Lined drainage channels should be designed to transfer flow from the detention basins to the existing cross drainage facilities that drained the original area. Also refer to "4.4 Storm Water Cross Drainage."

14. Proposed temporary or permanent modifications to the existing cover over Reclamation pipelines should be subject to review and approval by Reclamation and/or AOE. Design parameters for roadway , parking lot, and driveway crossings over the pipe should also be subject to review and approval by Reclamation and/or AOE.
3 Subdivision or commercial development on the uphill side of canals that pave large areas and have large roof areas will greatly increase peak storm runoff-most city development requires retention basins. Applicants should provide the same retention basins that are required for similar development projects.
4 Revise per Reclamation field office for specific canal if a higher storm frequency is required. 5 EXHIBIT B
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15. When a Reclamation pipeline system being crossed has pipe with an "A" cover pipe designation (less than 5 feet of earth), the applicant is to analyze the crossing to show "A" pipe load carrying capability exists to meet their carrying requirements or replace the "A" pipe with pipe of sufficient load carrying capability.

16. Reclamation's ongoing O&M activities should not be disrupted during construction. The primary or secondary operating road should be kept available for Reclamation and/or AOE use at all times.

17. Detectable warning tape may be required over below-ground utilities.

Refer to "3.3 Detectable Warning Tape."

18. The points where the proposed utilities enter and exit Reclamation's ROW should be plainly and permanently marked by sign posts extending 5 feet above grade. Applicants should provide sign posts directly above their utilities and at all angle points within Reclamation's ROW. The distance between adjacent sign posts should not exceed 500 feet. Sign posts should contain the name of owner/operator, contents of the pipeline, utility identification, and emergency contact telephone number. Sign posts for angle points that lie within roads or canals should be offset and have a reference noted. The locations of the sign posts should be shown on the plans.

19. Following completion of work, applicants should provide as-built drawings of their facilities on Reclamation's ROW. Reclamation as­ built drawings are to be updated by the appropriate Reclamation office and/or AOE to reflect the crossing. As-built drawings may be maintained by the AOE, but should remain accessible to Reclamation upon request.

3.3 Detectable Warning Tape
Detectable warning tape may be required over below-ground utilities situated within Reclamation's ROW and should be a minimum of 18 inches above the utility and between 18 and 30 inches below the ground surface. Warning tapes should conform to the following specifications:
6 a. For potable water lines, the warning tape should be a 3-inch-wide blue detectable tape imprinted with "CAUTION BURIED POTABLE
WATER LINE."
b. For nonpotable water lines, the warning tape should be a 3-inch-wide purple detectable tape imprinted with "CAUTION BURIED
NONPOTABLE WATERLINE."

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c. For sewer and storm drain lines, the warning tape should be a 3-inch-wide green detectable tape imprinted with "CAUTION BURIED (type) LINE."
d. For gas, oil, and steam chemical lines, the warning tape should be a 3-inch-wide yellow detectable tape imprinted with "CAUTION BURIED (type) LINE."
e. For telecommunications, telephone, and television conduit(s), the warning tape should be a 3-inch-wide orange detectable tape imprinted with "CAUTION BURIED (type) CONDUIT."
f. For electrical, street lighting, and traffic signal conduit(s), the warning tape should be a 3-inch-wide red detectable tape imprinted with "CAUTION BURIED (type) CONDUIT."

4.0 SPECIFIC f EATURE REVIEW GUIDELINES

4.1 Bridges

1. New bridge crossings (vehicular, pedestrian, and utility) should be perpendicular (between 70 and 90 degrees) to the centerline of the water conveyance facility and at locations approved by Reclamation and/or the AOE. Exceptions to the policy may be considered on an individual basis.

2. Public use bridges in urban areas should be spaced no closer together than 1/3 mile (about 4 blocks or 1,700 feet) apart. This is to ensure O&M operations are not overly restricted.

3. Bridge crossings should be of free span design. Consideration of any anticipated (known or ongoing) canal subsidence issues, anticipated raising of the canal lining, or anticipated increases in the canal's high water level should be made. The minimum vertical clearance between the bottom of the superstructure and the top of the canal lining should be 3 feet. For unlined canals, the vertical clearance may be measured to the high water level. If this minimum clearance is reduced by subsidence or by future Reclamation modifications to the canal lining, the minimum clearance should be re-established at the applicant's expense. The minimum horizontal clearance from the face of the abutment to the top of the canal lining should be 5 feet. For unlined canals, the horizontal clearance may be measured to the high water level.
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8 These clearances are suggested to minimize impact on the canal section during construction and future inspections and O&M. Applicants may request to re-construct a canal section if Reclamation's operations are impacted by close construction during periods when the canal is normally unwatered. If so, vertical clearances may be reduced to 1 foot and horizontal clearance to 3 feet.

4. Canal O&M roads should intersect public roads at bridges at right angles for proper visibility. This may require the applicant to acquire additional ROW for use if the existing canal ROW is not sufficient.

American Association of State Highway and Transportation Official (AASHTO) criteria for sight distances at the intersection of O&M roads and roadways at new bridges should be met to allow O&M vehicles to cross them safely.

5. Driving piles at concrete-lined canals should not be permitted. Any abutment foundation support piles, at concrete-lined canals, should be drilled and cast-in-place.

At a minimum, the applicant's drilling and piling plan should include:
• Drilling methods and equipment
• Methods for preserving existing foundation material
• Methods and equipment to determine the presence of quick soil conditions or scouring and caving
• The proposed method for casing installation and removal if casings are used
• Methods and equipment for accurately determining the depth of concrete and actual or theoretical volume placed
At a minimum, the applicant's contingency plan should include:
• Means to repair in a certain time
• Minimum flows after event
• Review of geotechnical conditions surrounding the pile locations • Assessment of how the proposed mitigations will address geotechnical conditions
• Methods for restoring foundation material

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• A list of material, equipment, and personnel with qualifications to be used during mitigation work
• A seal from a Professional Engineer on all relevant plans and drawings

6. The submitted plan drawings for the bridge should contain the following information:
a. Superstructure, abutments, railings, embankments, and drainage, including details and sections
b. Type of materials (concrete, steel, timber, etc.) used for different members
c. Details of cast-in-place foundation piles, if any, on both sides of the canal
d. The elevation of the bottom of the superstructure and the clearance between the top of the canal lining ( or high water level if unlined canal) to the superstructure or bottom of deck slab, whichever is lowest
e. Design loadings
f. Design standards on which the bridge is based (AASHTO, etc.)

7. The calculations and specifications for the bridge should be submitted to Reclamation and/or AOE for review.

8. The right lane tum radius from the new road onto a Reclamation operating road should comply with the provisions of a 67-foot wheelbase 5 (WB-67) truck turning template in the AASHTO manual on Geometric Design of Highway and Streets.

9. Details of any proposed utilities to be attached to an existing bridge include:
a. Anchor bolt locations should not intercept the critical reinforcing steel of the bridge.
5 The field office should adjust these provisions according to anticipated needs. 9 EXHIBIT B
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b. Utilities should be placed and anchored under bridge decks and through utility openings, if they are present. The utility should be placed off center in the utility opening, if possible, to allow for future utility additions.
c. If an expansion joint is used in the pipeline, the joint should be placed near the bridge deck expansion joint.
d. Holes through bridge concrete or abutment and retaining walls for passage of utilities should be allowed by core drilling. The annular space between the utility and core hole surface should be completely filled with an elastomeric sealant to prevent loss of material or water piping from behind the wingwalls and
abutments.
e. Submit calculations showing the effects of the weights of the proposed utilities on the load carrying capacity of the bridge for Reclamation review.
f. Intermediate supports for the utility should withstand the same seismic load considerations as the bridge.
g. Load limit signs should be placed adjacent to the bridge, as required under AASHTO criteria.
h. Beam guardrails should be installed at bridges and bridge approaches, as required under AASHTO criteria.

10. The applicant will be responsible for changes to Reclamation existing ROW; bridge O&M approach roads; existing fencing, gates, and signs; and the addition of new fencing, O&M gates, cattle guards, signs, etc.

4.2 Landscaping
10 1. No landscaping or other changes in ground surfaces within Reclamation pipeline and canal/lateral ROW should be made without advance written permission of Reclamation through the application process. Landscaping changes may (1) limit, prevent, or hamper O&M access; (2) increase the costs of operations and maintenance of the facility; (3) impact facility reliability; or ( 4) create a public nuisance or liability issue.

2. Open space with natural hiking trails and walkways may be permitted if vehicle access to Reclamation pipeline and appurtenant facilities for patrol and maintenance is provided.

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3. The following may apply within Reclamation's ROW:
a. The easement may be used as a greenbelt upon Reclamation approval.
b. Ground cover and shrubs are permitted upon Reclamation approval.
c. Trees and vines should not be allowed. See Appendix B of Review of Operation and Maintenance Program Field
Examination Guidelines (reproduced as appendix B at the end of these guidelines).

4. All temporary or permanent changes in ground surfaces within Reclamation pipeline and canal ROW are considered encroaching structures and are handled as such. Earthfills and cuts on adjacent property should not encroach onto Reclamation pipeline and canal ROW.

Excavations of adjacent property (even property not within Reclamation's purview) within the projection of the Reclamation embankment line may impact embankment stability and should be evaluated.

5. Permanent landscaping structures should not be allowed within the exterior limits of a Reclamation linear facility ROW (fee owned or easement).

6. Pressurized lawn and park sprinkler irrigation lines (3-inch maximum size) and isolation valves within Reclamation easements that run parallel to a Reclamation pipeline should be installed at least 15 feet from the edge of the Reclamation pipeline.

Irrigating lawns and flower beds along canal embankments should not overwater the area or threaten the embankment stability.

4.3 Roadway Crossing
Note: This type of encroachment also includes parking areas and recreational trails.

1. The applicant should submit a grading plan as part of the application.

2. If the roadway crosses a Reclamation pipeline system that has a cover pipe designation of "A," refer to "3.2 General."
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3. If the applicant intends to modify existing drainage features during construction, detailed drawings showing the proposed drainage replacement/restoration should be submitted with the application for review and approval. (Refer to "3.2 General.")

4. If the proposed roadway includes a bridge crossing over a Reclamation canal or pipeline, Reclamation and/or AOE should review and approve the vertical clearance and location of the abutments. (Refer to "4.1 Bridges.")

5. Streets, roads, or parking areas crossing Reclamation pipeline easements are permissible. All streets, roads, and parking surfaces are to be asphalt or other flexible pavement. Depressed curbs or driveways should be provided for Reclamation vehicular access when new roads cross Reclamation pipelines or canals.

6. Roadway ditch drainage should not be allowed to flow into the canal.

Drainage should be retained and released in a controlled way to maintain peak discharges that are less than any peak historical runoff rate before these modifications. Applicants should direct drainage to an original sub­ basin cross drainage culvert or overchute. (Refer to "3.2 General" and "4.4 Storm Water Cross Drainage.")

7. If existing roadway embankments are to be widened, the work should be conducted in accordance with the provisions of construction in the applicable State Department of Transportation (DOT) Standard Specifications.

4.4 Storm Water Cross Drainage
12 1. Upslope development impacts historic natural drainage volumes and peak flow rates. Development re-grades and revises drainage sub­ basins. Revised ground cover from constructing roads, parking areas, and buildings may result in the need to change the cross drainage features (culverts and/or overchutes) along Reclamation canals.

2. A hydrologic study should accompany all plans that modify the existing drainage across and/or along Reclamation facilities. The study or report should show the proposed flows of the canal and the associated crossings. The drainage study or report should show that the downstream system can accept the flows without creating any flooding to properties adjacent to or downstream of the canal.

3. All drainage crossings, whether existing or proposed, should carry the peak runoff of a 100-year event while preventing any storm water from entering the canal and/or ponding against the canal embankment.

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4. Urban runoff should not be allowed to enter into, or drain onto, Reclamation's land. All flows generated outside Reclamation's ROW should enter the storm drain system prior to entering Reclamation's ROW. Piped connections are preferred, but concrete-lined channels may be acceptable upon Reclamation's review.

5. The new crossing under a canal should be designed with 3 feet vertical clearance from the top of the cross drainage structure to the bottom of the canal ( or liner). The structure should extend completely across Reclamation's ROW.

6. New overcrossings of the canal should have 2 feet of vertical clearance from the top of the liner and 2 feet of horizontal clearance from the support abutments to the outside edge of the canal lining. The O&M road crossing of the cross drainage structure should be structurally capable of withstanding highway-legal vehicle loadings and provide at least 1 foot of cover in the roadway.

7. Pipe crossing barriers should be installed on all pipe overcrossings.

8. All drainage flow should be discharged to a downstream storm drainage system owned, operated, and maintained by a public agency (such as a city or county) or into areas such as channels, roadways, parks, wetland basins, or other non-private lands that can accept the concentrated flows from the drainage crossing.

9. All drainage from upland property should be collected by the applicant's installed system of curbs and inlets within their property and discharged into a non-Reclamation public agency's drainage system.

10. New drainage system designs will not use ponding against the existing canal embankment for temporary detention of storm runoff that will not immediately pass through existing or new crossings.

Proposed permanent detention facilities adjacent to Reclamation's property should include engineered fill beyond the canal ROW to provide, at a minimum, a fill-width maintenance access roadway between the canal property and the basin. The applicant shall submit a geotechnical report verifying that the canal embankments can perform as detention basin embankments. The design should provide for sufficient free board to contain the 100-year event within the proposed basin adjacent to Reclamation's property and shall have adequate protection from seepage and erosion.

The ownership and related O&M of the embankments shall be the responsibility of the applicant requesting the crossing. 13 EXHIBIT B
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11. When grading operations upstream of existing canal drainage crossings are scheduled to take longer than a normal construction season to complete, temporary basins shall be installed. These temporary basins should be designed to detain the 100-year event, capture silt from the disturbed area, and meter the flows across the existing drain crossings without spilling flows into the canal.

12. Unless Reclamation specifies otherwise, the applicant should remove or plug and abandon existing drainage crossings that are not used by the development unless they are shown to provide an additional measure of safety for the canal by reducing the likelihood of spill into the canal caused by extreme runoff flows. Otherwise, these crossings should remain in place for Reclamation's benefit and will not require ownership transfer to a public agency.

These crossings must discharge into the non-Reclamation public agency's storm drainage systems or into areas such as channels, roadways, parks, wetland basins, or other nonprivate lands that can accept the concentrated flows from the drainage crossing in the case of an extreme runoff event.

Grading in Reclamation property should be preserved or revised to direct extreme runoff flows into these unused drainage crossings without allowing said flows to enter into the canal until the crossings reach their capacity.

4.5 Subdivision
Urban developments are reaching Reclamation's lands and ROWs. These are general guidelines for accommodating development in subdivisions (refer to "3.2 General" and "4.4 Storm Water Cross Drainage").
14 1 . Permanent structures should not be permitted within Reclamation fee­ owned linear ROWs.

2. Open space with natural hiking trails and vegetation may be allowable.

3. Where subdivision development is adjacent to a canal, fencing should include these characteristics:
a. Temporary chain link fences must be installed prior to removing any portion of existing fences.

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b. Upon completion of grading for drainage and other work, fencing should be installed along the subdivision's boundary length of the adjacent ROW plus 150 feet beyond the
development's property boundary. The fence should be per project standards and at the applicant's expense.
c. The new fence should be located 1 foot outside of Reclamation's ROW. The fence location should be shown on the improvement plans.

4. Use of Reclamation pipeline easements as part ofresidential subdivision lots should not be allowed. Pipeline easements may be included within the subdivision greenbelt or similar use areas.

5. Drawings should include all proposed improvements (i.e., streets, utilities, landscaping, etc.) within, and adjacent to, Reclamation's ROW.

6. Trees or vines should not be allowed within a Reclamation pipeline or canal ROW. See Appendix B of Review and Operation and
Maintenance Program Field Examination Guidelines (reproduced as appendix Bat the end of these guidelines).

7. Streets, roads, or parking areas using Reclamation easements may be permissible. All streets, roads, and parking surfaces should be asphalt or other flexible pavement. Depressed curbs or driveways should be provided for Reclamation vehicular access when new roads cross Reclamation pipelines or canals.

8. Where fencing is proposed within Reclamation easements, a minimum 16-foot-wide gate should be provided for Reclamation access.

9. Pipelines containing sewage, oil, gasoline, natural gas, or hazardous materials should only cross perpendicular (between 70 and 90 degrees) to the Reclamation pipeline or canal and be installed with the necessary safety measures and separation clearance as required in "4.6 Utility Crossing."

10. Electroliers, posts, etc., should be installed at the maximum distance possible from the edge of the pipeline or canal.

11. If crossing a Reclamation pipeline system that has "A" cover pipe designation, refer to recommendations in "3.2 General." 15 EXHIBIT B
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4.6 Utility Crossing
Note: All pipelines, electrical, and communication lines and conduits are referred to as "utilities" in these guidelines.

4.6.1 Casings
The Reclamation Materials Engineering and Research Laboratory's (MERL) position is to avoid using casing pipes around metallic carrier pipelines (steel, ductile iron, cast iron, reinforced concrete, pretensioned concrete cylinder, etc.) whenever possible. The experience of the corrosion community in general is that these casings often cause corrosion-control problems. Furthermore, dielectric (plastic, fiberglass, etc.) casings, or even dielectrically coated casings, should not be used. They can shield the carrier pipe from receiving cathodic protection current.

Cathodic protection to a buried metallic pipeline is more trouble free and more certain without a casing pipe. MERL recommends relying on effective corrosion control measures on the carrier pipeline rather than relying on a casing pipe (which may shield cathodic protection current) to direct a leak away from Reclamation property.

4.6.2 Overhead Line Crossing
16 1. Overhead wires across Reclamation pipeline and canal ROWs should be at least 32 feet above all ground levels in the Reclamation ROW. For electrical powerlines of 69 kilovolts (kV) or higher voltage, the minimum clearance should be 40 feet plus 0.25 inch per kV of line-to-line voltage above 450 kV. In any case, the minimum clearance is to be that determined to be needed with an ambient temperature of 120 degrees Fahrenheit.

2. Reclamation has the following requirements for overhead crossings:
a. Poles or towers should not be allowed within Reclamation's ROW. b. Overhead electrical and communication lines should cross perpendicular (between 70 and 90 degrees) to the centerline of the Reclamation facility.
c. If necessary, fence grounding is to be provided for existing fence lines, especially under power transmission lines.

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3. A marker warning sign should be provided that shows the clearance and electrical line voltage. The warning sign should face oncoming traffic and state, "DANGER, HIGH VOLTAGE OVERHEAD."

4.6.3 Utility Crossing Reclamation's Canal
Utility crossings include open ditch laterals, subsurface and surface drains, levees, and similar facilities.

General Requirements:

1. Utilities crossing Reclamation canals should be designed to cross perpendicular (between 70 and 90 degrees).

2. Pier construction in the canal for new utility crossing(s) should not be allowed. New utility crossings should be free span design.

3. Open cut crossings of Reclamation canals and ditches, when allowed, should require replacing linings to re-establish the original construction style and materials (i.e., disturbed concrete lining panels should be removed in their entirety and replaced, membrane lining and earth or concrete protective cover should be re-constructed, gravel and canal under-drainage systems should be re-established to full working order, etc.) Proposals should be submitted for approval with the crossing permit application.

4. For trench excavation and backfill requirements, refer to "3.2 General."

5. Boring and jacking of a utility through canal embankments or protective levees should not be permitted. Boring and jacking of a utility should be constructed through the embankment foundation materials. Applicants should make special design and construction considerations with bored crossings under canals containing water during construction . Among these should be using proper bentonite slurry to seal the annulus space between the utility conduit and the boring cavity from canal seepage.

Refer to appendix A for more details to be considered.

The applicant's drilling plan should cover:
a. Drilling methods and equipment
b. Methods for preserving existing foundation material
c. Methods and equipment to determine the presence of quick soil conditions or scouring and caving
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18 d. Proposed method for casing installation and removal if casings are used
e. Methods and equipment for accurately determining the depth of concrete and actual or theoretical volume placed
The applicant's contingency plan should cover:
a. Means to repair in a certain time
b. Minimum flows after event
c. Review of geotechnical conditions surrounding the pile locations d. Assessment of how the proposed mitigations will address geotechnical conditions
e. Methods for restoring foundation material
f. List of material, equipment, and personnel with qualifications to be used during mitigation work
g. A seal from a Professional Engineer on all relevant plans and drawings

6. When horizontal directional drilling (HOD) or other trenchless methods are used, canal seepage conditions may be aggravated by the collapse of the canal foundation material into the annular void between the bore and pipe. Penetration through the top stratum of fine-grained materials may concentrate seepage at those locations. Pipe installed with trenchless methods should proceed only after completion of a comprehensive evaluation of the following:
(a) Comprehensive understanding of the subsurface soil and groundwater conditions to a minimum depth of 20 feet below the lowest pipe elevation
(b) Locations of the HOD pipe penetration entry and exit ( c) Construction procedure
(d) Allowable uplift pressures
(e) Onsite quality control and quality assurance monitoring during construction operation

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(f) Grouting of the pipe annulus
(g) Backfilling of any excavated areas
(h) Repair and reinstatement of the construction staging areas A geotechnical report should be submitted with the application for review prior to approval of the proposed utility crossing.

Directional drilling under a canal may be considered if a minimum clearance of 25 feet to the bottom of the canal lining is maintained for utilities with less than a 24-inch outside diameter. Larger utility crossings should be considered on an individual basis and may require additional clearance from the bottom of the canal lining.

7. Cut and cover constructed utilities under Reclamation canals should have a minimum cover of 36 inches when within Reclamation's ROWs .

Bored construction utilities should have a minimum of 3 diameters cover.

8. Reclamation's ongoing O&M activities should not be disrupted during crossing construction. The primary or secondary operating road should be kept available for Reclamation use at all times.

9. Canal embankments should be re-built or repaired with materials and standards equal to or better than the existing embankments.

10. Drawings should be stamped and signed by a Professional Engineer and contain the following information:
a. Canal milepost or station at each proposed crossing, utility size and location, and type of utility or material transported b. Maximum utility operating pressure, type of pipe, joints, wall thickness, maximum test pressure, and description of test procedures
c. Type of sleeve/casing (when allowed) including diameter, joints, and wall thickness
d. For utilities attached to a bridge or an overchute, details showing the structure name, superstructure, abutments, embankments, protective dikes, method of attachment, spacing of utility supports on the structure, location of other attached utilities, and structural calculations
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e. Protective coatings and corrosion control measures
f. Method of handling pipeline expansion and contraction g. Location of nearest shutoff valve on each side of the crossing h. Location and details of thrust restraint

1. Design code(s) used for the utility crossing
J. Location, including depth, of the buried pipeline communication and control cables
k. Other existing utility easements in the immediate vicinity Hazardous Material Carrier Requirements :
20 1. Pipelines carrying hazardous material or pollutants (e.g., oils, gasoline, sewage, contaminated waters, and nonpotable waters) should be designed for a reduced risk of failure in the portion within Reclamation's ROW.

The design should require either:
a. Designing the crossing pipeline with an additional 50 percent working pressure factor
or
b. Using secondary containment (casing pipe) for all hazardous material pipelines

2. To minimize the amount of any hazardous material entering the canal, Reclamation may require the installation of a block (gate) valve and or a check valve on each side of the canal between the ROW boundary and the embankment. When selecting the type of the valves, take into the account the flow direction and the terrain.

3. A final hazardous material spill contingency plan and an emergency response plan should be approved by Reclamation prior to start of construction.

4. A monitoring program and/or Supervisory Control and Data Acquisition System alarm may be required depending on the hazardous material transported. This applies to all "overcrossings" and "undercrossings" when the hydraulic grade line is within 60 inches of the canal liner or when local geology would promote this requirement.

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Attaching Utilities to Bridges and Overchutes:

Note: Reclamation does not guarantee the long-term availability of bridges or overchutes as support devices for utility crossings because they may require structural modifications or alterations to accommodate widening, repairs, subsidence offsets, etc., to such an extent that service may be interrupted or stopped. Reclamation may determine the bridge is no longer required and may remove it. In that event, the owner/operator of each utility attached to a bridge or an overchute may be required to re-locate or permanently remove their utility at their own expense.

Specific details for attaching utilities to bridges are:
a. Utilities should not be placed on the bridge deck.
b. Anchor bolt locations should not intercept the critical reinforcing steel of the bridge.
c. Utilities should be placed and anchored under bridge decks between girders and through utility openings, if they are present. The utility should be placed off center in the utility opening, if possible, to allow for future utility additions.
d. If an expansion joint is used in the pipeline, it should be placed near the bridge deck expansion joint.
e. Holes through bridge concrete or abutment and retaining walls for passage of utilities may be allowed and should be core drilled. The annular space between the utility and core hole surface should be completely filled with an elastomeric sealant to prevent loss of material or water piping from behind the wingwalls and abutments.
f. Calculations showing the effects of the weights of the proposed utilities on the load carrying capacity of the bridge should be submitted for Reclamation review.
g. Intermediate supports for the utility should withstand the seismic conditions of the bridge.

4.6.4 Utility Crossing Reclamation's Underground Pipelines I • The applicant should submit the procedures, excavation plans, schedules, as well as type and weight of the construction equipment to be used for crossing the Reclamation pipeline.
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22 2. High voltage, direct current powerlines should not be permitted to encroach on the Reclamation pipeline ROW, except in unusual circumstances and with proper cathodic protection considerations.

3. For proposed metallic pipelines, refer to "5.0 Cathodic Protection Requirements."

4. For utilities crossing above or under the Reclamation pipeline, the vertical clearance between the utility and Reclamation pipeline should be a minimum of 12 inches.

5. The location of the Reclamation pipeline and the communication and control cables throughout the area of the proposed construction should be shown on the plans. Prior to Reclamation and/or AOE issuing a use authorization or consent document, the pipeline and the cable(s) should be located and exposed by potholing. The pothole locations should be shown on the drawings. The pothole elevations should be referenced to Reclamation stationing or milepost. (Refer to "3.2 General.")

6. Drawings should contain the following information:
a. Reclamation milepost or station at each proposed crossing, pipeline size and location, and type of utility or material transported.
b. Maximum utility operating pressure, type of pipe and joints, maximum test pressure and description oftest procedures, wall thickness, and utility pipe classification.
c. Type of sleeve/casing pipe (when allowed) including diameter, joints, and wall thickness.
d. Protective coatings and corrosion control measures.
e. Location of nearest shutoff valve on each side of the crossing. f. Location and details of thrust restraint.
g. Design code(s) used for utility crossing.
h. Location, including depth of the Reclamation pipeline and the communication and control cables.

1. Other existing utility easements in the immediate vicinity.

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7. Detectable warning tape may be required over trenched utilities. (Refer to "3.3 Detectable Warning Tape.")

8. For trench excavation and backfill requirements, refer to "3.2 General."

9. Embankments should not be permitted within Reclamation's ROW where underground pipeline exists.

4.6.5 Utility Crossing Under Reclamation's Roadways

1. The applicant should supply typical cross sections that show existing ground surface elevations, utility trench invert elevations, and utility details.

2. For trench excavation and backfill requirements, refer to "3.2 General."

3. Conduits with diameters up to 24 inches should be bored and jacked underneath pavements. Larger conduits may be considered on an individual basis. Pavement or road surfaces should not be cut unless an acceptable detour, ifrequired, is approved. The cover over the conduit(s) when within Reclamation's ROWs should be a minimum of 36 inches. (Refer to "3.2 General.")

4. Unless otherwise approved, the applicant should replace existing Reclamation roads and parking surfaces that are removed or damaged by the applicant's construction activities in accordance with provisions in the latest edition of the applicable State DOT Standard Specifications.

5. If existing road embankments are to be widened, the work should be conducted in accordance with the provisions of embankment construction in the applicable State DOT Standard Specifications.

6. Detectable warning tape may be required over buried utilities. (Refer to "3.3 Detectable Warning Tape.")

5.0 CATHODIC PROTECTION REQUIREMENTS

5.1 Cathodically Protected Metallic Pipelines
Unless approved in writing by Reclamation, metallic pipelines or those containing metallic reinforcement ( e.g., reinforced concrete) installed within Reclamation's ROW should have a suitable bonded dielectric coating (see "5.2 Protective Coatings for Corrosion Control") and be cathodically protected. Impressed current cathodic protection rectifiers and deep-well anode systems should not be 23 EXHIBIT B
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permitted within Reclamation facilities without prior approval from MERL's Corrosion Technology Group. All submittals should include details of the cathodic protection system (CPS) and its appurtenances. 24 1. All existing Reclamation cathodic protection test stations, cables running to these stations, rectifiers, anode beds, and any other appurtenances should be located prior to any grading or excavation. The test stations should be staked and flagged. The test stations, cables running to these stations, any anode beds, etc., should be suitably enclosed or protected during construction to prevent damage. No re-location or modification of the test stations, cables, anode beds, etc., is allowed without prior approval from MERL's Corrosion Technology Group.

2. Generally, the CPS to the proposed pipeline should be the sacrificial anode type unless the proposed installation continues an existing pipeline that uses impressed current type of cathodic protection.

3. A means of monitoring the effectiveness of the CPS on the proposed pipeline should be provided within Reclamation's ROWs. The number of anodes and test stations will differ with each project. Test stations should be located at every anode bed connection and should not be more than 1,000 feet apart. A test station should also be located where any metallic pipeline crosses over or under a metallic Reclamation pipeline, metallic fence, other metallic structure embedded in the ground, or comes within 20 feet of a Reclamation structure on or embedded in the ground. Both the proposed cathodically protected pipeline and the Reclamation pipeline should be monitored regularly using these test stations. Monitoring results should be reported to MERL's Corrosion Technology Group. In addition, the owner of the proposed crossing pipeline should investigate and mitigate any adverse potential shift caused by the proposed pipeline on the Reclamation pipeline. Owners of proposed crossing pipelines should return Reclamation pipelines to their original electrochemical potentials or to more benign potentials. Mitigation measures should be approved by MERL's Corrosion Technology Group. The effectiveness of mitigation measures should be confirmed in the presence of a Reclamation representative following installation.

For those pipelines under DOT regulation, the application and monitoring of the CPS should conform to Title 49 CFR, Part 195, any special provisions of this guideline, and the provisions of NACE International RP 0169, in that order. For other pipelines, any special provisions of this guideline should take precedence, followed by the provisions of NACE RP 0169.

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5.2 Protective Coatings for Corrosion Control
I. Atmospheric Exposed Pipe
The coating should be a high build modified aluminum epoxy mastic primer and top coated with a high build aliphatic urethane. The type of coating should be listed in the submitted plans and specifications.

Information should include the surface preparation and the thickness of the coating to be applied.

2. Buried Pipe
The type of coating may vary from project to project due to geology and soil corrosivity and should be considered on an individual basis. The type of coating should be listed in the submitted plans and specifications.

Information should include the surface preparation and the thickness of the coating to be applied.
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REFERENCES
Application for Transportation and Utility Systems and Facilities on Federal Lands, <http://www.ntia.doc.gov/FROW site/SF-299 _ 2006.pdt>.

Application for Use of Reclamation Project Land and Water Surfaces, <http://www.usbr.gov/pmts/lands/>.

Bureau of Reclamation Right-of-Use Application, <http://www.usbr.gov/pmts/ lands/FINAL 7-2540-5-06ExpDate033 l 2009.pdt>.

California Department of Water Resources - Encroachment Permit Guidelines.

Central Arizona Project, Reach 11 Guidelines.

GP Region Billings MT - Standard Crossing & Clearance Requirements, Utility Lines and Cables, drawing 40-600-51. The office also uses a Preliminary Project Description Form and a Special Use Permit.

NACE, International RP 0169, "Standard Recommended Practice - Control of External Corrosion on Underground or Submerged Metallic Piping Systems." PN Region Burley ID- Overhead and underground crossing clearances.

Policy on Geometric Design of Highway and Streets, American Association of State Highway and Transportation Officials (AASHTO), Fifth Edition, 2004.

Reclamation, 2005. Preliminary drawing 103-D-1700 that provides general requirements for installation of crossings, June 2005.

Reclamation Manual, Directive and Standards LND 08-01, Land Use Authorizations, <http://www.usbr.gov/recman/lnd/lnd08-0 l .pdt>.

Title 29 CFR, Part 195.

U.S. Army Corps of Engineers - Engineering and Design, Design and Construction of Levees EM 1110-2-1913, 30 Apr 2000, CECW-EG Washington, DC 20314-1000.
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GLOSSARY
Bored and jacked - This terminology is a general way of referring to a family of trenchless methods.

Bridge, class A - Vehicular bridge used by the public. May or may not be owned by the Bureau of Reclamation.

Consent Document Permit - Permit required across fee-owned lands.

Detention basin - An artificial flow control structure used to contain flood water for a limited period of a time, thereby providing protection for areas downstream.

Detention basins provide a way to reduce storm peak flows, while retention basins hold water for an extended period of time. These basins are generally a part of a larger engineered flood water management system.

Electroliers - A branching frame, often of ornamental design, used to support electric illuminating lamps.

Pothole excavation - See potholing.

Potholing - The practice of digging test holes to expose underground utilities (e.g., cables) to determine the horizontal and vertical location of these utilities.

Trenchless methods - Procedures for installing pipe without using traditional trench cut and cover methods. These trenchless methods may be referred to as bore and jack, tunneling, horizontal directional drilling, and microtunneling, among others.

Water conveyance facility- Canal, ditch, pipeline, drain, levee, open or closed laterals, and similar facilities and their associated appurtenant features. 29 EXHIBIT B
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General Requirements for Installing
Bored and Jacked Pipe Undercrossings

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1. Installing a lone carrier pipe (without casing) is encouraged. Refer to "4.6 Utility Crossing," and "4.6.1 Casings" for information on cautions of using casings around metallic carrier pipe.

2. Plans must show carrier/casing pipe type, diameter, and thickness.

Casing pipes should be steel pipe (American Water Works Association [AWWA] C-200) and have 1/4-inch minimum wall thickness.

Applicants should provide the type of carrier pipe and appropriate bell dimensions for said carrier pipe to verify annular clearances.

3. When installing pipe while the canal is unwatered, a minimum of 3 pipe diameters or 60 inches of clearance ( whichever is greater) between the top of the pipe and the bottom of the canal must be maintained.

However, 72 inches or more clearance is recommended.

4. Provide a minimum of 3 inches of clearance between the carrier and casing pipes at all points (including bells).

5. A bulkhead or effective sealing device should be provided at both ends of each casing pipe to seal the annular space between the two pipes.

Vent pipe should be included to allow ventilation and reduce the risk of condensation buildup and flooding.

6. As a result of the installation process, an annular void is usually created around the outside of the casing pipe. Provisions should be made to pressure grout or effectively seal (e.g., bentonite slurry) this void space.

7. Requirements below are provided to establish minimums for determination of the length of pipe to be installed. It is strongly recommended that pipes be installed perpendicular (between 70 and 90 degrees) to the canal alignment. Regardless, the pipe must extend completely through the Bureau of Reclamation's (Reclamation) right-of­ way (ROW). Theses minimums do not relieve the applicant's engineer from performing an onsite investigation or other work to determine local conditions that may require additional pipe length.

Jacking pit configuration, location, and length of pipe to be installed should be based on the following parameters:
a. One operating road shall remain open to vehicular traffic at all times.

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b. The minimum operating road embankment top width to be maintained during construction should be either 14 feet wide, the width of the existing embankment, or as required by
Reclamation.
c. As a minimum, jacking pit excavations should not be within:
(1) A line drawn from the outside edge of the operating road embankment extended downward and away from the
canal at a slope of 3/4 horizontal to 1 vertical.
(2) A line drawn from the outside edge of the top of the concrete lining extended downward and away from the
canal at a slope of 1 horizontal to 1 vertical.
d. To contain the slurry during installation, jacking pits should be constructed so that natural ground or a compacted dike is entirely around the pit to an elevation at least 1 foot above the top of the canal lining.
e. All excavations should be in compliance with Occupation Safety and Health Administration regulations and Reclamation's Health and Safety Standards.
f. If the contractor elects to install shoring in the jacking pits, all shoring designs should be prepared by a Professional Engineer knowledgeable in said type of work. A copy of the shoring designs should be submitted to Reclamation.

8. Jacking pits should be backfilled with native material and mechanically compacted to 95 percent of the maximum dry density per ASTM D-698.

9. The contractors should be responsible for any damage to the canal section during the construction of a crossing, and the contractor shall repair the damage at their own expense.

10. If an emergency situation develops during construction, the contractor should immediately notify appropriate contacts with Reclamation.

Reclamation must approve further work at that point.

11. The minimum distance between two jacked pipes should be 10 feet.

12. Any pressure lines installed within Reclamation's ROW must have adequate thrust restraint at bends and valves. Specified design pressures and thrust restraint calculations shall be provided to Reclamation to confirm the design configuration.

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Guidelines - Removal of Trees and Other
Vegetative Growth from Earth Dams,
Dikes, and Conveyance Features
Excerpted from: Review of Operation and Maintenance
Program Field Examination Guidelines

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APPENDIX B

GUIDELINES

REMOVAL OF TREES AND OTHER VEGETATIVE GROWTH
FROM EARTH DAMS, DIKES, AND CONVEYANCE FEATURES*
Growth of trees and other significant vegetation on or adjacent to earth dams, dikes, and conveyance features, should be prevented from becoming established for the following reasons:

I. To allow proper surveillance and inspection of the structures and adjacent areas for seepage, cracking, sinkholes, settlement, deflection, and other signs of distress.

2. To allow adequate access for normal and emergency Operation and Maintenance (O&M) activities.

3. To prevent damage to the structures due to root growth, such as 'shortened seepage paths through embankments; voids in embankments from decayed roots or toppled trees; expansion of cracks or joints of concrete walls, canal lining, or pipes; and plugging of perforated or open-jointed drainage pipes.

4. To discourage animal/rodent activity (by eliminating their food source and habitat), thereby preventing voids within embankments and possible shortened seepage paths.

5. To allow adequate flow-carrying capability of water conveyance channels (e.g., spillway inlet and outlet channels; open canals, laterals, and drains).

The growth of trees and potentially detrimental vegetaticm should be prevented during its early stages as part of the operating office or entity's normal O&M program. Early conttol is generally the most cost effective means of avoiding potential adverse effects on these structures from their continued growth. Control efforts may consist of applying herbicides, spraying, cutting, and/or removing the trees or undesirable vegetation.

Suggested clearance zones (areas of control) adjacent to these structures are provided within these guidelines. Concerted efforts should be made to maintain these clearance zones. However, site-specific conditions, such as landscaping, accessibility, erosion susceptibility of material iri the area, type of abutment material, original construction clearance zone, right-of-way easement, etc., may influence the necessity or success of these control efforts.

Should trees and/or other significant vegetation become established, proper O&M of earth embankment dams, dikes, and conveyance features, may require their discriminate removal. During the Review of Operation and Maintenance examination for the facility or system, the examiners should use these guidelines, along with their experience and professional judgment, to evaluate the need for removal of such established growth.

If trees and other significant growth are identified by the examination team in locations delineated by these guidelines, a determination should be made regarding their need for removal. If the identified vegetation is deemed to be in location such that its existence is not considered to he detrimental and therefore does not require removal, sufficient justification should be provided during the examination and included within the associated report to support that determination.
• Enclosure to mtmorandum dated April 26, 1989, from Manager, Project Operation Services Staff, to aJl Regiona l Directors, Subject: Revised Guidelines - Rmiowl of Trees and Other Vegetative Growth From E(J.r/h Dams, Dilies , and Conveyance Featuus.

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When, in the opinion of an Review of Operation and Maintenance examination team, such established growth requires removal, specific followup procedures should be addressed as part of the examination. Such procedures may include the need for right­ of-way easement determination; the need for an assessment for potential environmental impacts (any impact assessments should be coordinated with designated regional or project office environmental staff); whether removal of the root system is necessary and to what extent; the method of removal and recompaction of material within the void created ; and the need for any erosion stabilization measures.

National Environmental Policy Act compliance is required relative to such tree and vegetation removal. Additionally, the application of herbicides should comply with applicable provisions of the Endangered Species Act. The determination of appropriate procedures to be followed in assessing potential environmental impacts and mitigation (including those to wildlife and its habitat) will be the responsibility of each regional and/or project office. This wi11 include the preparation of an appropriate National Environmental Policy Act document and an assessment of the need for mitigation prior to the onset of removal activities. Appropriate National Environmental Policy Act compliance may include a Categorical Exclusion Checklist, an environmental assessment followed by a Finding of No Significant Impact, or an Environmental Impact Statement.

The following guidelines and associated clearance zones should be used for all Reclamatioe earth dams, dikes, and conveyance features. They are not considered· 'policy;" rather, they are guides which should be used with reasonable judgment and practicality.

1. Trees and detrimental vegetative growth should be prevented from becoming established on the surface of all earth dam, dike, and conveyance feature embankments.

A small amount of shallow-rooted vegetation may be acceptable to aid in erosion protection and slope stabilization . Mowing of grass and other small vegetation is desirable and may be necessary to a1low proper survei11ance of the surfaces and observation of animal/rodent activity.

2. A clearance zone of 25 feet beyond each contact (groins and toe) of earth dam embankments and dikes should be maintained of all trees and detrimental vegetation.

Similarly, a clearance zone of 15 feet should be maintained beyond the outside toe of a11 fill sections/ embankments for open canals and laterals. These clearance zones may need to be extended for seepage areas or other conditions where proper surveillance or access may be warranted.
~- Earth dam, dike, and conveyance feature (open canal and lateral) embankments have large tree growth or stumps from previously cut trees on or near them should be evaluated, usually in conjunction with an Review of Operation and Maintenance examination, for any necessary future action, (i.e., monitor, excavation and backfill, rebuild, etc.). Generally, sizable old root systems of large trees should be grubbed out and the embankment replaced and compacted to prevent the development of piping action or erosion. Likewise, any sizable voids resulting from animal/rodent burrowing activity should be filled and compacted. Seeding may be necessary for protection from surface erosion.

4. Spillway inlet and outlet channels, outlet works discharge channels, and other open conveyance channels ( open canals, laterals, and drains) should be free of vegetative growth that could significantly impede water flow or reduce design capacity. ·

5. A clearance zone of 25 feet adjacent to all concrete structures associated with such facilities should be maintained of all trees and detrimental vegetative growth to prevent damage from root growth , to allow proper surveillance, and to allow adequate O&:M access.

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6. Associated cut slopes adjacent to open canals and laterals should be kept clear of vegetation which, if toppled and/or uprooted, could affect operations or 08cM access.

7. For pipe conveyance systems (such as siphons; aqueducts, discharge lines, perforated or open-jointed drains, etc.), to provide 08cM access and to prevent root encroachment, a clearance zone should be maintained 15 feet from each side of the pipeline. However, in some cases, fanning of annual crops over pipelines may be permissible. • • • • • •
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City Council
August 20, 2025

STAFF REPORT

To: City Council
From: Bryan H. Montgomery, City Manager
Prepared by: Brian Halvorson, Dir. Of Community Development Subject: Memorandum of Understanding with Coachella Valley Association of Governments (CVAG) for the CV Housing First Program Multi-Year Partnership beginning Fiscal Year 2025-2026 and ending Fiscal Year 2027- 2028.

RECOMMENDATION:

Staff recommends that the City Council authorize the City Manager to execute the Memorandum of Understanding with Coachella Valley Association of Governments (CVAG) for the CV Housing First Program beginning Fiscal Year 2025-2026 and ending Fiscal Year 2027-2028.

SUMMARY:

As outlined in the MOU, the Coachella Valley Association of Governments (CVAG) will provide a number of key services to assist unsheltered individuals in the City of Indio.

BACKGROUND INFORMATION:

CVAG provides services to unhoused individuals and families in the Coachella Valley and, more specifically, in the City of Indio who are experiencing homelessness. CVAG works with the City's Quality of Life Team and other public health agencies that provide homeless services.

As part of the Housing First Program, CVAG provides outreach to clients, making connections to housing solutions (including rapid resolution and crisis stabilization units). These primary methods, such as rapid resolution, are urgent solutions that staff use to help overcome the barriers individuals experience when securing housing.

Additional services include identifying appropriate paperwork to qualify for benefits, such as housing, medical, mental health, substance abuse, and employment. The Crisis Stabilization Unit connects many individuals to housing, including apartments and hotel rooms where clients can stay for a designated number of days while they work to find more permanent housing.

The City of Indio has participated in the CV Housing First Program for the previous three (3) fiscal years, contributing $100,000 annually. CVAG has requested an additional $25,000, bringing the total to $125,000 for services to account for rising costs associated with the program and enter into a multi-year partnership of three (3) years.

As proposed herein, the MOU would commit funding from the City to CVAG's Housing First Program for Fiscal Year 2025-2026, which would require a budget adjustment to this year's original allocation AGENDA ITEM #9.12
Memorandum of Understanding with Coachella Valley Association of Governm... Page 440 of 1094 of $100,000. The MOU would also commit funding from the City for the Fiscal Year 2026-2027 and 2027-2028. A key component of the MOU is a quarterly report of the services provided in Indio.

FINANCIAL SUMMARY:

Current FY Financial
Impact:
100,000.00 In current year budget: Yes
Current FY General
Fund Impact:

Budget adjustment: Yes
Next FY Financial
Impact:

Strategic Objective: Community Well-being
Source of funds: Fund-Org-Object
Reference:
101190-540006

Additional Financial Details:

Current budget is for $100,000.00, additional $25,000.00 request, total of $125,000.00

ALTERNATIVES:

1.) Not approve the MOU.

2.) Modify terms of the MOU.

ATTACHMENTS:

Attachment 1- MOU Housing First Program

APPROVAL(S):

Brian Halvorson, Dir. Of Community Development Approved - 06 Aug 2025 Steven Graham Pacifico, City Attorney Approved - 07 Aug 2025 Ruby D. Walla, Director of Finance Approved - 07 Aug 2025 Bryan H. Montgomery, City Manager Approved - 08 Aug 2025

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MEMORANDUM OF UNDERSTANDING BETWEEN

THE CITY INDIO
AND

COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS

FOR FUNDING CV HOUSING FIRST AND ADDRESSING HOMELESSNESS This Memorandum of Understanding (the "Memorandum") is made by and between the CITY OF INDIO (“CITY”) and the COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS ("CVAG"), with respect to the following:

WHEREAS, the City is interested in funding the provision of food, emergency shelter, and outreach to those in need and, in that regard would like to support the CVAG homelessness program; and
WHEREAS, the City is supporting CVAG's CV Housing First program as a regional solution for homeless individuals; and
WHEREAS, CVAG agrees to use the City funding for the CV Housing First program to provide case management and outreach services to chronically homeless individuals in the Coachella Valley for the coming years;
NOW, THEREFORE, the City and CVAG agree to the following:

1.0 TERM OF MEMORANDUM.

The term of this Memorandum shall expire on June 30, 2028, unless earlier terminated by either party by giving written notice of termination at least sixty (60) days prior to July 1st of any fiscal year.

2.0 OBLIGATIONS OF THE PARTIES.

2.1 CVAG shall provide the services set forth in Exhibit A attached hereto and incorporated herein by this reference ("Scope of Services"). CVAG shall deliver quarterly reports to the City detailing the CV Housing First program metrics as set forth in Exhibit B attached hereto and incorporated by this reference ("Quarterly Reports").

CVAG shall comply with any and all federal, state, and local laws and regulations applicable to CVAG, the Scope of Services, and the use of the City (as defined in Section 2.2 below) and the use of any other public moneys (collectively, the "Compliance Requirements").

2.2 The City will provide financial support each fiscal year for the duration of the agreement. (''City Funds"). In Fiscal Year 2025-26, the payment shall be One Hundred Twenty-Five Thousand Dollars ($125,000) to CVAG. Subsequent annual payments

Memorandum of Understanding with Coachella Valley Association of Governm... Page 442 of 1094 shall incorporate an annual inflation adjustment that mirrors the one used by CVAG for its Transportation Uniform Mitigation Fee and be based on the Riverside-San Bernardino-Ontario Consumer Price Index (CPI). Such CPI will be reviewed annually by the Homelessness Committee, which will determine whether or not to apply the inflation factor.

2.3 The City Funds shall be paid provided CVAG complies with its obligations under this Memorandum and provided that the Memorandum is not earlier terminated as provided for herein. The City shall disburse the funds no later than 90 days after the beginning of each fiscal year. All funds shall be used by CVAG for the Scope of Services and for no other purpose. If CVAG fails to provide CV Housing First services for a fiscal year, the City may withhold an installment disbursement of the Funds that have not yet been disbursed. If CVAG fails to comply with any Compliance Requirements, the City may (i) withhold an installment disbursement that has not yet been disbursed, (ii) order a return to the City of any portion or all City Funds that were not used in compliance with this Memorandum or any other Compliance Requirements, and/or (iii) seek any other rights or remedies available at law or in equity.

3.0 INDEMNITY AND RELEASE.

CVAG hereby agrees to indemnify, defend, and hold harmless the City and its officers, employees, agents and independent contractors (collectively, "Indemnitees") from and against any and all of claims, causes of action, obligations, losses, liabilities, judgments, or damages, including reasonable attorneys' fees and costs of litigation ( collectively "Claims") arising out of and/or in any way relating to CVAG's activities in the performance of this Memorandum, or to CVAG's acts and/or omissions in providing or administering the same, excepting only those claims, actions, obligations, losses, liabilities, judgments, or damages arising out of the sole negligence, active negligence or willful misconduct of the City.

4.0 CVAG INSURANCE OBLIGATIONS.

Without limiting the indemnification provisions provided herein, CVAG, at its sole expense, shall obtain and keep in force during the term of this Memorandum and any extensions thereof, a policy or policies of general liability insurance covering all injuries to persons and damage to property occurring in, upon or about the CVAG facility(ies) resulting from any actions or omissions of CVAG or any use of the CVAG facility(ies), or the CVAG's invitees in accordance with the terms of this Memorandum. At the City’s request, these CVAG shall submit certificates of insurance and any applicable endorsements evidencing that the foregoing policy or policies are in effect.

5.0 ADDITIONAL PROVISIONS.

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5.1 In all cases, the language in all parts of this Memorandum shall be construed according to its fair meaning and not strictly for or against either party, if being agreed that the parties or their agents have all participated in the preparation of this Memorandum.

5.2 This Memorandum contains the entire agreement of the Parties and supersedes any prior oral or written statements or agreements between the Parties regarding the operation of CVAG's CV Housing First Program.

5.3 No termination of this Memorandum shall release either party from any liability or obligation hereunder resulting from any acts, omissions or events happening prior to the termination of this Memorandum.

5.4 In the event either party brings any suit or other proceeding with respect to the subject matter or enforcement of this Memorandum, the prevailing party (as determined by California law) shall, in addition to such other relief as may be awarded, be entitled to recover reasonable attorneys' fees, expenses and costs of suit or investigation as actually incurred (including, without limitation, reasonable attorneys' fees, expenses, and costs incurred in establishing the right to indemnification). [signatures on next page]

Memorandum of Understanding with Coachella Valley Association of Governm... Page 444 of 1094 IN WITNESS WHEREOF, Coachella Valley Association of Governments and the CITY have executed this Memorandum as evidenced by the signatures contained below:

CITY COACHELLA VALLEY

ASSOCIATION OF GOVERNMENTS
By: ______________________________ By:
______________________________
Name: Bryan H. Montgomery Name: Tom Kirk
Title: City Manager Title: Executive Director
Date: ___________________________ Date: ___________________________

ATTEST ATTEST
By: ______________________________ By:
______________________________
Name: __________________________ Name: Allen McMillen
Title: ____________________________ Title: CVAG Contracts Analyst Date: ___________________________ Date: ___________________________

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EXHIBIT A
Scope of Services
Provide services to unhoused individuals and families in the Coachella Valley, and more specifically in the City of Indio who are literally homeless by providing outreach, connections to housing solutions (including crisis stabilization housing and/or permanent solutions), rapid resolution assistance for one-time emergency needs such as move-in costs, or other supportive services and resources such as food distribution, legal services or clinics, and linkages to housing services.

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EXHIBIT B
CV Housing First Metrics and Reporting Requirements
CVAG will also provide a quarterly report, modeled after the one attached, that provides an overview of services provided across the Coachella Valley. In addition, if requested by the City of Indio, CVAG shall provide information on the following program components on a six-month basis:
• Number of unduplicated CV 200 clients from the City of Indio who moved into crisis stabilization housing
• Number of permanent housing resolutions for CV 200 clients from the City of Indio • Number of contacts made with CV 200 clients in the City of Indio • Number of total outreach scheduled outings in the City of Indio

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City Council
August 20, 2025

STAFF REPORT

To: City Council
From: Bryan H. Montgomery, City Manager
Prepared by: Brian Halvorson, Dir. Of Community Development Subject: Professional Services Agreement with Dudek for Planning and Consulting Services for Phase II of the East Indio Employment Corridor Annexation Study.

RECOMMENDATION:

Staff recommends that the City Council authorize the City Manager to execute a Professional Services Agreement in a form approved by the City Attorney with Dudek for Planning and Consulting Services in the amount of $422,000 for Phase II of the East Indio Employment Corridor Annexation Study.

SUMMARY:

A Professional Services Agreement with Dudek will allow staff to continue work on the East Indio Employment Corridor Annexation Study and transition into Phase II of the project which includes studying an expanded project area of approximately 4,609 acres. The consultant’s attached proposal outlines the proposed budget, timeline, and sequence of tasks for Phase II of the project and would include concepts to be reviewed by key interested parties, including the Planning Commission and City Council, property and business owners, and the broader community.

BACKGROUND INFORMATION:

On June 5, 2024, the City committed to studying approximately 3,300 acres (5.19 square miles) in its Eastern Sphere of Influence for potential employment-generating development.

The area, currently unincorporated Riverside County land, is mostly open space with minimal commercial uses and resource extraction. The Eastern Sphere offers a major opportunity to establish a needed industrial employment corridor with complementary uses.

On May 7, 2025, the Council received a presentation on the project and provided preliminary input to staff regarding Phase I of the project. The Dudek team developed a Preliminary Feasibility Analysis Final Report for Phase I of the project that was presented to the Council on July 16, 2025. In addition, the Council also received a draft consultant proposal for Phase II of the project. Phase II would include a Fiscal Impact Analysis and a Services/Utilities Plan to refine and select a preferred planning concept and has an estimated completion time of 18 months.

Future work to prepare the California Environmental Quality Act (CEQA) documentation, secure project approvals, and submit the formal LAFCO application will occur in Phase 3 of the project which will be considered by the Council following completion of Phase II.

AGENDA ITEM #9.13
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FINANCIAL SUMMARY:

Current FY Financial
Impact:
$211,000 In current year budget: Yes
Current FY General
Fund Impact:
$211,000 Budget adjustment: No
Next FY Financial
Impact:
$422,000 Strategic Objective: Economic Opportunity
Source of funds: General Fund Non-Departmental Fund-Org-Object Reference:
1012182-521064

ATTACHMENTS:

Dudek Proposal East Indio Employment Corridor

APPROVAL(S):

Steven Graham Pacifico, City Attorney Approved - 07 Aug 2025 Ruby D. Walla, Director of Finance Approved - 07 Aug 2025 Bryan H. Montgomery, City Manager Approved - 08 Aug 2025

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Planning and Consulting Services for the East Indio Employment Corridor — Phase 2 Project, City of Indio 1

Cover Letter
July 24, 2025
Brian Halvorson, AICP
Community Development Director
City of Indio
100 Civic Center Mall
Indio, CA 92201
Subject: Planning and Consulting Services for the East Indio Employment Corridor Annexation Study — Phase 2 Project— City of Indio
Dear Mr. Halvorson:

Dudek is pleased to submit this proposal to assist the City of Indio to provide the enclosed work program for planning and consulting services for the East Indio Employment Corridor Annexation Study— Phase 2 Project (Project) within the City of Indio’s existing Eastern Sphere of Influence. As we transition from Phase 1 to Phase 2, the enclosed scope and budget focuses on expanding the Project Area so that it is synonymous with the Eastern Sphere of Influence boundary (see Figure 1), conducting targeted desktop constraints and opportunities analyses for this additional area, and moving forward to develop a proposed conceptual plan for annexation, Services and Utilities Plan and Fiscal Impact Report.

We offer the City of Indio an integrated team that brings efficiencies, local knowledge, and a depth of experience across disciplines to assist the City and serve as a partner in navigating the annexation process. We look forward to the opportunity to continue working with the City of Indio on this effort.

Sincerely,
__________________________________
Rachel Lindt, AICP
Senior Planner – Planning & Urban Design

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Project Understanding/Approach
Phase 1: Strategic Assessment of Indio’s Eastern Sphere of Influence Dudek understands that the City of Indio (City) would like to continue analyzing the potential annexation of all or a portion of the City’s Eastern Sphere of Influence (SOI) (Figure 1). During Phase 1, which occurred during Fiscal Year (FY) 2024-2025, the project team focused on understanding opportunities and constraints to developing the Project Area, as well as creating conceptual scenarios. Engagement and coordination were conducted with a variety of interested parties throughout Phase 1, including public utility and service providers, tribal representatives, a Technical Advisory Committee (TAC), Riverside Local Agency Formation Commission (LAFCO) staff, the real estate/development community, and City Council to inform the project and support general buy-in.

Phase 1 concluded with a series of conceptual planning scenarios that will be shared with the various bodies noted above and further refined in Phase 2, as well as substantive information to enable City Staff and decision- makers to make critical decisions to advance the project forward in Phase 2.

Phase 2: Advancing Annexation Concepts and Preparing for LAFCO Application Phase 2 begins with additional analyses of the City’s Eastern Sphere of Influence (SOI) to develop proposed annexation concepts for review by key interested parties (noted above), including the City’s Planning Commission, property and business owners, and the broader community. Specifically, the enclosed scope and budget include expanding the Project Area analyzed during Phase 1 to include an additional 1,289 acres, resulting in a total project area of approximately 4,609 acres. As an early task, the project team will analyze this additional area and provide a comparable level of evaluation for the remainder of the Eastern SOI in addition to a hydrology feasibility study to determine the extent of any potential flood hazard areas. This phase also includes a fiscal impact analysis to refine and select a preferred concept. Once selected, the focus shifts to preparing the LAFCO application, including a Services and Utilities Plan and Fiscal Impact Report. Continued engagement with interested parties will support project development and approvals. Similar to Phase 1, the project team—Dudek, CV Strategies, Pro Forma Advisors, and Intersecting Metrics—brings complementary technical expertise and local knowledge. For the purposes of this proposal, the term “project team” refers to Dudek and their teaming partners.

The enclosed proposal includes a budget estimate overview and detailed breakdown on pages 19 and 20, respectively, as well as a process timeline on page 21. Overall, Phase 2 is estimated to be completed as part of an 18-month process.

Future work to prepare the California Environmental Quality Act (CEQA) documentation, secure project approvals, and submit the formal LAFCO application will occur in Phase 3, prior to which a scope and fee will be prepared for consideration.

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Scope of Work
Task 1 Project Management
Rachel Lindt will continue to serve as the day-to-day project manager (PM) and primary point of contact throughout the duration of the project and will continue to be supported by Laurie Grover as Deputy Project Manager (DPM). Dudek’s approach to project management includes clear and timely communication, managing adherence to the scope, keeping the progression of work on schedule, cost controls, and risk management.

Dudek prides itself on integrating a fundamental focus on high-quality work and meeting both client and project goals and objectives.

TASK 1.1 ONGOING MANAGEMENT AND MEETINGS
Rachel, Laurie, and key Dudek staff (such as technical staff), will lead monthly one-hour long (60 minutes) virtual meetings with City staff. Phase 2 assumes an 18-month project schedule. Seeing as the project may call for early and often coordination at project onset, Dudek assumes additional time to meet with staff on a bi-weekly basis, for a maximum of 32 one-hour long (60 minutes) meetings total. The meetings will ensure objectives and milestones are being achieved during this timeframe. For these meetings, Dudek will prepare agendas with input from City staff. Meeting minutes will be taken during meetings and provided to the project team with next steps and action items outlined for both Dudek and the City, as needed. Task 1.1 also includes PM and DPM time to manage the budget and schedule on an ongoing basis, manage subconsultants and internal technical teams, as well as prepare monthly invoices.

In the event unanticipated complexities or new components arise resulting in the protraction of the schedule or need for additional solutions meetings, additional scope and fee would be negotiated.

Task 1.1 Deliverables/Assumptions:
▪ Up to 32 one-hour long (60 minutes) virtual meetings (18 monthly meetings and 14 additional biweekly meetings)
▪ Meeting agendas
▪ Monthly invoices
▪ Project schedule to be updated on an ongoing basis
TASK 1.2 KICKOFF MEETING
Within thirty (30) days of the execution of the contract, Dudek will work with the City to schedule a virtual kickoff meeting. The purpose of the kickoff meeting is to confirm expectations, share aspirations, establish relationships with other key Dudek technical staff members, discuss existing information and information gaps, and set the outreach strategy up for success. The kickoff meeting will identify key team members and clarify roles, lines of communication, and review processes as well as a review of the scope of work and the high-level schedule. The kickoff meeting will also include a discussion on additional data needs for this phase of work (See Task 1.3 Additional Data Needs).

The kickoff meeting will also serve as a working meeting and will involve key City staff members including the Community Development Director, City Manager’s office, Public Works, and Economic Development staff and will help identify major milestones and project considerations. Dudek will prepare a meeting agenda and include any items requested by the City.

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Task 1.2 Deliverables/Assumptions:
▪ Attendance at virtual kickoff meeting for up to four (4) key staff and meeting materials including agenda, draft schedule, presentation, minutes, and action items TASK 1.3 ADDITIONAL DATA NEEDS
Dudek will compile an initial list of data required to conduct various analyses in subsequent tasks and present the list to the City. As the contract evolves, Dudek may request additional data needs and will work to consolidate data needs by task. The City will work with Dudek to request data from various entities, including internal City departments, County of Riverside (County), and outside agencies.

Task 1.3 Deliverables/Assumptions:
▪ Consolidated data needs request by task
Task 2 Focused Feasibility and Desktop Constraints Analyses TASK 2.1 HYDROLOGY FEASIBILITY STUDY
Based on findings from the desktop opportunities and constraint analyses conducted in Phase 1, Dudek’s engineers will conduct a hydrology feasibility study to better understand the portion of the Project Area that is part of a special flood zone area to determine the extent of any potential flood hazard areas. Under Task 2.1, Dudek’s engineers will identify potential flood hazard areas (constraints) within the Project Area boundaries via preliminary hydrology and hydraulics (H&H) analyses. Modeling can provide insight into varying level of inundation potential based on available topography and preliminary hydrology calculations. Inundation potential will inform constraints (developable areas, type of development, flood mitigation needs/requirements, habitat mitigation needs/opportunities, etc.)

Dudek Engineering will collect and review existing background data to support the Project. Data collection includes available and provided existing hydrologic and hydraulic studies, data received from other agencies, County GIS layers, topographic data, and other available relevant data. Dudek Engineering will coordinate with other Dudek technical groups to understand data already collected and constraints already identified.

In preliminary research, Dudek Engineering identified high resolution (1-meter) topography data available for the project area. This will be utilized for the hydraulic analysis. Beyond the project area, courser resolution (10-meter) topography data are available and will be utilized for hydrology analysis.

Dudek Engineering will conduct the following H&H services as part of the Hydrology Feasibility Study. For hydrology, Dudek Engineering will delineate drainage basins tributary to the project area utilizing existing USGS national hydrography dataset (NHD) and GIS methods. Using these drainage basin areas, Dudek will apply USGS Regression Equations to determine peak flow rates for several storm recurrence intervals. This will provide a reasonable estimation of expected flowrates without effort required for a detailed hydrology study.

For hydraulics, Dudek will take flowrates calculated in the hydrology analysis and input those as inflows into a hydraulic model. Dudek will develop a two-dimensional (2D) hydraulic model with the US Army Corps of Engineering (USACE) software Hydrologic Engineering Center River Analysis System (HEC-RAS). Model inputs will include national land cover data (NLCD) to assign flow roughness coefficients to the 2D geometry mesh, flow boundary conditions from the hydrology analysis, and topography data as collected for the project. The model domain will extend sufficiently upstream and downstream such that boundary conditions do not impact the analyses and project impacts can be adequately assessed. 2D mesh geometry grid spacing will be refined to a fine resolution within drainages, with coarser resolution in the overbank sections.

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Findings from the H&H analysis will be summarized in a technical memorandum, and will include the following:
• Documentation of methodology and assumptions.
• Discussion of impact to annexation considerations (constraints, implications to type of development, etc.; this task includes coordination time with other technical groups to focus discussion language). • Produce exhibits displaying results.

Task 2.1 Deliverables/Assumptions:
▪ Draft and Final technical memorandum (word and PDF)
▪ Attendance at one (1) call with the City to present results of study ▪ Dudek assumes that comments recieved on the draft technical memorandum will be relatively minor, meaning no substantial changes to the project area that would require additional analyses.
▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants. ▪ Hydrology anlaysis will include peak flowrate determination for up to three events – the 2-, 10-, and 100-year storms.
▪ Hydrology analysis will utlizie USGS Regression Equations. Detailed hydrology analysis utlizing Riverside County Flood Control & Water Conservation District Hydrology Manual methodology or other local methodologies may be required for design for future devoplment.

TASK 2.2 TARGETED DESKTOP CONSTRAINTS AND OPPORTUNITIES Under Task 2.2, the project team will conduct a targeted desktop constraints and opportunities analysis focusing on the portion of the Eastern SOI (1,289 acres total) that is east of the current Project Area. As Phase 1 analyzed the 3,320 acres comprising the Project Area, the purpose of this Task 2.2. is to uncover if there are any new constraints or opportunities within the 1,289 acres east of the existing Project Area, as well as if any key issues and opportunities differ given the expanded project area. As such, the project team will analyze this new area, prepare updated analyses, and revise Phase 1 desktop constraints and opportunities reports to address this new condition for the following:
• Land Use and Community Profile
• Biological Resources
• Cultural Resources
• Geological Resources
• Paleontological Resources
• Transportation
• Public Services and Utilities
Task 2.2 Deliverables/Assumptions
▪ Draft and Final Land Use and Community Profile Report ▪ Draft and Final Biological Resources Report
▪ Draft and Final Cultural Resources Report

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▪ Draft and Final Geological Resources Report
▪ Draft and Final Paleontological Resources Report
▪ Draft and Final Transportation Report
▪ Draft and Final Public Services and Utilities Report
▪ Dudek assumes that comments recieved on the draft reports will be relatively minor, meaning no substantial changes that would require additional analyses. ▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants.

Task 3 Development of Annexation Concept
Following the conceptual scenario planning conducted during Phase 1, Task 3 aims to further define the scenario concepts through developing a series of proposed concepts and engaging variety of groups to help refine to a preferred concept, as described in the sub-tasks below.

TASK 3.1 PROPOSED CONCEPTS
Under this task, the Dudek team will develop up to three (3) proposed annexation concepts that explore different annexation outcomes that address the project vision. The scenarios will be informed by policy context, interested parties engagement, and desktop constraints and opportunities analyses conducted in Phase 1 (e.g., transportation, environmental constraints, land use). Potential differences in the concepts may include:
• Geographic extent (how much land to annex)
• Land use assumptions (e.g., residential, employment, open space) • Infrastructure feasibility (roads, water, sewer)
• Fiscal impacts (tax revenue vs. service costs) (as conducted under Task 4 Fiscal Impact Analysis) • Alignment with long-range growth plans
The up to three (3) proposed annexation concepts are intended to stimulate discussion, gather feedback, and conceptualize trade-offs. The project team will evaluate each annexation concept based on a series of criteria, such as growth management goals, serviceability, interested party feedback, environemtnal constraints, and others, and share with City staff, decision-makers, and the community for consideration and feedback.

With an understanding that costs associated with new utilities and services to support the identified land use programs will be crticial to the decision-making process, the project team will update estimated future buildouts associated with each proposed concept and refine the order of magnitude costs for the necessary infrastructure, which were initially developed in Phase 1. With regards to transportation infrastructure, the project team will document what will need to be improved or developed within and adjacent to the proposed annexation concept areas . Transportation-related infrastructure may include, but is not limited to, improvements to existing roadways, new roadway connections, intersection improvements, bicycle, and pedestrian improvements, and potential transit service expansion/improvements. Findings from this additional targeted analysis will help inform the proposed concept and support the public, stakeholders, and decision-makers with providing input on the concepts as part of Task 5 Strategy, Outreach and Engagement and Task 7 Project Approvals. In addition, working with the City and applicable water utility agencies as part of Task 5 Strategy, Outreach and Engagement, Dudek will identify backbone infrastructure and service improvements to support future development with respect to location, timing, and costs. With regards to dry utilities,

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Dudek will work with utility providers (SCE, The Gas Company, Verizon, Time Warner) to understand points of connection and what level of improvements may be required during Task 5.2 Interested Parties Meetings and Outreach.

Task 3.1 Deliverables/Assumptions:
▪ Up to three (3) proposed annexation concepts with evaluation matrix (Draft and Final) ▪ Dudek assumes that comments recieved on the draft concepts will be relatively minor, meaning no substantial changes that would require additional analyses. ▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants.

TASK 3.2 PREFERRED CONCEPT
Upon receiving input on the up to three (3) proposed annexation concepts as part of Task 5 Strategy, Outreach and Engagement and Task 7 Project Approvals, the Dudek team will work with the City to select the most suitable proposed concept based on selected criteria, and refine as needed to identify a preferred annexation concept.

Task 3.2 will conclude with one (1) preferred concept and associated future buildout which will become the basis for analyzing required infrastructure and services cost and timing as part of Task 6 Services and Utilities Plan, annexation application as part of Task 8 LAFCO Application, and the required environmental documentation as part of Phase 3 (not included within this scope).

Task 3.2 Deliverables/Assumptions:
▪ One (1) preferred concept
▪ Dudek assumes that comments recieved on the Preferred Concept will be relatively minor, meaning no substantial changes to the broad concepts, land uses or other changes that would require additional analyses.
▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants.

Task 4 Fiscal Impact Analysis
As part of the project team, our fiscal subconsultant, Pro Forma Advisors, will lead the preparation of the Fiscal Impact Report (FIR) in close coordination with City and Riverside County staff. The approach emphasizes collaboration with agency staff to identify key data sources and define the fiscal impact model’s methodology. This ensures transparency and confidence in both the inputs and the model’s structure.

Per the LAFCO application requirements, the FIR will evaluate fiscal impacts on affected agencies under two scenarios:

1. If the annexation remains unincorporated, the report will calculate the net cost of services provided by the County, including both municipal and countywide services—through build-out.

2. If the area is annexed to the city, the report will estimate the net cost of services under City jurisdiction.

The fiscal impact of the proposed annexation will be determined by comparing these two scenarios. A detailed work plan describing the steps for this analysis follows.

Project Orientation and Budget Data Collection

1. Collect economic studies and recent fiscal analysis (if any) for review.

2. Collect the most recent County and City budgets and tax data applicable to the analysis, including:
a. Property tax distribution and applicable pre-existing agreements (tax rate area and distribution) b. Special tax rates and distribution factors (sales/use, utility users, etc.)

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c. Any existing special fees including infrastructure, development mitigation, etc. d. Existing special assessments
Interview Departments
Based on our experience, we understand that fiscal analysis rarely follows a “one size fits all” approach, even in areas that follow similar regulatory frameworks and broad fiscal policies. It is important to understand the functions, responsibilities, and cost allocation methods of each major service-providing department:

1. The project team will interview key service providing departments, as needed, such as Police, Fire, Maintenance Services, Parks and Recreation, and others as applicable.

2. The project team will consult with the City and County’s Finance department to understand fixed and variable costs to derive “net costs” that need to be covered by discretionary revenues.

3. The project team will interview other relevant agencies to understand specific development-related issues that may affect the analysis.

Collect Current and Proposed Land Use Information

1. Collect relevant real estate market information to estimate reasonable build out timing by land use.

2. Pro Forma will utilize the current land use inventory in the base (existing land use or no change) and annex alternatives to illustrate buildout conditions to derive the net incremental change for the planning scenarios.

Consolidate Cost and Revenue Drivers

1. Estimate increment in population, dwelling units, and employment by land use and developed acreage in the County and City.

2. Estimate major service demand distribution by land use type (fire, public safety, etc.)

3. Collect relevant real estate market information to develop a matrix of land values by type of use.

4. Estimate values of other revenue sources based on current pro rata share of population, employment, dwelling units, “Equivalent” dwelling units, lane miles, park acres or developed acreage as applicable.

5. Estimate expenditure volumes based on pro rata share of population, employment, and dwelling units under each planning scenario.

Prepare Special Models for Selected Cost and Revenue Items Although we will project most of the cost and revenue items using a series of “demand drivers” and pro-rata shares as described above, a number of key line items will be calculated by developing special models. For illustrative purposes, these would include (as applicable):

1. Property Taxes – Pro Forma will develop a property tax revenue calculation model that takes into account:
a. Proposition 13 limitations
b. Appreciation and turnover rates

2. Sales Taxes – Pro Forma typically allocates taxable sales growth to growth in retail market segments in the market area, as opposed to merely allocating a value to each retail parcel. This methodology accounts for market conditions, competitive environment, potential recapture of leakage, and “cannibalization” of existing retail development, and paints a clearer picture in terms of “net” impacts. The potential capture of retail expenditures under each scenario will vary depending upon the variety of retail capacity.

3. Fire Services – Since fire costs are typically “stair-stepped” depending on existing service capacity, and future incremental station needs, these will be calculated separately based on our discussions with the respective Fire departments that may provide future service to the planning area.

4. Others as applicable.

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Model Net Fiscal Impacts
Pro Forma will configure the fiscal impact model to reflect the relevant General Fund structure, revenue sources, land use information, existing level of service, and associated municipal costs for the City and County. The fiscal impact model will be used to calculate incremental fiscal costs and revenues under both planning scenarios. This document will be used by Dudek to make any refinements to the annexation plan as well as to compare up to three development programs to select a preferred development program for the LAFCO application, as part of Task 3.1 Proposed Concept and 3.2 Preferred Concept. The model will be the basis of the FIR that will be delivered in connection with the City’s LAFCO application.

Task 4 Deliverables/Assumptions:
▪ Memorandum describing key sensitivities to the fiscal impact analysis. This document will be used by Dudek to make any refinements to the annexation plan as well as to compare up to three development programs to select a preferred annexation concept under Task 3.1 Proposed Concept for the LAFCO application.
▪ Draft Fiscal Impact Report on the preferred land use program. Upon review and comment a final report will be prepared in a Microsoft Word format.
- The report will be written so required pieces of information can be copy and pasted into the “Plan of Services” section of the LAFCO application. It will also be a stand-alone document that can be submitted as an appendix to the LAFCO application. ▪ Attendance at three (3) in-person or virtual meetings ▪ Dudek assumes that comments recieved on the draft Fiscal Impact Report will be relatively minor, meaning no substantial changes to the broad concepts, land uses or other changes that would require additional analyses.
▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants.

Task 5 Strategy, Outreach, and Engagement
We understand that gaining support from landowners, tenants, and the public will be integral to the overall project and the Riverside LAFCO process. This task aims to engage interested parties, educate residents and interested parties on the benefits of the project, mitigate potential community issues, and build public goodwill.

TASK 5.1 STRATEGY, OUTREACH, AND ENGAGEMENT PLAN
Dudek and CV Strategies will work together to review Phase 1's findings and identify the strategy and approach for strategic community outreach to relevant stakeholders and the broader community for Phase 2. As a result, the project team will update the Strategy, Outreach and Engagement Plan, which is a living document, that was developed in Phase 1 and specifically address how to garner support for the LAFCO application and annexation, as well as maintain and continue to facilitate city, county, industry, and community engagement. During Phase 2, the project team will continue to conduct media monitoring and social media support to ensure outreach conducted during the Phase 2 work effort sucessful.

The exact strategies will be decided upon by further discussion with the City and project team; however, we propose the following topics to be covered in our Strategy, Outreach, and Engagement Plan:
• Interested Parties Analysis including residents, property owners, tenants, local service providers, Riverside LAFCO, Riverside County, and decision-makers.

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• Overview of outreach and engagement methods and techniques such as workshops and surveys to collect the information or input needed from the community and interested parties. The project team will engage with the City’s Public Information Office (PIO) to shape this portion of the plan. • Objectives for each outreach and engagement activity. • Approach to media monitoring and social media support, as well as public media and relations.

Task 5.1 Deliverables/Assumptions:
▪ Strategy, Outreach and Engagement Plan (word document) ▪ The Strategy, Outreach, and Engagement Plan will be a living document that will be updated periodically, if needed.

TASK 5.2 INTERESTED PARTIES MEETINGS AND OUTREACH
As further outlined in the Strategy, Outreach and Engagement Plan (Task 5.1), Dudek and CV Strategies will attend and facilitate meetings with three types of interested parties: 1) landowners/property owners/tenants within the Project Area, 2) service and utility providers, and 3) other public agencies/jurisdictions. Outreach to relevant tribal nations will be covered under Phase 3 during preparation of the CEQA documentation.

Landowners/Property Owners/Tenants
CV Strategies will facilitate up to 12 in-person or virtual meetings with identified parties with the intent to provide an overview of the proposed annexation intent, understand concerns, and garner support for the project.

Following each meeting, CV Strategies will develop summaries of feedback.

Service and Utility Providers
Dudek will facilitate up to eight (8) virtual meetings with service and utility providers (see list below) to discuss the proposed services and facilities to the level of service required to support the conceptual estimated future buildout/projected needs of the proposed concepts. In addition, construction of new facilities or upgrading of existing facilities will also be discussed, as well as potential timing and cost. These meetings will support Phase 3 and the development of a Service and Utilities Plan.

Service and utility provider meetings could include the following entities:

1. Indio Water Authority (Water Supply)

2. Coachella Valley Water District (Drainage)

3. Burrtec (Solid Waste and Recycling)

4. Southern California Gas Company (Natural Gas, and Telecommunications)

5. Imperial Irrigation District (Power)

6. Spectrum and Frontier (Telecommunications)

7. Coachella Valley Unified School District

8. Riverside County Library System
Other Public Agencies/Jurisdictions
Dudek will support and attend up to six (6) virtual meetings with other public agencies/jurisdictions, such as the County of Riverside staff, City of Coachella staff, and the Coachella Valley Association of Governments. The purpose of these meetings is to discuss at a high-level and strategically the intent of the project and annexation

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implications. If additional meetings are needed with the identified public agencies/jurisdictions, Dudek will submit a scope and fee augment.

Task 5.2 Deliverables/Assumptions:
▪ Agendas and in-person/virtual attendance for up to 12 one-hour (60 minutes) meetings with landowners/property owners/tenants.
- Following each meeting, CV Strategies will develop summaries of feedback. ▪ Agendas and virtual attendance for up to eight (8) one-hour (60 minutes) meetings with service/utility providers
▪ Agendas and virtual attendance for up to six (6) virtual one-hour (60 minutes) meetings with other public agencies/jurisdictions
TASK 5.3 TECHNICAL ADVISORY COMMITTEE
Dudek proposes to continue meeting with the Technical Advisory Group (TAC) in Phase 2 to supplement the other external outreach efforts described within this task. The TAC, comprised of the City’s internal departments and agencies (including the City Manager’s office, Community Development, Public Works, Community Services, Parks & Recreation, Finance, Economic Development, City of Indio Police Services, Indio Fire Department, etc.), will continue to convene one (1) time virtually during Phase 2 to discuss the Project Area and proposed infrastructure and long range planning efforts as it relates to the Project Area.

Each meeting will be one-hour (60 minutes) in duration. In Phase 2, the TAC will provide strategic feedback related to the proposed concepts associated with Task 3.1 Proposed Concepts as well as fiscal needs associated with Task 4 Fiscal Impact Analysis. Dudek staff will facilitate each meeting, attend virtually, and provide agendas and meeting summaries. Prior to each meeting, the Dudek Project Manager will work with City staff to outline the appropriate discussion topics.

Task 5.3 Deliverables/Assumptions:
▪ Agendas, presentations, and virtual attendance for up to one (1) one-hour (60 minutes) meetings with the TAC
TASK 5.4 COMMUNITY ENGAGEMENT
Dudek will support the City in hosting up to two (2) in-person or virtual public meetings to inform residents, property owners, business owners, and other interested parties of the overall annexation process. Public meetings are a key task in the annexation process to build trust with the community, demonstrate transparency in governance, garner feedback on the process, and help provide a smoother transition in the annexation process.

The project team will work with the City staff, including the City’s PIO, to develop appropriate workshop formats for the public meeting. The workshop could include an informational presentation, open house with informal discussions, or other formats to be discussed with the City. Dudek anticipates one outreach event to collect feedback on the proposed concepts (Task 3.1) and the preferred concept (Task 3.2). Dudek will support the development of presentations and public outreach materials in coordination with City staff to communicate the project’s need, timeline, ways to provide input, and other relevant information.

To increase public awareness of this effort, Dudek will also create and distribute a mailer to addresses within a 500 ft. buffer of the Project Area for each workshop. The mailer will provide information about the project, timeline, and contact information. Dudek will provide light refreshments and up to four (4) outreach boards per event, if in person.

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Task 5.4 Deliverables/Assumptions:
▪ Attendance, preparation, and facilitation for up to two (2) in-person or virtual public meetings ▪ Draft and Final mailers, outreach boards (up to four), and materials (electronic copies) ▪ Dudek assumes that comments recieved on outreach collateral will be relatively minor. ▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants. ▪ Dudek assumes that translation and interpretation services will be provided by City staff. Dudek can provide an additional scope and fee for translation and interpretation services, if desired. ▪ Dudek assumes any collateral pieces (such as fliers, FAQ sheets, comment cards, etc.) will be printed by City staff.
▪ If additional outreach is needed beyond what is described in this scope Dudek will submit a scope and fee augment.

TASK 5.5 SURVEYS, WEBSITE, AND PROJECT COLLATERAL
Dudek will continue to provide supportive engagement materials in the form of surveys, website content, social media support, and other project collateral such as FAQs and project Fact Sheets. In order to support interested parties’ outreach, Dudek will prepare a short (10 questions or less) electronic survey using SurveyMonkey that will solicit project feedback and collect relevant contact information. Surveys will be conducted as part of Task 5.4 and aligned with each of the two (2) community engagement and outreach events. Dudek will work with the project team and City staff to identify interested parties and build a project database that can be used throughout the project. Additionally, Dudek will provide clear and consistent project messaging and content for the City to host a newly created project website. The project website will be updated prior to each outreach event as described in Task 5.4 Community Engagement. The project website will include information on the Riverside LAFCO annexation process, affected Project Area, brief description of the project’s intent, opportunities for engagement, and contact information.

Task 5.5 Deliverables/Assumptions:
▪ Preparation of two (2) online surveys, tem (10) hours of website content, and six (6) collateral pieces
TASK 5.6 MEDIA RELATIONS AND SOCIAL MEDIA MONITORING
Working closely with CV Strategies, the project team will serve as the local liaison for the project, managing public and media relations alongside the City of Indio planning staff and the City’s Public Information Officer (PIO) to support clear, accurate, and timely communication. This includes drafting up to five (5) holding statements in response to media coverage, monitoring social media to track public sentiment, and addressing misinformation, as needed. The consultant team will also work to strengthen relationships with local reporters, positioning the City as a trusted source of project information. As such, the consultant team will prepare talking points tailored for City officials, spokespersons, and media use, as well as developing up to two (2) press releases. Work under this task will necessitate close coordination with the City’s PIO to ensure consistent and appropriate messaging.

Task 5.6 Deliverables/Assumptions
▪ Up to five (5) draft social media holding statements. ▪ Talking points tailored for City officials, spokespersons, and media use. ▪ Up to two (2) press releases as needed for key milestones, clarifications, or public announcements.

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▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants.

Task 6 Services and Utilities Plan
Understanding that Section C Plan of Services is central to the Riverside LAFCO annexation application, Dudek will identify the proposed services and infrastructure associated with the Preferred Concept (Task 3.2) and the associated future build out, including how and when they will be provided and funded.

We recognize that the proposed land uses will require a wide variety of infrastructure to be developed both site and City level to address how the proposed land uses will both import and export water, wastewater, and energy, for example. Considerations for local roads and general mobility will be provided, inclusive of active transportation. In addition, the wet utilities for water, wastewater, and drainage as well as dry utilities, including broadband and telecommunications will be addressed. Lastly, public services will be addressed to ensure that critical services to support the Project Area will be provided.

Work completed under Task 6 will be used to generate content for Section C Plan of Services as part of Task 8 LAFCO Application.

Wet and Dry Utilities
The project team will identify required proposed infrastructure, including phasing and capacities associated with build out, for the appropriate systems including stormwater, sanitary sewer, and water, gas, electric, and telecommunications. It is assumed that the detailed area studies, hydraulic or other types of system models, and inventories will not be required to arrive at recommendations for standard development guidelines, and that suggestion for large facility infrastructure improvements will be based on recommendations from the respective agencies.

Transportation
The project team will develop a description of each transportation improvement associated with the Preferred Concept. The description will include the type and location of the improvement, a planning level cost estimate, and how the improvement will be funded. Additionally, the project team will work with both Riverside County and the City of Indio to identify their respective roadway maintenance programs, how roadway maintenance is funded within each jurisdiction, and if either city maintains a roadway condition inventory system, as outlined in Section C of the Riverside LAFCO annexation application. In addition, the project team will develop illustrative maps to identify future transportation networks within and adjacent to the project site.

Services
The project team will identify required services, including police, fire, parks and recreation, library, solid waste collection, street maintenance, lighting, landscaping, street sweeping, and other pertinent service-related items associated with the Preferred Concept. As outlined in Section C of the Riverside LAFCO application, future services will need to be identified relative to location, timing, costs, and funding source.

Task 6 Deliverables/Assumptions
▪ Draft and Final Services and Utilities Plan (word document), including backbone infrastructure map illustrating points of connection, critical infrastructure locations and sizes, and phases, as well as transportation and services-related maps for Sections C and G of the LAFCO application ▪ Dudek assumes that comments recieved on the draft Services and Utilities Plan will be relatively minor, meaning no substantial changes to the broad concepts, land uses or other changes that would require additional analyses.

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▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants.

Task 7 Project Approvals
With one of the primary objectives of this project being to engage decision-makers early and often to showcase long- range, City-focused priorities and viability, Dudek recommends engaging the City’s Planning Commission and City Council over the entirety of Phase 2.

TASK 7.1 CITY COUNCIL AD-HOC COMMITTEE MEETINGS
Dudek will support the City in creating and facilitating a City Council Ad Hoc Committee composed of members of the City Council or their designees to provide input on the planning process prior to formal project approvals. The Ad Hoc Committee will meet up to three (3) times throughout the course of Phase 2. Dudek will attend these meetings virtually, while the City may host the Ad-Hoc Committee in person. These study sessions are envisioned as touchpoints for the Council to provide feedback and policy direction at key milestones. One of these sessions, held during Phase 2, will focus on reviewing the findings of the Services and Utilities Plan (Task 6). Feedback from this session will be used to inform the final Services and Utilities Plan and the Fiscal Impact Report.

Task 7.1 Deliverables/Assumptions:
▪ Attendance at three (3) virtual meetings
▪ Preparation of meeting agendas, presentations, and meeting summaries TASK 7.2 PLANNING COMMISSION AND CITY COUNCIL MEETINGS
Dudek anticipates supporting City Staff at multiple public meetings throughout this project’s lifetime. As part of Task 3.1 Proposed Concepts, Dudek will present the Proposed Concepts to the Planning Commission for informational review and input. Based on the feedback received, we will refine the Proposed Concepts into a Preferred Concept that will reflect community, technical, and agency considerations. Under Task 2.2 Preferred Concept, Dudek will finalize the conceptual land use plan and define the project boundaries. This work will establish the formal "Project" definition for use in subsequent CEQA documentation (Phase 3) and preparation of the LAFCO Application as part of Task 8 LAFCO Application.

Following development of the Preferred Concept, Dudek will present it to both the Planning Commission and City Council to confirm direction and build consensus in advance of entitlement actions.

Task 7.2 Deliverables/Assumptions:
▪ Attendance at up to two (2) total Planning Commission meetings and up to one (1) City Council hearings by up to two (2) Senior Dudek staff.
▪ For draft review, Dudek assumes one (1) set of consolidated comments received in a single document format by the client and all applicable project consultants.

Task 8 LAFCO Application Preparation
One of the final steps of this project will be working through, and ultimately submitting, a Riverside LAFCO annexation application which will take place during Phase 3 (not included within this scope), once the CEQA documentation has been prepared. Having already worked through two Sphere of Influence reorganization requests with the City, Dudek will apply our working knowledge, relationships, and expertise to shepherd this process for the City. As discussed in Task 5 Strategy, Outreach, and Engagement, the project team will coordinate

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with City and County staff, LAFCO staff, service providers, property owners and other interested parties prior to and as part of the application process. As part of the process (and as part of Task 1 Project Management), Dudek will use the regularly occurring meeting check-ins to organize and ensure all relevant actions associated with this task continue and are implemented in a timely manner to facilitate a smooth application submittal process.

TASK 8.1 LAFCO COORDINATION
Dudek understands that for a clear and effective annexation process, early and often interaction with Riverside LAFCO is necessary. Building off the interaction and relationship-building established in prior City reorganization efforts, during Phase 2, Dudek will facilitate up to two (2) one-hour (60 minutes), virtual working meetings with LAFCO staff aligned with key milestones in the project. At least one (1) of the meetings will be used to discuss the plan of services and fiscal impact, in addition to a focused meeting on the application itself. During one (1) of the meetings, a taxation agreement will be discussed, as needed, as this is required prior to the issuance of a certificate of filing by the LAFCO executive officer. Based on best practice, annexation attempts can oftentimes fail if the affected city and county cannot reach agreement on a property tax split. Having this discussion early may help set the stage for future agreement and is highly recommended. A property tax exchange agreement could be explored as part of this pre-application discussion. Dudek suggests that this meeting take place either before or concurrent with CEQA preparation.

The goal of these meetings is to inform LAFCO staff of the City’s intent to analyze and eventually request reorganization/annexation of the Project Area, and to ensure that the most appropriate engagement tactics are employed for the entirety of the process. For these meetings, Dudek will work with City staff to identify specific questions to discuss with LAFCO staff. Dudek will provide an internal agenda for each of the two (2) meetings.

Task 8.1 Deliverables/Assumptions:
▪ Agendas and attendance for up to two (2) virtual one-hour (60 minutes) meetings with LAFCO staff
▪ Should additional meetings with LAFCO staff be needed, Dudek will provide an additional scope and fee.
▪ Dudek assumes that the City will incur all fees associated with LAFCO meetings, should LAFCO decide to impose a staff time fee.

TASK 8.2 APPLICATION PREPARATION
Dudek will lead the effort to compile all required elements of the Riverside LAFCO Annexation Application (as of June 2025). The Riverside LAFCO application identifies ten (10) sections (A through J) that must be completed and submitted to Riverside LAFCO. The following outlines each required section, a brief description of the requirement and Dudek’s approach for compiling and/or developing all relevant elements. The intent of this task is to prepare all materials as outlined below in anticipation that the actual application filing will occur in Phase 3.

Section A Initiation— A Resolution of Application by the City of Indio requesting the Riverside Local Agency Formation Commission to take proceedings for the change of organization. • The required Resolution will be collected as part of Phase 3.

Section B Application Form—A brief LAFCO application form that identifies basic project information, including contact information, existing zoning and pre-zoning, existing and proposed land use, etc. • Dudek will prepare Section B Application Form. It is assumed that one (1) round of review will take place with the City.

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Section C Plan of Service – Each proposal for a change of organization must be accompanied by a Plan of Services. The Plan of Services identifies existing and planned services and improvements for the change of organization.
• Dudek will build off the previous tasks (Task 4 Fiscal Impact Analysis and Task 6 Services and Utilities Plan) and will further detail the plans of services, as needed. At a minimum, the Plan will include the type, range, timing, and financing of planned services and improvements, including requirements for infrastructure or other public facilities. Dudek will coordinate with City staff to obtain information and will compile a Plan of Services (and associated mapping) accordingly.

Section D Project Boundary Description – Riverside LAFCO requires a sound boundary description that is acceptable to the surveying profession.

• Dudek assumes that the City’s on-call surveyor will provide these services in response to Riverside LAFCO’s Section D and coordinate directly with the City and Riverside LAFCO. Dudek will provide a high- level review of the application materials prior to LAFCO submittal.

Section E CEQA Compliance –Riverside LAFCO requires an applicant to demonstrate compliance with the California Environmental Quality Act (CEQA).
• TO be prepared as part of Phase 3.

Section F Fiscal Impact Report – A Fiscal Impact Report must be prepared for annexation projects that exceeds 100 acres in size. Content for Section F will be obtained from work complete under Task 4 Fiscal Impact Analysis.

Section G Illustrative Maps – Section G provides guidelines for illustrations that must accompany the application. • The following maps will mostly be prepared as part of other deliverables within this scope as indicated below. Dudek’s GIS team will ensure compliance with Riverside LAFCO mapping criteria as part of this task. At a minimum, Dudek will prepare the following maps:
o Exhibit(s) Showing Existing and Proposed Services: Exhibit should show existing service facilities (i.e.: water lines, sewer lines, parks etc.) locations and any proposed facilities in the vicinity. Show size of water/sewer lines and capacity of treatment plants (As part of Task 5 Service and Utilities Plan)
o Exhibit Showing Existing Land Use (As part of Phase 3) o Exhibit Showing Existing Zoning (As part of Phase 3)
o USGS Topo Map (As part of Task 2.1 Hydrology Feasibility Study) o Exhibit Showing Agricultural Preserves: Exhibit should show location of any agricultural preserves within a 1-mile radius of the proposal. (Map will be prepared under this task) o Exhibit Showing Pre-zoning Designations. (As part of Phase 3)

Section H Fees – Section H lists fees required at the time of application as well as fees that might be required subsequent to Commission approval.
• Please see assumptions in the below “Deliverables/Assumptions” section.

Section I Sphere of Influence Amendment Supplemental Application – Required for all sphere of influence reviews and amendments.
• Since the proposed Project Area is located within the City’s existing Sphere of Influence, Section I is not needed. Should the Project Area change to include area outside of the City’s Sphere of Influence, Section

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I can be provided upon preparation of an additional scope and fee.

Section J Contribution Disclosure – Anyone who is involved with any annexation to be considered by the Commission and who has made a contribution of more than $250 in the past twelve months to any member of the Commission must disclose the Commission member to whom the contribution was made and the matter of consideration with which they are involved.
• If applicable, Dudek will collect this information from City staff.

Task 8.2 Deliverables/Assumptions:
▪ Draft and Final Application materials (per Riverside LAFCO requirements outlined above; electronic copies)
▪ Dudek assumes one (1) round of review of the draft deliverables and one (1) round of editting. ▪ The City will be responsible for all application, filing, and protest (if applicable) fees as described in the most current Riverside LAFCO application process. See Section H, Fees for the most recent fees as of June 2025.
▪ Dudek assumes that the City (and/or outside consultants) will be responsible for providing materials associated with Section A, Section D, Section H, and Section J as outlined above. The City will provide Dudek with the appropriate electronic or printed materials (excluding the fees associated with Section H) to include in the electronic submittal package

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Planning and Consulting Services for the East Indio Employment Corridor Project – Phase 2, City of Indio 19 Phase 2 - Budget Estimate Overview
Task Budget
Task 1 Project Management $43,000
Task 2.1 Targeted Feasibility and Desktop Constraints Analyses $37,500 Task 2.2 Targeted Desktop Constraints and Opportunities $66,000 Task 3 Development of Annexation Concept $48,000
Task 4 Fiscal Impact Analysis $59,000
Task 5 Strategy, Outreach, and Engagement $79,500
Task 6 Services and Utilities Plan $50,000
Task 7 Project Approvals $30,500
Task 8 LAFCO Application $8,500
TOTAL: $422,000

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Planning and Consulting Services for the East Indio Employment Corridor Project – Phase 2, City of Indio 20 Phase 2 - Budget Estimate Breakdown
Task Dudek CV Strategies Intersecting
Metrics
Pro Forma
Advisors
Other Direct Costs Budget
Task 1 Project Management $43,000 - - - - $43,000

Task 2.1 Targeted Feasibility and
Desktop Constraints Analyses
$37,500 - - - - $37,500
Task 2.2 Targeted Desktop
Constraints and Opportunities
$66,000 - - - - $66,000

Task 3 Development of
Annexation Concept
$48,000 - - - - $48,000

Task 4 Fiscal Impact Analysis $5,500 - - $53,000 $500 $59,000

Task 5 Strategy, Outreach, and
Engagement
$47,500 $30,000 - - $2,000 $79,500

Task 6 Services and Utilities Plan $40,500 - $9,500 - $50,000

Task 7 Project Approvals $30,500 - - - $30,500

Task 8 LAFCO Application $8,500 - - - $8,500

TOTAL

$422,000

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Planning and Consulting Services for the East Indio Employment Corridor Project – Phase 2, City of Indio 21 Phase 2 – Process Timeline

Note: Subject to change; included for informational purposes only

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City Council
August 20, 2025

STAFF REPORT

To: City Council
From: Bryan H. Montgomery, City Manager
Prepared by: Andrew Ansoorian, Dir. Of Human Resources & Risk Management Conflict: No
Subject: Cassidy Liebert of firm the law Agreement Services Professional with Whitmore for Special Legal Counsel Services in an amount not to exceed $285,000 each fiscal year.

RECOMMENDATION:

Staff recommends that the City Council approve the Special Counsel legal as-needed services agreement with the law firm of Liebert Cassidy Whitmore in an amount not to exceed $285,000 each fiscal year.

SUMMARY:

Liebert Cassidy Whitmore provides the City with special legal services pertaining to labor and employment matters, including representation in negotiations and in administrative and court proceedings, as requested by the City of Indio or required by law.

BACKGROUND INFORMATION:

Liebert Cassidy Whitmore provides the City with specialized legal services related to labor and employment matters, including representation in negotiations, as well as administrative and court proceedings, as requested by the City of Indio or as required by law. The firm is requesting an approximately 7.9% increase, effective July 1, 2025, to bring their rates in line with those of their other clients. The last rate increase occurred in 2024. The newly proposed rates are reflected in Attachment 1 to the Agreement for Special Services. Liebert Cassidy Whitmore has provided employment law services to the City of Indio for over 25 years. This relationship will enable continued seamless collaboration on current and future open legal matters. jjjj

FINANCIAL SUMMARY:

Current FY Financial
Impact:
$285,000 In current year budget: Yes
Current FY General
Fund Impact:
$285,000 Budget adjustment: No
Next FY Financial
Impact:
$285,000 Strategic Objective: Organizational
Excellence
AGENDA ITEM #9.14
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Services
Fund-Org-Object
Reference:
1011122-521056

Additional Financial Details:

Service cost will not exceed $285,000 per fiscal year. The cost of this agreement is incorporated into the adopted fiscal year 25/26 budget.

ATTACHMENTS:

RevisedLCWAgreement 07.21.25

APPROVAL(S):

Andrew Ansoorian, Dir. Of Human Resources & Risk
Management
Approved - 22 Jul 2025
Steven Graham Pacifico, City Attorney Approved - 29 Jul 2025 Ruby D. Walla, Director of Finance Approved - 05 Aug 2025 Bryan H. Montgomery, City Manager Approved - 08 Aug 2025

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AGREEMENT FOR SPECIAL SERVICES
This Agreement is entered into between the law firm of LIEBERT CASSIDY WHITMORE, A Professional Corporation (“Attorney”), and the CITY OF INDIO, A Municipal Corporation (“City”) as of July 1, 2025.

1. Term
This Agreement is effective July 1, 2025 (“Effective Date”) and is ongoing until terminated by the parties. This agreement shall be terminable by either party upon thirty (30) days written notice.

2. Attorney’s Services
Attorney agrees to provide City with representational and legal services pertaining to employment relations matters, including representation in negotiations and in administrative and court proceedings, as requested by City.

3. Fees, Costs, Expenses
City agrees to pay Attorney the sums billed monthly for time spent by Attorney in providing the services, including reasonable travel time, not to exceed Two Hundred Eighty Five Thousand Dollars ($285,000.00) each fiscal year during the term of this Agreement pursuant to the hourly rates set forth in the Public Agency Fee Schedule attached to this Agreement.

The current range of hourly rates for Attorney time is from Two Hundred and Ninety Five to Four Hundred and Seventy Five Dollars ($295.00 - $475.00), Three Hundred and Five Dollars ($305.00) for Labor Relations/Human Resources Consultant time, and from Two Hundred Dollars to One Hundred and Sixty Five Dollars ($165.00 - $200.00) for paralegal and other support staff. All time is billed in minimum units of one-tenth of an hour. Notwithstanding, no separate charge shall be made by Attorney for secretarial or word processing services.

City agrees to reimburse Attorney for necessary costs and expenses incurred by Attorney on behalf of City. Attorney bills photocopying charges at Fifteen Cents ($0.15) per page and facsimile charges at Fifty Cents ($0.50) per page as set forth in the Public Agency Fee Schedule attached to this Agreement.

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Payment by City against monthly billings is due upon receipt of statements, and is considered delinquent if payment is not received within thirty (30) days of the date of the invoice.

4. Insurance Coverage.

A. Attorney shall maintain at all times during the term of this Agreement policies of insurance with at least the minimum coverage specified below:

1. General Liability insurance with a combined single limit of not less than One Million Dollars ($1,000,000).

2. Workers’ compensation coverage in compliance with
California law.

3. Professional errors and omissions coverage with a minimum limit of liability of Two Million Dollars ($2,000,000) in the aggregate, providing coverage for damages or losses suffered as a result of wrongful errors or omissions or neglect by Attorney that arises out of the professional services rendered by Attorney under this Agreement. Such insurance may be subject to reasonable terms, limitations and conditions and a self-insured retention or deductible to be borne entirely by Attorney.

4. Any additional insurance required by the State of California.

B. Prerequisites. All insurance coverage required by this Agreement shall (1) provide a minimum thirty (30) days written notice of modification or cancellation; (2) be maintained in full force and effect throughout the term of this Agreement; and (3) the general liability policy shall name the City as an additional insured.

C. The insurance requirements in this Section 4 are not intended as a limitation on insurance coverage, nor a waiver of any coverage normally provided by any insurance policy issued to Attorney. Specific reference to a given coverage feature is for purposes of clarification only and is not intended by any party to be all inclusive, or to the exclusion of other coverage, or a waiver of any type.

5. Indemnification.

Attorney shall defend, indemnify and hold the City, its officials, officers, employees, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising out of any wrongful or negligent errors, omissions or inaction of Attorney, its officials, officers, employees, agents, Attorneys, and contractors arising out of

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performance of Attorney’s services as provided in this Agreement. This Section 5 shall survive the expiration or termination of this Agreement.

6. Conflicts of Interest.

Attorney agrees not to accept any employment during the term of this Agreement by any other person, firm or corporation which employment may create a conflict of interest with the interests of City.

7. Arbitration of Professional Liability or Other Claims.

Disputes. If a dispute between City and Attorney arises over fees charged for services, the controversy will be submitted to binding arbitration in accordance with the rules of the California State Bar Fee Arbitration Program, set forth in California Business and Professions Code, sections 6200 through 6206.

The arbitrator or arbitration panel shall have the authority to award to the prevailing party attorneys’ fees, costs and interest incurred. Any arbitration award may be served by mail upon either side and personal service shall not be required.

If a dispute arises between City and Attorney over any other aspect of the attorney-client relationship, including, without limitation, a claim for breach of professional duty, that dispute will also be resolved by arbitration. It is understood that any dispute as to any alleged breach of professional duty (that is, as to whether any legal services rendered under this agreement were allegedly unnecessary, unauthorized, omitted entirely, or were improperly, negligently or incompetently rendered) will be determined by submission to arbitration as provided by California law, and not by a lawsuit or resort to court process except as California law provides for judicial review of arbitration proceedings. Both parties to this agreement, by entering into it, are giving up their constitutional right to have any such dispute decided in a court of law before a jury, and instead are accepting the use of arbitration.

8. File Retention.

After our services conclude, Attorney will, upon City’s request, deliver the file for the matter to City, along with any funds or property of City’s in our possession. If City requests the file for the matter, Attorney will retain a copy of the file at the City’s expense. If City does not request the file for this matter, we will retain it for a period of seven (7) years after this matter is closed. If City does not request delivery of the file for this matter before the end of the seven (7) year period, we will have no further obligation to retain the file and may, at our discretion, destroy it without further notice to City. At any point during the seven (7) year period, City may request delivery of the file.

9. Assignment.

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This Agreement is not assignable by Attorney without the written consent of City.

10. Independent Contractor.

It is understood and agreed that Attorney, while engaged in performing the terms of this Agreement, is an independent contractor and not an employee of City.

11. Authority.

The signatories to this Agreement represent that they hold the positions set forth below their signatures, and that they are authorized to execute this Agreement on behalf of their respective parties and to bind their respective parties hereto.

12. Entire Agreement.

This Agreement represents the entire and integrated Agreement between City and Attorney and supersedes any and all prior negotiations, representations or agreement, either written or oral. This Agreement may be amended only by written instrument signed by both City and Attorney.

13. Time of Performance; Efficiency of Services; Cooperation.

The services of Attorney shall be performed expeditiously in light of the purposes of this Agreement. Attorney shall follow all procedures as established by the City consistent with its duties. Attorney shall work cooperatively with appropriate City staff and keep them informed on all matters of importance as they arise.

14. Non-Discrimination.

In the performance of this Agreement, Attorney shall comply with all applicable provisions of the California Fair Employment and Housing Act (California Government Code Sections 12900 et seq.) and the applicable equal employment provisions of the Civil Rights Act of 1964 (42 U.S.C. 2203 - 217), whichever is more restrictive.

15. Waiver.

No delay or omission to exercise any right, power or remedy accruing to City under this Agreement shall impair any right, power or remedy of City, nor shall it be construed as a waiver of, or consent to, any breach or default. No waiver of any breach, any failure of a condition, or any right or remedy under this

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Agreement: (1) shall be deemed effective unless it is in writing and signed by City; (2) shall be deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy; or (3) shall be deemed to constitute a continuing waiver unless the writing expressly so states.

16. Governing Law and Interpretation.

This Agreement shall be construed and enforced in accordance with the laws of the State of California, without regard to conflict of law principles. The section captions and headings in this Agreement have been inserted for convenience only, and shall not be considered or referred to in resolving questions of interpretation or construction.

17. Attorney Fees.

In any litigation, arbitration or other proceeding by which one party either seeks to enforce its rights under this Agreement (whether in contract, tort or both) or seeks a declaration of any rights or obligations under this Agreement, the prevailing party shall be awarded reasonable attorney fees, together with costs and expenses, to resolve the dispute and to enforce the final judgment.

18. Severability.

If any portion or all of this Agreement is held to be unenforceable for any reason, the remainder of that provision and the remainder of the Agreement shall remain in full force and effect.

19. Notices.

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

To Attorney:

Liebert Cassidy Whitmore
6033 West Century Boulevard
Los Angeles, California 90045
To City:
100 Civil Center Mall
Indio, CA 92201
Attn: City Manager
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be

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deemed adequate notice on the date actual notice occurred regardless of the method of service.

20. Previous Agreements.

This Agreement supersedes any previous agreements entered into by the parties as of the Effective Date.

CITY OF INDIO:
_____________________________
Bryan Montgomery
City Manager
ATTEST:
____________________________

CYNTHIA HERNANDEZ
City Clerk
APPROVED AS TO FORM:
____________________________

STEVEN GRAHAM
City Attorney

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LIEBERT CASSIDY WHITMORE,
A Professional Corporation
Name:

Title:

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I. PUBLIC AGENCY FEE SCHEDULE
Hourly Rates (As of Agreement Effective Date)
Partners $475.00
Senior Counsel $390.00
Associates $295.00 - $370.00
Labor Relations/Human Resources Consultant
Paralegals
Paraprofessionals & Litigation Support
$305.00
$165.00
$
$75.00 - $150.00
Classification & Compensation Consultant $230.00
E-Discovery Specialists
Law Clerks
$185.00
$185.00 - $200.00
II. COST SCHEDULE

1. Photocopies $0.15 per copy

2. Facsimile Transmittal $0.50 per page

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City Council
August 20, 2025

STAFF REPORT

To: City Council
From: Bryan H. Montgomery, City Manager
Prepared by: Timothy Wassil, Public Works Director
Subject: Purchase Order with Burrtec Waste for the Disposal of Street Sweeping Materials in the amount of $170,000 for Fiscal Year 2025/26.

RECOMMENDATION:

Staff recommends that the City Council approve a Purchase Order with Burrtec Waste for the Disposal of Street Sweeping Materials in the amount of $170,000 for Fiscal Year 2025/26.

SUMMARY:

The City provides street sweeping services, and the collected debris is temporarily stored at the corporate yard before being hauled away by Burrtec. Historically, the City has not incurred any costs for debris disposal, as the Franchise Agreement requires Burrtec to provide disposal services to City facilities at no charge. However, as of July 1, 2020, Burrtec requested that the City begin paying for the removal of street sweeper debris.

BACKGROUND INFORMATION:

The original Franchise Agreement with Burrtec included provisions for the disposal of street sweeper debris as part of the overall waste management services. However, in Fiscal Year 2019/20, Burrtec—the assume City that provider—requested the waste current City’s management responsibility for the associated disposal costs. This request was prompted by the substantial volume of debris collected by the street sweepers and the high cost of proper disposal.

FINANCIAL SUMMARY:

Current FY Financial
Impact:
$170,000 In current year budget: Yes
Current FY General
Fund Impact:
$0 Budget adjustment: N/A
Next FY Financial
Impact:
$0 Strategic Objective:

Source of funds: General Fund Fund-Org-Object
Reference:
1013141 523039,
1013141 523035

Additional Financial Details:

The Public Works – Street Maintenance Division will utilize a total of $170,000 to support the purchase order. Funding will be allocated as follows:

AGENDA ITEM #9.15
Purchase Order with Burrtec Waste for the Disposal of Street Sweeping Ma... Page 481 of 1094  $155,000 from the Refuse Disposal Fund (Account 1013141-523039)  $15,000 from the R&M Streets Fund (Account 1013141-523035) Sufficient appropriations are available in both accounts to fund this expenditure.

ATTACHMENTS:

Attachment 1 - Burrtec Street Sweeping Materials Disposal Quote FY 25-26

APPROVAL(S):

Juan Raya, City Engineer Approved - 08 Aug 2025
Timothy Wassil, Public Works Director Approved - 08 Aug 2025 Steven Graham Pacifico, City Attorney Approved - 12 Aug 2025 Ruby D. Walla, Director of Finance Approved - 13 Aug 2025 Bryan H. Montgomery, City Manager Approved - 13 Aug 2025

Purchase Order with Burrtec Waste for the Disposal of Street Sweeping Ma... Page 482 of 1094 ATTACHMENT 1
Burrtec Street Sweeping Materials Disposal
Quote FY 25-26

Purchase Order with Burrtec Waste for the Disposal of Street Sweeping Ma... Page 483 of 1094 Account Name:

Account Number:

Fax/Email:

Service Address:

Fiscal Year:

Disposing of:

Placement:

Container Size: 40 Yard Roll-off
Fiscal Year 2025-2026 not to exceed $ 170,000.00
Delivery Date: Onsite Removal date (if applicable): TBD Batteries Televisions
A/C Units Computer equipment or Monitors
Refrigerators Fluorescent Bulbs or their fixtures
Auto parts or motors Closed barrels or cans
Tires
Purchase Order
41575 Eclectic St.

Palm Desert, Ca 92260
(760) 340-2113
(760) 340-0417 - Fax
Email: [email protected]
City of Indio - Street Sweeping Debris
July 1, 2025 through June 30, 2026
Street Sweeping Materials
City of Indio - Public Works Yard
Reminders for Roll off Boxes
**Heavy debris such as roofing, asphalt, concrete, dirt & rock is not recommended to fill roll off no more than 1/4 full (does not apply to a 10yd or 20yd lowboy boxes) Please do not place the following items inside your roll off box Any item that plugs in or is battery operated
Hazardous waste (oils, paints, solvents, chemicals, antifreeze, gasoline, Freon, biohazard, asbestos, lead, etc.) Treated wood (railroad ties, telephone poles, treated wood with chemicals, etc.) ************************************************************************************** Print Name:

Signature:                                                                                         Date:

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City Council
August 20, 2025

STAFF REPORT

To: City Council
From: Bryan H. Montgomery, City Manager
Prepared by: Timothy Wassil, Public Works Director
Subject: Construction contract with Resource Environmental, Inc., in the amount of $184,000 No. Project City Project, the Building Armory for Demolition BD2415

RECOMMENDATION:

Staff recommends that the City Council approve the project plans and specifications for the Armory Building Demolition Project, award a construction contract to Resource Environmental, Inc. in the amount of $184,000.

SUMMARY:

The City of Indio is moving forward with the demolition of the former Armory building at 43143 Jackson Street to prepare the site for the upcoming I-10/Jackson Street Interchange and Whitewater Channel bridge projects. This work will clear and level the site, remove hazardous materials, and ensure a safe area for future construction. The project was advertised for bids on June 10, 2025, and nine proposals were received. After reviewing all submissions, staff recommends awarding the contract to Resource Environmental, Inc., the lowest responsible bidder, with a bid of $184,000. The City Engineer has reviewed and approved the bid documents, and demolition can begin as early as September 2025.

BACKGROUND INFORMATION:

The City of Indio is moving forward with the demolition of the former Armory building at 43143 Jackson Street to make room for construction staging and workspace needed for the upcoming I- 10/Jackson Street Interchange and Whitewater Channel bridge projects. Removing the building is a key step to ensure these major infrastructure improvements can be built safely and efficiently.

The project includes tearing down and removing the entire 11,500 square-foot building, along with its concrete slabs, foundations, walkways, and utility connections. It also involves safely removing hazardous materials, such as asbestos and lead-based paint, following environmental safety guidelines.

All work will follow approved plans and meet safety and environmental requirements. The contractor will take care of permits, coordinate inspections with the City, disconnect utilities, and safely handle HVAC equipment and refrigerants.

AGENDA ITEM #9.16
Construction contract with Resource Environmental, Inc., in the amount o... Page 485 of 1094 To keep the area safe and secure during demolition, existing perimeter fencing will remain in place, and temporary fencing will be added where needed. The contractor will also protect nearby sidewalks, landscaping, and utilities, and will be responsible for fixing any accidental damage.

Once the work is complete, the site will be cleared, leveled, and cleaned, leaving it ready for future use. Temporary fencing will be removed after the City gives final approval, and basic erosion control will be put in place to prevent sediment runoff.

The project was advertised for bid on June 10, 2025, and the City received nine (9) proposals by the deadline of July 10, 2025. A summary of the bids is provided below:

Proposer Name Total Bid
Resource Environmental, Inc. $184,000.00
Demo Unlimited, Inc. $195,928.74
Unlimited Environmental, Inc. $210,515.00
James McMinn, Inc. $238,850.00
LCR Earthwork & Engineering Corp. $245,000.00
ASR Demolition, Inc. $263,440.00
All American Building Services $327,000.00
Integrated Demolition and Remediation, Inc. $328,000.00 AMPCO Contracting $459,554.00

Public Works staff reviewed all submissions and determined that Resource Environmental, Inc. is the lowest responsible bidder. The contractor holds the appropriate license and qualifications to perform the work in accordance with the project requirements. Staff recommends awarding the contract to Resource Environmental, Inc.

The City Engineer has reviewed the bid documents and determined that they are reasonable and meet professional engineering standards. Therefore, the City Engineer recommends that the City Council also approve the project bid documents, which are on file in the Department of Public Works. The Engineer’s construction cost estimate for the project was $200,000. Construction is scheduled to begin in September 2025.

FINANCIAL SUMMARY:

Current FY Financial
Impact:
$184,000 In current year budget: Yes
Current FY General
Fund Impact:
$184,000 Budget adjustment: No
Next FY Financial
Impact:
$0 Strategic Objective: Public Infrastructure
Source of funds: CIP Fund-Org-Object
Reference:
300-523006

Additional Financial Details:

The FY 2025/26 Capital Improvement Program (CIP) budget includes $1,000,000 for City Project No. ST0701: I-10 at Jackson Street Interchange. Staff recommends that the City Council authorize a

Construction contract with Resource Environmental, Inc., in the amount o... Page 486 of 1094 project budget adjustment of $184,000 from the ST0701 budget to City Project No. BD2415 to fund this demolition work project that will benefit the future interchange improvements.

This demolition is a critical early step in advancing the I-10/Jackson Street Interchange Project, a regionally significant infrastructure effort being delivered in coordination with Caltrans. Under this partnership, Caltrans will reimburse the City for 75% of the demolition cost, totaling $138,000, leaving the City's net share at $46,000.

Staff also recommends that the Caltrans reimbursement be returned to the ST0701 budget to partially recover costs and maintain funding availability for future construction of the interchange project.

ATTACHMENTS:

Attachment 1 - Contract with Resource Environmental, Inc.

Attachment 2 - Site Map

APPROVAL(S):

Juan Raya, City Engineer Approved - 08 Aug 2025
Timothy Wassil, Public Works Director Approved - 08 Aug 2025 Steven Graham Pacifico, City Attorney Approved - 12 Aug 2025 Ruby D. Walla, Director of Finance Approved - 13 Aug 2025 Bryan H. Montgomery, City Manager Approved - 14 Aug 2025

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CONTRACT WITH RESOURCE ENVIRONMENTAL, INC.

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PWA Revised 1/2025

PUBLIC WORKS AGREEMENT

BY AND BETWEEN

THE CITY OF INDIO,

A CALIFORNIA MUNICIPAL CORPORATION

AND

RESOURCE ENVIRONMENTAL, INC.,

A CALIFORNIA CORPORATION

Form Approved January 2025

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PUBLIC WORKS AGREEMENT

FOR THE ARMORY DEMOLITION
PROJECT BD2415

BETWEEN THE CITY OF INDIO AND RESOURCE ENVIRONMENTAL, INC.

THIS P UBLIC WORKS CONSTRUCTION AGREEMENT (“Agreement”) is made and entered into this 20TH day of August, 2025 (“Effective Date”), by and between the CITY OF INDIO (“City”), a California municipal corporation organized as a general law city and Resource Environmental, Inc., a California Corporation, licensed to do business in California(“Contractor”). For the purposes of this Agreement City and Contractor are sometimes hereinafter referred to as “Party” and hereinafter collectively referred to as the “Parties.”

RECITALS

1. City has sought by formal bid process to contract for the performance of demolition services pertaining to the Armory Demolition Project BD 2415, defined and described particularly in Section 2 , “Scope of Services and Schedule of Performance” of this Agreement.

2. Contractor was selected by City to perform those services as the lowest responsive and responsible bidder.

3. The amount of this contract exceeds that allowed under Chapter 33.124 for informal construction contracts.

4. Pursuant to the Chapter 33.115 and following of the Indio Municipal Code, City has authority to enter into this Agreement pursuant to the approval of the City Council.

5. The Parties desire to formalize the selection of Contractor for performance of those services defined and described with particularity in Section 2 “Scope of Services and Schedule of Performance” of this Agreement and desire that the terms of that performance be as particularly defined and described herein.

OPERATIVE PROVISIONS
NOW, THEREFORE, for and in consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:

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SECTION 1. SCOPE OF WORK.

This is a public works contract pursuant to the provisions of the California Public Contract Code and other California statutes. Definitions for the terms used are defined in the General Specifications for the Project; all days set out shall be calendar days unless otherwise provided.

A. Contractor shall perform within the time set forth in this Agreement and shall furnish all labor, materials, equipment, tools, utility services, and transportation and perform and complete all work required in connection with the demolition of the Armory Demolition Project BD2415 (“Project”).

B. By entering into this Agreement, Contractor acknowledges there may be other contractors on the site whose work will be coordinated with that of its own.

Contractor expressly warrants and agrees it will cooperate with other contractors and will do nothing t o delay, hinder, or interfere with the work of other separate contractors, the Agency, the Construction Manager, or utilities.

Contractor also expressly agrees that, in the event its work is hindered, delayed, interfered with, or otherwise affected by a separate contractor, its sole remedy will be direct action against the separate contractor. To the extent allowed by law, the C ontractor will have no remedy, and hereby expressly waives any remedy against the Agency, or the Construction Manager on account of delay, hindrance, interference, or other events caused by a separate contractor.

SECTION 2. SCHEDULE OF PERFORMANCE.

A. COMMENCEMENT AND PROSECUTION OF WORK. CONTRACTOR shall begin work within TEN (10) working days of the date of the Notice to Proceed and shall diligently prosecute the same to completion before the expiration of forty-five (45) WORKING DAYS , after the date of Notice to Proceed. The phrase "commence the work" means to engage in a continuous program on -site including, but not limited to, site clearance, grading, dredging, land filling and the fabrication, erection, or installation of the work . Said Notice to Proceed shall be issued following execution of the Agreement and the filing by Contractor of the required bonds and proof of insurance. The continuous prosecution of work by Contractor shall be subject only to Excusable Delays as defined in this Agreement.

B. TIME OF COMPLETION. CONTRACTOR shall refer to the invitations for bids, and Project Plans and Specifications, all of which, as set forth below, are incorporated herein by reference, for contractual obligations regarding individual activity durations. The aggregate sum total w ork of all individual Prime Contractors to CITY comprises the entire "Project" and shall be

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commenced and completed in conformance with the Project Construction Schedule. The entire Project shall be completed within 45 consecutive working days ("Contract Time").

C. Extensions of Time . In the event City deems it necessary, in its sole discretion, to extend the time of completion of work to be done under this Contract beyond the required Completion Date herein specified, such extensions shall in no way release any guarantee given by Contractor pursuant to the provisions of the Contract Documents, nor shall such extension of time relieve or release the sureties on the bonds executed pursuant to said provisions. By executing such bonds, the sureties shall be deemed to ha ve expressly agreed to any such extension of time. The amount of time allowed in any extension of time shall be limited to the period of excusable delay as defined herein, giving rise to the same as determined by City Engineer.

D. Excusable Delays. For the purpose of these Contract Documents, the term "Excusable Delays" shall mean, and is limited to, delays caused directly by acts of God, acts of the public enemy, fires, riots, insurrections, epidemics, quarantine restrictions, strikes, lockouts, si t-downs, acts of a governmental agency, priorities or privileges established for the manufacture, assembly, or allotment of materials necessary in the work by order, decree, or otherwise of the United States or by any department, bureau, commission, commit tee, agent, or administrator of any legally constituted public authority; changes in the work ordered by City insofar as they necessarily require additional time in which to complete the work; the prevention by City of Contractor from commencing or prosecuting the work because of the acts of others, excepting Contractor's subcontractors; or the prevention of Contractor from commencing or prosecuting the work because of a City-wide failure of public utility service.

The term "Excusable Delay" shall specifically not include: (1) any delay which could have been avoided by the exercise of case, prudence, foresight, and diligence on the part of Contractor; (2) any delay in the prosecution of parts of the work, which may i n itself be unavoidable but which does not necessarily prevent or delay the prosecution of other parts of the work, nor the completion of the whole work within the time specified; (3) any reasonable delay resulting from time required by City for review of plans and submittals required of Contractor and for the making of surveys, measurements and inspections; and (4) any delay arising from an interruption in the prosecution of the work on account of the reasonable interference from other Contractors employed by City, which does not necessarily prevent the completion of the work within the time specified. Excusable Delays, if any, shall operate only to extend the Completion Date (not in excess of the period of such delay as

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determined by the City) but shall not under any circumstances increase the sum City is to pay Contractor as provided in these Contract Documents.

E. Contractor to Serve Notice of Delays . Whenever Contractor foresees any delay in the prosecution of the work, and in any event immediately upon the occurrence of any delay which Contractor regards as an excusable delay, he shall notify the City Engineer in writing of the probability of such delay and its cause, in order that the City Engineer may take immediate steps to prevent if possible the occurrence or continuance of the delay, or if this cannot be done, may determine whether the delay is to be consider ed excusable, how long it continues, and to what extent the prosecution and completion of the work are delayed thereby. Said notice shall constitute an application for an extension of time only if the notice requests such an extension and sets forth Contractor's estimate of the additional time required together with a full description of the cause of the delay relied upon.

After the completion of any part or whole of the work, the City Engineer, in estimating the amount due Contractor, will assume that any and all delays which may have occurred in its prosecution and completion have been avoidable delays, except such delays as shall have been called to the attention of the City Engineer at the time of their occurrence and found by him to have been excusable. Contractor shall make no claim that any delay not called to the attention of the City Engineer at the time of its occu rrence has been an excusable delay.

F. Extension Of Time - Excusable Delay.

Should any delays occur which the City Engineer may consider excusable, as herein defined, Contractor shall, pursuant to his application, be allowed an extension of time beyond the time herein set forth proportional to said delay or delays in which to comp lete this Contract; and, during an extension which may have been granted because of an excusable delay or delays, City shall not charge liquidated damages against Contractor for such delay.

1. Extension Of Time Does Not Waive City's Rights . The granting of any extension of time on account of delays which in the judgment of the City Engineer are excusable delays shall in no way operate as a waiver on the part of City of its rights under this Contract excepting only the extension of the Completion Date.

2. No Payment For Delays . No damages or compensation of any kind shall be paid to Contractor or any subcontractor because of delays in the

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progress of the work whether such delays qualify for extension of time under this Agreement or not.

G. City's Right to Take Possession of the Work In Whole or in Part.

The City shall have the right at any time to enter upon the work and perform work not covered by this Contract, or to occupy and use a portion of the work, prior to the date of the final acceptance of the work as a whole, without in any way relieving Contractor of any obligations under this Contract.

Such use or occupation of the work shall not be construed as an acceptance of any portion of the work under this Contract, nor shall it affect the dates and times when payments shall become due nor prejudice City's right, guarantees, or sureties.

SECTION 3. CONTRACT DOCUMENTS AND ADDITIONAL SERVICES.

Each of the items hereinafter referred to are incorporated herein by this reference as if set forth in full herein.

Work called for in any one Contract Document and not mentioned in another is to be performed and executed as if mentioned in all Contract Documents. The table of contents, titles, and headings contained herein and in said documents are solely to facilitate reference to various provisions of the Contract Documents and in no way affect or limit the interpretations of the provisions to which they refer.

The Contract Documents, sometimes also referred to as "the Contract," consist of the following documents as those may be modified or supplemented:

-Notice Inviting Bids -Bid Bond
-Scope of Work Summary -Information Required of Bidder -Information for Bidders -Contract
-Bid Form -Certificate Regarding Workers’
Compensation
-Non-Collusion Affidavit -Drug-free Workplace Certification -Site Visit Certification -Plans and Specifications
-Faithful Performance Bond -Addenda
-Labor and Materials Payment Bond -Drawings
-Change Orders -Contractor’s Certificate Regarding
-General Conditions/Standard Specifications -Special Conditions

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-Supplementary General Conditions -Proposed/Selected Subcontractors -Project Construction Schedule -Non-Asbestos Containing Materials

which include, the current general prevailing wage rate, the labor surcharge and equipment rental rates and the notice to contractors, the Insurance Requirements, and any other such data and all versions thereof prepared by City pursuant to Contract, and any modificati ons of any of the foregoing in the form of Addenda or executed Change Order or otherwise effected in accordance with the terms of the Contract.

SECTION 4. INCORPORATION AND CONFLICTING TERMS. The following documents are incorporated and made part of this Agreement by this reference:

1. Insurance requirements (“Addendum 1”)

2. All bid documents

3. All Exhibits and Addendums

4. All amendments

5. Contractor’s proposal, if any

6. Any laws, regulations, requirements, or restrictions, applicable to the funding source used by City to pay Contractor for any portion of work done under Agreement (“Funding Restrictions”) (a) The documents listed above shall be referred to collectively as the “Agreement Documents.” The Agreement Documents
are intended to be complementary, and a requirement in
one Document is effective as if it appeared in all the
Documents. In the event of a co nflict between any of the Agreement Documents, the Documents shall be given effect in the following order: Funding Restrictions, Amendments (most recent first), this Agreement, Insurance
requirements, Exhibits and Addendums, and Contractor’s
proposal. Wher e the requirements of one Document are
more stringent then another the more stringent shall
govern.

SECTION 5. COMPENSATION AND METHOD OF PAYMENT.

A. City agrees to pay, and Contractor agrees to accept, in full payment for the above work, the sum of one hundred eighty-four thousand DOLLARS AND zero CENTS ($184,000.00), which sum is to be paid according to the schedule and in the manner set forth herein and subject to additions, deductions, and withholding as provided in the Contract Documents. When it

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is provided in the Notice to Bidders, Instructions to Bidders, or Proposal Form that Contractor is to be paid on the basis of the unit prices shown in his bid, instead of a lump sum price, the Contractor agrees to accept, in full payment for the above work, the sum computed in accordance with the actual amount of each item of work performed or material furnished, at the unit price which Contractor bid for each such item in his Proposal Form, said unit price to be determined as provided in the Standard Specifications and Special Provisions.

1. Except as to any charges for work performed or expenses incurred by Contractor which are disputed by City, City will use its best efforts to cause Contractor to be paid the time frames set out below.

2. Payment to Contractor for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Contractor.

3. If this Agreement is extended pursuant to Section 1 “Term of Agreement,” the City shall pay the same rates specified in Exhibit “B” “Compensation.”

B. Progress and Final Payments.

Based upon Applications for Payment submitted to the Public Works Director/City Engineer by CONTRACTOR and Certificates for Payment issued by the Public Works Director/City Engineer, CITY shall make progress payments on account of the Contract Sum to CONTR ACTOR upon submission of satisfactory invoices to CITY. This AGREEMENT is subject to the provisions of Article 1.7 (commencing at Section 20104.50) of Division 2, Part 3 of the Public Contract Code regarding prompt payment of contractors by local governments. Article 1.7 mandates certain procedures for the payment of undisputed and properly submitted payment requests within 30 days after receipt, for the review of payment requests, for notice to CONTRACTOR of improper payment requests, and provides for the payment of interest on progress payment requests which are not timely made in accordance with that Article.

C. Retention of Sums Charged Against Contractor . City will withhold 5% of amount owed Contractor from Progress Payments.

D. Substitution of Securities. Public Contract Code Section 22300 permits the substitution of securities for any monies withheld by CITY to ensure performance under a contract, at the request and expense of CONTRACTOR.

Substitution of securities shall not be required in contracts in whi ch there will be financing provided by the Farmers Home Administration of the United States Department of Agriculture pursuant to the Consolidated Farm and Rural

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Development Act (7 U.S.C. Sec. 1921 et seq.), and where federal regulations or policies, or both, do not allow the substitution of securities.

Alternatively, CONTRACTOR may request that CITY make payment of retention earned directly to an escrow agent at the expense of CONTRACTOR. At the expense of CONTRACTOR, CONTRACTOR may direct the investment of the payments into securities and CONTRACTOR shall receive the interest earned on the investments upon the same terms provided for in this section for securities deposited by CONTRACTOR. Upon satisfactory completion of the contract, CONTRACTOR shall receive from the escrow agent all securities, interest , and payments received by the escrow agent from CITY, pursuant to the terms of this section.

Securities eligible for investment under this section shall include those listed in Section 16430 of the Government Code, bank or savings and loan certificates of deposit, interest-bearing demand deposit accounts, standby letters of credit, or any other security mutually agreed to by CONTRACTOR and CITY.

In accordance with Public Contract Code Section 22300(d)(1), if CONTRACTOR elects to receive interest on money withheld in retention by CITY, CONTRACTOR shall, at the request of any subcontractor performing more than five percent (5%) of CONTRACTOR's total bid, make that option available to the subcontractor regarding any moneys withheld in retention by CONTRACTOR from the subcontractor.

E. Payments Do Not Imply Acceptance Of Work. The payment of any progress payment, or the acceptance thereof by Contractor, shall not constitute acceptance of the work or any portion thereof and shall in no way reduce the liability of Contractor to replace unsatisfactory work or material, though the unsatisfactory character of such work or material may not have been apparent or detected at the time such payment was made.

F. Payment of Undisputed Contract Amounts. Payment of undisputed contract progress payments or amounts is contingent upon Contractor furnishing the City with a release of all claims against the City arising by virtue of the contract related to those amounts. The City shall pay interest at the legal rate to the Contractor for any progress payment request not paid within thirty (30) days of submission when the validity of the request is not disputed and when the request has been properly submitted. Any payment request determined by City not to be a proper request shall be returned to Contractor as soon as practicable, but not later than seven (7) days after receipt. A request returned pursuant to this paragraph shall be accompanied by a writing setting forth the reasons why the payment request is not proper.

G. Acceptance Not Release. Contractor shall correct immediately any defective or imperfect work which may be discovered before final acceptance of the entire

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work. Any unsatisfactory materials shall be rejected, notwithstanding that they may have been overlooked by the proper inspector. The inspection of the work, or any part thereof, shall not relieve Contractor of any of his obligations to perform satisfactory work as herein prescribed.

Failure or neglect on the part of the City or any of its authorized agents to condemn or reject bad or inferior work or materials shall not be construed to imply an acceptance of such work or materials if such becomes evident at any time prior to final acceptance of the entire work or all materials, nor shall such failure be construed as barring City at any subsequent time from recovering damages or of such a sum of money as may be required to build anew all portions of the work in which fraud was practiced or improper materials used whenever City may discover the same.

Contractor shall not be compensated for any work rendered in connection with its performance of this Agreement that are in addition to or outside of the Scope of Work unless such additional services are authorized in advance and in writing in accordance wi th the provisions of this Agreement. If and when such additional work is authorized, such additional work shall be deemed to be part of the Scope of Work.

SECTION 6. INSPECTION AND FINAL ACCEPTANCE.

City may inspect and accept or reject any of Contractor’s work under this Agreement, either during performance or when completed. City shall reject or finally accept Contractor’s work within sixty (60) days after submitted to City. City shall reject work by a timely written explanation, otherwise Contractor’s work shall be deemed to have been accepted. City’s acceptance shall be conclusive as to such work except with respect to latent defects, fraud and such gross mistakes as amount to fraud. Acceptance of any of Contractor’s work by City shall not constitute a waiver of any of the provisions of this Agreement including, but not limited to, Section 16 “Indemnification” and Section 17 “Insurance.”
SECTION 7. OWNERSHIP OF DOCUMENTS.

All original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files and other documents prepared, developed or discovered by Contractor in the course of providing the Services pursuant to this Agreement shall become the sole property of City and may be used, reused or otherwise disposed of by City without the permission of the Contractor. Upon completion, expiration or termination of this Agreement, Contractor shall turn over to City all such original ma ps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files and other documents.

If and to the extent that City utilizes for any purpose not related to this Agreement any maps, models, designs, drawings, photographs, studies, surveys,

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reports, data, notes, computer files, files or other documents prepared, developed or discovered by Contractor in the course of providing the Services pursuant to this Agreement, Contractor’s guarantees and warranties in Section 9 “Standard of Performance” of this Agreement shall not extend to such use of the maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files or other documents.

1. INTELLECTUAL PROPERTY RIGHTS ASSIGNMENT. For no additional compensation, Contractor hereby assigns to City all of Contractor’s rights, title, and interest in and to the content of all deliverable materials created by Contractor or its employees, agents, or subcontractors, including copyrights, in connection with the Services performed under this Agreement. Contractor shall promptly execute and deliver, and shall cause its employees, agents, and subcontractors to promptly execute and deliver, upon request by the City or any of its successors or assigns at any time and without further compensation of any kind, any power of attorne y, assignment, application for copyright, patent, trademark or other intellectual property right protection, or other papers or instruments which may be necessary or desirable to fully secure, perfect or otherwise protect to or for the City, its successors and assigns, all right, title and interest in and to the content of the deliverable materials. For purposes of this section deliverable materials includes all works, tangible or not, created under this Agreement including, without limitation, documents, material, data, reports, manuals, specifications, artwork, drawings, sketches, computer programs and databases, schematics, photographs, video and audiovisual recordings, sound recordings, marks, logos, graphic designs, notes, website, domain names, inventi ons, processes, formulas matters and combinations thereof, and all forms of intellectual property. The provisions of this paragraph are binding on the successors, assigns and heirs of Contractor and shall survive the termination of Contractor’s Services under this Agreement.

SECTION 8. CONTRACTOR’S BOOKS AND RECORDS.

A. Contractor shall maintain any and all documents and records demonstrating or relating to Contractor’s performance of the Services. Contractor shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, or other documents or records evidencing or relating to work, services, expenditures and disbursements charged to City pursuant to this Agreement. Any and all such documents or records shall be maintained in accordance with generally accepted accounting principles and shall be sufficiently complete and detailed so as to permit an accurate evaluation of the services provided by Contractor pursuant to this Agreement. Any and all such documents or records shall be maintained for three (3) years from the

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date of execution of this Agreement and to the extent required by laws relating to audits of public agencies and their expenditures.

B. Any and all records or documents required to be maintained pursuant to this section shall be made available for inspection, audit and copying, at any time during regular business hours, upon request by City or its designated representative. Copies of such documents or records shall be provided directly to the City for inspection, audit and copying when it is practical to do so; otherwise, unless an alternative is mutually agreed upon, such documents and records shall be made available at Contractor’s address indicated for receipt of notices, “Section 24,” of this Agreement.

C. Where City has reason to believe that any of the documents or records required to be maintained pursuant to this section may be lost or discarded due to dissolution or termination of Contractor’s business, City may, by written request, require that custody of such documents or records be given to the City. Access to such documents and records shall be granted to City, as well as to its successors in interest and authorized representatives.

SECTION 9. INDEPENDENT CONTRACTOR.

A. Contractor is and shall at all times remain a wholly independent contractor and not an officer, employee or agent of City. Contractor shall have no authority to bind City in any manner, nor to incur any obligation, debt or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City.

B. The personnel performing the Services under this Agreement on behalf of Contractor shall at all times be under Contractor’s exclusive direction and control. Neither City, nor any elected or appointed boards, officers, officials, employees or agents of City, shall have control over the conduct of Contractor or any of Contractor’s officers, employees, subcontractors or agents except as set forth in this Agreement. Contractor shall not at any time or in any manner represent that Contractor or any of Contractor’s officers, employees, or agents are in any manner officials, officers, employees or agents of City.

C. Neither Contractor, nor any of Contractor’s officers, employees or agents, shall obtain any rights to retirement, health care or any other benefits which may

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otherwise accrue to City’s employees. Contractor expressly waives any claim Contractor may have to any such rights.

SECTION 10. STANDARD OF PERFORMANCE AND LICENSURE.

A. GUARANTY:

1. General Warranty: Contractor warrants all Services under this Agreement (which for purposes of this Section shall be deemed to include unauthorized Extra Work which has not been removed and any non-conforming materials incorporated into the Services) to be of good quality and free from any defective or faulty material and workmanship.

All warranties and guarantees of subcontractors, suppliers and manufacturers with respect to any portion of the Services, whether express or implied, are deemed to be obtained by Contractor f or the benefit of City, regardless of whether or not such warranties and guarantees have been transferred or assigned to City by separate agreement and Contractor agrees to enforce such warranties and guarantees, if necessary, on behalf of City.

2. Repair of Defects: Contractor agrees that for a period of one (1) year from and after final acceptance of the Services, or in any guarantee or warranty provided by any manufacturer or supplier of equipment or materials incorporated into the Services, whichever is later, Contractor shall within ten (10) days after being notified in writing by City of any defect in the Services or non -conformance of the Services, commence and prosecute with due diligence all work and services necessary to fulfill the terms of the warranty at its sole cost and expense. In addition, Contractor shall, at its sole cost and expense, repair and replace any portions of the work, facilities, fixtures, or materials damaged by its defective Services or which becomes damaged in the course of repairing or replacing defective Services. For any Services so corrected, Contractor's obligation hereunder to correct defective Services shall be reinstated for an additional one year period, commencing with the date of acceptance of such corrected Services. Contractor shall perform such tests as City may require to verify that any corrective actions are adequate to remedy the defective condition. In the event that Contractor fails to perform its obligations under this Section to the reasonable satisfaction of City, then City shall have the right to correct and replace any defective, non -conforming, or damaged Services at Contractor's sole expense. Contractor shall be obligated to fully reimburse City for any expenses incurred hereunder upon demand.

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B. CONTRACTOR’S LICENSURE AND REGISTRATION REQUIREMENTS:

1. In accordance with Section 3300 of the Public Contract Code, CONTRACTOR has a Class " C-21" license which shall be maintained in good standing for the duration of CONTRACTOR 's work on the Project.

Public works projects, as defined by Labor Code, shall be subject to compliance monitoring, reporting, and enforcement by the Department of Industrial Relations.

2. CONTRACTOR shall not enter into any contract without proof of the CONTRACTOR's current registration to perform public work under Labor Code section 1725.5. A contractor or subcontractor shall not be qualified to enter into, or engage in the performance of, any contract of public work (as defined by Division 2, Part 7, Chapter 1(§§1720 et seq.) of the Labor Code) unless currently registered and qualified under Labor Code section 1725.5 to perform public work unless the Small Project Exemption is applicable.

3. Pursuant to Section 1771.1(a) of the Labor Code:
"A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code or engage in the performance of any contract for public work, as defined in this chapter, unless currently registered and qualified to perform public work pursuant to Section 1725.5. It is not a violation of this section for an unregistered contractor to s ubmit a bid that is authorized by Section 7029.1 of the Business and Professions Code or b y Section 10164 or 20103.5 of the Public Contract Code, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded."
CONTRACTOR must be registered with the Department of Industrial Relations (DIR) of the State of California in order to be eligible to work on public works projects. CONTRACTOR must ensure registration with the DIR that is active and in good standing.

Except as otherwise provided in Labor Code Section 1771.1(a), no contractor or subcontractor may be listed on a bid proposal for a public works project unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5. Nor may any contractor or subcontractor be awarded a contract for public work on a public works project unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5.

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This Project is subject to compliance monitoring and enforcement by the Department of Industrial Relations unless an applicable exemption relieves them of that duty.

Contractor represents and warrants that it has the qualifications, experience and facilities necessary to properly perform the Services required under this Agreement in a thorough, competent and professional manner. Contractor shall at all times faithfully, competently and to the best of its ability, experience and talent, perform all Services.

In meeting its obligations under this Agreement, Contractor shall employ, at a minimum, generally accepted standards and practices utilized by persons engaged in providing services similar to the Services required of Contractor under this Agreement, and shall use such skill, prudence, and diligence as other members of Contractor’s profession commonly possess and exercise. In addition to the general standards of performance set forth this section, additional specific standards of performance and performance criteria may be set forth in Exhibit “A” “Scope of Services” that shall also be applicable to Contractor’s work under this Agreement. Where there is a conflict between a general and a specific standard of performance or performance criteria, the specific standard or criteria shall prevail over the general.

SECTION 11. COMPLIANCE WITH APPLICABLE LAWS; PERMITS AND LICENSES.

Contractor shall keep itself informed of and comply with all applicable federal, state and local laws, statutes, codes, ordinances, regulations and rules in effect during the term of this Agreement. Contractor shall at all times observe and comply with all such laws, ordinances and regulations, and shall be solely responsible for any failure to comply with all applicable laws, ordinances and regulations. Contractor represents and warrants that Contractor has obtained or shall promptly obtain all necessary licenses to perform the Services set forth in this Agreement and that such licenses are in good standing. Contractor further represents and warrants that the services provided herein shall conform to all ordinances, policies and practices of the City. Neither City, nor any elected or appointed boards, officers, officials, employees or agents of City, shall be liable, at law or in equity, as a result of any failure of Contractor to comply with this section.

SECTION 12. PREVAILING WAGE LAWS.

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All workers hired by Contractor, and all workers of subcontractors performing work for Contractor, must receive not less than the prevailing rate of per diem wages for work of a similar character in the locality in which City is located and be subject to the California prevailing wage laws, Labor Code Sec. 1720 et seq. The general rate of per diem wages for each craft, classification or type of worker are on file at the City’s offices. Statutory provisions for penalties for failure to pay prevailing wages and/or the State wage and hour laws will be enforced. Contractor shall comply with State requirements regarding the employment of apprentices. Eight hours’ labor constitutes a legal day’s work. Contractor must secure payment of Workers Compensation Insurance as required by Labor Code Sections 1860 and 3700.

A. Wage rates for this Project shall be in accordance with the General Wage Determination Made by the Director of Industrial Relations Pursuant To California Labor Code, Part 7, Chapter 1, Article 2, Sections 1770, 1773 and 1773.1, for Riverside County. Wage rates shall conform with those posted at 100 Civic Center Drive, Indio, CA 92201, and the Project site.

B. The following Labor Code sections are hereby referenced and made a part of this AGREEMENT:

1. Section 1775 - Penalty for Failure to Comply with Prevailing Wage Rates.

2. Section 1777.4 - Apprenticeship Requirements.

3. Section 1777.5 - Apprenticeship Requirements.

4. Section 1813 - Penalty for Failure to Pay Overtime.

5. Sections 1810 and 1811 - Working Hour Restrictions.

6. Section 1775 - Payroll Records.

7. Section 1773.8 - Travel and Subsistence Pay.

C. RECORD AUDIT Contractor shall comply with State requirements relating to the retention, maintenance and inspection of certified payroll records. In accordance with Government Code, Section 8546. 7, records of both CITY and CONTRACTOR shall be subject to examination and audit by the Auditor General for a period of three (3) years after final payment.

SECTION 13. NONDISCRIMINATION.

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

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SECTION 14. UNAUTHORIZED ALIENS.

Contractor hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act, 8 U.S.C.A. §§ 1101, et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Contractor so employ such unauthorized aliens for the performance of the Services and should the any liability or sanctions be imposed against City for such use of unauthorized aliens, Contractor hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys' fees, incurred by City.

SECTION 15. CONFLICTS OF INTEREST.

A. Contractor covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor’s performance of the Services. Contractor further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the City Manager. Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.

B. City understands and acknowledges that Contractor is, as of the date of execution of this Agreement, independently involved in the performance of non-related services for other governmental agencies and private parties.

Contractor is unaware of any stated position of City relative to such projects.

Any future position of City on such projects shall not be considered a conflict of interest for purposes of this section.

C. City understands and acknowledges that Contractor will, perform non-related services for other governmental agencies and private parties following the completion of the Services under this Agreement. Any such future service shall not be considered a conflict of interest for purposes of this section.

D. Upon request of the City, Contractor shall complete a Levine Act Statement.

SECTION 16. CONFIDENTIAL INFORMATION; RELEASE OF INFORMATION.

A. All information gained or work product produced by Contractor in performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Contractor.

Contractor shall not release or disclose any such information or work product

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to persons or entities other than City without prior written authorization from the City Manager, except as may be required by law.

B. Contractor, its officers, employees, agents or subcontractors, shall not, without prior written authorization from the City Manager or unless requested by the City Attorney of City, voluntarily provide declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered "voluntary" provided Contractor gives City notice of such court order or subpoena.

C. If Contractor, or any officer, employee, agent or subcontractor of Contractor, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Contractor for any damages, costs and fees, including attorney’s fees, caused by or incurred as a result of Contractor’s conduct.

D. Contractor shall promptly notify City should Contractor, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed there under. City retains the right, but has no obligation, to represent Contractor or be present at any deposition, hearing or similar proceeding. Contractor agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Contractor. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response.

SECTION 17. INDEMNIFICATION.

A. Indemnity, Defense And Hold Harmless . Contractor shall indemnify, defend with legal counsel approved by Agency, and hold harmless Agency, its officers, officials, employees, and volunteers (“Indemnified Parties”) from and against all claims for and actual liabilities, losses, damages, expenses, costs (including without limitation reasonable attorney’s fees, expert fees, and all other costs and fees of litigation) of every nature relating to, arising out of or in connection with Contractor’s, its officers, agents, employees, or subcontractors (or any agency or individual that Contractor shall bear the legal liability thereof) negligence, recklessness or willful misconduct in the performance of work on and/or connected with the

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Project or its failure to comply with any of its obligations contained in this Agreement, except such loss or damage which is caused by the sole or active negligence or willful misconduct of the Indemnified Parties. Should conflict of interest principles p reclude a single attorney from representing both Agency and Contractor, or should Agency otherwise find Contractor’s attorney unacceptable, then Contractor shall reimburse the Agency its costs of defense, including without limitation reasonable attorney’s fees, expert fees, and all other costs and fees of litigation. The Contractor shall promptly pay any final judgment rendered against the Indemnified Parties with respect to claims determined by a trier of fact to have been the result of the Contractor’s ne gligent, reckless, or wrongful act, omission or performance. It is expressly understood and agreed that the foregoing provisions are intended to be as broad and inclusive as is permitted by the law of the State of California and will survive termination of this Agreement.

Contractor’s obligations under this section apply regardless of whether or not such claim, charge, damage, demand, action, proceeding, loss, stop notice, cost, expense, judgment, civil fine or penalty, or liability was caused in part or contributed to by Indemnified Parties. However, without affecting the rights of Indemnified Parties under any provision of this Agreement, Contractor shall not be required to indemnify and hold harmless Indemnified Parties for liability attributable to the sole or active negligence or willful misconduct of Indemnified Parties, provided such sole or active negligence or willful misconduct is determined by agreement between the parties or by the findings of a court of competent jurisdiction. In instances where Indemnified Parti es are shown to have been solely or actively negligent or to have acted with willful misconduct and where Indemnified Parties’ sole or active negligence or willful misconduct accounts for only a percentage of the liability involved, the obligation of Contr actor will be for that entire portion or percentage of liability not attributable to the sole or active negligence or willful misconduct of Indemnified Parties.

B. Payment by CITY is not a condition precedent to enforcement of the indemnities in this section . In the event of any dispute between CONTRACTOR and CITY, as to whether liability arises from the active negligence, sole negligence, or willful misconduct of CITY or its officers, employees, or agents, CONTRACTOR will be obligated to pay for CITY's defense until such time as a final judgment has been entered adjudicating CITY as having been actively negligent, solely negligent, or as having engaged in willful misconduct. CONTRACTOR will not be entitled in the absence of such a determination to any reimburse ment of defense costs

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including but not limited to attorneys' fees, expert fees, and costs of litigation. The provisions of this Section shall survive completion of CONTRACTOR's services or the termination of this AGREEMENT.

C. Contractor shall assume risks. Until the completion and final acceptance by City of all work under this Contract, the work shall be under Contractor's responsibility, care, and charge, including any period of time work is suspended for any cause whatsoever. Contractor shall rebuild, r epair, restore, and make good all injuries, damages, re -erections, and repairs occasioned or rendered necessary by accidental causes of any nature, to all or any portions of the work, except as otherwise agreed. However, Contractor shall not be responsible for assuming responsibility for repairing or restoring damage caused by an Act of God as defined by Public Contract Code Sec. 7105 in excess of five (5%) percent of the total contract amount.

It is specifically contemplated t hat the City, its officers, employees, and invitees, will occupy and use portions of the work prior to final acceptance.

Such occupancy shall not relieve Contractor of responsibility provided herein nor exonerate any surety or insurer of Contractor save a nd except for items of routine maintenance and repair.

D. General Liability of Contractor . Except as otherwise herein expressly agreed, Contractor shall do all the work and furnish all the labor, materials, tools, power and light, and appliances, necessary or proper for performing and completing the work herein required in the manner within the time herein specified. The mention of any specific duty or liability of Contractor shall not be construed as a limitation or restriction of any general liability or duty of Contractor, and any reference to any specific duty or liability shall be construed to be for the purpose of explanation.

E. Claims. This AGREEMENT is also subject to the provisions of Public Contract Code Section 9204, which provides for the submission and resolution of specified claims by CONTRACTOR, including provisions governing the type of claims that may be submitted, the time to respond to such claims, and alternative dispute resolution procedures. The provisions of Section 9204 are incorporated herein by reference, and to the extent CONTRACTOR asserts a claim specified by Section 9204, CONTRACTOR shall comply with all provisions set forth in Section 9204 in submitting a claim to CITY.

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SECTION 18. INSURANCE.

Contractor agrees to obtain and maintain in full force and effect during the Term of this Agreement the insurance policies set forth in Exhibit “C” Insurance” and made a part of this Agreement. All insurance policies shall be subject to approval by City as to form and content. These requirements are subject to amendment or waiver if so approved in writing by the City Manager. Contractor shall provide City with copies of required policies upon request.

SECTION 19. ASSIGNMENT.

The expertise and experience of Contractor are material considerations for this Agreement. City has an interest in the qualifications and capability of the persons and entities who will fulfill the duties and obligations imposed upon Contractor under this Agreement. In recognition of that interest, Contractor shall not assign or transfer this Agreement or any portion of this Agreement or the performance of any of Contractor’s duties or obligations under this Agreement without the prior written consent of the City , which may be given in the sole a nd absolute discretion of the City Manager. Any attempted assignment shall be ineffective, null and void, and shall constitute a material breach of this Agreement entitling City to any and all remedies at law or in equity, including termination of this Agreement pursuant to Section 20 “Termination of Agreement.” City acknowledges, however, that Contractor, in the performance of its duties pursuant to this Agreement, may utilize subcontractors.

If in the performance of its duties Contractor utilizes subcontractors or subcontractors, Contractor covenants that subcontracts, if any, shall contain a provision making subcontractors or subcontractors subject to all provisions stipulated in this Agreement, including without limitation, the insurance obligations set forth in Section 17 “Insurance.” The Contractor acknowledges and agrees that the City is an intended beneficiary of any work performed by any subcontractor or subcontractor for purposes of establishing a duty of care between any subcontractor or subcontractor and the City.

SECTION 20. CONTINUITY OF PERSONNEL.

Contractor shall make every reasonable effort to maintain the stability and continuity of Contractor’s staff and subcontractors / subcontractors, if any, assigned to perform the Services. Contractor shall notify City of any changes in Contractor’s staff and subcontractors / subcontractors, if any, assigned to perform the Services prior to and during any such performance.

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SECTION 21. TERMINATION OF AGREEMENT.

A. TERMINATION FOR BREACH OF CONTRACT.

In the event that such notice is given, and, in the event such situation is not corrected, or satisfactory arrangement for correction is not made within ten (10) calendar days from the date of such notice, the Contract shall upon expiration of said ten (10) calendar days cease and terminate. In the event of any such termination, City shall immediately serve notice thereof upon the Surety and Contractor; and the Surety shall have the right to take over and perform the Contract, provided, however, that if th e Surety does not commence performance thereof within thirty (30) days from the date of the mailing to such Surety of notice of termination, City may take over the work and prosecute the same to completion by Contract, or otherwise, for the account and at the expense of Contractor, and his Surety shall be liable to City for any excess cost occasioned City thereby, as hereinafter set forth.

In the event City completes the work, or causes the work to be completed, as aforesaid, no payment of any sum shall be made to Contractor until the work is complete. The cost of completing the work, including but not limited to, extra contract costs, the costs of City forces, extra costs of administration and management incurred by City, either direct or indirect, shall be deducted from any sum then due, or which becomes due, to Contractor from City. If no sum sufficient to pay the difference between sums due to Contractor and the cost of completing the work, and there is a sum remaining due to Contractor after City deducts the aforementioned costs of completing the work, then City shall thereupon pay such sum to Contractor and his Surety.

No act by City before the work is finally accepted, including but not limited to, exercise of other rights under the Contract, actions at law or in equity, extensions of time, payments, claims of liquidated damages, occupation or acceptance of any part of the work, waiver of any prior breach of the Contract or failure to take action pursuant to this section upon the happening of any prior default or breach by Contractor shall be construed to be a waiver, or to estop, City from acting pursuant to this paragraph upon any subsequent event, occurrence or failure by Contractor to fulfill the terms and conditions of the Contract. The rights of City pursuant to this paragraph are cumulative and in addition to all other rights of City pursuant to this Agreement and at law or in equity.

If Contractor should abandon the work under this Contract, or if the Contract or any portion of the Contract should be sublet or assigned without the consent of the City Council, or if the City Engineer should be of the opinion that the conditions of the C ontract in respect to the rate of progress of the work are not being fulfilled or any part thereof is unnecessarily delayed, or if Contractor should willfully violate or breach, or fail to execute in good faith, any of the

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terms or conditions of the Contract, or if Contractor should persistently refuse or fail to supply enough properly skilled labor or materials, or fail to make prompt payment to subcontractors for material or labor, or persistently disregard laws, ordinance s, or proper instruction or orders of the Engineer, then, notwithstanding any provision to the contrary herein, the City Council may give Contractor and his Surety written notification to immediately correct the situation or the Contract shall be terminated.

B. Upon termination of this Agreement by either Contractor or City, all property belonging exclusively to City which is in Contractor’s possession shall be returned to City. Contractor shall furnish to City a final invoice for work performed and expenses incurred by Contractor, prepared as set forth in Section 4 “Compensation and Method of Payment” of this Agreement. This final invoice shall be reviewed and paid in the same manner as set forth in Section 4 “Compensation and Method of Payment” of this Agreement.

C. Upon written notice, City may suspend all or any portion of Contractor’s performance under this Agreement at its sole option and for its convenience for a reasonable period of time not to exceed six (6) months. City will pay to Contractor a sum equivalent to the reasonable value of the services satisfactorily provided up to the date of suspension. City may rescind the suspension prior to or at six (6) months by providing Contractor with written notice of the rescission, at which time Contractor would be required to resume performance in compliance with the terms and provisions of this Agreement.

Contractor will be entitled to an extension of time to complete performance under this Agreement equal to the length of the suspension unless otherwise agreed to in writing by the Parties.

D. Termination for Convenience. City may terminate this Agreement, with or without cause, at any time by giving written notice of termination to Contractor. In the event such notice is given, Contractor shall cease immediately all work in progress.

E. In addition to any other rights it may have, City may terminate this Contract at any time after the Completion Date as adjusted by any extensions of time for excusable delays that may have been granted. Upon such termination Contractor shall not be entitl ed to receive any compensation for services rendered by him before or after such termination, and he shall be liable to City for liquidated damages for all periods of time beyond such termination date until the work is completed.

F. Upon termination of this Agreement by either Contractor or City, all property belonging exclusively to City which is in Contractor’s possession shall be returned to City. Contractor shall furnish to City a final invoice for work performed and expenses incurred by Contractor, prepared as set forth in

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Section 4 “Compensation and Method of Payment” of this Agreement. This final invoice shall be reviewed and paid in the same manner as set forth in Section 4 “Compensation and Method of Payment” of this Agreement.

SECTION 22. DEFAULT.

In the event that Contractor is in default under the terms of this Agreement, the City shall not have any obligation or duty to continue compensating Contractor for any work performed after the date of default. Instead, the City may give notice to Contractor of the default and the reasons for the default. The notice shall include the timeframe in which Contractor may cure the default. This timeframe is presumptively thirty (30) days, but may be extended or reduced, if circumstances warrant. During the period of time that Contractor is in default, the City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, the City may, in its sole discretion, elect to pay some or all of the outstanding invoices during the period of default. If Contractor does not cure the default, the City may take necessary steps to terminate this Agreement under Section 20 “Termination of Agreement.” Any failure on the part of the City to give notice of the Contractor’s default shall not be deemed to result in a waiver of the City’s legal rights or any rights arising out of any provision of this Agreement.

SECTION 23. CLAYTON AND CARTWRIGHT ACTS.

CONTRACTOR and any and all subcontractors offer and agree to assign to the CITY all rights, title and interest in and to all causes of action they may have under Section 4 of the Clayton Act (15 USC Section 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700, of Part 2 of Division 7 of the Business and Profession Code) arising from purchases of goods, services or materials pursuant to the public works contract or any subcontract.

SECTION 24. COOPERATION BY CITY.

All public information, data, reports, records, and maps as are existing and available to City as public records, and which are necessary for carrying out the Services shall be furnished to Contractor in every reasonable way to facilitate, without undue delay, the Services to be performed under this Agreement.

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SECTION 25. NOTICES.

All notices required or permitted to be given under this Agreement shall be in writing and shall be personally delivered, or sent by telecopier or certified mail, postage prepaid and return receipt requested, addressed as follows:

To City: City of Indio
Attn: City Manager
100 Civic Center Mall
Indio, CA 92201

To Contractor: Resource Environmental, Inc.
13100 Alondra Blvd
Suite 108
Cerritos, CA 90703

Notice shall be deemed effective on the date personally delivered or transmitted by facsimile or, if mailed, three (3) days after deposit of the same in the custody of the United States Postal Service.

SECTION 26. RECORD AUDIT.

In accordance with Government Code section 8546.7, records of both the Agency and the Contractor shall be subject to examination and audit by the California State Auditor for a period of three (3) years after final payment.

SECTION 27. FINAL PAYMENT.

Final payment, constituting the entire unpaid balance of the Agreement Sum, shall be paid by Agency to Contractor no sooner than thirty -five (35) days after a Notice of Completion has been recorded, unless otherwise stipulated in the Notice of Completion, provided the work has then been completed, the Agreement fully performed, and a fin al certificate for payment has been issued by the Project Manager.

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SECTION 28. CONTRACTOR’S FAILURE TO PROCURE COMPLETION OF PROJECT.

In the event Contractor fails to furnish tools, equipment, or labor in the necessary quantity or quality, or fails to prosecute the work or any part thereof contemplated by this Agreement in a diligent and workmanlike manner, and if the Contractor for a pe riod of three (3) calendar days after receipt of written demand from Agency or its designated representative to do so, fails to furnish tools, equipment, or labor in the necessary quantity or quality, or to prosecute its work and all parts thereof in a diligent and workmanlike manner, then the Agency may exclude the Contractor from the premises, or any portion thereof, and take possession of said premises or any portion thereof, together with all material and equipment thereon, and may complete the work contemplated by this Agreement or any portion of said work, either by furnishing the tools, equipment, labor or material necessary, or by letting the unfinished portion of said work, or the portion taken over by the Agency to another contractor or by a combin ation of such methods. In any event, the procuring of the completion of said work, or the portion thereof taken over by the Agency, shall be a charge against the Contractor, and may be deducted from any money due or becoming due to Contractor from Agency, or Contractor shall pay Agency the amount of said charge, or the portion thereof unsatisfied. The sureties, provided for under this Agreement, shall become liable for payment should Contractor fail to pay in full any said cost incurred by the Agency.

SECTION 29. AUTHORITY TO EXECUTE.

The person or persons executing this Agreement on behalf of Contractor represents and warrants that he/she/they has/have the authority to so execute this Agreement and to bind Contractor to the performance of its obligations hereunder. Should signatory of this Agreement be unauthorized to bind Contractor, such signor shall be personally liable for the obligations set forth in this Agreement.

SECTION 30. ADMINISTRATION AND IMPLEMENTATION.

This Agreement shall be administered and executed by the City Manager or his or her designated representative. The City Manager shall have the authority to issue interpretations and to make amendments to this Agreement, including amendments that commit additional funds, consistent with Section 28 “Amendment” and the City Manager’s contracting authority under the Indio Municipal Code.

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SECTION 31. BINDING EFFECT.

This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the Parties.

SECTION 32. AMENDMENT.

No amendment to or modification of this Agreement shall be valid unless made in writing and approved by Contractor and by City. The City Manager shall have the authority to approve any amendment to this Agreement if the total compensation under this Agreement, as amended, would not exceed the City Manager’s contracting authority under the Indio Municipal Code. All other amendments shall be approved by the City Council. The Parties agree that the requirement for written modifications cannot be waived and that any attempted waiver shall be void.

SECTION 33. WAIVER.

Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant.

Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision nor a waiver of any subsequent breach or violation of any provision of this Agreement. Acceptance by City of any work or services by Contractor shall not constitute a waiver of any of the provisions of this Agreement.

SECTION 34. LAW TO GOVERN.

This Agreement shall be interpreted, construed and governed according to the laws of the State of California. In the event of litigation between the Parties, venue in state trial courts shall lie exclusively in the County of Riverside, California. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in Riverside.

SECTION 35. LIQUIDATED DAMAGES.

Pursuant to Government Code section 53069.85, if work is not completed within durations established for the individual activities as set forth in the [Project Schedule], it is understood, acknowledged, and agreed Agency will suffer damage. It is therefore agreed that Contractor shall pay to Agency the sum of one-thousand dollars ($1,000.00) for each and every calendar day of delay beyond any completion

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schedule, construction schedule, or Project milestones established in or pursuant to the Project Schedule, or beyond the time indicated in the Project Schedule for any individual Project activity.

Contractor expressly understands, acknowledges, and agrees that such liquidated damages can and shall be imposed if the Contractor does not meet each and every aspect of any activity schedule, completion schedule, construction schedule, or Project milestones established in or pursuant to the Project Schedule. If the Agency accepts work or makes any payment under this Agreement after a default by reason of delays, the acceptance of such work and/or payment(s) shall in no respect constitute a waiver or modification of any provisions regarding a completion schedule, the Project Schedule or the accrual of liquidated damages. In the event the same is not paid, Contractor further agrees that Agency may deduct the amount thereof from any money due or that may become due the Contractor under the Agreement. This article does not exclude recovery of damages under provisions of the Agreement, and is expressly in addition to the Agency’s ability to seek other damages.

Contractor is to refer to Project Schedule for duration of individual activities.

Liquidated damages may be assessed if any individual activity duration exceeds the time indicated for that activity on the Project Schedule, unless the time for such activity has been extended by mutual agreement of the parties and confirmed in writing.

SECTION 36. SUBSURFACE HAZARDOUS MATERIALS.

A. In the event trenches or other excavations extend deeper than four (4) feet below the surface, Contractor shall promptly, and before the following conditions are disturbed, notify Agency in writing of any:

1. Material that Contractor believes may be hazardous waste, as defined in Section 25117 of the Health and Safety Code, that is required to be removed to a Class I, Class II, or Class III disposal site in accordance with the provisions of existing law.

2. Subsurface or latent physical conditions at the site differing from those indicated.

3. Unknown physical conditions at the site of any unusual nature, different materially from those ordinarily encountered and generally recognized as inherent in the Project or the character provided for in the Agreement.

B. Upon receipt of said notification, Agency will investigate the conditions, and if it finds that the conditions do materially so differ, or do involve hazardous waste, and cause a decrease or increase in the Contractor's cost of or the

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time required for performance of any part of the Project, the Agency will issue a change order under the procedures described in the General Conditions.

C. In the event a dispute arises between the Agency and the Contractor whether the conditions materially differ, or involve hazardous waste or cause a decrease or increase in the Contractor's cost of or time required for performance of any part of the Project, the Contractor shall not be excused from any scheduled completion date provided for by the Agreement, but shall proceed with all work to be performed under the Agreement. Contractor shall retain any and all rights provided either by agreement or by law which pertain to the resolution of disputes and protests between the contracting parties.

SECTION 37. BONDS; SECURITY.

Contractor shall furnish security in a form approved by the City Engineer to guarantee faithful performance of the Contract and to secure payment of claims of laborers, mechanics, materialmen and other persons. Such security may be in the form the form set out in the Notice of Bids or other Contract Specification, which bonds are incorporated into this Agreement.

SECTION 38. CORPORATION IN GOOD STANDING.

If Contractor is a corporation, the undersigned hereby represents and warrants that the corporation is duly incorporated and in good standing in the State of California, and that Cynthia Skiff whose title is President/CFO, is authorized to act for and bind the corporation.

SECTION 39. CONTRACTOR’S LICENSE.

Contractor must possess at the time of commencing work and throughout the Project duration, a valid Contractor's License, issued by the State of California, which is current and in good standing. Contractor shall ensure that any subcontractor working on the Project possesses at the time of commencing work and throughout the Project duration, a valid Contractor's License, issued by the State of California, which is current and in good standing.

SECTION 40. COMPLIANCE WITH STATUTES AND REGULATIONS.

Contractor will be knowledgeable of and will comply with all applicable federal, state, local, county, and city statutes, rules, regulations, ordinances, and orders.

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SECTION 41. PROVISIONS REQUIRED BY LAW.

Each and every provision of law and clause required by law to be inserted in this Agreement shall be deemed to be inserted herein and the Agreement shall be read and enforced as though it were included herein, and if through mistake or otherwise any such provision is not inserted, or is not currently inserted, then upon application of either party, the Agreement shall forthwith be physically amended to make such insertion or correction.

SECTION 42. TIME OF ESSENCE.

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

SECTION 43. ENTIRE AGREEMENT.

This Agreement, including the attached Exhibits and Addendums, along with any amendments thereto, is the entire, complete, final and exclusive expression of the Parties with respect to the matters addressed therein and supersedes all other agreements or un derstandings, whether oral or written, or entered into between Contractor and City prior to the execution of this Agreement. No statements, representations or other agreements, whether oral or written, made by any Party which are not embodied herein shall be valid and binding.

SECTION 44. SEVERABILITY.

If any term, condition or covenant of this Agreement is declared or determined by any court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement shall not be affected thereby and the Agreement shall be read and construed without the invalid, void or unenforceable provision(s).

SECTION 45. FEDERAL FUNDS.

In the event the Services are funded either in whole or in part by a federal grant, Contractor shall comply with the requirements of Addendum “2” “Federal Funds.”

[Signature page to follow]

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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first-above written.

CITY OF INDIO

_______________________ OR ________________________
Mayor City Manager

ATTEST:

CITY CLERK
By: ___________________________
Sabdi Sanchez, MMC
Director of City Clerk Services
APPROVED AS TO FORM:

CITY ATTORNEY
By: ___________________________
Steven Graham Pacifico
City Attorney
CONTRACTOR:

By:

Its: [TITLE]

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Exhibit A – Scope of Services
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EXHIBIT “A”

SCOPE OF SERVICES

Scope of Work

Armory Demolition
43143 Jackson Street

This project involves the complete demolition and removal of the former Armory building, including all related structures, slabs, walkways, utilities, and hazardous materials abatement. The site shall be returned to a clear, graded condition with native soil, suitable for future redevelopment.

General Requirements

• Contractor shall secure all necessary permits, including from the Valley Sanitary District for sewer work.
• Contractor must furnish performance and payment bonds in accordance with contract requirements.
• Contractor shall coordinate with the City of Indio for all inspections and approvals. • Work shall be performed in compliance with all applicable federal, state, and local regulations, including Cal/OSHA standards.

Hazardous Materials Abatement

• Remove and properly dispose of all asbestos-containing materials and lead-based paint, as identified in the Asbestos and Lead Report.
• Air conditioning units shall be decommissioned and all refrigerants recovered and disposed of in accordance with environmental regulations.

Demolition and Removal

• Demolish the entire Armory structure, including:
o Main building
o Slab-on-grade and footings
o Concrete walkways and flatwork
• Cap the sewer line per Valley Sanitary District standards. A sketch showing the cap location must be submitted to the City for records.
• Disconnect and remove all remaining utilities, including water and electric, in accordance with applicable agency standards. Coordinate with IWA and IID as needed.

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• Existing perimeter fencing shall remain during demolition for site security. Additional temporary construction fencing shall be furnished and maintained where needed for safety and access control.
• Protect all off-site improvements, including adjacent sidewalks, landscaping, and underground utilities. Damage to existing infrastructure not scheduled for removal shall be repaired at the Contractor's expense.

Site Restoration

• After demolition, the site shall be cleared, graded, and left clean to native dirt condition. • Remove any remaining trash, debris, or abandoned material within the demolition zone. • Implement basic erosion control measures to prevent sediment runoff. • Remove any temporary fencing upon completion of demolition and approval by the City.

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Exhibit B – Compensation
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EXHIBIT “B”

COMPENSATION

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Addendum 1 - Insurance
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ATTACHMENT C - INSURANCE
Prior to the beginning of and throughout the duration of the Project, Contractor and its subcontractors shall maintain insurance in conformance with the requirements set forth below. Contractor will use existing coverage to comply with these requirements. If that existing coverage does not meet the requirements set forth herein, Contractor agrees to amend, supplement or endorse the existing coverage to do so or to procure insurance coverage to satisfy the requirements.

Contractor acknowledges that the insurance coverage and policy limits set forth in this section constitute the minimum amount of coverage required. Any insurance proceeds available to Contractor or its subcontractors in excess of the limits and coverage id entified in this Agreement and which is applicable to a given loss, claim or demand, will be equally available to Agency.

Without limiting Contractor’s indemnification of Agency and/or the Indemnified Parties and prior to commencement of the Project, Contractor shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of t he type and amounts described below and in a form satisfactory to Agency.

General liability insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG0001, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injur y, and property damage, and a $2,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.

Automobile liability insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with work to be performed under this Agreement, including coverage for any owned, hired, non -owned, or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.

Umbrella or excess liability insurance. [If required to meet higher limits].

Contractor shall obtain and maintain an umbrella liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage, including commercial general liability, automobile liability, and employer’s liability. Such policy or policies shall include the following terms and conditions:

• A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason, other than bankruptcy or insolvency of said primary insurer; • “Pay on behalf of” wording as opposed to “reimbursement”;

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• Concurrency of effective dates with primary policies.

Should Contractor obtain and maintain an excess liability policy, such policy shall be excess over commercial general liability, automobile liability, and employer’s liability policies. Such policy or policies shall include wording that the excess liability policy follows the terms and conditions of the underlying policies.

Workers’ compensation insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for Contractor ’s employees in accordance with the laws of the State of California, Section 3700 of the Lab or Code In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor’s employees.

Contractor shall submit to Agency, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of Agency, its officers, agents, employees, and volunteers.

Contractor’s pollution liability insurance. Coverage shall provide for liability arising out of sudden, accidental, and gradual pollution, and remediation. The policy limit shall be no less than $1,000,000 per claim and in the aggregate. All activities contemplated in this agreement shall be specifically scheduled on the policy as “covered operations.” The policy shall provide coverage for remediation of the site in the event of an environmental contamination event arising out of the materials, supplies, products, work, operations, or workmanship.

Transportation pollution liability insurance. Coverage shall be in an amount not less than $5,000,000 combined single limit per accident and shall include Pollution Liability (CA9948) and MCS-90 Endorsements. The policy shall provide coverage for transportation of pollutants/contaminants to and from the job site and the hauling of waste from the project site to the final disposal location, including non-owned disposal sites.

Builder’s risk (course of construction). Upon commencement of construction and with approval of Agency, Contractor shall obtain and maintain builder’s risk (course of construction) coverage for the entire duration of the Project until only the Agency has an insurable interest. The builder’s risk coverage shall include the following:

The named insureds shall be Contractor and Agency, including its officers, officials, employees, and agents. All subcontractors (excluding those solely responsible for design work) of any tier and suppliers shall be included as additional insureds as their interests may appear. Contractor shall not be required to maintain property insurance for any portion of the Project following transfer of control thereof to Agency. The policy shall contain a provision that all proceeds from the builder’s risk policy sha ll be made

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payable to the Agency. The Agency will act as a fiduciary for all other interests in the Project.

Policy shall be provided for replacement value on an “all risk” basis for the completed value of the Project. There shall be no coinsurance penalty or provisional limit provision in any such policy. Policy must include: (1) coverage for any ensuing loss fr om faulty workmanship, nonconforming work, omission or deficiency in design or specifications; (2) coverage against machinery accidents and operational testing; (3) coverage for removal of debris, and insuring the buildings, structures, machinery, equipmen t, materials, facilities, fixtures and all other properties constituting a part of the Project; (4) ordinance or law coverage for contingent rebuilding, demolition, and increased costs of construction; (5) transit coverage (unless insured by the supplier o r receiving contractor), with sublimits sufficient to insure the full replacement value of any key equipment item; (6) ocean marine cargo coverage insuring any Project materials or supplies, if applicable; and (7) coverage with sublimits sufficient to insure the full replacement value of any property or equipment stored either on or off the site or any staging area.

Such insurance shall be on a form acceptable to Agency to ensure adequacy of terms and sublimits and shall be submitted to the Agency prior to commencement of construction.

Installation floater. If required by the Agency or not covered by builders’ risk (course of construction) coverage, Contractor shall obtain an installation floater for the value of the property and covering the portion of the work to be constructed, installed, altered, or repaired by Contractor. The installation floater policy must include coverage for the fixtures, materials, supplies, machinery, and equipment used in or incidental to the construction project as well as property kept off -site or while in t ransit. Coverage must include property of others in the Contractor’s care, custody, or control. In addition to Contractor, the Agency and all subcontractors shall be named as additional insureds on the policy with coverage extending through the final completion date.

Other provisions or requirements.

Proof of insurance . Contractor shall provide certificates of insurance and required endorsements to Agency as evidence of the insurance coverage required herein. Insurance certificates and endorsements must be approved by Agency’s Risk Manager prior to commencement of perfo rmance. Current certification of insurance shall be kept on file with Agency for the contract period and any additional length of time required thereafter. Agency reserves the right to require complete, certified copies of all required insurance policies, at any time and Contractor agrees to provide the same.

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Duration of coverage. Contractor shall procure and maintain for the contract period, and any additional length of time required thereafter, insurance against claims for injuries to persons or damages to property, or financial loss which may arise from or in connection with the performance of the work hereunder by Contractor, its agents, representatives, employees, subcontractors or subconsultants. Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. Agency and its officers, officials, employees, and agents shall continue as additional insureds under such policies.

Primary/noncontributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by Agency shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbr ella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of Agency before the Agency’s own insurance or self- insurance shall be called upon to protect it as a named insured.

Products/completed operations coverage. Products/completed operations coverage shall extend a minimum of three (3) years after Project completion.

Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The Agency, its officials, officers, agents, and employees, shall be included as additional insureds under the products and completed operations coverage.

Agency’s rights of enforcement. In the event any policy of insurance required under this Agreement does not comply with these requirements or is canceled and not replaced, Agency has the right but not the duty to obtain the insurance it deems necessary, and any premium paid by Agency wil l be promptly reimbursed by Contractor or Agency will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, Agency may cancel this Agreement.

Acceptable insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the Agency’s Risk Manager.

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Waiver of subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against Agency, its elected or appointed officers, agents, officials, employees, and volunteers or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against Agency and shall require similar written express waive rs and insurance clauses from each of its subconsultants.

Enforcement of contract provisions (non-estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the Agency to inform Contractor of non-compliance with any requirement imposes no additional obligations on the Agency nor does it waive any rights hereunder.

Requirements not limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the Agency requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to t he Agency.

Notice of cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide the Agency with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. If any of the Contractor’s insurers are unwilling to provide such notice, then Contractor shall have the responsibility of notifying the Agency immediately in the event of Contractor’s failure to renew any of the required insur ance coverages, or insurer’s cancellation or non-renewal.

Additional insured status. General liability, automobile liability, and umbrella/excess liability insurance policies shall provide or be endorsed to provide that Agency and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies.

Prohibition of undisclosed coverage limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to Agency and approved of in writing.

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Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability . The policy(ies) shall not contain any cross-liability exclusions.

Pass through clause. Contractor agrees to ensure that its subconsultants, subcontractors, and any other party who is brought onto or involved in the Project by Contractor (hereinafter collectively “subcontractor”), provide the same minimum insurance coverage and endorsements r equired of Contractor under this Agreement. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Howev er, in the event Contractor’s subcontractor cannot comply with this requirement, which proof must be submitted to the Agency in writing, Contractor may still be able to utilize the subcontractor provided Consultant shall be required to ensure that its subcontractor provide and maintain insurance coverage and endorsements sufficient to the specific risk of exposure involved with subcontractor’s scope of work and services, with limits less than required of the Contractor, but in all other terms consistent wit h the Contractor’s requirements under this Agreement. This provision does not relieve the Contractor of its contractual obligations under the Agreement and/or limit its liability to the amount of insurance coverage provided by its subcontractors. This prov ision is intended solely to provide Contractor with the ability to utilize a subcontractor who may be otherwise qualified to perform the work or services but may not carry the same insurance limits as required of the Contractor under this Agreement given the limited scope of work or services provided by the subcontractor. Contractor agrees that upon request, all agreements with subcontractors, and others engaged in the project, will be submitted to Agency for review.

Agency’s right to revise requirements. The Agency reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor a ninety (90) -day advance written notice of such change. If such change results in substantial addition al cost to the Contractor, the Agency and Contractor may renegotiate Contractor’s compensation.

Self-insured retentions. Any self-insured retentions must be declared to and approved by Agency. Agency reserves the right to require that self -insured retentions be eliminated, lowered, or replaced by a deductible, or require proof of ability to pay losses and related investigati ons, claim administration, and defense expenses within the retention through confirmation from the underwriter.

Timely notice of claims. Contractor shall give Agency prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies.

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Additional insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of its work on the Project.

1. MINIMUM LIMITS OF INSURANCE.

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Addendum 2 – Federal Funds
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ADDENDUM “1"

FEDERAL FUNDS

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Addendum 3 – Bonds
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LABOR AND MATERIALS BOND

Whereas, the City Council of the City of Indio, State of California, and _____________________________________(hereinafter designated as “the Principal”) have entered into an agreement whereby the Principal agrees to install and complete certain designated public improvements, which agreement, dated ________________________, 2024, and identified as project ____, is hereby referred to and made a part hereof; and

Whereas, under the terms of the agreement, the Principal is required before entering upon the performance of the work, to file a good and sufficient payment bond with the City of Indio (“City”) to secure the claims to which reference is made in Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code.

Now, therefore, the Principal and the undersigned as corporate surety, are held firmly bound unto the City and all contractors, subcontractors, laborers, material suppliers, and other persons employed in the performance of the agreement and referred to in Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code in the sum of ___________________________________dollars ($__________________), for materials furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to this work or labor, that the surety will pay the same in an amount not exceeding the amount hereinabove set forth, and also in case suit is brought upon this bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees, including reasonable attorney’s fees, incurred by county (or city) in successfully enforcing this obligation, to be awarded and fixed by the court, and to be taxed as costs and to be included in the judgment therein rendered.

It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all persons, companies, and corporations entitled to file claims under Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond.

Should the condition of this bond be fully performed, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.

The surety hereby stipulates and agrees that no change, extension of time, alteration, or addition to the terms of the agreement or the specifications accompanying the same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such change, extension, alteration, or addition.

In witness whereof, this instrument has been duly executed by the principal and surety above named, on ____, 2025.

_______________________ _____________________
Principal Surety

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Addendum 3 – Bonds
Page | 2

PERFORMANCE BOND

Whereas, the City Council of the City of Indio, State of California, and ____ ___________________________________(hereinafter designated as “Principal”) have entered into an agreement whereby Principal agrees to install and complete certain designated publ ic improvements, which agreement, dated ____, 202 5 and identified as ________________ is hereby referred to and made a part hereof; and

Whereas, said Principal is required under the terms of such agreement to furnish a bond for the faithful performance of said agreement.

Now, therefore, we, the Principal and ______________________, as surety, are held and firmly bound unto the City of Inio hereinafter called (“City”), in the penal sum of ________________________________________dollars
($__________________) lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents.

The condition of this obligation is such that if the above bounded Principal, its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the said agreement and any alteration thereof made as therein provided, on his or their part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnif y and save harmless City, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.

As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorney’s fees, incurred by City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered.

The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the agreement or to the work to be performed thereunder or the specifications accompanying the same shall in anywise affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the agreement or to the work or to the specifications.

In witness whereof, this instrument has been duly executed by the Principal and surety above named, on ________________ 2025.

__________________ ___________________
Principal Surety

Construction contract with Resource Environmental, Inc., in the amount o... Page 532 of 1094 ATTACHMENT 2

SITE MAP

Construction contract with Resource Environmental, Inc., in the amount o... Page 533 of 1094 Site Map
The Armory - 43145 Jackson St, Indio, CA 92201

Construction contract with Resource Environmental, Inc., in the amount o... Page 534 of 1094 City of Indio
City Council
August 20, 2025

STAFF REPORT

To: City Council
From: Bryan H. Montgomery, City Manager
Prepared by: Timothy Wassil, Public Works Director
Subject: Change Order No. 9 with Ortiz Enterprises Inc, for the slope pavement settlement and associated bid item increases for the Avenue 44 Bridge Project, City Project No. BR1101, Federal Aid No. BRLKS-5275(024), in the amount of $1,163,959.

RECOMMENDATION:

Staff recommends that the City Council approve Change Order No. 9 with Ortiz Enterprises, Inc. for slope pavement settlement and associated bid item increases in the amount of $1,163,959 for the Avenue 44 Bridge Project, City Project No. BR1101, Federal Aid No. BRLKS-5275(024).

SUMMARY:

Contract Change Order No. 9 requests approval of $1,163,959 to compensate Ortiz Enterprises, Inc. for added costs related to slope paving work. Environmental restrictions, late utility relocations, and slope design changes required the contractor to adjust its construction phasing, leading to inefficiencies, increased excavation, and greater concrete use. The change order includes a $935,520 lump sum for delays and reduced productivity, plus $228,439 for added bid item quantities. No time extension is needed, and the cost is federally participating and covered by construction contingency funds.

BACKGROUND INFORMATION:

On August 17, 2024, the City Council approved a construction contract with Ortiz Enterprises, Inc., in the amount of $28,894,389.80 and a 10% construction contingency of $2,889,438.98 allowing for unexpected costs for the project.

Following the issuance of the Notice to Proceed, Ortiz Enterprises, Inc encountered unexpected limitations on site access due to environmental footprint restrictions that did not align with the original construction plans. These constraints significantly reduced the available work area for slope paving activities.

Further complicating matters, third-party utility relocations were completed later than anticipated, which geotechnical a Additionally, options. access and evaluation restricted further staging determined that the originally designed 1:1 slope was unstable, requiring a redesign to a more gradual 1.5:1 slope. This modification resulted in increased quantities of structure excavation and concrete slope paving.

AGENDA ITEM #9.17
Change Order No. 9 with Ortiz Enterprises Inc, for the slope pavement se... Page 535 of 1094 To avoid delays to the overall construction schedule, a revised sequence of work was negotiated and implemented. However, because slope paving is now scheduled to occur after portions of the bridge have already been built, larger construction equipment can no longer travel beneath the structure. As a result, the contractor must use smaller, less efficient equipment, which is expected to reduce productivity and increase costs.

The contractor submitted multiple RFIs and letters documenting these challenges. After thorough review by City staff, the Resident Engineer, and the construction management team, the scope and cost impacts were confirmed. The City and contractor reached a negotiated agreement totaling $1,163,959, which includes both a lump sum settlement for anticipated inefficiencies and quantity adjustments for related items of work. A copy of Change Order No. 9 is included as Attachment 1, and a summary of all change orders to date is included as Attachment 2.

FINANCIAL SUMMARY:

Current FY Financial
Impact:
$1,163,959 In current year budget: Yes
Current FY General
Fund Impact:
$0 Budget adjustment: No
Next FY Financial
Impact:
$0 Strategic Objective:

Source of funds: Capital Projects Fund-Org-Object
Reference:
300-523006

Additional Financial Details:

The original construction contingency for this project was $2,889,438.98. Prior to this change order, $302,463.50 had been utilized. With the approval of Change Order No. 9, an additional $1,163,959 will be allocated, leaving a remaining balance of $1,423,016.48. This change order is eligible for federal reimbursement.

ATTACHMENTS:

Attachment 1 - Ortiz Enterprises, Inc. - Contract Change Order No. 9 Attachment 2 - Summary of Contract Change Orders

APPROVAL(S):

Juan Raya, City Engineer Approved - 11 Aug 2025
Timothy Wassil, Public Works Director Approved - 11 Aug 2025 Steven Graham Pacifico, City Attorney Approved - 12 Aug 2025 Ruby D. Walla, Director of Finance Approved - 13 Aug 2025 Bryan H. Montgomery, City Manager Approved - 13 Aug 2025

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Ortiz Enterprises Inc.

Contract Change Order 9

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SUMMARY OF CONTRACT CHANGE ORDERS

Change Order No. 9 with Ortiz Enterprises Inc, for the slope pavement se... Page 541 of 1094

100 Civic Center Mall, Indio, CA 92201

@cityofindio 760-391-4000 Indio.org

Summary of Contract Change Orders No. 1 – 9
Avenue 44 Bridge
City Project No. BR1101, Federal Aid No. BRLKS-5275(024)

Change Order No. 1-9 with Ortiz Enterprises Inc. representing a net increase of $1,466,422.50, for added costs for the subject project. A summary of each is as follows:

Change Order No. 1: This change order updates the contract specifications to include provisions for progress payments on materials stored on- site and modifies the mobilization payment structure to allow partial reimbursement based on project milestones. The intent is to clarify administrative procedures and ensure the contractor is fairly compensated for initial mobilization costs without affecting the overall project cost or schedule. Total Cost: $0 Change Order No . 2: This change order compensates the contractor for unanticipated drainage modifications required to address unmarked utility conflicts discovered during installation. Adjustments were made at three drainage system locations using a force account basis to avo id delays. Total Cost: $18,000.00 (Not to Exceed)
Change Order No. 3: This change order addresses excavation and removal of unforeseen buried materials, including abandoned asphalt pavement and asbestos pipe, discovered during roadway excavation. The extra work ensures the area is clear and safe for continued construction. Total Cost: $35,000.00 (Not to Exceed)
Change Order No. 4: This change order compensates the contractor for accelerating the placement of cast -in-place concrete piles (CIDH) at designated locations. The additional cost covers the differential for performing work outside normal hours to expedite pile installation. Time impact is deferred and will be resolved later. Total Cost: $50,000.00 (Not to Exceed) Change Order No. 5: This change order accounts for increased quantities in several contract bid items including structure excavation, backfill, concrete, reinforcing steel, and minor concrete drainage inlets, based on revised field conditions and approved RFIs. The unit price s remain as bid, and this adjustment ensures accurate compensation for actual quantities installed.

Total Cost: $27,167.50
Change Order No. 6: This change order provides payment for apprenticeship training hours as part of the Federal Training Program requirement under the contract. The City reimburses the contractor $0.80 per hour for 9,120

Change Order No. 9 with Ortiz Enterprises Inc, for the slope pavement se... Page 542 of 1094

approved apprentice hours to support on- the-job training efforts for developing journeyman-level trade skills. Total Cost: $7,296.00 Change Order No. 7: This change order compensates the contractor for delays to controlling activities caused by environmental mitigation and permitting, specifically the relocation of burrowing owls identified within the project limits. The delay, which occurred between the issuance of the first and second Notices to Proceed, is resolved through a lump sum payment that fully settles any claims related to time -related overhead costs. Total Cost: $160,000.00
Change Order No. 8: This change order covers additional environmental mitigation work, specifically the installation of rice straw bales at an easterly slope area due to newly discovered burrows. The added work is necessary to meet environmental stewardship requirements and was performed on a force account basis. Total Cost:
$5,000.00 (Not to Exceed)
Change Order No. 9 (this item): This change order compensates the contractor for slope paving delays and cost impacts due to environmental restrictions, late utility work, and revised slope design. Because slope paving is now scheduled after portions of the bridge are already constructed, larger equipment can no longer be used beneath the structure. The contractor must use smaller, less efficient equipment and perform additional excavation and concrete work, resulting in higher costs. The change includes a lump sum settlement and quantity adjustments. Total Cost: $1,163,959.00
The total cost for all change orders is $1,466,422.50, reflecting a 5.1% increase in the total cost of the project.

Change Order No. 9 with Ortiz Enterprises Inc, for the slope pavement se... Page 543 of 1094 City of Indio
City Council
August 20, 2025

STAFF REPORT

To: City Council
From: Bryan H. Montgomery, City Manager
Prepared by: Timothy Wassil, Public Works Director
Subject: Change Order No. 3 with Three Peaks Corp. for additional work for the Indio Sports Park Project, City Project No. PK2203; in the amount of $497,768.

RECOMMENDATION:

Staff recommends that the City Council approve Contract Change Order No. 3 with Three Peaks Corp., in the amount of $497,768 for additional work for the Indio Sports Park Project, City Project No. PK2203, and authorize the City Manager to execute the Change Order.

SUMMARY:

The City Council previously approved two change orders for the Indio Sports Park Project, addressing site work, utility upgrades, and facility modifications. Change Order No. 3 proposes an increase of $497,768 to cover additional landscaping, drainage improvements, lighting and electrical upgrades, grant to tied compliance-related items enhancements, access and sidewalk and requirements. Funding for the change is available within the approved project budget and does not impact the General Fund.

BACKGROUND INFORMATION:

On March 20, 2024, the City Council awarded the construction contract for the Indio Sports Park Project (PK2203) to Three Peaks Corp. in the amount of $11,832,256.16.

Two prior change orders were approved by the City Council:
 Change Order No. 1, approved December 16, 2024, added $50,837.21 for soil import, DG path conversion to concrete, and backflow layout revisions.  Change Order No. 2, approved April 2, 2025, added $190,279.69 for utility adjustments including conduit, manhole revisions, and appliance purchases. It also included a credit for redesigning the restroom/concession building.

Change Order No. 3 includes the following major items:
  Landscaping & Irrigation: Implementation of perimeter landscaping originally planned for a future phase and irrigation plans using Community Development Block Grant (CDBG) funds ($294,490), and additional infield irrigation for baseball diamonds at the request of Parks staff ($17,792).
 Drainage Enhancements: Regrading of the southwest project area to avoid future disruption ($12,538), installation of a trench drain and surface piping north of the restrooms to mitigate elevation-related drainage issues ($22,000), and modifications to the grease interceptor required by Valley Sanitation District ($9,059).

AGENDA ITEM #9.18
Change Order No. 3 with Three Peaks Corp. for additional work for the In... Page 544 of 1094  Lighting and Power Infrastructure: Installation of a solar-powered light fixture on the west side of the project ($9,588), IID-required conduit extensions to the west ($8,162), delay costs related to IID staking ($3,914), temporary power rentals and installation to maintain irrigation functionality during utility equipment delays ($28,540), and revised switchgear placement due to equipment sizing constraints ($6,557).
 Access & Circulation Improvements: Addition of sidewalk and underdrain at the east driveway entrance to improve pedestrian access ($11,970), new traffic striping on Avenue 44 and to baseball the at gates fields widened and ($8,970), Street access Jackson accommodate maintenance equipment ($9,000).
 Grant-Related Compliance: Use of Southern California Conservation Corps personnel as required by Proposition 68 ($29,649), and installation of CDBG funding signage at the site ($1,500).
 Other Improvements: Lowering of the baseball field grades to match revised pad elevations for the restroom/concession building ($5,584), substitution of rigid drip irrigation emitters at the request of Parks staff ($1,455), and installation of a roof and security gates at the trash enclosure to prevent unauthorized access and use ($17,000).

The detailed cost breakdown can be found in Contract Change Order No. 3, which is included as Attachment 1.

The City’s funding sources, including State Proposition 68 and federal CDBG grant funding, remain sufficient to cover this increase without impacting the General Fund.

FINANCIAL SUMMARY:

Current FY Financial
Impact:
$497,768 In current year budget: Yes
Current FY General
Fund Impact:
$0 Budget adjustment: No
Next FY Financial
Impact:
$0 Strategic Objective: Public Infrastructure
Source of funds: Capital Projects, Proposition 68,
CDBG
Fund-Org-Object
Reference:
300-523006

Additional Financial Details:

On May 7, 2025, the City Council approved the FY2025/26 CDBG Annual Action Plan, which included an allocation of $515,001 in CDBG Public Facilities Improvement Funds designated for the Indio Sports Park Project.

In addition, the City has $479,390.81 in unspent CDBG funds from prior years that are now eligible to be programmed into the project. This results in a total CDBG funding commitment of $994,371.81 available in FY25/26. The cost of Change Order No. 3, in the amount of $497,768 can be fully funded from this allocation.

Staff recommends the reimbursements of $994,371.81 in CDBG Public Facilities Improvement Funds, be allocated to the Indio Sports Park project account. No impact to the General Fund is anticipated.

Change Order No. 3 with Three Peaks Corp. for additional work for the In... Page 545 of 1094 Original Contract Amount: $11,832,256.16
Previously Approved CCOs $ 241,116.90
Agreed CCO No. 9 Price: $ 497,768.00 (this item) Total Revised Contract Amount: $12,571,141.06

ATTACHMENTS:

Attachment 1 - Contract Change Order No. 3

APPROVAL(S):

Juan Raya, City Engineer Approved - 08 Aug 2025
Timothy Wassil, Public Works Director Approved - 08 Aug 2025 Steven Graham Pacifico, City Attorney Approved - 12 Aug 2025 Ruby D. Walla, Director of Finance Approved - 13 Aug 2025 Bryan H. Montgomery, City Manager Approved - 13 Aug 2025

Change Order No. 3 with Three Peaks Corp. for additional work for the In... Page 546 of 1094 ATTACHMENT 1
Contract Change
Order No. 3
Three Peaks Corp.

Change Order No. 3 with Three Peaks Corp. for additional work for the In... Page 547 of 1094

100 Civic Center Mall, Indio, CA 92201

@cityofindio 760-391-4000 Indio.org

CITY OF INDIO

PUBLIC WORKS DEPARTMENT
PROJECT: PK2203 Indio Sports Park
CONTRACTOR: Three Peaks Corp.

CHANGE PROPOSED: The following extra work items include modifications required due to plan updates, additional utility infrastructure, and other necessary construction adjustments. The extra work item costs include agreed lump sum prices, extensions of originally bid unit prices and time and materials necessary to complete the work and are a complete in- place total for each item.

The total amount for Contract Change Order #3 is a net increase in the amount of $497,768.

CDBG Funds have been identified for a portion of the indicated additional work (Item 3.1), and the remaining costs are within the approved project budget.

THE FOLLOWING ARE EXTRA WORK ITEMS:

Item No. 3.1: Implementation of future landscape plans as part of the current project.

Description:

Landscaping and irrigation that had been planned for future expansions of the Sports Park will be constructed as part of the current project. This work will be completed utilizing CDBG funds.

Change in Contract Cost:

Add: $294,490

Item No. 3.2: Contract for Conservation Corps Personnel

Description:

Proposition 68 grant funding required use of Conservation Corps personnel as part of the project labor force.

Change in Contract Cost:

Add: $29,649

Item No. 3.3: Funding Signage for CDBG funds

Description:

Use of CDBG funds for item 3.1 above requires additional signage posted at the project site.

City Project No.: PK2203
Date: 8/4/2025
Contract Change Order No.: 3

Change Order No. 3 with Three Peaks Corp. for additional work for the In... Page 548 of 1094

PK2203 2

Change in Contract Cost:

Add: $1,500

Item No. 3.4: Additional Solar Powered overhead lighting fixture (material cost only)

Description:

Additional overhead light fixture was necessary at West side of project. Contractor agreed to complete installation if City purchased the materials.

Change in Contract Cost:

Add: $9,588

Item No. 3.5: Lowering of baseball field grades.

Description:

Adjustments to the finish floor elevation of the restroom/concession stand building require adjacent grade of baseball fields to be lowered.

Change in Contract Cost:

Add: $5,584

Item No. 3.6: Regrading of SW Corner of Project Site.

Description:

As designed the SW corner of the project site had unnecessary accumulation of soil that would have needed removal as part of future expansion. This material was removed and re -graded to avoid disturbing landscaping in future projects.

Change in Contract Cost:

Add: $12,538

Item No. 3 .7: Installation of Trench Drain on North Side of Restroom/Concession Stand Building

Description:

Changes to finished floor elevations of restroom/con cession stand resulted in a drainage collection issue on the North side of the structure. To mitigate future issues a sur face drainage system was installed that drains to the adjacent parking lot.

Change in Contract Cost:

Add: $22,000

Item No. 3.8: Baseball Field Infield Watering/Irrigation

Description:

At request of Parks staff a hand operable irrigation system was installed at each of the two baseball fields that allows for watering of the infield dirt areas.

Change in Contract Cost:

Add: $17,792