Laguna Hills City Council
May 26, 2026

Don Caskey
Mayor
Jared Mathis
Mayor Pro Tempore
Erica Pezold
Council Member
Joshua Sweeney
Council Member
Dave Wheeler
Council Member
City of Laguna Hills
City Council / Planning Agency
Regular Meeting Agenda
Tuesday, May 26, 2026 - 6:00 PM
(Closed Session at 5:00 p.m. when scheduled)
City Council Chamber
24035 El Toro Road
Laguna Hills, CA 92653
In Person Public Comments: Any person wishing to address the City Council/Planning Agency on any matter, whether or not it appears on this Agenda, is asked to complete a pink “Request to Speak” form available on the table at the back of the Chamber and submit the form to the City Clerk. The Request to Speak form assists the Mayor in ensuring that all persons wishing to address the City Council are recognized and ensures accurate identification of meeting participants in the City Council/Planning Agency Minutes. Completion of the form is voluntary.

It is City policy to limit public testimony to up to three minutes per person, as determined by the Mayor, for Public Comments. If you are commenting on an Agenda item, your comments will be heard at the time that item is scheduled on the Agenda. If you are addressing the City Council on an item not listed on the Agenda, the City Council is prohibited by law from discussing or taking any action on that item.

Submission of Electronic Public Comments: Those wishing to make electronic public comments may submit their comments by email to the City Clerk no later than 2 hours prior to the meeting on Tuesday, May 26, 2026. In the subject line of the email, please state your name and the item number you are commenting on. Any public comment received that does not specify a particular agenda item number will be announced during the general public comment portion of the agenda. All comments received by the deadline on the date of the meeting will be provided to the City Council and will be provided for public inspection at the meeting.

During the applicable agenda item, the City Clerk will announce the name of the sender and subject matter of all electronic comments received by the deadline on Tuesday, April 28, 2026.

Email comments will NOT be read by the City Clerk during the meeting. Electronic public comments may only be submitted via email and comments via text and social media (Facebook, X (formerly Twitter), etc.) will not be accepted.

For questions or assistance, please contact the City Clerk’s Office at (949) 707-2635 or via email.

City Council/Planning Agency Regular Meeting Agenda
Tuesday, May 26, 2026
2 General Business Convening at 6:00 PM
Call to Order
Resolution No. 96-04-09-1 established rules of decorum for public meetings held by the City of Laguna Hills. Resolution No. 96-04-09-1 is available on the table at the back of the City Council Chamber.

Invocation: Mayor Caskey
Pledge of Allegiance: Council Member Sweeney
Roll Call of City Council Members

1. Presentations and Proclamations

2. Schedule of Future Events

2.1 Schedule of Future Events
Recommendation: That Community Services Director announce the upcoming meetings and events.

3. Public Comments
This is the time to address the City Council on any matter not listed on this Agenda that is within the subject matter jurisdiction of the City Council. Public Comments are limited to three minutes per person, as determined by the Mayor.

4. Consent Calendar
All matters listed under “CONSENT CALENDAR” are considered to be routine and will be enacted by one motion approving the recommendation listed on the Agenda. There will be no separate discussion unless Members of the City Council or City staff request specific items be removed from the Consent Calendar.

4.1 Waive Reading in Full of all Ordinances and Resolutions on the Agenda Recommendation: That the City Council waive reading in full of all ordinances and resolutions on the agenda and declare that said titles which appear on the public agenda shall be determined to have been read by title and further reading waived.

City Council/Planning Agency Regular Meeting Agenda
Tuesday, May 26, 2026
3 4.2 Approval of Minutes for May 12, 2026, Regular Meeting Recommendation: That the City Council approve the City Council/Planning Agency Minutes for the May 12, 2026, Regular Meeting.

4.3 Appropriations Limit for Fiscal Year 2026/2027
Recommendation: That the City Council adopt a Resolution entitled: "A Resolution of the City Council of the City of Laguna Hills, California, Establishing the Appropriations Limit (Gann Limit) for the City of Laguna Hills for Fiscal Year 2026/2027.”

4.4 Treasurer's Investment Report for April 2026
Recommendation: That the City Council receive and file the Treasurer's Investment Report for the month of April 2026.

4.5 Ratification of May 26, 2026 Warrant Register
Recommendation: That the City Council ratify the accompanying Warrant Register for the period from May 2, 2026, to May 14, 2026, in the amount of $1,168,222.86.

4.6 Award of a Maintenance Services Agreement for Termite Fumigation Services at the Laguna Hills Civic Center to CDS Services, Inc.

Recommendation: That the City Council: 1. Award a Maintenance Services Agreement for Termite Fumigation Services at the Laguna Hills Civic Center to CDS Services, Inc. in the amount of $86,895; and 2. Authorize the City Manager to sign the Agreement.

4.7 Resolution Adopting a List of Street Maintenance Projects for Fiscal Year 2026/2027 Funded by SB 1: The Road Repair and Accountability Act of 2017 Recommendation: That the City Council adopt a Resolution entitled: "A Resolution of the City Council of the City of Laguna Hills, California, Adopting a List of Street Maintenance Projects for Fiscal Year 2026/2027 Funded By SB 1:

The Road Repair and Accountability Act of 2017."

4.8 Development Application Status Report
Recommendation: That the City Council receive and file the report.

4.9 Amendment No. 1 to Tree Maintenance Services Agreement with West Coast Arborists, Inc. for Citywide Tree Maintenance Services

City Council/Planning Agency Regular Meeting Agenda
Tuesday, May 26, 2026
4 Recommendation: That the City Council 1. Approve Amendment No. 1 to the Tree Maintenance Services Agreement with West Coast Arborists, Inc. for Citywide Tree Maintenance Services; and 2. Authorize the City Manager to sign Amendment No. 1 to the Tree Maintenance Services Agreement.

Items Removed from the Consent Calendar

5. Planning Agency

5.1 Roll Call of Planning Agency Members

5.2 Public Comments

5.3 Planning Agency Public Hearings

5.3.1 Conditional Use Permit (CUP) No. USE-0250-2025, a request by Shawn Zuo on behalf of Alliance Vet, for Approval of a Proposed Veterinary Hospital located at 25226 Cabot Road
Recommendation: That the Planning Agency: 1) Conduct a public hearing; 2) Find and determine that the proposed project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Class 1, Existing Facilities); and 3) Adopt a Resolution entitled: “A Resolution of the Planning Agency of the City of Laguna Hills, California, Approving Conditional Use Permit (CUP) No. USE-0250-2025, a request by Shawn Zuo on behalf of Alliance Vet, for Approval of a Veterinary Hospital in an existing 2,308 square-foot tenant space located at 25226 Cabot Road, Including an Exemption from the California Environmental Quality Act (CEQA) per CEQA Guidelines Section 15301 of Title 14, Chapter 3 of the California Code of Regulations (Class 1, Existing Facilities).”

5.4 Planning Agency Adjournment

6. City Council Public Hearings

6.1.1 Local Public Employee Vacant Positions
Recommendation: That the City Council: 1) Conduct a public hearing; and 2) Receive a presentation regarding local public employee vacant positions, pursuant to AB 2561 and Government Code section 3502.3.

7. Administrative Reports

7.1 City Manager

City Council/Planning Agency Regular Meeting Agenda
Tuesday, May 26, 2026
5 7.2 Assistant City Manager

7.2.1 Resolution Establishing City Council Policy No. 128 Regarding Disruption of Telephonic or Internet Service During Public Meetings
Recommendation: That the City Council adopt a Resolution entitled: "A Resolution of the City Council of the City of Laguna Hills, California, Establishing City Council Policy No. 128 Regarding Disruption of Telephonic or Internet Service During Public Meetings."

7.3 Community Development Director

7.3.1 Urgency Ordinance Pursuant to Government Code Section 65858 to Establish a Temporary Moratorium on New or Expanded Massage Establishments in Laguna Hills
Recommendation: That the City Council 1) Find and determine that the proposed urgency ordinance is not a project within the meaning of Section 15378 of the State of California Environmental Quality Act ("CEQA") Guidelines (Title 14 of the California Code of Regulations) and is exempt from the requirements of CEQA under Section 15061(b)(3) of the CEQA Guidelines; and 3) Adopt an Urgency Ordinance entitled: “An Interim Urgency Ordinance of the City Council of the City of Laguna Hills Pursuant to Government Code Sections 36937 and 65858, Establishing a Temporary Moratorium on New or Expanded Massage Establishments Pending Study and Preparation of an Update to the City's Municipal Code and Zoning Code and Determining the Ordinance to be Exempt from Environmental Review Under CEQA.

7.4 Chief of Police Services

7.4.1 Update on E-bike Education
Recommendation: That the City Council receive and file the report.

8. Matters Agendized and Presented by City Council Members

9. City Council Member Committee Reports

9.1 Committee Assignment Reports
Recommendation: That the City Council receive reports from the City Council Members on the City Council Committee Assignments listed on the staff report.

City Council/Planning Agency Regular Meeting Agenda
Tuesday, May 26, 2026
6 10. City Council Member Comments
Adjournment
The next Regular Meeting of the City Council/Planning Agency will be June 9, 2026, at 6:00 p.m., in the City Council Chamber, located at 24035 El Toro Road, Laguna Hills, California.

CERTIFICATION
I, KAREN HAMMAN, Interim City Clerk of the City of Laguna Hills, do hereby certify that a copy of the foregoing Agenda was posted at Laguna Hills City Hall, Laguna Hills Community Center, and Knotty Pine Park by May 22, 2026, at 5:00 p.m.

Karen Hamman, Interim City Clerk
It is the intention of the City of Laguna Hills to comply with the Americans with Disabilities Act in all respects. If as an attendee or a participant at this meeting you will need special assistance beyond what is normally provided, the City of Laguna Hills will attempt to accommodate you in every reasonable manner. Please contact the office of the City Clerk at (949) 707-2635. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to assure accessibility to this meeting.

Materials related to an item on this Agenda submitted to the City Council after distribution of the agenda packet are available for public inspection in the City Clerk’s Office at 24035 El Toro Road, Laguna Hills, California, during normal business hours. In addition, such writings or documents will be made available for public review on the Agenda and Minutes public portal website and at the respective public meeting.

City Council Members receive no additional compensation or stipend as a result of simultaneously convening meetings of the Laguna Hills Planning Agency.

Item No. 2.1
City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Holland Gannon, Community Services Director
Issue: Schedule of Future Events
Recommendation: That the Community Services Director announce the upcoming meetings and events.

Meetings:

City Council/Planning Agency Regular Meetings
Tuesday, June 9th, 6:00 p.m., Laguna Hills Civic Center Council Chamber Tuesday, June 23rd, 6:00 p.m., Laguna Hills Civic Center Council Chamber Parks & Recreation Commission Regular Meeting
Wednesday, June 3rd, 6:00 p.m., Laguna Hills Civic Center Council Chamber Events, Communication, & Beautification Committee Regular Meeting Monday, June 8th, 10:00 a.m., Laguna Hills Civic Center Admin Conference Room Events:

StoryWalk Unveiling
Thursday, May 28th, 10:30 a.m. – 11:30 a.m., Knotty Pine Park Excursion to Descanso Gardens
Wednesday, June 3rd, 11:30 a.m. – 8:00 p.m., meet at the Laguna Hills Community Center Storytime Adventures
Thursday, June 4th, 10:30 a.m., Laguna Hills Community Center Heritage Room A Excursion to Huntington Library & Gardens
Thursday, June 4th, 11:30 a.m. – 7:30 p.m., meet at the Laguna Hills Community Center

Item No. 2.1
Parent’s Night Out
Friday, June 5th, 6:00 p.m. - 8:30 p.m., Laguna Hills Community Center Classroom South Orange County Senior Games
Friday, June 5th – Sunday, June 7th, games available at the Laguna Hills Community Center, Felipe Tennis & Recreation Center, and Sea County Senior Center.

Excursion to The Cheech & RAM
Sunday, June 7th, 10:00 a.m. – 7:00 p.m., meet at the Laguna Hills Community Center Attachments:

1. Event and Activities Flyer(s)

Step into a world of natural beauty as we travel to La Cañada Flintridge, as Descanso Gardens is considered one of Southern California’s premier botanical destinations. Stroll through 15 acres of lush gardens, featuring seasonal blooms, towering oaks, camellias, and vibrant native plants, as well as serene pathways, shaded groves, and peaceful water features.

Explore highlights such as the Japanese Garden, Rose Garden, and Oak Woodland, with plenty of scenic spots perfect for photos, reflection, or a leisurely picnic. Please Note: additional out of pocket expense is required for entrance admission. Participants meet at the Laguna Hills Community Center where City staff will provide transportation. Call (949) 707-2680 for more information. No refunds or transfers for this event.

Class# 2424
6/3 11:30AM-8:00PM Wednesday
Fee: Resident $20, Non-Resident $25
Excursion to Descanso Gardens
Like us on at www.facebook.com/lagunahillscc
To register or for more information, please call (949) 707-2680 or visit www.lagunahillsca.gov

Excursion to Huntington Library & Gardens
Join us for an enriching excursion to The Huntington Library, Art Museum, and Botanical Gardens, one of Southern California’s most renowned cultural landmarks. This world-class destination features rare books and manuscripts, impressive art collections, and beautifully curated gardens spread across 120 acres. Explore highlights of the library and art galleries and stroll through themed gardens. Bring a sack lunch to picnic in designated areas adjacent to the parking lot or purchase from onsite food service options. Participants meet at the Laguna Hills Community Center where City staff will provide transportation. No refunds or transfers for this event.

Class# 2141
6/4 11:30AM-7:30PM Thursday
Fee: Resident $20, Non-Resident $25
Like us on at www.facebook.com/lagunahillscc
To register or for more information, please call (949) 707-2680 or visit www.lagunahillsca.gov

Excursion to The Cheech & RAM
Travel with us to Downtown Riverside for a visit to The Cheech Marin Center for Chicano Art & Culture. This 61,420-square-foot center houses hundreds of paintings, drawings, photographs, and sculptures by a wealth of accomplished artists. A public-private partnership between the Riverside Art Museum (RAM), the City of Riverside, and comedy duo Cheech & Chong's Cheech Marin - one of the world’s foremost collectors of Chicano art – “The Cheech” is the heart for Chicano art of all kinds. At your own leisure, explore neighboring RAM as well as The Mission Inn or eating at one of several restaurants in historic Downtown Riverside.

Participants meet at the Laguna Hills Community Center where City staff will provide transportation. No refunds or transfers for this event. *Registration begins May 11, 2026 Class# 2425
6/7 10:00AM-7:00PM Sunday
Fee: Resident $20, Non-Resident $25
Like us on at www.facebook.com/lagunahillscc
To register or for more information, please call (949) 707-2680 or visit www.lagunahillsca.gov

MINUTES
City Council/Planning Agency Regular Meeting
May 12, 2026
City Council/Planning Agency Minutes 1 May 12, 2026
A Regular Meeting of the City Council/Planning Agency of the City of Laguna Hills, California, was called to order by Mayor Pro Tem Mathis at 6:00 p.m., on May 12, 2026, in the City Council Chamber at 24035 El Toro Road, Laguna Hills, California.

A complete copy of the agenda for the meeting containing all items as shown herein was posted by 5:00 p.m. on May 8, 2026, on the outdoor bulletin board at Laguna Hills City Hall. A copy was also posted at Laguna Hills Community Center and Knotty Pine Park.

In addition, the agenda was posted at the remote location where Mayor Caskey was participating via teleconference: 27182 Hidden Trail Road, Laguna Hills, CA 92652.

Roll Call of City Council Members

Present: Mayor Don Caskey (via teleconference)
Mayor Pro Tempore Jared Mathis
Council Member Erica Pezold
Council Member Joshua Sweeney
Council Member Dave Wheeler

Absent: None
Invocation: Elder Jeff Hamen of Christ Community Church Pledge of Allegiance: Mayor Pro Tem Mathis

1. PRESENTATIONS AND PROCLAMATIONS

1.1 Laguna Hills High School Student Liaison Report
Student Liaison Peyton Edberg presented her final report highlighting athletic achievements, fundraising efforts, International Baccalaureate activities, and upcoming theater productions.

1.2 Certificate of Recognition for Laguna Hills High School Student Liaison Peyton Edberg
Mayor Pro Tem Mathis presented Peyton Edberg with a Certificate of Recognition for her professionalism and dedication as Student Liaison since February 10, 2026.

MINUTES
City Council/Planning Agency Regular Meeting
May 12, 2026
City Council/Planning Agency Minutes 2 May 12, 2026

1.3 Proclamation for Drowning Prevention Awareness
Orange County Fire Authority Division Chief Reid Gibson and Community Educator Milton Neira discussed drowning prevention and community responsibility around water safety. Mayor Pro Tem Mathis presented the Proclamation encouraging participation in the "Always Watch the Water" and "Never Swim Alone" campaigns by highlighting May through August as a "Drowning Prevention Awareness" period.

1.4 Presentation on South Coast Conservatory
Executive Director of South Coast Conservatory Jena Minnick-Bull discussed the Conservatory’s programs. Mayor Pro Tem Mathis presented the proclamation recognizing South Coast Conservatory Day and commending the organization for its outstanding contributions to the arts and community.

2. SCHEDULE OF FUTURE EVENTS

2.1 Schedule of Future Events
Community Services Director Holland Gannon announced the upcoming meetings and events.

3. PUBLIC COMMENTS
The following discussed ongoing issues involving city-owned sycamore trees in the Sunset Place community and requested that the city proceed with the removal of the trees: Steven Coons; Bonnie Dehdashtian-Coons; and Mary Jiminez.

Assistant City Manager Joes Ames provided history on the trees, past replanting efforts, and staff's proposal to remove the sycamore trees. He noted that the HOA has indicated that they are not in favor of the trees being replaced with anything other than sycamore trees.

Greyson Spann: announced the Global Harmony Symphony scheduled for May 18, 2026, at 7:00 PM at the Laguna Hills Community Center.

Jay Pedroza: requested a permit parking program on Camberwell Street.

Andres O'Connor: expressed concern with near drowning incidents that he has witnessed and asked specifically what the OCFA drowning campaign would do and how it would enforce community safety.

MINUTES
City Council/Planning Agency Regular Meeting
May 12, 2026
City Council/Planning Agency Minutes 3 May 12, 2026

4. CONSENT CALENDAR
Motion made by Council Member Pezold, seconded by Council Member Wheeler, to approve the Consent Calendar outlined below.

On roll call, said motion carried by the following vote:

AYES: Caskey, Mathis, Pezold, Sweeney, Wheeler
NOES: None
ABSENT: None

4.1 Waive Reading in Full of all Ordinances and Resolutions on the Agenda Waived reading in full of all ordinances and resolutions on the agenda and declared that said titles which appear on the public agenda shall be determined to have been read by title and further reading waived.

4.2 Approval of Minutes for April 28, 2026, Regular Meeting Approved the City Council/Planning Agency Minutes for the April 28, 2026, Regular Meeting.

4.3 Approval of Minutes for April 29, 2026, Special Meeting/Study Session Approved the City Council/Planning Agency Minutes for the April 29, 2026, Special Meeting/Study Session.

4.4 Ratification of May 12, 2026 Warrant Register
Ratified the accompanying Warrant Register for the period from April 17, 2026, to May 1, 2026, in the amount of $1,019,308.73.

4.5 Records Retention Management
Adopted Resolution 2026-05-12-01 entitled: "A Resolution of the City Council of the City of Laguna Hills, California, Authorizing and Directing the City Clerk to Dispose of Certain City Records in Accordance with the City's Record Retention Schedule."

ITEMS REMOVED FROM THE CONSENT CALENDAR
There were no items removed from the Consent Calendar.

MINUTES
City Council/Planning Agency Regular Meeting
May 12, 2026
City Council/Planning Agency Minutes 4 May 12, 2026

5. PLANNING AGENCY
There were no items for the Planning Agency.

6. CITY COUNCIL PUBLIC HEARINGS

6.1 Public Hearing on 2026 Weed, Rubbish, and Refuse Abatement Assistant City Manager Joe Ames presented the staff report.

Mayor Pro Tem Mathis opened the public hearing at 6:58 p.m.

The following expressed concern with the lack of maintenance at a home located at 25546 Oak Leaf Road and expressed their support for the weed abatement program:

Karen Kalberg and Karen Litfin.

Mayor Pro Tem Mathis closed the public hearing at 7:07 p.m.

Motion made by Mayor Council Member Sweeney, seconded by Council Member Wheeler, to adopt Resolution 2026-05-12-02 entitled: "A Resolution of the City Council of the City of Laguna Hills, California, issuing an abatement order and authorizing the Public Works Director to commence enforcing weed, rubbish, and refuse abatement against specified parcels of land."
On roll call, said motion carried by the following vote:

AYES: Caskey, Mathis, Pezold, Sweeney, Wheeler
NOES: None
ABSENT: None

7. ADMINISTRATIVE REPORTS

7.1 City Manager
There was no administrative report from the City Manager.

7.2 Assistant City Manager

7.2.1 Authority to Advertise for Construction, Local Street Rehabilitation Project, CIP 101-M

MINUTES
City Council/Planning Agency Regular Meeting
May 12, 2026
City Council/Planning Agency Minutes 5 May 12, 2026
Assistant City Manager Joe Ames presented the staff report and answered the City Council Member's questions.

Council Members Wheeler and Pezold proposed the city stick to the regular street resurfacing cycle.

Motion made by Mayor Caskey, seconded by Council Member Sweeney, to 1.

Approve the plans and specifications for the Local Street Rehabilitation Project, CIP 101-M; 2. Authorize the advertisement for bids for Local Street Rehabilitation Project, CIP 101-M; 3. Authorize the City Engineer to make minor edits to the plans and specifications as necessary prior to bidding; and 4.

Find that environmental review is not required under the California Environmental Quality Act (CEQA) pursuant to the California Code of Regulations, Title 14, Chapter 3, Section 15301 as a Class 1 Categorical Exemption - “Existing Facilities."
On roll call, said motion carried by the following vote:

AYES: Caskey, Mathis, Sweeney, Wheeler
NOES: Pezold
ABSENT: None

7.3 Community Services Director

7.3.1 2026 Street Pole Banner Designs
Director of Community Services Holland Gannon presented the staff report.

The Council Members discussed the designs and expressed their likes and dislikes.

Motion made by Mayor Pro Tem Mathis, seconded by Council Member Wheeler, to approve the Civic Center banner (#1) as-is, the Welcome banner (#2) with the addition of the letters LH added to the hillside, and the Celebrating America 250 banner (#4) with an edit to the graphic to make the flag more prominent; and direct staff to make the changes and move forward with production of the banners.

On roll call, said motion carried by the following vote:

AYES: Caskey, Mathis, Pezold, Sweeney, Wheeler
NOES: None
ABSENT: None

MINUTES
City Council/Planning Agency Regular Meeting
May 12, 2026
City Council/Planning Agency Minutes 6 May 12, 2026

8. MATTERS AGENDIZED AND PRESENTED BY CITY COUNCIL MEMBER There were no Council Member agenda items.

9. CITY COUNCIL COMMITTEE REPORTS

9.1 Committee Assignment Reports
Council Member Sweeney discussed the May 7, 2026, Southern California Association of Governments (SCAG) meeting. He stated that cities like Laguna Hills need to stay engaged with regional issues and continue to advocate for policies that are practical, balanced, and respectful to the community.

Council Member Wheeler outlined the Orange County Older Adults Advisory Commission (OAAC) meeting of May 8, 2026, where they received a presentation on the Master Plan for Aging. He noted that housing is the number one priority for seniors along with ways to be notified of resources available to them.

10. CITY COUNCIL MEMBER COMMENTS
Council Member Pezold
Council Member Pezold stated that it would be nice to see signs at the parks that advertise the City's app and the concert series. She said people are asking for new soap pumps at the Civic Center and she has received a number of complaints from residents that the culture at the Community Center is not inviting.

Mayor Caskey
Mayor Caskey thanked the Council for an efficient meeting. He said that people want to feel that they are being heard by staff and public safety personnel.

Council Member Sweeney
Council Member Sweeney thanked staff for the work on tonight's agenda and he encouraged residents to support the Memorial Day ceremony, Team Dark Horse, and the half-marathon.

Mayor Pro Tem Mathis
Mayor Pro Tem Mathis commented on the current public discourse with e-bikes after recent accidents and deaths. He stated that the city should consider education and training efforts in the community.

MINUTES
City Council/Planning Agency Regular Meeting
May 12, 2026
City Council/Planning Agency Minutes 7 May 12, 2026
Motin made by Mayor Pro Tem Mathis, seconded by Council Member Pezold, to bring back the e-bikes education matter at a future meeting.

Mayor Pro Tem Mathis noted that The Tiller House Hotel has won the prestigious Select Service Hotel award.

Adjournment
At the hour of 8:04 p.m., with no further business to come before the City Council/Planning Agency at this session, Mayor Pro Tem Mathis adjourned the meeting to Tuesday, May 26, 2026, at 6:00 p.m.
____________________________________
Karen Hamman, Interim City Clerk
ATTEST:
____________________________________
Don Caskey, Mayor
Approved at meeting of May 26, 2026

Item No. 4.3
City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Eric Hendrickson, Finance Director
Issue: Appropriations Limit for Fiscal Year 2026/2027
Recommendation: That the City Council adopt a Resolution entitled: "A Resolution of the City Council of the City of Laguna Hills, California, Establishing the Appropriations Limit (Gann Limit) for the City of Laguna Hills for Fiscal Year 2026/2027.” Background:

Article XIIIB of the California Constitution requires that all cities establish a Gann Limit at the beginning of each fiscal year. The Gann Limit was approved by the California voters in 1979, and it limits the amount of tax revenue a government can legally spend.

The limit is allowed to increase annually based on inflation factors. This limit is calculated by multiplying the preceding year’s appropriations limit by the City’s percentage population growth and the percentage change in the California Per Capita Personal Income.

As provided by the State of California Department of Finance, the City’s growth rate was -0.89% and the California Per Capita Personal Income growth rate was 4.95%.

Based upon these factors, the fiscal year 2026/2027 appropriations limit for the City of Laguna Hills is $56,731,765. The resolution to adopt this limit and the Department of Finance information is attached to this staff report.

The City’s proceeds from tax revenue applicable to this limit are estimated to be $23,478,353, which leaves the City well below the limit.

Item No. 4.3
Fiscal Impact:

There is no direct cost to adopt an appropriations limit. However, there is a limitation on the amount of tax revenue the City can legally spend. As previously mentioned, the City is well below this limit.

Attachments:

1. Resolution - FY 26-27 Appropriations Limit

2. CA Dept. of Finance Price and Population Information

RESOLUTION NO. 2026-05-26-X

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

LAGUNA HILLS, CALIFORNIA, ESTABLISHING THE

APPROPRIATIONS LIMIT (GANN LIMIT) FOR THE CITY OF
LAGUNA HILLS FOR THE FISCAL YEAR 2026/2027
The City Council of the City of Laguna Hills, California, hereby finds, determines, declares, and resolves as follows:

WHEREAS, Government Code Section 7900 provides for the
implementation of Article XIIIB of the California Constitution; and WHEREAS, Government Code Section 7901 through 7913 provides that each year the City Council shall, by resolution, establish its appropriations limit at a regularly scheduled meeting; and
WHEREAS, all documentation used in the determination of the appropriations limit has been available to the public since May 5, 2026, and will continue to be available from the Finance Director of the City of Laguna Hills as required by law; and
WHEREAS, the appropriations limit for the fiscal year 2026/2027 is calculated by adjusting the fiscal year 2025/2026 appropriations limit by the change in the City's population growth and the percentage change in California Per Capita Personal Income as provided by the State of California Department of Finance.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

HILLS, CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE, AND ORDER AS FOLLOWS:

SECTION 1. The appropriations limit for the City of Laguna Hills for fiscal year 2026/2027 is hereby established at $56,731,765, as shown in Exhibit 1, attached hereto. Documentation used in the determination of the appropriations limit is available to the public at the City of Laguna Hills Finance Department, 24035 El Toro Road, Laguna Hills, CA 92653.

Resolution No. 2026-05-26-X

PASSED, APPROVED AND ADOPTED this 26th day of May 2026. ____________________________________

DONALD CASKEY, MAYOR
ATTEST:
______________________________________

KAREN HAMMAN, INTERIM CITY CLERK

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss

CITY OF LAGUNA HILLS )
I, Karen Hamman, Interim City Clerk of the City of Laguna Hills, California, DO HEREBY CERTIFY that the foregoing is a true and correct copy of Resolution No. 2026-05-26-X adopted by the City Council of the City of Laguna Hills, California, at a Regular Meeting thereof held on the 26th day of May 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
(SEAL)
_____________________________________

KAREN HAMMAN, INTERIM CITY CLERK

Resolution No. 2026-05-26-X

EXHIBIT 1

CITY OF LAGUNA HILLS

COMPUTATION OF THE GANN LIMIT
FISCAL YEAR 2026/2027
Gann Limit for Fiscal Year 2025/2026:

City of Laguna Hills $54,541,412
Adjustment factors:

City’s population growth 0.9911
Growth in California Per Capita Personal Income 1.0495
Composite factor 1.04015945
Gann Limit for Fiscal Year 2026/2027 $56,731,765
Appropriations Subject to Limitation
Proceeds of Taxes
Property Tax $14,701,962
Sales Tax 6,634,391
Transient Occupancy Tax 1,480,000
Motor Vehicle In-Lieu Tax 42,000
Interest Earned from Net Invested Taxes 620,000
Total Proceeds of Taxes $23,478,353
Amount Under Appropriations Limit $33,253,412

May 1, 2026
Dear Fiscal Officer:

Price Factor and Population Information
Appropriations Limit
California Revenue and Taxation Code section 2227 requires the Department of Finance to transmit an estimate of the percentage change in population to local governments.

Each local jurisdiction must use their percentage change in population factor for January 1, 2026, in conjunction with a change in the cost of living, or price factor, to calculate their appropriations limit for fiscal year 2026–27. Attachment A provides the change in California’s per capita personal income and an example for utilizing the factors to calculate the 2026–27 appropriations limit. Attachment B provides the city and unincorporated county population percentage change. Attachment C provides the population percentage change for counties and their summed incorporated areas. The population percentage change data excludes federal and state institutionalized populations and military populations.

Population Percent Change for Special Districts
Some special districts must establish an annual appropriations limit. California Revenue and Taxation Code section 2228 provides additional information regarding the appropriations limit. Article XIII B, section 9(C) of the California Constitution exempts certain special districts from the appropriations limit calculation mandate. Special districts required by law to calculate their appropriations limit must present the calculation as part of their annual audit. Any questions special districts have on this requirement should be directed to their county, district legal counsel, or the law itself. No state agency reviews the local appropriations limits.

Population Certification
The population certification program applies only to cities and counties. California Revenue and Taxation Code section 11005.6 mandates Finance to automatically certify any population estimate that exceeds the current certified population with the State Controller’s Office. Finance will certify the higher estimate to the State Controller by June 1, 2026. Please note: The prior year’s city population estimates may be revised.

The per capita personal income change is based on historical data.

If you have any questions regarding this data, please contact the Demographic Research Unit at (916) 323-4086.
/s Erika Li
Attachment

May 2026
Attachment A
A. Price Factor: Article XIII B specifies that local jurisdictions select their cost of living factor to compute their appropriation limit by a vote of their governing body. The cost of living factor provided here is per capita personal income. If the percentage change in per capita personal income is selected, the percentage change to be used in setting the fiscal year 2026–27 appropriation limit is:

Per Capita Personal Income
Fiscal Year Percentage change
(FY) over prior year
2026-27 4.95
B. Following is an example using sample population change and the change in California per capita personal income as growth factors in computing a 2026–27 appropriation limit.
2026–27:

Per Capita Cost of Living Change = 4.95 percent
Population Change = -0.14 percent
Per Capita Cost of Living converted to a ratio: 4.95 + 100 = 1.0495 100
Population converted to a ratio: -0.14 + 100 = 0.9986
100
Calculation of factor for FY 2026–27: 1.0495 x 0.9986 = 1.0480

About the Data
FISCAL YEAR 2026-27
Attachment B
Annual Percent Change in Population Minus Exclusions*
January 1, 2025 to January 1, 2026, and Total Population January 1, 2026 City County
Percent Change
25-26
Population Minus
Exclusions 1-1-25
Population Minus
Exclusions 1-1-26
Total Population 1-1-
26 Aliso Viejo Orange -0.94 50,419 49,945 49,945
Anaheim Orange -0.06 340,565 340,363 340,433
Brea Orange -0.89 48,082 47,656 47,656
Buena Park Orange -0.44 83,219 82,850 82,850
Costa Mesa Orange -0.80 110,313 109,436 109,436
Cypress Orange -0.66 49,826 49,495 49,495
Dana Point Orange -0.83 32,539 32,268 32,268
Fountain Valley Orange -0.30 56,769 56,596 56,596
Fullerton Orange -0.48 140,901 140,224 140,224
Garden Grove Orange -0.34 171,646 171,055 171,077
Huntington Beach Orange -0.67 192,787 191,498 191,498
Irvine Orange 0.03 317,652 317,744 317,744
Laguna Beach Orange -0.48 22,549 22,440 22,440
Laguna Hills Orange -0.89 30,547 30,275 30,275
Laguna Niguel Orange -0.89 65,167 64,590 64,590
Laguna Woods Orange -0.95 17,132 16,970 16,970
La Habra Orange -0.41 61,524 61,269 61,269
Lake Forest Orange -0.56 88,017 87,522 87,522
La Palma Orange -0.92 15,184 15,045 15,045
Los Alamitos Orange -0.66 12,030 11,951 11,951
Mission Viejo Orange -0.90 91,219 90,401 90,401
Newport Beach Orange -0.89 83,041 82,306 82,306
Orange Orange -0.54 141,825 141,063 141,063
Placentia Orange -0.20 53,723 53,613 53,613
Rancho Santa Margarita Orange -0.94 46,657 46,217 46,217 San Clemente Orange -0.79 63,133 62,636 62,636
San Juan Capistrano Orange -0.45 35,491 35,331 35,331
Santa Ana Orange 0.00 312,796 312,808 312,808
Seal Beach Orange -0.85 24,621 24,411 24,496
Stanton Orange 2.01 40,600 41,415 41,415
Tustin Orange -0.60 79,650 79,175 79,175
Villa Park Orange -0.28 5,757 5,741 5,741
Westminster Orange -0.15 90,625 90,490 90,490
Yorba Linda Orange -0.56 66,566 66,190 66,190
Unincorporated Orange -0.18 132,760 132,520 132,530
Incorporated Orange -0.38 3,042,572 3,030,989 3,031,166 County Total Orange -0.37 3,175,332 3,163,509 3,163,696 *Exclusions include residents on federal military installations and group quarters residents in state mental institutions, state and federal correctional institutions and veteran homes.

Item No. 4.4
City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Eric Hendrickson, Finance Director
Issue: Treasurer's Investment Report for April 2026
Recommendation: That the City Council receive and file the Treasurer's Investment Report for the month of April 2026.

Background:

The Treasurer’s Investment Report for the month of April 2026 is submitted herewith.

The City’s total portfolio as of April 30, 2026, was $32,327,488. The pooled cash portfolio managed by the City Treasurer consisted of cash on hand, demand deposits, State Local Agency Investment Fund (LAIF) and Investment Trust of California (CalTRUST) investments and totaled $32,274,698. Restricted cash and investments totaled $52,789, and is composed of fiscal agent funds for Civic Center property management purposes.

Interest income for the month of April was $86,887. Fiscal Year 2025/2026 year-to-date pooled cash interest earnings of $912,176 is 110% of the annual budget of $828,600.

The average yield on the City’s total portfolio for the month of April was 3.71%, compared to the prior month of 3.75%. The slightly declining yield in April, as compared to the past few months, reflects a cautious approach by the Federal Reserve to continue rate cuts given the current status of the economy. The City has budgeted conservatively in its expectation of interest earnings, and has built slight rate reductions into the revenue forecast.

Item No. 4.4
Fiscal Impact:

There is no fiscal impact to receive and file this report.

Attachments:

1. Treasurer's Report April 2026

Pooled Cash & Investments
Current Month
Market Value
Current Month
Book Value
Prior Month
Book Value
Current
Month %
of
Portfolio
Maximum
Policy Limit
Yield to
Maturity for
Month
(Annualized)
BMO Checking & Money Market Accounts 10,240,854 $ 10,240,854 $ 5,650,363 $ 32% 50% 3.52% Petty Cash (City Hall) 500 500 500 0% n/a 0.00%
Fiscal Agent Cash - Employee FSA 10,528 10,528 10,528 0% n/a 0.00% State Local Agency Investment Fund (LAIF) 102,092 102,094 101,103 0% 100% 3.81% Investment Trust of California (CalTRUST) 21,920,722 21,920,722 21,853,196 68% 100% 3.81% 32,274,698 32,274,696 27,615,690 100% 3.72%
Restricted & Designated Cash
Fiscal Agent Cash - Essex Civic Center Mgmt 52,789 52,789 94,213 n/a n/a 0.00% 52,789 52,789 94,213 0.00%
Totals $ 32,327,488 32,327,486 $ 27,709,903 $ 3.71%
For the month of April 2026 $ 86,887
FY 2025-26 to Date 912,176
FY 2025-26 Budget 828,600
Certification:

Eric Hendrickson
Finance Director/Deputy City Treasurer
City of Laguna Hills
Treasurer's Investment Report
April 2026
Pooled Cash & Investment - Interest Earnings
I hereby certify that the above investment report includes all cash and investments of the City and is in conformance with all State laws and the City's investment policy approved by the City Council on October 14, 2025. At the time of the report, there is sufficient liquidity and anticipated revenues available to meet the City's budgeted expenditure requirements for the next six months.

Reconciling items (outstanding checks and deposits in transit):

Pooled Cash & Investments Book Value:

Fund Balance Type
Nonspendable
Assigned
Unassigned
Total
GENERAL FUND RESERVES (as of most recent audited year end 6/30/2025) 284,567
612,572
22,256,720
23,153,859
32,274,698.00
611,159.56
456-000-101456 Claim on Cash - Storm Drain / Slope Repair Reserv - 29,097.04 29,097.04 TOTAL CLAIM ON CASH 4,200,008.57 27,463,529.87 31,663,538.44 454-000-101454 Claim on Cash - Sports Complex Equipment Maint - 66,200.46 66,200.46 455-000-101455 Claim on Cash - Community Center Equipment Ma - 46,761.87 46,761.87 451-000-101451 Claim on Cash - Liability Self-Insurance - 121,174.83 121,174.83 452-000-101452 Claim on Cash - Parks Equipment Maintenance - 309,213.00 309,213.00 401-000-101401 Claim on Cash - Public Art 464,561.10 - 464,561.10 421-000-101421 Claim on Cash - SLESF 163,104.37 4,116.26 167,220.63 312-000-101312 Claim on Cash - CASp Fee 38,658.02 - 38,658.02 322-000-101322 Claim on Cash - Water Conservation 400,601.46 - 400,601.46 307-000-101307 Claim on Cash - C&D Forfeited Deposits - 440,616.11 440,616.11 311-000-101310 Claim on Cash - Quimby Act Park In-Lieu Fee (VALH 1,975,156.40 1,768,148.07 3,743,304.47 305-000-101305 Claim on Cash - Beverage Recycling 21,972.94 - 21,972.94 306-000-101306 Claim on Cash - Waste & Recycling Fee 27,715.59 15,360.17 43,075.76 301-000-101301 Claim on Cash - CARITS Road Fee Program 1,176,616.98 (45,566.16) 1,131,050.82 302-000-101302 Claim on Cash - CDBG Grant (26,509.23) - (26,509.23) 214-000-101214 Claim on Cash - AB 2766 149,213.62 - 149,213.62 221-000-101221 Claim on Cash - Senior Mobility Program 302,750.09 (4,955.91) 297,794.18 211-000-101211 Claim on Cash - Gas Tax (RMRA) 1,649,925.62 68,861.05 1,718,786.67 212-000-101212 Claim on Cash - Measure M2 320,326.06 (55,465.76) 264,860.30

CLAIM ON CASH
100-000-101100 Claim on Cash - General Fund 18,509,350.32 2,230,813.80 20,740,164.12 210-000-101210 Claim on Cash - Gas Tax (HUTA) 1,484,031.55 11,688.72 1,495,720.27 Pooled Cash Report
City of Laguna Hills, CA
For the Period Ending 4/30/2026

BEGINNING

BALANCE

CURRENT

ACTIVITY

CURRENT
BALANCE ACCOUNT # ACCOUNT NAME

Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
May 04, 2026
LAIF Home
PMIA Average Monthly Yields

CITY OF LAGUNA HILLS

CITY MANAGER
24035 EL TORO ROAD
LAGUNA HILLS, CA 92653
Account Number:

April 2026 Statement
Tran Type Definitions
Effective
Date
Transaction
Date
Tran
Type Confirm
Number
Web
Confirm
Number Authorized Caller Amount
4/15/2026 4/14/2026 QRD 1798564 N/A SYSTEM 990.77
Account Summary
Total Deposit: 990.77 Beginning Balance: 101,103.16
Total Withdrawal: 0.00 Ending Balance: 102,093.93

Corporate Class
Invesco Treasury Portfolio
Short-Term Investments Trust
Data as of April 30, 2026
NOT A DEPOSIT | NOT FDIC-INSURED | NOT GUARANTEED BY THE BANK | MAY LOSE VALUE | NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY invesco.com CM-FFTSY-2-E 05/26 Invesco Distributors, Inc.

This report must be accompanied or preceded by a currently effective fund prospectus, which contains more complete information, including fees and expenses. Read it carefully before investing.

The fund pursues its objective by investing primarily in short-term, high-credit-quality money market instruments. These instruments are direct obligations of the US Treasury and repurchase agreements backed by Treasury obligations.

Investment Objective
Provide current income consistent with preservation of capital and liquidity.

Permissible Investments
Fund Highlights
n The portfolio management team follows a conservative investment process with respect to minimal credit risk, interest rate risk and liquidity.
n The fund is designed for short- to medium-term cash investments, operating cash, cash sweeps and the liquidity components of investment portfolios.
n The fund aims to preserve capital, maintain liquidity and produce a competitive yield.

Yields (%)
The performance data quoted represents past performance. Past performance does not guarantee future results and current performance may be lower or higher than the performance data quoted above. The investment return and principal value of your investment will fluctuate so that your shares, when redeemed, may be worth more or less than their original cost. You may obtain performance data current to the most recent month-end by visiting invesco.com. The SEC yield listed reflects fee waivers and/or expense reimbursements in effect for the period. Had the Adviser not waived fees and/or reimbursed expenses, your 7-day SEC yield would have been 3.49%. Average annual total returns reflect reinvested distributions, net of expenses for the periods. The 7-day SEC yield more closely reflects the current earnings of the fund than the total returns shown. 30-day simple and simple monthly yield are the sum of
the distribution rates for the number of days in the yield period annualized by 365 and divided by net asset value (NAV).

This does not constitute a recommendation of any
investment strategy or product for a particular investor. Investors should consult a financial professional before making any investment decisions.

Maturity Schedule (%)

3.52 3.38 3.52 3.38
7-Day SEC 30-Day Simple
as of April 30, 2026 Average Annual Total Returns (%)
Period (%)
as of April 30, 2026
Inception 1.68
10 Years 2.18
5 Years 3.39
3 Years 4.67
1 Year 3.93
Invesco Treasury Portfolio
iMoneyNet U.S. Treasury & Repo Institutional Category1
Portfolio Composition (%) 3
SEC Investment Category (%)
U.S. Treasury Repurchase Agreement 62.9
U.S. Treasury Debt 37.1
Simple Monthly Yields
Period (%)
as of April 30, 2026
April 2026 3.52
March 3.52
February 3.54
January 3.56
December 3.66
November 3.81
October 3.94
September 4.04
August 4.15
July 4.19
June 4.17
May 2025 4.19
g 1-7
g 8-30
g 31-60
g 61-90
g 91-180
g 181+
Maturity schedule is based on weighted average maturity and is subject to change.
g 58.4
g 2.3
g 2.3
g 5.6
g 6.5
g 24.9
Days to
maturity (%)
National Association of Insurance Commissioners (NAIC)
Meets NAIC requirement of a 0% capital reserve for a
purchase by insurance companies.

Management Team
Laurie Brignac, Joe Madrid, Brandon Maitre, Justin Mandeville, Marques Mercier, Wesley Rager, Jennifer Brown, Ripal Tilara, and Bryn Zinser
All data provided by Invesco unless otherwise stated. 1 iMoneyNet, Inc. is an independent mutual fund performance monitor. The U.S. Treasury & Repo Institutional Category is an unmanaged group of money market funds with similar invest- ment objectives and pricing structures as the Corporate Class of the Invesco Treasury Portfolio. iMoneyNet performance figures represent the category average. An investment cannot be made into the category. 2 A credit rating is an assessment provided by Nationally Recognized Statistical Ratings Organization (NRSRO) of the cred- itworthiness of an issuer with respect to debt obligations, includ- ing specific securities, money market instruments or other debts. Fund ratings are subject to change and are based on sev- eral factors, including an analysis of a portfolio's overall credit quality, market price exposure and management. Fund ratings are provided to indicate the creditworthiness of the underlying holdings in the portfolio and offer a forward-looking opinion about fixed income funds' capacity to maintain stable principal (net asset value). The ratings will generally range from AAA (highest) to D (lowest). For more information on rating method- ologies, please visit the following NRSRO websites: www.standar- dandpoors.com and select "Understanding Ratings" under Rating Resources on the homepage; www.moodys.com and select "Rating Methodologies" under Research and Ratings on the homepage; www.fitchratings.com and select "Ratings Definitions" on the homepage.@FSIA_CashDisclosureLeft: 3 Portfolio composition is subject to change. An investment cate- gory listed with "other" in the name indicates that the underly- ing holdings did not fall into the SEC's more narrowly defined investment categories.

You could lose money by investing in the Fund.

Although the Fund seeks to preserve your
investment at $1.00 per share, it cannot
guarantee it will do so. An investment in the
Fund is not a bank account and is not insured or
guaranteed by the Federal Deposit Insurance
Corporation or any other government agency.

The Fund may impose a fee upon the sale of your
shares. The Fund’s sponsor is not required to
reimburse the Fund for losses, and you should
not expect that the sponsor will provide financial
support to the Fund at any time, including during
periods of market stress.

Fund Information
Inception August 01, 2005
CUSIP 825252570

NASDAQ TYCXX
Total Net Assets $41.01 billion
Reflects all classes of the portfolio.

Weighted Average Maturity (WAM) 43 days
Weighted Average Life (WAL) 110 days
SEC Portfolio Liquidity Requirements (%)
1-day 64.47
7-day 96.11
Ratings²
Standard & Poor's AAAm
Moody's Aaa-mf
Fitch Ratings AAAmmf

April 3.811
March 3.826
February 3.871
January 3.931
December 4.025
November 4.096
PMIA Average Life(1): 261
LAIF Fair Value Factor(1): 0.999980831
PMIA Daily(1): 3.82
PMIA Quarter to Date(1): 3.92
LAIF Apportionment Rate(2): 3.98
LAIF Earnings Ratio(2): 0.00010906180047888
LAIF Administrative Cost(1)*: 0.24
Treasuries

56.86%
Agencies

21.79%
Certificates of
Deposit/Bank Notes

10.77%
Time
Deposits

3.31%
Commercial
Paper

6.52%
Corporate
Bonds

0.59%
Loans

0.16%
Notes: The apportionment rate includes interest earned on the CalPERS Supplemental Pension Payment pursuant to Government Code 20825 (c)(1) .
*The percentage of administrative cost equals the total administrative cost divided by the quarterly interest earnings. The law provides that administrative costs are not to exceed 5% of quarterly EARNINGS of the fund. However, if the 13-week Daily Treasury Bill Rate on the last day of the fiscal year is below 1%, then administrative costs shall not exceed 8% of quarterly EARNINGS of the fund for the subsequent fiscal year.

Source:
(1) State of California, Office of the Treasurer
(2) State of California, Office of the Controller
PMIA Average Monthly
Effective Yields(1)
PMIA/LAIF Performance Report
as of 05/06/26
Daily rates are now available here. View PMIA Daily Rates Quarterly Performance
Quarter Ended 03/31/26
Chart does not include $829,000.00 in mortgages, which equates to 0.001%. Percentages may not total 100% due to rounding.

Pooled Money Investment Account
Monthly Portfolio Composition (1)
03/31/26
$165.3 billion

Item No. 4.5
City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Eric Hendrickson, Finance Director
Issue: Ratification of May 26, 2026 Warrant Register
Recommendation: That the City Council ratify the accompanying Warrant Register for the period from May 2, 2026, to May 14, 2026, in the amount of $1,168,222.86.

Background:

The City issues accounts payable disbursements on a regular basis and presents it to the City Council for ratification at its next regularly scheduled City Council Meeting. The attached Warrant Register containing checks and electronic funds transfers for the period from May 2, 2026, to May 14, 2026, is being presented for ratification by the City Council. Payments have been reviewed and approved by the appropriate departmental staff. The Finance Director certifies to the accuracy of the attached register and to the availability of monies for payment thereof.

Fiscal Impact:

Ratification of the accompanying Warrant Register includes disbursements totaling $1,168,222.86.

Attachments:

1. Warrant Register - May 26, 2026

2. Payables Detail Report - May 26, 2026

Total Regular: 151,695.74
5/17/2026 10:43:06 AM Page 1 of 3
6659 T-2639 TURF STAR, INC. 05/07/2026 943.14
6660 W-2337 WEST COAST ARBORISTS, INC. 05/07/2026 41,726.50 6657 S-2334 SEAN TRACY SIMON 05/07/2026 105.00
6658 S-2331 SKYLINE PEST CONTROL 05/07/2026 360.00
6655 G-0874 ROBERTA GEIER 05/07/2026 222.60
6656 Z-CS-0563 SAUL SUAREZ ALMAGUER 05/07/2026 100.00
6653 R-1977 RJ ELECTRIC 05/07/2026 355.00
6654 R-1806 RJM DESIGN GROUP, INC. 05/07/2026 4,971.45
6651 O-1599 ORANGE COUNTY JUMPERS LLC 05/07/2026 1,050.00 6652 P-1856 PARADISE DRINKING WATER 05/07/2026 779.40
6649 S-2333 OMARI C SMITH 05/07/2026 105.00
6650 O-1613 ONTARIO REFRIGERATION SERVICE, INC. 05/07/2026 3,185.43 6647 M-1606 MTM YEE CORP 05/07/2026 400.00
6648 M-1495 MUSCO SPORTS LIGHTING, LLC 05/07/2026 3,932.37 6645 M-1486 MAIN GRAPHICS 05/07/2026 120.75
6646 M-1388 MOBILE MINI, INC. 05/07/2026 341.83
6643 Z-PS-0051 LISA KRATER 05/07/2026 42.00
6644 L-1395 LIVING INTERIORS 05/07/2026 159.00
6641 W-2454 JEFF WESSON INC 05/07/2026 105.00
6642 H-0959 JOHN HABASH 05/07/2026 70.00
6639 J-1057 JAMEY CLARK, INC. 05/07/2026 3,008.54
6640 J-1089 JD DESIGNS 05/07/2026 500.00
6637 Z-CS-0470 GIOVANNA MENDEZ 05/07/2026 500.00
6638 G-0879 GRAYMAR ENVIRONMENTAL SERVICES LLC 05/07/2026 307.80 6635 F-0725 FASTSIGNS OF LAKE FOREST 05/07/2026 627.43
6636 Z-CS-0562 GERALDINE GURALNICK 05/07/2026 100.00
6633 D-0584 DVDCREATIVE 05/07/2026 73,240.00
6634 K-1206 FARROKH MOSHFEGH 05/07/2026 1,932.00
6631 Z-CS-0560 CREATION STATION DANCE 05/07/2026 500.00 6632 Z-CS-0561 DAVE ZEPPONI 05/07/2026 500.00
6629 W-2453 CAROLYN WOJCIECHOWSKI 05/07/2026 850.50
6630 C-0324 CITY OF MISSION VIEJO 05/07/2026 5,855.00
Payment Type: Regular
6627 A-0388 ABTECH TECHNOLOGIES, INC. 05/07/2026 4,200.00 6628 Z-CS-0559 ALI TERRONES 05/07/2026 500.00
Warrant Register - May 26, 2026
City of Laguna Hills, CA By Check Number
Date Range: 05/02/2026 - 05/14/2026
Check Number Vendor Number Vendor Name Payment Date Payment Amount

5/17/2026 10:43:06 AM Page 2 of 3
47 36 0.00 1,168,222.86
Bank Drafts 2 2 0.00 1,016,527.12
EFT's 0 0 0.00 0.00
Manual Checks 0 0 0.00 0.00
Voided Checks 0 0 0.00 0.00
Total Bank Draft: 1,016,527.12
Bank Code 1 - General Summary
Payable
Count
Payment
Payment Type Count Discount Payment
Regular Checks 45 34 0.00 151,695.74
Payment Type: Bank Draft
DFT0003392 C-1007 OCSD LAW ENFORCEMENT CONTRACT, OC TREASURER-TAX 05/07/2026 1,009,219.12 DFT0003393 H-0966 HIGH LEVEL SECURITY SOLUTIONS, INC. 05/07/2026 7,308.00 Warrant Register - May 26, 2026 Date Range: 05/02/2026 - 05/14/2026 Check Number Vendor Number Vendor Name Payment Date Payment Amount

998 Pooled Cash & Investments 5/2026 1,168,222.86
1,168,222.86
5/17/2026 10:43:06 AM Page 3 of 3
47 36 0.00 1,168,222.86
Fund Summary
Fund Name Period Amount
Bank Drafts 2 2 0.00 1,016,527.12
EFT's 0 0 0.00 0.00
Manual Checks 0 0 0.00 0.00
Voided Checks 0 0 0.00 0.00
All Bank Codes Check Summary
Payable
Count
Payment
Payment Type Count Discount Payment
Regular Checks 45 34 0.00 151,695.74
Warrant Register - May 26, 2026 Date Range: 05/02/2026 - 05/14/2026

Amount
5/17/2026 10:46:23 AM Page 1 of 3
05/07/2026 ONTARIO REFRIGERATION SERVICE,
INC.

CM49108 HVAC Repairs, Suite 201, Mar '26 100-355-645500 947.16 05/07/2026 ONTARIO REFRIGERATION SERVICE,
INC.

CM49171 HVAC Repairs, Suite 210, Apr '26 100-355-645500 461.00 05/07/2026 ORANGE COUNTY JUMPERS LLC 95577 Memorial Day Jumpers, 5/24/26 100-310-695507 1,050.00 05/07/2026 ONTARIO REFRIGERATION SERVICE,
INC.

CM49071 HVAC Repairs, Server Room, Mar '26 100-355-645500 1,777.27 05/07/2026 JAMEY CLARK, INC. 77768 Graffiti Removal, Apr '26 100-355-720500 576.00 05/07/2026 MOBILE MINI, INC. 9026047923 Storage Rental, Community Center, 4/23/26-5/20/26
100-310-641000 341.83
05/07/2026 JAMEY CLARK, INC. 77748 Mandeville Park Repairs, Apr '26 100-355-720701 384.00 05/07/2026 JAMEY CLARK, INC. 77749 Veeh Ranch Park Repairs, Apr '26 100-355-720701 553.00 05/07/2026 RJ ELECTRIC 64691 Electric Repairs, Stockport Park, Apr '26
100-355-720701 355.00
05/07/2026 JAMEY CLARK, INC. 77747 Relocate Air Ducts to Conference Rooms, Apr '26
100-355-645500 1,495.54
05/07/2026 MUSCO SPORTS LIGHTING, LLC 452076 Little League Field Light Repair, Apr 100-310-646000 3,932.37 05/07/2026 HIGH LEVEL SECURITY SOLUTIONS,
INC.
6077 Private Security Patrol, 4/20/26 -
5/3/26
100-420-720850 7,308.00
05/07/2026 PARADISE DRINKING WATER 427708 Operating Supplies, 3/26/26 - 100-195-622000 185.40 05/07/2026 PARADISE DRINKING WATER 437998 Operating Supplies, 4/16/26 - 100-195-622000 137.55 05/07/2026 PARADISE DRINKING WATER 401139 Operating Supplies, 2/20/26 - 3/5/26 100-195-622000 232.20 05/07/2026 PARADISE DRINKING WATER 414431 Operating Supplies, 3/6/26 - 3/25/26 100-195-622000 224.25 05/07/2026 WEST COAST ARBORISTS, INC. 242811 Tree Trimming Services, 3/16/26 - 3/31/26
100-355-720702 38,509.50
05/07/2026 SKYLINE PEST CONTROL 384394 Pest and Rodent Control, Apr '26 100-310-645500 360.00 05/07/2026 CITY OF MISSION VIEJO 21623 Homelessness Outreach, Apr '26 100-310-720302 5,855.00 05/07/2026 WEST COAST ARBORISTS, INC. 242809 Tree Trimming Services, 3/16/26 - 3/31/26
100-355-720702 3,217.00
05/07/2026 JD DESIGNS 1937 Traffic Control Plans, Memorial Day Race
100-310-695507 500.00
05/07/2026 FASTSIGNS OF LAKE FOREST 2016-23105 Freedom Wall & America 250 Yard Signs, Apr '26
100-310-695500 627.43
05/07/2026 MTM YEE CORP 12131 Advertising-Program Services, May 100-310-624500 400.00 05/07/2026 MAIN GRAPHICS 168120 Business Cards, Apr '26 100-195-623000 120.75 05/07/2026 SAUL SUAREZ ALMAGUER 104314205 Refund, Facility Deposit, R #103116433
100-000-222000 100.00
05/07/2026 GIOVANNA MENDEZ 104347935 Refund, Facility Deposit, R 100-000-222000 500.00 05/07/2026 ALI TERRONES 104018429 Refund, Facility Deposit, R 100-000-222000 500.00 05/07/2026 DAVE ZEPPONI 104116297 Refund, Facility Deposit, R 100-000-222000 500.00 05/07/2026 JEFF WESSON INC 050726 Adult Basketball League Referee, 4/23/26
100-310-622500 105.00
05/07/2026 GERALDINE GURALNICK 104005942 Refund, Facility Deposit, R #102932294
100-000-222000 100.00
05/07/2026 ROBERTA GEIER 050526 Ballroom Dancing, Apr '26 100-310-721500 222.60 05/07/2026 SEAN TRACY SIMON 050726 Adult Basketball League Referee, 4/23/26
100-310-622500 105.00
05/07/2026 FARROKH MOSHFEGH 050526 Karate, Apr '26 100-310-721500 1,932.00 05/07/2026 CAROLYN WOJCIECHOWSKI 050526 Line Dancing Instruction, Apr '26 100-310-721500 850.50 05/07/2026 OMARI C SMITH 050526 Adult Basketball League Referee, 4/23/26
100-310-622500 105.00
05/07/2026 JOHN HABASH 050526 Clogging Instruction, Apr '26 100-310-721500 70.00 Fund: 100 - General Fund
05/07/2026 GRAYMAR ENVIRONMENTAL

SERVICES LLC
042426FON-OCS Biohazard Cleanup, 4/24/26 100-420-720000 307.80 05/07/2026 CREATION STATION DANCE 050126 Refund, Facility Deposit, R 100-000-222000 500.00 Payables Detail Report
City of Laguna Hills, CA By Fund
Payment Dates 05/02/2026 - 05/14/2026
Payment Date Vendor Name Payable Number Description (Item) Account Number

Amount
Fund 600 - Capital Improvement Projects Fund Total: -
Grand Total: 1,168,222.86
5/17/2026 10:46:23 AM Page 2 of 3
05/07/2026 DVDCREATIVE 423454 El Conejo & Mackenzie Parks, CIP #241, Apr '26
600-000-490311 (23,518.50)
05/07/2026 DVDCREATIVE 423454 El Conejo & Mackenzie Parks, CIP #241, Apr '26
600-252-950241 23,518.50
05/07/2026 DVDCREATIVE 423432 El Conejo & Mackenzie Parks, CIP #241, Mar '26
600-000-490311 (49,721.50)
05/07/2026 DVDCREATIVE 423432 El Conejo & Mackenzie Parks, CIP #241, Mar '26
600-252-950241 49,721.50
05/07/2026 RJM DESIGN GROUP, INC. 37771 Veeh Ranch & San Remo, CIP #241, Mar '26
600-000-490311 (2,974.50)
05/07/2026 RJM DESIGN GROUP, INC. 37771 Veeh Ranch & San Remo, CIP #241, Mar '26
600-252-950241 2,974.50
05/07/2026 RJM DESIGN GROUP, INC. 37770 Cabot Park Rehabilitation, CIP #241, Mar '26
600-000-490311 (1,996.95)
05/07/2026 RJM DESIGN GROUP, INC. 37770 Cabot Park Rehabilitation, CIP #241, Mar '26
600-252-950241 1,996.95
05/07/2026 DVDCREATIVE 423454 El Conejo & Mackenzie Parks, CIP #241, Apr '26
311-000-790600 23,518.50
Fund 311 - Quimby Act Park In-Lieu Fee (VALH) Fund Total: 78,211.45 Fund: 600 - Capital Improvement Projects Fund
05/07/2026 RJM DESIGN GROUP, INC. 37771 Veeh Ranch & San Remo, CIP #241, Mar '26
311-000-790600 2,974.50
05/07/2026 DVDCREATIVE 423432 El Conejo & Mackenzie Parks, CIP #241, Mar '26
311-000-790600 49,721.50
Fund 100 - General Fund Total: 1,090,011.41
Fund: 311 - Quimby Act Park In-Lieu Fee (VALH) Fund
05/07/2026 RJM DESIGN GROUP, INC. 37770 Cabot Park Rehabilitation, CIP #241, Mar '26
311-000-790600 1,996.95
05/07/2026 ABTECH TECHNOLOGIES, INC. W206988-IN Data Storage, 7/1/26 - 12/18/26 100-000-140000 2,100.00 05/07/2026 ABTECH TECHNOLOGIES, INC. W206988-IN Data Storage, 12/19/25 - 6/30/26 100-195-700090 2,100.00 05/07/2026 OCSD LAW ENFORCEMENT

CONTRACT, OC TREASURER-TAX
SH 74112 Law Enforcement Services, May '26 100-420-720800 1,009,219.12 05/07/2026 LIVING INTERIORS T89176 Interior Plantscape Services, Apr '26 100-310-645500 159.00 05/07/2026 TURF STAR, INC. INV151659 Utility Cart Fuel & Battery Repair, Apr '26
100-310-646100 943.14
05/07/2026 LISA KRATER LH010011608 Refund, Citation #LH010011608 100-000-460100 42.00 Payables Detail Report Payment Dates: 05/02/2026 - 05/14/2026 Payment Date Vendor Name Payable Number Description (Item) Account Number

Grand Total: 1,168,222.86
5/17/2026 10:46:23 AM Page 3 of 3
600-252-950241 General Park Renovations 78,211.45
Grand Total: 1,168,222.86
Project Account Summary
Project Account Key Payment Amount
**None** 1,168,222.86
100-420-720850 Private Security Patrol 7,308.00
311-000-790600 Transfers Out to Capital 78,211.45
600-000-490311 Transfers In from Quimby Act (78,211.45) 100-355-720702 Tree Maintenance 41,726.50
100-420-720000 Contract Services 307.80
100-420-720800 Law Enforcement Contract 1,009,219.12
100-355-645500 Facility Maintenance & Repairs 4,680.97
100-355-720500 Graffiti Removal 576.00
100-355-720701 Parks Maintenance & Repairs 1,292.00
100-310-695507 Marathon 5k 1,550.00
100-310-720302 Contract Services - Homelessness 5,855.00 100-310-721500 Contract Services - Programs 3,075.10
100-310-646000 Equipment Maintenance & 3,932.37
100-310-646100 Vehicles - Fuel & Maintenance 943.14
100-310-695500 Special Events - Program Services 627.43 100-310-624500 Printing & Advertising 400.00
100-310-641000 Equipment Rentals & Leases 341.83
100-310-645500 Facility Maintenance & Repairs 519.00
100-195-623000 Printing & Mailing 120.75
100-195-700090 IT Contract Services & Support 2,100.00
100-310-622500 Program & League Supplies 315.00
100-000-222000 Refundable Deposits 2,200.00
100-000-460100 Parking Citations 42.00
100-195-622000 Operating Supplies 779.40
Grand Total: 1,168,222.86
Account Summary
Account Number Account Name Payment Amount
100-000-140000 Prepaid Items 2,100.00
Report Summary
Fund Summary
Fund Payment Amount
100 - General Fund 1,090,011.41
311 - Quimby Act Park In-Lieu Fee (VALH) Fund 78,211.45 600 - Capital Improvement Projects Fund -
Payables Detail Report Payment Dates: 05/02/2026 - 05/14/2026

Item No. 4.6
City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Joe Ames, Assistant City Manager
Issue: Award of a Maintenance Services Agreement for Termite Fumigation Services at the Laguna Hills Civic Center to CDS Services, Inc.

Recommendation: That the City Council: 1. Award a Maintenance Services Agreement for Termite Fumigation Services at the Laguna Hills Civic Center to CDS Services, Inc. in the amount of $86,895; and 2. Authorize the City Manager to sign the Agreement.

Background:

In 2002, the City of Laguna Hills acquired what is now the Laguna Hills Civic Center at 24031-24035 El Toro Road. In late 2004, renovation work to the building was completed. To City staff’s knowledge, since 2004, the Civic Center has never been fumigated for termites. Essex Property Management, the property management company for the Laguna Hills Civic Center, and termite fumigation companies recommend that the Laguna Hills Civic Center be tented and treated for termites with sulfuryl fluoride gas.

At the February 25, 2025, City Council meeting, City Council awarded an agreement in the amount of $109,987 for the termite fumigation of the Civic Center building based on the recommendation of Essex Property Management. Upon further exploration by the termite fumigation company of accessible interior areas, which is typically done in advance of tenting and fumigation, the company could not locate sufficient evidence of termites. Thus, City staff returned to City Council at the April 22, 2025, City Council meeting to recommend termination of the agreement. City Council terminated the agreement. Subsequently, City staff found definitive evidence of termites in the building and obtained the expert opinion of a different termite extermination company, which confirmed the presence of termites. The company concluded the only remedy is

Item No. 4.6
to fumigate the Civic Center building as the infestation likely now extends to inaccessible areas of the building.

In March 2025, City staff prepared formal bid documents and specifications for termite fumigation services. On April 9, 2025, City staff let the bid for termite fumigation services.

Bids were opened on May 4, 2026. One bid was received from CDS Services, Inc. in the amount of $86,895.00. Despite only receiving one bid, City staff recommends the award of a Maintenance Services Agreement for Termite Fumigation Services to CDS Services, Inc. because this bid is $23,092 less than the bid received in 2025. City staff checked the company's references and the references are satisfactory.

If the work is approved by City Council, City staff plans to require the contractor to conduct this work during the period between 5:00 p.m., Friday, July 30, 2026, and 12:00 p.m. (noon), Thursday, August 7, 2026, which is during the City Council summer recess.

City staff plans to set up Classroom A at the Community Center as a remote work area.

In addition, City staff plans to set up a temporary “public counter” to receive citizen inquiries on the second floor of the Community Center, just as the City currently does at the Civic Center. Essex Property Management has already advised the building tenants of the possible work and will notify building tenants of the final work dates so they can make other arrangements.

While City staff would like to conduct the termite fumigation work during the upcoming winter closure, none of the termite fumigation companies can guarantee that roof tiles will not be broken during the tenting placement and removal operations. Therefore, City staff believes it is in the best interest of the City to conduct this work during the non-rainy season.

CEQA Findings:

Environmental review is not required under the California Environmental Quality Act (CEQA) pursuant to the California Code of Regulations, Title 14, Chapter 3, Section 15301 as a Class 1 Categorical Exemption – “Existing Facilities." Fiscal Impact:

The work is estimated to cost $86,895. In addition, the leases with Civic Center tenants

Item No. 4.6
provides that tenants shall have unfettered access to their suites, except for emergency repairs. Because this is not emergency work, rent abatement for the period of one week must be provided at an estimated cost of $15,000. CIP 505 has an available budget of $221,927; therefore, sufficient funding in account 600-255-950505 (Civic Center Improvements) exists to cover the cost of this work. Separately, the Civic Center Enterprise fund has sufficient funding to cover the loss of rent revenue.

Attachments:

1. Termite Fumigation Maintenance Services Agreement

1 1839581.1

TERMITE FUMIGATION MAINTENANCE SERVICES AGREEMENT
CDS Services, Inc.

THIS TERMITE FUMIGATION MAINTENANCE SERVICES AGREEMENT
(hereinafter “Agreement”) is made and entered into, to be effective this 28th day of May 2026, by and between the CITY OF LAGUNA HILLS, a municipal corporation organized and existing under the laws of the State of California (hereinafter referred to as “City”), and CDS Services, Inc., a California Corporation (hereinafter referred to as “Contractor”). City and Contractor are sometimes hereinafter individually referred to as “Party” and are hereinafter collectively referred to as the “Parties.”

RECITALS
A. City has determined that there is a need to retain the services of a qualified and experienced full-service company capable of performing termite abatement fumigation and subsequent wood-destroying pest and organism inspection and maintenance services (the “Project”).

B. In response to City's Notice Inviting Bids and Specifications for Termite Fumigation Maintenance Services, dated March 27, 2026, Contractor has submitted to City a formal written proposal, dated April 30, 2026, to provide full-service termite abatement fumigation and subsequent wood-destroying pest and organism inspection and maintenance services to City for the Project pursuant to the terms and conditions of this Agreement and in accordance with the General Provisions, Special Provisions, and Specifications set forth in the City's Notice Inviting Bids and Specifications for Termite Fumigation Maintenance Services.

C. Contractor represents and maintains that it is uniquely qualified by virtue of its experience, training, education, reputation, labor and equipment, and expertise to provide the requested service termite abatement fumigation and subsequent wood-destroying pest and organism inspection and maintenance services and has agreed to provide such services to City for the Project as provided herein. City does not have the personnel, specialized equipment, or technical expertise able to perform the work and services contracted for herein.

D. City now desires to retain Contractor to provide such work and services for the Project.

NOW, THEREFORE, in consideration of the promises and mutual obligations, covenants, and conditions contained herein, and other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

2 1839581.1

AGREEMENT

1. MAINTENANCE SERVICES

1.1 Scope of Services and Standard of Performance. In compliance with all terms and conditions of this Agreement, Contractor promises and agrees to provide, furnish, and perform service termite abatement fumigation and subsequent wood-destroying pest and organism inspection and maintenance services to City for the Project as set forth in Contractor’s Proposal/Scope of Work, dated April 30, 2026, in accordance with the General Provisions, Special Provisions, and Specifications set forth in the City's Notice Inviting Bids and Specifications for Termite Fumigation Maintenance Services, dated March 27, 2026, which are each attached hereto as Exhibit “A” and Exhibit “B”, respectively, and are incorporated herein by reference (hereinafter referred to as the “Services” or “Work”). As a material inducement to the City entering into this Agreement, Contractor acknowledges and understands that the Services and Work contracted for under this Agreement require specialized skills, equipment, labor, and abilities and that, consistent with this understanding, Contractor’s Services and Work shall be performed in a skillful and competent manner and shall be held to a standard of quality and workmanship prevalent in the industry for such service and work and with the standards recognized as being employed by contractors in the same discipline in the State of California. Contractor represents and warrants that it is skilled in the discipline necessary to perform the Services and Work and that it holds the necessary skills and abilities to satisfy the standard of work as set forth in this Agreement. Contractor represents and warrants that it and all of its employees and subcontractors providing services under this Agreement shall have sufficient skill and experience to perform the Services and Work assigned to them. All Services and Work shall be completed to the reasonable satisfaction of the City.

1.2 Contract Documents. The Agreement between the Parties shall consist of the following: (1) this Agreement; (2) the Contractor’s signed, original Proposal/Scope of Work dated April 30, 2026 (“Contractor’s Proposal”), including the Contractor’s Schedule of Performance and Schedule of Compensation/Fees/Rates and Unit Prices, submitted to City in response to City's Notice Inviting Bids and Specifications for the Project; and, (3) the City’s Notice Inviting Bids and Specifications for Termite Fumigation Maintenance Services, dated March 27, 2026, which shall all be referred to collectively hereinafter as the “Contract Documents.” The Contractor’s Proposal and the City’s Notice Inviting Bids and Specifications for the Project, which are attached hereto as Exhibit “A” and Exhibit “B,” respectively, are hereby incorporated by reference and are made part of this Agreement. All provisions of this Agreement, the Contractor’s Proposal, and the City’s Notice Inviting Bids and Specifications for the Project, shall be binding on the Parties. Should any conflict or inconsistency exist in the Contract Documents, the conflict or inconsistency shall be resolved by applying the provisions in the highest priority document, which shall be determined in the following order of priority: (1st) the terms and conditions of this Agreement; (2nd) the terms, conditions, requirements, and provisions of the City’s Notice Inviting Bids and Specifications for the Project (Exhibit “B”); and (3rd) the provisions of the Contractor’s Proposal (Exhibit “A”).

1.3 Compliance with Law. Contractor shall comply at all times during the term of this Agreement with all applicable federal, state, and local laws, statutes, and ordinances and all lawful orders, rules, and regulations promulgated thereunder, including without limitation all applicable fair labor standards and Cal/OSHA regulations and requirements. Contractor shall keep itself fully informed of and in compliance with all local, state, and federal laws, rules, and regulations in any

3 1839581.1
manner affecting the performance of the Work and Services, including all Cal/OSHA regulations and requirements, and shall give all notices required by law. Contractor shall be liable for all violations of such laws and regulations in connection with performing the Work and Services. If Contractor performs any Work or Services in violation of such laws, rules, and regulations, Contractor shall be solely responsible for all penalties and costs arising therefrom. Contractor shall defend, indemnify, and hold City, its officials, officers, employees, agents and volunteers, free and harmless from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules, or regulations.

1.4 Licenses, Permits, Fees, and Assessments. Prior to performing any Services or Work hereunder, Contractor shall obtain all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its trade and perform the Work and Services required by this Agreement. Contractor represents and warrants to City that Contractor shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement and any extension, any license, permit, qualification, or approval that is legally required for Contractor to perform the Work and Services under this Agreement. Contractor shall have the sole obligation to pay for any fees, assessments, and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Contractor's performance of the Work and Services required by this Agreement, and Contractor shall defend, indemnify, and hold the City, its officials, officers, employees, agents and volunteers, free and harmless from any claim or liability arising out of any failure or alleged failure to obtain such licenses, permits, and approvals of whatever nature that are legally required to perform the Work or Services.

1.5 Familiarity with Work. By executing this Agreement, Contractor represents and warrants that it (a) has thoroughly investigated and considered the Scope of Work or Services to be performed, (b) has carefully considered how the Services should be performed and has carefully examined the location or locations at or with respect to where such Services or Work is to be performed, and (c) fully understands the facilities, difficulties, and restrictions attending performance of the Services under this Agreement. If the Services involve work upon any site, Contractor represents and maintains that Contractor has or will investigate the site and is or will be fully acquainted with the conditions there existing, prior to commencement of any Services hereunder. Should the Contractor discover any latent or unknown conditions that will materially affect the performance of the Services hereunder, Contractor shall immediately inform the City of such fact and shall not proceed except at Contractor's risk until written instructions are received from the City.

1.6 Care of Work. Contractor shall adopt reasonable methods during the term of the Agreement to furnish continuous protection to the Work and the equipment, materials, papers, documents, plans, studies, and/or other components thereof to prevent losses or damages, and shall be responsible for all such damages, to persons or property, until acceptance of the Work by the City, except such losses or damages as may be caused by City's own negligence.

1.7 Further Responsibilities of Parties. Both Parties agree to use reasonable care and diligence to perform their respective obligations under this Agreement. Both Parties agree to act in good faith to execute all instruments, prepare all documents, and take all actions as may be reasonably necessary to carry out the purposes of this Agreement.

4 1839581.1

1.8 Additional Services. City shall have the right at any time during the performance of the Services, without invalidating this Agreement, to order extra work beyond that specified in either Contractor’s Proposal/Scope of Work (Exhibit “A”) or in City's Notice Inviting Bids and Specifications for Termite Fumigation Maintenance Services (Exhibit "B"), or to make changes by altering, adding to, or deducting from such Work. No such extra work may be undertaken unless a written order is first given by the City to the Contractor, incorporating therein any adjustment in the Maximum Contract Amount, as defined below, and/or (ii) the time to perform this Agreement, which adjustments are subject to the written approval of the Contractor. It is expressly understood by Contractor that the provisions of this section shall not apply to the Work and Services specifically set forth in the Contractor’s Proposal/Scope of Work or reasonably contemplated therein, regardless of whether the time or materials required to complete any Work or Services identified in the Contractor’s Proposal/Scope of Work exceeds any time or material amounts or estimates provided therein.

1.9 Prevailing Wages.

1.9.1 Prevailing Wage Laws. The City has determined that the Work and Services under this Agreement requires work of labor categories which are subject to Prevailing Wage Laws identified in the State of California Labor Code. Contractor is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on “public works” and “maintenance” projects. Contractor agrees to fully comply with all applicable federal and state labor laws (including, without limitation, if applicable, the Prevailing Wage Laws). It is agreed by the Parties that, in connection with the Work or Services provided pursuant to this Agreement, Contractor shall bear all risks of payment or non-payment of prevailing wages under California law, and Contractor hereby agrees to defend, indemnify, and hold the City, its elected officials, officers, employees, and agents free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. The foregoing indemnity shall survive termination of this Agreement.

1.9.2 Labor Code/DIR Compliance. Contractor understands and agrees to comply with the following California Labor Code compliance conditions [Labor Code Sections 1720 et seq., 1813, 1860, 1861, 3700]:
(A) This Agreement is subject to the provisions of Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code relating to public works and the awarding public agency (“City”) and Contractor agree to be bound by all the provisions thereof as though set forth in full herein.
(B) Contractor shall be registered with the Department of Industrial Relations (“DIR”) in accordance with California Labor Code Section 1725.5 and has provided proof of registration to City prior to the Effective Date of this Agreement. (C) Contractor agrees to comply with the provisions of California Labor Code Sections 1771, 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The applicable prevailing wage determination(s)

5 1839581.1
may be obtained at (http://www.dir.ca.qov/OPRUDPreWaqeDetermination.htm), are on file with City, and are available to any interested party upon request. A copy of said rates shall be posted at each job site during the Term of this Agreement.
(D) Pursuant to California Labor Code Section 1771.4, Contractor’s services are subject to compliance monitoring and enforcement by the Department of Industrial Relations.

Contractor shall post job site notices as prescribed by DIR regulations and furnish the records specified in California Labor Code Section 1776 directly to the Labor Commissioner in the manner prescribed by California Labor Code Section 1771.4(a)(3) and (c)(2). (E) Contractor shall comply with the provisions of California Labor Code Section 1776 which, among other things, require Contractor and each subcontractor to (1) keep accurate payroll records, (2) certify and make such payroll records available for inspection as provided by Section 1776, and (3) inform the City of the location of the records. The Contractor is responsible for compliance with Section 1776 by itself and all of its subcontractors. (F) Contractor shall comply with the provisions of California Labor Code Section 1777.5 concerning the employment of apprentices on public works projects, and further agrees that Contractor is responsible for compliance with Section 1777.5 by itself and all of its subcontractors. (G) Eight (8) hours of labor shall constitute a legal day’s work for all workmen employed in the execution of this Agreement, and the Contractor and any subcontractor shall comply with and be governed by the laws of the State of California having to do with working hours set forth in Division 2, Part 7, Chapter 1, Article 3 of the California Labor Code. Contractor shall comply with the provisions of California Labor Code Section 1813 concerning penalties for workers who work excess hours. Contractor shall, as a penalty to the City, forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by the Contractor or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the California Labor Code. (See, e.g., Cal. Labor Code §1815.)
(H) Pursuant to California Labor Code Sections 1860 and 3700, Contractor will be required to secure the payment of compensation to its employees. By signing this Agreement, Contractor hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this Agreement.”
(I) Pursuant to California Labor Code Section 1771.1, Contractor and any subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the California Public Contract Code, or engage in the performance of any contract for public work on a public works project unless registered with the DIR and qualified to perform

6 1839581.1
public work pursuant to California Labor Code Section 1725.2. It is not a violation of California Labor Code Section 1771.1 for an unregistered contractor to submit a bid that is authorized by California Business and Professions Code Section 7029.1 or by California Public Contract Code Section 10164 or 20103.5, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded. Contractor shall not perform any work under this Agreement with any subcontractor who is ineligible to perform work on the public works project pursuant to Section 1777.1 or 1777.7 of the California Labor Code.

1.10 Water Quality Management and Compliance.

1.10.1 Storm Water Management. Storm, surface, nuisance, or other waters may be encountered at various times during performance of the Services or Work. Contractor hereby acknowledges that it has investigated the risk arising from such waters, has prepared its bid or proposal accordingly, and assumes any and all risks and liabilities associated with and arising therefrom.

1.10.2 Compliance with Water Quality Laws, Ordinances, and Regulations.

Contractor shall keep itself and any subcontractors, staff, agents, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by, the performance of the Services or Work, including, without limitation, all applicable provisions of: the City’s ordinances regulating discharges of storm water; the Federal Water Pollution Control Act (33 U.S.C. § 1251 et seq.); the California Porter-Cologne Water Quality Control Act (Cal. Water Code § 1300 et seq.); and any and all regulations, policies, or permits issued pursuant to any such authority. Contractor shall additionally comply with the lawful requirements of the City, and any other municipality, drainage district, or other local or state agency having jurisdiction over the location where the Services or Work are to be performed, conducted, or provided, regarding discharges of storm water to separate storm drain systems or other watercourses, including applicable requirements in municipal storm water management programs.

1.10.3 Compliance with DAMP and LIP. In addition to compliance with the laws, ordinances, and regulations listed in subsection 1.10.2, Contractor shall comply with all applicable requirements of the Orange County Drainage Area Management Plan (“DAMP”), the City of Laguna Hills Local Implementation Plan (“LIP”), and the applicable Water Quality Management Plan (“WQMP”). Such documents contain the Model Maintenance Procedures with Best Management Practices (“BMPs”). These Model Maintenance Procedures contain pollution prevention and source control techniques to minimize the impact of those activities upon dryweather urban runoff, storm water runoff, and receiving water quality. Contractor hereby acknowledges and agrees to be familiar with the DAMP, the LIP, and the WQMP, and agrees to comply with the requirements specified therein.

1.10.4 Standard of Care. Contractor represents and warrants that all employees and subcontractors performing any Services or Work hereunder shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations, and policies described in Sections 1.10.2 and 1.10.3 of this Agreement. Contractor further represents and warrants that it, its employees and subcontractors will receive appropriate training regarding the requirements of the laws, regulations, and policies described in subsections

1.10.2 and 1.10.3 of this Agreement as they may relate to the Services.

7 1839581.1

1.10.5 Liability for Water Quality Non-Compliance.
(A) Indemnity: Failure to comply with laws, regulations, and ordinances listed in subsections 1.10.2 and 1.10.3 of this Agreement is a violation of federal and state law.

Notwithstanding any other indemnity contained in this Agreement, Contractor agrees to indemnify and hold harmless the City, its elected and appointed officials, officers, agents, employees and authorized volunteers from and against any and all claims, demands, losses or liabilities of any kind or nature which the City, its elected and appointed officials, officers, agents, employees and authorized volunteers may sustain or incur for noncompliance with the laws, regulations, and ordinances listed in subsections 1.10.2 and 1.10.3 of this Agreement arising out of or in connection with the Services, except for liability resulting from the sole negligence, willful misconduct or active negligence of the City, its elected and appointed officials, officers, agents, employees or authorized volunteers.
(B) Defense: City reserves the right to defend any enforcement action or civil action brought against the City for Contractor’s failure to comply with any applicable water quality law, regulation, or policy. Contractor hereby agrees to be bound by, and to reimburse the City for the costs associated with, any settlement reached between the City and the relevant enforcement entity.
(C) Damages: City may seek damages from Contractor for delay in completing the Services caused by Contractor’s failure to comply with the laws, regulations, and policies described in subsections 1.10.2 and 1.10.3 of this Agreement, or any other relevant water quality law, regulation, or policy.

1.11 Intentionally omitted.

1.12 Non-Exclusive Agreement. Contractor acknowledges that City may enter into agreements with other contractors, consultants, or vendors for services similar to the services that are the subject of this Agreement. Contractor further acknowledges that City may have its own employees perform services similar to the services that are the subject of this Agreement.

1.13 Unauthorized Aliens. Contractor hereby represents and warrants that it will 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 any Work and/or Services under this Agreement, and should any liability or sanctions be imposed against City for such use of unauthorized aliens, Contractor hereby agrees to reimburse City for any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards, settlements, damages, demands, orders, or penalties which arise out of or are related to such employment, together with any and all costs, including attorneys' fees, incurred by City.

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2. COMPENSATION

2.1 Maximum Contract Amount. For the Services and Work rendered pursuant to this Agreement, Contractor shall be compensated by City in accordance with the Schedule of Compensation/Fees/Rates and Unit Prices set forth in Contractor’s Proposal/Scope of Work, but not exceeding the total maximum contract amount of: Eighty Six Thousand Eight Hundred Ninety Five Dollars ($86,895.00) for the Term of the Agreement (hereinafter referred to as the "Maximum Contract Amount"). Compensation shall be payable according to the fees and at the rates, charges and unit prices set forth in Exhibit “A” attached hereto. The Maximum Contract Amount shall include the attendance of Contractor at all Project meetings deemed reasonably necessary by the City. Contractor shall not be entitled to any increase in the Maximum Contract Amount for attending these meetings. The maximum amount of City’s payment obligation under this Agreement is the amount specified in this section.

2.2. Method of Payment. Unless some other method of payment is specified in the Contractor’s Proposal/Scope of Work (Exhibit “A”), in any month in which Contractor wishes to receive payment, no later than the 10th working day of such month, Contractor shall submit to the City, in a form approved by the City’s Finance Director, an invoice for services rendered prior to the date of the invoice. Such requests shall be based upon the amount and value of the Work or Services performed by Contractor and accompanied by such reporting data including an itemized breakdown of all costs incurred and tasks performed during the period covered by the invoice, as may be required by the City. City shall use reasonable efforts to make payments to Contractor within forty-five (45) days after receipt of the invoice or a soon thereafter as is reasonably practical.

2.3 Reserved

2.4 Changes in Scope. In the event any change or changes in the Scope of Work or Services is requested by the City, the Parties shall execute a written amendment to this Agreement, setting forth with particularity all terms of such amendment, including, but not limited to, any additional fees for services. An amendment may be entered into: (a) to provide for revisions or modifications to documents or other work product or work when documents or other work product or work is required by the enactment or revision of law subsequent to the preparation of any documents, other work product, or work; and/or (b) to provide for additional work or services not included in this Agreement or not customarily furnished in accordance with generally accepted practice in Contractor’s profession.

2.5 Appropriations. This Agreement is subject to and contingent upon funds being appropriated therefore by the Laguna Hills City Council for each fiscal year covered by the term of this Agreement. If such appropriations are not made, this Agreement shall automatically terminate without penalty to the City.

3. SCHEDULE OF PERFORMANCE

3.1 Time of Essence. Time is of the essence in the performance of this Agreement. The time for completion of the services to be performed by Contractor is an essential condition of this Agreement. Contractor shall prosecute regularly and diligently the Work of this Agreement

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according to the agreed upon Schedule of Performance set forth in Contractor's Proposal/Scope of Work (Exhibit “A”).

3.2 Schedule of Performance. Contractor shall commence the Services pursuant to this Agreement upon receipt of a written notice to proceed and shall perform all Services or Work within the time period(s) established in the Schedule of Performance set forth in Contractor's Proposal (Exhibit “A”). When requested by Contractor, extensions to the time period(s) specified in the Schedule of Performance may be approved in writing by the Contract Officer; however, the City shall not be obligated to grant such an extension.

3.3 Term. Unless earlier terminated as provided elsewhere in this Agreement, this Agreement shall commence upon the effective date of this Agreement and shall continue in full force and effect for a period of three (3) years, commencing on July 1, 2026 and ending on June 30, 2029.

3.4 Force Majeure. The time period(s) specified in the Schedule of Performance for performance of the Services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of the Contractor (financial inability excepted), including, but not limited to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, pandemics, quarantine restrictions, riots, strikes, freight embargoes, wars, and/or acts of any governmental agency, including the City, if Contractor, within ten (10) days of the commencement of such delay, notifies the City Manager in writing of the causes of the delay. The City Manager shall ascertain the facts and the extent of delay, and extend the time for performing the Services for the period of the enforced delay when and if in the judgment of the City Manager such delay is justified. The City Manager's determination shall be final and conclusive upon the Parties to this Agreement. In no event shall Contractor be entitled to recover damages against the City for any delay in the performance of this Agreement, however caused, Contractor's sole remedy being extension of the Agreement pursuant to this section.

3.5 Intentionally omitted.

4. COORDINATION OF WORK

4.1 Representative of Contractor. The following principal of Contractor is hereby designated as being the principal and representative of Contractor authorized to act in its behalf with respect to the Services to be performed under this Agreement and to make all decisions in connection therewith: X. It is expressly understood that the experience, knowledge, education, capability, expertise, and reputation of the foregoing principal is a substantial inducement for City to enter into this Agreement. Therefore, the foregoing principal shall be responsible during the term of this Agreement for directing all activities of Contractor and devoting sufficient time to personally supervise the Work or Services performed hereunder. The foregoing principal may not be changed by Contractor without prior written approval of the Contract Officer.

4.2 Contract Officer. The Contract Officer shall be such person as may be designated by the City Manager of City, and is subject to change by the City Manager. It shall be the Contractor’s responsibility to ensure that the Contract Officer is kept fully informed of the progress

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of the performance of the Services, and the Contractor shall refer any decisions which must be made by City to the Contract Officer. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Contract Officer. The Contract Officer shall have authority to sign all documents on behalf of the City required hereunder to carry out the terms of this Agreement.

4.3 Prohibition Against Subcontracting or Assignments. The experience, knowledge, capability, expertise, and reputation of Contractor, its principals and employees, were a substantial inducement for City to enter into this Agreement. Therefore, Contractor shall not assign the performance of this Agreement, nor any part thereof, nor any monies due hereunder, voluntarily or by operation of law, without the prior written consent of City. Contractor shall not contract with any other entity to perform the Services required without prior written consent of City. If Contractor is permitted to subcontract any part of this Agreement by City, Contractor shall be responsible to City for the acts and omissions of its subcontractor(s) in the same manner as it is for persons directly employed. Nothing contained in this Agreement shall create any contractual relationships between any subcontractor and City. All persons engaged in the Work will be considered employees of Contractor. City will deal directly with and will make all payments to Contractor. In addition, neither this Agreement nor any interest herein may be transferred, assigned, conveyed, hypothecated, or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written consent of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent (25%) of the present ownership and/or control of Contractor, taking all transfers into account on a cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be void. No approved transfer shall release Contractor or any surety of Contractor from any liability hereunder without the express written consent of City.

4.4 Independent Contractor.

4.4.1. The legal relationship between the Parties is that of an independent contractor, and nothing herein shall be deemed to make Contractor a City employee. During the performance of this Agreement, Contractor and its officers, employees, and agents shall act in an independent capacity and shall not act as City officers or employees. Contractor will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. 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 of its officials, officers, employees, agents and volunteers shall have control over the conduct of Contractor or any of its officers, employees, or agents, except as set forth in this Agreement.

Contractor, its officers, employees, or agents shall not maintain a permanent office or fixed business location at City’s offices. City shall have no voice in the selection, discharge, supervision, or control of Contractor’s officers, employees, representatives or agents, or in fixing their number, compensation, or hours of service. Contractor shall pay all wages, salaries, and other amounts due its employees in connection with the performance of Services under this Agreement and shall be responsible for all reports and obligations respecting them, including but not limited to social security income tax withholding, unemployment compensation, workers’ compensation, and other similar matters. City shall not in any way or for any purpose be deemed to be a partner of Contractor in its business or otherwise a joint venturer or a member of any joint enterprise with Contractor.

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4.4.2. Contractor shall not incur or have the power to incur any debt, obligation, or liability against City, or bind City in any manner.

4.4.3. No City benefits shall be available to Contractor, its officers, employees, or agents in connection with the performance of any Work or Services under this Agreement. Except for fees paid to Contractor as provided for in this Agreement, City shall not pay salaries, wages, or other compensation to Contractor for the performance of any Work or Services under this Agreement. City shall not be liable for compensation or indemnification to Contractor, its officers, employees, or agents, for injury or sickness arising out of performing any services hereunder. If for any reason any court or governmental agency determines that the City has financial obligations, other than pursuant to Section 2 and Subsection 1.8 herein, of any nature relating to salary, taxes, or benefits of Contractor’s officers, employees, representatives, subcontractors, or agents, Contractor shall defend, indemnify, and hold harmless City from and against all such financial obligations.

4.5 PERS Eligibility Indemnification.

4.5.1 In the event that Contractor or any employee, agent, or subcontractor of Contractor providing any Work or Services under this Agreement claims or is determined by a court of competent jurisdiction or the California Public Employee Retirement System (PERS) to be eligible for enrollment in PERS as an employee of the City, Contractor shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Contractor or its employees, agents or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of the City.

4.5.2 Notwithstanding any other agency, state or federal policy, rule, regulation, law or ordinance to the contrary, Contractor and any of its employees, agents, and subcontractors providing any Work or Services under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in PERS as an employee of City and entitlement to any contribution to be paid by City for employer contribution and/or employee contributions for PERS benefits.

5. INSURANCE

5.1 Compliance with Insurance Requirements. Contractor shall obtain, maintain, and keep in full force and effect during the term of this Agreement, at its sole cost and expense, and in a form and content satisfactory to City, all insurance required under this section. Contractor shall not commence any Work or Services under this Agreement unless and until it has provided evidence satisfactory to City that it has secured all insurance required under this section. If Contractor’s existing insurance policies do not meet the insurance requirements set forth herein, Contractor agrees to amend, supplement or endorse the policies to do so.

5.2 Types of Insurance Required. As a condition precedent to the effectiveness of this Agreement, and without limiting the indemnity provisions set forth in this Agreement, Contractor shall obtain and maintain in full force and effect during the term of this Agreement, including any extension thereof, the following policies of insurance:

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5.2.1 Commercial General Liability Insurance. Contractor shall obtain and maintain, in full force and effect throughout the term of this Agreement, a policy of Commercial General Liability Insurance written on an occurrence basis with limits of at least one million dollars ($1,000,000.00) per occurrence, two million dollars ($2,000,000.00) in the general aggregate, and one million dollars ($1,000,000.00) for products and completed operations. Defense costs shall be paid in addition to the limits. The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; or (3) contain any other exclusion contrary to the Agreement.

5.2.2 Automobile Liability Insurance. Contractor shall obtain and maintain, in full force and effect throughout the term of this Agreement, a policy of Automobile Liability Insurance written on a per occurrence basis with limits of at least one million dollars ($1,000,000.00) combined limit for each occurrence covering bodily injury and property damage. The policy shall specifically include coverage for owned, non-owned, leased, and hired automobiles.

5.2.3 Workers’ Compensation Insurance. Contractor shall obtain and maintain, in full force and effect throughout the term of this Agreement, a policy of Workers’ Compensation Insurance in at least the minimum statutory amounts, and in compliance with all other statutory requirements, as required by the State of California. Contractor agrees to waive and obtain endorsements from its workers’ compensation insurer waiving all subrogation rights under its workers’ compensation insurance policy against the City, its officials, officers, employees, agents and volunteers, and to require each of its subconsultants and subcontractors, if any, to do likewise under their workers’ compensation insurance policies. Contractor shall obtain and maintain, in full force and effect throughout the term of this Agreement, a policy of Employer’s Liability Insurance written on a per occurrence basis with limits of at least one million dollars ($1,000,000.00) per accident for bodily injury or disease.

5.3 Acceptability of Insurers. Insurance required by this section shall be issued by a licensed company authorized to transact business in the state by the Department of Insurance for the State of California with a current rating of A-:VII or better (if an admitted carrier), or a current rating of A:X or better (if offered by a non-admitted insurer listed on the State of California List of Approved Surplus Lines Insurers (LASLI), by the latest edition of A.M. Best’s Key Rating Guide, except that the City will accept workers’ compensation insurance from the State Compensation Fund. In the event the City determines that the Work or Services to be performed under this Agreement creates an increased or decreased risk of loss to the City, the Contractor agrees that the minimum limits of the insurance policies may be changed accordingly upon receipt of written notice from the City. Contractor shall immediately substitute any insurer whose A.M. Best rating drops below the levels specified herein.

5.4 Insurance Endorsements. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for written approval. Required insurance policies shall contain the following provisions, or Contractor shall provide endorsements on forms approved by the City to add the following provisions to the insurance policies:

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5.4.1 The policy or policies of insurance required by this section for Commercial General Liability and Automobile Liability Insurance shall be endorsed to provide the following:
(A) Additional Insured: The City, its officials, officers, employees, agents and volunteers, shall be additional insureds with regard to liability and defense of suits or claims arising out of the performance of the Agreement; and
(B) Additional Insured Endorsements: Additional insured endorsements shall not (1) be restricted to “ongoing operations”, (2) exclude “contractual liability”, (3) restrict coverage to “sole” liability of Contractor, or (4) contain any other exclusions contrary to the Agreement; and, the coverage shall contain no special limitations on the scope of protection afforded to additional insureds.
(C) Notice: The policy or policies of insurance required by this section for Commercial General Liability and Automobile Liability Insurance shall be endorsed to state that coverage shall not be suspended, voided, cancelled, or modified, or reduced in coverage or in limits, except after thirty (30) days prior written notice by First Class U.S. Mail, postage-prepaid, has been provided to the City. Notwithstanding the foregoing, if coverage is to be suspended, voided, or cancelled because of Consultant’s failure to pay the insurance premium, the notice provided to City shall be by ten (10) days prior written notice.

5.4.2 For all policies of Commercial General Liability Insurance, Contractor shall provide endorsements for ongoing operations and completed operations to effectuate this requirement.

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

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

5.7 Waiver of Subrogation. All policies of Commercial General Liability and Automobile Liability Insurance shall contain or be endorsed to waive subrogation against the City, its officials, officers, employees, agents and volunteers, or shall specifically allow Contractor or others providing insurance evidence in compliance with the requirements set forth in this section to waive their right to recovery prior to a loss. Contractor hereby agrees to waive its own right of recovery against the City, its officials, officers, employees, agents and volunteers, and Contractor hereby agrees to require similar written express waivers and insurance clauses from each of its subconsultants or subcontractors.

5.8 Evidence of Coverage. Concurrently with the execution of the Agreement, Contractor shall deliver certificates of insurance together with original endorsements affecting each

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of the insurance policies required by this section. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for written approval. The certificates of insurance and original endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15) days prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or reduced and not replaced immediately so as to avoid a lapse in the required coverage, Contractor shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies. Contractor shall promptly furnish, at City’s request, copies of actual policies including all declaration pages, endorsements, exclusions and any other policy documents City requires to verify coverage.

5.9 Requirements Not Limiting. Requirement of specific coverage or minimum limits contained in this section are not intended as a limitation on coverage, limits, or other requirements, or a waiver of any coverage normally provided by any insurance. Nothing in this section shall be construed as limiting in any way the indemnification provision contained in this Agreement, or the extent to which Contractor may be held responsible for payments of damages to persons or property.

5.10 Enforcement of Agreement (Non-Estoppel). Contractor acknowledges and agrees that actual or alleged failure on the part of the City to inform Contractor of any non-compliance with any of the insurance requirements set forth in this section imposes no additional obligation on the City nor does it waive any rights hereunder.

5.11 Insurance for Subconsultants. Contractor shall either: (1) include all subconsultants or subcontractors engaged in any Work or Services for Contractor relating to this Agreement as additional named insureds under the Contractor’s insurance policies; or (2) Contractor shall be responsible for causing its subconsultants or subcontractors to procure and maintain the appropriate insurance in compliance with the terms of the insurance requirements set forth in this section, including adding the City, its officials, officers, employees, agents and volunteers, as additional insureds to their respective policies. All policies of Commercial General Liability Insurance provided by Contractor’s subconsultants or subcontractors performing any Work or Services related to this Agreement shall be endorsed to name the City, its officials, officers, employees, agents and volunteers, as additional insureds. Contractor shall not allow any subconsultant or subcontractor to commence any Work or Services relating to this Agreement unless and until it has provided evidence satisfactory to City that the subconsultant or subcontractor has secured all insurance required under this section.

5.12 Other Insurance Requirements. The following terms and conditions shall apply to the insurance policies required of Contractor pursuant to this Agreement:

5.12.1 Contractor shall provide immediate written notice to City if (1) any of the insurance policies required herein are terminated, cancelled or suspended, (2) the limits of any of the insurance coverages required herein are reduced, or (3) the deductible or self-insured retention is increased.

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5.12.2 All insurance coverage and limits provided by Contractor and available or applicable to this Agreement are intended to apply to each insured, including additional insureds, against whom a claim is made or suit is brought to the full extent of the policies. Nothing contained in this Agreement or any other agreement relating to the City or its operations shall limit the application of such insurance coverage.

5.12.3 None of the insurance coverages required herein will be in compliance with the requirements of this section if they include any limiting endorsement which substantially impairs the coverages set forth herein (e.g., elimination of contractual liability or reduction of discovery period), unless the endorsement has first been submitted to the City and approved in writing.

5.12.4 Certificates of insurance will not be accepted in lieu of required endorsements, and submittal of certificates without required endorsements may delay commencement of the Project. It is Contractor’s obligation to ensure timely compliance with all insurance submittal requirements as provided herein.

5.12.5 Contractor agrees to ensure that subconsultants and subcontractors, if any, and any other parties involved with the Project who are brought onto or involved in the Project by Contractor, provide the same minimum insurance coverage required of Contractor. 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. Contractor agrees that upon request, all agreements with subcontractors and others engaged in the Project will be submitted to the City for review.

5.12.6 Contractor agrees to provide immediate written notice to City of any claim, demand or loss against Contractor arising out of the Work or Services performed under this Agreement and for any other claim, demand or loss which may reduce the insurance available to pay claims, demands or losses arising out of this Agreement.

6. INDEMNIFICATION
To the fullest extent permitted by law, Contractor shall defend (at Contractor’s sole cost and expense with legal counsel reasonably acceptable to City), indemnify, protect, and hold harmless City, its elected and appointed officials, officers, employees, agents and volunteers (collectively the “Indemnified Parties”), from and against any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards, settlements, damages, demands, orders, penalties, and expenses including legal costs and attorney fees (collectively “Claims”), including but not limited to Claims arising from injuries to or death of persons (Contractor’s employees included), for damage to property, including property owned by City, or from any violation of any federal, state, or local law or ordinance, which Claims arise out of, pertain to, or are related to Contractor’s performance under this Agreement. Under no circumstances shall the insurance requirements and limits set forth in this Agreement be construed to limit Contractor’s indemnification obligation or other liability hereunder. Notwithstanding the foregoing, such obligation to defend, hold harmless, and indemnify the City, its elected and appointed officials, officers, employees, agents, and volunteers, shall not apply to such claims or liabilities arising from the sole or active negligence or willful misconduct of City.

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7. REPORTS AND RECORDS

7.1 Accounting Records. Contractor shall keep complete, accurate, and detailed accounts of all time, costs, expenses, and expenditures pertaining in any way to this Agreement.

Contractor shall keep such books and records as shall be necessary to properly perform the Services required by this Agreement and to enable the Contract Officer to evaluate the performance of such Services. The Contract Officer shall have full and free access to such books and records at all reasonable times, including the right to inspect, copy, audit, and make records and transcripts from such records.

7.2 Reports. Contractor shall periodically prepare and submit to the Contract Officer such reports concerning the performance of the Services required by this Agreement as the Contract Officer shall require. Contractor hereby acknowledges that the City is greatly concerned about the cost of the Work and Services to be performed pursuant to this Agreement. For this reason, Contractor agrees that if Contractor becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the Work or Services contemplated herein or, if Contractor is providing design services, the cost of the project being designed, Contractor shall promptly notify the Contract Officer of such fact, circumstance, technique, or event and the estimated increased or decreased cost related thereto and, if Contractor is providing design services, the estimated increased or decreased cost estimate for the project being designed.

7.3 Ownership of Documents. All drawings, specifications, reports, records, documents, memoranda, correspondence, computations, and other materials prepared by Contractor, its employees, subconsultants, subcontractors, and agents in the performance of this Agreement shall be the property of City and shall be promptly delivered to City upon request of the Contract Officer or upon the termination of this Agreement, and Contractor shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership of the documents and materials hereunder. Contractor may retain copies of such documents for its own use. Contractor shall have an unrestricted right to use the concepts embodied therein. Contractor shall ensure that all of its subcontractors shall provide for assignment to City of any documents or materials prepared by them, and in the event Contractor fails to secure such assignment, Contractor shall indemnify City for all damages resulting therefrom.

7.4 Release of Documents. All drawings, specifications, reports, records, documents, and other materials prepared by Contractor in the performance of services under this Agreement shall not be released publicly without the prior written approval of the Contract Officer. All information gained by Contractor in the performance of this Agreement shall be considered confidential and shall not be released by Contractor without City’s prior written authorization.

7.5 Audit and Inspection of Records. After receipt of reasonable notice and during the regular business hours of City, Contractor shall provide City, or other agents of City, such access to Contractor’s books, records, payroll documents, and facilities as City deems necessary to examine, copy, audit, and inspect all accounting books, records, work data, documents, and activities directly related to Contractor’s performance under this Agreement. Contractor shall maintain such books, records, data, and documents in accordance with generally accepted accounting principles and shall clearly identify and make such items readily accessible to such parties during the term of this Agreement and for a period of three (3) years from the date of final payment by City hereunder.

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8. ENFORCEMENT OF AGREEMENT

8.1 California Law and Venue. This Agreement shall be construed and interpreted both as to validity and as to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim, or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Orange, State of California, or any other appropriate court in such County, and Contractor covenants and agrees to submit to the personal jurisdiction of such court in the event of such action.

8.2 Interpretation. This Agreement shall be construed as a whole according to its fair language and common meaning to achieve the objectives and purposes of the Parties. The terms of this Agreement are contractual and the result of negotiation between the Parties. Accordingly, any rule of construction of contracts (including, without limitation, California Civil Code Section 1654) that ambiguities are to be construed against the drafting party, shall not be employed in the interpretation of this Agreement. The caption headings of the various sections and paragraphs of this Agreement are for convenience and identification purposes only and shall not be deemed to limit, expand, or define the contents of the respective sections or paragraphs.

8.3 Termination. City may terminate this Agreement for any reason, with or without cause, upon giving Contractor thirty (30) days written notice. Upon such notice, City shall pay Contractor for Services performed through the date of termination. Upon receipt of such notice, Contractor shall immediately cease all work under this Agreement, unless the notice provides otherwise. Thereafter, Contractor shall have no further claims against the City under this Agreement.

Upon termination of the Agreement pursuant to this section, Contractor shall submit to the City an invoice for work and services performed prior to the date of termination.

8.4 Default of Contractor.

8.4.1. Contractor’s failure to comply with any provision of this Agreement shall constitute a default.

8.4.2. If the City Manager, or the City Manager’s designee, determines that Contractor is in default in the performance of any of the terms or conditions of this Agreement, he/she shall notify Contractor in writing of such default. Contractor shall have ten (10) days, or such longer period as City may designate, to cure the default by rendering satisfactory performance.

In the event Contractor fails to cure its default within such period of time, City shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement without further notice and without prejudice of any remedy to which City may be entitled at law, in equity, or under this Agreement. Contractor shall be liable for any and all reasonable costs incurred by City as a result of such default. Compliance with the provisions of this section shall not constitute a waiver of any City right to take legal action in the event that the dispute is not cured, provided that nothing herein shall limit City’s right to terminate this Agreement without cause pursuant to Section 8.3.

8.4.3. If termination is due to the failure of the Contractor to fulfill its obligations under this Agreement, City may, after compliance with the provisions of Section 8.4.2, take over the work and prosecute the same to completion by contract or otherwise, and the Contractor shall be liable to the extent that the total cost for completion of the Services required hereunder exceeds

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the Maximum Contract Amount (provided that the City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to the Contractor for the purpose of set-off or partial payment of the amounts owed the City as previously stated. The withholding or failure to withhold payments to Contractor shall not limit Contractor’s liability for completion of the Services as provided herein.

8.5 Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the Party against whom enforcement of a waiver is sought. Any waiver by the Parties of any default or breach of any covenant, condition, or term contained in this Agreement, shall not be construed to be a waiver of any subsequent or other default or breach, nor shall failure by the Parties to require exact, full, and complete compliance with any of the covenants, conditions, or terms contained in this Agreement be construed as changing the terms of this Agreement in any manner or preventing the Parties from enforcing the full provisions hereof.

8.6 Rights and Remedies Cumulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the Parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

8.7 Legal Action. In addition to any other rights or remedies, either Party may take legal action, in law or in equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement.

8.8 Attorneys’ Fees. In the event any dispute between the Parties with respect to this Agreement results in litigation or any non-judicial proceeding, the prevailing Party shall be entitled, in addition to such other relief as may be granted, to recover from the non-prevailing Party all reasonable costs and expenses, including but not limited to reasonable attorneys’ fees, expert witness fees, court costs and all fees, costs, and expenses incurred in any appeal or in collection of any judgment entered in such proceeding. To the extent authorized by law, in the event of a dismissal by the plaintiff or petitioner of the litigation or non-judicial proceeding within thirty (30) days of the date set for trial or hearing, the other Party shall be deemed to be the prevailing Party in such litigation or proceeding.

9. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION

9.1 Non-liability of City Officers and Employees. No officer or employee of the City shall be personally liable to the Contractor, or any successor-in-interest, in the event of any default or breach by the City or for any amount which may become due to the Contractor or to its successor, or for breach of any obligation of the terms of this Agreement.

9.2 Conflict of Interest. No officer or employee of the City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which effects his or her financial interest or the financial interest of any corporation, partnership, or association in which they are, directly or indirectly,

19 1839581.1
interested in violation of any state statute or regulation. Contractor represents and warrants that it has not paid or given and will not pay or give any third party any money or other consideration in exchange for obtaining this Agreement.

9.3 Covenant Against Discrimination. In connection with its performance under this Agreement, Contractor shall not discriminate against any employee or applicant for employment because of race, disability, medical condition, religion, color, sex, sexual orientation, age, marital status, ancestry, or national origin. Contractor shall ensure that applicants are employed, and that employees are treated during their employment, without regard to their race, disability, medical condition, religion, color, sex, sexual orientation, age, marital status, ancestry, or national origin.

Such actions shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship.

10. MISCELLANEOUS PROVISIONS

10.1 Notices. All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered, sent by registered or certified mail, postage prepaid, return receipt requested, or delivered or sent by facsimile with attached evidence of completed transmission, and shall be deemed received upon the earlier of (i) the date of delivery to the address of the person to receive such notice if delivered personally or by messenger or overnight courier; (ii) five (5) business days after the date of posting by the United States Post Office if by mail; or (iii) when sent if given by facsimile. Notices or other communications shall be addressed as follows:

To City: City of Laguna Hills
Attention: City Manager
24035 El Toro Road
Laguna Hills, California 92653
Telephone: (949) 707-2600
Facsimile: (949) 707-2633
To Contractor : CDS Services, Inc.

Attention: David Poplin, CEO
39520 Murrieta Hot Springs Road #219-210
Murrieta, CA 92563
Telephone: (951) 219-6588

10.2 Entire Agreement. This Agreement constitutes the entire agreement between the Parties and supersedes all prior negotiations, arrangements, agreements, representations, and understandings, if any, made by or among the Parties with respect to the subject matter hereof. No amendments or other modifications of this Agreement shall be binding unless executed in writing by both Parties hereto, or their respective successors, assigns, or grantees.

10.3 Severability. Whenever possible, each provision of this Agreement shall be interpreted in such a manner as to be effective and valid under applicable law, but if any provision of this Agreement shall be determined to be invalid by a final judgment or decree of a court of competent jurisdiction, such provision shall be ineffective only to the extent of such prohibition or

20 1839581.1
invalidity, without invalidating the reminder of that provision, or the remaining provisions of this Agreement unless the invalid provision is so material that its invalidity deprives either Party of the basic benefit of their bargain or renders this Agreement meaningless.

10.4 Successors in Interest. This Agreement shall be binding upon and inure to the benefit of the Parties’ successors and assignees.

10.5 Third Party Beneficiary. Nothing contained in this Agreement is intended to confer, nor shall this Agreement be construed as conferring, any rights, including, without limitation, any rights as a third-party beneficiary or otherwise, upon any entity or person not a party hereto.

10.6 Recitals. The above-referenced Recitals are hereby incorporated into the Agreement as though fully set forth herein and each Party acknowledges and agrees that such Party is bound, for purposes of this Agreement, by the same.

10.7. Corporate Authority. Each of the undersigned represents and warrants that (i) the Party for which he/she is executing this Agreement is duly authorized and existing, (ii) he/she is duly authorized to execute and deliver this Agreement on behalf of the Party for which he/she is signing, (iii) by so executing this Agreement, the Party for which he/she is signing is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other Agreement to which the Party for which he/she is signing is bound.

10.8 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.
[SIGNATURES ON NEXT PAGE]

21 1839581.1
IN WITNESS WHEREOF, the Parties have executed and entered into this Agreement as of the date first written above.
“CITY”

CITY OF LAGUNA HILLS,
a California municipal corporation

BOB WINGENROTH,
City Manager
ATTEST:

KAREN HAMMAN,
Interim City Clerk
APPROVED AS TO FORM:

COLIN BURNS,
City Attorney
“CONTRACTOR”
CDS SERVICES, INC., a California
Corporation
By:

David Poplin,
Chief Executive Officer
By: .

Joseph Castaneda,
President

22 1839581.1
EXHIBIT “A”

CONTRACTOR'S PROPOSAL/ SCOPE OF WORK
DATED: April 30, 2026

SCOPE OF SERVICES FOR PROJECT

INCLUDING,

SCHEDULE OF PERFORMANCE
AND

SCHEDULE OF COMPENSATION/ FEES/ RATES/ & UNIT PRICES

23 1839581.1
EXHIBIT “B”

CITY OF LAGUNA HILLS

NOTICE INVITING BIDS AND SPECIFICATIONS
FOR

TERMITE FUMIGATION MAINTENANCE SERVICES
DATED: MARCH 27, 2026

CITY OF LAGUNA HILLS

CALIFORNIA

NOTICE INVITING BIDS AND SPECIFICATIONS
FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER
DATE OF BID SPECIFICATIONS: MARCH 27, 2026
Notice Inviting Bids Issued: March 30, 2026
Optional Inspection Opportunity: April 23, 2026 at 10:00 a.m.

Bid Opening: May 4, 2026 at 3:00 p.m.

Proposed Contract Award: May 12, 2026
Fumigation Work Dates: Between 5:00 p.m. on July 31,
2026 and 12:00 p.m. (Noon) on
August 7, 2026

CITY OF LAGUNA HILLS
24035 EL TORO ROAD
LAGUNA HILLS, CA 92653
(949) 707-2651

CITY OF LAGUNA HILLS

CALIFORNIA

NOTICE INVITING BIDS AND SPECIFICATIONS
FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER
Prepared under the Supervision of and Approved by:

March 27, 2026
Joseph Ames, City Engineer Date
R.C.E. No. 66999
Expires 9/30/2024

i

CITY OF LAGUNA HILLS

TABLE OF CONTENTS
FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER
NOTICE INVITING SEALED BIDS NB-1
INSTRUCTIONS TO BIDDERS IB-1
GENERAL PROVISIONS GP-1 – GP-9

PROPOSAL DOCUMENTS
Proposal P-1
Proposer’s Information P-4
Proposer’s References P-5
Non-Collusion Affidavit P-6
Proposal Bid Sheets P-7
SPECIAL PROVISIONS SP-1 – SP-10

DRAFT TERMITE FUMIGATION MAINTENANCE SERVICES

AGREEMENT APPENDIX I

FLOOR PLANS APPENDIX II

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CITY OF LAGUNA HILLS

NOTICE INVITING SEALED BIDS FOR

TERMITE FUMIGATION MAINTENANCE SERVICES
NOTICE IS HEREBY GIVEN that sealed bids will be received by the City of Laguna Hills, as AGENCY, for furnishing all materials, equipment, tools, labor, and incidentals as required for the above stated Project in strict accordance with this Notice Inviting Bids, Specifications and Termite Fumigation Maintenance Services Agreement on file in the City Clerk’s Department of the City of Laguna Hills.

Bids will be received by the City Clerk at the City of Laguna Hills until 3:00 pm on the 4th day of May 2026, at which time and place the bids will be publicly opened and read aloud.

Bids shall be submitted in sealed envelopes marked on the outside, “SEALED BID FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE LAGUNA HILLS CIVIC CENTER - DO NOT OPEN WITH REGULAR MAIL.” The determination of the lowest bid value shall be based upon a comparison of the Base Bid only.

NON-MANDATORY SITE INSPECTION OPPORTUNITY: Bidders shall be offered the opportunity to inspect the Laguna Hills Civic Center on Thursday, April 23, 2026 at 10:00 a.m. Meet in the Lobby of the Civic Center. Site Address: 24031 El Toro Road, Laguna Hills, California 92653. A City Staff Member will direct and/or escort the Bidders around the Civic Center. Bidders are encouraged to participate in the site inspection opportunity as no changes conditions claims shall be accepted.

The City seeks to retain the services of a qualified and experienced company/Proposer capable of performing the work of termite fumigation at the Laguna Hills Civic Center (the “Project”) in accordance with a Base Bid and/or any combination of Alternate Bids.

The Agency reserves the right, after opening bids, to reject any or all bids and will procure the services for Project consistent with the City’s procurement regulations, procedures, and best qualified vendor selection criteria set forth in Sections 3-08.090 and 3-08.100 of the Laguna Hills Municipal Code (LHMC), respectively, as determined solely by the City; to waive any informality in the bidding; to accept any bid or portion thereof; and to take all bids under advisement for a period of ninety (90) days. Bids will be compared on the basis of the Engineer’s estimate of the quantities of the several items of work as shown on the bid sheets. A full and complete copy of Sections 3-08.090 and 3-08.100 of the LHMC is provided within the Instructions for Bidders section of this document. To facilitate the City’s determination of the Best Qualified Vendor, Bidder shall provide up to ten pages

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of additional information about their unique qualifications meeting the City’s needs for this Project as a part of the submission of their Bid Proposal. The City may, at its discretion, after the opening of the Bids, schedule interviews of the lowest Bidders as a part of its determination of the Best Qualified Vendor. Bidders shall be notified of a schedule of interviews and shall participate upon an invitation issued by the City.

At the time of award of the proposed Termite Fumigation Maintenance Services Agreement, the Proposer shall possess and maintain: (1) Company Registration, (2) Field Representative, and (3) Operator licenses from the California Department of Consumer Affairs, Structural Pest Control Board. The City requires either the State Compensation Insurance Fund or a carrier rated B+ or above for Workers’ Compensation Insurance.

The selected company/Proposer shall enter into the City's Termite Fumigation Maintenance Services Agreement, which includes the following provision regarding Prevailing Wages: “The City has determined that the Work and Services under this Agreement requires work of labor categories which are subject to Prevailing Wage Laws identified in the State of California Labor Code. Proposer is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on “public works” and “maintenance” projects. Proposer agrees to fully comply with all applicable federal and state labor laws (including, without limitation, if applicable, the Prevailing Wage Laws). It is agreed by the Parties that, in connection with the Work or Services provided pursuant to this Agreement, Proposer shall bear all risks of payment or non-payment of prevailing wages under California law, and Proposer hereby agrees to defend, indemnify, and hold the City, its elected officials, officers, employees, and agents free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. The foregoing indemnity shall survive termination of this Agreement.”
Except for any work or services that are considered to be cleaning, custodial, and janitorial in nature, the City has determined that the work or services contemplated herein are Public Works as defined in the State of California Labor Code, therefore such work or services shall be subject to compliance monitoring and enforcement by the Department of Industrial Relations (DIR). The prevailing wages applicable to this procurement are available on the DIR web page at www.dir.ca.gov. It is the Bidders’ sole responsibility to incorporate the cost of complying with all prevailing wage and labor compliance requirements and all applicable laws for this Project. The successful Bidder and its subProposers of any tier, if any, shall maintain active registration with DIR, as appropriate, for the duration of this Project. Additional Prevailing Wage requirements are set forth in more detail as terms and conditions in the attached (see Appendix I) Sample Draft Termite Fumigation Maintenance Services Agreement, which is subject to change upon final.

Complete sets of Specifications may be obtained on the City’s website at www.lagunahillsca.gov. You may obtain information regarding the Bid and plan holder’s list by accessing the City’s website at “www.lagunahillsca.gov”, clicking on “Doing Business, Bid Opportunities, CIP/RFP,” then clicking on the specific job in which you are

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interested. You may also access the website after the bid date to obtain information regarding the award of bid.

Dated this ____ day of March 2026. CITY OF LAGUNA HILLS, CALIFORNIA ______________________________

KAREN HAMMAN

INTERIM CITY CLERK
24035 El Toro Road
Laguna Hills, CA 92653

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CITY OF LAGUNA HILLS

INSTRUCTIONS TO BIDDERS
FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER

1. BID PROPOSAL FORMS
Bid Proposal(s) shall be submitted in writing on the Bid Proposal forms provided by the City. All information requested therein must be clearly and legibly set forth in the manner and form indicated. The City will not consider any submission not meeting these requirements. Bid Proposals shall consist of a Base Bid and Alternate Bids.

2. NON-COLLUSION AFFIDAVIT
Proposer shall declare that the only persons or parties interested in the proposal as principals are those named therein; that no officer, agent, or employee of the City is personally interested, directly or indirectly, in the proposal; that the proposal is made without connection to any other individual, firm, or corporation making a bid for the same work; and that the Bid Proposal is in all respects fair and without collusion or fraud. The Non-Collusion Affidavit shall be executed and submitted with the proposal.

3. PROPOSAL BID SHEET
Proposers shall give unit prices for each and all of the items set forth. No aggregate proposal(s) will be considered. The Proposer shall set forth for each item of work, in clearly legible figures, a unit item price and a total for the item in the respective spaces provided for this purpose. The quantities listed in the Bid sheets are supplied to give an indication of the general scope of work, but the accuracy of figures is not guaranteed and may change over the duration of the Project. Proposer shall make its own estimates as to the extent of the work. In case of a variation between the unit price and the totals shown by the Proposer, the unit price will be considered to be the bid.

4. DELIVERY OF BID PROPOSAL
Bid Proposals may be mailed or delivered by messenger. However, it is the Proposer’s sole responsibility to ensure delivery of the proposal to the hands of the City Clerk by the date and time required in the Notice Inviting Sealed Bids.

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Sealed bids or proposals shall be submitted to the office of the City Clerk or requesting city department and shall be identified as formal competitive bids or proposals on the outside of the sealed envelope. The City Clerk or requesting city department head shall store all sealed bids in a secure location until opening. The City Clerk or requesting City department head shall open all bids or proposals in public at the time and place stated in the notice inviting bids. A tabulation of all bids or proposals received shall be open for public review and inspection in the office of the City Clerk or requesting city department during regular business hours for a period of not less than thirty (30) calendar days after the bid opening.

5. IRREGULAR BID PROPOSALS
Unauthorized conditions, limitations, or provisions attached to a Bid Proposal will render it irregular and may cause its rejection. The completed Bid Proposal forms shall be without interlineations, alterations, or erasures. Alternative proposals will not be considered unless specifically requested. No oral, telegraphic, or telephonic proposal, modification, or withdrawal will be considered.

6. TAXES
No mention shall be made in the proposal of Sales Tax, Use Tax, or any other tax, as all amounts bid will be deemed and held to include any such taxes which may be applicable.

7. DISQUALIFICATION OF PROPOSERS
In the event that any Proposer acting as a prime Proposer has an interest in more than one proposal, all such proposals will be rejected, and the Proposer will be disqualified. This restriction does not apply to subProposers or suppliers who may submit quotations to more than one. No Agreement will be executed unless the Proposer is licensed in accordance with the provisions of the State Business and Professions Code.

8. INTERPRETATION OF DOCUMENTS
If any person/company/corporation contemplates submission of a Bid Proposal for the proposed Project and is in doubt as to the true meaning of any part of the specifications or other proposed documents, or finds discrepancies in, or omissions from the specifications, they may submit to the City a written request for an interpretation or correction thereof. The person submitting the request will be responsible for its prompt delivery. Any interpretation or correction of the proposed documents shall be made only by addendum duly issued and copy of such addendum will be mailed or delivered to each person receiving a set of such documents. The City will not be responsible for any other explanation or interpretations of the proposed documents. Proposer shall field review the site of

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the Project and completely familiarize themselves with all of the work necessary to complete the Project as described in the Specifications.

9. ADDENDA OR BULLETINS
The effect of all addenda to the Documents shall be considered in the Bid Proposal, and said addenda shall be made a part of these documents and shall be returned with them. Before submitting its Bid Proposal, each Proposer shall inform themselves as to whether or not any addenda have been issued, and failure to cover in this bid any such addenda issued, may render its bid irregular and may result in its rejection by the City.

10. LEGAL RESPONSIBILITIES
All Bid Proposals must be submitted, filed, made, and executed in accordance with State and Federal laws relating to Bid Proposal(s) for contracts of this nature whether the same are expressly referred to herein or not.

Any Proposer submitting a Bid Proposal shall by such action thereby acknowledge they have visited the full limits and extent of the work site and agree to each and all of the terms, conditions, provisions, and requirements set forth, contemplated, and referred to in the Notice Inviting Bids, Specifications and Sample Draft Termite Fumigation Maintenance Services Agreement, which is subject to change upon final, and to full compliance therewith.

11. AWARD OF TERMITE FUMIGATION MAINTENANCE SERVICES

AGREEMENT
Following a review of the Bid Proposal(s), the City shall determine whether to select a qualified Proposer for the Project based upon multiple criteria described herein. The determination of the lowest bid value shall be based upon a comparison of the Base Bid only. However, the City shall determine whether to award the proposed Sample Draft Termite Fumigation Maintenance Services Agreement, which is subject to change upon final, for the Base Bid and/or any combination of Alternate Bids to the Best Qualified Vendor in accordance with all of the following provisions of the LHMC.
“3-08.090 Procurement of goods and supplies, equipment, materials, and nonprofessional services – Greater than fifty thousand dollars ($50,000.00) – Formal
The procurement of goods and supplies, equipment, materials, and nonprofessional services with an estimated value of greater than fifty thousand dollars ($50,000.00), inclusive of taxes, licenses, freight charges,

IB-4
installation charges, fees, and other considerations, shall be made by the formal procedures set forth in this section.

A. Notice Inviting Bids. Notices inviting formal bids or proposals from prospective vendors shall be publicly noticed no later than ten calendar days before the submission date for formal bids. The notices shall describe the requested goods or supplies, equipment, materials, or nonprofessional services in general terms, how to obtain more detailed information concerning the procurement, and state the time, place, and deadline for submission of sealed bids or proposals.

B. Public Notice. The notice inviting formal bids or proposals shall be publicly noticed in any generally accepted manner, which includes on the city’s official website. In addition, such notice may also include trade publications when practicable.

C. Bid Opening Procedure. Sealed bids or proposals shall be submitted to the office of the City Clerk or requesting city department and shall be identified as formal competitive bids or proposals on the outside of the sealed envelope. The City Clerk or requesting city department head shall store all sealed bids in a secure location until opening. The City Clerk or requesting city department head shall open all bids or proposals in public at the time and place stated in the notice inviting bids. A tabulation of all bids or proposals received shall be open for public review and inspection in the office of the City Clerk or requesting city department during regular business hours for a period of not less than thirty (30) calendar days after the bid opening.

D. Rejection of Bids. The City Council or the Purchasing Officer shall have the discretion to reject any and all bids or proposals for any reason or for no reason, and may suspend, delay, or otherwise cancel the procurement, or may order the re-advertisement of the request for bids. If all formal bids or proposals are rejected and the City Council resolves by a recorded majority vote of the total membership of the City Council that the procurement can be performed more economically by force account, by informal procedures, or through open market purchases, then it may dispense with further formal competitive public bidding.

E. Tie Bids. If two or more formal bids or proposals received are the same and are the lowest, the City Council may accept the one it chooses.

F. Award of Contracts. Contracts or purchase orders shall be awarded by the City Council to the lowest Bidder or proposer consistent with the best qualified vendor selection criteria set forth in Section 3-08.100, except as otherwise provided herein. The decision of the City Council shall be final.

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The City Council may authorize that such purchase orders or contracts be executed by either the Mayor or the City Manager, or the City Council may otherwise delegate such signature authority.

G. No Bids Received. If no bids or proposals are received, the purchase may be let in the open market or by the informal procedures set forth in Section 3-08.080, subject to City Council approval.

H. Performance Bonds. The Purchasing Officer shall have authority to recommend that a performance bond or other form of security or guarantee be required before entering into a contract in such amount as may be reasonably necessary to protect the best interests of the city. If a performance bond or other form of security or guarantee is required, the form and amount of the bond, security or guarantee shall be described in the notice inviting bids, and the performance bond, security or guarantee shall be in a form approved by the City Attorney.

I. Defects, Irregularities, and Informalities. The City Council may, in its sole discretion, waive any defect, irregularity, or informality in the formal bids or proposals or in the competitive procedures established in this section, and no such defect, irregularity, or informality shall void any contract entered into by the city.
3-08.100 Best qualified vendor.

In determining the best qualified vendor, consideration is to be given to price, quality, and performance of the goods and supplies, equipment, or materials to be purchased or nonprofessional services to be provided by the vendor. Criteria for determining the best qualified vendor shall include but not be limited to the following:

A. The cost and quality of the goods and supplies, equipment, materials, or nonprofessional services;
B. The ability, capacity, and skill of the vendor to perform the contract and to provide the goods and supplies, equipment, materials, or nonprofessional services requested;
C. The ability of the vendor to provide the goods and supplies, equipment, materials, or nonprofessional services requested promptly or within the time specified, without delay, interference, or service interruption; D. The ability of the vendor to demonstrate the attributes of trustworthiness, quality, fitness, capacity, and experience to satisfactorily perform;

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E. The character, integrity, reputation, judgment, references, experience, and efficiency of the vendor;
F. The quality of vendor’s performance history and record on previous purchases or contracts with the city;
G. The ability of the vendor to provide future maintenance, repair parts, and services for the use of the goods and supplies, equipment, or materials purchased; and
H. The ability of the vendor to demonstrate its prior, current, and continued compliance during the contract term with all applicable federal, state, and local laws, statutes, ordinances and all lawful orders, rules, and regulations promulgated thereunder.”
To facilitate the City’s determination of the Best Qualified Vendor, Bidder shall provide additional information about their unique qualifications meeting the City’s needs for this Project as a part of the submission of their Bid Proposal. The City may, at its discretion, after the opening of the Bids, schedule interviews of the lowest Bidders as a part of its determination of the Best Qualified Vendor. Bidders shall be notified of a schedule of interviews and shall participate upon an invitation issued by the City.

At the time of award of the proposed Sample Termite Fumigation Maintenance Services Agreement, which is subject to change upon final, the selected Bidder shall hold a Proposer’s License or a combination of licenses, as appropriate to perform the work, issued by the State of California. Additionally, the City reserves the right to accept any bid or portion thereof, to waive any irregularity, and to take the Bid Proposal(s) under advisement for the period of time of ninety (90) days all as may be required to provide for the best interests of the City. In no event will an award be made until all necessary investigations are made as to the responsibility and qualifications of the Proposer to whom the award is contemplated. No Proposer may withdraw its Bid Proposal for a period of ninety (90) days after the time set for opening thereof. Proposer shall be required to agree to the terms of the attached (see Appendix I) Sample Draft Termite Fumigation Maintenance Services Agreement, which is subject to change upon final.

12. WORKERS’ COMPENSATION CERTIFICATE
Section 3700 of the State Labor Code requires that every employer shall secure the payment compensation by either being insured against liability to pay compensation with one or more insurers or by securing a certificate of consent to self-insure from the State Director of Industrial Relations. In accordance with this Section and with Section 1861 of the State Labor Code, the Proposer shall sign a

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Compensation Insurance Certificate which is included with the attached Sample Draft Termite Fumigation Maintenance Services Agreement, which is subject to change upon final, and submit same to City along with the other required contract documents, prior to performing any work. Reimbursement for this requirement shall be considered as included in the various items of work.

13. NON-MANDATORY SITE INSPECTION OPPORTUNITY:

Bidders shall be offered the opportunity to inspect the Laguna Hills Civic Center on Thursday, April 23, 2026, at 10:00 a.m. Meet in the Lobby of the Civic Center.

Site Address: 24031 El Toro Road, Laguna Hills, California 92653. A City Staff Member will direct and/or escort the Bidders around the Civic Center. Bidders are encouraged to participate in the site inspection opportunity as no changes conditions claims shall be accepted.

14. WORK SCHEDULE & LIQUIDATED DAMAGES
The Proposer shall perform termite abatement services (tenting) after the close of the Civic Center’s business hours on Friday, July 31, 2026, at 5:00 p.m., and termite abatement services shall be completed prior to Friday, August 7, 2026 at 12:00 p.m., local time.

LIQUIDATED DAMAGES for delays shall be assessed at $3,000 per hour, whole or part of an hour, for any work not completed by Friday, August 7, 2026 at 12:00 p.m., including clearance work.
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CITY OF LAGUNA HILLS

GENERAL PROVISIONS
FOR

TERMITE FUMIGATION MAINTENANCE SERVICES

1. AGREEMENT
The selected company/Proposer, by submitting their bid, is agreeing to enter into the proposed Sample Draft Termite Fumigation Maintenance Services Agreement (hereinafter “Agreement”), which is subject to change upon final. The Sample Draft Termite Fumigation Maintenance Services Agreement is attached (see Appendix I).

2. CONFLICTS
In case of any conflict between the Notice Inviting Bids, these Specifications and the Agreement, the Agreement shall take precedence.

3. BASE BID AND ALTERNATE BIDS
Bids shall be compared on the basis of the Base Bid only for the determination of the lowest responsive Bidder. The Agency shall have the authority to select a company/Proposer to enter into the Agreement to provide services on the basis of the Base Bid and/or any combination of Alternative Bids, if any, and in accordance with the “best qualified vendor selection criteria” as described herein.

4. AWARD OF TERMITE FUMIGATION MAINTENANCE SERVICES AGREEMENT – BEST QUALIFIED VENDOR SELECTION CRITERIA
Following a review of the Bid Proposal(s), the City shall determine whether to select a qualified Proposer for the Project based upon multiple criteria described herein. The determination of the lowest bid value shall be based upon a comparison of the Base Bid only. However, the City shall determine whether to award the proposed Sample Draft Termite Fumigation Maintenance Services Agreement, which is subject to change upon final, for the Base Bid and/or any combination of Alternate Bids, if any, to the best qualified vendor in accordance with all of the following provisions of the LHMC.
“3-08.090 Procurement of goods and supplies, equipment, materials, and nonprofessional services – Greater than fifty thousand dollars ($50,000.00) – Formal
The procurement of goods and supplies, equipment, materials, and nonprofessional services with an estimated value of greater than fifty thousand dollars ($50,000.00), inclusive of taxes, licenses, freight charges, installation

GP-2
charges, fees, and other considerations, shall be made by the formal procedures set forth in this section.

A. Notice Inviting Bids. Notices inviting formal bids or proposals from prospective vendors shall be publicly noticed no later than ten calendar days before the submission date for formal bids. The notices shall describe the requested goods or supplies, equipment, materials, or nonprofessional services in general terms, how to obtain more detailed information concerning the procurement, and state the time, place, and deadline for submission of sealed bids or proposals.

B. Public Notice. The notice inviting formal bids or proposals shall be publicly noticed in any generally accepted manner, which includes on the city’s official website. In addition, such notice may also include trade publications when practicable.

C. Bid Opening Procedure. Sealed bids or proposals shall be submitted to the office of the City Clerk or requesting city department and shall be identified as formal competitive bids or proposals on the outside of the sealed envelope. The City Clerk or requesting city department head shall store all sealed bids in a secure location until opening. The City Clerk or requesting City department head shall open all bids or proposals in public at the time and place stated in the notice inviting bids. A tabulation of all bids or proposals received shall be open for public review and inspection in the office of the City Clerk or requesting City department during regular business hours for a period of not less than thirty (30) calendar days after the bid opening.

D. Rejection of Bids. The City Council or the Purchasing Officer shall have the discretion to reject any and all bids or proposals for any reason or for no reason, and may suspend, delay, or otherwise cancel the procurement, or may order the re-advertisement of the request for bids. If all formal bids or proposals are rejected and the City Council resolves by a recorded majority vote of the total membership of the City Council that the procurement can be performed more economically by force account, by informal procedures, or through open market purchases, then it may dispense with further formal competitive public bidding.

E. Tie Bids. If two or more formal bids or proposals received are the same and are the lowest, the City Council may accept the one it chooses.

F. Award of Contracts. Contracts or purchase orders shall be awarded by the City Council to the lowest Bidder or proposer consistent with the best qualified vendor selection criteria set forth in Section 3-08.100, except as otherwise provided herein. The decision of the City Council shall be final. The City Council may authorize that such purchase orders or contracts be executed by either the Mayor or the City Manager, or the City Council may otherwise delegate such signature authority.

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G. No Bids Received. If no bids or proposals are received, the purchase may be let in the open market or by the informal procedures set forth in Section 3-08.080, subject to City Council approval.

H. Performance Bonds. The Purchasing Officer shall have authority to recommend that a performance bond or other form of security or guarantee be required before entering into a contract in such amount as may be reasonably necessary to protect the best interests of the city. If a performance bond or other form of security or guarantee is required, the form and amount of the bond, security or guarantee shall be described in the notice inviting bids, and the performance bond, security or guarantee shall be in a form approved by the City Attorney.

I. Defects, Irregularities, and Informalities. The City Council may, in its sole discretion, waive any defect, irregularity, or informality in the formal bids or proposals or in the competitive procedures established in this section, and no such defect, irregularity, or informality shall void any contract entered into by the city. 3-08.100 Best qualified vendor.

In determining the best qualified vendor, consideration is to be given to price, quality, and performance of the goods and supplies, equipment, or materials to be purchased or nonprofessional services to be provided by the vendor. Criteria for determining the best qualified vendor shall include but not be limited to the following:

A. The cost and quality of the goods and supplies, equipment, materials, or nonprofessional services;
B. The ability, capacity, and skill of the vendor to perform the contract and to provide the goods and supplies, equipment, materials, or nonprofessional services requested;
C. The ability of the vendor to provide the goods and supplies, equipment, materials, or nonprofessional services requested promptly or within the time specified, without delay, interference, or service interruption; D. The ability of the vendor to demonstrate the attributes of trustworthiness, quality, fitness, capacity, and experience to satisfactorily perform; E. The character, integrity, reputation, judgment, references, experience, and efficiency of the vendor;
F. The quality of vendor’s performance history and record on previous purchases or contracts with the city;

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G. The ability of the vendor to provide future maintenance, repair parts, and services for the use of the goods and supplies, equipment, or materials purchased; and
H. The ability of the vendor to demonstrate its prior, current, and continued compliance during the contract term with all applicable federal, state, and local laws, statutes, ordinances and all lawful orders, rules, and regulations promulgated thereunder.”
To facilitate the City’s determination of the Best Qualified Vendor, Bidder shall provide additional information about their unique qualifications meeting the City’s needs for this Project as a part of the submission of their Bid. The City may, at its discretion, after the opening of the Bids, schedule interviews of the lowest Bidders as a part of its determination of the Best Qualified Vendor. Bidders shall be notified of a schedule of interviews and shall participate upon an invitation issued by the City.

The City reserves the right to accept any bid or portion thereof, to waive any irregularity, and to take the Bid Proposal(s) under advisement for the period of time of ninety (90) days all as may be required to provide for the best interests of the City. In no event will an award be made until all necessary investigations are made as to the responsibility and qualifications of the Company/Proposer to whom the award is contemplated. No Bidder may withdraw its Bid Proposal for a period of ninety (90) days after the time set for opening thereof. Proposer shall be required to agree to the terms of the attached (see Appendix I) Draft Termite Fumigation Maintenance Services Agreement.

5. TERM/EXTENSION
Unless earlier terminated as provided in the Agreement, the Agreement shall commence upon the effective date of the Agreement and shall continue in full force and effect for a period of three (3) years, commencing on the date of execution of the Agreement and ending three years later.

6. METHOD OF PAYMENT
The Proposer shall present an invoice for the contracted amount for the lump sum price proposed and, separately, for any extra work as preauthorized by Task Order as issued by City. The invoice shall be accompanied with a narrative description of all work completed and all other reporting as specified herein as a prerequisite for processing the invoice for payment. Payment will be made only after verification of completion of the scheduled work and any extra work. Send invoices to: Director of Public Works, City of Laguna Hills, 24035 El Toro Road, Laguna Hills, CA 92653

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7. COMPENSATION
Full compensation for performing all work specified by these specifications and the Agreement shall be considered as included in the lump sum price bid for termite fumigation maintenance and no additional compensation will be allowed therefore.

The general work activities (for a complete list, consult the Special Provisions within these Specifications) included in the lump sum price shall include, but not be limited to, the following work:

Preparatory work, fumigation, inspection, and reporting associated with termite abatement fumigation services and subsequent wood-destroying pest and organism inspection services.

8. TASK ORDER FOR EXTRA WORK
No extra work shall be performed without the City issuance of a Task Order authorizing the work. The following procedure will govern such extra work.

1. Extra work shall not be initiated without written authorization as represented by a Task Order. Otherwise, work performed prior to written authorization shall not be paid.

2. Work will be executed in a timely manner meeting the approval of the Director of Public Works on a Unit Price basis, an agreed lump sum price or time and material basis as defined in the Task Order.

3. Materials cost shall be the actual cost plus 15% for handling of materials purchased by the Proposer and used for the extra work, including sales taxes, freight and delivery charges. The City reserves the right to directly purchase materials for the Proposer’s use.

4. Equipment rental costs for extra work on an hourly or daily basis, if any, shall include full compensation including move-in and/or move-out charges and the operator and no additional compensation will be allowed. All equipment shall be in good working order and be suitable for its purpose.

5. Notwithstanding the above clauses, the City shall have no obligation to utilize the Proposer for extra work and may use other forces as deemed appropriate by the City without any effect on the Agreement.

9. PREVAILING WAGES
The Agreement includes the following provision regarding Prevailing Wages: “The City has determined that the Work and Services under this Agreement requires work of labor categories which are subject to Prevailing Wage Laws identified in

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the State of California Labor Code. Proposer is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on “public works” and “maintenance” projects. Proposer agrees to fully comply with all applicable federal and state labor laws (including, without limitation, if applicable, the Prevailing Wage Laws). It is agreed by the Parties that, in connection with the Work or Services provided pursuant to this Agreement, Proposer shall bear all risks of payment or non-payment of prevailing wages under California law, and Proposer hereby agrees to defend, indemnify, and hold the City, its elected officials, officers, employees, and agents free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. The foregoing indemnity shall survive termination of this Agreement.”
Except for any work or services that are considered to be cleaning, custodial, and janitorial in nature, the City has determined that the work or services contemplated herein are Public Works as defined in the State of California Labor Code, therefore such work or services shall be subject to compliance monitoring and enforcement by the Department of Industrial Relations (DIR). The prevailing wages applicable to this procurement are available on the DIR web page at www.dir.ca.gov. It is the Bidders’ sole responsibility to incorporate the cost of complying with all prevailing wage and labor compliance requirements and all applicable laws for this Project.

The successful Bidder and its sub-Proposers of any tier, if any, shall maintain active registration with DIR, as appropriate, for the duration of this Project.

Additional Prevailing Wage requirements are set forth in more detail as terms and conditions in the attached (Appendix I) draft Termite Fumigation Maintenance Services Agreement.

10. ANTI-KICKBACK AND WORK STANDARDS
The Proposer shall comply with the Copeland “Anti-Kickback” Act (18 U.S.C. 874) as supplemented in Department of Labor Regulations (29 CFR, Part 3). The Proposer shall comply with Sections 103 and 107 of the Contract Work Hours and Safety Standards Act (40 U.S.C., 327-330) as supplemented by the Department of Labor Regulations (29 CFR, Part 5). Section 103 requires the Proposer to compute the wages of every mechanic and laborer on the basis of a standard workday of eight (8) hours and the standard workweek of forty (40) hours. Work in excess of the standard workday or workweek is permissible provided that the worker is compensated at a rate of not less than one and one half (1-1/2) times the basic rate of pay for all hours worked in excess of 8 hours in any calendar day or 40 hours in the workweek. Section 107 of the Act is applicable to construction work and provides that no laborer or mechanic shall be required to work in surroundings or under working conditions which are unsanitary, hazardous, or dangerous to health and safety as determined under construction, safety, and health standards promulgated by the Secretary of Labor.

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11. EMERGENCY NUMBERS
The Company/Proposer shall furnish the City with toll-free emergency telephone numbers which can be called 24 hours a day during emergency conditions. The Proposer shall make available personnel to respond to calls to alleviate emergency situations should they arise. Personnel shall be at the site of the emergency and shall initiate remedial action within two (2) hours from time of notification of emergency situations. An answering service is not adequate for emergency calls.

12. LICENSES
The Proposer shall have and maintain: (1) Company Registration, (2) Field Representative, and (3) Operator licenses from the California Department of Consumer Affairs, Structural Pest Control Board. Additionally, Proposer shall have and maintain additional licenses as required by any governmental regulation for any other regulated work. There is no City Business License requirement.

13. DRESS CODE AND APPEARANCE
The Company/Proposer shall be required to provide uniforms for personnel assigned to the Project, meeting the City’s approval. Sufficient clothing changes shall be provided to personnel to always present a neat and clean appearance of personnel at all times. All employees working in or around right-of-way must wear reflective safety vests meeting ANSI/ISEA 107-2020 Class 3 Standards and, as appropriate, safety helmets, safety goggles, and other safety gear.

14. INTERACTION WITH PUBLIC
All of the personnel shall exhibit and practice courteous and ethical behavior during all times of the Agreement and during all interactions with the public to the City’s satisfaction. All personnel shall be capable of basic communication skills in the English language. Any personnel deemed not meeting the City’s standards shall be promptly removed from the Project.

15. SUBSTITUTIONS
Wherever a specific type of material is specified, no substitutions shall be allowed without the written consent of the Director of Public Works.

16. SPECIFICATIONS AND PLANS
The work performed shall be done in accordance with the General Provisions and Special Provisions.

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Unless otherwise specified, the Proposer shall furnish all labor, materials, tools, equipment, and incidentals and do all the work involved in executing the Agreement.

17. COMMUNICATIONS
Proposer shall provide a dedicated project manager for the Project, and shall provide the cellular telephone number for the project manager. Email shall be the routine communication media for submission of documents, requests, work orders, reports, etc.

18. SCHEDULING OF WORK
The Proposer shall perform termite abatement services (tenting) after the close of the Civic Center’s business hours on Friday, July 31, 2026 at 5:00 p.m., and termite abatement services shall be completed prior to Friday, August 7, 2026 at 12:00 p.m. The Proposer shall make the Civic Center building ready for occupancy by 12:00 p.m. on Friday, August 7, 2026.

The Proposer shall submit a work schedule in advance describing operations and when work and applications of pest control products will be accomplished. The schedule shall be subject to approval and change by the City and shall be submitted prior to starting any maintenance operations.

19. REPORTS AND SCHEDULES
The Proposer, as part of the Agreement, shall submit report(s) and schedule(s) as required by the Specifications.

20. PROTECTION OF PROPERTY AND PERFORMANCE DURING INCLEMENT

WEATHER

1. During periods of storms, the Proposer shall provide inspection of the Project during regular hours to identify and address possible damage from inclement weather. The Proposer shall submit a report identifying any storm damage to the City’s representative attached to a site map identifying location of damage and a cost estimate to repair/replace.

2. During periods when inclement weather hinders normal operations, the Proposer shall adjust its work force in order to accomplish those activities that are not affected by weather. However, most personnel shall be on site and perform work during inclement weather.

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21. PROTECTION OF EXISTING FACILITIES AND STRUCTURES
The Proposer shall exercise due care in protecting from damage all existing facilities, structures, and utilities both above ground and underground on the City’s property. Any damage to City property deemed by City to be caused by the Proposer’s neglect shall be corrected or paid for by the Proposer at no cost to the City.

22. PROPOSER NEGLECT
Any damage to City or private property, including loss of plant and landscape material, which has been determined by the City to be due to the Proposer’s neglect or actions, shall be corrected by the Proposer at no additional cost to the City.

23. SAFETY
Proposer shall be solely responsible for providing a safe work place, and compliance with current standards and regulations of the Federal Occupational Safety and Health Act (OSHA), California Division of Industrial Safety Orders (CDIS), and any other applicable governmental law.

24. EQUIPMENT
The Proposer shall take all necessary precautions for safe operation of its equipment and the protection of the public from injury and damage from such equipment. All equipment deemed by Director of Public Works to be in disrepair or unsatisfactory, shall be repaired or replaced immediately.

25. NOISE CONTROL REQUIREMENTS
The Proposer shall comply with all local sound control and noise level rules, regulations, and ordinances which apply to any work performed pursuant to the Contract. It is the responsibility of the Proposer to become familiar with all local sound control and noise level rules, regulations, and ordinances. Each internal combustion engine, used for any purpose on the job or related to the job, shall be equipped with a muffler of a type recommended by the manufacturer of such equipment. No internal combustion engine shall be operated on the Project without said muffler.
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CITY OF LAGUNA HILLS

BID PROPOSAL FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER
Proposal Submission Requirements
Bidder shall submit the following documents as a part of the submission of the Bid Proposal:

1. A cover letter on Company stationery including the following:
a) An expressed statement of interest in providing services to City for the Project
b) A statement expressing that the Company will provide the full Scope of Services described in the Notice Inviting Bids and Specifications
c) A statement of the Company expressing its willingness and ability to sign and comply with the Sample Draft Termite Fumigation Maintenance Services Agreement
d) A brief statement of the Company’s experience which makes them qualified for the Project.

2. Up to ten additional sheets of information identifying:
a) The qualifications of the Company
b) The qualifications of the management staff
c) Brief biographies/résumés of key personnel
d) Letters of Recommendation from current or former clients e) Company experience with similar services provided to public agencies

3. A proposed Schedule of Performance.

4. Any additional information the Bidder would like considered for determination of the Best Qualified Vendor.

5. All the following Bid Proposal pages.

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BIDDER’S NAME:

CITY OF LAGUNA HILLS

BID PROPOSAL FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER
TO CITY OF LAGUNA HILLS:

The undersigned PROPOSER hereby proposes to furnish all materials, equipment, tools, labor, and incidentals required for the above stated Project as set forth in the Notice Inviting Bids, Specifications, and Maintenance Services Agreement therefore, and to perform all work in the manner and time prescribed therein.

PROPOSER declares that this Bid Proposal is based upon careful examination of the work site, Notice Inviting Bids, Specifications, and Sample Draft Termite Fumigation Maintenance Services Agreement. If this Bid Proposal is accepted for award, PROPOSER agrees to enter into the attached Draft Maintenance Services Agreement with City at the unit and/or lump sum prices set forth in the following Proposal Bid Sheets.

PROPOSER understands that a bid is required for the entire work, that the estimated quantities set forth in the Proposal Bid Sheet are solely for the purpose of comparing proposal(s), and that final compensation under the contract will be based upon the actual quantities of work satisfactorily completed. It is agreed that the unit and/or lump sum prices bid include all appurtenant expenses, taxes, royalties, and fees. In the case of discrepancies in the amounts bid, unit prices shall govern over extended amounts.

PROPOSER agrees and acknowledges that he is aware of the provisions of Section 3700 of the Labor Code which requires every employer to be insured against liability for workman’s compensation or to undertake self-insurance in accordance with the provisions of that code, and that the PROPOSER will comply with such provisions of that code before commencing the performance of this Contract if awarded to it.

PROPOSER certifies that in all previous contracts or subcontracts, all reports which may have been due under the requirements of any agency, State or Federal equal employment opportunity orders have been satisfactorily filed, and that no such reports are currently outstanding.

PROPOSER declares that the only persons or parties interested in this proposal as principals are those named herein; that no officer, agent, or employee of the City is personally interested, directly or indirectly, in this proposal; that this proposal is made without connection to any other individual firm, or corporation making a bid for the same work; and that this proposal is in all respects fair and without collusion or fraud.

PROPOSER acknowledges that it is the City’s intention to award a Termite Fumigation Maintenance Services Agreement for a period commencing on July 1, 2026 through

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August 31, 2029 with termite fumigation work being performed after 5:00 p.m. on July 31, 2026 but before 12:00 p.m. on August 7, 2026, and subsequent annual treatment and inspection work in August 2027 and August 2028.

PROPOSER acknowledges that the scope and units of work on the Proposal Bid Sheets are approximate descriptions and estimates of work to be performed on an annual basis during the term of this Project, that the work shall only be performed on an as-needed, on-call individual Task Order basis only and no quantity of work or payment to Proposer is guaranteed to be authorized or granted by the City.

PROPOSER’S NAME:__________________________DATE______________2026 PROPOSER’S ADDRESS:
______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ BY
TITLE
(Signature)

PHONE ( ) BY
TITLE
(Signature)
Signatures to be Notarized,
Attach ACKNOWLEDGMENT
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PROPOSER’S INFORMATION
PROPOSER certifies that the following information is true and correct:

Proposer Name________________________________________________________ Business Address_____________________________________________________ FAX No. (___)_____________ Telephone (___)_____________ E-Mail address:

State Proposer’s License No. and Class __________________________________ Original Date Issued_________________Expiration Date_____________________ Years this Company has been in this Business _________________ The following are the names, titles, addresses, and phone numbers of all individuals, firm members, partners, joint ventures, and/or corporate officers having a principal interest in this proposal:

The dates of any voluntary or involuntary bankruptcy judgments against any principal having an interest in this proposal are as follows:

All current and prior DBA’s, alias, and/or fictitious business names for any principal having an interest in this proposal are as follows:

BY____________________
(Print Name)
____________________
(Signature)
TITLE _____________________
DATE _____________________
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BIDDER’S NAME:

REFERENCES
The following are the names, addresses, and phone numbers for three public agencies for which PROPOSER has current contracts for maintenance services:

1. Agency: _______________________________________________________ Address: _______________________________________________________ Telephone: _____________________________________________________ Primary Contact Person/Title: _______________________________________ Years of service with this Agency: _______ Type of Work: __________________ Term of Agreement: _______________ Expiration Date: __________________

2. Agency: _______________________________________________________ Address: _______________________________________________________ Telephone: _____________________________________________________ Primary Contact Person/Title: _______________________________________ Years of service with this Agency: _______ Type of Work: __________________ Term of Agreement: _______________ Expiration Date: __________________

3. Agency: _______________________________________________________ Address: _______________________________________________________ Telephone: _____________________________________________________ Primary Contact Person/Title: _______________________________________ Years of service with this Agency: ________ Type of Work: _________________ Term of Agreement: _______________ Expiration Date: __________________ Continued next page

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BIDDER’S NAME: ___________________

NON-COLLUSION AFFIDAVIT TO BE EXECUTED BY PROPOSER AND

SUBMITTED WITH BID

STATE OF CALIFORNIA )
) SS

COUNTY OF )
_________________________________________, being first duly sworn, deposes and says that he or she is _____________________________________________of the party making the foregoing bid that the bid is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, Proposer association, organization, or corporation; that such bid is genuine and not collusive or sham; that the Proposer has not directly or indirectly induced or solicited any other Proposer to put in a false or sham bid, and has not directly or indirectly colluded, conspired, connived, or agreed with any Proposer or anyone else to put in a sham bid, or that anyone shall refrain from bidding; that the Proposer has not in any manner, directly or indirectly, sought by agreement, communication, or conference with anyone to fix the bid price of the Proposer or any other Proposer, or to fix any overhead, profit, or cost element of the bid price, or of that of any other, or to secure any advantage against the public body awarding the contract of anyone interested in the proposed contract; that all statements contained in the bid are true; and further, that the Proposer has not, directly or indirectly, submitted his or her bid price or any breakdown thereof, or the contents thereof, or divulged information or data relative thereto, or paid, and will not pay, any fee to any corporation, partnership, company association, organization, bid depository, or to any member or agency thereof to effectuate a collusive or sham bid.

Signed
_________________________
_________________________
Name (print)
Title
Date
Signatures to be Notarized,
Attach ACKNOWLEDGMENT
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BIDDER’S NAME___________________

CITY OF LAGUNA HILLS

PROPOSAL BID SHEETS FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER

BASE BID
We hereby propose to furnish all labor, materials, equipment, tools, transportation, and services, and to discharge all duties and obligations necessary and required to perform and complete the Project in accordance with the Bid Documents and Maintenance Services Agreement for the following Unit Prices.

Item Description Unit Price
1 Termite fumigation/abatement services including preparatory work, tenting, fumigation, removal of live animals, installation of screens, cleanup, and service warranty per the General Provisions and Special Provisions.
$
2 Wood destroying pest and organism inspection conducted in August 2027 including a written report and any re-treatment per the General Provisions and Special Provisions.
$
3 Wood destroying pest and organism inspection conducted in August 2028 including a written report and any re-treatment per the General Provisions and Special Provisions.
$
Total Bid Price (in Written Form): $______________
Total Bid Price (in Words):
___________________________________________________DOLLARS and ____CENTS **************************************************************************************************** /
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BIDDER’S NAME___________________

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CITY OF LAGUNA HILLS

PROPOSAL BID SHEETS FOR

TERMITE FUMIGATION MAINTENANCE SERVICES AT THE

LAGUNA HILLS CIVIC CENTER

CONTINUED

BID PROPOSAL
IN WITNESS WHEREOF, Proposer executes and submits this proposal with the names, titles, hands, and seals of all forenamed principals this ______day of ___________, 2026.

NOTE: PROPOSER MAY, AT THEIR SOLE DISCRETION, PROVIDE A LISTING AND

DESCRIPTION OF ADDITIONAL SERVICES THEY OFFER, ADDITIONAL

REFERENCES, AND ADDITIONAL COMPANY INFORMATION DESCRIBING THEIR

UNIQUE QUALIFICATIONS TO AID THE CITY IN DETERMING THE BEST QUALIFIED VENDOR BY ATTACHING UP TO 10 ADDITIONAL PAGES TO THIS BID PROPOSAL.

CITY MAY UTILIZE THIS INFORMATION IN ITS EVALUATION OF THE “BEST QUALIFIED VENDOR” IN ACCORDANCE WITH LHMC 3-08.090 and 3-080.100.

PROPOSER NAME: __________________________
By __________________________
Print
__________________________
Signature
___________________________
Title
Signatures to be Notarized,
Attach ACKNOWLEDGMENT

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CITY OF LAGUNA HILLS

SCOPE OF WORK

SPECIAL PROVISIONS
FOR

TERMITE FUMIGATION MAINTENANCE SERVICES
A. GENERAL
The Notice Inviting Bids, Information for Bidders, Proposal, General Provisions, Special Provisions, all Appendices and the Sample Draft Termite Fumigation Maintenance Services Agreement establish the standards and specifications (hereinafter “specifications”) for termite fumigation maintenance services at the Laguna Hills Civic Center.

The Proposer shall furnish all supervision, labor, materials, and equipment necessary to accomplish pesticide fumigation application components of the proposed Maintenance Services Agreement.

The Proposer shall provide termite abatement fumigation services and subsequent wood-destroying pest and organism inspection services at the Laguna Hills Civic Center, 24031-24035 El Toro Road, Laguna Hills, CA 92653 in accordance with all local, city, county, state, and federal laws, and regulations.

The Laguna Hills Civic Center is approximately 51,940 square feet of floor area in three stories, plus a tower element.

The termite fumigation/abatement services (tenting) shall be provided during the period of 5:00 p.m. on Friday, July 31, 2026 through 12:00 p.m. on Friday, August 7, 2026 as follows: one to two (1-2) days for tenting, one to three (1-3) days for treatment, and one to two (1-2) days for clearance.

The Proposer shall perform termite abatement services (tenting) after the close of the Civic Center’s business hours on Friday, July 31, 2026, at 5:00 p.m., and termite abatement services shall be completed prior to the start of the Civic Center’s business hours on Friday, August 7, 2026, at 12:00 p.m. (Noon).

LIQUIDATED DAMAGES for delays shall be assessed at $3,000 per hour, whole or part of an hour, for any work not completed by Friday, August 7, 2026, at 12:00 p.m., local time, including clearance work.

All work dates and times must be approved by the Director of Public Works.

Following abatement services, the Proposer shall perform annual wood-destroying pest and organism inspections in August 2027 and August 2028, for a total of two (2) inspections. The Proposer shall perform inspection services during the City’s

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business hours, unless otherwise requested and agreed upon with the Director of Public Works.

The Director of Public Works must approve all work dates and times.

B. PREPARATORY WORK
The Proposer shall provide an Occupant Fumigation Notice and Pesticide Disclosure to the Director of Public Works no later than July 15, 2026 and will be required to meet onsite with City staff and Civic Center tenants to provide information on appropriate and safe methods for the bagging of belongings, e.g., food, beverages, medicines, and plants, or the removal of such belongings from the site. The Occupant Fumigation Notice shall identify the Proposer’s responsibilities to prepare the site for treatment. The Proposer shall provide at least two hundred (200) Nylofume bags to the Director of Public Works no less than one (1) week before the specified start date at no additional cost to the City.

The Proposer shall perform a precautionary structural fumigation with a pre-approved fumigant for the elimination of any undetected or concealed infestations of drywood termites.

C. FUMIGATION PROCESS

1. The Proposer shall fully tent the entire building and apply sulfuryl fluoride gas in sufficient quantities according to industry practices.

2. The Proposer shall use Chloropicrin gas as the warning agent.

3. The Proposer shall monitor fumigant gas during fumigation using a Fumiscope RDA or equivalent during the first 24 hours of fumigation.

4. The Proposer shall only use State of California approved materials and procedures for completing the termite abatement services. Chemicals and fumigants used must be registered with the State of California’s Department of Pesticide Regulation and comply with all state and federal regulations.

5. The Proposer shall be fully responsible for all site preparation and cleanup.

6. The Proposer shall be responsible for any damage caused to the building and/or plants as a result of the contracted services.

7. The Proposer shall be responsible for exclusion/removal of live animals under fumigated areas including prior to fumigation. Proposer to coordinate removal/trapping activities with the City prior to the date of the fumigation. Proposer shall identify areas where pest reentry is possible and install barriers to prevent access. Exclusion methods shall include the use of perforated or mesh screens to block openings. Proposer shall include in its submittal exclusion materials for review and approval by the City prior to

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fumigation. Proposer shall hold the appropriate licenses or subcontract with an animal trapper licensed by the California Department of Fish & Wildlife to provide these services.

8. The Proposer shall be responsible for the removal of dead animals for up to 30 days after the tents are removed at the Proposer’s expense.

D. SERVICE WARRANTY
The Proposer shall provide a minimum service warranty of three (3) years, from the date of fumigation, or the end date of the proposed Maintenance Services Agreement, whichever one occurs later.

E. WOOD DESTROYING PEST AND ORGANISM INSPECTION

1. The Proposer shall perform a wood-destroying pest and organism inspection on the covered structure one (1) time per year in August 2027 and August 2028 over the thirty-six (36) month Agreement term for a total of three (3) inspections. The Proposer shall provide the written wood-destroying pest and organism inspection results to the Director of Public Works within ten (10) days of the completion of the inspection.

2. Wood-destroying pest and organism inspection services shall be coordinated with the Director of Public Works.

3. During the annual wood-destroying pest and organism inspection(s), should any new dry wood termite infestations be found, the Proposer shall provide the appropriate retreatment within three (3) months at no additional cost to the City.

F. TRAINED OPERATORS & REPRESENTATIVES

1. Termite abatement and inspection services shall be performed by appropriately trained and qualified operators and/or representatives.

2. Proposer shall have no less than five (5) year experience in providing fumigation services to public buildings or schools. References to be provided upon request.

G. NOISE ABATEMENT
The Proposer shall ensure that all services are performed in compliance with all city and county noise abatement laws, ordinances, and regulations.

H. WASTE TRANSPORTATION AND/OR DISPOSAL
The Proposer shall be solely responsible for adhering to any and all local, city, county, state, and federal laws, and regulations pertaining to the proper transportation and/or disposal of all waste products while performing services under the proposed Maintenance Services Agreement. The Proposer shall indemnify, defend, and hold harmless the state,

SP-4
its officers, agents, and employees from any and all claims, injuries, suits, damages, and losses arising out of or in connection with the improper transportation and/or disposal of all waste products.

I. INSPECTIONS OF FACILITIES AND PLANNING
The Proposer shall conduct a thorough initial inspection of the building within (5) days of the initiation date of the contract. Before rendering service, after the initial inspection, the Proposer shall submit to the Director of Public Works a Pest Control Fumigation Plan for the site. If the Plan is acceptable, the Proposer shall schedule service in the period of 5:00 p.m. on July 31, 2026 through 12:00 p.m. on August 7, 2026.

The Pest Control Fumigation Plan shall consist of the following:

1. Proposed methods and equipment for service: The Proposer shall provide a summary of proposed control methods-including current labels and Safety Data Sheets (SDS) of all pesticides to be used and any other pest control devices or equipment that may be used to provide service.

2. Fumigation schedule: The Proposer shall provide complete service schedule.

3. Commercial applicator or technician licenses: The Proposer shall provide a current list of names along with photocopies of the commercial applicator or technician's licenses for every Proposer employee who will be performing on-site services under this contract.

J. DPR REPORTING POSTING
The City will be responsible to post, in a prominent location, pest control signs provided by the Proposer in fulfillment of obligations under California laws and regulations. In the event of emergency applications, the City will display the pest control sign in a prominent location at the time of treatment.

K. SAFETY AND HEALTH
The Proposer shall observe all safety precautions throughout the performance of this contract and shall assume full responsibility and liability for compliance with all applicable regulations pertaining to the health and safety of personnel during the execution of work and shall hold the City harmless for any action on its part or that of its employees that results in illness, injury, or death.

L. UNIFORMS AND PROTECTIVE CLOTHING
All Proposer personnel working in or around buildings designated under this contract shall wear distinctive uniform clothing. The Proposer shall determine and provide additional personal protective equipment required for the performance of work. Protective clothing, equipment and devices shall, as a minimum, conform to Occupational Safety and Health Administration (OSHA) standards for the products being used.

SP-5
M. VEHICLES
Vehicles used by the Proposer shall be identified in accordance with state and local regulations and shall be operated in a safe manner on City property. Vehicles must meet California Department of Transportation requirements.

N. LICENSING
Throughout the term of the Termite Fumigation Maintenance Services Agreement, the Proposer shall maintain a current business license issued by the Structural Pest Control Board. In addition, all Proposer personnel providing on-site pest control service must maintain licensing (in categories appropriate to the work being performed) as commercial applicators or licensed technicians. Unlicensed applicators will not be permitted to provide service to the City under this contract.

O. USE OF PESTICIDES
The Proposer shall be responsible for application of pesticides according to the label. All pesticides used by the Proposer must be registered with the U.S. Environmental Protection Agency (EPA). Transport, handling and use of all pesticides shall be in strict accordance with the manufacturer's label instructions and all applicable Federal, state, and local laws and regulations. The Proposer shall not store or dispose of any pesticide product on District property. The Proposer shall not sell, share, or make available any pesticide products to any non-licensed City employee.

Appendix I:

DRAFT TERMITE FUMIGATION MAINTENANCE SERVICES

AGREEMENT

Appendix II:

FLOOR PLANS

COUNTY OF ORANGE

Berger Harrison
Executive Suites
Carno NYA LLC
Premier Group

FIRST AMERICAN

BEHRENS

FAY BLIX

Item No. 4.7
City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Joe Ames, Assistant City Manager
Issue: Resolution Adopting a List of Street Maintenance Projects for Fiscal Year 2026/2027 Funded by SB 1: The Road Repair and Accountability Act of 2017 Recommendation: That the City Council adopt a Resolution entitled: "A Resolution of the City Council of the City of Laguna Hills, California, Adopting a List of Street Maintenance Projects for Fiscal Year 2026/2027 Funded By SB 1: The Road Repair and Accountability Act of 2017."
Background:

In April 2017, the Road Repair and Accountability Act was enacted into law establishing a new funding source intended to address deferred maintenance and infrastructure investment on the state highway system and the local street and road system. In order to utilize this funding, the California Transportation Commission (CTC) established guidelines requiring an annual submittal of project lists and other reporting requirements. Adoption of the attached Resolution will meet the reporting requirements established by the CTC and maintain the City's eligibility to receive the Road Repair and Accountability Act funding.

The Road Repair and Accountability Act of 2017 (SB 1) was passed by the California Legislature on April 6, 2017, and signed into law by Governor Brown on April 28, 2017.

The Act raises over $5 billion per year for transportation infrastructure improvements and established the Road Maintenance and Rehabilitation Account (RMRA). The funding distribution formula is population based from the following taxes enacted by the Road Repair and Accountability Act of 2017: 12 cent per gallon gasoline excise tax, 20 cent per gallon diesel fuel excise tax, miscellaneous state transportation improvement fees, and transportation loan repayments. The funding began in

Item No. 4.7
November 2017 and the City has received annual funding which has been applied to each of the planned biennial street maintenance projects (CIP No. 101 series projects).

In accordance with guidelines issued by the CTC for an agency to maintain eligibility to receive RMRA funding, the City must comply with all requirements, including submitting annual project reporting to the CTC. This reporting includes developing and submitting a list of potential projects to the CTC by June 30th, as well as reporting project expenditures to the CTC following the end of each fiscal year.

In addition, in order to receive RMRA funds, cities and counties must meet and report upon a minimum "maintenance of effort" (MOE) expenditure requirement to ensure that these new road funds do not supplant existing levels of general revenue spending on streets and roads. The MOE report is submitted by staff on an annual basis and the City continues to meet this requirement.

In keeping with the City’s approach to maximize the value of this funding, two fiscal years’ worth of funding are traditionally combined into one street maintenance project for fiscal benefit and administrative efficiency. Future RMRA funding has been allocated to the biennial Citywide Local Street Rehabilitation Projects (CIP Nos. 101-M and 101-N) in FYs 2025/2026 and 2027/2028. However, for maximum flexibility in using RMRA funds, several arterial highway pavement rehabilitation projects are being included on the list of eligible expenditures for RMRA funding, such as Avenida de la Carlota (CIP No. 182), Moulton Parkway (CIP No. 183), La Paz Road (CIP No. 185), and Oso Parkway (CIP No. 181). The eligible projects are further described on Exhibit A to the attached Resolution.

Fiscal Impact:

The ability of the City to gain access to RMRA funding requires the adoption of an annual Resolution which conforms to the guidelines promulgated by the CTC. The FY 2025/2026 RMRA funding will be held and will be combined with the FY 2026/2027 RMRA funding for a single project for the biennial Citywide Local Street Rehabilitation Project (CIP 101-M).

The RMRA funding, for the two years of allocation, will provide the City with approximately $1.5 million for street maintenance and improvements. These funds, when combined with Highway User Tax Account funds, will provide street funding in the projected amount of $3.3 million.

Attachments:

Item No. 4.7

1. Proposed Resolution: FY 26-27 SB1 Funding

RESOLUTION NO. 2026-05-26-X

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

LAGUNA HILLS, CALIFORNIA, ADOPTING A LIST OF

STREET MAINTENANCE PROJECTS FOR FISCAL YEAR
2026/2027 FUNDED BY SB 1: THE ROAD REPAIR AND
ACCOUNTABILITY ACT OF 2017
The City Council of the City of Laguna Hills, California, hereby finds, determines, declares, and resolves as follows:

WHEREAS, Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017 (Chapter 5, Statutes of 2017), was passed by the Legislature and signed into law by the Governor in April 2017 to address the significant multi-modal transportation funding shortfalls statewide; and
WHEREAS, SB 1 includes accountability and transparency provisions that will ensure the residents of the City of Laguna Hills (City) are aware of the projects proposed for funding in our community and which projects have been completed each fiscal year; and
WHEREAS, the City must adopt by resolution, a list of projects proposed to receive fiscal year funding from the Road Maintenance and Rehabilitation Account (RMRA), created by SB 1, which must include a description and the location of each proposed project, a proposed schedule for the project’s completion, and the estimated useful life of the improvement; and
WHEREAS, the City, will receive an estimated $880,000 in RMRA funding in fiscal year 2026/2027 from SB 1; and
WHEREAS, this is the tenth year in which the City is receiving SB1 funding and will enable the City to continue essential road maintenance and rehabilitation projects, and safety improvements that would not have otherwise been possible without SB1; and
WHEREAS, the City has undergone a public process to ensure public input into our community’s transportation priorities; and
WHEREAS, the City utilized its Pavement Management Plan (PMP) to develop the SB 1 project list to ensure revenues are being used on the most high-priority and cost-effective projects that also meet the community’s priorities for transportation investment; and
WHEREAS, the funding from SB 1 will help the City maintain and rehabilitate the approximate 102 centerline mile segments of streets; and WHEREAS, the City’s 2024 Pavement Management Plan determined the

Resolution No. 2026-05-26-X

City’s streets and roads are in a good condition and this revenue will help maintain the overall quality of our road system and over the next decade and maintain the City streets and roads in a good condition; and
WHEREAS, the SB 1 project list and overall investment in our local streets and roads infrastructure with a focus on basic maintenance and safety, investing in complete streets infrastructure, and using cutting-edge technology, materials and practices, will have significant positive co-benefits statewide; and WHEREAS, for fiscal benefit and administrative efficiency, the City schedules its street maintenance capital improvement projects on a biennial basis.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

HILLS, CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE, AND ORDER AS FOLLOWS:

SECTION 1. The foregoing recitals are true and correct.

SECTION 2. The fiscal year 2026/2027 Capital Improvement Program projects for street maintenance shall be combined with the fiscal year 2027/2028 Capital Improvement Program projects, providing two-years of funding for fiscal benefit and administrative efficiency.

SECTION 3. The list of the streets planned to be funded with 2026/2027 and 2027/2028 Road Maintenance and Rehabilitation Account revenues include all streets shown on Exhibit A, attached hereto and incorporated herein.

PASSED, APPROVED, AND ADOPTED this 26th day of May, 2026. ____________________________________

DON CASKEY, MAYOR
ATTEST:
______________________________________

KAREN HAMMAN, INTERIM CITY CLERK

Resolution No. 2026-05-26-X

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss

CITY OF LAGUNA HILLS )
I, Karen Hamman, Interim City Clerk of the City of Laguna Hills, California, DO HEREBY CERTIFY that the foregoing is a true and correct copy of Resolution No. 2026- 05-26-X adopted by the City Council of the City of Laguna Hills, California, at a Regular Meeting thereof held on the 26th day of May 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
(SEAL)
_____________________________________

KAREN HAMMAN, INTERIM CITY CLERK

Resolution No. 2026-05-26-X

EXHIBIT A
SB1 PROJECT LIST
FOR
FY 2026/2027
The following previously proposed and adopted projects and newly proposed and adopted projects may utilize 2025/2026, 2026/2027, and 2027/2028 Road Maintenance and Rehabilitation Account revenues in their delivery. With the relisting of these projects in the adopted fiscal year resolution, the City is reaffirming to the public and the State our intent to fund these projects with Road Maintenance and Rehabilitation Account revenues:

CITYWIDE LOCAL STREET REHABILTATION PROJECT
(Inclusive of asphalt concrete repairs, resurfacing with asphalt pavement or slurry seal, ADA access ramp construction, sidewalk construction and repairs, traffic control and restriping work)
ANTICIPATED CONSTRUCTION START: FALL 2026
ANTICIPATED CONSTRUCTION COMPLETION: SPRING 2027
ESTIMATED USEFUL LIFE OF IMPROVEMENTS – 10 YEARS

STREET NAME FROM TO ZONE
CABOT RD N. CITY LIMITS RAPID FALLS RD A
CABOT RD RAPID FALLS RD S. CITY LIMITS A
GREENFIELD DR SR 73 SB ON/OFF RAMPS SR 73 NB ON/OFF RAMPS A

ABILENE CIR HIDDEN TRAIL RD WEST END A

ANADALE DR VISTA VIEJO N CNR NORTH END A

BARKSTONE LN VISTA VIEJO NORTH END A

BEARGRASS CIR LOST COLT DR SOUTH END A

BLACK HORSE LN LOST COLT DR EAST END A

BOOTHILL CT DILLION RD WEST END A

BRADFORD LN NOTTINGHAM CT NORTH END A

BRIDLEWOOD DR OSO PKWY LAUREL CREST DR A

BRIDLEWOOD DR LAUREL CREST DR MEADOW CREST DR A

BRIDLEWOOD DR MEADOW CREST DR VISTA VIEJO A

CARLSON CT LAUREL CREST DR EAST END A

CEDARBLUFF TER WOODBLUFF RD EAST END A

CHELSEA LN NOTTINGHAM CT SOUTH END A

COACH SPRINGS LN HIDDEN TRAIL RD WEST END A

DEPUTY CIR DILLION RD SOUTH END A

DERBYHILL DR HIDDEN TRAIL RD WEST END A

DEVONSHIRE RD FALLING LEAF DR NOTTINGHAM CT A

DILLION RD LOST TRAIL DR EAST END A

ELDERBROOK LN WOODBLUFF RD SOUTH END A

ELM BANK DR DEVONSHIRE RD WEST END A

EMPTY SADDLE DR NELLIE GAIL RD SPOTTED PONY LN A

EUCALYPTUS DR WOODBLUFF RD EAST END A

FAIRCOURT LN WOODBLUFF RD EAST END A

FALLING LEAF DR DEVONSHIRE RD WOODBLUFF RD A

FARGO RD ROCKRIDGE RD SOUTH END A

FLETCHER PL LAUREL CREST DR EAST END A

GOLD DUST LN HIDDEN TRAIL RD SOUTH END A

GOLDEN ROD CIR MAGNOLIA CT EAST END A

Resolution No. 2026-05-26-X

STREET NAME FROM TO ZONE

GREEN HILLS LN WOODBLUFF RD RAIN TREE RD A
GREENFIELD DR SR 73 RAMPS HIDDEN TRAIL RD A

HARRINGTON CT NOTTINGHAM CT NORTH END A

HIDDEN TRAIL RD PINESTRAP CIR DERBYHILL DR A

HIDDEN TRAIL RD STAGELINE DR NELLIE GAIL RD A

HIDDEN TRAIL RD DERBYHILL DR STAGELINE DR A

HIDDEN TRAIL RD GREENFIELD DR PINESTRAP CIR A

HIGHWOOD CIR ROCKING HORSE LN NORTH END A

IRONWOOD DR GREEN HILLS LN MIDDLERIDGE LN A

LAURAL CREST DR BRIDLEWOOD DR PATTERSON A

LONE ACRES LN LOST TRAIL DR EAST END A

LONE PINE CIR HIDDEN TRAIL RD EAST END A

LOST COLT DR MAVERICK CIR STAGELINE DR A

LOST COLT DR BEARGRASS CIR NELLIE GAIL RD A

LOST COLT DR STAGELINE DR BEARGRASS CIR A

LOST TRAIL DR RAPID FALLS RD DILLION RD A

MAGNOLIA CT FALLING LEAF DR SOUTH END A

MAPLE VIEW DR LAUREL CREST DR WEST END A

MAVERICK CIR WESTRIDGE LN SOUTH END A

MEADOW CREST DR BRIDLEWOOD DR NORTH END A

MIDDLERIDGE LN IRONWOOD DR WOODBLUFF RD A

MOORE OAKS RD DEVONSHIRE RD NORTH END A

NELLIE GAIL RD OSO PKWY LANE MERGE A

NELLIE GAIL RD ROCKING HORSE LN EMPTY SADDLE DR A

NELLIE GAIL RD LOST COLT DR MOULTON PKWY A

NELLIE GAIL RD LOST COLT DR RED LODGE PL A

NELLIE GAIL RD RED LODGE PL ROCKING HORSE LN A

NELLIE GAIL RD ROAD SPLIT EMPTY SADDLE DR A

NELLIE GAIL RD MOULTON PKWY LOST COLT DR A

NELLIE GAIL RD LANE MERGE OSO PKWY A

NOTTINGHAM CT OSO PKWY DEVONSHIRE RD A

NOTTINGHAM CT DEVONSHIRE RD BRADFORD LN A

OAK HOLLOW RD ELM BANK DR NORTH END A

PATTERSON PL LAUREL CREST DR MOORE OAKS RD A

PINE STRAP CIR HIDDEN TRAIL RD WEST END A

PINTO CT LOST TRAIL DR EAST END A

POINTSETTIA CT WOOD BROOD RD NORTH END A

RAIN TREE RD GREEN HILLS LN EAST END A

RAPID FALLS RD CABOT RD SUNDOWNER DR A

RAPID FALLS RD SUNDOWNER DR LOST TRAIL DR A

RAPID FALLS RD LOST TRAIL DR HIDDEN TRAIL RD A

RED BARN CIR NELLIE GAIL RD NORTH END A

RED LODGE PL NELLIE GAIL RD WEST END A

ROCKING HORSE LN NELLIE GAIL RD NORTH END A

ROCKRIDGE RD HIDDEN TRAIL RD EAST END A

RODEO CIR HIDDEN TRAIL RD EAST END A

ROLLING HILLS RD WILLOW TREE LN WEST END A

SANDRIDGE CIR WESTRIDGE LN EAST END A

SHENANDOAH DR HIDDEN TRAIL RD SOUTH END A

SPOTTED PONY LN EAST END WEST END A

STAGELINE DR LOST COACH DR HIDDEN TRAIL RD A

STAGEWOOD CT STAGELINE DR NORTH END A

STRATFORD PL NOTTINGHAM PL NORTH END A

SUNDOWNER DR RAPID FALLS RD NORTH END A

VISTA VIEJO CITY LIMIT DEVONSHIRE RD A

WAGON WHEEL DR HIDDEN TRAIL RD EAST END A

WESTRIDGE LN LOST COLT DR SANDRIDGE CIR A

WESTRIDGE LN SANDRIDGE CIR MAVERICK CIR A

WHITE OAKS DR LAUREL CREST DR SOUTH END A

WILLOW TREE LN FALLING LEAF DR ROLLING HILLS RD A

WOOD BLUFF RD ELDERBROOK LN FALLING LEAF DR A

Resolution No. 2026-05-26-X

STREET NAME FROM TO ZONE

WOOD BLUFF RD VISTA VIEJO ELDERBROOK LN A

WOOD BROOK RD LAUREL CREST WEST END A

ALAMEDA AVE DEL MONTE ST ALISO HILLS DR C

ALAMEDA AVE EL PRADO ST DEL MONTE ST C

ALAMEDA AVE EL PRADO ST ELENA DR C

ALAMEDA AVE ELENA DR MONTE ROYALE ST C

ALAMEDA AVE LA PAZ RD MONTE ROYALE ST C

ALISAL AVE SARITA DR LINDA VISTA DR C

ALISAL AVE LINDA VISTA DR PASEO DE VALENCIA C

ALISO HILLS DR LA CIENEGA ST SIERRA BONITA DR C

ALISO HILLS DR LA PAZ RD LUNA BONITA DR C

ALISO HILLS DR LUNA BONITA DR LA SERRA ST C

ALISO HILLS DR LA SERRA ST MENDOCINO AV C

ALISO HILLS DR MENDOCINO AV LA CIENEGA ST C

ALISO HILLS DR ALICIA PKWY LA CIENEGA ST C

ALTA LOMA CT SANTA ROSA AVE EAST END C

ALTA MIRA DR ALEMEDA AVE BUENA VISTA DR C

AMALIA ST YOLANDA ST CARMEL ST C

ANACAPA ST SAN PEDRO AVE EL PRADO ST C

ANDREA ST LUPITA ST SOUTH END C

ANDREA ST LUPITA ST NORTH END C

BUENA VISTA DR LOS GATOS DR NORTH END C

CALERO AVE LA MIRADA ST EL CONEJO LN C

CARMEL ST SOUTH END NORTH END C

CREEK DR LINDA VISTA DR SOUTH END C

DEL MONTE ST ALAMEDA AVE LA CUESTA AVE C

EL CAPITAN LN CREEK DR LARGO DR C

EL CONEJO LN LINDA VISTA DR CALERO AVE C

EL PRADO ST ALAMEDA AVE SAN PEDRO AVE C

EL SEGUNDO ST ALISO HILLS DR NORTH END C

ELENA DR LOS GATOS DR ALAMEDA AVE C

ENCANTO CT LUNA BONITA DR SOUTH END C

ERNESTINE CT LINDA FLORA ST NORTH END C

EVA ST LUPITA ST YOLANDA ST C

GORDON RD MOULTON PKWY IMPERIAL DR C

LA CIENEGA ST RIO GRANDE AVE SIERRA BONITA DR C

LA CIENEGA ST LA CIENEGA ST ALISO HILLS DR C

LA CUESTA AVE TERRA BELLA AVE SAUSALITO ST C

LA HABRA CT SARITA DR EAST END C

LA MIRADA ST ALISAL LN LINDA VISTA DR C

LA SERRA ST ALISO HILLS DR NORTH END C

LARGO DR WEST END LINDA VISTA DR C

LAS ALTURAS AVE MANDEVILLE DR MONTE ROYALE ST C

LAS ALTURAS CT LAS ALTURAS AVE EAST END C

LINDA FLORA ST EAST END EL SEGUNDO ST C

LINDA VISTA DR ALISAL AVE SARITA DR C

LINDA VISTA DR LARGO DR ALISAL AVE C

LOS ALAMITOS AVE MONTE ROYALE ST MANDEVILLE DR C

LOS CERROS ST LA CIENEGA ST SOUTH END C

LOS GATOS DR BUENA VISTA DR WEST END C

LOUISA ST MOULTON PKWY WEST END C

LUNA BONITA DR ENCANTO CT ALISO HILLS DR C

LUNA BONITA DR LA SERRA ST ENCANTO CT C

LUPITA ST LOUISA ST EVA ST C

MANDEVILLE DR EAST END MOULTON PKWY C

MARIN CT EL CAPITAN LN SOUTH END C

MENDOCINO AVE ALISO HILLS DR MENDOCINO CT C

MENDOCINO CT WEST END EAST OF MENDOCINO AVE C

MONTE ROYALE ST ALAMEDA AVE LOS ALAMITOS AVE C

MORRO CT TERRA BELLA AVE WEST END C

NATAMA CT TERRA BELLA AVE WEST END C

Resolution No. 2026-05-26-X

STREET NAME FROM TO ZONE

PATRICIA ST LUPITA ST EAST END C

PONCE CT LINDA VISTA DR SOUTH END C

RAMONA ST YOLANDA ST ALICIA PKWY C

RIO GRANDE AVE TALEGA AVE LA CIENEGA ST C

ROSA ST LUPITA ST NORTH END C

SAN PEDRO AVE ANACAPA ST TALEGA AVE C

SANDIA CT TERRA BELLA AVE NORTH END C

SANTA ROSA AVE MANDEVILLE DR SUNDANCE AVE C

SARITA DR LA HABRA CT ALISAL LN C

SARITA DR LINDA VISTA DR LA HABRA CT C

SAUSALITO ST ALAMEDA AVE EAST END C

SIERRA BONITA DR LA CIENEGA ST ALISO HILLS DR C

SOLANO CT ALAMEDA AVE EAST END C

SUNBURST AVE PASEO DE VALENCIA LARGO DR C

SUNDANCE AVE SANTA ROSA AVE LOS ALAMITOS AVE C

TALEGA AVE SAN PEDRO AVE ALAMEDA AVE C

TERRA BELLA AVE MORRO CT SOUTH END C

TERRA BELLA AVE ALISO HILLS DR MORRO CT C

TOCALOMA CT ALAMEDA AVE EAST END C

TOLUCA CT LINDA FLORA ST NORTH END C

YOLANDA ST EVA ST RAMONA ST C

ZUMAYA CT WEST END BUENA VISTA DR C

CABOT RD PASEO DE VALENCIA LA PAZ RD D

CABOT RD LA PAZ RD PASEO DE VALENCIA D

LA PAZ RD MC INTYRE ST CHAMPLAIN RD D
LA PAZ RD I-5 CABOT RD D

LA PAZ RD CABOT RD MC INTYRE ST D

LA PAZ RD CHAMPLAIN RD PASEO DE VALENCIA D

BARENTS ST WILKES PL HILLARY LN D

BARENTS ST WILKES PL EAST END D

BARENTS ST HILLARY LN GRISSOM RD D

BAUTISTA DR PADUA DR SOUTH END D

BENTLEY LN ALICIA PKWY EAST END D

BOONE PL CADALLAC DR SOUTH END D

CADILLAC DR BOONE PL HILLARY LN D

CADILLAC DR GRISSOM RD BOONE PL D

CAJON DR WELLS FARGO DR COSTEAU DR D

CALIFIA DR MACKENZIE ST LA SUEN RD D

CHAMPLAIN RD EARHART RD VESPUCCI RD D

CHAMPLAIN RD CHAMPLAIN RD END D

CHAMPLAIN RD GRISSOM RD LAPAZ RD D

CHAMPLAIN RD PIKE RD CHARLEMAGNE RD D

CHARLEMAGNE RD CHAMPLAIN RD DE SALLE ST D

COSTEAU DR ALICIA PKWY CAJON DR D

DE SALLE ST MACKENZIE ST EARHART RD D

DE SALLE ST EARHART RD GRISSOM RD D

EARHART RD BARENTS ST VELASQUEZ RD D

EARHART RD DE SALLE DR ERICSON WY D

EARHART RD DE SALLE DR CHAMPLAIN RD D

EARHART RD EARHART RD SOUTH END D

EARHART RD VELASQUEZ RD LAS BOLSAS ST D

EARHART RD ERICSON WY LAS BOLSAS ST D

EL DORADO DR STAGE COACH DR PRESIDIO DR D

ERICSON WY EARHART RD PASEO DE VALENCIA D

ERICSON WY COSTEAU DR EARHART RD D

EVERGREEN RD OAK LEAF RD FIR LN D

EXPRESS DR ELDORADO DR WEST END D

FIR LN EVERGREEN RD TREE TOP RD D

GRISSOM CIR HILLARY LN WEST END D

GRISSOM RD MACKENZIE ST WEST END D

GRISSOM RD LAS BOLSAS ST WILKES PL D

Resolution No. 2026-05-26-X

STREET NAME FROM TO ZONE

GRISSOM RD GRISSOM RD NORTH END D

GRISSOM RD PIKE RD LA PAZ RD D

GRISSOM RD BARENTS ST EAST END D

GRISSOM RD ERICSON WY PIKE RD D

HARTOG ST VELASQUEZ RD LAS BOLSAS ST D

HILLARY LN BARENTS ST PASEO DE VALENCIA D
KNOTTY PINE RD McINTYRE ST MACKENZIE ST D

LA SUEN RD CALIFIA DR PIKE RD D

LAS BOLSAS ST TASMAN RD GRISSOM RD D

MACKENZIE CT MACKENZIE ST SOUTH END D

MACKENZIE ST LA PAZ RD KNOTTY PINE RD D

MACKENZIE ST PIKE RD CALIFIA DR D

MACKENZIE ST KNOTTY PINE RD LA PAZ RD D

MACKENZIE ST CALIFIA DR COUTEAU DR D

MADEIRA DR PADUA DR SOUTH END D

MAWSON DR VELASQUEZ RD LAS BOLSAS ST D

MAWSON DR WILKES PL VELASQUEZ RD D
McINTYRE ST LA PAZ RD EVERGREEN RD D
McINTYRE ST PIKE RD LA PAZ RD D

MODOC DR PADUA DR SOUTH END D

NORTHRUP DR VELASQUEZ RD LAS BOLSAS ST D

OAK LEAF RD SPRUCE LN EVERGREEN RD D

ORELLANO WY ORELLANO WY END D

ORELLANO WY PIKE RD NORTH END D

OVERLAND DR CAJON DR WEST END D

PADUA DR LA SUEN RD MACKENZIE ST D

PASEO DE ALICIA ALICIA PKWY EAST END D

PIKE RD LA SUEN RD MACKENZIE ST D

PIKE RD MACKENZIE ST GRISSOM RD D

PINE NUT RD TREE TOP RD PASEO DE VALENCIA D

PINEWOOD LN WEST END OAK LEAF RD D

PRESIDO DR EL DORADO DR CALIFIA DR D

RICKENBACKER RD PIKE RD LA PAZ RD D

SPRUCE LN WEST END OAK LEAF RD D

STAGE COACH DR MACKENZIE ST EL DORADO DR D

SUTTER DR EL DORADO DR WEST END D
SYCAMORE LN McINTYRE ST WEST END D

TASMAN RD ERICSON WY VELASQUEZ RD D

TREE TOP RD FIR LN EAST END D

VALERIE ST BENTLEY LN COSTEAU DR D

VELASQUEZ RD MAWSON DR EARHART D

VELASQUEZ RD GRISSOM RD PASEO DE VALENCIA D

VELASQUEZ RD EARHART NORTHRUP D

VELASQUEZ RD TASMAN RD COSTEAU DR D

VELASQUEZ RD TASMAN RD NORTHRUP DR D

VESPUCCI RD LAS BOLSAS ST VELASQUEZ RD D

VESPUCCI RD CHAMPLAIN RD DE SALLE ST D

WELLS FARGO DR CAJON DR MACKENZIE ST D
WHITE ALDER LN McINTYRE ST OAK LEAF RD D

WILKES PL GRISSOM RD ALICIA PKWY D
AVENIDA DE LA CARLOTA EL TORO RD PVMT CHNGE 650' E/ OAKBROOK

VILLAGE
E
AVENIDA DE LA CARLOTA PVMT CHNGE 650' E/

OAKBROOK VILLAGE

EL TORO RD E
AVENIDA DE LA CARLOTA LOS ALISOS BLVD PVMT CHNGE 650' E/ OAKBROOK

VILLAGE
E

LAGUNA HILLS DR INDIAN HILL LN PASEO DE VALENCIA E

LAGUNA HILLS DR MOULTON PKWY EAST END OF BRIDGE E

LAGUNA HILLS DR EAST END OF BRIDGE INDIAN HILL LN E

LAGUNA HILLS DR PASEO DE VALENCIA INDIAN HILL LN E

LAGUNA HILLS DR WEST END OF BRIDGE MOULTON PKWY E

Resolution No. 2026-05-26-X

STREET NAME FROM TO ZONE

LAGUNA HILLS DR INDIAN HILL LN EAST END OF BRIDGE E

LOS ALISOS BLVD PASEO DE VALENCIA AVENIDA DE LA CARLOTA E LOS ALISOS BLVD AVENIDA DE LA CARLOTA I-5 OVERPASS E
LOS ALISOS BLVD I-5 OVERPASS AVENIDA DE LA CARLOTA E

LOS ALISOS BLVD AVENIDA DE LA CARLOTA PASEO DE VALENCIA E

ASHLAND DR KENNINGTON DR WEYBURN DR E

AVENIDA AVALON VIA BALBOA SOUTH END E

AVENIDA DE LA CARLOTA LOS ALISOS BL S CNR CHRISTINA CT N CNR E

BECKENHAM ST PASEO DE VALENCIA ACACIA LN E

BECKENHAM ST ACACIA LN WILKES PL E

CALLE CARMEL HENDON ST SOUTH END E

CAMBERWELL ST HENDON COUSTEU ST E

CAMBERWELL ST HON AVE HENDON ST E

CAROL LN JULIE AVE EAST END E

CHRISTINA CT EAST END WEST END E

CLARINGTON DR WEYBURN DR KENNINGTON DR E

COSTEAU CT COSTEAU ST NORTH END E

COSTEAU CT COSTEAU ST NORTH END E

COSTEAU ST ALICIA PKWY BECKENHAM ST E

CREEKVIEW DR WEST END CHRISTINA CT E

CRESTA CT CREEKVIEW DR NORTH END E

DERBY CIR WILKES PL WEST END E

GEORGIA SUE DR JORIE DR EAST END E

HEALTH CENTER DR PASEO DE VALENCIA CALLE DE LA LOUISA E

HEALTH CENTER DR CALLE DE LA LOUISA PASEO DE VALENCIA E

HENDON ST CAMBERWELL ST CALLE CARMEL E

HENDON ST COSTEAU ST CAMBERWELL ST E

HON AVE ALICIA PKWY CAMBERWELL ST E

HON AVE CAMBERWELL ST ALICIA PKWY E

HON AVE CAMBERWELL ST GEORGIA SUE E

INDIAN HILL LN MOULTON PKWY ASH CREEK LN E

INDIAN HILL LN LAGUNA HILLS DR OWL HILL LN E

INDIAN HILL LN OWL HILL LN ASH CREEK LN E

JORIE DR WEYBURN DR GEORGIA SUE E

JULIE AVE HON AVE SARA LN E

KATIE AVE JULIE AVE EAST END E

KENNINGTON DR PASEO DE VALENCIA CLARINGTON DR E

KIM CIR GEORGIA SUE DR SOUTH END E

LUTON ST CAMBERWELL ST EAST END E

PAIGE CIR GEORGIA SUE DR SOUTH END E

RITTEN HOUSE CIR ASHLAND DR NORTH END E

SALFORD ST SOUTHPORT ST COSTEAU ST E

SARA LN PAIGE CIR EAST END E

SAVONA BARBERA END E

SOUTHAMPTON CT CREEKVIEW DR NORTH END E

SOUTHPORT CT SOUTHPORT ST NORTH END E

SOUTHPORT ST WOOLWICH ST EAST END E

STOCKPORT ST WILKES PL FIRE GATE E

STOCKPORT ST PASEO DE VALENCIA FIRE GATE E

SUNSET PL (E & W LOOP) SUNSET PL SUNSET PL EAST E

SUNSET PL (E & W LOOP) SUNSET PL SUNSET PL WEST E

SUNSET PL (E & W LOOP) BECKENHAM ST SUNSET PL E

VIA BALBOA CALLE CARMEL END E

VIA LOMAS MOULTON PKWY ALICIA PKWY E

WEYBURN DR ASHLAND DR EAST END E
WILKES PL ALICIA PKWY NW to FIRE GATE E
WOODCREEK DR SW to CREEKVIEW DR LOS ALISOS BLVD E

WOOLWICH CT WOOLWICH ST WEST END E

WOOLWICH ST WOOLWICH CT WILKES PL E

WOOLWICH ST COSTEAU ST WOOLWICH CT E

YORK CIR WILKES PL WEST END E

Resolution No. 2026-05-26-X

OSO PARKWAY PAVEMENT REHABILTATION PROJECT
(Inclusive of asphalt concrete repairs, resurfacing with asphalt pavement or slurry seal, ADA access ramp construction, sidewalk construction and repairs, traffic control and restriping work)
ANTICIPATED CONSTRUCTION START: FALL 2026
ANTICIPATED CONSTRUCTION COMPLETION: SPRING 2027
ESTIMATED USEFUL LIFE OF IMPROVEMENTS – 10 YEARS

STREET NAME FROM TO ZONE
Oso Parkway West City Limits East City Limits A, B

MOULTON PARKWAY PAVEMENT REHABILTATION PROJECT
(Inclusive of asphalt concrete repairs, resurfacing with asphalt pavement or slurry seal, ADA access ramp construction, sidewalk construction and repairs, traffic control and restriping work)
ANTICIPATED CONSTRUCTION START: FALL 2026
ANTICIPATED CONSTRUCTION COMPLETION: SPRING 2027
ESTIMATED USEFUL LIFE OF IMPROVEMENTS – 10 YEARS

STREET NAME FROM TO ZONE
Moulton Parkway SR-73 Laguna Hills Drive A, C, D

LA PAZ ROAD PAVEMENT REHABILTATION PROJECT
(Inclusive of asphalt concrete repairs, resurfacing with asphalt pavement or slurry seal, ADA access ramp construction, sidewalk construction and repairs, traffic control and restriping work)
ANTICIPATED CONSTRUCTION START: FALL 2026
ANTICIPATED CONSTRUCTION COMPLETION: SPRING 2027
ESTIMATED USEFUL LIFE OF IMPROVEMENTS – 10 YEARS

STREET NAME FROM TO ZONE
La Paz Road Alameda Avenue East City Limits B, C, D

Resolution No. 2026-05-26-X

AVENIDA DE LA CARLOTA PAVEMENT REHABILTATION PROJECT
(Inclusive of asphalt concrete repairs, resurfacing with asphalt pavement or slurry seal, ADA access ramp construction, sidewalk construction and repairs, traffic control and restriping work)
ANTICIPATED CONSTRUCTION START: FALL 2026
ANTICIPATED CONSTRUCTION COMPLETION: SPRING 2027
ESTIMATED USEFUL LIFE OF IMPROVEMENTS – 10 YEARS

STREET NAME FROM TO ZONE
Avenida de la Carlota Lake Forest Drive Los Alisos Boulevard E, F

City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Jennifer Lowe, Community Development Director
Issue: Development Application Status Report
Recommendation: That the City Council receive and file the report.

Background:

The City Council has indicated that based on potential impact(s) to the community, certain projects warrant a regular status update. The purpose of this Status Report is to identify new and pending major development applications in process with the City’s Community Development Department which will require a public hearing. Links to project documents are available on the City’s website at:
https://lagunahillsca.gov/PlanningProjects.

Case Number RZNE-0014-2026
Project Location Citywide
Project
Description
No Net Loss – review and rezone of properties to ensure the City maintains sufficient capacity to accommodate the City’s remaining RHNA by income level.

Applicant N/A
Project Planner Jennifer Lowe, Community Development Director Status As of February 24, 2026, the remaining sites designated in the 6th Cycle Housing Element no longer had sufficient capacity to accommodate the City’s remaining RHNA by income level. The City Council held Study Session #1 on April 1, 2026, to discuss potential sites for rezoning. The City Council directed staff and City consultant to determine feasibility of potential sites in accordance with HCD requirements. Study Session #2 was held on April 29, 2026. The City Council gave further direction on sites to

Case Number USE-0264-2026 (SDP/TTM)
Project Location 23172 Plaza Pointe Drive, 23421 & 23441 South Pointe Drive Project
Description
Request to construct 100 attached single-family residential units.

Applicant Aylene Chu, on behalf of Toll West Coast, LLC Project Planner David See, Contract Planner
Status This project was formally submitted on May 14, 2026. The application is currently under review by staff.

Case Number USE-0255-2026 (SDP/CUP)
Project Location 23293 South Pointe Drive
Project
Description
Request for a conditional use permit to establish a private high school in Plaza Pointe Center.

Applicant Daniel Ho, on behalf of Ronald Reagan Secondary School Project Planner Talia Markison, Assistant Planner
Status This project was formally submitted on February 17, 2026. On March 17, 2026, staff notified the applicant that the application was determined to be incomplete. Staff reviewed the entire application for consistency with applicable development standards. Staff is continuing to work with the Applicant on various aspects of the application. This item will be scheduled for public hearing when ready.

Case Number USE-0254-2026 (SDP/CUP)
Project Location 23000 Lake Forest Drive
Project
Description
Request for a site development permit and conditional use permit to demolish a vacant restaurant building and construct a new selfservice car wash. be considered for rezoning and authorized commencement of the requisite CEQA process.

Applicant Quick Quack Car Wash
Donald Shiveley, on behalf of UB Properties Series 2, LLC Project Planner Talia Markison, Assistant Planner
Status This project was formally submitted on February 9, 2026. On March 11, 2026, staff notified the applicant that the application was determined to be incomplete. Staff reviewed the entire application for consistency with applicable development standards. Staff is continuing to work with the Applicant on various aspects of the application. This item will be scheduled for public hearing when ready.

Case Number USE-0250-2025 (CUP)
Project Location 25226 Cabot Road
Project
Description
Request for conditional use permit to establish a veterinary hospital within the Moulton Ranch Center.

Applicant Shawn Zuo, on behalf of Alliance Vet
Project Planner Talia Markison, Assistant Planner
Status This project was formally submitted on December 27, 2025. On January 22, 2026, staff notified the applicant that the application was determined to be incomplete. Staff reviewed the entire application for consistency with applicable development standards. This item is scheduled for public hearing on May 26, 2026.

Case Number USE-0239-2025 (SPA/TTM/SDP/CUP/MSP/PP/PUP/DA) Project Location 24155 Laguna Hills Mall
Project
Description
Request for major modifications to the previously approved land use entitlements granted in 2022 for the Village at Laguna Hills development.

Applicant MGP Fund X Laguna Hills, LLC
David Geiser, on behalf of Merlone Properties
Project Planner Gena Guisar and Leila Carver, Contract Planners

Status After the City Council directed staff on August 26, 2025, to initiate review of the development application, the application for the project was accepted by staff on September 29, 2025. The application is under review concurrently with the Village at Laguna Hills ("VALH") Ad Hoc Committee and City's Special Counsel continued engagement with the Applicant regarding the
Development Agreement. Updates regarding the status of the project will be presented to the City Council by the VALH Ad Hoc Committee. This item will be scheduled for public hearing when ready.

Item No. 4.9
City of Laguna Hills
City Council / Planning Agency
Staff Report
Date: May 26, 2026
To: Mayor and Council Members
From: Joe Ames, Assistant City Manager
Issue: Amendment No. 1 to Tree Maintenance Services Agreement with West Coast Arborists, Inc. for Citywide Tree Maintenance Services
Recommendation: That the City Council: 1. Approve Amendment No. 1 to the Tree Maintenance Services Agreement with West Coast Arborists, Inc. for Citywide Tree Maintenance Services; and 2. Authorize the City Manager to sign Amendment No. 1 to the Tree Maintenance Services Agreement.

Background:

On July 13, 2021, City Council approved a Tree Maintenance Services Agreement for Citywide Tree Maintenance Services with West Coast Arborists, Inc. for a five-year term starting July 13, 2021, and ending on July 12, 2026. The Agreement allows for one (1) three-year extension on the same terms and conditions as the original Agreement.

West Coast Arborists, Inc. has provided excellent service to the City over the past five years. Consequently, City staff recommends City Council approve proposed Amendment No. 1 to the current Tree Maintenance Services Agreement with West Coast Arborists, Inc. to provide continued Citywide tree maintenance services.

In making this recommendation, City staff also evaluated whether soliciting competitive bids would be more advantageous. Historically, during periods of elevated inflation for goods and services, extending existing service agreements based on consumer price index adjustments has proven more cost-effective than rebidding services. The existing Tree Maintenance Services Agreement allows the City to unilaterally exercise an extension at rates tied to the current consumer price index. Accordingly, the requested

3.7% increase by West Coast Arborists, Inc. as part of Amendment No. 1 is anticipated to result in more favorable pricing than pursuing a new competitive bid process.

Item No. 4.9
Fiscal Impact:

The approval of Amendment No. 1 to the existing Tree Maintenance Services Agreement does not result in a new fiscal impact. The existing FY 2025-2027 biennial budget includes tree maintenance.

Attachments:

1. Proposed Amendment No. 1 to Tree Maintenance Services Agreement

2. Existing Tree Maintenance Services Agreement with West Coast Arborists, Inc.

AMENDMENT NO. 1

TO CITYWIDE TREE MAINTENANCE SERVICES AGREEMENT
West Coast Arborists, Inc.

THIS FIRST AMENDMENT to the West Coast Arborists, Inc., Citywide Tree Maintenance Services Agreement (the "Amendment" or “Amendment No. 1”) is made and entered into to be effective this 26th day of May 2026, by and between the CITY OF LAGUNA HILLS, a municipal corporation organized and existing under the laws of the State of California, (hereinafter referred to as "City") and WEST COAST ARBORISTS, INC., a California corporation (hereinafter referred to as “Contractor"). City and Contractor are sometimes hereinafter individually referred to as "Party" and are hereinafter collectively referred to as "Parties".

RECITALS
A. City and Contractor previously entered into that certain Citywide Tree Maintenance Services Agreement to provide, furnish, and perform citywide tree maintenance services for the City’s urban forest, as well as to provide and perform other similar tree maintenance services, to City, on a routine, regularly scheduled emergency and as as-needed, on-call basis which was made and entered into on July 13, 2021 (the “Agreement”). Sections 1.8 (Additional Services), 2.4 (Changes in Scope), 3.3 (Term), and 10.2 (Entire Agreement) of the Agreement provide that the Agreement may be amended to provide for additional services, the term extended, and to include additional fees for services requested in writing at any time by mutual consent of the Parties. More specifically, Section 3.3 of the Agreement provides that at the conclusion of the initial five (5) year term (“Initial Term”), at its sole option and discretion, the City may renew and extend the term of this Agreement for no more than one (1) additional period of three (3) years (“Renewal Option”).

B. Unless amended by mutual written agreement of the Parties, the Agreement is currently scheduled to expire on July 12, 2026 by operation of its own terms. Contractor has now requested that the term of the Agreement be extended for three (3) additional years, pursuant to Section 3.3 of the Agreement (“Renewal Option”.)
C. Toward this end, the Parties now mutually desire to enter into this Amendment No. 1 for the purpose of extending the term of the Agreement for three (3) additional years in order to provide for continued uninterrupted tree maintenance services under the same terms and conditions as established and set forth in the Agreement, except that the hourly rates, charges and unit pricing shall be updated in accordance with the Contractor’s Extension Letter dated March 30, 2026, attached hereto as Exhibit A and incorporated herein by reference and shall supersede and replace all previously applicable rates, charges, and unit pricing in their entirety, and such hourly rates, charges and unit pricing shall remain fixed until the first anniversary of the effective date of this Amendment No. 1. Commencing on the first anniversary of the effective date of this Amendment No 1, and on each anniversary thereafter during the Extension Term, the then current rates, charges and unit pricing may be adjusted by an amount not to exceed the percentage change in the Consumer Price Index for All Urban Consumers (CPI-U), Los Angeles, Long BeachAnaheim, CA, for the preceding one year as published for the month of April of any given year by 











 

the U.S. Bureau of Labor Statistics. In no event shall any adjustment exceed five percent (5%) per year regardless of CPI-U. The parties further agree to increase the Yearly Maximum Contract Amount set forth in Section 2.1 of the Agreement by $100,000 from $450,000 to $550,000.

NOW, THEREFORE, in consideration of the mutual promises and covenants herein, the Parties agree as follows:

AGREEMENT

1. Amendment to Section 3.3, entitled “Term,” of the Agreement. Section 3.3 of the Agreement is hereby amended as follows:

The Parties understand and mutually agree that the term of the Agreement is hereby extended for one (1) additional three (3) year term, commencing on July 13, 2026, and ending on July 12, 2029 (“Renewal Option”), under the same terms and conditions as set forth in the Agreement, except that the hourly rates, charges and unit pricing shall be as set forth in Exhibit A, Contractor’s Extension Letter dated March 30, 2026, attached hereto and incorporated herein by reference, which shall supersede and replace all previously applicable rates, charges, and unit pricing in their entirety. Such rates, charges and unit pricing shall remain fixed until the first anniversary of the effective date of this Amendment No. 1. Commencing on the first anniversary of the effective date of this Amendment No. 1, and on each anniversary thereafter during the Extension Term, the then current rates, charges and unit pricing may be adjusted by an amount not to exceed the percentage change in the Consumer Price Index for All Urban Consumers (CPI-U), Los Angeles, Long BeachAnaheim, CA, for the preceding one year as published for the month of April of any given year by the U.S. Bureau of Labor Statistics. In no event shall any adjustment exceed five percent (5%) per year regardless of CPI-U.

2. Amendment to Section 2.1, entitled "Maximum Contract Amount," of the Agreement.

Section 2.1 of the Agreement is hereby amended and restated in its entirety to read as follows:
“2.1 Maximum Contract Amount. For the Services and Work rendered pursuant to this Agreement, Contractor shall be compensated by City in accordance with the fees, charges, and unit prices set forth in Contractor’s Extension Letter dated March 30, 2026 (Exhibit "A"), but not exceeding the total yearly maximum contract amount of Five Hundred Fifty Thousand Dollars ($550,000) (hereinafter referred to as the "Yearly Maximum Contract Amount"), except as may be provided pursuant to Section 1.8 above and Section 2.4 below. The Yearly Maximum Contract Amount shall include the attendance of Contractor at all Project meetings deemed reasonably necessary by the City.

Contractor shall not be entitled to any increase in the Yearly Maximum Contract Amount for attending these meetings. The maximum amount of City’s payment obligation under this Agreement is the amount specified in this section.” 











 

3. Full Force and Effect. This Amendment No. 1 is supplemental to the Agreement and is by reference made part of said Agreement. All of the terms, conditions, and provisions, thereof, unless specifically modified herein, shall continue in full force and effect. In the event of any conflict or inconsistency between the provisions of this Amendment and any provisions of the Agreement, the provisions of this Amendment No. 1 shall in all respects govern and control.

4. Recitals. The above-referenced Recitals are hereby incorporated into this Amendment No. 1 as though fully set forth herein and made part of the Agreement and each Party acknowledges and agrees that such Party is bound, for purposes of this Agreement, by the same.

5. Corporate Authority. Each of the undersigned represents and warrants that (i) the Party for which he/she is executing this Amendment is duly authorized and existing, (ii) he/she is duly authorized to execute and deliver this Amendment on behalf of the Party for which he/she is signing, (iii) by so executing this Amendment, the Party for which he/she is signing is formally bound to the provisions of this Amendment, and (iv) the entering into this Amendment does not violate any provision of any other agreement to which the Party for which he/she is signing is bound.
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IN WITNESS WHEREOF, the Parties have executed and entered into this Amendment to the Agreement as of the date first written above.
"CITY"
CITY OF LAGUNA HILLS, a California municipal
corporation
By: ______________________________________

DON CASKEY,
Mayor
ATTEST:

By:________________________________

KAREN HAMMAN,
Interim City Clerk
APPROVED AS TO FORM:

By:________________________________

VANESSA LASSOOY,
Assistant City Attorney
"CONTRACTOR"
WEST COAST ARBORISTS, INC., a California
corporation
By:

Name: PATRICK MAHONEY
Its: President
By:

Name: RICHARD MAHONEY
Its: Secretary
ATTACHMENTS:

Exhibit A: Contractor Extension letter dated March 30, 2026 











 

Effective Date:

Region Area:

July 01, 2026

3.70%
Los Angeles-Long Beach-Anaheim
Sincerely,
Victor M. Gonzalez
CPI Adjustment Requested:

Vice President, Business Development
As we approach the end of the current contract year, West Coast Arborists, Inc. would like to extend our gratitude to you and your team for your continued partnership. Throughout our partnership, we have worked together to safeguard the health and integrity of your community's urban forest. We look forward to continuing our contributions toward your urban forest goals.

We are writing to express our interest in extending our current agreement for an additional year. As we look ahead, we would like to request a slight cost adjustment.

This adjustment is driven by changes in the Consumer Price Index (CPI) for the region, as well as increases in labor costs, both of which have had an impact on our operational expenses. We respectfully request a cost adjustment based on the CPI for the area, as published by the Department of Labor’s Bureau of Labor Statistics.

We understand the importance of maintaining fiscal responsibility and have ensured that the requested adjustment is fair and reasonable, given the current market conditions. We look forward to another successful year ahead. Should you have any questions or require additional information, please do not hesitate to email me at [email protected] or call me at (800) 521-3714.

Tree Care Professionals Serving Communities Who Care About Trees www.WCAINC.com March 30, 2026
ATTN: JOE AMES, P.E., T.E.

CITY OF LAGUNA HILLS
24035 EL TORO ROAD
LAGUNA HILLS, CA 92653
RE: Tree Maintenance Services performed by WCA, Inc.

Dear Mr. Ames, p.e., t.e.,
West Coast Arborists, Inc.
2200 E. Via Burton · Anaheim, California 92806 · 714.991.1900 · 800.521.3714 · Fax 714.956.3745 











 

1 Routine Full Prune 0-6 DBH Each $44.50
2 Routine Full Prune 7-18 DBH Each $66.70
3 Routine Full Prune 19-30 DBH Each $100.05
4 Routine Full Prune 31-36 DBH Each $166.75
5 Routine Full Prune >36 DBH Each $333.45
6 Routine Clearance Prune 0-6 DSH Each $33.25
7 Routine Clearance Prune 7-18 DSH Each $38.95
8 Routine Clearance Prune 19-36 DSH Each $44.50
9 Routine Clearance Prune >36 DSH Each $55.60
10 Routine Palm Prune - other spp Each $66.70
11 Routine Date Palm Prune Each $144.55
12 Routine Date Palm Shape Linear Foot $100.05
13 Routine Fan Palm Skin Linear Foot $16.65
14 Routine Palm Trunk Clean Linear Foot $16.65
15 Routine Palm Fruit Removal Each $66.70
16 Routine Tree & Stump Removal Inch $40.05
17 Routine Tree Only Removal Inch $28.95
18 Routine Stump Grind Inch $17.80
19 Routine Plant 15 Gallon Tree Each $183.35
20 Routine Plant 24" Box Tree Each $383.60
21 Extraordinary Full Prune 0-6 DBH Each $88.95
22 Extraordinary Full Prune 7-18 DBH Each $277.95
23 Extraordinary Full Prune 19-30 DBH Each $472.55
24 Extraordinary Full Prune 31-36 DBH Each $667.15
25 Extraordinary Full Prune >36 DBH Each $917.35
26 Contaminated Matl Disposal - ton Each $111.20
27 Risk Assessment Report Man Hour $178.00
28 Canopy Spray - ground Inch $6.65
29 PGR Trunk Banding Inch $6.65
30 PHC Specialist Man Hour $166.80
31 PHC Technician Man Hour $111.20
32 Senior Tree Trimmer Man Hour $111.20
33 Supervisor Man Hour $111.20
34 Tree Trimmer Man Hour $111.20

CITY OF LAGUNA HILLS
Item
Schedule of Compensation for Year 2026 - 2027
Tree Maintenance Services performed by WCA, Inc.

Description Unit Proposed Prices
Printed on: 5/20/2026 2:36:16 PM Page 2 of 3












 

35 Grounds Person Man Hour $111.20
36 Operating Engineer Man Hour $166.75
37 Aerial Lift - 43-55' Hour $27.90
38 Aerial Lift - 60-70' Hour $55.60
39 Aerial Lift - 75' Each $83.35
40 Aerial Lift - 80-90' Hour $111.20
41 Box/Chip Truck Hour $27.90
42 Brush Chipper Hour $27.90
43 Utility Vehicle Hour $27.90
44 Stump Grinder Hour $27.90
45 Root Pruner Hour $27.90
46 Stake Bed Truck Hour $27.90
47 Dump Truck Hour $27.90
48 Roll Off Truck Hour $111.20
49 Loader Hour $55.60
50 Crane Hour $222.40
51 Arrowboard Hour $55.60
52 Daily Crew - 3 mn w/eqpt Day $3,002.20
53 Crew Rental Man Hour $111.20
54 ER Response - bus hrs, 2 hr min Hour $500.35
55 ER Response - after hrs, 4 hr min Hour $500.35
The proposed rates reflect a 3.7% cost adjustment based on the Consumer Price Index for the LA-Anaheim-Long Beach region over the previous twelve months. Upon approval, the rates will be effective 7/13/2026.

CITY OF LAGUNA HILLS
Item
Schedule of Compensation for Year 2026 - 2027
Tree Maintenance Services performed by WCA, Inc.

Description Unit Proposed Prices
Printed on: 5/20/2026 2:36:16 PM Page 3 of 3












 

TREE MAINTENANCE SERVICES AGREEMENT
West Coast Arborists, Inc.
(Citywide Tree Maintenance Services)
THIS AGREEMENT FOR CITYWIDE TREE MAINTENANCE SERVICES (hereinafter "Agreement") is made and entered into, to be effective this 13th day of July 2021, by and between the CITY OF LAGUNA HILLS, a municipal corporation organized and existing under the laws of the State of California (hereinafter referred to as "City''), and WEST COAST ARBORISTS, INC., a California corporation (hereinafter referred to as "Contractor''). City and Contractor are sometimes hereinafter individually referred to as "Party" and are hereinafter collectively referred to as the "Parties."

RECITALS
A. City has determined that there is a need to retain the services of a qualified professional tree maintenance services company capable of performing routine, regularly scheduled, and specialized citywide tree maintenance services for the City's urban forest in order to maintain the treet assets owned by the City in a manner acceptable to the City (the "Project").

B. In response to City's Notice Inviting Bids (Notice Inviting Bids and Specifications for Citywide Tree Maintenance Services), dated May 24, 2021, Contractor has submitted to City a proposal, dated June 23, 2021 to provide tree maintenance services for the City's urban forest, as well as to provide and perform other similar tree maintenance services on as as-needed, on-call basis, for the Project pursuant to the terms of this Agreement.

C. Contractor represents and maintains that it is uniquely qualified by virtue of its experience, training, education, reputation, labor and equipment, and expertise to provide the requested tree maintenance services and has agreed to provide such maintenance services to City for the Project as provided herein. The City does not have the personnel, specialized equipment, or technical expertise able to perform the work and services contracted for herein. The City does not possess the knowledge, expertise, or skill to control and direct the work necessary for the Project and requires the use of an independent contractor to do so.

D. City desires to retain Contractor to provide such tree maintenance services for the Project.

NOW, THEREFORE, in consideration of the promises and mutual obligations, covenants, and conditions contained herein, and other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

AGREEMENT

1. MAINTENANCE SERVICES

1.1 Scope of Services and Standard of Performance. In compliance with all terms and conditions of this Agreement, Contractor promises and agrees to provide, furnish, and perform citywide tree maintenance services for the City's urban forest, as well as to provide and perform other similar tree maintenance services, to City for the Project on a routine, regularly scheduled, 1 1594035.1

emergency, and as-needed on-call basis as set forth in Contractor's Proposal/Scope of Work, dated June 23, 2021, and as set forth in City's Notice Inviting Bids and Specification for Citywide Tree Maintenance Services, dated May 24, 2021, which are each attached hereto as Exhibit "A" and Exhibit "B" respectively and are incorporated herein by reference (hereinafter referred to as the "Services" or "Work"). As a material inducement to the City entering into this Agreement, Contractor acknowledges and understands that the Services and Work contracted for under this Agreement require specialized skills, equipment, personnel, labor, and abilities and that, consistent with this understanding, Contractor's Services and Work shall be performed in a skillful and competent manner and shall be held to a standard of quality and workmanship prevalent in the industry for such service and work and with the standards recognized as being employed by contractors in the same discipline in the State of California. Contractor represents and warrants that it is skilled in the discipline necessary to perform the Services and Work and that it holds the necessary skills and abilities to satisfy the standard of work as set forth in this Agreement.

Contractor represents and warrants that it and all of its employees and subcontractors providing services under this Agreement shall have sufficient skill and experience to perform the Services and Work assigned to them. All Services and Work shall be completed to the reasonable satisfaction of the City.

1.2 Contract Documents. The Agreement between the Parties shall consist of the following: (1) this Agreement; (2) the City's Notice Inviting Bids and Specifications for Citywide Tree Maintenance Services, dated May 24, 2021; and, (3) the Contractor's signed, original Proposal/Scope ofWork, dated June 23, 2021, including the Contractor's Schedule of Performance and Schedule of Compensation/Fees/Hourly Rates and Unit Prices, ("Contractor's Proposal") submitted to City in response to City's Notice Inviting Bids for the Project, which shall all be referred to collectively hereinafter as the "Contract Documents." The Contractor's Proposal and City's Notice Inviting Bids and Specifications for Citywide Tree Maintenance Services dated May 24, 2021, which are both attached hereto as Exhibit ' A' and Exhibit 'B,' respectively, are hereby incorporated by reference and are made a part of this Agreement. All provisions of this Agreement, the Contractor's Proposal, and the City's Notice Inviting Bids, including the City's Project Specifications, shall be binding on the Parties. Should any conflict or inconsistency exist in the Contract Documents, the conflict or inconsistency shall be resolved by applying the provisions in the highest priority document, which shall be determined in the following order of priority: (1 s~ the terms and conditions of this Agreement; (2nd) the terms, conditions, requirements, and provisions of the City's Notice Inviting Bids and Specifications for Citywide Tree Maintenance Services (Exhibit "B"); and (3rd) the provisions of the Contractor's Proposal (Exhibit A").

1.3 Compliance with Law. Contractor shall comply at all times during the term of this Agreement with all applicable federal, state, and local laws, statutes, and ordinances and all lawful orders, rules, and regulations promulgated thereunder, including without limitation all applicable fair labor standards and Cal/OSHA regulations and requirements. Contractor shall keep itself fully informed of and in compliance with all local, state, and federal laws, rules, and regulations in any manner affecting the performance of the Work and Services, including all Cal/OSHA regulations and requirements, and shall give all notices required by law. Contractor shall be liable for all violations of such laws and regulations in connection with performing the Work and Services. If Contractor performs any Work or Services in violation of such laws, rules, and regulations, Contractor shall be solely responsible for all penalties and costs arising therefrom. Contractor shall defend, indemnify, and hold City, its officials, officers, employees, agents and volunteers, free and 2 1594035.1

harmless from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules, or regulations.

1.4 Licenses, Permits, Fees, and Assessments. Prior to performing any Services or Work hereunder, Contractor shall obtain all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its trade and perform the Work and Services required by this Agreement. Contractor represents and warrants to City that Contractor shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement and any extension, any license, permit, qualification, or approval that is legally required for Contractor to perform the Work and Services under this Agreement. Contractor shall have the sole obligation to pay for any fees, assessments, and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Contractor's performance of the Work and Services required by this Agreement, and Contractor shall defend, indemnify, and hold the City, its officials, officers, employees, agents and volunteers, free and harmless from any claim or liability arising out of any failure or alleged failure to obtain such licenses, permits, and approvals of whatever nature that are legally required to perform the Work or Services.

1.5 Familiarity with Work. By executing this Agreement, Contractor represents and warrants that it (a) has thoroughly investigated and considered the Scope of Work or Services to be performed, (b) has carefully considered how the Services should be performed and has carefully examined the location or locations at or with respect to where such Services or Work is to be performed, and (c) fully understands the facilities, difficulties, and restrictions attending performance of the Services under this Agreement. If the Services involve work upon any site, Contractor represents and maintains that Contractor has or will investigate the site and is or will be fully acquainted with the conditions there existing, prior to commencement of any Services hereunder. Should the Contractor discover any latent or unknown conditions that will materially affect the performance of the Services hereunder, Contractor shall immediately inform the City of such fact and shall not proceed except at Contractor's risk until written instructions are received from the City.

1.6 Care of Work. Contractor shall adopt reasonable methods during the term of the Agreement to furnish continuous protection to the Work and the equipment, materials, papers, documents, plans, studies, and/or other components thereof to prevent losses or damages, and shall be responsible for all such damages, to persons or property, until acceptance of the Work by the City, except such losses or damages as may be caused by City's own negligence.

1. 7 Further Responsibilities of Parties. Both Parties agree to use reasonable care and diligence to perform their respective obligations under this Agreement. Both Parties agree to act in good faith to execute all instruments, prepare all documents, and take all actions as may be reasonably necessary to carry out the purposes of this Agreement.

1.8 Additional Services. City shall have the right at any time during the performance of the Services, without invalidating this Agreement, to order extra work beyond that specified in Contractor's Proposal/Scope of Work (Exhibit ' A') or to make changes by altering, adding to, or deducting from such Work. No such extra work may be undertaken unless a written order is first given by the City to the Contractor, incorporating therein any adjustment in (i) the Annual Maximum Contract Amount, as defined below, and/or (ii) the time to perform this Agreement, which 3 1594035.1

adjustments are subject to the written approval of the Contractor. It is expressly understood by Contractor that the provisions of this section shall not apply to the Work and Services specifically set forth in the Contractor's Proposal/Scope of Work or reasonably contemplated therein, regardless of whether the time or materials required to complete any Work or Services identified in the Contractor's Proposal/Scope of Work exceeds any time or material amounts or estimates provided therein.

1.9 Preva'iling Wages. The City has determined that the Work and Services under this Agreement requires work oflabor categories which are subject to Prevailing Wage Laws identified in the State of California Labor Code. Contractor is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects.

Contractor agrees to fully comply with all applicable federal and state labor laws (including, without limitation, the Prevailing Wage Laws). It is agreed by the Parties that, in connection with the Work or Services provided pursuant to this Agreement, Contractor shall bear all risks of payment or nonpayment of prevailing wages under California law, and Contractor hereby agrees to defend, indemnify, and hold the City, its elected and appointed officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. The foregoing indemnity shall survive termination of this Agreement. Contractor understands and agrees to comply with the following California Labor Code compliance conditions [Labor Code Sections 1720 et seq., 1813, 1860, 1861, 3700]:
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1.9.1. This Agreement is subject to the provisions of Division 2, Part 7, Chapter 1 (commencing with Section 1720) ofthe California Labor Code relating to public works and the awarding public agency ("City") and Contractor agree to be bound by all the provisions thereof as though set forth in full herein.

1.9.2. Contractor shall be registered with the Department of Industrial Relations ("DIR") in accordance with California Labor Code Section 1725.5 and has provided proof of registration to City prior to the Effective Date of this Agreement.

1.9.3. Contractor agrees to comply with the provisions of California Labor Code Sections 1771, 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The applicable prevailing wage determination(s) may be obtained at
(http://www.dir.ca.gov/OPRUDPreWageDetennination.htm). are on file with City, and are available to any interested party upon request. A copy of said rates shall be posted at each job site during the Term of this Agreement.

1.9 .4. Pursuant to California Labor Code Section 1771.4, Contractor's services are subject to compliance monitoring and enforcement by the Department of Industrial Relations. Contractor shall post job site notices as prescribed by D IR regulations and furnish the records specified in California Labor Code Section 1776 directly to the Labor Commissioner in the manner prescribed by California Labor Code Section 1771.4(a)(3) and (c)(2).
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1.9.5. Contractor shall comply with the provisions of California Labor Code Section 1776 which, among other things, require Contractor and each subcontractor to (1) keep accurate payroll records, (2) certify and make such payroll records available for inspection as provided by Section 1776, and (3) inform the City of the location of the records. The Contractor is responsible for compliance with Section 177 6 by itself and all of its subcontractors.

1.9 .6. Contractor shall comply with the provisions of California Labor Code Section 1777.5 concerning the employment of apprentices on public works projects, and further agrees that Contractor is responsible for compliance with Section 1777.5 by itself and all of its subcontractors.

1.9.7. Eight (8) hours of labor shall constitute a legal day's work for all workmen employed in the execution of this Agreement, and the Contractor and any subcontractor shall comply with and be governed by the laws of the State of California having to do with working hours set forth in Division 2, Part 7, Chapter 1, Article 3 of the California Labor Code. Contractor shall comply with the provisions of California Labor Code Section 1813 concerning penalties for workers who work excess hours. Contractor shall, as a penalty to the City, forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by the Contractor or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty ( 40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the California Labor Code. (See, e.g., Cal. Labor Code §1815.)

1.9.8. Pursuant to California Labor Code Sections 1860 and 3700, Contractor will be required to secure the payment of compensation to its employees. By sigriing this Agreement, Contractor hereby certifies as follows:
"I am aware of the provisions of Section 3 700 of the Labor Code which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this Agreement."

1.9.9. Pursuant to California Labor Code Section 1771.1, Contractor and any subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 41 04 of the California Public Contract Code, or engage in the performance of any contract for public work on a public works project unless registered with the DIR and qualified to perform public work pursuant to California Labor Code Section 1725.2. It is not a violation of California Labor Code Section 1771.1 for an unregistered contractor to submit a bid that is authorized by California Business and Professions Code Section 7029.1 or by California Public Contract Code Section 10164 or 20103.5, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded. Contractor shall not perform any work under this Agreement with any 5

subcontractor who is ineligible to perform work on the public works project pursuant to Section 1777.1 or 1777.7 of the California Labor Code.

1.10 Water Quality Management and Compliance.

1.1 0.1 Storm Water Management. Storm, surface, nuisance, or other waters may be encountered at various times during performance of the Services or Work. Contractor hereby acknowledges that it has investigated the risk arising from such waters, has prepared its bid or proposal accordingly, and assumes any and all risks and liabilities associated with and arising therefrom.

1.10.2 Compliance with Water Quality Laws, Ordinances, and Regulations.

Contractor shall keep itself and any subcontractors, staff, agents, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by, the performance of the Services or Work, including, without limitation, all applicable provisions of: the City's ordinances regulating discharges of storm water; the Federal Water Pollution Control Act (33 U.S.C. § 1251 et seq.); the California Porter-Cologne Water Quality Control Act (Cal. Water Code § 1300 et seq.); and any and all regulations, policies, or permits issued pursuant to any such authority. Contractor shall additionally comply with the lawful requirements of the City, and any other municipality, drainage district, or other local or state agency having jurisdiction over the location where the Services or Work are to be performed, conducted, or provided, regarding discharges of storm water to separate storm drain systems or other watercourses, including applicable requirements in municipal storm water management programs.

1.1 0.3 Compliance with DAMP and LIP. In addition to compliance with the laws, ordinances, and regulations listed in subsection 1.1 0.2, Contractor shall comply with all applicable requirements of the Orange County Drainage Area Management Plan ("DAMP"), the City of Laguna Hills Local Implementation Plan ("LIP"), and the applicable Water Quality Management Plan ("WQMP"). Such documents contain the Model Maintenance Procedures with Best Management Practices ("BMPs"). These Model Maintenance Procedures contain pollution prevention and source control techniques to minimize the impact of those activities upon dryweather urban runoff, storm water runoff, and receiving water quality. Contractor hereby acknowledges and agrees to be familiar with the DAMP, the LIP, and the WQMP, and agrees to comply with the requirements specified therein.

1.1 0.4 Standard of Care. Contractor represents and warrants that all employees and subcontractors performing any Services or Work hereunder shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations, and policies described in Sections 1.1 0.2 and 1.1 0.3 of this Agreement. Contractor further represents and warrants that it, its employees and subcontractors will receive appropriate training regarding the requirements of the laws, regulations, and policies described in subsections

1.1 0.2 and 1.1 0.3 of this Agreement as they may relate to the Services.

1.10.5 Liability for Water Quality Non-Compliance.
(A) Indemnity: Failure to comply with laws, regulations, and ordinances listed in subsections 1.10.2 and 1.10.3 ofthis Agreement is a violation of federal and state law. 6 1594035.1

Notwithstanding any other indemnity contained in this Agreement, Contractor agrees to indemnify and hold harmless the City, its elected and appointed officials, officers, agents, employees and authorized volunteers from and against any and all claims, demands, losses or liabilities of any kind or nature which the City, its elected and appointed officials, officers, agents, employees and authorized volunteers may sustain or incur for noncompliance with the laws, regulations, and ordinances listed in subsections 1.1 0.2 and 1.1 0.3 of this Agreement arising out of or in connection with the Services, except for liability resulting from the sole negligence, willful misconduct or active negligence of the City, its elected and appointed officials, officers, agents, employees or authorized volunteers.
(B) Defense: City reserves the right to defend any enforcement action or civil action brought against the City for Contractor's failure to comply with any applicable water quality law, regulation, or policy. Contractor hereby agrees to be bound by, and to reimburse the City for the costs associated with, any settlement reached between the City and the relevant enforcement entity.
(C) Damages: City may seek damages from Contractor for delay in completing the Services caused by Contractor's failure to comply with the laws, regulations, and policies described in subsections 1.1 0.2 and 1.1 0.3 of this Agreement, or any other relevant water quality law, regulation, or policy.

1.11 Unauthorized Aliens. Contractor hereby represents and warrants that it will 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 any Work and/or Services under this Agreement, and should any liability or sanctions be imposed against City for such use of unauthorized aliens, Contractor hereby agrees to reimburse City for any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards, settlements, damages, demands, orders, or penalties which arise out of or are related to such employment, together with any and all costs, including attorneys' fees, incurred by City.

1.12 Non-Exclusive Agreement. Contractor acknowledges that City may enter into agreements with other contractors, consultants, or vendors for services similar to the services that are the subject of this Agreement. Contractor further acknowledges that City may have its own employees perform services similar to the services that are the subject of this Agreement. Contractor further acknowledges that City may have its own employees perform services similar to the services that are the subject of this Agreement.

2. COMPENSATION

2.1 Maximum Contract Amount. For the Services and Work rendered pursuant to this Agreement, Contractor shall be compensated by City in accordance with the Schedule of Compensation/Fees/Hourly Rates/Unit Prices set forth in Contractor's Proposal/Scope of Work, but not exceeding the total annual maximum contract amount of Four Hundred Fifty Thousand Dollars ($450,000.00) (hereinafter referred to as the "Annual Maximum Contract Amount"), except as may be provided pursuant to Section 1.8 above and Section 2.4 below. Compensation shall be payable according to the fees and at the rates, charges and unit prices set forth in Exhibit A" attached hereto. 7 1594035.1

The maximum amount of City's payment obligation under this Agreement is the amount specified in this section.

2.2 Method of Payment. Unless some other method of payment is specified in the Contractor's Proposal/Scope of Work (Exhibit "A'), in any month in which Contractor wishes to receive payment, no later than the 1Oth working day of such month, Contractor shall submit to the City, in a form approved by the City's Finance Director, an invoice for services rendered prior to the date of the invoice. Such requests shall be based upon the amount and value of the Work or Services performed by Contractor and accompanied by such reporting data including an itemized breakdown of all costs incurred and tasks performed during the period covered by the invoice, as may be required by the City. City shall use reasonable efforts to make payments to Contractor within forty-five ( 45) days after receipt of the invoice or a soon thereafter as is reasonably practical.

2.3 Optional CPI Adjustment of Compensation/Fees/Billing Rate Schedule. The fees, rates and/or unit prices set forth in Contractor's Proposal/Scope of Work shall remain fixed and unchanged for the first two (2) years of the term of this Agreement (i.e., from July 1, 2021 through June 30, 2023). Thereafter, Contractor may submit a request to adjust its fees, rates and/or unit prices once per year during the remainder of the term of the Agreement as provided for herein.

However, approval of any request to adjust fees, rates and/or unit prices shall be made at the sole discretion of the City Manager, in writing, and is subject to the City's approved budget. Such fee, rate, and/or unit price adjustment(s), if any, shall not exceed the value of the change of the Consumer Price Index for the Los Angeles/Orange County area for the preceding one year as published for the month of April of any given year. In no event shall any adjustment of any fee, rate or unit price exceed five percent (5%) per year regardless ofCPI or any other cost factors.

2.4 Changes in Scope. In the event any change or changes in the Scope of Work or Services is requested by the City, the Parties shall execute a written amendment to this Agreement, setting forth with particularity all terms of such amendment, including, but not limited to, any additional fees for services. An amendment may be entered into: (a) to provide for revisions or modifications to documents or other work product or work when documents or other work product or work is required by the enactment or revision of law subsequent to the preparation of any documents, other work product, or work; and/or (b) to provide for additional work or services not included in this Agreement or not customarily furnished in accordance with generally accepted practice in Contractor's profession.

2.5 Appropriations. This Agreement is subject to and contingent upon funds being appropriated therefore by the Laguna Hills City Council for each fiscal year covered by the term of this Agreement. If such appropriations are not made, this Agreement shall automatically terminate without penalty to the City.

3. SCHEDULE OF PERFORMANCE

3.1 Time of Essence. Time is of the essence in the performance of this Agreement. The time for completion of the services to be performed by Contractor is an essential condition of this Agreement. Contractor shall prosecute regularly and diligently the Work of this Agreement according to the agreed upon Schedule of Performance set forth in Contractor's Proposal/Scope of Work (Exhibit "A" ).
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