CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
To: Honorable Mayor and Council Members
FROM: Justin J. Martin, Deputy City Manager
DATE: June 6, 2023
SUBJECT: Agreement for Animal Control and Shelter Services with the City of Mission Viejo
RECOMMENDATION
Staff recommends that the City Council:
1. Approve the Agreement for Animal Control and Shelter Services with the City of Mission Viejo; and,
2. Authorize the City Manager to execute the Agreement and future amendments to the Agreement, subject to the City Attorney making non-substantive changes.
BACKGROUND
The City of Laguna Niguel has contracted with the City of Mission Viejo for animal control and shelter services since July 1, 1995. The City's most recent Agreement for animal control and shelter services with the City of Mission Viejo is scheduled to expire on June 30, 2023. To continue to provide high quality, cost-effective animal control and shelter services to the Laguna Niguel community, staff recommends entering into a new Agreement with the City of Mission Viejo.
The City of Mission Viejo also provides animal control and shelter services to the cities of Aliso Viejo, Laguna Hills, Rancho Santa Margarita, and Mission Viejo.
ANALYSIS
Under the terms of the Agreement, the City of Mission Viejo is responsible for all of the following services:
• Animal control field services including patrol; impounding of stray animals; field release to owner of restrained animals; transportation of all injured impounded animals to a veterinarian for emergency care; impounding and disposal of stray and owner controlled deceased animals; pick-up of injured or deceased wildlife; cruelty investigations; bite investigations; quarantine reports; vicious dog investigations; nuisance animal investigations; animal facility inspections/permits;
special animal event inspections/permits; enforcement of state and local laws and regulations, and issuance of citations; and public information and education services regarding domestic animals, wildlife, and general animal related regulations.
• Special services including pet licensing and license renewals; gaining compliance of delinquent pet license; animal facility licensing and inspection; and, low cost vaccination clinics.
• Animal shelter services including owner redemption and animal adoption. • Providing all labor, equipment and supplies.
• Maintaining conformity of ordinances, resolutions, regulations, and fees concerning animal control.
• Maintaining compliance in accordance with the laws of the State of California.
The cities of Mission Viejo, Laguna Niguel, Laguna Hills, Rancho Santa Margarita, and Aliso Viejo share the net cost of operations on a population basis. The net cost of operations is the annual cost, less license fees and other revenues. This arrangement has served the City of Laguna Niguel well and has resulted in the Agreement being extended several times since it was first entered into in 1995.
The City of Mission Viejo has prepared a new Agreement to provide animal control and shelter services to the City of Laguna Niguel (Attachment A). The Agreement term is July 1, 2023 through June 30, 2030, with the option to be extended administratively for one additional, consecutive five (5) year term.
Approval of the Agreement for Animal Control and Shelter Services supports Goal 1 (Public Safety) and Goal 2 (Fiscal Responsibility) of the City's Adopted Strategic Plan.
ALTERNATIVES CONSIDERED
The City Council may elect not to approve the Agreement and direct staff to seek alternate arrangements to provide animal control and shelter services. Staff does not recommend this alternative as an analysis on alternate providers was completed in August 2021. The analysis concluded that the City's current arrangement with the City of Mission Viejo provides the most cost effective option available to the City, while also retaining the closest location for shelter services and animal control response times. Alternative options analyzed include the cities of Laguna Beach/Laguna Woods Animal Control and Shelter system; the cities of Dana Point/San Clemente Animal Control and Shelter System; and, the County of Orange Animal Control and Shelter System (includes Lake Forest and San Juan Capistrano).
FISCAL REVIEW
The FY 2023-2024 Budget allocates $600,944 for animal control and shelter services.
Funding for future years of the Agreement will be included during the annual budget adoption process.
LEGAL REVIEW
The City Attorney's Office has reviewed the Agreement for Animal Control and Shelter Services and has approved the document as to form.
CONCLUSION
Staff recommends that the City Council:
1. Approve the Agreement for Animal Control and Shelter Services with the City of Mission Viejo; and,
2. Authorize the City Manager to execute the Agreement and future amendments to the Agreement, subject to the City Attorney making non-substantive changes.
Jamasa 8 Retousneau nata . Martion
Tamara S. Letourneau Justin J. Martin'
City Manager Deputy City Manager
Attachment A: Agreement for Animal Control and Shelter Services
ATTACHMENT A
Agreement for Animal Control and Shelter Services
CONTRACT #
AGREEMENT FOR ANIMAL CONTROL AND SHELTER SERVICES
THIS AGREEMENT for animal control and animal shelter services ("Agreement") is entered into by and between the City of Mission Viejo, a general law city, and the City of LAGUNA NIGUEL, California ("LAGUNA NIGUEL"), a California general law city, and is effective on the commencement date set forth in Section I.
WITNESSETH:
LAGUNA NIGUEL desires to contract with MISSION VIEJO for the performance of the hereinafter-described animal control and animal shelter services.
MISSION VIEJO is willing and able to render animal control and shelter services on the terms and conditions hereinafter set forth.
NOW THEREFORE, IT IS MUTUALLY AGREED as follows:
TERM
This Agreement shall become effective on July 1, 2023, and shall continue in full force and effect until June 30, 2030 (7 years), unless terminated as provided for in Sections 2, 5, and 14. This Agreement shall also have an extension term allowing this Agreement to be extended for one additional, consecutive five (5) year term. lotwithstanding the foregoing, and except as provided otherwise in Sections 5 an 4, either party agrees that it shall not terminate this Agreement at anv time durin the first three (3) years of the term of this Agreement.
TERMNATION
A. Either party may terminate this Agreement by providing prior written notice of said termination to the other party as provided hereafter. The written notice of termination must be given not less than one (I) calendar year in advance of the date the termination is to be effective, as defined in Section 2B below.
B. Upon provision of the written notice of termination provided for in subparagraph 2A, this Agreement shall terminate on the next June 30 that occurs not less than one (1) calendar year after the date of said notice of termination.
SERVICES
A. MISSION VIEJO agrees to provide, in its reasonable discretion, animal control services within the corporate limits of LAGUNA NIGUEL. The level of animal control and animal shelter services to be provided under this Agreement shall be substantially the same as that customarily provided to residents of MISSION EJO for similar services. Services provided by MISSION VIEJO shall includ he enforcement of State of California statutes deemed applicable to LAGUNA NIGUEL by MISSION VIEJO in its sole discretion. MISSION VIEJO will not be
obligated to enforce any ordinances adopted by LAGUNA NIGUEL except those adopted in compliance with Section 5 of this Agreement or as otherwise agreed upon. Services shall be provided in the following three categories:
(1) FIELD SERVICES: MISSION VIEJO shall be responsible for and provide all animal control field services in LAGUNA NIGUEL. Field services shall be reasonably provided seven days a week, 24 hours per day, 365 days a year. Field services shall include, but not limited to:
patrol of assigned area; impounding of stray animals; field release to owner of restrained animals; transportation of all injured impounded animals to a veterinarian for emergency care; impounding and disposal of stray and owner controlled deceased animals; pick-up of injured or leceased wildlife; cruelty investigations; bite investigations; quarantine reports; vicious dog investigations; nuisance animal investigations animal facility inspections and permits; special animal event inspections (2) SPECIAL SERVICES: MISSION VIEJO shall be responsible for and delinqueal pet license, and animal frey icensin and inspection one and animal facility licensing and inspection ir
LAGUNA NIGUEL. New pet licenses shall be available at the Mission /iejo Animal Services Center, and in the field through Animal Contro officers. Pet license renewals shall be processed by mail or through a All animal-related businesses in LAGUNA NIGUEL will be inspecte innually and in response to any complaints to assure that facilities mee required laws and standards. MISSION VIEJO shall provide advance notification of such inspections to LAGUNA NIGUEL animal related Low-cost vaccination clinics will be held four times a year at the Mission Viejo Animal Services Center for pet owners in LAGUNA NIGUEL.
Mission Viejo Animal Services may attend low-cost vaccination clinics within LAGUNA NIGUEL when requested to issue pet licensing to LAGUNA NIGUEL residents.
(3) SHELTER SERVICES: MISSION VIEJO shall be responsible for and provide animal shelter services to LAGUNA NIGUEL. Services shall be provided at the Mission Viejo Animal Services Center, 28095 Hillcrest, Mission Viejo ("Center"). The Center will be open to the public to locate
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lost pets or for pet adoption seven days per week, Monday through Sunday, except holidays. Public hours may vary from day to day, but shall generally be between 12pm and 4pm, and by appointment.
The Center shall retain dogs and cats that have owner identification for ten (10) calendar days for the purpose of owner redemption. The shelter shall retain dogs and cats without owner identification for five (5) calendar days for owner redemption. Animals will be kept on public display to allow owner identification and redemption. When animals are wearing identification and/or are microchipped, owners will be contacted by telephone, email, mail and/or field notice at the election of Mission Viejo.
After the owner redemption holding period, the Center shall retain all healthy, non-aggressive dogs and cats indefinitely for public adoption.
MISSION VIEJO agrees to maintain the Center in a humane manner and The decision to euthanize any animal will be based on a complete evaluation of an animal's overall health, temperament, age and adoptability Veterinarian; b) a certified Dog Trainer; c) Mission Viejo Animal Services staff. The Mission Viejo Animal Services Center will prepare documentation for each animal that is euthanized explaining how and wh he decision for euthanasia was reached. Each member that was include in the decision process will sign this documentation.
B. MISSION VIEJO shall furnish and supply all necessary labor, supervision, same shall be supplied from time to time by LAGUNA NIGUEL at its own expense.
C. The method by which services are provided, the standard of performance, any other matters incidental to the performance of such services, and the control of personnel so emploved, shall be determined by MISSION VIEJO. In the event of a dispute between the parties as to the extent of the duties and functions to be provided hereunder, or the level and manner of such services, the parties shall meet in good faith to resolve their differences. In the event of an impasse, the decision of the City D. To facilitate the performance of services hereunder; MISSION VIEJO shall be provided the unrestricted cooperation and assistance of and from LAGUNA NIGUEL, its officers, agents and employees.
E. Upon the mutual written agreement of the parties, additional services may be rendered by MISSION VIEJO and paid for by LAGUNA NIGUEL.
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4. STATUS OF CONTRACTOR
Although the services herein described are municipal functions, all persons employed by MISSION VIEJO to provide said services shall be MISSION VIEJO employees; no person employed hereunder shall have the right to any LAGUNA NIGUEL pension or civil service status.
When performing services under this Agreement and for the purpose of giving official status to the performance therefore where necessary, but not for the purpose of liability or indemnification, every MISSION VIEJO officer or employee shall be deemed to be an officer or agent of LAGUNA NIGUEL.
5. CONFORMITY OF LAGUNA NIGUEL ORDINANCES WITH MISSION VIEJO ORDINANCES A. LAGUNA NIGUEL has adopted ordinances concerning animal control. MISSION VIEJO ordinances and regulations and the City Manager of MISSION VIEJO shall advise LAGUNA NIGUEL as to whether LAGUNA NIGUEL needs to amend or discretion, automatically terminate this Agreement, notwithstanding Section 2 of this Agreement.
MISSION VIEJO may adopt new animal control ordinances and/or regulations in the future or amend or repeal its existing ordinances and/or regulations. If MISSION discretion, automatically terminate this Agreement, notwithstanding Section 2 of this Agreement.
B. LAGUNA NIGUEL shall maintain all ordinances, resolutions or other regulations necessary to enable MISSION VIEJO personnel to enforce the ordinances and laws within the corporate jurisdiction of LAGUNA NIGUEL.
6. PREPARATION OF ANNUAL BUDGET
MISSION VIEJO agrees that the City Manager of LAGUNA NIGUEL shall have the right to review the preparation of Mission Viejo's Animal Service Program budgets for fiscal years in which this Agreement remains in effect.
7. PAYMENTS
A. BASIS FOR PAYMENT FOR MISSION VIEJO PERFORMANCE AS DEFINED IN SECTION 7B
LAGUNA NIGUEL shall pay MISSION VIEJO for the actual costs of providing animal control and animal shelter services to the areas within the corporate limits of LAGUNA NIGUEL in accordance with Subsections B. through F.
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B. PAYMENT METHOD
LAGUNA NIGUEL shall make quarterly provisional payments to MISSION VIEJO in an amount equal to twenty-five percent (25%) of the estimated Provisional Payment, defined below, for the then applicable fiscal year. The estimated Provisional Payment for each fiscal year shall be determined by mutual agreement during MISSION VIEJO's annual budget preparation process for that fiscal year provided for in Section 6. In the event the parties do not reach agreement upon the amount of the Provisional Payment for a determined pursuant to Section 7C. Each quarterly payment shall be due thirty (30) days after the end of the quarter in which services were provided ("due date").
(2) If a payment is not received by MISSION VIEJO within thirty (30) days after the due date, MISSION VIEJO may cease providing any further service unde this Agreement to LAGUNA NIGUEL and may satisfy the indebtedness ir any manner prescribed by law and Section 2 of this Agreement. (3) Exceptions to payment to MISSION VIEJO: LAGUNA NIGUEL shall not be called upon to assume any economic responsibility for:
(a) direct payment of any salaries, wages or other compensation to any MISSION VIEJO personnel performing services pursuant to this Agreement;
(b) any expenditure of costs other than specifically provided for in Section 7 of this Agreement except as the same may arise under Section 12; and
compensation or indemnity to any MISSION VIEJO employee for injury or sickness arising out of his or her employment while performing services pursuant to this Agreement; provided, however, the costs of such expenses described in this subparagraph shall be considered expenditures for the Animal Services program and shall be allocated pursuant to the terms of Section 7C of this Agreement.
C. DETERMINATION OF ACTUAL COST OF SERVICES
(1) MISSION VIEJO shall collect and maintain expenditure and workload data to be used to determine the Actual Cost of the animal control and shelter services provided to LAGUNA NIGUEL for each fiscal year during the term of this Agreement.
LAGUNA NIGUEL's Actual Cost of Services shall be determined for each fiscal year. This shall be done by applying LAGUNA NIGUEL's percentage of the total population of the total pool of all participating cities of LAGUNA
NIGUEL, ALISO VIEJO, RANCHO SANTA MARGARITA, LAGUNA
HILLS and MISSION VIEJO to the Net Cost for the services program. Net Cost shall be calculated by subtracting the total fiscal year revenues from the expenditures for animal services. Population shall be based on the State
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Controller's population estimate for each City for the January I immediately preceding the applicable fiscal year.
(3) Any monetary donations received by MISSION VIEJO or LAGUNA NIGUEL shall be placed in dedicated Animal Services budgets. Funds shal e used, as determined by MISSION VIEJO to fund extraordinary care of the animals and or one-time capital expenses to aid in improving the care of the D. FEE REVENUE
(1) MISSION VIEJO shall have all powers of LAGUNA NIGUEL and shall receive all cooperation possible from LAGUNA NIGUEL to enable efficient enforcement of fee collection. MISSION VIEJO shall retain all fees and revenue derived from the enforcement of the LAGUNA NIGUEL ordinances pertaining to the animal control services provided by MISSION calculation of ed toast, ach feis an in eion vil be included in the (2) MISSION VIEJO agrees to keep a record of all license revenue collected from residents of LAGUNA NIGUEL, and all fee revenue generated from nimals received from LAGUNA NIGUEL residents or impounded withi le corporate limits of LAGUNA NIGUE
E. ADJUSTMENTS TO PROVISIONAL PAYMENT
(1) MISSION VIEJO agrees to complete the calculation of the Actual Cost of Service for animal shelter services for a fiscal year, on or before the December 31 immediately following the end of the fiscal year.
(2) If the Actual Cost of Service for any fiscal year is greater than the Provisional Payments for a fiscal year, then MISSION VIEJO shall invoice LAGUNA NIGUEL for the difference. If payment of the difference is not received by MISSION VIEJO within sixty (60) days after the invoice is submitted, MISSION VIEJO may satisfy the indebtedness in any manner prescribed by law and, in its sole election, may discontinue services to LAGUNA NIGUEL under this Agreement. If the Actual Cost of Service for any fiscal year is less than the provisional payments for a fiscal year, MISSION VIEJO will credit or refund the difference within sixty (60) days of the determination of the Actual Cost of Service.
F. PROHIBITION ON RECOUPMENT OF INITIAL SHELTER COSTS
MISSION VIEJO agrees that LAGUNA NIGUEL shall not be expected or required Depreciation is an allowable expense under Section 7C(2) for the purpose of replacement and rehabilitation of capital assets. Depreciation is not considered
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recouping the original cost of a capital asset but rather funding the replacement and rehabilitation cost of that capital asset.
G. ANIMAL SERVICES CAPITAL ASSETS
OWNERSHIP: Capital assets, including but not limited to, costs for land, animal shelter facilities, vehicles, furniture, fixtures and equipment shall be owned by MISSION VIEJO.
FINANCING ACQUISITION OF CAPITAL ASSETS: LAGUNA NIGUEL's share of the cost of capital assets shall be determined in the same manner that LAGUNA NIGUEL's Actual Cost of Service is determined as set forth in Section 7C(2).
FINANCING THE REPLACEMENT OR REHABILIATION OF CAPITAL
SSETS: The cost of capital assets will be depreciated on a straight-line basis ov eir useful lives. This depreciation calculation will increase expenditures in Sectio 7C(2). Accumulated depreciation will be used to help finance the replacement and MISSION VIEJO and LAGUNA NIGUEL will enter into separate agreements for new capital improvement projects relating to nonoperating capital expenses.
In the event that this Agreement shall be terminated by either party, both parties agree to meet in good faith to equitably split the unspent revenues after all costs have been covered by the CITY OF MISSION VIEJO for current year operating expenses and capital expenses in the process of construction.
In the event that this Agreement shall be terminated by either party, both parties agree to meet in good faith to equitably split the balance of the depreciated capital for those items LAGUNA NIGUEL has been paying for through the depreciation calculation.
8. BINDING ARBITRATION
Any dispute arising with respect to Section 7(H) and (I) that cannot be settled by good faith negotiation hall be settled by binding arbitration in accordance with the Rules of the American Arbitratio ssociation. Arbitrators shall be selected from the list of retired judges of the Orange County Superio Court or any California appellate court. The arbitration shall be held in Orange County, California. Any decision or award rendered by the arbitrator shall be in writing stating a factually detailed, reasoned opinion of the arbitrator's findings of fact and conclusions of law, and shall be signed by the Arbitrator.
The Arbitrator, in deciding any dispute under Section 7(H) and (I), shall base his or her decision or award on the record, shall have no power or authority to award special, consequential, punitive, or exemplary damages, and shall look to the substantive laws, and not the laws of conflicts, of the State of California for the resolution of the Dispute. Both parties reserve the right to conduct full discovery pertinent to California Code of Civil Procedure, Section 1283.05. Any costs for said Arbitration shall be borne equally by both parties.
9. CONSULTATION
MISSION VIEJO agrees to consult with LAGUNA NIGUEL during the consideration of, and prior to any final decision and/or implementation of the following:
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A. The Animal Services annual operating budget and capital improvement program for each fiscal year this Agreement is in effect.
B. Any proposed change in the level of service, staffing, days or hours of operation of field services, special services or shelter services.
C. Any proposal to offer or contract for the provision of animal control and shelter services to another public agency.
D. Any change in the method by which MISSION VIEJO determines general administrative costs, general overhead costs, indirect costs, depreciation of capital assets or insurance costs with respect to the allocation to the Animal Services program budget.
E. Any proposed changes to MISSION VIEJO ordinances, regulations, and fees concerning animal control services that MISSION VIEJO would propose be adopted by LAGUNA NIGUEL.
F. Any proposed changes in insurance coverage for the animal control operations and/or any potential change in costs for such coverage.
G. MISSION VIEJO on or about March 1 of the year in which MISSION VIEJO begins preparation of the two-year budget cycle shall submit a draft budget to the City Manager of LAGUNA NIGUEL for review and comment prior to processing the final document and resenting it to the City Council of MISSION VIEJO for adoption.
10. RECORDS
All records created or received by MISSION VIEJO in accordance with this Agreement shall be MISSION VIEJO records. MISSIÓN VIEJO agrees to keep such books and records in such form and manner as the Director of Administrative Services of MISSION VIEJO shall specify. Said books shall be open for examination by LAGUNA NIGUEL at all reasonable times.
11. CAPITAL ASSETS AND DEPRECIATED ITEMS
MISSION VIEJO shall provide LAGUNA NIGUEL, upon request, with a list of capital assets and preciated items with respect to the provision of services under this Agreement at the time it provid budget for approval by the City Council of MISSION VIEJ
12. ALTERATION OF TERMS
This Agreement fully expresses ail understandings of MISSION VIEJO and LAGUNA NIGUEL with espect to the subject matter of this Agreement, and shall constitute the total Agreement between the arties for these purposes. No addition, or alteration, of the terms of this Agreement shall be valid unles:
made in writing, formally approved and executed by duly authorized agents of both parties.
13. INDEMNIFICATION
A. That neither LAGUNA NIGUEL nor any officer or employee thereof shall be responsible for
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Government Code Section 895.4, MISSION VIEJO, shall fully defend, indemnify and hold LAGUNA NIGUEL harmless from any liability imposed for injury (as defined by Government Code Section 810.8), including attorney's fees and costs, occurring by reason of anything done or omitted to be done by MISSION VIEJO under or in connection with any work, authority or jurisdiction delegated to MISSION VIEJO under this Agreement.
14. INSURANCE
MISSION VIEJO agrees to maintain the following insurance coverage during the term of this Agreement:
A. Workers' Compensation and Employer's Liability:
MISSION VIEJO shall maintain workers' compensation insurance with statutory limits and employer's liability insurance in an amount not less than one million dollars ($1,000,000.00) per accident for bodily injury or disease for MISSION VIEJO's employees in accordance with the laws of the State of California, Section 3700 of the Labor Code.
B. General Liability:
MISSION VIEJO shall maintain General Liability Insurance coverage for claims which may arise from or out of MISSION VIEJO'S performance of its obligations hereunder. This coverage shall have a limit of liability not less than $1,000,000 per occurrence.
C. Automobile Liability:
If vehicles or mobile equipment are used in the performance of the obligations under this Agreement, then MISSION VIEJO agrees to maintain automobile liability insurance for vehicles provided by MISSION VIEJO for use under this Agreement. This coverage shall have a limit of liability of not less than $1,000,000 combined single limit for each accident.
15. BREACH OF AGREEMENT
Except as provided in Section 2, if either MISSION VIEJO or LAGUNA NIGUEL defaults in the performance of the terms or conditions of the Agreement, it shall have thirty (30) days after service upon it of a written notice of default in which to cure the default by rendering satisfactory performance. In the event that a party fails to cure its default within such period of time, the other party shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement without further notice and without prejudice to any other remedy to which it may be entitled at law, in equity, or under this Agreement. The failure of either party to object to any default in the performance of the terms and conditions of this Agreement shall not constitute a waiver of either the term or condition, or of any other term or condition of this Agreement.
16. ATTORNEY'S FEES
If any legal proceeding, including an action for declaratory relief, is brought to enforce or interpret provisions of this Agreement, the prevailing party will be entitled to reasonable attorney's fees, which may be set by the court in the same action or in a separate action brought for that purpose, in addition to any other relief to which the party may be entitled.
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17. NOTICES
Unless the persons or addresses are otherwise identified by notice given in the manner specified by this paragraph, all notices authorized or required by this Agreement shall be deemed effective when reduced to writing and deposited in the United States mail, certified, and addressed as follows:
To MISSION VIEJO: City Manager
City of Mission Viejo
200 Civic Center
Mission Viejo, CA 92691
To LAGUNA NIGUEL: City Manager
City of Laguna Niguel
30111 Crown Valley Pkwy
Laguna Niguel, CA 92677
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first above written.
City of Mission Viejo City of Laguna Niguel
Brian Goodell, Mayor Kelly Jennings, Mayor
ATTEST: ATTEST:
Kimberly Schmitt, City Clerk Marissa Asistin, City Clerk APPROVED AS TO FORM: APPROVED AS TO FORM:
William P. Curley IlI, City Attorney Scott C. Smith, City Attorney
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