January 18, 2022 LAKE FOREST CITY COUNCIL AGENDA Page 1 AGENDA
LAKE FOREST CITY COUNCIL
Regular Meeting of the City Council
Tuesday, January 18, 2022
Closed Session 5:30 p.m.
Public Session 6:30 p.m.
City Council Chambers, 100 Civic Center Drive, Lake Forest, California NOTICE: Pursuant to Lake Forest Municipal Code Section 2.04.010, Regular Meetings of the City Council are held the First and Third Tuesday of each month at the hour of 5:30 p.m. for Closed Session matters, if required. The Public Session of the meeting shall commence at 6:30 p.m. or as soon thereafter as possible. Special Meeting times may be held at a different time and date as listed on the Agenda.
AGENDA DOCUMENT REVIEW: The Agenda and staff reports are available on the Internet at https://lakeforestca.gov/129/Agendas and at the City Clerk’s Office, 100 Civic Center Drive, Lake Forest, California, on the Friday before the meeting on Tuesday.
AGENDA DESCRIPTION: The Agenda descriptions are intended to give notice to members of the public of a general summary of items of business to be transacted or discussed. The listed Recommended Action represents staff’s recommendation. The City Council may take any action which it deems to be appropriate on the agenda item and is not limited in any way by the recommended action.
AGENDA ON SOCIAL MEDIA: This meeting will be streamed through Facebook Live. Comments will not be taken via Facebook Live. To ensure that the City Council receives your comments, you may submit written comments or voicemail messages to the City Clerk prior to the meeting. The City provides the Facebook Live stream as an additional service to the public. However, the City cannot guarantee that its network and/or the site will be uninterrupted. The City is not responsible for any interrupted service.
SPECIAL NOTICE REGARDING PUBLIC ACCESS TO THE MEETING AND PUBLIC COMMENT:
ASSEMBLY BILL 361: This meeting will occur in accordance with Government Code section 54953(e) et seq. (“AB 361”) wherein the City of Lake Forest City Council may continue to participate in meetings via teleconference.
PUBLIC PARTICIPATION: In addition to attending in person, pursuant to AB 361 members of the public may access the meeting live on our website at https://www.lakeforestca.gov/129/Agendas.
P
UBLIC COMMENT PRIOR TO THE MEETING: Members of the public may submit email comments to [email protected]. Email comments will be uploaded to the agenda packet and made part of the official public record of the meeting and will not be read at the meeting. To ensure staff reviews all comments prior to the City Council meeting, please submit email comments no later than 5:00 p.m. the day of the meeting.
PUBLIC COMMENT: Members of the public may provide comments in-person at the meeting or remotely. Those wishing to provide comments in-person at the meeting will be asked to submit a request to speak to the City Clerk. Those wishing to provide comments remotely may join the meeting online at https://call.lifesizecloud.com/5038350 and enter Passcode 1004# or by phone at (312) 584-2401 and enter meeting number 5038350# followed by Passcode 1004#.
January 18, 2022 LAKE FOREST CITY COUNCIL AGENDA Page 2 CALL TO ORDER: 5:30 p.m.
Council Members: Neeki Moatazedi (teleconference)
Mark Tettemer
Scott Voigts
Mayor Pro Tem: Doug Cirbo
Mayor: Robert Pequeño
City Manager: Debra Rose
City Attorney: Matthew E. Richardson
City Clerk: Lisa Berglund
CLOSED SESSION PUBLIC COMMENT:
CLOSED SESSION: At this time, the City Council may recess to Closed Session for conference with Legal Counsel to discuss the items listed below pursuant to Government Code requirements. Any items not concluded by 6:30 p.m. may be continued to the end of the Public Session. At this time, members of the public may address the City Council regarding any items listed on the Closed Session agenda. No action may be taken on items not listed on the agenda unless authorized by law. Comments shall be limited to three minutes per item. Any person wishing to address the City Council on a Closed Session matter is requested to complete a "Request to Speak" form available at the door. The completed form is to be submitted to the City Clerk prior to an individual being heard by the City Council. Whenever possible, lengthy testimony should be presented to the City Council in writing (8 copies) and only pertinent points presented orally.
CLOSED SESSION: (Item No. 1)
CLOSED SESSION: At this time, the City Council may recess to Closed Session for conference with Legal Counsel to discuss the items listed below pursuant to Government Code requirements. Any items not concluded by 6:30 p.m. may be continued to the end of the Public Session.
1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
PURSUANT TO GOVERNMENT CODE SECTION 54956.8
PROPERTY: 23742 EL TORO ROAD, LAKE FOREST, 92630
APN: 617-064-27
AGENCY DESIGNATED NEGOTIATOR(S): CITY ATTORNEY AND CITY MANAG
ER
NEGOTIATING PARTIES: CITY OF LAKE FOREST AND MATT &
MICHEL
LE PANNEK, DBA BRÜ GRILL & MARKET, LLC AND THEIR
AUTHOR
IZED AGENTS OR REPRESENTATIVES
UNDER NEGOTIATION: PRICE AND TERMS OF PAYMENT FOR
LEASE
RECOM
MENDED ACTION: Conduct Closed Session.
RECESS: City Council will recess to Closed Session for the purpose of conducting regular City business.
January 18, 2022 LAKE FOREST CITY COUNCIL AGENDA Page 3 RECONVENE: City Council will reconvene to continue regular City business.
PUBLIC SESSION: 6:30 p.m.
PUBLIC SESSION: At this time, the City Council will convene to consider public matters. Those wishing to address the City Council must submit a completed "Request to Speak" form to the City Clerk prior to City Council action.
INVOCATION: The Invocation will be provided by Chaplain Jim Davis, Orange County Sheriff’s Department.
PLEDGE OF ALLEGIANCE: The Pledge of Allegiance to the Flag of our Country to be led by Mayor Pro Tem Cirbo.
CLOSED SESSION REPORT: City Attorney will report on Closed Session.
REPORT FROM STUDENT LIAISON: Report from Natasha Quinn, Student Liaison from El Toro High School.
PRESENTATIONS: (Item Nos. 2 – 4)
2. RECOGNITION OF ALONDRA DIAZ AS CALIFORNIA TEACHER OF
THE YEAR
RECOMMENDED ACTION: Present Certificate of Recognition.
3. RECOGNITION OF THE EL TORO HIGH SCHOOL GIRLS VOLLEYBALL TEAM
RECOMMENDED ACTION: Present Certificates of Recognition.
4. RECOGNITION OF THE EL TORO HIGH SCHOOL GIRLS CROSS
COUNTRY TEAM
RECOMMENDED ACTION: Present Certificates of Recognition.
PUBLIC COMMENTS:
Members of the public can submit an e-comment to [email protected]. E-comments will not be read at the meeting. Members of the public may also provide comments in -person at the meeting or remotely. Those wishing to provide comments in-person at the meeting will be asked to submit a request to speak to the City Clerk. Those wishing to provide comments remotely may join the meeting online at https://call.lifesizecloud.com/5038350 and enter Passcode 1004# or by phone at (312) 584 -2401 and enter meeting number 5038350# followed by Passcode 10 04#.
January 18, 2022 LAKE FOREST CITY COUNCIL AGENDA Page 4 CONSENT CALENDAR: (Item Nos. 5 – 10)
All matters listed under the Consent Calendar are considered routine and will be enacted by one vote. There will be no separate discussion of these items unless Members of the City Council, the public, or staff request specific items be removed from the Consent Calendar for separate action.
5. MOTION TO WAIVE RESOLUTIONS AND ORDINANCES
RECOMMENDED ACTION: Said Ordinances and Resolutions which appear on the public agenda shall be determined to have been read by title and further reading waived.
6. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON JANUARY 4, 2022
RECOMMENDED ACTION: Approve as submitted.
7. LEASE AGREEMENT WITH BRÜ GRILL & MARKET
RECOMMENDED ACTION: 1. Find that the proposed Lease Agreement with Brü Grill & Market is not subject to the requirements of the California Environmental Quality Act (“CEQA”) for the following reason:
The proposed Lease Agreement with Brü Grill & Market is exempt from C
EQA under the commonsense exemption, which provides that an activity is
not subject to CEQA where, as here, it can be seen with certainty that there is no possibility that the activity in question may have significant effect on the environment (State CEQA Guidelines, § 15061, sub
d. (b)(3)).
2. Approve the proposed Lease Agreement with Brü Grill & Market and authorize the City Manager to execute, and the City Clerk to attest, the document.
8. 2022 LEGISLATIVE PLATFORM
RECOMMENDED ACTION: Adopt the proposed 2022 Legislative Platform in substantially the form attached.
9. LOCAL APPOINTMENT LIST "MADDY ACT"
RECOMMENDED ACTION: Affirm the City of Lake Forest Local Appointments List, as submitted.
January 18, 2022 LAKE FOREST CITY COUNCIL AGENDA Page 5
10. MONTHLY TREASURER'S REPORT - DECEMBER 2021
RECOMMENDED ACTION: Receive and file.
DISCUSSION/ACTION ITEMS: (Item Nos. 11 -12)
The following matters are for City Council consideration/discussion/action. Members of the public may have the opportunity to address these items if they wish to do so. Please complete the "Request to Speak" form and give to the City Clerk.
11. STRATEGIC PLAN QUARTERLY UPDATE
RECOMMENDED ACTION: Receive and file.
12. ANNUAL REVIEW OF CITY COUNCIL POLICIES
RECOMMENDED ACTION: 1. Exercise City Council discretion in reviewing or reaffirming any of the following City Council Policies:
a) Recognitions-Proclamations, Certificates, Resolutions and/or City Paraphernalia
b) Appointment of Commissioners Policy
c) Censure Policy
d) Consensus for Placing Items on the Agenda
e) Ethics Policy
f) Mayor’s Award Policy
g) Mayor’s Minute Video Segment Policy
h) Order of the Agenda Policy
i) Public Comment Policy
j) Requests for City Attorney use Policy
k) Travel and Expense Reimbursement Policy
l) Written Communication Policy
m) Annual Joint City Council/Commission Workshop Policy n) Financial Management and Budgetary Policy
o) Audit Committee Policy
2. Adopt the revised versions of the following City Council policies:
a) Recognitions-Proclamations, Certificates, Resolutions and/or City Paraphernalia
b) Consensus for Placing Items on the Agenda
c) Travel and Expense Reimbursement Policy
d) Financial Management and Budgetary Policy
e) Audit Committee Policy
January 18, 2022 LAKE FOREST CITY COUNCIL AGENDA Page 6
CITY MANAGER'S REPORT:
At this time, the City Manager may comment on agenda and non-agenda items; and report on items of interest to the City Council and community.
CITY COUNCIL COMMENTS:
At this time, City Council Members may comment on agenda or non-agenda matters. No discussion may take place on any item not appearing on the posted agenda. Council Members may ask a question for clarification, respond to statements made or questions posed by the public, make a brief announcement, or make a brief report on his or her own activities. In addition, the City Council may refer to staff or other resources for factual information, request staff to report back at a subsequent meeting or direct staff to place a matter of business on a future agenda. No action may be taken on non-agenda matters unless authorized by law (Government Code Section 54954.2).
Council Member Moatazedi:
Council Member Tettemer:
Council Member Voigts:
Mayor Pro Tem Cirbo:
Mayor Pequeño:
ADJOURNMENT:
In compliance with the Americans With Disabilities Act, if you need special assistance to participate in this Meeting, including auxiliary aids or services, you should contact the Office of the City Clerk at (949) 461-3400. Notification 48 hours prior to the Meeting will enable the City to make reasonable arrangements to assure accessibility to this meeting. The City Council agenda and agenda back-up materials can be obtained from the Office of the City Clerk on the Friday prior to the City Council meeting. Copies of all Agendas, Staff Reports and Supporting Materials can also be found on the City’s website – https://www.lakeforestca.gov/129/Agendas. Agenda and agenda packets, if requested, will be made available in an appropriate alternative format to persons with a disability as required by the Americans With Disabilities Act. Copies of the agenda are provided at no cost and agenda back-up materials are available at the per page copy cost.
The City of Lake Forest mailing address is City Council Chambers, 100 Civic Center Drive, Lake Forest, California.
Phone: (949) 461-3400. FAX (949) 461-3511
CERTIFICATION: I, Lisa Berglund, City Clerk of the City of Lake Forest, California, hereby certify that the foregoing agenda was posted for public review at City Hall on January 13, 2022.
Lisa Berglund
City Clerk
CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Clerk Department
SUBJECT:
RECOGNITION OF ALONDRA DIAZ AS CALIFORNIA TEACHER OF THE YEAR
RECOMMENDED ACTION(S):
Present Certificate of Recognition.
EXECUTIVE SUMMARY:
Alondra Diaz, a third-grade and dual immersion studies teacher at Ralph A.
Gates Elementary School was selected as one of the five 2022 California Teachers of the Year and will represent California at the national competition.
She has been featured as one of the Orange County Register’s 2021 Most Influential People.
Alondra has been teaching in Orange County for 15 years. She has received several awards for her work, including being named 2020’s Woman of the Year in community and education by the National Hispanic Women’s Business Association and for her “unwavering support of English Language Learners” by the Orange County Department of Education in 2015. Lake Forest is proud of her accomplishments and the City Council will have the opportunity to recognize her.
FISCAL IMPACT:
There is minimal associated with the recommended action.
ATTACHMENTS:
Certificate of Recognition
Initiated By: Jennifer Weiss, Assistant City Clerk
Submitted By: Lisa Berglund, MPA, City Clerk
Approved By: Debra Rose, City Manager
Item: 2
7 Attachment
Item: 2
8 CERTIFICATE OF RECOGNITION
THE LAKE FOREST CITY COUNCIL
HEREBY RECOGNIZES
Alondra Diaz
2022 California Teacher of The Year
The City Council congratulates your achievement and
recognizes your dedication to education and
the students at Ralph A. Gates Elementary School.
January 18, 2022
_______________________________
ROBERT PEQUEÑO
MAYOR
________________________
DOUG CIRBO
MAYOR PRO TEM
__________________________
SCOTT VOIGTS
COUNCIL MEMBER
________________________
MARK TETTEMER
COUNCIL MEMBER
__________________________
NEEKI MOATAZEDI
COUNCIL MEMBER
Item: 2
9 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Clerk Department
SUBJECT:
RECOGNITION OF THE EL TORO HIGH SCHOOL GIRLS VOLLEYBALL TEAM RECOMMENDED ACTION(S):
Present Certificates of Recognition.
EXECUTIVE SUMMARY:
The El Toro High School Girls Volleyball team competed in the 2021 California Interscholastic Federation (“CIF”) State Championship. This is the team’s first time advancing to the State Championship and they had a historic season. The Chargers won over Sea View League rival Mission Viejo High School to become the Division 3 CIF Southern Section Champions.
The City of Lake Forest wishes to congratulate the team for their achievement and acknowledge the following CIF participants below by presenting them with Certificates of Recognition.
Catalina Baclawski #2
Julia Gabra #20
Addison Hembree #11
Ella Hocker #7
Kaitlyn Hoskinson #16
Morgan Kaiser 9
Koko Kirsch 5
Brooklyn Kostoff #3
Sophia Martin #6
Keira Messinger #14
Chase Mobley #23
Reece Mueller #18
Shannon Nearhoof #21
Maia Niemen #17
Carys Owens #15
Taylor Parker #4
Natasha Quinn #22
Item: 3
10 1
7 7
1 Sydney Schuler #8
Kristen Skenes #1
Claire Thompson #19
Head Coach Gus Culver
FISCAL IMPACT:
There is minimal impact associated with the recommended action.
ATTACHMENTS:
Certificate of Recognition
Initiated By: Jennifer Weiss, Assistant City Clerk
Submitted By: Lisa Berglund, MPA, City Clerk
Approved By: Debra Rose, City Manager
Item: 3
11 Attachment
Item: 3
12 CERTIFICATE OF RECOGNITION
THE LAKE FOREST CITY COUNCIL
HEREBY RECOGNIZES
Participant
El Toro High School Girls Volleyball Team
2021 Division 3 CIF Southern Section Champions
The City Council and City of Lake Forest are proud of
your achievement. We recognize your hard work and
commitment. Congratulations on a historic season.
January 18, 2022
________________________
ROBERT PEQUEÑO
MAYOR
________________________
DOUG CIRBO
MAYOR PRO TEM
________________________
SCOTT VOIGTS
COUNCIL MEMBER
________________________
MARK TETTEMER
COUNCIL MEMBER
________________________
NEEKI MOATAZEDI
COUNCIL MEMBER
Item: 3
13 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Clerk Department
SUBJECT:
RECOGNITION OF THE EL TORO HIGH SCHOOL GIRLS CROSS COUNTRY TEAM
RECOMMENDED ACTION(S):
Present Certificates of Recognition.
EXECUTIVE SUMMARY:
The El Toro High School Girls Cross Country team, led by Coach Ken Chai, advanced to the 2021 CIF-SS Finals. The Chargers team showed perseverance through difficulties to advance to the finals, which was the team’s 5th consecutive visit to the State Championship. In addition to their hard work and dedication, the team also volunteers for numerous causes and carries an average GPA of 4.13. Shae Barrera
Dakota Danaher
Luisa Escamilla
Evelyn Gonzalez
Madison Greene
Kasey Lynd
Darla Medina
Carly Miller
Jessica Nguyen
Susana Torres
Lucy Varela
Lianna Villasenor
Leilani Vivaldo
The City of Lake Forest wishes to congratulate the team for their achievement and acknowledge the following CIF participants below by presenting them with a Certificate of Recognition.
Item: 4
14 1
8 3
9 FISCAL IMPACT:
There is minimal fiscal impact associated with the recommended action.
ATTACHMENTS:
Certificate of Recognition
Initiated By: Jennifer Weiss, Assistant City Clerk
Submitted By: Lisa Berglund, MPA, City Clerk
Approved By: Debra Rose, City Manager
Item: 4
15 Attachment
Item: 4
16 CERTIFICATE OF RECOGNITION
THE LAKE FOREST CITY COUNCIL
HEREBY RECOGNIZES
Participant
El Toro High School Girls Cross Country Team
2021 CIF-SS Finalists
The City Council and City of Lake Forest
would like to congratulate you on your accomplishments
and acknowledge your hard work and commitment.
January 18, 2022
________________________
ROBERT PEQUEÑO
MAYOR
________________________
DOUG CIRBO
MAYOR PRO TEM
________________________
SCOTT VOIGTS
COUNCIL MEMBER
________________________
MARK TETTEMER
COUNCIL MEMBER
________________________
NEEKI MOATAZEDI
COUNCIL MEMBER
Item: 4
17 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/22
DEPARTMENT: City Clerk
SUBJECT:
MOTION TO WAIVE RESOLUTIONS AND ORDINANCES
RECOMMENDED ACTION(S):
Said Ordinances and Resolutions which appear on the public agenda shall be determined to have been read by title and further reading waived.
EXECUTIVE SUMMARY:
California Government Code 36934 allows titles of ordinances and resolutions to be waived.
FISCAL IMPACT:
There is minimal fiscal impact associated with the recommended action.
ATTACHMENTS:
None.
Submitted By: Lisa Berglund, MPA, City Clerk
Approved By: Debra Rose, City Manager
Item: 5
18 LAKE FOREST CITY COUNCIL MINUTES JANUARY 4, 2022
Page No. 1
MINUTES OF THE REGULAR MEETING
OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST
The Regular Meeting of the City Council of the City of Lake Forest held Tuesday, January 4, 2022, at the Lake Forest City Council Chamber, 100 Civic Center Drive, Lake Forest, California, was called to order at 6:30 p.m.
ROLL CALL:
Councilmembers:
Mayor Pro Tem
Mayor:
City Manager:
City Attorney:
City Clerk:
Mark Tettemer (absent)
Neeki Moatazedi (teleconference)
Scott Voigts
Doug Cirbo
Robert Pequeño
Debra Rose
Matthew Richardson
Lisa Berglund
PUBLIC SESSION:
INVOCATION: The Invocation was provided by Peace Center Minister Vanessa Burdick, Saddleback Church.
PLEDGE OF ALLEGIANCE: The Pledge of Allegiance to the Flag of our Country was led by Mayor Pequeño.
REPORT FROM STUDENT LIAISON: This report was not received and student liaison, Natasha Quinn will be present the report on January 18, 2022.
PRESENTATIONS: (Item Nos. 1 – 3)
MOTION: It was moved by Council Member Voigts and seconded by Mayor Pro Tem Cirbo to approve Presentation Item Nos. 1-3. The motion was carried by a vote of 4/0 with Council Member Tettemer absent.
1. INSTALLATION OF MAYOR AND MAYOR PRO TEM FOR 2022
ACTION: The ceremony was held and oaths of office occurred.
2. COMMENTS BY INCOMING MAYOR
ACTION: Comments were received by Mayor Pequeño.
Item: 6
19 LAKE FOREST CITY COUNCIL MINUTES JANUARY 4, 2022
Page No. 2
Item No. 8 was heard after Item No. 2 at 6:45 p.m.
8. 2022 REDISTRICTING PUBLIC HEARING NO. 2
ACTION:
Mayor Pequeño opened the public hearing.
City Manager introduced this item and deferred to City Clerk Berglund to summarize the item. Andrew Westall from Bear Demographics and Research, LLC provided a presentation on the draft map and the one map that was submitted by a member of the public. The presentation was received by the City Council. Council Member Moatazedi requested additional options to the map layout. Council Member Voigts requested that the demographer take into consideration the new housing in Lake Forest that are that are currently being developed.
There was no public comment for this item.
Mayor Pequeño closed the public hearing.
MOTION: Council Member Voigts made a motion to move the item. The motion was seconded by Mayor Pro Tem Cirbo. The motion was carried by a vote of 4/0 with Council Member Tettemer absent.
3. CHANGES TO CR&R WASTE COLLECTION SCHEDULE
ACTION: Presentation regarding changes in the CR&R collection schedule were received.
PUBLIC COMMENTS:
CONSENT CALENDAR: (Item Nos. 4 – 7)
MOTION: It was moved by Council Member Voigts and seconded by Mayor Pro Tem Cirbo to approve Consent Calendar Item Nos. 4-7 with Mayor Pro Tem Cirbo abstaining from the ACMS warrant and Council Member Moatazedi abstaining from The Gas Company warrant. The motion was carried by a vote of 4/0 with Council Member Tettemer absent.
STATEMENTS READ INTO THE RECORD:
Mayor Pro Tem Cirbo: There is a warrant on the register to All City Management Services. My wife is an employee of the ACMS and I have determined that I have a remote interest in this warrant and will abstain from voting on that warrant.
Item: 6
20 LAKE FOREST CITY COUNCIL MINUTES JANUARY 4, 2022
Page No. 3
Council Member Moatazedi: There is a warrant on the register to The Gas Company.
I am an employee of The Gas Company and have determined that the I have a remote interest in this warrant and will abstain from voting on that warrant.
Council Member Voigts: There are warrants on the register to the County of Orange.
I am an employee of the County of Orange, but I do not work for the department that generated the warrants. Because the County of Orange is a public agency and because I do not work for the department in question, I have determined that I have a non-interest in these warrants and will vote on this item.
4. MOTION TO WAIVE RESOLUTIONS AND ORDINANCES
ACTION: Said Ordinances and Resolutions appearing on the public agenda were determined to have been read by title and further reading waived.
5. CONTINUING TO HOLD VIRTUAL MEETINGS PURSUANT TO AB 361
ACTION: Renewed findings were found that a state of emergency remains in effect and that state and local officials continue to recommend measures that promote social distancing.
6. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON DECEMBER 21, 2021
ACTION: The minutes were approved as submitted.
7. CERTIFICATION OF WARRANT REGISTER
ACTION: The warrant register was approved in the amount submitted, $4,430,817.28.
PUBLIC HEARING: (Item No. 8-9)
8. 2022 REDISTRICTING PUBLIC HEARING NO. 2
ACTION: The City Council conducted this public hearing at a time certain of 6:45 p.m. This hearing was taken up by the City Council after Item No. 2.
9. 6TH CYCLE “2021-2029 HOUSING ELEMENT” OF THE GENERAL PLAN
RECOMMENDED ACTION: Adopt a Resolution entitled: A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, ADOPTING THE “2021-2029 HOUSING ELEMENT” OF THE GENERAL PLAN
ACTION:
Item: 6
21 LAKE FOREST CITY COUNCIL MINUTES JANUARY 4, 2022
Page No. 4
Mayor Pequeño opened the public hearing.
City Manager Rose introduced this item and deferred to Community Development Director Ackerman to provide an introduction. Amanda Tropiano of De Novo Planning Group provided a presentation of the proposed Housing Element. The presentation was received by the City Council. There was one public comment for this item provided by Rona Henry.
Mayor Pequeño closed the public hearing.
MOTION: It was moved by Council Member Voigts and seconded by Mayor Pro Tem Cirbo to adopt a resolution entitled, “A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA ADOPTING THE 2021-2029 HOUSING ELEMENT OF THE GENERAL PLAN.” The motion was carried by a vote of 4/0 with Council Member Tettemer absent.
DISCUSSION: (Item No. 10-11)
10. VETERANS PARK MEMORIAL DISCUSSION
City Manager Rose introduced this item and deferred to Deputy City Manager Channing to provide a summary and presentation.
MOTION: It was moved by Council Member Voigts and seconded by Mayor Pequeño for staff to acquire cost estimates on installing a flagpole and lighting at Veterans Park and further provide options for the location of the flagpole. The motion was carried by a vote of 4/0 with Council Member Tettemer absent.
11. CONSIDERATION OF APPOINTMENTS TO REGIONAL BOARDS
MOTION: It was moved by Council Member Voigts and seconded by Mayor Pro Tem Cirbo to affirm the current seats to regional boards and reappoint Council Member Tettemer to the Audit Committee for an additional one-year term. The motion was carried by a vote of 4/0 with Council Member Tettemer absent.
CITY MANAGERS REPORT:
Assistant City Manager Rose announced that City Hall remains open for services during the challenges presented by the Covid-19 pandemic (omicron variant).
CITY COUNCIL COMMENTS:
Council Member Moatazedi: Council Member Moatazedi had no further comments.
Item: 6
22 LAKE FOREST CITY COUNCIL MINUTES JANUARY 4, 2022
Page No. 5
Council Member Voigts:
Council Member Voigts received consensus to review
the Congressional, State Senate, State Assembly, and
Board of Supervisors new district border maps. He
further requested that Supervisor Don Wagner be
invited to the meeting to address the City Council
since, as the result of the redistricting process,
Lake Forest will be in Orange County’s District 3
Mayor Pro Tem Cirbo:
Mayor Pro Tem Cirbo received majority consensus to
discuss the possibility of adopting the Lake Forest
Marine Corp Support Committee which supports a unit
at Camp Pendleton referred to as 1st ANGLICO.
Mayor Pequeño:
Mayor Pequeño thanked city staff for all of their hard
work.
ADJOURNMENT: The regular meeting of the City Council was adjourned in the memory of Ester Rwakijuma at 8:26 p.m.
Respectfully submitted: APPROVED:
__
LISA BERGLUND, MPA Robert Pequeño
CITY CLERK MAYOR
Item: 6
23 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Manager
SUBJECT:
LEASE AGREEMENT WITH BRÜ GRILL & MARKET
RECOMMENDED ACTION(S):
1. Find that the proposed Lease Agreement with Brü Grill & Market is not subject to the requirements of the California Environmental Quality Act (“CEQA”) for the following reason:
The proposed Lease Agreement with Brü Grill & Market is exempt from CEQA under the commonsense exemption, which provides that an activity is not subject to CEQA where, as here, it can be seen with certainty that there is no possibility that the activity in question may have significant effect on the environment (State CEQA Guidelines, § 15061, subd. (b)(3)).
2. Approve the proposed Lease Agreement with Brü Grill & Market and authorize the City Manager to execute, and the City Clerk to attest, the document.
EXECUTIVE SUMMARY:
The City owns the land and improvements known as “the Arbors,” located at the northeast and northwest corners of the El Toro Road and Rockfield Boulevard intersection. These parcels serve as an entryway to the Arbor Commercial District. The City maintains the structures and landscaping of each parcel, which sit on opposite sides of El Toro Road.
Over the past few years, the City explored developing the site to eliminate blight and promote neighborhood livability and sustainability. In August 2019, the City entered into an agreement with RJM Design Group (“RJM”) for conceptual design of the Arbors. Through the conceptual design and public input process, residents overwhelmingly supported the proposed renovations and proposal allowing adjacent businesses to use the Arbors as outdoor dining space.
Staff solicited interest from the two property management companies that border each parcel, and the two restaurants that sit directly adjacent to the northeastern parcel, regarding use of the Arbors for outdoor dining.
Item: 7
24 1
7 9
4 Brü Grill & Market (“Brü Grill”) showed interest in potentially leasing the property from the City to expand its outdoor dining capabilities.
In August 2021, the Department of Housing and Community Development (“HCD”) determined the City met all the requirements under the Surplus Land Act (“SLA”) and permitted the City to proceed with leasing the property.
If approved, the Lease Agreement with Brü Grill would generate $1,500/month plus 5.5% of all sales that occur on the leased property by the restaurant operator. The term of the proposed Lease Agreement shall be for ten years commencing when the site becomes available for restaurant use. The proposed Lease Agreement grants Brü Grill two separate options to extend the term for a period of five years each. Staff recommends the City Council approve the proposed Lease Agreement with Brü Grill and authorize the City Manager to execute, and the City Clerk to attest, the document.
BACKGROUND:
On August 19, 2019, the City Manager approved an agreement for professional design services with RJM for conceptual design of the Arbors, located at the easterly corners of the intersection of Rockfield Boulevard, and El Toro Road.
RJM’s design included installation of 6’ decorative wrought iron security fencing, removal of existing concrete walkways to promote water infiltration, installation of drought friendly plants, and replacement of existing turf areas with decomposed granite.
After RJM developed and presented the preliminary designs, the City sought public input regarding the proposed renovations at the Arbors from Lake Forest residents. RJM assisted staff with soliciting input from residents through an on- line survey and virtual town hall. Residents overwhelmingly supported the conceptual renovations and the proposal to allow adjacent businesses to use the Arbors as outdoor dining space (Attachment 1).
Staff contacted the property management companies that border each parcel of the Arbors, and the two restaurants that sit directly adjacent to the northeastern parcel, regarding use of the Arbors for outdoor dining. Brü Grill is the only business to express interest in leasing the space.
Surplus Land Act
In order to sell or lease the site, the City must comply with the California SLA.
The first step under the SLA requires the City Council to publicly designate the site as either “surplus” or “exempt surplus” land (as defined by the SLA).
Subsequently, on May 18, 2021, the City Council adopted a resolution declaring Item: 7
25 1
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4 the property surplus land (Attachment 2). The resolution also authorized the City Manager to follow the procedures set forth in the SLA for the disposition of surplus land. In a letter dated August 27, 2021, HUD informed staff all requirements were satisfied under the SLA for the purpose of leasing the land (Attachment 3).
Over the past several months, staff negotiated lease terms with Brü Grill for the use of the northeast parcel over the Arbors. The City Attorney’s Office prepared and approved the attached proposed Lease Agreement as to form (Attachment 4).
DISCUSSION:
The City owns the land and improvements known as the Arbors, serving as an entryway to the Arbor Commercial District. These structures are located at the northeast and northwest corners of El Toro Road and Rockfield Boulevard. The areas have been used to stage community events such as Exploration Day in the Arbor and decorated each year to celebrate the holiday season. These areas generally also serve as small passive park settings with seating and shaded areas, along with self-contained areas that feature flowers and other plants that create a garden aesthetic. The City maintains the structures and landscaping.
The northeast parcel is a 0.43 acre parcel of real property addressed 23742 El Toro Road. This parcel sits directly adjacent to two restaurants located in the Orchard Shopping Plaza. Over the past few years, the City has explored developing the site to eliminate blight and promote neighborhood livability and sustainability.
Staff began soliciting interest from neighboring restaurants in 2020. Brü Grill expressed interest in leasing the space for outdoor dining. The restaurant proposes to operate an outdoor dining venue in a garden setting that will have farm style seating, a remote order station, and a bar. The venue would be referred to as “The Gardens.” Table 1 summarizes the terms of the Lease Agreement that was the product of negotiations between staff and Brü Grill.
Table 1: Lease Terms and Conditions
Subject Description in Proposed Lease
Term 10 years
Optional Term Extensions (2) 5-year options
Base Rent $1,500 per month
Percentage Rent 5.5% of all revenue from the operation
Termination Lease Expiration/Failure to Pay Sums Due/Failure to Comply
Item: 7
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4 Term
The term of the proposed Lease Agreement shall be for ten years commencing when the site becomes available for restaurant use. The proposed Lease Agreement grants Brü Grill two separate options to extend the term for a period of five years each. The first extension could commence immediately upon the expiration of the initial ten-year term. The second extension could commence immediately following the expiration of the first extension.
Rent
The basic rent structure in the proposed Lease Agreement is $1,500/month, plus
5.5% of all revenue originating from transactions taking place in the restaurant operation of the parcel. This includes revenue from restaurant orders, sales of merchandise, sale of food and beverages, whether consumed onsite or offsite.
Returns, refunds, and sales tax would not be calculated as part of revenue.
Revenues would be reported monthly, and base rent ($1,500/month) plus percentage of revenue (5.5%) would be paid monthly by the 10th of each month for the prior month’s revenue. Rent will commence the earlier of opening or 30 days following completion of the City’s improvements.
Community Events
The proposed lease also provides a minimum of four free community events on site. Such events could include movie nights, holiday festivals, fall festivals, and other events for the community to enjoy. Events would be at the expense of Brü Grill and open to all Lake Forest residents, subject to occupancy limits.
Improvements
The City is responsible for providing boundaries around the parcel, providing ADA access to the fountain common area, and delivering utility infrastructure.
Utility infrastructure includes electrical, water, and a sewer tie-in. Brü Grill would make other improvements to the property, including lighting-related electrical work, plumbing, any approved structures, tables, chairs, decor, equipment, trash, facilities, and restrooms. Furthermore, Brü Grill cannot demolish, remove, alter, modify, replace, or add alterations to the property without written approval from the City.
At the termination or expiration of the Lease Agreement, Brü Grill would return the parcel back to the City in the same condition it was before lease commencement. In other words, any improvements constructed by Brü Grill shall be the property of the restaurant and would be removed by Brü Grill at the end of the lease term unless the parties agree otherwise.
Item: 7
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4 City Leases
If approved, this would be the third active lease of City-owned property. The City currently manages two leases with Serrano Creek Ranch (i.e. the Lake Forest Equestrian Center) and the Lake Forest Golf Course. The County of Orange assigned each lease to the City upon incorporation. The Golf Course Lease Agreement operates on a percentage rent basis and expires in January, 2025. In 2014, the Serrano Creek Ranch Lease Agreement was amended from a percentage-based rent structure to a payment schedule with an annual one- percent escalation through the remaining term of the lease. The Serrano Creek Ranch Lease Agreement expires in August 2026.
Environmental Determination
The proposed Lease Agreement is exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines, section 15061(b)(3) because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. This proposed project is a lease agreement for the purpose of utilizing the space to provide outdoor dining for a ten-year period and will not bring about any permanent physical changes to the environment or any adverse environmental impacts. Therefore, the lease agreement is not subject to CEQA.
Conclusion
The City Attorney’s Office prepared the proposed Lease Agreement to form. The proposed Lease Agreement has a term of ten years with two separate options to extend the term for a period of five years each. The City shall receive $1,500/month plus 5.5% of all revenue originating from restaurant transactions in the parcel subject to the Lease Agreement. In addition, the Lease Agreement includes provisions regarding community events at the property, improvements to surrounding areas, and conditions of termination. Staff recommends the City Council approve the proposed Lease Agreement with Brü Grill and authorize the City Manager to execute, and the City Clerk to attest, the document.
FISCAL IMPACT:
The fiscal impact includes the cost of providing boundaries around the parcel, providing ADA access to the fountain common area, and delivering utility infrastructure. This cost will be determined based upon an upcoming competitive bid process and is included in the approved 2021-23 Capital Improvement Program budget. The basic rent structure in the proposed lease is $1,500/month plus 5.5% of all revenue originating from transactions taking place in the restaurant operation of the parcel.
Item: 7
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4 ATTACHMENTS:
1. Arbors Entry Gateway Community Survey Results
2. Resolution No. 2021-05
3. Letter from HUD – Satisfaction of SLA Requirements
4. Proposed Lease Agreement with Brü Grill & Market
Initiated By: Adrian Grijalva, Senior Management Analyst Submitted By: Keith Neves, Assistant City Manager
Approved By: Debra Rose, City Manager
Item: 7
29 ATTACHMENT 1
Item: 7
30 The Arbors gateway is located at the intersection of El Toro Road and Rockfield Blvd. Please indicate below which best describes your experience with the project site.
Item: 7
31 The new design will be removing much of the walkways inside the project site (the sidewalks adjacent to the street will remain). What are your thoughts on limiting access through the project site?
Item: 7
32 The east corner of the Arbors is located in between two restaurants (Bru Market & Grill, and Lucille’s Smokehouse). There is a large open turf area that could possibly be a shared use for outdoor dining (this area could be maintained by the adjacent restaurants and save the City maintenance costs). The new design removes the turf and installs a compacted decomposed granite surface, suitable for dining tables and chairs. What are your thoughts on a possible outdoor dining area in this location?
Item: 7
33 The new design includes water efficient, California-friendly plantings. These plantings will replace much of the turf areas, as well as areas where the concrete is being removed. This design will help promote water infiltration by removing the impervious walks and reduce water consumption by removing the turf areas. Which of the following best represents your feelings on the design:
Item: 7
34 The Arbors are a significant structure and create a gateway into the City. Do you feel the Arbors create an identity or significant City landmark and should remain?
Item: 7
35 The existing site allows for access from the street corner directly into the adjacent retail shopping area. The new design would require pedestrian traffic to continue to the nearest entrance. What are your thoughts on the new access design?
Item: 7
36 ATTACHMENT 2
Item: 7
37 Item: 7
38 Item: 7
39 Item: 7
40 Item: 7
41 ATTACHMENT 3
Item: 7
42 STATE OF CALIFORNIA - BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY GAVIN NEWSOM, Governor
DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
DIVISION OF HOUSING POLICY DEVELOPMENT
2020 W. El Camino Avenue, Suite 500
Sacramento, CA 95833
(916) 263-2911 / FAX (916) 263-7453
www.hcd.ca.gov
August 27, 2021
Brian Byun
BBK Law
655 West Broadway, 15
th Floor
San Diego, CA 92101
Dear Brian Byun:
RE: Written Comments Regarding the City of Lake Forest’s Surplus Land Disposition
Documentation for the Property at 27342 El Toro Road (APN 617-064-01).
Thank you for submitting your surplus land documentation for review by the Department of Housing and Community Development (HCD). We received your documentation on July 30, 2021. This letter constitutes HCD’s initial written comments for the property located at 27342 El Toro Road in the City of Lake Forest (City).
According to your letter and included documents, a Resolution declaring the property to be surplus was issued on May 18, 2021. A Notice of Availability (NOA) was sent to all the required public agencies and housing entities on May 19, 2021. During the required 60-day period following the NOA, no housing entities expressed interest in purchasing the property. The City would now like to proceed with the sale of the property.
The documents you provided establish that a Resolution declaring the property to be surplus was issued on May 18, 2021, and NOAs were sent to all required entities on May 19, 2021. You have also submitted a draft affordability covenant.
HCD has determined that the City has met all the requirements under the Surplus Land Act for the purposes of disposing of the surplus land located at 27342 El Toro Road. The City is permitted to proceed with the sale of the property.
The City or its representatives may send any questions to [email protected].
Item: 7
43 City of Lake Forest
Sincerely,
Mehgie Tabar, AICP
Data and Research Manager
Housing Policy Development
Item: 7
44 ATTACHMENT 4
Item: 7
45 55136.00400\34341268.1
1 LEASE AGREEMENT
THE GARDENS AT THE ARBORS
This Lease Agreement (the “ Lease” or the “ Agreement”) is by and between the City of Lake Forest, a C alifornia municipal corporation (the “City”) and Matt & Michelle Pannek dba “The Gardens” (the “Lessee”). In consideration of the mutual promises and covenants set forth herein, both parties agree as follows:
SECTION 1 – PROPERTY LEASED
The City owns the land located at 23742 El Toro R oad, Lake Forest, CA 92630 (“Property”).
The City hereby leases to Lessee, for the management and operation of a n outdoor dining venue, a portion of the Property known as Arbor’s Open Space, which is fully described in Exhibit A and incorporated as part of this Agreement (the “Premises”).
SECTION 2 – USE
Lessee shall use the Premis es for managing and operating an outdoor dining venue in a garden setting which will have farm style seating, a remote order station , and a bar. This venue shall hereinafter be referred to as “The Gardens.”
SECTION 3 – LEASE TERM
The term of this Lease shall be for ten (10) years commencing on the date of final approval by the City of all entitlements requested by Lessee for use of the Premises, including but not limited to a sit e development permit (“Effective Date”), and ending ten (10) years from the Effective Date. Provided that Lessee is not in material default of any provision of this Lease at the time Lessee requests an extension of the initial term as herein described, Lessee shall be granted two (2) separate options (each referred to as an “ Extension Option”) to extend the term of this Lease for a period of five (5) years each , the first such extension term to commence immediate ly upon the expiration of the initial term, and the second extension term to commence immediately following the expiration of the first extension term, all upon the same terms and conditions set forth in this Lease. Lessee may exercise each Extension Opti on by delivering written notice to Lessor, so long as such notice is given not less than thirty (30) days prior to the expiration date of the term of this Lease, as such term may have been previously extended by an extension term .
The initial term and any extension to the term of this Lease shall hereinafter be referred t o as the "term" of this Lease.
SECTION 4 – RENT
Lessee shall pay to City during the term of this Lease , One Thousand Five Hundred D ollars ($1,500.00) per month (“Base Rent ”) in addition to five and a half percent (5.5%) of all Revenue from the operation of The Gardens (“Percentage Rent ”). “Revenue” shall mean all amounts received and receivable from all sales and business conducted in, from , or attributable to The Gardens by the Lessee, or by any other person conducting sales or performing services of any sort in, upon, or from any part of the Premises as a subtenant, licensee, contractor, or subcontractor of Lessee, including amounts received from restaurant orders and sales of Item: 7
46 55136.00400\34341268.1
2 merchandise made by telephone, mail, online, or by third parties, whether sold on site or online, as well as revenues from the sale of food and beverages, whether consumed onsite or offsite.
The following will be excluded from Revenue for purposes of calculating th e Percentage Rent:
(a) returns and refunds and (b) the amount of any sales tax, or similar tax or imposition, imposed on all sales or charges where such sales tax, similar tax or imposition is billed to the purchaser as a special item. If not otherwise prescribed herein, Revenue reporting for “The Gardens” will always follow established r egulations for Revenue reporting to the California Department of Tax and Fee Administration. Revenues will be reported monthly and Base Rent plus Percentage Rent will be paid monthly by the 10 th of each month for the prior month’ s Revenue. The rental payment amount for any partial calendar months included in the Lease term shall be prorated on a daily basis. Rent will commence upon the earlier of (a) the opening of The Ga rdens for business or (b) 30 days following completion of the City’s improvements (as defined in Section 8).
On or before the 10th day of each month, Lessee shall deliver to City a correct statement of all applicable gross receipts for that portion of the accounting year which ends with and includes the last day of the preceding calendar month. The statement shall be signed by Lessee or his responsible agent under penalty of perjury, and shall be i n the form prescribed by City. Each statement shall indicate:
(1) The total gross receipts for said portion of the accounting year. (2) The total rent previously paid by Lessee for the accounting year within which the preceding month falls; and
(3) The rent due for the preceding month.
SECTION 5 – RECORDS AND ACCOUNTING
Lessee shall, at all times during the term of this Lease, keep or cause to be kept true and complete books, records, and accounts of all financial transactions in the operation of all business activities, of whatever nature, conducted in pursuance of the rights granted herein. The records must be supported by source documents such as sales slips, cash register tapes, purchase invoices, or other pertinent documents.
Within ninety days after the end of each accounting year Lessee shall at his own expense submit to City Statement of Revenues and calculation of percent rent prepared or audited by a Certified Public Accountant, reflecting business transacted pursuant to this Lease during the preceding accounting year. The Certified Public Accountant must attest that the Statement of Revenues and Calculation of Rent submitted are an accurate representation of Lessee's records as reported to the United States of America for income tax pu rposes. Lessee shall also submit to City any management letter issued by the Certified Public Accountant identifying any weakness in the internal controls.
Lessee acknowledges its underst anding that any and all of the statements submitted to City pursuant to this Lease become Public Rec ords and are subject to public inspection pursuant to Item: 7
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3 §6250 et. seq. of the California Government Code. All Lessee's books of account and records and supporting source documents related to this Lease shall be kept a nd made available at one location within the limits of the County of Orange. City shall, through its duly authorized agents or representatives, have the right to examine and audit said books of account and records and supporting source documents at any and all reasonable times for the purpose of determining the accuracy thereof, and of the monthly statements of sales made and monies received.
The full cost of said audit, as determined by City, shall be borne by Lessee if the audit reveals an underpayment of more than two percent between the re nt due as reported and paid by Lessee in accordance with this Lease and the rent due as determined by said audit. Otherwise, City shall bear the cost of said audit.
Upon the request of City, Lessee shall promptly provide, at Lessee’s expense, necessary data to enable City to fully comply with any and every requirement of the State of California or the United States of America for information or reports relating to this Lease and to Lessee’s use of the Property. Such data shall include, if required, a detailed b reakdown of Lessee's receipts and expenses.
Because maintaining and keeping financial records is a very important commitment by Lessee to properly account for percentage rents, any unauthorized change by Lessee from a reporting and accounting system approved by City, or failure by Lessee to maintain such approved system shall be a material breach of this Lease and shall be cause for termination of this Lease.
In addition to any other remedies available to City at law or in equity or under this Lease, in the event that Lessee fails to maintain and keep books, records and accounts of gross receipts from business operations conducted pursuant to this Lease and/or source documents relating thereto, or to make the same ava ilable to City for examination and audit, or to record sales and/or to maintain registers to record sales, or to provide financial statements and other information to City regarding gross sales as required by this Lease, City may:
1. Perform such examinations , audits and/or investigations itself or through agents or employees to confirm the amount of percentage rents payable by Lessee under this Lease and any and all costs and/or expenses incurred by City in connection therewith shall be promptly reimbursed to City by Lessee upon demand.
2. Require that Lessee pay percentage rents based on City's best good faith estimate of Lessee's gross receipts from business operations conducted on or from the Premises and any such determination made by City shall be conclusive and binding upon Lessee.
SECTION 6 – UTILITIES
Lessee shall be responsible for all utilities provided to the Premises.
SECTION 7 – COMMUNITY EVENTS
Item: 7
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4 Lessee agrees to provide a minimum of four (4) free community events (once per quarter) at The Gardens, including but not limited to movie night s, holiday festivals, fall festivals, and the like.
Events will be completely at the expense of Lessee and open to all residents of the City of Lake Forest, subject to occupancy limits.
SECTION 8 – PARKING
During the term of this Lease, Lessee shall hav e the non-exclusive use in common with the City and its agents, including any third party manager of the Property, their guests and invitees, of the non-reserved common automobile parking areas, driveways, and footwa ys, subject to rules and regulations for the use thereof as prescribed from time to time by City. Lessee shall comply with any requirement imposed by the City related to parking, including but not limited to the creation of a parking study and entering int o one or more shared parking agreements to permit Lessee to use private parking spaces.
SECTION 9 – ALTERATIONS, ADDITIONS, AND IMPROVEMENTS
(A) City Responsibilities. City shall be responsible for (a) providing boundary, black iron ornamental fencing assu med to be si x feet (6’) high around the Premises , (b) providing ADA access to the fountain common area, and (c) delivering utilities infrastructure to a common point, if not already existing – this includes: (i) electric service on a separate meter to the Premises sufficient to power the Premises, (ii) a City water meter to the Premises, and (iii) a City sewer tie in.. As stated in Section 5, Lessee will be responsible for all utility expenses during the Lease term.
(B) Lessee Responsibilities . Lessee will make a significant investment into the Property, Premises, grounds, gardens, lighting, and security. Spe cifically, Lessee will be responsible for all work not listed under City responsibilities, including but not limited to : the gardens inside the fenced area, lighting, electrical work, plumbing, any approved structures and/or containers, tables, chairs, déc or, equipment, shade structures, patio heaters, fans, trash facilities, and restrooms. Lessee at Lessee’s expense shall be permitted to install two (2) signs on either side of the Premises, and as allowable per applicable city code and regulations, the City and Lessee shall mutually agree on a first class, subtle sign that adds to the Premises and meets all codes and ordinances.
(C) Approval Required. Lessee shall not demolish, remove, alter, modify, replace or add (“Alteration”) to Premises or the Prope rty during the term of this Lease without the prior written approval of the City, which may be granted or denied in City’s sole discretion. To obtain approval of any Alteration, Lessee shall submit detailed plans and s pecifications of the proposed Alteration to the City together with a statement of Lessee’s reasons for the Alteration. Any such approved Alteration shall commence and be completed in accordance with all of the provisions of this Section 8.
(D) Construction Commencement. Lessee shall be res ponsible for obtaining the Site Development Permit (SDP), proper zoning permits, and all other necessary permits, exclusive of the City’s building improvement permits. Lessee will be respon sible at Lessee’s expense for Item: 7
49 55136.00400\34341268.1
5 obtaining proper building, health, liquor license , and fire permits. Construction will begin as quickly as possible.
(E) Contracting Procedures. All work performed in connection with the construction of any Alterations to t he Premises or Property, including a ny si te preparation, landscaping or utility installation, shall be performed only by Lessee or by competent and financially responsible independent general contractors, duly licensed as such under the laws of the State o f California, and shall be performed pursuant to written contracts with such contractors. Each such contract shall provide that the final payment due to the contractor shall not be paid to the contractor until the settlement and discharge of all liens and charges claimed by persons who supplied either labor or materials for the construction of said improvements. (F) Copy of Contract. For all such improvement work to be performed on the Premises or Property by an independent general contractor, Lessee shal l furnish the City with a true copy of Le ssee’s contract with the general contractor and with evidence of the general contractor’s financial condition for the City’s approval. The contract shall give the City the right but not the obligation to assume Les see’s obligations and rights under t hat contract if Contractor should default.
(G) Contractor Approval. The City may disapprove the general contractor or the proposed contract with the general contractor by notice given within thirty (30) days following delivery of said contract. The notic e shall specify the grounds for disapproval. The City shall not unreasonably disapprove and shall be considered to have approved in the absence of notice of disapproval given within thirty (30) days after Lessee furnish es the contract and evidence specified above.
(H) Discharge of Liens. Lessee shall keep the Premises and Property, including all buildings and improvements now or hereafter located on the Premises or Property, free and clear of all liens and claims of liens for labor, services, materials, supplies, or equipment performed on or furnished to the Premises or Property.
(I) Notification of Commencement of Work. Contractor shall notify the City in writing twenty (20) days prior to the commencement of any work o f improvement to facilities, structures, or other improvements to the Premises or Property for the purpose of enabling the City to, at its option, post and record notices of non -responsibility under the provisions of Section 3094 of the California Civil Code, or any other similar notices which may be allowed by law.
(J) Ownership of Improvements. Any improvements or Alterations constructed by Lessee upon the Premises or Property shall, unless the parties otherwise agree, be the property of the lessee. Lessee agrees to execute any and a ll documentation necessary to evidence or effect the transfer of title from Contractor to City. Lessee shall be responsible to remove all improvements to the Premises at the conclusion of the term. (K) Financing Improveme nts; Prohibition on Encumbrances. Lessee shall have no right to mortgage, pledge or otherwise encumber fee title to or any other interest in the Premises Item: 7
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6 or Property for purposes of financing improvements or otherwise without the City’s prior written consent, which may be withheld at the City’s sole discretion.
SECTION 10 – MAINTENANCE AND REPAIRS
Lessee shall take over all maintenance of the landscape, gardens, and structures, and agrees to keep all facilities, fencing, trees, paint, lighting, landscapin g, and other features i n excellent condition at all times. City shall not be required to repair or maintain any of the above items. If notified by City, Lessee shall complete any and all such needed repairs, maintenance , and replacements within a reasona ble period of time at no cost or ex pense to the City. Lessee shall, at Lessee’s sole expense, keep the Premises (including any and all improvements, alterations, fixtures and furnishings not otherwise covered herein) in good order, repair and condition at all times during the term of this Lease. Under City’s supervision, subject to City’s prior approval, Lessee shall, at Lessee’s sole expense, promptly and adequately repair all damage to the Premises and replace or repair all damaged or broken fixtures an d other improvements. At City’s option, or if Lessee fails to make such repairs or maintain the Premises, City may, but need not, make the repairs and replacements. On receipt of invoice from City, Lessee shall pay City’s out-of-pocket costs incurred in connection with such repairs or maintenance plus ten (10) percent of such costs, to reimburse City for all overhead and general conditions, fees and other costs and expenses arising from City’s involvement with such repairs and maintenance. Lessee waives and releases its rights, including its ri ghts to make repairs at City’s expense, under California Civil Code sections 1941 -1942 or any similar law, statute or ordinance now or hereinafter in effect.
SECTION 11 – INSPECTIONS
The City shall have the exclusi ve right to inspect the Premises at any time during Lessee’s normal business hours to determine maintenance and operational compliance and to observe Lessee’s operations.
SECTION 12 – EMPLOYEES
Lessee shall recruit, hire, train, discharge, promote, superv ise, manage the work of, and compensate all employees necessary to operate the Premises in accordance with the terms of this Lease, including any management staff working at the Premises. Lessee shall be solely responsible for the payment of all wages and compensation, the payment of all p ayroll taxes and any required withholding of taxes for its employees. Lessee shall establish or follow established policies concerning safety in the workplace, equal opportunity employment, anti - discrimination in the wor kplace and such other employee poli cies a s may be required by applicable state, federal and local laws. Lessee shall use reasonable efforts to maintain a consistent workforce and supervisory personnel and to reduce employee turnover.
SECTION 13 – DEFAULT AND TERMINATION
The occurrence o f any one or more of the following events which is not cured in the time permitted shall constitute a default under this Lease (“Event of Default”):
Item: 7
51 55136.00400\34341268.1
7 (A) Failure to Pay Sums Due . Either party’s failure to pay any sums pay able under this Lease when and as t he same shall become due and payable and such failure shall continue for a period of fifteen (15) days after written notice (specifying the item not paid) thereof from the other party to the defaulting party.
(B) Failure to Comply . Either party’s failure to com ply with any of the other covenants, agreements, terms, or conditions contained in this Lease and such failure shall continue for a period of thirty (30) days after written notice thereof from the other party to the defaulting party specifying in detail the nature of such failure. Notwithstanding the foregoing, in the event any failure cannot with due diligence be cured within such 30 day period, if the defaulting party proceeds promptly and diligently to cure the s ame and thereafter diligently prosecutes the curing of such failure, the time within which the failure may be cured shall be extended for such period as may be reasonably necessary for the defaulting party to cure the failure.
SECTION 14 – FORCE MAJEURE
Should either of the parties to this Lease be delayed in or prevented, in whole or in part, from performing any of the obligations or conditions hereunder by reason of acts of terrorism, acts of God, landslides, lightning, forest fires, storms, floods, seve re weather, freezing, earthquakes, other natural disasters, the threat of such natural disasters, epidemics, pandemics, quarantines, civil disturbances, acts of the public enemy, wars, blockades, public riots, governmental or regulator prohibitions or rest raints, or other causes, whether of the kind enumerate or otherwise, and whether foreseeable or unforeseeable, that are not reasonably within the control of the affected parties (each, a “ Force Majeure Event ”), then either party shall be excused from such performance to the extent caused by said acts and the rights and obligations of parties hereto shall not be otherwise affected by such failure.
SECTION 15 – LEGAL COMPLIANCE
(A) Lessee shall not use or permit the use of the Premises for any purpose prohib ited by law and shall comply with a ll laws, ordinances, rules, regulations, orders, requirements and demands of all duly constituted authorities with respect to the condition, use and occupancy of the Premises as such may be applicable from time to time during the term of this Lease. (B) Lessee s hall obtain and maintain any and all necessary federal, state , and local permits and licenses required for Lessee’s use of the Premises or Lessee’s performance of this Agreement.
SECTION 16 – HAZARDOUS MATERIALS
(A) For purposes of this Lease, the t erm “H azardous Substances” means: (a) any substance, products, waste, or other material of any nature whatsoever which is or becomes listed, regulated, or addressed pursuant to the Comprehensive Environmental Response, Compensation, and Liability Act (CER CLA), 42 United States Code Section 9601 et seq.; the Resources Conservation and Recovery Act, 42 United States Code Section 6901 et seq.; the Hazardous Materials Transportation Conservation and Recovery Act, 42 United St ates Code Section 1801 et seq.; the Clean Water Act, 33 United States Code Section 1251 et seq.; the Toxic Item: 7
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8 Substances Control Act, 15 United States Code Section 2601 et seq.; the California Hazardous Waste Control Act, Health and Safety Code Section 25100 et seq.; the Hazardous Substance Account Act, Health and Safety Code Section 25330 et seq.; the California Safe Drinking Water and Toxic Enforcement Act, Health and Safety Code Section 25249.5 et seq.; California Health and Safety Code Section 25280 et seq . (Underground Storage of Hazardous Substances); the California Hazardous Waste Management Act, Health and Safety Code Section 25170.1 et seq.; California Health and Safety Code Section 25501 et seq. (Hazardous Materials Release Response Plans and Inventor y); or the California Porter -Cologne Wate r Quality Control Act, Water Code Section 13000 et seq., all as amended (the above cited California state statutes are hereinafter collectively referred to as the “State Toxic Substances Law ”); or any other federal, state, or local statute, law, ordi nance, resolution, code, rule, regulation, order or decree regulating, relating to, or imposing liability or standards of conduct concerning any Hazardous Substance, now or at any time hereinafter in effect; (b) any subst ance, product, waste or other material of any nature whatsoever which may give rise to liability under any of the above statutes or under any statutory or common law theory based on negligence, trespass, intentional tort, nuisance or strict liability or un der any reported decisions of a sta te or federal court; (c) petroleum or crude oil; and (d) asbestos.
(B) Except as otherwise specifically permitted under the terms of this Lease, Lessee shall not use, create, generate, store, deposit, dispose of or allow any Hazardous Substances on, under, about or within the Premises or Property in violation of any federal, state, or local law, rule, regulation, order, decree or other requirement listed in this Section. Storage batteries for emergency power, fuel for tem porary generators during power outa ges, a nd ordinary paints, solvents and similar substances commonly used in small quantities and necessary for maintenance of the Premises are excepted from the preceding prohibition of use by Lessee of Hazardous Substance s on the Premises or Property, so l ong as Lessee complies with all applicable federal, state and local laws rules and regulations governing the use of such items. (C) City or its officers, employees, contractors, or agents shall at all times have the right to go upon and inspect the Premise s and the operations conducted thereon to assure compliance with the requirements herein stated. This inspection may include taking samples for chemical analysis of substances and materials present and/or testing soils o n Premises or the Property and taking photographs.
(D) Lessee shall, within forty -eight (48) hours of the discovery by Lessee of the presence of, or believed presence of, a Hazardous Substance as defined herein, give written notice to City in the event tha t Lessee knows or has reasonable ca use to believe that any release of Hazardous Substance has come or will come to be located on, under, about or within the Premises or the Property. The failure to disclose in a timely manner the release of a Hazardous Substance, including but not limited to, an amount which is required to be reported to a state or local agency pursuant to law (e.g., California's Hazardous Materials Storage and Emergency Response Act, Health and Safety Code Section 25550 et seq.) shall be grounds for termination of this Lease by City in addition to actual damages and other remedies provided by law. Lessee shall immediately clean up and completely remove all Hazardous Substances placed by Lessee on, under, about or within the Premises or Property, in a manner that is in all respects safe and in accordance with all applicable laws, rules and regulations.
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9 (E) In the event Hazardous Substances are discovered, Lessee shall disclose to City the specific information regarding Lessee’s discovery of any Hazardous Substances placed on , under, about or within the Premises or the Property by Lessee, and provide written documentation of its safe and legal disposal.
(F) Breach of any of these covenants, terms, and conditions, and Lessee’s failure to cure within thirty (30) days of Lessee’s receipt of written notice from City, shall give City the authority to either immediately terminate this Lease or to shut down Lessee’s operations thereon, at the sole discretion of City. In either case, Lessee will cont inue to be liable under this Lease to remove and mitigate all Hazardous Substances placed by Lessee on, under, about or within the Premises or Property. Lessee shall be responsible for, and bear the entire cost of removal and disposal of, all Hazardous Su bstances introduced to the Premises or Property by Lessee during Lessee’s period of use and possession of the Premises or Property. Upon termination of this Lease, Lessee shall, in accordance with all laws, remove from the Premises or Property any equipment or improvements placed on the Pr emises or Property by Lessee that may be contaminated by Hazardous Substances.
(G) Lessee shall defend, indemnify and hold City and its officials, officers, employees, contractors and agents free and harmless from any and all claims, liability, injury, damage, costs, or expenses (including, without limitation, the cost of attorney's fees) arising as a result of the presence of use of any Hazardous Substances placed or caused to be placed by Lessee or its partners, affiliat es, agents, officials, officers, co ntractors or employees on the Premises or Property. City shall defend, indemnify and hold Lessee and its officials, officers, employees, contractors and agents free and harmless from any and all claims, liability, injury , damage, costs, or expenses (including, without limitation, the cost of attorney's fees) arising as a result of the presence of use of any Hazardous Substances placed or caused to be placed by City or its partners, affiliates, agents, officials, officers, contractors or employees on the Pr emises or Property. The foregoing indemnity is intended to operate as an agreement pursuant to, among other requirements, Section 107, subdivision (e) of CERCLA, 42 United States Code Section 9607, subdivision (e), and C alifornia Health and Safety Code Se ction 25364, to insure, protect, hold harmless and indemnify each party from any liability created by the other party pursuant to such sections.
SECTION 17 – INDEMNIFICATIONS
(A) Hold Harmless Agreement. Lessee shall i ndemnify and hold harmless the City , its elected and appointed officials, officers, boards, commissions, agents and employees, against and from any and all claims, demands, causes of action, actions, suits, proceeding, damages, costs or liabilities (includ ing costs or liabilities of the Cit y with respect to its employees), including but not limited to damages for injury or death or damage to person or property including any reasonable attorney fees, arising out of or pertaining to the performance and activities of the Lessee pursuant to this Lease.
(B) Defense of Litigation. Lessee shall at the sole risk and expense of Lessee, upon demand of the City, made by and through the City Attorney, appear in and defend any and all suits, actions, or other legal proc eedings, whether judicial, quasi -judicial, administrative, legislative, or otherwise, brought or instituted by third persons or duly constituted authorities Item: 7
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10 against or affecting the City, its elected and appointed officials, officers, boards, commissions, agents, or employees, and arising o ut of or pertaining to the performance and activities of the Lessee pursuant to this Lease.
(C) Lessee shall pay and satisfy and shall cause to be paid and satisfied any judgment, decree, order, direction, or demand rende red, made or issued against Lessee, the City, its elected and appointed officials, officers, boards, commissions, agents, or employees for which Lessee is required to indemnify and hold harmless the City pursuant to Subsection 16(A). Such indemnity shall exist and continue without referenc e to or limitation by the amount of any bond, policy of insurance, deposit, undertaking or other assurance required hereunder or otherwise; provided that, neither Lessee nor City shall make or enter into any compromise or settlement of any claim, demand, c ause o f action, action, suit, or other proceeding, without first obtaining the written consent of the other which consent shall not be unreasonably withheld.
SECTION 18 – INSURANCE REQUIRED
(A) Lessee assumes all liability for the Premises and carries all insurance as mutually agreed. Lessee shall, as a condition precedent to execution of this Lease by City, furnish to the City and file with the City Clerk and City Attorney, and at all times during the existence of this Lease, maintain in full force and e ffect, at its own cost and expense, a general comprehensive liability insurance policy, including but not limited to coverage for premises operations, explosion and collapse hazard, underground hazard, contractual insuran ce, property damage, independent contractors and personal injury or death, and automobile liability in comprehensive from, in protection of the City, its elected and appointed officials, officers, boards, commissions, agents and employees, by a company approved by the City Manager and in a form satisfactory to the City Attorney, protecting the City and all persons against liability for loss or damage for personal injury, death and property damage, occasioned by the operations of Lessee under this Agreement, with minimum liability limits of T wo Mil lion Dollars ($2,000,000) for personal injury or death of any one person and Five Million Dollars ($5,000,000) for personal injury or death of two or more persons in any one occurrence, and One Million Dollars ($1,0 00,000) for damage to property resulting from any one occurrence.
(B) The City shall be named as an additional insured in the insurance policies referenced in Section 17(A). Such insurance shall contain a provision that a written notice of cancellation or reduction in coverage of said poli cy shall be delivered to the City Clerk, with a courtesy copy to the City Attorney, at least thirty (30) days in advance of the effective date thereof.
Said insurance policy shall contain the following endorsements:
i. The naming of an additional insured as he rein provided shall not affect any recovery to which such additional insured would be entitled under this policy if not named as such additional insured; and
ii. The provision of the policy will not be changed, su spended, cancelled or otherwise terminated as to the interest of the additional insured named herein without first giving such additional insured thirty (30) days written notice.
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11 (C) Fire Insurance. Throughout the term of this Lease, Lessee shall insure all structures erected or installed on the site under a policy of extended fire insurance coverage in an amount equal to the replacement value of said structures. Lessee shall be a named insured and City shall be a “loss payee” under the said policies of fire insurance. Any payment result ing from damage or destruction to said property shall be paid into an escrow account and shall be used by Lessee solely and exclusively for the repair, reconstruction or replacement of said buildings or facilities. In th e event that Lessee fails to undert ake such repairs, construction or replacement within one hundred twenty (120) days, or such additional time as may be approved by the City, following the damage or destruction to said buildings or facilities, the entire proceeds of the fire insurance polic y shall be paid to City. In the event that Lessee shall fail or neglect to take out or to maintain said fire insurance, City may, but nothing herein contained shall be deemed to create any obligation or liability on its part to do so, secure fire insuranc e for such period as Lessee shall fail or neglects to do so, and City shall have the right to collect the cost of the insurance policy from Lessee.
Fire insurance shall be obtained from an insurance company authorized to do business in the State of Califor nia with a rating by Best & Company of Los Angeles as B+, XII or above, and issued by its office or authorizing an agent in Orange County. Lessee shall file with the City Clerk a policy or example certificate, subject to the approval of the City Attorney, indicating that the required insurance is in full force and effect.
(D) Workers’ Compensation. Concurrently with the execution of this Lease, Lessee shall furnish to the City and file with the City Clerk a certificate of Worker s’ Comp ensation Insurance and at all times during the term of this Lease, maintain in full force and effect, at its own cost and expense a policy of Workers' Compensation Insurance. (E) Umbrella or Excess Liability Insura nce with a limit of not less than Five Million Dollars ($5,000,000).
SECTION 19 – SECURITY
Concurrently with the execution of this Lease, the Lessee shall deposit with the City an amount equal to three (3) months Base Rent in cash as a security deposit fo r the term of the Lease to guarantee the payment of any compensation, rental payments penalties , or fees which are set forth in this Agreement (the “ Security Deposit”); provided that any security deposit currently on deposit with the City shall be applied to the payment of the Security Deposit. Within fifteen (15) days after the termination of the Lease, the balance of the Security Deposit shall be refunded to Lessee, subject to provisions in this Lease . Upon an uncured default by Lessee, the City Manager shall have the right to withdraw sums for any due rent, damage , or destruction to the Premises or any other fee or penalty to which City shall be entitled pursuant to this Agreement, as reasonably determined by the City Manager. No interest shall be paid to the Lessee on the Security Deposit. Such utilization of the Security Deposit by the City shall not be in lieu of other remedies available to City and shall not be deemed a waiver of any other rights and remedies of the City, or an exoneration of Lesse e. Remedies shall be cumulative. In the event the City Manager properly withdraws funds from the security deposit account, Lessee shall, within ten (10) days of notice of such withdrawal, replenish the Security Deposit. The failure to Item: 7
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12 timely replenish such account shall be deemed a default under this Lease and City may terminate this Lease according to the provisions of Section 12.
SECTION 20 – DESTRUCTION OF PREMISES
In the event that the facilities located or installed on the site during the term of this Lease are partially destroyed for an y circumstances beyond its control, whether or not foreseeable, including, without limitation, a Force Majeure Event, then the affected party shall receive an abatement or reduction of rent to the extent the destruc tion interferes with the use of th e Premises. Lessee waives the provisions of Civil Code Section 1932(2) and 1933(4) with respect to any destruction of the Premises. Lessee and City shall meet to discuss the extent of destruction and required remediation , repair or reconstruction require d to re store the Premises.
Both City and Lessee shall each have the right to terminate this Agreement in the event the destruction is deemed, in either party’s sole and absolute discretion, to be so pervasive as to make restoration, remediation, repair or reconstruction inadvisable or infeasible.
SECTION 21 – SURRENDER OF PROPERTY
At the termination or expiration of this Lease, Lessee agrees to return the Premises, including any improvements requested by City to remain on the Premises to the City in the same condition less ordinary wear or tear and subject to any Force Majeure Events, reconfigurations and/or modifications of the Premises.
SECTION 22 – CONDEMNATION
Lessee takes and leases the Premises subject to all encumb rances, easements, rights and right-of- way of record and upon the condition and understanding that in the event of condemnation by any legal entity having the power to do so, Lessee shall be deemed to have a leasehold interest in the land and shall be enti tled to a portion of any payments made as a result of the condemnation in accordance with applicable law. Lessee shall have a leasehold interest in the Premises under or by virtue of this Lease, including an interest as to the value of any Alterations the reon erected by Lessee. Such cla im of in terest shall be made only if Lessee is not in default (after the expiration of the applicable cure period) of any substantive provisions contained herein. For the purpose of this Section 21, the value of any Altera tions erected by Lessee shall be equal to their value at the time the eminent domain proceedings are filed by the condemner, depreciated in proportion to the ratio between the remaining life of the Lease and the entire Lease period. If the entire or a mat erial portion of the leased prope rty is t aken by condemnation, either party shall have the election to terminate this Lease. The termination date shall be the date of taking.
SECTION 23 – TAXES
(A) Lessee To Pay Impositions. In addition to the rents a nd other payments required to be paid under this Lease, Lessee shall pay any and all taxes, assessments, and other charges of any description including, without limitation, any possessory interest tax (collectively, “Impositions”) levied or assessed from t he date of this Lease until the t ermination of this Lease by any governmental agency or entity on or against the Premises or any portion thereof, or on or against any interest in the Premises (including the leasehold interest created by this Lease), or any improvements or other property in or on the Premises.
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13 (B) Payment Before Delinquency. Any and all Impositions and installments of Impositions required to be paid by Lessee under this Lease shall be paid by Lessee at least ten (10) days before each such I mposition, or installment thereof , become delinquent, and the official and original receipt for the payment for such Imposition or installment thereof shall immediately be given to the City.
(C) Contest of Imposition. Lessee shall have the right to contes t, oppose, or object to the amoun t or val idity of any Imposition levied on or assessed against the Premises or any portion thereof and may in good faith diligently conduct any necessary proceeding to prevent or void or reduce the same; provided, however, t hat the contest, opposition, or o bjection must be filed before the Imposition at which it is directed become delinquent, and written notice of the contest, opposition, or objection must be given to the jurisdiction making such imposition in a timely manner. No such contest, opposition, o r objection shall be continued or maintained after the date on which the Imposition at which it is directed becomes delinquent unless Lessee has met one of the following conditions:
i. Paid such Imposition under protest prior to its becoming delinquent; or ii. Obtained and maintained a stay of all proceedings for enforcement and collection of the Imposition by posting such bond or other matter as may be required by law for such a stay.
The City further shall not be required to join in any proceeding or cont est brought by Lessee, unless the provisions of any law require that the proceeding or contest be brought by or in the name of the City or any owner of the Premises. In that case, the City shall join in the proceeding or contest or permit it to be brought in the City's name but such action shall be without cost to the City.
(D) Tax Returns and Statements. Lessee shall, as between the City and Lessee, have the duty of attending to, preparing, making, and filing any statemen t, return, report, or other instrument re quired or permitted by law in connection with the determination, equalization, reduction, or payment of any Imposition that is or may be levied on or assessed against the Premises, or any portion thereof, or any int erest therein, or any improvement s or other property on the Premises.
(E) Indemnification. Lessee shall indemnify, defend and protect the City, and its directors, officers, employees, volunteers and agents and the Premises and any improvements now or here after located on the Premises fre e and ha rmless from any claims, causes of action, liabilities, losses, damages, expenses, including attorneys’ fees and costs, resulting from any Impositions required by this Section to be paid by Lessee, and from all inter est, penalties, and other sums imposed thereon, and from any sale or other proceeding to enforce collection of any such Imposition.
(F) Payment by City. Should Lessee fail to pay within the time specified in this Section any Impositions required by this S ection to be paid by Lessee, the City may , without notice to or demand on Lessee, pay, discharge, or adjust such imposition for the benefit of Lessee. In such event, Lessee shall, on or before the first day of the next calendar month Item: 7
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14 following any such pa yment by the City, reimburse the City for the full amount incurred by the City in so paying, discharging, or adjusting such Imposition together with interest thereon at the highest permissible legal rate per annum, from the date of payment by the City unti l the date of repayment by Lessee.
SECTION 24 – LIMITATIONS
(A) Any permission required by this Agreement shall be secured in writing by the Lessee from the City and any errors or omissions therein shall not relieve the Lessee from its obligation to faithfully perform the conditions herein. (B) Lessee hereby acknowledges that it has inspected the Premises and that it accepts the Premises in its present condition and that it agrees not to call upon the City to make any repairs or improvements to the Premis es. Any Alterations or improveme nts authorized by the City on the Premises shall become the sole property of the City at the termination or expiration of this Agreement.
SECTION 25 – ATTORNEY'S FEES
(A) If either party commences any action against the ot her party arising out of or in connection with this Agreement, the prevailing party shall be entitled to have and recover from the losing party reasonable attorney's fees and cost of suit. (B) In case any suit shall be brought for an unlawful retainer of t he Premises, or for the recovery of any r ent due under the provisions of this Lease, or because of any breach by Lessee of any condition or term herein contained, Lessee shall pay to City a reasonable attorney’s fees which shall be fixed by the court.
SECTION 26 – NOTICE
Any notices to b e given hereunder shall be in writing and deemed to be duly given if and when deposited in the U.S. mail properly stamped and sent by certified mail to the party for whom it was intended at the address of such party as here in specified or at such other add ress of such party as herein specified or at such other address as the party may designate by proper notice from time to time.
Matt & Michelle Pannek
d/b/a The Gardens
77 Turnstone
Irvine, CA 92618
City of Lake Forest
c/o Adrian Grijalva
100 Civic Center Drive
Lake Forest, CA 92630
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15 SECTION 27 – NO SUBLETTING OR ASSIGNMENT; NON-TRANSFERABLE With exception granted to Bru Grill & Market, Lessee shall not voluntarily assign, transfer or encumber its interest in this Lease or in the Premises, or sublease all or part of t he Premises, or grant a license to any other person or entity, or allow any other person or entity to occupy or use all or any part of the Premises, without first obtaining the City’s written consent, which consent may be withheld in the City’s sole discre tion, notwithstanding sections 1995.260 and 1995.270 of the California Civil Code, as they may be amended. Any assignment, encumbrance, or sublease without the City’s consent s hall be voidable, and at City’s election, shall constitute a default. No conse nt to an y assignment, encumbrance, or sublease shall constitute a further waiver of the provisions of this Section.
SECTION 28 – MISCELLANEOUS PROVISIONS
(A) Captions. The captions used in this Lease are for the purpose of convenience only and shall not be construed to limit or extend the meaning of any part of this Lease. (B) Counterparts. Any executed copy of this Lease shall be deemed an original for all purposes. This Lease may be executed in one or more counterparts, each of which shall be an original, and all of which together shall constitute a single instrument. (C) Time of Essence. Time is of the essence for the performance of each covenant and term of this Lease.
(D) Severability. If any one or more of the provisions contained herein shall for any reason be held to be invalid, illegal or unenforc eable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision of this Lease, but this Lease shall be construed as if such invalid, illegal or unenforceable provision had not been contained herein. (E) Interpretation. The language in all parts of this Lease shall in all cases be construed as a whole according to its fair meaning, and not strictly for or against either Lessee or City. When the context of this Lease requires, the neuter gender includes the masculi ne, the feminine, a partnership or corporation or joint venture or other entity , and th e singular includes the plural. Unless otherwise specified “days” shall mean calendar days. (F) Successors and Assigns. The covenants and agreements contained in this Lease shall be binding upon and shall inure to the benefit of the parties heret o and th eir respective permitted heirs, successors, and assigns (to the extent this Lease is assignable with the written consent of City).
(G) Waivers. The waiver of any breach of any term, covenant or condition herein contained shall not be deemed to be a waiver of such term, covenant or condition or any subsequent breach of the same or any other term, covenant or condition herein contained. (H) Remedies. All remedies herein conferred shall be deemed cumulative and no one remedy shall be exclusive of any other remedy herein conferred or created by law.
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16 (I) Good Faith. Except where a party hereto is specifically permitted to act in its sole and absolute discretion, each party hereto agrees to act reasonably and in good faith with respect to the performanc e and fu lfillment of the terms of each and every covenant and condition contained in this Lease.
(J) No Partnership. The parties hereto agree that nothing contained in this Lea se shall be deemed or construed as creating a partnership, joint venture, or as sociation between Lessee and City, or cause either party to be responsible in any way for the debts or obligations of the other party, and neither the provisions contained in th is Lease nor any acts of the parties hereto shall be deemed to create any relat ionship between Lessee and City other than the relationship of landlord and tenant.
(K) Integration. This Lease, and the Exhibits and addenda, if any, attached hereto, constitute the entire agreement between the parties, and there are no agreements or representations between the parties except as expressed herein. All prior negotiations and agreements between Lessee and City with respect to the subject matter hereof are supersed ed by this Lease. Except as otherwise provided herein, no subsequent change or addition to this Lease shall be binding unless in writing and signed by the parties hereto. (L) Commissions. Lessee and City each represent and warrant to the other that they have employed no broker, finder or other person in connection with the transact ions contemplated under this Lease which might result in the other party being held liable for all or any portion of a commission hereunder. Lessee and City each hereby agree t o indemnify and hold the other free and harmless from and against all claims an d liability arising by reason of the incorrectness of the representations and warranties made by such party in this Section, including, without limitation, reasonable attorneys' fees and litigation costs. (M) Survival. Notwithstanding anything to the cont rary contained in this Lease, the provisions (including, without limitation, covenants, agreements, representations, warranties, obligations, and liabilities described therein) of this Lease which from their sense and context are intended to survive the ex piration or earlier termination of this Lease (whether or not such provision expressly provides as such) shall survive such expiration or earlier termination of this Lease and continue to be binding upon the applicable party. (N) Governing Law. This Lease shall be construed and enforced in accordance with the laws of the State of California. Venue shall be Orange County. (O) Nondiscrimination. Lessee herein covenants by and fo r itself and its assigns, and all persons claiming under or through Lessee, tha t this L ease is made and accepted upon and subject to the following conditions: that there shall be no discrimination against or segregation of any person or group of persons o n account of race, color, creed, religion, sex, marital status, national origin, or ancestry in the subleasing, transferring, use, occupancy, tenure, or enjoyment of the Premises nor shall the Lessee, itself, or any person claiming under or through Lessee, establish or permit any such practice or practices of discrimination or segregation. [Signature Page to Follow]
Item: 7
61 Item: 7
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18 EXHIBIT A
Legal Description of the Premises
A PORTION OF LOT 1 OF THE RANCO CANADA DE LOS ALISOS, IN THE CITY
OF LAKE FOREST, COUNTY OF ORANGE, STATE OF CALIFORNIA, AS SHOWN ON A MAP RECORDED IN BOOK 5, PAGES 290 AND 291, OF MISCELLANEOUS
RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID LOS ANGELES COUNTY, DESCRIBED AS FOLLOWS:
BEGINNING AT THE CENTERLINE INTERSECTION OF EL TORO ROAD, WITH
THE CENTERLINE OF ROCKFIELD BOULEVARD AS SAID INTERSECTION IS SHOWN ON A MAP FILED IN BOOK 77, PAGE 20, RECORDS OF SURVEY, RECORDS OF ORANGE COUNTY, CALIFORNIA: THENCE NORTH 46” 41’ 50” EAST, 195.00 FEET; THENCE SOUTH 37” 51’ 05” EAST 205.00 FEET; THENCE SOUTH 46” 41’ 50” WEST, 195.00 FEET; THENCE NORTH 37” 51’ 05” WEST, 205.00 FEET TO THE POINT OF BEGINNING.
EXCEPTING THEREFROM THE NORTHWESTERLY 60.00 FEET AND THAT PORTION DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT LOCATED NORTH 46” 41’ 50” EAST, 57.19 FEET ALONG THE CENTERLINE OF EL TORO ROAD AND SOUTH 43” 18’ 10” EAST
60.00 FEET FROM THE CENTERLINE INTERSECTION OF SAID ROCKFIELD BOULEVARD AND EL TORO ROAD AND PROCEEDING THENCE SOUTH 04” 25’ 23” WEST 33.64 FEET; THENCE SOUTH 37” 51’ 05” EAST 121.99 FEET; THENCE SOUTH 46” 41’ 50” WEST, 40.18 FEET; THENCE NORTH 37” 51’ 05” WEST 144.73 FEET; THENCE NORTH 46” 41’ 50” EAST 62.91 FEET TO THE POINT OF BEGINNING.
Item: 7
63 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Manager
SUBJECT:
2022 LEGISLATIVE PLATFORM
RECOMMENDED ACTION(S):
Adopt the proposed 2022 Legislative Platform in substantially the form attached.
EXECUTIVE SUMMARY:
Every year, the City adopts a Legislative Platform to provide broad policy direction to staff. This information is used by the City Manager’s Office to administer the City’s legislative advocacy program, which includes evaluating legislative proposals and providing recommendations for the City Council. The Legislative Platform also provides staff with direction to take more immediate action in the event it is necessary to respond to a legislative proposal prior to receiving City Council direction. This is more common toward the end of the legislative session with “gut and amend” bills or trailer bills introduced concurrently with the State’s budget adoption process. Staff is recommending the City Council adopt the proposed 2022 Legislative Platform (Attachment 1) substantially in the form attached.
BACKGROUND:
In adopting the legislative platform, the City Council agrees to a menu of policy directives that advance the City’s interests. Historically, policy directives have included the opposition of new legislation that restricts the City’s home rule authority, the imposition of unfunded mandates, and the diminishment of the City’s financial autonomy.
Upon adoption of the legislative platform, staff track bills proposed in the California legislature that are inconsistent with the City’s policy preferences.
Then, staff author position letters (in support or opposition) that are signed by the mayor and delivered to State legislators associated with the proposed bill(s).
Often, position letters from numerous California cities are aggregated by the League of California Cities (“CalCities”) to strengthen the impact of the message.
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7 The legislative platform also directs staff to craft position letters pursuant to the CalCities action agenda (Attachment 2).
During the 2021 Legislative Session, staff authored numerous position letters related to housing and land use, wireless facilities (“small cell”), automatic license plate readers used by law enforcement, mandatory organics recycling, and the potential extension of the SR-241 toll road.
DISCUSSION:
If approved, staff will craft position letters consistent with the 2022 Legislative Platform in accordance with the State’s legislative schedule for 2022 (Attachment 3). The attached draft 2022 Legislative Platform includes the policies adopted in the 2021 Legislative Platform, with three exceptions. The three exceptions are described by the recommendations below.
Recommendation 1: Remove Position Related to Community Choice Aggregation
Item 11 in the Legislative Platform currently states, “The City supports legislative efforts that encourage and defend municipalities’ ability to expand services through Community Choice Aggregation divisions.” The City is no longer actively considering CCA. Also, the legal authority of CCA’s has since been enshrined in State law.
Recommendation 2: Add Position Related to Legislation that Eliminates or Mitigates the Compliance Burden of Organics Recycling Mandates In 2021, the City supported SB 619, which extended the timeline for cities to comply with mandatory organics recycling without receiving financial penalties.
However, all cities in California must still comply with a menu of onerous requirements related to organics recycling mandates (AB 1826 and SB 1383).
Organics recycling mandates have already led to increased disposal costs for residents and businesses, and staff anticipate the need to dedicate even more resources to organics recycling compliance going forward. As a result, staff recommend the City Council include the following new item as part of the adoption of the 2022 Legislative Platform:
“The City supports legislative efforts that reduce or delay the financial and compliance impacts of State-mandated organics recycling.” Recommendation 3: Remove Position Related to the State’s Efforts to Curtail Public Engagement Related to Accessory Dwelling Units
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65 1
7 2
7 Item 20 in the Legislative Platform current states: “The City opposes legislation that would further limit the public engagement process relative to accessory dwelling units, or any additional dwelling structures, in an effort to respond to the current housing shortage.” Since 2017, the City has opposed State legislation that would preclude the City from requiring a public hearing before an accessory dwelling unit receives approval. On September 16, 2021, Governor Newsom signed Senate Bill 9 (“SB 9”) into law. SB 9 requires cities grant ministerial approval to proposed accessory dwelling units, so long as they meet relevant zoning, building, and fire codes. Granting ministerial approval precludes the City from requiring a public hearing (or other public engagement method) before an accessory dwelling unit is approved. The legislature approved SB 9 as part of a package of housing-related bills designed to spur more construction quickly and address the shortage of available housing. Since the State has enshrined a property owner’s right to receive approval for accessory dwelling unit construction absent a public hearing, Item 20 is no longer as significant.
Subject to further direction from the City Council, staff would implement City advocacy efforts over the next year consistent with policy objectives identified in the draft 2022 Legislative Platform. During the year, staff will bring legislative proposals before the City Council and recommend specific policy positions as appropriate.
The City Manager’s Office will continue to exercise day-to-day oversight of legislative matters. In addition to coordinating formal action through the City Council, the Assistant to the City Manager will administer the City’s legislative advocacy program by performing the following functions:
Continue to work with the City’s Management Team and other staff to identify matters of legislative importance and develop positions on federal and state legislative proposals and general matters of legislative interest. Communicate matters of legislative importance to the City Council through periodic updates and identify and coordinate positions for formal action by the City Council.
Review positions and analysis conducted by the League of California Cities and other government/professional associations when formulating positions.
Monitor and track key bills through the legislative process. Communicate the City’s positions to federal, state, and county legislators. Participate as needed in the drafting and amending of legislative proposals that significantly impact the City.
Item: 8
66 1
7 2
7 Work with the CalCities and other cities and local government/professional associations on legislative matters of mutual concern.
Participate and attend legislative briefings and meetings to actively engage and stay apprised of legislative trends and upcoming legislation.
Approval of the draft 2022 Legislative Platform would continue the practice of responding to legislative proposals as follows: (1) once a determination has been made that a legislative proposal may impact the City, a letter outlining the City’s position (support, neutral or oppose) will be drafted for the Mayor’s signature; (2) the draft position letter will be agendized for City Council approval at a City Council meeting; (3) if the letter is approved, staff will finalize the position letter and forward it to the bill’s author, the League of California Cities, and other stakeholders as deemed appropriate; and (4) a copy of the final letter will be distributed to the City Council.
FISCAL IMPACT:
There is minimal fiscal impact associated with the recommended action.
ATTACHMENTS:
1. Draft 2022 Legislative Platform (emphasis added to reflect proposed changes)
2. CalCities 2022 Action Agenda
3. 2022 Legislative Calendar
Initiated By: Sean McGovern, Assistant to the City Manager Submitted By: Sean McGovern, Assistant to the City Manager Approved By: Debra Rose, City Manager
Item: 8
67 ATTACHMENT 1
Item: 8
68 CITY OF LAKE FOREST
2022 LEGISLATIVE PLATFORM
The Legislative Platform (“Platform”) defines the City’s Policy guidelines and provides the foundation for advocacy efforts at the federal, state, and local levels.
Staff uses this Platform to identify relevant topic areas and subject matter, and makes recommendations to the City Council on specific legislation consistent with the policy guidelines. Additionally, in the event it is necessary for the City to respond to a legislative proposal in a timeframe that does not allow the City Council to take formal action, staff would express positions on bills in accordance with these guidelines, and then seek City Council direction at the appropriate time.
Policy Guidelines:
1. The City supports legislation that leads to greater financial independence from federal, state and/or county government, and protects local resources from seizure by federal, state and/or county agencies.
2. The City supports legislation maintaining maximum local flexibility in all areas of its responsibility and operations and opposes legislation that imposes intrusive, unnecessary or unfunded state-imposed mandates or preempts local authority.
3. The City supports legislation that advocates fair and proportionate representation on countywide and regional boards.
4. The City supports modification to the California Environmental Quality Act (“CEQA”) to eliminate duplicative and unnecessary provisions of the existing law.
5. The City supports efforts to reestablish the authority and financing capability previously afforded to local governments by redevelopment through legislation designed to support businesses through economic development and the City supports efforts to facilitate economic development efforts that enhance opportunities for local businesses.
6. The City supports legislative efforts that would amend existing law to ensure that prevailing wage rates do not impede its ability to pursue small-dollar projects and lower operating costs.
Item: 8
69 7. The City supports efforts to amend the current occupancy calculation in the Uniform Housing Code (“UHC”) to achieve a more reasonable standard, thereby, improving the health, safety, and residential character of our community.
8. The City supports efforts, at both the federal and state level, to provide local agencies with regulatory tools related to short-term rentals and other uses in residential areas that have the ability to affect the quality of life.
9. The City supports bills that would lower taxation rates for businesses and residents.
10. The City supports religious freedom and legislation protecting religious freedom at both the state and federal level.
11. The City supports legislative efforts that encourage and defend municipalities’ ability to expand services through Community Choice Aggregation divisions.
12. The City opposes legislation or policies that limit the type and or number of clean, renewable, sustainable energy sources available to consumers.
13. The City opposes legislation that makes the City more dependent on federal, state, and/or county government or agencies for policy direction.
14. The City opposes any legislation that is inconsistent with the doctrine of home rule, interferes with local exercise of police powers over local land use, or requires a federal, state, and/or county entity to develop model planning practices and policies.
15. The City opposes legislation or ballot initiatives that would alter the legislative intent of Proposition 13, including a split real-property tax roll that would affect commercial property and any amendment that would affect residential property.
16. The City opposes legislation to create new financial burdens or erode public safety through realignment implementation.
17. The City opposes legislation to limit the City’s ability to contract for municipal services.
Item: 8
70 18. The City opposes legislation that seeks to impede the construction Portola Parkway and the construction of Foothill-South, the proposed extension of the 241 Toll Road south to the 1-5 near San Clemente.
19. The City Council opposes efforts by the State Legislature to assess taxes on public goods and services such as water and electricity.
20. The City opposes legislation that would further limit the public engagement process relative to accessory dwelling units, or any additional dwelling structures, in an effort to respond to the current housing shortage.
21. The City opposes legislation that would lower the vote threshold as a method to impose new taxes or create new financing opportunities.
22. The City supports legislative efforts that reduce or delay the financial and compliance impacts of State-mandated organics recycling.
23. The City will take into consideration the strategic goals adopted by the League of California Cities.
24. Staff is authorized to continue to advocate a position for a bill which has been amended into a new bill number as long as the language and intent remain substantially unchanged.
Item: 8
71 ATTACHMENT 2
Item: 8
72 League of California Cities 2022 Action Agenda
1. Secure funding to increase the supply and affordability of housing and reform state housing laws to retain local authority. Secure adequate and sustainable funding for cities to increase construction of housing at all income levels, particularly affordable housing and workforce housing. Reform state housing laws to ensure cities retain local decision-making to meet the needs of their communities.
2. Attain investments to strengthen and sustain critical infrastructure. Advocate for policies that strengthen the conditions of local streets, highways, bridges, public transit, and broadband to improve workforce and economic development. Secure support for the modernization and expansion of the statewide water grid, including infrastructure, storage, and conveyance. Work with stakeholders to provide cities with access to the tools needed to ensure projects are delivered efficiently and cost-effectively to meet current and future needs.
3. Secure increased funding and resources to prevent homelessness and assist individuals experiencing homelessness. Secure additional ongoing, flexible resources to provide navigation assistance, emergency shelters, and permanent supportive housing. Enhance city and county coordination and strengthen partnerships with stakeholders to ensure adequate wraparound services are available for adults and youth at risk of, or already experiencing, homelessness in our communities, and effectively address mental health and substance use disorders.
4. Strengthen disaster preparedness, resiliency, and recovery from climate change impacts through improved collaboration and resources. Secure additional resources and support to mitigate the effects of climate change, including catastrophic wildfires, drought, and sea level rise. Promote collaboration with other city, state, and federal governments, to strengthen disaster preparedness, resiliency, and recovery.
Item: 8
73 ATTACHMENT 3
Item: 8
74 Monthly Overview
2022 State Legislative Calendar
Below is an overview that summarizes major legislative events and key dates that occur month to month.
Date Deadline
January 1, 2022 Statutes from previous session take effect
January 3, 2022 Legislature reconvenes
January 10, 2022 Budget must be submitted by Governor
January 21, 2022 Last day to submit bill requests to the Office of the Legislative Counsel
February 18, 2022 Last day for bills to be introduced
April 7, 2022 Spring Recess begins upon adjournment of this day’s session
April 18, 2022 Legislature reconvenes from Spring Recess
April 29, 2022 Last day for policy committees to hear and report fiscal bills for referral to fiscal committees
May 6, 2022 Last day for policy committees to hear and report non- fiscal bills introduced in their house
May 13, 2022 Last day for policy committees to meet prior to May 31, 2022
May 20, 2022 Last day for fiscal committees to hear and report to the Floor bills introduced in their house. Last day for fiscal committees to meet prior to May 31, 2022
May 23-27, 2022 Floor session only; no committees, other than Conference or rules, may meet for any purpose
May 21, 2022 Last day for bills to be passed out of each house of origin
Item: 8
75 May 31, 2022 Committee meetings may resume
June 15, 2022 Budget must be passed by midnight
June 30, 2022 Last day for a legislative measure to qualify for the November 8, 2022 General Election ballot
July 1, 2022 Summer Recess begins upon adjournment of this day’s session, provided Budget Bill has been passed.
August 1, 2022 Legislature reconvenes from Summer Recess
August 12, 2022 Last day for fiscal committees to meet and report bills to the Floor
August 15-31, 2022 Floor session only; no committees other than Conference or Rules, may meet for any purpose
August 25, 2022 Last day to amend bills on the Floor
August 31, 2022 Last day for each house to pass bills. Final Recess begins upon adjournment.
September 30, 2022 Last day for Governor to sign or veto bills passed by the Legislature before September 1, 2022.
Item: 8
76 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Clerk
SUBJECT:
LOCAL APPOINTMENT LIST "MADDY ACT"
RECOMMENDED ACTION(S):
Affirm the City of Lake Forest Local Appointments List, as submitted.
EXECUTIVE SUMMARY:
In accordance with State Law, Government Code Section 54972, the City Council must prepare and post a Local Appointments List annually.
The State Legislature found that there is an abundance of untapped talent within the citizens of the State of California and that this resource was not, all too frequently, aware of the many opportunities which exist to participate in and serve on local regulatory and advisory boards, commissions, and committees. To provide access to information regarding vacancies which occur on local boards, commissions, and committees, Government Code Section 54972 requires that each legislative body prepare a Local Appointments List on or before December 31st of each year consisting of the following:
• A list of appointive terms, which will expire during the next calendar year, with the name of the incumbent appointee, the date of the appointment, th date the term expires, and the necessary qualifications for the position. • A list of all boards, commissions, and committees whose members serve at the pleasure of the legislative body and the necessary qualifications for each position.
The Local Appointments List for the City of Lake Forest is attached. Tonight, the City Council is requested to affirm the list. A copy of the list will be posted on the City's website, posted in the window box located outside of the main entrance of at Lake Forest City Hall and may also be viewed the City Clerk counter.
Item: 9
77 1
8 0
6 FISCAL IMPACT:
There is no fiscal impact associated with the recommended action.
ATTACHMENTS:
Local Appointments List
Initiated By: Lisa Berglund, MPA, City Clerk
Submitted By: Lisa Berglund, MPA, City Clerk
Approved By: Debra Rose, City Manager
Item: 9
78 ATTACHMENT
Item: 9
79 Item: 9
80 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: Finance
SUBJECT:
MONTHLY TREASURER'S REPORT - DECEMBER 2021
RECOMMENDED ACTION(S):
Receive and file.
EXECUTIVE SUMMARY:
The Treasurer's Report for the month ended December 31, 2021 is attached.
There are no exceptions to the Investment Policy. Total cash and investments equal $139.0 million for the period.
DISCUSSION:
The Treasurer’s Report for the month ended December 31, 2021 is attached.
There are no exceptions to the Investment Policy.
Investment Portfolio
The City’s balances consist of the following:
Type Millions
Federal Home Loan Bank (FHLB) $ 2.0
Federal Home Loan Mortgage Association (FHLMC) 2.0
Local Agency Investment Fund (LAIF) 49.8
California Asset Management Program (CAMP) 0.0
Orange County Investment Pool (OCIP) 41.2
Federated Government Obligations Fund 10.5
Operating Bank Balance-US Bank 33.5
Total Cash and Investments $ 139.0
The investment portfolio balance (excluding the operating bank balance) was unchanged during the last month. The balance in the investment portfolio was Item: 10
81 1
8 1
2 consistent with staff’s expectations based on the operating and capital improvement activities during the month.
There were no investment purchases and one maturity during the month. An investment purchased December 7, 2016 with Federal Home Loan Bank reached its maturity date on December 10, 2021. The types of investments currently included in the portfolio are described below with any new information since the last report.
The Local Agency Investment Fund (“LAIF”), Orange County Investment Pool (“OCIP”), and California Asset Management Program (“CAMP”) are the City’s liquidity pools. Liquidity pools are the source of funding for weekly ongoing operating costs. Many cities use only LAIF, while Lake Forest has been more conservative in this respect. The US Bank balance reflected on the previous page is mostly transitory, as a function of holding deposits until the funds are invested and subsequently disbursed from LAIF/OCIP/CAMP for operations.
State law requires that these bank balances be collateralized at 110%. The Federated Government Obligations Fund Service Share Money Market Fund is also mostly transitory, as a function of holding matured investments and earnings until the City purchases new investments. This account is the custodial account for the City’s investment safekeeping institution, US Bank.
LAIF is a conservative investment pool managed by the State. The State cannot access these balances to fund its operational expenditures. Staff believes it is still prudent to maintain funds for liquidity in LAIF. LAIF earned .212% on the fund in December, which is slightly lower than the City’s earnings of .330% as of December 31, 2021.
Orange County Investment Pool (“OCIP”) allows local government agencies to voluntarily invest surplus cash to obtain competitive yields while maintaining safety and liquidity, thereby creating a multi-million-dollar County investment pool that enables investments in diversified instruments. OCIP earned approximately .396% on the fund as of December 31, 2021.
CAMP is a conservative short-term money market investment pool for a group of local agencies. CAMP earned approximately .05% on the fund as of December 31, 2021.
Cash with Fiscal Agent
During the month, cash with the fiscal agent was unchanged.
Item: 10
82 1
8 1
2 FISCAL IMPACT:
There is no fiscal impact associated with the recommended action.
ATTACHMENTS:
Monthly Treasurer's Report
Initiated By: Amy Lewis, Assistant Director of Finance
Submitted By: Kevin Shirah, Director of Finance/City Treasurer Approved By: Debra Rose, City Manager
Item: 10
83 ATTACHMENT
Item: 10
84 VALUE OF PORTFOLIO
This Month Last Month
Market Value 105,592,056$ 105,552,368$
Book Value 105,594,158$ 105,543,070$
This Month Last Month
Average Maturity (days) 7 9
Average Maturity to Call (days) 7 9
RETURN
This Month Last Month
Average Annual Return 0.330% 0.391%
Average Annual Return to Call 0.330% 0.391%
1. I hereby certify that the investments are in compliance with the investment policy approved by the City Council on December 21, 2021.
2. Although any investment is impacted by market conditions, the current investments are structured to reduce the impact of market conditions.
3. The market values for the investments are provided by the City's Custodian, US Bank.
Local Agency Investment Fund, California Asset Management Program and
4. The City has the ability to meet its budgeted expenditures for the next six months.
Kevin R. Shirah
Director of Finance / City Treasurer
CITY OF LAKE FOREST
MONTHLY INVESTMENT HIGHLIGHTS
December 31, 2021
Orange County Investment Pool market values are the withdrawal amount. 1 Item: 10
85 SUMMARY OF TRANSACTIONS
Investment Securities*
Activity
Dollar Volume
(Par Value)
Transaction
Count
Purchases -$ -$
Maturities 1,000,000$ 1
Called - Prior to Maturity -$ -$
Sale - Prior to Maturity -$ -$
* The Investment Securities activity is also included in the account summary below.
LAIF, CAMP, OCIP & Money Market Mutual Fund (MMMF)
Category Deposits Withdrawals
Local Agency Investment Fund -$ -$
California Asset Management Program -$ -$ Orange County Investment Pool 19,039$ 1,967$
Federated Government Obligations Fund Service Shares 31,826$ -$ No exceptions.
EXCEPTIONS TO INVESTMENT POLICY
December 31, 2021
CITY OF LAKE FOREST
MONTHLY INVESTMENT HIGHLIGHTS/
December 31, 2021
EXCEPTIONS TO INVESTMENT POLICY
CITY OF LAKE FOREST
2 Item: 10
86 CITY OF LAKE FOREST
CASH AND INVESTMENTS
December 31, 2021
CASH & INVESTMENTS:
Type Market Value
Bank Accounts 33,524,736$
Investments 4,021,880
Local Agency Investment Fund 49,817,299
California Asset Management Program 3,920
Orange County Investment Pool 41,240,160
Federated Government Obligations Fund Service Shares 10,508,797 Total 139,116,792$
CASH WITH FISCAL AGENT:
Type Market Value
First American Treasury Obligatory Fund -$
3 Item: 10
87 CITY OF LAKE FOREST
PORTFOLIO STRUCTURE
December 31, 2021
COMPARISON OF INVESTMENT PORTFOLIO BY TYPE:
Average
% or $ Average Maturity Allowed
Book % or $ Over Maturity to Call Maturity
Type of Instrument Value Portfolio Allowed Limit (in days) (in days) (in days) U.S. Treasury Bills 0.0% 100% 1825
U.S. Treasury Notes 0.0% 100% 1825
U.S. Treasury Bonds 0.0% 100% 1825
Federal Agencies 4,023,982$ 3.7% 100% 127 127 1825 Bankers' Acceptances 0.0% 20% 180
Certificates of Deposit (Non-Negotiable) 0.0% 30% 730
Commercial Paper 0.0% 25% 270
Local Agency Investment Fund 49,817,299 47.2% $75 MM N/A N/A N/A California Asset Management Program 3,920 0.0% 30% N/A N/A N/A Orange County Investment Pool 41,240,160 39.1% 100% N/A N/A N/A Federated Government Obligations Fund Service Shares 10,508,797 10.0% 10% N/A N/A N/A Totals 105,594,158$ 100.0%
CALLABLES AS PERCENTAGE OF BOOK VALUE:
Federal Agencies - Callable -$ 0.0% 100% 0 0 1825 4 Item: 10
88 INVESTMENT PORTFOLIO BY ISSUER:
Book % of % or $ Over
Issuer Name Value Portfolio Allowed Limit Quality
U.S. Treasury -$ 100% AAA+
Federal Home Loan Bank 2,023,982 1.9% 70% AAA
Federal National Mortgage Association 0 0.0% 70% AAA
Federal Home Loan Mortgage Corporation 2,000,000 1.9% 70% AAA Federal Agricultural Mortgage Corporation 0 0.0% 70% AAA Federal Farm Credit Bank 0 -0.1% 70% AAA
Local Agency Investment Fund 49,817,299 47.2% $50 MM N/R California Asset Management Program 3,920 0.0% 30% N/R Orange County Investment Pool 41,240,160 39.1% 100% N/R Federated Government Obligations Fund Service Shares 10,508,797 10.0% 10% AAA Totals 105,594,158$ 100.0%
DISTRIBUTION BY SELLING INSTITUTION:
% of
Name of Institution Book Value Total
Raymond James & Associates, Inc. -$ 0.0% Multi-Bank Securities, Inc. 0 0.0%
Wedbush Morgan 4,023,982 3.7%
Local Agency Investment Fund 49,817,299 47.2%
California Asset Management Program 3,920 0.0%
Orange County Investment Pool 41,240,160 39.1%
Federated Government Obligations Fund Service Shares 10,508,797 10.0% Totals 105,594,158$ 100.0%
CITY OF LAKE FOREST
DISTRIBUTION BY SELLING INSTITUTION
December 31, 2021
PORTFOLIO STRUCTURE
5 Item: 10
89 CITY OF LAKE FOREST
PORTFOLIO DETAILS SORTED BY MATURITY DATES 1
December 31, 2021
Market Par Book Coupon Yield to Purchase Maturity
Type of Instrument Issuer 2 Seller 3 Value 4
Value Value Rate Maturity Date Date
Federal Agency FHLMC Wedbush 2,005,400 2,000,000 2,000,000 2.000% 2.000% 2/28/17 2/28/22 Federal Agency FHLB Wedbush 2,016,480 2,000,000 2,023,982 2.125% 1.870% 6/29/17 6/10/22 LAIF 5 N/A N/A 49,817,299 49,817,299 49,817,299 N/A N/A N/A N/A CAMP 6
N/A N/A 3,920 3,920 3,920 N/A N/A N/A N/A
OCIP 7
N/A N/A 41,240,160 41,240,160 41,240,160 N/A N/A N/A N/A Money Market Fund 8
N/A N/A 10,508,797 10,508,797 10,508,797 N/A N/A N/A N/A Totals 105,592,056$ 105,570,176$ 105,594,158$
1 All investments are held in safekeeping by US Bank.
2 UST = U.S. Treasury/FHLB = Federal Home Loan Bank/FHLMC = Federal Home Loan Mortgage Co./ FFCB = Federal Farm Credit Bank/FNMA=Federal National Mortgage Association/ FAMCA = Federal Agricultural Mortgage Corp.
3 RAYMOND = Raymond James & Associates, Inc. / MULTI-BANK = Multi-Bank Securities, Inc. 4 Market values are obtained monthly from US Bank.
5 Local Agency Investment Fund
6 California Asset Management Program
7 Orange County Investment Pool
8 Federated Government Obligations Money Market Fund
6 Item: 10
90 CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Manager
SUBJECT:
STRATEGIC PLAN QUARTERLY UPDATE
RECOMMENDED ACTION(S):
Receive and file.
EXECUTIVE SUMMARY:
On June 15, 2021, the City Council approved the City’s Strategic Business Plan covering Fiscal Years 2021-22 through 2027-28 (“Strategic Plan”). The Strategic Plan includes the major goals established by the City Council and a series of initiatives that facilitate progress towards each goal. The Strategic Plan’s Implementation Matrix includes 66 initiatives (Attachment 1). Each initiative has been assigned a lead department and description of the funding source.
Each quarter, the City Manager’s Office provides an update to the City Council summarizing the progress made on the Strategic Plan during the preceding three months. This is the second quarterly report submitted to the City Council since the passage of the Strategic Plan in 2021. Since the Strategic Plan’s inception on June 15, 2021, the City has either started, made substantial progress towards completion, or completed 52 of the 66 initiatives, approximately 79% (Attachment 2).
BACKGROUND:
The City’s Strategic Plan was approved on June 15, 2021. The Strategic Plan was developed through a comprehensive public engagement process that included residents, each commission, and the City Council. The Strategic Plan includes three major goals:
Goal A - Our livable City is well-planned, attractive, and safe.
Goal B – Our connected City is engaged, informed, and technologically current.
Item: 11
91 1
4 0
2 Goal C – Our healthy City government is sustainable and well-run with committed people.
The Strategic Plan’s Implementation Matrix includes 66 initiatives that are assigned to one of the three goals. Each of these initiatives facilitate progress towards one of the goals.
DISCUSSION:
The City Manager’s Office administers the City’s Strategic Plan and periodically receives reports from departments to assess the progress made towards plan goals. Since the passage of the Strategic Plan on June 15, 2021, the City has either started, made substantial progress towards completing, or completed 52 of the 66 initiatives. The overall progress made on the Strategic Plan is illustrated in Attachment 2.
The City Manager’s Office has selected eight Strategic Plan initiatives to highlight for this quarterly report (Table 1).
Table 1: Q2 2021-22 Strategic Plan Quarterly Report
Initiative Description Update
SP#9 - Broadband
Feasibility Study
Procure consultant to
conduct feasibility
study related to City-
led broadband
initiative.
Required further examination to
ensure compliance with the newly
issued Final Rule for American
Rescue Plan Act (“ARPA”)
funding. Subject to further City
Council consideration via the
appropriation of funds for the
Fiscal Year 2022-23 of the 2021-
23 Operating Budget.
SP#10 – Housing
Element Update
Utilize grant funding
to update required
General Plan
Element to
accommodate
Regional Housing
Needs Assessment
(“RHNA”)
requirements.
Completed. City Council
approved the updated housing
element on January 4, 2022.
Item: 11
92 1
4 0
2 Initiative Description Update
SP#14 – Citywide
Street Sign
Refresh
Create new street
name sign design
and replace signs
citywide, beginning in
southwest Lake
Forest (# PW 2021-
06 and # PW 2022-
06).
New street name sign design
samples have been produced by
staff. Staff plan to produce
prototypes of each design type for
further consideration.
SP#15 –
Southwest Lake
Forest
Neighborhood
Improvement Task
Force
Interdepartmental
task force to address
neighborhood
concerns identified in
the 2021 Community
Satisfaction Survey.
Substantially complete.
Contracted with Communications
LAB to collect and analyze
resident and business survey
information and other data. Final
report produced which includes
implementation recommendations.
Interdepartmental group to meet in
January to discuss specific
implementation steps.
SP#17 – Arbor
Mini Parks
Reactivate Arbor
Mini Parks (“the
Arbors”) through new
uses, perimeter
fencing, and new
landscaping (# PW
2019-17).
Northwest parcel (adjacent to
shopping center plaza with Home
Depot) construction is
substantially complete. Northeast
parcel is subject to a Lease
Agreement with Brü Grill to be
considered by the City Council on
January 18, 2022.
SP#32 –
Comprehensive
Emergency
Management Plan
Procure consultant
services to produce a
new comprehensive
emergency
management plan.
Agreement with Jacob Green &
Associates entered into on
October 5, 2021. Initial Gap
Analysis phase complete, training
scheduled and/or underway.
Emergency Operations Plan
(“EOP”) update scheduled for
completion late summer 2022.
SP#25 – Lake
Forest Geofence
Expand the use of
the City’s Automatic
License Plate
Reader system
cameras by adding
Eleven (11) new Flock cameras
installed at various strategic
locations, bringing total camera
deployment to twenty-one (21).
Item: 11
93 1
4 0
2 Initiative Description Update
cameras at major
arterial intersections
or high traffic areas
near City borders.
Additional camera installations
planned for the next fiscal year.
SP#65 -
Restaurant
Recovery
Develop funding
program to assist
restaurants with
economic recovery.
RFP issued on December 13,
2021 to secure consultant services
to help administer an ARPA-
compliant recovery program. Final
Rule released on January 2022,
which could significantly affect the
City’s existing Restaurant
Recovery plans.
FISCAL IMPACT:
There is no fiscal impact associated with the recommended action.
ATTACHMENTS:
1. Strategic Plan Implementation Matrix
2. Strategic Plan Q2 Progress Report
Initiated By: Sean McGovern, Assistant to the City Manager Submitted By: Keith Neves, Assistant City Manager
Approved By: Debra Rose, City Manager
Item: 11
94 ATTACHMENT 1
Item: 11
95 ²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ ׃ׁ
Implementation Matrix
²ɈȲƊɈƵǐǞƧ§ǶƊȁ
Item: 11
96 ׁׄ
Initiative
#/Title Initiative/Project Description
ׁح
׃ح
ׄح
ׅح
ׂ׆ح
Lake Forest
Transportation
Mitigation
Program
ׂح
wƵƊƮȌɩȺ
TraǏǏǞƧ
Mitigation
Program
Foothill
Circulation
Phasing Plan
New Traffic
Circulation/
Mobility Projects
Traffic Signal
Synchronization
Maintain “Good”
Pavement Condition
of the City’s Roads
Complete infrastructure projects that increase mobility and reduce congestion with Local IȌȲƵȺɈÀȲƊȁȺȯȌȲɈƊɈǞȌȁMitigation Ǐundspaid for by developments. - Lake Forest Rd & Rancho Pkwy (LFTM) (#PW 2020-06)
- El Toro Rd & Portola Pkwy/Santa Margarita Pkwy (LFTM) (# PW 2019-03) - Bake Pkwy & Irvine Blvd/Trabuco Rd (LFTM) (# PW 2019-02) - Bake Pkwy & Jeronimo Rd (LFTM) (# PW 2020-04)
- Lake Forest Dr & Jeronimo Rd (LFTM) (# PW 2020-03)
- Lake Forest Dr & Rockfield Blvd (LFTM) (# PW 2019-06)
- Los Alisos & Rockfield (LFTM) (# PW 2022-11)
- Lake Forest Dr & I-5 (LFTM/NITM) (# PW 2028-10)
- Bake Pkwy & Rockfield - not within City-limits (LFTM) (# PW 2028-11) Utilize developer-funded Foothill Circulation Phasing Plan (FCPP) to make various transpȌȲɈƊɈǞȌȁ improvements that reduce congestion and improve traffic flow. - Los Alisos Blvd/Muirlands Blvd Intersection Improvements (# PW 2019-07) - Jeronimo Rd Widening at El Toro Rd (# PW 2019-08)
- El Toro Rd Raised Medians from Jeronimo Rd to Trabuco Rd (# PW 2020-07) Projects which increase mobility and implement new approaches to traffic circulation. - Protective Permissive Left Turn Project (# PW 2023-03) - Audible Pedestrian Signals (APS) (# PW 2023-0ׂ)
Increase Bike Lanes in Lake Forest (# PW 2020-05B)
- Trabuco Rd Ascension Cemetery Left Turn Holding Pocket (# PW 2025-02) Utilize grants and other transpȌrɈation funds to complete traffic signal synchronization projects that provide more efficient traffic flow. - Alton Pkwy (# PW 2020-16)
- Portola Pkwy (# PW 2020-15)
- Rockfield Blvd (# PW 2023-04)
Use Meadows Traffic Improvement Funds (MTIF) to manage impacts related to the Meadows development.
- Bake Pkwy/Baffin Bay Intersection Improvements (# PW 2020-19) - Bake Pkwy/Toledo Way Intersection Improvements (# PW 2020-18) Construct pavement rehabilitation projects to repair and maintain the quality of the roads (# PW 2021-05A/B, # PW 2022-05A/B, # PW 2023-05A/B, # PW 2024-05A/B, # PW 2025-05A/B, # PW 2026-05A/B, # PW 2027-05A/B, # PW 2027ٌ8-05A/B).
Goal A Our livable City is well-planned, attractive, and safe.
Priority Area 1 - Well-Planned: Purposeful direction in land use and transportation planning create a community future generations will value.
Strategy (a): Prioritize initiatives to reduce traffic congestion, improve mobility, and manage on-street parking.
²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ ׁׅ
Lead
Department
Budget
Impact Fund Estimated Completion Date
Public
Works
Public
Works
Public
Works
Public
Works
Public
Works
Public
Works
$8,948,400
$2,475,000
$5,025,000
$1,415,000
$525,000
$28,000,000
LFTM/NITM
Meadows
Traffic
Improvement
Funds
General Fund/
CDBG/M2/SB1
Gas Tax,
AQMD, and
Grants
Measure M2 Fair
Share/ Gas Tax - Road
Maintenance
Rehabilitation Account
/ Gas Tax / City Road
Infrastructure Fund
FCCP
FY 2021-22 - FY 2025-26
FY 2021-22 - FY 2025-26
FY 2021-22 - FY 2023-24
FY 2021-22 - FY 2027-28
FY 2022-23 - FY 2023-24
FY 2022-23 - FY 2023-24
Item: 11
97 ׆ׁ
Initiative
#/Title Initiative/Project Description
׃׆ح
׆ح
ׇح
ح
׀ׁح
ׁׁح
ׁׂح
ׄ׆ح
׃ׁح
Arterial Median
Improvement
Project
Permit Parking
Software
General Plan
Implementation
Mixed-Use
Zoning
Housing Element
Update
Mandatory
Food Waste &
Commercial
Recycling
Mountain View
Affordable Housing
Project
Retail Attraction
Housing
Mandates
Installation of raised hardscaped medians would improve traffic safety. These locations include Trabuco Rd north of El Toro Rd, and on Rockfield Blvd south of Lake Forest Dr (# PW 2022-02).
Prepare objective design standards and development requirements to implement the Mixed-Use land designations included in the General Plan Update 2040. (ƵɨƵǶȌȯƊȁƮǞǿȯǶƵǿƵȁɈȯȲȌǐȲƊǿȺɈȌȯȲȌǿȌɈƵƵȁƵȲǐɯƧȌȁȺƵȲɨƊɈǞȌȁǞȁƧȌȁȺɈȲɐƧɈǞȌȁ §ȲȌƧɐȲƵƊƧȌȁȺɐǶɈƊȁɈɈȌƊȺȺǞȺɈɩǞɈǘǞǿȯǶƵǿƵȁɈǞȁǐƵȁƵȲǐɯ خ
Utilize grant funding to update required General Plan Element that provides analysis of housing needs and identifies sites to accommodate housing for all residents regardless of income (RHNA).
Develop SB 1383 compliant program. Provide organic waste collection for all residents and businesses, establish edible food recovery program, conduct public outreach and education, adopt an organics diversion ordinance with enforceable mechanisms, and adopt procurement policy that includes the use of recycled organics materials.
Work with City consultant(s) to retain and enhance business attraction services.
Mobile app to efficiently administer and enforce permit parking while improving resident experience for annual renewal and guest passes.
Develop public engagement plan related to the National CORE affordable housing development.
ƊȁƮȯȲȌǐȲƊǿȺɈȌƧȌǿȯǶɯɩǞɈǘ²ɈƊɈƵǿƊȁƮƊɈƵȺ
خ
Strategy (a): Prioritize initiatives to reduce traffic congestion, improve mobility, and manage on-street parking.
Strategy (b): Develop and implement initiatives that leverage changes in retail shopping preferences, telecommuting, and technology.
Strategy (c): Ensure that economic and housing initiatives provide opportunities for all residents.
Strategy (d): Strategically accommodate State mandates to ensure the highest level of local control, community involvement, and organizational effectiveness.
Strategy (e): Maintain business attraction services to bring new retail stores to the city. ²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ ׇׁ
Lead
Department
Budget
Impact Fund Estimated Completion Date
Public
Works
Public
Works
Public
Works/
Management
Services
Management
Services/
City Manager
Community
Development
Community
Development
Community
Development
Community
Development
Economic
Development
$225,000
$10,000
$75,000
$94,000
$15,000
$20,000
$3,000
Staff
Resources
$120,000
General Fund
General Fund
General Fund
General Fund
General Fund
General Fund
Gas Tax
General Fund
(Reimbursed through
LEAP Grant)
General Fund
(Reimbursed through
LEAP Grant)
FY 2023-24
FY 2022-23
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
On-going
Item: 11
98 ׁ
Initiative
#/Title Initiative/Project Description
ׅ׆ح
ׁׄح
ׁׅح
׆ׁح
ׇׁح
ׁح
ׁح
׆׆ح
Restaurant
Recovery
Citywide Street
Sign Refresh
Southwest
Lake Forest
Neighborhood
Task Force
Noise Ordinance
Update
Arbor Mini Parks
Park
Enhancements
Neighborhood
Park Renovations
- Phase 3
Open for Business
Campaign
Develop funding program to assist restaurants with economic recovery.
Create new street name sign design and replace street signs citywide, beginning in southwest Lake Forest (# PW 2021-06 and # PW 2022-06).
Interdepartmental task force to address neighborhood concerns identified in the January 2021 Community Satisfaction Study.
Renovate Lake Forest Park and the Nature Park based upon a community input process (# PW 2023-06).
Develop and implement noise mitigation strategies to protect residents from excessive exposure to noise.
Reactivate Arbor Mini Parks through new uses, perimeter fencing, and new landscape (# PW 2019-17).
Facilitate outdoor dining through local zoning and programs that support and promote open-air, take-out, and delivery options.
Strategy (f): Develop and implement initiatives to address negative economic impacts caused by COVID-19.
Strategy (a): Enhance the City’s overall visual character, maintain City assets, and proactively reinvest in Lake Forest.
Strategy (b): Consistently invest in the City’s park system.
Priority Area 2 - Attractive: Investment and maintenance in public facilities, infrastructure, and natural resources enhances visual character of the City and supports quality neighborhoods.
Complete various significant maintenance or enhancement projects to retain the high quality of the City’s park facilities.
- Playground Resurfacing Projects (# PW 2021-08)
- Heroes Park Electrical Repairs and LED/Efficiency Upgrades (# PW 2022-08) - El Toro Lodge Pole Fencing Repairs (# PW 2021-09)
- Park Gazebo Repair & Replacement (# PW 2022-09)
- Replace synthetic fields installed in 2014 at the Lake Forest Sports Park (# PW 2024-02) ²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ ׁ
Lead
Department
Budget
Impact Fund Estimated Completion Date
Economic
Development
City Manager/
Community
Development/
Public Works
Economic
Development
Community
Development
Public
Works
Public
Works
Public
Works
Staff
Resources
$70,000
$820,000
$600,000
$2,220,000
$75,000
TBD/$300k
Staff
Resources
General Fund/
TBD
General Fund/
CDBG/Prop 68
Park
Development Fund
General Fund
General Fund
General Fund
General Fund
General Fund
FY ׃ׂׂׂٌ׀ׂ
FY 2023-24
FY 2024-25
FY 2021-22
FY 2021-22
FY 2021-22 - FY 2024-25
FY 2021-22
FY 2022-23
Public
Works
Item: 11
99 ׀ׂ
׀ׂح
ׂׄح
ׇׂح
ׁׂح
ׂׅح
ׂح
ׂح
ح
׆ׂح
ׂׂح
׃ׂح
Assess Efficiency
Updates to
Lighting Citywide
Increase Law
Enforcement Contract
by Adding Two
Deputy Sheriffs
Neighborhood
Watch
Revamp Lake
Forest Leadership
Academy
Community Choice
Aggregation
Community
Engagement Project
Lake Forest
Geofence
Business Watch
Broadband
Feasibility Study
“Stay Safe Lake
Forest” Campaign
Craft Show and
Art Fair
Offer Recreation that
Reflects the Interests
of the Community
Comprehensively assess lighting at City facilities to determine if LED retrofitting can provide cost savings and increase light coverage.
Add two full-service deputies to the City’s contract with OCSD (first year costs: $800,000, ongoing costs: $600,000.
Increase participation and effectiveness of the neighborhood watch program.
Implement the City’s CCA Community Engagement Plan to help determine the City’s interest in pursuing CCA.
Expand the use of the City’s Automatic License Plate Reader System Cameras by adding cameras at major arterial intersections or high traffic areas near city borders.
Work in conjunction with OCSD to bolster/enhance OCSD’s business watch program for Lake Forest.
Launch an updated version of the Lake Forest Leadership Academy that includes modules for neighborhood watch, business watch, and homelessness.
Continue public education initiatives to maintain a low crime rate in the City such as ²ɈƊɯSafe Lake Forest, a series of community seminars to educate residents on crime prevention/safety.
Identify emerging recreation, sports, and activities that interest the community, such as pickleball tournaments.
Procure consultant to conduct feasibility study related to a City-led broadband initiative.
Strategy (c): Evaluate future options for the City’s infrastructure and utility resources.
Strategy (a): Maintain a low crime rate in a cost-effective manner.
Strategy (b): Maintain public safety by engaging community members.
Strategy (d): Provide civic and recreational opportunities appealing to community demographics.
Transform Community Center into boutique for crafts by Lake Forest artists and crafters.
Priority Area 3 - Safe: Excellent public safety efforts maintain a family-friendly environment and high quality of life.
Initiative
#/Title Initiative/Project Description
²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ ׁׂ
City Manager/
Economic
Development
Police Services
City Manager
Management
Services
Management
Services
Management
Services
Management
Services
$20,500
$80,000
$3,000
TBD
TBD
$85,000 (est.)
$0
$565,000
$800,000
Staff
Resources
Staff
Resources
General Fund
General Fund
General Fund
General Fund/
TBD
General Fund
General Fund
General Fund
General Fund
General Fund
General Fund
General Fund
FY 2023-24
TBA
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
FY 2022-2023
FY 2021-22
FY 2021-22
FY 2021-22 & FY 2022-23
Public
Works
City Manager
Police Services
Police Services
Lead
Department
Budget
Impact Fund Estimated Completion Date
Item: 11
100
ׂׂ
׀׃ح
ׁ׃ح
ׂ׃ح
Local Hazard
Mitigation Plan
City AM
1690 Radio
Comprehensive
Emergency
Management Plan
Identify risks and vulnerability associated with natural disasters and develop long-term strategies for protecting people and property from future hazards.
Establish AM radio station to communicate with residents during wildfires or other emergency events. Emphasis on emergency preparedness.
Procure consultant services to produce a new, comprehensive emergency management plan.
Strategy (c): Develop comprehensive emergency management strategies that prepare the City to respond effectively to unpredictable events.
Initiative
#/Title
Initiative
#/Title
Initiative/Project Description
Initiative/Project Description
׃׃ح
ׄ׃ح
ׅ׃ح
׆׃ح
ׇ׃ح
׃ح
Explore Emerging
Technology
to Increase
Communication
New Website
2021 4th of July
Fireworks Show &
Summer Concert
Series
Lake Forest Sports
Park Tournaments
Resident-Led
Emergency
Preparedness
Literature and
Culture
Explore the use of new technologies to communicate with residents and businesses to encourage two-way connectivity.
Bring the community together to celebrate the 4th of July with a concert and fireworks show and reinstitute the City’s summer concert series.
Engage the community with a storytelling festival, author presentations for all ages, and reading contests.
Train graduates of CERT basic class to lead CERT program and launch Lake Forest amateur radio operators bimonthly meeting.
Increase number of tournaments from 11 to 24 annually.
Launch new City website.
Goal B
Our connected city is engaged, informed, and
technologically current.
Priority Area 1 - Engaged: Outreach, creative events, and programs inspire connection and engagement between the community and City government.
Strategy (a): Maintain a communications and marketing strategy, including two-way communication that enhances community engagement.
Strategy (b): Reinvigorate civic life in the post-COVID-19 environment via special events and programs.
²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ
׃ׂ
75,000
$3,000
$250,000
General Fund
General Fund
General Fund/
TBD
FY 2022-23
On-going
FY 2021-22
Community
Development
Management
Services
Management
Services
Management
Services
Management
Services
Management
Services
Management
Services
Management
Services
Management
Services
Lead
Department
Lead
Department
Budget
Impact
Budget
Impact
Fund
Fund
Estimated Completion Date
Estimated Completion Date
Staff
Resources
$65,000
$154,000
$5,000
TBD
$500
General Fund
General Fund
General Fund
General Fund
General Fund
General Fund
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
Item: 11
101
ׂׄ
׃ح
׃ׄح
ׄׄح
׀ׄح
ׁׄح
ׂׄح
Accessibility
Enhancements
Broadcast City
Commission
Meetings on LFTV
Expand “Pop Up”
City Hall
Lake Forest TV
Performing Arts
Advisory Committee
Redistricting
Expand and preserve access to City Hall by analyzing how Census data may impact resident communication, increase disability accommodations, and provide other services to ensure broad community participation.
Broadcast all commission meetings on LFTV, enabling all residents to view proceedings on COX ch. 851.
Transition from ad hoc “Pop Up City Hall” events to a regularly scheduled “Pop Up City Hall” allowing for promotion via the Leaflet.
Launch Lake Forest TV and develop content to increase opportunities for residents to learn about the City’s decision-making processes.
Form an advisory committee to the Community Services Commission to build upon the use ȌǏthe City’s Performing Arts Center.
Engage the community in the redistricting process based upon 2020 US Census.
Strategy (c): ȺƮƵƧǞȺǞȌȁǿƊDzǞȁǐȯȲȌƧƵȺȺȲƵǿƊǞȁȺƊƧƧƵȺȺǞƦǶƵɈȌƊǶǶ خ
Strategy (a): خ
Priority Area 2 - Informed: ÀȲƊȁȺȯƊȲƵȁƧɯƊƦȌɐɈƮƵƧǞȺǞȌȁǿƊDzǞȁǐƊȁƮ خ
Initiative
#/Title Initiative/Project Description
ׅׄح
׆ׄح
Measure Quality of
Services and Programs
Lake Forest Leadership
Academy -
Graduate Course
Continue biennial Community Satisfaction Study and utilize new technology to perform ad hoc surveys as needed.
Develop a graduate/continuing studies version of the Lake Forest Citizens’ Leadership Academy with an increased focus on important issues and to maintain resident “goodwill ambassadors.”
Strategy (b): Involve the public in measuring the quality and effectiveness in services delivered by the city.
ׇׄح
ׄح
ׄح
Asset Inventory &
Management System
Financial
Management System
Document Imaging
and Storage System
The City will procure a consultant to conduct an inventory and condition assessment of city owned assets in developǞȁǐan Asset Management Plan.
Procure a new document retention system to increase public access to City records.
Procure and implement a financial management system (ERP) to modernize financial practices and provide opportunities for resident self-service access to City services.
Strategy (a): Enhance efficiencies and services through technology.
Priority Area 3. Technologically Current: Innovative technologies enhance organizational efficiency and help our community.
²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ ׂׅ
City Clerk
City Clerk
Management
Services
Management
Services
Management
Services
Management
Services
TBD
TBD
$3,900
$70,000
$1,000
$2,000
General Fund
General Fund
General Fund
General Fund
General Fund
General Fund
FY 2023-24
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
FY 2021-22
Lead
Department
Budget
Impact Fund Estimated Completion Date
Management
Services
Management
Services
$48,900
$1,200
General Fund
General Fund
FY 2022-23
FY 2022-23
General Fund
Finance
Finance
City Clerk
$450,000
$100,000
$300,000 General
Fund/TBD
General
Fund/TBD
FY 2022-23
FY 2022-23
FY 2022-23
Item: 11
102
׆ׂ
Initiative
#/Title Initiative/Project Description
׀ׅح
ׁׅح
Strategy for “One
Time” Revenue
General Fund
Risk Reserve
Policy Update
Develop a strategy or policy with Audit Committee for determining how to appropriate one-time revenues (development fees, stimulus funds, etc.).
Update the City’s risk-based reserves policy to reflect long-term strategic planning goals.
Goal C
Our healthy city government is sustainable and well-run with committed people.
Priority Area 1 - Sustainable: Responsible financial policies and prudent decisions provide short-term fiscal stability and long-term financial health.
Strategy (a): Implement Financial Management and Budgetary Policy to maintain the financial integrity of the city.
ׂׅح
׃ׅح
Biennial Fee
Study
Implement “1%
Review”
Conduct a comparative analysis of City of Lake Forest fees vs fees chargeƮ for similar services Ǟȁ nearby communities.
Annually review certain services that obligate at least 1% of General Fund budget.
Strategy (b): Operate according to policy on cost recovery.
Strategy (c): Analyze major programs to identify potential cost savings and manage future costs.
ׅׄح
׆ׅح
ׅׅح
ׇׅح
Comprehensive
Update to
Purchasing Policies
Contract Staffing
Policy
Modernize
Document
Retention Policies
Implement
Telecommuting
Policy
Update the City’s Purchasing Policies and increase staff training to accurately identify contract scope to match services needed. Improve procurement document strategy.
Develop and implement policies that preserve the City’s ability to effectively manage services provided by contract staff.
Modernize the City’s document retention policies. Emphasize storage of electronic records over hard copies to preserve physical space. Update retention timelines.
Develop and implement a policy to facilitate telecommuting for select job classifications. Policy will include performance measurement framework.
Priority Area 2 - Well-Run: JȌȌƮǐȌɨƵȲȁƊȁƧƵƊȁƮȯȲȌǏƵȺȺǞȌȁƊǶǿƊȁƊǐƵǿƵȁɈ خ
Strategy (a): Continuously improve our effectiveness in procuring and managing financially sustainable contract services.
Strategy (b): Implement modern workplace policies that cultivate an effective, efficient workforce.
²ɈȲƊɈƵǐǞƧ ɐȺǞȁƵȺȺ§ǶƊȁ ׇׂ
City Manager/
Finance
Finance
Lead
Department
Budget
Impact Fund Estimated Completion Date
Staff
Resources
Staff
Resources
General Fund
General Fund
FY 2021-22
FY 2021-22
Finance
City Manager
$49,500
Staff
Resources
General Fund
General Fund
FY 2020-21 - FY 2024-25
FY 2021-22, On-going
City Manager
City Clerk
ش
wƊȁƊǐƵǿƵȁɈ
²ƵȲɨǞƧƵȺ
Staff
Resources
Staff
Resources
Management
Services
TBD
TBD
General Fund
General Fund
General Fund
General Fund
FY 2021-22
FY 2022-23
FY 2024-25
FY 202ׁ2ׂ
Item: 11
103
28 SP#58
Lake Forest
Employee
Retention Program
Develop programs related to employee retention, including “stay” interviews, “ladder” promotion opportunities, and an employee satisfaction survey.
Strategy (a): Professionally develop and retain staff to match skills with organizational and community needs.
Priority Area 3- Committed People: Talented staff and contractors are vital assets to our organization and essential to effective and efficient City operations.
Initiative
#/Title Initiative/Project Description
SP#59
SP#60
SP#61
Join Team Lake
Forest
Develop
Lake Forest
Succession Plan
Biennial
Classification and
Compensation Plan
Market Lake Forest as a top notch employer, emphasizing modern facilities, innovate public sector compensation system, and succession planning.
Human Resources to implement a biennial classification and compensation study to (a) assess the staffing needs of the organization and (b) meet those staffing needs with competitive compensation plans.
Human resources to develop a comprehensive succession plan that includes training, academy courses, job shadowing, etc.
Strategy (b): Continuously assess the optimal staffing levels required to provide in- demand services to residents and businesses.
City of Lake Forest | Strategic Business Plan 29
$5,000Management
Services General Fund FY 2021-22
Management
Services
Management
Services
Management
Services
Lead
Department
Budget
Impact Fund Estimated Completion Date
Staff
Resources
Staff
Resources
$30,000 (for
full study)
General Fund
General Fund
General Fund
FY 2020-21
FY 2022-23
FY 2022-23 & FY 2024-25
Item: 11
104
ATTACHMENT 2
Item: 11
105
Goal Initiative # Department Initiative Title Progress Q2 A SP#1 Public Works Lake Forest Transportation Mitigation Program Substantial Progress A SP#2 Public Works Meadows Traffic Mitigation Program Started A SP#3 Public Works Foothill Circulation Phasing Plan Started A SP#4 Public Works New Traffic Circulation/Mobility Projects Substantial Progress A SP#5 Public Works Traffic Signal Synchronization Started A SP#62 Public Works Maintain "Good" Pavement Condition of the City's Roads Substantial Progress A SP#63 Public Works Arterial Median Improvement Project Started A SP#6 Public Works Permit Parking Software Started
A SP#7 Community Development General Plan Implementation Anticipated start Summer 2022 A SP#8 Community Development Mixed ‐Use Zoning Substantial Progress A SP#10 Community Development Housing Element Update Substantial Progress A SP#11
Public Works/Management
Services Mandatory Food Waste & Commercial Recycling Substantial Progress A SP#12
Management Services/City
Manager Mountain View Affordable Housing Project Complete A SP#13 Community Development Housing Mandates Started A SP#64 Economic Development Retail Attraction Substantial Progress A SP#65 Economic Development Restaurant Recovery Started A SP#66 Economic Development Open for Business Campaign Substantial Progress A SP#14 Public Works Citywide Street Sign Refresh Started A SP#15 City Manager Southwest Lake Forest Neighborhood Task Force Substantial Progress A SP#16 Community Development Noise Ordinance Update Anticipated start Jul 2022 A SP#17 Public Works Arbor Mini Parks Substantial Progress A SP#18 Public Works Park Enhancements Started
A SP#19 Public Works Neighborhood Park Renovations ‐ Phase 3 Started A SP#20 Public Works Assess Efficiency Updates to Lighting Citywide Started A SP#21
City Manager/ Economic
Development Community Choice Aggregation Community Engagement Project Complete A SP#9 City Manager Broadband Feasibility Study Anticipated start Spring 2022 A SP#22 Management Services Craft Show and Art Fair Started A SP#23 Management Services Offer Recreation that Reflects the Interests of the Community Started A SP#24 City Manager Increase Law Enforcement Contract by Adding Two Deputy Sheriffs Anticipated start Mar 2022 A SP#25 Police Services Lake Forest Geofence Substantial Progress A SP#26 Management Services "Stay Safe Lake Forest" Campaign Substantial Progress Item: 11
106
A SP#27 Police Services Neighborhood Watch Substantial Progress A SP#28 Police Services Business Watch Substantial Progress A SP#29 Management Services Revamp Lake Forest Leadership Academy Complete A SP#30 Community Development Local Hazard Mitigation Plan Started A SP#31 Management Services City AM 1690 Radio Complete A SP#32 Management Services Comprehensive Emergency Management Plan Substantial Progress B SP#33 Management Services Explore Emerging Technology to Increase Communication Started B SP#34 Management Services New Website Started
B SP#35 Management Services 2021 4th of July Fireworks Show & Summer Concert Series Complete B SP#36 Management Services Literature and Culture Started B SP#37 Management Services Lake Forest Sports Park Tournaments Substantial Progress B SP#38 Management Services Resident ‐Led Emergency Preparedness Started B SP#39 City Clerk Accessibility Enhancements Anticipated start Fall 2022 B SP#40 Management Services Lake Forest TV Complete
B SP#41 Management Services Performing Arts Advisory Committee Started B SP#42 City Clerk Redistricting Substantial Progress
B SP#43 Management Services Broadcast City Commission Meetings on LFTV Complete B SP#44 Management Services Expand "Pop Up" City Hall Substantial Progress B SP#45 Management Services Measure Quality of Services and Programs Anticipated start Dec 2022 B SP#46 Management Services Lake Forest Leadership' Academy ‐ Graduate Course Anticipated start Spring 2022 B SP#47 Finance Asset Inventory & Management System Started B SP#48 Finance Financial Management System Started
B SP#49 City Clerk Document Imaging and Storage System Anticipated start Spring 2022 C SP#50 City Manager/Finance Strategy for "One Time" Revenue Anticipated start FY 2022‐23 C SP#51 Finance General Fund Risk Reserve Policy Update Anticipated start Jan 2023 C SP#52 Finance Biennial Fee Study Started
C SP#53 City Manager Implement "1% Review" Complete
C SP#54 City Manager Comprehensive Update to Purchasing Policies Substantial Progress C SP#55 City Clerk Modernize Document Retention Policies Anticipated start Summer 2022 C SP#56 Management Services Contract Staffing Policy Anticipated start Fall 2022 C SP#57
City Manager/ Management
Services Implement Telecommuting Policy Complete
C SP#58 Management Services Lake Forest Employee Retention Program Started C SP#59 Management Services Join Team Lake Forest Anticipated start Summer 2022 C SP#60 Management Services Develop Lake Forest Succession Plan Anticipated start Spring 2022 C SP#61 Management Services Biennial Classification and Compensation Plan Complete Item: 11
107
Q1 Q2
Complete 61 0
Substantial Progress 18 19
Started 23 23
Not Started 19 14
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Overall Progress (Q1 to Q2 Comparison)
Item: 11
108
Goal AG o a l BG o a l C
Complete 433
Substantial Progress 15 3 1
Started 14 7 2
Not Started 446
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30%
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Goal Progress to Date
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CITY COUNCIL AGENDA REPORT
MEETING DATE: 1/18/2022
DEPARTMENT: City Manager
SUBJECT:
ANNUAL REVIEW OF CITY COUNCIL POLICIES
RECOMMENDED ACTION(S):
1. Exercise City Council discretion in reviewing or reaffirming any of the following City Council Policies:
a) Recognitions-Proclamations, Certificates, Resolutions and/or City Paraphernalia
b) Appointment of Commissioners Policy
c) Censure Policy
d) Consensus for Placing Items on the Agenda
e) Ethics Policy
f) Mayor’s Award Policy
g) Mayor’s Minute Video Segment Policy
h) Order of the Agenda Policy
i) Public Comment Policy
j) Requests for City Attorney use Policy
k) Travel and Expense Reimbursement Policy
l) Written Communication Policy
m) Annual Joint City Council/Commission Workshop Policy n) Financial Management and Budgetary Policy
o) Audit Committee Policy
2. Adopt the revised versions of the following City Council policies:
a) Recognitions-Proclamations, Certificates, Resolutions and/or City Paraphernalia
b) Consensus for Placing Items on the Agenda
c) Travel and Expense Reimbursement Policy
d) Financial Management and Budgetary Policy
e) Audit Committee Policy
EXECUTIVE SUMMARY:
City Council policies are periodically reviewed for efficiency, compliance with State law, and/or City Council direction. These policies relate to the conduct of Item: 12
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the City Council and/or include policy-level procedure to guide staff. Staff is requesting the City Council review and, if desired, readopt, revise and/or eliminate City Council policies as deemed appropriate.
BACKGROUND:
The City Clerk’s Office maintains the collection of City Council-adopted policies (Attachments 1-15). Staff presents these policies individually to the City Council as requested, as the need arises. In some instances, a City Council policy may be adopted independently of other polices. These policies ordinarily relate to the conduct of the City Council and/or include policy-level procedures to assist staff in performance of duties related to City Council activity.
Since incorporation, the City Council has used a variety of mechanisms to enact these policies: ordinance; resolution; minute action; and consensus. Over time, the City Council revised some of the policies or adopted new policies on an as- needed basis.
DISCUSSION:
City Council policies generally can be within one of two broad categories: (1) City Council policy reviewed and/or amended on a reasonably consistent basis; or, (2) informal policy statements that may date back to the City’s incorporation. The following table lists policies and consensus items frequently referred to in conducting City business over the past year. Staff is requesting the City Council review and, if desired, readopt, revise and/or eliminate City Council policies as deemed appropriate.
Table 1: City Council Policies
Policy/Process First
Adopted
Last
Revision
Purpose
Recognitions –
Proclamations,
Certificates,
Resolutions and/or
City Paraphernalia
1993 7/2/2019 Describes guidelines for
recognition of individuals,
groups and events by
issuance of proclamations,
certificates, resolutions,
and/or City paraphernalia.
Appointment of
Commission
Members
4/3/2018 1/7/2020 Provides procedures for City
Council “one-to-one”
appointments to City
commissions (LFMC
2.06.050).
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Policy/Process First
Adopted
Last
Revision
Purpose
Censure 5/15/2018 5/15/2018 Outlines the Censure process for City Council Members.
Consensus for
Placing Items on the
Agenda
1991 1/2/2019 Allows City Council Members
to periodically seek to place
items for consideration by the
City Council on the City
Council Agenda for
discussion.
Ethics 5/15/2018 1/2/2019 Describes the standards of
behavior to which its leaders
aspire; Provides an ongoing
source of guidance to elected
leaders and City officials in
their day-to-day service to the
City; Promotes and maintains
a culture of ethics.
Mayor’s Award 5/15/2018 3/2/2021 Establishes process to identify and recognize
outstanding achievement by a
Lake Forest employee.
Mayor’s Minute
Video Segment
3/6/2018 1/7/2020 Establishes the parameters,
procedures, and proper uses
of the “Mayor’s Minute” video
segments.
Order of the Agenda 7/11/2017 1/2/2019 Establishes the order of regular City Council Agenda
Business and provides
guidelines for managing the
Agenda during City Council
Meetings.
Public Comment 1/19/1993 1/2/2019 Establishes guidelines for members of the public to
address the City Council on
any item under the subject
matter jurisdiction of the
Council; Provides parameters
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Policy/Process First
Adopted
Last
Revision
Purpose
for Council Member response
to public commenters.
City Attorney Use 2/6/2018 1/2/2019 Establishes guidelines for Officials’ legal services
requests, in order to ensure
that those requests are within
the Code bounds and to
maintain budgetary control
over the cost for legal
services.
Travel and Expense
Reimbursement
12/7/1993 1/2/2019 Provides for City Council
Member reimbursement of
actual and necessary
expenses when traveling on
official City business.
Written
Communication
12/7/1993 1/2/2019 Establishes guidelines for City
Council correspondence and
use of City of Lake Forest
stationery and letterhead by
City Council Members.
Biennial City
Council/Commission
Workshop
3/8/2018 3/2/2021 Process to hold Biennial Joint
Commissions Workshop.
Financial
Management and
Budgetary
10/20/2020 10/20/2020 Provides the framework and
direction for financial planning
and decision making by the
City Council and staff.
Audit Committee
Policy
3/2/2021 n/a Establishes the City Council
Audit Committee. Defines the
representation, activities, and
staff responsibilities related to
the Audit Committee.
Staff suggests revisions be made to the policies identified in Table 2 below.
Each of these revisions can be tracked via the red-lined attachments provided to this staff report.
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Table 2 – Summary of Suggested Revisions
Policy Suggested Revision(s)
Recognitions –
Proclamations,
Certificates,
Resolutions and/or
City Paraphernalia
(Attachment 1)
Type-o and formatting changes.
Consensus for
Placing Items on the
Agenda (Attachment
4)
Removes references to different levels of consensus
received to place an item on the agenda. Also removes
reference to the length of the staff report generated in response to those different levels of consensus.
Proposed revision requires two members of the City
Council to vote in the affirmative to place any
consensus item on the agenda. Staff report generated
in response to the consensus item will be whatever
length is required to successfully communicate the
decision presented to the City Council by the
consensus item.
Travel & Expense
Reimbursement
Policy (Attachment
11)
Fixed type-o.
Financial
Management &
Budgetary
(Attachment 14)
Clarified duty to notify City Council regarding year-to- year non-personnel appropriations carried over from the first year to the second year of the two-year budget
period that have been approved by the City Manager.
Clarified how carry overs can occur from one two-year
budget cycle to another for contractual agreements and
notification requirement to Audit Committee. Added
Audit Committee notification requirement for the carry
over of unexpended project appropriations. Provided
grammar changes to clarify section 6.f. related to gas
tax revenues. Clarified Annual Comprehensive
Financial Report terminology. Extended the City’s
requirement to competitively procure banking services
from every five years to every ten years.
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Policy Suggested Revision(s)
Audit Committee
Policy (Attachment
15)
Extended the terms of each Audit Committee member
by one year. Added specific requirements to be
included in the City Manager’s quarterly report to the
Audit Committee.
FISCAL IMPACT:
Fiscal impact is dependent upon City Council action.
ATTACHMENTS:
1. Recognitions – Proclamations, Certificates, Resolutions and/or City Paraphernalia (Proposed Revisions)
2. Appointment of Commission Members
3. Censure Policy
4. Consensus for Placing Items on the Agenda (Proposed Revisions)
5. Ethics Policy
6. Mayor’s Award Policy
7. Mayor’s Minute Video Segment Policy
8. Order of the Agenda Policy
9. Public Comments Policy
10. Requests for City Attorney Services Policy
11. Travel and Expense Reimbursement Policy (Proposed Revisions)
12. Written Communication Policy
13. Biennial City Commission Workshop
14. Financial Management and Budgetary Policy (Proposed Revision)
15. Audit Committee Policy (Proposed Revision)
Initiated By: Sean McGovern, Assistant to the City Manager Submitted By: Debra Rose, City Manager
Approved By: Debra Rose, City Manager
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ATTACHMENT 1
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City Council Policy: Recognitions
CITY COUNCIL POLICY: RECOGNITIONS -
PROCLAMATIONS, CERTIFICATES,
RESOLUTIONS AND/OR CITY PARAPHERNALIA
Revised: July 2January 18, 202219
1. Purpose.
To establish guidelines for recognition of individuals, groups and events by issuance of proclamations, certificates, resolutions, and/or City paraphernalia.
2. Background.
On a regular basis, the City of Lake Forest receives requests from groups and organizations for various types of recognition. Current practice allows for the City Council to determine which presentations are agendized and which are appropriate to be presented at an event outside of a formal City Council meeting.
Requests made by members of the City Council are reviewed by the Mayor and approved at his/her discretion. A Furthermore, any member of the City Council may use the consensus process to request a recognition.
3. Policy.
It is the policy of the City Council that staff will use the guidelines of this policy as a basis for deciding appropriate recognition. Further, it is the City Council’s policy that Tthe City Clerk will process all requests for recognition that meet this policy as a matter of routine. All others will be approved at the discretion of the Mayor.. In providing that direction the Mayor considers the adopted guidelines.
4 Definitions.
Resolutions: A resolution is a formal, written action of the City Council and must be formally adopted by the City Council at a meeting. An All official resolutions is are developed in the standard legal format for City resolutionsaccordance with the City’s standard resolution format. Resolutions presented to individuals or groups to be recognized will incorporate the same wording as a formal resolution, but maywill consider format modifications more appropriate for presentations.
Adoption of a resolution requires a staff report with a recommendation and justification for issuing the resolution to the requisition receiving party.
Certificates: A certificate is a type of recognition of an individual or group. A certificate is prepared in response to the type of recognition requested. Types of certificates may include: Certificate of Commendation, Certificate of Recognition, Item: 12
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Adopted July 2, 2019
City Council Policy: Recognitions
Certificate of Appreciation, and Certificate of Appointment. Certificates are prepared for signature of all Members members of the Ccity Council, if requested by a majority of the City Council. This Certificates may be presented at a City Council meeting or outside event. t. Certificates are not issued for religious observations, ethnic celebrations, or recognition that is not local to the community in nature.
Proclamations: Proclamations may be issued to designate a day, week, month, or year that an event, individual, organization or cause shall be recognized or observed. Proclamations may also be issued to individuals or organizations in recognition of efforts, actions or accomplishments of an individual or group when those efforts, actions, or accomplishments have had a positive effect on this the community or relationship to this community. There are two types of Proclamations: (1) a. letter size document observing event or occasion and (2) a. legal size document that includes details of occasion and whereas statements, like similar to a City Council resolution. The Mayor has discretion as to the appropriateness and type of recognition. Proclamations are prepared by the City Clerk and signed by the City Council and may be presented at a City Council meeting or outside event.
Standard Plaques: Standard plaques are an appropriate means of recognition for significant service to the City. Presentation of a standard plaque is at the discretion of the Mayor with concurrence of a majority of the City Council.
City Title Plaque: The City title plaque is an appropriate means of recognizing the service of a Director, City Commissioner, Eagle Scout/Girl Scout Gold Award service project benefitting the City of Lake Forest, High School Liaison, or dignitaries visiting from other jurisdictions. Presentation of a city title plaque is at the discretion of the Mayor with concurrence of a majority of the City Council.
In Memoriam Certificate / Dedication of a Meeting: There are times when a meeting is dedicated to the memory of an individual. The Mayor would initiate this action with concurrence of a majority of the City Council. When a meeting is dedicated, a notation appears on the agenda and the Mayor announces that the meeting is in memory of said individual. After the meeting is held or adjourned, an appropriate certificate “In Memoriam” is sent to the family to acknowledge the dedication.
City Lapel Pin: City lapel pins picture include the Ccity logo. They are presented to City Staffstaff, City Commissioners when appointed, and guests of the city City as determined by the Mayor and/or City Council Members and/or City Manager, City Clerk or Department HeadsDirectors.
City Pen: City pens are specially prepared and contain the City logo on top. City pens are presented to City staff, City Commissioners, or dignitaries as determined by the Mayor and/or City Council Membersmembers.
Formatted: Not Strikethrough
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Adopted July 2, 2019
City Council Policy: Recognitions
Letter of Commendation: The Mayor at his/her discretion may opt to recognize an event or individual, such as earning the prestigious Eagle Scout or Girl Scout Gold Award.
5. Type of Recognition Requests.
The following are recognition guidelines, which will be implemented by the Mayor, with a majority concurrence of the City Council.
Community Events, Community Organizations
In response to requests for recognition received from various community organizations, the Mayor will consider the significance of the event to the entire community and provide direction to staff on proceeding with the request accordingly.
Athletic / Academic Accomplishments
Recognition of athletic/academic accomplishments may be given when an individual or team reaches a significant level of competition on a regional, sState, or national level. Additionally, recognition may be given for a championship at a county level if the competitor continues to compete at a state and/or national level. (Recognition should occur when the highest level of competition is completed.)
Athletic recognition should be limited to children of High School- age or greater competing in school-related of or publicly conducted and sanctioned competitions.
Adults residing in the City community may also be recognized for their athletic achievements in well-recognized sporting events. The determination of when recognition is appropriate shall be the responsibility of City Council.
Acts of Heroism
Commendations may be given to residents of Lake Forest who perform heroic acts and to non-residents who perform acts of heroism to save the life or property of a City resident. The commendation should be presented at a City Council Meeting.
Non-Profit Organizations, Yearly Commemorative Events
In response to requests for recognition received from various non-profit organizations, the Mayor will consider those requests not covered as to the significance of the event to the entire community and provide direction to staff on proceeding with the request accordingly.
Eagle Scouts and Silver Arrow Scouts / Girl Scout Silver and Gold Award Item: 12
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Adopted July 2, 2019
City Council Policy: Recognitions
A letter of commendation may be prepared to recognize City residents who achieve the rank of Eagle Scout and Silver Arrow Scout or Girl Scout Silver or Gold Award. The letter will be presented in a certificate folder and may be presented by the Mayor or a member of the City Council at either a court of Honor or a City Council meeting.
City Commissioners
Newly appointed commissioners will be presented with a City lapel pin and a Certificate of Appointment at the City Council Meeting meeting at which the Oath of Office is taken. Commissioners who complete their terms of office will be presented with a City Title plaque Plaque at a City Council meeting. Commission Chairpersons will be recognized with a Certificate of Recognition at the end of their term
Regional Events and Recognition for Other Cities.
Appropriate certificates or proclamations may be prepared for regional events or in response to requests from other cities. The form of presentation will be evaluated by the Mayor for presentation to City Council for final action.
National Day / Week / Month or Dates of Observance
A proclamation may be issued by/to an organization or individual who has a direct association with the recognition.
Anniversary
A certificate or proclamation of anniversary may be prepared to commemorate an anniversary for a community service organization located in the City, a company doing business within the City, or another public agency. The organization being honored shall be invited to send a representative to a City Council meeting to receive the award.
Limitation of requests include:
• A Proclamation request will be honored only for major anniversariesy ( e.g., 25th, 50th, 100th , etc.)
• For all other non-major anniversaries, a Certificate of Recognition may be provided.
Mayor’s Award
Pursuant to City Council direction on May 15, 2018, an award may be presented to one City staff member to recognize outstanding performance and achievement during the year. The established criterion and procedure for the Mayor’s Award is found in the Mayor’s Award Administrative Policy.
4. Procedure.
It is the policy of the City Council that when a request for recognition is received, certificates, proclamations, plaques and other recognitions awards shall be Formatted: Left
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Adopted July 2, 2019
City Council Policy: Recognitions
prepared by the City Clerk in accordance with the adopted guidelines of this policy. If a request for recognition is not clearly consistent with any of the request categories, the Mayor will provide direction and staff prepares the necessary recognition.
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ATTACHMENT 2
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CITY COUNCIL POLICY: APPOINTMENT OF
COMMISSION MEMBERS
Revised: January 7, 2020
Introduction
The Lake Forest City Council appoints members to its boards and commissions pursuant to the Lake Forest Municipal Code.
Background
On April 3, 2018, the City Council adopted Ordinance No. 304, which amended chapter 2.06 of the Lake Forest Municipal Code to provide for “one-to-one” appointment of board and commission members by Councilmembers. Before Ordinance No. 304, board and commission members were appointed by a majority vote of the City Council. Under the “one-to-one” approach, each Councilmember appoints one member to each board and commission, and each board or commission member serves a term tied to that of the appointing Councilmember.
This policy provides a process for the City Clerk and Councilmembers to implement the one-to-one appointment approach and ensure a fair, open, and public appointment process within the 90-day timeframe prescribed by Lake Forest Municipal Code section 2.06.050.
1 Purpose.
The purpose of this policy is to implement the commission and board member appointment provisions of Lake Forest Municipal Code, chapter
2.06. Item: 12
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City Council Policy: Appointment of Commission Members, Rev. 1-2020 2 Applications and Recruitment.
2.1 Open Call.
2.1.1 Within five business days after the swearing in of a Councilmember or upon the occurrence of a vacancy on a board or commission, the City Clerk shall publish an open call for applications for consideration of an appointment(s) to the applicable board(s) or commission(s).
2.1.2 The call shall remain open for 30 days. If deemed necessary by the City Clerk to ensure a fair and public call for applications, the City Clerk may extend the call for a fixed and reasonable period after 30 days.
2.1.3 The call for applications must be open to the public. Any Councilmember may recruit or encourage individuals to apply during the call, but an individual need not be referred by a Councilmember to apply.
2.1.4 To avoid Brown Act violations, Councilmembers should not discuss or consult with each other about potential applicants.
2.2 Applications.
Qualified residents are encouraged to complete and submit an application to the City Clerk by the respective deadline. The City Clerk shall post all applications to the City website during the Councilmember Review period, following the close of the application submittal deadline.
2.3 City Clerk Review.
The City Clerk shall review each application to determine whether the application is complete and whether an applicant is qualified to serve on a board or commission.
• The qualifications to serve on a board or commission, pursuant to Lake Forest Municipal Code § 2.06.030 are as follow: a resident of the City,
• a registered to vote in the City, and
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City Council Policy: Appointment of Commission Members, Rev. 1-2020 • not an officer or employee of the City.
If the applicant submits a complete application, but is not qualified at the time of submittal, the City Clerk shall inform the applicant of criteria that must be met in order to be considered for an appointment. 3 Review and Selection.
3.1 Transmission of Applications.
Within five business days after the close of the call for applications, the City Clerk shall transmit all complete applications to each appointing Councilmember.
3.2 Councilmember Review.
3.2.1 Once the call for applications is closed, Councilmembers may consider for appointments only those individuals with applications transmitted to Councilmembers by the Clerk.
3.2.2 Appointing Councilmembers may interview applicants in- person, via teleconference, or via video conference or may send applicants additional questions in writing. Councilmembers may also consider applicants without conducting interviews or further communication.
3.2.3 Councilmembers should note that any written communication with applicants may be discoverable under the Public Records Act
3.3 Selection.
3.3.1 An appointing Councilmember shall send written notification of his or her appointment selection to the City Clerk. Within 24 hours after the City Clerk receives such notification, the City Clerk shall notify all appointing Councilmembers that the applicant has been selected.
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City Council Policy: Appointment of Commission Members, Rev. 1-2020
3.3.2 If an appointing Councilmember wishes to change his or her selection prior to the time appointments are placed on an agenda for consideration, the Councilmember must notify the City Clerk of the new selection as soon as possible. Within 24 hours after the City Clerk receives such notification, the City Clerk shall notify all appointing Councilmembers that a new applicant has been selected.
3.3.3 To avoid Brown Act violations, Councilmembers should not discuss or consult with each other about their selections.
3.4 Timing of Review and Section.
To ensure completion of the appointing process within the 90-day timeframe for appointments (LFMC, § 2.06.050), appointing Councilmembers’ review and selection should be completed within 30 days of the City Clerk’s transmission of the completed applications to the Councilmembers. If a Councilmember requires more than 30 days to complete their review and selection, the Councilmember should immediately notify the City Clerk. 4 Agenda and Appointment
4.1 Agenda.
Within 30 days, or other time period as deemed necessary by the City Clerk to meet the 90-day time frame for appointments (LFMC, §
2.06.050), after the City Clerk transmitted the applications to the appointing Councilmembers, the City Clerk shall place on the agenda for open session of a regular or special meeting the appointment(s) to a board or commission.
4.2 Appointment.
At the meeting, each appointing Councilmember shall announce his or her selection for appointment to a board or commission. The appointment must be ratified by one other Councilmember other than appointing Councilmember.
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City Council Policy: Appointment of Commission Members, Rev. 1-2020
4.3 Term.
No person shall be eligible to serve as Commissioner on any one Commission for more than two (2) four (4) year terms. Said term limits begin with appointments made as a result of the 2020 General Election. Notwithstanding the foregoing, any person who is appointed for the balance of a four (4) year term, but who serves for less than four (4) years in that office, shall be eligible for appointment for two (2) consecutive four (4) year terms thereafter.
Appointees are eligible to serve two (2) four (4) year terms on multiple Commissions.
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ATTACHMENT 3
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CITY COUNCIL POLICY: CENSURE POLICY
Adopted 2018
1. Purpose
The City of Lake Forest is committed to the ethical practice of government in service of the residents and community. This commitment is reflected in the City’s Ethics Policy, which every elected and appointed City representative acknowledges and agrees to abide by. While the Ethics Policy shows a voluntary commitment to abide by the highest ethical standards, from time to time situations may arise that require affirmative action by the City Council making clear the City’s position on certain ethical issues. This Censure Policy includes the standards and procedures for the City Council to take a clear stand on certain ethical issues.
2. Censure Process
If a member of the City Council is found guilty or liable by any court of law, enforcement agency, administrative hearing officer, or public agency investigation, of violating a Law or Regulation, as that term is defined in this policy, he or she may also be subject to potential censure pursuant to the procedures of this Censure Policy.
a. Law or Regulation
The following constitute the Laws and Regulations which may give rise to a request for censure:
• California Political Reform Act of 1974 (Gov. Code § 81000 et seq.) • Regulations of the Fair Political Practices Commission (2 CCR § 18109 et seq.)
• Statutes concerning conflicts in government contracts (Gov. Code § 1090 et seq.)
• Statutes concerning political activity of city officers (Gov. Code § 3201 et seq.)
• Statutes concerning unlawful use of government resources (Gov.
Code § 8314)
• Title 7 of the Civil Rights Act or the Fair Employment and Housing Act (finding of harassment or abuse of a City employee by an independent investigator)
b. Complaint and Hearing Procedures
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City Council Policy: Censure, Adopted 2018
Step 1. Within 90 calendar days of the final determination of violation of a Law or Regulation, complainant must file a request for censure online or in person with the City Clerk’s Office, 25550 Commercentre Drive, Ste. #100, Lake Forest, CA 92630. Request for Censure forms are available online at www.lakeforestca.gov and at the City’s Clerk’s office.
Step 2. Within 10 business days after receipt of the complaint, the City Clerk provides a copy of the complaint to all City Council Members and to the Council Member against whom the complaint is made.
Step 3. Within 10 business days after receiving a copy of the complaint, the Council Member may file a written reply to the complaint, which may include copies of documents, photographs, recordings, or other tangible materials that rebut the complaint.
Step 4. The City shall hire a hearing officer and send to the hearing officer a copy of the complaint and any response to the complaint from the Council Member against whom the complaint is made. The hearing officer shall be selected from the panel of hearing officers hired by the City. That panel shall consist of individuals with specialized training in the field of ethics, which may include law professor specializing in ethics. Hearing officers shall be assigned to matters on a rotating basis to assure fair and impartial review and analysis of requests for censure.
Step 5. Within 15 business days of receiving copies of the complaint and response, the hearing officer shall provide a written recommendation to the City Council regarding whether the public official who is the subject of the complaint should be censured. The recommendation shall include, without limitation, a summary of the complaint and the public official’s response, and the reasons why the hearing officer supports his or her recommendation.
Step 6. Within 30 business days of receiving the hearing officer’s recommendation, or as soon as practicable, the City Clerk shall set the matter for hearing before the City Council and shall notify the complainant and Council Member against whom the complaint is filed of the date, time, and location of the hearing. At the time that the City Clerk sets the matter for hearing, the City Council shall be provided with the complaint, the Council Member’s reply, and the hearing officer’s recommendation.
Step 7. The City Council shall hold a public hearing to determine whether to censure the Council Member. At the beginning of the City Council hearing, each Council Member shall publicly disclose if they have had ex parte communications with either party or have discussed Item: 12
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City Council Policy: Censure, Adopted 2018
the complaint with any third party. The complainant shall first provide the City Council with a statement regarding the nature of the complaint.
Such statement shall not exceed ten minutes and shall not be interrupted by questions from the Council. The Council Member shall then be permitted to provide an opening statement, including his or her response to the complaint. Such statement shall not exceed ten minutes and shall not be interrupted by questions from the Council. At any other time during the hearing, City Council Members may ask questions of the parties. The City Council shall also receive public comment on the item. The complainant shall have three minutes to make closing remarks, then the Council Member shall have three minutes to make closing remarks.
Step 8. After deliberation, the City Council votes on whether to censure the Council Member. A censure may include removal from Council appointment(s), but should not include elimination of statutory rights or constitutional rights, including Council salary.
Step 9. In the event the City Council votes to censure the Council Member, the City Attorney shall draft a resolution which shall include the reasons for the City Council’s decision, the facts relied upon, and any findings supporting the decision. The resolution shall be placed on the next City Council agenda immediately following the date of the censure hearing.
Step 10. Within five business days of the City Council adopting the censure resolution, the City Clerk notifies the parties in writing of the City Council’s decision.
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ATTACHMENT 4
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CITY COUNCIL POLICY: CONSENSUS FOR
PLACING ITEMS ON THE AGENDA
Revised: January 218, 20192022
City Council Members periodically seek to place items for consideration by the City Council on the City Council Agenda for full discussion.
1 Purpose.
This Policy establishes guidelines for Council Member requests to place items on the City Council Agenda for consideration and defines Council Consensus for that purpose.
2 Requests for Council Consensus.
2.1 Definition.
City Council Consensus for the purpose of placing an item on the City Council Agenda for future consideration may be achieved with the assent of either two (2) Council Members. (Minority Consensus) or by Majority Consensus with the assent of three (3) Council Members.
2.2 Agenda Items.
During Council meetings, any Council Member may request an item be placed on a future City Council Agenda for consideration. If the Council Member desires a specific agenda date, the Council Member shall so state in his or her request for Council Consensus.
A Minority Consensus agenda item would require a brief agenda report.
A Majority Consensus agenda item would require a full agenda report, including analysis and a staff recommendation, if appropriate.
All items with significant budgetary impact (defined as in excess of $30,000), or capital improvement projects, will be agendized at the annual budget workshop.
Council Members will be limited to introducing no more than four (4) agendized items per calendar year, not including items considered during the annual budget workshop.
Formatted: Indent: Left: 0"
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City Council Policy: Consensus for Placing Items on the Agenda
Adopted 1991; Amended by Minute Order December 18, 2012; January 6, 2015; September 1, 2015; March 1, 2016; July 11, 2017; March 6, 2018
Consensus items sought in addition to the four (4) per Council Member, per calendar year, must be achieved with a super majority vote of four (4) Council Members. In the event a Council Member does not state a desire for a specific agenda date, and the item does not contain significant budgetary impact so as to be scheduled during the annual budget workshop, the City Manager shall agendize the item at a future meeting date at his/her discretion.
3 Announcement of Consensus.
3.1 City Clerk to Announce.
The City Clerk shall announce the arrival of Consensus by restating the specific action, i.e. agenda discussion, future presentation, preparation of report, etc., the Consensus is authorizing and state the names of the Council Members providing Consensus. If all five Council Members provide Consensus, the Clerk shall state “Unanimous Consensus”.
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ATTACHMENT 5
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CITY COUNCIL POLICY: ETHICS POLICY
Ratified: January 2, 2019
Preamble
The citizens of the City of Lake Forest are entitled to responsible, fair, and honest City government that operates in an atmosphere of respect and civility.
Accordingly, the Lake Forest City Council adopts this policy to:
1. Describe the standards of behavior to which its leaders aspire.
2. Provide an ongoing source of guidance to elected leaders and City officials in their day-to-day service to the City.
3. Promote and maintain a culture of ethics.
Pledge
On May 15, 2018, the City Council of the City of Lake Forest adopted this Ethics Policy which applies to all members of the City Council and members of City boards, commissions, committees, and task forces and requires the following pledge:
ETHICS POLICY
RESPONSIBILITY/PROTECTING THE PUBLIC INTEREST
___ I comply with the laws of the nation, the State of California, and the City of Lake Forest in the performance of my duties.
___ I comply with the Oath of Office I took upon beginning my service for the City of Lake Forest.
___ My decisions are consistent with, among other things, the Fair Political Practices Act and other state and local laws.
___ I do not accept gifts, services, or other special considerations inconsistent with the Political Reform Act because of my public position. ___ I do not give special treatment or consideration to any individual or group beyond that available to any other individual.
___ Unless authorized by the City Council, I do not involve myself in the administrative processes for acquiring goods and services. ___ I recognize that the City Council and other City Commissions are independent legislative bodies, and I refrain from using my position to unduly influence the deliberations or outcomes of those bodies.
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City Council Policy: Ethics Policy, Ratified. 1-2019
FAIRNESS/ACCOUNTABILITY
___ I make decisions based on the merits of the issue, including research and facts.
___ I answer questions directly, telling the truth, and admitting a lack of knowledge if one exists.
___ I do not knowingly use false or inaccurate information to support my position or views.
___ I deter rumors and misunderstandings by making factual information available.
___ If I receive substantive information that is relevant to a matter under consideration from sources outside the public decision-making process, I publicly share it with my fellow Councilmembers or commissioners and staff at the public meeting where the matter is under consideration.
RESPECT FOR FELLOW ELECTED OR APPOINTED OFFICIALS, STAFF,
AND THE PUBLIC
___ I refrain from abusive conduct, personal charges, or verbal attacks upon the character, motives, ethics, morals, or comments of other Councilmembers, commissioners, committee members, staff, and the public.
___ I do not, in the performance of my duties, discriminate against any person on the basis of race, color, religion, national origin, ancestry, age, sex, gender, pregnancy, childbirth or related medical condition, sexual orientation, marital status, disability, medical condition, and actual or perceived gender identity.
PROPER AND EFFICIENT USE OF PUBLIC RESOURCES
___ I do not use public resources, such as agency staff time, equipment, supplies, or facilities, for private gain or personal purposes. ___ I make decisions after prudent consideration of their impact on City resources, taking into account the long-term financial needs of the agency, especially its financial stability.
___ I use my title(s) only when conducting official City business, for information purposes, or as an indication of background and expertise, carefully considering whether I am exceeding or appearing to exceed my authority. ___ I refrain from making unauthorized commitments or promises of any kind purporting to bind the City.
___ I refrain from gratuitous comments that may harm the City’s position in litigation or potential litigation.
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City Council Policy: Ethics Policy, Ratified. 1-2019
ACKNOWLEDGMENT PROCESS FOR THE
CITY OF LAKE FOREST
ETHICS POLICY
All current elected and appointed City officials, including current members of the City Council and City Commissions, will be given a copy of the newly adopted City Ethics Policy following its adoption on May 15, 2018, and will be asked to initial each provision of the Ethics Policy and sign an acknowledgement form at that time.
Thereafter:
Each new member of the City Council and City Commissions will be given a copy of the City Ethics Policy and asked to initial each provision of the Ethics Policy and sign an acknowledgement form prior to their first meeting.
Copies of the City Ethics Policy and acknowledgment forms for elected officials and members of commissions shall be maintained on file with the City Clerk.
ACKNOWLEDGMENT OF RECEIPT
As an elected or appointed official of the City of Lake Forest, California, I certify that I have received a copy of the Ethics Policy of the City of Lake Forest, have been offered training and assistance in understanding the Ethics Policy, and am aware of the provisions of the Policy and its application to my responsibilities. Consistent with the Ethics Policy, I pledge that my conduct will adhere to the requirements of the Policy.
NAME: ____________________________________
(Please type or print your first and last name)
TITLE: ____________________________________
LEGISLATIVE
BODY: ____________________________________
SIGNATURE: ____________________________________
DATE: ____________________________________
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ATTACHMENT 6
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CITY COUNCIL POLICY: MAYOR’S AWARD
Adopted 5/15/2018
Revised: 3/2/2021
A. Purpose
This policy is established to identify and recognize outstanding achievement by a Lake Forest employee or group of employees who has fulfilled one or more of seven developed criteria areas.
B. Applicability of Policy
This policy applies to any group or individual classified as a full-time employee(s) in good standing with the City. Any employee(s) that received the annual award shall not be eligible to receive it again for three subsequent calendar years.
C. Criteria
1. Performance: Continued and repeated excellence in overall job performance, which exceeded job requirements and achieved outstanding results.
2. Problem-solving: Solved an extraordinary problem or achieved a considerably difficult goal.
3. Innovation: Successfully implemented an innovative idea where an outstanding result, such as significant cost savings or maximized program effectiveness, was identified.
4. Outstanding Act: Achieved an outstanding act, which brings positive recognition to the City from the public or media.
5. Customer Service: Provide exceptional support to a resident or City department, division project, group or individual.
6. Teamwork: Efforts created excellent teamwork, resulting in a significant accomplishment by a team.
7. Community Contribution: Facilitating a positive change by contributing time, talent, or leadership to one or more community organizations.
D. Process
1. The Mayor’s Award will be presented to one employee or group of employees annually by City Council.
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2. The Management Services Department will oversee the nomination and selection process.
3. Nominations:
a. Nominations will be submitted by City employees or members of the City Council.
b. Nominations will be submitted using the Mayor’s Award Nomination Form which will be available on the employee intranet or in the Human Resources Division. Additional supporting documentation, such as correspondence relating to the employee’s performance, could also be attached.
c. All completed nomination forms will need to be submitted to Human Resources by October 1 to begin the selection process.
4. Selection:
a. Received nominations will be reviewed by the Management Team.
If a member of the Management Team is nominated, that person will be excluded from the review process.
b. The Management Team will recommend three to five “finalist” nominees for the City Council Ad-Hoc committee to review. c. The Ad-Hoc committee, comprised of the Mayor and Mayor Pro- Tem, will select one employee or group of employees from the finalist group who they feel best exemplifies the established criteria.
5. Recognition:
a. The finalist selected would be recognized at a City Council meeting during the month of December.
b. The award recipient(s) shall receive the following as a result of being selected:
i. Certificate of Recognition from the City Council
ii. A City plaque
iii. $250 gift card to a Lake Forest business or restaurant
City Council Policy: Mayor’s Award, Revised
3/2/2021
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ATTACHMENT 7
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CITY COUNCIL POLICY: ‘MAYOR’S
MINUTE’ VIDEO SEGMENT POLICY
Revised : January 7, 2020
The “Mayor’s Minute” is a recurring short video that highlights important City information and/or current events. The video is produced by City staff and narrated by the Mayor.
It is meant to compliment the communication efforts of the public information office.
1 Purpose.
This policy establishes the parameters, procedures, and proper uses of the “Mayor’s Minute” video segments.
2 Parameters.
2.1 Representation.
California law prohibits the use of public resources for personal or political gain. The City Council has previously determined that correspondence paid for with public funds must relate to actual and authentic City business and must not purport to advance or advocate a policy not previously approved by the City Council.
The “Mayor’s Minute” shall not benefit political campaigns nor promote a political agenda. The video shall represent the actions and events of the City as a whole, not individuals.
2.2 Content.
The content in the “Mayor’s Minute” shall focus on City business or events, such as:
a) Items on upcoming City Council or special-meeting agendas b) Upcoming City workshops or community meetings
c) City accomplishments
d) Council actions taken during a previous City Council meeting e) Public service announcements that support City projects or programs, such as crime prevention, keeping pets on leash, and traffic safety f) Events sponsored in whole or in part by the City.
2.3 Budget
A budget shall be established for the production, posting and promotion of “Mayor’s Minute” segments during the annual City Council Budget Workshop.
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City Council Policy: ‘Mayor’s Minute’ Video, Rev. 1-2020
2.4 Substitutes.
The Mayor shall not substitute a proxy for the segment without prior approval from the City Manager.
2.5 Approvals.
The City Manager, or his/her designee, shall have final approval of the script and video recording. The City Manager has the right to refuse broadcasting or posting any video that is in violation of this policy.
2.6 Video Length.
The video should fall between 60 and 90 seconds of recording time.
2.7 Staff Resources.
Pre-production and post-production work shall be limited to two and a half hours per video segment.
3 Procedure.
3.1 Script Review.
The script shall be prepared by City staff in consultation with the Mayor or Mayor’s proxy. The City Manager, or his/her designee, shall have final say on the content of the script. During the 60 days prior to an election, staff will provide a heightened review of the Mayor’s Minute videos.
3.2 Recording.
The Mayor should arrive prepared and promptly at the arranged recording time to minimize impact to staff schedules. The Mayor shall be dressed in attire appropriate to represent the City of Lake Forest.
3.2.1 Staff Present.
Public Information Office staff and the Director of Management Services, or his/her designee, shall be present during the recording.
3.2.2 Recording Length.
While multiple “takes” may be required on occasion, the recording period shall not exceed 30 minutes.
3.3 Editing.
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City Council Policy: ‘Mayor’s Minute’ Video, Rev. 1-2020
While the Mayor may provide input, staff shall determine the recorded segment best suited for use. Editing time shall not exceed one and a half hours per video segment.
4 Proper Use.
4.1 Posting.
Once completed by City Staff and approved by the City Manager or his/her designee, the “Mayor’s Minute” video will be posted to the City’s website and social-media channels. These may include, but are not limited to, Facebook, Twitter, Instagram, and YouTube. While pages and accounts controlled by others may link to the City content, the content shall not be directly shared with any other site or individual without approval from the City Manager.
4.1.1 Promoted Posts.
On occasion, it may be beneficial to the City for the “Mayor’s Minute” to be “boosted” (promoted) on social media. The decision to spend advertising funds on promoting a “Mayor’s Minute” post shall be made by the Management Services Director. “Mayor’s Minute” segments may not be “boosted” within 60 days of any election.
4.1.2 Promoted Posts.
No more than $200 may be spent promoting a “Mayor’s Minute” on social media without approval from the City Manager.
4.1.3 Comments on Posts.
Any public comment on a posting of the “Mayor’s Minute” must comply with the City’s Social Media Policy. Such a determination shall be made by the Director of Management Services or his/her designee.
5 Penalties.
Pursuant to California Government Code Section 53232.4, penalties for misuse of public resources may include, but are not limited to, the following:
a) Civil penalties for misuse of public resources pursuant to California Government Code Section 8314.
b) Prosecution for misuse of public resources, pursuant to Section 424 of the Penal Code.
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ATTACHMENT 8
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CITY COUNCIL POLICY: ORDER OF THE AGENDA
Revised January 2, 2019
The City Council Agenda provides for the orderly conduct of Council Meetings and facilitates the people’s business.
1 Purpose.
This Policy establishes the order of regular City Council Agenda Business and provides guidelines for managing the Agenda during City Council Meetings.
1.1 Special Meetings
Special Meetings shall convene at the time and place listed on the Notice and Call of Special Meeting.
2 Order of Agenda.
2.1 Regular Meetings
The City Council Meeting Agenda for Regular Meetings will proceed in the following Order of Business, but agenda items may be reorganized as appropriate following consultation with the Mayor, the City Manager and the City Clerk.
Call to Order
Public Comment
Closed Session
Invocation
Pledge of Allegiance
Student Liaison Report
Presentations
Warrant Register
Consent Calendar
Public Hearings
Discussion Items
Continued Public Comment (if necessary)
City Manager’s Report
Council Member Comments
Continued Closed Session (if necessary)
Adjournment.
2.2 Special Meetings.
The City Council meeting agenda for Special Meetings will contain only those items necessary for the conduct of the Special Meeting and as listed on the Notice and Call of Special Meeting.
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Adopted by Minute Order July 11, 2017 and Amended by Minute Order March 6, 2018
City Council Policy: Order of the Agenda, Rev. 1-2019
2.3 Continuation of Public Comment Period.
Should the Public Comment portion of the City Council meeting extend past the 30- minute total time alloted, it shall be at the discretion of the Mayor to extend the time allotted for Public Comments to accommodate the needs of the public.
3 Adjournment.
3.1 Consideration of Adjournment.
At 9:30 p.m., the City Council shall determine by motion and vote whether the meeting should continue or if the meeting should conclude and any remaining items be continued to the next regular City Council meeting agenda.
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ATTACHMENT 9
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CITY COUNCIL POLICY: PUBLIC COMMENT
Ratified: January 2, 2019
1 Purpose.
Pursuant to State law, the public has the right to address the City Council on any item under the subject matter jurisdiction of the Council. This Policy establishes guidelines for members of the public to address the City Council for that purpose.
2 Public Comment.
2.1 Definition.
Public Comment is defined as communication which may be submitted in writing, submitted from social media sources, or spoken from the podium after being recognized by the Presiding Officer, or signified by applause while another member of the public or City Council Member is speaking after being recognized by the Presiding Officer. No other form of audible expression is permitted under this Policy.
2.2 Length of Comment.
Those addressing the City Council under Public Comments shall be given three minutes per speaker. Each subject matter is allotted ten minutes under Public Comments. A total of thirty minutes is hereby designated for the Public Comments portion of the meeting.
Those addressing the City Council on matters listed on the Agenda shall be given three minutes per speaker. There shall be no limit established as to the number of speakers permitted on any one agenda item or the aggregate number of speakers per meeting for agendized matters.
2.3 Extension of Comment Period.
Extension of the Public Comment period identified in Section 2.1 shall be at the discretion of the presiding officer or by a majority vote of the City Council.
3 Response to Public Comment.
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Adopted January 19, 1993; Amended by Minute Order March 1, 2016; July 11, 2017; and March 6, 2018
City Council Policy: Public Comment, Ratified 1-2019
3.1 Council Member Response.
Individual Council Members may respond to matters presented by speakers under Public Comments immediately following each individual Public Comment, limiting their remarks to no more than one minute.
Council Members shall not argue with, scream at, or denigrate any speaker for any reason, regardless of provocation. Notwithstanding this provision, Council Members may respond briefly, offer alternative facts or opinions.
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ATTACHMENT 10
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55136.00320\12208736.1
CITY COUNCIL POLICY: REQUESTS FOR
CITY ATTORNEY SERVICES POLICY
Ratified : January 2, 2019
From time to time, matters arise in which City Council Members (“Official” or “Officials”) require legal advice and counsel. The Lake Forest Municipal Code (“Code”) authorizes the City Attorney to advise Officials on legal matters pertaining to their offices, give advice or opinion on the legality of matters under Council consideration, and perform other legal duties as the Council may require. (LFMC § 2.16.030.) 1 Purpose:
This Policy establishes guidelines for Officials’ legal services requests, in order to ensure that those requests are within the Code’s bounds and to maintain budgetary control over the cost for legal services.
2 Requests for Legal Services:
2.1 Conflicts of Interest
An individual Official may contact the City Attorney for legal advice at any time regarding potential or actual conflicts of interest that the individual Official may have, which arise under the Political Reform Act, Government Code Section 1090, or any other State or local law and regulation relevant to this area.
2.2 Agenda Items
During Council meetings, any Official may request that the City Attorney provide legal advice or opinion on any matter listed on the Council agenda. If the request does not relate to an item on the Council agenda, the Council body may direct the City Attorney to report back to the Council on the matter.
Between Council meetings, individual Officials may contact the City Attorney’s Office for legal advice regarding any item on an upcoming Council agenda.
2.3 Non-Agenda Items
Between Council meetings, each Official may direct the City Attorney to spend up to two (2) hours researching legal issues related to City items not on an upcoming Council agenda. In such circumstances, the City Attorney is authorized to report directly back to the requesting Official.
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ATTACHMENT 11
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Adopted March 2018
City Council Policy: Travel & Expense Reimbursement,Policy Revision , Rev. 12 - 20-201922
CITY COUNCIL POLICY: TRAVEL AND
EXPENSE REIMBURSEMENT POLICY
Revised: January 218, 20192022
City Council Members and Commissioners (“Official” or “Officials”) are allowed their actual and necessary expenses when traveling on official City business consistent with this policy, as outlined below. Council Members and Commissioners are encouraged to participate in trainings and conferences in an effort to enhance education and to represent the City of Lake Forest. Reasonable modifications to this policy are allowed for an Official(s) with disabilities.
1 Before Your Trip.
1.1 Authorized Budget.
Travel is subject to the dollar limitations set forth in the City’s Annual Operating Budget. City Council travel is budgeted within the City Council Department “Travel, Conferences, and Meetings” account. Planning Commission travel is budgeted in the Community Development Planning Division “Commissioner Travel” account. Community Services Commission travel is budgeted in the Community Services Recreation Division “Commissioner Travel” account. Traffic and Parking travel is budgeted in the Public Works Traffic and Parking Commission Division “Commissioner Travel” account.
1.2 Authorized Functions (i.e., Where can I go?).
Expenses incurred in connection with the performance of official duties at functions described below are eligible for reimbursementable:
a) Meetings of the City Council, Successor Agency, Housing Authority, Financing Authority, and any other government body or Ad Hoc Committee established by formal action of the Lake Forest City Council.
b) Meetings attended as the Council-designated representative(s) (or Council designated alternate(s)) of the City as documented on the most recently adopted City Council Committee Appointments List. c) Meetings with the City Manager or his or her designee. d) City-sponsored events.
Formatted: Not Different first page header
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e) Meetings of the Orange County Division of the League of California Cities (LOCC) and Association of California Cities – Orange County (ACCOC).
f) Attendance at LOCC Annual Conference, LOCC Mayors and Council Members Executive Forum/Summit, LOCC policy
committees (subject to LOCC appointment), and LOCC New
Mayors and Council Members Academy.
g) Attendance at educational seminars, conferences or activities designed to improve the Council Member or Commissioner’s skill and knowledge provided the City is a member of the organization sponsoring the activity.
h) Attendance at training sessions required by federal, state, or local law.
i) Appearances before, or attending meetings of, state legislative committees, state regulatory bodies, state commissions, entities regulated by the California Public Utilities Commission, and other government entities, on behalf of the City of Lake Forest. j) Meeting or functions of public agency or non-profit organizations contract partners.
1.3 Advances.
The City does not issue advances for travel. In lieu of an advance, officials may utilize a Cal-Card (i.e., a purchase VISA card) for expenses incurred while traveling on official City business. 1
1.4 City Council CAL- Cards.
City Council Members are authorized to use a CAL-Card (i.e., a purchase VISA card) for travel expenses associated with out-of-town travel. When traveling, an official’s Cal-Card shall have an expenditure limit of $2,000. When not in use during specific travel, Cal-Cards shall have an expenditure limit of $0. CAL-Cards are to remain in the possession of Officials, and Officials are responsible to report lost or stolen cards.
1.5 Reservations/Registrations.
1 The CAL-Card program, a State purchase VISA card program administered by US Bank, is offered to designated City officials as a streamlined way to procure and pay for City-related goods and services while reducing reimbursement, invoice, and check processing costs. Officials that utilize CAL-Cards are subject to program rules and regulations as outlined in the City’s Purchasing Guidelines. CAL -Card purchases are restricted to specified merchant category codes.
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Adopted March 2018
City Council Policy: Travel & Expense Reimbursement,Policy Revision , Rev. 12 - 20-201922
Officials attending meetings or traveling on official business may request staff assistance in arranging conference registration, hotel, and other travel reservations for authorized functions as listed in this policy.
1.5.1 Airline & Train Reservations.
The City will purchase airline and train tickets for travel to functions listed in Section 1.2 (f) on an official’s behalf no later than fourteen (14) days in advance of travel. The City will purchase airline and train tickets for travel to all other authorized functions as listed in this policy on an official’s behalf. Tickets for functions listed in Section 1.2 (f) requested thirteen days or less in advance of travel must be purchased directly by the traveling official. Eligibility for reimbursement of airline and train tickets is outlined in Section II of this policy.
1.6 Cancellations.
In the event an Official is unable to travel according to pre-arranged and/or pre-paid itineraries, the Official shall cancel his or her reservations prior to the cancellation deadline established by the vendor (i.e. hotel, airline, etc.) so as not to incur charges or in order to receive a refund or credit. In the event an Official does not cancel his or her reservations and the City is charged a fee or unable to receive a credit or refund, the Official shall reimburse the City the full cost of the fee or non-cancelled charges within thirty (30) days of the cancelled travel.
2 While on Your Trip.
2.1 Traveling to Your Destination.
Officials shall use the most economical mode and class of transportation reasonably consistent with scheduling needs and cargo requirements, and the most direct and time-efficient route.
2.1.1 Air and Train Travel.
Airfare and train fare shall be reimbursed at the actual ticket cost as stated on the receipt. Baggage handling fees up to $2 per bag are reimbursable. Long-term parking shall be used for travel exceeding 24 hours.
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2.1.2 Personal Automobile.
Automobile mileage is reimbursable at the Internal Revenue Service (IRS) rate in effect at the time of the trip. The reimbursable amount shall be based on the actual mileage traveled for the purposes of the Traveler’s official duties. In no case shall the amount of the reimbursement exceed the cost an airline ticket to the same destination purchased fourteen (14) days in advance of travel and, if applicable, the cost of a standard-size rental car.
2.1.3 Ground Transportation.
Taxi, bus, train, shuttle or other similar fares, including associated gratuities of up to 20 percent, are reimbursable. Baggage handling fees up to $2 per bag are reimbursable.
2.2 Meals and Incidental Expenses (M&IE).
The City maximum full day meal and incidental expenses rate shall be not greater than the maximum federal per diem meal and incidental expenses (M&IE) rate established by the General Services Administration (www.gsa.gov) based on the limit for the city or county to which the Official is traveling. Partial days per diem amounts are also established by the GSA. The GSA maximums include taxes and gratuities. Official must provide receipts for all meals and will be reimbursed at the lower of the appropriate per diem amount or the actual expense.
2.2.1 Meal Gratuities.
Meal gratuities of up to 20 percent are reimbursable.
2.2.2 Alcoholic Beverages.
There shall be no reimbursement for alcoholic beverages.
2.2.3 Meals Provided as Part of Functions.
An Official may not request reimbursement for any meal which is provided or otherwise available to the official at a function, whether or not there is an actual charge for the meal. For Item: 12
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example, if lunch is provided at a function, the traveler may not request reimbursement for eating elsewhere.
2.3 Lodging.
Actual lodging costs will be reimbursed when an Official’s travel on official City business reasonably requires an overnight stay due to distance or an Official’s need for sleep or rest to properly and safely perform their duties. The Official shall use lodging that is either: offered by a provider of lodging that is consistent with the per diem rates for lodging as established: (1) in IRS Publication 1542, as amended, or any successor publication; or (2) as a governmental rate offered by the provider of lodging.
2.3.1 Lodging for Conferences or Other Educational Activities.
Lodging costs shall not exceed the maximum group rate published by the conference or activity sponsor, provided that the lodging at the group rate is available to the Official at the time of booking. If the group rate is not available, then the Official shall use comparable lodging that is consistent with the per diem rates for lodging as established: (1) in IRS Publication 1542, as amended, or any successor publication; or (2) as a governmental rate offered by a provider of lodging.
2.4 Miscellaneous Expenses.
Bridge, road tolls, housekeeping tips, parking fees and other similar miscellaneous expenses are reimbursable. Baggage handling fees up to $2 per bag are reimbursable.
2.5 Unauthorized Expenses.
Expenses the City will not reimburse include, but are not limited to:
a) The personal portion of any trip.
b) Political or charitable contributions or events.
c) Family expenses, including a partner’s expense when
accompanying the Official on City-related business, as well as children or pet-related expenses.
d) Entertainment expenses, including theater, movies (including in- room), sporting events (including but not limited to gym, massage and golf-related expenses), or other cultural events.
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e) Non-mileage personal automobile expenses, including traffic citations.
f) Personal losses incurred while on City business.
g) “Pre-boarding”, “upgrade” or “change” fees charged for the convenience of the traveling official.
3 After Your Trip.
3.1 Documentation of Expenses/ Expense Reports
Officials shall submit expense report forms, as provided by the City, to the City Manager or the Manager’s designee within thirty (30) days of incurring the expense. The expense report is to be signed, under penalty of perjury, and state that all expenses listed were necessary, reasonable and incurred in connection with City business and in conformity with this Policy. If an Official does not submit expense report forms within thirty (30) days of incurring the expense, the Official will be ineligible for any future City paid travel arrangements or use of City Cal-Cards until the signed expense report form is submitted.
3.1.1 Expense Documentation.
To qualify for reimbursement, expense reports must be
accompanied by documentary evidence, such as a receipt, canceled check, or bill for each expense. The documentary evidence should show the amount, date, place, and essential character of the expense.
a) If the evidence submitted is a bill, it must be itemized so as to sufficiently indicate which costs the Official claims are in connection with City-approved travel and for what purpose such costs were incurred (e.g., an itemized hotel bill would indicate cots for room, parking fee, meals, and room tax, with the respective cost of each listed on the bill).
b) Any evidence submitted must be attached to a written statement signed by the Official attesting the evidence is an accurate depiction of the expense and that the charges are appropriate and incurred in connection with City business and in conformity with this Policy.
c) Receipts shall document the expenses of the Official exclusively. Personal expenses (including, but not limited to, a partner’s expenses) shall not be included on the submitted receipt.
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3.1.2 Substitute Expense Documentation.
If documentary evidence (e.g., receipt or bill) is not available, the following limitations on reimbursement shall apply:
a) Lodging, food, and beverage expenses shall not be
reimbursed.
b) Per IRS guidelines, only expenses of less than $75.00 shall be reimbursed where substitute documentary evidence is
provided.
Acceptable forms of substitute documentary evidence may include, but are not limited to, written statements from the Official’s guests or other witnesses setting forth detailed information about the expense, or an In Lieu of Receipt Form signed by the traveling Official. A sample In Lieu of Receipt Form is attached to this policy (Attachment 1).
3.1.3 California Public Records Act.
All documents related to reimbursable City expenditures are subject to disclosure under the California Public Records Act Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1.
3.2 Reimbursement.
The City will reimburse Officials for all actual and necessary expenses within the limitations of this policy.
3.2.1 Preliminary Review by Staff.
The City Manager or his or her designee shall review all forms and documentary evidence as outlined in the attached Staff Travel Expenditure Review Procedure (Attachment 2).
.
3.2.1.1 Reimbursement .
Once the expense report is complete, signed and all
necessary receipts are attached, staff will submit the
report and supporting documentation to the Finance
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department for processing with the next scheduled
Warrant Register.
4 Policy Violations.
Pursuant to California Government Code Section 53232.4, penalties for misuse of public resources or falsifying expense reports in violation of expense reporting policies may include, but are not limited to, the following:
a) The loss of reimbursement privileges.
b) Restitution to the City.
c) Civil penalties for misuse of public resources pursuant to California Government Code Section 8314.
d) Prosecution for misuse of public resources, pursuant to Section 424 of the Penal Code.
In addition to the above penalties as prescribed by State law, violation by an Official of this Policy shall result in the following:
a) Termination of that Official’s privilege to use City CAL-cards, unless such privilege is reinstituted by the City Council; and/or
b) Ineligibility for any future pre-paid travel, unless such eligibility is restored by the City Council.
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ATTACHMENT 12
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CITY COUNCIL POLICY: WRITTEN
COMMUNICATION POLICY
Revised January 2, 2019
California law prohibits the use of public resources for personal or political gain.
Chapter 1.04 of the Lake Forest Municipal Code prohibits the use of the city logo for commercial purposes. The City Council has determined that correspondence paid for with public funds or on City stationery or letterhead must relate to actual and authentic City business and must not purport to advance or advocate a policy not previously approved by the City Council. This policy establishes guidelines for City Council and use of City of Lake Forest stationery and letterhead by City Council Members.
1 Definitions.
1.1 City Council Correspondence.
City Council Correspondence is any written communication, including communications in facsimile or electronic format (e-mail), which is addressed to a City Council Member or authored by a City Council Member(s). Examples include, but are not limited to:
a) Correspondence addressed to the City Council, individual Council Members or the Mayor sent to a City facility or to City of Lake Forest e-mail accounts not clearly marked or identified as “personal” or “confidential”
b) Correspondence sent by the City Council, individual Council Members or the Mayor regarding City business
c) Correspondence, except purely social or salutatory
correspondence, that identifies the author as a Council Member, elected official, or includes a City Council Members’ City of Lake Forest business card.
1.2 Social and Salutatory Correspondence.
Any Correspondence written by City Council Members or the Mayor conveying greetings, congratulations, gratitude or other similar sentiments to residents, business owners, government agencies or other persons or entities.
1.3 Letters of Recommendation.
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Adopted by Minute Action December 7, 1993; Amended by Minute Action June 21, 2005; October 21, 2014; March 6, 2018
City Council Policy: Written Communication, Rev. 1-2019 Any Correspondence written by City Council Members or the Mayor recommending employment or admission to educational institutions, the United States Military, Peace Corps, or other service program.
1.4 Campaign Literature.
Any information delivered to the public designated to either further or injure a political campaign.
1.5 Official City Representation.
Any statement made by the City Council, Individual Council Members, or the Mayor which states, or which could reasonably be interpreted to state, a City policy, position, or commitment to action.
2 Policy.
2.1 City Council Correspondence.
With the exception of e-mail, all outgoing City Council Correspondence shall be on City of Lake Forest stationary or letterhead maintained exclusively at City Hall and shall be signed by City Council Members or the Mayor. Copies of all City Council Correspondence shall be provided to the City Clerk for retention pursuant to the City’s Records and Retention Policy as authorized by State law. All City Council Correspondence sent to or from City of Lake Forest e-mail accounts shall be automatically retained by the City’s e-mail archive software pursuant to the City’s Records and Retention Policy.
2.2 Social and Salutatory Correspondence.
The use of City stationary, including informal note cards or memo pads, by City Council Members or the Mayor is authorized for the purpose of social and/or salutatory correspondence, subject to the limitations of state law relative to mass mailings and/or campaign related communication. No copies of such correspondence are retained in the ordinary course of business and are not subject to the City’s Records and Retention Policy.
2.3 Campaign Literature.
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Adopted by Minute Action December 7, 1993; Amended by Minute Action June 21, 2005; October 21, 2014; March 6, 2018
City Council Policy: Written Communication, Rev. 1-2019 No City of Lake Forest stationary, letterhead, or informal note cards or memo pads shall be used for Campaign Literature.
2.4 Official City Representation.
No individual City Council Member or the Mayor shall transmit any Correspondence containing an Official City Representation without authorization from the City Council to serve as spokesperson for this purpose. When otherwise presenting their individual opinions and positions, members of the City Council shall explicitly state they do not represent the City, and will not allow the inference that they do.
2.5 Letters of Recommendation.
Any letters of recommendation written by individual City Council Members or the Mayor shall be on City of Lake Forest stationary or letterhead maintained exclusively at City Hall and shall be signed by City Council Members or the Mayor. Copies of any letters of recommendation shall be provided to the City Clerk for retention pursuant to the City’s Records and Retention Policy as authorized by State law.
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ATTACHMENT 13
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CITY COUNCIL POLICY: BIENNIAL CITY
COMMISSION WORKSHOP
Adopted: 3/8/2018
Revised: 3/2/2021
1 Purpose.
This pol
icy establishes the process and content of the biennial workshop to be held on concurrent budget preparation years by City Commissions. By Minute Order at the January 5, 2021 City Council Meeting, the City Council dispensed with the previous policies regarding Annual Joint City Council/Commission Workshop which required a joint meeting be held on the second meeting in March to discuss the goals and objectives of each commission for the upcoming year.
2 Comm
ission Roles and Responsibilities
2.1 Planning Commission.
In accordance with Section 9.02.030 of the Lake Forest Municipal Code (LFMC), the Planning Commission shall act as the custodian of the visual character of the City and shall also have the following general functions:
A. Planning
for the physical development of the City;
B. Carrying out the precepts and intent of the City’s Zoning Ordinance;
C. Reviewing and approving, conditionally approving or denying tentative subdivision maps;
D. Making recommendation to the City Council for the
establishment of appropriate zoning boundaries;
E. Revi
ewing the General Plan and making a report thereon
annually to the City Council;
F. Periodically reviewing the zoning map and the text of the Zoning Code and making recommendation to the City Council for change;
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G. Periodically reviewing the Subdivision Code and making recommendations to the City Council for amendments or
additions;
H. Rendering disinterested and diligent service to the public in the interpretation of public needs and necessities in the development of the City and its environs.
2.2 Community Services Commission.
In accordance with Section 13.01.001 of the LFMC, the
Community Services Commission shall:
A. Advise the City Council on all matters subject to the jurisdiction of the Council pertaining to the
acquisition, development, and maintenance of public
parks and recreational facilities;
B. Re
view and advise the Council pertaining to the financing of and budgeting for such functions, including but not limited to, the financing and budgeting for park and recreation services in the City.
C. Advise the Director of Management Services, or the City Manager’s designee, from time to time.
2.3 T
raffic and Parking Commission.
In accordance with Section 12.06.030 of the LFMC, the Traffic and Parking Commission shall:
A. Advises the City Council on issues relating to parking and the safe and efficient movement of traffic, including vehicles, bicycles, pedestrians, and other modes of transportation upon the circulation network of the City.
B. Provide recommendations related to traffic and parking including, but not limited to traffic and parking related field studies, requests for traffic control devices, requests for Permit Parking and Street Sweeping Parking Restrictions, and other related matters.
City Council Policy: Biennial City Commission Workshop
Revised 3/2/2021
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3 Biennial City Commission Workshop
On a biennial basis, on concurrent budget preparation years, the Planning Commission, Community Services Commission, and the Traffic and Safety Commission shall hold a Joint Workshop/Roundtable to discuss the overall City budget and the goals and objectives of each commission for the upcoming two years. Results from the Joint Commission Workshop will be shared with the City Council as input to the Strategic Plan Update.
Policy will provide further layer of transparency and cohesiveness with the City Council goals. Commissioners may continue to bring about other peripheral ideas throughout the year directly to staff.
City Council Policy: Biennial City Commission Workshop
Revised 3/2/2021
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ATTACHMENT 14
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CITY COUNCIL POLICY: FINANCIAL
MANAGEMENT AND BUDGETARY POLICY
Adopted: October 20, 2020
1 Purpose.
Provide the framework and direction for financial planning and decision making by the City Council and City staff. These policies are designed to ensure the City’s financial integrity and provision of services that address the priorities of Lake Forest’s constituents.
This policy establishes financial parameters that will guide the budget development and deliberation process, safeguard financial assets, and maintain the City’s strong financial condition.
The desired policy outcome is that the long-term implications of financial decisions are fully understood and considered in the decision-making process.
The City Council will review this policy during each budget development process and consider any recommended revisions with the adoption of the budget. 2 Long-Range Financial Planning and Budget.
a) The budget is a resource allocation document and serves as the financial plan for the City. It will serve as the policy document of the City Council and will provide policy direction to the City Manger in the areas of desired service levels and funding priorities.
b) The City Manager shall present a proposed budget to the City Council on a biennial basis to be adopted no later than June 30 in odd numbered years preceding the commencement of the two-year budget cycle. The budget will be prepared, presented, and administered by the City Manager and Director of Finance/City Treasurer.
c) The City will maintain a long-range fiscal perspective by preparing a two-year operating budget, seven-year Capital Improvement Plan, and seven-year Financial Forecast. The Budget will be developed and adopted with a sharp focus on long-term financial solvency and compliance with provisions of this policy.
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d) The City Council values public input in the budgeting process and will provide opportunities for public input.
e) The budget document will be prepared in a manner which facilitates public study and effectively communicates key economic issues and fiscal policies .
The budget will document and explain assumptions for underlying revenue sources and expenditure estimates.
f) The City Council may authorize the use of reserves and/or non-recurring revenues to balance the budget when unforeseen events occur that reduce the City’s recurring revenues, and to direct the City Manager to make budgetary recommendations that will re-balance the budget within a specified timeframe.
g) All budgetary procedures will conform to state regulations and Generally Accepted Accounting Principles (GAAP) for governmental agencies.
h) The City’s budget will be presented by function of government with a logical breakdown of programs. The budget format will clearly outline the major service areas and associated expenditures.
i) The budgeting process will include reports to the City Council and will include budgetary status and compliance. The City Manager will notify the City Council whenever changing operations or economic developments require corrective budgetary modifications. The City Manager shall also inform the City Council if operating revenues are projected to decrease by more than 10% from the adopted budget.
j) Non-personnel appropriations in the Operating Budget may be carried over from the first year to the second year of the two-year budget period with the approval of the City Manager with notification to the City Council Audit Committee.
j)k) Non-personnel appropriations in the Operating Budget may be carried over from one two-year budget cycle to another when an agreement is in effect prior to the commencement of the new two-year budget with the approval of the City Manager with notification to the City Council Audit Committee.
k)l) Departmental budget control shall be the responsibility of the Department Head. Department Heads shall, with the concurrence of the Director of Finance/City Treasurer, have the authority to move appropriations between Formatted: Font: 13 pt
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line items within their departmental budgets. At the discretion of the City Manager, appropriations may be transferred from one department to another, or between funds within the Operating Budget with notification to the City Council Audit Committee.
l)m) At the City Manager’s discretion, appropriations may be moved from one capital improvement project to another existing project within the adopted Capital Improvement Program with notification to the City Council Audit Committee.
m)n) During the budget cycle, special circumstances may require an adjustment in the appropriations established in the adopted budget and would require a budget amendment. These may include:
i. Changes to spending priorities
ii. Increase in operating or capital expenditures
iii. Decrease in operating revenues
n)o) City Council approval is required to increase the total sum of the appropriations made for the Operating Budget or the Capital Improvement Plan from the adopted Budget Resolution. City Council approval is also required to move appropriations between the Operating Budget and the Capital Improvement Program.
o)p) The goal of the City’s long-range financial planning is to pay for capital projects and large, one-time expenditures from existing sources (savings or reserve funds) and not be dependent on borrowing or new revenues. 3 Capital Planning.
a) The purpose of the Capital Improvement Program is to systematically plan, schedule and finance capital projects as approved and prioritized by the City Council. The Capital Improvement Program will be a seven-year plan and will include major rehabilitation costs to existing infrastructure and facilities, as well as the cost of new facilities or capital improvements. Staff will inventory and assess the condition of all major capital assets every two years and make recommendations to the City Council regarding any modification of the Capital improvement Program as part of the budget development process.
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b) Proposed capital projects will include projected changes in operating and maintenance costs, work force requirements, productivity, and risk management considerations.
c) A capital improvement project shall be established for all projects greater than $100,000 with an expected useful life of at least 3 years that also meet the definition of a public project per State Public Contracts Code Section 22002.These include projects involving construction, reconstruction, alteration, renovation, improvement, demolition or major repair work. This excludes routine, recurring and usual work for the preservation, protection, or maintenance of publicly owned land, improvements and equipment.
d) For purposes of this policy, the scope of a proposed capital improvement project may be defined as the work to be undertaken at a single location.
However, if work at a specific location would not otherwise meet the cost threshold for establishing a separate capital improvement project and similar work is to take place at another location(s) during the same fiscal year, then all such similar work shall be defined as one capital improvement project.
e) A capital project may originate from a variety of input, including but not limited to public feedback, City Council and Commission ideas, the Biennial Residential and Business Satisfaction Study (i.e., survey), grant requirements or staff analysis. As part of the budget process, staff uses this input to submit Capital Improvement Program requests providing a detailed description of the proposed project or purchase. All requests will be reviewed by the City Manager using the formal evaluation process described below or some other alternative process identified by the City Manager. One evaluation consists of several ranking criteria, which are assigned relative weights as follows:
Criteria Weight
Project’s impact on health and safety 10
Project improves, upgrades, or rehabilitates an existing facility 9 Project’s impact on City operating budget 8
Project remedies a service deficiency 8
Percent of project costs to be funded by (non-City) resources and/or funding to be lost if project not done 7
Priority assigned by requesting Department 6
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Other considerations, such as aesthetics, feasibility, special populations serviced, conformance to plans (including the General Plan), interjurisdictional effects and community economic effects 6 Once evaluation scores as assigned, project priorities will be determined and presented to the City Council for further review. After completing its review, the City Council will appropriate funding for the first two years of the Seven Year Capital Improvement Program as part of the two-year budget cycle. f) Unexpended project appropriations will be automatically carried forward as continuing appropriations to future fiscal years as required to complete the intent of the original budget with notification to the City Council Audit Committee.
g) The City will actively pursue grant and other outside funding sources for all capital improvement projects. Staff will be cognizant that the grant amount should justify the staff time and other resources needed for its administration. 4 Risk Based Reserves.
This section is designed to develop standards for setting reserve levels for various significant City funds. Adequate reserve levels are a necessary component of the City’s overall financial management strategy and a key factor in external agencies’ measurement of the City’s financial strength.
a) The City shall maintain reserves at a prudent level and shall use reserves appropriately with a focus on contributing to the reserves in good times and drawing on reserves in times of severe economic downturns, unforeseen major expenses, and/or sudden revenue losses to maintain a consistent level of service and quality operations.
b) The City shall establish certain financial reserves to protect the City against unexpected interruptions in revenues, vulnerability of State actions, adverse economic conditions, unpredictable one-time costs, and exposure to natural disasters and emergencies.
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event. The Risk Analysis will review the following risk factors and the City ‘s level of exposure to each risk factor impacting the City’s General Fund.
OPERATING RISK FACTORS
Revenue Source Stability
Vulnerability to Extreme Events
Expenditure Volatility
Leverage
Liquidity
Other Fund Dependency
Growth
CAPITAL RISK FACTORS
Capital Projects
Capital Asset Replacement
d) The Risk Analysis will identify the reserve level for each risk factor, the recommended Target General Fund Reserves based on all risk factors.
e) The Risk Analysis will be performed biennially in coordination with the development of the operating budget.
f) The Total Minimum Reserve shall be established 5% below the Target General Fund Reserve Level.
g) The Target General Fund Reserves and Total Minimum Reserve will be established and updated by resolution based on each biennial analysis.
h) Spending beyond the Total Minimum Reserve shall require a four-fifths vote of the City Council.
i) Gas Tax HUTA Fund – A minimum reserve level of $400,000 will be set aside as a reserve for street repair emergencies and other unanticipated traffic safety projects. The City Manager shall provide a plan including timeline to replenish the reserves within 180 days of City Council authorization to use the reserves. This reserve is intended to protect the City against unexpected interruptions in revenues, vulnerability of State actions, adverse economic conditions related to this revenue source.
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j) Measure M Local Fair Share Fund – A minimum reserve level of $250,000 will be set aside as a reserve for street repair emergencies and other unanticipated traffic safety projects. The City Manager shall provide a plan including timeline to replenish the reserves within 180 days of City Council authorization to use the reserves. This reserve is intended to protect the City against unexpected interruptions in revenues, vulnerability of State actions, adverse economic conditions related to this revenue source.
k) The City shall maintain a Pension Employer Contribution Stabilization Trust Fund to reduce volatility in the employer contribution rates set by CalPERS.
The operating budget presented by the City Manager will provide an update on the balance of the available resources and any recommendations for the budget period.
l) The City Shall maintain an Other Post-Employment Benefits Trust Fund to fund the required health care costs to retirees. The operating budget presented by the City Manager will provide an update on the balance of the available resources and any recommendations for the budget period. 5 Fund Balance Management.
a) The Fund Balance Policy establishes guidelines and procedures for allocating and reporting fund balance in the financial statements in accordance with Governmental Accounting Standard Board (GASB) Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions, and as committed by City Council.
b) Fund balance is defined as the difference between the assets and liabilities reported in a governmental fund.
c) GASB Statement No. 54 defines five separate components of fund balance, each of which identifies the extent to which the City is bound to honor constraints on the specific purposes for which amounts can be spent.
d) The following components defined by GASB Statement No. 54 shall constitute the City’s Fund Balance for financial reporting purposes:
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i. Nonspendable Fund Balance (inherently nonspendable) – Assets that cannot be converted to cash(e.g., prepaid items and inventories of supplies) and assets that will not be converted to cash soon enough to affect the current period. ii. Restricted Fund Balance (externally enforceable limitations on use) – Limitations imposed by creditors, grantors, contributors, or laws and regulations of other governments and limitations imposed by law through constitutional provisions or enabling legislation.
iii. Committed Fund Balance (self-imposed limitations on use set in place prior to the end of the fiscal year) – Limitation imposed at the highest level of decision making that requires formal action at the same level to remove (Ordinance).
iv. Assigned Fund Balance (limitation resulting from intended use) – Intended use established by highest level of decision making, by a body designated for that purpose, or by an official designated for that purpose, (delegated by the City Council to the City Manager).
v. Unassigned Fund Balance (residual net resources) – Excess of nonspendable, restricted, committed, and assigned total fund balance.
e) For the General Fund, unless the fund balances are non-spendable or restricted, fund balances are “spendable” and available for use at the discretion of the City Council.
f) For all other Special Revenue, Capital Projects and Debt Serve Funds, these resources are limited as to use by external enforceable limitations (e.g., enabling legislation) therefore fund balances in these funds will be categorized as restricted.
6 Revenues and Expenditures.
a) The City will maintain a level of expenditures which will provide for the health, safety and welfare of the residents of the community.
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b) The City will endeavor to maintain a diversified and stable revenue base to minimize the effects of fluctuations in any single revenue source. Efforts will be directed to optimize existing revenue sources while periodically reviewing potential new revenue sources.
c) The City will estimate revenue using an objective, analytical process; in the case of assumption uncertainty, conservative projects will be utilized.
d) The City will fund all current expenditures from current revenues, avoiding procedures that balance current budgets by postponing needed expenditures, accruing future revenues or rolling over short-term debt.
e) Development processing costs and related administrative expenses shall be totally offset by development fees.
f) Gas tax revenues will be annually set aside to offset all costs in connection with the City’s street maintenance program. The City will strive to maintain this program in such a manner that will not require the infusion of available General Fund revenuesresources.
7 User Fees.
a) The purpose of this User Fee Policy is to provide a consistent framework for the analysis and evaluation of user fees imposed by the City of Lake Forest.
Topics include: Services for which user fees are appropriately considered, basis for maximum fee amounts, amount of costs to be recovered from fees, and procedures for updating fees.
b) User fees are applied to recover all or a portion of the City’s costs for providing service of individual benefit or cause. “Providing service means activities at the option of the individual, such as requests for service, or City response to the decisions or action of the individual, such as regulation. The wide-ranging application of user fees for services of individual benefit or cause enables the general revenue sources of the City to be directed more fully to other services yielding broader community benefit.
c) User fees are managed by nearly every operating function within the City.
Areas where user fees will be commonly applied include:
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a. Regulatory activities, such as review and inspection of land development, construction/building, and improvements to infrastructure, and other areas of code review, compliance, and enforcement. b. Permitting, such as special events and use of public facilities, infrastructure, and services.
c. Facility rentals and use of public spaces, such as community centers, recreational sites, parks, and athletic field use.
d. Program participation.
e. Municipal operations providing service of individual benefit/request. f. Municipal operations responding to individual action. g. Licensing, billing, records management, and administration services. h. Direct-billing of City staff time.
d) Refer to the City’s Comprehensive Master Fee Schedule for a complete list of current services for which a user fee is imposed.
e) The City will identify basic tax-provided services and will establish user fees and charges for services provided in excess of basis services and/or non - taxpaying users.
f) User fees are set at the discretion of the City Council, so long as the fess conform to the requirements of Article 13C of the California Constitution, which requires a “cost of services” basis for setting fee amounts.
g) The City’s User fees will be set according to the estimates reasonable cost of service. Furthermore, user fees will bear a fair and reasonable relationship to the payer’s burdens on or benefits received from the activities and/or services provided by the City.
h) When evaluating user fees, the City will calculate the “full cost of service,” for each activity, which is the maximum fee amount allowed. The full cost of service will include components for:
i) The direct cost of service:
a. Labor associated with performance of service from all personnel involved in the activity.
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b. Services, supplies, and/or materials required to complete the activity.
j) A reasonable share of the indirect costs of service:
a. The services, supplies, and materials which support the personnel involved in the activity.
b. The indirect management, administration, and support services associated with the City functions involved in the activity. c. The central services, City management and administration, and governmental oversight associated with the functions involved in the activity.
k) Once the full cost of service is established for each activity, the City will apply a consistent set of guidelines for determining the amount of cost to be recovered in the final fee amount. A cost recovery percentage will be applied to the full cost of service to calculate the fee.
l) Figure 1 below explains the City’s guidelines for setting a cost recovery threshold for each activity where user fees are applied. The cost recovery threshold assigned to each fee-related service will be identified in the periodic analysis and documentation supporting the calculation of the City’s user fees.
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m) The City shall recalculate the full cost of activities supported by user fees to take into account inflation and other related matters. The following cost index will be used as the basis for calculating annual changes to the fee amounts:
Consumer Price Index (CPI) for the Los Angeles-Long Beach-Anaheim Metropolitan Statistical Area. The escalation amount will be the published annual percentage change calculation. The City’s Master Fee Schedule shall Item: 12
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be approved and updated by resolution in connection with the adoption of the operating budget.
n) The City will complete a thorough user fee study periodically, at least every five years, to determine the full cost of service of each activity included in the Comprehensive Master Fee Schedule. The user fee study will:
a. Analyze the direct and indirect costs associated of existing and new fee-related service provided City-wide.
b. Revisit cost recovery thresholds applied to fee related services. c. Determine updated fee amounts consistent with the cost of service basis and the City’s cost recovery at that time.
8 Accounting, Auditing, and Financial Reporting
a) The City’s accounting and financial reporting systems shall be maintained in accordance with generally accepted accounting principles (GAAP) and other standards promulgated by the GASB.
b) The City shall prepare an annual report, in an Comprehensive Annual Comprehensive Financial Report (CACFR) format, which shall conform to the reporting standards established by the Governmental Accounting, Auditing and Financial reporting (GAFR).
c) The annual financial report will be audited each year by an independent auditor. A new independent auditor shall be selected competitively, through a formal public request for proposal process, at least every six years pursuant to State law.
d) An Audit Committee shall be formed consisting of two City Council Members and the City Manager, or designee, to provide a direct line of communication between the auditor and the City Council. The City Attorney shall be available to advise the Audit Committee.
e) The City Manager will provide quarterly reports to the Audit Committee that compares year-to-date actuals with revenue and expenditure projections.
f) The City Manager will notify the City Council whenever changing operations or economic developments require corrective budgetary measures.
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9 Cash Management, Investments and Banking Relations.
a) Investments and cash management will be the responsibility of the Director of Finance/City Treasurer under the direction of the City Manager.
b) In accordance with Government Code Section 53646, the City Council will review and update annually a specific investment and portfolio policy. The primary purpose of this policy is to set forth the City’s investment philosophy and objectives. The City’s investment objectives are safety, liquidity, and yield. The policy also specifically outlines authorized investments, the acceptable percentages and maximum maturities allowed for each investment instrument and the criteria used to determine qualified depositories/dealers.
c) In the selection of banking services, a competitive public request for proposal process will be used at least every five ten years.
Policy History
1. Adopted October 20, 2020
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ATTACHMENT 15
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Adopted 3/2/2021
Policy
CITY COUNCIL POLICY: AUDIT
COMMITTEE POLICY
Adopted: 3/2/2021
Revised: 1/18/2022
1 Background.
The City Council Audit Committee is responsible for the independent review and oversight of the City government’s financial reporting process, internal controls, and independent auditors. The members of the Audit Committee shall possess or obtain a basic understanding of governmental financial reporting and auditing for the City.
As a part of the City’s auditing processes, the Audit Committee shall be available to independent financial auditors and participate as representatives of the governing body.
2 Purpose.
This policy establishes the composition, roles and responsibilities of the City Council Audit Committee as established by the Financial Management and Budgetary Policy.
3 Composition.
3.1 Representation.
An Audit Committee shall be formed consisting of two City Council Members.
Each City Council member serving on the Audit Committee shall serve for a two-year term. The initial term shall be staggered, one Council Member shall serve a onetwo- year term and the other shall serve a twothree-year term.
3.2 City Staff.
The City Manager, or designee, shall be a part of the Audit committee.
The City Attorney shall be available to advise the Audit Committee. 4 Roles and Responsibilities.
4 4.1 Council Members.
The Audit Committee shall receive quarterly reports from the City Manager.
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4.2 City Staff.
The City Manager, or designee, shall provide a direct line of communication between the auditor and the City Council.
The City Manager will provide a quarterly reports to the Audit Committee that compares year-to-date actuals with revenue projections.
The quarterly reports will include:The City Manager will provide a quarterly report to the Audit Committee communicating budgetary compliance.
▪ Status of operations or economic developments that require corrective budgetary modifications
▪ Notice if operating revenues are projected to decrease more than 10% of the adopted budget
▪ Notice if appropriations have been transferred from one department to another
▪ Notice if appropriations have been transferred from one fund to another
▪ Notice if appropriations have been transferred from one capital improvement project to another existing capital improvement project ▪ Notice if Operating Budget appropriations were carried over ▪ Notice if Capital Budget appropriations were carried over ▪ Notice if special circumstances requiring an adjustment in appropriations established in the adopted budget exist including:
o Changes to spending priorities
o Increases in operating or capital expenditures
o Decrease in operating revenues
4.3 Meetings
The Audit Committee shall meet four (4) times per calendar year.
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