Agenda packet — Lake Forest City Council, September 20, 2022

September 20, 2022

LAKE FOREST CITY COUNCIL AGENDA Page 1

AGENDA

LAKE FOREST CITY COUNCIL

Regular Meeting of the City Council
Tuesday, September 20, 2022

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://www.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 de
scriptions 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.

PUBLIC 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#.

September 20, 2022

LAKE FOREST CITY COUNCIL AGENDA Page 2

CALL TO ORDER: 6:30 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

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 Rabbi Dennis Linson, Temple Judea of Laguna Hills.

PLEDGE OF ALLEGIANCE: The Pledge of Allegiance to the Flag of our Country to be led by Council Member Tettemer.

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#.

CONSENT CALENDAR (Item Nos. 1 – 12)
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.

1. MOTION TO WAIVE READING OF 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.

September 20, 2022

LAKE FOREST CITY COUNCIL AGENDA Page 4

2. CONTINUING TO HOLD VIRTUAL MEETINGS PURSUANT TO AB 361

RECOMMENDED ACTION: Make renewed findings that a state of emergency remains in effect and that state and local officials continue to recommend measures that promote social distancing.

3. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON AUGUST 16, 2022

RECOMMENDED ACTION: Approve as submitted.

4. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON SEPTEMBER 6, 2022

RECOMMENDED ACTION: Approve as submitted.

5. AUTHORIZE CITY MANAGER TO RESPOND TO ORANGE COUNTY

GRAND JURY REPORTS RELATED TO MUNICIPAL OPERATIONS

RECOMMENDED ACTION: 1. Authorize the City Manager to submit responses on behalf of the City of Lake Forest to Orange County Grand Jury Reports that involve the municipal operations of Lake Forest.

2. Authorize the City Manager to submit information to the Orange County Grand Jury as-needed to facilitate the investigative function of the Orange County Grand Jury on behalf of the City of Lake Forest.

6. ACQUISITION OF A PORTION OF A PARCEL ON THE NORTHWEST

CORNER OF EL TORO ROAD AND PORTOLA/SANTA MARGARITA
PARKWAY (PORTION OF APN 837-462-01) FROM THE COUNTY OF
ORANGE

RECOMMENDED ACTION: 1. Approve the acquisition of property from the County of Orange as provided in the Quitclaim Deed attached hereto as Attachment 5.

2. Direct City staff to issue a check in the amount of $13,500 to the County of Orange.

3. Concur with the determination made by the Planning Commission on September 8, 2022, that the foregoing is consistent with the City’s adopted General Plan.

September 20, 2022

LAKE FOREST CITY COUNCIL AGENDA Page 4

7. AWARD CONSTRUCTION CONTRACT FOR EL TORO ROAD &

PORTOLA PARKWAY/SANTA MARGARITA INTERSECTION
IMPROVEMENTS (PW2019-03)

RECOMMENDED ACTION: 1. Approve contract documents for
construction El Toro Road & Portola Parkway/Santa Margarita Parkway Intersection Improvements.

2. Award a contract in the amount of $1,874,629.28 to MMG Engineering, Inc.

3. Reject all other bids received and authorize return of the bid bonds upon receipt of the executed contract documents from MMG Engineering, Inc.

4. Authorize the Mayor to sign, and the City Clerk to attest the contract with MMG Engineering, Inc.

8. SECOND AMENDMENT TO THE AGREEMENT WITH CHARLES
ABBOTT ASSOCIATES, INC., FOR STREET MAINTENANCE SERVICES

RECOMMENDED ACTION: 1. Approve the Second Amendment to the contract for Street Maintenance Services with Charles Abbott Associates, Inc.

2. Authorize the Mayor to sign, and the City Clerk to attest, the Second Amendment substantially in the form attached.

9. APPROVE SECOND AMENDMENT TO THE AGREEMENT WITH

STANTEC CONSULTING SERVICES FOR ON-CALL TRAFFIC

MODELING SUPPORT

RECOMMENDED ACTION: 1. Approve the Second Amendment to the agreement for On-Call Traffic Modeling Support with Stantec Consulting Services.

2. Authorize the Mayor to sign, and the City Clerk to attest, the Second Amendment with Stantec Consulting Services, substantially in the form attached.

3. Adopt a Resolution entitled: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING THE 2021- 2023 OPERATING BUDGET, AMENDING APPROPRIATIONS FOR
FISCAL YEAR 2022-23

10. RECREATION VENDOR CONTRACT INSTRUCTOR PAYMENTS

RECOMMENDED ACTION: Authorize a $16,860.20 payment to
Skyhawks, a $483.00 payment to Super Soccer Stars, and a $3,907.40 payment to Ever After Productions for the remaining enrollment revenues owed for summer 2022 season contract classes.

11. AGREEMENT FOR GRAPHIC DESIGN SERVICES

RECOMMENDED ACTION: 1. Approve the Agreement with Geographics with a total compensation amount of $70,087.50 for graphic design services of The Leaflet and Recreation Guide, In Business, and a small number of pamphlets and brochures.

2. Authorize the Mayor to sign, and the City Clerk to attest, the Agreement with Geographics, substantially in the form attached.

12. SECOND READING AND ADOPTION OF ORDINANCE NO. 357, AN

ORDINANCE OF THE CITY OF LAKE FOREST, CALIFORNIA,
REPEALING CHAPTER 9.224 AND ADDING CHAPTER 1.18 TO THE

LAKE FOREST MUNICIPAL CODE REGARDING REASONABLE

ACCOMMODATIONS

RECOMMENDED ACTION: 1. Conduct Second Reading of Ordinance No. 357, AN ORDINANCE OF THE CITY OF LAKE FOREST, CALIFORNIA, REPEALING CHAPTER 9.224 AND ADDING CHAPTER 1.18 TO THE

LAKE FOREST MUNICIPAL CODE REGARDING REASONABLE

ACCOMMODATIONS AND FINDING THE ACTION TO BE EXEMPT
FROM CEQA.

2. Adopt Ordinance No. 357.

September 20, 2022

LAKE FOREST CITY COUNCIL AGENDA Page 7

PUBLIC HEARING(S) (Item Nos. 13 – 14)
Public Hearings are scheduled for a time certain of 6:30 p.m. or as soon thereafter as possible. City Council, when considering the matter scheduled for hearing, will take the following actions: 1. Open the Public Hearing. 2. Receive staff report. 3. Accept public testimony. 4. City Council comments and questions. 5. Take appropriate action. Those wishing to address the City Council during the Public Hearing must complete a Request to Speak form and provide it to the City Clerk prior to the hearing.

13. ANNUAL REVIEW OF DEVELOPMENT AGREEMENTS

RECOMMENDED ACTION: 1. Conduct the annual review of development agreements between the City and the following parties:
a. USA Portola Properties, LLC (Baldwin);
b. Landsea Holdings ("Landsea");
c. KB Homes ("KB");
d. Lennar Homes ("Lennar");
e. Shea Homes ("Shea")
f. Toll Brothers West, Inc. (“Toll Brothers”)

2. Find that Baldwin, Landsea, KB, Lennar, Shea, and Toll Brothers are each in good faith compliance with their respective Development Agreements.

14. PUBLIC HEARING FOR THE ISSUANCE OF TAX-EXEMPT BONDS BY

THE CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT

AUTHORITY FOR USE BY MEADOWS SENIORS LP, FOR ITS

PROPOSED SENIOR AFFORDABLE HOUSING PROJECT AT THE

MEADOWS

RECOMMENDED ACTION: 1. Conduct a Tax Equity and Fiscal
Responsibility Act Hearing in consideration of the issuance of tax-exempt bond financing by the California Statewide Communities Development Authority for the benefit of Meadows Seniors LP, to provide financing for the acquisition, construction, improvement, and equipping of a 65-unit multifamily rental housing project generally known as The Meadows Senior Apartments.

2. Subject to comments and testimony received during the public hearing, adopt a Resolution entitled: A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF LAKE FOREST APPROVING THE ISSUANCE BY THE

CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT

AUTHORITY OF EXEMPT FACILITY BONDS FOR THE MEADOWS
SENIOR APARTMENTS.

September 20, 2022

LAKE FOREST CITY COUNCIL AGENDA Page 7

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 ma 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 September 15, 2022.

Lisa Berglund
City Clerk

CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: City Clerk
SUBJECT:

MOTION TO WAIVE READING OF 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: 1
8 55136.00000\34536956.1

CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: City Attorney
SUBJECT:

CONTINUING TO HOLD VIRTUAL MEETINGS PURSUANT TO AB 361
RECOMMENDED ACTION(S):

Make renewed findings that a state of emergency remains in effect and that state and local officials continue to recommend measures that promote social distancing.

EXECUTIVE SUMMARY:

The Governor has issued a series of executive orders in connection with the COVID-19 pandemic, which included a waiver of all physical-presence requirements under the Brown Act. The most recent of these orders was set to expire on September 30, 2021. Assembly Bill (“AB”) 361, which took effect as an urgency measure on September 16, leaves this determination to local agencies, subject to certain findings they must make then renew periodically to allow virtual or telephonic meetings during the pendency of the COVID-19 pandemic.

Staff recommends the City Council make renewed findings that a state of emergency remains in effect at the state level, and that local officials continue to recommend measures that promote social distancing.

BACKGROUND:

The Governor’s Executive Order N-29-20 suspended some of the Brown Act’s in- person attendance requirements, but has since expired. AB 361 extends the waiver of in-person attendance requirements, under some additional rules.

On November 2, 2021, in order to continue to have the opportunity to host virtual, hybrid, or remote meetings in a similar manner as previously permitted under the Governor’s order, the City Council made findings that a state of emergency remains in effect and that state or local officials recommend social distancing measures.

Item: 2
9 55136.00000\34536956.1
1 3
5 5
AB 361 requires that these earlier findings be renewed by the City Council every thirty (30) days in order to continue to make use of virtual or telephonic meetings and relaxed in-person attendance requirements for Council meetings.

DISCUSSION:

AB 361 permits many of the meeting adaptations allowed under the earlier Executive Order (which acted as a temporary waiver of the Brown Act’s in-person attendance requirements), while also adding new requirements to the management of remote and teleconference public meetings.

In order to continue to qualify for AB 361’s waiver of in-person meeting requirements, the Council would need to make findings within 30 days of its November 2, 2021 regular meeting that that a state of emergency remains in effect and that state or local officials recommend social distancing measures.

These findings must be renewed every 30 days for remote meetings to continue.

As the Council meets on the first and third Tuesday of every month, the Council need only renew these findings at every other regular session.

Therefore, staff recommends the City Council find and determine that a state of emergency remains in effect and that state or local officials recommend social distancing measures.

FISCAL IMPACT:

There is no fiscal impact associated with the recommended action.

ATTACHMENTS:

None.

Submitted By: City Attorney
Approved By: City Manager
Item: 2
10 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 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, August 16, 2022, at the Lake Forest City Council Chamber, 100 Civic Center Drive, Lake Forest, California, was called to order at 5:30 p.m.

ROLL CALL: Councilmembers:

Mayor Pro Tem
Mayor:

City Manager:

City Attorney:

City Clerk:

Mark Tettemer
Scott Voigts
Neeki Moatazedi (teleconference)
Doug Cirbo
Robert Pequeño
Debra Rose
Matthew Richardson
Lisa Berglund
CLOSED SESSION: (Item Nos: 1)

1. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO
GOVERNMENT CODE SECTION 54957.6 AGENCY DESIGNATED
REPRESENTATIVE: CITY MANAGER UNREPRESENTED EMPLOYEE: ALL

EMPLOYEES
ACTION: Closed session was conducted.

RECESS: The City Council recessed for the purpose of conducting closed session.

RECONVENE: The City Council reconvened public session to continue regular City business.

PUBLIC SESSION:

Upon the conclusion of closed session, Council Member Moatazedi left the meeting and was not present for the public session portion of the City Council meeting.

INVOCATION: The Invocation will be provided by Second Counselor in Bishopric, Matt Giles of the Lake Forest Ward of The Church of Jesus Christ of Latter-day Saints.

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 Richardson had no reportable action.

Item: 3
11 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 2022
Page No. 2
PRESENTATIONS: (Item No. 2)

2. RECOGNITION OF 2022 FOURTH OF JULY PARADE VOLUNTEERS,

SPECIAL GROUPS, SPONSORS AND AWARD WINNERS
ACTION: Volunteers, special groups and parade sponsors were recognized for planning and producing the 2022 Lake Forest 4th of July Parade.

PUBLIC COMMENTS:

Public comments were offered by Randy Johnson.

CONSENT CALENDAR: (Item Nos. 3 - 9)
STATEMENTS READ INTO THE RECORD:

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.

Council Member Tettemer
There is a warrant on the register to the Irvine Ranch Water District. I am an employee of the Irvine Ranch Water District, but I do not work for the department that generated this warrant. Because the Irvine Ranch Water District 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 this warrant and will vote on this warrant.

Mayor Pro Tem Cirbo
There are warrants 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 these warrants and will abstain from voting on the warrants.

MOTION: It was moved by Council Member Tettemer and seconded by Council Member Voigts to approve Consent Calendar Item Nos. 3 - 9. The motion was carried by a vote of 4/0 with Council Member Cirbo abstaining from the ACMS warrant and Council Member Tettemer dissenting on Item No. 4 and Council Member Moatazedi absent.

Item: 3
12 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 2022
Page No. 3

3. MOTION TO WAIVE RESOLUTIONS OF RESOLUTIONS AND ORDINANCES ACTION: Ordinances and Resolutions appearing on the public agenda were determined to have been read by title and further reading waived.

4. CONTINUING TO HOLD VIRTUAL MEETINGS PURSUANT TO AB 361 ACTION: Renewed findings were made that a state of emergency remains in effect and that state and local officials continue to recommend measures that promote social distancing.

5. CERTIFICATION OF WARRANT REGISTER
ACTION: The warrant register was approved in the amount of $5,004,471.05 as submitted.

6. ACCEPTANCE OF PORTOLA CENTER IMPROVEMENTS AND RELEASE OF BONDS FOR TRACT 17300, PHASE 1
ACTION: The storm drain improvements constructed by USA Portola East, LLC, a California Limited Liability Company for Tract 17300, Phase 1 were accepted as complete. The City Clerk was authorized to release Subdivision Improvement Faithful Performance and Subdivision Improvement Labor and Materials Bonds, both in the amount of $539,945. The City Clerk was authorized to release the Subdivision Improvement Warranty Bond in the amount of $53,994.50 one year after acceptance of the storm drain improvements with the concurrence of the Director of Public Works/City Engineer.

7. SECOND READING AND ADOPTION OF ORDINANCE NO. 354, AN

ORDINANCE AMENDING LAKE FOREST MUNICIPAL CODE (LFMC)
SECTION 9.04.030, CHAPTER 9.162, SECTION 9.184.020, AND SECTION

9.184.040 TO REQUIRE A WIRELESS COMMUNICATION FACILITY (WCF) PERMIT FOR CLASS 4, CLASS 7, AND CLASS 8 WCFS, IN LIEU OF A

CHANGED PLAN AND SITE DEVELOPMENT PERMIT RESPECTIVELY, AND

PROCESSING PROCEDURES FOR CONSISTENCY WITH STATE AND

FEDERAL LAW
ACTION: A second reading was conducted of Ordinance No. 354 entitled: AN

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING SECTION 9.04.030, CHAPTER 9.162, SECTION

9.184.020, AND SECTION 9.184.040 OF THE LAKE FOREST MUNICIPAL

CODE REGARDING WIRELESS COMMUNICATION FACILITIES AND
FINDING THE ACTION EXEMPT FROM CEQA. Adopt Ordinance No. 354.

Item: 3
13 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 2022
Page No. 4

8. CONTRACT AWARD FOR ELECTRONIC DOCUMENT MANGEMENT

SOFTWARE AND SERVICES
ACTION: A Professional Service Agreement was approved with ECS Imaging, Inc, in the amount of $122,700 for Electronic Document Management software and services. The Mayor was authorized to sign, and the City Clerk to attest, the Agreement with ECS imaging, Inc., substantially in the form attached.

9. AWARD OF CONTRACT FOR PARKING PERMIT AND CITIATION

PROCESSING PROGRAM
ACTION: An agreement was awarded for the Parking Permit and Citation Processing Program in the amount of $175,738.20 to Data Ticket, Inc. for administration of a parking permit processing program and parking citation processing services. The Mayor was authorized to sign, and the City Clerk to attest the Agreement with Data Ticket, Inc., substantially in the form attached.

PUBLIC HEARING: (Item Nos. 10 – 14)

10. AN ORDINANCE AMENDING SECTION 9.146.050 - ACCESSORY

DWELLING UNITS, OF THE LAKE FOREST MUNICIPAL CODE FOR
CONSISTENCY WITH CALIFORNIA ASSEMBLY BILL 345 AND RECENTLY

ISSUED GUIDANCE FROM CALIFORNIA DEPARTMENT OF HOUSING AND

COMMUNITY DEVELOPMENT
Mayor Pequeño opened the public hearing. City Manager Rose introduced Senior Planner Ron Santos to provide a presentation to the Council. Mr. Santos provided a verbal report to the City Council. No public testimony was offered.

Mayor Pequeño closed the public hearing.

Mayor Pro Tem Cirbo made a motion to introduce for first reading an ordinance entitled: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING SECTION 9.146.050 OF THE LAKE

FOREST MUNICIPAL CODE GOVERNING ACCESSORY DWELLING UNITS

AND JUNIOR ACCESSORY DWELLING UNITS AND FINDING THE ACTION TO BE EXEMPT FROM CEQA. The motion was seconded by Council Member Tettemer. The motion passed unanimously 4/0 with Council Member Moatazedi absent.

Item: 3
14 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 2022
Page No. 5

11. REVISED "2021-2029 HOUSING ELEMENT" OF THE GENERAL PLAN Mayor Pequeño opened the public hearing. City Manager Rose introduced Assistant Community Development Director Amy Stonich to provide a verbal presentation to the Council. Assistant Director Stonich provided a report to the City Council. Questions were asked and answered. Public testimony was offered by Randy Johnson. Mayor Pequeño closed the public hearing.

Council Member Tettemer made a motion to introduce for first reading a resolution entitled: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, ADOPTING THE REVISED “2021-2029 HOUSING ELEMENT” OF THE GENERAL PLAN. The motion was seconded by Council Member Voigts. The motion passed unanimously 4/0 with Council Member Moatazedi absent.

12. AN ORDINANCE APPROVING MIXED-USE ZONING AMENDMENT (ZC) 03- 22-5511
Mayor Pequeño opened the public hearing. City Manager Rose introduced Senior Planner Marie Luna to provide a presentation to the Council. Ms. Luna provided a report to the City Council. Questions were asked and answered.

Public testimony was offered by Randy Johnson. Mayor Pequeño closed the public hearing.

MOTION: Council Member Voigts made a motion finding that Zoning Code Amendment (ZC) 03- 22-5511(Project) meets the conditions for a streamlined environmental review process in accordance with CEQA Guidelines Section 15183 (Projects Consistent with a Community Plan or Zoning). The Project is consistent with the 2040 General Plan, for which an EIR was prepared and certified, and there are no site-specific or cumulative impacts associated with the proposed Project that have not been fully addressed in a previous environmental document, or that cannot be mitigated to a less than-significant level through the application of uniformly applied development policies and/or standards. This evaluation concludes the proposed Project, a City-initiated zoning code amendment to amend the City’s Zoning Map and various provisions of the Lake Forest Municipal Code regarding Mixed- Use zoning districts and associated regulations, development and design standards and amending the following planned community texts regarding the same: Foothill Ranch, Pacific Commercentre, Lake Forest, El Toro Planned Community, and Rancho de los Alisos, is within the scope of the 2040 General Plan EIR, and that no further CEQA documentation is required. The first reading an Ordinance entitled: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA APPROVING ZONING CODE AMENDMENT (ZC) 03- 22-5511 AMENDING THE CITY’S ZONING MAP AND VARIOUS PROVISIONS Item: 3
15 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 2022
Page No. 6

OF THE LAKE FOREST MUNICIPAL CODE REGARDING MIXED-USE

ZONING DISTRICT AND ASSOCIATED REGULATIONS, DEVELOPMENT

AND DESIGN STANDARDS AND AMENDING THE FOLLOWING PLANNED COMMUNITY TEXTS REGARDING THE SAME; FOOTHILL RANCH, PACIFIC

COMMERCENTRE, LAKE FOREST, EL TORO, AND RANCHO DE LOS
ALISOS PLANNED COMMUNITIES; AND DETERMINING THAT NO

ADDITIONAL ENVIRONMENTAL REVIEW IS NECESSARY FOR THE
ORDINANCE UNDER STATE CEQA GUIDELINES SECTION 15183 was introduced. The motion was seconded by Mayor Pro Tem Cirbo. The motion passed unanimously 4/0 with Council Member Moatazedi absent.

13. A PUBLIC HEARING PURSUANT TO HEALTH AND SAFETY CODE SECTION 34312.3 REGARDING THE PURCHASE OF LAND GENERALLY LOCATED NORTH OF EL TORO RD., AND SOUTH OF JERONIMO RD., IN THE CITY OF LAKE FOREST, CALIFORNIA, COUNTY OF ORANGE (APN:
614-021-31) AND CONSIDERATION OF THE RELATED PURCHASE VIA

CERTIFICATE OF ACCEPTANCE AND TAKING RELATED ACTIONS

BETWEEN THE LAKE FOREST HOUSING AUTHORITY AND THE CITY OF

LAKE FOREST
This item is a companion item with Housing Authority Agenda item 3.

Mayor Pequeño opened the public hearing. City Manager Rose introduced Senior Management Analyst Adrian Grijalva to provide a presentation to the Council. Mr. Grijalva provided a report to the City Council. Questions were asked and answered. The public comments were offered. Mayor Pequeño closed the public hearing.

Council Member Voigts made a motion to adopt a resolution entitled: A

RESOLUTION OF THE CITY OF LAKE FOREST AUTHORIZING APPROVAL

OF THE PURCHASE OF THAT CERTAIN PROPERTY NORTH OF EL TORO RD., AND SOUTH OF JERONIMO RD., (APN: 614-021-31) AND ACCEPTING

THE PROPERTY FROM THE HOUSING AUTHORITY VIA CERTIFICATE OF ACCEPTANCE, AND TAKING RELATED ACTIONS, and a resolution entitled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING THE 2021-2023 OPERATING BUDGET;
AMENDING APPROPRIATIONS FOR FISCAL YEAR 2022-23, and finally found that the foregoing action is exempt from environmental review under the California Environmental Quality Act pursuant to CEQA Guidelines (Cal. Code.

Regs. Title 14) Section 15312. The motion was seconded by Council Member Cirbo. The motion passed unanimously 4/0 with Council Member Moatazedi absent.

Item: 3
16 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 2022
Page No. 7

14. AN ORDINANCE OF THE CITY OF LAKE FOREST, CALIFORNIA, REPEALING CHAPTER 9.224 AND ADDING CHAPTER 1.18 TO THE LAKE

FOREST MUNICIPAL CODE REGARDING REASONABLE

ACCOMMODATIONS
Mayor Pequeño opened the public hearing and offered the public an opportunity to provide public comment. No public comments were given.

MOTION: Council Member Tettemer made a motion to continue the public hearing to September 6, 2022. The motion was seconded by Council Member Voigts. The motion passed 4/0 with Council Member Moatazedi absent.

DISCUSSION: (Item No. 15 - 16)

15. 2021-2028 CAPITAL IMPROVEMENT PROGRAM UPDATE
City Manager Rose introduced City Engineer Doug Erdman to provide a presentation to the Council. Mr. Erdman provided a report to the City Council.

Questions were asked and answered.

MOTION: Mayor Pequeño and the City Council received and filed this presentation.

16. LEAGUE OF CALIFORNIA CITIES VOTING DELEGATE AND ALTERNATE City Manager Rose summarized this item.

MOTION: Council Member Voigts made a motion to appoint Mayor Pequeño to serve as the delegate and Council Member Tettemer to serve as the alternate.

The motion was seconded by Council Member Tettemer. The motion passed 4/0 with Council Member Moatazedi absent.

CITY MANAGERS REPORT:

City Manager Rose had nothing further to report this evening.

Item: 3
17 LAKE FOREST CITY COUNCIL MINUTES AUGUST 16, 2022
Page No. 8
CITY COUNCIL COMMENTS:

Council Member Tettemer: Council Member Tettemer attended an Eagle Scout event Court of Honor this past weekend.

Thursday, there will be an event at the Performing Arts Center on August 18, 2022 with NASA ambassadors
displaying images from the Webb telescope
Council Member Voigts: Council Member Voigts had no further comments this evening.

Mayor Pro Tem Cirbo: Mayor Pro Tem Cirbo attended an Eagle Scout event Court of Honor this past weekend.

He also shared his appreciation for the work that is
done by our City Commissions.

Mayor Pequeño: Mayor Pequeño announced that he is adopting a pug names Edna through the Pet Adoption Center. He
further announced that you can donate necessary
items to the Pet Adoption Center by going to their
website.

Mayor Pequeño attended an Eagle Scout event Court
of Honor this past weekend. He was very impressed
by the two Eagle Scouts.

Lastly the Mayor thanked staff for their hard work.

ADJOURNMENT: The regular meeting of the City Council was adjourned at 7:57 p.m.

Respectfully submitted: APPROVED:

LISA BERGLUND, MPA ROBERT PEQUEÑO

CITY CLERK MAYOR
Item: 3
18 LAKE FOREST CITY COUNCIL MINUTES SEPTEMBER 6, 2022
Page No. 1
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0 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, September 6, 2022, at the Lake Forest City Council Chamber, 100 Civic Center Drive, Lake Forest, California, was called to order at 5:30 p.m.

ROLL CALL: Councilmembers:

Mayor Pro Tem
Mayor:

City Manager:

City Attorney:

City Clerk:

Mark Tettemer
Scott Voigts
Neeki Moatazedi (teleconference)
Doug Cirbo
Robert Pequeño (teleconference)
Debra Rose
Matthew Richardson
Lisa Berglund
CLOSED SESSION: (Item Nos: 1)

1. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION

SIGNIFICANT EXPOSURE TO POTENITIAL LITIGATION PURSUANT TO GOVERNMENT CODE 54956.9 (D)(2) IN ONE CASE
RECOMMENDED ACTION: Closed session was conducted in one matter of anticipated litigation.

RECESS: City Council recessed to Closed Session for the purpose of conducting regular City business.

RECONVENE: City Council reconvened to continue regular City business in public session.

PUBLIC SESSION:

INVOCATION: The Invocation was provided by Pastor Araceli L. Godoy, Church Plant Liaison, Faro Church.

PLEDGE OF ALLEGIANCE: The Pledge of Allegiance to the Flag of our Country was led by Council Member Voigts.

CLOSED SESSION REPORT: City Attorney had no reportable action from the closed session discussion.

REPORT FROM STUDENT LIAISON: Sam Quiambao provided a report of the upcoming student activities at El Toro High School.

Item: 4
19 LAKE FOREST CITY COUNCIL MINUTES SEPTEMBER 6, 2022
Page No. 2
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0 PRESENTATIONS: (Item Nos. 2-4)
MOTION: Council Member Voigts made a motion to approve presentation Item Nos. 2 -

4. The motion was seconded by Council Member Tettemer. The motion passed unanimously 5/0.

2. A PRESENTATION OF AWARD FROM THE AMERICAN SOCIETY OF CIVIL

ENGINEERS FOR THE SANTIAGO CANYON ROAD HIGHWAY SAFETY

IMPROVEMENT PROJECT
ACTION: The presentation was received and filed of award for the Santiago Canyon Road Highway Safety Improvement Project.

3. CONSIDER A PROCLAMATION DECLARING SEPTEMBER 2022 AS

HUNGER ACTION MONTH
MOTION: Council Member Voigts made a motion to approve presentation Item No. 3. The motion was seconded by Council Member Tettemer. The motion passed unanimously 5/0.

ACTION: A proclamation was presented designating September 2022 as “Hunger Action Month”

4. PROCLAMATION DESIGNATING SEPTEMBER 2022 AS NATIONAL

PREPAREDNESS MONTH
Public comment was received from Heiko Peschel.

MOTION: Council Member Voigts made a motion to approve presentation Item No. 4. The motion was seconded by Council Member Tettemer. The motion passed unanimously 5/0.

ACTION: A proclamation was presented designating September 2022 as National Preparedness Month
PUBLIC COMMENTS:

Public comments were offered by Sudu Chalan, Randy Johnson and Heiko Peschel.

Item: 4
20 LAKE FOREST CITY COUNCIL MINUTES SEPTEMBER 6, 2022
Page No. 3
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0 CONSENT CALENDAR: (Item Nos. 5 - 16)
STATEMENTS READ INTO THE RECORD:

Council Member Tettemer: There is a warrant on the register to the Irvine Ranch Water District. I am an employee of the Irvine Ranch Water District, but I do not work for the department that generated this warrant. Because the Irvine Ranch Water District 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 this warrant and will vote on this 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.

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 I have a remote interest in this warrant and will abstain from voting on that warrant.

Public Comments:

Item Nos. 8, 12 and 14 were pulled for public comment. Public comment was received on these three items from Randy Johnson.

MOTION: It was moved by Council Member Voigts and seconded by Council Member Tettemer to approve Consent Calendar Item Nos. 5 - 16. The motion was carried by a vote of 5/0 with Council Member Moatazedi abstaining from voting on the Gas Company warrant listed in Item No. 6.

5. MOTION TO WAIVE RESOLUTIONS OF RESOLUTIONS AND ORDINANCES ACTION: Said Ordinances and Resolutions which appear on the public agenda were determined to have been read by title and further reading was waived.

6. CERTIFICATION OF WARRANT REGISTER
ACTION: The warrant register was approved in the amount of $4,199,843.04.

7. MONTHLY TREASURER'S REPORT - JULY 2022
ACTION: The Treasurer’s report was received and field.

8. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON JULY 20, 2021
ACTION: The minutes were approved as submitted.

Item: 4
21 LAKE FOREST CITY COUNCIL MINUTES SEPTEMBER 6, 2022
Page No. 4
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0 9. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON JUNE 21, 2022
ACTION: The minutes were approved as submitted.

10. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON JULY 5, 2022
ACTION: The minutes were approved as submitted.

11. MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL HELD ON JULY 19, 2022
ACTION: The minutes were approved as submitted.

12. LEGISLATIVE MATTERS
Council Member Tettemer made a comment to the City Manager requesting that staff add to the legislative report the positions of the city’s representatives on the bills listed in the report.

ACTION: The legislative update was received and filed. Staff’s recommendation to oppose Senate Bill 1127 was approved with no objections heard. Council Member Tettemer’s comments were received and filed.

13. SECOND READING AND ADOPTION OF ORDINANCE NO. 355 AN

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING SECTION 9.146.050 OF THE LAKE FOREST

MUNICIPAL CODE GOVERNING ACCESSORY DWELLING UNITS AND

JUNIOR ACCESSORY DWELLING UNITS AND FINDING THE ACTION TO BE

EXEMPT FROM CEQA
ACTION: The second reading of Ordinance No. 355, “AN ORDINANCE OF THE

CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING SECTION 9.146.050 OF THE LAKE FOREST MUNICIPAL CODE GOVERNING

ACCESSORY DWELLING UNITS AND JUNIOR ACCESSORY DWELLING
UNITS AND FINDING THE ACTION TO BE EXEMPT FROM CEQA” occurred and the Ordinance No. 355 was adopted.

14. SECOND READING AND ADOPTION OF ORDINANCE NO. 356, AN

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA APPROVING ZONING CODE AMENDMENT (ZC) 03-22-5511 AMENDING THE CITY’S ZONING MAP AND VARIOUS PROVISIONS OF THE

LAKE FOREST MUNICIPAL CODE REGARDING MIXED-USE ZONING

DISTRICT AND ASSOCIATED REGULATIONS, DEVELOPMENT AND DESIGN

STANDARDS AND AMENDING THE FOLLOWING PLANNED COMMUNITY
Item: 4
22 LAKE FOREST CITY COUNCIL MINUTES SEPTEMBER 6, 2022
Page No. 5
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0 TEXTS REGARDING THE SAME; FOOTHILL RANCH, PACIFIC

COMMERCENTRE, LAKE FOREST, EL TORO, AND RANCHO DE LOS
ALISOS PLANNED COMMUNITIES; AND DETERMINING THAT NO

ADDITIONAL ENVIRONMENTAL REVIEW IS NECESSARY FOR THE
ORDINANCE UNDER STATE CEQA GUIDELINES SECTION 15183
ACTION: The second reading of Ordinance No. 356 “AN ORDINANCE OF THE

CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA APPROVING ZONING CODE AMENDMENT (ZC) 03-22-5511 AMENDING THE CITY’S

ZONING MAP AND VARIOUS PROVISIONS OF THE LAKE FOREST

MUNICIPAL CODE REGARDING MIXED-USE ZONING DISTRICT AND

ASSOCIATED REGULATIONS, DEVELOPMENT AND DESIGN STANDARDS

AND AMENDING THE FOLLOWING PLANNED COMMUNITY TEXTS
REGARDING THE SAME; FOOTHILL RANCH, PACIFIC COMMERCENTRE,

LAKE FOREST, EL TORO, AND RANCHO DE LOS ALISOS PLANNED
COMMUNITIES; AND DETERMINING THAT NO ADDITIONAL

ENVIRONMENTAL REVIEW IS NECESSARY FOR THE ORDINANCE UNDER STATE CEQA GUIDELINES SECTION 15183” occurred and the Ordinance No. 356 was adopted.

15. AWARD OF CONTRACT FOR SAFE STEP IMPROVEMENT PROJECT ACTION: Contract documents for Safe Step Improvement Project (PW 2021-02) were approved. Any bid irregularities and immaterial forms considered inconsequential deviations to the award of contract were waived. A award of contract was approved to All Cities Engineering, Inc with a contract price of $720,314.25. All other bids received were rejected and bid binds were authorized to be returned upon receipt of the executed contract documents from All Cities Engineering, Inc. The Mayor was authorized to sign, and the City Clerk was authorized to attest the contract with All Cities Engineering, Inc. The City Manager was authorized to approve contract change orders up to a maximum of ten percent of the contract amount. Lastly, a resolution entitled, “A

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING THE 2021-2023 OPERATING
BUDGET, AMENDING THE 2021-2028 CAPITAL IMPROVEMENT PLAN, AND AMENDING APPROPRIATIONS FOR FISCAL YEAR 2022-23” was adopted.

16. AWARD OF CONTRACT FOR REPLACEMENT OF SERVERS AND STORAGE

AREA NETWORK
ACTION: A professional consultant services agreement with Abtech Technologies, in the amount of $115,704.00 for replacement of servers and Storage Area Network was approved. The Mayor was authorized to sign, and the City Clerk to attest, the Agreement with Abtech Technologies, substantially in the form presented.

Item: 4
23 LAKE FOREST CITY COUNCIL MINUTES SEPTEMBER 6, 2022
Page No. 6
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0 PUBLIC HEARING: (Item Nos. 17 – 18)

17. CONTINUED PUBLIC HEARING REGARDING AN ORDINANCE OF THE CITY OF LAKE FOREST, CALIFORNIA, REPEALING CHAPTER 9.224 AND ADDING CHAPTER 1.18 TO THE LAKE FOREST MUNICIPAL CODE

REGARDING REASONABLE ACCOMMODATIONS

This hearing was open on September 6, 2022, and continued to this evening.

Mayor Pro Tem Cirbo continued the public hearing. City Manager Rose introduced Senior Planner Ron Santos to provide a presentation to the Council.

Mr. Santos provided a verbal report to the City Council. No public testimony was offered, and no comments had been received to date. Mayor Pro Tem Cirbo closed the public hearing.

MOTION: Council Member Voigts made a motion to introduce for first reading an Ordinance entitled, “AN ORDINANCE OF THE CITY OF LAKE FOREST, CALIFORNIA, REPEALING CHAPTER 9.224 AND ADDING CHAPTER 1.18

TO THE LAKE FOREST MUNICIPAL CODE REGARDING REASONABLE

ACCOMMODATIONS AND FINDING THE ACTION TO BE EXEMPT FROM CEQA.” The motion was seconded by Council Member Tettemer. The motion passed unanimously 5/0.

18. FISCAL YEAR 2021-22 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) CONSOLIDATED ANNUAL PERFORMANCE EVALUATION REPORT (CAPER) AND CAPITAL IMPROVEMENTS PLAN APPROPRIATIONS

AMENDMENT

Mayor Pro Tem Cirbo opened the public hearing. City Manager Rose introduced Senior Planner Ron Santos to provide a presentation to the Council.

Mr. Santos provided a verbal report to the City Council. No public testimony was offered. City Council questions were asked and answered. Discussion ensued and comments were received from Council Members Tettemer and Voigts. Mayor Pro Tem Cirbo closed the public hearing.

MOTION: Council Member Voigts made a motion to adopt a resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, APPROVING THE FY 2021-22 CONSOLIDATED ANNUAL

PERFORMANCE EVALUATION REPORT FOR THE CITY'S COMMUNITY
DEVELOPMENT BLOCK GRANT PROGRAM” and adopt a second resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING THE 2021-2028 CAPITAL

IMPROVEMENTS PLAN, AMENDING APPROPRIATIONS FOR FISCAL YEAR 2022-23”. The motion was seconded by Council Member Tettemer. The motion passed unanimously 5/0.

Item: 4
24 LAKE FOREST CITY COUNCIL MINUTES SEPTEMBER 6, 2022
Page No. 7
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0 CITY MANAGERS REPORT:

City Manager Rose had nothing further to report.

CITY COUNCIL COMMENTS:

Council Member Moatazedi: Council Member Moatazedi had no further comments this evening.

Council Member Tettemer: Council Member Tettemer had no further comments this evening.

Council Member Voigts: Council Member Voigts expressed his enjoyment of the final concert in the park and car show. Staff did a great job on the city’s summer programming.

Mayor Pro Tem Cirbo: Mayor Pro Tem Cirbo had no further comments this evening.

Mayor Pequeño: Mayor Pequeño thanked staff for all of their great work.

ADJOURNMENT: The regular meeting of the City Council was adjourned at 7:30 p.m.

Respectfully submitted: APPROVED:

LISA BERGLUND, MPA ROBERT PEQUEÑO

CITY CLERK MAYOR
Item: 4
25 CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: City Manager
SUBJECT:

AUTHORIZE CITY MANAGER TO RESPOND TO ORANGE COUNTY GRAND

JURY REPORTS RELATED TO MUNICIPAL OPERATIONS
RECOMMENDED ACTION(S):

1. Authorize the City Manager to submit responses on behalf of the City of Lake Forest to Orange County Grand Jury Reports that involve the municipal operations of Lake Forest.

EXECUTIVE SUMMARY:

In California, all counties are required to impanel a body of citizens (23 or 19 citizens, depending on county population) to serve for a term of one year on the Grand Jury. The Grand Jury is mandated to investigate and report on both criminal and civil matters within the county. Typically, the grand jury performs civil investigations, but can also process criminal indictments. Civil investigations account for the majority of the Grand Jury’s business.

The civil, or "watchdog" responsibilities of the Grand Jury include the examination of all aspects of county government, including special districts, to ensure the county is being governed honestly and efficiently and county monies are being handled appropriately. The grand jury is mandated by law to inquire into the conditions and management of public jails.

Investigations may be conducted on public agencies, the administration and affairs of any city within Orange County, or to examine books and records of redevelopment agencies. It is also appropriate for any private citizen, county official or county employee to present a written complaint to a grand jury for investigation.

During its term, the grand jury may select the government affairs which it wishes to investigate. These investigations are conducted by Grand Jury committees in Item: 5
26 cooperation with the departments and agencies of the county. Committees may ask for support and advice from Superior Court, District Attorney's office, County Counsel or outside consultants.

The City of Lake Forest is occasionally contacted by the Grand Jury or identified as part of an investigation involving municipal governance, such as law enforcement, animal care, government procurement, and other affairs related to municipal operations. Staff recommends the City Council authorize the City Manager to submit responses to investigations being performed or reports produced by the Grand Jury. Authorizing the City Manager to submit this information on behalf of the City will facilitate an efficient exchange of information to the Grand Jury, which will assist the group in completing investigations.

FISCAL IMPACT:

There is no fiscal impact associated with the recommended action.

ATTACHMENTS:

None.

Initiated By: Sean McGovern, Assistant to the City Manager Submitted By: Debra Rose, City Manager
Approved By: Debra Rose, City Manager
Item: 5
27 CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: Public Works
SUBJECT:

ACQUISITION OF A PORTION OF A PARCEL ON THE NORTHWEST

CORNER OF EL TORO ROAD AND PORTOLA/SANTA MARGARITA
PARKWAY (PORTION OF APN 837-462-01) FROM THE COUNTY OF
ORANGE
RECOMMENDED ACTION(S):

1. Approve the acquisition of property from the County of Orange as provided in the Quitclaim Deed attached hereto as Attachment 5.

2. Direct City staff to issue a check in the amount of $13,500 to the County of Orange.

3. Concur with the determination made by the Planning Commission on September 8, 2022, that the foregoing is consistent with the City’s adopted General Plan.

EXECUTIVE SUMMARY:

The Lake Forest Transportation Mitigation ("LFTM") project at the intersection of El Toro Road and Portola Parkway/Santa Margarita Parkway will add a second eastbound left-turn lane and second dedicated westbound right-turn lane from El Toro Road to Portola Parkway. Additional right-of-way from the County of Orange, adjacent to El Toro Road, is needed for this improvement. The subject parcel was appraised, and on April 14, 2021, the City submitted an offer of $13,500 for the property to the County of Orange, conditional upon formal action of City Council authorizing the purchase. The funds for acquisition of the subject parcel are included in the LFTM Budget for the El Toro Road & Portola Parkway/Santa Margarita Intersection Improvements (PW2019-03).

Item: 6
28 2
1 8
8 BACKGROUND:

On June 18, 2019, the City Council adopted the Fiscal Year 2019-2021 Capital Improvement Projects, which included project PW 2019-03 to add a second eastbound left-turn lane and second dedicated westbound right-turn lane on El Toro Road at Portola Parkway/Santa Margarita Parkway (see Graphic 1).

Graphic 1: PW 2019-03 Project Map
The project was identified in the LFTM program and uses LFTM funds.

To accommodate the second westbound right-turn lane on El Toro Road, the City is acquiring approximately 7,474 square feet of land from the County of Orange (portion of APN 837-462-01) that is directly adjacent to El Toro Road right-of- way. Graphic 2 shows the general location of the property proposed to be acquired and the surveyor’s exhibit (Attachment 1) is included with this report that shows the specific location of the property.

Item: 6
29 2
1 8
8 Graphic 2: General location of the proposed property
The City had the subject property appraised (Attachment 2) and based on the appraisal, an offer of $13,500 was made to the County of Orange on April 14, 2021 (Attachment 3). In the letter, the offer was contingent upon the City Council ratifying the offer by formal action taken at a regular public meeting.

DISCUSSION:

On June 28, 2022, the transaction was approved by the Orange County Board of Supervisors and a quitclaim deed for the parcel was signed (Attachment 4). The County is requesting a check for $13,500, the amount in the City’s offer letter, prior to the recording of the quitclaim.

Section 65402(a) of the State Government Code provides, in part, that a City shall not acquire real property nor dispose of any real property, until the location, purpose, and extent of such activity has been reported upon as to the conformity with the City’s adopted General Plan. Accordingly, staff prepared a General Plan Conformance for the acquisition of the property and brought the item to the Planning Commission.

At the September 8, 2022, Planning Commission meeting, the commission adopted a Resolution entitled: “A RESOLUTION OF THE PLANNING COMMISSION

OF THE CITY OF LAKE FOREST, CALIFORNIA, MAKING CERTAIN FINDINGS UNDER CALIFORNIA GOVERNMENT CODE SECTION 65402 REGARDING THE

ACQUISITION OF A PORTION OF A PARCEL ON THE NORTHWEST CORNER OF Item: 6
30 2
1 8
8 EL TORO ROAD AND PORTOLA PARKWAY (PORTION OF APN 837-462-01) FROM THE COUNTY OF ORANGE” (Attachment 5).

The resolution made the finding that the acquisition of the County property is consistent with the General Plan Mobility Element’s Goal M-2, which encourages the City to provide a vehicular transportation system with adequate levels of traffic flow and operations while maximizing efficiency. In addition, the project implements the General Plan policies M-2.1: Vehicle Level of Service (LOS) and M-2.3: Monitoring and Implementing Improvements. Therefore, in accordance with California Government Code Section 65402, the acquisition of a portion of the County parcel (APN: 837-462-01) is consistent with the City of Lake Forest’s General Plan, specifically the General Plan’s Mobility Element.

To complete the transaction, staff recommends the City Council would approve the acquisition of the property from the County and concur with the determinations of the Planning Commission resolution findings and direct staff to provide the County with a check in the amount of the offer, $13,500.

FISCAL IMPACT:

The fiscal impact of the recommended action is $13,500 for the acquisition of the parcel described by the quitclaim. The funds for acquisition of the subject parcel are included in the LFTM Budget for the El Toro Road & Portola Parkway/Santa Margarita Intersection Improvements (PW2019-03).

ATTACHMENTS:

1. Surveyor’s Map of Subject Parcel

2. Appraisal Summary Statement

3. City’s Offer Letter to County of Orange

4. Planning Commission Resolution GPC 07-22-5554

5. Quitclaim from County of Orange
Initiated By: Douglas Erdman, Assistant City Engineer
Submitted By: Thomas E. Wheeler, P.E., Director of Public Works/City Engineer Approved By: Debra Rose, City Manager
Item: 6
31 Attachment 1
Item: 6
32 Item: 6
33 Attachment 2
Item: 6
34 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

ATTACHMENT NO. 1

APPRAISAL SUMMARY STATEMENT

STREET RIGHT OF WAY DEDICATION

NEC PORTOLA PARKWAY AND EL TORO ROAD

CITY OF LAKE FOREST
ASSESSOR’S PARCEL NO. 837-462-01

DATE OF REPORT: April 5, 2021

DATE OF VALUE: March 22, 2021

INTEREST TO BE ACQUIRED: Partial Acquisition

PROJECT DESCRIPTION:

T h e C i t y o f L a k e F o r e s t h a s d e c i d e d t o a p p r a i s e a l l o r a portion of the subject prope rty known by the County of Orange’s Assessor’s Parcel No. 837-462-01 located on the northeast corner of Portola Parkway and El Toro Road
northeast of the 5 Freeway in the City of Lake Forest,
County of Orange with an address of 0000 El Toro Rd,
Lake Forest, CA 92630. The project will create a street right of way dedication affecting one property. The
project will benefit both the subject property as well as the community as a whole as it will improve traffic flow.

The subject is a 1.21-acre or 52,917-square-foot site
( l a r g e r p a r c e l ) . T h e s u b j e c t i s i m p r o v e d w i t h pedestrian/bike trail owned by County of Orange. The
Project proposes to acquire (“take”) a 4,087 square feet portion of APN# 837-462-01 for a permanent street right of way dedication.

PROPERTY SUMMARY:

APN Site Address Owner Name Zoning Site Size
837-462-01

0000 El Toro Rd, Lake
Forest, Orange County,
California 92630

COUNTY OF
ORANGE

52,917 SF

Item: 6
35 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

SUBJECT PROPERTY DATA:

The subject property is improved with a pedestrian/bike trail a nd has curbs, gutters, and sidewalks along the street frontage of Portola Parkway and El Toro Road. The site is level to sloped and is elongated in shape. It is assumed that all utilities are availa ble and adequate for the current use. The site has a corner lot location with good visibility and access. A p a r c e l s u r v e y m a p a n d l e g a l description of the subject site is presented on the following p ages. The highest and best use of the subject “as vacant” is as open space for a pedestrian/bike trail.

Item: 6
36 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

PARCEL MAP – STREET RIGHT OF WAY DEDICATION

Item: 6
37 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

LEGAL DESCRIPTION – STREET RIGHT OF WAY DEDICATION (PART 1 OF 2)

Item: 6
38 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

LEGAL DESCRIPTION – STREET RIGHT OF WAY DEDICATION (PART 2 OF 2)

Item: 6
39 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

Description of Parts to be Acquired
Take Area(s): A permanent taking for a street right of way dedication of 4, 087 square feet.

Basis of Just Condemnation
The fair market value for the property to be acquired is based upon an appraisal, prepared in accordance with accepted appraisal principles and methodologies (see attached Definitions). The amount of this offer is the full amount believed to be Just Compensation for the subject property.

Any increase or decrease in the fair market value of the subjec t p r o p e r t y a s o f t h e d a t e o f v a l u e caused by the public improvement for which such property is bei ng acquired, other than that due to physical deterioration within th e reasonable control of the pro perty owner, has been disregarded in determining Just Compensation.

Appraisal Methodology
There are three recognized methods employed when valuing real p roperty–(1) the Sales Comparison Approach, (2) the Income Approach and (3) the Replacement Cost Approach. The value estimates, as indicated by the three approaches, are then reconciled into a f inal estimate of the property’s market value. In the final reconciliation, the appraiser weights the relative significance, defensibility and applicability of each approach depending on the quantity and qu ality of data and upon the type of property being appraised.

There appears to be unity of title and contiguity with the owne rship and use of the subject property.

T h e p r o j e c t i s f o r a s t r e e t r i g h t o f w a y d e d i c a t i o n o n o n e p r o perty. The project will require permanent and temporary interests in one property in the Project area.

Specific take areas pertaining to the subject property will be discussed in the following valuation section. Since the acquisition (take) area involves only land, we have valued the land only for the purpose of this appraisal. The Sales Comparison Approach is th e m o s t a p p l i c a b l e a p p r o a c h f o r valuing land and thus is the only approach utilized in this app raisal. Furthermore, the acquisitions are not expected to have a significant impact on the continuing use of the subject property as vacant. In conclusion, this analysis will be performed utilizi ng the theory of the “Larger Parcel”. For the purposes of this appraisal, the “Larger Parcel” will refer to the subject site “as vacant” and unimproved.

Item: 6
40 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

Sales Comparison Approach
The Sales Comparison Approach is a method of estimating market value whereby a subject property is compared with comparable properties that have sold recently or are available for purchase. One premise of the Sales Comparison Approach is that the market wil l determine a price for the property being appraised in the same manne r that it determines the price s of comparable, competitive properties. Essentially, the Sales Comparison Approach is a sy stematic procedure for carrying out comparative shopping. As applied to real estate, the compariso n is applied to the unique characteristics of the economic good that causes real estate prices to vary.

Item: 6
41 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

COMPARABLE LAND SALE ADJUSTMENT GRID

Subject Sale # 1 Sale # 2 Sale # 3 Sale # 4 Sale # 5
Date of Value & Sale 3/22/21 12/22/20 9/14/20 2/28/20 2/20/20 1/21/20 Property Name Agricultural Land Open Space Land Open Space Land Ope n Space Land Residential Hillside Land Residential Land Address NEC El Toro Road and SR 241 & El Toro Rd. Rancho Pkwy. He wes St. 18514-18682 Santiago Canyon Road 12380 Circulo Panorama City Lake Forest Mission Viejo Lake Forest Orange Silverado Santa Ana APN 837-462-01 839-273-04 612-212-01, 02, 03 378-444-04 858-011-06,08,0 9 & 858-021-02,16,17 094-221-49 Gross Acres 1.21 ac 12.62 ac 4.06 ac 1.00 ac 32.90 ac 0.43 ac Gross Square Feet 52,917 sf 549,553 sf 176,854 sf 43,560 sf 1,433,12 4 sf 18,731 sf Unadjusted Sale Price $6,500,000 $2,000,000 $350,000 $16,500,000 $19 5,000 Unadjusted Sale Price Per Square Foot $11.83 $11.31 $8.03 $11.51 $10.41 Transactional Adjustments
Property Rights Conveyed Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Adjustment --- - -
Financing Terms Typical Typical Typical Typical Typical Adjustment --- - -
Conditions of Sale None None None None None
Adjustment --- - -
Expenditures after Sale None None None None None
Adjustment --- - -
Market Conditions Adjustments
Elapsed Time from Date of Value 0.25 years 0.52 years 1.06 years 1.08 years 1.17 years Market Trend Through 3.0% Per Yr - - 3.0% 3.0% 4.0%
Analyzed Sale Price $11.83 $11.31 $8.28 $11.86 $10.83
Property Adjustments
Location NEC El Toro Road and SR 241 & El Toro Rd. Rancho Pkwy. Hewes St. 18514-18682 Santiago Canyon Road 12380 Circulo Panorama Lake Forest Mission Viejo Lake Forest Orange Silverado Santa Ana Adjustment - - 5.0% -5.0% 5.0%
Size 52,917 sf 549,553 sf 176,854 sf 43,560 sf 1,433,124 sf 18,731 sf Adjustment 10.0% 3.0% - 20.0% -2.0%
Shape/Depth Rectangular Elongated Irregular Irregular/Elongated Irregular/Elongated Irregular Irregular Adjustment -3.0% - - -3.0% -3.0%
Access/Visibility Corner Interior Corner Corner Interior Interior Adjustment 5.0% - - 5.0% 5.0%
Topography Level to Sloped Sloped Level Sloped Level to Sloped Sloped Adjustment -- 5 . 0 % - - -
Zoning A1 - Agricultural OS OS OS RH P
Adjustment Appraised as Open Space - - - -10.0% -
Utilities All To-Site All To-Site All To-Site All To-Site All To-Site All To-Site Adjustment --- - -
Demolition / Contributing Improvements Vacant Land Vacant Land Vacant Land Vacant Land Vacant Land, Water Tank Adjustment --- - -
Other "Subject As Vacant Land" None None None None None Adjustment --- - -
Net Physical Adjustment 12.0% -2.0% 5.0% 7.0% 5.0%
Adjusted Sale Price per Gross Square Foot $13.25 $11.08 $8.69 $12.6 9$ 1 1 . 3 7 Item: 6
42 STREET RIGHT OF WAY DEDICATION

COST APPROACH

Discussion and Analysis of Land Sales
Adjustments for property interests, special financing, or sales condition adjustments were not necessary. Southern California has been experiencing improveme nt in the economic environment.

A s t h e r e i s v e r y l i m i t e d s u p p l y , v a c a n c y h a s b e e n o n t h e d e c l i ne, rental rates have increased, and property values have been increasing over the past few years, h owever, property values have come to a standstill since March 2020 due to the pandemic. Thus, th e sales have not been adjusted for changes in market conditions. All of the land sales are analyz ed, and adjustments are made for differences in the various elemen ts of comparison including loc ation, access/visibility, size, shape, topography, zoning, condition, p resence of existing improvement s, and other relevant factors.

Adjustments for these elements are based on matched paired anal ysis where possible, discussions with market participants, and the experience and judgment of th e a p p r a i s e r s . T h e t a b l e o n t h e preceding page summarizes the sale comparables and appropriate adjustments.

Land Sale No.1
Land sale no. 1 is located southeast of the subject, at SR 241 & El Toro Rd., in the City of Mission Viejo. The sale price for this property was $6,500,000, which e quates to $11.83 per square foot. The site is located on an interior lot location fronting a moderate traffic street. It is located in an area that is mainly industrial, residential and open spaces just sou th of the 241 Transportation Corridor.

The property is not entitled and is currently vacant land. The buyer’s plans for the site are not known.

The site is zoned OS, which is for mainly public uses. The area is considered similar in location as it is within ½ mile to the subject. A downward adjustment to the pro perty was made for shape. Upward adjustments were necessary to account for the larger size and i nferior access/visibility. Overall, this comparable was considered inferior to the subject. After adjustments, this sale provides an indication of land value for the subject at $13.25 per square foot.

Land Sale No.2
Land sale no. 2 is located north of the subject, at Rancho Pkwy ., in the City of Lake Forest. The sale price for this property was $2,000,000, which equates to $11.31 per square foot. The site is located o n a c o r n e r l o t l o c a t i o n f r o n t i n g a m o d e r a t e t r a f f i c s t r e e t . It is located in an area that is mainly industrial, residential and open spaces just south of the 241 T ransportation Corridor. The property is not entitled and is currently vacant land. The buyer’s plans fo r the site are to develop single family residences. The site is zoned OS, which is for mainly public us es. The area is considered similar in location as it is within ½ mile to the subject. A downward adj ustment to the property was made for topography. An upward adjustmen t was necessary to account for larger size. Overall, this comparable was considered similar to the subject. After adjustm ents, this sale provides an indication of land value for the subject at $11.08 per square foot.

Land Sale No.3
Land sale no. 3 is located northwest of the subject, at Hewes S t., in the City of Orange. The sale price for this property was $350,000 which equates to $8.03 per square foot. The site is located on a corner lot location fronting a moderate traffic street. It is located in an area that is mainly residential and open spaces east of the 55 Freeway. The property is not entitle d and is currently vacant land. The buyer’s plans for the site are not known. The site is zoned OS, which is for mainly public uses. The property is inferior in location demographically. This comparab le is similar in size. An upward adjustment was necessary to account for location. Overall, this comparable was considered inferior to the subject. After adjustments, this sale provides an indicatio n of land value for the subject at $8.69 per square foot.

Item: 6
43 STREET RIGHT OF WAY DEDICATION

COST APPROACH

Land Sale No.4
Land sale no. 4 is located northeast of the subject, at 18514-18682 Santiago Canyon Road, in the City of Silverado. The sale price for this property was $16,500,000 which equates to $11.51 per square foot. The site is an interior site off a moderate 4-lane traffi c street east of the 241 Transportation Corridor. The property is located in a rural residential area with some single family residences and mainly open spaces and hills surrounding. The site was vacant land at the time of sale. The buyer reportedly wants to develop resid ential housing. The site is zo ned RH: Rural Hillside, which is for residential uses. The property is superior in location demograp hically. The site is conducive to rural residential uses on larger sites. This comparable is much large r in size, inferior in access/visibility, superior in shape, superior in zoning, however, similar in topo graphy and presence of utilities to the subject. Overall, this comparable was considered slightly infer ior to the subject. After adjustments, this sale provides an indication of land value for the subject at $12.69 per square foot.

Land Sale No.5
Land sale no. 5 is located northwest of the subject at 12380 Ci rcula Panorama, in an unincorporated area with a Santa Ana post office address. The sale price for t his property was $195,000 which equates to $10.41 per square foot. The site is an interior site off a minor 2-lane traffic street east of the 55 Freeway. The property is located in a residential area. The site was vacant land with a large water tank at the time of sale, which supplies water for the su rrounding community. The site is z o n e d P , w h i c h i s f o r p u b l i c u s e s . T h e p r o p e r t y i s i n f e r i o r i n location demographically. The site is conducive to public uses as it has a water tank on site. This c omparable is much smaller in size, inferior in access/visibility, inferior in shape, however, simi lar in zoning, topography, and presence of utilities to the subject. Overall, this comparable was consider ed similar to the subject. After adjustments, this sale provides an indication of land value for the subject at $11.37 per square foot.

Conclusion of Land Value
From the market data available, five land sales in competitive market areas which were most comparable to the subject were selected. We adjusted the compar able sales based on pertinent elements of comparison as discussed earlier and summarized the adjustments in the preceding adjustment grid.

Location adjustments were primarily based on demographics of th e area, the property’s location in relation to major roadways and freeways, and the proximity of t he property to the major Orange County and Los Angeles County mark ets. The subject fronts two m oderate traffic streets in an area, which is primarily commercial/residential in nature with single family residences close by, and vacant land surrounding the subject very close to the 241 Transportati on Corridor. Size adjustments are typically based on the premise that smaller parcels sell for mo re on a square foot basis than larger parcels due to the smaller requirements needed for purchase and site improvements. Adjustments Land Comparable Statistics
Metric Unadjusted Adjusted
Minimum Sale Price per Sq. Ft. $8.03 $8.69
Maximum Sale Price per Sq. Ft. $11.83 $13.25
Median Sale Price per Sq. Ft. $11.31 $11.37
Mean Sale Price per Sq. Ft. $10.62 $11.42
Item: 6
44 STREET RIGHT OF WAY DEDICATION

COST APPROACH

for lot size were made to account for this variation. Only min or to moderate adjustments were r eq u i r ed f or l oc a t i on a s a l l of t h e c o m p a r a b l es a r e l oc a t ed i n Orange County in similar residential areas within a reasonable distance from the subject. The subjec t is a corner lot, which is similar to superior to all of the comparables, inferior to similar in shap e to all of the comparables, similar to superior in access/visibility to all of the comparables, simila r to smaller in size to most of the comparables, and similar in zoning to most of the comparables. Overall, the sales provide very good support for deriving a value.

All of the sales are fairly recent. Land Sale No. 1 and 2 are b oth in the same area as the subject and are very similar in zoning. Land Sale 3, 4 and 5 are in surroun ding cities, bracket the subject in size, and are similar in presence of utilities and topography.

O v e r a l l , t h e s a l e s p r o v i d e a r e asonable range of value and prov ide a good indication of current values. In conclusion, we have given the greatest weight to Sales 1 & 2, which are both located within a ½ mile of the subject property. However, given the value pre mise for just compensation purposes, we have selected a price per square foot near the upper end of the adjusted range, which was determined to be $13.25 per square foot.

There is also an easement for street purposes, pedestrian and b icycle trail that requires the subject property to be used for those purposes, which severely restrict s and would unduly limit or impede development of the subject property unless the easement were to be removed. In addition, the subject can’t be assembled and redeveloped with the adjacent pr operty to the north as it is a flood control channel. As a partial in terest (property subject to a p ermanent easement) one would expect the portion of the subject occupied by the easement to be more than 50% of the market value of the land, because the pedestrian/bike trail is above ground and occ upies the majority of the site.

Furthermore, partial interests of this nature generally range i n the market from 50% to 95% of the market value. In conclusion, the benefit of the easement is es timated to be of moderate value to the usable/developable portion of the site and has been assigned a r a t e c l o s e t o t h e u p p e r m i d d l e portion of the range or 75%. Therefore, we have taken a 75% negative adjustment to the app raised value of the subject land, which is shown in the table below. T his is appropriate as we have already valued the larger parcel with an open space (equivalent to an A gricultural zoning) or public zoning, which already severely restricts the development of the subject property. The land valuation is summarized as follows:

LAND VALUE INDICATION

Land Valuation
Land Area (square feet) 52,917
Indicated Value PSF $13.25
Indicated Value $701,150
Deduction for Presence of Pedestrian/Bike Trail Easement (75.00% ) ($525,863) Final Land Value Determination from Sales Comparison Approach (Rd.) $175,000 PSF $3.30
Item: 6
45 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

Condemnation Analysis
The subject acquisitions are not expected to have an impact on the continued use of the subject property. The subject larger parcel is assumed to be approxima tely 1.21 acres or 52,917 square feet based on the Orange County Assessor’s Plat Map. Plat Maps provi ded by Paragon Partners Ltd. via Patrick A. McMichael, Professional Land Surveyor, show the perm anent taking for the street right of way dedication. The subject is improved with an asphalt paved p edestrian/bike trail. The proposed acquisition area is expected to take a small portion of the sub ject’s site close to the southwestern boundary close to Portola Parkway along El Toro Road. The subj ect takings include a permanent taking of a 4,087 square foot permanent taking for a street right of way dedicati on. The value of the Part to be taken is considered as a portion of the value of the Larger Parcel. Thus, for the purpose of estimating the land value of the subject “as if vacant”, the La r g e r P a r c e l h a s b e e n e s t i m a t e d a t a market value of $175,000 (rounded) or $3.30 per square foot.

Description of the Part T aken
The City of Lake Forest is planning a street right of way dedic ation on one property within the City of Lake Forest. This is a public project, which will require the p urchase of partial interests affecting a portion of one parcel located wi thin the Project area. This pro ject proposes to take a permanent taking for a street right of way dedication of 4,087 square feet starting close to the southwestern boundary of the subject site and runs east for approximately 39 0 feet. This easement is necessary to support the construction of a street right of way dedication. T he elongated shaped street right of way dedication runs east/west par allel to El Toro Road along th e southwestern boundary of the subject site. The land area me asures approximately 390 feet lo n g a n d v a r i e s i n w i d t h f r o m approximately 1 to 35 feet. Presently, the area of the taking is a dirt area, which is estimated to contain approximately 4,087 square feet. The City of Lake Forest will construct the street right of way dedication. The acquisition will be a fee transfer and constitu tes a fee simple interest. A diagram of this part taking, a legal description, parcel map and photos are shown on the following pages.

Analysis of the Part T aken
In the Land Sales Analysis, a value indicator of $3.30 per square foot is attributed to the land area for the larger parcel. The p art to be taken is 4,087 square feet for the development of a permanent street right of way dedication. Thus, the impact to the subjec t would constitute a full taking of this land area. Any site improvements impacted by this taking will be replaced or put back in a manner similar to their current state. Work will also allow for conti nued ingress and egress to the site. The location of this land area is close to the southwestern boundar y of the site along El Toro Road. It is assumed that the City of Lake Forest will provide a waiver for any setback requirement that is no longer in place due to the taking. As a permanent partial inter est it will be 100% of the market value of the land area impacted. Therefore, we are utilizing a rate of 100% results in a value conclusion for the proposed street right of way dedication of $13,487. This calculation is shown in the table below.

PERMANENT PARTIAL TAKING: STREET RIGHT OF WAY DEDICATION

Area of Value % of Value
Parcel Type Part Taken Per SF Value Conclusion
Street Right-Of-Way Dedication 4,087 SF $3.30 100% $13,487 Item: 6
46 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

Analysis of Severance Damages & Benefits
Severance damage is a loss in value to the remaining property a fter acquisition and construction in the manner proposed. Severance damages are valued by an apprai sal of the remainder as a portion of the total property in the before condition and as a remainde r in the after condition (disregarding the benefits of the construction project). The remainder is co nsidered damaged if worth less after the project construction because of a legally compensable reason.

By taking the required 4,087 square feet for a permanent taking for a street right of way dedication there will be no adverse impact to the property as a whole. Ef fectively, there will be no change in drainage or grade to the remainder property. Access, visibility and parking will also remain the same.

The improvement project will repl ace or put the improvements ba ck in a manner similar to their current state. The highest and best use of the site has also n ot changed in the after condition. Thus, it is our opinion that the subje ct remainder property will not be negatively impacted by the acquisition of the part taken or t h e c o n s t r u c t i o n o f t h e p r o j e ct i m p r o v e m e n t s . T h e r e f o r e , i t i s concluded that there is no severance damages to the subject property.

Benefits are also valued by appraising the remainder both befor e, and after, the taking. Benefits are offset against any severance damages. There will be no change in either the drainage or grade level of t h e r em a i n d er p r o p er t y. Tr a f f i c a n d p ed es t r i a n f l ow i s ex p ec t ed t o i m p r ov e w i t h t h e p r op os ed improvement project, but this is considered a benefit to the co mmunity at large, as well as to the subject. Therefore, considering all aspects of the taking and the proposed project, we have concluded that there are no benefits to the subject remainder property.

Conclusion of Just Compensation
Shown below are the conclusions of this report leading to the Just Compensation for the subject Part Taken. These conclusions are subject to the assumptions and lim iting conditions included at the end of this report, as of March 22, 2021, and represent the market value of the fee simple interest in the subject property.

Value of Larger Parcel in Before Condition $175,000
Value of Part Taken - Street Right-Of-Way Dedication $13,487 Value of Remainder in After Condition $161,513
Severance Damages $0
Less Benefits $0
Net Severance Damages $0
Just Compensation (Parts Taken, Severance Damages/Benefits) $13, 487 Rd. $13,500

JUST COMPENSATION
Item: 6
47 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

Definitions
Market Value
“(a) The fair market value of th e property taken is the highest price on the date of v a l u a t i o n t h a t w o u l d b e a g r e e d t o b y a s e l l e r , b e i n g w i l l i n g t o s e l l b u t u n d e r n o p a r t i c u l a r o r u r g e n t n e c e s s i t y f o r s o d o i n g , n o r o b l i g e d t o s e ll , a n d a b u y e r , b e i n g ready, willing, and able to buy but under no particular necessi ty for so doing, each dealing with the other with full knowledge of all the uses and purposes for which the property is reasonably adaptable and available.
(b) The fair market value of property taken for which there is no relevant market is its value on the date of valuation as determined by any method of v aluation that is just and equitable.” 8

Just Compensation
“In condemnation, the amount of loss for which a property owner is compensated when his or her property is taken; should put the owner in as g ood a position pecuniary as he or she would be if the property had not been taken; generally held to be market value, but courts have refused to rule that it is alw ays equivalent to market value.” 9

Larger Parcel
“In condemnation, the portion of a property that has unity of o wnership, contiguity, and unity of use, the three conditions that establish the large r parcel for the consideration of severance damages in most states. In federal and some states cases, however, contiguity is sometimes subordinated to unitary use.” 10

Partial Taking
“The taking of part of a ny real pr op erty interest for public use under the power of eminent domain; requires the payment of compensation.” 11

Remainder
“In eminent domain condemnation, that portion of the larger par cel the property remaining in the ownership of the property owner after a partial taking.” 12

8 California Code of Civil Procedure, Section 1263.320
9 The Dictionary of Real Estate Appraisal, Appraisal Institute, Fourth Edition, 2002, page 154 10 The Dictionary of Real Estate Appraisal, Appraisal Institute, Fourth Edition, 2002, page 160 11 The Dictionary of Real Estate Appraisal, Appraisal Institute, Fourth Edition, 2002, page 209 12 The Dictionary of Real Estate Appraisal, Appraisal Institute, Fourth Edition, 2002, page 242

Item: 6
48 STREET RIGHT OF WAY DEDICATION

SUMMARY STATEMENT

Damages
“In condemnation, the loss in value to the remainder in a parti al taking of property.

Generally the difference between t he value of the whole propert y before the taking and the value of the remainder after the taking is the measure of the value of the part taken and the damages to the remainder. Note that different re gions of the country and different courts may use terms such as consequential damage s and severance damages differently.” 13

Property Rights Appraised
A “fee simple estate” is defined as “absolute ownership unencum bered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.”

Tenants in Common
T i t l e t o p r o p e r t y h e l d b y t w o o r m o r e p e r s o n s , i n w h i c h , e a c h has an “undivided interest” in the property and have an equal right to use the pr operty, even if the percentage interests are not equal or the living spaces are dif ferent sizes. There is no “right of survivorship” if one of the tenants dies, and each in terest may be separately sold, mortgaged or willed to another.

13 The Dictionary of Real Estate Appraisal, Appraisal Institute, Fourth Edition, 2002, page 73 Item: 6
49 Attachment 3
Item: 6
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51 Item: 6
52 Attachment 4
Item: 6
53 Item: 6
54 Item: 6
55 Item: 6
56 Attachment 5
Item: 6
57 Item: 6
58 July 12, 2022
Digitally signed by Michael A.

Haubert
DN: cn=Michael A. Haubert,
o=County of Orange, ou=County
Counsel,
[email protected]
gov.com, c=US
Date: 2022.07.12 11:29:24 -07'00'
Item: 6
59 Item: 6
60 Item: 6
61 Item: 6
62 Item: 6
63 Item: 6
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67 Item: 6
68 Item: 6
69 CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: Public Works
SUBJECT:

AWARD CONSTRUCTION CONTRACT FOR EL TORO ROAD & PORTOLA
PARKWAY/SANTA MARGARITA INTERSECTION IMPROVEMENTS (PW2019- 03)
RECOMMENDED ACTION(S):

1. Approve contract documents for construction El Toro Road & Portola Parkway/Santa Margarita Parkway Intersection Improvements.

2. Award a contract in the amount of $1,874,629.28 to MMG Engineering, Inc.

3. Reject all other bids received and authorize return of the bid bonds upon receipt of the executed contract documents from MMG Engineering, Inc.

4. Authorize the Mayor to sign, and the City Clerk to attest the contract with MMG Engineering, Inc.

EXECUTIVE SUMMARY:

This project is part of the City’s Lake Forest Traffic Mitigation Program (“LFTM”) and will add a second eastbound left turn lane on El Toro and a second dedicated right-turn lane on westbound El Toro.

In the memo dated April 29, 2021, the City Manager authorized staff to solicit bids for construction. On August 3, 2022, the City received bids from four (4) firms, ranging from $1,874,629.28 to $3,109,377.00. The apparent low bidder is MMG Engineering, Inc. (“MMG”). The total project cost to construct, inspect, provide construction support, and provide contingency for the project is estimated to cost $2,175,000. This project is funded through the LFTM program and sufficient funds are included in the 2021-2028 Capital Improvement Projects (“CIP”) budget for the recommended actions.

Item: 7
70 BACKGROUND:

This project is part of the City’s LFTM Program and will add a second eastbound left turn lane from El Toro Road to northbound Portola Parkway and a second dedicated right turn lane on westbound El Toro Road to northbound Portola Parkway.

In July 2008, the City Council adopted Ordinance No. 186, which amended Chapter 7.19 of the Lake Forest Municipal Code as the Lake Forest Transportation Mitigation (“LFTM”) Program. The LFTM Program was established for the purposes of providing funding for the coordinated and phased installation of traffic and transportation improvements to serve, benefit, and mitigate the impacts of development around the City referred to as the “Opportunities Study Area” (“OSA”). The LFTM Program established a list of citywide transportation improvements at 18 intersections throughout the community to mitigate the impacts of development, and to maintain adequate levels of service on the City’s arterial street system.

On June 18, 2019, City Council approved the Fiscal Year 2019-2021 Capital Improvement Program Budget which included the LFTM traffic improvement project El Toro Road and Portola Parkway / Santa Margarita Parkway Widening Project. The project will add a second eastbound left turn lane from El Toro Road to northbound Portola Parkway and a second dedicated right turn lane on westbound El Toro Road to northbound Portola Parkway. Due to the widening, the traffic signal at this intersection will need to be modified to accommodate the new intersection layout. As a result, the traffic signal will be modified to include advanced traffic management systems which integrate technology to improve the flow of vehicle traffic and improve safety.

DISCUSSION:

In the memo dated April 29, 2021, the City Manager authorized staff to solicit bids for construction. On August 3, 2022, the City received bids from four (4) firms, ranging from $1,874,629.28 to $3,109,377.00. The engineer’s estimate for this project is $1,745,000. The apparent low bidder is MMG Engineering, Inc. with a bid amount of $1,874,629.28. After opening bids, the total project cost to construct, inspect, provide construction support, and provide contingency for the project is estimated to cost $2,175,000.

Staff reviewed the MMG bid package for completeness. In addition, the electronic bidding system the City utilizes eliminates mathematical errors in the bids, therefore the submitted bid results are as follows:

Item: 7
71 Table 1: Bid Results
Contracting Firm PlanetBids Verified Base Bid
Amounts
MMG Engineering, Inc. $1,874,629.28
Comet Electric, Inc. $2,338,602.20
Hardy & Harper, Inc. $3,040,000.00
All American Asphalt $3,109,377.00
After analysis of the bids received, staff determined that MMG was the lowest responsive and responsible bidder for this project. Recently, MMG completed projects in the cities of Castaic, Victorville, and Rancho Dominguez as a subcontractor. Staff conducted a reference check that indicated MMG is a responsible contractor (Attachment 2). In addition, MMG provided a letter regarding their company, stating that while MMG is a relatively newer company, it is the successor company to GMC Engineering, with the same employees, business practices, methodologies, and values (Attachment 3). GMC Engineering successfully constructed the Rancho Parkway extension to Portola Parkway for the City.

The Finance Department prepared the contract which MMG subsequently executed (Attachment 4). The City Attorney reviewed and approved the contract as to form. The contract bid amount as determined by the estimated quantities is $1,874,629.28. Per Lake Forest Municipal Code Section 3.13.085, the City Manager may approve additional work not-to-exceed 10% of the final contract amount (i.e., $187,462). Due to size, the contract plans, and specifications are not attached to the agenda; however, they are available for review upon request in the Office of the City Clerk. Staff have attached the approved signed title sheet for the project (Attachment 5).

FISCAL IMPACT:

The total project cost to construct, inspect, provide construction support, and provide contingency for the project is estimated to cost $2,175,000. Approving the recommended action would award a contract to MMG Engineering, Inc. totaling $1,874,629.28. There are sufficient funds available in the 2021-2028 Capital Improvement Projects budget for the recommended action.

ATTACHMENTS:

1. Location Map

2. Contractor’s Reference Check

3. Letter from MMG Engineering, Inc.

Item: 7
72 4. Contract with MMG Engineering, Inc.

5. Signed Title Sheet
Initiated By: Douglas Erdman, Engineering Services Mgr. - Asst. City Eng.

Submitted By: Thomas E. Wheeler, P.E., Director of Public Works/City Engineer Approved By: Debra Rose, City Manager
Item: 7
73 Attachment 1
PROJECT NUMBER/NAME: PW# / Second Eastbound Left Turn Lane and 2nd Westbound Right Turn Lane on El Toro at Portola/Santa Margarita
RESPONSIBLE DEPARTMENT: Traffic Engineering
CATEGORY: Traffic Improvements
PROJECT DESCRIPTION:

This project would add a second eastbound left turn lane on El Toro and a second dedicated westbound right turn lane on El Toro to mitigate the future traffic impacts that are identified in LFTM. The City conducted additional traffic analysis in the AM and PM peak periods to determine if other improvements could be implemented in lieu of the second right turn lane. None of the alternative improvements adequately mitigated the future traffic impacts identified in LFTM and therefore the second right turn lane must be provided to meet the required LOS at this intersection. The project is fully funded by LFTM. This project is item 3 of the Lake Forest Transportation Mitigation (LFTM) program.

Portola Pkwy
Project Location

Attachment 2
Item: 7
77 City of Lake Forest
Public Works Department
Reference Check
Apparent Low Bidder: Contact #1: Contact #2: Contact #3:

MMG Engineering, Inc. Crimson Resource Management Angeles Contractor, Inc. PCG Builders Project: Halsey Canyon Rd, City of Castaic Victorville Wellness Center, Ph 1 - City of Victorville
20100 S. Alameda Street - City of Rancho
Dominguez
Name: Steve Nixon Greg Edwards Trevor Kershaw
Phone No.: (661) 281-2251 (626) 923-3800 (949) 236-1642 Email: [email protected] [email protected] [email protected]

QUESTION RESPONSE RESPONSE RESPONSE

1. Title and type of project Halsey Canyon Rd, City of Castaic Victorville Wellness Center, Ph 1 - City of Victorville
20100 S. Alameda Street - City of Rancho
Dominguez

2. Contract Amount $83,000 $670, 000 $240,000

3. Approximate duration 2 Weeks 7 months 11 months

4. Actual or estimated project completion date May-22 Dec -22 Jun-23

5. Quality of the work Very good. Very good. Very good.

6. Contractor’s communication with agency representatives? Very good. Very good. Very good.

7. Claims or stop notices Very good. No claims/stop notices. None V ery good. No claims/stop notices.

8. Non-agency change order requests? Very good. No change orders. Very good. Very good. No change orders.

9. Agency’s desire to have contractor bid on future projects Very good Very good. Very good.

10. Additional Comments I would highly recommend their services.

Great contractor that does what they say
and are pro-active on the site. Fantastic work and quality.

El Toro Road & Portola Parkway/Santa Margarita Parkway Intersection Improvements (PW2019-03) Item: 7
78 Attachment 3
Item: 7
79 GMC Engineering, Inc. • 1401 Warner Avenue, Suite B • Tustin, CA 92780 • (714) 247-1040 • Fax (714) 247-1041

To Whom It May Concern:

I am the Founder and President of GMC Engineering Inc., a general engineering company established in 1997. Since its inception over 25 years ago, GMC Engineering Inc. has successfully completed over 500 projects (both public and private works) exceeding $400 million in revenue.

My daughter Mariya (Masha) has worked side-by-side with me at GMC Engineering, Inc. since 2012, after she graduated from University. Over the past 10 years I have educated Masha on how to successfully run a construction business including but not limited to: bid preparation, project pre-planning, contract administration, project management, CPM scheduling, production tracking, efficiency analysis, job accounting and quality control.

Furthermore, I have instilled in her the importance of rigid safety measures.

In 2021 I decided that as I was getting older, I did not want to commit to running a business and working 80+ hours a week. Essentially, I no longer cared to operate GMC Engineering Inc. As such, Masha and I made the decision that after working for me for over a decade, it would be wise for her to step out of my shadow and create her own legacy by utilizing her knowledge and experience. Thus, MMG Engineering Inc., a woman-owned business, was born.

MMG Engineering Inc. is the literal offspring of GMC Engineering Inc., and will operate in exactly the same capacity with the same employees, business practices, methodologies, and values. The only difference is that my role will be changing; I will now be acting as the chief estimator and General Manager of MMG Engineering Inc.

As we jointly make the transition from GMC Engineering Inc. to MMG Engineering Inc., the systems that have proven effective thus far will remain in place. MMG Engineering Inc. staff will receive continuous safety training, and Masha and I will both personally monitor all aspects of business to ensure that we deliver a quality product within budget and on time to our customers.

I have the utmost certainty and faith that MMG Engineering Inc. will thrive for many years to come and will be an asset to the construction industry of Southern California.

Please feel free to contact me with any questions.

Gennad y Chizhik
Gennady Chizhik
President

Item: 7
80 Attachment 4
Item: 7
81 55136.00200\31919335.1
1 Section 00500
Contract

SECTION 00500

CONTRACT
THIS CONTRACT is made this [***INSERT DAY***] day of [***INSERT MONTH***], [***INSERT YEAR***], in the County of Orange, State of California, by and between the City of Lake Forest hereinafter called City, and MMG Engineering, Inc., hereinafter called Contractor. City and the Contractor for the considerations stated herein agree as follows:

ARTICLE 1. SCOPE OF W ORK. The C ontractor shall perform all W ork within the time stipulated the contract and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the W ork required in strict compliance with the Contract Documents as specified in Article 5 below for the following Project:

El Toro Road & Portola Parkway/ Santa Margarita Parkway Intersection Improvements (PW 2019-03)
The Contractor and its surety shall be liable to City for any damages arising as a result of the Contractor’s failure to comply with this obligation.

ARTICLE 2. TIME FOR COMPLETION. The Work shall be commenced on the date stated in City’s Notice to Proceed. The Contractor shall complete all Work required by the Contract Documents within one hundred ten (11 0) working days from the commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.

ARTICLE 3. CONTRACT PRICE. City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of ONE MILLION EIGTH

HUNDRED SEVE NTY-FOUR THOUSAND SIX HUNDRED TWENTY -NINE DOLLARS AND TWENTY EIGHT CENTS ($1,874,629.28). Payment shall be made as set forth in the General Conditions.

ARTICLE 4. LIQUIDATED DAMAGES . In accordance with Government Code section 53069.85, it is agreed that the Contrac tor will pay City the sum of TWO THOUSAND FIVE HUNDRED dollars ($2,500) for each and every calendar day of delay beyond the time prescribed in the Contract Documents for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event that Liquidated Damages are not paid, the Contractor agrees City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Article does not affect the City’s rights to other damages or remedies specified in the Contract Documents or allowed by law.

ARTICLE 5. COMPONENT PARTS OF THE CONTRACT. The “Contract Documents” include the following:

Notice Inviting Bids
Instructions to Bidders
Bid Form
Contractor’s Certificate Regarding Workers’ Compensation Bid Bond
Designation of Subcontractors
DocuSign Envelope ID: 962531E4-3DD3-41AD-864A-E531A15363E5 Item: 7
82 Section 00500
Contract

55136.00200\31919335.1
2 Section 00500
Contract

Information Required of Bidders
Noncollusion Declaration form
Iran Contracting Act Certification
Public Works Contractor Registration Certification
Contract
Performance Bond
Payment Bond
General Conditions
Special Conditions
Technical Specifications
Addenda
Plans and Drawings
Approved and fully executed change orders
Any other documents contained in or incorporated into the Contract The Contactor shall complete the Work in strict accordance with all of the Contract Documents.

All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. This Contract shall supersede any prior agreement of the parties.

ARTICLE 6. PROVISIONS REQUIRED BY LAW. Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state and local laws, rules and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Project.

ARTICLE 7. INDEMNIFICATION. Contractor shall provide indemnification as set forth in the General Conditions.

ARTICLE 8. PREVAILING WAGES. Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at City Hall or may be obtained online at http//www.dir.ca.gov/dlsr. and which must be posted at the job site.

[Signatures on following page]

DocuSign Envelope ID: 962531E4-3DD3-41AD-864A-E531A15363E5 Item: 7
83 Section 00500
Contract

55136.00200\31919335.1
3 Section 00500
Contract

IN WITNESS WHEREOF, this Contract has been duly executed by the above-named parties, on the day and year above written.

MMG ENGINEERING, INC.

By [VENDOR SIGNATURE 1]

Name: [INSERT NAME 1]

Title: [INSERT TITLE 1]

License No. [CONTRACTOR LICENSE NUMBER]

CITY OF LAKE FOREST
By [AUTHORIZED CITY SIGNATURE]
______________________________
Mayor or City Manager
By [VENDOR SIGNATURE 2]

Name: [INSERT NAME 2]

Title: [INSERT TITLE 2]

(If Corporation, TWO SIGNATURES,
President OR Vice President AND Secretary
OR Treasurer REQUIRED)]
[CONTRACT ADMINISTRATOR APPROVAL]
[PROJECT MANAGER APPROVAL]
[CITY CLERK - INSURANCE APPROVAL]
Attest:
[CITY CLERK SIGNATURE]

[ENTER NAME]
City Clerk
Approved as to Form:
[CITY ATTORNEY SIGNATURE]
__________________________________
Best Best & Krieger, LLP
City Attorney

END OF CONTRACT
DocuSign Envelope ID: 962531E4-3DD3-41AD-864A-E531A15363E5 1088006
Mariya M Cummings
President
Secretary
Mariya M Cummings
Item: 7
84 Attachment 5
NOTICE TO CONTRACTOR:

PROFESSIONAL.

PERFORMANCE OF WORK ON THIS PROJECT, EXCEPT FOR LIABILITY ARISING FROM THE SOLE NEGLIGENCE OF THE DESIGN

HARMLESS THE DESIGN PROFESSIONAL FROM ANY AND ALL LIABILITY, REAL OR ALLEGED, IN CONNECTION WITH THE NORMAL WORKING HOURS. THE CONTRACTORS AND SUBCONTRACTORS FURTHER AGREE TO DEFEND, INDEMNIFY AND HOLD

PROVIDING FOR THE SAFETY OF ALL PERSONS AND PROPERTY AND SHALL APPLY CONTINUOUSLY AND NOT BE LIMITED TO RESPONSIBILITY FOR JOB SITE CONDITIONS DURING THE COURSE OF CONSTRUCTION OF THE PROJECT. THIS INCLUDES

GENERALLY ACCEPTED CONSTRUCTION PRACTICES, THEY WILL BE REQUIRED TO ASSUME SOLE AND COMPLETE

ALL CONTRACTORS AND SUBCONTRACTORS PERFORMING WORK SHOWN ON THESE PLANS AGREE THAT, IN ACCORDANCE WITH PLANS.

MEASURES TO PREVENT DAMAGE TO ANY UTILITY FACILITIES SHOWN AND ANY OTHER FACILITIES NOT SHOWN ON THESE AND/OR GRADE OF THE PROPOSED IMPROVEMENTS. THE CONTRACTOR IS REQUIRED TO TAKE DUE PRECAUTIONARY THE CONTRACTOR. THE CONTRACTOR SHALL BE RESPONSIBLE FOR MAKING ANY NECESSARY ADJUSTMENTS TO ALIGNMENT SEARCH OF AVAILABLE RECORDS. THE LOCATIONS SHOWN ARE APPROXIMATE AND SHALL BE CONFIRMED IN THE FIELD BY

THE EXISTENCE AND LOCATION OF ANY UNDERGROUND UTILITY FACILITIES SHOWN ON THESE PLANS WERE OBTAINED BY A PREPARER OF THESE PLANS.

TO, OR USES OF THESE PLANS. ALL CHANGES TO THE PLANS MUST BE IN WRITING, AND MUST BE APPROVED BY THE CAUTION: THE ENGINEER PREPARING THESE PLANS WILL NOT BE RESPONSIBLE FOR, OR LIABLE FOR, UNAUTHORIZED CHANGES (469) 886-4238
(714) 358-3377
(949) 458-4667
(949) 282-5233
(949) 837-7050
(949) 563-8889
(714) 618-9129

MCI VERIZON - DEAN BOYERS

SOUTHERN CALIFORNIA GAS - ANDREW ALDAY

SOUTHERN CALIFORNIA EDISON - JEFF LAMENDOLA

CITY OF LAKE FOREST - DOUG ERDMAN

EL TORO WATER DISTRICT

COX COMMUNICATIONS - REYNALDO CASTRO

AT&T - BOB FLEISHER

SHEET INDEX
PUBLIC AGENCIES & UTILITIES:

INTERCONNECT PLANS

SIGNAL MODIFICATION PLAN

SIGNAGE AND STRIPING

PLAN AND PROFILE

TYPICAL CROSS-SECTIONS

TITLE SHEET
7-9
6 5
3-4
2 1

BAR RY J. COWA N R CE 4 6 5 6 8 D ATE CITY OF LA KE FOREST GENERAL N OT ES:

CITY OF LA KE FOREST EROSIO N CO NTROL N OT ES:

CITY OF LA KE FOREST EN VIRO NMENTAL N OT ES:

DATE: SIGNATURE:

THE UNDERSIGNED CIVIL ENGINEER SHALL INSPECT THE EROSION CONTROL WORK AND ENSURE THAT THE WORK IS IN ACCORDANCE WITH THE APPROVED PLANS.8.

CREATES A HAZARDOUS CONDITION.

THE PERMITTEE AND CONTRACTOR SHALL BE RESPONSIBLE AND SHALL TAKE NECESSARY PRECAUTIONS TO PREVENT PUBLIC TRESPASS ONTO AREAS WHERE IMPOUNDED WATER 7.

DESILTING FACILITIES.

GRADED AREAS ON THE PERMITTED AREA PERIMETER MUST DRAIN AWAY FROM THE FACE OF SLOPES AT THE CONCLUSION OF EACH WORKING DAY. DRAINAGE TO BE DIRECTED TOWARD 6.

AFTER A RAINSTORM, ALL SILT AND DEBRIS SHALL BE REMOVED FROM STREETS, CHECK BERMS, AND BASINS.5.

ALL REMOVABLE EROSION PROTECTIVE DEVICES SHALL BE IN PLACE AT THE END OF EACH WORKING DAY WHEN THE 5-DAY RAIN PROBABILITY FORECAST EXCEEDS 40 PERCENT.4.

EROSION CONTROL DEVICES SHALL NOT BE MOVED OR MODIFIED WITHOUT THE APPROVAL OF THE BUILDING OFFICIAL.3.

STOCKPILED AT CONVENIENT LOCATIONS TO FACILITATE RAPID CONSTRUCTION OF TEMPORARY DEVICES WHEN RAIN IS IMMINENT.

EQUIPMENT AND WORKERS FOR EMERGENCY WORK SHALL BE MADE AVAILABLE AT ALL TIMES DURING THE RAINY SEASON. NECESSARY MATERIALS SHALL BE AVAILABLE ONSITE OR 2.

CELL/HOME TELEPHONE NO.:WORK TELEPHONE NO.:

IN CASE OF EMERGENCY CALL: (NAME)
SPECIFY ON PLANS:1.

REQUIRES A NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM (NPDES) PERMIT FROM THE RESPECTIVE STATE REGIONAL WATER QUALITY CONTROL BOARD.

DEWATERING OF CONTAMINATED GROUNDWATER, OR DISCHARGING CONTAMINATED SOILS VIA SURFACE EROSION IS PROHIBITED. DEWATERING OF NON-CONTAMINATED GROUNDWATER 5.

A HAZARDOUS SUBSTANCE IN A QUANTITY REPORTABLE UNDER FEDERAL REGULATIONS 40 CFR PARTS 117 AND 302.

DO NOT: CAUSE OR CONTRIBUTE TO A VIOLATION OF ANY WATER QUALITY STANDARD; CAUSE OR THREATEN TO INCREASE POLLUTION, CONTAMINATION, OR NUISANCE; OR CONTAIN PERMITTEE MAY DISCHARGE MATERIAL OTHER THAN STORM WATER ONLY WHEN NECESSARY FOR PERFORMANCE AND COMPLETION OF CONSTRUCTION PRACTICES AND WHERE THEY 4.

STORM WATER RUNOFF, WITH ULTIMATE DISPOSAL IN ACCORDANCE WITH LOCAL, STATE, AND FEDERAL REQUIREMENTS.

DURING CONSTRUCTION, PERMITTEE SHALL DISPOSE OF SUCH MATERIALS IN A SPECIFIED AND CONTROLLED TEMPORARY AREA ON-SITE, PHYSICALLY SEPARATED FROM POTENTIAL 3.

CLEANING OR CHEMICAL DEGREASING; AND SUPERCHLORINATED POTABLE WATER LINE FLUSHINGS.

FERTILIZERS, VEHICLE/EQUIPMENT WASH WATER AND CONCRETE WASH WATER; CONCRETE, DETERGENT OR FLOATABLE WASTES; WASTES FROM ANY ENGINE/EQUIPMENT STEAM PRESERVATIVES AND SOLVENTS; ASBESTOS FIBERS, PAINTS FLAKES OR STUCCO FRAGMENTS; FUELS, OILS, LUBRICANTS, AND HYDRAULIC, RADIATOR, OR BATTERY FLUIDS; POLLUTANTS INCLUDE BUT ARE NOT LIMITED TO: SOLID OR LIQUID CHEMICAL SPILLS; WASTES FROM PAINTS, STAINS, SEALANT, GLUES, LIMES, PESTICIDES, HERBICIDES, WOOD PERMITTEE SHALL MAINTAIN CONSTRUCTION SITE IN SUCH CONDITION THAT AN ANTICIPATED STORM DOES NOT CARRY WASTES OR POLLUTANTS OFF THE SITE. POTENTIAL 2.

STORM DRAIN SYSTEM OR THE WATERSHED IS PROHIBITED.

THE PERMITTEE SHALL NOTIFY ALL GENERAL CONTRACTORS, SUBCONTRACTORS, MATERIAL SUPPLIERS, LESSEES, AND PROPERTY OWNERS THAT DUMPING OF CHEMICALS INTO THE 1.

APPROPRIATE REVISIONS SHALL BE SUBMITTED TO THE DIRECTOR OF PUBLIC WORKS/CITY ENGINEER FOR REVIEW AND APPROVAL.

RESPONSIBILITY FOR THE CORRECTION OF ERRORS OR OMISSIONS DISCOVERED DURING CONSTRUCTION. UPON REQUEST, THE APPROVAL OF THESE PLANS BY THE CITY OR ITS AGENTS SHALL NOT RELIEVE THE CONTRACTOR OR THE APPLICANT FROM THE 18. 'AS-BUILT' RECORD DRAWINGS SHALL BE FURNISHED TO THE CITY UPON COMPLETION OF CONSTRUCTION.17.

A REGISTERED CIVIL ENGINEER, WHO IS AUTHORIZED TO PRACTICE LAND SURVEYING, OR A LICENSED LAND SURVEYOR.

SURVEY MONUMENTS SHALL BE PROTECTED AND PERPETUATED IN PLACE. DISTURBED OR COVERED MONUMENTS SHALL BE RESET BY 16.

THE CONTRACTOR SHALL MAINTAIN DUST CONTROL AT ALL TIMES.15.

RIGHT-OF-WAY AS DIRECTED BY THE DIRECTOR OF PUBLIC WORKS/CITY ENGINEER OR HIS AUTHORIZED REPRESENTATIVE.

THE CONTRACTOR SHALL REPAIR OR REPLACE ANY DAMAGED OR ALTERED EXISTING IMPROVEMENTS WITHIN THE PUBLIC 14.

OF PUBLIC WORKS/ CITY ENGINEER OR HIS AUTHORIZED REPRESENTATIVE SHALL BE NOTIFIED IMMEDIATELY.

IF EXISTING UTILITIES OR OTHER FACILITIES CONFLICT WITH THE PROPOSED IMPROVEMENTS, WORK SHALL STOP AND THE DIRECTOR 13.

CONTRACTOR SHALL EXCAVATE INSPECTION HOLES TO DETERMINE THE LOCATION AND DEPTH OF SAID STRUCTURES AND UTILITIES.

PRIOR TO BEGINNING CONSTRUCTION WORK WHICH COULD DAMAGE OR CONFLICT WITH UNDERGROUND STRUCTURES OR UTILITIES, THE 12.

NOT SUCH FACILITIES ARE SHOWN ON THE PLANS.

RESPONSIBLE FOR ANY DAMAGE TO EXISTING FACILITIES RESULTING DIRECTLY OR INDIRECTLY FROM THEIR OPERATIONS, WHETHER OR ANY CONTRACTORS PERFORMING WORK ON THIS PROJECT SHALL FAMILIARIZE THEMSELVES WITH THE SITE AND SHALL BE 11.

OVERLAY, WHICH COULD AFFECT ANY UNDERGROUND UTILITY.

HOURS MINIMUM) PRIOR TO ANY CONSTRUCTION ACTIVITIES, INCLUDING PAVEMENT REMOVAL, EXCAVATION AND ASPHALT CONCRETE PRIOR TO THE ISSUANCE OF A CITY ENCROACHMENT PERMIT. THE CONTRACTOR SHALL NOTIFY USA TWO FULL WORKING DAYS (48 STATE LAW SB 3019 REQUIRES THE CONTRACTOR TO OBTAIN AN IDENTIFICATION NUMBER FROM UNDERGROUND SERVICE ALERT (USA) 10.

OBSERVER.

NO CONCENTRATED FLOWS ARE PERMITTED ACROSS ASPHALT PAVEMENT WITHOUT APPROVAL FROM THE CITY'S PUBLIC WORKS 9.

PRECEDENCE.

AFFECTING UTILITY COMPANIES THAT ARE MORE STRINGENT, AND THEN THE UTILITY COMPANY STANDARD PLANS SHALL TAKE THE OCPW AND SPPCW STANDARD PLANS SHALL TAKE PRECEDENCE OVER ANY STANDARDS EXCEPT FOR STANDARD PLANS 8.

SATISFACTION OF THE CITY'S PUBLIC WORKS OBSERVER.

DEVICES IN ACCORDANCE WITH CURRENT STATE OF CALIFORNIA, DEPARTMENT OF TRANSPORTATION, TRAFFIC MANUAL AND TO THE TRAFFIC FLOWS SHALL BE MAINTAINED AT ALL TIMES AND PROTECTED WITH ADEQUATE BARRICADES, LIGHTS, SIGNS AND WARNING 7.

PUBLIC WORKS OBSERVER.

STOCKPILING OF BUILDING MATERIALS WILL BE ALLOWED WITHIN THE PUBLIC RIGHT-OF-WAY WITHOUT THE PERMISSION OF CITY'S AFFECTED BY HIS CONSTRUCTION. METHOD OF STREET CLEANING SHALL BE BY DRY SWEEPING OF ALL PAVED AREAS. NO NUISANCE BEING CONTROLLED AT ALL TIMES. DEVELOPER SHALL BE RESPONSIBLE FOR ANY CLEAN UP ON ADJACENT STREETS TO THE SATISFACTION OF CITY'S INSPECTOR. THE ADJACENT STREETS SHALL BE KEPT CLEAN OF DEBRIS, WITH DUST AND OTHER THE CONTRACTOR SHALL MAINTAIN ADJACENT STREETS IN A NEAT, CLEAN, DUST FREE AND SANITARY CONDITION AT ALL TIMES AND 6.

STANDARD PLANS.

CONTROL JOINT, OR WEAKENED PLANE JOINT AND REPLACED IN CONFORMANCE WITH THE APPLICABLE PROVISIONS OF OCPW ALL DAMAGED CONCRETE SIDEWALKS OR CURBS SHALL BE SAW-CUT TO THE NEAREST TRANSVERSE SCORE MARK, OR ADJUSTABLE 5.

PERMIT. A COPY OF THE PERMIT SHALL BE KEPT ON THE CONSTRUCTION SITE AT ALL TIMES.

APPROVED PLANS DO NOT RELIEVE THE CONTRACTOR AND/OR DEVELOPER FROM RESPONSIBILITY TO OBTAIN AN ENCROACHMENT A CITY OF LAKE FOREST ENCROACHMENT PERMIT SHALL BE REQUIRED TO PERFORM WORK WITHIN THE PUBLIC RIGHT-OF-WAY. CITY 4.

WORKING DAYS (MINIMUM OF 48 HOURS) PRIOR TO STARTING CONSTRUCTION WORK WHICH REQUIRES PUBLIC WORKS' INSPECTION.

THE CONTRACTOR SHALL NOTIFY THE CITY OF LAKE FOREST'S PUBLIC WORKS OBSERVER AT (949) 461-3494 AT LEAST TWO 3.

PUBLIC WORKS CONSTRUCTION (SSPWC) AND CITY STANDARD PLANS ON THE CONSTRUCTION SITE AT ALL TIMES.

THE CONTRACTOR SHALL KEEP A COPY OF THE CURRENT ORANGE COUNTY PUBLIC WORKS (OCPW), STANDARD SPECIFICATIONS FOR 2.

REQUIREMENTS OF THE PERMIT.

ALL WORK SHALL BE IN ACCORDANCE WITH THE MUNICIPAL CODE ADOPTED BY THE CITY OF LAKE FOREST AND ANY SPECIAL 1.

TITLE SHEET FOR:

BARRY J. COWAN
46568
CIVIL

STREET IMPROVEMENTS

EL TORO ROAD AND PORTOLA PARKWAY
1 06/30/2022

DATE APPROVAL

REVISIONS
NO.

PREPARED BY
DESIGNED BY: DRAWN BY: CHECKED BY:

DATE
C
A
LL
YE
B
GI
D
UO
RFE
Underground Service Alert
Call: TOLL FREE

TWO WORKING DAYS BEFORE YOU DIG
O
1-800-422-4133
30-JUN-2022 11:25
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CITY OF LAKE FOREST
SHT. OF
J-18291C

IN PUBLIC RIGHT-OF-WAY ONLY

APPROVED FOR CONSTRUCTION
BARRY J. COWAN
46568
CIVIL
X 9CITY ENGINEER

PUBLIC WORKS DIRECTOR/

THOMAS WHEELER, PE
1 00% SUBMITTAL
R.C.E. No. 46568 EXP. DATE: 6-30-23 BARRY J. COWAN
DATE: JUNE 30, 2022
06/30/2022
B
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PORTOLA
IRVINE

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PROJECT
NTS
(PW 2018.01)

STREET IMPROVEMENTS

EL TORO ROAD AND PORTOLA PARKWAY
133
241
241

DECLARATIO N OF RES PO NSIBL E CH ARGE
PROJECT.

TO REVIEW ONLY, AND DOES NOT RELIEVE ME AS ENGINEER OF WORK OF MY RESPONSIBILITIES FOR THE

I UNDERSTAND THAT THE CHECK OF PLANS AND SPECIFICATIONS BY THE CITY OF LAKE FOREST IS CONFINED AND PROFESSIONS CODE, AND THAT THE DESIGN IS CONSISTENT WITH CURRENT STANDARDS.

RESPONSIBLE CHARGE OVER THE DESIGN OF THE PROJECT AS DEFINED IN SECTION 6703 OF THE BUSINESS

I HEREBY DECLARE THAT I AM THE ENGINEER OF WORK FOR THIS PROJECT, THAT I HAVE EXERCISED

CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: Public Works
SUBJECT:

SECOND AMENDMENT TO THE AGREEMENT WITH CHARLES ABBOTT
ASSOCIATES, INC., FOR STREET MAINTENANCE SERVICES
RECOMMENDED ACTION(S):

1. Approve the Second Amendment to the contract for Street Maintenance Services with Charles Abbott Associates, Inc.

2. Authorize the Mayor to sign, and the City Clerk to attest, the Second Amendment substantially in the form attached.

EXECUTIVE SUMMARY:

Charles Abbott Associates, Inc. (“CAA”) provides street maintenance services under an Agreement for Maintenance Services approved by the City Council on August 16, 2016 (“Agreement”) (Attachment 1). The City Council approved a one-year extension to the Agreement on April 20, 2021 (Attachment 2). The term of the Agreement is set to expire on September 30, 2022.

In June 2022, the Public Works Department initiated the procurement process to secure a new agreement for street maintenance services in anticipation of the expiration of the current Agreement. The procurement includes extensive variables that impact pricing which require further analysis. As a result, staff recommends the City Council approve the proposed Second Amendment to the Agreement (Attachment 3). The Second Amendment would extend the term of the existing Agreement by three months and provide staff adequate time to thoroughly vet proposals received in response to the procurement. The Second Amendment would continue services without interruption through December 31, 2022. No additional contract authority or compensation is requested within the Second Amendment. Sufficient funds exist in the 2021-2023 Operating Budget to cover the costs of the recommended action.

BACKGROUND:

Street maintenance is a core service provided by the City on a contract basis.

Item: 8
87 2
2 1
0 CAA is the City’s current contractor for street maintenance services. Prior to CAA beginning in 2016, the County of Orange, under a five-year contract, provided this service and did so since the City’s incorporation. On August 16, 2016, the City Council awarded the Agreement to CAA in the amount of $6,479,000 for street maintenance services for a term commencing on October 1, 2016. The original term of the Agreement was set to expire on September 30, 2021. However, on April 20, 2021, the City Council approved the First Amendment to the Agreement, which extended the term to September 30, 2022 with no rate increases (Attachment 2).

The service maintains the City’s public streets, properties, and related facilities in good operating condition. It is vital the City’s streets, sidewalks, storm drains, facilities, and other properties remain safe and useable for public travel and use.

Consequently, the contract provides an important service to the community that affects the maintenance standards of the City’s transportation infrastructure. To that end, the street maintenance contractor provides all aspects of street maintenance: street repairs (including filling in of potholes); street striping; sidewalk inspections; and curb and gutter repairs. In addition, these services also provide dedicated crews to respond to emergency conditions such as traffic control in support of the Orange County Sheriff’s Department and the Orange County Fire Authority’s operations during the recent fires.

DISCUSSION:

Street Maintenance Services represents one of the City’s highest cost maintenance contracts. As a result of its significance to providing City services, the Agreement was subject to a “1% Review” by the Audit Committee on May 24, 2022. The City Council initiated the 1% Review to routinely review contracts that obligate at least 1% of the value of the City’s General Fund. The review assesses the competitive nature of the procurement for the contract and the long-term financial stability of the service. The 1% Review found the procurement which led to the Agreement with CAA was reasonably competitive, but the variety of services provided under the arrangement make it difficult to compare costs paid by neighboring cities with similar contracts.

In June 2022, the City Manager approved the Request for Proposal (“RFP”) for Street Maintenance and Engineering Support Services. The Street Maintenance RFP defines the Scope of Work with seventy-seven work tasks comprising the work typically needed over several fiscal years. The tasks include but are not limited to: pothole and road repairs, street sign fabrication and installation, concrete and asphalt repairs, trash and debris removal, flood response, pavement markings and striping, sidewalk grinding and ramping, and storm drain maintenance. Not all seventy-seven tasks are performed in one fiscal year. Only those tasks necessary to proactively maintain the City’s streets and sidewalks Item: 8
88 2
2 1
0 are included in the annual budget. The City subsequently received proposals from two firms.

Based on the evaluation process and cost proposals, street maintenance service costs will increase under the new agreement. Due to the rising costs of materials, labor, fuel, and overall inflation, staff believes the cost proposals received as part of this procurement are consistent with projections. However, further analysis is necessary with each proposer. The annual cost for the current Agreement is approximately $1,295,800.

The current Agreement with CAA has sufficient compensation to provide services for three additional months and CAA has agreed to continue current pricing during the extension. After staff conclude the proposal review process, a new three-year agreement for street maintenance services will be presented to the City Council for consideration.

FISCAL IMPACT:

The proposed Second Amendment does not adjust the compensation amount in the Agreement. The Second Amendment would extend the term of the Agreement by three months to December 30, 2022. Sufficient funds exist in the 2021-2023 Operating Budget to cover the costs of the recommended action.

ATTACHMENTS:

1. Agreement for Maintenance Services - CAA, Inc.

2. First Amendment to Agreement for Maintenance Services - CAA, Inc.

3. Second Amendment to Agreement for Maintenance Services – CAA, Inc.

Initiated By: Michael McConaha, Public Works Maintenance Manager Submitted By: Thomas Wheeler, P.E., Director of Public Works/City Engineer Approved By: Debra Rose, City Manager
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Attachment 2
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CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: Public Works
SUBJECT:

APPROVE SECOND AMENDMENT TO THE AGREEMENT WITH STANTEC

CONSULTING SERVICES FOR ON-CALL TRAFFIC MODELING SUPPORT RECOMMENDED ACTION(S):

1. Approve the Second Amendment to the agreement for On-Call Traffic Modeling Support with Stantec Consulting Services.

2. Authorize the Mayor to sign, and the City Clerk to attest, the Second Amendment with Stantec Consulting Services, substantially in the form attached.

3. Adopt a Resolution entitled: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA, AMENDING THE 2021-2023

OPERATING BUDGET, AMENDING APPROPRIATIONS FOR FISCAL
YEAR 2022-23
EXECUTIVE SUMMARY:

The Public Works Department utilizes a traffic modeling consultant to develop, prepare, and manage the City’s traffic modeling network known as the Lake Forest Traffic Analysis Model (“LFTAM”). The LFTAM model is used to prepare five-year updates to the Lake Forest Transportation Mitigation (“LFTM”) Program, support the General Plan updates, support traffic modeling needs for various developments, and support miscellaneous City-directed studies.

The City has utilized Stantec Consulting Services, Inc. to perform the traffic modeling support for LFTM. On October 16, 2018, the City Council approved the Professional Consultant Services Agreement with Stantec Consulting Services, Inc. (Attachment 1). The Agreement includes a three-year term with two optional one-year extensions and $250,000 in compensation. The First Amendment to the Agreement was approved on October 14, 2021 and did not adjust the compensation or the rates (Attachment 2). The First Amended extended the term of the Agreement to October 16, 2022.

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The proposed Second Amendment (Attachment 3) would provide a one-year term extension with no additional compensation to the Agreement as there is sufficient contract authority to continue providing traffic modeling support. Staff is requesting an additional budget appropriation of $80,000 from LFTM restricted funds to allow Stantec Consulting Services, Inc. (“Stantec”) to prepare and administer the required five-year update to the LFTM Program. The City Council must pass the attached budget resolution to enact the appropriation (Attachment 5).

Therefore, staff is recommending City Council approve the appropriation of LFTM funds in the amount of $80,000 to allow for the preparation and administration of the five-year LFTM Program update and authorize the Mayor to sign, and the City Clerk to attest, the Second Amendment with Stantec for an extension of time with no additional compensation.

BACKGROUND:

In July 2008, the City Council adopted Ordinance No. 186, which amended Chapter 7.19 of the Lake Forest Municipal Code to establish LFTM. The LFTM Program was established for the purposes of providing funding for the coordinated and phased installation of traffic and transportation improvements to serve, benefit, and mitigate the impacts of development in the area of the City referred to as the Opportunities Study Area (“OSA”). The LFTM Program established a list of citywide transportation improvements at 18 intersections throughout the community to mitigate the impacts of development, and to maintain adequate levels of service on the City’s arterial street system.

In 2011, the City Council approved the one-time Baseline Adjustment to the LFTM Program that analyzed trip generation and traffic patterns based on actual land uses and unit counts at the time, as compared to those forecasted in 2008.

The Baseline Adjustment Study resulted in a reduction of intersection improvements from 18 intersections to 15 intersections.

The LFTM Ordinance stipulates a Five-Year Review of the LFTM Program. The requirement for five-year reviews was included in the LFTM ordinance to ensure that the LFTM Program continues to address the City’s future roadway improvement needs. The Five-Year Review is a complete review of the LFTM Program to be conducted by the City in five (5) year intervals after the effective date of the LFTM Program. The purpose of the five-year update is to update cost estimates, allocations, explore alternative mitigation measures that cost no more than the original mitigation measures as adjusted pursuant to the formulas within the LFTM Ordinance or eliminating specific traffic and/or transportation improvements that are no longer necessary.

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In 2014, the LFTM Program was updated per the stipulation in the LFTM ordinance to review the program every five-years. The review of the program resulted in no change to the approved locations for improvements previously identified.

In 2020, the City Council received and filed the 2018 LFTM Five-Year review and update. The review updated program costs, reviewed calculations of the required annual escalator/deflator for 2019 and revised the LFTM fee structure based on updated information. This review was conducted by Stantec under their Agreement with the City. The City Council’s initial approval provided compensation to begin utilizing these services with the understanding staff would routinely bring amendments back to City Council on an as-needed basis.

On September 7, 2021, the City Manager approved the First Amendment (Attachment 2) to continue utilizing Stantec for On-Call Traffic Modeling Support per the City’s Purchasing and Contract Guidelines as no additional compensation was needed.

DISCUSSION:

There are several substantial traffic modeling efforts that will need to be completed in the next one to two years. These include the required five-year update to the LFTM program and traffic modeling support for work associated to developer projects. To efficiently complete these and other related traffic modeling tasks, staff is recommending that the City Council approve an additional one-year extension with Stantec to provide ongoing traffic modeling support to the City. This will allow work to be authorized using task orders instead of awarding individual contracts.

The work will consist of, but is not limited to, the following:
•All traffic modeling, traffic forecasting, traffic analysis, improvement analysis and cost analysis for the LFTAM
•All traffic modeling, traffic forecasting, traffic analysis, improvement analysis and cost analysis for the LFTM Program
•All traffic modeling, traffic forecasting, traffic analysis, improvement analysis and cost analysis related to development activity (specifically addressing CEQA traffic mitigations regarding Vehicle-Miles-Traveled “VMT” analyses)
•Any and all traffic modeling, traffic forecasting, traffic analysis, improvement analysis, cost analysis, traffic engineering and other related work, including but not limited to, report preparation and presentations to elected and appointed bodies, as directed by the City.

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Some of the specific detailed work that needs to be completed over the next one to two years includes:
•Five Year Update to the LFTM Program (Anticipated in Fiscal Year 2022- 2023)
oThe LFTM Program is required to have a full update completed at least once every five years. The work includes revised traffic forecasting, traffic analysis and an analysis and updated of the costs for the mitigation improvements. This information is then used to adjust developer fees, if necessary.
•Development Review
oFor larger development projects, traffic modeling is used to determine the traffic impacts (specifically level-of-service “LOS” and VMT analyses) and identify any mitigation that the developer will be required to construct. The City’s consultant will provide baseline data to the developer’s consultants for analysis. The City’s consultant also provides a peer review of the findings for the city in coordination with staff.
•City Directed Studies
oCity Council, Traffic and Parking Commission, and staff will occasionallyrequest information on potential changes to traffic patterns or intersection operations if certain traffic improvements are added or deleted.
•Capital Improvement Program (“CIP”) Traffic Modeling Support oProposed improvements to several CIP project intersections including major widenings at Bake Parkway and Jeronimo Road, Bake Parkway and Toledo Way, Los Alisos Boulevard and Rockfield Boulevard, Los Alisos Boulevard and Muirlands Boulevard, etc. which may require various levels of traffic modeling. This would also provide support for potential projects for the next two-year cycle of CIP projects.

Staff completed a vendor performance assessment as part of this contract amendment, which the assessment is used as a guide to determine whether a contract should be amended, renewed, or terminated based on performance in the following categories: performance of scope of services; timeliness; budget performance; and customer service. Utilizing a detailed evaluation form, staff rates the consultant on a one to five scale for specific questions contained in each category.

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The table below provides an overall summary of Stantec’s performance since commencement of the contract.

Table 1: Consultant Performance Review
Stantec Consulting Services – Performance Review
October 17, 2018, through June 30, 2022
Category Unsatisfied – Very Satisfied
Performance of Scope of
services
☐Unsatisfied ☐Satisfied ☒Very Satisfied ☐N/A
Timeliness ☐Unsatisfied ☐Satisfied ☒Very Satisfied ☐N/A Budget Performance ☐Unsatisfied ☐Satisfied ☒Very Satisfied ☐N/A Customer Service ☐Unsatisfied ☐Satisfied ☒Very Satisfied ☐N/A Consistent with the City’s Purchasing and Contract Guidelines, the Finance Department prepared the Second Amendment and the City Attorney’s Office reviewed and approved them as to form (Attachment 3).

In addition to amending the Agreement with Stantec, the upcoming LFTM Five- Year review will fall within the terms of the Agreement. This review is within their current scope of work, however, the LFTM Program did not appropriate funds to the 2021-2023 Operating Budget for this Five-Year review. Although there is sufficient contract authority, LFTM funds need to be utilized per the LFTM Ordinance. Therefore, staff obtained a cost proposal from Stantec (Attachment 4) to prepare and administer the upcoming LFTM Five-Year review and to let staff identify the appropriate LFTM funds needed for the review. Stantec’s proposal was in the amount of $75,162. Based upon Stantec’s proposal and staff providing additional contingencies for unforeseen analysis, staff is requesting to appropriate $80,000 to the LFTM fund for the Five-Year review.

Therefore, staff recommends City Council to appropriate the identified LFTM funds to a general LFTM account in the 2021-2023 Operating Budget (Attachment 5) as summarized in the table below.

Table 2: LFTM Program Budget
LFTM Program
Current LFTM Budget $3,576,000
Proposed LFTM Five-Year Review Appropriation $80,000
Amended LFTM Budget $3,656,000
This will allow appropriate preparation and administration for the LFTM Program.

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FISCAL IMPACT:

Approving the Second Amendment with Stantec would extend the term of the Agreement by one year to end on October 16, 2023. The contract value would remain unchanged.

Approving the recommended actions would appropriate $80,000 from the LFTM fund to provide budget authority for the consulting services.

There are sufficient funds for the recommended actions.

ATTACHMENTS:

1. Original Agreement with Stantec Consulting Services

2. First Amendment to the Agreement with Stantec Consulting Services

3. Second Amendment to the Agreement with Stantec Consulting Services

4. Stantec Consulting Services – 2024 LFTM Five-Year Review Cost Proposal

5. Resolution
Initiated By: Tran Tran, Traffic Engineering Manager
Submitted By: Thomas E. Wheeler, P.E., Director of Public Works/City Engineer Approved By: Debra Rose, City Manager
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ATTACHMENT 1
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ATTACHMENT 3
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55136.00200\31919338.1 - 1 -

CITY OF LAKE FOREST

SECOND AMENDMENT TO

AGREEMENT FOR PROFESSIONAL CONSULTANT SERVICES
PARTIES AND DATE.

This Second Amendment to the Agreement for Professional Consultant Services (“Second Amendment”) is entered into on the [***INSERT DAY***] day of [***INSERT MONTH***] , [***INSERT YEAR***], by and between the City of Lake Forest, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 100 Civic Center Drive, Lake Forest, CA 92630 (“City”) and Stantec Consulting Services, Inc. , a New York corporation, with its principal place of business at 38 Technology Drive, Irvine, California 92618 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."
RECITALS.

2.1 Agreement. The Parties entered into that certain Agreement for Professional Traffic Modeling Services dated October 16, 2018 (“Agreement”).

2.2 First Amendment. The parties entered into that certain First Amendment in order to extend the term of the Agreement and update the delivery of notices dated October 14, 2021 (“First Amendment”).

2.3 Second Amendment. The Parties now desire to amend the Agreement in order to extend the term of the Agreement.

TERMS.

3.1 Term. Section 3.1.2 of the Agreement is hereby amended in its entirety to read as follows:

Term. The term of this Agreement shall be from October 17, 2018 to October 16, 202 3, unless earlier terminated as provided herein.

Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3.2 Remaining Provisions of Agreement. Except as otherwise specifically set forth in this Second Amendment, the remaining provisions of the Agreement shall remain in full force and effect.

DocuSign Envelope ID: 36FC75A2-22AA-4D07-A13E-B7CA2389D59D Item: 9
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55136.00200\31919338.1 - 2 -

CITY OF LAKE FOREST STANTEC CONSULTING SERVICES, INC.

By: [AUTHORIZED CITY SIGNATURE]
Robert Pequeño
Mayor

By: [VENDOR SIGNATURE 1]
[INSERT NAME 1]
[INSERT TITLE 1]
[If Corporation, TWO SIGNATURES,
President OR Vice President AND Secretary
OR Treasurer REQUIRED]
ATTEST:

By: [CITY CLERK SIGNATURE]
Lisa Berglund
City Clerk
By: [VENDOR SIGNATURE 2]
[INSERT NAME 2]
[INSERT TITLE 2]
APPROVED AS TO FORM:

By: [CITY ATTORNEY SIGNATURE]
Best Best & Krieger LLP
City Attorney

DocuSign Envelope ID: 36FC75A2-22AA-4D07-A13E-B7CA2389D59D Dave Elwell
Vice President

DARYL ZERFASS
Principal, Transportation Planning and Traffic Eng
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Attachment 4
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Stantec Consulting Services Inc.
38 Technology Drive, Suite 200
Irvine CA 92618-5310
August 30, 2022
Project/File: 204282009
Mr. Tran Tran, P.E.

Traffic Engineering Manager
City of Lake Forest
100 Civic Center Drive
Lake Forest, CA 92630
Dear Mr. Tran,
Reference: Proposal to Prepare the 2024 Lake Forest Transportation Mitigation (LFTM) Program 5- Year Review
Thank you for requesting the assistance of Stantec Consulting Services Inc. (Stantec) for the preparation of the 2024 5-Year Update of the Lake Forest Transportation Mitigation (LFTM) Program. It is our understanding that the LFTM Ordinance requires a comprehensive review be prepared every five years, the most recent of which was completed in 2018.

Based on discussions with City staff this 5-year review will include a review and update to the following:
- Citywide land use data
- Committed roadway network
- Lake Forest Traffic Analysis Model (LFTAM)
- LFTM transportation improvements
- LFTM program cost (cost estimates and concept plans)
- LFTM program fee structure
- Annual Escalator/Deflator

Based on this understanding, we have prepared the attached Scope of Work and Fee Estimate (Attachments A and B) for your consideration. Thank you for the opportunity to assist you with this very important project for the City of Lake Forest. Feel free to contact Daryl or Maria if you have any questions or would like to discuss our proposal in greater detail. This proposal is valid for 90 days.

Sincerely,
STANTEC CONSULTING SERVICES INC.

Maria Morris

AICP, PTP
Senior Transportation Planner
Phone: (949) 923-6072
[email protected]
Daryl Zerfass

PE, PTP
Principal, Transportation Planning & Traffic Engineering Phone: (949) 302-8995
[email protected]
Attachment: Attachment A – Scope of Work
Attachment B – Fee Estimate
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Reference: Proposal to Prepare the 20 24 Lake Forest Transportation Mitigation (LFTM) Program 5-Year Review

ATTACHMENT A – SCOPE OF WORK
Task 1: Traffic Volume Forecast and Level of Service Analysis Task 1 involves the preparation of the future-year traffic volume forecasts that are based on the City’s General Plan uses. The following subtasks are proposed to update the Lake Forest Traffic Analysis Model (LFTAM).

1.1. Citywide Land Use Updates
We will review the most recent land use database utilized by the LFTAM, which was last updated for the General Plan Update in 2019. Stantec will coordinate with the City’s Planning department to obtain any land use updates to incorporate in the City’s 2040 database. This may include mixed-use planning areas in the City. Stantec staff will rely on City staff to provide the information related to land use changes.

1.2 Committed Roadway Network Updates
The LFTM Program assumes a “committed” roadway network, which is defined as new roadways or roadway improvements directly related to new development. The committed roadway network also includes signalized intersections that provide project access. Stantec will review the most recent committed network that was used in the 2018 LFTM 5-year Update and in the General Plan Update effort and coordinate with City staff to develop an updated committed network.

1.3 Existing Traffic Conditions and Adjustment Factors
Existing intersection level of service (LOS) will be calculated using the Intersection Capacity Utilization (ICU) methodology. New traffic counts will be collected at 45 study locations. Stantec will use a subcontractor (AimTD) to collect new AM and PM period intersection traffic counts. Midblock Average Daily Traffic (ADT) counts, and truck classification counts are not included in this scope. The 2023 existing count data will be compared to historic counts (pre-pandemic). The purpose of this exercise will be to determine if any adjustments (i.e., a new baseline) should be applied to the future forecast (2040) due to possible changes in travel patterns post-pandemic.

1.4 Traffic Volume Forecasts and LOS Analysis
Subsequent to the land use database update, the LFTAM will be utilized to produce citywide average daily traffic (ADT) volumes and peak hour intersection turning movement volumes for General Plan buildout conditions with the committed network.

Peak hour traffic forecasts will be prepared for the 45 intersections evaluated in the prior LFTM traffic studies, which represents the major intersections within the City as well as key intersections in adjacent Cities. Intersections will be identified that do not meet the City’s established LOS criteria given committed improvements only.

Task 2: LFTM Improvement Analysis

2.1 LFTM Background and History
Stantec will review past LFTM studies and prepare a summary of all LFTM Program improvements since the original study and their current status (i.e., completed, in-progress, incomplete, removed).

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Reference: Proposal to Prepare the 20 24 Lake Forest Transportation Mitigation (LFTM) Program 5-Year Review

2.2 LFTM Improvement Analysis
Building from the summary prepared in Subtask 2.1, each LFTM Program location will be evaluated, and the approach is summarized in Table 1 below. The future condition traffic forecasts established as part of Task 1.4, above, will be utilized to evaluate the LFTM improvements. Each location will be evaluated to determine if the City’s LOS criteria can be met if the improvement is reduced or eliminated. From this evaluation, an updated listing of LFTM improvements will be identified.

Table 1: LFTM Improvement Analysis Approach
Project
Status
Description of Approach
In-
Progress
Identify LFTM improvements and history (i.e., addition/removal of improvements), identify non-LFTM improvements

Update cost (administration, environmental, design, right of way, construction, construction support/administration)

Prepare high-level concept plan (striping on an aerial base) Incomplete Identify LFTM improvement s and history, identify non-LFTM improvements, identify improvements that the City does not want to move forward with (if applicable)

Identify the ICU and LOS and if they are sufficient the location is considered complete and funds will be considered for reallocation to other improvements such as ATMS improvements, crosswalk upgrades, etc.

For improvements that the city does not want to pursue due to current operations, alternative improvements will be evaluated, such as crosswalk updates/removal and ATMS improvements

Update cost

Prepare high-level concept plan
Complete Identify completed LFTM improvements and history

Identify if fees are left over. If fees are left over, reallocate funds or ATMS

Update cost for any new improvements from reallocated funds

Prepare high-level concept plan for any new improvements from reallocated funds Joint
LFTM/
NITM
Identify LFTM improvements and history, identify NITM improvements

Coordinate with the City of Irvine to identify fair-share obligations and joint improvements

Update cost for joint improvements

Provide high-level concept plan of the joint improvement Outside
City
Jurisdiction
Identify LFTM improvements and history

Update cost for joint improvements, if needed

Provide high-level concept plan of the joint improvement

Identify opportunities to pay the appropriate fair-share fee for the improvement to the local jurisdiction New
Deficiency
Identify any locations that show a new deficiency due to changes in the committed network, such as the elimination of Ridge Route overcrossing and Portola Gap closure.

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Reference: Proposal to Prepare the 20 24 Lake Forest Transportation Mitigation (LFTM) Program 5-Year Review

Task 2 Deliverables:
 Updated list of LFTM improvements
Task 3: LFTM Program Cost Analysis

3.1 Fee Structure and Annual Escalator/Deflator
In this work task the cost of the updated LFTM improvements will be divided among the OSA unit yield to determine per unit and per square footage fees. The cost allocation methodology will utilize the formula developed in the original 2006 LFTM traffic study and subsequently used for the 2011 and 2014 reviews.

The methodology utilizes ADT trip generation of the specific OSA land uses as the basis for deriving traffic shares and takes into account both trip generation and trip length.

3.2 Program Cost Analysis
The preparation of new cost estimates for revised LFTM improvements will be prepared as needed for up to 11 intersections utilizing publicly available aerial photography as a base-map and industry standard unit costs for improvements. Construction cost estimates for more than 11 intersections can be prepared at an additional cost. High-level concept plans will be prepared for up to 11 locations that show the proposed improvements on an aerial base. The concept plans will be prepared using AutoCAD at 1”=40’ or 1”=20’ horizontal scale, as appropriate, Cost estimates for additional intersections would be extra work subject to an additional fee when authorized by the City.

A traffic shares summary will be produced identifying the land uses within each OSA project area and the corresponding cost allocation to each.

Task 3 Deliverables:
 High-level conceptual plans for up to 11 intersections (i.e., proposed striping on an aerial base)  Cost estimates for up to 11 intersections
 Traffic shares summary
Task 4: LFTM Program Traffic Study Report
The analysis prepared as part of Tasks 1, 2 and 3, above, will be documented in a comprehensive stand- alone traffic study report. In addition to the items noted above, we will also include a description of Administration and Environmental Cost and how it can be used within the LFTM Program (based on original agreements).

Task 4 Deliverables:
 Draft LFTM Study Report
 Final LFTM Study Report
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Reference: Proposal to Prepare the 20 24 Lake Forest Transportation Mitigation (LFTM) Program 5-Year Review

Task 5: Project Support and Management
Stantec staff will provide support to the overall effort and will be available for up to two meetings with the project team and one meeting with the City of Irvine. The project manager will provide financial monthly invoicing in a timely manner with appropriate notes for the City’s records and ensure the project is on schedule.

Schedule
The above scope of work is expected to be completed within 10 to 15 weeks after receiving authorization to start work.

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Reference: Proposal to Prepare the 20 24 Lake Forest Transportation Mitigation (LFTM) Program 5-Year Review

ATTACHMENT B – FEE ESTIMATE
The work is proposed to be completed on a time and materials basis. The estimated cost is $64,932 which includes $200 of direct costs for mileage if site visits are needed.

Table 2 Cost Estimate

COST SCHEDULE BY LABOR CLASSIFICATION
Labor Classification Rate Hours Cost
Principal/Traffic Engineer (Billing Level 17) $215 28 $6,020 Transportation Specialist (Billing Level 17) $215 36 $7,632 Sr. Associate/Traffic Engineer (Billing Level 16) $212 16 $3,440 Project Manager/Sr. Transportation Planner (Billing Level 13) $170 110 $18,700 Sr. Traffic Engineer (Billing Level 13) $170 64 $10,880 Transportation Analyst (Billing Level 10) $140 129 $18,060 Labor Total 383 $64,732

COST SCHEDULE BY WORK TASK

1. Traffic Volume Forecast and Levels of Service 83 $14,435

2. LFTM Improvement Analysis 47 $8,065

3. LFTM Program Cost Analysis 187 $31,382

4. LFTM Program Traffic Study Report 44 $6,940

5. Project Support and Management 22 $4,110
Direct Costs $200
Traffic Counts $10,230
Total $75,162
Conclusion
Thank you again for the opportunity to work with you on this important transportation study effort for the University. Please feel free to contact us if you have any questions or wish to discuss.

Notes:

Additional services not addressed in the above Scope of Work can be provided on a time and materials basis based on Stantec’s standard billing rates when authorized by Client.

This proposal is valid for 90 days from the date of submission.

The indicated schedule may change due to government restrictions placed on work activities due to the COVID-19 pandemic.

The contents of this proposal may not be divulged to any third party without Stantec’s written consent.

We are not responsible for any costs incurred due to schedule delays for reasons beyond our control (e.g., weather, client-induced delays, non-performance of other contractors, etc.).

Our cost estimates do not include external fees, such as regulatory application fees, project registration fees, or certification fees.

PAYMENT NOT CONTINGENT UPON PROJECT APPROVAL
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Reference: Proposal to Prepare the 20 24 Lake Forest Transportation Mitigation (LFTM) Program 5-Year Review

Stantec will endeavor to provide a complete traffic assessment within the scope of services and following accepted procedures or approved deviations and meeting the approval of the reviewing agency. However, we cannot guarantee that a reviewing agency will approve any project, permit, or proposal. If the traffic assessment is completed to the satisfaction of agency staff or in fulfillment of agency procedures, but the agency does not approve the proposed project, any earned fees will be fully payable.

Exclusions
The above scope of work specifically excludes the following:
a. Traffic counts not specific ally described in the scope b. Collection of r oadway survey data
c. Deriving land use data
d. Attendance at public meetings or hearings
The following describes the situations that most frequently result in the need for extra work and additional compensation.
 Traffic studies for additional locations, not indicated within the proposal  Significant delays in the project schedule
 Use of study procedures at the direction of the client or lead agency that are not consistent with the applicable agency practice
 Changes in agency requirements that expand the required scope of the study  Unsubstantiated comments regarding validity of traffic data collection or analysis, review delays, or evidence that the agency is not inclined to approve any study for the subject site  Subsequent legal challenges that arise following agency approval of a project or proposal
 Responses to excessive comments made by third parties to documents under public review
We will advise the client immediately if circumstances described above are anticipated and discuss appropriate resolution.

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8 ATTACHMENT 5
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8 RESOLUTION NO. 2022-

A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF LAKE FOREST, CALIFORNIA, AMENDING
THE 2021-2023 OPERATING BUDGET, AMENDING
APPROPRIATIONS FOR FISCAL YEAR 2022-23
WHEREAS, the 2021-2023 Operating Budget was adopted by the City Council on June 15, 2021; and
WHEREAS, the appropriations for Fiscal Year 2022-23 were adopted by the City Council on June 21, 2022;
WHEREAS, modifications are now required as a result of changes during Fiscal Year 2022-23.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE

FOREST DOES HEREBY RESOLVE, DETERMINE, FIND AND ORDER AS FOLLOWS:

Section 1.The City Council’s adoption of this Resolution is not a project within the meaning of the California Environmental Quality Act. Specifically, the City’s adoption of the Resolution is an administrative and fiscal function of the City that does not commit the City to any specific project or course of action. (State CEQA Guidelines, sections 15378(b)(4) & (b)(5).) Thus, no environmental review of the Resolution is required. The City Council hereby directs staff to prepare, execute and file with the Orange County Clerk a Notice of Exemption within five working days of the adoption of this Resolution.

Section 2. The Lake Forest Transportation Mitigation Fund is amended for Fiscal Year 2022-23 as demonstrated in Exhibit A.

Section 3. The Director of Finance is hereby authorized to move appropriations between line items within departmental budgets in concurrent with Department Directors.

Section 4. The City Manager is hereby authorized to transfer appropriations from one department to another or between funds within the Operating Budget with notification to the City Council Audit Committee.

Section 5. The City Manager is hereby authorized to transfer appropriations from a capital improvement project to another existing project within the adopted Capital Improvement Program with notification to the City Council Audit Committee.

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8 Section 6.The City Clerk shall attest as to the adoption and execution of this Resolution and cause the same to be maintained in the permanent records of the City.

PASSED, APPROVED AND ADOPTED this 20th day of September 2022, by the following vote, to wit:

ATTEST:

ROBERT PEQUEÑO
MAYOR

LISA BERGLUND

CITY CLERK
APPROVED AS TO FORM:

MATTHEW RICHARDSON

CITY ATTORNEY

STATE OF CALIFORNIA )

COUNTY OF ORANGE ) SS

CITY OF LAKE FOREST )
I, Lisa Berglund, City Clerk of the City of Lake Forest, California, do hereby certify that the foregoing Resolution No. 2022- was duly passed and adopted at a regular meeting of the Lake Forest City Council on the 20th day of September, 2022, by the following vote, to wit:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

LISA BERGLUND

CITY CLERK
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8 EXHIBIT A
AMENDMENT TO 2021-2023

OPERATING BUDGET, AMENDMENT
TO FISCAL YEAR 2022-23

OPERATING APPROPRIATIONS
Operating Appropriations
Fund Name
Current
Budget
Increase
(Decrease) Amended Budget
Lake Forest
Transportation
Mitigation
3,576,000 80,000 3,656,000
Total $3,656,000
Item: 9
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CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: Management Services
SUBJECT:

RECREATION VENDOR CONTRACT INSTRUCTOR PAYMENTS
RECOMMENDED ACTION(S):

Authorize a $16,860.20 payment to Skyhawks, a $483.00 payment to Super Soccer Stars, and a $3,907.40 payment to Ever After Productions for the remaining enrollment revenues owed for summer 2022 season contract classes.

EXECUTIVE SUMMARY:

The Community Services Division utilizes contracted instructors to offer recreational classes for the community. As such, the City enters into a Recreation Class Instruction Contract Agreement (“Contract Class Agreement”) with independent instructors. The agreements stipulate that the City will be responsible for advertising the classes to the community, taking registration for the classes, and hosting the classes at City facilities. Unlike the City’s typical service agreements that include a defined compensation amount, compensation for the Contract Class Agreements is determined through a 70/30 formula (sample contract template provided as Attachment 1). Under the 70/30 formula, contractors are entitled to 70% of all program revenue, while the City retains the remaining 30%.

During the 2022 summer season, three vendors - Ever After Productions, Super Soccer Stars, and Skyhawks - with Contract Class Agreements experienced large enrollments, resulting in revenues owed in excess of $10,000. The breakdown of revenue generated and owed from the summer 2022 season is shown in Table 1.

Item: 10
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Table 1: Instructor Revenue Owed for Summer 2022
Vendor Revenue
Collected
Revenue
Owed
Amount
Paid
Amount
Still Owed
Skyhawks $37,901.00 $26,530.70 $9,670.50 $16,860.20
Super Soccer
Stars
$14,805.00 $10,356.50 $9,873.50 $ 483.00
Ever After
Productions
$19,182.00 $13,427.40 $9,520.00 $ 3,907.40
Recreation class payments have not exceeded $10,000 per season until recently. Per Purchasing and Contracting Guidelines, “The selection of a contract instructor is subject to the Department Director approval limit up to $10,000 per Recreation Class Instruction Contract Agreement, and in such cases does not require a competitive procurement or quote process.” As no formal procurement was conducted, staff is only authorized to approve payment up to $10,000 per contracted season. As shown in Table 1, the remaining balance owed to Skyhawks for the summer season is $16,860.20, $483.00 to Super Soccer Stars, and $3,907.40 to Ever After Productions.

On March 15, 2022, the City Council adopted an updated version of the Purchasing and Contracting Guidelines to address this issue (Attachment 2).

However, recreation class instructors are scheduled approximately six months prior to their commencement. Therefore, the new Purchasing and Contracting Guidelines were not in place when staff procured instructors for the Summer 2022 season. However, staff followed the new process for contract class agreements for the Fall 2022 recreation season. This resulted in an open procurement process for three separate youth sports classes anticipated to generate over $10,000 in revenue per season and the City Council awarding a three-year agreement to Super Soccer Stars and Skyhawks for their services on July 19, 2022, with an effective date of September 1, 2022. Since this is the first season in which Ever After Productions has crossed the $10,000 revenue threshold, staff will monitor to see if this revenue is reached again in a future season over the next year. If so, staff will initiate a procurement process for dance programs as outlined by the Purchasing and Contracting Guidelines.

Municipal Code Section 3.12.150 (b) allows the City Council to authorize purchase of supplies, equipment, and non-professional service contracts without utilizing a competitive procurement process, so long as the City Council determines that a sole source procurement is in the best interest of the City (Attachment 3). Staff is recommending the City Council approve the payments to the recreation vendors because the payments are consistent with the Contract Class Agreements, which specify the service provider receive 70% of the revenues collected.

Item: 10
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8 9
Staff recommends the City Council authorize the City Manager to approve the payment of $16,860.20 to Skyhawks, $483.00 to Super Soccer Stars, and $3,907.40 to Ever After Productions, which will fully compensate each contractor (Attachment 4). Sufficient funds exist in the 2021-2023 Operating Budget for Community Services to cover the costs of the recommended action.

FISCAL IMPACT:

Approval of the recommended action will result in authorization to pay Skyhawks in the amount of $16,860.20, Super Soccer Stars in the amount of $483.00, and Ever After Productions $3,907.40 for classes taught during the summer 2022 season. Sufficient funds exist in the 2021-2023 Operating Budget for Community Services to cover the costs of the recommended action.

ATTACHMENTS:

1. Sample Recreation Class Instruction Contract Agreement

2. Purchasing and Contract Guidelines Section VII: Miscellaneous Purchasing, Recreation Vendors and Contract Instructors

3. Lake Forest Municipal Code Section 3.12.110

4. Contract Instructors Payment Due Report
Initiated By: Laura Lisack, Recreation Manager
Submitted By: Brett Channing, Deputy City Manager
Approved By: Debra Rose, City Manager
Item: 10
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Attachment 1
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55136.00000\33035680.1

CITY OF LAKE FOREST

RECREATION CLASS INSTRUCTION CONTRACT AGREEMENT
(With Employees)
June, July, August 2022
This
Recreation Class Instruction Contract Agreement (“Agreement”) is entered into this__________ day of ____________ by and between the City of Lake Forest, California (“City”) and ____________________________ (“Instructor”), for the instruction of the class(es) in ________________________________________ (“Class”). The parties agree as follows:

SECTION 1. DUTI ES OF PARTIES
A. THE CITY AGREES TO PERFORM THE FOLLOWING:

1. Facility. Unless otherwise agreed upon by the parties, the City will provide a facility for the Class without charging Instructor any rental fees for the use of the facility.

2. Publicity. T he City will provide publicity relating to the instruction of the Class in the quarterly recreation brochure published four (4) four times each year.

B. INSTRUCTOR AGREES TO PERFORM THE FOLLOWING:

1. Instruction . Instructor shall provide its employees or agents (“Employee(s)”) to instruct the Class. Instructor’s Employees agree to use his/her best efforts to properly instruct the Class in accordance with the Instructor’s lesson plan, which shall be submitted to the Recreation Office prior to Class commencing.

Instructor is responsible for determining the method and manner of instruction.

2. Minimum Participants. Instructor shall determine the minimum number of participants required for instruction in the Class. In the event that the minimum number of participants is not realized by the second meeting of the Class, the Class may be canceled. In the event the Class is canceled, the Instructor will be under no obligation to provide instruction services and City will be under no obligation to pay Instructor. If the minimum number is met or exceeded, the Class will be held as scheduled (regardless if any of the initial participants terminate). If the demand is such that it is deemed necessary to institute an additional Class, it shall be taken under consideration and negotiated by the City and Instructor.

3. Staff Cooperation. Instructor shall at all times cooperate with the Recreati on Division staff to ensure that the instruction of the Class conforms to the requirements of this Agreement.

4. City Property. I
nstructor, on behalf of itself and its employees, agrees to use due care to properly secure and prevent theft of all property belonging to the City and its Recreation Division.

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55136.00000\33035680. 1

5. Discipline. Instructor, on behalf of itself and its Employees, agrees to use due care to ensure the orderly and disciplined conduct of all participants in the Class and to supervise the conduct of the participants and participants’ children. Children shall not run through City building or be unattended in facility at any time.

6. A bsences. Instructor shall obtain permission of the Recreation Division at least one (1) week prior to any absence of an Instructor Employee from the Class.

Instructor will contact Class participants when canceling a Class. The Instructor is urged to arrange for a substitute in the event of missed Classes.

7. Additional Instructor Responsibilities. Additional Instructor responsibilities include the following:
a. C ooperating with requests from the Recreation Staff. b. Class participants will be cleared from Class area by the designated end time of Class.
c. Tables must be covered/cleaned after each Class, when using paint, glue or other staining materials.
d. If using sound system provided by the City, due care of operation is mandatory. Instructors must be trained prior to any use. e. If any music or sound system is used, keep the sound level down so it will not interfere with other activities going on in the building. f. Closing classroom doors adjacent to lobby or hall areas while Class is in session.
g. If lights, heater or air conditioning are used, these must be turned off when Class is finished.
h. Collection of registration forms and money is not permitted by contract instructors, unless prior approval has been given by the Recreation Coordinator.
i. Requests for make- up classes will be scheduled through Recreation Division. Do not assume that the facility is available if the Recreation Division has not been contacted in advance.
j. Submitting class information on time and in the format required by the Recreation Coordinator.
k. Classes shall not be added on after the recreation magazine has gone to print and must wait until the next quarter to be offered. l. Follow the City policy regarding the restriction of the use of expandabl e
pol
ystyrene, commonly referred to by the trade name “Styrofoam,” at Item: 10
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55136.00000\33035680. 1
all City fa cilities. Failure to abide by this policy may result in the termination of this Agreement.

8. S upplies and Equipment. Instructor shall acquire, provide, repair, and maintain at Instructor’s own expense such supplies, equipment and additional personnel as deemed necessary for personal use in performing the service under this Agreement. Additional personnel and necessary supplies, equipment, and materials for the Class shall be provided by City.

9. C ancellations. In
structor’s Employee(s) who are assigned to a Class shall show up at first Class unless Instructor cancels Class one (1) week prior to Class start date. If Class is canceled two (2) times in a row, the Class will not be rescheduled until public demand has increased and as determined by the Recreation Division.

10. Contact Information. Instructor shall notify Recreation Division of the Instructor’s address change or telephone number change immediately.

11. Background Checks.
a. Instructor, all Instructor’s Employees and their employees, or agreed upon substitute personnel who will be working with persons of 18 years of age or under as part of the services to be provided pursuant to this Agreement shall be required to pass a criminal background investigation prior to performing such services.
b. Instructor, all Instructor’s Employees and their employees, or agreed upon substitute personnel agrees to submit to a criminal background check conducted by the City or City’s designee at Instructor’s sole cost and expense, payable in advance. At the City’s absolute and sole discretion, the City may prohibit any person who does not pass the criminal background check required hereunder from working with any person 18 years of age or under unless and until the City receives clearance from the Department of Justice.

12. Insurance . [CITY RISK MANAGER TO REVIEW ON A CASE BY CASE BASIS] At the City’s option, Instructor shall procure and maintain public liability and accident insurance in the amount of $_______________________, with coverage satisfactory to the City at all times while this Agreement is in force and effect. If required, such policy shall be with a California admitted carrier and City, its officers, council members, employees and agents shall be nam ed
as
additional insureds under such policy. If required, Instructor shall provi de pr
oof of such insurance and an additional insured endorsement within fift een (
15) days of the request for such evidence of insurance. Said proof of insurance, including but not limited to Insurance Certificates must be supplied to
the City prior to the commencement of the instruction services -- failure to do so may result in termination of this Agreement.

13. R ecordkeeping. I nstructor shall keep written records of all time worked by Instructor’s Employees in connection with each Class, including any time spent teaching the Class and/or preparing for the Class. These records shall specify Item: 10
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daily start time(s) and end time(s) for each day during the week, and must include a description of the work performed (e.g. teaching Class or preparing to teach Class). Instructor shall provide these written records to City after each Class. By submitting the written records to City, Instructor represents and warrants that the records are accurate and reflect all time spent working in connection with each Class.

14. M
axim um Hours Worked . Instructor may not, without City’s prior written consent, work more than 40 hours, or more than 6 days, during a week.

15. Subcontracting Prohibited. Instructor may not, without City’s prior writt en consent, use any independent contractor or subcontractor to teach any Class.

A
ll personnel assigned to teach a Class must be Instructor’s Employees.

SECTION 2. CO MPENSATION
Instructor shall submit an IRS W-9 form to the City before class instruction begins to be compensated for the class. The City will submit a request for payment to the City finance department within thirty (30) working days from the beginning date of the first class. The instructor shall be paid an amount equal to 70% of the total enrollment fees collected by the City for the Class. Instructor’s pay will be mailed to the address on file for the instructor within thirty (30) working days after submittal of payment to the City finance department.

SECTION 3. INDEPENDENT CO NTRACTOR
The parties int end and agr ee that at all times duri ng the performance of services pursuant t o this Agreement, Instructor is and shall be acting as an independent contractor.

Instructor understands and acknowledges that in entering into this Agreement Instructor is an Independent Contractor and not an employee of the City and is not eligible for any benefits of City employment. Instructor further understands and acknowledges that City does not maintain any Workers’ Compensation, accident or any type of insurance coverage for Independent Contractors.

City shall not be liable for any payment or compensation in any form to Instructor other than as provided for herein. Other than the use of the facility, Instructor shall be responsible to use his or her own tools, supplies and equipment consistent with Section 1.B(8) herein and is responsible to determine the method and manner of instruction consistent with Section 1.B(1) herein.

SECTION 4. TERM O F AGREEMENT
The term of this Agreement shall commence on ____________ and shall end ______________.

Instructor may terminate this Agreement at any time providing written notice at least thirty (30) days prior to the projected starting date of the next quarter. City may terminate this Agreement at any time without cause, and shall compensate Instructor for services rendered prior to the date of termination.

The parties agree that City may have to cancel or postpone a Class due to unexpected events.

Executed at Lake Forest, California, on the dat e first above written, by the parties’ duly authorized officers.

INSTRUCTOR
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55136.00000\33035680.1
Instructor’s Signature: Date:_____________
[[If Corporation, TWO SIGNATURES, President OR Vice President AND Secretary OR Treasurer REQUIRED]]
Instructor’s Printed Name:

CITY OF LAKE FOREST
Signature: Date:_____________
Name:

Title:

Item: 10
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Attachment 2
Item: 10
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SECTION VII. MISCELLANEOUS PURCHASING

Last Reviewed: March 15, 2022 61 Last Edited: March 7, 2022 Instructor Agreements – Recreation Vendors and Contracted Instructors

Classes, programs, and activities are typically listed in the City’s recreational programing advertisement which is typically released four times per year in quarterly sessions or seasons.

A season refers to the time frame covered by the City’s recreational programing advertisement.

The selection of instructors and terms of Instructor Agreements shall align with seasonal terms using the selection and procurement procedures in this section. All classes, programs, and activities are subject to the open market selection and formal procurement procedures of this section whether or not they are included in a seasonal recreational programing advertisement.

Classes, programs, and activities are offered with varying times and days based on the current activity schedules and availability. The City shall provide prospective instructors with deadlines and timeframes to submit proposals to offer classes, programs, or activities during upcoming seasons.

Selection of contract instructors is at the discretion of the City, based on several factors including popularity, type of class, and availability of instructor and City facilities. Class schedules are created for each season, year, or multi-year term and are considered separate purchases for purposes of approval authority. The selection of a contract instructor is subject to the Department Director approval limit up to $10,000 per Recreation Class Instruction Contract Agreement (“Instructor Agreement”) and, in such cases, does not require a competitive procurement or quote process. A new Instructor Agreement shall be signed per season, year, or at the beginning of a multi-year term so that the beginning of an agreement term aligns with the start of a season. In order to enter into an Instructor Agreement, the instructor shall provide all proof of necessary and sufficient insurance coverage to the City. By signing the agreement, an instructor shall be made aware of their responsibilities when contracting with the City. An executed Instructor Agreement does not guarantee a vendor will be scheduled for a class.

If it is anticipated that the seasonal compensation to the instructor will exceed $10,000, staff will conduct a competitive and formal procurement following the procedures outlined below. The City Manager may approve an agreement for up to $50,000 per term, if the agreement is competitively procured through the procurement process below. When seasonal compensation to an instructor is anticipated to exceed $50,000 per term, based on prior information such as demand for a class in prior seasons or costing models provided by the vendor, the Community Services Department shall request City Council approval of the instructor agreement after conducting the Recreation and Contract Instructor Procurement Process outlined below.

Recreation and Contract Instructors Procurement Process This Recreation Vendor and Contract Instructors Procurement Process includes the minimum requirements for formal procurement of nonprofessional services per the Lake Forest Municipal Code.

When Community Services staff anticipates compensation will exceed $10,000 for the term of an Instructor Agreement (season, year, or multi-year term), staff will post a request for applications from organizations who wish to offer the requested instructor services. Applications shall function as formal proposals in the formal procurement process for Instructor Agreements.

The application will require information such as instructor experience and expertise, desired class schedule, and other basic information about the organization, vendor, or instructor. This Item: 10
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SECTION VII. MISCELLANEOUS PURCHASING

Last Reviewed: March 15, 2022 62 Last Edited: March 7, 2022 process requires an open and public posting of procurement opportunities and shall be posted by the City for a period of no less than 14 days.

After a posting has closed, a committee of Community Services staff will review applications received. If necessary, interviews may be conducted for additional information gathering. Staff will select and recommend recreation vendors and instructors who best fit the needs of City and the demands of the community. Staff shall submit their recommended vendor and Instructor Agreement for approval by the City Manager or the City Council in accordance with the approval level thresholds summarized in Figure 13. The term of the contract may be up to three years.

For details regarding vendor requirements, the application process, and procurement procedures for Instructor Agreements, please refer to the Recreational Vendor and Contract Instructor Manual.

Figure 13: Recreation Vendor and Contract Instructor Procurement Types and Process

5. Obtain Required Approval Level

4. Determine Approval Level
Signing Authority based on
Compensation and Term

3. Conduct Type of Procurement
as required

2. Determine Procurement
Method Required

1. Determine approximate Total
Compensation to vendor.

Note: Consider the term of the
Instuctor Agreement (no less than
1 season, no more than 3 years)
More or Less than
$10,000?
Up to $10,000 Total
Compensation for
Term
Open Market
Selection
Up to $10,000 per
season or per year
Department Director
Over $10,000 for
Selected Term
Recreation and
Contract Instructors
Procurement
Process
Up to $50,000 per
term, up to 3 year
term
City Manager
Over $50,000 per
term, up to 3 year
term
City Council
Item: 10
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Attachment 3
Item: 10
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3.12.150 Exemptions from formal contract procedure.

A. Purchases of goods or nonprofessional service contracts in an amount of thirty thousand one dollars ($30,001.00) or more which can be obtained from only one (1) source may be made by the City Manager without advertising and after approval by the City Council.

B. The City Council may authorize purchase of supplies, equipment and non-professional service contracts without complying with the above procedures when in the opinion of the City Council compliance with the procedures is not in the best interest of the City.

C. The City Manager may authorize emergency purchases of supplies, equipment or non-professional service contracts. For the purpose of this chapter, emergency purchases are those procurements required to prevent the immediate interruption or cessation of necessary City services or to safeguard life, property or the public health and welfare. (Ord. 165 § 1, 2007)
Item: 10
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Attachment 4
Item: 10
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Item: 10
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Instructor: Stars Staff, Super Soccer
2212 Artemis Place
Los Angeles CA 90064
Home Phone:

SSN:
(310) 998-0010
Instructor ID:

Advanced Class Ages 5-9
years -- #11065
2 $300.00 $300.000
$420.00 $0.00 $0.00 $420.00 $0.00 $420.00Soccer Stars United:

Advanced Class Ages 5-9
years -- #11066
4 $600.00 $600.000
$776.30 $0.00 $0.00 $776.30 $0.00 $776.30Super Soccer Stars 1 - 2 Year Olds - Parent & Me --
#11045
8 $966.00 $1,109.000
$393.40 $0.00 $0.00 $393.40 $0.00 $393.40Super Soccer Stars 1 - 2 Year Olds - Parent & Me --
#11046
4 $552.00 $562.000
$586.60 $0.00 $0.00 $586.60 $0.00 $586.60Super Soccer Stars 2 - 3 Year Olds - Parent & Me --
#11047
6 $552.00 $838.000
$980.00 $0.00 $0.00 $980.00 $0.00 $980.00Super Soccer Stars 2 - 3 Year Olds - Parent & Me --
#11049
10 $828.00 $1,400.000
$683.20 $0.00 $0.00 $683.20 $0.00 $683.20Super Soccer Stars 2 - 3 Year Olds - Parent & Me --
#11050
7 $690.00 $976.000
$493.50 $0.00 $0.00 $493.50 $0.00 $493.50Super Soccer Stars 3 - 4 Year Old -- #11051
5 $552.00 $705.000
$676.20 $0.00 $0.00 $676.20 $0.00 $676.20Super Soccer Stars 3 - 4 Year Old -- #11053
7 $966.00 $966.000
$676.20 $0.00 $0.00 $676.20 $0.00 $676.20Super Soccer Stars 3 - 4 Year Old -- #11055
7 $966.00 $966.000
$483.00 $0.00 $0.00 $483.00 $0.00 $483.00Super Soccer Stars 3 - 4 Year Old -- #11056
5 $690.00 $690.000
$1,066.10 $0.00 $0.00 $1,066.10 $0.00 $1,066.10Super Soccer Stars 4 - 5 Year Old -- #11057
11 $1,380.00 $1,523.000
$679.70 $0.00 $0.00 $679.70 $0.00 $679.70Super Soccer Stars 4 - 5 Year Old -- #11058
7 $828.00 $971.000
$193.20 $0.00 $0.00 $193.20 $0.00 $193.20Super Soccer Stars 4 - 5 Year Old -- #11059
2 $276.00 $276.000
$193.20 $0.00 $0.00 $193.20 $0.00 $193.20Super Soccer Stars 4 - 5 Year Old -- #11060
2 $276.00 $276.000
$686.70 $0.00 $0.00 $686.70 $0.00 $686.70Super Soccer Stars 5 - 7 Year Old -- #11061
7 $828.00 $981.000
$193.20 $0.00 $0.00 $193.20 $0.00 $193.20Super Soccer Stars 5 - 7 Year Old -- #11062
2 $276.00 $276.000
$483.00 $0.00 $0.00 $483.00 $0.00 $483.00Super Soccer Stars 5 - 7 Year Old -- #11063
5 $690.00 $690.000
$483.00 $0.00 $0.00 $483.00 $0.00 $483.00Super Soccer Stars 5 - 7 Year Old -- #11064
5 $690.00 $690.000
$7.00 $0.00 $0.00 $7.00 $0.00 $7.00Super Soccer Stars Five Day Camp -- #11073
0 $0.00 $10.000
Page : 1 of 2 Instructor Payment Due Report
Season: Summer 2022
Instructor: Super Soccer Stars Staff
11:55 AM
Sep 9, 2022
Item: 10
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Totals for regular Activity
assignments:
106 $12,906.00$14,805.00 $10,363.50 $0.00 $0.00 $10,363.50 $0.00 $10,363.500 Grand Total for Stars Staff,
Super Soccer
$10,363.50 $10,363.50$0.00$10,363.50 $0.00 $0.00106 $12,906.00 $14,805.000 Page : 2 of 2 Instructor Payment Due Report
Season: Summer 2022
Instructor: Super Soccer Stars Staff
11:55 AM
Sep 9, 2022
Item: 10
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Item: 10
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Instructor: Skyhawks Sports Academy
1826 E. Sprague Ave
Spokane WA 99202
Home Phone:

SSN:
(714) 594-9173
Instructor ID:

Regular Activity Assignments
Activity Name - Number
General
Payroll
Up-Front
Prep. Payroll
Ongoing
Prep. Payroll Total Owed
Total
Paid
Balance
Due#Enrl. Key Fees All Fees#Drop-Ins
$1,147.30 $0.00 $0.00 $1,147.30 $0.00 $1,147.30Skyhawks Basketball -- #11029
11 $1,639.00 $1,639.000
$2,795.80 $0.00 $0.00 $2,795.80 $0.00 $2,795.80Skyhawks Basketball Camp -- #11040
21 $3,402.00 $3,994.000
$2,391.90 $0.00 $0.00 $2,391.90 $0.00 $2,391.90Skyhawks Basketball Camp -- #11041
18 $3,213.00 $3,417.000
$1,469.30 $0.00 $0.00 $1,469.30 $0.00 $1,469.30Skyhawks- Flag Football Camp -- #11036
11 $1,323.00 $2,099.000
$1,866.20 $0.00 $0.00 $1,866.20 $0.00 $1,866.20Skyhawks- Flag Football Camp -- #11037
14 $1,890.00 $2,666.000
$1,018.50 $0.00 $0.00 $1,018.50 $0.00 $1,018.50Skyhawks HoopsterTots -- #11030
10 $1,305.00 $1,455.000
$913.50 $0.00 $0.00 $913.50 $0.00 $913.50Skyhawks HoopsterTots -- #11031
9 $1,305.00 $1,305.000
$1,113.00 $0.00 $0.00 $1,113.00 $0.00 $1,113.00Skyhawks Multi-SportTots -- #11025
10 $1,590.00 $1,590.000
$1,113.00 $0.00 $0.00 $1,113.00 $0.00 $1,113.00Skyhawks Multi-SportTots -- #11026
10 $1,590.00 $1,590.000
$556.50 $0.00 $0.00 $556.50 $0.00 $556.50Skyhawks Multi-SportTots -- #11027
5 $795.00 $795.000
$938.70 $0.00 $0.00 $938.70 $0.00 $938.70Skyhawks Soccer -- #11035 9 $1,341.00 $1,341.000 $1,075.90 $0.00 $0.00 $1,075.90 $0.00 $1,075.90Skyhawks Soccer Camp -- #11043
8 $1,323.00 $1,537.000
$2,263.10 $0.00 $0.00 $2,263.10 $0.00 $2,263.10Skyhawks Soccer Camp -- #11044
17 $2,457.00 $3,233.000
$710.50 $0.00 $0.00 $710.50 $0.00 $710.50Skyhawks SoccerTots -- #11032
7 $1,015.00 $1,015.000
$1,018.50 $0.00 $0.00 $1,018.50 $0.00 $1,018.50Skyhawks SoccerTots -- #11033
10 $1,305.00 $1,455.000
$413.00 $0.00 $0.00 $413.00 $0.00 $413.00Skyhawks SoccerTots -- #11034
4 $290.00 $590.000
$1,859.20 $0.00 $0.00 $1,859.20 $0.00 $1,859.20Skyhawks: Beginning Golf Camp -- #11042
14 $2,646.00 $2,656.000
$2,130.80 $0.00 $0.00 $2,130.80 $0.00 $2,130.80Skyhawks: Mini-Hawk Multi-Sport Camp -- #11038
16 $2,646.00 $3,044.000
$1,736.00 $0.00 $0.00 $1,736.00 $0.00 $1,736.00Skyhawks: Mini-Hawk Multi-Sport Camp -- #11039
16 $2,480.00 $2,480.000
Totals for regular Activity
assignments:
220 $33,555.00$37,901.00 $26,530.70 $0.00 $0.00 $26,530.70 $0.00 $26,530.700 Grand Total for Skyhawks
Sports Academy
$26,530.70 $26,530.70$0.00$26,530.70 $0.00 $0.00220 $33,555.00 $37,901.000 Page : 1 of 1 Instructor Payment Due Report
Season: Summer 2022
Instructor: Skyhawks Staff
11:56 AM
Sep 9, 2022
Item: 10
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Item: 10
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Instructor: Ever After Event Productions
P.O. Box 60571
Irvine CA 92602
Home Phone:

SSN:
(949) 748-7543
Instructor ID:

Regular Activity Assignments
Activity Name - Number
General
Payroll
Up-Front
Prep. Payroll
Ongoing
Prep. Payroll Total Owed
Total
Paid
Balance
Due#Enrl. Key Fees All Fees#Drop-Ins
$1,855.70 $0.00 $0.00 $1,855.70 $0.00 $1,855.70"Frozen in Summer" Princess Academy --
#10947
14 $2,457.00 $2,651.000
$1,458.80 $0.00 $0.00 $1,458.80 $0.00 $1,458.80All In One Dance Camp -- #10950
11 $1,890.00 $2,084.000
$1,096.90 $0.00 $0.00 $1,096.90 $0.00 $1,096.90Ballet, Jazz & Tap Combo -- #10954
13 $1,309.00 $1,567.000
$1,723.40 $0.00 $0.00 $1,723.40 $0.00 $1,723.40Children's Musical Theatre Camp ages 4-7 -- #10951
13 $2,268.00 $2,462.000
$2,741.20 $0.00 $0.00 $2,741.20 $0.00 $2,741.20Children's Musical Theatre Camp ages 6-10 -- #10949
14 $3,906.00 $3,916.000
$760.20 $0.00 $0.00 $760.20 $0.00 $760.20Parent & Me All In One Dance -- #10955
9 $952.00 $1,086.000
$1,166.20 $0.00 $0.00 $1,166.20 $0.00 $1,166.20Pop Star Hip Hop Mini's -- #10952
14 $1,666.00 $1,666.000
$1,458.80 $0.00 $0.00 $1,458.80 $0.00 $1,458.80Pop Star Sing & Dance Camp -- #10948
11 $1,890.00 $2,084.000
$1,166.20 $0.00 $0.00 $1,166.20 $0.00 $1,166.20Princess Ballet -- #10953 14 $1,666.00 $1,666.000 Totals for regular Activity
assignments:
113 $18,004.00$19,182.00 $13,427.40 $0.00 $0.00 $13,427.40 $0.00 $13,427.400 Grand Total for Ever After
Event Productions
$13,427.40 $13,427.40$0.00$13,427.40 $0.00 $0.00113 $18,004.00 $19,182.000 Page : 1 of 1 Instructor Payment Due Report
Season: Summer 2022
Instructor: OC Dance Productions
Activity Site: Lake Forest Sports Park and Recreation Center 11:48 AM
Sep 9, 2022
Item: 10
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CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: Management Services
SUBJECT:

AGREEMENT FOR GRAPHIC DESIGN SERVICES
RECOMMENDED ACTION(S):

1. Approve the Agreement with Geographics with a total compensation amount of $70,087.50 for graphic design services of The Leaflet and Recreation Guide, In Business, and a small number of pamphlets and brochures.

2. Authorize the Mayor to sign, and the City Clerk to attest, the Agreement with Geographics, substantially in the form attached.

EXECUTIVE SUMMARY:

Lake Forest relies on a Graphic Design Services contractor for City newsletters (e.g., In Business, The Leaflet and Recreation Guide), and project-specific postcards, pamphlets, and brochures. Recently, graphic design services were provided by Merritt Studios. The term of the agreement with Merritt Studies expired on June 30, 2022. Therefore, on May 17, 2022, the City published a Request for Proposals (“RFP”) for a new graphic design services vendor. The RFP process identified Geographics as the best qualified and most cost-effective company to provide the City’s graphic design services. Staff recommends the City Council approve the attached proposed Professional Consultant Services Agreement (“Agreement”) with Geographics. The Agreement includes a three- year term with two optional one-year extensions with a compensation amount of $70,087.50. Funding is included in the 2021-2023 Operating Budget to cover the cost of this service.

BACKGROUND:

The Leaflet and Recreation Guide is residents’ top source for City news and information, according to the City’s biennial Resident and Business Satisfaction Survey. Quarterly, 33,185 residents and businesses receive an issue of The Leaflet and Recreation Guide. Nearly 3,300 businesses receive a copy of the Item: 11
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City’s Economic Development publication, In Business, each year. Each publication provides important City information in a clear, engaging format to increase readability.

The City’s newsletters (e.g., The Leaflet and Recreation Guide and In Business) are critical to Strategic Plan Goal B: “Our connected city is engaged, informed, and technologically current.” It meets two of the City’s three Strategic Priority Areas:

1. Informed – Transparency about decision making and government performance cultivates public trust.

2. Engaged – Outreach, creative events, and programs inspire connection and participation between residents, businesses, and City government.

Traditionally, the City has used a vendor for the graphic design of its newsletters since the start of the publications. The City has utilized Merritt Studios for these services since 2021 and the agreement expired on June 30, 2022.

DISCUSSION:

Staff initiated the competitive procurement process by posting a draft Scope of Work to the City’s electronic procurement management system, PlanetBids, from April 6, 2022 through April 14, 2022. The Scope of Work included design specifications and requirements to maintain the look and feel of the publications at the best price. A total of 10 questions were asked and clarifying language was added by staff to the proposal request.

The official RFP was posted to PlanetBids on May 17, 2022, with proposals due on June 7, 2022. The City received five proposals, which were reviewed by a selection committee composed of:
•Brett Channing, Deputy City Manager
•Jonathan Volzke, Communications and Marketing Manager
•Vicky Blethen, Recreation Manager
•Adrian Grijalva, Sr. Management Analyst
•Noel Gomez, Communications and Marketing Specialist
The City’s Purchasing and Contracting Guidelines (“Purchasing Guidelines”) require the selection committee to review all proposals submitted in response to Item: 11
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the RFP. The selection committee rated proposals in five categories on a weighted scale from 0 to 10. The categories were Key Personnel, Project Management/Schedule, Scope of Services, Experience, and Proposal Quality.

Five firms met the minimum requirements during the technical proposal review and advanced to the interview process with a score of 60 or higher. The technical review qualifies firms for an interview and does not factor into the final score.

The selection committee interviewed representatives from Global Urban Strategies, Geographics, Kleinfelder, Merritt Studio, and We the Creative. The firms were scored on responses to interview questions that evaluated the vendors’ understanding of the City’s goals and technical expertise. As shown in Table 1, Geographics scored the highest after the qualifications interview phase.

Table 1: Technical and Qualifications Scores
Each firm also submitted a cost proposal in a sealed envelope based on the scope of work outlined in the RFP. Pursuant to the Purchasing Guidelines, the City allowed each firm to submit a revised “best and final” cost proposal. Five calendar days were allotted from the date of the firm’s interview. At the conclusion of that period, staff opened each of the sealed cost proposals from the firms that were interviewed. The City’s Purchasing Guidelines assigns 40 points to the lowest-priced qualified firm. Vendors that do not submit the lowest cost proposal are assigned points based on the percentage their proposed cost is above the lowest proposed cost. The pricing points are then multiplied by five Item: 11
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to determine each firm’s final score. Prices and cost proposal points are shown in Table 2 below.

Table 2: Points Allocated for Cost Proposal
Firm Cost Proposal Points Allocated
Global Urban Strategies $209,600.00 13
Geographics $70,087.50 40
Kleinfelder $91,578.85 31
Merritt Studio $89,000.00 32
We the Creative $114,750.00 24
After the qualification interviews, the interview scores (shown in Table 1) were added to the points allocated for the cost proposals (shown in Table 2). The overall total is illustrated in Table 3 below. Geographics secured the highest overall total points in the proposal process.

Table 3: Total Points Allocated
Firm Total Points
Geographics 860
Kleinfelder 805
We the Creative 781
Merritt Studios 780
Global Urban Strategies 541
As shown in Tables 1 and 3, Geographics is the top-ranked firm. Staff recommends that the City Council approve the proposed Agreement with Geographics for graphic design services (Attachment 1). The proposed Agreement includes a three-year term with two optional one-year extensions.

Part of the proposed agreement with Geographics calls for a redesign of the City’s publications to modernize publications and provide a uniform look. That work will take place concurrently with the City’s website redesign, allowing coordination to reinforce the City’s branding efforts.

Staff contacted references provided by Geographics and received positive responses (Attachment 2). Consistent with the City’s Purchasing Guidelines, the Finance Department prepared the Agreement and the City’s Attorney’s Office reviewed and approved it as to form.

FISCAL IMPACT:

The proposed Agreement with Geographics includes a three-year term with two optional one-year extensions and a compensation amount of $70,087.50.

Item: 11
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Funding has been included in the 2021-2023 Operating Budget to cover the costs of the recommendation action.

ATTACHMENTS:

1. Proposed Agreement for Graphic Design Services with Geographics

2. References for Geographics
Initiated By: Noel Gomez, Communications and Marketing Specialist Submitted By: Brett Channing, Deputy City Manager
Approved By: Debra Rose, City Manager
Item: 11
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Attachment 1
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CITY OF LAKE FOREST

PROFESSIONAL CONSULTANT SERVICES AGREEMENT

1. PARTIES AND DATE.

This Agreement is made and entered into this [***INSERT DAY***] day of [***INSERT MONTH***], [***INSERT YEAR***], by and between the City of Lake Forest, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 100 Civic Center Drive, Lake Forest, California, 92630 ("City") and Geographics, a California partnership, with its principal place of business at 4178 Chestnut Street, Riverside, CA 92501 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. RECITALS.

2.1 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional graphic design consulting services required by the City on the terms and conditions set forth in this Agreement. Consultant represents that it is experienced in providing professional graphic design consulting services to public clients, is licensed in the State of California, and is familiar with the plans of City.

2.2 Project.

City desires to engage Consultant to render such professional graphic design consulting services for the Graphic Design Services project ("Project") as set forth in this Agreement.

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, an d incidental and customary work necessary to fully and adequately supply the professional graphic design consulting services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorpora ted herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term. The term of this Agreement shall be from September 21, 2022 to September 20, 2025 , unless earlier terminated as provided herein. The City shall have the unilateral option, at its sole discretion, to renew this Agreement automatically for no more than two (2) additional one-year terms. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines.

3.2 Responsibilities of Consultant.

3.2.1 Independent Contractor; Control and Payment of Subord inates. The DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee.

Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement on behalf of Consultant sha ll also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, nor any of its officials, officers, directors, employees or agents shall have control over the conduct of Consultant or any of Consultant's officers, employees, or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. C onsultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance.

3.2.2 Schedule of Services. Consultant shall perform the Services expeditiously, within the term of this Agreement, and in accordance with the Schedule of Services set forth in Exhibit "B" attached hereto and incorporated herein by reference. Consultant represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Consultant's conformance with the Schedule, City shall respond to Consultant's submittals in a tim ely manner. Upon request of City, Consultant shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services.

3.2.3 Conformance to Applicable Requirements . All work prepared by Consultant shall be subject to the approval of City.

3.2.4 Substitution of Key Personnel . Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other pers onnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property , shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement are as follows: Lisa van Olden, Managing Partner/Creative Director and Nicole Beale, Art Director.

3.2.5 City's Representative. The City hereby designates Brett Channing, Deputy City Manager , or his designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the Scope of Work or change the total compensation due to Consultant under this Agreement. The City Manag er shall be authorized to act on City's behalf and to execute all necessary documents which enlarge the Scope of Work or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.2.6 Consultant's Representative . Consultant hereby designates Lisa van DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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Olden, Managing Partner/Creative Director, or her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.2.7 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times.

3.2.8 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement.

As provided for in the indemnification provisions of this Agreement, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are ca used by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re -employed to perform any of the Services or to work on the Project.

3.2.9 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If Consultant performs any work knowing it to be contrary to such laws, rules and regulations, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees, agents, and volunteers free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

3.2.10 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safet y of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and p rocedures; (B) instructions in accident prevention for all employees and subconsultants, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

3.2.11 Insurance. Consultant agrees to procure and maintain, at Con sultant’s expense all insurance specified in Exhibit “D” attached hereto and by this reference incorporated herein. Consultant shall require all subconsultants to carry the same policies and limits of insurance that the Consultant is required to maintain, unless otherwise approved in writing by the City.

3.2.12 Water Quality Management and Compliance.

3.2.12.1 Storm Water Management. Storm, surface, nuisance, or other waters may be encountered at various times during the Services. Consultant hereby acknowledges that it has investigated the risk arising from such waters, and assumes any and all risks and liabilities arising therefrom.

3.2.12.2 Compliance with Water Quality Laws, Ordinances and Regulations. Consultant shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by the performance of the Services including, without limitation, all applicable provisions of the City’s ordinances regulat ing water quality and storm water; the Federal Water Pollution Control Act (33 U.S.C. § 1251, et seq.); the California Porter -Cologne Water Quality Control Act (Water Code § 13000 et seq.); and any and all regulations, policies, or permits issued pursuant to any such authority. Consultant must additionally comply with the lawful requirements of the City, and any other municipality, drainage district, or other local agency with jurisdiction over the location where the Services are to be conducted, regulating water quality and storm water discharges.

3.2.12.3 Compliance with DAMP and LIP. In addition to compliance with the laws, ordinances and regulations listed in Section 3.2.12.2 of this Agreement, Consultant must comply with all applicable requirements of the Orange County Drainage Area Management Plan (“DAMP”), the City of Lake Forest Local Implementation Plan (“LIP”) and the applicable Water Quality Management Plan (“WQMP”). The DAMP contains requirements related to design and construction of public projects. Consultant must be familiar the DAMP, and the LIP and comply with the requirements as specified therein.

A copy of the DAMP is available on the internet at:
https://media.ocgov.com/gov/pw/watersheds/documents/damp/default.asp A copy of the LIP is available on the internet at:
http://www.lakeforestca.gov/depts/pw/water/local_implementation_plan_%28lip%29.asp More information on the applicable WQMP is available on the internet at:
http://www.lakeforestca.gov/depts/pw/water/water_quality_management_plan_(wqmp).asp DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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3.2.12.4 Standard of Care. Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies described in Sections 3.2.12.2 and 3.2.12.3 of this Agreement. Consultant further warrants that it, its employees and subcontractors have or will receive adequate training, as determined by the City, regarding these requirements as they may relate to the Services.

3.2.12.5 Liability for Non-compliance.
(A) Indemnity: Failure to comply with laws, regulations, and ordinances listed in Sections 3.2.12.2 and 3.2.12.3 of this Agreement is a violation of federal and state law. Notwithstanding any other indemnity contained in this Agreement, Consultant agrees to indemnify and hold harmless the City, its officials, officers, agents, employees and authorized volunteers from and against any and all claims, demands, losses or liabilities of any kind or nature which the City, its officials, officers, agents, employees and authorized volunteers may sustain or incur for noncompliance with the laws, regulations, and ordinances listed above, arising out of or in connection with the Services, except for liability resulting from the sole established negligence, willful misconduct or active negligence of the City, its officials, officers, agents, employees or authorized volunteers.
(B) Defense: City reserves the right to defend any enforcement action or civil action brought against the City for Consultant’s failure to comply with any applicable water quality law, regulation, or policy. Consultant hereby agrees to be bound by, and to reimburse the City for the costs associated with, any settlement reached betwee n the City and the relevant enforcement entity.
(C) Damages: City may seek damages from Consultant for delay in completing the Services caused by Consultant’s failure to comply with the laws, regulations and policies described in Sections 3.2.12.2 and 3.2.12. 3 of this Agreement, or any other relevant water quality law, regulation, or policy.

3.3 Fees and Payments.

3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exce ed SEVENTY THOUSAND EIGHTY -SEVEN DOLLARS AND FIFTY CENTS ($70,087.50) without written approval of the City Council or City Manager as applicable. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

3.3.2 Payment of Compensation . Consultant shall submit to City a monthly invoice which indicates work completed and hours of Services rendered by Consultant. The invoice shall describe the amount of Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the invoice.

City shall, within 30 days of receiving such invoice, review the invoice and pay all non -disputed and approved charges thereon. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein.

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3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "C" of this Agreement.

3.3.4 Extra Work . At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement.

Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.

3.3.5 Rate Increases. In the event that this Agreement is renewed pursuant to Section 3.1.2, the rate set forth in Exhibit “C” may be adjusted each year at the time of re newal as set forth in Exhibit “C.”

3.4 Labor Code Requirements.

3.4.1 Prevailing Wages. Consultant is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and since the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. City shall provide Consultant with a copy of the prevailing rates of per diem w ages in effect at the commencement of this Agreement. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at the Consultant's principal place of business and at the project site. It is the intent of the parties to effectuate the requirements of sections 1771, 1774, 1775, 1776, 1777.5, 1813, and 1815 of the Labor Code within this Agreement, and Consultant shall therefore comply with such Labor Code sections to the fullest extent required by law. Consultant shall defend, indemnify and hold the City, its officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

3.4.2 Registration. If the Services are being performed as part of an applicable “public works” or “maintenance” project, in addition to the foregoing, then pursuant to Labor Code sections 1725.5 and 1771.1, the Consultant and all subconsul tants must be registered with the Department of Industrial Relations (“DIR”). Consultant shall maintain registration for the duration of the project and require the same of any su bconsultants. This project may also be subject to compliance monitoring and enforcement by the DIR. It shall be Contractor’s sole responsibility to comply with all applicable registration and labor compliance requirements, including the submission of payroll records directly to the DIR.

3.5 Accounting Records.

3.5.1 Maintenance and Inspection . Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Consultant shall allow inspection of all work, data, DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.6 General Provisions.

3.6.1 Termination of Agreement.

3.6.1.1 Grounds for Termination . City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause.

3.6.1.2 Effect of Termination . If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request.

3.6.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

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

Consultant: Geographics
4178 Chestnut Street,
Riverside, CA 92501
ATTN: Lisa van Olden, Managing Partner/ Creative
Director
City: City of Lake Forest
100 Civic Center Drive
Lake Forest, CA 92630
ATTN: City Clerk
Such notice shall be deemed made when personally delivered or when mailed, forty -eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

3.6.2 Ownership of Materials and Confidentiality.

3.6.2.1 Documents & Data; Licensing of Intellectual Property . This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). Consultant shall require all subconsultants to agree in writing that City is granted a non -exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement. Consultant represents and warrants that Consul tant has the legal right to license any and all Documents & Data.

Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk.

3.6.2.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.6.2.3 Confidential Information. Th e City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unless the City's legal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information.

Consultant shall have five (5) working days after receipt of the Release Notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of the Objection Notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.6.3 Cooperation; Further Acts . The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

3.6.4 Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover fro m the losing party reasonable attorney's fees and all other costs of such action.

3.6.5 Indemnification.

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To the fullest extent permitted by law, Consultant shall defend (with counsel of City’s choosing), indemnify and hold the City, its officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant's Services, the Project or this Agreement, including without limitation the payment of all damages, expert witness fees and attorneys fees and other related costs and expenses. Consultant's obligation to indemnify shall not be restricted to insurance procee ds, if any, received by the Consultant or the City, its officials, officers, employees, agents or volunteers.

If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance as a “design professional ” (as that t erm is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or re late to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

3.6.6 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties.

3.6.7 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Orange County.

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

3.6.9 City's Right to Employ Other Consultants . City reserves right to employ other consultants in connection with this Project.

3.6.10 Successors and Assigns . This Agreement shall be binding on the successors and assigns of the parties.

3.6.11 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.6.12 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agr eement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

3.6.13 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.6.14 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or oth er covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

3.6.15 No Third -Party Beneficiaries . There are no intended third p arty beneficiaries of any right or obligation assumed by the Parties.

3.6.16 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.

3.6.17 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. F urther, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

3.6.18 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non -discrimination shall include, but not be limited to, all activities relate d to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or oth er related programs or guidelines currently in effect or hereinafter enacted.

3.6.19 Labor Certification. By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.

3.6.20 Authority to Enter Agree ment. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

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3.6.21 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.7 Subcontracting.

3.7.1 Prior Approval Required. Consultant shall not subcontract any portion of the work requi red by this Agreement, except as expressly stated herein, without prior written approval of City. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

CITY OF LAKE FOREST GEOGRAPHICS
By:

[AUTHORIZED CITY SIGNATURE]

By:

[VENDOR SIGNATURE 1]
Robert Pequeño
Mayor
[INSERT NAME 1]
[INSERT TITLE 1]

ATTEST:

By:

[CITY CLERK SIGNATURE]

Lisa Berglund
City Clerk

APPROVED AS TO FORM:

By:

[CITY ATTORNEY SIGNATURE]

Best Best & Krieger LLP
City Attorney

[CONTRACT ADMINISTRATOR APPROVAL]
[PROJECT MANAGER APPROVAL]
[CITY CLERK - INSURANCE APPROVAL]

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Managing Partner
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Exhibit “A-1”

EXHIBIT "A"

SCOPE OF SERVICES
Scope of services include design/layout The Leaflet and Recreation Guide, as well as the City’s In Business newsletter. Both are mailed to all residents in the City. The Leaflet and Recreation Guide can vary from 44, 48, 52, or 56 pages, plus cover. The In Business newsletter is six pages total, in a tri-fold format. Samples of The Leaflet and Recreation Guide are available at www.lakeforestca.gov/publications and the In Business newsletter can be found at www.lakeforestbusiness.com.

Services may also include design of an informational brochure, as well as informational postcards. The informational brochure would be eight, 10, or 12 pages (8.5 x 11) folded with an 80 lb cover.

Services

 Completely redesign The Leaflet and Recreation Guide to project a modern, professional image of the City. It should provide an inviting and easy-to-read appearance using photos, graphics, and other design techniques to create an appealing look. While the designs of the publications do not have to be identical, they should be coordinated in the use of color, font, or other design techniques to brand them as City publications.

Likewise, minor updates to In Business should be suggested to connect that publication to the updated Lake Forest brand. The redesign would go into effect for the second edition of The Leaflet and Recreation Guide and remain in use throughout the contract.

 Provide general graphic design services for the City’s newsletters (The Leaflet and Recreation Guide, and In Business). Provide general graphic design services for additional projects as needed (i.e. logos, flyers, brochures, maps, PowerPoint templates, etc.).
o Produce initial comprehensive layouts
o Research, art direction, implementation, and production o Design, layout to specifications as needed, including multiple revisions o Produce 4-color artwork with digital files ready for print o Create custom illustrations and graphics as needed
o Use images provided by the City or stock images approved by the City.

 Indicate the number of permissible client reviews allowed under the proposal. The City of Lake Forest prefers a minimum of five (5) drafts and changes. Indicate additional costs for additional drafts and changes if applicable in the proposal.

 Provide a selection of stock photo files and art available for use at no extra cost. Indicate any extra costs in the proposal. Stock photos used in City publications will be made available to the City for future use.

 Be proficient in graphic design software programs.

Publication Appearance

 Publications must maintain a professional appearance and provide an organized, reader-friendly layout. In addition, as appropriate, the graphic artist should incorporate DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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Exhibit “A-2”

updated design elements and a reorganization of information if appropriate, with approval from the City.

 Use of graphics and other design techniques is desirable to create an appealing look or to fill the layout. This may include reorganization of sections/information, fonts, headlines, and consistent graphic elements. Cover design and artwork should include high-resolution photography.

 The appearance should be in accordance with the City’s design guidelines, which specify font and color. A redesign of the publication may lead to changes in the style guide.

 The City will provide general direction as to what information should be placed on each page, as well as articles/content and applicable in-house photos.

Schedules and Deadlines

 The Leaflet and Recreation Guide is published according to the following approximate schedule:

Edition Approximate Publish Date
Summer Beginning to Mid-August
Fall Beginning to Mid- November
Winter Beginning to Mid-February
Spring Beginning to Mid-May

 City staff prepares a detailed production schedule, which is provided to the graphic artist at the beginning of each fiscal year (July 1).

Publication Process for The Leaflet and Recreation Guide

 The City will lead publication efforts. The nature of the tasks involves ongoing communication between City staff and the graphic artist via email and phone calls to ensure a finished and professional product acceptable by the City.

 The production timeline for The Leaflet and Recreation Guide will span a minimum of 19 calendar days.

 Production begins once City staff provides the project content and ends once a digital file is uploaded to the City’s printer.

 The graphic artist will design and provide a digital PDF proof to the City for review during the review process. City staff will provide the graphic artist all drafts in PDF files for proofing and correction, until publication is approved for sending to printer.

 The graphic artist will provide files to the printer according to the printer’s specifications or as an acceptable industry standard format. The graphic artist will upload the digital file DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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Exhibit “A-3”

via a File Transfer Protocol (“FTP”) site to the City’s printer. The graphic artist will communicate the successful transfer of the file via email to the printer and City staff.

 The graphic artist will email an electronic PDF version of the newsletter for posting on the City’s website.

 The graphic artist will ensure all aspects of production are on schedule to meet delivery, print, and mailing deadlines. Additionally, the graphic artist shall maintain open and regular communication with City staff and City printer.

 The publication process for other projects will be negotiated on a case-by-case basis with the project manager.

Project Management

 City will require one kick-off meeting following contract award. Progress meetings will be scheduled throughout the year if needed.

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Exhibit “B”-1

EXHIBIT "B"

SCHEDULE OF SERVICES

Consultant shall perform the services described in Exhibit “A” Scope of Services as directed by the City.

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Exhibit “C”-1

EXHIBIT "C"

COMPENSATION
Consultant shall be paid for services rendered in accordance with Section 3.3 of the Agreement, as described above under Exhibit “A” Scope of Services, and for the not-to-exceed fee of Seventy Thousand Eighty-Seven Dollars and Fifty Cents ($70,087.50) based on the following schedule.

Task Hourly Rate Hours Total
The Leaflet and Recreation Guide - Redesign (One-Time Cost) Branding Services $ 2,812.00
Coordination $ 108.00 4 $ 432.00
Design $ 85.00 24 $ 2,040.00
Revisions $ 85.00 4 $ 340.00
The Leaflet and Recreation Guide - Cost per Issue (4 per Year of Varying Page #s) 44 Pages + Cover (48 Total) $ 4,512.00
Coordination $ 108.00 4 $ 432.00
Design $ 85.00 32 $ 2,720.00
Revisions $ 85.00 14 $ 1,190.00
Prepress/ Final Art $ 85.00 2 $ 170.00 48 Pages + Cover (52 Total) $ 4,682.00
Coordination $ 108.00 4 $ 432.00
Design $ 85.00 34 $ 2,890.00
Revisions $ 85.00 14 $ 1,190.00
Prepress/ Final Art $ 85.00 2 $ 170.00 52 Pages + Cover (56 Total) $ 4,852.00
Coordination $ 108.00 4 $ 432.00
Design $ 85.00 36 $ 3,060.00
Revisions $ 85.00 14 $ 1,190.00
Prepress/ Final Art $ 85.00 2 $ 170.00 56 Pages + Cover (60 Total) $ 5,022.00
Coordination $ 108.00 4 $ 432.00
Design $ 85.00 38 $ 3,230.00
Revisions $ 85.00 14 $ 1,190.00
Prepress/ Final Art $ 85.00 2 $ 170.00 In Business Newsletter - Cost per Issue (Annual)
6 Pages $ 1,553.00
Coordination $ 108.00 1 $ 108.00
Design $ 85.00 12 $ 1,020.00
Revisions $ 85.00 4 $ 340.00
Prepress/ Final Art $ 85.00 1 $ 85.00 DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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Informational Brochure - Cost per Issue (As Requested)
10-12 Pages $ 2,001.00
Coordination $ 108.00 2 $ 216.00
Design $ 85.00 16 $ 1,360.00
Revisions $ 85.00 4 $ 340.00
Prepress/ Final Art $ 85.00 1 $ 85.00 Informational Postcard - Cost per Issue (As Requested)
Postcard $ 351.50
Coordination $ 108.00 0.5 $ 54.00
Design $ 85.00 2 $ 170.00
Revisions $ 85.00 1 $ 85.00
Prepress/ Final Art $ 85.00 0.5 $ 42.50

In the event that this Agreement is renewed pursuant to Section 3.1.2, the rates set forth above may be increased or reduced each year at the time of renewal, but any increase shall not exceed the Consumer Price Index, All Urban Consumers, Los Angeles-Riverside-Orange Counties.

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Exhibit “D”-1

EXHIBIT “D”

INSURANCE REQUIREMENTS

3.2.11 Insurance.

3.2.11.1 Time for Compliance . Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Consultant shall not allow any subconsultant to commence work on any subcontract until it has provided evidence satisfactory to the City that the subconsultant has secured all insurance required under this section.

3.2.11.2 Types of Insurance Required . A s a condition precedent to the effectiveness of this Agreement for work to be performed hereunder, and without limiting the indemnity provisions of the Agreement, the Consultant, in partial performance of its obligations under such Agreement, shall procure and maintain in full force and effect during the term of the Agreement the following policies of insurance. If the existing policies do not meet the insurance requirements set forth herein, Consultant agrees to amend, supplement or endorse the policies to do so.
(A) Commercial General Liability: Commercial General Liability Insurance which affords coverage at least as broad as Insurance Services Office "occurrence" form CG 0001, or the exact equivalent, with limits of not less than $1,000,000 per occurrence and no less than $2,000,000 in the general aggregate. Defense costs shall be paid in addition to the limits. The policy shall contain no endorsements or provisions (1) limiting coverage for contractual liability; (2) excluding coverage for claims or suits by one insured against another (cross-liability); or (3) containing any other exclusion(s) contrary to the terms or purposes of this Agreement. (B) Automobile Liability Insurance: Automobile Liability Insurance with coverage at least as broad as Insurance Services Office Form CA 0001 covering "Any Auto" (Symbol 1), or the exact equivalent, covering bodily injury and property damage for all activities with limits of not less than $1,000,000 combined limit for each occurrence. (C) Workers' Compensation: Workers ' Compensation
Insurance, as required by the State of California and Employer's Liability Insurance with a limit of not less than $1,000,000 per accident for bodily injury and disease. (D) Professional Liability (Errors & Omissions): Professional Liability insurance or Errors & Omissions insurance appropriate to Consultant’s profession with limits of not less than $1,000,000. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusions that may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least three (3) years from termination or expiration of this Agreement.

3.2.11.3 Insurance Endorsements. Required insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms approved by the City to add the following provisions to the insurance policies:
(A) Commercial General Liability:

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(1) Additional In sured: The City, its officials, officers, employees, agents, and volunteers shall be additional insureds with regard to liability and defense of suits or claims arising out of the performance of the Agreement.

Additional Insured Endorsements shall not ( 1) be
restricted to "ongoing operations"; (2) exclude "contractual liability"; (3) restrict coverage to "sole" liability of Consultant; or (4) contain any other exclusions contrary to the terms or purposes of this Agreement. For all policies of Commercial General Liability insurance, Consultant shall provide endorsements in the form of ISO CG 20 10 10 01 and 20 37 10 01 (or endorsements providing the exact same coverage) to effectuate this requirement. (2) Cancellation: Required insurance policies shall not be canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. (B) Automobile Liability:
(C) Cancellation: Required insurance policies shall not be canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium.

3.2.11.4 Professional Liability (Errors & Omissions):
(A) Cancellation: Requ ired insurance policies shall not be canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. (B) Contractual Liability Exclusion Del eted: This insurance shall include contractual liability applicable to this Agreement. The policy must “pay on behalf of” the insured and include a provision establishing the insurer’s duty to defend.

3.2.11.5 Workers' Compensation:
(A) Cancellation: Required insura nce policies shall not be canceled or the coverage reduced until a thirty (30) day written notice of cancellation has been served upon the City except ten (10) days shall be allowed for non-payment of premium. (B) Waiver of Subrogation: A waiver of subrogation stating that the insurer waives all rights of subrogation against the City, its officials, officers, employees, agents, and volunteers.

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

3.2.11.7 Waiver of Subrogation . All policies of Commercial General Liability and Automobile Liability insurance shall contain or be endorsed to waive subrogation against the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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Exhibit “D”-3

waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against the City, its officials, officers, employees, agents, and volunteers, and shall require similar written express waivers and insurance clauses from each of its subconsultants.

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

3.2.11.9 Evidence of Insurance . The Consultant, concurrently with the execution of the Agreement, and as a condition precedent to the effectiveness thereof, shall deliver either certified copies of the required policies, or original certificates on forms approved by the City, together with all endorsements affecting each policy. Required insurance policies shall not be in compliance if they include any limiting provision or endorsement that has not been submitted to the City for approval. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15 days) prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or reduced and not replaced immediately so as to avoid a lapse in the required coverage, Consultant shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies.

3.2.11.10 Failure to Maintain Coverage . In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced immediately so as to avoid a lapse in the required coverage, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement effective upon notice.

3.2.11.11 Acceptability of Insurers . Ea ch such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and authorized to transact business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.

3.2.11.12 Enforcement of Agreement Provisions (non estoppel) .

Consultant acknowledges and agrees that actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligation on the City nor does it waive any rights hereunder.

3.2.11.13 Requirements Not Limiting . Requirement of specific coverage or minimum limits contained in this Appendix are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance.

3.2.11.14 Insurance for Subconsultants . Consultant shall include all subconsultants engaged in any work for Consultant relating to this Agreement as additional insureds under the Consultant's policies, or the Consultant shall be responsible for causing DocuSign Envelope ID: 825CF499-540E-4B64-A82B-EB81AD8B0F21 Item: 11
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subconsultants to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements, including adding the City, its officials, officers, employees, agents, and volunteers as additional insureds to the subconsultant's policies. All policies of Commercial General Liability insurance provided by Consultant’s subconsultants performing work relating to this Agreement shall be endorsed to name the City, its officials, officers, employees, agents and volunteers as additional insureds using endorsement form ISO CG 20 38 04 13 or an endorsement providing equivalent coverage. Consultant shall not allow any subconsultant to commence work on any subco ntract relating to this Agreement until it has received satisfactory evidence of subconsultant’s compliance with all insurance requirements under this Agreement, to the extent applicable. The Consultant shall provide satisfactory evidence of compliance with this section upon request of the City.

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Attachment 2
Item: 11
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References for Geographics
Conducted by Noel Gomez

Jessica Perez, City of Rialto Recreation Programmer

1. Did you have a positive experience working with Geographics? Yes, I worked with Nicole and Lisa and my experience with both was very pleasant, they are very professional, flexible, and understanding.

2. Did you find their work to be of high quality and professional? Did they meet deadlines? Absolutely, they provided quality and professionalism to my satisfaction and always helped us meet our deadlines. They were very timely in their response, and communication to us.

3. Would you be hesitant to work with Geographics again in the future? No hesitation, I would hope we could work with them again.

Stacey Guzman, City of Upland Recreation Coordinator

1. Did you have a positive experience working with Geographics? Honestly, I can’t say enough good about them, as they are absolutely wonderful to work with on so many different levels.

2. Did you find their work to be of high quality and professional? Did they meet deadlines? Their work is always very high quality. Should there ever be a graphic or design question, they are always welcome to my questions and/or suggestions.

3. Would you be hesitant to work with Geographics again in the future? I would say I have worked with them for at least 10-15 years. I hope to continue to work with them for years to come.

Gabrielle Costello, Community Relations & Public Information Officer of Cedar City

1. Did you have a positive experience working with Geographics? When I worked with the City of Rancho Cucamonga and the Fire District, I had an overall great experience working with Geographics. I know they come with a hefty price tag, but they do a great job.

2. Did you find their work to be of high quality and professional? Did they meet deadlines? They did meet deadlines and their work was high quality and professional. Sometimes I found that they had difficulty in creating “new” design ideas, if that makes sense. If I had single- standing projects like a flyer, brochure, logo, etc. I would find myself having to be specific and often going back and forth.. which they charge for. So, if you can provide your vision clearly in the beginning stages, you will save money.

3. Would you be hesitant to work with Geographics again in the future? They are a great company and know what they’re doing. We used them for a long time at the City and Fire District and I would highly recommend them. I mostly worked with Lisa and she was always prompt and explanatory if I had questions on billing, design elements, etc.

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247

CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: City Clerk
SUBJECT:

SECOND READING AND ADOPTION OF ORDINANCE NO. 357, AN

ORDINANCE OF THE CITY OF LAKE FOREST, CALIFORNIA, REPEALING CHAPTER 9.224 AND ADDING CHAPTER 1.18 TO THE LAKE FOREST

MUNICIPAL CODE REGARDING REASONABLE ACCOMMODATIONS
RECOMMENDED ACTION(S):

1. Conduct Second Reading of Ordinance No. 357, AN ORDINANCE OF

THE CITY OF LAKE FOREST, CALIFORNIA, REPEALING CHAPTER

9.224 AND ADDING CHAPTER 1.18 TO THE LAKE FOREST MUNICIPAL

CODE REGARDING REASONABLE ACCOMMODATIONS AND FINDING
THE ACTION TO BE EXEMPT FROM CEQA.

2. Adopt Ordinance No. 357.

EXECUTIVE SUMMARY:

During its regular meeting of September 6, 2022, the City Council considered and conducted the first reading of Ordinance No. 357 (Attachment). This ordinance amends the Lake Forest Municipal Code by repealing the current Chapter 9.224 and adding a new Chapter 1.18, which will govern the process by which persons with disabilities can request reasonable accommodations from the City and is intended to further align the City’s reasonable accommodation regulations with state and federal law as well as best practices for implementing the same. This ordinance establishes a process by which persons with disabilities can request reasonable accommodations to the jurisdiction’s codes, rules, policies, practices, or services as necessary to afford persons with disabilities an equal opportunity to use or enjoy a dwelling.

FISCAL IMPACT:

There is minimal fiscal impact associated with the recommended action.

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ATTACHMENTS:

Ordinance No. 357
Initiated By: Vanessa Hall, Acting Assistant City Clerk Submitted By: Lisa Berglund, City Clerk
Approved By: Debra Rose, City Manager
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Attachment
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ORDINANCE NO. 357

AN ORDINANCE OF THE CITY OF LAKE FOREST ,
CALIFORNIA, REPEALING CHAPTER 9.224 AND ADDING
CHAPTER 1.18 TO THE LAKE FOREST MUNICIPAL CODE

REGARDING REASONABLE ACCOMMODATIONS AND

FINDING THE ACTION TO BE EXEMPT FROM CEQA
WHEREAS, the Federal Fair Housing Amendments Act of 1988 and California Fair Employment and Housing Act require local jurisdictions to establish a process by which persons with disabilities can request reasonable accommodations to the jurisdiction’s codes, rules, policies, practices , or services as necessary to afford persons with disabilities an equal opportunity to use or enjoy a dwelling; and WHEREAS, under Government Code section 65583, each city must analyze in its housing element the special needs of disabled persons. Each housing element also must analyze governmental constraints to the development and maintenance of housing for disabled persons, and include a program to provide reasonable accommodations from zoning and land use regulations to allow for the development of housing for disabled persons; and
WHEREAS, in addition to the foregoing statutes, other state and federal disability laws require a city to provide reasonable accommodations for disabled persons in the application of city programs, including but not limited to the city’s land -use, zoning, and building regulations, as well as other programs, policies, practices, and procedures; and WHEREAS, the City of Lake Forest’s (“City”) reasonable accommodation regulations are currently provided in Chapter 9.224 of the Lake Forest Municipal Code (“LFMC”); and
WHEREAS, this Ordinance amends the LFMC by repealing the current Chapter

9.224 and adding a new Chapter 1.18 , which will govern the process by which persons with disabilities can request reasonable accommodations from the City; and WHEREAS, the LFMC amendme nts provided in this Ordinance are intended to further align the City’s reasonable accommodation regulations with state and federal law as well as best practices for implementing the same; and WHEREAS, adoption of the Ordinance is exempt from further review under the California Environmental Quality Act (“CEQA”) per State CEQA Guidelines (14 Cal. Code Regs., § 15000 et seq.). Adoption of the Ordinance is exempt because the code amendment is an administrative activit y that will not result in a direct or reasonably foreseeable indirect physical change to the environment. (§ 15060(c)(2).) Adoption of the Ordinance is also exempt because the code amendment is not a “project” as defined by section 15378, since it has no potential for resulting in a direct or indirect physical change to the environment. (§ 15060(c)(3)); and
WHEREAS, all legal prerequisites to the adoption of this Ordinance have occurred.

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NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE FOREST, CALIFORNIA DOES ORDAIN AS FOLLOWS:

SECTION 1. Incorporation of Recitals. The City Council hereby finds and determines that the Recitals above are true and correct and incorporated herein.

SECTION 2. CEQA. The City Council determines that adoption of the Ordinance is exempt from further review under CEQA per State CEQA Guidelines (14 Cal. Code Regs., § 15000 et seq.). Adoption of the Ordinance is exempt because the code amendment is an administrative activity that will not result in a direct or reasonably foreseeable indirect physical change to the environment. (§ 15060(c)(2).) Adoption of the Ordinance is also exempt because the code amendment is not a “project” as defined by section 15378, since it has no potential for resulting in a direct or indirect physical change to the environment. (§ 15060(c)(3).) The City Council hereby directs City staff to file a Notice of Exemption within five days of the adoption of this Ordinance.

SECTION 3. General Plan. Based on the entire record before the City Council, and all written and oral evidence presented, the City Council hereby finds and determines that the Ordinance’s amendments to the LFMC are consistent with the City’s adopted General Plan for the reasons set forth below:

1. Health and Wellness Element Policy 1.8 encourages the City to address the accessibility requirements of special needs residents by supporting and partnering with organizations working in the community. This Ordinance promotes the accessibility requirements of residents with special needs by further clarifying and streamlining the City’s process for said individuals to request reasonable accommodations. Amo ng other things, this process also allows organizations, developers , and other individuals to submit reasonable accommodation requests on behalf of a person with a disability.

For these reasons, this Ordinance is consistent with Health and Wellness Element Policy 1.8.

2. Health and Wellness Element Policy 2.2 encourages the promotion of land use plans that allow for a range of housing types and affordability options to support healthy living for families of various incomes and sizes. This Ordinance promotes t he ability of residents with special needs to enjoy a wider variety of housing types in the City by streamlining the City’s process for requesting reasonable accommodations to local policies, rules, and/or development standards (as necessary to ensure an e qual opportunity for said residents to use or enjoy a dwelling). Modifying or eliminating such policies, rules and standards promotes the ability of residents with special needs to use and enjoy housing that aligns with, among other things, their household’s budget and preferences. For these reasons, this Ordinance is consistent with Health and Wellness Element Policy 2.2.

3. Health and Wellness Element Policy 3.1 encourages the support of neighborhoods that sustain residents’ physical and mental health, crea te a Item: 12
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sense of community, foster safe public spaces, and support lifecycle housing opportunities. This Ordinance recognizes the unique requirements of the City’s residents with special needs by establishing a streamlined process for submitting and reviewing reasonable accommodation requests.

Creating a streamlined reasonable accommodation process is intended to facilitate the ability of residents with special needs to live and thrive in the housing of their choice. Thus, this Ordinance is consistent with Hea lth and Wellness Element Policy 3.1.

4. Health and Wellness Element Policy 3.2 encourages the participation in local decision-making from persons who are traditionally underrepresented.

This Ordinance promotes the ability for residents with special needs to b e part of the City’s decision -making process by ensuring that said residents have a user -friendly platform to request accommodations to the City’s policies, rules, and/or development standards (as necessary to ensure an equal opportunity to use or enjoy a dwelling). Collectively, this will facilitate the ability for said residents to ensure that their specific needs are brought to the attention of the applicable City decision -makers. For these reasons, this Ordinance is consistent with Health and Wellness Element Policy 3.2.

SECTION 4. Repealed. Chapter 9.224 (Request for Reasonable Accommodation) of the Lake Forest Municipal Code is hereby repealed in its entirety and is of no further force or effect.

SECTION 5 . Reserved. Chapter 9.224 of the Lake Forest Municipal Code is hereby reserved for future use.

SECTION 6. New Chapter 1.18. Chapter 1.18 is hereby added to Title 1 (General Provisions) of the Lake Forest Municipal Code and shall read in its entirety as follows:
“Chapter 1.18 - Reasonable Accommodation
Section 1.18.010 – Request for Reasonable Accommodation A. Purpose and Intent. It is the policy of the City to make, as provided in this Chapter, reasonable accommodation in the application of its programs, including its zoning and land -use laws provided in Title 9 of this Code, for disabled persons, to the extent required under federal and state disability laws. The purpose of this Chapter is to establish a process for disabled persons to submit and for the City to review a request for reasonable accommodation.

B. Definitions. For the purposes of this Chapter, unless otherwise apparent from the context, certain words or phrases used in this section are defined as follows:

1. “City” means the City of Lake Forest, California.

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2. “Person with a disability” means a person who has a physical or mental impairment that makes achievement of a major life activity difficult, as defined by state and federal disability laws; anyone who is regarded as having such impairment; or anyone with a record of such impairment.

3. “RA Request” means a request for a Reasonable Acc ommodation submitted by, or on behalf of, a person with a disability.

4. “Reasonable A ccommodation” means providing persons with disabilities flexibility in the application of City programs, including City land-use, zoning, and building regulations, policies, practices , and procedures, or waiving certain requirements when it is necessary to provide meaningful access to City programs or to eliminate barriers to housing opportunities for persons with disabilities.

5. “Review Authority” means the City Manager or the City Manager’s designee. See subsection (C) below.

C. Review Authority. The City Manager or the City Manager’s designee is the review authority on RA Requests . A denial of an RA R equest may be appealed by the applicant to a hearing officer. The hearing officer’s decision is final.

D. Applicability.

1. Eligibility.
a. An RA Request may be made by any person with a disability, his or her representative, or a developer or provider of housing or other services for persons with disabilities, when the application of a City program, including a City land -use or building regul ation, policy, practice or procedure, acts as a barrier to meaningful access to City programs or to fair - housing opportunities for persons with disabilities.
b. Federal and state disability laws afford no protection to persons with or without disabilities whose tenancy presents a direct threat to persons or the property of others. Determining whether someone’s tenancy poses such a direct threat must be made on an individualized basis, however, and may not be based on general assumptions or speculation about the
nature of a disability.

2. Eligible Request. The subject matter of an RA Request may include a modification or exception to the practices, rules, or standa rds of a City program or the development, siting, and use of housing or housing-related facilities that would eliminate regulatory barriers and Item: 12
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provide a person with a disability meaningful access to City programs and equal opportunity to housing of the person’s choice.

E. Application.

1. Requirements. An RA Request may be initiated with the Review Authority orally or in writing. The City will not require a requestor to use a particular form or medium to initiate an RA Request. The law requires the Reasonable Accommodation process to be iterative and interactive. City staff will assist requestors in completing their RA Request as needed to ensure that the process is accessible to persons with disabilities.

2. Administration. The City may create any forms, documents, online portals, telephone hotlines, or other methods to facilitate the submittal of RA Requests.

F. Review and Processing.

1. Request for Further Information. The Review Authority may request further information from the applicant consistent with state and federal disability laws and this section, specifying in detail the further information required.

2. Decision.
a. The Review Authority will approve, approve with conditions, or deny a n RA Request in accordance with the required
findings in subsection "G" below.
b. Decision Timing and Content. The Review Authority will issue a written decision within 30 days of its receipt of a complete RA Request (including any additional information required under subsection "F.1" above). The written decision must :
explain in detail the basis of the decision in accordance with the required findings in subsection (G) below, give notice of the applicant’s right to appeal the decision, and be sent to the applicant by first-class mail with return receipt requested.

3. Compliance with other Regulations. An approved accommodation does not affect any person’s obligations to comply with all other applicable regulations not at issue in the requested accommodation.

4. Confidentiality. Any information identified by a n applicant as confidential will be retained in a manner so as to respect the privacy rights of the applicant and will not be made availabl e for public inspection, unless disclosure is otherwise required by state or federal law.

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G. Required Findings. Prior to approval of a n RA Request , the following findings must be made consistent with federal and state disability laws:

1. When housing is t he subject of the RA request, the housing will be used by a person with a disability protected under fair housing laws.

2. As applicable, the requested accommodation is necessary to make housing available to a person with a disability protected under the fair housing laws.

3. The requested accommodation would not impose an undue financial or administrative burden on the City.

4. The requested accommodation would not require a fundamental alteration in the nature of the City’s policies, practices, or procedures, including consideration of alternatives which may provide an equal level of benefit.

5. The requested accommodation will not result in a direct and significant threat to the health or safety of other persons or substantial physical damage to the property of others.

H. Appeals.

1. The action of the Review Authority is final unless appealed within 10 business days of the date that the applicant receives the Review Authority’s decision in the mail. The notice of appeal must be in writing. The Review Authority will schedule the appeal to be heard by a hearing officer within 30 calendar days from the date that the Review Authority receives the notice of appeal . The decision of the hearing officer is final and shall be mailed by first -class mail to the applicant with return receipt requested.

2. Assistance with Appeal. Upon request, the City will provide assistance to a person n eeding assistance with filing an appeal to ensure that the appeals process is accessible to persons with a disability.

I. Modifications Initiated by the Applicant. The applicant may apply for a modification to his or her approved accommodation. Any proposed modification will be treated by the City as a new RA Request and will be subject to the procedures set forth in subsections "A" – "H" above.

J. Modifications or Revocations Initiated by the City.

1. Review Authority and Findings. The Review Authority may make changes or revoke the approval of a Reasonable Accommodation when conditions of approval are violated, it is necessary to resolve a Item: 12
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nuisance, or when the RA Request contained incorrect, false, or misleading information.

2. Procedures. The Review Authority will notify the applicant of the change or revocation of the approval by first-class mail with return receipt requested no later than the next business day after the Review Authority’s decision. The applicant may appeal the Review Authority’s decision in accordance with subsection "H" above.” SECTION 7 . Effective Date. This Ordinance takes effect 30 days following its adoption.

SECTION 8. Severability. If any provision of this Ordinance or its application to any person or circumstance is held to be invalid, such invalidity has no effect on the other provisions or applications of the Ordinance that can be given effect without the invalid provision or application, and to this extent, the provisions of this Ordinance are severable.

The City Council declares that it would have adopted this Ordinance irrespective of the invalidity of any portion thereof.

SECTION 9. Certification. The City Clerk shall certify to the adoption of this Ordinance and cause it, or a summary of it, to be published once within 15 days of adoption in a newspaper of general circulation available within the City of Lake Forest, and shall post a certified copy of this Ordina nce, including the vote for and against the same, in the Office of the City Clerk in accordance with California Government Code section 36933.

Section 10. Record of Proceedings. The documents and materials that constitute the record of proceedings on which this Ordinance and the above findings are located at the City Clerk’s Office at 100 Civic Center Drive, Lake Forest, CA 92630.

[SIGNATURES ON FOLLOWING PAGE]

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INTRODUCED by the City Council of the City of Lake Forest at a regular meeting held on the 6th day of September 2022, and PASSED, APPROVED, AND ADOPTED by the City Council of the City of Lake Forest at a regular meeting held on the 20th day of September 2022.

____
ROBERT PEQUEÑO
MAYOR

ATTEST:

LISA BERGLUND, MPA

CITY CLERK

APPROVED AS TO FORM:

________________________
MATTHEW E. RICHARDSON

CITY ATTORNEY

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Ordinance No. 357

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STATE OF CALIFORNIA )

COUNTY OF ORANGE ) SS

CITY OF LAKE FOREST )

I, Lisa Berglund, City Clerk of the City of Lake Forest, do hereby certify that the foregoing Ordinance No. 357 was duly introduced and placed upon its first reading at a regular meeting of the City Council on the 6th day of September 2022, and thereafter, said Ordinance was duly adopted and passed at a regular meeting of the City Council on the 20th day of September 2022, by the following vote, to wit:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

_____

LISA BERGLUND, MPA

CITY CLERK

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CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: City Manager
SUBJECT:

ANNUAL REVIEW OF DEVELOPMENT AGREEMENTS
RECOMMENDED ACTION(S):

1. Conduct the annual review of development agreements between the City and the following parties:
a. USA Portola Properties, LLC (“Baldwin”);
b. Landsea Holdings ("Landsea");
c. KB Homes ("KB");
d. Lennar Homes ("Lennar");
e. Shea Homes ("Shea");
f. Toll Brothers West, Inc. (“Toll Brothers”)

2. Find that Baldwin, Landsea, KB, Lennar, Shea, and Toll Brothers are each in good faith compliance with their respective Development Agreements.

EXECUTIVE SUMMARY:

State law and the terms of the City’s Development Agreements ("DAs") require the City to conduct an annual review of active DAs for compliance with their respective terms and conditions. "Good faith compliance" is established if the owner complies with every term and condition of its DA. In conjunction with the City Attorney's Office, staff reviewed each of the DAs relative to the activity that occurred during the previous fiscal year to assess compliance. This report also provides a summary of the development activities associated with each property owner through Fiscal Year (“FY”) 2021-22. Based on the number of actual units entitled for all active or in-construction developments for this review period, 44.8 percent of the units have been issued permits. After conducting a review of each DA, staff recommends the City Council find each property owner to be in good faith compliance with the terms of their respective agreement.

The DAs enable the City to collectively seek reimbursement from the landowners for all costs associated with the annual review. Each year, the City escalates development fees as authorized in the Lake Forest Municipal Code and DAs.

The DA between Baldwin and the City specifies the annual adjustment is based on the Engineering News-Record (“ENR”) Building Cost Index for the Los Item: 13
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Angeles Area. The annual adjustment, applicable to non-affordable housing in- lieu fees beginning July 1, 2022, is 6.3 percent. The DA between Toll Brothers and the City specifies the annual adjustment is based upon the change in the Consumer Price All Urban Index. The change beginning July 1, 2022 is 9.1 percent for Toll Brothers. The amount due to the City is divided proportionately among the developers. Staff will provide each of the developers with a letter indicating the individual pro-rata share.

BACKGROUND:

Under Government Code Section 65865.1, the City must conduct an annual review of its DA's. During the review period, a property owner is required to establish good faith compliance with the terms and conditions of their DA. If the City Council finds and determines that an owner is not in good faith compliance, the City may terminate or modify the DA.

In 2008, the City Council approved DAs with Baldwin, Irvine Ranch Water District (“IRWD”), Madison (later assigned to Shea Homes), and the Elmer H. Whisler 1994 Trust (assigned to KB Homes).1 Subsequently, in 2010, the City Council approved a DA with Shea/Baker Ranch Associates (“SBRA”)2, and in 2013, the City Council approved DAs with BrookCal LF LLC ("Brookfield")3 and Trumark4.

This was followed by the approval of entitlements and DAs with Baker Ranch Properties (later assigned to Toll Brothers for the Parkside Development) and Meritage in 2015.5 In 2016, Lennar purchased the property from IRWD. Lastly, in 2020, the City Council approved a DA with Toll Brothers West (“Toll Brothers”) for The Meadows Project.

The City Council has conducted an annual DA review through FY 2020-21.

During each of these annual reviews, the City Council found that each owner has been in good faith compliance with its respective DA requirements and obligations.

DISCUSSION:
1 KB Homes completed its development subsequent to the 2013 Annual Development Agreement Review and, therefore, is no longer subject to the Annual Development Agreement Review. 2 SBRA completed its development subsequent to the 2019 Annual Development Agreement Review and, therefore, is no longer subject to the Annual Development Agreement Review. 3 Brookfield completed its development subsequent to the 2016 Annual Development Agreement Review and, therefore, is no longer subject to the Annual Development Agreement Review. 4 Trumark completed its development subsequent to the 2018 Annual Development Agreement Review and therefore, is no longer subject to the Annual Development Agreement Review. 5 Toll Brothers and Meritage Homes both completed its development after the 2019 Annual Development Agreement Review and, therefore, is no longer subject to the Annual Development Agreement Review.

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This report includes the annual review of DAs active during FY 2021-22. The DAs require that the City notify the respective owners in writing at least 60 days prior to the date scheduled for annual review. Staff provided written notice of annual review to property owners on April 11, 2022. This DA review includes the following developers and related development projects:
•Portola Center – Baldwin, Landsea, and KB
•Serrano Summit – Lennar
•Teresina – Shea
•The Meadows – Toll Brothers
Current development is in various stages and the requirements of each DA vary based on site-specific conditions or other timing factors associated with each development project. The attached matrix summarizes each development project for FY 2021-22 (Attachment). The following narrative outlines each development project, the total number of units, and permits issued through FY 2021-22.

A. Portola Center
Staff found the developers of Portola Center in compliance with the DA. Portola Center totals nearly 196 acres, bifurcated by Glenn Ranch Road east to west and Saddleback Ranch Road north to south. The City Council previously approved the development of single-family and multi-family homes, senior affordable apartments, commercial retail space, public and private neighborhood parks, and public trails at Portola Center. All the single-family homes in Portola Center Northwest and Portola Center South have been constructed and sold. Single- family units in Portola Center Northeast continue to be constructed. In addition, the mixed-use project consisting of senior affordable apartments and retail commercial space, as well as several multi-family units in Portola South continue to be constructed.

Portola Center is generally separated into the three planning areas illustrated in Table 1:

Table 1: Portola Center Planning Areas
Planning Area Developer Number/Type of Units
Portola Center Baldwin 81 single-family units
Portola Center Northeast Baldwin 223 single-family units Portola Center South
Areas R-3, R-5, R-6, and
R-7
Landsea 230 single-family units and 251
multi-family condos (total of 481
units)
Area 4 KB Homes 83 single-family units
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Planning Area Developer Number/Type of Units
Senior affordable
apartments/retail
Baldwin
(Community
Housing
Works)
Mixed-use development comprised
of 57 affordable one-bedroom
apartments for senior citizens, one
apartment for an on-site manager,
and 10,000 square feet of
commercial retail space.

Permit Status FY 2021-22:

Baldwin
Of the 362 total units approved for development by Baldwin, 218 units have either been built or are under construction, as follows:
•Portola Center Northwest (The Oaks): Baldwin is built out with 81 single- family units approved.
•Portola Center Northeast (The Oaks): Baldwin has been issued 93 permits out of the 223 total single-family units approved.
•Portola Center South (senior affordable apartments/retail): Baldwin has been issued one building permit (for all 58 units) and has graded the site and sold it to an affordable housing developer, Community Housing Works. Community Housing Works has begun building construction of the 57 affordable senior apartments and one-market-rate unit, along with 10,000 square-feet of retail commercial on the first floor.

Landsea
Of the 481 units approved for development by Landsea, 461 units have either been built or are under construction, as follows:
•Portola Center South, Planning Area R-3 (Windstone): is built-out with 85 single-family homes.
•Portola Center South, Planning Area R-5 (Brookhaven): is built-out with 80 single-family homes.
•Portola Center South, Planning Area R-6 (Sagebluff): is built-out with 65 single-homes designed in a four-pack cluster configuration. •Planning Center South, Planning Area R-7 (Copperleaf/Silveroak): is a 251 multi-family condominium. Permits have been issued for the construction of all 251 units and is anticipated to be completed in the next fiscal year. Once construction is complete and acceptance of the streets is satisfied, the Landsea portion of the project will be considered complete and no further review would be required in future years.

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During FY 2021-22, Landsea met its obligation for city facilities fees, city facilities maintenance fee, and the Lake Forest Transportation Mitigation Fee for all remaining available units.

KB Homes
On October 5, 2021, the City Council accepted the subdivision improvements in tract 17947. This satisfies the KB Homes portion of the Portola Center project.

Based upon the progress of its development, staff found KB Homes to be in good faith compliance with each of the requirements of the DA. As the project is complete no further review is required in future years.

B. Serrano Summit - Lennar
Lennar was issued and paid for all permits by April 2022. All units have either been built or are under construction, as follows:
•Amara, Neighborhood 3: is built out with 101 detached single-family homes. •Arieta, Neighborhood 5: is built out with 104 multi-family condominium units. •Castellon, Neighborhood 4: is built out with 51 single-family homes. •Covera, Neighborhood 1: is built out with 120 multi-family condominium units.

Permits have been issued for the construction of 120 units and is anticipated to be completed in the next fiscal year.
•Oreste, Neighborhood 6: is built out with 66 units designed as attached multi- family duplexes.
•Soria, Neighborhood 2: is built out with 95 single-family homes. Permits have been issued for the construction of 95 units and is anticipated to be completed in the next fiscal year. Once construction is complete and acceptance of the streets is satisfied, the project will be considered complete and no further review would be required in future years.

During FY 2021-22, Lennar met its obligation for city facilities fees for all remaining units. The development of Serrano Summit’s residential neighborhoods, recreation center, and neighborhood parks is nearly complete.

Staff found Lennar in compliance with its DA.

C. Teresina – Shea Homes
Shea Homes continued constructing homes during FY 2021-22. All 85 building permits for the Teresina project have now been issued for the project. Over the past fiscal year, the City issued the last 26 building permits, and 37 units were completed. The last 17 residential units are under construction, and it is anticipated that the project will be completed in the next fiscal year. Once construction is complete and acceptance of the streets is satisfied, the project will be considered complete and no further review would be required in future years.

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During FY 2021-22, Shea Homes met its obligation for city facilities fees, city facilities maintenance fee, and neighborhood parks fees for all remaining available units. Staff found Shea in compliance with its DA.

D. The Meadows – Toll Brothers
The Toll Brothers “The Meadows” community consists of a 126-acre site located at the southeast corner of Rancho Parkway and Bake Parkway. As approved by the City Council, this development will include single-family and multi-family (affordable senior) apartments, a public trail, and public and private neighborhood parks.

Currently, single-family units in all five neighborhoods are under construction. Of the 541 single-family units approved, 221 permits were issued and paid during FY 2021-22. The senior affordable apartment site has been rough graded in anticipation of commencing construction later this year. Staff found Toll Brothers in compliance with the DA.

Escalation of City Fees and Credits
Under the DAs, the City is required to apply a fee escalator to the costs of specified City fees and credits on July 1 of each year. Per the DA with Toll Brothers, City fees and credits will not be escalated until after the building permit is issued for its first production unit. The DA between Baldwin and the City specifies the annual adjustment is based on the ENR Building Cost Index for the Los Angeles Area. The annual adjustment, applicable to non-affordable housing in-lieu fees beginning July 1, 2022, is 6.3 percent. The DA between Toll Brothers and the City specifies the annual adjustment is based upon the change in the Consumer Price All Urban Index. The change beginning July 1, 2022 is 9.1 percent for Toll Brothers.

Subject to the City Council's final determination that the developers are in compliance with their respective DAs, staff would provide each landowner with a letter confirming the City's completion of the annual review process. In addition, the DAs require developers to share in the cost of conducting the annual review.

For this review period, the cost of the DA review totaled approximately $1,680.

Staff will calculate each developer's pro-rated share based upon the total number of units approved within each DA and bill this amount to the developers.

FISCAL IMPACT:

There is no fiscal impact to the City associated with the review of the DAs. As specified in the DAs, the landowners will reimburse the City for costs associated with the preparation of the DA review. The reimbursement would be divided Item: 13
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proportionately among the current developers.

ATTACHMENTS:

Development Agreement Matrix
Initiated By: Adrian Grijalva, Senior Management Analyst Submitted By: Keith D. Neves, Assistant City Manager
Approved By: Debra Rose, City Manager
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ATTACHMENT
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Development Developer Agreement
Date
Units Approved in
DA
Actual Units Planned by
Developer
Permits Issued
through FY 2021-22
In
Compliance?
Comments
USA Portola
Properties, LLC
(Baldwin &
Sons)
8/1/2008 308 304 174 Portola Center Northeast - 223 approved single- family homes. Developer has been issued 93
permits to date. The remaining area continues to
be graded and prepared for development.

Portola Center Northwest - The Developer has
been issued 81 permits, all prior to fiscal year
2019-2020. Portola Center Northwest is built-out.

USA Portola
Properties, LLC
(Baldwin &
Sons)
8/1/2008 58 (57 senior
affordable rental
units + 1 market
rate unit)
58 1 for 58 units The building permit issued for 58 units also includes a 10,000 square foot commercial space
located in the mixed use site. Baldwin graded the
site and commenced construction.

Landsea 12/1/2015 486 (including 83
KB Homes)
481 (excluding 83 KB
homes)
461(Excluding 83 KB
Homes)
Landsea has completed construction of all its 230
single-family homes and has nearly completed all
of its 151 multi-family units for a combined total
of 381 units.

KB Homes 8/30/2017 83 83 83
KB has completed all of its 83 single-family homes
and no further review is required in future years.

Serrano Summit Lennar Homes 9/1/2017 608 537 537 Development of all six residential neighborhoods, recreation center and two private neighborhoods
is nearly complete.

Teresina Shea Homes 4/16/2018 85 85 85 Building permits for all 85 homes have been issued and development is nearly complete.

Toll Brothers 1/21/2020 675 541 221
Toll Brothers 1/21/2020 65 65 (senior affordable
rental units)
0 Portola Center
Development Agreement ("DA") Matrix: Fiscal Year 2021-22 The Meadows All five single-family neighborhoods in The Meadows are actively under construction, as are
the five mini parks, two community parks, and
private recreation center. A rough grading permit
for the senior affordable apartment units has
been issued.

Item: 13
268

CITY COUNCIL AGENDA REPORT
MEETING DATE: 9/20/2022
DEPARTMENT: City Manager
SUBJECT:

PUBLIC HEARING FOR THE ISSUANCE OF TAX-EXEMPT BONDS BY THE

CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY FOR

USE BY MEADOWS SENIORS LP, FOR ITS PROPOSED SENIOR

AFFORDABLE HOUSING PROJECT AT THE MEADOWS
RECOMMENDED ACTION(S):

1. Conduct a Tax Equity and Fiscal Responsibility Act Hearing in consideration of the issuance of tax-exempt bond financing by the California Statewide Communities Development Authority for the benefit of Meadows Seniors LP, to provide financing for the acquisition, construction, improvement, and equipping of a 65-unit multifamily rental housing project generally known as The Meadows Senior Apartments.

2. Subject to comments and testimony received during the public hearing, adopt a Resolution entitled: A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF LAKE FOREST APPROVING THE ISSUANCE BY THE

CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT

AUTHORITY OF EXEMPT FACILITY BONDS FOR THE MEADOWS
SENIOR APARTMENTS.

EXECUTIVE SUMMARY:

The Toll West Inc. (“Toll West”) Development Agreement (“DA”) includes an Affordable Housing Implementation Plan (“AHIP”) which facilitates the development’s compliance with the DA and the City’s General Plan and Housing Element. C&C Development (“C&C”), the developer’s affordable housing development partner, is proposing to construct 64 on-site affordable senior housing units and 1 market-rate manager unit.

C&C is proposing to finance its project, in part, with tax-exempt, revenue bonds (“Bonds”) that would be issued through the California Statewide Communities Development Authority (“CSCDA”). Section 147(f) of the Internal Revenue Code requires the adoption of a resolution officially noting the City’s consent to the issuance of the Bonds. In addition, the Internal Revenue Code requires a noticed public hearing prior to the adoption of the resolution. To meet these Item: 14
269

requirements, staff prepared a resolution for the City Council’s consideration (Attachment). The resolution was reviewed and approved as to form by the City Attorney’s Office.

The Bonds would be a limited obligation of CSCDA payable solely through the payment of principal and interest components by C&C and would not, in any way, be a direct obligation of the City. Consequently, there is no fiscal impact associated with the recommended action.

BACKGROUND:

Development Agreement
On January 21, 2020, the City Council voted to enter into a DA with Toll West.

The Toll West DA provides the company a vested right to develop the property with a maximum of 675 market-rate residential units and at least 64 senior affordable rental units, but not more than 101 senior affordable rental units. The DA includes requirements for the developer to pay impact fees including, but not limited to a City Facilities Maintenance Fee; Traffic Impact fees; and affordable housing provisions. Furthermore, the DA includes an Affordable Housing Implementation Plan as noted below.

Affordable Housing
This DA includes provisions for affordable housing. Incorporating affordable housing in new neighborhoods is consistent with the City’s General Plan, which encourages a variety of housing products at varying prices. In addition, the DA is responsive to the State’s mandate that cities address their Regional Housing Needs Assessment (“RHNA”) obligations, which outline the number of units that must be built by income categories over the Housing Element period of 2021-2029.

The Toll West DA includes an AHIP which facilitates the development’s compliance with the DA and the City’s General Plan and Housing Element. To fulfill its affordable housing requirements, Toll West selected C&C as its affordable housing development partner to build and manage on-site affordable housing. Staff and C&C are working collaboratively to ensure the proposed project corresponds to the various requirements of the DA, including its affordable housing provisions.

DISCUSSION:

Item: 14
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Project Financing:

The project is expected to be financed in an amount not to exceed $24,000,000 of tax-exempt revenue bonds. For all or a portion of the Bonds to qualify as tax- exempt bonds, the City is required to hold a public hearing under the requirements of Tax Equity and Fiscal Responsibility Act (“TEFRA”) and provide the members of the community an opportunity to speak in favor of or against the use of tax-exempt bonds for the financing of the Project. Adoption of the resolution is solely for the purposes of satisfying the requirements of the TEFRA, the Internal Revenue Code, and the California Government Code Section 6500 (and following). In accordance with TEFRA, the public hearing must include a 7- day public notice period. A public notice was published on September 13, 2022.

As stated in the resolution, the Bonds issued by the CSCDA would be the sole responsibility of C&C. The City would have no financial, legal, liability, or responsibility for the Project or the repayment of the Bonds for the financing of the Project. The City Attorney’s Office reviewed and approved the resolution as to form (Attachment). Staff recommends the City Council adopt the proposed resolution to allow CSCDA to issue the required bond financing for the project.

Summary:

The City Council approved the DA for The Meadows project on January 21, 2020. C&C Development is not requesting any changes to the approved project scope. Approval of the proposed resolution only pertains to the issuance of tax- exempt bonds on behalf of C&C to finance its project construction. The City would not bear any legal or financial obligations for the issuance or repayment of the bonds.

FISCAL IMPACT:

The Bonds will be issued as limited obligations of CSCDA, payable solely from revenues and receipts derived from a loan to be made by CSCDA to the borrower with the Bond proceeds. The City bears no liability with respect to the issuance of the Bonds. Consequently, the recommended action carry no fiscal impact to the City.

ATTACHMENTS:

City Council Resolution Approving the Issuance by CSCDA of Bonds Item: 14
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Initiated By: Adrian Grijalva, Senior Management Analyst Submitted By: Keith D. Neves, Assistant City Manager
Approved By: Debra Rose, City Manager
Item: 14
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ATTACHMENT
Item: 14
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RESOLUTION NO. 2022-__

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE FOREST

APPROVING THE ISSUANCE BY THE CALIFORNIA STATEWIDE COMMUNITIES

DEVELOPMENT AUTHORITY OF EXEMPT FACILITY BONDS FOR THE MEADOWS

SENIOR APARTMENTS
WHEREAS, the California Statewide Communities Development Authority (the "Authority") is authorized pursuant to the provisions of California Government Code Section 6500 et seq. and the terms of an Amended and Restated Joint Exercise of Powers Agreement, dated as of June 1, 1988 (the "Agreement"), among certain local agencies throughout the State of California, including the City of Lake Forest (the "City"), to issue revenue bonds in accordance with Chapter 7 of Part 5 of Division 31 of the California Health and Safety Code for the purpose of financing multifamily rental housing projects; and
WHEREAS, Meadows Seniors LP or a partnership of which C&C Development Co., LLC (the "Developer") or a related person to the Developer is the general partner, has requested that the Authority adopt a plan of financing providing for the issuance of exempt facility bonds for a qualified residential rental project pursuant to Section 142(a)(7) of the Internal Revenue Code of 1986 (the "Code") in one or more series issued from time to time, including bonds issued to refund such exempt facility bonds in one or more series from time to time, and at no time to exceed $24,000,000 in outstanding aggregate principal amount (the "Bonds"), to finance or refinance the acquisition, construction and development of a senior multifamily rental housing project located at 101 Lopala, Lake Forest, California (the "Project"); and
WHEREAS, the members of this City Council (this "City Council") are the applicable elected representatives of the City; and
WHEREAS, there has been published, at least 7 days prior to the date hereof, in a newspaper of general circulation within the City, a notice that a public hearing regarding the Bonds would be held on a date specified in such notice; and WHEREAS, such public hearing was conducted on such date, at which time an opportunity was provided to interested parties to present arguments both for and against the issuance of the Bonds; and
WHEREAS, it is intended that this resolution shall constitute the approval of the issuance of the Bonds required by Section 147(f) of the Code and Section 9 of the Agreement; WHEREAS, the City Council now desires to approve the issuance of the Bonds by the Authority as set forth herein;
Item: 14
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NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LAKE FOREST AS FOLLOWS:

Section 1. The above recitals are true and correct.

Section 2. The City Council hereby approves the issuance of the Bonds by the Authority. It is the purpose and intent of the City Council that this resolution constitute approval of the Bonds for the purposes of (a) Section 147(f) of the Code and (b) Section 9 of the Agreement.

Section 3. The officers of the City are hereby authorized and directed, jointly and severally, to do any and all things and to execute and deliver any and all documents that they deem necessary or advisable in order to carry out, give effect to and comply with the terms and intent of this resolution and the financing approved hereby.

Section 4. This resolution shall take effect immediately upon its passage.

PASSED, APPROVED AND ADOPTED this 20 th day of September, 2022, by the following vote, to wit:

AYES:

NOES:

ABSENT:
_____________________________
ROBERT PEQUEÑO
MAYOR
ATTEST:
___________________________

LISA BERGLUND

CITY CLERK
Item: 14
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APPROVED AS TO FORM:
_____________________________
MATTHEW E. RICHARDSON

CITY ATTORNEY
Item: 14
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Lake Forest City CouncilSeptember 20, 2022

Lake Forest City Council
September 20, 2022