MOWLB is dedicated to providing service to the Lakewood community, as evidenced by their staff participation in the quarterly Lakewood Non-Profit and Religious Organizations Brown Bag meetings, as well as the Senior Health Fair and the Benefits Information Fair at the Weingart Senior Center, The organization’s leadership is continually seeking outreach and community involvement in Lakewood.
MOWLB has many operations in place to serve Lakewood clients well. • Online bill payment on the MOWLB website
• Online donations
• Pathways assessment and case management services. Two clients have continued to receive case management services from Pathways and all new Lakewood clients will continue to be evaluated.
• Use of ServTracker software to manage clients and organize routes. The ServTracker app is utilized by volunteers to view the client’s information and notes, get route directions and communicate with Meals on Wheels staff in real time.
• Dedicated client manager, client support program manager, and site manager to efficiently carry out the program operations and provide excellent customer service to clients and volunteers.
• Starting in 2024, a new Telephone Reassurance Program will also be put into place for additional client support.
RECOMMENDATION
It is the recommendation of staff that the City Council receive and file the Meals on Wheels of Long Beach Update.
W Thaddeus McCormack
City Manager
Valarie Frost, Director
Recreation and Community Services
COUNCIL REPORT
February 13, 2024
TO: The Honorable Mayor and City Council
SUBJECT: Revisions to Administering the Recreation Contract Class Program amid California Assembly Bill 506 and Introduction of Proposed Ordinance Regarding Tax Free Certification Provisions
INTRODUCTION
The Recreation and Community Services Department offers a slate of recreation classes which are coordinated by independent and contracted class instructors. These classes are offered three times annually through the Recreation Catalog. Classes include everything from arts, crafts, sewing and handiwork, to dance, fitness and educational programs. These offerings reach the entire spectrum of residents from two years old to seniors, while also encompassing opportunities for families and small groups to register. Currently, risk is transferred to these instructors through contractual agreement with the city.
The department’s seasonal recreation catalog for the spring session is currently underway and the summer session of classes is scheduled to be ready for publishing on April 9, 2024. In preparation for organizing a varied slate of recreation classes offered by contracted classinstructors, staff needs to make revisions in how the program is administered to be in compliance with California Assembly Bill 506 and to mitigate the city’s exposure to risk.
STATEMENT OF FACT
Existing Conditions
The Recreation and Community Services Department began offering specialized recreation classes coordinated by contracted class instructors in the early 1980s. The contract class program has functioned as a means to offer broad recreational programs for all residents without having to maintain an extensive cadre of specifically trained staff at a high cost to the city and participant.
Lakewood, like most municipalities, works with independent and contracted class instructors to limit payroll and offer affordable classes to a broad variety of interests.
Lakewood has maintained a model in which instructors sign a contractual agreement limiting the city’s liabilities and ensuring that the contract class instructor assumes the majority of the risk associated with these class offerings. The existing agreement, a copy of which is attached to this report, denotes that the contract class instructor is responsible for the content of the class; the revenue share for services—65% for the contract class instructor, 35% for the city, and 80%/20%, respectively for senior classes to help keep costs low for seniors—the requirement of self-insuring themselves for workers compensation and medical; a hold-harmless clause; and an overall assumption of risk for the contract class instructor.
3.4 Revisions to Administering the Recreation Contract Class Program amid California Assembly Bill 506 and Introduction of Proposed Ordinance Regarding Tax Free Certification Provisions February 13, 2024
Currently, the city maintains approximately 50 active contract class instructors. It is important to note that most contract instructors are individuals not running a business (e.g. Corporation, LLC, DBA, etc.) and work as a contract class instructor to supplement their primary income. There are a few businesses with which the city has worked to offer recreation classes, Businesses such as Tumble-N-Kids Gymnastics are offered spaces to teach at city facilities, while the city also partners to offer joint registration for facilities like Kick It Up Dance and The Rinks for ice skating which take place at non-city facilities.
For fiscal year 2022/2023, the following represents earnings for high and low end contract class instructors as well as an average for all instructors. The highest earning instructor is the organization Tumble-N-Kids at $102,520, however this is not a representative number for the sample as the next nearest organization is BEST Sports at $21,870 for the year. The highest earning individual, not associated with an organization is Stephanie Fontela at $19,680, teaching youth hula dance. It isimportant to note that Ms. Fontela maintains a small group of assistants whom she pays from her income. While the lowest earning onsite individual contract instructor is Fahtiem Fahtiem at just $287. Among the 45 active contract instructors the average annual income from the fiscal yearis equal to $4,421. Note that the outlier $102,520 from Tumble-N-Kids wasremoved from this average so as not to skew the data.
California Assembly Bill 506
California Assembly Bill 506 (AB 506) was sponsored by CA Assembly Member Lena Gonzalez and approved by Governor Gavin Newsome in September 2021, going into effect in January 2022.
California’s Assembly Bill 506 adds further protections for minors by requiring youth service organizations to adopt and implement a child abuse prevention policy which includes requirements for mandated reporting training and background checks for administrators, employees, and fulltime volunteers, Mandated Reporter training can be obtained online, free of charge. Background checks require Live Scan fingerprinting in which the employer makes a request for all convictions or arrests pending adjudication from the California Department of Justice (CDOJ) using a form approved by the CDOJ. hi addition, AB 506 authorizes insurers to request information demonstrating compliance before writing liability insurance for youth service organizations.
Live Scan fingerprints can be obtained at multiple local outlets for a set DOJ fee of $32 applicable to every applicant and rolling fees starting as low as $24, but each vendor sets their own prices for rolling prints.
Contractual Risk Transfer
Currently, classes are offered on site at Lakewood recreation facilities which are supervised by city staff. All Recreation and Community Services staff are fingerprinted and screened by the Department of Justice prior to hiring. This is in compliance with several state bills which protect youth from individuals with prior convictionsinvolving abuse. Currently, contract classinstructors are not required by the city to obtain a fingerprint background check due to their independent contract class instructor status since they are being supervised by park and recreation staff on site.
Revisions to Administering the Recreation Contract Class Program amid California Assembly Bill 506 and Introduction of Proposed Ordinance Regarding Tax Free Certification Provisions February 13, 2024
Due to AB 506 the city will also enact a Child Abuse Mitigation Plan, using a template provided by the California Joint Powers Insurance Authority (CJPIA) and update current Instructor Agreements to include language regarding AB 506, fingerprint policies, and a Child Abuse Mitigation Plan.
General liability insurance is currently not required to be maintained by contract instructors.
Though assumption of risk is noted in the existing agreement and places that risk on the instructor, the lack of liability insurance does appear to expose Lakewood to some risk in offering these classes. As noted above, most instructors act as individuals with minimal capital exposed and should a lawsuit be filed, the city could be named as a plaintiff. Once again, instructors can be required to maintain general liability insurance to cover incidents, however the cost could be substantial to the instructors and their small class offerings may preclude them from continuing to offer classes at low cost or reasonable rates. Moving forward, all contract class instructors should be required to provide proof of insurance coverage for their classes. A list of possible insurance options will be provided to all contract class instructors by staff.
One organization with which municipal recreation departments often partner is the Southern California Municipal Athletic Federation (SCMAF), which has been endorsed by CJPIA. SCMAF offers a Class Insurance Program which requires instructors to maintain an annual membership of $35 per year, plus pay $4 per class participant. The insurance provides coverage of $1,000,000 per occurrence and $5,000,000 general aggregate. The insurance offered by SCMAF may be one option should instructors be required to obtain insurance. The policy includes coverage for sexual abuse and molestation with a clean background check with no records from the city where the class is being held.
Business Licenses for Independent Contract Class Instructors With California SB946 passed in 2018, the city initiated the requirement for anyone vending in Lakewood to first obtain a business license to permit sales. Contract class instructors are not presently required to obtain a business license, yet are conducting business for profit at public facilities. However, provision of these recreational classes for Lakewood residents serve the city’s greater good, by offering recreational, health-based and personal betterment opportunities at affordable costs. Requiring a business license would further drive up costs for residents for these classes. A revision to LMC 6507 is proposed which would allow for contract instructors making modest income to be exempt while still requiring other entities to obtain the license. The municipal code is noted below with recommended revisions that require a business license, yet except contract instructors (note: underlined text is that to be added, while struck text is to be deleted), 6507. TAX-FREE CERTIFICATE PROVISION.
APPLICATION TO CERTAIN TEACHERS
The provisions of this ordinance shall not require the payment of a business tax for the teaching of musical, artistic or educational subjects when the following conditions exist:
1. The teaching is done at the residence of the teacher or at the residence of the pupil or at a public building under an agreement with City to provide teaching of certain recreation classes for the general public welfare.
Revisions to Administering the Recreation Contract Class Program amid California Assembly Bill 506 and Introduction of Proposed Ordinance Regarding Tax Free Certification Provisions February 13, 2024
2. The teacher employs no assistants, does not display an advertising sign at the residence, and does not make a general practice of selling merchandise in connection with the teaching.
3. The teaching is performed by and on behalf of an individual not associated withrepresented by, or in operation of a business entity such as a Corporation. LLC. DBA or Partnership.
In any case where the general intent of this section will be carried out and the general public welfare will be served, the hy Council Director of Finance may authorize the issuance of a tax-free certificate.
Any person claiming an exemption pursuant to this section shall file a sworn statement with the Director of Finance stating the facts upon which exemption is claimed, and in the absence of such statement substantiating the claim, such person shall be liable for the payment of the taxes imposed by this ordinance.
Those individuals or firms exempted by the above paragraphs engaged in other business activities not exempted by applicable statutes of the United States or of the State of California shall pay business taxes as prescribed herein on the portion of business activities not exempted.
To note in the above recommended amendment to the Lakewood Municipal Code, those corporate organizations which operate contract classes such as Tumble-N-Kids, Kick It Up and The Rinks would not be exempt under the revised code. Staff do not foresee a path, nor recommend that these organizations would be exempt.
SUMMARY
The contract class program offering recreational classes and activities for residents is a longstanding program which provides fun and learning at affordable coststo all ages and interest levels.
The above report offers areas in which risk can be further transferred and ensure compliance with new state regulations. Staff would immediately begin implementing approved changes to the contract class program ensuring that contracted classes advertised in the 2024 Summer Recreation Catalog meet new state regulations and mitigate the city’s exposure to risk.
RECOMMENDATION
Staff recommends the City Council require Lakewood’s independent contract class instructors to obtain Livescan fingerprint background checks, obtain general liability insurance for incidents occurring within the scope of their class offerings, and obtain business licenses to operate their contract classes within Lakewood; and introduce the proposed ordinance amending the Lakewood Municipal Code regarding tax-free certificate provisions. fg^
ATM Valarie Frost, Director
Recreation and Community Services
Thaddeus McCormack
City Manager
ORDINANCE NO. 2024-1
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LAKEWOOD AMENDING THE LAKEWOOD MUNICIPAL
CODE REGARDING TAX FREE CERTIFICATE PROVISIONS
THE CITY COUNCIL OF THE CITY OF LAKEWOOD DOES ORDAIN AS FOLLOWS:
SECTION 1. The text of Section 6507.C of the Lakewood Municipal Code is hereby amended to read as follows:
“C. APPLICATION TO CERTAIN TEACHERS. The provisions of this ordinance shall not require the payment of a business tax for the teaching of musical, artistic or educational subjects when the following conditions exist:
1. The teaching is done at the residence of the teacher or at the residence of the pupil or at a public building under an agreement with City to provide teaching of certain recreation classes for the general public welfare.
2. The teacher employs no assistants, does not display an advertising sign at the residence, and does not make a general practice of selling merchandise in connection with the teaching.
3. The teaching is performed by and on behalf of an individual not associated with, represented by, or in operation of a business entity such as a Corporation, LLC, DBA or Partnership.
In any case where the general intent of this section will be carried out and the general public welfare will be served, the City Council Director of Finance may authorize the issuance of a tax-free certificate.
Any person claiming an exemption pursuant to this section shall file a sworn statement with the Director of Finance stating the facts upon which exemption is claimed, and in the absence of such statement substantiating the claim, such person shall be liable for the payment of the taxes imposed by this ordinance.
Those individuals or firms exempted by the above paragraphs engaged in other business activities not exempted by applicable statutes of the United States or of the State of California shall pay business taxes as prescribed herein on the portion of business activities not exempted.” SECTION 2. The City Council hereby declares it would have passed this Ordinance sentence by sentence, paragraph by paragraph and section by section, and does hereby declare the provisions of this Ordinance are severable, and if for any reason any section of this Ordinance should be held invalid, such decision shall not affect the validity of the remaining parts of this Ordinance.
Ordinance No. 2024-1
SECTION 3. The City Clerk shall certify to the adoption of this Ordinance. The City Council hereby finds and determines there are no newspapers of general circulation both published and circulated within the City and, in compliance with Section 36933 of the Government Code, directs the City Clerk to cause said Ordinance within fifteen (15) days after its passage to be posted in at least three (3) public places within the City as established by ordinance. This Ordinance shall take effect thirty (30) days after its adoption.
ADOPTED AND APPROVED this _______ day of ____________________, 2024, by the following roll call vote:
AYES NAYS ABSENT
Mayor Pe
Council Member Chase
Council Member Croft
Council Member Rogers
Council Member Wood
_____________________________
Mayor
ATTEST:
_____________________________
City Clerk
COUNCIL AGENDA
February 13, 2024
TO: The Honorable Mayor and City Council
SUBJECT: Lakewood Youth Hall of Fame Program
INTRODUCTION
The 42nd Annual Lakewood Youth Hall of Fame Banquet will be held Monday, February 26, 2024, beginning at 6:30 p.m. at The Centre, The annual program recognizes the athletic achievements of high school and youth athletes who live in Lakewood or attend school in Lakewood. Awards will be presented for Performer of the Year in each sport, various Special Achievement awards, including Scholar Athlete of the Year, and the highlight of the event, the crowning of the Athlete of the Year. The Hall of Fame Board of Electors convened January 11, 2024, to select the 2023 Athlete of the Year and honors for other athletes and coaches.
STATEMENT OF FACT
The Lakewood Youth Hall of Fame event is a prime example of combining the resources and efforts of public, private and non-profit organizations for a community sports recognition program.
The program is sponsored primarily by the City of Lakewood and Piazza Family McDonald’s Restaurants. Morethan a dozen other local businesses and sendee organizationssuch asthe Rotary Club of Lakewood, and Soroptimist International of Lakewood/Long Beach participate as program sponsors.
Each year, representatives from Lakewood-based high schools and area sports organizations, as well as members of the community, are invited to submit nominations and detailed information on athletes’ achievements for the consideration of awards. The Board of Electors, a volunteer panel of community members and school administrators, meets, deliberates and votes by secret ballot for each award category and selects those individuals and teams who will be enshrined in the Hall of Fame. In addition to Athlete of the Year, the Board of Electors considers nominees for Performer of the Year in nearly 20 sports and several additional Special Achievement categories, Every year, new honorees are added to the display at the Lakewood Youth Hall of Fame gallery located in the McDonald’s restaurant on Woodruff Avenue. In addition to being immortalized in the Hall of Fame at the McDonald’s restaurant, state and local elected officials recognize the honorees with certificates of commendation for their accomplishments, The Hall of Fame Board of Electors selected Chaz Gilbreath from Mayfair High School as the 2023 Athlete oftheYear. In 2023,Chaz played both offense and defense for theMayfair Monsoons Varsity Football Team. On offense, Chaz put up outstanding numbers with 84 receptions totaling 1,468 yards with an average gain of 17.5 yards per reception and scoring 12 touchdowns. Chaz was ranked eighth in receiving yards for the state of California. On the defensive end, he claimed
3.5 Lakewood Youth Hall of Fame Program
February 13, 2024
42 unassisted tackles, and assisted on 15 more, for a total of 57 tackles on the season, His efforts helped fuel the Mayfair Monsoons’ successful run for the California Interscholastic Federation (CIF) Southern Section Division Seven Championship, and continue on to the CIF State Finals.
Chaz earned All CIF, 1
st Team Gateway League, and Team MVP all while continuing to succeed in the classroom with an unweighted grade point average of 3.33.
SUMMARY
On Monday, February 26, the 42nd Annual Lakewood Youth Hall of Fame Banquet will be held at The Centre honoring Lakewood’s young athletes for notable achievements in sports seasons concluding in the 2023 calendar year. In total, 21 Performers of the Year, 34 Distinguished Nominees, 14 Special Achievement Winners and 15 Championship Teams will be recognized. It is anticipated that this year’s banquet will draw more than 400 members of the community to recognize the inductees for 2023. Tickets for the Hall of Fame Banquet are on sale for $46 for adults and $36 forstudents through February 15.
RECOMMENDATION
Staff recommends the City Council receive and file this report. £*7
^1
Thaddeus McCormack
City Manager
Valarie Frost, Director
Recreation and Community Services