Revised 10/2021 1/25/2023 9:34 AM
For information regarding this Agenda please contact:
Olivia Nashed
City Clerk
Telephone: (209) 333-6702
A. Call to Order / Roll Call
B. Presentations
B-1 Family, Career and Community Leaders of America Proclamation (CLK)
C. Consent Calendar (Reading; Comments by the Public; Council Action) All matters listed on the consent calendar are considered to be routine and will be acted upon by one motion.
There will be no separate discussion of these items. If a member of the public would like a consent calendar item pulled and discussed separately, refer to the Notice at the beginning of this agenda.
C-1 Receive Register of Claims for December 30, 2022 through January 12, 2023 in the Total Amount of $3,179,084.31 (FIN)
C-2 Approve Minutes (CLK)
a) December 21, 2022 and January 4, 2023 (Regular Meetings)
Res. C-3 Adopt Resolution Awarding Contract for Hale Park Parking Lot Reconstruction to Tosted Asphalt, Inc., of Fresno ($81,520) and Authorizing City Manager to Execute Change Orders ($30,000) (PW)
Res. C-4 Adopt Resolution Awarding Contract for Blakely Park - Enze Pool Shallow End Adjustment to Western Water Features, Inc., of El Dorado Hills ($197,175), and Authorizing City Manager to Execute Change Orders ($20,000) (PW)
LODI CITY COUNCIL
Carnegie Forum
305 West Pine Street, Lodi
Notice Regarding Public Comments
Public Comment may be submitted in the following ways:
• In-person – The Carnegie Forum is open to the public in accordance with CDPH and CalOSHA guidelines.
• Zoom Webinar
Meeting ID: 820 6377 0661
Passcode: 356498
Phone number: 1 253 215 8782 or 1 346 248 7799
Link: https://us06web.zoom.us/j/82063770661?pwd=N2xpOXE2bmVJUjg5ODFzRkVHUlJ5Zz09 Public comment received via email, mail, or hand delivery will be provided to the City Council and included in the official minutes of the meeting, but will not be read aloud at the meeting. • Email – [email protected]
Received no later than two hours prior to the meeting • Mail – City Clerk’s Office, P.O. Box 3006, Lodi, CA 95241 • Hand delivered to: City Clerk’s Office, 221 W. Pine Street, Lodi, CA 95240 Received no later than two hours prior to the meeting 6:55 p.m. Invocation/Call to Civic Responsibility . Invocations/Calls may be offered by any of the various religious and non- religious organizations within and around the City of Lodi. These are voluntary offerings of private citizens, to and for the benefit of the Council. The views or beliefs expressed by the Speaker have not been previously reviewed or approved by the Council, and the Council does not endorse the beliefs or views of any speaker.
AGENDA – Regular Meeting
Date: February 1, 2023
Time: 7:00 p.m.
CITY COUNCIL AGENDA
FEBRUARY 1, 2023
PAGE TWO
Res. C-5 Adopt Resolution Authorizing City Manager to Execute Change Order No. 1 with Schweitzer Engineering Laboratories Engineering Services, Inc., for Substation Relay Modernization Capital Improvement Project ($421,578) and Appropriating Funds ($422,000) (EU)
Res. C-6 Adopt Resolution Authorizing City Manager to Execute Change Orders to Lodi Gun Range Ventilation Improvement Project and Appropriating Funds ($300,000) (PW)
Res. C-7 Adopt Resolution Authorizing City Manager to Execute Three-Year Professional Services Agreement for Recreational Vehicle Abatement Services with All Towing, of Lodi ($66,300) (PD)
Res. C-8 Adopt Resolution Authorizing City Manager to Execute Tow Service Contract for Police Rotational Towing Services with All Towing, of Lodi (PD)
Res. C-9 Adopt Resolution Amending Traffic Resolution No. 97-148 by Approving Speed Limit Modifications on Stockton Street from Rocky Lane to Lebaron Boulevard, 35 to 25 MPH; and Lebaron Boulevard from Reynolds Ranch Parkway to Stockton Street, 30 to 25 MPH (PW)
Res. C- 10 Adopt Resolution Granting Signature Authority to Certain City Staff for Investment of Monies in Local Agency Investment Fund (ISD)
Res. C- 11 Adopt Resolution Updating City Staff Signers on City of Lodi Farmers & Merchants Bank Accounts (ISD)
D. Comments by the Public on Non-Agenda Items
THE TIME ALLOWED PER NON -AGENDA ITEM FOR COMMENTS MADE BY THE PUBLIC IS LIMITED TO FIVE MINUTES.
Public comment may only be made on matters within the Lodi City Council's jurisdiction (Government Code Section 54954.3, Lodi City Council Protocol Manual Section 6.3l) . The Council cannot take action or deliberate on items that are not on this agenda unless there is an emergency and the need to take action on that emergency arose after this agenda was posted (Government Code Section 54954.2(b)(2)). All other items may only be referred for review to staff or placement on a future Council agenda.
If you wish to address the Council, please refer to the Notice at the beginning of this agenda. Individuals are limited to one appearance during this section of the Agenda.
E. Comments by the City Council Members on Non-Agenda Items
F. Comments by the City Manager on Non-Agenda Items
G. Public Hearings – None
H. Regular Calendar
H-1 Receive for File the Following Reports and Financial Statements Submitted by The Pun Group, L LP and Finance Department for Fiscal Year 2021-2022, Including the GANN Limit and Single Audit Report (ISD)
I. Ordinances – None
J. Adjournment
Pursuant to Section 54954.2(a) of the Government Code of the State of California, this agenda was posted at least 72 hours in advance of the scheduled meeting at a public place freely accessible to the public 24 hours a day.
______________________________
Olivia Nashed
City Clerk
CITY COUNCIL AGENDA
FEBRUARY 1, 2023
PAGE THREE
All staff reports or other written documentation relating to each item of business referred to on the agenda are on file in the Office of the City Clerk, located at 221 W. Pine Street, Lodi, and are available for public inspection. Agendas and staff reports are also posted on the City’s website at www.lodi.gov. If requested, the agenda shall be made available in appropriate alternative formats to persons with a disability, as required by Section 202 of the Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12132), and the federal rules and regulations adopted in implementation thereof. To make a request for disability-related modification or accommodation contact the City Clerk’s Office as soon as possible and at least 72 hours prior to the meeting date. Language interpreter requests must be received at least 72 hours in advance of the meeting to help ensure availability. Contact Olivia Nashed at (209) 333- 6702. Solicitudes de interpretación de idiomas deben ser recibidas por lo menos con 72 horas de anticipación a la reunión para ayudar a asegurar la disponibilidad. Llame a Olivia Nashed (209) 333-6702.
Meetings of the Lodi City Council are telecast on SJTV, Channel 26. The City of Lodi provides live and archived webcasts of regular City Council meetings. The webcasts can be found on the City's website at www.lodi.gov by clicking the meeting webcasts link.
Members of the public may view and listen to the open session of this teleconference meeting at www.facebook.com/CityofLodi/ or https://us06web.zoom.us/j/82522868353?pwd=cFh1S2VWUmZHR0pCbmZyTitHZ05kQT09.
AGENDA ITEM B-01
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Proclamation for Family, Career and Community Leaders of America Week M
EETING DATE: February 1, 2023
P
REPARED BY: City Clerk
RE
COMMENDED ACTION: Mayor Hothi will present a proclamation for Family, Career and Community Leaders of America Week.
BAC
KGROUND INFORMATION: Family, Career and Community Leaders of America (FCCLA), the national nonprofit, family-focused, intracurricular student organization for Family and Consumer Sciences students through grade 12, helps youth assume their roles in society through Family and Consumer Sciences education in the areas of personal growth, family life, college readiness, career exploration, leadership, and community involvement. FCCLA offers members an opportunity to work together for everyday purposes for the improvement of themselves, as well as their families, careers, and communities.
The Tok
ay High School chapter of the FCCLA has requested a proclamation in honor of FCCLA Week, February 13 through 17, 2023.
FISCAL IMPACT: Not applicable.
FUNDING AVAILABLE: Not applicable.
_______________________________
Olivia Nashed
City Clerk
AGENDA ITEM C-01
COUNCIL COMMUNICATION
APPROVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Receive Register of Claims for December 30, 2022 through January 12, 2023 in the Total Amount of $3,179,084.31
MEETING DATE: February 1, 2023
PREPARED BY: Internal Services Director
RECOMMENDED ACTION: Receive the attached Register of Claims for $3,179,084.31.
BACKGROUND INFORMATION: Attached is the Register of Claims in the amount of $3,179,084.31 for December 30, 2022 through January 12, 2023. Also attached is Payroll in the amount of $2,005,684.41 through January 8, 2023.
FISCAL IMPACT: Not applicable.
FUNDING AVAILABLE: As per attached report.
_______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
City of Lodi Live v2021.6 1/17/2023 3:25:46 PM
Fund Fund Title Amount
100 General Fund $1,452,186.09
103 Measure L $241.73
104 American Rescue Plan $50,000.00
140 Expendable Trust $169,583.77
200 Parks Rec & Cultural Services $12,803.19
270 Comm Dev Special Rev Fund $94.84
301 Gas Tax-2105 2106 2107 $49,789.25
431 Capital Outlay/General Fund $18,950.00
432 Parks & Rec Capital $22,678.00
500 Electric Utility Fund $382,916.66
501 Utility Outlay Reserve Fund $20,244.39
504 Public Benefits Fund $174.91
508 Environmental Compliance $1,074.99
530 Waste Water Utility Fund $11,952.84
531 Waste Wtr Util-Capital Outlay $4,750.80
560 Water Utility Fund $455,996.51
561 Water Utility-Capital Outlay $416.67
600 Dial-a-Ride/Transportation $202,390.86
642 IT replacement $129,175.20
650 Internal Service/Equip Maint $64,316.53
655 Employee Benefits $129,347.08
Total $3,179,084.31
AP Council Report Summary
12/30/2022-1/12/2023
City of Lodi Live v2021.6 1/17/2023 3:27:59 PM
Fund Description Amount
$938,410.11
$234,691.03
$21,735.88
$89,470.70
$7,767.40
$48,301.17
$45,862.58
$249,227.45
$110,304.86
$179,722.37
$44,204.40
$9,004.67
$19,555.24
$7,426.55
Report Total $2,005,684.41
Council Report: Payroll
Pay Period: 1/8/2023
100 General Fund
103 Measure L
120 Library Fund
200 Parks Rec & Cultural Services
214 LPD-OTS Grants
270 Comm Dev Special Rev Fund
301 Gas Tax-2105 2106 2107
500 Electric Utility Fund
501 Utility Outlay Reserve Fund
530 Waste Water Utility Fund
560 Water Utility Fund
600 Dial-a-Ride/Transportation
650 Internal Service/Equip Maint
655 Employee Benefits
AGENDA ITEM C-02
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Approve Minutes
a) December 21, 2022 (Regular Meeting)
b) January 4, 2023 (Regular Meeting)
M
EETING DATE: February 1, 2023
P
REPARED BY: City Clerk
RE
COMMENDED ACTION: Approve the following minutes as prepared:
a) December 21, 2022 (Regular Meeting)
b) January 4, 2023 (Regular Meeting)
B
ACKGROUND INFORMATION: Attached is a copy of the subject minutes marked Exhibit A and B, respectively.
FISCAL IMPACT: Not applicable.
FUNDING AVAILABLE: Not applicable.
_______________________________
Olivia Nashed
City Clerk
Attachments
LODI CITY COUNCIL
REGULAR CITY COUNCIL MEETING
CARNEGIE FORUM, 305 WEST PINE STREET
WEDNESDAY, DECEMBER 21, 2022
A. Call to Order / Roll Call
The Regular City Council meeting of December 21, 2022, was called to order by Mayor Pro Tempore Hothi at 7:00 p.m.
Present: Council Member Khan, Council Member Kuehne, Council Member Nakanishi, and Mayor Pro Tempore Hothi
Absent: Mayor Chandler
Also Present: City Manager Schwabauer, City Attorney Magdich, and City Clerk Nashed B. Presentations – None
C. Consent Calendar (Reading; Comments by the Public; Council Action) All matters listed on the consent calendar are considered to be routine and will be acted upon by one motion. There will be no separate discussion of these items. If a member of the public would like a consent calendar item pulled and discussed separately, refer to the Notice at the beginning of this agenda.
Council Member Kuehne made a motion, second by Council Member Khan, to approve the following items hereinafter set forth, except those otherwise noted, in accordance with the report and recommendation of the City Manager.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Khan, Council Member Kuehne, Council Member Nakanishi, and Mayor Pro Tempore Hothi
Noes: None
Absent: Mayor Chandler
C-1 Receive Register of Claims for November 18, 2022 through December 1, 2022 in the Total Amount of $2,917,489.42 (FIN)
Claims were approved in the amount of $2,917,489.42.
C-2 Approve Minutes (CLK)
The minutes of November 16, 2022 (Regular Meeting), December 6, 2022 (Shirtsleeve Session), and December 13, 2022 (Shirtsleeve Session) were approved as written.
C-3 Adopt Resolution Authorizing City Manager to Waive Bid Process and Approve Purchase of 120 Microfiltration Modules from Pall Corporation, of Cortland, New York ($401,085.67) (PW) Adopted Resolution No. 2022-311 authorizing the City Manager to waive the bid process and approve the purchase of 120 microfiltration modules from Pall Corporation, of Cortland, New York, in the amount of $401,085.67.
C-4
Approve Plans and Specifications and Authorize Advertisement for Bids for Lodi Station Parking Garage Repair Project (PW)
Approved the plans and specifications and authorized advertisement for bids for the Lodi Station Parking Garage Repair Project.
C-5 Adopt Resolution Authorizing City Manager to Execute Change Orders for an Additional $35,000 for Stormwater Trash Collection Project – Phase 2 (PW)
This item was pulled by Council Member Nakanishi.
Exhibit A
Council Member Nakanishi requested a brief report regarding flooding in Lodi due to recent storms. Public Works Director Charlie Swimley provided a report.
Council Member Nakanishi made a motion, second by Council Member Kuehne, to adopt Resolution No. 2022-312 authorizing the City Manager to execute change orders for an additional $35,000 for Stormwater Trash Collection Project - Phase 2.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Khan, Council Member Kuehne, Council Member Nakanishi, and Mayor Pro Tempore Hothi
Noes: None
Absent: Mayor Chandler
C-6 Adopt Resolution Rejecting Lowest Non-Responsive Proposal, Authorizing City Manager to Execute Professional Services Agreement with B&M Builders, Inc., of Rancho Cordova, for Lodi Police Station HVAC Replacement Project Phase I ($248,375) and Authorizing City Manager to Execute Amendments to Agreement (Not to Exceed $50,000) (PW)
Adopted Resolution No. 2022-313 rejecting the lowest non-responsive proposal, authorizing the City Manager to execute a Professional Services Agreement with B&M Builders, Inc., of Rancho Cordova, for Lodi Police Station HVAC Replacement Project Phase I, in the amount of $248,375, and authorizing the City Manager to execute amendments to the agreement, in an amount not to exceed $50,000.
C-7
Adopt Resolution Authorizing City Manager to Execute Amendment No. 3 to Professional Services Agreement with KONE, Inc., of Sacramento, for Monthly Inspection and Maintenance Services of Elevators in City Facilities ($60,000) (PW)
Adopted Resolution No. 2022-314 authorizing the City Manager to execute Amendment No. 3 to the Professional Services Agreement with KONE, Inc., of Sacramento, for monthly inspection and maintenance services of elevators in City facilities, in the amount of $60,000.
C-8
Monthly Protocol Account Report (CLK)
Accepted the monthly Protocol Account Report.
C-9 Set Public Hearing for January 4, 2023 to Consider an Odinance Repealing and Reenacting Lodi Municipal Code Chapter 15.66, “County Facilities Fees,” to Replace the Previous Chapter that Expired as of June 14, 2012, CEQA Determination: Exempt per Section 15061(b)(3) of CEQA Guidelines, 2022 (CD)
Set a public hearing for January 4, 2023 to consider an ordinance repealing and reenacting Lodi Municipal Code Chapter 15.66, "County Facilities Fees," to replace the previous chapter that expired as of June 14, 2012, CEQA determination: exempt per Section 15061(b)(3) of CEQA Guidelines, 2022.
C-10
Set Public Hearing for January 4, 2023, to Consider Resolution Adopting and Implementing Collection of San Joaquin County Facilities Fees, CEQA Determination: Exempt per Section 15061(b)(3) of the CEQA Guidelines, 2022 (CD)
This item was pulled by City of Lodi staff, to be heard at the January 4, 2023 City Council meeting.
D. Comments by the Public on Non-Agenda Items THE TIME ALLOWED PER NON-AGENDA ITEM FOR COMMENTS MADE BY THE PUBLIC IS LIMITED TO FIVE MINUTES.
Chris Rieck provided public comment regarding the Kofu Skate Park.
Elijah Rieck provided public comment regarding the Kofu Skate Park.
Mushtaq Tahirkheli provided public comment regarding his campaign for California State Assembly in 2022, the districting of the City of Lodi in 2018 due to the Voting Rights Act, and the City of Lodi candidates of the November 8, 2022 General Municipal Election.
E.
Comments by the City Council Members on Non-Agenda Items Council Member Nakanishi bid farewell to Mayor Chandler and Council Member Kuehne and congratulated and welcomed Council Members-Elect Lisa Craig and Cameron Bregman.
Council Member Khan addressed the public comments regarding the Kofu Skate Park, thanked Mayor Chandler and Council Member Kuehne for their service on the City Council, and congratulated Council Member Nakanishi and Council Members-Elect Craig and Bregman.
Mayor Pro Tempore Hothi thanked Council Member Kuehne for his service on the City Council, congratulated Council Members-Elect Bregman and Craig, and addressed the public comments regarding the Kofu Skate Park.
F.
Comments by the City Manager on Non-Agenda Items
City Manager Schwabauer addressed the public comments regarding the Kofu Skate Park and Voting Rights Act.
G. Public Hearings – None
H. Regular Calendar – None
I. Ordinances – None
J. Reorganization of the City Council
J-1 Adopt Resolution Certifying the Election Results of the November 8, 2022, General Municipal Election City Clerk Nashed presented the results of the November 8, 2022, General Municipal Election, stating that the San Joaquin Registrar of Voters completed its canvass of the election on December 2, 2022, with District 1 electing Alan Nakanishi, District 2 electing Lisa Craig, and District 3 electing Cameron Bregman, which was further detailed in the Certificate of Election.
Council Member Khan made a motion, second by Council Member Nakanishi, to adopt Resolution No. 2022- 315 certifying the election results of the November 8, 2022, General Municipal Election.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Khan, Council Member Kuehne, Council Member Nakanishi, and Mayor Pro Tempore Hothi
Noes: None
Absent: Mayor Chandler
J-2 Presentation to Outgoing Council Member
City Manager Schwabauer presented outgoing Council Member Doug Kuehne with a gift in appreciation of his dedicated service to the Lodi community.
J-3 City Clerk to Administer Oath of Office to Lodi City Council Members Elect and Present Certificates of Election
City Clerk Nashed administered the Oath of Office to Lodi City Council Members Alan Nakanishi, Lisa Craig, and Cameron Bregman.
J-4 Reorganization of the Lodi City Council
City Clerk Nashed, serving as Chair, conducted the election for the office of Mayor as follows.
NOMINATION(S) FOR MAYOR:
Council Member Craig made a motion, seconded by Council Member Khan to nominate Council Member Hothi to the office of Mayor.
There being no further nominations for the office of Mayor, the nominations were closed.
Resolution No. 2022-316 nominating Council Member Hothi for the position of Mayor carried by the following vote:
Ayes: Council Member Bregman, Council Member Craig, Council Member Hothi, Council Member Khan, and Council Member Nakanishi
Noes: None
Absent: None
District Attorney-Elect Ron Freitas administered an oath of office to Mayor Hothi.
City Clerk Nashed turned over the gavel to newly-elected Mayor Hothi who then conducted the election for the office of Mayor Pro Tempore.
NOMINATION(S) FOR MAYOR PRO TEMPORE:
Mayor Hothi made a motion to nominate Council Member Khan for the office of Mayor Pro Tempore.
Council Member Nakanishi made a motion, seconded by Council Member Craig, to nominate Council Member Nakanishi for the office of Mayor Pro Tempore.
Council Member Bregman made a motion, seconded by Mayor Hothi, to nominate Council Member Craig for the office of Mayor Pro Tempore.
Council Member Khan seconded Mayor Hothi's motion, to nominate Council Member Khan for the office of Mayor Pro Tempore.
Council Member Nakanishi withdrew his nomination.
There being no further nominations for the office of Mayor Pro Tempore, the nominations were closed.
Resolution No. 2022-317 nominating Council Member Craig for the position of Mayor Pro Tempore carried by the following vote:
Ayes: Council Member Bregman, Council Member Craig, Council Member Khan, Council Member Nakanishi, and Mayor Hothi
Noes: None
Absent: None
K. Adjournment
There being no further business to come before the City Council, the meeting was adjourned at 8:05 p.m.
ATTEST:
Olivia Nashed
City Clerk
LODI CITY COUNCIL
REGULAR CITY COUNCIL MEETING
CARNEGIE FORUM, 305 WEST PINE STREET
WEDNESDAY, JANUARY 4, 2023
C-1 Call to Order / Roll Call
The City Council Closed Session meeting of January 4, 2023, was called to order by Mayor Hothi at 6:33 p.m.
Present: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Absent: None
Also Present: Deputy City Manager Keys, City Attorney Magdich, and City Clerk Nashed C-2 Announcement of Closed Session
a) Conference with Adele Post, Human Resources Manager, and Andrew Keys, Deputy City Manager (Labor Negotiators), Regarding Lodi Fire Mid-Management Pursuant to Government Code §54957.6 (CM) C-3 Adjourn to Closed Session
At 6;34 p.m., Mayor Hothi adjourned the meeting to a Closed Session to discuss the above matters. The Closed Session adjourned at 6:57 p.m.
C-4 Return to Open Session / Disclosure of Action
At 7:00 p.m., Mayor Hothi reconvened the City Council meeting, and City Attorney Magdich disclosed the following actions.
Item C-2a) was discussion and direction given, with no further reportable action.
Mayor Hothi adjourned to the Special City Council Meeting at 7:02 p.m.
Mayor Hothi adjourned from the Special City Council Meeting at 7:24 p.m.
A.
Call to Order / Roll Call
The Regular City Council meeting of January 4, 2023, was called to order by Mayor Hothi at 7:24 p.m.
Present: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Absent: None
Also Present: Deputy City Manager Keys, City Attorney Magdich, and City Clerk Nashed B. Presentations – None
C. Consent Calendar (Reading; Comments by the Public; Council Action) All matters listed on the consent calendar are considered to be routine and will be acted upon by one motion. There will be no separate discussion of these items. If a member of the public would like a consent calendar item pulled and discussed separately, refer to the Notice at the beginning of this agenda.
Council Member Nakanishi made a motion, second by Council Member Khan, to approve the following items hereinafter set forth, except those otherwise noted, in accordance with the report and recommendation of the City Manager.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Noes: None
Absent: None
C-1 Receive Register of Claims for December 2, 2022 through December 15, 2022 in the Total Amount of $4,306,392.06 (FIN)
Exhibit B
Claims were approved in the amount of $4,306,392.06.
C-2 Approve Minutes (CLK)
The minutes of December 20, 2023 (Shirtsleeve Session) and December 27, 2023 (Shirtsleeve Session) were approved as written.
C-3 Adopt Resolution Authorizing City Manager to Award Purchase Order to California State University, Sacramento for Nine Fire Personnel to Attend Paramedic School ($135,000) and Request Unused Funds Roll to Future Budget Years (FD)
Adopted Resolution No. 2023-02 authorizing the City Manager to award a purchase order to California State University, Sacramento for nine Fire personnel to attend paramedic school, in the amount of $135,000, and request unused funds roll to future budget years.
C-4 Adopt Resolution Authorizing City Manager to Waive Bid Process and Approve Purchase of 2023 Ford F350 4x2 Utility Service Truck from Downtown Ford, of Sacramento ($79,987) (PW) Adopted Resolution No. 2023-03 authorizing the City Manager to waive the bid process and approve the purchase of a 2023 Ford F350 4x2 utility service truck from Downtown Ford, of Sacramento, in the amount of $79,987.
C-5 Approve Specifications and Authorize Advertisement for Bids for On-Call Well and Pump Repair Project (PW)
Approved the specifications and authorized advertisement for bids for the On-Call Well and Pump Repair Project.
C-6 Accept Improvements Under Contract for 2020 Well Rehabilitation Project (PW) Accepted the improvements under the contract for 2020 Well Rehabilitation Project.
C-7 Accept Improvements Under Contract for 2022 Downtown Concrete Cleaning (PW) Accepted the improvements under the contract for 2022 Downtown Concrete Cleaning.
C-8 Adopt Resolution Authorizing City Manager to Execute Professional Services Agreement with Houston Fire Systems, of Lodi, for Hutchins Street Square Fire Panel System Upgrade ($241,320), Authorizing City Manager to Execute Amendments to Agreement, and Appropriate Funds ($300,000) (PW) Adopted Resolution No. 2023-04 authorizing the City Manager to execute a Professional Services Agreement with Houston Fire Systems, of Lodi, for Hutchins Street Square Fire Panel System Upgrade, in the amount of $241,320, authorizing the City Manager to execute amendments to the agreement, and appropriating funds in the amount of $300,000.
C-9 Adopt Resolution Authorizing City Manager to Execute Amendment No. 2 to Professional Services Agreement with Global Labs, Inc., of El Dorado Hills, for Laboratory Services ($225,000) (PW) Adopted Resolution No. 2023-05 authorizing the City Manager to execute Amendment No. 2 to the Professional Services Agreement with Global Labs, Inc., of El Dorado Hills, for laboratory services, in the amount of $225,000.
C-10 Adopt Resolution Authorizing City Manager to Execute Memorandum of Understanding for Fire Training Facility Use between City of Lodi and City of Stockton for Period of January 1, 2023 through December 31, 2025 (Not To Exceed $300,000) and Enter Into 23-1 Fire Academy (FD) Adopted Resolution No. 2023-06 authorizing the City Manager to execute a Memorandum of Understanding for fire training facility use between the City of Lodi and the City of Stockton for the period of January 1, 2023 through December 31, 2025, in an amount not to exceed $300,000, and enter into the 23-1 Fire Academy.
C-11 Adopt Resolution Approving Impact Mitigation Fee Program Annual Report for Fiscal Year 2021/22 (FIN) This item was pulled by Mayor Pro Tempore Craig.
Mayor Pro Tempore Craig stated that she will be reaching out to the Lodi Arts Commission to gain a detailed understanding of the Art in Public Places fee and its impact.
Mayor Pro Tempore Craig made a motion, second by Council Member Khan, to adopt Resolution No. 2023-07 approving the Impact Mitigation Fee Program Annual Report for Fiscal Year 2021/22.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Noes: None
Absent: None
C-12 Notice Regarding Unmet Conditions to Apply for Mobile Library Grant for Fiscal Year 2023-2024 Approved by Library Board of Trustees (Information Only) (LIB)
Received the notice regarding unmet conditions to apply for the mobile library grant for Fiscal Year 2023-2024 approved by the Library Board of Trustees (information only).
C-13 Post for Expiring Term on Lodi Improvement Committee and Vacancy on Site Plan and Architectural Review Committee and Re-Post for Vacancy on San Joaquin Council of Governments Citizens’ Advisory Committee (CLK)
This item was pulled by Mayor Pro Tempore Craig.
Mayor Pro Tempore thanked Community Development Director John Della Monica and staff for their contributions while she served on the Site Plan and Architectural Review Committee.
Mayor Pro Tempore Craig made a motion, second by Council Member Khan, to direct the City Clerk to post for the following vacancies:
Lodi Improvement Committee
Lynsay Nuss - Term to expire March 1, 2023
Site Plan & Architectural Review Committee
Lisa Craig - Term to expire January 1, 2026
San Joaquin Council of Governments Citizens’ Advisory Committee Richard Blackston - Term to expire January 1, 2023
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Noes: None
Absent: None
C-14 Set Public Hearing for January 18, 2023, to Consider Resolution Adopting and Implementing Collection of San Joaquin County Facilities Fees, CEQA Determination: Exempt per Section 15061(b)(3) of CEQA Guidelines, 2022 (CD)
Set a public hearing for January 18, 2023, to consider a resolution adopting and implementing the collection of San Joaquin County Facilities Fees.
C-15 Set Public Hearing for January 18, 2023, to Receive Annual Report of Available Growth Allocations and Consider Adopting Resolution Revising Growth Management Program Procedures to Allow Issuing Growth Allocations for Projects on Land Not Yet Annexed (CD) Set a public hearing for January 18, 2023, to receive the Annual Report of Available Growth Allocations and consider adopting a resolution revising Growth Management Program procedures to allow issuing Growth Allocations for projects on land not yet annexed.
D. Comments by the Public on Non-Agenda Items THE TIME ALLOWED PER NON-AGENDA ITEM FOR COMMENTS MADE BY THE PUBLIC IS LIMITED TO FIVE MINUTES.
None.
E. Comments by the City Council Members on Non-Agenda Items Council Member Nakanishi thanked the street sweepers for their hard work.
Public Works Director Swimley thanked Public Works staff for their tireless work during the storms.
Mayor Pro Tempore Craig announced the passing of Bill Meehleis.
F. Comments by the City Manager on Non-Agenda Items
Deputy City Manager Keys thanked all the City of Lodi staff and crews working non-stop to keep residents safe during the storms.
G. Public Hearings
G-1 Public Hearing to Consider and Waive First Reading of an Ordinance Amending Lodi Municipal Code Title 15 – Buildings and Construction, to Reenact Chapter 15.66 – County Facilities Fees, to Replace the Previously Repealed Chapter that Expired June 14, 2012, CEQA Determination: Exempt per Section 15061(b)(3) of the CEQA Guidelines, 2022 (CD)
Notice thereof having been published according to law, an affidavit of which publication is on file in the office of the City Clerk, Mayor Hothi called for the public hearing to consider and waive the first reading of an ordinance amending Lodi Municipal Code Title 15 – Buildings and Construction - to reenact Chapter 15.66, "County Facilities Fees," to replace the previously repealed chapter that expired June 14, 2012, CEQA Determination:
Exempt per Section 15061(b)(3) of the CEQA Guidelines, 2022.
Community Development Director John Della Monica introduced City Planner Cynthia Marsh and provided a PowerPoint presentation regarding the proposed ordinance. Specific topics of discussion included existing regulations and the proposed amendment.
Mayor Hothi opened the public hearing for public comment.
There being no public comments, Mayor Hothi closed the public hearing.
Council Member Khan made a motion, second by Mayor Pro Tempore Craig, to introduce Ordinance No. 2014 amending Lodi Municipal Code Title 15 – Buildings and Construction - to reenact Chapter 15.66, "County Facilities Fees," to replace the previously repealed chapter that expired June 14, 2012.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Noes: None
Absent: None
H. Regular Calendar
H-1 Assign and Confirm Annual Appointment of City Council Members on Various Boards, Committees, and Commissions (CLK)
City Clerk Nashed provided a brief report regarding annual appointments for City Council members service on various boards, committees, and commissions.
Council discussion ensued regarding Council Member interests on serving on various City and County boards, commissions, and committees.
Mayor Pro Tempore Craig made a motion, second by Council Member Bregman, to make the following appointments:
Appoint Mayor Hothi as delegate and Council Member Bregman as alternate on Northern California Power Agency (NCPA), and subsequent appointments to the City of Lodi Risk Oversight Committee.
Appoint Council Member Khan as delegate and Mayor Pro Tempore Craig as alternate on San Joaquin Council of Governments (SJCOG).
Appoint Council Member Khan as representative on San Joaquin County Abandoned Vehicle Abatement Service Authority.
Appoint Mayor Pro Tempore Craig as delegate and Mayor Hothi as alternate on San Joaquin Partnership.
Appoint Mayor Hothi and Council Member Bregman as representatives on the Lodi 2x2 Committee.
Appoint Mayor Pro Tempore Craig as representative on the San Joaquin Regional Rail Commission.
Appoint Council Member Bregman as alternate on the San Joaquin County Solid Waste Management Task Force.
Reappoint Public Works Director Swimley as delegate and Water Plant Superintendent Khars as alternate on San Joaquin County Flood Control and Water Conservation District - Water Advisory Commission.
Appoint Mayor Hothi as voting delegate and Mayor Pro Tempore Craig as alternate on the San Joaquin Valley Special City Selection Committee.
Appoint Mayor Hothi as voting delegate and Mayor Pro Tempore Craig as alternate on the League of California Cities Central Valley Division Executive Committee.
Confirm Council Member Nakanishi as delegate and Public Works Director Swimley as alternate on Eastern San Joaquin Groundwater Joint Powers Authority.
Confirm Council Member Nakanishi as delegate on Northeastern San Joaquin County Groundwater Banking Authority.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Noes: None
Absent: None
H-2 Adopt Resolution Authorizing City Manager to Execute Agreement for Property Tax Allocation Upon Annexation with County of San Joaquin (ISD)
Deputy City Manager Keys provided a report regarding an agreement for property tax allocation with San Joaquin County. Specific topics of discussion included the previous agreement with San Joaquin County, which expired in 2011, the update of the Municipal Services Review and Sphere of Influence documents, interest by landowners to annex into the City of Lodi, the split of tax allocations between the City of Lodi and County of San Joaquin, and annexation impacts on City resources.
Council discussion ensued with Deputy City Manager Keys and Community Development Director Della Monica regarding impacts of annexation on City resources versus County resources, tax sharing agreements between San Joaquin County and other cities within the same jurisdiction, opposition to annexation, and types of land use to be annexed.
Council Member Khan made a motion, second by Council Member Nakanishi, to adopt Resolution No. 2023-08 authorizing the City Manager to execute an agreement for property tax allocation upon annexation with the County of San Joaquin.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Noes: None
Absent: None
I. Ordinances – None
J. Reorganization of the Following Agency Meetings:
Deputy City Manager Keys and City Clerk Nashed introduced the item regarding the reorganization of the following agencies: Lodi Public Improvement Corporation, Industrial Development Authority, Lodi Financing Corporation, and Lodi Public Financing Authority.
Council Member Nakanishi made a motion, second by Mayor Pro Tempore Craig, to adopt Resolution No.
LPIC2023-01 reorganizing the officers of the Lodi Public Improvement Corporation, Resolution No. IDA-47 reorganizing the officers of the Industrial Development Authority, Resolution No. LFC-34 reorganizing the officers of the Lodi Financing Corporation, and Resolution No. LPFA2023-01 reorganizing the officers of the Lodi Public Financing Authority.
VOTE:
The above motion carried by the following vote:
Ayes: Council Member Bregman, Council Member Khan, Council Member Nakanishi, Mayor Pro Tempore Craig, and Mayor Hothi
Noes: None
Absent: None
K. Adjournment
There being no further business to come before the City Council, the meeting was adjourned at 8:04 p.m.
ATTEST:
Olivia Nashed
City Clerk
AGENDA ITEM C-03
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
\\cvcfilv02\pubwks$\WP\PROJECTS\PARKS\Hale Park\2022 Parking Lot Reconstruction\CAward.docx 1/18/2023 AGENDA TITLE: Adopt Resolution Awarding Contract for Hale Park Parking Lot Reconstruction to Tosted Asphalt, Inc., of Fresno ($81,520) and Authorizing City Manager to Execute Change Orders ($30,000)
M
EETING DATE: February 1, 2023
P
REPARED BY: Public Works Director
RE
COMMENDED ACTION: Adopt resolution awarding contract for Hale Park Parking Lot Reconstruction to Tosted Asphalt, Inc., in the amount of $81,520 and authorizing City Manager to execute change orders in an amount not-to-exceed $30,000.
B
ACKGROUND INFORMATION: This project consists of reconstructing the parking lot at Hale Park. The work includes replacing approximately 8,000 square feet of parking lot pavement, reconstructing a driveway approach, installing two handicap-accessible parking stalls, replacing miscellaneous concrete, and other incidental and related work.
T
he existing parking lot pavement is severely cracked, settled and potholed due to the age of the pavement.
The cracks have allowed water to seep into the pavement subgrade, causing the pavement to fail.
T
he specifications for this project were approved on July 20, 2022. The City received the following bids for this project on December 28, 2022:
Above/(Below)
Bidder Location Bid Engineer’s Estimate
Engineer’s Estimate $230,762.00
Tosted Asphalt, Inc. Fresno $81,519.60 ($ 48,155.40)
A.M. Stephens Construction Lodi $110,747.80 ($ 18,927.20) Hensley’s Paving & General Waterford $113,314.00 ($ 16,361.00) Sierra Asphalt, Inc. Rancho Cordova $ 116,121.00 ($ 13,554.00) Consolidated Engineering Valley Spring $ 116,950.00 ($ 12,725.00) Garcia Paving Inc. Fresno $124,785.69 ($ 4,889.31)
Robert Burns Construction Stockton $131,183.01 $ 1,508.01 Arrow Construction Sacramento $136,326.00 $ 6,651.00
United Pavement Maintenance Hughson $149,878.00 $ 20,203.00 E.E. Gilbert Construction Martinez $158,858.90 $ 29,183.90 FBD Vanguard Construction Li
vermore $161,558.00 $ 31,883.00
B & M Builders, Inc. Rancho Cordova $ 172,230.00 $ 42,555.00 T
he lowest bid came in much lower than the engineer’s estimate and what was budgeted. With the available funding, Staff proposes to expand the scope of work to make the curb ramp at the corner ADA compliant, Adopt Resolution Awarding Contract for Hale Park Parking Lot Reconstruction to Tosted Asphalt, Inc. , of Fresno ($81,520), Authorizing City Manager to Execute Change Orders ($30,000)
January 18, 2022
\\cvcfilv02\pubwks$\WP\PROJECTS\PARKS\Hale Park\2022 Parking Lot Reconstruction\CAward.docx 1/18/2023
installing thermoplastic parking striping instead of paint, and fixing the drainage issues in the gutter.
Consistent with all projects, contingency is required to address any unforeseen issues.
Staff received a bid advisory against the contractor from the Foundation of Fair Contracting. They claim that the contractor has failed to comply with the bid specifications and have an unfair competitive advantage, they have ongoing violations of prevailing wage laws resulting in wage theft, and have failed to comply with workforce development and formal apprenticeship programs. Staff has reviewed their complaints and have found that none of them have any basis.
Staff recommends adopting resolution awarding Contract for Hale Park Parking Lot Reconstruction to Tosted Asphalt, Inc., of Fresno, in the amount of $81,520 and authorizing City Manager to execute change orders in an amount not-to-exceed $30,000.
FISCAL IMPACT: This project does not impact the General Fund.
FUNDING AVAILABLE: This project is funded by 2022/23 CDBG funds:
CDBG-23001.Contracts: $170,000
CDBG-23001.IntLabor: $ 36,000
TOTAL: $206,000
______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
_______________________________
Charles E. Swimley, Jr.
Public Works Director
Prepared by Alice Bernardino, Associate Civil Engineer
CES/AB/cd
Attachments
cc: Parks Project Coordinator
PRCS Director, Jaromay
RESOLUTION NO. 2023-____
A RESOLUTION OF THE LODI CITY COUNCIL AWARDING THE CONTRACT
FOR HALE PARK PARKING LOT RECONSTRUCTION TO
TOSTED ASPHALT, INC., OF FRESNO; AND FURTHER AUTHORIZING
THE CITY MANAGER TO EXECUTE CHANGE ORDERS
========================================================================
WHEREAS, this project consists of reconstructing the parking lot at Hale Park which includes replacing approximately 8,000 square feet of parking lot pavement, reconstructing a driveway approach, installing two handicap- accessible parking stalls, replacing miscellaneous concrete, and other incidental and related work; and
WHEREAS, specifications for this project were approved on July 20, 2022. The City received the following bids for this project on December 28, 2022:
Above/(Below)
Bidder Location Bid Estimate
Tosted Asphalt, Inc. Fresno $81,519.60 ($ 48,155.40) A.M. Stephens Construction Lodi $110,747.80 ($ 18,927.20) Hensley’s Paving & General Waterford $113,314.00 ($ 16,361.00) Sierra Asphalt, Inc. Rancho Cordova $116,121.00 ($ 13,554.00) Consolidated Engineering Valley Spring $116,950.00 ($ 12,725.00) Garcia Paving, Inc. Fresno $124,785.69 ($ 4,889.31)
Robert Burns Construction Stockton $131,183.01 $ 1,508.01 Arrow Construction Sacramento $136,326.00 $ 6,651.00 United Pavement Maintenance Hughson $149,878.00 $ 20,203.00 E.E. Gilbert Construction Martinez $158,858.90 $ 29,183.90 FBD Vanguard Construction Livermore $161,558.00 $ 31,883.00 B & M Builders, Inc. Rancho Cordova $172,230.00 $ 42,555.00
WHEREAS, staff recommends awarding the contract for Hale Park Parking Lot Reconstruction to Tosted Asphalt, Inc., of Fresno, in the amount of $81,520 and authorizing the City Manager to execute change orders in an amount not to exceed $30,000.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby award the contract for Hale Park Parking Lot Reconstruction to Tosted Asphalt, Inc., of Fresno, California, in the amount of $81,520; and
BE IT FURTHER RESOLVED that the Lodi City Council does hereby authorize the City Manager to execute the contract and change orders in an amount not to exceed $30,000; and
BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (adopted 11/6/19, Resolution No. 2019- 223), the City Attorney is hereby authorized to make minor revisions to the above- referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary.
Dated: February 1, 2023
=======================================================================
I hereby certi fy that Resolution No. 2023-__ was passed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023 by the following votes:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-_____
AGENDA ITEM C-04
COUNCIL COMMUNICATION
APPROVED: _________________________________
Stephen Schwabauer, City Manager
\\cvcfilv02\pubwks$\WP\PROJECTS\PARKS\Blakely Park\Enze Pool\CAward.doc 1/18/2023 AGENDA TITLE: Adopt Resolution Awarding Contract for Blakely Park - Enze Pool Shallow End Adjustment to Western Water Features, Inc. of El Dorado Hills, for $197,175 and Authorizing City Manager to Execute Change Orders ($20,000) M
EETING DATE: February 1, 2023
P
REPARED BY: Public Works Director
RE
COMMENDED ACTION: Adopt resolution awarding contract for Blakely Park - Enze Pool Shallow End Adjustment to Western Water Features, Inc. of El Dorado Hills, for $197,175.00 and authorizing City Manager to execute change orders in an amount not-to-exceed $20,000.
B
ACKGROUND INFORMATION: After Council discussion and direction on September 17, 1989, the northern pool at Blakely Park (the Enze Pool) was originally constructed with a shallow end depth of four (4) feet, consistent for use as a Special Use Pool which permits instruction, diving, competition or medical treatment. Recreational use is not currently allowed at Enze Pool as the shallow end depth exceeds the three foot-six inch (3’6”) maximum depth as stipulated by the California Building Code.
T
his project will raise one-third of the existing 75-foot long swimming pool floor by six (6) inches to facilitate public recreational swim activities at Enze Pool per public swimming pool code requirements; raises two (2) main drain covers, replaces the pool plaster finish, replaces the pool depth markers, and replaces the lane line tiles.
Pl
ans and specifications for this project were approved on October 19, 2022. The City received the following bid for this project on January 4, 2023:
A
bove/(Below)
Bidder Location Bid Engineer’s Estimate
Engineers Estimate $219,000.00
Western Water Features, Inc. El Dorado Hills $197,175.00 ($21,825.00) S
taff received one bid from Western Water Features, Inc., in the amount of $197,175. Staff recommends Council adopt a resolution awarding contract for Blakely Park - Enze Pool Shallow End Adjustment to Western Water Features, Inc. of El Dorado Hills, in the amount of $197,175.00 and authorize City Manager to execute change orders in an amount not-to-exceed $20,000.
F
ISCAL IMPACT: This project will improve the facility programming for public use with minimal long-term fiscal impact. This project will not impact the General Fund.
Adopt Resolution Awarding Contract for Blakely Park - Enze Pool Shallow End Adjustment to Western Water Features, Inc. of El Dorado Hills, for $197,175 and Authorizing City Manager to Execute Change Orders ($20,000)
February 1, 2023
\\cvcfilv02\pubwks$\WP\PROJECTS\PARKS\Blakely Park\Enze Pool\CAward.doc 1/18/2023
FUNDING AVAILABLE: Per Capita Grant Funds - $219,679
______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
_______________________________
Charles E. Swimley, Jr.
Public Works Director
Prepared by Jimi Billigmeier, Associate Civil Engineer
CES/JB/cd
cc: PRCS Director
RESOLUTION NO. 2023-____
A RESOLUTION OF THE LODI CITY COUNCIL AWARDING THE CONTRACT
FOR BLAKELY PARK - ENZE POOL SHALLOW END ADJUSTMENT TO
WESTERN WATER FEATURES, INC., OF EL DORADO HILLS; AND
AUTHORIZING THE CITY MANAGER TO EXECUTE CHANGE ORDERS
========================================================================
WHEREAS, after Council discussion and direction on September 17, 1989, the northern pool at Blakely Park (Enze Pool) was originally constructed with a shallow end depth of four feet, consistent for use as a Special Use Pool which permits instruction, diving, competition, or medical treatment; and
WHEREAS, recreational use is not currently allowed at Enze Pool as the shal low end depth exceeds the 3- foot 6-inch maximum depth as stipulated by the California Building Code; and
WHEREAS, this project will raise one- third of the existing 75- foot long swimming pool floor by six inches to facilitate public recreational swim activities at Enze Pool per public swimming pool code requirements; raise two (2) main drain covers ; replace the pool plaster finish; replace the pool depth markers; and replace the lane line tiles; and
WHEREAS, plans and specifications for this project were approved on October 19, 2022, and the City received the following bid for this project on January 4, 2023:
Above/(Below)
Bidder Location Bid Estimate
Western Water Features, Inc. El Dorado Hills $197,175 ($21,825)
WHEREAS, staff recommends awarding the contract for Blakely Park - Enze Pool Shallow End Adjustment to Western Water Features, Inc. , of El Dorado Hills, in the amount of $197,175 and authorizing the City Manager to execute change orders in an amount not to exceed $20,000.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby award the contract for Blakely Park - Enze Pool Shallow End Adjustment to the sole bidder, Western Water Features, Inc., of El Dorado Hills, California, in the amount of $197,175; and
BE IT FURTHER RESOLVED that the Lodi City Council does hereby authorize the City Manager to execute the contract and change orders in an amount not to exceed $20,000; and
BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (adopted 11/6/19, Resolution No. 2019- 223), the City Attorney is hereby author ized to make minor revisions to the above- referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary.
Dated: February 1, 2023
=======================================================================
I hereby certi fy that Resolution No. 2023-____ was passed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023 by the following votes:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-_____
AGENDA ITEM C-05
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute Change Order No. 1 with Schweitzer Engineering Laboratories Engineering Services, Inc. ($421,578) for Substation Relay Modernization Capital Improvement Project and Appropriating Funds ($422,000) M
EETING DATE: February 1, 2023
P
REPARED BY: Electric Utility Director
RE
COMMENDED ACTION: Adopt a resolution authorizing the City Manager to Execute Change Order No. 1 with Schweitzer Engineering Laboratories Engineering Services, Inc. (SEL) in the amount of $421,578 for the Substation Relay Modernization Capital Improvement Project and appropriating funds in the amount of $422,000.
B
ACKGROUND INFORMATION: Lodi Electric Utility (LEU) is requesting an additional $422,000 for the Substation Relay Modernization Project due to increased contractor installation and commissioning support as well as the addition of one new relay protection panel.
L
EU’s requirement for Industrial Substation as part of this project is to ensure all equipment pertaining to a specific relay protection panel is de-energized for contractor and equipment safety. Due to this requirement, the ti me-per-panel increases from four to twelve weeks for installation and commissioning support.
I
n addition, the purchase of a new spare substation power transformer, approved by City Council on January 18, 2023 , will require a new relay protection panel to be constructed where a blank panel currently resides within Industrial Substation. SEL, LEU’s substation relay contractor, will provide and install all components of the specific substation power transformer as well as the related drawings and diagrams.
F
ISCAL IMPACT: The proposed Change Order No. 1 totals $421,578.
F
UNDING AVAILABLE: Staff are requesting an appropriation of funds in the amount of $422,000 to 50199000.77020 (EUCP-22005.Contracts) for a total approved Fiscal Year 2023 project budget of $1,766,073.
____
___________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
____
____________________________________
J eff Berkheimer
Electric Utility Director
CITY OF LODI
PROPOSED CHANGE ORDER
PROJECT :
CONTRACTOR: PCO No.:
RFI No.:
ARCHITECT/ENGINEER: FI No.:
Request, Proposal, Recommendation And Approval
Requesting Official: Jasminder Singh Request Date: 2/1/2023 Schedule Impact: See Below Days Contractor Proposal Date: 1/17/2023 Add Amount: $421,578.00 Deduct Amount Reason For Change: Account:
ORIGINAL CONTRACT: $1,024,073.00
PREVIOUS ADDS: $0.00
SEL Engineering Services, Inc. Date PREVIOUS DEDUCTS: $0.00 THIS CHANGE ORDER: $421,578.00
Jeff Berkheimer, Electric
Utility Director
Date
TOTAL CONTRACT AMOUNT
INCLUDING ALL CHANGE ORDERS:
Stephen Schwabauer,
City Manager
Date
ORIGINAL COMPLETION DATE: 3/28/2023
ADJUSTED CONTRACT
COMPLETION DATE:
Change Order #1: Additional installation and commissioning support and relay protection panel for Industrial Substation Relay Upgrade Project per attached proposal dated January 17, 2023.
CONTRACTOR AGREES TO FURNISH ALL LABOR AND MATERIALS AND PERFORM ALL WORK REQUIRED TO COMPLETE THE ABOVE DESCRIBED
WORK CHANGE IN ACCORDANCE WITH THE REQUIREMENTS FOR SIMILAR WORK COVERED BY THE CONTRACT EXCEPT AS OTHERWISE STIPULATED HEREIN FOR THE STATED CONSIDERATION. TO PERFORM THE CHANGES FOR THE AMOUNT INDICATED WHICH INCLUDES ANY EXTENDED OR JOBSITE OVERHEAD, DISRUPTION, RIPPLE EFFECT AND OTHER IMPACT COSTS. NO WORK WILL BE STARTED UNTIL THIS PROPOSAL IS ACCEPTED. IF THE CONTRACTOR DOES NOT SIGN ACCEPTANCE OF THIS ORDER, THE CONTRACTOR SHOULD REFER TO SECTION 4-
1.03A OF THE STANDARD SPECIFICATIONS REGARDING FILING A WRITTEN PROTEST WITHIN THE SPECIFIED TIME. $1,445,651.00
7/3/2023
Substation Relay Modernization Project
City of Lodi
SEL Engineering Services, Inc.
$0.00
Additional installation and commissioning support and relay protection panel for Industrial Substation Relay Upgrade Project EUCP-22005.Contracts CO No.: 1
Brief Description Of Work
Submit Proposal Within 15 Days Upon Receipt of This Request SEL CCO 1 1/19/2023
Confidentiality Notice: The information contained in this query is privileged and confidential information and is intended solely for the use of the individual or entity to whom it is addressed. If you are not the intended recipient or the person responsible for delivering the material to the intended recipient, you are hereby notified that any dissemination, disclosure, copying, or distribution of t his communication is strictly prohibited. If you received this communication in error, please notify us immediately by telephone and destroy this material accordingly.
© 2022 by SEL ES (All rights reserved.) Page 1 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Project Change Order
Customer Lodi Electric
Utility Department Contract/PO Number LPM9272674
Customer Contact Name Jasminder Singh Change Order Number 01 SEL ES Project Name
Industrial
Substation Relay
Upgrade - 60kV
Change Order Date 01/17/2023
SEL ES Project Number 022962.000.00 Date Response Required 01/31/2023 SEL ES Project Manager Mandeep Panech SEL ES Contact Name Mandeep Panech
Description
Basis of Change:
This Change Order summarizes various changes for the design, installation, and commissioning services of this project.
Description Cost
Item 1: Removal of Survalent HMI option: SEL ES Project 022962.002.00 This was quoted in the original proposal as Option 3.
($103,800.00)
Item 2: Change in Part Numbers: SEL ES Project 022962.003.00 Parts Removed:
• Qty 8: SEL-735 Power Quality and Revenue Meter
• Qty 4: SEL-487B Buss Differential and Breaker Failure Relay • Qty 2: SEL-451 Protection, Automation, and Bay Control System • Axion Cabinet
Parts Added:
• Qty 4: SEL-587Z High-Impedance Differential Relay
• Qty 2: SEL-487E Transformer Protection Relay
• Loose parts like fuses, terminal blocks, blank plates, bezels. ($59,228.00)
Item 3: Design Changes: SEL ES 022962.000.00
• Single line diagram for the project had multiple updates. The main reason for this was change of protection relays for breakers and protection relays for bus. • Panel layouts and plate fabrication drawings had multiple updates. The main reason for this was change of protection relays for breakers and protection relays for bus and SCADA panel layout design
$70,750.00
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 2 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
• Existing AC/DC schematics were updated to reflect terminal block information for the CT, PT, and breaker control connections that will help during phase upgrades and will make schematics more informational. Additional drawings were created to depict circuit wiring between locations.
• Additional scope for the cable schedule. The cable schedule will now include cable name, cable conductor count, to and from location, and terminals each conductor will land on in each location. Detail will be added for cables in the protection panels. For example: Protection panel to protection panel, protection panel to field equipment, and protection panel to DC board.
• Field wire diagrams will be updated to show new cables and wire modifications which are done as part of this upgrade.
• Panel 11A was updated with new equipment that required updated existing or creating new PL, NP, AC, DC, and WD updates.
Item 4: Protection Settings for power failure scheme: SEL ES 022962.000.00 • Programming of two (2) SEL-751 relays for PG&E lines power failure schemes. • Updates to FDS to include the change to power failure scheme. • Update test plan to include power failure scheme testing. $11,875.00
Item 5: Isolation, commissioning, testing, and Restoration (ICTR) Plan development:
SEL ES 022962.000.00
• Original proposal was priced to complete commissioning activities during complete shutdown. During project execution it was determined that the City of Lodi can only take outages per line. Regarding bus relay upgrade outage can be taken on only one (1) bus. In total, the team finalized on twelve phases for commissioning. • See details of phases outlined in Item 7, test plan will be written to account for phase work that is being done and drawings will be edited to reflect phase work conditions.
• SEL ES will work with project team from Lodi, EPS and other contractors involved to account for activities and work that is being performed during phase outage to minimize the impact on rest of the system.
Note: Review of ICTR will be the responsibility of all responsible personnel involved in the project, SEL ES will be taking the lead in preparation of the ICTR. $63,625.00
Item 6: Commissioning Removed from the Scope of Work: SEL ES 022962.000.00 Items listed below are from the original proposal. Items 5 and 7 of this change order include the additional work required as per revised commissioning phases. • Mobilize two (2) field services technicians to the customer site to complete the installation of all equipment provided with this proposal. Work will be completed in two (2) mobilizations of two (2) weeks each.
• Mobilize protection and automation engineers based out of the SEL ES Vacaville, CA office to the customer site in Lodi, CA to provide onsite installation and commissioning support during the field service technician mobilizations. • Develop commissioning plans for the retrofit upgrade. • Develop commissioning plans for the Automation commissioning.
($184,799.00)
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 3 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Item 7: Commissioning Added to the Scope of Work: SEL ES 022962.000.00 • Mobilize two (2) field service technicians to the customer site to complete installation of all SEL supplied equipment. Work will be completed over twelve mobilizations of four (4) days each for a total of 120 weekdays • Mobilize protection and automation engineers to provide onsite installation and commissioning support during field service mobilizations and energization. SEL ES has planned for a total of 96 weekdays
Phase # Task CB Scope of Work
1 Panel 7A - RTAC Upgrade Install RTAC Plate, this
plate will also have bus
diff for Bus 1. Run
Communication cables to
each panel for new
relaying
2 Panel 1 - Henning Line Upgrade 6060 and 6061 Demolition of Existing relaying install new plate
City planning to run new
CT wiring from breaker
to control house
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
Relay and breaker
functionality testing
SCADA testing
Energization
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
3 Panel 3 - Killelea Line Upgrade 6065 Demolition of Existing relaying install new plate
City planning to run new
CT wiring from breaker
to control house
$572,500.00
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 4 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
Relay and breaker
functionality testing
SCADA testing
Energization
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
4 Panel 2 - Xfmr T1 Line
Upgrade
6062 and 6063 Demolition of Existing
relaying install new plate
City planning to run new
CT wiring from breaker
to control house
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
Relay and breaker
functionality testing
SCADA testing
Energization
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 5 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
5 Panel 5 – Mclane Line Upgrade 6089 and 6069 Demolition of Existing relaying install new plate
City planning to run new
CT wiring from breaker
to control house
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
Relay and breaker
functionality testing
SCADA testing
Energization
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
6 Panel 6 – Xfmr T3 Line
Upgrade
6070 and 6071 Demolition of Existing
relaying install new plate
City planning to run new
CT wiring from breaker
to control house
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
Relay and breaker
functionality testing
SCADA testing
Energization
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 6 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
7 Panel 9 – PG&E LODI-
Industrial
52 Demolition of Existing
relaying install new plate
City planning to run new
CT wiring from breaker
to control house
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
Relay and breaker
functionality testing
SCADA testing
PG&E PPI
Energization
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
8 Panel 10 – PG&E Industrial
Tap Line
32 and 42 Demolition of Existing
relaying install new plate
City planning to run new
CT wiring from breaker
to control house
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 7 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Relay and breaker
functionality testing
SCADA testing
PG&E PPI
Energization
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
9 Panel 11 – PG&E Lockeford
Industrial Line
12 and 22 Demolition of Existing
relaying install new plate
City planning to run new
CT wiring from breaker
to control house
Shorten the CTs
previously used for BF
relay and run to
respective Bus
differential cabinet. Run
RTU wiring related to
breakers to AXION
Secondary current
injection from the
breakers to verify CT
phasing Relay testing
Relay and breaker
functionality testing
SCADA testing
PG&E PPI
Energization
Note: DO NOT perform
breaker failure functional
testing, it can trip the bus
lockout
10 Panel 11A - Power Install new SEL-751
relay Plate and Test
Switch
Existing 94 devices are
maintained
11 Panel 7B – Bus 1 Differential 6061, 6063,
6065, 6069,
6071, 52, 42,
and 22
Verify Bus 1 is out of
service
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 8 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Terminate the BUS1 BF
CTs to both SEL-587Z
Secondary current
injection from the
breakers to verify CT
phasing and summation
Relay Testing
86-B1 trip and block
close testing
Energization load each
breaker
12 Panel 8 – Bus2 Differential 6060, 6062,
6068, 6070,
32, and 12
Verify Bus 2 is out of
service Demolition of
Existing relaying install
new plate
Terminate the BUS2 BF
CTs to both SEL-587Z
Secondary current
injection from the
breakers to verify CT
phasing and summation
Relay Testing
86-B2 trip and block
close testing Energization
load each breaker
13 Demolition of RTU Cabinet Demolish RTU Cabinet
Item 8: Additional plate design and fabrication: SEL ES 022962.003.00 • Fabricate plate with the following BOM:
o SEL-487E with MOT: 0487E3X411XXB0X4377474X
o SEL-9510 control switch module
o Qty 4: 10Pole, 6CT, 4P Test switches
o Qty 5: 10Pole, 10P Test switches
o Qty 2: 10Pole, 8CT, 2P Test switches
o Qty 1: Lockout relay
• The following deliverables will be included for plate only:
o Panel Layout
o Wiring diagrams for plate
o Name plate
o Schematics
$50,655.00
Total $421,578.00
Equipment Deliverables
• All deliverables from the original proposal apply to this Change Order • Additional plate as per Item 8
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 9 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Documentation Deliverables
• All deliverables from the original proposal apply to this Change Order • Document deliverables for Item 4, Item 5, and Item 8
Deliverables to SEL ES
• All deliverables from the original proposal apply to this Change Order Clarifications
• All clarifications and exceptions from the base project apply to this change order. • The updated pricing from EPS is not reflected in this Change Order. We have not received pricing from EPS as of the date of processing this Change Order. • We have estimated taxes for the equipment in Item 8, they will be billed at the statutory rates applicable at time of invoicing.
Cost Impact
($103,800.00) Item 1: Survalent HMI
($59,228.00) Item 2: Material Change
$70,750.00 Item 3: Design Changes
$11,875.00 Item 4: Relay programming
$63,625.00 Item 5: Create ICTR Plans
($184,799.00) Item 6: Deduct for commissioning
$572,500.00 Item 7: Installation and Commissioning for twelve phases $50,655.00 Item 8: Additional Plate (Material and Design, includes estimated tax of $3,807.00) US $421,578.00 TOTAL
Payment Milestone Schedule
• On approval of this change order $50,000.00
• Completion of design $55,000.00
• ICTR Plan development complete $55,000.00
• Complete Relay settings $50,000.00
• Commissioning Phases 1 thru 4 $60,000.00
• Commissioning Phases 5 thru 9 $60,000.00
• Commissioning Phases 10 thru 12 $46,323.00
• Shipment of Panel $45,255.00
SEL ES Project Number: 022962.000.00
Rev. 20220208
© 2022 by SEL ES (All rights reserved) Page 10 of 10
SEL ES PROPRIETARY INFORMATION www.selinc.com
Schedule Impact
• The schedule will be impacted for both equipment delivery, installation, and commissioning
Change Order Summary
$991,090.00 Original Contract/PO
$421,578.00 Amount from this Change Order # 01
US $1,412,668.00 TOTAL
Validity This quotation is valid for 60 days. SEL ES reserves the right to withdraw this offer if mutually accepted credit terms cannot be agreed upon.
Authorization
Customer/vendor agrees to revise the Contract/PO to reflect the changes described in this Change Order.
Signature Date
Name Title
Project Title: #196
Section I: Description District Nos: 2,3,4,5 Project Length 7/22-6/25 Priority High Section II: Estimated Project Costs
Expenditure Prior Years FY 21/22
Estimate
FY 22/23 Budget FY 23/24 FY 24/25 FY 25/26 FY 26/27 Future Yrs Total Internal Staff -$ 158,000$ 120,000$ 120,000$ 398,000$ Contracts -$ 1,024,073$ 522,000$ -$ 1,546,073$ Miscellaneous -$ 62,000$ 80,000$ 80,000$ 222,000$ -$ -$
-$ -$
Total Capital Costs -$ 1,024,073$ 742,000$ 200,000$ 200,000$ -$ -$ -$ 2,166,073$ Section III: Funding Sources/Methods o
Funding Source(s) Prior Years FY 21/22
Estimate
FY 22/23 Budget FY 23/24 FY 24/25 FY 25/26 FY 26/27 Future Yrs Total 501 - EU Outlay Capital Reserve Fund -$ 1,024,073$ 742,000$ 200,000$ 200,000$ 2,166,073$ -$ -$
Total Project Financing -$ 1,024,073$ 742,000$ 200,000$ 200,000$ -$ -$ -$ 2,166,073$ Capital Improvement Plan
FY 2022-2023
FY 22 and 23 includes funding in the amount of $1,024,073 + $120K for Industrial (60 kV). Funds are being moved from FY 25 to FY 23 for Killelea (60 kV and 12 kV) and reduced based on identified cost savings by performing work using existing utility staff ($200K). FY 24 includes funding for Industrial (12 kV) and also includes an updated estimate and identified cost savings ($200K). FY 25 includes funding for Henning (60 kV and 12 kV) and also includes an updated estimate and identified cost savings ($200K). FY 23 includes additional monies added in February 2023 for increased contractor installation and commissioning support as well as the addition of one new relay protection panel ($422K).
Additional Information
Per Pacific Gas and Electric (PG&E), our incoming relay protection within Industrial Substation has significant cordination (device-to-device safety) issues that results in slower clearing times and reduced reiability for all of Lodi Electric Utility's (LEU) power supply. In addition to our incoming power supply protection is the outdated equipment we have at Industrial Substation, Henning Substation, and Killelea Substation. To solve this, substation modernization and standardization would upgrade and standardize all remaining protection and control devices, remote terminal units, and accompanied SCADA screens. Modernizing and standardizing our substation equipment will not only increase asset reliability and protection, but will also allow for greater field worker safety due to the increased protection capabilities built-into the equipment, proven at McLane Substation. The standardization process will eliminate the need to stock multiple vendor equipment types, while also increasing LEU Technician understanding and familiarity of single-vendor equipment throughout all substations.
Justification/factor driving project
The purpose of ths multi-year project is to upgrade and modernize three of the four total substations with modern protection devices to replace outdated and end-of-life equipment. The modernization will allow for greater protection and visibility of highly valuable substation equipment as well as the coordination of protection and power supply between Pacific Gas and Electric and Lodi Electric Utility.
Substation Relay Modernization EUCP-22005Munis Project Code:
RESOLUTION NO. 2023-____
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE
CITY MANAGER TO EXECUTE CHANGE ORDER NO. 1 WITH
SCHWEITZER ENGINEERING LABORATORIES ENGINEERING SERVICES, INC.,
OF VACAVILLE, FOR SUBSTATION RELAY MODERNIZATION CAPITAL IMPROVEMENT PROJECT; AND FURTHER APPROPRIATING FUNDS
========================================================================
WHEREAS, Lodi Electric Utility (LEU) is requesting additional funding for the Substation Relay Modernization Project due to increased contractor installation and commissioning support, as well as the addition of one new relay protection panel; and
WHEREAS, LEU’s requirement for Industrial Substation as part of this project is to ensure all equipment pertaining to a specific relay protection panel is de- energized for contractor and equipment safety; and due to this requirement, the time-per-panel increases from four to twelve weeks for installation and commissioning support; and
WHEREAS, in addition, the purchase of a new spare subs tation power transformer, approved by City Council on January 18, 2023, will require a new relay protection panel to be constructed where a blank panel currently resides within Industrial Substation; and
WHEREAS, Schweitzer Engineering Laboratories Engineering Services , Inc., LEU’s substation relay contractor, will provide and install all components of the specific substation power transformer, as well as the related drawings and diagrams; and
WHEREAS, staff recommends the appropriation of funds in the amount of $4 22,000 to Account No. 50199000.77020 for said project (EUCP-22005).
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Manager to execute Change Order No. 1 with Schweitzer Engineering Laboratories Engineering Services, Inc., of Vacaville, California, in the amount of $421,578 for the Substation Relay Modernization Capital Improvement Project; and
BE IT FURTHER RESOLVED that the Lodi City Council does hereby authorize the appropriation of funds to the Substation Relay Modernization Capital Improvement Project (EUCP-22005) for Fiscal Year 2023 in the amount of $4 22,000, as noted above, for a total approved budget of $1,766,073; and
BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (adopted 11/6/19, Resolution No. 2019 -223), the City Attorney is hereby authorized to make minor revisions to the above-referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary.
Dated: February 1, 2023
======================================================================== I hereby certify that Resolution No. 2023-____ was passed and adopted by the City Council of the City of Lodi in a regular meeting held on February 1, 2023 by the following vote:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-____
AGENDA ITEM C-06
COUNCIL COMMUNICATION
APPR
OVED: ________________________________________
Stephen Schwabauer, City Manager
\\cvcfilv02\pubwks$\WP\PROJECTS\MISC\PD Gun Range\Gun Range Ventilation\C_ChangeOrder_Gun Range HVAC Abatement.doc 1/18/2023 AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute Change Orders to the Lodi Gun Range Ventilation Improvement Project and Appropriating Funds ($300,000) MEETING DATE: February 1, 2023
PREPARED BY: Public Works Director
RECOMMENDED ACTION: A dopt resolution authorizing City Manager to execute change orders to Lodi Gun Range Ventilation Improvement Project to in and appropriating funds in the amount of $300,000.
BACKGROUND INFORMATION: For over 50 years, the existing gun range, located in the basement of the City Hall Annex Building at 213 W Elm Street, has been utilized by the Lodi Police Department to practice firearm and target shooting. Recent inspection of the facility indicated performance of the existing ventilation system does not comply with current Occupational Safety and Health Administration (OSHA) standards.
A pr
oject intended to upgrade the ventilation system was awarded to Diede Construction on April 2, 2022. The project includes removal of the existing HVAC system, installation of the new HVAC system with filters, modification of HVAC duct work, and other miscellaneous and related items as shown on the plans and specifications for the project.
B
efore project demolition started, the contractor performed initial lead testing of the work area and found it higher than expected in this type of facility. Further investigation and testing found that the entire basement area including the ventilation system has extremely high lead levels on all surfaces that need to be abated before any work can begin.
T
he indoor gun range has been in operation for more than 50 years and the lack of regular testing and cleaning resulted in the high concentrated lead level being undetected. The good news is a separate air sample indicated the lead is not present in the air. Diede prepared a proposal for the lead abatement for the area the work involved. In addition to the residual lead contamination, asbestos material must also be removed. The total cost of the abatement is estimated to be $229,905. Due to the age of the building and its history of use, there is a chance that other areas will be identified during the abatement process that need additional work.
Staff is recommending authorizing the City Manager to execute change orders not-to-exceed $300,000 for this abatement. If approved, the total project cost including this change order ($229,905) and two previous change orders ($8,270) will be $635,875.
The additional appropriation is requested to facilitate the necessary lead abatement along with any additional unforeseen changes in the work. This abatement is necessary to move this project forward and also will be needed if other areas in the basement area are to be repurposed by the City.
S
taff recommends authorizing City Manager to execute the change orders for the abatement to Lodi Gun Range Ventilation Improvement Project and appropriating funds in the amount of $300,000.
Adopt Resolution Authorizing City Manager to Execute Change Orders to the Lodi Gun Range Ventilation Improvement Project and Appropriating Funds ($300,000) February 1, 2023
\\cvcfilv02\pubwks$\WP\PROJECTS\MISC\PD Gun Range\Gun Range Ventilation\C_ChangeOrder_Gun Range HVAC Abatement.doc 1/18/2023 FISCAL IMPACT: Upgrading the existing HVAC system will improve the indoor air quality for the City’s employees and reduce the City’s exposure to potential OSHA liabilities.
FUNDING AVAILABLE: Requested Appropriation:
General Fund Capital $300,000
_______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
_______________________________
Charles E. Swimley, Jr.
Public Works Director
Prepared by Lyman Chang, Deputy Public Works Director/City Engineer
CES/LC/cd
cc: Public Works Management Analyst
Police Chief
Facilities Superintendent
Diede Construction
Project Title: #216
Section I: Description District Nos: 3 Project Length Priority High Section II: Estimated Project Costs
Expenditure Prior Years FY 21/22
Estimate
FY 22/23
Budget
FY 23/24 FY 24/25 FY 25/26 FY 26/27 Future Yrs Total
Contracts 15,700 $ 500,000$ 300,000$ 815,700$ -$ -$
-$ -$
-$ -$
-$ -$
Total Capital Costs 15,700 $ 500,000$ 300,000$ - $ - $ -$ - $ - $ 815,700$ Section III: Funding Sources/Methods of Financing
Funding Source(s) Prior Years FY 21/22
Estimate
FY 22/23
Budget
FY 23/24 FY 24/25 FY 25/26 FY 26/27 Future Yrs Total
100 - Facilities 15,700 $ 15,700$
431 - Capital Outlay/General Fund -$ 500,000$ 300,000$ 800,000$ -$ -$
-$ -$
Total Project Financing 15,700$ 500,000$ 300,000$ - $ - $ -$ - $ - $ 815,700$ Capital Improvement Plan
FY 2022-2023
The Lodi Police Foundation, a California non-profit corporation, has over the past several years donated funding for several equipment purchases for use by the Lodi Police Department. These donations are integral to the Lodi Police Department’s needs that are not met through the general fund. The Lodi Police Foundation is donating $200,000 to the City to offset HVAC and Exhaust system equipment, construction materials, and labor for the City Hall Annex indoor gun range for use by the Lodi Police Department.
Additional Information
The existing HVAC and exhaust system in the gun range is out of CALOSHA compliance and will need to be upgraded in order to provide clean air to the occupants.
Justification/factor driving project
Improvement to the existing HVAC and Exhaust system in the City Hall Annex indoor gun range.
City Hall Annex Gun Range Improvements GFCP-22009Munis Project Code:
RESOLUTION NO. 2023-__
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING
THE CITY MANAGER TO EXECUTE CHANGE ORDERS TO THE
LODI GUN RANGE VENTILATION IMPROVEMENT PROJECT;
AND FURTHER APPROPRIATING FUNDS
========================================================================
WHEREAS, for over 50 years, the existing gun range, located in the basement of the City Hall Annex Building at 213 W est Elm Street, has been utilized by the Lodi Police Department to practice firearm and target shooting; and
WHEREAS, a project intended to upgrade the ventilation system was awarded to Diede Construction on April 2, 2022, and included the removal of the existing HVAC system, installation of the new HVAC system with filters, modification of HVAC duct work, and other miscellaneous and related items as shown on the plans and specifications for the project; and
WHEREAS, before project demolition started, lead testing determined that the entire basement area, including the ventilation system , has extremely high lead levels on all surfaces that need to be abated before any work can begin; and
WHEREAS, staff recommends authorizing the City Manager to execute change orders for the abatement to the Lodi Gun Range Ventilation Improvement Project and appropriating funds in the amount of $300,000.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Man ager to execute change orders to the Lodi Gun Range Ventilation Improvement Project, in an amount not to exceed $300,000; and
BE IT FURTHER RESOLV ED that the Lodi City Council does hereby appropriate funds in the amount of $300,000 to General Fund Capital (43199000.77020); and
BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (adopted 11/6/19, Resolution No. 2019- 223), the City Attorney is hereby authorized to make minor revisions to the above- referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary.
Dated: February 1, 2023
=======================================================================
I hereby certi fy that Resolution No. 2023-__ was passed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023 by the following votes:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-_____
AGENDA ITEM C-07
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute a Three -Year Professional Services Agreement for Recreational Vehicle Abatement Services with All Towing of Lodi, California in the amount of $66,300.
M
EETING DATE: February 1, 2023
P
REPARED BY: Chief of Police
RE
COMMENDED ACTION: Adopt resolution authorizing City Manager to execute a three- year Professional Services Agreement for recreational vehicle abatement services with All Towing of Lodi, CA in the amount of $66,300.
B
ACKGROUND INFORMATION: In August of 2019 the Lodi Police Department Foundation started receiving donations to abate abandoned and nuisance recreational vehicles (RVs) that park in Lodi neighborhoods, including the eastside industrial area. Nuisance RVs commonly have expired registration and mechanical or structural issues that make them unsafe or inoperable, causing blight to the areas they park. The abatement efforts have been headed up by the Community Liaison Officer and have been very successful. With the program’s success came expenses that quickly absorbed the donated funds.
T
he Foundation received $9,000 in funding that reimbursed the department for expenses incurred from nuisance RV tows and destruction. The Department has removed and destroyed over 30 RVs. At the beginning of the program, the Lodi Police Department was paying for the tow and coordinating disposal through Central Valley Waste (Waste Management). The coordination of waste disposal bins was a task that the towing companies needed to take responsibility for scheduling purposes. The tow companies and the Lodi Police Department agreed on all-inclusive pricing and the agreements were created.
T
his agreement is a three-year term not to exceed $66,300. Additional contractors may be added at a future date.
Adopt Resolution Authorizing City Manager to Execute a Three-Year Professional Services Agreement for Recreational Vehicle Abatement Services with All Towing of Lodi, CA in the amount of $66,300 January 18, 2023
FISCAL IMPACT: Towing costs are included in the 22/23 budget. No additional funding requested.
FUNDING AVAILABLE: Support Services Misc. Professional Services – 10031004.72450
_______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
________________________________________
Sierra Brucia
Chief of Police
AGREEMENT FOR PROFESSIONAL SERVICES
A
RTICLE 1
PARTIES AND PURPOSE
Section 1.1 Parties
T HIS AGREEMENT is entered into on ______________, 2023, by and between the CITY OF LODI, a municipal corporation (hereinafter “CITY”), and Michael James Freiermuth Jr. doing business as ALL TOWING (hereinafter “CONTRACTOR”).
Section 1.2 Purpose
C ITY selected the CONTRACTOR to provide the services required in accordance with attached Scope of Services, Exhibit A, attached and incorporated by this reference.
CITY wishes to enter into an agreement with CONTRACTOR for t he removal and destruction of recreational vehicles, not to exceed $66,300 (hereinafter “Project”) as set forth in the Scope of Services attached here as Exhibit A. CONTRACTOR acknowledges that it is qualified to provide such services to CITY.
A
RTICLE 2
SCOPE OF SERVICES
Section 2.1 Scope of Services
CO NTRACTOR , for the benefit and at the direction of CITY, shall perform the Scope of Services as set forth in Exhibit A.
Section 2.2 Time For Commencement and Completion of Work CO NTRACTOR shall commence work pursuant to this Agreement, upon receipt of a written notice to proceed from CITY or on the date set forth in Section 2.6, whichever occurs first, and shall perform all services diligently and complete work under this Agreement based on a mutually agreed upon timeline or as otherwise designated in the Scope of Services.
CONTRACTOR shall submit to CITY such reports, diagrams, drawings and other work products as may be designated in the Scope of Services.
CONTRACTOR shall not be responsible for delays caused by the failure of CITY staff to provide required data or review documents within the appropriate time frames.
The review time by CITY and any other agencies involved in the project shall not be counted against CONTRACTOR’s contract performance period. Also, any delays due to weather, vandalism, acts of God, etc., shall not be counted. CONTRACTOR shall
remain in contact with reviewing agencies and make all efforts to review and return all comments.
Section 2.3 Meetings
CO NTRACTOR shall attend meetings as may be set forth in the Scope of Services.
Section 2.4 Staffing
CO NTRACTOR acknowledges that CITY has relied on CONTRACTOR ’s capabilities and on the qualifi cations of CONTRACTOR’s principals and staff as identified in its proposal to CITY. The Scope of Services shall be performed by CONTRACTOR, unless agreed to otherwise by CITY in writing. CITY shall be notified by CONTRACTOR of any change of Project Manager and CITY is granted the right of approval of all original, additional and replacement personnel at CITY’s sole discretion and shall be notified by CONTRACTOR of any changes of CONTRACTOR’s project staff prior to any change.
CONTRACTOR represents it is prepared to and can perform all services within the Scope of Services (Exhibit A) and is prepared to and can perform all services specified therein. CONTRACTOR represents that it has, or will have at the time this Agreement is executed, all licenses, permits, qualifications, insurance and approvals of whatsoever nature are legally required for CONTRACTOR to practice its profession, and that CONTRACTOR shall, at its own cost and expense, keep in effect during the life of this Agreement all such licenses, permits, qualifications, insurance and appr ovals, and shall indemnify, defend and hold harmless CITY against any costs associated with such licenses, permits, qualifications, insurance and approvals which may be imposed against CITY under this Agreement.
Section 2.5 Subcontracts
U nless prior written approval of CITY is obtained, CONTRACTOR shall not enter into any subcontract with any other party for purposes of providing any work or services covered by this Agreement.
Section 2.6 Term
T he term of this Ag reement commences on February 1, 20 23 and terminates upon the completion of the Scope of Services or on February 1, 20 26, whichever occurs first.
ARTICLE 3
COMPENSATION
Section 3.1 Compensation
CONTRACTOR’s compensation for all work under this Agreement shall conform to the provisions of the Fee Proposal, attached hereto as Exhibit B and incorporated by this reference.
CONTRACTOR shall not undertake any work beyond the scope of this Agreement unless such additional work is approved in advance and in writing by CITY.
Section 3.2 Method of Payment
CO NTRACTOR shall submit invoices for completed work on a monthly basis, or as otherwise agreed, providing, without limitation, details as to amount of hour s, individual performing said work, hourly rate, and indicating to what aspect of the Scope of Services said work is attributable. CONTRACTOR ’s compensation for all work under this Agreement shall not exceed the amount of the Fee Proposal.
Section 3.3 C osts
The Fee Proposal shall include all reimbursable costs required for the performance of the Scope of Services. Payment of additional reimbursable costs considered to be over and above those inherent in the original Scope of Services shall be approved in advanced and in writing, by CITY.
Section 3.4 Auditing
C ITY reserves the right to periodically audit all charges made by CONTRACTOR to CITY for services under this Agreement. Upon request, CONTRACTOR agrees to furnish CITY, or a designated representative, with necessary information and assistance needed to conduct such an audit.
CONTRACTOR agrees that CITY or its delegate will have the right to review, obtain and copy all records pertaining to performance of this Agreement.
CONTRACTOR agrees to provide CITY or its delegate with any relevant information requested and shall permit CITY or its delegate access to its premises, upon reasonable notice, during normal business hours for the purpose of interviewing employees and inspecting and copying such books, records, accounts, and other material that may be relevant to a matter under investigation for the purpose of determining compliance with this requirement. CONTRACTOR further agrees to maintain such records for a period of three (3) years after final payment under this Agreement.
ARTICLE 4
MISCELLANEOUS PROVISIONS
Section 4.1 Nondiscrimination
I n performing services under this Agreement, CONTRACTOR shall not discriminate in the employment of its employees or in the engagement of any sub CONTRACTOR o n the basis of race, color, religion, sex, sexual orientation, marital status, national origin, ancestry, age, or any other criteria prohibited by law.
Section 4.2 ADA Compliance
I n performing services under this Agreement, CONTRACTOR shall comply with the Americans with Disabilities Act (ADA) of 1990, and all amendments thereto, as well as all applicable regulations and guidelines issued pursuant to the ADA.
Section 4.3 Indemnification and Responsibility for Damage C ONTRACTOR to the fullest extent permi tted by law, shall indemnify and hold harmless CITY, its elected and appointed officials, directors, officers, employees and volunteers from and against any claims, damages, losses, and expenses (including reasonable attorney’s fees and costs), arising out of performance of the services to be performed under this Agreement, provided that any such claim, damage, loss, or expense is caused by the negligent acts, errors or omissions of CONTRACTOR, any subcontractor employed directly by CONTRACTOR, anyone direc tly or indirectly employed by any of them, or anyone for whose acts they may be liable, except those injuries or damages arising out of the active negligence, sole negligence, or sole willful misconduct of the City of Lodi, its elected and appointed offici als, directors, officers, employees and volunteers. CITY may, at its election, conduct the defense or participate in the defense of any claim related in any way to this indemnification. If CITY chooses at its own election to conduct its own defense, participate in its own defense, or obtain independent legal counsel in defense of any claim related to this indemnification, CONTRACTOR shall pay all of the costs related thereto, including without limitation reasonable attorney fees and costs. The defense and indemnification obligations required by this Agreement are undertaken in addition to, and shall not in any way be limited by the insurance obligations set forth herein.
Section 4.4 No Personal Liability
N either the City Council, nor any other officer or authorized assistant or agent or City employee shall be personally responsible for any liability arising under this Agreement.
Section 4.5 Responsibility of CITY
C ITY shall not be held responsible for the care or protection of any material or parts of th e work described in the Scope of Services prior to final acceptance by CITY, except as expressly provided herein.
Section 4.6 Insurance Requirements for CONTRACTOR
C ONTRACTOR shall take out and maintain during the life of this Agreement, insurance coverage as set forth in Exhibit C attached hereto and incorporated by this reference.
Section 4.7 Successors and Assigns
C ITY and CONTRACTOR each bind themselves, their partners, successors, assigns, and legal representatives to this Agreement without the written consent of the others. CONTRACTOR shall not assign or transfer any interest in this Agreement without the prior written consent of CITY. Consent to any such transfer shall be at the sole discretion of CITY.
Section 4.8 Notices
A ny notice required to be given by the terms of this Agreement shall be in writing signed by an authorized representative of the sender and shall be deemed to have been given when the same is personally served or upon receipt by express or overnight delivery, postage prepaid, or three (3) days from the time of mailing if sent by first class or certified mail, postage prepaid, addressed to the respective parties as follows:
To CITY: City of Lodi
221 West Pine Street
P.O. Box 3006
Lodi, CA 95241-1910
Attn: Andrea Morales
T
o CONTRACTOR: Michael James Freiermuth Jr.
All Towing
127 Houston Lane
Lodi, CA 95240
Section 4.9 Cooperation of CITY
C ITY shall cooperate fully and in a timely manner in providing relevant information it has at its disposal relevant to the Scope of Services.
Section 4.10 CONTRACTOR is Not an Employee of CITY
CO NTRACTOR agrees that in undertaking the duties to be performed under this Agreement, it shall act as an independent contractor for and on behalf of CITY and not an employee of CITY. CITY shall not direct the work and means for accomplishment of
the services and work to be performed hereunder. CITY, however, retains the right to require that work performed by CONTRACTOR meet specific standards without regard to the manner and means of accomplishment thereof.
Section 4.11 Termination
C ITY may terminate this Agreement, with or without cause, by giving CONTRACTOR at least ten (10) days written notice. Where phases are an ticipated within the Scope of Services, at which an intermediate decision is required concerning whether to proceed further, CITY may terminate at the conclusion of any such phase.
Upon termination, CONTRACTOR shall be entitled to payment as set forth in the attached Exhibit B to the extent that the work has been performed. Upon termination, CONTRACTOR shall immediately suspend all work on the Project and deliver any documents or work in progress to CITY. However, CITY shall assume no liability for costs, expenses or lost profits resulting from services not completed or for contracts entered into by CONTRACTOR with third parties in reliance upon this Agreement.
Section 4.12 Confidentiality
CO NTRACTOR agrees to maintain confidentiality of all work and work products produced under this Agreement, except to the extent otherwise required by law or permitted in writing by CITY. CITY agrees to maintain confidentiality of any documents owned by CONTRACTOR and clearly marked by CONTRACTOR as “Confidential” or “Proprietary”, except to the extent otherwise required by law or permitted in writing by CONTRACTOR. CONTRACTOR acknowledges that CITY is subject to the California Public Records Act.
Section 4.13 Applicable Law, Jurisdiction, Severability, and Attorney’s Fees T his Agreement shall be governed by the laws of the State of California.
Jurisdiction of litigation arising from this Agreement shall be venued with the San Joaquin County Superior Court. If any part of this Agreement is found to conflict with applicable laws, such part shall be inoperative, null, and void insofar as it is in conflict with said laws, but the remainder of this Agreement shall be in force and effect. In the event any dispute between the parties arises under or regarding this Agreement , the prevailing party in any litigation of the dispute shall be entitled to reasonable attorney’s fees from the party who does not prevail as determined by the San Joaquin County Superior Court.
Section 4.14 City Business License Requirement
C ONTRACTOR acknowledges that Lodi Municipal Code Section 3.01.020 requires CONTRACTOR to have a city business license and CONTRACTOR agrees to secure such license and pay the appropriate fees prior to performing any work hereunder.
Section 4.15 Captions
T he captions of the sections and subsections of this Agreement are for convenience only and shall not be deemed to be relevant in resolving any question or interpretation or intent hereunder.
Section 4.16 Integration and Modification
T his Agreement represents the entire understanding of CITY and CONTRACTOR as to those matters contained herein. No prior oral or written understanding shall be of any force or effect with respect to those matters covered hereunder. This Agreement may not be modified or altered except in writing, signed by both parties.
Section 4.17 Contract Terms Prevail
A ll exhibits and this Agreement are intended to be construed as a single document. Should any inconsistency occur between the specific terms of this Agreement and the attached exhibits, the terms of this Agreement shall prevail.
Section 4.18 Severability
T he invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.
Section 4.19 Ownership of Documents
A ll documents, photographs, reports, analyses, audits, computer media, or other material documents or data, and working papers, whether or not in final form, which have been obtained or prepared under this Agreement, shall be deemed the property of CITY. Upon CITY’s request, CONTRACTOR shall allow CITY to inspect all such documents during CONTRACTOR’s regular business hours. Upon termination or completion of services under this Agreement, all information collected, work product and documents shall be delivered by CONTRACTOR to CITY within ten (10) calendar days.
CITY agrees to indemnify, defend and hold CONTRACTOR harmless from any liability resulting from CITY’s use of such documents for any purpose other than the purpose for which they were intended.
Section 4.20 Authority
The undersigned hereby represent and warrant that they are authorized by the parti
es to execute this Agreement.
Section 4.21 Federal Transit Funding Conditions
If the box at left is c hecked, the Federal Transit Funding conditions attached as Exhibit D apply to this Agreement. In the event of a conflict between the terms of this Agreement or any of its other exhibits, and the Federal Transit Funding Conditions, the Federal Transit Funding Conditions will control.
Section 4.22 Counterparts and Electronic Signatures
This Agreement and other documents to be delivered pursuant to this Agreement may be executed in one or more counterparts, each of which will be deemed to be an original copy and all of which, when taken together, will be deemed to constitute one and the same agreement or document, and will be effective when counterparts have been signed by each of the parties and delivered to the other parties. Each party agrees that the electronic signatures, whether digital or encrypted, of the parties included in this Agreement are intended to authenticate this writing and to have the same force and effect as manual signatures. Delivery of a copy of this Agreement or any other document contemplated hereby, bearing an original manual or electronic signature by facsimile transmission (including a facsimile delivered via the Internet), by electronic mail in “portable document format” (“.pdf”) or similar format intended to preserve the original graphic and pictorial appearance of a document, or through the use of electronic signature software will have the same effect as physical delivery of the paper document bearing an original signature.
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IN WITNESS WHEREOF, CITY and CONTRACTOR have executed this Agreement as of the date first above written.
ATTEST:
OLIVIA NASHED
City Clerk
APPROVED AS TO FORM:
JANICE D. MAGDICH, City Attorney
By: ____________ _
c.75Attachments:
Exhibit A - Scope of Services
Exhibit B - Fee Proposal
Exhibit C -Insurance Requirements
CITY OF LODI, a municipal corporation
STEPHEN SCHWABAUER
City Manager
ALL TOWING
By:�
Na�UTH
Title: Owner
Exhibit D - Federal Transit Funding Conditions (if applicable) Funding Sou.rce: J.QmJ004.72450
(Business Unit & Account No.)
Doc ID:
CA:Rev.04.2022.LT
ATTACHMENT A
SCOPE OF SERVICES
CITY shall compensate CONTRACTOR according to the Fee Proposal in Exhibit B for each recreational vehicle or camper trailer that is satisfactorily towed and dismantled at the request of CITY’s designee. This sum includes all labor, taxes and expenses. Recreational vehicle and camper trailer will be worded as “vehicle” throughout this exhibit.
CONTRACTOR shall be required to complete the following:
1. Upon the request of CITY’s designee, CONTRACTOR shall set a date and time for the tow to occur within one business day of the request.
2. CONTRACTOR shall tow and store the vehicle for no less than the minimum time prescribed by law prior to dismantling the vehicle.
3. CONTRACTOR shall arrange for the dismantling and disposal of said vehicle in accordance to Federal, State and local laws and ordinances.
4. CONTRACTOR shall provide CITY with an invoice and documentation of each vehicle that is towed and dismantled in accordance with this contract. Supporting documentation is required prior to payment by CITY. Documentation may include but is not limited to CHP 180, completed junk slip and photographs.
5. CONTRACTOR’s tow operators and tow trucks shall meet and abide by standards set forth in the Lodi Police Department Tow Contract, or if CONTRACTOR is not a contracted rotational tow, then by the standards of the most current CHP tow contract.
6. CONTRACTOR shall provide adequate security of vehicles at the place of storage.
At minimum, a fence or secure closed area shall be provided. CONTRACTOR is responsible for the reasonable care, custody and control of any property contained in the towed or stored vehicles.
CONTRACTOR shall agree not to sell or furnish the vehicle to another party through a lien sale and guarantees the dismantling and disposal of the vehicle.
This contract does not nullify the ability of CONTRACTOR to charge the vehicle owner tow and storage fees should the owner return to claim the vehicle. These fees shall match those established by CHP Stockton Office. When CONTRACTOR is compensated by the registered owner and the vehicle is released, CITY will not be responsible for additional fees or services.
In t
urn, CITY shall provide a completed junk slip at the time of each tow.
CITY shall pay CONTRACTOR within 30 days of receipt of invoice and disposal documentation.
Upon establishing a list of eligible CONTRACTORS, CITY shall create a rotational tow list for equitable distribution of calls.
FEE PROPOSAL
CITY shall compensate CONTRACTOR no more than $1,000 for each recreational vehicle or camper trailer under 24 feet in total length towed in accordance with this contract.
CITY shall compensate CONTRACTOR no more than $1,300 for each recreational vehicle or camper trailer over 24 feet in total length towed in accordance with this contract.
Contract shall not exceed $66,300.
ATTACHMENT B
NOTE: The City of Lodi is now using the online insurance program PINS Advantage. Once you have been awarded a contract you will receive an email from the City’s online insurance program requesting you to forward the email to your insurance provider(s) to submit the required insurance documentation electronically Insurance Requirements for Tow Contracts
Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the Contractor, his agents, representatives, employees or subcontractors.
MINIMUM SCOPE AND LIMIT OF INSURANCE
Coverage shall be at least as broad as:
1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than $1,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.
2. Automobile Liability: ISO Form Number CA 00 01 covering any auto or if Contractor has no owned autos, then hired, and non- owned autos with limit no less than $1,000,000 per accident for bodily injury and property damage.
On-hook coverage – insuring the vehicle in tow with limits based on the size of the tow truck. Class A tow truck $50,000
Class B tow truck $100,000
Class C tow truck $200,000
Class D tow truck $250,0 00
Garage liability – includes premises and operations. Coverage for bodily injury and property damage with the combined single limit of not less than $500,000.
Garage keepers liability – shall be the same minimum as on-hook coverage for vehicles in the care, custody, and control of the Tow Operator in the storage facility.
3. Workers’ Compensation: as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.
Other Insurance Provisions:
(a) Additional Named Insured Status
The City of Lodi, its elected and appointed boards, commissions, officers, agents, employees, and volunteers are to be covered as additional insureds on the CGL and auto policy with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Contractor’s insurance (at least as broad as ISO Form CG 20 10 11 85 or if not available, through the addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 if a later edition is used
(b) Primary and Non-Contributory Insurance Endorsement
The limits of insurance coverage required may be satisfied by a combination of primary and umbrella or excess insurance. For any claims related to this contract, the Contractor’s insurance coverage shall be primary coverage at least as broad as ISO CG 20 01 04 13 as respects the Entity, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the Entity, its officers, officials, employees, or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it.
(c) Waiver of Subrogation Contractor hereby grants to City of Lodi a waiver of any right to subrogation which any insurer of said Contractor may acquire against the City of Lodi by virtue of the payment of any loss under such insurance. Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City of Lodi has received a waiver of subrogation endorsement from the insurer
EXHIBIT C
NOTE: (1) The street address of the CITY OF LODI must be shown along with (a) and (b) and (c) above: 221 West Pine Street, Lodi, California, 95240; (2) The insurance certificate must state, on its face or as an endorsement, a description of the project that it is insuring.
(d) Severability of Interest Clause
The term "insured" is used severally and not collectively, but the inclusion herein of more than one insured shall not operate to increase the limit of the company's liability under the Contractors commercial general liability and automobile liability policies. (e) Notice of Cancellation or Change in Coverage Endorsement This policy may not be canceled nor the coverage reduced by the company without 30 days' prior written notice of such cancellation or reduction in coverage to the Risk Manager, City of Lodi, 221 West Pine St., Lodi, CA 95240. (f) Continuity of Coverage
All policies shall be in effect on or before the first day of the Term of this Agreement. At least thirty (30) days prior to the expiration of each insurance policy, Contractor shall furnish a certificate(s) showing that a new or extended policy has been obtained which meets the minimum requirements of this Agreement. Contractor shall provide proof of continuing insurance on at least an annual basis during the Term. If Contractor’s insurance lapses or is discontinued for any reason, Contractor shall immediately notify the City and immediately obtain replacement insurance. Contractor agrees and stipulates that any insurance coverage provided to the City of Lodi shall provide for a claims period following termination of coverage which is at least consistent with the claims period or statutes of limitations found in the California Tort Claims Act (California Government Code Section 810 et seq.). (g) Failure to Comply
If Contractor fails or refuses to obtain and maintain the required insurance, or fails to provide proof of coverage, the City may obtain the insurance. Contractor shall reimburse the City for premiums paid, with interest on the premium paid by the City at the maximum allowable legal rate then in effect in California. The City shall notify Contractor of such payment of premiums within thirty (30) days of payment stating the amount paid, the name(s) of the insurer(s), and rate of interest. Contractor shall pay such reimbursement and interest on the first (1st) day of the month following the City’s notice. Notwithstanding any other provision of this Agreement, if Contractor fails or refuses to obtain or maintain insurance as required by this agreement, or fails to provide proof of insurance, the City may terminate this Agreement upon such breach. Upon such termination, Contractor shall immediately cease use of the Site or facilities and commence and diligently pursue the removal of any and all of its personal property from the site or facilities. (h) Verification of Coverage
Consultant shall furnish the City with a copy of the policy declaration and endorsement page(s), original certificates and amendatory endorsements or copies of the applicable policy language effecting coverage required by this clause. All certificates and endorsements are to be received and approved by the City before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive the Consultant’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time. Failure to exercise this right shall not constitute a waiver of the City’s right to exercise after the effective date.
(i) Self-Insured Retentions
Self-insured retentions must be declared to and approved by the City. The City may require the Consultant to provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the named insured or City. (j) Insurance Limits
The limits of insurance described herein shall not limit the liability of the Contractor and Contractor's officers, employees, agents, representatives or subcontractors. Contractor's obligation to defend, indemnify and hold the City and its officers, officials , employees, agents and volunteers harmless under the provisions of this paragraph is not limited to or restricted by any requirement in the Agreement for Contractor to procure and maintain a policy of insurance. (k) Subcontractors
Consultant shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Consultant shall ensure that City is an additional insured on insurance required from subcontractors (l) Qualified Insurer(s)
All insurance required by the terms of this Agreement must be provided by insurers licensed to do business in the State of California which are rated at least “A-, VI” by the AM Best Ratings Guide, and which are acceptable to the City. Non-admitted surplus lines carriers may be accepted provided they are included on the most recent list of California eligible surplus lines insurers (LESLI list) and otherwise meet City requirements.
EXHIBIT C
RESOLUTION NO. 2023-____
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE
CITY MANAGER TO EXECUTE A THREE-YEAR PROFESSIONAL SERVICES
AGREEMENT FOR RECREATIONAL VEHICLE ABATEMENT SERVICES WITH
ALL TOWING, OF LODI
========================================================================
WHEREAS, in August 2019 , the Lodi Police Department Foundation started receiving donations to abate abandoned and nuisance recreational vehicles (RVs) that park in Lodi neighborhoods, including the eastside industrial area; and
WHEREAS, the Foundation received $9,000 in funding to reimburse the Police Department for expenses incurred from nuisance RV tows and destruction. The Police Department has removed and destroyed over 30 RVs; and
WHEREAS, the tow companies and the Lodi Police Department agreed on all -inclusive pricing and the agreements were created.
NOW, THEREFORE, BE IT RESOLVED that the City Council does hereby authorize the City Manager to execute a three-year Professional Services Agreement with All Towing, of Lodi, California, for recreational vehicle abatement, in an amount not to exceed $66,300.
Dated: February 1, 2023
========================================================================
I hereby certify that Resolution No. 2023-____ was pass ed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023 by the following vote:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-____
AGENDA ITEM C-08
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute Tow Service Contract for Police Rotational Towing Services with All Towing of Lodi, California.
MEETING DATE: February 1, 2023
PREPARED BY: Chief of Police
RE
COMMENDED ACTION: Adopt resolution authorizing City Manager to execute Tow Service Contract for police rotational towing services with All Towing of Lodi, California.
B
ACKGROUND INFORMATION: The Lodi Police Department maintains a rotational towing company list to respond to requests by the department that includes: impounded vehicles for investigative purposes as evidence in a
criminal case, vehicles involved in accidents or other emergency situations, impound tows for suspended/unlicensed drivers, abandoned or inoperative vehicles, and any other tows requested by police personal.
T
he previous agreement was approved by Council in 2014 and was written as an evergreen contract with set hourly, storage, and gate fee pricing. This set pricing has made it difficult for towing contractors to operate with the increase costs of fuel, insurance, and staffing costs. In order to mitigate the problem of rates that will not cover costs and the probability of losing tow contractors that meet the response requirements the department has adopted the California Highway Patrol, Stockton CHP Office rates.
These rates are established annually and will better reflect any changes in haulers costs.
A
t this time, we are adding an additional tow agreement with All Towing.
F
ISCAL IMPACT: Towing costs included in the 22/23 budget. No additional funding needed.
FUNDING AVAILABLE: Support Services Misc. Professional Services – 10031004.72450 ______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
_______________________ _______________
Sierra Brucia
Chief of Police
CITY OF LODI
LODI POLICE DEPARTMENT
TOW SERVICE CONTRACT
This Tow Service Contract, hereinafter referred to as (“Contract”), is entered into this _________day of December, 2022 (“Effective Date”) , at Lodi, California, between the CITY OF LODI, a municipal corporation (“City”) and Michael James Freiermuth Jr. doing business as ALL TOWING, (“Tow Operator”).
This Contract contains rules and regulati ons that a company providing tow services within the City agrees to comply with in order to receive a rotation tow listing with the Lodi Police Department (LPD). For clarif ication purposes, refer to the following which are incorporated as though fully set forth herein:
1. Attachment A – Definitions
2. Attachment B - Operator/ Driver Permits
3. Attachment C – Lodi Insurance Requirements
1. SCOPE OF SERVICES
Any tow service provider desirous of participating in the City-generated tow rotation may apply to be included on the City’s tow rotation list by obtaining a copy of these standards and submitting the required form acknowledging that the provider has reviewed the standards and shall fully comply with the sta ndards as a condition of being placed on the tow rotation list.
These standards shall become effective at 12:01 a.m. on January 1, 2020. In no event shall a provider’s participation in the tow rotation and compliance with these standards give rise to any contractual or legal obligation on the part of the City to continue the tow rotation for any fixed period of time, or at all. The rotation and/or the City’s use of the provider’s services may be discontinued by the City at any time. Any tow service provider who requests to be included in the City-generated tow rotation acknowledges that the City, at its sole discretion, reserves the right to cancel the rotation and/or discontinue the use of the pr ovider’s services by giving ad vanced written notice of its intent 30 days prior to the effective date of the cancellation. The provider further acknowledges that under certain circumstances sp ecified in these standards, the City may forgo the 30-day notice requirement and impose an immediate suspension or termination, and that upon exercising its di scretion as provided in these st andards, the City shall incur no liability of any kind to the provider or any subcontractor or supplier of the provider.
The City reserves the right, in is sole discretion, to amend these standards from time-to-time as it deems necessary to provide effective, efficient, and economical service to the motoring public and the citizens of Lodi. In the event the City desires to amend these standards, the City shall furnish providers participating in the rotation with advanced written no tice of the amendment(s) a minimum of 30
days prior to the effective date of the amendment(s), except in the event of an emergency as deemed necessary by City.
In accordance with the specifications and upon the terms and conditions set forth herein, each tow service provider participating in the rotation shall provide tow services and subsequent lien sales and disposal of unclaimed vehicles towed at the City’s request. The services shall include, but not be limited to, the following:
A. Tows of vehicles impounded by the City for investigative purposes, as evidence in a criminal case, or for any other reason;
B. Tows of vehicles involved in accidents or other e mergency situations, stalled vehicles obstructing traffic, illegally parked vehicles, vehicles where the drivers are incapacitated or physically unable to drive, vehicles where the drivers have been arrested and/or detained, vehicles impounded under the mandatory 30- day impound provisions of California Vehicle Code (CVC) section 14602.6, and/or vehicles with five or more outstanding parking citations;
C. “VIN” tows of vehicles necessitating special procedures to ascertain vehicle identification numbers in compliance with requirements of the CVC;
D. Tows of any abandoned vehicle, inoperative vehicle from any street, alley, highway, or other private or public property in the City pursuant to Sections of the Lodi Municipal Code and CVC section 22669; and
E. Any other vehicular tows requested by any police officer, police employee, or any other employee or agent of the City who is properly authorized to order such removal.
2. ROTATION LISTS
A. The LPD shall maintain a rotational tow list to establish an equitable distribution of calls.
B. The rotational tow list will be established as follows:
(1) Each eligible tow company will be placed on a list. (2) Each company will rotate on a call-by-call basis.
(3) If a company fails to respond to a call in a timely manner, the next com pany on the list will be called until one company responds.
(4) Any new eligible tow companies will be placed on the list by seniority. A new company will not be added until the Tow Operator furnishes the LPD with proof of passing a C alifornia Highway Patrol (CHP) inspection. Tow Operators applying for the LPD’s rotation shall have a minimum of three years of verifiable for hire towing experience as an owner or principal , named on a City of Lodi business license . Any new eligible tow company will not be added until the expiration of this Contract.
(5) There shall be a maximum of five Class A tow companies on the LPD rotation list.
(6) A copy of the current valid CHP inspection indicating a passing grade must be carried with each truck that responds to LPD tows. This inspection sheet will be made available to any peace officer on demand.
C. If it is determined that the Tow Operator is not needed and is canceled by the LPD, up to and including arrival at the scene, there shall be no charges to the City and the Tow Operator will be placed back on the top of the list.
(1) If hookup or service has begun and is canceled by the vehicle owner or agent, charges owed shall be no more than the regular towing charge. (2) A call to a Tow O perator shall constitute one turn on the list and the Tow Operator shall be moved to the bottom of the list. This includes when the Tow Operator fails to answer the phone, is unable to respond, is unable to perform the required service, refuses to respond or provide service, or is canceled due to excessive response time.
(3) Beginning with this contract, any Tow Company called by LPD for a San Joaquin County Sheriff’s Department tow will be charged for a rotation call. We will keep track of calls initiated by the Sheriff’s Office. (4) Any passes will result in the Tow Operator being moved to the bottom of the list.
D. Rotational tows shall include rotational obligation for abandoned vehicles, and providers shall not refuse any rotational calls. If a provider develops a pattern of declining their turn on the r otation list, they will be considered as evidence of the provider’s inability or unwillingness to provide adequate service as required by these standards and shall result in the provider’s suspension or termination from the rotation.
The Chief of Police, in his sole discretion, shall determine whether a provider is incapable of providing the level of service required by these standards.
E. If two or more Tow O perators are called to the same incident, distribution of the vehicles shall be at the discretio n of the LPD scene manager. The scene manager will usually be the investigating officer or traffic control officer.
(1) The LPD scene manager may direct a Tow O perator to move vehicles to help clear a roadway or for life saving operations. The Tow Operator shall provide the requested assistance at no charge. Failure to do so shall constitute a major violation of these standards and may cause the provider to be suspended and/or terminated from the rotation.
(2) In the interest of public safety and/or service to the public, any peace officer or employee directed so by any peace officer may deviate from this contract and normal rotation.
3. TOW TRUCK CLASSIFICATIONS
A. A Tow Operator shall equip and maintain tow trucks covered under this contract in accordance with the provisions set forth in the CVC and consistent with industry standards and practices. You must meet the provisions of Class A to be on the LPD rotation list. Nothing shall prohibit Class B, C, or D Tow O perators from maintaining a place on a lighter class rotation list.
B. There will be four classes of tow trucks covered under this agreement.
(1) Class A – light duty. A Tow O perator shall maintain a minimum of two tow trucks with a manufacturer’s gross vehicle weight rating of 14,000 pounds. One of two trucks shall be a car carrier.
(2) Class B – medium duty. A Tow Operator shall maintain at least one tow truck with a manufacturer’s gross vehicle weight rating of 19,000 pounds. This truck shall be capable of providing air to the towed vehicle. (3) Class C – heavy duty. A Tow Operator shall maintain at least one (1) three axle tow truck with a manufacturer’s gross vehicle weight rating of at least 33,000 pounds. The truck shall be equipped with air brakes and must be capable of providing air to the towed vehicle.
(4) Class D – super heavy duty. A Tow Operator shall maintain at least one (1) three axle tow truck with a manufacturer’s gross vehicle weight rating of at least 50,000 pounds. The truck shall be equipped with air brakes and must be capable of providing air to the towed vehicle.
(5) A Tow Operator and/or his/her tow truck drivers shall comply with all laws and requirements regarding gross vehicle weight rating standards for the tow truck.
C. To properly and safely tow and service the wide variety of vehicles to be operated on the highway, a towing procedure may require the use of auxiliary equipment specifically designed for the purpose. This auxiliary equipment should be used when recommended.
D. Each tow vehicle must be identified with permanent signs on both sides of the vehicle, clearly showing the Compan y name, address, phone number, and, if applicable, current C alifornia Motor Vehicle Permit Numbers. Magnetic signs will not be allowed. The signs will be permanently affixed and in compliance with the requirements of section 27907 of the CVC.
4. TOW DRIVERS
A. The Tow Operator shall ensure that only qualified and competent licensed tow drivers respond to calls initiated by the LPD. Tow drivers shall be at least 18 years old and possess the following minimum class California driver’s license:
(1) Class A tow truck. A valid Class C license or a valid Class A license with a valid medical certificate.
(2) Class B tow truck. A valid Class B license with a valid medical certificate. (3) Class C tow truck. A valid Class A license with a valid medical certificate. (4) Class D tow truck. A valid Class A license with a valid medical certificate.
B. The Class A license must be endorsed to allow operation of special vehicle configurations and/or special cargoes.
C. The Tow Operator shall maintain a current list of drivers.
(1) The Tow Operator shall provide a current list of his/her drivers to the LPD upon the Effective Date of this agreement. The Tow O perator shall notify the LPD
upon any change in driver status, including the addition of any new drivers, or the deletion of any drivers. An updated list shall be provided to the LPD within seven calendar days of any change in driver status.
(2) Tow Operators shall, as a minimum, maintain the following information for each employee:
(A) Full legal name;
(B) Date of birth;
(C) California driver license number;
(D) Current home address and primary phone number;
(E) Job title/description;
(F) Types of trucks driver has been trained and instructed to operate; (G) Copy of valid medical certificate, if required; and (H) Current Pull Notice as required by the CVC.
D. All tow truck drivers and owner/operators shall be enrolled in the pull notice program through the Department of Motor Vehicles.
(1) Upon the addition of new drivers, a Tow Operator will be granted a maximum of 30 days to enroll drivers in the pull notice program.
(2) Pull notices shall be kept on file, signed, and dated by the Tow Operator. (3) The Tow Coordinator may require a Tow O perator to provide copies of pull notice reports at anytime.
(4) All tow drivers at the scene of an LPD tow will be required to wear a button up shirt with a logo signifying the tow company, and a name patch identifying the first name of the driver. Coveralls may be worn, and shorts are acceptable. (5) No unauthorized persons shall be brought to the scene of an LPD tow, such as friends, relatives, etc.
(6) All tow drivers and personnel authorized to operate tow equipment for the company shall be enrolled in a random drug and alcohol testing program administered by Central Medical Review of Lodi.
(7) LPD Rotation Tow drivers shall wear a safety vest, meeting Occupational Safety and Health Administration (OSHA) requirements, as the outermost garment while engaged in LPD Rotation Tow operations.
Alternatively, the OSHA safety requirements may be incorporated into the uniform, jacket, or rain gear as long as these items are worn as the outermost garment.
(8) LPD Rotation Tow drivers will wear their LPD issued permits on the outer most clothing during any and all responses to LPD rotation call outs.
E. It shall be a violation of this contract for any person to drive or operate a tow truck as described in CVC section 615a without first obtaining a permit in writing to do so from the Chief of Police of the City of Lodi (Attachment B).
5. RATES
A. Fees charged for response calls originating from the LPD shall be reasonable and will not exceed rates established by the CHP Stockton Office by more than 10%.
(1) Tow Owner/Operators may request a review of rates once per calendar year by submitting a written request to the LPD. The City Council reserves the right to change the fees from time- to-time, and agrees to provide no less than a 30-day notice to Tow Operators of any change in fees.
B. The rate for towing shall be computed from portal -to-portal from place of business.
The time expended for towing up to the first hour shall be charged a flat rate not to exceed the hourly rate. Time expended in excess of one hour shall be at an hourly rate and shall be charged in 15- minute increments. There sh all be no additional charges for mileage, labor, etc. The secondary towing requested by the customer may be negotiated by the Tow Operator in accordance with his/her private business practices.
C. Rates for service calls (out of gas, lockout, etc.) shall be from portal to the end of the service, and may be at an hourly rate with a 30- minute minimum. Charges in excess of 30 minutes may be charged in 15-minute increments.
D. The total fees charged for after -hours release shall be no more than half the hourly rate, and shall only be allowed if there is no person on duty at the storage facility for release and a callback is required. After -hours release fees may only be charged between 6:00 p.m. and 8:00 a.m.
E. Business hours and an after -hours release contact pho ne number shall be posted in plain view to the public.
F. The Tow Operator and/or his/her agent is required to be physically on site at the business location during normal business hours.
G. The Tow Operator shall display , in plain view at all cashier’s statio ns, a sign described in section 3070 of the California Civil Code disclosing all fees and charges in force.
H. The Tow Operator shall, pursuant to 22651.1 CVC , accept a valid bank credit card or cash payment of towing and storage by the registered owner, legal owner, or owner agent claiming the vehicle.
I. All tow companies SHALL release vehicles or personal property 24 hours a day, seven days a week. They shall be compensated at their after -hours rate if the time of day allows.
J. S
torage fees.
(1) The Tow Operato r shall charge storage fees in accordance with the fees established by the Stockton CHP Office.
(2) The Tow Operator shall be allowed to charge an additional storage fee of $50 per day and will be billed as a Lodi Safety Charge. This charge will apply to L PD ROTATION CALLS ONLY. This charge is to defray the costs to the Tow Operator to comply with Attachment C of this contract
K. Vehicles stored for 24 hours or less shall be charged no more than one day’s storage.
Each day thereafter shall be calculated by calendar day.
L. The schedule of rates charged by the Tow Operator shall be made available in the tow truck upon demand to the persons for whom the tow services were provided or to his/her agent.
M. The Tow Operator shall provide tow service to any LPD vehicle within the city limits or ten miles of the city limits at no cost to the C ity. This shall include towing the vehicle to the City ’s Municipal Service Center (MSC) or designated repair shop, the changing of a tire, refueling of a vehicle, or starting a vehicle.
N. Vehicles towed to the LPD or MSC for investigative purposes and the recall for the transportation of the vehicle to the tow facility for storage shall be considered one tow service. The recall for removal of the vehicle shall not be considered a rotational tow, thus the Tow Operator shall not lose their position on the rotation list.
6. RESPONSE TO CALLS
A. T
he Tow Operator shall respond to LPD calls 24 hours a day, seven days a week, with a maximum 30 minutes response time. The Tow O perator will advise the LPD dispatcher, at the time of notification, if they are either unable to respond or unable to meet the maximum response time. After accepting the call, if the Tow Operator is unable to respond or will be delayed in responding, the Tow Operator shall immediately notify the LPD Communications C enter. The Tow Operator shall not assign calls to other Tow Operators. If the Tow Operator is unable to respond or unable to meet the maximum response time they shall forfeit their turn on the rotation list.
(1
) Failure to respond and/or failure to meet the maximum response time requirements shall constitute failure to comply with the terms and conditions of this contract.
(2) The Tow C oordinator may take immediate disciplinary action for any major violation of the requirement to respond within the maximum response time. (3) When a Tow Operator will be temporarily unavailable to provide services due to a pre-planned/scheduled activity, e.g., vacation, maintenance, medical leave, etc., he/she shall notify the LPD in writing, at least 24 hours prior to the date that service will be unavailable, noting the times and dates. (4) Any refusal to respond or to perform the required towing service will subject the Tow Operator to suspension or termination if deemed appropriate by the LPD.
B. Tow trucks shall be equipped with two- way radio communication and shall have a 24-hour dispatch capability. Mobile phones will be acceptable in lieu of a two -way radio.
C. A Tow Operator shall not respond to a n LPD call assigned to another operator unless requested to do so by the LPD.
(1) There may be times when a Tow Operator who was not called to the scene comes upon a collision where a vehicle (s) is blocking a roadway , and an LPD officer requests his/her assistance in clearing the roadway. In such a case, the Tow Operator may be requested to move the vehicle to a safe location, as directed by the officer, and leave it. There shall be no charge for this assistance, and the assistance provided shall not change the Tow O perator’s place in the rotation.
Refusal to provide such services shall constitute a major violation of these standards and may cause a provider to be suspended and/or terminated from the rotation.
(2) Under no circumstances may the Tow Operator or his/her agent of the tow company, solicit b usiness while at the scene of a collision or while performing any service for the LPD.
(3) Any company passing more than three calls in a 30-day period will be subject to disciplinary action.
7. STORAGE FACILITY
A. The Tow Operator shall p rovide adequate security of vehicles and property at the place of storage. At a minimum, a fence or a secure closed area shall be provided.
The LPD may modify security requirements when necessary to coincide with existing conditions. The Tow Operator is responsible for the reasonable care, custody, and control of any property contained in the towed or stored vehicles.
B. The Tow Operator shall release personal property from the vehicle at the request of the vehicle owner or his/her agent.
(1) Personal property is considered to be items which are not affixed to the vehicle.
C. Tow Operators shall maintain their business office and storage facility within the city limits of Lodi.
D. The storage facility shall be at the same location as the business address. No two tow companies shall share the same storage facility under the same physical address. The vehicle and personal property shall be released at the storage facility at the request of the owner , or a person having a legal entitlement to the vehicle , with a wri tten or verbal authorization to the Tow Operator by an LPD official.
Upon such request, the Tow Operator shall advise the need of the written or verbal authorization. During non- business hours upon receiving notification of a request for property or vehi cle release, the requested company shall respond to their facility within one hour. Normal after -hours gate fees apply even if it is determined that official LPD permission has not been granted upon arrival to the facility.
(1) If the LPD requires access to a Tow O perator’s storage facility after normal business hours, the service shall be made at no charge.
E. The Tow Operator shall provide inside storage for a minimum of three spaces.
F. All tow trucks, offices, and storage yards will be kept in a neat, clean, and orderly fashion as determined by the LPD Tow Coordinator.
G. Expensive car stereo equipment or other devices added to the vehicle may be removed from a stored vehicle for security reasons, but must be replaced to its original condition at the Tow Operator’s expense.
8. INSURANCE
INDEMNITY AND INSURANCE.
A. I
ndemnification : Except to the extent caused by the willful or intentional misconduct of City or of any agent, servant, or employee of City, Tow Operator shall, at its sole cost and expense, indemnify and hold harmless City and all associated, affiliated, allied, and subsidiary entities of City, now existing or hereinafte r created, and their respective elected officials, officers, boards, commissions, em ployees, agents, attorneys, and contractors (he reinafter referred to as “ Indemnities”), from and against:
(1) Any and all liability, obligation, damages, penalties, claims, liens, costs, charges, losses, and expenses (including, without limitation, reasonable fees and expenses of attorneys, expert witnes ses, and consultants), which may be imposed upon, incurred by , or be asserted against the Indemnities by reason of any act or omission of Tow Operator, its personnel, employees, agents, contractors , or subcontractors, resulting in personal injury, bodily injury, sickness, disease , or death to any person or damage to, loss of or destruction of tangible or intangible property, libel, slander, invasion of privacy , and unauthorized use of any trademark, trade name, copyright, patent, service mark , or any othe r right of any person, firm , or corporation, to the extent arising out of or resulting from Tow Operator’s performance of work hereunder or Tow Operator’s failure to comply with any of its obligations contained in this Contract or any applicable federal, state or local statute, ordinance, or regulation.
(2) Any and all liabilities, obligations, damages, penalties, claims, liens costs, charges, losses, and expenses (including, without limitation, reasonable fees , and expenses of attorneys, expert witnesses , and other consultants), which are imposed upon, incurred by , or asserted against the Indemnities by reason of any claim or lien to the extent arising out of Tow Operator’s performance of work hereunder, and, upon the prior written request of City, Tow Operator shall cause such claim or lien covering City's property to be discharged or bonded within 30 days following such request.
B. D
efense of Indemnities: In the event any action or proceeding shall be brought against the Indemnities by reason of any matter for which the Indemnities are indemnified here under, Tow Operator shall, upon reasonable prior written notice from any of the Indemnities, at Tow Operator’s sole cost and expense, resist and defend the same with legal counsel mutually selected by Tow Operator and City; pro- vided however, that Tow Operator shall not admit liability in any such matter or on behalf of the Indemnities without the written consent of City, which consent shall not
be unreasonably withheld or delayed, and provided further that the Indemnities shall not admit liability for, nor enter into any compromise or settlement of, any claim for which they are indem nified hereunder, without the prior written consent of Tow Operator. The indemnifying party's duty to defend shall begin upon re ceipt of a written notice identifying, with specificity, the allegations that give rise to this duty to defend and shall be co -extensive with the indemnifying party's indemnification obligations under the provisions of this Contract.
C. N
otice, Cooperation a nd Expenses:
(1) City shall give Tow Operator prompt notice of the making of any claim or the commencement of any action, suit or other proceeding, including administrative, covered by the provisions of this paragraph. Nothing herein shall be deemed to pre vent City from co operating with Tow Operator and participating in the defense of any litigation by City’s own counsel. Tow Operator shall pay all reasonable expenses (attorney’s fees and costs) incurred by City in response to any such actions, suits , or proceedings. These expenses shall include all reasonable out -of-pocket expenses such as reasonable attorney’s fees and shall also include the reasonable value of any services rendered by City’s in -house attorney, and the actual reasonable expenses of City’s agents, employees , or expert witnesses, and disbursements and liabilities assumed by City in connection with such suits, actions -or proceedings but shall not include attorney’s fees for services that are unneces- sarily duplicative of services provided City by Tow Operator.
(2) If Tow Operator requests City to assist it in such defense, then Tow Operator shall pay all reasonable expenses incurred by City in response thereto, including defending itself with regard to any such actions, suits or proceedings. These expenses shall include all reasonable out -of-pocket expenses such as attorney’s fees and shall also include the reasonable costs of any services rendered by City’s in -house attorney, and the actual reasonable expenses of City’s agents, employ ees, or expert witnesses, and disbursements and liabilities assumed by City in connection with such suits, actions , or proceedings.
D. Insurance: Refer to Attachment C – Lodi Insurance Requirements
E. A dditional Insured: All policies, except for business inter ruption and workers compensation policies, shall be endorsed to name City of Lodi, its elected and appointed Council, Boards, Commissions, Officers, Agents, Employees, and Volunteers, as their respective interests may appear as additional insureds (herein referred to as the “Additional Insureds”). Each policy which is to be endorsed to add Additional Insureds hereunder, shall contain cross-liability wording, as follows:
“In the event of a claim being made hereunder by one insured for which another insur ed is or may be liable, then this policy shall cover such insured against whom a claim is or may be made in the same manner as if separate policies had been issued to each insured hereunder.”
F. E vidence of Insurance : Certificates of Insurance and Additiona l Insured Endorsements for each insurance policy required to be obtained by Tow Operator in compliance with this paragraph, along with written evidence of payment of required premiums shall be filed and maintained with City annually during the term of thi s Contract. Tow Operator shall immediately advise City in writing of any claim or litigation that may result in liability to City or arises out of any City related tow. City shall immediately advise Tow Operator in writing of any claim or litigation that may result in liability to Tow Operator.
G. C
ancellation of Policies of Insurance : All insurance policies maintained pursuant to this Lease shall contain the following endorsement:
“A
t least thirty (30) days prior written notice shall be given to City by the insurer of any intention not to renew such policy or to cancel, replace or materially alter same, such notice to be given by registered mail to the parties named in this paragraph of the Lease.”
H. I
nsurance Companies : All insurance shall be affected under valid and enforceable policies, insured by insurers licensed to do business by the State of California or surplus line carriers on the State of California Insurance Commissioner’s approved list of companies qualified -to-do business in the State of California. All insurance carriers and surplus line carriers shall be rated A+ or better by A.M. Best Company.
I. D
eductibles : All insurance policies may be written with deductibles. Tow Operator agrees to indemnify and save harmless City, the Indemnities and Additional Insureds from and against the payment of any deductible and from the payment of any premium on any insurance policy required to be furnished by this Contract.
J. P rimary Insurance: The policy shall be endorsed to show the Tow Operator’s insurance as primary to that of any carried by City.
K. R
eview of Limits : Once each calendar year during the term of this Contract , City may review the insurance coverage to be carried by Tow Operator. If City reasonably determines that higher limits of coverage are necessary to protect the interests of City or the Additional Insureds, Tow Operator shall be so notified in writing and shall obtain the reasonable additional limits of insurance, at its sole cost and expense.
Deductibles in excess of ten thousand dollars $10,000 shall be secured by a bond of equal amount.
9. INSPECTIONS
A. The LPD recognizes that Tow Operators are subject to not less than one annual inspection of all tow trucks by the CHP . Therefore; Tow Operators shall, upon completion of the yearly CHP inspection, furnish the LPD with a copy of the results of that inspection. The Tow Operator shall not respond with a tow truck to a LPD call that has not been inspected and approved by the CHP and the LPD.
(1) A copy of this inspection shall be available inside the tow truck at all times.
B. The LPD may conduct additional inspections with or without notice during normal business hours of the Tow Operator.
10. BUSINESS RECORDS
A. The Tow Operator shall maintain records of tow services furnished, including a description of vehicle, nature of service, time, location of call, and total itemized costs of towing and storing. The LPD may inspect all Tow Operator records with or without notice during normal business hours.
B. Records shall be maintained and available for inspection upon reasonable request for a period of the current year and previous two years.
11. FINANCIAL INTEREST
A. No Tow Operator or applicant shall be directly or indirectly involved in the towing related business of any other Tow Operator or applicant within the same city.
Directly involved shall mean anything in common between Tow Operators or applicants with regards to any of the following:
(1) business license;
(2) insurance;
(3) tow truck(s) or equipment ownership; or
(4) employees.
B. Indirectly involved shall include:
(1) silent partnerships.
C. The sale or transfer of controlling interest in the company shall immediately terminate this Contract without cause. The new owners may apply for rotation tow listing on the next contract. Any sale or transfer of less than controlling interest in a company shall be subject to the provisions of this contract. No City employee, spouse or immediate family member may have a financial interest in a tow company on the rotation list.
12. ANNUAL MEETINGS
A. The LPD, at its discretion, may conduct meetings to discuss issues concerning the tow rotation list, service, or contract. When called, these meetings shall be mandatory for the Tow Operator or his/her designee. The LPD shall give the Tow Operator a 30 -day written notice of these meetings. Failure to attend or provide reasonable excuse shall constitute a breach of this Contract.
13. COMPLIANCE WITH LAW
A. The Tow Operator shall at all times comply with federal, state, and local laws and ordinances applicable to the Tow Operator, his equipment, and employees.
B. The Tow Operator shall have a current, valid City of Lodi business license at the time of the award of the franchise and at all times during the term of this Agreement. All fees, including current or delinquent, must be paid in full. All Tow Operators, drivers, and employees will comply with all Federal and State laws along with City of Lodi ordinances and zoning requirements.
C. In the event of a traffic violation committed by the tow truck driver , which is observed by the LPD, the Tow Operator shall be advised of the violation(s) and any enforcement action taken. The Tow Operator shall take necessary steps to ensure that its drivers are in compliance with the law. Any subsequent traffic violation(s) may be cause for disciplinary actio n against the Tow Operator and/or the involved employee(s).
D. Any traffic violation as defined in CVC , Division 11, that occurred during actual operation of a motor vehicle may be cause for immediate disciplinary action against the Tow Operator and/or the involved employee as appropriate.
D. The provisions contained in this Contract , Compliance with Law, do not preclude the LPD from taking appropriate enforcement or administrative action for any violation(s) of law.
14. DEMEANOR AND CONDUCT
A. While involved in a LPD rotation tow operation or related business, the Tow Operator and/or his/her employees shall refrain from any act of misconduct, to include, but not be limited to, any of the following:
(1) Rude or discourteous behavior to the public or any public official. (2) Lack of service or refusal to provide service to the public. (3) Any act of sexual harassment or sexual impropriety. (4) Unsafe driving practices.
(5) Exhibiting any objective symptoms of alcohol and/or drug intoxication or impairment.
(6) Appearing at the scene of an LPD rotation tow call with the odor of an alcoholic beverage or controlled substance on his/her breath or person. (a) The Tow Operator/tow truck driver shall submit to a preliminary drug/alcohol screening test upon demand of any LPD official.
15. COMPLIANCE WITH CONTRACT
The Tow O perator agrees that as a condition of inclusion on the rotation tow list, to comply with the terms and conditions of this C ontract. Furthermore; the Tow Operator agrees that failure by the Tow Operator or his/her agents to comply with these terms and conditions shall be cause for written reprimand, suspension, or termination from the LPD’s rotation tow list. Alleged violations of the tow service contract will be investigated by the LPD. The Tow Operator will be notified of the LPD’s findings within 90 days of the initiation of the investigation.
16. DISCIPLINARY ACTION
A. The LPD shall use the following as a guide for disciplinary action against Tow Operators for violations investigated and found to be true. This is only a guide, with the Chief of Police of the LPD retaining discretion for other justifiable reasons. (i.e. criminal offenses, rudeness, discredit to the LPD, etc.)
(1) First violation - written warning.
(2) Second violation within 12 consecutive months – 30- day suspension from the rotation tow list.
(3) Third violation within 12 consecutive months – 90- day suspension from the rotation tow list.
(4) Fourth violation within 12 consecutive months – termination from the rotation tow list for the current year plus disqualification for th e following year rotation tow contract.
(a) A violation shall be understood as any single infraction of this contract.
However, based on an investigation, and at the discretion of the Tow Coordinator, lieutenant in charge, or Chief of Police, multiple infract ions may be considered as a single incident. A single incident may be disciplined as a violation.
B. Violations shall be purged after 36 months and subsequent violations will be re - numbered accordingly.
C. Nothing herein shall be deemed to prohibit the LPD from immediately suspending any Tow Operator whose conduct is deemed, in the sound discretion of the Chief of Police, to be a danger to the motoring public or who has engaged in conduct constituting a major violation of the LPD tow service contract.
17. HEARING/APPEAL
D. In the event that the LPD serves the Tow Operator with a written reprimand or suspension or termination , the Tow O perator may request a hearing within five calendar days by submitting a request in writing to the Chief of Police. If a hearing is requested, it shall be held as soon as practical. The hearing shall be conducted by the Chief of Police or his/her designee. The Tow Operator shall be entitled to present all relevant facts and circumstances in support of his/her position. The Tow O perator shall be further entitled to present testimony of at least one representative of a tow truck association or other qualified person. The Tow Operator shall be notified in writing of the decision of the Chief of Police within 30 calendar days of the date of the hearing.
E. A suspension or termination shall not take effect until the hearing and administrative appeals process has been exhausted, with the exception of Tow Operators whose conduct is deemed to be a danger to the motoring public or whose conduct is a gross , major, serious) violation of the terms and conditions of this contract. If a Tow Operator fails to request a hearing or appeal within the specified time, or fails to appear at a scheduled hearing or appeal, the action taken by the Chief of Poli ce shall be final, and the suspension or termination shall take effect upon written notification
to the Tow Operator by the Chief of Police. Appeals to the court shall not stay the Chief’s decision.
18. REINSTATEMENT TO THE ROTATION TOW LIST
A. Whenever a Tow Operator is removed from the rotation tow list for any reason, or has completed the term of suspension, and the Chief of Police or his/her designee is satisfied that continued compliance will be maintained, the Tow Operator shall schedule a facility and truck inspection with the LPD Tow Coordinator. Upon passing the inspections, the Tow Operator shall be restored to the rotation tow list at the beginning of the next calendar month.
19. CANCELLATION
A. This agreement may be cancelled by either party, without prejudice, by giving a thirty (30) day written notice to the other party.
20. APPROVAL SPECIFICATIONS
A. Tow Operator shall submit a rate sheet to the LPD Tow Coordinator for approval.
21. TOW OPERATOR’S UNDERSTANDINGS
The undersigned Tow Operator agrees that as a condition to inclusion on the rotation tow list of the LPD, he/she shall comply with these rules and regulations. Furthermore, the undersigned agrees that any failure to comply with these rules and regulations by him/her or anyone acting as his/her agent shall be cause for immediate removal from the LPD rotation tow list upon notification by the Chief of Police.
I certify that I have read and understand this C ontract, including all attachments, and agree to abide by all the provisions. I further agree to indemnify, defend, and save harmless the City of Lodi, its elected officials, officers, agents , and employees from any and all claims and losses accruing or resulting to the Tow Operator in connection with the performance of this C ontract, and from any and all claims and losses accruing or resulting to any person, firm, or corporation who may be injured or damaged by the Tow Operator in the performance of this C ontract. The Tow Operator, and the agents and employees of the Tow Operator, in the performance of this C ontract, shall act in an independent capacity and not as officers, employees, or agents of the City of Lodi.
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DEFI
NITIONS
L.P.D. and Lodi Police Department are synonymous
Operator, tow operator, and tow company are synonymous
C.H.P and California Highway Patrol are synonymous
C.V.C and California Vehicle Code are synonymous
APP
EAL
T
he final level of review for pending disciplinary action.
CALL
FOR SERVICE
Th
e request made by the L.P.D. dispatch center to an operator to respond to a location as given by the dispatch center. The call for service begins when the call is received by the operator until the operator is relieved from the call for service by a L.P.D. official or secures the received motor vehicle in its storage facility.
FO
R HIRE TOWING EXPERIENCE
E
xperience where the operator has owned and operated tow trucks for the purposes of rendering aid to motorists in the field of towing and road service or assisted a public agency in the towing and recovery of motor vehicles and where a fee for services was charged.
HE
ARING
T
he process of appeal in which the operator meets with the Chief of Police, at his arrangement of an appointment, after submitting a written request within seven days of receiving any form of discipline.
OP
ERATOR
R
efers to the company, its owners, and its managers who have authority to enter into a contract with the L.P.D. for towing services and to conduct business in accordance with the terms of this contract and its employees.
OW
NER/AGENT
An
y person having legal entitlement to authority.
PO
RTAL TO PORTAL
Ser
vice shall start at the time of departure from the place of business or point of dispatch, whichever is closer to the location of the call, and shall end at the estimated time of return to the
ATTACHMENT A
place of business or the completion of the call, if another call is pending, whichever is shorter.
Return to place of business includes a reasonable and verifiable amount of time required to place the tow truck back into service when unusual circumstances require additional time that are not part of normal operating procedures. For the purposes of this contract, “portal to portal” shall also mean “portal to end of service.”
POSSESSION
Pursuant to section 3068 of the Civil Code, possession is deemed to arise when the vehicle is removed and is in transit.
RESPONSE TIME
The period of time from an operator’s notification by the L.P.D. dispatch center of a call for service of the arrival of the tow truck at the location requested.
RETAIL RATE
The usual customary retail rate charged by an operator to individual retail customers.
This is the competitive rate a company has posted in the office and quotes over the phone.
ROTATION TOW LIST
A listing formed of the eligible operators successful in meeting the requirements of the tow service contract. Each operator on the list is sequentially rotated through on an as needed call for service basis. The list will show the L.P.D. case number of the call assigned to the operator. If an operator is passed losing a turn at rotation, the list will show no case number and a marking identifying the rotation loss.
RULES AND REGULATIONS
The guidelines by which an operator agrees to comply with to conduct business with the L.P.D. and when representing the L.P.D. on calls for service. Rules and regulations may also be referred to as terms and conditions.
SUSPENSION
Removal of an operator from the L.P.D. ’s rotation tow list for a specified period of time.
Suspensions may be for periods longer than the current term of the contract.
TERMINATION
Permanent removal of a tow operator from the L.P.D.’s rotation tow list for the remainder of the term of the Tow Service Contract and disqualification from any further participation in the L.P.D.’s rotation tow program.
ATTACHMENT A
TERMS AND CONDITIONS
See Rules and Regulations.
TOW TRUCK
A tow truck as defined in section 615 of the California Vehicle Code. Also includes slide back carriers and wheel lift vehicles.
TOW SERVICE CONTRACT
A document which sets forth the terms and conditions of a contract between the operator and the L.P.D.
WRITTEN REPRIMAND
A written notice to an operator which specifies any violation(s) of the Tow Service Contract, orders corrective action, and warns of further action(s) to be taken if corrective action is not taken.
ATTACHMENT A
TO
W TRUCK OPERATOR/DRIVER – PERMITS
PERMIT REQUIRED:
Al
l drivers and or operators of any towing vehicle described in California Vehicle Code section 615(a) shall first obtain a permit in writing to do so from the Chief of Police of the City of Lodi.
OPERATOR RESPONSIBILITY
It
shall be a violation of the rules and regulations for any operator to allow or permit any driver to operate or drive within the City of Lodi a towing vehicle owned or under the control of said operator unless said driver has a valid permit issued to said driver.
APPLICATION FOR PERMIT
Appl
ication for Tow Truck Operator/Driver Permits shall be filed with the Chief of Police upon forms which will be furnished by the City of Lodi.
APPLICATION FEE
Bef
ore the Chief of Police shall accept and process an application for a Tow Truck Operator/Driver Permit, the applicant shall pay an application fee to the Lodi Police Department.
Said fee will be $110.00 per applicant. The annual renewal fee will be $54.00.
INVESTIGATION
Th
e Chief of Police shall cause an investigation to be made in order to determine the applicant’s qualifications and fitness to be a Tow Truck Operator/Driver.
APPLICANT TO BE PHOTOGRAPHED AND FINGERPRINTED
In
order that the Chief of Police may investigate the applicants’ qualifications and fitness to be a Tow Operator/Driver, every applicant for a Tow Truck Operator/Driver Permit shall be photographed and fingerprinted.
PERMITS – TO WHOM ISSUED
A T
ow Truck Operator/Driver Permit shall not be issued to any of the following persons:
(a) A
ny person under the age of eighteen (18) years.
(b) Any person who is not of good moral character to be determined by the Chief of Police. (c) Any person who has been convicted of a felony until the expiration of five (5) years from termination of confinement, parole, and/or probation.
(d) Any person who has been convicted of driving a vehicle recklessly or while under the influence of intoxicants until the expiration of five (5) years from termination of confinement and/or probation.
ATTACHMENT B
(e) Any person not possessing a valid driver’s license issued by the State of California permitting said person to drive a tow vehicle.
(f) Any person who has not been a continuous resident of the County of San Joaquin/Sacramento for at least thirty (30) days immediately preceding the date of said person’s application. (g) Any person convicted of a crime involving moral turpitude regardless of whether the record of conviction has been expunged.
(h) Any person convicted of trafficking in, unlawful use, or driving while under the influence of narcotics, regardless of whether the record of conviction has been expunged. (i) Any person convicted of a weapons violation until the expiration of five (5) years from termination of confinement, parole, and/or probation, whichever is later. (j) Any person who would be denied and/or have revoked a State of California Tow Truck Driver Certificate pursuant to Section 13377 of the Vehicle Code of the State of California, and any amendments thereto.
(k) Any person who provided false, incomplete, or materially misrepresented information on the application for a Tow Truck Operator/Driver Permit.
(l) Any person who has failed to pay all fees required.
TOW VEHICLE DRIVER’S PERMIT – TERMS/CONDITIONS
Upon c
ompletion of the investigation, if the Chief of Police finds that the applicant meets the minimum standards established and is a fit and proper person to be a Tow Operator/Driver in the City of Lodi, the Chief of Police shall issue or cause to be issued to said applicant a Tow Truck Operator/Driver Permit. Said Permit, unless suspended or revoked, shall be valid for a period of one (1) year from the date of issuance and must be renewed annually.
It
shall be a violation of the terms and regulations for any driver to operate or be in charge of any towing vehicle to fail, at all times while operating or in charge of such vehicle, to wear on his or her uniform or have visible and in his or her immediate possession the Driver’s Permit required to be secured from the Chief of Police. It shall also be a violation of the terms and regulations for any driver operating or in charge of any vehicle to have a Driver’s Permit issued to another person for the purpose of operating such vehicle.
DENIAL OF PERMIT
Upon c
ompletion of the investigation, if the Chief of Police finds the applicant does not meet the minimum standards established to be a Tow Truck Operator/Driver, the Chief of Police shall refuse to issue, suspend, or revoke a Tow Truck Operator/Driver Permit to that applicant.
REVOCATION, SUSPENSION, OR REFUSAL TO RENEW PERMIT
The Chief of Police may revoke, suspend, or refuse to issue a new Tow Truck Operator/Driver Permit if the driver or applicant has, since the granting of the original or renewed permit:
(a
) Been convicted of a felony or a crime involving moral turpitude; using, possessing, selling, or transporting narcotics; or imparting information for obtaining narcotics. (b) Been convicted of driving recklessly or while under the influence of alcohol or narcotics. (c) Had the State Driver’s License revoked or suspen ded. (d) Been convicted of any of the offenses set forth in Sections 20001, 20002a, 22348, 22349, 22350, 22351, 23103, 23104, 23109, 23152 and/or 23153 of the Vehicle Code of the State of California and amendments thereto, or any combination of either or any of said offenses.
ATTACHMENT B
(e) Been convicted within a one (1) year period of three (3) or more moving violations, other than those specified in subsection (d) of the Vehicle Code of the State of California. (f) When for any reason, whether specifically set forth herein or not, after due investigation, the Chief of Police finds that the applicant is an unfit person to drive a tow vehicle. (g) When driving for an Operator, that is obligated by a contract , that has charged or received a fee in excess of the rates established by the City of Lodi Tow Contract or violated any of the other provisions of said contract.
REVO
CATION - HEARING
Den
ial or revocation of a Tow Truck Operator/Driver Permit shall be made only after a hearing granted to the holder of such permit before the Tow Coordinator, after five (5) days notice to said permit holder, setting forth the grounds of the complaint against said permit holder and stating the time and place where such hearing will be held. Upon revocation of any permit, such permit shall be forthwith surrendered to the Chief of Police. An appeal of the hearing can be filed in writing with the Chief of Police with five (5) days of the original hearing. The decision of the Chief of Police in revoking the permit shall be final and conclusive.
DECISION OF CHIEF OF POLICE FINAL
The
decision of the Chief of Police of the City of Lodi as to the fitness or unfitness of the applicant, either before or after the issuance of a Tow Vehicle Driver’s Permit, shall be final and there shall be no appeal therefrom.
FAILURE TO OBTAIN NEW PERMIT
If
the holder of a Tow Truck Operator/Driver Permit fails to renew said permit prior to the expiration date of the current permit, the Tow Truck Operator/Driver Permit shall cease to be valid and the permittee must make application for a new Permit as provided above.
TOW VEHICLE DRIVERS – LIST OF TOW COMPANIES
On or before the first day of January and the first day of June, each year, every operator who has employed any person or persons as a Tow Vehicle Driver or Drivers shall furnish the Chief of Police of the City of Lodi with the names of every person employed by such person, firm, or corporation as a Tow Vehicle Driver during the preceding six (6) month period.
ATTACHMENT B
Risk: rev. 3/1/2018
NOTE: The City of Lodi is now using the online insurance program PINS Advantage. Once you have been awarded a contract you will receive an email from the City’s online insurance program requesting you to forward the email to your insurance provider(s) to submit the required insurance documentation electronically Insurance Requirements for Tow Contracts
Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the Contractor, his agents, representatives, employees or subcontractors.
MINIMUM SCOPE AND LIMIT OF INSURANCE
Coverage shall be at least as broad as:
1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than $1,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.
2. Automobile Liability: ISO Form Number CA 00 01 covering any auto or if Contractor has no owned autos, then hired, and non- owned autos with limit no less than $1,000,000 per accident for bodily injury and property damage.
On-hook coverage – insuring the vehicle in tow with limits based on the size of the tow truck. Class A tow truck $50,000
Class B tow truck $100,000
Class C tow truck $200,000
Class D tow truck $250,0 00
Garage liability – includes premises and operations. Coverage for bodily injury and property damage with the combined single limit of not less than $500,000.
Garage keepers liability – shall be the same minimum as on-hook coverage for vehicles in the care, custody, and control of the Tow Operator in the storage facility.
3. Workers’ Compensation: as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.
Other Insurance Provisions:
(a) Additional Named Insured Status
The City of Lodi, its elected and appointed boards, commissions, officers, agents, employees, and volunteers are to be covered as additional insureds on the CGL and auto policy with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Contractor’s insurance (at least as broad as ISO Form CG 20 10 11 85 or if not available, through the addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 if a later edition is used
(b) Primary and Non-Contributory Insurance Endorsement
The limits of insurance coverage required may be satisfied by a combination of primary and umbrella or excess insurance. For any claims related to this contract, the Contractor’s insurance coverage shall be primary coverage at least as broad as ISO CG 20 01 04 13 as respects the Entity, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the Entity, its officers, officials, employees, or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it.
(c) Waiver of Subrogation Contractor hereby grants to City of Lodi a waiver of any right to subrogation which any insurer of said Contractor may acquire against the City of Lodi by virtue of the payment of any loss under such insurance. Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City of Lodi has received a waiver of subrogation endorsement from the insurer
ATTACHMENT C
Risk: rev. 3/1/2018
NOTE: (1) The street address of the CITY OF LODI must be shown along with (a) and (b) and (c) above: 221 West Pine Street, Lodi, California, 95240; (2) The insurance certificate must state, on its face or as an endorsement, a description of the project that it is insuring.
(d) Severability of Interest Clause
The term "insured" is used severally and not collectively, but the inclusion herein of more than one insured shall not operate to increase the limit of the company's liability under the Contractors commercial general liability and automobile liability policies. (e) Notice of Cancellation or Change in Coverage Endorsement This policy may not be canceled nor the coverage reduced by the company without 30 days' prior written notice of such cancellation or reduction in coverage to the Risk Manager, City of Lodi, 221 West Pine St., Lodi, CA 95240. (f) Continuity of Coverage
All policies shall be in effect on or before the first day of the Term of this Agreement. At least thirty (30) days prior to the expiration of each insurance policy, Contractor shall furnish a certificate(s) showing that a new or extended policy has been obtained which meets the minimum requirements of this Agreement. Contractor shall provide proof of continuing insurance on at least an annual basis during the Term. If Contractor’s insurance lapses or is discontinued for any reason, Contractor shall immediately notify the City and immediately obtain replacement insurance. Contractor agrees and stipulates that any insurance coverage provided to the City of Lodi shall provide for a claims period following termination of coverage which is at least consistent with the claims period or statutes of limitations found in the California Tort Claims Act (California Government Code Section 810 et seq.). (g) Failure to Comply
If Contractor fails or refuses to obtain and maintain the required insurance, or fails to provide proof of coverage, the City may obtain the insurance. Contractor shall reimburse the City for premiums paid, with interest on the premium paid by the City at the maximum allowable legal rate then in effect in California. The City shall notify Contractor of such payment of premiums within thirty (30) days of payment stating the amount paid, the name(s) of the insurer(s), and rate of interest. Contractor shall pay such reimbursement and interest on the first (1st) day of the month following the City’s notice. Notwithstanding any other provision of this Agreement, if Contractor fails or refuses to obtain or maintain insurance as required by this agreement, or fails to provide proof of insurance, the City may terminate this Agreement upon such breach. Upon such termination, Contractor shall immediately cease use of the Site or facilities and commence and diligently pursue the removal of any and all of its personal property from the site or facilities. (h) Verification of Coverage
Consultant shall furnish the City with a copy of the policy declaration and endorsement page(s), original certificates and amendatory endorsements or copies of the applicable policy language effecting coverage required by this clause. All certificates and endorsements are to be received and approved by the City before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive the Consultant’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time. Failure to exercise this right shall not constitute a waiver of the City’s right to exercise after the effective date.
(i) Self-Insured Retentions
Self-insured retentions must be declared to and approved by the City. The City may require the Consultant to provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the named insured or City. (j) Insurance Limits
The limits of insurance described herein shall not limit the liability of the Contractor and Contractor's officers, employees, agents, representatives or subcontractors. Contractor's obligation to defend, indemnify and hold the City and its officers, officials , employees, agents and volunteers harmless under the provisions of this paragraph is not limited to or restricted by any requirement in the Agreement for Contractor to procure and maintain a policy of insurance. (k) Subcontractors
Consultant shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Consultant shall ensure that City is an additional insured on insurance required from subcontractors (l) Qualified Insurer(s)
All insurance required by the terms of this Agreement must be provided by insurers licensed to do business in the State of California which are rated at least “A-, VI” by the AM Best Ratings Guide, and which are acceptable to the City. Non-admitted surplus lines carriers may be accepted provided they are included on the most recent list of California eligible surplus lines insurers (LESLI list) and otherwise meet City requirements.
ATTACHMENT C
RESOLUTION NO. 2023-____
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE
CITY MANAGER TO EXECUTE A TOW SERVICE CONTRACT FOR POLICE
ROTATIONAL TOWING SERVICES WITH ALL TOWING, OF LODI
========================================================================
WHEREAS, the Lodi Police Department maintains a rotational towing company list to respond to requests by the D epartment that includes impounded vehicles for investigative purposes as evidence in a criminal case, vehicles involved in accidents or other emergency situations, impound tows for suspended/unlicensed drivers, abandoned or inoperative vehicles, and any other tows requested by Police personnel; and
WHEREAS, the previous agreement was approved by Council in 2014 and was written as an evergreen contract with set hourly, storage, and gate fee pricing; and
WHEREAS, in order to mitigate the problem of rates that will not cover costs and the probability of losing tow contractors that meet the response requirements , the Police Department has adopted the California Highway Patrol, Stockton CHP Office rates.
NOW, THEREFORE, BE IT RESOLVED that the City Council does hereby authorize the City Manager to execute a Tow Service Contract for police rotational towing services with All Towing, of Lodi, California; and
BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (adopted 11/6/19, Resolution No. 2019 -223), the City Attorney is hereby authorized to make minor revisions to the above- referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary.
Dated: February 1, 2023
========================================================================
I hereby certify that Resolution No. 2023-____ was passed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023, by the following vote:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-____
AGENDA ITEM C-09
COUNCIL COMMUNICATION
APPR
OVED: _________________________________
Stephen Schwabauer, City Manager
\\cvcfilv02\pubwks$\WP\TRAFFIC\CCSpeedLimitModforSeniorZone.doc 1/18/23 AGENDA TITLE: Adopt Resolution Amending Traffic Resolution No. 97-148, by Approving Speed Limit Modifications on Stockton Street from Rocky Lane to Lebaron Boulevard, 35 to 25 MPH; and Lebaron Boulevard from Reynolds Ranch Parkway to Stockton Street, 30 to 25 MPH
M
EETING DATE: February 1, 2023
P
REPARED BY: Public Works Director
RE
COMMENDED ACTION: Adopt Resolution Amending Traffic Resolution No. 97-148, by approving speed limit modifications on Stockton Street from Rocky Lane to Lebaron Boulevard, 35 to 25 MPH; and Lebaron Boulevard from Reynolds Ranch Parkway to Stockton Street, 30 to 25 MPH.
B
ACKGROUND INFORMATION: Cities and counties in California including City of Lodi are required to follow the California Vehicle Code (CVC) to establish speed limits within their jurisdictions. The law requires speed limits to be set based on the Engineering and Traffic Survey (ETS) which is in compliance with California Manual on Traffic Control Devices (CA MUTCD).
T
he ETS includes three primary factors: prevailing speeds (85th percentile speeds), collision data, and unexpected conditions. Other factors, such as roadside development and environment, pedestrian and bicycle safety, and roadway characteristics are also considered. The 85th percentile speed is the speed of 85 percent of traffic on a road segment. Posted speed limits are typically set at or below the 85th percentile speed. ETS is typically updated every 7 or 10 years per the CVC and CA MUTCD requirements.
P
rima facie speed limits are established by CVC statutes that the speed limit is in affect if certain criteria are met such as proximity to a school, senior facility, or business district. Residential district prima facie speed limits have additional criteria to be met such as roadway width and the street classifications defined by Federal and State definitions. A prima facie speed limit does not require to be posted to be in effect.
P
ublic Works staff received a request from the Senior Commission to establish senior zones at the Loel Center and the senior facilities in the Reynolds Ranch and Tienda Drive area by installing “Senior Zones” signage on public streets frontage, see Exhibit A for the proposed senior zone locations. Per CVC 22352, the 25 MPH prima facie speed limit is applicable when passing a senior center or facility with the “Senior” warning signs present. The public streets fronting the Loel Center and the Tienda Drive senior facilities have the existing 25 MPH speed limit, which allowed the Senior Zone to be designated under the direction of the Public Works Director.
Adopt Resolution Amending Traffic Resolution No. 97-148, by Approving Speed Limit Modifications on Stockton Street from Rocky Lane to Lebaron Boulevard, 35 to 25 MPH; and Lebaron Boulevard from Reynolds Ranch Parkway to Stockton Street, 30 to 25 MPH February 1, 2023
\\cvcfilv02\pubwks$\WP\TRAFFIC\CCSpeedLimitModforSeniorZone.doc 1/18/23 In the vicinity of the Reynolds Ranch senior facilities, the existing posted speed limit is 35 MPH on Stockton Street and 30 MPH on Lebaron Boulevard. In order to enforce the 25 MPH speed limit in the proposed Reynolds Ranch Senior Zone, Council approval on the Stockton Street and Lebaron Boulevard speed limit reduction is essential per the State-mandated requirements.
Staff recommends Council adopt a resolution amending Traffic Resolution No. 97-148, by approving speed limit modifications on Stockton Street from Rocky Lane to Lebaron Boulevard, 35 to 25 MPH; and Lebaron Boulevard from Reynolds Ranch Parkway to Stockton Street, 30 to 25 MPH.
FISCAL IMPACT: Normal maintenance only.
FUNDING AVAILABLE: Funding for the sign and legend installation/removal is from the Street Maintenance Account (30156002), totaling approximately $2,000.
____________________________
Charles E. Swimley, Jr.
Public Works Director
Prepared by Teri Mangrich, Engineering Technician
CES/DK/TM
Attachment
cc: City Engineer/Deputy Public Works Director
Street Superintendent
Utilities Manager
Police Chief
Police Lieutenant Garcia
µ
Proposed Senior Zone Locations
^_^_
^_^_
^_
M
ills Av.
Hutchins St.
Kettleman
Ln.
Lockeford
St.
Century
Blvd.
Guild Av.
Vine St.
Church St.
Pine St.
Harney Ln.
Cherokee Ln.
Stockton St.
Low
er Sacram
ento Rd.
Ham
Ln.
Turner Rd.
Lodi Av.
Proposed Senior Zone Location
LEGEND
Senior Facilities^_
RESOLUTION NO. 2023-____
A RESOLUTION OF THE LODI CITY COUNCIL AMENDING TRAFFIC
RESOLUTION NO. 97-148 BY APPROVING SPEED LIMIT MODIFICATIONS
ON STOCKTON STREET FROM ROCKY LANE TO LEBARON BOULEVARD, 35 TO 25 MPH; AND LEBARON BOULEVARD FROM REYNOLDS RANCH PARKWAY TO STOCKTON STREET, 30 TO 25 MPH
========================================================================
WHEREAS, staff received a request from the Senior Commission to es tablish senior zones at the LOEL Center and the senior facilities in the Reynolds Ranch and Tienda Drive areas by installing “Senior Zones” signage on public streets frontage; and
WHEREAS, the public streets fronting the LOEL Center and the Tienda Drive senior facilities have the existing 25 MPH speed limit, which allowed the S enior Zone to be designated under the direction of the Public Works Director; and
WHEREAS, in the vicinity of the Reynolds Ranch senior facilities, the existing posted speed limit is 35 MPH on Stockton Street and 30 MPH on Lebaron Boulevard and i n order to enforce the 25 MPH speed limit in the proposed Reynolds Ranch Senior Zone, Council approval on the Stockton Street and Lebaron Boulevard speed limit reduction is essential per the State- mandated requirements; and
WHEREAS staff recommends amending Traff ic Resolution No. 97- 148 by approving speed limit modifications on Stockton Street from Rocky Lane to Lebaron Boulevard, 35 to 25 MPH; and Lebaron Boulevard from Reynolds Ranch Parkway to Stockton Street, 30 to 25 MPH.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby amend Traffic Resolution No. 97- 148 by approving speed limit modifications on Stockton Street from Rocky Lane to Lebaron Boulevard, 35 to 25 MPH; and Lebaron Boulevard from Reynolds Ranch Parkway to Stockton Street, 30 to 25 MPH.
Dated: February 1, 2023
======================================================================== I hereby certify that Resolution No. 202 3-____ was passed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023 by the following vote:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-____
AGENDA ITEM C-10
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Adopt Resolution Granting Signature Authority to Certain City Staff for Investment of Monies in the Local Agency Investment Fund
M
EETING DATE: February 1, 2023
P
REPARED BY: Deputy City Manager
RE
COMMENDED ACTION: Adopt resolution granting signature authority to certain City staff for investment of monies in the Local Agency Investment Fund.
B
ACKGROUND INFORMATION: With recent retirement of staff, the Local Agency Investment Fund (LAIF) has requested that the City of Lodi update, by resolution, authorized staff to act on behalf of the City for the deposit and withdrawal of City monies.
LA
IF was created pursuant to Section 16429.1 of the Government Code. It is managed by the State of California, Office of Treasurer, for purposes of investing funds held by local governments throughout California. LAIF was designed to provide a sound return on investments while adhering to the foremost objective, which is safety of principal.
T
he Office of the Treasurer has requested that the City of Lodi adopt the attached resolution to reflect changes in City staff and authorize Stephen Schwabauer, City Manager; Andrew Keys, Deputy City Manager/Internal Services Director; and Lisa Noffsinger, Budget Manager, to deposit and withdraw funds from LAIF on the City of Lodi’s behalf.
FI
SCAL IMPACT: Not applicable.
F
UNDING AVAILABLE: Not applicable.
_
______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
RESOLUTION NO 2023-____
A RESOLUTION OF THE LODI CITY COUNCIL GRANTING SIGNATURE
AUTHORITY TO CERTAIN CITY STAFF FOR INVESTMENT OF MONIES IN
THE LOCAL AGENCY INVESTMENT FUND
======================================================================== WHEREAS, pursuant to Chapter 730 of the statues of 1976, Section 16429.1 was added to the California Government Code to create a Local Agency Investment Fund in the State Treasury for the deposit of money of a local agency for purposes of investment by the State Treasurer; and
WHEREAS, the Lodi City Council does hereby find that the deposit and withdrawal of money in the Local Agency Investment Fund in accordance with the provisions of Section 16429.1 of the Government Code for the purpose of investment as stated therein is in the best interest of the City of Lodi.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the deposit and withdrawal of City of Lodi monies in the Local Agency Investment Fund in the State Treasury in accordance with the provisions of Section 16429.1 of the Government Code for the purpose of investment as stated therein and verification by the State Treasurer’s Office of all banking information provided in that regard; and
BE IT FURTHER RESOLVED that the following City of Lodi officers or their successors in office shall be authorized to order the deposit or withdrawal of monies in the Local Agency Investment Fund:
Stephen Schwabauer
City Manager (Signature)
Andrew Keys
Deputy City Manager/ (Signature)
Internal Services Director
Lisa Noffsinger
Budget Manager (Signature)
Dated: February 1, 2023
======================================================================== I hereby certify that Resolution No. 2023-___ as passed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023, by the following votes:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-___
AGENDA ITEM C-11
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Adopt Resolution Updating City Staff Signers on City of Lodi Farmers & Merchants Bank Accounts
M
EETING DATE: February 1, 2023
P
REPARED BY: Deputy City Manager
RE
COMMENDED ACTION: Adopt Resolution Updating City Staff Signers on City of Lodi Farmers & Merchants Bank Accounts
B
ACKGROUND INFORMATION: With the upcoming retirement of the Budget Manager and the hiring of a new Budget Manager, the City is in need of updating the signers on the City’s bank accounts held at Farmers & Merchants Bank.
S
taff is requesting that the following staff are designed signers:
S
teve Schwabauer, City Manager
Andrew Keys, Deputy City Manager
Lisa Noffsinger, Budget Manager
T
hese individuals will coordinate internet banking, wire transfers, automated clearinghouse entries and will serve as signers on City of Lodi bank accounts with F&M Bank. The attached exhibits provided by F&M Bank states in part that “the signature of an Agent on this resolution is conclusive evidence of their authority to act on behalf of the Corporation”. F&M Bank requires City Council authorization and the signatures of Mr. Schwabauer, Mr.
Keys and Mrs. Noffsinger on the attached exhibit in order to conduct City banking business.
FI
SCAL IMPACT: Not applicable.
F
UNDING AVAILABLE: Not applicable.
_
______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
EXHIBIT A
Corporate Authorization Resolution
FARMERS & MERCHANTS BANK OF CENTRAL CA
PO BOX 3000
By: CITY OF LODI
PO BOX 3006
LODI, CA 95241-1902 LODI CA 95241
Referred to in this document as "Financial Institution" Referred to in this document as "Corporation" I OLIVIA NASHED , certify that I am Secretary (clerk) of the above named corporation organized under the laws of CALIFORNIA , Federal Employer I.D. Number , engaged in business under the trade name of CITY OF LODI , and that the resolutions on this document are a correct copy of the resolutions adopted at a meeting of the Board of Directors of the Corporation duly and properly called and held on February 1, 2023 (date).
These resolutions appear in the minutes of this meeting and have not been rescinded or modified.
Agents. Any Agent listed below, subject to any written limitations, is authorized to exercise the powers granted as indicated below:
Name and Title or Position
STEPHEN SCHWABAUER
A.CITY MANAGER
ANDREW C KEYS
B.DEPUTY CITY MANAGER
LISA NOFFSINGER
C.BUDGET MANAGER
D. ------------
E. ___________ _
F. ___________ _
���:::
t
iv�te��i�zation
Wolte<s Kluwer Financial Services e> 2018
Signature
X
X
X. ______________ _
--------------
x _____________ _
x _____________ _
Facsimile Signature
(if used)
x ___________ _
x ___________ _
x ___________ _
x ___________ _
x ___________ _
------------
CA-1 7/1/2018
(1807).01
(5) The Corporation agrees to the terms and conditions of any account agreement, properly opened by any Agent of the Corporation. The Corporation authorizes the Financial Institution, at any time, to charge the Corporation for all checks, drafts, or other orders, for the payment of money, that are drawn on the Financial Institution, so long as they contain the required number of signatures for this purpose. (6) The Corporation acknowledges and agrees that the Financial Institution may furnish at its discretion automated access devices to Agents of the Corporation to facilitate those powers authorized by this resolution or other resolutions in effect at the time of issuance. The term "automated access device" includes, but is not limited to, credit cards, automated teller machines (ATM), and debit cards. (7) The Corporation acknowledges and agrees that the Financial Institution may rely on alternative signature and verification codes issued to or obtained from the Agent named on this resolution. The term "alternative signature and verification codes" includes, but is not limited to, facsimile signatures on file with the Financial Institution, personal identification numbers (PIN), and digital signatures. If a facsimile signature specimen has been provided on this resolution, (or that are filed separately by the Corporation with the Financial Institution from time to time) the Financial Institution is authorized to treat the facsimile signature as the signature of the Agem(s) regardless of by whom or by what means the facsimile signature may have been affixed so long as it resembles the facsimile signature specimen on file. The Corporation authorizes each Agent to have custody of the Corporation's private key used to create a digital signature and to request issuance of a certificate listing the corresponding public key.
The Financial Institution shall have no responsibility or liability for unauthorized use of alternative signature and verification codes unless otherwise agreed in writing.
Effect on Previous Resolutions. This resolution supersedes resolution dated . If not completed, all resolutions remain in effect.
Certification of Authority
I further certify that the Board of Directors of the Corporation has, and at the time of adoption of this resolution had, full power and lawful authority to adopt the resolutions stated above and to confer the powers granted above to the persons named who have full power and lawful authority to exercise the same. (Apply seal below where appropriate.) D If checked, the Corporation is a non-profit corporation.
In Witness Whereof, I have subscribed my name to this document and affixed the seal of the Corporation on (date).
Secretary
OLIVIA NASHED
For Financial Institution Use Only
Acknowledged and received on
Attest by One Other Officer
(date) by ____ (initials)
D This resolution is superseded by resolution dated
Comments:
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Wolters Kluwer financial Services © 2018
CA·l 7/1/2018
(1807).01
RESOLUTION NO. 2023-____
A RESOLUTION OF THE LODl CITY COUNCIL AUTHORIZING
THE CITY MANAGER, DEPUTY CITY MANAGER, AND BUDGET MANAGER AS A SIGNERS ON CITY OF LODl
FARMERS & MERCHANTS BANK ACCOUNTS
=====================================================================
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Manager, Stephen Schwabauer; Deputy City Manager, Andrew Keys ; and Budget Manager, Lisa Noffsinger, to execute Exhibit A (Corporate Authorization Resolution) attached hereto on behalf of the City of Lodi.
Dated: February 1, 2023
=====================================================================
I hereby certify that Resolution No. 2023-____ was passed and adopted by the City Council of the City of Lodi in a regular meeting held February 1, 2023, by the following vote:
AYES: COUNCIL MEMBERS –
NOES: COUNCIL MEMBERS –
ABSENT: COUNCIL MEMBERS –
ABSTAIN: COUNCIL MEMBERS –
OLIVIA NASHED
City Clerk
2023-___
EXHIBIT A
Corporate Authorization Resolution
FARMERS & MERCHANTS BANK OF CENTRAL CA
PO BOX 3000
By: CITY OF LODI
PO BOX 3006
LODI, CA 95241-1902 LODI CA 95241
Referred to in this document as "Financial Institution" Referred to in this document as "Corporation" I OLIVIA NASHED , certify that I am Secretary (clerk) of the above named corporation organized under the laws of CALIFORNIA , Federal Employer I.D. Number , engaged in business under the trade name of CITY OF LODI , and that the resolutions on this document are a correct copy of the resolutions adopted at a meeting of the Board of Directors of the Corporation duly and properly called and held on February 1, 2023 (date).
These resolutions appear in the minutes of this meeting and have not been rescinded or modified.
Agents. Any Agent listed below, subject to any written limitations, is authorized to exercise the powers granted as indicated below:
Name and Title or Position
STEPHEN SCHWABAUER
A.CITY MANAGER
ANDREW C KEYS
B.DEPUTY CITY MANAGER
LISA NOFFSINGER
C.BUDGET MANAGER
D. ------------
E. ___________ _
F. ___________ _
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Signature
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X
X. ______________ _
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x _____________ _
Facsimile Signature
(if used)
x ___________ _
x ___________ _
x ___________ _
x ___________ _
x ___________ _
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CA-1 7/1/2018
(1807).01
(5) The Corporation agrees to the terms and conditions of any account agreement, properly opened by any Agent of the Corporation. The Corporation authorizes the Financial Institution, at any time, to charge the Corporation for all checks, drafts, or other orders, for the payment of money, that are drawn on the Financial Institution, so long as they contain the required number of signatures for this purpose. (6) The Corporation acknowledges and agrees that the Financial Institution may furnish at its discretion automated access devices to Agents of the Corporation to facilitate those powers authorized by this resolution or other resolutions in effect at the time of issuance. The term "automated access device" includes, but is not limited to, credit cards, automated teller machines (ATM), and debit cards. (7) The Corporation acknowledges and agrees that the Financial Institution may rely on alternative signature and verification codes issued to or obtained from the Agent named on this resolution. The term "alternative signature and verification codes" includes, but is not limited to, facsimile signatures on file with the Financial Institution, personal identification numbers (PIN), and digital signatures. If a facsimile signature specimen has been provided on this resolution, (or that are filed separately by the Corporation with the Financial Institution from time to time) the Financial Institution is authorized to treat the facsimile signature as the signature of the Agem(s) regardless of by whom or by what means the facsimile signature may have been affixed so long as it resembles the facsimile signature specimen on file. The Corporation authorizes each Agent to have custody of the Corporation's private key used to create a digital signature and to request issuance of a certificate listing the corresponding public key.
The Financial Institution shall have no responsibility or liability for unauthorized use of alternative signature and verification codes unless otherwise agreed in writing.
Effect on Previous Resolutions. This resolution supersedes resolution dated . If not completed, all resolutions remain in effect.
Certification of Authority
I further certify that the Board of Directors of the Corporation has, and at the time of adoption of this resolution had, full power and lawful authority to adopt the resolutions stated above and to confer the powers granted above to the persons named who have full power and lawful authority to exercise the same. (Apply seal below where appropriate.) D If checked, the Corporation is a non-profit corporation.
In Witness Whereof, I have subscribed my name to this document and affixed the seal of the Corporation on (date).
Secretary
OLIVIA NASHED
For Financial Institution Use Only
Acknowledged and received on
Attest by One Other Officer
(date) by ____ (initials)
D This resolution is superseded by resolution dated
Comments:
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Wolters Kluwer financial Services © 2018
CA·l 7/1/2018
(1807).01
AGENDA ITEM H-01
COUNCIL COMMUNICATION
APPR
OVED: ________________________________
Stephen Schwabauer, City Manager
AGENDA TITLE: Receive for File the Following Reports and Financial Statements Submitted by The Pun Group, LLP and Finance Department for Fiscal Year 2021-2022, Including the GANN Limit and Single Audit Report
M
EETING DATE: February 1, 2023
P
REPARED BY: Accounting Manager
RE
COMMENDED ACTION: Receive for file the following reports and financial statements submitted by The Pun Group, LLP and the Finance Department for Fiscal Year 2021- 2022 including the GANN Limit and Single Audit Report.
B
ACKGROUND INFORMATION: T he annual audit was conducted to assure the City Council and other interested parties that the City’ s financial reports are prepared in accordance with generally accepted accounting principle (GAAP) against loss from unauthorized use or disposition of assets and that the City has complied with all agreements and covenants to obtain grant funds and debt financing. The Pun Group, LLP issues an “unmodified opinion”.
T
he agreed upon procedures for the above reports, were agreed upon by the City and The Pun Group and performed solely to assist in meeting the requirements of Section 1.5 of A rticle XIII- B of the California Constitution. The agreed upon procedures engagements were conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. The City’s management is responsible for preparing each of the reports.
T
he reports will be provided to Federal and State oversight agencies, bond trustees and insurance companies for their review and evaluation. Copies of the reports are provided to the City Council and are also available to the public by contacting the Financial Services Division.
FI
SCAL IMPACT: No fiscal impact
F
UNDING AVAILABLE: No funding requested.
_
______________________________________
Andrew Keys
Deputy City Manager/Internal Services Director
City of Lodi Lodi, California Independent Accountants Report on Agreed-Upon Procedures Applied to Appropriations Limit Schedule For the Year Ending June 30, 2023
INDEPENDENT ACCOUNTANTS REPORT ON APPLYING AGREED-UPON PROCEDURES To the Honorable Mayor and Members of City Council of the City of Lodi Lodi, California We have performed the procedures enumerated below to the accompanying Appropriations Limit Schedule of the City of Lodi, California (the City) for the year ending June 30, 2023. The management at the City is responsible for the Appropriations Limit Schedule. The City has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose of meeting the requirements set forth in Section 1.5 of Article XIII-B of the California Constitution. These procedures, which were suggested by the League of California Cities and presented in the publication entitled Agreed-upon Procedures Applied to the Appropriations Limitation Prescribed by Article XIII-B of the California Constitution, were performed solely to assist you in meeting the requirements. This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes. The procedures and associated findings are as follows: 1. We obtained the completed worksheets used by the City to calculate its appropriations limit for the year ending June 30, 2023, and compared the limits and annual adjustment factors that were adopted by resolution 2022-133 of the City Council. We also compared that the population and inflation options were selected by a recorded vote of the City Council. Finding: No exceptions were noted as a result of our procedures. 2. For the accompanying Appropriations Limit Schedule, we added the prior years limit to the total adjustments, and compared the resulting amount to the current years limit. Finding: No exceptions were noted as a result of our procedures. 3. We compared the current year information presented in the accompanying Appropriations Limit Schedule to corresponding information in worksheets used by the City. Finding: No exceptions were noted as a result of our procedures. 4. We agreed the appropriations limit presented in the accompanying Appropriations Limit Schedule to the appropriations limit adopted by the City Council during the year. Finding: No exceptions were noted as a result of our procedures.
To the Honorable Mayor and Members of City Council of the City of Lodi Lodi, California Page 2 2 We were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the American Institute of Certified Public Accountants. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respective on the accompanying Appropriations Limit Schedule. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. We are required to be independent of the City, and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement. This report is intended solely for the information and use of the City Council and management of the City and is not intended to be and should not be used by anyone other than those specified parties. However, this report is a matter of public record and its distribution is not limited.
Walnut Creek, California November 29, 2022
City of Lodi Appropriations Limit Schedule For the Year Ending June 30, 2023 See accompanying Notes to the Appropriations Limit Schedule. 3 Amount SourceA. Appropriations Limit from FY 2021-2022 124,907,868$ B. Adjustment Factors:1. Growth in City Population 1.0064State Department of Finance2. California per Capita Personal Income Growth 1.0755State Department of Finance3. Adjustment Factor 1.0824 B1*B2C. Annual Adjustment Increase 10,290,310 A * (B3 - 1)D. Other Adjustments:1) Loss reponsibility (-) N/A2) Transfer to private (-) N/A3) Transfer to fees (-) N/A4) Assumed responsibility (-) N/AE. Total Adjustments 10,290,310 (C+D)F. Appropriations Limit FY 2022-2023 135,198,178$ (A+E)Prior Year appropriations limit adopted by the City City of Lodi Notes to the Appropriations Limit Schedule For the Year Ending June 30, 2023 4 Note 1 Purpose of Limited Procedures Review Under Article XIIIB of the California Constitution (the Gann Spending Limitation Initiative), California governmental agencies are restricted to the amount of annual appropriations from proceeds of taxes. Effective for years beginning on or after July 1, 1990, under Section 1.5 of Article XIIIB, the annual calculation of the appropriations limit is subject to a limited procedures review in connection with the annual audit. Note 2 Method of Calculation Under Section 10.5 of Article XIIIB, for fiscal years beginning on or after July 1, 1990, the appropriations limit is required to be calculated based on the limit for the fiscal year 1986-87, adjusted for the inflation and population factors discussed in Notes 3 and 4 below. Note 3 Population Factors A California governmental agency may use as its population factor either the annual percentage change of the jurisdictions own population or the annual percentage change in population of the county where the jurisdiction is located. The factor adopted by the City for the year 2022-2023 represents the annual percentage change in population for the City. Note 4 Inflation Factors A California governmental agency may use as its inflation factor either the annual percentage change in the 4th quarter per capita personal income (which percentage is supplied by the State Department of Finance) or the percentage change in the local assessment roll from the preceding year due to the change of local nonresidential construction. The factor adopted by the City for the year 2022-2023 represents the percentage change in California per capita personal income. Note 5 Other Adjustments A California government agency may be required to adjust its appropriations limit when certain events occur, such as the transfer of responsibility for municipal services to, or from, another government agency or private entity. The City had no such adjustments for the year 2022-2023.
City of Lodi
Lodi, California
Single Audit and
Independent Auditors’ Reports
For the Year Ended June 30, 2022
City of Lodi
Table of Contents
Page
Independent Auditors’ Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ................................................................... 1
Independent Auditors’ Report on Compliance for Each Major Federal Program, on Internal Control Over Compliance Required by the Uniform Guidance, and on Schedule of Expenditures of Federal Awards ..................................................................................... 3
Schedule of Expenditures of Federal Awards ............................................................................................................ 7
Notes to the Schedule of Expenditures of Federal Awards ........................................................................................ 8
Schedule of Findings and Questioned Costs .............................................................................................................. 9
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2121 North California, Suite 290
Walnut Creek, California 94596
REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND
OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN
ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Independent Auditors’ Report
To the Honorable Mayor and Members of City Council
of the City of Lodi
Lodi, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to fina ncial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Lodi, California (the “City”), as of and for the year ended June 30, 2022, and the related notes to the basic financial statements which collectively comprise the City’s basic financial statements and have issued our report thereon dated November 29, 2022.
Report on Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s intern al control. Accordingly, we do not e xpress an opinion on the effectiveness of the City’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assi gned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combinati on of deficiencies, in internal control, such that there is a reasonabl e possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is l ess severe than a material weakness, yet is important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited pur pose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
To the Honorable Mayor and Members of City Council
of the City of Lodi
Lodi, California
2 Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the C ity’s basic financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which coul d have a direct and material effect on the financial statement. However, providing an opinion on compliance with those provisions w as not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of n oncompliance or other matters that are required to be reported under Government Auditing Standards.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City ’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Walnut Creek, California
November 29, 2022
2121 North California, Suite 290
Walnut Creek, California 94596
REPORT ON COMPLIANCE FOR EACH MAJOR FEDERAL PROGRAM: REPORT ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON THE SCHEDULE OF EXPENDITURES OF
FEDERAL AWARDS REQUIRED BY THE UNIFORM GUIDANCE
Independent Auditors’ Report
To the Honorable Mayor and Members of City Council
of the City of Lodi
Lodi, California
Report on Compliance for Each Major Federal Program
Opinion on Each Major Federal Program
We have audited the City of Lodi, California’s (the “C ity”) compliance with the typ es of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on each of the City’s major federal programs for the year ended June 30, 2022. The City’s major federal program is identified in the summary of the auditors’ results section of the accompanying schedule of findings and questioned costs.
In our opinion, the City complied, in al l material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2022.
Basis for Opinion on Each Major Federal Program
We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States; a nd the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Princi ples, and Audit Requirements for Federal Awards (the “Uniform Guidance”). Our responsibilities under those standard s and the Uniform Guidance are further described in the Auditor’s Responsibilities for the Audit of Compliance section of our report.
We are required to be independent of the City and to meet our other ethi cal responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on compliance for each major federal program. Our audit does not provide a legal determination of the City’s compliance with the compliance requirements referred to above.
Responsibilities of Management for Compliance
Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over complia nce with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to the City’s federal programs.
To the Honorable Mayor and Members of City Council
of the City of Lodi
Lodi, California
4 Auditors’ Responsibilities for the Audit of Compliance
Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurre d, whether due to fraud or error, and express an opinion on the City’s compliance based on our audit. Reasonable assurance is a hi gh level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in acco rdance with auditing standard s generally accepted in the United States of America, Government Auditing Standards , and the Uniform Guidance will always detect material noncompliance when it exists. The risk of not detecting ma terial noncompliance resulting from fraud is higher than for that resulting from error, as fraud may in volve collusion, forgery, intentiona l omissions, misrepresentations, or the override of internal control. Noncompliance with the complia nce requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about the City’s compliance with the requirements of each major federal program as a whole.
In performing an audit in accordance w ith auditing standards generally accepte d in the United States of America, Government Auditing Standards, and the Uniform Guidance, we:
Exercise professional judgment and maintain professional skepticism throughout the audit. Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such pro cedures include examining, on a test basis, evidence regarding the City’s compliance with the compliance requirements referr ed to above and performing such other procedures as we considered necessary in the circumstances. Obtain an understanding of the City’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumst ances and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control over compliance. Accordingly, no such opinion is expressed.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficienci es and material weaknesses in internal control over compliance that we identified during the audit.
Report on Internal Control Over Compliance
A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance re quirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a r easonable possibility that material noncom pliance with a type of compliance requirement of a federal program will not be prevente d, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federa l program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the Auditors’ Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknes ses or significant deficiencies in internal control over compliance. Given these limitations, during our audit we did not id entify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. However, material weaknesses or significant deficiencies in internal control over compliance may exist that were not identified.
To the Honorable Mayor and Members of City Council
of the City of Lodi
Lodi, California
5 Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed.
The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testi ng based on the requirements of the Uniform Guidance.
Accordingly, this report is not suitable for any other purpose.
Schedule of Expenditures of Federal Awards
We have audited the financial statements of the government al activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City as of and for the year ended June 30, 2022, and have issued our report thereon dated November 29, 2022 which contained unmodified opini on on those financial statements. Our audit was conducted for the purpose of forming our opin ion on the City’s Basic Financial Statements. The accompanying Schedule of Expenditures of Federal Awards, as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Princi ples, and Audit Requirements for Federal Awards , is presented for purposes of additional analysis and is not a required part of the financial statements. Such information is the responsibility of management and w as derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain other procedures, including comparing and reconciling such information directly to the underlying acc ounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional pr ocedures in accordance with a uditing standards generally accepted in the United States of America. In our opinion, th e Schedule of Expenditures of Federal Awards is fairly stated in all material respects in relation to the basic financial statements as a whole.
Walnut Creek, California
January 19, 2023, except for the Schedule of Expenditures of Federal Awards, which is as of November 29, 2022.
6 This page intentionally left blank.
City of Lodi
Schedule of Expenditures of Federal Awards
For the Year Ended June 30, 2022
7 Federal Amount
Federal Grantor/Pass - Through Assistance Pass-Through Entity Federal Provided to Grantor/Program Title Listing Number Identifying Number Expenditures Subrecipients U.S. Department of Housing and Urban Development
CDBG - Entitlement Grants Cluster
Direct Program:
Community Development Block Grant 14.218 B-16-MC-06-0038 77,014$ - $ Community Development Block Grant 14.218 B-19-MC-06-0038 24,569 - Community Development Block Grant 14.218 B-20-MC-06-0038 228,911 - Community Development Block Grant 14.218 B-20-MW-06-0038 166,854 - Community Development Block Grant 14.218 B-21-MC-06-0038 293,776 - Total CDBG - Entitlement Grants Cluster 791,124 - Total U.S. Department of Housing and Urban Development 791,124 - U.S. Department of Justice
Passed through California Office of Traffic Safety:
Bulletproof Vest Partnership 16.607 BA-2000S-SM02 16,645 - Total U.S. Department of Transportation 16,645 - U.S. Department of Transportation
Federal Transit Cluster
Direct Program:
FFY 2018 Operating (Lodi FY 17/18) and Bus Stop Improvements Project 20.507 CA-2018-102-00 73,924 - Lodi 5307 CARES Act Operating Assistance for FY 19-20 and FY 20-21 20.507 CA-2020-199-00 1,155,526 - Lodi 5307 and 5339 Operating Assistance and Bus Replacement for FY19, FY20 and FY21 20.507 CA-2021-252-00 237,488
ARPA Section 5307 Transit Operating Assistance 20.507 CA-2022-190-00 6,986 Total Federal Transit Cluster 1,473,924 -
Highway Planning and Construction Cluster
Passed through California Department of Transportation:
Highway Planning and Construction 20.205 STPL-5154(049) 393,302 - Total Planning and Construction Cluster 393,302 - Passed through California Office of Traffic Safety:
Selective Traffic Enforcement Program (STEP) 20.608 & 20.006 PT21164 43,947 - Total U.S. Department of Transportation 1,911,173 - U.S. Environmental Protection Agency
Direct Program:
Brownfields Assessment and Cleanup Cooperative Agreements 66.818 98T09801 64,413 - Total U.S. Environmental Protection Agency 64,413 - U.S. Department of Treasury
Direct Program:
Coronavirus State and Local Fiscal recovery Funds 21.027 n/a 6,189,462 - Passed through California Department of
Community Services and Development (CSD)
California Arrearage Payment Program (CAPP) 21.027 21.027 1,039,755 - Passed-Through State Water Resources Control Board:
California Water Arrearage Payment Program (CWWAPP) 21.027 21.027 278,518 - California Wastewater Arrearage Program (CWWAPP) 21.027 21.027 353,462 - Total U.S. Department of Treasury 7,861,197 - Total Expenditures of Federal Awards 10,644,552$ - $
See accompanying Notes to the Schedule of Expenditures of Federal Awards.
City of Lodi
Notes to the Schedule of Expenditures of Federal Awards For the Year Ended June 30, 2022
8 Note 1 – Reporting Entity
The financial reporting entity, as defined by the Governmental Accounting Standard Board (“GASB”), consists of the primary government, which is the City of Lodi, Califor nia (the “City”), organizations for which the primary government is financially accountable, and other organizations for which th e nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity’s financial statements to be misleading or incomplete.
Note 2 – Basis of Accounting
Funds received under the various grant programs have been recorded within the governmental and proprietary fund types of the City. The City utilizes the modified accrual method of accounting for the governmental fund types and the full accrual method of accounting for the proprietary fund types. The accompanying Schedule of Expenditures of Federal Awards (“Schedule”) is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Pr inciples, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts pr esented in the schedule may differ from amounts presented in, or used in, the preparation of the City’s basic financial statements.
Note 3 – Schedule of Expenditures of Federal Awards
The accompanying Schedule presents the activity of all fede ral financial assistance programs of the City. For the purposes of this schedule, federal awards include both fede ral financial assistance received directly from a federal agency, as well as federal funds received indirectly by the C ity from a non-federal agency or other organization. Only the portion of program expenditures reimbursable with such federal funds is reported in the accompanying Schedule.
Program expenditures in excess of the maximum federal re imbursement authorized or the portion of the program expenditures that were funded with state, local or other non-federal funds are excluded from the accompanying Schedule. The Schedule was prepared from only the accounts of various grant programs and, therefore, does not present the financial position, change in fund balance, or results of operations of the City.
Note 4 – Indirect Cost Rate
The City has not elected to use the 10-percent de minimis indirect rate as allowed under the Uniform Guidance.
City of Lodi
Schedule of Findings and Questioned Costs
For the Year Ended June 30, 2022
9 Section I – Summary of Auditor’s Results
Financial Statements
Type of report the auditors issued on whether the financial statements audited were prepared in accordance with GAAP: Unmodified
Internal control over financial reporting:
Material weakness(es) identified? No
Significant deficiency(ies) identified? None Reported
Noncompliance material to financial statements noted? No
Federal Awards
Internal control over major programs:
Material weakness(es) identified? No
Significant deficiency(ies) identified? None Reported
Type of auditor’s report issued on compliance for major programs Unmodified
Any audit findings disclosed that are required to be reported in accordance with 2 CFR 200.516(a)? No
Identification of major programs:
Federal Assistance
Name of Federal Program or Cluster Listin g Number(s) Expenditures Coronavirus State and Local Fiscal Recovery Funds 21.027 7,861,197 $ Total Expenditures of All Major Federal Programs 7,861,197$ Total Expenditures of Federal Awards 10,644,552$
Percentage of Total Expenditures of Federal Awards 73.85%
Dollar threshold used to distinguish between type A and type B program $750,000
Auditee qualified as low-risk auditee in accordance with 2 CFR 200.520? Yes City of Lodi
Schedule of Findings and Questioned Costs (Continued)
For the Year Ended June 30, 2022
10 Section II – Financial Statement Findings
A. Current Year Findings – Financial Statement Audit
No current year financial statement findings were noted.
B. Prior Year Findings – Financial Statement Audit
Finding 2021-001 Lack of Proper Timecard Authorization and Project Documentation
Criteria:
Management is responsible for the desi gn, implementation, and maintenance of internal control relevant to the preparation and fair presentation of fina ncial statements that are free from ma terial misstatement, whether due to fraud or error. Internal control is the process designed to ensure reliable financial reporting, effective and efficient operations, and compliance with applicable laws a nd regulations. Safeguarding assets against theft and unauthorized use, acquisition, or disposal is also part of internal control. Internal controls consist of an organization’s overall control environment and control ac tivities. Control activities are the specific policies and procedures management uses to achieve its objectives. The most important control activities involve segregation of duties, proper authorization of transactions and activities, adequate documents and r ecords, physical control over assets and records, and independent checks on performance.
An overall purpose of internal control over financial repor ting is to foster the preparation of reliable financial statements.
Condition:
During the audit, we identified the following conditions in internal control:
Payroll
We found that four (4) out of the forty (40) timesheet s or timecards that were selected for testing for proper authorization, were missing the required approvals.
Capital Assets
We found in two (2) out of the fourteen (14) Capital Im provement Projects (“CIP”) selected for testing, project completion documentation and cutoff procedures related to the timing of when asset should be placed in service and the amounts were not accurate. This caused assets to be placed in service prior to their relevant completion date. A total of approximately $2.1M was placed in servi ce as a completed project prior to its completion date.
Though this did not impact the overall value of capital assets or related depreciation, errors could grow in magnitude if undetected.
Cause:
The City has internal control pr ocesses in place that are manual such as the timesheet approval process and submission of documentation. As a result, these processes have higher risk that they may not be fully executed in compliance with the policy and procedures without a cont rol process in place to trac k each item. In a large organization like the City, this become s more difficult based on the volume of data it has to process on a daily basis and with limited staffing.
City of Lodi
Schedule of Findings and Questioned Costs (Continued)
For the Year Ended June 30, 2022
11 Section II – Financial Statement Findings (Continued)
B. Prior Year Findings – Financial Statement Audit (Continued)
Finding 2021-001 Lack of Proper Timecard Authorization and Project Documentation (Continued)
Effect:
The lack of proper authorization of transactions and cuto ff procedures negates that the City’s personnel adhered to established guidelines unless managers authorize another c ourse of action. When documents and records are missing authorizations as a key control, the City increases its risk that financial statements will not be accurate.
Controls designed to ensure adequate recordkeeping include authorizati on and review of supporting documents over the amounts and time period of transaction in the financial system. Otherwise accounting errors can go undetected and not be corrected in a timely manner.
Context:
The City has been working steadily to improve its internal control over financial accounting and reporting through the institutionalization of improved policies, procedures, and automation of existing manual controls.
Recommendation:
We recommend that the timecard and project comple tion and capitalization procedures be evaluated for automation within the Tyler Munis system to the extent po ssible. In the absence of automated controls, the City should contemplate whether additional personnel are needed in order to enhance its review and authorization process within the internal controls.
View of Responsible Officials:
The City concurs with the recomme ndation. Due to the COVID-19 global pandemic, the City was only able to partially implement all recommendations and improvements are still ongoing. However, new procedures including additional checks and balances have been put in place to ensure more accurate closing and payroll processes. New procedures have been drafted by an outside industry expert to ensure better processing of ba nk reconciliations.
New restrictions have been placed in Munis so no batch es will automatically release without review. In addition, all batch paperwork will be stamped re leased, with the date, and the signature /initials of the one release the batch for posting. Training to departments on timesheet manageme nt will be provided by the end of the current fiscal year. City will also be implementing workflow pr ocesses and moving to Employee Self Service for time management of employees.
Status:
Implemented.
City of Lodi
Schedule of Findings and Questioned Costs (Continued)
For the Year Ended June 30, 2022
12 Section III – Federal Award Findings (Continued)
A. Current Year Findings and Questioned Costs – Major Federal Award Program Audit
No findings or questioned costs were noted on the City’s major federal programs for the year ended June 30, 2022.
B. Prior Year Findings and Questioned Costs – Major Federal Award Program Audit
No findings or questioned costs were noted on the City’s major federal programs for the year ended June 30, 2021.