Lynwood City Council
July 18, 2023

CITY OF LYNWOOD, CALIFORNIA

INVESTMENT ADVISORY AGREEMENT
This Agreement, made as of April 1, 2023, between City of Lynwood (herein “City”) and FHN Financial Main Street Advisors, LLC (herein “Advisor”), regarding the management of certain assets and providing other cash management services under the control of the City. The Principal, by means of delegated authority from the City, will be the City Treasurer (herein “Treasurer”).

The City and the Advisor (herein “Parties”) hereto agree as follows:

1. Retention of Advisor. The City hereby retains Advisor as an investment advisor to the City for City and its related agency accounts (collectively, “Account”). The Advisor will act as an investment advisor for the City for the purposes, to the extent, and in the manner and within the limitations set forth in this Agreement.

2. Authority. The Advisor shall advise the City in the management and direction of the investments of the Account and making and implementing investment decisions. The investment decisions will be made in accordance with all applicable California Codes, City Ordinances governing the investment of public funds, the City’s Investment Policy, and other such City-approved objectives and guidelines as the Treasurer will from time to time, furnish the Advisor in writing. The Advisor is authorized to place orders for the execution of securities transactions for the Account.

3. Advisory Services. The Advisor shall manage and direct the investment of the City’s assets available for investing in accordance with the Investment Scope of Work (Exhibit One) of the City, and as further communicated to the Advisor in writing by the Treasurer.

4. Custodial Services. Custodial services will be provided by a custodian chosen by the City (herein “Custodian”) and the Advisor will not be custodian for any of the assets in the Account. The Advisor will work with the Treasurer and Custodian and will provide the necessary and customary information to the Treasurer and Custodian.

5. Transaction Procedures. Timely investment settlement information from the Advisor will be made in writing through fax or email to the Treasurer. The Advisor will also be responsible to communicate said settlement instructions through fax or email to US Bank for delivery versus payment.

6. Effective Date. This Agreement shall be effective on the April 1, 2023.

7. Amendment and Termination. This Agreement is intended to be for the period of three years. This Agreement may be extended for up to one year, if agreed upon by both parties. This Agreement may be amended at any time in writing in such manner as may be mutually agreed upon by the City and the Advisor. This Agreement may be terminated at any time, with or without cause, upon thirty days prior written notice by either party. Fees will be prorated to date of termination and paid to the Advisor.
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8. Fiduciary Responsibility.

A. The Advisor hereby represents and confirms it is a registered investment advisor under the Federal Investment Advisor Act of 1940, and that registration is currently effective and will remain current throughout the term of the Agreement. In connection therewith, the Advisor shall deliver to the Treasurer on the effective date of this Agreement a copy of the most recent Part II of the Advisor’s Form ADV.

B. The Advisor further represents and confirms that all applicable state and local licenses and registrations are currently effective and will remain current throughout the term of the Agreement. In connection therewith, the Advisor shall deliver copies of the licenses and registrations.

9. Confidential Relationship. All information and advice furnished by either party to the other shall be treated as confidential, and shall not be disclosed to third parties except as required by law or as approved by the Treasurer.

10. Fees. The Advisor shall be paid fees for its services under this Agreement as agreed, according to the Fee Schedule presented in the attached Exhibit Two. No other compensations will be paid to the Advisor by financial institutions, money market mutual funds, or broker/dealers from investment transactions that relate to the City’s funds.

11. Allocation of Brokerage. When the Advisor places the orders for the execution of portfolio transactions for the Account, the Advisor may allocate such transactions to such brokers and dealers for execution on such markets, at such prices and at such commission rates, which, in the good faith judgment of the Advisor, will be in the best interest of the City. The Advisor will receive no undisclosed, monetary or other, also known as “soft dollar” benefit for any transaction placed on behalf of the City.

12. Entire Agreement Governing Law. This Agreement constitutes the entire agreement of the Parties with respect to management of the Account, and can be amended only by a written document signed by the Parties. The Agreement shall be governed by the laws of the State of California.

13. Agreement not Assignable. No assignment (as that term is defined in the Investment Advisors Act of 1940) of this Agreement may be made by the Advisor without written consent of the City.

14. Services to Other Clients. The Parties hereto understand and agree that the Advisor may render investment management advice to others who may or may not have investment policies, objectives, and investments similar to those of the City. The Advisor may continue to give advice and take actions on behalf of such other clients, which may differ from the advice and actions taken in regard to this Account.

15. Errors and Omissions Insurance. The Advisor will provide and maintain at its own expense during the term of this Agreement Errors and Omissions Insurance covering the negligent acts, errors, or omissions in the performance of professional services, in an amount of not less than $5 million. The Advisor will provide evidence of such insurance to the City at least annually. Failure on the part of the Advisor to produce or maintain the required insurance will constitute a material breach of contract upon which the City may immediately terminate this Agreement.

16. Workers’ Compensation Insurance . If required by California law, Advisor shall maintain Workers’ Compensation insurance on a state approved policy form providing 629

statutory benefits as required by law with employer’s liability limits no less than $1,000,000 per accident for all covered losses.

17. Representations by the City . The City represents and confirms that the Agreement with the Advisor is authorized by the governing documents relating to the Account, and that the terms hereof do not violate any obligation by which the City is bound, whether arising by contract, operation of law or otherwise.

18. Representation by the Advisor . By execution of this Agreement, the Advisor represents and confirms that it is registered as an investment advisor in the State of California and with the Securities and Exchange Commission under the Investment Advisors Act of 1940. The personnel of the Advisor who will be responsible for carrying out this Agreement are individuals experienced in the performance of the various functions contemplated by the Agreement and, to the best of the Advisor's knowledge, have not, within the last two years, been convicted of any crime or pleaded nolo contendere or agreed to any consent decree with respect to any matter involving breach of trust or fiduciary duty or securities law violations.

19. Record Retention and Inspection. The Advisor is required to maintain all records relating to the purchase, sale, or exchange of the assets in the Account, or any payment made or received thereto for at least two (2) years after the termination of this Agreement. During the term of this Agreement and for a period of two (2) years thereafter, the City has the right to inspect the records of the Advisor relating to the City within one (1) day’s notice, upon normal business hours. The Advisor shall keep such records readily accessible and shall not destroy any records, at any time, without first consulting the City and complying with the City's record retention policies.

20. Standard of Care. The sole standard of care imposed upon the Advisor by this Agreement is to act with the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like claims.

21. Indemnification. To the full extent permitted by law, Advisor shall indemnify, hold harmless and defend City, its elected officials, officers, agents, employees, attorneys, servants, volunteers, successors and assigns from and against any and all claims, demands, causes of action, liability, losses, costs or expenses for any damage due to death or injury to any person and injury to any property resulting from any alleged intentional, reckless, negligent or otherwise wrongful acts, errors or omissions of Advisor or any of its officers, employees, servants, agents, subcontractors, volunteers or any other person or entity involved by, for, with or on behalf of Advisor for claims related to the performance of this Agreement. Such costs and expenses shall include reasonable attorneys’ fees incurred by counsel of City’s choice. The parties understand and agree that the duty of Advisor to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code.

22. Non-discrimination. In the performance of this Agreement, Advisor shall not discriminate against any employee, subcontractor, or applicant for employment because of race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation or other basis prohibited by law. Advisor will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment, without regard to their race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation. 630

23. Covenant. Advisor covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the services to be performed by Advisor under this Agreement, or which would conflict in any manner with the performance of its services hereunder. Advisor further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it.

Furthermore, Advisor shall avoid the appearance of having any interest, which would conflict in any manner with the performance of its services pursuant to this Agreement.

Advisor work for other government entities does not constitute a conflict of interest or appearance of a conflict of interest for purposes of this Agreement. Advisor covenants not to give or receive any compensation, monetary or otherwise, to or from the ultimate vendor(s) of services to City as a result of the performance of this Agreement, or the services that may be procured by the City as a result of the recommendations made by Advisor. Advisor's covenant under this section shall survive the termination of this Agreement.

24. Execution. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which when taken together shall constitute one and the same instrument.

25. Independent Contractor. Advisor represents to the City, and City relies on Advisor's representations, that Advisor shall serve solely in the capacity of an independent contractor to the City. Neither the City nor any of its agents will have control over the conduct of the Advisor or any of the Advisor's employees, except as otherwise set forth in the Agreement. The Advisor may not, at any time or in any manner, represent that it or any of its agents or employees are in any manner agents or employees of the City.

The City has no duty, obligation, or responsibility to the Advisor’s agents or employees, including the Affordable Care Act coverage requirements. Advisor is solely responsible for any tax penalties associated with the failure to offer affordable coverage to its agents and employees under the Affordable Care Act with respect to the Advisor’s agents and employees. Advisor warrants and represents that the City will not responsible and will not be held liable for issues related to the Advisor 's status as an independent contractor, including Advisor’s failure to comply with the Advisor’s duties, obligations, and responsibilities under the Affordable Care Act. Advisor further agrees to defend, indemnify, and hold the City harmless for any and all taxes, claims, and penalties against the City related to the Advisor’s obligations under the Affordable Care Act.

26. Notices. Notice to the City shall be directed and mailed as follows:

City Treasurer’s Office
Luis Cuellar, Treasurer
11330 Bullis Road
Lynwood, CA 90262
Notice to the Advisor shall be directed and mailed as follows:

FHN Financial Main Street Advisors, LLC
Rick Phillips, President
10655 Park Run Drive; Suite 120
Las Vegas, NV 89144
631

In witness whereof, the Parties have executed this Agreement as of the _____ day of ___________, 2023.

CITY: CITY OF LYNWOOD
By:______________________________
Oscar Flores, Mayor
ATTEST:

By:______________________________
Maria Quinonez, City Clerk
APPROVED AS TO FORM: APPROVED AS TO CONTENT
By:___________________________
Noel Tapia, City Attorney Ernie Hernandez, City Manager

CITY OF LYNWOOD FHN FINANCIAL MAIN STREET

ADVISORS, LLC
By: ____________________________ By: _____________________ Luis Cuellar, City Treasurer Signature
Name: ____________________________
Printed / Typed
Title: ____________________________
Printed / Typed
Date: ____________________________
632

EXHIBIT ONE
Scope of Work
 Provide advice and recommendations on portfolio structure taking into consideration cash flow requirements, investment goals and other specific investment needs.  Perform due diligence on the Local Agency Investment Fund (LAIF), competing money market funds, and bank deposit programs.
 Provide advice and recommendations regarding the evaluation process for all financial institutions desiring to do business with the City.
 Provide advice and management on the purchase and sale of fixed income securities in accordance with adopted City Investment Policy statement.  Buy and sell securities, at the direction of Treasurer or designated staff, using advanced investment management skills and practices to obtain the best securities price.  Provide confirmations, detailed reports and reconciliations of daily investment transactions, investment earnings and performance results on a monthly basis to meet GASB 31 requirements.
 Provide complete Quarterly Portfolio and Strategy reports suitable for presentation to the City Council and other interested parties.
 Participate in municipal compliance reviews and audits.  Conduct a quarterly investment meeting with the City Treasurer and other applicable staff to present quarterly: economic and market data, twelve month rolling cash flow, portfolio return performance versus benchmarks, and any other reports deemed necessary by the City Treasurer. Meetings will be conducted via conference call or in person as appropriate. At least one meeting per year will be held in person at the City’s offices.
 Assist the City in preparation of the investment footnote portion of the Comprehensive Annual Financial Report (CAFR).
 Assist the City with the annual review and update; and, when appropriate, the City’s Investment Policy Statement.
633

EXHIBIT TWO
Fee for Service:

Services will be provided for the Quarterly Fee of $3,000. Services over and above those outlined in the Scope can be contracted at the hourly rate of $250 per professional engaged, plus approved expenses. Services will be billed quarterly, in arrears, to the designee at the City. City shall endeavor to pay invoices bearing correct and authorized charges within thirty (30) days of the date they are received; however, Advisor acknowledges and agrees that due to City warrant run procedures, the City cannot guarantee that payment will occur within this time period. City shall not be responsible to Advisor for any additional charges, interest or penalties due to a failure to pay within such period.

Fees will be firm for a period of 3 years without increases. 634
RESOLUTION NO.
“A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD TO APPROVE THE

RENEWAL OF THE INVESTMENT ADVISORY AGREEMENT BETWEEN THE CITY OF

LYNWOOD AND FHN FINANCIAL MAIN STREET ADVISORS, LLC FOR THREE YEARS WITH AN OPTION TO EXTEND THE AGREEMENT FOR AN ADDITIONAL ONE YEAR”.

WHEREAS, on April 1, 2019, the City renewed a three-year Agreement (hereinafter "Agreement" and attached as Exhibit A), for investment advisory services, with FTN Financial Main Street Advisors, LLC; and
WHEREAS, on January 31, 2012 City Council approved the Consent letter to transfer the City Investment Agreement between the City Lynwood and Main Street Capital Advisory, LLC to First Tennessee Bank National Association, d.b.a. FTN Financial Main Street Advisors; and
WHEREAS, the term of the current Agreement expired April 23, 2023; and WHEREAS, First Horizon Bank folded all of its companies under unified names and FTN Financial Main Street Advisors, LLC became FHN Financial Main Street Advisors, LLC; and WHEREAS, the City has determined that the Advisor is fully qualified to perform such professional services by virtue of its experience and the training, education and expertise of its principals and employees, and wishes to continue with services provided by the Advisor; and WHEREAS, Section 7 of the Agreement allows the option to extend the term of the agreement for one year, or as agreed upon by both parties in writing; and WHEREAS, the authority granted to the City Treasurer for the investment of idle cash; and
WHEREAS, the City Treasurer’s Investment Policy that contains the investment criteria and guidelines for a prudent investment policy and shall be adhered to by FHN Financial Main Street Advisors; and
WHEREAS, the sole basis of the investments is to increase the City’s cash flow while ensuring adequate liquidity for short-term needs and to maximize the interest earnings potential and rate of return; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY FIND, DETERMINE, ORDER AND RESOLVE THE FOLLOWING:

Section 1. The City Council of the City of Lynwood hereby finds and declares that the foregoing recitals are true and correct, and incorporates them herein as findings and as a substantive part of this Resolution.

Section 2. That the attached investment Advisory Agreement is hereby approved, with revision in a form subject to the approval of the City Attorney. 635
Section 3. The Mayor is authorized to execute the Advisory Agreement for and on behalf of the City of Lynwood. The Mayor is also authorized to execute the Resolution for and on behalf of the City of Lynwood.

Section 4. The City Clerk shall certify to the adoption of this Resolution, which shall be effective upon its adoption.

PASSED, APPROVED and ADOPTED this _______ day of June 2023.

Oscar Flores, Mayor
ATTEST: APPROVED AS TO CONTENT
Maria Quinonez, City Clerk Noel Tapia, City Attorney
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AGENDA STAFF REPORT

DATE:

July 18, 2023
TO:

Honorable Mayor and Members of the City Council
APPROVED BY:

Ernie Hernandez, City Manager
PREPARED BY:

Gabriel Linares, Community Development Director
SUBJECT:

THE LYNWOOD CANNABIS RETAIL SALES BUSINESS LICENSE

SELECTION PROCESS PHASE III
Agenda Item # 10.1.

Recommendation:

Staff respectfully recommends:

The City Council approve by motion u
p to
six (6) from the following eight (8) Lynwood
Cannabis Retail License Applicants in accordance with the Attached Ordinance entitle
d
“THE

LYNWOOD CANNABIS RETAIL SALES REGULATION AND PUBLIC SAFETY ORDINANCE.”

A. Approve a Resolution granting a retail cannabis business license to Catalyst Lynwood LLC.

B. Approve a Resolution granting a retail cannabis business license to Emerald Ventures Inc.

C. Approve a Resolution granting a retail cannabis business license to Perfect Prime 9 D. Approve a Resolution granting a retail cannabis business license to RD Lynwood Retail LLC.

E. Approve a Resolution granting a retail cannabis business license to Shryne Lynwood LLC.

F. Approve a Resolution granting a retail cannabis business license to Wellgreens Lynwood LLC.

G. Approve a Resolution granting a retail cannabis business license to Culture CC Lynwood Shop, Inc.

H. Approve a Resolution granting a retail cannabis business license to Haven Lynwood LLC.

City Council City Council Regular Meeting 637

Background:

In December 2016, the City adopted Chapter 4-34 to the Lynwood Municipal Code allowing and establishing comprehensive regulations legalizing, controlling, and regulating commercial cannabis activities related to nonmedicinal cannabis for use by adults twenty-one (21) years of age and older, including the storefront retail sale of nonmedical cannabis for use by adults twenty-one (21) years of age and older in the City as permitted by Proposition 64, the Adult Use of Marijuana Act ("AUMA"), which was overwhelmingly approved by California voters.

Chapter 4-34 expressly prohibited storefront retail nonmedical cannabis businesses.

In July 2022, the City Council discussed the financial advantages of allowing for Retail Cannabis sales. Allowing limited retail cannabis sales would provide land uses that provide financial opportunities that meet the needs of the City by providing a balanced and functional mix of land uses, new patterns of land uses that complement the overall character and existing uses, promote land uses that capitalize on the opportunities and mitigates the negative impacts of the City's adjacency to major transportation systems, plan for a range of commercial sites that serve the needs of those living, working, and visiting Lynwood and help develop Lynwood into a viable commercial retail center for the area, and provide commercial merchandising and retailing establishments that serve the needs of the residents and businesses of Lynwood. The new use proposed under this Ordinance would expand the commercial revenue base in the City of Lynwood, which would provide additional funding for important public services. The proposed Retail Cannabis Retail sales uses was consistent with many other communities Statewide and implemented by other Southern California cities, including the City of Los Angeles.

In furtherance of these goals, the Planning Commission voted to recommended and the City Council approved an Ordinance amending Section 25 -2001-1 of Chapter 25 (Zoning) of the Lynwood Municipal Code and Appendix A to Chapter 25 (Uses by Zoning District).

The City Council amended Chapter 25 (Zoning) to allow the storefront retail sale of medicinal and nonmedicinal cannabis within the following City zoning districts: C-2A (Medium Commercial District), C-3 (Heavy Commercial District), or M (Manufacturing District), including any overlay zones, in particular any SPA (Specific Plan Area) covering the C-2A (Medium Commercial District), C-3 (Heavy Commercial District), or M (Manufacturing District), subject to the requirements of Chapter 4-35, which proposes establishing strong and comprehensive development standards and permitting requirements for storefront retail sales of medicinal and nonmedicinal cannabis.

City Council City Council Regular Meeting 638
Additionally, the City Council approved and adopted Ordinance 1751, which established procedures for the application and award of retail cannabis business permits. The award process includes scoring based on criteria contained in the ordinance. Applicants are scored on (1) the owner's qualifications, (2) plans, renderings and location, (3) business and operations plan, (4) security plan, (5) safety plan, (6) neighborhood compatibility plan, (7) community benefits plan and (8) a labor and employment plan. Ordinance 1751 allows the City Council to award up to six retail cannabis business permits. The process includes review, evaluation and recommendation by both the City Manager and an Ad Hoc Committee comprised of members of the City Council.

Ordinance 1751 also established operation requirements that regulate the operation of such businesses. These requirements include security measures, hours of operation, sign guidelines, odor control devices, background check requirements, minimum distance requirements form sensitive uses (defined as day care centers, public parks, schools, and youth centers), prohibition on loitering and other regulations designed to limit potential impacts on the community.

Ordinance 1751 includes a community benefits plan where applicants are scored on the strength of their community benefits plan. All Applicants pledged to voluntarily provide a public benefit to a public use, which is defined as a direct financial contribution equal to one (1) percent of projected gross receipts of the applicant to the following City sponsored programs/cause. The City will receive these funds and may use these funds for such purposes as senior citizen programs, City beautification efforts, the enforcement of illegal cannabis operations, public safety, housing programs, recreation services, infrastructure, and/or any other partnerships that provide a community benefit.

Ordinance 1751 also includes a procedure to revoke a permit if the City finds that a permit holder is operating in breach of the terms of the permit. Similarly, Ordinance 1751 also provides that permit holders are subject to fines and possible criminal prosecution if the City finds that the permit is operating in violation of the City's Municipal Code.

Essential to the City's ability to take advantage of the revenue opportunities created by allowing limited retail cannabis sales is the establishment of an appropriate cannabis retailer business license tax. As previously stated, these revenues will help fund critical public services. Staff recommended implementation of the five percent tax rate for the time being to be very competitive in the market and to help stimulate the local economy, restore lost revenue and to have the resources to continue providing core services to the public, such as public safety, public works and critical quality of life programs such as recreation and community services. Changes in the tax rate can be considered in the future when post pandemic economies return and/or the needs of the community change.

Importantly, Ordinance 1751 provides that retail cannabis business permits shall not become City Council City Council Regular Meeting 639
valid, even if the Council awards the permits, unless and until City residents approve a cannabis retailer business license tax. Proposition 218 as contained in the California Constitution requires the City to obtain majority voter approval of any business license tax increase or addition. To that end, the City Council adopted Resolution #2022.235 that facilitated the placing of a measure asking the voters to consider the approval of a cannabis retailer business license tax. This measure was passed by voters in the November 8, 2022 election by nearly 70% of Lynwood voters.

The City Council previously adopted cannabis retail fees in the FY2020-21 Master Fee Schedule. The current fees for implementation of the retail cannabis permit do not exceed the $26,878 amount approved in that schedule passed, approved, and adopted on September 15, 2020, Resolution 2020.115. Also, there will be no financial impact to the City for the application and selection process of applications, as all applicants will be required to submit fees to cover the cost of processing. Staff projects that the cannabis business license tax will generate an estimated $3 to $6 million in new general fund revenues. These funds are available for public safety enhancement, park improvements and programs, including youth and senior programs and activities, street repairs, anti-crime/drug programs and educational information, community clean-up and anti-graffiti efforts, and other related quality of life enhancements.

Discussion and Analysis:

The retail cannabis application period opened on November 21, 2022 and applications were deemed complete and accepted through December 20, 2022 at 5pm. The City Clerk accepted all eleven (11) submitted applications and then transferred application packages to the City’s Project Consultant, Tierra West Advisors a third party consultant with many years of experience, on December 21, 2022 for review and scoring purposes. The applications fees were delivered to City Accounting office that same day. Below is a list of the applicants and the order received;

1 .

Shrine (Stiizy)- Tak Sato
2 .

Emerald - Ani Kaprielian
3 .

RD Lynwood- Ryan Oganesian
4 .

OTC- Norman Yousif
5 .

Catalyst- Damian Martin
6 .

Haven- Mark Simonian
7 .

SKL- Scott Kawasaki
8 .

J H Green- Hezi Kahanian
9 .

Culture- Devon Julian
10 .

Perfect Prime- Javier Barajas
11 .

Wellgreens- Michael Steinberg

Ordinance 1751 establishes that the City Manager shall, as a ministerial duty, rank all applicants City Council City Council Regular Meeting 640
according to their scores and forward up to 12 applicants to interview with the Ad Hoc Committee.

Tierra West Advisors reviewed and scored the applications on behalf of the City Manager. During the months of January and February 2023, Phase I review and scoring was completed by Tierra West Advisors staff under the supervision of the City Manager. The scoring process involved verification of objective requirements and scoring of subjective qualifications based on Ordinance 1751.

Tierra West Advisors provided its scoring results to the City Manager upon completion of scoring the eleven (11) applications. Consistent with the authority delegated to the City Manager by Ordinance 1751, the City Manager forwarded all eleven (11) applications to the Ad Hoc Committee for its review. On March 14, 2023, the applications and the scoring results were presented to the City Council appointed Ad Hoc Committee to begin the Phase II selection process. The City Council appointed Mayor Flores and Councilmember Solache to comprise the Ad Hoc Committee.

All 11 (eleven) applicants were intervie
wed by the Ad Hoc Committee on March 26, March 28,
or March 31, 2023. City staff prepared six (6) questions that were uniformly asked of the eleven (11) applicants by the Ad Hoc Committee. Other than related follow-up questions, the Ad Hoc Committee DID NOT ask questions outside of the questions that were prepared by City staff. Each applicant was given up to five (5) minutes to provide an introduction prior to the commencement of their respective interview. City staff allotted up to thirty (30) minutes for each applicant to complete its respective interview. City staff timed the interview sessions to ensure no interview exceeded thirty (30) minutes.

Consistent with the authority delegated to the Ad Hoc Committee by Ordinance 1751, the Ad Hoc Committee met on April 11, 2023 and selected six (6) of the eleven (11) applicants to move to Phase III consideration by the City Council. The Ad Hoc Committee relied on its review of the applications, the interviews of the applicants, the scoring conducted by Tierra West Advisors and the independent recommendation of the City Manager.

The Ad Hoc Committee selected the following applicants (listed alphabetically) for the City Council's consideration:

Catalyst-Lynwood, LLC, 5110 Imperial Hwy
Emerald Ventures, Inc., 3162 Martin Luther King Jr. Blvd Perfect Prime 9, 11328 Atlantic Ave
RD Lynwood Retail LLC, 11510 Alameda St
Shryne Lynwood LLC - dba Stillnzy, 10838 Long Beach Blvd Wellgreens- Lynwood LLC, 11100 Wright Road

City Council City Council Regular Meeting 641
May 16, 2023 City Council Meeting

The City Council was scheduled to consider the award of up to six (6) retail cannabis permits at its regular meeting on May 16, 2023. Approximately two hours before the commencement of the City Council meeting, the City received a letter from an applicant raising various concerns. The City Attorney recommended that the consideration of the award of cannabis permits be continued to a future date to allow legal counsel the opportunity to review the concerns. On the advice of the City Attorney, the City Council continued the item to a future date.

July 10, 2023 – Meeting of the Ad Hoc Committee

The Ad Hoc Committee met with City staff and legal counsel to re-consider the applications of the eleven (11) applicants. Once again, the Ad Hoc Committee relied on its review of the applications, the interviews of the applicants, the scoring conducted by Tierra West Advisors and the recommendation of the City Manager to review and rank the eleven (11) applicants.

The Ad Hoc Committee reviewed each element of the eight (8) components required to be presented by the applicants, which included:
(1) the owner's qualifications, (2) plans,
renderings and location, (3) business and operations plan, (4) security plan, (5) safety plan, (6) neighborhood compatibility plan, (7) community benefits plan and (8) a labor and employment plan.

Each Ad Hoc Committee member was requested to designate a score between 1 through 5 (5 being highest)

1-Did not meet minimum requirements or standards required 2-Met limited minimum requirement or standards required 3-Met minimum requirements or standards required
4-Presented in an above average manner materials meeting which met all requirements or standards required
5-Presented in an exceptional manner materials and information which met all requirements or standards required

This scoring approach allowed for each Ad Hoc Committee member to award up to 40 points based upon the eight (8) elements. An additional ten (10) points were allowed to be provided for other subjective considerations as deemed appropriate by the Ad Hoc Committee member City Council City Council Regular Meeting 642
for an individual total of fifty (50) points per applicant. Combining the two (2) Committee member scores could result in a maximum total of 100 points. The combined scores would equal the applicants final score from the Ad Hoc Committee.

Below is a table of the scoring for each Committee member based upon the above cited approach.

SOLACHE

Qualifications
Plans
Business
Plan
Security
Safety
Neighborhood
Community
Labor
Discretion
TOTAL
1 Stillnzy
5 5
5 5
5 5
5 5
9 49
2 Catalyst
5 5
5 5
5 4
5 5
9 48
3 Emerald
Ventures
4 5
5 5
5 4
5 5
9 47
4 RD
Lynwood
Retail
5 5
4 5
5 5
5 5
9 48
5 Perfect
Prime
5 4
4 5
5 4
5 5
9 46
6 Culture
5 5
4 5
5 5
5 5
7 46
7 Wellgreens
5 5
5 5
5 5
5 5
9 49
8 Haven
5 5
5 5
5 5
5 5
6 46
9 SKL
5 5
5 5
5 5
5 5
5 45
10 OTC
5 5
5 5
5 5
5 5
4 44
11 JH Green
5 5
5 5
3 5
5 5
4 42

FLORES

Qualifications
Plans
Business
Plan
Security
Safety
Neighborhood
Community
Labor
Discretion
TOTAL
1 Stillnzy
5 5
5 5
5 5
5 5
10 50
2 Catalyst
5 5
5 5
5 5
5 5
9 49
3 Emerald
Ventures
5 5
5 5
5 5
5 5
9 49
4 RD
Lynwood
Retail
5 5
4 5
5 5
5 5
9 48
5 Wellgreens
5 4
4 5
5 4
5 5
9 46
6 Perfect
Prime
5 5
4 5
5 5
5 5
8 47
7 Haven
5 5
5 5
5 5
5 5
5 45
8 Culture
5 5
5 5
5 5
5 5
6 46
9 OTC
5 5
5 5
5 5
5 5
5 45
10 SKL
5 5
5 5
5 5
5 5
4 44
11 JH Green
5 5
5 5
5 5
5 5
4 44

City Council City Council Regular Meeting 643
Below is a table with the Ad Hoc Committee's f
inal score and ranking.

Applicant
Final Score

1 Stillnzy
99 2
Catalyst
97 3
Emerald Ventures
96 4
RD Lynwood Retail
96 5
Perfect Prime
93 6
Culture
92 7
Wellgreens
95 8
Haven
91 9
SKL
89 10
OTC
89 11
JH Green
86 The Ad Hoc Committee selected the below eight (8) applicants to be considered by the City Council:

1. Shryne Lynwood LLC - dba Stillnzy, 10838 Long Beach

2. Catalyst-Lynwood, LLC, 5110 Imperial Hwy

3. Emerald Ventures, Inc., 3162 Martin Luther King Jr. Blvd

4. RD Lynwood Retail LLC, 11510 Alameda St

5. Blvd Wellgreens- Lynwood LLC, 11100 Wright Road

6. Perfect Prime 9, 11328 Atlantic Ave

7. Culture CC Lynwood Shop, Inc, 2826 Norton Avenue

8. Haven Lynwood, LLC, 11038 Atlantic Avenue

Before summarizing the final step of this process, it is important to address the misconceptions of this process and evaluate those misconceptions in relationship to the reality of the process and the global cannabis business operations that exists throughout California and elsewhere.

MISCONCEPTION
: Approval of cannabis licenses has been a quick process without thorough review.

REALITY:

All applicants were required to complete a detailed application which required extensive information relating to their background, including criminal background, financial information, and business expertise in the cannabis industry. This process has been on-going for over seven (7) months, with an additional layer of review by an independent, impartial expert in this process. The review of all applicants has included separate review by the City Manager and the City Council Ad Hoc Committee.

MISCONCEPTION
: Cannabis store-front operations will be located next to sensitive uses within the City.

REALITY
: Cannabis store-front businesses must be over two (2) football fields (650 feet) from any school or day care center and over three (3) football fields (950 feet) from any park or youth center. These businesses can only be located in areas zoned for Medium or Heavy Commercial Districts, or Manufacturing Districts.

MISCONCEPTION
: Customers will be allowed to use cannabis merchandise in the store-front City Council City Council Regular Meeting 644
operations.

REALITY
: No on-site use of any cannabis merchandise or materials is allowed and both the operators and customers would be subject to criminal prosecution.

MISCONCEPTION
: Lynwood neighborhoods will be subjected to move criminal activity as a result of the City’s approval of the business licenses.

REALITY
: All business operations must have a safety program in place which is reviewed and approved by law enforcement and the City. Cameras must be installed both inside and outside of the business operations to monitor all activities that surround the location. All operators must contribute to a community benefit and educational program fund. Failure to comply with all requirements can result in a revocation of the cannabis business license.

The voters of the State of California have approved these types of cannabis business operations, the voters of the City of Lynwood has approved the fees and taxes imposed upon these business. The City Council has established strict rules and regulations upon all operators who will be issued licenses, which will require reoccurring review and oversite.

Revenues generated will be utilized to improve and enhance City services, programs and operations.

With the above consideration and evaluation, this matter is now before the City Council for final review, consideration and possible approval.

July 18 City Council Meeting – Phase 3 Council Consideration of Award of Up to Six Cannabis Permits.

The Phase III process will consist of the City Council reviewing the Ad Hoc Committee’s recommended applicants and awarding up to six (6) retail cannabis business licenses.

The
City
Council has the discretion to accept, modify or reject the Ad Hoc Committee’s recommendation. Once the Council concludes their review process and selects the applicants moving forward in the process, the awardees shall submit to the Community Development Department applications for a Business license and shall submit plans for building permits for the proposed improvements to the approved locations. Retailers may begin operating once all permits are issued, inspections are completed and a valid certificate of occupancy is issued along with a valid business license. Any changes to the locations are subject to all the regulations of Ordinance No. 1751 and would have to comply with the location and design requirements for cannabis retailers.

Fiscal Impact:

Staff projects that new cannabis retail tax revenues may be realized in the later half of fiscal years 23/24 and will continue to ramp up in 24/25 as the retail cannabis businesses are established. The revenue is also dependent on how many business are approved.

Conservative revenue estimates are as follows and are dependent on applicant execution of construction and number of approved business licenses.

Estimated first year 23/24 retail revenues may be $ 500,000.00 Estimated 2nd year 24/25 retail revenues may be $ 1,250,000.00

City Council City Council Regular Meeting 645
Ord. 1751 - Final Lynwood Cannabis Retail Sales Regulation - Second Read.._ - Copy.pdf
Coordinated With:

Retail Cannabis Ad-hoc committee- Recommends moving forward for Council consideration.

Approved as to form by City Attorney
ATTACHMENTS:

Description
City Council City Council Regular Meeting 646

1 ORDINANCE NO. 1751

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LYNWOOD ADDING SECTION 35 TO CHAPTER 4 LICENSING AND BUSINESS

REGULATIONS OF THE LYNWOOD MUNICIPAL CODE RELATING TO

THE LICENSING AND REGULATION OF CANNABIS RETAILERS IN

THE CITY OF LYNWOOD AND ACCOMPANYING AMENDMENTS TO
SECTION 34 OF CHAPTER 4 LICENSING AND BUSINESS

REGULATIONS OF THE LYNWOOD MUNICIPAL CODE

WHEREAS, Section 7 of Article XI of the California Constitution authorizes the City of Lynwood (the “City”) to make and enforce within its jurisdictional limit ordinances and regulations not in conflict with general laws to protect and promote the public health, safety, and welfare of its residents; and

WHEREAS, on November 8, 2016, California voters approved Proposition 64, titled “The Adult Use of Marijuana Act ” and enacted a S tate-level statutory scheme for legalizing, controlling, and regulating commercial cannabis activity related to nonmedicinal cannabis for use by adults twenty-one (21) years of age and older, including the storefront retail sale of nonmedical cannabis for use by adults twenty-one (21) years of age and older, and on June 27, 2017, the Medicinal and Adult Use Cannabis Regulation and Safety Act was signed into law, which provides a comprehensive regulatory framework for licensing, control, and taxation of commercial cannabis activity related to medicinal and nonmedicinal use in California; and

WHEREAS, on December 20, 2016, the City Council of the City of Lynwood (the “City Council”) adopted Ordinance No. 1688 adding Chapter 4-34 to the City of Lynwood Municipal Code (the “City Municipal Code”) and accepting Planning Commission recommendations, with Chapter 4- 34 of the City Municipal Code being subsequently amended by Ordinance No. 1700 (adopted by the City Council on September 19, 2017) and by Ordinance No. 1707 (adopted by the City Council on January 2, 2018), licensing and regulating all forms of commercial cannabis activity, except the storefront retail sale of medicinal and nonmedicinal cannabis; and

WHEREAS, Chapter 4- 34 of the City Municipal Code presently prohibit s the storefront retail sale of medicinal and nonmedicinal cannabis; and

WHEREAS, the City Council desires to establish a strong and effective regulatory system with regard to the storefront retail sale of medicinal and nonmedicinal cannabis that protects the public health, safety, and environmental resources, provides a consistent regulatory pathway for the storefront retail sale of medicinal and nonmedicinal cannabis consistent with S tate regulations, fosters healthy, diverse, and economically viable the cannabis retailers that contribute to the local economy, and ensures that environmental, 647

2 public health, safety and nuisance factors related to the storefront retail sale of medicinal and nonmedicinal cannabis are adequately addressed; and

WHEREAS, in furtherance of these goals, the City Council desires to add Chapter 4-35 to the City Municipal Code and amend Chapter 4-34 of the City Municipal Code to establish development standards and permitting requirements to allow the storefront retail sale of medicinal and nonmedicinal cannabis within limited City zoning districts; and

WHEREAS, the City Council further desires to implement reasonable regulations that are intended to address the secondary negative impacts to the City and its resources, including, nuisance impacts and criminal impacts that may result from the operation of cannabis retailers in the City and to ensure that the effects such impacts may have on the health, safety, and welfare of businesses and residents within the City are mitigated to the greatest extent possible; and

WHEREAS, the City Council is aware that both community benefits and potential adverse impacts may result from the operation of cannabis retailers in the City, and, therefore, desires to: (1) help ensure that all such impacts are adequately mitigated and offset by the potential community benefits those businesses can provide to the City and its residents and (2) to help provide sufficient code enforcement and law enforcement resources to address such adverse impacts and to ensure compliance with all applicable laws and regulations.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES ORDAIN AS FOLLOWS:

SECTION 1. This Ordinance shall be known and may be cited as “T he Lynwood Cannabis Retail Sales Regulation and Public Safety Ordinance” (the “Ordinance”).

SECTION 2. Purpose and Intent. The purpose and intent of this Ordinance is to accommodate the needs of medically -ill persons in need of cannabis for medicinal purposes, as advised and recommended by their health care provider(s), and adults over the age of twenty -one (21), and to implement State of California (“State”) law, which includes, but is not limited to the provisions of the Medicinal & Adult -Use Cannabis Regulation & Safety Act (hereinafter, “MAUCRSA”), as may be amended and augmented under State law, while imposing regulations on the conduct of business and use of land to protect the City of Lynwood’s (the “City”) neighborhoods, residents, and businesses from negative impacts. It is a further purpose and intent of this Ordinance to regulate the retail sale of cannabis and cannabis products in a manner which is responsible, which protects the health, safety, and welfare of the residents of the City , and which enforces rules and regulations consistent with State law. In part to meet these objectives, a retail cannabis business permit shall be required to own or to operate a cannabis retailer within the City. Further, this Ordinance’s requirement for a cannabis retailer to possess a retail cannabis business permit is in addition to any other permits, licenses , and approvals 648

3 which may be required to conduct business in the City, and is in addition to any permits, licenses, and approvals required under State or County of Los Angeles (“County”) law.

SECTION 3. Legal Authority. Pursuant to Section 7 of Article XI of the State Constitution, and the provisions of the MAUCRSA, as may be amended and augmented under State law and any subsequent State legislation regarding the same, the C ity is authorized to adopt ordinances that establish standards, requirements, and regulations for local licenses and permits for cannabis retailers. Except as otherwise provided in this Ordinance, any standards, requirements, and regulations regarding health and safety, security, and worker protections established by the State, or any of its departments or divisions, shall be the minimum standards applicable to the retail sale of cannabis and cannabis products in the City.

SECTION 4. Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended by adding Chapter 4-35 (Cannabis Retailers) to read as follows:

Chapter 4-35: CANNABIS RETAILERS

4-35.1: Cannabis retailers prohibited unless specifically authorized.

a. Except as specifically authorized by this Chapter 4-35, to the fullest extent permitted by State law, the City expressly prohibits any and all cannabis retailers within the City.

b. Nothing in this Chapter 4-35 shall be construed or interpreted to permit the commercial possession, furnishing, manufacture, cultivation, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery, or sale of industrial hemp.

c. To the extent expressly authorized in this Chapter 4-35 of the City Municipal Code, cannabis retailers are permitted in the City, subject to the satisfaction of all requirements set forth in this Chapter 4-35, MAUCRSA, and all other applica ble State and local laws, rules, and regulations.

4-35.2: Compliance with laws.

It is the responsibility of the owners, managers, officers, employees, and agents of any cannabis retailer to ensure that it is operating in a manner compliant with all applicable State and local laws and any regulations promulgated thereunder. Nothing in this Chapter 4-35 shall be construed as in conflict with State law.

4-35.3: Definitions.

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4 When used in this Chapter 4-35, the following words shall have the meanings ascribed to them as set forth herein. Words and phrases not specifically defined below shall have the meanings ascribed to them elsewhere in this Code or shall otherwise be defined by common usage. For definiti ons of nouns, the singular shall also include the plural; for definitions of verbs, all verb conjugations shall be included. Any reference to State statutes includes any regulations promulgated thereunder and is deemed to include any successor or amended version of the referenced statute or regulatory provision.

“Applicant” means the person applying for the retail cannabis business permit under this Chapter 4-35 (not the owners or the managers of the applicant).

“Cannabis” has the same meaning as defined in Chapter 4-34 of the City Municipal Code.

“Cannabis Concentrate” means cannabis that has undergone a process to concentrate one or more active cannabinoids, thereby increasing the product’s potency. Resin from granular trichomes from a cannabis plant is a concentrate for purposes of this Chapter 4-

35. A cannabis concentrate is not considered food, as defined by Section 109935 of the State Health & Safety Code, or drug, as defined by Section 109925 of the State Health & Safety Code.

“Cannabis Product” means cannabis that has undergone a process whereby the plant material has been transformed into a concentrate, including, but not limited to, concentrated cannabis, or an edible or topical product containing cannabis or concentrated cannabis and other ingredients.

“Cannabis Retailer” or “R etailer” or “D ispensary” means a location where cannabis, cannabis products, or devices for the use of cannabis or cannabis products are offered, either individually or in any combination, for retail sale, including a cannabis retailer establishment that delivers cannabis and cannabis products.

“Caregiver” or “Primary Caregiver” has the same meaning as that term is defined in Section 11362.7 of the State Health & Safety Code.

“City” means the City of Lynwood.

“City Attorney” means the City Attorney of the City of Lynwood or his or her designee(s).

“City Council” means the City Council of the City of Lynwood.

“City Manager” means the City Manager of the City of Lynwood or his or her designee(s).

“Commercial Cannabis Activity” has the same meaning as defined in Chapter 4- 34 of the City Municipal Code

650

5 “Commercial Cannabis Business” has the same meaning as defined in Chapter 4- 34 of the City Municipal Code.

“County” means the County of Los Angeles.

“Customer” means a natural person twenty -one (21) years of age or over or a natural person eighteen (18) years of age that is a qualified patient or primary caregiver.

“Day Care Center” or “Childcare Facility” means a facility, other than a family day care home, serving infant, toddler, preschool, and school age children, licensed by the State Department of Social Services pursuant to Section 1596.951 of the State Health & Safety Code. Pursuant to the authority delegated by the State to the City under Section 26054(b) of the State Business & Professions Code, this definition of “Day Care Center” under this Chapter 4-35 shall override the definition of “ Day Care Center” in MAUCRSA at Section 26001 of the State Business & Professions Code.

“Delivery” has the same meaning as defined in Chapter 4-34 of the City Municipal Code.

“Edible Cannabis Product” means a cannabis product that is intended to be used, in whole or in part, for human consumption, including, but not limited to, chewing gum, but excluding products set forth in Division 15 (commencing with Section 32501) of the State Food & Agriculture Code. An edible cannabis product is not considered food, as defined by Section 109935 of the State Health & Safety Code, or drug, as defined by Section 109925 of the State Health & Safety Code. An edible cannabis product shall not be deemed to be adulterated pursuant to Section 26131 of the State Business & Professions Code solely because it contains cannabis.

“Employee” means each natural person employed by a cannabis retailer who is a part- time, full-time, temporary, or permanent employee.

“Gross receipts” means, except as otherwise specifically provided herein, whether designated as a sales price, royalty, rent, commission, dividend, or other designation, the total amount (including all receipts, cash, credits , and property of any kind or nature) received or payable for sales of goods, wares, or merchandise without any deduction therefrom on account of the cost of the property sold, the cost of materials used, labor, or service costs, interest paid or payable, losses, or any other expense whatsoever.

However, the following shall be excluded from gross receipts:

a. Cash discounts where allowed and taken on sales;

b. Any tax required by law to be included in or add ed to the purchase price and collected from the consumer or purchaser;

651

6 c. Such part of the sale price of any property returned by purchasers to the seller as refunded by the seller by way of cash or credit allowances or return of refundable deposits previously included in gross receipts;

d. Receipts derived from the occasional sale of used, obsolete, or surplus trade fixtures, machinery, or other equipment used by the taxpayer in the regular course of the taxpayer’s business;

e. Cash value of sales, trades, or transactions between departments or units of the same business;

f. Receipts of refundable deposits, except that such deposits when forfeited and taken into income of the business shall not be excluded when in excess of one dollar; and

g. Any proceeds resulting from a transfer or change of ownership or control in the business.

“Labor Peace Agreement” means an agreement between a cannabis retailer and any bona fide labor organization that, at a minimum, protects the City’s proprietary interests by prohibiting labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with a cannabis retailer. This Agreement means that the cannabis retailer has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the cannabis retailer ’s employees. The Agreement shall provide a bona fide labor organization access at reasonable times to areas in which the cannabis retailer ’s employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under State law, and terms and conditions of employment.

“Licensing Authority” means a State agency responsible for the issuance, renewal, or reinstatement of State license, or a State agency authorized to take disciplinary action against a State licensee.

“Liquid Assets” means assets that can be readily converted into cash. “Liquid asset s” include, but are not limited to, the following: funds in checking or savings accounts, certificates of deposit, money market accounts, mutual fund shares, publicly traded stocks, and United States savings bonds. “Liquid assets” does not mean household items, furniture and equipment, vehicles, cannabis or cannabis products, business inventory, or real property and improvements thereto.

“Manager” means any individual who will be participating in the direction, control, or management of an applicant or a permittee, including but not limited to, any (i) manager or managing member or other officer of a limited liability company applicant or permittee 652

7 or (ii) president, chief executive officer, secretary, treasurer, chief financial officer, or other officer of a for profit corporation applicant or permittee.

“Marijuana” means “cannabis” as that term is defined in this Chapter 4-35.

“MAUCRSA” means Division 10 (commencing with Section 26000) of the State Business and Professions Code and any regulations promulgated thereunder.

“Ordinance” means The Lynwood Cannabis Retail Sales Regulation and Public Safety Ordinance.

“Owner” means any of the following:

a. A person owning in the aggregate equity interests representing twenty (20) percent or more of the voting power of all outstanding equity in the applicant or a permittee;

b. The president, chief executive officer, secretary, treasurer, or chief financial officer of a nonprofit applicant or permittee; or

c. A member of the board of directors of a nonprofit applicant or permittee.

Notwithstanding the above, every applicant and permittee must have at least one individual person designated as an “owner” for the purpose of compliance with this Chapter 4-35, including the review and evaluation of any retail cannabis business permit application.

“Panic Button” means a n emergency electronic contact device which allows an employee in the event of an ongoing crime, threat, or other emergency to alert a security guard responsible for providing immediate on-scene assistance.

“Patient” or “Qualified Patient” means a natural person who is entitled to the protections of Section 11362.5 of the State Health & Safety Code and includes a person issued an identification card issued pursuant to Article 2.5 of Chapter 4-35 of Division 10 of the State Health & Safety Code.

“Permittee” means the holder of a valid, City-issued retail cannabis business permit.

“Person” means an individual/natural person, firm, partnership, joint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit and includes the plural as well as the singular number.

“Person With An Identification Card” shall have the meaning given to that term in Section 11362.7 of the State Health & Safety Code.
653

8 “Premises” means the designated structure or structures and land specified in the retail cannabis business permit application that is owned, leased, or otherwise hel d under the control of the applicant or permittee where cannabis retail sales will be or is conducted.

The premises shall be a contiguous area and shall only be occupied by one permittee.

“Public Park” means an outdoor premises containing existing or proposed parks, including community parks, neighborhood parks, mini -parks, and urban parks that are currently or proposed to be owned or operated by the City or other governmental agency. “Public Park” shall not include any youth center.

“Retail Cannabis Business Permit ” means a regulatory permit/license issued by the City pursuant to this Chapter 4-35 to a cannabis retailer and is required before any cannabis retail sales may be conducted in the City and is made expressly contingent upon the cannabis retailer’s ongoing compliance with all of the requirements of this Chapter 4- 35 and any regulations adopted by the City governing cannabis retail sales.

“Retail Sale(s)” or “Dispensing” means any activity involving the retail sale of cannabis or cannabis products from a retailer.

“Sale” means any sale, exchange, or barter or other transaction for any consideration.

“School” means as evidenced by the State Department of Education school directory, a public school instructing children in grades kindergarten through 12, as authorized by the State Department of Education or a private school instructing children in grades kindergarten through 12 that has filed a verification of private school affidavit with the State Department of Education pursuant to Section 33190 of the State Education Code, excluding any private school in which education is primarily conducted in a private home.

Pursuant to the authority delegated by the State to the City under Section 26054(b) of the State Business & Professions Code, this definition of “school” under this Chapter 4-35 shall override the definition of “school” used in MAUCRSA or Section 11362.768 of the Health & Safety Code.

“State” means the State of California.

“State License” means a permit or license issued by the State, or one of its departments or divisions, under MAUCRSA and any subsequent State legislation regarding the same to engage in cannabis retail sales.

“Topical Cannabis” means a cannabis product intended for external application and/or absorption through the skin. A topical cannabis product is not considered a drug as defined by Section 109925 of the State Health & Safety Code.

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9 “Youth Center” means any facility that is operated by a public agency or nonprofit entity with the sole purpose of providing educational and/or recreational services to minors. “Youth center” shall not include (a) any public park, (b) any private martial arts, yoga, ballet, music, or similar studio of this nature, or (c) any private athletic training facility, pizza parlor, restaurant, video arcade, dentist office, or doctor’s office primarily serving children. Pursuant to the authority delegated by the State to the City under Section 26054(b) of the State Business & Professions Code, this definition of “youth center” under this Chapter 4-35 shall override the definition of “youth center” in MAUCRSA at Section 26001 of the State Business & Professions Code.

4-35.4: Retail Cannabis Business Permit Required.

a. No person shall operate a cannabis retailer or engage in cannabis retail sales within the City unless such business or activity is currently in compliance with all applicable State and local laws, rules, and regulations and the cannabis retailer has all of the following:

1. A valid City business license to conduct such business or activity;

2. A valid retail cannabis business permit issued by the City pursuant to this Chapter 4-35 to conduct such business or activity;

3. A valid State license authorizing such business or activity in the City; and

4. A valid certificate of occupancy issued by the City’s Building & Safety Division to conduct the cannabis retail sales at the premises identified in the retail cannabis business permit.

4-35.5: Number of Authorized Cannabis Retailers Permitted.

a. The City Council may award up to six retail cannabis business permits within the City.

b. Nothing in this Chapter 4 -35 creates a mandate that the City must authorize any specific number of retail cannabis businesses permits. The City reserves the discretion to determine that it is in the best interest of the C ity to not issue the full number of retail cannabis business permits authorized in this Sectio n 4-35.5 or to reduce the number of retail cannabis business permits authorized in this Section 4-35.5. However, the City may not increase the number of retail cannabis business permits authorized in this Section 4-

35.5, except as required by (i) a judicial remedy or (ii) a vote of the people of the City.

4-35.6: Location and Design Requirements for Cannabis Retailers.

655

10 Pursuant to the authority delegated by the State to the City under Section 26054(b) of the State Business & Professions Code and overriding the location and design requirements contained in Section 26054(b) of the State Business & Professions Code, cannabis retailers in the City shall be subject to the following location and design requirements:

a. Cannabis retailers shall be a permitted use subject to this Chapter 4-35 on property (1) located more than six-hundred-fifty (650) feet from any school or day care center, (2) located more than nine-hundred-fifty (950) feet from any public park or youth center, and (3) zoned: C- 2A (Medium Commercial District), C- 3 (Heavy Commercial District), or M (Manufacturing District), including any overlay zones, in particular any SPA (Specific Plan Area) covering the C-2A (Medium Commercial District), C-3 (Heavy Commercial District), or M (Manufacturing District)

b. T he distances specified in this Secti on 4-35.06 shall be the horizontal distance measured in a straight line from the parcel line of the sensitive use to the closest parcel line of the lot on which the cannabis retailer is to be located without regard to intervening structures.

c. Each cannabis retailer shall:

1. Be constructed in a manner that prevents odors to surrounding uses, and promotes quality design and construction, and consistency with the surrounding properties. Odors from the cannabis retailer shall not be detectable from outside the premises and adequate odor control technology shall be utilized;

2. Be provided with adequate electricity, sewerage, disposal, water, fire protection, and storm drainage facilities for the intended purpose; and

3. P rovide and maintain a neighborhood compatibility plan so the City Manager or designee(s) may find that the cannabis retailer and its operating characteristics are not detrimental to the public health, safety, convenience, or welfare of persons residing, working, visiting, or recreating in the surrounding neighborhood and will not result in the creation of a nuisance.

4-35.7: Cannabis Retailer Application Procedure.

a. T he City Manager, pursuant to Section 4-35.22, shall, as a ministerial duty, make available the necessary forms, adopt any necessary application rules for the submission, intake, review, and approval of retail cannabis business permit applications for retailers up to the number of retail cannabis business permits authorized in Section 4-35.5.

b. The City Manager shall, as a ministerial duty, cease acceptance of retail cannabis business permit applications thirty (30) days after making available the necessary forms 656

11 and adopting any necessary application rules for the submission, intake, review, and approval of retail cannabis business permit applications for retailers.

c. The City Manager shall , as a ministerial duty, review timely submitted retailer applications for the following minimum requirements:

1. Payment of a non-refundable application fee established by resolution of the City Council;

2. Sufficient evidence of the legal right to use the proposed property for the proposed use, to include ownership, a lease, sublease, purchase agreement, assignment of purchase agreement, or lease or purchase option, in the name of the applicant, which may include nominal consideration and be contingent upon issuance of a retail cannabis business permit or other approvals. The City shall only consider one applicant per County Assessor’s Identification Number. In the event that more than one applicant applies for a retail cannabis business permit application at a given property address or a given County Assessor’s Identification Number , the City Manager shall, as a ministerial duty, only accept the retail cannabis business permit application with the earliest effective date for the evidence of the legal right to use the proposed property for the proposed use in the name of the applicant;

3. Sufficient evidence to demonstrate that the proposed property complies with location and zoning requirements in Section 4-35.6;

4. Proof of funds showing that the A pplicant has access and control of over $1,000,000.00 in liquid assets (which such liquid assets having been under possession for at least ninety (90) days prior to the date of the application submission under this Section), which may be shown via a binding legal agreement in the name of the Applicant such as a promissory note so long as said legal agreement is accompanied by a proof of funds in the name of a party to the agreement so long as that demonstrates access and control of over $1,0 00,000.00 in liquid assets under possession for at least ninety (90) days prior to the date of the application submission un der this Section. Applicants and Permittees shall not be required to show that the Applicant or Permittee has access and control of over $1,000,000.00 in liquid assets except on initial application pursuant to this Section 4-35.7, a change in location application pursuant to Section 4-35.13, or an ownership transfer application pursuant to Section 4-35.14;

5. A set of plans, including a site development plan, floor plan( s), building elevations (all four (4) sides), and a concept ual landscape plan with the percentage of landscaping in the parking lot, setback areas, and tree size and species;

6. Colored interior and elevation renderings;

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12 7. A completed background check application and receipt for each owner and manager of the Applicant pursuant to Section 4-35.18(l); and

8. The following application components: (a) Qualifications of the Applicant’s owners and managers ; (b) plans, renderings, and overall location; ( c) business and operations plan; (c) (d)security plan; (d) (e) safety plan; (e) (f) neighborhood compatibility plan; (f) (g) labor and employment plan; and (g) (h) community benefits plan.

The City Manager shall, as a ministerial duty, reject any retail cannabis business permit application that fails to meet the minimum requirements contained in this Subsection c, and applicants shall not have the right to supplement or amend their retail cannabis business permit applications once the City Manager has closed the window to submit an application.

d. T he City Manager shall , as a ministerial duty review and score any complete applications pursuant to the following objective review criteria, according to the following quantitative evaluation scale that holds a total criteria value of 1,000 points:

1. Qualifications of the Applicant’s Owners and Managers – 200 points

The City Council finds that a proven track -record of (i) business operations providing services or operating in the City or (ii) cannabis retailer operations experience, wherever performed, that successfully generate tax revenue carries out the purpose and intent of the Ordinance and are, therefore, critical for an applicant to demonstrate the qualifications of the Applicant’s Owners and Managers. Accordingly, 150 of the 200 points awardable under this Subsection 1 shall only be awarded, as a ministerial duty, (i) if an owner or owners of the Applicant with an aggregate ownership interest of fifty-one (51) percent or more is currently at the time of application submission under this Section and since at least February 1, 202 0, the President, CEO, or limited liability company manager of a business that provides (or has provided) services or operates (or has operated) in the City and that has generated at least $8 ,000,000.00 in annual gross receipts as demonstrated by the most recent tax payment receipts from, tax filings to, or tax returns filed by the business with a city, county, state, of the federal government or by a letter from a certified public accountant attesting to the business ’s gross receipts or (ii) if an owner or owners of the A pplicant with an aggregate ownership interest of fifty -one (51) percent, is currently at the time of application submission under this Section an owner or owners with an aggregate ownership interest of fifty-one (51) percent of (or is an owner as a result of being the chief executive officer of a nonprofit entity of) a single licensed and lawfully operating commercial cannabis retailer operation (excluding any non-retailer microbusiness, cultivation, manufacturing, distribution, or other non- retailer commercial cannabis operation components) that has generated at least $5,000,000.00 in gross receipts in a consecutive six-month period in the year immediately preceding the date of the application submission under this Section, as demonstrated by tax payment receipts 658

13 from, tax filings to, or tax returns filed with a city, county, or state or by a letter from a certified public accountant attesting to the cannabis retailer’s gross receipts.

The remaining 100 50 of the 2 00 points awardable under this Subsection 1 shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

a. Up to 50 points – A d escription of the Applicant’s owner (s) and manager (s) qualifications detailing any experience operating cannabis retailers in any jurisdiction where cannabis retailers are permitted or special business or professional qualifications or licenses of the applicant’s owner (s) and manager(s) that would add to the quality of services that the cannabis retailer would provide, including in areas related to cannabis, such as legal, finance, business ownership/administration, waste management, real estate development, scientific, or healthcare or wellness fields.

2. Plans, renderings, and overall location – 150 points

The City Council finds that the further a cannabis retailer is located away from youth centers, the better a cannabis retailer will carry out the purpose and intent of the Ordinance (in particular the use of land to protect the City’s neighborhoods, residents, and businesses from negative impacts) and that the sensitive use buffer for youth centers contained in Section 4- 35.6 is a minimum rather than an ideal distance to carry out the purpose and intent of the Ordinance. Accordingly, 75 of the 150 points awardable under this Subsection 2 shall only be awarded, as a ministerial duty, if an Applicant’s proposed cannabis retailer is located on property located more than one- thousand five-hundred (1,500) feet from any youth centers identified and measured pursuant to Section 4-35.6 above and Section 14 of the Ordinance.

The remaining 75 of the 150 points awardable under this Subsection 2 shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

(a) Up to 10 points – A premise diagram in accordance with Section 5006 of Division 42 of Title 16 of the State Code of Regulations.

(b) Up to 10 points – A site development plan that provides information on existing conditions and proposed improvements to the site and how it meets or will meet the development standards outlined in Chapter 25 of the City Municipal Code , including adequate parking. Information on existing conditions shall include:

1) Exterior photographs showing all sides of any existing structure(s);

2) Photographs of existing parking areas, landscaping, trash enclosure, and signage;
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14 3) Information on existing use on the site, including the addresses, uses, and square footages.

4) Photographs of the existing site if the site is vacant; and

5) P hotographs of adjacent properties for context.

(c) Up to 15 points – A floor plan showing information on the existing layout and proposed layout of the building interior.

(d) Up to 20 points – Building elevations that provide information on existing conditions and proposed improvements.

(e) Up to 10 points – A conceptual landscape plan with the percentage of landscaping in the parking lot, setback areas, and tree size and species.

(f) Up to 10 points – Colored interior renderings and exterior elevation renderings (for both existing and/or proposed improvements).

3. Business and operations plan – 100 points

The 75 100 points awardable under this Subsection 3. shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

(a) Up to 5 points – A written description of the total square footage of the facility with estimated square footage of proposed uses.

(b) Up to 10 points – A schedule for beginning operations, including a narrative outlining any proposed construction improvements and a timeline for completion.

(c) Up to 15 points – A budget for construction, operation, maintenance, compensation of employees, equipment costs, utility costs, and other operating costs.

(d) Up to 10 points – A description of the sources(s) of capital and use(s) of capital.

(e) Up to 10 points – Pro forma financial statements for at least three (3) years of operation.

(f) Up to 10 points – A description of the type of products to be sold and the estimated quantity and value of product(s) to be sold. 660

15 (g) Up to 15 points – A description of marketing procedures and tactics.

(h) Up to 5 points – A description of day -to-day operations that should acknowledge both state and local laws and should be consistent with industry best practices.

(i) Up to 5 points – A description of hours of operation and opening procedures.

(j) Up to 5 points – A description of cash handling procedures.

(k) Up to 5 points – A description of inventory control procedures to include identification of point-of-sale systems, and track and trace software.

(l) Up to 5 points – A description of transportation, loadin g and unloading, distribution, or delivery procedures.

4. Security plan – 100 points

The 100 points awardable under this Subsection 4. shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

(a) Up to 20 points – The security plan shall be prepared by a professional security consultant.

(b) Up to 10 points – A premises security diagram.

(c) Up to 50 points – A description of access control, inventory control, cash handling, and other security procedures and security equipment demonstrating compliance with the security requirements under this Chapter 4-35.

(d) Up to 10 points – A description of the intrusion alarm and monitoring system including the name and contact information for the monitoring company.

(e) Up to 10 points – A description of the services of on- site security guards to include the ( 1) number of security guards; ( 2) the hours security guards will be on- site; (3) locations where security will be positioned; and (4) security guard responsibilities.

5. Safety plan – 100 points

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16 The 100 points awardable under this Subsection 5. shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

(a) Up to 20 points – The safety plan shall be prepared by a professional fire prevention and suppression consultant.

(b) Up to 10 points – A premises safety diagram to include ( 1) a description/illustration of evacuation routes and ( 2) location of fire extinguishers and other fire suppression equipment.

(c) Up to 50 points – A description of safety procedures, training for emergency situations, and safety equipment demonstrating compliance with the safety requirements under this Chapter 4-35.

(d) Up to 10 points – Identify all gases, pesticides, and chemicals to be used and their storage locations.

(e) Up to 10 points – A description of the firm alarm and monitoring system including the name and contact information for the monitoring company.

6. Neighborhood compatibility plan – 150 points

The 75 150 points awardable under this Subsection 6. shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

(a) Up to 75 points – A “Good Neighbor Policy” that (1) includes policies and measures in place to protect adjacent uses from any potential impacts (e.g., noise, light, odor, traffic, etc.) related to the proposed cannabis retailer, including addressing parking and traffic impacts and (2) describes how the cannabis retailer and its operating characteristics will be proactively managed so the business is not detrimental to the public health, safety, convenience, or welfare of persons residing, working, visiting, or recreating in the surrounding area and will not result in the creation of a nuisance.

(b) Up to 25 points – A description of odor mitigation practices to include:
(1) identifying potential sources of odor; ( 2) a description of odor control devices and techniques employed to ensure that odors from cannabis are not detectable beyond the permitted premises; and ( 3) all proposed staff odor training and system maintenance.

(c) Up to 25 points – A description of a waste management plan that includes waste disposal locations within the proposed premises and the 662

17 applicant’s security measures and methods of rendering waste unusable and unrecognizable.

(d) Up to 25 points – A description of efforts at
sustainability/environmental impact mitigation.

7. Community benefits plan – 100 points

The City Council finds that monetary donations to support City sponsored activities and programs carry out the purpose and intent of the Ordinance and are, therefore, critical for an applicant to demonstrate an effective community benefits plan. Accordingly, 80 of the 100 points awardable under this Subsection 7. shall only be awarded if the A pplicant pledges to voluntarily provide a public benefit to a public use (or a combination thereof), which is defined as a direct financial contribution equal to one (1) percent of projected gross receipts of the applicant to the following City sponsored programs/causes : (a) senior citizen programs, (b) City beautification efforts, (c) fund for enforcement of illegal cannabis operations, (d) public safety, (e) housing programs, (f) recreation services , (g) infrastructure, (h) general fund, and/or (i) any other proposed City efforts. Beyond the above, no further direct financial contributions shall be considered as part of an applicant’s community benefits plan.

The remaining 20 of the 100 points awardable under this Subsection 7. shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

(a) Up to 10 points – A description of a social responsibility plan to include identification of a community liaison and plans to aide and participate in the work of local non-profits, community-based organizations, civic organizations, or social services organizations.

(b) Up to 10 points – A description of a plan to develop a public health outreach and educational program that outlines the risks of youth use of cannabis and that identifies resources available to youth related to drugs and drug addiction.

8. Labor and employment plan – 100 points

The 100 points awardable under this Subsection 8. shall be awarded, as a ministerial duty, pursuant to the following objective criteria:

(a) Up to 5 points – An organizational chart of showing owners, managers, and employees.

(b) Up to 5 points – A description of the owner’s and manager’s roles in day-to-day operations and decisions.
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18 (c) Up to 5 points – A description of the number of employees, title/position, and their respective responsibilities

(d) Up to 15 points – A description of compensation to employees, opportunities for continuing education, and employee training.

(e) Up to 20 points – A description of whether the cannabis retailer is committed to offering employees a living wage.

(f) Up to 15 points – A description of benefits provided to employees such as health care, vacation, and medical leave, to the degree they are offered as part of employment.

(g) Up to 5 points – A description of a plan to recruit employees from socially and economically disadvantaged backgrounds.

(h) Up to 30 points – A description of a plan to have at least fifty (50) percent of employee positions filled, and hours worked by employees residing in the City.

e. Upon timely receipt of a retail cannabis business permit application, the City Manager shall conduct background checks in accordance with Section 4-35.18(l).

Following review and scoring of complete applications pursuant to objective review criteria under Subsection d. , the City Manager shall, as a ministerial duty, rank all applicants according to their scores received from Subsection d, and schedule meetings with an ad hoc committee formed by the City Council to review and interview up to the top 12 ranked applicants. Following its review and interview of the selected applicants, the ad hoc committee, in conjunction with City staff, shall score and rank the applicants and recommend up to the top 8 applicants for the City Council’s consideration of an award of retail cannabis bus iness permits. Upon receipt of the ad hoc committee’s recommendations, the City Manager shall schedule the consideration of an award of retail cannabis business permits at a meeting of the City Council. The City Council shall consider the applicants in order of their rank as determined by the ad hoc committee. The selected applicants will be afforded the opportunity to make a 5- minute public presentation to the City Council describing each of their retail cannabis business permit applications and addressing the objective review criteria and quantitative evaluation scale in Subsection d. Following the presentations made by the applicants described in this Subsection e., the City Council may issue retail cannabis business permits to applicants up to the number of retail cannabis business permit s authorized in Section 4 -35.5, with the applicants selected for a retail cannabis business permit being issued at the sole discretion of the City Council. In so issuing retail cannabis business permits to applicants up to the number of retail cannabis business permits authorized in Section 4- 35.5 at its sole discretion, the City Council shall have the absolute discretion to (1) award retail 664

19 cannabis business permits in accordance with the ranking order of applicants as determined by the ad hoc committee or in accordance with its own determination following the presentations made by the applicants to the City Council and (2) issue the retail cannabis business permits contingent on the City enacting a legally effective means for taxing cannabis retailers. However, t he City Council shall not issue a retail cannabis business permit to any applicant with an owner or manager that:

1. Provided false or misleading information on the applicant’s retail cannabis business permit application;

2. Has been convicted of (or pled no contest to) “an offense that is substantially related to the qualifications, functions, or duties of the business or profession for which the application is made” as that term is defined in 26057(b)(4) of the State Business & Professions Code; or

3. Has been sanctioned by a licensing authority or a city, county, or state for unlicensed commercial cannabis activities or has had a license suspended or revoked under MAUCRSA in the three (3) years immediately preceding the date the application was submitted.

f. Any decision of the City Manager or City Council under this Section 4 -35.7 shall be a final administrative decision not subject to administrative appeal under any provisions of this Chapter 4-35 or any provisions of the City Municipal Code but, rather , subject to judicial review and remedies.

g. In the event that the City Council is ordered to increase the number of retail cannabis business permits issued for retailers by a court of competent jurisdiction as a judicial remedy, the City Manager shall, as a ministerial duty, reinstitute the application procedure under this Section 4-35.7, subject to the number of retail cannabis business permits for retailers authorized and available (not allocated to an active, lawfully operating retailer) for issuance. In the event that the number of active, operating retailers and issued retail cannabis business permits falls below the number of retail cannabis business permits for retailers authorized in Section 4-35.5, the City Council may, at its sole discretion, require the City Manager, as a ministerial duty, to reinstitute the application procedure under this Section 4-35.7, subject to the number of retail cannabis business permits for retailers authorized and available (not allocated to an active, lawfully operating retailer) for issuance. For the purpose of this Section, a retailer shall be considered operating if (1) upon initial issuance of retail cannabis business permit (or approval of a change in location pursuant to Section 4-35.13), the retailer commences lawful operations within twenty-four (24) months (subject to the City Manager providing extensions in his or her reasonable discretion if the permittee can demonstrate that the delay was due to situations beyond its control and/or that significant progress towards establishing the use has been made) or (2) following initial commencement of lawful operations, the retailer does not cease or abandon operations for one- hundred twenty (120) consecutive or 665

20 cumulative days in any one (1) year period. A retailer’s failure to commence lawful operations within twenty -four (24) months or following initial commencement of lawful operations, the retailer abandons operations for one- hundred twenty (120) consecutive or cumulative days in any one (1) year perio d shall be considered a material violation of this Chapter 4-35.

4-35.8: Limitations on the City’s liability.

To the fullest extent permitted by law, the C ity shall not assume any liability whatsoever with respect to having issued a retail cannabis business permit pursuant to this Chapter 4-35 or otherwise approving the operation of any cannabis retailer. As a condition to the approval of any retail cannabis business permit, the applicant shall be required to meet all of the following conditions before they can receive a retail cannabis business permit:

a. Execution of an agreement, in a form approved by the City Attorney, agreeing to indemnify, defend (at applicant’s sole cost and expense), and hold the C ity, and its officers, officials, employees, representatives, and agents, harmless, from any and all claims, losses, damages, injuries, liabilities, or losses which arise out of, or which are in any way related to, the C ity’s issuance of the retail cannabis business permit, the City’s decision to approve the operation of the cannabis retailer or activity, the process used by the City in making its decision, or the alleged violation of any federal, State, or local laws by the cannabis retailer or any of its officers, employees, or agents. This obligation shall commence immediately upon the City’s selection of an applicant for a retail cannabis business permit.

b. Maintain insurance at coverage limits, and with conditions thereon determined necessary and appropriate from time to time by the City Attorney.

c. Defend and indemnify the City for all costs and expenses, including but not limited to attorneys’ fees and court costs, that the City may be required to pay as a result of any legal challenge related to the C ity’s approval of the applicant ’s retail cannabis business permit or related to the C ity’s approval of a cannabis retail sales. In such instance, the City shall have the right to choose the defense counsel to represent the City at the sole expense of the permittees. A permittee’s failure to pay the City its proportional share of costs within forty-five (45) days following the City providing the permittee notice of the City’s exercise of its indemnity rights herein shall be considered a material violation of this Chapter 4-35. This obligation shall commence immediately upon the City’s selection of an applicant for a retail cannabis business permit.

4-35.9: Retail Cannabis Business Permit Term.

a. Subject to this Section 4-35.9 and Section 4-35.10, the term of each retail cannabis business permit shall be ten (10) years, unless the permit is revoked by the City for any reason authorized by this Chapter 4-35. Each permit may be extended for two additional 666

21 years twice administratively by the City Manager. Permits that are extended twice administratively may request an extension of up to ten (10) years by application to the City Council. The process for requesting such extensions shall be approved by the City Council by resolution prior to the expiration of the initial ten (10) year term.

b. Upon the one (1) year anniversary of the date of issuance for each retail cannabis business permits and each year thereafter, the City Manager shall conduct a performance review of the permittee to assess compliance with the requirements of this Chapter 4-35.

Within thirty (30) days of the conclusion of the annual performance review of the permittee, the City Manager shall issue a letter of compliance or noncompliance outlining all items to be corrected to ensure full compliance. In the event of any noncompliance, the permittee shall have sixty (60) days to remedy such noncompliance. However, in the event such noncompliance items cannot be remedied within sixty (60) days, such noncompliance items shall not constitute a material violation of any law and/or any rule, regulation, and/or standard adopted pursuant to this Chapter 4-35 subject to suspension or revocation under Section 4 -35.10 if the permittee commences correction of such noncompliance items within sixty (60) days and thereafter diligently prosecutes correction of such noncompliance items to completion. The City Manager shall have the final discretion and authority to determine whether a permittee is working diligently to correct all noncompliance items in a timely manner.

c. The permittee shall pay a non-refundable fee in an amount to be set by the City Council via resolution to cover the costs of conducting the performance review, together with any costs incurred by the City to administer the program created under this Chapter 4-35.

4-35.10: Suspension and Revocation of Retail Cannabis Business Permits.

a. The City Manager may suspend or revoke a retail cannabis business permit at any time for any material violation of any law and/or any rule, regulation, and/or standard adopted pursuant to this Chapter 4-35.

b. Suspension or revocation of a State license issued by the State or by any of its departments or divisions, corresponding to the ret ail cannabis business permit shall immediately result in the suspension of the associated retail cannabis business permit until the State, or its applicable department or division, reinstates the State license or otherwise lifts such suspension.

c. A permittee shall inform the City Manager or designee(s) of any suspension, revocation, or termination of a State license corresponding to its retail cannabis business permit within five (5) business days of the suspension, revocation, or termination of the State license.

4-35.11: Appeals Regarding Retail Cannabis Business Permits. 667

22 a. Within ten (10) calendar days after the date of a decision of the City Manager to revoke or suspend an issued retail cannabis business permit, deny a change in location application, or deny a change in ownership application, an aggrieved Party may appeal such action to the City Council by filing a written appeal with the City Clerk setting forth the reasons why the decision was not proper. An appeal shall stay all proceedings in furtherance of the appealed action.

b. At the time of filing, the appellant shall pay the designated, non-refundable appeal fee established by resolution of the City Council.

c. Upon receipt of the written appeal, the City Clerk shall set the matter for a hearing before the City Council. The City Council shall hear the matter de novo and shall conduct the hearing pursuant to the procedures set forth by the City.

d. The appeal shall be held within a reasonable time after filing the appeal, but in no event later than ninety (90) days from the date of such filing. The City shall notify the appellant of the time and location at least ten (10) days prior to the date of the hearing.

e. At the hearing, the appellant may present any information they deem relevant to the decision appealed. The formal rules of evidence and procedure applicable in a court of law shall not apply to the hearing.

f. At the conclusion of t he hearing, the City Council may affirm, reverse, or modify the decision appealed. The decision of the City Council shall be a final administrative decision, subject to judicial review and remedies.

4-35.12: Change in Location; Updated Application Information.

a. A permittee may change the business location specified in a retail cannabis business permit upon submission and approval of a change in location application promulgated, as a ministerial duty, by the City Manager pursuant to regulations adopted under Section 4 -35.22. The permittee shall pay a non-refundable application fee established by resolution of the City Council to cover all costs incurred by the City in the review and processing of change in location applications. Upon submission of a change in location application by a permittee, the City Manager shall, as a ministerial duty, complete processing of such change in location application. If a change in location application is incomplete or the proposed changed location contained therein does not comply with location and zoning requirements in Section 4-35.6 and this Section, the City Manager shall, as a ministerial duty, deny the change in location application. If a change in location application is complete and the proposed changed location contained therein complies with location and zoning requirements in Section 4-35.6 and this Section , the City Manager shall, in his or her sole discretion, approve or deny the change in location application. In the event the City Manager denies a change in location application, the 668

23 permittee may appeal the City Manager’s denial to the City Council pur suant to Section 4-35.11.

b. In addition to the location and zoning requirements in Section 4 -35.6, a permittee may not change the business location specified in a retail cannabis business permit to any property located one- thousand (1,000) feet or less from any cannabis retailer permitted under this Chapter 4-35. The distance specified in this Subsection b. shall be the horizontal distance measured in a straight line from the parcel line of the cannabis retailer permitted under this Chapter 4-35 to the closest parcel line of the lot on which the cannabis retailer is proposed to be located without regard to intervening structures.

c. An applicant or permittee shall notify the City Manager or designee(s) within fifteen (15) calendar days of any material change in the information provided in the applicant or permittee’s retail cannabis business permit application or any change in status of compliance with the provisions of this Chapter 4-35, including any change in the cannabis retailer ownership or management.

4-35.13: Transfer of a Retail Cannabis Business Permit.

a. An owner of a retail cannabis business permit shall not transfer ownership or control of such permit to another person unless and until the permittee and transferee(s) obtain an amendment to the permit from the City Manager stating that the transferee(s) is now an owner of the permittee. A permittee may change the ownership specified in a retail cannabis business permit upon submission of a change in ownership application promulgated, as a ministerial duty, by the City Manager pursuant to regulations adopted under Section 4-35.22 within one-hundred eighty (180) days following the effective date of this Chapter 4-35. The permittee shall pay a non-refundable application fee established by resolution of the City Council to cover all costs incurred by the City in the review and processing of change in ownership applications. Upon submission of a change in ownership application by a permittee, the City Manager shall, as a ministerial duty, complete processing of such change in ownership application. If a change in ownership application is incomplete or the proposed transferee(s) contained therein do not pass the background check(s) required under this Chapter 4 -35, the City Manager shall, as a ministerial duty, deny the change in ownership application. If the cumulative (i.e., including the change in ownership of the permittee from previous change in ownership applications) change in ownership of the permittee is less than twenty-five and one-tenth (25.1) percent from the ownership percentages contained in the permittee’s original retail cannabis business permit application and the proposed transferee(s) contained therein pass the background check(s) required under this Chapter 4 -35, the City Manager shall, as a ministerial duty, approve the change in ownership application.

If the cumulative ( i.e., including the change in ownership of the permittee from previous change in ownership applications) change in owners hip of the permittee is twenty -five and one-tenth (25.1) percent or more and less than fifty (50) percent, the City Manager shall, in his or her sole discretion, approve or deny the change in ownership application. 669

24 In the event the City Manager denies a c hange in ownership application, the permittee may appeal the City Manager’s denial to the City Council pursuant to Section 4-35.11. If the cumulative ( i.e., including the change in ownership of the permittee from previous change in ownership applications) change in ownership of the permittee is fifty (5 0) percent or more from the ownership percentages contained in the permittee’s original retail cannabis business permit application and the proposed transferee(s) contained therein pass the background check(s) required under this Chapter 4-35, the City Manager shall, as a ministerial duty, schedule a public hearing before the City Council within thirty (30) days of completed processing, and following the public hearing, the City Council shall, in its sole discretion, approve or deny the change in ownership application.

b. Notwithstanding Subsection (a), n o retail cannabis business permit may be transferred when the City Manager has notified the permittee that its retail cannabis business permit has been or may be suspended or revoked.

c. Any attempt to transfer a retail cannabis business permit either directly or indirectly in violation of this Section 4-35.13 is hereby declared void, and such an unpermitted transfer shall be deemed a ground for revocation of the permit.

4-35.14: Records and recordkeeping.

a. Each cannabis retailer shall maintain accurate books and records in an electronic format, which detail all revenues and expenses of the business, including, but not limited to, all of its assets and liabilities. On no less than an annual basis (at the time of performance review of a retail cannabis business permit issued pursuant to this Chapter 4-35), or at any time upon reasonable request of the City, each cannabis retailer shall file a sworn statement detailing the number of sales by the cannabis retailer during the previous 3-month period (or shorter period based upon the timing of the request) detailing sales for each month within such period in question. The statement s hall also include gross sales for each month and all applicable taxes paid or due to be paid. On an annual basis, each cannabis retailer shall submit to the C ity a financial audit of the business ’s operations conducted by an independent certified public accountant. The City may perform its own annual independent financial audit and charge the retailer for such cost incurred by the City. Each permittee shall be subject to a regulatory compliance review and financial audit as determined by the City Manager.

b. Each cannabis retailer shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of anyone owning or holding an interest in the cannabis retailer and, separately, the same contac t information of all officers, managers, employees, agents, and volunteers currently employed or otherwise engaged by the cannabis retailer . The register required by this Subsection shall be provided to the City Manager upon a reasonable request.

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25 c. Each cannabis retailer shall maintain a record of all purchases and sales of cannabis and cannabis products for a period of no less than seven (7) years.

d. All cannabis retailers shall maintain an inventory control and reporting system that accurately documents the present location, amounts, and descriptions of all cannabis and cannabis products.

e. Subject to any applicable restrictions under the Health Insurance Portability & Accountability Act ( “HIPAA”) regulations, each cannabis retailer shall grant the City Manager access to the business’s books, records, accounts, together with any other data or documents relevant to its operation, for the purpose of conducting an audit or examination. Books, records, accounts, and any and all relevant data or documents shall be produced no later than ten (10) business days after receipt of the City Manager ’s request for such data, unless otherwise stipulated by the City Manager. The City Manager may require the materials to be submitted in an electronic format that is compatible with the City’s software and hardware.

4-35.15: Security Measures.

a. A cannabis retailer shall implement sufficient security measures to deter and prevent the unauthorized entrance into areas containing cannabis or cannabis products and to deter and prevent the theft of cannabis or cannabis products at the cannabis retailer. Except as may otherwise be determined by the City Manager, these security measures shall include, but are not limited to the following:

1. Preventing individuals from remaining on the premises of the cannabis retailer if they are not engaging in an act ivity directly related to the permitted operations of the cannabis retailer.

2. Establishing limited access areas accessible only to authorized cannabis retailer personnel.

3. All cannabis and cannabis products shall be stored in a secured and locked room, safe, or vault. All cannabis and cannabis products shall be kept in a manner designed to prevent diversion, theft, and loss.

4. Installing twenty -four-hour security surveillance cameras of at least HD - quality to monitor all entrances and exits to and from the premises, all interior spaces within the cannabis retailer , which are open and accessible to the public, all interior spaces where cannabis, cash or currency is being stored for any period of time on a regular basis, and all interior spaces where diversion of cannabis could reasonably occur.

The cannabis retailer shall be responsible for ensuring that the security surveillance camera's footage is remotely accessible by the City Manager , and that it is compatible with the C ity's software and hardware. Video recordings shall be maintained for a 671

26 minimum of ninety (90) days and shall be made available to the City Manager upon request. Video shall be of sufficient quality for effective prosecution of any crime found to have occurred on the site of the cannabis retailer.

5. Sensors shall be installed to detect entry and exit from all secure areas.

6. Panic buttons shall be installed in all cannabis retailers.

7. Having a professionally installed, maintained, and monitored alarm system.

8. Any bars installed on the windows or the doors of the cannabis retailer shall be installed only on the interior of the building.

9. The premises shal l be live monitored twenty-four (24) hours a day unless the cannabis retailer has an alternative security program authorized by the City Manager.

Security personnel must be licensed by the State Bureau of Security & Investigative Services personnel and shall be subject to the prior review and approval of the City Manager, which shall not be unreasonably withheld.

10. Additional security measures may be added through the review of a retail cannabis business permit application.

b. Each cannabis retailer shall identify a designated security representative or liaison to the City, who shall be reasonably available to meet with the City Manager regarding any security related measures and/or operational issues.

c. Each cannabis retailer (including as part of the retail cannabis business permit application process) shall have a storage and transportation plan and currency management plan, which describes in detail the procedures for safely and securely storing, disposing and transporting all cannabis, cannabis products, and any currency.

d. The cannabis retailer shall cooperate with the C ity whenever the City Manager makes a request, upon reasonable notice to the cannabis retailer, to inspect or audit the effectiveness of any security plan or of any other requirement of this Chapter 4-35.

e. A cannabis retailer shall notify the City Manager within twenty-four (24) hours after discovering any of the following:

1. Significant discrepancies identified during inventory. The level of significance shall be determined by the regulations promulgated by the City Manager.

2. Diversion, theft, loss, or any criminal activity involving the cannabis retailer or any agent or employee of the cannabis retailer.

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27 3. The loss or unauthorized alteration of records related to cannabis and cannabis products or registering customers or employees and/or agents of the cannabis retailer.

4. Any other breach of security.

4-35.16: Restriction on Alcohol and Tobacco Sales.

No person shall cause or permit the sale, dispensing, or consumption of alcoholic beverages or tobacco on or about the premises of the cannabis retailer.

4-35.17: Fees and charges.

a. No person may commence or continue any cannabis retail sales in the City without timely paying in full all fees and charges required for the operation of a cannabis retail sales. Fees and charges associated with the operation of such activity shall be established by resolution of the City Council which may be amended from time to time.

b. All cannabis retailers authorized to operate under this Chapter 4-35 shall pay all sales, use, business and other applicable taxes, and all license, registration, and other fees required under federal, State, and local law. Each cannabis retailer shall cooperate with City with respect to any reasonable request to audit the cannabis retailer’ books and records for the purpose of verifying compliance with this S ection 4-35.20, including, but not limited to, a verification of the amount of taxes required to be paid during any period.

4-35.18: General operating requirements.

a. Cannabis retailers may operate only during the hours specified in the retail cannabis business permit issued by the City and must comply with State law at all times.

b. Cannabis shall not be consumed on the premises of any cannabis retailer.

c. No cannabis or cannabis products or graphics depicting cannabis or cannabis products shall be visible from the exterior of any property issued a retail cannabis business permit or on any of the vehicles owned or used as part of the cannabis retailer.

No outdoor storage of cannabis or cannabis products is permitted at any time.

d. Each cannabis retailer shall have in place a point-of-sale or management inventory tracking system to track and report on all aspects of the cannabis retailer including, but not limited to, such matters as cannabis tracking, inventory data, gross sales (by weight and by sale), and other information which may be deemed necessary by the C ity. The cannabis retailer shall ensure that such information is compatible with the C ity’s record- keeping systems as well as the State Mandated Track and Trace requirements and systems. In addition, the system must have the capability to produce historical 673

28 transactional data for review. Furthermore, any system selected must be approved and authorized by the City Manager prior to being used by a permittee.

e. All cannabis and cannabis products sold and/or distributed shall be cultivated, manufactured, and distributed by licensed facilities that maintain operations in full conformance with the S tate and local regulations. The packaging and labeling of cannabis and cannabis products shall comply at all times with State law.

f. There shall not be a physician located in any cannabis retailer at any time for the purpose of evaluating patients for the issuance of a medicinal cannabis recommendations.

g. Each cannabis retailer shall provide the City Manager with the name, telephone number (both land line and mobile, if available) of an on-site employee or owner to whom emergency notice can be provided at any hour of the day.

h. Signage and Notices.

1. In addition to the requirements otherwise set forth in this S ection 4-35.18, business identification signage for a cannabis retailer shall conform to the requirements of the City Municipal Code, including, but not limited to, seeking the issuance of a C ity sign permit.

2. No signs placed on the premises of a cannabis retailer shall obstruct any entrance or exit to the building or any window.

3. Each entrance to a cannabis retailer shall be visibly posted with a clear and legible notice indicating that smoking, ingesting, or otherwise consuming cannabis on the premises, or in the areas adjacent to the premises, is prohibited.

4. The entrance to the cannabis retailer shall be clearly and legibly posted with a notice that no person under the age of twenty-one (21) years of age is permitted to enter upon the premises of the cannabis retailer , other than as lawful customers permitted under State law.

i. Other than as lawful customers permitted under State law in the case of retailers, individuals under the age of twenty-one (21) years shall not be allowed on the premises of a cannabis retailer and shall not be allowed to serve as a driver for a cannabis retailer.

It shall be unlawful and a violation of this Chapter 4-35 for any person to employ any person at a cannabis retailer who is not at least twenty-one (21) years of age.

j. Odor control devices and techniques shall be incorporated in all cannabis retailers to ensure that odors from cannabis are not detectable off -site. Cannabis retailer s shall provide a sufficient odor absorbing ventilation and exhaust system so that odor generated 674

29 inside the cannabis retailer that is distinctive to its operation is not detected outside of the facility, anywhere on adjacent property or public rights-of-way, on or about the exterior or interior common area walkways, hallways, breezeways, foyers, lobby areas, or any other areas available for use by common tenants or the visiting public, or within any other unit located inside the same building as the cannabis retailer.

k. The original copy of the retail cannabis business permit issued by the City pursuant to this Chapter 4-35 and the C ity issued business license shall be posted inside the cannabis retailer in a location readily visible to the public.

l. Pursuant to Sections 11105(b)(11) and 13300(b)(11) of the State Penal Code, which authorizes C ity authorities to access S tate and local summary criminal history information for employment, licensing, or certification purposes; and authorizes access to federal level criminal history information by transmitting fingerprint images and related information to the Department of Justice to be transmitted to the Federal Bureau of Investigation, every person listed as an owner, manager, supervisor, employee , or volunteer of the cannabis retailer must submit fingerprints and other information deemed necessary by the City Manager for a background check. Pursuant to Sections 11105(b)(11) and 13300(b)(11) of the State Penal Code, which requires that there be a requirement or exclusion from employment, licensing, or certification based on specific criminal conduct on the part of the subject of the record, no person shall be issued a retail cannabis business permit unless they have first cleared the background check, as determined by the City Manager, as required by this Chapter 4-35. A non-refundable fee for the cost of the background investigation, which shall be the actual cost to the C ity to conduct the background investigation as it deems necessary and appropriate, shall be paid at the time the application for a retail cannabis business permit is submitted.

m. The cannabis retailer shall prohibit loitering by persons outside the facility both on the premises and within fifty (50) feet of the premises.

n. Within sixty (60) days of licensure, for a permittee with twenty (20) or more employees, the permittee shall attest to the City that the permittee has entered into a Labor Peace Agreement and will abide by the terms of the A greement. The permittee shall submit a copy of the page of the Labor Peace A greement that contains the signatures of the labor representative and the applicant. For permittees with less than twenty (20) employees who have not yet entered into a Labor Peace A greement, the permittee shall provide a notarized statement indicating that the applicant will enter into and abide by the terms of a Labor Peace Agreement within thirty ( 30) days after employing twenty (20) employees. If an attestation that the permittee is party to a Labor Peace Agreement, and a copy of the page of the Labor Peace Agreement that contains the signatures of the labor representative was submitted to the City by the permittee as part of the application process, that will meet this obligation.

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30 o. Cannabis retailers shall implement a workforce plan that includes at least the following provisions:

1. Commitment for thirty (30) percent of employees to be local hires; this local hiring requirement is satisfied when a cannabis retailer shows that it has either hired or made a good faith effort to hire bona fide residents of the City or persons that may establish residency after initial employment with the permittee;

2. Commitment to offer apprenticeships and/or compensation for continuing education in the field of cannabis retail sales; and

3. Paying a living wage to employees. “Living wage” means compensation equivalent to $20 per hour inclusive of benefits but excluding tips.

p. It shall be unlawful for a cannabis retailer to discriminate in any manner or take adverse action against any employee in retaliation for exercising rights protected und er this Chapter 4-35 or City or State law. These rights include, but are not limited to (1) the right to file a complaint or inform any person about any party’s alleged noncompliance with this Chapter 4-35 or City or State law and (2) the right to inform any person of his or her potential rights under this this Chapter 4-35 or City or State law and to assist him or her in asserting such rights. Protections under this this Chapter 4-35 or City or State law shall apply to any employee who mistakenly, but in good faith, alleges noncompliance with this this Chapter 4-35 or City or State law. Taking adverse action against an employee within ninety (90) days of the employee’s exercise of rights protected under this Chapter 4-35 or City or State law shall raise a rebuttable presumption of having done so in retaliation for the exercise of such rights.

4-35.19: Additional Operational Requirements in General.

The City Manager may, pursuant to Section 4-35.22, develop additional cannabis retailer operational requirements or regulations for the retail sale of cannabis and cannabis products in the City as are determined to be necessary to protect the public health, safety, and welfare.

4-35.20: Additional Operating Requirements.

a. Retailers and the operation thereof shall comply with State law at all times.

b. Prior to dispensing medicinal cannabis or medicinal cannabis products to a qualified patient, a retailer shall verify the age and all necessary documentation of each customer to ensure the customer is not under the age of eighteen (18) years and obtain verification from the recommending physician that the person requesting medicinal cannabis or medicinal cannabis products is a qualified patient, and shall maintain a copy of the physician recommendation or identification card as described in Sections 11362.71 676

31 through 11362.77 of State Health & Safety Code, as may be amended from time to time, on site for period of not less than seven (7) years.

c. Prior to dispensing cannabis or cannabis products to an adult -use customer, a retailer shall verify the age and all necessary documentation of each customer to ensure the customer is not under the age of twenty-one (21) years.

d. All restroom facilities shall remain locked and under the control of managers onsite.

e. A retailer shall notify customers (verbally or by written agreement) and by posting of a notice or notices conspicuously in at least 15-point type within the permitted premises that state as follows:

1. “The sale or diversion of cannabis or cannabis products without a license issued by the City of Lynwood is a violation of S tate law and the Lynwood Municipal Code.”

2. “Secondary sale, barter, or distribution of cannabis or cannabis products purchased from a permittee is a crime and can lead to arrest."

3. “Customers must not loiter in or near these premises and may not consume cannabis or cannabis products in the vicinity of this business or in any place not lawfully permitted. These premises and vicinity are monitored to ensure compliance."

4. “WARNING: The use of cannabis or cannabis products may impair a person's ability to drive a motor vehicle or operate heavy machinery.”

5. “CALIFORNIA PROP. 65 WARNING: Smoking of cannabis and cannabis- derived products will expose you and those in your immediate vicinity to cannabis smoke. Cannabis smoke is known by the State of California to cause cancer and reproductive harm.”

4-35.21: Additional Operating Requirements For Delivery.

a. Delivery shall comply with State law at all times.

b. Security plans developed pursuant to this Chapter 4-35 shall include provisions relating to vehicle security and the protection of employees and product during loading and in transit.

c. A retailer shall facilitate the delivery of cannabis or cannabis pro ducts with a technology platform owned by or licensed to the delivery -only retailer that uses point-of- sale technology to track and database technology to record and store the following 677

32 information for each transaction involving the exchange of cannabis or cannabis products between the retailer and customer:

1. The identity of the individual dispensing cannabis or cannabis products on behalf of the permittee;

2. The identity of the customer receiving cannabis or cannabis products from the permittee;

3. The type and quantity of cannabis or cannabis products dispensed and received;

4. The gross receipts charged by the permittee and received by the individual dispensing cannabis or cannabis products on behalf of the permittee for the cannabis or cannabis products dispensed and received; and

5. The location or address where the sale or retail sale took place or closed.

d. A permittee shall maintain a database and provide a list of the individuals and vehicles authorized to conduct delivery, and a copy of the valid State driver’s license issued to the driver of any such vehicle on behalf of the retailer to the City Manager.

e. Individuals making deliveries of cannabis or cannabis products on behalf of the retailer shall maintain a physical copy of the delivery request (and invoice) and shall make it available upon the request of agents or employees of the C ity requesting documentation.

f. During delivery, a copy of the permittee’s retail cannabis business permit and State license shall be in the vehicle at all times, and the driver shall make it available upon the request of agents or employees of the City requesting documentation.

g. A retailer shall only permit or allow delivery of cannabis or cannabis products in a vehicle that is ( 1) insured at or above the legal requirement in the State; ( 2) capable of securing (locking) the cannabis or cannabis products during transportati on; (3) capable of being temperature controlled if perishable cannabis or cannabis products is being transported; and (4) does not display advertising or symbols visible from the exterior of the vehicle that suggest the vehicle is used for cannabis deliver y or affiliated with a retailer.

h. A retailer shall facilitate deliveries with a technology platform owned by or licensed to the retailer that uses global positioning system technology to track, and database technology to record and store the following information:

678

33 1. The time that the individual conducting delivery on behalf of the retailer departed the licensed premises.

2. The time that the individual conducting delivery on behalf of the retailer completed delivery to the customer.

3. The time that the individual conducting delivery on behalf of the retailer returned to the licensed premises.

4. The route the individual conducting delivery on behalf of the retailer traveled between departing and returning to the licensed premises to conduct delivery.

5. For each individual delivery transaction, the identity of the individual conducting deliveries on behalf of the retailer.

6. For each individual delivery transaction, the vehicle used to conduct delivery on behalf of the retailer.

7. For each individual delivery transaction, the identity of the customer receiving cannabis or cannabis products from the retailer.

8. For each individual delivery transaction, the type and quantity of cannabis or cannabis products dispensed and received.

9. For each individual delivery transaction, the gross receipts charged by the retailer and received by the individual conducting deliveries on behalf of the retailer for the cannabis or cannabis products dispensed and received.

i. The individual making deliveries on behalf of the retailer shall personally verify for each individual delivery transaction the identity of the customer receiving cannabis or cannabis products from the retailer and (1) for medicinal cannabis or medicinal cannabis products to a qualified patient, the age and all necessary documentation of each customer to ensure the customer is not under the age of eighteen (18) years and obtain verification from the recommending physician that the person requesting medicinal cannabis or medicinal cannabis products is a qualified patient, and shall maintain a copy of the physician recommendation or identification card as described in Sections 11362.71 through 11362.77 of State Health & Safety Code, as may be amended from time to time, on site for period of not less than seven (7) years or (2) for cannabis or cannabis products to an adult -use customer, age and all necessary documentation of each customer to ensure the customer is not under the age of twenty-one (21) years.

j. Within one-hundred-eighty (180) days following the effective date of this Chapter, commercial cannabis businesses conducting delivery pursuant to Chapter 4-34 of the City Municipal Code shall comply with the requirements of this Section 4-35.21. 679

34 4-35.22: Promulgation of Regulations, Standards, and Other Legal Duties.

a. Consistently with stated requirements of this Chapter 4-35 (and in particular not to repeal or constructively repeal this Chapter 4-35), in addition to any regulations adopted under State law, the City Manager is authorized to establish any additional rules, regulations, and standards governing the issuance, denial , or renewal of retail cannabis business permits, the ongoing operation of cannabis retailers, and the City’s oversight, or concerning any other subj ect determined to be necessary to carry out the purposes of this Chapter 4-35.

b. Such regulations shall be published on the City’s website.

c. Regulations promulgated by the City Manager shall become effective upon date of publication. Cannabis retailers shall be required to comply with all S tate and local laws and regulations, including but not limited to any rules, regulations or standards ado pted by the City Manager.

4-35.23: Community Relations.

a. Each cannabis retailer shall provide the name, telephone number, and email address of a community relations contact to whom notice of problems associated with the cannabis retailer can be provided. Each cannabis retailer shall also provide the above information to all businesses and residences, in the City, located within one hundred and fifty (150) feet of the cannabis retailer . Such community relations contact shall respond to any complaints within forty-eight (48) hours of receipt of such complaints.

b. During the first year of operation pursuant to this Chapter 4-35, the owner (s), manager(s), and community relations representative from each cannabis retailer holding a retail cannabis business permit issued pursuant to this Chapter 4-35 shall attend a quarterly meeting with the City Manager and other interested parties as deemed appropriate by the City Manager, to discuss costs, benefits, and other community issues arising as a result of implementation of this Chapter 4-35. After the first year of operation, the owner(s), manager(s), and community relations representative from each such cannabis retailer shall meet with the City Manager when and as requested by the City Manager.

c. Cannabis retailers to which a retail cannabis business permit is issued pursuant to this Chapter 4-35 shall develop and make available to youth organizations and educational institutions a public education plan that outlines the risks of youth addiction to cannabis, and that identifies resources available to youth related to drugs and drug addiction.

4-35.24: Fees Deemed Debt To City.
680

35 The amount of any fee, cost , or charge imposed pursuant to this Chapter 4-35 shall be deemed a debt to the City that is recoverable via authorized processes as set forth in the City Municipal Code or available through any court of competent jurisdiction.

4-35.25: Permittee, owner, and property owner responsible for violations.

a. Each permittee and each owner and each manager of the permittee (and each individual owner and each individual manager of an owner or manager of the permittee) shall be responsible for all violations of the laws of the State or of the regulations and/or the ordinances of the City occurring within the City or in or about the premises of the cannabis retailer, if committed by the permittee or any employee or agent of the permittee and whether or not said violations occur within the permittee, owner, or manager ’s presence.

b. No person may engage in any cannabis retail sales within the City unless the person is in compliance with the requirements of this Chapter 4-35.

c. It shall be unlawful to rent, lease, or otherwise permit any cannabis retail sales at any location, structure, or vehicle in the City by a person (1) that does not have a v alid retail cannabis business permit issued by the City; (2) that does not have a valid State license; (3) that does not have any other applicable approvals, including, but not limited to, a building permit and City business license; or (4) that is not cur rently in compliance with all applicable State and local laws and regulations pertaining to the cannabis retail sales. Property owners shall have strict liability for any cannabis retail sales at any location, structure, or vehicle in the City by a person (1) that does not have a valid retail cannabis business permit issued by the City or (2) that does not have a valid State license.

4-35.26: Inspection and Enforcement.

a. The City Manager or designee(s) charged with enforcing the provisions of the City Municipal Code, or any provision thereof, may enter the location of a cannabis retailer at any time, without notice, and inspect the location of any cannabis retailer as well as any recordings and records required to be maintained pursuant to this Chapter 4-35 or under applicable provisions of State law.

b. It is unlawful for any person having responsibility over the operation of a cannabis retailer, to impede, obstruct, interfere with, or otherwise not to allow, the C ity to conduct an inspection, review or copy records, recordings, or other documents required to be maintained by a cannabis retailer under this Chapter 4-35 or under State or local law. It is also unlawful for a person to conceal, destroy, deface, damage, or falsify any records, recordings or other documents required to be maintained by a cannabis retailer under this Chapter 4-35 or under State or local law.

681

36 c. The City Manager or designee(s) charged with enforcing the provisions of this Chapter 4-35 may enter the location of a cannabis retailer at any time during business hours and without notice to obtain samples of the cannabis to test for public safety purposes. Any samples obtained by the C ity shall be logged, recorded, and maintained in accordance with the City law enforcement standards for evidence.

4-35.27: Concurrent Regulation with the State.

It is the stated intent of this Chapter 4-35 to regulate cannabis retail sales in the C ity concurrently with the State.

4-35.28: Violations Declared a Public Nuisance.

Each and every material violation of the provisions of this Chapter 4-35 is hereby deemed unlawful and a public nuisance subject to all remedies and enforcement measures authorized by the City Municipal Code.

4-35.29: Each Violation a Separate Offense.

Each and every violation of this Chapter 4-35 shall constitute a separate violation and shall be subject to all remedies and enforcement measures authorized by the City Municipal Code. Additionally, as a nuisance per se, any material violation of this Chapter 4-35 shall be subject to injunctive relief, any retail cannabis business permit issued pursuant to this Chapter 4-35 being deemed null and void, disgorgement , and payment to the City of any monies unlawfully obtained, costs of abatement, costs of investigation, attorney’s fees, and any other relief or remedy available at law or in equity. The City may also pursue any and all remedies and actions available and applicable under S tate and local laws for any violations committed by the cannabis retailer or persons related to, or associated with, the cannabis retail sales . Additionally, when there is determined to be an imminent threat to public health, safety or welfare, the City Manager or designee(s), may take immediate action to temporarily suspend a retail can nabis business permit issued by the City, pending a public hearing before the City Council.

4-35.30: Criminal Penalties.

Each and every material violation of the provisions of this Chapter 4-35 may be prosecuted as a misdemeanor and upon conviction be subject to a fine not to exceed five thousand dollars ($5,000.00) or imprisonment in the C ounty jail for a period of not more than six (6) months, or by both such fine and imprisonment. Each day a material violation is committed or permitted to continue shall constitute a separate offense.

4-35.31: Remedies Cumulative and Not Exclusive.

682

37 The remedies provided herein are not to be construed as exclusive remedies. The City is authorized to pursue any proceedings or remedies provided by law.

SECTION 5. Section 4- 34.1 (Purpose) of Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended to read as follows:

a. The purpose of this S ection is to regulate all commercial cannabis activity in the City of Lynwood, as defined in Section 26001 of the California Business and Professions Code, to the extent authorized by state law and in a manner designed to minimize negative impact on the C ity, and to promote the health, safety, morals, and general welfare of residents and businesses within the City.

b. This Section is further adopted, established, and amended pursuant to the specific authority granted to the C ity of Lynwood in Section 7 of Article XI of the California Constitution and Division 10 of the California Business and Professions Code, commencing with Section 26000. These regulations shall govern all commercial cannabis activity that occurs within the jurisdiction of the City.

SECTION 6. Section 4- 34.2 (Definitions) of Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended to read as follows:

n. Licensed premises means the premises, consisting of a single or immediately adjoining parcel(s) as identified by valid street address and assessor parcel number, specified in an application for a permit under this chapter, which are owned or in possession of the applicant or licensee and within which the applicant or licensee is applying for authorization to cultivate, manufacture, distribute, test, or is applying for multiple permitted uses within the same premises, in accordance with the provisions of this C hapter, the MAUCRSA, any development agreement approved by City Council, and any rules adopted pursuant thereto, except that no storefront dispensary, as specified in section 25-200-1, shall be permitted within the city.

SECTION 7. Section 4- 34.2 (Definitions) of Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended to read as follows:

t. Commercial cannabis business means any person engaged in commercial cannabis activity but excludes cannabis retailers permitted and operating under Chapter 4-35 of the City Municipal Code.

SECTION 8. Section 4- 34.2 (Definitions) of Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended to read as follows:

683

38 y. Permit means authorization to conduct commercial cannabis activity operate a commercial cannabis business pursuant to this C hapter, state law, and upon the issuance of an occupancy permit and business license by the City.

SECTION 9. Section 4-34.4 (Permitted Use) of Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended to read as follows:

b. All persons who are engaged in operate or who are attempting to engage in commercial cannabis activity operate a commercial cannabis business in any form shall do so only in strict compliance with the terms, conditions, limitations and restrictions of the MAUCRSA, the provisions of this section, and all other applicable state and local laws and regulations.

SECTION 10. Section 4-34.6 (Permitted Zones – Distance and Other Conditions For Approval) of Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended to read as follows

e. Nonconforming Use. Any commercial cannabis business, dispensary of medical or adult use cannabis, or storefront cannabis retailer established or operating in the city in violation of this section or the ban established by Ordinance No. 1632, Section 25-200-1, and Chapter 25 Appendix A of the Lynwood Zoning Code shall not be considered a lawful or permitte d nonconforming use, and no such commercial cannabis business shall be eligible for issuance of a commercial cannabis business permit. Further, any such unlawfully established commercial cannabis business shall constitute a public nuisance subject to abatement by the city, pursuant to section 3-13.

SECTION 11. Section 4- 34.8 ( Changing, Altering, Or Modifying Location) of Chapter 4 (Licensing and Business Regulations) of the City Municipal Code is hereby amended to read as follows

c. Application. The City Council or its designee may grant approval for the types of changes, alterations, or modifications described herein upon the filing of an application by the licensee, and payment of any applicable fee. The licensee must submit all information requested by the City Council or its designee including, but not limited to, documents that verify the following:

1. The licensee will continue to have exclusive possession of the premises, as changed, by ownership, lease, or rental agreement, and sole control of all production; and

2. The proposed change conforms to any and all City restrictions related to the time, manner, and place of regulation of the commercial cannabis activity commercial cannabis businesses.
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39 SECTION 12. Sensitive Uses. The City Council finds that the definitions of the sensitive uses (day care center s, public parks, schools, and youth center s) under the amendment to Section 4-35.3 of the City Municipal Code in this Ordinance are subject to some degree of interpretation. However, the City Council also find s that certainty regarding the identification of sensitive uses (day care centers, public parks, schools, and youth centers) under the amendments to Sections 4-35.3 and 4-35.6 of the City Municipal Code in this Ordinance is required to carry out the purpose and intent of this Ordinance so the that People, the City, and prospective applicant s can clearly identify where and where not lawful cannabis retailers under this Ordinance may be located. Accordingly and pursuant to the authority delegated by the State to the City Council under Section 26054(b) of the State Business & Professions Code and overriding the location and design requirements contained in Section 26054(b) of the State Business & Professions Code, the following sensitive uses (day care centers, public parks, schools, and youth centers) and only the following sensitive uses (day care centers, public parks, schools, and youth centers ) located on the followin g County Assessor’s Identification Numbers and only the following County Assessor’s Identification Numbers shall be considered under the amendment to Section 4- 35.6.a of the City Municipal Code in this Ordinance for the purpose of the initial establishment of cannabis retailers pursuant to the initial iteration of the cannabis retailer application procedure under the amendment to Section 4-35.7 of the City Municipal Code in this Ordinance (to include any review and scoring of any applications pursuant to the objective review criteria and quantitative evaluation scale under the amendment to Section 4-35.7.d of the City Municipal Code in this Ordinance).

Only following the initial iteration of the cannabis retailer application procedure and the initial issuance of retail cannabis business permits under the amendment to Section 4-

35.7 of the City Municipal Code in this Ordinance , may the City Manager ( his or her designee(s)) reinterpret the following list of sensitive uses (day care centers, public parks, schools, and youth centers ) and County Assessor’s Identification Numbers for the purpose of subsequent iterations of the cannabis retailer application procedure under the amendment to Section 4- 35.7 of the City Municipal Code in this Ordinance and change in location applications under the amendment to Section 4-35.12 of the City Municipal Code in this Ordinance.

Name Sensitive Use
Type
County Assessor’s
Identification Number(s)
Abbott Preschool Day Care
Center 6186-042-900
Adolfo Medina Park Public Park
6169-014-905, 6169-016-
901, 6169-016-903, 6169-
016-907
B L Harvey School Day Care
Center 6191-011-012
Camphor Tree Park Public Park 6174-009-901
685

40 Name Sensitive Use
Type
County Assessor’s
Identification Number(s)
Carnation Park Public Park 6170-022-901
Cesar Chavez Middle School School
6191-018-900, 6191-018-
901, 6191-018-902, 6191-
018-903, 6191-018-904,
6191-018-907
Children's Institute / Imperial Courts Day Care
Center 6067-014-902
David's Heart Enrichment Center Day Care
Center 6177-007-001
Dr. Ralph Bunche Middle School School 6150-036-900
Ella Fitzgerald CDC / Drew Child
Development Corporation
Day Care
Center 6150-036-021
Faith and Hope Park Public Park 6150-020-900
Fernwood Avenue Park Project Public Park 6169-002-908
Foster Elementary School School 6184-009-900
Foster State Preschool Day Care
Center 6184-009-900
Fred W. Hosler Middle School School 6173-022-900
Helen Keller Elementary School
6177-001-919, 6177-001-
902, 6177-001-903, 6177-
001-904, 6177-001-906,
6177-001-907, 6177-001-
901, 6177-001-918, 6177-
001-912, 6177-001-917,
6177-001-915, 6177-001-
914, 6177-001-911, 6177-
001-905, 6177-001-916,
6177-001-908, 6177-001-
909, 6177-001-910, 6177-
001-913, 6177-001-920
Helen Keller Preschool Day Care
Center
6177-001-919, 6177-001-
902, 6177-001-903, 6177-
001-904, 6177-001-906,
6177-001-907, 6177-001-
901, 6177-001-918, 6177-
001-912, 6177-001-917,
6177-001-915, 6177-001-
914, 6177-001-911, 6177-
001-905, 6177-001-916,
6177-001-908, 6177-001-
686

41 Name Sensitive Use
Type
County Assessor’s
Identification Number(s)
909, 6177-001-910, 6177-
001-913, 6177-001-920
Henning Youth Center Youth Center 6173-007-901, 6173-007- 902
Hollydale Regional Park Public Park
6234-011-275, 6234-011-
007, 6234-011-804, 6234-
014-274, 6234-013-902,
6234-014-800, 6234-014-
901, 6234-014-803, 6234-
014-277, 6234-014-275,
6234-016-900, 6234-016-
803, 6234-016-802, 6234-
016-801, 6234-016-800,
6234-019-270, 6234-019-
006, 6234-019-902, 6234-
019-801, 6234-019-800,
6234-019-802, 6234-019-
903, 6234-019-803, 6236-
009-900, 6236-009-810,
6236-009-807, 6236-009-
808
Imperial Courts Recreation Center Youth Center 6067-013-901 Janie P. Abbott Elementary School School 6186-042-900
Jordan High School School 6046-021-918, 6046-020-
901
Kinder Prep Preschool Center Day Care
Center 6171-016-013
King State Preschool Day Care
Center 6150-025-901
Lincoln Elementary School School 6170-022-900, 6170-022- 902
Lincoln Preschool Day Care
Center
6170-022-900, 6170-022-
902
Lindbergh Children's Center Day Care
Center
6168-012-927, 6168-012-
926, 6168-012-902, 6168-
013-900, 6168-012-905
Lindbergh Elementary School School
6168-012-927, 6168-012-
926, 6168-012-902, 6168-
013-900, 6168-012-905
Lindbergh Preschool Day Care
Center
6168-012-927, 6168-012-
926, 6168-012-902, 6168-
013-900, 6168-012-905
687

42 Name Sensitive Use
Type
County Assessor’s
Identification Number(s)
Little Pillar Park Public Park 6170-014-901, 6170-014-
907
Los Amigos East Park Public Park 6168-012-906
Los Amigos West Park Public Park 6168-013-901, 6168-013- 902, 6168-012-905
Los Angeles Speech & Language
Therapy Center, Inc.

Day Care
Center 6173-015-041
Lucy Avalos Community Center Youth Center
6189-019-908, 6189-019-
923, 6189-019-916, 6189-
019-917, 6189-019-926
Lugo Elementary School School
6193-002-901, 6193-002-
904, 6193-002-902, 6193-
002-909, 6193-002-906,
6193-002-907, 6193-002-
903, 6193-002-905, 6193-
002-908
Lugo Preschool Day Care
Center
6193-002-901, 6193-002-
904, 6193-002-902, 6193-
002-909, 6193-002-906,
6193-002-907, 6193-002-
903, 6193-002-905, 6193-
002-908
Lynwood Community Center Youth Center 6173-022-901
Lynwood High School School 6174-020-900, 6174-019-
900
Lynwood Natatorium Youth Center 6173-021-900
Madison Elementary School School 6206-027-901
Marco Antonio Firebaugh High
School School
6189-032-900, 6189-023-
900, 6189-023-901, 6189-
023-902, 6189-023-903,
6189-023-904, 6189-023-
914, 6189-023-905, 6189-
023-906, 6189-023-915,
6189-023-907, 6189-023-
908, 6189-023-909, 6189-
023-916, 6189-023-910,
6189-023-911, 6189-023-
917, 6189-023-912, 6189-
023-913, 6189-032-903,
6189-032-904, 6189-032-
901, 6189-032-902, 6189-
688

43 Name Sensitive Use
Type
County Assessor’s
Identification Number(s)
032-905, 6189-032-906,
6189-032-909, 6189-032-
907, 6189-032-908
Mark Twain Elementary School School 6174-025-900
Mark Twain Preschool Day Care
Center 6174-025-900
Martin Luther King Elementary
School School 6150-025-901
Mona Park Public Park 6150-025-900, 6150-025-
902
Montara Avenue Elementary School School 6207-004-922, 6207-004- 923
Park Place Early Education Day Care
Center 6186-012-041
Pathway Independent Study School 6173-022-900
Ralph C. Dillis Park Public Park
6237-026-904, 6237-033-
914, 6237-033-904, 6237-
033-915, 6237-033-902,
6237-033-905, 6237-033-
911, 6237-033-913, 6237-
033-918, 6237-033-912,
6237-033-906, 6237-033-
907, 6237-033-916, 6237-
033-917, 6237-033-909,
6237-033-910, 6237-033-
901
Ricardo Lara Linear Park Public Park 6174-001-913
Ritter Elementary School School 6068-020-901
Roosevelt Elementary School School 6191-023-900, 6191-024- 900
Roosevelt Preschool Day Care
Center
6191-023-900, 6191-024-
900
Rosa Parks Elementary School
6174-019-905, 6174-019-
903, 6174-019-907, 6174-
019-904, 6174-019-906,
6174-019-908, 6174-019-
909, 6174-019-901, 6174-
019-902
Rosa Parks Preschool Day Care
Center
6174-019-905, 6174-019-
903, 6174-019-907, 6174-
019-904, 6174-019-906,
689

44 Name Sensitive Use
Type
County Assessor’s
Identification Number(s)
6174-019-908, 6174-019-
909, 6174-019-901, 6174-
019-902
Rose Park Public Park 6169-009-900
SAGA Child Development Learning
Academy
Day Care
Center 6173-030-012
San Miguel Catholic School School 6068-008-001, 6068-008- 031
Simon Rodia Continuation School School 6207-001-900, 6207-001- 901
Soleil Academy Charter School School 6174-020-900, 6174-019- 900
South East High School & Middle
School School 6207-001-900, 6207-001-
901
St. Emydius School School
6191-015-027, 6191-015-
021, 6191-015-024, 6191-
015-023
St. Philip Neri School School
6186-014-018, 6186-014-
004, 6186-014-016, 6186-
024-031
Sunshine Day Care Center Day Care
Center 6168-016-014
Thurgood Marshall Elementary
School School 6191-018-907, 6191-018-
905, 6191-018-906
Thurgood Marshall Preschool Day Care
Center
6191-018-907, 6191-018-
905, 6191-018-906
Tiny Treasures Preschool Day Care
Center 6168-008-003
Veterans Memorial Garden Public Park 6187-002-900
Victoria Elementary School School 6209-009-900, 6209-009- 902, 6209-009-901
Vista High School School 6194-031-906
Volunteers of America, Abbott Head
Start
Day Care
Center 6186-042-900
Volunteers of America, Bright Stars
Head Start
Day Care
Center
6173-003-005, 6173-003-
018
Volunteers of America, Greater
Emmanuel Head Start
Day Care
Center 6173-017-025
Volunteers of America, Happy Days
Head Start
Day Care
Center 6186-008-030
690

45 Name Sensitive Use
Type
County Assessor’s
Identification Number(s)
Washington Elementary School School 6190-012-901, 6193-017- 901
Washington Preschool Day Care
Center
6190-012-901, 6193-017-
901
Weigand Avenue Elementary School School 6066-009-900
Weigand Elementary School Room 6 Day Care
Center 6066-009-900
Will Rogers Children's Center Day Care
Center 6194-016-925
Will Rogers Elementary School School 6194-016-925
Will Rogers Preschool Day Care
Center 6194-016-925
Wilson Elementary School School 6175-008-900
Wilson Preschool Day Care
Center 6175-008-900
Wilson School Park Public Park 6175-006-900
Yvonne Burke-John D. Ham Park Public Park
6189-019-927, 6189-019-
929, 6189-019-928, 6189-
019-924, 6189-019-909,
6189-019-925, 6189-019-
921, 6189-019-911, 6189-
019-915, 6189-019-903,
6189-019-906, 6189-019-
907, 6189-019-904, 6189-
019-913, 6189-019-912,
6189-019-922, 6189-019-
918, 6189-019-910, 6189-
019-919, 6189-019-905,
6189-019-920, 6189-019-
914, 6186-036-912, 6186-
036-913, 6186-036-910,
6186-036-909, 6186-036-
905, 6186-036-906, 6186-
036-900, 6186-036-907,
6186-036-908, 6186-036-
902, 6186-036-901, 6186-
036-903

SECTION 13. Categorically Exempt f rom CEQA. The City Council find that the actions contemplated by this Ordinance, including the issuance of retail cannabis business permits, are categorically exempt from the California Environmental Quality Act (“CEQA”) under Section 15060(c)(2) and Section 15060(c)(3) of Title 14 of the State Code 691

46 of Regulations. Further, the City Council finds that pursuant to Section 4-35.06 of Chapter 4-35 of the City Municipal Code as codified by this Ordinance , cannabis retailers are a use permitted in certain zoning districts within the City. As permitted in those zoning districts, cannabis retailers are similar to already existing permitted general uses in those zoning districts with the only difference being the type of product being delivered or sold.

SECTION 14. Severability. If any provision, section, paragraph, sentence, phrase, or word of this Ordinance is rendered or declared invalid, illegal, or unconstitutional by any final action in a court of competent jurisdiction or by reason or any preemptive legislation, such unconstitutionality illegality or invalidity shall only affect such provision, section, paragraph, sentence, phrase, or word and shall not affect or impair any remaining provisions, sections, paragraphs, sentences, phrases, or words, or the application of this Ordinance to any other person or circumstance, and to that end, the provisions her eof are severable. It is hereby declared to be the intention of the City Council that that this Ordinance would have been adopted had such unconstitutional illegal or invalid provision, section, paragraph, sentence, phrase, or word not been included herein.

SECTION 15. Liberal Construction. This Ordinance is an exercise of the police power of the City Council to provide for safe and regulated access to cannabis and cannabis products, and shall be liberally construed to effectuate that purpose.

PASSED, APPROVED, AND ADOPTED at a regular meeting of the City Council of the City of Lynwood, California this 2
nd day of August, 2022.

_________________________
Jorge Casanova, Mayor

ATTEST:

____________________________
Maria Quinonez,
City Clerk

APPROVED AS TO FORM:

____________________________
Noel Tapia,
City Attorney

692

47 STATE OF CALIFORNIA )
) §

COUNTY OF LOS ANGELES )
I, Maria Quiňonez, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the foregoing Ordinance was passed and adopted by the City Council of the City of Lynwood at a meeting held on the 2
nd day of August, 2022.

AYES: COUNCIL MEMBERS FLORES, SANTANA, SOTO, MAYOR PRO TEM

SOLACHE AND MAYOR CASANOVA
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE

________________________
Maria Quiňonez,
City Clerk

STATE OF CALIFORNIA )
) §

COUNTY OF LOS ANGELES )
I, Maria Quiňonez, the undersigned, City Clerk of the City of Lynwood, and the Clerk of the City Council of said City, do hereby certify that the above foregoing is a full, true and correct copy of Ordinance No. 1751 on file in my office and that said Ordinance was adopted on the date and by the vote therein stated. Dated this 2 nd day of August, 2022.

___________________________
Maria Quiňonez,
City Clerk

693

AGENDA STAFF REPORT

DATE:

July 18, 2023
TO:

Honorable Mayor and Members of the City Council
APPROVED BY:

Ernie Hernandez, City Manager
PREPARED BY:

Brittany Leslie, American Rescue Plan Act Coordinator
SUBJECT:
12 MONTH PILOT PROGRAM WITH THE GOAL OF IMPROVING THE

HEALTH OUTCOMES OF LYNWOOD SENIOR RESIDENTS AND CITY

OF LYNWOOD EMPLOYEES
Agenda Item # 10.2.

Recommendation:

Staff recommends that the City Council adopted the attached resolution entitled "A

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD AUTHORIZING AN AGREEMENT WITH MISALUD, INC. AND TO THE APPROPRIATION OF $78,500 IN ARPA FUNDING FOR A 12 MONTH VIRTUAL MEDICAL AND MENTAL HEALTH SERVICES PILOT PROGRAM IMPLEMENTATION."
Background:

MiSalud Health was founded amid the pandemic to help underprivileged communities get access to medical and mental health providers who understand their unique culture, situation, and needs. MiSalud works to combine technology with a network of bilingual healthcare professionals who understand the unique circumstances and health needs of underprivileged minorities and their families.

Discussion and Analysis:

MiSalud Health offers virtual care services that complement existing insurance plans. Their consultative offerings cover both physical and mental health – as well as health screenings, chronic diseases management, nutrition programs, and personalized care plans.

Through this community-focused and results driven partnership the City of Lynwood and City Council City Council Regular Meeting 694
Exhibit A MiSalud Health Proposal - 12m Pilot Program.pdf MiSalud Agreement.pdf
MiSalud Resolution.docx
MiSalud Health aim to partner on a 12 month pilot program with the goal of improving the health outcomes of Lynwood senior residents and City of Lynwood employees. All members enrolled in this pilot program will have on-demand access to the services outlined below via MiSalud’s mobile application as well as their web application.

Physical Health

Participants will gain access to fully-bilingual and culturally attuned health coaches and US- licensed doctors for:

On demand and same day consultations with less than a 5 minute wait time.

Proactive outreach by the MiSalud Care Team to achieve desired health outcomes.

Access to prescriptions, pharmacy discounts (up to 80%) and lab work navigation.

Prevention and or management of chronic health conditions.

Fully personalized Health Programs (e.g. nutrition, sleep)

Mental Health

Access to bilingual and culturally attuned mental health counselors including:

On demand and same day counseling sessions with less than a 5 minute wait time.

Screening for mental health risk factors (identifying individuals who may be at risk for developing mental health issues or experiencing a mental health crisis) Culturally informed mental health programs that match the needs and preferences of participants (e.g. anxiety, stress, depression, etc.)
Pro-active 1:1 outreach by the MiSalud Care Ream to achieve desired clinical outcomes.

Lynwood Municipal Code Section 6-3.13(a)(2)
The Lynwood Municipal Code (LMC) Section 6-3.9(e) requires formal bid process for contracts in excess of twenty-five thousand dollars. The professional services would have to be done by formal competitive bid. LMC 6-3.13(a)(2) allows for an exception to competitive bidding of any kind when supplies, equipment, services or contract could only be obtained from only one source. MiSalud Health is a sole source virtual care service that complements existing insurance plans.

Fiscal Impact:

Staff is requesting approval of an appropriation of $78,500 to account 1055.85.247.62015 from ARPA funds.

Coordinated With:

ATTACHMENTS:

Description
City Council City Council Regular Meeting 695
Improving the health outcomes
of Lynwood Seniors.

Through this community-focused and results-driven partnership, the city of Lynwood and MiSalud Health aim to partner on a pilot program with the goal of improving the health outcomes of Lynwood Senior residents & city of Lynwood employees.

Prepared for:

Ernie Hernandez, City Manager
Rita Soto, Mayor Pro-term
Prepared by:

Enrique Partida
[email protected]
C. (818)370-5170
www.misaludhealth.com
0 696
Esteemed City of Lynwood leadership team,
We want to thank you for exploring a community-focused partnership with MiSalud Health.

Together, we will make a noticeable and lasting positive impact in the quality of life of your Senior residents and City of Lynwood employees.

These are some of the immediate benefits Lynwood senior residents and city employees will be able to enjoy and take advantage of, as part of our joint pilot program:
● Access to timely care: MiSalud offers same-day consultations with our team of medical & mental health professionals.
● Personalized Health Programs: Reach your personal health goals with the help of our certified health coaches.
● Remove language barriers: All of our health professionals are fully bilingual. ● Support the Uninsured: Everyone is eligible for MiSalud Health, regardless of health insurance coverage status.
● No additional consultation costs: No copays. Ever. Have as many consultations as you need.
● Discounts on Medications: Receive up to an 80% discount on prescription medications and lab work thanks to our partnerships with Quest Diagnostics and SingleCare. Additionally, pick up your meds at your favorite pharmacy.

In closing, I’d like to reiterate that we are excited to work with you and your team — we view this as the beginning of a long-lasting and results-driven partnership.

We look forward to partnering with you on this pilot program and making a lasting positive impact on the wellbeing of Lynwood Senior residents and city employees.

Warmly,
Enrique Partida, Strategic Partnerships.

Cindy Blanco, CEO & Co-founder.
www.misaludhealth.com
1 697
Pilot Program Proposal
We admire the work and outstanding results the city of Lynwood has achieved through its community-focused mental health programs, and we strongly believe that this pilot program will help bring those efforts to the next level.

In order to make this partnership as affordable as possible for the the City of Lynwood, MiSalud Health is committed to sponsoring 50% of all platform-membership costs, throughout the entire duration of the pilot program.

Services Offered Pilot Duration Cost
Senior Center Health-Support Program: Unlimited medical and mental health telehealth consultations, personalized health plans, proactive outreach, and voluntary health screenings via full access to the MiSalud Health platform, for approximately 350~ Senior residents 12 months
$25 per member, per month,
flat fee (No copays or
additional fees will be
incurred when accessing
MiSalud Health
consultations.)
$100,000
$52,500
Employee Health-Support Program: Unlimited medical and mental health telehealth consultations, personalized health plans, proactive outreach, and voluntary health screenings via full access to the MiSalud Health platform, for approximately 150~ city of Lynwood employees. $50,000
$22,500
Two (2) on-site (In-person) onboarding events, coordinated by MiSalud team. 1) City of Lynwood employees 2)Senior Residents.
$3,500
Grand Total $78,500
Pilot Program start & end dates: To be determined.

The price above does not include any applicable state or local taxes.

Pilot Program fees due 30 calendar days after MSA has been signed by both parties.

This proposal was prepared exclusively for the City of Lynwood, pricing valid through May 31 2023.

By bringing this partnership to fruition,
Lynwood’s position as an innovative program leader nationwide will be reinforced, as we jointly raise the bar and redefine what “truly-inclusive community health support” really means. www.misaludhealth.com
2 698
The MiSalud Difference
MiSalud Health offers virtual care services that complement existing insurance plans. Our consultative offerings cover both physical and mental health - as well as health screenings, chronic disease mgmt., nutrition programs, and personalized care plans.

Proactive Outreach
What makes MiSalud unique is our proactive approach to outreach & engagement. The Misalud care team directly reaches out to members via in-person onboarding sessions, SMS, phone calls, and via our easy-to-use mobile app. As part of every partnership engagement, our care team tailors outreach strategies to fit the needs of each organization and their members.

As a result, we’ve successfully achieved 50-70% engagement rates with difficult-to-reach populations that previously weren’t engaging due to a wide range of challenges, including:
● Low technology literacy
● Low health plan literacy/awareness
● Distrust of conventional medical providers
● Language Barriers
● Immediate care not being available
Culturally Attuned Care
Every member of our care team is fully-bilingual in English and Spanish. More than that, our doctors, mental health professionals, and wellness coaches are trained to provide care that is sensitive to cultural norms and preferences. Because of our approach, we’re able to build trust where other providers have not. This foundation of trust is ultimately what enables our expert team to deliver high rates of engagement and improved clinical outcomes.

No Hidden Fees
Our standard pricing model is based on a flat monthly cost per member. There are no copays for consultations and no hidden fees. Each partnership is tailored to fit the needs of each organization.
www.misaludhealth.com
3 699
Services Overview
This section outlines the services MiSalud Health will provide to the city of Lynwood as part of this pilot program. All members enrolled through this program will enjoy on-demand access to the services outlined below via MiSalud’s mobile application (available for Apple and Android devices) as well as our web application (available through any web browser).

1. In-person Onboarding Sessions
As part of this pilot program, MiSalud Health will coordinate two (2) onboarding sessions, each session lasting for two (2) consecutive days.
● Session 1: City of Lynwood Offices, date TBD
● Session 2: Lynwood Senior Center, date TBD
During each session, the MiSalud Health team will provide the following services:
● Share a brief presentation for Lynwood seniors and Lynwood city employees going over all of the services and benefits MiSalud Health will provide. ● MiSalud Health promotional items for Lynwood Seniors and employees. ● Voluntary health screenings (Blood Pressure, BMI, Mental Health) ● Members can discuss personal health goals with MiSalud Health professionals. ● 1-on-1 support with app download, account creation, understanding app features, utilizing the app, scheduling follow-up consultations, etc. ● Answers to any questions Lynwood Seniors and City employees may have regarding the pilot program or the services offered.
www.misaludhealth.com
4 700

2. Health Services
Physical Health
Employees will gain access to fully-bilingual and culturally attuned health coaches and US-licensed doctors for:
● On-demand and same day consultations with less than a 5 minute. wait time. ● Proactive outreach by the MiSalud Care Team to achieve desired health outcomes. ● Access to prescriptions, pharmacy discounts (up to 80%), and labwork navigation. ● Prevention and/or management of chronic health conditions. ● Fully-personalized Health Programs (e.g. Nutrition, Sleep).

Mental Health
Access to bilingual and culturally attuned mental health counselors, including:
● On-demand and same day counseling sessions with less than 5 min. wait time ● Screening for mental health risk factors (identifying individuals who may be at risk for developing mental health issues or experiencing a mental health crisis) ● Culturally informed mental health programs that match the needs and preferences of employees (e.g., anxiety, stress, depression, etc.)
● Pro-active 1:1 outreach by the MiSalud Care Team to achieve desired clinical outcomes

3. Program Analytics & Reporting
The city of Lynwood will receive access to a personalized MiSalud Health Dashboard to monitor program performance and overall engagement. The data on this dashboard is aggregated and fully-anonymized to ensure patient privacy.

The dashboard may include, but is not limited to:
● Engagement and utilization (i.e., number of employees signing up, frequency of interactions, types of interactions, etc.).
● Clinical/health metrics from initial interactions/screenings and ongoing interactions (e.g., number of employees with a chronic condition, disease states, etc.). ● Other additional data to help quantify health outcomes and/or program ROI. www.misaludhealth.com
5 701

4. Customer Success & Support
At MiSalud Health, we believe that customer success is at the heart of everything we do. As such, the city of Lynwood will have dedicated Customer Success and Support resources throughout the term of the pilot program. What follows is an overview of our Customer Success approach.

Onboarding & Training
Our Customer Success team provides comprehensive onboarding, education, and training to ensure that employees are able to use our services effectively.

Employee Communication
With your input, our team will develop a communication strategy to maximize engagement.

This strategy covers appropriate messaging, channels, and desired outcomes.

Health-Plan Literacy
Depending on your organization’s needs, our team can assist with advancing awareness of other programs and benefits offered by you, the employer.

Ongoing Support
Our team also offers ongoing support to answer any questions or concerns that employers and employees may have. Our Support Team is available via Chat and Email, Monday through Friday, 7am to 8pm Pacific.

Regular Business Reviews
Regular business reviews are standard to our customer engagement model. You may determine the cadence that’s best for your organization: quarterly, bi-annually, or annually.

During these reviews, the MiSalud Health CS and Clinical teams present findings and analysis on progress to date, and collaborate with your team to advance key objectives.

We are committed to providing excellent customer service and support to ensure that our customers are able to achieve their goals and improve the health and wellbeing of their employees.
www.misaludhealth.com
6 702
1 PROFESSIONAL SERVICES AGREEMENT

This agreement (“Agreement”) is made as of July 18, 2023 by and between the City of Lynwood, a municipal corporation ("City") and MiSalud, Inc. (“Consultant”). City and Consultant are sometimes hereinafter individually referred to as a “Party” and collectively referred to as the “Parties.”

R E C I T A L S

WHEREAS, City desires to utilize the services of Consultant as an independent contractor to provide virtual medical and mental health care services as set forth in the Scope of Services attached hereto as Exhibit A; and

WHEREAS, Consultant represents that it is fully qualified to perform such consulting services by virtue of its experience and the training, education and expertise of its principals and employees.

NOW, THEREFORE, in consideration of performance by the parties of the covenants and conditions herein contained, the parties hereto agree as follows:

1. Company's Scope of Services. The nature and scope of the specific services to be performed by Consultant are as described in Exhibit A.

2. Term of Agreement. This Agreement shall commence on July 18, 2023 (the “Commencement Date”) and shall remain and continue in effect until tasks described in Exhibit A are completed, but in no event later than December 31, 2024 unless sooner terminated pursuant to the provisions of this Agreement.

3. Compensation.

A. City agrees to compensate Consultant for services under this Agreement in compliance with the schedule set forth in Exhibit A. Consultant shall submit proper invoices in the form and manner specified by City. Each invoice shall include a monthly breakdown of all monthly services performed together with the hours spent on each service. Consultant shall maintain appropriate and necessary documentation supporting the invoices detailing the type of service provided. It shall be available for review by the City at all reasonable times upon request.

B. Total payment to Consultant pursuant to this Agreement sha ll not exceed $78,500.

C. If at the request of the City, Consultant is required to incur out of pocket expenses (including but not limited to, out-of-town travel and lodging) which are above and beyond the ordinary expenses associated wit h performance of this Agreement, Consultant shall be entitled to reimbursement of such expenses. Consultant shall only be reimbursed for those expenses which: (I) appear on Consultant’s monthly invoices; (II) are accompanied by a copy of the City’s written authorization for Consultant to incur 703
2 such expenses; and (III) receipts documenting such expenses.

4. General Terms and Conditions. The General Terms and Conditions set forth in Exhibit B are incorporated as part of this Agreement. In the event of any inconsistency between the General Terms and Conditions and any other exhibit to this Agreement, the General Terms and Conditions shall control unless it is clear from the context that both parties intend the provisions of the other exhibit(s) to control.

5. Addresses.

City of Lynwood

City of Lynwood
11330 Bullis Road
Lynwood, CA 90262
Attn: Ernie Hernandez, City Manager

Company

MiSalud Health
Attn: Cindy Blanco
228 Hamilton Ave.

Floor 3
Palo Alto, CA 94301

6. Exhibits. All exhibits referred to in this Agreement are listed here and are incorporated and made part of this Agreement by this reference.

Exhibit A – Scope of Services and Compensation Schedule Exhibit B – General Terms and Conditions
Exhibit C – Required Federal Contract Provisions

SIGNATURES ON FOLLOWING PAGE

704
3 IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates written below.

CITY

CITY OF LYNWOOD

By: ______________________________ ______________________ Ernie Hernandez, City Manager Date

CONSULTANT

MiSalud Health

By: _______________________________ ________________________ Cindy Blanco, CEO Date

ATTEST:

By: ______________________________ ________________________ Maria Quinonez, City Clerk Date

APPROVED AS TO FORM:

By: ______________________________ ________________________ Noel Tapia, City Attorney Date

705
1 EXHIBIT A

SCOPE OF WORK

706
1 EXHIBIT B

GENERAL TERMS AND CONDITIONS

1. Status as Independent Contractor.

A. Consultant is, and shall at all times remain as to City, a wholly independent contractor. Consultant shall have no power to incur any debt, obligation, or liability on behalf of the City of Lynwood or otherwise act on behalf of Lynwood as an agent. Neither the City of Lynwood nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees, except as set forth in this Agreement. Consultant shall not, at any time, or in any manner, represent that it or any of its agents or employees are in any manner agents or employees of the City of Lynwood.

B. Consultant agrees to pay all required taxes on amounts paid to Consultant under this Agreement, and to indemnify and hold City harmless from any and all taxes, assessments, penalties, and interests asserted against City by reason of the independent Consultant relationship created by this Agreement. In the event that City is audited by any Federal or State agency regarding the independent status of Consultant and the audit in any way fails to sustain the validity of a wholly independent Consultant relationship between City and Consultant, then Consultant agrees to reimburse City for all costs, including accounting and attorney's fees, arising out of such audit and any appeals relating thereto.

C. Consultant shall fully comply with the workers' compensation law regarding Consultant and Consultant’s employees. Consultant further agrees to indemnify and hold City harmless from any failure of Consultant to comply with applicable worker's compensation laws. City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Section 1.

D. Consultant represents to the City, and City relies on Consultant ’s representations, that Consultant shall serve solely in the capacity of an independent contractor to the City. Neither the City nor any of its agents will have control over the conduct of Consultant or any of Consultant’s employees, except as otherwise set forth in the Agreement. Consultant may not, at any time or in any manner, represent that it or any of its agents or employees are in any manner agents or employees of the City. The City has no duty, obligation, or responsibility to the Consultant ’s agents or employees, including the Affordable Care Act coverage requirements. Consultant is solely responsible for any tax penalties associated with the failure to offer affordable coverage to its agents and employees under the Affordable Care Act with respect to Consultant’s agents and employees. Consultant warrants and represents that the City will not be responsible and will not be held liable for issues related to Consultant ’s status as an independent contractor, including Consultant ’s failure to comply with Consultant’s duties, obligations, a nd responsibilities under the Affordable Care Act.

Consultant further agrees to defend, indemnify, and hold the City harmless for any and 707
2 all taxes, claims, and penalties against the City related to Consultant ’s obligations under the Affordable Care Act.

2. Standard of Performance

Consultant shall perform all work to the highest professional standards and in a manner reasonably satisfactory to the City Manager or his/her designee. No additional or different tasks or services shall be performed by Consultant other than those specified in Exhibit A.

3. Indemnification.

A. Consultant is skilled in the professional calling necessary to perform the services and duties agreed to be performed under this Agreement, and City is relying upon the skill and knowledge of Consultant to perform said services and duties.

B. City and its respective elected and appointed boards, officials, officers, agents, employees and volunteers (individually and collectively, "Indemnities") shall have no liability to Consultant or any other person for, and Consultant shall indemnify, defend, protect and hold harmless Indemnities from and against, any and all liabilities, claims, actions, causes of action, proceedings, suits, damages, judgments, liens, levies, costs and expenses of whatever nature, including reasonable attorneys' fees and disbursements (collectively "Claims"), which Indemnities may suffer or incur or to which Indemnities may become subject by reason of or arising out of any injury to or death of any person(s), damage to property, loss of use of property, economic loss or other loss occurring as a result of or allegedly caused by Consultant’s performance of or failure to perform any services under this Agreement or by the negligent or willful acts or omissions of Consultant, its agents, officers, directors, subcontractor, sub consultant or employees, committed in performing any of the services under this Agreement. Notwithstanding the foregoing, the provisions of this subsection shall not apply to Claims occurring as a result of the City’s sole negligence or willful acts or omissions.

C. Consultant agrees to obtain executed indemnity agreements with provisions identical to those set forth in this Section from each and every subcontractor, sub consultant or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. In the event Consultant fails to obtain such indemnity obligations from others as required in this Section, Consultant agrees to be fully responsible according to the terms of this Section. Failure of the City to monitor compliance with these requirements imposes no additional obligations on City and will in no way serve as a waiver of any rights hereunder. This obligation to indemnify and defend Indemnities as set forth herein shall survive the termination of this Agreement and is in addition to any rights which City may have under the law. This indemnity is effective without reference to the existence or applicability of any insurance coverage which may have been required under this Agreement or any additional insured endorsements which may extend to City.
708
3 4. Insurance.

A. Without limiting Consultant ’s indemnification of Indemnities pursuant to Section 3 of this Agreement, Consultant shall obtain and provide and maintain at its own expense during the term of this Agreement the types and amounts of insurance as described below:

(I) Consultant shall maintain Commercial General Liability Insurance with coverage at least as broad as Insurance Services Office Commercial General Liability Form CG 00 01 in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, per sonal injury, and property damage. Defense costs must be paid in addition to limits. There shall be no cross liability exclusion for claims or suits by one insured against another. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.

(II) Consultant shall maintain Business Auto Coverage on ISO Business Auto Coverage Form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non- owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.

(III) Consultant shall maintain Workers’ Compensation I nsurance (Statutory Limits) and Employer’s Liability Insurance with on a state approved policy form providing statutory benefits as required by law with employer’s liability limits no less than $1,000,000 per accident for all covered losses;

(IV) Consultant shall maintain Professional Liability or Errors and Omissions Insurance that covers the services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate.

Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and Consultant agrees to maintain continuous coverage through a period no less than three (3) years after completion of the services required by this Agreement.

B. City, its officers, officials, employees and volunteers shall be named as additional insureds on the policy(ies) as to commercial general liability and automotive liability.

C. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VI (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved 709
4 by the City’s Risk Manager.

D. All insurance policies shall provide that the insurance coverage shall not be non-renewed, canceled, reduced, or otherwise modified (except through the addition of additional insureds to the policy) by the insurance carrier without the insurance carrier giving City thirty (30) days' prior written notice thereof. Any such thirty (30) day notice shall be submitted to CITY via certified mail, return receipt requested, addressed to “Director of Human Resources & Risk Management ,” City of Lynwood, 11330 Bullis Road, Lynwood, California, 90262. Consultant agrees that it will not cancel, reduce or otherwise modify said insurance coverage.

E. Consultant shall submit to City (I) insurance certificates indicating compliance with the minimum worker's compensation insurance requirements above, and ( II) insurance policy endorsements indicating compliance with all other minimum insurance requirements above, not less than one (1) day prior to beginning of performance under this Agreement. Endorsements shall be executed on City’s appropriate standard forms entitled "Additional Insured Endorsement".

F. Consultant’s insurance shall be primary as respects the City, its officers, officials, employees and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees and volunt eers shall be excess of Consultant ’s insurance and shall not contribute with it.

G. Consultant agrees that if it does not keep the aforesaid insurance in full force and effect, and such insurance is available at a reasonable cost. City may take out the necessary insurance and pay the premium thereon, and the repayment thereof shall be deemed an obligation of Consultant’s and the cost of such insurance may be deducted, at the option of City, from payments due Consultant.

5. Release of Information/Confidentiality.

A. Consultant in the course of its duties may have access to confidential data of City, private individuals, or employees of the City. Consultant covenants that all data, documents, discussion, or other information developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without written authorization by City. City shall grant such authorization if disclosure is required by law. All City data shall be returned to City upon the termination of this Agreement. Consultant, its officers, employees, agents, or subconsultants, shall not without written authorization from the City Manager, voluntarily provide declarations, letters of support, testimony at depositions, response to interrogatories, or other information concerning the work performed under this Agreement or relating to any project or property located within the City. Response to a subpoena or court order shall not be considered "voluntary" provided Consultant gives City notice of such court order or subpoena. Consultant’s covenant under this section shall survive the termination of this Agreement.

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5 B. Consultant shall promptly notify City should Consultant, its officers, employees, agents, or subconsultants be served with any summons, complaint, subpoena, notice of deposition, request for documents, inte rrogatories, request for admissions, or other discovery request, court order, or subpoe na from any person or party regarding this Agreement and the work performed thereunder. City retains the right, but has no obli gation, to represent Consultant and/or be present at any deposition, hearing, or similar proceeding. Consultant agrees to cooperate fully with City and to provide the opportunity to review any response to discovery requests provided by Consultant. However, City's right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response

6. Ownership of Work Product.

A. Consultant shall maintain complete and accurate records with respect to sales, costs, expenses, receipts, and other such information required by the City that relate to the performance of services under this Agreement. Consultant shall maintain adequate records of services provided in sufficient detail to permit an evaluation of services. All such records shall be maintained in accordance with generally accepted accounting principles and shall be clearly identified and readily accessible. Consultant shall provide free access to the representatives of the City or its designees at reasonable times to such books and records; shall give the City the right to examine and audit said books and records; shall permit the City to make transcripts therefrom as necessary; and shall allow inspection of all work, data, documents, proceedings, and activities related to this Agreement. Such records, together with supporting documents, shall be maintained for a period of three (3) years after receipt of final payment.

B. Upon completion of, or in the event of termination or suspension of this Agreement, all original documents, designs, drawings, maps, models, computer files, surveys, notes, and other documents prepared in the course of providing the services to be performed pursuant to this Agreement shall become the sole property of the City and may be used, reused, or otherwise disposed of by the City without the permission of the Consultant. With respect to computer files, Consultant shall make available to the City, at the Consultant's office and upon reasonable written request by the City, the necessary computer software and hardware for purposes of accessing, compiling, transferring, and printing computer files.

7. Conflict of Interest.

A. Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the services to be performed by Consultant under this Agreement, or which would conflict in any manner with the performance of its services hereunder. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it.

Furthermore, Consultant shall avoid the appearance of having any interest which would conflict in any manner with the performance of its services pursuant to this Agreement.

711
6 B. Consultant covenants not to give or receive any compensation, monetary or otherwise, to or f rom the ultimate vendor(s) of services to City as a result of the performance of this Agreement, or the services that may be procured by the City as a result of the recommendations made by Consultant’s covenants under this section shall survive the termination of this Agreement.

8. Termination. Notwithstanding any other provision, this Agreement may be duly terminated at any time by the City at its sole discretion with or without cause by serving upon the consultant at least ten (10) days prior written notice (“Notice of Termination”).

Upon receipt of said notice, the Consultant shall immediately cease all work under this Agreement, unless the notice provides otherwise. Unless expressly agreed upon in writing by the City, the City shall not be obligated to pay for any services rendered nor any costs or expenses paid or incurred after the date of termination. The effective date of termination shall be upon the date specified in the written Notice of Termination.

Consultant agrees that in the event of such termination, Consultant must refund the City its prorated share, except for services satisfactorily rendered prior to the effective date of termination. Immediately upon receiving written Notice of Termination, Consultant shall discontinue performing services, preserve the product of the services and upon payment for services, turn over to City the product of the services in accordance with written instructions of City.

In the event this Agreement is terminated pursuant to this Section, the City shall pay to Consultant the actual value of the work performed up to the time of termination, provided that the work performed is of value to the City. Upon termination of the Agreement pursuant to this Section, the Consultant will submit an invoice to the City.

9. Personnel. Consultant represents that it has, or will secure at its own expense, all personnel required to perform the services under this Agreement. All of the services required under this Agreement will be performed by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to perform such services.

Consultant reserves the right to determine the assignment of its own employees to the performance of Consultant’s services under this Agreement, but City reserves the right, for good cause, to require Consultant to exclude any employee from performing services on City's premises.

10. Non-Discrimination and Equal Employment Opportunity.

A. Consultant shall not discriminate as to race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation, in the performance of its services and duties pursuant to this Agreement, and will comply with all rules and regulations of City relating thereto. Such nondiscrimination shall include but not be limited to the following: employment, upgrading, demotion, transfers, recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selec tion for training, including apprenticeship.

712
7 B. Consultant will, in all solicitations or advertisements for employees placed by or on behalf of Consultant state either that it is an equal opportunity employer or that all qualified applicants will receive consideration for employment without regard to race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation.

C. Consultant will cause the foregoing provisions to be inserted in all subcontracts for any work covered by this Agreement except contracts or subcontracts for standard commercial supplies or raw materials.

11. Assignment. Consultant shall not assign or transfer any interest in this Agreement nor the performance of any of Consultant obligations hereunder, without the prior written consent of City, and any attempt by Consultant to assign this Agreement or any rights, duties, or obligations arising hereunder shall be void and of no effect.

12. Performance Evaluation. For any Agreement in effect for twelve months or longer, the City Manager may require a written annual administrative performance evaluation within ninety (90) days of the first anniversary of the effective date of this Agreement, and each year thereafter throughout the term of this Agreement. The work product required by this Agreement shall be utilized as the basis for review, and any comments or complaints received by City during the review period, either orally or in writing, shall be considered. City shall meet with Consultant prior to preparing the written report. If any noncompliance with the Agreement is found, City may direct Consultant to correct the inadequacies, or, in the alternative, may terminate this Agreement as provided herein.

13. Compliance with Laws. Consultant shall keep itself informed of State, Federal and Local laws, ordinances, codes and regulations which in any manner affect those employed by it or in any way affect the performance of its service pursua nt to this Agreement. Consultant shall at all times comply with such laws, ordinances, codes and regulations. The City, its officers and employees shall not be liable at law or in equity occasioned by failure of Consultant to comply with this Section.

Consultant acknowledges that the funding associated with the Scope of Services under this Agreement requires compliance with the provisions 2 CFR §200 et seq. Consultant agrees that it will be responsible for ensuring compliance with all required federal requirements, including but not limited to those attached hereto and incorporated here by reference as Exhibit C. Should any conflict arise between the requirements of Exhibit C and this Agreement, the provisions of Exhibit C shall control to the minimum extent required to resolve such conflict.

14. Licenses. At all times during the term of this Agreement, Consultant shall have in full force and effect all licenses (including a City business license) required of it by law for performance of the services hereunder.

15. Non-Waiver of Terms, Rights and Remedies. Waiver by either party of any one 713
8 or more of the conditions of performance under this Agreement shall not be a waiver of any other condition of performance under this Agreement. In no event shall the making by City of any payment to Consultant constitute or be construed as a waiver by City of any breach of covenant, or any default which may then exist on the part of Consultant, and the making of any such payment by City shall in no way impair or prejudice any right or remedy available to City with regard to such breach or default.

16. Attorney's Fees. In the event that either party to this Agreement shall commence any legal or equitable action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party in such action or proceeding shall be entitled to recover its costs of suit, including reasonable attorney's fees and costs, including costs of expert witnesses and Consultant.

17. Notices. Any notices, bills, invoices, or reports required by this Agreement shall be deemed received on (a) the day of delivery if delivered by hand during Consultant regular business hours or by facsimile before or during Consultant regular business hours; or (b) on the third business day following deposit in the United States mail, postage prepaid, to the addresses heretofore set forth in the Agreement, or to such other addresses as the parties may, from time to time, designate in writing pursuant to th e provisions of this section.

18. Governing Law. This Agreement shall be construed and interpreted both as to validity and to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Los Angeles, State of California. However, the Parties may agree to submit any dispute to non-binding arbitration.

19. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed to be the original, and all of which together shall constitute one and the same instrument.

20. Severability. If any provision or any part of any provision of this Agreement is found to be invalid or unenforceable, the balance of this Agreement shall remain in full force and effect.

21. Entire Agreement. This Agreement, and any other documents incorporated herein by specific reference, represents the entire and int egrated agreement between Consultant and City. This Agreement supersedes all prior oral or written negotiations, representations or agreements. This Agreement may not be amended, nor any provision or breach hereof waived, except in a writing signed by the Parties which expressly refers to this Agreement. Amendments on behalf of the City will only be valid if signed by the Mayor and attested by the City Clerk.

22. Authority. The person or persons executing this Agreement on behalf of Consultant warrants and represents that he/she has the authority to execute this 714
9 Agreement on behalf of Consultant and has the authority to bind Consultant to the performance of its obligations hereunder.

715
10 EXHIBIT C

REQUIRED FEDERAL CONTRACT PROVISIONS

SECTION 1. TERMINATION
A. See Exhibit B Section 8 of the Agreement.

B. City may temporarily suspend this Agreement, at no additional cost to City, provided that Consultant is given written notice (delivered by certified mail, return receipt requested) of temporary suspension. If City gives such notice of temporary suspension, Consultant shall immediately suspend its activities under this Agreement. A temporary suspension may be issued concurrent with the notice of termination.

C. In addition to right to terminate or suspend the Agreement contained herein, if Consultant fails to p erform any of the obligations under this Agreement, City may, in its sole discretion, require Consultant to cure any deficiencies in its performance by providing a Notice of Cure in compliance with Exhibit B Section 8 of the Agreement , specifying the applicable cure period to perform the requested cure items. If Consultant does not provide such a cure prior to the expiration of the cure period, Consultant shall be liable for the cost and expense incurred by City as a result of such default, including but not limited to the costs and expense associated with obtain a replacement Consultant to complete the Statement of Work. This provision shall not be interpreted to limit any administrative or civil penalties, sanctions, or remedies City may have under the City’s municipal code or under any applicable laws.

SECTION 2. REBATES, KICKBACKS OR OTHER UNLAWFUL CONSIDERATION The Consultant warrants that this Agreement was not obtained or secured through rebates, kickbacks or other unlawful consideration either promised or paid to any City employee. For breach or violation of this warranty, City shall have the right, in its discretion, to terminate this Agreement without liability, to pay only for the value of the work actually performed, or to deduct from this Agreement price or otherwise recover the full amount of such rebate, kickback or other unlawful consideration.

SECTION 3. COMPLIANCE WITH LAWS
Consultant agrees that it shall perform all duties and obligations under this Agreement in compliance with all applicable laws including, but not limited to, all applicable standards, orders or regulations issued pursuant to the Clean Air Act (42 U.S.C. 7401- 7671q) and the Federal Water Pollution Control Act as amended (33 U.S.C. 1251-1387) as applicable. Violations must be reported to the Federal awarding agency and the Regional Office of the Environmental Protection Agency (EPA).

SECTION 4. DEBARMENT AND SUSPENSION CERTIFICATION
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11 A. The Consultant’s signature affixed herein shall constitute a certification under penalty of perjury under the laws of the State of California, that the Consultant or any person associated therewith in the capacity of owner, partner, director, officer or manager:

1. Is not currently under suspension, debarment, voluntary exclusion, or determination of ineligibility by any federal agency;

2. Has not been suspended, debarred, voluntarily excluded, or determined ineligible by any federal agency within the past three (3) years;

3. Does not have a proposed debarment pending; and

4. Has not been indicted, convicted, or had a civil judgment rendered against it by a court of competent jurisdiction in any matter involving fraud or official misconduct within the past three (3) years.

B. Any exceptions to this certification must be disclosed to City. Exceptions will not necessarily result in denial of recommendation for award, but will be considered in determining responsibility. Disclosures must indicate the party to whom the exceptions apply, the initiating agency, and the dates of agency action.

C. Exceptions to the Federal Government excluded parties (
https://sam.gov/content/home) maintained by the U.S. General Services Administration are to be determined by FHWA.

SECTION 5. PROHIBITION OF EXPENDING CITY, STATE, OR FEDERAL FUNDS

FOR LOBBYING
A. The Consultant certifies, to the best of his or her knowledge and belief, that:

1. No State, Federal, or City appropriated funds have been paid or will be paid, by or on behalf of the Consultant , to any person for influencing or attempting to influence an officer or employee of any local, State, or Federal agency, a Member of the State Legislature or United States Congress, an officer or employee of the Legislature or Congress, or any employee of a Member of the Legislature or Congress in connection with the awarding or making of this Agreement, or with the extension, continuation, renewal, amendment, or modification of this Agreement.

2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a m ember of Congress in connection with this Agreement, the Consultant shall complete and submit Standard Form -LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions.
717
12 B. This certification is a material representation of fact upon whic h reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by 31 U.S.C. §1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than ten thousand dollars ($10,000) and not more than one hundred thousand dollars ($100,000) for each such failure.

C. The Consultant also agrees by signing this document that he or she shall require that the language of this certification be included in all lower tier subagreements, which exceed one hundred thousand dollars ($100,000), and that all such subrecipients shall certify and disclose accordingly.

718
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD AUTHORIZING AN AGREEMENT WITH MISALUD, INC. AND TO THE
APPROPRIATION OF $78,500 IN ARPA FUNDING FOR A 12 MONTH VIRTUAL

MEDICAL AND MENTAL HEALTH SERVICES PILOT PROGRAM

IMPLEMENTATION
WHEREAS, On March 11, 2021, the President of the United States signed the American Rescue Plan Act of 2021 (ARPA); and
WHEREAS, The ARPA provided $1.9 trillion in relief funding intended to speed up the United States recovery from the economic and health effects of the Coronavirus pandemic; and
WHEREAS, Under the ARPA, Lynwood was awarded $24,400,000 in Recovery funds; and
WHEREAS, The City Council of the City of Lynwood (the “City Council”) approved the Lynwood Economic & Community Enhancement Plan February 1, 2022; and WHEREAS, staff has identified a Medical & Mental Health Services pilot program that was not included in the Lynwood Economic & Community Enhancement Plan that will require amendments to ensure proper funding levels; and WHEREAS, as a result, staff is recommending the following proposed budget adjustments, which will amend the Lynwood Economic & Community Enhancement Plan.

NOW, THEREFORE, THE LYNWOOD CITY COUNCIL DOES HEREBY
RESOLVE AND DETERMINE AS FOLLOWS:

Section 1. The City Council of the City of Lynwood hereby finds and declares that the foregoing recitals are true and correct, and incorporates them herein as findings and as a substantive part of this Resolution.

Section 2. By adoption of this resolution, the City Council approves the Proposed Budget Adjustments and hereby amends the Lynwood Economic & Community Enhancement Plan.

Fund Description Amount
1055.85.247.62015 Professional & Contractual
Services
$78,500
Total $78,500
Section 3. That this Resolution shall take effect immediately upon its adoption.

Section 4. The City Clerk shall certify as to the adoption of this Resolution. 719
PASSED, APPROVED and ADOPTED this 18th day of July 2023 Oscar Flores
MAYOR
ATTEST:

Maria Quinonez

CITY CLERK
APPROVED AS TO FORM: APPROVED AS TO CONTENT:

Noel Tapia Ernie Hernandez

CITY ATTORNEY CITY MANAGER
720

AGENDA STAFF REPORT

DATE:

July 18, 2023
TO:

Honorable Mayor and Members of the City Council
APPROVED BY:

Ernie Hernandez, City Manager
PREPARED BY:

Julian Lee, Director of Public Works
SUBJECT:

AWARD OF CONTRACT TO ALL AMERICAN ASPHALT FOR THE CITYWIDE SLURRY SEAL (PHASE 3) PROJECT FY 2023-2024
CIP PROJECT NO.
4011.68.127
Agenda Item # 10.3.

Recommendation:

Staff recommends that the City Council adopt the attached resolution entitled: “A

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD AWARD OF

CONTRACT TO ALL AMERICAN ASPHALT FOR THE CITYWIDE SLURRY SEAL (PHASE 3) PROJECT FY 2023-2024 CIP PROJECT NO. 4011.68.127; AUTHORIZING THE CITY

MANAGER TO APPROVE AGREEMENT AMENDMENTS RELATED TO THE PROJECT AND AUTHORIZING THE MAJOR TO EXECUTE THE AGREEMENT.”
Background:

The City of Lynwood is implementing a citywide slurry seal program. The item before the City Council will continue the Slurry Seal program into Phase 3 of this four-phase program. Slurry seal projects are an important part of the city’s pavement management program. The treatment provides a new wearing surface of the road and protects it from sun and water damage. A slurry seal is a maintenance treatment that prolongs the life of asphalt at a fraction of the cost of full pavement (structural) repair.

The Work encompassed by the Project is more specifically defined in the Contract Documents, but in general consists of, but is not limited to, the following Work: citywide slurry seal, including pavement cold milling and overlay at the following locations:

City Council City Council Regular Meeting 721

Street Name
From
To
Imperial Highway
Fernwood Avenue
Bellinger Street
Imperial Highway
Bellinger Street
State Street
Imperial Highway
State Street
Peach Street
Imperial Highway
Peach Street
Long Beach Boulevard
Imperial Highway
Long Beach Boulevard
California Avenue
Imperial Highway
California Avenue
Birch Street
Imperial Highway
Birch Street
Los Flores Boulevard
Imperial Highway
Los Flores Boulevard
MLK Jr Boulevard
Imperial Highway
MLK Jr Boulevard
Stockwell Drive
Harriet Tubman Way
Bullis Road
Ernestine Street
Hulme Avenue
Lyndora Street
Ira Street
Hulme Avenue
Shirley Avenue
MLK Jr Boulevard
Le Sage Street
Stockwell Drive
Benwell Drive
Le Sage Street
Benwell Drive
Carson Drive
Lewis Road
Abbott Road
Imperial Highway
Lilita Street
Carson Drive
Bullis Road
Linden Street
Imperial Highway
Los Flores Boulevard
Linden Street
MLK Jr Boulevard
Walnut Avenue
Lorrain Street
108
th
Street
109
th
Street
Lorrain Street
109
th
Street
110
th
Street
Lorrain Street
108
th
Street
E.O.P
Lorrain Street
112
th
Street
Fernwood Avenue
Los Flores Boulevard
State Street
Peach Street
Mulford Avenue
Long Beach Boulevard
California Avenue
Mulford Avenue
California Avenue
Birch Street
Norton Avenue
Long Beach Boulevard
Capistrano Avenue
Norton Avenue
Capistrano Avenue
San Jose Avenue
Norton Avenue
San Jose Avenue
Osgood Avenue
Norton Avenue
Osgood Avenue
State Street
Norton Avenue
State Street
Barlow Avenue
Norton Avenue
Barlow Avenue
Peach Street
Norton Avenue
Peach Street
Long Beach Boulevard
Osgood Avenue
MLK Jr. Boulevard
Norton Avenue
Penn Street
Los Flores Boulevard
Fernwood Avenue
Pluma Street
Barlow Avenue
Long Beach Boulevard
Rosewood Avenue
Alley
Abbott Road
Shirley Avenue
Elm Avenue
Linden Street

City Council City Council Regular Meeting 722
Discussion and Analysis:

On August 16, 2022, a Notice Inviting Bids (NIB) was advertised on the City’s web site (PlanetBids). The Bid opening took place in the PlanetBids Platform on Wednesday, September 07, 2022, at 10:00 am (PST). An analysis of all bidders was conducted, including a review of their bid schedule, license, references, and federal documents. The lowest base bid has exceeded the engineer’s estimate and the City did not have the funding to start the project in FY 2022-2023.

At the April 4, 2023 City Council Meeting, staff recommended that the City Council reject all bids received on September 07, 2022; and re-advertise and publish Notice of Inviting Bids in FY 2023-2024.

In accordance with the Lynwood Municipal Code (LMC) Chapter 6 Subsection 6-3, on May 22, 2023, the NIB was advertised on the PlanetBids. The Bid opening took place on the PlanetBids Platform on Thursday, June 22, 2023, at 10:00 am (PST). The following four (4) bids were received:

No.

Bidder
Bid Amount

1. All American Asphalt
$607,929.80

2. American Asphalt South, Inc.
$721,760.20

3. Pavement Coatings Co.
$735,463.30

4. Roy Allan Slurry Seal, Inc.
$841,830.60

An analysis of all bidders was conducted, including a review of their bid schedule, license, references, and required documents. All American Asphalt was the apparent lowest responsible bidder with a low base bid of $607,929.80. The bidder’s previous performance reveals that the contractor has the necessary experience and the contractor’s license for this type of project.

It is estimated that this project will take approximately fifty (50) calendar days to complete the work set forth in the specifications. Upon authorization, staff will circulate the contract documents, set up a pre-construction meeting, and schedule work to commence.

City Council City Council Regular Meeting 723
Bid Items and Construction Budget:

The table below is the total proposed cost for the bid items provided by All American Asphalt.:

CITYWIDE SLURRY SEAL (PHASE 3) PROJECT FY 2023-2024
Bid Schedule
Amount
Mobilization/ Demobilization (Not to exceed 3% of total of all other prime Contract Bid Items)
$6,700.00
Traffic Control
$55,000.00
Cold Mill Existing AC Pavement (2” Deep)
$27,554.80
Construct 2” Thick AC (C2-PG 64-10)
$47,515.00
Place Slurry Seal Type II with 3% Latex
$256,960.00
Install Crack Seal and Spray Weed Killer
$60,000.00
Adjust Existing Storm Drain/Sewer/Utility Manhole Frames and Covers to Finished Grade
$8,400.00
Adjust Water Valve Can and Cover to Finished Grade
$6,000.00
Traffic Striping, Marking and Curb Painting
$135,000.00
Furnish and Install Public Improvement Project Sign
$4,800.00
Total Proposed Cost for Bid Items
$607,929.80

The tables below are the approved budget funding information and estimated project cost:

Current Budget
Gas Tax
$227,500.00
SB1
$349,000.00
Measure M
$111,000.00
Prop C
$262,500.00
Measure R
$50,000.00
FY 23-24 CIP BUDGET
$1,050,000.00

Estimated Project Cost
Construction Bid
$607,929.80
10% Contingency
$60,800.00
Construction Management -Transtech
$1,850.00
City Council City Council Regular Meeting 724
07-18-23 Slurry Seal Phase 3 Award (Resolution) - PWD.docx 07-18-23 Slurry Seal Phase 3 - Agreement.pdf
07-18-23 Slurry Seal Phase 3 Award - All American Asphalt Bid.pdf Construction Inspection - Transtech
$33,600.00
Project Management (10%)
$60,800.00
Labor Compliance & Other
$30,020.20

TOTAL ESTIMATED PROJECT COST
$
795,000.00

Currently $1,050,000.00 is available to fund this project which is more than the estimated project cost of $795,000.

Fiscal Impact:

The City Council has approved FY 23-24 Budget of $1,050,000.00 in the Gas Tax, SB1, Measure M, Prop C, and Measure R fund for the Citywide Slurry Seal Phase 3 project which is more than estimated project cost of $795,000. No additional appropriation is needed.

Coordinated With:

City Manager’s Office
Department of Finance and Administration Services

ATTACHMENTS:

Description
City Council City Council Regular Meeting 725
1 RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD

AWARD OF CONTRACT TO ALL AMERICAN ASPHALT FOR THE
CITYWIDE SLURRY SEAL (PHASE 3) PROJECT FY 2023-2024 CIP PROJECT NO. 4011.68.127; AUTHORIZING THE CITY MANAGER TO

APPROVE AGREEMENT AMENDMENTS RELATED TO THE PROJECT
AND AUTHORIZING THE MAJOR TO EXECUTE THE AGREEMENT.

WHEREAS, the City of Lynwood is implementing a citywide slurry seal program.

The item before the City Council will continue the Slurry Seal program into Phase 3 of this four-phase program; and
WHEREAS, encompassed by the Project is more specifically defined in the Contract Documents, but in general consists of, but is not limited to, the following Work: citywide slurry seal, including pavement cold milling and overlay at locations citywide; and; WHEREAS, on August 16, 2022, a Notice Inviting Bids was advertised on the city’s PlanetBids website, a bid opening took place on the PlanetBids platform on September 7, 2022, an analysis of all bidders was conducted, including a review of their bid schedule, license, references, and federal documents. The lowest base bid has exceeded the engineer’s estimate and the City did not have the funding to start the project in FY 2022- 2023; and
WHEREAS, At the April 4, 2023, City Council Meeting, staff recommended that the City Council reject all bids received on September 07, 2022; and re-advertise and publish Notice of Inviting Bids in FY 2023-2024; and
WHEREAS, May 22, 2023, the Notice Inviting Bids (NIB) was advertised on the City’s website (PlanetBids). The Bid opening took place on the PlanetBids Platform on Thursday, June 22, 2023, at 10:00 am (PST), and four (4) bids were received; and WHEREAS, an analysis of all bidders was conducted, including a review of their bid schedule, license, references, and required documents. All American Asphalt was the apparent lowest responsible bidder with a low base bid of $607,929.80.; and WHEREAS, the estimated project cost is $795,000.00; and WHEREAS, the current FY23-24 project budget has a total of $1,050,000.00 in Gas Tax, SB1, Measure M, Prop C, and Measure R funds; and WHEREAS, no additional appropriation is needed.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY FIND, PROCLAIM, ORDER, AND RESOLVE AS FOLLOWS:
726
1 Section 1. The City Council of the City of Lynwood hereby finds and declares that the foregoing recitals are true and correct and incorporates them herein as findings and as substantive part of this Resolution.

Section 2. The City Council of the City of Lynwood authorizes the Mayor to execute the agreement between the City of Lynwood and All American Asphalt in a form approved by the City Attorney in the amount of $607,929.80.

Section 3. The City Council of the City of Lynwood authorizes the City Manager under LMC 6-3.15(d) to exceed the specific dollar amounts or percentage limitations under LMC 6-3.15(a) and authorizes the City Manager to approve consultant, vendor agreements, modifications, change orders, or agreement amendments related to the Project up to the available Project Budget.

Section 4. Authorize the Mayor to execute the Resolution for and on behalf of the City of Lynwood.

Section 5. This Resolution shall take effect immediately upon its adoption.

Section 6. The City Clerk shall certify as to the adoption of this Resolution and hereafter the same shall be in full force and effect City Council Resolution. (Signatures on Next Page)
727
3 PASSED, APPROVED and ADOPTED this 18th day of July 2023.

Oscar Flores
Mayor
ATTEST:

Maria Quinonez Ernie Hernandez
City Clerk City Manager
APPROVED AS TO FORM: APPROVED AS TO CONTENT:

Noel Tapia Julian Lee
City Attorney Director of Public Works
728
4 STATE OF CALIFORNIA )
)

COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the foregoing Resolution was passed and adopted by the City Council of the City of Lynwood at a regular meeting held on the 18th day of July 2023, and passed by the following votes:

AYES:

NOES:

ABSTAIN:

ABSENT:

Maria Quinonez, City Clerk

STATE OF CALIFORNIA )
)

COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, and the Clerk of the City Council of said City, do hereby certify that the above foregoing is a full, true, and correct copy of Resolution No. on file in my office and that said Resolution was adopted on the date and by the vote therein stated. Dated this 18th day of July 2023.

Maria Quinonez, City Clerk
729
13 1.4.1 CITY OF LYNWOOD AGREEMENT
FOR CONSTRUCTION OF , ENTITLED “CITYWIDE SLURRY SEAL
(PHASE 3) PROJECT, FY 2023-2024”
This agreement (the “Agreement”) is mad e and entered into on this ______ day of _______________, _____ by and between the City of Lynwood, a California Municipal Corporation ("City") a nd __________________________________________________, a ______________________________ ("Contractor"). City a nd Contractor are sometimes hereinafter referred to individually as a “Party” and collectively as the “Parties.”

R E C I T A LS
City and Contr actor, based upon the mutual pr omises contained herein, do hereby agr ee as fo llows:

I. CONTRACT DOCUMENTS
This Agreement consists of the following Contract Documents, the terms and conditions of which are expressly incorporated as component parts of thi s Agreement as if her ein set out in full or attached hereto:

A. Notice Inviting Bids, Dated May 17, 2023
B. Instructions to Bidders.

C. Addend
a.

D. Contractor’s Bid Proposal and Workers’ Compensation Certificate dated ________________, _______, and all other Bid Documents attached thereto, including but not limited to:

1. Bid Schedule(s)

2. List of Subcontractors

3. Anti -Trust Claim

4. Non -Collusion Affidavit

5. Bidder’s Gener al Information

6. Bid Bond (Bid Security Form)

7. Bidder’s Insuran ce Statement
E. Payment Bond.

F. Performance Bond.

G. Certificates/Proof of Insurance and Endorsements.

H. Certified Copy of the Lynwood City Council Resolution, not required.

I. Notice of Award dated ________________.

J. Notice to Proceed dated ______________.

K The Plans (Contract Drawings).

L. Special Provisions
M. Standard Specifications for Public Works Construction, “Greenbook” latest Edition.

N. Appendices A through I of the Contract Documents.

Dated May 22, 2023
730
14 O. Reference Specifications.

P Approved and Fully-Executed Change Orders.

Q. The Director of the Department of Industrial Relations’ Determination of Prevailing Wage Rates for Public Works for each craft or type of worker required to perform the Work under this Agreement.

II
. CONTRACT PRICE
The
City agrees to pay, and the Contractor agrees to accept as full payment for the Work outlined in the Contract Docu ments, the Contract Price of _____________________________________________ Dollars ($_______________) subject to additions and deduct ions, if any, mad e in acc ordance w ith said Contr act Documents. Progress payments shall not be made more often than once each thirty (30) days, nor shall progress payments paid be in excess of ninety percent (90%) of t he Contract Price at time of completion. Final payment to Contractor will be processed thirty- five (35) days after the City has recorded the Notice of Completion. Contractor may, upon Contractor's written request, and approved by the Ci ty Council, at Con tractor's expense, deposit substitute securities, as st ated in Government Code Section 16430, and as authorized by Public Contract Code, Section 22300, in lieu of retention monies withheld to insure performance.

Pa
yment of undisputed amounts due under thi s Agreement, including the final payment due hereunder, is contingent upon the Contractor furnishing to the City an unco nditional release by the Contractor of al l claims against the City arising by virtue of thi s Agreement related to thos e amounts. Disputed claims in stated amounts may be specifically excluded by Contr actor f rom th e op eration of any release. No payment, final or otherwise, shall operate to release the Contractor or its sureties from obligations arising under this Agreement or the bonds an d warranties furnished hereunder. No payment shall be co nstrued as an acceptance of a ny of the Work or of defective or improper materials.

III. BON
DS
Wit
hin ten (10) calendar days of receiving the Notice of Award and prior to Contrac tor’s commencement of the Work, Co ntractor shall furnish to City, using t he forms set forth in the B id D ocuments, a Labor and Materials Payment Bond in an amount equal to one hundred percent (100%) of the Contract Price, and a Performance Bond in an amount equal to one hundred percent (100%) of the Contract Pri ce, said bonds to b e in conformance with the Contract Documents, including but not limited to, the General Specifications and Subsection 2.2.2 of the Special Provisions.

IV. INDE M
NITY
Cont
ractor shall defend (with counsel of City’s choosing), indemnify and hold the City , its respective elected an d ap pointed b oards, officials, officer s, agents, employees, representatives and volunteers (individually and collectively referred to he reinafter as “Indemnitees”) free and h armless from any and all claims, deman ds, causes of act ion, costs, expenses, l iabilities, losse s, damages or injuries, in law or equity, regardless of 731
15 whether th e allegations are false, fraudulent, or groundless , to pr operty or persons, including wrongful death, to the extent arising out of or incident to any acts, omissions or willful misconduct of Contractor, its officials, officers, employees, agents, consultants and contractors arising out of or in connection with t he performance of the Wor k or this Agreement, including claims made by subcontractors for non payment, including without limitation the payment of all consequential damages and attorneys fees and other related costs and expenses. Contractor shall defend, at Contractor’s own cost, expense and risk, with counsel of City’s choosing, any and all such af oresaid suits, actions or other legal proceedings of every kind that may be brought or instituted against Indemnitees. To the extent of its liability, Con tractor shall pay and satis fy any judgment, award or decree t hat may be rendered against Indemnitees in any su ch suit, action or ot her legal proceeding.

Contractor shall reimburse Indemnitees for any and all legal expenses and costs incurred by each of them in c onnection therewith or in enforcing the indemnity herein provided.

The only limitations on th is provision shall be t hose imposed by C alifornia Civil Code Section 2782.

T
his obligation to inde mnify and defend Indemnitees as set forth herein shall survive t he termination of this Agreement and is in addition to any rights which City may have under the law. This indemnity is effective without reference to the exi stence or applicability of any ins urance coverages which may have been required under this Agreeme nt or any additional insured endorsements which may extend to City.

V. IN

SURANCE
W
ithout limiting Contractor’s indemnification of Indemnitees as set forth in Section IV of this Agreement, C ontractor shall obtain, provide and maintain, at its own expense, the types and amounts o f insurance described in Subsection 2.7.2 of the Special Provisions of the C ontract D ocuments. Such insurance shall be in force prior to Contractor commencing any Work under this Agreement and shall remain in force for the duration of this Agreement and for any other such period as may be required herein. Contractor shall provide proof of the required insurance coverage and the endorsements specified in Subsection 2.7.2 of the Special Provisions within ten (10) calendar day s of receipt of the Notice of Award.

VI. IN E

LIGIBLE SUBCONTRACTORS
I
n accordance with the provisions of Section 6109 of the California Public Contract Code, Contractor agrees that it shall not per form an y work under this Agreement with a subcontractor who is i neligible to perform work on a public works contract pursuant to Sections 1777.1 and 1777.7 of the Cali fornia Labor Code. Contractor further acknowledges that any contract on a public works project entered into between a contractor and debarred subcontractor is void as a matter of law, and a debarred subcontractor may not receive any public money for performing work as a subcontractor on a public works contract. Any public money that is paid or may have been paid to a debarred subcontractor by a C ontractor for work performe d on this Project shall be returned to the City. The Contractor shall be r esponsible for the paymen t of wages to workers of a debarred subcontractor who have been allowed to work on the Project. 732
16 VII. COMMENCEMENT OF WORK AND LIQUIDATED DAMAGES
The Contract or shall commence the Work required by this Agreement within ten (10) calendar days of the date specified in the Notice to Proceed an d shall complete all Work as specified in the Contract Documents within FIFTY (50) CALENDAR DAYS from the date in said Notice.

Cit
y an d Contractor have discu ssed the pr ovisions of Gover nment Code Sect ion 53069.85 and the damages t hat may be incurred by City if the Work is not completed within the time specified in this Agreement. The City and C ontractor hereby represen t that at the time of signing this Agreem ent, it is impracticable and extremely diff icult to fix the actual damage which will be incu rred by City if the Work is not co mpleted within the number of working days allowed. Accordingly, City and Contractor agree that the sum of $500.00 per calendar day is a reasonable sum to ass ess as Liquidated Damages to City by reason of the failure of Contractor to complete the Work within the time specified.

VIII. CERTIFICATION UNDER LABOR CODE SECTION 1861
By signing this Agreement, Contractor makes the following certification required by Section 1861 of the California Labor Code:
“I am aware of the provisions of Section 3700 of the Califo rnia Labor Code which requires every employer to be insu red against liability for workers’ compensation or to undertake sel f-insurance in accordance wi th the provisions of that Co de, and I will co mply with such provisions before commencing the performance of any Work under this Agreement.” IX. APPRENTICES
The Contractor acknowledges that, in accordance with Section 1777.5 of the State Labor Code, he/she will be held responsible for compliance with the provisions of this Section for all appr enticeable occupations.

X. SUBSTITUTION OF SUBCONTRACTORS
The Contractor hereby agrees to reimburse the City for costs incurred by the City in the substitution of su bcontractors. Where a hea ring is held pursuant to the provisions of Section 4100 et seq. of the Public Contract Code by the City or a duly appointed hearing officer, the Clerk of the C ity of Lynwood shall prepare and certify a statement of all costs incurred by the Ci ty for inve stigation and conduct of the hearing, including the costs of any hearing officer and shorthand reporter appointed.

The statement shall then be sent to the Contr actor, who shall reimburse the City for such costs. If not paid separately, such reimbursement may be deducted from any money due and owning to the Contractor prior to the City’s acceptance of the Project. 733
17 XI. LICENSES
Co
ntractor acknowledges a nd agrees that Contractor must have all appropriate contractor's licenses. Contractor fur ther warrant s and represents that he/she/they has/have the appropriate contractor's license to pursue the work hereunder. Contractor's failure to have or maintain al l app ropriate licenses during the e ntire term of this Agreement shall be cause for the immediate and summary termination of this Agreement by City. Contractor shall be liable for all City's costs incurred to complete the Work under this Agreement in the event of such termination.

XII. E M

PLOYMENT DISCRIMINATION PROHIBITED
Purs
uant to Calif ornia Labor Code Section 1735 and other applicabl e provisions of law, the Contractor and its subcontractors shall not discriminate against any em ployee or applicant for employment because of race, religious creed, color, national origin, ancestry, physical disability, mental disability , medical condition , marital status, sex, age, politi cal affiliation or sexual orientation in the performance of Work under this Agreement. T he Contractor will take affirm ative action to insure that employees ar e treated duri ng employment o r training with out regard to their of race, religious creed, color, nationa l origin, ancestry, physical disability, mental disabil ity, medical condition , mar ital status, sex, age, political affiliation or sexual orientation.

XIII.

PREVAILING WAGES
The
Contractor is aware of the requirements of Labor Code Sections 1720 et seq. and 1770 et seq., as well as California Code of Regulat ions, Title 8, Section 16000 et seq. (“Prevailing Wage La ws”), which re quire the payment of prev ailing wage rat es and the performance of other requirements on certain “public works” and “maintenance” projects.

Since the work covered by this Agreement involv es an applicable “pu blic works” or “maintenance” projec t, as defined by the Prevailing Wage Law s, and since t he total compensation is $1,000 or more, Contractor agrees to fully comply with such Prevailing Wage Laws as set forth in the foregoing statutes an d in the Special Provisio ns of the Contract Documents.

X
IV. AUTHORITY TO EXECUTE
T
he person o r persons execu ting this Agreement on behalf of Contractor warrants and represents he/she/they has/have the authority to execute this Agreement on behalf of his/her/their corporation, partnership, or business entity and warrants and represents that he/she/they has/have the authority to bind Contractor to the performance of its obligations hereunder.

XV. A
SSIGNMENT; GOVERNING LAW
T
his Agreement may not be assi gned by Contractor, in whole or in part, without the prior written consent of t he City. This Ag reement and any dispute arising hereunder shall be governed by the law of the state of California.
734
18 XVI. NOTICES
A
ny notices, bills, invoices, or reports required by this Agreement shall be deemed received on (a) the day of delivery if delivered by hand during Contractor’s regular business hours or by facsimile befor e or during Contractor’s regular b usiness hours; or (b) on the third business day following deposit in the United States mail, postage prepaid, to the addresses set forth below, or to such other addresses as the Parties may, from time to time, designate in writing pursuant to the provisions of this Section.

C
ity Contractor
City of Lynwood _______________________________
Attn: City Engineer Attn: ___________________________
11330 Bullis Road _______________________________
Lynwood, CA 90262 _______________________________
Fax No. (310) 635-0493 Fax No.________________________
X
VII. ATTORNE YS FEES
S
hould either Party bring any action to protect or enforce i ts rights under this Agreement or the Contract Documents, the prevailing party in such action shall be entitled to recover, in addition to all other relief, its reasonable attorneys fees and costs.

X
VIII. WA RRANTY
A
ll Work shall be warranted by Contractor against defective workmanship and mater ials for a peri od of one (1) year form the date the Work is accepted as complete by the Lynwood City Council. The contractor shall replace or repair any such defective work in a manner satisfactory to Engineer, following notice from Engineer specifying the work to be done and the time in which replacement or repair shall be completed. If Contractor fails to make such replacement or repair within the time specified in the notice, the City ma y perform the needed repairs and Contractor’s sureties shall be liable for the cost thereof.

XIX.

ENTIRE AGREEMENT, WAIVER AND MODIFICATION
T
his Agreement contains the completely final, entire, and exclusive agreement between the Parties with respect to the subject matter hereof, and no waiver, alterati on, or modification of any o f the provisions hereof or rights to act hereunder shall be binding unless made in writing signed by both Parties. Any attempted modi fication, amendment, or alteration in violation hereof shall be void.
735
19 IN WIT NESS WHEREOF, eac h of the Partie s hereto has caused the Agreem ent to be executed in its name on its behalf by a dul y authorized officer as of this day and year first above written.

C

ITY OF LYNWOOD CONTRACTOR
___
_________________________

LEGAL NAME OF FIRM
B
y:_____________________________ By: __________________________ Jorge Casanova Signature of Chairman of Board,
Mayor President, or Vice President
A
ttest:
_____________________________
(Typed/Printed Name)
B
y: ____________________________ _____________________________ Maria Quiñónez (Title)
City Clerk
By:___________________________
Signature of Secretary, Assistant
Approved as to Form: Secretary, CFO, or Assistant Treasurer B
y: ____________________________ _ _____________________________ Noel Tapia (Typed/Printed Name)
City Attorney
______________________________
(Title)
[NOTARY REQUIRED FOR SIGNATURE(S) OF CONTRACTOR]
736
20 1.4.2 CONTRACT PERFORMANCE BOND
(CALIFORNIA PUBLIC WORKS)
KNOW ALL MEN BY THESE PRESENTS:

THAT WHEREAS, the City of Lynwood (referred to herei nafter as "City") has entered into an Agreeme nt dated ____ _____________ ( referred to hereinafter as the “Agreement”) with ___________________ _____________________________________ (hereinafter designated as “Contractor” or " Principal"), for construction of CITYWIDE SLURRY SE AL (PHASE 3) PROJECT, FY 2023-2024, (hereafter referred to as the “ Project”).

WHEREAS, the Work to be performed by the Contractor is more particularly set forth in the Agreement for the Project, the terms and conditions of which, including those set forth in the Contract Documents incorporated as component parts the of Agreement, are expressly incorporated herein by this reference; and
WHEREAS, the Contractor is required by the Agreement to perform the terms thereof and to provide a bond both for the performance and guaranty thereof.

NOW, THEREFORE, we, , the
undersigned Contractor, as Principal, and ,
a corporation organized and existing under the laws of the State of , and duly authorized to transact business under the laws of the State of California, as Surety, are held and firmly bound unto City in t he penal sum of _______________________________________________ Dollars ($______________ _) lawful money of the United States, said sum being not less than 100 percent of the total amount payable by the City under the terms of the Agreement, f or which payment well and truly to be made, we bind ourselves, o ur heirs, executors and administrators , successors and assigns, jointly and severally, firmly by these presents.

T
HE CONDITION OF THIS OBLIGATION IS SUCH, that, if the bounden Principal, his/her or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the undertakings, terms, covenants, conditions and agreements set forth in the Agreement and any alteration t hereof made as therein provided, on his/her or its part, to be kept and per formed at the time and in t he manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill the one-year guarantee of all materials and workmanship; and indemnify and save harmless the City, its officers, officials, employees, authorized agents and volunteers, as stipulated in the Agreement, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect. In the event suit is brought on this bond, said Surety will pay to City a reasonable attorney's fee to be fixed by the Court. 737
21 As a con dition precedent to the satisfactory completion of the Agreement, unless otherwise provided for in the Agreement, the above obligation shall hold good for a period of one (1) year after the ac ceptance of the Work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacements and tot ally protect the City from loss or d amage resulting from or caused by defective materials or faulty workmanship. The obligations of Surety h ereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rig hts or the Contractor or Su rety’s obligations under the C ontract, law or equity, inclu ding, but n ot limited to, California Code of Civil Procedure section 337.15.

W
henever Contractor shall be, and is declared by the City to be, in default under the Agreement, the Surety shall remedy the default pursuant to the Agreement, or shall promptly, at the City’s option:
(1) T
ake over and complete the Project in accordance with all terms and conditions in the Agreement; or
(
2) Obtain a bid or bids for completing the Project in accordance wi th all terms and conditions in the Contract D ocuments and upon determ ination by Surety of the lowest respons ive an d responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as Work progresses sufficie nt funds to pay the cos t of completion of the Proj ect, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor b y the City u nder the Agreement and any modification thereto, less any amount pr eviously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. (3) P
ermit the City to complete the Project in any manner consistent with California law and make av ailable as Wor k progress es sufficient funds to pay t he cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “ balance of the contract price” as used in this par agraph shall mean the to tal amount payable to Contractor by the City under the Agreement and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. Surety expressly agrees that the City ma y reject any co ntractor or s ubcontractor whic h may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor.

T
he said Surety, for value received, hereby s tipulates and agrees that no change, extension of time, alteration, or addition to the terms of the Agreement, or to the Project or to the Work to be performed thereunder, or the Specifications accompanying the same, shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Agreement, or to the Project, or to the Work or to the Specifications. Said Surety also hereby waives the provisions of sections 2819 and 2845 of the California Civil Code. 738
22 No final set tlement between the City and the Contra ctor s hall abridge the right of a ny beneficiary hereunder, whose claim may be unsatisfied.

I
N WITNESS WHEREOF, the above- bounden parties have executed this instrumen t this _____ day of ______________ _, ________, the name and corporate seal of e ach corporate party being hereto affixed and these presents duly signed by its undersigned representative, pursuant to authority of its governing body.

PRI
NCIPAL:
(seal)
_______________________________
B
y ____________________________
SU
RETY:
(seal)
_______________________________
B
y ____________________________
Attorney-in-Fact
T
he rate of premium on this bond is ____ per thousand dollars. T he total amoun t of premium charged, $_______________. (These bla nks must b e filled in by corporate surety.)
IMPORTANT: Surety companies executing Bonds must possess a certificate of authority from the Califor nia Insurance Commissioner authorizing them to write surety insurance defined in Section 105 of the Cal ifornia Insurance Code, and if t he Work or Pr oject is financed, in whole or in part, with federal grant or loan funds, must also appear on the Treasury Department's most current list (Circular 570 as amended). No tary acknowledgements for Principal and Sur ety signatures and Power of Atto rney for Surety must be attached. THIS IS A REQUIRED FORM.

Any claims under this bond may be addressed to:
(
Name and Address of Surety) (Name and Address of Agent/Representative in California if different)
__________________________________ ___________________________________________________ _________________________________ ___________________________________________________ _________________________________ ___________________________________________________ (Telephone Number of Surety/Agent ___________________________________________________ or Representative in California
739
23 STATE OF CALIFORNIA )
) ss.

COUNTY OF _______________ )
On this _____ da y of ____ ___________, in the year _____, before me , __________________________, a Notary Public in and for said state, personally appeared , known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument as the A ttorney-in-Fact of the (Surety) and acknowledged to me that he/she subscribed the name of the (Surety) the
reto and his/her own name as Attorney-in-Fact.
___
__________________________________
Signature of Notary Public in and for said State
(
SEAL)
M
y commission expires on: _____________
NO
TE: A copy of the power of attorney to l ocal repres entatives of t he bonding company must be attached hereto.

CE RTIFICATE AS TO CORPORATE PRINCIPAL
I
, _______________________________________, certify that I am the ________________________________ Secr etary of the corporation named as Principal to the within bond; that _________________ _________ ________________ who signed the sa id bond on behalf of the principal was then ___________________________ of said corporation; that I know his /her signature, and his/her signature thereto is genuine; a nd that sa id bond was dul y signed, sealed and attested for and in behalf of said Corporation by authority of its governing board. ___
____________________________
Signature of Corporate Principal
740
24 1.4.3 CONTRACT PAYMENT BOND
(CALIFORNIA PUBLIC WORKS)
KNOW ALL MEN BY THESE PRESENTS:

THAT WHEREAS, the City of Lynwood, (referred to hereinafter as "City") has entered into an agreement dat ed __________ (referred to hereinafter as th e “Agreement”) with _____ ________ , (her einafter designated as the "Contractor" or “Principal”), for CITYWIDE SLURRY SEAL (PHAS E 3) PROJECT, FY 2023-2024 WHEREAS, Contractor is required to furnish a bond in connectio n with the A greement, and pursuant to Section 3247 of the California Civil Code.

NOW, THEREFORE, we, , the
undersigned Contractor, as Principal, and ,
a corporation organized and existing under the laws of the State of , and duly authorized to transact business under the laws of the State of California, as Surety, are held and firmly bound unto City and to any and all pers ons, companies or corporations entitled to file stop notices under Section 3181 of the California Civil Code, in the penal sum of ____ ______________Dollars ($____________), lawful money of the United States, said sum being not l ess than 100 perce nt of the to tal am ount payable b y City under the terms of the Agree ment, for wh ich payment well and truly t o be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly a nd severally, firmly by these presents.

T
HE CONDITION OF THIS OBLIGATION IS SUCH, that, if said Contractor, his/her or its heirs, executors, administrators, successors or assigns, or subcontractors, shall fail to pay for any materials, provisions, provender or other supplies, items, implements or machinery used in, upon, for or about the performance of the Work re quired by the Agreement; or fails to pay (1) any of the persons named in Civil Code Section 3181, (2) amounts due under the Unemployment Insurance Code with respect to work or labor performed under the Agreement, or (3) for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the Contractor and subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to the work and labor provided pursuant to the Agreement, said Surety will pay for the same in an amount not exceeding the sum specified in this bond, otherwise the above obligation shall be void. In the event suit is brought upon this bond, said Surety will pay to City a reasonable attorney's fee to be fixed by the Court. In add ition to th e provisions hereinabove, it is agreed that this bond wil l inure to the benefit of any and all persons, companies and corporations entitled to serve stop notices under Section 3181 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond.

T
he Surety, for value received, hereby stipulates and agrees that no change, extension of tim e, alteration, or addi tion to the terms of the Agreement or to the Wor k to be performed thereunder or the Specific ations accompanying the same; shall in any way 741
25 affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Agreement or to the Work or to the Specif ications. Said S urety also hereby waives the provisions of sections 2819 and 2845 of the California Civil Code.

No
final settlemen t between the City and the Contractor hereund er s hall abridge t he right of any beneficiary hereunder, whose claim may be unsatisfied.

IN
WIT NESS WHEREOF, the above- bounded parties have executed this instrumen t this _____ day of ____________, _____, the name and corporate seal of each corporate party being hereto affixed and these presents duly signed by its undersigned representative, pursuant to authority of its governing body.

P
RINCIPAL:
(seal)
_______________________________
B
y _____________________________
SU
RETY:
(seal)
_______________________________
B
y _____________________________
Attorney-in-Fact
IMPORTANT: S urety companies execu ting Bo nds must possess a certificate of authority from the Cali fornia Insurance Commissioner authorizing them to write surety insurance defined in Section 105 of the C alifornia Insurance Code, and if the Wor k or Project i s financed, i n whole or in par t, w ith fed eral grant or loan funds, must also appear on the Treasury Department's most current list (Circular 570 as amended).

Notary acknow ledgements for Pri ncipal and S urety signatures and P ower of Attorney for Surety must be attached. THIS IS A REQUIRED FORM.

Any claims under this bond may be addressed to:
(Name and Address of Surety) (Name and A ddress of Agent/Representative in California if different)
________________________________ ___________________________________________________________ ___________________________________ ___________________________________________________________________ __________________________________ _________________________________________________________________ (Telephone Number of Surety/Agent _________________________________________________________________ or Representative in California)
S

TATE OF CALIFORNIA )
742
26 ) ss.

COUNTY OF _______________ )
On this _____ day of ____________ ___, in the year _____, before me, __________________________, a Notary Public in and for said state, personally appeared , known to m e (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument as the Attorney -in-Fact of the (Surety) and acknowledged to me that he/she subscribed the name of the (Surety) thereto and his/her own name as Attorney-in-Fact.
___
__________________________________
Signature of Notary Public in and for said State
(
SEAL)
My
commission expires on: _____________
N
OTE: A copy of the power of attorney to local representatives of the bonding company must be attached hereto.

CER TIFICATE AS TO CORPORATE PRINCIPAL
I, _
______________________________________, certify that I am the ________________________________ Secretary of the corporation named as Principal to the within b ond; that _____ ____________ _________________________ who signed the said bond on behalf of the principal was then ___________________________ of said corporation; that I know his/her sig nature, and his/her signature thereto is genui ne; and that said bond w as duly signed , sealed and attested for and in behalf of said Corporation by authority of its governing board. ___
____________________________
Signature of Corporate Principal
(

CORPORATE SEAL)
743
27 1.4.4 CERTIFICATES / PROOF OF INSURANCE

AND ENDORSEMENTS
T
he Contractor shall not commence any o f the W ork or begin any performance under the Agreement until he/she obtains, at his/her own and sole cost and expense, all required insurance as stipulated by the City. The required insurance shall be prov ided by the Cont ractor in conformance with the re quirements of the Special Provisions and may include the following:
• W
orkers' Compensation Insurance
• Commercial General Liability and Business Automobile Liability Insurance • Course of Construction or Builder’s Risk Insurance
• Flood Insurance
T
he insurance company or companies utilized by the Contractor shall be authorized and admitted to transact business in the State of California and to is sue policies i n the amounts required pursuant to the provisions of the Special Provisions. All insurance required shall be placed with insurers wi th a current A.M. Best's rating of no less than A:VII, and shall contain the endorsements specified in the Special Provisions.

W
ithin te n (10) calendar days a fter receipt of t he Notice of Award, Contract or shall furnish to the City for approval as to sufficiency and form, certificates of insurance and original endorsements evidencing the required c overage set forth in the Speci al Provisions. Endorsements and certificates are t o be signed by a person authorized by the ins urer to bind coverage on the insurer’s behalf. If the insurance called for is provided by more than one company, a separate certificate a nd the required endorsements shall be provided by each company.

Cit
y rese rves the right to request complete, certified copies of all required insurance policies and endorsements at any time.

Fa
ilure to provide City with the required insurance coverage, p roof of insurance and/or endorsemen ts within ten (10) c alendar days of rece ipt of the Not ice of Award, may result in wi thdrawal of award and forfeiture of the Bidder's Bid Security.
744
28 ADDENDUM
B
y executing this Addendum, Contract or ac knowledges and agrees that the work performed pursuant to the above refer enced Agreement is subj ected to all applicable provisions.

P
ayment of Minimum Compensation to Employees. Contractor shall be obligated to pay not less than the General Prevailing Wages Rate as required by applicable law.

A. P
revailing Wage Requirements. California Labor Code requires the payment of not less than the general prevailing rate of per diem wages and rates for holiday and overtime and adherence to all labor standards and regulations. The General Prevailing Wages Rates may be adjust ed throughout the term of this Agreement.

Notwithstanding any other provision of thi s Ag reement, Contractor shall not be entitled to any adjustment in compensation rates in the event there are adjustments to the General Prevailing Wages Rates.

B. R
eports. Contractor shall n ot p erform on site work on this contra ct until labo r compliance documents are filed. Contractor agrees to cooperate with the City to fulfill its notifications requirement to the DIR, as required by DIR’s PWC-100 form or any other required f orm, and Con tractor agrees to provide t o the City the information required by the DI R, a s generally set forth in Labor Code Section 1773.3. By signing this form, Contractor, and all of its subcontrac tors, represents that it ha s registered with the Departme nt of Indust rial Relations pursuant to Labor Code section 1725.5 [w ith limited excep tions under Labor Code section 1771.1(a)] and paid the annual fee du e to the DIR, unless the Contractor meets an exception recognized by the DIR or by the law.

C. Fur
nishing of Electronic Certified Payroll Records to Labor Commissioner.

Contractor and subcontrac tor agr ee to furnish the required electronic certified payroll records directly to the Labor Commissioner (aka Division of Labor Standards Enforcement), in the manner an d under the time fr ame required by law.

D. A
udit Rights . All records or documents req uired to be kept pursuant to this Agreement to verify compliance wit h the Wage Requirement shall be made available for audit at no cost t o City, at any time dur ing regular business hours, upon w ritten request by the City Attor ney, City Aud itor, City Manager, o r a designated representative of any of these officers. Copies of such records or documents shall be provided to City for audit at City Hall when it is practical to do so. Otherwis e, u nless an alternative is mutually agreed upon, the r ecords or documents shall be available at CONTRACTOR’s address indicated for receipt of notices in this Contract.
745
29 E. Enforcement.

1. Ge
neral. CONTRACTOR a cknowledges it has read and underst ands that, pursuant to the terms and co nditions of this Agreement, it is required to comply with the Wage Requirement and to submit certain documentati on to the City establishing its compliance with such requirement. (“Documentation Provision.”) CONTRACTO R further acknow ledges the City has det ermined that th e Wage Requir ement promotes ea ch o f the f ollowing (collectively “Goals”):
a. It protects public job opportunities and stimulates the City’s economy by reduci ng the incent ive t o recruit and pay a substandar d wage to labor from distant, cheap-labor areas.
b. It benefits the pu blic through the superior ef ficiency of well- paid employees.
c. It increases competition by promoting a more level playing field a mong contractors with regard to the wages paid to workers.

2. CONT
RACTOS’s Breach of Prevailing Wage/Living Wage Provisions.

WI
THOLDING OF PAYMENT: CONTRACTOR agrees that the
Documentation Provision is critical to t he City’s ability to monitor CONTRACTOR’s compliance wit h the City’s public wage obligations .

CONTRACTORS further agrees its breach of the Documentation Provision or general public wage obligations results in the need for additional enforcement action to verify compliance with this Addendum. In li ght o f the cri tical importance o f the Documentatio n Provision, the City and CO NTRACTOR agree that CON TRACTOR’s compliance with th is Addendum is an exp ress condition of City’s obligation to make each payment due to the CONTRACTOR pursuant to this Agreement. THE CITY IS NOT OBLIGATED

TO MA KE ANY PAYMENT DUE THE CONTRAC TOR UNTIL

CONTRACTOR H AS PERFORMED ALL OF ITS OBLIGATIONS UNDER
THESE PROVISIONS. THIS P ROVISION MEANS THAT CITY CAN

WITHOLD ALL OR PART OF A PAYMENT TO CONTRACTOR UNTIL ALL REQUIRED DOCUMENTATI ON IS SUBMITTED. Any paymen t by the City despite C ONTRACTOR’s failure to fully perform its obligation s under these provisions shall not be deemed to be a wai ver of any other term or condition contained in this Agreement or a waiver of the right to withhold payment for any subsequent breach of this Documentation Provi sion or public w age obligations of the Contractor and the City.
746
30 CITY OF LYNWOOD

DEPARTMENT OF PUBLIC WORKS
PART 2 - SPECIAL PROVISIONS
CITYWIDE SLURRY SEAL (PHASE 3) PROJECT
FY 2023-2024
S
ection 2.1 General, Terms, Definitions, Abbreviations, and Symbols

2.2 Scope and Control of Work

2.3 Control of the Work

2.4 Control of Materials

2.5 L egal Relations and Responsibilities

2.6 Prosecution and Progress of the Work

2.7 Measurement and Payment

2.8 Facilities for Agency Personnel

2.9 Construction Details (Materials and Methods)
*
* * * *
747
31 CITY OF LYNWOOD

PUBLIC WORKS DEPARTMENT
PART 2 - SPECIAL PROVISIONS
CITYWIDE SLURRY SEAL (PHASE 3) PROJECT
FY 2023-2024
SECTION2.1 – General, TERMS, DEFINITIONS, ABBREVIATIONS, AND SYMBOLS 2 .1.1 GENERAL
The followin g additions/modifications ar e hereby made to the Standard Specifications:

2.1.1.1 Standard Specifications. - The Work hereunder shall be done in accordance with the Standard Specifications of the City of Lynwood, Standard Specifications for Public W orks Constru ction ("Greenbook"), l atest Edition, including all current supplements, addenda, and revisions thereof, the City Standard Plans identified in the Appendix, and the Special P rovisions set forth in this Part 2 of the Contract Documents.

I
n case of conflict between the technical provisions of the Caltrans Standard Specifications, latest Edition and these Special Provisio ns, these Special Provisions shall take precedence over, and be used in lieu of, such conflicting portions.

2.1.1.2 Supplementary Reference Specifications. - Insofar as references may be made in these Special Provisions to the Caltrans Standard Specifications, such work shall conform to the referenc ed portions o f the technical provisions of the Caltr ans Standard Specifications, latest Edition, provided, that wherev er the term "Standard Specifications" is used with out the prefix "Caltrans," it shall mean the Standard Specifications f or Public Works Co nstruction (" Greenbook"), latest Ed ition, as previously specified in the above Subsection 2.1.1.1.

I
n case of conflic t between the technical provisions of the Caltrans Standard Specifications, latest Edition an d these Special Provisions, t hese Special Provisions shall take precedence over, and be used in lieu of, such conflicting portions.
748
32 2.1.2 LEGAL ADDRESS

2. 1.2.1 Legal Address of the Agency. - The official address of the Agency shall be the City of Lynw ood, 11330 Bullis Road , Lynwood, California 90262, or such other address as the City may subsequently designate in written notice to the Contractor.

2. 1.2.2 Legal Address of the Engineer. - The official address of the Engineer shall be 11330 Bullis Road, Lynwood, California 90 262, or su ch other address as the Engineer may subsequently designate in writing to the Contractor.

2.1. 2.3 Legal Address of the Agency’s Project Representative. – The name and address of the A gency’s designated Project Representative shall be Mi r T. Fattahi, MsCE, P.E., Acting City Engineer, 11330 Bullis Road, Lynwood, California 90262, or such address as the Project Representative may subsequently designate in writing to the Contractor.
2 .1.3 DEFINITIONS AND TERMS

2. 1.3.1 Definiti ons and Terms. - Wherever i n the Standard Specifications t he following terms are used, the definitions shall be amended to read:

A
gency - The City of Lynwood, a California municipal corporation and general law city, existing in the County of Los Angeles, State of California.

Board – T
he City Council of the City of Lynwood.

E
ngineer - The City Eng ineer of the City of Lynwood or other pers ons designated by the City Engineer.

Li
quidated Damages - The amount prescribed in these Special Provisions, pursuant to the authority of Government Code Section 53069.85, to be paid to the City or to be deduct ed from any payments due or to become due to the Contractor for each day's delay in completing the whole or any specified portion of the Work beyond the time allowed in the Special Provisions.

S
tandard Plans - The Standard Drawings and the Special Drawings of the City of Lynwood.

2.1.3.2 Additional Definitions and Ter ms. - The following additional terms and definitions used in the Contract Documents shall apply:

P
roject – The Work that is the subject of the Contract Documents.

T
otal Bid Price – The full price for all the Work required to complete the Project submitted by a Bidder in the Bid Documents.
749
33 U nit Price – The amount set forth in a Bid Schedule document for a single unit of an item of work.

U
nit Price Bid Item – An item of work to which a Unit Price applies. - END O

F SECTION -
750
34 SECTION 2.2 - SCOPE AND CONTROL OF WORK
2 .2 SCOPE OF THE WORK
T
he project consists of slurry seal various streets as part of the citywide slurry seal project (PHASE 3).
2 -2.1 PERMITS.

T
he text of Subsection 2-2 of the Standard Specifications is hereby deleted and replaced with the following:

P
rior to the start of any work, the Contractor shall take out the applicable AG ENCY permits and make arrangements for AGENCY inspections. The AGENCY will issue the permits at no charge to the Contractor. The Cont ractor and all subcont ractors shall each obtain an AGENCY business license and shall be licensed in accordance with the State Business and Pro fessions Code. Th e Contractor shall also obtain any and all other per mits, lic enses, inspections, certificates, o r authorizations requi red by any governing body or entity.
2 .2.2 CONTRACTOR’S SURETY WAIVER OF RIGHT OF NOTIFICATION T
he following shall be added to the Standard Specifications:
"
The Contractor shall ensure that its Surety is familiar with all of the t erms and conditions of the Contract Documents, and shall obtain a w ritten acknowledgement by the Surety that said Surety thereby waives the right of special notification of any changes or modifications of the Agreement, or of extensions of time, or of decreased or increased Work, or of cancellation of the Agreement, or of any other act or acts by the City of Lynwood or any of its authorized representatives."

2.2 .3 CHANGES INITIATED BY THE AGENCY
T
he following sentence shall be added to the Standard Specifications:

A
ll Change Orders shall be subject to the provisions of Subsection 6-3.15 of the Lynwood Municipal Code.

2.2 .4 EXTRA WORK
The provisions of Section 2-8 of the Standard Specifications shall apply; provided that the provisions go verning markup percentages for overhead and profit for extra work referenced in Subsection 2-8 and 7-4.3 Markup, Paragraph (a) Work by Contractor of the latest Edition shall be deleted in their entirety and the following substituted therefor:
751
35 (a) W o rk by Contractor. The following percentages shall be added by the City to the Contractor's costs and shall constitute the markup for all overhead and profit. 1) Labor 20 per
cent
2) Materials 15 percent
3) Equipment rental 15 percent
4) Other items & expenditures 15 percent
5) Subcontracts (1st tier only) 5 percent
6) Lower Tier subcontractors none
To
the sum of costs and markups provided for in this subsection, one percent shall be added by the City as compensation for bonding.

2. 2.5 TEMPORARY ACCESS OR CONSTRUCTION RIGHTS-OF-WAY
S
ubsection 2-3 of the Standard Specifications sha ll be deleted in its e ntirety and the following substituted therefor:

A
ll temporary access or co nstruction rights-of-way, other than those shown on the Plans, which the Contractor may find it requires during progress of the Work, shall be arranged by and paid for entirely by the Contractor, at its own expense.

2. 2.6 TESTING
T
he Contractor shall pr ovide, at its sole cost and expense, any tes ting indicated by the Contract Documents. The testing shall be performed by a company approved by the Engineer. O nly initial compaction tests which produce results meeting the City’s previously specified requirements shall be at the City’s expense. All compaction testing which produces results that fail to meet the City’s previously specified requirements and all retaking of such tests s hall be at the Contract or’s expense and City shall not pay Contractor any compensation therefor.

T
he Contractor, at its sole expense, shall excavate any holes nece ssary for compaction tests, backfill the holes, compact the backfill placed in the holes, and pave the surface, if required, after the test(s) are completed.

2. 2.7 SITE EXAMINATION
T
he Contractor shall have the sole responsibility of satisfying itself concerning the nature and location of the Work. The submittal of a Bid Proposal shall be conc lusive evidence that the Contractor has investigated and examined the Work si te and is satisfied as to the conditions to be encountered, including but not limited to, l ocality, uncertainty of weather and all other contingencies, and the character, quality, quantities, and scope of the Work, materials to be furnished, and all Agreem ent requirements which could in any way affect the Work or the c osts thereof. The fai lure of the Contractor to acquaint itself with all available information regarding any applicable existing or future conditions shall not 752
36 relieve it from the responsibility for properly estimating the difficulties, responsibilities, or costs of successfully performing the Work according to the Contract Documents. 2 .2.8 FLOW AND ACCEPTANCE OF WATER
Sto
rm, surface, nuisance, or other waters may be encoun tered at various times during construction of the Work. Therefore, the Contractor, by submitting a Bid, hereby acknowledges that it has investigated the risk arising from such waters, and has prepared its Bid accordingly; and the Contractor, by submitting such a Bid, assumes all said risk.

2. 2.9 RECYCLING AND DIVERSION OF DEBRIS
T
he Contractor shall adhere to all provisions of Section 9-6, “Recycling and Diversion of Debris from Construction and Demolition,” of the City of Lynwood Municipal Code. 2 .2.10 POLLUTION CONTROL
2 .2.10.1 Water Pollution Control
T
he C ontractor shall adhere to all provisions of Sec tion 14 -12 of the Lynwood Municipal Code: “Stormwater and Urban Runoff Pollution Control,” and the Federal Clean Water Act, in cluding but not limited to, the Nationa l Pollutant Dis charge Elimination System (NP DES) standards. The C ontractor shall impl ement all provisions of the Storm Water Pollution Prevention Plan (SWPPP) prepared by the City. Delete the SWPPP provision if project site is less than one (1) acre.

2.2 .10.2 Sound Pollution Control
The Contractor shall ensure that its operations do not exceed a noise level of 86- decibels (db) as measured at a distance of 50 feet from all its sources of operation.
2 .2.10.3 Air Pollution Control
T
he Contractor shall adhere to all applicable rules and regulations of the California Air Resource Board (CARB) and the South Coast Air Quality Management District (SCAQMD).
- E

ND OF SECTION -
753
37 SECTION 2.3 – Control of The Work

2.3.1 SEL
F-PERFORMANCE.

T
he whole paragra ph of S ection 3-2 of the S tandard Specifications is hereby delet ed and replaced with the following:

T
he Contractor shall perform or provide, with its own organization, c ontract l abor, materials, and equip ment amounting to at least 50 percent of the Cont ract Price. Th e contract la bor performed or provided by the Contr actor shall amount to at least 25 percent of the total contract labor for the Contract. Contract labor sh all exclu de th e Contractor’s sup erintendent. Any designated “Speci alty Items” may b e performed by subcontract a nd the amount of any such “Specialty I tems” so performed may be deducted from the Contract Price before computing the amount of contract labor, materials, and equipment required to be performed or provided by the Contractor with its own organization. Where an entire item is subcontracted, the value of contract labor, materials, and equipment subcontracted will be based on the estimat ed percentage of the C ontract Unit or Lump Sum P rice, determined from informatio n submitted by the Contractor, subject to approval by the Engineer.

The Contractor with the bid package shall submit a list of all subcontractors intended to perform work on the project. This list shall include the name and location of the place of business of each subcontr actor who will perform work or labor or render service to the prime contractor in or about the construction of the w ork or improvement, or a subcontractor licensed by the State of California who, under sub contract to the prime contractor, specially fabri cates and installs a portion of the work or impro vement according to detailed drawings contained in the plans and specifications, in an amount in excess of one- half of one percent o f the prime contractors total bid. The prime contractor shall provide a description by bid item number or otherwise fully d esignate the portion of work to be performed by each subcontractor.

2.3.2 P

RECEDENCE OF CONTRACT DOCUMENTS
T
he provisions of Subsection 3-7.2 of the Standard Specifications shall be deleted in their entirety and the following substituted therefor:

T
he Contract Documents are complementary, and what is called for by one shall be as binding as if called for by all.

T
he Contract Documents are intended to be fully cooperative and to be complementary. If Contractor obs erves that any docu ments are in conflict, the Contractor shall promptly notify the Engineer in writing.

In
r esolving disputes resulting from conflicts, errors, or discrepa ncies in any of the Contract Documents, t he document highest in precedence shall control. The order of precedence shall be as listed below:
754
38 1. A pproved and Fully -Executed Change Orders

2. Agreement

3. Addenda

4. Contractor's Bid (Bid Documents)

5. Technical Provisions

6. Special Provisions

7. General Provisions of the Standard Specifications

8. Notice Inviting Bids

9. Instructions to Bidders

10. Plans (Contract Drawings)

11. Standard Specifications

12. City Standard Plans

13. Reference Specifications
W
ith reference to the Drawings, the order of precedence shall be as follows:

1. F
igures govern over scaled dimensions.

2. Detail drawings govern over general drawings.

3. Addenda or Change Order drawings govern over Contract Drawings.

4. Contr act Drawings govern over Standard Drawings.

5. Contr act Drawings govern over Shop Drawings.
2 .3.3 SUBMITTALS
The f
ollowing provision shall be added at the end of Subsection 3-8 .1 of th e Standard Specifications:

O
n lump sum contracts, the Contrac tor shall submit, for approval by the En gineer, a Schedule of Values, or lump sum price breakdown, whic h will serve as the basis for progress payments and shall be incorporated into a form of payment request (or invoice) acceptable to the Engineer. Such Schedule of Values shall be submitted for approval at the Pre-construction Conference and must meet the approval of the Engineer before any payments can be made to the Contractor.
2 .3.4 SUBSURFACE DATA
T
he provisions of Subsection 3-9 of the Standard Specifications shall be deleted in thei r entirety and following substituted therefor:

L
imited Reliance b y Contractor. - Soils reports and other reports of subsurface conditions may be made avail able by the City for inspection by the Contractor.

HOWEVER, SUCH REPORTS AND DRAWINGS ARE NOT CONTRACT DOCUMENTS.

The Contractor may rely upon the general accuracy o f the "technical data" contained in such reports and drawings only where such "technical data" are specifically identified in the Special Provisions. Except for such reliance on such "technical data," the Contractor may not rely upon or make any claim aga inst the City, the Engineer, nor any of the Engineer's Consultants with respect to any of the following:
755
39 C
ompleteness. - The completeness of such reports a nd drawings for Contractor's purposes, including, but not limited to, an y aspects of the means, met hods, techniques, sequences, and proc edures of construction to be employed by Contractor and safety precautions and programs incident thereto, or
O
ther Inf ormation. - Any other data, int erpretations, opinions, and information contained in such reports or shown or indicated in such drawings, or I
nterpretation. - Any interpretation by the Contractor of such "technical data," or any conclusion drawn from any "technical data" or any such data, interpretations, opinions or information.
2 .3.5 PERMANENT SURVEY MARKERS
Th
e provisions of Sub section 3-10.1 of the Standard Specifications shall be deleted i n their entirety and the following substituted therefor:

It s
hall be the Cont ractor's resp onsibility to protect all the existing su rvey monuments, bench marks, survey marks and stakes. Removal o f such monuments, or displacement thereof, shall require their resetting, including corner record filing, for the existing type of monument in question at the Contractor's sole expense.

An
y existing monument shall not be disturbed. Where the Engineer concu rs, in writing, with the Contractor that protecting an existing monument in place is imprac tical, the Contractor shall employ a California Licensed Land Surveyor to establish the location of the monument before it is disturbed. The Contractor shall have the monument replaced by a California Licensed Land Surveyor no later than thirty (30) days after construction is completed at the site of the replacement. The California Licensed Land Sur veyor shall file corner record(s) as require d by Sections 8772 and 8 773, et seq., of the California Business and Professions Code.

P
ayment for the costs of Land Surveyors, replacem ent of disturbed monuments and the filing of corner records shall not be cons idered part of the work necessitating the disturbance of said monuments and no additional payment will be made by C ity to Contractor therefor.
2 .3.6 SURVEY SERVICE
T
he provisions of Subsection 3-10 of the Standard Specifications shall be deleted in their entirety and the following substituted therefor:

T
he Contractor shall hire and pay for the services of a California Licensed Land Surveyor to perform all work necessary for est ablishing control, construction staking, records research, and all other surv eying work necessary to perform the Work; and to provide other surveying services, if required by the Contract Documents, in accordance with the 756
40 Land Surveyors Act. The California Licensed Land Surveyor shall be present on the site during all surveying op erations and shall personally supervise and certify the surveyin g work.

P
ayment for work performed to satisfy the requirements of surveying shall be included by Contractor in its bid for any items requiring the survey work and no additional payment will be made by City to Contractor therefor.

2.3.7 IN

SPECTION
Th
e provisions of Subsection 3-5 of the Standard Specifications shall be deleted in their entirety and the following substituted therefor:

Th
e Engineer shall have complete and safe access to the W ork at all times during construction, and shall be furnished with every reasonable facility for ascertaining that the materials and the workmanship are in accordance with the Contract Documents, including but not limited to, the Standard Specifications, the Special Provisions, and the Plans. All labor, materials, and equipment furnished shall be subject to the Engineer's inspe ction.

The Contractor shall notify the engineer at least t wenty-four (24) hours before any inspection is required.

If th
e Contra ctor is a llowed by the Engineer to work outside the hours of opera tions specified in this Special Provisions, on weekends, or on days designated as holidays by the City, and if the Engi neer decides that inspection services are required during such times, the costs for those services shall be borne by the Contractor. When the Work is substantially completed, a representative of the Engineer will make the final inspection. - E

ND OF SECTION -
757
41 SECTION 2.4 - CONTROL OF MATERIALS

2. 4.1 MATERIALS

2.4.1.1 GE N
ERAL.

T
he following is hereby added to this subsection of the Standard Specification:

T
he Contractor and all subcontractors, suppliers, and vendors shall guarantee that the entire work will meet all requirements of this contract as to the quality of m aterials, equipment, and workmanship. The Contractor, at no cost to the AGENCY, shall make any repairs or replacements made necessary by defects in materials, equipment, or workmanship that become evident within one (1) years after the date of recordation of the Notice of Completion. Within this one-year period, the Contractor shall also restore to full compliance with r equirements of this contract any portion of the work w hich is found to not meet those requirements. The Contractor shal l hold the AGENCY harmless from claims of a ny kind arising fr om damages due to said defects o r noncompliance. The Contractor shall make all repairs, replacements, and restorations within thirty (30) days after the date of the City Engineer’s written notice.

T
he Contractor shall p lace t he order(s) f or all long -lead supplies, materials, and equipment, for any traffic signing, striping, legends, and traffic control facilities wit hin three (3) working days after the receipt of the Notice of Award from the Cit y. The Contractor shall furnish the Engineer with a statement from the vendor(s) t hat the order(s) for said supplies, materials, and eq uipment has been received and accepted by said vendor(s) withi n fifteen (15) working days from the date of receipt of Notice of Award.

2.4. 2 TRADE NAMES OR EQUALS

2. 4.2.1 Substitu tions. - Paragraph 2 of Subsection 4-6 of the Standard Specifications shall be amended to read as follows:

W
henever any particular material, process, or equipment is indicated by a patent, proprietary, or brand name, or by t he name of the manufacturer, such wording is used for the purpose of facilitating its description and shall be deemed to be followed by the words "or equal." A Bidder ma y offer any material, process, o r equipment considered as equivalent to t hat indicated, unless the City Council, or its designee, makes a finding that is described in the invitation for bids or request for proposal that a particular material, product, thing, or service is de signated by specific brand or trade name for any of the following purposes:

1. In order that a field test or experiment may be made to determine the product's suitability for future use.
758
42 2. I n order to match other products in use on a particular public improvement either completed or in the course of completion.

3. In order to obtain a necessar y item that is only av ailable from one source.

4. In order to respond to an emergency declared by a local agency, but only if the decl aration is approved by a four -fifths vote of the governing board of the loc al agency issuing the invitation for bid or request for proposals; or in order to respond to an emergency declared by the state, a state agency, or political subdivision of the state, but only if the facts setting forth the reasons for the finding of the emergency are contained in the public records of the authority issuing the invitation for bid or request for proposals.

F
ailure of the Bidder to submit requests for substitution with the Bid, using the form provided in Appendix C of the Contract Documents , shall be deemed to signify that the Bidder, if awarded the contr act, intends to furnish one of the brands named in these Special Provisions and the Bidder does thereby waive all r ights to offer or use substitute materials, products, or equipment for that which was originally specified. Data substantiating a request for substitut ion of an "or equal" item shall be submitted either with the Bid or not later than ten (10) days following t he Bid opening, and will not be considered until after execution of the Agreement by all parties. 2 .4.2.2 Submittals for Approval of "Or Equals." – The first sentence of Paragraph 3 of Subsection 4-6 of the Standard Specifications shall be amended to read as follows:

Sh
ould the Contractor request approval for substitution of "or equal" products, it shall, at its expense, submit data substantiating such request to the Engineer as per Subs ection above. Data for approval to substitute "or equal" products shall include complete calculations, technical specifi cations, sa mples, o r published documents relating to the perf ormance and physical characteristics of the proposed substitute.
- E

ND OF SECTION -
759
43 SECTION 2.5 – Legal Relations and Responsibilities
2 .5.1 LABOR
2 .5.1.1 General.

The following is hereby added to this subsection of the Standard Specifications:

The
Contractor, and all subcontractors, suppliers, and vendors, shall compl y with all AGENCY, Sta te and Federal orders re garding aff irmative action to ensure equal employment opportunities and fair employment prac tices. Failure to file any report due under said orders will resu lt in suspension of periodic progress payments. The Contractor shall ensur e unlimited access to th e job site for al l e qual employment opportunity compliance officers. In ac cordance with the l abor Co de, as p rovided in Section 1773 et seq., the City has on file in the City Clerk’s office the latest prevailing rates as established by the Director of Industrial Relations of the State of California. The Contractor shall not pay less than these rates.
2 .5.2 INSURANCE.
2 .5.2.1 General Liability Insurance.

Th
e liability insurance coverage values are hereby amended to be:

Insurance Coverage Requirements Limit Requirements
Com
prehensive General Liability $2,000,000
Product/Completed Operations Hazard $2,000,000
Comprehensive Automobile Liability $2,000,000
Contractual General Liability $2,000,000
Worker’s Compensation Statute
A
combined single l imit policy with aggregate limits in the amount of $4,000,000 will be considered equivalent to the required minimum limits. A pro forma copy of the poli cy(s) shall be submitted to the City. A certificate of endorsement naming the C ity and its Agents as additional i nsured identifying the c overage limits, dates of coverage insurance provided, and project number is required.
2 .5.3 SAFETY.
2 .5.3.1 Work Site Safety.

2.5.3.2 General.

S
ubsection 2.5.3.2 is hereby added to Section 5 of th e Standard Specifications as follows:

It i
s part of th e service req uired of the Contractor to make whate ver provisi ons ar e necessary to protect the public. The Contractor shall use foresight and shall take such 760
44 steps and pr ecautions as its operations war rant to protect the publ ic from danger, loss of life or loss of property, which would result from interru ption or contamination of public water supply, interruption of other public services, or from the failure of partly completed work or partially removed facilities. Unusual co nditions may arise on the work, which will require that immediate and unusual pro visions be made t o protect t he public from danger or loss, or damage to life and property, due directly or indirectly to prosecution of work under this contract.

W
henever, in the opi nion of the Engineer, an emergency exists against which th e Contractor has not taken sufficient precaution for the public safety, protection of utilities and protection of adjacent structures or property, which may be damage d by the Contractor’s operations and when, in the opinion of the Engineer, immediate action shall be cons idered necessary in order to p rotect the public or property due to t he Contractor’s operations under this contract, the Engineer will order the Contrac tor to provide a remedy for the unsafe condition. If the Contractor fails to act on the s ituation within a r easonable time period, t he Engineer may provide suitable protection to sai d interests by causing such work to be done and material to be furnished a s, in the opinion of the Engineer may seem reasonable and necessary.

T
he cost and expense of said labor and material, together with the cost and expense of such repairs as are deemed necessary, shall be borne by the Contractor. All expenses incurred by t he AGENCY for emergency repairs will be deducted from the progress payments and the final payment due to the Contractor. However, if the AGENCY does not take such remedial measures, the Contractor is not relieved of the ful l responsibility for public safety.
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ND OF SECTION -
761
45 SECTION 2.6 – PROSECUTION AND PROGRESS OF THE WORK

2.6.1 CONSTRUCTION SCHEDULE AND COMMENCEMENT OF WORK.

The following is hereby added to this subsection of the Standard Specifications:

The Contr actor’s proposed Construction Schedule shall be sub mitted to the Engineer within ten working days after the date of the Agency’s execution of the Contract Agreement. The schedule shall be supported by written statements fro m each supplier of materials or equipment indicating that all orders have been placed and acknowledged and setting forth the dates that each item will be delivered.

Prior to i ssuing the Notice to P roceed, the Engineer wi ll schedule a preconstruction meeting with the Contractor to review the proposed Construction Schedule and delivery dates, arrange utility co ordination, discuss construction methods, and clarify inspection procedures.

The Contractor shall submit periodic Progress Reports to the Engineer by the last day of each mont h. Th e Report shall include an updated Construction Schedule. Any deviations f rom th e original sc hedule shall be explained. Progress payments will be withheld pending receipt of any outstanding reports.

2.6.2 TIME OF C OMPLETION
After the Agreement has been executed by all parties, and a written Notice to Proceed has been issued to the Contractor, the Contractor shall start the Work within ten (10) working days after the date specified in said Notice to Proceed.

Said Work shall be diligently prosecuted to completion before the expiration of:

FIFTY (50) CALENDAR DAYS
from the date specified in a written Notice to Proceed from the City.

2.6.3 DEFAULT BY CO NTRACTOR

2. 6.3.1 T he provisions Subs ection 6 -7 of the Standard Spe cifications shall b e deleted in their entirety and the following substituted therefor:

The Agreement may be cancelled by the City Council without liability for damages, upon the City Council’s determ ination that the Contractor is not complying in good faith with the term s of the Agreement, has become insolvent, or has assigned or subcontracted any part of the Work without the City Council’s consent. In the event of such cancellation, the Contractor will be paid the actual am ount due based on Unit Prices or lump sums bid and the quantity of Work completed at the time of cancellation. A ny damages sustained by the City due to acts or omissions of the Contractor 762
46 will be subtracted from this amount. The Contractor, in having tendered a Bid, shall be deemed to have waived any a nd all claims for damages because of cancellation of the Agreement for any of the reasons specified in this paragraph. If the City declares the Agreement canceled for any of the reasons sp ecified in this paragra ph, written notice to that effect shall be served by the City via personal delivery or by c ertified mail (return receipt requested) upon Contractor’s Surety. The Surety shall, within fi ve (5) working days after receiving the written notice, assume control and perform the work as successor to the Contractor.

I
f the Contractor fails to: begin de livery of material and equipment; commence work within time specifi ed; maintain the rate of del ivery o f material; execute the work in the manner and at such locations as specified; maintain a work program which will ensure the City’s interest; or carry out the intent of th e Agreement; written notice may be served by the C ity via personal delivery or by certified mail (receipt requested) upon the Contractor and its Surety on its Performance Bond demanding satisfactory compliance with the Agreement.

If t
he Contractor or its Surety does not comply with such notice within five (5) working days after receiving it, or fails to continue after starting to comply, the City may exclude the Contractor and/or its Surety from the premises and take possession of all material and equipment. The City may complete the Work in any manner consistent with applicable Ca lifornia law, includ ing but not limited to use of its own forces, or by letting the unfinished work to another Contractor. In any event, the cos t of completing the Work shall be charged against the Contractor and its Surety and may be deducted from any money due or becoming due from the City. If the sums due under the Agreement are insufficient, the Contractor or Surety shall pay to the City, wit hin five (5) working days after the completion of the unfinished work, all costs in excess of the sums due.

If th
e Su rety assumes any part of the Work , it shall take the Contr actor’s place in all respects for that part and s hall be paid by the City for al l work performed by it in accordance with the Agreement. If the Surety assumes the entire Agreement, all money due the Contractor at the time of its default shall be payable to the Surety as the work progresses, subject to the terms of the Agreement.

Th
e provisions of this Subsection shall be in addition to all other rights and remedies available to the City under law.
2 .6.4 DAYS DESIGNATED AS HOLIDAYS BY THE CITY OF LYNWOOD

2. 6.4.1 Days Designated as Holidays by the City of Lynwood. - In accordance with the Standard Specifications, the days designated as holidays by the City are:
763
47 Ne w Year’s Day Independence Day
Martin Luther King’s Birthday L abor Day
César Chávez’ Birthday Thanksgiving Day
Ch
ristmas Day Memorial Day
A
ny holiday shown a bove that falls on a Sunday shall be observed the fol lowing Monday.
2 .6.4.2 Days Designated as Holidays by BOTH the State of California AND the United S tates Federal Government. - In addition to the holidays specified i n §2.6.4.1, holidays observed by BOTH the State of California AND the United States federal government shall also be granted by the City and are designated as follows:

P
residents’ Day Columbus Day
Veterans’ Day
Any holiday shown above that falls on a Sunday shall be observed the following Monday.

2. 6.5 LIQUIDATED DAMAGES

2. 6.5.1 Amount. - The amount of Liquidated Damages as specified in Section 6-9 of the Standard Specifications shall not apply. The applicable amount of Liquidated Damages shall be specified in the Agreement.
2 .6.6 T IMES OF OPERATION

2.6.6.1 Hours of Operation. - No construction activities shall take place and no person shall operate, permit, use, or cause to operate any o f the fo llowing, other than between the hours of 7:00 a.m. to 3:30 p.m. (9:00 a.m. to 3:00 p.m. for work involving arterial streets), Monday through Friday, with no work allowed on City - observed holidays, unless otherwise approved by the Engineer:

1. Pow
ered Vehicles

2. Construction Equipment

3. Loading and Unloading Vehicles

4. Domestic Power Tools
2 .6.7 N OTIFICATION
T
he Contractor shall notify the City of Lynwood and the owners of all ut ilities, subsurface installations a nd su bstructures not less than forty-eight (48) hours prior to starting construction. The following list of names and telephone numbers is intended for the convenience of the Contractor and is not guaranteed to be complete or correct:

AT&T (310) 515-2419
City of Lynwood (310) 603-0220
764
48 Cit y of Lynwood Water & Sewer (310) 603-0220, Ext. 800 Consolidated Disposal Services (trash collection) ( 562) 577-6277 Los Angeles County Fire Department (Sta. 147) (310) 605-5670 Los Angeles County Fire Department (Sta. 148) (310) 603-5270 L.A. County Public Works/Flood Control (626) 458-5100
Los Angeles County Sheriff’s Department (323) 508-4800 MV Transportation, Inc. (bus service) (562) 259-9911
Lynwood Unified School District (310) 605-5670
Park Water Company (562) 923-0711
Southern California Edison (800) 655-4555 or (310) 608-5005 Southern California Gas (310) 605-7909
Time Warner Cable (562) 259-2015 or (888) 892-2253
Underground Service Alert (800) 227-2600
U.S. Postal Service (800) 275-8777
T
he Contractor shall notify the U .S. Postal Se rvice and trash collection compan y of all work areas affecting service five (5) working days prior to construction and shall coordinate the work so that these services are not interrupted.
2 .6.8 CONSTRUCTION SCHEDULE
T
he provisions of Subsection 6-1 of the Standard Specifications shall be amended as set forth in the following Subsections:

2. 6.8.1 Schedule of Work. - A schedule of Work as required under Section 6-1 of the Stan dard Spe cifications shall be p rovided by the Co ntractor at the pre - construction meeting.

2. 6.8.2 Method. - The Contractor shall provide a project management tool in the form of a Critical Path Method (CPM) network schedule for planning and scheduling of all work required under the Agreement. All schedule reports shall be in the form of computer printouts. The Contractor may elect to use bar charts (Gantt charts) as a supplementary on-site scheduling tool; provided, that all such bar charts shall be generated in the computer from the approved CPM network schedule.

C
PM sc hedules may b e submitted in e ither arrow diagr am or time -scaled precedence diagram format, subject to the requirements of these S pecial Provisions.
2 .6.8.3 Qualifications. - A statement of computerized CPM capability s hall be submitted in writing prior to the award of the Contract, and shall verify that either the Contractor's organization has in- house capability to prepare and use C PM scheduling techniques, or that t he Contractor will empl oy a CPM consulting firm who is so qualified.

2.6. 8.4 Submittal Procedures. - Within twenty (20) working days of execution of the Agreement by all parties, and within ten (10) working days of the E ngineer's 765
49 written request at any ot her t ime, the Contracto r shall submit the schedule an d schedule reports in the form specified herein. The Contractor, if requested by the Engineer, shall provide revised network diagrams and schedule reports if at any time the Engineer considers the completion date to be in jeopardy bec ause of "activities behind schedule." Such additional network diagrams and reports shal l include a new arrow or pre cedence diagram a nd schedule reports conforming to the requirements of Subsection 2.6.8.7 of these Special Pr ovisions, showing how the Contr actor intends to accom plish the Work to m eet the completion time specified. The form and method employed by the Contractor shall be the same as that required for the initial schedule submittal.

2.6 .8.5 Schedule Revisions. - The Contractor shall modify any and all portions of the construction s chedule t hat become infeasible be cause of activit ies or procurement behind schedule, or for any other valid reason. Any activity that cannot be completed by its original latest completion date shall be deemed to be be hind schedule.

2. 6.8.6 Change Orders. - Upon issuance of a Change Order or other Contra ct modification, the approved change shall be reflected in the next submittal of the Construction Schedule.
2 .6.8.7 Approved Standards. -

2.6 .8.7.1 Definition. - CPM scheduling, as required under this Section, shall be inte rpreted to be generally as outlined in the Associated Gen eral Contractors of America publication, "The Use of CPM in Construction," as amended by these Special Provisions.

2. 6.8.7.2 Construction Schedules. - Construction schedules shall include computer-generated graphic networks and computerized con struction schedule reports meeting requirements of this Section.

2. 6.8.7.3 Networks. - The CPM scheduling network shall be in the form of a time-scaled arrow or time -scaled precedence diagram of the "activity-on- arrow" or the "activity on node" type and may be divided into separate pages with suitable notation relating to the interface points b etween the pages.

Individual pages shall not exceed thirty-six (36) by sixty (60) inch sheet size.

Notation on each activity arrow or node shall include a brief work description and duration estimate.

A
ll construction activities and procurement sh all be indicated in a time - scaled format and calendar scal e shall be shown along the ent ire sheet length. Each activity arrow or node sha ll be plotted so that the beginning and completion days and free float time of said activity can be determined graphically b y compa rison with the calendar sca le. All activities shall b e shown using symbols that clearly distinguish between critical path activities 766
50 and free float for each non-critical activity. All non-critical path activities shall show estimated performance time and free float time in scaled format.

2.6.8.7.4 Duration Estimates. - The duration estimates indicated for each activity shall be computed in working days, converted to calendar days, and shown on the construction schedule in calendar days, and s hall represent the single, best estimate considering the scope of the Work and resources planned for the activity. Except fo r certain non- labor activities, such as curing of concret e, pai nt drying, procurement, or delivering of materials, activity durat ion shal l not e xceed ten (10) working days [fourteen (14) calendar days] nor be less than one (1) working day, unless otherwise accepted by the Engineer.

2. 6.8.7.5 Schedule Reports. - Schedule Reports shall be prepared from the initial construction sche dule and from all subsequent revisions of the schedule. As a minimum, Schedule Reports shall contain the following data for each activity:

1. A
ctivity numbers (or i-j numbers)

2. Estimated activity duration

3. Activity description (including procurement items)

4. Early Start date (calendar dated)

5. Early Finish date (calendar dated)

6. Late Start date (calendar dated)

7. Late Finish date (calendar dated)

8. Status (whether critical)

9. Total Float for each activity

10. Free Float for each activity

2. 6.8.7.6 Project Information. - As a minimum, each Schedule Report shall include the following summary data:

1. P
roject name

2. Contractor name

3. Sequence or revision number or date

4. Project duration

5. Scheduled completion date

6. Date of commencement of the Work

7. Cite new completion date, if applicable

2.6 .8.8 Sch edule Monitoring. – At l east once a mont h, and when speci fically requested by the Engineer, the Contractor shall submit to the Engineer a computer printout of the latest updated Schedule Report for those activities that remain to be completed.
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ND OF SECTION -
767
51 SECTION 2.7 – MEASUREMENT AND PAYMENT

2.7.1 GENERAL

2.7.1 .1 Payment. – Paragraph 2 of Subsection 7-3.1 of the Standard Specifications shall be amended to read as follows:

Payment for the various items of the Bid Schedule(s) shall include all compensation to be recei ved by the Contr actor for furnishing all tools, eq uipment, supplies, and manufactured articles, and for all labor, o perations, and incidentals appurtenant to the items of work being described, as necessary to complete the various items of the Work in accordance with the requirements of the Contract Documents, including all appurtenances thereto, and including all costs of permits and costs of complying with the regulations of any public agencies having juris diction over Cont ractor or the Work, including, but not limited to , the Safety and Health Requirements of the California Division of Industrial Safety and the Occupational Safety an d Health Administration of the U.S. Department of Labor (OSHA).

N
o separate or additional payment will be made for any item that is not specifically set forth in the Bid Schedule(s), unl ess approved and covered by a subsequent Change Order (s) issued in accordance with the provisio ns of the Contract Documents and all costs for any such items shall be included in the prices named in the Bid Schedule(s) for the various appurtenant items of Work.

2.7. 1.2 Progress and Final Payments. – Paragraphs 2 through 5 of Subsection 7-3.2. of th e Standard Specifi cations shall be deleted in their entirety and the following substituted therefore:

I
n order to receive monthly progress payments for Unit Pri ce Bid Schedule(s), for work performed to the established closure date, the Contractor sha ll submit to the Engineer a billing invoice and an at tachment containing a correct list of estimated quantities and work completed by th e Contractor for the applicable Unit Price Bid Items listed in the Bid Schedule(s). Such invoice shall also include a s tatement of accumulated working days. The estimated quantities and work completed shall be verified by the Engineer prior to processing payment.

I
n order to receive monthly progress payments for Lump Sum Bid Schedule(s), for work performed to the established closure date, the Contractor shall submit to the Engineer a billing invoice and an attachment containing a correct list of estimated quantities and work completed, in accordance with the Schedule of Values approved by the Engineer. Such invoice shall also include a statement of accumulated working days. The estimated quantities and work completed shall be verified by the Engineer prior to processing payment.

Whe
n the entire Project has been satisfactorily complet ed, the Contrac tor shall submit its final billing invoice and required detailed attachment to the Engineer for the required verification and preparation of the final estimate. 768
52 A
cceptance of any progress payment accompanying any est imate without written protest shall be an acknowledgment by t he Contractor that the number o f accumulated working days shown on the a ssociated statement of working days is correct. Progress payments made by the City to the Contractor after the completion date of the Agreement shall not constitute a waiver of liquidated damages.

S
ubject to the provisions of Section 22300 of the Public Contract Code, a ten percent (10%) retention will be withheld from each progress payment. All monthly invoices or payment requests, together with the required at tachments detailing the number of days worked and estimates of quantities and work completed , shall be directed to and approved by the Engineer before submittal to the City for payment.

P
ursuant to the provisions of California Public Contr act Code Section 20104.50, should City fail to make any progress payment within thirty (30) days after receipt of an undisputed and properly submitted payment request (or invoice) from Contractor, City shall be liable to pay interest on such late payment equivalent to the legal rate set forth in s ubdivision (a) of Section 685.010 of the Califor nia Code of Civil Procedure. Upon receipt of an invoice or payment request from Contractor, the City shall: (1) review the invoice as soon as practicable after receipt to determine that the invoice is a proper payment request / invoice; and (2) return to the Contractor within seven 7 days of receipt any invoice / paymen t request the City determines to be improper, accompanied by a writing setting forth the reasons for City’s determination of impropriety. The number of days av ailable to City to make a payment without incurring interest as set forth in this paragraph shall be reduced by the number of days the City exc eeds the seven (7) day return period set forth in the p revious sentence.

T
he Contractor shall submit with each invoice the Contractor's conditional waiver of lien for the entire amount covered by such invoice and valid unconditional waivers of lien from the Contractor and all subcontractors and materialmen for all work an d materials included in any prior invoices. Waivers of lien shall be in forms prescribed by California Civil Code Section 3262. Prior to final payment by City, Contractor shall submit a final waiver of lien for Contractor's work, together with releases of lien from any subcontractor or materialmen.

2.7.2 SC

HEDULING, MEASUREMENTS AND PAYMENTS

2.7.2 .1 Initial Mobilization: - The following paragraphs shall be added to the end of Subsection 7-3.4 of the Standard Specifications:

Measurement f or payment for Mobilization will be based upon completion of such work as a lump sum, non-proratable pay item, and shall require completion of all of the listed items during the first twenty-five (25) days following the Notice to Proceed.
769
53 P ayment for Mo bilization will be made at the lump sum allowance named in the Unit Price Bid Schedule(s) under the Bid I tem, “Mobilization,” which price shall constitute full compensation for all such work. Payment for mobilization will be made in the form of a single, lump-sum, non-proratable payment. The Bid Item, “Mobilization,” will not be approved for payment until all mobilization items listed herein have been completed as specified. The scope of work included under the Bid Item, “Mobilization” shall include, but not be limited to, the following principal items:

1. O
btaining and paying for all bonds, insurance, and permits.

2. Mov
ing onto t he site all Contractor’s plant and equipment required for first month’s operations.

3. I
nstalling temporary construction power, wiring, and lighting facilities.

4. E
stablishing fire protection system.

5. D
eveloping and instal ling a constructi on water supply per the Standard Specifications.

6. P
roviding on-site sanitary facilities and potable water facilities as specified per Cal-OSHA.

7. F
urnishing, installing, and maintaining all st orage buildings or sheds required for temporary storage of produc ts, equipment, or materials that have not yet been installed in the Work. All such storage shall meet manufacturer’s specified storage requirements and the specific provisions of the sp ecifications, including temperature and humidity cont rol, if recommended by the manufacturer and for all security.

8. A
rranging for and erection of Contractor’s work and storage yard.

9. P
osting all OSHA required notices and establishment of safety programs per Cal-OSHA and as required by the Standard Specifications. 1 0. Having the C ontractor’s superintendent at the job site full time as required under the Standard Specifications.
1 1. Submittal of required Construction Schedule as specified in Subsection 6-1 of the Standard Specifications.

12. Submittal of Proposed Construction Schedule on or before the Preconstruction Conference, acceptable to the Engineer, per Subsection 6- 1 of the Standard Specifications and Subsection 2.6.8 of these Special Provisions. 770
54 13. Submittal of detailed Preliminary Construction Schedule for the Engineer’s approval w ithin s even (7) calendar days after the commencement date specified in the Notice to Proceed.

14. Submittal of an As-Planned Construction Schedule, embodying all corrections required by t he Engineer, within thi rty (30) c alendar days of the date of the Notice to Proceed. No payment for mobilization can be made until this has been approved and submitted.
1 5. Providing and maintaining the field office trailers for the Contractor and the Engineer, complete, with all s pecified furnishings and utility services including telephones, telephone appurtenances, computer and printer, and copying machine per the Special Provisions.
1 6. Providing on- site communication faci lities for the City and the Engineer, including telephones, radio pagers, and a FAX machine.

I
n addition t o the r equirements specified above, all submittals shall conform to the applicable requirements of the Standard Specifications.

N
o payment for any of the listed mobilization work items will be made until all of the listed items have been completed to th e satisfaction of the Engineer. The aforementioned amount will be withheld by the City as the agreed, estimated value of completing all of the mobilization items listed. Any such withholding of money for failure to complete all such mobilization items as a lump sum item shall be in addition to the retention of any payments pursuant to the provisions of the Public Contract Code.

2.7.2 .2 Demobilization - Measurement for payment for Dem obilization will be based upon completion of such wor k as a lump sum, non-proratable pay i tem, and shal l require completion of all of the Demobilization items listed herein.

P
ayment for Demobilization will be made at the lump sum allowance named in the Bid Schedule(s) under the Bid Ite m, “Demobilization,” w hich price shall constitute full compensation for all such work. Payment for Demobilization will be made in the form of a single, lump sum, non -proratable payment, no part of which will be approved for payment under the Agreement until all Demobilization items listed herein have been completed as specifi ed. The scope of the work includ ed under the Bid Item, “Demobilization” shall include but not be limited to the following principal items:

1. P
rovide and submit to the City a detailed written summary of the actual quantities of each bid item.

2. C
omplete clean up and remediation of all storage and staging sites.

3. C
omplete clean up and remediation, if required, of all haul routes utilized by Contractor’s vehicles.
771
55 4. C
omply with all terms of the Construction Permit.

5. Submit complete “AS-BUILT” plans.

6. C
omplete the project punch list.

2.7.2 .3 Sheeting, Shoring, and Bracing or Equivalent Method. - Measurement for payment for temporary sheeting, shoring, and bracing, or equivalent method, will be based up on the completion o f all p lanning, de sign, engineering, furnishing, and construction, and the removal and disposal of all such temporary sheeting, shoring, and bracing as a lump sum item, complete, as re quired under the provisions of any permits and in accordance with the requirements of OSHA and the Construction Safety Orders of the Sta te of California, pursuant to the provisions of Section 6707 of the California Labor Code.

Payment for temporary sheeting, shoring, and bracing, or equivalent method, will be made at the lump sum price named in the Bid Schedule(s) under the Item, “Sheeting, Shoring, and Bracing, or Equivalent Method”, which price shall constitute full compensation for completion of all such work as required hereunder.
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ND OF SECTION -
772
56 SECTION 2.8 -- FACILITIES FOR AGENCY PERSONNEL
(

NOT REQUIRED)
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ND OF SECTION -
773
57 SECTION 2.9 - CONSTRUCTION DETAILS (MATERIALS AND METHODS)

TABLE OF CONTENTS
2 .9.1 General

2.9.2 C onstruction Materials

2.9.3 Construction Methods
______________________________________________________________________

2.9.1 GENERAL
S
ection 2.10, “Construction Details”, includes only technical provisions that add, delete, or revise that which is already covered in the Standard Specifications, or exercises a choice that is offered in the Standard Sp ecifications, or adds subjects not covered in t he Standard Specifications.

2.9.2 CONSTRUCTION MATERIALS

2.9.3 CONSTRUCTION METHODS
- END O

F SECTION -
774
58 CITY OF LYNWOOD
P

UBLIC WORKS DEPARTMENT
_ ________________________________
PART 3 – TECHNICAL PROVISIONS
CITYWIDE SLURRY SEAL (PHASE 3) PROJECT
FY 2023-2024

IN THE CITY OF LYNWOOD
775
59 CITYWIDE SLURRY SEAL (PHASE 3) PROJECT
FY 2023-2024

TECHNICAL PROVISIONS
All Bid Items shall be in a ccordance with the Greenbook Standard Specifications for Public Works Construction (SSPWC) and Standard Plans for Public Works Construction (SPPWC), Latest Edition including suppleme nts, State of California Caltra ns Standard Plans and Specifications, Lat est Edition, and the Special Provisions and Ge neral Conditions of these specifications.

Bid Item No. 1 – Mobilization/Demobilization (Not to exceed 3% of total of all other Prime Contract Bid Items)
Mobilization shall co nform t o t he provisions of S ections 7- 3.4 of t he Standard Specifications.

Mobilization and demobilization shall consist of preparatory work and op erations including, but not limited to, those nec essary for the move ment of personnel, equipment, materials, and incidentals to the project s ite necessary for work on the project and for all other work and operations which must be perform ed or costs incurred including bonds, insurance, and financing prior to beginning wor k on the various contract items on the project site. Mobilization shall als o include the time, materials, and labor to move the necessary construction equipment to and from the site, supervisory time on the job by the Contractor’s person nel to keep the co nstruction site in a safe condition, and all other related work as required at all times and for all non- working days during the construction period. The Contractor is responsible for securing an adequate storage site for equipment and m aterials. Demobilization includes removal of all equipment and materials from the site, clean up and restoration of the work site at the end of project.

No additional amounts shall be paid for erosion contr ol, Best M anagement Practices (BMP), erosion damage clean-up, and r emoval of debri s from the project site, NPDES requirements, or removal of soil deposited on public streets by construction traffic.

Best Management Practices (BM P) s hall be defined as any program, t echnology, process, citing criteria, operating method, measure, or device, which controls, prevents, removes, or reduce pollution.

The Contractor shall have a minimum of two readily accessible copies of each publication on the Contract site at all times plus any copies of applicable environm ental mitigation plans.
776
60 A
dditional BM Ps may be required as a result of a change in actual f ield conditions, Contractor activities, or construction operation. When more than one BMP is listed under each s pecific BM P category, the Contractor shall select t he appropriate and necessary number of BMPs within each category in order to achieve the BMP objective.

B
MPs for Contractor activities shall be continuously implemented throughout the year and project t ime period. BMPs for erosion control and sedimen tation shall be implemented during the period from October 15 to April 15, and whenever the Na tional Weather Service predicts rain within 24 hours. BMPs for erosion control and sedimentation shall also be i mplemented prior to the commence ment of any Contr actor activity or construction operation, which may produce run-off, and whenever run-off from other sources may occur.

T
he Agency (City), as a permittee theret o, is subject to enfor cement actions by the State Water Resources Control Board, Environmental P rotection Agency , and pr ivate citizens. The Agency will pass through to the Contractor any penalty assessed by these entities for each calendar day that the Contractor has not fully implemented the BMPs specified for the Contract and/or is otherwise in no ncompliance with t hese provisions.

In addition, the Agency will deduct, from the final paym ent due the Contractor, the total amount of any fines levied on the Agency, plus legal and staff costs, as a resu lt of the Contractor’s lack of compliance with thes e provisions and /or less than c omplete implementation of the specified BMPs.

P
ayment for Mobilization/Demobilization shall be included in the Lump Sum (LS) Price bid and shall be considered full compensat ion for obtaining all business l icenses and permits, as required for the entire pr oject, from all related agencies, including, but not limited to, utility companies, private and public agencies and the City of L ynwood; and complying with the requirements s pecified in those licenses and p ermits; coordination, field office facility, imple mentation of Best Management Practices, and incidentals necessary to perform all related items of work. Progress payments for this bid item shall be paid for in accordance w ith the completion percentage of the project to the Contractor and shall include the cost of such mobilization administration during the entire contract period and demobilization. No additional compensation will be allowed therefor. The sum total of this Bid Item shall not exceed 3% of the total of all other Bid Items.

Bid Item No. 2 – Traffic Control
T
raffic control, Traffic control plan, construction signing and traffic maintenance s hall comply with the provisions of Subsection 5-7 , 600 and 601 of the Standard Specification, Subsection 56-2 of the C altrans Standard Specifications, and the current requirements set forth in the “Manual of Tr affic Controls for Construction and Maintenance Work Zones” published by the Department of T ransportation, State of California, and latest California Manual on Unif orm Traffic Control Device s ( CA- MUTCD), the traffic control plans and these Special Provisions. 777
61 The Contractor shall maintain the following clearances from the edge of traffic lanes:
1) 5 f
eet to any excavation,
2) 2 feet to curbs or temporary concrete barriers,
3) 10 feet to poles and other obstructions on uncurbed roadways.

I
f determined by the City Engineer that it is necessary to decrease these minimum distances to allow for t he pr osecution of the w ork, the C ontractor shall provide all protective devices required by the City Engineer to adequately protect the public.

PUBLIC CONVENIENCE
A
t least ten (10) calendar days prior to commencing paving work, the Contractor shall submit a pavement spreading schedule to the City for approval. Based on the pavement spreading schedule, the Contractor is to notify residents and businesses of the pr oposed work and post temporary “NO PARKING” signs at no cost to the Ci ty.

Signs shall be posted at all intersections, and on each side of the stre et a maximum of 200 feet between si gns. Si gns shall not be attached to existing poles, street light standards or trees. All signs must be posted on delineators or stakes provide d by the Contractor. The “ NO PARKING” signs shall be in place not less than seventy two (72) hours prior to per forming the work; therefore a request for changes in the schedule requiring additional posting shall be submitted by the Contractor for approval by the City Engineer at le ast seventy -two (7 2) hours prior to reconstruction and overlaying t he street. All conflicting parking signage shall be covered.

D
ue the nature of this projec t involving major inconvenience to residents and businesses, a good Public Relations Program is mandatory and evidence of satisfactory past performance in this area will be required.

T
he Contractor is to distribute a minimum of two (2) “Public Notice” to each resident and business affected by the project. The first notice shall be distributed t en (10) calendar days p rior to th e start of any work. The second notice shall be distribute d at l east seventy two (72) hours (3 working days) prior to the start of work. A sample copy of the notice must be approved by the City Engineer. Said notice shall be attached to a red information hanger provided by the Contractor and h ung on the front door knob and/ or gate. The Contractor shall also coordinate with the bus services to ensure the safe operation of buses and access to bus stops in the construction area.

T
he Contractor s hall also coordinate with the tr ash disposal and postal services agencies to ensure the safe operation of their vehicle and access in the const ruction area. Notices shall be in English and Spanish language.

A
ll complaints received by the City associated w ith the co nstruction project all eging damage to private property and vehicles shall be responded to by the Contractor within one working day (24) hours of notification. Failure to comply with this provision may result in a penalty of One Hundred dollars ($100.00) per occurrence. 778
62 All trucks, which the C ontractor proposes to use, that exceed the legal load limit when loaded will be required to ha ve overweight permits issued by the City for which there is a fee.

T
he Contractor shall be responsible for adequ ate barricading of the work area and controlling of traffic in the vicinity of the project as specified in Subsection 7- 10 of the General Provisions

PROTECTION OF WORK AND PUBLIC
T
he Contractor shall take all necessary measures to protect work and prevent accidents during any and all phases of the wor k. The Contractor shall r epair all damaged pavement as a result of damage (i.e., vehicle tr acks, footprints, graffiti, etc.) If deemed necessary by the City, th e Contractor shall repair t he defective area in accordance with these special provisions.

CONSTRUCTION SIGNING
C
onstruction signing shall consist of furnishing, installing, maintaining and removing construction signs and barricades as required by the “Manual of Traffic Contr ols f or Construction and M aintenance Work Zones”. The traffic control system shall be installed on a road prior to starting work for that road and shall not be rem oved until all work has been completed on that road. Existing speed l imit signs, which conf lict with the work zone speed limit, shall be covered during the entire construction period.

TRAFFIC MAINTENANCE
T
he Contractor shall be responsible for handling v ehicular and pedestrian traffic in accordance with Subsection 601 of the Standard Specific ations and these Special Provisions.

T
he Contractor shall prepare all necessary traffic control plans and submit to the City for approval at the pre-construction meeting. The traffic control plans shall be prepared by a Traffic Engineer Licensed in the State of California and shall show:

1. N
otification Signs.

2. Existing and temporary lane lines.

3. Dimensions of the work zone and street improvements.

4. Advance warning signs.

5. Delineators
T
he plans shall be submitted t o the City no later than the Pre-Construction meeting and shall incorporate a complete and separate plan for each stage of construction proposed by the Contractor. This plan shall indicate the sequence of lanes or portions of lanes being closed for each phase. The traffic contr ol plans shall indicat e the travel plan for each phase of construction. The traffic control plans shall state:
779
63 1. That the plan will conform to the “California Manual on Uniform Traffic Control Devices (CA-MUTCD)” Latest Edition.

2. Emergency contact person and phone number.

3. Minimum lane widths and minimum clearance to obstructions.

The
traffic control p lan shall be rev iewed an d accep ted by the City Engineer prior to beginning any removals.

The C
ontractor shall cooperate with the City Engineer relative to handling traffic through all wo rk areas and shall make his own arrangements relat ive to keeping the working area clear of parked vehicles and maintaining clear access to driveways.

T
he Cont ractor shall furnish and install construction notification signs as shown on traffic control plans and as specified by the City of Lynwood.

T
he Contractor shall pro vide for control led pedestrian crossings through the work.

Crossings shall provide pedest rians a means of passing over or through the w ork without tracking tack coat or hot asphalt on ex isting concrete wo rk or enda ngering pedestrian safety. At intersections, if a cross r oad needs to be temporarily closed when work is in progress through the intersection and the anticipated traffic delay is more than five (5) minutes, a detour sign shall be installed on the cross street and shall include the installation of advance signing displaying the anticipated delay time. The signing of the detour route s hall be approved by the City Engineer prior to installation of the det our and closure of the road.

T
he Contractor sha ll provide for one lane of t ravel in each direct ion at all times unless approved by the City Engineer. When two- way traffic is restricted to one lane in each direction, and when apply ing an overlay past intersecting roads, traffi c sha ll be controlled as r equired by the “Manual of Tr affic Controls for C onstruction and Maintenance Work Zones”. A pilot car and driver will be required at various locations if control by flaggers and/or control devices proves deficient in the opinion of the City Engineer. In n o case shall the Contractor provide less than one (1) lane of tr avel in each direction through the construction zone including cross -streets, except if an alternative plan is approved by the City Engineer.

Cont
ractor’s equipment and personal vehicles of the Contractor’s employees sh all not be parked on the traveled way at any time. Overnight parking of construction equipment shall be confined to an approved storage site selected by the Contractor and approved by the City.

TEMPORARY GUIDE MARKERS
Te
mporary guide markers shall be po rtable Caltrans, Standard Specifications approved delineators. Only one type of temporary guide marker shall be used on any road at any one time.

T
emporary guide markers shall be placed adjacent to t he ed ge of all vertical lips or 780
64 excavations that exceed 1 inch. If the te mporary guide mark ers are damaged, or are not in an up- right position, from any cause, sai d markers should immediately be replaced or restored to their original locations, in an upright position by the Contractor.

PORTABLE DELINEATORS
T
he vertical portion of the portable delineators shall be brilliant orange or predominantly orange in color. The posts shall be not less than 100 square inches, measured through the vertical axis of the delineator, normal to the roadway. The minim um height shall be thirty-seven (37) inches above the traveled way.

T
wo 4-inch nominal width reflective bands shal l be mounted a minimum of 1 ½ inches apart and at a height on the post so that one reflectiv e band will be between 2.5 feet and 3 feet above the roadway surface.

R
eflective bands shall be flexible vinyl plastic, either white or yellow, and shall have not less than the following dry reflective values at a 0.2 degree divergence angle, expressed I units if candlepower per f oot-candle per square f oot. The wet reflectiv e values shall not be less than ninety percent (90%) of the dry values.

Dry Reflective Value
Angle of Incidence 4º 5º 30º
W hite 250 165 50
Yellow 10 110 50
A
ll tes ts for reflective values shall be performed in accordance with Test Method N o.

Calif. 642.

T
he portable delineators shall be spaced as necessary for proper delineati on; however, in no case shall the spacing between porta ble delineators exc eed thirty (30) fe et on tangents or twenty (20) feet on curves.

FLUORESCENT TRAFFIC CONES
P
rovide lighted flashers and lighting for night time. Fluorescent traffic cones shall be new or reconditioned and of good commercial quality, f lexible material suitable for the purpose intended. The outer section of the portion above the base of the c one shall be highly pigmented fluorescent orange polyvinyl compound. The cone shall be anchored in a manner such that the traffic cone will remain in an upright position.

T
he fluor escent t raffic cones shall be spaced as necessary for proper delineation; however, in no case shall the spacing between fluorescent cones exceed thirty (30) feet on tangents or twenty (20) feet on curves.
781
65 STRIPING
Tem
porary striping and marking for tr affic control shall conform to Section 310- 5.6.5 of the Standard Specifications. Temporary striping and marking which has no further use shall be removed by wet sandblast ing, and all sand use d in sa ndblasting shall be removed without delay as the sandblasting operation progresses.

RESTRICTIONS ON CLOSURE OF STREETS AND TRAFFIC LANES
T
he Contractor shall conduct all operations so as to provide access to the adjoining properties and have no greater length or quantity of work under construction that can be properly prosecuted with a minimum of inconvenience to the public.

T
he C ontractor shall construct temporary A.C. ramps or equal to provide saf e and drivable access to residents and business properties daily. If steel pl ates are required, they shall be provided by the Contractor at no additional cost to the City.

T
he Contractor shall coordinate all shipments and deliveries to businesses.

T
he Contractor shall be respons ible for furnishing, placing and maintaining barri cades and lights as necessary to protect the public from danger due to the work being done.

N
o additional am ounts shall be paid for erosion control, erosi on damage clean-up, and removal of debris from the project site, NPDE S r equirements, or removal of soil deposited on public streets by construction traffic.

P
ayment for Traffic Control shall be included in the Lump Sum (LS) Price bid and shall be considered full compensation for providing and maintaining safe traffic contr ol including all temporary signs , striping and deli neation, prepari ng and providin g traffic control plan during the project, obtaining all approvals and permits, as required, from all related agencies, including, but not limited to, public agencies and the City of Lynwood; and complying with the requirem ents specified in th ose li censes and permits, coordination, field office facility; and incidentals necessary to perform all related items of work.

Bid Item No. 3 – Cold Mill Existing AC Pavement (2” Deep) The
follo wing is applicable for all cold milling . Cold millin g sha ll conform to t he provisions of Section 404 of the Standard Specifications for Public Works Construction.

The C ontractor shall cold mill existing a sphalt concrete (AC ) pav ement to the depth required for the placement of new pavement as sh own on the Pl ans and as directed in the field by the Engineer. All work shall be compl eted i n accordance with lines and grades, and typica l cros s-sections shown on the drawings. Any extra c old mi lling beyond the shown limits shall be at the Contractor’s expense.

A
ll existing asphalt concrete (AC) pavement to join new construction shall be sawcut in a straight lin e. Contractor shall exercise due caution to avoid an y damage to e xisting 782
66 improvements, protecting in-place of exist ing water mains, sewers, storm dr ains, meters, valve covers, wall, fences, curbs, fire hydrants, telephone and power poles, and other existing structures.

It i s the
Con tractor’s respon sibility to perform whatever additi onal exploration i s necessary to avo id causing any damage to the ex isting u tilities u nder the work a rea.

Any damage done by the Contractor shall be repai red or r eplace as called out in Section 40 2 o f the Standard Specifications f or Public Wor ks Constr uction at t he Contractor’s expense.

T
his work shall consist of cutting existing asphalt concrete (AC) pavement to facilitate its removal. Any sawcutting shal l be a ccomplished by the use of a power -driven saw t o provide a clean, strai ght break wit hout loos ening, crac king, or dam aging adjo ining asphalt or concrete. A clean sawcut edge shall be maintained until surface course AC is constructed. Under this item, t he use o f a grinder will not be allowed in lieu of power- driven saw.

Du
ring the cold mil ling oper ation, the Contractor s hall remov e all lo osened materials from milled areas, haul away and dispose of them at a legal site and submit evidence of the proper disposal to the City of Lynwood. The Contractor shall abate dust nuisance by cleaning, sweeping, and spr inkling with recyc led water (if available) or other means as necessary.

Any
petromat found during grinding shall be removed by scraping and by burni ng it with a torch.

The C
ontractor shall be responsible to assume the cost of r emoving, hauling, recycling and any other inc idental of any petromat found during grinding opera tion a nd no adjustment o n the Bid price shall be made. Also, The Contractor shal l remove all asphalt residuals along existing gutter.

Crack Sealing
Afte
r the completion of the col d milling oper ation, ¼” wide cracks and larger shall be cleaned by hot air blowing to provide intact bonding surfaces which are free of m oisture and debris. After the cracks have been properly cleaned, they shall be sprayed with an approved soil sterilant, and then fil led with SS-1H asphaltic emulsion and sanded.

Cracks and pop- outs larger than 1” wide shall be sealed with a D2- SC-800 stockpile mix. Crack sealing shall be paid under a separate bid item (Bid Item No. 5).

P
ayment for Cold Milling of Existing Asphalt Concrete (AC) Pavement shall be paid for at the price bid per Square Foot (SF) and shall be considered full compensation for furnishing labor, materials, e quipment, sawcutting, removals, hauling and disposal of asphalt concrete materials excavated or grinded, grade for the base, compaction and no additional compensation will be allowed therefore. Payment for the removal of Petromat fabric material shall be included in this bid item of w ork and no additional compensation will be allowed.
783
67 Bid Item No. 4 – Construct 2” Thick AC (C2-PG 64-10) Th
is Bid Item sha ll include all labor, mater ial an d equip ment required to c onstruct asphalt concrete. AC, as shown on the plans and as specified in Section 203- 1 of the Standard Specifications for Public Works Construction and shall con form to the following:

The Co
ntractor shall submit a copy of the asphalt concrete mix design.

A
ll work shall conform to Section 302-5 of the “Standard Specifications for Public Works Construction” and these Special Provisions.

A
ll materials are subject to testing under separate Bid Item.

Tack co
at sh all be Grade SS-1 H, p er S ection 302- 5.4 and shall be applied to the perimeter of all AC removal and replacement locations and cold mill ing locations. (All tack coat overspray on gutter lip shall be removed.)
The C
ontractor shall use a PG Asphalt Binder.

PG
Asphalt binder shall conform to the following requirements:

1. Description
Aspha
lt shall consi st of refined pet roleum or a mix ture of r efined liquid asphalt and refined solid asphalt, prepared from crude petroleum. Asphalt shall be:

A. Free f rom residues cau sed by t he artifi cial distillation of coal, coal tar, o r paraffin.

B. Free from water.

C. Homogeneous.

2. M
aterials
A
. General
The
Contractor sh all furn ish as phalt in conformance with t he State o f Califo rnia Department of Transportation (Caltrans) “Certification Program for Suppliers of Asphalt.” Caltrans maintains the p rogram requirements, pr ocedures, a nd a list of ap proved suppliers can be obtained from (Caltrans).

The C
ontractor sh all ensure the saf e tra nsportation, storage, use , a nd disposal o f asphalt. The Co ntractor shall prevent the formati on of carbonized particles caused by overheating asphalt during manufacturing or construction.

B. Grad
es
784
68 Performance gr aded (PG) asphalt bind er shal l be PG 64- 10 and conf orm to the following:

P
erformance Graded Asphalt Binder
P
roperty
AASHTO
Test
Method
Specification
Grade
PG
58-22 a
PG
64-
10 PG
64-16
PG
64-28
PG
70-10
Original Binder
Flash Point, Minimum ºC T48 230 230 230 230 230
Solubility, Minimum % b T44 99 99 99 99 99
Viscosity at 135ºC, c
Maximum, Pa’s
T316

3.0 3.0 3.0 3.0 3.0
Dynamic Shear,
Test Temp. at 10 rad/s, ºC
Mínimum G*/sin(delta), kPa
T315
58 1.00
64 1.00
64 1.00
64 1.00
70 1.00
RTFO Test e,
Mass Loss, Maximum, %
T240

1.00 1.00 1.00 1.00 1.00
RTFO Test Aged Binder
Dynamic Shear,
Test Temp. at 10 rad/s, ºC
Mínimum G*/sin(delta), kPa
T315
58 2.20
64 2.20
64 2.20
64 2.20
70 2.20
Ductility at 25ºC
Minimum, cm
T51
75 75 75 75 75
PAV f Aging,
Temperature, ºC
R28
100 100 100 100 100
N
otes:
a. Recommended as asphalt rubber base stock for high mountain and high desert area. b. T he Engineer m ay waive this specification if the suppli er is a Quality Su pplier a s defi ned by t he Caltr ans’ “Certification Program for Suppliers of Asphalt.”
c. The Enginee r m ay waive this s pecification if the supplier certifies the asphalt binder can be adequately pumped and mixed at temperatures meeting applicable safety standards. d. The sample will be t ested at 3ºC higher if it fails at the specified test temperature. G*sin(delta) shall remain 5000 kPa maximum.
e. “RTFO Test” means the a sphaltic r esidue o btained using the R olling Thin Fi lm Oven Test, AASHT O T est Method T240 or ASTM Designation: D 2827.

RTFO Test and PAV Aged Binder
Dynamic Shear,
Test Temp. at 10 rad/s, ºC
Mínimum G*sin(delta), kPa
T315
22 d
5000
31 d
5000
28 d
5000
22 d
5000
34 d
5000
Creep Stiffness,
Test Temperature, ºC
Maximum S-value, MPa
Minimum M-value
T313
-12
300

0.300
0 300

0.300
-6
300

0.300
-18
300

0.300
0 300

0.300
785
69 f. “PAV” means Pressurized Aging Vessel.

C. Sampling
T
he Contractor ’s asphalt supplier s hall provide a s ampling d evice in the asphalt fe ed line co nnecting the plant storage tanks t o t he as phalt weighing sys tem or spr ay bar.

The sampling device shall be acc essible between 600 and 750 mm (30 inches) above the platform. The supplier shall provide a receptacle for flushing the sampling device.

Th
e sampling device shall include a valve:
1) Wi
th a diameter between 10 and 20 mm.
2) Manufactured in a manner that a one-liter sample may b e taken slowly at any time during plant operations.
3) Maintained in good condition.

The C
ontractor’s supplier shall replace failed valves.

I
n th e pres ence of the City Engineer, the Contractor’s s upplier shall take 2 o ne-liter samples per operat ing day. Round friction top containers with one-l iter capacity for storing samples shall be provided.

D. A
pplying Asphalt
Unle
ss otherwise specified, the Contractor shall heat and apply asphalt in conformance with the provisions in Caltrans Standard Specifications Section 93, “Liquid Asphalts.” T
he Contractor shall apply paving asphalt at a temperature between 120ºC an d 190ºC.

The City Engineer will determine the exact temperature of paving asphalt.

Su
bgrade preparation shall conform to Section 301-1 of the Standard Specifications for sections containing no aggregate base. After removal of the existing pavement section to the d epths r equired to place the new A C s ection, re -compaction o f the exis ting subgrade, if non-AC or non-PC, will be required to 95 perc ent in conformance with the requirements se t forth in Section 301 -1.3 of t he Stan dard S pecifications for Public Works Construction.

A
t all lo cations where new asphalt conc rete pavement is join ing exis ting asphalt pavement, the Contractor shall Sawcu t or cold mill/grind existing pavement to provide straight neat lin es and p lace the new asphalt concret e to form a smo oth tran sition.

Payment for Sawcut ting/grinding and removing the existing pavement shall be included in a separate Bid Item.

T
he Contractor shall be responsible for maintaining location of, and access to, all water line gate valves during construction operations.

Initial
or br eakdown compaction shall c onsist o f a minimum of three roller p asses coverage of a layer of asphalt mixture. A pass shall be a movement of a roller in both 786
70 directions over the same path. Coverage shall be as many passes as are necessary to cover t he en tire w idth being pav ed. Over lap bet ween passes during any covera ge made to insure compaction without displacement of material in accordance with good rolling practice shall be considered a part of the coverage being made and not a p art of a sub sequent cov erage. Each c overage sh all be completed before subsequent coverage is started. Pneumatic rollers shall not be used without prior approval of the City Engineer. T he top AC layer of each lane, once com menced, shall be placed without interruption.

3. Me
asurement
T
he quanti ties of the asph alt concret e t o be pa id for w ill b e m easured b y t he actual tonnage (ton) of material and no additional compensation will be all owed therefor. The Contractor shall furnish to the City Engineer at the time of delivery of the material on the job site a legible copy of a Licensed Weighmaster’s Certificate showing gross, tare, and net weights of each truckload of asphalt concrete mixture.

T
he City will not compensate the Contractor for any additional costs incurred by change or lack of availability of asphalt binders or variation of oil pipes.

Tem
porary asphalt concrete work where required by the City Engineer for traffic control or other purposes shall be considered included in the price bid for Traffic Control and no additional compensation will be allowed.

Tack Coat (Not a Bid item)
E
xisting concrete gutter and cur b faces shall be p rotected against disfigurement from the asphalt. Re sidue of the m aterial shall be re moved from gutter and curb faces by sandblasting to the extent required by the Engineer.

The t
ack coat s hall be applied as specified in Subsection 302-5 .4 of the Sta ndard Specifications a nd these Special Provisions. The Engineer will d etermine if the pavement is sufficiently dry for th e application of the tack coat. Tack coat shall not be applied when the temperature of the surface to be tacked is below 40 degrees F in the shade.

No
separate measurement and payment will be made for tack coat.

P
ayment for Construct 2” Thick AC (C2-PG 64-10) shall conform to the provis ions of Subsection 302-5.9 of the S tandard Specifications for Public Works Construction. All the requir ements stated above shall be included in the uni t pr ice bid per TON. The contract unit price p er ton shall include ful l compensation for all s urface prepara tion furnishing all labor, materia ls, tools, equipment, r emovals, dis posal, c ertified weigh tickets, and incidentals and for doing all the work involved, including furnishing, applying and cleaning up excess rock dust blotter. The City will n ot compensate the Contractor for a ny additional costs i ncurred by change or l ack of a vailability of asphalt bind ers.

Temporary surface work where required by the City Engineer for traffic control or other 787
71 purposes sh all be considered included in t he price bid for Tr affic C ontrol a nd no additional compensation will be allowed.

Bi
d Item No. 5 – Pl ac e Slurry Seal Type II with 3% Latex SECTION 203-5 – EMULSION-AGGREGATE SLURRY
203
-5.2 Materials
M
aterials shall conform to Subsection 203-5 of the Standard Specifications, except as modified herein. Em ulsion – a ggregate slurry shall be Type II, unles s otherwise indicated on the plans or in these specifications. The amount and type of accel erator used shall be approved by the Engineer.

E
mulsified asphalt shall be CQS-1h
P
rior to a change of emulsion, Contractor shall thoroughly clean all emulsion t anks and mixing units to prevent any chemical reaction between the two applications.

C
ontractor shall schedule and coordinate the deliver y of aggregat e to the st ockpile(s) such that: (1) d eliveries originate at the plant and arrive at the stockpile site w ithin normal work ho urs on the same calendar day, (2) delivery site and project name are explicitly state on each delivery ticket, (3) suc cessive deliveries on the same calendar day show the cumulative total for that day, (4) copies of all delivery tickets are delivered to the Engineer before the end of the working day, w hereas any delivery tickets not so delivered may be rejected be the Engineer. Any deviation from this process must h ave the prior approval of the Engineer.
203
-5.6 Test Reports and Cert ification. A cert ification of material compliance shall be provided at least 48 hours prior to delivery of emulsion to the project.

Te
sting shall be accomplishe d by an accredited mat erials testing laboratory approved by the Engineer and paid for by the C ontractor. Tests perfor med shall provide values corresponding to all parameters set forth i n the table of requirements for the materials specified.

SECTION 302 – ROADWAY SURFACING
302
-4 EMULSION – SLURRY SEAL SURFACING
302
-4.2 Mixing
302
-4.2 General. Transit mix trucks shall not be used.

C
ontractor shall arrange with the City for a ppropriate areas for stockpiling and batching.

The stockpile areas shall be thoroughly cleaned, removing all exces s material and all material cont aminated by spill ed oil, and left w ith a neat , ord erly appearance upon 788
72 completion of slurry operations in that area.

A
ll trucks which the Contractor proposes to use t hat exceed the legal load limit will b e required to have overweight permits from the Agency.

P
rior to th e beginning of slurry operat ions, Contractor shall furnish, at no cost to the Agency, a curr ent licensed weigh master’s certificate indicating the net weight capacity of the aggregate bin.

C
ontractor shall supply the Engineer with licensed weigh master’s certificates of weights for all a ggregate delivered to the job during the course of each day . Aggregate so certified as being delivered f or u se in the contract shall be used only in the sl urry mixture for t his contract. Contr actor shall also present weigh master’s certificates for the amount of such aggregate remaining unused at the completion of the contract at no cost to the Agency. Pay ment shall be determined by deducting the amount of unused aggregate from the total amount of aggregate delivered, all as shown on the l icensed weigh master’s certificates. The certificates shall be presented to the Engineer on the same day the aggregate is delivered.

W
ater (excluding that water in the emulsified asphalt) shall be added at a rate of from 5 to 10 percent by weight of dry aggregate to ensure proper dispersion of the emulsifi ed asphalt and proper w orkability, while (1) avoiding excess water whic h would allow separation and settlement of the aggregate, (2) avoiding insufficient w ater which would result in ba lling and coagulat ion in the mixer, and (3) permitting uncontrolled vehicular traffic as spe cified herein. The exact rate will be determi ned by the Contractor based upon field conditions subject to approval of the Engineer. 302
-4.5 Continuous-Flow Mixers . The mixing unit shall b e equipped with a fines feeder for addition of accelerator.

T
he spreader box shall be equipped with a suitable drag to erase ridges. A minimum 2- foot length of b urlap material shall be attached to the entire wid th of the drag. Th e spreader box shall be equipped with a steering device.

T
he slurry spreader box shall be maintained in a good state of repair at all t imes. The spreader box main strike off squeegee (rubber) shall be new a t the beginning of the contract and shall be maintained in a good state of repair throughout the contract.

E
quipment shall be available f or inspection before the beginning of the cont ract and again before work is to be accomplished.
302
-4.5 Application
302
-4.5.1 General. The first paragraph of Subse ction 302-4.5.1 of the S tandard Specifications is hereby deleted and replaced with the following:

T
he work shall consist of preparation, mixing asphaltic emulsion, aggregate, accelerator 789
73 and water, and spreading the mixture on the pavement where shown on the plans.

Ty
pe II slurry shall be applied at an approximate rate of 1,250 square feet per extra long ton.

A
ctual spread rates shall be approved by the Engineer.
302
-4.5.1 Prepa ration. Prior to appli cation of the sl urry, all cracks ¼ inch wide or greater shall be cl eaned by blowing out debris with high pressure compressed air and the surr ounding area shall be swept the same day. See following Se ction on Cr ack Sealing.

A
ll isolated holes and spalls grea ter tha n 12 inch in width shall be skin patche d and filled with AC F-AR-4000 compacted flush with existing surface.

P
reparation shall incl ude protection of pavement markers, manhole and valve cov ers, trimming of interfering trees, sh rubbery and ground growth, r emoving trimmed vegetation, controlling n uisance water, a nd sweeping. Immediately prior to slurry application, the surface shall be cleaned of dust, dirt and other foreign material.

C
ontractor shall protect existing raised pavement markers, vault covers, manholes, valve box covers by means approved by the Agency prior to the commencement of any slurry application.

S
lurry on each st reet should be spread from projection of curb/gutter line of crossing street.

S
lurry shall not be applied over any manhole, valv e, survey monument, or miscellaneous frames and cov ers. Any material used to protect such devices s hall be removed and disposed of lawfully by the Contractor.
302
-4.5 Spreading The first sentence of Subsection 302-4.5.2 is hereby deleted and replaced with the following:

S
lurry seal sh all be placed only w hen the ambie nt temperature is above 50 degrees Fahrenheit and rising and the weather and air is dry. No slurry shall be placed during inclement weather or the threat of. Contractor will bear the responsibility of cancellation of work on these days and will be responsible for any damages which may arise from non-cancellation. The Contractor will be responsible for mak ing corrective measures as necessary for removing and replacing any sealed surface that does not cure s ufficiently within five days to pre vent tire track ing. The weather and air of the day prior to beginning of slurrying shall have been dry and above 50 degrees Fahrenheit.

E
ach slurry crew shall be co mposed of a coordinator at the project site at all time s, a competent quick-set mixing per son, a competent driver, and sufficient laborers for any handwork and cleanup.
790
74 Prior to commencement of work, Contrac tor shall perform test sections for review and approval by the Engineer . The area of the test sections shall be at leas t 5,000 square feet. The section locations shall be in the area of the work, to be specified prior to construction. In no case will the Contractor begin operations until the test sections have adequately cured and he has received written approval by the Engineer. The approved mix design and test section shall be considered the standards for the operation.

N
o slurry seal shall be placed o n a wet street or crossi ng without the Engineer’s consent.

I
n areas with existing asphalt berms, the slurry application shall include the entire berm.

I
ntersections and commercial driveways shall be completed in two parts to allow ingress and egress to traffic. Sand may be spread over the fresh slurry only with the permission of the Engineer.

T
he cost of cleanup and/or damage caused by vehicles tracking through the slurry seal will be born solely by the Contractor.

A
ll slurried streets shall be swept by power broom six (6) days after spreading. 302
-4.5.5 Public Convenience and Traffic Control. The spreading schedule shall list the street segments in order of proposed application and denote which segments are to be completed each day.

T
he first paragraph of Subsection 302 -4.5.5 of the Standards Specifications is hereby deleted and replaced with the following:

A
t le ast 7 -working days p rior t o comme ncing work, the Contractor shall sub mit this slurrying sche dule to the Engineer for approval. This schedul e shall allow ample on- street parking within a re asonable distance fro m homes and bus inesses for people affected by the slurry work on the streets. Requests for changes in the schedule shall be submitted by the Contractor to the Engineer for approval at least 48 hours (2 working days) prior to the scheduled slurry of the streets involved.

T
emporary “No Parking” signs s hall be posted at le ast 48 hours, but no more than 72 hours, in advance of the work. The si gns shall be placed no more than 240 feet apar t on each side of the street and at shorter interva ls if conditions warrant. T he Contractor shall provide the signs and will be responsible for adding the dates and hours of closure to t he signs, removal of the signs, and furnishing and placing of barricades, if necessary, for posting of the signs. All signs shall be removed within 48 hours after the effective date. No signs shall be at tached to trees, buildings, boxes, etc. in the right- of- way. Temporary traffic cone posts shall be used.

F
ailure of th e Contractor to meet and complete his daily sc hedule due to conditions under his control once a street has been posted and the aforesaid time provisions for changes in the schedule have elapsed will result in d amages being sustained by the 791
75 Agency. Such da mages are, and will continue to be, impractical and extremely difficult to dete rmine. For each day the Contractor fai ls to meet and com plete th e sched ule after posting and after the aforesaid time provisions f or changes in the schedule have elapsed, the Contractor shall pay to the Agency, or have withheld monies due to him the sum of two hundred fifty dollars ($250) as liquidated damages for each calendar day.

I
n addition, the Contractor shall hand deliver a public notice to all adjacent residents and businesses affected by the work at least 48 hours (2 working days) in advan ce of t he application of slurry.

C
ontractor s hall provide barri cades and other traffic control devices as necessar y to eliminate traffic on areas of fresh slurry that might sustain damage from such traffic.

W
henever striping is obliterated, temporary reflective raised pavement markers shall be placed prior to the end of the working day that the striping is obliterated. The minimum striping delineation to be provided shall be temporar y reflective raised pavement markers placed at longitudinal intervals of not more than 24 feet. The temporary reflective raised pavemen t markers shall be double yellow for the centerline and white for the lane line.

T
emporary reflective raised pavement m arkers shall be placed in accordance with the manufacturer’s instructions and shall be cemented to the surfacing with th e adhesive recommended by the manufacturer, except epoxy adhesive which shall not be used. 302
-4.10 Measurement and Payment. The second paragraph of Subsection 302-4.10 of the Standard Specifications is hereby deleted and replaced with the following:

The c
ontract unit price per Extr a Long Ton (ELT) shall include full com pensation for furnishing and installing emulsion polymer as specif ied, accelera tor or reta rdant and water, and all pr eparation, traffic co ntrol, temporary striping del ineation, rubber ti re rolling where specified, and other incidentals described in the work and no additional compensation shall be allowed thereof.

Bid Item No. 6 – Install Crack Seal and Spray Weed Killer C
rack Sealing
Ad
d the following section:

Cracks to be repaired shall include longitudinal and t ransverse cracks and/or combination thereof and shall include cracks equal to ¼ inch and greater wide.

The c
ontractor shall spray all cracks to be sea led with “Round Up” weed killer solution manufactured by Monsanto Company or approved equal; at the rate recommended by the manufacturer. The chemical solution shall be mixed with purple dye to facilitate inspection. Any crack without purple color showing after spraying, the Contractor shall be directed to spray these cracks again at no additional cost to the City. 792
76 S
even (7) calend ar days after chemical application, t he Contractor shall remove all weed and vege tation by mechanical mea ns using a ¼ inch wide rotating blade to ensure proper vegetation removal in narrow cracks.

A
ll cracks shall be routed. Those cracks that are ¼ inch to ½ inch wide shall be routed to a mi nimum of ½ inch wide and 1 inch deep. Thos e cracks greater than ½ in ch wide shall be cleaned and routed to a depth of a minimum of 1.5 inches.

Al
l routed material and foreign debr is shall be blown and/or removed from t he cracks using no less than a 175 cf m air compressor at 100 psi (with a specia l sand for blowing) to ensure cleanliness of asphalt walls.

M
oisture shall be re moved using a hot air lance accompanied b y no less th an a 175 cfm compre ssor producing an air st ream velocity of 3,000 ft/sec and hea ted air temperature of 295F with no direct flame.

T
he routed and cl eaned cracks shall be fille d with crack seala nt RS-1 or equal, by inserting a nozzle into the cr ack and filing i t from the bott om up, in such manner th at does not result in sealant bridgin g or entrapped air pockets. With larger cr acks settlement and temperature shrinkage may oc cur, thus requiring a s econd application to bring the material up to the surface. Immediat ely after sealant installation, the material shall be squeegeed with a “U” shaped squeegee, striking off excess materi al and providing a band -aid effect with the seal ant. Any excess sealant material shall be removed from asphalt surfaces and sealed cracks should be covered with sand.

M
easurement and Payment
P
ayment for weed k iller and crack sealing shall be at the contract Lump Sum price bid for this item of work. P ayment shall include all labor, material, equipment and incidental required to complete al l of the work as detailed above and no additional compensation shall be allowed thereof.

Bid Item No. 7 – Adjust Existing Storm Drai n/Sewer/Utility Manhole/Vault Frame and Cover to Finished Grade
T
his Bid Item shall in clude all labor, eq uipment and materi als to adjust existing sewer/storm drain/utility manhole/vault frames and covers within the project limits to match finished grade if required. The work shal l be p erformed in accordance with the provisions of Subsection 403- 3 of the St andard Specificati ons for Public Works Construction and per Standard Plans for Public Works Construction.

A
ll existing covers that can be lowered and raised shall be lowered pri or to cold milling/removal and adjusted to finished grade by the Contractor or by the Utility Owne r for the Contractor. For utility frames and covers under the jurisdiction of Verizon, AT&T, Edison, Los Angeles County Flood Cont rol Distric t, Los Angeles C ounty Sanitation Districts, a nd County Sewer Maintenance Dist ricts, the Contra ctor shall contact these 793
77 organizations to arrange for adjustment of their respective facilit ies a minimum of seven (7) working days prior to cold milling/paving operations in accordance with Section 403- 3 of the Standard Specifications.

T
he adjustment o f existing manholes/vaults to fin ished grade shall be performed after finish paving. The re moval or addition of grade rings shall be required to facil itate adjustment. Frame and covers shall be thoroughly cle aned and reset to finished gr ade by cutting pa vement one foot outs ide the limit s of the fra me and cover. Said cut shall be neat and uniform.

P
ayment for Adjustment Storm Drain/Sewer/ Utility Manho le/Vault Fr ames and Covers to Finished Grade shall be at t he contract unit price per Each (EA) and shall be considered ful l compensation for labor and furnishing and placing all forms, materials, construction and expansion joints, curing compounds and equipment to complete the construction is considered as included in the price paid, and no additional compensation will be allow ed therefor. Where the m anhole frame and cover is performed by the utility owner, no compensation will be made to Contractor.

Bid Item No. 8 – Adjust Existing Water Valve Can and Cover to Finished Grade A
djusting of water valve cans an d covers shall be in accordance with Section 403-3 of the Standard Specifications, with appl icable modifications for water valve cans and covers. Th e Contractor is to contact the water utility and determi ne if the utility wants the Contractor to lower and raise the water valves sleeves and covers or the water utility will do so on its own. In the latter case the Contractor will not be paid for this work.

A
ll existing water utility covers that can be lowered and raised shall be lowered prior to cold milli ng/removal and adj usted to finished grade by the Contractor or the Utility Owner. The Cont ractor shall contact the utility or substructure owner organizations t o arrange for adjustment of their respective facilities a minimum of seven (7) working days prior to paving oper ations in accordance with Section 403- 3 of the Standard Specifications.

Adj
ustment of existing water valve sleeves shall also be p erformed after finish pavi ng and covers are to be painted should the Utility Owner want the cover to be painted. The Utility Owner will let the City know what color is to be used.

P
ayment for Adjustment of Water Valve Cans and Covers to Fini shed Grade shall be based on Each (EA) Unit Price b asis and shall be considered full compensation of all costs associa ted with their adj ustment including labor, materials, equipment, tools, traffic control and incidentals for doing all the work involved complete in place.

Bid Item No. 9 – Traffic Striping, Markings, Curb Painting Bef
ore removal of AC surface, the Contract or shall video the surface markings, striping, house addresses, red curb etc. so as to be able to restore them when striping/marking of new pavement.
794
78 T
raffic s tripes, pavement marki ngs of arrows, symbols, numbers and words, shall conform to the California Department of Transportation Standard Specifications: Section 84-3 Painted Traffic Stripes and Pavement Markings, current edition.

Ra
ised pavement markers shall conform to the Cali fornia Department of Tr ansportation Standard Specifications Section 85, current edition, and shall be of type as called for on the plans.

R
aised Blue Reflective fo r Fire Hydrant, Two-Way Blue Reflective Fire H ydrant Raised Pavement Markers installation as shown on Contract Draw ings or per the city Engineer dirctions are a part of this item and shall conform to the Standard Specification Section 314 Pavement Marker Placement and Removal and shall be in accordance with the Caltrans Traffic Manual Section 6 “Markings” for each fire hydrant.

T
raffic signs shall conform to the Cal ifornia Department o f Transportat ion Standard Specifications: Section 56- 2 Roads ide Signs, c urrent edition and California MUTCD current edition. The existing signs shall remain protected in place.

T
he Contractor shall furnish the necessary control points fo r all striping a nd markings and shall be responsible for the completeness and accuracy thereof to the satisfaction of the City Engineer.

P
ainted and raised pavement marker removal s hall conform to Section 15 of the CALTRANS Standard Spe cifications, current edition. All st riping and/or red/blue curb designated or required to be rem oved shall be removed by a method approved by the City Engineer. All r esidue remaining as a part of the removal operations shall be removed from the site.

Lay
out shall be approved, in writing, by the City Engineer prior to painting.

M
arkings, as used in these Speci fications, include both lines and miscellaneous markings applied to the pavement surface, painting of red and blue curb and the installation of r aised pavement markers. Materials and installatio n fo r painted and raised pavement marking shall conform to Sections 84 and 85 of CALTRANS Standard Specifications, current edition. See City of Lynwood not es regarding painting only, use of City forms and restriping at all intersections.

Exis
ting paint r emoval shall conform to Section 15 of the CALTR ANS Standard Specifications, current edition. All residue remaining as a part of the removal operations shall be immediately removed from the site.

T
he Contractor shall provide cat tracking for the centerline and lane lines the same day, following paving operations. Reflectorized “slurry tabs” may be used in lieu of painted cat tracking.
795
79 Payment for Traffic Striping, Markings, Curb Painting, Signs and House Address shall be at the contract un it price per a Lump Sum (LS) amount and shall be considered full compensat ion for video the existing surface paint, furnishing all la bor, materials (including adhesiv es, g lass beads, and paint ), tool s, equipment and incidentals necessary to perform all work, involved in, or appurtenant to the installation of pavement striping, r aised reflective pavement markers, painting curbs, grinding- off concrete surface, including remov al and installatio n of traffic signs and posts as indicated, complete in place for the width specified, and pavement markings of arrows, symbols, numbers and w ords , as shown on the plans and as required by the Project Specifications and no additional compensation will be allowed.

Bid Item No. 10 – Install Public Improvement Project Signs T
he Contractor sha ll supply, erect, and maintain public improvement project signs for the duration of construction acc ording to the specificat ions set forth below. A scaled layout of the sign shal l be submitted to the City Engineer for a pproval prior to fabrication. The sign is illustrated in Appendix “G”.

Size: 4 feet by 4 fe et mounted on Post with a 7 feet clearance above ground level.

Materials: 3/4-inch (exterior type) plywood (C-C EXT-DFPA grade).

Support: 4- inch by 4-inch by 11 feet posts.

Mounting: Frame shall be constructed using 2 inches by 6 inches by 8 feet mounted on skids centered on each post and a 2 inches by 4 inches by 5 feet 6 inches 45-degree brace for each skid and a 2 inches by 6 inches cross - strut between the bot tom of the posts all of bolted construction. Plywood panel shall be mounted using 3 inch by 5 inches carriage bolts at 16 inches (maximum) on center.

Paint: Panel Face: Three coats outdoor enamel (sprayed) P anel R ear and Frame: Two coats outdoor enamel (sprayed).

Color: Stark white background and blue lettering.

Lettering: Silkscreen enamels, Helvetica medium.

Covering: 1/4 inch clear plastic.

Location: The signs shall be placed at each end of the st reet that work is being constructed on. If various locations of work are included, the signs will be moved by the Contractor per the AGENCY’s schedule.

Disposition: After the Notice of Completion is issued, th e sign shall become the property of the AGENC Y, and the Contractor shall deliver the sign to t he Public Works Facility at no expense to the AGENCY.
796
80 S
hould, at the time, Contr actor need t o prepare the signs, Contractor is to check w ith City as to approved sign the Public Works Department may have in storage that can be used. Shoul d the City have s uch signs, they sha ll be used in lieu of the making new signs. Should the City have signs at the Public Works Department that the Contrac tor can use, the Contractor will only be paid for s igns the Contractor ha s made and are so furnished.

P
ayment for Installation of Public Improvement P roject Signs shall be at the contract unit price per Each (EA) and shall include full compensation for al l labor and materials, t ools, equipment, and f or do ing all work involved, including delivery of the sign to the Public Works Facility at the end of the project. 797
81 CITY OF LYNWOOD

PUBLIC WORKS DEPARTMENT
_ ________________________________
PART 4 - APPENDICES
CITYWIDE SLURRY SEAL (PHASE 3) PROJECT
FY 2023-2024

CITY OF LYNWOOD
4 .1 Appendix A – Department of Industrial Relations (DIR) Contractor Registration Number Form

4.2 Appendix B – List of Traffic Striping and Marking Skin Patch, Grind & Overlay and Utility Cover Adjustment Quantities
4 .3 Appendix C – Standard Plans
4 .4 Appendix D – Contract Change Order (CCO) Form
4 .5 Appendix E – Substitution Request Form
4 .6 Appendix F – Labor Code Sections 1771, 1775, 1777.5, 1813 and 1815 4 .7 Appendix G – Project Sign

4.8 Appendix H - Trash Collection Schedule
4 .9 Appendix I – Engineering Plans (Contract Drawings) 798
82 APPENDIX “A”
Department of Industrial Relations (DIR)
Contractor Registration Number Form
799
83 Department of Industrial Relations (DIR)
Contractor Registration Number
B
eginning July 1, 2014, con tractors must register with the Department of I ndustrial Relations (D IR) before bidding on public works contracts in Californ ia. For more information, please refer to this sec tion of the D epartment of I ndustrial Relations Website: http://www.dir.ca.gov/Public-Works/PublicWorks.html.

P
er this requirement, provide the following information:
___
___________________________________________________________________ Contractor Name
Contractor Department of Industrial Relations Registration Number:
___
___________________________________________________________________ Expiration Date of Registration Number
*(THI
S FORM MUST BE SUBMITTED WITH THE SEALED BID) *
800
84 APPENDIX “B”
List of Traffic Striping and Marking
and
Skin Patch, Grind & Overlay and Utility Cover Adjustment Quantities 801
85 APPENDIX “C”

STANDARD PLANS
802
86 LIST OF STANDARD PLANS
P
lan No. Description
CALTRANS:

A
20A, A20D Pavement Markers and Traffic Lines
A24A, A24B, A24C, A24D, A24E & A24F Pavement Markings, Arrows, Limits & Crosswalk Lines
803
87 APPENDIX “D”

CONTRACT CHANGE ORDER (CCO) FORM
804
88 CONTRACT CHANGE ORDER (CCO) FORM
CIT

Y OF LYNWOOD
DE

PARTMENT OF PUBLIC WORKS
Date: ______________CCO No. _______
Project Title: Citywide Slurry Seal (PHASE 3) Project, FY 2023/2024 Plan Reference: _________________________Item Reference: _______________________________ Contractor:
_________________________________________________________________________________ Show as separate numbered paragraphs: (1) Reason for Change; (2) Description of Change; (3) Location of change (Stations, etc.); (4) Change in Contract Cost; (5) Extension of Contract, if warranted; (6) New Contract Total Including All Change Orders.
805
89 APPENDIX “E”

SUBSTITUTION REQUEST FORM
806
90 SUBSTITUTION REQUEST FORM
TO:
____________________________________________________________________________________________ _
PROJECT: CITYWIDE SLURRY SEAL (PHASE 3)
PROJECT, FY 2023-2024
PROJECT NO:

OWNER: CITY OF LYNWOOD
SPE
CIFIED ITEM:
__________________ ____ _________ _____________________________________________________ Section Page Para graph Description
T
he undersigned requests consideration of the following:

PR
OPOSED SUBSTITUTION: ______________________________________________________________ A
ttached data includes product description, specifications, drawings, photographs, performance and test data adequate for evaluation of the request. Applicable portions of the data are clearly identified.

T
he undersigned states that the following paragraphs, unless modified on attachments, are correct:

1. T
he proposed substitution does not affect dimensions shown on Drawings and will not require a change in any of the Contract Documents.

2. T
he undersigned will pay for changes to the design, including engineering design, detailing, and construction costs caused by the requested substitution which is estimated to be $______________________________________________.

3. T
he proposed substitution will have no adverse effect on other contractors, the construction schedule (specifically the date of substantial completion), or specified warranty requirements.

4. Maintenance and service parts will be locally available for the proposed substitution. 5 . The incorporation or use of the substitute in connection with the work is not subject to payment of any license fee or royalty.

T
he undersigned further states that the function, appearance, and quality of the Proposed Substitution are equivalent or superior to the Specified Item.

Submitted by Contractor: Reviewed by Engineer:

S
IGNATURE: ____________________________________ □ ACCEPTED FIR
M: __________________________________________ □ ACCEPTED AS NOTED _____
__________________________________________ □ NOT ACCEPTED D
ATE: _________________________________________ □ RECEIVED TOO LATE T
ELEPHONE: ______________________________ BY: ___________________________________________ T
ITLE: ________________________________________
D
ATE: ________________________________________
AT
TACHMENTS: ___________________________ REMARKS: ___________________________________ 807
91 APPENDIX F
Labor Code Sections 1771, 1775, 1776, 1777.5, 1813 and 1815 808
92 Labor Code Section 1771
Requirement of prevailing local rate for work under contract E
xcept for public works projects of one thousand dollars ($1,000) or less, not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which the public work is performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work fixed as provided in this chapter, shall be paid to all workers employed on public works.

This section is applicable only to work performed under contract, and is not applicable to work carried out by a public agency with its own forces. This section is applicable to contracts let for maintenance work.

Labor Code Section 1775
Forfeiture for paying less than prevailing wage rates; Amount of penalty; Payments to workers; Liability of prime contractor; Notification of complaint (
a)
(1) The contractor and any subcontractor under the contractor shall, as a penalty to the state or political subdivision on whose behalf the contract is made or awarded, forfeit not more than fifty dollars ($50) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rates as determined by the director for the work or craft in which the worker is employed for any public work do ne
under
the contract by the contractor or, except as provided in subdivision (b), by any subcontractor under the contractor.
(2)
(A) The amount of the penalty shall be determined by the Labor Commissioner based on consideratio n of
both of the following:
(i) Whether the failure of the contractor or subcontractor to pay the correct rate of per diem wages was a good faith mistake and, if so, the error was promptly and voluntarily corrected when brought to the attention of the contractor or subcontractor.
(ii) Whether the contractor or subcontractor has a prior record of failing to meet its prevailing wag e
obl
igations.
(B)
(i) The penalty may not be less than ten dollars ($10) for each calendar day, or portion thereo f, for each worker paid less than the prevailing wage rate, unless the failure of the contractor or subcontractor to pay the correct rate of per diem wages was a good faith mistake and, if so, the error was promptly and voluntarily corrected when brought to the attention of the contractor or subcontractor. (ii) The penalty may not be less than twenty dollars ($20) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rate, if the contractor or subcontractor has been ass essed penalties within the previous three years for failing to meet its prevailing wage obligations on a separate contract, unless those penalties were subsequently withdrawn or overturned. (iii) The penalty may not be less than thirty dollars ($30) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rate, if the Labor Commissioner determines that the violation was willful, as defined in subdivision (c) of Section 1777.1. (C) When the amount due under this section is collected from the contractor or subcontractor, any outstanding wage claim under Chapter 1 (commencing with Section 1720) of Part 7 of Division 2 against that contractor or subcontractor shall be satisfied before applying that amount to the penalty imposed on that contractor or subcontractor pursuant to this section. 809
93 (D) The determination of the Labor Commissioner as to the amount of the penalty shall be reviewabl e onl
y for abuse of discretion.
(E) The difference between the prevailing wage rates and the amount paid to each worker for each c
alendar day or portion thereof for which each worker was paid less than the prevailing wage rate shall be paid to each worker by the contractor or subcontractor, and the body awarding the contract shall cause to be inserted in the contract a stipulation that this section will be complied with. (b) If a worker employed by a subcontractor on a public works project is not paid the general prevailin g r
ate of per diem wages by the subcontractor, the prime contractor of the project is not liable for any penalties under subdivision (a) unless the prime contractor had knowledge of that failure of th e s
ubcontractor to pay the specified prevailing rate of wages to those workers or unless the pri me c
ontractor fails to comply with all of the following requirements:
(1) The contract executed between the contractor and the subcontractor for the performance of work on t
he public works project shall include a copy of the provisions of Sections 1771, 1775, 1776, 1777.5 , 1813
, and 1815.
(2) The contractor shall monitor the payment of the specified general prevailing rate of per diem wages by the subcontractor to the employees, by periodic review of the certified payroll records of the subcontractor.
(3) Upon becoming aware of the failure of the subcontractor to pay his or her workers the specifie d pr
evailing rate of wages, the contractor shall diligently take corrective action to halt or rectify the failure, including, but not limited to, retaining sufficient funds due the subcontractor for work performed on t he pub
lic works project.
(4) Prior to making final payment to the subcontractor for work performed on the public works project, t he c
ontractor shall obtain an affidavit signed under penalty of perjury from the subcontractor that th e s
ubcontractor has paid the specified general prevailing rate of per diem wages to his or her employees on the public works project and any amounts due pursuant to Section 1813. (c) The Division of Labor Standards Enforcement shall notify the contractor on a public works project within 15 days of the receipt by the Division of Labor Standards Enforcement of a complaint of the failure of a subcontractor on that public works project to pay workers the general prevailing rate of per di em w
ages
L
abor Code Section 1777.5
Employment of apprentices on public works
(a) Nothing in this chapter shall prevent the employment of properly registered apprentices upon public works.
(b) Every apprentice employed upon public works shall be paid the prevailing rate of per diem wages for apprentices in the trade to which he or she is registered and shall be employed only at the work of th e c
raft or trade to which he or she is registered.
(c) Only apprentices, as defined in Section 3077, who are in training under apprenticeship standards that have been approved by the Chief of the Division of Apprenticeship Standards and who are parties t o w
ritten apprentice agreements under Chapter 4 (commencing with Section 3070) of Division 3 are eligibl e t
o be employed at the apprentice wage rate on public works. The employment and training of each apprentice shall be in accordance with either of the following:
(1) The apprenticeship standards and apprentice agreements under which he or she is training. (2) The rules and regulations of the California Apprenticeship Council. 810
94 (d
) When the contractor to whom the contract is awarded by the state or any political subdivision, i n per
forming any of the work under the contract, employs workers in any apprenticeable craft or trade, the c
ontractor shall employ apprentices in at least the ratio set forth in this section and may apply to any apprenticeship program in the craft or trade that can provide apprentices to the site of the public work for a certificate approving the contractor under the apprenticeship standards for the employment and traini ng of
apprentices in the area or industry affected. However, the decision of the apprenticeship program t o appr
ove or deny a certificate shall be subject to review by the Administrator of Apprenticeship. T he appr
enticeship program or programs, upon approving the contractor, shall arrange for the dispatch of apprentices to the contractor. A contractor covered by an apprenticeship program's standards shall not be r
equired to submit any additional application in order to include additional public works contracts under that program. "Apprenticeable craft or trade," as used in this section, means a craft or trade determine d as
an apprenticeable occupation in accordance with rules and regulations prescribed by the Californi a Appr
enticeship Council. As used in this section, "contractor" includes any subcontractor under a contractor who performs any public works not excluded by subdivision (o). (e) Prior to commencing work on a contract for public works, every contractor shall submit contract awar d i
nformation to an applicable apprenticeship program that can supply apprentices to the site of the public work. The information submitted shall include an estimate of journeyman hours to be performed under th e c
ontract, the number of apprentices proposed to be employed, and the approximate dates the apprentices would be employed. A copy of this information shall also be submitted to the awarding body if requested by the awarding body. Within 60 days after concluding work on the contract, each contractor and subcontractor shall submit to the awarding body, if requested, and to the apprenticeship program a v
erified statement of the journeyman and apprentice hours performed on the contract. The information under
this subdivision shall be public. The apprenticeship programs shall retain this information for 12 mont
hs.
(f) The apprenticeship program that can supply apprentices to the area of the site of the public work shall ensure equal employment and affirmative action in apprenticeship for women and minorities. (g) The ratio of work performed by apprentices to journeymen employed in a particular craft or trade o n the p
ublic work may be no higher than the ratio stipulated in the apprenticeship standards under whic h t
he apprenticeship program operates where the contractor agrees to be bound by those standards, but, except as otherwise provided in this section, in no case shall the ratio be less than one hour of apprentic e w
ork for every five hours of journeyman work.
(h) This ratio of apprentice work to journeyman work shall apply during any day or portion of a day wh en any
journeyman is employed at the jobsite and shall be computed on the basis of the hours worked dur
ing the day by journeymen so employed. Any work performed by a journeyman in excess of eight hours per day or 40 hours per week shall not be used to calculate the ratio. The contractor shall employ apprentices for the number of hours computed as above before the end of the contract or, in the case of a s
ubcontractor, before the end of the subcontract. However, the contractor shall endeavor, to the greatest extent possible, to employ apprentices during the same time period that the journeymen in the same craft or trade are employed at the jobsite. Where an hourly apprenticeship ratio is not feasible for a particular craft or trade, the Chief of the Division of Apprenticeship Standards, upon application of an apprenticeship pr
ogram, may order a minimum ratio of not less than one apprentice for each five journeymen in a craft or trade classification.
(i) A contractor covered by this section that has agreed to be covered by an apprenticeship program's standards upon the issuance of the approval certificate, or that has been previously approved for a n appr
enticeship program in the craft or trade, shall employ the number of apprentices or the ratio of apprentices to journeymen stipulated in the applicable apprenticeship standards, but in no event less than the 1-to-5 ratio required by subdivision (g).
(j) Upon proper showing by a contractor that he or she employs apprentices in a particular craft or trade i n
t
he state on all of his or her contracts on an annual average of not less than one hour of apprentice work for every five hours of labor performed by journeymen, the Chief of the Division of Apprenticeship 811
95 Standards may grant a certificate exempting the contractor from the 1-to-5 hourly ratio, as set forth in this section for that craft or trade.
(k) An apprenticeship program has the discretion to grant to a participating contractor or contractor association a certificate, which shall be subject to the approval of the Administrator of Apprenticeship, exempting the contractor from the 1-to-5 ratio set forth in this section when it finds that any one of the f
ollowing conditions is met:
(1) Unemployment for the previous three-month period in the area exceeds an average of 15 percent. (2) The number of apprentices in training in the area exceeds a ratio of 1 to 5. (3) There is a showing that the apprenticeable craft or trade is replacing at least one-thirtieth of its journeymen annually through apprenticeship training, either on a statewide basis or on a local basis. (4) Assignment of an apprentice to any work performed under a public works contract would create a c
ondition that would jeopardize his or her life or the life, safety, or property of fellow employees or th e p
ublic at large, or the specific task to which the apprentice is to be assigned is of a nature that training c
annot be provided by a journeyman.
(l) When an exemption is granted pursuant to subdivision (k) to an organization that represents contractors in a specific trade from the 1-to-5 ratio on a local or statewide basis, the member contractors shall not be required to submit individual applications for approval to local joint apprenticeship committees, if they are already covered by the local apprenticeship standards. (m)
(1) A contractor to whom a contract is awarded, who, in performing any of the work under the contrac t,
emp
loys journeymen or apprentices in any apprenticeable craft or trade shall contribute to the California Apprenticeship Council the same amount that the director determines is the prevailing amount o f appr
enticeship training contributions in the area of the public works site. A contractor may take as a credit for payments to the council any amounts paid by the contractor to an approved apprenticeship progra m t
hat can supply apprentices to the site of the public works project. The contractor may add the amount of the contributions in computing his or her bid for the contract. (2) At the conclusion of the 2002-03 fiscal year and each fiscal year thereafter, the California Apprenticeship Council shall distribute training contributions received by the council under this subdivision, less the expenses of the Division of Apprenticeship Standards for administering this subdivision, by making grants to approved apprenticeship programs for the purpose of tr aining apprentices. The funds shall be distributed as follows:
(A) If there is an approved multiemployer apprenticeship program serving the same craft or trade a nd geogr
aphic area for which the training contributions were made to the council, a grant to that program shall be made.
(B) If there are two or more approved multiemployer apprenticeship programs serving the same craft or trade and geographic area for which the training contributions were made to the council, the grant shall be divided among those programs based on the number of apprentices registered in each program. (C) All training contributions not distributed under subparagraphs (A) and (B) shall be used to defray th e f
uture expenses of the Division of Apprenticeship Standards. (3) All training contributions received pursuant to this subdivision shall be deposited in the Apprent iceship Training Contribution Fund, which is hereby created in the State Treasury. Notwithstan ding Section 1334
0 of the Government Code, all money in the Apprenticeship Training Contribution Fund is hereby c
ontinuously appropriated for the purpose of carrying out this subdivision and to pay the expenses of th e D
ivision of Apprenticeship Standards.
812
96 (n
) The body awarding the contract shall cause to be inserted in the contract stipulations to effectuate this section. The stipulations shall fix the responsibility of compliance with this section for all apprenticeabl e oc
cupations with the prime contractor.
(o) This section does not apply to contracts of general contractors or to contracts of specialty contractors not bidding for work through a general or prime contractor when the contracts of general contractors or those specialty contractors involve less than thirty thousand dollars ($30,000). (p) All decisions of an apprenticeship program under this section are subject to Section 3081.

L
abor Code Section 1776
Pay
roll record of wages paid; Inspection; Forms; Effect of noncompliance; Penalties (
a) Each contractor and subcontractor shall keep accurate payroll records, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employ ee
emp
loyed by him or her in connection with the public work. Each payroll record shall contain or be verified by
a written declaration that it is made under penalty of perjury, stating both of the following:
(1) The information contained in the payroll record is true and correct. (2) The employer has complied with the requirements of Sections 1771, 1811, and 1815 for any work performed by his or her employees on the public works project. (b) The payroll records enumerated under subdivision (a) shall be certified and shall be available for inspection at all reasonable hours at the principal office of the contractor on the following basis:
(1) A certified copy of an employee's payroll record shall be made available for inspection or furnished t o t
he employee or his or her authorized representative on request. (2) A certified copy of all payroll records enumerated in subdivision (a) shall be made available for inspection or furnished upon request to a representative of the body awarding the contract, the D ivision of Labor Standards Enforcement, and the Division of Apprenticeship Standards of the Department of Industrial Relations.
(3) A certified copy of all payroll records enumerated in subdivision (a) shall be made available upo n
r
equest by the public for inspection or for copies thereof. However, a request by the public shall be m ade t
hrough either the body awarding the contract, the Division of Apprenticeship Standards, or the Division of Labor Standards Enforcement. If the requested payroll records have not been provided pursuant to paragraph (2), the requesting party shall, prior to being provided the records, reimburse the costs of preparation by the contractor, subcontractors, and the entity through which the request was made. Th e
pub
lic may not be given access to the records at the principal office of the contractor. (c) The certified payroll records shall be on forms provided by the Division of Labor Standards Enforcement or shall contain the same information as the forms provided by the division. The payroll records may consist of printouts of payroll data that are maintained as computer records, if the printouts contain the same information as the forms provided by the division and the printouts are verified in th e
mann
er specified in subdivision (a).
(d) A contractor or subcontractor shall file a certified copy of the records enumerated in subdivision (a) with the entity that requested the records within 10 days after receipt of a written request. (e) Any copy of records made available for inspection as copies and furnished upon request to the public or any public agency by the awarding body, the Division of Apprenticeship Standards, or the Division of Labor Standards Enforcement shall be marked or obliterated to prevent disclosure of an individual's 813
97 name, address, and social security number. The name and address of the contractor awarded the contract or the subcontractor performing the contract shall not be marked or obliterated. Any copy of records made available for inspection by, or furnished to, a joint labor-management committee established pursuant to the federal Labor Management Cooperation Act of 1978 (29 U.S.C. Sec. 175a) shall be marked or obliterated only to prevent disclosure of an individual's name and socia l security number. A joint labor management committee may maintain an action in a court of competent jurisdiction against an employer who fails to comply with Section 1774. The court may award restitution to an employee for unpaid wages and may award the joint labor management committee reasonable attorney's fees and costs incurred in maintaining the action. An action under this subdivision may not be based on the employer's misclassification of the craft of a worker on its certified payroll records. Nothing in this subdivision limits any other available remedies for a violation of this chapter. (f) The contractor shall inform the body awarding the contract of the location of the records enumerat ed under
subdivision (a), including the street address, city, and county, and shall, within five working days, provide a notice of a change of location and address.
(g) The contractor or subcontractor has 10 days in which to comply subsequent to receipt of a writt en not
ice requesting the records enumerated in subdivision (a). In the event that the contractor or subcontractor fails to comply within the 10-day period, he or she shall, as a penalty to the state or political subdivision on whose behalf the contract is made or awarded, forfeit twenty-five dollars ($25) for each c
alendar day, or portion thereof, for each worker, until strict compliance is effectuated. Upon the request of the Division of Apprenticeship Standards or the Division of Labor Standards Enforcement, thes e pena
lties shall be withheld from progress payments then due. A contractor is not subject to a penal ty assessment pursuant to this section due to the failure of a subcontractor to comply with this section. (h) The body awarding the contract shall cause to be inserted in the contract stipulations to effectuate this section.
(i) The director shall adopt rules consistent with the California Public Records Act (Chapter 3. 5 (
commencing with Section 6250) of Division 7 of Title 1 of the Government Code) and the Information Practices Act of 1977 (Title 1.8 (commencing with Section 1798) of Part 4 of Division 3 of the Civil Code) gov
erning the release of these records, including the establishment of reasonable fees to be charged f or reproducing copies of records required by this section.

L
abor Code Section 1813
Penalty when workman required to work excess hours; Stipulation in contract; Cognizance and report of violations
The contractor or subcontractor shall, as a penalty to the state or political subdivision on whose behalf the contract is made or awarded, forfeit twenty-five dollars ($25) for each worker employed in the execution of the contract by the respective contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of this article. In awarding any contract for public work, the awarding body shall cause to be inserted in the contract a stipulation to this effect. The awarding body shall take cognizance of all violations of this article committed in the course of the execution of the contract, and shall report them to the Division of Labor Standards Enforcement.

Labor Code Section 1815
Work performed in excess of specified hour limitations; Compensation No
twithstanding the provisions of Sections 1810 to 1814, inclusive, of this code, and notwithstanding any stipulation inserted in any contract pursuant to the requirements of said sections, work performed by employees of contractors in excess of 8 hours per day, and 40 hours during any one week, shall be permitted upon public work upon compensation for all hours worked in excess of 8 hours per day at not less than 11/2 times the basic rate of pay.

814
98 APPENDIX “G”

PROJECT SIGNS
815
Example

CITY OF LYNWOOD

PUBLIC WORKS DEPARTMENT
CITYWIDE SLURRY SEAL (PHASE 3) PROJECT
FY 2023-2024
(PROJECT NO. 4011.XX.XXX)
FUNDING SOURCES: TBD
Oscar Flores
MAYOR
Rita Soto
Mayor Pro-Tem
Gabriela Camacho
Council Member
José Luis Solache
Council Member
Juan Muñoz-Guevara
Council Member
Ernie Hernandez
City Manager
816
99 APPENDIX “H”
Trash Collection Schedule
817
818
100
APPENDIX “I”

PLANS (CONTRACT DRAWINGS)
Project Title:

CITYWIDE SLURRY SEAL (PHASE 3) PROJECT
FY 2023-2024
Project Number: CITY OF LYNWOOD
819
GENERAL CONSTRUCTION NOTES:

SLURRY SEAL PROJECT- PHASE 3
FY 2023-2024

INFRASTRUCTURE

ENGINEERS

INDEX OF DRAWINGS
SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

TITLE SHEET AND GENERAL CONSTRUCTION NOTES
C-1

DEPARTMENT OF PUBLIC WORKS
820

AREA MAP

LOS ANGELES COUNTY
Project
Location

INFRASTRUCTURE
ENGINEERS SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

AREA MAP
C-2

NOT TO SCALE
821

CITY MAP

INFRASTRUCTURE
ENGINEERS SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

CITY MAP
C-3
822

INFRASTRUCTURE
ENGINEERS SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

LIST OF STREETS
C-4

LIST OF STREETS
823

INFRASTRUCTURE

ENGINEERS

TYPICAL SECTION
SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

TYPICAL SECTION
C-5
824

INFRASTRUCTURE
ENGINEERS SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

PROJECT LOCATION MAP
C-6
LEGEND:

MATCHLINE SEE C-7
825

INFRASTRUCTURE
ENGINEERS SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

PROJECT LOCATION MAP
C-7
MATCHLINE SEE C-6
LEGEND:

MATCHLINE SEE C-8
826

INFRASTRUCTURE
ENGINEERS SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

PROJECT LOCATION MAP
C-8
MATCHLINE SEE C-7
LEGEND:

MATCHLINE SEE C-9
827

INFRASTRUCTURE
ENGINEERS SLURRY SEAL PROJECT - PHASE 3 (FY 2023-2024)

PROJECT LOCATION MAP
C-9
MATCHLINE SEE C-8
LEGEND:
828
829
830
June 19, 2023
831
832

1.40 27,554.80
215.00
47,515.00
6,700.00
6,700.00
55,000.00
55,000.00
320.00
256,960.00
60,000.00
60,000.00
1,200.00
8,400.00
600.00
6,000.00
135,000.00
135,000.00
1,200.00
4,800.00
607,929.80
607,929.80
Six Hundred Seven Thousand Nine Hundred Twenty Nine Dollars and Eighty Cents 833

7.65%
Item 6
Crack Seal
998877
Rubberized Crackfiller Sealant, Inc.
800 E. Walnut Avenue, Fullerton, CA 92831
776306
Superior Pavement Markings, Inc.
5312 Cypress Street, Cypress, CA 90630
Item 9
Superior Pavement Markings

21.42%
834
June 19, 2023
835
836
837
838
839
840
841
842
843
844
845
846
847
848
849
850
851
852
853
854
855
June 19, 2023
856
857
858
859

AGENDA STAFF REPORT

DATE:

July 18, 2023
TO:

Honorable Mayor and Members of the City Council
APPROVED BY:

Ernie Hernandez, City Manager
PREPARED BY:

Maria Qiuinonez, City Clerk
Nancy Blinzler, Office Assistant
SUBJECT:

REVIEW OF BOARD, COMMISSION AND COMMITTEE MEMBERS &

ANNUAL BOARDS, COMMISSIONS AND COMMITTEES LOCAL

APPOINTMENT LIST
Agenda Item # 10.4.

Recommendation:

Staff recommends that the City Council review the list of Board and Commission members.

Currently there is one (1) vacancy on the Community Development Block Grant Board. The City Council may make any adjustments to these Boards and Commissions, as it deems appropriate, in accordance with the rules outlined below.

Background:

At its January 17, 2023 City Council meeting, members of the City Council made appointments to the various City of Lynwood Boards and Commissions.

Currently there is one
(1) vacancy to the Community Development Block Grant Board.

Discussion and Analysis:

Lynwood Municipal Code Subsection 2-12.4 specifies the appointment and term of members:
a. Candidates for appointment to the subsidiary public bodies shall be nominated by a council member and confirmed by a vote of the council. The appointed and confirmed candidates shall serve on the subsidiary public bodies to which they have been appointed until the earlier of:

1. A replacement is presented to the council for confirmation by the appointing council member,

2. The appointing council member's term in office has ended; or City Council City Council Regular Meeting 860
7-10-23 - APPOINTMENT LIST - MADDY ACT 2023.docx

3. The resignation of an appointee.
b. Members of subsidiary public bodies shall hold office until their successors are appointed, qualified and take office.

c. Any and all provisions of this code relating to terms of office for members of subsidiary public bodies are hereby repealed and shall be governed by the provisions of this section (Ord. #1584,
§1)
LMC Subsection 2-12.1 (a)(2) states "The city council may remove any member of any commission, board or committee at any time and without cause; provided, however, that any action of the city council to remove a member of the personnel board from office prior to the expiration of his term shall not be effective unless approved by at least four (4) councilmembers."
Fiscal Impact:

N/A
Coordinated With:

N/A
ATTACHMENTS:

Description
City Council City Council Regular Meeting 861
BOARD, COMMISSION AND COMMITTEE APPOINTMENTS LIST THROUGH DECEMBER 31, 2023 In compliance with the requirement of the Maddy Act, pursuant to Government Code Section 54972, the following is a list of the City of Lynwood’s Boards and Commission members whose terms run through December 31, 2023. The qualifications necessary to be appointed to a Board or Commission include being a resident of the City of Lynwood and at least 18 years of age. Appointment dates are shown following each name.

CDBG BOARD PUBLIC SAFETY/TRAFFIC
& PARKING COMMISSION

PERSONNEL BOARD PLANNING COMMISSION CITIZEN OVERSIGHT

COMMITTEE
Meets the 1st Wednesday of
each month at 6:00 p.m. in
designated location on an as
needed basis
Director: Gabriel Linares
Staff: Suzanne Trejo
Meets the 4th Thursday of each
month at 6:00 p.m. in
designated location on an as
needed basis
Director: Julian Lee
Staff: Dylan Watters
Meets the 3rd Thursday of
each month at 5:00 p.m. in
designated location
Director: Patrick Matson
Staff: Maria Salas
Meets the 2nd Tuesday of
each month at 6:00 p.m. in
designated location
Director: Gabriel Linares
Staff: Tom Fimbres
Meets the 4th Wednesday of
each month at 6:00 p.m. in
designated location
Director: Gabriel Linares
Staff: Suzanne Trejo

SYLVIA RAMIREZ
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Flores

FRANK CARRASCO
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Flores

DEONDRA TISDALE
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Flores

ARTURO RAMIREZ
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Flores

DANIEL SALAZAR
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Flores

CHRISTOPHER ACOSTA
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Pro Tem Soto

EFREN LOPEZ
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Pro Tem Soto

ROSEMILLIE LOPEZ
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Pro Tem Soto

KENNETH WEST
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Pro Tem Soto

ANDREA LOPEZ
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Mayor Pro Tem Soto
VACANT
Appointment Date: 7/18/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Camacho

ERICA PARADA
Appointment Date: 2/21/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Camacho

LILIANA DELGADILLO
Appointment Date: 1/17/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Camacho

JORGE DIAZ
Appointment Date: 1/17/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Camacho

JULIAN DEL REAL-

CALLEROS
Appointment Date: 1/17/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Camacho

MARICRUZ SANCHEZ
Appointment Date: 5/2/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Munoz-
Guevara

ROWLAND BECERRA
Appointment Date: 12/20/2022
Term Expires: 12/31/2023
Appointed by:

Council Member Munoz-
Guevara

LINDA GEORGE
Appointment Date: 2/21/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Munoz-
Guevara

LORRAINE MOORE
Appointment Date: 12/20/2022
Term Expires: 12/31/2023
Appointed by:

Council Member Munoz-
Guevara

JACKIE ESPINOZA-
CHAVEZ
Appointment Date: 2/21/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Munoz-
Guevara

YOLANDA RODRIGUEZ-

GONZALEZ
Re-Appointment Date:
1/17/2023
Term Expires: 12/31/2023
Appointed by:

Council Member Solache

JOE BATTLE
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Council Member Solache

GARY HARDIE
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Council Member Solache

ROBERT GOMEZ
Re-Appointment Date:
5/2/2023
Term Expires: Until Further
Notice
Appointed by:

Council Member Solache

BRENDA RIVERA
Re-Appointment Date:
12/20/2022
Term Expires: 12/31/2023
Appointed by:

Council Member Solache
Updated: 7/10/23
862