City of Maywood
Required Supplementary Information
Year Ended June 30, 2021
Notes to the Schedule of Plan Contributions
Valuation Date: 6/30/2013, 6/30/2014, 6/30/2015, 6/30/2016, 6/30/2017, 6/30/2018 and 6/30/2019 *Fiscal year 2015 was the first year of implementation; therefore, 10 years of information are not yet available.
Contributions in
Relation to the Contributions
Contractually Contractually Contribution as a % of
Required Required Deficiency/ Covered Covered
Fiscal Year Contributions Contributions (Excess) Payroll Payroll 2021 1,531,749 $ (1, $ 531,749) $ 1, - $ 105,203 138.59% 2020 1,416,553 (1,416,553) 1, - 106,050 128.07%
2019 1,248,422 (1,248,422) - 997,883 125.11%
2018 1,093,578 (1,093,578) - 877,685 124.60%
2017 982,289 (982,289) - 799,045 122.93%
2016 366,079 (366,079) - 475,533 76.98%
2015 756,562 (49,725) 706,837 472,905 159.98%
Schedule of Plan Contributions
Last 10 Years*
39
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 6,490,000 $ 6,490,000 $ 10,310,638 $ 3,820,638 $
Licenses and Permits 595,000 595,000 507,837 (87,163)
Intergovernmental 2,930,000 2,930,000 3,304,467 374,467 Charges for Services 152,400 152,400 213,203 60,803
Use of Money and Property 120,000 120,000 107,442 (12,558) Fines and Forfeitures 277,500 277,500 471,798 194,298
Miscellaneous 32,300 32,300 130,250 97,950
Total Revenues 10,597,200 10,597,200 15,045,635 4,448,435
EXPENDITURES
Current:
General Government 2,026,099 2,530,674 4,118,530 (1,587,856) Public Safety 6,272,382 6,272,382 6,164,813 107,569
Community Development 1,257,728 1,593,983 1,539,078 54,905 Parks and Recreation 456,114 481,114 341,971 139,143
Capital Outlay 300,000 300,000 201,470 98,530
Debt Service:
Principal 70,000 70,000 70,000 -
Interest and Fiscal Charges 183,750 183,750 181,796 1,954 Total Expenditures 10,566,073 11,431,903 12,617,658 (1,185,755) Excess (Deficiency) of Revenues
Over Expenditures 31,127 (834,703) 2,427,977 3,262,680
OTHER FINANCING SOURCES (USES)
Transfers In 587,000 587,000 - (587,000)
Transfers Out - - - -
Total Other Financing Sources (Uses) 587,000 587,000 (587,000) - Change in Fund Balances 618,127 (247,703) 2,427,977 2,675,680 Fund Balances - Beginning of Year 3,744,446 3,744,446 3,744,446 - Fund Balances - End of Year $ 4,362,573 $ 3,496,743 $ 6,172,423 $ 2,675,680 Budgeted Amounts
City of Maywood
Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual - General Fund
Year Ended June 30, 2021
40
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 701,696 $ 701,696 $ 1,128,487 $ 426,791 $
Use of Money and Property - - 3,781 3,781
Total Revenues 701,696 701,696 1,132,268 430,572
EXPENDITURES
Current:
Public Works 1,563,112 1,563,112 1,875,937 (312,825)
Total Expenditures 1,563,112 1,563,112 1,875,937 (312,825) Excess (Deficiency) of Revenues
Over Expenditures (861,416) (861,416) (743,669) 117,747 Change in Fund Balances (861,416) (861,416) (743,669) 117,747 Fund Balances - Beginning of Year 2,666,443 2,666,443 2,666,443 - Fund Balances - End of Year 1,805,027 $ 1,805,027 $ 1,922,774 $ 117,747 $ City of Maywood
Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual - Gas Tax Special Revenue Fund
Year Ended June 30, 2021
Budgeted Amounts
41
City of Maywood
Notes to Required Supplementary Information
Year Ended June 30, 2021
BUDGETS AND BUDGETARY DATA
Before the beginning of the fiscal year, the Finance Director submits to the City Council a proposed budget for the year commencing the following July 1st. Public hearings are then conducted to obtain taxpayer comments and the budget is subsequently adopted through passage of a resolution.
All appropriated amounts are as originally adopted or as amended by the City Council and lapse at year-end.
Encumbrances and continuing appropriations are rebudgeted on July 1st by Council action. Original appropriations may be modified by supplementary budget revisions and transfers among budget categories. The City Council approves all budget changes at the department level. The Finance Director is authorized to make budget transfers within departments. There were no significant budget amendments during the fiscal year.
Formal budgetary integration is employed as a management control device during the year for the general fund, and certain special revenue, debt service and capital projects funds. Budgets for these funds are adopted on a basis consistent with generally accepted accounting principles. 42
SUPPLEMENTARY INFORMATION
City of Maywood
Nonmajor Governmental Funds
Year Ended June 30, 2021
SPECIAL REVENUE FUNDS
Prop 1B - To account for the revenues and expenditures of Prop 1B activities.
Bikeway Grant - To account for the revenues and expenditures of the City's share of Transportation Development Act allocations restricted for design and construction of pedestrian and bicycle facilities and amenities.
Proposition C - To account for the revenues and expenditures of the City’s proportionate share of funds from the Los Angeles County Metropolitan Transportation Authority funded by the ½ cent sales tax measure to be used for eligible project expenditures (such as management programs, bikeways and bike lanes, and pavement management systems).
Section 108 Loan - To account for revenues and expenditures related to the HUD Section 108 Loan.
Air Quality (AB2766/AQMD) - To account for the revenues and expenditures related to air pollution mitigation efforts.
STPL Local Fund - To account for the revenues and expenditures for local non-arterial street improvement projects.
Measure R - To account for the revenues received from Los Angeles County under Measure R that are to be used exclusively for transportation projects and improvements.
Proposition A - To account for the revenues and expenditures of the City's proportionate share of funds from the Metropolitan Transportation Authority funded by the ½ cent sales tax measure to be used exclusively to benefit public transit (such as fixed route and paratransit services and transportation demand management).
Measure M - To account for the “half-cent” local return revenues from the County-wide sales tax administered by Metro. These funds are to be used to pave local streets, potholes and traffic signals.
Public Safety Grants - To account for the revenues and expenditures of the City's grant funds to provide knowledge, resources products, and learning for police personnel.
CDBG - To account for the revenues and expenditures of the City’s proportionate share of funds from the Housing and Community Development Authority for street improvements, housing programs and incentives, sidewalk repair program, fair housing, code enforcement, and other related projects.
Street Lighting - To account for the revenues of the City's special assessments and expenditures relating to lighting improvements.
Measure W – To account for the revenues provided through the 2.5 cent parcel tax administered by the L.A. County Flood Control District.
Sewer Assessment – To account for assessments used to pay for the operation and maintenance of the City’s sewer system.
CAPITAL PROJECTS FUNDS
Street Projects Capital Projects Fund – To account for the revenues and expenditures funded by grants for street related projects.
43
Bikeway Section 108 Air Quality
Prop 1B Grant Proposition C Loan Improvement
ASSETS
Cash and Investments $ 35,359 - $ $ 662,326 $ 4,171 $ 113,765 Receivables:
Due from Other Governments - - - - 9,265
Interest - 3 227 - 9
Prepaid Costs - - - - 1,500
Total Assets $ 35,362 - $ $ 662,553 $ 4,171 $ 124,539
LIABILITIES
Accounts Payable $ - - $ 1,000 $ - $ 1,500 $
Accrued Liabilities - - 1,309 - -
Due to Other Funds - - - - -
Total Liabilities - - 2,309 - 1,500
FUND BALANCES
Nonspendable - - - - 1,500
Restricted - 35,362 660,244 4,171 121,539
Unassigned - - - - -
Total Fund Balances 35,362 - 660,244 4,171 123,039
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $ 35,362 - $ $ 662,553 $ 4,171 $ 124,539 City of Maywood
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2021
Special Revenue
44
STPL Public Safety
Local Fund Measure R Proposition A Measure M Grants CDBG $ 1,199,077 - $ 190,457 $ 1,090,928 $ - $ - $
- - - - - 64,253
416 - - 406 - -
- - - - - -
$ 1,199,493 - $ $ 190,457 $ 1,091,334 $ 64,253 - $
$ 7,238 - $ 35,051 $ 4,898 $ - $ 22,632 $
719 - - 21,757 - 3,042
- - - - - 36,328
7,957 - 35,051 26,655 - 62,002
- - - - - -
1,191,536 - 155,406 1,064,679 - 2,251
- - - - - -
1,191,536 - 155,406 1,064,679 - 2,251
$ 1,199,493 - $ $ 190,457 $ 1,091,334 $ 64,253 - $
CONTINUED
Special Revenue
45
Capital Projects
Street Sewer
Lighting Measure W Assessment Street Projects Total
ASSETS
Cash and Investments $ 354,828 $ 148,794 - $ $ 3,835,443 35,738 $ Receivables:
Due from Other Governments 4,203 - 22,693 - 100,414
Interest 651 - - - 1,712
Prepaid Costs - - - - 1,500
Total Assets 359,682 $ $ 171,487 - $ $ 35,738 $ 3,939,069
LIABILITIES
Accounts Payable $ - 27,646 $ 13,085 $ - $ 113,050 $
Accrued Liabilities - 308 15,728 1 42,864
Due to Other Funds - - - - 36,328
Total Liabilities - 27,954 28,813 1 192,242
FUND BALANCES
Nonspendable - - 1,500
Restricted 331,728 - 142,674 35,737 3,745,327
Unassigned - - - - -
Total Fund Balances - 331,728 142,674 35,737 3,746,827
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $ 359,682 $ 171,487 - $ $ 35,738 $ 3,939,069 Special Revenue
City of Maywood
Combining Balance Sheet
Non-Major Governmental Funds - Continued
June 30, 2021
46
Bikeway Section 108 Air Quality
Prop 1B Grant Proposition C Loan Improvement
REVENUES
Taxes - $ - $ 466,806 $ - $ - $
Intergovernmental Revenue - - - - -
Charges for Services - - - - 36,437
Use of Money and Property 23 - 1,720 497 63
Fines and Forfeitures - - - - -
Miscellaneous - - - - -
Total Revenues - 23 468,526 497 36,500
EXPENDITURES
Current:
General Government - - - - -
Public Safety - - - - -
Community Development - - 40,856 - -
Parks and Recreation - - - - -
Public Works - - - - -
Capital Outlay - - 2,975 - -
Total Expenditures - - 43,831 - -
Excess (Deficiency) of Revenues
Over Expenditures - 23 424,695 497 36,500
OTHER FINANCING SOURCES (USES)
Transfers In - - - - -
Transfers Out - - - - -
Total Other Financing Sources (Uses) - - - - -
Net Change in Fund Balances 23 - 424,695 497 36,500
Fund Balances, Beginning of Year 35,339 - 235,549 3,674 86,539 Fund Balances, End of Year $ 35,362 - $ $ 660,244 $ 4,171 $ 123,039 Special Revenue
City of Maywood
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
Year Ended June 30, 2021
47
STPL Public Safety
Local Fund Measure R Proposition A Measure M Grants CDBG $ 350,589 - $ 562,780 $ - $ - $ - $
- - - 397,231 156,727 299,190
- - - - - -
3,040 - 137 2,976 - -
- - - - - -
- - - - - -
353,629 - 562,917 400,207 156,727 299,190
- - - - - -
- - - - 156,727 -
- - - - - 287,265
- - - - - -
7,691 - 412,526 25,954 - -
8,450 - - 184,682 - 2,188
16,141 - 412,526 210,636 156,727 289,453
337,488 - 150,391 189,571 - 9,737
- - - - - -
- - - - - -
- - - - - -
337,488 - 150,391 189,571 - 9,737
854,048 - 5,015 875,108 (7,486) -
$ 1,191,536 - $ $ 155,406 $ 1,064,679 $ - $ 2,251
CONTINUED
Special Revenue
48
Capital Projects
Street Sewer
Lighting Measure W Assessment Street Projects Total
REVENUES
Taxes - $ - $ 290,062 $ - $ 1,670,237 $
Intergovernmental Revenue - - - - 853,148
Charges for Services 178,164 - 544 - 215,145
Use of Money and Property - 4,625 - - 13,081
Fines and Forfeitures - - - - -
Miscellaneous - - - - -
Total Revenues 182,789 - 290,606 - 2,751,611
EXPENDITURES
Current:
General Government - - - - -
Public Safety - - - - 156,727
Community Development - - - - 328,121
Parks and Recreation - - - - -
Public Works 210,556 - 2,550 1 659,278
Capital Outlay - 61,138 276,655 - 536,088
Total Expenditures 271,694 - 279,205 1 1,680,214
Excess (Deficiency) of Revenues
Over Expenditures (88,905) - 11,401 (1) 1,071,397
OTHER FINANCING SOURCES (USES)
Transfers In - - - - -
Transfers Out - - - - -
Total Other Financing Sources (Uses) - - - - -
Net Change in Fund Balances - (88,905) 11,401 (1) 1,071,397 Fund Balances, Beginning of Year - 420,633 131,273 35,738 2,675,430 Fund Balances, End of Year $ 331,728 $ 142,674 - $ $ 35,737 $ 3,746,827 Special Revenue
City of Maywood
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
Year Ended June 30, 2021
49
Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards City Council
City of Maywood
Maywood, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, each major fund and the aggregate remaining fund information of the City of Maywood (City), as of and for the year ended June 30, 2021, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements, and have issued our report thereon dated February 4, 2022.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected, on a timely basis. We consider the deficiency described in the accompanying schedule of findings and responses as item 2021-003 to be a material weakness.
A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. We consider the deficiencies described in the accompanying schedule of findings and responses as items 2021-001 and 2021-002 that we consider to be significant deficiencies.
1
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion.
The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.
City of Maywood’s Responses to Findings
The City’s responses to the findings identified in our audit are described in the accompanying schedule of findings and responses. The City’s responses were not subjected to the auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on them.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the organization’s internal control and compliance.
Accordingly, this communication is not suitable for any other purpose.
February 4, 2022
2
CITY OF MAYWOOD
SCHEDULE OF FINDINGS AND RESPONSES
Year Ended June 30, 2021
2021-001 Accuracy of Accounting Records
Condition:
While performing audit procedures, we identified and proposed several material adjusting entries to the City’s accounting records. Furthermore, Statements on Auditing Standards No. 115, ”Communicating Internal Control Related Matters Identified in an Audit” states that “indicators of material weaknesses in internal control include: identification by the auditor of a material misstatement of the financial statements under audit in circumstances that indicate the misstatement would not have been detected by the entity’s internal control.” Criteria:
The City’s management is responsible for establishing and maintaining effective internal controls over financial reporting to help ensure that appropriate goals and objectives are met. This responsibility includes the selection and application of accounting principles, ensuring that financial information is reliable and properly recorded, and evaluating and monitoring ongoing activities.
Cause of Condition:
Adjustments identified through the audit process.
Recommendation:
Therefore, in order to maintain the integrity of the accounting and financial reporting system, and to ensure timely reporting, we recommend that all balance sheet accounts and other selected accounts be analyzed on a monthly, quarterly or other periodic basis as appropriate. We suggest a schedule of accounting functions to be performed monthly, quarterly, etc., be prepared with the provision for signing off by date and initials when the procedure is complete.
Views of Responsible Officials:
Management concurs with the auditor’s recommendations. Finance will review balance sheet accounts on a monthly basis. At year end the Finance Director will also review the major balance sheet accounts. Finance will maintain an annual year-end close checklist that will be signed off as completed.
3
CITY OF MAYWOOD
SCHEDULE OF FINDINGS AND RESPONSES
Year Ended June 30, 2021
2021-002 Issuance of Building Permits
The following is a continuation from the prior year:
Condition:
The City’s building permit system is an HdL permit software, separate from the City’s general ledger accounting system. Payments for building permits are collected by the cashiers through the cash receipting system. The fees are calculated by the Building Official and the applicant must pay at the cashier. However, there is no reconciliation being done between the permits issued and the revenues collected and posted to the general ledger for building permits.
Criteria:
In a strong internal control environment, permits issued should be reconciled with the revenues collected and recorded in the general ledger on a periodic basis to verify all permits issued have a corresponding cash receipt.
Cause of Condition:
The City does not reconcile the building permits issued to the revenues collected and recorded in the general ledger.
Potential Effect of Condition:
Building permits could be issued without a corresponding cash receipt being recorded in the City’s general ledger and deposit in the City’s bank account.
Recommendation:
We recommend the City implement a procedure to generate reports from the building permit module, periodically (daily, weekly, monthly) and have someone independent of the permit issuance and collection functions review and reconcile the amounts from these reports to the revenues posted in the City’s general ledger.
Views of Responsible Officials:
The City will begin to develop a plan to reconcile the building permits issue to the revenues collected and recorded to the general ledger.
4
CITY OF MAYWOOD
SCHEDULE OF FINDINGS AND RESPONSES
Year Ended June 30, 2021
2021-003 Parking Citations and Permits Collections
Condition:
During the course of our audit we evaluated various revenue accounts in the City’s general ledger and analyzed variances to the prior year and other expectations. While performing these procedures we noted that parking citations and parking permit revenues were below our expectations and, based on review of invoices from the contracted parking citation and permit collection administrator (third-party vendor) we noted that a significant number of permits and citations were issued by the City. Upon further inquiry with City staff, we found that the third-party vendor had not submitted more than $330,000 in fees collected to the City.
Criteria:
In a strong internal control environment, City staff should periodically evaluate (monthly, quarterly, etc.) and monitor general ledger balances as well as year-to-date budget to actual reports to determine any discrepancies and unusual variances in expected activity.
Cause of Condition:
Third-party vendor did not remit payments collected on the City’s behalf in a timely manner and budget-to-actual comparisons were not sufficient to identify the decrease in parking citation and parking permit revenues.
Potential Effect of Condition:
The ability to identify and detect material misstatements to the City’s accounting records in a timely manner is reduced.
Recommendation:
We recommend the City implement a procedure to perform detailed review and analysis of budget-to-actual reports on a period basis throughout the year and at year-end to ensure timely identification of any unusual variances in the City’s general ledger.
Views of Responsible Officials:
The City will develop a procedure to reconcile the parking citations and permits issued to the revenues collected and recorded to the general ledger. Finance will also review budget-to-actuals throughout the year on a monthly basis and at year end to identify any potential variances in the general ledger.
5
February 4, 2022
City Council
City of Maywood
Maywood, CA
We have audited the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the City of Maywood for the year ended June 30, 2021. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance, as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our letter to you dated November 2, 2021. Professional standards also require that we communicate to you the following information related to our audit.
Significant Audit Findings
Qualitative Aspects of Accounting Practices
Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the financial statements.
No new accounting policies were adopted and the application of existing policies was not changed during the fiscal year. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.
Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the financial statements were:
Management’s estimate of the fair value of investments is based on information provided by financial institutions. We evaluated the key factors and assumptions used to develop the fair value of investments in determining that it is reasonable in relation to the financial statements as a whole.
1
Management’s estimate of capital assets depreciation is based on historical estimates of each capitalized item’s useful life. We evaluated key factors and assumptions used to develop the estimated useful lives in determining that they are reasonable in relation to the financial statements as a whole.
Management’s estimates for the net pension and total OPEB liabilities is based on actuarial information provided by the California Public Employee Retirement System’s (CalPERS) actuarial office, and other sources. We evaluated the key factors and assumptions to develop these liabilities are reasonable in relation to the financial statements as a whole.
Certain financial statement disclosures are particularly sensitive because of their significance to financial statement users. The most sensitive disclosures affecting the financial statements were:
The disclosure of the fair value of investments in Note 2 to the financial statements represents amounts susceptible to market fluctuation.
The disclosure of accumulated depreciation in Note 4 to the financial statements is based on estimated useful lives which could differ from actual useful lives of each capitalized item.
The disclosures for the net pension and total OPEB liabilities in Notes 8 and 9 to the financial statements are based on assumptions for discount rates, which could differ from actual experience. The notes disclose the differences in these liabilities if different assumptions are used in estimating these liabilities.
Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.
Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. The following material misstatements detected as a result of audit procedures were corrected by management:
(1) Adjustments were made to revenues and receivables at year-end.
Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor’s report. We are pleased to report that no such disagreements arose during the course of our audit.
2
Management Representations
We have requested certain representations from management that are included in the management representation letter dated February 4, 2022.
Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the City’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.
Other Audit Findings or Issues
We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.
Findings and Recommendations:
In addition to our audit opinion on the financial statements, we issued our “Independent Auditor’s Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards” dated February 4, 2022, in which we identified material weaknesses and significant deficiencies in internal controls.
Other Matters
We applied certain limited procedures to the required supplementary information, as listed in the City’s financial statements, which are required supplementary information (RSI) that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.
We were engaged to report on the supplementary information (e.g., budgetary schedules, combining statements, individual fund statements), which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves. 3
Restrictions on Use
This information is intended solely for the use of the City Council and management of the City and is not intended to be, and should not be, used by anyone other than these specified parties.
Very truly yours,
4
AGENDA REPORT
CITY OF MAYWOOD
AGENDA ITEM NO. 8.
DATE: March 23, 2022
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: JENNIFER VASQUEZ, CITY MANAGER
BY: JENNIFER VASQUEZ, CITY MANAGER
SUBJECT: CONSIDERATION OF APPROVING RESOLUTION NO. 6229 OF THE CITY COUNCIL
OF THE CITY OF MAYWOOD APPROVING THE ALLOCATION OF PERMANENT
LOCAL HOUSING ALLOCATION PROGRAM FUNDS AND AUTHORIZING THE
MAYOR TO EXECUTE THE CONTRACT FOR FUNDING
RECOMMENDATION:
Staff recommends that the City Council consider adopting Resolution No. 6229 to approve an allocation of $70,000 in FY 2020-2021 Permanent Local Housing Allocation Program Funds for the Shelter Beds within the Salvation Army Bell Shelter and authorizing the mayor to execute a contract for funding.
BACKGROUND:
The City is a participating city of the Los Angeles County Development Authority (LACDA) as such LACDA implements CDBG activities for the City. In 2020, LACDA applied for a grant from the California Department of Housing and Community Development’s (HCD) Permanent Local Housing Allocation (PLHA) Program. The LACDA was awarded its annual allocation and includes allocations for its qualifying participating cities.
Maywood’s FY 2020-2021 Year 1 allocation is $256,740.00.
On October 14, 2020, the City Council approved and adopted Resolution No. 6147 to allocate the PLHA funds for the COVID-19 Rental Assistance Program. However, LACDA subsequently informed the City that the HCD has recommended that cities refer tenants to the California COVID-19 Rent Relief Program for rent and utility grant assistance. The $256,740.00 is available for reallocation to other eligible activities.
DISCUSSION:
During the past year, the City has participated in a cooperative working group of eight (8) cities within the Gateway Cities Council of Governments for subregional homeless services coordination. The City of Maywood is a participant in the Los Angeles County Coordinated Entry System (County CES) which provides shelter beds for individuals experiencing homelessness in L A County. However, the availability of shelter beds is often inaccessible to the unhoused in the City of Maywood, due to the high demand within the Southeast Los Angeles subregion.
The Shelter Beds within the Salvation Army Bell Shelter program has been developed to offer the Southeast Los Angeles participating cities access to shelter beds for the unhoused living in the local community. This is a pilot program that will provide four (4) shelter beds per city. The City of Bell, as designated lead agency for the participating cities, has negotiated a Reimbursement Agreement with the Salvation Army to procure prioritized use of thirty-six (36) beds with an equal distribution of costs to be paid by the 8 cities.
A Reimbursement Agreement for Shelter Beds within the Salvation Army Bell Shelter is being presented for City Council consideration as a separate Agenda Item. Under the proposed Reimbursable Agreement, the City of Maywood’s shared cost is $62,415.50. The original total cost of the program was $999,324.00, which has been reduced to $499,324.00 upon a grant award of $500,000.00 in Measure H Innovation Funds from the Gateway Cities Council of Governments.
It is recommended that $70,000.00 of the FY 2020-2021 Year 1 PLHA allocation be used for the Shelter Beds within the Salvation Army Bell Shelter program. The allocation includes $62,415.50 for the Shelter Beds and $7,584.50 for City staff and PLHA program administration/reporting costs for a total amount of $70,000.00.
The Shelter Beds with the Salvation Army Bell Shelter program meets the PLHA eligibility criteria for assisting persons who are experiencing or at risk of homelessness, including, but not limited to, providing rapid rehousing, rental assistance, supportive/ease management services that allow people to obtain and retain housing, operating and capital costs for navigation centers and emergency centers, and new construction rehabilitation, and preservation of permanent and transitional programs using PLHA funds.
LEGAL REVIEW:
The City Attorney has reviewed this report.
FISCAL IMPACT:
The City will allocate $70,000 of the Year 1 PLHA funds for the City’s share of the Reimbursement Agreement for Shelter Beds within the Salvation Army Bell Shelter, and for City personnel and PLHA administration/reporting costs. The FY 2021-2022 Budget will need to be amended to add $14,000 in PLHA funds for the initial three (3) months. The remaining $56,000 will be incorporated into the Fiscal Year 2022- 2023 City Budget. The PLHA Program does not impact the City’s General Fund budget. A budget amendment is needed in the Grant Special revenue Fund.
F.Y. 21-22 Impact: $14,000 Current F.Y. Budget: $0
Fund Impacted: Grant Special Revenue Budget adjustment requested: $14,000 Source of funds: PLHA Updated Account Budget: $14,000
Account Number: 27-614-5430 For fiscal year: FY 21-22
ATTACHMENT(S)
1. 2020-0015-01-2020-2021 PERMANENT LOCAL HOUSING ALLOCATION (PLHA) PROGRAM FOR
URBAN COUNTY PARTICIPATING CITIES
AGENDA ITEM No. 8.
RESOLUTION NO. 6229
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MAYWOOD APPROVING PARTICIPATION IN THE LOS ANGELES
URBAN COUNTY PERMANENT LOCAL HOUSING ALLOCATION
PROGRAM BY AUTHORIZING THE MAYOR TO SIGN A CONTRACT
FOR FUNDING FOR THIS PROGRAM FROM THE COUNTY OF LOS
ANGELES
WHEREAS, the City of Maywood desires to participate in the Los Angeles Urban County Permanent Local Housing Allocation (PLHA) Program; and
WHEREAS, the City Council previously adopted Resolution No.6147 on October 14, 2020 approving the allocation of $256,740.00 in FY 2020-2021 PLHA funds for the Rental Assistance Program to provide rent relief to residents affected by the COVID-19 pandemic; and
WHEREAS, the Los Angeles County Development Authority (LACDA) has notified the City that rental assistance is available through the California COVID-19 Rent Relief Program and PLHA funds may be used instead for other eligible activities and programs; and
WHEREAS, the City plans to participate in the Shelter Beds within the Salvation Army Bell Shelter program to address the impact of homelessness by securing access to shelter beds for the unhoused in the local community; and WHEREAS, the cost of funding Shelter Beds within the Salvation Army Bell Shelter will be shared between eight (8) cities in the Southeast Los Angeles subregion in the amount of $62,415.50 per individual city; and WHEREAS, the PLHA funds will be used for the Shelter Beds within the Salvation Army Bell Shelter ($62,415.50) and City staff and program administration/reporting costs ($7,584.50) for a total amount of $70,000.00; and WHEREAS, the City authorizes the execution of a contract with the County of Los Angeles in order to receive said PLHA funds.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MAYWOOD DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:
SECTION 1. The recitals set forth above are true and correct and incorporated herein as if set forth in full.
SECTION 2. The City Council approves assisting persons who are experiencing or at risk of homelessness, including, but not limited to, providing rapid rehousing, rental assistance, supportive/ease management services that allow people to obtain and retain housing, operating and capital costs for navigation centers and emergency centers, and new construction rehabilitation, and preservation of permanent and transitional programs using PLHA funds.
SECTION 3. The City Council approves the allocation of $70,000.00 in FY 2020-2021 PLHA funds for the Shelter Beds within the Salvation Army Bell Shelter Program.
SECTION 4. The City Council authorizes the Mayor to execute a contract with the County of Los Angeles in order to fund and receive the PLHA funds and also authorizes the City Manager to execute any and all other documents necessary for participation in the Los Angeles Urban County PLHA Program on behalf of the City of Maywood.
SECTION 5. This Resolution shall be effective immediately upon its passage and approval.
SECTION 6. The City Clerk shall certify to the passage and adoption of this Resolution and shall enter it into the book of original resolutions.
PASSED, APPROVED AND ADOPTED THIS 23rd day of March, 2022. _______________________
Heber Marquez, Mayor
ATTEST: APPROVED AS TO FORM:
____________________________ ___________________________ Shirley Quiñones, Deputy City Clerk Roxanne Diaz, City Attorney
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES )
CITY OF MAYWOOD )
I, Shirley Quiñones , Deputy City Clerk of the City Council of the City of Maywood, do hereby certify that foregoing Resolution No. 6229 was duly passed and adopted by the City Council of the City of Maywood, at a regular meeting of the City Council held on the 23rd day of March, 2022 by the following roll call vote, to wit:
AYES:
NAYES:
ABSENT:
ABSTAINED:
_____________________________
Shirley Quiñones, Deputy City Clerk
AGENDA REPORT
CITY OF MAYWOOD
AGENDA ITEM NO. 9.
DATE: March 23, 2022
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: JENNIFER VASQUEZ, CITY MANAGER
BY: JENNIFER VASQUEZ, CITY MANAGER
SUBJECT: CONSIDERATION OF APPROVING A REIMBURSEMENT AGREEMENT WITH THE
CITY OF BELL FOR SHELTER BEDS WITHIN THE SALVATION ARMY, BELL
SHELTER
RECOMMENDATION:
Staff recommends that the City Council approve in form the Reimbursement Agreement with the City of Bell for Shelter Beds within the Salvation Army Bell Shelter, with the understanding that the final term length and the final cost will be updated in a final agreement to reflect the actual parties that will be participating in the program and subject to the final form approved by the City Attorney and City Manager. The actual start date of the pilot program is dependent on the execution of this Agreement by the parties to the pilot program and the availability of shelter beds in the Salvation Army Bell Shelter based on Los Angeles County Department of Public Health guidance for homeless shelters.
BACKGROUND:
Maywood, according to the last point-in-time count (January 2020) of the unsheltered homeless, is 47 individuals. The City and several neighboring cities (Bell, Commerce, and Cudahy) have recently received an Innovation Grant for a shared homeless services liaison to assist in connecting the homeless population with available County resources. Despite this outreach and the use of LA-HOP, we still find the need to offer immediate temporary housing. Maywood, like all cities in the County, has unhoused individuals sleeping within our parks and right-of-way areas. City staff works with various County departments and homeless outreach partners to assist these individuals.
Our outreach, however, is limited as we do have to stay within our limits as dictated by the 2018 Ninth Circuit Court decision in Martin v. Boise. The court found that a city cannot prosecute homeless individuals for sleeping in public when there are more unhoused individuals than available shelter beds. As a result, to execute sanitation cleanups and maintain public health and safety, cities need to develop systems of coordination where city staff knows when and how many shelter beds are available and have the resources to be able to provide shelter options to unhoused individuals that are affected by sanitation cleanups. In addition, it is critical that public safety agencies know how many shelter beds are available to them, and public safety agencies need access to shelter beds on an emergency basis. If a Sheriff's Deputy encounters an individual in need during the night or on the weekend, the opportunity for that person to receive care and shelter, if they are willing to accept shelter, may be lost if the Deputy does not have access to a shelter bed for that individual. If the willing unhoused individual can be provided a shelter bed, their options for accessing medical care, mental health care, drug, and alcohol counseling, and permanent housing are significantly improved.
The City of Maywood is a participant in the regional Continuum of Care (CoC) system that provides shelter beds for all of Los Angeles County under LAHSA’s Coordinated Entry System (County CES). For unhoused individuals to receive a shelter bed and the attendant services that accompany temporary shelter housing, such as: drug and alcohol counseling, health care and mental health services, employment services, benefits advocacy, and permanent housing placement, the shared Homeless Services Liaison of the cities of Bell, Commerce, Cudahy, and Maywood must request assistance and be assigned an available shelter bed from the County CES system. Without an available bed in the County CES system, unhoused individuals are not able to receive services or shelter. The CoC system faces a demand level for shelter beds that are not met with the existing inventory, as many cities do not provide shelter beds within their city limits.
The Salvation Army Bell Shelter is located adjacent to the City, in the City of Bell and the shelter receives unhoused residents from the regional CoC system. The Bell Shelter is one of the largest shelters in the nation, and the shelter provides a significant portion of the region’s shelter beds. The Salvation Army Bell Shelter complex provides a variety of supportive services and housing options. Shelter beds are only one segment of the critical regional resources that the Salvation Army provides within the City of Bell. The shelter beds at the Salvation Army Bell Shelter are funded through contracts with agencies such as LAHSA, the Veterans Administration, and the Los Angeles County Department of Mental Health (DMH). Existing contracts provide most of the operations revenue for the Salvation Army Bell Shelter, and without these contracts, the shelter would not be able to operate. The City of Maywood does not currently have a separate contract for shelter beds at the Bell Shelter. Therefore, the City’s only available resource to serve unhoused individuals is the overburdened CoC system, which limits the City’s ability to directly address local homelessness issues.
DISCUSSION:
The LCA1 cities and unincorporated areas (Bell, Bell Gardens, Commerce, Cudahy, East Los Angeles, Huntington Park, Maywood, South Gate, Vernon, and Walnut Park) surrounding the Salvation Army Bell Shelter face a disproportionate homelessness impact. Unhoused individuals that are transported to the Salvation Army Bell Shelter from the greater Los Angeles County region may not successfully transfer to permanent housing for a variety of reasons, may not accept the mental health or drug and alcohol treatment services provided at the Salvation Army Bell Shelter, or may refuse to conform to the rules necessary for a safe and orderly living environment for residents of the Salvation Army Bell Shelter. As a result of these personal choices, and despite the best efforts of the Salvation Army Bell Shelter staff, these individuals may increase the unhoused population in the LCA1 cities, the surrounding unincorporated communities, and in the adjacent Los Angeles River channel. Thus, improved subregional coordination between the affected Southeast Los Angeles (SELA) area LCA1 communities, Los Angeles County Supervisorial Districts 1 and 4, the Salvation Army Bell Shelter, the Gateway Cities Council of Governments (Gateway COG), and existing regional agencies and nonprofit service providers is necessary to address the complex issue of homelessness in a manner that improves quality of life in the SELA subregion and improves the efficiency and effectiveness of existing regional services for the unhoused.
The Gateway COG provided Measure H Innovation funding in 2020/2021 for the City of Bell to be the lead agency in hiring a shared Homeless Services Liaison for the cities of Bell, Commerce, Cudahy, and Maywood to cooperatively address the disparate homelessness impact in the area. The work of the shared Homeless Services Liaison that is based in the City of Bell Community Services Department has been critical in addressing issues within the four participating communities. However, without an additional inventory of shelter beds to supplement the CoC system, the immediate challenges in the four-city area are difficult to address.
In April of 2020, the City of Bell requested that the Salvation Army inform them of any shelter beds that have become available for contracting. In June of 2021, the Salvation Army notified the City of Bell that a group of beds could become available due to an expiring contract. On July 28, 2021, the Bell City Council provided direction to staff to contact surrounding cities to determine interest in sharing the cost of a contract for the shelter beds.
As a recognition of the unique impact of homelessness in the SELA area around the Salvation Army Bell Shelter, a Social Services Collaborator Agreement between the City of Bell and the Salvation Army Bell Shelter was approved. This agreement secures thirty-six (36) shelter beds (either low barrier beds or bridge beds depending on the acuity of the unhoused individual’s service needs) that the participating LCA1 cities can access, in addition to the shelter beds in the CoC system.
The City of Bell applied for and received $500,000 in Measure H Innovation Funds from the Gateway COG to support this shared shelter bed pilot program and to reduce the cost to the LCA1 cities by fifty percent (50%).
The City of Bell has achieved consensus with the LCA1 cities to share costs equally for this innovative pilot program. Los Angeles County Supervisorial District 1 (Solis) and Supervisorial District 4 (Hahn) are in the process of separately contracting with the Salvation Army Bell Shelter to add six (6) additional shelter beds to this coordinated group of thirty-six (36) shelter beds that will result in a total of forty-two (42) shelter beds coordinated by the Homeless Services Liaison that is based in the City of Bell. The Gateway COG also awarded $182,435 to the City of Bell to continue funding the shared Homeless Services Liaison through June 30, 2023.
Equal Distribution of Costs
Several meetings of the LCA1 cities discussed how to distribute costs among the agencies, with several cost factors proposed. The LCA1 group looked at the following factors: population, general fund budget, five-year average of homeless point in time counts, city area in square miles, five-year average of homeless point in time counts by square mile, and equal share.
Based on the difficulty of finding consensus (as many cities preferred the cost factor which resulted in the lowest cost for their city), the need for all cities to be flexible in coordinating the inventory of shelter beds, the availability of funding from the Gateway COG and the American Rescue Act, and the recognition of the LCA1 cities that the success of this innovative pilot program would likely improve local response to homelessness and improve subregional homelessness coordination, the LCA1 cities agreed to share an equal one-eighth (1/8th) cost of the pilot program.
The contribution of Measure H Innovation Grant funds from the Gateway COG was critical in reducing the cost of the program for LCA1 cities with smaller populations and limited general fund resources. It is likely that without the Measure H Innovation Grant funds several of the cities would not be able to participate due to financial constraints and the opportunity to coordinate the SELA subregion would be lost.
Distribution of Shelter Bed Inventory and Shelter Bed Availability The Agreement provides for four (4) shelter beds per LCA1 city, and four (4) shared public safety shelter beds.
However, it is impossible to predict exactly how long a specific shelter bed will be occupied, how many unhoused individuals will accept shelter, and what the various demands will be from each of the LCA1 cities.
The LCA1 cities understand that this is a pilot program, and a high degree of flexibility, coordination, and analysis will be necessary to manage the shelter bed inventory in a manner that satisfies every LCA1 party.
The Agreement clearly states the need for coordination and flexibility that is required of all participants for the pilot program to be successful.
It is expected that a high level of city, county and agency communication will result from this pilot program. The LCA1 cities will have to work cooperatively to balance their individual needs and ensure that each LCA1 city has access to shelter beds. There is also a risk that the LCA1 cities may not be able to achieve ninety percent (90%) occupancy of the shelter beds, as many unhoused individuals may choose not to accept shelter. If the LCA1 cities cannot maintain the desired shelter bed occupancy, the available shelter beds may be used by other SPA 7 cities. This will be an incentive for the LCA1 cities to coordinate the shelter bed inventory so that this valuable resource is not underutilized or wasted.
Metrics and Program Analysis
The success of this pilot program is dependent not just on the flexibility and coordination of the parties, but also on the data that is developed to determine whether a subregional collaboration for homeless services can improve local service delivery and successfully supplement regional homelessness service delivery. The information from this program will be inputted into the County’s Homeless Management Information System (HMIS) which will allow for analysis and auditing of the pilot program’s effectiveness. The Agreement notes specific metrics and targets for pilot program success. If the parties can effectively coordinate in a manner that improves local homelessness response and supports regional homelessness response without waste or inefficiency, this pilot program can be a model for subregional homeless services that can address the concerns of local communities in a targeted manner.
LEGAL REVIEW:
The City Attorney has reviewed this item.
FISCAL IMPACT:
The City will allocate $70,000 of the Year 1 PLHA funds for the City’s share of the Reimbursement Agreement for Shelter Beds within the Salvation Army Bell Shelter, and for City personnel and PLHA administration/reporting costs. The FY 2021-2022 Budget will need to be amended to add $14,000 in PLHA funds for the initial three (3) months. The remaining $56,000 will be incorporated into the Fiscal Year 2022- 2023 City Budget. The PLHA Program does not impact the City’s General Fund budget. A budget amendment is needed in the Grant Special revenue Fund.
F.Y. 21-22 Impact: $14,000 Current F.Y. Budget: $0
Fund Impacted: Grant Special Revenue Fund Budget adjustment requested: $14,000 Source of funds: PLHA Updated Account Budget: $14,000
Account Number: 27-614-5430 For fiscal year: 21/22
ATTACHMENT(S)
1. Draft Crisis Shelter Bed Agreement_v_7_2.1.22 (003)
REIMBURSEMENT AGREEMENT
FOR
SHELTER BEDS WITHIN THE SALVATION ARMY BELL SHELTER
THIS REIMBURSEMENT AGREEMENT (“Agreement”) is entered into as of March ____, 2022 (“Effective Date”) by and among the CITY OF BELL, a California charter city (“Bell”), the CITY OF BELL GARDENS, a California general law city (“Bell Gardens”),the CITY OF COMMERCE, a California general law city (“Commerce”), the CITY OF CUDAHY, a California general law city (“Cudahy”), the CITY OF HUNTINGTON PARK, a California general law city (“Huntington Park”), the CITY OF MAYWOOD, a California general law city (“Maywood”), the CITY OF SOUTH GATE, a California general law city (“South Gate”), and the CITY OF VERNON, a California charter city and municipal corporation (“Vernon”), collectively referred to herein as the “LCA1 Members” and/or the “Parties”.
RECITALS
A. The cities of Bell, Bell Gardens, Commerce, Cudahy, Huntington Park, Maywood, South Gate, and Vernon, are members of a Local Coordinating Alliance 1 (“LCA1”), a cooperative working group of eight (8) entities developed within the Gateway Cities Council of Governments for subregional homeless services coordination in the Southeast Los Angeles subregion of Service Planning Area 7 (“SPA 7”). The LCA1 Members have agreed to coordinate resources and services to address homelessness in the Southeastern Los Angeles region within a provisional pilot program as described / outlined pursuant to the terms in this Agreement.
B. Los Angeles County (First and Fourth Supervisorial Districts) (“County”) will separately participate with The Salvation Army for the same services as set forth herein pursuant to separate agreements directly with the Salvation Army Bell Shelter.
C. A “Shelter Bed” is defined as an occupancy placement within a crisis housing bed or a bridge housing bed within the Salvation Army Bell Shelter located at 5600 Rickenbacker Rd, Bell, CA 9020, for a single adult (age 18 or over) participant referred into a program of comprehensive homeless support services within such shelter. Depending on the service needs of the particular unhoused individual, initial placement may occur in a crisis housing bed that is operated with a low barrier design or in a bridge housing bed. Both crisis and bridge housing beds are intended provide a safe and supportive twenty-four (24) hour residence to individuals experiencing homelessness while enabling assistance for them to obtain permanent housing. A low barrier design program is one in which no participant that is placed within the Salvation Army Bell Shelter shall be required to commit to sobriety, or to commit to an adherence to medications for physical or mental health conditions. Low barrier crisis housing beds are expected to be provided at the Salvation Army Bell Shelter in Building 1E. Bridge housing beds are expected to be provided at the Salvation Army Bell Shelter sober living dormitories in Building 2A/B for participants who prefer to live in a more stable environment. The
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number of beds provided in each housing type will be flexible to accommodate the shifting needs of the participants at any time.
D. It is expected that a number of participants entering the pilot program will have significant barriers to employment and housing. The Parties expect that there will be an on-site Salvation Army Bell Shelter employee who will provide group and individual psychotherapy for participants who need an advanced level of support and are open to engaging in behavioral health services.
E. Client level data for this pilot program will be entered into the Los Angeles Homeless Services Authority’s (“LAHSA”) Homeless Management Information System (“HMIS”). HMIS collects participant demographic data, as well as program and service utilization data for auditing, reporting, and to facilitate participant transfer and coordination among available regional homeless services programs.
F. The LCA1 Members currently participate in the Los Angeles County Coordinated Entry System (“County CES”), which provides for placements of individuals experiencing homelessness within occupiable shelter beds in Los Angeles County.
Due to the high demand for shelter beds within Los Angeles County, a shelter bed may not be immediately available to address the needs of the local unhoused population in the Southeast Los Angeles County subregion. Thus, the City of Bell has negotiated an agreement with The Salvation Army to procure the prioritized use of thirty-six (36) shelter beds for the eight (8) participating LCA1 Members, in recognition of the local impacts of homelessness experienced by the LCA1 Members.
G. The LCA1 Members, have collectively designated the City of Bell as the lead agency to coordinate the implementation of the pilot program proposed by this Agreement for the placement of homeless individuals within the Salvation Army Bell Shelter in an effort to address the unhoused population that the LCA1 Members seek to assist.
H. This pilot program will require a great deal of cooperation among the LCA1 Members in order to enable the efficient placement of homeless individuals currently to a Shelter Bed within the Salvation Army Bell Shelter.
I. The Salvation Army Bell Shelter, one of the largest shelters in the nation, is located within the City of Bell in the Southeast Los Angeles County subregion and accepts placements from throughout the Los Angeles County area through the County CES.
The Shelter Beds are contracted by various governmental and nonprofit entities, and the Salvation Army Bell Shelter, in recognition of the homeless housing impacts experienced by the LCA1 Members, has agreed to contract with the City of Bell for thirty-six (36) prioritized Shelter Beds to be allocated to the LCA1 Members’ homeless population, based on certain conditions.
01135.0001/536707.2 -3-
J. The City of Bell will take the lead on behalf of the LCA1 Members plus the County to coordinate the prioritized use of forty-two (42) Shelter Beds within the Salvation Army Shelter through a Homeless Liaison (as such term is defined below), which shall be a designated staff member selected by the City of Bell to implement the pilot program under this Agreement that is separately funded by a Measure H Innovation Fund Grant reimbursement through the Gateway Cities Council of Governments.
K. To this end, the City of Bell and The Salvation Army, a California corporation (“Salvation Army”) have entered into an agreement, dated March ____, 2022, as set forth in Exhibit A (the “Salvation Army Agreement”), whereby the City of Bell, has acquired the prioritized right for thirty-six (36) Shelter Beds within the Salvation Army Bell Shelter, and additional supportive services to serve the LCA1 Members’ homeless housing population.
L. Separately, the City of Bell, as lead agency, applied for and received a $500,000 Measure H Innovation Fund Grant (“Measure H Grant”) from the Gateway Cities Council of Governments, which reduces the total cost of this pilot program to the eight (8) LCA1 Members. With Measure H Grant funds, the total estimated cost of the Salvation Army Agreement to the eight (8) participating LCA1 Members would be reduced by fifty percent (50%) from $999,324 to $499,324. In return for the Measure H Grant award, the LCA1 Members agree that if the thirty-six (36) Shelter Beds cannot be filled by the LCA1 Members, open placements will be made available to other SPA 7 communities with pre-approval of the designated Homeless Liaison. The total number of SPA 7 placements from outside of the eight (8) LCA1 Members may not exceed fifty percent (50%) of the thirty-six (36) Shelter Beds, which is eighteen (18) out of the thirty-six (36) Shelter Beds at any one time. Placements will not be available to other SPA 7 communities through this Agreement until Shelter Bed occupancy drops below ninety percent (90%) occupancy, or thirty-three (33) of the thirty-six (36) Shelter Beds.
M. The City of Bell shall appoint an individual to serve as a liaison to all LCA1 Members and the County (the “Homeless Liaison”), and shall work with the participating LCA1 Members and the County to coordinate the use of the prioritized Shelter Beds within the Salvation Army Bell Shelter in addition to any other beds that are made available through the County CES.
N. The Shelter Beds are designed to provide the LCA1 Members with an additional inventory of homeless shelter beds to address the significant impacts of homelessness the LCA1 Members are experiencing. If any individuals choose to leave a placement at the Salvation Army Bell Shelter, either of their own volition or for violating the rules and policies of the Salvation Army Bell Shelter, they will add to the unhoused population in the communities of the Southeast Los Angeles subregion. Thus, the pilot program proposed by the LCA1 Members is designed to provide an enhanced level of support, resources, and communication in order to ensure any placement of individuals within the Salvation Army Bell Shelter remain for as long as reasonably possible.
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O. The LCA1 Members agree that the costs of this Agreement will be shared equally among all of the LCA1 Members and they shall be required to pay their equal share each month during the term of this Agreement. If a LCA1 Member chooses to withdraw from this Agreement, other cities within the SPA 7 area may be added to this Agreement with priority provided to communities closest to the Salvation Army Bell Shelter (which addition may require an amendment or supplement to this Agreement as determined by the City of Bell). The intent of the LCA1 Members is to retain a minimum of eight (8) participating entities, in order to ensure, i) that the cost of this Agreement is not prohibitive for any one member and, ii) that the Shelter Beds remain ninety percent (90%) occupied during the term of this Agreement.
AGREEMENT
NOW, THEREFORE, in consideration of the preceding recitals and the mutual covenants hereinafter contained, the Parties agree as follows:
Section 1. Incorporation of Recitals. The recitals set forth above are hereby acknowledged and agreed to by the Parties and are incorporated in the terms of this Agreement. Specifically, the City of Bell is acknowledged and agreed to as the lead agency, and its appointed Homeless Liaison is acknowledged and agreed to, for purposes of this Agreement.
Section 2. Term; Termination.
(a) The term of this Agreement will commence on March 1, 2022 and end on June 30, 2023 (the “Term”) for a total of 487 days.
(b) In addition, this Agreement may be terminated after June 30, 2022, (i) at the convenience of any LCA1 Member following thirty (30) days prior written notice to the City of Bell, and/or (ii) upon a termination of the Salvation Army Agreement by the Salvation Army or the City of Bell pursuant to the terms of the Salvation Army Agreement.
The City of Bell, as lead agency, may replace any party that terminates this Agreement with another city within the SPA7 area that executes an acknowledgement and acceptance of the terms of this Agreement (which, at the City of Bell’s discretion, may require an amendment to this Agreement).
(c) In the event of any termination by a LCA1 Member after June 30, 2022, and a replacement SPA 7 city is not immediately available to take such terminating Party’s share of the costs/payments required herein, then the equitable share of costs for this Agreement (along with the allocation of the thirty-six (36) Shelter Beds for all LCA1 Members) provided in Section 3 below shall be adjusted accordingly.
Section 3. Cost and Payment. It is agreed and acknowledged that the Parties will share the costs of this pilot program equally, and that, regardless of any ability of the City of Bell, the Homeless Liaison, and / or the Salvation Army Bell Shelter to actually enable the utilization of any Shelter Bed within the Salvation Army Bell Shelter for any LCA1 Member’s homeless population, each LCA1 Member shall be required to pay the monthly
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amount due under this Agreement on the first day of each month of the Term of this Agreement to the City of Bell in order for the City of Bell to pay any and all monthly invoices received from the Salvation Army without delay. If the invoice received by the City of Bell from the Salvation Army for the use of the Shelter Beds in any given month is less than the amount collectively paid by the LCA1 Members for such month, then the City of Bell shall promptly refund any such overcharge to each of the LCA1 Members on an equal basis.
As the City of Bell, as lead agency, was successful in procuring $500,000 in Measure H Grant funds from the Gateway Cities Council of Governments, the total cost for each of the Parties (as set forth below) is proportionally reduced during the term of the Measure H Grant fund term.
Total Agreement Cost
The total cost of the Salvation Army Agreement is $999,324 calculated at thirty-six (36) Shelter Beds per day at a cost of $57 per bed / per day for 487 days.
The City of Bell will invoice the Gateway Cities Council of Governments for $500,000 in Measure H Grant fund reimbursements, which would reduce the total cost of this Agreement to $499,324.
Los Angeles County First Supervisorial District will enter directly into a separate agreement with the Salvation Army Bell Shelter for four (4) additional Shelter Beds at a cost of $117,420. Los Angeles County Fourth Supervisorial District will enter directly into a separate agreement with the Salvation Army Bell Shelter for two (2) additional Shelter Beds at a cost of $58,710, to bring the total number of coordinated Shelter Beds in the Southeast Los Angeles subregion to forty-two (42) under this pilot program.
The eight (8) LCA1 Members will be invoiced monthly by the City of Bell for an equal one-eighth (1/8th) share. Each of the eight (8) LCA1 Members will be billed a maximum of $62,415.50 of the total Agreement of $499,324.
Monthly Invoice
The City of Bell, as lead agency, will submit the monthly invoice it receives from the Salvation Army pursuant to the Salvation Army Agreement, to each LCA1 Member upon five (5) business days of its receipt therefor, with, if applicable, backup documentation and related reports for the thirty-six (36) Shelter Beds.
Section 4. Specifications. The availability and use of the thirty-six (36) Shelter Beds allocated to each LCA1 Member shall be subject to the following specifications. In recognition of the complexity of the daily operations of the Salvation Army Bell Shelter, and the unknown personal, regional, and local factors which affect Shelter Bed availability, the Parties agree that a high level of communication, coordination, and flexibility is necessary to effectively use all available Shelter Beds, and to refrain from submitting Shelter Bed placements when inventory is not available. There is no guarantee that a Shelter Bed is available at any specific time, as the complex and shifting factors that affect
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Shelter Bed inventory are beyond the control of the City of Bell and the Salvation Army Bell Shelter. The purpose of this pilot program is to increase coordination and communication on homelessness within the LCA1 subregion, to develop data at a subregional level, and to develop improved and effective partnerships on a subregional level with regional service providers and nonprofit entities. (a) Initial Use of Crisis Housing Bed Inventory. Upon the notice from the Salvation Army of availability of Shelter Beds within the Salvation Army Bell Shelter, ten percent (10%) of the thirty-six (36) beds will be designated as public safety priority beds for emergency use by the public safety agencies of all LCA1 Members, for a total of four (4) beds. The remaining ninety percent (90%), or thirty-two (32) beds, will be prioritized as four (4) general inventory beds per each LCA1 Member. This distribution equals eight (8) LCA1 Members times four (4) beds each for a general inventory of thirtytwo (32) beds. Initial intake into a public safety priority bed shall also require participation from a public safety agency (e.g., Bell Police Department, Bell Gardens Police Department, Los Angeles County Sheriff, South Gate Police Department, Vernon Police Department, etc.). Once the new resident is placed in a public safety bed and completes the facility intake process, they will be rotated from the priority public safety bed into one of the thirtytwo (32) general beds, if a general bed is available. If the LCA1 Members cannot fill the Shelter Bed inventory, and the Shelter Bed occupancy drops below ninety percent (90%), the Homeless Liaison may refer participants from non LCA1 Member SPA 7 cities to ensure that the Shelter Bed inventory is used efficiently up to a maximum of eighteen (18) non LCA1 Member SPA 7 placements at any one time. The LCA1 Members shall use best efforts to efficiently and effectively coordinate the shared use of available Shelter Beds to maintain ninety percent (90%) occupancy and meet their specific local needs depending on bed availability. The Salvation Army has agreed, pursuant to the Salvation Army Agreement to coordinate in good faith to plan transfers of homeless individuals to other available support programs, based on participant eligibility (i.e., Veteran’s Administration program shelter beds, Department of Mental Health program shelter beds, Substance Abuse Prevention and Control program shelter beds) to increase the annual number of participants that can benefit from the forty (40) prioritized Shelter Beds under the Salvation Army Agreement. The LCA1 Members acknowledge and agree that the thirty-six (36) Shelter Beds are not actually reserved or dedicated to the LCA1 Members’ homeless population, but are merely prioritized to them under the Salvation Army Agreement. Each day there shall be an analysis of the occupancy of Shelter Beds and allocations will be made available to each of the LCA1 Members through the Homeless Liaison in coordination with the LCA1 Members. As such, the effectiveness of this pilot program requires cooperation and consistent communication between the LCA1 Members and the Homeless Liaison, given the fluidity of available bed occupancy (and the rotation in and out of such beds by homeless individuals).
(b) Recalculation of Crisis Housing Bed Inventory. In order to ensure the full and efficient use of the thirty-six (36) prioritized Shelter Beds, cooperation and communication between the Parties is essential. Informal analysis and recalculation of Shelter Bed use ratios shall occur every week day during the Term of this Agreement, and as needed, to use the available Shelter Beds efficiently. An initial thirty (30) day use analysis will be provided to the LCA1 Members by the City of Bell and/or the Homeless
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Liaison after the Effective Date and a secondary sixty (60) day use analysis will be provided to the LCA1 Members, in order to determine and agree to the most efficient bed use ratios. Thereafter, quarterly reviews will occur to determine the efficient use of the Shelter Beds, and the effectiveness of this pilot program and how it could be improved.
Shelter Bed inventory flexibility is critical in order to effectively address conditions in the field (given the fact that individuals placed within the Salvation Army Bell Shelter will likely be rotating in and out frequently) and in order to assess the success of program participants in receiving housing placement. As this program is a pilot program and requires participant flexibility, all Parties will designate a public safety contact and a staff contact for the Homeless Liaison to coordinate activities and improve communication, each of which are designated on the signature page for each of the Parties below. (c) Shelter Bed Availability Limitations. If the Salvation Army Bell Shelter is experiencing COVID-19 quarantine limits or holds on resident intake upon the execution of the Salvation Army Agreement, the Salvation Army Bell Shelter will not initiate invoicing for Shelter Beds until the beds are available. Limitations on Shelter Bed availability may exist depending on the number of available Shelter Beds in the Salvation Army Bell Shelter’s daily inventory. The Salvation Army Bell Shelter does not provide family shelter resources; thus LCA1 Members must coordinate placement of any such families to other shelters through the Homeless Liaison during business hours or call 211 (www.211la.org) to find suitable shelter or motel options for families in need. The Salvation Army Bell Shelter does not provide a kennel to shelter the pets of unhoused individuals in need. The thirty-six (36) Shelter Beds addressed in this Agreement are merely a supplement to the shelter beds available through the County CES. (d) Intake. New resident intake shall occur during regular business hours of 8:00 AM to 4:00 PM, Monday through Friday. The Salvation Army Bell Shelter provides 24 hour a day, seven day a week staffing, however the shelter has an inventory of four (4) safe rooms for intake and staff are required to perform COVID-19 protocols upon intake that limit the ability of the shelter to perform intake outside of regular business hours.
After hours domestic violence and/or other emergency placements are subject to the availability of an unoccupied safe room at the Salvation Army Bell Shelter. Emergency intake is available after hours, however due to a limited number of available safe rooms and due to COVID-19 protocols, after hours intake should only be for emergency situations. An after-hours call line that operates 24 hours a day will be provided to participating public safety agencies for use in the event of an after-hours emergency. (e) Length of Stay. Each participant will be limited to an initial stay of ninety (90) days. Two (90) day extensions are available upon request for participants actively working on a housing plan, for a maximum stay of 270 days for any individual participant.
(f) COVID-19 Protocols and Processes. The Salvation Army Bell Shelter restarted limited intake of residents into quarantine facilities on August 19, 2021. COVID19 protocols for intake include but are not limited to, i) any incoming participant is tested on the day of or on the day after intake regardless of vaccine status, ii) if an incoming participant is vaccinated, the participant may move into a public safety prioritized bed. If
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a participant is not vaccinated, they must remain in quarantine until two negative COVID19 tests are received. The second test occurs seven to eight days after the first, with results generally available within three days. Modular homes located on the greater Salvation Army Bell complex property serve as a first line of intake quarantine and are subject to availability.
(g) Homeless Liaison. The Homeless Liaison will coordinate daily with assigned Salvation Army Bell Shelter staff, in order to determine the daily inventory on weekdays of Shelter Bed availability and the roster of shelter residents, however, it shall not be required to ensure the availability of all thirty-six (36) Shelter Beds since such beds are only prioritized, they are not specifically reserved, and the LCA1 Members must coordinate with the Homeless Liaison in order to ensure allocation of Shelter Beds for proposed participants. The Homeless Liaison will coordinate daily with assigned LCA1 public safety agency assigned staff (as designated on the signature page to this Agreement) to report shelter bed inventory availability and to determine any planned public safety needs. The Homeless Liaison will coordinate daily with designated Salvation Army Bell Shelter staff to determine how many residents can be transferred to general bed inventory or to other programs to maximize Shelter Bed use. The City of Bell and the Homeless Liaison shall have no liability for any failure to ensure a placement of any LCA1 Member’s proposed participant / homeless population within a Shelter Bed. (h) Reporting.
(i) Reporting by Salvation Army Bell Shelter: It is expected that the Salvation Army Bell Shelter will provide, i) daily inventory counts to the Homeless Liaison and, ii) a monthly report and invoice to the City of Bell and the Homeless Liaison. (ii) Reporting by the Homeless Liaison: the Homeless Liaison will reasonably endeavor to provide: i) a monthly report and the Salvation Army Bell Shelter invoice it received to all participating LCA1 cities and, ii) a quarterly report to the LCA1 Members and the Gateway Cities Council of Governments.
(iii) Participant level data will be entered into the LAHSA HMIS system for program reporting and auditing purposes.
(iv) The following metrics and expected outcome measures will be reasonably tracked and reported: i) a minimum of one hundred (100) unduplicated individuals will be served each year during the Term of this Agreement, with a goal of one hundred and fifty (150) unduplicated individuals over the Term of the Agreement, ii) twenty percent (20%) of participants (of those able to work – e.g. not disabled or retired) will be employed by the expected exit date and, iii) thirty percent (30%) of participants will exit to permanent housing and, iv) eighty five percent (85%) of participants will complete a housing plan and, v) ten percent (10%) of participants will exit to another level of care (DMH IHP or other stable housing location). However, there shall be no liability to any of the Parties if such metrics and/or outcome measures are not achieved
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Section 6. Defaults and Indemnification Provisions.
(a) Defaults. In the event any of the Parties shall fail to pay its required share of the costs of the Shelter Beds in any given month during the Term of this Agreement (or any extension approved by the Parties), then such party shall be in immediate default under this Agreement, and the City of Bell shall be entitled to, and may sue for, the payment of all such unpaid amounts (and the defaulting party shall pay interest at the lesser of (i) 10% per annum, or (ii), the maximum rate permitted by law) from and after the due date of such monetary payment obligation until payment is actually received. The Parties acknowledge that money damages and remedies at law generally are inadequate and that specific performance is appropriate for the enforcement of this Agreement. Therefore, the remedy of specific performance shall be available to all Parties hereto. This subsection shall not limit any other rights, remedies, or causes of action that any party may have at law or equity.
(b) Indemnity by City of Bell. To the full extent permitted by law, the City of Bell agrees to indemnify, defend and hold harmless each of the other Parties, and their respective officers, employees and agents (“Indemnified Parties”) against, and will hold and save them and each of them harmless from, any and all actions, claim, or liabilities that may be asserted or claimed by the Salvation Army, arising out of or in connection with any defaults or failures asserted under the Salvation Army Agreement against the City of Bell, and/or the City of Bell’s negligent performance of the activities, work, or operations provided under this Agreement, except claims or liabilities occurring as a result of Indemnified Parties’ negligence or willful acts or omissions. The indemnity obligations contained herein shall be binding on successors and assigns of the Parties and shall survive termination of this Agreement.
(c) Indemnity by Parties. To the full extent permitted by law, each of the Parties agree (based on, and only up to, the Parties’ respective proportionate share of the costs due from each party as set forth in Section 3 above) to indemnify, defend and hold harmless the City of Bell and the Homeless Liaison, and their respective officers, employees and agents against, and will hold and save them and each of them harmless from, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities that may be asserted or claimed by the Salvation Army, or any other person, firm or entity arising out of or in connection with the Shelter Beds, the Salvation Army Agreement, and/or this Agreement, except with respect to the negligent performance of the activities, work, or operations provided by the City of Bell or the Homeless Liaison under the Salvation Army Agreement or herein. The indemnity obligations contained herein shall be binding on successors and assigns of the Parties and shall survive termination of this Agreement. Notwithstanding anything to the contrary herein, in the event any of the Parties fail to make any payment due hereunder, which causes the City of Bell to fail to make the payments due under the Salvation Army Agreement, the Parties shall share in any costs, liabilities, or claims that result from the failure of such nonpayment and the City of Bell shall not be required to make any additional payment to the Salvation Army to cover such un-reimbursed amounts.
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Section 6. Miscellaneous Provisions.
(a) Notices. All notices or other communications under this Agreement shall be in writing and shall be delivered to the appropriate party at the address set forth below (subject to change from time to time by written notice to all other Parties to this Agreement). All notices, demands or other communications shall be considered as properly given if sent by: (a) electronic mail and regular mail; or (b) overnight express mail, charges prepaid. Notices so sent shall be deemed effective one (1) business day after mailing or the same day as sent for electronic delivery. For purposes of notice, the addresses of the Parties shall be as set forth on the signature pages contained herein. (b) Attorneys’ Fees. If any of the Parties to this Agreement is required to or seeks to initiate or defend litigation against any other party, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorneys’ fees. (c) Integration; Amendments. This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the Parties (including the Salvation Army Agreement). It is understood that there are no oral agreements between the Parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements and understandings, if any, between the Parties (other than the Salvation Army Agreement), and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the City of Bell as the lead agency. The Parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void.
(c) Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument. Signatures transmitted electronically shall be deemed originals for all purposes of this Agreement.
(d) Authority. The persons executing this Agreement on behalf of each of the Parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which said party is bound.
[SIGNATURES ON FOLLOWING PAGE]
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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first-above written.
CITY:
CITY OF BELL, a California charter city
____________________________________
Name:
Title:
Address: City Hall; 6330 Pine Ave, Bell, CA
90201
ATTEST:
_________________________________
Angela Bustamante, City Clerk
APPROVED AS TO FORM:
ALESHIRE & WYNDER, LLP
_________________________________
David J. Aleshire, City Attorney
01135.0001/536707.2
CITY:
CITY OF BELL GARDENS,
a California general law city
By: __________________________
Name:
Title:
Address: ______________________
Public Safety Contact:
_________________________________
Staff Contact:
_________________________________
CITY:
CITY OF COMMERCE,
a California general law city
By: __________________________
Name:
Title:
Address: ______________________
Public Safety Contact:
_________________________________
Staff Contact:
_________________________________
CITY:
CITY OF CUDAHY,
a California general law city
By: ____________________________
Name:
Title:
Address: ______________________
Public Safety Contact:
_________________________________
Staff Contact:
01135.0001/536707.2
_________________________________
CITY:
CITY OF HUNTINGTON PARK,
a California general law city
By: __________________________
Name:
Title:
Address: _______________________
Public Safety Contact:
_________________________________
Staff Contact:
_________________________________
CITY:
CITY OF MAYWOOD,
a California general law city
By: ___________________________
Name:
Title:
Address: ________________________
Public Safety Contact:
_________________________________
Staff Contact:
_________________________________
CITY:
CITY OF SOUTH GATE,
a California general law city
By: _____________________________
Name:
Title:
01135.0001/536707.2
Address: _________________________
Public Safety Contact:
_________________________________
Staff Contact:
_________________________________
CITY:
CITY OF VERNON,
a California charter city
By: ____________________________
Name:
Title:
Address: ________________________
Public Safety Contact:
_________________________________
Staff Contact:
_________________________________
AGENDA REPORT
CITY OF MAYWOOD
AGENDA ITEM NO. 10.
DATE: March 23, 2022
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: JENNIFER VASQUEZ, CITY MANAGER
BY: CLAUDIA ZAVALA, COMMUNITY SERVICES LIAISON
SUBJECT: DISCUSSION OF ESTABLISHING A VOLUNTEER PROGRAM THAT WILL
RECOGNIZE COMMUNITY MEMBERS WHO VOLUNTEER THEIR TIME AT CITY
SPECIAL EVENTS AND PROGRAMS
RECOMMENDATION:
Staff recommends that the City Council discuss establishing a Volunteer Program that will recognize community members who volunteer their time at City special events and programs.
BACKGROUND:
Volunteering is a way to give back and strengthen ties to the community you live in. The City does not have an established program that recognizes volunteers. However, with the increase in city special events and programs, there is an opportunity to develop a volunteer program. In addition, the City over the last two years has had various young people and adults inquire about ways to volunteer with the City.
DISCUSSION:
The purpose of a volunteer program would be to develop a plan and administer a citywide program that will encourage residents to volunteer in the City. There are currently a few community members who volunteer on a regular basis. However, due to the increase in city events and programs, community involvement beyond City staff is needed to continue to be successful.
The key components of the program may include:
volunteer recruitment through the city website and social media; research a program that will allow the City and volunteers to keep track of hours; and establish a recognition program that will encourage the community to volunteer.
LEGAL REVIEW:
The City Attorney has reviewed this report.
FISCAL IMPACT:
No fiscal impact is expected as a result of this item.
ATTACHMENT(S)
AGENDA REPORT
CITY OF MAYWOOD
AGENDA ITEM NO. 11.
DATE: March 23, 2022
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: JENNIFER VASQUEZ, CITY MANAGER
BY: CLAUDIA ZAVALA, COMMUNITY SERVICES LIAISON
SUBJECT: CONSIDERATION OF APPROVING THE COMMUNITY BENEFIT FUND APPLICATION FROM WOLFPACK PTO IN THE AMOUNT OF $10,000.
RECOMMENDATION:
Staff recommends that the City Council consider approval of the Community Benefit Fund Application from Wolfpack PTO in the amount of $10,000.
BACKGROUND:
The Application is dated March 1, 2022 and was received by email from the applicant. The City of Maywood has established a “Community Based Fund” to support community-based programs and activities. Applicant eligibility is determined by the City’s Community Benefit Fund Guidelines and Procedures (“Guidelines”) for the distribution of funds to eligible organizations that provide community-based programs, community activities and educational activities.
DISCUSSION:
Only an “Eligible Organization” may apply for this grant. Per the grant guidelines, this includes non-profit agencies that provide programs or services to residents of the city, a school or school-based/affiliated organization in the city or other city-based organizations. The Eligible Organization must also be in existence prior to submitting an application and have a record of successfully providing the services for which funding is requested.
According to the requester’s application, the Wolfpack PTO is a non-profit organization that was established in the Fall of 2018 and is located within the City. Due to the requestor being part of a school that is located in the City, they fit into a category that makes them eligible to receive funds.
The Guidelines also require that an Eligible Organization provide an eligible service or activity defined as a program, service, activity, event or other similar activity that has a benefit to the residents of the City or a specified target group by: (i) enhancing the quality of life or the delivery of services in the City; or (ii) providing educational opportunities for the residents of the City.
The applicant states that the Wolfpack PTO is requesting funds to help with expenses such as Grand-Night transportation for students, high school/middle school end of school year events, Wolfpack PTO bank account fees, yearly tax expenses, and renewal of insurance.
The Wolfpack PTO is a non-profit organization that supplements any need the MaCES campus may have through volunteer support, financial support when possible, or clerical support and guidance. Any funds that the Wolfpack PTO may receive will be used in a multitude of situations including, but not limited to, books, supplies, trips, events, and volunteer programs. The organization membership is comprised of MaCES parents and staff who participate on a volunteer basis. All Wolfpack PTO activities are in the interest of the students and the community.
According to the guidelines, the community benefit grant is to be a maximum amount of $5,000. However, in limited circumstances, the City Council has the discretion to award grants in an amount not to exceed $10,000.
LEGAL REVIEW:
The City Attorney has reviewed this report.
FISCAL IMPACT:
The City currently has budgeted $75,000 in the Community Benefit Fund for fiscal year 2021/2022. To date, $31,938.75 has been spent from this account.
F.Y. 20-21 Impact: $10,000 Current F.Y. Budget: 75,000
Fund Impacted: General Fund Budget adjustment requested: $0 Source of funds: General Updated Account Budget:
Account Number: 01-681-5237 - Community
Benefit Fund
For fiscal year: 2021/2022
ATTACHMENT(S)
1. MaCES Wolfpack PTO Application 3.1.22
2. Community Benefit Fund Guidelines and Procedures12.2021
CITY OF MAYWOOD
COMMUNITY BENEFIT FUND
GUIDELINES AND PROCEDURES
1 Rev. 2/2022
I. BACKGROUND
The City of Maywood has established a “Community Benefit Fund” to support community based programs and activities.
II. PURPOSE
The purpose of this policy is to provide guidelines and procedures for the distribution of public funds, which will in turn fun community programs, activities and educational activities conduct by Eligible Organizations that meet the requirements and guidelines set forth by the City Council in this policy.
III. ELIGIBILITY AND POLICY
A. Eligible Organizations. The requesting organization must be: (1) a non-profit agency as defined by the Internal revenue Service (IRS) with a tax exempt status of 501(c)(3) and is in good standing in the State of California based in the City or provides programs or services to residents of the City; a school or school-based/affiliated organization located in the City; or other City-based organization such as athletic organizations or community groups (collectively called “Eligible Organizations”); (2) must be in existence prior to submittal of an application; and (3) must have a record of successfully providing the type of service, activity or program for which funding is requested.
B. Eligible Services and Activities. To apply for a grant under the City Community Benefit Fund, the Eligible Organization must provide a program, service, activity, event or other similar activities that have a benefit to the residents of the City of Maywood or the specified target group within the City by: (i) enhancing the quality of life or the delivery of services in the City; or (ii) providing educational opportunities for the residents or students of the City. Categories of services and activities eligible for grants include but are not limited to educational programs, cultural activities (i.e. music, art, dance, recreation), youth athletics, civic projects, health and safety programs, services sponsored by Maywood community organizations and public services (i.e. senior services, youth programs, health services). If the request relates to a community event, the event must be advertised and open to the public. Grants will be awarded in maximum amounts of no more than $5,000. In limited circumstances, the City Council has the discretion to award grants in an amount not to exceed $10,000.
C. Restrictions and Ineligible Organizations.
1. Grants shall not be used for religious activities or political campaigning purposes or activities.
2. A non-profit entity, a school or school-based/affiliated organization or other City-based organizations such as athletic organizations or community groups that have
2 Rev. 2/2022
CITY OF MAYWOOD
COMMUNITY BENEFIT FUND
GUIDELINES AND PROCEDURES
as a member of their board or executive leadership a City employee, a City elected or appointed official or members of their family, are not eligible to apply for a Community Benefit Fund grant. Family members include spouse or domestic partner, child, parent, grandparent, grandchild, cousin, aunt, uncle, sibling, niece, nephew, parent-inlaw,brother-in-law or sister-in-law, as well as all step relationships.
D. City Projects. This policy does not preclude the City from undertaking and funding projects on its own initiative that would be a benefit to the community.
IV. APPLICATION PROCEDURES
A. Submittal of an Application. Applicants must use the Community Benefit Fund application form. Forms are available on the City website at www.cityofmaywood.org and at Maywood City Hall at 4319 E. Slauson Avenue, Maywood, CA 90270.
Applications may be requested by email at [email protected] B. Application Deadline. The City Council will have quarterly application cycles available to consider requests contingent upon monies being available under the program. The application cycles and deadlines are as follows:
Application Cycle
Quarter 1: July 1 - September 30 June 1
Quarter 2: October 1 - December 31 September 1
Quarter 3: January 1 - March 30 December 1
Quarter 4: April 1 - June 30 March 1
Application Deadline
The application must be submitted by 5:00 p.m. on the applicable deadline date addressed to: City of Maywood, Attention: Community Benefit Fund via City Manager’s Office, 4319 E. Slauson Avenue, Maywood, CA 90270.
C. General Information.
1. Applicants may apply for funds during any application cycle.
Notwithstanding, funds must be requested and spent during the same fiscal year in which the award was approved by the City Council.
2. Organizations may submit only one application per fiscal year.
3. Funding to an Eligible Organization will not constitute a precedent for contributions in subsequent fiscal years.
CITY OF MAYWOOD
COMMUNITY BENEFIT FUND
GUIDELINES AND PROCEDURES
3 Rev. 2/2022
V. EVALUATION OF APPLICATION AND SELECTION PROCESS
A. Review of Applications. Following the application deadline, City Staff will review the applications. Applicants may be contacted if further information is requested, to answer questions, clarify their application, etc. All applications will be evaluated to ensure that the applicant is an “Eligible Organization” and that purpose for which the grant is sought is consistent with this policy. Applications and recommendations of Staff, if any, will be presented to the City Council during a regular scheduled City Council meeting for the Council’s consideration and approval.
B. City Council Action. The City Council will take final action on award of all grants and maintains the discretion to fund in whole or in part any request or not to fund any or all requests during the Application Cycle. Alternatively, the City Council may hold-over any application into the next Application Cycle. In the case of multiple applications that are competing for limited available funds, consideration may be given to applications based on the following criteria: (i) the number of residents who are expected to benefit, participate in or be positively impacted by the program; (ii) the performance of the applicant in prior years, including demonstrated fiscal responsibility and compliance with applicable requirements; (iv) the amount of funding previously award to the applicant or the program or event in prior years; and (v) the total amount of funding requested as a proportion of the total available funds for the applicable fiscal year.
VI. POST AWARD REQUIREMENTS
A. Agreement. All Eligible Organizations elected to receive funds will be required to sign and execute an agreement with the City of Maywood.
B. Reporting. Eligible Organizations must complete a report, within 45 days of fund expenditure, describing the use of the grant and amount expended, the number of participants in the event or program, copies of any publicity of the event or program, and a narrative regarding the benefit to the City of Maywood. The City reserves the right to conduct an audit and/or require additional back-up information to substantiate how funds received from the City were expended. Failure to submit this required report will make the Eligible Organization ineligible for allocation of future funds until the required report is submitted. These reports will be reviewed and taken into account for evaluating subsequent funding proposals from that entity.
C. Request for Funds. The Eligible Organization receiving the funds is responsible for submitting a funds request to the City’s Finance Director and shall allow the City up to 30 days to process the request. If a third-party vendor is the recipient of the funds (i.e. bus company used for field trip), then the request shall include the information regarding that vendor including their Tax Identification Number and the check shall be made payable to that vendor. If the grant is to be used to purchase tangible goods or services, the City has the discretion to purchase the goods or services directly and
CITY OF MAYWOOD
COMMUNITY BENEFIT FUND
GUIDELINES AND PROCEDURES
4 Rev. 2/2022
pass-through the goods or services to the Eligible Organization rather than provide the funding.
D. Return of Funds to the City. Unexpended funds must be returned to the City at the end of the fiscal year. Funds must also be returned to the City if the City determines that the applicant has not performed in accordance with the approved application listing the use of the funds.
E. Failure to Abide by Policy. The failure of an Eligible Organization to abide by this Policy will result in the Eligible Organization being denied for funding in the future.