Agenda — Monterey Park City Council, June 18, 2024 (part 3 of 3)

Staff Report

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June 18, 2024
FISCAL IMPACT:

There are no identifiable fiscal impacts with adopting the draft urgency ordinance.

Respectfully submitted by:

Diana Garcia,
Assistant City Manager
Jessica Serrano,
Community Development Director
Approved by: Reviewed by:

Inez Alvarez
City Manager
Karl H. Berger
City Attorney
Attachment(s)

1. Draft Urgency Ordinance

2. 2020 LUE – Innovation/Technology Land Use

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Staff Report
June 18, 2024
AT
TACHMENT 1
Draft Urgency Ordinance

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ORDINANCE NO. ________

AN INTERIM ORDINANCE PROHIBITING PERMITS FOR LAND

USE ENTITLEMENTS WITHIN THE MCCASLIN BUSINESS PARK

TO CONSIDER ADOPTING A SATURN PARK SPECIFIC PLAN IN

ACCORDANCE WITH THE LAND USE ELEMENT OF THE

GENERAL PLAN
The City Council for the City of Monterey Park does ordain as follows:

SECTION 1: This Ordinance is adopted pursuant to Government Code §§ 36937, 65858, and other applicable laws.

SECTION 2: Findings. The City Council finds, determines and declares as follows:

A. The City may adopt and enforce all laws and regulations not in conflict with the general laws and the City holds all rights and powers established by California law.

B. On June 17, 2020, the City Council approved the Land Use Element to the Monterey Park General Plan (the “2020 LUE”).

Thereafter, the 2020 LUE was placed onto the November 3, 2020 ballot as Measure JJ. Following voter approval on November 3, 2020, the 2020 LUE (via Ordinance No. 2198) became effective on December 2, 2020.

C. Section 3(A) of Ordinance No. 2198 authorizes the City Council to implement the 2020 LUE by, among other things, adopting zoning regulations. Section 4 of Ordinance No. 2198 provides that Measure JJ must be interpreted to be consistent with all applicable law; Section 6 of Ordinance No. 2198 provides that Measure JJ must be broadly construed to achieve the voter’s intent in approving Measure JJ.

D. Monterey Park Municipal Code (“MPMC”) Chapter 21.14 was added by Measure D on April 14, 1998 (via Ordinance No. 1933).

Measure D provided zoning regulations for the area identified as McCaslin Business Park.

E. The Land Use Policy Map (Figure LU-3 to the 2020 LUE) renamed this area as “Saturn Park” with a designated land use of “Innovation/Technology.” Goal 25 of the 2020 LUE directs the City Council to revitalize Saturn Park as a destination business park for high-quality service industry, research and development, and

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emerging industry jobs. This directive is further refined via Policy Nos. 25.1 to 25.3.

F. The 2020 LUE also provides that the City Council should ensure flexible zoning regulations; support local businesses; maintain a proactive economic development program; and invest in
commercial corridors (Policy Nos. 1.1 to 1.4).

G. The City’s Housing Element reflects the City’s desire to encourage construction of housing that is attainable for households of all income levels. Among other things, the City Council determined that the City should take proactive actions to increase the availability of dwelling units on underutilized properties (see, e.g., Section 5(C) of Resolution No. 2022-R90, adopted November 16, 2022).

H. It is anticipated that the Saturn Park Advisory Review Committee (“SPARC”) will consider incorporating a residential component into the SPSP to help enhance the Innovation/Technology land use designation by the 2020 LUE. Among other things, this would:

1. Allow employees to live near their workplace, reducing vehicle trips.

2. Allow companies to offer subsidized housing as an
employee benefit and amenity to attract talent.

3. Facilitate a live-work-play environment where residential, office, and recreational spaces coexist.

4. Foster closer social connections and a sense of community among employees who can interact more freely outside of work.

5. Align with the post-pandemic shift towards more flexible and hybrid workplace models.

I. Such efforts are reflected in “real world” developments such as the West Edge in Los Angeles (https://westedgela.com).

J. Additionally, the California Legislature is seeking various methods for promoting housing such as AB 1532 (Haney, 2023) which, were it approved, would allow office conversion projects by right within all zones. While this “Office to Housing Conversion Act” failed to advance within the Legislature, it represents the latest legislative path taken by the Legislature to encourage more housing within

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local jurisdictions.

K. A review of the 2020 LUE, the Certified Housing Element (March 30, 2023), and MPMC Chapter 21.14 shows that the existing zoning regulations are inconsistent with the voters’ vision for Saturn Park; the zoning regulations must be reconciled with the most recent voter directives in Measure JJ, the California Legislature’s directives (as reflected in the City’s Certified Housing Element), and California law.

L. In April 2024, the Planning Commission considered conceptual renderings and land uses for Saturn Park during two meetings.

Thereafter, on May 22, 2024, the City Council created the SPARC to receive and implement community input for drafting a Saturn Park Specific Plan (“SPSP”).

M. On May 23, 2024, representatives from 1980 Saturn met with the Mayor, City Manager, City Attorney, Assistant City Manager, and Community Development Director to plan for a data center at that location – which is a permissible use pursuant to MPMC Chapter

21.14 but inconsistent with the 2020 LUE land use designation for Saturn Park. Additionally, on January 11, 2024, the City’s Community Development Department received applications for a conditional use permit and design review for a data center proposed at 1977 Saturn Street.

N. As set forth in the City Council staff report dated June 5, 2024, it is anticipated that the SPARC would conclude its meetings in August or September of 2024 and provide the City Council with its recommendations regarding the SPSP at that time. The SPSP would implement the 2020 LUE as to Goal 25 and the
Innovation/Technology land use designation.

O. Without the enactment of this Ordinance, the voter’s vision for revitalizing Saturn Park via Measure JJ and the 2020 LUE would be thwarted: pending applications for land uses currently allowed by MPMC Chapter 21.14, if approved, would lock in certain types of land uses for the foreseeable future.

P. The City Council determines that the MPMC requires updating to protect the public against health, safety, and welfare dangers caused by multiple applicants relying upon outdated land use regulations. The City needs additional time to prepare, evaluate and adopt reasonable regulations to implement the voter’s direction in Measure JJ and to ensure such regulations are applied in a nondiscriminatory manner.

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Q. To prevent frustration of these studies and the implementation of new regulations, the public interest, health, safety, and welfare require enactment of this Ordinance. The absence of this Ordinance would impair the orderly and effective implementation of contemplated MPMC amendments, and any further authorization of these uses within the City during the period of the moratorium may conflict with or frustrate the contemplated updates and revisions of the MPMC.

R. Based on the foregoing, the City finds that that this Ordinance is necessary in order to protect the City from the potential effects and impacts of outdated land uses and the accompanying impacts from traffic and commerce on City streets, impacts on parking availability in the business areas of the City, the aesthetic impacts to the City, and other similar or related effects on property values and the quality of life in the City’s neighborhoods.

S. The City Council further finds that this moratorium is a matter of local and City-wide importance and is not directed towards any business that currently seeks to utilize MPMC Chapter 21.14.

T. The City Council finds that this Ordinance is authorized by the City’s police powers. The City Council further finds that the length of the moratorium imposed by this Ordinance will not in any way deprive any person of rights granted by state or federal laws, because the moratorium is short in duration and essential to protect the public health, safety and welfare.

SECTION 3: Environmental Assessment. Adoption of this Ordinance is exempt from further environmental review under the California Environmental Quality Act (California Public Resources Code §§ 21000, et seq., “CEQA”) and CEQA Guidelines (14 California Code of Regulations §§ 15000, et seq.) because it establishes rules and procedures for operation of existing facilities; minor temporary use of land; minor alterations in land use; new construction of small structures; and minor structures accessory to existing commercial facilities. This Ordinance, therefore, is categorically exempt from further CEQA review under CEQA Guidelines §§ 15301; 15303, 15304(e); 15305; and 15311. Further, the adoption of this Ordinance is also exempt from review under CEQA pursuant to CEQA Guidelines § 15061(b)(3) because the Ordinance is for general policies and procedure-making. This Ordinance does not authorize any new development entitlements, but simply establishes policies and procedures for allowing the previously approved project to be constructed. Any proposed project that will utilize the changes set forth in this Ordinance will be subject to CEQA review as part of the entitlement review of the project. The Ordinance will not adversely impact the environment and is therefore exempt from the provisions of CEQA.

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SECTION 4: Interim regulations. The following provisions are adopted as interim requirements for issuing permits pursuant to the MPMC for land uses within Saturn Park, and any construction or operation in the City in conflict with these provisions is expressly prohibited:

A. Restricted Activities. For a period of 45 days after adoption of this Ordinance, the City will not issue a permit or land use entitlement to any person for constructing, placing, or operating within the McCaslin Business Park, i.e., Saturn Park utilizing MPMC Chapter

21.14. The City Manager, or designee, must review any application for a permit or land use entitlement to determine compliance with the provisions of this Ordinance. City employees, and City boards and commissions, are directed to refrain from accepting, processing, or approving any application for any land use entitlement, including, without limitation, use permits, variances, building permits, licenses and certificates of occupancy, necessary for constructing, placing, or operating within the Saturn Park area, and to refrain from processing and issuing approvals for any land use entitlement for any pending applications already received.

These restrictions do not apply to construction projects with active building permits and any emergency repairs or replacement of an element of a building, structure, utility system, or equipment that is essential to protect the public health, safety and welfare. These prohibitions will remain effective for 45 days following adoption of this Ordinance.

SECTION 5: Construction. This Ordinance must be broadly construed to achieve the purposes stated in this Ordinance. It is the City Council’s intent that the provisions of this Ordinance be interpreted or implemented by the City and others in a manner that facilitates the purposes set forth in this Ordinance.

SECTION 6: Enforceability. Repeal of any provision of the MPMC does not affect any penalty, forfeiture, or liability incurred before, or preclude prosecution and imposition of penalties for any violation occurring before this Ordinance’s effective date. Any such repealed part will remain in full force and effect for sustaining action or prosecuting violations occurring before the effective date of this Ordinance.

SECTION 7: Validity of Previous Code Sections. If this entire Ordinance or its application is deemed invalid by a court of competent jurisdiction, any repeal or amendment of the MPMC or other city ordinance by this Ordinance will be rendered void and cause such previous MPMC provision or other the city ordinance to remain in full force and effect for all purposes.

SECTION 8: Severability. If any part of this Ordinance or its application is

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deemed invalid by a court of competent jurisdiction, the city council intends that such invalidity will not affect the effectiveness of the remaining provisions or applications and, to this end, the provisions of this Ordinance are severable.

SECTION 9: Publication. The City Clerk is directed to certify the passage and adoption of this Ordinance; cause it to be entered into the City of Monterey Park’s book of original ordinances; make a note of the passage and adoption in the records of this meeting; and, within fifteen (15) days after the passage and adoption of this Ordinance, cause it to be published or posted in accordance with California law.

SECTION 10: Report. Pursuant to Government Code § 65858, the City Manager, or designee, must prepare a report for City Council consideration describing the measures taken to address the conditions which led to adoption of this Ordinance. This report must be provided to the City Council so that it may be considered and issued not later than 10 days before this Ordinance expires.

SECTION 11: Effective Date. This Ordinance will become effective immediately upon adoption pursuant to Government Code §§ 36937 and 65858 for the immediate preservation of the public peace, health, safety, and welfare.

Pursuant to those statutes this Ordinance is adopted by a four-fifths vote.

SECTION 12: Expiration Date. After adoption, this Ordinance will be repealed by operation of law on August 2, 2024, unless a subsequent ordinance is adopted by the City Council that extends this date.

PASSED AND ADOPTED this ____ day of _________, 2024.
____________________________
Thomas Wong, Mayor
ATTEST:
________________________________
Maychelle Yee, City Clerk
APPROVED AS TO FORM:
________________________________
Karl H. Berger, City Attorney

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Staff Report
June 18, 2024
ATTACHMENT 2
2020 LUE – Innovation/Technology Land Use

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70 GOALS AND POLICIES | Monterey Park Land Use and Urban Design Element A list of all land use designated
DENSITIES & INTENSITIES is
provided in Table LU-1.

INNOVATION/

TECHNOLOGY
USES

MONTEREY PASS
FAR: 0.65
HEIGHT (FT.): 35

SATURN PARK
FAR: 0.60
HEIGHT (FT.): 40

CORPORATE PLACE
FAR: 1.00
HEIGHT (FT.): 50

INTENSITIES

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Monterey Park Land Use and Urban Design Element | GOALS AND POLICIES 71 Technology will continue to evolve rapidly, changing how people work and do business. The City aims to
accommodate and encourage new businesses that
promote innovation and advances in technology, creating places for high-skilled and knowledge workers. The
Monterey Pass Road corridor and Saturn Park district (on Saturn Street) provide prime properties, easy access to arterial roadways and freeways, and locations near housing perfect for new, clean technology, and creative industries.

The Monterey Pass Road corridor and Saturn Park
district historically have been areas where a range of
industrial businesses—including intensive manufacturing operations—have thrived. However, in Saturn Park, uses
transitioned in the latter 1990s to lighter industrial and offi ce enterprises in response to public concerns about the proximity of heavy industrial uses to residential
neighborhoods. Along Monterey Pass Road, warehousing,
trucking, and auto repair uses increased because of the distance from neighborhoods and relatively easy freeway access. While these uses have provided service-oriented jobs, the City is interested in attracting industries that off er higher-paying jobs and attract people of diverse interests, incomes, and talents who wish to both live and work in
Monterey Park.

Properties along Monterey Pass Road and south of
Davidson Drive between Monterey Pass Road and
Corporate Center Drive have interesting and unique
industrial buildings that can be retroﬁ tted for creative offi ce, research and development, and even commercial space
such as breweries. The City’s goal is to phase out trucking- intensive uses in favor of more environmentally sensitive businesses. Also, the City aims to improve the physical appearance of the corridor with increased landscaping,
improved signage, identity lighting, and other public realm interventions. Finally, to provide for better interaction among land uses along the corridor, the City will provide better accommodations for pedestrians and cyclists and
control cut-through traffi c, as described in the Mobility Element.

Saturn Park will continue to function as a business park, focused on offi ce-type and research and development
uses, with supportive commercial businesses. Private
reinvestment in properties will be encouraged through
higher development intensity allowances. In turn, the City will require greater attention to landscaping, creative site design, and building quality.

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Monterey Park Land Use and Urban Design Element | GOALS AND POLICIES 73 GOAL 25 Saturn Park as a destination business park
for high-quality service industry, research and
development, and emerging industry jobs
Policy 25.1 Zoning. Ensure that zoning regulations applicable to Saturn Park permit the range of uses necessary to achieve land use goals, including prohibition on uses involving the storage and use of hazardous materials having a Class 4 ranking (UFC Standard 79-3 or succeeding ranking). Prohibit uses that conﬂ ict with the goals.

Market. Market the Saturn Park district as a premier location in the San Gabriel Valley for emerging technology businesses.

Identity. Create a distinct physical identity for the Saturn Park district.

Policy 25.2
Policy 25.3

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Staf
City Council Staff Report
DATE: June 18, 2024
AGENDA ITEM NO:

TO: The Honorable Mayor and City Council
FROM: Shawn Igoe, Director of Public Works
SUBJECT: Spirit Bus – Fixed Route Transit Service
RECOMMENDATION:

It is recommended that the City Council consider:

1. Authorizing the City Manager to execute a Fifth Amendment to Agreement No. 1636-A with First Transit, Inc., in a form approved by the City Attorney, for fixed route transit service in an amount not to exceed $1,939,270. The Amendment extends the term for six months, from July 1, 2024 to December 31, 2024, with the option for a month-to-month term until June 30, 2025;

2. Appropriating $907,000 in Proposition A and C Local Return Funds from fiscal year 2023-2024 to continue to operate regular service hours in the current fiscal year;

3. Authorizing the City Manager to execute a Second Amendment to Agreement No 2294 with Arcadis-IBI Group Consultants, in a form approved by the City Attorney, for an additional amount not to exceed $24,665 . The Amendment extends the term through June 30, 2025.

4. Providing direction on service improvement strategies; and

5. Taking such additional, related, action that may be desirable.

EXECUTIVE SUMMARY:

The City of Monterey Park operates a fixed -route transit service, Spirit Bus , by contract with First Transit, Inc. Since its return to service in July 2022 following a suspension for the Covid-19 pandemic, the City has been working with Arcadis -IBI Group Consultants on evaluating the system’s efficiency and identifying areas of improvement. Through additional data collection, staff has been able to compare ridership trends pre- and post- pandemic and has a better understanding of the use of the system and it s cost effectiveness. It is recommended that City Council authorize the Fifth Amendment to Agreement 1636-A with First Transit, Inc. to extend services to operate Spirit Bus for six months in an amount not to exceed $1,032,270. The current Agreement will terminate on June 30, 2024 and the Amendment will extend the term to December 31, 2024. It is further recommended to add an option for a month -to-month term until June 30, 2025 . An extension of services with the current contractor will allow the City to develop a new service program that would be incorporated into the RFP for the new contract for transit/mobility services.

New Business - 5B

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Staff Report

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June 18, 2024
BACKGROUND:

The Spirit Bus service operates five local routes and the LINK shuttle service on weekdays from 6:30 am to approximately 6:30 pm. Routes 1 to 4 are loop alignments that link various residential neighborhoods (Brightwood, Highlands, Garvey Ranch) to commercial areas. Route 5 provides service between Atlantic Square/East Los Angeles College (ELAC) and the Metrolink commuter rail station at Cal State Los Angeles (CSULA). The Link operates as a shuttle service between the LA Corporate Center and the CSULA Metrolink Station. Due to the pandemic, service for all routes was suspended in April 2020 and returned with reduced hours in July 2022. As of June 2023, all five routes and the LINK have returned to the ir regular pre-pandemic schedule (6:30 am to 6:30 pm, Monday to Friday).

System Evaluation
In 2022, the City began working with Arcadis-IBI Group Consultants to evaluate Spirit Bus performance by completing an assessment of existing and future conditions, new technologies, and changing demographics. As part of this study, the City distributed a community and student survey, hosted in -person and virtual workshops, engaged the business community, analyzed service conditions and completed an operational analysis of the bus system. On September 7, 2022, Arcadis -IBI presented an overview and preliminary results of the study to City Council. At the time, the City had limited on/off boarding data for each route. Bus stop boarding and alighting data can identify which segments of bus routes are being used. The City has since implemented the Passio Go app software to collect boarding and alighting data. The app also provides riders with real-time information on when the bus would arrive at a stop to improve service reliability.

To recap the data presented by Arcadis-IBI on September 7, 2022 to the City Council , ridership had been decreasing since 2017.

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Staff Report

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June 18, 2024
when service hours returned to pre-pandemic levels, shows that ridership has increased slightly.

Conversely, the Dial-A-Ride service for Monterey Park seniors has seen a return to pre - pandemic ridership levels: 10,312 boardings in fiscal year 2023 compared to 10,572 boardings in fiscal year 2019. This data is encouraging and supports the use of door -to- door/on-demand service to supplement/replace current fixed -route service areas that have low ridership.

Costs for operating the Spirit Bus service have risen substantially due to increases in driver salaries and bus maintenance. Due to a decline in ridership, the cost per boarding has significantly increased for services post-pandemic.

Vehicle Service Hourly
Rate
Cost per Passenger
Boarding
2019 $59.31 $4.39
2023 $104.01 $57.82
*Service was suspended April 2020-June 2022
The Spirit Bus System currently consists of heavy -duty 32 -foot buses and mid -sized cutaway vehicles. The current fleet includes eight City owned buses and one spare bus provided by First Transit. The large buses are at the end of their useful life and the mid - sized vehicles will need to be replaced in the next two years. The proposed implementation of new service strategies complements the timing of the purchase of replacement vehicles. The City ca n expect reduced vehicle maintenance costs with the retirement of the heavy-duty buses that may no longer be appropriate given the current ridership levels. Large buses are costly to operate and maintain due to the increased cost for parts ,and service. Additionally, the current buses cause excessive wear and tear on local, residential streets. To aid in further offsetting future transportation costs, City Council may consider supplemental revenue sources such as the use of buses, benches and/or shelters for advertisement purposes.

Service Improvement Strategies
Based on community feedback received through survey research and community engagement and analysis of existing Spirit Bus services, key service design issues have been identified. Such issues include the need to simplify or redesign routes that are presently one-way loops which can result in “out of direction travel.” Also important is addressing connectivity to key trip attractors/generators that did not exist when the Spirit bus routes were first designed in the 1990’s. Ancillary concerns identified include the need for service expansion to additional days of week and earlier/later time of day; increased service frequency; more direct/less transfers; first/last mile access; and enhanced marketing and communications – better information on how to use transp ortation services. Service improvements that are being considered include: fixed route restructuring that reflect a more linear configuration and better connectivity to major trip

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Staff Report

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June 18, 2024
attractors/generators and on-demand service for single-family residential neighborhoods that have low ridership.

Attachment 2 - Conceptual Service Improvement Strategies identifies potential changes to the current 5 routes:
 Route 1: Linear bi-direction route along Atlantic Blvd.  Route 2: Linear bi-direction route along Garfield Ave.  Route 3: Eliminate service south of Graves to Garvey Ranch and extend route east to Atlantic Blvd.
 Route 4: Eliminate route and provide coverage to service area through on-demand service
 Route 5: Expand service to connect with Metro E Line Station at Atlantic and Pomona and eliminate service east of Atlantic and Riggin . Provide additional coverage through on-demand service along Riggin Road, including service to the Monterey Park Marketplace Shopping Center.

Dial-a-Ride
In addition to the replacement of Spirit bus vehicles, three Dial-A-Ride vehicles that have reached the end of their useful life are scheduled to be replaced in FY2024. The vehicles due for replacement includes two Prius es and one Dodge minivan. Larger vehicles will be purchased than the current Prius models. The benefit of the Priuses was the ability to maneuver the vehicle s into tight parking lots and garages and reduce travel time .

However, the drawback was limited storage for groceries for group passenger shopping trips (e.g., Costco, Ralphs). The proposed replacement vehicles will accommodate more passengers as well as cargo. Another improvement to Dial-A-Ride is upgrading its manual dispatch system to a software program that can optimize routes and improve on-time performance. The new paratransit dispatch and scheduling software will allow the current dispatch staffing to more efficiently match customer requests to available slots and increase the total number of passenger trips. These improvements can facilitate the expansion of Dial-A-Ride to service residential areas that will no longer be served by the Spirit Bus service.

Costs
The cost to operate the Spirit But is currently $108.66 per hour. Each of the 5 routes cost the City $325,980 per year (12 hours per day, Monday to Friday).

FY2023 costs for the city’s Dial-A-Ride service is $ 642,775. This budget includes three full-time drivers, dispatcher, administrative overhead , and vehicle operations and

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Staff Report

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June 18, 2024
maintenance. With an annual driver salary cost of $58,100 and per vehicle operating cost of $22,000, expanding the Dial-A-Ride program by two drivers is expected to be under $160,200 per year for operating costs only. Based on these figures, there is potential cost savings to reconfigure the Spirit Bus system with the addition of additional Dial-A-Ride service:

Eliminating one Spirit Bus route (#4) $325,980
Adding two Dial-A-Ride drivers/vehicles $160,200
Cost savings $165,780
Recommendation
At this time, staff recommends implementing the proposed service improvement strategies through a pilot program. The pilot would include proposed restructuring of routes, temporary elimination of Route #4, and on-demand transportation services to service areas no longer served by Spirit Bus. To move forward with the proposed pilot program and continue transit operations, it is recommended that the City amends its agreement with First Transit to continue operating the fixed -route transit system for six months - extending the term of the Agreement from June 30, 2024 to December 31, 2024.

An extension of services with the current contractor will allow the City to develop service improvement strategies and conduct a pilot run of the proposed service(s). The Request for Proposal (RFP) for a new contract will reflect the approved changes.

The total cost for First Transit’s Fifth Amendment is $ 1,939,270. A portion of this cost is to cover regular service hours for the remaining of fiscal year 2023 -2024. The Fourth Amendment with First Transit was based on reduced service hours when service first resumed after the pandemic. Subsequently, the City decided to return to the normal schedule as of July 1, 2023. The additional cost to operate regular service hours until June 30, 2024 is $907,000. For the new fiscal year, 2024 to 2025, the cost to operate the normal schedule is $ 1,032,270 for the first six months . The Amendment provides an option to continue service on a month to month basis until the end of the fiscal year (June 30, 2025).

Staff also recommends an amendment to the agreement with Arcadis-IBI Group Consultants to extend the term of the agreement and increase the project budget by an additional $24,665. Due to the additional data collection and analysis of services, the consultant’s services has extended longer than originally anticipated. By amending the contract, the City would be able to continue to work with Arcadis -IBI to develop service recommendations and complete the RFP process for a new contract. 2023-2024 STRATEGIC PLAN GOAL:

The extension of the Spirit Bus Agreement with First Transit meets the City’s goal of Sustainability. This will ensure that public transportation services are provided to the community without disruption while the City develops and implements service improvements.

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Staff Report

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June 18, 2024
FISCAL IMPACT:

The City’s Spirit Bus service is funded by Proposition A and Proposition C funds. The cost for the Fifth Amendment to Agreement 1636-A with First Transit, Inc is $ 1,939,270. A portion of this cost - $907,000 - will need to be allocated from current year - fiscal year 2023 to 2024 - Proposition A and Proposition C Funds ($453,500 each). The remainder - $1,032,270 ($516,135 Proposition A and $516,135 Proposition C) - will be budgeted as part of the fiscal year 2024-25 budget cycle. The cost for the Second Amendment to Agreement No 2294 with Arcadis-IBI Group Consultants is $24,665. There are sufficient funds in the fiscal year 2024-25 budget for the proposed amendment.

Respectfully submitted by: Reviewed by:

Shawn Igoe
Department Director
Martha Garcia
Director of Finance
Approved by: Reviewed by:

Inez Alvarez
City Manager
Ephraim S. Margolin
Deputy City Attorney
ATTACHMENT(S):

1. First Transit Proposal

2. Spirit Bus Conceptual Service Improvement Strategies

3. Arcadis-IBI Group Consultant Proposal

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Staff Report
June 18, 2024
ATTACHMENT 1
First Transit Proposal

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FY 2022 - 2023 FY 2023 - 2024 FY 2024 - 2025
HOURLY RATE COMPONENTS YEAR 1 YEAR 2 YEAR 3

1. Operating Costs -Operator Labor 328,360.34 305,372. 98 657,083.97 Supv/Dispatcher Wages 96,706.40 99,752.65 185, 322.36 Fringe 147,472.99 147, 662.85 273,609.01 Fuel - - -

2. Maintenance Costs 222,833.01 233, 107.25 435,719.96

3. Administrative Costs 113,193.44 114, 909.67 210,488.95

4. Maintenance/Operating Facilities 19,104.00 19,772. 64 36,763.80

5. Insurance 64,784.67 65,677.82 123, 691.10

6. City and Other Fees/Taxes 1,682.00 1,740.87 3,175.17

7. Capital Costs - Revenue Vehicles - - - Support Vehicle 7,702.57 8,156.85 14,751.38
Technology - DriveCam,Geotab 9,512.13 9,023.64 16,710.88 Shop Equipment - - -
Office 2,413.33 2,413.33 3,993.14

8. Start-Up Costs 16,709.86 16,709. 86 -

9. Profit 42,936.45 53,910.55 103, 226.83

10. Other Costs - - -

11. Total Costs (Sum of Lines 1-10) 1,073,411.19 1,078,210.96 2,064,536.55

12. Vehicle Revenue Hours 10,320 10,320 19,000

13. Hourly Rate (Line 11 divided by Line 12) 104.01 104.48 108.66

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Staff Report
June 18, 2024
ATTACHMENT 2
Spirit Bus Conceptual Service
Improvement Strategies

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Spirit Bus - Conceptual Service Improvement Strategies
1 of 7
City of Monterey Park
Development of Spirit Bus - Conceptual
Service Improvement Strategies
Service Evaluation Update - 2024
• Initial Sprint Bus service evaluation – completed
in June 2022 based on pre-Covid ridership data
(2019)
• Service suspended in April 2020
• Recap: ridership had been decreasing since
2017.

FY Revenue
Hours Boardings Boarding/
Revenue Hour
2017 18,904 299,033 15.8
2018 18,769 260,101 13.9
2019 18,828 232,775 12.4
2020 (July-Apr) 13,738 162,427 11.8
April 2020 to June 2022 No Service
2023 (reduced service) 9,454 26,210 2.8
1st Qtr. 2024 (July-Oct) 6,466 19,017 2.9
o Modified service hours (July 2022 to June 2023), ridership (boarding/revenue hour) decreased by 80% from pre-pandemic levels. (Of note: Montebello Bus Lines also saw a dramatic decrease (58%) to pre-pandemic ridership for its route in Monterey Park.) o Spirit Bus operating costs have risen substantially due to increases in driver salaries and bus maintenance.
▪ Cost per Vehicle Service Hour: July 2019: $59.31. Post pandemic commencing July 1, 2022, the rate increased to $104.01, a 75% increase. ▪ With declining ridership, the total cost per boarding in 2019 was an average of $4.39 while the total cost per boarding for 2023 increased to $57.82.

Conversely, the Dial-A-Ride service for Monterey Park seniors has seen a return to pre-pandemic ridership levels: 10,312 boardings in fiscal year 2023 compared to 10,572 boardings in fiscal year 2019. This data is encouraging and supports the use of door-to-door/on-demand service to supplement/replace current fixed-route service in areas that have low ridership.

The development of Spirit Bus conceptual service improvement strategies has been informed by past and present service evaluations (including Spirit Bus ridership/boardings by route segments - presented in Exhibit 1); operational and financial performance; and robust community engagement and survey research endeavors.

The following presents a summary of: What Had We Heard; key Design Issues; Conceptual Service Improvement Strategies, and a commentary on Fiscal Impact. • Important step in the Covid-19
recovery phase
• Target to:
o Provide better transit services
o Grow ridership base
o Respond to changing customer
expectations & demand)
o Identify financially sustainable
changes (with existing resources)
• Identify specific service modifications
over next 3-5 years

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What Had We Heard
Key takeaways from the community
engagement and survey research
endeavors are:

Why People are NOT Using Spirit
Bus:
▪ Infrequent service
▪ Not close enough (home or
destination)
▪ Need to transfer
▪ Takes too long
▪ Don’t know what bus to take
Type of Improvements:
▪ Better information
▪ Mobile phone app - real-time info.
▪ Weekend service
▪ Earlier morning service
▪ On-demand ride hailing service
▪ More frequent bus service
▪ More direct service / fewer
transfers required
Design Issues

1. Routes 1-4 are designed primarily to connect residential neighborhoods to Downtown Monterey Park.
• Impedes productivity by discouraging two-way passenger traffic across the service day.

Limited demand for AM travel away from Downtown and PM travel toward Downtown. • Excessive circuity in Downtown area alignments.

2. Need to simplify or redesign Routes 1 and 2 presently operating one-way loops in opposite directions on similar alignments to create bi-directional service to customers. • Confusing to customers because the routes are not the same and so travel times are not the same in opposite directions.
• Route 2 loop through the Monterey Highlands is a significant inconvenience to most customers using the route.

3. Route 4 should be modified to address Metro’s discontinuation of Route 258 service on Monterey Pass Road.

4. Only Route 5 connects directly to the CSULA Metrolink and Metro J (Silver) Line stations.

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• Most residents (except Riggin Street) need a two-seat bus ride (i.e., transfer between Spirit routes) to travel from residence to the stations.

5. Spirit’s main transfer point at City Hall for Routes 1-4 is not served by regional bus lines. • Discourages transfers between Spirit and Metro/MBL buses. • Location adds travel time for transferring customers.

6. Spirit does not connect directly to the E (Gold) Line terminal station on 3rd Street west of Atlantic Boulevard.

7. Service to McCaslin Business Park is limited to one morning and one afternoon trip on the Route 5 timetable.
• Currently designed to shuttle reverse commuters to and from the CSULA Metrolink and Metro J Line stations.

8. Currently no Spirit Bus service to Marketplace Shopping Center (Costco, Home Depot, restaurants) – an emerging destination.

Conceptual Service Improvement Strategies
Based on the design issues noted above, the technical team presents potential service improvement concepts for discussion and possible further evaluation (illustrated in Exhibit 2).

Improvement concepts – A Way Forward, include:
▪ Consideration of route restructuring to reflect a more linear configuration and connectivity to major trip attractors/generators.
▪ Convert service to on-demand/microtransit delivery framework with consideration of:
o Select service areas
o Select times of day/days of week
o Integrated with Dial-A-Ride
o Discussions with LA Metro (possible expansion of Micro service) These modifications were further informed by the following:
• Review of pre-pandemic ridership data and a comparison to ridership data gathered since all 5 Spirit Bus routes resumed service in July 2023.
• Review of service cost increases and ridership/revenue decreases • Community outreach and feedback gathered in 2022.

Presented for discussion, conceptual service improvement strategies are listed by route below.

Route 1
Ridership is down along the downtown segment from 75-100 riders per day pre-pandemic to about 50 riders per day in October 2023. This is still one of the higher ridership segments. Other segments have recovered to pre-pandemic ranges but with lower ridership. Confusion in directionality for passengers suggests route could be restructured from a one-way loop to a linear route along Atlantic.
• Restructure service routing to accommodate bi-directional travel.

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Route 2
Ridership along the Atlantic Boulevard, Downtown, and Garfield segments represent only 24-40% of pre-pandemic ridership numbers. Ridership along the Hillside and Riggin St. segments has recovered but remains low at 13-18 passengers per day on average. Confusion in directionality for passengers suggests route could be restructured from a one-way loop to a linear route along Garfield.
• Restructure service routing to accommodate bi-directional travel. • Eliminate residential loop north of Floral Drive to improve travel times and reduce circuity.

Route 3
Route 3 ridership has returned to within pre-pandemic ranges along all segments and carries 83 passengers per day in the downtown core as of October 2023. However, the reservoir loop impedes two-way passenger travel and is the lowest ridership along the route at 35 passengers per day. • Eliminate of fixed-route service south of Graves Avenue. • Redirect current route to travel north on Alhambra Avenue from Graves Avenue to provide new service to relatively dense residential neighborhoods and increase service frequency. • Provide on-demand ride hail service within a defined zone south of Graves Avenue to provide more flexible travel options to existing passengers. • Potentially extend existing route farther east to Atlantic Avenue in combination with service changes proposed for Route 4 (below).

Route 4
No segment along Route 4 is generating more than 57% of ridership compared to pre-pandemic.

Monterey Pass and Corporate Center segments are getting less than 5 passengers per day.

Downtown loop is duplicated by other routes.
• Eliminate existing fixed route transit service.
• Provide on-demand ride hail service within a defined zone along Monterey Pass Road and in the residential neighborhoods to the north that are currently served by Route 4. • Provide connectivity through on-demand service to CSULA Metrolink and Metro J (Silver) Line stations.

Route 5
Data by stop is limited due to unresolved issues with onboard technology. Overall data by route shows an average of 21 passengers per day along the whole route in October 2023. Ridership along E Riggin St. and McCaslin Business Park segments was low in 2019 and is now likely lower. Route 5 does provide a key connection to CSULA Metrolink Station and could be altered to serve ELAC transit center and Metro E Line.
• Eliminate existing fixed route transit service east of Atlantic and Riggin that currently operates for only two daily trips.
• Expand service to connect with Metro E Line Atlantic Station/Kaiser Permanente East Los Angeles Medical Offices.

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• Expand existing Monterey Park Dial-a-Ride service to allow trips within a defined service area along Riggin Road and providing connectivity to the southeastern corner of the city, including service to the Monterey Park Marketplace Shopping Center.

These modifications are designed to improve service by replacing poorly performing, infrequent, and circuitous routes with more flexible service that still meets the needs of residents that live in areas that are not well suited to fixed route transit. It would also provide a new connection for residents to regional transit and to an important commercial destination and improve service frequency for Route 3 while adding service through a relatively densely populated neighborhood.

Fiscal Impact
As previously mentioned, the conceptual service improvement strategies contained herein are presented for discussion and possible further evaluation.

If an appetite to advance the further evaluation of Spirit Bus service improvement strategies, it is anticipated that alternate service delivery scenarios including levels of service for route restructuring (including schedules, frequency, and span of service) and the deployment of on-demand services will be commensurate with available fiscal resources.

For example, if the Route 4 were discontinued, the approximate $320k for this current route operations could be reallocated to on-demand services.

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Exhibit 1: Spirit Bus Boardings by Route Segment – 2019 & 2023

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Exhibit 2: Conceptual Service Improvement Strategies

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Staff Report
June 18, 2024
ATTACHMENT 3
Arcadis-IBI Group Consultant Proposal

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Submitted to the City of Monterey Park
by Arcadis IBI
June 2024

Spirit Bus Service Improvement Strategies:

Deployment & RFP Assistance

PROPOSAL

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ARCADIS IBI
SPIRIT BUS SERVICE I MPROVEMENT STRA TEGIES : DEPLOYMENT & RF P ASSISTANCE Submitted to the City of Monterey Park
June 2024 1
Table of Contents
1 Context............................................................................................................................... 1 2 Scope of Work ................................................................................................................... 2 Phase 1: Deployment of Spirit Bus Service Improvement Strategies ................................. 2 Phase 2: Bid Document/RFP & Procurement Assistance ............................................... 3 3 Schedule ............................................................................................................................ 5 4 Cost Proposal .................................................................................................................... 5

Attachment 1: Development of Spirit Bus - Conceptual Service Improvement Strategies

1 Context
In March 2022 the City entered into a Professional Services Agreement (PSA) with IBI Group1 to undertake an evaluation of Spirit Bus services (Phase I) and to prepare a Request for Proposals (RFPs) and provide procurement assistance
(Phase II) for Spirit bus operations.

In the first quarter of 2024 Arcadis completed a re-evaluation of the Spirit bus service (post- Covid performance) resulting in the development of conceptual service improvement strategies as presented in Attachment 1 (Development of Spirit Bus - Conceptual Service Improvement Strategies)
The following provides for a proposal to assist the City in the following (revised) two phases:
▪ Phase 1: Development of a pilot project for the deployment of Spirit Bus service improvement strategies: and
▪ Phase II: Preparation of an RFP and on-going procurement assistance (as had been envisioned in the original PSA).

1 In September 2022 IBI Group was acquired by Arcadis and is currently doing business as Arcadis, a California Partnership.

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2 Scope of Work
Phase 1: Deployment of Spirit Bus Service Improvement Strategies Implementing the recommended Spirit Bus improvement strategies (pilot program) requires a structured approach to ensure that the proposed changes or innovations are effectively tested, evaluated, and refined before broader implementation or permanently deployed. The Phase I work plan will include:

1. Refinement of Scope and Objectives
• Scope: Clearly define what the pilot project will cover, including geographical areas, target groups, specific services, or processes to be tested. • Objectives: Set clear, specific, and measurable objectives that the pilot project aims to achieve.

2. Refinement of Service Improvement Strategies – fixed route restructuring and introduction of on-demand services
• Service and Operating Characteristics: Define level of service – span, frequency, integration with Passio Go app, etc.
• Future Equipment, Facility, and Infrastructure needs: A restructured, and more dynamic transit/mobility services may require the necessary infrastructure to support operations and capital improvements. We will identify future equipment, technology, facility, and infrastructure needs.

3. Identify Key Performance Indicators (KPIs)
• Performance Metrics: Establish KPIs to measure the success of the pilot project. These metrics could include user satisfaction, operational efficiency, cost-effectiveness, or environmental impact.

4. Develop a Detailed Plan
• Tasks and Activities: List all tasks and activities required to implement the pilot. • Timeline: Create a detailed timeline that outlines when each task will be completed. • Dependencies: Identify dependencies between tasks to ensure a logical sequence of activities.

5. Financial Planning - provide a financial road map for implementing identified alternatives and demonstrating their sustainability.
• Budgeting: Create a detailed budget for the proposed improvements, including cost estimates for new vehicles, infrastructure upgrades, and technology investments. • Funding Sources: Identify potential funding sources such as government grants, public- private partnerships, and fare revenue adjustments.

6. Marketing and Communication Plan
• Marketing Plan: Branding and Messaging – defining how Spirit Bus and on-demand services are to be perceived by the public. Key Messages: Develop core messages that communicate the benefits and features of the transit service improvements. • External Communication: Plan for communication with stakeholders, users, and the public.

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7. Implement the Pilot Project: Provide a blueprint for the City’s on-going service and program monitoring and evaluation, to address:
• Monitoring and Data
Collection
• Evaluation and Reporting
• Review and Decision-
Making
• Plan for Scale-Up or Full
Implementation

Final Service Deployment/Implementation Report
The deployment/implementation report will provide the following information for each priority service:
• Route structures and service levels (spans and headways) required including schematic route layouts by area.
• Operating characteristics including running time and recovery, revenue hours, vehicle and staffing requirements.
• Supporting facilities and programs required for the service. • The most appropriate service configuration/operation based on geographic coverage and portraying planned levels of service hours and service miles.

Phase 2: Bid Document/RFP & Procurement Assistance
The following task descriptions reiterate those initially presented in IBI Group’s December 2021 proposal.

1. Prepare Bid Document/RFP
This task includes the authoring of the Scope of Work for a transit service operating contract bid document or Request for Proposals (RFP). It is our understanding that the City will provide ‘boiler plate’ material reflecting common City of Monterey Park procurement requirements.

In addition to Scope of Work, reflecting terms and conditions of fixed-route transit operations, the RFP will also reflect:
i. Compliance with Federal procurement requirements (FTA Circular Compliance).

Complementing the FTA contracting compliance requirements, we will also work with city staff in providing guidance as articulated in FTA’s “Best Practices Procurement Manual” (BPPM). The BPPM provides suggested procedures, methods, and examples to advise a recipient how it might conduct its third party procurements in compliance with Federal laws and regulations and FTA Circular 4220.1F guidance. These procedures, methods, and examples are based on the Federal acquisition process, U.S. Comptroller General Decisions, and "Best Practices" of recipients of FTA assistance and others in the industry, and FTA encourages recipients to adopt them as needed.
http://www.fta.dot.gov/funding/thirdpartyprocurement/grants_financing_6037.html ii. Include/validate requirements for data management and reporting including key performance indicators (KPIs), data reporting metrics for NTD reports; etc.

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We understand and have reviewed a select number of driver “daily trip sheets” of manually written ridership (by fare type), mileage, etc. that we assume then get transcribed into a database. This functionality could be marginally automated through the use of on-board tablets for (manual) data entry. Further, this capability is standard protocol for most small urban transit systems and is often a capability provided by the contractor. We will discuss the prospect of incorporating this capability in the RFP process.

In the absence of incorporating any enhanced technology, we will incorporate language relating to a quality check or standards processes. It may be prudent to have bidders suggest how they will comply, in terms of operational processes. While imperative that the RFP identify KPIs, it is important that the RFP not be too prescriptive in terms of how bidders are to comply. iii. Include measures for performance monitoring including but not restricted to on-time performance. Again, it is our experience that an RFP process is not too prescriptive in terms “how” a contractor is to meet or comply with functional requirements or a scope of work. A preferred approach may be to give bidders the latitude to propose how they will meet functional requirements. For example, an RFP may specify the requirement to ensure on-time performance, specifics of how a proponent will accomplish this monitoring and recording function may be left to their discretion. It is our experience that few will rely on manually recording on a daily trip sheet.

These three key elements of the core review/ modify the draft RFP task speak to the need to prepare the draft RFP document through a lens of; (a) performance based criteria; and (b) future opportunities to leverage technology to address monitoring functions such as on-time performance (i.e., use of GPS/real-time vehicle tracking info., etc.).

Further, it will be important to discuss the structure and bid requirements specifically regarding price/cost proposals (vs. technical/management proposals) and options for each to be submitted separately (separate envelopes or documents uploaded to bid platform site).

A. RFP Issuance

The initial phase of this task includes:

1. Preparation of a bidders list for City review.

2. Providing the content for the City to issue a notice inviting bids.

3. Providing content and suggested lists, sites, industry publications, etc. for the publication of the invitation to bid.

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The next phase is that of issuing the RFP document, facilitating bidders conference, address questions and answers and subsequently author any addenda (as required).

Participate in Pre-Bid Meeting: Arcadis will participate in a pre-proposal meeting with prospective bidders and assist the City in presenting information and responding to technical questions. We will be responsible for preparing sign-in sheets, presentation material, and authoring meeting minutes.

Review Pre-Bid Questions and Prepare Addendum. We will review questions from prospective bidders that are both received in writing during the bidding process (with a predetermined “cut- off” date for written questions) and questions presented at the pre-bid meeting/conference call and prepare, in coordination City officials (Transportation Operations Manager), appropriate responses. As required, we will develop content for City issued addenda.

It is important to discuss ‘how’ the RFP will be distributed. Options range from distribution via email, upon request to using a bid platform such as PlanetBids. The latter provides for a central depository for all RFP documents, requires bidders to register, and enables electronic submissions. Conversely, there are advantages to having bid submissions in hard copy/binders.

B. Post-RFP / Evaluation & Award

The bid opening will be undertaken in compliance with the City’s Purchasing policies and procedures. As previously discussed, we will work with the City in determining most appropriate format for bid submissions.

Evaluation Matrix: This task will include the preparation of an evaluation matrix for the review and evaluation of proposals. For illustrative purposes, an example of an evaluation matrix and scoring, is presented below.

In short, the evaluation process will result in an impeccable paper trail, well documenting an objective process for contractor selection.

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Example of evaluation matrix/proposal scoring:

Interviews and Award: Arcadis will facilitate proposer interviews and the drafting of a letter recommending contract award. For illustrative purposes, an example of an interview evaluation matrix and scoring, is presented below.

Best and Final Offer (BAFO): We will assist the City and requesting proposers to submit a best and final offer (BAFO), as applicable.

City Council Agenda Report and Presentation: We will work with City staff in the preparation of their Staff Report for City Council’s award of contract.

A Total Possible Points Eval 1 Eval 2 Eval 3 Eval 4 Eval 5 Eval 6 Eval 7 Eval 8 Total Score Avg. Score Relevant Experience 20 15 17 16 0 15 20 15 16 114.00 14.25 Management & Ops. Plan 24 18 12 20 10 5 24 18 19 126.00 15.75 Aabillity to Hire & Retain Personnel 24 15 8 20 10 5 22 15 18 113.00 14.13 Cost Proposal 24 15 12 18 6 10 18.48 16.5 13 108.98 13.62 MOD Applications 5 5 2 3 5 5 5 3.5 5 33.50 4.19
DBE 3 3 2 3 3 3 0 1.5 3 18.50 2.31
TOTAL 100 71 53 80 34 43 89.48 69.5 74 513.98 64.25
B Total Possible Points Eval 1 Eval 2 Eval 3 Eval 4 Eval 5 Eval 6 Eval 7 Eval 8 Total Score Avg. Score Relevant Experience 20 10 15 13 0 10 20 10 9 87.00 10.88 Management & Ops. Plan 24 10 10 18 10 10 22 14 15 109.00 13.63 Aabillity to Hire & Retain Personnel 24 10 15 20 10 8 20 15 9 107.00 13.38 Cost Proposal 24 18 15 19 12 12 20.8 20 19 135.80 16.98 MOD Applications 5 3 2 5 5 5 5 3 3 31.00 3.88
DBE 3 3 2 3 3 3 3 2.5 3 22.50 2.81
TOTAL 100 54 59 78 40 48 90.8 64.5 58 492.30 61.54
C Total Possible Points Eval 1 Eval 2 Eval 3 Eval 4 Eval 5 Eval 6 Eval 7 Eval 8 Total Score Avg. Score Relevant Experience 20 18 15 17 15 15 19 14 17 130.00 16.25 Management & Ops. Plan 24 15 15 22 0 15 23 15 18 123.00 15.38 Aabillity to Hire & Retain Personnel 24 15 22 21 15 15 24 15 15 142.00 17.75 Cost Proposal 24 20 20 22 24 20 24 24 21 175.00 21.88
MOD Applications 5 2 2 2 5 5 3 2.5 3 24.50 3.06
DBE 3 3 2 3 3 3 3 2 3 22.00 2.75
TOTAL 100 73 76 87 62 73 96 72.5 77 616.50 77.06
D Total Possible Points Eval 1 Eval 2 Eval 3 Eval 4 Eval 5 Eval 6 Eval 7 Eval 8 Total Score Avg. Score Relevant Experience 20 18 15 18 15 18 18 15 18 135.00 16.88 Management & Ops. Plan 24 22 22 22 24 22 22 14 23 171.00 21.38 Aabillity to Hire & Retain Personnel 24 22 24 23 15 22 21 17 23 167.00 20.88 Cost Proposal 24 24 24 21 18 18 23.2 23 24 175.20 21.90 MOD Applications 5 5 2 3 5 5 1 2 5 28.00 3.50
DBE 3 3 3 3 3 3 0 1.5 3 19.50 2.44
TOTAL 100 94 90 90 80 88 85.2 72.5 96 695.70 86.96

SCORING SUMMARY
Total Possible Points A B C D
Relevant Experience 20 14.25 10.88 16.25 16.88
Management & Ops. Plan 24 15.75 13.63 15.38 21.38
Aabillity to Hire & Retain Personnel 24 14.13 13.38 17.75 20.88 Cost Proposal 24 13.62 16.98 21.88 21.90
MOD Applications 5 4.19 3.88 3.06 3.50
DBE 3 2.31 2.81 2.75 2.44
TOTAL 100 64.25 61.54 77.06 86.96

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June 2024 5
3 Schedule
We understand that time is of the essence and that the City is recommending a contract Amendment to the current First Transit contract to extend the term to December 31, 2024 (and to add an option for a month-to-month term until June 30, 2025).

The following presents the project schedule to address the Phase I (Deployment planning) and Phase II RFP and procurement assistance). Assuming a Notice to Proceed in early July, we will complete the deployment planning by the end of August 2024. Working concurrently, Arcadis will prepare the bid document/RFP by mid to late September 2024. October to early/mid- December will be spent advertising the RFP, evaluating submissions and contract award. 4 Cost Proposal
The following presents our proposed cost proposal to complete the Phase I (Deployment) and Phase II (RFP) tasks described herein.

BUDGET

AVAILABLE
BUDGET
(PREVIOUS PSA)

ADDITIONAL
BUDGET
Phase 1: Deployment
of Spirit Bus Service
Improvement
Strategies
$13,200. $0. $13,200.

Phase 2: Bid
Document/RFP &
Procurement
Assistance
$25,840 $14,375. $11,465.

TOTAL $39,040. $14,375 $24,665.

Original 2022 PSA budget:

Phase I $42,910.

Phase II $25,840.

ODCs $ 250.

TOTAL $69,000.

The Phase I and ODCs have been fully spent. Through 05/31/24, $10,090. of the Phase II budget has been spent with Arcadis having completed the re-evaluation of transit services and development of conceptual service improvement strategies analysis and report.

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June 2024 6

Attachment 1

Development of Spirit Bus
Conceptual Service Improvement Strategies

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Spirit Bus - Conceptual Service Improvement Strategies
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City of Monterey Park
Development of Spirit Bus - Conceptual
Service Improvement Strategies

Service Evaluation Update - 2024
• Initial Sprint Bus service evaluation – completed
in June 2022 based on pre-Covid ridership data
(2019)
• Service suspended in April 2020
• Recap: ridership had been decreasing since
2017.

o Modified service hours (July 2022 to June 2023), ridership (boarding/revenue hour) decreased by 80% from pre-pandemic levels. (Of note: Montebello Bus Lines also saw a dramatic decrease (58%) to pre-pandemic ridership for its route in Monterey Park.) o Spirit Bus operating costs have risen substantially due to increases in driver salaries and bus maintenance.
▪ Cost per Vehicle Service Hour: July 2019: $59.31. Post pandemic commencing July 1, 2022, the rate increased to $104.01, a 75% increase. ▪ With declining ridership, the total cost per boarding in 2019 was an average of $4.39 while the total cost per boarding for 2023 increased to $57.82.

Conversely, the Dial-A-Ride service for Monterey Park seniors has seen a return to pre-pandemic ridership levels: 10,312 boardings in fiscal year 2023 compared to 10,572 boardings in fiscal year 2019. This data is encouraging and supports the use of door-to-door/on-demand service to supplement/replace current fixed-route service in areas that have low ridership.

The following presents a summary of: What Had We Heard; key Design Issues; Conceptual Service Improvement Strategies, and a commentary on Fiscal Impact.

• Important step in the Covid-19
recovery phase
• Target to:
o Provide better transit services
o Grow ridership base
o Respond to changing customer
expectations & demand)
o Identify financially sustainable
changes (with existing resources)
• Identify specific service modifications
over next 3-5 years

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What Had We Heard
Key takeaways from the community
engagement and survey research
endeavors are:

Why People are NOT Using Spirit
Bus:
▪ Infrequent service
▪ Not close enough (home or
destination)
▪ Need to transfer
▪ Takes too long
▪ Don’t know what bus to take

Type of Improvements:
▪ Better information
▪ Mobile phone app - real-time info.
▪ Weekend service
▪ Earlier morning service
▪ On-demand ride hailing service
▪ More frequent bus service
▪ More direct service / fewer
transfers required

Design Issues

1. Routes 1-4 are designed primarily to connect residential neighborhoods to Downtown Monterey Park.
• Impedes productivity by discouraging two-way passenger traffic across the service day.

Limited demand for AM travel away from Downtown and PM travel toward Downtown. • Excessive circuity in Downtown area alignments.

3. Route 4 should be modified to address Metro’s discontinuation of Route 258 service on Monterey Pass Road.

4. Only Route 5 connects directly to the CSULA Metrolink and Metro J (Silver) Line stations.

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6. Spirit does not connect directly to the E (Gold) Line terminal station on 3rd Street west of Atlantic Boulevard.

8. Currently no Spirit Bus service to Marketplace Shopping Center (Costco, Home Depot, restaurants) – an emerging destination.

Presented for discussion, conceptual service improvement strategies are listed by route below.

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Route 4
No segment along Route 4 is generating more than 57% of ridership compared to pre-pandemic.

Monterey Pass and Corporate Center segments are getting less than 5 passengers per day.

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Fiscal Impact
As previously mentioned, the conceptual service improvement strategies contained herein are presented for discussion and possible further evaluation.

For example, if the Route 4 were discontinued, the approximate $320k for this current route operations could be reallocated to on-demand services.

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Exhibit 1: Spirit Bus Boardings by Route Segment – 2019 & 2023

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Exhibit 2: Conceptual Service Improvement Strategies

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City Council Staff Report
DATE: June 18, 2024
AGENDA ITEM NO:

TO: The Honorable Mayor and City Council
FROM: Karl H. Berger, City Attorney
SUBJECT: Consideration and possible action to direct the City Attorney to seek an Attorney General Opinion regarding the use of “claw machines” within the City of Monterey Park
RECOMMENDATION:

It is recommended that the City Council consider:

1. Whether to direct the City Attorney to request a California Attorney General Opinion regarding the legality of “claw machines”; and

2. Taking such additional, related, action that may be desirable.

BACKGROUND:

In May, the City’s Community Development Department received a request from a business owner to process a conditional use permit (“CUP”) to open an arcade utilizing a “claw machine” (see attached description from Wikipedia). Because the “claw machine” appeared to require a separate permit by Monterey Park Municipal Code (“MPMC”) Chapter 5.20, the Community Development Director asked me to review the MPMC to determine whether there was a more expedient method of addressing the game permit requirement.

A review of MPMC Chapter 5.20 shows that those regulations were adopted by the City Council in the late 1950s ( see, e.g., Ordinance No. 874, adopted November 23, 1959).

Most local gambling regulations were superseded by California law in the late 1990s when the Legislature enacted a comprehensive regulatory scheme for gambling that is enforced by the Bureau of Gambling Control. That Bureau is a division of the California Attorney General’s Office. Generally, local agencies may only regulate bingo and card rooms; all other gaming is regulated by the California Penal Code. With that understanding, I reviewed the Penal Code requirements as to claw machines.

In doing so, I found the attached Law Enforcement Advisory dated November 1, 2010 issued by the Bureau of Gambling Control. It identifies claw machines as a “[c]ommon type” of illegal gambling device. Based upon the Police Chief’s information from representatives of the Bureau of Gambling Control, this 2010 Advisory continues to be in effect. Consequently, a claw machine is classified as an illegal gambling device. As a result, the City cannot process the CUP application by the arcade owner: the City cannot approve a CUP for illegal activity.

New Business - 5C

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Staff Report

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June 18, 2024
The Police Chief is aware of other arcades in town that currently utilize claw machines as games. The Bureau of Gambling Control advised the Chief that it (the Bureau) was not going to undertake enforcement actions; it is up to the Chief to enforce the Pen al Code prohibitions as to those existing establishments.

It seems prudent – both for the pending CUP applicant and currently operating arcades – to clarify whether the 2010 advisory remains valid. Accordingly, the City Council may direct me to seek an opinion from the California Attorney General regarding this matter.

FISCAL IMPACT:

Time spent on contacting the Attorney General regarding this matter will be part of the City Attorney’s monthly retainer.

Respectfully submitted by:

Karl H. Berger,
City Attorney
Attachment(s)

1. 2010 DOJ Opinion

2. Description of “claw machines”

3. Regulations from Monterey Park Municipal Code regarding permitting

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Staff Report
June 18, 2024
ATTACHMENT 1
2010 DOJ Opinion

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BUREAU OF

GAMBLING

CONTROL
EDMUND G. BROWN JR

Attorney General
JACOB A. APPELSMIT

H,
Bureau Chief
NUMBER 10 LAW ENFORCEMENT ADVISORY NOVEMBER 1, 2010 Illegal Gambling Devices
The Bureau of Gambling Control (Bureau) provides this advisory regarding illegal gambling devices in response to inquiries from local law enforcement agencies, inquiries from state agencies including the California State Lottery and the California Department of Alcoholic Beverage Control, and from the Bureau’s observations in the field. This advisory also addresses misrepresentations contained in documents circulating in the industry that are fraudulently prepared to appear as though they were issued by this office. As a general matter, most, if not all, gambling devices—other than those operating in California Tribal Casinos—that a person pays to play, and that offer anything of value for playing, are illegal devices. Common types of illegal devices include coin pushers, electronic trivia games that include any element of chance, claw machines, traditional slot machines, and slot machines that purport to have a skill element.

The attached flow chart outlines the steps for determining what is an illegal gambling device. (See attachment #1.)
Illegal Gambling Devices
California’s gambling device statutes are broad in their coverage and prohibit any person from owning, renting, or possessing illegal gambling devices. (Penal Code, §§ 330a, 330b, 330.1.) An illegal gambling device has three features:

1. It is a machine, apparatus, or device (coin operation is not required);

2. Something of value is given to play the device; and

3. The player has the opportunity to receive something of value by any element of hazard or chance (“something of value” is not limited to coins, bills, or tokens—it also includes free replays, additional playing time, redemption tickets, gift cards, game credits, or anything else with a value, monetary or otherwise.) (Penal Code, §§ 330a, 330b & 330.1.) In addition, if a device can readily be converted to have the features of an illegal gambling device, (as listed in 1, 2, and 3 above), it is an illegal device. (Penal Code, § 330b(d).)

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Narrowl
y Defined Amusement Device Exception
Devices that fall within the definition of an illegal gambling device above may nevertheless qualify for the “pinball” or “amusement device” exception if they meet the narrow requirements set forth in the provisions of Penal Code section 330b, subdivision (f), and section 330.5. A gaming device qualifies for the amusement device exception, and therefore is lawful, if it:

1. Provides an opportunity to win nothing other than additional or free play; and

2. Is predominantly a game of skill.

A lawful device is one that is predominately a game of skill (as are most arcade pinball machines), on which what can be won is limited to additional chances or free plays. If, however, the player has paid to play and can win something other than additional plays, such as food, toys, or other prizes, the machine does not qualify for the amusement device exception and is an illegal gambling device. As an additional example, a coin pusher is an illegal gambling device, whether or not it purports to have an element of skill, because the player can win coins by playing.

California Tribal Casinos
California Tribal Casinos are permitted to operate slot machines pursuant to the terms of

approved Tribal-State Compacts and California law.

False Representations Regarding the Legality of Devices The Bureau has obtained memorandums that falsely purport to be issued by the Office of the Attorney General claiming that coin pusher games are legal as games of skill. (See attachment #2.) In addition, the Bureau has received information that some manufacturers and vendors are misrepresenting the Penal Code’s narrow “amusement device” exception in an attempt to portray their gambling devices as compliant with California law.

The Attorney General’s Office has not approved any such device for play in California, nor issued any opinion or statement regarding the legality of any such device on the basis of the predominance of skill. The Bureau notes, however, that its field operations have detected a growing number of gaming devices throughout California that are illegal because they offer prizes and are not otherwise exempted from the prohibitions of the Penal Code.

The purpose of an advisory is informational. An advisory does not constitute legal advice.

For more information regarding this advisory, contact the California Department of Justice, Bureau of Gambling Control at (916) 263-3408

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Staff Report
June 18, 2024
ATTACHMENT 2
Description of "claw machines"

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A claw machine in Ustroń, Poland
Claw machine
A claw machine i s a t y p e o f arcade game. Modern claw machines are upright cabinets with glass boxes that are lit from the inside and have a joystick-controlled claw at the top, which is coin-operated and positioned over a pile of prizes, dropped into the pile, and picked up to unload the prize or lack thereof into a chute. [1][2] They typically contain stuffed toys or other cheap prizes, and sometimes contain more expensive items like electronic devices and fashion accessories. [3][4] Claw machines are also known as skill cranes, claw cranes, a n d crane games, and are known as UFO catchers in Japan due to the claws' resemblance to UFOs.[5][6][7]
The earliest claw machines are believed to have been created in the late 19th century and inspired by the machines used to build the Panama Canal, while the first patented claw machine, the Erie Digger, was inspired by the creation of the Erie Canal and invented in 1926. It and its successor, the Miami Digger, were popular throughout the United States during the 1930s, specifically during the Great Depression, as carnival attractions and as furniture in public places. By the 1980s, claw machines were ubiquitous in both the United States and Japan; the success of Sega's UFO Catcher machines in the 1980s and 1990s inspired a claw machine craze in the latter country. Claw machines have made appearances in numerous video games, music videos, films, and television shows since at least the 1990s.

In the late 2010s, claw machines became immensely popular in South Korea and Taiwan as cheap entertainment due to their slowing economies at the time, with the number of claw machine arcades in both places rising into the thousands. Also in the 2010s, claw machines that could be remotely controlled via mobile applications or websites began turning up online.

Claw machines are often rigged to modify the claw's strength on each turn, and are consequently considered gambling devices in some jurisdictions.

Claw machines are believed to have originated in the United States in the 1890s, when they were made to resemble the machines that built the Panama Canal.[7] The first patented claw machine, the Erie Digger, was a glass box containing candy and other small objects, a chute, and a coin- operated miniature steam shovel that moved in an arc, could be moved with a handle, and could be lifted and dropped into the chute using a hand crank. [8] It was invented in 1926, manufactured by Early history
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Illustration of an Erie Digger in a
1927 issue of The Billboard
A row of UFO catchers in Akihabara,
Tokyo
the Erie Manufacturing Company, and named after the construction of the Erie Canal . It found success at carnivals, partially because it did not require electricity like other carnival attractions. Throughout the 1930s, it saw use as furniture in train stations, hotels, drugstores, cigar stores, and bus stations, where it was used to keep customers entertained. [2] During the Great Depression, designing intricate, Art Deco claw machines for hotels and stores became a lucrative endeavor.[9]
The Miami Digger, invented by American carnival operator William Bartlett of Miami a n d p a t e n t e d b y h i m i n 1 9 3 2 , improved upon the design of the Erie Digger by using an electric motor and allowing the crane to move around the entire box.[9] It was also known as the Nickel Digger, as it contained money, such as nickels and silver dollars, as prizes; premium versions of the diggers had watches and cigarette lighters as prizes for adults. Bartlett became rich from the popularity of the machines and died in 1948.[2]
Japanese companies Sega and Taito began designing trolley- style claw machines in the 1960s. [2] They gained popularity in Japan during the late 1970s, with crane games ranking among Japan's top ten highest-grossing electro-mechanical (EM) arcade games of 1977 and 1978.[10][11] Sega released their UFO Catcher claw machine in 1985 and made their first shipment of it in 1986.[12] It had sold 10,000 cabinets by 1991, its popularity inspiring Sega's creation of the Dream Catcher in 1989 and the New UFO Catcher i n 1 9 9 1 w h i l e m a k i n g t h e UFO Catcher series responsible for 90 percent of stuffed toy claw machine sales.[13] By 1994, its claw could be changed to fit the sizes and shapes of different prizes, and it had become a craze across Japan: arcades started dedicating entire floors to UFO Catcher cabinets—of which Sega had sold over 40,000, making it Sega's best-selling game at the time—and the term "UFO catcher" became synonymous with crane games in Japan.[14][15][16]
Sega Shinjuku Kabukicho, a two-story Sega arcade in Shinjuku, Tokyo c o n t a i n i n g 4 7 7 c l a w machines, received the Guinness World Record for having the most claw machines in a single venue in 2021, a record previously held by the Taito Station in Fuchū, Tokyo for having 454 machines.[17] As of 2023, Yuka Nakajima of Japan holds the Guinness World Record for being the most successful claw machine player due to winning more than 3,500 Rilakkuma teddy bears from Global popularity
In Asia
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A claw machine arcade in Hsinchu,
Taiwan
claw machines. [18][19] In 2021, claw machines accounted for more than half of the revenue at Japanese arcades, according to the Japan Amusement Industry Association .[20] J a p a n e s e c l a w machines can also contain cakes as prizes.[21][22]
The number of claw machine arcades and the popularity of claw machines both experienced a sharp increase in South Korea in 2016 and 2017, specifically in Seoul neighborhoods with universities like Hongdae and Sinchon. From 2015 to 2017, the number of South Korean claw arcades increased from 20 to 1,900, while mentions of claw machines on Korean social networks also increased during that time. Korea JoongAng Daily and The Korea Herald attributed the increased interest to South Korea's harsh economy at the time leading to a desire for cheap entertainment, while U.S. News & World Report associated it with the country's increasing youth unemployment.[23][7][24]
In Taiwan, where claw machine arcades are usually open all day and owners sublet their machines to different operators, claw machines became especially popular as inexpensive entertainment starting in 2017, due to their costing NT$10 to use. The number of claw machine arcades in Taiwan increased from 920 in 2016 to 3,353 in 2018 and, as of 2019 , there are more than 10,000. [25] A 2018 survey of children aged seven to 18 reported 32.7 percent of them using claw machines one to three days a week and over four percent using them every day. [26] The Central Bank of the Republic of China increased their budget in 2019 to produce more NT$10 coins to accommodate the increasing popularity of claw machines in Taiwan. By 2018, the average monthly revenue for operating a claw machine was around NT$5,000.[4] The largest claw machine arcade in China, LJJ Station in Beijing, has more than 60 machines with stuffed toy versions of characters from WeChat animations.[27] Before 2020, claw machines were popular in Thai shopping malls; a 2020 survey conducted by the advocacy group No Gambling Youth Club stated that 75 of the 92 shopping malls surveyed contained 1,300 claw machines collectively.[28][29]
In the United States, claw machines became ubiquitous in the 1980s. [2] T h e y a r e c o m m o n a t carnivals, grocery stores, shopping malls, arcades, amusement parks, and bowling alleys. [30][31] The world's largest claw machine, according to Guinness World Records, is a 17 by 8 by 12 feet machine designed by the Dayton, Ohio-based creative agency Real Art and opened in 2014.[32] There were many instances of children getting stuck inside of claw machines in the United States throughout the 2010s, including in Tennessee, New York, Kentucky, Nebraska, Pennsylvania, [32] North Carolina,[33] and Texas.[34]
United States
Online and in popular culture
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A girl using a claw machine at the
Lake of the Ozarks State Park in
Missouri, U.S.

Online claw machines are claw machines controlled remotely online, with prizes that get shipped to users' homes upon being won.[35] Since the 2010s, mobile apps, such as Clawee in Israel and Sega Catcher Online in Japan, and websites, such as Netch in Japan and the Santa Claw in the United States, have allowed users to remotely use claw machines stored in warehouses in their respective countries.[36][37][6][38]
The 1993 Nintendo Entertainment System (NES) video game Kirby's Adventure includes a minigame based on the UFO Catcher, while the 1998 PlayStation game Bomberman World has a UFO catcher-themed battle stage. [15][39] S e g a ' s 2 0 0 5 video game Yakuza and its sequels Yakuza 0 a n d Yakuza Kiwami also feature UFO Catcher machines.[40][41][42] The 2019 video game Link's Awakening includes a claw machine as a side activity.[43] In the 1995 film Toy Story, Buzz Lightyear a n d Sheriff Woody c l i m b i n t o a c l a w vending machine filled with claw-worshipping aliens.[44] In the SpongeBob SquarePants episode "Skill Crane" from its fourth season, Squidward becomes addicted to trying to win a prize from a claw machine. [45] Claw machines have also been featured in the music videos for Delta Heavy 's 2019 song "Take Me Home", Corpsegrinder's 2022 song "Bottom Dweller", and the City Girls' 2022 song "Good Love".[46][47][48]
The passing of the Johnson Act by Congress in 1951, which prohibited the transfer of electronic gambling devices across state lines, led to Miami Diggers at carnivals being destroyed by operators or seized by government officials. Carnival owner Lee Moss organized other carnival owners together to protest against the classification of the diggers as gambling machines. Because of this, a compromise was soon reached that allowed carnival owners to keep the diggers but required them to be manually operated with no coin slot and prizes that were not money and worth one dollar or less, while the government would tax each machine US$10. Regulations loosened in 1973 due to the Federal Bureau of Investigation (FBI) abandoning the Johnson Act. [2] A s o f 2 0 1 5, s t a t e regulations generally require that claw machines contain less valuable prizes. [31] M o s t s t a t e s exempt claw machines from their gambling laws.[49]
In New Jersey, claw machines are regulated by the Legalized Games of Chance Control Commission. In 2016, New Jersey Senator Nicholas Scutari proposed legislation that would add specifications to prevent claw machines from being unwinnable. [49] Some attorneys have advised claw machine owners to avoid using the word "skill" in the game description decal present on most machines.[50]
In other jurisdictions, such as Alberta, Canada, skill cranes are illegal unless the player is allowed to make repeated attempts (on a single credit) until he or she wins a prize.[51] Skill cranes in single- play mode (where the player has only one chance per credit to try for a prize) were found by the Legality
North America
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Since the 1920s, advertising fo r claw machine s has suggested that they are able to be wo n completely through strategy and skill. Cla w machines can be set t o giv e players a chance of winning during every paid turn if the y use a "Play Til l Win" setting.[3] Settings like claw streng th—which is controlled b y the amount of voltage sent to a claw—and "dropping skill"—the abil
ity of a claw to dro p a prize back into the machin e after picking it up—are frequentl y modifie d by arcade owner s to control the odd s of a playe r winning and are ofte n based on how much mone y the machin e has earned. [31] Claw machine rigging has bee n reported in the Unite d States, South Africa, South Korea, and Singapore.[30][3][24][57]
Ontario Court of Appeal to be essentially games of chance, and therefore prohibited except at fairs or exhibitions, where they are covered by an exemption. [52] Chances
of winning
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Staff Report
June 18, 2024
ATTACHMENT 3
Regulations from MPMC regarding permitting

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City of Monterey Park, CA
Tuesday, June 11, 2024
Title 5. Business Licenses and Regulations
Chapter 5.20. AMUSEMENTS
§ 5.20.010. Definitions.

For the purposes of this and Sections 5.20.020 through 5.20.140, the following terms are defined as hereinafter set forth:
"Any game similar to a marble game" means:

Any miniature mechanical bowling game device, by whatever name called; and Any table, cabinet or mechanical device equipped for the playing of any game whereby any marble, ball, pellet, or any tangible moving object is propelled, rolled, shot or released toward a goal, pin set of pins, or other objective by means of any plunger, ejector, mechanical bat, mechanical band or by means of any other striking or releasing mechanism which is affixed or attached to the table or cabinet, or which is an integral part of the mechanical device or which is mechanically manipulated, controlled or guided; either of which is so contrived that at the conclusion of the operation or play thereof, a result is visible or otherwise discernible so as to permit or make practical the playing off or awarding of a prize or reward upon the operation or play of the game. Excepted therefrom are games included within the definition of "game of skill and science" of this section. "Claw, hook, or grab machine" means any amusement machine or device so designed that articles placed or heaped therein for the purpose of the game may be grabbed, hooked, or otherwise displaced, recovered or removed by the operation of any contrivance simulating in miniature a power-shovel, clamshell, dragline or similar excavating tool or machine. "Game of skill and science" means any game participated in by one or more players:

For any prize, gift or award of anything of value, or
To produce any mechanically or electrically scored result visible or otherwise discernible at the conclusion of the operation or play thereof so as to permit or make practical the playing off or awarding of a prize or reward where and when any charge is made by the person conducting, operating or maintaining such game, or any consideration is paid by any player for the right to play or participate in any such game, and the dominating factor in determining the result of such game is dependent upon the skill of the player or players and not upon chance; provided, that in any case where the result of such game may be dependent to some extent upon the judgment, intelligence or adroitness of the player, but nevertheless the dominating factor in determining the result of such game is chance, such a game shall not be considered as a game of skill and science, but shall be considered as a game of chance; but expressly not including any and all athletic games not played upon a table, cabinet or mechanical device and furthermore expressly excluding: billiards and pool games played upon billiard and pool tables of standard size and dimensions, the games of chess, checkers, all legal playing card games of skill and science, and athletic sporting events; "Horse racing machine" means any mechanically operated amusement machine or device contrived to simulate in miniature the running of a horse race or any other race run by beasts, human beings or machines, or which is contrived to put in motion any number of objects or symbols which then do, or appear to, run or move against each other in the manner of a miniature race, or which is designed to represent by symbols, the running of any race and the order of the finish thereof; "Marble game" means any table, cabinet or stand equipped for the playing of a game whereby marbles or balls are, with the aid of a mechanical plunger or other affixed device, propelled, released, shot or rolled so as to drop or come to rest in holes, slots, cups or traps, resulting in a score or tally being electrically or otherwise registered or shown which score or tally depends upon the course followed or point reached by the marble or ball or upon the contact points touched by it along its course, or upon any combination of such factors; "Pin game" means any table, cabinet or mechanism equipped for the playing of any game whereby any marble, ball, pellet or other moving object is propelled, released, rolled or shot along, over or above a surface set with pins, pegs or other obstructions or irregularities which deflect or impede the course of the moving object or which may divert or direct it beyond the control of the player. (
Prior code § 4251)
§ 5.20.030. Permits—Games of skill—Requirement.

No person shall place, install, keep, maintain, conduct, carry on or permit, suffer or allow the operation, maintenance, conduct or carrying on of any game of skill and science unless such person is the holder of a valid and unexpired permit then in full force and effect, issued under the provisions hereof; provided, however, that the provisions of this section and of Sections 5.20.040 through 5.20.140 shall not apply or be applied to games installed or operated by any charitable organization operating under a permit issued pursuant to Chapter 9.15 of this code, but only if said game or games are so operated by said charitable organization for an accumulative period of time of less than seventy-two hours in any calendar year.
(
Prior code § 4253)
§ 5.20.040. Permits—Games of skill—Application.
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Contents of all applications must be in writing, and shall be made by all parties interested in such game, whether as lessor, lessee, owner, agent, principal, concessionaire or otherwise: that is if an individual, by the individual; if a partnership of any kind, by all of the members of such partnership; if by an unincorporated association or a corporation, by each and all of the officers thereof. Each application shall be submitted to the city police department for investigation. Such application shall contain information, as follows:

The name and residence of each and all persons required to sign any application hereunder; The place of business where such proposed game of skill and science will be operated, maintained or conducted; The name of the game;
A detailed description of all equipment, apparatus, material or devices used in playing such game; A detailed description of the method of playing or operations; A statement that applicant, if granted a permit, will not permit, suffer or allow the game proposed to be operated or maintained to be played or operated in any mode other than as described in the application or by the use of any other equipment, apparatus or device other than as described and referred to in said application; A statement of all persons, firms or corporations having any legal or equitable interest in the ownership of said machine or in the profits thereof;
No application shall be accepted for filing unless the applicants, at the time of offering such application for filing, pay to the city license collector for the following sums:

For each applicant person who is an owner, lessor or other person having an interest in such machine or the profits thereof, who does not have a fixed place of business in the city, but who does business in the placing, installation, maintenance or servicing of such machines—an annual license fee of one hundred fifty dollars per year, prorated; For each applicant person having a fixed place of business within the city and owning, operating, leasing or otherwise locating such machines within the city—an investigation fee of seventy-five dollars, which investigation fee shall be nonrecurring expense; and an annual license fee of seventy-five dollars per machine, prorated. (
Prior code § 4253.1; Ord. 1470 § 8, 1978)
§ 5.20.050. Permits—Games of skill—Issuance.

There is established the games advisory committee, hereinafter referred to as G.A.C. which shall be composed of the city manager, the city attorney and the chief of police. Each application shall be submitted to G.A.C. for majority approval or denial. In reaching a decision, the committee shall be guided by the standards set forth in Section 5.20.070. The decision of the committee shall be considered as a recommendation only and final decision shall be made by the city council as hereinafter set forth; provided, however, that if no person files with the city council an objection to, or appeal of, the decision of G.A.C. within ten days after the decision thereof, then such decision of the G.A.C. shall be deemed final and conclusive upon all persons.

If G.A.C. fails to arrive at a decision, within thirty days after the application has been submitted, the application shall then be heard by the city council as hereinafter set forth;
The decision of G.A.C. shall be announced by written letter addressed to the applicant and by publishing notice thereof one time in the Monterey Park Progress;
No permit approved by G.A.C. shall become effective until expiration of appeal time or until final action by the city council; If the game proposed is the identical type of game previously authorized by the G.A.C., then the application may be granted by the license collector and no action by the G.A.C. shall be necessary thereon. (
Prior code § 4253.2)
§ 5.20.060. Permits—Games of skill—Notice—Hearing.

Upon the appeal of objection to, or nonaction of, the G.A.C., the city council shall cause the application to be set for public hearing not sooner than twelve, nor more than thirty days after the filing of such application and shall forthwith cause a notice of the fact that such application has been filed to be posted on the premises where it is proposed to conduct, carry on or operate any such game of skill or science and shall cause a copy of such notice so posted to be published once in the Monterey Park Progress, a newspaper of general circulation, printed and published in the city. The notice shall be entitled "Notice of Hearing on Application for Permit to Carry on Game of Skill and Science," which shall be printed in letters of not less than one inch in height, such notice shall be substantially in the following form:

Notice is hereby given that on the _____ day of __________, 20_____, at the hour of _____M in the hearing room of the City Council, to wit: the Council Chamber in the Monterey Park City Hall, 320 West Newmark Avenue, Monterey Park, California, the said Council will conduct a hearing upon the application of (Name of Applicant), to conduct at (Location named in application), in the City of Monterey Park, a game briefly described as follows: __________ full detail of method of play of same being set out in application heretofore filed with said City Council and now open for public inspection at the office of the City Clerk in the City Hall at Monterey Park, California. Any person having objections to the granting of said permit may at any time prior to the date above named, file with the City Council his or her objection in writing giving his or her reason therefor, and he may appear at the time and place of said hearing and be heard relative thereto.

Any person interested, at any time after the filing of such application and before the public hearing, may file written protests against the granting of any such permit and the city council shall, in considering the application, give consideration to all such protests so filed. (
Prior code § 4253.3; Amended during 2005 recodification) § 5.20.070. Permits—Application—City council findings.
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If, from the consideration of the application, such protests as may be on file and such other information as may be brought before the city council, the city council finds that the game proposed to be conducted is a game of skill and science and that such game is not prohibited by the provisions of Chapter 10, Title 9, Part 1, of the Penal Code of the state, or any other law of the state, or the provisions of Section 5.20.020 or any other ordinance of the city, and the city council further finds that applicant is of good moral character and repute, that the conducting, operating or maintaining of such game at the location described in the application will comport with the public welfare, and that said games may be so operated without causing or creating neighborhood nuisance problems of excessive noise, heavy traffic or gambling, then the city council may grant such application and issue a permit to conduct the same.

If the city council fails to so find, the application for permit shall be denied; provided, that if in making its determination of the questions as to whether the game proposed to be operated, conducted or maintained is a game of skill and science or a game of chance, the city council is of the opinion that although the result of such game is dependent to some extent upon judgment, practice, intelligence or adroitness on the part of participants in such game but nevertheless the dominating factor in determining the result of such game is chance, the city council shall find that the proposed game is a game of chance and not a game of skill and science, and the application for permit shall be denied. (
Prior code § 4253.4)
§ 5.20.080. Permits—Issuance—Conditions.

Any permit issued under the provisions hereof shall be issued only to the person named in the application and shall not be assignable or transferable either to another machine or another location; subject to other provisions hereof, such permit shall be valid until revoked or suspended and shall be issued upon and subject to the following conditions:

That permittee will not permit, suffer or allow the game authorized to be played in any manner other than the manner described in detail in the application;
That no equipment, apparatus, device, material or contrivance of any kind be used in the conduct of or playing of such game that is not described or referred to in the application;
That permittee shall not give or award any prize, award or gift to any participant in any such game which is money, tokens, checks, warrants, certificates, or chips exchangeable for money by permittee, his or her agents or employees; That permittee will not and does not enter into any agreement, combine or understanding with any person whatsoever to the effect that either permittee, his or her agents or someone acting for and on behalf of himself as contractor or otherwise, will buy any gift, prize or award given or awarded to any participant in any game, or exchange any such gift, prize or award for money; That the permittee will keep posted on such machine a decal issued by the city indicating licensing of such machine; That, if there is any change of ownership in a proprietorship, a partnership or more than fifty percent of a corporation; owning, managing or otherwise responsible for the operation of such game, that a new permit shall be required forthwith.

Each of the conditions shall be incorporated in and made a part of each permit issued hereunder.

No person shall conduct, operate or maintain any such game, or permit, suffer or allow the conducting, operation or maintenance of any game in any manner or mode except in accordance with and in strict conformance with each and all of the conditions set forth in this section. (
Prior code § 4253.5)
§ 5.20.090. Permits—Nonissuance.

No person, firm or corporation shall be issued any permit hereunder if, within one year next preceding the date of filing the application for permit, any permit previously issued to applicant hereunder has been revoked, as provided in this chapter. (
Prior code § 4253.6)
§ 5.20.100. Permits—Revocation—Grounds.

No permit shall be issued hereunder, and any permit issued hereunder shall be revoked or suspended by the city council, if any of the following conditions exist or occur:

That applicant for permit or the holder of any permit, as the case may be, has knowingly made any material misstatement in his or her application for permit;
That the holder of any permit has violated the provisions of Sections 5.12.010 through 5.20.080; or That any condition then exists which would have been grounds for denial of the application for permit; That it appears that the continued operation, maintenance or conducting of any such game will not comport with the public welfare; That the permittee expressly permits the public or patrons to use said licensed machine for gambling purposes; That the operation of said game has created a neighborhood nuisance of excessive noise, heavy traffic or gambling.

No permit shall be revoked for any cause until a public hearing has been held thereon, and permittee has been given five days' notice in writing of the time and place of such hearing.

Such notice may be given by depositing same in the United States mail in the city, postage prepaid, directed to the applicant at the address stated in his or her application or by delivering the same to permittee personally. Provided, that any permit may be suspended by the chief of po- lice pending the holding of a public hearing as provided above, by the chief of police causing a written notice of such temporary suspension to be delivered to permittee personally or by depositing a copy of such notice of temporary suspension in the United States mail in the city, with postage prepaid thereon, directed to permittee at the address given in the application. A copy of such notice, however served, shall be delivered to the city council within twenty-four hours after the service of same. The action of the chief of police in such a case shall be passed upon by the 6/11/24, 9:18 AM City of Monterey Park, CA AMUSEMENTS
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city council at its next regular meeting at which time the city council may continue the suspension in effect and order a public hearing thereon or dissolve the order.
(Prior code § 4253.7)
§ 5.20.110. Permits—Forthwith revocation.

If the permittee or any agent, employee or servant of permittee acting for and on behalf of such permittee in connection with the operation, maintenance or conduct of any game is convicted in any court of competent jurisdiction in the state, of having violated any law of the state prohibiting or regulating gaming or of having violated any ordinance of the city prohibiting gambling, all permits heretofore issued to such permittee shall be revoked by the city council forthwith upon the filing of a certified copy of final judgment of conviction of the court with the city council without hearing or previous notice.
(
Prior code § 4253.8)
§ 5.20.120. Games prohibited by law.

No permit issued by the city council shall authorize the conduct of any game which is prohibited by the state Penal Code or any other law of the state or this code or any ordinance of the city and any permit issued in violation of the provision thereof shall be void. (
Prior code § 4253.9)
§ 5.20.130. Confiscation.

When any person has been convicted of or pleaded guilty to any violation of the provisions hereof, or of any law of the state, which offense involved the operation, use, maintenance or possession of any game or article prohibited hereby and declared to be a nuisance, then such game or article shall be destroyed by the chief of police after the plea or after the judgment of conviction has become final. (
Prior code § 4253.10)
§ 5.20.140. Remedies cumulative.

All remedies prescribed by the provisions of this chapter shall be cumulative. (
Prior code § 4253.11)
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RESOLUTION NO.

A RESOL

UTION OF THE CITY COUNCIL OF THE CITY OF MONTEREY
PARK, CALIFORNIA, DECLARING AND RECOGNIZING JUNE 24-28, 2024, AS NATIONAL BOYS & GIRLS CLUB WEEK
BE
IT RESOLVED by the Council of the City of Monterey Park as follows:

SECTI
ON 1: The City Council finds as follows:

A. The Bo
ys & Girls Club of America had its origins in 1860 when four women (Mary Goodwin, Alice Goodwin, Elizabeth Hammersley, and Louisa Bushnell) organized their first Boys Club with the belief that boys who roamed the streets should have a positive alternative. This first Boys Club focused on capturing boys ’ interests, improving their behavior, and supporting their aspirations and goals.

B. Mot
ivated by cultivating character development for youth and teens, several Boys Clubs decided to affiliate in 1906 and the Federated Boys Clubs was formed in Boston with 53 member organizations. This marked the start of a nationwide movement and their national organization.

C. In 1990,
the national organization’s name was officially changed to Boys & Girls Clubs of America to recognize the fact that girls are also a part of the cause. As of today, Boys & Girls Clubs of America serve over 3.3 million kids through memberships and community outreach programs in more than 5,200 C lub facilities.

D. The Boy
s & Girls Clubs of America’s mission is to enable all young people, especially those who need them the most, to reach their full potential as productive, caring, responsible citizens. Young individuals need safe, welcoming places where they can learn, grow, and thrive, and the Boys & Girls Clubs of America provides that access to life-shaping experiences.

E. Nat
ional Boys & Girls Club Week has been celebrated since 1941 and recognizes the invaluable service all Clubs bring to our communities. These Clubs pave the road for great futures for every young person who enters their doors and this week encourages community members to visit their local Club and get involved.

F. Mont
erey Park is home to the Boys & Girls Club of West San Gabriel Valley which was established in 1972 by Dr. Friedrich Thomas. The Boys & Girls Club of West San Gabriel Valley has been a cornerstone of the community and provides a safe, structured environment for young people after school, during holidays , and on summer vacation.

G. Wit
hout safe and supervised after- school activities, boys and girls in every community are left to find their own recreation and companionship in the streets .

Young people need to know that someone cares about them and the Boys & Girls June 18, 2024
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Club of West San Gabriel Valley has been offering these opportunities for more than 50 years in Monterey Park.

H. The Boys & Girls Club of West San Gabriel Valley is a safe place to learn and grow, all while having fu n and promoting social, educational, health, leadership, and character development of boys and girls during critical periods of their lives.

I. The City Council of Monterey Park supports all youth and teens in reaching their full potential and is committed to promoting safe, positive, healthy, and inclusive environments that catalyze meaningful change.

J. The City Council of Monterey Park hereby proclaims June 24-28, 2024, as National Boys & Girls Club Week and encourages all community members to celebrate by observing and participating in nationwide activities that include engaging with their local Club, learning about their mission, and discovering various programs that promote building a brighter future for our youth.

SECTION 2: Electronic Signatures . This Resolution may be executed with electronic signatures in accordance with Government Code §16.5. Such electronic signatures will be treated in all respects as having the same effect as an original signature.

SECTION 3: Recordation. The Mayor, or presiding officer, is authorized to sign this Resolution, signifying its adoption by the City Council of the City of Monterey Park , and the City Clerk, or her duly appointed deputy, may attest thereto.

SECTION 4: Effective Date. This Resolution will become effective immediately upon adoption and will remain effective unless repealed or superseded.

PASSED AND ADOPTED this 18th day of June 2024.

________________________________
Thomas Wong, Mayor

Attest:

__________________________
Maychelle Yee, City Clerk

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RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MONTEREY PARK, CALIFORNIA, DECLARING AND RECOGNIZING JUNE 23, 2024, AS THE 42ND ANNIVERSARY OF THE DEATH OF VINCENT JEN CHIN BE IT RESOLVED by the Council of the City of Monterey Park as follows:

SECTION 1: The City Council finds as follows:

A. June 23, 2024, marks the 42 nd anniversary of the passing of Vincent Jen Chin, a United States citizen of Chinese descent who was tragically murdered in a racially motivated assault in Michigan during the deindustrialization of the Midwest.

B. During the economic recession in the early 1980s, the decline of the auto industry provoked resentment toward imported Japanese cars in Detroit which was the center of the automotive industry in the United States.

C. The economic challenges in Detroit resulted in strong anti-Japanese sentiments.

Many American motor executives, politicians, unions, and autoworkers took out their frustration against anything and anyone they thought could be Japanese including acts of vandalism against Japanese cars, threats against Japanese car owners, disparaging signs, and attempts to burn the Japanese flag in protest.

D. Unfortunately, the animosity also extended to other Asian Americans who were lumped together as “perpetual foreigners” and invoked racial rhetoric that turned many to violence.

E. On June 19, 1982, Chin was chased down and beaten with a baseball bat by two men who accused him of being responsible for the loss of automobile manufacturing jobs in the United States while celebrating his upcoming wedding with friends in the Detroit area. Chin was rushed to a hospital and was comatose on arrival, however, he never regained consciousness and died four days later on June 23, 1982.

F. Chin’s killers were found guilty of manslaughter and sentenced to three years of probation and a $3,000 fine, never serving a day in jail for Chin’s murder.

G. The tragedy of Chin’s death became a primary catalyst for a unified, pan-ethnic Asian American and Pacific Islander (AAPI) movement and united people from all communities to fight against hate. The lessons of building solidarity and unity to obtain justice for Chin brought people together to counter division and hate and inspired older and younger generations to demand positive change.

H. Today, the fight against anti-Asian hate continues, but also includes other ongoing issues that affect the AAPI community such as profiling, xenophobia, bullying, immigration, and negative media portrayals.

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I. According to the Federal Bureau of Investigation (FBI), hate crimes reported by law enforcement agencies rose from more than 8,000 in 2020 to nearly 11,000 in 2021.

Anti-Asian hate crimes increased by 124% in 2020 and 339% in 2021.

J. Although the FBI has reported a 33% decrease in anti-Asian hate crimes for the first time from 2021 to 2022, anti-Asian hate continues to this day. Community members are urged to continue to raise awareness of anti-Asian hate crimes and to increase tolerance, safety, and belonging among the AAPI community.

K. The City of Monterey Park recognizes the significance of Vincent Chins’ death as an important time to reflect on the dangers of xenophobia and scapegoating of Asian and Asian-American communities. Chin’s death left an immense impact on Asian American communities locally and nationwide and the City of Monterey Park encourages the public to foster dialogue, share resources, and learn more about what they can do to combat anti-Asian hate.

L. The City Council of Monterey Park mourns all those who have lost their lives to anti- Asian hate and declares and recognizes June 23, 2024, as the 42nd anniversary of the passing of Vincent Jen Chin.

SECTION 3: Recordation. The Mayor, or presiding officer, is authorized to sign this Resolution, signifying its adoption by the City Council of the City of Monterey Park, and the City Clerk, or her duly appointed deputy, may attest thereto.

SECTION 4: Effective Date. This Resolution will become effective immediately upon adoption and will remain effective unless repealed or superseded.

PASSED AND ADOPTED this 18th day of June 2024.
________________________________
Thomas Wong, Mayor
Attest:
__________________________
Maychelle Yee, City Clerk

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Monterey Park City CouncilJune 18, 2024

Monterey Park City Council
June 18, 2024