Placentia City Council
May 21, 2024

AGENCY
Marsh Risk & Insurance Services

NAMED INSURED
PlaceWorks, Inc
3 MacArthur Place, Suite 1100
Santa Ana, CA 92707

POLICY NUMBER

CARRIER

NAIC CODE
EFFECTIVE DATE:

ADDITIONAL REMARKS

THIS ADDITIONAL REMARKS FORM IS A SCHEDULE TO ACORD FORM, FORM NUMBER: 25 FORM TITLE: Certificate of Liability Insurance Errors & Omissions Retro Dates:
7/1/99 - Planning Center, Inc.
1/1/87 - Design Community & Engineering Inc.

Subject to policy terms, conditions, limitations and exclusions.

ACORD 101 (2008/01)
© 2008 ACORD CORPORATION. All rights reserved.

The ACORD name and logo are registered marks of ACORD

COMMERCIAL AUTO
Policy# BA1 N96406A2343G - Effective 07/01/2023
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

BUSINESS AUTO EXTENSION ENDORSEMENT
This endorsement modifies insurance provided under the following:

BUSINESS AUTO COVERAGE FORM
GENERAL DESCRIPTION OF COVERAGE - This endorsement broadens coverage. However, coverage for any injury, damage or medical expenses described in any of the provisions of this endorsement may be exduded or limited by another endorsement to the Coverage Part, and these coverage broadening provisions do not apply to the extent that coverage is excluded or limited by such an endorsement. The following listing is a general cover- age description only. Limitations and exclusions may apply to these coverages. Read all the provisions of this en- dorsement and the rest of your policy carefully to determine rights, duties, and what is and is not covered. m
LY

IMEMIMMI

PINI IIMIN
A. BROAD FORM NAMED INSURED
B. BLANKET ADDITIONAL INSURED
C. EMPLOYEE HIRED AUTO
D. EMPLOYEES AS INSURED
E. SUPPLEMENTARY PAYMENTS - INCREASED
LIMITS
F. HIRED AUTO - LIMITED WORLDWIDE COV-

ERAGE - INDEMNITY BASIS
G. WAIVER OF DEDUCTIBLE - GLASS

PROVISIONS
A. BROAD FORM NAMED INSURED
The following is added to Paragraph A.1., Who is
An Insured, of SECTION II - COVERED AUTOS
LIABILITY COVERAGE:

Any organization you newly acquire or form dur-
ing the policy period over which you maintain
50% or more ownership interest and that is not
separately insured for Business Auto Coverage.

Coverage under this provision is afforded only un-
til the 180th day after you acquire or farm the or-
ganization or the end of the policy period, which-
ever is earlier.

B. BLANKET ADDITIONAL INSURED
The following is added to Paragraph c. in A.1.,
Who Is An Insured, of SECTION II - COVERED
AUTOS LIABILITY COVERAGE:

Any person or organization who is required under
a written contract or agreement between you and
that person or organization, that is signed and
executed by you before the "bodily injury" or
"property damage" occurs and that is in effect
during the policy period, to be named as an addi-
tional insured is an "insured" for Covered Autos
Liability Coverage, but only for damages to which
CA T3 53 8215
H.

I.

J.

K.

L.

M.

N.

HIRED AUTO PHYSICAL DAMAGE - LOSS OF

USE - INCREASED LIMIT

PHYSICAL DAMAGE - TRANSPORTATION

EXPENSES - INCREASED LIMIT

PERSONAL PROPERTY

AIRBAGS

NOTICE AND KNOWLEDGE OF ACCIDENT OR
LOSS

BLANKET WAIVER OF SUBROGATION

UNINTENTIONAL ERRORS OR OMISSIONS
this insurance applies and only to the extent that
person or organization qualifies as an "insured"
under the Who Is An Insured provision contained
in Section II.

C. EMPLOYEE HIRED AUTO

1. The following is added to Paragraph A.1.,
Who Is An Insured, of SECTION II - COV-
ERED AUTOS LIABILITY COVERAGE:

An "employee" of yours is an "insured" while
operating an "auto" hired or rented under a
contract or agreement in an "employee's"
name, with your permission, while performing
duties related to the conduct of your busi- ness.

2. The following replaces Paragraph b. in B.5.,
Other Insurance, of SECTION IV - BUSI-
NESS AUTO CONDITIONS:
b. For Hired Auto Physical Damage Cover-
age, the following are deemed to be cov.
ered "autos" you own:
(1) Any covered "auto" you lease, hire,
rent or borrow; and
(2) Any covered "auto" hired or rented by
your "employee" under a contract in
an "employee's" name, with your
®2015TheTravelers Indemnity Company. All rights reserved.

Includes copyrighted material of Insurance Services Office, Inc. with its permission.

002088

Policv# BA1N96406A2343G - Effective 07/01/2023

COMMERCIAL AUTO
permission, while performing duties
related to the conduct of your busi-
ness.

However, any "auto" that is leased, hired,
rented or borrowed with a driver is not a
covered "auto".

D. EMPLOYEES AS INSURED
The following is added to Paragraph A.1., Who Is
An Insured, of SECTION II - COVERED AUTOS
LIABILITY COVERAGE:

Any "employee" of yours is an "insured" while us-
ing a covered "auto" you don't own, hire or borrow
in your business or your personal affairs.

E. SUPPLEMENTARY PAYMENTS - INCREASED
LIMITS

1. The following replaces Paragraph A.2.a.(2),
of SECTION II - COVERED AUTOS LIABIL-
ITY COVERAGE:
(2) Up to $3,000 for cost of bail bonds (in-
cluding bonds for related traffic law viola-
tions) required because of an "accident"
we cover. We do not have to furnish these
bonds.

2. The following replaces Paragraph A.2.a.(4),
of SECTION II - COVERED AUTOS LIABIL-
ITY COVERAGE:
(4) All reasonable expenses incurred by the
"insured" at our request, including actual
loss of eamings up to $500 a day be- cause
of time off from work.

F. HIRED AUTO - LIMITED WORLDWIDE COV-

ERAGE - INDEMNITY BASIS
The following replaces Subparagraph (5) in Para-
graph 8.7., Policy Period, Coverage Territory,
of SECTION IV - BUSINESS AUTO CONDI-
TIONS:
(5) Anywhere in the world, except any country or
jurisdiction while any trade sanction, em- bargo,
or similar regulation imposed by the United
States of America applies to and pro- hibits the
transaction of business with or within such
country or jurisdiction, for Cov- ered Autos
Liability Coverage for any covered "auto" that
you lease, hire, rent or borrow without a driver
for a period of 30 days or less and Hlat is not
an "auto" you lease, hire, rent or borrow from
any of your "employees", partners (if you are a
partnership), members (if you are a limited
liability company) or members of their
households.
(a) With respect to any claim made or "suit"
brought outside the United States of
America, the territories and possessions
of the United States of America, Puerto
Rico and Canada:

CO
You must arrange to defend the "in-
sured" against, and investigate or set-
tle any such claim or "suit" and keep
us advised of all proceedings and ac-
tions.
(ii) Neither you nor any other involved
"insured" will make any settlement
without our consent.
(iii) We may, at our discretion, participate
in defending the "insured" against, or
in the settlement of, any claim or
(iv) We will reimburse the "insured" for
sums that the "insured" legally must
pay as damages because of "bodily
injury" or "property damage" to which
this insurance applies, that the "in-
sured" pays with our consent, but only
up to the limit described in Para-
graph C., Limits Of Insurance, of

SECTION II - COVERED AUTOS
LIABILITY COVERAGE.
(v) We will reimburse the "insured" for
the reasonable expenses incurred
with our consent for your investiga-
tion of such claims and your defense
of the "insured" against any such
"suit", but only up to and included
within the limit described in Para-
graph C., Limits Of Insurance, of

SECTION II - COVERED AUTOS
LIABILITY COVERAGE, and not in
addition to such limit. Our duty to make
such payments ends when we have
used up the applicable limit of
insurance in payments for damages,
settlements or defense expenses.
(b) This insurance is excess over any valid
and collectible other insurance available
to the "insured" whether primary, excess,
contingent or on any other basis.
(c) This insurance is not a substitute for re-
quired or compulsory insurance in any
country outside the United States, its ter-
ritories and possessions, Puerto Rico and
Canada.

® 2015 The Travelers Indemnity Company. All rights reserved.

Includes copyrighted material of Insurance Services Office, Jnc. with its permission.

CA T3 53 0215

Policy# BA1N96406A2343G - Effective 07/01/2023

COMMERCIAL AUTO
monmerm
apPIIMOMM
Pr=
111111111111
.,iii■
Clowirdird
a=
You agree to maintain all required or
compulsory insurance in any such coun- try
up to the minimum limits required by local
law. Your failure to comply with compulsory
insurance requirements will not invalidate
the coverage afforded by this policy, but we
will only be liable to the same extent we
would have been liable had you complied
with the compulsory in- surance
requirements.
(d) It is understood that we are not an admit-
ted or authorized insurer outside the
United States of America, its territories
and possessions, Puerto Rico and Can-
ada. We assume no responsibility for the
furnishing of certificates of insurance, or
for compliance in any way with the laws
of other countries relating to insurance.

G. WAIVER OF DEDUCTIBLE - GLASS
The following is added to Paragraph D., Deducti-
ble, of SECTION III - PHYSICAL DAMAGE
COVERAGE:

No deductible for a covered "auto" will apply to
glass damage if the glass is repaired rather than
replaced.

H. HIRED AUTO PHYSICAL DAMAGE - LOSS OF

USE - INCREASED LIMIT
The following replaces the last sentence of Para-
graph A.4.b., Loss Of Use Expenses, of SEC-
TION Ill - PHYSICAL DAMAGE COVERAGE:

However, the most we will pay for any expenses
for loss of use is $65 per day, to a maximum of
$750 for any one "accident".

I. PHYSICAL DAMAGE - TRANSPORTATION

EXPENSES - INCREASED LIMIT
The following replaces the first sentence in Para-
graph A.4.a., Transportation Expenses, of
SECTION Ill - PHYSICAL DAMAGE COVER-
AGE:

We will pay up to $50 per day to a maximum of
$1.500 for temporary transportation expense in-
curred by you because of the total theft of a cov-
ered "auto" of the private passenger type.

J. PERSONAL PROPERTY
The following is added to Paragraph A4., Cover-
age Extensions, of SECTION Ill - PHYSICAL
DAMAGE COVERAGE:

Personal Property
We will pay up to $400 for 1oss to wearing ap-
parel and other personal property which is:
(1) Owned by an "insured"; and
(2) In or on your covered 'auto'.

This coverage applies only in the event of a total
theft of your covered "auto".

No deductibles apply to this Personal Property
coverage.

K. AIRBAGS
The following is added to Paragraph 8.3., Exclu-
sions, of SECTION Ill - PHYSICAL DAMAGE
COVERAGE:

Exclusion 3.a. does not apply to "loss" to one or
more airbags in a covered "auto" you own that in-
flate due to a cause other than a cause of "loss" set
forth in Paragraphs A.1.b. and A.1.c., but only:
a. If that "auto" is a covered "auto" for Compre-
hensive Coverage under this policy;
b. The airbags are not covered under any war-
ranty; and
c. The airbags were not intentionally inflated.

We will pay up to a maximum of $1,000 for any
one "loss".

L NOTICE AND KNOWLEDGE OF ACCIDENT OR
LOSS
The following is added to Paragraph A.2.a., of
SECTION IV- BUSINESS AUTO CONDITIONS:

Your duty to give us or our authorized representa-
tive prompt notice of the "accident" or "loss" ap-
plies only when the "accident" or "loss" is known
to:
(a) You (if you are an individual);
(b) A partner (if you are a partnership):
(c) A member (if you are a limited liability com-
pany);
(d) An executive officer, director or insurance
manager (if you are a corporation or other or-
ganization); or
Any "employee" authorized by you to give no-
tice of the "accident" or "loss".
(.)
M. BLANKET WAIVER OF SUBROGATION
The following replaces Paragraph AS., Transfer Of
Rights Of Recovery Against Others To Us, of
SECTION IV - BUSINESS AUTO CONDI- TIONS:

5. Transfer Of Rights Of Recovery Against
Others To Us
We waive any right of recovery we may have
against any person or organization to the ex-
tent required of you by a written contract signed
and executed prior to any "accident"
or "loss", provided that the "accident" or "loss"
arises out of operations contemplated by
0024.0.1
CA T3 53
0215

Policy# BA1N96406A2343G - Effective 07/01/2023

COMMERCIAL AUTO
such contract. The waiver applies only to the
person or organization designated in such
contract.

N. UNINTENTIONAL ERRORS OR OMISSIONS
The following is added to Paragraph 8.2., Con-
cealment, Misrepresentation, Or Fraud, of
SECTION IV - BUSINESS AUTO CONDITIONS:

The unintentional omission of, or unintentional
error in, any information given by you shall not
prejudice your rights under this insurance. How-
ever this provision does not affect our right to col-
lect additional premium or exercise our right of
cancellation or non -renewal.

® 2015 The Travelers Indemnity Company. All rights reserved.

Includes copyrighted material of Insurance Services Office, Inc. with Its permission.

CA T3 530215

Policy EPK-144434 Effective 7/1/2023 - 7/1/2024
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS -

COMPLETED OPERATIONS
This endorsement modifies insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART

SCHEDULE
Name of Additional Person(s) or Organtzatlon(s):

Location And Description Of Completed Operations
(Where Required ByWritten Contract.

Where Required By Written Contract.

Information required to complete this Schedule, if not shown above, will beshown in the Declarations.

A. Section III - Who Is An Insured within the Common
Provisions is amended to include as an insured
the person(s) or organization(s) shown in the
Schedule, but only with respect to liability for
"bodily injury' or "property damage" caused, in
whole or in part, by "your work" at the location
designated and described in the schedule of this
endorsement performed for that additional
insured and included in the "products -completed
operations hazard".

EN0320-0211 Page 1 of 1

Policy EPK-144434 Effective 7/1/203-7/1/2024

CRUM &FORSTER
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLV.

ADDITIONAL INSURED - OWNERS, LESSEES OR

CONTRACTORS
This endorsement modifies insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART

CONTRACTORS POLLUTION LIABILITY COVERAGE PART

SCHEDULE
Name Of Additional Insured Person(s) or 0rganlzatlon(s) Slanket when specifically required in a written contract with the named insured.

SECTION III -WHO IS AN INSURED within the Common Provisions is amended to include as an additional insured the person(s) or organization(s) indicated in the Schedule shown above, but only with respect to liability caused, in whole or in part, by •your worku for that insured which is performed by you or by those acting on your behalf.

ALL OTHER TERMS AND CONDITIONS OF THE POLICY REMAIN UNCHANGED.

EN0111.0211 Page 1 ofl

Policy EPK-144434 Effective 7/1/203 -711/2024
Crum Forster
part of the FAIRFAX group
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

PRIMARY AND NON --CONTRIBUTORY ADDITIONAL

INSURED WITH WAIVER OF SUBROGATION
This endorsement modifies insurance provided under thefollowing:

COMMERCIAL GENERAL LIABILITY COVERAGE PART
CON1'RACTORS POLLUTION LIABILITY COVERAGE PART

ERRORS AND OMISSIONS LIABILITY COVERAGE PART

THIRD PARTY POLLUTION LIABILITY COVERAGE PART

SCHEDULE
Name of Additional Insured Person(s) or Oraanizatlonfs) Where Required byWritten Contract
A. SECTION III - WHO IS AN INSURED within the Common Provisions is amended to include as an additional insured the person(s) or organization(s) indicated in the Schedule shown above, but solely with respect to "claims" caused in whole or in part, by "your work. for that person or organization performed by you, or by those acting on your behalf.

This insurance shall be primary and non-contributory, but only in the event of a named Insureds sole negligence.

B. We waive any right of recovery we may have against the person(s) or organizations) indicated In the Schedule shown above because of payments we make for "damages" arising out of -your work" performed under a designated project or contract with filet person(s) ororganization(s).

C. This Endorsement does not reinstate or increase the Limits of Insurance applicable to any "claim" lo which the coverage afforded by this Endorsement applies.

ALL OTHER TERMS AND CONDITIONS OF THE POLICY REMAIN UNCHANGED.

EN0118-0211 Page 1 of 1

RESOLUTION NO. R-2024-26

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PLACENTIA, CALIFORNIA AUTHORIZING A BUDGET
AMENDMENT IN FISCAL YEAR 2023-24 IN COMPLIANCE
WITH CITY CHARTER OF THE CITY OF PLACENTIA §§ 1206
AND 1209 PERTAINING TO APPROPRIATIONS FOR
ACTUAL EXPENDITURES.

A. Recitals.
(i). The adopted budget for the 2023-24 Fiscal Year sets out estimated appropriations for City expenses throughout the year.
(ii). From time to time the adopted budget must be adjusted when precise expenditures are finally determined or when estimated expenditures exceed projected costs allocated.
(iii). City Charter of the City of Placentia § 1206 authorizes the City Council to amend or supplement the budget by motion adopted by the affirmative votes of at least three members so as to authorize the transfer of unused balances appropriated for one purpose to another purpose, or to appropriate available revenues not included in the budget. All other legal prerequisites to the adoption of this Resolution have occurred.

B. Resolution.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:

1. In all respects as set forth in the Recitals, Part A., of this Resolution.

2. The adopted budget for Fiscal Year 2023-24, Resolution No. R-2024-42, is hereby amended for the new appropriation to the account below:

Fund
Description
Department
GL Account
Amount
Type
General Plan
Update Fees
Expenditures
related to Chapman
Corridor special
studies
Development
Services
749104-6017
$124,661
Expense

3. The Mayor shall sign this resolution, and the City Clerk shall attest and certify to the passage and adoption thereof.

Resolution R-2024-26

PASSED, ADOPTED AND APPROVED THIS 21st DAY OF MAY 2024.

Jeremy Yamaguchi, Mayor
ATTEST:

Robert McKinnell, City Clerk

STATE OF CALIFORNIA

COUNTY OF ORANGE
I, Robert McKinnell, City Clerk of the City of Placentia, do hereby certify that the foregoing resolution was adopted at a regular meeting of the City Council of the City of Placentia held on the 21st day of May, 2024 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Councilmembers:

Councilmembers:

Councilmembers:

Councilmembers:

Robert McKinnell, City Clerk
APPROVED AS TO FORM:

Christian Bettenhausen, City Attorney
Resolution R-2024-26

TO:

VIA:

FROM:

DATE:

Placentia City Council

CITY COUNCIL

CITY ADMINISTRATOR

ACTING DIRECTOR OF PUBLIC WORKS
MAY 21, 2024

AGENDA REPORT
SUBJECT: AMENDMENT NO. 2 TO AGREEMENT WITH HOUSTON AND HARRIS PCS, INC.

FOR SEWER MAINTENANCE SERVICES
FISCAL
IMPACT:

SUMMARY:

EXPENSE: $217,091.22 ANNUAL CONTRACT AMOUNT
BUDGET: FISCAL YEARS 2023-26 (CONTRACT TERM)
$226,000.00 FY 23-24 SEWER MAINTENANCE FUND
(484356-6120)
$226,000.00 FY 24-25 SEWER MAINTENANCE FUND
(484356-6120)
On May 4, 2021, the City Council awarded a Maintenance Services Agreement to Houston and Harris PCS, Inc. (Houston and Harris), for sewer maintenance services for three (3) years for a cumulative not -to -exceed amount of $592,066.95. The current agreement is set to expire May 4, 2024. Staff recommends an amendment to extend the contract term an additional one (1) year and increase the contract not -to -exceed amount by $217,091.22 to accommodate the additional one (1) year of service. The recommended actions will allow the City to have sufficient contractual authority for the remainder of the contract term. The contract costs for sewer maintenance services with Houston and Harris are included in the current Fiscal Year 2023-24 Operating Budget. The future cost of the services will be proposed in the operating budgets for future fiscal years.

RECOMMENDATION
It is recommended that the City Council take the following actions:

1. Approve Amendment No. 2 to the Maintenance Services Agreement with Houston and Harris for sewer maintenance services to extend the contract term by one year and increase the cumulative contract not -to -exceed amount by $217,091.22 or a revised cumulative contract amount of $809,158.17 for the entire contract term; and

2. Authorize the City Administrator and/or his designee to execute all necessary documents, in a form approved by the City Attorney.

1.e.

May 21, 202,

City Council Agenda
May 21, 2024

STRATEGIC PLAN STATEMENT:

There is no specific Strategic Plan Goal or Objective associated with this Council action.

DISCUSSION:

On May 4, 2021, the City Council awarded a Maintenance Services Agreement to Houston and Harris for sewer maintenance services. The current agreement is set to expire May 4, 2024. On August 24, 2023, Amendment No. 1 was approved within the City Administrator's approval authority to correct language discovered in the original agreement which had stated the contract shall not exceed $197,355.65 but did not state the cumulative not -to -exceed amount over three (3) years, which was in the original City Council approval. Amendment No. 1 corrected the agreement language to clarify the yearly not -to -exceed amount and the cumulative not -to -exceed amount of $592,066.95.

Houston and Harris has been providing sewer maintenance services to Placentia for the past eight (8) years and has done an exceptional job throughout the duration of their contracts.

Additionally, Houston and Harris also provides sewer maintenance services to several other Orange County Cities including the cities of Newport Beach, Orange, Santa Ana, and Buena Park.

Based upon Houston and Harris's extensive experience and prior success in delivering these services to Placentia, Staff recommends extending the contract term an additional one (1) year to Houston and Harris for these services. Based on the rising cost of providing sewer maintenance services, Staff recommends approval of a 10% or $19,735.57 increase for the remainder of the contract term. Under Amendment No. 2, Staff further recommends amending the contract to increase the cumulative not -to -exceed amount by $217,091.22 to accommodate the additional one (1) year of service at the increased rate. The recommended actions will allow the City to have sufficient contractual authority for the remainder of the contract term. The contract costs for sewer maintenance services with Houston and Harris are included in the current Fiscal Year 2023-24 Operating Budget.

FISCAL IMPACT:

The recommended actions will approve Amendment No. 2 to the Maintenance Services Agreement with Houston and Harris, increasing the total contract amount by $217,091.22 for the remainder of the extended term, for a revised total not -to -exceed contract amount of $809,158.17.

Sufficient funds exist for the recommended actions. The future cost of the services will be proposed in the operating budgets for future fiscal years.

Prepared by: Reviewed and approved:

Sarno - t tjt16i(-LL
Samantha Byfield Jennifer Lampman
Public Works Manager Director of Finance

City Council Agenda
May 21, 2024

Reviewed and approved:

Reviewed and approved:

Christopher Ta Damien R. Arrula `�-
Acting Director of Public Works
Attachment:

Amendment No. 2 — Houston and Harris
City Administrator

AMENDMENT NO. 2 TO

MAINTENANCE SERVICES AGREEMENT

PROVISION OF SEWER MAINTENANCE SERVICES WITH HOUSTON & HARRIS PCS, INC This Amendment No. 2 ("Amendment") to the Agreement is made and entered into effective the 4TH day of May, 2024, by and between the CITY OF PLACENTIA, a Charter City and Municipal Corporation ("CITY"), and Houston and Harris PCS, Inc., a California corporation (hereinafter "CONTRACTOR"). CITY and CONTRACTOR are sometimes hereinafter individually referred to as "Party" and or collectively referred to as the "Parties." A. Recitals.
(i) CITY and CONTRACTOR entered into a Maintenance Services Agreement ("Agreement") effective May 4th, 2021, through which CONTRACTOR has been providing maintenance services as more fully explained in the Scope of Services attached to the Agreement as Exhibit "A".
(ii) The Parties now seek to amend the Agreement to extend the contract by a total of one year and an increase to the cumulative contract not -to -exceed amount to Eight Hundred Nine Thousand, One Hundred Fifty -Eight Dollars and Seventeen Cents ($809,158.17). (iii) All legal prerequisites to the making of this Amendment have occurred.

NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth herein, the Parties agree as follows:

B. Amendment to Agreement.

1. Section 2, Paragraph 1 of the Agreement is hereby amended to read as follows:

2.1 Compensation. Contractor shall be paid in accordance with the fee schedule set fourth in Exhibit "A". Contractor's compensation shall not exceed Two Hundred Seventeen Thousand, Ninety -One Dollars and Seven Cents ($217,091.07) per year, or a cumulative amount of Eight Hundred Nine Thousand, One Hundred Fifty -Eight Dollars and Seventeen Cents ($809,158.17) over the extended one-year contract term.

2. Section 4, Paragraph 1 of the Agreement is hereby amended to read as follows:

4.1 Term. This Agreement shall commence on the Effective Date and continue fora period of four years, ending on May 04, 2025, unless previously terminated as provided herein or as otherwise agreed to in writing by the parties.

3. Except as specifically modified herein, all of the terms, conditions and provisions of the Agreement shall remain in full force and effect.

4. The Agreement, all amendments together with this Amendment No. 2 and all Exhibits attached thereto, constitutes the entire Agreement between the Parties and supersedes all prior negotiations, arrangements, representations, and understandings, if any, made by or between the Parties with respect to the subject matter hereof. No amendment or other modification of the Agreement, as modified by this Amendment No. 2 shall be binding unless executed in writing by both Parties hereto, or their respective successors, assigns, or grantees.

5. Each of the undersigned represents and warrants that he or she is duly authorized to execute and deliver this Amendment No. 2 and that such execution is binding upon the entity for which he or she is executing this document.

IN WITNESS WHEREOF, the Parties have caused Amendment No. 2 to the Consulting Services Agreement are to be executed as of the day and year first above written.

CONSULTANT CITY OF PLACENTIA
By: By:

Larry Houston, Vice President Damien R. Arrula, City Administrator ATTEST:

By:

Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:

By:

Christian L. Bettenhausen, City Attorney
Page2of2

P.O. Box 10367, San Bernardino, CA 92423
909-422-8990
houstonandharris.com
CCTV Inspection • NASSCO Certified Operators • Database Customization • Data Conversion• CIPP Point Repairs Hydro -wash • Potholing • Lateral Launching • DIR #1000003580 • CA #884167 • non -Union May 08, 2024
City of Placentia
401 E. Chapman Ave.,
Placentia, CA 92870
RE: MSA Amendment No. 2
Mr. Anthony Peralta,
First in
quality
First in
service
Houston & Harris has had a good working rapport with the city and we are interested in continuing this relationship into the future, however, after reviewing the projected costs of the Maintenance Service Agreement, it has been determined there has been a significant cost increase and propose a 10% rate increase for the 2024-2025 fiscal year.

If the above noted increases could be incorporated into the compensation for the 2024-2025, Houston & Harris would be amiable to extending the contract.

Proposed Rate Increase:

Hydro -Clean $0.37/LF
CCTV Inspection $0.53/LF
After Hours $313.50/Hour
Hot Spot Cleaning $0.48/LF
Should you have any questions, please do not hesitate to reach out to us.

Regards,
Larry Houston
President

TO:

VIA:

FROM:

DATE:

Placentia City Council

CITY COUNCIL

CITY ADMINISTRATOR

ACTING DIRECTOR OF PUBLIC WORKS
MAY 21, 2024

AGENDA REPORT
SUBJECT: ACCEPTANCE OF CONSTRUCTION WORK AND NOTICE OF COMPLETION

FOR THE PARQUE DEL ARROYO VERDE RENOVATION PROJECT, CITY PROJECT NO. 7902
FISCAL
IMPACT: EXPENSE: $ 2,286,378.76 ORIGINAL CONSTRUCTION CONTRACT $ (4,103.50) CHANGE ORDER NOS. 1-2
$ 339,841.00 PACIFIC PLAY SYSTEMS (EQUIPMENT)
$ 184,840.00 CM/INSPECTION SERVICES
$ 2,806,956.26 TOTAL CONSTRUCTION COST
BUDGETED: $3,017,577.04 FY 2022-23 & 2023-24 CIP PROJECT BUDGET SUMMARY:

On May 2, 2023, the City Council awarded a construction contract to Legion Contractors, Inc, in the amount of $2,286,378.76 for the renovation of Parque Del Arroyo Verde. In general, the work consisted of rehabilitation of the parking lot, a new ADA ramp, new concrete pedestrian and vehicular paths, new playground equipment, amenities, irrigation, lighting, shade structure and landscaping. The project was completed with the addition of two change orders with a final credit amount of $4,103.50, or less than one percent of the construction contract amount. The Project has been completed to the satisfaction of the City. This action concludes the Project and authorizes filing a Notice of Completion with the Orange County Clerk -Recorder's Office in the amount of $2,282,275.26.

RECOMMENDATION
It is recommended that the City Council take the following actions:

1. Accept the work performed by Legion Contractors, Inc. for construction of the Parque Del Arroyo Verde Renovation Project, City Project No. 7902 for a grand total amount of $2,282,275.26; and

2. Authorize the City Administrator to file a Notice of Completion with the Orange County Clerk -Recorder's Office for the Project; and

3. Authorize the City Administrator to release retention funds in accordance with the terms of the contract.

1.f.

May 21, 2024

City Council Agenda
May 21, 2024

STRATEGIC PLAN STATEMENT:

This item is consistent with the City Council approved 5 -Year Strategic Goal to Implement Public Infrastructure to Meet Community Needs, under Objective #5.2, which is working to complete the Placentia Parks Initiative Plan.

DISCUSSION:

The scope of this project entailed a complete renovation of the more than three (3) -acre Parque Del Arroyo Verde. In general, the work consisted of the rehabilitation of the parking lot, a new ADA ramp, new concrete pedestrian and vehicular paths, new playground equipment, new shade structure, new amenities, new irrigation system, new lighting system, new landscaping and minor restroom improvements.

The City Council authorized contract change orders up to ten percent (10%) of the contract amount, or $228,637.88. Two (2) contract change orders totaling a credit amount of $4,103.50, or less than one percent of the construction contract amount, were executed during this contract.

On November 2, 2021, the City Council approved the appropriation of $338,650.00 for the purchase and installation of the playground equipment by Pacific Play Systems Inc. The equipment was purchased in July of 2022 and the installation was coordinated with Legion Contractors Inc. during construction of the park improvements. There was an additional cost of $1,191.00 associated with the installation by Pacific Play Systems.

Funding for this project utilized several sources which included Park and Recreation Impact Fees, Measure U and City Quimby In -Lieu Fees. Approval of the Notice of Completion is the final step in this project and, if approved by the City Council, will be recorded with the Orange County Clerk - Recorder's Office starting the 35 -day window to file any construction claims against the Contractor. At the conclusion of the 35 -day window, if no claims have been filed with the City against the Contractor, the City can release the retention funds which amount to five percent (5%) of the total construction cost.

FISCAL IMPACT:

The final construction cost plus the two change orders amount to $2,806,956.26. This cost consists of the bid amount submitted by Legion Contractors, Inc. in the amount of $2,286,378.76 and the credit of $4,103.50 for Contract Change Orders No. 1 and 2. The final contract amount with Pacific Play Systems Inc consists of the original appropriation amount of $338,650.00 and the additional charge of $1,191.00 for the purchase and installation of the playground equipment.

The final contract amount with Fountainhead Consulting Corporation (formerly PPM Group Inc) for Construction Management/Inspection services amounts to $184,840.00. A total amount of $3,017,577.04 was available and budgeted within the Fiscal Year (FY) 2023-24 Capital Improvement Program Budget for this project. As such, sufficient funds exist for the recommended actions.

City Council Agenda
May 21, 2024

Prepared by:
17LAG 1 4 --
Raquel Garcia, EIT
Associate Civil Engineer Acting Director of Public Works Reviewed and approved:

Chris Tanio, PE (.,
Reviewed and
Karen Cro' er
Director of Co unit Se ices
Reviewed and approved:

Damien R: Arrula
City Administrator
Reviewed and approved:

Jennifer ampman
Director of Finance
Attachments:

1. Contract Change Order Numbers 1 and 2

2. Notice of Completion - Legion Contractors, Inc. for Project No. 7902

Contract Change Order No.1
Project Title: Parque Del Arroyo Verde Renovation, City Project No. 7902 Owner: City of Placentia Contractor: Legion Contractors, Inc You are hereby directed to make the herein described changes from the plans and specifications or to do the following described work not included in the plans and specifications on this contract:

Additional work for removal of conflicting tree, stump and roots adjacent to proposed bocce ball court. 1 This Change Order provides:
a) Extra work and credits identified in Exhibit A
$ 4,500.00
2 This Change Order came about from:
a) Contractor encountered a conflict with an existing tree having roots that inhibited the forming of the curbs in the surrounding area, as well as the potential of those roots impacting the structural stability of that tree that is in close proximity of new bocce ball court.
3 Action to be taken:
a) The Contractor was asked to provide a lump sum price for the additional work request. There is no cost associated with extension of contract date.
4 Compensation
a) Adjustment of Line Items exceeding 25%
b) Extra work
d) Credits
Total
$ 4,500.00
$ 4,500.00
5 Contract Time Extension
a) 1 Working Day
In addition to work specified in the bid specifications, this change order includes all extra work, field adjustments and credits.

This work is an Contractor initiated change and includes all labor, equipment, materials, and supervision and Adminstration.

CHANGE TO CONTRACT COST: CHANGE TO CONTRACT TIME:

Contract Amount: $ 2,286,378.76
Previous CCOs: $
Adjustment of Line
Items Exceeding 25%
Total Extra Work $ 4,500.00
Total Field Adjustments $
Original Working Days: 135
Original Date of Completion: 1/26/2024
Previous CCOs Working Days: 0
Additional Working Days: 1
Total Credits $ Adjusted Total of Working Days: 136
Changes in Line Items: $ 4,500.00 Adjusted Date of Completion: 1/27/2024 Current Contract price: $ 2,290,878.76
Prepared by:

Raquel Garcia, Project Manager, City of Placentia
Recommended:

Chris Tanio, City Engineer, City of Placentia
Recommended:

Luis Estevez, Deputy City Administrator, City of Placentia Approved by:

Damien R. Arrula, City Administrator, City of Placentia We, the undersigned contractor, have given careful consideration to the change proposed and hereby agree, if this proposal, is approved, that we will provide all equipment, furnish all materials, except as may otherwise be noted above, and perform all services necessary for the work above specified, and will accept as full payment therefore the Accepted:

If the Contractor does not sign acceptance of this order, his attention is directed to the requirements of the specifications as to proceeding with the ordered work and filing a written protest within the time therein specified.

CCO No. 1 Exhibit 'A'
Project Title: Parque Del Arr oyo Verde Renovation, City Pr oject 7902 Owner: City of Placentia
C ontract or: Legion Co ntract or s, Inc
No.

Description
Bid
Actual
$$
Comments
CREDIT
EXTRA
Co nflic ting tree , stump and root removal for saf ety c onc erns. (1 WORKING DAY)
LS
$4,500.00
$4,500 .00
Sum of Line It em Adjustments
$ -
$4,500 .00
Cost of Line Item adjustments
$ 4,500 .00
Change in Contract Cost
$4,500.00

444*
supreme landscape
& tree experts
Proposal For
Legion Contractor Inc.
1706 Orange Ave.

Huntington Beach, CA 92648
mobile: 310-429-8642
[email protected]
Location
1001 E Palm Dr
Placentia, CA 92870
Proposal #9483
From: Temis G.

Coo yie
Pe Del
Arlo o Verde
Wap data =:'•.. ' G ob)ffi

ITEM DESCRIPTION

QUANTITY

UNIT PRICE
AMOUNT
Front of property: Cutting down to the ground and stump grinding large Pine tree. Clean up and haul away included.
1 $ 4,500.00
$ 4,500.00
LICENSE#1002853
Important Information Prior To Service:
- Notify Neighbors that you are having your property worked on - Move cars out of the driveway and away from trees and work area - Move any landscape lights and/or other out of work area - Remove furniture, bird feeders or any other breakable items hanging on the trees or in the work area
- Deposit is Non -Refundable
- We are not responsible for any broken sprinklers ordamage to electrical, water, gas, or any line not visible to the operator during tree removal/stump grinding.

Payments:

A 2.5% processing fee will be charged for any credit card payments. Except deposits. Payments are due upon completion of work and must be give to the Crew Leader or Project manager. All credit cards on file will be charged at the end of job completion.

ACCEPTANCE OF PROPOSAL
The above prices, specifications, and conditions are hereby accepted. You are authorized to do work as specified.

Signature
x
Please sign here to accept the terms and conditions
TOTAL
$ 4,500.00
Supreme Landscape &Tree Experts
www.supremetreeexperts.com 1877-787-7363

& vuc landcape
eRncns
Assigned lo
Marlene Gonzalez
Office: 877-699-9689
[email protected]
Sales Reps
Temis G.

Office: 877-699-9689
Mobile: 714-910-3582
[email protected]
Proposal #9483
From: Temis G.

Supreme Landscape & Tree Experts
www.supremetreeexperts.com 1877-787-7363

TERMS & CONDITIONS
All work is guaranteed to be performed as mentioned above in agreement with the customer and Supreme Landscape & Tree Experts in a substantial manner for the sum of 10% retainer, upon acceptance and scheduling of work. All agreements contingent upon strikes or delays beyond our control.

Not responsible for any damage to irrigation sprinklers, electrical, water, gas or any line not visible to operator performing any tree removal & stump grinding.

Payments:
• Payments are due upon completion of work and must be given to the Crew Leader or Project Manager.
• Preferred Payment Method: Credit Card, Zelle, Check or Cash. • A 2.50% processing fee will be charged for any credit card payments, except for Zelle. You may contact our office for any payment processing. Credit cards on file will be processed for balance due upon job completion, unless otherwise specified by the Customer. • Mailing Address: 21242 Banff Lane, Huntington Beach CA 92646 • Deposit is non-refundable.
• If the owner/company fail to make payment (s) when due, Supreme Landscape & Tree Experts may, upon seven (7) days send a written letter of intent to the owner. Unless payment in full is received within seven (7) days of the date of the notice, a 20- Day Preliminary Notice shall take effect.

Owner Responsibilities:
• The owner shall provide full information regarding requirements for the project. The owner shall furnish required information as expeditiously as necessary for the orderly progress of the work. • The owner shall designate a representative authorized to act on the owner's behalf with respect to the project. The owner or such authorized representative shall render decisions in a timely manner pertaining to documents submitted by Supreme Landscape & Tree Experts in order to avoid unreasonable delay in the orderly and sequential progress of the company services. • The owner shall not request any modification of any work to Supreme Landscape & Tree Experts employees and/or sub -contractors without authorization of independent contractor. If so, Supreme Landscape & Tree Experts will not be responsible for any damages and/or misunderstanding of the work perform.
• If the owner offers work or hire Supreme Landscape & Tree Experts employee (s) and/or sub- contractor (s)without any authorization from the independent contractor, the contractor has the right to terminate all perform services under this agreement without returning and/or reimburse payments paid to the independent contractor.

Termination or Suspension:

This agreement may be terminated by either party upon no less than three (3) days' written notice, should the other party fail substantially to perform in accordance with the terms of this agreement through no fault of the party initiating the termination.

TERMS & CONDITIONS
• In the event of a suspension of services, Supreme Landscape & Tree Experts shall have no liability to the owner for delay or damage caused to the owner because of such suspension of services.

Modification:
• This agreement may not be modified, altered or changed except in writing signed by the parties hereto and approved by the authority.

Arbitration Dispute Resolution:
• Claims, disputes or other matters in question between the parties to this agreement arising out of or relating to this agreement or breach thereof shall be subject to and decided by the arbitration in accordance with the rules of the American Arbitration Association with arbitration in in Orange County, State of California currently in effect unless the parties mutually agree otherwise. • A demand for arbitration shall be made within reasonable time after the claim, dispute or other matter in question has arisen. In no event shall the demand for arbitration be made after the date when institution of legal or equitable proceedings based on such claim, dispute or other matter in question would be barred by the applicable statuses of limitations.

If this agreement is acceptable to all parties concerned, please sign and return with 10% or $1,000.00 (whichever is less) deposit down payment.

Contract Change Order No.2
Project Title: Parque Del Arroyo Verde Renovation, City Project No. 7902 Owner: city of Placentia Contractor: Legion Contractors, Inc You are hereby directed to make the herein described changes from the plans and specifications or to do the following described work not included in the plans and specifications on this contract:

Credit for Plumbing Invoice and Balancing Quantities for Project Closeout. 1 This Change Order provides:
a) Extra work and credits identified in Exhibit A
$ (8,603.50)
2 This Change Order came about from:
a) City encountered an issue with sewer backup and had to call out a plumber and run a camera. Issue was found to be caused by Contractor and Contractor made remaining. Balancing bid item quantities versus actual work performed.
3 Action to be taken:
a) The City provided invoice for plumbing work as credit to contract. 4 Compensation
a) Adjustment of Line Items exceeding 25%
b) Extra work
d) Credits
Total
$ (8,603.50)
$ (8,603.50)
5 Contract Time Extension
a) 0 Working Days
In addition to work specified in the bid specifications, this change order includes all extra work, field adjustments and credits.

This work is a City initiated change and includes all labor, equipment, materials, and supervision and Adminstration.

CHANGE TO CONTRACT COST: CHANGE TO CONTRACT TIME:

Contract Amount: $ 2,286,378.76
Previous CCOs:
$ 4,500.00
Original Working Days: 135
Original Date of Completion: 1/24/2024
Adjustment of Line
Items Exceeding 25% Previous CCOs Working Days: 1
Total Extra Work
Total Field Adjustments
Total Credits
Changes in Line Items:
4,500.00
(7,600.00)
(1,003.50)
(4,103.50)
Current Contract price: $ 2,282,275.26
Prepared by:

Raquel Garcia, Project Manager, City of Placentia
Recommended:

Recommended:

Approved by:

Additional Working Days:
0 Adjusted Total of Working Days: 136
Adjusted Date of Completion: 1/25/2024
Chris Tanio, City Engineer, City of Placentia
Luis Estevez, Deputy City Administrator, City of Placentia Damien R. Arrula, City Administrator, City of Placentia We, the undersigned contractor, have given careful consideration to the change proposed and hereby agree, if this proposal, is approved, that we will provide all equipment, furnish all materials, except as may otherwise be noted above, and perform all services necessary for the work above specified, and will accept as full payment therefore the Accepted:

ErcaBor
If the Contractor does not sign acceptance of this order, his attention is directed to the requirements of the specifications as to proceeding with the ordered work and filing a written protest within the time therein specified.

CCO No. 2 Exhibit 'A'
Project Title: Parque Del Arroyo Verde Renovation, City Project 7902 Owner: City of Placentia
Contractor: Legion Contractors, Inc
No.

Description
Bid
Actual
$$
Comments
CREDIT
EXTRA
1 Credit for JV Plumbing Inc Sewer Repair, Camera & Parts LS
-$1,003.50
-$1,003.50
2 Adjustment to Contract Amount for Bid Item #33
(Restroom Allowance) Actual Quantity
$20,000.00
$12,400.00
LS
-$7,600.00
Sum of Line Item Ad'ustments
-$8,603.50
$0.00
Cost of Line Item ad'ustments
$ (8,603.50)
Chance in Contract Cost
$ (8,603.50)

JV Plumbing Inc
2616 w orangethorpe ave spc 42
Fullerton, CA 92833 US
714-726-6495
[email protected]
City of placentia
Invoice

SHIP TO
Parque del Arroyo Verde
1001 E. Palm Dr.

Placentia CA 92870
INVOICE #
DATE

TOTAL DUE

DUE DATE
TERMS

ENCLOSED
4350
02/27/2024
$1,003.50
03/01/2024
Due on receipt
DESCRIPTIi
QTY
Plumbing
Replace a 3ft section of 4" clay pipe that was broken by the clean out by the grass are and camera the line and found a PVC pipe that broke in to the sewer pipe 14ft in from the first location 1 435.00
Plumbing
Camera
1 375.00
Parts
Clay to Abs coupling heavy weith
2 168.50
Parts
3ft of 4" Abs pipe
3 25.00

BALANCE DUE
$1,003.50

Jeff Painting
License #1007768
3415 S. Sepulveda Blvd. Suite 1100
Los Angeles, CA 90034
Phone: (310) 740-5430
Fax: (424) 293-2235
E -Mail: [email protected]
January 22nd, 2024

VIA E-MAIL
Legion Contractors, Inc.

Care of:

Eric Borbely 1 Proejct Manager
RE: PARQUE DEL ARROYO VERDE (PROJECT DIR #466014)
We are respectfully submitting our painting proposal for the aforementioned project. The scope includes INTERIOR & EXTERIOR surfaces of the RESTROOM BUILDING as per project plans dated 10/13/2022 sheet LC.1, "Table #4 Restroom Improvements" and "Painting Notes" Restroom Building — Interior Paintinu 4Q
• Interior Masonry iv a
• Plywood Ceilings and Metal Hanger
• Doors & Frames
• Wood & Meta es
•
and Gap fillings
II. Restroom Building — Exterior Painting
$12,400
• Exterior Masonry Walls
• Wood Fascia to be scraped and painted as per project spec • Metal surfaces, gutters, and downspouts
• Doors & Frames
• Caulking and Gap fillings APPROVED EXTERIOR PAINTING ONLY TOTAL:

Das
y' bituiiku\v/A i11\\1\\�\tut/////!//n1\\\\\\\'

RECORDING REQUESTED BY

AND WHEN RECORDED MAIL TO
1 Name
City Clerk
Street Cityof Placentia
Address
401 E. Chapman Ave.

City & Placentia, CA 92870
State
L J
City Council Approval:

May 21, 2024

SPACE ABOVE THIS LINE FOR RECORDER'S USE
Free Recording Per Government Code Section 27383 & 6103.

Deputy City Clerk

NOTICE OF COMPLETION
Notice pursuant to Civil Code Section 3093, must be filed within 10 days after completion. (See reverse side for Complete requirements.)
Notice is hereby given that:

1. The undersigned is owner or corporate officer of the owner of the interest or estate stated below in the property hereinafter described:

2. The full name of the owner is City of Placentia

3. The full address of the owner is 401 East Chapman Avenue Placentia, CA 92870

4. The nature of the interest or estate of the owner is: In fee.

N/A
(If other than fee, strike "In fee" and insert, for example, 'purchaser under contract of purchase," or "lessee")

5. The full names and full addresses of all persons, if any, who hold title with the undersigned as joint tenants or as tenants in common are: NAMES ADDRESSES
N/A

6. A work of improvement on the property hereinafter described was completed on February 9, 2024. The work done was:

Parque Del Arroyo Verde Renovation Proiect, City Proiect #7902. This work included new concrete pedestrian and vehicular paths, parking lot, equipment, amenities, irrigation, lighting, shade structure and landscaping.

The name of the contractor, if any, for such work of improvement was Legion Contractors, Inc.

7. 18008 Skv Park Circle, Suite 290, Irvine, CA 92614 5/2/2023 (If no contractor for work of improvement as a whole, insert "none") (Date of Contract)

8. The property on which said work of improvement was completed is in the city of Placentia County of Orange , State of California, and is described as follows: Parque Del Arrovo Verde Renovation Proiect, City Proiect #7902.

9. The street address of said property is 1001 E. Palm Dr, Placentia, CA 92870. (If no street address has been officially assigned. insert "none".)

CITY OF PLACENTIA
Dated: Mav 21, 2024
Verification for Individual Owner
Signature of owner or corporate officer of owner
named in paragraph 2 or his agent

VERIFICATION
I, the undersigned, say: I am the City Administrator, Damien R. Arrula ("President of", "Manager of", "Owner of", etc.)
Notice of completion; I have read said notice of completion and know the contents thereof; the same is true of my own knowledge.

I declare under penalty of perjury that the foregoing is true and correct. the declarant of the foregoing
Executed on Mav 21
(Date of Signature.)
NOTICE OF COMPLETION — WOLCOTTS FORM 1114 — REV. 6-74
, 2024, at Placentia
(City where signed.)
, California.
(Personal signature of the individual who is swearing
that the contents of the notice of completion are
true.) -
8 pt. type or larger
ATTACHMENT 2

Placentia City Council
TO: CITY COUNCIL
VIA: CITY ADMINISTRATOR
FROM: ACTING DIRECTOR OF PUBLIC WORKS
DATE: MAY 21, 2024

AGENDA REPORT
SUBJECT: RESOLUTION RELATING TO FISCAL YEAR 2024-25 LEVY OF ASSESSMENTS

TO THE CITY OF PLACENTIA LANDSCAPE MAINTENANCE DISTRICT NO. 92-1 AND SETTING A PUBLIC HEARING FOR JUNE 18, 2024 AT 7:00 P.M.

FISCAL
IMPACT: REVENUE: $ 457,992 (RECOUPED THROUGH ASSESSMENTS) EXPENDITURES: $ 440,867 (PROPOSED FY 2024-25 BUDGET LMD 92-1 FUND) SUMMARY:

Each year the City must conduct a public hearing to provide for the Levy of Assessments for the City of Placentia Landscape Maintenance District (LMD) No. 92-1, prepare a final Engineer's Report, and provide for any annexations into the District as proposed. This action will adopt resolutions necessary to set forth a public hearing for June 18, 2024, to provide for the Fiscal Year 2024-25 Annual Levy of Assessments for LMD No. 92-1 as well as finalize the annual Engineer's Report.

RECOMMENDATION:

It is recommended that the City Council take the following actions:

1. Adopt Resolution R-2024-29, a Resolution of the City Council of the City of Placentia, California, directing preparation of the Engineer's Report for Fiscal Year 2024-25 for the continuation of the annual assessments for Landscape Maintenance District No. 92-1; and

2. Adopt Resolution R-2024-30, a Resolution of the City Council of the City of Placentia, California, declaring its intention to provide for the annual levy and collection of assessments for certain maintenance within an existing district, pursuant to the provisions of Division 15, Part 2, of the California Streets and Highways Code and setting a time and place for public hearing thereon.

May 21, 2024

City Council Agenda
May 21, 2024

STRATEGIC PLANNING STATEMENT:

There is no specific strategic planning goal or objective associated with this agenda item.

DISCUSSION:

LMD No. 92-1 (the "District") assesses various parcels located within the District a flat amount each year to provide funding to maintain various perimeter and median landscapes, as well as other improvements (e.g., entrance signs, parkway vistas). The current maximum assessment rate per assessment unit for single family residential parcels is $154.87 per year. This rate cannot be increased without the approval of the property owners within the District.

The District was established pursuant to the provisions of the "Landscaping and Lighting Act of 1972," Division 15 of the Streets and Highway Code. The annual levy of assessments is for providing landscape maintenance of specific improvements in those areas within the Boundary Map of the District and outlined in the preliminary Engineer's Report (Attachment 3), which is on file in the offices of the City Engineer and City Clerk. A final annual Engineer's Report will be prepared and presented to the City Council for its consideration as required by law.

The legal authority for setting the assessments in LMD No. 92-1 is set forth in the Landscape and Lighting Act of 1972 which is found in Streets and Highways Code Section 22500, et seq., and pertinent provisions of the California Government Code. The District is exempt from and not subject to the procedures and approval processes set forth in Article XIII D, Section 4 of the California Constitution enacted by Proposition 218 on November 5, 1996. That is due to the fact that Proposition 218 also enacted Article XIII D, Sections 5 and 5(b) which exempts assessment districts formed prior to November 6, 1996 and which were formed pursuant to a petition signed by those owning all the parcels subject to the assessment at the time the assessment was initially imposed, provided there is no increase in the amount assessed on a property owner in a particular category from the prior year.

In Placentia, LMD No. 92-1 was formed prior to November 6, 1996, and pursuant to a petition signed by those owning all the parcels, subject to the assessment at the time the assessment was initially imposed. In addition, there is no increase in the amount assessed on a property owner in the category of assessment unit for Fiscal Year (FY) 2024-25 as compared to FY 2023-24.

Therefore, the District is exempt from the procedures and approval processes of Proposition 218 for FY 2024-25.

Two (2) resolutions have been prepared for City Council consideration. The first resolution (Attachment 1) orders the preparation of an Engineer's Report to include the plans, specifications, cost estimate, and diagram of the landscape improvements. The second resolution (Attachment 2) declares the Council's intention to provide for the annual levy and collection of assessments, as well as establishes June 18, 2024, as the public hearing date.

City Council Agenda
May 21, 2024

FISCAL IMPACT:

For FY 2024-25, LMD No. 92-1 will have an estimated $440,867 in expenditures and projected assessment revenue of $457,992. There is no impact to the General Fund associated with these recommended actions.

Prepared by: Reviewed and approved:
•�
Elsa Robinson
Senior Management Analyst
164/ Hwk '►. ,U Iry
Chris Tanio, PE
Acting Director of Public Works
Reviewed and approved: Reviewed and approved:

Jennifer Lampman
Director of Finance
Damierrula
City Administrator
Attachments:

1. Resolution R-2024-29, Directing Preparation of the Final Engineer's Report

2. Resolution R-2024-30 Setting a Public Hearing

3. Preliminary Engineer's Report — Placentia LMD 92-1 FY 2024-25

RESOLUTION NO. R-2024-29

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PLACENTIA, CALIFORNIA, DIRECTING PREPARATION OF
THE ENGINEER'S REPORT FOR FISCAL YEAR 2024-25

FOR THE CONTINUATION OF THE ANNUAL

ASSESSMENTS FOR LANDSCAPE MAINTENANCE
DISTRICT NO. 92-1.

A. Recitals
(i). On May 5, 1992, by its Resolution No. 92-R-123, this Council ordered the formation of and levied the first assessment within the Placentia Landscape Maintenance District No. 92-1 ("District") in accordance with the provisions of Article XIII D of the California Constitution, and the Landscaping and Lighting Act of 1972 (the "Act"), Part 2 of Division 15 of the California Streets and Highways Code (commencing with Section 22500 thereof); and
(ii). The City Council of the City of Placentia, California, desires to initiate proceedings for the annual levy of assessments for said District; and (iii). The proceedings for the annual levy of assessments shall relate to the fiscal year commencing July 1, 2024, and ending June 30, 2025; and (iv). The provisions of said Division 15, Part 2, require a written Report, consisting of the following; and

1. Plans and specifications of the area of the works of improvement to be maintained; and

2. An estimate of the costs for maintaining the improvements for the above - referenced fiscal year; and

3. A diagram of the area proposed to be assessed; and

4. An assessment of the estimated costs for maintenance work for said fiscal year.

B. Resolution

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:

1. The Recitals set forth in Part A., above, are true and correct.

Resolution R-2024-29

2. The purpose of the District is for the installation, maintenance, and servicing of landscape improvements, as described in Section 3 below.

3. Within the landscape maintenance district, the existing and proposed improvements to be undertaken by the City are generally described as the installation, maintenance, and servicing of public facilities, including but not limited to, landscaping, sprinkler systems, park facilities, play fields, landscape corridors, publicly owned trees, street frontages, playground equipment and hard -court areas, as applicable, for property owned and maintained by the City. Maintenance means the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of said improvements, including repair, removal, or replacement of all or part of any improvement; providing for the life, growth, health and beauty of landscaping; and cleaning, sandblasting and painting of walls and other improvements to remove or cover graffiti. Servicing means the furnishing of electric current or energy for the operation or lighting of any improvements, and water for irrigation of any landscaping or the maintenance of any other improvements.

4. The City Engineer is hereby designated as Engineer of Work for purposes of these proceedings and is hereby ordered to prepare an Engineer's Report in accordance with Article 4 of Chapter 1 of the Act and Article XIII D of the California Constitution. Upon completion, the Engineer shall file the Engineer's Report with the City Clerk for submission to the Council.

APPROVED and ADOPTED this 21st day of May 2024.

Jeremy B. Yamaguchi, Mayor
ATTEST:

Robert S. McKinnell, City Clerk
Resolution R-2024-29

STATE OF CALIFORNIA

COUNTY OF ORANGE
I, Robert S. McKinnell, City Clerk of the City Of Placentia do hereby certify that the foregoing Resolution was adopted at a regular meeting of the City Council held on the 21st day of May 2024 by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:

Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:

Christian L. Bettenhausen, City Attorney
Resolution R-2024-29

RESOLUTION NO. R-2024-30

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PLACENTIA, CALIFORNIA, DECLARING ITS INTENTION

TO PROVIDE FOR THE ANNUAL LEVY AND COLLECTION

OF ASSESSMENTS FOR CERTAIN MAINTENANCE

WITHIN AN EXISTING DISTRICT, PURSUANT TO THE
PROVISIONS OF DIVISION 15, PART 2, OF THE

CALIFORNIA STREETS AND HIGHWAYS CODE AND

SETTING THE TIME AND PLACE FOR A PUBLIC
HEARING THEREON.

A. Recitals
(i). The City Council of the City of Placentia, in 1992, formed a landscape maintenance district pursuant to the terms and provisions of the Landscaping and Lighting Act of 1972 ("Act"), Division 15, Part 2, of the California Streets and Highways Code, in what is known and designated as:

CITY OF PLACENTIA
LANDSCAPE MAINTENANCE DISTRICT NO. 92-1
(Hereinafter the "District.")
(ii). Proposition 218 adopted November 5, 1996 added Articles XIII C and XIII D to the California Constitution providing, at Article XIII D, § 5, that new assessment districts formed after November 6, 1996 and assessment increases in existing assessment districts be subject to specified procedures and approval processes set forth in Article XIII D, § 4; and
(iii). California Constitution Article XIII D, §§ 5 and 5 (b), provides that any assessment imposed in an assessment district formed prior to November 6, 1996 pursuant to a petition signed by those owning all of the parcels subject to the assessment at the time such district was formed and the assessment initially imposed, provided there is no increase in the amount assessed on an owner in a particular category of assessment unit, shall be exempt from the procedures and approval process set forth in Article XIII D, § 4; and
(iv). The District was formed prior to November 6, 1996 pursuant to a petition signed by those owning all of the parcels subject to the assessment at the time the assessment was initially imposed; and
(v). There is no increase in the amount proposed to be assessed on any parcel within the District in any category of assessment unit, for the period from Fiscal Year 2023-24 to Fiscal Year 2024-25, thereby rendering the District exempt from the procedures and approval process set forth in Article XIII D, § 4; and Resolution R-2024-30

(vi). The City Council desires, pursuant to the provisions of the Act to provide for the annual levy of assessments for the 2024-25 Fiscal Year, to provide for the costs and expenses reasonably necessary for the maintenance of improvements within said District; and
(vii). The assessment engineer has presented a report ("Report"), as required by law, setting forth the reasonably necessary maintenance for Fiscal Year 2024-25 and setting forth the recommended levy, therefore.

B. Resolution

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:

1. The facts set forth in the Recitals, Part A of this Resolution, are true and correct.

2. The Report has been made, filed with the City Clerk, and duly considered by the City Council and is hereby deemed sufficient and preliminarily approved. The Report shall stand as the Engineer's Report for all subsequent proceedings under and pursuant to the foregoing resolution.

3. The public interest and convenience require the annual levy and collection of special assessments for the continual maintenance of improvements, to serve and benefit said District as set forth in the Report of the Engineer, incorporated herein as a part hereof.

4. The Report, setting forth the reasonably necessary maintenance for Fiscal Year 2024-25 and setting forth the recommended levy, therefore, hereby is received and is directed to be filed in the Office of the City Clerk.

5. The public interest and convenience require, and it is the intention of this City Council to order, reasonably necessary maintenance for Fiscal Year 20224-25, and further it is determined to be in the public interest and convenience to levy and collect annual assessments to pay the costs and expenses of said maintenance and improvements as estimated in said "Report."

6. The assessments levied and collected shall be for the maintenance of certain landscape improvements, maintenance, and servicing as set forth in the Engineer's Report, referenced and so incorporated herein.

7. NOTICE IS HEREBY GIVEN THAT ON TUESDAY, JUNE 18, 2024, AT 7:00 P.M. OR AS SOON THEREAFTER AS THE MATTER MAY BE HEARD, IN THE COUNCIL CHAMBERS LOCATED AT 401 E. CHAPMAN AVENUE, PLACENTIA, THE

CITY COUNCIL SHALL CONDUCT A PUBLIC HEARING TO RECEIVE PROTESTS OR

OBJECTIONS, IF ANY THERE BE, REGARDING THE LEVEL OF MAINTENANCE AND Resolution R-2024-30

THE LEVY OF ASSESSMENTS WITHIN AND UPON ALL PROPERTY WITHIN LANDSCAPE MAINTENANCE DISTRICT NO. 92-1. ANY PERSON WHO WISHES TO

OBJECT TO THE PROCEEDINGS FOR THE ANNUAL LEVY SHOULD FILE A

WRITTEN PROTEST WITH THE CITY CLERK PRIOR TO THE TIME SET AND SCHEDULED FOR SAID PUBLIC HEARING.

8. The City Council hereby directs the City Clerk to give notice of a public hearing, pursuant to California Government Code § 6061, in a newspaper of general circulation within the City.

9. The City Clerk is further directed to cause a copy of this Resolution to be posted upon the official bulletin board customarily used for the posting of notices and to mail, by first class mail, a copy of the notice to those interested parties who have filed written requests.

10. For any and all information relating to the proceedings, protest procedure, any documentation and/or information of a procedural or technical nature, your attention is directed:

Elsa Robinson
Public Works Department
City of Placentia
401 East Chapman Avenue
Placentia, California
APPROVED and ADOPTED this 21ST day of May 2024.

Jeremy B. Yamaguchi, Mayor
ATTEST:

Robert S. McKinnell, City Clerk
Resolution R-2024-30

STATE OF CALIFORNIA

COUNTY OF ORANGE
I, Robert S. McKinnell, City Clerk of the City Of Placentia do hereby certify that the foregoing Resolution was adopted at a regular meeting of the City Council held on the 21st day of May 2023 by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:

Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:

Christian L. Bettenhausen, City Attorney
Resolution R-2024-30

CITY OF PLACENTIA

ENGINEER'S REPORT
Landscape Maintenance District No. 92-1
Fiscal Year 2024-25
Landscape Maintenance District No. 92-1
May 2024
Intent Meeting: May 21, 2024
Public Hearing: June 18, 2024

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

TABLE OF CONTENTS
City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Introduction 5
Engineer's Report and Continuation of Assessments 5
Legislative Analysis 5
Proposition 218 6
Silicon Valley Taxpayers Association, Inc. v Santa Clara County Open Space Authority (2008) 44 Cal. 4th 431 6
Dahms v. Downtown Pomona Property (2009) 174 Cal. App. 4th 708 7 Bonander v. Town of Tiburon (2009) 180 Cal. App. 4th 103 7 Beutz v. County of Riverside (2010) 184 Cal. App. 4th 1516 7 Golden Hill Neighborhood Association v. City of San Diego (2011) 199 Cal. App. 4th 416 7
Compliance with Current Law 8
Plans & Specifications 9
Entrance Signs 9
Islands 9
Parkway Vistas 9
Unocal/Fieldstone Oil Well Lots — Right -of -Way Screen Planting 10 Street Right -of -Way Landscaping 10
Easements — Public Storm Drain and Sewer 11
Placentia Champions Sports Complex 11
Fiscal Year 2024-25 Estimate of Cost and Budget 12
Budget for Fiscal Year 2024-25 12
Method of Assessment Apportionment 15
Discussion of Benefit 15
Special Benefit 16
Proximity to Improved Landscaped Areas within the District 17 Access to Improved Landscaped Areas within the District 17 Improved Views within the Assessment Districts 17

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Extension of a Property's Outdoor Areas and Green Spaces for Properties within Close Proximity to the Improvements 17
Creation of Individual Lots for Residential and Commercial Use that, in Absence of the Assessments, Would Not Have Been Created 18
General Versus Special Benefit 18
Benefit Finding 19
Park Improvements - Quantification of General Benefit 19 Benefit to Property Outside the Assessment Districts 20 Benefit to Property Inside the Assessment Districts that is Indirect and Derivative 20 Benefit To The Public At Large 21
Total Park Improvements General Benefits 21
Landscaping and Other Improvements - Quantification of General Benefit 22 Benefit to Property Outside the Assessment Districts 22 Benefit to Property Inside the Assessment Districts that is Indirect and Derivative 23 Benefit To The Public At Large 23
Total Other Improvements General Benefits 24
TOTAL COMBINED GENERAL BENEFITS 24
Final Step — Calculate the Current General Benefit Contribution from the City 24 Method of Apportionment 25
Annual Assessment Calculation 27

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

INTRODUCTION
The City of Placentia (the "City") services and maintains perimeter and median landscaping, and other improvements ("Improvements") to various parts of the City. In order to fund the maintenance and operation (the "Services") of these projects and improvements, the City has formed Landscape Maintenance District No. 92-1, ("District").

This Engineer's Report ("Report") was prepared to establish the budget for the Improvements (as described below) that will be funded by the 2024-25 assessments and other revenue, and to determine the general and special benefits received from the Improvements by property within the District and the method of assessment apportionment to lots and parcels. This Report and the assessments have been made pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (the "Act") and Article XIIID of the California Constitution (the "Article").

ENGINEER'S REPORT AND CONTINUATION OF ASSESSMENTS
The assessment has been continued for over 20 years. In each subsequent year for which the assessments will be continued, the Placentia City Council (the "Council") must direct the preparation of an Engineer's Report, budgets, and proposed assessments for the upcoming fiscal year. After the report is completed, the City Council may preliminarily approve the Engineer's Report and the continued assessments and establish the date for a public hearing on the continuation of the assessments. Accordingly, this Engineer's Report (the "Report") was prepared pursuant to the direction of the City Council.

As required by the Act, this Report includes plans and specifications, a diagram or map of the District, the benefits received by property from the Improvements within the District, and the method of assessment apportionment to lots and parcels within the District.

If the Council approves this Engineer's Report and the continuation of the Assessments by resolution, a notice of public hearing must be published in a local newspaper at least 10 days prior to the date of the public hearing. The resolution preliminarily approving the Engineer's Report and establishing the date for a public hearing is typically used for this notice.

Following the minimum 10 -day time period after publishing the notice, a public hearing is held for the purpose of allowing public testimony about the proposed continuation of the Assessments. This hearing is currently scheduled for June 18, 2024. At this hearing, the Council will consider approval of a resolution confirming the continuation of the Assessments for Fiscal Year 2024-25. If so confirmed and approved, the Assessments would be submitted to the Orange County Auditor/Controller for inclusion on the property tax rolls for Fiscal Year 2024-25.

LEGISLATIVE ANALYSIS

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
PROPOSITION 218
The Right to Vote on Taxes Act was approved by the voters of California on November 6, 1996, and is now Article XIIIC and XIIID of the California Constitution. Proposition 218 provides for benefit assessments to be levied to fund the cost of providing services and improvements, as well as maintenance and operation expenses to a public improvement which benefits the assessed property.

SILICON VALLEY TAXPAYERS ASSOCIATION, INC. V SANTA CLARA COUNTY OPEN SPACE AUTHORITY (2008) 44 CAL. 4TH 431
In July of 2008, the California Supreme Court issued its ruling on the Silicon Valley Taxpayers Association, Inc. v. Santa Clara County Open Space Authority ("SVTA").

This ruling is significant in that the Court clarified how Proposition 218 made changes to the determination of special benefit. The Court also found that:
• Benefit assessments are for special, not general, benefit • The services and/or improvements funded by assessments must be clearly defined
• Special benefits are directly received by and provide a direct advantage to property in the Improvement District
• The assessment paid by property should be proportional to the special benefits it receives from the Improvements.

This Engineer's Report and the process used to establish the continuation of the assessments for fiscal year 2024-25 are consistent with the SVTA decision and with the requirements of Article XIIIC and XIIID of the California Constitution based on the following factors:

The District is drawn to include the entire City, although only parcels deriving special benefits are included in the assessment rolls. Thus, zones of benefit are not required, and the assessment revenue derived from real property in the District is expended only on the Improvements in the District.

The Improvements which are constructed and maintained with assessment proceeds in the District are located in close proximity to the real property subject to the assessment.

The Improvements provide landscaping and other services to the residents of such assessed property. The proximity of the Improvements to the assessed parcels provides a special benefit to the parcel being assessed pursuant to the factors outlined by the Supreme Court in that decision.

Due to their proximity to the assessed parcels, the Improvements financed with assessment revenues in the District benefit the properties in that District in a manner

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
different in kind from the benefit that other parcels of real property in the City derive from such Improvements, and the benefits conferred on such property in the District are more extensive than a general increase in property values.

The assessments paid in the District are proportional to the special benefit that each parcel within that Assessment District receives from the Improvements because:

The specific landscaping Improvements and maintenance and utility costs thereof in the District are specified in this Report; and
Such Improvement and maintenance costs in the District are allocated among different types of property located within the District, and equally among those properties which have similar characteristics, such as single-family residential parcels, multi -family residential parcels, commercial parcels, industrial parcels, etc.

DAHMS V. DOWNTOWN POMONA PROPERTY (2009) 174 CAL. APP. 4TH 708
In Dahms v. Downtown Pomona Property ("Dahms") the Court upheld an assessment that was 100% special benefit (i.e. 0% general benefit) on the rationale that the services and improvements funded by the assessments were directly provided to property in the assessment district. The Court also upheld discounts and exemptions from the assessment for certain properties.

BONANDER V. TOWN OF TIBURON (2009) 180 CAL. APP. 4TH 103 Bonander v. Town of Tiburon ("Bonander"), the 1st District Court of Appeal overturned a benefit assessment approved by property owners to pay for placing overhead utility lines underground in an area of the Town of Tiburon. The Court invalidated the assessments primarily on the grounds that the assessments had been apportioned to assessed property based on the costs within sub -areas of the assessment district instead of the overall cost of the improvements and the overall proportional special benefits.

BEUTZ V. COUNTY OF RIVERSIDE (2010) 184 CAL. APP. 4TH 1516 Steven Beutz v. County of Riverside ("Beutz") the Court overturned an assessment for park maintenance in Wildomar, California, primarily because the general benefits associated with improvements and services were not explicitly calculated, quantified, and separated from the special benefits.

GOLDEN HILL NEIGHBORHOOD ASSOCIATION V. CITY OF SAN DIEGO (201 1) 199 CAL. APP. 4TH 416

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
On September 22, 2011, the San Diego Court of Appeal issued a decision on the Golden Hill Neighborhood Association v. City of San Diego appeal. This decision overturned an assessment for street and landscaping maintenance in the Greater Golden Hill neighborhood of San Diego, California. The court described two primary reasons for its decision. First, like in Beutz, the court found the general benefits associated with services were not explicitly calculated, quantified and separated from the special benefits. Second, the court found that the City had failed to record the basis for the assessment on its own parcels.

COMPLIANCE WITH CURRENT LAW
This Engineer's Report is consistent with the SVTA decision and with the requirements of Article XIIIC and XIIID of the California Constitution because the Improvements to be funded are clearly defined; the benefiting property in the District enjoys close and unique proximity, access and views to the Improvements; the Improvements serve as an extension of usable land area for benefiting properties in the District and such special benefits provide a direct advantage to property in the District that is not enjoyed by the public at large or other property.

This Engineer's Report is consistent with Beutz, Dahms and Greater Golden Hill because the Improvements will directly benefit property in the District and the general benefits have been explicitly calculated and quantified and excluded from the Assessments. The Engineer's Report is consistent with Bonander because the Assessments have been apportioned based on the overall cost of the Improvements and Services proportional special benefit to each property, rather than the proportional cost to the District to provide the Improvements to specific properties.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

PLANS & SPECIFICATIONS
The City maintains landscaping and other improvements in locations within the District's boundaries. The work and improvements to be undertaken by the Landscape Maintenance District No. 92-1 and the cost thereof paid from the levy of the annual Assessment provide special benefit to Assessor Parcels within the District as defined in the Method of Assessment herein. In addition to the definitions provided by the Landscaping and Lighting Act of 1972, (the "Act") the work and improvements are generally described as follows:

ENTRANCE SIGNS
The entrance signs with landscape improvements to be maintained are to be located at the following locations within the District:
• Central Avenue at Chapman Avenue (n/e corner)
• Central Avenue at Gordon Drive
• Central Avenue at Buck Place
• Buena Vista Street at Dressel Drive
• Buena Vista Street at Petry Drive
• Alta Vista Street at Chang Drive
• Alta Vista Street at Swail Drive
• Alta Vista Street at Tebay Drive

ISLANDS
The landscaped islands to be maintained by the District are located as follows:
• Kraemer Blvd. from Alta Vista Street to n/o City Hall • Connecticut Way e/o Kraemer Blvd
• Rose Drive from Alta Vista Street to Buena Vista Street

PARKWAY VISTAS
The landscaped parkway vistas to be maintained by the District are located as follows:
• Kraemer Blvd. e/s (n/o City Hall to Connecticut Way)
• Kraemer Blvd. e/s (Connecticut Way to Alta Vista St.) • Alta Vista Street n/s (from 900' w/o to 800' e/o Dunnavant Dr.) • Alta Vista Street n/s (Rose Dr. to Jefferson St.)
• Alta Vista Street n/s (Jefferson St. to Van Buren St.) • Alta Vista Street s/s (Kraemer Blvd. to All America Way)

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
• Alta Vista Street s/s (Central Ave. to Dunnavant Dr.) • Alta Vista Street s/s (Dunnavant Dr. to Rose Dr.)
• Alta Vista Street s/s (Rose Dr. to Jefferson St.)
• Alta Vista Street s/s (Jefferson St. to Van Buren St.) • Rose Drive w/s (Alta Vista St. to 500'+ n/o Orangethorpe Ave.) • Rose Drive e/s (Alta Vista St. to north boundary of Shopping Center) • Rose Drive e/s (Alta Vista St. to 200' s/o Castner Dr.) UNOCAL/FIELDSTONE OIL WELL LOTS — RIGHT-OF-WAY SCREEN

PLANTING
The landscaped screen planting areas to be maintained by the District are located as follows:
• Dressel Drive / Howard Place
• Mykannen Circle / Cisneros Lane
• Tidland Circle
• Nevin Lane / Tucker Place
• Nevin Lane / Evans Lane
• Gerhold Lane
• Hill Street / Granger Drive
• Larson Lane / Evans Lane

STREET RIGHT-OF-WAY LANDSCAPING
The street landscaping to be maintained by the District is located as follows:
• Jefferson Street e/s (Alta Vista St. to Garten Dr.)
• Buena Vista s/s (320'± w/o Petry Dr. to 500'± e/o Dressel Dr.) • Van Buren Street w/s (750' n/o Alta Vista St. to Orchard Dr.) • Chang Drive (Alta Vista St. to Evans Ln.)
• Dressel Drive (Buena Vista St. to Munoz PI.)
• Central Avenue (Alta Vista St. to Chapman Ave.)
• Chapman Avenue (Central Ave. to 1130'± east)
• Chapman Avenue (Mission Way to All America Way)
• All America Way w/s (City Hall to Alta Vista St.)
• All America Way e/s (Chapman Ave. 100'± s/o Dartmouth Dr.) • Van Buren Street e/s (Richfield Channel to 200' s/o Alta Vista St.) • Dunnavant Drive (Alta Vista to 1300'± south) (does not include Lot "F", Tract 15139)
• Other minor areas that front non-contiguous assessed parcels

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
EASEMENTS — PUBLIC STORM DRAIN AND SEWER
Landscaped easements to be maintained by the District are located as follows:
• At various locations within TM 14161 (Fieldstone and Van Daele Tracts and TM 15699 Placentia Development Company)
• Does not include Lot "F," Tract 15139

PLACENTIA CHAMPIONS SPORTS COMPLEX
Maintenance and service may include (but is not limited to) the following':
• Payments for electrical energy and water usage
• Repair, replacement or enhancement of community building, parking lots, fencing, signage, lighting and fixed recreational structures such as playgrounds, play fields, courts, walkways, dugouts, bleachers, scoreboards, restrooms, drinking fountains, picnic tables and shelters, and ancillary items such as storage and utility structures • Irrigation, cultivation, pest control and replacement of plant material, trees, shrubs, ground cover, turf, supplies
• Personnel, utility, and equipment costs
• Contract services where applicable.

Installation, maintenance and servicing of Improvements, may include, but are not limited to, turf and play areas, landscaping, ground cover, shrubs and trees, irrigation systems, sidewalks, parking lots, drainage systems, lighting, fencing, entry monuments, basketball courts, tennis courts, other recreational facilities, graffiti removal and repainting, and labor, materials, supplies, utilities and equipment, as applicable, at each of the locations owned, operated or maintained by the District.

As applied herein, "Installation" means the construction of Improvements, including, but not limited to, land preparation (such as grading, leveling, cutting and filling), sod, landscaping, irrigation systems, walkways and drainage, lights, playground equipment, play courts, playing fields, recreational facilities and public restrooms. "Maintenance" means the furnishing of services and materials for the ordinary and usual maintenance, operation and servicing of any improvement, including repair, removal or 1 For Fiscal Year 2023-24, none of the expenditures shown in Table 1 are for the Placentia Champions Sports Complex. See Note "A" under Table 1 for more details.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
replacement of all or any part of any improvement; providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; the removal of trimmings, rubbish, debris, and other solid waste, and the cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti.
"Servicing" means the furnishing of electric current, or energy, gas or other illuminating agent for any public lighting facilities or for the lighting or operation of any other improvements; or water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvements.

Incidental expenses include all of the following: (a) The costs of preparation of the report, including plans, specifications, estimates, diagram, and assessment; (b) the costs of printing, advertising, and the giving of published, posted, and mailed notices; (c) compensation payable to the County for collection of assessments; (d) compensation of any engineer or attorney employed to render services in proceedings pursuant to this part; (e) any other expenses incidental to the construction, installation, or maintenance and servicing of the Improvements; (f) any expenses incidental to the issuance of bonds or notes pursuant to Streets & Highways Code Section 22662.5; and (g) costs associated with any elections held for the approval of a new or increased assessment (Streets & Highways Code §22526).

Modifications to the District structure could include, but are not limited to, substantial changes or expansion of the Improvements provided, substantial changes in the service provided, modifications or restructuring of the District including annexation or detachment of specific parcels, revisions in the method of apportionment, or proposed new or increased assessments.

The assessment proceeds will be exclusively used for Improvements within the District plus incidental expenses.
1 FISCAL YEAR 2024-25 ESTIMATE OF COST AND BUDGET
BUDGET FOR FISCAL YEAR 2024-25
The 1972 Act provides that the total costs for providing the maintenance and servicing of the District Improvements and facilities can be recovered in the assessment spread including incidental expenses. The latter can include engineering fees, legal fees, printing, mailing, postage, publishing, and all other costs identified with the District proceedings.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
An estimate of District costs for fiscal year 2024-25 for the maintenance and servicing of the Improvements is provided below.

Table 1 — FY 2024-25 Estimate of Costs
Expenditure Item Amount
Salaries & Benefits 118,367
Landscaping 82,500
Telephone/Internet 16,000
Public Notice 2,000
Maintenance Expenses/Supplies 2,000
Electricity 20,000
Water 200,000
Estimated Expenditures 440,867
Revenue Item Amount
Direct Benefit Assessments 457,992
General Fund Contribution
Estimated Revenues $457,992
Budget Allocation to Parcels
Assessment per Assessment Unit (AU)C
Total Assessment Units (AUs)
Total Assessment Budget
Notes to Estimate of Costs:
$154.87
2,957.27
457,992
A. The total estimated expenses for this Fiscal Year do not include the following maintenance and operating costs for the Placentia Sports Champion Complex: $53,454 for landscape and general maintenance plus $14,005 for restroom janitorial services. These costs, totaling $67,459 (or approximately 15% of the total assessment district's annual expenses) are covered by the City's General Fund.

B. The Act requires that proceeds from the assessments must be deposited into a special fund that has been set up for the revenues and expenditures of the District. Moreover, funds raised by the assessment shall be used only for the purposes stated within this Report. Any balance remaining at the end of the Fiscal Year, June 30, must be carried over to the next Fiscal Year. The District may also establish a reserve fund for contingencies and special projects as well as a capital improvement fund for accumulating funds for larger capital improvement projects or capital renovation needs. Any remaining balance would either be placed in the reserve fund, the capital improvement fund, or would be used to reduce future years' assessments.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
C. The rate shown here is for an Assessment Unit (single family home or its equivalent). For the definition of the term AU and rates for other types of property, see the section titled, "Method of Assessment" and the sections following it in this report.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

METHOD OF ASSESSMENT APPORTIONMENT
This section of the Engineer's Report explains the benefits to be derived from the Improvements and the methodology used to apportion the total assessment to properties within the District.

The District consists of certain assessor parcels within the boundaries as defined by the Assessment Diagram referenced in this report and the parcels identified by the Assessor Parcel Numbers listed with the levy roll. The parcel list includes all privately and publicly owned parcels as shown. The method used for apportioning the Assessment is based upon the relative special benefits to be derived by the properties in the District over and above general benefits conferred on real property or to the public at large. The Assessment is apportioned to lots and parcels in proportion to the relative special benefit from the Improvements. The apportionment of special benefit is a two-step process: the first step is to identify the types of special benefit arising from the Improvements and the second step is to allocate the Assessments to property based on the estimated relative special benefit for each type of property.

DISCUSSION OF BENEFIT
In summary, the Assessments can only be levied based on the special benefit to property.

This benefit is received by property over and above any general benefits. With reference to the requirements for assessments, Section 22573 of the Landscaping and Lighting Act of 1972 states:
"The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements." Proposition 218, as codified in Article XIIID of the California Constitution, has confirmed that assessments must be based on the special benefit to property and that the value of the special benefits must exceed the cost of the assessment:
"No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel." The following benefit categories summarize the types of special benefit to residential, commercial, industrial and other lots and parcels resulting from the Improvements to be provided with the assessment proceeds. These types of special benefit are summarized as follows:

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
A. Proximity to Improved Landscaped Areas and Other Public Improvements within the District.

B. Access to Improved landscaped areas and Other Public Improvements within the District.

C. Improved Views within the District.

D. Extension of a property's outdoor areas and green spaces for properties within close proximity to the Improvements.

E. Creation of individual lots for residential and commercial use that, in absence of the Assessments, would not have been created.

In this case, the recent SVTA v. SCCOSA decision provides enhanced clarity to the definitions of special benefits to properties from similar improvements in three distinct areas:
• Proximity
• Expanded or improved access
• Views
The SVTA v. SCCOSA decision also clarifies that a special benefit is a service or improvement that provides a direct advantage to a parcel and that indirect or derivative advantages resulting from the overall public benefits from a service or improvement are general benefits. The SVTA v. SCCOSA decision also provides specific guidance that park improvements are a direct advantage and special benefit to property that is proximate to a park that is improved by an assessment:

The characterization of a benefit may depend on whether the parcel receives a direct advantage from the improvement (e.g. proximity to a park) or receives an indirect, derivative advantage resulting from the overall public benefits of the improvement (e.g. general enhancement of the district's property values).

Proximity, improved access and views, in addition to the other special benefits listed herein further strengthen the basis of these assessments.

Moreover, the Dahms decision further clarified that certain services and improvements funded by assessments, that are over and above what otherwise would be provided and that other property in general and the public do not share or receive are 100% special benefit. The assessment -funded services upheld by Dahms included streetscape maintenance and security services.

SPECIAL BENEFIT
The special benefits from the Improvements are further detailed below:

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

PROXIMITY TO IMPROVED LANDSCAPED AREAS WITHIN THE DISTRICT Only the specific properties within close proximity to the Improvements are included in the District. The District has been narrowly drawn to include the properties that receive special benefits from the Improvements. Therefore, property in the District enjoys unique and valuable proximity and access to the Improvements that the public at large and property outside the District do not share.

In absence of the Assessments, the Improvements would not be provided and the public improvements funded in the District would be degraded due to insufficient funding for maintenance, upkeep and repair. Therefore, the Assessments provide Improvements that are over and above what otherwise would be provided. Improvements that are over and above what otherwise would be provided do not by themselves translate into special benefits but when combined with the unique proximity and access enjoyed by parcels in the District, they provide a direct advantage and special benefit to property in the District.

ACCESS TO IMPROVED LANDSCAPED AREAS WITHIN THE DISTRICT Since the parcels in the District are nearly the only parcels that enjoy close access to the Improvements, they directly benefit from the unique close access to improved landscaping areas and other public improvements that are provided by the Assessments.

This is a direct advantage and special benefit to property in the District.

IMPROVED VIEWS WITHIN THE ASSESSMENT DISTRICTS
The City, by maintaining permanent public improvements funded by the Assessments in the District, provides improved views to properties in the District. The properties in the District enjoy close and unique proximity, access and views of the specific Improvements funded in the District; therefore, the improved and protected views provided by the Assessments are another direct and tangible advantage that is uniquely conferred upon property in the District.

EXTENSION OF A PROPERTY'S OUTDOOR AREAS AND GREEN SPACES

FOR PROPERTIES WITHIN CLOSE PROXIMITY TO THE IMPROVEMENTS In large part because it is cost prohibitive to provide large open land areas on property in the District, the residential, commercial and other benefiting properties in the District do not have large outdoor areas and green spaces. The Improvements within the District provide additional outdoor areas that serve as an effective extension of the land area for proximate properties because the Improvements are uniquely proximate and accessible to property in close proximity to the Improvements. The Improvements, therefore, provide an important, valuable and desirable extension of usable land area for the direct

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
advantage and special benefit of properties in the District because such properties have uniquely good and close proximity to the Improvements.

CREATION OF INDIVIDUAL LOTS FOR RESIDENTIAL AND COMMERCIAL

USE THAT, IN ABSENCE OF THE ASSESSMENTS, WOULD NOT HAVE

BEEN CREATED
In most of the District, the original owner/developer(s) of the property within the District agreed unanimously to the Assessments. The Assessments provide the necessary funding for public improvements that were required as a condition of development and subdivision approval. Therefore, such Assessments allowed the original property to be subdivided and for development of the parcels to occur. As parcels were sold, new owners were informed of the Assessments through the title reports, and in some cases, through Department of Real Estate "White Paper" reports that the parcels were subject to assessment. Purchase of property was also an "agreement" to pay the Assessment.

Therefore, in absence of the Assessments, the lots within most of the District would not have been created. These parcels, and the improvements that were constructed on the parcels, receive direct advantage and special benefit from the Assessments.

GENERAL VERSUS SPECIAL BENEFIT
Article XIIIC of the California Constitution requires any local agency proposing to increase or impose a benefit assessment to "separate the general benefits from the special benefits conferred on a parcel." The rationale for separating special and general benefits is to ensure that property owners subject to the benefit assessment are not paying for general benefits. An assessment can fund special benefits but cannot fund general benefits. Accordingly, a separate estimate of the special and general benefit is given in this section.

In other words:

Total
Benefit
G eneral
Benefit
Special
Benefit
There is no widely accepted or statutory formula for general benefit. General benefits are benefits from improvements or services that are not special in nature, are not "particular and distinct" and are not "over and above" benefits received by other properties. SVTA vs. SCCOSA provides some clarification by indicating that general benefits provide "an indirect, derivative advantage" and are not necessarily proximate to the improvements.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
In this Report, the general benefit is liberally estimated and described, and then budgeted so that it is funded by sources other than the Assessment.

The starting point for evaluating general and special benefits is the current, baseline level of service. The Assessment will fund Improvements "over and above" this general, baseline level and the general benefits estimated in this section are over and above the baseline.

A formula to estimate the general benefit is listed below:

General
Benefit
Benefit to Reil
Property outside
the Assessment
District
Benefit to Reil
Property Inside the Benefit to
+ A55essrrent District + the Public that
is Indirect and at Large
Derivative
Special benefit, on the other hand, is defined in the state constitution as "a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at large." The SVTA v. SCCOSA decision indicates that a special benefit is conferred to a property if it "receives a direct advantage from the improvement (e.g., proximity to a park)." In these Assessments, as noted, properties in the District have close and unique proximity, views and access to the Improvements and uniquely improved desirability from the Improvements and other properties and the public at large do not receive significant benefits because they do not have proximity, access or views of the Improvements. Therefore, the overwhelming proportion of the benefits conferred to property is special and is only minimally received by property outside the Districts or the public at large.

BENEFIT FINDING
The District contains the Placentia Champions Sports Complex, which is distinct from other landscape improvements in the District. Due to significantly different characteristics between the two types of improvements, benefits will be discussed and calculated separately under the categories of "Park Improvements" and "Landscaping Improvements."

PARK IMPROVEMENTS - QUANTIFICATION OF GENERAL BENEFIT
In this section, the general benefit from park Improvements is liberally estimated and described, and then budgeted so that it is funded by sources other than the Assessment.

This Park section is focused on the Placentia Champions Sports Complex. Other District Improvements are discussed below in "Landscaping Improvements - Quantification of General Benefit."

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

BENEFIT TO PROPERTY OUTSIDE THE ASSESSMENT DISTRICTS
For the purposes of calculating benefit to properties outside the District, the Park will be considered as a neighborhood park insomuch as it provides amenities for nearby properties. While it functions as a community (or even regional) facility for organized sports such as baseball and soccer, the general benefit derived from those activities will be discussed under the "Benefit to the General Public" below.

Properties within the District receive much of the special benefits from the park Improvements because properties in the District enjoy unique close proximity and access to the park Improvements that is not necessarily enjoyed by other properties or the public at large. However, certain properties within the proximity/access radius of the park Improvements, but outside of the boundaries of the District, may receive some benefit from the park Improvements. Since this benefit is conferred to properties outside the District boundaries, it contributes to the overall general benefit calculation and will not be funded by the Assessments.

Since the properties outside the District but within the effective proximity radii are not assessed for their benefits because they are outside of the area that can be assessed by the District, this is a form of general benefit to other property. A 50% reduction factor is applied to these properties because they are all on only one side of the Improvements and properties in the District enjoy the advantage of over twice the average proximity to the park Improvements. The general benefit to property outside of the District is calculated as follows with the parcel and data analysis:

Assumptions:
• 651 parcels outside the District but within 0.5 miles of the Park • 2,212 parcels in the District
• 50% relative benefit compared to property within the District.

Calculation:

General Benefit to property outside the District = 651/(651+2,212)*0.5 = 11.37%

BENEFIT TO PROPERTY INSIDE THE ASSESSMENT DISTRICTS THAT IS

INDIRECT AND DERIVATIVE
The "indirect and derivative" benefit to property within the District is particularly difficult to calculate. A solid argument can be presented that all benefit within the District is special, because the Improvements are clearly "over and above" and "particular and distinct" when compared with the baseline level of service and the unique proximity, access and views of the Improvements enjoyed by benefiting properties in the District.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Nevertheless, the SVTA vs. SCCOSA decision indicates there may be general benefit "conferred on real property located in the district" A measure of the general benefits to property within the Assessment area is the percentage of land area within or directly abutting the District that is publicly owned and used for regional purposes such as major roads, rail lines and other regional facilities because such properties used for regional purposes could provide indirect benefits to the public at large. Approximately 2.91% of the land area in the District is used for such regional purposes, so this is a measure of the general benefits to property within the District.

BENEFIT TO THE PUBLIC AT LARGE
The general benefit to the public at large can be estimated by the proportionate amount of time that the District's parks facilities are used and enjoyed by individuals who are not residents, employees, customers or property owners in the District. In this District, there is only one park facility: Placentia Champions Sports Complex ("Complex"). The Complex serves the needs of many people in two primary ways: as a neighborhood park serving nearby residents for shorter and more frequent visits; and as a community or regional park serving people from all over Placentia and the surrounding areas as a destination for organized sports such as soccer and baseball league play. The general benefit of the former was discussed above; the general benefit of the latter is discussed here.

When the Complex functions as a community or regional park, it becomes a destination for longer and less frequent visits (for example, scheduled league play). Of the five ways benefits are conferred (proximity, access, views, extension of a property's green space, and creation of lots), the community or regional function confers benefits only in the "access" and "extension of a property's green space" categories (proximity does not apply as these trips are from outside the District; people do not come for the views; and the facility was not tied to the creation of faraway lots). Therefore, the general benefit is no more than 40%. That figure, however, is reduced by the percentage that the community or regional park benefits property owners within the district (special benefit). The City estimates that approximately 71% of participants in these organized sports are from the City of Placentia. However, only 15.11% of Placentia parcels lie inside the district, so it is estimated that (15% of 71% =) 10.73% of the users are from within the District.

Conversely, 89.27% are from outside the District. Therefore (40% x 89.27% =) 35.71 % of the benefits from the Parks Improvements are general benefits to the public at large.

TOTAL PARK IMPROVEMENTS GENERAL BENEFITS
Using a sum of these three measures of general benefit, we find that approximately

49.98% of the benefits conferred by the Improvements may be general in nature and should be funded by sources other than the assessment.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

PARKS GENERAL BENEFIT CALCULATION

11.37% (Outside the District)
+ 2.91% (Property within the District)
+ 35.71% (Public at Large)
= 49.99% (Total General Benefit)

LANDSCAPING AND OTHER IMPROVEMENTS - QUANTIFICATION OF

GENERAL BENEFIT
In this section, the general benefit from landscaping and other types of Improvements (other than park Improvements) is liberally estimated and described, and then budgeted so that it is funded by sources other than the Assessment.

BENEFIT TO PROPERTY OUTSIDE THE ASSESSMENT DISTRICTS
Properties within the District receive almost all of the special benefits from the other Improvements because properties in the District enjoy unique close proximity and access to the Improvements that is not enjoyed by other properties or the public at large.

However, certain properties within the proximity/access radius of the Improvements, but outside of the boundaries of the District, may receive some benefit from the Improvements. Since this benefit is conferred to properties outside the District boundaries, it contributes to the overall general benefit calculation and will not be funded by the Assessments. The general benefit to property outside of the District is calculated with the parcel and data analysis.

Since the properties outside the District but with frontage abutting the Improvements cannot be assessed by the District, this is a form of general benefit to other property. The primary way that parcels outside the district benefit by the Improvements is from views.

Therefore, parcels that abut the landscape areas and are not separated from the Improvements by a privacy fence are counted for this general benefit. The general benefit to property outside of the District is calculated as follows:

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
AssUMPTI DNS:
• 22 parcels outsi de the District
■ 2,212 parcels in the District
C LCULATION:

General Benefit to property outside the District
22/(22+2,212) =0.9996

BENEFIT TO PROPERTY INSIDE THE ASSESSMENT DISTRICTS THAT IS

INDIRECT AND DERIVATIVE
The "indirect and derivative" benefit to property within the District is particularly difficult to calculate. A solid argument can be presented that all benefit within the District is special, because the other Improvements are clearly "over and above" and "particular and distinct" when compared with the baseline level of service and the unique proximity, access and views of the other Improvements enjoyed by benefiting properties in the District.

Nevertheless, the SVTA vs. SCCOSA decision indicates there may be general benefit "conferred on real property located in the district" A measure of the general benefits to property within the Assessment area is the percentage of land area within or directly abutting the District that is publicly owned and used for regional purposes such as major roads, rail lines and other regional facilities because such properties used for regional purposes could provide indirect benefits to the public at large. Approximately 2.91% of the land area in the District is used for such regional purposes, so this is a measure of the general benefits to property within the District.

BENEFIT TO THE PUBLIC AT LARGE
The general benefit to the public at large can be estimated by the proportionate amount of time that the District's other Improvements including landscaping are used and enjoyed by individuals who are not residents, employees, customers or property owners in the District. It should be noted that these other Improvements do not attract the public at large in the same way as park improvements — and they confer far less benefit to the public at large than do similar park improvements. In essence, the public does not visit an area to enjoy setback landscaping in the same way as they may visit a park.

One way to measure the special benefit to the general public is by the car trips through an area with Improvements. Of the five ways benefits are conferred (proximity, access, views, extension of a property's green space, and creation of lots), the only benefit that is conferred by way of pass -by car trips is views, which accounts for 10% of the total

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
benefits, since views are less critically important and are enjoyed much less often to the average non-resident driver than to a resident.

Next, the views factors are weighted by the relevant number of car trips. Using the lane miles as representative of pass -by traffic, an analysis shows that 90% of the lane miles are on arterial or collector streets where the general public has views of the landscaping.

Therefore (90% of 10% =) 9.0% of the benefits from the other Improvements are general benefits to the public at large.

TOTAL OTHER IMPROVEMENTS GENERAL BENEFITS
Using a sum of these three measures of general benefit, we find that approximately

12.89% of the benefits conferred by the Improvements may be general in nature and should be funded by sources other than the assessment.

LANDSCAPING GENERAL BENEFIT CALCULATION

0.99% (Outside the District)
+ 2.91% (Property within the District)
+ 9.00% (Public at Large)
= 12.90% (Total General Benefit)

TOTAL COMBINED GENERAL BENEFITS
The total general benefit for Parks is 49.98% and for Landscaping and other Improvements is 12.89%. However, none of the District budget is for Parks — all of the budget is currently allocated for Landscaping and other Improvements. Therefore, using those proportions to calculate a weighted average of the general benefits for each type of Improvement, the resulting total combined general benefit is (0 x 49.98%) + (1.00 x

12.90%) = 12.90%.

Although this analysis finds that 12.90% of the assessment may provide general benefits from the Improvements, the Assessment Engineer establishes a requirement for a minimum contribution from sources other than the assessments of 13%. This minimum contribution above the measure of general benefits will serve to provide additional coverage for any other general benefits.

FINAL STEP — CALCULATE THE CURRENT GENERAL BENEFIT

CONTRIBUTION FROM THE CITY

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
This general benefit cannot be funded from the Assessments; it must be funded from other sources such as the City's General Fund or other non -District funds. These contributions can also be in the form of in -lieu contributions to the installation and maintenance of the Improvements such as other City assets that support and protect the Improvements. The City of Placentia will contribute both monetary and in -lieu resources to ensure that the general benefits conferred by the proposed Improvements are not funded by the District's Assessments.

A summary and quantification of these other contributions from the City is discussed below:

The City of Placentia owns, maintains, rehabilitates, and replaces curb and gutter along the border of the District Improvements. This curb and gutter serve to support, contain, retain, manage irrigation flow and growth, and provide a boundary for the Improvements.

The contribution from the City towards general benefit from the maintenance, rehabilitation, and replacement of the curb and gutter is conservatively estimated to be 5%.

The City owns and maintains a storm drainage system along the border of District Improvements. This system serves to prevent flooding and associated damage to the Improvements and manage urban runoff including local pollutants loading from the Improvements. The contribution from the City towards general benefit from the maintenance and operation of the local storm drainage system is conservatively estimated to be 5%.

The City owns and maintains local public streets along the border of the District Improvements. These public streets provide access to the Improvements for its enjoyment as well as efficient maintenance. The contribution from the City towards general benefit from the maintenance of local public streets is conservatively estimated to be 5%.

The value of the construction of the improvements can be quantified and monetized as an annuity. Since this construction was performed and paid for by non -assessment funds, this "annuity" can be used to offset general benefit costs and is conservatively estimated to contribute 10%.

The total General Benefit is liberally quantified at 13% which is entirely offset by the conservatively quantified total non -assessment contribution towards general benefit described above of 25%. Therefore, no additional General Benefit must be funded by the City.

METHOD OF APPORTIONMENT

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
The development of an Assessment methodology requires apportioning to determine the relative special benefit for each property. As the District was formed by a different engineer of record, the precise language from the most recent Engineer's Report is included below:

It has been determined that the improvements provide a specific and special benefit to all assessed parcels of land in the development area. Landscaping and irrigation of street rights-of-way, entryways, islands, sewer and storm drain easements, areas surrounding existing oil wells and the parkway vistas aesthetically enhances the development areas. The landscaped pedestrian corridor along Alta Vista Street also provides pedestrian access throughout the development area. The aesthetic enhancement and use of the parkway vistas increases the desirability of the properties located within the boundaries of the District mainly because of the property's close proximity and accessibility to the improvements. Therefore, maintenance of these public improvements renders a special and direct benefit to the parcels located throughout the District and the levy of a special assessment for the maintenance of the improvements is deemed appropriate.

The method of apportionment (Method of Assessment) set forth in the Report is based on the premise that each assessed property receives special benefits from the landscape improvements within the District, and the assessment obligation for each parcel reflects that parcel's proportional special benefits as compared to other properties that receive special benefits.

The assessment method used in spreading the annual landscape maintenance costs is based on an assessment unit (AU) factor as follows:

Each Single Family Detached Residential Unit is considered to be one AU and is assessed the cost attributable to one AU.

Multi -Family Residential Units are assessed 0.70 or 70% of an AU since they have a higher density than Single Family Detached Units (number of dwelling units/acres). The decrease in assessment is a direct result of the reduced amount of assessable acreage per Multi -Family Unit and the reduction in occupancy per unit.

In converting Developed Commercial, Industrial, Institutional and Other Non - Residential properties to AUs, the factor used is based on the City of Placentia average single-family residential density of ten dwelling units per acre. Therefore, the parcels in this Class will be assessed 10 AU per acre or any portion thereof.

These properties benefit from the maintenance of improvements because of the

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
enhanced desirability resulting from well -kept landscape areas. Improved aesthetic appeal also increases the draw of businesses to purchase or lease property and the increased opportunity to draw clientele.

Assessable Undeveloped Acreage also benefits from the maintenance and service of landscape improvements. This benefit comes in the form of enhanced desirability due to the improved aesthetics of the area resulting from improvements. The enhanced aesthetics increases the desirability of the property to future homeowners and future commercial property owners or lessors. However, because the property is vacant, less use will be made of the improvements. It is reasonable to derive that vacant property, when compared to developed property, receives about half of the benefit of developed properties, therefore the Single - Family Residence acreage equivalent used for developed non- residential properties of 10 AU per acres is reduced to 5 AU per acre for undeveloped land.2 Further clarification on the four benefit classes is provided below:

Class 1- Single family detached residential, including condominium form of ownership of single-family detached dwellings.

Class 11 - Developed commercial, industrial, and institutional where a map or a building permit for construction has been issued as of March 15 of the prior Fiscal Year.

Class 111— Multi -family residential and attached residential, approved project where a map has been recorded or a building permit for construction of dwelling units has been issued as of March 15 of the prior Fiscal Year.

Class IV — Undeveloped and all other properties that are not in Class 1, 11, or 111 regardless if they have been approved for future development or are in the process of securing development approval as of June 15 of the prior Fiscal Year3.

ANNUAL ASSESSMENT CALCULATION
For Fiscal Year 2024-25, the rate of Assessments for the District is not increased from prior years. The Calculations for maintenance, service and incidentals follows:
2 From the 2013-14 Engineer's Annual Levy Report, City of Placentia, Landscape Maintenance District No. 92-1, dated June 4, 2013
3 From the 2013-14 Engineer's Annual Levy Report, City of Placentia, Landscape Maintenance District No. 92-1, dated June 4, 2013

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Table 2 - Assessment Calculation
AU Ratio Assessment
Class Description Quantity Factor Units
II
III
IV
Single Family
Comm, Industrial
Multi -Family
Undeveloped
2,169 parcels

27.927 acres
648 units
x 1.00
x 10.00
x 0.70

8.88 acres x 5.00
Total Assessment Units
2,180.000 AU
279.270 AU
453.600 AU

44.400 AU
2,957.270 AU
Proposed Assessment Rate
$457,992/2,957.27 = $154.87
Class Assessments
Class I Single Family
Class II
Each parcel is assessed at one assessment unit:
$154.87x1.0
= $154.87 /Parcel
Comm, Industrial Each Acre is assessed at 10 assessment units:
$154.87 x 10.00 = $1,548.70 / Acre
Class III Multi -Family Each Unit is assessed at 0.70 assessment units:
$154.87 x 0.70 = $108.41 /Unit
Class IV Undeveloped Each Acre is assessed at 5 assessment units:
$154.87 x 5.00 = $774.35 /Acre

DURATION OF ASSESSMENT
The District was formed or annexed in previous years. It is proposed that the Assessments be continued every year after their formation or annexation, so long as the public Improvements need to be maintained and improved, and the City requires funding from the Assessments for these Improvements in the District. As noted previously, the Assessment can continue to be levied annually after the City Council approves an annually updated Engineer's Report, budget for the Assessment, Improvements to be provided, and other specifics of the Assessment. In addition, the City Council must hold an annual public hearing to continue the Assessment.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

APPEALS OF ASSESSMENTS LEVIED TO PROPERTY
Any property owner who feels that the Assessment levied on the subject property is in error as a result of incorrect information being used to apply the foregoing method of assessment may file a written appeal with the City of Placentia City Administrator or his or her designee. Any such appeal is limited to correction of an Assessment during the then -current Fiscal Year and applicable law. Upon the filing of any such appeal, the City Administrator or his or her designee will promptly review the appeal and any information provided by the property owner. If the City Administrator or his or her designee finds that the Assessment should be modified, the appropriate changes shall be made to the Assessment Roll. If any such changes are approved after the Assessment Roll has been filed with the County for collection, the City Administrator or his or her designee is authorized to refund to the property owner the amount of any approved reduction. Any dispute over the decision of the City Administrator or his or her designee shall be referred to the Placentia City Council, and the decision of the City Council shall be final.

ASSESSMENT FUNDS MUST BE EXPENDED WITHIN THE DISTRICT AREA The net available Assessment funds, after incidental, administrative, financing and other costs shall be expended exclusively for Improvements within the boundaries of the District or as described herein, and appropriate incidental and administrative costs as defined in the Plans and Specifications section.

ASSESSMENT
Whereas, the City of Placentia directed the undersigned engineer of Work to prepare and file a report presenting an estimate of costs, a Diagram for the District and an assessment of the estimated costs of the Improvements upon all assessable parcels within the District; Now, Therefore, the undersigned, by virtue of the power vested in me under the Act, Article XIIID of the California Constitution, and the order of the Placentia City Council, hereby makes the following Assessment to cover the portion of the estimated cost of the Improvements, and the costs and expenses incidental thereto to be paid by the District.

The amount to be paid for said Improvements and the expense incidental thereto, to be paid by the District for the Fiscal Year 2024-25 is generally as follows:

Table 3 — FY 2024-25 Summary Cost Estimate

Salaries & Benefits
Operating Expenses
City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25
118,367
322,500
Total for Services $ 440,867.00
Less General Fund Contribution 0
Less Other Revenue 0
Net Amount of Assesments $ 457,992.40
As required by the Act, an Assessment Diagram of the District is hereto attached and incorporated herein by reference. The distinctive number of each parcel or lot of land in the District is its Assessor Parcel Number appearing on the Assessment Roll.

I do hereby assess and apportion the net amount of the cost and expenses of the Improvements, including the costs and expenses incident thereto, upon the parcels and lots of land within the District, in accordance with the special benefits to be received by each parcel or lot, from the Improvements, and more particularly set forth in the Estimate of Cost and Method of Assessment in the Report.

The Assessment is made upon the parcels or lots of land within the District in proportion to the special benefits to be received by the parcels or lots of land, from the Improvements.

Each parcel or lot of land is described in the Assessment Roll by reference to its parcel number as shown on the Assessor's Maps of the County of Orange for the Fiscal Year 2024-25. For a more particular description of the property, reference is hereby made to the deeds and maps on file and of record in the office of the County Recorder of the County.

I hereby will place opposite the Assessor Parcel Number for each parcel or lot within the Assessment Roll, the amount of the assessment for the Fiscal Year 2024-25 for each parcel or lot of land within the District.

Date: May 21, 2024
City Engineer
Chris Tanio, PE

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

ASSESSMENT DIAGRAM
The District boundary is conterminous with the City Limits. The parcels to be assessed in Landscape Maintenance District No. 92-1 are shown on the Assessment Diagram, which is on file with the City Clerk of the City of Placentia and includes all those properties included in the original formation of the District and subsequent annexations. The following Assessment Diagram is for general location only and is not to be considered the official boundary map. The lines and dimensions of each lot or parcel within the District are those lines and dimensions as shown on the maps of the Assessor of the County of Orange, for Fiscal Year 2024-25, and are incorporated herein by reference, and made a part of this Diagram and this Report.

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-25

ASSESSMENT ROLL
An Assessment Roll (a listing of all parcels assessed within the District and the amount of the Assessment) will be filed with the City Clerk and is, by reference, made part of this Report and is available for public inspection during normal office hours at the City Hall at 401 East Chapman Avenue, Placentia, California 92870.

Each lot or parcel listed on the Assessment Roll is shown and illustrated on the latest County Assessor records and these records are, by reference, made part of this Report.

These records shall govern all details concerning the description of the lots or parcels.

Placentia City Council
TO: CITY COUNCIL
VIA: CITY ADMINISTRATOR
FROM: ACTING DIRECTOR OF PUBLIC WORKS
DATE: MAY 21, 2024

AGENDA REPORT
SUBJECT: RESOLUTION RELATING TO FISCAL YEAR 2024-25 LEVY OF ASSESSMENTS TO THE CITY OF PLACENTIA STREET LIGHTING DISTRICT NO. 81-1 AND SETTING A PUBLIC HEARING FOR JUNE 18, 2024 AT 7:00 P.M.

FISCAL
IMPACT: REVENUE: $136,244 (SLD -81-1 ASSESSMENTS)
$143,756 (PROPOSED TRANSFER IN FROM GENERAL
FUND)
EXPENDITURES: $280,000 (PROPOSED FY 24-25 BUDGET SLD 81-1 FUND)
SUMMARY:

Each year the City must conduct a public hearing to provide for the Levy of Assessments for the City of Placentia Street Lighting District ("SLD") No. 81-1 (the "District"), prepare a final Engineer's Report, and provide for any annexations into the District as proposed. This action will adopt resolutions necessary to set forth a public hearing for June 18, 2024, to provide for the Fiscal Year ("FY") 2024-25 Annual Levy of Assessments for SLD No. 81-1 as well as finalize the annual Engineer's Report.

RECOMMENDATION:

It is recommended that the City Council take the following actions:

1. Adopt Resolution R-2024-27 a Resolution of the City Council of the City of Placentia, California, directing preparation of the Engineer's Report for Fiscal Year 2024-25 for the continuation of the annual assessments for Street Lighting District No. 81-1; and

2. Adopt Resolution R-2024-28, a Resolution of the City Council of the City of Placentia, California, declaring its intention to provide for an annual levy and collection of assessments for certain maintenance within an existing district, pursuant to the provisions of Division 15, Part 2, of the California Streets and Highways Code and setting a time and place for public hearing thereon.

1.h.

May 21, 2024

City Council Agenda
May 21, 2024

STRATEGIC PLANNING STATEMENT:

There is no specific strategic planning goal or objective associated with this agenda item.

DISCUSSION:

The City Council adopted Resolution No. 81-R-133 on June 2, 1981, establishing SLD No. 81-1 pursuant to provisions of the Landscaping and Lighting Act of 1972, Division 15 of the Streets and Highway Code. SLD 81-1 was created to generate revenue to pay for the electric utility costs for 814 streetlights located along arterial streets throughout the City. SLD No. 81-1 is divided into five (5) assessment zones. Zone A is made up of 3,281 residential parcels. Zone B consists of 269.712 acres of commercial and industrial land. Zone C, which includes parcels from the former Santa Fe Lighting District No. 1, no longer exists and has been folded into Zone B. Zone D includes 65 parcels that have a recorded tentative or final map but are not yet developed. Lastly, Zone E includes open space, streets, or landscaped parcels and is exempt from the assessment. The assessment rate charged varies by zone. Zone A properties pay $27.38 per parcel per year. Zone B pays $164.28 per acre, and Zone C properties pay a rate of $8.21 per unit.

The legal authority for setting the assessments in SLD No. 81-1 is set forth in the Landscape and Lighting Act of 1972 found in Streets and Highways Code Section 22500, et seq., and pertinent provisions of the California Government Code. The annual levy is for providing street lighting and means of assessment for maintenance of same in those existing and newly developing properties designated on the Boundary Map of the District, which is on file in the offices of the City Engineer and City Clerk.

SLD No. 81-1 is exempt from, and not subject to, the procedures and approval processes set forth in Article XIII D, Section 4 of the California Constitution enacted by Proposition 218 on November 5, 1996. The reason SLD No. 81-1 is not subject to Proposition 218 can be attributed to the fact that Proposition 218 also enacted Article XIII D, Sections 5 and 5(b) which exempted assessment districts formed prior to November 6, 1996, and which were formed pursuant to a petition signed by those owning all the parcels subject to the assessment at the time the assessment was initially imposed. This exemption is contingent on there being no increase in the amount assessed on a property owner in a category from the prior year. Since SLD No. 81-1 was formed prior to November 6, 1996, pursuant to a petition signed by those owning all the parcels subject to the assessment at the time the assessment was initially imposed, the District is exempt from the procedures and approval process set forth by Proposition 218.

FISCAL IMPACT:

SLD No. 81-1 has estimated expenditures of $280,000 for FY 2024-25. The largest cost center is for electric utility costs which total $279,000. The proposed assessment for FY 2024-25 will generate approximately $136,244 in revenue leaving a negative balance of $143,756, which is backfilled by the City's General Fund. SLD 81-1 has operated at a deficit for numerous years because of the limited ability to increase assessment rates to relieve the annual General Fund contribution to the District.

City Council Agenda
May 21, 2024

Prepared by:

Elsa Y. Robinson
Senior Management Analyst
Reviewed and approved:

Jennifer Lampman
Director of Finance
Reviewed and approved:

Chris Tanio, PE
Acting Director of Public Works
Reviewed and approved:

Damien R. Arrula
City Administrator
Attachments:

1. Resolution R-2024-27, Directing Preparation of the Final Engineer's Report

2. Resolution R-2024-28, Setting a Public Hearing

3. Preliminary Engineer's Report— Placentia SLD 81-1 FY 2024-25

RESOLUTION NO. R-2024-27

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PLACENTIA, CALIFORNIA, DIRECTING PREPARATION

OF THE ENGINEER'S REPORT FOR FISCAL YEAR
2024-25 FOR THE CONTINUATION OF THE ANNUAL

ASSESSMENTS FOR STREET LIGHTING DISTRICT
NO. 81-1
A. Recitals
(i). On June 2, 1981, by its Resolution No. 81-R-133, this Council ordered the formation of and levied the first assessment within the Placentia Street Lighting District No. 81-1 ("District") in accordance with the provisions of Article XIII D of the California Constitution, and the Landscaping and Lighting Act of 1972 (the "Act"), Part 2 of Division 15 of the California Streets and Highways Code (commencing with Section 22500 thereof); and
(ii). The City Council of the City of Placentia, California, desires to initiate proceedings for the annual levy of assessments for said District; and (iii). The proceedings for the annual levy of assessments shall relate to the fiscal year commencing July 1, 2024, and ending June 30, 2025; and (iv). The provisions of said Division 15, Part 2, require a written Report, consisting of the following:

1. Plans and specifications of the area of the works of improvement to be maintained;

2. An estimate of the costs for maintaining the improvements for the above - referenced fiscal year;

3. A diagram of the area proposed to be assessed;

4. An assessment of the estimated costs for maintenance work for said fiscal year.

B. Resolution

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:

1. The Recitals set forth in Part A., above, are true and correct.

2. The purpose of the District is for the installation, maintenance, and servicing of street lighting improvements, as described in Section 3 below.

3. Within the Street Lighting District, the existing and proposed improvements to be undertaken by the City are generally described as the installation, maintenance and servicing of public facilities including, but not limited to, street lighting owned or Resolution R-2024-27

maintained by the City. Maintenance means the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of said improvements, including repair, removal, or replacement of all or part of any improvement. Servicing means the furnishing of electric current or energy for the operation or lighting of any improvements.

4. The City Engineer is hereby designated as Engineer of Work for purposes of these proceedings and is hereby ordered to prepare the final Engineer's Report in accordance with Article 4 of Chapter 1 of the Act and Article XIII D of the California Constitution. Upon completion, the Engineer shall file the Engineer's Report with the City Clerk for submission to the Council.

APPROVED and ADOPTED this 21st day of May 2024.

Jeremy B. Yamaguchi, Mayor
ATTEST:

Robert S. McKinnell, City Clerk

STATE OF CALIFORNIA

COUNTY OF ORANGE
I, Robert S. McKinnell, City Clerk of the City Of Placentia do hereby certify that the foregoing Resolution was adopted at a regular meeting of the City Council held on the 21st day of May 2024 by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:

Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:

Christian L. Bettenhausen, City Attorney
Resolution R-2024-27
Page2of2

RESOLUTION NO. R-2024-28

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PLACENTIA, CALIFORNIA, DECLARING ITS INTENTION

TO PROVIDE FOR THE ANNUAL LEVY AND COLLECTION

OF ASSESSMENTS FOR CERTAIN MAINTENANCE

WITHIN AN EXISTING DISTRICT, PURSUANT TO THE
PROVISIONS OF DIVISION 15, PART 2, OF THE

CALIFORNIA STREETS AND HIGHWAYS CODE AND

SETTING THE TIME AND PLACE FOR A PUBLIC
HEARING THEREON.

A. Recitals
(i). The City Council of the City of Placentia, in 1981, formed a street lighting district pursuant to the terms and provisions of the Landscaping and Lighting Act of 1972 ("Act"), Division 15, Part 2, of the California Streets and Highways Code, in what is known and designated as:

CITY OF PLACENTIA
STREET LIGHTING DISTRICT NO. 81-1
(Hereinafter the "District.")
(ii). Proposition 218 adopted November 5, 1996 added Articles XIII C and XIII D to the California Constitution providing, at Article XIII D, § 5, that new assessment districts formed after November 6, 1996 and assessment increases in existing assessment districts be subject to specified procedures and approval processes set forth in Article XIII D, § 4; and
(iii). California Constitution Article XIII D, §§ 5 and 5 (b), provides that any assessment imposed in an assessment district formed prior to November 6, 1996 pursuant to a petition signed by those owning all of the parcels subject to the assessment at the time such district was formed and the assessment initially imposed, provided there is no increase in the amount assessed on an owner in a particular category of assessment unit, shall be exempt from the procedures and approval process set forth in Article XIII D, § 4; and
(iv). The District was formed prior to November 6, 1996 pursuant to a petition signed by those owning all of the parcels subject to the assessment at the time the assessment was initially imposed; and
(v). There is no increase in the amount proposed to be assessed on any parcel within the District in any category of assessment unit, for the period from Fiscal Year Resolution R-2024-28

2023-24 to Fiscal Year 2024-25, thereby rendering the District exempt from the procedures and approval process set forth in Article XIII D, § 4; and (vi). The City Council desires, pursuant to the provisions of the Act to provide for the annual levy of assessments for the 2024-25 Fiscal Year, to provide for the costs and expenses reasonably necessary for the maintenance of improvements within said District; and
(vii). The assessment engineer has presented a report ("Report"), as required by law, setting forth the reasonably necessary maintenance for Fiscal Year 2024-25 and setting forth the recommended levy, therefore.

B. Resolution

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:

1. The facts set forth in the Recitals, Part A of this Resolution, are true and correct.

2. The Report has been made, filed with the City Clerk, and duly considered by the City Council and is hereby deemed sufficient and preliminarily approved. The Report shall stand as the Engineer's Report for all subsequent proceedings under and pursuant to the foregoing resolution.

3. The public interest and convenience require the annual levy and collection of special assessments for the continual maintenance of improvements, to serve and benefit said District as set forth in the Report of the Engineer, incorporated herein as a part hereof.

4. The Report, setting forth the reasonably necessary maintenance for Fiscal Year 2024-25 and setting forth the recommended levy, therefore, hereby is received and is directed to be filed in the Office of the City Clerk.

5. The public interest and convenience require, and it is the intention of this City Council to order, reasonably necessary maintenance for Fiscal Year 2024-25, and further it is determined to be in the public interest and convenience to levy and collect annual assessments to pay the costs and expenses of said maintenance and improvements as estimated in said "Report."

6. The assessments levied and collected shall be for the maintenance of certain street light improvements, maintenance, and servicing as set forth in the Engineer's Report, referenced and so incorporated herein.

7. NOTICE IS HEREBY GIVEN THAT ON TUESDAY, JUNE 18, 2024, AT 7:00 P.M. OR AS SOON THEREAFTER AS THE MATTER MAY BE HEARD, IN THE COUNCIL CHAMBERS LOCATED AT 401 E. CHAPMAN AVENUE, PLACENTIA, THE Resolution R-2024-28

CITY COUNCIL SHALL CONDUCT A PUBLIC HEARING TO RECEIVE PROTESTS OR

OBJECTIONS, IF ANY THERE BE, REGARDING THE LEVEL OF MAINTENANCE AND

THE LEVY OF ASSESSMENTS WITHIN AND UPON ALL PROPERTY WITHIN STREET LIGHTING DISTRICT NO. 81-1. ANY PERSON WHO WISHES TO OBJECT TO THE

PROCEEDINGS FOR THE ANNUAL LEVY SHOULD FILE A WRITTEN PROTEST WITH

THE CITY CLERK PRIOR TO THE TIME SET AND SCHEDULED FOR SAID PUBLIC HEARING.

8. The City Council hereby directs the City Clerk to give notice of a public hearing, pursuant to California Government Code § 6061, in a newspaper of general circulation within the City.

9. The City Clerk is further directed to cause a copy of this Resolution to be posted upon the official bulletin board customarily used for the posting of notices and to mail, by first class mail, a copy of the notice to those interested parties who have filed written requests.

10. For any and all information relating to the proceedings, protest procedure, any documentation and/or information of a procedural or technical nature, your attention is directed:

Elsa Robinson
Public Works Department
City of Placentia
401 East Chapman Avenue
Placentia, California 92870
(714) 993-8148
APPROVED and ADOPTED this 21ST day of May 2024.

Jeremy B. Yamaguchi, Mayor
ATTEST:

Robert S. McKinnell, City Clerk
Resolution R-2024-28

STATE OF CALIFORNIA

COUNTY OF ORANGE
I, Robert S. McKinnell, City Clerk of the City Of Placentia do hereby certify that the foregoing Resolution was adopted at a regular meeting of the City Council held on the 21st day of May 2024 by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:

Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:

Christian L. Bettenhausen, City Attorney
Resolution R-2024-28

City of Placentia
Landscape Maintenance District No. 92-1
Preliminary Engineer's Report, Fiscal Year 2024-2

CITY OF PLACENTIA

ENGINEER'S REPORT
Street Lighting District No. 81-1
Fiscal Year 2024-25
Street Lighting District No. 81-1
May 2024
Intent Meeting: May 21, 2024
Public Hearing: June 18, 2024

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

TABLE OF CONTENTS
City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Introduction 5
Engineer's Report and Continuation of Assessments 5
Street Lighting District Background 6
Legislative Analysis 6
Proposition 218 6
Silicon Valley Taxpayers Association, Inc. v Santa Clara County Open Space Authority (2008) 44 Cal. 4th 431 6
Dahms v. Downtown Pomona Property (2009) 174 Cal. App. 4th 708 8 Bonander v. Town of Tiburon (2009) 180 Cal. App. 4th 103 8 Beutz v. County of Riverside (2010) 184 Cal. App. 4th 1516 8 Golden Hill Neighborhood Association v. City of San Diego (2011) 199 Cal. App. 4th 416 8
Compliance with Current Law 9
Plans & Specifications 10
Fiscal Year 2024-25 Estimate of Cost and Budget 12
Budget for Fiscal Year 2024-25 12
Method of Assessment Apportionment 14
Discussion of Benefit 14
Special Benefit 15
Creation of Individual Lots for Residential and Commercial Use that, in Absence of the Assessments, Would Not Have Been Created 15
Improved Visibility and Safety 15
Improved Access 15
Improved Community Character and Vitality 16
General Versus Special Benefit 16
Quantification of General Benefit 17
Step 1 — Caculate the general beneFlT 17
Step 2 — Calculate the Current General Benefit Contribution from the City 18 Method of Apportionment 19

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Annual Assessment Calculation 20
Duration of Assessment 21
Appeals of Assessments Levied to Property 21
Assessment statement 22
Assessment Diagram 24
Assessment Roll 25

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

INTRODUCTION
The City of Placentia (the "City") serves and maintains streetlights and associated improvements (the "Improvements") in certain parts of the City. In order to fund the maintenance and operation (the "Services") of these projects and improvements, the City has formed Street Lighting District No. 81-1 ("District"). This Engineer's Report ("Report") was prepared to establish the budget for maintenance and operation of the Improvements (as described below) that will be funded by the 2023-24 assessments and other revenue, and to determine the general and special benefits received from the Improvements by property within the District and the method of assessment apportionment to lots and parcels. This Report and the assessments have been made pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (the "Act") and Article XIIID of the California Constitution (the "Article").

ENGINEER'S REPORT AND CONTINUATION OF ASSESSMENTS
The assessment has been continued for over 30 years. In each subsequent year for which the assessments will be continued, the Placentia City Council (the "Council") must direct the preparation of an Engineer's Report, budgets, and proposed assessments for the upcoming fiscal year. After the report is completed, the City Council may preliminarily approve the Engineer's Report and the continued assessments and establish the date for a public hearing on the continuation of the assessments. Accordingly, this Engineer's Report (the "Report") was prepared pursuant to the direction of the City Council.

As required by the Act, this Report includes plans and specifications, a diagram or map of the District, the benefits received by property from the Improvements within the District, and the method of assessment apportionment to lots and parcels within the District.

If the Council approves this Engineer's Report and the continuation of the Assessments by resolution, a notice of public hearing must be published in a local newspaper at least 10 days prior to the date of the public hearing. The resolution preliminarily approving the Engineer's Report and establishing the date for a public hearing is typically used for this notice.

Following the minimum 10 -day time period after publishing the notice, a public hearing is held for the purpose of allowing public testimony about the proposed continuation of the Assessments. This hearing is currently scheduled for June 18, 2024. At this hearing, the Council will consider approval of a resolution confirming the continuation of the Assessments for Fiscal Year 2024-25. If so confirmed and approved, the Assessments

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
would be submitted to the Orange County Auditor/Controller for inclusion on the property tax rolls for Fiscal Year 2024-25.

STREET LIGHTING DISTRICT BACKGROUND
Street Lighting District No. 81-1 was formed in 1981. Prior to that, the County of Orange had established and maintained street lighting assessment districts within the City of Placentia. After the passage of Proposition 13 in 1978, the County decided to cease annexations to its existing districts. In response to that, the City formed its own district (No. 81-1) to allow for future development to be included in an assessment district providing street lighting services.

The portions of the City previously included in the County's street light assessment remained under the County's jurisdiction until 1996, when the City took over management of those areas. However, they were not annexed into District No. 81-1, and continue to be funded and operated separately from the District. Therefore, those areas and the parcels therein are not included in this report or the assessment calculations herein.

LEGISLATIVE ANALYSIS
PROPOSITION 218
The Right to Vote on Taxes Act was approved by the voters of California on November 6, 1996, and is now Article XIIIC and XIIID of the California Constitution. Proposition 218 provides for benefit assessments to be levied to fund the cost of providing services and improvements, as well as maintenance and operation expenses to a public improvement which benefits the assessed property.

SILICON VALLEY TAXPAYERS ASSOCIATION, INC. V SANTA CLARA COUNTY OPEN SPACE AUTHORITY (2008) 44 CAL. 4TH 431
In July of 2008, the California Supreme Court issued its ruling on the Silicon Valley Taxpayers Association, Inc. v. Santa Clara County Open Space Authority ("SVTA"). This ruling is significant in that the Court clarified how Proposition 218 made changes to the determination of special benefit. The Court also found that:
• Benefit assessments are for special benefits to property, not general benefits. • The services and/or improvements funded by assessments must be clearly defined.
• Assessment districts must be drawn to contain all parcels that receive a special benefit from a proposed public improvement.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
• Assessments paid in each assessment district must be proportional to the special benefit received by each such parcel from the improvements and services funded by the assessment.

This Engineer's Report and the process used to establish the continuation of the assessments for fiscal year 2024-25 are consistent with the SVTA decision and with the requirements of Article XIIIC and XIIID of the California Constitution based on the following factors:

1. The District is drawn to include the entire City; although only parcels deriving special benefits are included in the assessment rolls. Thus, zones of benefit are not required and the assessment revenue derived from real property in the District is extended only on the Improvements in the District.

2. The Improvements which are constructed and maintained with assessment proceeds in the District are located in close proximity to the real property subject to the assessment. The Improvements provide illumination to streets and sidewalks enabling improved access to the residents of such assessed property. The proximity of the Improvements to the assessed parcels and the improved access and increased safety provided to of the residents of the assessed parcels by the Improvements provides a special benefit to the parcel being assessed pursuant to the factors outlined by the Supreme Court in that decision.

3. Due to their proximity to the assessed parcels, the Improvements financed with assessment revenues in the District benefit the properties in that District in a manner different in kind from the benefit that other parcels of real property in the City derive from such Improvements, and the benefits conferred on such property in the District are more extensive than a general increase in property values.

4. The assessments paid in the District are proportional to the special benefit that each parcel within that Assessment District receives from the Improvements because:
a. The specific lighting Improvements and maintenance and utility costs thereof in the District and the costs thereof are specified in this Report; and

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

5. Such Improvement and maintenance costs in the District are allocated among different types of property located within the District, and equally among those properties which have similar characteristics, such as single-family residential parcels, multi -family residential parcels, commercial parcels, industrial parcels, etc.

DAHMS V. DOWNTOWN POMONA PROPERTY (2009) 174 CAL. APP. 4TH 708
On June 8, 2009, the 4th Court of Appeal amended its original opinion upholding a benefit assessment for property in the downtown area of the City of Pomona in Dahms v.

Downtown Pomona Property ("Dahms"). On July 22, 2009, the California Supreme Court denied review. In Dahms the Court upheld an assessment that was 100% special benefit (i.e. 0% general benefit) on the rationale that the services and improvements funded by the assessments were directly provided to property in the assessment district. The Court also upheld discounts and exemptions from the assessment for certain properties.

BONANDER V. TOWN OF TIBURON (2009) 180 CAL. APP. 4TH 103 On December 31, 2009, in Bonander v. Town of Tiburon ("Bonander"), the 1st District Court of Appeal overturned a benefit assessment approved by property owners to pay for placing overhead utility lines underground in an area of the Town of Tiburon. The Court invalidated the assessments primarily on the grounds that the assessments had been apportioned to assessed property based in part on relative costs within sub -areas of the assessment district instead of the overall cost of the improvements and the overall proportional special benefits.

BEUTZ V. COUNTY OF RIVERSIDE (2010) 184 CAL. APP. 4TH 1516 On May 26, 2010 the 4th District Court of Appeals issued a decision in the Steven Beutz V. County of Riverside ("Beutz"). This decision overturned an assessment for park maintenance in Wildomar, California, primarily because the general benefits associated with improvements and services was not explicitly calculated, quantified and separated from the special benefits.

GOLDEN HILL NEIGHBORHOOD ASSOCIATION V. CITY OF SAN DIEGO (201 1) 199 CAL. APP. 4TH 416
On September 22, 2011, the San Diego Court of Appeal issued a decision on the Golden Hill Neighborhood Association v. City of San Diego appeal. This decision overturned an assessment for street and landscaping maintenance in the Greater Golden Hill

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
neighborhood of San Diego, California. The court described two primary reasons for its decision. First, like in Beutz, the court found the general benefits associated with services were not explicitly calculated, quantified, and separated from the special benefits.

Second, the court found that the City had failed to record the basis for the assessment on its own parcels.

COMPLIANCE WITH CURRENT LAW
This Engineer's Report is consistent with the requirements of Article XIIIC and XIIID of the California Constitution and with the SVTA decision because the Improvements to be funded are clearly defined; the Improvements are directly available to and will directly benefit property in the District; and the Improvements provide a direct advantage to property in the District that would not be received in absence of the Assessments.

This Engineer's Report is consistent with Beutz, Dahms and Greater Golden Hill because the Improvements will directly benefit property in the District and the general benefits have been explicitly calculated and quantified and excluded from the Assessments. The Engineer's Report is consistent with Bonander because the Assessments have been apportioned based on the overall cost of the Improvements and Services and proportional special benefit to each property, rather than the proportional cost to the District to provide the Improvements to specific properties.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

PLANS & SPECIFICATIONS
The work and Improvements proposed to be undertaken by the City and the cost thereof paid from the levy of the annual assessment provide special benefit to Assessor Parcels within the District defined in the Method of Assessment herein. Consistent with the Landscaping and Lighting Act of 1972, (the "Act") , the Improvements are generally described as follows:

Facilities and Improvements
The facilities and improvements within the District are defined as street light standards, their appurtenances and energy and maintenance costs to operate them. Street lighting systems in the District consist of Edison -owned lights as of the date of this report, as shown below:

Table 1- District Facilities
Type of Light No. of Lights
Size of Lumens Owner
Sodium Vapor
Sodium Vapor
Sodium Vapor
Sodium Vapor
Total
Scope of Work:
31 43
222
518
814
5,800
9,500
16,000
22,000
S.C.E.

S.C.E.

S.C.E.

S.C.E.

Southern California Edison company (S.C.E) shall be the supplier of electrical energy for all of the above listed streetlights as well as providing needed maintenance and replacements for those streetlights owned by S.C.E. Costs for electrical energy and maintenance of S.C.E-owned streetlights shall be billed to the City by S.C.E. The City shall disburse payments to S.C.E. from the Special Fund established for the District.

Costs incurred by the City for: administration, engineering, operations and other related requirements shall be paid by the District's Special Fund for those costs.

Changes and Modifications to the District
Modifications to the District structure could include but are not limited to:
• Substantial changes or expansion of the improvements provided.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
• Substantial changes in the service provided.
• Modifications or restructuring of the district including annexation or detachment of specific parcels.
• Revisions in the method of apportionment
• Proposed new or increased assessments.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
FISCAL YEAR 2024-25 ESTIMATE OF COST AND BUDGET
BUDGET FOR FISCAL YEAR 2024-25
The 1972 Act provides that the total costs for providing the maintenance and servicing of the District Improvements and facilities can be recovered in the assessment spread including incidental expenses. The latter can include engineering fees, legal fees, printing, mailing, postage, publishing, and all other costs identified with the District proceedings.

An estimate of District costs for fiscal year 2024-25 for the maintenance and servicing of the Improvements is provided below.

Table 2 — FY 2024-25 Estimate of Costs
Expenditure Item Amount
Public Notice 1,000
Electricity 279,000
Estimated Expenditures $ 280,000.00
Revenue Item Amount
Direct Benefit Assessments 136,245
General Fund Contribution 143,800.00
Estimated Revenues $ 280,045.00
Budget Allocation to Parcels
Assessment per Assessment Unit (AU)C $ 27.38
Total Assessment Units (AUs) 4,976.06
Total Assessment Budget 136,245
Notes to Estimate of Costs:

A. The Act requires that proceeds from the assessments must be deposited into a special fund that has been set up for the revenues and expenditures of the District. Moreover, funds raised by the assessment shall be used only for the purposes stated within this Report. Any balance remaining at the end of the Fiscal Year, June 30, must be carried over to the next Fiscal Year. The District may also establish a reserve fund for contingencies and special projects as well as a capital improvement fund for accumulating funds for larger capital improvement projects or

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
capital renovation needs. Any remaining balance would either be placed in the reserve fund, the capital improvement fund, or would be used to reduce future years' assessments.

B. The rate shown here is for an Assessment Unit (single family home or its equivalent). For the definition of the term AU and rates for other types of property, see the section titled, "Method of Assessment" and the sections following it in this report.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

METHOD OF ASSESSMENT APPORTIONMENT
This section of the Engineer's Report includes an explanation of the benefits to be derived from the installation, maintenance and servicing of the Improvements throughout the District and the Assessment methodology used to apportion the total Assessment to properties within the Assessment District.

The District consists of certain assessor parcels within the boundaries as defined by the Assessment Diagram referenced in this report and the parcels identified by the Assessor Parcel Numbers listed with the levy roll. The parcel list includes all privately and publicly owned parcels as shown. The method used for apportioning the Assessment is based on the proportional special benefits to be derived by the properties in the District over and above general benefits conferred on real property or to the public at large. The apportionment of special benefit is a two-step process: the first step is to identify the types of special benefit arising from the Improvements, and the second step is to allocate the Assessments to property based on the estimated relative special benefit for each type of property.

DISCUSSION OF BENEFIT
In summary, the Assessments can only be levied based on the special benefit to property.

This benefit is received by property over and above any general benefits. With reference to the requirements for assessments, Section 22573 of the Landscaping and Lighting Act of 1972 states:
"The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements." Proposition 218, as codified in Article XIIID of the California Constitution, has confirmed that assessments must be based on the special benefit to property and that the value of the special benefits must exceed the cost of the assessment:
"No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel." The following benefit categories summarize the types of special benefit to residential, commercial, industrial, and other lots and parcels resulting from the Improvements to be provided with the assessment proceeds. These types of special benefit are summarized as follows:

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
A. Creation of individual lots for residential and commercial use that, in absence of the Assessments, would not have been created.

B. Improved visibility and safety
C. Improved access
D. Improved community character and vitality

SPECIAL BENEFIT
The special benefits from the Improvements are further detailed below:

CREATION OF INDIVIDUAL LOTS FOR RESIDENTIAL AND COMMERCIAL

USE THAT, IN ABSENCE OF THE ASSESSMENTS, WOULD NOT HAVE BEEN

CREATED
In most of the District, the original owner/developer(s) of the property within the District agreed unanimously to the Assessments. The Assessments provide the necessary funding for public improvements that were required as a condition of development and subdivision approval. Therefore, such Assessments allowed the original property to be subdivided and for development of the parcels to occur. As parcels were sold, new owners were informed of the Assessments through the title reports, and in some cases, through Department of Real Estate "White Paper" reports that the parcels were subject to assessment. Purchase of property was also an "agreement" to pay the Assessment.

Therefore, in absence of the Assessments, the lots within most of the District would not have been created. These parcels, and the improvements that were constructed on the parcels, receive direct advantage and special benefit from the Assessments.

IMPROVED VISIBILITY AND SAFETY
Well maintained, effective street lighting provides a special benefit to proximate parcels, within the range of the light, because it allows for safer and improved use of the property in the evenings and at night. Street lighting provides special benefits as it increases neighborhood safety and reduces the likelihood of crime on the proximate parcels. Over time, the Improvements continue to confer a particular and distinct special benefit upon parcels within the District because of the nature of the Improvements. The proper maintenance of the streetlights and appurtenant facilities reduces property -related crimes, especially vandalism, against assessed properties in the District.

IMPROVED ACCESS
Well maintained, effective street lighting enhances ingress, egress and accessibility of all forms to the assessed parcels in the evening and at night by increasing visibility. Improved

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
visibility also helps prevent local and pedestrian traffic accidents related to the assessed parcels.

IMPROVED COMMUNITY CHARACTER AND VITALITY
Well maintained, effective street lighting promotes evening and nighttime social interaction of residents and customers of businesses and industry. This creates a positive atmosphere and enhances the community image in the evening and at night for the assessed parcels.

All of the above-mentioned items also contribute to a specific enhancement to each of the parcels within the District. The proximate streetlights clearly make each parcel safer, more visible, more accessible, more useful, more valuable, and more desirable; and this further strengthens the basis of these Assessments.

GENERAL VERSUS SPECIAL BENEFIT
The proceeds from the District are used to fund Improvements and increased levels of maintenance to the public facilities that serve and benefit the assessed properties in the District. In absence of the District, such Improvements would not be properly maintained.

Therefore, the District's purpose is to ensure that the necessary and beneficial public facilities for property in the District are properly maintained and repaired over time. The assessments will ensure that street lighting and associated improvements within and adjacent to the District are functional, well maintained and safe. These public resources directly benefit the property in the District and will confer distinct and special benefits to the assessed properties within the District. Moreover, in absence of assessments, a condition of development would not be met and future construction in the District could be denied. The creation of individual lots, if any, and the approval for construction in the District, is the overriding clear and distinct special benefit conferred exclusively on property in the District and not enjoyed by other properties outside the District. Therefore, the assessments solely provide special benefit to assessed property in the District over and above the general benefits conferred to the public at large or properties outside the District.

Although the Improvements maintained by the Services may be available to the general public at large, the Improvements and Services are specifically designed, located and created to provide additional and improved resources for property inside the District, and not the public at large. Other properties that are outside the District do not enjoy the unique proximity and other special benefit factors described previously. These Improvements and Services are of special benefit to properties located within the District

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
because they provide a direct advantage to properties in the District that would not be provided in absence of the Assessments. Any general benefits to surrounding properties outside of the District, if any there were, are collateral and conferred concomitantly.

QUANTIFICATION OF GENERAL BENEFIT
Although the analysis used to support these assessments concludes that the benefits are solely special, as described above, consideration is made for the suggestion that a portion of the benefits are general. General benefits cannot be funded by these assessments — the funding must come from other sources.

The maintenance and servicing of these improvements is also partially funded, directly and indirectly from other sources including the City of Placentia, Orange County, and the State of California. This funding comes in the form of grants, development fees, special programs, and general funds, as well as direct maintenance and servicing of other co - located facilities (e.g., curbs, gutters, streets, drainage systems, etc.). This funding from other sources more than compensates for general benefits, if any, received by the properties within the District.

In the 2009 Dahms case, the court upheld an assessment that was 100% special benefit on the rationale that the services funded by the assessments were directly provided within the assessment district. It is also important to note that the improvements and services funded by the assessments in Pomona are similar to the improvements and services funded by the Assessments described in this Engineer's Report, and the Court found these improvements and services to be 100% special benefit. Also similar to the assessments in Pomona, the Assessments described in this Engineer's Report fund Improvements and Services directly provided within the District, and every benefiting property in the District enjoys proximity and access to the Improvements. Therefore, Dahms establishes a basis for minimal or zero general benefits from the Assessments STEP 1 — CACULATE THE GENERAL BENEFIT
The General Benefits from this assessment may be quantified as illustrated in the following table.

Benefit Factor
Relative General Relative
Weight Benefit General
Contribution Benefit
Creation of individual lots for development or
approval of building permits

85 0%
0 City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Improved nighttime visibility and safety 5 25% 1.25
Improved Access 5 25% 1.25
Improved Community Character and Vitality 5 25% 1.25
Total 100 3.75
Total Calculated General 3.75%
Benefit
As a result, the City of Placentia will contribute at least 2.5% of the total budget from sources other than the assessment. This contribution offsets any general benefits from the Assessment Services.

STEP 2 — CALCULATE THE CURRENT GENERAL BENEFIT CONTRIBUTION

FROM THE CITY
This general benefit contribution is the sum of the following components:

The City of Placentia owns, maintains, rehabilitates, and replaces curb and gutter along the border of the District improvements. This curb and gutter serve to support, contain, retain, manage irrigation flow and growth, and provide a boundary for the Improvements.

The contribution from the City of Placentia towards general benefit from the maintenance, rehabilitation, and replacement of the curb and gutter is conservatively estimated to be 1%.

The City of Placentia owns and maintains a storm drainage system along the border of District Improvements. This system serves to prevent flooding and associated damage to the improvements and manage urban runoff including local pollutants loading from the Improvements. The contribution from the City of Placentia towards general benefit from the maintenance and operation of the local storm drainage system is conservatively estimated to be 1%.

The City of Placentia owns and maintains local public streets along the border of the District Improvements. These public streets provide access to the Improvements for its enjoyment as well as efficient maintenance. The contribution from the City of Placentia towards general benefit from the maintenance of local public streets is conservatively estimated to be 1%.

The value of the construction of the improvements can be quantified and monetized as an annuity. Since this construction was performed and paid for by non -assessment funds,

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
this "annuity" can be used to offset general benefit costs and is conservatively estimated to contribute 10%.

Therefore, the total General Benefit is conservatively quantified at 2.5% which is more than offset by the total non -assessment contribution towards general benefit of 13%.

METHOD OF APPORTIONMENT
The development of an Assessment methodology requires apportioning to determine the relative special benefit for each property. As the District was formed by a different engineer of record, the precise language from the most recent Engineer's Report is included below:

The methodology used fairly distributes the cost of the street lighting system in relation to the benefits received. For Fiscal Year 2023-24 there are 3,696 parcels of property in the District, grouped into one of three benefit zones for assessment purposes. The District was originally established with five benefit zones (A though E) to distinguish variations in benefit. However, Zone C is no longer applicable.

The five benefit zones originally established for the District include the following:

Zone A: Single Family residential, whether detached or condominium.

Zone B: Commercial, industrial, churches, apartments, etc., either developed or in process of development.

Zone C: Parcels in the former Santa Fe Lighting District No. 1. This zone designation was originally established to distinguish specific non-residential parcels that were previously part of the Santa Fe Lighting District No. 1 and were annexed to this District. Originally, the assessments for these parcels included a temporary loan. The loan recoupment has been satisfied and these parcels are now included as part of Zone B.

Zone D: Parcels that have a recorded tentative or final map, but are not yet developed.

Zone E: Open Space, street areas, or landscape strip parcels are considered to receive no benefit. Parcels within this zone are exempt from assessment.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
The basic methodology of apportionment developed for this District in 1981-82 is based on assessment unit. This methodology assigns each residential parcel in Zone A one assessment unit (AU). The relationship between residential parcels in Zone A and acreage parcels in Zone B was established at a six to one ratio based on general density figures for the City. Zone C originally designated parcels that were part of the former Santa Fe Street Lighting District No. 1. The assessments for parcels in Zone C originally included the conversion improvement costs associated with these parcels and were spread over a two-year period. These conversion costs have been satisfied and the Zone C parcels are now included in Zone B. Zone C has been eliminated. Zone D designates parcels where the final tract or parcel maps have been approved and recorded, however construction is not yet in progress. This zone is assessed at 30% of one assessment unit per parcel or proposed parcels based on the approved tract map, whichever is the greater of the two.1

ANNUAL ASSESSMENT CALCULATION
For Fiscal Year 2024-25, the rate of Assessments for the District is not increased from prior years. The Calculations for maintenance, service and incidentals follows:

Table 4 — Assessment Calculation
AU Ratio Assessment
Zone Quantity Factor Units
A 3,377 units
B 263.260 acres
D 65 units
Total Assessment Units
x

1.00 x 6.00
x 0.30
AU Cost $136,244.52/4,976.060 AU
_ $27.31
3,377.00 AU
1,579.560 AU

19.500 AU
4,976.060/AU
$27.38/AI
1 From the 2013-14 Engineer's Annual Levy Report, City of Placentia, Street Lighting District No. 81-1, dated June 4, 2013. Zone E was reported to have 33 parcels, but they were not identified in the accompanying data. Therefore those parcels are not included in the current data.

Because they are exempt from assessment, there is no effect on the assessment apportionment calculations.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
Zone Assessments
Zone A
Zone B
Zone D
Single Family
Comm, Industrial
Multi -Family

DURATION OF ASSESSMENT
Each parcel is assessed at one assessment unit:
$27.38 x 1.0 $27.38 /Parcel
Each Acre is assessed at 10 assessment units:
$27.38 x 6.00 = $164.28 / Acre
Each Unit is assessed at 0.70 assessment units:
$27.38 x 0.30 = $8.21 /Unit
The District was formed or annexed in previous years. It is proposed that the Assessments be continued every year after their formation or annexation, so long as the public Improvements need to be maintained and improved, and the City requires funding from the Assessments for these Improvements in the Assessment Districts. As noted previously, the Assessment can continue to be levied annually after the City Council approves an annually updated Engineer's Report, budget for the Assessment, Improvements to be provided, and other specifics of the Assessment. In addition, the City Council must hold an annual public hearing to continue the Assessment.

APPEALS OF ASSESSMENTS LEVIED TO PROPERTY
Any property owner who feels that the Assessment levied on the subject property is in error as a result of incorrect information being used to apply the foregoing method of assessment may file a written appeal with the City of Placentia City Administrator or his or her designee. Any such appeal is limited to correction of an Assessment during the then -current Fiscal Year and applicable law. Upon the filing of any such appeal, the City Administrator or his or her designee will promptly review the appeal and any information provided by the property owner. If the City Administrator or his or her designee finds that the Assessment should be modified, the appropriate changes shall be made to the Assessment Roll. If any such changes are approved after the Assessment Roll has been filed with the County for collection, the City Administrator or his or her designee is authorized to refund to the property owner the amount of any approved reduction. Any dispute over the decision of the City Administrator or his or her designee shall be referred to the Placentia City Council, and the decision of the City Council shall be final.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

ASSESSMENT STATEMENT
Whereas, the City of Placentia directed the undersigned engineer of Work to prepare and file a report presenting an estimate of costs, a Diagram for the District and an assessment of the estimated costs of the Improvements upon all assessable parcels within the District; Now, Therefore, the undersigned, by virtue of the power vested in me under the Act, Article XIIID of the California Constitution, and the order of the Placentia City Council, hereby makes the following Assessment to cover the portion of the estimated cost of the Improvements, and the costs and expenses incidental thereto to be paid by the District.

The amount to be paid for said Improvements and the expense incidental thereto, to be paid by the District for the Fiscal Year 2024-25 is generally as follows:

Table 3 — FY 2024-25 Summary Cost Estimate
Salaries & Benefits -
Operating Expenses 280,000
Total for Services $ 280,000.00
Less General Fund Contribution
Less Other Revenue
136,245
143,800.00
Net Amount of Assesments $ 136,245.00
As required by the Act, an Assessment Diagram of the District is hereto attached and incorporated herein by reference. The distinctive number of each parcel or lot of land in the District is its Assessor Parcel Number appearing on the Assessment Roll. do hereby assess and apportion the net amount of the cost and expenses of the Improvements, including the costs and expenses incident thereto, upon the parcels and lots of land within the District, in accordance with the special benefits to be received by each parcel or lot, from the Improvements, and more particularly set forth in the Estimate of Cost and Method of Assessment in the Report.

The Assessment is made upon the parcels or lots of land within the District in proportion to the special benefits to be received by the parcels or lots of land, from the Improvements.

Each parcel or lot of land is described in the Assessment Roll by reference to its parcel number as shown on the Assessor's Maps of the County of Orange for the Fiscal Year

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25
2024-25. For a more particular description of the property, reference is hereby made to the deeds and maps on file and of record in the office of the County Recorder of the County.

I hereby will place opposite the Assessor Parcel Number for each parcel or lot within the Assessment Roll, the amount of the assessment for the Fiscal Year 2024-25 for each parcel or lot of land within the District.

Date: May 21, 2024
City Engineer
Chris Tanio, PE

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

ASSESSMENT DIAGRAM
The District boundary is conterminous with the City Limits. The parcels to be assessed in Street Lighting District No. 81-1 are shown on the Assessment Diagram, which is on file with the City Clerk of the City of Placentia, and includes all those properties included in the original formation of the District and subsequent annexations. The following Assessment Diagram is for general location only and is not to be considered the official boundary map. The lines and dimensions of each lot or parcel within the District are those lines and dimensions as shown on the maps of the Assessor of the County of Orange, for Fiscal Year 2023-24, and are incorporated herein by reference, and made a part of this Diagram and this Report.

City of Placentia
Street Lighting District No. 81-1
Preliminary Engineer's Report, Fiscal Year 2024-25

ASSESSMENT ROLL
An Assessment Roll (a listing of all parcels assessed within the District and the amount of the Assessment) will be filed with the City Clerk and is, by reference, made part of this Report and is available for public inspection during normal office hours at the City Hall at 401 East Chapman Avenue, Placentia, California 92870.

Each lot or parcel listed on the Assessment Roll is shown and illustrated on the latest County Assessor records and these records are, by reference, made part of this Report.

These records shall govern all details concerning the description of the lots or parcels.

TO:

VIA:

FROM:

DATE:

CITY COUNCIL

CITY ADMINISTRATOR

CHIEF OF POLICE
MAY 21, 2024
Placentia Cit Council

AGENDA REPORT
SUBJECT: AGREEMENT WITH ALL CITY MANAGEMENT SERVICES, INC. FOR

CROSSING GUARD SERVICES
FISCAL
IMPACT: EXPENSE: $100,116 FOR FISCAL YEAR 2024-2025 BUDGET $105,494 FOR FISCAL YEAR 2025-2026 BUDGET
$112,169 FOR FISCAL YEAR 2026-2027 BUDGET
BUDGETED: $100,116 (103047-6290) FOR FISCAL YEAR 2024-2025 BUDGET SUMMARY:

The Placentia Police Department administers the crossing guard services contract. The City continues to provide crossing guard services at five (5) predetermined locations. Consistent with previous years, the Placentia-Yorba Linda Unified School District provides crossing guards at an additional 11 locations. This action would authorize the City to enter into an agreement with All City Management Services for a three-year term ending June 30, 2027, with two (2) additional one-year extensions, to be exercised at the sole discretion of the City of Placentia.

RECOMMENDATION:

It is recommended that the City Council take the following actions:

1. Approve the Agreement with All City Management Services, Inc. for a three (3) -year term ending June 30, 2027, with two (2) additional one-year optional extensions, for amounts not to exceed $100,116 (FY 2024-2025), $105,494 (FY 2025-2026) and $112,169 (FY 2026-2027); and

2. Authorize the City Administrator to execute the necessary documents, in a form approved by the City Attorney.

DISCUSSION:

This item conforms to Strategic Plan Goal 2, Ensure that Public Safety Continues to be a High Priority.

All City Management Services have continuously provided crossing guard services to the City and Placentia-Yorba Linda Unified School District. (PYLUSD), with the City funding five (5) predetermined locations and the PYLUSD funding the other 11 locations. These areas are

1.i.

May 21, 2024

City Council Agenda
May 21, 2024
Page2of2
locations that provide the greatest benefit to the community based on analysis previously conducted by the City Engineer.

Placentia Municipal Code Section 3.08070(6) allows City Staff to procure goods or services outside the formal bidding process when the product or service can only be provided by one vendor. As All City Management Services already provides crossing guard services to the PYLUSD, it is beneficial to maintain consistency across the Placentia jurisdiction by also utilizing the same company for the City's five (5) funded crossing guard locations. Accordingly, City Staff recommends a sole source contract with the firm.

FISCAL IMPACT:

The annual cost of the Agreement is for not -to -exceed amounts of $100,116 (FY 2024-2025), $105,494 (FY 2025-2026) and $112,169 (FY 2026-2027). Should the City, in its sole discretion decide to exercise the additional two (2) one-year optional terms, the costs will be negotiated pursuant to the terms of the Agreement.

Submitted by:

Teri Knteg/
Management Analyst
Reviewed and approved:

Jennifer Lampman
Finance Director
Reviewed and approved:

Brad Butts
Chief of Pice
Reviewed and approved:

Damien R. Arrula
City Administrator
Attachment:

Agreement with All City Management Services for Crossing Guard Services

CITY OF PLACENTIA

PROFESSIONAL SERVICES AGREEMENT
WITH
ALL CITY MANAGEMENT SERVICES, INC.

THIS AGREEMENT is made and entered into this 21St day of May 2024_ ("Effective Date"), by and between the CITY OF PLACENTIA, a municipal corporation ("City"), and ALL CITY MANAGEMENT SERVICES, INC., a California corporation ("Consultant").

WITNESSETH:

A. WHEREAS, City proposes to utilize the services of Consultant as an independent contractor to provide Crossing Guard Services within the City of Placentia, as more fully described herein; and
B. WHEREAS, Consultant represents that it has that degree of specialized expertise contemplated within California Government Code Section 37103, and holds all necessary licenses to practice and perform the services herein contemplated; and C. WHEREAS, City and Consultant desire to contract for the specific services described in Exhibit "A" (the "Project") and desire to set forth their rights, duties, and liabilities in connection with the services to be performed; and
D. WHEREAS, no official or employee of City has a financial interest, within the provisions of Sections 1090-1092 of the California Government Code, in the subject matter of this Agreement.

NOW, THEREFORE, for and in consideration of the mutual covenants and conditions contained herein, the parties hereby agree as follows:

1.0. SERVICES PROVIDED BY CONSULTANT

1.1. Scope of Services. Consultant shall provide the professional services described in Consultant's Proposal ("Proposal"), attached hereto as Exhibit "A" and incorporated herein by this reference.

1.2. Professional Practices. All professional services to be provided by Consultant pursuant to this Agreement shall be provided by personnel experienced in their respective fields and in a manner consistent with the standards of care, diligence and skill ordinarily exercised by professional consultants in similar fields and circumstances in accordance with sound professional practices. Consultant also warrants that it is familiar with all laws that may affect its performance of this Agreement and shall advise City of any changes in any laws that may affect Consultant's performance of this Agreement. Consultant shall keep itself informed of State and Federal laws and regulations which in any manner affect those employed by it or in any way affect the performance of its service pursuant to this Agreement. The Consultant shall at all times observe and comply with all such laws and regulations. Officers and employees shall not be liable at law or in equity occasioned by failure of the Consultant to comply with this Section.

1.3. Performance to Satisfaction of City. Consultant agrees to perform all the work to the complete satisfaction of the City and within the hereinafter specified. Evaluations of the work will be done by the City Administrator or his or her designee. If the quality of work is not satisfactory, City in its discretion has the right to:

(a) Meet with Consultant to review the quality of the work and resolve the matters of concern;
(b) Require Consultant to repeat the work at no additional fee until it is satisfactory; and/or
(c) Terminate the Agreement as hereinafter set forth.

1.4. Warranty. Consultant warrants that it shall perform the services required by this Agreement in compliance with all applicable Federal and California employment laws, including, but not limited to, those laws related to minimum hours and wages; occupational health and safety; fair employment and employment practices; workers' compensation insurance and safety in employment; and all other Federal, State, and local laws and ordinances applicable to the services required under this Agreement. Consultant warrants that it is not suspended or debarred from doing business with the United States government and can legally be paid from federal funds. Consultant shall indemnify and hold harmless City from and against all claims, demands, payments, suits, actions, proceedings, and judgments of every nature and description including attorneys' fees and costs, presented, brought, or recovered against City for, or on account of any liability under any of the above-mentioned laws, which may be incurred by reason of Consultant's performance under this Agreement.

1.5. Non-discrimination. In performing this Agreement, Consultant shall not engage in, nor permit its agents to engage in, discrimination in employment of persons because of their race, religion, color, national origin, ancestry, age, physical handicap, medical condition, marital status, sexual gender, or sexual orientation, except as permitted pursuant to Section 12940 of the Government Code. Such actions shall include, but not be limited to the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay, or other forms of compensation and selection for training, including apprenticeship.

Consultant agrees to post in conspicuous places, available to employees and applicants for employment, a notice setting forth provisions of this non-discrimination clause.

Consultant shall, in all solicitations and advertisements for employees placed by, or on behalf of Consultant shall state that all qualified applicants will receive consideration for employment without regard to age, race, color, religion, sex, marital status, national origin, or mental or physical disability. Consultant shall cause the paragraphs contained in this Section to be inserted in all subcontracts for any work covered by the Agreement, provided that the foregoing provisions shall not apply to subcontracts for standard commercial supplies or raw materials.

1.6. Non -Exclusive Agreement. Consultant acknowledges that City may enter into agreements with other consultants for services similar to the services that are subject to this Agreement or may have its own employees perform services similar to those services contemplated by this Agreement.

1.7. Delegation and Assignment. This is a personal service contract, and the duties set forth herein shall not be delegated or assigned to any person or entity without the prior written consent of City. Consultant may engage a subcontractor(s) as permitted by law and may employ other personnel to perform services contemplated by this Agreement at Consultant's sole cost and expense. All insurance requirements contained in this Agreement are independently applicable to any and all subcontractors that Consultant may engage during the term of this Agreement.

1.8. Confidentiality. Employees of Consultant in the course of their duties may have 2 [All City Management Services]
Rev. 01/2024

access to financial, accounting, statistical, and personnel data of private individuals and employees of City. Consultant covenants that all data, documents, discussion, or other information developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without written authorization by City. City shall grant such authorization if disclosure is required by law. All City data shall be returned to City upon the termination of this Agreement. Consultant's covenant under this Section shall survive the termination of this Agreement.

2.0. COMPENSATION AND BILLING

2.1. Comaensation. Consultant shall be paid in accordance with the fee schedule set forth in Exhibit "A". Consultant's total compensation shall not exceed $100,116 for Fiscal Year 2024/2025, $105,494 for Fiscal Year 2025/2026 and $112,169 for Fiscal Year 2026/2027 ), unless authorized herein.

2.2. Additional Services. Consultant shall not receive compensation for any services provided outside the scope of services specified in the Consultant's Proposal or which is inconsistent with or in violation of the provisions of this Agreement unless the City or the Project Manager for this Project, prior to Consultant performing the additional services, approves such additional services in writing. It is specifically understood that oral requests and/or approvals of such additional services or additional compensation shall be barred and are unenforceable.

Should the City request in writing additional services that increase the hereinabove described "Scope of Services", an additional fee based upon the Consultant's standard hourly rates shall be paid to the Consultant for such additional services. Such increase in additional fees shall be limited to 10% of the total contract sum. The City Administrator is authorized to approve a Change Order for such additional services. Where the original contract is $40,000.00 or less, City Council approval shall be required prior to any increase bringing the total compensation to more than $40,000.00.

2.3. Method of Billing. Consultant may submit invoices to the City for approval on a progress basis, but no more often than two times a month. Said invoice shall be based on the total of all Consultant's services which have been completed to City's sole satisfaction. City shall pay Consultant's invoice within forty-five (45) days from the date City receives said invoice. Each invoice shall describe in detail the services performed, the date of performance, and the associated time for completion. Any additional services approved and performed pursuant to this Agreement shall be designated as "Additional Services" and shall identify the number of the authorized change order, where applicable, on all invoices.

2.4. Records and Audits. Records of Consultant's services relating to this Agreement shall be maintained in accordance with generally recognized accounting principles and shall be made available to City or its Project Manager for inspection and/or audit at mutually convenient times for a period of three (3) years from the Effective Date.

3.0. TIME OF PERFORMANCE

3.1. Commencement and Completion of Work. The professional services to be performed pursuant to this Agreement shall commence within five (5) days from the Effective Date of this Agreement. Said services shall be performed in strict compliance with the Project Schedule approved by City as set forth in Exhibit "A". The Project Schedule may be amended by mutual agreement of the parties. Failure to commence work in a timely manner and/or diligently pursue work to completion may be grounds for termination of this Agreement. 3 [All City Management Services]
Rev. 01/2024

3.2. Excusable Delays. Neither party shall be responsible for delays or lack of performance resulting from acts beyond the reasonable control of the party or parties. Such acts shall include, but not be limited to, acts of God, fire, strikes, material shortages, compliance with laws or regulations, riots, acts of war, or any other conditions beyond the reasonable control of a party. If a delay beyond the control of the Consultant is encountered, a time extension may be mutually agreed upon in writing by the City and the Consultant. The Consultant shall present documentation satisfactory to the City to substantiate any request for a time extension.

4.0. TERM AND TERMINATION

4.1. Term. This Agreement shall commence on the Effective Date and continue for a period of 36 months, ending on June 30, 2027, unless previously terminated as provided herein or as otherwise agreed to in writing by the parties. This Agreement may also be extended for two additional one-year terms based on the City's sole discretion.

4.2. Notice of Termination. The City reserves and has the right and privilege of canceling, suspending, or abandoning the execution of all or any part of the work contemplated by this Agreement, with or without cause, at any time, by providing at least fifteen (15) days prior written notice to Consultant. The termination of this Agreement shall be deemed effective upon receipt of the notice of termination. In the event of such termination, Consultant shall immediately stop rendering services under this Agreement unless directed otherwise by the City. If the City suspends, terminates, or abandons a portion of this Agreement such suspension, termination, or abandonment shall not make void or invalidate the remainder of this Agreement.

If the Consultant defaults in the performance of any of the terms or conditions of this Agreement, it shall have ten (10) days after service upon it of written notice of such default in which to cure the default by rendering a satisfactory performance. In the event that the Consultant fails to cure its default within such period of time, the City shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement without further notice and without prejudice to any other remedy to which it may be entitled at law, in equity or under this Agreement.

The City shall have the right, notwithstanding any other provisions of this Agreement, to terminate this Agreement, at its option and without prejudice to any other remedy to which it may be entitled at law, in equity or under this Agreement, immediately upon service of written notice of termination on the Consultant, if the latter should:
a. Be adjudged a bankrupt;
b. Become insolvent or have a receiver of its assets or property appointed because of insolvency;
c. Make a general assignment for the benefit of creditors; d. Default in the performance of any obligation or payment of any indebtedness under this Agreement;
e. Suffer any judgment against it to remain unsatisfied or unbonded of record for thirty (30) days or longer; or
f. Institute or suffer to be instituted any procedures for reorganization or rearrangement of its affairs.
4 [All City Management Servic ,
Rev. 01/2024

4.3. Compensation. In the event of termination, City shall pay Consultant for reasonable costs incurred and professional services satisfactorily performed up to and including the date of City's written notice of termination within thirty-five (35) days after service of the notice of termination. Compensation for work in progress shall be prorated based on the percentage of work completed as of the effective date of termination in accordance with the fees set forth herein.

In ascertaining the professional services actually rendered hereunder up to the effective date of termination of this Agreement, consideration shall be given to both completed work and work in progress, to complete and incomplete drawings, and to other documents pertaining to the services contemplated herein whether delivered to the City or in the possession of the Consultant. City shall not be liable for any claim of lost profits.

4.4. Documents. In the event of termination of this Agreement, all documents prepared by Consultant in its performance of this Agreement including, but not limited to, finished or unfinished design, development, and construction documents, data studies, drawings, maps, and reports, shall be delivered to the City within ten (10) days of delivery of termination notice to Consultant, at no cost to City. Any use of uncompleted documents without specific written authorization from Consultant shall be at City's sole risk and without liability or legal expense to Consultant.

5.0. INSURANCE

5.1. Insurance. The Contractor and all subcontractors, if any, shall procure and maintain, at its sole cost and expense, in a form and content satisfactory to City, during the entire term of this Agreement including any extension thereof, insurance as set forth in Exhibit "B" attached hereto and incorporated herein by this reference.

Neither the City nor any of its officers, officials, agents, employees, or volunteers makes any representation that the types of insurance and the limits specified to be carried by Consultant under this Agreement are adequate to protect Consultant. If Consultant believes that any such insurance coverage is insufficient, Consultant shall provide, at its own expense, such additional insurance as Consultant deems adequate.

5.2. Deductible or Self -Insured Retention. If any of such policies provide for a deductible or self-insured retention to provide such coverage, the amount of such deductible or self-insured retention shall be approved in advance by City. No policy of insurance issued as to which the City is an additional insured shall contain a provision which requires that no insured except the named insured can satisfy any such deductible or self-insured retention.

5.3. Certificates of Insurance. Consultant shall provide to City certificates of insurance showing the insurance coverages, as well as providing the City with the required endorsements, in a form and content approved by City, prior to performing any services under this Agreement.

The certificates of insurance and endorsements shall be attached hereto as Exhibit "C" and incorporated herein by this reference.

5.4. Non -limiting. Nothing in this Section shall be construed as limiting in any way, the indemnification provision contained in this Agreement, or the extent to which Consultant may be held responsible for payments of damages to persons or property.

6.0. GENERAL PROVISIONS

6.1. Entire Agreement. This Agreement constitutes the entire agreement between the 5 (All City Management Services]
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parties with respect to any matter referenced herein and supersedes any and all other prior writings and oral negotiations. This Agreement may be modified only in writing and signed by the parties in interest at the time of such modification. The terms of this Agreement shall prevail over any inconsistent provision in any other contract document appurtenant hereto, including exhibits to this Agreement.

6.2. Representatives. The City Administrator or his or her designee shall be the representative of City for purposes of this Agreement and may issue all consents, approvals, directives, and agreements on behalf of the City, called for by this Agreement, except as otherwise expressly provided in this Agreement.

Consultant shall designate a representative for purposes of this Agreement who shall be authorized to issue all consents, approvals, directives, and agreements on behalf of Consultant called for by this Agreement, except as otherwise expressly provided in this Agreement.

6.3. Project Managers. City shall designate a Project Manager to work directly with Consultant in the performance of this Agreement. It shall be the Consultant's responsibility to assure that the Project Manager is kept informed of the progress of the performance of the services and the Consultant shall refer any decision, which must be made by City, to the Project Manager. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Project Manager.

Consultant shall designate a Project Manager who shall represent it and be its agent in all consultations with City during the term of this Agreement and who shall not be changed by Consultant without the express written approval by the City. Consultant or its Project Manager shall attend and assist in all coordination meetings called by City.

6.4. Notices. Any notices, documents, correspondence, or other communications concerning this Agreement, or the work hereunder may be provided by personal delivery, facsimile or if mailed, shall be addressed as set forth below and placed in a sealed envelope, postage prepaid, and deposited in the United States Postal Service. Such communication shall be deemed served or delivered: a) at the time of delivery if such communication is sent by personal delivery; b) at the time of transmission if such communication is sent by facsimile; and c) 72 hours after deposit in the U.S. Mail as reflected by the official U.S. postmark if such communication is sent through regular United States mail.

IF TO CONSULTANT: IF TO CITY:

All City Management Services, Inc.
10440 Pioneer Blvd, Suite 5
Santa Fe Springs, CA 90670
Tel: 310-202-8284
Fax: 310-202-8325
Attn: David Mecusker
City of Placentia
401 E. Chapman Ave.

Placentia, CA 92870
Tel: 714-993-8164
Fax: 714-524-3459
Attn: Brad Butts

6.5. Attorneys' Fees. In the event that litigation is brought by any party in connection with this Agreement, the prevailing party shall be entitled to recover from the opposing party all costs and expenses, including reasonable attorneys' fees, incurred by the prevailing party in the exercise of any of its rights or remedies hereunder or the enforcement of any of the terms, conditions, or provisions hereof.
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6.6. Governing Law. This Agreement shall be governed by and construed under the laws of the State of California without giving effect to that body of laws pertaining to conflict of laws. In the event of any legal action to enforce or interpret this Agreement, the parties hereto agree that the sole and exclusive venue shall be a court of competent jurisdiction located in Orange County, California. Consultant agrees to submit to the personal jurisdiction of such court in the event of such action.

6.7. Assignment. Consultant shall not voluntarily or by operation of law assign, transfer, sublet, or encumber all or any part of Consultant's interest in this Agreement without City's prior written consent. Any attempted assignment, transfer, subletting, or encumbrance shall be void and shall constitute a breach of this Agreement and cause for termination of this Agreement. Regardless of City's consent, no subletting or assignment shall release Consultant of Consultant's obligation to perform all other obligations to be performed by Consultant hereunder for the term of this Agreement.

6.8. Indemnification and Hold Harmless. Consultant agrees to protect, defend, indemnify, and hold free and harmless the City, its officers, officials, agents, employees, and volunteers, at Consultant's sole expense, from and against any and all claims, liabilities, demands, actions, expenses, damages, suits, or other legal proceedings brought against the City, its officers, officials, agents, employees, and volunteers arising out of or in any way connected with the performance of the Consultant, its employees, and/or authorized subcontractors' work undertaken pursuant to this Agreement including all acts or omissions, willful misconduct or negligent conduct, whether active or passive, on the part of the Consultant, its employees and/or subcontractors. The defense obligation provided for hereunder shall apply without any advance showing of negligence, recklessness, or willful misconduct by the Consultant, its employees, and/or authorized subcontractors, but shall be required whenever any claim, action, complaint, or suit asserts as its basis the negligence, recklessness, or willful misconduct of the Consultant, its employees, and/or authorized subcontractors, and/or whenever any claim, action, complaint or suit asserts liability against the City, its officers, officials, agents, employees, and volunteers based upon the work performed by the Consultant, its employees, and/or authorized subcontractors under this Agreement, whether or not the Consultant, its employees, and/or authorized subcontractors are specifically named or otherwise asserted to be liable, and whether or not there is any evidence of fault or wrongdoing by the Consultant, its employees and/or its subcontractors. Notwithstanding the foregoing, the Consultant shall not be liable for the defense or indemnification of the City for claims, actions, complaints or suits arising out of the sole active negligence or willful misconduct of the City. This provision shall supersede and replace all other indemnity provisions contained either in the City's specifications or Consultant's Proposal, which shall be of no force and effect.

6.9. Independent Contractor. Consultant is and shall be acting at all times as an independent contractor and not as an employee of City. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City or otherwise act on behalf of City as an agent.

Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant's employees, except as set forth in this Agreement. Consultant shall not, at any time, or in any manner, represent that it or any of its or employees are in any manner agents or employees of City. Consultant shall secure, at its sole expense, and be responsible for any and all payment of Income Tax, Social Security, State Disability Insurance Compensation, Unemployment Compensation, and other payroll deductions for Consultant and its officers, agents, and employees, and all business licenses, if any are required, in connection with the services to be performed hereunder. Consultant shall indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Consultant further agrees to 7 [All City Management Services]
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indemnify and hold City harmless from any failure of Consultant to comply with the applicable worker's compensation laws. City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant's failure to promptly pay to City any reimbursement or indemnification arising under this paragraph.

6.10. PERS Eligibility Indemnification. In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement claims or is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of the City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.

Notwithstanding any other agency, State, or Federal policy, rule, regulation, law, or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing service under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in PERS as an employee of City and entitlement to any contribution to be paid by City for employer contribution and/or employee contributions for PERS benefits.

6.11. Cooperation. In the event any claim or action is brought against City relating to Consultant's performance or services rendered under this Agreement, Consultant shall render any reasonable assistance and cooperation which City might require.

6.12. Ownership of Documents. All findings, reports, documents, information, and data including, but not limited to, computer tapes or discs, preliminary notes, working documents, files, and tapes furnished or prepared by Consultant or any of its subcontractors in the course of performance of this Agreement, shall be and remain the sole property of City. Consultant agrees that any such documents or information shall not be made available to any individual or organization without the prior consent of City but shall be made available to the City within ten (10) days of request or within ten (10) days of termination. Any use of such documents for other projects not contemplated by this Agreement, and any use of incomplete documents, shall be at the sole risk of City and without liability or legal exposure to Consultant. City shall indemnify and hold harmless Consultant from all claims, damages, losses, and expenses, including attorneys' fees, arising out of or resulting from City's use of such documents for other projects not contemplated by this Agreement or use of incomplete documents furnished by Consultant.

Consultant shall deliver to City any findings, reports, documents, information, data, preliminary notes and working documents, in any form, including but not limited to, computer tapes, discs, files audio tapes, or any other Project related items as requested by City or its authorized representative, at no additional cost to the City. Consultant or Consultant's agents shall execute such documents as may be necessary from time to time to confirm City's ownership of the copyright in such documents.

6.13. Public Records Act Disclosure. Consultant has been advised and is aware that this Agreement and all reports, documents, information, and data, including, but not limited to, computer tapes, discs, or files furnished or prepared by Consultant, or any of its subcontractors, pursuant to this Agreement and provided to City may be subject to public disclosure as required by the California Public Records Act (California Government Code Section 7920.000 et seq.). Exceptions to public disclosure may be those documents or information that qualify as 8 [All City Management Sec
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trade secrets, as that term is defined in the California Government Code Section 7924.510, and of which Consultant informs City of such trade secret. The City will endeavor to maintain as confidential all information obtained by it that is designated as a trade secret. The City shall not, in any way, be liable or responsible for the disclosure of any trade secret including, without limitation, those records so marked if disclosure is deemed to be required by law or by order of the Court.

6.14. Conflict of Interest. Consultant and its officers, employees, associates, and subconsultants, if any, will comply with all conflict of interest statutes of the State of California applicable to Consultant's services under this agreement, including, but not limited to, the Political Reform Act (Government Code Sections 81000, et seq.) and Government Code Section 1090.

During the term of this Agreement, Consultant and its officers, employees, associates, and subconsultants shall not, without the prior written approval of the City Representative, perform work for another person or entity for whom Consultant is not currently performing work that would require Consultant or one of its officers, employees, associates, or subconsultants to abstain from a decision under this Agreement pursuant to a conflict of interest statute. Consultant's duties and services under this Agreement shall not include preparing or assisting the City with any portion of the City's preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with the City. The City shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project.

Consultant's participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications.

Consultant shall cooperate with the public entity to ensure that all bidders for a subsequent contract on any subsequent phase of this project, if any, have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by Consultant pursuant to this Agreement.

6.15. Responsibility for Errors. Consultant shall be responsible for its work and results under this Agreement. Consultant, when requested, shall furnish clarification and/or explanation as may be required by the City's representative, regarding any services rendered under this Agreement at no additional cost to City. In the event that an error or omission attributable to Consultant occurs, then Consultant shall, at no cost to City, provide all necessary design drawings, estimates and other Consultant professional services necessary to rectify and correct the matter to the sole satisfaction of City and to participate in any meeting required with regard to the correction.

6.16. Prohibited Employment. Consultant will not employ any regular employee of City while this Agreement is in effect.

6.17. Order of Precedence. In the event of an inconsistency in this Agreement and any of the attached Exhibits, the terms set forth in this Agreement shall prevail. If, and to the extent this Agreement incorporates by reference any provision of any document, such provision shall be deemed a part of this Agreement. Nevertheless, if there is any conflict among the terms and conditions of this Agreement and those of any such provision or provisions so incorporated by reference, the conflict shall be resolved by giving precedence in the following order, if applicable:

This Agreement, the City's Request for Proposals, the Consultant's Proposal.

6.18. Costs. Each party shall bear its own costs and fees incurred in the preparation and negotiation of this Agreement and in the performance of its obligations hereunder except as expressly provided herein.

6.19. No Third Party Beneficiary Rights. This Agreement is entered into for the sole 9 [Aid City Manageiy,
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benefit of City and Consultant and no other parties are intended to be direct or incidental beneficiaries of this Agreement and no third party shall have any right in, under or to this Agreement.

6.20. Headings. Paragraphs and subparagraph headings contained in this Agreement are included solely for convenience and are not intended to modify, explain or to be a full or accurate description of the content thereof and shall not in any way affect the meaning or interpretation of this Agreement.

6.21. Construction. The parties have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or question of intent or interpretation arises with respect to this Agreement, this Agreement shall be construed as if drafted jointly by the parties and in accordance with its fair meaning. There shall be no presumption or burden of proof favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement.

6.22. Amendments. Only a writing executed by the parties hereto or their respective successors and assigns may amend this Agreement.

6.23. Waiver. The delay or failure of either party at any time to require performance or compliance by the other of any of its obligations or agreements shall in no way be deemed a waiver of those rights to require such performance or compliance. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought. The waiver of any right or remedy in respect to any occurrence or event shall not be deemed a waiver of any right or remedy in respect to any other occurrence or event, nor shall any waiver constitute a continuing waiver.

6.24. Severabilitv. If any provision of this Agreement is determined by a court of competent jurisdiction to be unenforceable in any circumstance, such determination shall not affect the validity or enforceability of the remaining terms and provisions hereof or of the offending provision in any other circumstance. Notwithstanding the foregoing, if the value of this Agreement, based upon the substantial benefit of the bargain for any party, is materially impaired, which determination made by the presiding court or arbitrator of competent jurisdiction shall be binding, then both parties agree to substitute such provision(s) through good faith negotiations.

6.25. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original. All counterparts shall be construed together and shall constitute one agreement.

6.26. Corporate Authority. The persons executing this Agreement on behalf of the parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said parties and that by doing so the parties hereto are formally bound to the provisions of this Agreement.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their respective authorized officers, as of the date first above written.

CITY OF PLACENTIA,
A municipal corporation
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Damien Arrula, City Administrator
ATTEST:

City Clerk and ex -officio Clerk
of the City of Placentia
CONSULTANT:

Signature
Name and Title
Taxpayer ID Number
APPROVED AS TO FORM:

Christian L. Bettenhausen, City Attorney
APPROVED AS TO INSURANCE:

Krystle Murillo, Risk Manager
APPROVED AS TO CONTENT:

James McElheney, Project Manager
DEPARTMENTAL APPROVAL:

Brad Butts, Chief of Police
11 Date:

Date:

Date:

Date:

Date:

Date:
[AH City Managem -
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EXHIBIT A

CONSULTANT'S PROPOSAL AND SCOPE OF WORK
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EXHIBIT B

INSURANCE REQUIREMENTS
A. Minimum Scope and Limits of Insurance
City reserves the right to review any and all of the required insurance policies and/or endorsements, but has no obligation to do so. Failure to demand evidence of full compliance with the insurance requirements set forth in this Agreement or failure to identify any insurance deficiency shall not relieve Consultant from, nor be construed or deemed a waiver of, its obligation to maintain the required insurance at all times during the performance, including any extension thereof, of this Agreement.

Consultant shall obtain, maintain, and keep in full force and effect during the life of this Agreement, including any extension thereof, all of the following minimum scope of insurance coverages:

1. Commercial General Liability Insurance
Broad -form commercial general liability, with coverage at least as broad as the most current version of ISO Commercial General Liability coverage form CG 00 01, in a form at least as broad as ISO form CG 00 01 04 13, and shall include insurance for premises and operations, products/completed operations, broad form property damage, blanket contractual liability, independent contractors, personal injury or bodily injury, and personal and advertising injury with a policy limit of not less than Two Million Dollars ($2,000,000.00) per occurrence and Four Million Dollars ($4,000,000.00) general aggregate. The aggregate limit, encompassing the above coverage, shall apply separately to this project/location.

If Consultant maintains higher limits than the specified minimum limits, City requires and shall be entitled to coverage for the higher limits maintained by the Consultant.

2. Business Automobile Liability Insurance
Business automobile liability for all owned, hired, leased, and non -owned vehicles at least as broad as the most current version of ISO Business Auto Coverage Form CA 00 01, with a policy limit of not less than Two Million Dollars ($2,000,000.00) combined single limit per accident. If Consultant maintains higher limits than the specified minimum limits, City requires and shall be entitled to coverage for the higher limits maintained by the Consultant.

3. Workers' Compensation and Employer's Liability Insurance Workers' compensation insurance as required by the State of California and Employer's Liability Insurance with a minimum limit of One Million Dollars 13 [All City Manage
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($1,000,000.00) per accident for any employee or employees of Consultant.

Consultant agrees to waive and to obtain endorsements from its workers' compensation insurer waiving subrogation rights under its workers' compensation insurance policy against the City, its officers, officials, agents, employees, and volunteers for losses arising from work performed by Consultant for the City and to require each of its subcontractors, if any, to do likewise under their workers' compensation insurance policies.

By signing this Agreement, the Consultant acknowledges and agrees to the following:

I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract.

The Consultant shall also comply with Section 3800 of the Labor Code by securing, paying for, and maintaining in full force and effect for the duration of this Agreement, complete workers' compensation insurance, and shall furnish a certificate of insurance to the Project Manager before execution of this Agreement by the City. The City, its officers, officials, agents, employees, and volunteers shall not be responsible for any claims in law or equity occasioned by failure of the Consultant to comply with this Section.

4. Standards for Insurance Companies
All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commission to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders' rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide.

B. Documentation and Other Provisions

1. The commercial general liability insurance policy and business automobile liability policy shall be endorsed to contain the following: The City of Placentia, its officers, officials, agents, employees, and volunteers are additional insureds with respect to: liability arising out of activities performed by or on behalf of the Consultant pursuant to its contract with the City; products and completed operations of the Consultant; premises owned, occupied, or used by the Consultant; and automobiles owned, leased, hired, or borrowed by the Consultant. General liability coverage can be provided in the form of an endorsement to the Contractor's insurance at least as broad as one of the following ISO ongoing operations forms:

CG 20 10 or CG 20 26 or CG 20 33 (not allowed from subcontractors), or CG 20 38; and one of the following ISO completed operations forms: CG 20 37, 2039 (not allowed from subcontractors), or CG 20 40.
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2. Said policies shall not terminate, nor shall they be cancelled or coverage reduced, without at least thirty (30) days' written notice to the City. In the event of any cancellation or reduction in coverage or limits of any insurance, Consultant shall forthwith obtain and submit proof of substitute insurance. Should Consultant fail to immediately procure other insurance, as specified, to substitute for any cancelled policy or reduction in the required coverage limits, the City may procure such insurance at Consultant's sole cost and expense.

3. The Consultant's insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City of Placentia, its officers, officials, agents, employees, and volunteers. Any other insurance maintained by the City of Placentia shall be excess and not contributing with the insurance provided by this policy.

4. Any failure to comply with the reporting provisions of the policies shall not affect coverage provided to the City of Placentia, its officers, officials, agents, employees, and volunteers.

Defense fees and costs shall not deplete the limits of any insurance provided under this Agreement.

5. The Consultant's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability.

6. Consultant shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Consultant shall ensure the City is an additional insured on insurance required from subcontractors.

7. Consultant agrees to waive, and to obtain endorsements from insurers waiving, subrogation rights against the City, its officers, agents, employees, and volunteers for losses arising from work performed by Consultant for the City and to require each of its subcontractors, if any, to do likewise under their insurance policies.

8. Coverage shall be on a standard occurrence form. Claims -made forms are not acceptable. Modified, limited, or restricted occurrence forms are not acceptable. 15 [All City Management Services]
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EXHIBIT C

CERTIFICATES OF INSURANCE AND ENDORSEMENTS
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AGREEMENT FOR CROSSING GUARD SERVICES
This AGREEMENT FOR CROSSING GUARD SERVICES (the "Agreement") is dated April 24, 2024 and is between the City of Placentia (hereinafter called the "City"), and ALL CITY MANAGEMENT SERVICES, INC., a California corporation (hereinafter called the "Contractor").

WITNESSETH
The parties hereto have mutually covenanted and agreed as follows:

1. This Agreement is for a period which commences on or around July 1, 2024 and ends on June 30, 2027 and for such term thereafter as the parties may agree upon by written amendment to this contract. Service shall begin on a best availability basis until such a time as Contractor has hired, trained and deployed Crossing Guards to all sites requested by the City. Contractor shall assume liability for only those sites agreed to by both Contractor and the City by written amendment stating effective date of assignment.

2. The Contractor will provide personnel equipped and trained in appropriate procedures for crossing pedestrians in marked crosswalks. Such personnel shall be herein referred to as a "Crossing Guard".

Contractor will perform criminal background checks and confirm employment eligibility through E - Verify on all prospective personnel. The Contractor is an independent contractor and the Crossing Guards to be furnished by it shall at all times be its employees and not those of the City.

3. The City's representative in dealing with the Contractor shall be designated by the City of Placentia.

4. The City shall determine the locations where Crossing Guards shall be furnished by the Contractor.

The Contractor shall provide at each designated location personnel properly trained as herein specified for the performance of duties as a Crossing Guard. The Contractor shall provide supervisory personnel to see that Crossing Guard activities are taking place at the required places and times, and in accordance with the terms of this Agreement.

5. The Contractor shall maintain adequate reserve personnel to be able to furnish alternate Crossing Guards in the event that any person fails to report for work at the assigned time and location and agrees to provide immediate replacement.

6. In the performance of its duties the Contractor and all employees of the Contractor shall conduct themselves in accordance with the conditions of this Agreement and all applicable laws of the state in which the Services are to be performed.

7. Persons provided by the Contractor as Crossing Guards shall be trained in all applicable laws of the state in which the Services are to be performed pertaining to general pedestrian safety in school crossing areas.
1 8. Crossing Guard Services (the "Services") shall be provided by the Contractor at the designated locations on all days in which school is in session in the area under City's jurisdiction. The Contractor also agrees to maintain communication with the designated schools to maintain proper scheduling.

9. The Contractor shall provide all Crossing Guards with apparel by which they are readily visible and easily recognized as Crossing Guards. Such apparel shall be uniform for all persons performing the duties of Crossing Guards and shall be worn at all times while performing said duties. This apparel must be appropriate for weather conditions. The Contractor shall also provide all Crossing Guards with hand-held Stop signs and any other safety equipment which may be necessary.

10. The Contractor shall at all times provide workers' compensation insurance covering its employees and shall provide and maintain liability insurance for Crossing Guard activities. The Contractor will provide to the City a Certificate of Insurance naming the City and its officials, officers and employees as additional insureds. Such insurance shall include commercial general liability with a combined single limit of not less than $1,000,000.00 per occurrence and in aggregate for property damage and bodily injury. Such insurance shall be primary with respect to any insurance maintained by the City and shall not call on the City's insurance contributions. Such insurance shall be endorsed for contractual liability and personal injury and shall include the City, its officers, agents and interest of the City. Such insurance shall not be canceled, reduced in coverage or limits or non -renewed except after thirty (30) days written notice has been given to the City.

11. Contractor agrees to defend, indemnify and hold harmless the City, its officers, employees, agents and representatives, from and against any and all actions, claims for damages to persons or property, penalties, obligations or liabilities (each a "Claim" and collectively, the "Claims") that may be asserted or claimed by any person, firm, entity, corporation, political subdivision or other organization arising out of the sole negligent acts or omissions, or willful misconduct, of Contractor, its agents, employees, subcontractors, representatives or invitees. a) Contractor will defend any action or actions filed in connection with any of said claims, damages, penalties, obligations or liabilities and will pay all costs and expenses including attorney's fees incurred in connection herewith.
b) In the event the City, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Contractor for such damages or other claims arising out of or in connection with the sole negligence of Contractor hereunder, Contractor agrees to pay City, its officers, agents, or employees, any and all costs and expenses incurred by the City, its officers agents or employees in such action or proceeding, including, but not limited to, reasonable attorney's fees.
c) In the event that a court determines that liability for any Claim was caused or contributed to by the negligent act or omission or the willful misconduct of City, liability will be apportioned between Contractor and City based upon the parties' respective degrees of culpability, as determined by the court, and Contractor's duty to indemnify City will be limited accordingly.

12. Either party shall have the right to terminate this Agreement by giving sixty (60) days written notice to the other party.
2 13. The Contractor shall not have the right to assign this Agreement to any other person or entity except with the prior written consent of the City.

14. The City agrees to pay the Contractor for the Services rendered pursuant to this Agreement the sum of Thirty Dollars and Ninety Cents ($30.90) per hour, per Crossing Guard during the term. Based on a minimum of five (5) sites and upon a projected (3,240) hours of service the cost shall not exceed One Hundred Thousand, One Hundred Sixteen Dollars ($100,116.00) for the 2024/2025 school year, unless Contractor fails to perform service.

The City agrees to pay the Contractor for the Services rendered pursuant to this Agreement the sum of Thirty-two Dollars and Fifty-six ($32.56) per hour, per Crossing Guard during the term. Based on a minimum of five (5) sites and upon a projected (3,240) hours of service the cost shall not exceed One Hundred Five Thousand, Four Hundred Ninety-four Dollars ($105,494.00) for the 2025/2026 school year, unless Contractor fails to perform service.

The City agrees to pay the Contractor for the Services rendered pursuant to this Agreement the sum of Thirty-four Dollars and Sixty-two ($34.62) per hour, per Crossing Guard during the term. Based on a minimum of five (5) sites and upon a projected (3,240) hours of service the cost shall not exceed One Hundred Twelve Thousand, One Hundred Sixty-nine Dollars ($112,169.00) for the 2026/2027 school year, unless Contractor fails to perform service.

15. Payment is due within thirty (30) days of receipt of Contractor's properly prepared invoice.

16. Contractor may request a price increase during the term as a result of any legally -mandated increases in wages or benefits imposed in the state or municipality in which the Services are to be performed and to which Contractor's employees would be subject. Contractor shall provide City with 60 days - notice of its request to increase pricing. City agrees to review and respond to said notice within 30 days of receipt.

17. The City shall have an option to renew this Agreement. In the event this Agreement is extended beyond the end of the term set forth above, the compensation and terms for the Services shall be established by mutual consent of both parties.
18 This Agreement constitutes the complete and exclusive statement of the agreement among the parties with respect to the subject matter hereof and supersedes all prior written or oral statements among the parties, including any prior statements, warranties, or representations. This Agreement is binding upon and will inure to the benefit of the parties hereto and their respective heirs, administrators, executors, successors, and assigns. Each party hereto agrees that this Agreement will be governed by the law of the state in which the Services are to be performed, without regard to its conflicts of law provisions. Any amendments, modifications, or alterations to this Agreement must be in writing and signed by all parties. There will be no presumption against any party on the ground that such party was responsible for preparing this Agreement or any part of it. Each provision of this Agreement is severable from the other provisions. If any provision of this Agreement is declared invalid or contrary to existing law, the inoperability of that provision will have no effect on the remaining provisions of the Agreement which will continue in full force and effect. [SIGNATURES FOLLOW ON NEXT PAGE]
3 IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year written below.

CITY CONTRACTOR
City of Placentia All City Management Services, Inc.

By By
Signature D. Farwell, Corporate Secretary
Print Name and Title
Date Date
APPROVED AS TO FORM:

By
Signature
Print Name and Title
Date
APPROVED AS TO FORM:

By
Signature
Print Name and Title
Date
4 All City Management Services Inc.

Client Worksheet 2024 - 2025
Department: 1005101
Billing Rate for 2024 - 2025: $ 30.90
KEY:

Traditional Calendar:

For sites with no regularly scheduled early release days, use 180 regular days Sites with traditional calendar:

City of Placentia
401 East Chapman Ave
Placentia, CA 92870
5 I 17E1 I $30.90 1 =-
1 1 Sites at 5.00 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate 13 1 17101 1 $30.90 1 =
4 Sites at 3.25 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate

AVERAGE DAILY HOURS

TOTAL NUMBER OF SITES

TOTAL PROJECTED HOURS

3.60 5.00
3,240.00
1 1
$27,810.00
$72,306.001
TOTAL ANNUAL PROJECTED COST $100,116.00

All City Management Services Inc.

Client Worksheet 2025 - 2026
Department: 1005101
Billing Rate for 2025 - 2026: $ 32.56
KEY:

Traditional Calendar:

For sites with no regularly scheduled early release days, use 180 regular days Sites with traditional calendar:

City of Placentia
401 East Chapman Ave
Placentia, CA 92870
5 (180 $32.56 _ $29,304.001
1 Sites at 5.00 hrs per clay Total Hrs/day X days/yr X I lourly Billing Rate 13 1 1180 1 1 532.56 1 = 1 $76,190.40
4 Sites at 3.25 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate

AVERAGE DAILY HOURS

TOTAL NUMBER OF SITES

TOTAL PROJECTED HOURS

3.60 5.00
3,240.00
TOTAL ANNUAL PROJECTED COST $105,494.40

All City Management Services Inc.

Client Worksheet 2026 - 2027
Department: 1005101
Billing Rate for 2026 - 2027: $ 34.62
City of Placentia
401 East Chapman Ave
Placentia, CA 92870
KEY:

Traditional Calendar:

For sites with no regularly scheduled early release days, use 180 regular days Sites with traditional calendar:
1 Sites at 5.00 hrs per day
5 1
Total Hrs/day
180 1 $34.62 1 _
X days/yr X Hourly Billing Rate
1 13 1 FTC'1 $34.62 1 =
4 Sites at 3.25 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate

AVERAGE DAILY HOURS

TOTAL NUMBER OF SITES

TOTAL PROJECTED HOURS

3.60 5.00
3,240.00
1 1
531,158.001
$81,010.80
TOTAL ANNUAL PROJECTED COST $112,168.80

All City Management Services Inc.

Client Worksheet 2024 - 2025
Department: 1005101
Billing Rate for 2024 - 2025: $ 30.90
KEY:

Traditional Calendar:

For sites with no regularly scheduled early release days, use 180 regular days Sites with traditional calendar:

City of Placentia
401 East Chapman Ave
Placentia, CA 92870
5 I 180 I $30.90 1 =
1 Sites at 5.00 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate 1 13 1 FT8TI 1 $30.90 1 =
4 Sites at 3.25 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate

AVERAGE DAILY HOURS

TOTAL NUMBER OF SITES

TOTAL PROJECTED HOURS

3.60 5.00
3,240.00
$27,810.00
$72,306.00
TOTAL ANNUAL PROJECTED COST $100,116.00

All City Management Services Inc.

Client Worksheet 2025 - 2026
Department: 1005101
Billing Rate for 2025 - 2026: $ 32.56
City of Placentia
401 East Chapman Ave
Placentia, CA 92870
KEY:

Traditional Calendar:

For sites with no regularly scheduled early release days, use 180 regular days Sites with traditional calendar:
1 Sites at 5.00 hrs per day
1 5 1
Total IIrs/day
1 1801 1 $32.56 1 =
X days/yr X Hourly Billing Rate
1 13 1 1-1101 1 $32.56 1 =
4 Sites at 3.25 hrs per day Total IIrs/day X days/yr X Hourly Billing Rate

AVERAGE DAILY HOURS

TOTAL NUMBER OF SITES

TOTAL PROJECTED HOURS

3.60 5.00
3,240.00
$29,304.001
$76,190.40
TOTAL ANNUAL PROJECTED COST $105,494.40

All City Management Services Inc.

Client Worksheet 2026 - 2027
Department: 1005101
Billing Rate for 2026 - 2027: $ 34.62
KEY:

Traditional Calendar:

For sites with no regularly scheduled early release days, use 180 regular days Sites with traditional calendar:

City of Placentia
401 East Chapman Ave
Placentia, CA 92870
5 I 1-1-E11 $34.62 1 =
1 Sites at 5.00 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate 13 I 1-1T0-11 $34.62 1 =
4 Sites at 3.25 hrs per day Total Hrs/day X days/yr X Hourly Billing Rate

AVERAGE DAILY HOURS

TOTAL NUMBER OF SITES

TOTAL PROJECTED HOURS

3.60 5.00
3,240.00
1 1
$31,158.00
$81,010.80
TOTAL ANNUAL PROJECTED COST $112,168.80

EXHIBIT B

INSURANCE REQUIREMENTS
A. Minimum Scope and Limits of Insurance
City reserves the right to review any and all of the required insurance policies and/or endorsements, but has no obligation to do so. Failure to demand evidence of full compliance with the insurance requirements set forth in this Agreement or failure to identify any insurance deficiency shall not relieve Consultant from, nor be construed or deemed a waiver of, its obligation to maintain the required insurance at all times during the performance, including any extension thereof, of this Agreement.

Consultant shall obtain, maintain, and keep in full force and effect during the life of this Agreement, including any extension thereof, all of the following minimum scope of insurance coverages:

1. Commercial General Liability Insurance
Broad -form commercial general liability, with coverage at least as broad as the most current version of ISO Commercial General Liability coverage form CG 00 01, in a form at least as broad as ISO form CG 00 01 04 13, and shall include insurance for premises and operations, products/completed operations, broad form property damage, blanket contractual liability, independent contractors, personal injury or bodily injury, and personal and advertising injury with a policy limit of not less than Two Million Dollars ($2,000,000.00) per occurrence and Four Million Dollars ($4,000,000.00) general aggregate. The aggregate limit, encompassing the above coverage, shall apply separately to this project/location.

If Consultant maintains higher limits than the specified minimum limits, City requires and shall be entitled to coverage for the higher limits maintained by the Consultant.

2. Business Automobile Liability Insurance
Business automobile liability for all owned, hired, leased, and non -owned vehicles at least as broad as the most current version of ISO Business Auto Coverage Form CA 00 01, with a policy limit of not less than Two Million Dollars ($2,000,000.00) combined single limit per accident. If Consultant maintains higher limits than the specified minimum limits, City requires and shall be entitled to coverage for the higher limits maintained by the Consultant.

3. Workers' Compensation and Employer's Liability Insurance Workers' compensation insurance as required by the State of California and Employer's Liability Insurance with a minimum limit of One Million Dollars 13 FAH City !Management Servire;;i
Rev. 01/2024

($1,000,000.00) per accident for any employee or ernployees of Consultant.

Consultant agrees to waive and to obtain endorsements from its workers' compensation insurer waiving subrogation rights under its workers' compensation insurance policy against the City, its officers, officials, agents, employees, and volunteers for losses arising from work performed by Consultant for the City and to require each of its subcontractors, if any, to do likewise under their workers' compensation insurance policies.

By signing this Agreement, the Consultant acknowledges and agrees to the following:

I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract.

The Consultant shall also comply with Section 3800 of the Labor Code by securing, paying for, and maintaining in full force and effect for the duration of this Agreement, complete workers' compensation insurance, and shall furnish a certificate of insurance to the Project Manager before execution of this Agreement by the City. The City, its officers, officials, agents, employees, and volunteers shall not be responsible for any claims in law or equity occasioned by failure of the Consultant to comply with this Section.

4. Standards for Insurance Companies
All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commission to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders' rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide.

B. Documentation and Other Provisions

1. The commercial general liability insurance policy and business automobile liability policy shall be endorsed to contain the following: The City of Placentia, its officers, officials, agents, employees, and volunteers are additional insureds with respect to: liability arising out of activities performed by or on behalf of the Consultant pursuant to its contract with the City; products and completed operations of the Consultant; premises owned, occupied, or used by the Consultant; and automobiles owned, leased, hired, or borrowed by the Consultant. General liability coverage can be provided in the form of an endorsement to the Contractor's insurance at least as broad as one of the following ISO ongoing operations forms:

CG 20 10 or CG 20 26 or CG 20 33 (not allowed from subcontractors), or CG 20 38; and one of the following ISO completed operations forms: CG 20 37, 2039 (not allowed from subcontractors), or CG 20 40.
14 [All City Menegernent Services]
Rev. 01/2024

2. Said policies shall not terminate, nor shall they be cancelled or coverage reduced, without at least thirty (30) days' written notice to the City. In the event of any cancellation or reduction in coverage or limits of any insurance, Consultant shall forthwith obtain and submit proof of substitute insurance. Should Consultant fail to immediately procure other insurance, as specified, to substitute for any cancelled policy or reduction in the required coverage limits, the City may procure such insurance at Consultant's sole cost and expense.

3. The Consultant's insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City of Placentia, its officers, officials, agents, employees, and volunteers. Any other insurance maintained by the City of Placentia shall be excess and not contributing with the insurance provided by this policy.

4. Any failure to comply with the reporting provisions of the policies shall not affect coverage provided to the City of Placentia, its officers, officials, agents, employees, and volunteers.

Defense fees and costs shall not deplete the limits of any insurance provided under this Agreement.

5. The Consultant's insurance shall apply separately to each insured against whom claim is rnade or suit is brought, except with respect to the limits of the insurer's liability.

6. Consultant shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Consultant shall ensure the City is an additional insured on insurance required from subcontractors.

7. Consultant agrees to waive, and to obtain endorsements from insurers waiving, subrogation rights against the City, its officers, agents, employees, and volunteers for losses arising from work performed by Consultant for the City and to require each of its subcontractors, if any, to do likewise under their insurance policies.

8. Coverage shall be on a standard occurrence form. Claims -made forms are not acceptable. Modified, limited, or restricted occurrence forms are not acceptable. 15 [[All City Mana0ement. er\lices]
Rev. 01/2024

EXHIBIT C

CERTIFICATES OF INSURANCE AND ENDORSEMENTS
16 [All City Management Seniices)
Rev. 01/2024

ACRD

CERTIFICATE OF LIABILITY INSURANCE

DATE (MM/DDIYYYY)
5/6/2024
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS

CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.

IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed.

If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).

CONTACT
NAME:

PHONE
(ALC, No. Extl:

E-MAIL
ADDRESS: [email protected]

INSURER(S) AFFORDING COVERAGE
INSURER A : Lexington Insurance Company
INSURER a : AXIS Surplus Insurance Company
INSURER c : Westchester Surplus Lines Insurance Co
INSURER D : National Casualty Company
INSURER E :

INSURER F :

PRODUCER
Marsh & McLennan Agency LLC
Marsh & McLennan Ins. Agency LLC
1 Polaris Way #300
Aliso Viejo CA 92656

INSURED
All City Management Services, Inc.
10440 Pioneer Blvd., Suite 5
Santa Fe Springs, CA 90670
License#: OH18131

ALLCITYMAN
FAX
(A/C, No):

NAIC A
19437
26620
10172
11991
COVERAGES CERTIFICATE NUMBER: 1118239005 REVISION NUMBER:

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES, LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.

INSR TYPE OF INSURANCE ADDL SUBR. POLICY EFF POLICY EXPD(YI LIMITS

LTR INSD WVD POLICY NUMBER (MM/DYYYI (MM/DD/YYYY)

EACH OCCURRENCE

DAMAGE TO RENTED
PREMISES (Ea occurrence)
500,000 MED EXP (Any one person)

PERSONAL & ADV INJURY

GENERAL AGGREGATE

A X COMMERCIAL GENERAL LIABILITY
X

CLAIMS -MADE
X
OCCUR
Y Y 052114698
8/1/2023 8/1/2024
GEN'L AGGREGATE LIMIT APPLIES PER:

PRO-
JECT
POLICY
X
OTHER:

AUTOMOBILE LIABILITY

ANY AUTO
OWNED

AUTOS ONLY

I -TIRED

AUTOS ONLY
LOC

SCFIEDULED
AUTOS

NON -OWNED

AUTOS ONLY

D UMBRELLA LIAB X

X - EXCESS LIAB
DED RETENT ON $

D WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY

ANYPRO P RI ETOR/PARTNER/EXECUTI V E
OFFICER/MEMBEREXCLUDED?
(Mandatory In NH)
If yes, describe under
DESCRIPTION OF OPERATIONS below
C Excess Layer
N N

OCCUR N

CLAIMS -MADE
YIN
N
N/A
N P00100118039401
Y WCC334410A
G72535522003
8/1/2023
1/1/2024 1/1/2025
$ 1,000,000
$ 100,000
$ 1,000,000
t 2,000,000
PRODUCTS - COMP/OP AGG $ 2,000,000
COMBINED SINGLE LIMIT $
(Ea accident)
BODILY INJURY (Per person) $
BODILY INJURY (Per accident) $

PROPERTY DAMAGE
(Per accident)
8/1/2024 1 EACH OCCURRENCE
8/1/2023 8/1/2024

AGGREGATE

X STATUTE EERH
E.L. EACH ACCIDENT
E.L, DISEASE - EA EMPLOYEE
E.L. DISEASE - POLICY LIMIT

AGGREGATE
$
$ 3,000,000
$ 3,000,000
$ 1,000,000
$ 1,000,000
$ 1,000,000
$6,000,000
DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) The City of Placentia and its elected and appointed boards, officers, officials, agents, employees, and volunteers are included as additional insureds with respect to: liability arising out of activities preformed by or on behalf of the Consultant. Waiver of Subrogation applies to General Liability and Workers Compensation. Insurance is primary and noncontributory. 30 Day Notice of Cancellation in favor of the certificate holder. Umbrella follows form.

CERTIFICATE HOLDER
City of Placentia
401 E. Chapman Ave.

Placentia CA 92870-0000
ACORD 25 (2016/03)

CANCELLATION

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS.

AUTHORIZED REPRESENTATIVE
© 1988-2015 ACORD CORPORATION. All rights reserved.

The ACORD name and logo are registered marks of ACORD

I I V VVI \ L ✓ .

POLICY #: wcc334410A
POLICY PERIOD: 01(01/2024 TO

WORKERS COMPENSATION AND EMPLOYERS LIABILITY INSURANCE POLICY

WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT
01/01/2025
WC 00 03 13
(Ed. 4r84)
We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. (Thus agreement applies only to the extent that you perform work under a written contract that requires you to obtain this agreement from us.) This agreement shall not operate directly or indirectly to benefit anyone not named in the Schedule.

Schedule

ANY PERSON(S) OR ORGANIZATION(S) WITH WHOM YOU HAVE AGREED

TO SUCH WAIVER, IN A VALID WRITTEN CONTRACT OR WRITTEN
AGREEMENT THAT HAS BEEN EXECUTED PRIOR TO A LOSS.

This endorsement changes the policy to which it is attached and is effective on the date issued unless otherwise stated. (The information below is required only when this endorsement is issued subsequent to preparation of the policy.) Endorsement Effective Policy No. Endorsement No.

Insured Premium $
Countersigned By

WC000313
(Ed. 4-84)

INSURED: All City Management Services, Inc.

POLICY #: 052114698
POLICY PERIOD: 08/01/2023 TO 08/01/2024
PR9MARYINON CONTRIBUTORY ENDORSEMENT
This endorsement modifies insurance provided by the policy:

Notwithstanding any other provision of the policy to tie contrary, the insurance afforded by this policy for the benefit of the Addit;onal insured shall be primary insurance, but only with respect to any claim, loss or liability arising out of the Named insureds operations; and any insurance maintained by the Additional Insured shall be nonacontributirig,
Ail other terms and conditions of the policy remain the same.

LX9838 (08/05)
1 J
Aiithortzed Representative OR
Countersignature (In states where applicable)
All City Management Services, Inc.

INSURED: All City Management Services, Inc.

POLICY #: 052114698
POLICY PERIOD: 08/01/2023 TO: 08/01/2024
ENDORSEMENT k O1
lssu c 'ta: All City Management Services, Inc.
y; LEX I NCT(IN ISIJR. ; CE COMPANY

CANCELLATION AMENDMENT
Lr consi(Jrra?ticp, crf t 8 prerniarrri charged,. it is hereby agreed that the canccitatio i nw?..sion is arnergit3d 10 60 days in lin.0 or. iwt dsys, except Nor rion,payrnont of premium uilich remnins R ICI- days.

Ail other terms tsrdd conditions remttiruncheir:ta rf
Autharized RtprtAartt+ttive OR
'Cowl ta?rsilrtoiure;In siatas 'Ahem applicabiel

1.7I9 (CAM

INSURED: All City Management
POLICY #: 052114696
POLICY PERIOE/91/2o23

ENDORSEMENT
This endorsement, effective 12:01 AM
Forms a part of policy no.:

Issued to:

By: LEXINGTON INSURANCE COMPANY
TO 08/01/2024
ADDITIONAL INSURED m OWNERS, LESSEES OR CONTRACTORS -SCHEDULED

PERSON OR ORGANIZATION
(Based on CG2010 04/13)
This endorsement modifies insurance provided by the following:

COMMERCIAL GENERAL LIABILITY POLICY

SCHEDULE
Name of Additional Insured Person(s) Location of Covered Operations or Organization(s)
Blanket where required by contract.

Information required to complete this Schedule, if not shown above, will be shown in the Declarations A. Section II a Who Is An Insured is amended to include as an additional insured the person(s) or organization(s) shown in the Schedule, but only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" caused, in whole or in part, by:

1. Your acts or omissions or

2. The acts or omissions of those acting on your behalf; in the performance of your ongoing operations for the additional insured(s) at the location(s) designated above.

However:

1. The insurance afforded to such additional insured only applies to the extent permitted by law; and

2. If coverage provided to the additional insured is required by a contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured.

B. With respect to the insurance afforded to these additional insureds, the following additional exclusions apply:

LX4318 (06/14) Includes Copyrighted Information of the Insurance Services Offices, Inc., with its permission. All Rights Reserved.

This insurance does not apply to "bodily injury" or "property damage" occurring after:

1. All work, including materials, parts or equipment furnished in connection with such work, on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional insured(s) at the location of the covered operations has been completed; or

2. That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same project.

C. With respect to the insurance afforded to these additional insureds, the following is added to Section III - Limits Of Insurance:

If coverage provided to the additional insured is required by a contract or agreement, the most we will pay on behalf of the additional insured is the amount of insurance:

1. Required by the contract or agreement; or

2. Available under the applicable Limits of Insurance shown in the Declarations; whichever is less.

This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations All other terms and conditions of the policy remain the same. rLX43T5 (06114)
Authorized Representative
Includes Copyrighted Information of the Insurance Services Page 2 of 2-1 Offices, Inc., vwthits permission. All Rights Reserved.

INSURED: All City Management
052114698
POLICY #:

ENDORSEMENT
This endorsement, effective 12:01 AM
Forms a part of policy no.:

Issued to:

By: LEXINGTON INSURANCE COMPANY
POLICY PERIOYD1/2023
ADDITIONAL INSURED o OWNERS, LESSEES OR
CONTRACTORS= COMPLETED OPERATIONS
(Based on CG2037 04/13)
This endorsement modifies insurance provided by the following:

COMMERCIAL GENERAL LIABILITY POLICY

SCHEDULE
TO 08/01/2024
Name of Additional Insured Person(s) Location of Completed Operations or Organization(s)
Blanket where required by contract.

Information required to complete this Schedule, if not shown above, will be shown in the Declarations A. Section II - Who Is An Insured is amended to include as an additional insured the person(s) or organization(s) shown in the Schedule, but only with respect to liability for "bodily injury", or "property damage" caused, in whole or in part, by "your work" at the location designated and described in the Schedule of this endorsement performed for that additional insured and included in the "products -completed operations hazard".

However:

1. The insurance afforded to such additional insured only applies to the extent permitted by law; and

2. If coverage provided to the additional insured is required by a contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured.

B. With respect to the insurance afforded to these additional insureds, the following is added to Section III - Limits Of Insurance:
if coverage provided to the additional insured is required by a contract or agreement, the most we will pay on behalf of the additional insured is the amount of insurance:

LX4316 (06714) Includes Copyrighted Information of the Insurance Services Offices, Inc., with its permission. All Rights Reserved.

1. Required by the contract or agreement; or

2. Available under the applicable Limits of Insurance shown in the Declarations; whichever is Tess.

This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations All other terms and conditions of the policy remain the same.

LX4316 (06/14)
Authorized Representative
Includes Copyrighted Information of the Insurance Services Page 2 of 2"7 Offices, Inc., with its permission. All Rights Reserved.

INSURED: All City Management Services, Inc,
POLICY tr: 052114698
POLICY PERIOD: 08/01/2023
TO: 08/01/2024
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

ADDITIONAL INSURED REQUIRED BY WRITTEN CONTRACT
This endorsement modifies insurance provided under the follov. r:g:

COMMERCIAL GENERAL LIABILITY POLICY, COVERAGE APPLICABLE TO COVERAGE A. BODILY INJURY .AND PROPERTY DAMAGE (SECTION 1 = COVERAGES) ONLY A. Section II - Who Is An Insured is amended to
include any person or organization you are
'required to include as an additional insured ori
this policy by a witten contract or 'mitten
agreernent in effect during this policy period and
exec:.ted prier to t e "occurrence" of the "bodily
injury" or "property Carnage,"

8. The insurance provided to the above described A
additional insured under this endorserr.ert is
limited as follotrvs:

1. COVERAGE A BODILY INJURY AND PROP-
ERTY DAMAGE (Section I - Coverages) only.

2. The parson or organization is only an
additional insured with respect to liability
arising out of "your work" or "your product",
3, h the ovent that: the Limits of Insurance
provided by this poiicy oxceed the Limits of
Insurance required by the written contract or
avtitten agreement, the insurance provided by
this endorsement shall bo limitod to the Limits
of Insurance requiraad by the w.-itton contract
or :twitter: agreement. This endorsement shat:
not increase the Lirnits of Insurance sr,oem
thea Declarations pertaining to the C4vgrCge
provided herein.

4. The insurance provided to such an additional
insured does not apply to "bodily injury" or
"property damage" arising out of an archi=
test's, engineer's, or surveyor's rendering of
or failure to render any professional services,
including, but not limited to;

1. The preparing, approving, or failing to
prepare or approve maps, shop
drav,ings, opinions, reports, surveys,
field orders, change ordors, or drawings
and specifications; and
ii. Supervisory, inspecton, archrtecturai, or
engineering activities.
5, Tnis insurance does not apply to "bodily
injury" or "property damage" atising out of
"you work" or "your product" included in,
the "product -completed operations hazard"
1:ns'ess you aro required to provide such
coverage by texitten contract or wittier
agreement and then only for the period of
time required by the written contract or
exitten agreement and in no event beyond
he expiration date of the policy.
6, Any coverage provided by this endorse-
ment to an additional insured shall be
excess over ae:y other valid and collectible
insurance available to the additional insured
whether primary, excess, contingent or an
any other basis.

C. In accordenee with ti -.e terms and conditions of
the policy aid as more fully explained in the
policy, as soon as practicable, each additional
insured must give us prompt notice of arty
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forward all legal papers to us, cooperate in the
defense of any actions, and otherwise comply
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option, result in the claim or "suit" being
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Authorized Representative OR
Countersignature (In states wheys applicable)
Includes copyrighted information of the Insurance Services Offices, Inc., wet:: its permission. All rights reserved.

LX9776 (t)61041

TO:

VIA:

FROM:

DATE:

CITY COUNCIL

CITY ADMINISTRATOR

CHIEF OF POLICE
MAY 21, 2024
Placentia Cit Council

AGENDA REPORT
SUBJECT: AGREEMENT WITH CITY OF LA HABRA FOR COURT LIAISON SERVICES FISCAL
IMPACT: EXPENSE: $44,561 FOR FISCAL YEAR 2024-2025 BUDGET $46,789 FOR FISCAL YEAR 2025-2026 BUDGET
$49,129 FOR FISCAL YEAR 2026-2027 BUDGET
BUDGETED: $44,561 FOR FISCAL YEAR 2024-2025 BUDGET (103043-6290) SUMMARY:

The City of La Habra has been providing Court Liaison Services to the City of Placentia for 24 years. This represents a cost-effective means of handling and processing subpoenas in all criminal and civil matters, as well as processing and tracking criminal cases for Placentia. This Agreement continues the services provided by the City of La Habra to act as the Court Liaison on behalf of Placentia for an additional three (3) years.

RECOMMENDATION:

It is recommended that the City Council take the following actions:

1. Approve the Agreement with the City of La Habra for a three-year term ending June 30, 2027, for amounts not to exceed $44,561 (FY 2024-2025), $46,789 (FY 2025-2026) and $49,129 (FY 2026-2027); and

2. Authorize the City Administrator to execute the necessary documents, in a form approved by the City Attorney.

DISCUSSION:

This item conforms to Strategic Plan Goal 2, Ensure that Public Safety Continues to be a High Priority, Objective No. 2, Considering sharing services to other cities.

Over the past several years, La Habra and Placentia have entered into an agreement for Court Liaison Services. Under this agreement, La Habra provides as a service to Placentia, the handling and processing of subpoenas in all criminal and civil matters, as well as the processing and tracking of all criminal cases. This Agreement authorizes the Court Liaison Officer to act as an intermediary between the Court, Placentia, and any other court or subpoenaing agency. This has been a very cost-effective and efficient means for handling and processing subpoenas as well as tracking criminal cases associated with the Placentia Police Department.

1.j.

May 21, 2024

City Council Agenda
May 21, 2024

FISCAL IMPACT:

The annual cost of the Agreement is for not -to -exceed amounts of $44,561 (FY 2024-2025), $46,789 (FY 2025-2026) and $49,129 (FY 2026-2027). Funding for this service for Year One is included in the Fiscal Year 2024-2025 General Fund Budget to be presented to the City Council.

Funding for future years will be included in future fiscal year budgets.

Submitted by:

Teri Knutson
Management Analyst
Reviewed and approved:

L=2
Jennifer Lampman
Finance Director
Reviewed and approved:

Brad Butts
Chief of Police
Reviewed and approved:

Damien R: Arrula
City Administrator
Attachment:

Agreement with City of La Habra for Court Liaison Services

AGREEMENT FOR LAW ENFORCEMENT SERVICES
This agreement for Law Enforcement Services ("Agreement- hereinafter) is made and entered into this 1st day of July 2024 by and between the City of La Habra, a municipal corporation (-La Habra" hereinafter), and the City of Placentia, a municipal corporation (- Placentia hereinafter).

RECITALS
A. In August of 1999, Placentia and La Habra entered into an agreement under which La Habra provided Placentia -court liaison services at the North Justice Center and which term expires on June 30, 2018; and
B. After June 30, 2018 the parties understand and agree that the terms and conditions of the 1999 agreement continued to bind the parties and that the term of the agreement automatically renewed on a month to month basis; and
C. Placentia desires to continue the use of services of the La Habra court liaison officer in order to improve the economy and efficiency of their organization; and D. La Habra desires and is willing to continue providing court liaison services to Placentia for handling and processing of subpoenas in all criminal and civil matters as well as processing, and tracking of all criminal cases in accordance with the provisions of this Agreement; and
E. The parties desire to enter into this new agreement to expressly set forth their understanding of the terms and conditions of the parties and to provide for a new term; and

AGREEMENT
NOW, THEREFORE, La Habra and Placentia agree as follows:

1. General Provisions.

A. The Police Chief of La Habra and the Police Chief of Placentia are designated by the parties as those persons with the authority to implement the provisions of this Agreement and to ensure compliance with the terms and provisions hereof. The Chief of Police of La Habra and his or her staff have authority and control over the day to day operations of the court liaison officer and the manner and means of implementing this
Agreement.

B. Any notice, report, correspondence or otherwise, permitted or required to be given under the terms and provisions of this Agreement must be given either by personal delivery, as the situation warrants, or by enclosing the

same in a sealed envelope, postage prepaid and depositing the same in the United States Mail address as follows:

If to La Habra: If to Placentia:

CITY OF LA HABRA CITY OF PLACENTIA
Attn: Chief of Police/City Manager Attn: Chief of Police/City Manager 150 N. Euclid St. 401 E. Chapman Ave.

La Habra, CA 90631 Placentia, CA 92870
Any modification to the addresses provided above, must be made by the giving of written notice of such modification to the other party which notice will call specific attention to this Agreement.

C. With regard to any public or private grants pertaining to services of facilities hereunder, La Habra and Placentia will cooperate in the preparation and submission of applications therefore and the subsequent administration thereof.

D. The Chief of Police of La Habra, in cooperation with the Chief of Police of Placentia or their designees, may from time to time confer and propose modifications to this Agreement in order to maximize the benefits accruing to the parties hereto.

E. Placentia agrees that the service provisions expressed hereunder will be governed by the terms of the La Habra Police Department's current policy and procedure manual.

F. La Habra will provide the services of a court liaison officer (Court Liaison Officer) for handling Placentia Police Department cases, citations, and paperwork to be submitted to the North Justice Center hereinafter referred to as -Court", and any and all subpoenas directed to Placentia and/or its personnel.

2. Service Provisions: Duties and responsibilities of Placentia.

A. Placentia will deliver all cases and/or related paperwork, to be submitted to the Court, to the Court Liaison Officer in a reasonable and timely manner with respect to any and all deadlines/times frames which may affect the filing/processing of the items delivered.

B. All cases delivered by Placentia to the Court Liaison Officer must be complete with regards to any and all forms and/or bail required by the District Attorney's office and/or the Court.

C. All items submitted will be separated as follows:

I.) All items for submission to the Court's Traffic Division including:
a.) Traffic citations with transmittal list.
b.) Miscellaneous paperwork requested by the Traffic Division.

2.) All items for submission to the Court's District Attorney's Office with transmittal disk or list including all transported cases.

3.) All items for submission to the Court's Criminal Operations Division.

4.) All items for submission to the City of Anaheim's City Attorney for municipal violations.

D. Any case, citation, or subpoena returned and/or delivered to Placentia will be processed in a timely manner. Any case returned for further information and/or correction should be re -submitted to the Court Liaison Officer as soon as reasonably possible. Any subpoena delivered to Placentia will be delivered to the party to whom it is intended immediately. Any notification of unavailability and/or an inability to serve a subpoena will be given to the Court Liaison Officer as soon as such problem is discovered.

E. The Placentia Police Department will furnish the Court Liaison Officer with a complete vacation schedule, phone list, and any other documents necessary to enable the Court Liaison staff to properly process subpoenas and contact personnel. Any change in any of these items will be immediately reported to the Court Liaison Office.

3. Service Provision — Duties and responsibilities of La Habra.

A. All cases submitted to the Court Liaison Officer will be reviewed for completeness by the Court Liaison staff. After review, the case will either be forwarded to the District Attorney's Office for filing or returned to Placentia for any necessary information.

B. Subpoenas:

1.)
Receipt of Subpoenas: The Court Liaison Officer will be responsible for the processing of all subpoenas directed to Placentia and/or its personnel. The Court Liaison Officer is the sole designated recipient of subpoenas. The Court Liaison Officer will screen subpoenas at the time of receipt for any

legal/procedural correctness and completeness as well as any conflicts with any vacation.

2.) Service of Subpoenas: All Police employees receive subpoenas via electronic mail from the Integrated Law and Justice System and either accept or reject the subpoena by clicking onto the appropriate response. Court liaison will leave a daily list for the Watch Commander as a courtesy to show who is -on call".

3.) Prior -to -Date Activity: Prior to the date of subpoena, the Court Liaison Office will review pre-trial proceedings and court calendars for cases scheduled at the Court to recall any unnecessary subpoenas.

4.) Scheduled Cases: The Court Liaison Officer will periodically check with the Court to ascertain the status of any scheduled case.

Upon learning the disposition of a case, the Court Liaison Officer will notify Placentia of the disposition of scheduled cases in a mutually agreed upon manner.

5.) Payroll Matters: The Court Liaison Officer will maintain an accurate record of on-call and call-in time due to employees of Placentia Police Department in accordance with Placentia's policies and/or procedures and will submit a report on such time to Placentia within two court days of the court date.

6.) Subpoena Duces Tecums/Discovery requests: The Court Liaison Officer will accept all Subpoena Duces Tecums and Discovery requests directed to Placentia. Upon receipt the Court Liaison Officer will review the request with the Deputy District Attorney assigned to the case (where applicable) prior to submission to Placentia for compliance. The Court Liaison Officer will also screen each request in accordance with Placentia's policies and procedures regarding such requests.

C. The Court Liaison Officer will act as an intermediary between Placentia and the Court and any other court or subpoenaing agency. The Court Liaison Officer will be available to act as an intermediary for questions from the Placentia Police Department and its employees directed to the Court or other agency. The Court Liaison Officer will also be available to act as an intermediary for questions directed to Placentia by the Court or another agency. The Court Liaison officer may, upon request, act on behalf of the Placentia Police Department at the Court.

4. Mutual Aereements.

A. Subpoena:

1.)
Mandatory Appearance: Subpoenas for North Justice Center, Traffic Division are always mandatory appearance as are subpoenas for parole hearings, depositions, and any other subpoena which specifically states -Mandatory Appearance or words to that effect. In cases of a mandatory appearance subpoena, the employee subpoenaed must appear on or before the time specified at the place specified. In the event that this is not possible the employee must contact the Court Liaison Officer and/or the issuing party/agency to notify them of the reason for non-attendance as soon as is reasonably possible.

2.) On -Call Subpoenas: Subpoenas issued by any Court are considered to be **On -Call" unless otherwise stated. The Court Liaison Officer will monitor on-call cases and will notify employees if and when they are needed. All employees on-call on a given day must be readily available by telephone and are responsible for notifying the Court Liaison Officer of any change in telephone number. Upon being called into a court the employee must be able to arrive within a reasonable period of time, generally within one hour. Employees will be notified and taken off call in a mutually agreed upon manner when a case settles or is taken off calendar.

3.) DMV Hearings: The Depailinent of Motor Vehicles uses two methods for conducting its administrative hearings. The first is by mandatory appearance at the listed DMV branch office. The second is by telephonic hearing where an employee receives a subpoena for telephone hearing where the employee must be available by telephone at the time specified and for one hour following that time. Once the DMV has connected all other parties the hearing officer will contact the Court Liaison Officer.

The Court Liaison Officer will then call the employee and connect the two calls disconnecting himself/herself.

4.) Trailing Cases: A trailing case is a case where an employee is on- call on a case on a date following the original subpoena date but under the authority of the original subpoena. Generally, this lasts no longer than ten (10) court days beyond the original subpoena date. Employees may be trailed day by day or from one date to another date. This is done when a case is preparing for trial and while it is in trial. Once an employee testifies at a trial they may be ordered by the Judge to remain on-call until the completion of

B. Cases:

1.)
the case. This is also considered trailing. Any employee who is so ordered must notify the Court Liaison Officer of such order.

Employees who are trailed will follow the same procedures as on- call subpoenas.

In -Custody Cases: The Court Liaison Office will present in - custody adult misdemeanor cases to the District Attorney's Office. No follow up will be required if all necessary paperwork is provided in a timely fashion before the filing deadlines set by the Court

2.) Out -of custody Cases: The Court Liaison will deliver all out -of - custody adult misdemeanor cases received from the Placentia Police Department, to the District Attorney's Office after each case is successfully screened.

3.) Placentia Police employees presenting cases: When a Placentia employee presents an adult case to the District Attorney's Office a copy of any complaint/rejection shall be left for the Court Liaison Officer.

C. Procedure Adaptation: The Court Liaison Officer will provide Placentia with assistance in the adaptation of any policy/procedure relating to Court matters upon request.

5. Fees and Charges.

A. Placentia will pay La Habra a fee of Forty -Four Thousand Five Hundred and Sixty -One Dollars ($44,561) effective July 1, 2024, for the court liaison services described in this three-year agreement. This is for services rendered during year one of this Agreement.

B. Placentia will pay La Habra, for the Court Liaison services described in this Agreement, a fee in the amount of Forty -Six Thousand Seven Hundred and eighty-nine Dollars ($46,789) effective July 1, 2025. This is for services rendered during year two of this Agreement.

C. Placentia will pay La Habra, for the Court Liaison services described in this Agreement, a fee in the amount of Forty -Nine Thousand One Hundred and Twenty -Nine Dollars ($49,129) effective July 1, 2026. This is for services rendered during year three of this Agreement.

D. La Habra will bill Placentia for services rendered on a quarterly basis.

Placentia agrees to pay the charges reflected in such invoice within thirty (30) days of receipt.

E. On or before April 1 of every year this Agreement remains in effect, La Habra and Placentia may modify the annual fee that is to be paid by written mutual agreement.

6. Liability and Indemnity.

A. Placentia is not liable for payment of any salary; wage or other compensation for benefits to any La Habra Police Department personnel (sworn or civilian employees) performing services hereunder. It is understood and agreed by the parties that La Habra Police Department personnel performing services on behalf of Placentia in accordance with the terms of this Agreement are employees of La Habra acting on behalf of Placentia pursuant to this Agreement.

B. La Habra agrees to maintain worker's compensation insurance, or a self-insured plan, covering all La Habra Police Department personnel.

C. Placentia agrees to and will defend, indemnify and hold free and harmless La Habra and its elected and appointed officials, officers and employees with respect to any and all claims, judgments or liabilities for personal injury, wrongful death and/or property damage arising from any act, or omission to act, by any Placentia officer, employee, or agent in the performance of this Agreement.

D. La Habra agrees to and will defend, indemnify and hold free and harmless Placentia and its elected and appointed officials, officers and employees with respect to any and all claims, judgments or liabilities for personal injury, wrongful death and/or property damage arising from any act, or omission to act, by any La Habra officer, employee, or agent in the performance of this Agreement.

E. In the event any legal action or proceeding is brought by either party to this Agreement regarding the provisions of this Agreement, or the interpretation thereof, the prevailing party in such action or proceeding will be awarded reasonable attorney fees as may be determined by the Court.

7. Term of aureement.

A. The term of this Agreement will commence on July 1, 2024 and will continue until June 30, 2027.

B. This Agreement and each and every term and provision hereof may be extended by mutual written agreement.

8. Termination.

A. Either party may terminate this Agreement by giving a Notice of Termination to the other party ninety (90) days prior to the effective date of termination.

B. In the event La Habra and Placentia are unable to mutually agree by or before April I of any year on a revised annual fee for services rendered, then the Agreement automatically terminates on June 30 of that year.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year set forth above.

CITY OF PLACENTIA CITY OF LA HABRA
By: By:

City Administrator
City of Placentia
By:

City Clerk
City of Placentia
APPROVED AS TO FORM:

By:

City Manager
City of La Habra
City Clerk
City of La Habra
APPROVED AS TO FORM:

By: By:

City Attorney
City of Placentia
City Attorney
City of La Habra

TO:

VIA:

FROM:

DATE:

CITY COUNCIL

CITY ADMINISTRATOR

CHIEF OF POLICE
MAY 21, 2024
Placentia Cit Council

AGENDA REPORT
SUBJECT: AMENDMENT NO. 2 TO PROFESSIONAL SERVICES AGREEMENT WITH

HALO CONFIDENTIAL INVESTIGATIONS
FISCAL
IMPACT: EXPENSE: NOT -TO -EXCEED $90,000 PER FISCAL YEAR SUMMARY:

The City has executed Professional Services Agreements with Halo Confidential Investigations (Halo) for background screening and training services since 2007. This action would approve Amendment No. 2 to exercise the two (2) one-year optional extensions provided in the current 2021 Agreement.

RECOMMENDATION:

It is recommended that the City Council take the following actions:

1. Approve Amendment No. 2 to Professional Services Agreement with Halo Confidential Investigations for a not -to -exceed amount of $90,000 per fiscal year; and

2. Authorize the City Administrator to execute the necessary documents, in a form approved by the City Attorney.

DISCUSSION:

Halo has provided background screenings and training services for the City and the Police Department for the past fifteen years. Last year, Halo completed 34 Background Investigations (BGI). The cost per BGI varies based upon the type of employee being reviewed. For example, sworn employees receive a more thorough and extensive BGI than non -sworn, and other personnel needing BGIs. Additionally, Halo provides Training Coordinator expertise to the Police Department, specifically scheduling and preparing training reports for Command Staff.

FISCAL IMPACT:

Amendment No. 2 with Halo Confidential Investigations is for a not -to -exceed amount of $90,000 for FY 2024-2025 and FY 2025-2026. Funding for these Professional Services is included in the upcoming FY 2024-2025 Police Department Budget.

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May 21, 2024

City Council Agenda
May 21, 2024