Agenda packet — Placentia City Council, May 6, 2025

Robert S. McKinnell
City Clerk
Kevin A. Larson
City Treasurer
Thomas R. Hatch
Interim City Administrator
Christian L. Bettenhausen
City Attorney
Placentia City Council
Placentia City Council as Successor to the
Placentia Redevelopment Agency
Placentia Industrial Commercial
Development Authority
Placentia Public Financing Authority
AGENDA
May 6, 2025
Council Chambers
401 E Chapman Ave.

Placentia, CA 92870
Phone: (714) 993-8117
Email: [email protected]
www.placentia.org

KEVIN KIRWIN
Mayor
District 2
CHAD P. WANKE
Mayor Pro Tem
District 4

THOMAS HUMMER
Councilmember
District 1
WARD L. SMITH
Councilmember
District 5
JEREMY B. YAMAGUCHI
Councilmember
District 3

Mission Statement
The City Council is committed to keeping Placentia a pleasant place by providing a safe family atmosphere, superior public services and policies that promote the highest standards of community life.

Vision Statement
The City of Placentia will maintain an open, honest, responsive and innovative government that delivers quality services in a fair and equitable manner while optimizing available resources.

Copies of all agenda materials are available for public review in the Office of the City Clerk, online at www.placentia.org , and at Placentia Library Reference Desk. Persons who have questions concerning any agenda item may call the City Clerk's Office, (714) 993-8231, to make inquiry concerning the nature of the item described on the agenda.

Procedures for Addressing the Council/Board Members
Any person who wishes to speak regarding an item on the agenda or on a subject within the City's jurisdiction during the "Oral Communications" portion of the agenda should fill out a "Speaker Request Form" and give it to the City Clerk BEFORE that portion of the agenda is called. Testimony for Public Hearings will only be taken at the time of the hearing. Any person who wishes to speak on a Public Hearing item should fill out a "Speaker Request Form" and give it to the City Clerk BEFORE the item is called.

The Council and Board members encourage free expression of all points of view. To allow all persons the opportunity to speak, please keep your remarks brief. If others have already expressed your position, you may simply indicate that you agree with a previous speaker. If appropriate, a spokesperson may present the views of an entire group. To encourage all views, the Council and Board discourage clapping, booing or shouts of approval or disagreement from the audience.

PLEASE SILENCE ALL PAGERS, CELL PHONES, AND OTHER ELECTRONIC EQUIPMENT WHILE COUNCIL AND BOARD MEMBERS ARE IN SESSION.

Special Accommodations
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk's Office at (714) 993-8231. Notification 48 hours prior to the meeting will generally enable City staff to make reasonable arrangements to ensure accessibility. (28 CFR 35.102.35.104 ADA Title II) In compliance with California Government Code § 54957.5, any writings or documents provided to a majority of the City Council regarding any item on this agenda that are not exempt from disclosure under the Public Records Act will be made available for public inspection at the City Clerk's Office at City Hall, 401 East Chapman Avenue, Placentia, during normal business hours.

Study Sessions are open to the public and held in the City Council Chambers or City Hall Community Room. Closed Sessions are held in the Council Caucus Room. While the public may be in attendance during oral announcements preceding Closed Sessions, Closed Sessions are not open to the public.

1 PLACENTIA CITY COUNCIL

REGULAR MEETING AGENDA - CLOSED SESSION
May 6, 2024
4:30 p.m. - City Council Chambers
401 E. Chapman Avenue, Placentia, CA
CALL TO ORDER:

ROLL CALL:

Councilmember/Board Member Hummer
Councilmember/Board Member Smith
Councilmember/Board Member Yamaguchi
Mayor Pro Tem/Board Vice Chair Wanke
Mayor/Board Chair Kirwin
ORAL COMMUNICATIONS:

At this time the public may address the City Council and Boards of Directors concerning any items on the Closed Session Agenda only. There is a five (5) minute time limit for each individual addressing the City Council and Boards of Directors. The City Council and Boards of Directors will recess to the City Council Caucus Room for the purpose of conducting their Closed Session proceedings.

CLOSED SESSION PROCEEDINGS:

Pursuant to Government Code Section 54957.6

CONFERENCE WITH LABOR NEGOTIATOR
Agency Designated Representatives: Thomas Hatch, Interim City Administrator Alice Burnett, Director of Human Resources
Employee Organizations: Placentia City Employees Association (PCEA) Placentia Firefighters Association (PFA)
Placentia Fire Management Association (PFMA)
Placentia Police Management Association (PPMA)
Placentia Police Officers Association (PPOA)
Unrepresented Employees

Pursuant to Government Code Section 54956.9(d)(2)
CONFERENCE WITH LEGAL COUNSEL – Anticipated Litigation
(1 case)

Pursuant to Government Code Section 54956.9(d)(1)
CONFERENCE WITH LEGAL COUNSEL – Existing Litigation
City of Placentia vs. Onward Engineering; Case No. 30- 2018-01040701

Pursuant to Government Code Section 54956.8:

CONFERENCE WITH REAL PROPERTY NEGOTIATOR
Property: 480 S. Placentia Avenue
APN: 339-443-03
Agency Negotiator: Thomas Hatch, Interim City Administrator 2 Negotiating Parties: Galaxy Oil Company
Under Negotiation: Price and Terms of Payment

Pursuant to Government Code Section 54957(b)(1)

PUBLIC EMPLOYEE EMPLOYMENT/APPOINTMENT
Title: City Administrator

Pursuant to Government Code Section 54957(b)(1):

PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Title: Interim City Administrator

RECESS: The City Council and Boards of Directors will recess to their 7:00 p.m. Regular Meeting. 3 1.CONSENT CALENDAR (1.a..1h):

PLACENTIA CITY COUNCIL

REGULAR MEETING AGENDA
May 6, 2025
7:00 p.m. - City Council Chambers
401 E. Chapman Avenue, Placentia, CA
CALL TO ORDER:

ROLL CALL:

Councilmember/Board Member Hummer
Councilmember/Board Member Smith
Councilmember/Board Member Yamaguchi
Mayor Pro Tem/Board Vice Chair Wanke
Mayor/Board Chair Kirwin
INVOCATION: Chaplain Tony Mercado
PLEDGE OF ALLEGIANCE: Rilyn Gapik
PRESENTATIONS:

Proclamation of May 20, 2025 as Red Sneaker Day for Food Allergy Awareness Presenters: Mayor Kirwin and City Council
Recipient: Emman Melin, Red Sneaker Ambassador

Proclamation of Water Safety Month
Presenters: Mayor Kirwin and City Council
Recipient: Community Services

Recognition of Citizens Academy Graduates
Presenters: Mayor Kirwin and City Council
Recipients: Citizens Academy Graduates
CLOSED SESSION REPORT:

CITY ADMINISTRATOR REPORT:

ORAL COMMUNICATIONS:

At this time the public may address the City Council and Boards of Directors concerning any agenda item, which is not a public hearing item, or on matters within the jurisdiction of the City Council and Boards of Directors. There is a five (5) minute time limit for each individual addressing the City Council and Boards of Directors.

CITY COUNCIL MEMBER COMMENTS:

All items on the Consent Calendar are considered routine and are enacted by one motion approving the recommended action listed on the Agenda. Any Member of the City Council and Boards of Directors or City Administrator may request an item be removed from the Consent Calendar for discussion. All items removed shall be considered immediately following action on the remaining items.
4 1.a Consideration to Waive Reading in Full of all Ordinances and Resolutions

1.b City Fiscal Year 2024-25 Registers for May 6, 2025
Check Register
Fiscal Impact: $ 1,752,567.62
Electronic Disbursement Register
Fiscal Impact: $ 1,523,359.04

1.c Minutes City Council/Successor/ICDA/PPFA Regular Meeting of:

October 15, 2024, Regular Meeting
November 5, 2024, Regular Meeting

1.d Award of Contract to Colts Landscape, Inc., for Citywide Vine Trimming Services

1.e Agreement with PowerPlus for Temporary Electrical Power at Placentia Public Safety Center

Recommended Action: It is recommended that the City Council:

Approve.

Recommended Action: It is recommended that the City Council:

Receive and file.

Recommended Action: It is recommended that the City Council:

Approve.

Fiscal Impact:

Expense: $87,046 Five-Year Contract Total
Budget: $96,920 Budgeted FY 2025-26 Operating Budget (103655-6115)

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

1. Award a five-year Public Works Agreement to Colts Landscape, Inc., for citywide vine trimming services in an amount not-to-exceed $87,046; and

2. Authorize the Interim City Administrator to approve contract change orders up to 20% or $17,409.20 of the contract not-to-exceed amount; and

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

Fiscal Impact:

Expense: $100,000 Service Cost
$ 10,000 Contingency Cost
$110,000 Total Cost

Available Budget: $487,669.07 (105213-6840)

Recommended Action : It is recommended that the City Council take the following actions to:

1. Approve a Public Works Agreement with S.R. Bray, LLC (dba PowerPlus) for the Public Safety Center Project in the amount of $100,000; and

2. Authorize the Interim City Administrator to approve up to ten percent (10%) 5 1.f Second Amendment to the Waste Disposal Agreement with the County of Orange

1.g Second Reading and Adoption of Ordinance No. O-2025-03, approving the Municipal Code amendment to establish a comprehensive regulatory framework for city special events on public property.

1.h Retirement and Ownership Transfer of Police Service Dog contingency of the contract amount, or $10,000, for a total contract not-to- exceed amount of $110,000; and

3. Authorize the Interim City Administrator to approve all agreements in a form approved by the City Attorney.

Fiscal Impact:

There is no fiscal impact associated with the recommended action.

Recommended Action: It is recommended the City Council take the following actions to:

1. Approve the Second Amendment to the Waste Disposal Agreement with the County of Orange extending the agreement by one year and increasing the disposal fee 2.6% through June 30, 2026; and

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

Fiscal Impact:

There is no fiscal impact to the City's General Fund for this item.

Recommended Action: It is recommended that the City Council take the following action to:

1. Waive full reading, by title only, and adopt Ordinance No. O-2025-03, An Ordinance of the City Council of the City of Placentia, California, amending Title 1 (general provisions), Chapter 14 (temporary suspension of regulatory ordinances) amending Section 10.28.010 (drinking in public) of Chapter 10.18 (intoxication) of Title 10 (peace, morals and safety), repealing Chapter 13.60 (parades - assemblages) of Title 13 (vehicles & traffic) and amending Title 14 (public property) with the addition of Chapter 14.18 (special events permit), to establish a comprehensive regulatory framework for city special events on public property.

Fiscal Impact:

Expense: $0.00
Offsetting Revenue: $1.00

Recommended Action: It is recommended that the City Council take the following action to:

1. Approve the "Release and Waiver of Liability and Indemnity Agreement" authorizing the transfer of ownership of retired Police Service Dog “Champ” to Officer Zachary King: and

2. Authorize the Interim City Administrator, or his designee, to execute an agreement with Police Officer Zachary King to purchase Police Service Dog “Champ” in the amount of one dollar ($1.00). In a form approved by the City 6 2.PUBLIC HEARING:

2.a Public Hearing Regarding the Annexation of Territory to Existing Community Facilities District No. 2024-1 (Old Town Maintenance Services) and Authorize Special Tax Annexation No. 1 for 201 S. Bradford Avenue, APN 339-365-23

3.REGULAR AGENDA:

3.a Study Session: Placentia Enhanced Infrastructure Financing District and the Old Town Streetscape Master Plan

3.b Fiscal Year 2025-26 Capital Improvement Program - Study Session No. 3 Attorney.

Fiscal Impact:

Projected Annual Revenue: $427.52 (CFD for Old Town Maintenance Services)

Recommended Action: It is recommended that the City Council take the following action to:

1. Open the Public Hearing concerning the annexation of 201 S. Bradford Avenue; and

2. Receive the Staff Report, consider all public testimony, ask questions of Staff; and

3. Conduct election for annexation of 201 S. Bradford Avenue to Community Facilities District No. 2024-1 (Old Town Maintenance Services); and

4. Close the Public Hearing; and

5. Adopt Resolution R-2025-16, a Resolution of the City Council of the City of Placentia, California, ordering the annexation of territory to its Community Facilities District No. 2024-1 (Old Town Maintenance Services) and approving the amended map for said District; and

6. Authorize inclusion of the annexed territory for Community Facilities District No. 2024-1 (Old Town Maintenance Services) for Fiscal Year 2025-26 on the Orange County Secured Property Tax Roll.

Fiscal Impact:

Estimated range of $17 to $24 million in property tax increment over approximately 40 years. Up to $59 million in net fiscal impact revenue to the City over approximately 50 years.

Recommended Action: It is recommended that the City Council take the following actions to:

1. Receive and file the Staff Report and presentations; and

2. Ask any questions of the Measure U Committee and Staff; and

3. Provide direction to Staff as appropriate regarding the next steps in the EIFD Process.

The fiscal impact will be determined with final adoption of the Fiscal Year 2025-26 Capital Improvement Program Budget.

Recommended Action:
7 It is recommended that the City Council take the following actions:

1. Receive and file the staff report and presentation; and

2. Provide direction to staff regarding the proposed fuel tank storage options.

CITY COUNCIL MEMBERS REQUESTS:

Council Members may make requests or ask questions of Staff. If a Council Member would like to have formal action taken on a requested matter, it will be placed on a future Council or Board Agenda.

ADJOURNMENT
The City Council/Successor Agency/ICDA/PPFA Board of Directors will adjourn to a regular City Council meeting on Tuesday, May 20, 2025 at 5:00 p.m.

TENTATIVE AGENDA FORECAST:

Amendment No. 4 to Professional Services Agreement with HF&H Consultants for SB 1383 Contracting Assistance Services
Annual Landscape Maintenance District Assessment
Annual Street Lighting District Assessment
Proposed FY2025/26 Annual Operating Budget and Capital Improvement Program (CIP)

CERTIFICATION OF POSTING
I, Nancy Albitre-Seely, Interim Deputy City Clerk for the City of Placentia and Assistant Secretary of the Industrial Commercial Development Authority, the Successor Agency, and the Placentia Financing Authority hereby certify that the Agenda for the May 6, 2025, meetings of the City Council, Successor Agency, and Industrial Commercial Development Authority, and the Placentia Public Financing Authority was posted on May 1, 2025.

______________________________________________________
Nancy Albitre-Seely, Interim Deputy City Clerk
8 PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Nancy Albitre-Seely
From: City Attorney's Office
Subject:

Pursuant to Government Code Section 54957.6

Pursuant to Government Code Section 54956.9(d)(2)
CONFERENCE WITH LEGAL COUNSEL – Anticipated Litigation
(1 case)

Pursuant to Government Code Section 54956.9(d)(1)
CONFERENCE WITH LEGAL COUNSEL – Existing Litigation
City of Placentia vs. Onward Engineering; Case No. 30- 2018-01040701

Pursuant to Government Code Section 54956.8:

CONFERENCE WITH REAL PROPERTY NEGOTIATOR
Property: 480 S. Placentia Avenue
APN: 339-443-03
Agency Negotiator: Thomas Hatch, Interim City Administrator Negotiating Parties: Galaxy Oil Company
Under Negotiation: Price and Terms of Payment

Pursuant to Government Code Section 54957(b)(1)

PUBLIC EMPLOYEE EMPLOYMENT/APPOINTMENT
Title: City Administrator

Pursuant to Government Code Section 54957(b)(1):

PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Title: Interim City Administrator

9 10

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Nancy Albitre-Seely
From: City Clerk
Subject:

Proclamation of May 20, 2025 as Red Sneaker Day for Food Allergy Awareness Presenters: Mayor Kirwin and City Council
Recipient: Emman Melin, Red Sneaker Ambassador

Proclamation of Water Safety Month
Presenters: Mayor Kirwin and City Council
Recipient: Community Services

Recognition of Citizens Academy Graduates
Presenters: Mayor Kirwin and City Council
Recipients: Citizens Academy Graduates
11 Agenda Item No: 1.a

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Nancy Albitre-Seely
From: City Clerk
Subject:

Consideration to Waive Reading in Full of all Ordinances and Resolutions Recommendation:

Recommended Action: It is recommended that the City Council:

Approve.
12 Agenda Item No: 1.b

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Gabriela Calin
From: Finance
Subject:

City Fiscal Year 2024-25 Registers for May 6, 2025
Check Register
Fiscal Impact: $ 1,752,567.62
Electronic Disbursement Register
Fiscal Impact: $ 1,523,359.04
Recommendation:

Recommended Action: It is recommended that the City Council:

Receive and file.

Attachments
Check Register 05.06.2025.pdf
ACH Check Register 05.06.2025.pdf
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57 Agenda Item No: 1.c

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Nancy Albitre-Seely
From: City Clerk
Subject:

Minutes City Council/Successor/ICDA/PPFA Regular Meeting of:

October 15, 2024, Regular Meeting
November 5, 2024, Regular Meeting
Recommendation:

Recommended Action: It is recommended that the City Council:

Approve.

Attachments
10-15-24 CC Regular Meeting.pdf
11-05-24 CC Regular Meeting.pdf
58 1

PLACENTIA CITY COUNCIL

PLACENTIA CITY COUNCIL ACTING AS SUCCESSOR AGENCY TO THE

PLACENTIA REDEVELOPMENT AGENCY

PLACENTIA INDUSTRIAL COMMERCIAL DEVELOPMENT AUTHORITY

PLACENTIA PUBLIC FINANCING AUTHORITY

MINUTES

STUDY SESSION AND REGULAR MEETING
October 15, 2024
5:00 p.m. – City Council Chambers
401 E. Chapman Avenue, Placentia, CA

CALL TO ORDER: Mayor Yamaguchi called the meeting to order at 5:00 p.m.

ROLL CALL:

PRESENT: Councilmember/Board Member Shader, Smith, Wanke, Yamaguchi ABSENT: Kirwin (excused)

ORAL COMMUNICATIONS:

Mayor Yamaguchi opened Oral Communications for the Closed Session. City Clerk McKinnell stated that the City Clerk’s Office had received no public comment for the Closed Session. Mr. McKinnell announced the Closed Session case and matter.

CLOSED SESSION PROCEEDINGS:

The City Council and Boards of Directors recessed to the City Council Caucus Room for the purpose of conducting their Closed Session proceedings on the following:

1. Pursuant to Government Code Section 54957(b)

CONFERENCE WITH LEGAL COUNSEL
Public Employee Discipline/Dismissal/Release

2. Pursuant to Government Code Section 54956.9(d)(4)
CONFERENCE WITH LEGAL COUNSEL -- Anticipated Litigation Potential Initiation of Litigation (1 case)

3. Pursuant to Government Code Section 54956.9(d)(1)
CONFERENCE WITH LEGAL COUNSEL -- Existing Litigation
Vega vs. City of Placentia; Case No. 30-2022-01255057-CU-WT-CJC

4. Pursuant to Government Code Section 54956.9(d)(2)
CONFERENCE WITH LEGAL COUNSEL -- Anticipated Litigation (1 case)

RECESS: The City Council and Boards of Directors recessed to their 7:00 p.m. Regular Meeting.

CALL TO ORDER: Mayor Yamaguchi called the meeting to order at 7:08 p.m. Regular Meeting.

ROLL CALL:

PRESENT: Councilmember/Board Member Shader, Smith, Wanke, Yamaguchi ABSENT: Kirwin (excused)

59 2

STAFF PRESENT:

City Attorney/Authority Counsel Christian Bettenhausen; Acting City Administrator Rosanna Ramirez; Police Chief Brad Butts; Fire Chief Jason Dobine; Director of Finance Jennifer Lampman; Director of Development Services Joe Lambert; Director of Public Works Chris Tanio, Deputy Director of Administrative Services Jeannette Ortega; Director of Human Resources Alice Burnett; City Treasurer Kevin Larson; City Clerk Robert McKinnell; Deputy City Clerk Carole M. Wayman.

INVOCATION: Chaplain Charles Frost

PLEDGE OF ALLEGIANCE: Mayor Yamaguchi

PRESENTATION: Study Session

• Measure U Committee Annual Report Presentation
Presenter: John Lewis, Committee Chair
Recommended Action: Receive and file.
(Approved 5-0 to Received and Filed, as recommended)
Mayor Yamaguchi introduced Citizen’s Oversight Committee Chair John Lewis to give a presentation of the Measure U Annual Report.

Committee Chair John Lewis presented a brief presentation of the Measure U Annual Report on City revenues and expenditures highlighting the infrastructure budget and expenditures. Mr. Lewis concluded by stating that all Measure U revenues were properly accounted for and allocated and outlined future work by the oversight committee.

Motion by Yamaguchi, seconded by Shader, and carried a (5-0) vote to Receive and File, as recommended.

CLOSED SESSION REPORT:

City Attorney/Authority Counsel Bettenhausen stated that there were four (4) items on the Closed Session agenda, the City Council discussed each of those items, direction was provided, and there was nothing further to report.

CITY ADMINISTRATOR REPORT: None

ORAL COMMUNICATIONS:

Mayor Yamaguchi opened oral communications for the Regular Meeting.

Tom McKenzie, President of Placentia Police and Fire Management Association, raised concerns about City Administrator Arrula’s meals purchased on City credit cards, misappropriation of public funds, and urged City Council to conduct a formal investigation and forensic audit. Mr. McKenzie, President of Placentia Police and Fire Management Association, along with John Martinez, the President of the Placentia Police Officers Association, and Scott Ferguson, the President of the Placentia Fire Association have notified the City Council that all three public safety associations have unanimously agreed to deliver a vote of no confidence against City Administrator Arrula.

Jim Weiner, Placentia resident, expressed concerns about the high-cost playground renovation upgrade at McFadden Park and urged City Council to repair City streets and road conditions before considering any projects going forward.

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Julie Suchard, Placentia resident, expressed concerns about the meals and airlines tickets purchased on City credit cards, emphasized the misappropriation of funds, allegations of misconduct, and requested to see the investigation report.

Colson Teal, Placentia resident, voiced his concerns about the allegations of the City Administrator’s misconduct, misappropriation of funds and expressed his gratitude to the City Council for conducting an investigation on City Administrator Arrula.

Kevin Larson, Placentia City Treasurer, expressed concerns about City Administrator Arrula’s allegations of misconduct and recommended a forensic audit be conducted by an independent audit firm, appoint an Ad Hoc Committee to report back to the City Council with their recommendations.

Scott King, Placentia resident, expressed concerns about the City Administrator’s allegations and investigation report. He urged City Council to repair City streets and road conditions before considering any projects going forward.

Scott Ferguson, President of Placentia Firefighters Association, expressed concern in its lack of confidence in the current City Administrator, emphasized a call for change in leadership which has jeopardized the safety and wellbeing of the community and members.

Craig Green, Placentia resident and former Councilmember, expressed concerns about parking, traffic and safety issues near apartment complexes, and emphasized additional parking is needed.

Greg Donahue, Placentia resident, expressed his concerns and frustrations about parking issues in Placentia and urged the City Council to provide a new permit parking system for the City residents.

CITY COUNCIL MEMBER COMMENTS:

Councilmember Smith reported that he attended a city meeting related to a dog park facility, the Veterans Advisory Committee, Santa Fe Merchants meeting, and took a tour of the Public Stafey City Yard Navigation Center. He promoted the 2024 Great Shakeout Earthquake Drill on October 20, 2024 at 10:20 a.m. and encouraged all to participate in the earthquake drills and prepare for potential disasters. For more information on participating in this Great Shakeout, please visit the great shakeout at www.shakeout.org California.

Councilmember Shader reported that she attended the Placentia Fire Station Open House, the Santa Fe Merchants meeting, and took a tour of the Public Stafey City Yard Navigation Center. She promoted the last Old Town Live Concert of the season and encouraged all to attend.

Councilmember Wanke reported that he attended a joint meeting between Orange County Sanitation District Operations/Administration Committee meeting and Groundwater Replenishment System Steering Committee meeting and took a tour of the Public Stafey City Yard Navigation Center. He announced the City is accepting applications for Commissions and Committees and encouraged those who are interested, please visit the City's website for additional information.

Mayor Yamaguchi reported that he attended the League of Cities Conference in Long Beach, and announced that the Heritage Day Parade and Car show will be on Saturday, October 19th starting at 9:00 a.m. For more information, please visit the City’s website at www.placentia.org/heritage .

1. CONSENT CALENDAR (1.a. to 1.i):

Motion by Wanke, seconded by Yamaguchi, and carried a (4-0-1) vote to approve the Consent Calendar items 1.a. through 1h., as recommended. Calendar item 1.g was pulled, discussed, continued to next available meeting and motioned by Wanke, seconded by Yamaguchi, Shader no and carried (3-1-1). 61 4

Consent Calendar 1.i was pulled, discussed, and motioned by Shader, seconded by Smith, Yamaguchi recused and carried a (3-0-1-1).

1.a Consideration to Waive Reading in Full of all Ordinances and Resolutions Fiscal Impact: None
(Approved 4-0-1, as recommended, Kirwin absent)

1.b Minutes City Council/Successor/ICDA/PPFA Special and Regular Meetings of: • June 18, 2024 Regular Meeting • June 27, 2024 Special Meeting Recommended Action: It is recommended that the City Council: Approve. (Approved 4-0-1, as recommended, Kirwin absent)

1.c City Fiscal Year 2023-24 Registers for October 15, 2024 Check Register
Fiscal Impact: $1,113,427.09
Electronic Disbursement Register
Fiscal Impact: $2,022,131.01
Recommended Action: It is recommended that the City Council:

1. Receive and file.
(Received and Filed, as recommended)

1.d Award of Contract to Global Power Group, Inc. for Generator Maintenance Services Fiscal Impact:

Expense: $ 40,000 Annual Contract Amount
$200,000 Five-Year Contract Total
Available Budget: $ 95,513 FY 2024-25 Operating Budget (103654-6290) Recommended Action: It is recommended that the City Council:

1. Award a five-year Public Works Agreement to Global Power Group, Inc., for generator maintenance, testing and repairs in an amount not-to-exceed $200,000; and

2. Authorize the City Administrator to approve contract change orders up to 20% or $40,000 of the contract not-to-exceed amount; and

3. Authorize the City Administrator and/or his designee to execute all necessary documents, in a form approved by the City Attorney.
(Approved 4-0-1, as recommended, Kirwin absent)

1.e Award of Professional Services Agreement to Charles Abbott Associates Inc., for Fats, Oils, and Grease (FOG) Program Management Services
Fiscal Impact:

Expense: $ 80,492.50 Annual Contract Amount
Budget: $ 80,493.00 FY 2024-25 Operating Budget (103593-6099) Recommended Action: It is recommended that the City Council:

1. Approve a Professional Services Agreement with Charles Abbott Associates, Inc., for a cumulative contract amount not-to-exceed $241,477.50 for an initial three (3) year contract term, with the option to extend for one (1) additional two (2) year term; and

2. Authorize the City Administrator to approve contract amendments up to 10% of the cumulative contract amount, or $24,147.75; and

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

4. Authorize the City Administrator to approve the eligible contract term extension for one (1) additional two (2) year term based upon contractor performance and at the discretion of the City.
(Approved 4-0-1, as recommended, Kirwin absent)
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1.f Acceptance of Construction Work and Notice of Completion for the Wayfinding Signage Project Phase IV, City Project No. 24104
Fiscal Impact:

Expense: $326,472.50 Original Construction Contract
Budgeted: $500,000.00 FY 2023-24 & FY 2024-25 CIP Budget Recommended Action: It is recommended that the City Council:

1. Accept the work performed by Monarka Development Corporation, for construction of the Intersection Street Name Sign Project (Wayfinding Project Phase IV), City Project No. 24104 for a grand total amount of $326,472.50; 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.
(Approved 4-0-1, as recommended, Kirwin absent)

1.g Approval of the Design Concept Plan for Playground Renovations at McFadden Park and Approval of Public Works Agreement with PlayCore D.B.A. Gametime for the purchase and Installation of the Playground Equipment, CIP Projects No. 7210 and 7504 Fiscal Impact:

Expense: $510,000.00 Total Cost
$496,874.05 Contract Amount
$ 13,125.95 Contract Contingency Amount
Available Budget:
$550,000.00 FY 2024-25 CIP Budget
$460,000.00 Measure U (797504-6760)
$ 90,000.00 Park & Rec Impact Fee (637504-6760)

Recommended Action: It is recommended that the City Council:

1. Provide Staff with input to incorporate into the design plan for the renovation of the McFadden Park Playground Renovation Project; and

2. Approve the design concept plan for the McFadden Park Playground Renovation Project; and

3. Approve the purchase of the McFadden Park playground equipment utilizing the budgeted CIP funding in Fiscal Year 2024-2025 for projects 7210 and 7504; and

4. Award a Public Works Agreement to PlayCore d.b.a. GameTime for the McFadden Park playground equipment renovation project in the amount of $496,874.05; and

5. Authorize the City Administrator to approve contract change orders up to a total of $13,125.95 or a not-to-exceed total contract amount of $510,000; and

6. Authorize the City Administrator and/or his designee to execute all necessary documents, in a form approved by the City Attorney.
(Continued to next available meeting, 3-1-1, Shader no, Kirwin absent)

1.h Update to Policy No. 344 Governing Travel and Meeting Allowances Fiscal Impact: None
Recommended Action: It is recommended that the City Council:

1. Approve the proposed updates to Policy No. 344 governing Travel and Meeting Allowances for city staff and elected officials.
(Approved 4-0-1, as recommended, Kirwin absent)

1.i Award Resolution Authorizing Temporary Suspension of Regulatory Ordinance Section

10.28.010 to Facilitate the Placentia Library District Special Event Scheduled for Friday, October 25, 2024
63 6

Fiscal Impact: None
Recommended Action: It is recommended that the City Council:

1. Adopt Resolution No. R-2024-69, A Resolution of the City Council of the City of Placentia, California, authorizing the temporary suspension of regulatory Ordinance Section

10.28.010 of the Placentia Municipal Code to facilitate the Placentia Library District special event scheduled for Friday, October 25, 2024.
(Approved 3-0-1-1, as recommended, Yamaguchi recused, Kirwin absent)

2. PUBLIC HEARINGS: None

3. REGULAR AGENDA: None

CITY COUNCIL MEMBERS REQUESTS:

Councilmember Shader agreed to explore alternative funding, to have staff provide options for projects to be deferred, increase funding for road projects and agendize at a later City Council meeting.

Councilmember Wanke also agreed to explore alternative funding, to have staff provide options for projects to be deferred, increase funding for road projects and agendize at a later City Council meeting.

He also concurred with Mayor Yamaguchi and City Treasurer Larson to request a forensic audit to be conducted.

Mayor Yamaguchi echoed his concerns from the City Treasurer, Mr. Larson, to take steps for a forensic audit to be conducted. He also stated that the City Council will be looking into alternative funding and have staff provide options for projects to be deferred, increase road projects and agendize at a later City Council meeting.

ADJOURNMENT
The City Council/Successor Agency/ICDA/PPFA Board of Directors adjourned at 8:12 p.m. to a regular City Council meeting on Tuesday, November 5, 2024 at 5:30 p.m.

__________________________________
Jeremy B. Yamaguchi, Mayor/Agency Chair
ATTEST:

___________________________________
Robert S. McKinnell, City Clerk/
Agency Secretary
64 1

PLACENTIA CITY COUNCIL

PLACENTIA CITY COUNCIL ACTING AS SUCCESSOR AGENCY TO THE

PLACENTIA REDEVELOPMENT AGENCY

PLACENTIA INDUSTRIAL COMMERCIAL DEVELOPMENT AUTHORITY

PLACENTIA PUBLIC FINANCING AUTHORITY

MINUTES

REGULAR MEETING
November 5, 2024
5:00 p.m. – City Council Chambers
401 E. Chapman Avenue, Placentia, CA
CALL TO ORDER: Mayor Yamaguchi called the meeting to order at 5:00 p.m.

ROLL CALL:

PRESENT: Councilmember/Board Member Shader, Smith, Wanke, Kirwin, Yamaguchi ABSENT: None

ORAL COMMUNICATIONS:

Mayor Yamaguchi opened Oral Communications for the Closed Session. City Clerk McKinnell stated that the City Clerk’s Office had received one electronic communication from a former Community Services Director Karen Crocker and read the written comments into the record for the Closed Session. Mr.

McKinnell announced the Closed Session case and matter.

CLOSED SESSION PROCEEDINGS:

The City Council and Boards of Directors recessed to the City Council Caucus Room for the purpose of conducting their Closed Session proceedings on the following:

1. Pursuant to Government Code Section 54957(b)

CONFERENCE WITH LEGAL COUNSEL

PUBLIC EMPLOYEE DISCIPLINE/DISMISSAL/RELEASE

RECESS: The City Council and Boards of Directors recessed to their 7:00 p.m. Regular Meeting.

CALL TO ORDER: Mayor Yamaguchi called the meeting to order at 7:00 p.m.

ROLL CALL:

PRESENT: Councilmember/Board Member Shader, Smith, Wanke, Kirwin, Yamaguchi ABSENT: None

STAFF PRESENT:

INVOCATION: Chaplain Kenneth Curry

PLEDGE OF ALLEGIANCE: Mayor Yamaguchi

PRESENTATION: None

65 2

CLOSED SESSION REPORT:

City Attorney/Authority Counsel Bettenhausen stated that there was one (1) item on the Closed Session agenda, the City Council took action to approve a Separation Agreement and release of claims with the City Administrator. The agreement includes a severance payment of 12 months of base salary, which equates to $317,020, as well as a payment of $117,020 for health insurance contributions for up to 12 months and a Separation Date of November 5, 2024. The roll call vote was as follows. The motion was made by Mayor Yamaguchi, seconded by Council Member Smith, and approved 5-0, nothing further to report.

CITY ADMINISTRATOR REPORT:

Acting City Administrator Ramirez welcomed and introduced one (1) new City of Placentia employee.

Community Services Director Lydie Gutfeld comes to Placentia with 32 years of experience in local government, working with various agencies, including Beverly Hills, Culver City, Irvine, Mission Viejo and San Bernardino. Her extensive background in parks and recreation includes a commitment to engaging and empowering communities by developing and implementing impactful policies and programs. Lydie holds a bachelor’s degree in child and adolescent development and a Master of Public Administration from California State University Fullerton. She was also the lead fellow in the city manager's fellowship program.

ORAL COMMUNICATIONS:

Mayor Yamaguchi opened oral communications for the Regular Meeting.

Craig Green, Placentia resident and former Councilmember, expressed his appreciation to City Administrator Arrula for his dedication, City’s financial improvements and hard work on behalf of the Placentia residents.

Dan Haynes, Placentia resident, expressed concerns about City streets and road conditions, traffic safety, and urged City Council to defer vanity projects to repair roads.

JoAnn Sowards, Placentia resident, expressed her frustration about the deferring Measure U funds to vanity project, and urged Council to repair City streets and road conditions.

Nathan Dedic, Placentia resident, expressed concerns about the City streets, traffic safety and urged Council to repair road conditions.

Scott King, Placentia resident, expressed concerns about the City’s bidding processes for vanity projects, misappropriation of funds, City Administrator Damien Arrula’s compensation package and urged Council to repair City streets and road conditions before considering any projects going forward.

Julie Suchard, Placentia resident, expressed her frustration about the compensation package with respect to former City Administrator Damien Arrula and urged Council to conduct a forensic audit.

John Beltran, Placentia resident, expressed his concerns and frustration about the road conditions, property damage and traffic safety. He urged Council to repair City streets and road conditions before considering any projects going forward.

Dan Kaatz, Placentia resident, expressed his frustration about the traffic safety and urged Council to repair City streets and road conditions before considering any projects going forward.

City Clerk McKinnell announced that three (3) written communications in support of City Administrator Arrula had been received by the City Clerk’s office from Scott Brown, the Retired Fire Chief for the City of Hemet. He read the written comments into the record. He also read written comments from Jessica Brown, 66 3

a former Finance Director of the City of Placentia, and Meredith Castillo, a Placentia resident into the record.

CITY COUNCIL MEMBER COMMENTS:

Councilmember Shader reported that she attended the Palm Village North Citizens meeting, Placentia Chamber of Commerce meeting, Fast Labs Open House, Heritage Day Parade and Car show, Orange County Cities Association and Southern California Edison Government Advisory Panel. She promoted the Thanksgiving basket drive on Wednesday, November 20, from 9:00 a.m. to 5:00 p.m.

Councilmember Smith reported that he attended the California League of Cities Conference, Heritage Day Parade and Car show, Joint Community meeting with City of Yorba Linda, Orange County Council Governments meeting and Veterans Advisory Committee meeting. He promoted the Veterans Day Ceremony on Monday, November 11th at the Civic Center. He invited everyone to the Placentia Community Prayer Breakfast hosted by the Placentia Roundtable Women's Club and the Placentia Rotary Club on Wednesday, November 20th from 7:00 a.m. – 9:00 a.m. at www.rotary.com . He also invited everyone to Tip-a-Cop fundraiser for Wednesday, November 13th from 5:00 p.m. – 9:00 p.m. Funds will be donated to Special Olympics.

Councilmember Wanke reported his attendance at the California League of Cities Conference.

Mayor ProTem Kirwin reported that he attended the Heritage Day Parade and Car show, and the Veterans Advisory Committee meeting.

Mayor Yamaguchi reported that he attended the California League of Cities Conference, Red Ribbon Week at Van Buren Elementary School, and provided a Tour to Cub Scout 780.

1. CONSENT CALENDAR (1.a. to 1.j):

Motion by Yamaguchi, seconded by Shader, and carried a (5-0-0) vote to approve the Consent Calendar items 1.a. through 1k., as recommended. Consent Calendar 1.i was pulled by Yamaguchi, discussed and motion by Yamaguchi, seconded by Wanke, and carried a (5-0-0).

1.a Consideration to Waive Reading in Full of all Ordinances and Resolutions Fiscal Impact: None
(Approved, 5-0, as recommended)

1.b Minutes
City Council/Successor/ICDA/PPFA Special and Regular Meetings of:
▪ July 02, 2024 and July 16, 2024 Regular Meetings
▪ July 31, 2024 Special Meeting and Adjourned Regular Meeting Recommended Action: It is recommended that the City Council:

Approve.
(Approved, 5-0-0, as recommended)

1.c City Fiscal Year 2023-24 Registers for November 5, 2024 Check Register
Fiscal Impact: $1,709,149.25
Electronic Disbursement Register
Fiscal Impact: $2,188,167.04
Recommended Action: It is recommended that the City Council:

1. Receive and file.
(Received and Filed, as recommended)

67 4

1.d Award of Contract to Pacific West Industries, Inc., for Heating, Ventilation and Cooling Maintenance Services
Fiscal Impact:

Expense: $240,000 Five-Year Contract Amount
Budgeted: $144,000 FY 2024-25 Operating Budget (103654-6290) $30,000 FY 2024-25 Operating Budget (104055-6290)
Recommended Action: It is recommended that the City Council:

1. Award a five-year Public Works Agreement to Pacific West Industries, Inc., for heating, ventilation and cooling maintenance, testing and repairs in an amount not-to-exceed $240,000; and

2. Authorize the City Administrator to approve contract change orders up to 30% or $72,000 of the contract not-to-exceed amount; and

3. Authorize the City Administrator and/or his designee to execute all necessary documents, in a form approved by the City Attorney.
(Approved 5-0-0, as recommended)

1.e Resolution Adopting a Side Letter Agreement Amending the Memorandum of Understanding of the City of Placentia Police and Fire Management Association related to a Grievance Filed by PPFMA Against the City of Placentia.

Recommended Action: It is recommended that the City Council:

1. Adopt Resolution No. R-2024-68 a Resolution of the City Council of the City of Placentia, California approving a side letter settlement agreement amending the memorandum of understanding of the City of Placentia Police and Fire Management Association to address the process of determining the salary step upon promotion and to amend Article 12 (E) of the Memorandum of Understanding amending the Medical Opt Out provision; and

2. Authorize the City Administrator to execute the agreement, in a form approved by the City Attorney.
(Approved 5-0-0, as recommended)

1.f Purchase of Two Ford F-150 Trucks for the Public Works Department Fiscal Impact:

Expense: $79,464.88 Total Purchase Price
Budgeted: $90,000.00 FY 2024-25 CIP Budget (MEASURE U 798505-6842) Recommended Action: It is recommended that the City Council:

1. Approve the purchase of two 2024 Ford F-150 pickup trucks from Fairway Ford in the amount of $79,464.88; and

2. Authorize the City Administrator to approve invoice changes up to 10% of the quoted amount; and

3. Authorize the City Administrator and/or his designee to issue a purchase order to Fairway Ford for the trucks and execute all necessary documents, in a form approved by the City Attorney.
(Approved 5-0-0, as recommended)

1.g Consideration of a Resolution Authorizing Application to, and Participation in the Prohousing Designation Program with the State Department of Housing and Community Development (HCD); and Consideration of a Resolution Authorizing Application for, and Receipt of Prohousing Incentive Program Funds.

Fiscal Impact:

There is no immediate financial impact; however, the Prohousing Designation qualifies the City to apply for State funding. On August 15, 2024, HCD released the NOFA for the third round of the Prohousing Incentive Program (PIP Round 3). PIP Round 3 makes approximately $8 million available for jurisdictions with a Prohousing Designation. 68 5

Recommended Action: It is recommended that the City Council:

1. Adopt Resolution No. R-2024-70, a Resolution of the City Council of the City of Placentia, California, authorizing application to and participation in the Prohousing Designation Program; and

2. Adopt Resolution No. R-2024-71, a Resolution of the City Council of the City of Placentia, California, authorizing application for, and receipt of, Prohousing Incentive Program funds. (Approved 5-0-0, as recommended)

1.h Acceptance of Resignations from the Planning Commission and Appointment of One Fiscal Impact: None
Recommended Action: It is recommended that the City Council:

1. Accept the resignation of Nick Polichetti from the Planning Commission effective November 30, 2024; and

2. Accept the resignation of Susan Silvestri from the Planning Commission effective November 30, 2024; and

3. Appoint previously approved candidate Juan Guerrero to the Planning Commission effective December 1, 2024; and

4. Update the City’s master Commission/Committee vacancy list to include one vacancy on the Planning Commission and solicit applications.
(Approved 5-0-0, as recommended)

1.i Approve Purchase Order for Bowman Company for SiFi Inspections Fiscal Impact:

Expense: $ 53,000 Agreement with Bowman Company for SiFi Inspections

1. 33,000 Contract Amendment Close-Out for Totum Corporation Budgeted: $101,558 FY 2024-25 Operating Budget (103551-6099) Recommended Action: It is recommended that the City Council:

1. Approve a purchase order with Bowman Company to provide construction inspection services for the Citywide Fiber Optic Deployment Project for a not-to-exceed amount of $53,000; and Authorize the City Administrator to approve amendments up to 20% of the purchase order amount; and

2. Approve Amendment No. 5 to the Professional Services Agreement with Totum Corporation to close-out the remainder of their work performed through September 2024 for the construction inspection services for the Citywide Fiber Optic Deployment Project to $633,000.
(Approved 5-0-0, as recommended, motion by Yamaguchi, seconded by Wanke)

2. PUBLIC HEARINGS: None

3. REGULAR AGENDA: None

CITY COUNCIL MEMBERS REQUESTS:

Mayor Yamaguchi requested consensus from Council to have staff prepare a preliminary report about coyotes and agendize at a later City Council meeting.

ADJOURNMENT
The City Council/Successor Agency/ICDA/PPFA Board of Directors adjourned at 8:00 p.m. to a regular City Council meeting on Tuesday, November 19, 2024 at 5:30 p.m.

69 6

__________________________________
Jeremy B. Yamaguchi, Mayor/Agency Chair
ATTEST:

___________________________________
Robert S. McKinnell, City Clerk/
Agency Secretary
70 Agenda Item No: 1.d

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Samantha Byfield
From: Public Works
Subject:

Award of Contract to Colts Landscape, Inc., for Citywide Vine Trimming Services Financial Impact:

Fiscal Impact:

Expense: $87,046 Five-Year Contract Total
Budget: $96,920 Budgeted FY 2025-26 Operating Budget (103655-6115) Summary:

The proposed five-year agreement is for citywide vine trimming services. The scope of work includes trimming the block wall vines twice per year. This work was previously under contract with another vendor but was withdrawn from that contract due to a pricing discrepancy. Bids for a new vendor were publicly solicited on February 20, 2025, and nine bids were received.

After reviewing the bids, Colts Landscape, Inc., was found to be the lowest responsive bidder. Staff recommends that the City Council award a contract to Colts Landscape, Inc., in an amount not-to-exceed $87,046. Additionally, staff recommends including a 20% contingency in the amount of $17,409.20 to cover vandalism and additional unforeseen damages.

Recommendation:

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

1. Award a five-year Public Works Agreement to Colts Landscape, Inc., for citywide vine trimming services in an amount not-to-exceed $87,046; and

2. Authorize the Interim City Administrator to approve contract change orders up to 20% or $17,409.20 of the contract not-to-exceed amount; and

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

Strategic Plan Statement:

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

Discussion:

The Public Works Department is responsible for trimming vines on block walls within the public right-of-way. The work involves trimming all vines two times per year. This work was previously under contract with another vendor but was withdrawn from that contract due to a pricing discrepancy. Bids for a new vendor were publicly solicited on February 20, 2025, and 71 nine bids were received. A summary of the bid results is in the table below.

Contractor Bid Amount for Annual
Service Five Year Total
Colts Landscape $17,409.20 $87,046.00
Greenfield Landscaping &
Maintenance, Inc.$22,500.00 $112,500.00
Tropical Plaza Nursery, Inc.$26,292.72 $134,963.60
Integrity Arborist and
Ecoscape, Inc.$32,077.50 $160,387.50
EMTS, Inc.$47,820.00 $239,100.00
Mariposa Tree Management,
Inc.$74,999.00 $374,995.00
So Cal Land Maintenance $76,800.00 $384,000.00
SGD Enterprises $114,400.00 $572,000.00
Nieves Landscape, Inc.$120,000.00 $600,000.00

After reviewing the bids, Colts Landscape, Inc., was found to be the lowest responsive bidder.

Staff recommends the City Council award a five-year Public Works Agreement to Colts Landscape, Inc., in an amount not-to-exceed $87,046. Staff also recommends the City Council include a 20% contingency amount of $17,409.20, which authorizes additional trimming services should they be needed in the event of vandalism, accidental damage or cleanup following excessive trimmings on the private property side.

Fiscal Impact Summary:

Fiscal Impact:

The recommended actions will approve a five-year Public Works Agreement with Colts Landscape, Inc. for citywide vine trimming services in the amount of $87,046 and a 20% contingency of $17,409.20. Services under this agreement will be scheduled after July 1, 2025. Funds to support this contract have been proposed in the operating budgeted amount of $96,920 for FY 2025-26 and will continue to be requested for future fiscal years through the term of the contract.

Attachments
PSA - Colts Landscape - Packet
72 73

74 75

76 77

78 79

80 81

82 83

84 Page D-1

SECTION D

GENERAL PROVISIONS

SCOPE OF WORK
The City is soliciting bids to provide vine trimming services citywide two times per year.

The height of the vines shall not be more than one foot above retaining wall and shall be trimmed to protrude no more than one foot on all pedestrian sidewalks. Work shall be done in coordination with the Public Works Supervisor. Trimming will commence following July 1, 2025. In following years, trimming will commence following January 1 and July 1 each year.
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13 Colt’s Landscape, Inc.

Rev. 01/2024

EXHIBIT B

INSURANCE REQUIREMENTS

121

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 ($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:
122

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.

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. 123

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

6.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.

7.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.

8.Consultant agrees to waive, and to obtain endorsements from insurers waiving, subrogation rights 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 insurance policies.

9.Coverage shall be on a standard occurrence form.Claims-made forms are not acceptable. Modified, limited, or restricted occurrence forms are not acceptable. 124

14 Colt’s Landscape, Inc.

Rev. 01/2024

EXHIBIT C

CERTIFICATES OF INSURANCE AND ENDORSEMENTS
125

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

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

INSURER(S) AFFORDING COVERAGE
INSURER F :

INSURER E :

INSURER D :

INSURER C :

INSURER B :

INSURER A :

NAIC #
NAME:CONTACT
(A/C, No):FAX
E-MAILADDRESS:

PRODUCER
(A/C, No, Ext):PHONE

INSURED
REVISION NUMBER:CERTIFICATE NUMBER:COVERAGES
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).

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.

OTHER:
(Per accident)
(Ea accident)
$
$
N / A
SUBR
WVD
ADDL
INSD

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. $
$
$
$PROPERTY DAMAGE
BODILY INJURY (Per accident)
BODILY INJURY (Per person)

COMBINED SINGLE LIMIT

AUTOS ONLY

AUTOSAUTOS ONLY

NON-OWNED

SCHEDULEDOWNED

ANY AUTO

AUTOMOBILE LIABILITY
Y / N

WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
OFFICER/MEMBER EXCLUDED?
(Mandatory in NH)
DESCRIPTION OF OPERATIONS below
If yes, describe under

ANY PROPRIETOR/PARTNER/EXECUTIVE
$
$
$
E.L. DISEASE - POLICY LIMIT
E.L. DISEASE - EA EMPLOYEE
E.L. EACH ACCIDENT

EROTH-STATUTEPER

LIMITS(MM/DD/YYYY)POLICY EXP(MM/DD/YYYY)POLICY EFFPOLICY NUMBERTYPE OF INSURANCELTRINSR DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required)

EXCESS LIAB
UMBRELLA LIAB $EACH OCCURRENCE
$AGGREGATE
$
OCCUR

CLAIMS-MADE
DED RETENTION$
$PRODUCTS - COMP/OP AGG
$GENERAL AGGREGATE
$PERSONAL & ADV INJURY
$MED EXP (Any one person)
$EACH OCCURRENCE
DAMAGE TO RENTED $PREMISES (Ea occurrence)

COMMERCIAL GENERAL LIABILITY

CLAIMS-MADE OCCUR
GEN'L AGGREGATE LIMIT APPLIES PER:

POLICY PRO-JECT LOC

CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY)

CANCELLATION

AUTHORIZED REPRESENTATIVE
ACORD 25 (2016/03)
© 1988-2015 ACORD CORPORATION. All rights reserved.

CERTIFICATE HOLDER
The ACORD name and logo are registered marks of ACORD
HIRED

AUTOS ONLY
4/17/2025
Champion Risk &Insurance Services,L.P.
12264 El Camino Real,Ste 350
San Diego CA 92130
858-369-7900 800-829-0807
[email protected]
Omaha National Casualty Company 32107
COLTLAN-01 Middlesex Insurance Company 23434ColtsLandscapeInc. 12111 Chapman Ave
Garden Grove CA 92840
1552308170
B X 1,000,000
X 500,000
5,000
1,000,000
3,000,000
X
Y Y A0279124004 4/15/2025 4/15/2026
2,000,000
B 1,000,000
X
X X
Y Y A0279124001 4/15/2025 4/15/2026
B X 2,000,000
X
A0279124005 4/15/2025 4/15/2026
2,000,000
Prod/Comp Ops Agg 2,000,000
A X
Y
Y ONCC1701242301 1/6/2025 1/6/2026
1,000,000
1,000,000
1,000,000

CERTIFICATE HOLDER IS AN ADDITIONAL INSURED ON A PRIMARY AND NON-CONTRIBUTORY BASIS WITH RESPECTS TO GENERAL &AUTO LIABILITY INSURANCE WHERE REQUIRED BY WRITTEN CONTRACT,SUBJECT TO POLICY TERMS AND CONDITIONS,AND ATTACHED FORMS.

WAIVER OF SUBROGATION APPLIES PER ATTACHED FORM(S).

The City of Placentia,its officers,officials,agents,employees,and volunteers are included as additional insureds,when required by written contract.

City of Placentia
401 E.Chapman Ave.

Placentia CA 92870

THIS CERTIFICATE SUPERSEDES PREVIOUSLY ISSUED CERTIFICATE 126

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137

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Agenda Item No: 1.e

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Chris Tanio
From: Public Works
Subject:

Agreement with PowerPlus for Temporary Electrical Power at Placentia Public Safety Center Financial Impact:

Fiscal Impact:

Expense: $100,000 Service Cost
$ 10,000 Contingency Cost
$110,000 Total Cost

Available Budget: $487,669.07 (105213-6840)
Summary:

PowerPlus has been providing temporary power for the Placentia Public Safety Center Project (Project) since the Spring of 2024 due to material lead time delays of the electrical panel switchgear for connecting permanent power to the Project. The electrical switchgear will provide permanent power to the main dispatch building and the property and evidence building since both buildings are part of the Project. Having permanent power in place also allows the City to sign off for the required final electrical and fire permitting related work and allows the contractor to complete the remainder of their work that they couldn't complete while under temporary power.

The City Initially had plans to use PowerPlus for temporary power until the end of 2024, however, around the Fall of 2024 Staff was notified that the electrical switchgear was further delayed until early 2025. The switchgear was eventually delivered onsite in February 2025, allowing the contractor to now complete the remainder of the work needed for switching over to permanent power which is expected in the late Summer/early Fall 2025. The monthly payment for temporary power is approximately $4,600 and the City has paid PowerPlus about $72,000 to date. This amount included an approximate one-time $12,100 setup fee along with the previously mentioned monthly temporary power fee. Staff is requesting an additional 5 months of temporary power service. As such, Staff recommends that City Council award a Public Works Agreement with PowerPlus in the amount of $100,000, which already includes the previously mentioned $72,000, and will continue to provide temporary power until Fall of 2025.

Recommendation:

Recommended Action : It is recommended that the City Council take the following actions to:
140

1. Approve a Public Works Agreement with S.R. Bray, LLC (dba PowerPlus) for the Public Safety Center Project in the amount of $100,000; and

2. Authorize the Interim City Administrator to approve up to ten percent (10%) contingency of the contract amount, or $10,000, for a total contract not-to-exceed amount of $110,000; and

3. Authorize the Interim City Administrator to approve all agreements in a form approved by the City Attorney.

Strategic Plan Statement:

This item is consistent with the City Council approved Strategic Plan Goal 5, Implement Public Infrastructure to Meet Community Needs, and Objective 5.4, Construct the Placentia Public Safety Center.

Discussion:

The City initially had plans to use PowerPlus for temporary power until the end of 2024, however, around the Fall of 2024 Staff was notified that the electrical switchgear was further delayed until early 2025. The switchgear was eventually delivered onsite in February 2025, allowing the contractor to now complete the remainder of the work needed for switching over to permanent power which is expected in the late Summer/early Fall 2025.

Temporary power includes rental of equipment including power poles, wires, a temporary transformer, automatic transfer switch, and a generator. When the PowerPlus scope of work was initially implemented in Spring 2024, it was done through a sole source procurement as no other vendors are capable of providing this service within the necessary schedule. During that time, the City's Police Department was leasing building space for storage of its property and evidence with the goal of relocating it from the leased facility to the new City property and evidence building. Additionally, the monthly payments for the leased facility were increasing significantly and the City had to make quick adjustments to obtain temporary power since the lead time for the permanent electrical switchgear would have further delayed the project. As a result, a sole source procurement purchase order was obtained to utilize PowerPlus.

The monthly payment for temporary power is approximately $4,600 and the City has paid PowerPlus about $72,000 to date. This amount included an approximate one-time $12,100 setup fee along with the previously mentioned monthly temporary power fee. Staff is requesting an additional 5 months of temporary power service based on the $4,600 monthly rate. As such, Staff recommends that City Council award a Public Works Agreement with PowerPlus in the amount of $100,000, which already includes the previously mentioned $72,000, and will continue to provide temporary power until Fall of 2025.

Fiscal Impact Summary:

Fiscal Impact:
141

The contract cost for this work amounts to $100,000 which consists of the $72,021.95 already paid to PowerPlus and an additional 5 months of temporary power service. In addition to the service cost, a contingency in the amount of $10,000 is included to cover unforeseen delays that may result in additional temporary power needs resulting in a not-to-exceed contract amount of $110,000. As such, sufficient funding exists for the recommended actions.

Attachments
Public Works Agreement-PowerPlus.pdf
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15 8

Project No. 5213

EXHIBIT A

SCOPE OF SERVICES

Provide temporary electrical power for the Placentia Public Safety Center.

Temporary power includes rental of electrical equipment including power poles, wires, a temporary transformer, automatic transfer switch, and a generator.

Detailed quotes on the next page.

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Project No. 5213

EXHIBIT B

SCHEDULE OF PERFORMANCE

Temporary power services are currently being provided, and those services will continue to be provided until permanent power is installed. The future power services will be provided by Southern California Edison.

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Agenda Item No: 1.f

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Samantha Byfield
From: Public Works
Subject:

Second Amendment to the Waste Disposal Agreement with the County of Orange Financial Impact:

Fiscal Impact:

There is no fiscal impact associated with the recommended action.

Summary:

Solid waste disposal at Orange County landfills is governed by a Waste Disposal Agreement (WDA) under which cities and sanitary districts agree to exclusively deposit certain waste at landfills owned by the County of Orange (County) in exchange for low and stable disposal rates. The current WDA was entered into in 2009 and subsequently amended in May 2015 to extend the term through June 30, 2025. The Orange County City Manager Association (OCCMA) is currently negotiating a successor agreement to the WDA with OC Waste and Recycling (OCWR). Additional time is needed to finalize mutually agreeable terms and disposal fees.

The proposed Second Amendment extends the current WDA by one year to allow for continued negotiations and includes a 2.6% disposal fee increase, per the escalation formula in the current WDA. In accordance with the existing franchise agreement with Republic Services (Republic), the City's solid waste provider, the County-imposed disposal rate increases are a pass-through cost where Republic bears the responsibility to cover any County disposal rate increases. Franchise agreement terms entitle Republic to recover increased disposal costs through a pass-through mechanism, subject to City review and approval. Staff recommends the City Council approve the Second Amendment to the WDA.

Recommendation:

Recommended Action: It is recommended the City Council take the following actions to:

1. Approve the Second Amendment to the Waste Disposal Agreement with the County of Orange extending the agreement by one year and increasing the disposal fee 2.6% through June 30, 2026; and

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

Strategic Plan Statement:

There is no specific Strategic Plan goal or objective associated with this Council action. 186

Discussion:

The City of Placentia disposes of solid waste at landfills owned and operated by the County through OCWR under the countywide WDA. Cities and sanitary districts agree to exclusively deposit solid waste at County landfills under the WDA in exchange for low and stable disposal rates. The current WDA began in 2009 and was subsequently amended to extend the term through June 30, 2025.

The OCCMA, representing the City of Placentia and the remaining cities and sanitary districts, is currently working to negotiate a successor agreement to the existing WDA with OCWR.

Additional time is needed to finalize mutually agreeable terms and disposal fees. OCWR notified cities in January 2022 that it intended to revise the WDA to align with legislative requirements such as Senate Bill 1383, which requires local governments to divert organic waste, such as food scraps and landscaping waste, away from landfills. OCWR presented a proposed successor agreement to the WDA, titled the Waste Infrastructure System Enhancement (WISE) agreement, at an OCCMA summit on November 7, 2024. The WISE agreement proposed increasing the landfill disposal rate from $42.65 to $82 per ton (a 92.3% increase) to account for operational costs and regulatory compliance. The WISE agreement also proposed a capital expenditure allocation for improving County landfill infrastructure.

As a result of the significant proposed increase, OCCMA formed a committee in December 2024 to negotiate a successor agreement to the WDA and requested an extension of the current WDA to allow time for negotiations. OCWR has agreed to the requested extension under the terms of the proposed Amendment which generally provides for a 12-month extension and a 2.6% Consumer Price Index (CPI) disposal fee increase, per the WDA escalation formula. In accordance with the existing franchise agreement with Republic Services (Republic), the City's solid waste provider, the County-imposed disposal rate increases are a pass-through cost where Republic bears the responsibility to cover any County disposal rate increases. Franchise agreement terms entitle Republic to recover increased disposal costs through a pass-through mechanism, subject to City review and approval. The extension period would allow stakeholders time to conduct due diligence on a proposed successor agreement to the WDA by September 30, 2025, as well as evaluate costs and infrastructure plans ahead of a larger expected increase on July 1, 2026. All cities and sanitary districts will receive monthly updates beginning October 2025 if the OCCMA committee and OCWR do not reach mutually agreeable terms by September 30, 2025.

Staff recommends the City Council approve the Second Amendment to the Waste Disposal Agreement with the County of Orange as it ensures stable disposal rates and collaboration between all cities and sanitary districts in Orange County for an additional year.

Fiscal Impact Summary:

The proposed amendment extends the WDA by one year to allow for continued negotiations for a successor agreement and includes a 2.6% CPI disposal fee increase, per the current WDA escalation formula. In accordance with the existing franchise agreement with Republic Services (Republic), the County-imposed disposal rate increases are a pass-through cost.

Republic bears the responsibility to cover any County disposal rate increases. Franchise agreement terms entitle Republic to cover increased disposal costs through a pass-through mechanism, subject to City review and approval.

Attachments
187

2025-04-01 Proposed Second Amendment to WDA.pdf
188

Page 1 of 5 ends

SECOND AMENDMENT TO WASTE DISPOSAL AGREEMENT

Between

THE COUNTY OF ORANGE, CALIFORNIA

and the

CITY OF PLACENTIA, CALIFORNIA

June 30, 2025

County Amendment Authorization Date

_________________, 2025

County Notice Address:

Director, OC Waste & Recycling
601 N. Ross Street
5th Floor
Santa Ana, CA 92701

City Amendment Authorization Date

May 6, 2025

City Notice Address:

City of Placentia
Attn: City Clerk
401 E. Chapman Ave
Placentia, CA 92870

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Page 2 of 5 ends

SECOND AMENDMENT TO WASTE DISPOSAL AGREEMENT
THIS SECOND AMENDMENT TO THE WASTE DISPOSAL AGREEMENT (“Second Amendment”) is made and dated as of the date indicated on the cover page hereof between the County of Orange, a political subdivision of the State of California (the “County”), and the City (general law, charter or other), Special District or Sanitary District designated on the cover page of this Agreement and party to this Agreement.(the “City”).

RECITALS
The County owns, manages, and operates a Waste Infrastructure System to manage municipal and solid waste generated within Orange County, California or imported from outside Orange County, California pursuant to contractual agreements (hereafter used referred to as “Disposal System” or “Waste Infrastructure System”). The Waste Infrastructure System collectively includes active Class III sanitary landfills (“County Landfills”), resource recovery, recycling and organics programs, infrastructure and operations, and regional household hazardous waste collection centers and other waste management related systems as may be deemed necessary by the County.

The County is also responsible for the long-term management of 20 closed landfills as required under Applicable Law.

County Landfills are used for the management of municipal solid waste pursuant to legislation including, but not limited to, the California Integrated Waste Management Act of 1989 (Division 30 of the California Public Resources Code) (the “Act”) and the Short-lived Climate Pollutants Reduction Act (“SB 1383”). County Landfills are also subject to other state and federal regulations designed to ensure that landfill operations minimize the impacts to public health and safety and the environment.

The City, in the exercise of its police power, its powers under the Act, and other Applicable Law, has entered into a franchise or other agreement with or issued permits or licenses to one or more private haulers for the collection, recycling, diversion, and disposal of municipal solid waste generated within the City.

The City and the County have historically provided for the management of municipal solid waste through Waste Disposal Agreements (“WDAs”), wherein the County agreed to provide disposal capacity for waste generated in the City, and the City agreed to deliver or cause the delivery of waste generated in the City to the Disposal System, as more specifically set forth in, and subject to the terms and conditions of the WDAs. In 2009, the Parties entered into a new WDA (referred to as the “Original WDA”). In 2016, the Original WDA was amended by the Parties (“First Amendment”), whereby the Parties updated certain terms and extended the term through June 30, 2025. (The Original WDA and its corresponding First Amendment are referred to in this Second Amendment as the “Current WDA”.) In response to passage of several pieces of legislation that require significant reductions in the disposal of organic waste, and in light of the approaching expiration of the Current WDA, the County held two City Manager Summits in November 2024 proposing terms of a new WDA.

The Orange County City Manager Association (“OCCMA”) has established a Committee (“OCCMA Committee”) including representatives of cities and sanitary districts to review the terms of the proposed new WDA. The OCCMA Committee requested a 12-month extension of the Current WDA to allow for additional time to negotiate mutually agreeable terms for a new WDA, and obtain approval from the respective 190

Page 3 of 5 ends

governing bodies. The County is agreeable to OCCMA’s requested extension to the Current WDA on terms as provided in this Second Amendment.

The City has determined that the execution of this Second Amendment by the City is in the best interest of the City and will serve the public health, safety, and welfare by continuing the waste disposal services historically provided under the Current WDA while the Parties: (1) engage in due diligence related to a new WDA, in order for the City to evaluate the cost/benefit of a new WDA, which is expected to include the City and OCCMA obtaining more comprehensive and detailed information on the County’s plans for infrastructure expansion and improvements, the financial and operational conditions of the existing Waste Infrastructure System, and the components, timing, and procedures for future contract fee increases; and, (2) negotiate the terms and conditions of a new WDA.

The County has determined that the execution by the County of this Second Amendment will serve the public health, safety, and welfare by continuing to provide a stable, predictable, and reliable supply of municipal solid waste and the resulting service payment revenue to the Disposal System, while the Parties exchange information and conduct negotiations with the County goal of ensuring that any negotiated Contract Rate in the new WDA covers the full cost of operations and infrastructure O&M and development needed to ensure indemnification and regulatory compliance..

Official action approving this Second Amendment and determining it to be in the public interest and authorizing its execution and delivery was duly taken by the City on the City authorization date indicated on the cover page hereof.

Official action approving this Second Amendment and determining it to be in the public interest and authorizing its execution and delivery was duly taken by the County on the County authorization date indicated on the cover page hereof.

It is, therefore, agreed as follows:

1. Extended Term.
(a) Section 6.1 (A) of the Current WDA is deleted in its entirety and replaced with the following:
“Extended Term. This Agreement shall continue in full force and effect until 11:59 p.m. on June 30, 2026 (the “Extended Term”), unless earlier terminated in accordance with its terms, in which event the Extended Term shall be deemed to have expired as of the date of such termination.” (b) Section 6.1 (B) is deleted in its entirety.

(c) Section 6.1 (C) of the Current WDA is deleted in its entirety and replaced with the following:
“Contract Rate Negotiations During Extended Term. If the Orange County City Manager Association’s committee tasked with negotiating the terms of a successor to this Agreement with the County and recommending approval of the same to the Parties (the “Committee”) and the County have not reached mutually agreeable terms of a successor to this Agreement including, but not limited to, proposed revisions to the Contract Rate, by September 30, 2025, the County shall, and it is expected that the Committee will provide, updates to all Participating Cities, and their respective governing bodies as may be deemed necessary, regarding the status of negotiations on a monthly basis until mutually agreeable terms are reached or the Extended Term expires.” 191

Page 4 of 5 ends

In recommending any revisions to the Contract Rate, in addition to the circumstances described in Section 4.2(A), the Committee and County may take into consideration factors including, but not limited to, the following:
(i) actual cost of operations;
(ii) population growth;
(iii) increase or decrease in available tonnage;
(iv) economic and disposal market conditions in the Southern California region; (v) changes in transportation and technology;
(vi) changes in transportation costs;
(vii) closure and expansion of nearby landfills;
(viii) capacity of the Disposal System;
(ix) long-term infrastructure needs; and
(x) available reserves which are in excess of the amount reasonably required as reserves. (d) Appendix 2 of the Current WDA is deleted in its entirety and replaced with the following:

APPENDIX 2
Cumulative County Acceptable Waste Tonnage Target to be Used for Purposes of Section 4.2(B)

Fiscal Year County Acceptable Waste Tonnage Cumulative County Acceptable Waste Tonnage FY 2025-26 3,166,659 3,166,659

2. Contract Rate.
(a) The first paragraph of Section 4.2(A) of the Current WDA is deleted in its entirety and replaced with the following:

“(A) Establishment of Contract Rate. During the Extended Term, the Contract Rate payable by each Franchise Hauler shall be $43.76 per ton, contingent on the delivery to the Disposal System of an amount of Acceptable Waste at least equal to the Cumulative Tonnage Targets identified in Appendix 2, and subject to adjustment necessary to reflect the circumstances set forth in this Section 4.2, subjections (i) through (z).”

Note: Subsections (i) through (z) found in the Current WDA remain unchanged.

3. Effectiveness of Second Amendment.

The provisions of this Second Amendment shall not become effective unless and until this Second Amendment has been executed by the County and all of the Participating Cities, and shall become effective once that occurs.
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4. Representations and Warranties of the Parties.

Each of the parties to this Second Amendment represent and warrant that it is a political subdivision of the State of California validly existing under the Constitution and laws of the State and that it has duly authorized the execution and delivery of this Second Amendment to each other party.

5. Remaining Terms.

All other terms and conditions of the Current WDA not specifically changed by this Second Amendment, shall remain in full force and effect.

IN WITNESS WHEREOF, COUNTY and CITY have caused this Second Amendment to be executed by their duly authorized officers or representatives as of the day and year first above written.

County of Orange

By _______________________________
Director, OC Waste & Recycling

Date _____________________

Approved as to Form

By _______________________________
County Counsel

Date _____________________
City of Placentia

By _______________________________
Interim City Administrator

Date _____________________

Approved as to Form

By _______________________________
City Attorney

Date _____________________

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Agenda Item No: 1.g

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Lydie Gutfeld
From: Community Services
Subject:

Second Reading and Adoption of Ordinance No. O-2025-03, approving the Municipal Code amendment to establish a comprehensive regulatory framework for city special events on public property.

Financial Impact:

Fiscal Impact:

There is no fiscal impact to the City's General Fund for this item.

Summary:

On April 15, 2025 the City Council conducted a public hearing to consider Ordinance No. 0- 2025-03, and a majority approved a motion to introduce the Ordinance for First Reading. At tonight’s meeting Ordinance No. 0-2025-03 is being presented for its Second Reading and adoption. If approved by the City Council, the Second Reading constitutes the formal adoption of the Ordinance, and the Ordinance will go into effect 31 days after its adoption.

Recommendation:

Recommended Action: It is recommended that the City Council take the following action to:

14.18 (special events permit), to establish a comprehensive regulatory framework for city special events on public property.

Strategic Plan Statement:

This item is consistent with the City Council approved 5-Year Strategic Goal to implement Goal 1: ensuring long-term fiscal sustainability and Goal 2: Increase Community Engagement.

This project meets this goal of long-term fiscal sustainability by putting in place a special event permit that will have fees for the ordinance and fees for utilization of city staff and equipment.

This project meets the goal of increased community engagement by providing a streamline process for special events within the City of Placentia that would allow for the special event permit to allow alcohol use at these events that are highly attended by the community. 194

Fiscal Impact Summary:

Fiscal Impact:

No fiscal Impact.

Attachments
Special_Event_Ordinance_final_3.14.25 (3).docx
195

ORDINANCENO. O-2025-__

AN ORDINANCEOF THE CITY COUNCILOF THE CITY OF
PLACENTIA, CALIFORNIA AMENDING TITLE 1
(GENERAL PROVISIONS), CHAPTER 14 (TEMPORARY

SUSPENSION OF REGULATORY ORDINANCES),
AMENDING SECTION 10.28.010 (DRINKING IN PUBLIC)
OF CHAPTER 10.18 (INTOXICATION) OF TITLE 10
(PEACE, MORALS AND SAFETY),REPEALINGCHAPTER

13.60 (PARADES - ASSEMBLAGES) OF TITLE 13
(VEHICLES & TRAFFIC) AND AMENDING TITLE 14
(PUBLIC PROPERTY) WITH THE ADDITION OF CHAPTER

14.18 (SPECIAL EVENTS PERMIT), TO ESTABLISH A

COMPREHENSIVE REGULATORY FRAMEWORK FOR
CITY SPECIAL EVENTS ON PUBLIC PROPERTY.

City Attorney Summary
This Ordinance amends Title 14 (Public Property) of the City of Placentia Municipal Code with the addition of Chapter 14.18 (Special Events Permit) which provides a full regulatory scheme for special events and a process for obtaining special event permits. In addition, it amends Section

10.28.010 (Drinking in Public) of Chapter 10.18 (Intoxication) of Title 10 (Peace, Morals, and Safety) of the City of Placentia Municipal Code to allow the use of alcohol at a special event with the issuance of a special event permit. This Ordinance also repeals Chapter 13.60 (Parades – Assemblages as those regulations are now codified in Chapter 14.18.

Finally, it amends Title 1 (General Provisions) Chapter 1.14 (Temporary Suspension of Regulatory Ordinances) of the City of Placentia Municipal Code granting the City Administrator the ability to suspend provisions of the Municipal Code, with regard to special events.

A.Recitals
WHEREAS, the City of Placentia has the authority, under its police power, to enact regulations for the public peace, morals, and welfare of the City; and WHEREAS, the City Council recognizes the substantial community benefits that may result from community events such as providing cultural enrichment, promote economic vitality,and enhance community identity; and
WHEREAS, the City Council of the City of Placentia desires to adopt a regulatory ordinance for the regulation of special events and for the more efficient processing of special event permits with an administrative process.
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2 B.Ordinance

NOW, THEREFORE, THE MAYOR AND CITY COUNCIL OF THE CITY OF PLACENTIA, HEREBY ORDAIN AS FOLLOWS:

SECTION 1. Chapter 1.14 of Title 1 of the Placentia Municipal Code is hereby amended by adding new Section 1.14.015 as follows:

1.14.015 Special Event definition.
“Special Event” means an event for which a Special Event Permit is issued pursuant to Chapter 14.18 of Title 14 (Public Property) of the Placentia Municipal Code
SECTION 2. Sections 1.14.020 and 1.14.030 of Chapter 14 of Title 1 of the Placentia Municipal Code are hereby amended as follows:

1.14.020 Authority to suspend regulatory ordinances.

The city council City Administrator, or his/her designee, by ordinance or resolution, may suspend the operation of any one or more regulatory ordinances to the extent that such ordinances would otherwise apply to one or more specifically designated Special Events conducted, sponsored, co-sponsored or sanctioned by the city, and which, in the judgment of the city council City Administrator, or his/her designee, would interfere with or impede the conduct of such designated special events SpecialEvents.

1.14.030 Procedure.

In suspending the operation of any regulatory ordinance, the city council City Administrator, or his/her designee shall, onthe Special Event permit:
(1) Identify the event;
(2) Specify, in as detailed manner as feasible, the exact date or dates and starting and ending times of such suspension;
(3) Identify the person or persons or organizations to which such suspension shall apply;
(4) Designate the ordinance, code section or portion thereof which is to be suspended and, if any portion thereof is to remain in effect as to such persons or event, designate such portions;
197

3 (5) Impose such conditions, restrictions or limitations upon the conduct of such event, or upon the suspension of such ordinance as are deemed necessary to protect the public health, safety and welfare; and
(6) Specifically, state that, except as to the event, the time, and the persons or organizations so designated, such ordinances shall remain in full force and effect.

SECTION 3. Section 10.28.10 (Drinking in Public) of Chapter 10.28 (Intoxication) of Title 10 (Peace, Morals and Safety) is amended to read as follows:

10.28.010 Drinking in public.

No person shall drink any alcoholic liquor on any street, alley, sidewalk or parkway or any park, railway depot or other place open to the public or in any automobile within the city; except, that nothing in this section shall apply to any premises holding an on-sale liquor license from the state or a Special Event Permit issued pursuant to Chapter

14.18 of this code that permits alcohol use during the Special Event.

SECTION 4. Chapter 13.60 (“Parades – Assemblages”) of Title 13 (Vehicles & Traffic) is hereby repealed in its entirety.

SECTION 5. Title 14 (Public Property) is hereby amended by adding Chapter

14.18 (Special Events Permit) as follows:

Chapter 14.18 City Special Events.

14.18.010 Purpose.

14.18.020 Definitions.

14.18.030 Special Event Permit required, prohibited events

14.18.040 Exemptions.

14.18.050 Application Procedures.

14.18.060 Application form and content.

14.18.070 Action on application

14.18.080 Permit conditions.

14.18.090 Grounds for denial.

14.18.100 Permit issuance.

14.18.110 Special security assignments and submission of security plan.

14.18.120 Fire Department, Police Department and Public Works Department review.

14.18.130 Indemnity agreement.

14.18.140 Insurance requirements.

14.18.150 Cleanup deposits for Events.

14.18.160 Cost recovery.

14.18.170 Appeal procedure.

14.18.180 Violation.

14.18.190 Revocation.
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4 14.18.200 Interfering with activity prohibited.

14.18.210 Rules and regulations.

14.18.220 Unlawful use ofCity name.

14.18.230 Applicability.

14.18.240 Severability.

14.18.010 Purpose
It is the purpose and intent of the City Council to establish standards for the issuance of a permit for special events to use City streets, parks, facilities and services. It is recognized that these special events enhance the City’s lifestyle and provide benefits to the citizens through the creation of unique venues for entertainment that are not normally provided as part of governmental services. It is further intended to create a mechanism for cost recovery for special events without adversely impacting those events that contribute to the community. It is also the intent of the City Council to protect the rights of its citizens to engage in protected free speech expression activities. Consequently, it is not the intent of this ordinance to regulate conduct, the sole or principal object of which is the expression, dissemination or communication by verbal, visual, literary or auditory means of opinion, views or ideas which are protected by the First Amendment of the United States Constitution or Article 1, Section 2 of the California Constitution.

14.18.020 Definitions
For purposes of this Chapter, the following words and phrases when used in this chapter shall mean:
(1)Amplified sound. Music or speech projected or transmitted by electronic equipment, including, but not limited to, an amplifier, loudspeakers, or similar devices. (2)Applicant. Any person, group, organization, or entity that seeks a Special Event Permit from the City to conduct or sponsor an Event governed by this Chapter. An applicant must be 18 years of age or older.
(3)Athletic event. An occasion in which a group of persons collectively engage in a sport or other form of physical exercise on a City street, sidewalk, alley, or other street right-of-way, which obstructs delays, or interferes with the normal flow of pedestrian or vehicular traffic or does not comply with traffic laws and controls. Athletic events include mass participation sports such as marathons, running events, bicycle races or tours or other such spectator sports.
(4)Block party. A festive gathering on a residential or commercial street or area requiring a closure of a street, or a portion thereof, to vehicular traffic and use of the street for the festivity.
(5)Chief of Police. The Chief of Police or his/herauthorized designee. 199

5 (6)City Administrator. The City Administrator or his/her authorized designee. (7)City Facility. City Facilities include, but is not limited to, streets, sidewalks, rights of way, Parks and facilities, as well as any easements over private property for the benefit of the public.
(8)Event (Special Event). An athletic event, block party or other special event. (9)Other special event. A street fair, circus, farmers market, street market, art and craft show, procession, exhibition (i.e., car show, air show), carnival, festival, indoor or outdoor musical concert or other event or gathering which occurs on a City street, sidewalk, alley or other street right-of-way, City park, or City facilities or which:
a.Is likely to obstruct, delay, or interfere with the normal flow of pedestrian or vehicular traffic; or
b.Whose participants are likely not to comply with traffic laws and controls; or c.Which involves the use or impacts upon public property or facilities and the provision of City public safety services in response thereto. (10)Parade. Any procession or assemblage of two or more persons or vehicles moving on or along any public street or place for the purpose of advertising, promoting or celebrating any show, event, special day, exhibition, game or any goods, wares or merchandise.
(11)Park. Includes all parks, parkways, medians, pedestrian malls, plazas, greenbelts, gardens, lakes, and any other property owned or controlled by the City, including structures thereon and off-street parking areas that are used in connection therewith, which are operated or maintained for passive or active recreational purposes. The term “park” also includes any property owned or controlled by the City as open space, including undeveloped sites for future parks. The term “park” does not include the City Hall facility. (12)Permit application fee. The fee to be paid by the special event permit applicant at the time the application is filed with the Community Services Department, pursuant to the application fee schedule established by resolution of the City Council. (13)Permittee. Any person or organization that is issued a special events permit by the City Administrator.
(14)Public property. Includesall City owned or controlled real property, including, but not limited to, streets and sidewalks, rights of way, parks, and facilities, as well as any easements over private property for the benefit of the public. 200

6 14.18.030 Special event permit required, prohibited events. (1)Except as provided by the terms of a permit, lease, or contract which has been specifically authorized by the City Council, no person shall conduct or cause to be conducted, participate or engage in, hold, manage, permit or allow another to conduct an Event, in, on or upon any City Facility without first having obtained a Special Event Permit pursuant to this Chapter not less than 60 days prior to the Event. (2)The City Administrator is authorized to issue permits for Events occurring within or on City Facilities pursuant to the standards established in this Chapter. The City Administratorand/or Chief of Police is authorized to coordinate the issuance of a permit for such Events with other public agencies through whose jurisdiction or property such Event or portion thereof shall occur and to issue a permit upon the concurrence of the other public agencies involved. The issuance of a permit shall confer upon the permittee the right to control and regulate concessions within the venue of the Event in accordance with the terms and conditions set forth in the permit.
(3)The procedures or requirements of this Chapter shall not affect or supersede the provisions of law or the requirements for the issuance of fireworks, structural, electrical or other permits by City departments prescribed elsewhere in this Code, when such permits are otherwise required because of a particular condition or requirement of the Event.
(4)No person shall have, hold or conduct a Parade on or along any public street or in any public place unless the Parade is exempt pursuant to section 14.18.040

14.18.040 Exemptions.

A permit shall not be required under this Chapter for the below-listed activities, although the City Administrator may issue a permit or similar certificate to an organizer who requests such document. An exempt activity is required to comply with general regulations governing public health and safety.
(1)City Events, including those sponsored by or in which City is a partner. (2)Filming activities pursuant to a film permit issued in accordance with Chapter

23.92 of this Code.
(3)Funeral procession by a licensed mortuary or funeral home. (4)Activities conducted by a government agency (such as state, county, or school district)acting within the scope of its authority. This exemption does not apply when the government agency activity impedes upon any city-owned property or right-of-way. (5)Promotional events or sidewalk sales within an integrated commercial development pursuant to Section 23.81.015 of this Code. 201

7 (6)Carnivalsnot on City Facilities and which are issued a permit in accordance with Chapter 10.48 of this Code.
(7)Use of parks or facilities pursuant to a permit issued in accordance with Section

14.08.230 of this Code.
(8)City parades.

14.18.050 Application procedures.
(1)Application. Any person desiring to sponsor an Event not exempted by Section

14.18.040 shall apply for a Special Event Permit by filing a verified application with the Community Services Department on a form supplied by the Community Services Department. All applications shall be submitted not less than 60 calendar days nor more than 12 months before the Event date. If the application is for a first amendmentEvent, the application must be submitted at least 48 hours prior to the Event. (2)Application fee . An application for a permit to conduct an Event shall be accompanied by a non-refundable permit application fee in an amount established by resolution of the City Council.

14.18.060 Application form and content.

An application for a Special Event Permit shall be on a City form and signed by the applicant who is at least 18 years of age, and contain all of the following information:
(1)The name, mailing address, email address, and daytime and evening telephone number of the applicant, and a certification that the applicant will be financially responsible for any fees and costs that may be imposed for the Event. (2)The name, mailing address and daytime and evening telephone numbers of an alternative person who may be contacted if the applicant is unavailable. (3)The name, mailing address and daytime and evening telephone numbers of the person or persons chiefly responsible for the conduct of the Event. (4)If the Event is proposed to be sponsored by an organization, the name, mailing address and telephone number of the organization and the authorized head of the organization. If such Event is designed to be held by, on behalf of, or for any organization other than the applicant, the applicant for such permit shall file a written communication from such organization authorizing the applicant to apply for such permit on its behalf, and certifying that it will be financially responsible for any costs or fees that may be imposed for the Event.
(5)The name of the person who will be present and in charge of the Event on the day of the Event and their contact information during the Event. 202

8 (6)The requested Event date, including the dates and times for set-up and clean- up, and the starting and finishing time of the Event. Also include two alternative dates. (7)A description of the planned Event.
(8)The estimated number of participants.
(9)The approximate number of persons, animals or vehicles which will constitute the Event, the kinds of animals, a description of the types of vehicles to be used, the number of bands and other musical units and the nature of any equipment to be utilized to produce sounds or noise during Event, if any.
(10)The number of persons proposed or required to monitor or facilitate the Event and provide spectator or participant control and direction for Events using City streets or facilities.
(11)A site plan identifying the proposed Event and staging locations, including specific street closures or street routes, if any, or park area requested and parking areas. Should the event propose a road, lane or sidewalk closure, a detour and/or traffic control plan shall be submitted to the Engineering division of the Public Works Department for review and approval.
(12)The location of any sound amplification, electrical generators, stages, tents, canopies, cooking apparatus, food trucks, mechanical rides, jump houses, or other amusement attractions, and lights.
(13)A preliminary security plan and any monitors to be employed during the Event, including a site map showing emergency exit routes.
(14)Number and location of portable sanitation facilities, when appropriate, and other equipment or services necessary to conduct the Event with due regard for participant and public health and safety. Portable sanitation facilities shall include secondary containment.
(15)Provisions for first aid or emergency medical services, or both, where appropriate, based on Event risk factors, and the location of those services or stations. (16)A complete list of all vendors participating in the Event, provided no less than 14 days prior to Event
(17)The proposed distribution or sale of any food or beverage, including alcoholic beverages. If alcoholic beverages are included, provide all applicable governmental licenses and registrations allowing the sale of alcoholic beverages at the Event no less than 14 days prior to Event.
(18)Any City equipment or personnel requested.
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9 (19)Insurance information as required under this Chapter. (20)Any supplemental information which the City Administrator shall find reasonably necessary, under the particular circumstances of the Special Event Permit application, to determine whether to approve or conditionally approve a Special Event Permit application pursuant to the provisions of this Chapter.

14.18.070 Action on application.

The City Administratorshall approve, conditionally approve, or deny an application on the grounds specified in Section 14.18.090. Such action shall be taken as expeditiously as possible and, in any case no later than fifteen (15) business days after the City Administrator receives a completed application for an Event unless the applicant agrees, upon the request of the City Administrator, to extend the time for making decision to a later date. Events for first amendment activity of an urgent nature and impacting the public right of way or public facilities will be handled on an expedited basis, in order to protect constitutional rights. If the application is denied, the City Administrator shall inform the applicant of the grounds for denial in writing, and shall further inform the applicant of his or her right of appeal. If the City Administratorrelied on information about the Eventother than that contained in the application, he/sheshall inform the applicant of the additional information he/sheconsidered. The applicant shall be notified of any permit conditions at the time the application is approved and of the applicant's right to appeal the permit conditions.

For Events which will require a substantial amount of City resources the City Administrator, in his/her discretion, may refer the Special Even Permit to the City Council for approval and/or additional permit conditions.

14.18.080 Permit conditions.

The City Administratormay condition the issuance of a Special Event Permit by imposing reasonable requirements which are necessary to protect the health, safety and welfare of persons and property, and to provide for adequate control of traffic. Such conditions may include, but need not be limited to the following:
(1)Alteration of the date, time, route or location of the Event proposed on the Event application.
(2)Conditions concerning the area of assembly and disbanding of Events. (3)Conditions concerning accommodation of pedestrian or vehicular traffic, including restricting the Event to only a portion of a street.
(4)Requirements for use of traffic cones or barricades. (5)Requirements for provision of first aid, sanitary or emergency facilities. 204

10 (6)Requirements for use of Event monitors and some method for providing notice of permit conditions to Event participants.
(7)Restrictions on the number and type of vehicles, animals, or structures at the Event, and inspection and approval of structures, equipment, and areas of assembly for safety by the Placentia Fire & Life Safety Department.
(8)Compliance with animal protection ordinances and laws. (9)Requirements for waste disposal plan including proper sorting of waste streams and recovery of edible food in compliance with SB 1383, cleanup and restoration of City property. Organizers are responsible for the costs of waste disposal associated with the Event.
(10)Restrictions on use of amplified sound.
(11)An application for a Special Event Permit to conduct a block party may be conditioned on notice and approval by 50 percent of the owners or tenants of dwellings or businesses along the affected street(s).
(12)Compliance with any relevant ordinance or law in obtaining any legally required permit or license.
(13)Requirements for special security assignments and/or hiring of security.

14.18.090 Grounds for denial.
(1)Considerations. The City Administrator shall deny an application for a Special Event Permit if he/she determines from a consideration of the application and other pertinent information that one or more of the following exists:
a.The information contained in the application, or supplemental information requested from the applicant, is found to be materially false or misleading. b.The applicant failedto complete the application form, or to pay any required fee or deposit, after having been notified that additional information, documents, and/or fee or deposit is required.
c.The City Administrator has earlier received an application to hold another Event at the same time and place requested by the applicant, or so close in time and place as to cause undue traffic congestion, or where the Police Department determines it is unable to meet the needs for police services for both Events.
d.The nature, time, route or size of the Event is reasonably likely to interrupt the safe and orderly movement of traffic in areas around the Event site, or 205

11 will disrupt the use of Citystreets at a time when they areusually subject to congestion.
e.The concentration of persons, animals, vehicles, or other equipment or materials at the site of the Event, or the assembly and disbanding areas around an Event, are reasonably likely to make it difficult for police, fire or ambulance services to access the Event or the areas around the Event. f.The size and nature of the Event is such that the City does not reasonably believe that it can provide sufficient resources in order to ensure the public health and safety can be maintained both for the Event and for the rest of the City.
g.The size or nature of the Event is such that it is reasonably likely to require diversion of so great a number of City police, fire or other City personnel such thatthe City cannotensure participants will stay within the boundaries of the Event, or that Eventparticipants will be sufficiently protected. h.The location of the Event is reasonably likely to substantially interfere with any construction or maintenance work scheduled to take place upon or along the City streets, or a previously granted encroachment permit. i.The Eventis reasonably likely to occur at a time when a school is in session, at a route or location adjacent to the school, and the noise created by the activities of the Event would substantially disrupt the educational activities of the school.
j.The Event will violate public health or safety law or fail to conform with the requirements of law or duly established City Council policy. k.The applicant demonstrates an inability or unwillingness to conduct an Event pursuant to the terms and conditions of this Chapter or has failed to conduct a previously authorized or exempt Event in accordance with law or the terms of the permit, or both.
l.The Event will unreasonably interfere with the normal use of the City facility by residents.
(2)Conditional approval. When the grounds for denial of an application for a permit specified in subdivisions 1.cthrough 1.lof this Section can be corrected bysolelyaltering the date, time, duration, or location of the Event, the City Administrator, instead of denying the application, may choose to conditionally approve the application pursuant to Section

14.18.080. The conditions imposed shall provide for only such modification of the applicant's proposed Event as are necessary to achieve compliance with subdivisions 1.c through 1.l of this Section, and shall be consistent with rules and regulations established by the City Administratorand approved by a resolution of the City Council. The applicant must submit the corrected information at least 21 days prior to the Event. 206

12 14.18.100 Permit issuance.

The City Administratorshall issue the Special Event Permit once the application has been approved, the applicant has agreed in writing to comply with the terms and conditions of the permit, and all of the requirements of this Chapter have been satisfied.

14.18.110 Special security assignments and submission of security plan.

The applicant or sponsor of an Event shall submit a plan setting forth the proposed security measures to be taken to protect the health, safety and welfare of the participants in the Event. The plan shall be submitted concurrently with the permit application to the Chief of Police who may require the alteration of the plan to provide greater security measures including but not limited to the hiring of private security personnel and/or City police officers at the applicant's expense as a condition of permit issuance.

14.18.120 Fire Department, Police Department and Public Works Department Review.

An official from the Fire & Life Safety Department,Police Department and/or Public Works Department may, after review of the scope of the Event, determine that additional resources are required to ensure public health and safety. The official from each of these respective departments will determine the potential risks to participants, community impacts, the level of emergency support required, and any additional resources which may be required. Applicant will bear all related costs of expenses for such additional resources.

14.18.130 Indemnification agreement.

Prior to the issuance of a Special Event Permit, the permit applicant or the authorized officer of the sponsoring organization must sign an agreement to reimburse the City for any costs incurred by it in repairing damage to City property or private property occurring in connection with the Event and proximately caused by the actions of the permittee or sponsoring organization, its officers, employees, agents or volunteers, or any person who was under the permittee's or sponsoring organization's control insofar as permitted by law. The agreement shall also provide that the permittee or sponsoring organization shall defend the City against, and indemnify and hold the City harmless from, any liability to any persons resulting from any damage or injury occurring in connection with the permitted Event proximately caused by the actions of the permittee or sponsoring organization, its officers, employees, agents, or volunteers, or any person who is under the permittee's or sponsoring organization's control insofar as permitted by law.

14.18.140 Insurance.
(1)Liability. The applicant or sponsor of an Event must possess or obtain public liability insurance to protect against loss from liability imposed by law for damages on account of bodily injury or property damage arising from the Event. Such insurance shall 207

13 name on the policy or by endorsement as additional insureds the City of Placentia, its officers, officials, employees and agents. Insurance coverage must be maintained for the duration of the Event. Coverage shall include, but is not limited to, a comprehensive general liability insurance policy issued by an insurance carrier approved by the City's Risk Manager with minimum limits of $1,000,000.00 combined single limit bodily injury and property damage for each occurrence, or at such limits determined to be necessary by the City’s Risk Manager.
(2)Food and beverage. If food or nonalcoholic beverages are sold or served at the Event, the policy must also include an endorsement for products liability in an amount not less than $1,000,000.00, or at such limits determined to be necessary by the City’s Risk Manager. If alcoholic beverages are sold or served at the Event, the policy must also include an endorsement for liquor liability in an amount not less than $1,000,000.00. (3)Automobile. If the Event involves the use of licensed motorized vehicles, the policy must also include an endorsement for automobile liability in an amount not less than $1,000,000.00, or at such limits determined to be necessary by the City’s Risk Manager. (4)Certificates of insurance. A copy of the policy or a certificate of insurance along with all necessary endorsements must be filed with the City's Risk Manager no less than ten (10) business days before the date of the Event unless the City's Risk Manager for good cause waives the filing deadline. The Special Event Permit shall not be issued by the City Administratoruntil after the insurance policy or certificate of insurance along with the necessary endorsements have been filed by the applicant or sponsor and approved by the City's Risk Manager.
(5)Additional insured endorsement. The City of Placentia, its officers, employees, representatives, attorneys, and volunteersshall be named as additional named insureds with respect to liability arising out of activities performed by or on behalf of the applicant in connection with the Event as well as for automobiles owned, leased, hired, borrowed or used in connection with the Event.

14.18.150 Cleanup deposits for Events.
(1)Cleanup deposit. The applicant or sponsor of an Event shall be required to provide a cleanup deposit prior to the issuance of a Special Event Permit. The cleanup deposit shall be anamount based on the reasonable anticipated costs to be incurred by the City, taking into account the same or similar eventsoccurring previously. (2)Refund. The cleanup deposit shall be returned after the Event if the area used for the Event has been cleaned and restored to the same condition as existed prior to the Event. If the actual cost for cleanup is less than the estimated cost, the applicant will be refunded the difference. Should the amount of the bill exceed the cleanup deposit, the difference shall become due and payable to the City upon the applicant's receipt of the bill.
208

14 (3)Waiver. The cleanup deposit requirement may be waived by the City Administrator if the applicant or an officer of the sponsoring organization establishes to the satisfaction of the City Administrator that such requirement is not necessary. (4)Appeals. If the applicant or sponsor disputes the cleanup charge, he/she must appeal to the City Administratorwithin five(5)calendar days after receipt of the bill or the charge shall be deemed reasonable. The decision of the City Administrator shall be final unless appealed pursuant.

14.18.160 Cost recovery.
(1)Except as provided herein or when waiver is approved by the City Council, the City Administratorshall charge for the cost of all City personnel involved in the Event or in the permit processing. The cost shall be based on the approved cost recovery schedule set by the City Council in the resolution governing fees and charges, or the actual cost of such personnel if not referenced in the resolution. Actual charges may also be made for the use of City equipment and other non-personnel expense for any Event. The City Administratorshall require prepayment of such fees for anEventor a reasonable estimate thereof at the time the completed application is approved, unless the City Administrator for a good cause extends the filing deadline or time for payment as prescribed herein or (b) the City waives all or part of the expense reimbursement as prescribed herein. The reasonable estimate may be based on cost incurred by the Cityin prior years for the same or similar events.
(2)The issuance of the permit pursuant to this Chapter in no wayobligatesor requires the City Administrator to provide any City services, equipment or personnel in support of an Event.
(3)The City's right to seek reimbursement may be waived by the City Council under the following conditions:
a.A public purpose will be served and the Event provides a benefit to the citizens of the City; and
b.The nature of the Eventis such that it is determined the permittee is unable does to recover sufficient revenue from the Event to repay the City costs.

Factors to be considered in determining whether a public purpose is served shall include:
whether the Event is organized and conducted by a tax exempt non-profit organization which operates from or provides substantial services within the City, whether the organization provides a benefit to the general public, and does not exclude participation by the general public (notwithstanding an admission or participation fee),and whether the services provided by the City will improve crowd or Event control and general public safety.
(4)If after issuance of the permit but prior to the occurrence of the Event, the Chief of Police determines that there is a need to provide additional police services, equipment or 209

15 personnel in direct support of the Event, the additional cost may be borne by the permittee. Failure to pay the additional cost may be grounds for revocation of the permit and/or grounds for refusal to issue future permits.

14.18.170 Appeal procedure.
(1)Grounds. The applicant shall have the right to appeal:
a.Denial of a permit.
b.A permit condition.
c.A determination that the applicant's insurance policy does not comply with the requirements specified in Section 14.18.140.
d.The cleanup deposit requirement as specified in Section 14.18.150. e.The special security assignment and security plan requirement as specified in Section 14.18.110.
f.The cost recovery requirement as specified in Section 14.18.160. (2)Filing. A notice of appeal stating the grounds of appeal with specificity shall be filed with the City Clerk within ten (10) calendar days after mailing or personal delivery of a notice of the action to be appealed. The appeal must be filed no later than Tuesday, 12:00 noon, in order to qualify to be placed on the City Council's next regular meeting agenda.
(3)Hearing. The City Council shall hear the applicant or a designated representative and receive any relevant information and documents. The decision of the City Council shall be final.
(4)City Administrator. If there is insufficient time for a timely appeal to be heard by the City Council prior to the date on which the Event is scheduled, the applicant may, at his or her option, request that the City Clerk schedule the appeal before the City Administrator. The City Administrator or his/her designee shall hold a hearing no later than two (2) business days after the filing of the appeal, and will render his/her decision no later than one (1) business day after hearing the appeal. If the appeal is heard before the City Administrator, the City Administrator’sdecision shall be final. (5)Fees. A fee in an amount established by resolution of the City Council shall be paid at the time of the filing of the notice of appeal.
210

16 14.18.180 Violations.
(1) Violations of this Chapter shall be charged to the applicant and/or sponsor of the Event pursuant to Chapters 1.08 (General Penalty) and 1.10 (Administrative Penalties) of this Code, as well as any other remedies available to the City at law or equity. (2)In addition to the penalties provided for in Chapters 1.08 (General Penalty) and

1.10 (Administrative Penalties) of this Code, sponsors, applicants, or participants of an Event may be cited and/or ejected from the public property for violations of this Chapter after notice and an opportunity to cure the violation.
(3)In the event that the permittee violates any condition of the permit issued, the permittee may lose the ability to apply for a Special Event Permit within one year of the Event for which the violation occurred and/or any Event for which the applicant is the same as the permittee.

14.18.190 Revocation.

A Special Event Permit can be revoked by the City Administratorfor any of the following reasons:
(1)Failure to comply with any permitting requirements or conditions of approval. (2)Knowingly providing false, misleading, or fraudulent information. (3)Failing to pay required fees, charges, or deposits.
(4)Failing to agree to the indemnification provisions or failing to provide proof of insurance to the extent required.
(5)The Event materially changes after a permit has been approved.

14.18.200 Interfering with activity prohibited.
(1)It is unlawful for any person to obstruct, impede or interfere with any authorized assembly, person, vehicle or animal participating in an Event for which a Special Event Permit has been issued.
(2)No person shall drive a vehicle between vehicles or person traversing the route of a parade, assemblages or Events authorized by a permit when such vehicles or persons are in motion.
(3)No person shall park along or within any portion of the route or side of an Event authorized by a permit, when the route of a parade, assemblage or Event has been posted as a no-parking zone.
211

17 14.18.210 Rules and regulations.

The City Administrator is authorized to promulgate additional policies, rules and regulations that are consistent with and that further the provisions set forth within this Chapter and the provisions of law that pertain to the conduct and operation of anEvent.

The City Administrator may, at his/her discretion, delegate any or all of the functions hereunder, subject to all of the conditions of this Chapter.

14.18.220 Unlawful use of City name.

It is unlawful for any Event organizer to use in the title of the Event the words "The City of Placentia" or "City of Placentia", or facsimile of the seal or logo of the City of Placentia without City's written authorization.

14.18.230 Applicability.

The provisions of this Chapter shall apply to completed applications submitted on or after the effective date of this ordinance.

14.18.240 Severability.

If any portion of this Chapter is for any reason held to be invalid, such decision shall not affect the remaining portions of this Chapter. The City Council hereby declares that it would have adopted the Chapter or any portion thereof, irrespective of the fact that one or more portions be declared invalid, and to the extent such portions can be given effect without the invalid provisions or portions thereof shall be severable.

SECTION 6. Environmental Compliance: Pursuant to the provisions of the California Environmental Quality Act ("CEQA") (California Public Resources Code Sections 21000 et seq.) and State CEQA guidelines (Sections 15000 et seq.) the ordinance is not a "project" and further, that it can be seen with certainty that there is no possibility that the ordinance in question may have a significant effect on the environment, either directly or indirectly, and that therefore no environmental review under the CEQA is required, pursuant to CEQA Guidelines Section 15061 (b)(3).

SECTION 7. Severability: If any section, paragraph, sentence, clause, phrase or portion of this Ordinance is held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed severable and such holding shall not affect the validity of the remaining portions hereof. The Mayor and City Council of the City of Placentia hereby declares that it would have adopted this ordinance irrespective of the invalidity of any particular portion thereof and intends that the invalid portions should be severed, and the balance of the ordinance be enforced.

SECTION 8. Certification: The Mayor shall sign and the City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same, or the summary 212

18 thereof, to be published and posted pursuant to the provisions of law and this Ordinance shall take effect thirty (30) days after passage.

INTRODUCED at a regular meeting of the City Council of the City of Placentia held on ______ __, 2025.

PASSED, APPROVED AND ADOPTED this ____ day of ____, 2025.

Kevin Kirwin, Mayor
ATTEST:
_________________________________
Robert S. McKinnell, CityClerk
I, Robert S. McKinnell, City Clerk of the City of Placentia, do hereby certify that the foregoing Ordinance was introduced at a regular meeting of the City Council of the City of Placentia, held on the _______ day of _______ 2025and adopted at aregular meeting of the City Council of the City of Placentia, held on the ___ day of ______, 2025 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
213

Agenda Item No: 1.h

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Teri Knutson
From: Police Department
Subject:

Retirement and Ownership Transfer of Police Service Dog Financial Impact:

Fiscal Impact:

Expense: $0.00
Offsetting Revenue: $1.00
Summary:

Police Service Dog “Champ” is six years old. After several years of loyal and exemplary service with the Placentia Police Department, “Champ” has reached the end of his service career due to unforeseen medical issues. The Police Department is requesting approval from City Council to transfer ownership of “Champ” to Police Officer Zachary King.

Recommendation:

Recommended Action: It is recommended that the City Council take the following action to:

1. Approve the "Release and Waiver of Liability and Indemnity Agreement" authorizing the transfer of ownership of retired Police Service Dog “Champ” to Officer Zachary King: and

Strategic Plan Statement:

This item is consistent with the City Council approved Strategic Plan Goal 2, to ensure that Public Safety Continues to be a High Priority.

Discussion:

Police Service Dog "Champ" is 6 years old and has served the City of Placentia for approximately 5 years. Champ has had a distinguished career as both a Patrol and Narcotics Detection dog. During Champ’s length of service, he has been involved in numerous felony arrests and apprehensions as well as illicit drug seizures. At six years of age, Champ is slowing down and has developed spine issues that will only worsen. It has been recommended that Champ retire now so he can have a decent quality of life. It has been department practice, since inception of the canine program, to transfer ownership of the canines that have reached the end of their active service life, to their handlers or former handlers for a nominal sum. Transfer of ownership is also standard practice among other law 214

enforcement agencies. This practice is in the best interest of the animal and removes the possibility of any potential liability to the City. Council has approved such transfers in the past when service dogs have reached an age or developed medical conditions, which prevent their continued service.

Police Officer Zachary King, Champ’s handler for the Police Department wishes to purchase ownership of Champ and the City wishes to divest itself of both ownership and vicarious or direct liability for Champ. Champ should be released to Officer King as per the contract.

Officer King will purchase Champ for the sum of one dollar ($1.00). The required Release and Waiver of Liability and Indemnity Agreement has been reviewed and approved by the City Attorney.

Fiscal Impact Summary:

There is no expense to the City and the City will receive one dollar ($1.00) from the sale of Police Service Dog Champ to Police Officer Zachary King.

Attachments
Retired K9 Purchase - Waiver Agreement (003).doc
215

City of Placentia
PSA No.ATTACHMENT 11

CITY OF PLACENTIA
“RETIRED” POLICE DOG RELEASE AND WAIVER OF LIABILITY AND

INDEMNITY AGREEMENT
This Agreement is made and entered into this 6th day of May 2025, by and between the City of Placentia, a Municipal Corporation and Charter City (hereinafter referred to as “CITY”) and Officer Zachary King (hereinafter referred to as “PURCHASER”).

In consideration of the sum of one dollar ($1.00), and the transfer of ownership of a certain canine, “Champ” a (hereinafter referred to as “DOG”), the PURCHASER accepts full responsibility, ownership, and control of the DOG and promises, agrees, and covenants to the following waivers, release, and agreement to indemnify CITY, its officials, officers, employees,and agents (collectively the “INDEMNIFIED PARTIES.”)

1.Waiver and Release. PURCHASER hereby waives all actions (whether legal, equitable or declaratory in nature), proceedings, (whether in courts or administrative bodies), alternative dispute resolution procedures (whether arbitration, mediation or otherwise), demands, claims, and causes of action, and other means of recovery, of whatever nature, for injuries to person (including without limitation death, dismemberment and emotional distress), or damages (whether to person, property or business and including without limitation all forms of monetary recovery, whether for general, special, compensatory, or punitive damages, loss of earnings, loss of earning capacity, loss of profits or other damages of whatever nature), arising from the actions of or in any way related to the DOG from the date of this Agreement. PURCHASER expressly acknowledges that he is familiar with Section 1542 of the California Civil Code which provides:

PURCHASER expressly waives and relinquishes any right and benefit which he or she may have under Section 1542 of the California Civil Code, or any State or federal statute or common law principle to similar effect, to the full extent that such rights and benefits may be lawfully waived pertaining to the subject matter of the waiver and release set forth in this paragraph. PURCHASER understands and acknowledges the significance and consequences of this specific waiver of Section 1542 of the California Civil Code.

2.Indemnity and Hold Harmless. PURCHASER shall indemnify, defend (with legal counsel selected by CITY) and hold the INDEMNIFIED PARTIES, and each of them, harmless from and against any actions (whether legal, equitable or declaratory in nature), proceedings (whether in courts or administrative bodies), alternative dispute resolution procedures (whether arbitration, mediation, or otherwise) demands, claims and causes of action of whatever nature, costs and expenses (including attorneys fees), judgments, order, decrees, liens and other 216

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PSA No.ATTACHMENT 12
encumbrances, liabilities, injuries to person (including without limitation, death, dismemberment, and emotional distress), damages (whether to person, property, or business including without limitation, all forms of monetary recovery, whether for general, special, compensatory, or punitive damages, loss of earnings, loss of earning capacity, loss of profits or other damages of whatever nature), arising from the actions of or in any way related to the DOG from the date of this Agreement.

3.Notice of Claims.PURCHASER shall provide written notice to CITY within ten (10) days of the service on or delivery to PURCHASER of any claim, demand, suit, action, or other proceeding arising out of or in any way related to the subject matter covered under this Agreement.

4.Interpretation and Severability.PURCHASER further expressly agrees that the foregoing release, waiver, and indemnity agreement is intended to be as broad and inclusive as is permitted by the law of the State of California and that if any portion thereof is held invalid, it is agreed that the balance shall, notwithstanding, continue in full force and effect. This Agreement shall not apply to any actions, proceedings, demands, claims, and causes of action arising from the actions of the DOGoccurring before the date of the Agreement.

The undersigned is fully aware of the training the DOG received and the nature of the work that the DOG performed during the period of ownership by the CITY and understands the need to provide the DOG with suitable shelter and reasonable surroundings in keeping with its training and work experience.

PURCHASER also hereby accepts the following conditions of sale.

1. The PURCHASER will not sell or give away the DOG, without the written approval of the CITY.

2. The PURCHASER will use the DOG only as a pet but may train the DOG and enter competitions.

3. The PURCHASER will not use the DOG as a detection, rescue, or service animal in any capacity, without written approval of the CITY.

4. The PURCHASER assumes full responsibility for the care, maintenance, food, housing, medical and any andall other expenses that result from or arise out of the PURCHASER’s ownership of the DOG.

5. CITY will have no further responsibility or liability for the DOG or the DOG’s care with exception of any unpaid veterinary expenses incurred by the DOG up to the date of retirement shall be the responsibility of the CITY. These veterinary expenses shall include any unpaid balance currently being considered by the City and any other expenses either known or unknown at the time of retirement.

6. The PURCHASER will obtain and maintain in force a Homeowner’s or Renter’s Insurance Policy, which specifically covers the breed of DOG which you have, 217

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PSA No.ATTACHMENT 13
issued by a casualty carrier licensed in this state, in the minimum amounts of $100,000 per claimant and $300,000 per incident or event.

PURCHASER represents that he has had an opportunity to read this Agreement and seek the advice of independent legal counsel and is entering into the Agreement voluntarily.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first set forth above:
_________________________ __________________________ Brad Butts Thomas Hatch Chief of Police Interim City Administrator _________________________
Zachary King
Purchaser
ATTEST: _________________________
Robert S. McKinnell, City Clerk
Approved as to form:
_________________________
Christian Bettenhausen,
City Attorney
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Agenda Item No: 2.a

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Jeannette Ortega
From: Administrative Services
Subject:

Public Hearing Regarding the Annexation of Territory to Existing Community Facilities District No. 2024-1 (Old Town Maintenance Services) and Authorize Special Tax Annexation No. 1 for 201 S. Bradford Avenue, APN 339-365-23
Financial Impact:

Fiscal Impact:

Projected Annual Revenue: $427.52 (CFD for Old Town Maintenance Services) Summary:

On March 5, 2024, the City Council adopted Ordinance No. O-2024-03, an Ordinance of the City Council of the City of Placentia, California, Levying Special Taxes within the City of Placentia Community Facilities District No. 2024-1 (Old Town Maintenance Services) to provide a non-General Fund and sustainable funding source to pay for the ongoing maintenance and repairs of the public streetscape improvements as specified in the Streetscape Master Plan for Old Town Placentia. Staff recommends that the City Council annex the property at 201 S. Bradford Avenue (APN 339-365-23) to the Community Facilities District No. 2024-1 (Old Town Maintenance Services).

Recommendation:

Recommended Action: It is recommended that the City Council take the following action to:

1. Open the Public Hearing concerning the annexation of 201 S. Bradford Avenue; and

2. Receive the Staff Report, consider all public testimony, ask questions of Staff; and

3. Conduct election for annexation of 201 S. Bradford Avenue to Community Facilities District No. 2024-1 (Old Town Maintenance Services); and

4. Close the Public Hearing; and

6. Authorize inclusion of the annexed territory for Community Facilities District No. 2024-1 (Old Town Maintenance Services) for Fiscal Year 2025-26 on the Orange County Secured Property Tax Roll.

Strategic Plan Statement:

This item is consistent with the City Council approved 5-Year Strategic Goal to:
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Promote Community and Economic Development, as Objective Number 3.7 to continue to establish Old Town Historic District/Business Improvement District. This agenda item will specifically result in the funding mechanism needed to preserve and maintain the future reconstruction of the public infrastructure in Old Town Placentia.

Discussion:

In 1978, California voters enacted Proposition 13, which limited the ability of local public agencies to increase property taxes based on a property’s assessed value. In 1982, the Mello- Roos Community Facilities Act of 1982 (“Act”) was created to provide an alternate method of financing public infrastructure and services. Under the Act, a Community Facilities District (“CFD”) may fund public improvements with a useful life of five (5) years or more, such as park and recreational facilities, streets, sewer systems, schools, libraries, childcare facilities, and other public infrastructure. CFDs may also fund the maintenance and servicing of public landscape areas, parks, streetlights, storm drain systems, and public safety services.

On July 11, 2017, the Placentia City Council approved the adoption and the Old Town Revitalization Plan. The Old Town Revitalization Plan includes a comprehensive Streetscape Master Plan. The Streetscape Master Plan dictates the specific amenities for the Old Town area, so that these elements will be consistent throughout and give the area a sense of place and a feeling of cohesiveness. These include widened sidewalks, landscape enhancements, new trees, bike racks, lighting, trash receptacles, bollards and seating.

In 2020, the City, in partnership with the County of Orange, established an Enhanced Infrastructure Financing District (EIFD). The purpose of the EIFD is to create a funding mechanism that can facilitate the construction of the Streetscape Master Plan in Old Town Placentia.

On January 23, 2024, the City Council adopted a Resolution of Intention to establish the proposed City of Placentia Community Facilities District No. 2024-1 (Old Town Maintenance Services) (“CFD”) (Resolution No. R-2024-04). The City Council also adopted a Resolution of Intention to allow for Future Annexation of territory to the CFD (Resolution No. R-2024-05). A public hearing was set for March 5, 2024, to discuss the formation of the CFD and future annexation of territory.

On March 5, 2024, the City Council held a public hearing to discuss the formation of the CFD and future annexation of territory and ordered a special election. After the Special Tax Election hearing, the City Council adopted Resolution No. R-2024-16 which declared the Results of the Special Election, determined the Validity of Prior Proceedings, and directed the Recording of Notice of Special Tax Lien. The City Council introduced Ordinance No. O-2024-03, levying the Special Taxes within the City of Placentia Community Facilities District No. 2024-1 (Old Town Maintenance Services).

The CFD Report provides a description of the Services to be funded by the CFD and an estimate of the fair and reasonable cost of the Services and incidental expenses of the CFD.

These services include maintenance of trees and landscape, catch basins, electricity, lighting, irrigation costs, traffic signs, sidewalks, furnishings, tools and supplies, and staff salaries. The CFD Report also shows the boundaries of the proposed CFD and the affected assessor ’s parcels. The CFD boundary map and future annexation area of the CFD was recorded on February 6, 2024, in the Office of the County Recorder of Orange County, California in Book 220

109, page 40-41 M/M of Maps of Assessment and Community Facilities Districts (Instrument No. 2024000026763).

The proposed tax to be levied is based upon a Rate and Method of Apportionment analysis.

The analysis indicates that the tax rate needed to maintain the Old Town public infrastructure improvements in FY 2024-25 is $0.0792 per land area square footage for properties that are undergoing rehabilitation/remodeling per year. Since the area is completely built out and is historic in nature, it is anticipated that most properties in Old Town will be rehabilitated/remodeled vs. new construction/development. The "Rehab/Remodel Property" means all Assessor ’s Parcels of Existing Building/Structure Property for which a building permit with a construction valuation greater than $25,000 as determined by the CFD Administrator.

Annexation Process
Resolution No. R-2024-05 was adopted to allow for future annexation of territory to the CFD through a streamlined and expedited process. Annexation to the CFD will only require a petition from the property owners within the area to be annexed and a public hearing to count the votes and annex the project into the pre-established district.

Property
The landowner of Assessor's Parcel Number 339-365-23 at 201 S. Bradford Avenue, Placentia, CA 92870 has submitted to the City a petition requesting and approving annexation of that parcel (“Annexation Parcel”) to the CFD (Attachment No. 1). The City’s Planning Division has processed a use permit modification application for the outdoor patio improvements under the category Rehab/Remodel Property with a construction valuation of $150,000. The conditions of approval requires annexation into the CFD prior to the issuance of their building permit as it exceeds the $25,000 construction valuation of the “Rehab/Remodel Property” for the Old Town CFD.

Fiscal Impact Summary:

The annexation of the property into the Old Town CFD is projected to generate $427.52 in revenue for Fiscal Year 2025–26. Combined with existing property in the CFD, this results in a total annual revenue of $1,489.52. These recommended actions have no fiscal impact on the General Fund.

Attachments
Property Owner Petition 201 S. Bradford Avenue.pdf
Annexation Reso 201 S. Bradford Avenue Sandoval 2025.docx Public Hearing Old Town CFD Annexation.pptx
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RESOLUTION NO. 2025-16

A RESOLUTION OF THECITY COUNCIL OF THECITY OF

PLACENTIA, CALIFORNIA, ORDERING THE

ANNEXATION OF TERRITORY TO ITS COMMUNITY
FACILITIES DISTRICT NO. 2024-1 (OLD TOWN

MAINTENANCE SERVICES) AND APPROVING THE

AMENDED MAP FOR SAID DISTRICT
A. Recitals.
(i).The City Council of the City of Placentia (“City Council”), by adoption of Resolution No. 2024-13, established the City’s Community Facilities District No. 2024-1 (Old Town Maintenance Services) (“District”) pursuant to the Mello-Roos Community Facilities Act of 1982 (Government Code Section 53311 et seq.) (the “Act”). (ii).The City Council, by adoption of Ordinance No. O-2024-03, levied an annual special tax against all non-exempt parcels of real property within the District (“Special Tax”) to maintain, service, clean, repair and/or replace landscaped and other areas within the District.
(iii).The City Council, by adoption of Resolution No. 2024-15, designated all territory within the City of Placentia to be a Future Annexation Area for the District. (iv).Pursuant to Resolution No. 2024-15, territory located within the Future Annexation Area may be annexed to the District upon the unanimous approval of the owner or owners of each parcel or parcels at the time that the parcel or parcels are annexed, without additional hearings.
(v).The landowners of Assessor’s Parcel Number 339-365-23 at 201 S.

Bradford Avenue, Placentia, CA 92870 has submitted to the City a petition unanimously requesting and approving annexation of that parcel (“Annexation Parcel”) to the District. (vi).A boundary map entitled “Amended Map No. 2025-01 of Community Facilities District No. 2024-01 of the City of Placentia, County of Orange, State of California”, showing the extent of the proposed annexation, is included as Exhibit “A” to this Resolution and incorporated herein by reference (Boundary Map”). (vii).The City Council desires to annex the AnnexationParcel to the District.

B. Resolution.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:
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1.Recitals. The above recitals are all true and correct and are herein incorporated.

2.Special Election. A special election was held on May 6, 2025, and the landowners of the Annexation Parcel unanimously voted to be annexed to the District.

The City Council hereby certifies the results of the special election. The City Council hereby finds and determines that all proceedings and actions taken by the City Council pursuant to the Act were and are valid and in conformity with the Act.

3.Annexation Ordered. The Annexation Parcel is hereby added to and part of the District with full legal effect. The Annexation Parcel is subject to the Special Tax levied in connection with the District. For reference, a copy of the rate and method of apportionment for the Special Tax is attached hereto as Exhibit B.

4.Description of Services. The following is a general description of the services provided in the CFD:
a.Maintenance and lighting of parkways, streets, roads, public parking lots and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to streetlights; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; and
b.Maintenance (including irrigation and replacement) of landscaping vegetation and trees situated on or adjacent to parkways, streets, roads, public parking lots and open space. Maintenance and repair of irrigation facilities; planting, replanting, mowing, trimming, irrigation and fertilization of grass, trees, shrubs, and other plants and vegetation; and c.Maintenance and replacement of public signage and wayfinding signage, directional signage; and
d.Graffiti removal from and maintenance and repair of public structures situated on parkways, streets, roads, public parking lots and open space; and
e.Furnishing, maintenance, repair or replacement of equipment, apparatuses, fixtures or facilities; and
f.Maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts and similar facilities. Maintenance services may include, but are not limited to, the repair, removal or replacement of all or part of any of the water quality improvements within the public right-of-way; clearing of inlets and outlets; erosion repairs; and 237

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cleanup to improvements, and other items necessary for the maintenance; and
g.Public street sweeping and refuse services on the segments of the arterials.

5.Amended Boundary Map. The Boundary Map attached hereto as Exhibit “A” is hereby approved. This map amends, and does not supersede, the existing maps of the District. The City Council directs that said map be filed with the Orange County Recorder pursuant to Section 3113 of the Streets and Highways Code.

6.Notice of SpecialTax Lien. The City Council directs that a revised notice of special tax lien be recorded pursuant to Section 3117.5 of the Streets and Highways Code with respect to the Annexation Parcel associated with the Boundary Map.

7.Severability. Should any provision, section, paragraph, sentence or word of this Resolution be rendered or declared invalid by any final court action in a court of competent jurisdiction or by reason of any preemptive legislation, the remaining provisions, sections, paragraphs, sentences or words of this resolution as hereby adopted shall remain in full force and effect.

8.Effective Date. This Resolution shall be effective immediately upon adoption.

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

APPROVEDandADOPTEDthis6th dayof May,2025.

Kevin Kirwin, Mayor

ATTEST:
_________________________________
Robert S. McKinnell, City Clerk
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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 6th day of May 2025 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
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EXHIBIT A
Amended Map
Annexation No. 1
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EXHIBIT B

RATE AND METHOD OF APPORTIONMENT FOR

CITY OF PLACENTIA
COMMUNITY FACILITIES DISTRICT NO. 2024-1
(OLD TOWN MAINTENANCE SERVICES)
A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels in City of Placentia Community Facilities District No. 2024-1 ("CFD No. 2024-1") and collected each Fiscal Year commencing in Fiscal Year 2023-2024, in an amount determined by the City Council of the City of Placentia through the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 2024-1, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

A.DEFINITIONS
The terms hereinafter set forth have the following meanings:
"Acre" or "Acreage" means the land area of an Assessor’s Parcel as shown on an Assessor’s Parcel Map, or if the land area is not shown on an Assessor’s Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, or other recorded County parcel map.
"Act"means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses"means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2024-1: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the County or otherwise); the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2024-1 or any designee thereof related to an appeal of the Special Tax; and the City’s annual administration fees and third party expenses. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2024- 1 for any other administrative purposes of CFD No. 2024-1. "Assessor’s Parcel"means a lot or parcel shown in an Assessor’s Parcel Map with an assigned Assessor’s parcel number.
"Assessor’s Parcel Map"means an official map of the Assessor of the County designating parcels by Assessor’s parcel number.
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"CFD Administrator"means an official of the City, or designee thereof, responsible for determining and providing for the levy and collection of the Special Tax. "CFD No. 2024-1"means the City of Placentia Community Facilities District No. 2024-1 (Old Town Maintenance Services).
"City"means the City of Placentia.
"Consumer Price Index"means, for each Fiscal Year, the Consumer Price Index published by the U.S. Bureau of Labor Statistics for All Urban Consumers in the Los Angeles-Long Beach-Anaheim region, measured as of the month of December in the calendar year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Consumer Price Index shall be another index as determined by the CFD Administrator that is reasonably comparable to the Consumer Price Index for the Los Angeles-Long Beach- Anaheim region.
"Council" means the City Council of the City.
"County"means the County of Orange, California.
"Developed Property"means, for each Fiscal Year, all Taxable Property, excluding Existing Building/Structure Property, for which a building permit was issued after March 1, 2023 and prior to March 1 of the previous Fiscal Year for construction of a new building/structure.
“Existing Building/Structure Property” means, for each Fiscal Year, all Taxable Property, for which a building or structure existed on such property prior to March 1, 2023. "Fiscal Year"means the period starting July 1 and ending on the following June 30. "Hotel/Motel Property"means, for each Fiscal Year, all Assessor’s Parcels of Non- Residential Property for which a building permit has been issued for building a non- residential structure that constitutes a place of lodging providing sleeping accommodations and related facilities for travelers. Such related facilities may include, but are not limited to, on-site restaurants, retail establishments, conference rooms/areas, etc.
“Hotel/Motel Rooms”means, for each Assessor’s Parcel of Hotel/Motel Property, the number of hotel/motel rooms available for rent for the purpose of overnight lodging, as indicated on the building permit issued by the City. If such room data is not included on the building permit for an Assessor’s Parcel of Hotel/Motel Property, then the CFD Administrator shall rely on the site plan or other reasonable data sources as determined by the CFD Administrator.
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"Industrial Property"means, for each Fiscal Year, all Assessor’s Parcels of Non-Residential Property for which a building permit(s) was issued for construction of a non-residential structure(s) which is primarily used for: manufacturing, procession, fabricating, assembly, refining, repairing, packaging, or treatment of goods, material or produce; research and development; and/or warehousing and wholesale distribution of goods, material, or produce.
"Maximum Special Tax"means the Maximum Special Tax, determined in accordance with Section C below, that can be levied in any Fiscal Year on any Assessor’s Parcel of Taxable Property within CFD No. 2024-1.
"Multi-Family Residential Property"means any Assessor's Parcel of Residential Property for which one or more building permits have been issued for attached residential units, all of which are made available for rental, but not purchase, by the general public. "Non-Residential Floor Area"means, for Non-Residential Property, the total square footage of enclosed area within the perimeter of a non-residential structure located on such property,not including any space devoted to vehicle parking, walkway, overhang, patio, and areas incident thereto for which a building permit for new construction was issued after March 1, 2023 and prior to March 1 of the previous Fiscal Year. The determination of Non-Residential Floor Area shall be made by reference to the building permit(s) issued for such Assessor’s Parcel, or if square footage is not available from this source, as otherwise determined by the CFD Administrator. "Non-Residential Property"means, for each Fiscal Year, all Developed Property for which a building permit(s) was issued for the construction of a new building/structure with a non-residential use.
"Non-Retail Commercial Property"means all Assessor’s Parcels of Non-Residential Property not considered (i) Hotel/Motel Property, (ii) Industrial Property, (iii) Retail Commercial Property, or (iv) Office Property.
"Office Property"means, for each Fiscal Year, all Assessor’s Parcels of Non-Residential Property for which a building permit(s) was issued for construction of a non-residential structure(s) which is primarily used for: general, professional, and/or medical office space.
"Parcel Square Foot" or “Parcel Square Footage”means the land area, or Acreage multiplied by 43,560, of an Assessor’s Parcel as shown on an Assessor’s Parcel Map, or if the land area is not shown on an Assessor’s Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, or other recorded County parcel map.
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"Parking Lot Property"means, for each Fiscal Year, Assessor’s Parcels 339-394-06 and 339-394-07 as designated on the Assessor’s Parcel Map at the time of formation of CFD No. 2024-1 and any other Assessor’s Parcel that is not Public Property and for which a building permit has been issued for the construction of, or on which is located a garage, parking lot, or parking structure, as of March 1 of the prior Fiscal Year, and on which is located no other Developed Property, as determined by the CFD Administrator. "Property Owner Association Property"means, for each Fiscal Year, any Assessor’s Parcel within the boundaries of CFD No. 2024-1 that was owned by a property owner association, including any master or sub-association, as of March 1 of the prior Fiscal Year. "Proportionately"means, for Developed Property, Rehab/Remodel Property, and Parking Lot Property that the ratio of the actual Special Tax levy to the Maximum Special Tax is equal for all Developed Property, Rehab/Remodel Property, and Parking Lot Property.
"Public Property"means, for each Fiscal Year, any property within the boundaries of CFD No. 2024-1 that is (i) used for rights-of-way or any other purpose and is owned by or irrevocably offered for dedication to the federal government, the State of California, the County, the City or any other public agency as of March 1 of the prior Fiscal Year or (ii) encumbered by an unmanned utility easement making impractical its utilization for other than the purpose set forth in the easement as of March 1 of the prior Fiscal Year, provided however that any property leased by a public agency to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified in accordance with its use.
"Rehab/Remodel Property"means all Assessor’s Parcels of Existing Building/Structure Property for which a building permit with a construction valuation greater than $25,000, as determined by the CFD Administrator, was issued after March 1, 2023and prior to March 1 of the previous Fiscal Year to rehabilitate or remodel Existing Building/Structure Property.
"Residential Property"means all Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Retail Commercial Property"means all Assessor’s Parcels of Non-Residential Property for which the building permit was issued for a retail sales tax generating use or which is being used primarily for a retail sales tax generating use, as determined by the CFD Administrator, and not considered (i) Hotel/Motel Property, (ii) Industrial Property, or (iii) Office Property.
"Single Family Residential Property"means any Assessor's Parcel of Residential Property not considered Multi-Family Residential Property.
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"Special Tax"means the special tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Special Tax Requirement for Services. "Special Tax Requirement for Services"means that amount required in any Fiscal Year to: (i) pay directly for annual maintenance services that are authorized to be financed by CFD No. 2024-1; (ii) pay Administrative Expenses; less (iii) a credit for funds available to reduce the annual Special Tax levy, as determined by the CFD Administrator. "State"means the State of California.
"Taxable Property"means all of the Assessor’s Parcels within the boundaries of CFD No. 2024-1 which are not exempt from the Special Tax pursuant to law or Section E below. "Undeveloped Property"means, for each Fiscal Year, all Taxable Property not classified as Developed Property, Rehab/Remodel Property, Parking Lot Property, Taxable Property Owner Association Property or Taxable Public Property.
"Welfare Exemption"means, for each Fiscal Year, any Assessor's Parcel that is used exclusively for charitable, hospital, or religious purposes and that has a property tax welfare exemption as indicated in the County’s assessor’s roll finalized as of the last preceding January 1.

B.ASSIGNMENT TO LAND USE CATEGORIES
Each Fiscal Year, all Taxable Property within CFD No. 2024-1 shall be classified as Developed Property, Rehab/Remodel Property, Parking Lot Property, or Undeveloped Property and shall be subject to Special Taxes in accordance with the rate and method of apportionment determined pursuant to Sections C and D below.

Developed Property shall be further classified as Residential Property or Non-Residential Property. For Residential Property, the Special Tax will be based on the number of dwelling units as indicated on the building permit. For Non-Residential Property, the Special Tax will be based on the Non-Residential Floor Area or number of Hotel/Motel Rooms. For Rehab/Remodel Property and Parking Lot Property, the Special Tax will be based on the Parcel Square Footage.

C.MAXIMUM SPECIAL TAX

1.Developed Property, Rehab/Remodel Property, and Parking Lot Property a.Maximum Special Tax
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The Maximum Special Tax for Fiscal Year 2023-2024 for each Land Use Class is shown below in Table 1.

TABLE 1
Maximum Special Tax for Developed Property, Rehab/Remodel Property, and Parking Lot Property
For Fiscal Year 2024-2025
Land
Use
Class
Description Maximum Special Tax
1 Single Family Residential Property $329.04 per dwelling unit 2 Multi-Family Residential Property $303.17 per dwelling unit 3 Non-Retail Commercial Property $0.3100 per square foot of Non-Residential Floor Area 4 Retail Commercial Property $0.2146 per square foot of Non-Residential Floor Area 5 Office Property $0.3100 per square foot of Non-Residential Floor Area 6 Industrial Property $0.3100 per square foot of Non-Residential Floor Area 7 Hotel/Motel Property $237.99 per Hotel/Motel Room
8 Rehab/Remodel Property $0.0792 per Parcel Square Foot 9 Parking Lot Property $0.0688 per Parcel Square Foot
b.Increase in the Maximum Special Tax
On each July1, commencing on July 1, 2024, the Maximum Special Tax for Developed Property, Rehab/Remodel Property, and Parking Lot Property shall be increased based on the percentage change in the Consumer Price Index with a maximum annual increase of six percent (6%) and a minimum annual increase of two percent (2%) per Fiscal Year.
c.Multiple Land Use Classes
In some instances, an Assessor’s Parcel of Developed Property may contain more than one Land Use Class. The Maximum Special Tax for such Assessor’s Parcel shall be the sum of the Maximum Special Tax for all Land 246

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Use Classes located on that Assessor’s Parcel. The CFD Administrator’s allocation to each type of property shall be final.

2.Undeveloped Property and Existing Building/Structure Property The Special Tax shall not be levied on Undeveloped Property and Existing Building/Structure Property not classified as Rehab/Remodel Property or Parking Lot Property.

D.METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2023-2024 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement for Services and shall levy the Special Tax until the total Special Tax levy equals the Special Tax Requirement for Services. The Special Tax shall be levied each Fiscal Year as follows:

The Special Tax shall be levied Proportionately on each Assessor’s Parcel of Developed Property, Rehab/Remodel Property, and Parking Lot Property at up to 100% of the Maximum Special Tax.

E.EXEMPTIONS
No Special Tax shall be levied on Public Property, Property Owner Association Property, or any Assessor’s Parcel that has a Welfare Exemption. However, should an Assessor’s Parcel no longer be classified as Public Property, Property Owner Association Property, or have a Welfare Exemption, its tax-exempt status will, without the necessity of any action by the Council, terminate.

F.PREPAYMENT OF SPECIAL TAX
Prepayment of the Special Tax is not authorized.

G.APPEALS/INTERPRETATION
Any landowner or resident may file a written appeal of the Special Tax levied on his/her property with the CFD Administrator, provided that the appellant is current in his/her payments of Special Taxes. During the pendency of an appeal, all Special Taxes previously levied must be paid on or before the payment date established when the levy was made.

The appeal must specify the reasons why the appellant claims the Special Tax is in error.

The CFD Administrator shall review the appeal, meet with the appellant if the CFD Administrator deems necessary, and advise the appellant of its determination. If the CFD Administrator agrees with the appellant, the CFD Administrator shall eliminate or reduce the Special Tax on the appellant’s property and/or provide a refund to the appellant. If 247

Resolution R-2025-16

Page 13 of 13 ends

the CFD Administrator disagrees with the appellant and the appellant is dissatisfied with the determination, the appellant then has 30 days in which to appeal to the Council by filing a written notice of appeal with the Council, provided that the appellant is current in his/her payments of Special Taxes. The second appeal must specify the reasons for the appellant’s disagreement with the CFD Administrator’s determination. The CFD Administrator may charge the appellant a reasonable fee for processing the appeal.

Interpretations may be made by the Council by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment.

H.MANNER OF COLLECTION
The Special Tax will be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2024-1 may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor’s Parcels as permitted by the Act.

I.TERM OF SPECIAL TAX
The Special Tax shall be levied as long as necessary to meet the Special Tax Requirement for Services.
248

ANNEXATION INTO COMMUNITY
FACILITIES DISTRICT NO. 2024-1

OLD TOWN PLACENTIA
City Council Meeting
Public Hearing
May 6, 2025
249

On March 19, 2024, the City Council approved the
formation of the CFD for Old Town
The CFD will be used solely for the operation,
maintenance and servicing, including repair and
replacement, of public facilities within Old Town
Placentia (i.e. graffiti abatement, landscape,
streetlighting, traffic signs, storm drains, and refuse) Collected by the Orange County Tax Collector as
part of the normal County property tax bills
Each fiscal year, the special tax requirement will
determine the annual special tax levied (scheduled
for June 17th City Council Meeting)
Maximum Special Tax shall be adjusted annually by
the change in the Los Angeles-Long Beach-
Anaheim CPI, with a maximum annual increase of
2%
Properties that are eligible to be annexed into the
CFD will be done as soon as eligibility is determined
OLD TOWN CFDNO. 2024-1
250

CFDAPPLICABILITY
All properties that are existing in
Old Town are not automatically
included in the CFD
All new construction will be
annexed into the CFD(i.e., SFR,
Multi-Family, Non-retail, Retail,
Office, Industrial, & Hotel/Motel)
New Rehab/Remodel that
exceeds $25,000 construction
valuation as stated in the issuance
of a building permit will be
annexed into the CFD
251

ANNEXATION
The property at 201 S. Bradford
Avenue is going through
extensive patio rehabilitation,
which is within the “New
Rehab/Remodel” guidelines of
the Old Town CFD.

This property is eligible to be
included in the CFDand
Landowner has signed petition to
be included in the CFD
201 S. Bradford Avenue
Placentia, CA 92870
252

ANNEXATION CFDBOUNDARY MAP
253

CFDANNEXATION ACTION
Recommended Action:

It is recommended that the City Council take the following action to:

1.Open the Public Hearing concerning the annexation of 201 S. Bradford Avenue; and

2.ReceivetheStaff Report,considerallpublictestimony,askquestionsofStaff; and

3.Conduct election for annexation of 201 S. Bradford Avenue to Community Facilities DistrictNo.2024-1(Old TownMaintenanceServices);and

4.Closethe PublicHearing;and

5.AdoptResolutionR-2025-16,a Resolution ofthe CityCounciloftheCityofPlacentia, California,Ordering the Annexation of Territory to its Community FacilitiesDistrictNo. 2024-1 (Old Town Maintenance Services) and Approving the Amended Map for saidDistrict;and

6.Authorize Inclusion of the Annexed Territory for Community Facilities District No. 2024-1 (Old Town Maintenance Services) for Fiscal Year 2025-26 on the Orange CountySecuredPropertyTaxRoll.
254

Questions?
255

Agenda Item No: 3.a

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Jeannette Ortega
From: Administrative Services
Subject:

Study Session: Placentia Enhanced Infrastructure Financing District and the Old Town Streetscape Master Plan
Financial Impact:

Fiscal Impact:

Estimated range of $17 to $24 million in property tax increment over approximately 40 years.

Up to $59 million in net fiscal impact revenue to the City over approximately 50 years.

Summary:

In response to the elimination of redevelopment agencies, California Senate Bill 628, effective January 1, 2015, and California Assembly Bill 313, effective January 1, 2016, authorized public agencies to form Enhanced Infrastructure Financing Districts (“EIFDs”), which are public financing instruments designed to succeed former Redevelopment Agency financing mechanisms and provide more flexibility than Infrastructure Financing Districts (“IFDs”). An EIFD is a governmental entity, separate and distinct from the city or county that establishes it and is governed by a Public Financing Authority (“PFA”).

EIFDs can aid local government entities in funding public capital facilities, or other specified projects of communitywide significance, primarily by capturing Tax Increment (“TI”) revenue generated within the district. EIFDs provide an opportunity for agencies to issue bonds for an array of public infrastructure projects as well as supporting economic development efforts in specific areas. Those areas of particular interest to Placentia are in the Old Town Placentia Revitalization Plan area.

On June 18, 2019, the Placentia City Council, in accordance with EIFD law, adopted Resolution No. R-2019-28 approving the Infrastructure Financing Plan (“IFP”) for the EIFD.

The IFP specifically defines the boundaries of the EIFD, identifies the public infrastructure improvements, and the financial analysis of expected tax increment over the life of the EIFD to allow for the issuance of bonds to pay for the identified public infrastructure improvements.

However, a nascent EIFD bond market, the COVID pandemic, inflation, and related current economic conditions have contributed to delayed EIFD implementation and cost increases.

the Placentia EIFD. As a result, the existing financing structure approved by the City Council on June 18, 2019, will not facilitate private investment and will fall short of expected rate of Tax Increment (TI) growth. Subsequently, an amendment to the Infrastructure Financing Plan (“IFP”) for the EIFD was needed.

On April 18, 2023, the City Council held a Study Session to review the proposed amendments to the Infrastructure Financing Plan (“IFP”) for the EIFD. Since that time, City Staff, County Staff, consultants, and legal advisors have worked to formalize the proposed updates to the Amended IFP.

On March 5, 2024 the City Council adopted a resolution approving the amended Infrastructure Financing Plan (“IFP”) for the EIFD. The County Board of Supervisors (Board), at their Board meeting on March 12, 2024, unanimously approved a resolution to amend the Infrastructure Financing Plan for the City of Placentia EIFD. The amended IFP was approved by the Board of the Placentia EIFD Public Financing Authority on April 9, 2024 and May 14, 2024, respectively.

Tonight's Study Session is intended to review the recommendations by the Measure U Committee as well as review the status of the design of the Old Town Streetscape Master Plan and the EIFD financial analysis.

Recommendation:

Recommended Action: It is recommended that the City Council take the following actions to:

1. Receive and file the Staff Report and presentations; and

2. Ask any questions of the Measure U Committee and Staff; and

3. Provide direction to Staff as appropriate regarding the next steps in the EIFD Process.

Strategic Plan Statement:

This item is consistent with the City Council approved 5-Year Strategic Goal to Promote Community and Economic Development, under Objective #3.4, which is to Complete Financing Structure for Old Town EIFD.

Discussion:

In response to the elimination of redevelopment agencies, California Senate Bill 628, effective January 1, 2015, and California Assembly Bill 313, effective January 1, 2016, authorized the formation of EIFDs, which are public financing instruments designed to succeed the former Redevelopment Agency financing mechanism and provide more flexibility than IFDs. An EIFD is a governmental entity, separate and distinct from the city or county that establishes it and is governed by a PFA that is comprised of one or more members from the participating EIFD parties.

Unlike Redevelopment, other affected taxing entities are not required to forgo their TI for the district; participation is voluntary. Each tax sharing entity that chooses to join an EIFD has the option to allocate up to 100% of its portion of TI to the district. Under the EIFD law, school districts are precluded from participation.

EIFDs provide an opportunity for agencies to issue bonds for an array of public infrastructure projects as well as supporting economic development efforts in specific areas. The area of particular interest to Placentia is the infrastructure needed in and around the newly established Old Town Placentia Revitalization Plan. This area will require a significant investment of 257

infrastructure in order to attract developers to the area while improving the City’s housing stock and retail opportunities for the public. Land use designations in the area include residential, commercial, industrial, open space and parks. The area contains over 300 acres, which is approximately 7.1% of the City’s total 4,243 acres.

On June 18, 2019, the Placentia City Council, in accordance with EIFD law, adopted Resolution No. R-2019-28 approving the Infrastructure Financing Plan (“IFP”) for the EIFD.

However, a nascent EIFD bond market, the COVID pandemic, inflation, and related current economic conditions have contributed to delayed EIFD implementation and cost increases.

Specifically, the Old Town Streetscape Master Plan cost estimates have increased from approximately $8 million to $10.05 million, an increase of 25.6%. In addition, interest rates have risen, increasing the cost of debt service, particularly to a “first-time” debt issuer, such as the Placentia EIFD. As a result, the existing financing structure approved by the City Council on June 18, 2019, will not facilitate private investment and will fall short of expected rate of Tax Increment (TI) growth. Subsequently, an amendment to the Infrastructure Financing Plan (“IFP”) for the EIFD was needed.

Amended Infrastructure Financing Plan
The Amended Infrastructure Financing Plan (“IFP”) prepared by Kosmont Companies (“Kosmont”) for the Placentia EIFD includes tax increment revenue projections, a cap on the maximum tax increment revenue to be contributed to the EIFD by both the City and the County, bond authorization, a description of proposed facilities to be funded, a finding of communitywide significance, and a statement of the goals of the EIFD. As a participating taxing entity of the Placentia EIFD, the County Board of Supervisors had the opportunity to review the Amended IFP.

The key changes in the Amended IFP included the following:

1. Recalibration of the duration (term) of tax increment allocation:

Increase City maximum term from 20 to 40 years
Could end earlier if interest rates level out prior to bond issuance Increase County maximum term from 20 to 25 years, with option to extend to 30 only if needed
Provides adequate time for County to contribute its full share of tax increment (i.e., $3.547 million)
Additional 5 years only triggered if tax increment receipt levels perform worse than suboptimal projections
EIFD to terminate upon extinguishment of all EIFD debt, even if repaid early

2. Increase City’s maximum dollar allocation from $9,100,000 in tax increment up to $24,000,000 in increment (more likely $17-19M over 33-35 years needed), could be as low as $12M over 30 years in best-case interest rate scenarios Amount projected to enable full repayment of various financing structures evaluated, even under severely adverse issuance conditions

3. Limitation / focus on use of funds: EIFD tax increment limited to repayment of IFP projects costs & associated debt; excess amount would flow to General Funds of City and County.
258

On March 5, 2024 the City Council adopted a resolution approving the amended Infrastructure Financing Plan (“IFP”) for the EIFD. The County Board of Supervisors, at their Board meeting on March 12, 2024, unanimously approved a resolution to amend the Infrastructure Financing Plan for the City of Placentia EIFD. The amended IFP was approved by the Placentia EIFD Public Financing Authority on April 9th and May 14 th respectively.

Tax Increment Update
Kosmont prepared a tax increment analysis to determine district revenue potential based upon planned projects and future development potential. Based on this analysis, the City’s contribution is capped at 50% of its share of property tax increment (~6.8 out of 13.6 cents on the dollar) within the district boundary for a maximum of $24,000,000 total over the approximately 40-year district lifetime (estimated range of actual allocation is $17 to $24 million, depending primarily on interest rates). The County’s contribution is similarly capped at 50% of its share (~2.95 out of 5.9 cents) within the district boundary for a maximum of $3,547,000 total over the first 25 years of the district’s lifetime, with an option to extend to 30 years, only if needed. Both the City and County allocations would terminate sooner if project funding goals were achieved sooner than projected.

Below is a summary of the projected tax increment and the actual tax increment received since the formation of the EIFD:

Fiscal Year Projected TI Actual TI Difference
2021-22 $7,849 $13,408 $5,559
2022-23 $101,476 $51,291 ($50,185)
2023-24 $222,844 $212,187 ($10,657)
2024-25 $235,150 TBD TBD
TOTAL TI RECIEVED $267,886

Preliminary Bonded Indebtedness
K o s m o n t Financial Services provided a preliminary bonded indebtedness analysis with County’s participation and estimated EIFD revenues. The structure of the analysis is a City- issued 30-year lease revenue bond of approximately $10.5 million to net approximately $10.05 million in net proceeds. A total of approximately $19.1 million (principal and interest) would be repaid over 30 years with an average annual payment of approximately $676,000. The IFP amendment allows for up to 40 years to provide additional time for EIFD tax increment revenues to pay back debt service costs.

Financial Implication of Establishing Placentia EIFD
K o s m o n t concluded several regional financial implications for the establishment of the Placentia EIFD, including providing essential regional transportation infrastructure improvements, improved regional competitiveness for federal/state grant funds and support of the County’s Comprehensive Economic Development Strategy (e.g., job creation, quality of life improvement, promote environmental sustainability). Locally, based on the Kosmont gross economic impact analysis, approximately 5,364 construction jobs will be created, 258 permanent jobs will be created, $826 million in economic output from construction, and $38 million in annual ongoing economic output. Implementation of the Placentia EIFD is forecasted to create an acceleration of development and related fiscal revenues in the amount of 259

approximately $59 million in net fiscal impact to the City and $50 million in net fiscal benefit to the County (present value net fiscal benefit over 50 years).

Old Town Streetscape Master Plan Update
O n April 4, 2023, the City Council approved a Professional Services Agreement with HR Green Pacific (HR Green) for civil engineering design services related to the Old Town Placentia Streetscape Improvement Project. The agreement was authorized for a not-to- exceed amount of $608,594, with an additional 10% change order of $60,860. A total of $650,000 was budgeted in the FY 2022-23 Capital Improvement Program Budget for these design services.

As of now, HR Green is about 90% complete on the project design and has invoiced the City approximately $625,000 in services rendered.

To address necessary modifications related to fire truck turn radius requirements at specific locations on Bradford Avenue and Santa Fe Avenue, an additional $150,000 in funding is required to complete the remaining design services related to the Old Town Placentia Streetscape Master Plan.

Fiscal Impact Summary:

A s described above, preliminarily, it is projected that approximately $10.05 million could be generated in net bond proceeds utilizing City and County tax increment revenues over the approximately 40-year term of the Placentia EIFD to help fund core public infrastructure needed to support Placentia’s growth. The City’s contribution is capped at 50% of its share of property tax increment (~6.8 out of 13.6 cents on the dollar) within the district boundary for a maximum of $24,000,000 total over the approximately 40-year district lifetime (estimated range of actual allocation is $17 to $24 million, depending primarily on interest rates). The County’s contribution is capped at 50% of its share (~2.95 out of 5.9 cents) within the district boundary for a maximum of $3,547,000 total over the first 25 years district lifetime, with an option to extend to 30 years only if needed. Both the City and County allocations would terminate sooner if project funding goals are achieved sooner than projected.

The debt insurance structure approved by the County is for the City to loan $1 million to accelerate Project financing which would reduce bond issues size, debt service, improve security and reduce the bond interest rate. In this structure, the City would take the lead and issue its own 30-year Lease Revenue Bonds (“LRBs”) in lieu of the PFA. The City would provide property/building collateral for underlying LRB lease in this structure. The ultimate debt issuance structure would come before the City Council for separate approval at the appropriate time.

While the Placentia area would benefit from the infrastructure improvements, the formation of the EIFD results in a reallocation of TI (i.e., the City’s share of taxes levied on property within the district boundaries on that portion of the taxable valuation over and above the taxable valuation of the base year property tax roll) from the General Fund to pay for the Placentia infrastructure improvements.

The TI projections are based upon various assumptions made utilizing the future growth potential of the residential, commercial, and industrial development sectors in the area. Once the EIFD has terminated, the property tax increment revenue allocated to the EIFD will flow back into the City’s General Fund. The property tax generated up to the taxable valuation of 260

the base year tax roll will continue to flow to the City’s General Fund.

Las tly, an additional $150,000 in funding is needed to complete the civil engineering design services related to the Old Town Placentia Streetscape Master Plan.

Attachments
Citizens Oversight Committee Presentation
EIFD and Streetscape Presentation 5.6.2025.pptx
261

EnhancedInfrastructure
Financing District’s (EIFD)Potential
Impactonthe CityofPlacentia’s
FiscalSustainability
May 6, 2025
Glenn Casterline
Bob McKinnell
Joe Rasic
1 Citizens’ Oversight Committee
Evaluation of the
262

Motivation to Form an Enhanced
Infrastructure Financing District (EIFD)
•EIFDs have been formed to
–Dedicate a portion of property tax revenues to a specific improvement purpose •Finance infrastructure remediation/maintenance
•Improve infrastructure to attract increased private investment/redevelopment •Offer the possibility of forming partnerships to
gain investment from other entities with aligned
priorities
–Placentia EIFD is a partnership between City and County of Orange (the "County") 2 263

Purpose of the Placentia EIFD as it Relates
to Improving Fiscal Sustainability
•Formed in 2019 as a vehicle to finance
Enhanced Infrastructure Improvements in the
district’s identified boundaries
–In turn, increase/accelerate private investment
•Increase property valuation
•Increase property tax in perpetuity
•Provide sustainable source of increased revenue
•Improve fiscal sustainability
3 Note: The EIFD also may address other City non-financial goals, but those are outside this evaluation and not considered in the following analyses 264

Adopted Definition of Fiscal Sustainability
The City of Placentia will have achieved fiscal
sustainability when:
4 Forecasted revenues are able to fully
support forecasted expenditures
necessary to provide the desired level of
services for the foreseeable future while
maintaining adequate reserves to address
unforeseeable events
265

Reserves
•City Policy 460 establishes a desired unallocated cash reserve level of 25% of the operating budget
–Supports a minimum of 3 months expenditures
–Allows for year-to-year adjustments to budget
•Ability to cover unforeseen expenditure increases
–Provides a disaster recovery window
•Policy 460 provides a policy source to fund reserves
–Requires any new, ongoing, significant source of revenue to dedicate a specified amount of revenue to general fund reserves
5 266

History ofGeneralFundReserveLevel
•In the original Measure U plan, it was going to take 6-8 years to reach original goal of 17% of general budget
•Goal was reached much sooner with unanticipated
revenues from the CARES Act
–Transitory levels as high as 40%
–Allowed the goal to be raised to the current 25% level •Recent trend is to draw down reserves to support
budget
–Current FY24-25 year end projection is 18%
6 267

Foreseeable Future
•Methodology chosen is to look at 10 year forecasts
–Ensures the ability to allow for at least one complete business cycle (downturn)
•Future planning does not “plan” for a downturn, but allows for the downturn to be addressed by reserves •Assesses the ability of revenue growth rate to support expenditure growth rate •Current business cycle related to the pandemic is almost unprecedented in many ways (duration, level of government intervention, inflation effects) 7 268

DesiredLevelofServices
•Placentia residents have consistently expressed the desire to be a full services city –Public Safety
–Infrastructure Maintenance and Development
–Parks and Recreation Opportunities
–Community Services Programming
•Decisions have been made to provide these services internally, without using outside contract providers –Motivation was to maintain managerial control over costs as well as reap the economic advantages from “technology” or “model” improvements 8 269

Forecasted Expenditures
•City has varying levels of control over expenditures
–Legally mandated (“it is, what it is”)
–Market driven (“inflation driven”)
–Sole control (“ours to decide”)
•EIFD falls in this category
•Fiscal sustainability challenge is to control the absolute amount and growth of expenditures such that the
absolute amount and growth of revenues is adequate to
“pay the bills”
9 270

Forecasted Revenues
Problem - While expenditures are only partially controllable by the City, revenues are almost entirely uncontrollable by the City (City is the “tail” of the revenue dog)
10 Principal Revenue Sources
•Property Tax (growth rate largely statutorily determined by Prop 13’s 2% limit) –City's EIFD includes a partnership with the County of Orange allowing the City to receive a portion of the County's property tax received from the parcels within the EIFD ($3.5 million over EIFD lifetime) •Sales tax (growth rate tied to inflation, but not always in same direction) –Measure U is sales tax derivative
•Hotel Occupancy Tax (City sets the rate, economy determines the amount) •Franchise fees (City negotiations)
•Fee recovery revenues (City sets the rate, but can only recover identifiable costs)
271

Forecasted Revenues GrowthRate
11 •Calculated compounded growth rate consistent with entire City history under Prop 13
•Year-to-year variations due to inflation, business cycle dynamics (both positive and negative effects)
•Any expenditure growth rate that exceeds this level will require a compensating expenditure growth reduction to maintain
sustainability
•Absent an extraordinary revenue increase that is sustainable 272

Approach to Evaluating the Placentia EIFD
•Evaluate forecasted revenues, expenditures,
timeline, and effect on reserves for
reasonableness and completeness
•Identify financial risk areas and potential
magnitude of unfavorable outcomes
•Identify any risk mitigation strategies
•Draw conclusions/provide recommendations
where appropriate
12 273

WhatWas NotEvaluated
•Any non-financial costs or benefits of the plan
•Prioritization of EIFD relative to other City priorities •Any cross-benefits or expenditures related to the EIFD plan and other City plans •Oversight committee not in a position to effectively evaluate the validity of development forecast –Development forecast was generated with input and
oversight from subject matter experts
•KosmontFinancial Services
13 274

EIFD Timeline
•EIFD timeline is longer than the current fiscal sustainability forecast –Forecast shows net city-funded expenditures through
year 10
–Net city revenues are generated after year 10 and will continue in perpetuity 14 Timeline takeaway –Can the existing 10 year sustainability forecast support the forecasted EIFD net expenditures to reap the ongoing net revenue benefit?
“Invest now to leave something to the kids”
275

EIFD Revenues
•EIFD revenue estimates were generated based upon anticipated increases in property tax base, resulting in property tax revenue increase –Highly dependent upon size and timing of anticipated development •Includes EIFD dedicated revenues associated with City as well as County tax levy (50% of increased tax revenue) –County revenue capped at $3,547,000, city revenue unlimited •Revenue takeaway – Revenue forecast seems reasonable with near year forecasts satisfied with already completed or easily identifiable projects –Parametric risk assessment should be performed using 20% reduction in development value and 2 year delay in out-year projects 15 276

EIFD Expenditures
•Cost of infrastructure improvements originally
estimated at $9M, current estimate (2 years later) is
$10M
•EIFD expenditures will need to be supported by City
General Fund expenditures
–Initial $1M City loan to EIFD
•EIFD plan forecast includes repayment in out-years with interest –Debt Service on $10M City-guaranteed EIFD Lease Revenue Bonds
•Average city-funded yearly debt service of $120K for 10 years –$675K total debt service less average EIFD proceeds of $525K per year •Debt service covered by EIFD proceeds after year 10
16 277

Expendituretakeaway
•Initial $1M loan is not supported by current General Fund budget
•Debt Service would require General Fund support for as long as ten years, forecasted total debt service exposure $1.2M •Risk Mitigation –Initial $1M could be supported by delaying project and accumulating initial tax increments to reach $1M.

Debt Service could be reduced by adjusting size of Project. –Recommend bottom-up parametric analysis of cost/revenue benefit for projects sized $6M and $14M
–Determine timing delay necessary to accumulate $1M in initial EIFD tax increments
17 278

EIFD Impact on Reserves
•Current reserve forecast does not have excess reserves to support EIFD project •Any benefit to reserves occurs in the out-years
•Difficult to estimate the size of any negative impact on reserves absent the previously discussed risk issues •Reserve takeaway-Reserves can not be part of baseline plan. Completion of previous risk mitigation tasks would provide an estimate of any unplanned need for reserve funding requirements 18 279

Top-Level EIFD Plan Evaluation Conclusions
•Finding ways to use tools such as the EIFD is imperative to the City achieving sustainability –Relieve the City’s reliance upon organic property tax
revenue growth
–Develop significant, sustainable, new revenue sources
•EIFD Financial forecasts are reasonable, but lack
adequate parametric risk assessment analyses
•Present plan probably requires adjustment in
timing as well as scope
•Plan is attractive given the outside support of
County
19 280

EIFD Fiscal Sustainability Recommendations
•Given the importance of finding the City new
sustainable revenue sources, continue efforts to find
an EIFD plan that “closes”
•Perform recommended risk mitigation tasks to
possibly support adjusting the timing and scope of
the project
•Work with partners to ensure continued support and
overcome non-financial obstacles given possible
changes to plan
20 281

Synergistic Fiscal Sustainability
Recommendations
•Fiscal sustainability can not be properly assessed given the present state of the City’s Capital Improvement
Program forecasting
–Present methodology collects project needs and executes projects as funds are available or a crises dictates
–“Whack –a – mole” methodology
•Need to develop a multi-year Capital Improvement
Forecast to determine ability to support identified long- range capital needs
–Provide a capital reserve fund to avoid action dictated by crises –Assess the need for ongoing General Fund support of the Capital Improvement Budget / Capital Reserve Fund
21 282

FiscalSustainability Takeaway
•Generating a Capital Improvement Forecast
will determine if the City has a structural
budget deficit associated with our Capital
Improvement and Infrastructure Needs
•Consider the use of ad-hoc citizen group to
perform a bottom-up review of General Fund
expenditures
–Assess desired level of service adjustments that
would provide General Fund support for Capital
needs
22 283

Fiscal Sustainability Assessment Process
General Fund Characteristics
Non-Discretionary Schedule Timing
Personnel
Utilities
Debt Service
General Fund Budget Surplus
Measure U
Capital Improvement Characteristics
Discretionary Schedule Timing
Infrastructure Maintenance
Infrastructure Improvement
Discretionary Fiscal
Reserves
General Fund Budget Capital Improvement
Budget
General Fund Forecast Capital Improvement
Forecast
Sustainability is confirmed when balanced forecasts address all identified service needs over the long term while maintaining desired level of fiscal reserves to meet unanticipated circumstances
284

Questions
24 285

EIFD AND OLD TOWN STREETSCAPE

MASTER PLAN
City Council Study Session
May 6, 2025
City of PlacentiaCity of Placentia
1 286

Presentation Overview
•Overview of the Old Town Placentia
Revitalization Plan
•Old Town Streetscape Master Plan
•Fundamentals of an Enhanced Infrastructure
Financing District
•Overview of Placentia’s EIFD
•Infrastructure Financing Plan/Debt Issuance
Structure
•Additional Considerations
•Recommendation
2 287

Overview of
Old Town Placentia Revitalization Plan
Jeannette Ortega
Deputy Director of Administrative Services
33 288

Old Town Placentia
Revitalization Plan
•In 2015, the City began working on the
Old Town Revitalization Plan to
enhance and preserve the historic
significance of Old Town Placentia.

The City created specific building
standards and zoning requirements for
this area. In addition, the
Streetscape Master Plan was developed
to enhance street improvements,
pedestrian connectivity, and landscape
and lighting upgrades
•In 2017, the Old Town Revitalization
Plan and Streetscape Master Plan was
adopted by the City Council
•Immediately after the adoption of the
Plans, staff researched funding
mechanisms that can facilitate the
4 289

Old Town Placentia Zoning
District
5 290

Old Town Streetscape Master Plan
Gabriel Guerrero Gabany
Deputy Director of Public Works

Page 66 ends

291

Old Town Streetscape Master
Plan
The Purpose of the adopted Old Town Streetscape
Master Plan:
•Revitalization of the City’s historic core
•Aims to create an active Old Town which will
function as a central gathering space
•Improve Mobility
•Infrastructure
•Streetscapes
•Special Events
•Attract visitors, increase revenues and
enhance safety
7 292

Scope of Streetscape Master
Plan
Landscapin
g
Lighti
ng
Mobility
Bench
8 293

Street/Pedestrian Enhancements
Lighti
ng
Lighting
9 Bollards
Pavers
294

Cost Estimate for Streetscape
Master Plan
•Placentia EIFD provides $10M in funding for the Old
Town Streetscape Master
•Preliminary cost estimate is $13.5 million
•Potential cost saving measures
•Replacing concrete areas with asphalt
•Replacing pavers with asphalt
•Removing streets not directly along the main
corridor
•Bid Package will include Alternative Bid schedules,
which will allow us to remove or include certain
aspects of the proposed improvements to ensure that
the construction cost does not exceed $10M
10 295

Fundamentals of an
Enhanced Infrastructure
Financing District (EIFD)
Joe Dieguez
Kosmont Companies

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296

Enhanced Infrastructure
Financing District
An Enhanced Infrastructure Financing District
(EIFD) is a special financing mechanism used by
cities in California to fund infrastructure
projects and community improvements without raising
taxes. EIFDs were established under California law
(SB 628, enacted in 2014) as a replacement for
redevelopment agencies, which were dissolved in
2012
Purpose:
•EIFDs are designed to support a wide range of
infrastructure projects, including
transportation, streets and roads, affordable
housing, parks, water systems, environmental
improvements, and more12
297

Enhanced Infrastructure
Financing District
•EIFDs rely on Tax Increment Financing (TIF). Tax
increment revenue is generated from incremental
growth of assessed property values within a defined
boundary as new development occurs or as
underutilized properties arerehabilitated
•When an EIFD is established, the “baseline property
value” for all properties within the District is
set, or frozen, at that year’s assessed value
•A pre-designated percentage (Placentia’s is 50%) of
this revenue establishes the fund that is
administered by the Public Financing Authority (PFA)
to be used for public infrastructure
•As public investments improve the area and catalyze
private sector investment, property values rise. The
increase in property tax revenue (the "tax 13
298

Enhanced Infrastructure
Financing District
Placentia’
s EIFD
Base Year
(2022)
Placentia’
s
Terminatio
n Date is
40 Years
(2062)
50% of Tax
Increment
Collected from
the County &
City goes into
the EIFD
14 299

Overview of Placentia’s EIFD

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300

Overview of Placentia’s EIFD
In 2019, the City of Placentia (City) and County of Orange (County), working with a grant provided by Southern
California Association of Government (SCAG), established the Placentia Enhanced Infrastructure Financing District (EIFD) to fund infrastructure improvements within the
City’s Old Town
o Building public improvements over multiple years/phases will not likely entice private sector investment
sufficiently to fulfill original economic development
goals and will delay increase to assessed valuation
o Goal: Install all aspects of the Old Town Streetscape Master Plan at one time (instead of in phases), which
will better induce private investment to fulfil Tax
Increment (“TI”) and economic benefit projections
(fulfill Assessed Value A/V goals)
o Accelerate timetable to meet regional housing needs,
including affordable housing and save on construction
16 301

Placentia EIFD Boundaries for
TI
Old Town
TOD Packing
House
17 302

Amendment to the Placentia
EIFD
An emerging EIFD bond market, the COVID pandemic, inflation, and related economic conditions contributed to delayed EIFD implementation and cost increases
o Original Streetscape Project cost estimate of ~$8M increased to ~$10.05M,anincreaseof25.6%
o Interest rates have risen,increasing cost of debt service (particularlyto“first-time”debtissuer)
o Impact: Multiple debt issuances over 7-8 years would be needed to fund keyprojects
Original financing structure would not have facilitated private investment andwouldhavefallenshortofexpectedrateoftaxincrementgrowth Recalibrated duration (term) of tax increment allocation to reflect full paymentofcontributions
o IncreasedCitymaximumtermfrom20to40years
o IncreasedCountymaximumtermfrom20to25years,withoptiontoextend to30onlyifneeded
o Provides adequate time for County to contribute its share of tax increment(50%)(i.e.,$3.547million)
o Additional 5 years only triggered if tax increment receipt levels performworsethansuboptimalprojections18
303

Estimated Economic Benefits
1,600+housingunits
5,364constructionjobsand258permanentjobs
$423 million in construction-related wages and $16
millioninannual,ongoingwages
$826 million in economic output from construction and
$38millioninannualongoingeconomicoutput
$59M in positive net fiscal impact to City general
fundover50years
$50M in positive net fiscal impact to County general
fundover50years
Greenhouse gas reduction/vehicle miles traveled
reduction; improved and convenient transit to local
universities and other destinations19
304

Infrastructure Financing Plan (IFP)
Debt Issuance Structure
Dan Massiello
Kosmont Financial Services

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305

Debt Issuance Structure
City to issue its own 30-year lease revenue bonds
(“LRBs”)(inlieuofEIFD)
o EIFD bond market is new,and the Placentia EIFD
specificallyhasnocredithistoryasanewissuer
o City LRBs will benefit from City's excellent credit
rating (AA), producing lower interest rates and no
needforacash-fundeddebtservicereservefund
o Loan provided to EIFD would accrue interest to City
GeneralFundatCity’sLAIFrate
•EIFD to terminate upon extinguishment of all EIFD debt, evenifrepaidearly
21 306

EIFD Tax Increment Projections
vs. Actuals
•Below is a summary of projected tax increment versus actual tax increment received:

Fiscal Year Projected TI
TI Actual TI Difference
2020 2021 $0 $0 $0
2021 2022 $7,849 $13,408 $5,559
2022 2023 $101,476 $51,291 ($50,185)
2023 2024 $222,844 $212,187 ($10,657)
2024 2025 $235,150 TBD (May)TBD
TOTAL TI RECEIVED $276,886
22 307

Debt Issuance Structure
Scenario
308

Additional Considerations
Jennifer Lampman
Deputy City Administrator/Director of Finance

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309

Additional Considerations
•City's Budget Challenges
•Continuing economic challenges caused by persistently
high inflation and interest rates, unease over
impacts of tariffs
•Reserve level dropped from 25% to 19% this Fiscal
Year
•$6M for the Public Safety Building
•City added $10M in debt for the Public Safety
Building to be paid over 30 years
•City issued $53M in lease revenue bonds in 2020 to
pay pension debt
•City has significant unfunded capital needs
•Federal Earmark request for the Old Town Streetscape
Master Plan in the amount of $1M was not approved
last year. City resubmitted again this year.
•Design Costs
•The design process is approximately 90% complete. A
25 310

Additional Considerations
•Interest Rate Volatility
•Future interest rates remain uncertain
•Tariffs naturally contribute to inflation, and ongoing tariff negotiations have created significant market
volatility
•Rising Construction Costs
•Construction costs have steadily increased over time. As time progresses, this project is likely to become more
expensive due to rising costs of materials and labor
•Professional Services Costs
•The City has been working with Kosmont on the formation and amendments of the Placentia EIFD and the initial
stages of bond financing. These costs are usually folded into the bond financing.
•Indirect Considerations26
311

Options to Consider

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312

Option #1

1.Allocate $150,000 to complete the
Streetscape Master Plan

2.Go out to bid for the construction of the
Streetscape Master Plan
•Consider Alternative Bids to ensure
constructionis within $10M

3.Authorize a $1M loan from the General
Fund to supplement the bond financing

4.Proceed with the bond financing to fund
the construction
28 313

Option #2

1.Allocate $150,000 in existing TI received
to complete the Streetscape Master Plan

2.Delay the bond financing until sufficient
TI is accumulated to fulfill the $1M
upfront needed to issue bonds

3.Go out to bid for the construction of the
Streetscape Master Plan with Alternative
Bids to ensure constructionis within $10M

4.Receive approval from the City Council for
the construction costs and bond financing
structure
Option #2 is Staff’s recommendation29
314

Questions & Comments

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315

Agenda Item No: 3.b

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: May 6, 2025
Submitted by: Samantha Byfield
From: Public Works
Subject:

Fiscal Year 2025-26 Capital Improvement Program - Study Session No. 3 Financial Impact:

The fiscal impact will be determined with final adoption of the Fiscal Year 2025-26 Capital Improvement Program Budget.

Summary:

The Capital Improvement Program (CIP) represents a critical part of the City's long-term planning and budgeting efforts. The CIP includes planned investments in City infrastructure including streets, facilities, parks, fleet, technology and other long-term capital assets. The projects proposed in the CIP are typically significant in scope and cost and often require several years to complete.

On February 18, 2025, and April 1, 2025, the City Council conducted study sessions related to the Fiscal Year (FY) 2025-26 CIP Budget. At the April 1, 2025, study session staff presented updates on the FY 2024-25 Street Rehabilitation project as well as the Underground Storage Tank (UST) Removal project. The City Council provided direction on the FY 2024-25 Street Rehabilitation project and requested additional information regarding the UST Removal project.

At this time staff will present updates on the UST Removal project and is seeking City Council direction regarding the removal of the UST and the preferred fueling method moving forward.

Recommendation:

Recommended Action:

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

1. Receive and file the staff report and presentation; and

2. Provide direction to staff regarding the proposed fuel tank storage options.

Strategic Plan Statement:

This item is consistent with Strategic Plan Goal 1 by ensuring long-term fiscal sustainability, Strategic Plan Goal 2 by ensuring that public safety continues to be a high priority, and Strategic Plan Goal 5 by implementing public infrastructure to meet community needs.

316

Discussion:

The CIP Budget identifies major improvements to City infrastructure and includes new projects, upgrades to existing facilities and parks, rehabilitation of streets and roadways, as well as other infrastructure needs for the next several years.

A study session was presented on the UST Removal project at the April 1, 2025 City Council meeting. Two options were presented related to the project: 1) remove and replace the UST located at the City Maintenance Yard for an estimated cost of $1,100,000 or 2) remove the UST and fuel offsite. Removal of the UST is estimated to cost $220,000. Emergency operations and fleet electrification concerns were also addressed as items of consideration to be weighed in the UST replacement determination. Based on recommendations from the Fire and Life Safety Department regarding emergency preparation and to ensure continuity of operations and access to fuel during emergencies, staff recommended removal and replacement of the UST.

At the April 1st study session, S taff was asked to research a commercial fueling provider, Galaxy Energy Companies (Galaxy), that solicited the City about providing commercial fueling services and provide a further update.

Based on Staff's research, the City has an existing licensing agreement with Galaxy for the property at 480 S. Placentia Avenue, which the City owns. Under the terms of the agreement, Galaxy pays the City monthly rent of $2,083.33 and a royalty fee based on the number of gallons sold per month as outlined in the table below.

Gallon Sold Per Month Royalty Percentage
0 - 145,000 50%
145,001 - 195,000 40%
195,001 - 245,000 30%
245,001+0%

For basis of comparison to the existing commercial fueling program with SC Fuels, the Galaxy data reviewed was from the reporting period of February 2024 to February 2025. During this period, the City received royalty fees from Galaxy totaling $116,331.09, averaging $8,948.55 per month. During this period, the City paid an average of $4.56 per gallon with SC Fuels across unleaded fuel grades for purchases from a variety of commercial retail stations, including Galaxy, as well as SC Fuels-branded locations. The average cost per gallon across unleaded fuel types at Galaxy during this time was $4.97 per gallon.

Galaxy is offering the City a discounted rate from their current average rate, reducing the cost to the cash price, which is 12 cents less per gallon. Galaxy will apply a further five-cent reduction per gallon off the cash price to provide a total discount of 17-cents per gallon. See the following table for cost comparisons.

SC Fuels Galaxy
Average Cost per Gallon Unleaded $4.56 $4.97
Cash Discount $0.00 ($0.12)
317

Additional Discount $0.00 ($0.05)
Revised Cost per Gallon $4.56 $4.80

After factoring in the discounted pricing, on average, the City would pay 24-cents more per gallon to purchase unleaded fuel from Galaxy versus SC Fuels. The increase in purchases from Galaxy would, however, result in higher royalties which would exceed the increased costs. See the following calculations for estimated costs and revenue.

Bulk Fuel
(City Yard)
SC Fuels Galaxy
Average Cost per Gallon $3.56 $4.56 $4.80
City Average Gallons per Month x 5,000 x 5,000 x 5,000
Cost per Month $17,800 $22,800 $24,000
x 12 x 12 x 12
Annual Cost $213,600 $273,600 $288,000
Annual Royalty Revenue $0 $0 $144,000
Ongoing Costs $8,00 $0 $0
Total Annual Cost $221,600 $273,600 $144,000

The City would gain an estimated $144,000 in royalty revenue per year. After deducting the royalties from the total annual cost of $288,000, the City would pay $144,000 to fuel at Galaxy.

Comparatively, based on bulk fuel purchases at an average of $3.56 per gallon the same amount of fuel would cost the City $213,600 per year. There would be additional $8,000 in costs for annual testing, inspections, fuel management software and environmental compliance.

Additional Considerations
In making the determination about the preferred fueling option, there are several other items for consideration.

Galaxy Agreement
The current agreement with Galaxy expires in October 2026. The updated agreement could impact the royalty revenue if percentages are changed under new agreement terms.

Generator Installation
Galaxy has stated they are willing to install a generator on site to support continued fueling during a power outage. It is yet to be determined whether the full cost of the installation would be paid for by Galaxy or if there would be costs to the City. Timing of the installation is also to be determined. The lead time for equipment of this nature is often four to six months. The current uncertainty regarding imported equipment may further impact the timing of installation.

Availability of Fuel During Emergency
If the City moves forward with fueling offsite at Galaxy, the amount of fuel available would be unknown. There would be no guarantee of enough fuel to support the City fleet and emergency generators for continuity of services in an emergency. Also, if the Galaxy site were active during an emergency, access to the site would be available to the City and the public, 318

which may impact availability of fuel.

Funding Availability for Other Priority Projects
If the determination is to remove the UST only and move fueling to an offsite commercial fueling program, there would be an estimated $880,000 available to fund other priority projects (Attachment 1). The additional funding could fund a significant portion of one of the other high priority projects.

Staff is seeking Council direction on preferred fueling procedures moving forward.

Fiscal Impact Summary:

The fiscal impact will be determined with final adoption of the Fiscal Year 2025-26 Capital Improvement Budget.

Attachments
CIP Project Priority List
319

MEASURE U PROJECT PRIORITY LIST
Project Type Project Name Measure U Funding
Request
Public Health
(Max 30)
Regulatory (Max
20)
Strategic Plan
(Max 15)
Deferred Maint.
(Max 15)
Master Plan
(Max 10)
Bonus (Max 10) Total Score
Streets &
Streetscapes
Old Town Streetscape
Improvements
1,150,000$ 30 20 15 15 10 10 100 City Buildings &
Facilities
Fire Station 1
Maintenance and
Safety Upgrades 30,984$ 30 20 15 15 10 5 95 Sewer Old Town Sewer
Rehabilitation 1,586,564$ 30 20 15 15 10 5 95 City Buildings &
Facilities
City Hall Roof Repairs
1,000,000$ 20 20 10 15 10 20 95
Storm Drain Kevin Way Storm
Drain Improvements 241,235$ 30 10 15 15 10 5 85 City Buildings &
Facilities
City Yard Repaving
200,000$ 30 15 15 15 0 5 80
Streets &
Streetscapes
FY 25-26 Annual
Sidewalk and Curb
Ramp Repairs 300,000$ 30 10 15 15 0 10 80 Technology Enterprise Camera
and Security
Upgrades 4,465$ 30 0 15 15 10 10 80 Technology 2FA / Single Sign-On
Implementation 25,000$ 30 20 15 0 10 0 75 Streets &
Streetscapes
FY 25-26 Annual Tree
Planting 30,000$ 15 20 15 0 10 10 70 Technology Software Additions,
Upgrades & IT
Operations 75,000$ 20 10 15 10 10 5 70 Traffic and
Transportation
Ops
Citywide Signal
Hardware Upgrades
95,152$ 30 10 15 0 10 5 70
City Buildings &
Facilities
PD Women's Locker
Room 1,700,000$ 15 20 15 10 0 5 65 Vehicles and
Equipment
Backhoe Replacement
99,648$ 30 0 15 15 0 5 65
Major Studies Economic
Development Strategic
Plan 130,000$ 15 10 15 0 10 10 60 Vehicles and
Equipment
Public Works Ford
Ranger Replacements
(3)150,000$ 20 10 10 15 0 5 60 Streets &
Streetscapes
Orangethorpe Median
Restoration 100,000$ 0 0 15 15 0 5 35 Streets &
Streetscapes
LMD Median
Restoration Project 100,000$ 0 0 15 15 0 5 35 Vehicles and
Equipment
Custodial Cargo Van
60,000$ 15 0 0 15 0 5 35

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Placentia City CouncilMay 6, 2025

Placentia City Council
May 6, 2025