RESOLUTION NO. 25-104
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CLEMENTE, CALIFORNIA, ACCEPTING OCTA MEASURE M2 PROJECT V GRANT FUNDING, APPROVING THE APPROPRIATIONS OF FUNDS TO THE CITY LOCAL TRANSIT PROGRAM FUND, AUTHORIZING THE CITY MANAGER TO EXECUTE THE FIRST AMENDMENTS TO TWO PROFESSIONAL SERVICES AGREEMENTS WITH LAZ PARKING CALIFORNIA LLC FOR ADDITIONAL TROLLEY OPERATION SERVICES IN AMOUNTS NOT TO EXCEED $2,272,021.06 AND $820,721.22 RESPECTIVELY, APPROVING A SOLE SOURCE PURCHASE OF A TROLLEY FROM HOMETOWN MANUFACTURING, INC. FOR $238,751, AND FINDING THE ACTIONS STATUTORILY EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT UNDER PUBLIC RESOURCES CODE SECTION 21080(B)(10) WHEREAS, on June 18, 2024, City Council approved two three-year contracts with LAZ Parking California LLC (LAZ) for continued trolley operation and also authorized staff to submit a grant application for Orange County Transportation Authority (OCTA) Measure M2 Project V funding for continuation and potential expansion of the City’s trolley program; and WHEREAS, the City was awarded $8,235,081 for an expanded trolley program with funds available from Fiscal Year (FY) 2024/25-2030/31; and WHEREAS, the City is requried to match OCTA grants funds with a 10 percent fair share contribution; and WHEREAS, the Project V grant award allows the City to operate three trolley lines (Red Line, Blue Line and the Green Line) from Memorial Day weekend through September, and operation of the Red Line all year on Friday through Sundays until 2031; and WHEREAS, the amount of the Project V grant funding was not known at the time of the request for proposal process or at the time that the contracts were awarded to LAZ on June 18, 2024; and WHEREAS, on June 18, 2024, the City Council awarded two three-year agreements to LAZ Parking California LLC (LAZ) for operation of the trolleys; and WHEREAS, the current LAZ agreement for Red Line operations does not include the newly approved year-round Friday through Sunday service and the current LAZ agreement for Green Line operations was originally limited to service from July 1 through September 30, therefore both agreements require amendments to operate the trolley lines consistent with actual grant funds awarded; and WHEREAS, the extended scope of trolley services based on actual grant funds was within the scope of the original request for proposals for this program and requires amendments to both the three-year LAZ professional service agreements, specifically amending the Red and Blue Lines not to exceed contract amount from $1,871,665,80 to $2,272,021.06 (an increase of $400,355.26) and amending the Green Line not to exceed contract amount from $545,092.08 to $820,721.22 (an increase of $275,629.14); and WHEREAS, Section 1.7 of Article XI.A.1 of the City’s Procurement Policies and Procedures allows for an exemption to the City’s formal and informal solicitation process for sole source suppliers; and WHEREAS, Hometown Manufacturing LLC is a sole source vendor for the purchase of the additional trolley that the City needs to fully implement the trolley operations funded by the grant award.
NOW, THEREFORE, the City Council of the City of San Clemente does hereby find, determine and resolve as follows:
SECTION 1. That the above recitations are true and correct and incorporated fully herein.
SECTION 2. That this project is statutorily exempt from the California Environmental Quality Act (CEQA) under Public Resources Code section 21080(b)(10) because it is a project for the institution or increase of passenger or commuter services on rights-of-way already in use.
SECTION 3. That the City hereby accepts the OCTA 2024 Project V Grant for trolley operations in the amount of $8,235,081 (to Local Transit Program revenue account 021-000-33757).
SECTION 4. That a supplemental appropriation in the amount of $1,223,238.88 to the Local Transit Program revenue account 021-000-33757 and offset with the trolley contract expenditure account 021-808-43690 is hereby approved.
SECTION 5. That a supplemental appropriation in the amount of $214,875.90 to the Local Transit Program revenue account 021-000-33757 and to the Local Transit Program automotive equipment expenditure account 021-808-45600 is hereby approved.
SECTION 6. That a supplemental appropriation in the amount of $23,875.10 from the General Fund to the Local Transit Program automotive equipment expenditure account 021-808-45600 is hereby approved.
SECTION 7. That the City Manager is authorized and directed to execute Amendment No. 1 to the Professional Services Agreement with LAZ Parking California LLC for Red and Blue Line trolley services in a total amount not to exceed $2,272,021.06, in a form substantially similar to that presented to City Council on June 17, 2025.
SECTION 8. That the City Manager is authorized and directed to execute Amendment No. 1 to the Professional Services Agreement with LAZ Parking California LLC for Green Line trolley services in a total amount not to exceed $820,721.22, in a form substantially similar to that presented to City Council on June 17, 2025.
SECTION 9. That the City Manager is hereby authorized and directed to execute all necessary documents and agreements to purchase a trolley in the amount of $238,751 through Hometown Manufacturing LLC (Local Transit Program automotive equipment expenditure account 021-808-45600) as a sole source vendor.
SECTION 10. That the City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.
PASSED AND ADOPTED this _____ day of June, 2025.
ATTEST:
___________________________ __________________________
City Clerk of the City of Steve Knoblock, Mayor of the
San Clemente, California City of San Clemente, California STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §
CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 25-104 was adopted at a regular meeting of the City Council of the City of San Clemente held on the _______ day of June, 2025, by the following vote:
AYES:
NOES:
ABSENT:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Clemente, California, this _____ day of ___________, _____. __________________________
CITY CLERK of the City of
San Clemente, California
Approved as to form:
___________________________
Elizabeth A. Mitchell, City Attorney
Resolution No. 25-104 Page 2
Attachment 1