Seal Beach City Council
June 13, 2022

A G E N D A

REVISED MEETING OF THE CITY COUNCIL
Monday, June 13, 2022 ~ 7:00 PM

ALL COUNCIL MEMBERS AND STAFF WILL PARTICIPATE VIA TELECONFERENCE

JOE KALMICK
MAYOR
First District

MIKE VARIPAPA

MAYOR PRO TEM
Third District

THOMAS MOORE

COUNCIL MEMBER
Second District

SCHELLY SUSTARSIC

COUNCIL MEMBER
Fourth District

SANDRA MASSA-LAVITT

COUNCIL MEMBER
Fifth District
This Agenda contains a brief general description of each item to be considered. No action or discussion shall be taken on any item not appearing on the agenda, except as otherwise provided by law.

Supporting documents, including agenda staff reports, and any public writings distributed by the City to at least a majority of the Council Members regarding any item on this agenda are available on the City’s website at www.sealbeachca.gov.

City Council meetings are broadcast live on Seal Beach TV3 and on the City's website www.sealbeachca.gov). Check the SBTV3 schedule for rebroadcast of — meetings are available ondemand on the website (starting 2012).meeting In compliance with the Americans with Disabilities Act of 1990, if you require disability - related modification or accommodation to attend or participate in this meeting, including auxiliary aids or services, please call the City Clerk' s office at (562) 431 -2527 at least 48 hours prior to the meeting.

NOTICE REGARDING PUBLIC OBSERVATION AND PARTICIPATION IN THE CITY

COUNCIL MEETING
PLEASE NOTE: CONSISTENT WITH THE RECOMMENDATIONS OF PUBLIC HEALTH AUTHORITIES, IN RESPONSE TO RECENT COVID-19 EXPOSURES

WITHIN THE CITY ORGANIZATION, THE CITY MANAGER HAS DIRECTED THAT

THIS MEETING WILL BE HELD USING THE ZOOM PLATFORM AND

TELECONFERENCE TO PROTECT THE HEALTH AND SAFETY OF THE PUBLIC, CITY OFFICIALS AND STAFF.

PUBLIC COMMENT: Members of the public may submit comments on any item on this City Council meeting agenda via email to the Acting City Clerk at [email protected] or via the comment icon through the online portal at https://www.sealbeachca.gov/Government/Agendas-Notices-MeetingVideos/CouncilCommission-Meetings. All email comments the Acting City Clerk receives before the start of the meeting will be posted on the City website and distributed to the Council Members. Email comments received after that time will be posted on the City’s website and forwarded to the City Council after the meeting.

Those members of the public wishing to call in for comment during the meeting can join the Zoom Meeting from any electronic device by clicking the following link: https://zoom.us/j/82964966057. You may also call in by dialing 1-669-900-9128##.

Those members requesting to speak by phone or on Zoom can unmute by entering *6 when called upon to speak. Once in the meeting, you will be added to the Waiting Room until the Public Comment period begins. At that time, you will be allowed to join the meeting to offer your comments. Commenters will be allotted five (5) minutes to address the City Council. The ability to comment will be disabled when your allotted time has expired.

THIS NOTICE AND ELECTRONIC PARTICIPATION PROVISIONS SET FORTH IN THIS NOTICE ARE PROVIDED PURSUANT TO THE CITY COUNCIL’S

DETERMINATION THAT REMOTE MEETINGS ARE STILL WARRANTED, AS REQUIRED BY GOVERNMENT CODE SECTION 54953(e).

CALL TO ORDER

COUNCIL ROLL CALL

APPROVAL OF AGENDA & WAIVER OF FULL READING OF RESOLUTIONS

ORDINANCES
By motion of the City Council this is the time to notify the public of any changes to the agenda and /or rearrange the order of the agenda.

PRESENTATIONS / RECOGNITIONS
• Girl Scout Troop 3341 Silver Awards:
◦ Addison Price & Josephine Stevenson – “Encouraging Literacy in the Orange County Foster System”
◦ Nathaly Ann Sumoba – “Decreasing the Chance of Injury in Youth Soccer”
◦ Alissa Endelman & Sophia Mason – “Dog Care 101: Creating Successful Homes for Both the Dog and Owner”
◦ Yara Saadeh – “Now COVID, Next What: a Middle Schooler’s Guide to Emotional Well-Being During COVID”
◦ Phoebe Grimshaw – “Expressing Emotion through Art: No Special Supplies Needed to Create Art”
• Run Seal Beach Recognition of Winners:
◦ Rachelle Lee- Warner – 10K Female
◦ Dan Lasker – 10K Male
◦ Mya Lugo – 5K Female
◦ Gabriel Velasco – 5K Male
• Introduction of New Employees:
◦ David Greene, Executive Assistant to the Community Development Department
◦ Cynthia Solares, Executive Assistant to the Chief of Police ◦ James Dowdell, Police Officer
◦ Phillip Viebrock, Police Officer
• National Beach Safety-Rip Current Awareness Week

PUBLIC COMMUNICATIONS
At this time members of the public may address the Council regarding the items on this City Council agenda. Pursuant to the Brown Act, the Council cannot discuss or take action on any items not on the agenda unless authorized by law.

Those members of the public wishing to provide comment are asked to send comments via email to the Acting City Clerk at [email protected] or via the comment icon on the City website
at https://www.sealbeachca.gov/Government/Agendas-Notices-Meeting-Videos/CouncilCommission-Meetings before 5:00 pm on June 13, 2022. Comments provided via email by 5:00 pm will be distributed to the City Council and posted on the City website for review by the public. Email comments received after that time will be posted on the City’s website and forwarded to the City Council after the meeting. Any documents for review should be sent to the Acting City Clerk prior to the meeting for distribution.

Those members of the public wishing to call in can join the Zoom Meeting from any electronic device by clicking the following link: https://zoom.us/j/82964966057. You may also call in by dialing 1-669-900-9128##. Those members requesting to speak by phone or on Zoom can unmute by entering *6 when called upon to speak. Once in the meeting, you will be added to the Waiting Room until the Public Comment period begins. At that time, you will be allowed to join the meeting to offer your comments.

Commenters will be allotted five (5) minutes to address the Council. The ability to comment will be disabled when your allotted time has expired.

Email from Elizabeth Kline
Email from Jack Deaton
Email from Maria Fattal
Email from Patti Haney
OCUW Letter of Support - Agenda Item N - 6.13.22
CITY ATTORNEY REPORT Craig A. Steele, City Attorney
CITY MANAGER REPORT Jill R. Ingram, City Manager

COUNCIL COMMENTS
General Council Member comments and reporting pursuant to AB 1234.

STUDY SESSION
• Frontier Fiber Optic Project Update
COUNCIL ITEMS – None

CONSENT CALENDAR
Items on the consent calendar are considered to be routine and are enacted by a single motion with the exception of items removed by Council Members.

A. Approval of the May 23, 2022 City Council Minutes - That the City Council approve the minutes of the Closed Session and Regular City Council meeting held on May 23, 2022.

B. Demands on City Treasury (Fiscal Year 2022) June 13, 2022 - Ratification.

C. Monthly Investment Report – April 30, 2022 - Receive and File.

D. Second Reading and Adoption of Ordinance 1695 - That the City Council adopt Ordinance 1695 titled "An Ordinance of the City of Seal Beach Amending the Seal Beach Municipal Code by Revising and Supplementing the City’s Water Conservation Provisions.”
E. Professional Services Agreement with Sagecrest Planning + Environmental - That the City Council approve Resolution 7294: 1. Approving the Professional Services Agreement with Sagecrest Planning + Environmental; and, 2. Authorizing the City Manager to execute the Agreement.

F. Professional Services Agreement with Transtech Engineers, Inc. - That the City Council approve Resolution 7295: 1. Approving the Professional Services Agreement with Transtech Engineers, Inc.; and, 2. Authorizing the City Manager to execute the Agreement.

G. Amendment to the Lease Agreement Between the City of Seal Beach and the California State Lands Commission Related to the Beach House Restaurant - That the City Council adopt Resolution 7296: 1. Approving the amendment of Lease No. PRC 3792.1 between the City of Seal Beach and the California State Lands Commission; and, 2. Authorizing the City Manager to execute the amendment.

H. Ratifying the Declaration of Emergency, Approval of Emergency I-405 Waterline Improvement Relocation and Dispensing with Public Bidding Requirements and Notice of Completion, and Authorization to Approve Payment for the Emergency I-405 Improvement Waterline Relocation, CIP EM2201 - That the City Council adopt Resolution 7297: 1. Declaring the I-405 Improvement Water Relocation, CIP EM2201, was necessary for the immediate preservation of life, health and property of the City, and therefore ratifies the declaration by the Public Works Director that the I-405 Improvement Waterline Relocation, CIP EM2201, adjacent to the Beverly Manor Reservoir, was of urgent necessity for the immediate preservation of life, health and property; and, 2.

Authorizing the City Manager to execute a purchase order with Valverde Construction, Inc. for the emergency I-405 Improvement Waterline Relocation, CIP EM2201, in the amount of $128,006.42 under an existing on-call agreement with Valverde Construction, Inc. without advertising for bids, in the amount of $128,006.42; and, 3. Accepting the emergency work to the City’s public water system, CIP EM2201, by Valverde Construction, Inc. in the amount of $128,006.42; and, 4. Directing the City Clerk to file a “Notice of Completion” with the Orange County Clerk-Recorder within ten (10) days from the date of acceptance; and, 5. Approving Budget Amendment BA #22-12-01 in the amount of $128,006.42.

I. Seal Beach Swim Club Facility License Agreement – McGaugh Pool - That the City Council adopt Resolution 7298: 1. Approving the Facility License Agreement with Seal Beach Swim Club for use 1. of McGaugh Pool; and, 2.

Authorizing the City Manager to execute the Agreement.

J. Shore Aquatics Club Facility License Agreement - McGaugh Pool - That the City Council adopt Resolution 7299: 1. Authorizing 1. the Facility License Agreement with Shore Aquatics Club for use of the McGaugh Pool; and, 2.

Authorizing the City Manager to execute the Agreement.

K. Service Agreement with Brevvie to Install Remote Accessible Beach Lockers Next to Lifeguard Headquarters - That the City Council adopt Resolution 7300: 1. Approving the Services Agreement with Brevvie LLC to place a "smart locker" next to Lifeguard Headquarters; and, 2. Authorizing the City Manager to execute the Agreement.

L. Southern California Edison License Agreement: Seal Beach Bicycle Path and Edison Park - That the City Council adopt Resolution 7301: 1. Authorizing the City Manager to execute a license agreement with Southern California Edison (SCE) for the use of the Seal Beach Bicycle Path between North Gate Road and the San Gabriel River Trail; and, 2. Authorizing the City Manager to execute a license agreement with Southern California Edison (SCE) for the use of Edison Park located on College Park Drive.

ITEMS REMOVED FROM THE CONSENT CALENDAR
PUBLIC HEARING – None
UNFINISHED / CONTINUED BUSINESS – None

NEW BUSINESS
M. Calling and Consolidation of Election – November 8, 2022 - That the City Council adopt: 1. Ordinance 1696 calling and giving notice of the holding of a General Municipal Election to be held on Tuesday, November 8, 2022; and, 2.

Resolution 7302 requesting the Board of Supervisors of the County of Orange to consolidate the City’s General Municipal Election with the Statewide General Election to be held on Tuesday, November 8, 2022 for the purpose of the election of three Members of the City Council (District 1, District 3, and District 5) for the full four year term of the office; and, 3. Resolution 7303 adopting regulations for Candidates’ Statements submitted to the voters; and, 4. Resolution 7304 providing for the conduct of a Municipal Run-off Election in the event no candidate receives 50% plus 1 votes to be held on Tuesday, January 31, 2023.

N. Orange County Housing Finance Trust - That the City Council adopt Resolution 7305: 1. Approving membership in the Orange County Housing Finance Trust; and, 2. Authorizing the Mayor to execute the Joint Powers Agreement.

O. COVID-19 Event Summary and After-Action Report - That the City Council receive and file the COVID-19 Event Summary and After-Action Report.

ADJOURNMENT
Adjourn the City Council to Monday, June 27, 2022 at 5:30 p.m. to meet in closed session, if deemed necessary.

Girl Scout Troop 3341
Silver Award Presentations
City of Seal Beach
June 13, 2022
Addison Price &
Josie Stevenson
“Books for Kids”
Sorting & Cataloguing over 3000 books &
Delivering to Orangewood Foster Home
Nathaly Ann Sumoba
“Back Pedaling Away from Injury”
• https://youtu.be/A01JQ3ay_Gk
(click link to view YouTube video)
Alissa Endelman
&
Sophia Mason
“Dog Care 101:

Creating
Successful Homes
for Both the Dog
and Owner”

Yara Saadeh
“Now COVID, Next What: A Middle Schooler’s
Guide to Emotional Well-Being During COVID”

Phoebe Grimshaw
“Expressing Emotion
through Art:

No Special Supplies
Needed to Create Art”
• https://youtu.be/Wws3KXDDxWA
(click link to view YouTube video)
Thank you from Troop 3341!
Click to edit Master title style
1 Introduction of
New Employees
J u n e 1 3 , 2 0 2 2
L a u r e n B a r i c h , M a n a g e m e n t A n a l y s t O f f i c e o f t h e C i t y M a n a g e r
Click to edit Master title style
2 2
Cynthia Solares
Executive Assistant to the Chief
Police Department
David Green
Executive Assistant
Community Development Department
Click to edit Master title style
3 3
James Dowdell
Police Officer
Police Department
Phillip Viebrock
Police Officer
Police Department
Click to edit Master title style
4 Thank You!
[email protected]

Good Evening, my name is Patti Haney, I am the head coach at Seal Beach Swim Club.

Seal Beach Swim Club was established in 1965 and the team has always trained at the McGaugh pool; that is 57 years. I started coaching here at McGaugh in 1999.

In 2013, we entered into a contract with the City that raised our monthly pool rent and it also included an annual 2% increase every July, which nearly matched the annual inflation rate of 2.3% over that same period. This new contract is over doubling the rent, it is a 105% rate increase from our current rent and our only option is to pass that increase on to the families here in Seal Beach that train at McGaugh. Seal Beach Swim Club is a non- profit organization, meaning an entity that serves the public good and whose purpose is something other than making a profit. We are a Board run team.

We are not here to become rich. We are here for the kids. Coach Kathy, who runs the McGaugh pool, was an Olympic swimmer herself, who is here because she understands the essential benefit Seal Beach Swim Club offers. Her four children all swam at McGaugh and her daughter went on to become a member of the US National Water Polo team.

Maria Fattal is still an integral part of the club. Her kids, Ryan and Rachel, both swam on the team, I remember coaching Rachel when she was four years old at McGaugh and she is now a two time Olympic Gold Medalist! In fact, Rachel still works out with us.

Seal Beach Swim Club has marched in the Seal Beach Christmas Parade. Our swimmers volunteer at the Run Seal every year and are always at the beach cleanup days. We have hosted 50 years of the Seal Beach Rough Water Swim. We have swimmers at McGaugh, who will stop training with the club for the next couple months because they will be attending the Seal Beach Junior Guard program. We have trained countless Junior Guard participants over the years. Many have gone on to become Seal Beach lifeguards themselves. My brother was a Seal Beach lifeguard, my son went through the Seal Beach Junior Guard program and he too became a Seal Beach lifeguard and is now an OCFA paramedic here in Seal Beach. I can’t tell you how many Seal Beach swim club swimmers have become Seal Beach lifeguards. There are a number of Seal Beach Swim Club swimmers that are currently guarding at Seal Beach.

When we were given the opportunity to train at the larger JFTB facility, we made sure we continued to offer a swim program for the youth of Seal Beach because we knew it was imperative that these kids were strong swimmers who would be safe in the ocean as well as the pool. This program is a local program, 90% of the swimmers are Seal Beach residents or attend McGaugh Elementary. The kids in the McGaugh pool are your neighbors. They are the young kids that live on the Hill and ride their bikes to workout. They are the kids who will be at the beach every day this summer! So again, we are a non-profit, local swim club of 57 years, who provides a service that every beach community needs.

Please, help us keep the costs manageable for the families of your community.

Thank you for your consideration.

Patti Haney
Head Coach
Seal Beach Swim Club
June 9, 2022
City Council Members,
City of Seal Beach
211 8th Street
Seal Beach, CA 90740
RE: Support for Orange County Housing Finance Trust
Orange County United Way (OCUW) writes today to express our support for the City of Seal Beach joining the Orange County Housing Finance Trust, which will appear on the agenda of your next meeting on June 13, 2022.

We are encouraged that the City of Seal Beach has heard a presentation from staff of the Orange County Housing Finance Trust (OCHFT) in May. For Orange County to obtain state and federal funds sufficient for the development of affordable housing, we need every Orange County city to join the OCHFT. By demonstrating universal support from Orange County cities, we expand funding opportunities for affordable and permanent supportive housing to help end our county's homelessness crisis.

The Orange County Housing Finance Trust, approved by the Orange County Board of Supervisors on March 12, 2019, is a joint powers authority addressing the scarcity of affordable and supportive housing in Orange County.

In 2018, OCUW launched United to End Homelessness, a powerful collaboration among Orange County’s top business, philanthropic, government, faith-based, and non-profit leaders committed to ending homelessness and ensuring housing and services are available for every individual who may need them. United to End Homelessness has been an influential voice in advocating for housing as the solution to end homelessness, and OCUW has always supported and maintained that affordable, stable housing is the building block to success.

Thank you for your consideration. We hope when the opportunity arises, you will vote to join the OCHFT. We are grateful to you for your leadership in improving lives in our community.

Sincerely,
Susan B. Parks
President & CEO
Frontier Proprietary and Confidential
Have you heard?
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© 2022 Frontier Communications Parent, Inc. All Rights Reserved. © 2022 Frontier Communications Parent, Inc. All Rights Reserved. 3 Seal Beach
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© 2022 Frontier Communications Parent, Inc. All Rights Reserved. 5 How Frontier’s 100% Fiber Network
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The Fiber connection
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Fiber Pull box
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Optical network terminal (ONT)
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Micro Trench
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Hello,
My name is Donald Reid, and I was the Paving Manager for the City of Nashville when we started using Elephant Armor approximately 10 years ago.

We were first introduced to Elephant Armor with the repairs of a severely cracked sidewalk and a broken curb in front of my office at 939 Dr. Richard Adams Drive. To this date the sidewalk and curb are still in good shape. We then used Elephant Amor to repair several historic alleys in Downtown Nashville. The one that many people visit because it has several art galleries and food establishments is the Arcade between 4
th Avenue and 5th Avenue. It was severely damaged and was a hazard to pedestrians walking up and down the alley daily. Elephant Armor allowed Public Works to restore the historic concrete bands in the Alley and today it remains safe for pedestrians. The City of Nashville has also extensively used Elephant Armor to fill micro and nano trenches for covering fiber installations. The Elephant Armor was easy to install and dried to a clean finish on the roadway. Public Works which is now the Nashville Department of Transportation (NDOT) still uses Elephant Armor to fix broken curb and gutters and cracked sidewalk. We have found that Elephant Armor is cheaper and a much quicker process than the traditional remove and replace sidewalk construction.

I would recommend anyone with any kind of concrete issues, to first try Elephant Armor.

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Permits Division Manager
9 What collaboration looks like…
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Frontier Proprietary and Confidential 12
Agenda Item A

AGENDA STAFF REPORT
DATE: June 13, 2022
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Dana Engstrom, Acting City Clerk
SUBJECT: Approval of the May 23, 2022 City Council Minutes ________________________________________________________________ SUMMARY OF REQUEST:

That the City Council approve the minutes of the Closed Session and Regular City Council meeting held on May 23, 2022.

BACKGROUND AND ANALYSIS:

This section does not apply.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS:

No legal analysis is required for this item.

FINANCIAL IMPACT:

There is no financial impact for this item.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

MEASURE BB:

This item is not applicable to Measure BB, the Seal Beach Neighborhood and Essential Services Protection Measure.

RECOMMENDATION:

That the City Council approve the minutes of the Closed Session and Regular City Council meeting held on May 23, 2022.

SUBMITTED BY: NOTED AND APPROVED:

Dana Engstrom Jill R. Ingram
Dana Engstrom, Acting City
Clerk
Jill R. Ingram, City Manager
ATTACHMENTS:

A. Minutes - Closed Session
B. Minutes – Regular Session
Seal Beach, California
May 23, 2022
The City Council met in Closed Session at 5:35 p.m. in the City Hall Conference Room.

ROLL CALL

Present: Mayor Kalmick
Council Members: Varipapa, Sustarsic, Massa-Lavitt, Moore

Absent: None
City Staff: Craig A. Steele, City Attorney
Jill R. Ingram, City Manager
Patrick Gallegos, Assistant City Manager
Dana Engstrom, Acting City Clerk

ORAL COMMUNICATIONS
Mayor Kalmick opened oral communications. Speakers: None. Acting City Clerk Engstrom announced that no supplemental communications were received. Mayor Kalmick then closed oral communications.

CLOSED SESSION
A. CONFERENCE WITH LABOR NEGOTIATOR Government Code §54957.6 City Negotiator(s): City Manager
Employee Organization(s):

Orange County Employees Association

ADJOURNMENT
Mayor Kalmick adjourned the Closed Session meeting at 6:52 p.m.

Dana Engstrom, Acting City Clerk
City of Seal Beach
Approved:

Joe Kalmick, Mayor
Attested:

Dana Engstrom, Acting City Clerk
Seal Beach, California
May 23, 2022
The City Council met in regular session at 7:01 p.m. in the City Council Chambers.

Mayor Kalmick called for a moment of silence in remembrance of the victims of the recent tragedy in Laguna Woods on May 15, 2022.

Council Member Sustarsic led the Pledge of Allegiance.

ROLL CALL

Present: Mayor Kalmick
Council Members: Varipapa, Moore, Sustarsic, Massa- Lavitt

Absent: None
City Staff: Craig A. Steele, City Attorney
Jill R. Ingram, City Manager
Patrick Gallegos, Assistant City Manager
Philip Gonshak, Police Chief
Joe Bailey, Chief, Marine Safety Department
Alexa Smittle, Director of Community Development
Sherry Johnson, Interim Director of Finance/City Treasurer Iris Lee, Acting Director of Public Works
Dana Engstrom, Acting City Clerk
Ron Roberts, Orange County Fire Authority
Michael Henderson, Police Captain
Mike Ezroj, Police Captain

APPROVAL OF AGENDA & WAIVER OF FULL READING OF RESOLUTIONS AND

ORDINANCES
Acting City Clerk Engstrom read into the record that one (1) emailed comment was received regarding various agenda items and three (3) PowerPoints were received after the posting of the agenda that were distributed to City Council and made available to the public.

Mayor Pro Tem Varipapa moved, second by Council Member Sustarsic, to approve the agenda.

AYES: Kalmick, Moore, Sustarsic, Varipapa, Massa-Lavitt NOES: None
ABSENT: None
ABSTAIN: None
Motion carried

PRESENTATIONS / RECOGNITIONS
 Monthly Seal Beach Historical Resources Foundation Update  Retirement Recognition for Dispatcher Cheryl Austin

PUBLIC COMMUNICATIONS
Mayor Kalmick opened oral communications. Speakers: Stephanie Wade. Mayor Kalmick then closed oral communications.

CITY ATTORNEY REPORT
City Attorney Steele reported that prior to the meeting the City Council met in Closed Session to discuss the one (1) item posted on the agenda and indicated that the City Council took no reportable action.

CITY MANAGER REPORT
City Manager Ingram had no items to report.

COUNCIL COMMENTS
Council Member Massa-Lavitt indicated that the Orange County Mosquito and Vector Control District Board met to discuss their budget and their Spring Awareness Program, noting they anticipate normal mosquito activity this year.

Mayor Pro Tem Varipapa stated he attended the Be More Healthy Expo, the Lifeguard Horseshoe Tournament, the Seal Beach Tennis and Pickleball Center Open House, and the City/Los Alamitos Unified School District Working Group meeting.

Council Member Moore announced he will be holding a Coffee with a Cop on June 8, 2022 at Peet’s Coffee starting at 5:30 p.m., and the Summer Kick-Off event will be held at Edison Park on June 11th at 6:30 p.m.

Council Member Sustarsic stated she attended the City/Los Alamitos Unified School District Working Group meeting, toured the Orange County Sanitation District’s Plant #1, and attended the groundbreaking ceremony of the Solar Energy Project at the Joint Forces Training Base.

Mayor Kalmick indicated he attended the Best and the Bravest awards ceremony at the Orange County Fire Authority headquarters, the Be More Healthy Expo, and the Seal Beach Tennis and Pickleball Center Open House. He announced that he will be hosting a District One (1) Town Hall meeting on June 1st from 6:00 p.m.– 8:30 p.m.

COUNCIL ITEMS
A. City Council Resolution Supporting the “CARE Court” Program and Pending Legislation - That the City Council adopt Resolution 7293 in support of the pending legislation (SB 1338) “CARE Court”, which would get people with mental health and substance use disorders the support they need.

Police Chief Gonshak provided a brief background of the staff report and Mayor Kalmick commented on supporting this item.

Council Member Massa-Lavitt moved, second by Mayor Pro Tem Varipapa, to adopt Resolution 7293 in support of the pending legislation (SB 1338) “CARE Court”, which would get people with mental health and substance use disorders the support they need.

AYES: Kalmick, Moore, Massa-Lavitt, Sustarsic, Varipapa NOES: None
ABSENT: None
ABSTAIN: None
Motion carried

CONSENT CALENDAR
Council Member Sustarsic moved, second by Council Member Massa-Lavitt, to approve the recommended actions on the consent calendar.

B. Approval of the May 9, 2022 City Council Minutes - That the City Council approve the minutes of the Regular City Council meeting held on May 9, 2022.

C. Demands on City Treasury (Fiscal Year 2022) May 23, 2022 - Ratification.

D. Approve Amendments to the Classification Plan and Designate the Pay Grade and Status of Four Planning Positions - That the City Council: 1. Adopt Resolution 7280; and, 2. Authorize the City Manager to implement changes to the job classifications and salary schedules.

E. Amendment No. 1 to Professional Services Agreement with Parkeon, Inc. for Replacement of IPS Single Space Parking Meters with Flowbird Pay Stations and the Upgrade of the Beach Lot Pay Stations - That the City Council adopt Resolution 7281: 1. Approving Amendment No. 1 to the Professional Services Agreement with Parkeon, Inc. for (a) replacing the IPS single space parking meters with one Flowbird pay station, technology and services at each of the three beach parking lots located in the Main Street/Old Town Area for the not-to-exceed amount of $31,300, and (b) to upgrade the touchscreens for the six Strada pay stations at the beach parking lots for the not-toexceed amount of $22,500, for the revised total contract not-to-exceed amount of $99,115; and, 2. Authoring and directing the City Manager to execute Amendment No. 1.

F. Approving the Submittal of Application(s) for the SB 1383 Local Assistance Grant Program through the State of California Department of Resources Recycling and Recovery (CalRecycle) and Authorizing the City Manager to Execute All Grant Documents - That the City Council adopt Resolution 7282: 1. Authorizing the City Manager or their designee to submit application(s) for all SB 1383 Local Assistance Grant Programs through CalRecycle for which the City of Seal Beach is eligible; and, 2.

Authorizing the City Manager or their designee to execute all documents necessary to secure and implement the grant(s) and all grant-related reports to CalRecycle; and 3.

Providing that these authorizations are effective for five (5) years from the date of adoption of this resolution.

G. Approving and Authorizing Amendment No. 1 to the Professional Maintenance Services Agreement with ACCO Engineered Systems, Inc., for HVAC Maintenance and Repair Services - That the City Council adopt Resolution 7283: 1. Approving Amendment No. 1 to the professional maintenance services agreement dated July 26, 2021 with ACCO Engineered Systems, Inc. to authorize additional HVAC maintenance and repair services, and increase compensation by $25,000 for the additional services for a revised total contract not-to-exceed amount of $85,598.58; and, 2. Authorizing the City Manager to execute Amendment No. 1.

H. Adopting a Resolution Listing the Projects Funded by Senate Bill 1: Road Repair and Accountability Act and Authorizing Submittal of the Project List and Application for Road Maintenance Rehabilitation Account Funds to the California Transportation Commission - That the City Council adopt Resolution 7284: 1.

Approving the project list for improvements that are to be funded by Senate Bill 1; and, 2.

Authorizing the City Manager, or designee, to submit the project list and application for Road Maintenance and Rehabilitation Account funds to the California Transportation Commission.

I. Application for the Environmental Cleanup Program Tier 1 Fiscal Year 2022-2023 Grant - That the City Council adopt Resolution 7285 authorizing an application for grant funds under the Orange County Transportation Authority (OCTA) Environmental Cleanup Program Tier 1 Fiscal Year 2022-2023.

J. Adopt 2022 Pavement Management Plan - That the City Council approve Resolution 7286 adopting the 2022 Pavement Management Plan Report.

K. Intergovernmental Support Agreement with the Naval Weapons Station Seal Beach to Provide Beach Clean-Up and Grooming Services (IGSA Number = N61065- 2021-IGSA-0001) - That the City Council adopt Resolution 7287: 1. Approving an Intergovernmental Support Agreement with the Naval Weapons Station Seal Beach to provide beach clean-up and grooming services for a one-year term, with nine (9) optional one-year term extensions, in a not-to-exceed amount of $45,000 per year, plus a not-toexceed ten (10) percent administrative fee; and, 2. Authorizing the City Manager to execute the Intergovernmental Support Agreement on behalf of the City.

L. Awarding and Authorizing Execution of a Professional Services Agreement with Downstream Services, Inc. for the SCADA System Antenna Pole Installation, CIP WT1801 - That the City Council adopt Resolution 7288: 1. Approving the plans, specifications, and contract documents for the SCADA System Antenna Pole Installation, CIP WT1801; and, 2. Approving and awarding a professional services agreement to Downstream Services, Inc. in the amount of $133,671; and, 3. Authorizing the City Manager to execute a professional services agreement with Downstream Services, Inc.; and, 4. Authorizing the City Manager to approve additional work requests up to $10,000 and inspection services up to $5,000, in connection with the Project, in the cumulative not-to exceed amount of $15,000.

M. Approving and Authorizing Amendment No. 1 to the Professional Services Agreement with Tetra Tech, Inc. for Bolsa Chica Water Well Improvements, CIP WT1603 - That the City Council adopt Resolution 7289 : 1. Approving Amendment No. 1 to the Professional Services Agreement dated February 24, 2020 between the City of Seal Beach and Tetra Tech, Inc. to authorize additional services, increase consultant’s compensation by $48,000 for a revised total agreement not-to-exceed amount of $326,000, and extend the contract term to and including May 1, 2023; and, 2. Authorizing the City Manager to execute Amendment No. 1.

AYES: Kalmick, Varipapa, Sustarsic, Moore, Massa-Lavitt NOES: None
ABSENT: None
ABSTAIN: None
Motion carried

ITEMS REMOVED FROM CONSENT CALENDAR
There were no items removed from the consent calendar.

PUBLIC HEARING
N. Conduct Public Hearing for 2020 Water Shortage Contingency Plan, and Introduction of Water Shortage Contingency Response Ordinance - That the City Council: 1. Open and conduct a public hearing to receive input regarding the 2020 Water Shortage Contingency Plan; and, 2. Adopt Resolution 7290 approving the 2020 Water Shortage Contingency Plan, amended May 2022; and, 3. Introduce, waive full reading, and read by title only Ordinance 1695, an Ordinance of the City of Seal Beach amending the Seal Beach Municipal Code by Revising and Supplement the City’s Water Conservation Provisions.

Acting Public Works Director Lee provided a comprehensive background of the staff report and addressed Council Member questions.

Mayor Kalmick opened the public hearing. Speakers: None. Mayor Kalmick closed the public hearing.

Council Member Sustarsic moved, second by Council Member Moore, to adopt Resolution 7290 approving the 2020 Water Shortage Contingency Plan, amended May 2022; and, introduce, waive full reading, and read by title only Ordinance 1695, an Ordinance of the City of Seal Beach amending the Seal Beach Municipal Code by Revising and Supplement the City’s Water Conservation Provisions.

AYES: Kalmick, Moore, Massa-Lavitt, Sustarsic, Varipapa NOES: None
ABSENT: None
ABSTAIN: None
Motion carried
O. Street Lighting Assessment District No. 1 - That the City Council adopt Resolution 7291 confirming the diagram, assessment, and levying assessments for the Seal Beach Street Lighting Assessment District No.1 (District) for Fiscal Year 2022-2023.

Interim Finance Director Johnson provided a comprehensive background of the staff report.

Mayor Kalmick opened the public hearing. Speakers: None. Mayor Kalmick closed the public hearing.

Council Member Massa-Lavitt moved, second by Mayor Pro Tem Varipapa, to adopt Resolution 7291 confirming the diagram, assessment, and levying assessments for the Seal Beach Street Lighting Assessment District No.1 (District) for Fiscal Year 2022-2023.

AYES: Kalmick, Moore, Massa-Lavitt, Sustarsic, Varipapa NOES: None
ABSENT: None
ABSTAIN: None
Motion carried

UNFINISHED/CONTINUED BUSINESS
There were no unfinished/continued business items.

NEW BUSINESS
P. Animal Control Services Recommendation for the City of Seal Beach - That the City Council adopt Resolution 7292: 1. Approving the creation of an Animal Control Services function within the City of Seal Beach; and, 2. Authorizing the City Manager to execute agreements associated with the creation of a City of Seal Beach Animal Control Services function.

Captain Henderson provided a comprehensive background of the staff report and addressed Council Member questions.

Council Member Massa-Lavitt moved, second by Mayor Pro Tem Varipapa, to adopt Resolution 7292: 1. Approving the creation of an Animal Control Services function within the City of Seal Beach; and, 2. Authorizing the City Manager to execute agreements associated with the creation of a City of Seal Beach Animal Control Services function.

AYES: Kalmick, Moore, Massa-Lavitt, Sustarsic, Varipapa NOES: None
ABSENT: None
ABSTAIN: None
Motion carried

ADJOURNMENT
Mayor Kalmick adjourned the City Council meeting at 9:02 p.m., to Monday, June 13, 2022 at 5:30 p.m. to meet in closed session, if deemed necessary. __________________________
Dana Engstrom, Acting City Clerk
City of Seal Beach
Approved: ___________________________
Joe Kalmick, Mayor
Attested: ____________________________
Dana Engstrom, Acting City Clerk

Agenda Item D

AGENDA STAFF REPORT
DATE: June 13, 2022
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Dana Engstrom, Acting City Clerk
SUBJECT: Second Reading and Adoption of Ordinance 1695
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt Ordinance 1695 titled "An Ordinance of the City of Seal Beach Amending the Seal Beach Municipal Code by Revising and Supplementing the City’s Water Conservation Provisions.”
BACKGROUND AND ANALYSIS:

At its meeting on May 23, 2022, the City Council approved the introduction of Ordinance 1695 of the City of Seal Beach amending the Seal Beach Municipal Code by revising and supplementing the City’s water conservation provisions.

This item is to approve the second reading and adoption of Ordinance 1695 in compliance with State law and the City Charter requiring that ordinances be adopted at least 5 days after introduction at a regular or adjourned regular meeting.

Upon adoption and pursuant to City Charter Section 414 and Water Code Section 376, the Ordinance will be published within fifteen (15) days after adoption.

ENVIRONMENTAL IMPACT:

Section 10652 of the California Water Code provides that the California Environmental Quality Act (Division 13 (commencing with Section 21000 of the Public Resources Code) (CEQA) does not apply to the preparation and adoption of a Water Shortage Contingency Plan (WSCP) and Water Shortage Contingency Response Ordinance as part of Plan pursuant to California Water Code section 10632, and this statutory exemption is reflected in Section 15282 of the CEQA Guidelines. The preparation and adoption of water shortage contingency plans and ordinances are also categorically exempt from CEQA pursuant to Section 15307 of the CEQA Guidelines (actions by regulatory agencies for protection of natural resources).

LEGAL ANALYSIS:

The City Attorney has reviewed and approved the ordinance as to form.

FINANCIAL IMPACT:

There is direct fiscal impact associated with the adoption of the WSCP and Water Shortage Contingency Response Ordinance. Implementation of the WSCP and Ordinance will be proposed in each fiscal year’s budget process.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

MEASURE BB:

This item is not applicable to Measure BB, the Seal Beach Neighborhood and Essential Services Protection Measure.

RECOMMENDATION:

That the City Council adopt Ordinance 1695 titled "An Ordinance of the City of Seal Beach Amending the Seal Beach Municipal Code by Revising and Supplementing the City’s Water Conservation Provisions.”
SUBMITTED BY: NOTED AND APPROVED:

Dana Engstrom Jill R. Ingram
Dana Engstrom, Acting City
Clerk
Jill R. Ingram, City Manager
ATTACHMENTS:

A. Ordinance 1695
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ORDINANCE 1695

AN ORDINANCE OF THE CITY OF SEAL BEACH AMENDING

THE SEAL BEACH MUNICIPAL CODE BY REVISING AND
SUPPLEMENTING THE CITY’S WATER CONSERVATION

PROVISIONS
WHEREAS, a reliable minimum supply of water is essential to the public health, safety and welfare of the people and economy of Southern California and the City of Seal Beach community.

WHEREAS, Southern California is a semi-arid region, largely dependent on imported water supplies from Northern California and the Colorado River along with a limited amount of local water supplies. Population growth, drought, climate change, environmental concerns, government policy changes, restrictions on pumping and other factors in our region, in other parts of the State and in the western U.S., make Southern California highly-susceptible to water supply reliability issues. Southern California experienced significant dry year conditions in 2012-2017, which led local water agencies, including the City of Seal Beach (City) to declare water shortage conditions that triggered demand reduction actions.

WHEREAS, the Legislature subsequently amended the Urban Water Management Planning Act (Water Code section 10610 et seq.) in 2018, to add California Water Code Section 10632 relating to water shortage contingency planning and also mandated new elements to Urban Water Management Plans and Water Shortage Contingency Plans. These elements include an annual drought risk assessment, State Water Shortage Levels, and statewide water use prohibitions.

WHEREAS, the Municipal Water District of Orange County (MWDOC) has adopted a 2020 Urban Water Management Plan and Water Shortage Contingency Plan documents that include water conservation and additional demand reduction actions in times of shortage as a necessary and effective component of MWDOC’s programs to provide a reliable supply of water to meet the needs of MWDOC’s 28 member agencies, including the City, with which this Ordinance is consistent.

WHEREAS, the imported water supplies in the City and MWDOC are subject to the Water Shortage Allocations determined by the Metropolitan Water District of Southern California, and subsequently MWDOC will be required to curtail deliveries of imported water based on MWDOC’s Water Shortage Allocation Plan, which could be triggered in a state of shortage.

WHEREAS, local groundwater supplies from the Orange County Groundwater Basin are limited by the Basin Pumping Percentage, which is set by Orange County Water District on an annual basis. A supply reduction that may result from - 2 -
the annual Basin Production Percentage will be included in the City’s Annual Water Supply and Demand Assessment.

WHEREAS, as of July 2021, both MWDOC and the City are required to prepare an Annual Water Supply and Demand Assessment and Drought Risk Assessment as part of their Urban Water Management Plan for submission to the California Department of Water Resources (DWR). Annually, by July 1st of each year, beginning the year following the adoption of the 2020 Urban Water Management Plan. MWDOC and the City are required to monitor, report, and if declared a drought emergency according to their adopted Water Shortage Contingency Plans, then notify DWR, in order to comply with the California Water Code 10632.1 reporting requirements.

WHEREAS, California Water Code Section 353 specifies that a governing body must adopt regulations or restrictions on the delivery and consumption of water within its service area when it declares the existence of an emergency condition.

WHEREAS, California Water Code Section 375 authorizes water suppliers to adopt and enforce a comprehensive water conservation program to reduce water consumption and conserve supplies.

WHEREAS, City Charter Article IV, Sections 412 through 416 set forth the procedures for adoption of City ordinances, and California Water Code Section 375 et seq. and Section 10640 et seq. set forth the public notification, public meeting and public hearing and findings requirements for water providers proposing the establishment of a water conservation program.

WHEREAS, California Water Code Sections 350, et. seq., sets forth the determination and notification procedures for water suppliers seeking to declare a water shortage or a water emergency.

WHEREAS, California Water Code Section 356 allows for the adoption of regulations and restrictions that include discontinuance of service as an enforcement option where a water shortage emergency condition has been declared.

WHEREAS, California Water Code Section 377 authorizes water suppliers to enforce a comprehensive water conservation program to reduce water consumption through establishment of non-compliance charges and other penalties, subject to advance notification to water users.

WHEREAS, Health and Safety Code Section 5471 authorizes the City to apply charges or fees to persons or entities that fail to comply with any provision of this Ordinance in order to recover administrative and enforcement costs due to noncompliance (including but not limited to notices, postings, hearings, water waste - 3 -
violations, water shortage demand reduction measures, shut offs, account management, data collection).

WHEREAS, California Water Code Section 370, et. seq., authorizes water suppliers to adopt water allocation programs for water users and allocation-based conservation water pricing.

WHEREAS, California Water Code Sections 13550 and 13551 declare a statewide policy that the use of domestic water for irrigation purposes when reclaimed (recycled) water is available constitutes a waste or unreasonable use of water within the meaning of the State Constitution.

WHEREAS, the adoption and enforcement of a Water Shortage Contingency Response Ordinance is necessary to manage the City’s water supply short- and long-term and to minimize and/or avoid the effects of drought and water shortage within the City. Such a program is essential to ensure a reliable and sustainable minimum supply of water for public health, safety and welfare.

WHEREAS, the City Council adopts this Ordinance in accordance with the Seal Beach Charter pursuant to the City’s authority over municipal affairs as a charter city under California Constitution, Article XI, Section 5; the City’s police power under California Constitution Article XI, Section 7; and pursuant to state law including California Constitution, Article X, Section 2, Water Code Section 370 et seq. and Water Code Section 10620 et seq.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES HEREBY ORDAIN AS FOLLOWS:

SECTION 1. The City Council finds this Ordinance 1695 establishes reasonable water management requirements necessary to conserve water, enable effective water supply reliability planning, assure reasonable and beneficial use of water, prevent waste of water, prevent unreasonable use of water, and maximize efficient use of water within the City.

This Ordinance establishes:

1. Permanent water conservation measures designed to increase water-use efficiency during non-shortage conditions.

2. Regulations to be implemented during times of declared water shortages or water shortage emergencies.

3. Six Water Shortage Levels that are most often triggered due to drought conditions to provide defined response actions that - 4 -
consist of increasing water use restrictions and demand reduction actions as a result of worsening drought or emergency conditions and decreasing supplies.

SECTION 2. Chapter 9.35 (“Water and Water Conservation”) of Title 9 of the Seal Beach Municipal Code is hereby retitled as “Water.”
SECTION 3. Sections 9.35.095 through 9.35.170 of Chapter 9.35 of Title 9 of the Seal Beach Municipal Code are hereby repealed in their entirety and removed from the Municipal Code.

SECTION 4: A new Chapter 9.37 entitled “Water Shortage Contingency Response” is hereby added to Title 9 of the Seal Beach Municipal Code to read as follows:
“Chapter 9.37 Water Shortage Contingency Response

9.37.005 Definitions
A. For the purposes of this chapter, the following words and phrases shall mean:

1. Annual Water Supply and Demand Assessment: a
determination of the near-term outlook for supplies and demands and how a perceived shortage may relate to the Shortage Level response actions as defined in the Water Shortage Contingency Plan in the current calendar year.

2. City: the City of Seal Beach.

3. Demand Reduction Actions: education, incentive or regulatory actions taken by the City to reduce water demand in its service area during times of shortage. Demand reduction actions preplanned to prepare for a water shortage as presented in Table 8-2 of the City’s Water Shortage Contingency Plan.

4. Director: director of public works/city engineer or the designee thereof.

5. DWR: California Department of Water Resources.

6. Local Health Agency: Orange County Health Department.

7. MWDOC: the Municipal Water District of Orange County.

8. Water Conservation Measure: restrictions enforceable to address progressive levels of water shortage, including but not limited to, Permanent Water Conservation Measures, Water Shortage Level mandatory water conservation measures and demand reduction actions as defined in this chapter or the City’s Water Shortage Contingency Plan.
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9. Water User: a person who obtains water from the city water system.

B. Any word or phrase used in this chapter that is defined in the Health and Safety Code Section 116275 or in California Code of Regulations Title 17, Section 7583 and not defined in subsection A shall have the meaning set forth in such state law provision.

9.37.010 Applicability
A. The provisions of this chapter apply to any person or entity using water provided by the City. This includes individuals, persons, corporations, public or private entities, governmental agencies or institutions, or any other users of City water.

B. Exemptions. The provisions of the chapter do not apply to any of the following:

1. Water use necessary to protect public health and safety or for essential government services, such as police, fire and similar services.

2. Recycled water use for onsite reuse. Use of recycled water requires a permit that has specific use restrictions, many of which focus on water efficiency. Given such permits and the interest in promoting the use of recycled water as a means to preserve, recycled water is exempt from requirements of this chapter.

3. Water used by commercial nurseries and growers to sustain plants, trees, shrubs, crops or other vegetation intended for commercial sale.

4. Water used from private wells.

C. This chapter is intended solely to further the beneficial use and conservation of water. It is not intended to implement any provision of federal, state, or local statutes, ordinances or regulations relating to protection of water quality or control of drainage or runoff. Refer to chapter 9.20 for information on storm water management.

9.37.015 Permanent Mandatory Water Conservation Measures The City has adopted a Water Shortage Contingency Plan which details demand reduction actions that the City may take to restrict or shall prohibit its customers’ consumption of water, including baseline conservation measures to be taken in times of normal water supply conditions. The following permanent water - 6 -
conservation measures set forth in this chapter, in support of demand reduction actions as called for in the California Water Code, are effective at all times and are applicable unless repealed by the City Council. Violations of this section shall be considered waste and an unreasonable use of water subject to penalties and fees as appropriate, in addition to any other legal or equitable remedies provided by law.

A. Leaks
Each water user shall repair all leaks from indoor and outdoor plumbing fixture at the user’s premises. Such water user shall eliminate any loss or escape of water through breaks, leaks or other malfunctions in the water user’s plumbing or distribution system promptly after discovering the leak, but in no case more than 7 days after discovery, unless otherwise permitted in the Water Shortage Contingency Plan demand reduction actions.

B. Runoff
No water user shall cause or allow water to run off landscape areas into the public right-of-way due to incorrectly maintained sprinklers, excessive watering or use.

C. Limits on Watering Hours
No water user shall cause or allow watering or irrigating of the user’s lawn, landscape or other vegetated area with potable water between 9:00 a.m. and 5:00 p.m. on any day, except by use of a hand-water shut-off nozzle or device, or for a very short period of time for the limited purpose of adjusting or repairing an irrigation system.

D. Limit on Watering Duration
No water user shall cause or allow watering or irrigating of lawn, landscape or other vegetated area with potable water using a landscape irrigation system or a watering device that is not continuously attended for longer than 15 minutes watering per day per station. Landscape irrigation shall be consistent with Chapter 9.70 (Water Efficient Landscape Ordinance).

E. No Washing Down Hard or Paved Surfaces
No water user shall cause or allow the washing down of hard or paved surfaces, including but not limited to sidewalks, walkways, driveways, parking areas, tennis courts, patios or alleys. Notwithstanding this prohibition, a water user may wash down such surfaces when necessary to alleviate safety or sanitary hazards, and then only by use of a hand-held bucket or similar container, a hand-held hose equipped with a positive self-closing water shut-off device, a - 7 -
low-volume, high-pressure cleaning machine equipped to recycle any water used, or a low-volume high-pressure water broom.

F. Re-circulating Water Required for Water Fountains and Decorative Water Features
No person shall operate a water fountain or other decorative water feature that does not use re-circulated water.

G. No Installation of Single Pass Cooling Systems
No person shall install single pass cooling systems in connection with new water service.

H. No Installation of Non-re-circulating in Commercial Car Wash and Laundry Systems
No person shall install non-re-circulating water systems in connection with commercial conveyor car wash and commercial laundry systems. The owner or operator of any commercial conveyor car wash system shall install operational re-circulating water systems or secure a waiver of this requirement from the Director.

I. Washing of Vehicles and Equipment.

No person shall wash a motor vehicle, trailer, boat or other type of mobile equipment other than by a hand-held bucket or by a hose equipped with a positive shut-off nozzle. This prohibition shall not apply to washing performed at a commercial car wash.

J. Water Upon Request
Restaurants shall not offer water service and shall serve water only to a customer that specifically requests water.

9.37.020 Determination of Water Shortage Level
The City’s Water Shortage Levels are aligned with the six standard State Water Shortage Levels and as defined in MWDOC’s as well as the City’s Water Shortage Contingency Plan to comply with California Water Code Section 10632(a)(3). The Water Shortage Levels represent shortages from normal reliability as determined in the Annual Water Supply and Demand Assessment, corresponding to progressive ranges of 10, 20, 30, 40, 50, and greater than 50 percent shortages.

The City Council may declare a Water Shortage Level upon making a finding specified in DWR Table 8-1, by resolution adopted at a regular or special meeting - 8 -
after a public hearing. Such resolutions shall specify the start day of the Level and shall be effective upon posting in a publication of general circulation within the City.

A. DWR Table 8-1 from the City’s Water Shortage Contingency Plan defines the conditions that trigger each Water Shortage Level as follows:

DWR Table 8-1
Water Shortage Contingency Plan Levels
Shortage
Level
Percent
Shortage
Range
Shortage Level Response Actions
0 0%
(Normal)
A Level 0 Water Supply Shortage – Condition exists when the City notifies its water users that no supply reductions are anticipated in this year. The City proceeds with planned water efficiency best practices to support consumer demand reduction in line with state mandated requirements and local City goals for water supply reliability. Permanent water waste prohibitions are in place as stipulated in the City’s Water Shortage Contingency Response Ordinance.
1 Up to 10%
A Level 1 Water Supply Shortage – Condition exists when the City notifies its water users that due to drought or other supply reductions, a consumer demand reduction of up to 10% is necessary to make more efficient use of water and respond to existing water conditions. The type of event that may prompt the City to declare a Level 1 Water Supply Shortage may include, among other factors, a finding that its wholesale water provider calls for extraordinary water conservation. 2  11% to
20%
A Level 2 Water Supply Shortage – Condition exists when the City notifies its water users that due to drought or other supply reductions, a consumer demand reduction of up to 20% is necessary to make more efficient use of water and respond to existing water conditions. Upon declaration of a Level 2 Water Supply Shortage condition, the City shall implement the mandatory Level 2 conservation measures identified in this ordinance.
3 21% to
30%
A Level 3 Water Supply Shortage – Condition exists when the City declares a water shortage emergency condition pursuant to California Water Code section 350 and notifies its residents and businesses that up to 30% consumer demand reduction is required to ensure sufficient supplies for human consumption, sanitation and fire protection.

The City must declare a Water Supply Shortage Emergency in the manner and on the grounds provided in California Water Code section 350.
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DWR Table 8-1
Water Shortage Contingency Plan Levels
Shortage
Level
Percent
Shortage
Range
Shortage Level Response Actions
4  31% to
40%
A Level 4 Water Supply Shortage - Condition exists when the City declares a water shortage emergency condition pursuant to California Water Code section 350 and notifies its residents and businesses that up to 40% consumer demand reduction is required to ensure sufficient supplies for human consumption, sanitation and fire protection. The City must declare a Water Supply Shortage Emergency in the manner and on the grounds provided in California Water Code section 350.
5  41% to
50%
A Level 5 Water Supply Shortage - Condition exists when the City declares a water shortage emergency condition pursuant to California Water Code section 350 and notifies its residents and businesses that up to 50% or more consumer demand reduction is required to ensure sufficient supplies for human consumption, sanitation and fire protection. The City must declare a Water Supply Shortage Emergency in the manner and on the grounds provided in California Water Code section 350.
6 >50%
A Level 6 Water Supply Shortage – Condition exists when the City declares a water shortage emergency condition pursuant to California Water Code section 350 and notifies its residents and businesses that greater than 50% or more consumer demand reduction is required to ensure sufficient supplies for human consumption, sanitation and fire protection. The City must declare a Water Supply Shortage Emergency in the manner and on the grounds provided in California Water Code section 350.

NOTES:

The shortage response actions that align with each Level of Water Supply Shortage are defined in the City’s Water Shortage Contingency Plan, or as may be amended from time to time, along with an estimate of the extent to which the gap between supplies and demand will be reduced, and include:

1. Locally appropriate supply augmentation actions.

2. Locally appropriate demand reduction actions to respond to shortages.
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3. Locally appropriate operational changes.

4. Additional mandatory prohibitions against specific water use practices, in addition to state-mandated prohibitions, as deemed necessary by the City.

B. Each elevated shortage level will include the elements of the previous shortage level(s), including permanent mandatory water conservation measures as defined in this Ordinance and the City’s Water Shortage Contingency Plan. As deemed necessary, an allocation of water supply under a water supply emergency condition beyond Water Shortage Contingency Plan defined actions may be required to be implemented when conditions dictate necessary.

C. No person shall violate any provisions of the City’s Water Shortage Contingency Plan applicable to a particular Water Storage Level during a period in which conditions of such Water Storage Level have been declared to exist.

D. Upon determining that water shortage conditions continue to exist but have improved to the point that it is appropriate to move to a less restrictive level, the City Council shall adopt a resolution declaring the existence of the new water shortage level. Upon determining that water shortage conditions no longer exist, the City Council shall adopt a resolution declaring an end to the water shortage.

9.37.025 Procedures and Protocols for Communication
Upon declaration of a water shortage, the City will inform all relevant stakeholders, including customers, the public, interested parties, and local, regional, and state governments, of the applicable Water Storage Level and the effective date of the water shortage actions associated with the relevant Water Shortage Level according to the communication procedures identified in the City’s Water Shortage Contingency Plan, including:

A. Any current or predicted shortages as determined by the Annual Water Supply and Demand Assessment.

B. Any shortage response actions triggered or anticipated to be triggered by the Annual Water Supply and Demand Assessment.

C. Any other relevant communications.

9.37.030 Relief from Water Conservation Measures
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A. Within fifteen (15) days of the effective date of a resolution declaring the Water Shortage Level, any water user may apply to the Director for relief from the applicable water conservation measures. Applications shall be filed on a City-provided form and shall be accompanied by an application fee in an amount set by City Council resolution.

B. The Director may approve, conditionally approve or deny an application for relief from water conservation measures. In making such determination, the Director shall consider the following factors:

1. Whether additional reduction in water consumption will result in unemployment.

2. Whether additional persons have been added to the household (i.e., higher occupancy dwellings or Accessory Dwelling Units [ADUs]).

3. Whether additional landscaped property has been added to the property since the corresponding billing period of the prior calendar year.

4. Changes in vacancy factors in multi-family housing.

5. Increased number of employees in commercial, industrial and governmental offices.

6. Increased production requiring increased process water for nonresidential uses.

7. Water uses during new construction.

8. Adjustments to water use caused by emergency health of safety hazards.

9. First filling of a permit-constructed swimming pool.

10.Water use necessary for reasons related to family illness or health.

11.Whether the applicant has achieved the maximum practical reduction in water consumption other than in the specific areas for which relief is sought.

C. The decision of the Director shall be final.

9.37.035 Penalties, Violations and Enforcement of Water Conservation Measures
A. Penalties: The following will apply to any person that fails to comply with any provision of this chapter or any water conservation measure adopted pursuant to this chapter or the City’s for Permanent, and/or any applicable Water Shortage Level mandatory water conservation measures and demand reduction actions. The penalties set forth in this section shall be exclusive and not cumulative with any other provision of this code. Violation of water conservation measures shall be penalized as follows:
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1. First violation: the Director shall issue a written warning and deliver a copy of this chapter by mail or posting (i.e., door hanger).

2. Second violation during a water conservation level within the preceding twelve (12) calendar months: the Director shall impose a penalty in an amount consistent with the City’s last adopted Cost Recovery Schedule.

3. Subsequent violations during a water conservation level within the preceding twelve (12) calendar months: the City shall install a flow restricting device of appropriate size as determined by the Director, and a comparatively sized restrictor for larger service, on the service of the violator at the premises at which the violation occurred for a period of not less than 48 hours. The Director shall charge the water user the costs of installation and removal of the device and for restoration of normal service. Normal service shall not be restored until the account has been made current and all charges have been paid.

B. Termination of Service: In addition to any fines, the City may disconnect and/or terminate a customer’s water service for a willful violation of any water conservation measure or other mandatory restrictions of this chapter or any willful violation of any water conservation measure imposed pursuant to the Water Shortage Contingency Plan. The violator shall be responsible for payment of the City’s charges for disconnecting and/or reconnecting service. All associated fees must be paid in full prior to restoration of normal service. Nonpayment will be subject to the same remedies as nonpayment of basic water rates.

C. Separate Offenses: Each day that a violation of this chapter occurs is a separate offense.

D. Notice of Violation: Except for violations of this chapter subject to excessive water use penalties, if any person fails or refuses to comply with this chapter, the City’s Water Storage Contingency Plan, or any water conservation measure adopted pursuant thereto, the Director or his/her designee shall provide that person with written notice of the violation and an opportunity to correct the noncompliance at least fifteen (15) days before taking enforcement action.

1. The City will issue a Notice of Violation by mail or personal delivery at least fifteen (15) days before taking enforcement action. The written notice shall be mailed via United States first class mail to the address of the violation, to the party who is billed for the water, or to the Owner of the property, as appropriate, and shall also be posted or presented at the site of the violation.
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2. The Notice shall contain the following information:
a. State the time, date, and place of violation;
b. State a general description of the violation;
c. State the means to correct the violation;
d. State a date by which correction is required; and,
e. State the possible consequences of failing to correct the violation.

E. Appeal and Hearing:

1. Issuance of the first violation notice shall not be subject to any right of hearing or appeal.

2. Any person receiving a notice of second or subsequent violation may request a hearing before the Director by filing a written appeal with the city clerk no later than the close of business on the day before the date scheduled for enforcement action. The appeal fee shall be in an amount set by City Council resolution. A timely request for a hearing shall stay the installation of a flow-restricting de vice on the appellant’s premises until a decision has been made on the appeal.

If the Director determines that the surcharge was incorrectly assessed, the City shall refund any money deposited by the customer. The Director’s decision on the appeal shall be final.

3. Notwithstanding Subsection F(2), pending receipt of a written appeal or pending a hearing pursuant to an appeal, the City may take appropriate steps to prevent the unauthorized use of water as appropriate to the nature and extent of the violations and the current declared water level condition.”
SECTION 5: CEQA. The City Council determines that the adoption of this Water Shortage Contingency Response Ordinance is exempt from
environmental review under the California Environmental Quality Act (“CEQA”) pursuant to Water Code Sections 10632 and 10652, and Sections 15282 and 15307 of the CEQA Guidelines.

SECTION 6. Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance or any part thereof is for any reason held to be invalid, such invalidity shall not affect the validity of the remaining portions of this Ordinance or any part hereof.

The City Council of the City of Seal Beach hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared invalid. - 14 -
SECTION 7: Effective Date. This Ordinance shall become effective upon adoption in accordance with Water Code section 376.

SECTION 8: Publication. The City Clerk shall certify to the adoption of this Ordinance and shall post or publish this Ordinance or a summary as required by law. INTRODUCED at a regular meeting of the City Council of the City of Seal Beach held on May 23, 2022.

INTRODUCED at a regular meeting of the City Council of the City of Seal Beach held on May 23, 2022.

PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 13th day of June, 2022.

AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members

Joe Kalmick, Mayor
ATTEST:
__
Dana Engstrom, Acting City Clerk
- 15 -
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Dana Engstrom, Acting City Clerk of the City of Seal Beach, do hereby certify that the foregoing Ordinance was introduced for first reading at a regular meeting of the City Council of the City of Seal Beach held on the 23rd day of May, 2022, and was passed, approved, and adopted by the City Council at a regular meeting on the 13th day of June, 2022.
__
Dana Engstrom, Acting City Clerk
Agenda Item E

AGENDA STAFF REPORT
DATE: June 13, 2022
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Alexa Smittle, Community Development Director
SUBJECT: Professional Services Agreement with Sagecrest Planning + Environmental
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council approve Resolution 7294:

1. Approving the Professional Services Agreement with Sagecrest Planning + Environmental; and,

2. Authorizing the City Manager to execute the Agreement.

BACKGROUND AND ANALYSIS:

The Community Development Department requires additional contract planning support due to a staff vacancy. Efforts to recruit for this position continue, however, at this time, staff is recommending execution of the attached Professional Services Agreement with Sagecrest Planning + Environmental. Sagecrest Planning + Environmental has provided staff support since February 2021, and current contract Senior Planner, Art Bashmakian, has been assisting the City since July 2021. In addition to the day-to-day current planning and entitlement processes, a large volume of advance planning efforts including multiple general plan amendments, a zoning code update, and development of a Local Coastal Plan, require skilled support. Additional services will likely be needed to adequately transition projects once the vacancy is filled. The proposed Professional Services Agreement allows for service through June 30, 2023, and authorizes $75,000 to cover the cost of services on an as-needed basis.

ENVIRONMENTAL IMPACT:

This item is not subject to the California Environmental Quality Act (“CEQA”) under Section 15061(b)(3) of the state CEQA Guidelines because it can be seen with certainty that approval of this amendment to the Professional Services Agreement with Sagecrest Planning + Environmental will not have a significant effect on the environment.

LEGAL ANALYSIS:

The City Attorney has reviewed and approved as to form.

FINANCIAL IMPACT:

The Professional Services Agreement in the amount of $75,000 is included in the proposed budget FY 2022-2023 in account 101-300-0030-51280. Approximately 75 percent of the contract costs are offset by cost savings from the staff vacancy.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

MEASURE BB:

This item is not applicable to Measure BB, the Seal Beach Neighborhood and Essential Services Protection Measure.

RECOMMENDATION:

That the City Council approve Resolution 7294:

1. Approving the Professional Services Agreement with Sagecrest Planning + Environmental; and,

2. Authorizing the City Manager to execute the Agreement.

SUBMITTED BY: NOTED AND APPROVED:

Alexa Smittle Jill R. Ingram
Alexa Smittle, Community
Development Director
Jill R. Ingram, City Manager
ATTACHMENTS:

A. Resolution 7294
B. Professional Services Agreement with Sagecrest Planning and Environmental
RESOLUTION 7294

A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING A

PROFESSIONAL SERVICES AGREEMENT WITH SAGECREST
PLANNING + ENVIRONMENTAL
WHEREAS, the City of Seal Beach (City) has historically relied upon temporary staff assistance during periods of extraordinary work or during periods when permanent staff positions are vacant; and
WHEREAS, the City previously entered into an agreement with Sagecrest Planning + Environmental (Consultant) and is currently relying upon their services due to a vacant position in the Community Development Department; and,
WHEREAS, Consultant has proven to be a reliable, dependable, and competitively priced company who have provided staff competent and capable of serving temporary planning staffing needs of the City; and,
WHEREAS, pursuant to the Seal Beach City Charter, Seal Beach Municipal Code Chapter 3.20 establishes a central purchasing system including procedures for competitive bidding and exemptions from competitive bidding; and WHEREAS, Seal Beach Municipal Code Section 3.20.025(C) provides for an exemption from competitive bidding requirements for purchases of professional services, including without limitation, architectural services; bond services; election services; engineering services; insurance services; legal services; public relations services; real estate services; and solid waste disposal services; and
WHEREAS, City and Consultant wish to enter into this Agreement for Consultant to continue providing additional temporary staffing services, with compensation not to exceed the amount of $75,000, as provided herein.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES HEREBY RESOLVE:

Section 1. The City Council hereby approves the Professional Services Agreement with Sagecrest Planning + Environmental as set forth in Exhibit “A”, attached hereto and incorporated herein by this reference as through set forth in full, with a 1-year term extending from July 1, 2022 through June 30, 2023, and providing Sagecrest Planning + Environmental Services’ compensation for the term an amount not to exceed $75,000.

Section 2. The Council hereby directs the City Manager to execute the Agreement on behalf of the City.

PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 13th day of June, 2022 by the following vote:

AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members

Joe Kalmick, Mayor
ATTEST:

Dana Engstrom, Acting City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Dana Engstrom, Acting City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7294 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 13th day of June, 2022.

Dana Engstrom, Acting City Clerk

PROFESSIONAL SERVICES AGREEMENT
for
Temporary Planning Staff Services
between
City of Seal Beach
211 - 8th Street
Seal Beach, CA 90740
&
Sagecrest Planning + Environmental
27128 Paseo Espada, Ste 1524
San Juan Capistrano, CA 92675
This Professional Service Agreement (“the Agreement”) is made as of June 13, 2022 (the “Effective Date”), by and between Sagecrest Planning + Environmental (“Consultant”), a California corporation, and the City of Seal Beach (“City”), a California charter city, (collectively, “the Parties”).
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RECITALS
A. City desires certain professional planning services.

B. Pursuant to the authority provided by its City Charter and Seal Beach Municipal Code § 3.20.025(C), City desires to retain Consultant as an independent contractor to provide services in the manner set forth herein and more fully described in Section 1.0.

C. Consultant represents that the principal members of its firm are qualified planning professionals and are fully qualified to perform the services contemplated by this Agreement by virtue of the experience, training, education, and expertise of its principals and employees.

D. City desires to retain Consultant as an independent contractor and Consultant desires to serve City to perform those services in accordance with the terms and conditions of this Agreement.

NOW THEREFORE, in consideration of the Parties' performance of the promises, covenants, and conditions stated herein, the Parties hereto agree as follows.

AGREEMENT

1.0 Scope of Services

1.1. Consultant shall provide those services (collectively “Services”) set forth in the Scope of Services attached hereto as Exhibit A and incorporated herein by this reference. To the extent that there is any conflict between Exhibit A and this Agreement, this Agreement shall control.

1.2. Consultant shall perform all Services under this Agreement in accordance with the standard of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City.

1.3. In performing this Agreement, Consultant shall comply with all applicable provisions of federal, state, and local law.

1.4. As a material inducement to City to enter into this Agreement, Consultant hereby represents that it has the experience necessary to undertake the Services to be provided. In light of such status and experience, Consultant hereby covenants that it shall follow the customary professional standards in performing all Services. The City relies upon the skill of Consultant, and Consultant’s staff, if any, to do and perform the Services in a skillful, competent, and professional manner, and Consultant and Consultant’s staff, shall perform the Services in such manner. Consultant shall, at all times, meet or exceed any and all applicable professional standards of care. The acceptance of Consultant’s work 3 of 19
by the City shall not operate as a release of Consultant from such standard of care and workmanship.

1.5. Consultant will not be compensated for any work performed not specified in the Scope of Services unless the City authorizes such work in advance and in writing. The City Manager may authorize extra work to fund unforeseen conditions up to the amount approved at the time of award by the City Council. Payment for additional work in excess of this amount requires prior City Council authorization.

2.0 Term

2.1. The term of this Agreement shall commence on July 1, 2022 and shall remain in full force and effect until June 30, 2023, unless sooner terminated as provided in Section 5.0 of this Agreement.

3.0 Consultant’s Compensation

3.1. City will pay Consultant in accordance with service quote set forth in Exhibit A for the Services but in no event will the City pay more than the total notto-exceed amount of $75,000 (Seventy-Five Thousand Dollars) for the Term.

3.2. Consultant will not be compensated for any work performed not specified in the Scope of Services unless the City authorizes such work in advance and in writing. The City Manager may authorize extra work to fund unforeseen conditions up to the amount approved at the time of award by the City Council.

Payment for additional work in excess of this amount requires prior City Council authorization. Any additional work authorized by the City Manager pursuant to this Section will be compensated in accordance with the fee schedule set forth in Exhibit A.

4.0 Method of Payment

4.1. Consultant shall submit to City monthly invoices for all Services rendered pursuant to this Agreement. Such invoices shall be submitted within 15 days of the end of the month during which the Services were rendered and shall describe in detail the Services rendered during the period, the days worked, number of hours worked, the hourly rates charged, and the Services performed for each day in the period. City will pay Consultant within 30 days of receiving Consultant’s invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Consultant.

4.2. Upon 24-hour notice from City, Consultant shall allow City or City’s agents or representatives to inspect at Consultant’s offices during reasonable business hours all records, invoices, time cards, cost control sheets and other 4 of 19
records maintained by Consultant in connection with this Agreement. City’s rights under this Section 4.2 shall survive for three (3) years following the termination of this Agreement.

5.0 Termination

5.1. This Agreement may be terminated by City, without cause, or by Consultant based on reasonable cause, upon giving the other party written notice thereof not less than 30 days prior to the date of termination.

5.2. This Agreement may be terminated by City upon 10 days’ notice to Consultant if Consultant fails to provide satisfactory evidence of renewal or replacement of comprehensive general liability insurance as required by this Agreement at least 20 days before the expiration date of the previous policy.

6.0 Party Representatives

6.1. The City Manager is the City’s representative for purposes of this Agreement.

6.2. Amy Vasquez is the Consultant's primary representative for purposes of this Agreement. Amy Vasquez shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the Services hereunder. Consultant may not change its representative without the prior written approval of City, which approval shall not be unreasonably withheld.

7.0 Notices

7.1. All notices permitted or required under this Agreement shall be deemed made when personally delivered or when mailed 48 hours after deposit in the United States Mail, first class postage prepaid and addressed to the party at the following addresses:

To City: City of Seal Beach
211-8th Street
Seal Beach, California 90740
Attn: City Manager
To Consultant: Sagecrest Planning + Environmental
27128 Paseo Espada, Ste 1524
San Juan Capistrano, CA 92675
Attn: Amy Vasquez
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7.2. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

8.0 Permits and Licenses
Consultant and all of Consultant’s employees and other personnel shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of the Services under this Agreement, including a business license as required by the Seal Beach Municipal Code.

9.0 Independent Contractor

9.1. Consultant is an independent contractor and not an employee of the City. All work or other Services provided pursuant to this Agreement shall be performed by Consultant or by Consultant’s employees or other personnel under Consultant’s supervision. Consultant will determine the means, methods, and details by which Consultant’s employees and other personnel will perform the Services. Consultant shall be solely responsible for the satisfactory work performance of all personnel engaged in performing the Services and compliance with the customary professional standards.

9.2. All of Consultant’s employees and other personnel performing any of the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant and Consultant’s personnel shall not supervise any of City’s employees; and City’s employees shall not supervise Consultant’s personnel. Consultant’s personnel shall not wear or display any City uniform, badge, identification number, or other information identifying such individual as an employee of City; and Consultant’s personnel shall not use any City e-mail address or City telephone number in the performance of any of the Services under this Agreement. Consultant shall acquire and maintain at its sole cost and expense such vehicles, equipment and supplies as Consultant’s personnel require to perform any of the Services required by this Agreement. Consultant shall perform all Services off of City premises at locations of Consultant’s choice, except (1) as otherwise required for the performance of Services on City real property, vehicles or equipment; (2) as otherwise may from time to time be necessary in order for Consultant’s personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant’s performance of any Services under this Agreement, or (3) as may be necessary to inspect or visit City locations and/or private property to perform such Services. City may make a computer available to Consultant from time to time for Consultant’s personnel to obtain information about or to check on the status of projects pertaining to the Services under this Agreement.

9.3. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant’s personnel in connection with their 6 of 19
performance of any Services under this Agreement and as required by law.

Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: Social Security taxes, other retirement or pension benefits, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. Notwithstanding any other agency, State, or federal policy, rule, regulation, statute or ordinance to the contrary, Consultant and any of its officers, employees, agents, and subcontractors providing any of the Services under this Agreement shall not become entitled to, and hereby waive any claims to, any wages, salaries, compensation, benefit or any incident of employment by City, including but not limited to, eligibility to enroll in, or reinstate to membership in, the California Public Employees Retirement System (“PERS”) as an employee of City, and entitlement to any contribution to be paid by City for employer contributions or employee contributions for PERS benefits.

9.4. Consultant shall indemnify and hold harmless City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s personnel practices. or to the extent arising from, caused by or relating to the violation of any of the provisions of this Section

9.0. In addition to all other remedies available under law, City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Section. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement.

Consultant’s indemnifications and obligations under this Section shall survive the expiration or termination of this Agreement.

10.0 PERS Compliance and Indemnification

10.1. General Requirements. The Parties acknowledge that City is a local agency member of PERS, and as such has certain pension reporting and contribution obligations to PERS on behalf of qualifying employees. Consultant agrees that, in providing its employees and any other personnel to City to perform any work or other Services under this Agreement, Consultant shall assure compliance with the Public Employees’ Retirement Law (“PERL”), commencing at Government Code § 20000, as amended by the Public Employees’ Pension Reform Act of 2013 (“PEPRA”),. and the regulations of PERS. Without limitation to the foregoing, Consultant shall assure compliance with regard to personnel who have active or inactive membership in PERS and to those who are retired annuitants and in performing this Agreement shall not assign or utilize any of its personnel in a manner that will cause City to be in violation of the PERL, PEPRA or any other applicable retirement laws and regulations. 7 of 19

10.2. Indemnification. Consultant shall defend (with legal counsel approved by City, whose approval shall not be unreasonably withheld), indemnify and hold harmless City, and its City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s violation of any provisions of this Section 10.0. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant’s indemnification and obligations under this Section shall survive the expiration or termination of this Agreement.

11.0 Confidentiality

11.1. Consultant covenants that all data, reports, documents, surveys, studies, drawings, plans, maps, models, photographs, images, video files, media, discussion, or other information (collectively “Data & Documents”) developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without prior written authorization by City. City shall grant such authorization if applicable law requires disclosure. Consultant, its officers, employees, agents, or subcontractors shall not without written authorization from the City Manager or unless requested in writing by the City Attorney, voluntarily provide declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the Services performed under this Agreement or relating to any project or property located within the City. Response to a subpoena or court order shall not be considered “voluntary,” provided Consultant gives City notice of such court order or subpoena.

11.2. Consultant shall promptly notify City should Consultant, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed thereunder or with respect to any project or property located within the City. City may, but has no obligation to, represent Consultant or be present at any deposition, hearing or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant. However, City’s right to review any such response does not imply or mean the right by City to control, direct or rewrite the response.

11.3. Consultant’s covenants under this Section shall survive the termination or expiration of this Agreement.
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12.0 Ownership of Documents and Work Product

12.1. All Data & Documents shall be and remain the property of City without restriction or limitation upon its use, duplication or dissemination by City.

All Data & Documents shall be considered “works made for hire,” and all Data & Documents and any and all intellectual property rights arising from their creation, including, but not limited to, all copyrights and other proprietary rights, shall be and remain the property of City without restriction or limitation upon their use, duplication or dissemination by City. Consultant shall not obtain or attempt to obtain copyright protection as to any Data & Documents.

12.2. Consultant hereby assigns to City all ownership and any and all intellectual property rights to the Data & Documents that are not otherwise vested in City pursuant to the paragraph directly above this one.

12.3. Consultant warrants and represents that it has secured all necessary licenses, consents or approvals to use any instrumentality, thing or component as to which any intellectual property right exists, including computer software, used in the rendering of the Services and the production of all Written Products produced under this Agreement, and that City has full legal title to and the right to reproduce the Data & Documents. Consultant shall defend, indemnify and hold City, and its elected officials, officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of City officials, harmless from any loss, claim or liability in any way related to a claim that City’s use of any of the Data & Documents is violating federal, state or local laws, or any contractual provisions, or any laws relating to trade names, licenses, franchises, copyrights, patents or other means of protecting intellectual property rights and/or interests in products or inventions. Consultant shall bear all costs arising from the use of patented, copyrighted, trade secret or trademarked documents, materials, equipment, devices or processes in connection with its provision of the Services and Data & Documents produced under this Agreement. In the event the use of any of the Written Products or other deliverables hereunder by City is held to constitute an infringement and the use of any of the same is enjoined, Consultant, at its expense, shall: (1) secure for City the right to continue using the Data & Documents and other deliverables by suspension of any injunction, or by procuring a license or licenses for City; or (2) modify the Data & Documents and other deliverables so that they become non-infringing while remaining in compliance with the requirements of this Agreement. These covenants shall survive the expiration and/or termination of this Agreement.

12.4. Upon expiration or termination of the Agreement, Consultant shall deliver to City all Data & Documents and other deliverables related to any Services performed pursuant to this Agreement without additional cost or expense to City.

If Consultant prepares a document on a computer, Consultant shall provide City with said document both in a printed format and in an electronic format that is acceptable to City.
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13.0 Subcontractors
No portion of this Agreement shall be subcontracted without the prior written approval of the City. Consultant is fully responsible to City for the performance of any and all subcontractors.

14.0 Prohibition Against Assignment or Delegation
Consultant shall not assign any of its rights or delegate any of its duties under this Agreement, either in whole or in part, without City’s prior written consent. Any purported assignment or delegation in violation of this Section shall be void and without effect, and shall entitle City to terminate this Agreement. As used in this Section, “assignment” and “delegation” means any sale, gift, pledge, hypothecation, encumbrance or other transfer of all or any portion of the rights, obligations, or liabilities in or arising from this Agreement to any person or entity, whether by operation of law or otherwise, and regardless of the legal form of the transaction in which the attempted transfer occurs.

15.0 Inspection and Audit of Records
Consultant shall maintain complete and accurate records with respect to all Services and other matters covered under this Agreement, including but expressly not limited to, all Services performed, salaries, wages, invoices, time cards, cost control sheets, costs, expenses, receipts and other records with respect to this Agreement. Consultant shall maintain adequate records on the Services provided in sufficient detail to permit an evaluation of all Services in connection therewith. All such records shall be clearly identified and readily accessible. At all times during regular business hours, Consultant shall provide City with free access to such records, and the right to examine and audit the same and to make copies and transcripts as City deems necessary, and shall allow inspection of all program data, information, documents, proceedings and activities and all other matters related to the performance of the Services under this Agreement. Consultant shall retain all financial and program service records and all other records related to the Services and performance of this Agreement for at least three (3) years after expiration, termination or final payment under this Agreement, whichever occurs later. City’s rights under this Section 15.0 shall survive for three (3) years after expiration, termination or final payment under this Agreement, whichever occurs later.

16.0 Safety Requirements
All work performed under this Agreement shall be performed in such a manner as to provide safety to the public and to meet or exceed the safety standards outlined by CAL OSHA and other applicable state and federal laws. City may issue restraint or cease and desist orders to Consultant when unsafe or harmful acts are observed or reported relative to the performance of the Services. Consultant shall 10 of 19
maintain the work sites free of hazards to persons and property resulting from its operations. Consultant shall immediately report to the City any hazardous condition noted by Contractor.

17.0 Insurance

17.1. General Requirements. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that Consultant has secured all insurance required under this Section.

17.2. Minimum Scope and Limits of Insurance. Consultant shall, at its sole cost and expense, procure, maintain and keep in full force and effect for the duration of the Agreement, insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of this Agreement, as follows:

17.2.1. Commercial General Liability Insurance: Consultant shall maintain limits no less than $2,000,000 per occurrence for bodily injury, personal injury and property damage; and if Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit: Coverage shall be at least as broad as the latest version of Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). If Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds;

17.2.2. Automobile Liability Insurance: Consultant shall maintain limits no less than $1,000,000 per accident for bodily injury and property damage.

Coverage shall be at least as broad as Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto)..

17.2.3. Workers’ Compensation Insurance in the amount required by law; and Employer’s Liability: $1,000,000 per accident and in the aggregate for bodily injury or disease;

17.2.4. Professional Liability (or Errors and Omissions) Liability. , within minimum limits of $1,000,000 per claim/aggregate. If a “claims made” policy is provided, then the policy shall be endorsed to provide an extended reporting period of not less than three years.

17.3. Acceptability of Insurers. The Insurance policies required under this Section shall be placed with insurers with a current A.M. Best's rating no less than A:VIII, licensed to do business in California, and satisfactory to the City. 11 of 19

17.4. Additional Insured.

17.4.1. For general liability insurance, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents acting as independent contractors in the role of City officials shall be covered as additional insureds with respect to the services or operations performed by or on behalf of the Consultant, including materials, parts or equipment furnished in connection with such work.

17.4.2. For automobile liability, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials, shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Consultant or for which the Consultant is responsible.

17.4.3. These additional insured provisions shall also apply to any excess/umbrella liability policies.

17.5. Cancellations or Modifications to Coverage. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by City to state: (1) coverage shall not be suspended, voided, reduced or canceled except after 30 days prior written notice by certified mail, return receipt requested, has been given to City; (2) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to City, its elected and appointed officials, officers, employees, agents, designated volunteers, and those City agents serving as independent contractors in the role of City officials;

17.6. Primary and Non-Contributing. Coverage shall be primary insurance as respects the City, its elected officials, officers, employees, agents, designated volunteers designated volunteers and agents serving as independent contractors in the role of City officials, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled underlying coverage and that any insurance or self-insurance maintained by the City, its elected officials, officers, employees, agents. designated volunteers designated volunteers and agents serving as independent contractors in the role of City officials, shall be excess of the Consultant's insurance and shall not be called upon to contribute with it;

17.7. Separation of Insureds. All insurance required by this Section shall contain standard separation of insureds provisions and shall not contain any special limitations on the scope of protection afforded to City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials. 12 of 19

17.8. Deductibles and Self-Insured Retentions. Any deductibles or selfinsured retentions shall be declared to and approved by City. Consultant guarantees that, at the option of City, either: (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials; or (2) Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses.

17.9. Waiver of Subrogation. Each insurance policy required by this Agreement shall expressly waive the insurer’s right of subrogation against City and its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials. Consultant hereby waives all rights of subrogation against City.

17.10. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section in full force and effect during the term of this Agreement, or in the event any of Consultant’s policies do not comply with the requirements under this Section, City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may, but has no duty to, take out the necessary insurance and pay, at Consultant’s expense, the premium thereon. Consultant shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant.

17.11. Evidence of Insurance. Prior to the performance of Services under this Agreement, Consultant shall furnish City with original certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section on forms satisfactory to and approved by City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by City if requested. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant shall maintain current endorsements on file with City’s Risk Manager. All certificates and endorsements shall be received and approved by the City before work commences. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Consultant shall also provide proof to City that insurance policies expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Consultant shall furnish such proof at least two weeks prior to the expiration of the coverages.

17.12. Indemnity Requirements Not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant’s liability or as full performance of Consultant’s duty to indemnify City under Section 18.0. 13 of 19

17.13. Broader Coverage/Higher Limits. If Consultant maintains broader coverage and/or higher limits than the minimums required above, City requires and shall be entitled to the broader coverage and/or the higher limits maintained by Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City.

17.14. Subcontractor Insurance Requirements. Consultant shall require each of its subcontractors that perform Services under this Agreement to maintain insurance coverage that meets all of the requirements of this Section.

18.0 Indemnification, Hold Harmless, and Duty to Defend

18.1. Indemnities.

18.1.1. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, defend, hold harmless and indemnify City and its elected and appointed officials, officers, attorneys, agents, employees, designated volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively “Indemnitees” in this Section

18.0), from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, bid protests, stop notices, liens and losses of any nature whatsoever, including but not limited to fees of accountants, attorneys and other professionals, and all costs associated therewith, and the payment of all consequential damages (collectively “Liabilities”), in law or equity, whether actual, alleged or threatened, which arise out of, pertain to, or relate to the acts or omissions of Consultant, its officers, agents, servants, employees, subcontractors, materialmen, suppliers, or contractors, or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Liabilities arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties. Consultant shall defend the Indemnitees in any action or actions filed in connection with any Liabilities with counsel of the Indemnitees’ choice, and shall pay all costs and expenses, including all attorneys’ fees and experts’ costs actually incurred in connection with such defense. Consultant shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith.

18.1.2. Consultant shall indemnify and hold harmless City in accordance with Sections 9.0 and 10.0.

18.2. Subcontractor Indemnification. Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 18.0 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails 14 of 19
to obtain such indemnities, Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Claims in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant’s subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant’s subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Claims or Damages arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties.

18.3. Workers’ Compensation Acts Not Limiting. Consultant’s indemnification obligations under this Section, or any other provision of this Agreement, shall not be limited by the provisions of any workers’ compensation act or similar act. Consultant expressly waives its statutory immunity under such statutes or laws as to City, its elected and appointed officers, officials, agents, employees, designated volunteers and those City agents serving as independent contractors in the role of City officials.

18.4. Insurance Requirements Not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. The indemnities and obligations in this Section shall apply regardless of whether or not any insurance policies are determined to be applicable to the Claims or Liabilities asserted against City or any of the other Indemnitees.

18.5. Survival of Terms. Consultant’s indemnifications and obligations under this Section 18.0 shall survive the expiration or termination of this Agreement.

19.0 Non-Discrimination Equal Employment Opportunity
Consultant affirmatively represents that it is an equal opportunity employer. In the performance of this Agreement, Consultant shall not discriminate against any subcontractor, employee, or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex, gender, sexual orientation, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information, or any other basis prohibited by law. Consultant will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment, without regard to their race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information or sexual orientation, or any other basis prohibited by law. 15 of 19

20.0 Labor Certification
By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code that 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 agrees to comply with such provisions before commencing the performance of the Services.

21.0 Prevailing Wage and Payroll Records
To the extent that this Agreement calls for services that, in whole or in part, constitute “public works” as defined in the California Labor Code, Consultant shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit B, attached hereto and incorporated by reference herein.

22.0 Entire Agreement
This Agreement contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings, or agreements. This Agreement may only be modified by a writing signed by both Parties.

23.0 Severability
The invalidity in whole or in part of any provisions of this Agreement shall not void or affect the validity of the other provisions of this Agreement.

24.0 Governing Law and Venue
This Agreement shall be governed by and construed in accordance with the laws of the State of California, except that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be applied in interpreting this Agreement. Any dispute that arises under or relates to this Agreement (whether contract, tort or both) shall be resolved in a superior court with geographic jurisdiction over the City of Seal Beach.

25.0 No Third Party Beneficiaries
This Agreement is made solely for the benefit of the Parties to this Agreement and their respective successors and assigns, and no other person or entity shall be deemed to have any rights hereunder against either party by virtue of this Agreement.

26.0 Waiver
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No delay or omission to exercise any right, power or remedy accruing to City under this Agreement shall impair any right, power or remedy of City, nor shall it be construed as a waiver of, or consent to, any breach or default. No waiver of any breach, any failure of a condition, or any right or remedy under this Agreement shall be (1) effective unless it is in writing and signed by the Party making the waiver, (2) deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy, or (3) deemed to constitute a continuing waiver unless the writing expressly so states.

27.0 Prohibited Interests; Conflict of Interest

27.1. Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the Services, or which would conflict in any manner with the performance of the Services.

Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code §§ 1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained.

27.2. Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, any fee, commission, gift, percentage, or any other consideration contingent upon the execution of this Agreement. Upon any breach or violation of this warranty, City shall have the right, at its sole and absolute discretion, to terminate this Agreement without further liability, or to deduct from any sums payable to Consultant hereunder the full amount or value of any such fee, commission, percentage or gift.

27.3. Consultant warrants and maintains that it has no knowledge that any officer or employee of City has any interest, whether contractual, noncontractual, financial, proprietary, or otherwise, in this transaction or in the business of Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant shall immediately make a complete, written disclosure of such interest to City, even if such interest would not be deemed a prohibited "conflict of interest" under applicable laws as described in this Section.

28.0 Final Payment Acceptance Constitutes Release
The acceptance by Consultant of the final payment made under this Agreement shall operate as and be a release of City from all claims and liabilities for 17 of 19
compensation to Consultant for anything done, furnished or relating to Consultant’s work or services. Acceptance of payment shall be any negotiation of City’s check or the failure to make a written extra compensation claim within ten calendar days of the receipt of that check. However, approval or payment by City shall not constitute, nor be deemed, a release of the responsibility and liability of Consultant, its employees, subcontractors and agents for the accuracy and competency of the information provided and/or work performed; nor shall such approval or payment be deemed to be an assumption of such responsibility or liability by City for any defect or error in the work prepared by Consultant, its employees, subcontractors and agents.

29.0 Corrections
In addition to the indemnification obligations set forth above, Consultant shall correct, at its expense, all errors in the work which may be disclosed during City’s review of Consultant’s report or plans. Should Consultant fail to make such correction in a reasonably timely manner, such correction may be made by City, and the cost thereof shall be charged to Consultant. In addition to all other available remedies, City may deduct the cost of such correction from any retention amount held by City or may withhold payment otherwise owed Consultant under this Agreement up to the amount of the cost of correction.

30.0 Non-Appropriation of Funds
Payments to be made to Consultant by City for any Services performed within the current fiscal year are within the current fiscal budget and within an available, unexhausted fund. In the event that City does not appropriate sufficient funds for payment of Consultant’s Services beyond the current fiscal year, this Agreement shall cover payment for Consultant’s Services only to the conclusion of the last fiscal year in which City appropriates sufficient funds and shall automatically terminate at the conclusion of such fiscal year.

31.0 Mutual Cooperation

31.1. City’s Cooperation. City shall provide Consultant with all pertinent Data, documents and other requested information as is reasonably available for Consultant’s proper performance of the Services required under this Agreement.

31.2. Consultant’s Cooperation. In the event any claim or action is brought against City relating to Consultant’s performance of Services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires.

32.0 Time of the Essence
Time is of the essence in respect to all provisions of this Agreement that specify a time for performance; provided, however, that the foregoing shall not be construed 18 of 19
to limit or deprive a Party of the benefits of any grace or use period allowed in this Agreement.

33.0 Attorneys' Fees
If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party all of its attorneys’ fees and other costs incurred in connection therewith.

34.0 Exhibits
All exhibits referenced in this Agreement are hereby incorporated into the Agreement as if set forth in full herein. In the event of any material discrepancy between the terms of any exhibit so incorporated and the terms of this Agreement, the terms of this Agreement shall control.

35.0 Corporate Authority
The person executing this Agreement on behalf of Consultant warrants that he or she is duly authorized to execute this Agreement on behalf of said party and that by his or her execution, the Consultant is formally bound to the provisions of this Agreement.

EXHIBIT A
27128 Paseo Espada • Suite 1524 • San Juan Capistrano, CA 92675 May 24, 2022
Alexa Smittle, Community Development Director
Department of Community Development
211 Eighth Street
Seal Beach, CA 90740
Subject: SCOPE FOR ON-CALL PLANNING SERVICES
Ms. Smittle:

Thank you for the opportunity to submit a scope of work to the City of Seal Beach for on-call planning services. The team at Sagecrest Planning+Environmental (Sagecrest) provides planning and environmental review services to local jurisdictions throughout California. Our planners have expertise in discretionary case processing, preparation and review of zoning codes, specific plans, general plans, and other planning documents, code compliance, project management, and environmental analysis, documentation, and review. Our planners have all worked in various positions as planning staff for local jurisdictions, coordinating interdepartmental review of projects and providing peer review services to applicants.

Sagecrest delivers the highest level of service with proactive solutions, ongoing communication, and dependable coordination. We adapt our services to the City’s needs and complement its in-house resources as an extension of City staff. Our planners are trained on the latest planning, zoning and environmental legislation and case law and are adept at using public counter permit tracking and GIS systems.

Sagecrest is a local Southern California-based firm with corporate offices in San Juan Capistrano. Our clients are located in Orange, San Diego, Riverside, San Bernardino and Los Angeles Counties, which allows us to be accessible to our clients at a moment’s notice. We are accustomed to being proactive and anticipating the needs of our clients and recommending practical solutions to complex planning issues. In addition, due to our efficient structure, we are competitive on price while adhering to stringent budgets and schedules.

Sagecrest looks forward to your favorable review of our firm’s scope of work. For additional information or to further discuss our qualifications, please contact me directly at the phone number or email below.

Sincerely,
Amy Vazquez, President
Phone: (714) 914-5605
E-mail: [email protected]
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Firm Background and Relevant Experience
Sagecrest is an award winning, full service, professional planning firm providing on-call planning, land use, and environmental consulting to public agencies throughout California. The American Planning Association (APA) recently awarded Sagecrest the 2018 Emerging Planning & Design Firm by the Orange Section and the 2019 Grassroots Initiative Award by the CA State Chapter and the Orange Section. With considerable experience in Southern California, the Sagecrest team has strong working relationships with key staff, applicants, and public officials. Our mission is to provide outstanding service at competitive rates to the clients and communities we serve while adding value and making a positive impression with each assignment. Because of our extensive experience and focus on providing planning staff to public agencies, Sagecrest is uniquely qualified to deliver high-quality on-call services. We have assembled an exceptional team of experienced planners. Our staff has professional planning experience in the public sector, giving them a unique and thorough understanding of the processes and the challenges faced by planning departments. We employ highly qualified and experienced professionals whose skills, qualifications and previous responsibilities are a strong match to the needs of the City of Seal Beach. We ensure this high level of quality by employing the following practices:
• City contract managers interview proposed staff before they are assigned. • Our planners have experience working for public agencies prior to working with us, allowing them to integrate seamlessly into department operations. • We know that our reputation is our most valuable asset. With that in mind, we do not overcommit our staff and only accept work that our staff has the qualifications to perform. • Our staff maintains ongoing professional development and we provide extensive training in project management, land use law, California Environmental Quality Act (CEQA), writing and public presentation skills.
• We are based in Anaheim, maintain regular office hours, and are accessible as needed. • We reliably meet departmental standards, including: deadlines, quality of work products, courtesy and accessibility, accuracy of reports and information given to the public, and responsiveness.
• We ensure we have a clear understanding of expectations and maintain consistent communication with our clients.
• We are committed to providing services that are cost effective while maintaining high standards of quality and productivity.

Sagecrest’s management team has over 50 years of combined experience in a broad range of land use planning and development activities, with a specific focus on CEQA/NEPA compliance. In addition to this experience as environmental professionals, the Sagecrest team has extensive experience as municipal agency staff, which gives us insight into the interdisciplinary coordination required to deliver the environmental review for the Proposed Project that other private consulting firms may not have.

Sagecrest is uniquely positioned to integrate the project management of the environmental review process with the Applicant, their architect, civil engineer, technical consultants, and City staff. One of our unique strengths is the ability to understand the project delivery process from inception to completion.

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Work Plan and Approach
Sagecrest’s unique approach to best perform on-call planning services, including representative tasks as appropriate for the class title assigned, is described below:

1. Review, analyze and process
discretionary cases consistent
with City codes, policies and
standards. Utilize City
electronic and paper files to
research previous and/or
related cases.

Sagecrest provides entitlement processing services for
development applications and management of City-initiated projects that may require general plan amendments, specific plans, reclassifications, Conditional Use Permits, subdivision maps, variances, design review, annexations, and other discretionary and administrative actions. Sagecrest planners are skilled project managers who provide excellent customer service to the applicant and the City. We guide the applicant through the entitlement process, timelines, technical studies, interdepartmental comments, revisions to the application, and the review and approval process. Team members utilize the City’s historical files, Geographic Information Systems, permit tracking software, and zoning code to respond to inquiries at the public counter and to research entitlements.

2. Prepare environmental
analysis, including, but not
limited to, Initial Studies and
Negative Declarations, as
required by the California
Environmental Quality Act
(CEQA).

Sagecrest planners are well versed in current environmental law and preparing CEQA documents for discretionary projects or Cityinitiated plans and programs. The Sagecrest team includes planners who can prepare streamlining checklists, Initial Studies, (Mitigated) Negative Declarations, EIRs, Mitigation Monitoring and Reporting Programs, and all required CEQA notices. Sagecrest planners have also managed CEQA consultant teams. We have reviewed and commented on numerous CEQA documents from
outside agencies to ensure the City’s comments and concerns are represented.

3. Route plans to City
departments; consolidate
comments; and present
recommendations and
revisions to the applicant.

Work with other departments
to ensure consistency of
comments. Prepare staff
reports and presentations to
citizen committees and
decision-making bodies.

Sagecrest planners are experienced project managers. Entitlement case processing generally entails routing plans to various City departments; consolidating comments; resolving internal inconsistencies; and presenting recommendations and revisions to the applicant. Once the application is complete, our planners will write clear, concise, and accurate staff reports and manage the project through public outreach, reviews and approvals by staff, Planning Commission, any other required approval body, and the City Council.

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4. Maintain communication with
applicants, interested parties,
property owners, homeowner
associations, etc. Respond to
inquiries about projects from
residents and applicants.

Sagecrest takes pride in our communication and customer service with applicants, interested parties, property owners, homeowner associations, various governmental agencies, and other City departments. Our planners quickly learn the frequently asked questions (i.e. business license, special events, building inspection requests, etc.) and provide “one-stop shopping” at the public counter.

5. Prepare notices for public
meetings and hearings in
accordance with City and
CEQA requirements.

Sagecrest understands the importance of preparing timely, clear, concise and accurate public notices. We are experienced in preparing publications for the newspaper, posting on and/or near the project site and mailing notices to interested parties who may be affected by a proposed action.

6. Attend community meetings
and public hearings, as
required, and present reports
to various Boards,
Commissions, and the City
Council.

Sagecrest planners have solid presentation skills and have presented entitlement applications and reports to city councils, commissions, and community groups. We are often commended for the ability our staff has to take complex issues and present them in a way that is clear and concise. We are passionate about working with stakeholders to communicate the direction of the City early in the process so they understand what the goals are and how to be a part of the ultimate solution.

7. Manage the project schedule
in accordance with the City’s
adopted timelines.

We proactively manage our caseload to ensure that all projects stay on schedule and in accordance with the City’s adopted timelines. We coordinate with various City departments for comments and build relationships with department
representatives to ensure good communication and coordination is maintained throughout the life of each project. We understand the importance to applicants of maintaining established timelines.

8. Open, maintain and close
electronic and paper files in
accordance with City
procedures.

Proper records management and organization is crucial. Our planners have all worked for public agencies and understand the importance of working diligently to maintain the public record, proper publications, filing, indexing, and safekeeping of all proceedings of the Planning Commission and City Council. We work with the City Clerk to ensure the public record is kept permanently and is set up for efficient retrieval.

9. Review grading and building
plans for consistency with
discretionary approvals and
environmental mitigation, if
applicable.

Plan checking is completed in accordance with conditions of approval associated with each discretionary approval and applicable codes, ordinances and standards adopted by the City.

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Four (4) references for Planning Services are provided below. Additional references are available upon request.

Assignment /
Project Description Term Location / Client Client Contact On-Call Planning
Services
February 2019-
present
City of
Oceanside
Jonathan Borrego, AICP
Interim City Manger
[email protected]
(760) 435-4373
On-Call Planning
Services
September 2017-
present
City of Costa
Mesa
Jennifer Le
714-754-5617
[email protected]
On-Call Planning
Services July 2017-present City of Santa Fe
Springs
Wayne Morrell
Director of Planning
[email protected]
(562) 868-0511
On-Call Planning
Services
August 2017-
September 2020
City of Newport
Beach
Jim Campbell
Deputy Community Development
Director
[email protected]
(949) 644-3210

10. Provide staff at the public
information counter.

Our team members are skilled at reviewing a City’s historical files, zoning map, zoning code and other data and files to respond to inquiries at the public counter. Our planners are well versed in determining when a project is ready for plan submittal. We quickly learn the frequently asked questions (i.e. business license, special events, building inspection request, etc.) that are typical to customers visiting City Hall to provide as much assistance as possible and help provide “one-stop shopping” for questions and needs. We take pride in our exceptional customer service skills.

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Classification/Title and Hourly Rates- 2022
Sagecrest will perform consulting services based on the following breakdown of classification of hourly rates for key personnel:

Position Hourly rate
Planning Director $220.00
City Planner $200.00
Zoning Administrator $160.00
Principal Planner $160.00
Senior Planner $140.00
Associate Planner $120.00
Assistant Planner $90.00
Planning Aide $80.00

EXHIBIT B

TERMS FOR COMPLIANCE WITH CALIFORNIA LABOR LAW REQUIREMENTS

1. This Agreement calls for services that, in whole or in part, constitute “public works” as defined in Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code (“Chapter 1”). Further, Consultant acknowledges that this Agreement is subject to (a) Chapter 1 and (b) the rules and regulations established by the Department of Industrial Relations (“DIR”) implementing such statutes. Therefore, as to those Services that are “public works”, Consultant shall comply with and be bound by all the terms, rules and regulations described in 1(a) and 1(b) as though set forth in full herein.

2. California law requires the inclusion of specific Labor Code provisions in certain contracts. The inclusion of such specific provisions below, whether or not required by California law, does not alter the meaning or scope of Section 1 above.

3. Consultant shall be registered with the Department of Industrial Relations in accordance with California Labor Code Section 1725.5, and has provided proof of registration to City prior to the Effective Date of this Agreement. Consultant shall not perform work with any subcontractor that is not registered with DIR pursuant to Section 1725.5. Consultant and subcontractors shall maintain their registration with the DIR in effect throughout the duration of this Agreement. If Consultant or any subcontractor ceases to be registered with DIR at any time during the duration of the project, Consultant shall immediately notify City.

4. Pursuant to Labor Code Section 1771.4, Consultant’s Services are subject to compliance monitoring and enforcement by DIR. Consultant shall post job site notices, as prescribed by DIR regulations.

5. Pursuant to Labor Code Section 1773.2, copies of the prevailing rate of per diem wages for each craft, classification, or type of worker needed to perform the Agreement are on file at City Hall and will be made available to any interested party on request.

Consultant acknowledges receipt of a copy of the DIR determination of such prevailing rate of per diem wages, and Consultant shall post such rates at each job site covered by this Agreement.

6. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. Consultant shall, as a penalty to City, forfeit $200.00 for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Consultant or by any subcontractor.

7. Consultant shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Consultant and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform City of the location of the records.

8. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1777.5, 1777.6 and 1777.7 and California Code of Regulations, Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects. Consultant shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Consultant shall provide City with a copy of the information submitted to any applicable apprenticeship program.

Within 60 days after concluding work pursuant to this Agreement, Consultant and each of its subcontractors shall submit to City a verified statement of the journeyman and apprentice hours performed under this Agreement.

9. Consultant shall not perform work with any Subcontractor that has been debarred or suspended pursuant to California Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. Consultant and subcontractors shall not be debarred or suspended throughout the duration of this Contract pursuant to Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. If Consultant or any subcontractor becomes debarred or suspended during the duration of the project, Consultant shall immediately notify City.

10. Consultant acknowledges that eight hours labor constitutes a legal day’s work.

Consultant shall comply with and be bound by Labor Code Section 1810. Consultant shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit $25.00 for each worker employed in the performance of this Agreement by Consultant or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code Section 1815, work performed by employees of Consultant in excess of eight hours per day, and 40 hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of eight hours per day at not less than one and one-half times the basic rate of pay.

11. California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows:
“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.”

12. For every subcontractor who will perform work on the project, Consultant shall be responsible for such subcontractor’s compliance with Chapter 1 and Labor Code Sections 1860 and 3700, and Consultant shall include in the written contract between it and each subcontractor a copy of those statutory provisions and a requirement that each subcontractor shall comply with those statutory provisions. Consultant shall be required to take all actions necessary to enforce such contractual provisions and ensure subcontractor’s compliance, including without limitation, conducting a periodic review of the certified payroll records of the subcontractor and upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages.

Consultant shall diligently take corrective action to halt or rectify any failure.

13. To the maximum extent permitted by law, Consultant shall indemnify, hold harmless and defend (at Consultant’s expense with counsel reasonably acceptable to City) City, its officials, officers, employees, agents and independent contractors serving in the role of City officials, and volunteers from and against any demand or claim for damages, compensation, fines, penalties or other amounts arising out of or incidental to any acts or omissions listed above by any person or entity (including Consultant, its subcontractors, and each of their officials, officers, employees and agents) in connection with any work undertaken or in connection with the Agreement, including without limitation the payment of all consequential damages, attorneys’ fees, and other related costs and expenses. All duties of Consultant under this Section shall survive the termination of the Agreement.

Agenda Item F

AGENDA STAFF REPORT
DATE: June 13, 2022
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Alexa Smittle, Community Development Director
SUBJECT: Professional Services Agreement with Transtech Engineers, Inc.
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council approve Resolution 7295:

1. Approving the Professional Services Agreement with Transtech Engineers, Inc.; and,

2. Authorizing the City Manager to execute the Agreement.

BACKGROUND AND ANALYSIS:

Transtech Engineers, Inc. (Transtech) has served within the Building Division of the Community Development Department in a variety of roles since 2017.

Currently, the company provides Building Official, Building Inspector, Permit Technician, and building plan check services. Their staff is very professional, and the service level has been excellent, especially through the challenges of the last three years with an ongoing pandemic and staff transitions, including staff vacancies. Based on an assessment of the Community Development Department and the work plan for the year, staff recommends engaging Transtech for Building Division services for the 2022-2023 Fiscal Year. The proposed Professional Services Agreement allows for the continuation of services through June 30, 2023, and authorizes $400,240 to cover staffing costs, as well as 65 percent of plan check review fees for plan check services, which is consistent with the current contract.

ENVIRONMENTAL IMPACT:

This item is not subject to the California Environmental Quality Act (“CEQA”) under Section 15061(b)(3) of the state CEQA Guidelines because it can be seen with certainty that approval of this amendment to the Professional Services Agreement with Transtech Engineers, Inc will not have a significant effect on the environment.

LEGAL ANALYSIS:

The City Attorney has reviewed and approved as to form.

FINANCIAL IMPACT:

The Professional Services Agreement in the mount of $400,240 is included in the proposed budget FY 2022-2023 in account number 101-300-0031-51280. All costs related to contract personnel are offset by cost savings from staff vacancies.

Additionally, 65 percent of plan check revenues will be paid to Transtech for plan check services.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

MEASURE BB:

This item is not applicable to Measure BB, the Seal Beach Neighborhood and Essential Services Protection Measure.

RECOMMENDATION:

That the City Council approve Resolution 7295:

1. Approving the Professional Services Agreement with Transtech Engineers, Inc; and,

2. Authorizing the City Manager to execute the Agreement.

SUBMITTED BY: NOTED AND APPROVED:

Alexa Smittle Jill R. Ingram
Alexa Smittle, Community
Development Director
Jill R. Ingram, City Manager
ATTACHMENTS:

A. Resolution 7295
B. Professional Services Agreement with Transtech Engineers, Inc.

RESOLUTION 7295

A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING A

PROFESSIONAL SERVICES AGREEMENT WITH TRANSTECH
ENGINEERS, INC.

WHEREAS, the City of Seal Beach (City) has relied upon professional service firms for technical expertise for certain City operations as well as temporary staff assistance during periods of extraordinary work or during periods when permanent staff positions are vacant; and
WHEREAS, the City previously entered into an agreement with Transtech Engineers Inc. (Consultant) to provide Building Division personnel services, including Building Official, Plan Checker, Building Inspector, Permit Technician and other technical and staffing services for the Community Development Department as needed, and, WHEREAS, Consultant has proven to be a reliable, dependable, and competitively priced company who has provided staff competent and capable of serving temporary planning staffing needs of the City; and,
WHEREAS, pursuant to the Seal Beach City Charter, Seal Beach Municipal Code Chapter 3.20 establishes a central purchasing system including procedures for competitive bidding and exemptions from competitive bidding; and WHEREAS, Seal Beach Municipal Code Section 3.20.025(C) provides for an exemption from competitive bidding requirements for purchases of professional services, including without limitation, architectural services; bond services; election services; engineering services; insurance services; legal services; public relations services; real estate services; and solid waste disposal services; and
WHEREAS, City and Consultant wish to enter into this Agreement for Consultant to increase Consultant’s compensation by $400,240 for Building Division services, and for Plan Check Services to authorize payment of not more than 65 percent of plan review fees collected per the City’s fee schedule, as provided herein.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES HEREBY RESOLVE:

Section 1. The City Council hereby approves the Professional Services Agreement dated June 13, 2022 with Transtech Engineers, Inc. as set forth in Exhibit “A”, attached hereto and incorporated herein by this reference as through set forth in full, for on-going Building Division staffing services related to (i) duties conducted by a Building Official, Building Inspector, and Permit Technician, in an amount not to exceed $400,240, and (ii) for Plan Check Services the City shall pay not more than 65 percent of plan check review fees collected per the City’s fee schedule to cover services related to building plan check for the period of one year, commencing July 1, 2022 and ending June 30, 2023.

Section 2. The Council hereby directs the City Manager to execute the Agreement on behalf of the City.

PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 13th day of June, 2022 by the following vote:

AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members

Joe Kalmick, Mayor
ATTEST:

Dana Engstrom, Acting City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Dana Engstrom, Acting City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7295 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 13th day of June, 2022.
___
Dana Engstrom, Acting City Clerk

PROFESSIONAL SERVICES AGREEMENT
for
Building Division Services
between
City of Seal Beach
211 - 8th Street
Seal Beach, CA 90740
&
Transtech Engineers, Inc.
13367 Benson Avenue
Chino, CA 91710
This Professional Service Agreement (“the Agreement”) is made as of June 13, 2022 (the “Effective Date”), by and between Transtech Engineers, Inc. (“Consultant”), a California corporation, and the City of Seal Beach (“City”), a California charter city, (collectively, “the Parties”).
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RECITALS
A. City desires certain professional building and safety services.

B. Pursuant to the authority provided by its City Charter and Seal Beach Municipal Code § 3.20.025(C), City desires to retain Consultant as an independent contractor to provide services in the manner set forth herein and more fully described in Section 1.0.

C. Consultant represents that the principal members of its firm are qualified building and safety professionals and are fully qualified to perform the services contemplated by this Agreement by virtue of the experience, training, education, and expertise of its principals and employees.

D. City desires to retain Consultant as an independent contractor and Consultant desires to serve City to perform those services in accordance with the terms and conditions of this Agreement.

NOW THEREFORE, in consideration of the Parties' performance of the promises, covenants, and conditions stated herein, the Parties hereto agree as follows.

AGREEMENT

1.0 Scope of Services

1.1. Consultant shall provide those services (collectively “Services”) set forth in the Scope of Services attached hereto as Exhibit A and incorporated herein by this reference. To the extent that there is any conflict between Exhibit A and this Agreement, this Agreement shall control.

1.2. Consultant shall perform all Services under this Agreement in accordance with the standard of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City.

1.3. In performing this Agreement, Consultant shall comply with all applicable provisions of federal, state, and local law.

1.4. As a material inducement to City to enter into this Agreement, Consultant hereby represents that it has the experience necessary to undertake the Services to be provided. In light of such status and experience, Consultant hereby covenants that it shall follow the customary professional standards in performing all Services. The City relies upon the skill of Consultant, and Consultant’s staff, if any, to do and perform the Services in a skillful, competent, and professional manner, and Consultant and Consultant’s staff, shall perform the Services in such manner. Consultant shall, at all times, meet or exceed any and all applicable professional standards of care. The acceptance of Consultant’s work 3 of 19
by the City shall not operate as a release of Consultant from such standard of care and workmanship.

1.5. Consultant will not be compensated for any work performed not specified in the Scope of Services unless the City authorizes such work in advance and in writing. The City Manager may authorize extra work to fund unforeseen conditions up to the amount approved at the time of award by the City Council. Payment for additional work in excess of this amount requires prior City Council authorization.

2.0 Term

2.1. The term of this Agreement shall commence on July 1, 2022 and shall remain in full force and effect until June 30, 2023, unless sooner terminated as provided in Section 5.0 of this Agreement.

3.0 Consultant’s Compensation

3.1. City will pay Consultant for Services performed in accordance with the hourly rates shown in the fee schedule set forth in the Scope of Services Exhibit A and the Standard Hourly Rates set forth on Exhibit B, but in no event will the City pay more than the following during the term of this Agreement: (i) for Building Division personnel services, including Building Official/Plan Checker, Building Inspector, and Permit Technician, the City shall not pay more than a total sum of $400,240 (four hundred thousand, two hundred forty dollars) during the term of this Agreement; and (ii) for Plan Check Services, the City shall not pay more than 65% of the plan review fees collected per the City’s fee schedule. In the event of any conflict or inconsistency between Exhibit A and/or Exhibit B, on the one hand, and this section, on the other hand, the terms of this section shall prevail.

3.2. Consultant will not be compensated for any work performed not specified in the Scope of Services unless the City authorizes such work in advance and in writing. The City Manager may authorize extra work to fund unforeseen conditions up to the amount approved at the time of award by the City Council.

Payment for additional work in excess of this amount requires prior City Council authorization. Any additional work authorized by the City Manager pursuant to this Section will be compensated in accordance with the fee schedule set forth in Exhibit B.

4.0 Method of Payment

4.1. Consultant shall submit to City monthly invoices for all Services rendered pursuant to this Agreement. Such invoices shall be submitted within 15 days of the end of the month during which the Services were rendered and shall describe in detail the Services rendered during the period, the days worked, number of hours worked, the hourly rates charged, and the Services performed for 4 of 19
each day in the period. City will pay Consultant within 30 days of receiving Consultant’s invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Consultant.

4.2. Upon 24-hour notice from City, Consultant shall allow City or City’s agents or representatives to inspect at Consultant’s offices during reasonable business hours all records, invoices, time cards, cost control sheets and other records maintained by Consultant in connection with this Agreement. City’s rights under this Section 4.2 shall survive for three (3) years following the termination of this Agreement.

5.0 Termination

5.1. This Agreement may be terminated by City, without cause, or by Consultant based on reasonable cause, upon giving the other party written notice thereof not less than 30 days prior to the date of termination.

5.2. This Agreement may be terminated by City upon 10 days’ notice to Consultant if Consultant fails to provide satisfactory evidence of renewal or replacement of comprehensive general liability insurance as required by this Agreement at least 20 days before the expiration date of the previous policy.

6.0 Party Representatives

6.1. The City Manager is the City’s representative for purposes of this Agreement.

6.2. Ayla Jefferson is the Consultant's primary representative for purposes of this Agreement. Ayla Jefferson shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the Services hereunder. Consultant may not change its representative without the prior written approval of City, which approval shall not be unreasonably withheld.

7.0 Notices

7.1. All notices permitted or required under this Agreement shall be deemed made when personally delivered or when mailed 48 hours after deposit in the United States Mail, first class postage prepaid and addressed to the party at the following addresses:

To City: City of Seal Beach
211-8th Street
Seal Beach, California 90740
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Attn: City Manager
To Consultant: Transtech Engineers, Inc.
13367 Benson Avenue
Chino, CA 91710
Attn: Ayla Jefferson

7.2. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

8.0 Permits and Licenses
Consultant and all of Consultant’s employees and other personnel shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of the Services under this Agreement, including a business license as required by the Seal Beach Municipal Code.

9.0 Independent Contractor

9.1. Consultant is an independent contractor and not an employee of the City. All work or other Services provided pursuant to this Agreement shall be performed by Consultant or by Consultant’s employees or other personnel under Consultant’s supervision. Consultant will determine the means, methods, and details by which Consultant’s employees and other personnel will perform the Services. Consultant shall be solely responsible for the satisfactory work performance of all personnel engaged in performing the Services and compliance with the customary professional standards.

9.2. All of Consultant’s employees and other personnel performing any of the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant and Consultant’s personnel shall not supervise any of City’s employees; and City’s employees shall not supervise Consultant’s personnel. Consultant’s personnel shall not wear or display any City uniform, badge, identification number, or other information identifying such individual as an employee of City; and Consultant’s personnel shall not use any City e-mail address or City telephone number in the performance of any of the Services under this Agreement. Consultant shall acquire and maintain at its sole cost and expense such vehicles, equipment and supplies as Consultant’s personnel require to perform any of the Services required by this Agreement. Consultant shall perform all Services off of City premises at locations of Consultant’s choice, except (1) as otherwise required for the performance of Services on City real property, vehicles or equipment; (2) as otherwise may from time to time be necessary in order for Consultant’s personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant’s performance of any Services under this Agreement, or (3) as may be necessary to inspect or visit City 6 of 19
locations and/or private property to perform such Services. City may make a computer available to Consultant from time to time for Consultant’s personnel to obtain information about or to check on the status of projects pertaining to the Services under this Agreement.

9.3. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant’s personnel in connection with their performance of any Services under this Agreement and as required by law.

Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: Social Security taxes, other retirement or pension benefits, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. Notwithstanding any other agency, State, or federal policy, rule, regulation, statute or ordinance to the contrary, Consultant and any of its officers, employees, agents, and subcontractors providing any of the Services under this Agreement shall not become entitled to, and hereby waive any claims to, any wages, salaries, compensation, benefit or any incident of employment by City, including but not limited to, eligibility to enroll in, or reinstate to membership in, the California Public Employees Retirement System (“PERS”) as an employee of City, and entitlement to any contribution to be paid by City for employer contributions or employee contributions for PERS benefits.

9.4. Consultant shall indemnify and hold harmless City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s personnel practices. or to the extent arising from, caused by or relating to the violation of any of the provisions of this Section

9.0. In addition to all other remedies available under law, City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Section. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement.

Consultant’s indemnifications and obligations under this Section shall survive the expiration or termination of this Agreement.

10.0 PERS Compliance and Indemnification

10.1. General Requirements. The Parties acknowledge that City is a local agency member of PERS, and as such has certain pension reporting and contribution obligations to PERS on behalf of qualifying employees. Consultant agrees that, in providing its employees and any other personnel to City to perform any work or other Services under this Agreement, Consultant shall assure compliance with the Public Employees’ Retirement Law (“PERL”), commencing at Government Code § 20000, as amended by the Public Employees’ Pension 7 of 19
Reform Act of 2013 (“PEPRA”),. and the regulations of PERS. Without limitation to the foregoing, Consultant shall assure compliance with regard to personnel who have active or inactive membership in PERS and to those who are retired annuitants and in performing this Agreement shall not assign or utilize any of its personnel in a manner that will cause City to be in violation of the PERL, PEPRA or any other applicable retirement laws and regulations.

10.2. Indemnification. Consultant shall defend (with legal counsel approved by City, whose approval shall not be unreasonably withheld), indemnify and hold harmless City, and its City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from, caused by, or relating to Consultant’s violation of any provisions of this Section 10.0. This duty of indemnification is in addition to Consultant’s duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant’s indemnification and obligations under this Section shall survive the expiration or termination of this Agreement.

11.0 Confidentiality

11.1. Consultant covenants that all data, reports, documents, surveys, studies, drawings, plans, maps, models, photographs, images, video files, media, discussion, or other information (collectively “Data & Documents”) developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without prior written authorization by City. City shall grant such authorization if applicable law requires disclosure. Consultant, its officers, employees, agents, or subcontractors shall not without written authorization from the City Manager or unless requested in writing by the City Attorney, voluntarily provide declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the Services performed under this Agreement or relating to any project or property located within the City. Response to a subpoena or court order shall not be considered “voluntary,” provided Consultant gives City notice of such court order or subpoena.

11.2. Consultant shall promptly notify City should Consultant, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed thereunder or with respect to any project or property located within the City. City may, but has no obligation to, represent Consultant or be present at any deposition, hearing or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by 8 of 19
Consultant. However, City’s right to review any such response does not imply or mean the right by City to control, direct or rewrite the response.

11.3. Consultant’s covenants under this Section shall survive the termination or expiration of this Agreement.

12.0 Ownership of Documents and Work Product

12.1. All Data & Documents shall be and remain the property of City without restriction or limitation upon its use, duplication or dissemination by City.

All Data & Documents shall be considered “works made for hire,” and all Data & Documents and any and all intellectual property rights arising from their creation, including, but not limited to, all copyrights and other proprietary rights, shall be and remain the property of City without restriction or limitation upon their use, duplication or dissemination by City. Consultant shall not obtain or attempt to obtain copyright protection as to any Data & Documents.

12.2. Consultant hereby assigns to City all ownership and any and all intellectual property rights to the Data & Documents that are not otherwise vested in City pursuant to the paragraph directly above this one.

12.3. Consultant warrants and represents that it has secured all necessary licenses, consents or approvals to use any instrumentality, thing or component as to which any intellectual property right exists, including computer software, used in the rendering of the Services and the production of all Written Products produced under this Agreement, and that City has full legal title to and the right to reproduce the Data & Documents. Consultant shall defend, indemnify and hold City, and its elected officials, officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of City officials, harmless from any loss, claim or liability in any way related to a claim that City’s use of any of the Data & Documents is violating federal, state or local laws, or any contractual provisions, or any laws relating to trade names, licenses, franchises, copyrights, patents or other means of protecting intellectual property rights and/or interests in products or inventions. Consultant shall bear all costs arising from the use of patented, copyrighted, trade secret or trademarked documents, materials, equipment, devices or processes in connection with its provision of the Services and Data & Documents produced under this Agreement. In the event the use of any of the Written Products or other deliverables hereunder by City is held to constitute an infringement and the use of any of the same is enjoined, Consultant, at its expense, shall: (1) secure for City the right to continue using the Data & Documents and other deliverables by suspension of any injunction, or by procuring a license or licenses for City; or (2) modify the Data & Documents and other deliverables so that they become non-infringing while remaining in compliance with the requirements of this Agreement. These covenants shall survive the expiration and/or termination of this Agreement.
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12.4. Upon expiration or termination of the Agreement, Consultant shall deliver to City all Data & Documents and other deliverables related to any Services performed pursuant to this Agreement without additional cost or expense to City.

If Consultant prepares a document on a computer, Consultant shall provide City with said document both in a printed format and in an electronic format that is acceptable to City.

13.0 Subcontractors
No portion of this Agreement shall be subcontracted without the prior written approval of the City. Consultant is fully responsible to City for the performance of any and all subcontractors.

14.0 Prohibition Against Assignment or Delegation
Consultant shall not assign any of its rights or delegate any of its duties under this Agreement, either in whole or in part, without City’s prior written consent. Any purported assignment or delegation in violation of this Section shall be void and without effect, and shall entitle City to terminate this Agreement. As used in this Section, “assignment” and “delegation” means any sale, gift, pledge, hypothecation, encumbrance or other transfer of all or any portion of the rights, obligations, or liabilities in or arising from this Agreement to any person or entity, whether by operation of law or otherwise, and regardless of the legal form of the transaction in which the attempted transfer occurs.

15.0 Inspection and Audit of Records
Consultant shall maintain complete and accurate records with respect to all Services and other matters covered under this Agreement, including but expressly not limited to, all Services performed, salaries, wages, invoices, time cards, cost control sheets, costs, expenses, receipts and other records with respect to this Agreement. Consultant shall maintain adequate records on the Services provided in sufficient detail to permit an evaluation of all Services in connection therewith. All such records shall be clearly identified and readily accessible. At all times during regular business hours, Consultant shall provide City with free access to such records, and the right to examine and audit the same and to make copies and transcripts as City deems necessary, and shall allow inspection of all program data, information, documents, proceedings and activities and all other matters related to the performance of the Services under this Agreement. Consultant shall retain all financial and program service records and all other records related to the Services and performance of this Agreement for at least three (3) years after expiration, termination or final payment under this Agreement, whichever occurs later. City’s rights under this Section 15.0 shall survive for three (3) years after expiration, termination or final payment under this Agreement, whichever occurs later.

16.0 Safety Requirements
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All work performed under this Agreement shall be performed in such a manner as to provide safety to the public and to meet or exceed the safety standards outlined by CAL OSHA and other applicable state and federal laws. City may issue restraint or cease and desist orders to Consultant when unsafe or harmful acts are observed or reported relative to the performance of the Services. Consultant shall maintain the work sites free of hazards to persons and property resulting from its operations. Consultant shall immediately report to the City any hazardous condition noted by Contractor.

17.0 Insurance

17.1. General Requirements. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that Consultant has secured all insurance required under this Section.

17.2. Minimum Scope and Limits of Insurance. Consultant shall, at its sole cost and expense, procure, maintain and keep in full force and effect for the duration of the Agreement, insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of this Agreement, as follows:

17.2.1. Commercial General Liability Insurance: Consultant shall maintain limits no less than $2,000,000 per occurrence for bodily injury, personal injury and property damage; and if Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit: Coverage shall be at least as broad as the latest version of Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). If Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds;

17.2.2. Automobile Liability Insurance: Consultant shall maintain limits no less than $1,000,000 per accident for bodily injury and property damage.

Coverage shall be at least as broad as Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto)..

17.2.3. Workers’ Compensation Insurance in the amount required by law; and Employer’s Liability: $1,000,000 per accident and in the aggregate for bodily injury or disease;

17.2.4. Professional Liability (or Errors and Omissions) Liability. , within minimum limits of $1,000,000 per claim/aggregate. If a “claims made” policy 11 of 19
is provided, then the policy shall be endorsed to provide an extended reporting period of not less than three years.

17.3. Acceptability of Insurers. The Insurance policies required under this Section shall be placed with insurers with a current A.M. Best's rating no less than A:VIII, licensed to do business in California, and satisfactory to the City.

17.4. Additional Insured.

17.4.1. For general liability insurance, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents acting as independent contractors in the role of City officials shall be covered as additional insureds with respect to the services or operations performed by or on behalf of the Consultant, including materials, parts or equipment furnished in connection with such work.

17.4.2. For automobile liability, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials, shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Consultant or for which the Consultant is responsible.

17.4.3. These additional insured provisions shall also apply to any excess/umbrella liability policies.

17.5. Cancellations or Modifications to Coverage. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by City to state: (1) coverage shall not be suspended, voided, reduced or canceled except after 30 days prior written notice by certified mail, return receipt requested, has been given to City; (2) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to City, its elected and appointed officials, officers, employees, agents, designated volunteers, and those City agents serving as independent contractors in the role of City officials;

17.6. Primary and Non-Contributing. Coverage shall be primary insurance as respects the City, its elected officials, officers, employees, agents, designated volunteers designated volunteers and agents serving as independent contractors in the role of City officials, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled underlying coverage and that any insurance or self-insurance maintained by the City, its elected officials, officers, employees, agents. designated volunteers designated volunteers and agents serving as independent contractors in the role of City officials, shall be excess of the Consultant's insurance and shall not be called upon to contribute with it;
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17.7. Separation of Insureds. All insurance required by this Section shall contain standard separation of insureds provisions and shall not contain any special limitations on the scope of protection afforded to City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials.

17.8. Deductibles and Self-Insured Retentions. Any deductibles or selfinsured retentions shall be declared to and approved by City. Consultant guarantees that, at the option of City, either: (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials; or (2) Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses.

17.9. Waiver of Subrogation. Each insurance policy required by this Agreement shall expressly waive the insurer’s right of subrogation against City and its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials. Consultant hereby waives all rights of subrogation against City.

17.10. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section in full force and effect during the term of this Agreement, or in the event any of Consultant’s policies do not comply with the requirements under this Section, City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may, but has no duty to, take out the necessary insurance and pay, at Consultant’s expense, the premium thereon. Consultant shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant.

17.11. Evidence of Insurance. Prior to the performance of Services under this Agreement, Consultant shall furnish City with original certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section on forms satisfactory to and approved by City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by City if requested. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant shall maintain current endorsements on file with City’s Risk Manager. All certificates and endorsements shall be received and approved by the City before work commences. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Consultant shall also provide proof to City that insurance policies expiring during the term of this Agreement have been renewed or replaced with other 13 of 19
policies providing at least the same coverage. Consultant shall furnish such proof at least two weeks prior to the expiration of the coverages.

17.12. Indemnity Requirements Not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant’s liability or as full performance of Consultant’s duty to indemnify City under Section 18.0.

17.13. Broader Coverage/Higher Limits. If Consultant maintains broader coverage and/or higher limits than the minimums required above, City requires and shall be entitled to the broader coverage and/or the higher limits maintained by Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City.

17.14. Subcontractor Insurance Requirements. Consultant shall require each of its subcontractors that perform Services under this Agreement to maintain insurance coverage that meets all of the requirements of this Section.

18.0 Indemnification, Hold Harmless, and Duty to Defend

18.1. Indemnities.

18.1.1. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, defend, hold harmless and indemnify City and its elected and appointed officials, officers, attorneys, agents, employees, designated volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively “Indemnitees” in this Section

18.0), from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, bid protests, stop notices, liens and losses of any nature whatsoever, including but not limited to fees of accountants, attorneys and other professionals, and all costs associated therewith, and the payment of all consequential damages (collectively “Liabilities”), in law or equity, whether actual, alleged or threatened, which arise out of, pertain to, or relate to the acts or omissions of Consultant, its officers, agents, servants, employees, subcontractors, materialmen, suppliers, or contractors, or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Liabilities arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties. Consultant shall defend the Indemnitees in any action or actions filed in connection with any Liabilities with counsel of the Indemnitees’ choice, and shall pay all costs and expenses, including all attorneys’ fees and experts’ costs actually incurred in connection with such defense. Consultant shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith.
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18.1.2. Consultant shall indemnify and hold harmless City in accordance with Sections 9.0 and 10.0.

18.2. Subcontractor Indemnification. Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 18.0 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Claims in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Consultant’s subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant’s subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Claims or Damages arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties.

18.3. Workers’ Compensation Acts Not Limiting. Consultant’s indemnification obligations under this Section, or any other provision of this Agreement, shall not be limited by the provisions of any workers’ compensation act or similar act. Consultant expressly waives its statutory immunity under such statutes or laws as to City, its elected and appointed officers, officials, agents, employees, designated volunteers and those City agents serving as independent contractors in the role of City officials.

18.4. Insurance Requirements Not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. The indemnities and obligations in this Section shall apply regardless of whether or not any insurance policies are determined to be applicable to the Claims or Liabilities asserted against City or any of the other Indemnitees.

18.5. Survival of Terms. Consultant’s indemnifications and obligations under this Section 18.0 shall survive the expiration or termination of this Agreement.

19.0 Non-Discrimination Equal Employment Opportunity
Consultant affirmatively represents that it is an equal opportunity employer. In the performance of this Agreement, Consultant shall not discriminate against any subcontractor, employee, or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex, gender, sexual orientation, gender identity, gender expression, marital status, national origin, ancestry, age, physical 15 of 19
disability, mental disability, medical condition, genetic information, or any other basis prohibited by law. Consultant will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment, without regard to their race, color, religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information or sexual orientation, or any other basis prohibited by law.

20.0 Labor Certification
By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code that 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 agrees to comply with such provisions before commencing the performance of the Services.

21.0 Prevailing Wage and Payroll Records
To the extent that this Agreement calls for services that, in whole or in part, constitute “public works” as defined in the California Labor Code, Consultant shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit B, attached hereto and incorporated by reference herein.

22.0 Entire Agreement
This Agreement contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings, or agreements. This Agreement may only be modified by a writing signed by both Parties.

23.0 Severability
The invalidity in whole or in part of any provisions of this Agreement shall not void or affect the validity of the other provisions of this Agreement.

24.0 Governing Law and Venue
This Agreement shall be governed by and construed in accordance with the laws of the State of California, except that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be applied in interpreting this Agreement. Any dispute that arises under or relates to this Agreement (whether contract, tort or both) shall be resolved in a superior court with geographic jurisdiction over the City of Seal Beach.

25.0 No Third Party Beneficiaries
16 of 19
This Agreement is made solely for the benefit of the Parties to this Agreement and their respective successors and assigns, and no other person or entity shall be deemed to have any rights hereunder against either party by virtue of this Agreement.

26.0 Waiver
No delay or omission to exercise any right, power or remedy accruing to City under this Agreement shall impair any right, power or remedy of City, nor shall it be construed as a waiver of, or consent to, any breach or default. No waiver of any breach, any failure of a condition, or any right or remedy under this Agreement shall be (1) effective unless it is in writing and signed by the Party making the waiver, (2) deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy, or (3) deemed to constitute a continuing waiver unless the writing expressly so states.

27.0 Prohibited Interests; Conflict of Interest

27.1. Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the Services, or which would conflict in any manner with the performance of the Services.

Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code §§ 1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained.

27.2. Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, any fee, commission, gift, percentage, or any other consideration contingent upon the execution of this Agreement. Upon any breach or violation of this warranty, City shall have the right, at its sole and absolute discretion, to terminate this Agreement without further liability, or to deduct from any sums payable to Consultant hereunder the full amount or value of any such fee, commission, percentage or gift.

27.3. Consultant warrants and maintains that it has no knowledge that any officer or employee of City has any interest, whether contractual, noncontractual, financial, proprietary, or otherwise, in this transaction or in the business of Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant shall 17 of 19
immediately make a complete, written disclosure of such interest to City, even if such interest would not be deemed a prohibited "conflict of interest" under applicable laws as described in this Section.

28.0 Final Payment Acceptance Constitutes Release
The acceptance by Consultant of the final payment made under this Agreement shall operate as and be a release of City from all claims and liabilities for compensation to Consultant for anything done, furnished or relating to Consultant’s work or services. Acceptance of payment shall be any negotiation of City’s check or the failure to make a written extra compensation claim within ten calendar days of the receipt of that check. However, approval or payment by City shall not constitute, nor be deemed, a release of the responsibility and liability of Consultant, its employees, subcontractors and agents for the accuracy and competency of the information provided and/or work performed; nor shall such approval or payment be deemed to be an assumption of such responsibility or liability by City for any defect or error in the work prepared by Consultant, its employees, subcontractors and agents.

29.0 Corrections
In addition to the indemnification obligations set forth above, Consultant shall correct, at its expense, all errors in the work which may be disclosed during City’s review of Consultant’s report or plans. Should Consultant fail to make such correction in a reasonably timely manner, such correction may be made by City, and the cost thereof shall be charged to Consultant. In addition to all other available remedies, City may deduct the cost of such correction from any retention amount held by City or may withhold payment otherwise owed Consultant under this Agreement up to the amount of the cost of correction.

30.0 Non-Appropriation of Funds
Payments to be made to Consultant by City for any Services performed within the current fiscal year are within the current fiscal budget and within an available, unexhausted fund. In the event that City does not appropriate sufficient funds for payment of Consultant’s Services beyond the current fiscal year, this Agreement shall cover payment for Consultant’s Services only to the conclusion of the last fiscal year in which City appropriates sufficient funds and shall automatically terminate at the conclusion of such fiscal year.

31.0 Mutual Cooperation

31.1. City’s Cooperation. City shall provide Consultant with all pertinent Data, documents and other requested information as is reasonably available for Consultant’s proper performance of the Services required under this Agreement. 18 of 19

31.2. Consultant’s Cooperation. In the event any claim or action is brought against City relating to Consultant’s performance of Services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires.

32.0 Time of the Essence
Time is of the essence in respect to all provisions of this Agreement that specify a time for performance; provided, however, that the foregoing shall not be construed to limit or deprive a Party of the benefits of any grace or use period allowed in this Agreement.

33.0 Attorneys' Fees
If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party all of its attorneys’ fees and other costs incurred in connection therewith.

34.0 Exhibits
All exhibits referenced in this Agreement are hereby incorporated into the Agreement as if set forth in full herein. In the event of any material discrepancy between the terms of any exhibit so incorporated and the terms of this Agreement, the terms of this Agreement shall control.

35.0 Corporate Authority
The person executing this Agreement on behalf of Consultant warrants that he or she is duly authorized to execute this Agreement on behalf of said party and that by his or her execution, the Consultant is formally bound to the provisions of this Agreement.

EXHIBIT A
Scope of Services
13367 Benson Avenue | Chino CA 91710 | T 909 595 8599 | F 909 595 8863 | Transtech.org May 26, 2022
Alexa Smittle
Director of Community Development
City of Seal Beach
211 Eighth Street,
Seal Beach, CA 90740
Ms. Smittle,
We are pleased to give this contract renewal proposal for the fiscal year 22-23 to provide Building and Safety Staff Services and Plan Review Services.

Transtech is serving the City Building Division since July 2016. Per the current contract Plan review services are provided at 65% of the plan review fees collected per the City fee schedule and staff services are provided per the attached special hourly rates as per the attached Exhibit A. Any additional services requested by the City may be provided per the Standard Hourly Rates as per the attached Exhibit B.

It is our understanding that during the 22-23 fiscal year, 1 full time permit technician, 1 full time building inspector and as needed Building Official, as needed additional permit technician and as needed additional building inspector will be provided based on the workload increases. The cost estimate for staff services based on the above staffing level would be $400,272 and plan review services will be at 65% of the City Plan Review fees.

The hourly rates of the services are automatically increased by the percentage change Los Angeles-Long Beach-Anaheim California Consumer Price Index-All Urban Consumers (“CPI-U”) for the preceding twelve-month period as calculated for February by the U.S. Department of Labor Bureau of Labor Statistics and published by the United States Bureau of Labor Statistic.

Feel free to contact me if you have any further questions on the matter.

Ayla Jefferson, CBO, CSP
13367 Benson Ave.

Chino | CA 91710
P (909) 595-8599 ext.123
F (909) 595-8863
E [email protected]
W www.transtech.org
2 ENC: Adjusted Rates, Exhibit A and B, Transtech SOQ
BLS CONSUMER PRICE INDEX– FEBRUARY 2022
Exhibit A & B to attach to the Contract
Current Rates
TRANSTECH ENGINEERS, INC. STANDARD HOURLY RATES
Effective through June 30, 2022
Adjusted as per Los Angeles-Riverside-Orange County Consumer Price IndexAll Urban Consumers (“CPI-U”) Special Rates for City of Seal Beach
Classification
Building Official $110
Building Inspector $75
Permit Technician $70
Reimbursable direct expenses are billed at cost plus 10% for administration fee.

The above fees will be increased each year July 1st automatically by the percentage change Los Angeles-Long Beach-Anaheim California Consumer Price Index-All Urban Consumers (“CPI-U”) for the preceding twelve-month period as calculated for February by the U.S. Department of Labor Bureau of Labor Statistics and published by the United States Bureau of Labor Statistic.

Plan Checks 65% of Plan Check Fees
Where fees are waived, or reduced plan review shall be $110/hr.

Proposed Rates
TRANSTECH ENGINEERS, INC. STANDARD HOURLY RATES
Effective June 30, 2023
Adjusted as per Los Angeles-Riverside-Orange County Consumer Price IndexAll Urban Consumers (“CPI-U”) Special Rates for City of Seal Beach
Classification
Building Official $118
Building Inspector $81
Permit Technician $75
Reimbursable direct expenses are billed at cost plus 10% for administration fee.

The above fees will be increased each year July 1st automatically by the percentage change Los Angeles-Long Beach-Anaheim California Consumer Price Index-All Urban Consumers (“CPI-U”) for the preceding twelve-month period as calculated for February by the U.S. Department of Labor Bureau of Labor Statistics and published by the United States Bureau of Labor Statistic.

Plan Checks 65% of Plan Check Fees
Where fees are waived, or reduced plan review shall be $118/hr.

CPI-U FEBRUARY 2022 7.40%
3 4

EXHIBIT A

SCOPE OF SERVICES
Transtech will provide BUILDING AND SAFETY SERVICES, PLAN CHECK, BUILDING OFFICIAL, PERMIT TECHNICIAN AND INSPECTOR per the following special rates to the City:

Building Official/Plan Checker $118/hr., 4 to 8 hrs. a week Building Inspector $81/hr., 40 hrs. a week and additional 8 hrs. per month Permit Technician $75/hr., 40 hrs. a week and additional 8 hrs. a week Plan Checks 65% of the plan check fees per City Fee Schedule Where fees are waived, or reduced plan review shall be $118/hr.

The above fees will be increased each year July 1st automatically by the percentage change Los Angeles-Long Beach-Anaheim California Consumer Price Index-All Urban Consumers (“CPI-U”) for the preceding twelve-month period as calculated for February by the U.S. Department of Labor Bureau of Labor Statistics and published by the United States Bureau of Labor Statistic.

Any other services that may be requested by the City will be provided based on the specific scope of work and fees to be established per Transtech’s current standard hourly rates in Exhibit B.
5 EXHIBIT B
TRANSTECH ENGINEERS, INC.

S C H E D U L E O F H O U R L Y R A T E S
E f f e c t i v e t h r o u g h J u n e 3 0 , 2 0 2 3

E N G I N E E R I N G C O N S T R U C T I O N

M A N A G E M E N T B U I L D I N G & S A F E T Y
Field Technician $86 Labor Compliance Analyst $145 Permit Technician $86 Engineering Technician $102 Funds Coordinator $150 Plan Check Technician/Analyst $118 Assistant CAD Drafter $124 Utility Coordinator $161 Building Inspector $118 Senior CAD Drafter $145 Office Engineer $145 Senior Inspector $134 Associate Designer $150 Construction Inspector $145 Plans Examiner/Checker $145 Senior Designer $161 Senior Construction Inspector $156 Plan Check Engineer $161 Design Project Manager $199 Construction Manager $199 Deputy Building Official $161 Assistant Engineer $129 Resident Engineer $199 Building Official $172 Staff/Associate Civil Engineer $156 P U B L I C W O R K S I N S P E C T I O N P L A N N I N G Senior Civil Engineer $209 Public Works Inspector $145 Community Development Technician $86 Traffic Analyst Technician $118 Senior Public Works Inspector $156 Planning Technician $91 Associate Traffic Analyst $140 Supervising PW Inspector $161 Assistant Planner $129 Senior Traffic Analyst $161 S U R V E Y A N D M A P P I N G Associate Planner $135 Professional Transportation Planner $177 Survey Analyst $145 Senior Planner $166 Traffic Engineer Technician $102 Senior Survey Analyst $156 Planning Manager $177 Associate Traffic Engineer $156 2-Man Survey Crew $333 A D M I N I S T R A T I V E S T A F F Traffic Engineer $177 Survey & Mapping Specialist $188 Administrative/Clerical $70 Senior Traffic Engineer $199 Licensed Land Surveyor $204 Project Accountant $86 Project Manager $183 F U N D I N G & G R A N T W R I T I N G Senior Project Manager $199 Funds Analyst $140
Deputy City Engineer $172 Senior Funds Analyst $150
City Engineer $188 Graphic & Rendering Designer $134
Principal Engineer $209 Grant Writer $166
Funds & Grant Project Manager $188
The above fees will be increased each year July 1st automatically by the percentage change Los AngelesLong Beach-Anaheim California Consumer Price Index-All Urban Consumers (“CPI-U”) for the preceding twelve-month period as calculated for February by the U.S. Department of Labor Bureau of Labor Statistics and published by the United States Bureau of Labor Statistic.

TRANSTECH

STATEMENT OF

QUALIFICATIONS
Transtech Engineers, Inc.

Transtech.org
[email protected]
855.595.2495 (toll-free)
ISO 9001 Certified
April 2022
QUALIFICATIONS 1
Transtech Engineers, Inc.

STATEMENT OF QUALIFICATIONS
Transtech Engineers, Inc.

April 2022

ABOUT TRANSTECH
Company Profile:

Established in 1989, Transtech (a California Corporation) is a multi-disciplinary engineering consulting firm.

Transtech is currently providing municipal services over 65 agencies, and has extensive experience providing services to public sector clients and working in a mixed public agency staff/consultant environment for over 32 years. Our staff and resources include, civil engineers, city engineers, traffic engineers, building officials, project managers, designers, plan checkers, inspectors, construction managers, traffic and transportation analysts, technicians, planners, support personnel. Our key staff members serve as Public Works Directors, City Engineers, Building Officials for Public Agencies. Our resources include approximately 150 team members.

Service Capabilities:
• City Engineer, City Traffic Engineer, Development
Review, Public Works Engineering, Plan Check,
Inspection
• Civil Engineering
• Staff Augmentation
• CIP Program Management
• Construction Management and Inspection
• Federally Funded Project Management
• Grant Writing
• CDBG Project Management
• Building & Safety Services, Building Inspection,
Plan Check, Building Evaluations, City Building
Official, Code Enforcement
• Labor Compliance
• Planning Support
• Traffic and Transportation Planning and
Engineering
• Water Resources Engineering
• Surveying, Mapping, ALTA, Right-of-way
Engineering
• Emergency, Support Services
Dedication and commitment to serve public sector clients:

Transtech is currently providing municipal services to over 65 public agencies. We have extensive experience providing services to public sector clients and working in a mixed public agency staff/consultant environment for over 32 years. We consider our staff as extension of City staff, and work in the same structure and hierarchy as other City staff, and coordinate and interact with various City staff members.

One of the unique qualifications of Transtech is that we serve a number of public agencies as municipal contract service providers. We serve as Contract City Engineer, City Traffic Engineer, CIP Manager, PW Director, Building Official, Building Inspector, Plans Examiner/Plan Checker, Permit Technician, Public Works About Transtech Video Highlight

CLICK HERE
QUALIFICATIONS 2
Transtech Engineers, Inc.

Inspector, Construction Manager, Construction Inspector, Designer, Federally Funded Project Manager and in other capacities for a number of public agencies.

Transtech is currently providing municipal services to over 65 agencies:

City of Temple City
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
Check, Permit Inspection, Design, CIP and Construction
Management, PW Insp, Fed Proj Management
 Building & Safety Services: Building Official, Plan
Review, Inspection, Permit Technician
City of Commerce
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
Check, Permit Inspection, Design, CIP and Construction
Management, PW Insp, Fed Proj Management
 Building & Safety Services: Building Official, Plan
Review, Inspection, Permit Tech
City of Big Bear Lake
 Building & Safety Services: Building Plan Review
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
Check, Design, CIP and Construction Management,
PW PC/Insp, Fed Proj Management
City of Maywood
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
Check, Permit Inspection, Design, CIP and Construction
City of Alhambra
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
Check, Permit Inspection, Design, CIP and Construction
Management, PW Insp, Fed Proj Management
 Building & Safety Services: Building Official, Plan Review, Inspection, Permit Technician
City of South El Monte
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
Check, Permit Inspection, Design, CIP and Construction
Management, PW Insp, Fed Proj Management
 Building & Safety Services: Building Official, Plan Review, As-needed Inspection, As-Needed Permit Technician
City of West Covina
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
Check, Permit Inspection, Design, CIP and Construction
Management, PW PC, Fed Proj Management
 Building & Safety Services: Building Official, Plan Review, Inspection, Permit Technician
City of Rosemead
 City Engineering Services: City Eng, Traffic Eng,
Development/Public Works Plan Check, Map and Plan
QUALIFICATIONS 3
Transtech Engineers, Inc.

Management, PW Insp, Fed Proj Management
City of Chino
 CIP Management Services: Transtech is City’s Contract CIP Manager for major Public Works Projects.

City of Ontario
 CIP Management Services: Transtech is City’s Contract CIP Manager for major Public Works Projects.

City of Monterey Park
 Engineering Services/CIP Management: Engineering
Support, Traffic Engineering, CIP Management, PW
Plan Check
 Building & Safety Services: Building Official, plan check and as-needed inspection
Bear Valley Community Services District
 District Engineering Services/CIP Management:

Engineering Support, Traffic Engineering, CIP
Management,
City of South Pasadena
 Building & Safety Services: Building Official, Plan
Review, Inspection, Permit Tech
City of Seal Beach
 Building & Safety Services: Building Official, Plan
Review, As-needed Inspection
City of Azusa
 Building & Safety Services: Building Plan Review, Asneeded Insp San Manuel Indian Reservation
 Building & Safety Services: Building Official, Plan
Review, Inspection
San Manuel Casino
 Building & Safety Services: Building Official, Plan
Review, Inspection
City of Placentia
 On-call PM/CM and Development/PW Plan Check: Oncall services.

City of San Clemente
 On-call Services: Development/Public Works Plan
Check
City of Rialto
 On-call Services: PW Permit Inspection Services.

City of Culver City
 On-call Engineering Services: Eng Services
City of Santa Ana
 On-call Services: Eng and Tech Support Services
City of Chino Hills
 On-call Services: Engineering
City of Anaheim
 Engineering Services: Engineering Services
City of Pasadena
 On-call Engineering Services: Engineering Services
City of Yorba Linda
 Traffic Engineering Services: On-call Traffic Engineering Check, Permit Inspection, Design, CIP and Construction
Management, PW Insp, Fed Proj Management
City of Pico Rivera
 City Engineering and CIP Management Services: City
Engineer and CIP Management.

City of Bell
 Building & Safety Services: Building Official, Plan Review, Inspection, Permit Technician
City of Hawaiian Gardens
 Building and Safety Services: Building Official, Plan Review, Inspection, Permit Technician
City of Downey
 Building & Safety Services: Plan Review, Inspection
County of Riverside
 Building & Safety Services: Plan Review, Inspection
San Bernardino County Housing Authority
 On-call Services: As-Needed Support
City of San Bernardino
 On-call Services: Traffic Engineering, Constr.

Management.

City of Moreno Valley
 Building & Safety Services: Plan Review, Inspection
City of El Monte
 On-call Services: Engineering Support, Traffic
Engineering, Construction Management,
Development/Public Works Plan Check, Map and Plan
Check.

County of Los Angeles
 Building & Safety Services: Plan Review, Inspection
City of Norwalk
 Building & Safety Services: Plan Review
City of San Marino
 City Traffic Engineering Services: City Traffic Engineering City of Hermosa Beach
 Plan Check Services: Dev Plan Check
City of Banning
 Public Works Plan Check: PW Plan Check and Pw
Inspection
Riverside County Economic Development Agency
 On-call Services: Eng, Building Evaluations, & Surveying City of Lancaster
 Traffic Engineering Services: On-call City Traffic
Engineering
City of Palm Desert
 City Traffic Engineering Services: City Traffic Engineering City of Irwindale
 On-call Services: Construction Management and
Inspection Services.

City of Lynwood
 On-call Services: Engineering, Construction
Management
QUALIFICATIONS 4
Transtech Engineers, Inc.

Transtech Team Licenses and Certificates in Diversified Fields:

Following are various ICC certifications held by various staff members:

Building Official Certifications:
 Certified Master Code
Professional
 Building Code Official
 Building Official
Plan Check Certifications:
 Residential Building Plans
Examiner
 Commercial Building Plans
Examiner
 California Building Plans
Examiner
 Certified Sustainability
Professional
 CalGreen Plans Examiner
 Accessibility Plans Examiner
 Commercial Energy
Conservation Plans
Examiner
 Residential Plans Examiner
 Mechanical Plans Examiner
 Plumbing Plans Examiner
 Electrical Plans Examiner
State of California Safety
Assessment Program:
 CalOES SAP Evaluator
Inspection Certifications:
 Combination Inspector
 Commercial Building Inspector
 Residential Building Inspector
 Accessibility Inspector
 Commercial Energy Conservation
Inspector
 Electrical Inspector
 Commercial Electrical Inspector
 Residential Electrical Inspector
 Residential Energy Conservation
Inspector
 Residential Building Inspector
 Residential Mechanical Inspector
 Mechanical Inspector
 Commercial Mechanical
Inspector
 Plumbing Inspector
 CalGreen Inspector
 Building Inspector CBC
 Building Inspector UBC
 Plumbing Inspector UPC
 California Building Inspector
 California Commercial Plumbing
Inspector
 California Residential Mechanical
Inspector
 California Residential Mechanical
Inspector
Additional Inspection Certifications:
 IAPMO Plumbing, Mechanical
Inspector
 Fire Code Inspector
 Fire Inspector II
 California UST Inspector
Permit Technician Certification:

Permit Technician
CACEO Certified Code
Enforcement Officer
California State Fire Marshall
Certifications: Certified EMT1 (AED
Certification), Driver Operator 1A,
Driver Operator 1B, Driver Operator,
Command 1A, 1B, 2A, Firefighter 1,
2, Hazardous Materials First
Responder, Instructor 1A, 1B,
Investigation, 1A, Management, 1,
Prevention, 1A, 1B, 1C, 1D, 2A,
3A,3B, ICS 100, 200, S-290, S-130, S190, PC832 with Firearms. Fire control 3, S-230 S-231 S-215, Fire
Safety Officer
FEMA: IS 100, 200, 241, 242, 275, 700,
288, 800, 08-A, 1900
 Also, our plan check engineers, who review maps and engineering plans are licensed as professional engineer by the State of California Board for Professional Engineers, Land Surveyors, and Geologists (BPELSG).
 In addition, some of our staff members are certified as Fire Plan Checkers and Inspectors, as we provide these services to some agencies.

Our team members are involved in many local and national ICC and CALBO committees, and are involved in the development of local and national guidelines and codes:
• Chair; ICC Sustainability Membership Council
• Chair; ICC LA Chapter Inspection Committee
• Commissioner; ICC Codes & Standards
Council
• Commissioner; CALBO Green Committee
• Commissioner; ICC/CALBO CA Exam
Committee
• Commissioner; CALBO
Outreach/Communications Committee
• ICC Los Angeles Basin Chapter Board of Directors
• ICC Building Officials Membership Governing Council
• ICC Code Development Committee Vice Chair
• ICC Technology/Web Advisory Group
• IAS Accreditation Committee
• ICC LA Chapter Accessibility Committee
• Commissioner; CALBO State Licensing Boards
Committee
QUALIFICATIONS 5
Transtech Engineers, Inc.

Experience in Federally Funded Projects:

We have extensive experience in the management and administration of federally funded projects. Our staff members have completed Caltrans Resident Engineer Academy for Federally Funded Projects. We follow guidelines and procedures of Caltrans Local Assistance Procedures Manual (LAPM).

Experience in Grants:

Our team has proven track record in obtaining outside grants for its client cities. Our staff works with our client cities to find potential funding sources, and to prepare competitive applications for various programs. We have obtained extensive amount of funds for our client cities. Additionally, after funds are awarded to a client, our experienced staff provides assistance to ensure compliance with applicable funding program requirements, including preparing necessary clearance approvals (environmental, utilities, ROW), processing E-76 authorizations, and managing project.

Experience with CALTRANS:

Our team includes experienced staff members who have worked for CALTRANS and are intimately familiar with the standards and procedures, project development and approval process, and requirements.

Technology:

Transtech has integrated many technological assets into its services to provide most efficient and costeffective service. We provide fully automated electronic plan submittal, checking and tracking. We provide this on our company portal, as well as offer same portal to our client cities on their web sites. As a result of recent impacts of Novel Covid-19 pandemic, we have also implemented issuance of permits for certain types of projects thru complete on-line submittal and review, and without direct face-to-face interaction with applicants. We have provided toll free numbers, video conference call with applicants to discuss any questions and review plans on common screens as necessary, set-up electronic/credit card payment options, and issued permits on-line.
• Electronic Plan Check: Transtech provides Electronic Plan Check. Click here for a sample of our electronic plan check portal at one of our contract Cities.
• Virtual Counter: We offer virtual meetings with plan checkers. To explore the virtual Plan Check Counter appointment calendar at one of our contract Cities, click here.

Readily Available Staff:

Transtech has a large pool of well experienced in-house staff readily available to provide requested services, and respond to specific projects schedules in a timely, efficient and cost effective manner.

Transtech’s “Customer Care” and “Methodology” Approach in delivering the services in an efficient, cost effective, and timely manner:
• Our services are founded on the principals of Total Quality Management for Total Customer Care. • We have a structured approach to execute projects in an efficient manner that makes Transtech capable of providing the City with the highest quality product. Transtech has established guidelines and policies, including written manuals on quality control, project management, and design procedures for its staff and for its contract cities. These guidelines ensure a consistent approach to the execution of assignments undertaken by our organization in compliance with Client’s specific procedures, standards and requirements.
• We start by working with the applicant early on and during plan review to help the applicant prepare a set of plans which have all the required information clearly and logically presented. • Transtech provides all plan check comments on electronic files. All plan check comments are provided on scanned pdf format electronically, as well as hard copies. Plan review corrections are written clearly and are fully detailed to explain the Code deficiency (including all applicable code sections).

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• To help the applicant better understand the problem, Transtech provides as much information during plan review as possible. We believe that if the applicant has a clear understanding of the problem, the applicant can take the necessary steps to correct the condition. This policy reduces the number of plan review rechecks required, allows the applicant to obtain a permit much sooner, and reduces the overall time our staff is required to spend on that particular plan. Unclear and/or cryptic corrections are never written, and all correction lists, except those written over-the-counter, are typed and printed on a laser printer.
• Our plan checkers confer early on and respond to questions from the applicant, etc. • Our policy is to assist the applicant as much as possible, which helps eliminate complicated details, reduce construction costs, and/or provide details which are easy to verify in the field. • All telephone calls or e-mails received are returned within same working day, or the following day. We take pride in our “Same Day Response” motto.
• Responsiveness is an integral part of Transtech’s “customer friendly” service approach. • Our Contract Principal meets with the Client’s Project Manager regularly to monitor the service quality and address any areas for improvements.

Community Benefit Enhancement:

Supporting civic and community activities demonstrates Transtech’s commitment to the progress, health, and well-being of the communities we serve. This is something that we take pride in as a company. In services and partnership with our client cities, we have a proven record of active engagement in City and Community events. This could include involvement or presence at City programs or events, supporting local businesses through the chamber, youth events, hosting workshops, sports, scholarship opportunities, community service, managing homelessness challenges, public safety, crime prevention, or any other community benefit that the City wishes us to be a part of. Our goal is not just to serve as an engineering consultant which is what we are best at, but also in being an active partner with our clients, to further enhance the City’s reputation as an ideal community to live, invest, work, and play in. We are deeply committed to maintaining our partnership with our valued customers, its community, and remain open and enthusiastic to receiving input on how to best serve the City's needs today and in the future to further enhance the City’s reputation as an ideal community to live, invest, work, and play in.

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PROJECT EXAMPLES REPRESENTATIVE OF TRANSTECH’S DIVERSIFIED EXPERIENCE

ROADWAY/INFRASTRUCTURE PROJECTS
Washington Boulevard Widening and Reconstruction
Project ($40M): Transtech provided CM/CI/Resident
Engineer, Inspector, Office Engineer Services. The project included widening and reconstruction of 2.7 miles of
Roadway, Traffic Signals, Street Lighting, Landscape,
Improvements at I-5 & at 710 Freeways ramps. The project was federally funded and was managed in compliance
with Caltrans Local Assistance Procedures Manual. The
project was also a Caltrans Oversight Project.

AWARD: This project was recognized as one of the
projects of the year as part of the 2017 American Public Works Association (APWA) BEST Award, in the category
of Transportation Projects.

Rosemead Boulevard Improvements Project ($20M):

Located in the City of Temple City, this was a Federally Funded project. Funding included METRO Measure R &
Prop C Funds. Transtech provided Project, Program,
Construction Management, Resident Engineer, Inspection, Federal Compliance, Labor Compliance & Office Engineer
Services. The project included protected bike lanes,
widening & reconstruction of 2 miles of roadway.

AWARD: The project has achieved numerous awards
including a 2013 Planning Excellence in
Implementation Award from the American Planning
Association, the 2014 Quality of Life Merit Award from
the American Society of Landscape Architects, the
2014 Merit Award for Urban Design from the California
Council of the AIA & was voted one of the “best 10 new
bike lanes of 2014” from the PeopleforBikes
organization.

Atlantic Boulevard Corridor Improvement Project ($20M):

This was a Federally Funded project in the City of
Commerce. Transtech provided turnkey services included
construction management, resident engineer, inspection, office engineer, & funds coordinator. The project was a major street reconstruction & beautification project along Atlantic Boulevard which improved mobility for
pedestrians, trucks, & vehicles as well as provided corridor beautification with landscaped medians and other
elements.

AWARD: This project was recognized as one of the
projects of the years as part of the 2020 American
Public Works Association (APWA) Project of the Year
Award, in the category of Transportation Projects.

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Cactus Avenue and Nason Street Improvements and 135’
Span Bridge Project ($21M): This project was part of the State Local Partnership Program SLPP Grant in the City of Moreno Valley ($21M). Transtech provided construction
management, resident engineer, inspection, & office
engineer services.

AWARD: This project was recognized with a project
achievement award by the Construction
Management Association of America (CMAA) for
Construction Management Services under the Public
Works Category for $11M-$50M ranged projects.

BUILDING PROJECTS
City of Alhambra Civic Center Library Project ($25M): The project involved construction of a 45,000 SF Library with multi-level underground parking garage. The project was delivered as DBB. Transtech served as Owner
Representative and Program Manager from initial project planning, design development thru construction.

Transtech also provided building code plan check,
constructability, biddability and value engineering review.

Also, during construction, Transtech provided construction management and inspection services. This project is
located in Alhambra.

Mosaic Parking Structure DB (Design-Build) Project ($6M):

The project involved construction of a 5 story parking
structure. The project was delivered as DB. Transtech
served as Owner Representative and Program Manager
from initial project planning, design development thru
construction. Transtech also provided building code plan check, constructability, biddability and value engineering review. Also, during construction, Transtech provided
construction management and inspection services. This
project is located in Alhambra.

C Block Parking Structure DB (Design-Build) Project ($15M):

This project is being delivered under DB delivery method.

Transtech is City’s Owner’s Representative/Program
Manager. Currently, the project is under construction.

Transtech also prepared DB Pre-Qualification and RFP
Packages, including preparation of Bridging Documents.

For the Bridging Documents, Transtech retained parking
structure architect, soils engineer and other specialty consultants for the preparation of Technical Bridging
Documents/Plans. Transtech served as Owner’s
Representative/Program Manager and Construction
Manager.

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Ontario Great Park Phase 1 Project DB (Design-Build Project. ($75M): This project is being delivered under DB delivery method. Transtech is City’s Owner’s
Representative/Program Manager. Transtech is currently
preparing DB Documents, which include Bridging
Documents, Pre-Qualification Package and RFP Package
for the selection of DB Entity. Following are preliminary concepts developed by the architect, which as provided
as idea reference, and shall not be construed as approved concepts by the City of Ontario.

Renaissance Plaza ($15M): The project involved
construction of a 5-story parking structure, 10 plex movie theater, retail, and plaza. The project was delivered as DBB.

Transtech served as Owner Representative and Program
Manager from initial project planning, design development thru construction. Transtech also provided building code plan check, constructability, biddability and value
engineering review. Also, during construction, Transtech provided construction management and inspection
services. This project is located in Alhambra.

Rosewood Community Center ($25M): The project involved
construction of a Community Center with Olympic
regulation swimming pool for competition. The project was delivered as DBB. Transtech was retained by the City of Commerce to take over the management of this
multimillion-dollar facility which was 2 years behind
schedule. Within 5 months, Transtech brought the
construction to substantial completion level allowing the City to start the move-in process, and 2 months after, the facility was opened for public use. This project is located in Alhambra.

City of San Bernardino Santa Fe Depot/Metrolink Parking Structure and Historic Santa Fe Depot Renovation Project ($25M): The project involved construction Historic Santa Fe Depot Renovation for adoptive reuse of 60,000 sf Historic Santa Fe Train Depot, and later a 3-level parking structure.

The project was delivered as DBB. Transtech served as
Owner Representative and Program Manager from initial
project planning, design development thru construction.

Transtech also provided building code plan check,
constructability, biddability and value engineering review.

Also, during construction, Transtech provided construction management and inspection services. This project is
located in San Bernardino.

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BUILDING AND SAFETY PROJECTS
Agency: City of Temple City, Project: Blossom Walk Residential Development (Valuation $6M): This development includes 24- unit condominiums and 4 single family homes.

Transtech provided following services:
• Establishing conditions of approval and coordination with the Planning Staff for the entitlement of the project.
• Building Plan Check and inspection.
• Plan check for Map, Utilities, Off-site Improvements and Public Works Inspection.

Transtech serves as the City’s Contract Building Official, City Engineer, City Traffic Engineer
Agency: City of South El Monte, Project: Chico Residential Development (Valuation $15M): This development includes 13 buildings with 70 residential units.

Transtech provided following services:
• Establishing conditions of approval and coordination with the Planning Staff for the entitlement of the project.
• Building Plan Check.
• Engineering Plan Check to include plan check for Map, Utilities, Off-Site improvements and inspections.

Transtech serves as the City’s Contract Building Official, City Engineer, City Traffic Engineer
Agency: City of Commerce, Project: Warehouse with Office Space Development (Valuation $20M): This development
includes one-story of warehouse with mezzanines for office use of 114,898 square feet of total floor area in a 5.65-acre lot.

Transtech provided following services:
• Establishing conditions of approval and coordination with the Planning Staff for the entitlement of the project.
• Building Plan Check and inspection.
• Plan check for Map, Utilities, Off-site Improvements and Public Works Inspection.

Transtech serves as the City’s Contract Building Official, City Engineer, City Traffic Engineer
Agency: City of Alhambra, Project: Main Street Collection (Valuation $23M): This development includes 4-story mixeduse project with 8,200 s ft retail space, 52 condos, 9 live/work units, 19 townhomes, and 6 shopkeeper units.

Transtech provided following services:
• Establishing conditions of approval and coordination with the Planning Staff for the entitlement of the project.
• Building Plan Check.
• Engineering Plan Check to include plan check for Map, Utilities, Off-Site improvements and inspections.

Transtech serves as the City’s Contract Building Official, City Engineer, City Traffic Engineer
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Agency: City of West Covina, Project: Medical Center
Building (valuation $20M): This project is a new Medical Office Building of approximately 55,000 sf that will operate 24/7 providing a radiation oncology department and infusion
department.

Transtech provided following services:
• Establishing conditions of approval and coordination with the Planning Staff for the entitlement of the project.
• Building Plan Check.
• Engineering Plan Check to include plan check for Map, Utilities, Off-Site improvements and inspections.

Transtech serves as the City’s Contract Building Official, City Engineer, City Traffic Engineer
San Manuel Band of Mission Indians-Building and Safety, Plan Check, Inspection Services for Casino
Expansion/Development Project ($700M): Transtech serves as the Building Official, Plan Checker and Inspector for the Tribe.

Currently we are providing Plan Check and Inspection services for Casino’s expansion program, which includes casino
renovation, hotel, entertainment center, parking structure, pedestrian bridges, alignment of entry and exit roads, and various other improvements.

PARK PROJECTS
Lugo Park, Soccer Field (synthetic turf) and Park
Improvements Project ($2M): This project was
partially funded through CDBG funds in the City of
Cudahy. The project included constructing a new
soccer field with artificial turf on existing baseball
field, landscaping, parking lot, concrete plaza,
lighting, drainage, ADA improvements.

Manhattan Village Park, Soccer Field (synthetic
turf) Improvements Project ($1M): The project
included replacement of existing turf with a new
artificial turf, site fencing and landscaping
improvements.

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Salt Lake Park Splash Pad Project ($1M): This project
This project included installation of splash park.

Almansor Park Improvements Project ($2.5M): This
project was at Almansor Park in the City of
Alhambra and included construction of new
basketball courts, restroom facilities, shade
structure, new drainage systems, new lightings, and
updated landscaping and irrigation, and PCC
walkways.

Garvey Ranch Basketball Court Improvements
($500K): This project included construction of new
PCC basketball court installation, striping,
basketball hoops, fence, and PCC walkway in
Monterey Park.

Temple City Blvd Parking Lot Improvements Projects
($.5M): This project included new park/parking lot
signage, trellis, landscaping, drainage, lighting,
electrical vehicle charging station infrastructure for
future implementation.

Washington Bl Widening and Reconstruction Project
($30M): The project included widening and
reconstruction of 2.7 miles of Roadway, Traffic
Signals, Street Lighting, Landscape, Improvements
at I-5 and at 710 Freeways ramps. The project was
federally funded and was managed in compliance
with Caltrans LAPM.

Cascades Waterfall Renovation Project ($.6M): This
project included the renovation of the Cascades
Waterfall landmark in Monterey Park, which
included lighting, plastering of the fountain,
painting, ADA improvements, PCC walkway
improvements, and landscaping.

Citywide Parks Improvement Project ($6.5M): This
project included installation of park equipment
(playground, picnic shelters, benches),
construction of ADA improvements, and various
PCC improvements at 13 parks in the City of
Monterey Park.

Primrose Park: Transtech is currently managing
Primrose Park Project in the City of Temple City,
which was designed by DVD. This project is
funded by Prop 68 with a cost of $3M, and is
scheduled for completion by February 2021.

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REFERENCES
Client Name: City of West Covina (Year started and completed: 2019 – Ongoing Service) • Services Provided: City Engineer, Traffic Engineer, CIP Design, Construction Management, Inspection, Public Works Plan Checks, Federally Funded Project Management, Building and Safety Plan Check, Inspection, Permit Technician
• Contact: David Carmany, City Manager; T: 626-939-8401 E: [email protected] Client Name: City of South El Monte (Year started and completed: 2018 – Ongoing Service) • Services Provided: City Engineer, Traffic Engineer, CIP Design, Construction Management, Inspection, Public Works Plan Checks, Federally Funded Project Management, Building and Safety Plan Check, Inspection, Permit Technician
• Contact: Rene Salas, Assistant City Manager; T: 626-579-6540, Ext. 3040; E: [email protected] Client Name: City of Commerce (Year started and completed: 2003 – Ongoing Service) • Services Provided: City Engineer, Traffic Engineer, CIP Design, Construction Management, Inspection, Public Works Plan Checks, Federally Funded Project Management, Building and Safety Plan Check, Inspection, Permit Technician
• Contacts: Jose Jimenez, Development Services Director; T: 323-722-4805; E: [email protected] Client Name: City of Temple City (Year started and completed: 2012 – Ongoing Service) • Services Provided: City Engineer, Traffic Engineer, CIP Design, Construction Management, Inspection, Public Works Plan Checks, Federally Funded Project Management, Building and Safety Plan Check, Inspection, Permit Technician
• Contact: Bryan Cook, City Manager; T: 626-285-2171; E: [email protected] Client Name: City of Alhambra (Year started and completed: 1993 – Ongoing Service) • Services Provided: Services Provided: City Engineer, Traffic Engineer, Public Works Plan Checks, Federally Funded Project Management, Building and Safety Plan Check, Inspection, Permit Technician • Contact: Marc Castagnola, Dev Services Director, T: 626-570-5041; E: [email protected] Client Name: City of Monterey Park (Year started and completed: 2013 – Ongoing Service) • Services Provided: Engineering, Traffic Engineering, CIP Management, Design, Construction Management, Inspection, Federally Funded Project Management, Building Official, As-needed Plan Review, Inspection, Permit Technician
• Contact: Ron Bow, City Manager, 626-307-1255; E: [email protected] Client Name: City of Ontario (Year started and completed: 2019 – Ongoing Service) • Services Provided: Management of CIP and Staff Augmentation Services • Contact: Tito Haes, Public Works Director, T: 909-365-2625; E: [email protected] Client Name: City of Chino (Year started and completed: 2018 – Ongoing Service) • Services Provided: Management of CIP and Staff Augmentation Services • Contact: Amer Jakher, PE, Public Works Director, T: 909-334-3265; E: [email protected] Following are few reference letters from our clients:

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EXHIBIT B

TERMS FOR COMPLIANCE WITH CALIFORNIA LABOR LAW REQUIREMENTS

1. This Agreement calls for services that, in whole or in part, constitute “public works” as defined in Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code (“Chapter 1”). Further, Consultant acknowledges that this Agreement is subject to (a) Chapter 1 and (b) the rules and regulations established by the Department of Industrial Relations (“DIR”) implementing such statutes. Therefore, as to those Services that are “public works”, Consultant shall comply with and be bound by all the terms, rules and regulations described in 1(a) and 1(b) as though set forth in full herein.

2. California law requires the inclusion of specific Labor Code provisions in certain contracts. The inclusion of such specific provisions below, whether or not required by California law, does not alter the meaning or scope of Section 1 above.

3. Consultant shall be registered with the Department of Industrial Relations in accordance with California Labor Code Section 1725.5, and has provided proof of registration to City prior to the Effective Date of this Agreement. Consultant shall not perform work with any subcontractor that is not registered with DIR pursuant to Section 1725.5. Consultant and subcontractors shall maintain their registration with the DIR in effect throughout the duration of this Agreement. If Consultant or any subcontractor ceases to be registered with DIR at any time during the duration of the project, Consultant shall immediately notify City.

4. Pursuant to Labor Code Section 1771.4, Consultant’s Services are subject to compliance monitoring and enforcement by DIR. Consultant shall post job site notices, as prescribed by DIR regulations.

5. Pursuant to Labor Code Section 1773.2, copies of the prevailing rate of per diem wages for each craft, classification, or type of worker needed to perform the Agreement are on file at City Hall and will be made available to any interested party on request.

Consultant acknowledges receipt of a copy of the DIR determination of such prevailing rate of per diem wages, and Consultant shall post such rates at each job site covered by this Agreement.

6. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. Consultant shall, as a penalty to City, forfeit $200.00 for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Consultant or by any subcontractor.

7. Consultant shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Consultant and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform City of the location of the records.

8. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1777.5, 1777.6 and 1777.7 and California Code of Regulations, Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects. Consultant shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Consultant shall provide City with a copy of the information submitted to any applicable apprenticeship program.

Within 60 days after concluding work pursuant to this Agreement, Consultant and each of its subcontractors shall submit to City a verified statement of the journeyman and apprentice hours performed under this Agreement.

9. Consultant shall not perform work with any Subcontractor that has been debarred or suspended pursuant to California Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. Consultant and subcontractors shall not be debarred or suspended throughout the duration of this Contract pursuant to Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. If Consultant or any subcontractor becomes debarred or suspended during the duration of the project, Consultant shall immediately notify City.

10. Consultant acknowledges that eight hours labor constitutes a legal day’s work.

Consultant shall comply with and be bound by Labor Code Section 1810. Consultant shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit $25.00 for each worker employed in the performance of this Agreement by Consultant or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code Section 1815, work performed by employees of Consultant in excess of eight hours per day, and 40 hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of eight hours per day at not less than one and one-half times the basic rate of pay.

11. California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows:
“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.”

12. For every subcontractor who will perform work on the project, Consultant shall be responsible for such subcontractor’s compliance with Chapter 1 and Labor Code Sections 1860 and 3700, and Consultant shall include in the written contract between it and each subcontractor a copy of those statutory provisions and a requirement that each subcontractor shall comply with those statutory provisions. Consultant shall be required to take all actions necessary to enforce such contractual provisions and ensure subcontractor’s compliance, including without limitation, conducting a periodic review of the certified payroll records of the subcontractor and upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages.

Consultant shall diligently take corrective action to halt or rectify any failure.

13. To the maximum extent permitted by law, Consultant shall indemnify, hold harmless and defend (at Consultant’s expense with counsel reasonably acceptable to City) City, its officials, officers, employees, agents and independent contractors serving in the role of City officials, and volunteers from and against any demand or claim for damages, compensation, fines, penalties or other amounts arising out of or incidental to any acts or omissions listed above by any person or entity (including Consultant, its subcontractors, and each of their officials, officers, employees and agents) in connection with any work undertaken or in connection with the Agreement, including without limitation the payment of all consequential damages, attorneys’ fees, and other related costs and expenses. All duties of Consultant under this Section shall survive the termination of the Agreement.

Agenda Item G

AGENDA STAFF REPORT
DATE: June 13, 2022
TO: Honorable Mayor and Members of the City Council
THRU: Jill R. Ingram, City Manager
FROM: Alexa Smittle, Community Development Director
SUBJECT: Amendment to the Lease Agreement Between the City of Seal Beach and the California State Lands Commission
Related to the Beach House Restaurant
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt Resolution 7296:

1. Approving the amendment of Lease No. PRC 3792.1 between the City of Seal Beach and the California State Lands Commission; and,

2. Authorizing the City Manager to execute the amendment.

BACKGROUND AND ANALYSIS:

On June 5, 1967, the City Council approved Resolution 1556 approving a 49-year General Lease for Public Agency Use between the California State Lands Commission and the City of Seal Beach (“City") for an existing pier, parking lots, and other related facilities on the tidelands areas of California's sovereign land located in the City. The lease expired on June 21, 2016, and the City applied for a new lease. The previous lease remained in effect on a month-to-month basis while the terms of the new lease underwent negotiations.

On February 26, 2018, the City Council adopted Resolution 6797 authorizing the City Manager to execute on behalf of the City a new 30-year Lease Agreement No.

PRC 3792.1, retroactive to June 22, 2016, with the California State Lands Commission, involving an application for a General Lease – Public Agency Use, for use and maintenance of various improvements including but not limited to the pier, parking lots and the restaurant located at 15 First Street, known as The Beach House. The current lease agreement, with an annual rent of $125, was executed by the City and the State of California State Lands Commission on June 22, 2018.

On August 3, 2020, the Planning Commission adopted Resolution No. 20-8, approving Conditional Use Permit 20-2, submitted by The Beach House, LLC to permit a 600 square foot expansion of an outdoor dining deck area of an existing restaurant at 15 First Street. On February 10, 2022, the California Coastal Commission approved the deck extension project with conditions including a condition requiring approval by the California State Lands Commission. On February 25, 2022, the California State Lands Commission considered an amendment and revision of existing rent of Lease Number PRC 3792.1 and approved the deck extension and amended Lease PRC 3792.1, which requires signature and approval on behalf of the City.

The Amendment of Lease No. PRC 3792.1 will:
 Amend Section 1, Authorized Improvements and Land Use or Purpose to include the construction, use and maintenance of a 600-square -foot patio (deck) extension at the subject restaurant.
 Authorize, by endorsement, a sublease with a 20-year term, beginning February 12, 2018, of a portion of Lease No. 3792.1, from the City of Seal Beach to The Beach House at the River, LLC, for use and maintenance of a restaurant and restroom.
 Revise Section 1, Consideration, form $125 per year to $140 per year, effective June 22, 2022.
 Replace Exhibit C-3, Sublease Endorsement.
 Replace Exhibit B, Site and Location Map.

Adoption of this resolution will allow the City Manager to sign the amended lease agreement on behalf of the City and provide documentation to the State Lands Commission the authority granted to the City Manager to sign said lease agreement on behalf of the City.

ENVIRONMENTAL IMPACT:

Planning Commission Resolution 20-8, in approving the 600-foot deck expansion found that the project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Class 1) for the permitting of an addition that is less than 50 percent of the floor area of the structure before the expansion or 2,500 square feet, whichever is less. Approval of Resolution XXXX authorizing the City Manager to sign a lease agreement on behalf of the City, will not result in new impacts, therefore, the Class 1 exemption continues to be applicable to this action.

LEGAL ANALYSIS:

The City Attorney has reviewed the proposed resolution and approved as to form.

FINANCIAL IMPACT:

The lease includes a rental rate increase of $15 per year for a new total of $140.

This amount can be covered from the existing Tidelands Fund.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

MEASURE BB:

This item is not applicable to Measure BB, the Seal Beach Neighborhood and Essential Services Protection Measure.

RECOMMENDATION:

That the City Council adopt Resolution 7296:

1. Approving the amendment of Lease No. PRC 3792.1 between the City of Seal Beach and the California State Lands Commission; and,

2. Authorizing the City Manager to execute the amendment.

SUBMITTED BY: NOTED AND APPROVED:

Alexa Smittle Jill R. Ingram
Alexa Smittle, Community Development
Director
Jill R. Ingram, City Manager
Prepared by: Art Bashmakian, AICP, Interim Senior Planner ATTACHMENTS:

A. Resolution 7296
B. Amendment of Lease No. PRC 3792.1
C. First Amendment to Lease between the City and Beach House D. Lease No. PRC 3792.1
RESOLUTION 7296

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL

BEACH AUTHORIZING THE CITY MANAGER TO EXECUTE ON

BEHALF OF THE CITY OF SEAL BEACH AN AMENDMENT TO
LEASE AGREEMENT PRC 3792.1 BETWEEN THE CITY OF SEAL

BEACH AND THE CALIFORNIA STATE LANDS COMMISSION

RELATED TO THE IMPROVMENTS, CONSTRUCTION, USE AND
MAINTENANCE OF A 600 SQUARE FOOT DECK EXTENSION AT
THE BEACH HOUSE RESTAURANT AT 15 1ST STREET.

THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE:

Section 1. The City Council hereby approves the California State Lands Commission Amendment of Lease Agreement No. PRC 3792.1, in the form attached hereto as Exhibit A, and authorizes the City Manager to execute on behalf of the City.

Section 2. The City Council hereby authorizes the recording of the Amendment of Lease Agreement, or a Memorandum of Lease approved by the City Attorney upon approval of the Amendment of Lease Agreement No. PRC 3792.1 by the State Lands Commission.

PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 13th day of June, 2022 by the following vote:

AYES: Council Members:

NOES: Council Members:

ABSENT: Council Members:

ABSTAIN: Council Members:

Joe Kalmick, Mayor
ATTEST:
________
Dana Engstrom, Acting City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Dana Engstrom, Acting City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7296 on file in the office of the City Clerk, passed, approved, and adopted by the Seal Beach City Council at a regular meeting held on the 13th day of June, 2022. ______
Dana Engstrom, Acting City Clerk

RECORDED AT THE REQUEST OF
AND WHEN RECORDED MAIL TO:

STATE OF CALIFORNIA
State Lands Commission
Attn: Title Unit
100 Howe Avenue, Suite 100-South
Sacramento, CA 95825-8202

STATE OF CALIFORNIA

OFFICIAL BUSINESS
Document entitled to free
Recordation pursuant to
Government Code Section 27383

SPACE ABOVE THIS LINE FOR RECORDER'S USE
County: Orange

STATE OF CALIFORNIA

STATE LANDS COMMISSION
AMENDMENT OF LEASE NO. PRC 3792.1
WHEREAS, the State of California, acting through the State Lands Commission, hereinafter called Lessor, and, the City of Seal Beach, hereinafter called the Lessee, have heretofore entered into an agreement designated as Lease No. PRC 3792.1 (Lease), authorized by the State Lands Commission on February 27, 2018 and executed by the State Lands Commission on June 22, 2018, whereby Lessor granted to Lessee a General Lease – Public Agency Use covering certain State lands situated in Orange County; and WHEREAS, Section 3, Paragraph 16(e) provides that the Lease may be terminated and its terms, covenants and conditions amended, revised or supplemented only by mutual written agreement of the Lessor and the Lessee (hereinafter referred to as the Parties); and
WHEREAS, by reason of the foregoing, it is now the desire of the Parties to amend the Lease.

NOW THEREFORE, the Parties hereto agree as follows:
• Amend Section 1, Authorized Improvements and Land Use or Purpose to include the construction, use, and maintenance of a 600-square-foot patio extension at the River’s End Café.
• Authorize, by endorsement, a sublease with a 20-year term, beginning February 12, 2018, of a portion of Lease No. 3792.1, from the City of Seal Beach to The Beach House at the River, LLC, for use and maintenance of a restaurant and restroom.
• Revise Section 1, Consideration, from $125 per year to $140 per year, effective June 22, 2022.
• Replace Exhibit C-3, Sublease Endorsement
• Replace Exhibit B, Site and Location Map
The effective date of this Amendment to the Lease shall be February 25, 2022.

This Amendment is a portion of Lease No. PRC 3792.1, with a beginning date of June 22, 2016, consisting of four (3) sections with a total of thirty-six (36) pages, exclusive of this amendment.

All other terms and conditions of the Lease shall remain in full force and effect.

This Amendment will become binding on the Lessor only when duly executed on behalf of the State Lands Commission of the State of California.

IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the dates hereafter affixed.

LESSEE: CITY OF SEAL BEACH STATE OF CALIFORNIA

STATE LANDS COMMISSION
By: __________________________ By: ____________________________ Brian Robert Bugsch
Title: _________________________ Title: ___________________________ Chief, Land Management Division
Date: __________________________ Date: ___________________________ ACKNOWLEDGMENT Execution of this document was authorized by the California State Lands Commission on
____________________________________
(Month Day Year)

PIER SEASONAL FLOOD CONTROL BERM
LEASE
AREA
APPROX. SHORELINE

CONCRETE

SHEET PILE
GROIN
OHWM PER BLA 90 (CB320)
P.A. "A"=

PROPOSED

PATIO AREA
=±500 SQ. FT.

P.A. "B"=

PROPOSED

PATIO AREA
=±100 SQ. FT.
1ST ST.

PARKING
LOT

MAINTENANCE
& STORAGE
YARD
PICNIC
AREA

RESTAURANT
& RESTROOM
P.A.
"A"
P.A.
"B"
OHWM PER BLA 90 (CB 320)
8TH ST. PARKING LOT (PORTION ON STATE LANDS) "TOT LOT"
10TH ST. PARKING LOT (PORTION ON STATE LANDS)
LEASE 3792

CITY OF SEAL BEACH

GENERAL LEASE -

PUBLIC AGENCY USE

ORANGE COUNTY
MAP SOURCE: USGS QUAD

SEAL BEACH
This Exhibit is solely for purposes of generally defining the lease premises, is based on unverified information provided by the Lessee or other parties and is not intended to be, nor shall it be construed as, a waiver or limitation of any State interest in the subject or any other property.

MJF 12/27/2021
NO SCALE Exhibit B

NO SCALE SITE

LOCATION

SEAL BEACH
SEE DETAIL 1
DETAIL 1
SEE DETAIL 2
DETAIL 2

SAN PEDRO
BAY
SITE
SITE
Lease # PRC 3792

SUBLEASE ENDORSEMENT
State of California
State Lands Commission
Pursuant to Commission Minute Item No. dated February 25, 2022, the herein sublease between, City of Seal Beach and Beach House at the River, LLC, under a portion of State Lease #3792, is hereby approved.

By:______________________________________
Robert Brian Bugsch, Chief
Land Management Division

RECORDED AT THE REQUEST OF
AND WHEN RECORDED MAIL TO:

STATE OF CALIFORNIA
California State Lands Commission
Attn: Title Unit
100 Howe Avenue, Suite 100 -South
Sacramento; CA 95825 - 8202

STATE OF, CALIFORNIA

OFFICIAL BUSINESS
Document entitled to free recordation
pursuant to Government Code Section 27383
A.P.N. Various
County: Orange
Recorded in Official Records, Orange County
Hugh Nguyen, Clerk- Recorder
Il11111111111111111111 ll111 1111111illlllllllllllilllll1161111111111111 NO FEE R D 0 1 0 2 0 0 5 2 5$+
201800024630212: 05 pm 07/05118
217 411 L02 38

0. 00 0. 00 0.00 0. 00 111. 00 0. 00 0.000. 000.00 0.00 LEASE NO. PRC 3792. 1

SPACE ABOVE TH /S LINE FOR RECORDRR' S USE
This Lease consists of this summary and the following attached and incorporated parts:

Section I Basic Provisions
Section 2 Special Provisions Amending or Supplementing Section 1 or 3 Section 3 General Provisions
Exhibit A Land Description
Exhibit B Site and Location Map
Exhibit C - 1, 2, 3, and 4 Sublease Endorsements
Exhibit D Reimbursement Agreement
SECTION 1

BASIC PROVISIONS
THE STATE OF CALIFORNIA, hereinafter referred to as Lessor acting by and through the CALIFORNIA STATE LANDS COMIVHSSION ( 100 Howe Avenue, Suite 100 - South, Sacramento, California 95825- 8202), pursuant to Division 6 of the Public Resources Code and Title 2, Division 3 of the California Code of Regulations, and for consideration specified in this Lease, does hereby lease, demise, and let to the CITY OF SEAL BEACH, hereinafter referred to as Lessee, those certain lands described in Exhibit A hereinafter referred to as Lease Premises, subject to the reservations, terms, covenants, and conditions of this Lease.

to
li
N
MAILING ADDRESS: 211 8th Street
Seal Beach, CA 90740
LEASE TYPE: General Lease — Public Agency Use
LAND TYPE: Sovereign
LOCATION: Pacific Ocean in the City of Seal Beach, Orange County, as described in Exhibit A attached and by this reference made a part hereof.

LAND USE OR PURPOSE: Use and maintenance of an existing pier with a life guard tower, 750 - foot long concrete sheet pile groin, a maintenance building, a storage building, restaurant, public restroom, picnic area, raised planter areas with retaining walls, three parking lots, a tot lot with a perimeter wall, the construction, use, and maintenance of a seasonal flood control berm to prevent beach run -up during winter months, beach nourishment, and the seasonal placement, use, and maintenance oftemporary lifeguard stations.

TERM: 30 years; beginning June 22, 2016; ending June 21, 2046, unless sooner terminated as provided under this Lease.

CONSIDERATION: $ 125 per annum, subject to modification by Lessor as specified in Paragraph I of Section 2 — Special Provisions, and Paragraph 3( c) of Section 3 - General Provisions.

AUTHORIZED IMPROVEMENTS:

X EXISTING:

An existing pier with a life guard tower, 750 -foot long concrete sheet pile groin, a maintenance and a storage
building, restaurant, public restroom, picnic area, raised planter areas with retaining walls, three parking lots, a tot lot with a perimeter wall, a seasonal flood control berm tc prevent beach run -up during winter months, beach
nourishment, and the seasonal placement of temporary
lifeguard stations.'
N/A TO BE CONSTRUCTED; CONSTRUCTION MUST BEGIN BY:

AND BE COMPLETED BY:

LIABILITY INSURANCE: In an amount no less than $ 5, 000,000 per occurrence.

SURETY BOND OR OTHER SECURITY: N/ A

SECTION 2

SPECIAL PROVISIONS

BEFORE THE EXECUTION OF THIS LEASE, ITS PROVISIONS ARE AMENDED, REVISED, OR SUPPLEMENTED AS FOLLOWS:

1. Paragraph 3 ( c) of Section 3, General Provisions, is amended to replace the word " fifth" with the words " 10th and 20th ". Lessor reserves the right to revise the rent upon any extension or amendment of an existing sublease, or upon execution of a new sublease.

2. All future structural modifications or material changes to any of the Authorized Improvements other than routine repairs and maintenance will require Commission staff' s review and approval prior to commencement of construction. In the event of an urgent repair requiring immediate action, notification shall be made through Lessor' s 24 -hour emergency response number at ( 562) 590 -5201.

3. Special provisions relating to berm construction and beach nourishment. a. Any equipment to be used on the Lease Premises is limited to that which is directly required to perform the authorized use and shall not include any equipment that may cause damage to the Lease Premises or on other lands subject to Lessor' s jurisdiction. b. No refueling, repairs, or maintenance of vehicles or equipment will take place on the Lease Premises or on lands subject to Lessor' s jurisdiction. c. Each year prior to berm construction, Lessee shall send a copy of the berm coastal engineering plan to Lessor, and notify Lessor of the approximate dimensions of the berm, the approximate volume of sand material for construction, and the location ofthe sourced sand material
d. Within 15 days after construction of the berm, Lessee shall provide to Lessor specifics related to the berm dimensions and volume of sand material used in the construction of the berm.
e. Lessee shall notify Lessor within 5 business days of any repairs or additional nourishments needed to maintain the berm following the initial construction and prior to its final deconstruction.
f. Lessee shall limit the time, equipment, and personnel active on the Lease Premises to the minimum amount necessary during berm construction and deconstruction. g. Berm construction and beach nourishment activities that necessitate sand material sourced from locations other than West Beach will require written authorization from the Lessor.

4. Lessee shall conduct an above water visual inspection by a qualified California Registered civil engineer annually. The inspection reports shall be duly stamped and signed by the engineer. The above water inspection report shall include all accessible components both above and below the deck including splash zone. This annual above water inspection report shall include but not limited to evaluation of existing structural conditions, structural condition assessment and its ratings with proposed remedial action, if any. This above water inspection shall include but not be limited to the following structural elements as applicable:
a. Piles and pile caps
b. Beams

c. Deck soffit
d. Bracing
e. Connections
f. Retaining walls and bulkheads
g. Seawalls
h. Slope protection
i. Deck topsides and curbing
j. Expansionjoints
k. Fender system components

1. Mooring points and hardware
m. Navigation aids
n. Ramps, platforms, landing, ladders, stairs, handrails, and gangways o. Backfill
p. Electrical and mechanical components
This inspection report shall be submitted for review by Lessor' s engineering staff annually upon each anniversary date. The above water inspection may follow the then - current guidelines of Waterfront Facilities Inspection and Assessment" Manual of Practice 130 by the American Society of Civil Engineers.

5. Every five years Lessee shall conduct a structural and utility safety assessment inspection report fort the Seal Beach Municipal Pier in compliance with the American Society of Civil Engineers ASCE), Manuals of Practice 130 — Waterfront Facilities Inspection and Assessment and the ASCE Standard Practice Manual. The structural assessment must be by a California registered civil /structural engineer. The structural assessment should include global seismic structural analysis with a vehicle parked on the structure, impact analysis for berthing, and other related assessments. Lessee shall provide a copy of the inspection report, to include any necessary remedial action plan, to Lessor for review. The inspection report shall be submitted on or before June 22, 2021.

6. Lessee shall execute a Reimbursement Agreement substantially in the form as shown in Exhibit D attached and by this reference made a part hereof) with Lessor to pay for any and all reasonable costs and expenditures paid or incurred by the Commission, its staff or both for review and approval of any plan or related materials required herein, including but not limited to any review or preparation of reports, documents or other actions as required pursuant to the California Environmental Quality Act ( CEQA), plan reviews, and /or amendments.

Lessee acknowledges:
a. The site may be subject to hazards from natural geophysical phenomena including, but not limited to, waves, storm waves, tsunamis, earthquakes, erosion, flooding, and sea -level rise climate change effects "). The risks posed to the site from these discrete processes, and the combined, additive impacts of multiple processes are anticipated to increase in severity over the term ofthe lease due to the localized effects of climate change. Specifically, climate change effects could expose the public restrooms, public beach, constructed berm, and pier infrastructure, including utility and sewer lines, to stronger and prolonged flooding events, requiring maintenance and repair beyond what is regularly needed.

Adverse impacts from climate change effects on facilities within the lease area, particularly

the public restrooms and sewer lines, could result in degradation ofPublic Trust resources and values, including water quality, recreation, and public safety. Future conditions may necessitate additional adaptation measures to increase the resiliency ofthe lease area to the impacts of sea - level rise and coastal climate change processes, as well as continuing to evaluate the effectiveness of the berm in protecting against these impacts. b. Lessee assumes the risks to the Lessee and to the property that is the subject of any Coastal Development Permit that is issued to Lessee for development on the Lease Premises, of injury and damage from such hazards in connection with the permitted development and use.
c. Consistent with Section 3, Paragraph 8, the Lessee assumes the risks associated with such potential hazards and agrees to be solely responsible for all damages, costs, and liabilities arising as a result of the impacts of such hazards on the improvements within the Lease Premises. Any additional maintenance or protection strategies necessitated by such hazards may require additional approval by Lessor pursuant to Section 3, Paragraph 5( a) and be subject to environmental review.

8. Lessee acknowledges that the Lease Premises are subject to the Public Trust and are presently available to members ofthe public for recreation, waterborne commerce, navigation, fisheries, open space, and any other recognized Public Trust uses. Lessee also agrees that any proposed construction activities and subsequent use of the Lease Premises shall not unreasonably interfere with or limit Public Trust rights, and shall do so only to the extent necessary to protect public health and safety during construction activities authorized by Lessor, or when imminent threats to public health and safety are present.

9. Lessee shall provide Lessor with an annual summary, to include information identified below, by the anniversary date of each year, beginning March 1, 2019 or a date to be mutually agreed to by Lessee and Lessor' s staff. The summary shall include the information requested in Section 2, Paragraph 3 ( c) above, along with copies of any local monitoring information required by Lessee or other agencies or entities which relates to sea -level rise vulnerability, structural integrity, and adaptation capacity of the Lease Premises and the facilities therein. Information shall include, but is not limited to:

Sea -level rise and flooding vulnerability and risk assessments, Updates or amendments to the Local Coastal Program,
Annual flooding frequency and extent,
Annual site photographs,
Schedule and nature of repair and maintenance operations, and Coastal hazard remediation and removal.

Pertinent information may be sourced from the Lessee itself or any other research conducted within the Lease Premises or adjacent land.

10. Five years prior to the expiration ofthis Lease, Lessee shall submit to Lessor a summary report that details resiliency planning efforts and adaptation strategies related to sea -level rise impacts within the Lease Premises. The report will include a record of flood frequency and extent, and protective measures taken to reduce flood risk to public and visitor serving facilities within the Lease Premises and upland property. It will also include annual records of the constructed berm' s height, width, and volume, as well as the berm material' s source location. Findings from the utility

safety assessment inspection report for the Seal Beach Municipal Pier will also be summarized in the report as well as any emergency repairs made to other structures located in the Lease Premises.

The contents of this report will enable Lessor and Lessee to assess the effectiveness of these planning efforts in maintaining and enhancing the resiliency of public trust resources and values within the Lease Premises subject to the risks associated with sea - level rise and climate change.

11. Lessee will require Commercial General Liability insurance of each sublessee in an amount of no less than $ 5, 000,000 for all sub - leases or agreements for any activity occurring within the Lease Premises.

12. Pursuant to Section 3, Paragraph 11, Lessor consents to Lessee' s sublease agreements through the Sublease Endorsements attached as Exhibits C -1, 2, 3, and 4, provided that:
a. Lessor' s endorsement of a sublease does not bind the Lessor to the terms and conditions of such sublease in any way.
b. In no event shall any sublease agreement relieve Lessee from any liability or release Lessee from any obligation under this Lease.
c. Any sublessee' s breach of the terms and conditions of this Lease shall be deemed a breach ofthis Lease by Lessee.
d. If Lessee desires to sublet all or any portion of the Lease Premises, Lessee shall not be required to provide audited financial statements described in Section 3, Paragraph 11, subsection ( d)( 4), unless Lessor' s staff determines that such statements are reasonably necessary to evaluate a proposed sublessee' s ability to meet its obligations under this Lease or the proposed sublease.
e. All other provisions of Section 3, Paragraph 1 1 remain unchanged.

Remainder ofPage Intentionally Leff Blank]

SECTION. 3

GENERAL PROVISIONS

GENERAL
In the case of any conflict between these General Provisions and Special Provisions found in Section 2, the Special Provisions control.

2. DEFINITIONS
For the purposes of this Lease, the following terms shall be defined as stated below:

Additions" shall be defined as any use or Improvements other than those expressly authorized in this Lease.

Alterations" shall be defined as any material change in the size, scope, density, type, nature, or intensity of Improvements on the Lease Premises from what is authorized in this Lease. Alterations shall also include any modifications, alterations, or renovations of the land or waterways on the Lease Premises other than those authorized by this Lease.

Breach" shall be defined as a party' s unjustified or unexcused nonperformance of a contractual duty the party is required to immediately perform.

Damages" shall include all liabilities, demands, claims, actions or causes of action whether regulatory, legislative or judicial in nature; all assessments, levies, losses, fines, penalties, damages, costs and expenses, including, without limitation: ( i) reasonable attorneys', accountants', investigators', and experts' fees and expenses sustained or incurred in connection with the defense or investigation of any such liability, and ( ii) costs and expenses incurred to bring the Lease Premises into compliance with Environmental Laws, a court order, or applicable provisions of a Regulatory Agency. The term " Damages" also includes, expressly, those Damages that arise as a result of strict liability, whether arising under Environmental Laws or otherwise.

Default" shall be defined as a material Breach of magnitude sufficient tojustify termination of the Lease.

Environmental Law" shall be defined as and include all federal, state, and local environmental, health, and safety laws, statutes, ordinances, regulations, rules, judgments, orders, and notice requirements, which were in effect as of the date of execution of this Lease or are subsequently enacted and lawfully applied hereto, which regulate or relate to ( a) the protection or clean -up ofthe environment; ( b) the use, treatment, storage, transportation, handling or disposal of hazardous, toxic or otherwise dangerous substances, wastes or materials; c) the quality ofthe air and the discharge of airborne wastes, gases, particles, or other emissions; ( d) the preservation or protection of waterways, groundwater, or drinking water, (e) the health and safety ofpersons or property; or (f) impose liability with respect to any of the foregoing, including without limitation, the California Environmental Quality Act ( CEQA) [ PRC §§ 21000 et seq.]; the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ( CERCLA) [ 42 USCS §§ 9601 et seq.]; the Resource Conservation and Recovery Act of 1976 ( RCRA) [ 42 USCS §§ 6901 et seq.]; the Clean Water Act, also known as the Federal Water Pollution Control Act ( FWPCA) [ 33 USCS §§ 1251 et seq.]; the Toxic Substances Control Act ( TSCA) [ 15 USCS §§ 2601 et seq.]; the Hazardous Materials Transportation Act (HMTA) [ 49 USCS §§ 1801 et seq.]; the Insecticide, Fungicide, Rodenticide Act [ 7 USCS §§ 136 et seq.]; the Superfund Amendments and Reauthorization Act [ 42 USCS §§ 6901 et seq.]; the Clean Air Act [ 42 USCS §§ 7401 et seq.]; the Safe Drinking Water Act [ 42 USCS §§ 300f et seq.]; the Solid Waste Disposal Act [ 42 USCS §§ 6901 et seq.]; the Surface Mining Control and Reclamation Act [ 30 USCS §§ 1201 et seq.]; the Emergency Planning and Community Right to Know Act [ 42 USCS 11001 et seq.]; the Occupational Safety and Health Act [ 29 USCS §§ 655 and 657]: the California Underground Storage of Hazardous Substances Act [ H & S C §§ 25280 et seq.]; the California Hazardous Substances Account Act [ H & S C §§ 25300 et seq.]; the California Hazardous Waste Control Act [ H & S C §§ 25100 et seq.]; the California Safe Drinking Water and Toxic Enforcement Act [ H & S C §§ 24249. 5 et seq.]; the Porter - Cologne Water Quality Act [ Water C §§ 13000 et seq.] together with any amendments of or regulations promulgated under the statutes cited above.

Hazardous Material" shall be defined as and include any substance which falls within the definition of hazardous substance, hazardous waste, hazardous material, toxic substance, solid waste, pollutant, or contaminant, under any Environmental Law.

Improvements" shall be defined as any modification, alteration, addition, or removal of any material, and any other action which serves to change the condition of the Lease Premises from the natural state whether situated above, on, or under the Lease Premises.

Improvements include, but are not limited to buildings, structures, facilities, decks, docks, wharves, piers, walks, curbs, bridges, buoys, landscaping, roadways, shoreline protective structures of all types, foundations, pilings or similar support structures whether above or below the water line, fences, utilities, pipelines, and any other construction of any type situated on the Lease Premises.

Lease" shall be defined as this lease contract together with all amendments and exhibits.

Lease Premises" shall be defined as the area of land, together with any improvements located thereon, the use and occupancy of which Form51. 16 ( Rev. 10/ 14)

is authorized by this Lease.

Lessor" shall be defined as the state of California, acting by and through the California State Lands Commission, including the Commissioners, their alternates and designates, the Executive Officer, and the staff of the California State Lands Commission.

Regulatory Agency" shall include any Federal, State, County, Municipal, or Local agency having jurisdiction over the Lease Premises.

Repairs" shall be defined as all work of any kind made to maintain, change, restore, strengthen, replace, alter, or otherwise affect any Improvement on the Lease Premises.

Residence" shall be defined as any Improvement, whether permanent, movable, or temporary, or a portion thereof, which is for the time being a home or place of lodging. A Residence includes any Improvement affixed to the land such as trailers or cabins, built on a raised foundation such as stilts or pilings, and floating residences such as boats, barges, arks, and houseboats, and any combination of such Improvements which provide residential accommodations to the Lessee or others.- " Residence" shall not include transitory, intermittent, recreational use of facilities such as campgrounds.

Residential Use" shall be defined as Improvements such as, but not limited to, sundecks, and sunrooms which are extensions of or additions to, the upland property and are not water- dependent uses. Although the various uses or Improvements which may fall under this definition may vary by geographic area, lease type, or other factors, it is the intention of the parties to include in this definition all uses and Improvements which are not water - dependent but residential in nature, or those uses and Improvements which are not consistent with common law public trust principles and values.

3. CONSIDERATION
a). Absolute Triple Net Lease
This Lease is an absolute triple net lease, pursuant to which Lessor has no obligation with respect to the payment of taxes, insurance, the cost of maintenance, utilities and repairs or other costs or obligations associated with the Leased Premises, except as expressly stated herein.
b) Rent
Lessee agrees to pay Lessor rent as stated in this Lease, in annual installments, for the use and occupancy of the Lease Premises.

The first installment shall be due on or before the beginning date of this Lease and all subsequent installments shall be due on or before each anniversary of its beginning date during each year ofthe Lease term, or as otherwise provided in this Lease. Said sums shall be paid in lawful money of the United States of America. Lessee shall send said rent to the mailing address of Lessor.

Timeliness of receipt of remittances sent by mail shall be governed by the postmark date as stated in Government Code Section 11002. Invoices for rent due may be provided by Lessor as a courtesy. Lessor' s failure to, or delinquency in, providing invoices shall neither excuse Lessee from paying rent, nor extend the time for paying rent. c) Modification
Lessor may modify the method, amount, or rate of consideration effective on each fifth anniversary of the beginning date of this Lease. Should Lessor fail to exercise such right effective on any fifth anniversary it may do so effective on any one ( 1) of the next four 4) anniversaries following such fifth anniversary, without prejudice to its right to effect such modification on the next or any succeeding fifth anniversary of the beginning date. No such modification shall become effective unless Lessee is given at least thirty 30) days' notice prior to the date of the Commission meeting wherein the rent modification is considered, or thirty ( 30) days' notice prior to the effective date of the increase, whichever provides a greater notice period.

If the consideration for this Lease is based on a percentage of income, royalties, profits, or any similar business performance indicators, Lessee shall provide Lessor with financial statements and all other documents necessary to determine the relevant basis for income.
d) Penalty and Interest
Any installments of rent accming under this Lease not paid when due shall be subject to a delinquency charge equal to five percent ( 5 %) ofthe principal sum due. Annual payments shall bear interest as specified in Public Resources Code Section 6224 and the Lessor's then existing administrative regulations governing penalty and interest. e) Non - Monetary Consideration
Ifthe consideration to Lessor for this Lease is the public use, benefit, health, or safety, Lessor shall have the right to review such consideration at any time and set a monetary rental if the Lessor, at its sole discretion, determines that such action is in the best interest of the State. Lessee' s assignment or transfer of this Lease pursuant to Section 3 Paragraph I I below to any third party which Form51. 16 ( Rev. 10/ 14)

results in royalties, profits, or any form of compensation, whether monetary or otherwise, shall give Lessor the right to reevaluate the requirements of this Lease as stated in Section 3 Paragraph 11. Lessee shall be given at least thirty ( 30) days' notice prior to the date of the Commission meeting wherein the rent modification is considered, or thirty ( 30) days' notice prior to the effective date that this Lease is converted to a monetary rental, whichever provides more notice. f) Place for Payment of Rent
All rent that becomes due and payable under this Lease shall be paid to Lessor in person or by United States mail at the Sacramento Offices ofthe California State Lands Commission, currently at 100 Howe Avenue, Suite 100 - South, Sacramento, CA 95825 -8202, or at any other place or places that Lessor may designate by written notice to Lessee. Alternately, Lessee may contact Lessor' s accounting department for Lessor' s current practices for payment by credit card or electronic fund transfer.

4. BOUNDARIES
This Lease is not intended to establish the State' s boundaries and is made without prejudice to either party regarding any boundary or title claims which may be asserted presently or in the future.

5. LAND USE
a) General
1) Lessee shall use the Lease Premises only for the purpose or purposes stated in this Lease and only for the operation and maintenance of the improvements expressly authorized in this Lease. Lessee shall commence use of the Lease Premises within ninety ( 90) days ofthe beginning date of this Lease or within ninety ( 90) days ofthe date set for construction to commence as set forth in this Lease, whichever is later.
2) All demolition, construction, remodeling, reconstruction, maintenance, repairs, removal, or remediation performed on the Lease Premises at any time by Lessee shall first be authorized by all appropriate Regulatory Agencies. Lessee is solely responsible for determining what approvals, authorizations, or certifications are required, and shall be solely responsible for all costs incurred thereby. In addition, Lessee shall obtain and comply with preventative or remedial measures required by any environmental reports, assessments, or inspections, including, but not limited to those required by the California Environmental Quality Act and /or the National Environmental Policy Act, or as otherwise required by law or reasonably requested by Lessor.

Nothing in this Lease shall be interpreted as a pre - approval of any permit, certification, or any other precondition required for the use of the Lease Premises.
b) Continuous Use
Lessee' s use of the Lease Premises shall be continuous from commencement of the Lease until its expiration. Lessee' s discontinuance of such use for a period of ninety ( 90) days shall be presumed to be an abandonment unless Lessee demonstrates to Lessor' s satisfaction that Lessee' s use of the Lease Premises is consistent with similarly situated properties. In the event of an abandonment, Lessor may elect to terminate the Lease as provided in Paragraph 12( a)( 3). Abandonment of the Lease Premises shall not relieve Lessee of any obligations under this Lease. c) Repairs and Maintenance
1) Lessor shall not be required to make any Repairs in, on, or about all or part of the Lease Premises. Lessee shall, at all times during the term of this Lease and without any cost or expense to Lessor, keep and maintain the Lease Premises, including all Improvements, in good order and repair and in a clean, safe, sanitary, and orderly condition. 2) Lessee shall make, or cause to be made, any Repairs which may be required by any Regulatory Agency. Lessee shall observe and comply with, any law, statute, ordinance, plan, regulation, resolution, or policy applicable to the Lease Premises in making such Repairs. All work shall be performed with reasonable diligence, completed within a reasonable time, and performed at the sole cost and expense of Lessee.
3) Lessee expressly accepts the Lease Premises " as is" and expressly acknowledges that:
i) Lessor has made no representations or warranties as to the suitability of the Lease Premises for any Improvements.

Lessee shall conduct all tests necessary to determine the suitability of the Lease Premises for any proposed use or Improvements authorized: and
ii) Lessor has made no representations or warranties as to the quality or value of any Improvements found on the Lease Premises, or oftheir conformity to any applicable building codes, zoning ordinances, or other regulations. Lessee agrees to inspect any preexisting Improvements at its own cost to determine whether such Improvements are safe and suitable for the Form51. 16 ( Rev. 10/ 14)

Lessee' s intended use; and
iii) Lessee shall neither be entitled to any reduction in rent, nor any extension of the terms of this Lease because of damage to or destruction of any Improvements on the Lease Premises. iv) Lessee and Lessor agree that any Improvements on the Lease Premises constitute the personal property of Lessee and that fixture law does not apply.
4) In the event that the Lease Premises is partly, or in whole, comprised oftidal, submerged, or waterfront property, Lessee expressly accepts the hazards involved in using or improving such lands. Lessor is not responsible for, and Lessee shall not be reimbursed for nor receive any offset of rent for, any damages or reduced use of the Lease Premises caused by: local or invasive flora or fauna, flooding, erosion, sea level rise, storms, freezing, inclement weather of any kind, acts of god, maintenance or failure of protective structures, and any other such hazards. d) Additions, Alterations, and Removal
No Improvements other than those expressly authorized in this Lease shall be constructed by the Lessee on the Lease Premises without the prior written consent of Lessor. Any Additions or Alterations are expressly prohibited. Lessee is also prohibited from any Additions or Alterations which cause a material change to the environmental impact on or around the Lease Premises. e) Enjoyment
This Lease is non - exclusive, and is subject to the provisions of Section 3, Paragraph 6 below. Lessee shall have the right to exclude persons from the Lease Premises only when their presence or activity constitutes a material interference with Lessee' s use and enjoyment of the Lease Premises.
f) Discrimination
Lessee, in its use ofthe Lease Premises, shall not discriminate against any person or class of persons on any basis protected by federal, state, or local law, including: race, color, creed, religion, national origin, sex, sexual orientation, gender identity, age, marital /parental status, veteran status, or disability. - g) Residential Use
Unless otherwise provided for in this Lease, no portion of the Lease Premises shall be used as a location for a Residence, for the purpose of mooring or maintaining a structure which is used as a Residence, or for Residential Uses. h) Commercial Use
Unless otherwise provided for in this Lease, the Lease Premises is to be used by Lessee and Lessee' s invitees or guests only.

Use of the Lease Premises for commercial purposes; conducting a business, whether for profit or otherwise; and any subleasing, rental, or' any transaction whereby Lessee directly or indirectly receives compensation from a third party in exchange for use of the Lease Premises shall constitute an immediate Default of this lease with no cure period.

6. RESERVATIONS, ENCUMBRANCES, AND RIGHTS -OF -WAY
a) Reservations
1) Lessor expressly reserves all natural resources in or on the Lease Premises, including but not limited to timber, minerals, and geothermal resources as defined under Public Resources Code sections 6401, 6407, and 6903, respectively; the right to grant and transfer the same; as well as the right to grant leases in and over the Lease Premises which may be necessary or convenient for the extraction of such natural resources. Such leasing shall be neither inconsistent nor incompatible with the rights or privileges of Lessee under this Lease.
2) Lessor expressly reserves a right to go on the Lease Premises and all Improvements for any purposes associated with this Lease or for carrying out any function required by law, or the rules, regulations, or management policies of the State Lands Commission. Lessor shall have a right of reasonable access to the Lease Premises across Lessee owned or occupied lands adjacent to the Lease Premises for any purpose associated with this Lease. 3) Lessor expressly reserves to the public an easement for convenient access across the Lease Premises to other State -owned lands located near or adjacent to the Lease Premises and a right of reasonable passage across and along any right -of -way granted by this Lease; however, such easement or right- of- way shall be neither inconsistent nor incompatible with the rights or privileges of Lessee under this Lease.

Form51. 16 ( Rev. 10/ 14)