Seal Beach City Council
December 9, 2024

Rescue Boat Operator or Deck Hand, a CPR instructor through the American Heart Association or the American Red Cross and hold a valid Boater Safety card.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS
The City Attorney has reviewed and approved as to form.

FINANCIAL IMPACT:

There is no financial impact for this item.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

RECOMMENDATION:

That the City Council adopt Resolution 7588 approving the changes and updates to the to the City of Seal Beach Marine Safety part-time job classifications.

SUBMITTED BY: NOTED AND APPROVED:

Joe Bailey Patrick Gallegos
Joe Bailey, Marine Safety/Lifeguard Chief Patrick Gallegos, Interim City Manager ATTACHMENTS:

A. Resolution 7588
B. City Part-time Job Classification List
C. Lifeguard I Job Description
D. Lifeguard II Job Description
E. Ocean Lifeguard Specialist Job Description

DECEMBER 2024
FLSA: NON-EXEMPT

LIFEGUARD I

DEFINITION
Under general supervision, performs a variety of duties related to ensuring the safety and enjoyment of the public beach and ocean front; lifeguards the beach and ocean area from an assigned tower or in an emergency rescue vehicle in the first-line protection of lives and property of beach patrons; continually monitors water conditions and beach activities; advises patrons of the City’s safety policies and enforces them when necessary; performs ocean rescues and first aid procedures as required; and performs related work as required.

SUPERVISION RECEIVED AND EXERCISED
Receives general supervision from the Area Supervisor. Exercises no supervision over staff.

CLASS CHARACTERISTICS
This is a journey-level class that performs the full range of lifeguarding duties required to ensure that the assigned City beach is maintained at the highest level of safety for public use.

EXAMPLES OF TYPICAL JOB FUNCTIONS (Illustrative Only)
Management reserves the right to add, modify, change, or rescind the work assignments of different positions and to make reasonable accommodations so that qualified employees can perform the essential functions of the job.
 Acts as lifeguard in a specific assigned beach area during public beach usage times.  Initiates water rescue procedures.
 Interacts with the public several times daily to advise, implement and enforce City policies, rules and procedures.
 Performs ocean water rescues using the appropriate methods and equipment.  Responds to first aid emergencies including basic first aid, adult and/or child cardiopulmonary resuscitation (CPR) and/or AED use as necessary.
 Observes safe work methods and makes appropriate use of related safety and medical equipment as required.
 Scans ocean water conditions and advises/warns patrons of potentially dangerous conditions.  Scans beach activities to ensure a safe and enjoyable recreation environment.  Enforces beach closures when conditions dictate.
 Maintains daily records of activities and completes reports on same.  Performs other duties as assigned.
 Operates as a Junior Lifeguard Instructor, providing daily oversight, instruction, and leadership for participants, create lessons plans, counsel, plan field trips, make presentations, ensure junior guards and instructor staff perform in s safe manner, when assigned.

QUALIFICATIONS
Knowledge of:

Lifeguard I

 Principles and methods of lifeguarding and ocean water rescue, adult and/or child cardiopulmonary resuscitation (CPR) methods, and first aid.
 Applicable Federal, State, and local laws, rules, regulations, ordinances, and organizational policies and procedures relevant to the assigned area of responsibility.  Basic mathematical principles.
 English usage, spelling, vocabulary, grammar, and punctuation.  Techniques for providing a high level of customer service by effectively dealing with the public, vendors, contractors and City staff.

Ability to:
 Provide courteous assistance to beach patrons.
 Perform physically demanding rescues, and make preventative actions under difficult, dangerous and stressful conditions, including large surf, and strong currents near rocks, jetties and piers; perform underwater rescue and recovery using mask, snorkel, & fins; making sound safety based decisions.  Handle medical emergencies and injuries in a calm and effective manner, including providing basic first aid and/or adult and child cardiopulmonary resuscitation (CPR).  Understand and follow oral and written instructions.
 Use English effectively to communicate in person, over the telephone, and in writing.  Use tact, initiative, prudence, and independent judgment within general policy, procedural, and legal guidelines.
 Establish, maintain, and foster positive and effective working relationships with those contacted in the course of work.

Education and Experience:

Any combination of training and experience that would provide the required knowledge, skills, and abilities is qualifying. A typical way to obtain the required qualifications would be:
 Equivalent to the completion of the twelfth (12th) grade.  17 years of age by April 1st of the year hired.
 Completion of the Seal Beach Basic Lifeguard training academy.

Licenses and Certifications:
 Possession of, or ability to obtain, a valid California Driver’s License by time of appointment  Must successfully complete the Seal Beach Basic Lifeguard Training Academy  American Red Cross or American Heart Association CPR/AED for the Healthcare Provider  American Red Cross Emergency Medical Responder
 Must successfully complete and pass the annual Seasonal Ocean Lifeguard recertification process

PHYSICAL DEMANDS
Must possess the ability to perform work that may involve lifting children and adults up to 150 pounds or more with assistance. Must possess the strength and mobility to run, stand, stoop, reach, bend, climb, and swim, while in swimwear. Must be in physical condition sufficient to stay in water for prolonged periods of time, work in extreme heat and/or cold, and the outdoors. Vision, and hearing, which must be in a normal range as measured by a standard audiogram, should be good enough to see and hear adults and children in life and/or health safety endangering situations. Must also possess the vision to read Lifeguard I

printed materials and a computer screen; and hearing and speech to communicate in person and over the telephone. Finger dexterity is needed to access, enter, and retrieve data using a computer keyboard or calculator and to operate standard lifeguarding equipment. Positions in this classification occasionally bend, stoop, kneel, reach, and push and pull drawers open and closed to retrieve and file information.

ENVIRONMENTAL ELEMENTS
Employees work outdoors and are exposed to variable weather conditions including strong sunlight, salt water, wind and sand. May be exposed to chlorine, acids, and other chemicals at other City aquatics facilities as well as blood and body fluids rendering first aid and cardiopulmonary resuscitation.

Employees may interact with upset staff and/or public and private representatives in interpreting and enforcing departmental policies and procedures.

DECEMBER 2024
FLSA: NON-EXEMPT

LIFEGUARD II

DEFINITION
Under general direction, performs a variety of supervisory duties in connection with ensuring the safety and enjoyment of the City’s public beach and pool areas; oversees the lifeguard activities at the beach or pool; advises patrons of the City’s safety policies and enforces them when necessary; performs rescues and first aid procedures; and performs related work as required.

SUPERVISION RECEIVED AND EXERCISED
Receives general direction from the Ocean Lifeguard Specialist. Exercises direct supervision over assigned staff in a specific area.

CLASS CHARACTERISTICS
Assigned to a specific waterfront area, this is the first supervisory-level class in the beach lifeguard series responsible for providing the highest possible level of public safety. When required, the incumbent performs the full range of lifeguarding duties, including motorized patrol, water rescues and emergency first aid, to ensure that the assigned City waterfront or pool area is maintained at the highest level of safety for public use.

EXAMPLES OF TYPICAL JOB FUNCTIONS (Illustrative Only)
Management reserves the right to add, modify, change, or rescind the work assignments of different positions and to make reasonable accommodations so that qualified employees can perform the essential functions of the job.
 Patrols assigned beach area in a motorized vehicle while observing beach activity, water and weather conditions.
 Monitors crowds for possible unsafe behavior and policy/procedure violations.  Allocates Lifeguard personnel.
 Acts as a lifeguard in a specific beach area during public beach usage times.  Initiates water rescue procedures; performs ocean water rescues using the appropriate methods and equipment.
 Supports assigned staff by interacting regularly with the public to advise, implement and enforce City policies, rules and procedures.
 Responds to first aid emergencies including basic first aid, adult and/or child cardiopulmonary resuscitation (CPR) and/or AED use as necessary.
 Observes and enforces safe work methods and makes appropriate use of related safety and medical equipment as required.
 Scans ocean water conditions and advises/warns patrons of potentially dangerous conditions.  Scans beach activities to ensure a safe and enjoyable recreation environment.  Enforces beach closures when conditions dictate.
 Supervises, teaches and mentors tower guards and pool lifeguards assigned to their area of responsibility.  Performs minor repairs and preventative maintenance to vehicles and equipment.

Lifeguard II

 As an Operations Dispatcher: Operate electronic communications, including 800mhz base station, mobile and portable radios, public address systems, computers and software, paging systems; provide documentation of emergency and routine call logs, answer emergency calls and direct emergency units, collect and report weather and environmental information to the public and National Weather Service.  Performs other duties as assigned.
 Ability to work as a Junior Lifeguard Coordinator or Junior Lifeguard Instructor, providing daily oversight, instruction, and leadership for participants, create lessons plans, counsel, plan field trips, make presentations, ensure junior guards and instructor staff perform in a safe manner, when assigned.

QUALIFICATIONS
Knowledge of:
 Principles and methods of lifeguarding and ocean water rescue, adult and child cardiopulmonary resuscitation (CPR) methods, and first aid.
 USLA manual, Orange County EMS standards, Department standing orders and RWC operations.  Safe operating techniques for motorized and non-motorized equipment routinely used in lifeguarding activities.
 Applicable Federal, State, and local laws, rules, regulations, ordinances, and organizational policies and procedures relevant to the assigned area of responsibility.  Basic techniques for directing, motivating and evaluating assigned staff personnel.  Basic mathematical principles.
 Modern office practices, methods, and computer equipment and applications related to the area of assignment.
 English usage, spelling, vocabulary, grammar, and punctuation.  Techniques for providing a high level of customer service by effectively dealing with the public, vendors, contractors, and City staff.

Ability to:
 Issue clear and concise instructions in emergency situations.  Provide courteous assistance to beach and pool patrons.  Operate motorized equipment including Units, ATV’s and RWC’s in crowded water and beach situations.  Meet the physical requirements necessary to safely and effectively perform the assigned duties.  Determine work priorities within established guidelines; lead, direct and motivate staff effectively.  Handle medical emergencies and injuries in a calm and effective manner, including providing basic first aid and/or adult and child cardiopulmonary resuscitation (CPR).  Perform basic administrative support work with accuracy, speed, and minimal supervision.  Learn, interpret, and apply administrative and departmental policies and procedures.  Understand and follow oral and written instructions.
 Operate modern office equipment including computer equipment and specialized software applications programs.
 Use English effectively to communicate in person, over the telephone, and in writing.  Use tact, initiative, prudence, and independent judgment within general policy and procedural guidelines.  Establish, maintain, and foster positive and effective working relationships with those contacted in the course of work.

Lifeguard II

Education and Experience:

Any combination of training and experience that would provide the required knowledge, skills, and abilities is qualifying. A typical way to obtain the required qualifications would be:

Equivalent to the completion of the twelfth (12th) grade and, completion of the Seal Beach Basic Lifeguard training academy.

Must be 18 years of age or older.

All qualifications listed in the Lifeguard I classification.

Licenses and Certifications:
 Possession of, or ability to obtain, a valid California Driver’s License by time of appointment  Successful completion of the Seal Beach Basic Lifeguard Training Academy  American Red Cross or American Heart Association CPR/AED for the Healthcare Provider  Certified EMT authorized to work under the Orange County EMS Authority.  Successful completion of the Rescue Water Craft operator course.  Completion of recurrent supervisor training.

PHYSICAL DEMANDS
Must possess the strength and mobility to run, stand, stoop, reach, bend, climb, and swim, while in swimwear.

Must be in physical condition sufficient to stay in water for prolonged periods of time, work in extreme heat and/or cold, and the outdoors. Hearing, which must be in a normal range as measured by a standard audiogram, should be good enough to see and hear adults and children in life and/or health safety endangering situations. Must also possess the mobility to work in an office setting and use standard office equipment, including a computer; vision to read printed materials and a computer screen; and hearing and speech to communicate in person and over the telephone. Finger dexterity is needed to access, enter, and retrieve data using a computer keyboard or calculator and to operate standard office and duplicating equipment. Positions in this classification occasionally bend, stoop, kneel, reach, and push and pull drawers open and closed to retrieve and file information. Must possess the ability to perform work that may involve lifting children and adults up to 150 pounds or more with assistance.

ENVIRONMENTAL ELEMENTS
Employees work outdoors and are exposed to variable weather conditions including strong sunlight, salt water, wind and sand. May be exposed to chlorine, acids, and other chemicals at other City aquatics facilities, as well as, blood and body fluids rendering first aid and cardiopulmonary resuscitation. Employees may interact with upset staff and/or public and private representatives in interpreting and enforcing departmental policies and procedures.

DECEMBER 2024
FLSA: NON-EXEMPT

OCEAN LIFEGUARD SPECIALIST

DEFINITION
Under general direction, performs a variety of supervisory duties in connection with ensuring the safety and enjoyment of the City’s public beach and pool areas; oversees the lifeguard activities at the beach or pool; advises patrons of the City’s safety policies and enforces them when necessary; performs rescues and first aid procedures; and performs related work as required with ability to fill the Beach Operations Supervisor role.

SUPERVISION RECEIVED AND EXERCISED
Receives general direction from the Marine Safety Officer. Exercises direct supervision over assigned staff.

CLASS CHARACTERISTICS
This is the highest supervisory-level class in the recurrent beach lifeguard series, responsible for providing the highest possible level of public safety. When required, the incumbent performs the full range of lifeguarding duties, including motorized patrol, water rescues and emergency first aid, to ensure that the assigned City waterfront or pool area is maintained at the highest level of safety for public use.

EXAMPLES OF TYPICAL JOB FUNCTIONS (Illustrative Only)
Management reserves the right to add, modify, change, or rescind the work assignments of different positions and to make reasonable accommodations so that qualified employees can perform the essential functions of the job.
 Patrols assigned beach area in a motorized vehicle while observing beach activity, water and weather conditions.
 Monitors crowds for possible unsafe behavior and policy/procedure violations.  Allocates Lifeguard personnel.
 Acts as a lifeguard in a specific beach area during public beach usage times.  Initiates water rescue procedures; performs ocean water rescues using the appropriate methods and equipment.
 Supports assigned staff by interacting regularly with the public to advise, implement and enforce City policies, rules and procedures.
 Responds to first aid emergencies including basic first aid, adult and/or child cardiopulmonary resuscitation (CPR) and/or AED use as necessary.
 Observes and enforces safe work methods and makes appropriate use of related safety and medical equipment as required.
 Scans ocean water conditions and advises/warns patrons of potentially dangerous conditions.  Scans beach activities to ensure a safe and enjoyable recreation environment.  Supervises, teaches and mentors tower guards and pool lifeguards assigned to their area of responsibility.  Fills the role of Beach Operations Supervisor when needed.  As an Operations Dispatcher: Operate electronic communications, including 800mhz base station, mobile and portable radios, public address systems, computers and software, paging systems; provide Lifeguard Specialist

documentation of emergency and routine call logs, answer emergency calls and direct emergency units, collect and report weather and environmental information to the public and National Weather Service.  Ability to work as a Junior Lifeguard Coordinator or Junior Lifeguard Instructor, providing daily oversight, instruction, and leadership for participants, create lessons plans, counsel, plan field trips, make presentations, ensure junior guards and instructor staff perform in safe manner, when assigned.  Performs other duties as assigned.

QUALIFICATIONS
Knowledge of:
 Principles and methods of lifeguarding and ocean water rescue, adult and child cardiopulmonary resuscitation (CPR) methods, and first aid.
 USLA manual, Orange County EMS standards, Department standing orders, RWC operations, and Rescue Boat Operations.
 Safe operating techniques for all motorized and non-motorized equipment routinely used in lifeguarding activities.
 Applicable Federal, State, and local laws, rules, regulations, ordinances, and organizational policies and procedures relevant to the assigned area of responsibility.  Basic techniques for directing, motivating and evaluating assigned staff personnel.  Basic mathematical principles.
 Modern office practices, methods, and computer equipment and applications related to the area of assignment.
 English usage, spelling, vocabulary, grammar, and punctuation.  Techniques for providing a high level of customer service by effectively dealing with the public, vendors, contractors, and city staff.

Ability to:
 Issue clear and concise instructions in emergency situations.  Provide courteous assistance to beach and pool patrons.  Operate motorized equipment including units, ATV’s and Rescue Watercraft in crowded water and beach situations.
 Operates or fulfills the role of a Rescue Boat Operator or Rescue Boat Deckhand.  Represent the Marine Safety Department in community outreach initiatives.  Meet the physical requirements necessary to safely and effectively perform the assigned duties.  Determine work priorities within established guidelines; lead, direct and motivate staff effectively.  Handle medical emergencies and injuries in a calm and effective manner, including providing basic first aid and/or adult and child cardiopulmonary resuscitation (CPR).  Perform basic administrative support work with accuracy, speed, and minimal supervision.  Learn, interpret, and apply administrative and departmental policies and procedures.  Understand and follow oral and written instructions.
 Operate modern office equipment including computer equipment and specialized software applications programs.
 Use English effectively to communicate in person, over the telephone, and in writing.  Use tact, initiative, prudence, and independent judgment within general policy and procedural guidelines.  Establish, maintain, and foster positive and effective working relationships with those contacted in the course of work.

Lifeguard Specialist

Education and Experience:

Any combination of training and experience that would provide the required knowledge, skills, and abilities is qualifying. A typical way to obtain the required qualifications would be:

Equivalent to the completion of the twelfth (12th) grade and, completion of the Seal Beach Basic Lifeguard training academy.

One thousand (1000) hours of Beach Lifeguard experience.

Licenses and Certifications:
 Possession of, or ability to obtain, a valid California Driver’s License by time of appointment.  Successful completion of the Seal Beach Basic Lifeguard Training Academy  Certified EMT authorized to work under the Orange County EMS Authority.  Successful completion of the Rescue Watercraft operator course.  Completion of recurrent supervisor training
 SCUBA
 CPR/AED Instructor Certification

PHYSICAL DEMANDS
Must possess the strength and mobility to run, stand, stoop, reach, bend, climb, and swim, while in swimwear.

Must be in physical condition sufficient to stay in water for prolonged periods of time, work in extreme heat and/or cold, and the outdoors. Hearing, which must be in a normal range as measured by a standard audiogram, should be good enough to see and hear adults and children in life and/or health safety endangering situations. Must also possess the mobility to work in an office setting and use standard office equipment, including a computer; vision to read printed materials and a computer screen; and hearing and speech to communicate in person and over the telephone. Finger dexterity is needed to access, enter, and retrieve data using a computer keyboard or calculator and to operate standard office and duplicating equipment. Positions in this classification occasionally bend, stoop, kneel, reach, and push and pull drawers open and closed to retrieve and file information. Must possess the ability to perform work that may involve lifting children and adults up to 150 pounds or more with assistance.

ENVIRONMENTAL ELEMENTS
Employees work outdoors and are exposed to variable weather conditions including strong sunlight, salt water, wind and sand. May be exposed to chlorine, acids, and other chemicals at other City aquatics facilities, as well as blood and body fluids rendering first aid and cardiopulmonary resuscitation. Employees may interact with upset staff and/or public and private representatives in interpreting and enforcing departmental policies and procedures.

Agenda Item L

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Michael Henderson, Chief of Police
SUBJECT: Homeland Security Grant Program Agreement to Transfer Property or Funds for Fiscal Year 2022
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt Resolution 7589:

1. Approving the Agreement to Transfer Property or Funds for Fiscal Year Homeland Security Grant Program Purposes; and,

2. Authorizing the City Manager to execute the agreement and any related documents on the City’s behalf that are necessary for the transfer of property or funds under the Fiscal Year 2022 Homeland Security Grant Program.

BACKGROUND AND ANALYSIS:

The Federal Homeland Security Appropriations Act provides funding to address the needs of high-risk urban areas for planning, equipment/services, training, and exercises through the Homeland Security Grant Program (“HSGP”). Additionally, the Department of Homeland Security (“Homeland Security”) is funding efforts nationally to combat terrorism and respond to emergencies and hazards.

The City of Seal Beach (City) is located in the County of Orange and the Anaheim/Santa Ana Urban Area and is eligible to receive financial assistance in the form of funds, equipment, technology and services, through Homeland Security sub-grants from the County of Orange.

In order to facilitate the transfer of Homeland Security Grant funds, the City must enter into agreements with the County of Orange. The City of Seal Beach City Manager must be designated by resolution to execute on behalf of the City of Seal Beach to obtain grant funds through the Homeland Security Grant Program. The Department of Homeland Security is funding efforts nationally to combat terrorism and respond to emergencies and hazards. In order to receive the funds, entities must cooperate with the grant requirements and have a designated signer of

record. This agreement allows the City to receive the funds and equipment as provided by the grant.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS:

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

FINANCIAL IMPACT:

The City will accept and expend funds if received. Acceptance of these funds may offset public safety expenditures servicing the City for a variety of needs which may fall under the umbrella of Homeland Security.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

RECOMMENDATION:

That the City Council adopt Resolution 7589

1. Approving the Agreement to Transfer Property or Funds for FY 2022 Homeland Security Grant Program Purposes; and,

2. Authorizing the City Manager to execute the agreement and any related documents on the City’s behalf that are necessary for the transfer of property or funds under the Fiscal Year 2022 Homeland Security Grant Program.

SUBMITTED BY: NOTED AND APPROVED:

Michael Henderson Patrick Gallegos
Michael Henderson, Chief of Police Patrick Gallegos, Interim City Manager Prepared by: Brian Gray, Emergency Services Coordinator

ATTACHMENTS:

A. Resolution 7589
B. Agreement to Transfer Property or Funds for FY2022 Homeland Security Grant Program Purposes
C. Agreement Attachments A-C
RESOLUTION 7589

A RESOLUTION OF THE SEAL BEACH CITY COUNCIL

APPROVING AND AUTHORIZING THE CITY MANAGER TO

ENTER INTO AN AGREEMENT WITH THE COUNTY OF ORANGE
TO TRANSFER PROPERTY OR FUNDS FOR FY22 HOMELAND

SECURITY GRANT PROGRAM
WHEREAS, The Federal Homeland Security Appropriations Act provides funding to address the needs of high risk urban areas through planning, equipment/services, training, and exercises through the Homeland Security Grant Program (“HSGP”); and,
WHEREAS, The City of Seal Beach is located in the County of Orange and the Anaheim/Santa Ana Urban Area, and is eligible to receive financial assistance in the form of funds, equipment, technology and services, through Homeland Security sub-grants from the County of Orange; and,
WHEREAS, The City must enter into agreements with the County of Orange to facilitate the transfer of Homeland Security Grant funds. The City of Seal Beach City Manager must be designated by resolution to execute on behalf of the City of Seal Beach to obtain grant funds through the Homeland Security Grant Program; and,
WHEREAS, The Department of Homeland Security is funding efforts nationally to combat terrorism and respond to emergencies and hazards. In order to receive the funds, entities must cooperate with the grant requirements and have a designated signer of record. This agreement allows the City to receive the funds and equipment as provided by the grant.

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

SECTION 1. The foregoing recitals are true and correct and are hereby adopted by reference as set forth in full.

SECTION 2. The City Council hereby approves the agreement with the County of Orange to Transfer Property or Funds for FY22 Homeland Security Grant Program purposes.

SECTION 3. The City Council hereby authorizes the City Manager to execute the Agreement on behalf of the City of Seal Beach and all related documents that are necessary for the transfer of property or funds under the Fiscal Year 2022 Homeland Security Grant Program.

PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 9th day of December 2024 by the following vote:

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

Schelly Sustarsic, Mayor
ATTEST:

Gloria D. Harper, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE }
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7589 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 9th day of December 2024.

Gloria D. Harper, City Clerk

Agenda Item M

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Michael Henderson, Chief of Police
SUBJECT: Approving an Amendment to the Classification Plan and Designating the Pay Grade and Status of the Information Technology Manager Classification
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt Resolution 7590:

1. Authorizing an amendment to the Classification Plan to reclassify the Management Analyst position within the Police Department to an Information Technology Manager; and,

2. Designating the Information Technology Manager job classification to Grade 36 on the Seal Beach Full Time Pay Schedule.

BACKGROUND AND ANALYSIS:

The City of Seal Beach currently has six (6) Management Analysts assigned to multiple departments throughout the city, including within the Police Department.

The Management Analyst position within the Police Department has spearheaded projects that include overseeing critical IT infrastructure, implementing cybersecurity protocols, and managing complex technological systems throughout the City. Reclassifying the Management Analyst position within the Police Department to an Information Technology (IT) Manager more appropriately reflects the responsibilities being performed. The IT Manager spearheads vital information technology programs for maintaining uninterrupted IT services across all departments, enhancing service delivery, and leveraging technology to improve operations, expand capabilities, and meet the evolving needs of the community.

Under the general direction of the City Manager or their designee, the IT Manager will continue to lead and coordinate the activities of the City’s IT Division. This includes overseeing all information technology services and projects, ensuring that technological solutions meet the City’s operational needs, maintaining security protocols, and managing IT staff and contractors.

The Management Analyst position in the Police Department is represented by the Mid-Management and Confidential Employees Association. The Personnel Officer (City Manager) has complied with the requirements of Article II, Section 7.C. of the Employer-Employee Relations resolution in determining the new IT Manager classification should remain within the Mid-Management and Confidential Employees Association.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS:

The City Attorney has reviewed and approved as to form.

FINANCIAL IMPACT:

The IT Manager job classification is proposed to align with Grade 36 on the City of Seal Beach Full Time Pay Schedule. The annual salary range under Grade 36 has a minimum annual salary of $117,264.61 and a maximum annual salary of $142,535.86.

The reclassification of the Management Analyst position within the Police Department will result in an increase in salaries within the Seal Beach Police Department but will not increase the position count of the City. For the current fiscal year, the department will realize savings due to anticipated position vacancies. In the next budget year, the department will adjust its budget to reflect the reclassification.

STRATEGIC PLAN:

This reclassification aligns with the City’s Strategic Plan goal to maintain and improve operational efficiency through technological advancement and effective management.

RECOMMENDATION:

That the City Council adopt Resolution 7590:

1. Authorizing an amendment to the Classification Plan to reclassify the Management Analyst position within the Police Department to an Information Technology Manager; and,

2. Designating the Information Technology Manager job classification to Grade 36 on the Seal Beach Full Time Pay Schedule.

SUBMITTED BY: NOTED AND APPROVED:

Michael Henderson Patrick Gallegos
Michael Henderson, Chief of
Police
Patrick Gallegos, Interim City Manager
Prepared by: Nick Nicholas, Support Services Bureau Captain ATTACHMENTS:

A. Resolution 7590
B. IT Manager Job Specification
RESOLUTION 7590

A RESOLUTION OF THE SEAL BEACH CITY COUNCIL

APPROVING AND AUTHORIZING THE AMENDMENT TO THE

CLASSIFICATION PLAN AND DESIGNATING THE PAY GRADE

AND STATUS OF THE INFORMATION TECHNOLOGY

MANAGER POSITION
WHEREAS, the City of Seal Beach currently has six (6) Management Analysts assigned to various departments, including one under the direction of the Chief of Police; and,
WHEREAS, the responsibilities of the current Management Analyst serving in the Police Department have evolved significantly to align with an Information Technology Manager, necessitating a reclassification to properly reflect the duties being performed; and,
WHEREAS, the reclassification of the Management Analyst position within the Police Department to Information Technology Manager will ensure alignment with its current responsibilities and prepare the City for long-term IT stability and innovation; and,
WHEREAS, the proposed Information Technology Manager will be classified within Grade 36 of the Full Time Salary Schedule; and,
WHEREAS, the financial impact of this reclassification for the current fiscal year will be mitigated by the savings from vacancies within the Police Department for the remaining fiscal year or until such time costs are recovered; and, WHEREAS, the City’s Strategic Plan emphasizes maintaining and improving operational efficiency through technological advancement and effective management, which this reclassification supports.

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

Section 1. The City Council hereby approves the amendment to the Classification Plan to include the classification of Information Technology Manager, as more fully described in the staff report accompanying this Resolution.

Section 2. The City Council hereby designates the pay grade and status of the Information Technology Manager position to align with Grade 36 of the Full Time Salary Schedule.

Section 3. The Council authorizes the City Manager or their designee to execute all necessary documents and take any actions required to implement the reclassification of the Management Analyst position within the Police Department to Information Technology Manager.

PASSED, APPROVED, AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 9th day of December 2024 by the following vote:

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

Schelly Sustarsic, Mayor
ATTEST:

Gloria D. Harper, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7590 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 9th day of December 2024.

Gloria D. Harper, City Clerk
Information Technology (IT) Manager Page 1/4
Information Technology (IT)
Manager
Department/Division: City-Wide
Reports To: City Manager or their designee
Provides Direction To: IT Project Contractors
FLSA Exemption Status: Non-Exempt
Date Prepared: December 9, 2024
Date Adopted by City Council: December 9, 2024

GENERAL PURPOSE
Under the general direction of the City Manager or their Designee, the IT Manager leads and coordinates the activities of the City’s Information Technology (IT) Division. This includes overseeing all information technology services and projects, ensuring that technological solutions meet the City’s operational needs, maintaining security protocols, and managing IT staff and contractors.

DISTINGUISHING CHARACTERISTICS
The Information Technology (IT) Manager leads the City’s technological efforts and manages the IT operations across all departments. This is a dynamic and hands-on role, responsible for overseeing the design, implementation, and security of the City's IT infrastructure. The successful candidate will have a strategic vision for technology that supports the City's goals and operations, including public safety, public works, administrative services, and citizen engagement platforms.

This is an excellent opportunity for a technology leader with a passion for public service, strong technical expertise, and the ability to drive strategic initiatives.

ESSENTIAL FUNCTIONS
The duties listed below are intended only as illustrations of the various types of work that may be performed. The omission of specific statements of duties does not exclude them from the position if the work is similar, related, or a logical assignment to the class. Additionally, due to the nature of the position, flexibility is required, and the incumbent may need to work evenings, weekends, or respond to after-hours emergencies when necessary.
 Leadership & Strategy:
o Develop, implement, and maintain an IT strategic plan that aligns with the City’s goals, ensuring the effective integration of new technologies and innovation to improve city services.
o Act as a technology advisor to City leadership, offering insights and guidance on best practices, emerging technologies, and IT solutions that can optimize efficiency across departments.
o Lead, supervise, and mentor IT staff, fostering a culture of continuous learning and professional development.
 Systems & Network Management:
o Manage and maintain all IT systems including servers, network infrastructure, hardware, software applications, databases, and telecommunications across multiple departments.

Information Technology (IT) Manager Page 2/4
o Oversee the administration of the City’s enterprise applications (such as financial management systems, HR systems, and public safety platforms) to ensure uninterrupted service.
o Maintain high availability, reliability, and performance of key city systems, including public safety systems such as Computer-Aided Dispatch (CAD), Mobile Data Terminals (MDTs), surveillance systems, access control, and body-worn cameras.  Cybersecurity & Compliance:
o Develop and enforce robust cybersecurity protocols to protect the City’s data and IT systems from unauthorized access, breaches, and cyber threats. o Manage security measures including firewalls, encryption, anti-virus software, and intrusion detection systems.
o Ensure compliance with local, state, and federal regulations regarding data security, privacy, and IT governance, including CJIS and HIPAA standards where applicable.  Project Management:
o Plan, execute, and oversee IT-related projects such as software upgrades, system migrations, network expansions, and implementation of new technologies. o Manage relationships with third-party vendors, ensuring that contracts for IT services, software, and hardware meet the City’s needs and are completed on time and within budget.
o Evaluate and recommend new technology solutions, preparing cost-benefit analyses and budget proposals for IT-related projects.
 Public Safety Technology Support:
o Provide technical support to the Seal Beach Police Department and other city departments, ensuring that critical public safety systems remain operational 24/7. o Coordinate the management of mobile data systems, surveillance technologies, and communications platforms for public safety and emergency services. o Work closely with law enforcement to provide technical expertise, including video extraction from surveillance systems, mobile device forensics, and support for unmanned aerial systems (UAV/drones).
 User Support & Training:
o Oversee and provide technical support for city staff, resolving complex IT issues and ensuring end-users have the necessary tools to perform their duties. o Develop and implement IT training programs to improve technology adoption and proficiency across departments.
 Disaster Recovery & Business Continuity:
o Develop and maintain the City’s disaster recovery and business continuity plans to ensure the city can recover from IT disruptions swiftly.
o Conduct regular testing and audits of backup systems and recovery procedures to mitigate risks of data loss or downtime.

These are not to be construed as exclusive or all inclusive. Other duties may be required and assigned.

QUALIFICATIONS GUIDELINES
Knowledge of:
 IT infrastructure management, including networks, servers, database systems, and cloud computing.

Information Technology (IT) Manager Page 3/4
 Public safety technologies, including CAD systems, body-worn cameras, mobile data terminals, and surveillance systems.
 Cybersecurity principles and best practices, including firewall administration, endpoint security, and network monitoring tools.
 Project management techniques and experience leading large-scale IT implementations.  Public sector IT governance, compliance with federal/state IT regulations, and public procurement processes
Ability to:
 Plan and implement IT strategies and solutions that meet the unique needs of municipal operations.
 Lead, train, and motivate IT staff, ensuring a high level of performance and professionalism.  Communicate complex technical issues to non-technical stakeholders effectively.  Manage multiple priorities and projects simultaneously in a fast-paced environment.  Maintain discretion, confidentiality, and data security when handling sensitive information.

Education/Training/Experience:
 Bachelor’s degree from an accredited college or university in Information Technology, Computer Science, Management Information Systems, or a closely related field is required.  Advanced degree (Master’s or certifications such as PMP, CISSP, ITIL, or equivalent) is highly desirable.

Experience & Training:
 A minimum of five (5) years of progressively responsible experience in information technology management, including at least two (2) years in a supervisory or management role.
 Experience working in a government or public sector setting is highly desirable.

Licenses, Certificates; Special Requirements:

A valid Class C California driver’s license, acceptable driving record, and evidence of insurance.

Ability to work extended hours in order to meet shift needs, complete reports, attend meetings, or conduct investigative business. Ability to work under sometimes unsafe and uncomfortable conditions where exposure to environmental factors such as odors, dust, noise, human or animal violence, disease, or machinery may constitute discomfort and where there is risk of injury, usually requiring minimal recovery.

PHYSICAL AND MENTAL DEMANDS
The physical and mental demands described here are representative of those that must be met by employees to successfully perform the essential functions of this class. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions.

Physical Demands
While performing the duties of this class, the employee is constantly required to sit, and occasionally to stand and walk. The sensory demands include the ability to talk, and hear, both in person and by telephone; use hands to finger, handle, feel or operate computer hardware and standard office equipment; and reach with hands and arms above and Information Technology (IT) Manager Page 4/4
below shoulder level. The employee occasionally lifts and carries records and documents weighing more than 20 pounds.

Specific vision abilities required by this job include close vision and the ability to adjust focus.

Mental Demands
While performing the duties of this class, the employee is regularly required to use oral and written communication skills; read and interpret data; thoroughly analyze and solve problems; use math and mathematical reasoning; establish priorities and work on multiple assignments and projects concurrently; and interact appropriately with law enforcement personnel, general public, and others in the course of work.

WORK ENVIRONMENT
This position performs office and field work. When assigned to the office setting, the noise levels are typically quiet, at or below 85 decibel levels. When in the field, employees are assigned to a police vehicle and are subject to variable weather conditions and traffic.

Agenda Item N

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Barbara Arenado, Director of Finance/City Treasurer SUBJECT: Adopt Agreements and Resolutions Necessary to
Implement the Increase to the City’s Sales and Use Tax
Ordinance as a Result of Measure GG
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt:

1. Resolution 7591 approving and authorizing the City Manager to execute new agreements with the California Department of Tax and Fee Administration for Implementation of a Local Transactions and Use Tax to implement Measure GG’s increase to such tax; and,

2. Resolution 7592 authorizing Examination of Transactions and Use Tax records.

BACKGROUND AND ANALYSIS:

On November 5, 2024, Seal Beach voters passed Measure GG, a sales and use tax ordinance. The approved ordinance provides that the increase of ½% new tax will be collected by the California Department of Tax and Fee Administration (“CDTFA”) and remitted to the City, as with existing sales and use tax revenues.

As a condition of collecting, accounting for, and remitting the tax revenue for the City, CDTFA requires that the City enter into administrative agreements for CDTFA to 1) conduct the preparatory work necessary before the City’s tax can be collected; and 2) collect and administer the tax on behalf of the City. Under each agreement, the City must compensate CDTFA for the services pursuant to rates established by State statute and regulation. Costs will be deducted from revenue before it is remitted to the City.

The CDTFA collects the City’s sales tax revenue, and the agency currently performs these services for cities throughout the State, including Seal Beach. The agreements presented (Attachments C and D) are from templates that are used throughout the State and not subject to individual amendment. In addition to the

agreements, CDTFA requires that the City designate certain City officers who are authorized to review confidential sales tax receipt records. The attached resolution (Attachment B) authorizes the City Manager and Director of Finance/City Treasurer to review the records, which is current practice. The proposed resolution also authorizes the City’s current sales tax consultant, Hinderliter, de Llamas & Associates (HdL), to review sales tax records on the City’s behalf as well. HdL’s services include verifying that the City receives the revenue to which it is entitled, and searching for additional revenue from sales and use tax sources.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS:

The City Attorney has reviewed and approved as to form.

FINANCIAL IMPACT:

The CDTFA will begin collection of the increased transaction and use tax on April 1, 2025. Based upon the timing of the implementation for collection, it is expected that the City of Seal Beach will begin to receive remittance of the new transaction and use tax in July 2025. The increased revenue is unknown at this time but is anticipated as approximately $3.0 million based upon the projection from HdL.

Sufficient funding has been included in the Adopted Budget for administrative costs but may may be offset by charges by the CDTFA prior to distribution, not to exceed $175,000 per the agreement.

STRATEGIC PLAN:

This aligns the City's long term fiscal strategic plan.

RECOMMENDATION:

That the City Council adopt:

1. Resolution 7591approving and authorizing the City Manager to execute agreements with the California Department of Tax and Fee Administration for Implementation of a Local Transactions and Use Tax to implement Measure GG’s increase to such tax; and,

2. Resolution 7592 authorizing Examination of Transactions and Use Tax records.

SUBMITTED BY: NOTED AND APPROVED:

Barbara Arenado Patrick Gallegos
Barbara Arenado, Director of Finance Patrick Gallegos, Interim City Manager ATTACHMENTS:

A. Resolution 7591, including:

Exhibit A, Agreement for Preparation to Administer and Operate City’s Transactions and Use Tax Ordinance
Exhibit B, Agreement for State Administration of City’s Transactions and Use Taxes
B. Resolution 7592
RESOLUTION 7591

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL

BEACH AUTHORIZING CITY MANAGER TO EXECUTE

AGREEMENTS WITH THE CALIFORNIA DEPARTMENT OF TAX

AND FEE ADMINISTRATION FOR IMPLEMENTATION OF A

LOCAL TRANSACTIONS AND USE TAX TO IMPLEMENT
MEASURE GG’s INCREASE TO SUCH TAX
WHEREAS, on November 6, 2018, the voters of the City of Seal Beach approved Ordinance 1671 amending the City Municipal Code and providing for a 1% local transaction and use tax; and,
WHEREAS, on July 22, 2024, the City Council approved the placement of Ordinance 1714 on the November 5, 2024, ballot to amend the City Municipal Code and increasing by ½% the local transaction and use tax; and, WHEREAS, on November 5, 2024, the voters of the City of Seal Beach approved Ordinance 1714; and,
WHEREAS, the California Department of Tax and Fee Administration (Department) administers and collects the transactions and use taxes for all applicable jurisdictions within the state; and,
WHEREAS, the Department will be responsible to administer and collect the transactions and use tax for the City; and,
WHEREAS, the Department requires that the City enter into a “Preparatory Agreement” and an “Administration Agreement” prior to implementation of said increased tax, and,
Whereas, the Department requires that the City Council authorize the agreements.

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

Section 1. The City Council hereby approves the “Preparatory Agreement” attached as Exhibit “A” and the “Administrative Agreement” attached as Exhibit “B”.

Section 2. The City Council directs the City Manager to execute each agreement on behalf of the City.

PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 9
th day of December 2024 by the following vote:

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

Schelly Sustarsic, Mayor
ATTEST:

Gloria D. Harper, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7591 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 9th day of December 2024.

Gloria D. Harper, City Clerk
RESOLUTION 7592

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL

BEACH AUTHORIZING EXAMINATION OF SALES OR

TRANSACTIONS AND USE TAX RECORDS
WHEREAS, pursuant to Ordinance 489, the City of Seal Beach (City) entered into a contract with the California Department of Tax and Fee Administration (Department) to perform all functions incident to the administration and collection of sales and use taxes; and,
WHEREAS, pursuant to Ordinance 1671 and 1714 Revenue and Taxation Code Section 7270, the City entered into a contract with the California Department of Tax and Fee Administration (Department) to perform all functions incident to the administration and collection of transactions and use taxes; and, WHEREAS, the City Council of the City of Seal Beach deems it desirable and necessary for authorized officers, employees and representatives of the City to examine confidential sales or transactions and use tax records of the Department pertaining to sales or transactions and use taxes collected by the Department for the City pursuant to that contract; and,
WHEREAS, Section 7056 of the California Revenue and Taxation Code sets forth certain requirements and conditions for the disclosure of Department records, and Section 7056.5 of the California Revenue and Taxation Code establishes criminal penalties for the unlawful disclosure of information contained in, or derived from, the sales or transactions and use tax records of the Department.

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

Section 1. That the City Manager and the Director of Finance/City Treasurer, or other officer or employee of the City designated in writing by the City Manager to the California Department of Tax and Fee Administration is hereby appointed to represent the City with authority to examine sales or transactions and use tax records of the Department pertaining to sales or transactions and use taxes collected for the City by the Department pursuant to the contract between the City and the Department.

Section 2. The information obtained by examination of Department records shall be used only for purposes related to the collection of City sales or transactions and use taxes by the Department pursuant to that contract, and for purposes related to the following governmental functions of the City:
(a) Compliance and enforcement of the sales or transactions and use taxes (b) Budget Planning
(c) Economic Development
The information obtained by examination of Department records shall be used only for those governmental functions of the City listed above.

Section 3. That Hinderliter, de Llamas & Associates (HdL) is hereby designated to examine the sales or transactions and use tax records of the Department pertaining to sales or transactions and use taxes collected for the City by the Department. The person or entity designated by this section meets all of the following conditions, which are also included in the contract between the City and HdL:
a) has an existing contract with the City to examine those sales or transactions and use tax records; and,
b) is required by that contract to disclose information contained in, or derived from, those sales or transactions and use tax records only to the officer or employee authorized under Section 1 of this resolution to examine the information; and,
c) is prohibited by that contract from performing consulting services for a retailer during the term of that contract; and,
d) is prohibited by that contract from retaining the information contained in or derived from those sales or transactions and use tax records, after that contract has expired.

BE IT FURTHER RESOLVED that the information obtained by examination of Department records shall be used only for purposes related to the collection of City sales or transactions and use taxes by the Department pursuant to the contract between the City and the Department and for those purposes relating to the governmental functions of the City listed in section 2 of this resolution.

Section 4. That this resolution supersedes all prior resolutions of the City Council of the City of Seal Beach adopted pursuant to subdivision (b) of Revenue and Taxation Code section 7056.

PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 9th day of December 2024 by the following vote:

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

Schelly Sustarsic, Mayor
ATTEST:

Gloria D. Harper, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7592 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 9th day of December 2024.

Gloria D. Harper, City Clerk
(Rev. 07/24) 1

AGREEMENT FOR PREPARATION TO ADMINISTER AND OPERATE

CITY'S TRANSACTIONS AND USE TAX ORDINANCE
In order to prepare to administer a transactions and use tax ordinance adopted in accordance with the provision of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code, the City of SEAL BEACH, hereinafter called City, and the CALIFORNIA DEPARTMENT OF TAX AND FEE ADMINISTRATION, hereinafter called Department, do agree as follows:

1. The Department agrees to enter into work to prepare to administer and operate a transactions and use tax in conformity with Part 1.6 of Division 2 of the Revenue and Taxation Code which has been approved by a majority of the electors of the City and whose ordinance has been adopted by the City.

2. City agrees to pay to the Department at the times and in the amounts hereinafter specified all of the Department's costs for preparatory work necessary to administer the City's transactions and use tax ordinance. The Department's costs for preparatory work include costs of developing procedures, programming for data processing, developing and adopting appropriate regulations, designing and printing forms, developing instructions for the Department's staff and for taxpayers, and other appropriate and necessary preparatory costs to administer a transactions and use tax ordinance.

These costs shall include both direct and indirect costs as specified in Section 11256 of the Government Code.

3. Preparatory costs may be accounted for in a manner which conforms to the internal accounting and personnel records currently maintained by the Department. The billings for costs may be presented in summary form. Detailed records of preparatory costs will be retained for audit and verification by the City.

4. Any dispute as to the amount of preparatory costs incurred by the Department shall be referred to the State Director of Finance for resolution, and the Director's decision shall be final.

5. Preparatory costs incurred by the Department shall be billed by the Department periodically, with the final billing within a reasonable time after the operative date of the ordinance.

City shall pay to the Department the amount of such costs on or before the last day of the next succeeding month following the month when the billing is received. (Rev. 07/24) 2

6. The amount to be paid by City for the Department's preparatory costs shall not exceed one hundred seventy-five thousand dollars ($175,000) (Revenue and Taxation Code Section 7272.)

7. Communications and notices may be sent by first class United States mail or through email at [email protected]. If and when communications and notices may include confidential information, communications and notices must be sent through encrypted email at [email protected] or by mail. Communications and notices to be sent to the Department shall be addressed to:

California Department of Tax and Fee Administration
P.O. Box 942879 MIC: 27
Sacramento, California 94279-0027
Attention: Administrator
Local Revenue Branch
Communications and notices to be sent to City shall be addressed to:

City Manager (with a copy to Director of Finance/City Treasurer) 211 8th Street
Seal Beach, CA 90740-6379

8. The date of this agreement is the date on which it is approved by the Department of General Services. This agreement shall continue in effect until the preparatory work necessary to administer City's transactions and use tax ordinance has been completed and the Department has received all payments due from City under the terms of this agreement.

CITY OF SEAL BEACH CALIFORNIA DEPARTMENT OF TAX

AND FEE ADMINISTRATION
By By
(Signature) Administrator
Local Revenue Branch
Patrick Gallegos
(Typed Name) Date: _______________________________
Interim City Manager
(Title)
Date: December 9, 2024

AGREEMENT FOR STATE ADMINISTRATION

OF CITY TRANSACTIONS AND USE TAXES
The City Council of the City of SEAL BEACH has adopted, and the voters of the City of SEAL BEACH (hereafter called “City” or “District”) have approved by the required majority vote, the City of SEAL BEACH Transactions and Use Tax Ordinance (hereafter called “Ordinance”), a copy of which is attached hereto. To carry out the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code and the Ordinance, the California State Department of Tax and Fee Administration, (hereinafter called the “Department”) and the City do agree as follows:

ARTICLE I

DEFINITIONS
Unless the context requires otherwise, wherever the following terms appear in the Agreement, they shall be interpreted to mean the following:

1. "District taxes" shall mean the transactions and use taxes, penalties, and interest imposed under an ordinance specifically authorized by Revenue and Taxation code Section 7285.9, and in compliance with Part 1.6, Division 2 of the Revenue and Taxation Code.

2. "City Ordinance" shall mean the City's Transactions and Use Tax Ordinance referred to above and attached hereto, Seal Beach Municipal Code Chapter 4.55, as most recently amended by Ordinance No. 1714, and as further amended from time to time, or as deemed to be amended from time to time pursuant to Revenue and Taxation Code Section 7262.2.

ARTICLE II

ADMINISTRATION AND COLLECTION

OF CITY TAXES
A. Administration. The Department and City agree that the Department shall perform exclusively all functions incident to the administration and operation of the City Ordinance. (Rev. 7/24) 2
B. Other Applicable Laws. City agrees that all provisions of law applicable to the administration and operation of the Department Sales and Use Tax Law which are not inconsistent with Part 1.6 of Division 2 of the Revenue and Taxation Code shall be applicable to the administration and operation of the City Ordinance. City agrees that money collected pursuant to the City Ordinance may be deposited into the State Treasury to the credit of the Retail Sales Tax Fund and may be drawn from that Fund for any authorized purpose, including making refunds, compensating and reimbursing the Department pursuant to Article IV of this Agreement, and transmitting to City the amount to which City is entitled.

C. Transmittal of money.

1. For the period during which the tax is in effect, and except as otherwise provided herein, all district taxes collected under the provisions of the City Ordinance shall be transmitted to City periodically as promptly as feasible, but not less often than twice in each calendar quarter.

2. For periods subsequent to the expiration date of the tax whether by City’s self-imposed limits or by final judgment of any court of the State of California holding that City’s ordinance is invalid or void, all district taxes collected under the provisions of the City Ordinance shall be transmitted to City not less than once in each calendar quarter.

3. Transmittals may be made by mail or electronic funds transfer to an account of the City designated and authorized by the City. A statement shall be furnished at least quarterly indicating the amounts withheld pursuant to Article IV of this Agreement.

D. Rules. The Department shall prescribe and adopt such rules and regulations as in its judgment are necessary or desirable for the administration and operation of the City Ordinance and the distribution of the district taxes collected thereunder.

E. Preference. Unless the payor instructs otherwise, and except as otherwise provided in this Agreement, the Department shall give no preference in applying money received for state sales and use taxes, state-administered local sales and use taxes, and district transactions and use taxes owed by a taxpayer, but shall apply moneys collected to the satisfaction of the claims of the State, cities, counties, cities and counties, redevelopment agencies, other districts, and City as their interests appear. (Rev. 7/24) 3
F. Security. The Department agrees that any security which it hereafter requires to be furnished by taxpayers under the State Sales and Use Tax Law will be upon such terms that it also will be available for the payment of the claims of City for district taxes owing to it as its interest appears.

The Department shall not be required to change the terms of any security now held by it, and City shall not participate in any security now held by the Department.

G. Records of the Department.

When requested by resolution of the legislative body of the City under section 7056 of the Revenue and Taxation Code, the Department agrees to permit authorized personnel of the City to examine the records of the Department, including the name, address, and account number of each seller holding a seller’s permit with a registered business location in the City, pertaining to the ascertainment of transactions and use taxes collected for the City. Information obtained by the City from examination of the Department's records shall be used by the City only for purposes related to the collection of transactions and use taxes by the Department pursuant to this Agreement.

H. Annexation. City agrees that the Department shall not be required to give effect to an annexation, for the purpose of collecting, allocating, and distributing District transactions and use taxes, earlier than the first day of the calendar quarter which commences not less than two months after notice to the Department. The notice shall include the name of the county or counties annexed to the extended City boundary. In the event the City shall annex an area, the boundaries of which are not coterminous with a county or counties, the notice shall include a description of the area annexed and two maps of the City showing the area annexed and the location address of the property nearest to the extended City boundary on each side of every street or road crossing the boundary.

ARTICLE III

ALLOCATION OF TAX
A. Allocation. In the administration of the Department's contracts with all districts that impose transactions and use taxes imposed under ordinances, which comply with Part 1.6 of Division 2 of the Revenue and Taxation Code:

1. Any payment not identified as being in payment of liability owing to a designated district or districts may be apportioned among the districts as their interest appear, or, in the discretion (Rev. 7/24) 4
of the Department, to all districts with which the Department has contracted using ratios reflected by the distribution of district taxes collected from all taxpayers.

2. All district taxes collected as a result of determinations or billings made by the Department, and all amounts refunded or credited may be distributed or charged to the respective districts in the same ratio as the taxpayer's self-declared district taxes for the period for which the determination, billing, refund or credit applies.

B. Vehicles, Vessels, and Aircraft. For the purpose of allocating use tax with respect to vehicles, vessels, or aircraft, the address of the registered owner appearing on the application for registration or on the certificate of ownership may be used by the Department in determining the place of use.

ARTICLE IV

COMPENSATION
The City agrees to pay to the Department as the State's cost of administering the City Ordinance such amount as is provided for by law. Such amounts shall be deducted from the taxes collected by the Department for the City.

ARTICLE V

MISCELLANEOUS PROVISIONS
A. Communications. Communications and notices may be sent by first class United States mail to the addresses listed below, or to such other addresses as the parties may from time to time designate or through email at [email protected]. If and when communications and notices may include confidential information, communications and notices must be sent through encrypted email at [email protected] or by mail.
(Rev. 7/24) 5
Communications and notices to be sent to the Department shall be addressed to:

California State Department of Tax and Fee Administration P.O. Box 942879
Sacramento, California 94279-0027
Attention: Administrator
Local Revenue Branch
Communications and notices to be sent to the City shall be addressed to:

City Manager (with a copy to Director of Finance/City Treasurer) 211 8th Street
Seal Beach, CA 90740-6379
Unless otherwise directed, transmittals of payment of District transactions and use taxes will be sent to the address above.

B. Term. The date of this Agreement is the date on which it is approved by the Department of General Services. The Agreement shall take effect on April 1, 2025. This Agreement shall continue until December 31 next following the expiration date of the City Ordinance, and shall thereafter be renewed automatically from year to year until the Department completes all work necessary to the administration of the City Ordinance and has received and disbursed all payments due under that Ordinance.

C. Notice of Repeal of Ordinance. City shall give the Department written notice of the repeal of the City Ordinance not less than 110 days prior to the operative date of the repeal. (Rev. 7/24) 6

ARTICLE VI

ADMINISTRATION OF TAXES IF THE

ORDINANCE IS CHALLENGED AS BEING INVALID
A. Impoundment of funds.

1. When a legal action is begun challenging the validity of the imposition of the tax, the City shall deposit in an interest-bearing escrow account, any proceeds transmitted to it under Article II. C., until a court of competent jurisdiction renders a final and non-appealable judgment that the tax is valid.

2. If the tax is determined to be unconstitutional or otherwise invalid, the City shall transmit to the Department the moneys retained in escrow, including any accumulated interest, within ten days of the judgment of the trial court in the litigation awarding costs and fees becoming final and non-appealable.

B. Costs of administration. Should a final judgment be entered in any court of the State of California, holding that City's Ordinance is invalid or void, and requiring a rebate or refund to taxpayers of any taxes collected under the terms of this Agreement, the parties mutually agree that:

1. Department may retain all payments made by City to Department to prepare to administer the City Ordinance.

2. City will pay to Department and allow Department to retain Department's cost of administering the City Ordinance in the amounts set forth in Article IV of this Agreement.

3. City will pay to Department or to the State of California the amount of any taxes plus interest and penalties, if any, that Department or the State of California may be required to rebate or refund to taxpayers.

4. City will pay to Department its costs for rebating or refunding such taxes, interest, or penalties. Department's costs shall include its additional cost for developing procedures for processing (Rev. 7/24) 7
the rebates or refunds, its costs of actually making these refunds, designing and printing forms, and developing instructions for Department's staff for use in making these rebates or refunds and any other costs incurred by Department which are reasonably appropriate or necessary to make those rebates or refunds. These costs shall include Department's direct and indirect costs as specified by Section 11256 of the Government Code.

5. Costs may be accounted for in a manner, which conforms to the internal accounting, and personnel records currently maintained by the Department. The billings for such costs may be presented in summary form. Detailed records will be retained for audit and verification by City.

6. Any dispute as to the amount of costs incurred by Department in refunding taxes shall be referred to the State Director of Finance for resolution and the Director's decision shall be final.

7. Costs incurred by Department in connection with such refunds shall be billed by Department on or before the 25th day of the second month following the month in which the judgment of a court of the State of California holding City's Ordinance invalid or void becomes final. Thereafter Department shall bill City on or before the 25th of each month for all costs incurred by Department for the preceding calendar month. City shall pay to Department the amount of such costs on or before the last day of the succeeding month and shall pay to Department the total amount of taxes, interest, and penalties refunded or paid to taxpayers, together with Department costs incurred in making those refunds.

CITY OF SEAL BEACH CALIFORNIA STATE DEPARTMENT OF

TAX AND FEE ADMINISTRATION
By By
(Signature) Administrator
Local Revenue Branch
Patrick Gallegos
(Typed Name) Date: _______________________________
Interim City Manager
(Title)
December 9, 2024
(Date)
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7593 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 9th day of December 2024.

Gloria D. Harper, City Clerk
Agenda Item {{item.number}}

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Barbara Arenado, Director of Finance/City Treasurer SUBJECT: Agreement for Measure “GG” Transactions Tax Audit & Information Services with Hinderliter, De Llamas and
Associates
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt Resolution 7593:

1. Approving the Agreement for Measure “GG” Transaction Tax Audit & Information Services with Hinderliter, de Llamas and Associates dba HdL Companies (HdL); and,

2. Authorizing the City Manager to execute the Agreement.

BACKGROUND AND ANALYSIS:

The City of Seal Beach has been working with Hinderliter, de Llamas and Associates (HdL) since 1991. At that time the City and HdL entered into an agreement for HdL to provide sales tax audit and information services under the Bradley-Burns Uniform Local Sales and Use Tax Act. Subsequently, on November 6, 2018 the City’s voters approved the City’s 1% local transaction and use tax pursuant to Ordinance 1671 (commonly known as “Measure “BB”), as codified in Chapter 4.55 (Chapter 4.55) of Title 4 of the Seal Beach Municipal Code (SBMC).

In 2019, the City and HdL entered into an agreement for HdL to provide transactions and use tax management services in order to assist the City in evaluating the accuracy of Measure “BB” revenues. Pursuant to these contracts, HdL helps the City to monitor payment of sales, transactions and use taxes collected by the State of California (State) and transmitted to the City by the California State Department of Tax and Fee Administration (CDTFA) to make sure the City is obtaining all appropriate general sales tax and Measure “BB” revenues.

On November 5, 2024, Measure “GG” (as set forth in Ordinance 1714) was approved by the voters to amend Section 4.55.025 of Chapter 4.55, and thereby increasing by ½ % the City’s local transaction and use tax. The CDTFA will begin collecting the increase of ½ % tax on April 1, 2025. The State considers the

Measure “GG” Transactions Tax to be a separate data base from the sales taxes collected under the Bradley-Burns Uniform Local Sales and Use Tax Act and Measure “BB” 1% transactions tax, and therefore requires a separate resolution and agreement in connection with Measure “GG”. The City and HdL propose to combine the services already provided by HdL with respect to Measure “BB” revenues, and the additional services to be provided by HdL with respect to Measure “GG” revenues, into one professional services agreement, thereby amending the 2019 Agreement. Under the proposed Agreement, the revenues monitored from the 2018 Measure “BB” and the new revenues monitored from the 2024 Measure “GG” will hereinafter be collectively referred to as “Measure GG Services.” In accordance with the SBMC and State law, separate records will be kept by HdL and the City with respect to each ballot measure. No changes are being made to the 1991 Agreement relating to general sales tax.

Unlike sales taxes where HdL waits for a quarter to see if the State finds any errors on their own, HdL will begin examining and correcting the Measure “GG” transactions tax allocations immediately. The sooner that that the audit begins, the sooner the paying agencies come into compliance.

According to HdL, in March 2024, the CDTFA will send a letter to each taxpayer in the region informing them of the new requirement. CDTFA will also send out press releases to the media and include an article in their quarterly Tax Information Bulletin.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS:

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

FINANCIAL IMPACT:

For the first year of the Agreement, term fees of $200 per month will be billed quarterly for the transaction district reports relating to the combined Measure “GG” Services that will be included in HdL’s quarterly sales tax analysis. Upon renewal for a second one-year term, the same $200 monthly fee paid quarterly will be billed to the City. Upon renewal for a third one-year term, the fee will increase to $300 per month, paid quarterly. For a fourth renewal term or any one-year renewal term thereafter, the $300 per month fee will increase based on the percent change in the Consumer Price Index and will also be paid quarterly. Additionally, for each one-year term, there is a flat fee of 25% for any recoveries of any Measure “GG” revenue misallocated or unremitted. There is sufficient funding available in the FY 2024-25 Adopted Budget to cover the cost of three months in the current fiscal year, and this item will be budgeted appropriately in future budget cycles.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

RECOMMENDATION:

That the City Council adopt Resolution 7593:

1. Approving the Amended and Restated Master Professional Services Agreement for Measure “GG” Transaction Tax Audit & Information Services with Hinderliter, de Llamas and Associates dba HdL Companies (HdL); and,

2. Authorizing the City Manager to execute the Agreement.

SUBMITTED BY: NOTED AND APPROVED:

Barbara Arenado Patrick Gallegos
Barbara Arenado, Director of Finance Patrick Gallegos, Interim City Manager ATTACHMENTS:

A. Resolution 7593, including:

Exhibit A, Amended and Restated Master Professional Services Agreement for Measure “GG” Transactions Tax Audit & Information Services B. Agreement for Sales Tax Audit and Information Services dated October 7, 1991
C. Ordinance 1714
D. Agreement for Transactions Tax Audit and Information Services dated April 1, 2019 (Measure “BB”)
RESOLUTION 7593

A RESOLUTION OF THE SEAL BEACH CITY COUNCIL

APPROVING THE AMENDED AND RESTATED MASTER

PROFESSIONAL SERVICES AGREEMENT WITH HINDERLITER

DE LLAMAS AND ASSOCIATES DBA HDL COMPANIES, FOR

TRANSACTION TAX AUDIT & INFORMATION SERVICES
WHEREAS, the City of Seal Beach (“City”) has relied upon professional services firms to provide technical expertise for certain City operations, including services relating to municipal finance, pursuant to the authority set forth in the Seal Beach City Charter and Seal Beach Municipal Code Section 3.20.025(C); and, WHEREAS, the City has been utilizing Hinderliter, de Llamas and Associates dba HdL Companies (“Consultant”), since 1991 to assist the City in monitoring, managing and auditing sales, transactions and use taxes allocated to the City pursuant to state law and local ordinance; and,
WHEREAS, the City and Consultant are parties to an Agreement for Transactions Tax Audit and Information Services dated April 1, 2019 (hereinafter “2019 Agreement”) for Consultant to provide transactions and use tax management services to the City in connection with the 1% local transaction and use tax approved by the City’s voters on November 6, 2018, pursuant to Ordinance 1671 (Measure “BB”), as codified in Seal Beach Municipal Code (“SBMC”) Chapter 4.55; and,
WHEREAS, on November 5, 2024, the City’s voters approved Ordinance 1714, commonly known as Measure “GG”, to increase by ½% the local transaction and use tax and to thereby amend SBMC Chapter 4.55; and,
WHEREAS, the City and Consultant desire to update the 2019 Agreement for Consultant to provide transactions tax and economic analysis/forecasting services/reports and deficiency allocation reviews and recovery with respect to Ordinance No. 1714, along with the services previously approved by Measure “BB”, which such combined services shall be known collectively as “Measure GG Services”; and,
WHEREAS, pursuant to the updated agreement, Consultant’s services will assist the City in carrying out continuous monitoring, identification and correction of allocation errors and reporting deficiencies to help maximize transactions and use tax revenues allocated to the City pursuant to pursuant to SBMC Chapter

4.55, as most recently amended by Ordinance No. 1714; and, WHEREAS, an effective review program can provide for more accurate budget forecasting and financial planning; and,
WHEREAS, Consultant has the programs, equipment and personnel required to deliver the transactions and use tax related services referenced herein, to serve the needs of the City; and,
WHEREAS, the City and Consultant wish to enter into the Amended and Restated Master Professional Services Agreement for Consultant (a) to provide the City with tax and economic analysis/forecasting services/reports and deficiency allocation reviews and recovery with respect to the Measure “GG” Services pursuant to SBMC Chapter 4.55 as originally approved pursuant to Ordinance 1671 (Measure “BB”) and as most recently amended by Ordinance 1714; (b) to set an initial term of one-year and provide for one-year renewals unless timely notice of non-renewal is provided by either party; (c) to modify the compensation for the combined transactions and use tax services for each oneyear term; and (d) to supersede and replace the 2019 Agreement and any and all other prior agreements with HdL in connection with transactions and use taxes related to Measure “BB”.

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

Section 1. The City Council hereby approves the Amended and Restated Master Professional Services Agreement between the City of Seal Beach and Hinderliter, de Llamas and Associates dba HdL Companies for the performance of transaction tax audit and information services, as set forth in Exhibit “A”, attached hereto and incorporated herein by this reference, relating to SBMC Chapter

4.55 as most recently amended by Ordinance 1714.

Section 2. The City Council hereby sets an initial term of one year to commence April 1, 2025 and extend through March 31, 2026, with automatic renewal thereafter for additional one-year terms unless either party provides timely notice of non-renewal prior to the end of any one-year term.

Section 3. The City Council modifies the compensation to provide that: (a) for the initial one-year term and for the second one-year term, the City will pay Consultant the not-to-exceed sum of $200 per month billed quarterly plus 25% of Measure “GG” revenue recovered through Consultant’s audit services, for each term; (b) for the third one-year term, the City will pay Consultant the not-to-exceed sum of $300 per month billed quarterly plus 25% of Measure “GG” revenue recovered through Consultant’s audit services; and (c) for the fourth one-year term and each one-year term thereafter, the City will pay Consultant the not-to-exceed sum of $300 per month billed quarterly as adjusted by Consumer Price Index for All Urban Consumers (CPI-U) for All items in Los Angeles-Long Beach- Anaheim, CA, not seasonally adjusted, as reported by the U.S.

Bureau of Labor Statistics, plus 25% of Measure “GG” revenue recovered through Consultant’s audit services.

Section 4. The Amended and Restated Master Professional Services Agreement hereby supersedes and replaces in their entirety the 2019 Agreement and any and all other prior agreements with Consultant related to transactions and use tax services in connection with Measure “BB”.

Section 5. The City Manager is authorized to execute the Amended and Restated Master Professional Services Agreement on behalf of the City.

Section 6. The City Clerk shall certify to the passage and adoption of this resolution.

PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 9
th day of December 2024 by the following vote:

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

Schelly Sustarsic, Mayor
ATTEST:

Gloria D. Harper, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7593 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 9
th day of December 2024.

Gloria D. Harper, City Clerk

AMENDED AND RESTATED PROFESSIONAL

SERVICES AGREEMENT
for
Tax Audit & Information Services
between
City of Seal Beach
211 - 8th Street
Seal Beach, CA 90740
&
Hinderliter De Llamas and Associates dba HDL Companies
120 S. State College Blvd. Suite #200
Brea CA 92821
(714) 879-5000

THIS AMENDED AND RESTATED MASTER PROFESSIONAL SERVICES AGREEMENT (the Agreement made as of December 9, 2024, Effective Date between Hinderliter De Llamas and Associates, a California corporation, dba HDL Companies Consultant the collectively the Parties
Party ).

RECITALS
WHEREAS, Consultant is engaged in the business of providing consulting, software and other services that help public agencies understand and maximize their collection of sales, use and transactions taxes, business license taxes, property and lodging taxes, and other revenues, as well as their delivery of ; and,
WHEREAS, City and Consultant are parties to an Agreement for Transactions Tax Audit and 2019 Agreement
transactions and use tax management services to City in connection with the 1% local transaction and ovember 6, 2018, pursuant to Ordinance 1671 (Measure
SBMC

WHEREAS
al transaction and use tax and to thereby amend
SBMC Chapter 4.55; and
WHEREAS, City and Consultant desire to update the 2019 Agreement for Consultant to also provide transactions tax and economic analysis/forecasting services/reports and deficiency allocation reviews and recovery with respect to Ordinance No. 1714, in addition to the services previously Measure
GG Services ; and,
WHEREAS, Consultant represents that it is fully qualified and able to provide City with such combined professional services by virtue of the training, education and expertise of its principals and employees; and
WHEREAS, City desires to retain Consultant as an independent contractor and Consultant desires to contract with City to render such ervices upon the terms and conditions contained in this Agreement.

NOW THEREFORE, in consideration of the covenants and promises contained herein, City and Consultant mutually agree as follows:

1. Services.

1.1 Consultant will perform those services included within are described in
supplemented by any and all schedule(s) referencing this Agreement and signed by City and Consultant as of the Effective Date or hereafter (individually and (s) , upon the terms and conditions contained in this Agreement (including the Schedules) (such services are, c .

1.2 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. City relies upon the skill of Consultant, and

manner Consultant
shall, at all times, meet or exceed any and all applicable professional standards of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City. City shall not operate as a release of Consultant from such standard of care and workmanship.

1.3 In performing the Services, Consultant shall comply with all applicable provisions of federal, state, City ordinances, and other local laws.

1.4 City acknowledges and agrees that any other public agency (including, without limitation, any participating government agency) located within or outside of the State (e.g., city, municipality, county, district, public authority or other political subdivision) may procure services for fees and other terms and conditions that are substantially similar to any of the Services, Fees and other terms and conditions set forth in this Agreement, provided that such other public agency executes a separate agreement with Consultant wherein the services rendered to such other public agency, the fees payable by such other public agency, and the other terms and conditions of such separate agreement are the responsibility of Consultant and such other public agency and not City.

1.5 This Agreement does not limit the right of Consultant to enter into additional contracts with City or to contract with third parties to provide them with merchandise or services of any kind whatsoever, including, but not limited to, services similar to the Services. This Agreement also does not limit the right of City to enter into additional contracts with third parties to provide the City with any kind of services, including, but not limited to, services similar to the Services set forth in this Agreement. City

1.6 In performing the Services, Consultant is an independent contractor and not an employee of City. The following provisions shall apply:

1.6.1 All work or other Services provided pursuant to this Agreement shall be City-approved
Consultant will determine the means, methods, and
detail
perform the Services. Consultant shall be solely responsible for the satisfactory work performance of all Consultant directors, officers, employees and subcontractors engaged in performing the Services and their compliance with the customary professional standards.

1.6.2 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. officers, employees and/or approved subcontractors. Consul and/or approved subcontractors shall not wear or display any City uniform, badge, identification directors, officers, employees and/or approved subcontractors 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 required by Consultant to perform any of the Services in the performance of this Agreement.

(a) as otherwise required for the performance of Services on City real property, facilities, vehicles or equipment; (b
officers, employees and/or approved subcontractors to receive projects from City, review plans on under this Agreement, or (c) 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 information pertaining to the Services under this Agreement.

1.6.3 In addition to all other provisions of this Agreement, Consultant shall be responsible for and pay all compensation, wages, salaries, benefits and other amounts due to performance of any Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such directors, officers, employees and/or approved subcontractors, 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 its directors, officers, employees, agents, servants, and subcontractors providing any of the Services under this Agreement shall not become entitled to, and hereby waive any claims to, any compensation, 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 or employer
contributions or employee contributions for PERS benefits.

1.6.4 Consultant shall defend, indemnify and hold harmless City. its elected and appointed officials, officers, employees, agents, servants, volunteers, and those City agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, personnel practices. or to the extent arising from, caused by or relating to the violation of any of the provisions of this Section 1.6. 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 reimbursement or indemnification arising under this Section. indemnification are i and indemnification set forth in any other provision of this Agreement.

1.7 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 as follows:

1.7.1 In providing its directors, officers, employees and subcontractors to City to perform any work or other Services under this Agreement, Consultant shall assure compliance with ), commencing at Government Code § 20000, as
PERS, as amended from time to time. 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.

1.7.2 To the maximum extent permitted by law, Consultant shall defend, indemnify and hold harmless City, its elected and appointed officials, officers, employees, agents, servants, volunteers, and those City 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, of this Section 1.7. This duty of
indemnification is set forth in any
other provision of this Agreement.

2. Fees.

2.1 As compensation for performing the Services, City will pay Consultant the fees, costs and expenses as described in Exhibit A ( ), attached hereto and incorporated herein by this reference, and as may be set forth in the Schedules (individually and collectively these fees and costs are, . Consultant may perform the Services using professionals from its staff; or, subject to all terms and conditions of this Agreement, Consultant may perform the Services using professionals from Consultant affiliated entities, if such subcontracting is approved in advance by City, and any such subcontracted Services will be invoiced to City under the same terms applicable to staff. Consultant may increase the Fees for Transactions Tax and Economic Analysis/Forecasting Services/Reports only in accordance with Section 4 of Exhibit A.

Fees for Allocation and Audit Recovery Services, as set forth in Section 5 of Exhibit A, shall not be increased by Consultant during any Term of this Agreement. Consultant may raise other fees from time to time (including as may be described in any of the Schedules, but subject to the limitations of this Section 2.1). Other than a Fee increase as described in the Schedules, City may notify Consultant of a request that such Fee increase be modified or revoked and, if Consultant fails to do so to City satisfaction within thirty (30) days after the receipt of such request, City may terminate this Agreement without cause pursuant to Section 7.3, without penalty.

2.2 Fee 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
conclusion of the last fiscal year in which City appropriates sufficient funds and shall automatically terminate at the conclusion of such fiscal year

7.5. 3. Billing: Payment.

3.1 Consultant will bill City for the Fees earned and/or incurred by Consultant pursuant to this Agreement by submittal of invoices sent to City.

3.2 Invoices are due and payable upon receipt. Interest will begin to accrue on the thirtyfirst (31st) day following the invoice on all unpaid balances at a rate of one and one-half percent (1½%) per month, or the maximum rate permitted by law, whichever is less.

Payments will first be credited to interest and then to principal. In the event that City disputes or

otherwise contests an invoice, only that portion so contested in good faith will be withheld from payment, and the uncontested portion must be timely paid. Interest will accrue on any contested portion of the invoice not timely paid and will be payable immediately if the contested invoice is resolved in favor of Consultant.

3.3 If City fails to fully pay an invoice within thirty (30) days after the the invoice, Consultant may, after giving five (5) days prior written notice to City, suspend the rendering of Services under this Agreement until said invoice is paid in full, together with all interest that has accrued thereon. In the event of such a suspension of Services, Consultant will have no liability to City for any delays or damages arising therefrom.

4. Insurance. Throughout the term of this Agreement, Consultant will maintain the following insurance in not less than the referenced amounts and containing the following provisions:

4.1 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:

4.1.1 Commercial General Liability Insurance: Consultant shall maintain limits no less than $1,000,000 per occurrence for bodily injury, death, 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, servants, and other persons necessary or incidental to its operation are insureds.

4.1.2 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).

4.1.3 : Consultant shall maintain limits no less
than the amount required by law;
$1,000,000 per accident and in the aggregate for bodily injury or disease.

4.1.4 Professional Liability (or Errors and Omissions) Liability Insurance:

Consultant shall maintain professional liability (or errors and omissions liability) insurance that covers the Services to be performed in connection with this Agreement, with minimum limits of $1,000,000 per claim/aggregate. Any policy inception date, continuity date, or retroactive date must be before the Effective Date of this Agreement.
shall be endorsed to provide an extended reporting period of not less than three years.

4.1.5 Cyber Security & Privacy Liability Insurance: Consultant shall procure and maintain Cyber Security and Privacy Liability insurance with limits of $1,000,000 per occurrence and $2,000,000 general aggregate which shall include the following coverage:

(a) Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information; including credit monitoring and regulatory fines arising from such theft, dissemination, or use of confidential information. (b) Network security liability arising from the unauthorized use of, access to, or tampering with computer systems, including hacker or denial of service attacks. (c) Liability arising from the failure of technology products (software) required under the contract for Service Provider to properly perform the services intended. (d) Electronic Media Liability arising from personal injury, plagiarism or misappropriation of ideas, domain name infringement or improper deep-linking or framing, and infringement or violation of intellectual property rights.

4.2 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 City.

4.3 Additional Insureds:

4.3.1 For general liability insurance, City, its elected and appointed officials, officers, employees, agents, servants, 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 services or operations performed by or on behalf of the Consultant, including materials, parts or equipment furnished in connection with such work.

4.3.2 For automobile liability insurance, City, its elected and appointed officials, officers, employees, agents, servants, 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.

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

4.4 The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by City to state: (i) coverage shall not be suspended, voided, reduced or canceled except after 30 days (or ten days for nonpayment) prior written notice by certified mail, return receipt requested, has been given to City; and (ii) 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, servants, volunteers, and those City agents serving as independent contractors in the role of City officials;

4.5 Coverage shall be primary insurance as respects City, its elected and appointed officials, officers, employees, agents, servants, volunteers, and those City 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 City, its elected and appointed officials, officers, employees, agents, servants, volunteers and those City 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;

4.6 Each insurance policy 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, servants, volunteers and those City agents serving as independent contractors in the role of City officials.

4.7. Any deductibles or self-insured retentions shall be declared to and approved by City.

Consultant guarantees that, at the option of City, either: (i) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City, its elected and appointed officials, officers, employees, agents, servants, volunteers and those City agents serving as independent contractors in the role of City officials; or (ii) Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses.

4.8 Each insurance policy required
right of subrogation against City, its elected and appointed officials, officers, employees, agents, servants, volunteers and those City agents serving as independent contractors in the role of City officials. Consultant hereby waives its own right of recovery and all rights of subrogation against City; and shall require similar express written waivers from any subcontractor.

4.8 Consultant acknowledges and agrees that any actual or alleged failure on to inform Consultant of non-compliance with any insurance requirement does not impose additional obligations on City, nor does it waive any rights hereunder.

4.10 If Consultant does not maintain the policies of insurance required under this Section 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 promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant.

4.11 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 All certificates and endorsements shall be
received and approved by City before work commences. City also 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.

4.12 Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type.

4.13. No representation is made that the minimum insurance requirements of this Agreement are sufficient to cover the obligations of Consultant under this Agreement. Consultant may also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Services. 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.

4.14 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 except Consultant agrees to monitor and review all
such coverages and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this Section. Consultant agrees to submit all agreements with consultants, subcontractors, and others engaged in the Services upon

4.15 Contractor shall give City prompt and timely notice of demands or claims made or that involve or may involve coverage under any of the required insurance policies.

5. City Support.

5.1 City will promptly provide in writing to Consultant all data and other information reasonably available to City relating to or which may be necessary for Consultant the Services. Without limiting the foregoing, City will keep Consultant informed on a timely basis in writing as to the existence and amendments of the City ordinances and/or regulations under which Consultant is performing the Services. Consultant will be permitted to rely on the accuracy, timeliness and completeness of the information provided by City, and in no event will Consultant be liable to City or others as a result of such reliance. Notwithstanding the foregoing, Consultant shall be responsible to inform itself of and comply with any and all state and federal laws under which Consultant is performing the Services (including any adopted by City).

5.2 City will examine all of Consultant schedules, reports, specifications, notices, proposals and other routinely requested information or other documents. In the event that a decision from City is required in order for Consultant to perform the Services, City will render such decision in writing in a timely manner.

5.3 commencement of any Services under this Agreement, City will adopt and maintain in full force and effect a resolution in a form acceptable to the California Department of Tax and Fee Administration (CDTFA) and in accordance with applicable law authorizing Consultant to examine the confidential sales tax and other relevant records of City throughout the Term and, for so long as any Fees are still accruing pursuant to this Agreement, after the Term.

5.4 Consultant shall be responsible for obtaining and maintaining all licenses, permits and approvals as may be required by law for performing the Services at their sole cost, including but not limited to a City of Seal Beach business license..

6. Confidentiality; Software Use and Warranty; Records.

6.1 Consultant will comply with the requirements of the applicable laws, ordinances and/or regulations City concerning the confidentiality of tax records. Consultant may publicly state that it performs Services for City.

6.2 ,
techniques, processes, services or material that has or could have commercial value or other utility for Consultant or Business, including without limitation, (i) software, computer or data processing programs; (ii) data processing applications, routines, subroutines, techniques or systems; (iii) desktop or web-based software; (iv) audit, tax or fee collection/administration or business processes, methods or routines; (v) marketing plans, analyses and strategies; (vi) materials, techniques and intellectual property used documentation.
include any processes, methods or routines required by CDTFA, City ordinance or regulation, and/or any other federal, state or local law required to be used in the performance of the Services. Except as otherwise required by law, including but not limited to any disclosures required by the California Public Records Act, the federal Freedom of Information Act, subpoena or court order, City must hold in confidence and may not use (except as expressly authorized by this Agreement) or disclose to any other party any proprietary information provided, learned of or obtained by City in connection with this Agreement. The terms of this Section 6.2 do not apply to information that is public information.

6.3 If access to any software which Consultant owns is provided to City as part of the Services under this Agreement (including, without limitation, if City chooses to subscribe to such software and/or related reports option as part of the Services ) (such Consultant- Software
non-exclusive, non-transferable license to City (for the use by those members of City be designated from time to time by City and approved by Consultant in writing) to use the Software pursuant to and during the Term of this Agreement.

6.4 The Software must only be used by such authorized City staff, and City must not sublicense, sublet, duplicate, modify, decompile, reverse engineer, disassemble, or attempt to derive the source code of the Software. The license granted hereunder does not imply ownership by City or any of City City or any of City
or sell the Software, or rights to use the Software for the benefit of others. City may not create (or allow the creation of) any derivative work or product based on or derived from the Software, nor modify (or allow the modification of) the Software without the prior written consent of Consultant.

In the event of a breach of this pro
modification, derivative work or product based on the Software is hereby deemed assigned to Consultant. Upon termination of this Agreement or this Software license, this Software license will be deemed to have expired, and City must immediately deactivate, cease using and remove, delete and destroy all the Software (including, without limitation, from City Consultant warrants that the Software will perform in accordance wi documentation.

6.5 Notwithstanding anything to the contrary in this Agreement (including any Schedule hereto), if access to any software which Consultant does not own is provided to City as part of the Services pursuant to this Agreement (including pursuant to any Schedule hereto), Consultant prior to or concurrently with providing City with such software; and City hereby agrees (i) to comply with all of the terms and conditions imposed on City
limitation, by Consultant, , and pursuant to applicable law), and (ii) Consultant has no obligation during the Term of this Agreement or thereafter to provide City with access to such software.

6.6 All documents, preliminary drafts, communications and any and all other work product related to the Services and provided by Consultant to City either in hard copy or electronically are the property of City . City property does not include the Software or any other software, any programs, any methodologies or any systems used in the creation of such work product (except to the extent such methodologies are established and/or required by any City ordinance or regulation), nor does City property include any drafts, notes or internal communications prepared by Consultant in the course of performing the Services that were not otherwise provided to City in either hardcopy or electronic form, all of which may be protected by Consultant or third party copyrights or other intellectual property exclusive
property (as the case may be). It is possible that any documents, drafts, communications or other work product provided to City may be alleged to be public records under applicable law and/or may be discoverable through litigation.

6.7 Subject to applicable law, Consultant shall retain all final documents and other final work product related to the Services for a period that is the latest of any of the following: (i) not less than three (3) years from the date such final documents and other final work product are provided to City; or (ii) not less than three (3) years after termination of this Agreement; or (iii) not less than such period of time longer than either such three-year period as required by applicable federal or state law. Retention of any other documents, preliminary drafts, communications and any and all other work product provided to City by Consultant is the responsibility of City. Consultant has no responsibility to retain any drafts, notes, communications, emails or other writings created or received by City in the course of performing the Services (other than the final documents and other final work product related to the Services and provided to City for the term of years referenced above).

7. Term and Termination.

7.1 The initial term of this Agreement commences as of April 1, 2025, and will continue in effect until twelve (12) months from such date to and including March 31, 2026 (the ), unless sooner terminated earlier as provided in this Agreement. This Agreement will automatically renew for successive twelve (12) month terms unless earlier terminated as set forth in Section 7.2, 7.3, 7.4, or 7.5, or either party gives the other party written notice of non-renewal at least one hundred twenty (120) days prior to the expiration of the then-current term ( and, collectively, together with the Initial Term, the ).

7.2 Notwithstanding any other provision of this Agreement, this Agreement may be terminated by either party for cause upon not less than forty-five (45) days prior written notice given to and received by the other party, if the other party has materially breached this Agreement and fails

to (i) commence correction of such material breach within thirty (30) days of receipt of the abovereferenced written notice and (ii) diligently complete the correction thereafter.

7.3 In addition, and notwithstanding any other provision of this Agreement, City may if Consultant fails to provide
satisfactory evidence of renewal or replacement of comprehensive general liability insurance or cyber security & privacy liability insurance as required by this Agreement at least twenty (20) days before the expiration date of the previous policy.

7.4 In addition, and notwithstanding any other provision of this Agreement, either party may terminate this Agreement without cause, upon not less than one hundred twenty (12 prior written notice to the other party.

7.5 In addition, and notwithstanding any provision of this Agreement, Consultant understands and agrees that City is a California public entity and is subject to the California Constitutional Debt Limit restriction. During any fiscal year during the Initial Term or any Renewal Term, should City City Council fail to appropriate sufficient funding for this Agreement for the following fiscal year, then City may terminate this Agreement without penalty or payment acceleration of any kind by providing Consultant with not less notice of termination.

7.6 On termination as provided herein, City will pay Consultant for the value of all Services performed through the termination date less payments previously paid by City, to which Consultant may be entitled pursuant to this Agreement (including any applicable Schedules hereto).

In ascertaining the value of the Services performed up to the date of termination, consideration shall be given to amounts due for any unpaid invoices, and to businesses identified by Consultant which City receives said tax payments for such businesses, Consultant shall be paid the audit fees resulting from tax payments made by the business for back quarter reallocations. Compensation for any audit work previously authorized and satisfactorily performed shall be made at the times provided in Section 2, the Fees sections of Exhibit A, and/or any applicable Schedule.

8. Indemnification.

8.1 Indemnification by City. City shall, at its sole cost and expense, protect, defend, hold harmless and indemnify Consultant, its directors, officers, and employees the damages, costs, expenses, liabilities, claims,
demands, causes of action, proceedings, judgments, penalties, bid protests, stop notices, liens or losses of any nature whatsoever, including but not limited to fees of accountants, attorneys and other Liabilities to the extent arising out
of, caused by or relating to any of the following: (i
Title 4 of the Seal Beach Municipal Code, or any provision thereof, or to any other City ordinance, regulation, policy or practice; (ii) any violation of Chapter 5.44, or any other City ordinance, regulation policy, or practice, by City or any of its officials, employees, agents and/or independent contractors; (iii) any acts or failure to act with due care by City and/or any of its officials, employees, agents and/or independent contractors in reliance upon or pursuant to Chapter 5.44 or any other City ordinance, regulation, policy or practice; (iv) any acts or failure to act by Consultant, or any of its directors, officers, or employees in reasonable reliance upon any directions or instructions by City or

officials, employees, agents, or independent contractors; or (v) to the extent arising out of, in connection with or relating to the sole active or passive negligence, recklessness or willful misconduct of City or any of its officers, officials, employees, agents, or independent contractors.

Notwithstanding the foregoing or any other provision of this Agreement, in no event shall City have the obligation to defend or indemnify the Consultant Group or any member thereof for any of the following:

8.1.1 Lost revenues or lost profits, or any special, incidental, or consequential damages of any nature whatsoever, even if such restrictions deprive one or more remedies of their essential purpose; and

8.1.2 Punitive or exemplary damages claimed or awarded against the Consultant Group or any member thereof.

8.1.3 These damage exclusions are independent of any remedies provided for in this Agreement or as otherwise authorized by law.

8.2 Indemnification by Consultant. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, defend, hold harmless and indemnify City, its elected and appointed officials, officers, attorneys, employees, agents, servants, volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively causes of action, proceedings, judgments, penalties, bid protests, stop notices, liens or 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 but not limited to, bodily injury, death, personal injury and property damage, in any manner arising out of, claimed to arise out of, pertaining to, or relating to the breach of this Agreement or any provision or term of this Agreement, and/or any acts, errors, omissions, negligence or willful misconduct of Consultant, its officers, directors, agents, servants, employees, contractors, subcontractors, materialmen, or suppliers, or their officers, agents, servants or employees (or any entity or individual for whom Consultant shall bear legal liability) in the performance of the Services and/or this Agreement, except to the extent the Claims arise from the sole negligence or willful misconduct of the City Group as determined by final arbitration or court decision or by the agreement of the Parties. Consultant shall defend the City Group in any action or actions filed in connection with any Claims with counsel reasonably acceptable to the choice, and shall pay all with such defense. Consultant shall reimburse the City Group for any and all legal expenses and costs incurred by the City Group in connection therewith. Notwithstanding the foregoing or any other provision of this Agreement, in no event shall Consultant have the obligation to defend or indemnify the City Group or any member thereof for any of the following:

8.2.1 Lost revenues or lost profits, or any special, incidental, or consequential damages of any nature whatsoever, even if such restrictions deprive one or more remedies of their essential purpose; and

8.2.2 Punitive or exemplary damages claimed or awarded against the City Group or any member thereof.

8.3 8.1.3 These damage exclusions are independent of any remedies provided for in this Agreement or as otherwise authorized by law.

8.4 Subcontractor Indemnification. s subcontracting of
any of the Services under this Agreement, Consultant shall obtain executed indemnity agreements with provisions identical to those in Section 8.2 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 indemnity agreements, Consultant shall be fully responsible and indemnify, hold harmless and defend the City Group from and against any and all Claims in law or equity, whether actual, alleged or threatened, arising out of, are claimed to arise out of, pertaining to, or relating to, the breach of this Agreement, any acts, errors, omissions, negligence or willful or other person or entity, and its officers, agents, servants, employees, materialmen, contractors, and/or subcontractors, or their officers, agents, servants or and/or such other person
or individual shall bear legal liability) in the performance of the Services or this Agreement, except to the extent the Claims arise from the sole negligence or willful misconduct of the City Group as determined by final arbitration or court decision or by the agreement of the Parties.

8.5 Settlement Approval.

8.4.1 City
or consent to the entry of any judgment in any pending or threatened claim, action, or proceeding or investigation in respect of which indemnification could be sought hereunder (whether or not any of the Consultant Group is an actual or potential party to such claim, action or proceeding or investigation), unless such settlement, compromise or consent includes an unconditional release of Consultant.

8.4.2 Consultant will not, without City prior written consent, settle, compromise or consent to the entry of any judgment in any pending or threatened claim, action, or proceeding or investigation in respect of which indemnification could be sought hereunder. Notwithstanding any other p
payment of any City funds of any kind as part of any settlement, compromise or consent to the entry of any judgment with respect to any pending or threatened claim, action, or proceeding or investigation in respect of which indemnification could be sought hereunder.

8.6 provision of this Agreement, shall not be limited by the provisions of any 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.

8.7 City does not, and shall not, waive any rights that it may possess against Contractor 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 owed by Consultant

in this Section shall apply regardless of whether or not any insurance policies are determined to be applicable to the Liabilities asserted against City or any of the other City Group.

9. Liability Limitations; Governing Law; Dispute Resolution.

9.1 Subject to Sections 1.6, 1.7, 4 and 8 of this Agreement:

9.1.1 Except as may otherwise be expressly set forth in this Agreement, Consultant makes no warranty of any kind with respect to the Services or the Software, express or implied.

Consultant hereby disclaims all other warranties, express or implied, including the implied warranties of merchantability, fitness for a particular purpose, title and non infringement. Consultant disclaims all warranties and responsibility for third party software.

9.1.2 Consultant acknowledges industry recognition in data security standards, and shall comply with (a) NIST SP800-53 for data at rest, in transit, and/or in use; and (b) NIST SP800- 88; (c) or any successor standard thereto. Any and all cloud-based storage shall be conducted in the continental United States and compliant with or exceeding the security standards set forth in ISO/IEC 27001 -27018. Use of Amazon Web Services or Microsoft Azure cloud storage shall be deemed to satisfy this requirement.

9.2 The law of the State will govern the validity of this Agreement, its interpretation rules. Venue for any legal action arising out of this Agreement will be proper only in the State courts or the federal courts located within the County of Orange, California. The parties hereby submit to the exclusive jurisdiction of such courts and waive any other venue to which either party might be entitled by domicile or otherwise.

9.3 If either party commences an action against the other party, either legal, administrative, or otherwise, to enforce its rights under this Agreement or as the result of a breach of this Agreement by the other party, the prevailing party in such litigation shall be entitled to have and recover from the non-prevailing party a costs and expenses incurred in connection therewith.

10. General Legal Provisions.

10.1 Authorization to Proceed. Each Schedule must be signed by both City and Consultant before such Schedule will be binding on the parties hereto.

10.2 Prohibited Interests; Conflict of Interest.

10.2.1 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.

10.2.2 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.

10.2.3 Consultant warrants and maintains that it has no knowledge that any officer or employee of City has any interest, whether contractual, non-contractual, 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.

10.3 Audit and Inspection 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, 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 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 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.

10.4 Force Majeure. Neither party shall be responsible for damages or delay in performance caused by acts of God, acts of the public enemy, fires, floods, earthquakes or other casualty event, strikes, labor stoppages or slowdowns, accidents, epidemics, pandemics or other health emergencies, or other events beyond the reasonable control of such party. Each party shall advise the other party promptly in writing in accordance with Section 10.13 (Notice) of this Agreement of each such excusable delay, its cause, and its expected delay, and shall upon request update such advice and information.

10.5 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 -insurance in accordance
with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.

10.6 Non-Discrimination and Equal Employment Opportunity. Consultant affirmatively represents that it is an equal opportunity employer. In the performance of this Agreement, Consultant covenants that it shall not discriminate, harass or retaliate against any of its employees, applicants for employment, contractors, or subcontractors because or on account 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, military or veteran status, or any other basis prohibited by law. Consultant further covenants that in the performance of this Agreement, Consultant shall not discriminate, harass or retaliate against City, its elected or appointed officials, officers, employees, agents, servants, volunteers, those City agents serving as independent contractors in the role of City officials, consultants, contractors, or subcontractors on any basis prohibited by law.

10.7 Amendment. Any provisions of this Agreement (including, without limitation, any Schedules or provisions within any Schedules) may be amended or terminated only by a written instrument signed by both City and Consultant.

10.8 Waiver. No waiver by any party of any default, misrepresentation or breach of warranty or covenant hereunder, whether intentional or not, will be deemed to be valid unless acknowledged by such party in writing, and such waiver will not extend to any prior or subsequent default, misrepresentation or breach of warranty or covenant hereunder or affect in any way any rights arising by virtue of any prior or subsequent such occurrence.

10.9 Severability. If any provision in this Agreement is held illegal, invalid or unenforceable, the enforceability of the remaining provisions will not be impaired thereby.

10.10 Survival. Notwithstanding any other provisions of this Agreement (including, without limitation, Section 7), Sections 1.6, 1.7, 3, 4, 5.5, 6, 7, 8, 9 and 10 will survive the termination of this Agreement.

10.11 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.

10.12 Assignment. Consultant shall not assign this Agreement, or any of its rights, obligations or interest in this Agreement, in whole or in part, without the prior written consent of City, which may be withheld for any reason. Any unauthorized assignment is void and unenforceable, and shall entitle City to terminate this Agreement. This Agreement is binding on the successors and assigns of the parties hereto. Notwithstanding anything to the contrary, Consultant may, from time to time, subcontract with one or more third parties to provide certain of the Services (including, but not limited to, as may be set forth in one or more of the Schedules), subject to (i) consent; (ii) the Conflict of Interest/Prohibited Interests provisions of Section 10.2; and (iii) such third written agreement to comply with all terms and provisions of this Agreement. Any approved subcontractor shall be subject to all Fee limitations set forth in this Agreement, Exhibit A and any applicable Schedule.

10.13 Notices. All notices under this Agreement must be in writing and will be deemed to have been given when such notice is received (i) from United States Postal Service First Class Certified Mail, Return Receipt Requested, (ii) by courier service, or (iii) by email; provided, however,

that notices received on a weekend or holiday or on a business day after 4:00 p.m. local time will be deemed to have been received on the next business day. Notices will, unless another address is specified in writing, be sent to the addresses indicated below (each of which must include a street address and an email address): Consultant: HdL Companies Attn: Maria Soto-Sanchez, 120 S. State College Boulevard, Suite #200, Brea, CA 91821; and City: City of Seal Beach, Attn: Director of Finance. 211 Eighth Street, Seal Beach, CA 90740.

10.14 Agreement Documents. The Agreement Documents include this Agreement, and any completed
Transaction Tax Audit Work Authorization Form in the form set forth in Exhibit B, and mutually agreed to in writing by City and Consultant; (iii) any Schedules attached hereto or subsequently mutually agreed upon in writing between City and Consultant; and (iv) any amendments to this Agreement as mutually agreed upon in writing between City and Consultant. Exhibit A, Exhibit B, all attached Schedules, any mutually agreed-upon Schedules hereafter executed between the Parties, and any mutually-agreed upon Work Authorization Forms are incorporated herein by this reference as through set forth in full.

10.15 Order of Precedence. In the event of any inconsistency of conflict between this Agreement and any of the other Agreement Documents as defined in Section 10.13, the order of precedence shall be as follows: (i) this Agreement; and then (ii) Exhibit A; and then (iii) any completed Work Authorization Form consistent with Exhibit B that are mutually executed in writing by City and Consultant; and then (iv) any Schedule mutually agreed upon in writing by City and Consultant, shall control. In the event there is any inconsistency or conflict between the Agreement, on the one hand, and Exhibit A, any completed Work Authorization Form consistent with Exhibit B and mutually executed in writing by City and Consultant, and/or any Schedule mutually agreed upon in writing by City and Consultant, on the other hand, the provisions of this Agreement shall take precedence.

10.16 Entire Agreement. This Agreement and the other Agreement Documents as described in Section 10.13, constitutes the entire agreement between the Parties with respect to the subject matter hereof, and supersedes the Agreement for Transactions Tax Audit and Information Services dated April 1, 2019 and also supersedes any and all other prior understandings, agreements, or representations by or between the Parties, written or oral, to the extent they relate in any way to the subject matter hereof.

10.17 Counterparts; Electronic Signatures. This Agreement may be signed in any number of counterparts, each of which will constitute an original and all of which, when taken together, will constitute one agreement. Any signed signature pages of this Agreement transmitted by email or other electronic means in a portable document format (PDF) or other clear and visible electronic format will have the same legal effect as an original.

10.18 Authority to Sign. Each of the persons signing on behalf of a party hereto represents that he or she has the authority , and that by his or her execution, each party is formally bound to the provisions of this Agreement.

10.19 No Adverse Construction. Both parties acknowledge having had the opportunity to participate in the drafting of this Agreement. This Agreement will not be construed against either party based upon authorship.

10.20 Headings. The section headings contained in this Agreement are inserted for convenience only and will not affect in any way the meaning or interpretation of this Agreement. [Signatures are on the next page]

IN WITNESS WHEREOF, the parties hereto have entered into this Agreement through their duly authorized representatives as of the Effective Date.

CONSULTANT:

Hinderliter de Llamas and Associates, a
California corporation
By:

Print Name:

Title:

By:

Print Name:

Title:

CITY:

City of Seal Beach, a charter city
By:

City Manager
[Any Schedule or Schedules may (but is/are not required to) be attached hereto]

EXHIBIT A

SERVICES
Definitions: As used in this Exhibit A, the following terms shall have the following meanings:

A. means and includes all of the following:
1) Transactions and use tax management services provided in connection with the 1% local O codified as the City of Seal Beach Transactions and Use Tax Ordinance of 2018 in Chapter 4.55 of Title 4 of the Seal Beach Municipal Code ; and
2) Transactions tax and economic analysis/forecasting services/reports and deficiency allocation reviews and recovery services provided in connection with the ½% increase in the local transaction and use tax, as November 5, 2024, pursuant to Ordinance No. 1714, amending Section 4.05.35 of Chapter 4.55 of Title 4 of the SBMC.

B. CDTFA means the California Department of Tax and Fee Administration.

C. City or District means the City of Seal Beach.

D. Consultant means Hinderliter De Llamas and Associates, a California corporation, dba HDL Companies.

1. Transactions Tax and Economic Analysis/Forecasting Services/Reports

1.1. Consultant shall establish a database containing all applicable CDTFA registration data for each GG t account. Said
database shall also identify the quarterly transactions and use tax allocations under each account for the most current and previous quarters where available.

1.2 Consultant shall provide updated reports each quarter identifying changes in allocation totals by individual businesses, business groups and by categories. Quarterly aberrations due to State audits, fund transfers, and receivables, along with late or double payments, will also be identified. Quarterly reconciliation worksheets to assist finance officer with budget forecasting will be included.

1.3. Consultant shall advise and work with City Staff on planning and economic questions related to maximizing revenues, preparation of revenue projections and general information on transactions and use tax questions.

1.4. Consultant shall make available to City GG
database containing all applicable registration and quarterly allocation information for City business outlets registered with the CDTFA. The database will be updated quarterly.

2. Deficiency/Allocation Reviews and Recovery

2.1. Consultant shall conduct on-going reviews to identify and correct unreported transactions and tax payments and distribution errors thereby generating previously unrealized revenue for City. Reviews shall include:

2.1.(a) Comparison of county-wide local tax allocations to transactions tax for brick and mortar stores and other cash register-based businesses, where clearly all transactions are conducted on- GG

2.1.(b) Review of any significant one-time use tax allocations to ensure that there is corresponding transaction tax payments for taxpayers with nexus within City boundaries.

2.1.(c) Review of state-wide transactions tax allocations and patterns to identify any obvious errors and omissions.

2.1.(d) Identification and follow-up with any potentially large purchasers of supplies and equipment (e.g. hospitals, universities, manufacturing plants, agricultural operations, refineries) to

ensure that their major vendors are properly reporting corresponding transactions tax GG

2.2. Consultant will initiate, where the probability of an error exists, contacts with the appropriate taxpayer management and accounting officials to verify whether current tax receipts accurately reflect the local sales activity. Such contacts will be conducted in a professional and courteous manner so as to enhance City relations with the business community.

2.2.Consultant shall prepare and submit to the CDTFA all information necessary to correct any allocation errors and deficiencies that are identified and shall follow-up with the individual businesses and the CDTFA to ensure that all back quarter payments due City are recovered.

3. Consulting and Other Optional Services
limitation, regarding (i) technical questions and other issues related to sales, use and transactions tax, (ii) utilization of reports to enhance business license collection efforts, (iii) sales tax projections for proposed annexations, economic development projects and budget planning, (iv) negotiating/review of tax sharing agreements, (v) establishing purchasing corporations, (vi) meeting with taxpayers to encourage selfassessment of tax obligations, and (vii) other sales, use or transactions tax revenue-related matters.

FEES

4. Transactions Tax and Economic Analysis/Forecasting Services/Reports

4.1. Fees shall be paid as follows:

4.1.1 For the first one-year term commencing April 1, 2025 and, upon renewal, for the second one-year term commending April 1, 2026, $200 per month, for the transaction district tax reports that Consultant includes with the quarterly sales tax analyses for each such term.

4.1.2 Upon renewal, for the third one-year term commencing April 1, 2027, $300 per month, billed quarterly, for the transaction district tax reports that Consultant includes with the quarterly sales tax analyses for such term.

4.1.3 Upon renewal, for the fourth one-year term commencing April 1, 2028, and each and for each one-year renewal term thereafter, $300 per month, billed quarterly, as adjusted by Consumer Price Index for All Urban Consumers (CPI-U) for All items in Los Angeles-Long Beach-Anaheim, CA, not seasonally adjusted, as reported by the U.S. Bureau of Labor Statistics for the transaction district tax reports that Consultant includes with the quarterly sales tax analyses for each such term. The increase in CPI shall be based on the change in CPI most recently reported by the Bureau of Labor Statistics over for the immediately 12 month period extending backwards from the previous most recent April 30th through to the previous April 30th.

4.2. For the Initial Term and each one-year renewal term, the monthly fee shall be invoiced quarterly in arrears and shall be paid by City no later than 30 days after receipt of the invoice.

5. Allocation and Audit Recovery Services

5.1. For the Initial Term and for each one-year renewal term, Fees shall be paid 25% of the initial amount of new transactions or use tax revenue received by City because of audit and recovery work performed by Consultant, (hereafter referred to as "audit fees"). New revenue shall not include any amounts determined and verified by City or Consultant to be increment attributable to causes other than Agreement. In the event that Consultant is responsible for an increase in the tax reported by businesses already properly making tax payments to the City, it shall prior to the application of the audit fee. Said audit fees will apply to state fund transfers received for those specific quarters identified as being missing and/or deficient following completion of the audit

by Consultant and confirmation of corrections by the California Department of Tax and Fee Administration but shall not apply prospectively to any future quarter. Consultant shall provide City with an itemized quarterly invoice showing all formula calculations and amounts due for audit fees.

5.2. Consultant shall obtain prior approval from City for each specific business for which payment of audit fees will be expected. Said approval shall be deemed given when the City Manager or his/her designated representative, signs a Work Authorization form, a copy of which is attached as Exhibit B. City shall pay audit fees upon Consultant's submittal of evidence of State fund transfers and payments to City from businesses identified in the audit and approved by City.

5.3. The above sum shall constitute full reimbursement to Consultant for all direct and indirect expenses and employees, and travel expenses connected with contacting local and out-of-state businesses and the CDTFA Staff.

6. Consulting and Other Optional Services

6.1. Fees for performing the consulting and other optional Services described above shall be based on the following initial hourly rates: (i) Principal - $325; (ii) Programmer - $295; (iii) Senior Analyst - $245; and (iv) Analyst - $195.

6.2. Consultant may change the rates for its hourly Fees from time to time. Consultant shall provide City with not less than thirty (30) of any changes in such hourly Fees.

7. General Provisions Relating to Fees

7.1. Fees will be invoiced monthly to City for Services performed during the prior month. To the extent revenue disbursement.

8. Confidentiality Information
Se
disclosure of confidential taxpayer information contained in the records of the CDTFA. Section 7056 specifies the conditions under which a city, county or district may authorize persons other than such city, conditions specified in Section 7056-(b)(1) of the State of California R&T Code are hereby made part of this Agreement:

8.1. Consultant is authorized by this Agreement to examine sales, use or transactions and use tax records of the CDTFA provided to City pursuant to contract under the Bradley-Burns Uniform Local Sales and Use Tax Law R&T Code Section 7200 et.seq.

8.2. Consultant is required to disclose information contained in, or derived from, those sales or transactions and use tax records only to an officer or employee of City who is authorized by City resolution provided to the CDTFA to examine the information.

8.3. Consultant is prohibited from performing consulting services for a retailer (as defined in R&T Code Section 6015), during the term of this agreement.

8.4. Consultant is prohibited from retaining the information contained in or derived from those sales, use or transactions and use tax records after this agreement has expired. Information obtained by examination of the CDTFA records shall be used only for purposes related to collection of local sales and use tax or for other governmental functions of the City as set forth by resolution adopted pursuant to Section 7056 (b) of the Revenue and Taxation Code. The resolution shall designate the Consultant as a person authorized to examine sales and use tax records and certify that this agreement meets the requirements set forth above and in Section 7056 (b), (1) of the Revenue and Taxation Code.

SAMPLE SAMPLE

EXHIBIT B
Work Authorization No. ______
The following business or businesses, located in the City of Seal Beach identified as having the potential for generating additional tax revenues to the City of Seal Beach.

Consultant is hereby authorized to contact the given business(s) and the California Department of Tax and Fee Administration to verify the accuracy of the current reporting methodology and obtain the necessary documentation for the Department of Tax and Fee Administration, to bill for uncollected transactions and use tax payments or modify misallocated payments and to return revenues that may

200 per month, billed quarterly, and 25% of the new transactions tax revenue received by the District as a result of audit and recovery work performed by Consultant, as set forth in the Professional Services Agreement between Consultant and District for Measure CITY: CITY OF SEAL BEACH
By:

Print Name:

Title:

Date:

CONSULTANT: HINDERLITER, DE

LLAMAS AND ASSOCIATES
By:

Print Name:

Title:

Date:

Agenda Item P

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Alexa Smittle, Community Development Director
SUBJECT: Specific Plan Amendment 24-2 for the Amendment to the Main Street Specific Plan Pertaining to the Main Street Outdoor Uses Development Standards to Allow Size
Flexibility for Outdoor Dining Tables, Merchandise
Displays, and Benches
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council:

1. Conduct a Public Hearing to receive input and consider the Planning Commission’s recommendation to approve Ordinance 1717, adopting Specific Plan Amendment 24-2; and,

2. Introduce, waive full reading, and read by title only, Ordinance 1717, an Ordinance adopting Specific Plan Amendment 24-2 for the amendment of the Main Street Specific Plan pertaining to the Main Street Outdoor Uses Development Standards to allow size flexibility for outdoor dining tables, merchandise displays, and benches, and finding the proposed Ordinance exempt from the California Environmental Quality Act.

BACKGROUND AND ANALYSIS:

On May 28, 2024, the City Council adopted Ordinance 1709, amending the Main Street Specific Plan (“MSSP”) to create the Main Street Outdoor Use Program (“Program”) allowing administrative review of minor outdoor accessory uses such as dining tables, merchandise display, and storefront benches. Over the last few months, staff has had the opportunity to work with the Program and is recommending minor changes that provide additional flexibility while maintaining the important design standards related to accessibility and pedestrian flow along Main Street. Additionally, when Ordinance No. 1709 was approved by the City Council, a six-month update was requested. This staff report serves to both provide the update and to recommend minor modifications to the Program.

Six Month Update
On May 30, 2024, informational letters were hand delivered by staff to each business on Main Street. These letters provided background on the Program and outlined the process on how to apply. The letter stated that the Program would go into effect on July 1, 2024, and encouraged the businesses to apply before that date. By the second week of July, Staff had only received five applications.

Following this, Code Enforcement surveyed Main Street and identified 40 businesses that had items displayed outside without an outdoor use permit or an application on file. Courtesy Notices, along with a second copy of the informational letter, were issued to each business informing them of their required participation in the Program to maintain tables, benches, merchandise displays, and signs outdoors.

Following the issuance of the Courtesy Notices, Staff received 13 additional applications, for a total of 18. Staff has issued eight outdoor use permits, and 10 applications are currently undergoing the review process. Of the 40 courtesy notices that were issued, 13 cases have been resolved either by the business removing the outdoor items and choosing to not participate in the Program, or by successfully submitting an application and receiving approval to maintain minor outdoor uses.

Twelve businesses have continued to maintain outdoor uses without the benefit of a permit, submitting an application, or responding to staff after repeated attempts to make contact. Notices of Violation have been issued to unresponsive businesses, with a third copy of the informational letter attached. Administrative citations have not yet been issued, as staff is attempting to make a good faith educational outreach prior to imposing penalties; however, an administrative citation would be the next step for businesses that continue to operate in violation.

Currently, there are 27 businesses (of which 10 have formal applications) that are working with the City in good faith to obtain an Outdoor Use Permit. The application process does take some time due to insurance information that is required by the City for liability purposes in order for a business to maintain minor outdoor uses outside their storefronts, both on private property and in the public right-of-way.

Most participating businesses have expressed satisfaction with the ability to display outdoor uses and with the amount of minor outdoor uses that are allowed to be displayed. Most businesses are able to provide the eight-foot required sidewalk clearance; however, a few locations have encountered challenges with the strictness of the specific dimensions for table and merchandise displays. While these locations are able to provide eight feet of clear sidewalk space and meet the width requirements per storefront, they do not meet other standards listed, such as depth of merchandise display or tables that are Americans with Disabilities Act (ADA) compliant but not small enough to meet the adopted 30-inch limit. Staff has also received requests for an additional bench in lieu of a dining table. Currently, the Program only allows one bench, even though the additional bench would encompass the same area as a dining table, which is allowed.

Proposed Modifications
In an effort to provide flexibility to businesses while maintaining a comfortable pedestrian walking space in alignment with intent of the original MSSP amendment, staff proposes to amend Table 3 of the MSSP. The proposed modifications would allow businesses flexibility for outdoor use dining table sizes, the quantity of benches permitted, and merchandise display sizes, while still meeting the performance standards of providing eight feet of clear sidewalk space and not taking up more than 60 inches of width for a 25-foot store front, 90 inches for a 37.5-foot store front, and 120 inches for a 50-foot store front.

The proposed modifications would allow businesses to have limited flexibility regarding size of dining tables, merchandise displays, chairs, and benches.

Currently, dining tables are subject to very specific dimensions, which makes it difficult to meet ADA compliance requirements in some cases. Additionally, merchandise displays are limited to a 15-inch depth if they were on a 60-inch wide rack, when many merchants need a depth closer to 24 or 30 inches. In order to alleviate this issue, Staff proposes to eliminate the required depth dimension.

Instead, the depth of tables/displays would be limited by the 8-foot minimum unobstructed clear path required. The total quantity permitted would also be limited by store frontage width requirements of 60 inches for a 25-foot storefront, 90 inches for a 37.5-foot storefront, and 120 inches for a 50-foot storefront. The changes would permit various table sizes and thus be more accommodating for ADA seating compliance. Additionally, it would give business owners flexibility to decide how to use the permitted outdoor use area.

The proposed amendment would also allow eligible business to apply for more than one bench through the Program, to be used in lieu of dining tables or merchandise displays. Currently, only one bench is permitted per storefront, regardless of the store frontage width, including if no other outdoor use is proposed. Staff has received proposals for two benches and no dining tables; however, the MSSP does not allow this, even though the proposal would occupy the same space as two tables and no benches. Staff proposes to alter the standards to allow flexibility for additional benches to replace areas that could be occupied by dining tables or merchandise displays.

Additionally, the amendment would remove the dimensions associated with the quantity of the chairs. The quantity of chairs will continue to be limited by the store frontage’s linear width.

A major goal of the Program is to create a vibrant and pedestrian-friendly environment while preserving the unique character and charm of Main Street.

These amendments intend to allow businesses flexibility to provide outdoor seating in the form of tables, chairs, and benches. Attachment C identifies the edits to the MSSP Table 3 – Outdoor Use Development Standards, which contains the development standards for uses under the Program. Attachment D contains the proposed, clean version of Table 3. The Main Street Specific Plan in its entirety with the proposed edits is found in Attachment E.

Planning Commission Recommendation
On November 18, 2024, the Planning Commission considered the Specific Plan Amendment and recommended approval of the changes under consideration tonight, without modification.

ENVIRONMENTAL IMPACT:

Pursuant to the California Environmental Quality Act (CEQA), the Community Development Department has determined that the proposed amendments to the Main Street Specific Plan are categorically exempt from environmental review under CEQA and the City’s CEQA Guidelines under Class 1 (Existing Facilities), Class 4 (Minor Alterations to Land), and Class 5 (Minor Alterations in Land Use Limitations) pursuant to CEQA Guidelines Section 15301(c) and (e), Section 15304(e), and Section 15305, as the amendments do not authorize new uses or development beyond those that the existing Specific Plan allows. The City has determined none of the six exceptions to the use of a categorical exemption apply to this project (CEQA Guidelines Section 15300.2).

LEGAL ANALYSIS:

This item has been reviewed for content and approved as to form.

FINANCIAL IMPACT:

There is no financial impact for this item.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

RECOMMENDATION:

That the City Council:

1. Conduct a Public Hearing to receive input and consider the Planning Commission’s recommendation to approve Ordinance 1717, adopting Specific Plan Amendment 24-2; and,

2. Introduce, waive full reading, and read by title only, Ordinance 1717, an Ordinance adopting Specific Plan Amendment 24-2 for the amendment of the Main Street Specific Plan pertaining to the Main Street Outdoor Uses Development Standards to allow size flexibility for outdoor dining tables, merchandise displays, and benches, and finding the proposed Ordinance exempt from CEQA.

SUBMITTED BY: NOTED AND APPROVED:

Alexa Smittle Patrick Gallegos
Alexa Smittle, Community
Development Director
Patrick Gallegos, Interim City
Manager
Prepared by: Shaun Temple, Planning Manager
ATTACHMENTS:

A. Ordinance 1717
B. Existing MSSP Table 3 – Outdoor Use Development Standards with Edits C. Proposed MSSP Table 3 – Outdoor Use Development Standards Clean Version
D. Planning Commission Resolution 24-16
E. Amended Main Street Specific Plan
ORDINANCE 1717

AN ORDINANCE OF THE CITY OF SEAL BEACH ADOPTING SPECIFIC PLAN AMENDMENT 24-2, FOR THE AMENDMENT OF THE MAIN

STREET SPECIFIC PLAN PERTAINING TO THE MAIN STREET

OUTDOOR USES DEVELOPMENT STANDARDS TO ALLOW SIZE

FLEXIBILITY FOR OUTDOOR DINING TABLES, MERCHANDISE

DISPLAYS, AND BENCHES AND FINDING THE ORDINANCE TO BE

EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES ORDAIN AS FOLLOWS:

Section 1. Pursuant to California Government Code Section 65453(a), a specific plan may be adopted by resolution or by ordinance and may be amended as often as deemed necessary by the legislative body; and pursuant to Seal Beach Municipal Code 11.5.15.005, the City Council shall adopt specific plans and amendments to specific plans by ordinance.

Section 2. The City Council of the City of Seal Beach does hereby find, determine, and declare that:

A. On July 22, 1996, the City Council Adopted Resolutions 4490, 4491, 4492, and 4493 to approve Revision 96-1 of the Main Street Specific Plan, General Plan Amendments 96-IA and 96-IB for consistency with the Specific Plan and General Plan, and to adopt the associated Negative Declaration.

B. On August 12, 1996, the City Council adopted Ordinance Nos. 1406 and 1407 creating the Main Street Specific Plan zone.

C. On May 28, 2024, the City Council adopted Specific Plan Amendment 24-1 creating an Outdoor Use Program within the Main Street Specific Plan; and D. On November 18, 2024, the Planning Commission considered this Ordinance at a duly noticed public hearing, as prescribed by law, at which time City staff and interested persons had an opportunity to and did testify either in support of or against this matter.

E. At the conclusion of the Planning Commission hearing and after due consideration of the testimony, the Planning Commission adopted Resolution No. 24-16, recommending approval of this Ordinance by the City Council with no modifications.

F. The City Council, at a regular meeting, considered this Ordinance on December 9, 2024, at a duly noticed public hearing, as prescribed by law, at which time City staff and interested persons had an opportunity to and did testify either in support of or against this matter. -2-
G. Following the public hearing, the City Council considered the entire record of information received at the public hearings before the Planning Commission and City Council.

Section 3. In accordance with Section 11.5.15.025 (Required Findings) of the Municipal Code, no findings are required for legislative acts. Notwithstanding this general rule, the Council shall determine whether the proposed action is consistent with the General Plan. The City Council hereby makes the following findings of General Plan consistency, as supported by substantial evidence on the record including and incorporating all facts and evidence in the staff report and its attendant attachments, in support of approval of Specific Plan Amendment 24-2:

Finding: The proposed amendment is consistent with the following General Plan Goals and Policies:

Land Use Element

1. Main Street Specific Plan: The General Plan states that the City Council adopted the Main Street Specific Plan to provide a vision document to preserve and enhance the downtown area of Seal beach. The Main Street Specific Plan provides specific direction regarding allowed land uses and operations, building and design provisions, and parking standards and management, to ensure compatibility between land uses and preservation of the area’s small-town character.

2. Features of the Community: A goal of the City is to maintain and promote those social and physical qualities that enhance the character of the community and the environment in which we live.

3. Commercial: The City should explore available means to support, encourage, and balance commercial development within the city.

Section 4. The City Council determines that this ordinance is exempt from environmental review under CEQA and the City’s CEQA Guidelines under Class 1 (Existing Facilities), Class 4 (Minor Alterations to Land), and Class 5 (Minor Alterations in Land Use Limitations) pursuant to CEQA Guidelines Section 15301(c) and (e), Section 15304(e), and Section 15305, as the amendments do not authorize new uses or development beyond those that the existing Specific Plan allows. The City has determined none of the six exceptions to the use of a categorical exemption apply to this project (CEQA Guidelines Section 15300.2).

Section 5. Based on the foregoing, the City Council hereby adopts Specific Plan Amendment 24-2 to amend the Main Street Specific Plan as shown in Exhibit A (Amended Main Street Specific Plan) of this Ordinance, incorporated herein by this reference as though set forth in full.

Section 6. The City Clerk shall make such conforming amendments to the Zoning Code as are necessary to codify the changes to the Main Street Specific Plan enacted pursuant to this Ordinance.
-3-
Section 7. The Community Development Director shall submit a copy of the Ordinance to the Department of Housing and Community Development within 60 days after adoption of this Ordinance.

Section 8. If any section, subsection, subdivision, sentence, clause, phrase, word, or portion of this Ordinance is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance and each section, subsection, subdivision, sentence, clause, phrase, word, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, words or portions thereof be declared invalid or unconstitutional.

Section 9. The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted in the manner required by law.

Section 10. This Ordinance shall take effect thirty (30) days after passage.

INTRODUCED at a regular meeting of the City Council of the City of Seal Beach held on the 9th day of December, 2024.

PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the ____ day of _______, 2024.

AYES: Council Members:

NOES: Council Members:

ABSENT: Council Members:

ABSTAIN: Council Members:
__________________________
Schelly Sustarsic, Mayor
ATTEST:
___________________________
Gloria D. Harper, City Clerk
APPROVED AS TO FORM:
_________________________
Nicholas Ghirelli, City Attorney

MAIN STREET

OUTDOOR USES

PROGRAM
6-MONTH UPDATE
Education Outreach
• May 30: Informational letters were hand delivered by Staff to each business • July: Main Street surveyed – 40 businesses identified maintaining an outdoor use without a permit or application. Only 5 applications received in total.

NEXT 6 MONTHS
• Businesses maintaining an outdoor use without a permit or application reduced from 40 to 12.
• 8 outdoor use permits issued
• 10 applications under review
• 17 businesses working with staff in a good faith effort 2 3
8-foot Clearance Requirement Has Been Good
Strictness of table/display sizes
has created challenges
4 Request for
Multiple Benches
5 6
Depth of outdoor use items regulated
by 8-foot clearance requirement
7 8
9 Agenda Item Q

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Alexa Smittle, Community Development Director
SUBJECT: Code Enforcement Multiple Unit Inspection Policy ________________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt Resolution 7594 establishing policies and procedures for Code Enforcement inspections of multiple unit residential buildings, which have reported substandard conditions, pursuant to the requirements of Assembly Bill 548.

BACKGROUND AND ANALYSIS:

Assembly Bill 548 (AB 548), enacted during the 2023 legislative session, amended the State’s Health and Safety Code by adding Section 17970.7, which mandates that local enforcement agencies develop policies and procedures for inspecting multi-unit buildings if a unit is determined to be substandard, or in violation of the State Housing Law, and has the potential to affect other units.

Existing law authorizes officers, employees, or agents of an enforcement agency to enter and inspect any building or premises to secure compliance with the State Housing Law. It also defines conditions under which a building, portion of a building, or premises are deemed substandard or in violation of the State Housing Law, emphasizing the importance of ensuring the safety and habitability of buildings used for human habitation.

The new requirement enacted pursuant to AB 548 requires that local enforcement agencies develop policies and procedures for inspecting a building with multiple units if a building inspector or code enforcement officer has determined that (1) a unit is substandard, and (2) that the defects or violations have the potential to affect other units of the building.

In response to the requirements of AB 548, the Community Development Department, as the local enforcement agency, has drafted a policy document for review and approval by the City Council, which includes the inspection and notification procedures. The policy also addresses the circumstances under which property owners are required to pay relocation benefits to tenants impacted by an

order to vacate, and appeal procedures applicable to such relocation benefit orders.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS:

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

FINANCIAL IMPACT:

There is no financial impact to adopt this policy. However, AB 548 may result in increased workloads which could be associated with additional costs.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

RECOMMENDATION:

That the City Council adopt Resolution 7594 establishing policies and procedures for Code Enforcement inspections of multiple unit residential buildings, which have reported substandard conditions, pursuant to the requirements of Assembly Bill 548.

SUBMITTED BY: NOTED AND APPROVED:

Alexa Smittle Patrick Gallegos
Alexa Smittle, Community
Development Director
Patrick Gallegos, Interim City
Manager
Prepared by: Shaun Temple, Planning Manager
ATTACHMENTS:

A. Resolution 7594
B. Code Enforcement Multiple Unit Inspection Policy
RESOLUTION 7594

A RESOLUTION OF THE SEAL BEACH CITY COUNCIL

APPROVING THE CODE ENFORCEMENT MULTIPLE UNIT

INSPECTION POLICY
WHEREAS, California Assembly Bill 548 (AB 548) was enacted during the 2023 legislative session to ensure safe and habitable living conditions in multi-unit residential buildings, by requiring local enforcement agencies to establish policies and procedures for inspecting such buildings when a housing unit is found to be substandard or in violation of state housing laws, and the City’s building official, or their code enforcement officer or building inspector determines that the substandard conditions(s) could reasonably affect other units; and, WHEREAS, AB 548 requires that the developed policies and procedures meet specific requirements, including the identification of hazardous conditions that could affect other units, the inspection of adjacent units, the allowance of inspection of all units in the presence of severe building-wide conditions, and the provision of notice to property owners; and,
WHEREAS, the City of Seal Beach recognizes the importance of safeguarding the health and safety of residents living in substandard multi-unit housing and is committed to ensuring compliance with State law.

NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine, and order as follows:

SECTION 1. The City of Seal Beach acknowledges the importance of maintaining safe residential living conditions in multiple-unit residential buildings.

SECTION 2. The Code Enforcement Multiple Unit Inspection Policy provides procedures for the enforcement of housing regulations and the maintenance of habitable living conditions that protect the wellbeing of residents, and procedures for appeal of orders for payment of relocation benefits pursuant to State law.

SECTION 3. The City Council hereby approves the City of Seal Beach Code Enforcement Multiple Unit Inspection Policy, attached hereto as Exhibit A.

PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 9th day of December 2024 by the following vote:

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

Schelly Sustarsic, Mayor
ATTEST:

Gloria D. Harper, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7594 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 9th day of December 2024.

Gloria D. Harper, City Clerk
211 8th Street, Seal Beach, CA 90740  562-431-2527
Sealbeachca.gov/Departments/Community-Development

CODE ENFORCEMENT

MULTIPLE UNIT INSPECTION POLICY
SCOPE
This policy:

1. Sets forth criteria for the Building Offical, or their designee such as Building Inspectors (Inspector) or Code Enforcement Officers (Officer), to use in determining whether the substandard condition(s) could reasonably affect other units, including but not limited to assessment of the property’s age, type, and size; the cause(s) of the substandard condition(s); and the history of violations;

2. Sets forth procedures to reasonably attempt to inspect additional units at the property.

3. Explains the criteria and responsibility of the owner to pay relocation benefits to tenants displaced when a violation so extensive and of such a nature that the immediate health and safety of the tenant is endangered and establishes the appeal procedures for an order to pay relocation benefits.

PURPOSE
The purpose of this policy is to facilitate inspections of additional units in a multi-unit building where a violation has been reported or identified in a single unit, which may also be affecting other units in the building. Merely notifying other residents in the building of a violation in one unit may not be enough to prompt such residents to submit additional inspection requests that would uncover the full scope of the problem. Therefore, this policy establishes processes and procedures to identify and address unreported problems before they worsen.

INSPECTION PROCEDURES

INITIAL INSPECTION AND DETERMINATION
Upon receiving a complaint regarding a residential rental unit in a substandard condition, the Building Official, or an Officer), Inspector or other designee, will inspect the unit in a timely manner. If the ASSEMBLY BILL 548 (AB 548) BACKGROUND
AB 548 (Statutes of 2023) requires local enforcement agencies to develop policies and procedures for inspecting a property with multiple residential units whenever an inspector or code enforcement officer has determined that (1) a unit is “substandard,” as defined in Health and Safety Code Section 17920.3, or in violation of Section 17920.10 (regarding lead hazards); and (2) the defects or violation have the potential to affect other units at the property.

Code Enforcement Multiple Unit Inspection Policy
Code Enforcement Multiple Unit Inspection Policy | 2
Building Official or their designee finds the unit is “substandard,” as defined in Section 17920.3, or in violation of Section 17920.10 (regarding lead hazards), and if the unit is part of a multi-unit building, the Building Official or their designee will make a determination as to whether the defects or violation have the potential to affect other units at the property. The criteria of the assessment to inspect neighborhing units shall focus primarily on, but not be limited to:
 Interconnected Systems - such as plumbing, electrical, and HVAC.  Potential for Spread – such as mold, pest infestation, or structural instability.  History of Violations – such a frequency of similar violations in the past, or if there have been recurring complaints from multiple tenants.
 History of widespread work performed without building permits.

The assessment will consider factors such as building type, age, size, construction type, cause(s) of the substandard condition(s), and building history.

ADDITIONAL UNIT INSPECTIONS
The Building Official, or their Officer, Inspector or other designee, shall reasonably attempt to inspect additional units at the property by leaving inspection request notices on the doors of at least the units adjacent to, above, and below the unit where the defect or violation was located. The inspection request notice shall inform the tenant that a defect or violation has been found in a neighboring unit, and inform the tenant of the City's wish to confirm if the condition is affecting additional units.

If the defect or violation is severe, and/or if additional defects or violations are found in other units, the inspection may extend to all units on the premises. Property owners shall be responsible for inspection fees as outlined in the Inspection Fees section of the City’s adopted Fee Schedule.

INSPECTION FEE
Property owners are required to pay for all inspections related to substandard conditions identified in their units. The current fee structure is as follows:
 Inspection Fee: Section H. Other Fees, Section 20. Fees for Services Not Listed in this Fee Schedule.
 This fee will be applied to each additional unit inspections and all reinspections, including for the original unit.
 The property owner is responsible for paying inspection fees for all units where substandard conditions are found or suspected.

The fees are designed to cover the costs associated with enforcing housing regulations and ensuring the safety and habitability of multi-unit buildings. Property owners will be billed for these fees separately from any administrative penalties or citation costs.

Code Enforcement Multiple Unit Inspection Policy
Code Enforcement Multiple Unit Inspection Policy | 3

ENFORCEMENT
Upon determining that a substandard condition in a unit could reasonably affect other units, the Building Official, or an Officer, Inspector or other designee shall issue a Notice of Violation which includes a notice or order to repair or abate within a reasonable time after the inspection has been completed; and can issue administrative citations to responsible parties for violations of housing regulations. Service of administrative citations shall be attempted through mail or posting. The Building Official or their designee shall advise the owner or operator of each known violation and of each action required to remedy the violation and schedule a reinspection to verify correction of the violation. Reinspection of the affected units shall be conducted to verify correction of the violations.

The City may also exercise other remedies provided by Municipal Code and/or state law.

ORDERS TO VACATE AND RELOCATION BENEFITS
In the event of severe violations, the Building Official, or an Officer, Inspector or other designee, may issue an order to vacate a unit. Pursuant to California Health and Safety Code Sections 17975 through 17975.10, any tenant displaced from a rental unit due to this order is entitled to relocation benefits from the owner as a result of a violation so extensive and of such a nature that the immediate health and safety of the tenant is endangered, unless the tenant substantially contributed to the conditions necessitating the order to vacate, or unless the conditions were caused by a natural disaster such as a fire, earthquake, flood, or other event beyond the control of the owner or the designated agent and the owner or designated agent did not cause or contribute to the condition. Building Official, or an Officer, Inspector or other designee will provide notice and a written summary of applicable provisions of state law to both the owner and the tenant, including the statutory requirement that relocation benefits are the responsibility of the owner, pursuant to Article 2.5 (Tenant Relocation Assistance) of the California Health and Safety Code.

An owner may appeal any order for payment of relocation benefits by the Building Official and/or their designee by filing an appeal with the City’s Board of Appeals pursuant to Section 112 of the City of Seal Beach Building Code. The owner has the right to appeal the substantive basis upon which the order is determined, and the relocation benefit amount.

Code Enforcement Multiple Unit Inspection Policy
Code Enforcement Multiple Unit Inspection Policy | 4

DOCUMENTATION AND REPORTING
The Building Official and/or their deseignee shall document all inspections and notifications related to AB 548 compliance. The documentation will include:
 Detailed descriptions of the substandard conditions or violations found,  Justification for determining the potential impact on other units,  Copies of notices or orders issued to the property owner,  Records of additional units inspected and their conditions,  Record of the written summary of relocation benefits provided to property owner and tenant, and
 Verification of corrected violations during reinspections.

Reports summarizing AB 548 inspections, violations, and compliance status shall be maintained for review upon request, in redacted form as appropriate in accordance with State law.

AB 548
Policies and procedures for inspecting multi-unit
buildings if a unit is determined to be substandard
City Council
December 9, 2024
Criteria to Inspect Neighboring Units
• Interconnected Systems - such as plumbing, electrical, and HVAC. • Potential for Spread – such as mold, pest infestation, or structural instability.
• History of Violations – such a frequency of similar violations in the past, or if there have been recurring complaints from multiple tenants.
• History of widespread work performed without building permits.

Information on Relocation Benefits
• Order to Vacate
• Appeal Procedure
• City not involved in Financial Payments – strictly
between tenant and landlord
Reasonable Attempt to Inspect
• Door knock of neighboring units
• Door hangers when no response to door knock
Agenda Item R

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Gloria D. Harper, City Clerk
SUBJECT: Declare Results of the November 5, 2024 Election For City Council Districts Two and Four and Measure GG and Swear-In the Newly Elected City Council Members
_____________________________________________________________ SUMMARY OF REQUEST:

That the City Council adopt Resolution 7595:

1. Declaring the results of the November 5, 2024, election for Seal Beach City Council Districts Two and Four and Measure GG; and,

2. Swearing-in the newly elected city officials for a full term: District 2 – Ben Wong and District 4 – Patty Senecal.

BACKGROUND AND ANALYSIS:

City Council Districts Two and Four
The City of Seal Beach City General Municipal Election was held on November 5, 2024, and the canvass and certification of election by the County of Orange was completed on December 3, 2024 (Attachment C). The following votes were cast:

District Two District Four
Measure GG – City of Seal Beach Services Measure
The following ballot measure, referred to as Measure GG, the City of Seal Beach Services Measure, was also placed before voters on the November 5, 2024, general municipal election. The text of Measure GG is as follows:

Funding for the City of Seal Beach General Services such as maintaining 911 medical emergency, police, fire response, helping prevent property crimes and retail thefts; keeping public areas and beaches safe and clean; helping protect Candidate Votes Cast
Ben Wong 2,432 (100%)
Candidate Votes Cast
Patty Senecal 2,402 (100%)
local water quality; reducing risk of flooding; retaining and supporting local businesses; addressing homelessness; repairing streets & potholes; shall an ordinance be adopted establishing a ½¢ sales tax providing approximately $3,000,000 annually until ended by voters; requiring audits and public spending disclosure of all funds spent for Seal Beach?
For Against
10,689 (68.25%) 4,973 (31.75%)
As a result of the election, a majority of the voters voting on Measure GG – City of Seal Beach, Services Measure voted in favor of the measure; therefore, Measure GG – City of Seal Beach, Services Measure (Attachment B. Ordinance 1714) was approved. Staff will transmit a copy of the adopted ordinance to the California Department of Tax and Fee Administration (“Department”) for implementation. In addition, a separate agenda item includes resolutions and agreements with the Department for administration of the new sales tax.

ENVIRONMENTAL IMPACT:

There is no environmental impact related to this item.

LEGAL ANALYSIS:

The City Attorney reviewed and approved this item to form.

FINANCIAL IMPACT:

The election costs for the November 5, 2024, Consolidated Election for the City of Seal Beach Council Districts Two and Four, as well as Measure GG total approximately $60,000 and is included in the FY 2024-25 Budget.

STRATEGIC PLAN:

This item is not applicable to the Strategic Plan.

RECOMMENDATION:

That the City Council adopt Resolution 7595:

1. Declaring the results of the November 5, 2024, election for Seal Beach City Council Districts Two and Four and Measure GG; and,

2. Swearing-in the newly elected city officials for a full term: District 2 – Ben Wong and District 4 – Patty Senecal.

SUBMITTED BY: NOTED AND APPROVED:

Gloria D. Harper Patrick Gallegos
Gloria D. Harper, City Clerk Patrick Gallegos, Interim City Manager ATTACHMENTS:

A. Resolution 7595
B. Ordinance 1714
C. Exhibit A Registrar of Voter’s Canvass and Certificate of Election

Agenda Item S

AGENDA STAFF REPORT
DATE: December 9, 2024
TO: Honorable Mayor and City Council
THRU: Patrick Gallegos, Interim City Manager
FROM: Gloria D. Harper, City Clerk
SUBJECT: City Council Reorganization
________________________________________________________________ SUMMARY OF REQUEST:

That the City Council approve reorganization of the City Council and selection of Mayor and Mayor Pro Tempore for 2025.

BACKGROUND AND ANALYSIS:

Annually, the City Council selects one of its members as Mayor and one member as Mayor Pro Tempore. Pursuant to City Charter Section 404, the Mayor shall serve in such capacity at the pleasure of the City Council and the City Council shall also designate a Mayor Pro Tempore. City Charter Section 404 is attached for reference.

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.

RECOMMENDATION:

That the City Council approve reorganization of the City Council and selection of Mayor and Mayor Pro Tempore for 2025.

SUBMITTED BY: NOTED AND APPROVED:

Gloria D. Harper Patrick Gallegos
Gloria D. Harper, City Clerk Patrick Gallegos, Interim City Manager ATTACHMENTS:

A. City Charter Section 404