Agenda packet — South El Monte City Council, March 28, 2023 (part 2 of 3)

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(d) Workers’ compensation insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000).
(e) Subcontractors. Contractorshall include all subcontractors as insureds under its policies or shall furnish separate certificates and certified endorsements for each subcontractor.

All coverages for subcontractors shall include all of the requirements stated herein. (f) Additional Insurance. Policies of such other insurance, as may be required in the Special Requirements in Exhibit “B”.

5.2 General Insurance Requirements.
(a) Proof of insurance. Contractorshall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. City reserves the right to require complete, certified copies of all required insurance policies, at any time. (b) Duration of coverage. Contractorshall procure and maintain for the duration of this Agreement insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Services hereunder by Contractor, its agents, representatives, employees or subcontractors.
(c) Primary/noncontributing. Coverage provided by Contractorshall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and noncontributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
(d) City’s rights of enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Contractor or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Agreement. (e) Acceptable insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or that is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VI (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager.
(f) Waiver of subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or

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appointed officers, agents, officials, employees and volunteers or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subcontractors. (g) Enforcement of contract provisions (non-estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of noncompliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
(h) Requirements not limiting. 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. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
(i) Notice of cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage.
(j) Additional insured status. General liability policies shall provide or be endorsed to provide that City and its officers, officials, employees, and agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies.
(k) Prohibition of undisclosed coverage limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. (l) Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability.

The policy(ies) shall not contain any cross-liability exclusions. (m) Pass through clause. Contractor agrees to ensure that its subconsultants, subcontractors, and any other party involved with the project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section.

Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the project will be submitted to City for review.

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(n) Agency’s right to revise specifications. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation.
(o) Self-insured retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
(p) Timely notice of claims. Contractorshall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. (q) Additional insurance. Contractor shall 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 work.

5.3 Indemnification.

To the full extent permitted by law, Contractor agrees to indemnify, defend and hold harmless the City, its officers, employees and agents (“Indemnified Parties”) against, and will hold and save them and each of them harmless from, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities whether actual or threatened (herein “claims or liabilities”) that may be asserted or claimed by any person, firm or entity arising out of or in connection with the negligent performance of the work, operations or activities provided herein of Contractor, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Contractor is legally liable (“indemnitors”), or arising from Contractor’s or indemnitors’ reckless or willful misconduct, or arising from Contractor’s or indemnitors’ negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, and in connection therewith:
(a) Contractor will defend any action or actions filed in connection with any of said claims or liabilities and will pay all costs and expenses, including legal costs and attorneys’ fees incurred in connection therewith;
(b) Contractor will promptly pay any judgment rendered against the City, its officers, agents or employees for any such claims or liabilities arising out of or in connection with the negligent performance of or failure to perform such work, operations or activities of Contractor hereunder; and Contractor agrees to save and hold the City, its officers, agents, and employees harmless therefrom;
(c) In the event the City, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Contractor for such damages or other claims arising out of or in connection with the negligent performance of or failure to perform the work, operation or activities of Contractor hereunder, Contractor agrees to pay to the City, its officers,

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agents or employees, any and all costs and expenses incurred by the City, its officers, agents or employees in such action or proceeding, including but not limited to, legal costs and attorneys’ fees.

In addition, Contractor agrees to indemnify, defend and hold harmless the Indemnified Parties from, any and all claims and liabilities for any infringement of patent rights, copyrights or trademark on any person or persons in consequence of the use by the Indemnified Parties of articles to be supplied by Contractor under this Agreement, and of which the Contractor is not the patentee or assignee or has not the lawful right to sell the same.

Contractor shall incorporate similar indemnity agreements with its subcontractors and if it fails to do so Contractor shall be fully responsible to indemnify City hereunder therefore, and failure of City to monitor compliance with these provisions shall not be a waiver hereof. This indemnification includes claims or liabilities arising from any negligent or wrongful act, error or omission, or reckless or willful misconduct of Contractor in the performance of professional services and work hereunder. The provisions of this Section do not apply to claims or liabilities occurring as a result of City’s sole negligence or willful acts or omissions, but, to the fullest extent permitted by law, shall apply to claims and liabilities resulting in part from City’s negligence, except that design professionals’ indemnity hereunder shall be limited to claims and liabilities arising out of the negligence, recklessness or willful misconduct of the design professional. The indemnity obligation shall be binding on successors and assigns of Contractor and shall survive termination of this Agreement.

5.4 Notification of Third-Party Claims.

City shall timely notify Contractor of the receipt of any third-party claim relating to the work under this Agreement. City shall be entitled to recover from Contractor its reasonable costs incurred in providing such notification.

5.5 Performance and Labor Bonds.

Concurrently with execution of this Agreement Contractor shall deliver to the City, the following:
(a) A performance bond in the amount of the Contract Sum of this Agreement, in the form provided by the City Clerk, which secures the faithful performance of this Agreement.
(b) A labor and materials bond in the amount of the Contract Sum of this Agreement, in the form provided by the City Clerk, which secures the payment of all persons furnishing labor and/or materials in connection with the work under this Agreement.

Both the performance and labors bonds required under this Section 5.5 shall contain the original notarized signature of an authorized officer of the surety and affixed thereto shall be a certified and current copy of his power of attorney. The bond shall be unconditional and remain in force during the entire term of the Agreement and shall be null and void only if the Contractor promptly and faithfully performs all terms and conditions of this Agreement and pays all labor and materials for work and services under this Agreement.

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5.6 Sufficiency of Insurer or Surety.

Insurance and bonds required by this Agreement shall be satisfactory only if issued by companies qualified to do business in California, rated “A” or better in the most recent edition of Best’s Rating Guide, The Key Rating Guide or in the Federal Register, and only if they are of a financial category Class VII or better, unless such requirements are waived by the Risk Manager of the City (“Risk Manager”) due to unique circumstances. If this Agreement continues for more than 3 years duration, or in the event the Risk Manager determines that the work or services to be performed under this Agreement creates an increased or decreased risk of loss to the City, the Contractor agrees that the minimum limits of the insurance policies and the performance bond required by Section 5.5 may be changed accordingly upon receipt of written notice from the Risk Manager.

5.7 Substitution of Securities.

Pursuant to Public Contract Code Section 22300, substitution of eligible equivalent securities for any funds withheld to ensure performance under this Agreement may be permitted at the request and sole expense of the Contractor. Alternatively, the Contractor may, pursuant to an escrow agreement in a form prescribed by Public Contract Code Section 22300, request payment of retentions funds earned directly to the escrow agent at the sole expense of the Contractor.

5.8 Release of Securities.

City shall release the Performance and Labor Bonds when the following have occurred:
(a) Contractor has made a written request for release and provided evidence of satisfaction of all other requirements under Article 5 of this Agreement; (b) the Work has been accepted; and
(c) after passage of the time within which lien claims are required to be made pursuant to applicable laws; if lien claims have been timely filed, City shall hold the Labor Bond until such claims have been resolved, Contractor has provided statutory bond, or otherwise as required by applicable law.

ARTICLE 6. RECORDS, REPORTS, AND RELEASE OF INFORMATION

6.1 Records.

Contractor shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies, certified and accurate copies of payroll records in compliance with all applicable laws, or other documents relating to the disbursements charged to City and services performed hereunder (the “books and records”), as shall be necessary to perform the services required by this Agreement and enable the Contract Officer to evaluate the performance of such services. Any and all such documents shall be maintained in accordance with generally accepted accounting principles and shall be complete and detailed. The Contract Officer shall have full and free access to such books and records at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts

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from such records. Such records shall be maintained for a period of 3 years following completion of the services hereunder, and the City shall have access to such records in the event any audit is required. In the event of dissolution of Contractor’s business, custody of the books and records may be given to City, and access shall be provided by Contractor’s successor in interest. Notwithstanding the above, the Contractor shall fully cooperate with the City in providing access to the books and records if a public records request is made and disclosure is required by law including but not limited to the California Public Records Act.

6.2 Reports.

Contractor shall periodically prepare and submit to the Contract Officer such reports concerning the performance of the services required by this Agreement as the Contract Officer shall require. Contractor hereby acknowledges that the City is greatly concerned about the cost of work and services to be performed pursuant to this Agreement. For this reason, Contractor agrees that if Contractor becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the work or services contemplated herein or, if Contractor is providing design services, the cost of the project being designed, Contractor shall promptly notify the Contract Officer of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto and, if Contractor is providing design services, the estimated increased or decreased cost estimate for the project being designed.

6.3 Ownership of Documents.

All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (the “documents and materials”) prepared by Contractor, its employees, subcontractors and agents in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of the Contract Officer or upon the termination of this Agreement, and Contractor shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment of the documents and materials hereunder. Any use, reuse or assignment of such completed documents for other projects and/or use of uncompleted documents without specific written authorization by the Contractor will be at the City’s sole risk and without liability to Contractor, and Contractor’s guarantee and warranties shall not extend to such use, reuse or assignment. Contractor may retain copies of such documents for its own use. Contractor shall have an unrestricted right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any documents or materials prepared by them, and in the event Contractor fails to secure such assignment, Contractor shall indemnify City for all damages resulting therefrom.

Moreover, Contractor with respect to any documents and materials that may qualify as “works made for hire” as defined in 17 U.S.C. § 101, such documents and materials are hereby deemed “works made for hire” for the City.

6.4 Confidentiality and Release of Information.
(a) information gained or work product produced by Contractor in performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Contractor. Contractor shall not release or disclose any such

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information or work product to persons or entities other than City without prior written authorization from the Contract Officer.
(b) Contractor, its officers, employees, agents or subcontractors, shall not, without prior written authorization from the Contract Officer or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered "voluntary" provided Contractor gives City notice of such court order or subpoena. (c) If Contractor, or any officer, employee, agent or subcontractor of Contractor, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Contractor for any damages, costs and fees, including attorneys’ fees, caused by or incurred as a result of Contractor’s conduct. (d) Contractor shall promptly notify City should Contractor, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed there under. City retains the right, but has no obligation, to represent Contractor or be present at any deposition, hearing or similar proceeding. Contractor agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Contractor. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response.

ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION

7.1 California Law.

This Agreement shall be interpreted, construed and governed both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Los Angeles, State of California, or any other appropriate court in such county, and Contractor covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in the County of Los Angeles, State of California.

7.2 Disputes.
(a) Default; Cure. In the event that Contractor is in default under the terms of this Agreement, the City shall not have any obligation or duty to continue compensating Contractor for any work performed after the date of default. Instead, the City may give notice to Contractor of the default and the reasons for the default. The notice shall include the timeframe in which Contractor may cure the default. This timeframe is presumptively thirty (30) days, but may be extended, though not reduced, if circumstances warrant. During the period of time that Contractor is in default, the City shall hold all invoices and shall proceed with payment on the invoices only when the default is cured. In the alternative, the City may, in its sole discretion, elect to pay some or all of

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the outstanding invoices during the period of default. If Contractor does not cure the default, the City may take necessary steps to terminate this Agreement under this Article. Any failure on the part of the City to give notice of the Contractor’s default shall not be deemed to result in a waiver of the City’s legal rights or any rights arising out of any provision of this Agreement. (b) Dispute Resolution. This contract is subject to the provisions of Article

1.5 (commencing at Section 20104) of Division 2, Part 3 of the California Public Contract Code regarding the resolution of public works claims of less than $375,000. Article 1.5 mandates certain procedures for the filing of claims and supporting documentation by the Contractor, for the response to such claims by the City, for a mandatory meet and confer conference upon the request of the Contractor, for mandatory non-binding mediation in the event litigation is commenced, and for mandatory judicial arbitration upon the failure to resolve the dispute through mediation. This Agreement hereby incorporates the provisions of Article 1.5 as though fully set forth herein.

7.3 Retention of Funds.

Contractor hereby authorizes City to deduct from any amount payable to Contractor (whether or not arising out of this Agreement) (i) any amounts the payment of which may be in dispute hereunder or which are necessary to compensate City for any losses, costs, liabilities, or damages suffered by City, and (ii) all amounts for which City may be liable to third parties, by reason of Contractor’s acts or omissions in performing or failing to perform Contractor’s obligation under this Agreement. In the event that any claim is made by a third party, the amount or validity of which is disputed by Contractor, or any indebtedness shall exist which shall appear to be the basis for a claim of lien, City may withhold from any payment due, without liability for interest because of such withholding, an amount sufficient to cover such claim. The failure of City to exercise such right to deduct or to withhold shall not, however, affect the obligations of the Contractor to insure, indemnify, and protect City as elsewhere provided herein.

7.4 Waiver.

Waiver by any party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement.

Acceptance by City of any work or services by Contractor shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a nondefaulting party on any default shall impair such right or remedy or be construed as a waiver. Any waiver by either party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement.

7.5 Rights and Remedies are Cumulative.

Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative and the exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party.

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7.6 Legal Action.

In addition to any other rights or remedies, either party may take legal action, in law or in equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement. Notwithstanding any contrary provision herein, Contractor shall file a claim pursuant to Government Code Sections 905 et seq. and 910 et seq., in order to pursue a legal action under this Agreement.

7.7 Liquidated Damages.

Since the determination of actual damages for any delay in performance of this Agreement would be extremely difficult or impractical to determine in the event of a breach of this Agreement, the Contractor and its sureties shall be liable for and shall pay to the City the sum of $_________ (___________________________ Dollars) as liquidated damages for each working day of delay in the performance of any service required hereunder, as specified in the Schedule of Performance (Exhibit “D”). The City may withhold from any monies payable on account of services performed by the Contractor any accrued liquidated damages. Pursuant to Government Code Section 4215, Contractor shall not be assessed liquidated damages for delay in completion of the project when such delay was caused by the failure of the public agency or owner of the utility to provide for removal or relocation of utility facilities.

7.8 Termination Prior to Expiration of Term.

This Section shall govern any termination of this Contract except as specifically provided in the following Section for termination for cause. The City reserves the right to terminate this Contract at any time, with or without cause, upon thirty (30) days’ written notice to Contractor, except that where termination is due to the fault of the Contractor, the period of notice may be such shorter time as may be determined by the Contract Officer. In addition, the Contractor reserves the right to terminate this Contract at any time, with or without cause, upon sixty (60) days’ written notice to City, except that where termination is due to the fault of the City, the period of notice may be such shorter time as the Contractor may determine. Upon receipt of any notice of termination, Contractor shall immediately cease all services hereunder except such as may be specifically approved by the Contract Officer. Except where the Contractor has initiated termination, the Contractor shall be entitled to compensation for all services rendered prior to the effective date of the notice of termination and for any services authorized by the Contract Officer thereafter in accordance with the Schedule of Compensation or such as may be approved by the Contract Officer, except as provided in Section 7.3. In the event the Contractor has initiated termination, the Contractor shall be entitled to compensation only for the reasonable value of the work product actually produced hereunder. In the event of termination without cause pursuant to this Section, the terminating party need not provide the non-terminating party with the opportunity to cure pursuant to Section 7.2.

7.9 Termination for Default of Contractor.

If termination is due to the failure of the Contractor to fulfill its obligations under this Agreement, City may, after compliance with the provisions of Section 7.2, take over the work and

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prosecute the same to completion by contract or otherwise, and the Contractor shall be liable to the extent that the total cost for completion of the services required hereunder exceeds the compensation herein stipulated (provided that the City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to the Contractor for the purpose of set-off or partial payment of the amounts owed the City as previously stated.

7.10 Attorneys’ Fees.

If either party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorney’s fees. Attorney’s fees shall include attorney’s fees on any appeal, and in addition a party entitled to attorney’s fees shall be entitled to all other reasonable costs for investigating such action, taking depositions and discovery and all other necessary costs the court allows which are incurred in such litigation. All such fees shall be deemed to have accrued on commencement of such action and shall be enforceable whether or not such action is prosecuted to judgment.

7.11 Unfair Business Practices Claims.

In entering into this Agreement, Contractor offers and agrees to assign to the City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. § 15) or under the Cartwright Act (Chapter 2, (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services or materials related to this Agreement. This assignment shall be made and become effective at the time the City renders final payment to the Contractor without further acknowledgment of the Parties.

ARTICLE 8. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION

8.1 Non-liability of City Officers and Employees.

No officer or employee of the City shall be personally liable to the Contractor, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Contractor or to its successor, or for breach of any obligation of the terms of this Agreement.

8.2 Conflict of Interest.

Contractor covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor’s performance of services under this Agreement. Contractor further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the Contract Officer. Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.

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No officer or employee of the City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which effects his financial interest or the financial interest of any corporation, partnership or association in which he is, directly or indirectly, interested, in violation of any State statute or regulation. The Contractor warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement.

8.3 Covenant Against Discrimination.

Contractor covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry, or other protected class in the performance of this Agreement. Contractor shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry, or other protected class.

8.4 Unauthorized Aliens.

Contractor hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act, 8 U.S.C. § 1101 et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Contractor so employ such unauthorized aliens for the performance of work and/or services covered by this Agreement, and should any liability or sanctions be imposed against City for such use of unauthorized aliens, Contractor hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys' fees, incurred by City.

ARTICLE 9. MISCELLANEOUS PROVISIONS

9.1 Notices.

Any notice, demand, request, document, consent, approval, or communication either party desires or is required to give to the other party or any other person shall be in writing and either served personally or sent by prepaid, first-class mail, in the case of the City, to the City Manager and to the attention of the Contract Officer (with her/his name and City title), City of South El Monte, 1415 Santa Anita Avenue, South El Monte, California 91733, and in the case of the Contractor, to the person at the address designated on the execution page of this Agreement. Either party may change its address by notifying the other party of the change of address in writing. Notice shall be deemed communicated at the time personally delivered or in seventy-two (72) hours from the time of mailing if mailed as provided in this Section. All correspondence relating to this Agreement shall be serialized consecutively.

9.2 Interpretation.

The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply.

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9.3 Counterparts.

This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument.

9.4 Integration; Amendment.

This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the parties. It is understood that there are no oral agreements between the parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements and understandings, if any, between the parties, and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Contractor and by the City Council. The parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void.

9.5 Severability.

In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the parties hereunder unless the invalid provision is so material that its invalidity deprives either party of the basic benefit of their bargain or renders this Agreement meaningless.

9.6 Warranty & Representation of Non-Collusion.

No official, officer, or employee of City has any financial interest, direct or indirect, in this Agreement, nor shall any official, officer, or employee of City participate in any decision relating to this Agreement which may affect his/her financial interest or the financial interest of any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any State or municipal statute or regulation. The determination of “financial interest” shall be consistent with State law and shall not include interests found to be “remote” or “noninterests” pursuant to Government Code Sections 1091 or 1091.5. Contractor warrants and represents that it has not paid or given, and will not pay or give, to any third party including, but not limited to, any City official, officer, or employee, any money, consideration, or other thing of value as a result or consequence of obtaining or being awarded any agreement.

Contractor further warrants and represents that (s)he/it has not engaged in any act(s), omission(s), or other conduct or collusion that would result in the payment of any money, consideration, or other thing of value to any third party including, but not limited to, any City official, officer, or employee, as a result of consequence of obtaining or being awarded any agreement. Contractor is aware of and understands that any such act(s), omission(s) or other conduct resulting in such payment of money, consideration, or other thing of value will render this Agreement void and of no force or effect.

Contractor’s Authorized Initials _______

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-24- 01257.0001/868099.1

9.7 Corporate Authority.

The persons executing this Agreement on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other Agreement to which said party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the parties. [SIGNATURES ON FOLLOWING PAGE]

Page 187 of 427 ends

-25- 01257.0001/868099.1
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first-above written.

CITY:

CITY OF SOUTH EL MONTE, a municipal
corporation
____________________________________
Gloria Olmos, Mayor
ATTEST:

Donna G. Schwartz, City Clerk
APPROVED AS TO FORM:

ALESHIRE & WYNDER, LLP
Anthony R. Taylor, City Attorney
CONTRACTOR:

By:

Name:

Title:

By:

Name:

Title:

Address:

Two corporate officer signatures required when Contractor is a corporation, with one signature required from each of the following groups: 1) Chairman of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. CONTRACTOR’S SIGNATURES

SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY

BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONTRACTOR’S BUSINESS ENTITY.

Page 188 of 427 ends

01257.0001/868099.1

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

STATE OF CALIFORNIA

COUNTY OF LOS ANGELES
On __________, 2023 before me, ________________, personally appeared ________________, proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

GUARDIAN/CONSERVATOR
OTHER_______________________________
______________________________________
SIGNER IS REPRESENTING:
(NAME OF PERSON(S) OR ENTITY(IES))
_____________________________________________
_____________________________________________
___________________________________

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

SIGNER(S) OTHER THAN NAMED ABOVE
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document.

Page 189 of 427 ends

01257.0001/868099.1

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

STATE OF CALIFORNIA

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

Page 190 of 427 ends

01257.0001/868099.1 A-1
EXHIBIT “A”

SCOPE OF WORK
I. Contractor shall perform all of the work and comply with all of the specifications and requirements in the “General Provisions” and “Special Provisions” included in the bid documents for the project entitled
_____________________________________________, including any documents or exhibits referenced therein.

II. Brief description of the work to be performed:

III. In addition to the requirements of Section 6.2, during performance of the work, Contractor will keep the City apprised of the status of performance by delivering the following status reports:

IV. All work is subject to review and acceptance by the City, and must be revised by the Contractor without additional charge to the City until found satisfactory and accepted by City.

V. Contractor shall provide safe and continuous passage for pedestrian and vehicular traffic in accordance with the Work Area Traffic Control Handbook (WATCH), latest edition.

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01257.0001/868099.1 B-1
EXHIBIT “B”

SPECIAL REQUIREMENTS
(Superseding Contract Boilerplate)
The Agreement is amended as provided herein. Deleted text is indicated in strikethrough and added text in bold italics.
.

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01257.0001/868099.1 C-1
EXHIBIT “C”

SCHEDULE OF COMPENSATION
I. Contractor shall perform all work at the rates on the Bid Sheet submitted as part of Contractor’s Proposal, and listed below:

II. A retention of five percent (5%) shall be held from each payment as a contract retention to be paid as part of the final payment upon satisfactory completion of services.

III. Within the budgeted amounts for each item on the Bid Sheet, and with the approval of the Contract Officer, funds may be shifted from one item’s subbudget to another so long as the Contract Sum is not exceeded per Section 2.1, unless Additional Work is approved per Section 1.10.

IV. The City will compensate Contractor for the Services performed upon submission of a valid invoice. Each invoice is to include:

A. Line items for all personnel describing the work performed, the number of hours worked, and the hourly rate.

B. Line items for all materials and equipment properly charged to the Services.

C. Line items for all other approved reimbursable expenses claimed, with supporting documentation.

D. Line items for all approved subcontractor labor, supplies, equipment, materials, and travel properly charged to the Services.

V. The total compensation for the Services shall not exceed the amount provided in Section 2.1 of this Agreement.

Page 193 of 427 ends

01257.0001/868099.1 D-1
EXHIBIT “D”

SCHEDULE OF PERFORMANCE
I. Contractor shall perform all work timely in accordance with the following schedule:

Days to Perform Deadline Date
A. Task A ______________ ______________
B. Task B ______________ ______________
C. Task C ______________ ______________
II. Contractor shall deliver the following tangible work products to the City by the following dates.

III. The Contract Officer may approve extensions for performance of the services in accordance with Section 3.2.

Page 194 of 427 ends

01257.0001/868099.1 D-1

PERFORMANCE BOND
WHEREAS, the CITY OF SOUTH EL MONTE, (“City”), has awarded to __________________________________, as Contractor (“Principal”), a Contract for the work entitled and described as follows:__________________________________________________; WHEREAS, the Contractor is required under the terms of said Contract to furnish a bond for the faithful performance of the Contract;
NOW, THEREFORE, we the undersigned Contractor and Surety, are held and firmly bound unto the City in the sum of ________________________________________ ($______________), this amount being not less than one hundred percent (100%) of the total Contract price, lawful money of the United States of America, for payment of which sum well and truly be made we bind ourselves, our heirs, executors, administrators, and successors, jointly and severally, firmly by these presents. In case suit is brought upon this bond, the Surety will pay a reasonable attorney’s fee to the City in an amount to be fixed by the court.

THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if the hereby bound Contractor, or its heirs, executors, administrators, successors, or assigns, shall in all things stand and abide by, well and truly keep and perform all undertakings, terms, covenants, conditions, and agreements in the said Contract and any alteration thereof, made as therein provided, all within the time and in the manner designated and in all respects according to their true intent and meaning, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.

FURTHER, the said Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of such change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder.

Executed on 20___.

PRINCIPAL
(Seal if Corporation) By
Title
(Attach Acknowledgment of Authorized Representative of Principal)

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01257.0001/868099.1 D-2
Any claims under this bond may be addressed to:
(name and address of Surety)
(name and address of Surety's agent for service of
process in California, if different from above)
(telephone number of Surety's agent in California)
(Attach Acknowledgment)
SURETY
By
(Attorney-in-Fact)
APPROVED:
(Attorney for CITY)
NOTICE:

No substitution or revision to this bond form will be accepted. Sureties must be authorized to do business in and have an agent for service of process in California. Certified copy of Power of Attorney must be attached.

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01257.0001/868099.1

PAYMENT BOND
(Labor and Material Bond)
WHEREAS, the CITY OF SOUTH EL MONTE, (“City”), has awarded to __________________________________, as Contractor (“Principal”), a Contract for the work entitled and described as follows:__________________________________________________; WHEREAS, said Contractor is required to furnish a bond in conjunction with said Contract, to secure the payment of claims of laborers, mechanics, material men, and other persons as provided by law;
NOW, THEREFORE, we the undersigned Contractor and Surety, are held and firmly bound unto the City in the sum of ________________________________________ ($______________), this amount being not less than one hundred percent (100%) of the total Contract price, lawful money of the United States of America, for payment of which sum well and truly be made we bind ourselves, our heirs, executors, administrators, and successors, jointly and severally, firmly by these presents. In case suit is brought upon this bond, the Surety will pay a reasonable attorney’s fee to the City in an amount to be fixed by the court.

THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if said Contractor, its heirs, executors, administrators, successors, assigns, or subcontractor fails to pay: (1) for any work, materials, services, provisions, provender, or other supplies, or for the use of implements of machinery, used in, upon, for, or about the performance of the work to be done, or for any work or labor thereon of any kind; (2) for work performed by any of the persons named in Civil Code Section 9100; (3) for any amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract; and/or (4) for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the Contractor and/or its subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to such work and labor, then the Surety herein will pay for the same in an amount not exceeding the sum specified in this bond, otherwise the above obligation shall be void.

This bond shall inure to the benefit of any of the persons named in Civil Code Section 9100 so as to give a right of action to such persons or their assigns in any suit brought upon the bond. Moreover, if the City or any entity or person entitled to file stop payment notices is required to engage the services of an attorney in connection with the enforcement of this bond, each shall be liable for the reasonable attorney's fees incurred, with or without suit, in addition to the above sum.

Said Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of such change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder.

Page 197 of 427 ends

01257.0001/868099.1
Executed on , 20____.

PRINCIPAL
(Seal if Corporation) By
Title
(Attach Acknowledgment of Authorized Representative of Principal) Any claims under this bond may be addressed to:
(name and address of Surety)
(name and address of Surety's agent for service
of process in California, if different from above)
(telephone number of Surety's agent in California)
(Attach Acknowledgment)
SURETY
By
(Attorney-in-Fact)
APPROVED:
(Attorney for CITY)
NOTICE:

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01257.0001/868099.1

WORKERS COMPENSATION INSURANCE CERTIFICATE
Description of Contract: City of SOUTH EL MONTE
Project: _____________________________________________
Type of Insurance: Workers' Compensation and
Employers' Liability Insurance
THIS IS TO CERTIFY that the following policy has been issued by the below-stated company in conformance with the requirements of Article 5 of the Contract and is in force at this time, and is in a form approved by the Insurance Commissioner.

The Company will give at least 30 days' written notice to the City and Engineer/Architect prior to any cancellation of said policy.

POLICY NUMBER EXPIRATION DATE LIMITS OF LIABILITY
Workers' Compensation:

Statutory Limits Under the Laws
of the State of California
Employers' Liability:
$_________________ Each Accident
$_________________ Disease - Policy Limit
$_________________ Disease - Each Employee
Named Insured (Contractor) Insurance Company
Street Number Street Number
City and State City and State
By
(Company Representative)
(SEE NOTICE ON NEXT PAGE)

Page 199 of 427 ends

01257.0001/868099.1
Insurance Company Agent for Service
of Process in California:

Name
Agency
Street Number
City and State
Telephone Number
This certificate is issued as a matter of information only and confers no rights upon the certificate holder. This certificate does not amend, extend, or alter the coverage afforded by the policy listed herein.

This is to certify that the policy has been issued to the named insured for the policy period indicated, notwithstanding any requirement, term, or condition of any contract or other document with respect to which this certificate may be issued or may pertain, the insurance afforded by the policy described herein is subject to all the terms, exclusions, and conditions of such policy.

NOTICE:

No substitution or revision to the above certificate form will be accepted. If the insurance called for is provided by more than one insurance company, a separate certificate in the exact above form shall be provided for each insurance company.

Page 200 of 427 ends

01257.0001/868099.1

ADDITIONAL INSURED ENDORSEMENT

COMPREHENSIVE GENERAL LIABILITY
Name and address of named insured (“Named Insured”)
Name and address of Insurance Company (“Company”)
General description of agreement(s), permit(s), license(s), and/or activity(ies) insured Notwithstanding any inconsistent statement in the policy to which this endorsement is attached (the “Policy”) or in any endorsement now or hereafter attached thereto, it is agreed as follows:

1. The
(“Public Agency”), its elected officials, officers, attorneys, agents, employees, and volunteers are additional insureds (the above named additional insureds are hereafter referred to as the “Additional Insureds”) under the Policy in relation to those activities described generally above with regard to operations performed by or on behalf of the Named Insured. The Additional Insureds have no liability for the payment of any premiums or assessments under the Policy.

2. The insurance coverages afforded the Additional Insureds under the Policy shall be primary insurance, and no other insurance maintained by the Additional Insureds shall be called upon to contribute with the insurance coverages provided by the Policy.

3. Each insurance coverage under the Policy shall apply separately to each Additional Insured against whom claim is made or suit is brought except with respect to the limits of the Company's liability.

4. Nothing in this contract of insurance shall be construed to preclude coverage of a claim by one insured under the policy against another insured under the policy. All such claims shall be covered as third-party claims, i.e., in the same manner as if separate policies had been issued to each insured. Nothing contained in this provision shall operate to increase or replicate the Company's limits of liability as provided under the policy.

5. The insurance afforded by the Policy for contractual liability insurance (subject to the terms, conditions and exclusions applicable to such insurance) includes liability assumed by the Named Insured under the indemnification and/or hold harmless provision(s) contained in or executed in conjunction with the written agreement(s) or permit(s) designated above, between the Named Insured and the Additional Insureds.

6. The policy to which this endorsement is attached shall not be subject to cancellation, change in coverage, reduction of limits (except as the result of the payment of claims), or non-renewal except after written notice to Public Agency, by certified mail, return receipt requested, not less than thirty (30) days prior to the effective date thereof. In the event of Company's failure to comply with this notice provision, the policy as initially drafted will continue in full force and effect until compliance with this notice requirement.

7. Company hereby waives all rights of subrogation and contribution against the Additional Insureds, while acting within the scope of their duties, from all claims, losses and liabilities arising out of or incident to the perils insured against in relation to those activities described generally above with regard to operations performed by or on behalf of the Named Insured regardless of any prior, concurrent, or subsequent active or passive negligence by the Additional Insureds.

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01257.0001/868099.1

8. It is hereby agreed that the laws of the State of California shall apply to and govern the validity, construction, interpretation, and enforcement of this contract of insurance.

9. This endorsement and all notices given hereunder shall be sent to Public Agency at:

City Manager, City of South El Monte, 1415 Santa Anita Avenue, South El Monte, California 91733

10. Except as stated above and not in conflict with this endorsement, nothing contained herein shall be held to waive, alter or extend any of the limits, agreements, or exclusions of the policy to which this endorsement is attached.

TYPE OF COVERAGES TO WHICH POLICY PERIOD LIMITS OF

THIS ENDORSEMENT ATTACHES FROM/TO LIABILITY

11. Scheduled items or locations are to be identified on an attached sheet. The following inclusions relate to the above coverages. Includes:
□ Contractual Liability □ Explosion Hazard
□ Owners/Landlords/Tenants □ Collapse Hazard
□ Manufacturers/Contractors □ Underground Property Damage □ Products/Completed Operations □ Pollution Liability
□ Broad Form Property Damage □ Liquor Liability
□ Extended Bodily Injury □
□ Broad Form Comprehensive □
General Liability Endorsement □

12. A □ deductible or □ self-insured retention (check one) of $ applies to all coverage(s) except:
(if none, so state). The deductible is applicable □ per claim or □ per occurrence (check one).

13. This is an □ occurrence or □ claims made policy (check one).

14. This endorsement is effective on at 12:01 a.m. and forms a part of Policy Number .
(signatures on following page)
I, (print name), hereby
declare under penalty of perjury under the laws of the State of California, that I have the authority to bind the Company to this endorsement and that by my execution hereof, I do so bind the Company.

Page 202 of 427 ends

01257.0001/868099.1
Executed , 20
Signature of Authorized Representative
(Original signature only; no facsimile signature
Telephone No.: ( ) or initialed signature accepted)

Page 203 of 427 ends

01257.0001/868099.1

ADDITIONAL INSURED ENDORSEMENT

AUTOMOBILE LIABILITY
Name and address of named insured (“Named Insured”)
Name and address of Insurance Company (“Company”)
General description of agreement(s), permit(s), license(s), and/or activity(ies) insured Notwithstanding any inconsistent statement in the policy to which this endorsement is attached (the “Policy”) or in any endorsement now or hereafter attached thereto, it is agreed as follows:

5. The insurance afforded by the Policy for contractual liability insurance (subject to the terms, conditions and exclusions applicable to such insurance) includes liability assumed by the Named Insured under the indemnification and/or hold harmless provision(s) contained or executed in conjunction with the written agreement(s) or permit(s) designated above, between the Named Insured and the Additional Insureds.

6. The policy to which this endorsement is attached shall not be subject to cancellation, change in coverage, reduction of limits (except as the result of the payment of claims), or non-renewal except after written notice to Public Agency, by certified mail, return receipt requested, not less than thirty (30) days prior to the effective date thereto. In the event of Company's failure to comply with this notice provision, the policy as initially drafted will continue in full force and effect until compliance with this notice requirement.

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01257.0001/868099.1

8. It is hereby agreed that the laws of the State of California shall apply to and govern the validity, construction, interpretation, and enforcement of this contract of insurance.

9. This endorsement and all notices given hereunder shall be sent to Public Agency at:

City Manager
City of SOUTH EL MONTE
1415 Santa Anita Avenue
SOUTH EL MONTE, California 91733

TYPE OF COVERAGES TO WHICH POLICY PERIOD LIMITS OF

THIS ENDORSEMENT ATTACHES FROM/TO LIABILITY

11. Scheduled items or locations are to be identified on an attached sheet. The following inclusions relate to the above coverages. Includes:
□ Any Automobiles □ Truckers Coverage
□ All Owned Automobiles □ Motor Carrier Act
□ Non-owned Automobiles □ Bus Regulatory Reform Act
□ Hired Automobiles □ Public Livery Coverage
□ Scheduled Automobiles □
□ Garage Coverage □

12. A □ deductible or □ self-insured retention (check one) of $ applies to all coverage(s) except: (if none, so state). The deductible is applicable □ per claim or □ per occurrence (check one).

13. This is an □ occurrence or □ claims made policy (check one).

14. This endorsement is effective on at 12:01 a.m. and forms a part of Policy Number .
(signatures on following page)

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01257.0001/868099.1
I, (print name), hereby
declare under penalty of perjury under the laws of the State of California, that I have the authority to bind the Company to this endorsement and that by my execution hereof, I do so bind the Company.

Executed , 20
Signature of Authorized Representative
(Original signature only; no facsimile signature
Telephone No.: ( ) or initialed signature accepted)

Page 206 of 427 ends

01257.0001/868099.1

ADDITIONAL INSURED ENDORSEMENT

EXCESS LIABILITY
Name and address of named insured (“Named Insured”)
Name and address of Insurance Company (“Company”)
General description of agreement(s), permit(s), license(s), and/or activity(ies) insured Notwithstanding any inconsistent statement in the policy to which this endorsement is attached (the “Policy”) or in any endorsement now or hereafter attached thereto, it is agreed as follows:

3. Each insurance coverage under the Policy shall apply separately to each Additional Insured against whom claim is made or suit is brought, except with respect to the limits of the Company's liability.

6. The policy to which this endorsement is attached shall not be subject to cancellation, change in coverage, reduction of limits (except as the result of the payment of claims), or non-renewal except after written notice to Public Agency, by certified mail, return receipt requested, not less than thirty (30) days prior to the effective date thereto. In the event of Company's failure to comply with this notice provision, the policy as initially drafted will continue in full force and effect until compliance with this notice requirement.

8. It is hereby agreed that the laws of the State of California shall apply to and govern the validity, construction, interpretation, and enforcement of this contract of insurance.

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01257.0001/868099.1

9. This endorsement and all notices given hereunder shall be sent to Public Agency at:

City Manager
City of SOUTH EL MONTE
1415 Santa Anita Avenue
SOUTH EL MONTE, California 91733

TYPE OF COVERAGES TO WHICH POLICY PERIOD LIMITS OF

THIS ENDORSEMENT ATTACHES FROM/TO LIABILITY
□ Following Form
□ Umbrella Liability
□

11. Applicable underlying coverages:

INSURANCE COMPANY POLICY NO. AMOUNT

12. The following inclusions, exclusions, extensions or specific provisions relate to the above coverages:

13. A □ deductible or □ self-insured retention (check one) of $ applies to all coverage(s) except:
(if none, so state). The deductible is applicable □ per claim or □ per occurrence (check one).

14. This is an □ occurrence or □ claims made policy (check one).

15. This endorsement is effective on at 12:01 a.m. and forms a part of Policy Number .
(signatures on following page)

Page 208 of 427 ends

Executed , 20
Signature of Authorized Representative
(Original signature only; no facsimile signature
Telephone No.: ( ) or initialed signature accepted)

Page 209 of 427 ends

City Council Agenda Report
Agenda Item No. 7.d.

DATE: March 28, 2023
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Rene Salas, City Manager
SUBJECT: CITY COUNCIL TO RECEIVE AND FILE THE CITY OF SOUTH

EL MONTE HOUSING ELEMENT ANNUAL PROGRESS
REPORT
SUMMARY: As required by State law, staff is submitting the City of South El Monte Housing Element Progress Report to the California Department of Housing and Community Development and the Governor's Office of Planning and Research to ensure compliance with Government Code Section 65400(a).

RECOMMENDED ACTION: Staff recommends City Council receive and file the City of South El Monte Housing Element Annual Progress Report.

FISCAL/FINANCIAL IMPACT: There is no fiscal impact for this reporting requirement.

DISCUSSION: Government Code Section 65400(a) requires that all cities and counties provide an annual report to the California Department of Housing and Community Development (HCD) and the Governor's Office of Planning and Research (OPR) regarding the Housing Element implementation and progress toward meeting their Regional Housing Needs Assessment (RHNA) allocation goal. The City’s RHNA allocation goal for the 2021-2029 planning period is 577units and is divided among four targeted income levels:
o Very-Low (50 percent of Area Median Income (AMI)),
o Low (80 percent of AMI),
o Moderate (100 percent of AMI)
o Above-Moderate (120 percent of AMI).

The AMI for the City of South El Monte (Los Angeles County) in 2022 was $91,100.

Page 210 of 427 ends

City of South El Monte
Progress Toward Meeting RHNA Allocation 2021-2029
Extremely
Low
Low Moderate Above
Moderate
Total
6th Cycle
Units
Required
131 64 70 312 577
Calendar Year
2022
22 22
Remaining
Units
131 58 70 289 550
5th Cycle
2013-2020
RHNA
Required
Units
43 25 28 76 172
Carryover
(Units
Required) 5th
Cycle
Shortfall
43 5 28 none/met
criteria
76 Combined
Required
Totals
(5th Cycle
Shortfall & 6th
Cycle Req.)
131 + 43 =
174
58 + 5 =
63 70 + 28 =
98 306 641
Staff Report prepared by Angie Hernandez, Community Development Executive Assistant.

ATTACHMENT(S):

A. Annual Progress Report 2022

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2022 SOUTH EL MONTE Housing Element Annual Progress Report General InformationFirst Name Angie Street Address 1415 Santa Anita Ave Phone 6265796540Last Name Hernandez City South El Monte Email [email protected] Community Development Executive Assistant
Zip Code 91733
Comments: Include any additional information or explanation for the information provided in the following tables.

SOUTH EL MONTE - 2022 1

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE A - Housing Development Applications SubmittedUnit Information Project Identifier Proposed Units Affordability by Household Incomes Current APN Street
Address
Very LowIncome Deed
Restricted
Very LowIncome Non
Deed
Restricted
Low-Income
Deed
Restricted
Low-Income
Non Deed
Restricted
ModerateIncome Deed
Restricted
ModerateIncome Non
Deed
Restricted
Above
ModerateIncome
Total
Proposed
Units by
Project
Total
Approved
Units by
Project
Total
Disapproved
Units by
Project
8103-024-041 2532 Edwards
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8103-024-040 2542 Edwards
Ave, South El
Monte CA
91733
0 0 0 0 0 0 2 2 2 0
8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8114-033-004 1634 Leafdale
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8117-022-016 1429 Seaman
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8119-007-066 1047 Farmer
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8118-015-012 11142
Maplefield
Street, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
SOUTH EL MONTE - 2022 2

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8103-014-018 2313 Santa
Anita Ave,
South El Monte
CA 91733
0 0 0 0 0 0 1 1 1 0
8117-023-012 9948 La
Madrina Drive,
South El Monte
CA 91733
0 0 0 0 0 0 1 1 1 0
8114-026-011 1745 Penn Mar
Ave, South El
Monte CA
0 0 0 0 0 0 1 1 1 0
8104-017-035 10841,43,45
Klingerman
Street, South El
Monte CA
91733
0 0 0 0 0 0 1 1 3 0
8103-007-013 2517 Luder
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8103-007-013 2515 Luder
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8104-025-011 2315 Granada
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
0 0 0 0 0 0 1 1 1 0
8118-008-038 1403 Leafdale
Ave, South El
Monte CA
91733
0 0 0 0 0 0 1 1 1 0
SOUTH EL MONTE - 2022 3

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8118-015-036 11223
Maplefield Ave,
South El Monte
CA 91733
0 0 0 0 0 0 1 1 1 0
8118-015-036 11221
Maplefield Ave,
South El Monte
CA 91733
0 0 0 0 0 0 1 1 1 0
8581-038-059 3035 Adelia
Ave, (Unit #A,
B, C), Soutl El
Monte CA
91733
0 0 0 0 0 0 3 3 3 0
Totals 0 0 0 0 0 0 22 22 24 0
SOUTH EL MONTE - 2022 4

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Project Information
Project Identifier Unit Types Density Bonus Applications Prior APN Current APN Street
Address
Project Name Local
Jurisdiction
Tracking ID
Unit
Category
Tenure Date
Application
Submitted
Was
Application
Submitted
Pursuant to
SB 35
Streamlining?
Was a Density
Bonus
requested for
this housing
development?
Was a Density
Bonus
approved for
this housing
development?
Please
indicate the
status of the
application
Notes
8103-024-041 8103-024-041 2532 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-006 ADU Owner 12/22/2022 No No N/A Approved Propose 2 2- story ADU (APN8103-024-041)
8103-024-040 8103-024-040 2542 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-005 ADU Owner 12/22/2022 No No N/A Approved Proposed 2 stories detached (2)ADUs.(APN8103-024-040)
8116-011-018 8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
Coversion -
Attached
JADU
Permit # RESACC-22-024 ADU Owner 11/23/2022 No No N/A Approved Convert a laundry room (162 sqft) andexistingbedroom (173sqft) to be partof an attachedJADU at 335sqft (APN8116-011-018) 8114-033-004 8114-033-004 1634 Leafdale
Ave, South El
Monte CA
91733
Permit # RESACC-22-035 ADU Owner 12/15/2022 No No N/A Approved ADU dwelling roughly 810 sq ft with a 2 ftporch (APN8114-033-004)
8117-022-016 8117-022-016 1429 Seaman
Ave, South El
Monte CA
91733
Permit # RESACC-22-012 ADU Owner 12/13/2022 No No N/A Approved Detached Garage converted toan 417 sq ftADU (8117-022-016)
SOUTH EL MONTE - 2022 5

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8119-007-066 8119-007-066 1047 Farmer
Ave, South El
Monte CA
91733
Permit # RESACC-21-016 ADU Owner 06/29/2022 No No N/A Approved New ADU, 494 sqft - detached (APN8119-007-066)
8118-015-012 8118-015-012 11142
Maplefield
Street, South
El Monte CA
91733
Permit# RESACC-21-025 ADU Owner 05/23/2022 No No N/A Approved Conversion of existing detachedgarage intoaccessorydwelling unit(ADU) andnorth & southadditions tocreate a largerADU. Existinggarage area =406,7 Northaddition area =109, Southaddition area =121. Total newaddition = 230sq. ft. (APN8118-015-012) 8103-014-018 8103-014-018 2313 Santa
Anita Ave,
South El
Monte CA
91733
Permit # RESACC-22-002 ADU Owner 12/05/2022 No No N/A Approved Convert existing detachedgarage andadd335QFT tocreate anADU (Apn8103-014-018) 8117-023-012 8117-023-012 9948 La
Madrina Drive,
South El
Monte CA
91733
Permit # RESACC-22-007 ADU Owner 04/13/2022 No No N/A Approved Convert existing room to ADU (Detached) 800sqft (APN8117-023-012)
SOUTH EL MONTE - 2022 6

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8114-026-011 8114-026-011 1745 Penn
Mar Ave,
South El
Monte CA
Permit #27947 ADU Owner 01/20/2022 No No N/A Approved New detached ADU (1,000sqft)2bed2bath(APN 8114-026-011)
8104-017-035 8104-017-035 10841,43,45
Klingerman
Street, South
El Monte CA
91733
Permit # 27972 ADU Owner 02/01/2022 No No N/A Approved New 2 Story Addition, NewSFD, NewSFD withattachedgarage tobecome atriplex with a 4-car detachedgarage (APN8104-017-035) 8103-007-013 8103-007-013 2517 Luder
Ave, South El
Monte CA
91733
Permit # 27973 ADU Owner 03/31/2022 No No N/A Approved NEW detached 800 sqft ADUwith a 528 sqft2-car garage(APN: 8103-007-013) 8103-007-013 8103-007-013 2515 Luder
Ave, South El
Monte CA
91733
Permit # 27974 ADU Owner 03/31/2022 No No N/A Approved 2 Story addition to anExisting SFD 4bedroom 3bathwith kitchen,family rm,convert kitchento Living room(2433sqft)(APN: 8103-007-013) 8104-025-011 8104-025-011 2315 Granada
Ave, South El
Monte CA
91733
Permit # 27979 ADU Owner 04/21/2022 No No N/A Approved 1000 sqft ADU with attachednew 637 sqftGarage (APN8104-025-011)
SOUTH EL MONTE - 2022 7

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8116-011-018 8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
Detached ADU Permit # 28003 ADU Owner 06/30/2022 No No N/A Approved Detached New 998 sq ft ADUwith New 2CarGarage (492)and Porch(198)(APN:8116-011-018) 8118-*008-038 8118-008-038 1403 Leafdale
Ave, South El
Monte CA
91733
Permit # 28020 ADU Owner 10/06/2022 No No N/A Approved Converted AttachedGarage into anADU (350sqft)(Apn 8118-008-038)
8118-015-036 8118-015-036 11223
Maplefield
Ave, South El
Monte CA
91733
Permit#20841 ADU Owner 12/14/2022 No No N/A Approved Converted AttachedGarage into anADU (400sqft)(APN 8118-015-036)
8118-015-036 8118-015-036 11221
Maplefield
Ave, South El
Monte CA
91733
Permit # 20847 ADU Owner 12/14/2022 No No N/A Approved Addition - Legalize anunpermittedbed/bath andadd 262sqftbedroom (528)(APN: 8118-015-036) 8581-038-059 8581-038-059 3035 Adelia
Ave, (Unit #A,
B, C), Soutl El
Monte CA
91733
Permit # 27956 2 to 4 Owner 02/01/2022 No No N/A Approved 3 unit ApartmentBuilding withAttached 2 cargarages (1,088sq ft) (APN8581-038-059) SOUTH EL MONTE - 2022 8

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE A2 - Annual Building Activity Report Summary - New ConstructionEntitlements Project Identifier Affordability by Household Income - Entitlements Current APN Street
Address
Local
Jurisdiction
Tracking ID
Very LowIncome Deed
Restricted
Very LowIncome Non
Deed
Restricted
Low-Income
Deed
Restricted
Low-Income
Non Deed
Restricted
ModerateIncome Deed
Restricted
ModerateIncome Non
Deed
Restricted
Above
ModerateIncome
Entitlement
Date
Approved
# of Units
Issued
Entitlements
8103-024-041 2532 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-006
0 0 0 0 0 0 0 0
8103-024-040 2542 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-005
0 0 0 0 0 0 0 0
8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
Permit # RESACC-22-024
0 0 0 0 0 0 0 0
8114-033-004 1634 Leafdale
Ave, South El
Monte CA
91733
Permit # RESACC-22-035
0 0 0 0 0 0 0 0
8117-022-016 1429 Seaman
Ave, South El
Monte CA
91733
Permit # RESACC-22-012
0 0 0 0 0 0 0 0
8119-007-066 1047 Farmer
Ave, South El
Monte CA
91733
Permit # RESACC-21-016
0 0 0 0 0 0 0 0
8118-015-012 11142
Maplefield
Street, South El
Monte CA
91733
Permit# RESACC-21-025
0 0 0 0 0 0 0 0
SOUTH EL MONTE - 2022 9

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8103-014-018 2313 Santa
Anita Ave,
South El Monte
CA 91733
Permit # RESACC-22-002
0 0 0 0 0 0 0 0
8117-023-012 9948 La
Madrina Drive,
South El Monte
CA 91733
Permit # RESACC-22-007
0 0 0 0 0 0 0 0
8114-026-011 1745 Penn Mar
Ave, South El
Monte CA
Permit #27947 0 0 0 0 0 0 0 0
8104-017-035 10841,43,45
Klingerman
Street, South El
Monte CA
91733
Permit # 27972 0 0 0 0 0 0 0 0
8103-007-013 2517 Luder
Ave, South El
Monte CA
91733
Permit # 27973 0 0 0 0 0 0 0 0
8103-007-013 2515 Luder
Ave, South El
Monte CA
91733
Permit # 27974 0 0 0 0 0 0 0 0
8104-025-011 2315 Granada
Ave, South El
Monte CA
91733
Permit # 27979 0 0 0 0 0 0 0 0
8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
Permit # 28003 0 0 0 0 0 0 0 0
8118-008-038 1403 Leafdale
Ave, South El
Monte CA
91733
Permit # 28020 0 0 0 0 0 0 0 0
SOUTH EL MONTE - 2022 10

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8118-015-036 11223
Maplefield Ave,
South El Monte
CA 91733
Permit#20841 0 0 0 0 0 0 0 0
8118-015-036 11221
Maplefield Ave,
South El Monte
CA 91733
Permit # 20847 0 0 0 0 0 0 0 0
8581-038-059 3035 Adelia
Ave (Unit # A,
B, C), South El
Monte CA
91733
Permit # 27956 0 0 0 0 0 0 0 0
Totals 0 0 0 0 0 0 0 0
SOUTH EL MONTE - 2022 11

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Building Permits
Project Identifier Affordability by Household Income - Building Permits Current APN Street
Address
Local
Jurisdiction
Tracking ID
Very LowIncome Deed
Restricted
Very LowIncome Non
Deed
Restricted
Low-Income
Deed
Restricted
Low-Income
Non Deed
Restricted
ModerateIncome Deed
Restricted
ModerateIncome Non
Deed
Restricted
Above
ModerateIncome
Building
Permits Date
Issued
# of Units
Issued
Building
Permits
8103-024-041 2532 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-006 0 0 0 0 0 0 2 12/22/2022 2
8103-024-040 2542 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-005 0 0 0 0 0 0 1 12/22/2022 1
8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
Permit # RESACC-22-024 0 0 0 0 0 0 1 11/23/2022 1
8114-033-004 1634 Leafdale
Ave, South El
Monte CA
91733
Permit # RESACC-22-035 0 0 0 0 0 0 1 12/15/2022 1
8117-022-016 1429 Seaman
Ave, South El
Monte CA
91733
Permit # RESACC-22-012 0 0 0 0 0 0 1 12/13/2022 1
8119-007-066 1047 Farmer
Ave, South El
Monte CA
91733
Permit # RESACC-21-016 0 0 0 0 0 0 1 06/29/2022 1
8118-015-012 11142
Maplefield
Street, South El
Monte CA
91733
Permit# RESACC-21-025 0 0 0 0 0 0 1 05/23/2022 1
SOUTH EL MONTE - 2022 12

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8103-014-018 2313 Santa
Anita Ave,
South El Monte
CA 91733
Permit # RESACC-22-002
0 0 0 0 0 0 1 12/05/2022 1
8117-023-012 9948 La
Madrina Drive,
South El Monte
CA 91733
Permit # RESACC-22-007
0 0 0 0 0 0 1 04/13/2022 1
8114-026-011 1745 Penn Mar
Ave, South El
Monte CA
Permit #27947 0 0 0 0 0 0 1 01/20/2022 1
8104-017-035 10841,43,45
Klingerman
Street, South El
Monte CA
91733
Permit # 27972 0 0 0 0 0 0 1 03/28/2022 1
8103-007-013 2517 Luder
Ave, South El
Monte CA
91733
Permit # 27973 0 0 0 0 0 0 1 03/31/2022 1
8103-007-013 2515 Luder
Ave, South El
Monte CA
91733
Permit # 27974 0 0 0 0 0 0 1 03/31/2022 1
8104-025-011 2315 Granada
Ave, South El
Monte CA
91733
Permit # 27979 0 0 0 0 0 0 1 04/21/2022 1
8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
Permit # 28003 0 0 0 0 0 0 1 06/30/2022 1
8118-008-038 1403 Leafdale
Ave, South El
Monte CA
91733
Permit # 28020 0 0 0 0 0 0 1 10/06/2022 1
SOUTH EL MONTE - 2022 13

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8118-015-036 11223
Maplefield Ave,
South El Monte
CA 91733
Permit#20841 0 0 0 0 0 0 1 12/14/2022 1
8118-015-036 11221
Maplefield Ave,
South El Monte
CA 91733
Permit # 20847 0 0 0 0 0 0 1 12/14/2022 1
8581-038-059 3035 Adelia
Ave (Unit # A,
B, C), South El
Monte CA
91733
Permit # 27956 0 0 0 0 0 0 3 02/01/2022 3
Totals 0 0 0 0 0 0 22 22
SOUTH EL MONTE - 2022 14

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Certificate of Occupancy
Project Identifier Affordability by Household Income - Certificate of Occupancy Current APN Street
Address
Local
Jurisdiction
Tracking ID
Very LowIncome Deed
Restricted
Very LowIncome Non
Deed
Restricted
Low-Income
Deed
Restricted
Low-Income
Non Deed
Restricted
ModerateIncome Deed
Restricted
ModerateIncome Non
Deed
Restricted
Above
ModerateIncome
Certificates of
Occupancy or
other forms of
readiness
Date Issued
# of Units
Issued
Certificates ofOccupancy or
other forms of
readiness
8103-024-041 2532 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-006 0 0 0 0 0 0 0 0
8103-024-040 2542 Edwards
Ave, South El
Monte CA
91733
Permit # RESNEW-22-005 0 0 0 0 0 0 0 0
8116-011-018 1448 Millet
Avenue, South
El Monte CA
91733
Permit # RESACC-22-024 0 0 0 0 0 0 0 0
8114-033-004 1634 Leafdale
Ave, South El
Monte CA
91733
Permit # RESACC-22-035 0 0 0 0 0 0 0 0
8117-022-016 1429 Seaman
Ave, South El
Monte CA
91733
Permit # RESACC-22-012 0 0 0 0 0 0 0 0
8119-007-066 1047 Farmer
Ave, South El
Monte CA
91733
Permit # RESACC-21-016 0 0 0 0 0 0 0 0
8118-015-012 11142
Maplefield
Street, South El
Monte CA
91733
Permit# RESACC-21-025 0 0 0 0 0 0 0 0
SOUTH EL MONTE - 2022 15

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Page 227 of 427 ends

Page 228 of 427 ends

Project Information
Project Identifier Unit Types Housing with
Financial
Assistance and/or
Deed Restrictions
Demolished/Destroyed Units
Units?
Prior
APN
Current
APN
Street
Address
Project
Name
Local
Jurisdicti
on
Tracking
ID
Unit
Category
Tenure Extremel
y Low
Income
Units
Was
Project
Approve
d using
SB 35
Streamli
ning?
Infill
Units?
Assistan
ce
Program
s for
each
Develop
ment
Deed
Restricti
on Type
Housing
without
Financial
Assistan
ce or
Deed
Restricti
ons
Term of
Affordabi
lity or
Deed
Restricti
on
Number
of
Demolish
ed/
Destroye
d Units
Demolish
ed or
Destroye
d Units?
Demolish
ed/ or
Destroye
d Units
Owner or
Renter
Notes
8103-024
-041
8103-024
-041
2532
Edwards
Ave,
South El
Monte CA
91733
Permit #
RESNEW-22-
006
ADU Owner 0 N N Other 0 Deed
RestrictionRecorded
8103-024
-040
8103-024
-040
2542
Edwards
Ave,
South El
Monte CA
91733
Permit #
RESNEW-22-
005
ADU Owner 0 N N Other 0 Deed
RestrictionRecorded
8116-011
-018
8116-011
-018
1448
Millet
Avenue,
South El
Monte CA
91733
Coversion - Attached
JADU
Permit #

RES-ACC
-22-024
ADU Owner 0 N N Other 0 Deed
RestrictionRecorded
8114-033
-004
8114-033
-004
1634
Leafdale
Ave,
South El
Monte CA
91733
Permit #

RES-ACC
-22-035
ADU Owner 0 N N Other 0 City Deed
Recorded
SOUTH EL MONTE - 2022 18

Page 229 of 427 ends

8117-022
-016
8117-022
-016
1429
Seaman
Ave,
South El
Monte CA
91733
Permit #

RES-ACC
-22-012
ADU Owner 0 N N Other 0 City Deed
Recorded
8119-007
-066
8119-007
-066
1047
Farmer
Ave,
South El
Monte CA
91733
Permit #

RES-ACC
-21-016
ADU Owner 0 N N Other 0 City Deed
Recorded
8118-015
-012
8118-015
-012
11142
Maplefiel
d Street,South El
Monte CA
91733
Permit#

RES-ACC
-21-025
ADU Owner 0 N N Other 0 City Deed
Recorded
8103-014
-018
8103-014
-018
2313
Santa
Anita
Ave,
South El
Monte CA
91733
Permit #

RES-ACC
-22-002
ADU Owner 0 N N Other 0 City Deed
Recorded
8117-023
-012
8117-023
-012
9948 La
Madrina
Drive,
South El
Monte CA
91733
Permit #

RES-ACC
-22-007
ADU Owner 0 N N Other 0 City Deed
Recorded
8114-026
-011
8114-026
-011
1745
Penn Mar
Ave,
South El
Monte CA
Permit
#27947
ADU Owner 0 N N Other 0 City Deed
Recorded
SOUTH EL MONTE - 2022 19

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8104-017
-035
8104-017
-035
10841,43,
45 Klingerma
n Street,South El
Monte CA
91733
Permit #
27972
ADU Owner 0 N N Other 0 City Deed
Recorded
8103-007
-013
8103-007
-013
2517
Luder
Ave,
South El
Monte CA
91733
Permit #
27973
ADU Owner 0 N N Other 0 City Deed
Recorded
8103-007
-013
8103-007
-013
2515
Luder
Ave,
South El
Monte CA
91733
Permit #
27974
ADU Owner 0 N N Other 0 City Deed
Recorded
8104-025
-011
8104-025
-011
2315
Granada
Ave,
South El
Monte CA
91733
Permit #
27979
ADU Owner 0 N N Other 0 City Deed
Recorded
8116-011
-018
8116-011
-018
1448
Millet
Avenue,
South El
Monte CA
91733
Detached
ADU
Permit #
28003
ADU Owner 0 N N Other 0 City Deed
Recorded
8118-
*008-038
8118-008
-038
1403
Leafdale
Ave,
South El
Monte CA
91733
Permit #
28020
ADU Owner 0 N N Other 0 City Deed
Recorded
SOUTH EL MONTE - 2022 20

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8118-015
-036
8118-015
-036
11223
Maplefiel
d Ave,
South El
Monte CA
91733
Permit#2
0841
ADU Owner 0 N N Other 0 City Deed
Recorded
8118-015
-036
8118-015
-036
11221
Maplefiel
d Ave,
South El
Monte CA
91733
Permit #
20847
ADU Owner 0 N N Other 0 City Deed
Recorded
8581-038
-059
8581-038
-059
3035
Adelia
Ave (Unit
# A, B,
C), South
El Monte
CA 91733
Permit #
27956
2 to 4 Owner 0 N N Other 0 Entitleme
ntApproved2018,Buildingpermitsissued02/01/2022
Density Bonus
Project Identifier Density Bonus
Current APN Street Address Local Jurisdiction
Tracking ID
Deed Restriction Type Total Density Bonus
Applied to the Project
(Percentage Increase
in Total Allowable
Units or Total
Maximum Allowable
Residential Gross
Floor Area)
Number of Other
Incentives,
Concessions,
Waivers, or Other
Modifications Given to
the Project (Excluding
Parking Waivers or
Parking Reductions)
List the incentives,
concessions, waivers,
and modifications
(Excluding ParkingWaivers or Parking
Modifications)
Did the project receive
a reduction or waiver
of parking standards?
(Y/N)
SOUTH EL MONTE - 2022 21

Page 232 of 427 ends

Very Low* 131
Deed
restricted
0 0 0 0 0 0 0 0 0 0
0 131
NonRestricted 0 0 0 0 0 0 0 0 0 0
Low 64
Deed
restricted
3 1 0 0 0 0 0 0 0 0
4 60
NonRestricted 0 0 0 0 0 0 0 0 0 0
Moderate 70
Deed
restricted
0 0 0 0 0 0 0 0 0 0
0 70
NonRestricted 0 0 0 0 0 0 0 0 0 0
Above
Moderate
312 0 1 22 0 0 0 0 0 0 0 23 289
Total Units 3 2 22 0 0 0 0 0 0 0 27
Total
RHNA
577 Total Remaining Need for RHNA Period 550
Extremely Low-Income
Units**
66 0 0 0 0 0 0 0 0 0 0 66
For the last year of the 5th cycle planning period, Table B will only include units that were permitted before the end date of the 5th cycle planning period.For the first year of the 6th cycle planning period, Table B will only include units that were permitted since the start date of the 6th cycle planning period. 2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE B - Regional Housing Needs Allocation ProgressPermitted Units Issued by Affordability Income
Level
RHNA
Allocation
Restriction
s
Projection
Period
Year 1 -
2021
Year 2 -
2022
Year 3 -
2023
Year 4 -
2024
Year 5 -
2025
Year 6 -
2026
Year 7 -
2027
Year 8 -
2028
Year 9 -
2029
Total Units
to Date (all
years)
Total
Remaining
RHNA by
Income
Level
Progress toward extremely low-income housing need, as determined pursuant to Government Code 65583(a)(1) Extremely
Low-Income
Need
Year 1 -
2021
Year 2 -
2022
Year 3 -
2023
Year 4 -
2024
Year 5 -
2025
Year 6 -
2026
Year 7 -
2027
Year 8 -
2028
Year 9 -
2029
Total Units
to Date
Total
Remaining
ELI Need
SOUTH EL MONTE - 2022 22

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Projection Period units are included in a separate column. *Units serving extremely low-income households must be included in the very low-income permitted totals in order to be credited toward the RHNA.**Extremely low-income units determined pursuant to Government Code 65583(a)(1). Default value is half of the very low-income RHNA. May be overwritten.

SOUTH EL MONTE - 2022 23

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE C - Sites Identified or Rezoned to Accommodate Shortfall Housing Need No Data Available
SOUTH EL MONTE - 2022 24

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE D - Program Implementation Status
Program Description Housing Programs Progress Report - Government Code Section 65583 Name of Housing Element
Program
Objective Timeframe in H.E. Status of Program Implementation

AFFORDABLE HOUSINGOVERLAY ZONE
Affordable Housing Overlay establishes specificincentives for the development of affordable housing.The Overlay will provide a range of potential regulatoryconcessions for affordable projects, including flexibilityin height limits, reduced parking, minimal setbacks,and/or reduced open space requirements. Incentivesinclude waiving some or all of the development fees.Residential development withinmixed-use areas is permitted both as stand-aloneresidential infill, as well as an integrated mixed-usedevelopments. The Affordable Housing Overlaymay also be used on a project-by-project basis in R-3neighborhoods for quality affordable developmentswhich blend well with the surrounding neighborhood.

Continuous This is an ongoing effort and will continue

IMPLEMENTATION OF MIXEDUSE (C-R) ZONE
The City amended the Zoning Ordinance to permitmixed-use development using the new C-R zonedistrict, the designation will permit both stand-aloneinfill residential development as well as traditionalmixed-use development where commercial uses andresidential uses are located in the same structure.(Commercial Residential) zone district.

Continuous This is an ongoing effort and will continue
GENERAL PLAN AND ZONINGORDINANCE REVIEW ANDUPDATE.

There will be an annual review of the General Plan todocument its consistency with the HousingElement goals, policies, and programs.

Continuous This is an ongoing effort and will continue
SOUTH EL MONTE - 2022 25

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SECOND UNIT HOUSING

PROGRAM
The first element of this program involves thecontinued use of a zoning provision that will continueto permitthe development of an additional (second) housing uniton any R-1 Zoned lot. The additional housing unitsare permitted by right as long as they conform to thedevelopment standards for the R-1 Zone. Anexpanded component of this existing program willpermit the City to waive application fees if the propertyowner agrees to an affordability covenant that wouldplace an affordability restriction on the new units for agiven period.

Continuous The Accessory Dwelling Unit Ordinace was amended and adpoted in the last quarter of 2017. The Citycontinues to promote this program.

HOUSING CHOICE VOUCHERPROGRAM
A federally funded rental program thatassists very low-income families, elderly, and disabledhouseholds. Decent, safe, and sanitary housing unitsare provided to households through rental vouchers.Participants may find their own housing includingsingle-family homes, townhouse, and apartments. TheBaldwin Park Housing Authority administers theHousing Vouchers for five jurisdictions in the regionincluding South El Monte. Participants are able toselect any housing that meets the requirements of theprogram and is not limited to units located insubsidized housing projects. The City of South ElMonte has approximately 40 residents who currentlyparticipate in this program.

Continuous This program is ongoing.

IDENTIFICATION OF ELI ANDLOW INCOME HOUSINGFUNDING SOURCES The City proactively continues to pursue availablefunding sources to assist in the development of lowerincome, including extremely low-income housing. TheCity continues to apply for State and Federalassistance including, but not limited to, CDBG andHome funding. Other funding sourceswill continue to be explored including Prop 1-C andLocal Housing Trust Funds.

Continuous This program is ongoing and will be continued.

SOUTH EL MONTE - 2022 26

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LOT CONSOLIDATION

PROGRAM
In the absence of redevelopment, the City has limitedoptions to assemble individual privately-ownedproperties for new larger developments. As a result,the City is required to rely solely on the private markettoaccomplish a consolidation of lots. This program is anongoing program that recognizes the importance ofpublic-private partnerships in assembling andredeveloping infill parcels.

Continuous The program is ongoing and will be continued.

EMERGENCY HOUSINGPROGRAM
The City recently amended the Zoning Ordinance topermit emergency shelters in an area located in thenorthwestern portion of the City just south of GarveyAvenue and west of Rosemead Boulevard. The City’sZoning Ordinance was amended to permit such usesby right without discretionary review within this zone,and to ensure emergency shelters are only subject tothe same development and management standardsthatapply to other allowed uses within the overlay area.This zone was specifically selected because of itsproximityto transportation, public services, and the underlyinguses that could more easily accommodate the use. 2014-2021 The rezoning has been completed though the City will continue toensure that the available zoning is identified so that itmay be effectively implemented.

TRANSITIONAL HOUSINGPROGRAM
To comply with State law, the City of South El Montehas amended the Zoning Ordinance to permittransitional housing as a residential use and onlysubject to those restrictions that apply to otherresidential uses of the same type in the same zone(Ordinance No.1183). 2014-2021 The Zoning Ordinance Amendment has been
completed.

SUPPORTIVE HOUSINGPROGRAM
The City of South El Monte has amended the ZoningOrdinance to permit supportive housing as aresidential use and only subject to those restrictionsthat apply to other residential uses of the same type inthe same zone (Ordinance No. 1183). 2014-2021 The Zoning Ordinance Amendment has been
completed.

SOUTH EL MONTE - 2022 27

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SANTA ANITA AVENUE MIXEDUSE AND SROHOUSING

PROGRAM
The recent rezoning and General Plan Amendmentnow permits residential developments and mixed-useprojects as infill development within the overlay zone.The rezoning now permits conventional mixed-usedevelopment that would involve ground levelcommercial uses with residential units in the aboveground levels, infill developments consisting of entirelyresidential land uses, and developments whereresidential units and commercial uses would share thesame parcel. In addition, single room occupancy(SRO) developments would be permitted pursuant toState law. 2014-2021 The City has completed the required rezoning that implements this program which was initiated during theprevious 4th Housing Element Cycle.

COUNTYWIDE AFFORDABLERENTAL HOUSINGDEVELOPMENT PROGRAM
Financial assistance is provided through the provisionof "gap"financing in the form of both short- and long-term loansfor construction and permanent financing, as well asfunds for nonprofit housing developers and HOMEdesignated Community Housing DevelopmentOrganization (CHDO) activities. 2014-2021 This program is administered by the Los Angeles County Development Authority (LACDA). The Citypromotes this program on an ongoing basis.

COUNTYWIDE AFFORDABLEHOME OWNERSHIP PROGRAM
This program provides funding in the form of secondmortgages to increase home ownership units that areaffordable to low- and moderate-income persons. Thisprogram facilitates the acquisition of existing structuressuitable for home ownership opportunities for low- andmoderate-income persons. Where appropriate, thisprogram will be used in conjunction with the County'sHousing Bond and Mortgage Credit CertificatePrograms. 2014-2021 This program is administered through Los Angeles Urban County HOME allocation. The City promotesthis program on an ongoing basis.

FIRST TIME HOME BUYERPROGRAM
The Cal Home First Homebuyers Program consists ofa $25,000 down payment assistance program forqualified applicants. Depending on the project, theassistance may increase to a maximum amount of$60,000.00. The loan is zero interest and must berepaid in 30 years. The program evaluates family size,family income, citizenship/residency, and type ofproperty being purchased. 2014-2021 This program has expended it's funds through
CalHome funds.

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OWNER OCCUPIED

REHABILITATION PROGRAM
The Owner Occupied Rehabilitation Program consistsof a maximum loan amount of $40,000 for qualifiedhome rehabilitation that is secured through a Deed ofTrust. The loan is a 30-year, zero interest loan, thatwillnot need to be repaid until the property transfers titleor the 30-year term expires. Some of the repairs thatareincluded in the program include, but not limited to, roofreplacement, exterior painting, new windows,plumbing, electrical repairs, termite fumigation, andhealth and safety repairs. 2020-2025 This program is ongoing and is funded through CalHome.

MORTGAGE CREDITCERTIFICATE PROGRAM
The Mortgage Credit Certificate (MCC) Programleverages home ownershipassistanceby issuing certificates to income-qualifiedfirst-time home buyers authorizing the householdto take a credit against Federal income taxes of up to20% of the annual mortgage interest paid. Themortgagepayments are used to repay the bonds; there is no Cityguarantee required. 2014-2021 This program is offered through the County and it's funds.

REASONABLEACCOMMODATION PROGRAM
Facilitate the development, maintenance, andimprovement ofhousing for persons with disabilities; reduceprocessing time for reasonable accommodationrequestsby 50 percent.

Continuous The program is ongoing and will be continued.

GREEN CITY PROGRAM Green City” refers users to a wide range of initiatives designed to improve the local environment. Keyelements include energy conservation measures,recycling, water conservation, and the use ofalternative transit. The programs includes rebates forenergyconserving refrigerators, water heaters, and otherhousehold appliances Continuous The program is ongoing and will be continued.

WATER CONSERVATIONPROGRAM
The City of South ElMonte shall promote water conservation (droughttolerant landscaping, water conserving plumbingfixtures,etc.) in the review of new development.

Continuous The program is ongoing and will be continued.

SOUTH EL MONTE - 2022 29

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FAIR/EQUAL HOUSING

PROGRAM
This City program is designed to promote equalhousing opportunities in South El Monte Continuous The program is ongoing and will be continued.

SOUTH EL MONTE - 2022 30

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE E - Commercial Development Bonus Approved pursuant to GC Section 65915.7 No Data Available
SOUTH EL MONTE - 2022 31

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE F - Annual Building Activity Report Summary - Units Rehabilitated, Preserved and Acquired pursuant to GC Section 65583.1(c)(2) Affordability by Household Incomes
(Units that DO NOT count towards RHNA)
Activity Type Extremely Low-Income Very Low-Income Low-Income Total Units Description of Activity Rehabilitation Activity 0 0 0 0Preservation of Units At-Risk 0 0 0 0Acquisition of Units 0 0 0 0Mobilehome Park Preservation 0 0 0 0Total Units by Income 0 0 0 0 Affordability by Household Incomes
(Units that DO count towards RHNA)
Activity Type Extremely Low-Income Very Low-Income Low-Income Total Units Description of Activity Rehabilitation Activity 0 0 0 0Preservation of Units At-Risk 0 0 0 0Acquisition of Units 0 0 0 0Mobilehome Park Preservation 0 0 0 0Total Units by Income 0 0 0 0 SOUTH EL MONTE - 2022 32

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE G - Locally Owned Lands Included in the Housing Element Sites Inventory that have been sold, leased, or otherwise disposed of (CCR Title 25ï¿½6202) No Data Available
SOUTH EL MONTE - 2022 33

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2022 SOUTH EL MONTE Housing Element Annual Progress Report TABLE H - Locally Owned Surplus Sites (CCR Title 25 ï¿½6202) No Data Available
SOUTH EL MONTE - 2022 34

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2022 SOUTH EL MONTE Housing Element Annual Progress Report LEAP Reporting (CCR Title 25 ï¿½6202)
Total Award Amount 150,000.00
Task $ Amount Awarded $ Cumulative Reimbursement
Requested
Task Status Other Funding Notes
Land Management System 150,000.00 137,095.00 Completed Local General Fund Awaiting reimbursement SOUTH EL MONTE - 2022 35

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City Council Agenda Report
Agenda Item No. 9.a.

DATE: March 28, 2023
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Masami Higa, Finance Director
SUBJECT: CONSIDERATION AND APPROVAL OF RESOLUTION NO.
23-25, APPROVING AMENDMENT NO. 1 TO THE LEASE

AGREEMENT WITH AKITOI LEARNING CENTER, LLC
SUMMARY: Staff is seeking City Council’s approval to enter into a three-year extension to the lease agreement between the City and Akitoi Learning Center, LLC, for the premises at 1824 Central Avenue.

RECOMMENDED ACTION: Staff recommends City Council:

1. Adopt Resolution No. 23-25, approving amendment no. 1 entering into a three-year extension to the lease agreement with Akitoi Learning Center, LLC, for premises located at 1824 Central Avenue; and

2. Authorizing the City Manager or designee to negotiate and execute the lease amendment.

FISCAL/FINANCIAL IMPACT: The fiscal impacts of the current five-years lease agreement and the proposed three-year extension to the lease agreement are summarized below:

Anniversary Percentage Monthly Fiscal
Resolution Date Increase Rent Impact
Resolution
No. 11-80
9/1/2018 $
2,010.14
$
24,121.68
Resolution
No. 11-80
9/1/2019 5% $
2,110.65
$
25,327.76
Resolution
No. 11-80
9/1/2020 5% $
2,216.18
$
26,594.15

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Resolution
No. 11-80
9/1/2021 5% $
2,326.99
$
27,923.86
Resolution
No. 11-80
9/1/2022 5% $
2,443.34
$
29,320.05
Resolution
No. 23-25
9/1/2023 5% $
2,565.50
$
30,786.06
Resolution
No. 23-25
9/1/2024 5% $
2,693.78
$
32,325.36
Resolution
No. 23-25
9/1/2025 5% $
2,828.47
$
33,941.63
DISCUSSION: Since December 1, 2011, Akitoi Learning Center has been providing the South El Monte community quality childcare and preschool education services. The current lease agreement with Akitoi Learning Center expires on August 31, 2023. Akitoi Learning Center has expressed interest in continuing its services at the same location by entering into this three-year extension to the lease agreement.

ATTACHMENT(S):

A. Resolution No. 23-25
B. Original Lease

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ATTACHMENT A
RESOLUTION NO. 23-25

A RESOLUTION OF THE SOUTH EL MONTE CITY COUNCIL
APPROVING AMENDMENT NO. 1 TO THE LEASE

AGREEMENT BETWEEN THE CITY AND AKITOI
LEARNING CENTER, LLC, FOR THE PREMISES AT 1824

CENTRAL AVENUE

THE CITY COUNCIL OF THE CITY OF SOUTH EL MONTE DOES HEREBY RESOLVE AS FOLLOWS:

WHEREAS, on December 1, 2011, Akitoi Learning Center (Akitoi), LLC, entered into a Lease Agreement with the City for the premises at 1824 Central Avenue which expired on August 31, 2018; and
WHEREAS, on September 12, 2017, Akitoi entered into a new Lease Agreement with the City which will expire on August 31, 2023; and
WHEREAS, the City and Akitoi desire to enter into an amendment to the Lease Agreement to extend the Lease Term for three (3) year; and
WHEREAS, pursuant to the existing Lease Agreement and the proposed amendment, Akitoi’s monthly rent will increase annually by five percent (5%) and will result in the following monthly rents: $2,565.50 starting September 1, 2023, $2,693.78 starting September 1, 2024, and $2,828.47 starting September 1, 2025; and
NOW, THEREFORE, BE IT RESOLVED that by the adoption of the Resolution, the City of South El Monte herby:

Section 1. Approves an amendment to the Lease Agreement between the City and Akitoi Learning Center extending the Lease Term to August 31, 2026 and approved as to form by the City Attorney.

Section 2. The City Manager is hereby authorized and directed to execute the proposed amendment. The City Manager is further directed to take all actions necessary to effectuate this resolution.

Section 3. The City Clerk shall certify to the passage and adoption of this Resolution PASSED, APPROVED AND ADOPTED this 28th day of March, 2023. ______________________________
Gloria Olmos, Mayor
ATTEST:
____________________________
Donna G. Schwartz, City Clerk

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STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:

CITY OF SOUTH EL MONTE )
I, Donna Schwartz, City Clerk of the City of South El Monte, do hereby certify that the foregoing Resolution, being Resolution No. 23-25, was passed and approved by the City Council of the City of South El Monte at a regular meeting of said Council held on the 28th day of March 2023 and that said Resolution was adopted by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

____________________________
Donna Schwartz, City Clerk

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LEASE FOR CHILD CARE FACILITIES BETWEEN THE

CITY OF SOUTH EL MONTE AND AKITOI LEARNING CENTER
This Lease (" Lease") is entered into as of September 13, 2017 between the City of South El Monte, a California municipal corporation (" Landlord") and Akitoi Learning Center, a sole - proprietorship (" Tenant").

RECITALS
A. Landlord is the owner of certain land, buildings, and improvements located in South El Monte, California, commonly known as 1824 Central Avenue, South El Monte, California ( the " Property").

B. Landlord desires to lease to Tenant and Tenant desires to lease from Landlord a portion of the Property consisting of approximately 6, 000 square feet of interior ground floor space, as well as the entire enclosed outdoor space adjacent thereto, as shown on Exhibit A attached hereto ( the " Premises") for use as a child development center, on the terms and conditions in this Lease.

C. Tenant has occupied the Premises, under lease from Landlord, since December of 2011
For good and valuable consideration, the parties agree as follows:

Section 1. Definitions
As used in this Lease the following terms shall have the following definitions:

A. " Commencement Date" is defined in Section 3.

B. " Event of Default" is defined in Section 27.

C. " Landlord" is defined in the preamble of this Lease.

D. " Lease" is defined in the preamble of this Lease.

E. " Rent" is defined in Section 5.

F. " Premises" is defined in Recital B.

G. " Tenant" is defined in the preamble of this Lease.

H. " Term" is defined in Section 3.

I. " Termination Date" is defined in Section 3.

J. " Trade Fixtures" is defined in Section 22. A.
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ATTACHMENT B

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Section 2. Lease
A. Landlord leases to Tenant and Tenant leases from Landlord the Premises on the terms and conditions in this Lease. Tenant may use non -reserved parking spaces at the Property at all times throughout the Term at no additional cost, and Landlord shall at all time make sure there is available for the use of Tenant and its employees, suppliers, shippers, customers, contractors and invitees, a sufficient number of parking spaces at the Property. Landlord covenants and agrees with Tenant that upon Tenant' s paying the rental required under this Lease and paying all other charges and performing all of the covenants and provisions aforesaid on Tenant' s part to be observed and performed under this Lease, Tenant shall and may, subject to the rights of the Landlord under this Lease, peaceably and quietly have, hold, and enjoy the Premises in accordance with this Lease without any hindrance, molestation or ejection by Landlord.

B. The term " Common Areas" is defined as all areas and facilities outside the Premises and within the exterior boundary line of the Property and interior utility raceways and installations within the Premises that are provided and designated by the Landlord from time to time for the general non- exclusive use of Landlord, Tenant and other tenants of the Property and their respective employees, suppliers, shippers, customers, contractors and invitees, including parking areas, loading and unloading areas, trash areas, roadways, walkways, driveways and landscaped areas.

C. Landlord grants to Tenant, for the benefit of Tenant and its employees, suppliers, shippers, contractors, customers and invitees, during the term of this Lease, the non-exclusive right to use, in common with others entitled to such use, the Common Areas as they exist from time to time, subject to any rights, powers, and privileges reserved by Landlord under the terms hereof or under the terms of any rules and regulations or restrictions governing the use of the Property. Under no circumstances shall the right herein granted to use the Common Areas be deemed to include the right to store any property, temporarily or permanently, in the Common Areas. Any such storage shall be permitted only by the prior written consent of Landlord or Tenant' s designated agent, which consent may be revoked at any time.

D. Landlord or such other person( s) as Landlord may appoint shall have the exclusive control and management of the Common Areas and shall have the right, from time to time, to establish, modify, amend and enforce reasonable rules and regulations (" Rules and Regulations") for the management, safety, care, cleanliness of the grounds, the parking and unloading of vehicles and the preservation of good order, as well as for the convenience of other occupants or tenants ofthe Property and their invitees. Tenant agrees to abide by and conform to all such Rules and Regulations, and to use reasonable efforts to cause its employees, suppliers, shippers, customers, contractors and invitees to so abide and conform. Landlord shall not be responsible to Tenant for the non-compliance with said Rules and Regulations by other tenants ofthe Property.

E. Landlord shall have the right, in Landlord' s sole discretion, from time to time provided such actions do not unreasonably interfere with Tenant' s use and enjoyment of the Premises):
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1. To make changes to the Common Areas, including without limitation, changes in the location, size, shape and number of driveways, entrances, parking spaces, parking areas, loading and unloading areas, ingress, egress, direction of traffic, landscaped areas, walkways and utility raceways;

2. To close temporarily any of the Common Areas for maintenance purposes so long as reasonable access to the Premises remains available;

3. To add additional buildings and improvements to the Common Areas;

4. To use the Common Areas while engaged in making additional improvements, repairs, or alterations to the Property, or any portion thereof; and

5. To do or perform such other acts and make such other changes in, to or with respect to the Common Areas and Property as Landlord may, in the exercise of sound business judgment, deem to be appropriate.

Section 3. Term of Lease
A. The term of this Lease (" Term") shall commence on September 13, 2017 Commencement Date"), and end on August 31, 2018 (" Termination Date").

B. Subject to paragraph C of this Section 3, Tenant may, exercise one or more options to extend the Term for up to five one- year terms. Such option( s) shall be exercised no later than one month prior to the expiration of the applicable term by written notice to Landlord.

Rent for the Extended Term shall be as set forth in the schedule in Section 6. All other terms and conditions of this Lease shall remain in full force and effect during the Extended Term.

C. Notwithstanding anything to the contrary in this Lease, either party may terminate this Lease for any reason or no reason upon at least 30 days' notice to the other party.

Section 4. Tenant Improvements
All construction work required or permitted by this Lease shall be done in a good and workmanlike manner, and in compliance with all applicable laws and ordinances, regulations, and orders of governmental authority and insurers of the Premises. Tenant may inspect the work of Landlord at reasonable times and shall promptly give notice to Landlord of observed defects.

Section 5. Initial Term Rent
Commencing on the Commencement Date, Tenant shall pay rent to the Landlord 1, 914. 42 per month.
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Section 6. Rent for Option Years
In the event Landlord exercises its option to extend the Lease pursuant to Section 3( B), Tenant shall pay Landlord the following rent:

September 1, 2018 = 2, 010. 14
September 1, 2019 = 2, 110. 65
September 1, 2020 = 2, 216. 18
September 1, 2021 = 2, 326. 99
September 1, 2022 = 2,443. 34
Section 7. Maintenance and Fee
Common Area Operating Expenses" are defined, for purposes of this Lease, as all costs incurred by Landlord relating to the ownership and operation of the Property, including, but not limited to, the following:

A. The operation, repair and maintenance, in neat, clean, good order and condition of the following:

1. The Common Areas and Common Area improvements, including parking areas, loading and unloading areas, trash areas, roadways, parkways, walkways, driveways, landscaped areas, bumpers, irrigation systems, Common Areas lighting facilities, fences and gates, elevators, roofs, and roof drainage systems.

2. Exterior signs and tenant directories.

3. Any fire detection and/ or sprinkler systems.

B. The costs of water, gas, and electricity to the Common Areas and any utilities not separately metered.

C. Trash disposal, pest control services, property management, security services, and the cost of any environmental inspections.

D. Reserves set aside for maintenance and repair of Common Areas.

E. Any deductible portion of an insured loss concerning the Common areas.

F. The cost of any capital expenditure to the Property.

Section 8. Security Deposit
Upon execution of this Lease, Tenant shall deposit with Landlord the sum of One Thousand Five Hundred Dollars ($ 1, 914.42) ( the " Security Deposit") as security for Tenant' s faithful performance of its obligations under this Lease. If Tenant fails to pay rent or otherwise defaults under this Lease, Landlord may use, apply or retain all or any portion of said Security 4-
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Deposit for the payment of any amount due Landlord or to reimburse or compensate Landlord for any liability, expense, loss or damage which Landlord may suffer or incur by reason thereof.

If Landlord uses or applies all or any portion of the Security Deposit, Tenant shall within ten days after written request therefor deposit monies with Landlord sufficient to restore said Security Deposit to the full amount required by this Lease. Landlord shall not be required to keep the Security Deposit separate from its general accounts. Within 14 days after the expiration or termination of this Lease, if Landlord elects to apply the Security Deposit only to unpaid Rent or Maintenance Fees, and otherwise within 30 days after the Premises have been vacated, Landlord shall return that portion of the Security Deposit not used or applied by Landlord. No part of the Security Deposit shall be considered to be held in trust, to bear interest or to be prepayment for any monies to be paid by Tenant under this Lease. Tenant hereby waives the provisions of California Civil Code Section 1950. 7.

Section 9. Use
A. Tenant shall only be permitted to use the Premises for educational and charitable purposes by operating a child development center for families of limited means and other allied operations incident to the conduct of the business, and Tenant agrees not to use the Premises for any immoral or unlawful purpose. Landlord agrees that, subject to the prior reasonable review and approval by Landlord and compliance with all applicable governmental requirements and any signing criteria in any covenants, conditions, and restrictions recorded prior to the date of this Lease, Tenant may erect and maintain on the Premises and the building and improvements on the Property any signs advertising Tenant' s business, as Tenant may desire.

B. Tenant shall not commit any acts on the Premises, nor use the Premises in any manner that will cause the cancellation of any fire, liability, or other insurance policy insuring the Premises or the improvements on the Premises.

C. Tenant shall not commit any waste or any public or private nuisance upon the Premises.

D. Tenant shall not violate any laws, rules, and orders of all federal, state, and municipal governments or agencies that may be applicable to use ofthe Premises.

Section 10. Utilities
During the Term, Landlord shall pay, before delinquency, all charges or assessments for water, sewer, gas, heat, electricity, garbage disposal, trash disposal, and all other utilities and services of any kind that may be used on the Premises, except for Tenant' s telephone charges.

Section 11. Taxes
A. Landlord shall pay to the public authorities charged with the collection on or before the last day on which payment may be made without penalty or interest, all real estate taxes that are assessed against the Premises or arise because ofthe occupancy, use, or possession of the Premises subsequent to the commencement of the Term, and all installments of assessments that are due during the Term.
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B. Landlord shall not be required to pay, discharge, or remove any tax ( including penalties and interest), assessment, tax lien, forfeiture, or other imposition or charge against the Premises or any part of the Premises or any improvements, for such time that Landlord is diligently and in good faith contesting the validity or the legality of the assessment, levy, or charge by appropriate legal proceedings, and so long as Landlord posts the necessary bond or security, to prevent the collection of the tax, assessment, imposition, or charge contested. Tenant agrees that Tenant will, upon the reasonable request of Landlord, at no cost or expense to Tenant, execute or join in the execution of any instrument or document necessary in connection with any proceeding.

C. Tenant shall pay any and all possessory interest taxes payable by Tenant, and Tenant is hereby notified that such taxes may be assessed on Tenant' s leasehold interest hereunder.

Section 12. Condition of Premises
Tenant acknowledges that as of the date of this Lease, Tenant has inspected the Premises and all improvements on the Premises and that, to Tenant' s actual knowledge the Premises and improvements are in good order, repair, and condition.

Section 13. Repairs and Maintenance
A. Landlord shall, at Landlord' s own expense, keep the entire Premises ( both interior and exterior, structural and non- structural), and the remainder of the Property, in good condition and repair, and in compliance with all laws, rules, and orders of all federal, state, and municipal governments or agencies.

B. If at any time during the Term, including renewals or extensions, Landlord fails to maintain the Premises, Tenant may, but shall not be required to, perform the maintenance or make the repairs or replacements for the account of Landlord; any sums expended by Tenant in so doing, shall be immediately due from Landlord on demand of Tenant.

Section 14. Alterations
A. Tenant shall not make any structural alterations to the building and improvements on the Premises, or any alterations that adversely affect utilities, without Landlord' s prior written consent; provided, however, non- structural alterations may be performed upon prior written notice but without Landlord' s consent. Landlord agrees not to unreasonably withhold approval of the alterations that require Landlord' s consent. Approval, however, may be conditioned upon among other things) the receipt by Landlord of a set of plans and specifications for the alterations no later than 30 days prior to the scheduled construction of the alterations, and upon Tenant' s agreement to restore the Premises, if Landlord requires it at the end of the Term, to the same condition as before the alterations. All such alterations performed by Tenant shall be in accordance with applicable laws at Tenant' s own expense. Tenant will indemnify and defend Landlord for all liens, claims, or damages caused by any such alterations performed by Tenant.

Landlord agrees, when requested by Tenant, to execute and deliver any applications, consents, or other instruments required to permit Tenant to do this work or to obtain permits for the work. 12402- 0008/ 207107M. doc

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B. Except as set forth in Section 14.A and excluding all of Tenant' s Trade Fixtures, all alterations and improvements made to the Premises shall become the property of Landlord and shall remain on and be surrendered with the Premises at the expiration or sooner termination ofthis Lease, including any renewals or extensions.

C. At least ten days before any construction commences or materials are delivered for any alterations that Tenant is making to the Premises, Tenant shall give written notice to Landlord as to when the construction is to commence or the materials are to be delivered.

Landlord shall then have the right to post and maintain on the Premises any notices that are required to protect Landlord and Landlord' s interest in the Premises from any liens for work and labor performed or materials fiunished in making the alterations; provided, however, that it shall be Tenant' s duty to keep the Premises free and clear of all liens, claims, and demands for work performed, materials furnished, or operations conducted on the Premises at the request of Tenant.

D. Tenant will not at any time permit any mechanics', laborers', or materialmen' s liens to stand against the Premises for any labor or material furnished to Tenant or claimed to have been furnished to Tenant or Tenant' s agents, contractors, or subtenants, in connection with work of any character performed or claimed to have been performed on the Premises by or at the direction or sufferance of Tenant; provided, however, that Tenant shall have the right to contest the validity or amount of any lien or claimed lien, upon giving to Landlord a letter executed by Tenant assuring that the lien or claimed lien will be paid, when and to the extent that the lien is finally determined to be valid and owing. Tenant' s right, however, to contest these liens shall not extend beyond the point where Landlord' s title to the Premises could be lost. On final determination of the lien or claim of lien, Tenant will immediately pay any final judgment rendered, with all property costs and charges, and shall have the lien released or judgment satisfied at Tenant' s own expense. If Tenant fails to pay the judgment promptly or otherwise fails to prevent any sale, foreclosure, or forfeiture of the Premises because of a lien, Landlord shall have the right, upon five days' written notice to Tenant, to pay or prevent this action, and the amount paid by Landlord shall be immediately due and payable to Landlord.

Section 15. Entry
Tenant shall permit Landlord or Landlord' s agents, representatives, or employees to enter the Premises at all reasonable times and upon reasonable notice to inspect the Premises to determine whether Tenant is complying with the terms of this Lease, to perform maintenance and to do other lawful acts that may be necessary to protect Landlord' s interest in the Premises under this Lease or to perform Landlord' s duties under this Lease.

Section 16. Surrender of Premises; Holding Over
On the Termination Date or the end of any extension or renewal of this Lease, Tenant shall promptly surrender and deliver the Premises to Landlord in as good condition as they are now at the date of this Lease, reasonable wear and tear excepted. 7-
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Section 17. Indemnity
A. Tenant' s Indemnity

1. To the fullest extent permitted by law, Tenant shall indemnify, defend and hold property damage, violation of any applicable Municipal, County, State, and Federal laws and regulations, Court Rules or ordinances, or any other type of loss) sustained or claimed to have been sustained by any person or persons, or corporation, or public or private entity arising out of the performance or nonperformance of services, operations, duties, and other obligations of the Tenant, its officers, agents, employees, representatives, and subcontractors under this Lease.

2. Tenant shall indemnify, defend and hold harmless Landlord, its officers, agents and employees from any and all claims and losses occurring or resulting to any and all tenants, subcontractors, material men, laborers and any other person, firm or corporation furnishing or supplying work, services, materials or supplies in connection with the performance of work performed by or at the request of Tenant.

3. Tenant shall indemnify, defend, and hold harmless the Landlord, its agents, officers and employees from any and all Tenant employees' Workers' Compensation suits, liability, or expense and will bear the sole responsibility and liability for furnishing Workers' Compensation benefits in an amount and form to meet the State of California' s statutory requirements, to any and all Tenant personnel.

4. Tenant shall indemnify the Landlord, and hold it harmless from any and all loss, damage, costs, and expenses, including reasonable attorney' s fees, suffered or incurred on account of any breach by Tenant of its obligations and covenants set forth in this Lease.

5. The provisions of this indemnification clause shall not be limited to the availability or ability to collect insurance coverage, and shall survive the termination of this agreement.

B. Landlord' s Indemnity

1. To the fullest extent permitted by law, Landlord shall indemnify, defend and hold harmless Tenant, its officers, agents and employees ( collectively hereinafter referred to as " Tenant") from and against any and all demands, debts, liens, claims, losses, damages, liability, costs, expenses ( including, but not by way of limitation, fees and costs actually incurred, whether or not litigation has commenced), judgments or obligations, action, or causes of actions whatsoever, for or in connection to any injury, damage or loss ( including, but not limited to bodily injury, death, personal injury, property damage or any other type of loss) sustained or claimed to have been sustained by any person or persons, or corporation, or public or private entity arising out of the performance or nonperformance of the Landlord' s obligations under this Lease.

2. Landlord shall indemnify, defend, and hold harmless Tenant, its agents, officers and employees from any and all Landlord employees' Workers' Compensation suits, liability, or expense and will bear the sole responsibility and liability for furnishing Workers' 12402- 0008/ 207107M. doc

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Compensation benefits in an amount and form to meet the State of California' s statutory requirements, to any and all Landlord personnel.

3. Landlord shall indemnify Tenant, and hold it harmless from any and all loss, damage, costs, and expenses, including reasonable attorney' s fees, suffered or incurred on account of any breach by Landlord of its obligations and covenants set forth in this Lease.

4. The provisions of this indemnification clause shall not be limited to the availability or ability to collect insurance coverage, and shall survive the termination of this agreement.

Section 18. Insurance
PLEASE TAKE NOTICE: Tenant shall provide to Landlord copies of all insurance policies on or before the effective date of this Lease.

A. Without limiting Tenant' s and Landlord' s mutual indemnification and as a material condition of this Lease, Tenant shall procure and maintain for the duration of the Lease and any extended period thereof insurance with limits, coverages, terms and conditions at least as broad as shown below.

1. Commercial General Liability Insurance " occurrence" form to provide defense and indemnity coverage to Tenant, its employees, and Landlord for liability for bodily injury, personal injury, and property damage arising from, including, but not limited to, premises and operations, contractual liability, independent Tenants, products and completed operations, broad form property damage, and broad form liability with a combined single limit of 1, 000, 000 per occurrence, $ 3, 000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy shall be endorsed to name the Landlord as additional insured.

2. Sexual abuse/ molestation insurance. Tenant shall procure and maintain Sexual Abuse/ Molestation Liability coverage with limits of not less than $ 1, 000, 000 per occurrence and $ 3, 000, 000 general aggregate. Coverage may be provided as part of Commercial General Liability coverage, Professional Liability coverage, or as a separate policy.

3. Automobile Liability Insurance to provide defense and indemnity coverage to Tenant, its employees, and Landlord for liability for bodily injury and property damage with a combined single limit of $1, 000, 000 per accident to cover owned, non -owned and hired automobiles if automobiles are used in the operation of program activities. The general aggregate limit shall apply separately to this Lease or the general aggregate shall be twice the required per accident limit.

4. Workers' Compensation Insurance as required by the Labor Code of the State of California or Employers' Liability insurance for: ( 1) bodily injury with accident with limits of $1, 000, 000 each accident; ( 2) disease with limits of $1, 000, 000 per policy limit; and 3) disease with limits of $1, 000, 000 each employee.

5. Automobile Comprehensive and Collision Physical Damage Insurance for Automobiles. The Tenant may commercially insure this risk or self -insure this risk. If u
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commercial insurance is purchased, a " loss payee" endorsement covering the interest of Landlord shall be added onto the policy.

B. Deductibles and Self -Insured Retentions
Any deductibles or self-insured retentions must be declared to and approved by Landlord. At the option of Landlord, either Tenant shall cause its insurer to reduce or eliminate such deductibles or self-insured retention as respects Landlord; or Tenant shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses, unless other arrangements have been made and approved by Landlord.

C. Other Insurance Provisions

1. Landlord shall be named as an additional insured on the Comprehensive General Liability, Business Automobile Liability, and Employment Practices Liability policies.

Landlord shall be named as loss payee on the Commercial Crime policies as Landlord' s interest may appear.

2. Tenant' s insurance shall be primary to any other insurance or selfinsurance programs maintained by Landlord, with respect to liability resulting from or connected to Tenant' s acts or omissions, and such coverage shall be provided and maintained at Tenant' s own expense.

3. Tenant shall report all serious incidents, including death and dismemberment, claims and lawsuits as soon as practical, but in no event later than the reporting provisions of governing insurance policies. Any failure to comply with reporting provisions of policies shall not affect coverage provided to Landlord.

4. Tenant' s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respects to the limits ofthe insurance.

5. Each insurance policy required by this Lease shall be endorsed to state that except for non-payment of premium, in which case ten calendar days notice of cancellation shall be given, coverage shall not be suspended, voided, canceled, reduced in coverage or in limits except after 60 calendar days prior written notice by certified mail, return receipt requested has been given to Landlord."

6. Insurance shall be placed with insurers admitted in the State of California and having a Best rating ofno less that A-: VII.

7. Tenant shall furnish the Landlord with original endorsements and certificates of insurance that are required by this Lease. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. Tenant shall provide to Landlord all endorsements and certificates and must be approved by the Landlord prior to funding. The Landlord reserves the right to require complete, certified copies of all required insurance policies at any time. 10-
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8. Tenant shall cause all subcontractors to procure and maintain for the duration of any work, services or operations performed insurance to cover claims for injuries including death), damage, or loss that may arise from or in connection with the performance or nonperformance of work, services, or operations by the subcontractor or any of its officers, agents, employees, representatives, or volunteers.

D. Notification of Claims

1. Tenant shall immediately notify the Landlord in writing . of any and all incidents that result in a serious injury or death of a student, and the time, place and circumstances thereof, including identification of witnesses, if known.

2. A copy of any and all demands, charges, notices, claims, summons, complaints, or other similar legal documents received by Tenant in connection to the services or operations pertaining to this Lease shall immediately be forwarded to the Landlord. As a result of loss, damage or theft the Tenant shall file a claim with its insurance carrier and submit written notice within ten working days to the Landlord' s Risk Manager.

Section 19. Compliance with Civil Rights Laws
Tenant shall comply with the provisions of state and federal civil rights laws which provide that no person shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving State or federal financial assistance.

Section 20. Compliance with Section 504 and the ADA
Tenant shall comply with Section 504 of the Rehabilitation Act of 1973 which provides that no otherwise qualified handicapped individual in the United States shall, solely by reason of the handicap, be excluded from participation in, be denied the benefit or, or be subjected to discrimination under any programs or activity receiving federal financial assistance. In addition, Tenant shall comply with the provisions of the Americans With Disabilities Act ( ADA), provided, however, that any structural repairs to the Premises or the Property required in connection with the ADA shall be performed by Landlord at its sole cost and expense.

Section 21. Compliance with Drug -Free Workplace Act
Tenant must certify that it will provide a drug- free workplace in accordance with the provision ofthe Drug -Free Workplace Act of 1988.

Section 22. Trade Fixtures
A. Tenant shall have the right, at any time and from time to time during the Term and any renewals or extensions, at Tenant' s sole cost and expense, to install and affix on the Premises items for use in Tenant' s trade or business, which Tenant, in Tenant' s sole discretion, deems advisable ( collectively " Trade Fixtures"). Trade Fixtures installed in the Premises by Tenant shall always remain the property of Tenant and may be removed at any time or the expiration of the Term or any extension, provided that any damage to the Premises caused by the 11-
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removal of the Trade Fixtures shall be repaired by Tenant, and further provided that Landlord shall have the right to keep any Trade Fixtures or to require Tenant to remove any Trade Fixtures that Tenant might otherwise elect to abandon.

B. As security for Tenant' s performance of obligations under this Lease, Tenant grants to Landlord a security interest in all Trade Fixtures owned by Tenant and now or later placed on the Premises by Tenant. Any right to remove the Trade Fixtures given Tenant by the provisions of Section 22.A shall be exercisable only if, at the time of the removal, Tenant is not in default in performance of this Lease. Tenant may, however, at any time Tenant is not in default in performance of this Lease, trade in or replace any Trade Fixture, free of the security interest created by this section. This security interest will then attach to the item that replaced the previous Trade Fixture. Upon default under this Lease, Landlord shall immediately have as to the Trade Fixtures the remedies provided to a secured party under relevant sections of the California Uniform Commercial Code.

C. Any Trade Fixtures that are not removed from the Premises by Tenant within 30 days after the Termination Date shall be deemed abandoned by Tenant and shall automatically become the property of Landlord as owner of the real property to which they are affixed and not due to the lien provided to Landlord in Section 22. B.

Section 23. Signs
Tenant shall not place, maintain, nor permit on any exterior door, wall, or window of the Premises any sign, awning, canopy, marquee, or other advertising without the express written consent of Landlord. Furthermore, Tenant shall not place any decoration, lettering, or advertising matter on the glass of any exterior window of the Premises without the written approval of Landlord. If Landlord consents to any sign, awning, canopy, marquee, decoration, or advertising matter, Tenant shall obtain any necessary permits or licenses therefor and maintain it in good appearance and repair at all times during this Lease. At the Termination Date, any of the items mentioned in this section that are not removed from the Premises by Tenant may, without damage or liability, be destroyed by Landlord.

Section 24. Damage and Destruction
A. If the building or other improvements constructed on the Premises are damaged or destroyed, whether partially or entirely, by any cause, Landlord shall repair, restore, or reconstruct the damaged or destroyed building and other improvements so that the condition and quality of the new building and other improvements shall be as near as reasonably possible to the condition and quality immediately prior to the damage or destruction to the extent that proceeds of insurance are available. Damage to or destruction of any portion of the building, fixtures, or other improvements on the Premises by fire, the elements, or any other cause shall not terminate this Lease or entitle Tenant to surrender the Premises or otherwise affect the respective obligations of the parties, any present or future law to the contrary notwithstanding. However, if the building, fixtures, or other improvements on the Premises are totally destroyed or damaged to the extent that the Premises is wholly unsuitable or inadequate for the purposes for which Tenant was using the Premises prior to the destruction or damage, all Minimum Monthly Rent shall abate effective the date of the destruction or damage.
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B. If the Premises are damaged or destroyed in whole or in part and the available insurance proceeds are equal to the cost of repair, less any applicable deductible amount, Landlord shall proceed with due diligence to have plans and specifications prepared, to commence rebuilding, reconstruction, or restoration as promptly as possible after the occurrence ofthe event causing the damage or destruction, and thereafter to diligently complete the work. If the insurance proceeds are not equal to the cost of repair, Landlord may, but shall not be obligated to do whatever may be necessary for the rebuilding, recordation, repair, or restoration of any building or improvements damaged or destroyed at its own cost and expense.

C. Regardless of any contrary provisions in this Lease, if the Premises are damaged or destroyed by any cause to the extent of more than 25% of its insurable value or if the available insurance proceeds are less than the cost to repair, Landlord may, at Landlord' s sole option, terminate this Lease within 90 days of the damage or destruction by giving written notice to Tenant.

Section 25. Condemnation
A. If, during the Term or any renewal or extension, the whole of the Premises shall be taken pursuant to any condemnation proceeding, this Lease shall terminate as of 12: 01 a.m. of the date that actual physical possession of the Premises is taken, and after that, both Landlord and Tenant shall be released from all obligations under this Lease.

B. If, during the Term or any renewal or extension, only a part of the Premises is taken pursuant to, any condemnation proceeding and the remaining portion is not suitable or adequate for the purposes for which Tenant was using the Premises prior to the taking, or if the Premises should become unsuitable or inadequate for those purposes by reason of the taking of any other property adjacent to or over the Premises pursuant to any condemnation proceeding, or if by reason of any law or ordinance the use of the Premises for the purposes specified in this Lease shall become unlawful, then and after the taking or after the occurrence of other described events, Tenant shall have the option to terminate, and the option can be exercised only after the taking or after the occurrence of other described events by Tenant giving ten days' written notice to Landlord, and rent shall be paid only to the time when Tenant surrenders possession of the Premises. Without limiting the generality of the previous provision, it is agreed that in the event of a partial taking of the Premises pursuant to any condemnation proceeding, if the number of square feet of floor area in the portion remaining after the taking is less than 80% of the number of square feet of floor area at the commencement of the Term, Tenant shall, after the taking, have the option to terminate this Lease on ten days' written notice to Landlord, and rent shall be paid only to the time when Tenant surrenders possession of the Premises.

C. If only a part of the Premises is taken pursuant to any condemnation proceeding under circumstances that Tenant does not have the option to terminate this Lease as provided in this Section, or having the option to terminate, Tenant elects not to terminate, then Landlord shall at Landlord' s expense promptly proceed to restore the remainder of the Premises to a selfcontained architectural unit. 13-
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D. Ifthe whole or any part of the Premises are taken pursuant to any condemnation proceeding, then Landlord shall be entitled to the entirety of any condemnation award except that portion allocable to Tenant' s unsalvageable Trade Fixtures.

Section 26. Assignment and Subletting
Tenant shall not assign this Lease or sublease the Premises without the prior written consent of Landlord, which may be withheld in Landlord' s sole and absolute discretion.

Subsequent to any assignment or sublease Tenant shall remain primarily liable for the rental to be paid under this Lease and the performance of all terms and conditions of this Lease. There shall be no change in the use of the Premises without the prior written consent of Landlord, which may be withheld in Landlord' s sole and absolute discretion. Notwithstanding anything to the contrary herein, Tenant shall have the right, without first obtaining the consent of Landlord, to assign the Lease or sublease the Premises or otherwise share or transfer use or occupancy of the Premises to ( a) its affiliates; (b) any entity resulting from a merger or consolidation of Tenant with any organization; ( c) any entity acquiring substantially all of the stock or a substantial portion of the business or assets of Tenant; ( d) any entity succeeding to the business and assets of Tenant; or ( e) any entity which controls, or is controlled by, is under common control with Tenant ( and such affiliates shall have the same rights as Tenant under this paragraph). No change of stock ownership or control of Tenant shall constitute an assignment hereunder.

Section 27. Default
Any of the following events or occurrences shall constitute a material breach of this Lease by Tenant and, after the expiration of any applicable grace period, shall constitute an event of default ( each an " Event of Default"):

A. The failure by Tenant to pay any amount in full when it is due under the Lease, if the failure has continued for a period of five days after Landlord demands in writing that Tenant cure the failure;
B. The failure by Tenant to perform any obligation under this Lease, which by its nature Tenant has no capacity to cure;
C. The failure by Tenant to perform any other obligation under this Lease, if the failure has continued for a period of 30 days after Landlord demands in writing that Tenant cure the failure. If, however, by its nature the failure cannot be cured within 30 days, Tenant may have a longer period as is necessary to cure the failure, but this is conditioned upon Tenant' s promptly commencing to cure within the 30 -day period and thereafter diligently completing the cure. Tenant shall indemnify and defend Landlord against any liability, claim, damage, loss, or penalty that may be threatened or may in fact arise from that failure during the period the failure is uncured;
D. Any of the following: A general assignment by Tenant for the benefit of Tenant' s creditors; any voluntary filing, petition, or application by Tenant under any law relating to insolvency or bankruptcy, whether for a declaration of bankruptcy, a reorganization, an arrangement, or otherwise; the abandonment, vacation, or surrender of the Premises by Tenant 14-
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without Landlord' s prior written consent; or the dispossession of Tenant from the Premises other than by Landlord) by process of law or otherwise; E. The appointment of a trustee or receiver to take possession of all or substantially all of Tenant' s assets; or the attachment, execution or other judicial seizure of all or substantially all of Tenant' s assets located at the Premises or of Tenant' s interest in this Lease, unless the appointment or attachment, execution, or seizure is discharged within 30 days; or the involuntary filing against Tenant, or any general partner of Tenant ifTenant is a partnership, of

1. a petition to have Tenant, or any partner of Tenant if Tenant is a partnership, declared bankrupt, or

2. a petition for reorganization or arrangement of Tenant under any law relating to insolvency or bankruptcy, unless, in the case of any involuntary filing, it is dismissed within 60 days;
F. The abandonment ofthe Premises by Tenant.

Section 28. Remedies
Upon the occurrence of an Event of Default, Landlord, in addition to any other rights or remedies available to Landlord at law or in equity, shall have the right to A. Terminate this Lease and all rights of Tenant under this Lease by giving Tenant written notice that this Lease is terminated.

B. Continue this Lease, and from time to time, without terminating this Lease, either Recover all rent and other amounts payable as they become due or

2. Relet the Premises or any part on behalf of Tenant on terms and at the rent that Landlord, in Landlord' s sole discretion, may deem advisable, and apply the proceeds of reletting to the rent and other amounts payable by Tenant. To the extent that the rent and other amounts payable by Tenant under this Lease exceed the amount of the proceeds from reletting, the Landlord may recover the excess from Tenant as and when due. Landlord acknowledges that Tenant may terminate this Lease at any time upon 30 days notice, and therefore Tenant shall have no liability to Landlord for any costs incurred in reletting.

C. Upon the occurrence of an Event of Default, Landlord shall also have the right, with or without terminating this Lease, to re- enter the Premises and remove all persons and property from the Premises. Landlord may store the property removed from the Premises in a public warehouse or elsewhere at the expense and for the account of Tenant.

D. None of the following remedial actions, alone or in combination, shall be construed as an election by Landlord to terminate this Lease unless Landlord has in fact given Tenant written notice that this Lease is terminated or unless a court of competent jurisdiction decrees termination ofthis Lease. If Landlord takes any ofthe previous remedial actions without 15-
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terminating this Lease, Landlord may nevertheless at any later time terminate this Lease by written notice to Tenant.

E. After the occurrence of an Event of Default, Landlord, in addition to or in lieu of exercising other remedies, may, but without any obligation to do so, cure the breach underlying the Event of Default for the account and at the expense of Tenant. However Landlord must by prior notice first allow Tenant a reasonable opportunity to cure, except in cases of emergency, where Landlord may proceed without prior notice to Tenant. Tenant shall, upon demand, immediately reimburse Landlord for all reasonable, actual, out-of-pocket costs, including costs of settlements, defense, court costs, and attorney fees that Landlord actually incurs in the course of any cure.

F. No security or guaranty for the performance of Tenant' s obligations that Landlord may now or later hold shall in any way constitute a bar or defense to any action initiated by Landlord for unlawful detainer or for the recovery of the Premises, for enforcement of any obligation of Tenant, or for the recovery of damages caused by a breach of this Lease by Tenant or by an Event ofDefault.

G. Except where this is inconsistent with or contrary to any provisions of this Lease, no right or remedy conferred upon or reserved to either party is intended to be exclusive of any other right or remedy, or any right or remedy given or now or later existing at law or in equity or by statute. Except to the extent that either party may have otherwise agreed in writing, no waiver by a party of any violation or nonperformance by the other party of any obligations, agreements, or covenants under this Lease shall be deemed to be a waiver of any subsequent violation or nonperformance of the same or any other covenant, agreement, or obligation, nor shall any forbearance by either party to exercise a remedy for any violation or nonperformance by the other party be deemed a waiver by that party of the rights or remedies with respect to that violation or nonperformance.

Section 29. Waiver of Breach
Any express or implied waiver of a breach of any term of this Lease shall not constitute a waiver of any further breach of the same or other term of this Lease; and the acceptance of rent shall not constitute a waiver of any breach of any term of this Lease, except as to the payment of rent accepted.

Section 30. Notices
Except as otherwise expressly provided by law, all notices or other communications required or permitted by this Lease or by law to be served on or given to either party to this Lease by the other party shall be in writing and shall be deemed served when personally delivered to the party to whom they are directed, or in lieu of the personal service, upon deposit in the United States Mail, certified or registered mail, return receipt requested, postage prepaid, addressed to Tenant at:

Ofelia Aguilar
Akitoi Learning Center
1637 Maxson Road
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South El Monte, California 91733
Attn: Ofelia Aguilar, ( 626) 448- 6943
or to Landlord at:

City of South El Monte
1415 Santa Anita Avenue
South El Monte, California 91733
Attn: Jennifer Vasquez, City Manager
Either party, Tenant or Landlord, may change the address for the purpose of this Section by giving written notice of the change to the other party in the manner provided in this Section.

Section 31. Heirs and Successors
This Lease shall be binding on and shall inure to the benefit of the heirs, executors, administrators, successors, and assigns of Landlord and Tenant.

Section 32. Partial Invalidity
Should any provision of this Lease be held by a court of competent jurisdiction to be either invalid or unenforceable, the remaining provisions of this Lease shall remain in effect, unimpaired by the holding.

Section 33. Entire Agreement
This instrument constitutes the sole agreement between Landlord and Tenant respecting the Premises, the leasing of the Premises to Tenant, and the specified lease term, and correctly sets forth the obligations of Landlord and Tenant. Any agreement or representations respecting the Premises or their leasing by Landlord to Tenant not expressly set forth in this instrument are void.

Section 34. Time of Essence
Time is of the essence in this Lease.

Section 35. Rent
All monetary obligations of Tenant to Landlord under the Lease shall constitute rent.

Section 36. Amendments
This Lease may be modified only in writing duly executed by the parties.

Section 37. Merger
The voluntary or other surrender of this Lease by Tenant, or a mutual cancellation of the Lease, or a termination by Landlord, shall not work a merger, and shall, at the option of 17-
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Landlord, terminate all or any existing subtenancies or may, at the option of Landlord, operate as an assignment to a Landlord of any ofthe subtenancies.

Section 38. Governing Law
This Lease shall be governed by and construed in accordance with California law.

Section 39. No Brokerage Commission
Each party agrees and acknowledges that no commission is due any real estate broker in connection with this Lease.

Section 40. Recording
Upon request by Landlord, Tenant shall execute, acknowledge and return to Landlord a recordable Memorandum of Lease evidencing the Lease, for recording. 18-
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The Parties, through their duly authorized representatives are signing this Agreement on the date stated in the introductory clause.

City:

City of South El Monte,
a California municipal corporation
By: Vk l
N e: J fer E. Vasqu
Tit;: Ci Manager
ATTEST:

By: (;) S—, —
Ro uar z
Title: City Clerk
APPROVED AS TO FORM:

By: ; Qe. Quinn
M
M. Barrow
Title: City Attorney
Consultant:

Akitoi Learning Center
By: " 044j4
Name: Ofelia Ayuilar
Title: Director
Name:

Title:

PROOF OF AUTHORITY TO BIND CONTRACTING

PARTY REQUIRED
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EXHIBIT A

SITE PLAN
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City Council Agenda Report
Agenda Item No. 9.b.

DATE: March 28, 2023
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Rene Salas, City Manager
SUBJECT: CONSIDERATION AND APPROVAL OF RESOLUTION NO.
23-26, APPROVING AMENDMENT NO. 1 TO AGREEMENT

WITH WEST COAST ARBORIST FOR TREE MAINTENANCE

SERVICES
SUMMARY: On September 11, 2019 the Engineering Department issued a Request for Proposals (RFP) soliciting Tree Maintenance Services for the City of South El Monte.

The three year contract expired November 2022.

RECOMMENDED ACTION: Staff recommends that the City Council adopt Resolution No. 23-26, amending the contract with West Coast Arborists for an additional three months to complete tree timing work for fiscal year2022/23 and increase the annual budget in the amount of $200,000
FISCAL/FINANCIAL IMPACT: The contract is proposed to be amended to add $200,000 to complete tree trimming services in fiscal year 2022/23.

DISCUSSION: West Coast Arborist provides tree trimming services for the City under a 3 year contract with two additional one year contract extensions that was approved by City Council on November, 2019.

Contract tree trimming services are currently included in the FY2022/23 budget in the amount of $100,000, however and additional$200,000 is required to complete tree trimming activity for this fiscal year. If approved, the additional amount would be paid out of general fund balance.

Staff recommends approving the proposed amendment to the tree trimming contract with West Coast Arborist to complete fiscal year 2022/23 trimming schedule.

ATTACHMENT(S):

A. Resolution No. 23-26
B. Amendment No. 1

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C. Original Agreement - West Coast Arborist

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01257.0001/869065.1

ATTACHMENT A
RESOLUTION NO. 23-26

A RESOLUTION OF THE SOUTH EL MONTE CITY COUNCIL
APPROVING AMENDMENT NO. 1 TO THE CONTRACT

WITH WEST COAST ARBORISTS FOR TREE

MAINTENANCE SERVICES FOR THE CITY OF SOUTH EL
MONTE
WHEREAS, the City approved a contract for tree trimming services with West Coast Arborist (“Contractor”) entered into that certain Agreement for Contract Services dated November 19, 2019 (“Agreement”) whereby Contractor agreed to provide Tree Maintenance services (the “Services”); and
WHEREAS, the Term of the Agreement was from November 12, 2019 to December 31, 2022.

WHEREAS, the City, via authorization by the City Manager, Rene Salas, extended the Agreement for 180 days, resulting in a new expiration date of June 30, 2023; and WHEREAS, the total maximum annual compensation due under the Agreement was $300,000.00. translating to $100,000 for each year of the three year contract; and WHEREAS, by this amendment, City and Consultant now desire to increase the Contract Sum by $200,000.00 for current fiscal year 2022/23 only.

NOW, THEREFORE, THE SOUTH EL MONTE CITY COUNCIL HEREBY
RESOLVES AS FOLLOWS:

SECTION 1. The City Council hereby approves Amendment No. 1 the annual contract sum by $200,000 to complete tree trimming for fiscal year 2022/23.

SECTION 2. The City Council hereby authorizes the Mayor to execute Amendment No. 1 for Tree Maintenance Services with West Coast Arborists.

SECTION 2. The City Clerk shall certify to the adoption of this Resolution.

PASSED, APPROVED AND ADOPTED this 28th day of March, 2023. _____________________________
Gloria Olmos, Mayor

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01257.0001/869065.1
ATTEST:
__________________________
Donna Schwartz, City Clerk

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:

CITY OF SOUTH EL MONTE )
I, Donna Schwartz, City Clerk of the City of South El Monte, hereby certify that the foregoing Resolution, being Resolution No. 23-26 was duly passed and approved by the City Council at an adjourned regular meeting of said Council held on the 28th day of March, 2023 and that said Resolution was adopted by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________________
Donna Sanchez, City Clerk

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1 ATTACHMENT B
AMENDMENT NO. 1

TO AGREEMENT FOR CONTRACTUAL SERVICES

THIS AMENDMENT TO THE AGREEMENT FOR CONTRACT SERVICES
(“Amendment”) by and between the CITY OF SOUTH EL MONTE (“City”) and WEST COAST ARBORIST, INC., a California corporation (“Consultant”) is effective as of the ____ day of _______, 2023.

RECITALS
A. City and Consultant entered into that certain Agreement for Contract Services dated November 19, 2019 (“Agreement”) whereby Contractor agreed to provide Tree Maintenance services (the “Services”).

B. The Term of the Agreement was from November 12, 2019 to December 31, 2022.

C. The City, via authorization by the Interim City Manager, Rene Salas, extended the Agreement for 180 days, resulting in a new expiration date of June 30, 2023.

D. The total maximum compensation due under the Agreement was $300,000.00. translating to $100,000 for each year of the three year contract.

E. By this Amendment No. 1, City and Consultant now desire to increase the Contract Sum by $200,000.00 for current fiscal year 2022/23 only.

F. Except as amended hereby, this extension is subject to the same terms and conditions as provided in the Agreement.

TERMS

1. Contract Changes. The Agreement is amended as provided herein. Deleted text is indicated in strikethrough and added text in bold italics. a. Section 2.1, “Contract Sum,” is hereby amended and shall now read as follows:
“Subject to any limitations set forth in this Agreement, City agrees to pay Consultant the amounts specified in the “Schedule of Compensation” attached hereto as Exhibit “C” and incorporated herein by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed three hundred thousand dollars ($300,000) five hundred thousand ($500,000.00) (the “Contract Sum”), and not exceed one hundred thousand ($100,000) per fiscal year unless additional compensation is approved pursuant to Section 1.9.” b. Section I. of Exhibit “C,” is hereby amended and shall now read as follows:

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01257.0006/850707.1 -2-
I. Consultant shall perform the following tasks at the following rates:

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01257.0006/850707.1 -3-
Description Unit Unit
Price FY
2019-
2020
Unit
Price FY
2020-
2021
Unit
Price FY
2021-
2022
Unit
Price FY
2022-
2023

1. Routine Annual
Tree Trimming on
Grid Basis
per tree $59.00 $59.00 $62.00 $62.00

2. Aesthetic or Service
Request Pruning
a. 0-6” diameter at
breast height (“dbh”)
per tree $59.00 $59.00 $62.00 $62.00
b. 7-12” dbh per tree $119.00 $119.00 $125.00 $125.00
c. 13-18” dbh per tree $174.00 $174.00 $182.00 $182.00
d. 19-24” dbh per tree $224.00 $224.00 $235.00 $235.00
e. 25-36” dbh per tree $274.00 $274.00 $287.75 $287.75
f. 37” dbh & over per tree $349.00 $349.00 $366.50 $366.50

3. Palm Tree
Trimming
a. Coco Palm, any size per tree $59.00 $59.00 $62.00 $62.00 b. Washington Palm,
any size
per tree $69.00 $69.00 $72.00 $72.00
c. Canary Island Date
Palm, any size
per tree $199.00 $199.00 $209.00 $209.00

4. Tree Removal
a. Tree and stump
removal 0-24” dbh
per
diameter
inch
$39.00 $39.00 $41.00 $41.00

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01257.0006/850707.1 -4-
b. Tree removals over
25” dbh
per
diameter
inch
$49.00 $49.00 $51.00 $51.00
c. Stump only removal per inch $17.00 $17.00 $17.75 $17.75

5. Tree Planting
(Includes Labor,
Tree, and 90-day
Watering)
a. 15 gallon tree per tree $169.00 $169.00 $177.50 $177.50 b. 24 inch box tree per tree $329.00 $329.00 $345.50 $345.50

6. Crew Rental per hour $84.00 $84.00 $88.00 $88.00

7. Specialty Equipment per hour $139.00 $139.00 $146.00 $146.00

8. Emergency
Response
a. Standard Hours per hour $105.00 $105.00 $110.00 $110.00 b. Evenings, Weekends,
and Holidays
per hour $315.00 $315.00 $330.00 $330.00

9. Tree Inventory
Software
annually No
Charge
No
Charge
No
Charge
No
Charge

10. Tree Inventory
Updates
per hour $84.00 $84.00 $88.00 $88.00

2. Continuing Effect of Agreement. Except as amended by this Amendment, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement, as amended by this Amendment to the Agreement.

3. Affirmation of Agreement; Warranty Re Absence of Defaults. City and Consultant each ratify and reaffirm each and every one of the respective rights and obligations arising under the Agreement. Each party represents and warrants to the other that there have been

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01257.0006/850707.1 -5-
no written or oral modifications to the Agreement other than as provided herein. Each party represents and warrants to the other that the Agreement is currently an effective, valid, and binding obligation.

Consultant represents and warrants to City that, as of the date of this Amendment, City is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement.

City represents and warrants to Consultant that, as of the date of this Amendment, Consultant is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement.

4. Adequate Consideration. The parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment.

5. Authority. The persons executing this Amendment on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment on behalf of said party, (iii) by so executing this Amendment , such party is formally bound to the provisions of this Amendment , and (iv) the entering into this Amendment does not violate any provision of any other agreement to which said party is bound. [SIGNATURES ON FOLLOWING PAGE]

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01257.0006/850707.1 -6-
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first-above written.

CITY:

CITY OF SOUTH EL MONTE, a municipal
corporation
____________________________________
Rene Salas, City Manager
ATTEST:
_________________________________
Donna G. Schwartz, City Clerk
APPROVED AS TO FORM:

ALESHIRE & WYNDER, LLP
_________________________________
Anthony R. Taylor, City Attorney
CONTRACTOR:

WEST COAST ARBORIST, INC., a
California corporation
By: ________________________________
Name:

Title:

By: ________________________________
Name:

Title:

Address: 2200 E. Via Burton
Anaheim, CA 92806
Two corporate officer signatures required when Contractor is a corporation, with one signature required from each of the following groups: 1) Chairman of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. CONTRACTOR’S SIGNATURES

SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS

MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONTRACTOR’S BUSINESS ENTITY.

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01257.0006/850707.1

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

STATE OF CALIFORNIA

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

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01257.0006/850707.1

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT

STATE OF CALIFORNIA

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

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CONTRACT SERVICES AGREEMENT
By and Between

CITY OF SOUTH EL MONTE
and
WEST COAST ARBORISTS, INC.

ATTACHMENT C

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AGREEMENT FOR CONTRACT SERVICES

BETWEEN THE CITY OF SOUTH EL MONTE AND
WEST COAST ARBORISTS, INC.

THIS AGREEMENT FOR CONTRACT SERVICES ( herein " Agreement") is made and entered into this 12' h day of November 2019 by and between the City of South El Monte, a California, a municipal corporation (" City") and West Coast Arborists, Inc., a California corporation (" Consultant"). City and Consultant may be referred to, individually or collectively, as " Party" or "Parties."

RECITALS
A. City has sought, by issuance of a Request for Proposals or Invitation for Bids, the performance ofthe services defined and described particularly in Article 1 ofthis Agreement.

B. Consultant, following submission of a proposal or bid for the performance of the services defined and described particularly in Article 1 ofthis Agreement, was selected by the City to perform those services.

C. Pursuant to the City of South El Monte Municipal Code, City has authority to enter into and execute this Agreement.

D. The Parties desire to formalize the selection of Consultant for performance ofthose services defined and described particularly in Article 1 ofthis Agreement and desire that the terms of that performance be as particularly defined and described herein.

OPERATIVE PROVISIONS
NOW, THEREFORE, in consideration ofthe mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the parties agree as follows:

ARTICLE 1. SERVICES OF CONSULTANT

1. 1 Scope of Services.

In compliance with all terms and conditions ofthis Agreement, the Consultant shall provide those services specified in the "Scope ofServices" attached hereto as Exhibit "A" and incorporated herein by this reference, which may be referred to herein as the " services" or " work" hereunder.

As a material inducement to the City entering into this Agreement, Consultant represents and warrants that it has the qualifications, experience, and facilities necessary to properly perform the services required under this Agreement in a thorough, competent, and professional manner, and is experienced in performing the work and services contemplated herein. Consultant shall at all times faithfully, competently and to the best of its ability, experience and talent, perform all services described herein. Consultant covenants that it shall follow the highest professional standards in performing the work and services required hereunder and that all materials will be both of good quality as well as fit for the purpose intended. For purposes ofthis Agreement, the phrase " highest 01257.0006/ 612937. 1

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professional standards" shall mean those standards of practice recognized by one or more firstclass firms performing similar work under similar circumstances.

1. 2 Consultant' s Proposal.

The Scope of Services shall include the Consultant' s scope of work or bid which shall be incorporated herein by this reference as though fully set forth herein. In the event of any inconsistency between the terms of such proposal and this Agreement, the terms ofthis Agreement shall govern.

1. 3 Compliance with Law.

Consultant shall keep itself informed concerning, and shall render all services hereunder in accordance with, all ordinances, resolutions, statutes, rules, and regulations of the City and any Federal, State or local governmental entity having jurisdiction in effect at the time service is rendered.

1. 4 California Labor Law.

Ifthe Scope of Services includes any "public work" or "maintenance work," as those terms are defined in California Labor Code section 1720 et seq. and California Code of Regulations, Title 8, Section 16000 et seq., and if the total compensation is $ 1, 000 or more, Consultant shall pay prevailing wages for such work and comply with the requirements in California Labor Code section 1770 et seq. and 1810 et seq., and all other applicable laws, including the following requirements:
a) Public Work. The Parties acknowledge that some or all ofthe work to be performed under this Agreement is a " public work" as defined in Labor Code Section 1720 and that this Agreement is therefore subject to the requirements of Division 2, Part 7, Chapter 1 commencing with Section 1720) of the California Labor Code relating to public works contracts and the rules and regulations established by the Department of Industrial Relations (" DIR") implementing such statutes. The work performed under this Agreement is subject to compliance monitoring and enforcement by the DIR. Consultant shall post job site notices, as prescribed by regulation.
b) Prevailing_ Wages. Consultant shall pay prevailing wages to the extent required by Labor Code Section 1771. Pursuant to Labor Code Section 1773. 2, copies of the prevailing rate of per diem wages are on file at City Hall and will be made available to any interested party on request. By initiating any work under this Agreement, Consultant acknowledges receipt of a copy ofthe Department of Industrial Relations (DIR) determination of the prevailing rate of per diem wages, and Consultant shall post a copy ofthe same at each job site where work is performed under this Agreement.
c) Penalty for Failure to Pay Prevailing Wages. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment ofprevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The Consultant shall, as a penalty to the City, forfeit two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined 2

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by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Consultant or by any subcontractor. d) Payroll Records. Consultant shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Consultant and each subconsultant to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform the City of the location of the records. e) Apprentices. Consultant shall comply with and be bound by the provisions of Labor Code Sections l 777. 5, 1777.6, and 1777. 7 and California Code of Regulations Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects.

Consultant shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Consultant shall provide City with a copy of the information submitted to any applicable apprenticeship program.

Within sixty (60) days after concluding work pursuant to this Agreement, Consultant and each of its subconsultants shall submit to the City a verified statement of the journeyman and apprentice hours performed under this Agreement.
f) Eight -Hour Work Day. Consultant acknowledges that eight ( 8) hours labor constitutes a legal day's work. Consultant shall comply with and be bound by Labor Code Section 1810.
g) Penalties for Excess Hours. Consultant shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. The Consultant shall, as a penalty to the City, forfeit twenty-five dollars ($ 25) for each worker employed in the performance of this Agreement by the Consultant or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight ( 8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions ofDivision 2, Part 7, Chapter 1, Article 3 ofthe Labor Code. Pursuant to Labor Code section 1815, work performed by employees of Consultant in excess of eight ( 8) hours per day, and forty (40) hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of 8 hours per day at not less than one and one-half 1'/ z) times the basic rate of pay.
h) Workers' Compensation. California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees ifit has employees. In accordance with the provisions of California Labor Code Section 1861, Consultant certifies as follows:

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

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i) Consultant' s Responsibility for Subcontractors. For every subcontractor who will perform work under this Agreement, Consultant shall be responsible for such subcontractor's compliance with Division 2, Part 7, Chapter 1 ( commencing with Section 1720) of the California Labor Code, and shall make such compliance a requirement in any contract with any subcontractor for work under this Agreement. Consultant shall be required to take all actions necessary to enforce such contractual provisions and ensure subcontractor's compliance, including without limitation, conducting a review of the certified payroll records of the subcontractor on a periodic basis or upon becoming aware ofthe failure ofthe subcontractor to pay his or her workers the specified prevailing rate of wages. Consultant shall diligently take corrective action to halt or rectify any such failure by any subcontractor.

1. 5 Licenses, Permits, Fees and Assessments.

Consultant shall obtain at its sole cost and expense such licenses, permits and approvals as may be required by law for the performance ofthe services required by this Agreement. Consultant shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Consultant' s performance of the services required by this Agreement, and shall indemnify, defend and hold harmless City, its officers, employees or agents of City, against any such fees, assessments, taxes, penalties or interest levied, assessed or imposed against City hereunder.

1. 6 Familiarity with Work.

By executing this Agreement, Consultant warrants that Consultant ( i) has thoroughly investigated and considered the scope of services to be performed, ( ii) has carefully considered how the services should be performed, and ( iii) fully understands the facilities, difficulties and restrictions attending performance of the services under this Agreement. If the services involve work upon any site, Consultant warrants that Consultant has or will investigate the site and is or will be fully acquainted with the conditions there existing, prior to commencement of services hereunder. Should the Consultant discover any latent or unknown conditions, which will materially affect the performance ofthe services hereunder, Consultant shall immediately inform the City of such fact and shall not proceed except at Consultant' s risk until written instructions are received from the Contract Officer.

1. 7 Care of Work.

The Consultant shall adopt reasonable methods during the life ofthe Agreement to furnish continuous protection to the work, and the equipment, materials, papers, documents, plans, studies and/or other components thereofto prevent losses or damages, and shall be responsible for all such damages, to persons or property, until acceptance of the work by City, except such losses or damages as may be caused by City' s own negligence.

1. 8 Further Responsibilities of Parties.

Both parties agree to use reasonable care and diligence to perform their respective obligations under this Agreement. Both parties agree to act in good faith to execute all instruments, prepare all documents and take all actions as may be reasonably necessary to carry out the purposes 4

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ofthis Agreement. Unless hereafter specified, neither party shall be responsible for the service of the other.

1. 9 Additional Services.

City shall have the right at any time during the performance of the services, without invalidating this Agreement, to order extra work beyond that specified in the Scope of Services or make changes by altering, adding to or deducting from said work. No such extra work may be undertaken unless a written order is first given by the Contract Officer to the Consultant, incorporating therein any adjustment in (i) the Contract Sum for the actual costs ofthe extra work, and/or (ii) the time to perform this Agreement, which said adjustments are subject to the written approval of the Consultant. Any increase in compensation of up to ten percent ( 10%) of the Contract Sum or $25, 000, whichever is less; or, in the time to perform ofup to one hundred eighty 180) days, may be approved by the Contract Officer. Any greater increases, taken either separately or cumulatively, must be approved by the City Council. It is expressly understood by Consultant that the provisions of this Section shall not apply to services specifically set forth in the Scope of Services. Consultant hereby acknowledges that it accepts the risk that the services to be provided pursuant to the Scope of Services may be more costly or time consuming than Consultant anticipates and that Consultant shall not be entitled to additional compensation therefor. City may in its sole and absolute discretion have similar work done by other Consultants. No claims for an increase in the Contract Sum or time for performance shall be valid unless the procedures established in this Section are followed.

1. 10 Special Requirements.

Additional terms and conditions of this Agreement, if any, which are made a part hereof are set forth in the " Special Requirements" attached hereto as Exhibit `B" and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit `B" and any other provisions ofthis Agreement, the provisions ofExhibit `B" shall govern.

ARTICLE 2. COMPENSATION AND METHOD OF PAYMENT.

2. 1 Contract Sum.

Subject to any limitations set forth in this Agreement, City agrees to pay Consultant the amounts specified in the " Schedule of Compensation" attached hereto as Exhibit " C" and incorporated herein by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed three hundred thousand dollars ($ 300,000) ( the " Contract Sum"), and not exceed one hundred thousand ($ 100,000) per fiscal year unless additional compensation is approved pursuant to Section 1. 9.

2. 2 Method of Compensation.

The method of compensation may include: (i) a lump sum payment upon completion; (ii) payment in accordance with specified tasks or the percentage of completion of the services, less contract retention; ( iii) payment for time and materials based upon the Consultant' s rates as specified in the Schedule of Compensation, provided that ( a) time estimates are provided for the

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performance of sub tasks, ( b) contract retention is maintained, and ( c) the Contract Sum is not exceeded; or (iv) such other methods as may be specified in the Schedule of Compensation.

2.3 Reimbursable Expenses.

Compensation may include reimbursement for actual and necessary expenditures for reproduction costs, telephone expenses, and travel expenses approved by the Contract Officer in advance, or actual subcontractor expenses of an approved subcontractor pursuant to Section 4.5, and only if specified in the Schedule of Compensation. The Contract Sum shall include the attendance of Consultant at all project meetings reasonably deemed necessary by the City.

Coordination of the performance of the work with City is a critical component of the services. If Consultant is required to attend additional meetings to facilitate such coordination, Consultant shall not be entitled to any additional compensation for attending said meetings.

2.4 Invoices.

Each month Consultant shall furnish to City an original invoice for all work performed and expenses incurred during the preceding month in a form approved by City' s Director of Finance.

By submitting an invoice for payment under this Agreement, Consultant is certifying compliance with all provisions ofthe Agreement. The invoice shall contain all information specified in Exhibit C", and shall detail charges for all necessary and actual expenses by the following categories:
labor (by sub -category), travel, materials, equipment, supplies, and sub -contractor contracts. Subcontractor charges shall also be detailed by such categories. Consultant shall not invoice City for any duplicate services performed by more than one person.

City shall independently review each invoice submitted by the Consultant to determine whether the work performed and expenses incurred are in compliance with the provisions ofthis Agreement. Except as to any charges for work performed or expenses incurred by Consultant which are disputed by City, or as provided in Section 7. 3, City will use its best efforts to cause Consultant to be paid within forty-five (45) days ofreceipt of Consultant' s correct and undisputed invoice; however, Consultant acknowledges and agrees that due to City warrant run procedures, the City cannot guarantee that payment will occur within this time period. In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Consultant for correction and resubmission. Review and payment by City for any invoice provided by the Consultant shall not constitute a waiver of any rights or remedies provided herein or any applicable law.

2. 5 Waiver.

Payment to Consultant for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Consultant.

ARTICLE 3. PERFORMANCE SCHEDULE

3. 1 Time of Essence.

Time is of the essence in the performance of this Agreement. 6

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3.2 Schedule of Performance.

Consultant shall commence the services pursuant to this Agreement upon receipt of a written notice to proceed and shall perform all services within the time period(s) established in the Schedule of Performance" attached hereto as Exhibit " D" and incorporated herein by this reference. When requested by the Consultant, extensions to the time period(s) specified in the Schedule of Performance may be approved in writing by the Contract Officer but not exceeding one hundred eighty ( 180) days cumulatively.

3.3 Force Maieure.

The time period( s) specified in the Schedule of Performance for performance of the services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of the Consultant, including, but not restricted to, acts of God or ofthe public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/ or acts of any governmental agency, including the City, if the Consultant shall within ten ( 10) days ofthe commencement of such delay notify the Contract Officer in writing of the causes ofthe delay. The Contract Officer shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period ofthe enforced delay when and ifin the judgment ofthe Contract Officer such delay is justified. The Contract Officer' s determination shall be final and conclusive upon the parties to this Agreement. In no event shall Consultant be entitled to recover damages against the City for any delay in the performance ofthis Agreement, however caused, Consultant' s sole remedy being extension ofthe Agreement pursuant to this Section.

3.4 Term.

Unless earlier terminated in accordance with Article 7 of this Agreement, this Agreement shall continue in full force and effect until completion of the services but not exceeding three ( 3) years from the date hereof, except as otherwise provided in the Schedule ofPerformance (Exhibit D"). The City may, in its sole discretion, extend the Term for two 2 additional one-year terms.

ARTICLE 4. COORDINATION OF WORK

4. 1 Representatives and Personnel of Consultant.

The following principals of Consultant (" Principals") are hereby designated as being the principals and representatives ofConsultant authorized to act in its behalf with respect to the work specified herein and make all decisions in connection therewith:

Patrick Mahoney President
Name) ( Title)
Richard Mahoney Secretary
Name) ( Title)
7

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It is expressly understood that the experience, knowledge, capability and reputation ofthe foregoing principals were a substantial inducement for City to enter into this Agreement.

Therefore, the foregoing principals shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder. All personnel of Consultant, and any authorized agents, shall at all times be under the exclusive direction and control of the Principals. For purposes of this Agreement, the foregoing Principals may not be replaced nor may their responsibilities be substantially reduced by Consultant without the express written approval of City. Additionally, Consultant shall utilize only competent personnel to perform services pursuant to this Agreement. Consultant shall make every reasonable effort to maintain the stability and continuity of Consultant' s staff and subcontractors, ifany, assigned to perform the services required under this Agreement. Consultant shall notify City of any changes in Consultant' s staff and subcontractors, if any, assigned to perform the services required under this Agreement, prior to and during any such performance.

4.2 Status of Consultant.

Consultant shall have no authority to bind City in any manner, or to incur any obligation, debt or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City. Consultant shall not at any time or in any manner represent that Consultant or any of Consultant' s officers, employees, or agents are in any manner officials, officers, employees or agents of City. Neither Consultant, nor any of Consultant' s officers, employees or agents, shall obtain any rights to retirement, health care or any other benefits which may otherwise accrue to City' s employees. Consultant expressly waives any claim Consultant may have to any such rights.

4.3 Contract Officer.

The Contract Officer shall be Rene Salas, Public Works Director, or such person as may be designated by the City Manager. It shall be the Consultant' s responsibility to assure that the Contract Officer is kept informed of the progress of the performance of the services and the Consultant shall refer any decisions which must be made by City to the Contract Officer. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval ofthe Contract Officer. The Contract Officer shall have authority, if specified in writing by the City Manager, to sign all documents on behalf of the City required hereunder to carry out the terms of this Agreement.

4.4 Independent Consultant.

Neither the City nor any ofits employees shall have any control over the manner, mode or means by which Consultant, its agents or employees, perform the services required herein, except as otherwise set forth herein. City shall have no voice in the selection, discharge, supervision or control of Consultant' s employees, servants, representatives or agents, or in fixing their number, compensation or hours of service. Consultant shall perform all services required herein as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. Consultant shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of City. City shall not in any way or for any purpose become or be deemed to be a partner of

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Consultant in its business or otherwise or a joint venturer or a member of any joint enterprise with Consultant.

4.5 Prohibition Ap-ainst Subcontracting or Assignment.

The experience, knowledge, capability and reputation of Consultant, its principals and employees were a substantial inducement for the City to enter into this Agreement. Therefore, Consultant shall not contract with any other entity to perform in whole or in part the services required hereunder without the express written approval of the City. In addition, neither this Agreement nor any interest herein may be transferred, assigned, conveyed, hypothecated or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent (25%) of the present ownership and/or control of Consultant, taking all transfers into account on a cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be void. No approved transfer shall release the Consultant or any surety of Consultant of any liability hereunder without the express consent of City.

ARTICLE 5. INSURANCE AND INDEMNIFICATION

5. 1 Insurance Coveraaes.

Without limiting Consultant' s indemnification ofCity, and prior to commencement of any services under this Agreement, Consultant shall obtain, provide and maintain at its own expense during the term ofthis Agreement, policies ofinsurance of the type and amounts described below and in a form satisfactory to City.
a) General liability insurance. Consultant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $ 2,000,000 per occurrence, $ 4,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO "insured contract" language will not be accepted.
b) Automobile liability insurance. Consultant shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Services to be performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles, in an amount not less than $2, 000,000 combined single limit for each accident. c) Professional liability ( errors & omissions) insurance. Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $2, 000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and Consultant agrees to maintain continuous coverage through a period no less than three ( 3) years after completion ofthe services required by this Agreement. 9

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d) Workers' compensation insurance. Consultant shall maintain Workers' Compensation Insurance ( Statutory Limits) and Employer' s Liability Insurance ( with limits of at least $ 1, 000,000).
e) Subcontractors. Consultant shall include all subcontractors as insureds under its policies or shall furnish separate certificates and certified endorsements for each subcontractor. All coverages for subcontractors shall include all ofthe requirements stated herein. f) Additional Insurance. Policies of such other insurance, as may be required in the Special Requirements in Exhibit `B".

5.2 General Insurance Requirements.
a) Proof ofinsurance. Consultant shall provide certificates ofinsurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation. Insurance certificates and endorsements must be approved by City' s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. City reserves the right to require complete, certified copies of all required insurance policies, at any time.
b) Duration of coverage. Consultant shall procure and maintain for the duration ofthis Agreement insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Services hereunder by Consultant, its agents, representatives, employees or subconsultants. c) Primary/noncontributing. Coverage provided by Consultant shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits ofinsurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and noncontributory basis for the benefit of City before the City' s own insurance or self-insurance shall be called upon to protect it as a named insured.
d) City' s rights of enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement. e) Acceptable insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or that is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders' Rating of A- ( or higher) and Financial Size Category Class VI ( or larger) in accordance with the latest edition of Best' s Key Rating Guide, unless otherwise approved by the City' s Risk Manager.
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f) Waiver of subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants.
g) Enforcement of contract provisions ( non -estoppel). Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant ofnon- compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
h) Requirements not limiting. 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. If the Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
i) Notice of cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty ( 30) day notice of cancellation ( except for nonpayment for which a ten ( 10) day notice is required) or nonrenewal of coverage for each required coverage.
0) Additional insured status. General liability policies shall provide or be endorsed to provide that City and its officers, officials, employees, and agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies.
k) Prohibition of undisclosed coverage limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved ofin writing. 1) Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that Consultant' s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer' s limits of liability. The policy(ies) shall not contain any cross -liability exclusions. m) Pass through clause. Consultant agrees to ensure that its subconsultants, subcontractors, and any other party involved with the project who is brought onto or involved in the project by Consultant, provide the same minimum insurance coverage and endorsements required of Consultant. Consultant agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements 11

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of this section. Consultant agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the project will be submitted to City for review. n) Agency' s right to revise specifications. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Consultant ninety ( 90) days advance written notice of such change. If such change results in substantial additional cost to the Consultant, the City and Consultant may renegotiate Consultant' s compensation.
o) Self-insured retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
p) Timely notice of claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant' s performance under this Agreement, and that involve or may involve coverage under any ofthe required liability policies.
q) Additional insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds ofinsurance, which in its own judgment may be necessary for its proper protection and prosecution of the work.

5.3 Indemnification.

To the full extent permitted by law, Consultant agrees to indemnify, defend and hold harmless the City, its officers, employees and agents (" Indemnified Parties") against, and will hold and save them and each ofthem harmless from, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities whether actual or threatened ( herein " claims or liabilities") that may be asserted or claimed by any person, firm or entity arising out of or in connection with the negligent performance ofthe work, operations or activities provided herein of Consultant, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Consultant is legally liable ("indemnitors"), or arising from Consultant' s or indemnitors' reckless or willful misconduct, or arising from Consultant' s or indemnitors' negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, and in connection therewith:
a) Consultant will defend any action or actions filed in connection with any of said claims or liabilities and will pay all costs and expenses, including legal costs and attorneys' fees incurred in connection therewith;
b) Consultant will promptly pay any judgment rendered against the City, its officers, agents or employees for any such claims or liabilities arising out of or in connection with the negligent performance of or failure to perform such work, operations or activities of Consultant hereunder; and Consultant agrees to save and hold the City, its officers, agents, and employees harmless therefrom;
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c) In the event the City, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Consultant for such damages or other claims arising out of or in connection with the negligent performance of or failure to perform the work, operation or activities of Consultant hereunder, Consultant agrees to pay to the City, its officers, agents or employees, any and all costs and expenses incurred by the City, its officers, agents or employees in such action or proceeding, including but not limited to, legal costs and attorneys' fees.

Consultant shall incorporate similar indemnity agreements with its subcontractors and ifit fails to do so Consultant shall be fully responsible to indemnify City hereunder therefore, and failure of City to monitor compliance with these provisions shall not be a waiver hereof. This indemnification includes claims or liabilities arising from any negligent or wrongful act, error or omission, or reckless or willful misconduct of Consultant in the performance of professional services hereunder. The provisions ofthis Section do not apply to claims or liabilities occurring as a result of City' s sole negligence or willful acts or omissions, but, to the fullest extent permitted by law, shall apply to claims and liabilities resulting in part from City' s negligence, except that design professionals' indemnity hereunder shall be limited to claims and liabilities arising out of the negligence, recklessness or willful misconduct of the design professional. The indemnity obligation shall be binding on successors and assigns of Consultant and shall survive termination of this Agreement.

ARTICLE 6. RECORDS, REPORTS, AND RELEASE OF INFORMATION

6. 1 Records.

Consultant shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies or other documents relating to the disbursements charged to City and services performed hereunder ( the " books and records"), as shall be necessary to perform the services required by this Agreement and enable the Contract Officer to evaluate the performance of such services. Any and all such documents shall be maintained in accordance with generally accepted accounting principles and shall be complete and detailed. The Contract Officer shall have full and free access to such books and records at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts from such records. Such records shall be maintained for a period ofthree ( 3) years following completion of the services hereunder, and the City shall have access to such records in the event any audit is required. In the event of dissolution of Consultant' s business, custody ofthe books and records may be given to City, and access shall be provided by Consultant' s successor in interest. Notwithstanding the above, the Consultant shall fully cooperate with the City in providing access to the books and records if a public records request is made and disclosure is required by law including but not limited to the California Public Records Act.

6.2 Reports.

Consultant shall periodically prepare and submit to the Contract Officer such reports concerning the performance of the services required by this Agreement as the Contract Officer shall require. Consultant hereby acknowledges that the City is greatly concerned about the cost of work and services to be performed pursuant to this Agreement. For this reason, Consultant agrees that if Consultant becomes aware of any facts, circumstances, techniques, or events that may or 13

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will materially increase or decrease the cost of the work or services contemplated herein or, if Consultant is providing design services, the cost of the project being designed, Consultant shall promptly notify the Contract Officer of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto and, if Consultant is providing design services, the estimated increased or decreased cost estimate for the project being designed.

6.3 Ownership of Documents.

All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (the " documents and materials") prepared by Consultant, its employees, subcontractors and agents in the performance of this Agreement shall be the property ofCity and shall be delivered to City upon request ofthe Contract Officer or upon the termination of this Agreement, and Consultant shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment ofthe documents and materials hereunder. Any use, reuse or assignment of such completed documents for other projects and/or use ofuncompleted documents without specific written authorization by the Consultant will be at the City' s sole risk and without liability to Consultant, and Consultant' s guarantee and warranties shall not extend to such use, reuse or assignment. Consultant may retain copies of such documents for its own use. Consultant shall have the right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any documents or materials prepared by them, and in the event Consultant fails to secure such assignment, Consultant shall indemnify City for all damages resulting therefrom. Moreover, Consultant with respect to any documents and materials that may qualify as works made for hire" as defined in 17 U.S. C. § 101, such documents and materials are hereby deemed " works made for hire" for the City.

6.4 Confidentialitv and Release of Information.
a) All information gained or work product produced by Consultant in performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Consultant. Consultant shall not release or disclose any such information or work product to persons or entities other than City without prior written authorization from the Contract Officer.
b) Consultant, its officers, employees, agents or subcontractors, shall not, without prior written authorization from the Contract Officer or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered " voluntary" provided Consultant gives City notice of such court order or subpoena. c) If Consultant, or any officer, employee, agent or subcontractor of Consultant, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Consultant for any damages, costs and fees, including attorney' s fees, caused by or incurred as a result of Consultant' s conduct. 14

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

ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION

7. 1 California Law.

This Agreement shall be interpreted, construed and governed both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Los Angeles, State of California, or any other appropriate court in such county, and Consultant covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in the County of Los Angeles, State of California.

7.2 Disputes; Default.

In the event that Consultant is in default under the terms of this Agreement, the City shall not have any obligation or duty to continue compensating Consultant for any work performed after the date of default. Instead, the City may give notice to Consultant of the default and the reasons for the default. The notice shall include the timeframe in which Consultant may cure the default.

This timeframe is presumptively thirty (30) days, but may be extended, though not reduced, if circumstances warrant. During the period oftime that Consultant is in default, the City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, the City may, in its sole discretion, elect to pay some or all ofthe outstanding invoices during the period of default. If Consultant does not cure the default, the City may take necessary steps to terminate this Agreement under this Article. Any failure on the part of the City to give notice ofthe Consultant' s default shall not be deemed to result in a waiver ofthe City' s legal rights or any rights arising out of any provision of this Agreement.

7.3 Retention of Funds.

Consultant hereby authorizes City to deduct from any amount payable to Consultant whether or not arising out of this Agreement) ( i) any amounts the payment of which may be in dispute hereunder or which are necessary to compensate City for any losses, costs, liabilities, or damages suffered by City, and ( ii) all amounts for which City may be liable to third parties, by reason of Consultant' s acts or omissions in performing or failing to perform Consultant' s obligation under this Agreement. In the event that any claim is made by a third party, the amount or validity of which is disputed by Consultant, or any indebtedness shall exist which shall appear 15

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to be the basis for a claim of lien, City may withhold from any payment due, without liability for interest because of such withholding, an amount sufficient to cover such claim. The failure ofCity to exercise such right to deduct or to withhold shall not, however, affect the obligations of the Consultant to insure, indemnify, and protect City as elsewhere provided herein.

7.4 Waiver.

Acceptance by City of any work or services by Consultant shall not constitute a waiver of any of the provisions ofthis Agreement. No delay or omission in the exercise of any right or remedy by a non -defaulting party on any default shall impair such right or remedy or be construed as a waiver.

Any waiver by either party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement.

7.5 Rights and Remedies are Cumulative.

7.6 Legal Action.

In addition to any other rights or remedies, either party may take legal action, in law or in equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance ofthis Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement. Notwithstanding any contrary provision herein, Consultant shall file a statutory claim pursuant to Government Code Sections 905 et seq. and 910 et seq., in order to pursue a legal action under this Agreement.

7.7 Termination Prior to Expiration of Term.

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thereafter in accordance with the Schedule of Compensation or such as may be approved by the Contract Officer, except as provided in Section 7. 3. In the event the Consultant has initiated termination, the Consultant shall be entitled to compensation only for the reasonable value of the work product actually produced hereunder. In the event of termination without cause pursuant to this Section, the terminating party need not provide the non -terminating party with the opportunity to cure pursuant to Section 7.2.

7.8 Termination for Default of Consultant.

If termination is due to the failure of the Consultant to fulfill its obligations under this Agreement, City may, after compliance with the provisions ofSection 7.2, take over the work and prosecute the same to completion by contract or otherwise, and the Consultant shall be liable to the extent that the total cost for completion of the services required hereunder exceeds the compensation herein stipulated (provided that the City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to the Consultant for the purpose of set-off or partial payment of the amounts owed the City as previously stated.

7.9 Attorneys' Fees.

If either party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorney' s fees. Attorney' s fees shall include attorney' s fees on any appeal, and in addition a party entitled to attorney' s fees shall be entitled to all other reasonable costs for investigating such action, taking depositions and discovery and all other necessary costs the court allows which are incurred in such litigation. All such fees shall be deemed to have accrued on commencement of such action and shall be enforceable whether or not such action is prosecuted to judgment.

ARTICLE 8. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION

8. 1 Non -liability of City Officers and Employees.

No officer or employee of the City shall be personally liable to the Consultant, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Consultant or to its successor, or for breach of any obligation ofthe terms ofthis Agreement.

8.2 Conflict of Interest.

Consultant covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Consultant' s performance of services under this Agreement. Consultant further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent ofthe Contract Officer. Consultant agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.
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No officer or employee of the City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which affects her/his financial interest or the financial interest of any corporation, partnership or association in which ( s) he is, directly or indirectly, interested, in violation of any State statute or regulation. The Consultant warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement.

8.3 Covenant Azainst Discrimination.

Consultant covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class in the performance of this Agreement. Consultant shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class.

8.4 Unauthorized Aliens.

Consultant hereby promises and agrees to comply with all ofthe provisions ofthe Federal Immigration and Nationality Act, 8 U.S. C. § 1101 et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Consultant so employ such unauthorized aliens for the performance of work and/or services covered by this Agreement, and should any liability or sanctions be imposed against City for such use of unauthorized aliens, Consultant hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys' fees, incurred by City.

ARTICLE 9. MISCELLANEOUS PROVISIONS

9. 1 Notices.

Any notice, demand, request, document, consent, approval, or communication either party desires or is required to give to the other party or any other person shall be in writing and either served personally or sent by prepaid, first-class mail, in the case ofthe City, to the City Manager and to the attention of the Contract Officer (with her/his name and City title), City of South El Monte, 6330 Pine Avenue, South El Monte, California 90201 and in the case of the Consultant, to the person( s) at the address designated on the execution page ofthis Agreement. Either party may change its address by notifying the other party ofthe change of address in writing. Notice shall be deemed communicated at the time personally delivered or in seventy-two (72) hours from the time of mailing if mailed as provided in this Section.

9.2 Interpretation.

The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason ofthe authorship of this Agreement or any other rule of construction which might otherwise apply.

9.3 Counterparts.
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This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument.

9.4 Intep-ration; Amendment.

This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the parties. It is understood that there are no oral agreements between the parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements and understandings, if any, between the parties, and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Consultant and by the City Council. The parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void.

9.5 Severability.

In the event that any one or more ofthe phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree ofa court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent ofthe parties hereunder unless the invalid provision is so material that its invalidity deprives either party ofthe basic benefit of their bargain or renders this Agreement meaningless.

9.6 Warranty & Representation of Non -Collusion.

No official, officer, or employee ofCity has any financial interest, direct or indirect, in this Agreement, nor shall any official, officer, or employee of City participate in any decision relating to this Agreement which may affect his/her financial interest or the financial interest of any corporation, partnership, or association in which ( s) he is directly or indirectly interested, or in violation of any corporation, partnership, or association in which ( s) he is directly or indirectly interested, or in violation of any State or municipal statute or regulation. The determination of financial interest" shall be consistent with State law and shall not include interests found to be remote" or " noninterests" pursuant to Government Code Sections 1091 or 1091. 5. Consultant warrants and represents that it has not paid or given, and will not pay or give, to any third party including, but not limited to, any City official, officer, or employee, any money, consideration, or other thing of value as a result or consequence of obtaining or being awarded any agreement.

Consultant further warrants and represents that (s) he/it has not engaged in any act( s), omission(s), or other conduct or collusion that would result in the payment of any money, consideration, or other thing of value to any third party including, but not limited to, any City official, officer, or employee, as a result of consequence of obtaining or being awarded any agreement. Consultant is aware of and understands that any such act( s), omission(s) or other conduct resulting in such payment of money, consideration, or other thing of value will render this Agreement void and of no force or effect.

Consultant' s Authorized Initials

9.7 Corporate Authority.
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The persons executing this Agreement on behalf of the parties hereto warrant that (i) such party is duly organized and existing, ( ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, and ( iv) that entering into this Agreement does not violate any provision of any other Agreement to which said party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the parties.

SIGNATURES ON FOLLOWING PAGE]
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first -above written.

APPROVED AS TO FORM:

ALESHIRE & WYNDER, LLP
VaI
r • I
I
CITY:

CITY OF SOUTH EL MONTE, a municipal
corporation
4 LDok9.
lona Olmos, Mayor
CONSULTANT:

WEST COAST ARBORIS , INC., a California
corporati
By: /
Name: Patrick Mahoney
Title: President
By:_
Name:

Title:
2200 E. Via Burton
Anaheim. CA 92806
Two corporate officer signatures required when Consultant is a corporation, with one signature required from each of the following groups: 1) Chairman of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. CONSULTANT' S

SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE

INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT' S BUSINESS ENTITY. 21

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rZALIF RNIA ALL-PURPOSE ACKNOWLEDGMENT• •
t.at.cVC. zTrlt.a 01_ C.. C. a .a t..i .=
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of ORANGE
On 12/ 27/ 19 before me,
Date
Amelia I. Menzel, Notary Public
Here Insert Name and Title of the Officer
personally appeared Patrick Mahoney and Richard Mahoney Name(s) of Signer(s)
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/ are subscribed to the within instrument and acknowledged to me that he/ she/they executed the same in his/ her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is true and correct.

AMELIAMENZEL WITNESS my hand and off! ial al.

Notary Public • California
Orange County
Commission Z 2284387 f
My Comm. Expires Apr 5, 2023 Signature
Signat re of Notary Public
Place Notary Seal Above

OPTIONAL
Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document.

Description of Attached Document
Title or Type of Document:

Document Date:

South EI Monte
Signer(s) Other Than Named Above:

Capacity(ies) Claimed by Signer(s)
Signer' s Name: Patrick Mahoney
X Corporate Officer — Title(s): President
Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing: WCA, Inc.

Number of Pages:

Signer' s Name: Richard Mahoney
Corporate Officer — Title(s): Secretary
Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing: WCA. Inc.
02016 National Notary Association - www.NationalNotary.org • 1 - 800 -US NOTARY (1- 800- 876-6827) Item # 5907

Page 306 of 427 ends

EXHIBIT "A"

SCOPE OF SERVICES
I. Consultant will perform the following Tree Maintenance Services:

A. Develop City-wide Tree Trimming Schedule: The Consultant shall develop a City-wide Tree Trimming Schedule (" Schedule") that ensures trees within the City are maintained on an annual basis; Schedule should consider species oftrees and may recommend that certain trees are trimmed on a bi-annual basis.

B. Execute the City-wide Tree Trimming Schedule: Upon development ofthe Schedule, Consultant shall follow said Schedule to ensure that trees within the City are maintained according to Schedule, including complete removal and disposal services of all cut materials.

C. Update and Maintain the City' s Tree Database: Update the City' s Tree Database with the location and other information oftrees which Consultant interacts with.

D. Provide Emergency Tree Trimming and Tree Removal Services ifrequested by the City.

II. All of Consultant' s performance or work shall be subject to the following requirements:

A. Consultant' s work shall be completed under the direction of an International Society of Arboriculture (ISA) certified arborist or a c
onsulting arborist that is a member ofthe American Society of Consulting Arborists (ASCA).

B. All work shall be performed to American National Standards Institute (ANSI) A300 standards.

C. Work that impacts the sidewalks ofthe City' s streets shall only commence when Sidewalk Closed" signs are placed at either end of the area affected by the work.

D. Work that impacts shoulders of City streets shall only commence when " Shoulder Work Ahead" signs are placed and include traffic cones placed around the area affected by the work.

E. Prior to conducting any work which will impact more than one lane of a City street, the Consultant shall submit a written traffic control plans. Work will only proceed upon the City' s approval ofthe same.

F. On-call work must be authorized by the City in a written work order.

Page 307 of 427 ends

III. As part of the Services, Consultant will prepare and deliver the following tangible work products to the City:

A. City-wide Tree Trimming Schedule
IV. In addition to the requirements of Section 6.2, during performance of the Services, Consultant will keep the City appraised of the status of performance each month by phone call or email:

A. Monthly Status Conference Call with Contract Officer, to update City on work completed, work to be completed.

V. All work product is subject to review and acceptance by the City, and must be revised by the Consultant without additional charge to the City until found satisfactory and accepted by City.

VI. Consultant will utilize the following personnel to accomplish the Services: N/A Not Applicable

Page 308 of 427 ends

EXHIBIT "B"

SPECIAL REQUIREMENTS
Superseding Contract Boilerplate)
I. Section 9. 8, Performance Bond, is hereby amended to read as follows:

9. 8 Performance Bond.
a) A Performance Bond in the amount of two months' contract charge of the proposal shall be required prior to entering into a contract. The City will permit substitution of approved securities for moneys retained on contract.
b) A performance bond or certified check payable to the City of South El Monte, in the amount equal to two months' base contract charge will be required of the successful proposer within five (5) business days after notification ofaward. These funds will be used to continue service in the event the Contractor fails to comply with the specifications, terms and conditions. Ifany subcontractors are to be used in the performance ofthis contract, the sub -contractors must furnish their own performance bonds or security checks.

II. Section 9.9, Labor and Materials Bond, is hereby amended to reas as follows:

9.9. Labor and Materials Bond.

A labor and materials bond in the amount of 100% ofthe contract price is required.

III. Section 9.9, Affadavit of Non-Collussion

9. 10 Affadavity of Non-Collussion.

The Consultant shall submit an Affadavit of Non-Collussion on a form approved by the City.

IV. Section 9. 11, Claims History

9. 11 Claims History.

The Consultant shall submit summary of all prior claims in accordanc with the City' s Claims History" Policy.

Page 309 of 427 ends

EXHIBIT "C"

SCHEDULE OF COMPENSATION
I. Consultant shall perform the following tasks at the following rates:

Page 310 of 427 ends

Description Unit Unit Price
2019-2020
Unit Price
2020-2021
Unit Price
2021- 2022

1. Routine Annual Tree
Trimming on Grid Basis
per tree 59.00 59.00 62.00

2. Aesthetic or Service Request
Pruning
a. 0- 6" diameter at breast height
dbh")
per tree 59.00 59.00 62. 00
b. 7- 12" dbh per tree 119.00 119.00 125. 00
c. 13- 18" dbh per tree 174.00 174.00 182. 00
d. 19- 24" dbh per tree 224.00 224.00 235. 00
e. 25- 36" dbh per tree 274.00 274.00 287.75
f. 37" dbh & over per tree 349.00 349.00 366.50

3. Palm Tree Trimming
a. Coco Palm, any size per tree 59.00 59.00 62.00
b. Washington Palm, any size per tree 69.00 69.00 72.00 c. Canary Island Date Palm, any
size
per tree 199.00 199.00 209.00

4. Tree Removal
a. Tree and stump removal 0- 24"
dbh
per
diameter
inch

39.00 39.00 41. 00
b. Tree removals over 25" dbh per
diameter
inch

49. 00 49. 00 51. 00
c. Stump only removal per inch 17.00 17.00 17. 75

5. Tree Planting (Includes
Labor, Tree, and 90 -day
Watering)

Page 311 of 427 ends

a. 15 gallon tree per tree 169. 00 169. 00 177. 50
b. 24 inch box tree per tree 329.00 329.00 345. 50

6. Crew Rental per hour 84.00 84. 00 88. 00

7. Specialty Equipment per hour 139.00 139. 00 146.00

8. Emergency Response
a. Standard Hours per hour 105.00 105. 00 110.00
b. Evenings, Weekends, and
Holidays
per hour 315. 00 315. 00 330.00

9. Tree Inventory Software annually No Charge No Charge No Charge

10. Tree Inventory Updates per hour 84.00 84.00 88. 00

11. Consultant shall perform the Services during the Term of the Agreement.

III. A retention of ten percent ( 10%) shall be held from each payment as a contract retention to be paid as part of the final payment upon satisfactory completion of services.

Not Applicable
IV. Within the budgeted amounts for each Task, and with the approval of the Contract Officer, funds may be shifted from one Task subbudget to another so long as the Contract Sum is not exceeded per Section 2. 1, unless Additional Services are approved per Section 1. 9.

V. The City will compensate Consultant for the Services performed upon submission of a valid invoice. Each invoice is to include:

A. Line items for all personnel describing the work performed, the number of hours worked, and the hourly rate.

B. Line items for all materials and equipment properly charged to the Services.

C. Line items for all other approved reimbursable expenses claimed, with supporting documentation.

D. Line items for all approved subcontractor labor, supplies, equipment, materials, and travel properly charged to the Services.

Page 312 of 427 ends

Vl. The total compensation for the Services shall not exceed the Contract Sum as provided in Section 2. 1 of this Agreement.

VII. Expenses. These rates are inclusive of all expenses. Contractor shall bear all other out-of-pocket expenses or any other costs related to the performance of services pursuant to this Agreement and shall not seek reimbursement of such expenses from City.

VIII. The Consultant' s billing rates for all personnel are attached as Exhibit C- 1.

Not Applicable

Page 313 of 427 ends

EXHIBIT "D"

SCHEDULE OF PERFORMANCE
I. Consultant shall perform all services timely in accordance with the following schedule:

All services shall be performed on an ongoing maintenance schedule pursuant to the City -Wide Tree Trimming Schedule developed by Consultant and approved by the Contract Officer. Consultant shall also conduct any emergency services are required and requested by the Contract Officer.

II. Consultant shall deliver the following tangible work products to the City by the following dates.

A. City -Wide Tree Trimming Schedule — 30 days following the Effective Date.

B. Updated Tree Inventory — 30 days prior to the end of the Term.

III. The Contract Officer may approve extensions for performance of the services in accordance with Section 3.2

Page 314 of 427 ends

AFFIDAVIT OF NON -COLLUSION
I state that I am ( title) of
name of firm) and that I am authorized to make this affidavit on behalf of my firm, and its owners, directors, and officers. I am the person responsible in my firm for the price( s) and the amount of this Offer.

I state that:
1) The price(s) and amount of this Offer have been arrived at independently and without consultation, communication or agreement with any other Proposer or potential Proposer. 2) That neither the price(s) nor the amount of this Offer, and neither the approximate price(s) nor approximate amount ofthis Offer, have been disclosed to any other firm or person who is a Proposer or potential Proposer, and they will not be disclosed before Solicitation opening. 3) No attempt has been made or will be made to induce any fum or person to refrain from bidding on this contract, or to submit an Offer higher than this Offer, or to submit any intentionally high or noncompetitive Offer or other form of complementary Offer.
4) The Offer of my firm is made in good faith and not pursuant to any agreement or discussion with, or inducement from, any firm or person to submit a complementary or other noncompetitive Offer. 5) ( name of firm), its affiliates, subsidiaries, officers, directors and employees are not currently under investigation by any governmental agency and have not in the last four years been convicted of or found liable for any act prohibited by State or Federal law in any jurisdiction, involving conspiracy or collusion with respect to bidding on any public contract, except as described in the attached appendix.

I state that ( name of firm) understands and acknowledges that the above representations are material and important, and will be relied on by the City of South El Monte in awarding the contract( s) for which this Offer is submitted. I understand and my firm understands that any misstatement in this affidavit is and shall be treated as fraudulent concealment from the City of South El Monte of the true facts relating to the submission of Offers for this contract.

Authorized Signature)
Name of Company/Position)
Sworn to and subscribed before me this day of , 20
Notary Public for California
My Commission Expires:

Page 315 of 427 ends

CLAIMS HISTORY
Each Consultant shall submit a summary of whether or not any of the following events have occurred within the past ten ( 10) years and, if so, a brief description ofthe circumstances involved including, without limitation, the names of parties involved, current status and final disposition ofthe matter of dispute):

Failure to disclose any circumstances requested in the following paragraphs is grounds for disqualification.

Failure by Consultant or any sub -consultant to enter into a contract to which it has received an award by a public entity.

Forfeiture of a bid or proposal bond by proposer or any sub -consultant.

Termination for default under a contract awarded by a public entity to Consultant or any sub -consultant.

Debarment ofConsultant or any sub -consultant by any municipal, county, state, federal, or local agency (note: debarment is grounds for automatic disqualification).

The filing of a lawsuit or arbitration in which the Consultant or a sub -consultant was a defendant or cross- defendant at any time within the past ten ( 10) years that involved the performance of project, program, or construction management services and that involved an amount in controversy sought to be recovered from Consultant or the sub -consultant of more than $ 100,000.00.

Conviction of Consultant, a sub -consultant, or any of their principals or officers for violation of a state of federal antitrust law involving bid rigging, collusion, or restriction on competition between bidders, or conviction of violating any other federal or state law relating to bidding or contract performance (note: such conviction is grounds for automatic disqualification).

Any publications involving firm or principals alleging or claiming corruption (such claims are grounds for automatic disqualification).

Any suspension, revocation, or other disciplinary proceeding relating to a contracting or professional license issued to proposer or a sub -consultant.

Page 316 of 427 ends

BONDS JW

INSURANCE

PERFORMANCE BOND
California Public Works
KNOW ALL MEN BY THESE PRESENTS, That we,
Bond No: RCB0024244
Premium: $ 800. 00
WEST COAST ARBORISTS, INC.
called the Principal, and CONTRACTORS BONDING AND INSURANCE COMPANY, Illinois corporation authorized to do business as surety in the State of California, called the Surety, are held and firmly bound unto CITY OF SOUTH EL MONTE
called the Obligee, in the sum of ONE HUNDRED THOUSAND AND NO/ 100 Dollars ($ 100 , 000 00 — — ) for the payment whereof said Principal and Surety bind themselves firmly by these presents.

WHEREAS, the Principal has entered into a contract, dated the day of , , with the Obligee to do and perform the following work, to -wit TO PROVIDE TREE MAINTENANCE SERVICES Contract");
NOW, THEREFORE, the condition of this obligation is such that ifthe Principal shall well and truly perform the construction work called for under the Contract then this obligation shall be void; otherwise to remain in full force and effect.

PROVIDED, however, that this bond is for the benefit ofthe named Obligee only, and no other person or entity has any rights against this bond; and
PROVIDED, FURTHER, that any suit under this bond must be instituted before the expiration ofone ( 1) year from the date on which the Principal last performed work under the Contract or from the date of substantial completion of the Contract, whichever is earlier; and
PROVIDED, FURTHER, that this bond shall not be liable for any liability ofthe Principal for tortious actions or inactions, whether or not said liability is imposed by statute, common law, or is imposed by the Contract. It is the intent of all parties that this bond shall not be a substitute for or supplemental to any liability or other insurance required by the Contract.

Signed and sealed this _ 31st day of OCTOBER 2019
Principal: WA, OAST ARBS S, INC. CON RACTORS BONDING AND INSURANCE COMPANY By: By: iA 01 0 r
Patrick Mahoney, resident MICHAEL D. STONG, ttorney-in-Fact BndLHPP.01- CA022196

Page 317 of 427 ends

CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of ORANGE
On 11/ 5/ 19
Date
personally appeared
before me, Amelia I. Menzel, Notary Public
Gi' ' L5'•.'• 5. ' N 'd. L,S'/:' tJ6'•:' LG' b 'ri w:' 5' i'ei:. 5.:' 5 S" ri .' 1' =:' ei ' m4' e ' d 'Y ' sem ' e/ './ 6' ei '.'•:' tv6A'i t/S'•:'.•/ L 't/ 'e/ S' Li' 0 • • • • • • • • • i i •
Here Insert Name and Title of the Officer
Patrick Mahoney
Name(s) of Signer(s)
who proved to me on the basis of satisfactory evidence to be the personWwhose name I a s awbed to the within instrument and acknowledged to me that -e-ig executed th ameV in his ! lthorized capaci", and that by(!!6 4theiMignature(s) on the instrument the person), or the entity upon behalf of which the person(Wacted, executed the Instrument.

AMELIA MENZEL
Notary Public - California
Orange County
Commission X 2284387
My Comm. Expires Apr 5. 2023
I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and o i ' al se I.

Signature
Signat re of Notary Public
Place Notary Seal Above

OPTIONAL
Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document.

Description of Attached Document
Title or Type of Document:

Document Date:

Signer(s) Other Than Named Above:

Capacity(ies) Claimed by Signer(s)
Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing:

Number of Pages:

Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing:

I.R41KI7,0111710, Me

Page 318 of 427 ends

IR
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT • D
aS.af.a .a. at.at.a. a..ai.at.a .a .a .at.a .. . aS.at.aI.a .aC11 at.

A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of Riverside
On , C 3( 0)0(1 before me, R. Nappi " Notary Public"
Date Here Insert Name and Title of the Officer
personally appeared MICHAEL D. STONG
Name(s) of Signer(s)
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(t) is/ arse subscribed to the within instrument and acknowledged to me that he/ sKe/ they executed the same in his/ hoer/ their authorized capacity(iQe), and that by his/ hear/ their signature(t) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

R. NAPPI
COMM. 2152652
NOTARY PUBLIC• CAUFORNIA

RIVERSIDE COUNTY
My Comm. Exp. June 7, 2020
I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature ' 6442.4
Signature of Notary Public
Place Notary Seal Above

OPTIONAL
Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document.

Description of Attached Document
Title or Type of Document:

Number of Pages:

Document Date:

Signer(s) Other Than Named Above:

Capacity(ies) Claimed by Signer(s)
Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing:

Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
F-1 Other:

Signer Is Representing:
02014 National Notary Association • www. National Notary, org • 1 - 800 -US NOTARY ( 1- 800- 876- 6827) Item # 5907

Page 319 of 427 ends

ak PAYMENT BOND
California Public Works
SURA" CE
Bond No. RCB0024244
Charge for This bond is included in premium for Performance Bond.

KNOW ALL MEN BY THESE PRESENTS, That we, WEST COAST ARBORISTS, INC. called the Principal, and CONTRACTORS BONDING AND INSURANCE COMPANY, Illinois corporation authorized to do business as surety in the State of California, called the Surety, are held and firmly bound unto

CITY OF SOUTH EL MONTE
called the Obligee, in the sum of ONE HUNDRED THOUSAND AND NO/ 100 Dollars (S 100 , 000. 00 — — — ) ( penal sum) for the payment whereof said Principal and Surety bind themselves firmly by these presents.

WHEREAS, the Principal has entered into a contract dated the day of with the Obligee, for TO PROVIDE TREE MAINTENANCE SERVICES
Contract");
NOW, THEREFORE, if the Principal or its direct subcontractor shall pay all of the persons named in Civil Code Section 3181, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the Contract, or any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the contractor and subcontractors pursuant to Section 13020 of the Unemployment Insurance Code, with respect to such work and labor, then this obligation shall be void, otherwise to remain in full force and effect, subject however to the following conditions:

1. That this bond is only for the benefit of persons named in Civil Code Section 3181 ( and their assigns) who have contracts with the Principal or its subcontractor( s), and no other party shall have any right of action against this bond.

2. It is a condition precedent to claim upon this bond that claimant has given the 90 -day public works preliminary bond notice as provided in Civil Code Section 3091.

3. No suit may be brought on this bond unless commenced before the expiration of six months after the period in which stop notices may be filed as provided in Civil Code Section 3184.

4. If suit is brought upon the bond, a reasonable attorney fee shall be paid to the prevailing party, but no attorney fee shall be paid from the bond unless such suit has been filed prior to payment by the Surety of the claim.

5. The Surety' s liability hereunder is limited, singly or in the aggregate, to the penal sum of the bond set forth herein, and any payment by the Surety to a claimant or claimants hereunder reduces"and exonerates the bond to the full extent paid.

Signed and sealed this 31st of OCTOBER 2019
Principal: WESTIhST BORISTS, NC. CONTR. CTORRS%BO ' DING ND INSURANCE COMPANY By: Bv: i ' /W
Patric M oney, President MICHAEL D. STONG, Attorney -in -Fact

Page 320 of 427 ends

State of California
County of ORANGE
On 11/ 5/ 19
before me, Amelia I. Menzel, Notary Public
Date Here Insert Name and Title of the Officer
personally appeared Patrick Mahoney
Name(s) of Signer(s)
who proved to me on the basis of satisfactory evidence to be theerson(s+ vhose name(o 6 ' e subscribed to the within instrument and ackno Aged to me that e/ executed the same in is gr/t ' uthorized capacity ie and that b his signature on the instrument the person(a the entity upon behalf of which the person ac ed, executed the instrument. certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is true and correct.

AMELIA MENZEL
WITNESS my hand a d official
JL" Iw7 Notary Public • California =
Orange County
Commission z 2284387 Signature
My Comm. Expires Apr 5. 2023 Signal e o Notary Public
Place Notary Seal Above

OPTIONAL
Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document.

Description of Attached Document
Title or Type of Document:

Document Date:

Signer(s) Other Than Named Above:

Capacity(ies) Claimed by Signer(s)
Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing:

Number of Pages:

Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing:
d -aii r ai -. vG G' dG' ri. G' d ' yG`. G. G- • G G' ri eiG- G yG'• i UG' G' Li• G' a ' LG'.vG\ G' i. G. G. y .. d .d .L .

Page 321 of 427 ends

CALIFORNIA• • • CODE § 1189
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California
County of Riverside )
On oc&be r before me, R. Nappi " Notary Public"
Date Here Insert Name and Title of the Officer
personally appeared MICHAEL D. STONG
Name(s) of Signer(s)
who proved to me on the basis of satisfactory evidence to be the person($) whose name(t) is/ axe subscribed to the within instrument and acknowledged to me that he/ she/ they executed the same in his/ her/their authorized capacity(iot), and that by his/ h:ar/ their signature(a) on the instrument the persona), or the entity upon behalf of which the person(k) acted, executed the instrument.

R. NAPPI
z COMM. # 2152652 0
NOTARY PUBLIC - CALIFORNIA z

RIVERSIDE COUNTY
My Comm. Exp. June 7. 2020
I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature _
Signatufe Sf Notary Public
Place Notary Seal Above

OPTIONAL
Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document.

Description of Attached Document
Title or Type of Document: Document Date:

Number of Pages: Signer(s) Other Than Named Above:

Capacity(ies) Claimed by Signer(s)
Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing:

Signer' s Name:

Corporate Officer — Title(s):

Partner — Limited General
Individual Attorney in Fact
Trustee Guardian or Conservator
Other:

Signer Is Representing:
02014 National Notary Association • www. National Notary.org • 1 - 800 -US NOTARY ( 1- 800- 876- 6827) Item # 5907

Page 322 of 427 ends

POWER OF ATTORNEY
RLI Insurance Company
Contractors Bonding and Insurance Company
9025 N. Lindbergh Dr. Peoria, IL 61615
Phone: 800-645- 2402
Know AU Men by These Presents:

That this Power of Attorney is not valid or in effect unless attached to the bond which it authorizes executed, but may be detached by the approving officer if desired.

That RLI Insurance Company and/ or Contractors Bonding and Insurance Company, each an Illinois corporation, ( separately and together, the " Company") do hereby make, constitute and appoint:

Rosemary NaRpi. Michael D. Stong Benjamin Harold Stong_jointly or severally in the City of Riverside . State of California its true and lawful Agent(s) and Attomey(s) in Fact, with full power and authority hereby conferred, to sign, execute, acknowledge and deliver for and on its behalf as Surety, in general, any and all bonds and undertakings in an amount not to exceed Twenty Five Million Dollars 25,000,000.00 1 for any single obligation.

The acknowledgment and execution of such bond by the said Attorney in Fact shall be as binding upon the Company as if such bond had been executed and acknowledged by the regularly elected officers ofthe Company.

RLI Insurance Company and/or Contractors Bonding and Insurance Company, as applicable, have each further certified that the following is a true and exact copy of a Resolution adopted by the Board ofDirectors of each such corporation, and is now in force, to -wit:

All bonds, policies, undertakings, Powers ofAttorney or other obligations of the corporation shall be executed in the corporate name of the Company by the President, Secretary, any Assistant Secretary, Treasurer, or any Vice President, or by such other officers as the Board of Directors may authorize. The President, any Vice President, Secretary, any Assistant Secretary, or the Treasurer may appoint Attorneys in Fact or Agents who shall have authority to issue bonds, policies or undertakings in the name ofthe Company. The corporate seal is not necessary for the validity of any bonds, policies, undertakings, Powers ofAttorney or other obligations ofthe corporation. The signature of any such officer and the corporate seal may be printed by facsimile." IN WITNESS WHEREOF, the RLI Insurance Company and/or Contractors Bonding and Insurance Company, as applicable, have caused these presents to be executed by its respective Vice President with its corporate seal affixed this 25th day of April 2019
I ..,,,,, .,,,
unnugp RLI Insurance Company
AND,, ,``' V4NCE Cp Contractors Bonding and Insurance Company OPrcP°• Z - OM= Zar 1+
I'v
X
I
SEAL ; .;`- = SEAL = By
Barton W. Davis Vice President
State ofIllinois 1 „
LUNo 9 ,,.`` ° oma<<" f4 01101,
County of Peoria I
SS

CERTIFICATE
On this 22h day of April 2019 before me, a Notary Public, I, the undersigned officer of RLI Insurance Company and/ or personally appeared Barton W. Davis who being by me duly sworn, Contractors Bonding and Insurance Company, do hereby certify acknowledged that he signed the above Power of Attorney as the aforesaid that the attached Power of Attorney is in full force and effect and is officer of the RLI Insurance Company and/ or Contractors Bonding and irrevocable; and furthermore, that the Resolution of the Company as Insurance Company and acknowledged said instrument to be the voluntary set forth in the Power of Attorney, is now in force. In testimony act and deed of said corporation. whereof, I have hereunto set my hand and the seal of the RLI Insurance Co an and/ or Co r orondigg Insurance
r ` , f•
Company thisday of O(.

By: tJ'. c; G t.. 6*++ti';lr, a
Gretchen L. Johnigk I Notary Public
04755720202/ 2
RLI Insurance Company
Contractors Bonding and Insurance Company
By: . A4" 4y D
Jean MO tephenson VCorporate Secretary
A0058817

GRETCIHENLJOHNIGK
ILLINOIS.". My COMMWsion Expires
y 26, 2020
04755720202/ 2
RLI Insurance Company
Contractors Bonding and Insurance Company
By: . A4" 4y D
Jean MO tephenson VCorporate Secretary
A0058817

Page 323 of 427 ends

City Council Agenda Report
Agenda Item No. 9.c.

SOUTH EL MONTE I, LLC FOR A PROPOSED
DEVELOPMENT OF PROPERTY LOCATED AT 825
LEXINGTON-GALLATIN ROAD ("PROPERTY")
SUMMARY: A Memorandum of Understanding (MOU) regarding the proposed development of property located at 825 Lexington-Gallatin Road ("Property").

RECOMMENDED ACTION: Staff recommends City Council:

1. Adopt Resolution No. 23-27, approving the MOU with MVP South El Monte I, LLC for a proposed development of property located at 825 Lexington-Gallatin Road ("Property"); and

2. Authorize the City Manager or designee to negotiate and execute the MOU.

FISCAL/FINANCIAL IMPACT: Currently, the City cannot determine the exact fiscal impact of this project, as it is still in its early stages. Most of the cost will be born by the developer, or reimbursed to the City throughout the project. Staff will continue to keep the City Council fully informed as the project progresses. At the completion of the project, the City is expected to financially benefit from the approximate eleven (10.92) acres being dedicated to the City. However, the annual operating cost of maintaining the public open space for recreational use will be budgeted in future years once completed. Although this project may take several years to complete, future increases in the assessed valuation of the developed industrial building is expected to generate more property taxes for the City.

DISCUSSION: Approval of Resolution No. 23-27 would authorize the City Manager to execute an MOU with MVP South El Monte I, LLC regarding the development of an approximate 21 acre vacant property. Development of the property includes developing approximately ten acres (10.22) acres with an approximate 223,000 square foot industrial building, and dedicating approximately eleven (10.92) acres, with limited site preparation,

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to the City of South El Monte for future recreational uses, to be owned, managed and operated by the City of South El Monte as a public open space. Both sites will be designed to accommodate detention basin improvements.

The site includes a United States Army Corps of Engineers ("USACE") easement across the Property to "overflow, flood and submerge" all or a portion of the Property in connection with the easement. A written consent from the USACE for the "type and location of any structure and/or appurtenance thereto" is required to verify that changes to an authorized USACE Civil Works project will not be injurious to the public interest and will not impair the usefulness of the USACE project.

The project may also necessitate approval from (i) the Los Angeles County Flood Control District, for a gravity storm drain connection to an existing County Flood Control District facility along the northern property line; (ii) the El Monte Union High School District, for an easement across the South El Monte High School property for secondary emerceny access in the event of flooding at the intersection of Santa Anita Avenue and LexingtonGallatin Road, which could occur as a result of a fifty (50) year return period storm; (iii) other local, state or regional government entities.

The project will involve the following City approvals:

1. General Plan Map Amendment;

2. Zoning Map Amendment;

3. Adoption of an Environmental Impact Report;

4. Conditional Use Permit;

5. City approval of all required documentation and agreement(s) for City satisfaction of the Public Open Space dedication requirements.

Staff report prepared by Guillermo Arreola, Planning Manager.

ATTACHMENT(S):

A. Resolution No. 23-27
B. Draft MOU - 825 Lexington-Gallatin Rd

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01257.0005/868433.2

ATTACHMENT A
RESOLUTION NO. 23-27

A RESOLUTION OF THE SOUTH EL MONTE CITY

COUNCIL APPROVING A MEMORANDUM OF

UNDERSTANDING BETWEEN THE CITY AND MVP

SOUTH EL MONTE I, LLC FOR DEVELOPMENT AND
DEDICATION OF PROPERTY LOCATED AT 825

LEXINGTON-GALLATIN ROAD
WHEREAS, the City of South El Monte (“City”) and MVP South El Monte I, LLC (“Owner”) have been in discussions about the property located at 835 Lexington-Gallatin Road (“Property”) and development related to the same; and
WHEREAS, the Owner owns the Property and desires to construct an industrial building (approximately 210,00 square feet) on 10.3 acres of the Property and dedicate the reaming 11 acres to the City for use as public open space; and
WHEREAS, the Property is subject to a flowage easement specific to regulations and oversight by the Army Corp of Engineers, among other state and federal standards, regulations and restrictions; and
WHEREAS, the parties desire to memorialize the intention parties in an memorandum of understanding (“MOU”).

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South El Monte as follows:

Section 1. The City Council hereby authorizes the City Manager to execute the proposed Memorandum of Understanding (“MOU”), in substantially the form attached here to and as approved as to form by the City Attorney’s office.

Section 2. The City Council further directs the City Manager or designee to take all actions necessary to effectuate the agreement.

Section 3. The City Clerk shall certify to the adoption of this Resolution.

PASSED, APPROVED, AND ADOPTED this 28th day of March, 2023.

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01257.0005/868433.2

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:

CITY OF SOUTH EL MONTE )
I, Donna G. Schwartz, City Clerk of the City of South El Monte, hereby certifies that the foregoing Resolution, being Resolution No. 23-27, was duly passed and approved by the City Council of the City of South El Monte at a regular meeting of said Council held on the 28th day of March 2023, and that said Resolution was adopted by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Donna G. Schwartz, City Clerk

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__________, 2023 ATTACHMENT B
Privileged & Confidential
4875-4855-6602.7
376208.00032/3-23-23/cgc/cgc
01257.0005/866780.4

MEMORANDUM OF UNDERSTANDING BETWEEN

THE CITY OF SOUTH EL MONTE AND MVP SOUTH EL MONTE I, LLC

REGARDING THE DEVELOPMENT OF PROPERTY LOCATED AT
825 LEXINGTON-GALLATIN ROAD, SOUTH EL MONTE, CA 91733
This Memorandum of Understanding (“Agreement”) regarding the proposed development of the property located at 825 Lexington-Gallatin Road (“Property”), zoned Commercial (C), is entered into on this ___ day of _____________ 20___, by and between the City of South El Monte (“City”), a municipal organization located at 1415 Santa Anita Avenue, South El Monte CA 91733, and MVP South El Monte I, LLC, a Delaware limited liability company (“Owner”). The City and Owner may be referred to, individually or collectively, as “Party” or “Parties.”

RECITALS
A. Owner is the sole owner of the Property, which is more particularly described in the legal description attached hereto as Exhibit “A”.

B. Rather than developing the entirety of the Property, Owner proposes to provide over half of the Property for community use and enjoyment.

C. Owner proposes to develop the Property with (i) an approximately eleven (11) acre public open space area, to be transferred by Owner to City upon completion of limited site preparation (further described below) and thereafter developed, owned, and managed and operated by City (“Public Open Space”) and (ii) an approximately 210,000 square foot industrial building on approximately ten (10) acres fronting Lexington-Gallatin Road (“Industrial Building”), as schematically depicted on Exhibit “B” attached hereto.

D. The Public Open Space will provide community benefits to the City, in part because of its size and proximity to existing public parks and recreational facilities, and the Industrial Building will provide community benefits to the City, in part because of newly created (i) employment opportunities during construction and occupancy and (ii) property and sales and use tax revenues.

E. The Industrial Building and Public Open Space will be designed to accommodate Detention Basin Improvements (defined below at paragraph 3.A.i). The Industrial Building, Public Open Space, and Detention Basin Improvements are collectively referred to herein as the “Project.”
F. Among other easements, the United States Army Corps of Engineers (“USACE”) has an easement across the Property to “overflow, flood and submerge” all or a portion of the Property in connection with the Whittier Flood Control Basin project (“USACE Easement”) pursuant to the covenants and conditions provided in an order and judgement entered on September 8, 1955 in an action by the United States of America in Case No. 9103, recorded October 9, 1958 in Book M131, Page 58, Official Records (“Order”). The Order requires written consent from the

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South El Monte City CouncilMarch 28, 2023

South El Monte City Council
March 28, 2023