Agenda packet, first session — South Gate City Council, November 10, 2022 (part 1 of 3)

SOUTH GATE CITY COUNCIL

SPECIAL SOUTH GATE CITY COUNCIL AGENDA
Thursday, November 10, 2022 at
6:30 p.m.

AMENDED AS OF NOVEMBER 7, 2022

SOUTH GATE COUNCIL CHAMBERS
8650 CALIFORNIA AVE
SOUTH GATE, CA 90280
DIAL-IN-NUMBER: 1 (669) 900-6833
MEETING ID: 848 4937 2899
HTTPS://US02WEB.ZOOM.US/J/84849372899
Call to Order/Roll Call With Invocation & Pledge
CALL TO ORDER: Al Rios, Mayor
INVOCATION: Steve Costley, Acting Director of Parks & Recreation PLEDGE OF ALLEGIANCE: Evelyn Garcia, Police Lieutenant ROLL CALL: Yodit Glaze, City Clerk City Officials
MAYOR

CITY CLERK
Al Rios Yodit Glaze

VICE MAYOR

CITY TREASURER
Maria del Pilar Avalos Gregory Martinez

COUNCIL MEMBERS

CITY MANAGER
Maria Davila Chris Jeffers Denise Diaz
Gil Hurtado

CITY ATTORNEY
Raul F. Salinas

1 Meeting Schedule

The regular meetings of the City Council are held on the second and fourth Tuesday of each month, closed session business will usually commence at 5:30 p.m., when scheduled, and general business session will commence at 6:30 p.m.

Brown Act

Agendas are drafted to accurately state what the legislative body is being asked to consider.

The legislative body can take action on "all items" listed on the agenda and be in compliance with the open meeting laws. Under the Brown Act, no action may be taken on a matter unless it is listed on the agenda, or unless certain emergency or special circumstances exist. The governing body may direct staff to investigate and/or schedule certain matters for consideration at a future meeting.

City's Vision Statement

Coming Soon

Public Communications

Public Comments on agenda items are limited to three (3) minutes. All comments are to be addressed directly to the Agency Members not to the members of the public.

Emails for public comment received prior to 12pm on the day of the Council Meeting will be summarized by the City Clerk, not read in its entirety. A copy of the email will be provided to the City Council and will also be available at the City Clerk's Office for public review. A copy of each email will be recorded for public record and noted on the official minutes of tonight's meeting.

Meeting Compensation Disclosure

Pursuant to Government Code Section 54952.3: Disclosure of compensation for meeting attendance by City Council Members is $650 monthly regardless of the amount of meetings.

Proclamations, Certificates, Introductions And Ceremonial Actions

1. Proclamation declaring November l0, 2022 as Law Enforcement Records and Support Personnel Day

The City Council will issue a Proclamation declaring November 10, 2022 as Law Enforcement Records and Support Personnel Day. (CM)
Documents:

Item 1 Report 11102022.pdf
2 2.

Salvation Army Bell Shelter Pilot Program Update

The City Council will consider receiving and filing a report on the progress of the Salvation Army Bell Shelter Pilot Program. (CM)
Documents:

Item 2 Report 11102022.pdf
Public Hearings

3. Ordinance amending Title 9 (Buildings) and adopting by reference the 2022 Edition of the California Code of Regulations, Title 24, and 2021 International Association of Plumbing and Mechanical Officials Codes

The City Council will conduct a Public Hearing to consider, waiving the reading in full and introducing an
Ordinance _______
amending Title 9 (Buildings) of the South Gate
Municipal Code by adopting by reference the 2022 California Code of Regulations, Title 24 ("2022 Building Standards Code") and the 2021 International Association of Plumbing and Mechanical Officials Codes. (CD)
Documents:

Item 3 Report 11102022.pdf

4. Resolution establishing Amounts and Calculations of the In-Lieu Fee per Chapter

11.29 (Inclusionary Housing) of Division II (Zoning Regulations) of Title II (Zoning) of the South Gate Municipal Code

The City Council will conduct a Public Hearing to consider adopting a Resolution
_______
establishing the inclusionary housing in lieu fee as provided under Chapter 11.29 (Inclusionary Housing), of Division II (Zoning Regulations), of Title 11 (Zoning), of the South Gate Municipal. (CD)
Documents:

Item 4 Report 11102022.pdf
Consent Calendar Items
Agenda Items
5, 6, 7, 8, 9, 10, 11, 12
and
13 are Consent Calendar Items. All items including
Ordinances, Resolutions and Contracts, may be approved by adoption of the Consent Calendar, individually and collectively by one (1) motion. There will be no separate discussion of these items unless Members of the City Council, the public, or staff request that specific items be removed from the Consent Calendar for separate discussion and action.

Any motion to introduce or adopt an Ordinance on the Consent Calendar shall be: (1) a motion to waive the reading of the Ordinance and introduce the Ordinance or (2) a motion to waive the reading of the Ordinance and adopt the Ordinance, as appropriate. 3 5. Amendment No. 2 to Contract No. 2020-09-CC with W.A. Rasic Construction Company, Inc. to extend term and fund On-Call Services for As-Needed Emergency repairs to the Municipal Water and Sewer System

The City Council will consider: (PW)
a. Approving
Amendment No. 2
to
Contract No. 2020-09-CC
with W. A. Rasic
Construction Company, Inc., to extend the term and fund on-call services for one additional year and to fund emergency repairs that were performed on the sanitary sewer system, for a not-to-exceed amount of $150,000;
b. Appropriating $50,000 to Account No.412-732-52-6101 (Professional Services Account)
from the unassigned Sewer Fund to fund Amendment No. 2; and c. Authorizing the Mayor to execute Amendment No. 2 in a form acceptable to the City Documents:

Item 5 Report 11102022.pdf

6. Amendment No. 5 to Contract No. 2020-22-AC with ClientFirst Technology Consulting, LLC., for continued IT Project Management Services

The City Council will consider: (ADMIN SVCS)
a. Approving
Amendment No. 5
to
Contract No. 2020-22-AC
with ClientFirst
Technology Consulting, retroactively effective October 1, 2021 through June 30, 2023, for continued project management services for the implementation of the Technology Master Plan in an amount not-to-exceed $62,580;
b. Authorizing the Mayor to execute Amendment No. 5 in a form acceptable to the City Attorney.

Documents:

Item 6 Report 11102022.pdf

7. Addendum No. 9 To Contract No. 3130 with Enterprise FM Trust for Lease of 2022 Chevrolet Silverado for the Police Department

The City Council will consider: (PD)
a. Approving
Addendum No. 9
to
Contract No. 3130
(Master Equity Lease Agreement)
with Enterprise FM Trust to include the lease of a 2022 Chevrolet Silverado for the Police Department for a term of 60 months in the total amount of $52,859.60; and b. Approving a Purchase Order Agreement with Black and White Emergency Vehicles for the purchase and installation of necessary emergency equipment for this 2022 Chevrolet Silverado, in the amount of $5,065.29; and
c. Authorizing the Mayor to execute Addendum No. 9 in a form acceptable to the City Attorney.

Documents:

Item 7 Report 11102022.pdf

8. Agreement with Southwest Pipelines and Trenchless Corporation for the Sanitary Sewer Lining Project No. 629-SWR
4 The City Council will consider: (CM)
a. Approving an
Agreement _______
with Southwest Pipelines and Trenchless
Corporation for the construction of the Sewer Lining Project, City Project No. 629-SWR, in an amount not-to-exceed $89,950;
b. Authorizing the Mayor to execute the Agreement in a form acceptable to the City Attorney; and
c. Approving the Notice of Exemption for the construction of the Project and directing the City Clerk to file it with the Los Angeles County Registrar Recorder's Office.

Documents:

Item 8 Report 11102022.pdf

9. Agreement with Tripepi Smith and Associates, Inc., for marketing, community outreach, and SB 1383 education services

The City Council will consider: (CM)
a. Approving an
Agreement ______
with Tripepi Smith and Associates, Inc., to provide
marketing, community outreach, and SB 1383 education services in an amount not-to- exceed $57,000;
b. Appropriating $57,000 from the Refuse Fund Reserve to expenditure account 413 304- 12-6101; and
c. Authorizing the Mayor to execute the Agreement in a form acceptable to the City Attorney.

Documents:

Item 9 Report 11102022.pdf

10. Purchase Order Agreement with Norm Reeves Ford for two Ford Explorer Interceptor Edition vehicles for the Parks and Recreation Department

The City Council will consider: (PARKS)
a. Approving the Purchase Order
Agreement _______
with Norm Reeves Ford for the
purchase of two Ford Explorer Interceptor Edition vehicles for the Parks & Recreation Department in the total amount of $102,192.56, and
b. Appropriating $2,192.56 from the unassigned General Fund Reserve to account #523- 460- 61-9003 (Grounds Maintenance) to complete the purchase, and c. Authorizing the Purchasing Division to complete the purchase according to City regulation
Documents:

Item 10 Report 11102022.pdf

11. Grant Deed for Right of Way Dedication at 2505 Tweedy Boulevard for Street Purposes from Alameda Tweedy, LLC

The City Council will consider: (PW)
a. Accepting a Grant Deed from Alameda Tweedy, LLC., to secure right-of-way for street 5 purposes as part of the development located at 2505 Tweedy Boulevard, at no cost to the City; and
b. Authorizing the Mayor to execute the Certificate of Acceptance in a form acceptable to the City Attorney.

Documents:

Item 11 Report 11102022.pdf

12. Notice of Completion of Construction of the Water Facility Chlorination System Upgrades, City Project No. 586-WTR

The City Council will consider: (PW)
a. Accepting completion of construction of the Water Facility Chlorination System Upgrades, City Project No. 586-WTR, completed by Pacific Hydrotech Corporation, effective October 31, 2022; and
b. Directing the City Clerk to file the Notice of Completion with the Los Angeles County Registrar Recorder's Office.

Documents:

Item 12 Report 11102022.pdf

13. This Item was removed from the Agenda

This Item was removed from the Agenda
Reports, Recommendations And Requests

14. Resolution authorizing City Manager to modify thresholds for the Recruitment and Referral Bonuses Programs

The City Council will consider: (CM)
a. Adopting a
Resolution ________
modifying the thresholds for the Recruitment Bonus
Program and the Referral Bonus Program; and
b. Authorizing the City Manager to execute documents necessary to effectuate the actions,
including employee agreements and any amendments thereto, as approved by the City Attorney.

Documents:

Item 14 Report 11102022.pdf

15. Memorandum of Understanding with LA County for coordination of digital connectivity investments

The City Council will consider: (CM)
a. Approving the
Memorandum of Understanding
between the County of Los Angeles
and the City of South Gate to collaborate and coordinate relating to community-based connectivity projects; and
6 b. Authorizing the City Manager to sign the MOU on behalf of the City of South Gate in a form acceptable to the City Attorney.

Documents:

Item 15 Report 11102022.pdf

16. Rescheduling the Regularly City Council Meeting of November 22, 2022 to November 29, 2022

The City Council will consider approving the rescheduling of the November 22, 2022, regularly scheduled City Council meeting to Tuesday, November 29, 2022 (CM) Documents:

Item 16 Report 11102022.pdf

17. Warrant Register for November 10, 2022

The City Council will consider approving the Warrant Register for November 10, 2022. (ADMIN SVCS)

Total of Checks: $2,637,454.75 Less: Voids $

0.00 Less: Employee Payroll Deductions $
(350,298.49)
Grand Total: $2,287,156.26

Cancellations: 98850, 98902, and 98474
Documents:

Item 17 Report 11102022.pdf
Adjournment
I, Yodit Glaze, City Clerk, certify that a true and correct copy of the foregoing Meeting Agenda was posted on November 3, 2022, at 5:45 p.m., as required by law.

Yodit Glaze
City Clerk

GENERAL NOTICE TO THE PUBLIC
The City Council adopted new rules relating to the conduct of the public meetings, proceedings, and 7 business in the City of South Gate on July 12, 2022, (Resolution 2022-38-CC) and go into effect on August 1, 2022. Resolution #2022-38-CC is available at the City Clerk’s Office.

MEETING SCHEDULE
Regular meetings of the City Council are held on the second and fourth Tuesday of each month, closed session meetings will commence at 5:30 p.m. unless posted otherwise on its agenda. The regular City Council meetings will commence at 6:30 p.m. Agendas are available at the following locations:

City Clerk
Office,
Public Notice Boards at City Hall, and on the
City’s web page at https://www.cityofsouthgate.org
The Public can sign up to receive automatic notices of postings of agendas for the City Council or any other Commission or Board of the City of South Gate. Visit the City webpage and click on the Agenda & Minutes icon. That will take you the page where an individual can enter their email in the “Email Updates” box to register.

PUBLIC COMMENT/PARTICIPATION
Any person may request to address a legislative body during a public meeting. The Presiding Officer will call upon those present in the Council Chambers first. After all speakers in the Chambers have spoken, the Presiding Officer will call upon those participating via zoom or teleconference.

Speakers are limited to three (3) minutes on any item listed on the agenda, including public hearings.

Under Comments from the Audience portion, speakers are also limited to a single three (3) minutes time limit. Comments from the Audience is initially limited to 45 minutes at each meeting. Any speaker still wishing to speak, that did not speak, will have an addition Comments from the Audience opportunity after the last business item is finished. The Presiding Officer may extend the time limit as long as there is no objection from the City Council as a body.

To ensure that the public is able to participate, the City provides the opportunity to submit their comments in person, virtually, email, phone call, mail and any other method which may become available. Methods of participation may be subject to change during other such times when a State of Emergency, Health Order or State Executive Order limits in-person participation.

CURFEW
In absence of a motion duly adopted by majority vote of the City Council, the Presiding Officer may adjourn the City Council meetings at 10:30 p.m. The Presiding Officer may ask the City Council if any agenda items listed should be continued or dealt with during the meeting. For those items to be continued, the City Council can direct the item be placed on the next City Council agenda or the current meeting may be adjourned to a time certain at which time the meeting shall be reconvened as an Adjourned Regular Meeting of the City Council and action upon the published agenda continued.

STAFF REPORTS
As a general rule, staff reports. or other written documentation are prepared/organized with respect to each item of business listed on the agenda. Meeting agendas and staff reports are available at least 72- hours prior to the scheduled regular City Council meeting and a minimum of 24-hours prior to a Special City Council meeting. There are times when the City Council receives written material. revised material after the posting of agendas, these materials are become a public record and will be available for public view within 72-hours after the meeting in which they were received. Those materials and any other public document can be inspected in the City Clerk's Office located at 8650 California Avenue, South Gate.

SERVICES TO FACILITATE ACCESS TO PUBLIC MEETINGS
In compliance with the American with Disabilities Act, if you need special assistance to participate in the 8 City Council Meetings, please contact the Office of the City Clerk. Notification 48 hours prior to the City Council Meeting will enable the City to make reasonable arrangements to assure accessibility. For further information, please contact the Office of the City Clerk at (323) 563-9510 or via email at
[email protected]
.
9 ate
fomrhefmiorable
!!ffilY
P R O' C V'- A Mf A T 11 g N/
Declaring
Law Enforcement Records and Support
Personnel Day
November 10, 2022

WHEREAS,

WHEREAS,
the protection of Califomia's communities is
dwToenddeevnoItentoh1eiorntlimeonan'dheenmereglyl taontdhewdou'ntieens of law enforcement sei'vice, but also on
inembers of the suppoit staff such as law
enforcement records and support personnel,
who devote countless hours to performing t.he
rauunntieisngthsamt kOoete%lyouarnldaw enforcement agencies these professionals continually use their
efeX['oen11s.'semaanindtaeixn'ineg'enccriemIionaalsslssttatimstiIclsack"n improving apprehension strategies; and
it is important to recognize the City's law
enforcement records and suppoit personnel for
their valuable contributions to law
enforcement.

NNOOvWem,bTerH2EORE221FtOhaREtI: AbleRil.tOs,prMocalayiomreOdftthhiesCllt00f'haaSyoutoh" Gate, on belialf of the City Council, do hereby proclaim November 10, 2022, as "Law Enforcement Records and Support Personnel Day" and encourage eveiyone to reflect on the contributions made by these professionals and duly thank and recognize them for their skills and talents.
"*-+fM
AI Rios, Mayor
Item No. 1
10 Item No. 2
€ITYMANAGER'SOFFICE
NO" 2022 City of South Gate": "f' CITY COUNCIL
AeENDA BTLL
For the Special Meeting of: November 10, 2022
Originating DepartmBt: City Manager's Office
Eve Garcia hris Je ers
SUBJECT: SALV ATION ARMY BELL SHELTER AGREEMENT UPDATE PURPOSE: To present a report and update of the Salvation Army Bell Shelter Pilot Program.

RECOMMENDED ACTION: The City Council will consider receiving and filing a report on the progress of the Salvation Army Bell Shelter Pilot Program.

FISCAL IMPACT: No funding impact. This program was funded in May 2022 with American Rescue Plan Act funds.

ANALYSIS: TheCityofSouthGateisaparticipantintheregionalContinuumofCare("CoC") system that provides shelter beds for all of Los Angeles County under the Los Angeles Homeless Services Authority ("LAHSA") Coordinated Entry System ("County CES"). Without an available bed in the County CES system, unhoused individuals are not able to receive services or shelter.

The CoC system faces a demand level for shelter beds that is not met with the existing inventory, as many cities do not provide shelter beds within their city limits. The Bell Shelter is one of the largest shelters in the nation, and the shelter provides a significant portion of the region's shelter beds.

BACKGROUND: At the May 2, 2022 City Council meeting, the City Council approved a $62,415.50 pilot program with the City of Bell and the Salvation Army Bell Shelter to provide 40 shelter beds between the eight Life Cycle Assessment 1 ("LCAI") cities. Each city is assigned 4 beds while leaving 4 additional beds would be available to all eight cities for emergency and public safety use.

ATT ACHMENT: PowerPoint Presentation
1 11
Bell Shelte
Program
Update
12 Bell Shelter
Bed Program
13 E
o
o
o
u
o
14 15
Requirements for Bell Shelter
- Cannot be housed or on the verge of eviction
16 SSa:)OJd JeJJaJa'8
17 After Hour &
Emergencaiesl,
Only 4 Safe Rooms
available - not
excLusive for program
Safe Rooms are strictly
for emergencies
Safe Rooms are used at the Discretion of 54
Staff
Emergency referrals
need to go through
after-hours hotLine
323-395-3010- After
Hours/Weekends -

EMERGENCIES ONLY
18 WHAT IS CONSIDERED AN EMERGENCY?
. - _ _ ______ ___ ___ _ _ _ - - _ _ _ _. . ... - - . - l / ' I
i lffl';ffl z 'Ji is i! f aies '&1 7170
:flJ IJdd:il ;I rA5ilNl0 i-rUlk:'j$: X5 ,al I j XI El Eli'i re-il @JiilklA iffi u u € M Iii 01 11 ala'<""!IT'()l--j-@-u4-'-J@aJf4!4!'laffiK'ln!'&Q!l"'!!'tN'QlW4--- 19 Sta':,1St1CS (asof0ctober2022)
Processed
referrals :
81 Cudahy 6
tmFi
HP 6
Vernon: 5
BG 10
E. LA : 8
Commerce :
15 South Gate
16 20
Statistics
Continued:
21 South Gate Statistics
> July - 0
> August 5th - 3 beds occupied
> August 19'h - 7 beds occupied
> By August 25'h we were at 97% capacity
> September 9'h - 7 beds occupied
r September 23rd - 6 beds occupied
> October 14th - 6 beds occupied
> TOTAL SG REFERRALS 17 TO DATE
22 Demographics
23 0
0 o
24 - 36 year old male got into substance abuse
(HYC), now enrolled in school and looking
employment.
a 57 year old female received treatment for mental health issues, has been on proper medication and now qualified to be transferred to a higher care facility. - 29 year old male received an emergency housing
voucher, got a case manager and housing navigation assistance, currently looking for permanent housing. 25 el'fYMANAaER'SOFFICE
Item No. 3
No"2 2022 City of South Gate"""/' CITYCOUNCIL

AGENDA BULL
For the Regular Meeting of: November 10, 2022
Originating Department: Community Development
Department Directo City Manager: ( 3/
Je ers
SUBJECT: ORDINANCE AMENDING TITLE 9 (BUILDINGS), OF THE SOUTH

GATE MUNICIPAL CODE, IN ITS ENTIRETY BY ADOPTING BY REFERENCE THE 2022 EDITION OF THE CALIFORNIA CODES OF REGULATIONS, TITLE 24 AND THE 2021 EDITION OF THE UNIFORM SOLAR, HYDRONICS AND GEOTHERMAL AND THE 2021 EDITION OF SWIMMING POOL, SPA AND HOT TUB CODES

PUBLISHED BY THE INTERNATIONAL ASSOCIATION OF PLUMBING AND

MECHANICAL OFFICIALS
PURPOSE: To adopt new State Building Codes which are mandated for statewide enforcement on January 1, 2023.

RECOMMENDED ACTION: The City Council will consider, following the conclusion of the public hearing, waiving the reading in :tull and introducing an Ordinance amending Title 9 (Buildings) of the South Gate Municipal Code by adopting by reference the 2022 California Code of Regulations, Title 24 ("2022 Building Standards Code") and the 2021 International Association of Plumbing and Mechanical Officials Codes,
FISCAL IMPACT: It is estimated that the cost for staff training and the purchase of the 2022 California Building Standards Code books for City staff will be $9,000. This amount will be expended from funds included in the FY 2022-2023 Budget (100-602-42-6305 and 100-602-42- 6340).

The new State Building Codes have significant changes from previous editions and will require training of Building and Safety Division staff, design professionals and contractors in coming months. Training on the new codes is currently available through a number of professional associations including the International Code Council (ICC), the International Association of Plumbing and Mechanical Officials (IAPMO), the International Association of Electrical Inspectors (IAEI), and the California Building Officials (CALBO).

ANALYSIS: In accordance with state law, the 2022 Edition of the California Building Standards Code was adopted by the State Building Standards Commission and published in the California Code of Regulations, Title 24 ("2022 Building Standards Code").

I
26 State law mandates that California jurisdictions enforce the 2022 Building Standards Code, effective January 1, 2023, for all new building constructions in California. While the California Building Standards Commission adopts building code standards to be used statewide, City Council action to adopt these codes at a local level is also part of the code adoption process. Adoption of these codes by the City allows for the inclusion of administrative provisions and limited amendments to the state codes. State law permits local jurisdictions to make modifications to the state codes that are reasonably necessary because of local conditions provided the City makes express findings that the changes are needed because of climatic, geologic or topographic conditions. The proposed Ordinance contains the adoption of these codes and administrative provisions for the enforcement of the codes. The Ordinance makes findings regarding local geographic, climatic and topographic conditions that make the amendments to the state codes reasonably necessary for building construction in the City.

In accordance with state law, the 2021 Edition of the Uniform Swimming Pool, Spa and Hot Tub Code and the 2021 Edition of the Uniform Solar, Hydronics and Geothermal Code was adopted by the State Building Standards and published by the International Association of Plumbing and Mechanical Officials.

Administrative provisions ofthe CaliforniaBuilding Standards Codes are adopted and include past amendments carried forward as recommended by the City's Building Official. Such amendments include provisions regarding permits, fees, inspections, completion of residential remodeling and Board of Appeals proceedings. The City has not made any amendments to building, residential, plumbing, electrical and mechanical codes for over ten years. The sections numerical order for the proposed ordinance have changed to match the format of the 2022 California Code of Regulations; the context has not changed. A Summary of existing amendments carried forward are provided as Attachment B.

BACKGROUND: The state's Building Standard Codes have been subject to a series of major transformation since the 2001 International Code Council (ICC) model codes were introduced.

The new 2022 Building Standards Code utilizes the most up to date code documents which have been developed through a national code development process. These construction codes include the California Administrative, Building, Residential, Electrical, Plumbing, Mechanical, Energy, Historical Building, Existing Building, Reference Standards and Green Building Standards as well as other related codes.

Adoption of the proposed Ordinance incorporates the 2022 Building Standards Codes and the 2021 International Association of Plumbing and Mechanical Officials (IAPMO) codes which will keep the City's building regulations consistent with those of the State. They provide minimum standards to safeguard life or limb, health, property and public welfare. The proposed Ordinance is necessary to keep us in compliance with State regulations while allowing the City to properly address special local conditions.

ENVIRONMENTAL ASSESSMENT: Environmental review is not required under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15060(c)(2) (the activity will not result in a direct or reasonable foreseeable indirect physical 2 27
change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378), Title 14, California Code of Regulations, because adoption of the proposed Ordinances has no potential for resulting in a physical change to the environment, directly or indirectly.

NOTICING REQUIREMENTS: A public hearing notice was published in South Gate Press on October 17, 2022. Irformation regarding the adoption of the 2022 California Building Code and the local training opportunities are available at the Community Development/Building and Safety Division website.

The new 2022 California Code of Regulations, Title 24 is available for review at California Building Standards Commission website: www.dgs.ca.gov/BSC/Codes. Bilingual public information is cunently posted in the Department of Community Development containing important information regarding this upcoming change to construction codes used in the State of California and their effective date. Requests to review the 2022 Edition of the California Code of Regulations are available through the City Clerk's Office.

ATT ACHMENTS: A. Proposed Ordinance
B. Summary of Existing City Amendments
C. Notice of Public Hearing for Proposed Ordinance D. Advisories and Code Updates Information
3 28
Attachment A
ORDINANCE NO.

CITY OF SOUTH GATE

LOS ANGELES COUNTY, CALIFORNIA
ORDINANCE AMENDING TITLE 9 (BUILDINGS), OF THE SOUTH

GATE MUNICIPAL CODE, IN ITS ENTIRETY BY ADOPTING BY REFERENCE THE 2022 EDITION OF THE CALIFORNIA CODES OF REGTJLATIONS, TITLE 24 AND THE 2021 EDITION OF THE UNIFORM SOLAR, HYDRONICS AND GEOTHERMAL AND THE 2021 EDITION OF

SWIMMING POOL, SPA AND HOT TUB CODES PUBLISHED BY THE

INTERNATIONAL ASSOCIATION OF PLUMBING AND MECHANICAL

OFFICIALS
WHEREAS, a duly noticed public hearing concerning this matter was held as required by law on October 17, 2022; and
WHEREAS, in accordance with state law, the 2022 Edition of the California Building Standards Code has been adopted by the State Building Standards Commission and published in the California Code of Regulations, Title 24 ("2022 Building Standards Code"). The new California Building Codes are mandated for statewide enforcement on January 1, 2023; and WHEREAS, the City may amend the California Building Codes ("Building Codes") based on local geologic, climatic or topographic conditions. The proposed ordinance adopts the Building Codes prescribed by state law, adopts amendments to those codes based on local conditions and adopts administrative provisions for the enforcement of the Building Codes. The proposed ordinance adopts findings and changes to the California Building Codes reasonably necessary for building occupancies in the City; and
WHEREAS, State law mandates that California jurisdictions enforce the 2022 Building Standards Code, effective January 1, 2023, for all new building construction in California; and WHEREAS, while the California Building Standards Commission adopts building code standards to be used statewide, City Council action to adopt the codes at a local level is also part of the code adoption process. Adoption by the City allows for the inclusion of administrative provisions and limited amendments to the state codes. State law permits local jurisdictions to make modifications to the state codes that are reasonably necessary because of local conditions proyided the City makes express findings that the changes are needed because of climatic, geologic or topographic conditions. The proposed ordinance contains the adoption of the codes, administrative provisions for the enforcement of the codes, and amendments to the codes based on local conditions; and WHEREAS, the City Council may choose not to adopt the Building Codes with local amendments. This would mean that only the State codes could be enforced and the previous local amendments would no longer be enforceable; and
WHEREAS, the new State Building Codes have significant improvements from previous editions and will require training of Building and Safety Division staff, design professionals and contractors in coming months which is currently available through a number of professional associations

Page 1 ends

29 including the International Code Council (ICC), the International Association of Plumbing and Mechanical Officials (IAPMO), the International Association of Electrical Inspectors (IAEI), and the California Building Officials (CALBO).

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOUTH GATE DOES HEREBY ORDAIN AS FOLLOWS:

SECTION 1. Title 9 (Buildings), Chapter 9.01 (Administrative Code), Section 9.01.010 (Adoption by Reference of the California Administrative Code) of the South Gate Municipal Code is hereby amended to read as follows:
"CHAPTER 9.01

ADMINISTRATIVE CODE
Sections:

9.01.010

9.01.020
Adoption by Reference of the California Administrative Code.

Violations and Penalties.
"9.01.010 Adoption by Reference to the California Administrative Code.

Except as provided herein, the 2022 Edition of the State of California Administrative Code (California Code of Regulations, Title 24, Part l), including any amendments and appendices thereof, as promulgated and published by the California Building Standards Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Administrative Code of the City of South Gate" ("Administrative Code" herein). Requests to review the 2022 Edition of the California Administrative Code are available through the City Clerk's Office. "9.01.020 Violations and Penalties.

Any person violating any of the provisions of the California Administrative Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Building Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
SECTION 2. Title 9 (Buildings), Chapter 9.02 (Building Code), Section 9.02.010 (Adoption by Reference of the California Building Code), Section 9.02.020 (Violations and Penalties), and Section

9.02.030 (Amendments to Building Code) of the South Gate Municipal Code are hereby amended to read as follows:
"CHAPTER 9.02

BUILDING CODE
Sections:

9.02.010

9.02.020

9.02.030
Adoption by Reference of the California Building Code.

Violations and Penalties.

Amendments to the California Building Code
"9.02.010 Adoption by Reference of the California Building Code.

Except as provided herein, the 2022 Edition of the State of California Building Code (California Code

Page 2 ends

30 of Regulations, Title 24, Part 2) including Appendix F, Rodent Proofing; Appendix H, Signs; Appendix I, Patio Covers and Appendix J, Grading; based in the 2021 International Building Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Building Code of the City of South Gate" ("Building Code" herein). Requests to review the 2022 Edition of the California Building Code are available through the City Clerk's Office. "9.02.020 Violations and Penalties.

Any person violating any of the provisions of the California Building Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Building Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
"9.02.030 Amendments to the California Building Code.

Notwithstanding the provisions of Section 9.02.010, the 2022 Edition of the California Building Code is hereby amended by:

A, Amending Subsection 103.1 (Code Compliance Agency) of Part 2-Administration and Enforcement, Section 103 (Department of Building and Safety) in its entirety to read as follows:

Section 103.1 Creation of Enforcement Agency
There is hereby established in the City of South Gate a Code Compliance Agency. Said Code Compliance Agency shall be the Division of Building and Safety under the direction of the Director of Community Development. The official in charge shall be the Building Official.

B. Adding Items 8 and 9 to Subsection [A]105.3 (Application for permit) of Section 105 (Permits) to read as follows:
[A]105.3 Applicationforpermit.

8. Where a license is required by the State of California, no permtt shall be issued unless the applicant has such a license.

9. A separate application shall be required for each building.

C. Adding a new Subsection [A]105.5.2 (Expiratiorr) of Section [A]105.5 (Expiration) of Chapter 1 (Scope and Administration) of the California Building Code to read as follows:
[A]105.5.2 Expiration.

Every permit issued by the Building Official under the provisions of the technical codes shall expire by limitation and become null and void, if the building or work authorized by such permit is not cornrnenced within one hundred and eighty (180) days from the date of such permit, or if the building or work authorized by such permit is suspended or abandoned at any time after the work is commenced for a period of one hundred and eighty (180) days. Before such work can be recommenced, a new permit shall be first obtained to do so, and the fee therefore shall be one half the amount required for a new permit for such work, provided no changes have been made or will be made in the original plans and specifications for such work; and provided further that such suspension or abandonment has not exceeded one year. In order to renew action on a permit after expiration, the permittee shall pay a new full permit fee.

Page 3 ends

31 A permittee holding an unexpired permit may apply for an extension of the time within which work may commence under that permit when the permittee is unable to commence work within the time required by this section for good and satisfactory reasons. The Building Official may extend the time for action by the permittee for a period not exceeding one hundred and eighty (180) days upon written request by the permittee showing that circumstances beyond the control of the permittee have prevented action from being taken. Permits shall not be extended more than once.

The permit shall expire two (2) years from the date of issuance. Before any work can be continued after such expiration, a new permit shall first be obtained.

D. AddinganewSubsection[A]105.8(PermitAe7usa7)toSectionl050ermit,s')toreadasfollows:
[A]105.8 PermitRefusal.

If upon demand of the Building Official, the applicant is unable to produce evidence that the applicant has complied or is complying with all State or City laws governing or regulating the erection, construction, enlargement, alteration, repair, removal, conversion, or maintenance of buildings or structures, or governing or regulating the persons engaging in such activities, including all safeguards required for the protection of the City, the public, employees of the applicant, or other persons, such as bonds, insurance, licensing, and other specific requirements which may be required by City ordinance or State law, then the Building Official shall refuse to issue a permit required under any Technical Codes of this Title 9.

PRE-REQUISITES: Before any permit is issued (except for minor remodeling or repair of any existing structure), it shall appear to the Building Official that all ordinances and regulations of the City pertaining to zoning, public works, subdivisions, precise plans, specific plans, setback lines, fire, health, and other matters, which are applicable to the property for which the permit is sought, have been complied with, and that the issuance of the permit will not result in the contravention of any ordinance, law, rule or regulation of the City, including the technical codes of this Title 9.

E. Adding a new Subsection [A]105.9 (Permits Required) to Section 105 (Permits) to read as follows:
[A]105.9 Permits Required.

A list of all subcontractors and material men who are performing work or :turnishing materials shall be provided before work is commenced under the permit. If any subcontractors or material men to be used on the project are not known at the time of application, their names and addresses shall be supplied to the Department of Community Development/Division of Building and Safety within ten (10) days after any subcontractor or material man is selected by the contractor.

No final inspection shall be made, no certificate of occupancy shall be issued, and no building or structure shall be used or occupied unless all provisions of this Section have been complied with.

F. Adding a new Subsection [A]107.6 (Plan Review Fees) of Section 107 (Comtruction Documents) to read as follows:
[A]107.6 PlanReviewFees.

Page 4 ends

32 The plan review fees are separate fees from the permit fees specified in Section 109 (Fees), and are in addition to the permit fees. The plan review fees shall be paid in accordance with the fee resolution of the South Gate Municipal Code."
G. Adding a new Subsection A[109.7] (Double Fees) to Section 109 (Fees) to read as follows:
[A]109.7 Double Fees.

When any work for which a permit is required by any technical code set forth in this Title 9 is commenced prior to obtaining a required permit, the fees specified under the provisions of such technical code shall be doubled, but in no event shall they be less than ninety-eight dollars ($98.00). The payment of such double fees shall not release any person from complying with the requirements of any technical code set forth in this Title 9, nor from any penalties prescribed therein. The additional fees are imposed solely for the purpose of reimbursing the City for the additional work involved with the inspection, regulation and administration of the applicable provisions of the technical codes set forth in this Title 9.

H. AddingnewSubsections[A]ll0.7and[A]ll0.8toSectionllO(}nspections)toreadasfollows:
[A]110.7 Permission to Cover Work.

It shall be unlawful to lath over, seal, cover or otherwise conceal any improvement which is regulated by the provisions of a technical code set forth in this Title 9 and for which a permit is required, until such improvement has been inspected and approved by the Administrative Authority or his designee. The Administrative Authority, or his designee, shall have the authority to remove, or to require the removal of, any obstruction which prevents complete inspection of any work of improvement.
[A]110.8 Corrections
All installations not in compliance with the requirements of any technical code of this Title 9 shall be corrected within ten (10) days after inspection notification, or within such other reasonable period of time as may be authorized by the Administrative Authority. Failure to comply shall be sufficient cause for the refusal of the Administrative Authority to issue any additional permit until all corrections have been made.

I. Adding a new Subsection [A] 111.5 to Section 111 (Certificate of Occupancy for Existing Non-Residential Structures) to read as follows:
[A] 111.5 Certificate of Occupancy for Existing Non-Residential Structures.

A certificate of Occupancy will be required for new business license applications. An inspection of the premises will be conducted to determine compliance with existing city codes; upon inspection approval a certificate of occupancy will be issued to the new business.

J. Adding a new Subsection [A] 112.4 to Section 112 (Service Utilities) to read as follows:
[A]112.4 Connections.

No serving agency shall :turnish or supply any utilities energization of a work or improvement regulated by any technical code set forth in this Title 9 until authorized by the Administrative Authority.

SECTION 3. Title 9 (Buildings), Chapter 9.03 (Electrical Code), Section 9.03.010 (Adoption by Reference of the California Electrical Code), Section 9.03.020 (Violation and Penalties), and Section

Page 5 ends

33 9.03.030 (Amendments to Electrical Code) of the South Gate Municipal Code are hereby amended to read as follows:
"CHAPTER 9.03

ELECTRICAL CODE
Sections:

9.03.010

9.03.020

9.03.030
Adoption by Reference to the California Electrical Code.

Violations and Penalties.

Amendments to the California Electrical Code.
"9.03.010 Adoption by Reference of the California Electrical Code.

Except as provided herein, the 2022 Edition of the State of California Electrical Code (California Code of Regulations, Title 24, Part 3) based in the 2020 National Electrical Code, including any amendments and annexes thereof, as promulgated and published by the National Fire Protection Association, Inc., is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Electrical Code of the City of South Gate" ("Electrical Code" herein). Requests to review the 2022 Edition of the California Electrical Code are available through the City Clerk's Office. "9.03.020 Violations and Penalties.

Any person violating any of the provisions of the California Electrical Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Electrical Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
G'9.03.030 Amendments to California Electrical Code.

Notwithstanding the provisions of Section 9.03.010, the 2022 Edition of the California Electrical Code is hereby amended by:

A. Adding a new subsection (C) to Section 90-8 (Wiring Planning) of Article 90 (Introduction) of the electrical code to read as follows:
(C) Wiring to be in an Underground System.

Supply wiring for or to accessory uses, accessory buildings, yard lights, and post signs shall be in an underground system.

B. Adding a new Section 225-28 to Article 225 (Outside Branch Circuits and Feeders) of the Electrical Code to read as follows:
225-28 0utdoor Installations
All yard wiring shall be installed underground, except for festoon lighting, temporary lighting or wires serviced by a public utility.

C. Adding a new Section 250-52 (9): (Grounding Electrode System for New and Existing Construction) of Article 250 (Grounding and Bonding) of the Electrical Code to read as follows:
250-52 (9) Grounding Electrode System for New and Existing Construction

Page 6 ends

34 (A)New Construction
In addition to the requirements of Section 250-52, one or more copper or non-ferrous rods, as described in Table 250.66, shall be placed along the bottom of a concrete foundation, or in a building foundation trench, tensioned and supported in such a manner that it will not be less than 3 inches from the bottom or sides of the foundation, with one end ternninating twelve inches (12") above the foundation sill plate or finished floor, beneath or adjacent to the main service switch panel.

Where building pier footings are used instead of a continuous foundation, service grounding shall be accomplished by :tusion welding of the ground conductor to a vertical electrode which reached to within three inches (3") of the bottom of the piers.

All grounding conductors shall be electrically bonded together and connected to the property's water system and electrical service equipment.
(B) Existing Construction
Any change, alteration or remodeling of existing electrical service equipment shall require a ground electrode to be provided in accordance with Table 250-66.

The driven ground electrodes may be galvanized pipe, not less than three-quarter inch pipe size, or copper-coated rod, not less than five-eights of an inch (5/8") in diameter; driven vertically eight feet (8') or more into the ground.

Whenever more than one ground electrode is required, they shall be not less than six feet (6') apart from each other, or from any other electrode, including those used for single circuits, radio, telephone, lighting rods or any other purpose.

Where more than one electrode is required, they shall be bonded together in the same maru'ier and with the same material as specified for pipe rod electrodes. Driven electrodes shall be of one piece.

Such pipes or rods shall have clean metal surfaces and shall not be covered with paint, enamel, or other non conducting materials.

D. Adding a new subsection (D) to Section 300-1 (Scope) of Article 300 (Wiring Methods) of the Electrical Code to read as follows:

Installation Requirements.

All wiring installed in or on building or structures, other than residential or residential accessory buildings, shall be in a metal protected raceway or cable wiring system; provided, however, that equivalent installations may be authorized when requested in writing and approved in advance by the Building Official."
SECTION 4. Title 9 (Buildings), Chapter 9.04 (Mechanical Code), Section 9.04.010 (Adoption by Reference of the California Mechanical Code) and Section 9.04.020 (Violations and Penalties) of the South Gate Municipal Code is hereby amended to read as follows:
"CHAPTER 9.04

MECHANICAL CODE
Sections:

Page 7 ends

(0
35 9.04.010

9.04.020
Adoption by Reference to the California Mechanical Code.

Violations and Penalties.
"9.04.010 Adoption by Reference to the California Mechanical Code.

Except as provided herein, the 2022 Edition of the State of California Mechanical Code (California Code of Regulations, Title 24, Part 4) based in the 2021 Uniform Mechanical Code, including any amendments and appendices thereof, as promulgated and published by the International Association of Plumbing and Mechanical Officials, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Mechanical Code of the City of South Gate" ("Mechanical Code" herein). Requests to review the 2022 Edition of the California Mechanical Code are available through the City Clerk's Office.
"9.04.020 Violations and Penalties.

Any person violating any of the provisions of the California Mechanical Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Mechanical Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
SECTION 5. Title 9 (Buildings), Chapter 9.05 (Plumbing Code), Section 9.05.010 (Adoption by Reference of the California Plumbing Code), Section 9.05.020 (Violations and Penalties), and Section 9.05.030 (Amendments to Plumbing Code) of the South Gate Municipal Code are hereby amended to read as follows:
"CHAPTER 9.05

PLUMBING CODE
Sections:

9.05.010

9.05.020

9.05.030
Adoption by Reference to the California Plumbing Code.

Violations and Penalties.

Amendments to the California Plumbing Code.
"9.05.010 Adoption by Reference of the California Plumbing Code.

Except as provided herein, the 2022 Edition of the State of California Plumbing Code (California Code of Regulations, Title 24, Part 5) based in the 2021 Uniform Plumbing Code, including any amendments and appendices thereof, as promulgated and published by the International Association of Plumbing and Mechanical Officials, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Plumbing Code of the City of South Gate" ("Plumbing Code" herein).

Requests to review the 2022 Edition of the California Plumbing Code are available through the City Clerk's Office.
"9.05.020 Violations and Penalties.

Any person violating any of the provisions of the California Plumbing Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Plumbing Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."

Page 8 ends

it
36 "9.05.030 Amendments to Plumbing Code.

Notwithstanding the provisions of Section 9.05.010, the 2022 Edition of the California Plumbing Code is hereby amended by:

A. Adding a new subparagraph 1014.3.4.4 (Outdoor Location) to subsection 1014.3.4 (Location) of Chapter 10 (Traps and Interceptors) of the Plumbing Code to read as follows:
1014.3.4.4 Outdoor Location
Each new grease trap shall be on the outside of all structures on the premises and shall be readily accessible for servicing and maintaining the grease trap in working and operation condition. The use of ladders or the removal of bulky equipment in order to service grease traps shall be deemed to be a lack ofaccessibility. Thelocationofallgreasetrapsintheinteriorofabuildingorstructureshallbepermitted by the building official only when, in his judgment, there is insufficient space onthe exterior of a building or structure to install an adequate grease trap. As used herein, the ternn "adequate grease trap" shall mean a grease trap of sufficient capacity to intercept anticipated quantities of grease generated by a business over at least a twenty-four (24) hour period." SECTION 6. Title 9 (Buildings), Chapter 9.06 (Energy Code), Section 9.06.010 (Adoption by Reference of the California Energy Code) and Section 9.06.020 (Violations and Penalties) of the South Gate Municipal Code is hereby amended to read as follows:
"CHAPTER 9.06

ENERGY CODE
Sections:

9.06.010

9.06.020
Adoption by Reference to the California Energy Code.

Violations and Penalties.
'G9.06.010 Adoption by Reference to the California Energy Code.

Except as provided herein, the 2022 Edition of the State of California Energy Code (California Code of Regulations, Title 24, Part 6), including any amendments and appendices thereof, as promulgated and published by the California Energy Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Energy Code of the City of South Gate" ("Energy Code" herein). Requests to review the 2022 Edition of the California Energy Code are available through the City Clerk's Office.
"9.06.020 Violations and Penalties.

Any person violating any of the provisions of the Califomia Energy Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the Energy Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
SECTION 7. Title 9 (Buildings), Chapter 9.07 (Residential Code), Section 9.07.010 (Adoption by Reference of the California Residential Code), Section 9.07.020 (Violations and Penalties) and Section 9.07.030 (Amendments to the Residential Code) of the South Gate Municipal Code is hereby amended to read as follows:

Page 9 ends

l'}
37 "CHAPTER 9.07

RESIDENTIAL CODE
Sections:

9.07.010

9.07.020

9.07.030
Adoption by Reference to the California Residential Code.

Violations and Penalties.

Amendments to the Residential Code.
"9.07.010 Adoption by Reference to the California Residential Code.

Except as provided herein, the 2022 Edition of the State of California Residential Code (California Code of Regulations, Title 24, Part 2.5), including any amendments and Appendix AI - Patio Cover and Appendix AJ - Existing Buildings and Structures, thereof, as promulgated and published by the California Building Standards Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Residential Code of the City of South Gate" ("Residential Code" herein). Requests to review the 2022 Edition of the California Residential Code are available through the City Clerk's Office.
"9.07.020 Violations and Penalties.

Any person violating any of the provisions of the Residential Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the Residential Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
G'9.07.030 Amendments to California Residential Code.

Notwithstanding the provisions of Section 9.07.010, the 2022 Edition of the California Residential Code is hereby amended by:

A. Adding Item 8 and 9 to Subsection R105.3 (Application for permit) of Section R105 (Permits) to read as follows:

Rl05.3Application for permit.

8. Where a license is required by the State of California, no permit shall be issued unless the applicant has such a license.

9. A separate application shall be required for each building.

B. Adding a new Subsection R105.5.2 (Expiration) of Section R105.5 (Expiration) of Chapter I Scope and Application, Division II Administration, Part 2 - Administration and Enforcement of the California Residential Code to read as follows:

R105.5.2 Expiration.

Page 10 ends

38 half the amount required for a new permit for such work, provided no changes have been made or will be made in the original plans and specifications for such work; and provided further that such suspension or abandonment has not exceeded one year. In order to renew action on a permit after expiration, the permittee shall pay a new full permit fee.

A permittee holding an unexpired permit may apply for an extension of the time within which work may commence under that permit when the permittee is unable to commence work within the time required by this section for good and satisfactory reasons. The Building Official may extend the time for action by the permittee for a period not exceeding one hundred and eighty (180) days upon written request by the permittee showing that circumstances beyond the control of the permittee have prevented action from being taken. Permits shall not be extended more than once.

The permit shall expire two (2) years from the date of issuance. Before any work can be continued after such expiration, a new permit shall first be obtained.

C. Adding a new Subsection R105.10 (Permits Required) to Section R105 (Permits) to read as follows:

R105.10 PermitsRequired.

A list of all subcontractors and material men who are performing work or furnishing materials shall be provided before work is commenced under the permit. If any subcontractors or material men to be used on the project are not known at the time of application, their names and addresses shall be supplied to the Department of Community Development/Division of Building and Safety within ten (10) days after any subcontractor or material man is selected by the contractor.

No final inspection shall be made, no certificate of occupancy shall be issued, and no building or structure shall be used or occupied unless all provisions of this Section have been complied with.

D. AddinganewSubsectionRl05.ll (ermitj'e7u,ya7)toSectionRl05(fflermifs)toreadasfollows:

R105.11 PermitRefusal.

Page 11 ends

39 E. AddinganewSubsectionRl06.6(PlanReviewFees)toSectionRl06(Constructionflocuments) to read as follows:
"R106.6 PlanReviewFees.

The plan review fees are separate fees from the permit fees specified in Section [A]108 and are in addition to the permit fees. The plan review fees shall be paid in accordance with the fee resolution of the South Gate Municipal Code."
F. AddinganewSubsectionRl08.7(ff)odeA'e,s')toSectionRl08(j'7ee,s')toreadasfollows:

R108.7 Double Fees.

G. Adding new Subsections R109.5 and R109.6 to Section R109 (Inspections) to read as follows:

R109.5 Permission to Cover Work.

R109.6 Corrections
All installations not in compliance with the requirements of any technical code of this Title 9 shall be corrected within ten (10) days a'[ter inspection notification, or within such other reasonable period of time as may be authorized by the Administrative Authority. Failure to comply shall be sufficient cause for the refusal of the Administrative Authority to issue any additional permit until all corrections have been made.

H. Adding a new Subsection R111.4 to Section Rl 11 (Service Utilities) to read as follows:

R111.4 Connections.

No serving agency shall furnish or supply any utilities energization of a work or improvement regulated by any technical code set forth in this Title 9 until authorized by the Administrative Authority.

I. AmendingSectionRll2(floardo74ppea7,s')initsentiretytoreadasfollows:

R112.1 BOARDOFAPPEALSCREATED;MEMBERSHIP;DECISIONS

Page 12 ends

IS 40
CREATING THE BOARD OF APPEALS.

1. There is hereby established a Board of Appeals consisting of five (5) members, all of whom shall be duly appointed members of the City Planning Commission. The Building Official shall be an ex-officio member and shall act as Secretary to the Board of Appeals.

2. The Board of Appeals shall be authorized to construe and to interpret the provisions of the Technical Codes set forth in Title 9 of tms Code, and to make determinations as to whether proposed alternate construction materials or methods of construction are equivalent or superior to those required or authorized by any of such Technical codes.

3. The Board of Appeals shall adopt rules and regulations relating to the conduct of its inquiries and investigations.

4. All decisions and deternninations of the Board of Appeals shall be submitted in writing to the Building Official, and a copy thereof shall be delivered to the person or persons who initiated the appeal or the request for an interpretation.

5. Any decision of the Board of Appeals to approve or deny an appeal may be appealed by the aggrieved party to the City Council by filing a request therefore with the City Clerk, not later than ten days after such decision is rendered by the Board of Appeals. Upon receipt of such a request, the City Clerk shall set a date for hearing by the City Council, not later than sixty (60) days thereafter, and shall notify the appellant of such hearing date. Following said hearing by the City Council, the findings and decision of the City Council shall be adopted by resolution. The determination of the City Council shall be final and conclusive." R112.2 ESTABLISHED
In order to hear and decide appeals of orders, decisions or determinations made by the building official relative to the application and interpretation of this code, there shall be and is hereby created a Board of Appeals. The Board of Appeals shall be appointed by the City Council and shall hold office at its pleasure. The Board shall adopt rules of procedure for conducting its business, and shall render all decisions and findings in writing to the appellant with a duplicate copy to the building official.

R112.3 MEMBERSHIP
The Board of Appeals shall consist of five (5) members appointed by the City Council. The Board of Appeals shall consist of members who are qualified by experience and training to pass on matters pertaining to building construction and who are not employees of the City.

R112.4 TERM-APPOINTMENETOFSUCCESSOR
The Board of Appeals shall be appointed by the City Council and shall hold office as its pleasure. The Board shall adopt rules of procedures for conducting its business, and shall ender all decisions and findings in writing to the appellant with a duplicate copy to the building official.

R112.5 DISQUALIFYINGACTIVITY
A member shall not hear an appeal in which that member has a personal, professional or financial interest.

R112.6 REM{JNERATION
Each appointee will receive the sum of Seventy-Five ($75.00) per meeting attended by the appointee.

Page 13 ends

IU 41
R112.7 ELECTION OF CHAIRMAN OF THE BOARD OF APPEALS The Board shall annually select one of its members to serve as chairperson.

R112.8 REMOVALFROMOFFICE
The Board of Appeals shall be appointed by the City Council and shall hold office at its pleasure.

R112.9 0RGANIZATION-MEETINGS-RULES
The Board of Appeals shall consist of five individuals, one from each of the following professions or disciplines.

1. Registered design professional who is a registered architect.

2. Registered design professional with structural engineering experience.

3. State licensed contractor with at least 10 years experience.

4. Local resident or businessman with experience in construction.

5. Local advocate for accessibility and ADA requirements or local resident.

6. The City Building Official shall serve as Secretary of the Board.

There are six (6) meetings held annually.

The Board is authorized to establish policies and procedures necessary to carg out its duties.

Building related matters shall be as defined in the California Code of Regulations, Title 24, Part 2, 2007 California Building Code, Volume 1; but shall specifically exclude any issues related to the general plan or zoning ordinance; and, Pursuant to Health and Safety Code Section 189.45 (a) any person adversely affected by any regulation, rules, omission, interpretation, decision or practice of any state agency, respecting the administration of any building standard may appeal the issue for resolution to the Board; and,
Pursuant to Health and Safety Code Section 189.45 (b) any local agency having authority to enforce a State Building Standards and any person adversely affected by any regulations, rule, omission, interpretation, decision or practice of such agency respecting such buildings standard wish to appeal the issue for resolution to the Board, then both parties may appeal to the commission. The Board may accept such appeal only if the commission determines that the issues involved in such appeal have statewide significance; and, Any and all action subject to the Boards purview shall be appealable to the City Council within ten business day after the date of execution of final decision from the Board; and, California Building Code provides that the Board of Appeals shall have no authority relative to interpretation of the administrative provisions of this code nor shall the board be empowered to waive requirements of this code.

The Board shall have the authority to review code enforcement appeals and to waive or reduce rates, fees and charges related to building restoration fees for garage conversions and other related assessments, fees and/or charges arising from matters which are addressed by South Gate Municipal Code Title 9.

J. Replacing Blank Table R301.2.(1), buildings shall be designed with the additional criteria and provisions of this table which shall read as follows:

Table R301.2.(1)

CLIMATIC AND GEOGRAPHIC DESIGN CRITERIA
t,7'

Page 14 ends

42 SECTION 08. Title 9 (Building), Chapter 9.08 (Green Buildings Standards Code) and Sections 9.08.010 (Adoption by Reference to the California Green Buildings Standards Code), and

9.08.020 (Violations and Penalties) of Title 9 (Buildings) of the South Gate Municipal Code to read as follows:
"CHAPTER 9.08

GREEN BUILDINGS STANDARDS CODE
WIND [ESIGN

SEISMIC
C /loTEp';:%tNy '
S{JBJECT TO DAMAGE FROM
WINTER
DESIGN
TEMP a

ICE BARRIER
tJNDERL AYMF_NT
REQtnRED "
FLOOD
HAZARDSt
AIR

FREEZING

INDEX '
MEAN
ANNUAL
TEMP'
GROUND
SNOW
LO,'J)
Speed '
(inpl'i)
Topographic
effects '
Special
Wind
region'
Wind-
bonie
debris
ZOn e"
Weathering '
Frost
line bDeptli
Tennite "
ZERO 85 NO NO NO D) NEGLIGIBLE ZERO ZERO 49a NO NO ZERO 60o Sections:

9.08.010

9.08.020
Adoption by Reference to the California Green Buildings Standards Code.

Violations and Penalties.
"9.08.010 Adoption by Reference of the California Green Buildings Standards Code.

Except as provided herein, the 2022 Edition of the State of California Green Buildings Standards Code (California Code of Regulations, Title 24, Part 11), as promulgated and published by the California Building Standards Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Green Buildings Standards Code of the City of South Gate" ("Green Code" herein). Requests to reviewthe 2022 Edition ofthe California Green Buildings Standards Code are available through the City Clerk's Office. "9.08.020 Violations and Penalties.

Any person violating any of the provisions of the Green Buildings Standards Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the Green Buildings Standards Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code." SECTION 9. Title 9 (Building), Chapter 9.09 (California Existing Building Code) and Sections 9.09.010 (Adoption by Reference to the California Existing Building Code), and 9.09.020 (Violations and Penalties) of Title 9 (Buildings) of the South Gate Municipal Code to read as follows:
"CHAPTER 9.09

EXISTING BUILDING CODE
Sections:

9.09.010

9.09.020
Adoption by Reference to the California Existing Building Code.

Violations and Penalties.
"9.09.010 Adoption by Reference of the California Existing Code.

Except as provided herein, the 2022 Edition of the State of California Existing Code (California Code of Regulations, Title 24, Part 10), as promulgated and published by the California Building Standards Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Existing Building Code of the City of South Gate" ("Existing Building Code" herein).

Requests to review the 2022 Edition of the California Existing Building Code are available through the City Clerk's Office.
"9.09.020 Violations and Penalties.

Page 15 ends

Any person violating any of the provisions of the California Existing Building Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Existing Building Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code." SECTION 10. Title 9 (Building), Chapter 9.10 (California Historical Code) and Sections

9.10.010 (Adoption by Reference to the California Historical Code), and 9.10.020 (Violations and Penalties) of Title 9 (Buildings) of the South Gate Municipal Code to read as follows:
"CHAPTER 9.10

HISTORICAL CODE
Sections:

9.10.010

9.10.020
Adoption by Reference to the California Historical Code.

Violations and Penalties.
'G9.10.010 Adoption by Reference to the California Historical Code.

Except as provided herein, the 2022 Edition of the State of California Historical Code (California Code of Regulations, Title 24, Part 8), as promulgated and published by the California Building Standards Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Historical Code of the City of South Gate" ("Historical Code" herein). Requests to review the 2022 Edition of the California Historical Code are available through the City Clerk's Office. "9.10.020 Violations and Penalties.

Any perSOn violating any of the provisions of the California Historical Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Historical Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
SECTION 11. Title 9 (Building), Chapter 9.11 (California Referenced Standards Code) and Sections 9.11.010 (Adoption by Reference to the California Referenced Standards Code), and

9.11.020 (Violations and Penalties) of Title 9 (Buildings) of the South Gate Municipal Code to read as follows:
aq

Page 16 ends

"CHAPTER 9.11

REFERENCED ST ANDARDS CODE
Sections:

9.11.010

9.11.020
Adoption by Reference of the California Referenced Standards Code.

Violations and Penalties.
"9.11.010 Adoption by Reference to the California Referenced Standards Code.

Except as provided herein, the 2022 Edition of the State of California Referenced Standards Code (California Code of Regulations, Title 24, Part 12), as promulgated and published by the California Building Standards Code, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Referenced Standards Code of the City of South Gate" ("Referenced Standards Code" herein). Requests to reviewthe 2022 Edition of the CaliforniaReferenced Standards Code are available through the City Clerk's Office. "9.11.020 Violations and Penalties.

Any person violating any of the provisions of the California Referenced Standards Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the California Referenced Standards Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title l of this Code." SECTION 12. Title 9 (Buildings), Chapter 9.12 (Swimming Pool, Spa and Hot Tub Code), Section 9.12.010 (Adoption by Reference of the Uniform Swimming Pool, Spa and Hot Tub Code), and Section 9.12.020 (Violations and Penalties) of the South Gate Municipal Code is hereby amended to read as follows:
"CHAPTER 9.12

SOLAR, HYDRONICS AND GEOTHERMAL CODE
Sections:

9.12.010

9.12.020
Adoption by Reference to the Uniform Solar, Hydronics and Geothermal Code.

Violations and Penalties.
"9.12.010 Adoption by Reference to the Uniform Solar, Hydronics and Geothermal Code.

Except as provided herein, the 2021 Edition of the Uniform Solar, Hydronics and Geothermal Code, including any amendments and appendices thereof, as promulgated and published by the International Association of Plumbing and Mechanical Officials, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Solar, Hydronics and Geothermal Code of the City of South Gate" ("Solar, Hydronics and Geothermal Code" herein). Requests to review the 2021 Edition of the Uniform Solar, Hydronics and Geothernnal Code are available through the City Clerk's Office.
"9.12.020 Violations and Penalties.

Any person violating any of the provisions of the Solar, Hydronics and Geothermal Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the Solar, Hydronics and Geothermal Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title I of this Code." SECTION 13. Title 9 (Buildings), Chapter 9.13 (Swimming Pool, Spa and Hot Tub Code), %

Page 17 ends

45 Section 9.13.010 (Adoption by Reference of the Uniform Swimming Pool, Spa and Hot Tub Code) and Section 9.13.020 (Violations and Penalties) of the South Gate Municipal Code is hereby amended to read as follows:
"CHAPTER 9.13

SWIMMING POOL, SPA AND HOT TUB CODE
"9.13.010 Adoption by Reference of the Uniform Swimming Pool, Spa and Hot Tub Code.

Except as provided herein, the 2021 Edition of the Uniform Swimming Pool, Spa and Hot Tub Code, including any amendments and appendices thereof, as promulgated and published by the International Association of Plumbing and Mechanical Officials, is hereby adopted by reference as though fully set forth herein, and shall constitute and is hereby established as "the Swimming Pool, Spa and Hot Tub Code of the City of South Gate" ("Swimming Pool Code" herein). Requests to review the 2021 Edition of the Uniform Swimming Pool, Spa and Hot Tub Code are available through the City Clerk's Office. "9.13.020 Violations and Penalties.

Any person violating any of the provisions of the Swimming Pool Code shall be deemed guilty of a misdemeanor, and each such person shall be deemed guilty of a separate offense for each and every day, or portion thereof, during which any violation of any provision of the Swimming Pool Code is committed, continued or permitted. Upon conviction, any such violation shall be punishable as provided for in Title 1 of this Code."
SECTION 14. The modifications set forth in this ordinance which pertain to the California Administrative Code, California Building Code, the California Residential Code, the California Plumbing Code, and the California Electrical Code, are reasonably required due to local climatic, geographical and topographical conditions, and due to the need, in certain instances, to recover the actual costs and expenses incurred by the City in processing various applications for permits which are required by such technical codes. Modifications to those technical codes are reasonably required, in part, because of the local climate which is characterized by hot, dry summers, followed by strong Santa Aria winds and heavy winter rains which make buildings and structures vulnerable to rapidly spreading wind-driven fires. Furthermore, the City is located near to historic and active earthquake faults which require special safety measures and precautions.

SECTION 15. The adoption of this Ordinance shall fulfill the City of South Gate's obligation under Section 17958 of the Health and Safety Code to adopt and apply the provisions of the California Building Standards Code to all occupancies within the City.

SECTION 16. This Ordinance shall take effect on the thirty-first (31s') day after its adoption and be enforced on January 1, 2023.

SECTION 17. The City Clerk shall certify to the adoption of this Ordinance and shall cause the same to be published as required by law.
[Remainder of page left blank intentionally.]

Page 18 ends

PASSED, APPROVED and ADOPTED this day of November 2022.

ATTEST:

By:

Yodit GJaze, City Clerk
(SEAL)
APPROVED AS TO FORM:

By:

DRAFT
Raul F. Salinas, City Attorney
CITY OF SOUTH GATE:

By:

AI Rios, Mayor

Page 19 ends

47 ATT ACHMENT B
2022 BUILDING CODE ADOPTION

SUMMARY OF EXISTING CITY AMENDMENTS
Such amendments include provisions regarding:

ADMINISTRATION: No amendments.

BUILDIISTG CODE: EXISTING TO BE CARRIED FORWARD
General Safety Provisions;
Permits Required: to do work, contractors & subcontractors; Submittal Documents: Hovi many sets, procedures, etc; Plan Review Fees: Sets fees for service (not in the code),' Double Fees: Unauthorized work (min. $87);
Permission to Cover Work: Unla'viful to lath over, seal or cover, conceal viork without approval;
Utility Connections: Unlawful to energize without approval (Edison, Gas); Building Corrections: Must be done within 10 days; Re-inspections Fee,'
Fee Refutxds.' 80%;
Investigation Fee for non-authorized work.' Unauthorized work done; Certificate of Occupancy for Existing Structures: For new businesses.

RESIDENTIAL CODE: EXISTING TO BE CARRIED FORWARD
Amends California Residential Code (CRC) to provide climatic and geographic information table for design criteria;
Board ofAppeals Committee: Appeals B.0. decision or determination, not the code,' General Safety Provisions;
Permits Required: to do work, contractors & subcontractors; Submittal Documents: How many sets, procedures, etc; Plan Review Fees: Sets fees for service (not in the code); Double Fees: Unauthorized work (min. $87);
Permission to Cosier Work: Unlawful to lath over, seal or cover, conceal work without approval;
Utility Connections: Unlaviful to energize without approval (Edison, Gas); Building Corrections: Must be done viithin 10 days; Reinspectiom Fee;
Fee Refunds: 80%;
Imiestigatiori Fee for non-authorized work: Unauthorized work done.

ELECTRICAL CODE: EXISTING TO BE CARRIED FORWARD
Amends California Electrical Code (CEC) by requiring exterior wiring to be underground.

Amends CEC sectioris regarding restricting wiring installation, disconnecting means, grounding tables.
'7!)
48 PLUMBING CODE: EXISTING TO BE CARRIED FORWARD
Amends the California Plumbing Code (CPC) by requiring grease traps to be located outside of all structures.

MECHANICAL CODE: No amendments.

GREEN BUILDING STANDARDS CODE: No amendments.

ENERGY CODE: No amendments.

HISTORICAL CODE: No amendments.

EXISTING BUILDING CODE: No Amendments.

REFERENCED STANDARDS CODE: No amendments.
{JNIFORM SOLAR, HYDRONICS AND GEOTHERMAL CODE: No amendments. {JNIFORM SWIMMING POOL, SPA AND HOT TUB CODE: No amendments. 49 Attachment C

SOUTH GATE PRESS
This space Tor nling stamp only
3731 WILSHIRE BLVD STE 840, LOS ANGELES, CA 90015
Telephone (323) 556-5720 / Fax (213) 834-0584
Yodit Glaze

CITY OF SOUTH GATE /CITY CLERK
8650 CALIFORNIA AVE
SOUTH GATE, CA-90280

PROOF OF PUBLICATION
(2015.5 C.C.P.)
State of California
County of LOS ANGELES
NOtiCeT.Yl)e: HRG-NOTICEOFHEARING
Ad Description:

California Codes of Regulations
am a citizen of the Llnited States and a resident of the State of California; I am over the age of eighteen years, and not a party to or interested in the above entitled matter. I am the principal clerk of the printer and publisher of the SOUTH GATE PRESS, a newspaper published in the English language in the city of SOUTH GATE, county of LOS ANGELES, and adjudged a newspaper of general circulation as defined by the laws of the State of California by the Superior Court of the County of LOS ANGELES, State of California, under date 04/19/1929,CaseNo.273415. Thatthenotice,ofwhichtheannexedisa printed copy, has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit:
: " "- 2"(1"L"2
. . ,l:,,,l"""::,larl,
PRE#: 3634989

CITY OF SOUTH GATE

NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that the South Gate
City Council will conduct a public heanng to
consider an ordinance of the City of South Gate
adopting by reference the Cellfomie Codes oT
Regulations, Title 24, Part I Part 2 (Volume S &
2). Par! 2 5, Pari 3, Part 4, Part 5, Part 6, Pad 8,
Part TO, Parill Part 12, known and designated
as the 2022 Edition of the Califomia
Administtabve Code, the 2022 Edition of the
Celifomia Building Code, Volume j and 2, ihe
2022 Edition ol the Califomia Residential Code,
the 2022 Edition oT the CaliTomia Electncal Code,
the 2022 Ediuon of the Califomia Mechanical
Code, the 2022 Edition of the Califomia Plumbing
Code, the 2022 Edition ol the Califomia Energy
Code, the 2022 Edition of Ihe Califomia Histoncal
Building Code, the 2022 Edition of the Califomia
Existing Building Code, the 2022 Edition oT the
California Green Building Standards Code, ihe
2022 Edition ol the CaliTomia Reference
Standards Code, adopting by reference the 2021
Iniemalional Association of Plumbing and
Mechanical Officials model codes known and
designated as the 2021 Edition of ihe Uniform
Solar Energy and Hydronics Code, and the 2021
Edition of the Uniform Swimming, Spa & Hot Tub
Code, making amendments io Title 9 (Buildings),
oT the South Gate Municipal Code and related
actions A copy of the ordinance may be reviewed
in the City Clerk's office dunng normal business
hours.

City Council Meeting
DATE: Thursday, November 10, 2022
TIME: 8:30 pm
PLACE: City Hall Council Chamber 8650
Califomia Avenue South Gate, Califomia
90280
All persons interested in this metter are invited to testify or present evidence upon any matter
relating thereto
i O/20/22
PRE-3634989#

SOUTH GATE PRESS
10/20/2022
Executed on: 10/20/2022
At Los Angeles, California
certify (or declare) under penalty of perjury that the roregoing is (rue and correct.

Signature
lIIllllllllllllllllllllllllIlllllllIIllllllIllIIIllllIlllIlllIllllllIlllll Email
50 i ', i " i ' ' , t l' n -
(,)(,'T i a! 2022

CITY OF SOUTH GATE

NOTICE OF PUBLIC HEARING
i""o"' a',' t, ['%' : .-' f'%.,'a"
NOTICE IS HEREBY GIVEN that the South Gate City Council will conduct a public hearing to consider an ordinance of the City of South Gate adopting by reference the California Codes of Regulations, Title 24, Part 1, Part 2 (Volume 1 & 2), Part 2.5, Part 3, Part 4, Part 5, Part 6, Part 8, Part 10, Partl 1, Part 12, known and designated as the 2022 Edition of the California Administrative Code, tlie 2022 Edition of the California Building Code, Volume 1 and 2, the 2022 Edition of the California Residential Code, the 2022 Edition of the California Electrical Code, the 2022 Edition of the California Mechanical Code, the 2022 Edition of the California Plumbing Code,
the 2022 Edition of the California Energy Code,
the 2022 Edition of the California Historical Building Code, the 2022 Edition of the California Existing Building Code, the 2022 Edition of the California Green Building Standards Code, the 2022 Edition of the California Reference Standards Code; adopting by reference the 2021 International Association of Plumbing and Meclianical Officials model codes known and designated as
the 2021 Edition of the Uniform Solar Energy and Hydronics Code, and the 2021 Edition of the Unifon'n Swimming, Spa & Hot Tub Code; making amendments to Title 9 (Buildings), of the South Gate Municipal Code and related actions. A copy of the ordinance may be reviewed in the City Clerk's office during normal business hours.

DATE:

TIME:

PLACE:

City Council Meeting
Tuesday, November 8, 2022
6:30 pm
City Hall Council Chamber
8650 California Avenue
South Gate, California 90280
All persons interested in this matter are invited to testify or present evidence upon any matter relating thereto.

Yodi 1 , City Clerk
51 ATT ACHMENT D
Advisories and Code Updates
Important Notice Regarding the 2022 California Code of Regulations, Title

24. If you are a City of South Gate property owner or an architect, engineer, designer, or contractor that performs work within the City, please be advised that the City will be enforcing the following Building Standards, effective January 1, 2023:
2022
2022
2022
2022
2022
2022
2022
2022
2022
2022
2022
2021
2021
California Administrative Code (Part 1),
California Building Code (Part 2 Volume I and II), California Residential Code (Part 2.5),
California Electrical Code (Pait 3),
California Mechanical Code (Part 4),
California Plumbing Code (Pait 5),
California Energy Code (Part 6),
California Historical Building Code (Part 8),
California Existing Building Code (Part 10),
California Green Building Standards Code (Part 11), California Referenced Standards Code (Part 12), also Uniform Solar, Hydronics and Geothermal Code (IAPMO) and, Uniform Swimming Pool, Spa and Hot Tub Code (IAPMO).

All new plan review applications submitted after December 31, 2022 will be required to comply with the above referenced code editions.

Building codes are available for purchase from the International Code Council.

Swimming Pool and Solar Codes are available for purchase from the International Association of Plumbing and Mechanical Officials.

Training classes are available through the following organizations:

ICC (International Code Council)
CALBO (California Building Officials)
Local ICC Los Angeles Basin Chapter
IAPMO (International Association of Plumbing and Mechanical Officials)
IAEI (International Association of Electrical Inspectors) !7
52 Building Standards Currently Enforced:
2019 California Administrative Code,
2019 California Building Code,
2019 California Residential Code,
2019 California Electrical Code,
2019 California Mechanical Code,
2019 California Plumbing Code,
2019 California Existing Building Code,
2019 California Historical Building Code,
2019 California Green Building Standards Code,
2019 California Energy Code,
2019 California Referenced Standards Code, and
2019 California Building Standards Code.
2019 California Fire Code.
2018 Uniform Swimming Pool, Spa and Hot Tub Code. 2018 Uniforin Solar, Hydronics and Geothermal Code.

Links to the following applicable documents are provided:

City of South Gate Municipal Code, Title 9 - Building www.cityofsouthgate.org (Municipal Code-Title 9).
2022 California Green Building Standards Code
www.bsc.ca.gov/Home/CALGreen.aspx
53 CI?YMANAOER'S OFFiCE
NOV 0 2 2022
6: eOyi vs
City of South Gate

CITY COUNCIL
Item No. 4
AGENDA B'J[LL
For the Regular Meeting of: November 10, 2022
Ori a a Department: CommunityDevelopment
Department Director: City Manager.'
Meredit T. Elguira Jeffers
SUBJECT: RESOLUTION ESTABLISHING

OF THE IN-LIEU FEE AS PER CHAPTER

DIVISION II (ZONING REGULATIONS) OF

GATE MUNICIP AL CODE

THE AMOUNTS AND CALCULATION

11.29 (INCLUSIONARY HOUSING) OF
TITLE 11 (ZONING) OF THE SOUTH
PURPOSE: A public hearing to consider a Resolution adopting and establishing the amounts and calculations of the fee in-lieu of developing inclusionary units under the City of South Gate ("City") Inclusionary Housing Ordinance.

RECOMMENDED ACTIONS: The City Council will consider adopting a Resolution establishing the inclusionary housing in lieu fee as provided under Chapter 11.29 (Inclusionary Housing), of Division II (Zoning Regulations), of Title 11 (Zoning), of the South Gate Municipal Code.

FISCAL IMPACT: If adopted, the proposed Resolution would establish an affordable housing in-lieu fee of $25 per square foot to be adjusted annually and automatically based on the Consumer Price.,Index increase. The payment of the proposed housing in-lieu fee to the City would be deposited into an affordable housing trust fund to be established by the City.

PUBLIC NOTIFICATION: Advertising and notification of the public hearing for this item was conducted in compliance with Chapter 11.50, Title 11, of the South Gate Municipal Code. Notice of the hearing was originally posted and published in the "The Wave" on October 27, 2022 (Attachment B).

ANALYSIS: The City's Inclusionary Housing Ordinance, Chapter 11.29 of the City of South Gate Municipal Code ("Inclusionary Housing Ordinance") permits the payment of in-lieu fees as an alternative means of compliance for on-site fulfillment and provides that the City Council will establish, by resolution, the in-lieu fee amount and calculation.

Staff and the City's affordable housing consultant, RSG, Inc., recommend an initial in-lieu fee amount of $25 per square foot multiplied by the total square feet of all units in the development I
54 project. This fee amount generally reflects the true cost of producing on-site units. Table l below demonstrates the total fee calculation for single family, townhome, and apartment sample prototype projects.

Table 1.' Sample Project In-Lieu Fee Calculation
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
5 1 ,700
2 5 $
212,500 $
15 1 ,700
25 $
637,500 $
20 i ,700
25 $
850,000 $
30 I ,700
25 $
1,275,000 $
40 1 ,700
25 1,700,000
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
5 1 ,346
25 $
168,250 $
15 1 ,346
25 $
504,750 $
20 1 ,346
25 $
673,000 $
30 1 ,346
25 $
1,009,500 $
40 1 ,346
2 5
1,346,000
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
50 75
839 839
$ 25 $ 25
$ 1,048,750 $ 1,573,125
100 125
839 839
$ 25 $ 25
$ 2,097,500 $ 2,621,875
150
839
$ 25
$ 3;146,250
Seventeen Los Angeles County communities have an inclusionary requirement, many of which have an in-lieu fee option. However, the in-lieu fee amounts vary considerably and are not necessarily in proportion to the true cost of the inclusionary percentage required. Table 2 below details neighboring communities' inclusionary requirements and each community's fee as applied to South Gate single family, townhome, and apartment sample prototype projects. The City's proposed fee of $25 per square foot falls within the range of compared fees, which are $10-$71 per square foot for rental projects and $14- $53 per square foot for townhome and single-family projects.

Table 2.' Regional Communities xiith Inclusionar)i Requirements and In-Lieu Fees 2 55
1/Alhambra and West Hollywood have an in lieu fee that would not apply to the prototype projects and have been excluded. Cudahy. Downey, and Rancho Palos Vetdes have not published a fee schedule to date 2/ Fee would not apply to single family and townhome prototype prolects 3 / Fee schedule allows a tange of fees based on the location within city.

A detailed analysis of the recommended in-lieu fee prepared by RSG, Inc. is included with this agenda bill as Attachment C.

Sectionll.29.l00B of the Inclusionary Housing Ordinance provides that the in-lieu fee would be adjusted annually in July based on the annual percentage change in corresponding month in the Bureau of Labor Statistics Los Angeles/Long Beach/Anaheim Consumer Price Index - All Urban Consiuners (CPI-U). The in-lieu fee may also be set or changed at any time by a resolution of the City Council.

Additionally, all in-lieu fees received by the City would be used by the South Gate Housing Authority for the development of housing affordable to lower and moderate-income households pursuant to Section 11.29.100C of the Inclusionary Housing Ordinance. Housing assisted with housing in-lieu fees will be subject to a minimum 55-year affordability agreement with the Housing Authority encumbering the assisted housing site.

BACKGROUND: South Gate adopted the Inclusionary Housing Ordinance on June 28, 2022.

The Ordinance requires production of inclusionary housing for rental and ownership housing, which would generally apply to all market rate residential and mixed-use projects in the City over 10 units. Projects with 10 units or less are not required to produce inclusionary housing on-site and instead are charged the in-lieu fee.

By law, cities imposing an inclusionary housing requirement must offer at least one alternative to building the units on-site. The Inclusionary Housing Ordinance provides multiple alternative means of compliance, including payment of in-lieu fees.

ATT ACHMENTS: A.

Proposed Resolution (including Appendix I & 2)
Public Hearing Notice
Inclusionary Housing and In-Lieu Fee Study and Recommendation 3 56
Attachment A
RESOLUTION NO.

CITY OF SOUTH GATE

LOS ANGELES COUNTY, CALIFORNIA

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SOUTH GATE,

CALIFORNIA, EST ABLISHING THE AMOUNTS AND CALCULATION OF THE IN-LIEU FEE AS PER CHAPTER 11.29 (INCLUSIONARY HOUSING) OF DIVISION II (ZONING REGULATIONS) OF TITLE 11 (ZONING) OF

THE SOUTH GATE MUNICIP AL CODE
WHEREAS, the City Council of the City of South Gate adopted Ordinance No. 2022-05- CC adding Chapter 11.29 (Inclusionary Housing) to Division II (Zoning Regulations) of Title II (Zoning) of the South Gate Municipal Code (the "Inclusionary Housing Ordinance") to include inclusionary requirements to all residential developments within the City, including the residential component of mixed-used developments; and
WHEREAS, Section I 1.29.100.B (Establishment, Payment, and Use of the Housing In- Lieu Fees) of Chapter 11.29 (Inclusionary Housing) to Division II (Zoning Regulations) of Title 11 (Zoning) provides that the City Council shall by resolution establish the amounts and calculations of the housing in-lieu fee which will be adjusted annually in July based on the aru'iual percentage change in corresponding month in the Bureau of Labor Statistics Los Angeles/Long Beach/Anaheim Consumer Price Index - All Urban Consumers (CPI-U); and, WHEREAS, the City Council, in determining the amounts and calculations of the housing in-lieu fee, has considered all evidence, written and oral, presented to the City Council, including, but not limited to, the Inclusionary Housing and In-Lieu Fee Study and Recommendation dated September 2, 2022 by RSG, Inc. in "Appendix 2" attached hereto.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOUTH GATE, CALIFORNIA, HEREBY RESOLVES AS FOLLOWS:

SECTION 1. The City Council does hereby declare that the above recitals are true and correct and incorporated herein by reference.

SECTION 2. All defined terms, as indicated by initial capitalization, shall have the same meanings as in Chapter 11.29 (Inclusionary Housing), unless expressly provided otherwise.

SECTION 3. Pursuant to Section 1 1.29.100.B (Establishment, Payment, and Use of the Housing In-Lieu Fees) of Chapter 11.29 (Inclusionary Housing) of DivisionII (Zoning Regulations) of Title 11 (Zoning), the City Council hereby establishes the housing in-lieu fee as an amount equal to Twenty-Five and 00/100 Dollars ($25) per square foot on all residential development within the City. The housing in-lieu fee amount shall be calculated by multiplying the amount of Twenty- Five and 00/100 Dollars ($25) per square foot by the gross residential square feet of all units inthe development project, as provided in the Sample Project In-Lieu Fee Calculations in "Appendix 1" attached hereto. For any development project that seeks to satisfy the inclusionary housing 1 5282965.1-L235.0
57 requirement with a mix of on-site affordable units and the payment of a housing in-lieu fee, the amount of any such partial housing in-lieu fee shall be calculated by the Director of Cornrnunity Development and verified by an independent consultant.

SECTION 4. Residential development projects which meet all the following criteria will not be required to pay the housing in-lieu fee adopted by this Resolution:
(a) A residential development project that has submitted any pre-development and/or development plan application that has been deemed complete by City staff and obtained any required discretionary approval as provided in Title 11 (Zoning) of the South Gate Municipal Code and such approval was given prior to the effective date of this Resolution; (b) An inclusionary housing plan has been signed and approved by the Director of Community Development by the effective date of this Resolution; and (c) A complete set of working drawings for the residential development project has been submitted for plan check to the Building and Safety Division of Cornrnunity Development Department and the plan check fees have been paid prior to the effective date of this Resolution.

SECTION 5. The City Clerk shall certify to the adoption of this Resolution which shall be effective upon its adoption.

PASSED, APPROVED AND ADOPTED this Ith day of November 2022.

CITY OF SOUTH GATE:

By:

Al Rios, Mayor
ATTEST:

BY:

Yodit Glaze, City Clerk
(SEAL)
APPROVED AS TO FORM:

B7: DRAFT
Raul F. Salinas, City Attorney
5282965.1-L235.0
2 58
APPENDIX"I"
Sample Project In Lieu Fee Calculations
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
30 1 ,700
2 5 $
1,275,000 $
40 1 ,700
2 5
1,700,000
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
5 1 ,346
2 5 $
168,250 $
50 839
25 $
1,048,750 $
15 1 ,346
2 5 $
504,750 $
75 839
25 $
1,573,125 $
20 30
1 ,346 1 ,346
2 5 $ 25
673,000 $ 1,009,500
40 1 ,346
$ 25
$ 1,346,000
11 I
100 125 150
839 839 839
25 $ 25 $ 25
2,097,500 $ 2,621,875 $ 3,146,250
APPENDIX "l"
5282965.1-L235.0
59 APPENDIX "2"
Inclusionary Housinq and In-Lieu Fee Study and Recommendation [see attached]
APPENDIX "2"
"1
5282965.1-L235.0
60 @RSG
BETTER COMMuNITIES.

IOLDER PuTtlRffS.
17872 GILLETTE AVE.

SUITE 350
IPVINE, CA 92614
714 541 4585
INFO='WEB RSG.CO M
WEBRSG.COM
Date: September 2, 2022 Via Electronic Mail
To: Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
From: Jim Simon, Principal
Alexandra Lawrence, Associate
Monroe Roush, Analyst
SUBJECT: INCLUSIONARY HOUSING AND IN-LIEU FEE STUDY AND RECOMMENDATION

EXECUTIVE SUMMARY
This technical memorandum provides supporting information regarding the recommended in-lieu fees that the City of South Gate Community Development could charge applicants that are who are required to comply with the City's Inclusionary Housing Ordinance ("Ordinance") adopted on June 28, 2022. RSG has prepared this analysis supporting an in-lieu Fee schedule that, iT adopted as recommended by the City Council, would do the following:

1. Establish an in-lieu fee amount of $25.00 per square foot on applicable residential development projects to be collected by the City that do not provide full on-site fulfillment of the City's Inclusionary Housing Ordinance (prorated for any partial on-site fulfillment); and

2. Provide that in-lieu payments received be deposited into a new Affordable Housing Trust Fund ("AHTF") to be managed by the City, which may be used to leverage other resources to produce, preserve, or protect affordable housing throughout South Gate (including, but not limited to, subsidizing affordable development, or providing housing grants and assistance).

This memorandum presents an analysis of housing affordability and the market economics of residential real estate development in South Gate, used to determine an appropriate in-lieu fee that would balance the need to produce affordable housing with the feasibility of residential development. Specifically, the memo presents the following information:

1. A brief background on inclusionary housing programs in California.

2. The methodology and preliminary analysis of prototypical residential development economics and affordable housing cost in South Gate.

3. A review of South Gate's adopted inclusionary housing ordinance and a survey of other communities' programs and Tees.

4. Analysis of recommendations for a South Gate in-lieu fee option (See page 9-10 for a quick reference of program recommendations).

IRVINE BERKELEY VISTA
g 61
Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 2 ends

BACKGROUND
Inclusionary housing ordinances are enacted by cities and counties to require, as a condition of approval, that residential development applications include a portion of the units constructed in a project to be set aside for purchase or rent by lower income households. Inclusionary policies attempt to capture some of the value of rising real estate prices to provide a community benefit by using local land use controls to ensure that much-needed affordable housing is produced along with market rate units. It is a flexible tool that can be tailored to local circumstances. There is no one model policy, but rather a number of best practices to consider when designing one. It is only one part of an affordable housing strategy and should not be viewed as the sole way to address the need, which may still require public subsidies and other programs and tools.

The typical target household income levels for affordable housing are defined as Very Low, Low, and Moderate Income, for households that earn less than 50, 80 or 120 percent of area median income ("AMI") for Los Angeles County, respectively, as determined by California's Department of Housing and Community Development ("HCD"). "Affordable housing cost" is typically defined by HCD based on income limit categories and household size. Generally, total affordable housing costs cannot exceed 30' percent of household income. For renters, housing cost includes rent plus utilities. For home buyers, housing cost is generally mortgage principal and interest, plus taxes and insurance.

Affordable housing units are commonly restricted by covenants recorded on the property to ensure they remain affordable for a long duration, typically 55 years for rental and 45 years for ownership housing.

After that period, it is not uncommon for units to be rehabilitated and the covenants to be extended, often requiring public subsidies. In some cases, such as when a land trust or other public entity retains ownership of the land or units, they can remain affordable in perpetuity.

Inclusionary housing policies are typically enacted by ordinances passed by the legislative body. Over 170 such ordinances or policies have been enacted in California and are prevalent in Los Angeles County.

Government Code Section 65850(g) requires that inclusionary housing ordinances contain alternative means for compliance, including but not limited to the payment of in-lieu fees, land dedication, off-site construction, and preservation of existing units. In our experience, most ordinances provide several such alternatives, but in-lieu fees that are generally equivalent to the net development cost of providing affordable housing on-site are most common. Many cities prefer the collection of fees in-lieu because these resources can be leveraged with other local, regional, State and Federal Funds to produce a larger quantity of affordable housing. In addition, by combining these resources and making them available to affordable housing developers, cities can subsidize units at much deeper affordability levels than may be feasible within market-rate developments. In a typical leveraged financing program for affordable housing development, the local contribution may represent only 5% to 20% of the total cost. ' With the exception of ownership housing sold to moderate income buyers, which can be 35 percent of household income.
62 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 3 ends

COMPONENTS OF SOUTH GATE'S INCLUSIONARY HOUSING ORDINANCE The City adopted the Ordinance on June 28, 2022. The Ordinance requires production of inclusionary housing for rental and ownership housing, which would generally apply to all market rate residential and mixed-use projects in the City over 10 units. Projects with 10 units or less are not required to produce inclusionary housing on-site and instead are charged the in-lieu fee. Initially, these requirements are lower and phased in over a three-year period subject to approval by the City Council at each anniversary of the Ordinance.

Table 1 below summarizes the inclusionary requirements as proposed:

Table 1: South Gate's Inclusionary Housing Ordinance Rental Projects Ownership Projects
For the I 2-month period commencing on the
effective date of this chapter, Projects with
more than 10 Units:
8%
affordable to Low-
Income or 6%
affordable to Very
Low-Income
Households
10%
affordable to
Moderate-Income
Households
Subject to the approval of the City Council,
for the 1 2-month period commencing on the
first anniversary of the effective date of this
chapter, Projects with more than 10 Units:
1 0%
affordable to Low-
Income or 8%
affordable to Very
Low-Income
Households
12%
affordable to
Moderate-Income
Households
Subject to the approval of the City Council,
from and after the second anniversary of the
effective date of this chapter, Projects with
more than 10 Units
12%
affordable to Low-
Income or 1 0'/o
affordable to Very
Low-Income
Households
14%
affordable to
Moderate-Income
Households
Projects with 10 Units or less Fee Only Fee Only
Other provisions of the ordinance include but are not limited to the following:

1. Units must remain affordable for a period of 55 years for both rental and ownership projects.

2. The Ordinance provides multiple alternative means of compliance, including off-site unit production (elsewhere in the City), land donation, conversion of market rate units to affordable housing, extension of at-risk affordable housing covenants in the City, and payment of in-lieu fees. 63 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 4 ends

3. The Ordinance provides three types of applications that are not subject to the inclusionary housing requirement. These include most projects where an existing single unit is being replaced due to demolition or destruction, many types of 100 percent affordable housing projects, and accessory dwelling units.

IN LIEU FEE OPTIONS AND BEST PRACTICES
Like most inclusionary housing ordinances, South Gate's Ordinance permits the payment of in-lieu fees as an alternative means of compliance for on-site fulfillment. This section provides general guidance on how such in-lieu fees may be used to advance the production of affordable housing in South Gate.

How can in-lieu fees be used?
The City can direct the in-lieu fees to support a variety of housing programs, including loans or grants to subsidize affordable housing development, acquisition of land, and program administration. In-lieu fees can also be used as a matching grant or be combined with other local, regional, State, or Federal funding sources to leverage local funds and expand the number of affordable units and deepen their level of affordability.

Can the City use these funds in partnership with the Housing Authority or other third party affordable housing developers?
The City can use in-lieu fees to purchase land to be used for the development of affordable housing. The South Gate Housing Authority is currently pursuing several infill housing projects on redevelopment sites and additional funds could assist these or other projects in the future. Similarly, the Ordinance provides the authority to engage other third party affordable housing developers in a similar capacity.

How should the amount of an in-lieu fee be set?
As a starting point, the in-lieu fee should reflect the true cost of producing on-site units. For example, if a developer/applicant faced a net loss of $1 million to produce affordable housing, the corresponding in- lieu fee should be S$1 million if that same developer were to decline the option to build on-site.

If the fee is lower, developers are very likely to pay it rather than construct the required inclusionary affordable units on-site. Some cities prefer fees that are lower than cost so they can aggregate and leverage those funds to produce more units at deeper affordability, and not unnecessarily discourage market rate housing development. Cities are also apt to compare fees across jurisdictions as a means to remain a competitive and attractive housing market, even at the risk of collecting less dollars with a fee that does not offer comparable compensation to on-site production.

The cost of providing an inclusionary unit will vary by what income level is required and the size and type of unit. A standard in-lieu fee can only approximate these costs based on the range of policy options being included.

The in-lieu fee will need to change over time to reflect changes in construction costs, inflation, and other market factors. While an inclusionary policy is usually adopted by an ordinance, the in-lieu fee is best adopted by resolution since amending the ordinance on a regular basis can be more costly and time- consuming. RSG recommends that as part of the annual Ordinance review, the number of applications 64 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 5 ends

where in-lieu fees are paid among all the alternative means of compliance be a suitable means for tracking the overall effectiveness and fairness of any ordinance and in-lieu fee schedule.

Fees can also differ in terms of how they are calculated. Generally there are two approaches: on a per- square-foot basis or on a per unit basis. The in-lieu fee per unit is popular because it is standardized and therefore easy to calculate and because developers evaluate projects in terms of cost per unit. The drawback with establishing a fee per unit is that it does not adjust for the size of units, and in some cases the sizes of units can vary. Generally, RSG advises our clients to establish an in-lieu fee on a per square foot basis.

What is the process and standard for requesting a waiver or reduction of the requirement? The inclusionary requirement should provide a clear and specific process for a developer to request a waiver or reduction, and the standards by which the request will be evaluated. The process should only be used in rare cases, and the developer must have to show economic hardship (the inability to achieve a profit) which can be verified by an independent third-party review.

IN LIEU FEE METHODOLOGY AND ANALYSIS
As mentioned above, the in-lieu fee should reflect the true cost of producing on-site units, which is commonly based on estimates around typical projects that the jurisdiction may see in the future. To provide a foundation for the recommended in lieu fee, RSG considered the cost of development, including land, construction, and a reasonable profit, as compared to what the market would pay for the improved property.

RSG looked at three different types of residential development: single-family detached homes and townhomes for-sale, and multifamily rental properties. Based on recent residential development applications, RSG formulated prototypical projects considering the size, density, and features for single family detached, townhome, and multifamily rental developments in the City.

Table 2 on the following page is a summary of the three development prototypes' characteristics and average construction costs (excludes cost of land). 65 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 6 ends

Table 2: Development Prototypes
Acres
Units/Acre
Units
Gross SF
Average Unit Sq. Ft
Bedrooms
1 Br
2 Br
3Br
Construction Cost
Cost Per Unit
Cost Per Square Foot
12 20,400
1,700
o
o
12 8,323,500
693,625
408
35 47,100
1 ,346
o
18 17
19,809,000
565,971
421
200
167,820
839
69,989,000
349,945
417
Next, RSG evaluated the amount that lower income households of various size and income levels could afford to pay for each of the three prototypes. RSG used HCD's income limits table of households by size and income level for 2022 as shown in Table 3 below:

Table 3: 2022 HCD Income Limits by Household Size Extremely Low
Very Low
Low
Median
Moderate
% of AMI 1
30o/0 $25,050
50% $41,700
80% $66,750
$63,750
120% $76,500
2 3
$28,600 $32,200
$47,650 $53,600
$76,250 $85,800
$72,900 $82,000
$87,450 $98,350
4 $35,750
$59,550
$95,300
$91 ,100
$109,300
HCD sets "affordable housing costs" (rents and monthly house payments) based on a cost limit of 30 percent of household income (35 percent for Moderate homebuyers). Based on the three prototypes for residential development noted in Table 2 earlier, RSG focused its inclusionary unit cost analysis on a two-person household size for the one-bedroom apartments, three-person household size for the two- bedroom apartments and townhomes, and a four-person household size for the three-bedroom apartments, townhomes, and single-family homes, consistent with HCD standards for defining "affordable housing cost".
66 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 7 ends

Sinqle Family and Townhome - Inclusionary Unit Cost Analysis Affordable purchase prices are driven by HCD limits on total monthly housing costs, inclusive of property taxes, insurance, mortgage principal and interest, and homeowners' association costs (if applicable). The difference between the supportable affordable purchase price (the amount a lower income household can afford to pay) and the estimated market price of each home creates a financial gap that a developer would recover by increasing the price of the market rate units in the project. This increase in price represents the cost to produce an inclusionary unit on-site.

Table 4 details the approximate net cost per unit if South Gate's inclusionary housing requirement was applied to the single family and townhome prototype projects.

Table 4: Cost to Produce Inclusionary Ownership Unit On-site (Per Unit and Per SF) Units
Average Unit Sq. Ft
Inclusionary Requirement
Market Sales Price Per Unit, without Inclusionary
Max Affordable Purchase Price Per Unit
Financial Gap
Cost to Produce Inclusionary Unit Onsite'
Cost Per Sq. Ft
1 ,346 1 ,700
100/.,
670,000 $
402,444
267,556
920,000
427,148
492,852
35,000 $
26 $
45,000
26 1/Difference between price of housing without inclusionary and affordable unit spread across all market rate units.

Apartment Cost - Inclusionary Units Cost Analysis Affordable rents are driven by HCD limits on total monthly housing costs, inclusive of a reasonable utility allowance. The gap between the affordable rent and the estimated market rent reduces the project income needed to make a project feasible. This financial gap is equal to the loss in land value as a result of producing an inclusionary unit and represents the cost to produce an inclusionary unit on-site. Table 5 details the approximate net cost per unit if South Gate's inclusionary housing requirement was applied to the apartment prototype project.
67 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 8 ends

Table 5: Cost to Produce Inclusionary Rental Unit On-site (Per Unit and Per SF) Units
Average Unit Sq. Ft
Inclusionary Requirement
200
839
8% (Low)
200
839
6% (VL)
Development Cost Per Unit
Project Return Per Unit'
Financial Gap
419,945 $
393,850
26,095
419,945
399,200
20,745
Cost to Produce Inclusionary Unit Onsite $
Cost Per Sq. Ft $
26,095 $
31 $
20,745
25 1/Represents discounted cash flow valuation over 10-year period.

In Lieu Fee Calculation
As indicated in Tables 4 and 5, RSG has calculated the equivalent in-lieu fee to producing units onsite would range between $25-$3"l per square foot depending on the type of project. For simplicity, RSG recommends an in-lieu fee amount of $25.00 per square foot on all residential development, which is roughly in balance with the inclusionary requirement so that developers may be likely to choose either method of compliance. Example in lieu fee calculations for sample projects can be found in Appendix 1.

In Lieu Fee Comparison
RSG surveyed Los Angeles County communities that had an inclusionary requirement and found that the in-lieu fee amounts varied considerably and were not necessarily in proportion to the true cost or the inclusionary percentage required. Table 7 details neighboring communities' inclusionary requirements and each community's fee as applied to South Gate prototype projects. RSG's recommended fee of $25 per square foot falls within the range of compared fees, which are $10-$71 for rental projects and $14- $53 for townhome and single family projects
68 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 9 ends

Table 7: Regional Communities with Inclusionary Requirements and In-Lieu Fees 1/Alhambra and West Hollywood have an in lieu fee that would not apply to the prototype projects and have been excluded. Cudahy, Downey, and Rancho Palos Verdes have not published a fee schedule to date. 2/ Fee would not apply to single family and toviinhome prototype projects. 3/ Fee schedule allows a range of Fees based on the location within city.

RECOMMENDATION
Based on the foregoing analysis, best practices, and input from Council, RSG recommends that an in- lieu fee be prepared through the City Attorney's Office of the City of South Gate for consideration by the City Council, based on the following parameters:

In-lieu fee alternative: Regardless as to how they intend to meet the inclusionary requirements, applicants must submit an inclusionary housing plan, subject to approval by the Director of Community Development, demonstrating their plan for fulTilling the City's inclusionary housing requirement. At the applicant's option, all or a portion of whole units required may be satisfied by payment of an in-lieu fee. Any partial fulfillment would be determined on a prorated basis. The City Council, by resolution, shall establish the amounts and calculation of the housing in-lieu fee.

Affordable Housing
Trust Fund (AHTF):

The City shall create an AHTF. All housing in-lieu fees paid to the City shall be deposited into the AHTF for use by the City to fund the development or preservation of housing situated within the City limits that is affordable to households of lower and moderate incomes, including, but not limited to:
* the acquisition of property,
* costs of construction or rehabilitation, including costs associated with planning, administration and design, as well as actual building or installation costs, and
* program administration.

It
69 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 10 ends

Housing assisted with housing in-lieu fees shall be subject to a minimum 55- year affordability agreement encumbering the site where the assisted housing is situated.

Timing of in-lieu
payment:

Payment of an in-lieu fee shall be made prior to the issuance of the first Certificate of Occupancy for the development project, regardless of phasing.

In-lieu fee amount: The in-lieu fee amount may be set or changed at any time by a Resolution of the City Council.

The recommended initial in-lieu fee amount would be $25.00 per square !Q9! multiplied by the total square feet of all units in the development project.

In the case of a project that satisfies the requirement with a mix of on-site affordable units and an in-lieu fee, RSG recommends an independent consultant verify the partial fee required.
1'7
70 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 1 ends

Appendix 1: Sample Project In Lieu Fee Calculations Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
5 1 ,700
25 $
212,500 $
15 1 ,700
2 5 $
637,500 $
20 I ,700
25 $
850,000 $
30 1 ,700
2 5 $
1,275,000 $
40 1 ,700
2 5
1,700,000
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
5 1 ,346
25 $
168,250 $
50 839
25 $
1,048,750 $
15 1 ,346
2 5 $
504,750 $
75 839
25 $
1,573,125 $
20 30
1 ,346 1 ,346
2 5 $ 25
673,000 $ 1,009,500
40 1 ,346
$ 25
$ 1,346,000
mmi
100 125 150
839 839 839
25 $ 25 $ 25
2,097,500 $ 2,621,875 $ 3,146,250
t% 71
Attacbrnent B

SOUTH GATE PRESS
3731 WILSHIRE BLVD STE 840, LOS ANGELES, CA 90015
Telephone (323) 556-5720 / Fax (213) 834-0584
This space Tor liling stamp only
" hf,., E D
Yodit Glaze, City Clerk

CITY OF SOUTH GATE /CITY CLERK
8650 CALIFORNIA AVE
SOUTH GATE, CA - 90280

PROOF OF PUBLICATION
(2015.5 C.C.P.)
State of California
County of LOS ANGELES
NOtiCe Tl)e: HRG-NOTICE OF HEARING
Ad Description:

Housing In-Lieu Fee
I am a citizen of the United States and a resident of the State of California: I am over the age of eighteen years, and not a party to or interested in the above entitled matter. I am the principal clerk of the printer and publisher of the SOUTH GATE PRESS, a newspaper published in the English language in the city of SOUTH GATE, county of LOS ANGELES, and adjudged a newspaper of general circulation as defined by the laws of the State of California by the Superior Court of the County of LOS ANGELES, State of California, under date 04/19/1929,CaseNo.273415. Thatthenotice,ofwhichtheannexedisa printed copy, has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit:
10/27/2022
PRE#: 3636421

PUBLIC NOTICE

CITY OF SOLITH GATE

CITY COUNCIL

NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that the City Council
oT the City of South Gale will hold a public
heanng io consider establishing a housing inlieu
pursuant to the City's Inclusionaty Housing
Ordinance, Section 1'l.29 oT the City of South
Gate Municipal Code.

DATE OF HEARING: Thursday, November TO,
2022
TIME OF HEARING:6 30 pm
LOCATION OF HEARING Members of the
public wishing to observe the meeting may join
through a Call-In Conference For the updated
Dial-In Number and Confetence Code for the
November '10, 2022 City Council meeting, please
visit the City's website at
ww.cityoTsouthgate org/AgendaCentet
PROJECT LOCATION: City Wide
PROJECT DESCRIPTION: Public Hearing to
make a establish the amoufit and calculation
methodology for the housing in-lieu fee pursuant
to South Gate Municipal Code Section 1 j 29 jOO
INVITATION TO BE HEARD: All interested
?ae'aatd"ian Wvao%o";oardlAooplhpaospi:obnoto:a;p'%p'oosb; resolution or to provide comments In addition,
wntten comments may be submitted to )he
ReoamnmnguniiyyoDuevc?:ao!jiemnegnet gaepaac'l%na"t'aeehno'o'no t%':as proposal in court, you may be limited to iaising
only those issues you or someone else raised ak
the public hearing, descnbed in this Notice, or in
wntten correspondence delivered to the City of
South Gate pnor to or at the public heanng
Those desinng a copy of the staff repod OT further
information related to this project should contact'
Contact:

Jose Monfano, Acting Administrative Service
Coordinator
Community Development Department
Phone' 323-563-9520
E-mail: jmontano@sogate org
Mailing Address:

Community Development Department
City of South Gate
8650 CaliTomia Avenue
South Gate, CA 90280-3075
plnufoeomreascei:' nObleenn.ldEasrlaamnoalndaOcearlc3a23!e56e;9ta52j9unta 1 0/27/22
PRE-3638421#

SOUTH GATE PRESS
Executed on: i 0/27/2g22
At Los Angeles, California
certify (or declare) under penalty of perjury that the foregoing is true and correct.

Signature
llllllllIlllIIIllIlllIIllIIllllllIIIlllIIIlllllIlllllIIIIIIIIIIIllIIIllIIl tQEmail 72 Office of the
SOuth aate City Cleril<
P?JBLIC NOTICE

CITY OF SOUTH GATE

CITY COUNCIL
Or,T ! B 2022
FILED

NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIIVEN that the City Council of the City of South Gate will hold a public hearing to consider establishing a housing in-lieu pursuant to the City's Inclusionary Housing Ordinance, Section

11.29 of the City of South Gate Municipal Code.

DATE OF HEARING: Thursday, November 10, 2022
TIME OF HEARING: 7:00 pm
LOCATION OF HEARING: Members of the public wishing to observe the meeting may join through a Call-In Conference. For the updated Dial-In Number and Conference Code for the November 10, 2022 City Couricil meeting, please visit the City's website at www.cityofsouthgate.orz/AgendaCenter PROJECT LOCATION: City Wide
PROJECTDESCRIPTION: Public Hearing to make a establish the amount and calculation methodology for the housing in-lieu fee pursuant to South Gate Municipal Code Section 11.29.100.

INVITATION TO BE HEARD: All interested persons are invited to the public hearing to be heard in favor of or in opposition to the proposed resolution or to provide comments. In addition, written comments may be submitted to the Community Development Department prior to the hearing. If you challenge the action taken on this proposal in court, you may be limited to raising only those issues you or someone else raised at the public hearing, described in this Notice, or in written correspondence delivered to the City ofSouth Gate prior to or at the public hearing.

Those desiring a copy of the staff report or further information related to this project should contact:

Contact:

Phone:

E-mail:

Jose Montano, Acting Administrative Service Coordinator Community Development Department
323-563-9529
[email protected]
Mailing Address: Community Development Department
City of South Gate
8650 California Avenue
South Gate, CA 90280-3075
Published: October 27, 2022
Informaci6n en Espafiol acerca de esta junta puede ser obtenida llamando al 323-563-9529. 'liD 73
Attachment C
@RSG
BETT!R eOMMllNITIES.

HOLDER PuTuRES.
17872 GILLETTE AVE.

SUITE 350
IF)VINE, CA 92614
7M 54T 4585
INF OipoWEBR SG.COM
WEBRSG.COM
Date: September 2, 2022 Via Electronic Mail
To: Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
From: Jim Simon, Principal
Alexandra Lawrence, Associate
Monroe Roush, Analyst
SUBJECT: INCLUSIONARY HOUSING AND IN-LIEU FEE STUDY AND RECOMMENDATION

EXECUTIVE SUMMARY
This technical memorandum provides supporting information regarding the recommended in-lieu fees that the City of South Gate Community Development could charge applicants that are who are required to comply with the City's Inclusionary Housing Ordinance ("Ordinance") adopted on June 28, 2022. RSG has prepared this analysis supporting an in-lieu fee schedule that, if adopted as recommended by the City Council, would do the following:

1. A brief background on inclusionary housing programs in California.

2. The methodology and preliminary analysis of prototypical residential development economics and affordable housing cost in South Gate.

3. A review of South Gate's adopted inclusionary housing ordinance and a survey of other communities' programs and fees.

4. Analysis of recommendations for a South Gate in-lieu fee option (See page 9-10 for a quick reference of program recommendations).

IEIVINE BERKELEY VISTA
,)i 74
Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 2 ends

After that period, it is not uncommon for units to be rehabilitated and the covenants to be extended, ofien requiring public subsidies. In some cases, such as when a land trust or other public entity retains ownership of the land or units, they can remain affordable in perpetuity.

Government Code Section 65850(g) requires that inclusionary housing ordinances contain alternative means for compliance, including but not limited to the payment of in-lieu fees, land dedication, off-site construction, and preservation of existing units. In our experience, most ordinances provide several such alternatives, but in-lieu fees that are generally equivalent to the net development cost of providing affordable housing on-site are most common. Many cities prefer the collection of fees in-lieu because these resources can be leveraged with other local, regional, State and Federal funds to produce a larger quantity of affordable housing. In addition, by combining these resources and making them available to affordable housing developers, cities can subsidize units at much deeper affordability levels than may be feasible within market-rate developments. In a typical leveraged financing program for affordable housing development, the local contribution may represent only 5% to 20% of the total cost. ' With the exception of ownership housing sold to moderate income buyers, which can be 35 percent of household income.
75 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 3 ends

Table 1 below summarizes the inclusionary requirements as proposed:

Table 1: South Gate's Inclusionary Housing Ordinance Rental Projects Ownership Projects
For the 12-month period commencing on the
effective date of this chapter, Projects with
more than 10 Units:
8%
affordable to Low-
Income or 6%
affordable to Very
Low-Income
Households
10%
affordable to
Moderate-Income
Households
Subject to the approval of the City Council,
for the 12-month period commencing on the
first anniversary of the effective date of this
chapter, Projects with more than 10 Units:
1 0%
affordable to Low-
Income or 8%
affordable to Very
Low-Income
Households
12%
affordable to
Moderate-Income
Households
Subject to the approval of the City Council,
from and affer the second anniversary of the
effective date of this chapter, Projects with
more than 10 Units
12%
affordable to Low-
Income or 1 0%
affordable to Very
Low-Income
Households
14%
affordable to
Moderate-Income
Households
Projects with 10 Units or less Fee Only Fee Only
Other provisions of the ordinance include but are not limited to the following:

1. Units must remain affordable for a period of 55 years for both rental and ownership projects.

2. The Ordinance provides multiple alternative means of compliance, including off-site unit production (elsewhere in the City), land donation, conversion of market rate units to affordable housing, extension of at-risk affordable housing covenants in the City, and payment ofin-lieu fees. 76 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 4 ends

Can the City use these funds in partnership with the Housing Authority or other third party affordable housing developers?
The City can use in-lieu fees to purchase land to be used for the development of affordable housing. The South Gate Housing Authority is currently pursuing several infill housing projects on redevelopment sites and additional funds could assist these or other projects in the Future. Similarly, the Ordinance provides the authority to engage other third party affordable housing developers in a similar capacity.

How should the amount of an in-lieu fee be set?
As a starting point, the in-lieu fee should reflect the true cost of producing on-site units. For example, if a developer/applicant faced a net loss of $1 million to produce affordable housing, the corresponding in- lieu fee should be $1 million if that same developer were to decline the option to build on-site.

The in-lieu fee will need to change over time to reflect changes in construction costs, inflation, and other market factors. While an inclusionary policy is usually adopted by an ordinance, the in-lieu fee is best adopted by resolution since amending the ordinance on a regular basis can be more costly and time- consuming. RSG recommends that as part of the annual Ordinance review, the number of applications 77 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 5 ends

where in-lieu fees are paid among all the alternative means of compliance be a suitable means for tracking the overall effectiveness and fairness of any ordinance and in-lieu fee schedule.

Table 2 on the following page is a summary of the three development prototypes' characteristics and average construction costs (excludes cost of land).

X
78 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 6 ends

Table 2: Development Prototypes
ffim!
Acres
Units/Acre
Units
Gross SF
Average Unit Sq. Ft
Bedrooms
1 Br
2Br
3Br
Construction Cost
Cost Per Unit
Cost Per Square Foot
1 12
12 20,400
1 ,700
o
o
12 8,323,500 $
693,625 $
408 $
1 35
35 47, 100
1 ,346
o
18 17
19,809,000
565,971
421
4 50
200
167,820
839
90 80
30 69,989,000
349,945
417
Next, RSG evaluated the amount that lower income households of various size and income levels could afford to pay for each of the three prototypes. RSG used HCD's income limits table of households by size and income level for 2022 as shown in Table 3 below:

Table 3: 2022 HCD Income Limits by Household Size Household Size
Income Category ii I A 880
Extremely Low
Very Low
Low
Median
Moderate
30% $25,050
50% $41 ,700
80% $66,750
$63,750
120% $76,500
$28,600
$47,650
$76,250
$72,900
$87,450
$32,200
$53,600
$85,800
$82,000
$98,350
$35,750
$59,550
$95,300
$9'l;100
$109,300
HCD sets "affordable housing costs" (rents and monthly house payments) based on a cost limit of 30 percent of household income (35 percent for Moderate homebuyers). Based on the three prototypes for residential development noted in Table 2 earlier, RSG focused its inclusionary unit cost analysis on a two-person household size for the one-bedroom apartments, three-person household size for the two- bedroom apartments and townhomes, and a four-person household size for the three-bedroom apartments, townhomes, and single-family homes, consistent with HCD standards for defining "affordable housing cost".
79 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 7 ends

Table 4 details the approximate net cost per unit if South Gate's inclusionary housing requirement was applied to the single family and townhome prototype projects.

Table 4: Cost to Produce Inclusionary Ownership Unit On-site (Per Unit and Per SF) Units
Average Unit Sq. Ft
Inclusionary Requirement
Market Sales Price Per Unit, without Inclusionary
Max Affordable Purchase Price Per Unit
Financial Gap
Cost to Produce Inclusionary Unit Onsite'
Cost Per Sq. Ft
1 ,346 1 ,700
670,000 $
402,444
267,556
920,000
427,148
492,852
35,000 $
26 $
45,000
26 1/Difference between price of housing without inclusionary and affordable unit spread across all market rate units.

Apartment Cost - Inclusionary Units Cost Analysis Affordable rents are driven by HCD limits on total monthly housing costs, inclusive of a reasonable utility allowance. The gap between the affordable rent and the estimated market rent reduces the project income needed to make a project feasible. This financial gap is equal to the loss in land value as a result of producing an inclusionary unit and represents the cost to produce an inclusionary unit on-site. Table 5 details the approximate net cost per unit if South Gate's inclusionary housing requirement was applied to the apartment prototype project.
2'7 80
Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 8 ends

Table 5: Cost to Produce Inclusionary Rental Unit On-site (Per Unit and Per SF) Units
Average Unit Sq. Ft
Inclusionary Requirement
200
839
8% (Low)
200
839
6% (VL)
Development Cost Per Unit
Project Return Per Unit=
Financial Gap
419,945 $
393,850
26,095
419,945
399,200
20,745
Cost to Produce Inclusionary Unit Onsite $
Cost Per Sq. Ft $
26,095 $
31 $
20,745
25 1/Represents discounted cash flow valuation over 10-year period.

In Lieu Fee Calculation
As indicated in Tables 4 and 5, RSG has calculated the equivalent in-lieu fee to producing units onsite would range between $25-$31 per square foot depending on the type of project. For simplicity, RSG recommends an in-lieu fee amount of $25.00 per square foot on all residential development, which is roughly in balance with the inclusionary requirement so that developers may be likely to choose either method of compliance. Example in lieu fee calculations for sample projects can be found in Appendix 1.

In Lieu Fee Comparison
RSG surveyed Los Angeles County communities that had an inclusionary requirement and found that the in-lieu fee amounts varied considerably and were not necessarily in proportion to the true cost of the inclusionary percentage required. Table 7 details neighboring communities' inclusionary requirements and each community's fee as applied to South Gate prototype projects. RSG's recommended fee of $25 per square foot falls within the range of compared fees, which are $10-$71 for rental projects and $14- $53 for townhome and single family projects
81 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 9 ends

Table 7: Regional Communities with Inclusionaiy Requirements and In-Lieu Fees Rl.il!lki !lfl . hll m Th ;::) 'ffl fl 81 N .11 i A !; . a-ff if ffl 8181 € i ffi'lfflWllFl,11$
li
li
e
8 I
I :ixiat_im.m I
a
II :"ha
*maswwm a
.11 .li_ I afflal!, s I il -a ) ffll s I I =l ii
I ,!piI i( s _ y-+ q l I n I Iff I I I z r ! I l I 111.vl'ffl!j I il j@;hlilhl all"lililHill}g a;<+lilhlffi'l*4'lli(=l!1 I-Q 181 a 41hl ffi rii lil i I .111'4Y l'l!).' ima @aiJ QI II i IP ii Agoura Hills 10 i " i'6" i 15% 15% j Unit i$39,02€ l"'$1 :4',524 Ii $(z",')EC l' $-I "3ir " 'ii" $:.8 "' Burbank 5 i___._._ s _ _ I 15% 15% li SF
1$"1a9a,2'6'2
I $27.014 I
'-s-i
i $27.982 I $-I $20 I
$36 i
:____$16.
i $40Calabasas 5 i------5 I 5-20% 5-20% ',l Unit ' $67,963 I $23 I Claremont 7 171 1 5% 1 5% I Unit i$23,500 I $23,500 :, $23,500 I s;_s i: $17 ii $14 Glendalea 8 i N/A I 15% N/A I SF ' $46,145 i N/A I N/A i $55 N/A ii N/A Long Beach
(Phased) I 10 I ,. Ii5-11% 5-1 1 % ISFI $17,451 1$18.844 :

I
$23 ,800 I $21 $14 II $14
Pasadena" : 10
l', I
10 'i 20% 20%
: :

I SF I
$39,836
- $59,905 1_$$"721,226340 Jl,
$53,380
- $89,981 1___$;77,___p_ _$$3513 II _$$3513
Santa Momca"" : :_ 1. a Il 5-100% ' 5-25 % ,l SF II $29,785 I tWA 'iI , N/A ,i-$3ff-- -, N/A __ll !luA 1/Alhambra and West Hollywood have an in lieu fee that would not apply to the prototype projects and have been excluded. Cudahy, Downey, and Rancho Palos Vetdes have not published a fee schedule to date. 2 / Fee would not apply to single family and townhome prototype projects. 3 / Fee schedule allows a range of fees based on the location within city.

In-lieu fee alternative: Regardless as to how they intend to meet the inclusionary requirements, applicants must submit an inclusionary housing plan, subject to approval by the Director of Community Development, demonstrating their plan for fulfilling the City's inclusionary housing requirement. At the applicant's option, all or a portion of whole units required may be satisfied by payment of an in-lieu fee. Any partial fulfillment would be determined on a prorated basis. The City Council, by resolution, shall establish the amounts and calculation of the housing in-lieu fee.

Affordable Housing
Trust Fund (AHTF):

CITY OF SOUTH GATE
September 2, 2022

Page 10 ends

Housing assisted with housing in-lieu fees shall be subject to a minimum 55- year affordability agreement encumbering the site where the assisted housing is situated.

Timing of in-lieu
payment:

Payment of an in-lieu fee shall be made prior to the issuance of the first Certificate of Occupancy for the development project, regardless of phasing.

In-lieu fee amount: The in-lieu fee amount may be set or changed at any time by a Resolution of the City Council.

The recommended initial in-lieu fee amount would be $25.00 per square !Q9! multiplied by the total square feet of all units in the development project.

In the case of a project that satisfies the requirement with a mix of on-site affordable units and an in-lieu fee, RSG recommends an independent consultant verify the partial fee required.
%O
83 Meredith Elguira, Community Development Director

CITY OF SOUTH GATE
September 2, 2022

Page 1 ends

Appendix 1: Sample Project In Lieu Fee Calculations Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
5 I ,700
25 $
212,500 $
15 I ,700
25 $
637,500 $
20 I ,700
25 $
850,000 $
30 1 ,700
2 5 $
1,275,000 $
40 1 ,700
2 5
1,700,000
Total Units
Estimated Unit Sq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
Total Units
Estimated UnitSq. Ft
In Lieu Fee/Sq. Ft
Total In Lieu Fee
5 1 ,346
2 5 $
168,250 $
50 839
25 $
1,048,750 $
15 1 ,346
2 5 $
504,750 $
75 839
25 $
1,573,125 $
20 1 ,346
2 5 $
673,000 $
30 40
1 ,346 1 ,346
2 5 $ 25
1,009,500 $ 1,346,000
81 84
Item No. 5

CITYMANAGER'S OFFICE
NOV U2 2022 C'Uy of South Gate
Ig:i5o(:iy CITYCOUNCIL
AGENDA B'J[LL
DepartmentDirector:

For the Special Meeting of: November 10, 2022
Ori i i De artment: Public Works
A City Manager:

Arturo ervantes ChrisJe,fers
SUBJECT: AMENDMENT N0. 2 TO CONTRACT N0. 2020-09-CC WITH W.A. RASIC CONSTRUCTION COMPANY, INC., FOR ON-CALL CONSTRUCTION SERVICES

FOR AS-NEEDED EMERGENCY REP AIRS TO THE MUNICIPAL WATER AND

SANIT ARY SEWER SYSTEMS
PURPOSE: To recommend an extension of the on-call Contract No. 2020-09-CC ("Agreement") with W. A. Rasic Construction Company, Inc. to service urgent repairs onthe water and sanitary sewer systems, on an as-needed basis. The Agreement is for a tmee-year term, expires on January 31, 2023, and provides for two one-year extensions. Amendment No. 2 to Contract No. 2020-09-CC ("Amendment No. 2") is proposed to extend the Agreement for one year and to fund emergency sewer system repairs completed on Burke Avenue.

RECOMMENDED ACTIONS: The City Council will consider:
a. Approving Amendment No. 2 to Contract No. 2020-09-CC with W. A. Rasic Construction Company, Inc., to extend the term and fund on-call services for one additional year and to fund emergency repairs that were performed on the sanitary sewer system, for a not-to- exceed amount of $150,000;
b. Appropriating$50,OOOtoAccountNo.412-732-52-6101(ProfessionalServicesAccount) from the unassigned Sewer Fund to fund Amendment No. 2; and c. Authorizing the Mayor to execute Amendment No. 2 in a form acceptable to the City Attorney.

FISCAL IMPACT: There is no fiscal impact to the General Fund. Amendment No. 2 is in the amount of $1 50,000 and it will be funded as summarized on the following table. The appropriation is in the amount of $50,000 from the unassigned Sewer Funds to Account No. 412-732-52-6101 (Professional Services Account). FY 2022/23 services are budgeted in the amount of $100,000, which is funded with $75,000 in Account No. 411-731-71-6101 (Water Funds) and $25,000 in Account No. 412-732-52-6101 (Sewer Funds).

Summary
Water
Account No.
(411-731-71-6101)
Sewer
Account No.
(412-732-52-6101)
Total
Year I Services $75,000 $25,000 $100,000
Year 2 Services $75,000 $25,000 $100,000
Year 3 Services $75,000 $25,000 $100,000
1 85
Summary
Water
Account No.
(411-731-71-6101)
Sewer
Account No.
(412-732-52-6101)
Total
Amendment No. 1- Emergency Repairs $141,000 $48,000 $189,000 Amendment No. 2 -Year 4 Services
Emergency Repairs
$75,000 $25,000
$50,000 ("') $150,000
Total Contract $441,000 $198,000 $639,000
* Proposed appropriation
ANALYSIS: The Agreement with W. A. Rasic ("Rasic") expires on January 31, 2023, however, provides for two one-year extensions. It is recommended to extend the Agreement for one year through January 31, 2024. Rasic provides timely services, with quality worlananship and competitive pricing. The Agreement provides for fixed pricing based on time and material work and a rate increase for the time extension according to the Construction Cost Index (CCI) of "Engineering News Record" as applicable to the Los Angeles Region and subject to the approval of the Owner. The rate increase for Amendment No. 2 will be based on the CCI for February 2023.

The sanitary sewer system located on Burke Avenue recently experienced issues that required repairs on an emergency basis which were completed by Rasic. This repair was considered urgent to prevent a sewer spill and potentially damage property. The cost of the repair was priced out at $50,000 using the Agreement fixed pricing for time and material work. The Sewer Funds appropriation is needed to pay for the repairs.

BACKGROUND: From time to time, the municipal water system and sanitary sewer system require urgent repairs such as when there is a major leak in a pipeline, a broken pipe, and sewer spill due to accidents or deteriorated pipes. When such urgent situations arise, repairs are required to be completed on an emergency basis to prevent interrupting service, property damage, or health and safety issues. On-call services agreements allow the Public Works Department to respond to emergencies in a timely maru'ier.

On January 28, 2020, the City the Agreement to W. A. Rasic to perform emergency repairs on the municipal water and sanitary sewer systems in the amount $300,000. The contract was awarded pursuant to a competitive bid process. On August 10, 2021, Amendment No. I was approved to fund emergency repairs that were performed to, (a) replace a leaking 20-inch valve located on the municipal water system underlying South Gate Park, and (b) repair a damaged sewer pipeline underlying Garfield Avenue at Miller Way, in an amount of $189,000.

Amendment No. 2 is proposed in the amount of $150,000 to fund one additional year of on-call services in the amount of $100,000 annually and $50,000 for emergency repairs completed on Burke Avenue,
ATTACHMENTS: A. Proposed Amendment No. 2
B. Amendment No. I
C. Contract No. 2020-09-CC
CC:lc
2 86

ATT ACHMENT A
AMENDMENT N0. 2 TO CONTRACT N0. 2020-09-CC FOR ON-CALL

MUNICIPAL WATER AND SANITARY SEWER SYSTEMS
MAINTENANCE SERVICES WITH W.A. RASIC CONSTRUCTION
COMPANY, INC.

This Amendment No. 2 to Contract No. 2020-09-CC for On-Call Municipal Water and Sewer Systems Maintenance Services ("Amendment No. 2"), is made and entered into on November 10, 2022, by and between the City of South Gate, a municipal corporation ("City"), and W. A. Rasic Construction Company, Inc., a California corporation ("Contractor"). City and Contractor are sometimes hereinafter individually referred to as a "Party" and collectively as "Parties."

RECIT ALS
WHEREAS, on January 28, 2020, the City Council approved Contract No. 2020-09-CC with Contractor ("Agreement"), for On-Call Municipal Water and Sewer Systems Maintenance Services for a three-year term through and including January 31, 2023, in the amount of Three Hundred Thousand Dollars ($300,000);
WHEREAS, the City Council approved the Amendment No. 1 to the Agreement ("Amendment No. l") to increase the scope of work to: (a) replace a leaking 20-inch valve located on the municipal water system underlying South Gate Park, and (b) repair a damaged sewer pipeline underlying Garfield Avenue at Miller Way, in an amount not to exceed One-Hundred Eighty-Nine Thousand Dollars ($189,000) bringing the aggregate total of the Agreement and Amendment No. 1 to Four-Hundred Eighty-Nine Thousand Dollars ($489,000).

WHEREAS, the City and Contractor desire to execute Amendment No. 2 to the Agreement ("Amendment No. 2") to increase the scope of work to include the repaired sewer main in Burke Avenue in the amount of Fifty Thousand Dollars ($50,000) and to extend the term of the Agreement for one year through and including January 31, 2024, in the amount of One Hundred Thousand Dollars ($100,000) annually, for a total amount not to exceed One-Hundred Fifty Thousand Dollars ($150,000) bringing the aggregate total of the Agreement and Amendment No. l and Amendment No. 2 to Six Hundred Thirty-Nine Thousand Dollars ($639,000).

WHEREAS, the Work and Fee Proposal attached hereto as Exhibit "A" is made a pait of this Amendment No. 2 under the terms and conditions of the Agreement.

NOW, THEREFORE, the parties hereby agree as follows:

1. SCOPE OF WORK: Scope of Work includes emergency repairs on the City of South Gate water and sanitary sewer system to be performed in accordance with the Agreement and emergency repairs made for the sanitary sewer system located on Burke Avenue in the City of South Gate in accordance with Exhibit "A."
2, TER!VI OF AGREEMENT. The term of the Agreement shall be extended one year from January 31, 2023, to and including January 31, 2024 unless otherwise expressly extended and agreed to by both Parties in writing or terminated by either party as provided in the Agreement.

Page l of 2
87 3. COMPENSATION. The additional compensation paid by City to Contractor for on-call emergency repair services on the City's municipal water and sanitary sewer systems shall not exceed One Hundred Thousand Dollars ($100,000). The cost of annual services for this Amendment No. 2 shall be in accordance with the pricing in the Agreement with a rate increase based on the February 2023 Construction Cost Index (CCI) of "Engineering News Record" as applicable to the Los Angeles Region. The additional compensation under Amendment No. 2 to be paid by City to Contractor for the work identified in Exhibit "A" shall not exceed Fifty Thousand Dollars ($50,000) for emergency sewer repairs already completed. The total not-to- exceed amount under Amendment No. l and Amendment No. 2 is One Hundred and Fifty Thousand Dollars ($150,000). The total sum of the Agreement, Amendment No. 1 and Amendment No. 2 shall not exceed Six Hundred Thirty-Nine Thousand Dollars ($639,000).

4. EFFECT OF AMENDMENTS. Except as expressly amended herein, all other terms and conditions of Agreement shall remain in full force and effect. Without limiting the generality of the foregoing, Agreement shall remain unchanged during the term of Agreement as extended by Section 1 above. Furthermore, City reserves the right to augment or reduce the scope of work as City deems necessary.

IN WITNESS WHEREOF, the Parties hereto have caused this Amendment No. 2 to be executed and attested by their respective officers hereunto duly authorized.

ATTEST:

BY:

Yodit Glaze, City Clerk
(SEAL)
APPROVED AS TO FORM:

By: f..[l-.4h"
Raul F. Salinas, City Attorney
CITY OF SOUTH GATE:

BY:

AI Rios, Mayor
Dated:

W. A. RASIC CONSTRUCTION
COMPANY, INC.:

By:

Peter L. Rasic, President

Page 2 of 2 ends

88 ATT ACHMENT B
Amendment No, l
Contract No 2020-09-CC
AMENDMENT N0. 1 TO CONTRACT N0. 2020-09-CC

FOR ON-CALL MUNICIP AL WATER AND SEWER SYSTEMS MAINTENANCE SERVICES WITH W.A. RASIC CONSTRUCTION COMP ANY, INC. l"his Amendment No. l to Contract No. 2020-09-CC for On-Call Municipal Water and Sewer Systems Maintenance Services ("Amendment No. 1"), is made and entered into on August 10, 2021, by and between the City of South Oate, a municipal corporation ("City"), and W. A.

Rasic Construction Company, Inc., a California corporation ("Contractor"). City and Contractor are sometimes hereinafter individually referred to as a "Party" and collectively as "Parties." RECIT ALS:

WHEREAS, on January 28, 2020, the City Council approved Contract No. 2020-09-CC witli Contractor ("Agreement"), for On-Call Municipal Water and Sewer Systems Maintenance Services for a three-year terin through and including January 31, 2023, in the amount of Three Hundred Thousand Dollars ($300,000);
WHEREAS, the City and Contractor desire to execute Amendment No. l to the Agreeinent (Amendment No. l) to increase tlie scope of work to (a) replace a leaking 20-incli valve located on the municipal water system underlying Soutli Gate Park, and (b) repair a damaged sewer pipeline underlying Garfield Avenue at Millcr Way, in an amount not to exceed One- Hundred Eighty-Nine Thousand Dollars ($189,000) bringing the aggregate total of the Agreement and Amendment No. l to Four-Hundred Eighty-Nine Thousand Dollars ($489,000).

WHEREAS, Work and Fee Proposal attaclied hereto as Exhibit "A" is n'iade a part to this ,Amendinent No. l under the terms and conditions of the Agreement.

NOW, THEREFORE, THE PARTIES HEREBY AGREE AS FOLLOWS:
1, MODIFICATION TO AGREEMENT:
a. SCOPE OF WORK. The Scope of Work to be performed by Contractor under Amendment No. 1 shall be limited to that set forth in Exhibit "A." The City reserves the right to augment or reduce the scope of work as City deems necessary. b. COMPENSATION. The additional compensation paid by City to Contractor for the work identified in Exliibit "A" shall not exceed One-Hundred Eighty-Nine Tliousand Dollars ($189,000). The total sum of the Agreement and Amendment No. I shall not exceed Four- Hundred Eiglity-Nine Tliousand Dollars ($489,000).

2. EFFECT OF AMENDMENTS. Except as expressly amcnded herein, all other terms and conditions of Agreement shall remain in full force and effect. Without limiting the generality of the foregoing, Agreement shall remain unchanged during the term of Agreement as extended by Section I above. Furthermore, City reserves the right to augment or reduce the scope of work as City deems necessary.

Page l of 2
89 Amendment No. l
Contract No 2020-09-CC
IN WITNESS WHEREOF, the Paities hereto have caused this Amendment No. l to be executed and attested by their respective officers hereunto duly authorized.

CITY OF SOUTH GATE:

B7:

Al Rios, Mayor
Dated: .a/, /4 27
ATTESTED:

Carmen Avalos, City Clerk
(SEAL)
APPROVED AS TO FORM:

By:
l F. Salmas C ty Attorney
W. A. RASIC CONSTRUCTION
COMPANY, INC.:

Peter L. Rasic. President
Date: \a 2oz I
\\'-c 2oazo-=X-%

Page 2 of 2 ends

90 GENERAI ENGINEERING CONTRACTOR
Exhibit A-l
July 19, 2021
City of South Gate/Public Works
4244 Santa Ana St.

South Gate, CA 90280
Attention: Chris Castillo
Reference: Rose Garden SG Park
WAR Bid S210608B
Dear Mr. Castillo,
Sent via Email: [email protected]
Our budget estimate to provide all necessary labor, equipment and material to install two 20" line stops, replace a leaking 20" butterfly valve, and replace and existing tee with a straight section of pipe for referenced project is as follows:

Scone item
Excavate and shore at two locations for line stops (One in grass, one in asphalt) Install 20" line stops in two locations
Replace leaking valve with new 20" butterfly valve
Replace tee with straight pipe section
Remove line stops, backfill and compact line stop & valve excavations Repave parking lot excavation
Atmrox, Otv.
l LS
l LS
l LS
l LS
l LS
l LS
Total Budget for Above Items:$ 141,000.00
Plans and Specifications Included
Per site visit on 06/07/21 and detail sent via email on 7/12/2021 This proposal is for budget estimation only. Actual work to be perfomied on a Time & Materials basis per our emergency on call contract. Achial final costs could vary depending on achial work performed.

All landscaping restoration to be performed by others.

This proposal is subject to the standard conditions attached and made part of this proposal.

Sincerely,
W.A. Rasic Construction Company, Inc.

KemvFo-ufv
Keith Fouts
Project Manager
www.wa rasic.com
91 July 19, 2021
WAR Bid: S210608B - REVISION

Page 2 ends

Standard Exclusions (if checked)
[g Permits & Developers Fees & Assessments
[E Geotechnical Testing, Quality Control Testing(compaction, compressive, weld testing, etc.) (J Desgin-Build Contingencies
(g BIM and BIM coordination
[J Engineering
[gl Demolition & Removals not shown on dwgs
[Y SWPPP Development / QSD Functions
[7 Utility Offsets not shown on plans
[7 CAD As-Builts
§ Survey and Staking
% Constniction Water
ta
Rock Conditions (un-removable by standard backhoe
bucket)
Overtime / Special Shift / Night Work / Reduced
Working Hours. (7AM-3:30PM Standard)
Utility Conflicts not shown on Plan & Profile
Biological Monitoring & Impacts
Payment & Perforn'iance Bond (l.45o/o Rate)
Raise to Grade of Existing Stnictures / Valve Cans T-cut Trench Restoration
Trench Plate Grinding
Site Dust Control, SWPPP, BMPs
Work shown on Plumbing and Landscaping Dwgs Any
work shown on plan sheets or specification section
other than tliose listed
Tree Removal
Responsibility for Root Damage in Work and
Excavation Limits.

Inigation Repairs incl. Control Wires
Landscape restoration
Landscaping Establishment Period of any kind
Hazardous Materials of Any Kind
Import Soil outside of trench zone
RCP Gasketed Joints
Work to 5' of Bldgs. Connections by Others.

CCTV / Camera Lines
Public Relations/Outreach
(J Groundwater / Dewatering including perclied water. tg
Wall, Foundation, Subdrains, Underdrains, and other perforated pipe drains or collection system
Archaeological Monitoring & Impacts
Electrical & Signal Work
Builder's Risk Insurance
DBE or Similar Participation Requirements
Paving Geotextile Fabrics (i.e. MiraPave)
Rubberized Asphalt Removal or Replacement
Hardscape Drainage Items (V-ditches, etc.)
(gl Mandatory cost sharing of general site cleanup. W.A.Rasic will be responsible for its own cleanup.

Standard Conditions (if checked)
§ Based on One (l) Mobilization. Additional Mobilizations will be cliarged at a rate of $2,500.00 each. (g Unless noted otherwise this Proposal is based on award of all base bid items. Breakouts are provided for comparison or infomiational purposes only.
j:a Price based on installation of utilities from deepest to sliallowest with gravity lines having priority on verticalalignment. Dry utilities to be installed after gravity lines. Irrigation last. (z Assumes discharge of de-chlorinated tlushing7testing water able to be discharged into nearby sewer or storm drainuider discharge pemiits obtained by others, or inder the municipality's permit. (J Bacteriological Testing by Agency/Others. W.A. Rasic to assist in sample collection. (J Chlorination, Flushing, Hydrostatic Testing per AWWA (J Standard One (l) Year Warranty from time of utility activation or use, not end of project. (a Utilities assumed to be started after demolition and rougli grading completed, but before major import or fill over theutility lines. Restoration to rough grade +/- 0.10' only, no fine grading. (;7 Priced to perfonn work in efficient and continuous manner per W.A. Rasic's determination. GC to not hinderperformance or restrict work. [J Surveytobeprovidedevery25',atallhorizontalandverticalchanges,allstnicturesandappurtenances. (gl Payment to be every 30 days of invoice. Retention to be 5% max and released upon acceptance of our work, notoverall project. jE Traffic control per standard WATCH manual. Engineered drawings and stamp extra. Temporary parking provisions,bus stop relocates and coordination, parking meter issues, etc. handled by others. (J Temporary laydown and storage yard to be provided.

Project scbedule coordination shall be done and provided utilizing Primavera Suretrak. Weekly look-aliead [6 schedules shall be provided on an Excel spreadsheet format. Conversion to Primavera P6 or P3 shall be by others.
(gl Proposal is valid tip to 30 days of its issuance. 92 GENERAL E('l(if('lEeRl!'10 CO(ITRACTOR
Exhibit A-2
INVOICE #
INVOICE DATE:
343306
07/09/2021
BILL TO : City of South Gate
8650 Califomia Ave.

South Gate, CA 90280-3075
JOB: 21TX45
Repair Damaged 8" Sewer Line
Garfield Ave. & Miller Way
South Gate, CA 90280
Rates ' Hours , Amount
j Pay :

Employee Name , Code 'Rag Time
Over " Reg
Time ', Dbl Time TimeI
' --- --r-
jOver Dbl
iTime. Timei Reg Time jOver Time ', Dbl Time Total
-Kier,Bryan---- --- PMSP 151.27 199.27 246.44 8 7 4 1,210.16 1,394.89 985.76 Chavez,Daniel OEFM 125.48 168.34 211.20 8 4 5 1003.84 673.36 1,056.00 Guzman,Cevero OEFM 125.48 168.34 211.20 9.5 5 7 1192.06 841.70 1,478.40 Krufi, Brian OEG8 122.29 163.64 205.00 8 4 4 978.32 654.56 820.00 Simon, David OEG8 122.29 163.64 205.00 9.5 4 6 1,16L76 654.56 1230.00 Castillo,Juan LAG4 95.74 127.27 158.80 8 4 4 765.92 509.08 635.20 Najera,Jose LAG4 95.74 127.27 158.80 9.5 4 6 909.53 509.08 952.80 Lopez,Andres LAG1 91.52 l:j.05 150.59 8 4 4 732.16 484.20 602.36 Najera,Arturo LAG1 91.52 121.05 150.59 9.5 4 6 869.44 484.20 903.54 Gutierrez,Juan TDGIO 96.46 124.40 152.34 8 4 5 77168 497.60 761.70 Mercado,Julio TDGIO 96.48 124.40 152.34 9.5 4 7 916.37 497.60 1066.38 Total Labor
s "'-a,sgo.ffi-i
$ 2,733.20
$ 3,5i2.16
$ 2,452.88
$ 3,046.32
$ 1,910.20
$ 2,371.41
$ 1,818.72
$ 2,257.18
$ 2,030.98
$ 2,480.35
$ 28,204.21
Equipment ---EQ# Rate Hours Days - -- --
PickUpTruck 1186 25.00 16
PickUpTruck 1193 25.00 21
PickUpTruck 1263 25.00 18
ForemanTruckW/Tools 1642 240.00 16 2
ForemanTruckW/Tools 1983 240.00 21 2.625
FlatBedDumpTruck 2073 736.00 16 2
FlatBed DumpTruck 2074 736.00 21 2.625
MoveTrailer 2805 120.00 10 1.25
BackhoeLoaderCAT430 3093 472.00 37 4.625
ArrowBoard 6081 120.00 5
Delineator/TrafflcCones 6180 1.00 153
TrafflcSigns 6199 5.00 18
LightTower 7119 25.00 15
Walk Behind ConcreteSaw 8048 60.00 3
Total Equipment
--Total
$ 400.00
$ 525.00
$ 450.00
$ 480.00
$ 630.00
$ 1,472.00
s 1,932.00
$ 150.00
$ 2,183.00
$ 600.00
$ 153.00
$ 90.00
$ 375.00
$ 180.00
$ 9,620.00

Page 1 of 2 ends

4')50 Long Beach Boulevard, Long Beacli, CA 90807 - 562-928-6111 - fax: 562-928-7339 - www.warasic.com state contractor's license #A368761
93 08!VENAL Ef'lGlNEt!RlfiG CONTRACTOR
INVOICE #
INVOICE DATE:
343306
07/09/2021
BILL TO : City of South Gate
8650 California Ave.

South Gate, CA 90280-3075
JOB: 21TX45
Repair Damaged 8" Sewer Line
Garfield Ave. & Miller Way
South Gate, CA 90280
Material Total
StemarEquipment&Supply-Invoice#48593 - - --- -- - --- - - - - ---- - Trench Shoring Company - Invoice #R120118647
Trench Shoring Company - Invoice #R120119939
Trench Shoring Company - Invoice #R120120032
WAR Job Materials Ticket #56858
WAR Job Materials Ticket #56859
WAR Job Materials Ticket #56928
WAR Job Materials Ticket #56929
WAR Job Materials Ticket #56G)39
WAR Job Materials Ticket #56940
WAR Job Materials Ticket #61708
WAR Job Materials Ticket #61709
WAR Job Materials Ticket #62014
Western Water Works - Invoice #1213929-00
Western Water Works - Invoice #1213940-00
Western Water Works - Invoice #1213959-00
Subtotal Material
4 5 % Mark-up on Material
Total Material
_S_u______bco_n6__-_T_J____JJ77----- - - -- --- -
National Plant Services - Invoice #16970
Subtotal Subcontractors
15 % Mark-up on Subcontractors
Total 8ubcontractors
-$---2-7.-54-
$ 459.56
$ 866.80
$ 1,184.84
$ 114.66
$ 191.84
$ 1G)1.84
$ 515.97
$ 286.65
$ 230.20
$ 253.02
$ 77i.75
$ 843.41
$ 339.90
$ 125.75
$ 244.64
$ 6,648.37
$ 997.42
$ 7,645.79
_g-_i-a-l --
$ 2,200.00
$ 2,200.00
$ 330.00
$ 2,530.00
Total Invoice $ 48,000.00
Please note Third Party Invoices & Subcontractors that are not billed on this period will be billed next.

Page 2 of 2 ends

4150 Long Beach Boulevard, Long Beach, CA 90807 - 562-928-6111 - fax: 562-928-7339 - www warasic.com state contractor's license #A368761
94 ATTACHMENT C
Contract No. 2020-09-CC
A(J?FFMENT FOR ON-CALL MUNICIPAL WATER AND SEWER SYSTEMS

MAINTENANCE SERVICES BETWEF,N THE CITY OF SOUTH GATE AND W.A. RASIC CONSTRUCTION COMPANY, INC.

This Agreement for On-Call Municipal Water and Sewer Systems Maintenance Services ("Agreement") is made and entered into on January 28, 2020, by and between the City of South Gate, a municipal corporation ("City") and W.A. Rasic Constniction Company, Inc., a California Corporation ("Contractor"). City and Contractor are sometimes hereinafter individually referred to as a "Party" and collectively as "Parties."

RECIT ALS
WHEREAS, City desires to retain Contractor for on-call Municipal Water and Sewer Systems Maintenance Services ("Maintenance Services"); WHF,REAS, Contractor warrants to City that it has the requisite skills, knowledge, qualifications, manpower and expertise to perform properly and timely the Maintenance Services under this Agreement; and
WHEREAS, based on such representation, City desires to contract with Contractor to perform the Maintenance Services described in the Proposal attached hereto as Exhibit "A" of this Agreement.

NOW, THEREFORE, THE PARTIES HEREBY AGREE AS FOLLOWS:

1. SCOPE OF WORK. The City hereby engages the Contractor, and the Contractor accepts such engagement, to perform the Maintenance Services ("Work") identified on Exhibit "A" hereto. The locations at which such Work is to be performed ("City Facilities") are also identified on Exhibit "A" hereto. The Work shall include all the terms and conditions of Contractor's proposal dated December 26, 2019 ("Proposal"), which shall be attached as part of Exhibit "A" and which is incorporated herein by this reference; provided, however, that to the extent the Proposal conflicts with anything else in this Agreement, the terms of this Agreement shall control.

2. COMPENSATION. The maximum amount of compensation to be paid to Contractor hereunder, pursuant to this Agreement, shall not exceed Three Hundred Thousand Dollars ($300,000), which shall be full compensation for the Work. A more detailed description of the compensation payable to Contractor hereunder, including unit prices, monthly payments, and/or other information, conditions and limitations, are set forth on the Cost Proposal attached hereto as Exhibit "A". Except as may be specifically set forth in Exhibit "A", or approved by the City in writing on a case-by-case basis, Contractor shall not be paid hereunder for any travel time in the performance of the Work. Except as otherwise provided in Exhibit "A", on or before the twentieth (201h) day of each calendar month following the commencement of the Work, Contractor shall file its request for payment, accompanied by evidence satisfactory to the City justifying the request for payment, including a report of Work accomplished and tasks completed in the previous month, and an itemization of eligible expenses with copies of receipts and invoices. If, 1 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 95 Contract No. 2020-09-CC
after review by the City, the Work is found to be iuiacceptable, Contractor, at its expense, shall expeditiously correct such iuiacceptable Work. If Contractor fails to correct unacceptable Work, the City may withhold from any payment due an amount that the City reasonably believes will equal the cost of correcting the Work. Subject to the City's right to reject all or any part of the charges set forth in such invoice as provided herein, the City shall pay Contractor the amount of such invoice within thirty (30) days of receipt and approval of such invoice.

TERM OF AGREEMENT. The term of this Agreement ("Term") shall commence on Febniary 1, 2020, and shall terminate on January 31, 2023, unless terminated sooner pursuant to the provisions of Sections 9, 10 or 13.2 below. At the conclusion of this three-year period, the City at its option, and with City Council approval, may renew this contract for up to two consecutive periods of one year each, beginning February 1, 2023 and February 1, 2024. This Agreement shall not be automatically renewed or extended; performance by Contractor of any Work following said termination date shall be prohibited, and Contractor shall not be entitled to compensation therefore, in the absence of a written agreement pertaining to such additional Work executed by the City and Contractor pursuant to Section 20.10.

COMMENCEMENT OF THE WORK. The execution and delivery of this Agreement by the City and Contractor does not constitute an authorization for Contractor to proceed with the Work. Contractor shall commence performance of the Work within seven (7) days after the City issues to Contractor a written notice, signed by the City's Director of Public Works ("Director"), instructing Contractor to proceed with the Work. Contractor represents and warrants to the City that Contractor will be able to commence the Work within that time in compliance with all requirements of this Agreement, including without limitation those set forth in Sections 6, 7 and 8 below.

INSPECTION OF WORK. The Director and his designees shall have the right to review and inspect the Work performed by Contractor hereunder at any and all times, with respect to the quality of the Work and Contractor's conformance to the terms of this Agreement, pursuant to the City's established review and approval procedures as the same may be amended from time to time. Without limiting the City's rights under Section 2 above, if the Director or his designee determines as a result of any such inspection that any aspect of the Work is unsatisfactory for any reason (including without limitation failure to meet the performance standards specified in Section 8 below), then Contractor shall promptly correct the Work at no additional cost to the City.

SOUTH GATE BUSINESS LICENSE. Without limiting the generality of Section 8 below, Contractor shall obtain a City of South Gate business license before performing any Work under this Agreement.

CONTRACTOR MUST PAY PREVAILING WAGES TO ITS EMPLOYEES. This Agreement is a public works contract. As such, pursuant to regulations established by the California Department of Industrial Relations and codified at 8 CCR §§ 16000 and 16001(f), Contractor's performance hereunder is subject to Contractor's compliance with prevailing wage rate payment requirements under California Labor Code § 1771. 2 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 96 Contract No. 2020-09-CC
Contractor must pay "prevailing wages" to all personnel employed by Contractor who perform any portion of the Work. Information regarding prevailing wage determinations can be found on the Department of Iridustrial Relations' web site at http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm. It is Contractor's responsibility to interpret and implement any prevailing wage requirements. Contractor agrees to pay any penalty or civil damages resulting from a violation of prevailing wage laws with respect to this Agreement. The City advises Contractor to familiarize itself with those laws, including without limitation those set forth at California Labor Code §§ 1720 through 1861, inclusive.

8. PERFORMANCE STANDARDS AND REQUIREMENTS. Contractor shall perform and complete the Work promptly, diligently, and in a manner satisfactory to the City.

Contractor shall furnish all equipment, tools, materials, labor and other services necessary to fully and adequately perform the Work, and shall pay all applicable fees and expenses associated therewith. Contractor and its subcontractors shall perform all acts required to complete the Work under this Agreement (i) in a skillful and workmanlike manner, (ii) consistent with the standards generally recognized as being employed by other maintenance companies in the State of California, and (iii) in accordance with all federal state and local laws, regulations and ordinances applicable to the operation of Contractor's business and to its performance of the Work under this Agreement.

Contractor warrants that (a) all of its employees and subcontractors shall have sufficient skills and experience to perform those portions of the Work assigned to them, (b) they shall have all licerises, permits, qualifications and approvals of whatever nature that are legally required to perform the Work, arid (c) such licenses, permits, qualifications and approvals shall be maintained throughout the Term of this Agreement.

9. INDEPENDENT CONTRACTOR. In performing its duties hereunder, Contractor shall at all times act as an independent contractor. Contractor shall complete the services required of it hereunder according to its own means and methods of work, which shall be in the exclusive charge and control of Contractor and riot subject to the control or supervision of the City except as to the results of the work and except as otherwise specifically set forth in this Agreement. In no event shall Contractor have any authority or power under this Agreement to incur any debt, obligation or liability on behalf of the City. Neither Contractor nor its employees are employees of the City, and nothing in this Agreement shall render Contractor an employee, partner, agent of, or joint venturer with the City for any purpose. Neither Contractor nor its employees shall represent themselves as employees of the City. Personnel employed or subcoritractors retained by Contractor shall not acquire any rights or status regarding the City. Neither Contractor nor its employees shall have any claim against the City hereunder or otherwise for salary, vacation pay, sick leave, retirement benefits, social security, worker's compensation, health or disability benefits, urxemployment insurance benefits, or employee benefits of any kind. Contractor is responsible for complying with all obligations of an employer imposed under federal or state law. The City shall not withhold Social Security and Medicare taxes from any payments made to Contractor hereunder, nor shall the City make any such payments on Contractor's behalf. The City shall not make state or federal unemploymerit contributions on Contractor's behalf or withhold state or federal income 3 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 97 Contract No. 2020-09-CC
tax from Contractor's payments hereunder. Contractor shall pay all applicable taxes related to the performance of services under this Agreement including all federal, state or local income, Social Security, Medicare, and self-employment taxes. Contractor will also pay all unemployment contributions for its employees related to the performance of services under this Agreement. Neither Contractor nor its employees or contractors are eligible to participate in any employee, pension, health, vacation pay, sick pay or other fringe benefit plan of the City. Contractor shall complete and submit to the City an IRS Form W-9 and acknowledges that the City will issue to Contractor an IRS Fomi 1099 for non-employee compensation for all payments for the Work rendered hereunder.

Contractor agrees to indemnify and hold the City harmless from and against any and all liability arising from any failure of Contractor to pay any income or other tax when due on account of the compensation paid to Contractor by the City hereunder (and Contractor's obligation to indemnify the City under this Section 9 shall survive the expiration or sooner termination of this Agreement).

10. NON-DISCRIMINATION AND EQUAL EMPLOYMENT OPPORTUNITY. In the performance of this Agreement, Contractor shall not discriminate against any employee, subcontractor, or applicant for employment because of race, creed, gender, gender identity (including gender expression), color, religion, ancestry, sexual orientation, national origin, disability, age, marital status, family/parental status, or veteran/milita7 status, in the performance of its services and duties pursuant to this Agreement and will comply with all applicable laws, ordinances and codes of the Federal, State, and County and City governments. Consultant will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment without regard to their race, color, religion, ancestry, sex, national origin, handicap or age. Contractor will take affirmative action to ensure that all employment practices, including those of any subcontractors retained by Contractor to perform services under this Agreement, are free from such discrimination. Such employment practices include but are not limited to hiring, upgrading, demotion, transfer, recruitment, recruitment advertising, layoff, termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. Contractor shall include the foregoing non-discrimination provisions in all solicitations or advertisements placed by or on behalf of Contractor for personnel or subcontractors to perform any services under this Agreement, Upon written request, the City shall have right to inspect and have access to all of Contractor's (and its subcontractors') documents, data and books and records for purposes of determining compliance with the equal employment opportunity and non-discrimination provisions of this Section 10. Contractor agrees that all applicable provisions of Executive Order No. 11246 shall be incorporated into this Agreement by this reference. A copy of Executive Order No. 11246 is available to Contractor for inspection and on file with the City's Public Works Department.

11. CONTRACTOR'S REPRESENTATIONS AND WARRANTIES. In addition to the other representations and warranties set forth elsewhere in this Agreement, Contractor hereby represents and warrants to the City as follows:

11.1 Familiarity with Work. Contractor has thoroughly investigated and considered the scope of services to be performed hereunder, has carefully considered how 4 Agreementfor On-Call Municipal Water andSewer Systems Maintenance 98 Contract No. 2020-09-CC
that Work should be performed, and understands the circumstances which may restrict or otherwise impact Contractor's performance of the Work under this Agreement.

11.2 Site Inspection. Contractor has visited each of the City Facilities where the Work is to be performed and is fully acquainted with the conditions existing at such sites.

11.3 No Solicitation. Contractor has not employed or retained any person or entity, other than a bona fide employee working exclusively for Contractor, to solicit or obtain this Agreement.

11.4 No Fees, Commissions, Gifts or Other Consideration. Contractor has not paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Contractor, any fee, commission, percentage, gift, or any other consideration contingent upon or resulting from the execution of this Agreement.

Upon such breach or violation of this warranty, the City shall have the right, in its sole discretion, to terminate this Agreement without further liability, or, in the alternative, to deduct from any sums payable hereunder the fiill amount or value of any such fee, commission, percentage or gift.

11.5 No Conflict of Interest by City. Contractor has no knowledge that any officer or employee of the City has any interest, whether contractual, non-contractual, financial, proprietary, or otherwise, in this transaction or in the business of Contractor, and that if any such interest comes to the knowledge of Contractor at any time, a complete written disclosure of such interest will be made to the City, even if such interest would not be deemed a prohibited "conflict of interest" under applicable laws.

11.6 No Conflict of Interest by Contractor. Upon execution of this Agreement, Contractor has no interest, direct or indirect, in any transaction or business entity which would conflict with or in any manner hinder the perfortnance of Work required by this Agreement, nor shall any such interest be acquired during the Term of this Agreement.

12. NON-EXCLUSIVITY. The City does not warrant to contract-exclusivity with a single contractor to perform the type of maintenance services which Contractor is performing under this Agreement. As such, Contractor may not be the only company providing maintenance services to the City. The City reserves the right to enter into similar contracts with third parties for maintenance services in areas of the City other than the City Facilities identified in Exhibit "A" which are the subject of this Agreement.

13. NO ASSIGNMENT. Contractor shall not assign, delegate, or subcontract or assign its duties or rights hereunder, either in whole or in part, without the prior written consent of the Director, which may be granted, conditioned or withheld by the Director in his sole and absolute discretion. This prohibition shall not apply to subcontracts and subcontractors identified by Contractor to the City in connection with any formal bid 5 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 99 Contract No. 2020-09-CC
docutnents submitted by Contractor to the City in connection with the City's award of this Agreement to Contractor. Any proposed delegation, assignment or subcontract shall provide a descriptiori of the services to be covered, identification of the proposed assignee, delegatee or subcontractor, and an explanation of why and how the same was selected, including the degree of competition involved. Any proposed agreement with an assignee, delegatee or subcontractor shall include both (a) the amount involved, together with Contractor's such cost or price; and (b) a provision requiring that any subsequent modification or amendment shall be subject to the City's prior written consent. Any assignment, delegation or subcontract shall be made in the name of Contractor and shall not bind or purport to bind the City and shall not release Contractor from any obligation under this Agreement including, but not limited to, the duty to properly supervise and coordinate the work of employees, assignees, delegatees and subcontractors. No such assignment, delegation or subcontract shall result in any increase in the amount of total compensation payable to Contractor under this Agreement.

14. PUBLIC EMPLOYEES RETIREMENT SYSTEM. Notwithstanding any other local, state or federal policy, nile, regulation, law or ordinance to the contrary, neither Contractor nor any of its employees, agents or subcontractors shall qualify for or become entitled to - and each hereby agrees to waive any claims to - any compensation, benefit or incident of employment by the City, including but not limited to eligibility to entoll in the California Public Employees Retirement System ("PERS") as an employee of the City and entitlement to any contribution to be paid by the City for employer contribution and/or employee contributions for PERS benefits. Without limiting the generality of Section 19 below, if Contractor or any employee, agent or subcontractor of Contractor claims (or is determined by a court of competent jurisdiction or by PERS) to be eligible for enrollment in PERS as an employee of the City, then Contractor shall indemnify, defend (using counsel acceptable to the City) and hold harmless the City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Contractor or its employees, agents or subcontractors, as well as for the payment of any penalties and interest on such contributions which would otherwise be the responsibility of the City.

15. INSURANCE. During the Term of this Agreement, Contractor shall at its expense maintain in full force and effect policies of insurance as required by Sections 15.2, 15.3 and 15.4 below and also, if required by the City, policies of insurance as required by Section 15. 1 below:

15.1 Property Damage/Casualty Insurance. Depending on the nature of the City Facilities which are the subject of this Agreement, the City may require a policy or policies of insurance covering loss or damage thereto, in amounts deemed necessary by the City to cover the full replacement cost of those City Facilities.

Said insurance shall provide protection against all perils typically included within the classifications of "all-risk", "fire legal liability", and "personal injury" lnSuranCe.

15.2 Liability Insurance. Liability, bodily injury, personal injury and property damage insurance with a combined single limit of One Million Dollars 6 Agreement for On-Call Mumcipal Water and Sewer Systems Maintenance 100
Contract No. 2020-09-CC
($1,000,000.00) per occurrence and Two Million Dollars ($2,000,000.00) in the annual aggregate, insuring against any and all liability of the insured with respect to the Contractor's performance of (or failure to perform) its obligations under this Agreement. Each such policy shall be in the form of an Insurance Services Office ("ISO") Commercial General Liability Insurance policy, an ISO Comprehensive General Liability Insurance policy with Broad Form General Liability endorsement, or in any similar, commercially reasonable form. Without limiting the scope of coverage to be provided thereby, all such insurance shall specifically insure Contractor's performance of the indemnity provisions contained in Section 19 below as to liability for injury to or death of persons and injury or damage to property,

15.3 Worker's Compensation Insurance. Workers' Compensation Insurance as required by California law. This insurance must include (in the policy itself or by endorsement) a Waiver of the Right of Subrogation for General Liability against the City.

15.4 Automobile Liability Insurance. Automobile Liability Insurance, including owned, non-owned and hired vehicles, with at least the following limits of liability: (a) Primary Bodily Injury with limits of at least $1,000,000 per person, $2,000,000 per occurrence, and (b) Primary Property Damage of at least $1,000,000 per occurrence.

15.5 Qualificahons of Insurers. Each policy shall be issued by an insurance company having a "Best's Rating" of at least A and having a "Financial Size Categories" rating of at least VIII in the most current edition of "Best's Insurance Reports" issued by A,M. Best Company. In addition, each policy shall be issued by an "admitted" insurance company (i.e., one that is qualified and licensed to do business in the State of California).

15.6 City to be Named as Additional Insured Party. All policies (other than worker's compensation insurance policies) must include an Additional Insured Endorsement (CG 20 10 11 85) naming the City and its agents as an additional insured on the applicable insurance coverage with respect to the City's and its agent's interests under this Agreement.

15.7 Primary Insurance. Insurance obtained pursuant to this Section 15 shall be primary insurance, and other insurance (if any) maintained by the City shall be excess of Contractor's insurance and shall not contribute with the insurance required hereunder.

15.8 Blanket Policies. Any or all policies to be obtained by Contractor hereunder may, at Contractor's option, be provided under a separate policy covering only the items and matters to be insured under this Agreement, or included in one or more blanket policies covering not only those items and matters but also additional property and matters owned or otherwise insured by Contractor. All such 7 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 101
Contract No. 2020-09-CC
combined or blanket policies must, however, comply with each and every provision of this Section 15.

15.9 Restrictions on Cancellation and Reduction. Each insurance policy required hereunder shall specif5r that the insurance company issuing the policy will give the City at least thirty (30) days' written notice prior to the effective date of (a) any cancellation, internuption or lapse of coverage, and (b) any reduction in the amount, type or extent of coverage.

15.10 Waivers of Subrogation. The parties release each other from any claims for damage to any person or property, and to the fixtures, personal property, improvements, and alterations thereon, that are caused by or result from risks insured against under any insurance policies carried by Contractor and in force at the time of any such damage. Furthermore, each insurance policy obtained hereunder shall provide that the issuing insurance company waives all rights of recovery by way of subrogation.

15.11 Verification of Coverage. Prior to or concurrent with Contractor's execution and delivery of this Agreement, and not later than thirty (30) days prior to the expiration of any insurance policy carried hereunder (with respect to policies which will replace said expiring policies during the Term of this Agreement), Contractor shall deliver to the City original certificates of insurance and amendatory endorsements evidencing and effecting insurance coverage required hereunder. All such certificates and any endorsements pertaining to the insurance coverage required hereunder shall be signed by a person authorized by the insurer to bind coverage on the insurer's behalf, and shall be on forms provided or approved by the City. In no event shall Contractor commence any construction, demolition, grading or other work relative to the Improvements until all evidences of insurance coverage required under this paragraph have been delivered to the City as required hereby. The City shall have the right, at any and all times, to require Contractor to provide the City with complete copies of any and all policies of insurance that Contractor is required to maintain hereunder, and Contractor shall deliver such copies to the City not later than ten (10) days following such request.

15.12 Form of Policies. All insurance policies required hereunder shall be in a form acceptable to the City and its agents; and shall include those endorsements which are necessary to extend coverage which is appropriate to the nature of this Agreement.

15.13 Policy Limits Do Not Limit Contractor's Liability. The minimum limits of policies of insurance required of Contractor under this Agreement shall in no event limit Contractor's liability under this Agreement.

16. TERMINATION FOR CONVENIENCE. The City may terminate this Agreement at any time, with or without cause, upon sending a written notice of termination to Contractor (the "Termination Notice") that specifies a termination date (the "Early 8 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 102
Contract No. 2020-09-CC
Termination Date") at least thirty (30) days after the date of the Termination Notice.

Upon receipt of the Termination Notice, Contractor shall acknowledge receipt to the City in writing and take all steps necessary to cease all Work in a reasonable and orderly manner by no later than the Early Termination Date; provided, however, that any Work performed after the Early Termination Date that is reasonably necessary to terminate the Work in an orderly manner must be specifically authorized in writing by the Director prior to its performance and prior to the Early Termination Date. Upon termination by the City, Contractor shall be paid or reimbursed for all Work performed by Contractor under the Agreement up to the Early Termination Date (less all payments previously made), plus ten percent (10%) of the balance that would othemise be due to Contractor during the remaining Term of this Agreement as reimbursement for profits lost to Contractor by virtue of the City's early termination of this Agreement. In no event shall any amounts paid or reimbursed upon termination of this Agreement exceed the total maximum compensation Specified in Section 2 above.

17. NOTICE OF DEFAULT AND TERMINATION FOR CAUSF,. If the City delivers written notice to Contractor notifying Contractor that it is in default of one or more of its obligations under this Agreement, specifying the nature of the default, and stating what steps Contractor must take to cure the default ("Default Notice"), and if such default remains uncured within ten (10) days following the City's delivery of the Default Notice, then the City may at any time thereafter immediately terminate this Agreement upon written notice to Contractor. Upon such termination, the City shall pay Contractor an amount equal to the value of the Work satisfactorily performed hereunder as of the date of the Default Notice; provided, however, that the City retains all rights to recover damages incurred by the City as a result of Contractor's default, including without limitation the right of offset against amounts otherwise due to Contractor hereunder, and the rights specified in Section 18 below. Contractor shall have no right to any reimbursement for profit or lost profit. Following such termination, the City may procure, upon such terms and in such manner as the City deems appropriate, maintenance services similar to those terminated hereunder. If, after notice of termination of this Agreement under the provisions of this Section 17, the City determines, for any reason, that Contractor was not in default hereunder, or that such default had been cured, then the rights and obligations of the City and Contractor shall be the same as if the notice of termination had been a termination for convenience issued pursuant to Section 16 above.

18. CITY'S REMEDJES FOR CONTRACTOR'S FAILURE TO PERFORM. Upon Contractor's default of any of its obligations hereunder, and at any time after any such default, the City may take any one or more of the following actions:

18.1 Forfeihire of Bond/Negotiation of Security. The City may cause to be forfeited to the City all or a portion of any security given for the faithful performance of Contractor's obligations, and may further cause to be negotiated any insttaument of credit deposited with and assigned to the City in such amount as may be required to complete the Improvement work.

18.2 Performance by City at Contractor's Expense. Upon Contractor's default, the City may make written demand upon Contractor, or Contractor's surety (if any), 9 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 103
Contract No. 2020-09-CC
or both, to immediately remedy the default and complete the Work. If the required Work is not substantially commenced with in ten (10) days after the City's delivery of that written demand, or if it is not thereafter diligently prosecuted to a completion acceptable to the City within the timeframe set forth in the City's written demand, then without limiting any other remedy available to the City, the City may complete (or arrange for the completion of) all remaining Work and/or conduct such other remedial activity as in its sole and absolute discretion it believes is necessary or advisable. All such Work or remedial activity shall be at the sole and absolute expense and obligation of Contractor (and its surety, if any) without the necessity of giving any further notice to Contractor or its surety. The City's right to take such actions shall in no way be limited by the fact that the Contractor or its surety may have commenced or completed any of the required Work at the time of the City's demand for perfomance. If the City elects to complete (or arrange for completion of) the remaining Work, then the City may require all Work by the Contractor and/or its surety to cease in order to permit adequate coordination and completion by the City or its designee of the remaining Work.

18.3 Issuance of Cease and Desist Order. The City may issue a cease and desist order by delivering written notice to Contractor demanding that Contractor immediately discontinue any actions specified in that written notice. Contractor agrees to immediately comply with any such cease and desist order.

18.4 Injunctive Relief. The City shall have the right to apply for and obtain temporary and/or permanent injunctive relief or other equitable relief from a court of competent jurisdiction to enforce its rights and Contractor's obligations created by this Agreement, including without limitation relief in the form of a temporary restraining order and/or permanent injunction restraining Contractor from committing or continuing to commit any breach or threatened breach of this Agreement. The City shall have the right to seek such relief without showing or proving any actual damage sustained by the City, and without posting bond or other security. In connection with the City's right to apply for the injunctive relief which is the subject of this Section 18.4, Contractor hereby acknowledges that Contractor's breach of its obligations hereunder will cause irreparable harm and injury to the City if such breach continues unabated following the City's request for injunctive relief.

18.5 0ther Relief. The City may seek any other remedies or relief, and take any other actions, available to the City under this Agreement, at law, or in equity.

19. INDEMNIFICATION AND DEFENSE. Contractor and its sureties (if any) shall indemnify and hold harmless City and/or any other City agency, including other employees, officers and representatives, for/from any and all claims or actions of any kind asserted against City and/or any other City agency arising out of Consultant's (including Consultant's employees, representatives, products and subcontractors) negligent performance under this Agreement, excepting only such claims or actions which may arise out of sole or active negligence of City and/or any other City agency, or 10 Agreement for On-Call Municipal Water and Seurer Systems Maintenance 20 104
Contract No. 2020-09-CC
any third parties not acting on behalf of, at the direction of, or under the control of Consultant.

20. MISCELLANEOUS.

20.1 Notices. All written notices required to be given pursuant to the terms hereof shall be either (a) personally delivered, (b) deposited in the United States express mail or first class mail, registered or certified, return receipt requested, postage prepaid, (c) delivered by overnight courier service, or (d) delivered by facsimile or e-mail transmission, provided that the original of such facsimile notice, or a copy of such e-mail notice, is sent by certified U.S. mail, postage prepaid, no later than one business day following such facsimile or e-mail transmission. All such notices shall be deemed delivered upon actual receipt (or upon the first attempt at delivery pursuant to the methods specified in clauses (a), (b) or (c) above if the intended recipient refuses to accept delivery). All such notices shall be delivered to the following addresses, or to such other address as the receiving party may from time to time speci:fy by written notice to the other party:

To the City:

City of South Gate
8650 California Avenue
South Gate, California 90280
Attention: Arturo Cervantes
Asst. City Manager/Dir. of Public Works
Telephone No.: (323) 563-9512
FaxNo.: (323) 563-9572
E-mail: [email protected],
City of South Gate
8650 California Avenue
South Gate, California 90280
Attention: Carmen Avalos
City Clerk
TelephoneNo.: (323) 563-9511
Fax No.: (323) 563-5411
E-mail: [email protected]
To Contractor:

W.A. Rasic Cons'huction Company, Inc.
4150 Long Beach Blvd.

Long Beach, California 90807
Attn: Peter L. Rasic
Title President
TelephoneNo.: (562)928-6111
Fax No.: (562) 928-7339
E-mail: [email protected]
With a copy (which shall not constitute notice)
to:

Raul F. Salinas, Esq.

Craig D. Hardwick, Esq.

Alvarado Smith
l MacArthur Place, Suite 200
Santa Ana, California 92707
TelephoneNo.: (714) 852-6800
Fax No.: (714) 852-6899
E-mail: [email protected]
11 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 105
Contract No. 2020-09-CC

20.2 Time. Time is of the essence of every provision contained in this Agreement.

20.3 Incorporation of Recitals and Exhibits. All of the recitals set forth in this Agreement, and all of the exhibits attached to this Agreement, are by this reference incorporated in and made a part of this Agreement as though fully set forth herein.

20.4 Successors and Assigns. Without limiting the generality of Section 13 above, this Agreement shall inure to the benefit of and be binding upon the parties hereto and their successors and assigns.

20.5 Force Majeure. Neither party hereto shall be considered in default in the performance of its obligations hereunder to the extent that the performance of any such obligation is prevented or delayed by any cause which is beyond the reasonable control of such party, provided that (a) the party affected gives written notice to the other of the cause and anticipated duration of the delay within three (3) days after the delay commences, and (b) this paragraph shall not extend either party's time for perfomiance by more than thirty (30) days, regardless of the cause of the delay.

20.6 Construction. The parties acknowledge that each party and its counsel have reviewed and revised this Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or any amendments hereto.

20.7 Governing Law. This Agreement shall be consttued and interpreted in accordance with and shall be governed and enforced in all respects according to the laws of the State of California, without regard to conflicts of laws principles.

20.8 Consent to Jurisdiction and Service of Process. All judicial proceedings brought against any party hereto arising out of or relating to this Agreement may be brought in any state or federal court of competent jurisdiction in the County of Los Angeles, State of California, and by execution and delivery of this Agreement each party accepts for itself and in connection with its properties, generally and unconditionally, the exclusive jurisdiction of the aforesaid courts (both personal jurisdiction and subject matter jurisdiction), waives any defense of forum non conveniens and irrevocably agrees to be bound by any judgment rendered thereby in connection with this Agreement. Each party hereby agrees that service of all process in any such proceeding in any such court may be made by registered or certified mail, return receipt requested, to any other party at its address provided herein, such service being hereby acknowledged by each party to be sufficient for personal jurisdiction in any action against said party in any such court and to be otherwise effective and binding service in every respect. Nothing herein shall affect the right to serve process in any other manner permitted by law. 12 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 22 106
Contract No. 2020-09-CC

20.9 Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original but all of which shall constitute one and the satne instrument. In addition, this Agreement may contain more than one counterpart of the signature page and may be executed by the affixing of the signatures of each of the parties to any one of such counterpart signature pages; all of such counterpart signature pages shall read as though one and they shall have the same force and effect as though all of the signers had signed a single signature page,

20.10 Entire Agreement. This Agreement, the Plans and Specifications, and the municipal codes and other laws cited in this Agreement, together contain the entire understanding of the parties and supersede any and all other written or oral understanding. No alteration of or amendment to this Agreement shall be effective unless given in writing and signed by the party or parties sought to be charged or bound by the alteration or amendment.

20.11 Captions. Any captions or headings to the Sections and subsections in this Agreement are solely for the convenience of the parties hereto, are not a part of this Agreement, and shall not be used for the interpretation or determination of validity of this Agreement or any provision hereof.

20.12 Severability. If any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision hereof, and this Agreement shall be construed as if such invalid, illegal, or unenforceable term or provision had never been contained herein.

20.13 Further Assurances. Each party shall cooperate with the other and shall execute such other documents as may be reasonably necessary to carry out the provisions of this Agreement.

20.14 No Waiver. Any waiver, consent or approval by either party of any breach, default or event of default of any provision, condition or covenant of this Agreement must be in writing and shall be effective only to the extent set forth in writing. No waiver of any breach, default or event of default shall be deemed a waiver of any later breach, default or event of default of the same or any other provision of this Agreement. Any failure or delay on the part of either party in exercising any power, right or privilege under this Agreement shall not operate as a waiver thereof, nor shall any single or partial exercise of any such power, right or privilege preclude any further exercise thereof.

20.15 Rights and Remedies. No right or remedy conferred by any of the specific provisions of this Agreement is intended to be exclusive of any other right or remedy given hereunder or hereafter existing at law or in equity. The exercise of any one or more rights or the election of any one or more remedies by any party shall not constitute a waiver of the right to exercise other available rights or pursue other available remedies.
13 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 23 107
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20.16 Joint and Several Liability. If Contractor constitutes more than one person or entity, then the obligations of each such person or entity shall be joint and several.

20.17 No Third-Party Beneficiaries. The parties hereto acknowledge and agree that no provision in this Agreement may be enforced by any third party.

20.18 Patriot Act Compliance. Contractor represents, warrants and covenants that neither Contractor nor any of its shareholders, officers, directors, members, managers or partners (i) is listed on the Specially Designated Nationals and Blocked Persons List maintained by the Office of Foreign Asset Control, Department of the Treasury ("OFAC") pursuant to Executive Order No. 13224, 66 Fed. Reg. 49079 (Sept. 25, 2001) ("Order") and all applicable provisions of Title III of the USA Patriot Act (Public Law No. 107-56 (October 26, 2001)); (ii) is listed on the Denied Persons List and Entity List maintained by the United States Department of Cornrnerce; (iii) is listed on the List of Terrorists and List of Disbarred Parties maintained by the United States Department of State, (iv) is listed on any list or qualification of "Designated Nationals" as defined in the Cuban Assets Control Regulations 31 C.F.R. Part 515; (v) is listed on any other publicly available list of terrorists, terrorist organizations or narcotics traffickers maintained by the United States Department of State, the United States Department of Commerce or any other governrnental authority or pursuant to the Order, the rules and regulations of OFAC (including without limitation the Trading with the Enemy Act, 50 U.S.C. App. 1-44; the International Emergency Economic Powers Act, 50 u.s.c. §§ 1701-06; the unrepealed provision of the Iraq Sanctions Act, Publ.L. No. 101-513; the United Nations Participation Act, 22 U.S.C. § 2349 aa-9; The Cuban Democracy Act, 22 U.S.C. §§ 60-01-10; The Cuban Liberty and Democratic Solidarity Act, 18.U.S.C. §§ 2332d and 233; and The Foreign Narcotic Kingpin Designation Act, Publ. L. No. 106-120 and 107- 108, all as may be amended from time to time); or any other applicable requirements contained in any enabling legislation or other Executive Orders in respect of the Order (the Order and such other rules, regulations, legislation or orders are collectively called the "Orders"); (vi) is engaged in activities prohibited in the Orders; or (vii) has been convicted, pleaded nolo contendere, indicted, arraigned or custodially detained on charges involving money laundering or predicate crimes to money laundering, drug trafficking, tenorist-related activities or other money laundering predicate crimes or in connection with the Bank Secrecy Act (31 U.S.C. §§ 5311 et. seq.).
[Remainder of page left blank intentionally]
14 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 24 108
Contract No. 2020-09-CC

20.19 City Council Approval Required for Effectiveness of Agreement.

Notwithstanding any earlier execution of this Agreement by any officer, employee or representative of the City, this Agreement shall not be binding upon or enforceable against the City unless and until it has been approved or ratified by the City Council of the City at a public meeting noticed and conducted in accordance with applicable provisions of the California Government Code.

IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed and attested by their respective officers thereunto duly authorized.

CITY OF SOUTH GATE:

M['7Bel6n Bernal, Mayor
Dated: 17///lozo
ATTEST:

By: C
Carmen Avalos, City Cl
(SEAL)
APPROVED AS TO FORM:

By:

F. Salinas, City Attorney
W. A. RASIC CONSTRUCTION
COMPANY, INC.:

B)7:

Peter L. Rasic, President
Dated:
15 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 25 109
Contract No. 2020-09-CC

20.19 City Council Approval Required for Effectiveness of Agreement.

Notwithstanding any earlier execution of this Agreement by any officer, employee or representative of the City, this Agreement shall not be binding upon or erforceable against the City unless and until it has been approved or ratified by the City Council of the City at a public meeting noticed and conducted in accordance with applicable provisions of the Califomia Govemment Code.

IN WITNESS WHF,REOF, the Parties hereto have caused this Agreement to be executed and attested by their respective officers thereunto duly authorized.

CITY OF SOUTH GATE:

M. Bel6n Bernal, Mayor
Dated:

ATTEST:

B7:

Camien Avalos, City Clerk
(SEAI)
APPROVED AS FORM:

R}ul F. Salinas, City Attorney
W. A. RAStC CONSTRUCTION
COMPANY, INC.:

Peter L. Rasic, President
15 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 26 110
Contract No. 2020-09-CC
Exhibit "A"
Cost Proposal
A detailed description of the compensation payable to Contractor hereunder, including unit prices, monthly payments, and/or other information, conditions and limitations, is set forth on the Cost Proposal which is attached following this Exhibit "A" cover page. 16 Agreement for On-Call Municipal Water and Sewer Systems Maintenance 27 111
CITY MANASER'S OFFICE Item No. 6
NOV 01 2022
I:aDw- Ciffl of South Gate

CITY COUNCIL

AGENDA BILL
For the Special Meeting of: November 10, 2022
SUBJECT: AMENDMENT N0. 5 TO CONTRACT N0. 2020-22-AC WITH CLIENTFIRST

TECHNOLOGY CONSULTING, FOR CONTINUED IT PROJECT MANAGEMENT SERVICES PURPOSE: ToapproveAmendmentNo.5toContractNo.2020-22-AC("AntendmentNo.5")witliClientFirst Technology Consulting ("ClientFirst"), for continued project management services related to the initial implementation of the Technology Master Plan ("TMP").

RECOMMENDED ACTIONS: The City Council will consider:
a. Approving Amendment No. 5 to Contract No. 2020-22-AC with ClientFirst Technology Consulting, retroactively effective October 1, 2021 tluaougli June 30, 2023, for continued project management services for the implementation of the Teclinology Master Plan in an amount not-to-exceed $62,580; b. Authorizing the Mayor to execute Amendment No. 5 in a foim acceptable to the City Attorney.

FISCAL IMPACT: Tlie cost of Amendment No. 5 is included in tlie Fiscal Year 2022/23 Municipal Budget and will be funded with ARPA funds in account 268-310-12-6101.

AI,IGNMENT WITH COUNCIL GOALS: The TMP was presented to City Council on January 28, 2020, and the City Council directed staff to move forward witli the implementatioi'i of specific initiatives included in the TMP. The TMP includes a series of achievable projects and initiatives recommended for implementation over a six-year period that are appropriately aligned with tlie City Council and staff's goals and objectives.

ANALYSIS: City staff relies heavily on technology to accomplish many of their daily tasks. The public relies on technology to interact with staff, to pay for City services, and to get information about what is happening in the City. As with most assets, if you do not invest in the proper maintenance and repairs, the technology infrastructure will soon fall into disrepair and ultimately fail. To avoid getting to that point, on January 28, 2020, the City Council accepted staff's proposed TMP.

Amendment No. 5 will allow ClientFirst to continue providing the City with teclinology consulting services focused on improving cybersecurity readiness, updating systems to improve public safety readiness, and expanding systems resiliency. This engagement will coordinate the implementation of several significant initiatives that will improve system availability, IT security, and provide additional flexibility to staff as oritlined in tlie following section.

Additionally, Staff will be including several initiatives from the six-year TMP in the FY 2022-2023 Proposed Budget. These initiatives will continue the City's efforts in improving its IT systems and infrastructure to serve both the internal needs of the departments and, as a result, provide residents and businesses of South Gate with improved access to City services.
1 112
BACKGROUND: Technology is key to providing excellent customer service for our residerits and businesses in South Gate. Over the last few years, citizens have been requesting the ability to handle more transactions online, have more efficient interactions with City staff, and greater transparency. To respond to the growing demand for technology enhancements, it is imperative that technology projects and purcliases going forward focus on standardization, integration, and consolidation to improve the efficiency and effectiveness of delivering municipal services. To that end, the six-year TMP was developed. The proposed Amendment No. 5 will assist staff in continuing tlie progress that has been made to date on tlie TMP initiatives.

Amendment No. 5 is needed so ClientFirst, the City's TMP Consultant, can continue to assist staff with overall project management of t}ie TMP througli June 30, 2023. Contract No. 2020-22-AC was approved under tlie City Manager's aritliority, Amendment No. 1 was approved by tl'ie City Council on May 26, 2020, Amendment No. 2 was approved by tlie City Coui'icil on November 10, 2020, Amendment No. 3 was approved by the City Council on July 13, 2021 and Amendment No. 4 was approved by the City Council on July 12, 2022.

Amendment No. 5 will bring tlie total cost of the Agreement to $410,200, as sl'iown below.

Contract with ClientFirst Date Approved Term Ending Amount Contract Total Contract No. 2020-22-AC March 2, 2020 July 2, 2020 $48,380 $48,380 Amendment No. 1 May 26, 2020 September 30, 2020 $62,390 $110,770 Amendment No. 2 November 10, 2020 June 30, 2021 $88,450 $199,220 Amendment No. 3 July 13, 2021 March 31, 2022 $99,625 $298,845 Amendment No. 4 July 12, 2022 September 30, 2022 $48,775 $347,620 Amendment No. 5 Pending June 30, 2022 $62,580 $410,200 The City Council may recall tliat the approved TMP calls for the hiring of a full-time Infoimation Technology Manager to oversee the day-to-day operations of the Information Systei'ns Division and to iinplei'nent the 82 initiatives in the TMP. Since the City has not yet received authorization to hire an Infoimation Technology Manager, the services of ClientFirst are needed to assist staff with the implementation of the TMP initiatives.

Services to be provided by ClientFirst for active projects include the following:
* Meet with the City's IT Team once a week and review all active projects and next steps * Final implementation of telephone system replacement project * Multi-Factor Autl'ientication for Office 365 and other remote access methods * Mobile Device Management for laptops, tablets, and smartphones * Development and testing of a cybersecurity incident response plan For tlie projects listed above, ClientFirst coordinates vendor quotes, develops RFPs, and works with tlie City's IT and Purchasing staff on procurement of equipment and services.

In summary, ClientFirst provides project management and teclinical expertise for tlie implementation of TMP projects and resolution of critical IT system failures, as well as, provides additional resources to replace aging equipment, improves cybersecurity and public safety readiness, coordinates priorities and moves IT forward in the City.

ATTACHMENT: Proposed Amendment No. 5 to Contract No. 2020-22-AC 2 113
AMENDMENT N0. 5 TO CONTRACT N0. 2020-22-AC FOR

CONTINUED IT PPROJECT MANAGEMENT SERVICES BETWEEN

THE CITY OF SOUTH GATE AND CLIENTFIRST TECHNOLOGY

CONSULTING
This Amendment No. 5 to Contract No. 2020-22-AC for IT Project Management Services ("Amendment No. 5") is made and entered into on November 10, 2022, by and between the City of South Gate, a municipal corporation ("City"), and ClientFirst Technology Consulting, a California limited liability corporation ("Consultant"). City and Consultant are sometimes hereinafter referred to as a "Party" and collectively referred to a "Parties."

RECITALS
WHEREAS, on March 2, 2020, City and Consultant executed Contract No. 2020-22-AC for Professional Services with ClientFirst Technology Consulting ("Agreement"), to provide IT Project Management Services, through and including July 2, 2020, in an amount not to exceed Forty-Eight Thousand Three Hundred Eighty Dollars ($48,380) (Exhibit "B"); WHEREAS, on May 26, 2020, City and Consultant executed Amendment No. l to Contract No. 2020-22-AC for Professional Services with ClientFirst Technology Consulting ("Agreement"), to provide continued IT Project Management Services, through and including September 30, 2020, in an amount not to exceed Sixty-Two Thousand Three Hundred Ninety Dollars ($62,390) (Exhibit "C");
WHEREAS, on November 10, 2020, City and Consultant executed Amendment No. 2 to Contract No. 2020-22-AC for Professional Services with ClientFirst Technology Consulting ("Agreement"), to provide continued IT Project Management Services, through and including June 30, 2021, in an amormt not to exceed Eighty-Eight Thousand Four Hundred Fifty Dollars ($88,450) (Exhibit "D");
WHEREAS, on July 31, 2021, City and Consultant executed Amendment No. 3 to Contract No. 2020-22-AC for Professional Services with ClientFirst Technology Consulting ("Agreement"), to provide continued IT Project Management Services, through and including March 30, 2022, in an amorint not to exceed Ninety-Nine Thorisand Six Hundred Twenty-Five Dollars ($99,625) (Exhibit "E");
WHEREAS, on July 12, 2022, City and Consultant executed Amendment No. 4 to Contract No. 2020-22-AC for Professional Services with ClientFirst Tecffiology Consulting ("Agreement"), to provide continued IT Project Management Services, through and including September 30, 2022, in an amorint not to exceed Forty-Eight Thousand Seven Hundred Seventy- Five Dollars ($48,775) (Exhibit "F"); and
WHEREAS, City and Consultant desire to execute Amendment No. 5 to provide continued IT Project Management Services, throrigh and including June 30, 2023, in an amount not to exceed Sixty-Two Thousand Five Hundred Eighty Dollars ($62,580), under the terms and conditions of the Agreement, Amendment No. 1, Amendment No. 2, Amendment No. 3, 3 114
Amendment No. 5 to
Contract No. 2020-22-AC
Amendment No. 4, and Amendment No. 5 bringing the aggregate total of the Agreement, Amendment No. 1, Amendment No. 2, Amendment No. 3, Amendment No. 4, and Amendment No. 5 to the sum of Four Hundred Ten Thousand Two Hundred Dollars ($410,200).

NOW, THEREFORE, THE PARTIES HEREBY AGREE AS FOLLOWS:

MODIFICATION TO AGREEMENT

1.O SCOPE OF WORK. Consultant agrees to continue its services and perform the tasks identified in Exhibit "A" and made a part of the Agreement, Amendment No. I, Amendment No. 2, Amendment No. 3, Amendment No. 4, and this Amendment No. 5. The Scope of Work may be amended from time to time by way of a written directive from City.

2.O COMPENSATION. The amount of compensation paid by City to Consultant for the work identified in Exhibit "A" shall not exceed the sum of Sixty-Two Thorisand Five Hundred Eighty Dollars ($62,580). No additional compensation shall be paid for any otlier expenses incurred for tasks identified in Exliibit "A," unless first approved by the Director of Administrative Services. No travel expenses to attend business meetings and/or any other business, otlier than mileage, shall be billed to City.

EFFECT OF AMENDMENT. Except as expressly amended herein, all other terms and conditions of the Agreement and its Amendments, Attachments and Exhibits attached hereto, shall remain in full force. City reserves the right to augment or reduce the scope of work as the City deems necessary.
[The remainder of this page left blank intentionally.]

Page 2 of 3 ends

4 115
Amendment No. 5 to
Contract No. 2020-22-AC
IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed and attested by their respective officers thereunto duly authorized.

CITY OF SOUTH GATE:

B7:

Al Rios, Mayor
ATTESTED:

By:

Yodit Glaze, City Clerk
(SEAL)
APPROVED AS T FORM:
ul F. Salinas, City Attorney

CLIENTFIRST TECHNOLOGY
CONSULTING:

B7:

Tom Jakobsen, Managing Partner

Page 3 of 3 ends

116
Exhibit 8
Contract No. 2020-22-AC
AQRu,F,M'F,NT FOR PROFESSIONAL SERVICES

FOR IT PROJECT MANAGEMENT SERVICF,S
BETWEEN THE CITY OF SOUTH GA'ff,

AND CLIENTFIRST-CONSULTING GROUP
This Agreement for Professional Services for IT Project Management Services ("Agreement") is made and entered into on March 2, 2020, by and between the City of South Gate, a municipal corporation ("City"), and ClientFirst Consulting Group, dba ClientFirst Technology Consulting, a Califoniia limited liability company ("Consultantn). City and Consultant are sometimes hereinafter individually referred to as a "Pmty" and collectively as "Parties,"

RF,CIT ALS
WHEREAS, City desires to retain Consultant for Information Technology (IT) Project Management;
WHEREAS, Consultant warrants to the City that it has the qualifications, experience and facilitiesto perf properly and timely the services under thisAgreernent; and WHEREAS, based On SuCh representation, City desires tO COntraCt w'th the Consultant tO performthe services described inExhibit"A" ofthisAgreement.

NOW, THEREFORE, the Parties hereby agree as follows:

1. SCOPE OF THE CON8ULTANT'S SERVICES. The Consultant agrees to providethe services and perfotm the tasks set forth in the Proposal attached het'eto as Exhibit "A" and made part of this Agreement. The Scope of Work may be amended from time to time by way ofa written directive mutiially agreed to by City andConsultant.

2. TERM OF AGREEMENT. This Agreement w'll become effective on March 2, 2020, and will remain in eff'ect for a period of four (4) months from said date or until project is completed, unless othemise expresslyextended and agreedto byboth Partiesortemiinated by eitherparty asprovidedherein,

3. CITY AGENT. The Director of Administrative Services, for the purposes of this Agreement, is the agent for the City. Whenever approval or authorization is required, Consultant understands that the Director of Administrative Services, or designee, has the authorityto provide that approval or authorization,

4. COMPENSATION FOR SF,R'VICES. The City shall pay the Consultant for its professional servicesrendered and costs incurred pursuantto this Agreement in accordance with the Consultant's fee and cost schedule included in Exhibit "A.". No additional compensation shall be paid for any other expenses incurred unless first approved by the DirectorofAdministrative Services.

Page 1 of 8 ends

6 117
Contract No. 2020-22-AC

4.1 The Consultant shall submit to the City a monthly bill for services, The Cityshall paytheConsultantuponthirty(60)daysofreceiptoftheinvoice. '

4.2 No payment made hereunder by City to Consultant, other than the final payment, shall be constnued as an acceptance by City of any work or materials, nor as evidence of satisfactory performance by Consultant of its obligations under this Agreemerit,
CONFLICT OF mTE)REST. The Consultait represents that it presently has no interest and shall not acquire anyinterest, direct or indirem, in any real property located in the City which may be affected by the services to be performed by the Consultant under this Agreement. The Consultant further represents that in performance of this Agreement, no personhavingsuchinterest shall be employed byit,

5.1 The Consultant represents that no City employee or official hu a material financial interest in the Consultant's business, During the term of this Agreement and/or as a result of being awarded tis Agreement, Consultant shall not offer, encourage or accept any financial interest in the Consultant's business by any City employee or official,
GENERAL TERMS AND CONDITIONS.

6.1 Termination. Either the City Agent or Consultant may terminate this Agreement, withoutcause, bygivingtheotherpartyten(10)dayswrittennoticeofsuchtermination and the effective date thereof,

6.1.1 Intheeventofsuchtermination,allfinishedorunfinisheddocuments,reports, photographs, films, charts, data, studies, surveys, &awings, models, maps, or other documentation prepared by or in the possession of the Consultant under this Agreement shall be returned to the City, If the City terminates this Agreement without cause, the Consultant shall prepare and shall be entitled to receive compensation pursuantto a close-out bi]l for services rendered and fees incurred pursuant to this Agreement through the notice of termination and the provisions of Section 2 related to Consultant's rights to fee payments for recommendations implemented by City within twelve (12) months of Consultant deliver'ngthe recommendation to City shall still be applicable. If the Consultant terminates this Agreementwithout cause, the Consultant shall be paid only for those services completed in a manner satisfactorytothe City, which shall not be unreasonablydetermined.

6.1.2 If the Consultant or the City fail to fulfill in a timely and proper manner its obligations under this Agreement, or if the Consultant or the City violate any of the covenants, agreements, or stipulations of this Agreement, the Consultant or the City shall have the right to temiinate this Agreement by givingwrittennotice to the otherpgty of such terminationand specifying the effective date of suchtermination. The Consultant shall be entitled to receive compensation in accordance with the terms of this Agreement for any work

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Contract No. 2020-22-AC
satisfactorily completed hereunder. Notwithstanding the foregoing, the Consultants shall not be relieved of liabilityfor damage sustained by virtue of any breach of this Agreement and any payments due under this Agreement may be withheld to off-set miticipated damages.

6.2 Non-Assignability. The Consultant shall not assign or transfer any intetest in this Agreement without the express prior written consent of the City.

6.3 Non-Discrimmation. Consultant shall not discriminate against any employee, subcontractor, or applicant for employment because of race, creed, gender, gender identity (including gender expression), color, religion, ancestry, sexual orientation, national origin, diSabuity, age, marital status, family/parental 8tatuS, Or veteran/military status, in the performance of its services and duties pursuantto this Agreement and will comply with all applicable laws, ordinances and codes of the Federal, State, County, and City governments.

6.4 Insurance. The Consultant shall submit to the City certificates indicating compliance with the following mium insurance requirements no less than one (1) day prior to beginning of performance underthis Agreement:
a) Workers' Compensation Insurance as requigd by law. The Consultant shall require all subcontractors similarlyto provide such compensation insurance fortheirrespective employees.
b) Comprehensive general and automotive liability insurance protecting the Consultantin amountsnotlessthan $1,000,000 forpersonal injuryto anyone person, $1,000,000 for injuries arising out of one occurrence, and $500,000 for propertydamages or a combined single limit of $1,000,000. Each such policy of insurance shall:

Be issued by a financially responsible insurance company or companies admitted or authorized to do business in the State of Califoria or which is approved in writing by theCity, Name and list as additional insured the City, its officers and employees.

Ui Specifyitsactsasprimaryinsurance.

Contain a clause substantially in the following words: "It is hereby understood and agreed that this policy shall not be canceled except upon thirty (30) days prior written notice to the City of such cancellation or materialchange,"
v, Cover the operations of the Consultant pursuant to the terms of this Agreement.

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Contract N(h 202042-AC

6.5 Indemnifieatjon. Consultant agrees to indemnify, defend and hold harmless City and/or any other City agency, including other employees, officers and representatives, for/from any and all claims or actions of any kind asserted against City and/or any other City agency arising out of Consultant's (including Consultant's employees, representatives, products arid subcontractors) negligent performance under this Agreement, excepting only such claims or actions which may arise out of sole or active negligence of City and/or any other City agency, or any tMrd parties not acting on behalf of, at the direction of, or under the control of Consultant,

6.6 ComplianeeWithApplicableLaw.TheconsultantandtheCityshallcomplyw'th all applicable laws, ordinances and codes of the Federal, State, County and City goveents.

6.7 Independent Contractor. This Agreement is by and between the City and the Consultant and is not intended, nor shall it be constnued, to create the relationship of agency, servant, employee,partnership, jointventure or association, as between theCityandthe Consultant.

6.7.1. The Consultant shall be an independent contractor and shall have no power to incur any debt or obligation for or on behalf of the Citj, Neither the Cite nor any of its officers or employees shall have any controJ overthe conduct ofthe Consultant, orany ofthe Consultant'semployees, exceptas herein set forth, and the Consultant expressly warrants not to, at any time or in any manner represent that it, or any of its agents, servants or employees are in any manner employees of the City, it being distinctly understood that the Consultant is and shall at all timesremaintotbeCityawhollyindependent contractorandthe Consultant'sobligationstothe City are solely such as are prescribed by thisAgreement.

6.8 Copyright. No reports, maps or other documents produced in whole or in pmt under this Agreement shall be the subject of an application for copyright by or on behalfofthe Consultant.

6.9 Legal Construction.
a) ThisAgreementismadeandenteredintointhe StateofCaliforniaandshall in all respects beinterpreted, enforced and governedunderthelawsoftheState ofCalifornia,
b) ThisAgreementshallbe cons'hedwithoutregardtothe identityofthepersons who drafted its various provisions. Each and every provision of this Agreement shall be construed as though each of the parties participated equally in the drafting of the same, and any rule of construction that a documentis to be construed against the drafting parlyshallnot be applicable to %s Agreement.

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9 120
Contract No. 2020-22-AC
c) The article and section, captions and headings herein have been inserted for convenience only and shall not be considered or referred to in resolving questions of interpretation or constmction.
d) WheneverinthisAgreementthecontextmaysorequire,themasculinegender shall be deemed to refer to and include the feminine and neuter, and the singularshallreferto and include the plural.

6.10 Counterparts.ThisAgreementmaybeexecutedincounterpartsandassoexecuted shall constitute an Agreementwhich shall be binding upon all pmtiesherein.

6.11 Final Payment Acceptance Constitutes Release. The acceptance by the Consultant ofthe final payment made under this Agreement shall operate as and 6e arelease ofthe Cityfromall claimsandliabilitiesforcompensationtothe Consultant for anything done, furnished or relating to the Consultant's work or services, Acceptance of payment shall be anynegotiation of the City's check or the failure to make awritten extracompensationclaim w'thinten (10)calendar daysofthereceipt ofthatcheck. However,approvalorpaymentbytheCityshallnotconstitute,norbe deemed, areleaseoftheresponsibility and liability ofthe Consultant, its employees, sub- consultants and agents for the accuracy and competency of the information provided and/or work performed; nor shall such approval orpayment be deemed to beanassumptionofsuchresponsibility orliabilitybythe Cityfor any defect or error in theworkprepared bythe Consultant, its employees, sub-consultants and agents.

6.12 Corrections. In addition to the above indemnification obligations, the Consultant shall correct, at its expense, all errors in the work which may be disclosed during theCity'sreviewoftheConsultant'sreportorplans. ShouldtheConsultantfailto makesuchcorhction in a reasonablytirnelymanner, such correction shall bemade bythe City, andthe cost thereof shall be charged to the Consultant,

6.13 Files. All files of the Consultant pertaining to the City shall be andremain thei property of the City. The Consultant will control the physical location of such f"iles during the term of this Agreement and shall be entitled to retain copies of such files upontermination of this Agreement.

6.14 Waiver; Remedies Cumulative. Failure by a party to insist upon the perfomance ofanyoftheprovisionsofthisAgreementbytheotherparty, irrespective ofthe length oftime for which such failure continues, shall not constitutea waiverofsuchpaity's righttodemand compliancebysuchotherpmtymthefuture. Nowaiverbyapartyof adefault or breach ofthe other patty shall be effective or binding upon such a party unless made in writing by such party, and no such waiver shall be implied from any omissions by a party to take any action with respect to such default or breach. No express w'tten waiver of a specified default or breach shall affect any other default or breach, or cover anyother period of time, otherthan any def:ault or breach and/or periodoftimespecified. Alloftheremediespermittedoravailabletoapartyunder this Agreement, or at law or in equity, shall be cumulative and alternative, and

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10 121
Contract No. 2020-22. AC
invocation of any such right or remedyshall not constitute a waiver or election of remedies with respect to any other permitted or availableright ofremedy.

6.15 Mitigation of Damages. In all such situations arising out of this Agreement, the parties shall attempt to avoid and minimize the damages resulting from the conduct oftheotherparty.

6.16 Partiallnvalidtty.IfanyprovisioninthisAgreementisheldbyacourtofcompetent jurisdiction to be invalid, void or unenforceable, the remaining provisions will nevertheless continue in full foge without being impaired or invalidated in anyway.

6.17 Attorney's Fees. The parties hereto acknowledge and agree that each will bear his or its own costs, expenses and attomey's fees arising out of and/or connected with the negotiation, drafting and execution of the Agreement, and all matters arising out of or connected therewith except that, in the event any action is brought by any party hereto to enforce this Agreement, the prevailing party in such action shall be erititled to reasonable attorney's fees and costs in addition to all other relief to wmch that party or those parties may beentitled.

6.18 Entire Agreement. This Agreement constitutes the whole agreement between the City and the Consultant, and neither party has made any representations to the other except as expressly contained herein. Neither party, in executing or performing this Agreement, is relying upon aiiy statement or information not contained in this Agreement, Any changes or modifications to this Agreement must be made inwriting appropriately executed by both the City and the Consultant.

6.19 Notices.Anynoticerequiredtobegivenhereundershallbedeemedtohavebeengiven by depositing said notice in the United States mail, postage prepaid, and addressed as follows:

TO CITY:

Jackie Acosta
Director of Administrative Services
City of South Gate
8650 California Avenue
South Gate, CA 90280
(323) 563-9524
TO CONSULTANT:

David Krout
Managing Partner
ClientFirst Technology Consulting
980 Montecito Drive, Suite 209
Corona, CA 92879
(951) 739-7989

Page 6 of 8 ends

WITH A COURTESY COPY TO:

Carmen Avalos
City Clerk
City of South Gate
8650 Califomia Avenue
South Gate, CA 90280
(323) 563-9511
11 122
Contract No. 2020-22-AC

6.20 WarrantyofAuthorizedSignatories.Bachofthesignatoriesheretowarrantsand represents that he or she is competent and authorized to enter into this Agreement on behalf of the party for whom he or she purpom tosign,

6.21 Consultation With Attorney. Consultant warrants and represents that it has consulted with an attorney or knowingly and voluntarily decided to forgo such a consultation.

6.22 Interpretation Against Drafting Paity. City and Consultant agce that they have cooperated inthe review and drafting ofthis Agreement. Accordingly, in the event of any ambiguity, neither side may claim that the interpretation of the Agreement shallbe constnuedagaimteitherpaitysolelybecausethatpartydrafted a}loraportion ofthe Agreement, orthe clauseatissue.
[Remainder of page left blank intentionally.]

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12 123
Contract No. 2020-22-AC
IN WITNESS WHEREOF, the Parties hereto haie catised this Agreement to be executed and attested b> their respective officers thercunto duly authorized.

CITY OF SOUTH GATE:

B}:

Michael Flad, City Manager
Date: '1, / / 7.')
ATTEST
Carmen Avalos, City Cl
(SEAL)
APPROVED AS TO FORM:

B)t:

F. Salinas. City Attomey

CLIENTFIRST TF,CHNOLOGY
CONSULTING:

B7:

DavSia Krout. 'Janaging Paruier
Date: '; !/ 71/ 2.( 2 t,
124
Contract No. 2020-22-AC
CLIENTHHgya OPTIMAL TECHNOLOGY GUIDANCE
TIC:HNrlLDaY CDN8ULTING
February 28, 2020
Ms. Jackie Acosta
Administrative Services Director
City of South Gate
8650 California Avenue
South Gate, CA 90280
RE: Proposal for IT Project Management
Dear Ms. Acosta:

Please aCceptthiS letter a8 our proposal far CLlENTFIRSrtO provide oversight With the IT Project Manager for the initial aimplementation of the Technology Master Plan. We propose to oversee with IT strategy, management, project oversight, and vendor coordination until June 30, 2020; The City has requested that CttsmFtpsr provide Information technology organization and operational consulting services to the City in order to promptly begin implementation of the Technology Master Plan dated November 20"l9. The plan recommends significant technology Investments to replace obsolete equipment and software over the next mo years. We expect to provide project management for the plan until the City hires an IT Manager to dired the plan over the long term.

Oversee in the development of a job description and job classification for an IT Manager * Create a drafi IT Manager job description
* Work with staff to finalize job description and job classification + Oversee in the recruitment and candidate selection process * Work with management and selected candidate to further define prlorltles and tasks during onboardlng
* Advise and oversee the procurement and project management of projects identified as high priority In the Technology Master Plan
* Provide overslght related to managing prlorities and day-to-day staff workloads Advise and oversee the implementation of !T Operations Best Pradices * Focus on the creation and implementation of IT Operations Best Practices to provide additional structure for IT staff activHies
* Advise and oversee IT Procurement and Project Management Best Practices Provide oversight with the procurement of the items identified as high priority as a part of the Technology Master Planning process
0 Work with City IT staff to create and implement an inclus'ive methodology for vendor selection
Coordinate vendor activities and provide project-related advice as necessary * Coordinate project and management communications and provide oversight as necessary California a lllinois a North Carolia - Texas o 800.806.3080 a Fax 888 478.0495 14 125
Contract No. 2020-22-AC
IT Proj*atManagement 4
Facilitate and participate in weekly IT project team meetings * Participate in critical or high-priority project review meetings * Oversee project coordination in conjunction with City project coordinators * Other IT strategy and management oversight as needed Under the direction of the City's Director of Administrative Services, CLIENTFIRST will provide such oversight on a time-and-materials basis until June 30, 2020.

Our billing rates for these types of services are shown in the table below and depend on the levels and skill sets of the consultant(s) assigned to the project.

Suminary Rates
Tir'ie anal A-hlcrr;ils Speuclor Ad Hoc Pu:)etls
Administrative Staff
Consultant
Nemork Consultant
Senior Network Consultant
Partner/Project Manager
Our professlonal fees are based on the estimated time required to complete the consulting requests and the individuals selected to perform the specific elements of those requests. Travel time will not be billed, but mileage will be billed at normal IRS-recommended rates.

The following is an estimated schedule for consulting services covered under this agreement:
ff OperaUonal Asalatance
1 Team MeeUngs
2 0versight of Technology Mastet Plan Projects
3 ITManagerJobDescriptionandRecruitmentAssistance
4 IT Procurement and Project Management BestPracticeB
Step IT Projt.ct Management Weeks Tom J Aaron
48 160
16 Hours/Week Hours/Week
1 2
2 8
16 0
1 Hours
Rates
Fees
Expenses
TotaJ
$ 47,880
$ 500
$ 48,380
$ 195
20 180
$175
CL1ENTFJRSTTecstqotocst Cot'xsurviuc
OJ'TIMAkTECHNOlOGY CtllDANa
15 126
Contract No. 2020-22-AC
ITProjedManagament 4
CtitmFrrxsr acknowledges that other public agencies may seek to 'piggyback" under the same terms and conditions of a resulting similar senices contract and/or purchases being offered in thiS COntraa. CtiENTFIRST tia8 the Option tO agree Or disagree tO allOW contract piggybacks On a case-by-case basis. Before a seeking public agency can piggyback any contract, the seeking agency must first obtain CLIENTF/RST'S written approval.

We involce monthly as work proceeds. CLIENTFIRST wHl provide detailed accounting of all consulting time and expenses on the invoice. Payments are due within 30 days of receipt, via check or ACH.

If you have any questions, feel free to contact me at 951,739.7989 or via email at [email protected] for additional information. We appreciate the continued opportunity of serving the City of South Gate.

Sincerely
Tom Jakobsen
SeniorPartner
IT Infrasiruc!ure and Support Practice Leader
CLIENTFIRST TECHNOLOGY Consuhrmc
€}PTlMAlThCHNa04Y aflMNCt
16 127
Exhibit C
Amendment No, 1 to
Contract No, 2020-22-AC
AMENDMENT NO. I TO CONTRACT N0. 202042-AC
FOR IT PPROJECT MANAGEMENT SERVICE!:S

BETWEEN THE CITY OF SOUTH GATE,
AND CLIENTFmST TECHNOLOGY CONSULT[NG
This Amendment No, l to Contract No, 2020-22-AC for IT Project Management Services ("Amendment No, l") is made and entered into on May 26, 2020, by and between the City of South Gate, a municipal corporation ("City"), and ClientFirst Technology Consulting, a Califomia limited liability corporation ("Consultant"), City and Consultant are sometimes hereinafter referred to as a "Party" and co}lectivelyreferred to a "Parties," RECIT AL8
WHEREAS, on March 2, 2020, City and Consultant executed Conttact No. 2020-22-AC for Professional Senices with C]ientFirst Technology Consulting ("Agreement"), to provide IT PrOjeCt Management Services, through and including Jul7 2, 2020, in an amount not to exceed Forty-Fjght Thousand Three Hundred Eighty Dollars ($48,380) (Exhtbit "B"); and WHEREAS, City and Consultant desire to execute Amendment No. l to provide continued rr Project Management Services, through and including September 30, 2020, in an amount not to exceed Stxty-Two Thousand Three Hundred Ninety Dollars ($62,390), under the terms and conditions ofthe Agreement and Amendment No, 1, bringing the aggregate total of the Agreement and Amendment No. 1 to a sum of One Hundred Ten Thousand Seven Hundred Seventy Dollars ($110,770),
NOW, 'ruhyORH,, THE PARTIS HEREBY AGRH,R AS FOLLOWS:

1. MODIFICATION TO AGREEMENT

1.O SCOPE OF WORK Consultant agrees to continue its services and perform the tasks identified Jn Exhibit "A" and made a part of the Agreement and this Amendment No, 1. The Scope of Work may be amended from time totime by way of a wrkten directive from City.

2.O COMPENSATION, The amount ofcompensation paid by City to Consultant for the wotk identified in Exhibit "A" shall not exoeed the sum of Sixty-Two Thousand Three Hundred Ninety Dollars ($62,390). No additional compensation shall be paid for any other expenses incuned for tasks identified in Exhibit "A", unless first approved by the Director of Administrative Services. No travel expenses to attend business meetings and/or any other business, other than mileage, shall be billed to City.

Page 1 ends

17 128
Amendment No, l to
ContractNo. 2020-22-AC
EFFECT OF AhnENi)ivmzNl. bxcept as expressly amended herein, all other temis andconditions of the Agreement and its Amendments, Attachments and Exhibits attachedhereto, shaH remain in fiill force. City reserves the right to augment or reduce the scope ofwork as the City deems necessary.

IN WmSnESS WHEREOF, the Parties hereto have caused this Agreement to be executed andattested by their respecttve officers thereunto duly authorized, CITY OF SOUTH GATE:

Dated: 7,zt- yu)a

CLIENTFIRST TECHNOLOGY
CONSULTING:

David Krout, Managtng Partner
Dated: 05/29/2020
Page2of2
129
CLIEN%H(45;1

TECHNOLOGY CONSLILTING

OPTIMAL TECHNOLOGY GUIDANCE
May 19, 2020
Ms. Jackie Acosta
Director of Administrative Services
City of South Gate
8850 California Avenue
South Gate, CA 90280
RE: Proposal for Continuing IT Project Management
Dear Ms. Acosta:

Please accept this letter as our proposal for ClientFirst to continue to provide project management oversight for the initial implementation of the Technology Master Plan. We propose to continue to oversee with IT strategy, management, project oversight, and vendor coordination until September 30, 2020.

We initially began projed management activities in March, and we were immediately involved in the City's COVID-19 response. We began assisting the City in whatever way we could. We worked with the IT team to expedite Technology Master Plan projects that were critical "work- from-home," Zoom implementation, and email system stabilization.

Just when staff were acclimating to COVID-19 and 'work-from-home," the email server (Exchange) crashed. The most straightfomard recovery scenario, retrieving email from backup, would have caused email to be offiine for days and created a significant loss of email. An alternate solution was developed that was more time consuming resulted in a relatively rapid return to a functioning email system and nearly full recovery of email, calendars, and other Outlook functionality.

These emergency projects consumed projed management and network engineering time at a rapid pace, causing ClientFirst a funding shortfall that has prevented us from fulfilling our project management duties through the end of June as our initial agreement stated.

This proposal is an extension of our original project management agreement to cover the period of May through September 2020. In the next few days, we exped our work efforts to more closely resemble our proposed work plan.

The City has requested that ClientFirst provide information technology organization and operational consulting services to the City in order to promptly begin implementation of the Technology Master Plan dated November 2019. The plan recommends significant technology investments to replace obsolete equipment and software over the next two years. We expect to provide project management for the plan until the City hires an IT Manager to direct the plan over the long term.

We propose to provide information technology strategy, management, and advisory expertise to the City, City Information Technology, and Police Department Information Techno)ogy. Our oversight wil! relate to the folJowing types of adivities:
* Oversee in the development of a job description and job classification for an IT Manager Create a drafi IT Manager job description
Work mth staff to finalize job description and job classification Oversee in the recruitment and candidate selection process Califomia Illinois North Carolina Texas 800 806.3080 a Fax 888.478.0495 19 130
Continuing )T Project Management
* Work with management and selected candidate to further define priorities and tasksduring onboarding * Advise and oversee the procurement and project management of projects identified as high-priority in the Technology Master Plan * Provide oversight related to managing priorities and day-to-day staff workloads * Advise and oversee the implementation of IT Operations Best Practices * Focus on the creation and implementation of IT OperaUons Best Pradices to provideadditional structure for IT staff activities a Advise and oversee IT Procurement and Project Management Best Practices Provide oversight with the procurement of the items identified as high-priority as a part ofthe Technology Master Planning process * Work with City IT staff to create and implement an inclusive methodology for vendorselection * Coordinate vendor activities and provide project-related advice as necessaryCoordinate projed and management communications and provide oversight as necessary ii Facilitate and participate in weekly IT project team meetings * Participate in critical or hlgh-priority project review meetings @ Oversee with project coordination in conjunction with City project coordinators Other IT strategy and management oversight as needed Under the direction of the City's Director of Administrative Services, ClientFirst will providesuch oversight on a time-and-materials basis until September 30, 2020.

Our billing rates for these types of services are shown in the table below and depend on thelevels and skill sets of the consultant(s) assigned to the projel AdministraUve Staff $ 55
Consul(an! $125
Network Consultant $150
Senior Network Consultant $ 175
Partner/Project Manager s 195
Proposed Work Plan
Our professional fees are based on the estaimated time required to complete the consultingrequests and the individuals selected to perform the specific e1ements ofthose requests. Traveltime will not be billed, but miteage will be billed at normal IRS-recommended rates.

The following is an estimated schedule for consulting services covered under this agreement:

CLrENTFIRSTTccsioi.ocq CONSULTING
fflAlffleHW aWANa
20 131
Contmulng IT Project Management
$7 0peraUonal Aasl*Uinw
1 Team Meetings
2 0vemlghtofTechnologyMasterPIanProjects
3 ITManagerJobDesmptlonandRecruitrnenfAssistance
Hours/Weak HoursJWaek
i 2
2 8
4 IT Procurement and Project Management Bes(Prac(l>s 1 40 20 20 Hours
Rates
Fees
Expenses
Total
342
$61,890
$ 500
$ 62,390
102
$195
240
$ U5
ClientFirst acknowledges that other public agencies may seek to "piggyback' under the same terms and conditions of a resulting similar services contract and/or purchases being offered in this contract or proposal. ClientFirst agrees to extend the same pricing, terms, and conditions as stated In this contract or proposal to each and every politica) entity, special distrid, andrelated non-profit. It is understood that other entities shall make purchases in their own name, make payment, and be liable directly to ClientFirst. The agency shall in no way be involved or responsible to ClientFirst for other entities' purchases.

We invoice monthly as work proceeds. ClientFirst will provide detailed accounting of all consulting time and expenses on the invoice, Payments are due within 45 days of receipt, via check or ACH.

If you have any questions, feel free to contact me at 95"l.739.7989 or via email at [email protected] for additional Information. We appreciate the oontinued opportunityof serving the City of South Gate.

Sinmreh/,
Tom JakobsJen
SeniorPartner
IT Infrastrudura and Support Practlce Leader
CLlENTFIRSTTECHNOlOG'l CONSULTING
ffllMAL ThCHNCll%V aUlaANa
132
Exhibit D
Amendmeiit No, 2 to
Contract No, 2Q20-22-AC
AMENDMENT N0. 2 TO CONTRACT N0. 2020-2,2-AC
FOR CONTINU'ED IT PPROmCl' MANAGEMENT 81iRVICES
BETWEEN THE Crl'Y OF SOUTH GATE
AND CLmlNTFIRST TECHNOLOGY CONSUi,TING
This Amendment No, 2 to Contract No, 2020-22-AC for IT Project Manageinent Services ("Amendment No. 2") is made and eniered ifito on Noveinber 10, 2020, by and betw6en the City of South Oaie, a municipal corporatron ("Ci§"), and CliehtFirst "['echnology Coiiu%tin.g, a (,alifornia :limited liabil!ty gorporatlon ("Consiiltarit"). Cily and Consultant are sometimes hereinaftor referred to as a <'Paity" aii4 collectively referred to a "Parties,"

RECIT ALS
WHEREAS, on March 2, 2020, City and.Constiltant execited Coxitract No. 2020-22-AC for Professional Services with ClientFirst Technology Consulting ('!Agreement"), to provide IT Prqject %anageinent Services, through add including July 2, 2020, in an amount not to exceed Forty-Bight Thousand T5r,eie nundred Eighty Dollars ($48,300) (Exhibit "B"); W}IEREAS, on %y 26, 2020, City and Consu)tant executed Atriendment No, l to Contract No, 2020-22-Ae for Pr6fessional Services with ClientFirst Technology Consulting ("Agre,ement")i to provide continued iT'Project Manage@qnt services, though and in,cludlng September 30, 2020, in an amount not to exceed Sixty-Two Thousand Three Hcindred N!nety Dollars ($62,390) (Exhibi( "C"); atid
WHERgAS, City and Consultant desire to execut6 Am6ndment No, 2 to provide continued l'I' Project M:anagement Services, tbrough and including Jrine 30, 2021, in an ainount not to exceed, Eighty-Eight Thousand Four Hundred Fifly Dotlars ($88,450), tinder the terms and conditions of the Agreement, Amendinent No. ] and Amendment No. 2, bringing the aggregate totai of the Agreetnent, Amendment %o, ) and Ainendrper>t No. 2 to the sum of One Hundred Ninety-Nine Thousand Two Hundred 'rwenty Dot]ars ($199,220), NOW, THEREFORE, THE PARTIE8 HEREBY AGREE AS FOLLOWS:

I. MODIFICATION 'm AGRREMENT

1.O SCOPF, OF WORK Consultant agrees to continue its services and perform the tasks identified 'in Exhibit "A" and inade a part of the Agreetnent, Amendment No, l and this Amendment No. 2. The Scope of Work may be amended ffom tiine to time by way of a written directive from City.

2.0 COMPENSATION. The amount of coinpensation paid by City to Consultant for the work identified in Exhibit "A" shall not excced the siin of Eighty-Eight Thoiisand Four Hundred Fifty Dollars ($88,450). N'o additional compensation shall be paid for any other expenses incurred for tasks identified in Exhibit "A," PagelofZ
22 133
Ainendment No. 2 to
Contract No. 2020-22-AC
tinless first approved by tlie Director of Administrative Services. No travel expenses to attend business meetings and/or any other business, other than mileage, shall be billed to City.

2. EFFECT OF AMENDMENT. Except as expressly amended herein, all other terins and conditions of the Agreeinent and its Amendments, Attacliments and Exhibits attached liereto, slia)l reinain in fiill force. City reservestlie riglit to augment or reduce tlie scope of uiorkas the City deems necessary.

IN WITNESS WHEREOF, the Parties hereto have caused this Agreet'nent to be executed and attested by their respective officers thereunto du]y autliorized.

Maria Davila, Mayor
ATTEST:

Carmen Avalos, City Cl
(SEAL)
APPROVED AS TO FORM:

B)/:
ul F. Salinas, City Attorney

CLJENTFIRST TECHNOLOGY
CONSULTING:

By:

Da<zid Ki'out, Managing Partner

Page 2 of 2 ends

South Gate City CouncilNovember 10, 2022

South Gate City Council
November 10, 2022