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Date: May 19, 2026
To: Honorable Mayor and Members of the City Council
From: Aram Chaparyan, City Manager
Ian Dailey, Finance Director
By: Ian Dailey, Finance Director | [email protected] Subject: City Manager and Finance – Adopt RESOLUTION Amending City Policy Number 3.
Expenditures: None.
RECOMMENDATION
Recommendation of the City Manager and Finance Director that City Council adopt a RESOLUTION amending City Policy Number 3 to increase the City Manager’s purchasing authority from $250,000 to $1,500,000 for the period beginning July 1, 2026, and ending June 30, 2027, for specific purposes defined in the amended Policy.
FUNDING
None required.
DISCUSSION
City Policy Number 3 defines the powers, duties and authority of the Claims Review Board, City Manager and Finance Director for liability claims, and purchasing and appropriations authority for the City Manager. In an effort to advance capital improvements, staff recommends to adopt a RESOLUTION to amend City Policy Number 3 to increase the City Manager’s purchasing authority from $250,000 to $1,500,000 for the period beginning July 1, 2026, and ending June 30, 2027, for specific purposes defined in the amended Policy, which are sidewalk repairs and replacement projects, including but not limited to, necessary curb, gutter and tree well and other right of way repairs and replacements necessary to complete the sidewalk improvements. Additionally, the City Manager shall report periodically the anticipated Capital Improvement Projects, specifically related to sidewalk repairs and replacements that include purchasing requirements between $250,000 and $1,500,000 during the period of July 1, 2026 through June 30, 2027.
ATTACHMENTS
1. Resolution
2. City Policy Number 3 – Strike-Out Version
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RESOLUTION NO. _______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TORRANCE, CALIFORNIA AMENDING CITY POLICY
NUMBER 3 AS SET FORTH IN TORRANCE MUNICIPAL
CODE SECTIONS 12.1.8, 12.4.2, 12.4.5, 22.2.010, 22.2.020,
22.3.070, 22.3.080 AND 22.3.110
WHEREAS, the City of Torrance, California (“City”) is a charter law city, duly organized under the constitution and laws of the State of California; and WHEREAS, California Constitution Article XI, Section 5 grants charter cities the power to make and enforce all ordinances and regulations with respect to municipal affairs; and
WHEREAS, Torrance City Charter section 400 authorizes the City to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in the Charter and the California Constitution; and
WHEREAS , on June 25, 2019, the City Council approved Ordinance No. 3847 amending the Torrance Municipal Code to adopt a policy setting forth the settlement and purchasing authority of the City Manager, as well as the settlement authority of the Finance Director and Claims Review Board. Ordinance No. 3847 codifies the settlement and purchasing authority of the City Manager as well as the settlement authority of the Finance Director and Claims Review Board as City Policy Number 3; and WHEREAS , on December 17, 2019, the City Council approved Ordinance No. 3862 amending the Torrance Municipal Code to add a new section regarding the City Manager’s authority to appropriate and expend funds. Ordinance No. 3862 codifies the appropriation and expenditure authority of the City Manager as City Policy Number 3; and WHEREAS , on September 26, 2023, the City Council approved Ordinance No. 3923 amending the Torrance Municipal Code to revise Section 12.1.8 of Chapter 2, Article 1 and amending Chapter 2, Article 2 establishing an updated Purchasing section.
Ordinance No. 3923 codified the purchasing system requirements of the City of Torrance in accordance with City Charter Sections 931 and 1450 as well as the City of Torrance Bid Protest Procedures as City Policy Number 3; and
WHEREAS , on September 26, 2023, the City Council approved Resolution No. 2023-90 amending City Policy Number 3, as set forth in Torrance Municipal Code Sections 12.1.8, 12.4.2, 12.4.5, 22.2.010, 22.2.020, 22.3.070, 22.3.080 and 22.3.110; and
WHEREAS , on May 19, 2026, the City Council approved Resolution No. _____ amending City Policy Number 3, as set forth in Torrance Municipal Code Section 12.1.8 to raise the purchasing authority threshold and the purchasing reporting threshold of the 2 ATTACHMENT 1
2 City Manager related and/or pertaining to sidewalk repairs and replacement for the 2026- 2027 fiscal year.
WHEREAS , pursuant to California Environmental Quality Act (“CEQA”) Guidelines § 15378 and California Public Resources Code § 21065, the Council finds that neither Ordinance No. 3923 nor this Resolution are considered a “project” because their adoption is not an activity that has the potential for a direct physical change or reasonably foreseeable indirect physical change in the environment; and that, even if Ordinance No. 3923 or this Resolution qualified as a “project” subject to CEQA, and pursuant to CEQA Guidelines § 15061(b)(3), there is no possibility that this project will have a significant impact on the physical environment; and
NOW, THEREFORE, BE IT RESOLVED , that the City Council hereby amends City Policy 3 that is attached to this Resolution as Exhibit 1 and is incorporated into this Resolution by this reference.
BE IT FURTHER RESOLVED, that
1. Any and all amendments to the policy, as deemed necessary from time-to- time shall be adopted by resolution of the City Council.
2. The above recitals are true and correct and are incorporated herein by this reference.
INTRODUCED, APPROVED AND ADOPTED on the 19th day of May, 2026. _______________________________
Mayor George K. Chen
APPROVED AS TO FORM: ATTEST:
PATRICK Q. SULLIVAN
CITY ATTORNEY
________________________________ _______________________________ Tatia Y. Strader, Assistant City Attorney Rebecca Poirier, MMC, City Clerk Attachment: Exhibit 1
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EXHIBIT 1
CITY OF TORRANCE Policy No. 3
CITY COUNCIL POLICY
Adopted: June 25, 2019 Revised: September 26May 19 , 202 63 GENERAL SUBJECT: POWERS, DUTIES AND AUTHORITY OF THE CLAIMS REVIEW BOARD, CITY MANAGER AND FINANCE DIRECTOR FOR LIABILITY CLAIMS; PURCHASING AUTHORITY OF THE CITY MANAGER; APPROPRIATIONS AUTHORITY
OF THE CITY MANAGER
T A B L E O F C O N T E N T S
ARTICLE 1 POWERS, DUTIES AND AUTHORITY OF THE CLAIMS REVIEW
BOARD, CITY MANAGER AND FINANCE DIRECTOR
FOR LIABILITY CLAIMS
SECTION 1.1 POWERS, DUTIES AND AUTHORITY OF
THE CLAIMS REVIEW BOARD FOR LIABILITY CLAIMS
SECTION 1.2 POWERS, DUTIES AND SETTLEMENT AUTHORITY OF
FINANCE DIRECTOR FOR LIABILITY CLAIMS
SECTION 1.3 POWERS, DUTIES, SETTLEMENT AND
APPROPRIATIONS AUTHORITY OF CITY MANAGER
FOR LIABILITY CLAIMS
ARTICLE 2 PURCHASING AND APPROPRIATIONS AUTHORITY OF THE CITY
MANAGER
SECTION 2.1 AUTHORITY FOR APPROPRIATIONS
SECTION 2.2 AUTHORITY FOR PURCHASING
ARTICLE 3 SEVERABILITY
SECTION 3.1 SEVERABILITY
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2 ARTICLE I — POWERS, DUTIES AND AUTHORITY OF THE CLAIMS
REVIEW BOARD, CITY MANAGER AND FINANCE DIRECTOR
FOR LIABILITY CLAIMS
SECTION 1.1 POWERS, DUTIES AND AUTHORITY OF THE CLAIMS REVIEW
BOARD FOR LIABILITY CLAIMS
The Board shall be vested, pursuant to Government Code Section 935.2, with the power and authority to perform all the functions of the City Council with respect to claims against the City, but shall not allow, compromise, or enter in settlement of a claim that would result in a payment in excess of $25,000.00 to any single claimant, person, firm or corporation without prior approval of the City Council. The Board, further, shall have the authority to settle or compromise any claim of $25,000.00 or less which the City has against other persons. The decision of the Board shall be final.
SECTION 1.2 POWERS, DUTIES AND SETTLEMENT AUTHORITY OF
FINANCE DIRECTOR FOR LIABILITY CLAIMS
The Finance Director or their designee is authorized to settle or compromise any claim or litigation against the City or any officer, agent, or employee thereof, without prior consent of the City Council or of the Claims Board, in an amount not to exceed $50,000.00 as to any single claimant, person, firm or corporation. The Finance Director is further authorized to settle or compromise any claim not to exceed $50,000.00 that the City has against other persons. The Finance Director or the City Attorney is authorized to execute and deliver to said other persons or to claimants any instrument in writing necessary or advisable in connection with any such settlement or of any settlement approved by the Claims Board.
SECTION 1.3 POWERS, DUTIES, SETTLEMENT AND APPROPRIATIONS
AUTHORITY OF CITY MANAGER FOR LIABILITY CLAIMS
The City Manager is authorized to settle or compromise any claim or litigation against the City or an officer, agent or employee thereof, without prior consent of the City Council or of the Claims Board, in an amount not to exceed $250,000.00 as to any single claimant, person, firm, or corporation. The City Manager is further authorized to settle or compromise any claim not to exceed $250,000.00 that the City has against other persons.
The City Manager or the City Attorney is authorized to execute and deliver to said other persons or to claim agents any instruments in writing necessary or advisable in connection with any such settlement or of any settlement approved by the Claims Board.
The City Manager is accordingly authorized to make appropriations and expend funds in an amount not to exceed $250,000 to settle or compromise any claim or litigation against the City or an officer, agent or employee thereof, without prior consent of the City Council or of the Claims Board.
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ARTICLE 2 —PURCHASING AND APPROPRIATIONS
AUTHORITY OF THE CITY MANAGER
SECTION 2.1 AUTHORITY FOR APPROPRIATIONS
The City Manager is authorized to make appropriations for all funding sources in an amount not-to-exceed $250,000.00 per appropriation. The City Manager shall report all appropriations made between $5,000.00 and $250,000.00 in the preceding month. The monthly reports shall be posted on the City’s website.
SECTION 2.2 AUTHORITY FOR PURCHASING
Except as required by law and subject to the limitations of Section 1010 605 and 702 of the City Charter, the City Manager is authorized to make purchases and approve agreements with an expenditure of $250,000.00 or less, per year. These purchases shall be exempt from the formal procedures set forth in the Torrance Municipal Code and shall be let pursuant to the informal procedures in the Torrance Municipal Code and such regulations and procedures as promulgated by the City Manager . Furthermore, for the period of July 1, 2026 through June 30, 2027, the City Manager is authorized to make purchases and approve agreements with an expenditure of $1,500,000 .00 or less for the purposes of advancing capital improvements, specifically for sidewalk repairs and replacement, including but not limited to, necessary curb, gutter, tree well and other right of way repairs and replacements necessary to complete the sidewalk improvements . The City Manager shall report to the City Council on all such purchases between $5,000.00 and $250,000.00 made in the preceding month. The monthly reports shall be posted on the City’s website. The City Manager shall report periodically the anticipated Capital Improvement Projects that include purchasing requirements between $100,000.00 and the $250,000.00 delegated authority for purchases. Additionally, Tt he City Manager shall also report periodically the anticipated Capital Improvement Projects, specifically for sidewalk repairs and replacement that include purchasing requirements between $250,000.00 and $1,500,000.00 delegated authority for purchases for the 2026 to 2027 fiscal year. The periodic report shall be an accept and file report to the City Council at a regularly scheduled meeting.
ARTICLE 3 – SEVERABILITY
SECTION 3.1 SEVERABILITY
If any section, subsection, sentence, clause, phrase or portion of Policy No. 3 for any reason deemed or held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision will not affect the validity of the remaining portions of this Policy. The City Council of the City of Torrance hereby declares that it would have adopted this Policy and each section, subsection, sentence, clause, phrase or portion thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases or other portions might subsequently be declared invalid or unconstitutional.
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