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City Council / Successor Agency
Regular Meeting Agenda
NOTICE AND AGENDA
CITY OF UNION CITY
CITY COUNCIL / SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY
REGULAR MEETING
GARY SINGH, Mayor
JAIME PATIÑO, Vice Mayor (District 2)
LANCE NISHIHIRA, Councilmember (District 1)
JEFF WANG, Councilmember (District 3)
SCOTT SAKAKIHARA, Councilmember (District 4)
Tuesday, June 9, 2026 | 7:00 PM
City Hall – Tom Kitayama City Council Chambers
34009 Alvarado-Niles Road, Union City, CA 94587
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1. CALL TO ORDER
1.1. Pledge of Allegiance
1.2. Roll Call
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2. PROCLAMATIONS AND PRESENTATIONS
2.1. Proclamation Recognizing June 19, 2026 as Juneteenth
2.2. Proclamation Recognizing June 2026 as Elder Abuse Awareness Month
3. ORAL COMMUNICATIONS
Each person who wishes to speak during the Oral Communications section for non-agenda items will have up to three minutes. The Chair may shorten this time if there are many speakers or the City Council has a full agenda. If you want to speak during the first Oral Communications section, please complete a speaker card with your name and city of residence. You may also provide a mailing address if you would like to receive future information from the City. Filling out a speaker card and providing your name, city of residence, or mailing address is not required to speak, but it helps keep accurate records.
4. CONSENT CALENDAR
All items listed under the Consent Calendar are considered routine and will be approved together with one motion. If any item requires discussion, it will be removed from the Consent Calendar and discussed separately.
4.1. Approve the May 26, 2026 City Council Regular Meeting Action Minutes
4.2. Adopt a Resolution Designating the Voting Delegate and Alternate Voting Delegate for the League of California Cities Annual Conference, September 23–25, 2026, in Anaheim
4.3. Adopt a Resolution Approving the Police Towing Rotation List and Authorizing the City Manager to Execute Non-Exclusive Franchise Agreements for Towing Services with Jack James Tow Service, Inc. and Island Auto Towing
4.4. Adopt a Resolution Authorizing the City Manager to Execute a Consulting Services Agreement with Cal-West Lighting & Signal Maintenance, Inc., in the Amount Not-to-Exceed $400,000 for Traffic Signal Maintenance, On-Call Support, and Emergency Repair Services, and Authorizing the City Manager to Exercise Options to Extend the Agreement for a Third, Fourth, and Fifth Year for an Additional Amount Not-to-Exceed $200,000 per Year, for a Total Not-to-Exceed Contract Amount of $1,000,000
4.5. Adopt a Resolution Authorizing the City Manager to Execute the Sixth Amendment to the Consulting Services Agreement with CSG Consultants, Inc., in the Amount of $30,000, for a Total Contract Not-To-Exceed Amount of $425,520, for Municipal Programming
4.6. Adopt a Resolution Amending the Five-Year Capital Improvement Plan, Approving a Budget Transfer, in the Amount of $311,000, from the General Liability Self-Insurance Fund to the General Fund, and Reallocating Two Appropriations in the General Fund: 1) in the Amount of $186,000, to the Hazard Mitigation Grant Program Ruggieri Senior Center Generator, City Project No. 18-17; and, 2) in the Amount of $125,000, to the Library Roof Modernization, City Project No. 26-21
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4.7. Adopt a Resolution Ratifying Prior Services Rendered, in the Amount of $36,000, Voiding a Consulting Services Agreement with Ruggeri-JensenAzar (C6089), in the amount of $26,000, and Approving the Second Amendment to the Consulting Services Agreement with Ruggeri-JensenAzar (C5782), in the Amount of $62,000, for a Total Not-to-Exceed Contract Amount of $126,000, for Mapping and Plan Review Services for the Station East Phase 1 Development
4.8. Adopt a Resolution Approving a Consulting Services Agreement with R3 Consulting Group, Inc., in a Not-To-Exceed Amount of $156,000, Through June 30, 2027, for Consulting Services, and Authorizing the City Manager to Execute the Agreement in a Form Approved by the City Attorney
4.9. Adopt a Resolution Approving the Side Letter Between the City of Union City and Allied Waste Services of North America, LLC, Regarding the July 2025 Solid Waste Collection Service Disruptions, Authorizing Customer Service Credits and Reimbursement of City Costs
5. PUBLIC HEARINGS
Public Hearings provide an opportunity for the community to comment on items that require a formal hearing under state or local law. Staff will present the item first. After the presentation, the Mayor will open the public hearing and invite public comment. Individuals wishing to speak must complete and submit a speaker card before Oral Communications so the Mayor can call on them. Once all speakers have finished, the Mayor will close the public hearing. The City Council may then discuss the item and take action.
5.1. Public Hearing Regarding Weed Abatement Program and Ordering Abatement
6. CITY MANAGER REPORTS
6.1. Introduction of Ordinance of the City Council of the City of Union City Approving and Re-adopting a Military Equipment Use Policy Stated in Chapter 2.62 "Military Equipment Use Policy" of the Union City Municipal Code; and Review of 2025 Annual Military Equipment Report in Compliance with Assembly Bill 481
6.2. Consideration of a Resolution Reaffirming Union City as a Compassionate City, Clarifying Existing Laws and Policies, and the City’s Response to Civil Immigration Enforcement Actions That Do Not Comply With Those Laws and Policies
6.3. Receive a Report on State Audit 2025-120 East Bay Transit Agencies
6.4. Waive Full Reading and Introduce by Title Only an Ordinance Amending Chapter 2.06 “Campaign Contribution Limitations in Municipal Elections” of the Union City Municipal Code
7. SUCCESSOR AGENCY TO REDEVELOPMENT AGENCY
8. ITEMS REFERRED BY COUNCIL
9. GOOD OF THE ORDER
10. ADJOURNMENT
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Regular Meeting Agenda
MEETING INFORMATION
The City Council is authorized to take action only on items listed on this agenda. Public comment is both welcomed and encouraged on all agenda items. If you wish to address the Council, please complete a speaker card and submit it before the Oral Communications section.
Regular City Council meetings are held in person on the second and fourth Tuesday of each month at 7:00 p.m. in the Council Chambers, City Hall, 34009 Alvarado-Niles Road, Union City, CA 94587.
Meetings can also be observed via Zoom: http://citycouncil-live.unioncity.org.
Meetings are broadcast live on UCTV Channel 15 and live-streamed on the City's website:
https://bit.ly/3x9mEiR.
Public Access and Comment: Pursuant to Senate Bill 707 and California Government Code sections 54953.4 and 54954.3, beginning July 1, 2026, members of the public may attend City Council meetings in person or remotely through the two-way audiovisual platform or two-way telephonic service identified in the agenda. Members of the public may provide public comment in real time either in person or remotely, and remote participants shall be provided the same opportunity to comment, including the same time allotment, as those attending in person. Remote participation is subject to the availability and functionality of the internet and telephonic service. If a disruption occurs that prevents remote public access or remote public comment, the City Council shall proceed in accordance with applicable law
Public Records: Documents related to agenda items are available for review on the City's website (https://www.unioncityca.gov) or during business hours at the City Clerk's Office, 34009 Alvarado-Niles Road, Union City, CA 94587.
Accessibility: If you require special assistance to participate in the meeting, please contact the City Clerk's Office at (510) 675-5448 at least 72 hours before the meeting. Closed captioning is available for all regular City Council meetings.
ADDRESSING THE CITY COUNCIL
In-Person Public Comment:
Members of the public may address the Council on any agenda item or during the Public Input portion of the meeting. To speak, please fill out a speaker card with your name and city of residence. If you would like a follow-up from the City, you may also provide your mailing address. Completing a speaker card and providing your name, city, or mailing address are not required to make a public comment, but are requested for record-keeping purposes.
Written Comment:
To submit written comments on an agenda item or during Public Comment, please email [email protected]. Include "Public Comment" in the subject line and reference the agenda item number. Written comments will be forwarded to the City Council and made publicly available.
Public Comment via Zoom (Effective July 1, 2026):
To provide public comment remotely during the meeting, use the “Raise Hand” feature on Zoom or follow the instructions provided for telephonic participation. When called upon, speakers will be unmuted and given the allotted time to speak. Instructions for joining the meeting and participating remotely will be included in the agenda.
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CITY COUNCIL NORMS AND GUIDELINES
(Resolution No. 6129-23; Adopted May 23, 2023)
The Union City Council abides by the following norms:
1. We conduct ourselves in a professional manner, treat everyone with respect, and act with high integrity, always putting the interests of the City of Union City ahead of self-interests in accordance with our code of ethics.
2. We respect the Council-Manager form of government, and do not interfere with the City Manager's role or any professional duties of City staff.
3. We recognize that matters of confidential nature are to be kept private and undisclosed.
4. We respect each other's opinions and are supportive of each other's work advocating for the City, and we ensure that all voices are heard. We do not criticize others for having a different point of view, and we agree to disagree respectfully.
5. We understand that the City Council acts as a body, all members are equal, and policy direction is only given by a majority vote of the City Council. Once a decision is made, all members of the City Council must respect the City Council's direction.
6. We will be prepared for City Council meetings and ask our questions of the City Manager in advance so we can avoid surprising City staff at meetings.
7. We do not criticize City staff publicly or to others and will refrain from directing them. Instead, we will take our concerns and questions privately to the City Manager.
8. We will govern on an at-large basis, although elected by districts. We will maintain a citywide perspective and consider the needs and interests of the entire community.
9. We will continue to allocate resources based on long-term strategic priorities and efforts, with consideration of citywide service levels and financial capacity.
10. We understand customer service is the priority and each member of the City Council will help constituents regardless of the district in which they reside or from which a Councilmember themselves is elected.
11. We recognize the significant importance of attendance and participation at City Council meetings in proceeding with City business. All members of the City Council should endeavor to miss no more than two regular meetings per calendar year absent extraordinary circumstances. Members of the City Council should, absent unforeseen circumstances, provide a minimum of sixty days' notice to the City Council of planned absences during the Good of the Order or Items Referred by Council portion of the City Council agenda, as appropriate.
May these Council Norms be administered and enforced in the following manner:
1. Councilmembers have the primary responsibility to assure that ethical standards are understood and met by the Council, and that the public can continue to have full confidence in the integrity of government.
2. The Mayor and the Council have the responsibility to intervene when action of its members are in violation of Council Norms.
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3. The City Council can review and revise the Council Norms as needed.
4. During City Council discussions, deliberations, and proceedings, the Mayor is designated with the primary responsibility to ensure that Councilmembers adhere to the Council Norms.
CERTIFICATION OF MEETING NOTICE AND AGENDA POSTING
This notice and agenda were posted on the City's website and the City Hall bulletin board at least 72 hours prior to the meeting date, in compliance with the Ralph M. Brown Act. /s/Thai Nam Pham, MMC, CPMC
City Clerk/Secretary to the City of Union City Successor Agency City Council Staff Report Page 1 of 1 June 9, 2026
Staff Report
Agenda Item No. 2.1
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Proclamation Recognizing June 19, 2026 as Juneteenth Prepared by: Thai Nam Pham, City Clerk
Submitted by: Thai Nam Pham, City Clerk
Attachments
1. Proclamation
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CITY OF UNION CITY
PROCLAMATION
Recognizing June 19, 2026 as Juneteenth
WHEREAS, President Abraham Lincoln issued the Emancipation Proclamation on January 1, 1863, declaring enslaved people in Confederate states free and helping pave the way for the 13th Amendment, which ended slavery in the United States; and
WHEREAS, on June 19, 1865, Union troops led by Major General Gordon Granger arrived in Galveston, Texas, to enforce the Emancipation Proclamation and announce freedom for the last enslaved Black Americans in the South; and WHEREAS, June 19, known as Juneteenth, has been celebrated for more than 150 years as a day of freedom, remembrance, reflection, and community; and
WHEREAS, Juneteenth National Independence Day became a federal holiday in 2021, recognizing its importance to our shared American history; and WHEREAS, Juneteenth reminds us of the strength, resilience, and contributions of Black Americans and calls on Union City to keep working toward justice, equity, and opportunity for all.
NOW, THEREFORE, the City Council of Union City does hereby proclaim June 19, 2026, as Juneteenth in the City of Union City and encourages all residents to honor this important day in our nation’s history.
DATED: June 9, 2026
GARY SINGH, Mayor
JAIME PATIÑO, Vice Mayor
LANCE NISHIHIRA, Councilmember
SCOTT SAKAKIHARA, Councilmember
JEFF WANG, Councilmember
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Agenda Item No. 2.2
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Proclamation Recognizing June 2026 as Elder Abuse Awareness Month
Prepared by: Thai Nam Pham, City Clerk
Submitted by: Thai Nam Pham, City Clerk
Attachments
1. Proclamation
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CITY OF UNION CITY
PROCLAMATION
Recognizing June 2026 as Elder Abuse Awareness Month
WHEREAS, the month of June is recognized as Elder Abuse Awareness Month to raise awareness, promote prevention, support survivors, and help protect older adults from abuse that often occurs in private and may go unnoticed; and
WHEREAS, this national awareness builds on World Elder Abuse Awareness Day, observed every June 15, as part of a global effort to highlight the millions of older adults affected by abuse, neglect, and financial exploitation; and WHEREAS, the Centers for Disease Control and Prevention (CDC) identifies an older adult as a person age 60 or older and notes that elder abuse often occurs at the hands of a caregiver or other trusted person, including physical, psychological, financial abuse, and neglect; and
WHEREAS, according to the National Center on Elder Abuse, about 1 in 10 older adults experiences some form of abuse each year, and only a fraction of cases are reported; and WHEREAS, the City of Union City is committed to raising awareness about elder abuse and encourages individuals, organizations, and community partners to learn the warning signs, report concerns, and take action to prevent and stop abuse; and WHEREAS, we recognize and thank the caregivers, family members, friends, advocates, and community partners in Union City who help protect older adults and support their dignity, safety, and respect.
NOW, THEREFORE, the City Council of the City of Union City does hereby proclaim June 2026 as Elder Abuse Awareness Month in the City of Union City and extends sincere appreciation to AARP California for its advocacy and educational efforts with national, state, and local leaders, families, and community partners to turn awareness into action by promoting education, resources, and support services to prevent and address elder abuse.
DATED: June 9, 2026
GARY SINGH, Mayor
JAIME PATIÑO, Vice Mayor
LANCE NISHIHIRA, Councilmember
SCOTT SAKAKIHARA, Councilmember
JEFF WANG, Councilmember
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Staff Report
Agenda Item No. 4.1
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Approve the May 26, 2026 City Council Regular Meeting Action Minutes
RECOMMENDATION
Staff recommends that the Council approve the meeting minutes.
Prepared by: Thai Nam Pham, City Clerk
Submitted by: Thai Nam Pham, City Clerk
Attachments
1. Action Minutes
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MINUTES
CITY OF UNION CITY
CITY COUNCIL / SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY
REGULAR MEETING
GARY SINGH, Mayor
JAIME PATIÑO, Vice Mayor (District 2)
LANCE NISHIHIRA, Councilmember (District 1)
JEFF WANG, Councilmember (District 3)
SCOTT SAKAKIHARA, Councilmember (District 4)
Tuesday, May 26, 2026 | 7:00 PM
City Hall – Tom Kitayama City Council Chambers
34009 Alvarado-Niles Road, Union City, CA 94587
1. CALL TO ORDER
Mayor Singh called the meeting to order at 7:00 PM.
1.1. Pledge of Allegiance
Mayor Singh led the Pledge of Allegiance.
1.2. Roll Call
Attendance Attendee Name
Present Lance Nishihira, Councilmember
Scott Sakakihara, Councilmember
Jeff Wang, Councilmember
Jaime Patiño, Vice Mayor
Gary Singh, Mayor
Absent None
Mayor Singh stated that the meeting would be adjourned in memory of former Union City Councilmember Pat Gacoscos.
2. PROCLAMATIONS AND PRESENTATIONS
2.1. Proclamation in Recognition of June 2026 as LGBTQ+ Pride Month Mayor Singh read the proclamation aloud and presented it to James Logan High School LGBTQ+ Alliance President Shiro Silva, who provided brief remarks 12 of 331
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afterward.
2.2. Proclamation Recognizing May 2026 as National Walking Month Mayor Singh read the proclamation aloud and presented it to Rita Haskin, who provided brief remarks afterward. A Washington Health representative also provided brief remarks.
2.3. Recognizing May 17–23, 2026, as National Public Works Week, “Rooted in Service, Powered by Community”
Mayor Singh read the proclamation aloud and presented it to Public Works staff.
Supervising Construction Inspector Gutierrez later provided brief remarks.
2.4. 2025 Police Department Annual Report
Police Chief Rinetti provided staff presentation and responded to questions from the Council.
3. ORAL COMMUNICATIONS
Mayor Singh opened Oral Communications. The following individuals spoke on items that were not on the agenda:
Michelle Parnala
Ray Gonzales
Pieter Friedrich
Shamsa Rafay
There being no further speakers, Mayor Singh closed Oral Communications.
4. CONSENT CALENDAR
Motion: Approve the Consent Calendar.
RESULT: Pass
MOVER: Councilmember Wang
SECONDER: Councilmember Sakakihara
AYES: Councilmembers Nishihira, Sakakihara, Wang, Vice Mayor Patiño, and Mayor Singh
NOES: None
ABSENT: None
4.1. Approve the May 12, 2026 City Council Special Meeting Action Minutes Approved as part of the Consent Calendar.
4.2. Approve the May 12, 2026 City Council Regular Meeting Action Minutes Approved as part of the Consent Calendar.
4.3. Adopt a Resolution Calling and Giving Notice of the Holding of a General Municipal Election to be Held on Tuesday, November 3, 2026, Requesting Consolidation with the Statewide General Election, Requesting Election Services from the Alameda County Registrar of Voters, and Establishing Regulations for Candidate Statements
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Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-061
4.4. Adopt a Resolution Approving the City of Union City Public Comment Speaker Card and Remote Public Comment Queue Policy
Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-062
4.5. Adopt a Resolution Appointing Individuals to Serve on the Economic Development Advisory Team, Park and Recreation Commission, Climate Action Plan Task Force, and Senior Citizens Commission
Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-063
4.6. Adopt a Resolution Accepting a $6,000 Donation from SC Services, LLC, Affiliated with Appian Way Land Holdings, for the Larry Orozco Teen Bike Workshop
Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-064
4.7. Adopt a Resolution Authorizing the City Manager to Execute a Three-Year Service Agreement with ePlus Technology, Inc., in the Amount not to Exceed $180,684.00 for Cyber-Security Monitoring Services and Incident Response
Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-065
4.8. Adopt a Resolution of the City Council of the City of Union City Amending the Classification and Compensation Plan to Update the Class Specification for the Classification of Police Officer Trainee Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-066
4.9. Adopt a Resolution Approving a Tiered Recovery Structure for Property Owners’ Sidewalk Repair Costs Associated with the Annual Sidewalk, Curb & Gutter, and Ramp Repair Project, City Project No. 25-03, and Authorizing a Repayment Plan of up to 24 Months
Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-067
4.10. Adopt a Resolution Authorizing the City Manager to Execute the First Amendment to the Consulting Services Agreement with Parametrix, Inc., in the Amount of $281,131, for a Total Contract Amount not to Exceed $355,941, for the Union City Transit Short Range Transit Plan, City Project No. 21-05, and Approving a Budget Transfer
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Adopted as part of the Consent Calendar.
Enactment No.: Resolution No. 2026-068
4.11. Adopt Two Resolutions: 1) Approving the Annual Engineer's Report for the Landscape and Lighting Maintenance District (LLAD) No. 3, and 2) Declaring the City Council's Intent to Levy and Collect Assessments, Setting June 23, 2026, as the Public Hearing Date
Adopted as part of the Consent Calendar.
Enactment Nos.: Resolution No. 2026-069 and 2026-070
5. PUBLIC HEARINGS
5.1. Public Hearing and Adopt Two Resolutions:
1) Approving and Authorizing the Submittal of the FY 2026-2027 Community Development Block Grant (CDBG) Annual Action Plan and Authorizing the City Manager, or their Designee, to submit the FY 2026- 2027 CDBG Annual Action Plan to the U.S. Department of Housing and Urban Development (HUD) and to Execute All Documents Necessary to Secure and Award Funding for the City; and
2) Approving the Appropriation of $4,215 in Rent Mediation/Eviction Projection Funds to Support ECHO Housing as Part of the FY 2026-2027 Public Service Grant Process and Updating the FY 2026-2027 City Budget to Align with the FY 2026-2027 CDBG Allocation
Housing & Community Development Manager Gomez provided staff presentation and responded to questions from the Council.
Mayor Singh opened the Public Hearing at 8:34 PM. There being no speakers, Mayor Singh closed the Public Hearing at 8:34 PM.
Motion: Adopt a resolution approving and authorizing the submittal of the FY 2026-2027 Community Development Block Grant (CDBG) Annual Action Plan and authorizing the City Manager, or their designee, to submit the FY 2026-2027 CDBG Annual Action Plan to the U.S. Department of Housing and Urban Development (HUD) and to execute all documents necessary to secure and award funding for the City; and adopt a resolution approving the appropriation of $4,215 in Rent Mediation/Eviction Projection funds to support ECHO Housing as part of the FY 2026-2027 Public Service Grant process and updating the FY 2026-2027 City Budget to align with the FY 2026-2027 CDBG allocation.
RESULT: Pass
MOVER: Vice Mayor Patiño
SECONDER: Councilmember Wang
AYES: Councilmember Nishihira, Councilmember Sakakihara, Councilmember Wang, Vice Mayor Patiño, and Mayor Singh
NOES: None
ABSENT: None
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Enactment Nos.: Resolution Nos. 2026-071 and 2026-072
6. CITY MANAGER REPORTS
6.1. Adopt a Resolution Adopting Amended and Restated Statement of Goals and Policies Regarding Use of the Mello-Roos Community Facilities Act of 1982,
Adopt a Resolution Declaring Intention to Form the City of Union City Community Facilities District No. 2026-1 (Station East Facilities and Services), Designate an Initial Improvement Area Therein and Establish a Future Annexation Area, and to Levy Special Taxes Therein to Finance Certain Public Services and the Acquisition and Construction of Certain Public Facilities, and
Adopt a Resolution Declaring Intention to Incur a Bonded Indebtedness in and for the City of Union City Community Facilities District No. 2026-1 (Station East Facilities and Services) in an Amount not to Exceed $38,000,000 to Finance the Acquisition and Construction of Certain Public Facilities
Contract Planner Carmichael provided staff presentation and responded to questions from the City Council.
No speaker cards were received for this item.
Motion: Adopt three resolutions: 1) adopting amended and restated Statement of Goals and Policies regarding use of the Mello-Roos Community Facilities Act of 1982; 2) declaring intention to form the City of Union City Community Facilities District No. 2026-1 (Station East Facilities and Services), designate an initial improvement area therein and establish a future annexation area, and levy special taxes therein to finance certain public services and the acquisition and construction of certain public facilities; and 3) declaring intention to incur bonded indebtedness in and for the City of Union City Community Facilities District No. 2026-1 (Station East Facilities and Services) in an amount not to exceed $38,000,000 to finance the acquisition and construction of certain public facilities.
RESULT: Pass
MOVER: Councilmember Wang
SECONDER: Vice Mayor Patiño
AYES: Councilmember Nishihira, Councilmember Sakakihara, Councilmember Wang, Vice Mayor Patiño, and Mayor Singh
NOES: None
ABSENT: None
Enactment Nos.: Resolution Nos. 2026-073, 2026-074, and 2026-075
6.2. Adopt a Resolution of the City Council of the City of Union City Reaffirming and Proclaiming the City of Union City as a Compassionate City City Attorney Kokotaylo provided staff presentation and responded to questions from the Council.
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Mayor Singh opened Public Comment. The following speaker spoke on the item:
Shamsa Rafay
There being no further speakers, Mayor Singh closed Public Comment.
Councilmember Sakakihara requested additional language regarding civil immigration enforcement activities on City-owned or City-controlled property.
Mayor Singh requested additional details regarding the City’s response to civil immigration enforcement activities.
Motion: Direct staff to return at the next City Council meeting with a revised resolution reaffirming Union City as a Compassionate City, providing additional detail regarding responses to civil immigration enforcement, and incorporating additional language consistent with the comments made by Mayor Singh and Councilmember Sakakihara.
RESULT: Pass
MOVER: Mayor Singh
SECONDER: Vice Mayor Patiño
AYES: Councilmember Nishihira, Councilmember Sakakihara, Councilmember Wang, Vice Mayor Patiño, and Mayor Singh
NOES: None
ABSENT: None
6.3. Adopt a Resolution Approving the City of Union City Investment Policy for Fiscal Year 2026-2027
Finance Director Thai introduced Schuster Advisory Group Managing Partner and CEO Mark Schuster and Portfolio Manager Michael Gonzalez, who provided the presentation and responded to questions from the Council.
Mayor Singh opened Public Comment. The following speaker spoke on the item:
Shamsa Rafay
There being no further speakers, Mayor Singh closed Public Comment.
Motion: Adopt a Resolution Approving the City of Union City Investment Policy for Fiscal Year 2026-2027.
RESULT: Pass
MOVER: Vice Mayor Patiño
SECONDER: Councilmember Wang
AYES: Councilmember Nishihira, Councilmember Sakakihara, Councilmember Wang, Vice Mayor Patiño, and Mayor Singh
NOES: None
ABSENT: None
Enactment No.: Resolution No. 2026-076
6.4. Receive the Quarterly Investment Report as of April 30, 2026 Finance Director Thai introduced Schuster Advisory Group Managing Partner and CEO Mark Schuster and Portfolio Manager Michael Gonzalez, who provided 17 of 331
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the presentation and responded to questions from the Council.
No speaker cards were received for this item.
Councilmember Sakakihara requested that the Legislation and Policy Committee consider potential amendments to the City’s Investment Policy regarding ethical, sustainable, and socially responsible investment considerations. Councilmember Nishihira stated he had no objection to the Committee discussing the matter.
Mayor Singh requested additional information regarding the City’s investment holdings before supporting referral of the matter to the Committee. No formal direction was provided.
Council received the report.
7. SUCCESSOR AGENCY TO REDEVELOPMENT AGENCY
There were none.
8. ITEMS REFERRED BY COUNCIL
Vice Mayor Patiño reported attending the California Community Choice Association (CalCCA) Conference in Sacramento on May 13 and May 14, 2026, and the virtual League of California Cities Latino Caucus Board Meeting on May 22, 2026.
Councilmember Sakakihara reported attending the Ava Community Energy Board Meeting on May 20, 2026, and the Alameda County Fire Department Advisory Commission Meeting on May 21, 2026.
Councilmember Wang reported attending a Chamber of Commerce meeting and a National League of Cities Public Safety Committee meeting by Zoom.
Councilmember Nishihira reported that the Alameda County Waste Management Authority Board meeting is scheduled for May 27, 2026; that he attended the Alameda County Waste Management Authority Programs and Administration Committee meeting on May 14, 2026; that the Legislation and Policy Committee is scheduled for June 1, 2026; that the Alameda County Library Advisory Commission is scheduled for July 1, 2026; that there were no Chamber of Commerce meetings to report; and that he would likely be unable to attend the Human Relations Commission meeting scheduled for May 27, 2026.
Mayor Singh did not provide a report under this item.
9. GOOD OF THE ORDER
Councilmember Nishihira recognized the passing of former Councilmember Pat Gacoscos and requested a follow-up on scheduling the City Manager evaluation. He also referenced a request from Michelle Parnala for staff to report why officers were present at a school board community meeting; no Council consensus or action was taken on that request.
Councilmember Wang offered condolences on the passing of former Councilmember Pat Gacoscos. He reported attending the ribbon-cutting event for The Reserve on May 21, 2026, the vigil for the victims of the San Diego shooting on May 22, 2026, and a Memorial Day event at Chapel of the Chimes with Vice Mayor Patiño.
Councilmember Sakakihara reported attending the first Punjabi graduation event at James Logan High School on May 17, 2026; meeting with Bay Area Community Services and Faith in Action on May 18, 2026; attending The Reserve ribbon-cutting event on May 21, 2026; 18 of 331
May 26, 2026 | 7:00 PM Page 8 of 8
City Council / Successor Agency
Regular Meeting Minutes
and attending the vigil for the victims of the San Diego shooting on May 22, 2026. He also offered condolences on the passing of former Councilmember Pat Gacoscos.
Vice Mayor Patiño reported attending the National League of Cities Capstone Leadership Forum in Oklahoma City from May 18 to May 20, 2026; the HELO membership meeting on May 21, 2026; The Reserve ribbon-cutting event on May 21, 2026; and the Sister Cities Plaza memorial for the victims of the San Diego mosque shooting on May 22, 2026. He also reported that he would attend the Bay Area Association of Latino Elected Officials conference in Napa on May 29, 2026, and offered condolences on the passing of former Councilmember Pat Gacoscos.
Mayor Singh reported attending the Hot Spot Pottery ribbon-cutting event and the Punjabi graduation event at James Logan High School. He offered remarks in memory of former Councilmember Pat Gacoscos.
10. ADJOURNMENT
Mayor Singh adjourned the meeting at 9:53 PM in memory of former Union City Councilmember Pat Gacoscos.
I HEREBY CERTIFY that the foregoing minutes were duly and regularly adopted at a regular meeting of the City Council and Successor Agency to the Redevelopment Agency of the City of Union City on June 9, 2026.
/s/Thai Nam Pham, MMC, CPMC
City Clerk and Secretary to the Successor Agency
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City Council Staff Report Page 1 of 2 June 9, 2026
Staff Report
Agenda Item No. 4.2
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Designating the Voting Delegate and Alternate Voting Delegate for the League of California Cities Annual Conference, September 23–25, 2026, in Anaheim
EXECUTIVE SUMMARY
The City Council is asked to adopt a resolution designating the City of Union City’s voting delegate and alternate voting delegate for the League of California Cities Annual Conference and Expo, which will be held September 23-25, 2026, at the Anaheim Convention Center in Anaheim.
STRATEGIC PLAN ALIGNMENT
This action has no alignment with the strategic plan.
BACKGROUND
It is customary for the City of Union City to designate its voting delegate and alternate voting delegate for the Annual Conference of the League of California Cities.
The League of California Cities convenes a General Assembly during the Annual Conference, where member cities may vote on resolutions and other matters that establish League policy. Each member city is entitled to designate one voting delegate and up to two alternate voting delegates.
DISCUSSION
The 2026 League of California Cities Annual Conference and Expo is scheduled for September 23-25, 2026, at the Anaheim Convention Center. The conference includes general sessions, educational workshops, networking opportunities, and an Expo Hall designed to provide city officials and staff with information, resources, and tools to support local government operations.
As a member agency of the League of California Cities, Union City has the opportunity to participate in the General Assembly and vote on resolutions that establish League policy. 20 of 331
Agenda Item No. 4.2
City Council Staff Report Page 2 of 2 June 9, 2026 5
4 3
The General Assembly is scheduled for Friday, September 25, 2026.
Under League of California Cities procedures, the City Council must formally designate the City’s voting delegate and any alternate voting delegates by Council action. The voting delegate and alternate voting delegates must also be registered for the conference. To cast the City’s vote, the voting delegate or alternate must be present at the General Assembly and in possession of the City’s voting delegate card and voting tool. The voting delegate card may be transferred only between the designated voting delegate and the designated alternate voting delegates. It may not be transferred to another City official who has not been formally designated by the City Council.
The City’s Council assignments currently identify Councilmember Jeff Wang as the assigned representative to the League of California Cities East Bay Division and Vice Mayor Jaime Patiño as the alternate. Consistent with those assignments, the proposed resolution designates Councilmember Jeff Wang as the City’s voting delegate and Vice Mayor Jaime Patiño as the City’s alternate voting delegate for the 2026 Annual Conference.
Following Council action, the City Clerk’s Office will submit the voting delegate information through the League of California Cities online submission portal before the September 1, 2026, deadline.
FISCAL IMPACT
There is no fiscal impact associated with this action.
RECOMMENDATION
Staff recommends that the City Council adopt a resolution designating Councilmember Jeff Wang as the City of Union City’s voting delegate and Vice Mayor Jaime Patiño as the City’s alternate voting delegate for the League of California Cities Annual Conference and Expo, September 23-25, 2026, in Anaheim.
Prepared by: Thai Nam Pham, City Clerk
Submitted by: Thai Nam Pham, City Clerk
Attachments
1. Draft Resolution
2. League of California Cities 2026 Annual Conference Voting Delegate Information Packet
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RESOLUTION NO. 2026-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY
DESIGNATING THE VOTING DELEGATE AND ALTERNATE VOTING
DELEGATE FOR THE LEAGUE OF CALIFORNIA CITIES ANNUAL
CONFERENCE, SEPTEMBER 23-25, 2026
WHEREAS, the League of California Cities will hold its Annual Conference and Expo from September 23-25, 2026, at the Anaheim Convention Center in Anaheim, California; and WHEREAS, the Annual Conference includes a General Assembly where League of California Cities member cities vote on resolutions and other matters that establish League policy; and
WHEREAS, the City of Union City is a member of the League of California Cities and is entitled to participate in the consideration of such resolutions and policy matters; and
WHEREAS, the League of California Cities requires that each member city designate a voting delegate and may designate up to two alternate voting delegates for the Annual Conference; and
WHEREAS, the City Council desires to formally designate the City’s voting delegate and alternate voting delegate for the 2026 Annual Conference.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby designates Councilmember Jeff Wang as its Voting Delegate and Vice Mayor Jaime Patiño as its Alternate Voting Delegate for the League of California Cities Annual Conference and Expo to be held in Anaheim, California, from September 23-25, 2026 22 of 331
Resolution No. 2026-XXX
LOCC Voting Delegate
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on June 9, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:
THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
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1400 K Street, Suite 400, Sacramento, CA 95814 • 916.658.8200 • calcities.org
DATE: Wednesday, May 13, 2026
TO: Mayors, Council Members, City Clerks, and City Managers RE: DESIGNATION OF VOTING DELEGATES AND ALTERNATES
League of California Cities Annual Conference and Expo, Sept. 23-25, 2026 Anaheim Convention Center
Every year, the League of California Cities convenes a member-driven General Assembly at the Cal Cities Annual Conference and Expo. The General Assembly is an important opportunity where city officials can directly participate in the development of Cal Cities policy.
Taking place on Friday, Sept. 25, 2026 the General Assembly is comprised of voting delegates appointed by each member city; every city has one voting delegate. Your appointed voting delegate plays an important role during the General Assembly by representing your city and voting on resolutions.
To cast a vote during the General Assembly, your city must designate a voting delegate and up to two alternate voting delegates, one of whom may vote if the designated voting delegate is unable to serve in that capacity. Voting delegates may either be an elected or appointed official.
Action by Council Required. Consistent with Cal Cities bylaws, a city’s voting delegate and up to two alternates must be designated by the city council. Please note that designating the voting delegate and alternates must be done by city council action and cannot be accomplished by individual action of the mayor or city manager alone.
Following council action, please submit your city’s delegates through the online submission portal by Tuesday, Sept. 1, 2026. When completing the Voting Delegate submission form, you will be asked to attest that council action was taken. You will need to be signed in to your My Cal Cities account when submitting the form.
Submitting your voting delegate form by the deadline will allow us time to establish voting delegate/alternate records prior to the conference and provide pre-conference communications with voting delegates.
Conference Registration Required. The voting delegate and alternates must be registered to attend the conference. They need not register for the entire conference; they may register for Friday only. Conference registration opens June 2.
For a city to cast a vote, one voter must be present at the General Assembly and in possession of the voting delegate card and voting tool. Voting delegates and Council Action Advised by September 1, 2026
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alternates need to pick up their conference badges before signing in and picking up the voting delegate card at the voting delegate desk. This will enable them to receive the special sticker on their name badges that will admit the voting delegate into the voting area during the General Assembly.
Please view Cal Cities’ event and meeting policy in advance of the conference.
Transferring Voting Card to Non-Designated Individuals Not Allowed. The voting delegate card may be transferred freely between the voting delegate and alternates, but only between the voting delegate and alternates. If the voting delegate and alternates find themselves unable to attend the General Assembly, they may not transfer the voting card to another city official.
Seating Protocol during General Assembly. At the General Assembly, individuals with a voting card will sit in a designated area. Admission to the voting area will be limited to the individual in possession of the voting card and with a special sticker on their name badge identifying them as a voting delegate.
The voting delegate desk, located in the conference registration area of the Long Beach Convention Center in Long Beach, will be open at the following times: Wednesday, Sept. 23, 8:00 a.m.-6:00 p.m. and Thursday, Sept. 24, 7:30 a.m.-4:00 p.m. On Friday, Sept. 25, the voting delegate desk will be open at the General Assembly, starting at 7:30 a.m., but will be closed during roll calls and voting.
The voting procedures that will be used at the conference are attached to this memo.
Please share these procedures and this memo with your council and especially with the individuals that your council designates as your city’s voting delegate and alternates.
Once again, thank you for submitting your voting delegate and alternates by Tuesday, Sept. 1. If you have questions, please contact Zach Seals at [email protected].
Attachments:
• General Assembly Voting Guidelines
• Information Sheet: Cal Cities Resolutions and the General Assembly 25 of 331
1400 K Street, Suite 400, Sacramento, CA 95814 • 916.658.8200 • calcities.org General Assembly Voting Guidelines
1. One City One Vote. Each member city has a right to cast one vote on matters pertaining to Cal Cities policy.
2. Designating a City Voting Representative. Prior to the Cal Cities Annual Conference and Expo, each city council may designate a voting delegate and up to two alternates; these individuals are identified on the voting delegate form provided to the Cal Cities Credentials Committee.
3. Registering with the Credentials Committee. The voting delegate, or alternates, may pick up the city's voting card at the voting delegate desk in the conference registration area. Voting delegates and alternates must sign in at the voting delegate desk. Here they will receive a special sticker on their name badge and thus be admitted to the voting area at the General Assembly.
4. Signing Initiated Resolution Petitions. Only those individuals who are voting delegates (or alternates), and who have picked up their city’s voting card by providing a signature to the credentials committee at the voting delegate desk, may sign petitions to initiate a resolution.
5. Voting. To cast the city's vote, a city official must have in their possession the city's voting card and voting tool; and be registered with the credentials committee. The voting card may be transferred freely between the voting delegate and alternates but may not be transferred to another city official who is neither a voting delegate nor alternate.
6. Voting Area at General Assembly. At the General Assembly, individuals with a voting card will sit in a designated area. Admission to the voting area will be limited to the individual in possession of the voting card and with a special sticker on their name badge identifying them as a voting delegate.
7. Resolving Disputes. In case of dispute, the credentials committee will determine the validity of signatures on petitioned resolutions and the right of a city official to vote at the General Assembly.
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Sixty days before the
Annual Conference
and Expo, Cal Cities
members may submit
policy proposals on
issues of importance
to cities. The resolution must
have the concurrence of at least
five additional member cities or
individual members.
How it works: Cal Cities
Resolutions and the General Assembly
General Assembly
General Resolutions Policy Committees
Developing League of California Cities policy is a dynamic process that engages a wide range of members to ensure Cal Cities represents cities with one voice. These policies directly guide Cal Cities’ advocacy to promote local decision-making, and lobby against statewide policies that erode local control.
The resolutions process and General Assembly is one way that city officials can directly participate in the development of Cal Cities policy. If a resolution is approved at the General Assembly, it becomes official Cal Cities policy. Here’s how resolutions and the General Assembly work.
The petitioned
resolution is an
alternate method
to introduce policy
proposals during
the annual conference. The
petition must be signed by
voting delegates from 10% of
member cities, and submitted to
the Cal Cities President at least
24 hours before the beginning
of the General Assembly.
Petitioned Resolutions
The Cal Cities
President assigns
general resolutions
to policy committees
where members
review, debate, and recommend
positions for each policy proposal.
Recommendations are forwarded
to the Resolutions Committee.
Who’s who
The Resolutions Committee
includes representatives
from each Cal Cities
diversity caucus, regional
division, municipal
department, and policy
committee, as well as
individuals appointed by
the Cal Cities president.
Voting delegates
are appointed by each
member city; every city
has one voting delegate.
The General Assembly is a
meeting of the collective
body of all voting
delegates —one from
every member city.
Seven policy committees
meet throughout the year
to review and recommend
positions to take on bills
and regulatory proposals.
Policy committees include
members from each Cal
Cities diversity caucus,
regional division, and
municipal department,
as well as individuals
appointed by the Cal
Cities president.
During the General Assembly, voting delegates
debate and consider general and petitioned
resolutions forwarded by the Resolutions
Committee. Potential Cal Cities bylaws
amendments are also considered at this meeting.
Cal Cities policy
development is a memberinformed process,
grounded in the voices and
experiences of city officials
throughout the state.
For more information visit www.calcities.org/general-assembly Prior to the Annual Conference and Expo
Resolutions Committee
The Resolutions
Committee considers
all resolutions. General
Resolutions approved1 by
either a policy committee
or the Resolutions Committee are next
considered by the General Assembly.
General resolutions not approved, or
referred for further study by both a
policy committee and the Resolutions
Committee do not go to the General
Assembly. All Petitioned Resolutions
are considered by the General
Assembly, unless disqualified.2
During the Annual Conference and Expo
1 The Resolution Committee can amend a general resolution prior to sending it to the General Assembly. 2 Petitioned Resolutions may be disqualified by the Resolutions Committee according to Cal Cities Bylaws Article VI. Sec. 5(f). 27 of 331
City Council Staff Report Page 1 of 3 June 9, 2026
Staff Report
Agenda Item No. 4.3
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Approving the Police Towing Rotation List and Authorizing the City Manager to Execute Non-Exclusive Franchise Agreements for Towing Services with Jack James Tow Service, Inc. and Island Auto Towing
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a resolution approving the police towing rotation list and authorizing the City Manager to execute non-exclusive franchise agreements for towing services with Jack James Tow Service, Inc. and Island Auto Towing.
BACKGROUND
The Police Department requires the services of a towing company to remove a vehicle from a public street or City-owned property. This need may arise after a traffic accident or when a vehicle is involved in a crime or parked illegally. To ensure the efficient and safe removal of vehicles, and to provide a dependable towing service to the City, the Municipal Code establishes minimum standards for vehicle towing services. Chapter
10.17 of the Union City Municipal Code governs the selection of companies to provide towing services to the Union City Police Department.
Chapter 10.17 provides that the Chief of Police shall maintain a list of up to three companies to provide these towing services. Companies selected to be on the tow rotation list are required to sign a non-exclusive franchise agreement with the City to provide towing services for a five-year term. The City most recently executed towing service agreements in 2021, which will expire on June 30, 2026.
DISCUSSION
On February 3, 2026, the City released a Request for Proposal seeking qualified companies to provide towing services for the Union City Police Department (the “RFP”).
The RFP detailed the services the City requested, the required content of proposals, and the deadline for submitting responses. The RFP also established fixed, standardized 28 of 331
Agenda Item No. 4.3
City Council Staff Report Page 2 of 3 June 9, 2026
towing rates, ensuring fair and predictable pricing for both the City and vehicle owners.
The City received responses from three towing companies. The companies were evaluated based on several criteria, including responsiveness to the RFP requirements, experience, capability to provide the required services, and ability to provide the services without delay. The Police Department also performed background investigations regarding the companies and checked references. The Police Department believes that two towing companies are sufficient to meet the department’s needs. However, a third tow company can be added in the future if needed.
Based on these criteria, staff identified Jack James Tow Service, Inc. and Island Auto Towing as the two companies most qualified and able to provide towing services pursuant to Municipal Code Chapter 10.17. If approved by the City Council, these companies will enter into non-exclusive franchise agreements for towing services. The agreement will go into effect on July 1, 2026, and have a term of five years. When the City needs a vehicle to be towed, the Police Department will contact one of these two companies to perform the work. The franchise agreements also establish the rates the companies may charge for their towing services. In most situations, these fees are paid by the owner of the towed vehicle. The fee for tows paid by the City is $51.
The tow fee schedule in the franchise agreement represents a 2.5% increase over the expiring franchise agreement fees, and a staff survey found these rates are comparable to those of neighboring jurisdictions and the California Highway Patrol. In 2025, the Union City Police Department initiated 204 tows for stored vehicles, vehicles parked over 72 hours, and expired registration; the associated towing charges are the responsibility of the vehicle owners. Within the same year, the City also utilized and paid $5,343 for towing requested by the Police and Public Works departments.
FISCAL IMPACT
Each towing company placed on the City’s tow rotation list is required to pay the City a franchise fee of $7,500 per year. If the proposed resolution is approved, the two companies will pay the City a combined $15,000 per year. This money is deposited into the General Fund.
RECOMMENDATION
Staff recommends that the City Council adopt a resolution approving the police towing rotation list and authorizing the City Manager to execute non-exclusive franchise agreements for towing services with Jack James Tow Service, Inc. and Island Auto Towing.
Prepared by: Andrew Holt, Police Captain
Submitted by: Jared Rinetti, Police Chief
29 of 331
Agenda Item No. 4.3
City Council Staff Report Page 3 of 3 June 9, 2026
Attachments
1. Draft Resolution
2. Jack James Tow Company Non-Exclusive Franchise Agreement for Towing Services
3. Island Tow Company Non-Exclusive Franchise Agreement for Towing Services 30 of 331
RESOLUTION NO. 2026-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY
APPROVING THE POLICE TOWING ROTATION LIST AND
AUTHORIZING THE CITY MANAGER TO EXECUTE NON-EXCLUSIVE
FRANCHISE AGREEMENTS FOR TOWING SERVICES WITH JACK
JAMES TOW SERVICE, INC. AND ISLAND AUTO TOWING
WHEREAS, to ensure the efficient and safe removal of vehicles, and to provide a dependable towing service to the City, Chapter 10.17 Municipal Code establishes minimum standards for vehicle towing services and governs the selection of companies to provide towing services to the Union City Police Department; and WHEREAS, the City released a Request for Proposal seeking qualified companies to provide towing services for the Union City Police Department (the “RFP”); and WHEREAS, responses to the RFP were evaluated based on several criteria, including: responsiveness to the requirements of the RFP, experience, capability to provide the required services, and ability to provide the services without delay; and WHEREAS, based on these criteria, staff identified Jack James Tow Service, Inc. and Island Auto Towing as the two companies most qualified and able to provide towing services pursuant to Municipal Code Chapter 10.17; and WHEREAS, Municipal Code Chapter 10.17 provides that companies providing towing services for the City shall enter into non-exclusive franchise agreements with a term of five years.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby approves placing Jack James Tow Service, Inc. and Island Auto Towing on the police towing rotation list pursuant to Municipal Code Chapter 10.18.
BE IT FURTHER RESOLVED that the City Council of the City of Union City hereby authorizes the City Manager to execute non-exclusive franchise agreements for towing services with Jack James Tow Service, Inc. and Island Auto Towing for a five-year term commencing on July 1, 2026.
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Resolution No. 2026-XXX
Towing Services with Jack James Tow Services, Inc. and Island Auto Towing
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on June 9, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:
THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
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Tow Services Agreement between
CITY OF UNION CITY and Jack James Tow Service, Inc.
NON-EXCLUSIVE FRANCHISE
AGREEMENT
FOR TOW SERVICES BETWEEN
THE CITY OF UNION CITY AND
JACK JAMES TOW SERVICE,INC.
This agreement for Tow Services (this “Agreement”) is entered into on July 1, 2026 (the “Effective Date”) between the CITY OF UNION CITY, a municipal corporation, (“City”) and Jack James Tow Service, Inc., with offices located at 549 “C” Street, Hayward, CA 94541 (“Contractor”) (together sometimes referred to as the “Parties”). This Agreement contains rules and regulations that Contractor agrees to comply with in order to be placed on the rotational tow list with the City.
Section 1. SERVICES. In accordance with the terms and conditions set forth in this Agreement, Contractor agrees to perform all services described in the Scope of Services, attached as Exhibit A, which is incorporated herein. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A, this Agreement shall prevail.
1.1 Term of Services. This Agreement shall begin on the Effective Date and shall end on June 30,2031, five (5) years from the date this Agreement was executed, unless the term of the Agreement is otherwise terminated or modified, as provided for herein. If the performance of the Scope of Services extends beyond the five (5) year term of this Agreement, then the term of this Agreement shall be extended solely for and until completion of the Scope of Services.
1.2 Standard of Performance. Contractor shall diligently perform all services required in connection with this Agreement in the manner and according to the standards observed by a competent practitioner of the profession in which Contractor is engaged in the geographical area in which Contractor practices its profession.
1.3 Assignment of Personnel. Contractor shall assign only competent personnel to perform services in connection with this Agreement.
Contractor shall ensure that tow truck drivers are trained and proficient in the use of the tow truck and related equipment, including, but not limited to, the procedures necessary for the safe towing and recovery of the various types of vehicles serviced through the City. Tow truck drivers shall be at least 18 years of age and shall possess the proper class license and certificates for the towed and towing vehicle Class A licenses must be endorsed to allow operation of special vehicle configurations and/or special cargoes. All training documentation shall be submitted to the City for each tow truck driver.
Contractor shall provide a current list of personnel performing services in connection with this Agreement upon execution of this Agreement.
Contractor shall immediately notify City upon any change in personnel 33 of 331
Tow Services Agreement between
CITY OF UNION CITY and Jack James Tow Service, Inc.
status related to personnel performing services in connection with this Agreement including the addition of new drivers or employees, the termination of any drivers or employees or a change in employee status.
Prior to any personnel performing work on behalf of Contractor pursuant to this Agreement, the personnel must complete a criminal background and driving record check and drivers must be enrolled in the Pull Notice Program as required by the California Vehicle Code.
Contractor shall maintain records of background checks and Pull Notice Program enrollment pursuant to this Agreement. Contractor shall, at a minimum, maintain the following information for personnel performing service in connection with this Agreement:
1. Full legal name
2. Date of birth
3. California driver’s license number
4. Copy of valid medical certificate (if required)
5. Job title/description
6. Current home address
7. Current phone number
8. Type(s) of truck(s) the personnel has/have been trained to operate (if applicable)
9. Current Pull Notice
Contractor shall not utilize personnel to provide services pursuant to this Agreement who, within the thirty-six months preceding the date of his/her service with Contractor, or who in the course of his/her service with Contractor, has been convicted of one or more of the following crimes:
1. Auto theft, burglary, possession of stolen property, grand or petty theft;
2. Fraud;
3. Stolen or embezzled property;
4. A crime of violence or a crime of moral turpitude;
5. Any crime that requires registration as a sex and/or arson offender;
6. A violation of the Health and Safety Code relating to narcotics or dangerous drugs;
7. A violation of Sections 4461, 4462b, 4463, or 5017a of Division 3 of the California Vehicle Code;
8. A violation of any provision of Division 4 of the California Vehicle Code; or
9. A crime relating to illegal acquisition of vehicles or vehicle parts or documents relating to vehicle registration or ownership.
Contractor shall not utilize any tow truck drivers to provide services pursuant to this Agreement that receive four or more violation point counts in a 12-month period, six or more violation point counts in a 24-month period or eight or more violation point counts in a 36-month period, as referenced in California Vehicle Code Section 12810.5.
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Tow Services Agreement between
CITY OF UNION CITY and Jack James Tow Service, Inc.
If Contractor or any personnel providing services pursuant to this Agreement has been removed, suspended, or disciplined by any other public agency, including but not limited to the California Highway Patrol, Contractor must notify the City in writing within twenty-four (24) hours.
1.4 Discipline and Termination. The City may take disciplinary action pursuant to Appendix A of Exhibit B. The City may terminate this Agreement if Contractor fails to comply with Chapter 10.17 of the Union City Municipal Code or this Agreement. The City shall provide Contractor written notice of termination along with the reasons for termination, facts supporting termination, and ability to appeal pursuant to Chapter 10.17 of the Union City Municipal Code twenty-four hours prior to the effective date of the termination.
Contractor may terminate this Agreement at any time before the expiration of the term of this Agreement by giving sixty (60) days’ prior written notice to the City. Contractor shall not be entitled to reimbursement of any portion of the annual franchise fee previously paid to the City.
1.5 Appeals. Contractor shall have the right to appeal the decision to terminate this Agreement within ten (10) days of the mailing of notice of the decision of the Chief of Police by filing a written notice of appeal with the City. The City Manager shall hear the appeal. An appeal shall not stay enforcement of the appealed action. The date, time, and place of appeal hearings shall be provided in writing to the operator or person with at least ten (10) days’ notice and copies of hearing rules.
Section 2. COMPENSATION. Rates for services provided to the City pursuant to this Agreement including fees charged for response to non-consensual tows and storage are set forth in Appendix B of Exhibit B. This Agreement shall be subject to suspension or termination if Contractor charges rates in excess of the fees set forth in Exhibit B. During the term of this Agreement, Contractor shall pay the City, as consideration for the nonexclusive franchise right to perform City generated tows pursuant to this Agreement, an annual franchise fee. The initial franchise fee for the first year shall be payable within thirty
(30) days of the award of this Agreement and annually thereafter. The amount of the franchise fee is set forth in Appendix B of Exhibit B.
2.1 Invoices. Contractor shall submit invoices once a month, based on the cost for services performed and reimbursable costs incurred prior to the invoice date, for work performed for the City. Contractor shall have ninety (90) days after the completion of work to invoice City for all amounts due and outstanding under each governed by this Agreement. In the event, Contractor fails to invoice City for all amounts due within such ninety (90) 35 of 331
Tow Services Agreement between
CITY OF UNION CITY and Jack James Tow Service, Inc.
day period, Contractor shall waive its right to collect payment from City.
2.2 Payment. City shall make monthly payments, based on invoices received, for services satisfactorily performed, and for authorized reimbursable costs incurred.
2.3 Payment of Taxes. Contractor is solely responsible for the payment of employment taxes incurred under this Agreement and any similar federal or state taxes.
2.4 Authorization to Perform Services. Contractor is not authorized to perform any services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator.
2.5 Business License. Contractor is not authorized to perform services or incur costs whatsoever under the terms of this Agreement until Contractor applies for and has been issued a business license from the City pursuant to Title 5 of the Union City Municipal Code.
Section 3. ROTATIONAL TOW LIST. The City shall maintain a rotational tow list to ensure an equitable distribution of calls. A call to Contractor shall constitute one turn on the list after which Contractor
shall be moved to the bottom of the list. When Contractor is unable to or refuses to respond to a request for service or perform the requested service, Contractor shall forfeit that tow and be placed at the bottom of the rotational tow list. If the City determines that Contractor is no longer required for a tow request or a tow request is otherwise cancelled by the City, Contractor shall be placed back to the top of the rotational tow list.
If tow truck drivers from multiple contractors on the rotational tow list are called to the same incident, distribution of the vehicles shall be at the discretion of the City’s police officer on scene.
The City may direct Contractor to move vehicles to help clear a roadway or for lifesaving operations and Contractor shall provide such assistance without additional compensation. Such assistance shall not change Contractor’s place on the rotational tow list.
Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this Agreement, Contractor, at its own cost and expense, shall procure the types and amounts of insurance listed below for the period covered by the Agreement.
4.1 Workers’ Compensation. If Contractor employs any person, Contractor shall maintain Statutory Workers’ Compensation Insurance and Employer’s Liability Insurance for any and all persons employed directly 36 of 331
Tow Services Agreement between
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or indirectly by Contractor with limits of not less than One Million Dollars ($1,000,000.00) per accident.
4.2 Commercial General and Automobile Liability Insurance. Contractor shall maintain commercial general and automobile liability insurance for the term of this Agreement in an amount not less than Two Million Dollars ($2,000,000.00) per occurrence, combined single limit coverage for risks associated with the work contemplated by this Agreement. Such coverage shall include but shall not be limited to, protection against claims arising from bodily and personal injury, including death resulting therefrom, and damage to property resulting from activities contemplated under this Agreement, including the use of owned and non-owned automobiles. The City, its officers, officials, employees, and volunteers shall be named as an additional insured and insurance shall provide primary coverage with respect to the City by written endorsement to the policy. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Consultant’s insurance and shall not contribute with it.
4.3 General Liability/Umbrella Insurance. The coverage amounts set forth above may be met by a combination of underlying and umbrella policies so long as in combination the limits equal or exceed those stated.
4.4 All Policies Requirements.
4.4.1 Verification of Coverage. Prior to beginning any work under this Agreement, Contractor shall, at the sole option of the City, provide City with (1) certified Certification of Insurance that demonstrates compliance with all applicable
insurance provisions contained herein; and (2) upon request by the City, complete certified copies of all policies and/or complete certified copies of all endorsements that demonstrate compliance with this Section 5.
4.4.2 Notice of Reduction in or Cancellation of Coverage. A certified endorsement must be attached to all insurance obtained in accordance with this Agreement stating that coverage shall not be suspended, voided, canceled by either party, or reduced in coverage or in limits, except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City.
4.4.3 Acceptability of insurers. All insurance required by this section is to be placed with insurers with a Bests' rating of no less than A:VII.
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acceptable to the City. Acceptance of Contractor’s insurance by the City shall not relieve or decrease the liability of Contractor hereunder. Any deductible or selfinsured retention amount or other similar obligation under the policies shall be the sole responsibility of the Contractor. Any deductible or self-insured retention amount or other similar obligation under the policies shall be the sole responsibility of the Contractor.
4.4.4 Deductibles and Self-Insured Retentions. Consultant shall disclose to and obtain the written approval of City for the self-insured retentions and deductibles before beginning any of the services or work called for by any term of this Agreement. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, employees, and volunteers; or the Consultant shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses.
4.4.5 Wasting Policies. No policy required by this Section 4 shall include a “wasting” policy limit (i.e. limit that is eroded by the cost of defense).
4.5 Waiver of Subrogation. Contractor agrees to waive subrogation which any insurer of Contractor may acquire from Contractor by virtue of the payment of any loss. Contractor agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation. The Workers' Compensation policy shall be endorsed with a waiver of subrogation in favor of City for all work performed by Contractor, its employees, agents and subcontractors.
Section 5. INDEMNIFICATION AND CONTRACTOR’S RESPONSIBILITIES.
Contractor shall indemnify, defend with counsel acceptable to City, and hold harmless City and its officers, officials, employees, agents and volunteers from and against any and all liability, loss, damage, claims, expenses, and costs (including without limitation, attorney’s fees and costs and fees of litigation) (collectively, “Liability”) of every nature arising out of or in connection with Contractor’s performance of the Services or its failure to comply with any of its obligations contained in this Agreement, except such Liability caused by the sole negligence or willful misconduct of City.
Contractor’s obligation to defend and indemnify shall not be excused because of Contractor’s inability to evaluate Liability or because Contractor evaluates Liability and determines that Contractor is not liable to the claimant. Contractor must respond within 30 days, to the tender of any claim for defense and indemnity by the City, unless this time has been extended by the City. If Contractor fails to accept or reject a tender of defense and indemnity within 30 days, in addition to any other remedy 38 of 331
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authorized by law, so much of the money due Contractor under and by virtue of this Agreement as shall reasonably be considered necessary by the City, may be retained by the City until disposition has been made of the claim or suit for damages, or until Contractor accepts or rejects the tender of defense, whichever occurs first.
With respect to third party claims against Contractor, Contractor waives any and all rights of any type to express or implied indemnity against the Indemnitees.
Notwithstanding the forgoing, to the extent this Agreement is a “construction contract” as defined by California Civil Code Section 2782, as may be amended from time to time, such duties of Contractor to indemnify shall not apply when to do so would be prohibited by California Civil Code Section 2782.
In the event that Contractor or any employee, agent, or subcontractor of Contractor providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of City, Contractor shall indemnify, defend, and hold harmless 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 City.
Section 6. STATUS OF CONTRACTOR.
6.1 Independent Contractor. At all times during the term of this Agreement, Contractor shall be an independent contractor and shall not be an employee of City. City shall have the right to control Contractor only insofar as the results of Contractor's services rendered pursuant to this Agreement and assignment of personnel pursuant to Subparagraph 1.3; however, otherwise City shall not have the right to control the means by which Contractor accomplishes services rendered pursuant to this Agreement.
Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Contractor and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any and all claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System (PERS) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits.
6.2 Contractor Not an Agent. Except as City may specify in writing, Contractor shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Contractor shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever.
Section 7. LEGAL REQUIREMENTS.
7.1 Governing Law. The laws of the State of California shall govern this Agreement. 39 of 331
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7.2 Compliance with Applicable Laws. Contractor and any subcontractors shall comply with all federal, state, and local laws applicable to the performance of the work in connection with this Agreement.
7.3 Licenses and Permits. Contractor represents and warrants to City that Contractor and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice their respective professions.
7.4 Nondiscrimination and Equal Opportunity. In compliance with federal, state and local laws, Contractor shall not discriminate, on the basis of a person’s race, religion, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation, against any employee, applicant for employment, subcontractor, bidder for a subcontract, or participant in, recipient of, or applicant for any services or programs provided by Contractor under this Agreement.
7.5 Work Requiring Payment of Prevailing Wages. In accordance with California Labor Code § 1771, not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which these services are to be performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work fixed as provided in the California Labor Code shall be paid to all workers engaged in performing the services under this Agreement.
Section 8. MODIFICATION.
8.1 Amendments. The Parties may amend this Agreement only by a writing signed by all the Parties.
8.2 Assignment. Contractor may not assign this Agreement or any interest therein without the prior written approval of the City.
8.3 Subcontracting. Contractor shall not subcontract any portion of the performance contemplated and provided for herein without prior written approval of the City. Where written approval is granted by the City, Contractor shall supervise all work subcontracted by Contractor in performing the Services; shall be responsible for all work performed by a subcontractor as if Contractor itself had performed such work; the subcontracting of any work to subcontractors shall not relieve Contractor from any of its obligations under this Agreement with respect to the Services; and Contractor is obligated to ensure that any and all subcontractors performing any Services shall be fully insured in all respects and to the same extent as set forth under Section 5, to City’s satisfaction.
8.4 Survival. All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating liability between City and Contractor shall survive the termination of this Agreement. 40 of 331
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Section 9. KEEPING AND STATUS OF RECORDS.
9.1 Records Created as Part of Contractor’s Performance. All reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, description of each vehicle towed, nature of service provided, start and end time of service, location of call, itemized costs of towing and storage, tow truck driver’s name, truck used, or any other documents or materials, in electronic or any other form, that Contractor prepares or obtains in accordance with this Agreement and that relate to the matters covered under the terms of this Agreement shall be the property of the City.
9.2 Contractor’s Books and Records. Contractor shall maintain any and all records or documents evidencing or relating to charges for services or expenditures and disbursements charged to the City under this Agreement for a minimum of three (3) years, or for any longer period required by law, from the date of final payment to Contractor to this Agreement.
9.3 Inspection and Audit of Records. Any records or documents that Section
9.2 of this Agreement requires Contractor to maintain shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of the City. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds $10,000.00, the Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of 3 years after final payment under the Agreement.
Section 10. MISCELLANEOUS PROVISIONS.
10.1 Attorneys’ Fees. If a Party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing Party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that Party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.
10.2 Venue. In the event that either Party brings any action against the other under this Agreement, the Parties agree that trial of such action shall be vested exclusively in the state courts of California in the County of Alameda or in the United States District Court for the Northern District of California.
10.3 Severability. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjudged shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.
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provision of this Agreement does not constitute a waiver of any other breach of that term or any other term of this Agreement.
10.5 Conflict of Interest. Contractor may serve other clients, but none whose activities within the corporate limits of City or whose business, regardless of location, would place Contractor in a “conflict of interest,” as that term is defined in the Political Reform Act, codified at California Government Code Section 81000 et seq.
Contractor shall not employ any City official in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement that would violate California Government Code Sections 1090 et seq.
Contractor hereby warrants that it is not now, nor has it been in the previous 12 months, an employee, agent, appointee, or official of the City. If Contractor was an employee, agent, appointee, or official of the City in the previous twelve months, Contractor warrants that it did not participate in any manner in the forming of this Agreement. Contractor understands that, if this Agreement is made in violation of Government Code § 1090 et seq., the entire Agreement is void and Contractor will not be entitled to any compensation for services performed pursuant to this Agreement, including reimbursement of expenses, and Contractor will be required to reimburse the City for any sums paid to Contractor.
Contractor understands that, in addition to the foregoing, it may be subject to criminal prosecution for a violation of Government Code § 1090 and, if applicable, will be disqualified from holding public office in the State of California.
Contractor shall not be directly involved in the towing related to the business of any other contractor providing towing services pursuant to a nonexclusive franchise agreement with the City.
10.6 Contract Administration. This Agreement shall be administered by the Chief of Police or his designee, who shall act as the City’s representative.
All correspondence shall be directed to or through the representative.
10.7 Notices. Any written notice to Contractor shall
be sent to:
Jack James Tow Service, Inc.
549 “C” Street, Hayward, CA 94541
Any written notice to City shall be sent to:
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City of Union City
Attn: City Clerk
34009 Alvarado-Niles
Road Union City, CA
94587
With a copy to:
City Attorney
34009 Alvarado-Niles
Road Union City, CA
94587
10.8 Professional Seal. Where applicable in the determination of the City, the first page of a technical report, first page of design specifications, and each page of construction drawings shall be stamped/sealed and signed by the licensed professional responsible for the report/design preparation.
10.9 Integration; Incorporation. This Agreement, including the scope of work attached hereto and incorporated herein as Exhibits A and B represents the entire and integrated
agreement between City and Contractor and supersedes all prior negotiations, representations, or agreements, either written or oral.
Exhibit A Standards and Scope of Services
Exhibit B Complaints/Penalty Process and Fee Schedule
10.10 Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.
The Parties have executed this Agreement as of the date signed by the City.
CITY OF UNION CITY CONTRACTOR
Date: Date:
Joan Malloy, City Manager [NAME,
TITLE] Attest:
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Thai Nam Pham
City Clerk
Approved as to Form:
Kristopher J.
Kokotaylo City
Attorney
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EXHIBIT A
STANDARDS AND SCOPE OF SERVICES
General Requirements and Standards:
1. The City Chief of Police is authorized to make and impose administrative interpretations and guidelines pursuant to these standards.
2. Contractor shall be available to provide City requested tows 24 hours, 7 days per week.
3. For the purpose of this Agreement, “business hours” shall not be less than 8:00 a.m. to 5:00 p.m.., Monday through Friday, except for the following state recognized holidays: New Year’s Day, Martin Luther King Day, Lincoln Day, Presidents’ Day, Memorial Day, Independence Day, Labor Day, Columbus Day, Veterans’ Day, Thanksgiving Day, day after Thanksgiving Day, and Christmas Day.
4. Contractor shall respond to tows within 30 minutes of notification or request. In the event a second tow truck is requested, the second truck shall arrive within 30 minutes of the second request. Big rig tows shall respond within 40 minutes during business hours and within 60 minutes after business hours.
5. Contractor shall furnish satisfactory evidence of the ability to respond to damages as required by California Vehicle Code Section 16500.5.
6. Contractor shall be responsible for the safekeeping of any property contained in towed vehicles.
7. Contractor shall post, in a conspicuous place at Contractor’s storage facility, a schedule of rates covering all fees for towing services. Additionally, a copy of the schedule of rates shall be available in each tow truck utilized pursuant to this Agreement and presented to the person for whom the tow services were provided or to the City upon demand. Tow service rates shall not exceed rates established by the City of Union City in accordance with Appendix B, attached.
8. Contractor shall make reasonable provisions for the security of vehicles and property at the place of storage as approved by the City. Towed vehicles must be stored at a secured storage yard and cannot be left on the tow truck at any other unsecured location such as at the driver’s residence or an open parking lot.
9. The primary storage facility shall be at the same location as the business address set forth in this Agreement. If the storage facility not at the same location as the business address, there shall be no charge for additional distance traveled to and from a secondary location. The vehicle and personal property shall be released at the primary storage facility upon request of the vehicle owner. Contractor shall notify, and receive approval from, the City whenever a change in storage facility location is 46 of 331
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proposed.
10.Contractor shall comply with California Vehicle Code Section 22851(b). Contractor shall provide a receipt, with a copy placed in the stored vehicle and a copy to the Traffic Section of the Police Department whenever any item is removed from a stored vehicle. 47 of 331
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11.Contractor shall maintain records of tow services furnished, including a description of vehicles, nature of service, and time and location of tow service requests from the City.
12.Contractor shall not assign tow service requests. In the event that Contractor is unable to respond or will be delayed in responding, Contractor shall immediately notify the City. In the event the tow operation is beyond the means of Contractor, Contractor may request an additional Contractor response from the Union City Police Rotational Tow List. If no tow company is able to accomplish the tow, the Police Department may call tows from outside the tow list.
13.All Contractor tow truck drivers and owner/operators shall be enrolled in the California Department of Motor Vehicles Pull Notice Program. Upon the addition of new drivers, Contractor shall have a maximum of 30 days to enroll drivers in the Pull Notice Program. Pull Notices shall be kept on file, signed, and dated by Contractor.
14.Contractor shall be able to properly conduct a lien sale pursuant to California Vehicle Code Section 22850 et seq. Contractor shall obtain City approval prior to placing a lien on any vehicle held for evidence purposes. No lien shall be placed upon a vehicle until the vehicle has been stored for over 72 hours.
15.Contractor shall only employ tow truck drivers properly licensed pursuant to the California Vehicle Code.
16.Contractor shall arrange with the traffic section of the Police Department for inspection and approval of tow equipment vehicles prior to use pursuant to this Agreement.
Contractor shall arrange with California Highway Patrol for new or replacement tow trucks prior to placing them into service. Contractor shall provide proof of all inspections to the City. The City may conduct additional inspections without notice during normal business hours. Re-inspection of any tow truck which fails an inspections shall be arranged with the California Highway Patrol. Failure to pass reinspections shall be cause to disqualify the tow truck from tows pursuant to this Agreement.
17.Vehicles towed and stored pursuant to California Vehicle Code Section 14602.6 shall not be sold to satisfy a lien until thirty-seven (37) days after the date the vehicle was towed. Lien sale proceedings may be commenced three (3) days after the vehicle was towed, but in no case may the vehicle be sold earlier than the thirty-seven (37) day limit enumerated above.
18.Contractor shall not offer gratuities or honor requests for gratuities from the City or any employee of the City.
19.Contractor agrees to comply with the provisions of the Rotational Tow List Complaint/Penalty process as outlined in Appendix A.
20.The Tow Service Provider agrees to comply with any additional requirements as detailed in and required by Section 10.17 of the Union City Municipal Code. In the 49 of 331
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event that any provision in this Agreement are in conflict with the Union City Municipal Code, the Code will govern.
Contractor Employee Demeanor and Conduct:
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1. Contractor and Contractor personnel shall refrain from acts of misconduct while providing services pursuant to this Agreement including, but not limited to, the following acts:
a. Rude or discourteous behavior directed towards the City or citizens for whom services is provided. “Rude or discourteous behavior” means any act that would insult, aggravate, disturb or frustrate a person of reasonable sensibilities, including, but not limited to, using profanity, manifesting an uncooperative or angry demeanor, performing acts of vandalism, failing to respond to questions in a courteous and professional manner, and intentionally misrepresenting rates or tow procedures or attempting to manipulate rates or tow procedures;
b. Below standards service, selective service, or refusing to provide service which Contractor is or should be capable of performing; c. Any act of sexual harassment or sexual impropriety;
d. Unsafe driving practices;
e. Exhibiting objective symptoms of alcohol or drug use while performing services pursuant to this Agreement.
2. Contractor and personnel providing services pursuant to this Agreement shall submit to a preliminary alcohol screening test upon demand of the City while answering a call originating from the rotational tow list. A positive test will result in the loss of that tow by Contractor and may result in further penalties.
Tow Truck Classifications:
1. Tow vehicles shall be rated at a minimum of 15,500 LBS Gross Vehicle Weight Rating.
Each vehicle shall be maintained in compliance with the provisions of California Vehicle Code Sections 24605, 25253, 27700, and 27907.
2. Contractor shall own a minimum of five tow trucks, one of which shall be a Class Bmedium duty. Contractor shall equip and maintain the tow trucks covered under this Agreement in accordance with the provisions set forth in the California Vehicle Code, Title 13 of the California Code of Regulations, the specifications contained in the Agreement, and consistent with industry standards and practices.
3. A violation of the Gross Vehicle Weight Rating (GVWR) and safe loading requirements of a tow truck may be cause for immediate suspension. This includes exceeding the tow truck's GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining 50% of the tow truck's unladen front axle weight on the front axle when in tow.
4. There are three classes of tow trucks covered under the Agreement:
❖ Class A - Light Duty
Contractor shall maintain a minimum of one tow truck, which has a manufacturer's GVWR of at least 14,500 pounds.
❖ Class B – Medium Duty
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Contractor shall maintain a minimum of one tow truck, with a Class B medium duty with a GVWR of at least 33,000 pounds. The truck shall be equipped with air brakes and a tractor protection valve or device, and be capable of providing and maintaining continuous air to the towed vehicle.
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❖ Class C Heavy Duty
Contractor shall maintain, or contract with another operator for, at least one three-axle tow truck with a GVWR of at least 46,000 pounds. The truck shall be equipped with air - brakes and must be capable of providing mid maintaining continuous air to the towed vehicle.
5. To properly and safely tow and service the wide variety of vehicles being operated within the City, a towing procedure may require the use of auxiliary equipment specifically designed for the purpose. This auxiliary equipment should be used when appropriate.
Storage Facility:
1. Contractor shall be responsible for the security of vehicles and property at the place of storage. As a minimum, a fenced or enclosed area, approved by the City, shall be provided. A minimum six-foot fence or enclosed area shall be provided for outside storage. The primary storage facility shall provide for a minimum of seventy-five (75) standard vehicle parking spaces; three additional parking spaces are to be in an enclosed in a locked building available for vehicles towed pursuant to this Agreement.
The secondary storage facility must have a minimum of twenty-five (25) standard vehicle parking spaces. The primary storage facility shall be maintained in, and the towing service is to originate from within, a maximum distance of 10 miles from the geographic limits of the City of Union City. Contractor is responsible for the reasonable care, custody, and control of any property contained in towed or stored vehicles.
Contractor shall not employ or allow any person to loiter around the storage facility or Contractor’s place of business that has been convicted of a crime of moral turpitude or convicted of a felony.
Notwithstanding the above, vehicles towed by contractor pursuant to California Vehicle Code Section 22660 or Union City Municipal Code Chapter 7.12, shall be immediately stored by operator at the operator's primary storage facility or at a secondary yard located anywhere within Union City, Newark, Fremont, or Hayward city limits.
2. Secondary and primary storage yards must meet all licensing, permit, and zoning requirements as established by the Cities of Union City, Newark, Fremont, or Hayward.
3. No additional costs of any nature shall be incurred by any citizen or the City as a result of Contractor’s use of a secondary yard above what would normally be allowed under the current fee schedule at Contractor’s primary storage yard, for example, by requiring and charging for transfers between yards.
4. Contractor’s use of any secondary yard must not cause any delay in the release of a towed to a citizen beyond what normally would occur at Contractor’s primary yard.
5. Contractor shall release personal property not attached to the impounded vehicle at 55 of 331
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the request of the vehicle owner or agent. Personal property is considered to be items, which are not affixed to the vehicle i.e., papers, transportable cellular telephones, pull out radios, portable radios and/or portable stereo equipment, clothes, luggage, tools, etc. Contractor shall provide a receipt, with a copy placed in the stored vehicle and a copy to the City, whenever any item is removed from a stored vehicle and taken to another place of storage.
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6. There shall be no charge for the release of personal property during normal business hours. Contractors may charge an afterhours release fee for property released after normal business hours. The fees charged shall be consistent with the afterhours vehicle release provisions and shall not be more than one-half the hourly rate, as provided in California Vehicle Code Section 22851(b). Contractor shall not charge the City for afterhours access to any vehicle.
7. Cargo and/or trailer contents shall be released upon demand of the carrier or pursuant to a court order after the authorized towing and the owner or agent has paid storage fees.
8. Prior to the utilization of new storage facilities that were not listed on the operator application, the operator shall furnish the address and obtain the approval of the City.
9. Contractor’s primary storage facility shall have a sign that clearly identifies it to the public as a towing service. The sign shall have letters that are clearly visible to the public from the street. The sign shall be illuminated at night.
10.Contractor shall provide a sign listing the phone number for a 24-hour access to the facility and business hours in plain view to the public and located near the entrance or front door of the business. The sign shall be illuminated at night and be visible from the public parking lot.
11.Contractor shall not release any vehicle without written authorization of the City.
Stored/Impounded vehicles shall not be released to the owner or registered owner of the vehicle or other lawful claimant of possession without securing a written authorization and release form from the City.
12.Contractor shall conduct the loading, unloading, parking, and storage of towed vehicles in Contractor’s possession, within the confines of Contractor’s enclosed storage area, not upon the streets and the public right-a way.
13.Contractor shall be available to respond and release any vehicle-towed twenty-four (24) hours per day, seven (7) days a week. Contractor shall respond within thirty (30) minutes.
14.Contractor shall provide a sign near the entrance of the business which can be seen from the parking lot directing customers to a pay telephone accessible for public use 24 hours each day, the sign shall be illuminated at night.
15.Contractor shall display in plain view at all cashier stations, a sign as described in California Civil Code Section 3070 disclosing all storage fees and charges in force, including the maximum storage rate.
16.Contractor personnel operating or in charge of any storage facility where vehicles are stored shall accept a valid bank credit card or cash for payment of towing and storage by the registered owner, legal owner, or the owner’s agent claiming the vehicle pursuant to California Vehicle Code Section 22651.1. Contractor shall have equipment 58 of 331
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to process credit card payment at each storage facility. A Contractor or personnel who refuses to accept a valid bank credit card shall be liable to the owner of the vehicle or to the person who tendered the fees for four times the amount of the towing and storage charges, but not to exceed five hundred dollars ($500). Contractor shall have sufficient funds on the premises of the storage facility to accommodate and make change in a reasonable monetary transaction.
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Credit charges for towing and storage services shall comply with Section 1748.1 of the Civil Code.
17.Contractor may charge storage in accordance with California Civil Code Section 3068.1 et seq.
18.Contractor shall provide owners of towed and/or stored vehicles access to their vehicles. 61 of 331
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EXHIBIT B
COMPLAINT/PENALTY PROCESS AND FEE
SCHEDULE
APPENDIX A
The Chief of Police shall take disciplinary action against Contractor for violations investigated and sustained. The Chief of Police shall retain discretion to determine the period of any suspension imposed pursuant to this Agreement. Violations are separated into major violations and moderate/minor violations.
MAJOR VIOLATIONS:
Major violations include, but are not limited to:
1. Contractor selling business and failing to notify the Union City Police Department.
2. Acts on the part of Contractor or personnel that involve criminal prosecution relating to theft or operation of the business.
3. Contractor’s use of a tow truck driver convicted of any act involving dishonesty, fraud or deceit.
4. Contractor intentionally overcharging or a pattern of overcharging for tow service calls.
5. Failure of Contractor to maintain the minimum insurance requirements set forth in this Agreement will immediately nullify the Agreement.
MODERATE/MINOR VIOLATIONS:
Moderate and minor (depending on severity) violations include, but are not limited to:
1. Improper storage of a vehicle that involves loss or damage to property.
2. A violation of the equipment requirements related to safety.
3. A violation of the GVWR and safe loading requirements including exceeding the tow truck’s GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining 50 percent of the tow truck’s unladen front axle weight on the front axle when in tow.
4. Soliciting of business in any manner in which a proper rotation tow loses their right to orderly succession, or other unauthorized interference of the rotational tow system.
5. Contractor failure to comply with requirements related to contractor employee demeanor and conduct.
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6. Failure to comply with the inspection requirements of this Agreement.
7. Failure to utilize qualified personnel.
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8. Failure to respond to rotational tow request.
9. Failure to respond to rotational tow within the timeframe specified in this Agreement.
10.Unintentional excessive tow charges.
TERMS OF DISCIPLINARY ACTION
All complaints will be investigated to determine their validity. Before any action is taken against Contractor, the completed investigation will be reviewed by the Traffic Section Sergeant, Traffic Lieutenant, and the Division Commander. Action will not be taken against Contractor unless the action can be justified and the allegation substantiated.
Contractor has a right to request an administrative hearing with the City which shall be conducted pursuant to rules and procedures established by the City.
Except as specifically stated in this Agreement, moderate/minor violations of the terms and conditions of this Agreement may be cause for disciplinary action in the following manner:
1. First violation within a 12 month period – letter of reprimand.
2. Second violation within a 12 month period – 1 to 30 day suspension.
3. Third violation within a 12 month period – 60 to 90 day suspension.
4. Fourth violation within a 12 month period – termination of this Agreement, or, an additional suspension in the sole discretion of the Chief of Police.
Violations of the terms and conditions of this Agreement are subject to suspension for the first violation that is categorized as a major violation, or, if severe in the sole discretion of the Chief of Police, subject to immediate termination.
Nothing herein shall prohibit the Chief of Police or his designee from immediately suspending Contractor if, in the opinion of the Chief of Police or his designee, Contractor or related personnel’s actions are deemed to be a danger to the public or if Contractor or related personnel have engaged in conduct constituting a flagrant violation of this Agreement.
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APPENDIX B
TOW FEE SCHEDULE FOR THE CITY OF
UNION CITY
July 1,
2026
July 1,
2027
July 1,
2028
July 1,
2029
July 1,
2030
VEHICLES UNDER 6,000 POUNDS
Hourly Rate
(Portal to
Portal)
$284/hour $284/hour $284/hour $284/hour $284/hour
Drop Fee $139 $139 $139 $139 $139
Gate Fee $125 $125 $125 $125 $125
Service Fee
(Lockouts, gas,
etc.)
$139 $139 $139 $139 $139
Storage
(Inside)
$103/day $103/day $103/day $103/day $103/day
Storage
(Outside)
$95/day $95/day $95/day $95/day $95/day
VEHICLES OVER 6,000 POUNDS
Hourly Rate (3
Axle Portal to
Portal)
$569/hour $569/hour $569/hour $569/hour $569/hour
Hourly Rate (2
Axle Portal to
Portal)
$363/ hour $363/ hour $363/ hour $363/ hour $363/ hour
Gate Fee $174 $174 $174 $174 $174
Drop Fee
$160 $160 $160 $160 $160
Storage
(Outside)
$160/day $160/day $160/day $160/day $160/day
Air Bags $179/hour for up to 3 hours,
$410 hour after the first 3 hours
Other Special
Equipment
Charged at actual cost to the tow company plus 15%
*There is a one hour minimum for all hourly fees
POLICE VEHICLE TOWS
All Police Service Calls $51.00
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Police service calls out of the Tri-City area (or outside 15 miles of Union City Limits) will be billed at an hourly rate of $51.00.
Any other tow where the costs are paid by the Police Department (Records/Dispatch/Officer Mistakes for example) will be discounted to 50% of the cost that would have otherwise been normally charged.
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FRANCHISE FEE:
During the term of this Agreement, Contractor shall pay a franchise fee of $15,000 divided by the number of contractors paying rotational tows for the right to perform City generated tows pursuant to this Agreement. The total amount shall be shared equally, on an annual basis, by Contractor and other contractors providing rotational tows. Thus, for example, if the City has three contractors providing rotational tows (including Contractor), Contractor shall pay an annual franchise fee of $5,000. Non-payment of the annual franchise fee is grounds of suspension or termination of this Agreement.
FUEL SURCHARGE:
In the event average current Diesel Fuel prices increase to a rate greater than $ 3 per gallon, as quoted on the California State Automobile Association Web Site for the Oakland Metro Region, and remains at that price for more than seven (7) consecutive days, the Contractor shall provide written notification to the Union City Police Department Traffic Sergeant. After verification, the Traffic Sergeant shall authorize a $ 5 per tow surcharge in addition to other fees charged.
In the event average current Diesel Fuel prices increase to a rate greater than $ 4 per gallon, as quoted on the California State Automobile Association Web Site for the Oakland Metro Region, and remains at that price for more than seven (7) consecutive days, the Contractor shall provide written notification to the Union City Police Department Traffic Sergeant. After verification, the Traffic Sergeant shall authorize a $ 10 per tow surcharge in addition to other fees charged. The fuel surcharge will not be in addition to the surcharge listed above; the total fuel surcharge shall not exceed $ 10.
In the event a fuel surcharge is authorized based on the criteria set above, it will be the responsibility of the Traffic Sergeant to monitor the Diesel Fuel prices as quoted on the California State Automobile Association Web Site for the Oakland Metro Region. In the event those prices fall below the afore mentioned levels for more than fourteen (14) consecutive days, Traffic Sergeant shall provide written notification to the tow companies that the fuel surcharge will no longer be authorized, effective the next business day after proof of notification.
VEHICLE IMPOUNDS/STORAGE:
Contractor agree to provide indoor impound storage inside an enclosed and secured area.
The storage area shall be sufficient to store three full sized vehicles, and shall be completely secured by chain link fence, or comparable material acceptable to the police department. The storage area may be one large area, or three separate areas. 71 of 331
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NON-EXCLUSIVE FRANCHISE
AGREEMENT
FOR TOW SERVICES BETWEEN
THE CITY OF UNION CITY AND
ISLAND AUTO TOWING.
This agreement for Tow Services (this “Agreement”) is entered into on July 1, 2026 (the “Effective Date”) between the CITY OF UNION CITY, a municipal corporation, (“City”) and Island Auto Towing, with offices located at 2620 McCone Avenue, Hayward, CA 94545 (“Contractor”) (together sometimes referred to as the “Parties”). This Agreement contains rules and regulations that Contractor agrees to comply with in order to be placed on the rotational tow list with the City.
Section 1. SERVICES. In accordance with the terms and conditions set forth in this Agreement, Contractor agrees to perform all services described in the Scope of Services, attached as Exhibit A, which is incorporated herein. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A, this Agreement shall prevail.
1.1 Term of Services. This Agreement shall begin on the Effective Date and shall end on June 30,2031, five (5) years from the date this Agreement was executed, unless the term of the Agreement is otherwise terminated or modified, as provided for herein. If the performance of the Scope of Services extends beyond the five (5) year term of this Agreement, then the term of this Agreement shall be extended solely for and until completion of the Scope of Services.
1.2 Standard of Performance. Contractor shall diligently perform all services required in connection with this Agreement in the manner and according to the standards observed by a competent practitioner of the profession in which Contractor is engaged in the geographical area in which Contractor practices its profession.
1.3 Assignment of Personnel. Contractor shall assign only competent personnel to perform services in connection with this Agreement.
Contractor shall ensure that tow truck drivers are trained and proficient in the use of the tow truck and related equipment, including, but not limited to, the procedures necessary for the safe towing and recovery of the various types of vehicles serviced through the City. Tow truck drivers shall be at least 18 years of age and shall possess the proper class license and certificates for the towed and towing vehicle Class A licenses must be endorsed to allow operation of special vehicle configurations and/or special cargoes. All training documentation shall be submitted to the City for each tow truck driver.
Contractor shall provide a current list of personnel performing services in connection with this Agreement upon execution of this Agreement.
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status related to personnel performing services in connection with this Agreement including the addition of new drivers or employees, the termination of any drivers or employees or a change in employee status.
Prior to any personnel performing work on behalf of Contractor pursuant to this Agreement, the personnel must complete a criminal background and driving record check and drivers must be enrolled in the Pull Notice Program as required by the California Vehicle Code.
Contractor shall maintain records of background checks and Pull Notice Program enrollment pursuant to this Agreement. Contractor shall, at a minimum, maintain the following information for personnel performing service in connection with this Agreement:
1. Full legal name
2. Date of birth
3. California driver’s license number
4. Copy of valid medical certificate (if required)
5. Job title/description
6. Current home address
7. Current phone number
8. Type(s) of truck(s) the personnel has/have been trained to operate (if applicable)
9. Current Pull Notice
Contractor shall not utilize personnel to provide services pursuant to this Agreement who, within the thirty-six months preceding the date of his/her service with Contractor, or who in the course of his/her service with Contractor, has been convicted of one or more of the following crimes:
1. Auto theft, burglary, possession of stolen property, grand or petty theft;
2. Fraud;
3. Stolen or embezzled property;
4. A crime of violence or a crime of moral turpitude;
5. Any crime that requires registration as a sex and/or arson offender;
6. A violation of the Health and Safety Code relating to narcotics or dangerous drugs;
7. A violation of Sections 4461, 4462b, 4463, or 5017a of Division 3 of the California Vehicle Code;
8. A violation of any provision of Division 4 of the California Vehicle Code; or
9. A crime relating to illegal acquisition of vehicles or vehicle parts or documents relating to vehicle registration or ownership.
Contractor shall not utilize any tow truck drivers to provide services pursuant to this Agreement that receive four or more violation point counts in a 12-month period, six or more violation point counts in a 24-month period or eight or more violation point counts in a 36-month period, as referenced in California Vehicle Code Section 12810.5.
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If Contractor or any personnel providing services pursuant to this Agreement has been removed, suspended, or disciplined by any other public agency, including but not limited to the California Highway Patrol, Contractor must notify the City in writing within twenty-four (24) hours.
1.4 Discipline and Termination. The City may take disciplinary action pursuant to Appendix A of Exhibit B. The City may terminate this Agreement if Contractor fails to comply with Chapter 10.17 of the Union City Municipal Code or this Agreement. The City shall provide Contractor written notice of termination along with the reasons for termination, facts supporting termination, and ability to appeal pursuant to Chapter 10.17 of the Union City Municipal Code twenty-four hours prior to the effective date of the termination.
Contractor may terminate this Agreement at any time before the expiration of the term of this Agreement by giving sixty (60) days’ prior written notice to the City. Contractor shall not be entitled to reimbursement of any portion of the annual franchise fee previously paid to the City.
1.5 Appeals. Contractor shall have the right to appeal the decision to terminate this Agreement within ten (10) days of the mailing of notice of the decision of the Chief of Police by filing a written notice of appeal with the City. The City Manager shall hear the appeal. An appeal shall not stay enforcement of the appealed action. The date, time, and place of appeal hearings shall be provided in writing to the operator or person with at least ten (10) days’ notice and copies of hearing rules.
Section 2. COMPENSATION. Rates for services provided to the City pursuant to this Agreement including fees charged for response to non-consensual tows and storage are set forth in Appendix B of Exhibit B. This Agreement shall be subject to suspension or termination if Contractor charges rates in excess of the fees set forth in Exhibit B. During the term of this Agreement, Contractor shall pay the City, as consideration for the nonexclusive franchise right to perform City generated tows pursuant to this Agreement, an annual franchise fee. The initial franchise fee for the first year shall be payable within thirty
(30) days of the award of this Agreement and annually thereafter. The amount of the franchise fee is set forth in Appendix B of Exhibit B.
2.1 Invoices. Contractor shall submit invoices once a month, based on the cost for services performed and reimbursable costs incurred prior to the invoice date, for work performed for the City. Contractor shall have ninety (90) days after the completion of work to invoice City for all amounts due and outstanding under each governed by this Agreement. In the event, Contractor fails to invoice City for all amounts due within such ninety (90) 74 of 331
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day period, Contractor shall waive its right to collect payment from City.
2.2 Payment. City shall make monthly payments, based on invoices received, for services satisfactorily performed, and for authorized reimbursable costs incurred.
2.3 Payment of Taxes. Contractor is solely responsible for the payment of employment taxes incurred under this Agreement and any similar federal or state taxes.
2.4 Authorization to Perform Services. Contractor is not authorized to perform any services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator.
2.5 Business License. Contractor is not authorized to perform services or incur costs whatsoever under the terms of this Agreement until Contractor applies for and has been issued a business license from the City pursuant to Title 5 of the Union City Municipal Code.
Section 3. ROTATIONAL TOW LIST. The City shall maintain a rotational tow list to ensure an equitable distribution of calls. A call to Contractor shall constitute one turn on the list after which Contractor
shall be moved to the bottom of the list. When Contractor is unable to or refuses to respond to a request for service or perform the requested service, Contractor shall forfeit that tow and be placed at the bottom of the rotational tow list. If the City determines that Contractor is no longer required for a tow request or a tow request is otherwise cancelled by the City, Contractor shall be placed back to the top of the rotational tow list.
If tow truck drivers from multiple contractors on the rotational tow list are called to the same incident, distribution of the vehicles shall be at the discretion of the City’s police officer on scene.
The City may direct Contractor to move vehicles to help clear a roadway or for lifesaving operations and Contractor shall provide such assistance without additional compensation. Such assistance shall not change Contractor’s place on the rotational tow list.
Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this Agreement, Contractor, at its own cost and expense, shall procure the types and amounts of insurance listed below for the period covered by the Agreement.
4.1 Workers’ Compensation. If Contractor employs any person, Contractor shall maintain Statutory Workers’ Compensation Insurance and Employer’s Liability Insurance for any and all persons employed directly 75 of 331
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or indirectly by Contractor with limits of not less than One Million Dollars ($1,000,000.00) per accident.
4.2 Commercial General and Automobile Liability Insurance. Contractor shall maintain commercial general and automobile liability insurance for the term of this Agreement in an amount not less than Two Million Dollars ($2,000,000.00) per occurrence, combined single limit coverage for risks associated with the work contemplated by this Agreement. Such coverage shall include but shall not be limited to, protection against claims arising from bodily and personal injury, including death resulting therefrom, and damage to property resulting from activities contemplated under this Agreement, including the use of owned and non-owned automobiles. The City, its officers, officials, employees, and volunteers shall be named as an additional insured and insurance shall provide primary coverage with respect to the City by written endorsement to the policy. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Consultant’s insurance and shall not contribute with it.
4.3 General Liability/Umbrella Insurance. The coverage amounts set forth above may be met by a combination of underlying and umbrella policies so long as in combination the limits equal or exceed those stated.
4.4 All Policies Requirements.
4.4.1 Verification of Coverage. Prior to beginning any work under this Agreement, Contractor shall, at the sole option of the City, provide City with (1) certified Certification of Insurance that demonstrates compliance with all applicable
insurance provisions contained herein; and (2) upon request by the City, complete certified copies of all policies and/or complete certified copies of all endorsements that demonstrate compliance with this Section 5.
4.4.2 Notice of Reduction in or Cancellation of Coverage. A certified endorsement must be attached to all insurance obtained in accordance with this Agreement stating that coverage shall not be suspended, voided, canceled by either party, or reduced in coverage or in limits, except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City.
4.4.3 Acceptability of insurers. All insurance required by this section is to be placed with insurers with a Bests' rating of no less than A:VII.
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acceptable to the City. Acceptance of Contractor’s insurance by the City shall not relieve or decrease the liability of Contractor hereunder. Any deductible or selfinsured retention amount or other similar obligation under the policies shall be the sole responsibility of the Contractor. Any deductible or self-insured retention amount or other similar obligation under the policies shall be the sole responsibility of the Contractor.
4.4.4 Deductibles and Self-Insured Retentions. Consultant shall disclose to and obtain the written approval of City for the self-insured retentions and deductibles before beginning any of the services or work called for by any term of this Agreement. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, employees, and volunteers; or the Consultant shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses.
4.4.5 Wasting Policies. No policy required by this Section 4 shall include a “wasting” policy limit (i.e. limit that is eroded by the cost of defense).
4.5 Waiver of Subrogation. Contractor agrees to waive subrogation which any insurer of Contractor may acquire from Contractor by virtue of the payment of any loss. Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation. The Workers' Compensation policy shall be endorsed with a waiver of subrogation in favor of City for all work performed by Contractor, its employees, agents and subcontractors.
Section 5. INDEMNIFICATION AND CONTRACTOR’S RESPONSIBILITIES.
Contractor shall indemnify, defend with counsel acceptable to City, and hold harmless City and its officers, officials, employees, agents and volunteers from and against any and all liability, loss, damage, claims, expenses, and costs (including without limitation, attorney’s fees and costs and fees of litigation) (collectively, “Liability”) of every nature arising out of or in connection with Contractor’s performance of the Services or its failure to comply with any of its obligations contained in this Agreement, except such Liability caused by the sole negligence or willful misconduct of City.
Contractor’s obligation to defend and indemnify shall not be excused because of Contractor’s inability to evaluate Liability or because Contractor evaluates Liability and determines that Contractor is not liable to the claimant. Contractor must respond within 30 days, to the tender of any claim for defense and indemnity by the City, unless this time has been extended by the City. If Contractor fails to accept or reject a tender of defense and indemnity within 30 days, in addition to any other remedy 77 of 331
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authorized by law, so much of the money due Contractor under and by virtue of this Agreement as shall reasonably be considered necessary by the City, may be retained by the City until disposition has been made of the claim or suit for damages, or until Contractor accepts or rejects the tender of defense, whichever occurs first.
With respect to third party claims against Contractor, Contractor waives any and all rights of any type to express or implied indemnity against the Indemnitees.
Notwithstanding the forgoing, to the extent this Agreement is a “construction contract” as defined by California Civil Code Section 2782, as may be amended from time to time, such duties of Contractor to indemnify shall not apply when to do so would be prohibited by California Civil Code Section 2782.
In the event that Contractor or any employee, agent, or subcontractor of Contractor providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of City, Contractor shall indemnify, defend, and hold harmless 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 City.
Section 6. STATUS OF CONTRACTOR.
6.1 Independent Contractor. At all times during the term of this Agreement, Contractor shall be an independent contractor and shall not be an employee of City. City shall have the right to control Contractor only insofar as the results of Contractor's services rendered pursuant to this Agreement and assignment of personnel pursuant to Subparagraph 1.3; however, otherwise City shall not have the right to control the means by which Contractor accomplishes services rendered pursuant to this Agreement.
Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Contractor and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any and all claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System (PERS) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits.
6.2 Contractor Not an Agent. Except as City may specify in writing, Contractor shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Contractor shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever.
Section 7. LEGAL REQUIREMENTS.
7.1 Governing Law. The laws of the State of California shall govern this Agreement. 78 of 331
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7.2 Compliance with Applicable Laws. Contractor and any subcontractors shall comply with all federal, state, and local laws applicable to the performance of the work in connection with this Agreement.
7.3 Licenses and Permits. Contractor represents and warrants to City that Contractor and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice their respective professions.
7.4 Nondiscrimination and Equal Opportunity. In compliance with federal, state and local laws, Contractor shall not discriminate, on the basis of a person’s race, religion, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation, against any employee, applicant for employment, subcontractor, bidder for a subcontract, or participant in, recipient of, or applicant for any services or programs provided by Contractor under this Agreement.
7.5 Work Requiring Payment of Prevailing Wages. In accordance with California Labor Code § 1771, not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which these services are to be performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work fixed as provided in the California Labor Code shall be paid to all workers engaged in performing the services under this Agreement.
Section 8. MODIFICATION.
8.1 Amendments. The Parties may amend this Agreement only by a writing signed by all the Parties.
8.2 Assignment. Contractor may not assign this Agreement or any interest therein without the prior written approval of the City.
8.3 Subcontracting. Contractor shall not subcontract any portion of the performance contemplated and provided for herein without prior written approval of the City. Where written approval is granted by the City, Contractor shall supervise all work subcontracted by Contractor in performing the Services; shall be responsible for all work performed by a subcontractor as if Contractor itself had performed such work; the subcontracting of any work to subcontractors shall not relieve Contractor from any of its obligations under this Agreement with respect to the Services; and Contractor is obligated to ensure that any and all subcontractors performing any Services shall be fully insured in all respects and to the same extent as set forth under Section 5, to City’s satisfaction.
8.4 Survival. All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating liability between City and Contractor shall survive the termination of this Agreement. 79 of 331
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Section 9. KEEPING AND STATUS OF RECORDS.
9.1 Records Created as Part of Contractor’s Performance. All reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, description of each vehicle towed, nature of service provided, start and end time of service, location of call, itemized costs of towing and storage, tow truck driver’s name, truck used, or any other documents or materials, in electronic or any other form, that Contractor prepares or obtains in accordance with this Agreement and that relate to the matters covered under the terms of this Agreement shall be the property of the City.
9.2 Contractor’s Books and Records. Contractor shall maintain any and all records or documents evidencing or relating to charges for services or expenditures and disbursements charged to the City under this Agreement for a minimum of three (3) years, or for any longer period required by law, from the date of final payment to Contractor to this Agreement.
9.3 Inspection and Audit of Records. Any records or documents that Section
9.2 of this Agreement requires Contractor to maintain shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of the City. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds $10,000.00, the Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of 3 years after final payment under the Agreement.
Section 10. MISCELLANEOUS PROVISIONS.
10.1 Attorneys’ Fees. If a Party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing Party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that Party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.
10.2 Venue. In the event that either Party brings any action against the other under this Agreement, the Parties agree that trial of such action shall be vested exclusively in the state courts of California in the County of Alameda or in the United States District Court for the Northern District of California.
10.3 Severability. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjudged shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.
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provision of this Agreement does not constitute a waiver of any other breach of that term or any other term of this Agreement.
10.5 Conflict of Interest. Contractor may serve other clients, but none whose activities within the corporate limits of City or whose business, regardless of location, would place Contractor in a “conflict of interest,” as that term is defined in the Political Reform Act, codified at California Government Code Section 81000 et seq.
Contractor shall not employ any City official in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement that would violate California Government Code Sections 1090 et seq.
Contractor hereby warrants that it is not now, nor has it been in the previous 12 months, an employee, agent, appointee, or official of the City. If Contractor was an employee, agent, appointee, or official of the City in the previous twelve months, Contractor warrants that it did not participate in any manner in the forming of this Agreement. Contractor understands that, if this Agreement is made in violation of Government Code § 1090 et seq., the entire Agreement is void and Contractor will not be entitled to any compensation for services performed pursuant to this Agreement, including reimbursement of expenses, and Contractor will be required to reimburse the City for any sums paid to Contractor.
Contractor understands that, in addition to the foregoing, it may be subject to criminal prosecution for a violation of Government Code § 1090 and, if applicable, will be disqualified from holding public office in the State of California.
Contractor shall not be directly involved in the towing related to the business of any other contractor providing towing services pursuant to a nonexclusive franchise agreement with the City.
10.6 Contract Administration. This Agreement shall be administered by the Chief of Police or his designee, who shall act as the City’s representative.
All correspondence shall be directed to or through the representative.
10.7 Notices. Any written notice to Contractor shall
be sent to:
Island Auto Towing
2420 McCone Avenue, Hayward, CA 94545
Any written notice to City shall be sent to:
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City of Union City
Attn: City Clerk
34009 Alvarado-Niles
Road Union City, CA
94587
With a copy to:
City Attorney
34009 Alvarado-Niles
Road Union City, CA
94587
10.8 Professional Seal. Where applicable in the determination of the City, the first page of a technical report, first page of design specifications, and each page of construction drawings shall be stamped/sealed and signed by the licensed professional responsible for the report/design preparation.
10.9 Integration; Incorporation. This Agreement, including the scope of work attached hereto and incorporated herein as Exhibits A and B represents the entire and integrated
agreement between City and Contractor and supersedes all prior negotiations, representations, or agreements, either written or oral.
Exhibit A Standards and Scope of Services
Exhibit B Complaints/Penalty Process and Fee Schedule
10.10 Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.
The Parties have executed this Agreement as of the date signed by the City.
CITY OF UNION CITY CONTRACTOR
Date: Date:
Joan Malloy, City Manager [NAME,
TITLE] Attest:
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Thai Nam Pham
City Clerk
Approved as to Form:
Kristopher J.
Kokotaylo City
Attorney
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EXHIBIT A
STANDARDS AND SCOPE OF SERVICES
General Requirements and Standards:
1. The City Chief of Police is authorized to make and impose administrative interpretations and guidelines pursuant to these standards.
2. Contractor shall be available to provide City requested tows 24 hours, 7 days per week.
3. For the purpose of this Agreement, “business hours” shall not be less than 8:00 a.m. to 5:00 p.m.., Monday through Friday, except for the following state recognized holidays: New Year’s Day, Martin Luther King Day, Lincoln Day, Presidents’ Day, Memorial Day, Independence Day, Labor Day, Columbus Day, Veterans’ Day, Thanksgiving Day, day after Thanksgiving Day, and Christmas Day.
4. Contractor shall respond to tows within 30 minutes of notification or request. In the event a second tow truck is requested, the second truck shall arrive within 30 minutes of the second request. Big rig tows shall respond within 40 minutes during business hours and within 60 minutes after business hours.
5. Contractor shall furnish satisfactory evidence of the ability to respond to damages as required by California Vehicle Code Section 16500.5.
6. Contractor shall be responsible for the safekeeping of any property contained in towed vehicles.
7. Contractor shall post, in a conspicuous place at Contractor’s storage facility, a schedule of rates covering all fees for towing services. Additionally, a copy of the schedule of rates shall be available in each tow truck utilized pursuant to this Agreement and presented to the person for whom the tow services were provided or to the City upon demand. Tow service rates shall not exceed rates established by the City of Union City in accordance with Appendix B, attached.
8. Contractor shall make reasonable provisions for the security of vehicles and property at the place of storage as approved by the City. Towed vehicles must be stored at a secured storage yard and cannot be left on the tow truck at any other unsecured location such as at the driver’s residence or an open parking lot.
9. The primary storage facility shall be at the same location as the business address set forth in this Agreement. If the storage facility not at the same location as the business address, there shall be no charge for additional distance traveled to and from a secondary location. The vehicle and personal property shall be released at the primary storage facility upon request of the vehicle owner. Contractor shall notify, and receive approval from, the City whenever a change in storage facility location is 85 of 331
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proposed.
10.Contractor shall comply with California Vehicle Code Section 22851(b). Contractor shall provide a receipt, with a copy placed in the stored vehicle and a copy to the Traffic Section of the Police Department whenever any item is removed from a stored vehicle. 86 of 331
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11.Contractor shall maintain records of tow services furnished, including a description of vehicles, nature of service, and time and location of tow service requests from the City.
12.Contractor shall not assign tow service requests. In the event that Contractor is unable to respond or will be delayed in responding, Contractor shall immediately notify the City. In the event the tow operation is beyond the means of Contractor, Contractor may request an additional Contractor response from the Union City Police Rotational Tow List. If no tow company is able to accomplish the tow, the Police Department may call tows from outside the tow list.
13.All Contractor tow truck drivers and owner/operators shall be enrolled in the California Department of Motor Vehicles Pull Notice Program. Upon the addition of new drivers, Contractor shall have a maximum of 30 days to enroll drivers in the Pull Notice Program. Pull Notices shall be kept on file, signed, and dated by Contractor.
14.Contractor shall be able to properly conduct a lien sale pursuant to California Vehicle Code Section 22850 et seq. Contractor shall obtain City approval prior to placing a lien on any vehicle held for evidence purposes. No lien shall be placed upon a vehicle until the vehicle has been stored for over 72 hours.
15.Contractor shall only employ tow truck drivers properly licensed pursuant to the California Vehicle Code.
16.Contractor shall arrange with the traffic section of the Police Department for inspection and approval of tow equipment vehicles prior to use pursuant to this Agreement.
Contractor shall arrange with California Highway Patrol for new or replacement tow trucks prior to placing them into service. Contractor shall provide proof of all inspections to the City. The City may conduct additional inspections without notice during normal business hours. Re-inspection of any tow truck which fails an inspections shall be arranged with the California Highway Patrol. Failure to pass reinspections shall be cause to disqualify the tow truck from tows pursuant to this Agreement.
17.Vehicles towed and stored pursuant to California Vehicle Code Section 14602.6 shall not be sold to satisfy a lien until thirty-seven (37) days after the date the vehicle was towed. Lien sale proceedings may be commenced three (3) days after the vehicle was towed, but in no case may the vehicle be sold earlier than the thirty-seven (37) day limit enumerated above.
18.Contractor shall not offer gratuities or honor requests for gratuities from the City or any employee of the City.
19.Contractor agrees to comply with the provisions of the Rotational Tow List Complaint/Penalty process as outlined in Appendix A.
20.The Tow Service Provider agrees to comply with any additional requirements as detailed in and required by Section 10.17 of the Union City Municipal Code. In the 88 of 331
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event that any provision in this Agreement are in conflict with the Union City Municipal Code, the Code will govern.
Contractor Employee Demeanor and Conduct:
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1. Contractor and Contractor personnel shall refrain from acts of misconduct while providing services pursuant to this Agreement including, but not limited to, the following acts:
a. Rude or discourteous behavior directed towards the City or citizens for whom services is provided. “Rude or discourteous behavior” means any act that would insult, aggravate, disturb or frustrate a person of reasonable sensibilities, including, but not limited to, using profanity, manifesting an uncooperative or angry demeanor, performing acts of vandalism, failing to respond to questions in a courteous and professional manner, and intentionally misrepresenting rates or tow procedures or attempting to manipulate rates or tow procedures;
b. Below standards service, selective service, or refusing to provide service which Contractor is or should be capable of performing; c. Any act of sexual harassment or sexual impropriety;
d. Unsafe driving practices;
e. Exhibiting objective symptoms of alcohol or drug use while performing services pursuant to this Agreement.
2. Contractor and personnel providing services pursuant to this Agreement shall submit to a preliminary alcohol screening test upon demand of the City while answering a call originating from the rotational tow list. A positive test will result in the loss of that tow by Contractor and may result in further penalties.
Tow Truck Classifications:
1. Tow vehicles shall be rated at a minimum of 15,500 LBS Gross Vehicle Weight Rating.
Each vehicle shall be maintained in compliance with the provisions of California Vehicle Code Sections 24605, 25253, 27700, and 27907.
2. Contractor shall own a minimum of five tow trucks, one of which shall be a Class Bmedium duty. Contractor shall equip and maintain the tow trucks covered under this Agreement in accordance with the provisions set forth in the California Vehicle Code, Title 13 of the California Code of Regulations, the specifications contained in the Agreement, and consistent with industry standards and practices.
3. A violation of the Gross Vehicle Weight Rating (GVWR) and safe loading requirements of a tow truck may be cause for immediate suspension. This includes exceeding the tow truck's GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining 50% of the tow truck's unladen front axle weight on the front axle when in tow.
4. There are three classes of tow trucks covered under the Agreement:
❖ Class A - Light Duty
Contractor shall maintain a minimum of one tow truck, which has a manufacturer's GVWR of at least 14,500 pounds.
❖ Class B – Medium Duty
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Contractor shall maintain a minimum of one tow truck, with a Class B medium duty with a GVWR of at least 33,000 pounds. The truck shall be equipped with air brakes and a tractor protection valve or device, and be capable of providing and maintaining continuous air to the towed vehicle.
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❖ Class C Heavy Duty
Contractor shall maintain, or contract with another operator for, at least one three-axle tow truck with a GVWR of at least 46,000 pounds. The truck shall be equipped with air - brakes and must be capable of providing mid maintaining continuous air to the towed vehicle.
5. To properly and safely tow and service the wide variety of vehicles being operated within the City, a towing procedure may require the use of auxiliary equipment specifically designed for the purpose. This auxiliary equipment should be used when appropriate.
Storage Facility:
1. Contractor shall be responsible for the security of vehicles and property at the place of storage. As a minimum, a fenced or enclosed area, approved by the City, shall be provided. A minimum six-foot fence or enclosed area shall be provided for outside storage. The primary storage facility shall provide for a minimum of seventy-five (75) standard vehicle parking spaces; three additional parking spaces are to be in an enclosed in a locked building available for vehicles towed pursuant to this Agreement.
The secondary storage facility must have a minimum of twenty-five (25) standard vehicle parking spaces. The primary storage facility shall be maintained in, and the towing service is to originate from within, a maximum distance of 10 miles from the geographic limits of the City of Union City. Contractor is responsible for the reasonable care, custody, and control of any property contained in towed or stored vehicles.
Contractor shall not employ or allow any person to loiter around the storage facility or Contractor’s place of business that has been convicted of a crime of moral turpitude or convicted of a felony.
Notwithstanding the above, vehicles towed by contractor pursuant to California Vehicle Code Section 22660 or Union City Municipal Code Chapter 7.12, shall be immediately stored by operator at the operator's primary storage facility or at a secondary yard located anywhere within Union City, Newark, Fremont, or Hayward city limits.
2. Secondary and primary storage yards must meet all licensing, permit, and zoning requirements as established by the Cities of Union City, Newark, Fremont, or Hayward.
3. No additional costs of any nature shall be incurred by any citizen or the City as a result of Contractor’s use of a secondary yard above what would normally be allowed under the current fee schedule at Contractor’s primary storage yard, for example, by requiring and charging for transfers between yards.
4. Contractor’s use of any secondary yard must not cause any delay in the release of a towed to a citizen beyond what normally would occur at Contractor’s primary yard.
5. Contractor shall release personal property not attached to the impounded vehicle at 94 of 331
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the request of the vehicle owner or agent. Personal property is considered to be items, which are not affixed to the vehicle i.e., papers, transportable cellular telephones, pull out radios, portable radios and/or portable stereo equipment, clothes, luggage, tools, etc. Contractor shall provide a receipt, with a copy placed in the stored vehicle and a copy to the City, whenever any item is removed from a stored vehicle and taken to another place of storage.
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6. There shall be no charge for the release of personal property during normal business hours. Contractors may charge an afterhours release fee for property released after normal business hours. The fees charged shall be consistent with the afterhours vehicle release provisions and shall not be more than one-half the hourly rate, as provided in California Vehicle Code Section 22851(b). Contractor shall not charge the City for afterhours access to any vehicle.
7. Cargo and/or trailer contents shall be released upon demand of the carrier or pursuant to a court order after the authorized towing and the owner or agent has paid storage fees.
8. Prior to the utilization of new storage facilities that were not listed on the operator application, the operator shall furnish the address and obtain the approval of the City.
9. Contractor’s primary storage facility shall have a sign that clearly identifies it to the public as a towing service. The sign shall have letters that are clearly visible to the public from the street. The sign shall be illuminated at night.
10.Contractor shall provide a sign listing the phone number for a 24-hour access to the facility and business hours in plain view to the public and located near the entrance or front door of the business. The sign shall be illuminated at night and be visible from the public parking lot.
11.Contractor shall not release any vehicle without written authorization of the City.
Stored/Impounded vehicles shall not be released to the owner or registered owner of the vehicle or other lawful claimant of possession without securing a written authorization and release form from the City.
12.Contractor shall conduct the loading, unloading, parking, and storage of towed vehicles in Contractor’s possession, within the confines of Contractor’s enclosed storage area, not upon the streets and the public right-a way.
13.Contractor shall be available to respond and release any vehicle-towed twenty-four (24) hours per day, seven (7) days a week. Contractor shall respond within thirty (30) minutes.
14.Contractor shall provide a sign near the entrance of the business which can be seen from the parking lot directing customers to a pay telephone accessible for public use 24 hours each day, the sign shall be illuminated at night.
15.Contractor shall display in plain view at all cashier stations, a sign as described in California Civil Code Section 3070 disclosing all storage fees and charges in force, including the maximum storage rate.
16.Contractor personnel operating or in charge of any storage facility where vehicles are stored shall accept a valid bank credit card or cash for payment of towing and storage by the registered owner, legal owner, or the owner’s agent claiming the vehicle pursuant to California Vehicle Code Section 22651.1. Contractor shall have equipment 97 of 331
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to process credit card payment at each storage facility. A Contractor or personnel who refuses to accept a valid bank credit card shall be liable to the owner of the vehicle or to the person who tendered the fees for four times the amount of the towing and storage charges, but not to exceed five hundred dollars ($500). Contractor shall have sufficient funds on the premises of the storage facility to accommodate and make change in a reasonable monetary transaction.
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Credit charges for towing and storage services shall comply with Section 1748.1 of the Civil Code.
17.Contractor may charge storage in accordance with California Civil Code Section 3068.1 et seq.
18.Contractor shall provide owners of towed and/or stored vehicles access to their vehicles. 100 of 331
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EXHIBIT B
COMPLAINT/PENALTY PROCESS AND FEE
SCHEDULE
APPENDIX A
The Chief of Police shall take disciplinary action against Contractor for violations investigated and sustained. The Chief of Police shall retain discretion to determine the period of any suspension imposed pursuant to this Agreement. Violations are separated into major violations and moderate/minor violations.
MAJOR VIOLATIONS:
Major violations include, but are not limited to:
1. Contractor selling business and failing to notify the Union City Police Department.
2. Acts on the part of Contractor or personnel that involve criminal prosecution relating to theft or operation of the business.
3. Contractor’s use of a tow truck driver convicted of any act involving dishonesty, fraud or deceit.
4. Contractor intentionally overcharging or a pattern of overcharging for tow service calls.
5. Failure of Contractor to maintain the minimum insurance requirements set forth in this Agreement will immediately nullify the Agreement.
MODERATE/MINOR VIOLATIONS:
Moderate and minor (depending on severity) violations include, but are not limited to:
1. Improper storage of a vehicle that involves loss or damage to property.
2. A violation of the equipment requirements related to safety.
3. A violation of the GVWR and safe loading requirements including exceeding the tow truck’s GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining 50 percent of the tow truck’s unladen front axle weight on the front axle when in tow.
4. Soliciting of business in any manner in which a proper rotation tow loses their right to orderly succession, or other unauthorized interference of the rotational tow system.
5. Contractor failure to comply with requirements related to contractor employee demeanor and conduct.
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6. Failure to comply with the inspection requirements of this Agreement.
7. Failure to utilize qualified personnel.
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8. Failure to respond to rotational tow request.
9. Failure to respond to rotational tow within the timeframe specified in this Agreement.
10.Unintentional excessive tow charges.
TERMS OF DISCIPLINARY ACTION
All complaints will be investigated to determine their validity. Before any action is taken against Contractor, the completed investigation will be reviewed by the Traffic Section Sergeant, Traffic Lieutenant, and the Division Commander. Action will not be taken against Contractor unless the action can be justified and the allegation substantiated.
Contractor has a right to request an administrative hearing with the City which shall be conducted pursuant to rules and procedures established by the City.
Except as specifically stated in this Agreement, moderate/minor violations of the terms and conditions of this Agreement may be cause for disciplinary action in the following manner:
1. First violation within a 12 month period – letter of reprimand.
2. Second violation within a 12 month period – 1 to 30 day suspension.
3. Third violation within a 12 month period – 60 to 90 day suspension.
4. Fourth violation within a 12 month period – termination of this Agreement, or, an additional suspension in the sole discretion of the Chief of Police.
Violations of the terms and conditions of this Agreement are subject to suspension for the first violation that is categorized as a major violation, or, if severe in the sole discretion of the Chief of Police, subject to immediate termination.
Nothing herein shall prohibit the Chief of Police or his designee from immediately suspending Contractor if, in the opinion of the Chief of Police or his designee, Contractor or related personnel’s actions are deemed to be a danger to the public or if Contractor or related personnel have engaged in conduct constituting a flagrant violation of this Agreement.
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APPENDIX B
TOW FEE SCHEDULE FOR THE CITY OF
UNION CITY
July 1,
2026
July 1,
2027
July 1,
2028
July 1,
2029
July 1,
2030
VEHICLES UNDER 6,000 POUNDS
Hourly Rate
(Portal to
Portal)
$284/hour $284/hour $284/hour $284/hour $284/hour
Drop Fee $139 $139 $139 $139 $139
Gate Fee $125 $125 $125 $125 $125
Service Fee
(Lockouts, gas,
etc.)
$139 $139 $139 $139 $139
Storage
(Inside)
$103/day $103/day $103/day $103/day $103/day
Storage
(Outside)
$95/day $95/day $95/day $95/day $95/day
VEHICLES OVER 6,000 POUNDS
Hourly Rate (3
Axle Portal to
Portal)
$569/hour $569/hour $569/hour $569/hour $569/hour
Hourly Rate (2
Axle Portal to
Portal)
$363/ hour $363/ hour $363/ hour $363/ hour $363/ hour
Gate Fee $174 $174 $174 $174 $174
Drop Fee
$160 $160 $160 $160 $160
Storage
(Outside)
$160/day $160/day $160/day $160/day $160/day
Air Bags $179/hour for up to 3 hours,
$410 hour after the first 3 hours
Other Special
Equipment
Charged at actual cost to the tow company plus 15%
*There is a one hour minimum for all hourly fees
POLICE VEHICLE TOWS
All Police Service Calls $51.00
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Police service calls out of the Tri-City area (or outside 15 miles of Union City Limits) will be billed at an hourly rate of $51.00.
Any other tow where the costs are paid by the Police Department (Records/Dispatch/Officer Mistakes for example) will be discounted to 50% of the cost that would have otherwise been normally charged.
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FRANCHISE FEE:
During the term of this Agreement, Contractor shall pay a franchise fee of $15,000 divided by the number of contractors paying rotational tows for the right to perform City generated tows pursuant to this Agreement. The total amount shall be shared equally, on an annual basis, by Contractor and other contractors providing rotational tows. Thus, for example, if the City has three contractors providing rotational tows (including Contractor), Contractor shall pay an annual franchise fee of $5,000. Non-payment of the annual franchise fee is grounds of suspension or termination of this Agreement.
FUEL SURCHARGE:
In the event average current Diesel Fuel prices increase to a rate greater than $ 3 per gallon, as quoted on the California State Automobile Association Web Site for the Oakland Metro Region, and remains at that price for more than seven (7) consecutive days, the Contractor shall provide written notification to the Union City Police Department Traffic Sergeant. After verification, the Traffic Sergeant shall authorize a $ 5 per tow surcharge in addition to other fees charged.
In the event average current Diesel Fuel prices increase to a rate greater than $ 4 per gallon, as quoted on the California State Automobile Association Web Site for the Oakland Metro Region, and remains at that price for more than seven (7) consecutive days, the Contractor shall provide written notification to the Union City Police Department Traffic Sergeant. After verification, the Traffic Sergeant shall authorize a $ 10 per tow surcharge in addition to other fees charged. The fuel surcharge will not be in addition to the surcharge listed above; the total fuel surcharge shall not exceed $ 10.
In the event a fuel surcharge is authorized based on the criteria set above, it will be the responsibility of the Traffic Sergeant to monitor the Diesel Fuel prices as quoted on the California State Automobile Association Web Site for the Oakland Metro Region. In the event those prices fall below the afore mentioned levels for more than fourteen (14) consecutive days, Traffic Sergeant shall provide written notification to the tow companies that the fuel surcharge will no longer be authorized, effective the next business day after proof of notification.
VEHICLE IMPOUNDS/STORAGE:
Contractor agree to provide indoor impound storage inside an enclosed and secured area.
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City Council Staff Report Page 1 of 3 June 9, 2026
Staff Report
Agenda Item No. 4.4
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Authorizing the City Manager to Execute a Consulting Services Agreement with Cal-West Lighting & Signal Maintenance, Inc., in the Amount Not-to-Exceed $400,000 for Traffic Signal Maintenance, On-Call Support, and Emergency Repair Services, and Authorizing the City Manager to Exercise Options to Extend the Agreement for a Third, Fourth, and Fifth Year for an Additional Amount Not-to-Exceed $200,000 per Year, for a Total Not-to-Exceed Contract Amount of $1,000,000
EXECUTIVE SUMMARY
Staff recommends that the City Council authorize the City Manager to execute a Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc. (“Cal-West”), in the amount not-to-exceed $400,000, for Traffic Signal Maintenance, OnCall Support and Emergency Repair Services; and authorizing the City Manager to Exercise Options to Extend the Agreement for a third, fourth and fifth Year, for an additional amount not to exceed $200,000 per year, for a total not-to-exceed contract amount of $1,000,000.
STRATEGIC PLAN ALIGNMENT
This agenda item does not have alignment with the Strategic Plan.
BACKGROUND
Union City owns and maintains sixty-one existing traffic signalized intersections, one High Intensity Activated Crosswalk (HAWK) on Alvarado-Niles Road, one flashing beacon on Meyers Drive, and two Rectangular Rapid Flashing Beacon (RRFB) crossings within the City. The City applies for and receives federal, state, and local transportation capital grant funds to upgrade and improve various traffic signal systems to meet current standards.
These traffic signal systems employ state-of-the-art electrical equipment that requires specialized expertise for maintenance and upgrades, expertise that goes beyond the capabilities of in-house staff.
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Support, and Emergency Repair Services was advertised on the City’s website and with the active builder exchanges listed in the California Uniform Construction Cost Accounting Commission’s Cost Accounting Policies and Procedures Manual 2019 Edition, and with the Bay Area News Group for three consecutive weeks, beginning on March 20, 2026.
Three proposals were received and were opened on April 8, 2026, at 2:00 p.m. in City Hall.
The three proposals received included Bear Electrical Solutions, St. Francis Electric, and Cal-West Lighting & Signal Maintenance, Inc. The proposals were reviewed, and interviews were conducted on May 1, 2026, by a panel consisting of Public Works staff.
Cal-West Lighting & Signal Maintenance, Inc. was consistently rated highest among the three firms by all evaluators.
DISCUSSION
Cal-West is the City’s current traffic signal maintenance contractor and demonstrates a high level of technical expertise and experience specific to Union City's traffic signal systems. Cal-West has a comprehensive understanding of the complexities and requirements involved in maintaining traffic signals, including troubleshooting, repairs, routine maintenance, and emergency support. Cal-West continues its strong track record of successful delivery of traffic signal maintenance services for Union City, where its extensive experience and familiarity with the City’s infrastructure, geographic complexities, and intricacies of each traffic signal prove invaluable. City staff collaborate and coordinate extensively with Cal-West staff, who are readily available and responsive.
Cal-West will continue to perform the City’s routine traffic signal maintenance activities and respond to emergency callouts for traffic signal malfunction and traffic signal facility knockdowns. When a traffic signal requires an emergency call or is knocked down, repair requires highly technical skills to ensure the signal's lighting and timing are accurate.
Traffic Signal Maintenance service costs are estimated as follows:
Routine On-Call Traffic Signal Maintenance $61,200/year Maintenance Extras (Emergency Calls) $45,600/year
Maintenance Extras (Projects/Knockdowns) $93,200/year
ANNUAL TOTAL $200,000/year
The contract is for an initial period of two years, with three options to extend for an additional year, for a potential total of five years.
FISCAL IMPACT
The annual $200,000 in traffic signal maintenance services is budgeted in the approved FY 2025-2026 and FY 2026-2027 Budget using Measure F funds (account 260-33005- 54111). Traditionally, these expenses are paid by the Landscape and Lighting Assessment District (“LLAD”); however, limited revenues and increasing expenses have led to a shift to using eligible Measure F funds.
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$400,000, will cover the already adopted FY 2026-2027 and upcoming FY 2027-2028.
Staff currently plans to use Measure F funding (Account Number 260-33003-54111) for each year; however, staff will recommend using LLAD funds if they become available.
RECOMMENDATION
Staff recommends that the City Council adopt a Resolution authorizing the City Manager to execute a Consulting Services Agreement with Cal-West Lighting & Signal Maintenance, Inc. (Cal-West), in the amount not-to-exceed $400,000 for a two-year term for traffic signal maintenance, on-call support, and emergency repair services, and authorizing the City Manager, at her sole discretion, to exercise options to extend the agreement for a third, fourth, and fifth year for an additional amount not-to-exceed $200,000 per year, for a total not-to-exceed contract amount of $1,000,000.
Prepared by: Eddie Yu, Civil Engineer II
Submitted by: Marilou Ayupan, Public Works Director
Attachments
1. Attachment 1 – Notice of Bid Invitation
2. Attachment 2 - Consulting Services Agreement
3. Draft Resolution
4. Exhibit A – Union City Traffic Signal Maintenance Final Scoring 113 of 331
CITY OF UNION CITY
DEPARTMENT OF PUBLIC WORKS
REQUEST FOR PROPOSAL (RFP) FOR TRAFFIC SIGNAL MAINTENANCE, ONCALL SUPPORT, AND EMERGENCY REPAIR SERVICES
NOTICE TO CONTRACTORS
Sealed proposals for the work shown on the RFP entitled: UNION CITY – RFP
FOR TRAFFIC SIGNAL MAINTENANCE, ON-CALL SUPPORT, AND EMERGENCY REPAIR SERVICES, will be received at the office of the City Clerk of the City of Union City, City Government Building, 34009 Alvarado-Niles Road, Union City, California, until Wednesday, April 8
th, 2026, 2:00PM PST
The Contractor shall possess a Class A or Class C-10 (Electrical) California contractor’s license at the time this contract is awarded.
All the project work is to be done in accordance with the RFP on file with the Public Works Department - City of Union City, 34009 Alvarado-Niles Road, Union City, California 94587. A copy of the RFP may be obtained at no charge via email request to the City at [email protected]. The RFP is also posted on the City’s website:
www.unioncity.org. All questions should be emailed to Eddie Yu at [email protected].
CITY OF UNION CITY
DATED: March 12th, 2026
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CONSULTING SERVICES AGREEMENT
BETWEEN
THE CITY OF UNION CITY
AND
CAL-WEST LIGHTING & SIGNAL MAINTENANCE, INC.
FOR TRAFFIC SIGNAL MAINTENANCE, ON-CALL SUPPORT,
AND EMERGENCY REPAIR SERVICES
This Agreement for consulting services is made by and between the City of Union City, a municipal corporation, (“City”) and Cal-West Lighting & Signal Maintenance, Inc., a California corporation, with offices located at 412 Lano Street, San Jose, 95125, (“Consultant”), (together referred to as the “Parties”) as of July 1, 2026 (the “Effective Date”).
WHEREAS, the Agreement was approved by the City Council of Union City per Council Resolution Number 2026-____ .
NOW THEREFORE, for good and valuable consideration, the sufficiency of which is hereby acknowledged, the Parties hereby agree to the Agreement as follows:
Section 1. Services. Subject to the terms and conditions set forth in this Agreement, Consultant shall provide to City the services described in the Scope of Work attached as Exhibit A and incorporated herein, at the time and place and in the manner specified therein. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A, the Agreement shall prevail.
1.1 Term of Services. The term of this Agreement shall begin on the Effective Date and shall end on June 30, 2028, and Consultant shall complete the work described in Exhibit A on or before that date, unless the term of the Agreement is otherwise terminated or extended, as provided for in Section 8. The time provided to Consultant to complete the services required by this Agreement shall not affect the City’s right to terminate the Agreement, as referenced in Section 8.
1.2 Standard of Performance. Consultant shall perform all services required pursuant to this Agreement according to the standards observed by a competent practitioner of the profession in which Consultant is engaged.
1.3 Assignment of Personnel. Consultant shall assign only competent personnel to perform services pursuant to this Agreement. In the event that City, in its sole discretion, at any time during the term of this Agreement, desires the reassignment of any such persons, Consultant shall, immediately upon receiving notice from City of such desire of City, reassign such person or persons.
1.4 Time is of the Essence. Time is of the essence. Consultant shall devote such time to the performance of services pursuant to this Agreement as may be 115 of 331
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reasonably necessary to timely finish the Scope of Work, to meet the standard of performance provided in Section 1.1 above and to satisfy Consultant’s obligations hereunder.
1.5 Public Works Requirements. Because the services described in Exhibit A include “work performed during the design and preconstruction phases of construction including, but not limited to, inspection and land surveying work,” the services constitute a public works within the definition of Section 1720(a)(1) of the California Labor Code. As a result, Consultant is required to comply with the provisions of the Labor Code applicable to public works, to the extent set forth in Exhibit C. Consultant shall waive, indemnify, hold harmless, and defend City concerning any liability arising out of Labor Code Section 1720 et seq.
Section 2. COMPENSATION. City hereby agrees to pay Consultant a sum not to exceed Four Hundred Thousand Dollars ($400,000), notwithstanding any contrary indications that may be contained in Consultant’s proposal for services to be performed and reimbursable costs incurred under this Agreement. In the event of a conflict between this Agreement and Consultant’s proposal, attached as Exhibit B, regarding the amount of compensation, the Agreement shall prevail. City shall pay Consultant for services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to Consultant for services rendered pursuant to this Agreement. Consultant shall submit all invoices to City in the manner specified herein. Except as specifically authorized by City in writing, Consultant shall not bill City for duplicate services performed by more than one person.
Consultant and City acknowledge and agree that compensation paid by City to Consultant under this Agreement is based upon Consultant’s estimated costs of providing the services required hereunder, including salaries and benefits of employees and subcontractors of Consultant. Consequently, the parties further agree that compensation hereunder is intended to include the costs of contributions to any pensions and/or annuities to which Consultant and its employees, agents, and subcontractors may be eligible. City therefore has no responsibility for such contributions beyond compensation required under this Agreement.
2.1 Invoices. Consultant shall submit invoices, not more often than once a month during the term of this Agreement, based on the cost for services performed and reimbursable costs incurred prior to the invoice date. Invoices shall contain the following information:
• Serial identifications of progress bills; i.e., Progress Bill No. 1 for the first invoice, etc.;
• Project name & number if applicable;
• Per Item 1.1, Terms of Service expiration date;
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• Purchase Order number to expedite payment;
• The beginning and ending dates of the billing period; • A task summary containing the original contract amount, the amount of prior billings, the total due this period, the balance available under the Agreement, and the percentage of completion;
• At City’s option, for each work item in each task, a copy of the applicable time entries or time sheets shall be submitted showing the name of the person doing the work, the hours spent by each person, a brief description of the work, and each reimbursable expense;
• The total number of hours of work performed under the Agreement by Consultant and each employee, agent, and subcontractor of Consultant performing services hereunder;
• The Consultant’s signature;
2.2 Monthly Payment. City shall make monthly payments, based on invoices received, for services satisfactorily performed, and for authorized reimbursable costs incurred. City shall have 30 days from the receipt of an invoice that complies with all of the requirements above to pay Consultant.
2.3 Final Payment. City shall pay the last 10% of the total sum due pursuant to this Agreement within 60 days after completion of the services and submittal to City of a final invoice, if all services required have been satisfactorily performed.
2.4 Total Payment. City shall pay for the services to be rendered by Consultant pursuant to this Agreement. City shall not pay any additional sum for any expense or cost whatsoever incurred by Consultant in rendering services pursuant to this Agreement.
City shall make no payment for any extra, further, or additional service pursuant to this Agreement.
In no event shall Consultant submit any invoice for an amount in excess of the maximum amount of compensation provided above either for a task or for the entire Agreement, unless the Agreement is modified prior to the submission of such an invoice by a properly executed change order or amendment.
2.5 Hourly Rate/Fees. Unless the services provided are for a lump sum or flat fee, fees for work performed by Consultant on an hourly basis shall not exceed the amounts shown on the compensation cost proposal attached hereto as Exhibit B. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit B, the Agreement shall prevail.
2.6 Reimbursable Expenses. Reimbursable expenses are specified in Exhibit B, attached hereto and incorporated herein. Reimbursable expenses not listed in Exhibit 117 of 331
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B are not chargeable to City. Reimbursable expenses shall not include a mark-up and are billed as a direct costs. In no event shall expenses be advanced by the City to the Consultant. Reimbursable expenses are included in the total amount of compensation provided under this Agreement that shall not be exceeded.
2.7 Payment of Taxes. Consultant is solely responsible for the payment of employment taxes incurred under this Agreement and any similar federal or state taxes.
2.8 Payment upon Termination. In the event that the City or Consultant terminates this Agreement pursuant to Section 8, the City shall compensate the Consultant for all outstanding costs and reimbursable expenses incurred for work satisfactorily completed as of the date of written notice of termination. Consultant shall maintain adequate logs and timesheets to verify costs incurred to that date.
2.9 Authorization to Perform Services. The Consultant is not authorized to perform any services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator.
2.10. Business License. The Consultant is not authorized to perform services or incur costs whatsoever under the terms of this Agreement until Consultant applies for and has been issued a business license from the City pursuant to Title 5 of the Union City Municipal Code.
Section 3. FACILITIES AND EQUIPMENT. Except as set forth herein, Consultant shall, at its sole cost and expense, provide all facilities and equipment that may be necessary to perform the services required by this Agreement. City shall make available to Consultant only the facilities and equipment listed in this section, and only under the terms and conditions set forth herein.
City shall furnish physical facilities such as desks, filing cabinets, and conference space, as may be reasonably necessary for Consultant’s use while consulting with City employees and reviewing records and the information in possession of the City. The location, quantity, and time of furnishing those facilities shall be in the sole discretion of City. In no event shall City be obligated to furnish any facility that may involve incurring any direct expense, including but not limited to computer, long-distance telephone or other communication charges, vehicles, and reproduction facilities.
Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this Agreement, Consultant, at its own cost and expense, unless otherwise specified below, shall procure the types and amounts of insurance listed below against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work hereunder by the Consultant and its agents, representatives, employees, and subcontractors. Consistent with the following provisions, Consultant shall provide proof satisfactory to City of such insurance that meets the requirements of this section and under forms of insurance satisfactory in all respects, and that such insurance is in effect prior to beginning work for the City. Consultant shall maintain the 118 of 331
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insurance policies required by this section throughout the term of this Agreement. The cost of such insurance shall be included in the Consultant's bid. Consultant shall not allow any subcontractor to commence work on any subcontract until Consultant has obtained all insurance required herein for the subcontractor(s) and provided evidence to the City that such insurance is in effect. Verification of the required insurance shall be submitted and made part of this Agreement prior to execution.
4.1 Required Coverage. Consultant shall maintain all required insurance listed herein for the duration of this Agreement.
COVERAGE TYPE OF INSURANCE MINIMUM LIMITS
A Commercial General
Liability
Premises Liability;
Products and Completed
Operations; Contractual
Liability; Personal Injury
and Advertising Liability
$2,000,000 per occurrence;
Bodily Injury and Property
Damage
$4,000,00 in the aggregate;
Commercial general
coverage shall be at least
as broad as Insurance
Services Office
Commercial General
Liability occurrence form
CG 0001 (most recent
edition) covering
comprehensive General
Liability on an “occurrence”
basis.
B Commercial or Business
Automobile Liability
All owned vehicles, hired or
leased vehicles, nonowned, borrowed and
permissive uses. Personal
Automobile Liability is
acceptable for individual
contractors with no
transportation or hauling
related activities
$1,000,000 per occurrence;
Any Auto; Bodily Injury and
Property Damage.
Automobile coverage shall
be at least as broad as
Insurance Services Office
Automobile Liability form
CA 0001 (most recent
edition), Code 1 (any auto).
No endorsement shall be
attached limiting the
coverage.
C Workers’ Compensation
(WC) and Employers
Liability (EL)
Required for all contractors
with employees
WC: Statutory Limits
EL: $100,000 per accident
for bodily injury or disease.
Consultant may rely on a
self-insurance program to
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meet those requirements,
but only if the program of
self-insurance complies
fully with the provisions of
the California Labor Code.
The insurer shall waive all
rights of subrogation
against the City and its
officers, officials,
employees, and volunteers
for loss arising from work
performed under this
Agreement.
D Professional
Liability/Errors &
Omissions
Includes endorsements of
contractual liability
$2,000,000 per occurrence
$4,000,000 policy
aggregate; Any deductible
or self-insured retention
shall not exceed $150,000
per claim.
Consultant shall maintain
cyber liability insurance in
an amount not less than
$2,000,000 per occurrence
or claim, $2,000,000
aggregate. Coverage shall
include but not be limited to
claims involving security
breach, system failure,
social engineering,
infringement of intellectual
property, and alteration of
electronic information.
4.2 Additional requirements. Each of the following shall be included in the insurance coverage or added as a certified endorsement to the policy:
a. All required insurance shall be maintained during the entire term of the Agreement with the following exception: Insurance policies and coverage(s) written on a claims-made basis shall be maintained during the entire term of the Agreement and until five (5) years following termination and acceptance of all work provided under the Agreement, with the retroactive date of said insurance (as may be applicable) concurrent with the commencement of activities pursuant to this Agreement b. All insurance required above with the exception of Professional Liability, Personal Automobile Liability, Workers’ Compensation and Employers Liability, shall be 120 of 331
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endorsed to name as additional insured: City of Union City, its City Council, and all City officers, agents, employees, volunteers and representatives. c. For any claims related to this Agreement or the work hereunder, the Consultant’s insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Consultant’s insurance and shall not contribute with it. d. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after 30 days’ prior written notice has been provided to the City.
e. Certificates of Insurance: Before commencing operations under this Agreement, Consultant shall provide Certificate(s) of Insurance and applicable insurance endorsements, in form and satisfactory to City, evidencing that all required insurance coverage is in effect. The City reserves the rights to require the Consultant to provide complete, certified copies of all required insurance policies. f. Subcontractors: Consultant shall include all subcontractors as an insured (covered party) under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated herein.
g. Claims-made limitations. The following provisions shall apply if the professional liability coverage is written on a claims-made form:
i. The retroactive date of the policy must be shown and must be before the date of the Agreement.
ii. Insurance must be maintained and evidence of insurance must be provided for at least five years after completion of the Agreement or the work, so long as commercially available at reasonable rates.
iii. If coverage is canceled or not renewed and it is not replaced with another claims-made policy form with a retroactive date that precedes the date of this Agreement, Consultant must purchase an extended period coverage for a minimum of three (3) years after completion of work under this Agreement. iv. A copy of the claim reporting requirements must be submitted to the City for review prior to the commencement of any work under this Agreement.
4.3 All Policies Requirements.
a. Acceptability of insurers. All insurance required by this section is to be placed with insurers with a Bests' rating of no less than A:VII. Insurance shall be 121 of 331
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maintained through an insurer with a minimum A.M. Best Rating of A- or better, with deductible amounts acceptable to the City. Acceptance of Consultant’s insurance by City shall not relieve or decrease the liability of Consultant hereunder. Any deductible or selfinsured retention amount or other similar obligation under the policies shall be the sole responsibility of the Consultant.
b. Deductibles and Self-Insured Retentions. Consultant shall disclose to and obtain the written approval of City for the self-insured retentions and deductibles before beginning any of the services or work called for by any term of this Agreement. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, employees, and volunteers; or the Consultant shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses.
c. Wasting Policies. No policy required by this Section 4 shall include a “wasting” policy limit (i.e. limit that is eroded by the cost of defense). d. Waiver of Subrogation. Consultant hereby agrees to waive subrogation which any insurer or contractor may require from vendor by virtue of the payment of any loss. Consultant agrees to obtain any endorsements that may be necessary to affect this waiver of subrogation. The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the entity for all work performed by the consultant, its employees, agents, and subcontractors.
4.4 Remedies. In addition to any other remedies City may have if Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required, City may, at its sole option exercise any of the following remedies, which are alternatives to other remedies City may have and are not the exclusive remedy for Consultant’s breach:
• Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under the Agreement; • Order Consultant to stop work under this Agreement or withhold any payment that becomes due to Consultant hereunder, or both stop work and withhold any payment, until Consultant demonstrates compliance with the requirements hereof; and/or
• Terminate this Agreement.
Section 5. INDEMNIFICATION AND CONSULTANT’S RESPONSIBILITIES.
Consultant shall indemnify, defend with counsel acceptable to City, and hold harmless City and its officers, officials, employees, agents and volunteers from and against any and all liability, loss, damage, claims, expenses, and costs (including without limitation, 122 of 331
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attorney’s fees and costs and fees of litigation) (collectively, “Liability”) of every nature arising out of or in connection with Consultant’s performance of the Services or its failure to comply with any of its obligations contained in this Agreement, except such Liability caused by the sole negligence or willful misconduct of City.
The Consultant’s obligation to defend and indemnify shall not be excused because of the Consultant’s inability to evaluate Liability or because the Consultant evaluates Liability and determines that the Consultant is not liable to the claimant. The Consultant must respond within 30 days, to the tender of any claim for defense and indemnity by the City, unless this time has been extended by the City. If the Consultant fails to accept or reject a tender of defense and indemnity within 30 days, in addition to any other remedy authorized by law, so much of the money due the Consultant under and by virtue of this Agreement as shall reasonably be considered necessary by the City, may be retained by the City until disposition has been made of the claim or suit for damages, or until the Consultant accepts or rejects the tender of defense, whichever occurs first.
With respect to third party claims against the Consultant, the Consultant waives any and all rights of any type to express or implied indemnity against the Indemnitees.
Notwithstanding the forgoing, to the extent this Agreement is a “construction contract” as defined by California Civil Code Section 2782, as may be amended from time to time, such duties of consultant to indemnify shall not apply when to do so would be prohibited by California Civil Code Section 2782.
In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant 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 City.
Section 6. STATUS OF CONSULTANT.
6.1 Independent Contractor. At all times during the term of this Agreement, Consultant shall be an independent contractor and shall not be an employee of City. City shall have the right to control Consultant only insofar as the results of Consultant's services rendered pursuant to this Agreement and assignment of personnel pursuant to Subparagraph 1.3; however, otherwise City shall not have the right to control the means by which Consultant accomplishes services rendered pursuant to this Agreement.
Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any and all claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California 123 of 331
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Public Employees Retirement System (PERS) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits.
6.2 Consultant Not an Agent. Except as City may specify in writing, Consultant shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Consultant shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever.
Section 7. LEGAL REQUIREMENTS.
7.1 Governing Law. The laws of the State of California shall govern this Agreement.
7.2 Compliance with Applicable Laws. Consultant and any subcontractors shall comply with all laws applicable to the performance of the work hereunder.
7.3 Other Governmental Regulations. To the extent that this Agreement may be funded by fiscal assistance from another governmental entity, Consultant and any subcontractors shall comply with all applicable rules and regulations to which City is bound by the terms of such fiscal assistance program.
7.4 Licenses and Permits. Consultant represents and warrants to City that Consultant and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice their respective professions. Consultant represents and warrants to City that Consultant and its employees, agents, any subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required to practice their respective professions. In addition to the foregoing, Consultant and any subcontractors shall obtain and maintain during the term of this Agreement valid Business Licenses from City.
7.5 Nondiscrimination and Equal Opportunity. Consultant shall not discriminate, on the basis of a person’s race, religion, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation, against any employee, applicant for employment, subcontractor, bidder for a subcontract, or participant in, recipient of, or applicant for any services or programs provided by Consultant under this Agreement. Consultant shall comply with all applicable federal, state, and local laws, policies, rules, and requirements related to equal opportunity and nondiscrimination in employment, contracting, and the provision of any services that are the subject of this Agreement, including but not limited to the satisfaction of any positive obligations required of Consultant thereby.
Consultant shall include the provisions of this Subsection in any subcontract approved by the Contract Administrator or this Agreement.
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Section 8. TERMINATION AND MODIFICATION.
8.1 Termination. City may cancel this Agreement at any time and without cause upon written notification to Consultant. Consultant may cancel this Agreement upon thirty (30) days’ written notice to City and shall include in such notice the reasons for cancellation.
In the event of termination, Consultant shall be entitled to compensation for services performed to the effective date of termination; City, however, may condition payment of such compensation upon Consultant delivering to City any or all work product, including, but not limited to documents, photographs, computer software, video and audio tapes, and other materials provided to Consultant or prepared by or for Consultant or the City in connection with this Agreement.
8.2 Extension. City may, in its sole and exclusive discretion, extend the end date of this Agreement beyond that provided for in Subsection 1.1. Any such extension shall require a written amendment to this Agreement, as provided for herein.
8.3 Amendments. The parties may amend this Agreement only by a writing signed by all the parties.
8.4 Assignment and Subcontracting. City and Consultant recognize and agree that this Agreement contemplates personal performance by Consultant and is based upon a determination of Consultant’s unique personal competence, experience, and specialized personal knowledge. Moreover, a substantial inducement to City for entering into this Agreement was and is the professional reputation and competence of Consultant. Consultant may not assign this Agreement or any interest therein without the prior written approval of the Contract Administrator. Consultant shall not subcontract any portion of the performance contemplated and provided for herein, other than to the subcontractors noted in the proposal, without prior written approval of the Contract Administrator.
8.5 Survival. All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating liability between City and Consultant shall survive the termination of this Agreement.
8.6 Options upon Breach by Consultant. If Consultant materially breaches any of the terms of this Agreement, City’s remedies shall include, but not be limited to, the following:
8.6.1 Immediately terminate the Agreement;
8.6.2 Retain the plans, specifications, drawings, reports, design documents, and any other work product prepared by Consultant pursuant to this Agreement;
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8.6.3 Retain a different consultant to complete the work described in Exhibit A not finished by Consultant; or
8.6.4 Charge Consultant the difference between the cost to complete the work described in Exhibit A that is unfinished at the time of breach and the amount that City would have paid Consultant pursuant to Section 2 if Consultant had completed the work.
Section 9. KEEPING AND STATUS OF RECORDS.
9.1 Records Created as Part of Consultant’s Performance. All reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form, that Consultant prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the City. Consultant hereby agrees to deliver those documents to the City upon termination of the Agreement. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement are prepared specifically for the City and are not necessarily suitable for any future or other use. City and Consultant agree that, until final approval by City, all data, plans, specifications, reports and other documents are confidential and will not be released to third parties without prior written consent of both parties.
9.2 Consultant’s Books and Records. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services or expenditures and disbursements charged to the City under this Agreement for a minimum of 3 years, or for any longer period required by law, from the date of final payment to the Consultant to this Agreement.
9.3 Inspection and Audit of Records. Any records or documents that Section
9.2 of this Agreement requires Consultant to maintain shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of the City. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds $10,000.00, the Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of 3 years after final payment under the Agreement.
Section 10 MISCELLANEOUS PROVISIONS.
10.1 Attorneys’ Fees. If a party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.
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10.2 Venue. In the event that either party brings any action against the other under this Agreement, the parties agree that trial of such action shall be vested exclusively in the state courts of California in the County of Alameda or in the United States District Court for the Northern District of California.
10.3 Severability. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjudged shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.
10.4 No Implied Waiver of Breach. The waiver of any breach of a specific provision of this Agreement does not constitute a waiver of any other breach of that term or any other term of this Agreement.
10.5 Successors and Assigns. The provisions of this Agreement shall inure to the benefit of and shall apply to and bind the successors and assigns of the parties.
10.6 Use of Recycled Products. Consultant shall prepare and submit all reports, written studies and other printed paper materials on paper containing a minimum of 30% post-consumer recycled content when they are available in the marketplace at equal or less cost than virgin paper and are equal in performance to virgin paper.
10.7 Conflict of Interest. Consultant may serve other clients, but none whose activities within the corporate limits of City or whose business, regardless of location, would place Consultant in a “conflict of interest,” as that term is defined in the Political Reform Act, codified at California Government Code Section 81000 et seq.
Consultant shall not employ any City official in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement that would violate California Government Code Sections 1090 et seq.
Consultant hereby warrants that it is not now, nor has it been in the previous 12 months, an employee, agent, appointee, or official of the City. If Consultant was an employee, agent, appointee, or official of the City in the previous twelve months, Consultant warrants that it did not participate in any manner in the forming of this Agreement. Consultant understands that, if this Agreement is made in violation of Government Code § 1090 et seq., the entire Agreement is void and Consultant will not be entitled to any compensation for services performed pursuant to this Agreement, including reimbursement of expenses, and Consultant will be required to reimburse the City for any sums paid to the Consultant.
Consultant understands that, in addition to the foregoing, it may be subject to criminal prosecution for a violation of Government Code § 1090 and, if applicable, will be disqualified from holding public office in the State of California. 127 of 331
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10.8 Solicitation. Consultant agrees not to solicit business at any meeting, focus group, or interview related to this Agreement, either orally or through any written materials.
10.9 Contract Administration. This Agreement shall be administered by the City Manager, or his designee, identified as Eddie Yu ("Contract Administrator"). All correspondence, meeting documentation, invoices and project deliverables shall be directed to or through the Contract Administrator.
Eddie Yu
Civil Engineer II
City of Union City
34009 Alvarado-Niles Road
Union City, CA 94587
[email protected]
10.10 Notices. Any written notice to Consultant shall be sent to:
Craig Geis
President
Cal-West Lighting & Signal Maintenance, Inc.
412 Lano Street
San Jose, 95125
[email protected]
All other written notices to City shall be sent to:
Joan M. Malloy Kristopher J. Kokotaylo,
City Manager City Attorney
City of Union City City of Union City
34009 Alvarado Niles Rd. with a copy to 34009 Alvarado Niles Rd.
Union City, CA 94587 Union City, CA 94587
10.11 Professional Seal. Where applicable in the determination of the contract administrator, the first page of a technical report, first page of design specifications, and each page of construction drawings shall be stamped/sealed and signed by the licensed professional responsible for the report/design preparation. The stamp/seal shall be in a block entitled "Seal and Signature of Registered Professional with report/design responsibility," as in the following example.
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_____________________________________
Seal and Signature of Registered Professional
with report/design responsibility.
10.12 Integration. This Agreement, including the scope of work attached hereto and incorporated herein as Exhibits A, B, and C, represents the entire and integrated agreement between City and Consultant and supersedes all prior negotiations, representations, or agreements, either written or oral.
Exhibit A Scope of Services
Exhibit B Compensation Schedule
Exhibit C Public Works Requirements
10.13 Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.
The Parties have executed this Agreement as of the Effective Date.
CITY OF UNION CITY CAL-WEST LIGHTING & SIGNAL
MAINTENANCE, INC.
______________________________ ______________________________
JOAN MALLOY, CITY MANAGER CRAIG GEIS, PRESIDENT
ATTEST:
______________________________
THAI NAM N. PHAM, CITY CLERK
APPROVED AS TO FORM:
_________________________________
KRISTOPHER J. KOKOTAYLO
CITY ATTORNEY
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EXHIBIT A
SCOPE OF SERVICES
Proposed Services/Work Plan:
At Cal-West, we are committed to delivering efficient, high-quality service while staying within the City of Union City’s budget. We recognize the importance of dependable workmanship and will provide all labor, tools, equipment, and materials necessary to maintain the City’s signalized intersections and street lighting systems to the highest standards. All work will be performed in a professional, workmanlike manner and will remain subject to inspection and approval by the City and its designated representatives. Our proposed work plan includes the following:
▪ Scheduling/Performing Preventative Monthly Routine Maintenance per City directives
▪ Record Keeping/All calls, repairs will be kept via Electronic copy/Database/Hard copy in cabinet
▪ Project Approach/Meet with City Staff, establish common goals, field staff available 24/7
▪ Key Strengths/Cal-West has been in business since 2004, longer than many other maintenance companies and has an established proven track record for successfully performing routine maintenance, emergency repairs. Our technicians are continually up to date on new and emerging technologies and methodologies.
▪ Ability to Respond/Cal-West emergency response calls are answered by a live in-house dispatcher 24/7.
Cal-West consistently delivers the fastest response times in the industry, with technicians who live in the communities they serve and routinely exceed required response standards. Cities and municipalities -- even those outside our contracts — routinely call on us when their primary contractors fail to respond. Our team is committed to thorough, safe, and efficient service, and Cal-West has never been cited for non-response.
RESPONSE AND SERVICE
Cal-West agrees to provide live 24-Hour Emergency phone service and to have Technicians available 24-Hours per-day, seven (7) days per-week to respond to all emergency calls in a timely manner, meeting or exceeding standards set by the City. CalWest Proposes:
Traffic Signals
1. Emergency and Accident response ----- One (1) Hour or less
2. Outages and Signal malfunctions -------- Two (2) Hours or less
3. Evening Calls 1600 pm - 0700 am ------- Two (2) Hours or less 130 of 331
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4. Safety Street-Lighting ------------- Forty-Eight (48) Hours or less Street-Lighting
1. Emergency and Accident response ----- One (1) Hour or less
2. Outages and malfunction ------------------- Forty-Eight (48) Hours or less 131 of 331
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EXHIBIT B
COMPENSATION
1. ROUTINE MONTHLY MAINTENANCE (Traffic Signals)
▪ Routine Traffic Signal Maintenance rates are set under the assumption of Routine services being performed within one (1) hour or less per-intersection.
▪ Traffic Signals: Routine Maintenance of Traffic Signals shall cost the rate of seventy dollars ($70.00) per-intersection per-monthly inspection.
2. MONTHLY MAINTENANCE EXTRAS
Items not listed in “Routine Maintenance” shall be billed as “Maintenance Extras” in accordance with and outlined under Labor and Equipment, and Material Rates to include:
a. Emergency service calls such as but not limited to Signal Controller malfunction or knock-downs
b. Work performed or materials used outside of the allotted period of Scheduled Maintenance or malfunctions caused by vandalism, power issues, pole or equipment knock-down, lightning strike, earthquake, or other acts of God
c. The correction, repair, or replacement of materials or equipment installed or modified by another party other than Cal-West Labor and Equipment Billing
A. Normal Straight-Time rates apply between the day-time hours of: 0700hrs to 1600hrs
Over-time rates apply between the Evening hours of: 1600hrs to 0700hrs B. Normal Straight-Time rates apply during normal business hours Monday-thruFriday Over-Time rates apply after normal business hours, Weekends, and Holidays
C. There shall be no half hour or hour minimum charge on day-time calls D. Labor and Equipment charges for Day-Time calls shall be billed in fifteen (15) minute increments
E. There shall be a two (2) hour minimum charge for Emergency calls in the Evening hours Evening calls, after the two (2) hour minimum, shall be billed in fifteen (15) minute increments
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Material Rates: All material rates shall be set at invoice cost plus an overhead mark-up of:
10%
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EXHIBIT C
PROVISIONS REQUIRED FOR PUBLIC WORKS CONTRACTS
PURSUANT TO CALIFORNIA LABOR CODE SECTION 1720 ET SEQ.
HOURS OF WORK:
A. In accordance with California Labor Code Section 1810, 8 hours of labor in performance of the services described in Exhibit A shall constitute a legal day’s work under this contract.
B. In accordance with California Labor Code Section 1811, the time of service of any worker employed in performance of the services described in Exhibit A is limited to eight hours during any one calendar day, and forty hours during any one calendar week, except in accordance with California Labor Code Section 1815, which provides that work in excess of eight hours during any one calendar day and forty hours during any one calendar week is permitted upon compensation for all hours worked in excess of eight hours during any one calendar day and forty hours during any one calendar week at not less than oneand-one-half times the basic rate of pay.
C. The Consultant and its subcontractors shall forfeit as a penalty to the City $25 for each worker employed in the performance of the services described in Exhibit A for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day, or more than 40 hours in any one calendar week, in violation of the provisions of California Labor Code Section 1810 and following.
WAGES:
A. In accordance with California Labor Code Section 1773.2, the City has determined the general prevailing wages in the locality in which the services described in Exhibit A are to be performed for each craft or type of work needed to be as published by the State of California Department of Industrial Relations, Division of Labor Statistics and Research, a copy of which is on file in the City Public Works Office and shall be made available on request. The Consultant and subcontractors engaged in the performance of the services described in Exhibit A shall pay no less than these rates to all persons engaged in performance of the services described in Exhibit A.
B. In accordance with Labor Code Section 1775, the Consultant and any subcontractors engaged in performance of the services described in Exhibit A shall comply Labor Code Section 1775, which establishes a penalty of up to $50 per day for each worker engaged in the performance of the services described in Exhibit A that the Consultant or any subcontractor pays less than the specified prevailing wage. The amount of such penalty shall be determined by the Labor 134 of 331
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Commissioner and shall be based on consideration of the mistake, inadvertence, or neglect of the Consultant or subcontractor in failing to pay the correct rate of prevailing wages, or the previous record of the Consultant or subcontractor in meeting applicable prevailing wage obligations, or the willful failure by the Consultant or subcontractor to pay the correct rates of prevailing wages. A mistake, inadvertence, or neglect in failing to pay the correct rate of prevailing wages is not excusable if the Consultant or subcontractor had knowledge of their obligations under the California Labor Code. The Consultant or subcontractor shall pay the difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which each worker was paid less than the prevailing wage rate. If a subcontractor worker engaged in performance of the services described in Exhibit A is not paid the general prevailing per diem wages by the subcontractor, the Consultant is not liable for any penalties therefore unless the Consultant had knowledge of that failure or unless the Consultant fails to comply with all of the following requirements:
1. The contract executed between the Consultant and the subcontractor for the performance of part of the services described in Exhibit A shall include a copy of the provisions of California Labor Code Sections 1771, 1775, 1776, 1777.5, 1813, and 1815.
2. The Consultant shall monitor payment of the specified general prevailing rate of per diem wages by the subcontractor by periodic review of the subcontractor’s certified payroll records.
3. Upon becoming aware of a subcontractor’s failure to pay the specified prevailing rate of wages, the Consultant shall diligently take corrective action to halt or rectify the failure, including, but not limited to, retaining sufficient funds due the subcontractor for performance of the services described in Exhibit A.
4. Prior to making final payment to the subcontractor, the Consultant shall obtain an affidavit signed under penalty of perjury from the subcontractor that the subcontractor has paid the specified general prevailing rate of per diem wages for employees engaged in the performance of the services described in Exhibit A and any amounts due pursuant to California Labor Code Section 1813.
C. In accordance with California Labor Code Section 1776, the Consultant and each subcontractor engaged in performance of the services described in Exhibit A shall keep accurate payroll records showing the name, address, social security number, work, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed in performance of the services described in Exhibit A. Each 135 of 331
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payroll record shall contain or be verified by a written declaration that it is made under penalty of perjury, stating both of the following:
1. The information contained in the payroll record is true and correct.
2. The employer has complied with the requirements of Sections 1771, 1811, and 1815 for any work performed by the employer’s employees on the public works project.
The payroll records required pursuant to California Labor Code Section 1776 shall be certified and shall be available for inspection by the Owner and its authorized representatives, the Division of Labor Standards Enforcement, the Division of Apprenticeship Standards of the Department of Industrial Relations and shall otherwise be available for inspection in accordance with California Labor Code Section 1776.
D. In accordance with California Labor Code Section 1777.5, the Consultant, on behalf of the Consultant and any subcontractors engaged in performance of the services described in Exhibit A, shall be responsible for ensuring compliance with California Labor Code Section 1777.5 governing employment and payment of apprentices on public works contracts.
E. In case it becomes necessary for the Consultant or any subcontractor engaged in performance of the services described in Exhibit A to employ for the services described in Exhibit A any person in a trade or occupation (except executive, supervisory, administrative, clerical, or other non manual workers as such) for which no minimum wage rate has been determined by the Director of the Department of Industrial Relations, the Contractor shall pay the minimum rate of wages specified therein for the classification which most nearly corresponds to services described in Exhibit A to be performed by that person. The minimum rate thus furnished shall be applicable as a minimum for such trade or occupation from the time of the initial employment of the person affected and during the continuance of such employment.
DIR REGISTRATION
Consultant shall be currently registered with the Department of Industrial Relations and qualified to perform public work consistent with Labor Code section 1725.5, except in limited circumstances as set forth in Labor Code section 1771.1. No contractor or subcontractor may be awarded a contract for public work on a public works project unless registered with the Department of Industrial Relations pursuant to California Labor Code Section 1725.5. Consultant agrees, in accordance with Section 1771.4 of the California Labor Code, that if the work under this Agreement qualifies as public work, it is subject to compliance monitoring and enforcement by the Department of Industrial Relations. 136 of 331
RESOLUTION NO. 2026-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY
AUTHORIZING THE CITY MANAGER TO EXECUTE A CONSULTING
SERVICES AGREEMENT WITH CAL-WEST LIGHTING AND SIGNAL
MAINTENANCE, INC., IN THE AMOUNT NOT TO EXCEED $400,000,
FOR TRAFFIC SIGNAL MAINTENANCE, ON-CALL SUPPORT, AND
EMERGENCY REPAIR SERVICES, AND AUTHORIZING THE CITY
MANAGER TO EXERCISE OPTIONS TO EXTEND THE AGREEMENT
FOR A THIRD, FOURTH AND FIFTH YEAR, FOR AN ADDITIONAL
AMOUNT NOT TO EXCEED $200,000 PER YEAR, FOR A TOTAL NOTTO-EXCEED CONTRACT AMOUNT OF $1,000,000 WHEREAS, the City of Union City owns and maintains sixty-one existing traffic signals, one High Intensity Activated Crosswalk (HAWK) on Alvarado-Niles Road, one flashing beacon on Meyers Drive and two existing Rectangular Rapid Flashing Beacon (RRFB) crossings within the City; and
WHEREAS, the City receives federal, state and local transportation funds for traffic signal improvements and equipment upgrades to support the City’s Capital Improvement Program (CIP); and
WHEREAS, on March 12, 2026, a Request for Proposals for Traffic Signal Maintenance, On-Call Support, and Emergency Repair Services was advertised on the City’s website and with the active builder exchanges listed in the California Uniform Construction Cost Accounting Commission’s Cost Accounting Policies and Procedures Manual 2019 Edition, and with the Bay Area News Group for three consecutive weeks, beginning on March 20, 2026; and
WHEREAS, three proposals were received and opened on April 8, 2026, at 2:00 p.m. in City Hall, then reviewed with interviews held on May 1, 2026, by a panel consisting of Public Works staff; and
WHEREAS, Cal-West Lighting & Signal Maintenance, Inc. (Cal-West) was consistently rated highest among the three firms by all evaluators based on qualifications, experience, staffing resources, responsiveness, technical capability, and interview performance; and
WHEREAS, Cal-West is the City’s current traffic signal maintenance contractor, demonstrating a high level of technical expertise and experience specific to the traffic signal systems of Union City; and
WHEREAS, the Consulting Services Agreement with Cal-West will be funded from Measure F (Fund 260) (Account Number 260-33003-54111) for the Fiscal Year 2026- 2027 budget, and future years will be funded by available Measure F or Street Lights and Landscaping District funds.
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Approve CSA with Cal-West Lighting and Signal Maintenance, Inc.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby authorizes the City Manager to execute a two-year Consulting Services Agreement with Cal-West Lighting and Signal Maintenance, Inc., in a form approved by the City Attorney, in the amount not to exceed $400,000 for traffic signal maintenance, on-call support, and emergency repair services.
BE IT FURTHER RESOLVED that the City Council of the City of Union City hereby authorizes the City Manager to exercise options to extend the agreement for a third, fourth, and fifth year, in a form approved by the City Attorney, for an additional amount not to exceed $200,000 per year, subject to satisfactory performance and annual budget appropriations, for a total not-to-exceed contract amount of $1,000,000.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on June 9, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:
THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
Attachments:
1) Exhibit A - Union City Traffic Signal Maintenance Final Scoring 138 of 331
Traffic Signal Maintenance, On-Call Support and Emergency Repair Services - Evaluation Results Contractor Qualifications (30) Work Plan (30) Fee (20) Team (10) Quality (10) Total / 100 Rank (Eddie) Cal-West Lighting & Signal Maintenance 30 27 18 10 10 95 1 Bear Electrical Solutions, LLC 27 28 16 10 10 91 2
St. Francis Electric, LLC 26 26 17 8 8 85 3
Contractor Qualifications (30) Work Plan (30) Fee (20) Team (10) Quality (10) Total / 100 Rank (Tommy) Cal-West Lighting & Signal Maintenance 28 24 17 7 8 84 1 Bear Electrical Solutions, LLC 27 24 16 7 8 82 2
St. Francis Electric, LLC 26 23 15 7 6 77 3
Contractor Qualifications (30) Work Plan (30) Fee (20) Team (10) Quality (10) Total / 100 Rank (Paul) Cal-West Lighting & Signal Maintenance 30 29 19 10 10 98 1 Bear Electrical Solutions, LLC 28 28 17 10 10 93 2
St. Francis Electric, LLC 25 27 16 10 9 87 3
5/27/2026
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City Council Staff Report Page 1 of 3 June 9, 2026
Staff Report
Agenda Item No. 4.5
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Authorizing the City Manager to Execute the Sixth Amendment to the Consulting Services Agreement with CSG Consultants, Inc., in the Amount of $30,000, for a Total Contract NotTo-Exceed Amount of $425,520, for Municipal Programming
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a resolution authorizing the City Manager to execute the Sixth Amendment to the Consulting Services Agreement (Sixth Amendment) with CSG Consultants, Inc. (CSG), in the amount of $30,000, for a total contract not-to-exceed amount of $425,520, for Municipal Programming.
STRATEGIC PLAN ALIGNMENT
This agenda item is aligned with the following:
Goal D, Strategy 2: Environmental Sustainability and Infrastructure – Implement the City’s capital improvement plan.
BACKGROUND
The Public Works Engineering Division periodically requires consulting services to ensure that required tasks and services continue during staffing challenges, excessive workload, or when the work required is specialized and beyond the capacity of staff. In anticipation of these needs, staff initiates a Request for Qualifications (RFQ) process every five years to create a list of qualified on-call consultants from which to issue Requests for Proposal (RFPs) to meet specific project requirements as needed.
On September 8, 2020, the City Council adopted Resolution No. 5649-20, approving a List of Qualified Consultants that was generated from an On-Call Professional Engineering Services Request for Proposal released in July 2020. CSG Consultants, Inc., of Pleasanton, CA, appeared on the List of Qualified Consultants.
On September 22, 2020, the City Council adopted Resolution No. 5665-20, approving a Consulting Services Agreement (C5464) with CSG Consultants, Inc., in the amount of 140 of 331
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4 $215,000, for Municipal Programming and Project Management Services, which included the review and issuance of Encroachment Permits.
On June 28, 2022, the City Council adopted Resolution No. 5964-22, approving the First Amendment to the Consulting Services Agreement with CSG Consultants, Inc., in the amount of $99,400, for a total contract amount not-to-exceed $314,400.
On June 30, 2023, the City executed the Second Amendment to the Consulting Services Agreement with CSG Consultants, Inc., extending the agreement's term to December 31, 2023.
On August 8, 2023, the City Council adopted Resolution No. 6178-23, approving the Third Amendment to the Consulting Services Agreement with CSG Consultants, Inc., in the amount of $81,120, for a total not-to-exceed contract amount of $395,520.
On June 17, 2024, the City executed the Fourth Amendment to the Consulting Services Agreement with CSG Consultants, Inc., extending the agreement's term to June 30, 2025.
Subsequently, on July 1, 2025, the City executed the Fifth Amendment to the Consulting Services Agreement with CSG Consultants, Inc. to further extend the term to June 30, 2026.
The Public Works Engineering Division faces both a current staffing shortage and a workload volume that exceeds the capacity to handle in-house. Staff continues to be pleased with the services provided by CSG and requests that their services be retained for another year.
DISCUSSION
For the past few years, the Public Works Engineering Division has experienced a heavy workload that exceeds its capacity to handle in-house.
CSG Consultants, Inc. staff have been instrumental in enabling the Engineering Division to review, coordinate, and approve an ever-increasing volume of Encroachment Permits.
The City requires utility companies and development contractors who construct utility, traffic signal, roadway, or sidewalk improvements within the City’s public right-of-way to obtain an encroachment permit to ensure that proposed improvements meet the City’s design criteria, specifications, and standard details. CSG’s assistance enables the engineering staff to focus on implementing the City’s Capital Improvement Program (CIP), responding to public inquiries, and performing other duties. Below is a table of the past three years of the volume and amount collected for encroachment permits:
PAST 3 YEARS NO. OF PERMITS ISSUED FEES COLLECTED
2023 307 $ 377,801
2024 441 $748,987
2025 491 $ 943,359
TOTAL FEES $ 2,070,147
To date, CSG and the engineering staff have issued 118 permits, have reviewed 141 of 331
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4 approximately 170 permits, and have collected about $300,000 in fees.
The Sixth Amendment, for $30,000, will allow CSG to continue providing the City with assistance in processing Encroachment Permits and extend the terms of the agreement to June 30, 2027.
FISCAL IMPACT
The Sixth Amendment to the Consulting Services Agreement with CSG Consultants, Inc., in the amount of $30,000, will be funded with monies available in the General Fund (Account Number 110-33001-54110) as identified in the approved Two-Year Biennial Operating Budget for Fiscal Year 2025-2026 and Fiscal Year 2026-2027.
RECOMMENDATION
Staff recommends that the City Council adopt a resolution authorizing the City Manager to execute the Sixth Amendment to the Consulting Services Agreement with CSG Consultants, Inc., in the amount of $30,000, for a total not-to-exceed contract amount of $425,520, for Municipal Programming.
Prepared by: Diana Cangco, City Engineer
Submitted by: Marilou Ayupan, Public Works Director
Attachments
1. Attachment 1 – Sixth Amendment
2. Draft Resolution
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SIXTH AMEMDMENT
TO THE CONSULTING SERVICES AGREEMENT
WITH CSG CONSULTANTS, INC.
FOR ENCROACHMENT PERMIT REVIEW AND ASSISTANCE
THIS SIXTH AMENDMENT (the “Sixth Amendment”) is effective as of this 9th day of June 2026 by and between THE CITY OF UNION CITY, a municipal corporation, (“City”) and CSG CONSULTANTS, INC. ("Consultant"), collectively referred to as the "Parties".
W I T N E S S E T H:
WHEREAS, on September 22, 2020, the Parties entered into a Consulting Services Agreement, C5464 (the “Agreement”), in the amount of $215,000 for Municipal Programming and Project Management and Consultant agreed to provide the City with services for the Engineering Division; and
WHEREAS, on June 28, 2022, the Parties entered into a First Amendment to the Consulting Services Agreement, C5464b (the “First Amendment”), to amend the services, extend the term, and increase the compensation by $99,400, for a total compensation of $314,400; and
WHEREAS, on June 30, 2023, the Parties entered into a Second Amendment to the Consulting Services Agreement, C5464c (the “Second Amendment”), to extend the term; and
WHEREAS, on August 8, 2023, the Parties entered into a Third Amendment to the Consulting Services Agreement, C5464d (the “Third Amendment”), to amend the services, extend the term, and increase the compensation by $81,120, for a total compensation of $395,520; and
WHEREAS, on June 17, 2024, the Parties entered into a Fourth Amendment to the Consulting Services Agreement, C5464e (the “Fourth Amendment”), to extend the term; and
WHEREAS, on July 1, 2025, the Parties entered into a Fifth Amendment to the Consulting Services Agreement, C26PW1137 (the “Fifth Amendment”), to extend the term; and WHEREAS, the Parties desire to amend the Agreement to further extend the term and increase the compensation; and
WHEREAS, the City and Consultant desires to enter into this Sixth Amendment.
NOW, THEREFORE, the Parties hereto do mutually agree as follows:
1. The “Term of Services”, as set forth in the first sentence of Section 1.1 of the Agreement is hereby extended to June 30, 2027.
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Sixth Amendment to the Consulting Services Agreement
CSG Consultants, Inc.
2. The first sentence of Section 2 "COMPENSATION" of the Agreement is hereby amended to reflect payment based upon a sum increase of Thirty Thousand Dollars ($30,000). The total compensation under the Agreement, including this Amendment, shall not exceed a total amount of Four Hundred Twenty-Five Thousand Five Hundred Twenty Dollars ($425,520). The first sentence of Section 2 is hereby amended to read as follows:
City hereby agrees to pay Consultant a sum not to exceed Four Hundred Twenty-Five Thousand Five Hundred Twenty Dollars ($425,520), notwithstanding any contrary indications that may be contained in Consultant's proposal, for services to be performed and reimbursable costs incurred under this Agreement.
3. The “COST PROPOSAL” as set forth in EXHIBIT B of the Agreement, is hereby amended to include the information contained in Exhibit B of this First Amendment, attached hereto and incorporated herein by reference.
4. All other provisions of the Agreement remain in full force and effect, except as modified by this Sixth Amendment.
IN WITNESS WHEREOF, the City and the Consultant have executed this Amendment effective as of the date hereinabove written.
THE CITY OF UNION CITY CSG CONSULTANTS, INC.
By By
Joan Malloy Hatem Ahmed
City Manager Vice President, Engineering
Attest:
___________________________
Thai Nam N. Pham
City Clerk
Approved as to Form:
____________________________
Kristopher J. Kokotaylo
City Attorney
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Sixth Amendment to the Consulting Services Agreement
CSG Consultants, Inc.
EXHIBIT B
COST PROPOSAL/COMPENSATION SCHEDULE
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RESOLUTION NO. 2026-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY
AUTHORIZING THE CITY MANAGER TO EXECUTE THE SIXTH
AMENDMENT TO THE CONSULTING SERVICES AGREEMENT WITH
CSG CONSULTANTS, INC., IN THE AMOUNT OF $30,000, FOR A TOTAL CONTRACT NOT-TO-EXCEED AMOUNT OF $425,520, FOR MUNICIPAL
PROGRAMMING
WHEREAS, the Public Works Engineering Division periodically requires staff augmentation to ensure that required work and services continue during staffing challenges, excessive workloads, or when the required work is specialized and beyond the capacity of existing staff. In anticipation of these needs, staff initiates a Request for Qualifications (RFQ) process every five years to create a list of qualified on-call consultants from which to send Requests for Proposal (RFP) to fill specific project requirements as needed; and
WHEREAS, on September 8, 2020, the City Council adopted Resolution No. 5649- 20, approving a List of Qualified Consultants from an On-Call Professional Engineering Services Request for Qualifications released in July 2020, which included CSG Consultants, Inc. of Pleasanton, CA; and
WHEREAS, on September 22, 2020, the City Council passed Resolution No. 5665-20, approving a Consulting Services Agreement (C5464) with CSG Consultants, Inc., in the amount of $215,000 for Municipal Programming and Project Management Services, which included the review and issuance of Encroachment Permits; and WHEREAS, on June 30, 2023, the City executed the Second Amendment to the Consulting Services Agreement to extend the term of the expiring current contract to December 30, 2023; and
WHEREAS, on August 8, 2023, the City Council adopted Resolution No. 6178-23, approving the Third Amendment to the Consulting Services Agreement with CSG Consultants, Inc., in the amount of $81,120, for a not-to-exceed contract amount of $395,520; and
WHEREAS, on June 17, 2024, the City executed the Fourth Amendment to the Consulting Services Agreement with CSG Consultants, Inc. to extend the terms of the agreement to June 30, 2025, and on July 1, 2025, the City executed the Fifth Amendment to the Consulting Services Agreement with CSG Consultants, Inc., to further extend the terms of the agreement to June 30, 2026; and
WHEREAS, the Sixth Amendment to the Consulting Services Agreement will allow CSG Consultants, Inc., in the amount of $ 30,000, to continue to provide the Engineering Division assistance with Municipal Programming and will extend the terms of the agreement to June 30, 2027; and
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Resolution No. 2026-XXXX
Approve Sixth Amendment to the CSA with CSG Consultants, Inc.
WHEREAS, the Sixth Amendment to the Consulting Services Agreement, in the amount of $30,000, will be funded with monies available in the General Fund (Account Number 110-33001-54110) identified in the approved Two-Year Biennial Operating Budget for Fiscal Year 2025-2026 and Fiscal Year 2026-2027.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby authorizes the City Manager to execute the Sixth Amendment to the Consulting Services Agreement, with CSG Consultants, Inc., in the amount of $30,000, for a total not-to-exceed contract amount of $425,520, for Municipal Programming.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on June 9, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:
THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
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City Council Staff Report Page 1 of 4 June 9, 2026
Staff Report
Agenda Item No. 4.6
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Amending the Five-Year Capital Improvement Plan, Approving a Budget Transfer, in the Amount of $311,000, from the General Liability Self-Insurance Fund to the General Fund, and Reallocating Two Appropriations in the General Fund: 1) in the Amount of $186,000, to the Hazard Mitigation Grant Program Ruggieri Senior Center Generator, City Project No. 18-17; and, 2) in the Amount of $125,000, to the Library Roof Modernization, City Project No. 26-21
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a resolution amending the Five-Year Capital Improvement Plan (CIP) for FY 2025–26 through FY 2029–30, approving a $311,000 budget transfer from the General Liability Self-Insurance Fund to the General Fund, and authorizing General Fund reallocations of appropriations to address funding shortfalls affecting two priority capital projects:
$186,000 – Hazard Mitigation Grant Program (HMGP) Ruggieri Senior Center Generator (Project 18-17)
$125,000 – Library Roof Modernization (Project 26-21)
Both projects are necessary to maintain critical emergency operations capacity and preserve essential public infrastructure.
STRATEGIC PLAN ALIGNMENT
This agenda item is aligned with the following:
Goal D, Strategy 2: Environmental Sustainability and Infrastructure – Implement the City’s capital improvement plan.
BACKGROUND
On June 24, 2025, the City Council adopted the Five-Year CIP for FY 2025–26 through FY 2029–30 (Resolution No. 2025-086). The plan relied on projected development impact 148 of 331
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fee revenues based on anticipated construction activity; however, due to unforeseen adverse economic disruptions and uncertainties, construction activity has been delayed, thereby delaying the associated development impact fees.
This revenue shortfall has created a funding gap in the Capital Facilities Improvement Development Impact Fee (DIF) Fund (Fund 411), which supports several projects scheduled for FY 2026-27. Two priority projects, the HMGP Ruggieri Senior Center Generator (Project 18-17) and the Library Roof Modernization (Project 26-21), cannot proceed without supplemental funding.
DISCUSSION
HMGP Ruggieri Senior Center Generator (City Project No. 18-17) The Union City/Newark Multi-Jurisdiction Hazard Mitigation Plan identifies the Ruggieri Senior Center as a critical facility and the City’s Emergency Operations Center (EOC).
The existing gas-powered generator is insufficient for emergency operations; it cannot power the entire facility and risks becoming inoperable if the gas supply is shut down during emergencies.
Project History and Status
Construction contract awarded January 28, 2025 (Resolution No. 2025-016) Contractor: James Day Construction, Inc., dba Coastal Mountain Electric Construction began April 27, 2026
Completion is expected by the end of June 2026
Project Budget
Project Cost: $651,000
$279,000 FEMA’s HMGP (Fund 410)
$186,000 Capital Facilities Improvement DIF Fund (Fund 411) $186,000 General Fund (Fund 110) via transfer from General Liability SelfInsurance Fund (Fund 614) The original Five-Year Capital Improvement Plan includes funding in the amount of $372,000 from the Capital Facilities Improvement DIF Fund (Fund 411), but since there is only sufficient balance to fund half that amount, staff recommends funding the remaining $186,000 using funds in the General Fund (Fund 110).
Library Roof Modernization (City Project No. 26-21)
On April 12, 2022, the City Council adopted Resolution No. 5922-22, authorizing the use of budget surplus funds for emergency repairs to the Union City Library. These repairs addressed water damage to the roof and interior but were explicitly understood to be temporary, extending the roof’s life for only a few more serviceable years. More than three years later, the roof has reached the end of its useful life. The Library Roof Modernization, City Project No. 26-21 (not previously listed in the Five-Year CIP), is deemed necessary to complete before the rainy season.
Project Budget
Project Cost: $250,000
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$125,000 Capital Facilities Improvement DIF Fund (Fund 411) $125,000 General Fund (Fund 110) via transfer from General Liability SelfInsurance Fund (Fund 614) As with the HMGP Ruggieri Senior Center Generator, there is only sufficient budget in the Capital Facilities Improvement DIF Fund (Fund 411) to cover half of the project cost, and staff recommends funding the remaining $125,000 from the General Fund (Fund 110).
Budget Transfer from General Liability Self-Insurance Fund (Fund 614) to General Fund (Fund 110)
Staff recommends that $311,000 be transferred from the General Liability Self-Insurance Fund to the General Fund and be reallocated for appropriation to the following accounts:
$186,000 towards HMGP Ruggieri Senior Center Generator (Account Number 110-91817-57125)
$125,000 towards Library Roof Modernization (Account Number 110-92621- 57125)
In September 2025, City staff asked the Bay Cities Joint Power Insurance Agency (BCJPIA) to return $650,000 in dividends that were held in BCJPIA’s Union City Contingency Account. Staff determined that the City did not need such a large amount in our Contingency Account at BCJPIA and that the City would be better off using the funds.
On January 13, 2026, the City Council authorized the transfer and appropriation of $50,000 for the City Hall Mobile Generator Tap Box Project (Resolution No. 2026-004).
Staff requests similar transfers, reallocations, and appropriations for these capital projects.
FISCAL IMPACT
With the shortfall in anticipated development impact fees, staff recommends using $311,000 from an alternative funding source to complete two priority capital projects. Staff recommends using available General Liability Self-Insurance (Fund 614) funds to transfer the $311,000 to the General Fund (Fund 110) and reallocate the appropriation of these funds to the two capital projects in need of budget for their completion.
RECOMMENDATION
Staff recommends that the City Council adopt a resolution:
1. Approving a budget transfer, in the amount of $311,000, from the General Liability Self-Insurance Fund (Fund 614) to the General Fund (Fund 110), and
2. Authorizing a reallocation of appropriation from the General Fund, in the amount of $186,000, to the HMGP Ruggieri Senior Center Generator, City Project No. 18- 17 (Account Number 110-91817-57125), and
3. Authorizing a reallocation of appropriation in the General Fund, in the amount of $125,000, to the Library Roof Modernization, City Project No. 26-21 (Account Number 110-92621-57125); and
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4. Amending the Five-Year Capital Improvement Plan for Fiscal Years 2025-2026 to 2029-2030, by rebalancing the General Fund to reflect the budget transfer Prepared by: Jose Gutierrez, Supervising Construction Inspector Submitted by: Marilou Ayupan, Public Works Director
Attachments
1. Draft Resolution
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RESOLUTION NO. 2026-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY
AMENDING THE FIVE-YEAR CAPITAL IMPROVEMENT PLAN,
APPROVING A BUDGET TRANSFER, IN THE AMOUNT OF $311,000,
FROM THE GENERAL LIABILITY SELF-INSURANCE FUND TO THE
GENERAL FUND AND REALLOCATING TWO APPROPRIATIONS
FROM THE GENERAL FUND: 1) IN THE AMOUNT OF $186,000, TO
THE HMGP RUGGIERI SENIOR CENTER GENERATOR, CITY
PROJECT NO. 18-17; AND, 2) IN THE AMOUNT OF $125,000, TO THE LIBRARY ROOF MODERNIZATION, CITY PROJECT NO. 26-21
WHEREAS, on June 24, 2025, the Five-Year Capital Improvement Plan for Fiscal Years 2025-2026 to 2029-2030 was approved with the adoption of Resolution No. 2025-086, forecasting certain amounts of impact fee revenues that were based on available data of upcoming development within the City; and WHEREAS, the plan relied on projected development impact fee revenues based on anticipated construction activity; however, the construction activities have been delayed due to unforeseen adverse economic disruptions and uncertainties, therefore adversely impacting the associated development impact fees, creating a funding gap in the Capital Facilities Improvement Development Impact Fee Fund (Fund 411), which supports several projects scheduled for FY 2026-27; and WHEREAS, one priority City project that has been affected by the budget shortfall is the Hazard Mitigation Grant Program (HMGP) Ruggieri Senior Center Generator, City Project No. 18-17; and
WHEREAS, the Union City/Newark Multi-Jurisdiction Hazard Mitigation Plan identifies the Ruggieri Senior Center as a critical facility, and the City’s Emergency Operations Center (EOC); however, its existing gas-powered generator is insufficient for emergency operations, unable to power the entire facility and at risk of becoming inoperable if the gas supply is shut down during emergencies; and WHEREAS, the total cost of this project is $651,000, budgeted with $279,000 of Federal Emergency Management Agency (FEMA) HMGP monies in the Capital Projects Fund (Fund 410), $186,000 in Capital Facilities Improvement DIF Fund (Fund 411), and the balance of $186,000 to be funded with Capital Facilities Improvements Fund monies via transfer from the General Liability Self-Insurance Fund (Fund 614); and WHEREAS, another priority project affected by the budget shortfall is the Library Roof Modernization, City Project No. 26-21; and
WHEREAS, the library roof has reached the end of its useful life and full replacement is now required at a cost of $250,000, budgeted with $125,000 in Capital Facilities Improvement DIF Fund (Fund 411) monies and $125,000 of General Fund (Fund 110) monies via transfer from General Liability Self-Insurance Fund (Fund 614); and
WHEREAS, a budget transfer, in the amount of $311,000, from the General Liability Self-Insurance Fund (Fund 614) to the General Fund (Fund 110) and a 152 of 331
Resolution No. 2026-XXX
Amend the FY25-26 to 29-30 CIP and Approve Budget Transfer
reallocation of appropriation of the General Fund (Fund 110) is necessary to fund these two projects essential to ensuring Union City residents have access to essential community services and critical safety infrastructure.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby approves a budget transfer, in the amount of $311,000, from the General Liability Self-Insurance Fund (Fund 614) to the General Fund (Fund 110); and BE IT FURTHER RESOLVED that the City Council of the City of Union City hereby authorizes a reallocation of appropriation, in the amount of $186,000, in the General Fund (Fund 110) to the HMGP Ruggieri Senior Center Generator, City Project No. 18-17 (Account Number 110-91817-57125); and
BE IT FURTHER RESOLVED that the City Council of the City of Union City hereby authorizes a reallocation of appropriation, in the amount of $125,000, in the General Fund (Fund 110) to the Library Roof Modernization, City Project No. 26-21 (Account Number 110-92621-57125); and
BE IT FURTHER RESOLVED that the City Council of the City of Union City hereby amends the Five-Year Capital Improvement Plan for Fiscal Years 2025-2026 to 2029-2030, by rebalancing the General Fund.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on June 9, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:
THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
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Staff Report
Agenda Item No. 4.7
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Ratifying Prior Services Rendered, in the Amount of $36,000, Voiding a Consulting Services Agreement with Ruggeri-Jensen-Azar (C6089), in the amount of $26,000, and Approving the Second Amendment to the Consulting Services Agreement with Ruggeri-Jensen-Azar (C5782), in the Amount of $62,000, for a Total Not-to-Exceed Contract Amount of $126,000, for Mapping and Plan Review Services for the Station East Phase 1 Development
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a resolution ratifying prior services rendered, in the amount of $36,000, voiding a Consulting Services Agreement with Ruggeri-Jensen-Azar (RJA) (C6089), in the amount of $26,000, and approving the Second Amendment to the Consulting Services Agreement with Ruggeri-Jensen-Azar (C5782), in the amount of $62,000, for a total contract amount of $126,000, for mapping and plan review for the Station East Phase 1 Development.
STRATEGIC PLAN ALIGNMENT
This agenda item is aligned with the following:
Goal C, Strategy 8: Prioritize and expedite major land use development applications.
BACKGROUND
On June 8, 2021, the City Council adopted Resolution No. 5777-21 approving Tentative Tract Map No. 8251 (TTM-20-001) for the Station East Residential Mixed-Use Project.
The project proposes the development of 974 residential dwelling units and approximately 30,800 square feet of retail space on 26.5 acres located between Decoto Road, 7th Street, Bradford Way, and the Union Pacific Railroad Niles Subdivision rail line.
Following approval of TTM-20-001, the developer submitted Final Tract Map No. 8251, grading plans, improvement plans, utility plans, and other technical reports associated with the Station East Phase 1 development. Review of these materials required extensive 154 of 331
Agenda Item No. 4.7
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technical analysis related to site remediation, public and private street design, utility infrastructure, stormwater treatment facilities, groundwater extraction system relocation, grading, and coordination with multiple public agencies and utility providers.
Due to the complexity and scale of the project, the City retained RJA to provide engineering plan review and mapping services to support City staff. RJA's services included reviewing final maps, grading and improvement plans, and technical engineering documents, and coordinating with the project team to ensure compliance with City standards, specifications, design criteria, and conditions of approval.
DISCUSSION
On August 13, 2021, the City executed a Consulting Services Agreement with RJA (C5782, hereafter referred to as the “Original Agreement”), in an amount not to exceed $59,500, for engineering plan review and mapping services associated with the Station East Phase 1 development. On March 8, 2024, the First Amendment to the Original Agreement was executed, increasing the contract amount by $4,500 for additional mapping services and extending the term of the agreement through December 31, 2026, for a revised not-to-exceed amount of $64,000.
As the review of the Station East Phase 1 development continued, additional consultant services were required to address ongoing plan revisions, technical review comments, and project coordination. To accommodate these additional services, a separate consulting services agreement was executed with RJA (C6089, hereafter referred to as the “Subsequent Agreement”) on April 8, 2024, in an amount not to exceed $26,000.
A recent review of the agreements determined that the services authorized under the Subsequent Agreement were substantially the same as those in the Original Agreement and should have been incorporated into the Original Agreement by amendment rather than in a separate contract. Accordingly, staff recommends that the Subsequent Agreement be voided and that all services performed by RJA for the Station East Phase 1 development be consolidated under the Original Agreement.
Project review activities have continued beyond the authorized contract amounts for both the Original Agreement and the Subsequent Agreement. As a result, the City incurred costs for services rendered in excess of the authorized contract amounts, in the amount of $36,000.
To resolve the contract administration issues and accurately reflect the services performed, staff recommends that the City Council ratify the previously rendered services, void the Subsequent Agreement, and approve a Second Amendment to the Original Agreement, in the amount of $62,000. The amendment includes funding to cover the services previously rendered and to provide sufficient authorization and funding to complete the remaining engineering plan review and mapping services associated with the Station East Phase 1 development, for a total not-to-exceed amount of $126,000. 155 of 331
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FISCAL IMPACT
The proposed Second Amendment to Consulting Services Agreement to the Original Agreement will increase the total contract authorization from $64,000 to $126,000, an increase of $62,000. The amendment includes funding to ratify previously rendered services and authorization to complete the engineering plan review and mapping services associated with the Station East Phase 1 development.
Pursuant to the Reimbursement Agreement between the City and the project developer, Lennar, the developer is responsible for reimbursing the City for consultant costs incurred in connection with the review and processing of the Station East development project.
Accordingly, all costs associated with the RJA consulting services, including the ratified services and the additional services under the proposed contract amendment, are fully recoverable from the developer and will not result in a fiscal impact to the City's General Fund.
The developer has deposited sufficient funds (or will be replenished in accordance with the terms of a separate Reimbursement Agreement) to cover the consultant costs associated with this action.
RECOMMENDATION
Staff recommends that the City Council adopt a resolution:
1. Ratifying prior services rendered by RJA, in the amount of $36,000, for engineering plan review and mapping services in support of the Station East Phase 1 development project; and
2. Voiding the Consulting Services Agreement between the City and RJA (C6089), as the services provided under that agreement are within the scope of services authorized under the original Consulting Services Agreement between the City and RJA (C5782);
3. Approving the Second Amendment to Consulting Services Agreement between the City and RJA (C5782), in the amount of $62,000, for a total not-to-exceed contract amount of $126,000; and
4. Authorizing the City Manager to execute the Second Amendment to the Consulting Services Agreement between the City and RJA (C5782) and any associated documents, in a form approved by the City Attorney.
Prepared by: Diana Cangco, City Engineer
Submitted by: Marilou Ayupan, Public Works Director
Attachments
1. Attachment 1 – Second Amendment
2. Draft Resolution
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RESOLUTION NO. 2026-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY
RATIFYING PRIOR SERVICES RENDERED, IN THE AMOUNT OF
$36,000, VOIDING A CONSULTING SERVICES AGREEMENT WITH
RUGGERI-JENSEN-AZAR (C6089), IN THE AMOUNT OF $26,000, AND
APPROVING THE SECOND AMENDMENT TO THE CONSULTING
SERVICES AGREEMENT WITH RUGGERI-JENSEN-AZAR (C5782), IN THE AMOUNT OF $62,000, FOR A TOTAL NOT-TO-EXCEED
CONTRACT AMOUNT OF $126,000, FOR MAPPING AND PLAN
REVIEW SERVICES FOR THE STATION EAST PHASE 1
DEVELOPMENT
WHEREAS, on June 8, 2021, the City Council adopted Resolution No. 5777-21 approving Tentative Tract Map No. 8251 (TTM-20-001) for the Station East Residential Mixed-Use Project; and
WHEREAS, following approval of TTM-20-001, the developer submitted Final Tract Map No. 8251, grading plans, improvement plans, utility plans, and other technical documents associated with the Station East Phase 1 development for City review; and WHEREAS, due to the complexity and scale of the project, the City retained RJA to provide engineering plan review and mapping services to support City staff; and WHEREAS, on August 13, 2021, the City entered into a Consulting Services Agreement with RJA (C5782, hereafter referred to as the “Original Agreement”), in an amount not-to-exceed $59,500; and
WHEREAS, on March 8, 2024, the First Amendment to the Original Agreement was executed, increasing the contract amount by $4,500, for a total not-to-exceed amount of $64,000, and extending the term through December 31, 2026; and WHEREAS, on April 8, 2024, the City entered into a Consulting Services Agreement with RJA (C6089, hereafter referred to as the “Subsequent Agreement”), in an amount not-to-exceed $26,000, to provide additional engineering plan review and mapping services associated with the Station East Phase 1 development; and WHEREAS, project review activities have continued beyond the originally authorized contract amounts, resulting in RJA providing services in excess of the authorized contract amounts; and
WHEREAS, the City has received the benefit of such services and finds that ratification of payment for services previously rendered is in the best interest of the City; and
WHEREAS, staff recommends voiding the Subsequent Agreement, consolidating all services under the Original Agreement, and approving a Second Amendment to the Original Agreement, in the amount of $62,000, for a total not-to-exceed contract amount of $126,000; and
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Resolution No. 2026-XXXX
Ratify Services Rendered and Approve Second Amendment with Ruggeri-Jensen-Azar
WHEREAS, pursuant to a Reimbursement Agreement between the City and the project developer, Lennar, all costs associated with the consultant services are reimbursable by the developer and will not result in a fiscal impact to the City’s General Fund.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City does hereby ratify payment for engineering plan review and mapping services previously rendered by RJA in support of the Station East Phase 1 development project.
BE IT FURTHER RESOLVED that the City Council hereby voids the Consulting Services Agreement between the City and RJA (C6089) and directs that services performed under that agreement be consolidated under the Consulting Services Agreement between the City and RJA (C5782).
BE IT FURTHER RESOLVED that the City Council hereby approves the Second Amendment to the Consulting Services Agreement between the City and RJA (C5782), in the amount of $62,000, for a total not-to-exceed contract amount of $126,000.
BE IT FURTHER RESOLVED that the City Council hereby authorizes the City Manager to execute the Second Amendment to the Consulting Services Agreement between the City and RJA (C5782) and any related documents, in a form approved by the City Attorney.
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Resolution No. 2026-XXXX
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Resolution No. 2026-XXXX
Ratify Services Rendered and Approve Second Amendment with Ruggeri-Jensen-Azar
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on June 9, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:
THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
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SECOND AMEMDMENT
TO THE CONSULTING SERVICES AGREEMENT (C5782)
THIS SECOND AMENDMENT (the “Second Amendment”) is effective as of this 9th day of June 2026 by and between THE CITY OF UNION CITY, a municipal corporation, (“City”) and RUGGERI-JENSEN-AZAR ("Consultant"), collectively referred to as the "Parties".
W I T N E S S E T H:
WHEREAS, on August 13, 2021, the Parties entered into a Consulting Services Agreement (C5782) (the “Agreement”), for the Consultant to provide the City with consulting services related to mapping and plan review, in the amount of $59,500; and WHEREAS, on March 8, 2024, the Parties entered into a First Amendment to the Consulting Services Agreement (C5782) (“First Amendment”) for the Consultant to provide the City with consulting services related to mapping review, in the amount of $4,500; and
WHEREAS, the Parties desire to amend the Agreement to increase the compensation; and
WHEREAS, the City and Consultant desires to enter into this Second Amendment.
NOW, THEREFORE, the Parties hereto do mutually agree as follows:
1. The “Scope of Services”, as set forth in Exhibit A of the Agreement, is hereby amended to include the services contained in Exhibit A of this Second Amendment, attached hereto and incorporated herein by reference.
2. The first sentence of Section 2 "COMPENSATION" of the Agreement is hereby amended to reflect payment based upon a sum increase of Sixty-four Thousand Dollars ($64,000). The total compensation under the Agreement, including this Amendment, shall not exceed a total amount of One Hundred Twenty-Six Thousand Dollars ($126,000). The first sentence of Section 2 is hereby amended to read as follows:
City hereby agrees to pay Consultant a sum not to exceed One Hundred Twenty-Six Thousand Dollars ($126,000), notwithstanding any contrary indications that may be contained in Consultant's proposal, for services to be performed and reimbursable costs incurred under this Agreement.
4. All other provisions of the Agreement remain in full force and effect, except as modified by this Second Amendment.
IN WITNESS WHEREOF, the City and the Consultant have executed this Amendment effective as of the date hereinabove written.
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Second Amendment to the Consulting Services Agreement
Ruggeri-Jensen-Azar
THE CITY OF UNION CITY RUGGERI-JENSEN-AZAR
By By
Joan Malloy David Terhune, P.E.
City Manager Principal
Attest:
___________________________
Thai Nam N. Pham
City Clerk
Approved as to Form:
____________________________
Kristopher J. Kokotaylo
City Attorney
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Second Amendment to the Consulting Services Agreement
Ruggeri-Jensen-Azar
EXHIBIT A
SCOPE OF SERVICES
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Second Amendment to the Consulting Services Agreement
Ruggeri-Jensen-Azar
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Second Amendment to the Consulting Services Agreement
Ruggeri-Jensen-Azar
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Ruggeri-Jensen-Azar
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The fact that the costs are reimbursable by the developer does not eliminate the underlying governance concern. Public contracting procedures exist to ensure transparency, authorization, accountability, and proper oversight regardless of the ultimate funding source.
The Council is effectively being asked to retroactively approve work that exceeded previously authorized limits because the City received the benefit of those services. While that may ultimately be a reasonable outcome under the circumstances, it should not occur without a clear explanation of what failed procedurally and what corrective measures have been implemented.
Ratification may resolve the accounting issue, but It does not, by itself, resolve the underlying process issue and the general sloppiness and execution of these agreements.
I respectfully request that staff provide additional clarification regarding the internal control deficiencies that led to this situation and the steps being taken to ensure it does not recur, or tolerated as an ongoing, permissive approach amongst rank-and-file City staff.
Thank you for your consideration.
Sincerely,
Henry Soong
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Staff Report
Agenda Item No. 4.8
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Approving a Consulting Services Agreement with R3 Consulting Group, Inc., in a Not-To-Exceed Amount of $156,000, Through June 30, 2027, for Consulting Services, and Authorizing the City Manager to Execute the Agreement in a Form Approved by the City Attorney
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt the attached resolution (Attachment 1) approving a Consulting Services Agreement with R3 Consulting Group, Inc. for Fiscal Year (FY) 2026-2027 solid waste, recycling, regulatory compliance, franchise administration, billing audit, and program support services in an amount not to exceed $156,000 and authorizing the City Manager to execute the agreement.
STRATEGIC PLAN ALIGNMENT
This report is in alignment with the following City Council priorities:
Goal D: Environmental Sustainability and Infrastructure Strategy 12: Coordinate with City departments, commercial and residential customers to implement the requirements of state organics and food recovery legislation.
Strategy 13: Continue monitoring the Collection Services Franchise Agreement Contractors' assistance with organics regulations and waste diversion compliance.
BACKGROUND
The City of Union City continues to manage increasingly complex solid waste, recycling, sustainability, and regulatory compliance responsibilities associated with State mandates, franchise agreement administration, rate review, financial oversight, and program implementation. These responsibilities include administration and oversight of agreements and programs associated with Republic Services, Tri-CED Community Recycling, BLT Enterprises, CalRecycle regulations, SB 1383 compliance, Construction 169 of 331
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and Demolition (“C&D”) debris management, StopWaste requirements, and related solid waste initiatives – all of which require specialized technical and financial expertise.
R3 Consulting Group, Inc. provided consulting and staff augmentation services during periods when the Recycling and Solid Waste Division had one or two vacancies over the past fiscal year. R3 Consulting Group assisted the City with franchise agreement oversight, financial reconciliation, billing audit activities, annual rate reviews, regulatory compliance support, public outreach coordination, and program implementation support.
The proposed FY 2026-2027 Master Services Agreement continues these services and provides ongoing support to the City’s Solid Waste and Recycling Division. The proposed agreement includes oversight and compliance monitoring of franchise agreements, annual rate review and compensation analysis, continuation of the Republic Services billing audit, SB 1383 and CalRecycle regulatory compliance support, C&D debris recycling program support, updating the City’s foodware ordinance, and other ongoing solid waste program support.
The proposed agreement establishes a total not-to-exceed compensation amount of $156,000 for FY 2026-2027.
DISCUSSION
Under the proposed agreement, R3 Consulting Group, Inc. will provide technical consulting and operational support services to assist the City in administration and oversight of its solid waste and recycling programs. The agreement is intended to provide a comprehensive support framework for regulatory compliance, operational oversight, financial monitoring, and program implementation.
The proposed agreement includes five primary service categories, including Franchise Agreement Oversight, Annual Rate Review and Compensation Analysis, Continuation of Republic Billing Audit, Regulatory Compliance Support, and Solid Waste Program Support. R3 Consulting Group, Inc. will continue to provide support to City staff, including the functions of the Sustainability Analyst role, until the position is filled. Additional planned work, at the direction of City staff, will include:
• Assistance with administration and oversight of franchise agreements associated with Republic Services, Tri-CED, and BLT Enterprises.
• Providing annual rate review and compensation analysis support associated with Republic Services, Tri-CED, and BLT compensation applications. • Continuation of the Republic Services billing audit initiated during FY 2025-2026.
Following the implementation of the Republic’s residential billing system, City staff and R3 Consulting Group, Inc. identified inconsistencies and billing concerns that require additional reconciliation and review. The analysis helps ensure accurate billing practices and the appropriate collection and remittance of franchise fees. • Assistance with maintaining compliance with State solid waste and recycling regulations, namely SB 1383 and SB 54, including maintenance of the City’s implementation record and support during compliance reviews. • Providing, as requested, operational support services associated with the City’s solid waste and recycling programs, including C&D debris program administration, 170 of 331
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Green Halo review and verification, permit and diversion review support; Public outreach material review; Foodware ordinance support; Coordination with franchised haulers and City staff.
FISCAL IMPACT
Sufficient funds are available within the FY 2026-2027 Adopted Budget in the Solid Waste Assessment Fund under Professional/Consulting, Account No. 203-12301-54110, to support the proposed agreement.
RECOMMENDATION
Staff recommends that the City Council adopt the attached Resolution approving a Consulting Services Agreement with R3 Consulting Group, Inc., in a not-to-exceed amount of $156,000, through June 30, 2026, for Consulting Services, and authorizing the City Manager to execute the Agreement in a form approved by the City Attorney.
Prepared by: Todd Storti, Recycling and Solid Waste Program Manager Submitted by: Jennifer Phan, Deputy City Manager
Attachments
1. Draft Resolution
2. Exhibit A – R3 Consulting Group, Inc. FY 2026-2027 Master Services Agreement Proposal
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RESOLUTION NO. 2026-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY APPROVING A CONSULTING SERVICES AGREEMENT WITH R3
CONSULTING GROUP, INC. FOR FISCAL YEAR 2026-2027
CONSULTING SERVICES IN A NOT-TO-EXCEED AMOUNT OF
$156,000, AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE
AGREEMENT IN A FORM APPROVED BY THE CITY ATTORNEY
WHEREAS, the City of Union City maintains franchise agreements and related operational agreements associated with solid waste, recycling, organics, construction and demolition debris management, and disposal services within the City; and WHEREAS, the City currently administers and oversees franchise and operational agreements associated with Republic Services, Tri-CED Community Recycling, and BLT Enterprises; and
WHEREAS, the City is required to maintain compliance with various State of California solid waste and recycling laws and regulations including, but not limited to, AB 939, AB 341, AB 1826, SB 1383, SB 54, CalRecycle reporting requirements, StopWaste program requirements, and related regulatory mandates; and WHEREAS, the City requires ongoing technical, operational, financial, and regulatory consulting support services related to franchise agreement administration, rate review, billing audit activities, compliance monitoring, reporting obligations, and solid waste program implementation; and
WHEREAS, R3 Consulting Group, Inc. (“R3”) has previously provided consulting and staff augmentation services to the City supporting solid waste, recycling, sustainability, regulatory compliance, and operational program management activities in FY 2025-2026; and
WHEREAS, R3 has assisted the City with franchise agreement oversight, billing and revenue reconciliation, annual rate review analysis, regulatory compliance support, Construction and Demolition (“C&D”) debris management program support, Green Halo compliance tracking, SB 1383 implementation activities, and public education and outreach coordination; and
WHEREAS, the proposed Fiscal Year 2026-2027 Consulting Services Agreement provides continued consulting, financial oversight, regulatory compliance, and program support services intended to assist the City in managing its solid waste and recycling programs and franchise agreements; and
WHEREAS, the proposed Consulting Services Agreement establishes a total notto-exceed compensation amount of $156,000 for Fiscal Year 2026-2027, including contingency support services as needed by the City; and WHEREAS, the City Council finds that approval of the Consulting Services Agreement with R3 Consulting Group, Inc. is in the best interest of the City and necessary to support effective administration, regulatory compliance, financial oversight, and operational management of the City’s solid waste and recycling programs; and 172 of 331
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R3 Consulting Group, Inc. Master Services Agreement
WHEREAS, sufficient funds are included within the FY 2026-2027 Adopted Budget in the Solid Waste Assessment Fund under Professional/Consulting, Account No. 203- 12301-54110, for these consulting and support services.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Union City hereby approves the Consulting Services Agreement with R3 Consulting Group, Inc. for Fiscal Year 2026-2027 solid waste, recycling, regulatory compliance, franchise administration, billing audit, and program support services in a total amount not to exceed $156,000; and
BE IT FURTHER RESOLVED that the City Council hereby authorizes the City Manager to execute the Consulting Services Agreement, in a form approved by the City Attorney, and approve revisions consistent with the intent of this Resolution, in a form approved by the City Attorney.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on April 9, 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:
THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
ATTACHMENTS:
1. Exhibit A – R3 Consulting Group, Inc. Fiscal Year 2026-2027 Master Services Agreement Proposal
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1504 Eureka Road, Suite 220, Roseville, CA 95661 | p 916.782.7821 | f 916.782.7824 | www.r3cgi.com May 11, 2026
Mr. Todd Storti
Recycling and Solid Waste Program Manager
City of Union City
34009 Alvarado‑Niles Rd, Union City, CA, 94587
submitted via email: [email protected]
SUBJECT: Master Services Agreement for Fiscal Year (FY) 2026-27 – R3 Proposal Dear Mr. Storti,
R3 Consulting Group, Inc. (R3) is pleased to submit the attached proposal to the City of Union City (City) for Master Services Agreement for various consulting services for FY 2026-27.
Over the past year, R3 has worked with the City to provide staff augmentation in the Solid Waste and Recycling Manager and Sustainability Analyst roles. We have worked cross-departments to better understand programs, document processes where possible, and feel confident in our ability to support the City and Solid Waste Division in FY 2026-27. This engagement primarily provides consulting, financial oversight, and regulatory support services to assist the City in managing its solid waste franchise agreements with Republic Services, Tri-CED, and BLT. The work is intended to ensure that all franchise agreements are properly administered, that franchised haulers meet their contractual obligations, and that all revenues owed to the City are accurate and fully received. Our team will also support the City in maintaining compliance with State of California requirements, including CalRecycle, SB 1383, AB 939, and StopWaste programs. In addition, the R3 will provide guidance to improve processes, identify risks, and strengthen overall program performance.
Project Team
Claire Wilson, Sr. Managing Consultant, will serve as Project Lead and primary point of contact for this engagement. Claire will be supported by Scott Hanin, Principal, who will provide strategic direction and assistance as needed. Sarah Koplowicz, Managing Consultant, and Gauvri Nathwani, Consultant, will also provide direct support throughout this engagement. * * * * *
Thank you for your continued partnership and the opportunity to be of service in your community. If you have any questions or need additional information, please contact us.
Sincerely,
Claire Wilson | Sr. Managing Consultant Scott Hanin | Principal R3 Consulting Group, Inc. R3 Consulting Group, Inc.
707.480.0753 | [email protected] 510.812.7144 | [email protected] 174 of 331
1. SCOPE OF WORK
City of Union City | Master Services Agreement, FY 26-27 1 Project Understanding
The City’s solid waste staffing needs cover a range of tasks that support contract administration and compliance for two franchise agreements and a disposal agreement. As such, R3 will provide expert knowledge and technical assistance to aid in program development and success in all areas of the City’s solid waste management program.
R3’s ultimate goal for this engagement is to provide a turn-key solution to the City’s solid waste management program, in collaboration with City staff. We will verify that the City’s franchised haulers operate safely and effectively, that they comply with their contractual obligations, and that the City complies with all relevant laws and regulations. As the City’s consultant, R3 will assist in maintaining the City’s compliance with the state by preparing required reports, communicating with CalRecycle, training City staff on processes and procedures, and performing all obligations as set by the governing entities.
R3 will also support the City in developing and implementation changes to programs, including its Construction and Demolition (C&D) ordinance and program as well as its Foodware Ordinance.
Scope of Work
R3 will provide ongoing support in contract administration, financial monitoring, revenue collection, billing issues, regulatory compliance, and program oversight. We will work closely with City staff, the City’s franchise haulers, and regulatory agencies to help ensure the City’s solid waste system operates effectively, transparently, and in full compliance with all applicable requirements. All tasks will be conducted as requested by the City. Any deliverables will be agreed to by R3 and the City.
Task 1 Franchise Agreement Oversight
As part of this task, R3 will evaluate and monitor compliance with franchise agreements for Republic Services, Tri-CED, and BLT. This includes developing and maintaining a structured compliance tracking system, reviewing operational performance metrics, and identifying any deficiencies, risks, or areas of non-compliance. R3 will provide written findings upon request and support the City in implementing corrective actions, including follow-up monitoring to ensure resolution. R3 will schedule monthly meetings with Republic and Tri-CED and prepare agenda items to review contract compliance components, tonnage and diversion reports, and any current and upcoming solid waste activities.
These activities include but are not limited to:
》 Reviewing monthly franchise fee payments and all associated financial reports submitted by the haulers to verify accuracy, completeness, and proper calculation of revenues owed to the City. 》 Review monthly and quarterly reporting submitted by Republic, Tri-CED, and BLT for anomalies, noncompliance with the Franchise Agreements, and other performance metrics. 》 Financial performance tracking and identification of inconsistencies in revenues and expenses related to solid waste.
》 Preparing agendas for monthly meetings with Republic and Tri-CED and following up with action items after meetings.
》 Provide periodic summaries and recommendations to support informed decision-making.
Task 2 Annual Rate Review and Compensation Analysis
R3 will review and analyze annual rate and compensation applications submitted by Republic Services, Tri-CED, and BLT to ensure completeness, accuracy, and compliance with franchise agreement methodologies. R3 will build off the work and workbooks developed from review of Republic Services, TriCED, and BLT’s submissions for rates effective July 1, 2026. 175 of 331
City of Union City | Master Services Agreement, FY 26-27 2 These activities include but are not limited to:
》 Meet with hauler representatives to review submitted data, assumptions, and supporting documentation.
》 Prepare detailed reports of findings for each application, including:
》 Determination of actual cost of operations
》 Calculation of adjusted and allowable costs
》 Analysis of historical and projected revenues and expenses 》 Provide clear recommendations to City leadership regarding appropriate rate adjustments. 》 Support with City Council meeting adoption (as needed).
Task 3 Continuation of Republic Billing Audit
R3 will continue supporting the City with completing the remainder of the Billing Audit. In FY 2025-26, Republic Services began billing most of the Union City residential customers for the first time. After supporting the City through the implementation of this new billing system, errors were identified by R3 and City staff. R3 received direction to pause the billing audit due to Republic Services staff transitions and the unanticipated need to provide staff augmentation services for two positions for three months. As such, R3 will complete any remaining tasks of the Billing Audit in FY 2026-27.
To ensure accurate account collections and payments of fees to the City R3 will perform the following tasks for this fiscal year:
》 Meet with Republic & Tri-CED (as necessary) Financial Staff to review approaches and request billing information.
》 Determine if current rates have been properly and accurately posted to the appropriate service code in those billing/customer service systems and charged appropriately. Perform periodic revenue reconciliation based on billing frequency.
》 Review the detailed customer service census data in the billing/customer service systems maintained by the franchisees for the first three quarters of the fiscal year. 》 Review billing schedules in relation to cash collections and delinquent payments to ensure proper cash management.
》 Perform an independent calculation of fees owed and compare fees remitted by Republic Services to supporting documentation including Tri-Ced revenues and payments due are accurate. 》 Review the invoices to the City and determine that the collection of franchise and other fees are done accurately and remitted to the City in a timely manner. 》 Work with Finance in real time to make changes as soon as they are discovered. Provide regular reports outlining our findings and recommendations for any improvements to the billing process.
Task 4 Regulatory Compliance
R3 has assisted many jurisdictions in monitoring and planning for changes in solid waste programs that are needed under the SB 1383 regulations and other solid waste legislation. R3 will support the City in meeting compliance with State Laws AB 939, AB 341, AB 1826, SB 1383, and SB 54. On-going support for the following activities will help to ensure compliance with solid waste legislation and reporting including the City’s impending Jurisdiction and Agency Compliance and Enforcement (JACE) review in 2026.
These activities include but are not limited to:
》 Support staff in management of grant-funded programs including submitting required documentation and tracking grant expenditure for reimbursement through CalRecycle OWR4 grant monies. 》 Support staff in maintaining the City’s Implementation Record for SB 1383 including coordination with various City Departments.
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City of Union City | Master Services Agreement, FY 26-27 3 》 Support the City in its goal to achieve 100% compliance of its Recovered Organic Waste Product (ROWP) target through monitoring purchases of compost and mulch and through its franchise agreement with Republic, including verification that purchases meets SB 1383 standards. 》 Support preparation of all required State reporting, including the Electronic Annual Report (EAR) and any additional reporting required by CalRecycle or StopWaste (e.g., Measure D funding). 》 Coordinate and communicate with the City’s local assistance and market development (LAMD) CalRecycle representatives, StopWaste, and City staff, including participation in meetings, site visits, and compliance reviews as requested by staff.
》 Provide regulatory compliance support related to SB 54, including evaluating acceptable materials, identifying impacts to the City’s collection and processing systems, and recommending updates to franchise agreements and programs to align with producer responsibility requirements. 》 Assist the City in responding to regulatory inquiries including a JACE review or other enforcement actions.
Task 5 Solid Waste Program Support
R3 has assisted the City in the many facets of its solid waste program. The proposed activities include maintenance of current activities including public education and outreach from the franchised haulers, management of the City’s C&D program through Green Halo support, building permit reviews, StopWaste’s Measure D audit, and quarterly Recyclist uploads. R3 will also support the City in new activities for FY 2026-27 including evaluation and updating the City’s C&D ordinance and program, foodware ordinance, and revamp of the City’s website. To ensure consistency and effective communication, R3 will meet with the City at least once per week to coordinate weekly activities and track agenda items and notes in a shared document.
These activities include but are not limited to:
》 Support the City’s C&D debris program by reviewing project applications, waste management plans, and compliance with the City’s ordinance and CALGreen requirements. These activities may include:
》 Review and verify project data within Green Halo Systems for project plans and reports including materials, facilities, weight tickets, and diversion calculations. 》 Communicate directly with applicants to resolve discrepancies, request corrections, and ensure compliance.
》 Track projects in the City’s C&D Waste Management Log and coordinate with Building staff as needed.
》 Identify non-compliance and recommend enforcement actions consistent with City policy. 》 Assist the City in revising, and updating the C&D Ordinance to reflect current regulations, including evaluating the transition from a deposit-based system to a final fee or performance-based compliance structure.
》 Support the City in review of upcoming projects and building permits for solid waste enclosures, planned service levels, use of compactors, and attendance at DRC meetings if requested. 》 Review public education and outreach materials prepared by Republic and Tri-CED prior to distribution, as requested by the City. Ensure materials are accurate, consistent with City standards, and aligned with franchise agreement requirements, with emphasis on contamination reduction, service clarity, and regulatory compliance.
》 Provide ongoing coordination, technical support, and training as requested to City staff, including the Sustainability Analyst, to ensure alignment with program goals, regulatory requirements, and implementation schedules. R3 will participate in weekly meetings with staff and provide timely responses to staff requests.
》 Assist with audit-related activities, including Measure D audits and other financial or programmatic audits. Prepare and organize supporting documentation, respond to auditor requests, and help ensure successful audit outcomes.
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City of Union City | Master Services Agreement, FY 26-27 4 》 Support the City in quarterly updates to Recyclist including requesting subscription information from Republic and Tri-CED, reviewing data, submitting final data to Recyclist, and coordination with Recyclist staff for successful updates.
》 Provide strategic guidance and technical support for the comprehensive redesign of the City’s Solid Waste and Recycling website. This includes development of content structure, improved user experience, and integration of performance dashboards. These activities may include:
》 Coordination with franchised haulers to obtain and integrate data related to service levels, diversion performance, contamination rates, and participation metrics. 》 Supporting development of dashboard concepts, data flows, and reporting formats that improve transparency and public access to information.
》 Assist the City in reviewing, updating, and expanding its Foodware Ordinances to align with current and anticipated State regulations. This effort includes evaluating current pathways jurisdictions are employing to reduce single-use plastics, identifying opportunities to expand reusable and compostable requirements within the City of Union City, developing implementable policy recommendations, and drafting policy language. If adopted, R3 will support the City with implementation of its adopted program if passed in FY 2026-27, including development of outreach materials, implementations timelines, and other requested support.
Project Deliverable
R3 will provide regular written summaries and reports documenting compliance status, financial findings, and program performance. Cadence and subject matter will be agreed to by City staff and R3. Such deliverables will include periodic compliance updates, billing audit results, revenue reconciliation summaries, and an annual rate review report with recommendations. R3 will also provide supporting documentation for State reporting and maintain records necessary for audits and compliance reviews. 178 of 331
2. PROJECT BUDGET
City of Union City | Master Services Agreement, FY 26-27 5 R3 proposes completing the project for a total fee of $156,000. Table 1, below, shows the total cost breakdown by task. Additional consulting services beyond those proposed will be charged at the standard rates shown in Table 2, below. Fees for completed work will be billed monthly at the first of each month, for the preceding month, and are due within 30 days of the invoice date.
Table 1: Fee Breakdown
TASK HOURS FEE
1. Franchise Agreement Oversight 50 $ 15,000
2. Annual Rate Review and Compensation Analysis 30 $ 8,000
3. Billing Audit 100 $ 27,000
4. Regulatory Compliance 50 $ 12,000
5. Solid Waste Program Support 325 $ 75,000
Contingency for other, as-needed support 70 $ 19,000
TOTAL 625 $ 156,000
Table 2: Standard Rates FY 2026-27
CLASSIFICATION FY 26-27 RATES
Principal / Sr. Director $ 360 per hour
Director $ 320 per hour
Sr. Managing Consultant $ 280 per hour
Managing Consultant $ 255 per hour
Sr. Consultant $ 230 per hour
Consultant $ 210 per hour
Associate Consultant $ 195 per hour
Expert Witness 1.5x Rates Listed Above
REIMBURSABLE COSTS
Consultants/Subcontractors Cost plus 10%
Lodging and meals Direct cost
Travel - Private or company car At Current Federal Rate Travel - Other Direct cost
Delivery and other expenses Direct cost
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City Council Staff Report Page 1 of 5 June 9, 2026
Staff Report
Agenda Item No. 4.9
DATE: June 9, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Approving the Side Letter Between the City of Union City and Allied Waste Services of North America, LLC, Regarding the July 2025 Solid Waste Collection Service Disruptions, Authorizing Customer Service Credits and Reimbursement of City Costs
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt the attached resolution approving the Side Letter between the City of Union City and Allied Waste Services of North America, LLC (“Allied” dba “Republic Services”) regarding the July 2025 solid waste collection service disruptions, authorizing customer service credits and reimbursement of City costs, and authorizing the City Manager to execute the agreement.
In July 2025, labor-related disruptions from third-party employee picketing affected portions of Republic Services’ solid waste, recycling, and organics collection operations serving Union City residents and businesses. Collection delays occurred between July 8 and July 18, 2025, affecting single-family residential, multi-family, and commercial customers throughout portions of the City.
Following the service disruptions, City staff engaged in extensive discussions with Republic Services regarding customer impacts, operational response measures, and appropriate customer compensation. As a result of those negotiations, Republic Services and the City have developed the attached Side Letter establishing a negotiated settlement framework that includes customer service credits for impacted customers and reimbursement to the City for costs incurred in responding to the disruptions.
The proposed settlement includes:
• Automatic service credits for single-family residential customers based on two weeks of service, for a total of $110,815;
• Automatic service credits for eligible multi-family and commercial customers based on one week of service, for a total amount of $20,280 and $82,811, respectively; • Reimbursement to the City in the amount of $35,000 for City administrative, staff, 180 of 331
Agenda Item No. 4.9
City Council Staff Report Page 2 of 5 June 9, 2026
consulting, and legal costs associated with managing the service disruption response; and
• Defined implementation schedules and reporting obligations for Republic Services.
The proposed agreement represents a negotiated resolution intended to compensate affected customers, reimburse the City for response costs, and formally resolve matters related to the July 2025 service disruptions.
STRATEGIC PLAN ALIGNMENT
This report is in alignment with the following City Council priority:
Goal D: Environmental Sustainability and Infrastructure Strategy 13: Continue monitoring the Collection Services Franchise Agreement Contractors' assistance with organics regulations and waste diversion compliance.
BACKGROUND
Republic Services currently provides solid waste, recycling, and organics collection services within Union City pursuant to the Amended and Restated Franchise Agreement effective July 1, 2025. Under the Franchise Agreement, Republic Services is responsible for providing collection services to residential, commercial, and multi-family customers within the City.
Beginning on July 8, 2025, labor-related actions involving employees associated with another Republic Services subsidiary resulted in operational disruptions impacting collection operations throughout portions of Northern California, including Union City.
During the disruption period extending through July 18, 2025, portions of Republic Services’ workforce did not report to work and/or did not cross active picket lines, resulting in delayed collection services for portions of the City’s customers.
Although Republic Services continued to provide disposal and processing services throughout the disruption period, collection delays led to missed or delayed residential, commercial, and multi-family collections, resulting in significant customer complaints, operational challenges, and increased coordination efforts by City staff.
Throughout the disruption period, City staff worked closely with Republic Services management to:
Monitor collection recovery progress;
Coordinate customer communications;
Address priority service concerns;
Manage customer complaints;
Evaluate operational impacts;
Coordinate legal and contractual review; and
Develop an appropriate customer compensation framework.
Following several months of discussions and negotiations, the parties formally prepared the attached Side Letter to resolve issues arising from the July 2025 service disruptions. 181 of 331
Agenda Item No. 4.9
City Council Staff Report Page 3 of 5 June 9, 2026
DISCUSSION
Single-Family Residential Customer Credits
Under the proposed settlement agreement, Republic Services will provide single-family residential customers with a two-week service credit associated with the collection service component of residential service rates during the disruption period.
The proposed single-family residential customer credits are estimated at approximately $110,815 and are based on:
Cart size;
Service level;
Collection service component of the residential rate structure; Additional container services; and
Applicable senior and low-income discount programs.
The single-family residential two-week service credit is based upon cart size and customer rate classification. Customers receiving backyard service or additional container services will receive proportional adjustments consistent with the approved methodology.
Republic Services will begin processing residential customer credits beginning with the June 2026 billing cycle and complete all credits no later than August 31, 2026. Customers who previously deducted anticipated credits and incurred late fees will also receive reimbursement for those fees.
Multi-Family and Commercial Customer Credits
The proposed agreement also includes a one-week customer credit for eligible multifamily and commercial customers affected by the collection disruptions.
Multi-family and Commercial one-week customer service credits are based upon the collection service component of monthly service rates. The methodology recognizes that disposal and processing services continued during the disruption period while collection services were delayed.
The proposed multi-family and commercial customer credits are estimated at $20,280 and $82,811, respectively.
The agreement establishes a credit formula equal to approximately 13.5 percent of the affected customer’s monthly service bill, excluding disposal and processing fees. Roll-off customers billed on a per-haul basis are generally excluded from reimbursement where no charges were incurred for unperformed services.
Republic Services will complete the calculation and implementation of multi-family and commercial one-week customer service credits within 60 days following execution of the agreement.
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Agenda Item No. 4.9
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Reimbursement of City Costs
In addition to customer credits, Republic Services has agreed to reimburse the City for $35,000 in costs incurred in responding to the service disruptions. These costs include:
Staff time;
Administrative coordination;
Customer service response efforts;
Consulting support; and
Legal review and coordination activities.
The reimbursement will be processed through the monthly franchise reconciliation process following execution of the agreement.
Settlement and Release Provisions
The proposed Side Letter establishes a negotiated settlement and release framework resolving claims associated with the July 2025 service disruptions.
The agreement provides that the customer credits and reimbursement payments constitute a full and final resolution of matters arising from the collection disruptions between July 8 and July 18, 2025, including potential claims relating to service performance and related contractual issues.
City staff and the City Attorney’s Office believe the proposed settlement provides a reasonable and practical resolution that:
Provides direct customer compensation;
Reimburses City response costs;
Avoids extended disputes or litigation;
Establishes clear implementation timelines; and
Allows the City and Republic Services to continue focusing on ongoing service improvements and operational stability.
FISCAL IMPACT
The proposed agreement does not require an appropriation of additional City funds.
Republic Services will provide automatic and direct customer credits to affected customers and will reimburse the City in the amount of $35,000 for City-incurred response costs associated with the July 2025 service disruptions.
The reimbursement will offset City staff, consulting, administrative, and legal expenditures incurred in responding to the disruptions.
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Agenda Item No. 4.9
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RECOMMENDATION
Staff recommends that the City Council adopt the attached resolution approving the Side Letter between the City of Union City and Allied Waste Services of North America, LLC (“Allied” dba “Republic Services”) regarding the July 2025 solid waste collection service disruptions, authorizing customer service credits and reimbursement of City costs, and authorizing the City Manager to execute the agreement.
Prepared by: Todd Storti, Recycling and Solid Waste Program Manager Submitted by: Jennifer Phan, Deputy City Manager
Attachments
1. Draft Resolution
2. Exhibit 1 – Side Letter
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