2022-10-18 CC Agenda PacketAGENDA
EL SEGUNDO CITY COUNCIL
REGULAR MEETING
TUESDAY, OCTOBER 18, 2022
4:00 PM CLOSED SESSION
6:00 PM OPEN SESSION
CITY COUNCIL CHAMBER
350 MAIN STREET, EL SEGUNDO, CA 90245
Drew Boyles, Mayor
Chris Pimentel, Mayor Pro Tern
Carol Pirsztuk, Council Member
Scot Nicol, Council Member
Lance Giroux, Council Member
Tracy Weaver, City Clerk
Matthew Robinson, City Treasurer
Executive Team
Darrell George, City Manager
Barbara Voss, Deputy City Manager
Jaime Bermudez, Police Chief
Michael Allen, Community Development Dir.
Jose Calderon, IT Director
Aly Mancini, Recreation, Parks & Library Dir.
Mark Hensley, City Attorney
Joe Lillio, Chief Financial Officer
Deena Lee, Fire Chief
Rebecca Redyk, HR Director
Elias Sassoon, Public Works Dir.
MISSION STATEMENT:
"Provide a great place to live, work, and visit."
VISION STATEMENT:
"Be a global innovation leader where big ideas take off
while maintaining our unique small-town character."
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The City Council, with certain statutory exceptions, can only take action upon properly
posted and listed agenda items. Any writings or documents given to a majority of City
Council regarding any matter on this agenda that the City received after issuing the
agenda packet are available for public inspection in the City Clerk's Office during normal
business hours. Such documents may also be posted on the City's website at
www.elsegundo.org and additional copies will be available at the City Council meeting.
Unless otherwise noted in the agenda, the public can only comment on City -related
business that is within the jurisdiction of the City Council and/or items listed on the
agenda during the Public Communications portions of the Meeting. Additionally,
members of the public can comment on any Public Hearing item on the agenda during
the Public Hearing portion of such item. The time limit for comments is five (5) minutes
per person.
Those wishing to address the City Council are requested to complete and submit to the
City Clerk a "Speaker Card" located at the Council Chamber entrance. You are not
required to provide personal information in order to speak, except to the extent
necessary for the City Clerk to call upon you, properly record your name in meeting
minutes and to provide contact information for later staff follow-up, if appropriate.
In compliance with the Americans with Disabilities Act, if you need special
assistance to participate in this meeting, please contact the City Clerk's Office at
310-524-2305. Notification 48 hours prior to the meeting will enable the City to
make reasonable arrangements to ensure accessibility to this meeting.
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4:00 PM CLOSED SESSION — CALL TO ORDER / ROLL CALL
PUBLIC COMMUNICATION — (RELATED TO CITY BUSINESS ONLY — 5-MINUTE
LIMIT PER PERSON, 30-MINUTE LIMIT TOTAL) Individuals who have received value
of $50 or more to communicate to the City Council on behalf of another, and employees
speaking on behalf of their employer, must so identify themselves prior to addressing
City Council. Failure to do so shall be a misdemeanor and punishable by a fine of $250.
While all comments are welcome, the Brown Act does not allow City Council to take
action on any item not on the agenda. City Council and/or City Manager will respond to
comments after Public Communications is closed.
SPECIAL ORDERS OF BUSINESS
RECESS INTO CLOSED SESSION: City Council may move into a closed session
pursuant to applicable law, including the Brown Act (Government Code Section
§54960, et seq.) for purposes of conferring with City's Real Property Negotiator; and/or
conferring with City Attorney on potential and/or existing litigation; and/or discussing
matters covered under Government Code Section §54957 (Personnel); and/or
conferring with City's Labor Negotiators.
CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION (GOV'T CODE
§54956.9(D)(1): -1- MATTER(S)
Breck Slover (Retired Fire Fighter) v. City of El Segundo, Workers Compensation
Appeals Board Case No. ADJ 12808178
CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION
Initiation of litigation pursuant to Government Code §54956.9(c): -1- matter.
PUBLIC EMPLOYMENT (GOV'T CODE § 54957) -2- MATTER(S)
City Manager and City Attorney
Performance Evaluations
CONFERENCE WITH CITY'S LABOR NEGOTIATOR (GOV'T CODE §54957.6): -4-
MATTER(S)
Employee Organizations: Fire Fighters Association (FFA), Police Officers
Association (POA), and Supervisory Professional Employee Association (SPEA),
and Professional Support Services Employee Association (PSSEA).
Representative: Irma Moisa Rodriquez, City Manager, Darrell George, and Human
Resources Director, Rebecca Redyk.
6:00 PM — CONVENE OPEN SESSION — CALL TO ORDER / ROLL CALL
INVOCATION — Pastor Rob McKenna, The Bridge
PLEDGE OF ALLEGIANCE — Council Member Pirsztuk
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SPECIAL PRESENTATIONS
1. Recognition of Kite, a Gilead Company on the Five -Year Anniversary of FDA
Approval to Produce Cell Therapies to Cure Cancer
2. Recognition of Nicole Pesqueira for Graduating from All American Leadership
Academy
3. Introduction of Jose Calderon, New Information Technology Services Director
PUBLIC COMMUNICATIONS — (RELATED TO CITY BUSINESS ONLY — 5 MINUTE
LIMIT PER PERSON, 30 MINUTE LIMIT TOTAL) Individuals who have received value
of $50 or more to communicate to the City Council on behalf of another, and employees
speaking on behalf of their employer, must so identify themselves prior to addressing
the City Council. Failure to do so shall be a misdemeanor and punishable by a fine of
$250. While all comments are welcome, the Brown Act does not allow Council to take
action on any item not on the agenda. The Council will respond to comments after
Public Communications is closed.
CITY MANAGER FOLLOW-UP COMMENTS — (Related to Public Communications)
Hyperion Water Reclamation Plant Update
Richmond Street Outdoor Dining
A. PROCEDURAL MOTIONS
Read All Ordinances and Resolutions on the Agenda by Title Only
Recommendation -
Approval
B. CONSENT
4. City Council Meeting Minutes
Recommendation -
1. Approve regular City Council meeting minutes for October 4, 2022.
2. Alternatively, discuss and take other action related to this item.
5. Warrant Demand Register for September 19, 2022 through October 2, 2022
Recommendation -
Ratify payroll and employee benefit checks; checks released early due to
contracts or agreements; emergency disbursements and/or adjustments;
and, wire transfers.
2. Approve Warrant Demand Register numbers 613 and 7A: warrant
numbers 3042548 through 3042705, and 9002664.
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3. Alternatively, discuss and take other action related to this item.
6. Amendment to Agreement with Dennis Grubb and Associates, LLC
Recommendation -
Approve an amendment to agreement No. 6379 with Dennis Grubb and
Associates, LLC to increase the total contract amount from $50,000 to
$150,000 for fire prevention plan check services.
2. Authorize the City Manager to execute the amended agreement (No.
6379B).
3. Alternatively, discuss and take other action related to this item.
7. Notice of Completion of Sidewalk Construction Project for 400 West
Mariposa Avenue and 300 West Pine Avenue
Recommendation -
Accept the construction of Sidewalk Project at 400 W. Mariposa Avenue
and 300 W. Pine Avenue, Project No. PW 21-07, by Gentry General
Engineering as complete; and
2. Authorize the City Clerk to file a Notice of Completion with the County
Recorder's Office.
3. Alternatively, discuss and take other action related to this item.
8. Second Reading of Ordinance Adding Chapter 13-33 to the El Segundo
Municipal Code to Establish a Regulatory Program Allowing for
Reasonable City Cost Recovery for Excessive False Alarms Responses
Recommendation -
1. Waive the second reading and adopt the Ordinance adding Chapter 13-
33 to the El Segundo Municipal Code.
2. Alternatively, discuss and take other action related to this item.
9. Resolution Allowing Continued Teleconferenced Public Meetings
Recommendation -
1. Approve the proposed resolution to continue the City's utilization of
relaxed teleconferencing requirements under the Brown Act.
2. Alternatively, discuss and take other action related to this item.
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C. PUBLIC HEARINGS
10. Public Hearing on the Bargaining Impasse Between the City of El Segundo
and the El Segundo Firefighters' Association Regarding the Potential
Impacts of the Brownout (Temporary Suspension) of Engine Number 32
Recommendation -
Conduct a public hearing on the bargaining impasse between the City of
El Segundo and the El Segundo Firefighters' Association over the
potential impacts of the Brownout of Engine Number 32.
2. Adopt a resolution Authorizing the Implementation of the Terms of the
City's April 25, 2022, Last, Best, and Final Offer to the El Segundo
Firefighters' Association Pursuant to Government Code § 3505 which will
brownout Engine Number 32 for a six-month period pursuant to certain
terms and conditions.
3. Alternatively, discuss and take other action related to this item.
11. Resolution Amending a Regulatory Fee to Recover City Costs for
Excessive False Alarm Responses
Recommendation -
1. Conduct a public hearing.
2. Adopt a resolution amending a regulatory fee to recover city costs
incurred for certain regulatory El Segundo Fire Department ("ESFD")
responses.
3. Alternatively, discuss and take other action related to this item.
D. STAFF PRESENTATIONS
12. Urho Saari Swim Stadium ("The Plunge") Project
Recommendation -
1. Authorize modifications to the conceptual design of "The Plunge" project
which was previously presented to the City Council in June 1, 2021.
2. Alternatively, discuss and take other action related to this item.
Page 6 of 127
13. FY 2021-2022 Year -End Financial Re
Recommendation -
1. Receive and file the unaudited FY 2021-2022 Year -End Financial Report.
2. Alternatively, discuss and take other action related to this item.
14. Extension of License Agreements with El Segundo Youth Sports
Oraanizations
Recommendation -
1. Authorize the City Manager to extend the License Agreements with each
El Segundo Youth Sports Organization identified in the Youth Sports
Council Athletic Field/ Facility Use and Allocation Policy for the remainder
of FY 22-23.
2. Alternatively, discuss and take other action related to this item.
E. COMMITTEES, COMMISSIONS AND BOARDS PRESENTATIONS
F. REPORTS - CITY CLERK
G. REPORTS - CITY TREASURER
H. REPORTS - COUNCIL MEMBERS
COUNCIL MEMBER GIROUX
COUNCIL MEMBER NICOL
COUNCIL MEMBER PIRSZTUK
MAYOR PRO TEM PIMENTEL
MAYOR BOYLES
I. REPORTS - CITY ATTORNEY
J. REPORTS/FOLLOW-UP - CITY MANAGER
CLOSED SESSION
The City Council may move into a closed session pursuant to applicable law, including
the Brown Act (Government Code Section §54960, et seq.) for the purposes of
conferring with the City's Real Property Negotiator; and/or conferring with the City
Attorney on potential and/or existing litigation; and/or discussing matters covered under
Government Code Section §54957 (Personnel); and/or conferring with the City's Labor
Negotiators.
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REPORT OF ACTION TAKEN IN CLOSED SESSION (if required)
MEMORIALS
ADJOURNMENT
POSTED:
DATE: October 13, 2022
TIME: 12:00 PM
BY: Tracy Weaver, City Clerk
Page 8 of 127
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City of (91 *egunbo, California
WHEREAS, Kite, a Gilead Company is the global leader in cell therapy and has had a presence
in El Segundo since early 2016, recognizing the city's proximity to LAX and freeway
access as essential for facilitating the company's state-of-the-art cell therapy
manufacturing process; and
WHEREAS, Kite, a Gilead Company has continued to expand its El Segundo footprint from the
original building at 2388 Utah Avenue to leasing supplemental space as part of
2355 Utah, and then to fully occupy both buildings, and now having constructed an
addition to connect both buildings and to build a new warehouse compromising a
total building footprint of 203,000 square feet; and
WHEREAS, Kite, a Gilead Company employs more than 800 employees in its El Segundo
facility, including functions such as Manufacturing, Quality, Process Development,
Materials Management/Supply Chain, Facilities and Engineering, Operations,
Finance, Human Resources, and IT; and
WHEREAS, Kite, a Gilead Company produces two innovative cell therapies manufactured at
the El Segundo facility for both clinical and commercial purpose, and is believed to
have pioneered the position of "Cell Therapy Specialist", revolutionizing the biotech
industry; and
WHEREAS, Kite, a Gilead Company is licensed to manufacture cell therapies for patients in
more than 20 countries around, and already has produced individualized
treatments for approximately 9,000 patients; and
WHEREAS, Kite, a Gilead Company received its commercial manufacturing license from the
FDA five years ago today.
NOW, THEREFORE, on this 18th day of October, 2022, the Mayor and Members of the City
Council of the City of El Segundo, California, hereby celebrate the five-year anniversary of Kite's
El Segundo facility being approved by the FDA, and commend Kite, a Gilead Company for
producing innovative cell therapies for patients battling cancer, and — with sincere appreciation
for the company's dedication to research and development of new biopharmaceutical treatment
and wishes further success with the company's continued focus on the cure.
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_ 4ayor Drew Boyles
Mayor Pro 7em CFcris 1Timentef CouncdWember Carof Pirsztuk
Counci(,TemberScot %icof Councif9lllemberLance Gir"--Page 9 of 127
MEETING MINUTES OF THE EL SEGUNDO CITY COUNCIL
TUESDAY, OCTOBER 4, 2022
CLOSED SESSION — Mayor Boyles called to order at 4:03 PM.
ROLL CALL
Mayor Boyles -
Present
Mayor Pro Tem Pimentel -
Present
Council Member Pirsztuk -
Present
Council Member Nicol -
Present
Council Member Giroux -
Present
PUBLIC COMMUNICATION — (Related to City Business Only — 5-minute limit per
person, 30-minute limit total) None
SPECIAL ORDER OF BUSINESS:
Mayor Boyles announced that Council would be meeting in closed session pursuant to
the items listed on the Agenda.
CONFERENCE WITH CITY'S LABOR NEGOTIATOR (GOV'T CODE §54957.6): -4-
MATTER(S)
Employee Organizations: Fire Fighters' Association (FFA), Police Officers'
Association (POA), Supervisory Professional Employee Association (SPEA), and
Professional Support Services Employee Association (PSSEA).
Agency Designated Representative: Irma Moisa Rodriquez, City Manager,
Darrell George, and Human Resources Director, Rebecca Redyk
PUBLIC EMPLOYMENT (GOV'T CODE §54957) -2- MATTER(S)
City Manager and City Attorney
Performance Evaluations
Recessed at 5:55 PM
OPEN SESSION — Mayor Boyles called to order at 6:00 PM
ROLL CALL
Mayor Boyles -
Present
Mayor Pro Tern Pimentel -
Present
Council Member Pirsztuk -
Present
Council Member Nicol -
Present
Council Member Giroux -
Present
EL SEGUNDO CITY COUNCIL MEETING MINUTES
OCTOBER 4, 2022
PAGE 1
Page 10 of 127
INVOCATION - Pastor Rob McKenna, The Bridge
PLEDGE OF ALLEGIANCE - Mayor Pro Tern Pimentel
SPECIAL PRESENTATIONS:
1. Item deferred to a later date - Council recognized Sgt. McEnroe for graduating
from the Sherman Block Supervision Leadership Institute.
2. Proclamation read by Council Member Nicol proclaiming October 2022 as
National Bullying Prevention Month. Proclamation was presented to Christibelle
Villena of the DEI Committee.
3. Proclamation read by Council Member Pirsztuk, proclaiming October 2022 as
Breast Cancer Awareness Month. Proclamation was read in honor of Jo
McFadden.
4. West Basin Drought Update presented by Scott Houston, West Basin Director,
Division 4 Representative. General Manager, Greg Reeve??? Double check
PUBLIC COMMUNICATIONS - (Related to City Business Only - 5-minute limit per
person, 30-minute limit total)
Dave Holop, resident, commented on the Center Street incident a few months back and
would like the internal report made available to the public.
John Pickhaver, resident, commented on the proclamations read earlier in the evening.
CyIrd05F-1101/_Tel21:»07111111061►ITQIJrole] ►VAI►TA121►1161i
5. City Manager, Darrell George gave an update regarding the Hyperion Water
Reclamation Plant.
Mr. George commented on the findings from the Center Street incident, he will review
with the Chief regarding making the internal report available to the public.
A. Read all Ordinances and Resolutions on the Agenda by Title Only.
MOTION by Council Member Giroux, SECONDED by Council Member Nicol to read all
ordinances and resolutions on the agenda by title only. MOTION PASSED BY
UNANIMOUS VOICE VOTE. 5/0
B. CONSENT:
6. Approve Special Joint meeting minutes of the City Council and Recreation and
Parks Commission on April 31, 2022, City Council Special meeting minutes of
September 8, 2022 and September 15, 2022, and Regular City Council meeting
minutes of September 20, 2022.
(Fiscal Impact: None)
EL SEGUNDO CITY COUNCIL MEETING MINUTES
OCTOBER 4, 2022
PAGE 2
Page 11 of 127
7. Approve warrants demand register for August 29, 2022 through September 18,
2022, number 5A, 5B and 6A, warrant numbers 3042240 through 3042547, and
9002632 through 9002663. Ratify Payroll and employee benefit Checks; Checks
released early due to contracts or agreement; Emergency disbursements and/or
adjustments; and, Wire transfers.
(Fiscal Impact: $3,297,576.14 ($2,046,644.75 in check warrants and
$1,250,931.39 in wire warrants))
MOTION by Council Member Nicol, SECONDED by Council Member Pirsztuk
approving Consent Agenda items 6 and 7. MOTION PASSED BY UNANIMOUS VOTE.
5/0
C. PUBLIC HEARINGS: None
D. STAFF PRESENTATIONS:
8. Grant Award from Chevron U.S.A., Inc. in the Amount of $75,000 to Support
Economic Development within the City of El Segundo
(Fiscal Impact: $75,000 Revenue for the Economic Development Grant Account
702-221-2401-1281)
Barbara Voss, Deputy City Manager reported on the item.
Fredrick Walker, Director, El Segundo Refinery and Lily Craig, External Affairs Manager
Chevron U.S.A., Inc. presented the Council with a $75,000 check.
Council Discussion
MOTION by Council Member Nicol, SECONDED by Council Member Pirsztuk accepting
the grant from Chevron U.S.A., Inc., and appropriate grant funding to the Economic
Development Grant Account. MOTION PASSED BY UNANIMOUS VOTE. 5/0
9. Residential Sound Installation (RSI) Program Update
(Fiscal Impact: None)
Michael Allen, Community Development Director introduced the item.
Samantha Bricker, Los Angeles World Airports, Chief Sustainability and Revenue
Management Officer gave a presentation.
Council Discussion
Council consensus to receive and file the report.
10. Ordinance Adding Chapter 13-33 to the El Segundo Municipal Code to Enable
Reasonable City Cost Recovery for Excessive False Fire Alarm Responses
EL SEGUNDO CITY COUNCIL MEETING MINUTES
OCTOBER 4, 2022
PAGE 3
Page 12 of 127
(Fiscal Impact: The proposed Ordinance would enable the City's cost recovery
for excessive fire false alarm calls. The El Segundo Fire Department ("ESFD")
will present a fee resolution on October 18, 2022 (or as soon thereafter as may
be considered) to the City Council to modify an existing false alarm fee that
ESFD included with the recently adopted Master Fee Schedule. The adopted fee
allowed the City to collect ESFD costs after three (3) false alarms, but the
proposed amendment will conform with the Ordinance to allow City cost recovery
after the first two false alarms. City staff anticipates the Ordinance will cause
most alarm system owners to be more responsible in maintaining their systems
in proper working order, requiring a lower number of responses. Pursuant to
California Constitution article XI I IC, § 1(e)(3), the fees authorized through the
Ordinance do not constitute a "tax" as they concern City regulation enforcement
and investigation performance associated with a regulatory program.)
Deena Lee, Fire Chief reported and answered questions on the item.
Council Discussion
Mark Hensley, City Attorney read by title only;
ORDINANCE NO. 1640
AN ORDINANCE AMENDING EL SEGUNDO MUNICIPAL CODE TITLE 13 TO ADD A
NEW CHAPTER 22 TO ENABLE CITY COST RECOVERY FOR EXCESSIVE FALSE
FIRE ALARMS.
Council Member Nicol introduced the Ordinance. Second reading and possible adoption
is scheduled for the October 18, 2022 regular scheduled City Council meeting.
11. Establish the Fire Prevention Specialist 1-11 Classifications and Adopt Associated
Specification, Examination Plans, and Salary Ranges
(Fiscal Impact: Adopted FY 2022-23 budget)
Rebecca Rydek, Human Resources Director reported on the item.
Council Discussion
MOTION by Council Member Giroux, SECONDED by Council Member Nicol approving
establishment of Fire Prevention Specialist 1-II classifications and adopting the
classification specification and examination plans for the Fire Prevention Specialist 1-11
positions. MOTION PASSED BY UNANIMOUS VOTE. 5/0
Mark Hensley, City Attorney read by title only;
RESOLUTION NO. 5367
A RESOLUTION ESTABLISHING BASIC MONTHLY SALARY RANGE FOR FULL-
TIME JOB CLASSIFICATIONS.
EL SEGUNDO CITY COUNCIL MEETING MINUTES
OCTOBER 4, 2022
PAGE 4
Page 13 of 127
MOTION by Council Member Pirsztuk, SECONDED by Council Member Giroux
adopting Resolution No. 5367. MOTION PASSED BY UNANIMOUS VOTE. 5/0
12. Convert the Information Systems Manager Classification from Civil Service to At -Will
Status and Adopt Revised Classification Specification, Examination Plan and Salary
Range
(Fiscal Impact: Adopted FY 2022-23 budget)
Rebecca Rydek, Human Resources Director reported on the item.
Council Discussion
MOTION by Council Member Giroux, SECONDED by Council Member Nicol approving
the conversion of the Information Systems Manager classification from Civil Service to
at -will status and adopt revised classification specification and examination plan for the
Information Systems Manager position. MOTION PASSED BY UNANIMOUS VOTE. 5/0
Mark Hensley, City Attorney read by title only;
IC]2 1100]1LOA1191010[ON *1101:3
A RESOLUTION MODIFYING BASIC MONTHLY SALARY RANGE FOR
FULL TIME JOB CLASSIFICATIONS.
MOTION by Council Member Nicol, SECONDED by Council Member Giroux
adopting Resolution No. 5368. MOTION PASSED BY UNANIMOUS VOTE. 5/0
E. COMMITTEES, COMISSIONS AND BOARDS PRESENTATIONS: None
F. REPORTS — CITY CLERK — Announced the upcoming City Council Candidate
Forums; October 13t" hosted by ESMoA at 6.30 PM and October 19t" hosted by
the El Segundo Women's Club at 6:30 PM.
G. REPORTS — CITY TREASURER — Not present
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Council Member Giroux — No report
Council Member Nicol — Recognized Beto Moreno for his dedication and
outstanding work on the Main Street Fair.
Council Member Pirsztuk — Stated ESUSD Homecoming is this Friday, October
7t", with the parade beginning at 5:00 PM down Main Street.
Mayor Pro Tern Pimentel — No report
EL SEGUNDO CITY COUNCIL MEETING MINUTES
OCTOBER 4, 2022
PAGE 5
Page 14 of 127
Mayor Boyles — Attended Convening of the Mayor's with Supervisor Holly
Mitchell and thanked all involved in the cleaning up of Imperial Highway median.
Wished everyone a Happy Yom Kippur.
REPORTS — CITY ATTORNEY — Stated September 30, 2022 was the last the
Governor could sign bills this legislative period. Several bills signed were
regarding housing, Mark and his team will put together an overview of the bills
and present to Council.
J. REPORTS/FOLLOW-UP — CITY MANAGER — Mentioned the Eddy Awards will
be held on November 9, 2022 at SoFi Stadium and invited Council to attend if
they wish. The City of El Segundo has been nominated as a Business Friendly
City.
MEMORIALS — None
Adjourned at 7.58 PM
Council moved back into Closed Session at 8.00 PM
Closed Session adjourned at 8.15 PM
Tracy Weaver, City Clerk
EL SEGUNDO CITY COUNCIL MEETING MINUTES
OCTOBER 4, 2022
PAGE 6
Page 15 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Consent
Item Number: B.5
TITLE:
Warrant Demand Register for September 19, 2022 through October 2, 2022
RECOMMENDATION:
Ratify payroll and employee benefit checks; checks released early due to
contracts or agreements; emergency disbursements and/or adjustments; and,
wire transfers.
2. Approve Warrant Demand Register numbers 6B and 7A: warrant numbers
3042548 through 3042705, and 9002664.
3. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
The warrants presented were drawn in payment of demands included within the FY
2022-2023 Adopted Budget. The total of $1,738,849.01 ($963,029.67 in check warrants
and $775,819.34 in wire warrants) are for demands drawn on the FY 2022-2023
Budget.
BACKGROUND:
California Government Code Section 37208 provides General Law cities flexibility in
how budgeted warrants, demands, and payroll are audited and ratified by their
legislative body. Pursuant to Section 37208 of the California Government Code,
warrants drawn in payments of demands are certified by the City's Chief Financial
Officer and City Manager as conforming to the authorized expenditures set forth in the
City Council adopted budget need not be audited by the City Council prior to payment,
but may be presented to the City Council at the first meeting after delivery.
In government finance, a warrant is a written order to pay that instructs a federal, state,
county, or city government treasurer to pay the warrant holder on demand or after a
specific date. Such warrants look like checks and clear through the banking system like
Page 16 of 127
Warrant Demand Register
October 18, 2022
Page 2 of 2
checks. Warrants are issued for payroll to individual employees, accounts payable to
vendors, to local governments, and to companies or individual taxpayers receiving a
refund.
Q 6*9111*4 :s] ki I
The attached Warrants Listing delineates the warrants that have been paid for the
period identified above. The Chief Financial Officer certifies that the listed warrants
were drawn in payment of demands conforming to the adopted budget and that these
demands are being presented to the City Council at its first meeting after the delivery of
the warrants.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 5: Champion Economic Development and Fiscal Sustainability
Objective 5B: El Segundo approaches its work in a financially strategic and responsible
way.
PREPARED BY:
Liz Lydic, Management Analyst
REVIEWED BY:
Joseph Lillio, Chief Financial Officer
APPROVED BY:
Barbara Voss, Deputy City Manager
ATTACHED SUPPORTING DOCUMENTS:
1. Register 6b summary
2. Register 7a summary
Page 17 of 127
CITY OF £L SEGUNDO
WARRANTS TOTALS BY FUND
3042548 3042635
DATE OF APPROVAL.
9002664 - -
oal
GENERAL FUND
386,725.73
003
EXPENDABLE TRUST FUND - OTHi=R
5,988.09
1a4
TRAFFIC SAFETY FUND
-
706
STATE GAS TAX FUND
1.35
fall
ASSOCIATED RECREATION ACT;vrriES FUND
-
109
ASSET FORFEITURE FUND
-
110
MEAURE'R'
-
ill
COMM. DEVEL. BLOCK GRANT
27,645,00
112
PROP "A' TRANSPORTATION
3,667.04
714
PROP-C"TRANSPORTATION
-
I15
AIR QUALITY INVESTMENT PROGRAM
-
Ila
HOME SOUND INSTALLATION FUND
-
1f7
HYPERION MITIGATION FUND
-
118
TDA ARTICLE 3- SB 821 BIKEWAY FUND
-
119
WA GRANT
-
120
C.O.P.S. FUND
-
121
FEMA
122
LA.W.A, FUND
123
PSAF PROPERTY TAX Pu041C SAFETY
-
124
FEDERALGRANTS
-
125
STATE GRANT
-
125
AIP CUPA PROGRAM OVERSIGHT SURCHARGE
-
127
MEAURE"M"
-
129
SA-1
1,092.00
12S
CERTW ED ACCESS SPECIALIST PROGRAM
-
130
AFFORDABLE HOUSING
-
131
COUNTY STORM WATER PROGRAM
-
202
ASSESSMENT DISTRICT#73
-
307
CAPITAL IMPROVEMENT FUND
55,440.50
302
MFRASTRuC7URE REPLACEMENT FUND
-
405
FACILITIES MAINTENANCE
-
501
WATER UTILITY FUND
46,648.61
502
WASTEWATER FUND
11.015.67
S03
GOLF COURSE FUND
80,593 26
505
SOLID WASTE FUND
-
act
EQUIPMENT REPLACEMENT
-
602
LIABILITY INSURANCE
8,D62.85
503
WORKERS COMP. RESERVEITNSURANCE
95.85
701
RETIRED EMP. INSURANCE
-
702
EXPENDABLE TRUST FUND -DEVELOPER FEES
-
704
CULTURAL DEVELOPMENT
300.00
708
OUTSIDE SERVICES TRUST
875.00
TOTAL WARRANTS
3 I!IW948.86
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
Inforrnation on actual 0"Odaures is available in the Divectur of Finance's office in the
City of El Segundo.
I certify as to the accuracy of the Demands and the availability of fund for payment thereof.
Fur Approval: Regular checks held far City council authorization to release.
CODES:
R = Computer generated checks for all non-emergencylurgancy payments fof materials, supplies and
services in suppen of City Operations
For Ratification-
A = Payroll and Employee Benefit checks
AP - U = Compuferganerated Eal1y Rolease disbursements and/or adjustments approved by the City
Manager. Such as: payments for u11Iay servicas, petty cash and employee Iravei fi"nse
reimbursements, various refunds, contract employee services consistent with current contractual
agreements, instances where prompt payment discounts can be oblamed or late payment penailies
AS OF 10104122 B961STER 0 0
VOID CHECKS DUE TO ALIGNMENT:
NIA
VOID CHECKS DUE TO INCORRECT CHECK DATE:
VOID CHECKS DUE TO COMPUTER SOFTWARE ERROR:
NOTES
can be avoided orwhen a situation arises that the City Manager approves.
H = Handwritten Early Rele sa dishu em/ayn�dlor adjustments approved by the City Manager.
CHIEF FINANCIAL OFFICER Kyn/ �„�_ An CITY MANAGER
DATE: YV'^yF T_S�eJ DATE:
Page 18 of 127
CITY OF EL SEGUNDO
WARRANTS TOTALS BY DEPARTMENT
AS OF 10/04/22
REGISTER # 6b
DEPT#
NAME TOTAL
GENERAL FUND DEPARTMENTAL EXPENDITURES
GENERAL GOVERNMENT
1101
City Council
2,879.25
1201
City Treasurer
58.02
1300
City Clerk
1,325.51
2101
City Manager
7,056.81
2102
Communications
53,66
2103
El Segundo Media
4,193.82
2201
City Attorney
17,364.35
2401
Economic Development
2,544,66
2402
Planning
2,106.00
2500
Administrative Services
46,843,08
2601
Government Buildings
11,295.67
2700
Community Outreach/Planning
4,262.80
2900
Nondepartmental
2,478.13
6100
Library
2,510.81
104,972, 57
PUBLIC SAFETY
3100
Police
12,742.19
3200
Fire
24,336.56
2403
Building Safety
1,407,11
2404
Ping/Bldg Sfty Administration
723.65
39, 209.51
PUBLIC WORKS
4101
Engineering
5,350.00
4200
Streets/Park Maintenance
23,192,20
4300
Wastewater
4601
Equipment Maintenance
1,090.8$
4801
Administration
91.35
29,724.23
COMMUNITY SERVICES
5100,5200 Recreation & Parks 189,192,10
5400 Centennial
189,192.10
EXPENDITURES
CAPITAL IMPROVEMENT 55,440.50
ALL OTHER ACCOUNTS 212,409.95
v
TOTAL WARRANTS 630,948.86
cn
cD
0
N
v
CITY OF EL SEGUNDO
PAYMENTS BY WIRE TRANSFER
09/19/22 THROUGH 09125122
Date
payee_
9/2/2022
Employment Development
6,960.50
9/19/2022
IRS
265,812.35
9/1912022
Employment Development
4,8%38
9/19/20222
Employment Development
61,818.24
9/21/2022
Employment Development
2,709.50
9/21/2022
Cal Pers
61,665.99
9/21/2022
Cal Pers
52,204.07
9/21/2022
Cal Pers
50,580.50
9/21/2022
Cal Pers
37,220.31
9/21/2022
Cal Pers
28,126.53
9/21/2022
Cal Pers
14,498.92
9/21/2022
Cal Pers
7,395.24
9/22/2022
Unum
211.30
09/12/22-09/18/22
Workers Comp Activity
66,130.17
09/12/22-09/18/22
Liability Trust - Claims
1,350.00
09/12/22-09/18/22
Retiree Health Insurance
-
661, 543.00
DATE OF RATIFICATION: 09/23/22
TOTAL PAYMENTS BY WIRE:
Descrintion
State SDI payment
Federal 941 Deposit
State SDI payment
State PIT Withholding
State SDI payment
EFT Retirement Safety Police Classic - 1 st Tier 28
EFT Retirement Safety Fire- Classic 30168
EFT Retirement Misc - PEPRA New 26013
EFT Retirement Misc - Classic 27
EFT Retirement Safety-Police-PEPRA New 25021
EFT Retirement Safety-Fire-PEPRA New 25020
EFT Retirement Sfty Police Classic-2nd Tier 30169
Long Term Care Premium
SCRMA checks issued
Claim checks issued/(voided)
Health Reimbursment checks issued
Ce ffied as to the accuracy of the wire transfers by:
®9 2
puty City Treasurer II Date
cl-Chief Financial fficer Date
Q� - 2L—� ; ` ,71 _ 2 Z-
Ciry l4anager Date
Information on actual expenditures is available in the City Treasurer's Office of the City of El Segundo.
661,543.00
P:1City TreasurerMire TransferslWire Transfers 07-01-22 to 6-30-23 9/23/2022 1/1
Page 20 of 127
CITY OF EL SEGUNDO
WARRANTS TOTALS BY FUND
3042636 - 3042705
DATE OF APPROVAL AS OFiwlmzz
001 GENERAL FUND
312,543.21
003 kXPENDADLE TRUST FUND- OTHER
-
1Ca TRAFFIC SAFETY FUND
-
106 STATE GAS TAX FUND
-
108 ASSOCIATED RECREATION ACTIVITIES FUND
-
109 ASSET FORFEITURE FUND
-
11D MEAURE"R"
-
ill COMM, DEVEL BLOCK GRANT
-
112 PROP "A" TRANSPORTATION
3,448.06
114 PROP'C'TRANSPORTAT*N
-
115 AIR QUALITY INVESTMENT PROGRAM
-
$16 HOME SOUND INSTALLATION FUND
-
117 HYPER€ON MITIGATION F€1NO
67.94
Ila TDA ARTICLE 3- SS 821 BIKEWAY FUND
-
119 MTA GRANT
120 C.O.P.S. FUND
-
121 FEMA
122 LA. W. A, FUND
123 PSAF PROPERTY TAX PUBLIC SAFETY
-
124 FEDERAL GRANTS
-
125 STATE GRANT
-
125 ArP CUPA PROGRAM OVERSIGHT SURCHARGE
724,00
127 MEAURE"M"
-
128 sh-1
129 CERTIFIED ACCESS SPECIALIST PROGRAM
-
130 AFFORDABLE HOUSING
-
131 COUNTY STORM WATER PROGRAM
3,11D.00
202 ASSESSMENT DISTRICT 473
301 CAPITAL IMPROVEMENT FUND
302 INFRASTRUCTURE REPLACEMENT FUND
-
405 FACILITIES MAINTENANCE
-
501 WATER UTILITY FUND
7,854.37
602 WASTEWATER FUND
4,007.04
5D3 GOLF COURSE FUND
-
SO5 SOLID WASTE FUND
-
601 EGUMMENT REPLACEMENT
602 LIAWLITY INSURANCE
-
603 WORKERS COMP_ RESERVERNSURANCE
26.19
701 RETIRED EMP. INSURANCE
-
702 EXPENDABLE TRUST FUND -DEVELOPER FEES
-
704 CULTURAL DEVELOPMENT
300.00
708 OUTSIDE SERVICES TRUST
TOTAL WARRANTS
_S__ 312,080.81
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
Information on actual expenditures is available in the Director of Finances office in the
City of EI Segundo.
I certify as to the accuracy of die Demands and the availability of fund for payment thereof,
For Approval: Regular cheeks held for Cdy council authorization to release.
CODES:
VOID CHECKS DUE TO AL€GNMENT:
NIA
R= Computer generated checks for all non-emergencylurgency payments for materials, supplies and
services in support of City Operations
VO€D CHECKS DUE TO INCORRECT CHECK DATE:
Far Ratification;
A = Paymil and Employee Benefil checks
VOID CHECKS DUE TO COMPUTER SOFTWARE ERROR:
AP - U = Computer generated Early Release disbursements andlOr adjuatmenls approved by the Cily
Manager. Such as: payments for uIlldy services, pelly cash and employee travel expense
NOTES
reiml ursemenls, various refunds, contract employee services consistent with current wnlractual
agreements, Instances where pmmpi paymeu€ discouala can be obtained or late payment penalties
can be avoided ar whers a situation arises that the City Manager approves.
H = Handwr8len Early Release disbur amen a for adjustments approved by Iho City Manage+.
CHIEF FINANCIAL OFFICER CITY
MANAGER '
DATE: DATE:
Ifs
/0
FtErAISTER A 7A
Page 21 of 127
CITY OF EL SEGUNDO
WARRANTS TOTALS BY DEPARTMENT
AS OF 10/18/22
REGISTER # 7a
DEPT#
NAME TOTAL
GENERAL FUND DEPARTMENTAL EXPENDITURES
GENERAL GOVERNMENT
1101
City Council
104.25
1201
City Treasurer
24.87
1300
City Clerk
80.43
2101
City Manager
3,266.82
2102
Communications
22,915.15
2103
El Segundo Media
2201
City Attorney
2401
Economic Development
474.50
2402
Planning
2500
Administrative Services
44,185.14
2601
Government Buildings
47,262.23
2700
Community Outreach/Planning
$46,0D
2900
Nondepartmental
29,875.95
6100
Library
11,887,09
160, 922.43
PUBLIC SAFETY
3100
Police
64,641.96
3200
Fire
5,323.24
2403
Building Safety
2404
Ping/Bldg Sfty Administration
247.68
70,212.88
PUBLIC WORKS
4101
Engineering
408.17
4200
Streets/Park Maintenance
7,522.81
4300
Wastewater
633.04
4601
Equipment Maintenance
5,780.72
4801
Administration
112.62
14,457.36
COMMUNITY SERVICES
5100,5200 Recreation & Parks 6,943.14
5400 Centennial
6,943.14
EXPENDITURES
CAPITAL IMPROVEMENT
ALL OTHER ACCOUNTS
TOTAL WARRANTS
79,545.00
332,080,81
Page 22 of 127
CITY OF EL SEGUNDO
PAYMENTS BY WIRE TRANSFER
09/26/22 THROUGH 10/02/22
Date Payee
DescriWtian
9/30/2022 Mission Square
4,178.17
457 payment Vantagepoint
9/30/2022 Mission Square
1,038.46
401(a) payment Vantagepoint
9/30/2022 ExpertPay
2,720.76
EFT Child support payment
09/19/22-09/25/22 Workers Comp Activity
45,561.42
SCRMA checks issued
09/19/22-09/25/22 Liability Trust - Claims
60,777.53
Claim checks issuedt(voided)
09/19/22-09125/22 Retiree Health Insurance
-
Health Reimbursment checks issued
114,276.34
DATE OF RATIFICATION: 10/03/22
TOTAL PAYMENTS BY WIRE:
114,276.34
Certified as to the accuracy of the wire transfers by:
eputy City Treasurer It Date
Chief,ancialy Officer Date
City Manager Date
Information on actual expenditures is available in the City Treasurer's Office of the City of El Segundo.
P:1City TreasurerlWire TransfersMire Transfers 07-01-22 to 6-30-23 10/3/2022 1/1
Page 23 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Consent
Item Number: B.6
TITLE:
Amendment to Agreement with Dennis Grubb and Associates, LLC
RECOMMENDATION:
Approve an amendment to agreement No. 6379 with Dennis Grubb and
Associates, LLC to increase the total contract amount from $50,000 to $150,000
for fire prevention plan check services.
2. Authorize the City Manager to execute the amended agreement (No. 6379B).
3. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
Included in the Adopted FY 22-23 Budget
Amount Budgeted: $150,000
Additional Appropriation: N/A
Account Number(s):001-400-3204-6214
BACKGROUND:
Dennis Grubb and Associates, LLC provide fire prevention plan check services and part
time inspection services to the City of El Segundo. Plan check and inspection service
fees paid to this vendor are fully recovered by the City via the plan check and inspection
fees adopted in the FY 22-23 Master Fee Schedule (FR-001 through FR-003M, FR-
004A, FR-009, and FR-013).
DISCUSSION:
Based on excellent services delivered to the City of El Segundo, and the high demand
for fire prevention plan check and inspection services in the City, staff recommends
increasing the contract amount with Dennis Grubb and Associates, LLC by $100,000,
Page 24 of 127
Dennis Grubb and Associates, LLC Contract Amendment
October 18, 2022
Page 2 of 2
for a total not to exceed amount of $150,000 for FY 22-23.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 1: Enhance Customer Service, Diversity, Equity, Inclusion and Communication
Objective 1A: El Segundo provides unparalleled service to all customers.
Goal 4: Develop and Maintain Quality Infrastructure and Technology
Objective 4A: El Segundo's physical infrastructure supports an inviting and safe
community.
Objective 4B: El Segundo's technology supports effective, efficient, and proactive
operations.
Goal 5: Champion Economic Development and Fiscal Sustainability
Objective 5A: El Segundo promotes economic growth and vitality for business and the
community.
Objective 5B: El Segundo approaches its work in a financially strategic and responsible
way.
PREPARED BY:
Vanessa Arias, Management Analyst
REVIEWED BY:
Deena Lee, Fire Chief
APPROVED BY:
Barbara Voss, Deputy City Manager
ATTACHED SUPPORTING DOCUMENTS:
1. Dennis Grubb and Associates Amendment No. 6379B
2. Dennis Grubb and Associates Agreement No. 6379
Page 25 of 127
Agreement No. 6379B
SECOND AMENDMENT TO
AGREEMENT NO. 6379 BETWEEN
THE CITY OF EL SEGUNDO AND
DENNIS GRUBB AND ASSOCIATES, LLC
THIS SECOND AMENDMENT ("Amendment") to Agreement No. 6379 ("Agreement")
is made and entered into this 19th day of October, 2022, by and between CITY OF EL
SEGUNDO, a general law city and municipal corporation existing under the laws of
California ("CITY"), and DENNIS GRUBB AND ASSOCIATES, LLC ("CONSULTANT").
The parties agree as follows:
1. The parties intend for this Amendment to be retroactively effective to July 1,
2022.
2. Pursuant to Agreement Section 34, Section 1(C) is amended to increase the
not -to -exceed compensation sum by $100,000 to establish a new total, not -to -
exceed contract compensation sum of $150,000 for CONSULTANT's services.
3. Pursuant to Agreement Section 34, Section 2 is amended to augment the
scope of services set forth in Section 2 and Agreement Exhibit "A" by the
additional scope of work set forth in Attachment 1 to this Amendment, which is
incorporated by reference.
4. Pursuant to Section 34 of the Agreement, Section 7 is amended to extend the
Agreement's term described in Section 7 is through March 31, 2022.
5. This Amendment may be executed in any number of counterparts, and all such
counterparts so executed constitute one Amendment binding on all the parties
notwithstanding that all the parties are not signatories to the same counterpart.
In accordance with Government Code §16.5, the parties agree that this
Amendment will be considered signed when the signature of a party is
delivered by electronic transmission. Such electronic signature will be treated
in all respects as having the same effect as an original signature.
6. Except as modified by this Amendment, all other terms and conditions of the
Agreement will remain the same.
[SIGNATURES ON NEXT PAGE]
Page 26 of 127
Agreement No. 6379B
IN WITNESS WHEREOF the parties hereto have executed this Amendment the
day and year first hereinabove written.
CITY OF EL SEGUNDO
Darrel George
City Manager
ATTEST:
Tracy Weaver,
City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, CITY ATTORNEY
Joaquin Vazquez,
Deputy City Attorney
2
DENNIS GRUBB AND ASSOCIATES,
LLC
Title:
Taxpayer ID No. 20-8680376
CA Entity # 200704410104
Page 27 of 127
Agreement No. 6379B
ATTACHMENT 1
Page 28 of 127
Agreement No. 6379
PROFESSIONAL SERVICES AGREEMENT
BETWEEN
THE CITY OF EL SEGUNDO AND
DENNIS GRUBB AND ASSOCIATES, LLC
This AGREEMENT is made and entered into this 24th day of May, 2022 (the
"Effective Date"), by and between the CITY OF EL SEGUNDO, a municipal corporation
and general law city ("CITY") and DENNIS GRUBB AND ASSOCIATES, LLC") a
California limited liability company ("CONSULTANT"). The parties agree as follows:
1. CONSIDERATION,
A. As partial consideration, CONSULTANT agrees to perform the work listed
in the SCOPE OF SERVICES, below;
B. As additional consideration, CONSULTANT and CITY agree to abide by the
terms and conditions contained in this Agreement;
C. As additional consideration, CITY agrees to pay CONSULTANT a sum not
to exceed fifty thousand dollars ($50,000) each fiscal year for
CONSULTANT's services. CITY may modify this amount as set forth below.
Unless otherwise specified by written amendment to this Agreement, CITY
will pay this sum as specified in the attached Exhibit "A," which is
incorporated by reference.
2. SCOPE OF SERVICES.
A. CONSULTANT will perform Fire plan check services listed in the attached
Exhibit 'A" which is incorporated by reference.
B. CONSULTANT will, in a professional manner, furnish all of the labor,
technical, administrative, professional and other personnel, all supplies and
materials, equipment, printing, vehicles, transportation, office space and
facilities, and all tests, testing and analyses, calculation, and all other means
whatsoever, except as herein otherwise expressly specified to be furnished
by CITY, necessary or proper to perform and complete the work and provide
the professional services required of CONSULTANT by this Agreement.
3. PERFORMANCE STANDARDS. While performing this Agreement, CONSULTANT
will use the appropriate generally accepted professional standards of practice existing at
the time of performance utilized by persons engaged in providing similar services. CITY
will continuously monitor CONSULTANT's services. CITY will notify CONSULTANT of
any deficiencies and CONSULTANT will have fifteen (15) days after such notification to
cure any shortcomings to CITY's satisfaction. Costs associated with curing the
deficiencies will be borne by CONSULTANT.
City of El Segundo Professional Services
Page 1 of 11
Page 29 of 127
Agreement No. 6379
4. PAYMENTS. For CITY to pay CONSULTANT as specified by this Agreement,
CONSULTANT must submit a detailed invoice to CITY which lists the hours worked and
hourly rates for each personnel category and reimbursable costs (all as set forth in Exhibit
"A") the tasks performed, the percentage of the task completed during the billing period,
the cumulative percentage completed for each task, the total cost of that work during the
preceding billing month and a cumulative cash flow curve showing projected and actual
expenditures versus time to date.
5. NON -APPROPRIATION OF FUNDS. Payments due and payable to CONSULTANT
for current services are within the current budget and within an available, unexhausted
and unencumbered appropriation of the CITY. In the event the CITY has not appropriated
sufficient funds for payment of CONSULTANT services beyond the current fiscal year,
this Agreement will cover only those costs incurred up to the conclusion of the current
fiscal year.
6. FAMILIARITY WITH WORK.
A. By executing this Agreement, CONSULTANT agrees that it has:
Carefully investigated and considered the scope of services to be
performed;
ii. Carefully considered how the services should be performed; and
Understands the facilities, difficulties, and restrictions attending
performance of the services under this Agreement.
B. If services involve work upon any site, CONSULTANT agrees that
CONSULTANT has or will investigate the site and is or will be fully
acquainted with the conditions there existing, before commencing the
services hereunder. Should CONSULTANT discover any latent or unknown
conditions that may materially affect the performance of the services,
CONSULTANT will immediately inform CITY of such fact and will not
proceed except at CONSULTANT's own risk until written instructions are
received from CITY.
7. TERM. The term of this Agreement will be from the Effective Date through June 30,
2022. Thereafter, this Agreement will renew annually for a one year period beginning July
1, 2022. Unless otherwise determined by written amendment between the parties, this
Agreement will terminate in the following instances:
A. Completion of the work specified in Exhibit "A";
B. Termination as stated in Section 15.
City of El Segundo Professional Services
Page 2 of 11
Page 30 of 127
Agreement No. 6379
8. TIME FOR PERFORMANCE.
A. CONSULTANT will not perform any work under this Agreement until:
CONSULTANT furnishes proof of insurance as required under
Section 22 of this Agreement; and
CITY gives CONSULTANT a written notice to proceed.
B. Should CONSULTANT begin work
written authorization to proceed,
CONSULTANT's own risk.
on any phase in advance of receiving
any such professional services are at
9. TIME EXTENSIONS. Should CONSULTANT be delayed by causes beyond
CONSULTANT's control, CITY may grant a time extension for the completion of the
contracted services. If delay occurs, CONSULTANT must notify the Manager within forty-
eight (48) hours, in writing, of the cause and the extent of the delay and how such delay
interferes with the Agreement's schedule. The Manager will extend the completion time,
when appropriate, for the completion of the contracted services.
10. CONSISTENCY. In interpreting this Agreement and resolving any ambiguities, the
main body of this Agreement takes precedence over the attached Exhibits; this
Agreement supersedes any conflicting provisions. Any inconsistency between the
Exhibits will be resolved in the order in which the Exhibits appear below. -
A. Exhibit: A: Scope of Work and Fees
11. CHANGES. CITY may order changes in the services within the general scope of this
Agreement, consisting of additions, deletions, or other revisions, and the contract sum
and the contract time will be adjusted accordingly. All such changes must be authorized
in writing, executed by CONSULTANT and CITY. The cost or credit to CITY resulting from
changes in the services will be determined in accordance with written agreement between
the parties.
12.TAXPAYER IDENTIFICATION NUMBER. CONSULTANT will provide CITY with a
Taxpayer Identification Number.
13. PERMITS AND LICENSES. CONSULTANT, at its sole expense, will obtain and
maintain during the term of this Agreement, all necessary permits, licenses, and
certificates that may be required in connection with the performance of services under
this Agreement.
14. WAIVER. CITY's review or acceptance of, or payment for, work product prepared by
CONSULTANT under this Agreement will not be construed to operate as a waiver of any
rights CITY may have under this Agreement or of any cause of action arising from
City of El Segundo Professional Services
Page 3 of 11
Page 31 of 127
Agreement No. 6379
CONSULTANT's performance. A waiver by CITY of any breach of any term, covenant, or
condition contained in this Agreement will not be deemed to be a waiver of any
subsequent breach of the same or any other term, covenant, or condition contained in
this Agreement, whether of the same or different character.
15. TERMINATION.
A. Except as otherwise provided, CITY may terminate this Agreement at any
time with or without cause.
B. CONSULTANT may terminate this Agreement at any time with CITY's
mutual consent. Notice will be in writing at least thirty (30) days before the
effective termination date.
C. Upon receiving a termination notice, CONSULTANT will immediately cease
performance under this Agreement unless otherwise provided in the
termination notice. Except as otherwise provided in the termination notice,
any additional work performed by CONSULTANT after receiving a
termination notice will be performed at CONSULTANT's own cost; CITY will
not be obligated to compensate CONSULTANT for such work.
D. Should termination occur, all finished or unfinished documents, data,
studies, surveys, drawings, maps, reports and other materials prepared by
CONSULTANT will, at CITY's option, become CITY's property, and
CONSULTANT will receive just and equitable compensation for any work
satisfactorily completed up to the effective date of notice of termination, not
to exceed the total costs under Section 1(C).
E. Should the Agreement be terminated pursuant to this Section, CITY may
procure on its own terms services similar to those terminated.
F. By executing this document, CONSULTANT waives any and all claims for
damages that might otherwise arise from CITY's termination under this
Section.
16.OWNERSHIP OF DOCUMENTS. All documents, data, studies, drawings, maps,
models, photographs and reports prepared by CONSULTANT under this Agreement are
CITY's property. CONSULTANT may retain copies of said documents and materials as
desired but will deliver all original materials to CITY upon CITY's written notice. CITY
agrees that use of CONSULTANT's completed work product, for purposes other than
identified in this Agreement, or use of incomplete work product, is at CITY's own risk.
17. PUBLICATION OF DOCUMENTS. Except as necessary for performance of service
under this Agreement, no copies, sketches, or graphs of materials, including graphic art
work, prepared pursuant to this Agreement, will be released by CONSULTANT to any
City of El Segundo Professional Services
Page 4 of 11
Page 32 of 127
Agreement No. 6379
other person or public CITY without CITY's prior written approval. All press releases,
including graphic display information to be published in newspapers or magazines, will
be approved and distributed solely by CITY, unless otherwise provided by written
agreement between the parties.
18.INDEMNIFICATION.
A. CONSULTANT agrees to the following:
Indemnification for Professional Services. CONSULTANT will
save harmless and indemnify and at CITY's request reimburse
defense costs for CITY and all its officers, volunteers,
employees and representatives from and against any and all
suits, actions, or claims, of any character whatever, brought for,
or on account of, any injuries or damages sustained by any
person or property resulting or arising from any negligent or
wrongful act, error or omission by CONSULTANT or any of
CONSULTANT's officers, agents, employees, or
representatives, in the performance of this Agreement, except
for such loss or damage arising from CITY's sole negligence or
willful misconduct.
ii. Indemnification for other Damages. CONSULTANT indemnifies
and holds CITY harmless from and against any claim, action,
damages, costs (including, without limitation, attorney's fees),
injuries, or liability, arising out of this Agreement, or its
performance, except for such loss or damage arising from
CITY's sole negligence or willful misconduct. Should CITY be
named in any suit, or should any claim be brought against it by
suit or otherwise, whether the same be groundless or not,
arising out of this Agreement, or its performance,
CONSULTANT will defend CITY (at CITY's request and with
counsel satisfactory to CITY) and will indemnify CITY for any
judgment rendered against it or any sums paid out in settlement
or otherwise.
B. For purposes of this section "CITY" includes CITY's officers, officials,
employees, agents, representatives, and certified volunteers.
C. It is expressly understood and agreed that the foregoing provisions will
survive termination of this Agreement.
D. The requirements as to the types and limits of insurance coverage to be
maintained by CONSULTANT as required by Section 22, and any approval
of said insurance by CITY, are not intended to and will not in any manner
City of El Segundo Professional Services
Page 5 of 11
Page 33 of 127
Agreement No. 6379
limit or qualify the liabilities and obligations otherwise assumed by
CONSULTANT pursuant to this Agreement, including, without limitation, to
the provisions concerning indemnification.
19.ASSIGNABILITY. This Agreement is for CONSULTANT's professional services.
CONSULTANT's attempts to assign the benefits or burdens of this Agreement without
CITY's written approval are prohibited and will be null and void.
20.INDEPENDENT CONTRACTOR. CITY and CONSULTANT agree that
CONSULTANT will act as an independent contractor and will have control of all work and
the manner in which it is performed. CONSULTANT will be free to contract for similar
service to be performed for other employers while under contract with CITY.
CONSULTANT is not an agent or employee of CITY and is not entitled to participate in
any pension plan, insurance, bonus or similar benefits CITY provides for its employees.
Any provision in this Agreement that may appear to give CITY the right to direct
CONSULTANT as to the details of doing the work or to exercise a measure of control
over the work means that CONSULTANT will follow the direction of the CITY as to end
results of the work only.
21.AUDIT OF RECORDS. CONSULTANT will maintain full and accurate records with
respect to all services and matters covered under this Agreement. CITY will have free
access at all reasonable times to such records, and the right to examine and audit the
same and to make transcript therefrom, and to inspect all program data, documents,
proceedings and activities. CONSULTANT will retain such financial and program service
records for at least three (3) years after termination or final payment under this
Agreement.
22.INSURANCE.
A. Before commencing performance under this Agreement, and at all other
times this Agreement is effective, CONSULTANT will procure and maintain
the following types of insurance with coverage limits complying, at a
minimum, with the limits set forth below:
Tie of Insurance
Commercial general liability. -
Professional Liability
Business automobile liability
Workers compensation
Limits
$2,000,000
$1,000,000
$1,000,000
Statutory requirement
B. Commercial general liability insurance will meet or exceed the requirements
City of El Segundo Professional Services
Page 6 of 11
Page 34 of 127
Agreement No. 6379
of the most recent ISO-CGL Form. The amount of insurance set forth above
will be a combined single limit per occurrence for bodily injury, personal
injury, and property damage for the policy coverage. Liability policies will be
endorsed to name CITY, its officials, and employees as "additional
insureds" under said insurance coverage and to state that such insurance
will be deemed "primary" such that any other insurance that may be carried
by CITY will be excess thereto. Such endorsement must be reflected on
ISO Form No. CG 20 10 11 85 or 88, or equivalent. Such insurance will be
on an "occurrence," not a "claims made," basis and will not be cancelable
or subject to reduction except upon thirty (30) days prior written notice to
CITY.
C. Professional liability coverage will be on an "occurrence basis" if such
coverage is available, or on a "claims made" basis if not available. When
coverage is provided on a "claims made basis," CONSULTANTwill continue
to renew the insurance for a period of three (3) years after this Agreement
expires or is terminated. Such insurance will have the same coverage and
limits as the policy that was in effect during the term of this Agreement and
will cover CONSULTANT for all claims made by CITY arising out of any
errors or omissions of CONSULTANT, or its officers, employees or agents
during the time this Agreement was in effect.
D. Automobile coverage will be written on ISO Business Auto Coverage Form
CA 00 01 06 92, including symbol 1 (Any Auto).
E. CONSULTANT will furnish to CITY duly authenticated Certificates of
Insurance evidencing maintenance of the insurance required under this
Agreement and such other evidence of insurance or copies of policies as
may be reasonably required by CITY from time to time. Insurance must be
placed with insurers with a current A.M. Best Company Rating equivalent
to at least a Rating of "A:VII."
F. Should CONSULTANT, for any reason, fail to obtain and maintain the
insurance required by this Agreement, CITY may obtain such coverage at
CONSULTANT's expense and deduct the cost of such insurance from
payments due to CONSULTANT under this Agreement or terminate
pursuant to Section 155.
23. USE OF SUBCONTRACTORS. CONSULTANT must obtain CITY's prior written
approval to use any consultants while performing any portion of this Agreement. Such
approval must approve of the proposed consultant and the terms of compensation.
24.INCIDENTAL TASKS. CONSULTANT will meet with CITY monthly to provide the
status on the project, which will include a schedule update and a short narrative
City of El Segundo Professional Services
Page 7 of 11
Page 35 of 127
Agreement No. 6379
description of progress during the past month for each major task, a description of the
work remaining and a description of the work to be done before the next schedule update.
25. NOTICES. All communications to either party by the other party will be deemed made
when received by such party at its respective name and address as follows:
If to CONSULTANT:
Dennis Grubb and Associates, LLC
6560 Van Buren Blvd, Ste B
Riverside, CA 92503
Attention: Dennis Grubb
Phone: 951-772-0007
Email: Dennis@DGAssociates.org
If to CITY:
City of El Segundo
350 Main Street
El Segundo, CA
Attention: Nicole Pesqueira, Fire Marshal
Phone: 310-524-2239
Email: npesqueira@elsegundo.org
Any such written communications by mail will be conclusively deemed to have been
received by the addressee upon deposit thereof in the United States Mail, postage
prepaid and properly addressed as noted above. In all other instances, notices will be
deemed given at the time of actual delivery. Changes may be made in the names or
addresses of persons to whom notices are to be given by giving notice in the manner
prescribed in this paragraph.
26. CONFLICT OF INTEREST. CONSULTANT will comply with all conflict of interest laws
and regulations including, without limitation, CITY's conflict of interest regulations.
27. SOLICITATION. CONSULTANT maintains and warrants that it has not employed nor
retained any company or person, other than CONSULTANT's bona fide employee, to
solicit or secure this Agreement. Further, CONSULTANT warrants that it has not paid nor
has it agreed to pay any company or person, other than CONSULTANT's bona fide
employee, any fee, commission, percentage, brokerage fee, gift or other consideration
contingent upon or resulting from the award or making of this Agreement. Should
CONSULTANT breach or violate this warranty, CITY may rescind this Agreement without
liability.
28. THIRD PARTY BENEFICIARIES. This Agreement and every provision herein is
generally for the exclusive benefit of CONSULTANT and CITY and not for the benefit of
any other party. There will be no incidental or other beneficiaries of any of
CONSULTANT's or CITY's obligations under this Agreement.
29.INTERPRETATION. This Agreement was drafted in and will be construed in
accordance with the laws of the State of California, and exclusive venue for any action
involving this agreement will be in Los Angeles County.
City of El Segundo Professional Services
Page 8 of 11
Page 36 of 127
Agreement No. 6379
30. COMPLIANCE WITH LAW. CONSULTANT agrees to comply with all federal, state,
and local laws applicable to this Agreement.
31. ENTIRE AGREEMENT. This Agreement, and its Exhibit(s), sets forth the entire
understanding of the parties. There are no other understandings, terms or other
agreements expressed or implied, oral or written. This Agreement will bind and inure to
the benefit of the parties to this Agreement and any subsequent successors and assigns.
32. RULES OF CONSTRUCTION. Each Party had the opportunity to independently
review this Agreement with legal counsel. Accordingly, this Agreement will be construed
simply, as a whole, and in accordance with its fair meaning; it will not be interpreted strictly
for or against either Party.
33. SEVERABILITY. If any portion of this Agreement is declared by a court of competent
jurisdiction to be invalid or unenforceable, then such portion will be deemed modified to
the extent necessary in the opinion of the court to render such portion enforceable and,
as so modified, such portion and the balance of this Agreement will continue in full force
and effect.
34. AUTHORITY/MODIFICATION. The Parties represent and warrant that all necessary
action has been taken by the Parties to authorize the undersigned to execute this
Agreement and to engage in the actions described herein. This Agreement may be
modified by written amendment.
35. ACCEPTANCE OF ELECTRONIC SIGNATURES. The Parties agree that this
Agreement, agreements ancillary to this Agreement, and related documents to be entered
into in connection with this Agreement will be considered signed when the signature of a
party is delivered by electronic (pdf) or facsimile transmission. Such electronic or
facsimile signature will be treated in all respects as having the same effect as an original
signature.
36. CAPTIONS. The captions of the paragraphs of this Agreement are for convenience of
reference only and will not affect the interpretation of this Agreement.
37. TIME IS OF ESSENCE. Time is of the essence for each and every provision of this
Agreement.
38. FORCE MAJEURE. Should performance of this Agreement be prevented due to fire,
flood, explosion, acts of terrorism, war, embargo, government action, civil or military
authority, the natural elements, or other similar causes beyond the Parties' reasonable
control, then the Agreement will immediately terminate without obligation of either party
to the other.
39. STATEMENT OF EXPERIENCE. By executing this Agreement, CONSULTANT
represents that it has demonstrated trustworthiness and possesses the quality, fitness
City of El Segundo Professional Services
Page 9 of 11
Page 37 of 127
Agreement No. 6379
and capacity to perform the Agreement in a manner satisfactory to CITY. CONSULTANT
represents that its financial resources, surety and insurance experience, service
experience, completion ability, personnel, current workload, experience in dealing with
private consultants, and experience in dealing with public agencies all suggest that
CONSULTANT is capable of performing the proposed contract and has a demonstrated
capacity to deal fairly and effectively with and to satisfy a public CITY.
[Signatures on next page]
City of El Segundo Professional Services
Page 10 of 11
Page 38 of 127
Agreement No. 6379
IN WITNESS WHEREOF the parties hereto have executed this Agreement the
day and year first hereinabove written.
C F EL SEG DO
- a
Darrell George,
Interim City Manager
ATTE
'F0
Tracy We er,
City Clerk
APPROVED AS TO FORM:
MARK q. HENSLEY, CITY ATTORNEY
Joaqui Vazquez,
DepuN pity Attorney
City of El Segundo Professional Services
Page 11 of 11
rCAWA
Dennis Grubb and Associates, LLC
President
Taxpayer ID No. 20-8680376
CA Entity #: 200704410104
Page 39 of 127
Agreement No. 6379
*lot
Dennis Grubb and Associates, LLC
Assisfin,, Cities Build Safi Communities
a�Fer+
May 5, 2022 EXHIBIT "A"
El Segundo Fire Department
Attn: Fire Marshal Nicole Pesqueira
314 Main St
El Segundo, CA. 90245
Subject: Fire Plan Check Proposal
Dear Fire Marshal Pesqueira
Dennis Grubb & Associates, LLC (DGA) is pleased to submit this proposal to provide
professional Fire Plan Review and Inspection Services to El Segundo Fire Department.
This proposal outlines all the elements that make DGA a high -quality solution to the El
Segundo Fire Department's needs, including our experienced personnel and our range
of Fire Prevention services.
The following characteristics make Dennis Grubb & Associates, LLC uniquely qualified
to service the El Segundo Fire Department:
➢ Experienced plan review with specific technical skills in fire code application
➢ DGA specializes exclusively in fire life safety plan review
➢ DGA does not do any design work so that there is never a conflict of interest with
the clients that submit plans for review
➢ Electronic plan review capability utilizing Bluebeam software
➢ We are associates are well -versed in local, regional and state policies and
practices
➢ Associates possess core business skills including strong verbal & written
communication skills, professionalism & teamwork, proficiency in MS Office,
Outlook, Windows and a variety of fire prevention software packages
➢ Competitive fees
6560 Van Buren Blvd, Ste B, Riverside, CA. 92503
(800) 975-7395 * (951)772-0007
Page 40 of 127
Agreement No. 6379
➢ Excellent references, see Attachment 1
DGA Qualifications
Our associates each have 20+ years direct fire plan review experience working directly
with Public Fire Agencies. All of our plan examiners are [CC Certified Fire Plans
Examiners
DGA possess the certifications and qualifications required and are highly experienced in
the use and content of all California Building Standards Codes (DGA resumes can be
provided upon request)
All associates are proficient in
Fire Sprinklers
• Fire Alarm and Monitoring Systems
Underground Water Supply
Fire Pumps
• Special, clean agent system
Commercial Cooking fire protection
• High Piled Storage
a Above and Below Ground Tank Storage
Y Refueling Station
Hazardous Material
Combustible Dust
e Battery Systems
a Compressed Gas Systems (Medical, Industrial)
7 Smoke Control
• Chemical Classification
a Architectural (all occupancies including high-rise)
a Leak Detection Systems
Enhanced Radio Communication Systems
Scope of Work
• Transfer plans to and from El Segundo Fire Department with the use a courier/mail
service (at the expense of DGA) within the stated turnaround time.
• Verify plan compliance with adopted state & local codes/ordinances including
updates
• Communicate corrections with applicant and El Segundo Fire Department as
directed
• Stamp plans in a manner as directed by the El Segundo Fire Department.
• Be available for phone calls or in -person meetings with El Segundo Fire Department
as
needed
6560 Van Buren Blvd, Ste B, Riverside, CA. 92503
(800) 975-7395 * (951)772-0007
Page 41 of 127
Agreement No. 6379
Assist with adopting and administering the Fire Code as needed.
Plan review to ensure compliance with all applicable codes.
Provide input to the Planning Department for new development and provide project
specific conditions as applicable.
Review and provide response to Fire Code alternate means & methods/practical
difficulty requests after consultation with the Fire Marshal.
• Other duties as needed and agreed to between DGA and the El Segundo Fire
Department.
Plan Turnaround Plan Review Times:
• Initial review — 10 city business days from time of receipt
• Resubmittals — 7 city business days from time of receipt
• Expedite Request — 3 Business days from time of receipt
Fees:
Plan Review
DGA fees are based on a flat fee. The fee is for the first and second plan check and
includes the plan review, administrative work, and shipping. If additional review/s are
required there is a flat fee per submittal (outlined below):
FD Access $370
Alarm System $360
Sprinkler System — TI $305
Sprinkler — TI with calculations $375
Sprinkler System — New $500
Additional Riser/Floor Control in Same Building $170
Underground $475
Fire Pump $550
Standpipe System $250
Engineered System (H&D, Clean Agent, etc) per System $290
Special System/ Process (HPS, AST, UST, Spray Booth etc.) ea $400
Hazardous Material Disclosure $840
Smoke Control $800
Architectural- TI $390
Architectural- New $630
Architectural — New > 2-story or R-1/R-2 with more than 50 units $710
Architectural — High Rise (Buildings >75') $1475
Note: Architectural review is per building
6560 Van Buren Blvd, Ste B, Riverside, CA. 92503
(800) 975-7395 * (951)772-0007
Page 42 of 127
Agreement No. 6379
Development Review (CUP, Tract Map, Etc.)
Revision
Additional Reviews (Past 2nd)
Expedite Plan Check (per submittal)
Time & Material (Hourly Rate)
$370
$220
$220
$200
$130
This proposal is valid, binding, and capable of acceptance by the El Segundo Fire
Department for 90 days from the date of submittal. We look forward to building a
relationship with El Segundo Fire Department and we welcome any request to provide
further information regarding our qualifications to perform these services. Should you
have any questions or need additional information you can contact me directly at (951)
218-5482.
Dennis J. Grubb, CFPE
President
6560 Van Buren Blvd, Ste B, Riverside, CA. 92503
(800) 975-7395 * (951)772-0007
Page 43 of 127
Agreement No. 6379
Attachment 1
Ccity Of
Carlsbad
March 23, 2022
To whom it may concern.
Subject: Letter of Recommendation for Dennis Grubb & Associates
Dear Sirs,
I would like to take this opportunity to highly recommend Dennis Grubb & Associates
(DGA) as a consulting plan review firm for Fire Services.
DGA has worked for the Carlsbad Fire Department for the past 7 years and serves as our
primary plan review firm. The quality of their review process, as well as the customer
service that they provide to our city and our applicants, is well above all other firms that I
have worked with over the past 14 years. The service levels that they provide allowed me
to make the decision to transition our entire plan review process away from an in-house
service to a third party service without any concerns that would negatively affect the
development process. DGA continually goes the extra mile for my fire department and the
personal relationship that Dennis provides assures me that I can always reach out to him if
I have any questions or concerns.
As the Fire Marshal, I have selected DGA to work for me for two different cities now over
the past 14 years. They continue to be the only plan review fine in Southern California
that only services the fire service, and the professionalism of his associates is superior to
all other firms that I have used. The full service approach that he takes to our contract is
something that I have yet to experience with any other firm and I will highly recommend
DGA to any fire agency that is seeking to out -source their plan review process.
If you would like to discuss DGA's qualifications further, please feel free to contact me at
(626) 536-6677.
Sincerely,
dec'_'� /�t
Randall Metz, EFO, CFO, FM, MIFireE
Division - Fire Marshal
Carlsbad Fire Department
Fire Department
Fire Prevention 1635 Faraday Ave. I Carlsbad, CA 92008 1 760-602-4660 1 www.carlsbadca.gov
6560 Van Buren Blvd, Ste B, Riverside, CA. 92503
(800) 975-7395 * (951)772-0007
Page 44 of 127
Agreement No. 6379
CITY OF PERRIS
DE'V71 PMENT SERVICES DEPARTMENT
WILDING DIVISION
135 N `D- Sava s. Perris. CA 92570.2200
TEL- (BSI ) %3-9W FAX: I"I I %341UM
March 21, 2022
I'o Whom 1t May Concem,
Dennis Grubb & Associstes has been providing excellent and timely fire plan review services and
staff Review Comments for Planning Entitlement cases for the City of Perris since 2005. To this day
Dennis aid his staff have provided excellent technical expertise, professional service and
demonsvated sound judgment in executing their duties and responsibilities.
In my experience, Dennis Grubb and Assocuscs anewicm to detail has helped identify and mitigate
problems quickly, resulting in conrisl, expedwrte tum around tkmefrrmrres. In addition, I also consider
Mr. Grubb to he an excellent resource by drawing fray his extensive knowledge and experience
whenever technical code interlNtwion is sought
We look forward io a successful, continued reiatims* with Dermis Grubb and Associates.
S incatlY,
Davld11�4m�rrrt� �
Fire Marshot,.
City of Ptrris
6560 Van Buren Blvd, Ste B, Riverside, CA. 92503
(800) 975-7395 * (951)772-0007
Page 45 of 127
Agreement No. 6379
11
kit City of Loma Linda Fire Department
Community Risk Reduction Division
To Whom It May Concern -
Phis is my professional recommendation for Dennis Grubb of Dennis Grubb and
Associate.% I.I.C. Dennis Grubb is currently a fire plan check consultant for the City of
Loma Linda Fin Department and had provided these services to the Fire Department
since June ol'2018.
Over the past months. the City of Loma Linda has cxpencnced unprecedented growth
with the new construction and tenant improvements. With current projects, and numerous
completed projects. Dennis has not only met, but cxcco&d all cxpcctations and
requirements of his current Professional Services Agreement with the City.
Dennis has been very responsive and has always made himself available for training.
questions. or clarifications on any issues. With over 23 years' experience in doing Fine
plan checks for multiple cities, Dcrutis has built relationships with numerous
professionals in a multitude of related fields. As the Fire Marshal, I have bcncfittcd
immensely from this vaw network of knowledge as Dennis has also helped me to stait
building rapport and rclulionships with Iltcsc professionals which in turn has provided
further value and depth to this agreement_
Dennis's knowledge and attention to detail on construction and fire code requirements on
plan checks has proven invaluable not only to the Fire Department, but also to the
contractors and developers that we wort; with daily. Since June of 2018. our ability to
provide out_i waling customer service lun incrcumA greatly with the assistance of Dermis
and his firm and 1 look forward to our continued work together.
Please feel free to contact me if you have any questions, or require further information
I'om Ingalls
Dire Marshal
25541 mamm Itnad. I urna Linch. CA 92154 r (909) 799-2850 Tax (909) 799-2891
6560 Van Buren Blvd, Ste B, Riverside, CA. 92503
(800) 975-7395 * (951)772-0007
Page 46 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Consent
Item Number: B.7
TITLE:
Notice of Completion of Sidewalk Construction Project for 400 West Mariposa Avenue
and 300 West Pine Avenue
RECOMMENDATION:
Accept the construction of Sidewalk Project at 400 W. Mariposa Avenue and 300
W. Pine Avenue, Project No. PW 21-07, by Gentry General Engineering as
complete; and
2. Authorize the City Clerk to file a Notice of Completion with the County Recorder's
Office.
3. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
The fiscal impact of the project is $206,496.86 to Measure M local return fund.
Amount Budgeted: $260,000
Additional Appropriation: None
Account Number: 127-400-0000-8382 (Measure M)
BACKGROUND:
On April 19, 2022, City Council awarded a standard Public Works Contract to Gentry
General Engineering, Inc. in the amount of $220,010.61 and approved a construction
contingency amount of $20,000 to remove trees and install new sidewalk, retaining wall,
stairs, and handrail as needed on the south side of the 400 Block of W. Mariposa
Avenue and the south side of the 300 Block of W. Pine Avenue. There were not any
existing sidewalks at these locations prior to this construction.
DISCUSSION:
Page 47 of 127
Notice Completion of Sidewalk Project
October 18, 2022
Page 2 of 2
Gentry General Engineering, Inc. began construction on June 6, 2022 and completed it
by 8/19/22. The project was completed in accordance with the plans and specifications and to the
City's satisfaction. The project was completed within budget and unspent funds will be
returned to source for future projects.
Staff recommends that City Council approve the recommended actions as noted.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 1: Enhance Customer Service, Diversity, Equity, Inclusion and Communication
Objective 1A: El Segundo provides unparalleled service to all customers.
Goal 4: Develop and Maintain Quality Infrastructure and Technology
Objective 4A: El Segundo's physical infrastructure supports an inviting and safe
community.
PREPARED BY:
Floriza Rivera, Principal Civil Engineer
REVIEWED BY:
Elias Sassoon, Public Works Director
APPROVED BY:
Barbara Voss, Deputy City Manager
ATTACHED SUPPORTING DOCUMENTS:
1. Vicinity Map PW 21-07
2. Location Map PW 21-07
3. Notice of Completion PW 21-07
4. Before and After Pictures PW 21-07
Page 48 of 127
Vicinity Map
L>EUND° W Mariposa and W. Pine Ave Sidewalk Installation Project
a
_..4Y.122peFial Hw I ..—.._----- —..� ---- ----- W Impe0al "vv
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3,009.3 1 1 0 1,504.66 3,009.3 Feet DISCLAIMER: The information shown on this map was compiled from different GIS
sources. The land base and facility information on this map is for display purposes only
and should not be relied upon without independent verification as to its accuracy. The City
of El Segundo will not be held responsible for any claims, losses or damages resulting
WGS_1984_Web—Mercator _Auxiliary_Sphere from the use of this map.
Page 49 of 127
Location Map
1. EE�Un° W Mariposa Ave. and W. Pine Ave. Sidewalk Installation Project
P+tlfll�=
U ho Saari
Swim
Stadium
_
W Mariposa Ave
=
W Maripasa Ave t
T
m
GO
a
r=
W Hine Ave
1M Pine Avc
T
N
Q
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v
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—-7
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;76.2 0 188.08 376.2 Feet DISCLAIMER: The information shown on this map was compiled from different GIS
sources. The land base and facility information on this map is for display purposes only
and should not be relied upon without independent verification as to its accuracy. The City
of El Segundo will not be held responsible for any claims, losses or damages resulting
VGS_1984_Web_Mercator_Auxiliary_Sphere from the use of this map.
Legend
- City Boundary
400 Block W. Mariposa Ave.
1.
Tree removals
2.
New sidewalk and curb
3.
New retaining wall
4.
New stairs and
handrails
300 Block W. Pine Ave.
1. Tree removals
2. New sidewalk and curb
3. New parkway
4. Replacement City trees
Notes
Recording Requested by
and When Recorded Mail To:
City Clerk, City Hall
350 Main Street
El Segundo, CA 90245
NOTICE OF COMPLETION OF CONSTRUCTION PROJECT
Project Name: 400 Block W. Mariposa Ave. and 300 Block W. Pine Ave. Sidewalk Installation Project
Project No.: PW 21-07 Contract No. 6340
Notice is hereby given pursuant to State of California Civil Code Section 3093 et seq that:
1. The undersigned is an officer of the owner of the interest stated below in the property
hereinafter described.
2. The full name of the owner is: City of El Segundo
3. The full address of the owner is: 350 Main Street in El Segundo, CA, 90245
4. The nature of the interest of the owner is: Public Right -of -Way
5. A work of improvement on the property hereinafter described was field reviewed by the
City Engineer on August 19, 2022. The work done was: removal of trees, construction of
new sidewalk and parkway, construction of a block wall, and construction of three
walkway stairs with railings.
6. On October 18, 2022, City Council of the City of El Segundo accepted the work of this
contract as being complete and directed the recording of this Notice of Completion in the
Office of the County Recorder.
7. The name of the Contractor for such work of improvement was: Gentry General Engineering, Inc.
8. The property on which said work of improvement was completed is in the City of El
Segundo, County of Los Angeles, State of California, and is described as follows: the
south sides of the public right-of-way of both the 400 Block of W. Mariposa Ave. and the
300 Block of W. Pine Ave. in El Segundo, CA, 90245.
9. The street address of said property is: Public right-of-way on W. Mariposa Ave. in front of
543 Virginia St., and public right-of-way on W. Pine Ave. in front of 442 Virginia St. and
443 Concord St.
Dated:
Elias Sassoon
Public Works Director
VERIFICATION
I, the undersigned, say: I am the Director of Public Works/City Engineer of the City El Segundo, the
declarant of the foregoing Notice of Completion; I have read said Notice of Completion and know the
contents thereof; the same is true of my own knowledge.
I declare under penalty of perjury the foregoing is true and correct.
Executed on , 2022 at El Segundo, California. 90245
Elias Sassoon
Public Works Director
Page 51 of 127
PW 21-07 400 Block W. Mariposa Ave. and 300 Block W. Pine Ave. Sidewalk Installation
Project, Before and After Pictures
Before: 400 Block W. Mariposa Ave.,
looking west
Before: 300 Block W. Pine Ave., looking
west from Concord St.
Before: 300 Block W. Pine Ave., looking
east from Virginia St.
After:
After:
After:
Page 52 of 127
Give} City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Consent
Item Number: B.8
TITLE:
Second Reading of Ordinance Adding Chapter 13-33 to the El Segundo Municipal Code
to Establish a Regulatory Program Allowing for Reasonable City Cost Recovery for
Excessive False Alarms Responses
RECOMMENDATION:
1. Waive the second reading and adopt the Ordinance adding Chapter 13-33 to the
El Segundo Municipal Code.
2. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
The proposed Ordinance would enable the City's cost recovery for excessive fire false
alarm calls. The El Segundo Fire Department ("ESFD") will present a fee resolution on
October 18, 2022 (or as soon thereafter as may be considered) to the City Council to
modify an existing false alarm fee that ESFD included with the recently adopted Master
Fee Schedule. The adopted fee allowed the City to collect ESFD costs after three false
alarms, but the proposed amendment will conform with the Ordinance to allow City cost
recovery after the first two false alarms. City staff anticipates the Ordinance will cause
most alarm system owners to be more responsible in maintaining their systems in
proper working order, requiring a lower number of responses. Pursuant to California
Constitution article XIIIC, § 1(e)(3), the fees authorized through the Ordinance do not
constitute a "tax" as they concern City regulation enforcement and investigation
performance associated with a regulatory program.
BACKGROUND:
California Constitution article XIIIC, § 1(e)(3) exempts from the definition of a "tax,"
municipal fees imposed to recover the City's regulatory activity costs that is part of a
regulatory program. ESFD proposes the City Council's adoption of the proposed
Ordinance to establish a program regulating fire alarms and enabling the City's cost
recovery or reasonable costs incurred in responding to excess fire alarms (i.e., more
Page 53 of 127
False Fire Alarm Ordinance
October 18, 2022
Page 2 of 3
than two false alarms in a calendar year).
DISCUSSION:
Timely response to reported emergencies is one of the most valuable services provided
by the ESFD. Prompt response to fire alarms is a service reasonably expected for the
protection and well-being of the entire community, and ESFD's responds to such alarms
as reports of emergencies.
A false alarm is defined as the activation of an alarm when an emergency does not
exist. From 2021 to 2022, the ESFD is seeing an increasing number of false alarms. In
2021, there were 317 false alarm calls and there have been 264 false alarm calls so far
in 2022 (January 1- September 1, 2022). To help recover the City's reasonable costs
associated with responding to such calls and to encourage alarm system owners to be
more responsive in maintaining their systems in proper working order, the ESFD is
proposing a fee to be charged on the third false alarm call and each subsequent call -out
at the same address in the calendar year.
Any person may receive two responses to false alarms without charge. Third and
subsequent responses in the same calendar year will be billed at the costs determined
by the City of El Segundo Fee Schedule. Activation due to weather, or to power outages
is not considered billable within the scope of this policy.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 2: Support Community Safety and Preparedness
Objective: El Segundo is a safe and prepared city.
Goal 5: Champion Economic Development and Fiscal Sustainability
Objective 513: El Segundo approaches its work in a financially strategic and responsible
way.
PREPARED BY:
Nicole Pesqueira, Fire Marshal
REVIEWED BY:
Deena Lee, Fire Chief
APPROVED BY:
Barbara Voss, Deputy City Manager
ATTACHED SUPPORTING DOCUMENTS:
El Segundo False Fire Alarm Ordinance
Page 54 of 127
ORDINANCE NO.
AN ORDINANCE AMENDING EL SEGUNDO MUNICIPAL CODE
TITLE 13 TO ADD A NEW CHAPTER 22 TO ENABLE CITY COST
RECOVERY FOR EXCESSIVE FALSE FIRE ALARMS.
THE CITY COUNCIL OF THE CITY OF EL SEGUNDO DOES ORDAIN AS
FOLLOWS:
SECTION 1. El Segundo Municipal Code ("ESMC") Title 13 (Building
Regulations) is amended to add Chapter 22 (False Fire Alarms) to read as follows:
liia:/_1i94Zw*A
FALSE FIRE ALARMS
13-22-1 Purpose.
This chapter is adopted in accordance with California Constitution article XI, § 7
to protect public health, safety, and well-being by reducing the waste of City Fire
Department resources in responding to excess false fire alarms and establishing
a mechanism for reasonable City cost recovery to safeguard City resources.
Pursuant to California Constitution article XI IIC, § 1(e)(3), the fees authorized in
this chapter do not constitute a "tax" as they concern City regulation enforcement
and investigation performance associated with a regulatory program.
13-22-2 Definitions.
For purposes of this chapter:
A. "Alarm" means the giving, signaling, or transmission to the Department, or any
Department employee or designee, whether by telephone, e-mail, or other
medium, information to the effect that a fire or emergency situation exists at or
near the place indicated by the person giving, signaling, or transmitting such
information.
B. "Automatic fire sprinkler system" means an integrated system of underground
and overhead piping designed in accordance with fire protection standards that
is activated by hear from fire, or other similar mechanism, and discharges water
over the fire area.
C. "Chief' means the El Segundo Fire Department Chief.
D. "Department" means the El Segundo Fire Department.
E. "False alarm" means an alarm requiring Department response where a fire or
emergency situation does not exist.
Page 1 of 4
Page 56 of 127
City of El Segundo
Ordinance No.
Page 2 of 4
F. "Fire alarm system" means a system designed to detect and announce the
presence of fire or fire byproducts.
G. "Notice" means written notice, given by personal service upon the addressee, or
given by the United States mail, postage prepaid, addressed to the person to be
notified. at the last known address. Service of such notice will be effective upon
the completion of personal service, or upon the placing of the same in the
custody of the United States Postal Service.
H. "Person" means any company, firm, partnership, limited liability company, joint
venture, unincorporated organization, corporation, corporation, government
agency, or natural person.
13-22-4 Alarm Registration.
Any person that owns or operates a business in the City must notify the Department of
any installation of any automatic fire sprinkler system or fire alarm system. Such notice
must be in writing, delivered to the City within 10 days of installation, and include the
following information: name, address, and telephone number of the associated alarm
business or its agent and the name, address, and telephone number of the best contact
person for the business.
13-22-4 Alarm Testing.
A person must notify the Department at least 24 hours prior to any service, test, repair,
maintenance, adjustment, alterations, or installations of an automatic fire sprinkler
system or fire alarm system that may activate a false alarm. Any alarm activated where
such prior notice has not been duly given to the Department will constitute a false alarm
for this chapter's purposes.
13-22-5 Fees Imposed.
The owner or lessee of any premises containing an automatic fire sprinkler system or
fire alarm system will be assessed a fee under this chapter for each false alarm more
than two, occurring within any calendar year.
13-22-6 City Council Sets Fees.
The City Council will, by resolution, establish the amount of all fees imposed under this
chapter.
13-22-7 Fee Collection.
It is the Department's duty to collect fees pursuant to this chapter."
Page 57 of 127
City of Ell Segundo
Ordinance No.
Page 3 of 4
SECTION 2. Environmental Review. This Ordinance was reviewed pursuant to the
California Environmental Quality Act (Public Resources Code §§ 21000, et seq., "CEQA")
and the regulations promulgated thereunder (14 Cal. Code of Regulations §§15000, et
seq., the "CEQA Guidelines"). Based upon that review, this Ordinance is exempt from
further review pursuant to CEQA Guidelines §15061(b)(3) because it can be seen with
certainty that there is no possibility that the Ordinance may have a significant effect on
the environment.
SECTION 3. Electronic Signatures. This Ordinance may be executed with
electronic signatures in accordance with Government Code §16.5. Such electronic
signatures will be treated in all respects as having the same effect as an original signature.
SECTION 4. Construction. This Ordinance must be broadly construed to achieve
the purposes stated in this Ordinance. It is the City Council's intent that the provisions of
this Ordinance be interpreted or implemented by the City and others in a manner that
facilitates the purposes set forth in this Ordinance.
SECTION 5. Enforceability. Repeal or amendment of any provision of the ESMC
will not affect any penalty, forfeiture, or liability incurred before, or preclude prosecution
and imposition of penalties for any violation occurring before this Ordinance's effective
date. Any such repealed part will remain in full force and effect for sustaining action or
prosecuting violations occurring before the effective date of this Ordinance.
SECTION 6. Severability. If any part of this Ordinance or its application is deemed
invalid by a court of competent jurisdiction, the city council intends that such invalidity will
not affect the effectiveness of the remaining provisions or applications and, to this end,
the provisions of this Ordinance are severable.
SECTION 7. Recording. The City Clerk is directed to certify the passage and
adoption of this Ordinance; cause it to be entered into the city of El Segundo's book of
original ordinances; make a note of the passage and adoption in the records of this
meeting; and, within 15 days after the passage and adoption of this Ordinance, cause it
to be published or posted in accordance with California law.
SECTION 8. Execution. The Mayor, or presiding officer, is hereby authorized to
affix his signature to this Ordinance signifying its adoption by the City Council of the City
of El Segundo, and the City Clerk, or duly appointed deputy, is directed to attest thereto.
SECTION 9. Effectiveness. This Ordinance will take effect on the 30th day
following its final passage and adoption. It may be enforced commencing on January 1,
2022.
ORDINANCE NO. HAD ITS FIRST READING ON , ITS
SECOND READING ON , AND WAS DULY PASSED, APPROVED,
Page 58 of 127
City of Ell Segundo
Ordinance No.
Page 4 of 4
AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF EL SEGUNDO AT ITS
REGULAR MEETING OF
Drew Boyles, Mayor
ATTEST:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, CITY ATTORNEY
Joaquin Vazquez, Deputy City Attorney
Page 59 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Consent
Item Number: B.9
TITLE:
Resolution Allowing Continued Teleconferenced Public Meetings
RECOMMENDATION:
1. Approve the proposed resolution to continue the City's utilization of relaxed
teleconferencing requirements under the Brown Act.
2. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
The proposed action would have no significant fiscal impact on the General Fund.
BACKGROUND:
Assembly Bill No. 361 ("AB 361 ") amended certain provisions of the Ralph M. Brown
Act governing open meetings to allow teleconferencing, including internet-based video
conferencing, in a manner similar to previously -issued gubernatorial executive orders.
AB 361 allows a legislative body to continue utilizing teleconferencing to conduct public
meetings under certain circumstances, provided it makes certain findings outlined in
Government Code § 54953(e). Government Code § 54953(f) allows the municipal, but
not state, legislative bodies to continue such teleconferencing until the earlier of the
lifting of the Governor's state of emergency declaration or December 31, 2023, so long
as certain findings are made every 30 days.
DISCUSSION:
Since the Governor's state of emergency is still effective and the County of Los Angeles
continues to strongly recommend certain masking and social distancing measures, the
necessary findings can be made for the City Council to adopt the proposed Resolution
allowing the continued use of "hybrid" teleconferenced meetings pursuant to
Government Code §§ 54953(e) and 54953(f) for a period of 30 days from the date of the
Page 60 of 127
Resolution Allowing Continued Teleconferenced Public Meetings
October 18, 2022
Page 2 of 2
Resolution's adoption.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 1: Enhance Customer Service, Diversity, Inclusion and Communication
Objective 1A: El Segundo provides unparalleled service to all customers.
Objective 1 B: El Segundo's engagement with the community ensures excellence.
PREPARED BY:
Joaquin Vazquez, Deputy City Attorney
REVIEWED BY:
Mark Hensley, City Attorney
APPROVED BY:
Barbara Voss, Deputy City Manager
ATTACHED SUPPORTING DOCUMENTS:
ES- Reso AB 361 Extension 10182022
Page 61 of 127
RESOLUTION NO. -
A RESOLUTION OF THE CITY COUNCIL OF CITY OF EL
SEGUNDO FINDING THAT CERTAIN CONDITIONS EXIST TO
CONTINUE CONDUCTING PUBLIC MEETINGS VIA
TELECONFERENCING PURUSANT TO GOVERNMENT CODE
SECTION §§ 54953(e) AND 54953(f).
The City Council of the city of El Segundo does resolve as follows:
SECTION 1. Findings. The City Council finds and declares as follows:
A. On March 4, 2020, Governor Gavin Newsom proclaimed a State of
Emergency to exist in California due to the threat of the COVID-19
pandemic and such State of Emergency has not been rescinded by
either the Governor or the California Legislature.
B. This gubernatorial proclamation, among other things, suspended
local government emergency declaration, reporting, and extension
requirements of Government Code § 8630 for the duration of the
COVID-19 pandemic.
C. Effective September 16, 2021, Assembly Bill No. 361 ("AB 361 ") took
effect which, among other things, amends certain provisions of the
Ralph M. Brown Act ("Brown Act") governing open meetings to allow
teleconferencing, including internet-based video conferencing, in a
manner similar to previously issued gubernatorial executive orders.
D. During a proclaimed state of emergency, AB 361 allows a legislative
body, like the City Council, to continue utilizing teleconferencing to
conduct public meetings under certain circumstances, provided the
legislative body makes certain findings.
E. The City Council has previously adopted and made findings to
continue meeting via teleconferencing pursuant to AB 361 and seeks
to make additional findings under Government Code § 54953(e) to
continue such teleconferencing use.
F. The Los Angeles County Department of Public Health issued an
order, effective April 22, 2022, maintaining its position that masks are
"strongly recommended" in indoor settings to prevent transmission of
COVID-19.
G. Following weeks of high case numbers fueled by highly infectious
strains of COVID-19, BA.4 and BA.5, in a July 12, 2022 press
release, the Los Angeles County Department of Public Health has
-1-
Page 62 of 127
recommended "wearing high -quality respirator masks and getting
tested" to slow the spread of COVID-19."
SECTION 2. Teleconferencing; Ratification.
A. Pursuant to Government Code § 54953(e), the City Council has
reconsidered the circumstances of the state of emergency finds as
follows:
1. California continues to be in a declared state of emergency
pursuant to Government Code § 8625 (the California Emergency
Services Act; see Government Code § 54953(e)(3); see also
Governor's Proclamation dated March 4, 2020); and
2. Based upon the Order of the Health Officer for County of Los
Angeles Department of Public Health (dated April 21, 2022 and
effective April 22, 2022) and recent public Los Angeles County
Department of Public Health releases, masks are strongly
recommended to curb the spread of COVID-19 (Government
Code § 54953(e)(3)(B)(ii)).
B. Accordingly, to protect public health and safety the City Council:
1. Finds that it is in the public interest to conduct City Council
meetings via teleconference as defined by Government Code §
54953;
2. Authorizes City Council members to appear at regular and
special meetings in person; and
3. Authorizes public officials, designated by the City Manager, or
designee, to attend such City Council meetings if presenting
matters to the legislative body or if the official's presence at the
meeting is otherwise deemed necessary by the City Manager or
designee.
C. The City Council will adhere to all requirements of Government Code §
54953 governing teleconferencing during the emergency including,
without limitation, posting agendas; allowing for real-time public
comment via either call -in or internet-based; allowing for written
communications that will be either read or summarized into the record
during the meeting as determined by the City Council; and protecting the
statutory and constitutional rights of all persons appearing before the
legislative body.
SECTION 3. Environmental Review. This Resolution itself and the actions
anticipated herein were reviewed pursuant to the California Environmental Quality
-2-
Page 63 of 127
Act (Public Resources Code §§ 21000, et seq., "CEQA") and the regulations
promulgated thereunder (14 Cal. Code of Regulations §§15000, et seq., the
"CEQA Guidelines"). Based upon that review, this action is exempt from further
review pursuant to CEQA Guidelines § 15269(a) because the protection of public
and private property is necessary to maintain service essential to the public, health
and welfare.
SECTION 4. Reporting. Every 30 days following adoption of this
Resolution, the City Council will reconsider the extension of the teleconferencing
method of public meetings in accordance with Government Code § 54953(e)(3).
Such determinations may be placed on the consent calendar.
SECTION 5. Signature Authority. The Mayor, or presiding officer, is hereby
authorized to affix his signature to this Resolution signifying its adoption by the City
Council of the City of El Segundo, and the City Clerk, or her duly appointed deputy,
is directed to attest thereto.
SECTION 6. Effective Date. This Resolution will take effect immediately
upon adoption and will remain effective unless repealed or superseded.
SECTION 7. City Clerk Actions. The City Clerk will certify to the passage and
adoption of this Resolution, enter it in the City's book of original Resolutions, and
make a record of this action in the meeting's minutes.
PASSED AND ADOPTED this day of 12022.
Drew Boyles, Mayor
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO
I, Tracy Weaver, City Clerk of the City of El Segundo, California, hereby certify that
the whole number of members of the City Council of the City is five; that the
foregoing Resolution No. was duly passed and adopted by said City
Council, approved and signed by the Mayor of said City, and attested to by the City
Clerk of said City, all at a regular meeting of said Council held on the day
of , 2022, and the same was so passed and adopted by the
following roll call vote:
AYES:
NOES:
ABSENT:
-3-
Page 64 of 127
ABSTAIN:
ATTEST:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
MARK HENSLEY, CITY ATTORNEY
Joaquin Vazquez, Deputy City Attorney
m
Page 65 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Public Hearings
Item Number: C.10
TITLE:
Public Hearing on the Bargaining Impasse Between the City of El Segundo and the El
Segundo Firefighters' Association Regarding the Potential Impacts of the Brownout
(Temporary Suspension) of Engine Number 32
RECOMMENDATION:
Conduct a public hearing on the bargaining impasse between the City of El
Segundo and the El Segundo Firefighters' Association over the potential impacts
of the Brownout of Engine Number 32.
2. Adopt a resolution Authorizing the Implementation of the Terms of the City's April
25, 2022, Last, Best, and Final Offer to the El Segundo Firefighters' Association
Pursuant to Government Code § 3505 which will brownout Engine Number 32 for
a six-month period pursuant to certain terms and conditions.
3. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
After the public hearing, should the City Council implement the City's Last, Best, and
Final Offer ("LBFO"), cost savings are estimated to be $600,000 over a six-month
period for the Brownout of Engine Number 32.
BACKGROUND:
On November 22, 2021, the City's negotiation team began meeting and conferring in
good faith with the El Segundo Firefighters' Association ("ESFA") to identify and discuss
any impacts of a brownout of Engine Number 32 for a six-month period. These
meetings did not result in an agreement and impasse was declared by the ESFA on
May 11, 2022. A fact-finding hearing was held on this matter on September 7, 2022.
The recommendations of the neutral factfinder were made publicly available on the
City's website on October 13, 2022 and found that the City could brownout Engine
Number 32 pursuant to certain terms and conditions (Attachment 1). The resolution
Page 66 of 127
Public Hearing on the Bargaining Impasse Regarding Brownout of Engine 32
October 18, 2022
Page 2 of 4
authorizes the implementation the terms of the City's LBFO (Attachment 2).
DISCUSSION:
During the FY 2021-22 Budget public hearing, City Council discussed the City's ability
to complete unfunded capital improvement projects and deliberated opportunities to
reduce expenditures without impacting the safety or services to the community. As the
Police and Fire Departments are the largest budgets in City, Council inquired about
potential budget reductions through staffing and operational efficiencies. After
presentations from representatives from both departments, City Council directed staff to
make a reoccurring expenditure reduction from the Fire Department budget in the
amount of $1,000,000. On November 2, 2021, staff returned to City Council with an item
outlining a recommendation to achieve the savings which included the temporary
suspension (brownout) of Engine Number 32 for the remainder of FY 2021-22.
Beginning on November 22, 2021, the City and ESFA met and conferred eleven times
over six months to discuss the impacts of the brownout of Engine 32 but were unable to
reach an agreement.
On April 25, 2022, the City provided ESFA with its LBFO which included the following:
• Engine 32 will be browned -out for a period of six-month effective May 16, 2022,
or the City Council's adoption of this LBFO.
• The fire suppression personnel displaced from this brownout will work in place of
other firefighters, engineers and captains who are on vacation, sick leave, are
injured, or in training or filling other department needs.
• Fire Station 2 will not be closed. Truck 32 (ladder truck) and Rescue 32
(ambulance) will remain available to respond to calls for service.
• ESFA members shall not be subject to discipline if the Fire Department is unable
to complete the City expected number of building inspections during the six-
month period of the brownout.
• City staff will assess the impact on the level of service to City residents from the
six-month brownout of Engine 32 and submit a report to the City Council for
consideration of further action, if any.
If the City's LBFO is implemented, there will be no change in the total sworn Fire
Department personnel. All sworn ESFA members will retain their jobs, as well as retain
their current salary and benefits. However, there will be a reduction of overtime
available to work as a result of the City's LBFO. This reduction in available overtime is
what results in a savings to the City. Currently, the average ESFA member has the
opportunity to earn considerable overtime. In calendar year 2021, the average ESFA
Page 67 of 127
Public Hearing on the Bargaining Impasse Regarding Brownout of Engine 32
October 18, 2022
Page 3 of 4
member earned overtime as follows: each Fire Captain on average earned $82,398 with
several earning over $100,000, each Fire Engineer on average earned $66,714, each
Fire Paramedic on average earned $64,575, and each firefighter on average earned
$51,529. The reporting on this data can be found at www.tranparentcalifornia.com, as
well as the State of California Controller's website at:
https://publicpay.ca.gov/Reports/Cities/City.aspx?entityid=184&year=2021.
There were several positions that earned over $100,000 in overtime during calendar
year 2021. If the City's LBFO is implemented, this would result in ESFA members
having an average reduction in overtime of $15,385.
On May 11, 2022, ESFA rejected the LBFO and declared impasse.
The Meyers-Milias-Brown Act ("MMBA"), codified in Government Code §§ 3500-3511,
governs labor management relations in government employment and outlines the
procedures for labor negotiations and impasse. If impasse is declared, the labor
association may make a request to the Public Employee Relations Board ("PERB") to
have the impasse heard by a factfinding panel. This three -member panel is led by a
neutral factfinder with one member each from the government entity and the labor
association. ESFA requested factfinding on May 31, 2022, and the hearing was held on
September 7, 2022. The factfinding report was issued October 3, 2022, and City
Council directed a public hearing on the impasse during the closed session on October
4, 2022. The report was made publicly available on the City's website on October 13,
2022.
At the public hearing, the City Council and the public will be provided with presentations
from the City's labor negotiator and the ESFA's representative on the issue at impasse.
The City Council will also receive public comments on the item. Following this public
hearing, the City Council may, if it chooses, implement its LBFO or alternatively, discuss
and take other action related to this item.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 5: Champion Economic Development and Fiscal Sustainability
Objective 513: El Segundo approaches its work in a financially strategic and responsible
way.
a 4 :1_1:141J yA
Rebecca Redyk, Human Resources Director
REVIEWED BY:
Rebecca Redyk, Human Resources Director
APPROVED BY:
Barbara Voss, Deputy City Manager
Page 68 of 127
Public Hearing on the Bargaining Impasse Regarding Brownout of Engine 32
October 18, 2022
Page 4 of 4
ATTACHED SUPPORTING DOCUMENTS:
1. Neutral Fact Finder Report
2. Resolution Authorizing the Implementation of the Terms of the Last Best Final
Offer
3. Exhibit A to Resolution
Page 69 of 127
City of El Segundo and El Segundo Firefighters Association
PERB Case No. LA-IM-315-M
Factfinding Report and Recommendations
Tony Butka, Factfinding Chair
Nate J Kowalski, Employer Panel Member
Jacob Kalinski, Firefighters Assn Panel Member
Procedural Background
During the course of negotiations for a successor agreement between the Firefighters
Association and the City of El Segundo, on December 8, 2021 the City proposed a sole
carve -out proposal referred to as "Browning -Out Engine 32 for a 6-month Trial Period.
In the overall bargaining history, the parties met 11 times prior to a declaration of
Impasse on May 11, 22 by the Firefighters Association on the sole issue of Browning -
our Engine 32. On May 31St the Association filed for factfinding with PERB.
The overall negotiations for a successor agreement continued on a separate track,
ultimately resulting in a separate request for factfinding. PERB granted that request as
Case No LA-IM-311-M, which is entirely separate from this proceeding.
Factfinding
The request for sending the single issue matter to a factfinding panel went to PERB,
and they ultimately approved the request as PERB Case No. LA-IM-315-M. The parties
jointly selected Tony Butka as Factfinding Chair, with Nate J Kowalski as Panel member
for the City, and Jacob Kalinski as Panel member for the Firefighters Association.
The factfinding hearing was scheduled on September 7, 2022, at the City Hall
Chambers in El Segundo, starting at 10 am. All parties were afforded full opportunity to
present evidence and argument, with each party providing binders and video
presentations.
The hearing concluded at approximately 2 pm, with the factfinding Chair agreeing to
provide a draft report to the panel members, review their input thereafter, to be followed
by a final report and recommendations.
Criteria
Pursuant to Government Code 3505.4, there are eight (8) criteria to be considered by
the Panel in arriving at findings and recommendations.
(1) State & Federal Laws
(2) Local rules, regulations, or ordinances
Page 70 of 127
(3) Stipulations of the parties
(4) The interests and welfare of the public and the financial ability of the public agency
(5) Comparisons of the wages, hours, and conditions of employment for the employees
involved in the factfinding proceeding with the wages, hours, and conditions of
employment of other employees performing similar services in comparable public
agencies
(6)The Consumer Price Index for goods and services, commonly known as the cost of
living
(7)The overall compensation presently received by the employees, including direct
wage compensation, vacation, holidays, and other excused time, insurance and
pensions, medical and hospitalization benefits, the continuity and stability of
employment, and all other benefits received.
(8) Any other facts, not confined to those specified in paragraphs (1) to (7), inclusive,
which are normally or traditionally taken into consideration in making the findings and
recommendations.
The City's Position
Both the City and the FFA articulated their positions through written, oral, and video
submissions, and both did an excellent job.
It appears that the handling of the "Browning -Out Engine 32 Plan" was more contentious
than the City anticipated. In their Powerpoint presentation, Slide 3 Overview of
Bargaining History', states that
"Parties met and City provided the "Browning -Out Engine 32" plan (Exhibit 12). FFA
presented a counter offer. Discussedf Brown -Out and the belief that there was already
an agreement on the Brown -Out based on FFA members inputs/edits to Chief Lee's
decision to Brown -Out -Engine 32 (safety (safety valves for mental health)."
About a week later the parties met again on this issue, and the Firefighters Association
advised that they were in opposition to the Browning -Out Engine 32 proposal.
In any event, from the standpoint of the employer, there should be no controversy that
the decision to Brown -Out Engine 32 is not subject to factfinding. Indeed, the
Firefighters Association tacitly agreed. As presented to the Panel, the issue is defined
as a "6 month trial so that the City can "assess the benefits of Browning -Out Engine 32
without jeopardizing the safety of FFA members or the public."
To further their position, the City provided two documents. The first is titled "City of El
Segundo Brown -Out Plan", delineating the scope of the trial, and stating that "City staff
will assess the impact on the level of service to City residents from the six-month brow -
out of Engine 32 and submit a report to the City Council for consideration of further
action, if any." The document parallel's the City's last, best, and final offer.
The Firefighters Position
In late January 2022, the Firefighters Association met with the City, and formally
Page 71 of 127
rejected the City's Browning -Out Engine 32 Plan, ultimately resulting in this hearing.
The Firefighters argue that there will be two major impacts to the Study; Firefighter
Safety and Increased Workload. In terms of Safety, they believe that by having to rely
on outside Fire Engines, response time to a structure fire will be slower than using
Engine 32, and according to NPFA studies, "every minute the fire burns, it doubles in
size".
With respect to increased workload, the Firefighters argue that under the terms of the
Browning -Out Engine 32 Plan, the work force is reduced from 13 to 10 firefighters per
day, a reduction of 23%.
The City's response was that the statistics used by the Firefighters relied on data for
inspections only. To that end, they agreed that if members are unable to complete
inspections during the trial period, "they will not be subject to discipline if goals for
building inspections are not met."
Ultimately, the FFA proposed a new staffing model for the period of the trial and
beyond. It was called an "Ambulance Operator Program:". They indicated that this
proposal would generate at least $1 million in savings per year. It seems that the basis
for this proposal was using the El Segundo Fire Department Annual Reports from 2012-
2022 (attachment 9 in the FFA Binder).
Analysis and Recommendation
As the City pointed out, the NPFA study refers to structure fires in slide 9, for major
incident fires , only a fraction more than 2% of the major i incidents actually involved
fires. in the last three years (2018-2020) It is difficult to really assess the statistics,
since one huge structure fire with slower response times is one too many.
Although specifics were not provided, the Firefighters also included a number of other
functions which would there would be increased workload per employee; emergency
responses/employee,increase in staffing assignment duties, increase in station and
equipment maintenance duties, and an in increase in training hours for the 'new
operational model'.
While the "Ambulance Operator Program" is intriguing, it goes beyond the scope of a
six-month Browning -Out Engine 32 Plan and effects bargaining. In upcoming
negotiations, it would be appropriate.
Going back to what is in front of the Factfinding Panel, the sole issue in question is the
City's sole carve -out proposal referred to as "Browning -Out Engine 32 for a 6-month
Trial Period.
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Ultimately, I can find nothing in the MMBA which precludes the employer from
conducting a 6-month trial program. The decision to perform such a trial is clearly within
the City's authority.
To further their position, the City provided two documents. The first is titled "City of El
Segundo Brown -Out Plan", delineating the scope of the trial, and stating that "City staff
will assess the impact on the level of service to City residents from the six-month brow -
out of Engine 32 and submit a report to the City Council for consideration of further
action, if any." The document parallel's the City's last, best, and final offer.
I mention the MMBA because the parties bargaining history makes it clear that the City
has absolutely no interest in bargaining over the Unions proposals, nor is there any
indication that they are willing to consider any modifications to the trial program.
So long as the City sticks to the terms of their trial, I believe they are within their rights.
Tony Butka, F ctfinding Chair
Jacob Kalinski, Firefighters Assn Panel Memberi
Nate J. Kowalski, City of El Segundo Panel Member
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City of El Segundo and El Segundo Firefighters Association
PERB Case No. LA-IM-315-M
Factfinding Report and Recommendations
Dissenting Opinion
The City of El Segundo ("City") proposes to "brown out" Fire Engine 32 on a six month
trial basis. Although the City did not clearly articulate its justification for the brown out, it
is without doubt an effort to save money at the expense of safety. The idea for the
brown seems to have begun with the observation that calls for service declined during
the pandemic. Despite being presented with more recent data showing that, in 2022,
the Fire Department is on pace for its highest volume of calls for service on record, the
City trudges on jeopardizing the safety of its citizens and its employees in a
misguided attempt to save money.
The Majority opinion authored by Factfinding Chair Tony Butka blesses the brown out
on a trial basis, concluding, "Ultimately, I can find nothing in the [Meyers-Milias-Brown]
Act] which precludes the employer from conducting a 6-month trial program. The
decision to perform such a trial is clearly within the City's authority. So long as the City
sticks to the terms of their trial, I believe they are within their rights."
Inherent in that conclusion is a fundamental misunderstanding of the factfinding
process. The purpose of factfinding is not to ascertain whether the City is within its
rights to implement the brown out. Moreover, the El Segundo Firefighters Association
("Association") did not argue at the hearing that the City was legally prohibited from
doing so; nor is this the proper forum to adjudicate whether the City is or not within its
rights to implement a particular action. Such a determination is squarely within the
jurisdiction of the Public Employment Relations Board (PERB). (See Government Code
section 3509, subdivision (b).)
Rather, the purposes of factfinding are simply to "find facts" and provide
recommendations as to what changes should be made given those factual findings
using the criteria set forth in Government Code 3505.4 as follows:
(1) State & Federal Laws
(2) Local rules, regulations, or ordinances
(3) Stipulations of the parties
(4) The interests and welfare of the public and the financial ability of
the public agency
(5) Comparisons of the wages, hours, and conditions of employment for
the employees involved in the factfinding proceeding with the wages,
hours, and conditions of employment of other employees performing
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similar services in comparable public agencies
(6)The Consumer Price Index for goods and services, commonly known
as the cost of living
(7)The overall compensation presently received by the employees,
including direct wage compensation, vacation, holidays, and other
excused time, insurance and pensions, medical and hospitalization
benefits, the continuity and stability of employment, and all other benefits
received.
(8) Any other facts, not confined to those specified in paragraphs (1) to (7),
inclusive, which are normally or traditionally taken into consideration in
making the findings and recommendations.
(Emphasis added.)
As to comparisons of wages, the consumer price index, and the overall compensation
presently received by the employees, Neutral Factfinder Najeeb Khoury has already
recommended the employees represented by the Association receive salary increases
of 4.5% in this year and the next. A true and correct copy of his recommendation is
attached hereto as Exhibit 1 and incorporated herein by reference. The City apparently
has no plans to provide any salary increases.
With respect to the criteria, "interests and welfare of the public and the financial ability of
the public agency", the City did not present any evidence of its financial position.
However, the Association presented a wealth of evidence showing that the City's
proposal is not in the best interest of the public as it has significant effects on the safety
of the public and safety of its firefghters.
The Association quoted an industry standard from the National Fire Protection Agency,
"every minute a fire burns, it doubles in size." As such, even a delay of minutes
tremendously increases the hazard to the public and to the firefighters attempting to
suppress the fire.
In what seems obvious, the Association showed that eliminating one of the two fire
engines servicing the City would cause delays in response to fires within the City which
would allow a fire to spread more rapidly, thereby causing significantly more danger to
the firefighters as well as to the citizens of El Segundo and their property.
For example, if a structure fire burned in Fire Station 2 District, which is currently
serviced by Fire Engine 32, there would be a delay in the initial response. If there was a
fire in Fire Station District 1, currently serviced by Fire Engine 31, there would be a
delay in the arrival of the second engine. Because the fire engines are only staffed with
3 firefighters and 4 are necessary to enter the scene of a structure fire, even in District
1, the delay in arrival of the second engine will greatly increase the spread of the fire.
The Association also established that, in the absence of Engine 32, the City would have
Page 75 of 127
to rely on resources from Manhattan Beach (3.2 miles away), Los Angeles City (3.7
miles away), Los Angeles County (3.7 or 5.1 miles away), or Redondo Beach (7.0 miles
away), all of which are stationed further from Engine 31 than Engine 32. Furthermore,
those resources are dedicated to other jurisdictions so it is unknown whether they will
be available to respond within the City.
The City claimed throughout the hearing that the Association's safety concerns were
speculative and that it needed 6 months to see what the effects of longer response
times would be. No rational person needs to test the hypothesis that resources
stationed in the City will respond more quickly than those stationed outside its limits. If
the City believes that its citizens are just as safe relying on resources from outside the
city as in it, it should be transparent and have the bravery to tell its citizens as much. I
for one seriously doubt that the City's leaders will tell its citizens what its representatives
were asked to convey to the factfinding panel.
As the Majority opinion reflects, "Ultimately, the FFA proposed a new staffing model for
the period of the trial and beyond. It was called an `Ambulance Operator Program'. They
indicated that this proposal would generate at least $1 million in savings per year. It
seems that the basis for this proposal was using the El Segundo Fire Department
Annual Reports from 2012-2022 (attachment 9 in the FFA Binder)."
However, the Majority opinion ultimately dismisses the Ambulance Operator Proposal,
without any legal authority or analysis, on the grounds that it "goes beyond the scope of
a six-month Browning -Out Engine 32 Plan and effects bargaining." If the City is
attempting to save money through the brown out proposal, which it assuredly is, the
Ambulance Operator Proposal accomplishes this goal without any decrease to safety.
On that basis, I would recommend adoption of the Ambulance Operator Proposal.
Dated September 23, 2022 RAINS LUCIA STERN
ST. PHALLE & SILVER, PC
Jacob A. Kalinski
Association Panel Member
Page 76 of 127
Attachment 1
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Najeeb N Khoury
P.G. fox 67
Montrose, CA 91021
213-304-528
nkhouryadr@gi-nail.com
11MIN P1 M-TN so loll R409101#111 too] ILL
PURSUANT TO TIME MERCERS-MILIA -BROWN ACT
EL SE GUNDO IiIF EFIGHTER '
ASSOCIATION, T FF, LOCAL 369
Association,
w�
CITY OF EL SEGUNDO,
Case No.. LA-IM-31 i-M
FACTFINDING R-E PORT AND
RECOMMENDATIONS ION FOR
En-LEMENT
Chairpersan; N jeeb N. Khoury
Employer panel Member: Steven Berliner, Liebert Cassidy Whitmore
Association Panel Member: Robert Wexler, Rains, Lucia & Stern
Lead Advocate For the Association: Jacob A. Kati nski, Rains, Lucia & Stem
Lead Advocate For the Employer, Irma Rodriguez Moisa, Atkinson, Andelson, Loya, Rudd &.
Romo
Nearing mate; ,dune 8, 2022
BACKGROUND
E1 Segundo Firef ghters' Association, IAFF, Local 3682 "Association'' represents
Fire fiahters, engineers and captains employed bar the ity of El Segundo C'Erinployer" or"City" .
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El Segundo is a city located near Los Angeles International Airport ("LAX"). The cost of I
salary increase for this unit is 97,00.
The parties have been bargaining for a successor contract, but, to date, have been unable
to reach an agreement. A declaration of impasse was made on March 21, 2022, and the
Association made a factfinding request to the Public Employment Red mions Board (PERB) on
April 5, 2022, The parties selected me to serve as the factfinding panel chair. The factfinding
bearing occiuTed on .tune 8, 2022 at El Segundo's City Hal I. Both parties presented through
designated advocates and provided documents supporting their respective positions.
ANALYTICAL FRAMEWORK
Unlike interest arbitration, where a third -party neutral sets the terms of a new contract, a
third -party neutral chair in a Meyers- iliac -Brown Act (MM13A) factfinding simply provides
recommendations. In essence, this makes factfindir g an extension of bargaining. Ultimately,
the parties must persuade one another of their positions, and the neutral WWI simply
provides an outside perspective to help the panties along.
As set forth in California Government Code Section 3505.4(d), the MMBA requires
factfinders to "consider, weigh, and be guided" by the following criteria:
1. State and federal laws that are applicable to the employer.
2. Local rules, regulations, or ordinances.
3. Stipulation of the parties.
4. The interests and welfare of the public and the financial abihty of the public agency.
5. Comparison of the wages, hours, and conditions of employment of the employees
involved in the factfinding proceeding with the wages, hours, and conditions Of other
employees performing similar services in comparable public agencies.
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6, The consumer price index for goods and services, commonly known as the cost of
living,
7_ The overall cornpensation presently received by the einplo ees, including direct v4a�,
compensation, vacations, holidays, and other excused time, insurance and pensions,
medical and hospitalization benefits, the continuity and stability of employment, and
all other benefits received.
8, Any other facts, not confined to those specified in paragraphs (1) to (7), inclusive,
which are normally and traditionally taken into consideration in malting the findings
and i ommendations,
Neutral factfinders have typically required the party seeking a change to the status quo to
carry the burden ofpersuasion, and I will follow that convention in this case,
ISSUES AND RECOMMENDATIONS
OMMENDATION
Issue 1, Mundatory Arbitration of Employment belated Claims
The City proposes languag4e that would require Association represented employees
submit to arbitration "any and all employment -related clairns or controversies, such as breach of
employment contract, breach of covenant of good faith and fair dealing, negligent supervision or
hiring, wrongful discharge in violation of public policy, unpaid wages of overtime under the state
and federal wage payment laws, breach ofprivaoy claims, in(entional or negligent infliction oP
emotional distress claims, fraud, defamation and divulgence of trade secrets ... [and] claims tl
could be asserted under all state and federal anti -discrimination laws." The City also seeks to
mare discipline subject to arbitration,
In seeking this provision, the City notes the proposal preserves ernployee rights and
remedies and just alters the forum. in which claims are brought; that the City seeks an efficient
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admiixistration cf claims and seeks to manage the risk of "run away" jury verdicts; and that this
provision already exists in the City's non -safety MOUs. The Association vehemently opposes
this proposal. It notes that no other public sector agency has such a clause; that the City should
focus on eliminating bad employment practices rather than limiting the rights of employees to
bring claims; that the City is seeking to have the ,association waive rights that are statutorily
created and not created by the MOU; and that the City cannot legally impose this proposal,
Recommendation.
1 do not recommend the C:ity's proposal with regards to having employment related
claims be subject to mandatory arbitration, There are three reasons for my recommendation -
First, a criterion that the MMI3A requires me to consider is a "comparison of the wages,
hours, and conditions of employment of the employees involved in the factfinding proceeding
with the wages, hours, And conditions of employment of other emRlZees performingsimilar
services in comparable public a encies." �e p a.sis addea), The City can point to no other fire
agency in the state that requires employees to submit non-M OU related claims to binding
arbitration. This requested change in the status quo is unprecedented among fire agencies,
weighs strongly against recommending it.
Second, it simply makes no logical sense to require a union to bargain away statutory or
common law rights that do not arise from the collective bargaining process. There is a long
practice and history of arbitration being required for workplace disciplinary actions and disputes
arising from collectively hargained agreements. This widespread practice makes logical sense.
In the private sector, it is the collectively bargained agreement that norinally turns an at will
employment situation into a just cause one; therefore, it is proper for a contractually created
process —arbitration —to decide whether just cause exists for discipline in a kfnioni?,ed context_
FA TF IN L)l NG REPORT AND RE OM M FN DATION S FOR 8> TTLEMENT - 4
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In the public sector, arbitration for discipline arises when the parties have negotiated arbitra#ion
as the method for deciding just cause discipline in lieu of u ing a civil service or other hearing
officer model. Similarly, it makes sense For nor -disciplinary related contractually created rights
to be decided through a contractually created arbitration process. Put differently, because ii is
the union and employer that negotiate, the disciplinary process and the collectively bargained
contractual rights, the union and employer logicaIly negotiate the method for adjudicating those
issues —namely, arbitration. A union, on the other hand, does not negotiate statutory or
law tort rights for the employees it represents. And white it is true that arbitration seeks to
change the forum for deciding disputes but does not extinguish claims, the right to a jury trial is
not an insignificant right. Moreover, the Association rightly points out that many of these
statutory claims are brought by lawyers on a contingency basis, and pushing these claims into
arbitration forum may effectively, if not legally, prevent them from being pursued.
Finally, California, through ,A9 51, has expressed a public policy preference against
alto +ing employers to condition employrent ou employees entering into mandatory arbitration
agreements. While AB 51 continues to be litigated with complex preemption questions at play,
the state has clearly expressed its displeasure with employers requiring employees, as a conditi
of employment, to submit claims to arbitration.
For these reasons, f recommend not accepting the ity's proposal of requiring the
Association to waive its members' rights to jury trials for employment related claims.
F do recommend that the parties adopt the ity's proposal regarding disciplinary appeals
being decided through arbitration rather than through the Los Angeles County Civil Service
ommission. It is unusual for a different jurisdiction's civil service commission to decide
disciplinary appeals for an employer. Moreover, it is very common for public sector disciplinary
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appeals to be decided through the arbitration process. The Association provided no reason why
this change should not occur.
Issue 2: residency Requirement
The City proposes a residency requirement with a 100-mile radius for 1) current membe
who already reside within 100 mules; and ) those fired after the adoption of the provision. Th(
City argues employees who lire over 100 miles away are less likely to respond to the City whet
someone gets injured or calls in sick, and that this places a greater barden on employees who ii4
closer to El Segundo. The City posits that this change in the status quo advances its interest of
maintaining the safety of residents and businesses by ensw ing employees are not overworked
and have a proper opportunity to rest on their days off,
The Association responds that this proposal is unduly restrictive, that the cost -of -living
within 100 miles of El Segundo is high, that its members are not complaining about any alleged
uneven distribution of overtime, that no other agency In the list of comparable agencies used 1 y
the parties has a residency requirement, aDd that the City provides no specific incident of a
bargaining unit member failing to timely respond to an emergency.
ccOmmendatiion
I do not reconimend that the parties accept this provision as proposed, although I strongly
:commend that the parties consider the concept if it were to be limited only to future employees.
Firs[, one compelling factor against the proposal is that no other jurisdiction in the list of
j comparable jurisdictions has such a residency requirement,
N evertheI ess, the City raises some legitimate concerts about wanting employees to he
available for unexpected work shifts, and some other fire agencies do have residency
requirements. however, given that the City is proposing a change in the status quo, I believe
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more specific examples reed to be presented of bargaining unit employees failing to respond to
overtime directives before a firm recc)mmendatlon is made to implement sueh a restrictive
provision.
I the Cily had presented concrete examples, I still would have limited my
recommendation so that the residency requirement applies only to prospective employees,
current employee who lives within a I00-mile radius should still be able to move outside that
radius, and should not have to choose between hislher job and moving outside a I00-mile radius
when there was no such Iimitation when he/she took the job. This concern would not exist liar
new employees who, upon accepting offers of employment, would already be aware of the
resiliency requirement.
While I am not rtoornmendi ng this proposal, the Association should be willing to
seriously consider further discussions on such a provision for future employees, as it may lessen
the load on the current membership and would help address a legitimate concern raised by the
city.
Issue 3; Across -The -Board Salar.v Increases
the parties have been negotiating a three-year contract that would have a terry, from
October 2021-July 2023, The City proposes a zero percent increase for October 201-June
a 3% increase for Jul}2022-June 2023,' and a 3% increase for July 2023-June 2024. The
Association proposes a zero percent increase for October 2021-June 2022, a 5% increase for July
The City proposes that any raises would not go into effect until a deal is reach. However, it is corn inon for raises
to be retroactively applied when an agreement is reached after the start o f a fiscal year. 1, therefore, recornmend th
any negotiated increases start on July 1, 2022 even if the agreement is reached after July 1, 2022. 1 do this mainly
because the Association has already agreed to a Me increase for the current fiscal year,
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2022-June 2023, and a 5% increase for July 2.023-June 2024_ The Association farther seeks
additional contingent increases dependent on City revenue.
The parties agree on a list of comparable agencies to be used in looking, at salaries. The
list includes Los Angeles Cat}, Los Angeles County, Manhattan Beach, Redondo Beach,
Torrance, Culver City and Sang Monica.
The Association's survey of the comparabIc agencies concluded that El Segundo
firefighters are 2441 o below the mean, that El Segundo engineers are 11,1 ° o below the mean,
and the El Segundo captains are 9 . 8 % below the ni�w, The C ity's survey presented at the,
hearing showed that El Segundo firefighters are 3,6 % above the mean, that El Segundo
engineers are 5.5% above the mean, and that El Segundo captains are 3.7% above the mean.
Huwt ever, on June 27, 202 , the City submitted a revised study showing that E1 Segundo
firefighters are 2. 8-1 o below the mean, that E1 Segundo engineers are 4.76% below the mean,
and that El Segundo captains are 4.83% below the mean. On July 1. 2022, the City indicated
the June 27, 2022 submission had errors and provided a corrceted study that showed firefighters
are 3.9 % above the mean, that EI Segundo engineers are 6. 6°o above the mean, and that
firefighter captains are 4.3 711/a above the mean.
There are multiple reasons for the different figures between the City and the Association.
The ,Association argues that even applying the ity's methodology shows that firefighters are
7.$10 below the rnean when one utilizes a Tier 2 employee, expresses the percentage as a
percentage of El Segundo compensation required to reach the mean, and corrects for various
issues in the City's study.
The Association notes that the Im Angeles Area PI-U was 7.9% as of April 2022 and
has only increased. The Association also points to the ity's healthy General Fund Reserve. The
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Association believes that the City historically has over budgeted expenses and under budgeted
revenues,
The City responds that its long-term econonfic forecast is troubling. The City depends
heavily on hotel tax revenue, and most El Seguudo hotels cater to business travelers. Unlike
tourist travel, business travel is still significantly down from pro -pandemic levels. The City alsc
motes that in Fiscal Year 2021-2022, the ity's operations and revenues were impacted by the
pandemic, that the CARES act funding helped balance the 2021-2022 budget, but that the
CARES Act funding is one-time revenue and was used in part to address related pandemic
expenses. Moreover, while revenues have increased from the pandemic lows, the City is still
worse off in its projected revenues compared to its pre -pandemic expectations. While the City
ma]niains a healthy general fund balance, that balance is projected to decreased through the year
2 03 1. This is because the City projects appropriations exceeding revenues in the foreseeable
future. For thes reasons, the City argues it is constrained in what economic enhancements it can
offer and has already stretched itself to offer a % increase during the life of the agreement.
Recommendation
I recommend a zero percent increase for October 2021-June 2022, €t 4.5% increase for
July 2022-June 2023, and a 4_5% increase for July 2023-June 2024. 1 make this
for several Treasons. First, the Mil BA requires me to consider CPI. The CPl has increased at an
extremely high pace in the past twelve months. indeed, inflation at its current pace outpaces
even the Association's proposal, Also, the MMBA requires the to compare El Segundo
+ firefighters to firefighters in other jurisdictions. The data supports finding that the highest paid
I firefighters in other jurisdictions are paid more than Tier 2 firefighters in El Segundo, and roost
firefighters in El Segundo are Tier 2 employees, The Association posits that even accepting the
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ity's methodology but adjusting for some of its errors shows that the El Segundo rite Hghters
are 7.87% below the mean. The City acknowledges that unit members are below lhtc mean but
disagrees with the Association's numbers. My recommendation would have El Segundo
firefighters approach and possibly surpass the mean {depending, on what the, comparable
jurisdiction do in terms cf pay during the terns of [his Agreement and on which paAies' numbers
are relied upon) by providing a 9°fl raise over the life of the contract. I also believe it makes
sense to concentrate the, most dollars into across-the-board increases.
However, I also recognize the City*s financial concerns. CA RES fanding is one-tinrk:
money and that City faces an uncertain economic futum post pandemic. The City rightly wants
some stability in budgeting its expenses. Wherefore, I am not recommending that the City
provide additional compensation increases based on the City's future revenues. Moreover, as
discussed below, I am riot recommending any other economic enhancements outside of increases
to health insurance, optical, dental and life insurance contributions, My recoinuuendation against
other economic enhancements is driven in large part by the ity's concern that it wiil have
budget deficits that will lessen its preserves.
I Issue 4: Health Insurance Increases
The City proposes increasing its contribution to health insurance costs to $1,725 a month
f starting on January 1, 2023 and $1,775 a month starting on January 1, 2024. The Association
Iproposes a contribution rate of $1,800 starting on January 1, 2023 and $1,850 starting on
11, 2024. The C ity points out that this bargaining unit receives higher health insurance amounts
I than other units, and the City wants to level out the amounts it pays across units. The
Association altgues that the mean contribution from the comparahle iwisdictions is over $1,800;
I the Association also notes that it did not receive an increase in the contribution rate for 202 2.
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The City responds that the data used by the Association inoludes dental and vision coratributiu a�;_
which axe dis aggregated in El Segundo. The City did not provide figures for hoax much health
insurance costs are projected to increase Girt 2023 and 2024.
Recommendation:
I recommend that the contribution rate be $1,775 for January 1, 2023 and $1,800 for
January 1, 2024, I naake this recommendation to both get the Association closer to the mean
levei but to also account for the fact that the City disaggregates its dentaI and vision
contributions, which suggests that the real figure to get the Association to the mean is lower than
$1,850.
Issue 5: Increase$, In Maximum Contribution to Optical. Dental & Life Insurance
The parties agree on the dollar figure of $184.25 for this issue. The disagreement is over
whether the new figure wi11 be implemented on January 1, 2022 (retroactively) or July 1, 2022,
l ccoinmendation
I recommend wi implementation date of July 1, 2 022 . I do this mainly for administrative
ease.
Issues 6 & 7; Elimination of EducatiQnnal Pay in Exchange for are Across -The -Board Increase of
$1,059.02 per month and l eirrbursement for Fdmational Expenses.
The contract currently has two tiers for educational pay. Employees hired before
November 2.8, 2015 receive between $211.16 per month to $1,059.02 per month ofpensionable
pay depending on their educational level and classification; employees hired after November 29,
2015 receive either $500 per month if they have a BA or $ 00 per month if they have an MA of
non -pensionable pay. The Association wants to eliminate this dispwity atnd proposes to
eliminate the educational pay in exchange for an across-the-board increase of$1,059.02, a
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This proposal has a yearly cost of $219,901.22 or the cost equivalent of a roughly 2,251o across-
the-board salary increase � 1 },941,22/$97,900). The proposal would raise the starting salary in
excess of the across-the-board economic impact as it would have a larger impact on new
employees which would help attract firefighters to El Segundo. The City responds that it wants
to concentrate dollars on base wages and it cannot afford a -salary increase on top of the across-
the-board incie--ases that are being negotiated, The Association also proposes allowing for a
$2,000 a year reimbursement for educational costs from an accredited institution for course work
taken toward a BA or MA degree. The Association proposes this in conjunction with its
proposal to eliminate the educational pay as a way to continue encouraging unit members to
pursue educational opportunities.
l econumndation;
1 recommend maintaining the status quo. As discussed above. I recommended a figure•
closer to the Association's proposal on across-the-board raises in hopes of gctfing the El
Segundo firefighters closer to the meari for the comparable group_ 1 noted that the City does have
Iegitimate financial concerns and that I would not xecommend significant economic
enhanccmcnts over and above the across-the-board raises. Because I do not recommend
eliminating the educational pay, I also do not recommend the reimbursement proposal as that
was tied to the elimination ofthe educational pay.
Issue 8. Leaves of Absence Hours Counted As Hours Worked for Qvertime Purposes
in, a previous bargaining cycle, the parties bargained for language that excluded leave
I time from being counted as hours worked for overtime purposes. The Association points out
j none of the comparable j urisdictions has such a provision. In Manhattan Beach, vacation, hol
and IOD ante counted as hours worked and in Redondo Beach all paid Ieave except sick time is
I FACTFINDIN 0 REPORT AND RE COMMENDATION8 FOR SET`rLEMENT - 12
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counted as hours worked. There was some confusion at the factfindi ng hearing as to whether E'I
egundo's practice is to only preclude counting sick time from being countcd as hours work for
overtime purposes.
Recommendation:
7 recommend clarifying that only sick time should be excluded from being counted as
hours worked for }purposes of triggering overtime. Individuais who are asked to work extra
hours during periods when they have pre -planned vacations or when there are holidays should
not be paid less for the inconvenience of having to work outside their normal shifits. This would
also place El Segundo in line with some of the comparable jurisdictions on this point.
Issue : Length -of Time Needed to Be In. Acting Skill To Receive Actin; Pay
The parties have agreed that a nployees who are assigned to work in higher
positions/classifications on a temporary basis shall receive 5% acting pay. The dispute is ovcr
how Gong the employee must be acting to receive the pay. The Association proposes an
employee in the position for four hours receives the pay; the City responds that the pay should
only be triggered if an ernplo ee is assigned the higher work for a full shift. The Association
argues that all work should be paid; the City responds that logistical ly it would he difficult to
track and pay for work that occurs for only a few hours.
Recommendation
First, I note that it is unlikely that individuals would be assigned higher duties for less
than a shift and so this should not be an issue that adses frequen.tly. Second, ik is important to
note that shifts are usually twenty-four hours in length. I can see how tracking assignments for a
few hours could be a logistical challenge. However, it should not be as much of challenge to
f ACTFIN DING REPORT AND RECOMMENDATION S FOR SETTLEM ENT - 13
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track assignments that last at least twelve, hours. For this reason., I recommend that employees
paid the acting pay when they am assigned the work for at least twelve hours,
Issue 10, Require Promotional Testing At Least Once Every Two Years
The Association proposes that the City commence a testing process for the ranks of Fire
Paramedic, Fire Engineer, Fire Captain, and Battalion Chief at least once every two years
regardless of available positions. The Association states that th is wil1 ensure that there are
always active promotional lists, and it will make the promotional process more efficient. The
City ooutiters that this would create unnecessary work when theme are no vacancies to fill.
R.econimendation
Given the minimum cost of this proposal and the importance of the issue to employees, I
recommend adopting this proposal.
I age.1 I ; Teanj Ass gnment and Special Assignment Pay
The Association proposes team assignment and special assignment pay for multiple
assignments. The City opposes these cost items, as it wants to focus on across-the-board
increases.
Recommendation:
1 do not recommend accepting these proposals. As explained above, 1 believe the parties
should focus on across-the-board increases, which is why I recommend the 4 . 5 % across-the-
board increases for each of the next two fiscal years.
I note that the parties have indicated that there is cleanup language on which they are
principally in agreement. i encourage the parties to continue to work on those language issues,
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I sincerely hope that these recommendations assist the parties in reaching a negotiated
settlement.
Date: July 15 , 2022
Najeeb N. Khoury
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RESOLUTION NO.
A RESOLUTION AUTHORIZING IMPLEMENTATION OF THE
TERMS OF THE CITY'S LAST, BEST, AND FINAL OFFER TO THE
EL SEGUNDO FIREFIGHTERS' ASSOCIATION, IAFF, LOCAL 3682
(ESFA), PURSUANT TO GOVERNMENT CODE SECTION 3505, ET
SEQ.
The City of El Segundo does resolve as follows:
SECTION 1. The City Council finds and declares as follows:
A. The City of El Segundo ("City") and the El Segundo Firefighters' Association,
IAFF, Local 3682 ("ESFA") have terms and conditions governing the wages,
hours and terms and conditions of employment for members of the ESFA
bargaining unit.
B. The City is required by the Meyers-Milias-Brown Act (Government Code §
3500, et. seq.) to meet and confer in good faith with ESFA regarding wages,
hours, and other terms and conditions of employment.
C. The City's negotiation team representatives began meeting and conferring with
ESFA in November 2021 in an attempt to identify and discuss any impacts of
a Brownout of Engine Number 32 for a period of six (6) months and did so in
good faith.
D. The representatives of the City and ESFA have held eleven (11) meet and
confer sessions to identify and discuss any impacts of a Brownout of Engine
Number 32 for a period of six (6) months but have not reached agreement.
E. On April 25, 2022, the representatives of the City presented the City's last, best,
and final offer to ESFA.
F. On May 11, 2022, ESFA rejected the City's last, best, and final offer and
declared impasse.
G. The City Council finds that the City of El Segundo and the El Segundo
Firefighters' Association, IAFF, Local 3682 are at impasse in these
negotiations.
H. On May 31, 2022, ESFA requested a factfinding hearing under Government
Code § 3505 and the City and ESFA participated in a factfinding hearing on
September 7, 2022.
I. The chairperson issued the findings and recommendations on October 3, 2022
and the City made the findings and recommendations publicly available on
October 13, 2022.
Page 93 of 127
J. The City Council of the City of El Segundo is vested by law with the
responsibility for making a final determination regarding wages, hours and
other terms and conditions of employment for employees of the City and the
City Council is desirous of making such final determination and resolving the
impasse.
K. If any of the terms of the City's last, best, and final offer, or the application of
any provision of said last, best, and final offer to any person or group, are
enjoined, stayed, restrained or suspended in any legal or administrative
proceeding, then said provision(s) of the last, best, and final offer adopted by
this Resolution shall be deemed immediately, automatically and completely
suspended and of no further force and effect for any purpose, until such point
as the matter is fully and finally adjudicated.
SECTION 2. The Council further finds and declares as follows:
A. The City Council finds and declares that in accordance with the Meyers-
Milias-Brown Act, the City has met and negotiated in good faith with the El
Segundo Firefighters' Association, IAFF, Local 3682 for a reasonable period
on matters within the scope of representation.
B. The City Council finds and declares that the City presented the El Segundo
Firefighters' Association, IAFF, Local 3682 with the City's last, best, and final
offer.
C. The City Council finds and declares that the El Segundo Firefighters'
Association, IAFF, Local 3682 rejected the City's last, best, and final offer.
D. The City Council finds and declares that the City and the El Segundo
Firefighters' Association, IAFF, Local 3682 are at impasse in these
negotiations.
E. The City Council finds and declares that the City and the El Segundo
Firefighters' Association, IAFF, Local 3682 have participated in the factfinding
process and the factfinding chairperson issued the findings and
recommendations, which the City made publicly available.
F. The City Council finds and declares that the terms of the City's last, best, and
final offer to the El Segundo Firefighters' Association, IAFF, Local 3682 are
hereby approved and adopted. A copy of said last, best, and final offer is
attached to this Resolution, labeled "Exhibit A," and is hereby reference.
SECTION 3. Severability. If any of the terms of the City's last, best, and final offer,
approved and adopted by Section 6 of this Resolution or the application of any provision
Page 94 of 127
of said last, best, and final offer to any person or group, are enjoined, stayed, restrained
or suspended in any legal or administrative proceeding, then said provision(s) shall be
deemed immediately, automatically and completely suspended and of no further force
and effect for any purpose, until such legal and/or administrative proceeding is concluded
by a final adjudication including exhaustion of any and all appellate proceedings.
SECTION 4. Signature Authority. The Mayor, or presiding officer, is hereby
authorized to affix his signature to this Resolution signifying its adoption by the City
Council of the City of El Segundo, and the City Clerk, or her duly appointed deputy, is
directed to attest thereto.
SECTION 5. Effective Date. This Resolution will take effect immediately upon
adoption and will remain effective unless repealed or superseded.
SECTION 6. City Clerk Direction. The City Clerk will certify to the passage and
adoption of this Resolution, enter it in the City's book of original Resolutions, and make a
record of this action in the meeting's minutes.
PASSED AND ADOPTED this 18t" day of October 2022.
Drew Boyles,
Mayor
Page 95 of 127
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO
I, Tracy Weaver, City Clerk of the City of El Segundo, California, do hereby certify that
the whole number of members of the City Council of said City is five; that the foregoing
Resolution No. was duly passed and adopted by said City Council, approved and
signed by the Mayor, and attested to by the City Clerk, all at a regular meeting of said
Council held on the day of , 2022, and the same was so passed and adopted
by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, CITY ATTORNEY
Joaquin Vazquez, Assistant City Attorney
Page 96 of 127
EXHIBIT A
City of El Segundo Last Best and Final Offer to
the El Segundo Firefighters' Association Brownout of Engine Number 32
Page 97 of 127
EXHIBIT A
Page 98 of 127
CITY OF EL SEGUNDO/FFA
IMPACTS NEGOTIATIONS — BROWNING OUT ENGINE 32
APRIL 25, 2022
LAST BEST FINAL OFFER
PREAMBLE: During negotiations with the FFA for a successor MOU, the City proposed, as a
separate item, to brown -out Engine 32 for a period of six months. The City has met and
conferred with the FFA in good faith regarding any reasonable foreseeable impacts of the City's
proposal to brown -out Engine 32 for a period of six months. FFA identified two potential
impacts on their members. The FFA asserted that browning -out Engine 32 will: (i) negatively
affect the safety of its members, and (ii) increase the workload on its members. The City has
reviewed all of the FFA's information concerning safety, all of which are speculative in nature,
and has determined that its proposal to brown -out Engine 32 for a period of six months does not
expose FFA members to increased safety risks. The City has stated, and continues to maintain,
that FFA members are expected to adhere to the current safety standards in the Fire
Department's policies and procedures (e.g., minimum amount of personnel at structure fires,
etc.). The arguments offered by the FFA for the alleged safety concerns are speculative in nature.
Concerning the assertion that browning -out Engine 32 will increase the workload for FFA
members, particularly as it relates to building inspections, the City expects all Fire Department
employees to complete their assigned tasks during their assigned work hours. In the event that
FFA members are unable to complete inspections as a result of the browning -out of Engine 32
for a period of six months, the City agrees that FFA members will not be subject to discipline if
goals for building inspections are not met.
Accordingly, the following constitutes the City's Last, Best and Final offer ("LBFO") to the
FFA:
(1) Engine 32 will be browned -out for a period of six months effective May 16, 2022
or the City Council's adoption of this LBFO.
(2) The fire suppression personnel displaced from this brown -out will work in place
of other firefighters, engineers and captains who are on vacation, sick leave, are injured,
or in training or filling other department needs.
(3) Fire Station 2 will not be closed. Truck 32 and Rescue 32 will remain available to
respond to calls for service.
(4) FFA members shall not be subject to discipline if the Fire Department is unable to
complete the City expected number of building inspections during the six-month period
of the brown -out.
City staff will assess the impact on the level of service to City residents from the six-month
brown -out of Engine 32 and submit a report to the City Council for consideration of further
action, if any.
The City requests that the FFA respond to this LBFO by Monday, May 2, 2022.
Page 1 of 1
Page 99 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Public Hearings
Item Number: C.11
TITLE:
Resolution Amending a Regulatory Fee to Recover City Costs for Excessive False
Alarm Responses
RECOMMENDATION:
1. Conduct a public hearing.
2. Adopt a resolution amending a regulatory fee to recover city costs incurred for
certain regulatory El Segundo Fire Department ("ESFD") responses.
3. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
The current adopted fee allowed the City to collect ESFD costs after three false alarms,
but the proposed amendment will conform with the Ordinance to allow City cost
recovery after the first two false alarms. City staff anticipates the Ordinance will cause
most alarm system owners to be more responsible in maintaining their systems in
proper working order, requiring a lower number of responses. Pursuant to California
Constitution article XI1IC, § 1(e)(3), the fees authorized through the Ordinance do not
constitute a "tax" as they concern City regulation enforcement and investigation
performance associated with a regulatory program.
BACKGROUND:
California Constitution article XIIIC, § 1(e)(3) exempts from the definition of a "tax,"
municipal fees imposed to recover the City's regulatory activity costs that is part of a
regulatory program. Timely response to reported emergencies is one of the most
valuable services provided by the ESFD. Prompt response to fire alarms is a service
reasonably expected for the protection and well-being of the entire community, and
ESFD's responds to such alarms as reports of emergencies. The City Council has
adopted an Ordinance establishing a program regulating fire alarms and enabling the
City's cost recovery or reasonable costs incurred in responding to excess fire alarms
Page 100 of 127
Adopt resolution to modify fire false alarm fees
October 18, 2022
Page 2 of 3
(i.e., more than two false alarms in a calendar year).
A false alarm is defined as the activation of an alarm when an emergency does not
exist. From 2021 to 2022, the ESFD is seeing an increasing number of false alarms. In
2021, there were 317 false alarm calls and there have been 264 false alarm calls so far
in 2022 (January 1- September 1, 2022). To help recover the City's reasonable costs
associated with responding to such calls and to encourage alarm system owners to be
more responsive in maintaining their systems in proper working order, the proposed
resolution would allow the ESFD to charge for third and subsequent responses in the
same calendar year at the costs determined by the Master Fee Schedule. Activation
due to weather, or to power outages is not considered billable within the scope of this
policy.
DISCUSSION:
ESFD proposes the City Council's adoption of a resolution to align with the recently
adopted Ordinance establishing a regulatory program for fire alarms similar to the Police
Department's regulatory for burglar alarms. These fees would be implemented to ensure
the efficient utilization of ESFD resources. The resolution would modify the existing fire
false alarm fee in the master fee schedule to change from three responses without
charge to two responses without charge. The fee would be $260 for a 1/2 hour
response that includes Fire Captain, Fire Engineer, and Fire Fighter unit costs. The
resolution would allow for an annual inflationary increase of this fee as part of the
associated increases for the Master Fee Schedule.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 2: Support Community Safety and Preparedness
Objective: El Segundo is a safe and prepared city.
Goal 5: Champion Economic Development and Fiscal Sustainability
Objective 5B: El Segundo approaches its work in a financially strategic and responsible
way.
PREPARED BY:
Nicole Pesqueira, Fire Marshal
REVIEWED BY:
Deena Lee, Fire Chief
APPROVED BY:
Barbara Voss, Deputy City Manager
Page 101 of 127
Adopt resolution to modify fire false alarm fees
October 18, 2022
Page 3 of 3
ATTACHED SUPPORTING DOCUMENTS:
1. ES - False Fire Alarm Fee Resolution
2. EXHIBIT A TO FEE RESO
Page 102 of 127
RESOLUTION NO.
A RESOLUTION AMENDING A REGULATORY FEE TO
RECOVER CITY COSTS INCURRED FOR CERTAIN
REGULATORY EL SEGUNDO FIRE DEPARTMENT
REPONSES.
The City Council of the city of El Segundo does resolve as follows:
SECTION 1. Findings. The City Council finds and declares as follows:
A. California Constitution article XI1IC, § 1(e)(3) exempts from the definition of a
"tax," municipal fees imposed to recover the City's regulatory activities costs
that is party of a regulatory program. California Farm Bureau Federation v.
State Water Resources Control Board (2011) 51 CalAth 421, 438. Here, the
City Council has adopted an ordinance establishing a regulatory, false fire
alarm program that enables the City's imposition of a cost -recovery fee via
resolution, pursuant to El Segundo Municipal Code ("ESMC") § 13-22-5. This
fee allows the City to recovery its costs incurred by the El Segundo Fire
Department as part of such regulatory program.
B. The City Council may establish fees for services under various provisions of
California law including, without limitation, Business & Professions Code §
16000; Government Code §§ 54344, 65104, 65909.5, 65943, 66013, 66014,
66451.2; and Health & Safety Code §§ 17951, 17980.1, and 19852.
C. The City Council seeks to modify a previously adopted regulatory, cost
recovery fee through this Resolution, and such fee was included in the "Cost
of Services Study" by Revenue & Cost Specialists (May 2022).
D. Pursuant to Government Code § 66016, the City made data available
regarding the cost, or estimated cost, of providing certain municipal services
for the proposed.
E. On October 18, 2022, the City Council heard public testimony and considered
evidence in a public hearing held and noticed in accordance with Government
Code §§ 66016 and 66018.
F. After careful consideration, including a review of the documentary and
testimonial evidence submitted during the public hearing, the City Council
finds that the user fees adopted by this Resolution are in the public interest to
recover the City's costs for certain municipal services.
SECTION 2. Approval; Master Fee Schedule; Regulations.
Page 103 of 127
A. The City Council approves the regulatory, cost -recovery fee of $520 per hour,
pursuant to ESMC § 13-22-5, based upon the cost information set forth in Exhibit
"A," which is attached and incorporated by reference.
B. Unless otherwise revised, the fees established by this Resolution will be
automatically adjusted by the City Manager on an annual basis on July 1 of each
year by applying the percent change of the Los Angeles Area of Consumer Price
Index for All Urban Consumers for the prior 12-month period ending on April 30
to the City's fees. The first fee adjustment cannot be made before a minimum of
ten months after the effective date of this Resolution.
C. The City Manager, or designee, may establish policies and procedures as
necessary to carry out this Resolution's provisions.
SECTION 3. Environmental Review. Pursuant to the California Environmental
Quality Act ("CEQA") and the CEQA Guidelines, the actions proposed in this Resolution
are not subject to further review under the California Environmental Quality Act (Public
Resources Code §§ 21000, et seq.; "CEQA") for the following reasons: (1) they will not
result in a direct or reasonably foreseeable indirect physical change in the environment
(14 Cal. Code Regs. § 15060(c)(2)); and (2) there is no possibility that the actions may
have a significant effect on the environment (14 Cal. Code Regs. § 15061(b)(3)).
SECTION 4. Severability. If any part of this Resolution or its application is
deemed invalid by a court of competent jurisdiction, the City Council intends that such
invalidity will not affect the effectiveness of the remaining provisions or applications and,
to this end, the provisions of this Resolution are severable.
SECTION 5. Signature Authority. The Mayor, or presiding officer, is hereby
authorized to affix his signature to this Resolution signifying its adoption by the City
Council of the City of El Segundo, and the City Clerk, or her duly appointed deputy, is
directed to attest thereto.
SECTION 6. Effective Date. This Resolution will take effect upon adoption the
effective date of Ordinance No. and will remain effective unless repealed or
superseded.
SECTION 7. City Clerk Direction. The City Clerk will certify to the passage and
adoption of this Resolution, enter it in the City's book of original Resolutions, and make a
record of this action in the meeting's minutes.
2022.
PASSED, APPROVED AND ADOPTED this day of
Drew Boyles, Mayor
Page 104 of 127
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES 1 SS
CITY OF EL SEGUNDO
I, Tracy Weaver, City Clerk of the City of El Segundo, California, do hereby certify that
the whole number of members of the City Council of said City is five; that the foregoing
Resolution No. was duly passed and adopted by said City Council, approved and
signed by the Mayor of said City, and attested to by the City Clerk of said City, all at a
regular meeting of said Council held on the day of 2022, and the same was
so passed and adopted by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, CITY ATTORNEY
Joaquin Vazquez, Deputy City Attorney
Page 105 of 127
EXHIBIT "A"
FEE INFORMATION
Page 106 of 127
CITY OF EL SEGUNDO
COST DETAIL WORKSHEET
FY 2021-22
SERVICE
REFERENCE NO.
FIRE FALSE ALARM RESPONSE
FR-040
NOTE
TOTAL UNITS
Unit Costs are an Average of Total Units
102
DEPARTMENT POSITION TYPE
UNIT TIME
UNIT COST ANN. UNITS TOTAL COST
FIRE SUPPRESSION FIRE CAPTAIN
0.51
$109.38 102
$11,157
FIRE SUPPRESSION FIRE ENGINEER
0.51
$87.58 102
$8,933
FIRE SUPPRESSION FIRE FIGHTER
0.49
$62.74 102
$6,399
TYPE SUBTOTAL
1.51
$259.70
$26,489
TOTALS
1.51 $259.70 $26,489
May 24, 2022
Page 107 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Staff Presentations
Item Number: D.12
TITLE:
Urho Saari Swim Stadium ("The Plunge") Project
RECOMMENDATION:
1. Authorize modifications to the conceptual design of "The Plunge" project which
was previously presented to the City Council in June 1, 2021.
2. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
Budgeted Amount: $2,500,000 plus $2,500,710 (Chevron Contribution - $500,000, L.A.
Chargers Headquarters Agreement - $2,000,000, $710 - Interest), for a total of
$5,000,710
Current Balance: $4,152,672 ($848,038 has been encumbered for design)
Additional Appropriation: None
Account Number(s): 01-400-8186-8236 (Plunge Rehabilitation 2020) & 702-233-5101-
5418 (Trust Fund for Plunge Rehab Reserve)
Approximately $10.7M is expected to be available for this project in FY 2025-2026 as
follows:
• $4,152,672 - Current balance
• $4,500,000 - City General Fund Budget ($1,500,000 per year for three years - FY
2023-2024 through FY 2025-2026).
• $1,000,000 - L.A. Chargers Headquarters (Ordinance #1631) - $2,000,000 has
been paid to date and is included in the current balance above.
• $1,000,000 - Provided by ESUSD (Agreement 5586)
Estimated Operation & Maintenance (including personnel and utilities): $200,000 per
year
Page 108 of 127
Urho Saari Swim Stadium ("The Plunge") Project
October 18, 2022
Page 2 of 3
BACKGROUND:
In March 2022, the City Council authorized the City Manager to execute a Professional
Services Agreement with IBI Group for $765,000, plus $75,000 for design related
contingencies, for the architectural and engineering design of the Urho Saari Swim
Stadium project. The City Council also authorized the City Manager to execute a
Professional Services Agreement with Westberg White for $75,000 to provide advising
services as needed for the preparation of the design. The design commenced in May
2022 after the Professional Services Agreement was fully executed, and IBI Group
prepared and submitted the following five technical reports on the stadium:
1. Seismic Evaluation Report
2. Phase I Environmental Site Assessment Report
3. Mechanical, Electrical, Plumbing & Technology (MEPT) Concept Report
4. Hazardous Building Material Survey Report
5. Historical Resource Evaluation Report
DISCUSSION:
Based on the findings from the initial investigations documented in these reports and
further analysis, including interpretion of the currently adopted California Building Code,
it was determined that the conceptual design as previously presented to the City
Council in June 2021 would have to be modified as follows:
• Two lifts (elevators) have to be added to meet the American Disability Act (ADA)
requirements.
• The restrooms and the entrance lobby on the first floor need to be modified as a
result of adding the two lifts.
• The entrance facade of the building needs to be saved due to the historical
nature of the facility.
• Fire Alarm System to be added, per Fire Marshall.
• A room needs to be added to accommodate the IT -related components.
• An exit door needs to be added per Fire Marshall.
• The IBI Group is recommending a modified lay -out for the locker
room s/showers/restrooms which would facilitate better circulation.
The previous cost estimate for this project was $9.2M. The revised current estimate is
$11.6M. Most of the difference in the estimates is due to the fact that the previous
estimate did not include the cost for the "Environmental Demolition / Removal of
Hazardous Materials", the two lifts and the Fire Alarm System. Once these modifications
are approved by the City Council, it is anticipated that the design of the project will be
completed by the summer of 2023.
Page 109 of 127
Urho Saari Swim Stadium ("The Plunge") Project
October 18, 2022
Page 3 of 3
Staff met with the Aquatics Sub -Committee of Recreation and Parks Commission on
September 28th, 2022, and explained these modifications. The consensus of the Sub -
Committee was that these modifications were necessary and acceptable. The
presentation herein will provide the details of these modifications to the June 2021
conceptual design, estimated cost impacts, and updated project schedule.
Subsequently, when staff returns to the City Council for adoption of the final design
drawings, and the construction specification and documents and request to advertise
the project for construction, a fundraising strategy will also be presented to the City
Council for consideration and approval to secure additional needed funds for
construction and construction inspection/administration.
It is to be noted that the annual cost of Operation & Maintenance (including personnel
and utilities) of "The Plunge" has been approximately $200,000 per year. This number
will most likely be changed based on new designed equipment.
Goal 4: Develop and Maintain Quality Infrastructure and Technology
Objective 4A: El Segundo's physical infrastructure supports an inviting and safe
community.
PREPARED BY:
Cheryl Ebert, Senior Civil Engineer
REVIEWED BY:
Elias Sassoon, Public Works Director
APPROVED BY:
Barbara Voss, Deputy City Manager
ATTACHED SUPPORTING DOCUMENTS:
None
Page 110 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Staff Presentations
Item Number: D.13
TITLE:
FY 2021-2022 Year -End Financial Report
RECOMMENDATION:
1. Receive and file the unaudited FY 2021-2022 Year -End Financial Report.
2. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
None
BACKGROUND:
Staff has reviewed all revenues and expenditures in the General Fund, as well as all
revenues and expenses in the Enterprise Funds and Internal Service Funds for FY
2021-2022.
DISCUSSION:
A detailed report is attached that provides discussion on how the General Fund
performed with regards to both revenues and expenditures. The report also discusses
the year-end performance of the various Enterprise Funds, Internal Service Funds, Debt
Fund, and the Senior Housing Fund.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 5: Champion Economic Development and Fiscal Sustainability
Objective 513: El Segundo approaches its work in a financially strategic and responsible
way.
Page 111 of 127
FY 2021-2022 Year -End unaudited Financial Report
October 18, 2022
Page 2 of 2
PREPARED BY:
Joseph Lillio, Chief Financial Officer
REVIEWED BY:
Joseph Lillio, Chief Financial Officer
APPROVED BY:
Barbara Voss, Deputy City Manager
ATTACHED SUPPORTING DOCUMENTS:
Fiscal Year -End 2021-2022 Financial Review
Page 112 of 127
MEMORANDUM
CrrV OF
ELSD
To: Honorable Mayor and Members of City Council
From: Darrell George, City Manager & Joseph Lillio, Chief Financial Officer
Date: October 18, 2022
Subject: Unaudited Fiscal Year -End 2021-2022 Financial Review
F I NAN C E D E P A R T M E N T
350 Main Street I El Segundo, California 90245
310-524-2300 1 elsegundo.org
Page 113 of 127
Unaudited Fiscal Year -End 2021-2022 Financial Review
This detailed report provides discussion on how the General Fund performed during the
Fiscal Year 2021-2022, with regards to both revenues and expenditures. The report also
discusses the year-end performance of the various Enterprise Funds, Internal Service
Funds, Debt Fund, and the Senior Housing Fund.
Staff has reviewed all revenues and expenditures in the General Fund, as well as revenue
and expenses in the Enterprise Funds and Internal Service Fund for Fiscal Year 2021-
2022.
Goal 5 of the City of El Segundo's Strategic Plan is to Champion Economic Development
and Fiscal Sustainability. The following report supports both this Strategic Plan goal, as
well as its corresponding Objective number 513: El Segundo approaches its work in a
financially strategic and responsible way.
Background
The Adopted Operating Budget for Fiscal Year (FY) 2021-2022 was a balanced budget.
With this budget, the City began the first full twelve months on the July 1 — June 30 budget
cycle. Prior to this the City operated on the Federal fiscal year cycle, October 1 —
September 1. FY 2020-21 was an abbreviated nine -month budget cycle from October 1,
2020 to June 30, 2021. This allowed for the successful switch to a full 12 months from
July 1, 2021 to June 30, 2022.
COVID-19
During the development of the FY 2021-22 Budget (January 2021 — May 2021), COVID-
19 still posed a significant threat to the safety and welfare of society, as well as a threat
to the economy. As a result, the City approved a budget that anticipated a slow return to
normal economic activity. As FY 2021-22 progressed, we learned more about COVID-
19 and became better equipped as a society to address the safety and welfare challenges
this pandemic posed which allowed for businesses to fully open again. Towards the
beginning of calendar year 2022, the business and leisure traveler slowly began to return.
During the last two months of FY 2021-22, most of the City's main General Fund revenues
were back to pre -pandemic levels.
Extensive Budget Preparation & Discussion Process
The FY 2021-2022 budget preparation process began at the staff level in late 2020.
Public discussion with City Council started with the April 20, 2021 Strategic Planning
Session, followed by the FY 2020-2021 General Fund Mid -Year Budget Update
presentation later the same evening. There was further budget discussion with City
Council during the May 4, 2021 Budget Study Session. The FY 2021-22 Budget was
adopted on June 15, 2021.
2
Page 114 of 127
Due to the impact of COVID-19 (mainly the loss of hotel Transient Occupancy Tax
revenues), the Proposed FY 2021-2022 General Fund Budget preparation process began
with a $9 million deficit. Staff worked diligently to strategize a plan to close this gap.
Through discussions with City Council during the Strategic Planning and Budget Study
sessions, the following approach was developed to close this gap:
• One-time use of OPEB Trust fund: $2,400,000
0 Currently 58% funded and there are no new contributions to the trust
required
0 Actuary assumption of $1,850,000 investment earnings for FY 2020-21
o $6,800,000 in actual investment earnings through May 31, 2021
• One-time use of General Fund Balance: $2,025,125
0 After fully funding the 20% policy reserve
• Freeze 23.5 vacant positions: $2,174,875
0 12.5 positions frozen for 12 months and 11 positions frozen less than 12
months
• Reduction to Operations & Maintenance items: $1,500,000
• Reduce Equipment Replacement fund contribution: $900,000
Although this approach is not ideal, it does allow the City to move forward with limited
service and infrastructure maintenance impacts. This approach also complies with the
City's Financial Policies.
General Fund: Revenues Adopted vs. Year -End Actuals
(Unaudited)
The table and charts below reflect the General Fund revenues that were included with the
adopted Fiscal Year 2021-2022 budget and the year-end unaudited actuals. The year-
end unaudited actuals came in slightly higher than the revenue that was anticipated with
the adoption of the budget. The year-end unaudited actuals were $8.4 million higher than
the original FY 2021-2022 revenues. This equates to a 11.2% increase in revenues
compared to the adopted budget.
3
Page 115 of 127
FY 2021-22 General Fund Revenues Adonted vs_ Year End Actuals (Unaudited)
No.
1
General Fund Revenues
Sales Tax
FY2021-2022i
Adopted
$12,250,000
Unaudited
Actuals
$13,374,232
Over/(Under)
BudgetRevenues
$ 1,124,232
Received
109%
2
Business License Tax
$11,750,000
$11,616,606
$(133,394)
99%
3
Property Tax
$9,882,525
$10,008,587
$126,062
101 %
4
Transient Occupancy Tax
$8,420,000
$12,267,534
$3,847,534
146%
5
Chevron Tax Reso Agree
$6,600,000
$7,322,517
$722,517
111 %
6
Utility Users Tax
$6,289,500
$8,541,409
$2,251,909
136%
7
Charges for Service
$4,755,511
$5,286,054
$530,543
111 %
8
Transfers -in
$4,013,235
$2,011,733
$(2,001,502)
50%
9
Franchise Tax
$3,000,000
$3,853,865
$853,865
128%
10
Other Revenues
$2,817,770
$2,606,891
$(210,879)
93%
11
Intergovern Revenues
$2,178,909
$2,164,809
$(14,100)
99%
12
License & Permits
$1,825,000
$1,910,715
$85,715
105%
13
Interest & Rentals
$726,250
$1,895,153
$1,168,903
261%
14
Fines & Forfeitures
$294,000
$373,425
$79,425
127%
Total General Fund Revenue
$74,802,700
$83,233,531
$8,430,831
111.27%
FY 2021-22 General Fund Revenues Adopted vs. Year End Actuals
(Unaudited)
$14,000,000.00
$12,000,000.00
$10,000,000.00
$8,000,000.00
$6,000,000.00
$4,000,000.00
$2,000,000.00 L d ■ ■ J
a,\e� ��� e�� ��� +� ��� ��c, 5��� ��� �J�� ��6, Q6, �'p
g J �oQ pow �a J5 ,roc c nor t� Q- �0 °
ZCI Q \��� �o P \� CO ��a Ors o��Ge�S \��_e, � 4r
■ FY2021-2022 Adopted Revenues ■ FY 2021-2022 Unaudited Actuals
General Fund: Revenues Adopted vs. Year -End Actuals
(Unaudited), cont'd
Total General Fund unaudited revenues ended the fiscal year $8,430,831 higher than
the adopted budget. As noted in the table above, the major variances in estimates
compared to the year-end actuals in revenues are as follows:
1. Business License Taxes:-$133,394 (-1 %); very close to budget.
4
Page 116 of 127
2. Sales & Use Taxes: +$1,124,232 (+9%), as COVID-19 restrictions continued to lift,
local business and industry sales increased in tandem, as well as inflation driving
the price of taxable goods higher. Also, the higher price for gasoline significantly
contributed to the increased sales tax revenue.
3. Property Taxes: +126,062 (+1 %), driven by the Prop. 13 increases in property
values, and a change in ownership of properties which reassesses the property at
current market value.
4. Transient Occupancy Tax: +3,847,534 (+46%), as COVID-19 restrictions
continued to lift, travel and tourism increased in tandem. Both the occupancy
levels and room rates steadily increased during the second half of FY 2022. TOT
is still down from the pre-COVID level of $15 million per year.
5. Chevron Tax Resolution Agreement: Year-end revenue was up by $722,517
(+11 %) due to this year's payment was based on the prior year's actual tax
revenue received from Chevron and a "true -up" payment to be paid the following
fiscal year once the actual tax revenues have been reconciled. There is an
established annual tax ceiling for Chevron that is increased each year by the
applicable Consumer Price Index (CPI).
6. UUT: +$2,251,909 (+36%), mainly due to large increases incommodity prices that
had a direct impact on electric/gas/and water rates. The Electric Utility User Tax
and Cogenerated Electric/Chevron Utility User Tax had the largest increases.
7. Charges for Services: +$530,543 (+11 %), contributed by an increase in Wiseburn
Drop -In Programs and Facility Reservation Fees, as well as returns to several
other programs that had been suspended or modified with previous COVID-19
restrictions.
8. Transfers -in: the Fiscal Year 2021-2022 adopted budget included an anticipated
$2 million transfer from the OPEB Trust, which was not necessary to implement
due to General Fund revenues increasing higher than anticipated.
9. Franchise Fees: +$853,865 (+28%), this revenue source is primarily made up of
the annual payment received by Southern California Edison (SCE) and The Gas
Co. The actual payments were higher than expected due to large increases in
commodity prices, as well as the rates charged by the utility providers.
10.Other Revenues: Year-end revenue was down by $210,879 (-7%) due to a
decrease in developer contributions.
11.Intergovernmental:-$14,100 (-1%) came in very close to budget, with revenue
from Motor Vehicle in Lieu and Vehicle License Fee (VLF) Swap Fees were slightly
lower than anticipated.
5
Page 117 of 127
12. Licenses and Permits: +$85,715 (+5%), due to increases in both Building Permits
and Street permits.
13.Interest Earnings & Rental Income: +$1,168,903 (+161%), driven by increases in
interest on investments primarily due to the increase in interest rates by the Fed.
14. Fines & Forfeitures: +$79,425 (+27%), mainly due to increases in Parking Fines.
Total General Fund Revenue, Fiscal Year 2017-2018
Through 2021 -2022
The below graph depicts the total General Revenue the City received by fiscal year from
FY 2017-2018 through FY 2021-22, resulting in five years of comparative data.
It is evident the severe negative impacts that COVID-19 and the related economic shut
down had on the City of El Segundo's General Fund revenues from Fiscal Year 2019-
2020 through Fiscal Year 2020-2021.
However, unaudited figures for Fiscal Year 2021-2022 suggest a significant upward
trend of revenue recovery. Unaudited actual revenues for the General Fund not only
imply to have exceeded the budget, but also to exceed pre -pandemic totals from Fiscal
Year 2017-2018.
Total General Fund Revenue: Last 5 Years
$85,000,000.00
$80,20 ,257.00
$80,000,000.00 $76,607 906.00
$75,000,000.00 $83,233,531.00
$70,000,000.00
$72,503,400.00 $61,697 273.0
$65,000,000.00
$60,000,000.00
2018 2020 2021
The following revenues continue to perform as the highest sources of
General Fund Revenue:
Business License Tax
Utility Users Tax
Franchise Tax
0
Transient Occupancy Tax
Property Tax
Sales Tax
Page 118 of 127
Fiscal Year -End 2021 -2022 General Fund Appropriations
Adopted General Fund Appropriations for FY 2021-2022 were $77,651,553, and the
unaudited year-end expenditure actuals were $77,097,841. The adopted budget was
close to the year-end actuals with variance of less than 1 %. The table below illustrates a
comparison of the adopted budget to unaudited actuals, by department:
General Fund Appropriations
No
Department
FY 2021-22
Adopted Budget
FY 2021-22
Unaudited Actuals
Variance ($)
% of
Budget
1
Police
$19,436,175
18,859,873
$576,302
97%
2
Fire
13,782,667
14,495,035
(712,368)
105%
3
Transfers Out
10,538,908
11,340,949
802,041
108%
4
Public Works
8,695,404
8,617,357
78,047
99%
5
Nondepartment
5,904,993
6,189,736
284,743
105%
6
Rec/Park/Library
5,878,231
4,907,558
970,673
83%
7
Dev Services
3,098,785
2,630,101
468,684
85%
8
Information Tech
3,023,930
2,665,027
358,903
88%
9
City Manager
2,453,282
2,326,656
126,626
95%
10
Finance/Treasury
2,412,820
2,235,094
177,726
93%
11
Human Resources
977,063
1,240,818
(263,755)
127%
12
City Attorney
561,950
752,602
(190,652)
134%
13
City Clerk
530,749
453,884
76,865
86%
14
City Council
356,596
335,424
21,172
94%
15
COVID-19
Response
0
463,649
(463,649)
N/A
16
Social Justice
Protests
0
89
(89)
N/A
17
Total
$77,651,553
$77,513,852
137,701
99.8%
As shown in the table above, the major changes to estimates in expenditures are as
follows (+ variance is a budgetary savings and (xx,xxx) is a budgetary overage):
1. Police: a decrease in salaries, benefits, and overtime due to position vacancies.
2. Fire: an increase in overtime.
3. Transfers Out: this includes the payment for the Pension Obligations Bonds
(POBs) payment, transfer out to the CIP Fund (Fund 301) for capital projects, and
a transfer out to the Solid Waste Fund.(Fund 505). The transfer out to the Solid
Waste Fund to cover a deficit fund balance due to a continued subsidy for
residential trash and a transfer for a CIP project were brought to the City Council
during FY 2021-22 and were not originally included in the adopted budget.
7
Page 119 of 127
4. Public Works: a decrease in salaries and benefits due to position vacancies.
5. Non -departmental: over budget, due to retiree health insurance increasing as a
result of additional retirements from the City that were not anticipated for in the
budget.
6. Community Services (now Recreation, Park and Library): the Parks division budget
was removed for this Fiscal Year as services were moved to Public Works. While
expenses under Parks were incurred, they were heavily offset by the reduction of
the overall department's budget. This reduction also offset the Recreation division,
which, too, came in under budget. The Library division was slightly under budget.
Many programs were not fully implemented due to COVID restrictions for part of
the year. There were also several vacancies resulting in a savings to salaries and
benefits.
7. Development Services: a decrease in professional services and in salaries,
benefits, and overtime due to position vacancies, particularly in the Planning
division.
8. Information Technology: under budget due to position vacancies and a reduction
of contracted services expenses.
9. City Manager: slightly under budget, mainly due to reductions in contracted
services and a vacancy for part of the year.
10. Finance & Treasury: a decrease in salaries and benefits due to position vacancies.
11. Human Resources: an increase in personnel investigations, litigation costs, and
claims.
12. City Attorney: over budget, mainly due to an increase in legal counsel activities
related to personnel claims and lawsuits, general litigation, and personnel
investigations.
13. City Clerk: under budget due to a decrease in professional services, contracted
services, and advertising expenditures.
14. City Council: slightly under budget due to a decrease in dues and subscriptions,
advertising, and contracted services.
15.COVID-19 Response: These costs were tracked separately in order to claim
reimbursement from FEMA for the COVID related activities. While this activity did
come in over budget, the City continues to file several claims with FEMA with the
0
Page 120 of 127
intent of being reimbursed up to 100% for the COVID related expenditures.
16. Social Justice Protests: Year-end expenditures are minimal and limited to a single
staffing expense from 2021. This expenditure will not be eligible for either FEMA
or State of California reimbursement.
Fiscal Year End General Fund Results
General Fund Balance for Fiscal Year -End 2021-22 & FY 2022-23
Year-end estimate Actuals
(Unaudited)
Beginning Unassigned Fund Balance at June 30, 2021
(based on FY 2020-2021 audited CAFR)
Plus revenues for FY 2021-2022
Less unaudited year-end expenditures for FY
2021-2022 (includes transfers out)
Ending Fund Balance at June 30, 2022
$ 27,898,675
$ 27,898,675
$ 75,207,165
$ 83,233,531
$ (79,244,524)
$ (77,513,852)
$ 23,861,316
$ 33,618,354
Plus estimated revenues for FY 2022-2023
Less estimated expenditures for FY 2022-2023
Estimated Ending Unassigned Fund Balance at June
30, 2022
$ 81,750,522
$ 81,750,522
$ (85,941,128)
$ (85,941,128)
$19,670,710
$ 29,427,748
20% General Fund Reserve
Unassigned reserves for FY 2022-2023
$(17,188,225)
$ (17,188,225)
$ 2,482,485
$ 12,239,493
The economic recovery resulting from the end of the pandemic,
coupled with rising inflation have resulted in a strong recovery
for the City's General Fund revenues for FY 2021 -22. The
adopted budget for FY 2021 -22 had a slow economic return and
low inflation factored into the assumptions. While inflation is not
good for the consumer, it does have a positive impact on
government agencies revenues.
0
Page 121 of 127
The additional General Fund reserves that exceed the Council's
20% reserve policywill be discussed during the mid -year budget
review in February 2023.
Economic Uncertainty Reserve
Fiscal Year
FY 2021-22
FY 2022-23
Reserve Balance
$1,900,004
$2,000,004
Reserve Policy
$2,000,000
$2,000,000
Reserve Deficit
($99,996)
$4
DEBT SERVICE FUND
The Debt Service fund records the City's lease payments for the Douglas Street Gap
Closure capital improvement project. In September 2005, the City entered into a facility
lease agreement with California Infrastructure and Economic Development Bank (CIEDB)
whereby CIEDB issued $10,000,000 in bonds to finance the Douglas Street Gap Closure
Project. The City makes semi-annual lease payments over a 30-year period from Traffic
Mitigation Fees which began in February 2006. The General Fund does not fund the debt
service. The expenses were down compared to the adopted budget due to the principal
and interest actual expenses coming in lower than anticipated. Revenues from traffic
mitigation funds, which are the source of revenue for the debt service payment, were
lower than the budgeted revenue.
Debt Service Fund Revenues Expenses
FY 2021-22 Budget
$360,000.00
$545,000.00
FY 2021-22 Actuals (unaudited)
$165,724.28
$526,383.22
Variance
($194,275.72)
$18,616.78
ENTERPRISE FUNDS
The decrease in water revenues for both Water Utility and Wastewater (Sewer) funds is
mainly due to low interest rates, resulting in associated investment revenue coming in
lower than anticipated.
However, potable water sales (Water Utility), and miscellaneous revenue (Water Utility
and Wastewater) exceeded revenue expectations.
Both Water Utility and Wastewater expenses were under budget. The Water Utility Fund
10
Page 122 of 127
expenses decreased for both contractual services and repair/maintenance services for
pending capital projects, while the Wastewater Fund had substantially less expenses
related to repairs and maintenance, and contracted services than anticipated.
Water Fund Revenues Expenses
FY 2021-22 Budget
$35,735,911.00
$31,314,039.00
FY 2021-22 Actuals (unaudited)
$35,160,549.77
$30,994,155.59
variance
($575,361.23)
$319,883.41
Wastewater Fund Revenues Expenses
FY 2021-22 Budget
$5,533,582.00
$6,520,356.00
FY 2021-22 Actuals (unaudited)
$4,729,064.37
$4,166,019.92
variance
($804,517.63)
$2,354,336.08
INTERNAL SERVICE FUNDS
General Liability Fund revenues exceeded budget expectations, due in part to the
recovery of claims paid. Expenses were under budget due to low operations
expenditures, and a decreased amount attributed to claims expenses than anticipated.
The claims recovery is the highest it has been in the past twenty years. This is a direct
result of Council approving the Risk Manager position in FY 2020-21 and having it filled
during FY 2021-22.
Workers' Compensation Fund revenues were higher than expected, due to recovery of
claims paid. The expenses were down from the budgeted amount, due to a decrease in
expenditures related to insurance and bonds, and claims expenses. The claims expense
is the lowest in seven years.
General Liability Fund Revenues Expenses
FY 2021-22 Budget
$3,030,000.00
$3,194,306.00
FY 2021-22 Actuals (unaudited)
$3,275,665.74
$2,642,267.45
variance
$245,665.74
$552,038.55
Workers' Compensation Fund Revenues Expenses
FY 2021-22 Budget
$3,125,374
$3,490,975
FY 2021-22 Actuals (unaudited)
3,705,062
$2,824,738
variance
$579,688
$666,237
11
Page 123 of 127
SENIOR HOUSING FUND
In 1986, the City constructed a 97-unit senior housing project, Park Vista. The City
continues to own and maintain Park Vista. The property is overseen by the Senior Citizen
Housing Corporation Board and managed by a third -party property management firm,
The Cadman Group. The decrease in actual revenue compared to the projected revenue
was caused by interest rate on the reserve balance of $1 million going down. Expenses
related to the fund included work on capital improvements, for which the 2020-2021
budget marked $60,00; as well as legal counsel and part-time personnel.
Senior Housing Fund Revenues Expenses
FY 2021-22 Budget
$20,000.00
$75,313.00
FY 2021-22 Actuals (unaudited)
$3,313.26
$46,149.17
variance
($16,687)
$29,164
OTHER FUNDS
The Adopted FY 2021-2022 Citywide Budget also included a number of other Special
Revenue Funds and Proprietary Funds not included in this unaudited year-end update.
These funds will be included in the City's official FY 2021-2022 Annual Financial Report
which will be presented to City Council in December 2022.
CONCLUSION:
Balancing the FY 2021-2022 Budget was a major challenge since the fiscal year operated
under a radically different scenario from previous fiscal years. While the organization was
able to make the necessary adjustments to ensure that the General Fund and other major
Funds ended the year in the black, considerable financial difficulties remain as the cost
of providing services rise and some effects of COVID-19 continue to impact the local
economy. The City will continue to focus its efforts on keeping local residents and
businesses safe. Expenditures on employee retirement benefits will continue to rise as
CalPERS continues to phase in a lower discount rate and a lower their investment risk
tolerance for the CalPERS portfolio. In addition, medical premiums are seeing significant
increases for 2023. Other budgetary pressures are the rising inflationary pressures on
goods and services purchased by the City and the rising costs of construction materials.
12
Page 124 of 127
{.,rVoy City Council Agenda Statement
ELSEGUNDO Meeting Date: October 18, 2022
Agenda Heading: Staff Presentations
Item Number: D.14
TITLE:
Extension of License Agreements with El Segundo Youth Sports Organizations
RECOMMENDATION:
1. Authorize the City Manager to extend the License Agreements with each El
Segundo Youth Sports Organization identified in the Youth Sports Council
Athletic Field/ Facility Use and Allocation Policy for the remainder of FY 22-23.
2. Alternatively, discuss and take other action related to this item.
FISCAL IMPACT:
Total annual revenue from the license agreements is estimated to be $24,000, which
has been included in the adopted 22-23 budget.
BACKGROUND:
The Recreation and Parks Fee Analysis Task Force was created on September 18,
2012 and was tasked with analyzing and recommending fees associated with programs
and services offered throughout the Recreation Division, with cost recovery and
sustainability as key priorities. The Task Force recommended that the eight El Segundo
Youth Sports Organizations identified in the Youth Sports Council Athletic Field/Facility
Use and Allocation Policy pay an annual fee of $10 per resident player and $30 per
non-resident player within each youth sports organization based on their primary
season roster, which helps to cover the City's costs. The City Council approved the fees
on May 20, 2014.
The license agreements with each Youth Sports Organization were intended to provide
scheduled field space at George Brett, Campus El Segundo and Richmond Street fields
to specific sports organizations for the purpose of operating sports programs. The City
also reserves the right to offer other fields if needed and can terminate the license
agreements without cause.
Page 125 of 127
Extension of License Agreements with El Segundo Youth Sports Organizations
October 18, 2022
Page 2 of 3
The original license agreements with each Youth Sports Organization were approved by
City Council on February 17, 2015 for a term of three years. At its September 4, 2018
meeting, City Council approved an amendment to the Youth Sports Organization
license agreements for another three-year term. On March 16, 2021, City Council
approved one-year extension for FY 20-21. Finally, on February 15, 2022, City Council
approved extending the license agreements for the Youth Sports Council Organizations
for FY 21-22.
DISCUSSION:
City staff recommends City Council approve amending the license agreements for the
remainder of FY 22-23 for each Youth Sports Organization identified in the Youth Sports
Council Athletic Field/Facility Use and Allocation Policy. This amendment will allow
each Youth Sports Organization to continue using the fields and facilities while fees and
the Youth Sports Council Athletic Field/Facility Use and Allocation Policy are reviewed
and possibly revised.
Fees did not increase for the Youth Sports Organizations in 21-22. City staff plans to
schedule a meeting with each Youth Sports Organization in January 2023 to discuss fee
increases. Staff is in the process of scheduling a joint meeting between the Recreation
and Parks Commission and the Youth Sports Organization to discuss revising the Youth
Sports Council Athletic Field/ Facility Use and Allocation Policy. In May 2023, staff will
return to City Council with a recommendation for FY 23-24.
CITY STRATEGIC PLAN COMPLIANCE:
Goal 1: Enhance Customer Service, Diversity, Inclusion and Communication
Objective 1A: El Segundo provides unparalleled service to all customers.
Objective 1 B: El Segundo's engagement with the community ensures excellence.
Goal 5: Champion Economic Development and Fiscal Sustainability
Objective 5B: El Segundo approaches its work in a financially strategic and responsible
way.
PREPARED BY:
Arecia Hester, Recreation Superintendent
REVIEWED BY:
Aly Mancini, Recreation, Parks and Library Director
APPROVED BY:
Barbara Voss, Deputy City Manager
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Extension of License Agreements with El Segundo Youth Sports Organizations
October 18, 2022
Page 3 of 3
ATTACHED SUPPORTING DOCUMENTS:
None
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