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2008 MAY 20 - CC PACKETAGENDA EL SEGUNDO CITY COUNCIL COUNCIL CHAMBERS - 350 Main Street 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 the 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, 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. Before speaking to the City Council, please come to the podium and state: Your name and residence and the organization you represent, if desired. Please respect the time limits. Members of the Public may place items on the Agenda by submitting a Written Request to the City Clerk or City Manager's Office at least six days prior to the City Council Meeting (by 2:00 p.m. the prior Tuesday). The request must include a brief general description of the business to be transacted or discussed at the meeting. Playing of video tapes or use of visual aids may be permitted during meetings if they are submitted to the City Clerk two (2) working days prior to the meeting and they do not exceed five (5) minutes in length. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact City Clerk, 524 -2305. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. REGULAR MEETING OF THE EL SEGUNDO CITY COUNCIL TUESDAY, MAY 20, 2008 - 6:00 P.M. Next Resolution # 4558 Next Ordinance # 1419 6:00 P.M. 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 the City Council. Failure to do so shall be a misdemeanor and punishable by a fine of $250. CLOSED SESSION: The City Council may move into a closed session pursuant to applicable law, including the Brown Act (Government Code Section §54960, et sue.) for the purposes of conferring with the City's Real Property Negotiator; andlor conferring with the City Attorney on potential andlor existing litigation; and /or discussing matters covered under Government Code Section §54957 (Personnel); andlor conferring with the City's Labor Negotiators; as follows: CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION (Gov't Code §54956.9(a)) - -1- matters 1. City of El Segundo vs. City of Los Angeles, et. al. LASC No. BS094279 CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code §54956.9(b): -5- potential case (no further public statement is required at this time); Initiation of litigation pursuant to Government Code §54956.9(c): -2- matter. DISCUSSION OF PERSONNEL MATTERS (Gov't Code §54957): -0- matters CONFERENCE WITH CITY'S LABOR NEGOTIATOR (Gov't Code §54957.6): -0- matter CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Gov't Code §54956.8): -0- matter SPECIAL MATTERS: -0- matter 02 AGENDA EL SEGUNDO CITY COUNCIL COUNCIL CHAMBERS - 350 Main Street 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 the 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, 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. Before speaking to the City Council, please come to the podium and state: Your name and residence and the organization you represent, if desired. Please respect the time limits. Members of the Public may place items on the Agenda by submitting a Written Request to the City Clerk or City Manager's Office at least six days prior to the City Council Meeting (by 2:00 p.m. the prior Tuesday). The request must include a brief general description of the business to be transacted or discussed at the meeting. Playing of video tapes or use of visual aids may be permitted during meetings if they are submitted to the City Clerk two (2) working days prior to the meeting and they do not exceed five (5) minutes in length. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact City Clerk, 524 -2305. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. REGULAR MEETING OF THE EL SEGUNDO CITY COUNCIL TUESDAY, MAY 20, 2008 - 7:00 P.M. 7:00 P.M. SESSION CALL TO ORDER INVOCATION — Pastor John Svendsen, First Baptist Church PLEDGE OF ALLEGIANCE — Mayor Pro Tern Eric Busch Next Resolution # 4558 Next Ordinance # 1419 00i PRESENTATIONS a. Certificates of Commendation for volunteer services of the AARP Volunteer Tax Preparers for senior citizens of El Segundo. ROLL CALL 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. 1. Pursuant to the procedures set forth on the first page of this Agenda, resident Jack Axelrod has requested that the following items be placed on the City Council Agenda for possible discussion and action by the Council. The Council is not required to discuss or take action on these items. a. Replace all the U.S. flags on Grand Ave. with flags designed by the elementary school children of El Segundo. Emphasis should be on designs promoting peace and a healthy environment. b. Prepare a resolution calling upon Rep. Harmon immediately to initiate Impeachment Proceedings against the President and the Vice President on the basis of war crimes as well as domestic crimes. C. Prepare a resolution calling upon House Speaker Pelosi to (A) get HR -4102 to the floor with all speed, and (B) to reject all new appropriations for funding a hideous, immoral and illegal war and occupation. d. Prepare a resolution calling upon Senate Majority Leader Reid to (A) bring about the immediate withdrawal of all U.S. military forces from Iraq, and (B) demand the closing of at least 300 of our 700 military bases (including the Air Force base here in El Segundo) around the world, and (C) begin reductions of our nuclear weapons stockpiles. A. PROCEDURAL MOTIONS Consideration of a motion to read all ordinances and resolutions on the Agenda by title only. Recommendation — Approval. B. SPECIAL ORDERS OF BUSINESS 4 004 C. UNFINISHED BUSINESS 2. Consideration and possible action regarding: (1) The approval of a Contract Change Order to the existing Public Works Contract with SEMA Construction, Inc. in conjunction with the construction of the Douglas Street Gap Closure Project. (Fiscal Impact: $674,659.43, Change Order); (2) An amendment to the existing Professional Services Agreement with Caltrop Corporation (Fiscal Impact: $73,930.00, Amendment Amount); (3)An amendment to the existing Professional Services Agreement with the Dardanelle Group, Inc. (Fiscal Impact: $25,000.00, Amendment Amount) Recommendation — (1) Authorize the City Manager, or designee, to execute Change Order Number 32 to the existing Public Works Contract with SEMA Construction, Inc. in the total amount of $674,659.43; (2) Authorize the City Manager, or designee, to execute an amendment to the contract with Caltrop Corporation, in a form approved by the City Attorney, in the amount of $73,930.00; (3) Authorize the City Manager, or designee, to execute an amendment to the contract with the Dardanelle Group, Inc., in a form approved by the City Attorney, in the amount of $25,000.00; (4) Alternatively discuss and take other action related to this item. 3. Consideration and possible action to receive and file the staff report pertaining to operations at Campus El Segundo Athletic Fields located at 2201 East Mariposa. (Fiscal Impact: $95,950) Recommendation — (1) Receive and file the staff report regarding Campus El Segundo Athletic Fields safety options; (2) Alternatively, discuss and take other action related to this item. D. REPORTS OF COMMITTEES, COMMISSIONS AND BOARDS E. CONSENT AGENDA All items listed are to be adopted by one motion without discussion and passed unanimously. If a call for discussion of an item is made, the item(s) will be considered individually under the next heading of business. 4. Warrant Numbers 2565657 to 2565907 on Register No. 15 in the total amount of $1,033,290.90 and Wire Transfers from 4/25/2008 through 5/8/2008 in the total amount of $1,126,447.51. Recommendation — Approve Warrant Demand Register and authorize staff to release. Ratify: Payroll and Employee Benefit checks; checks released early due to contracts or agreement; emergency disbursements and /or adjustments; and wire transfers. 5. Regular City Council Meeting Minutes of May 6, 2008 and Special City Council Meeting of April 29, 2008. Recommendation — Approval. 00 0 6. Consideration and possible action regarding the approval of the examination plan for the Personnel Merit System job classification of Human Resources Manager. (Fiscal Impact: None) Recommendation — (1) Approve the examination plan; (2) Alternatively, discuss and take other action related to this item. 7. Consideration and possible action regarding the status on staffing and workload issues in the Planning and Building Safety Department. (Fiscal Impact: $30,000) Recommendation — (1) Receive and file; (2) Authorize staff to fill the vacant Principal Planner and Senior Building Inspector positions; (3) Alternatively, discuss and take other action related to this item. 8. Consideration and possible action regarding authorizing the City Manager to purchase two new alternative fuel vehicles at a cost not to exceed $60,000 for use by the Planning and Building Safety Department. (Fiscal Impact: $60,000.00) Recommendation — (1) Authorize the City Manager to approve the purchase of two alternative fuel vehicles for use by the Planning and Building Safety Department; (2) Alternatively, discuss and take other action related to this item. 9. Consideration and possible action to accept a cash contribution from Chevron Products Company, donated to the El Segundo Fire Department in support of Super CPR Saturday (Cardio- Pulmonary Resuscitation instruction; $1,000) and Suppression Training ($4,000). (Fiscal Impact: $5,000) Recommendation — (1) Accept donations and authorize the City Manager to transfer the monies into the CPR General Fund account and Suppression Training account; (2) Alternatively, discuss and take other action related to this item. 10. Consideration and possible action regarding the approval of two professional service agreements in excess of $10,000 for Accounting, Tax and Advisory of Orange County, L.L.C. (CBIZ) and Macia Gini & O'Connell L.L.P. (formerly Moreland & Associates) in support of the Finance Department. (Fiscal Impact $75,000 off -set with salary savings of $75,000.) Recommendation — (1) Authorize the City Manager to approve /amend Professional Services Agreements on behalf of the City for temporary professional accounting services with CBIZ in the amount of $38,000 and Macia Gini & O'Connell L.L.P. in the amount of $37,000 for an amount not to exceed $75,000, as approved to form by the City Attorney; (2) Alternatively discuss and take other action related to this item. 6 006 11. Consideration and possible action regarding adoption of a resolution to release liens on 19 affected properties identified in the 1986 Assessment District No. 73 for Sewer Improvements. (Fiscal Impact: None) Recommendation — (1) Approve the attached resolution; (2) Authorize the Mayor to sign the resolution; (3) Authorize the City Clerk to File Notice of Discharge of Assessment Lien with the County Recorder; (4) Alternatively discuss and take other action related to this item. 12. Consideration and possible action regarding final acceptance of construction related to the City's Residential Sound Insulation Program Group 15 (25 Homes). Project No. RSI 06 -15. (Final contract total: $1,268,124.30) Recommendation — (1) Accept the work as complete; (2) Authorize the City Clerk to file the City Planning and Building Safety Director's Notices of Completion in the County Recorder's Office; and (3) Alternatively discuss and take other action related to this item. 13. Consideration and possible action regarding final acceptance of construction related to the City's Residential Sound Insulation Program Group 16 (30 Homes). Project No. RSI 06 -16. (Final contract total: $1,272,830.93) Recommendation — (1) Accept the work as complete; (2) Authorize the City Clerk to file the City Planning and Building Safety Director's Notices of Completion in the County Recorder's Office; and (3) Alternatively discuss and take other action related to this item. 14. Consideration and possible action regarding award of a contract to S &L Specialty Contracting, Inc. for construction related to Group 27 (36 residences) of the Residential Sound Insulation (RSI) Program. (Estimated construction cost and retention: $975,040) Recommendation — (1) Award contract to S &L Specialty Contracting, Inc. for Group 27; (2) Authorize the City Manager to execute a construction contract in a form approved by the City Attorney; (3) Alternatively discuss and take other action related to this item. CALL ITEMS FROM CONSENT AGENDA 007 F. NEW BUSINESS 15. Consideration and possible action regarding the presentation of fiscal year 2007 -2008 Midyear Financial Budget Review, approval of fiscal year 2008 -2009 Budget Calendar, and direction on allocating the fiscal year 2006 -2007 General Fund surplus of 3.871 million. Recommendation — (1) Receive and file Fiscal Year 2007 -2008 Midyear Financial presentation; (2) Authorize the allocation of Fiscal Year 2006 -2007 surplus; (3) Direct Staff to proceed with Fiscal Year 2008 -2009 Budget Calendar; (3) Alternatively discuss and take other action related to this item. G. REPORTS — CITY MANAGER H. REPORTS — CITY ATTORNEY I. REPORTS — CITY CLERK J. REPORTS — CITY TREASURER K. REPORTS — CITY COUNCIL MEMBERS Council Member Fisher — Council Member Jacobson — Council Member Brann — Mayor Pro Tern Busch — 16. Consideration and possible action regarding providing direction to staff to prepare an ordinance amending Title 1, Chapter 9 — "Campaign Contributions and Disclosures," of the El Segundo Municipal Code ("ESMC ") with regard to campaign finance regulations for consideration by the Council at a future Council Meeting. Recommendation — (1) Provide direction to staff to prepare an Ordinance amending Title 1, Chapter 9 of the ESMC; (2) Alternatively, discuss and take other action related to this item. 8 008 Mayor McDowell — 17. Consideration and possible action regarding the assignments of Council Members to various intergovernmental agencies, other local agencies and subcommittees. Recommendation — (1) Approve and implement assignments; (2) Alternatively, discuss and take other action related to this item. PUBLIC COMMUNICATIONS — (Related to City Business Only — 5 minute limit per person, 30 minute limit total) Individuals who have receive 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. MEMORIALS — CLOSED SESSION The City Council may move into a closed session pursuant to applicable law, including the Brown Act (Government Code Section §54960, et sue.) for the purposes of conferring with the City's Real Property Negotiator, andlor conferring with the City Attorney on potential andlor existing litigation; andlor discussing matters covered under Government Code Section §54957 (Personnel); andlor conferring with the City's Labor Negotiators. REPORT OF ACTION TAKEN IN CLOSED SESSION (if required) ADJOURNMENT POSTED: DATE: TIME: �i - �C) i NAME: ' 0 009 Q • �i 0 R t4 c5 E w cz U 0 b c r.4 a� w 0 00 0 U o N o E Ur � U � � s s o � 0 H ?t 0 W�R i y. V b a� L w ago .a b 0 a 0 cm W O a� � v a � y O y � U a � o 0 b W a� s C'�C There are in all ages men born to be in bondage to the opinions of the society in which they live. JEAN- JACQUES ROUSSEAU [1712 -17781 To the City Clerk of El Segundo: I request the follo� •ing itens be placed on the Agenda of the regular meeting of the '.S. City Council. 1. Replace all of the U.S. flags on Grand Ave with flags designed by the elementary sohbol children of r;l Segundo. iJnphasis should be on designs promoting Peace and a healthy environment. 2. Prepare a resolution calling upon Rep. Harman immediately to initiate Impeachment Proceedings against the President and the Vice President on the basis of war crimes as well as domestic crimes. 3. Prepare a resolution calling upon House Speaker Pelosi to (A) get PR -4102 to the floor with all speed, and (B) to reject all new appropriations for funding a hideous, immoral and illegal war and occupation. 49 Prepare a resolution calling upon Senate 1:1ajority Leader Reid to (A.) bring about the immediate withdrawal of all U.S. military forces from Iraq, and (B) demand the closing of at least 300 of our 700 military bases (including the Air Force base here in '1 Segundo) around the world, and (C) begin reductions of our nuclear :,eapons stockpiles. Thank you for your attention. Since/rely, � 317 -B Richmond Street E1 Segundo, CA 90245 cc: �1 Segundo Herald Those of us who fail to oppose and /or protest the war condone and support t. Those of us who fail to oppose the use of torture by our gone rent are guilty of condoning its n �$ b ,j1sl�p O)0 C 011 EL SEGUNDO CITY COUNCIL MEETING DATE: May20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Unfinished Business AGENDA DESCRIPTION: Consideration and possible action regarding: (1) The approval of a Contract Change Order to the existing Public Works Contract with SEMA Construction, Inc. in conjunction with the construction of the Douglas Street Gap Closure Project. (Fiscal Impact: $674,659.43, Change Order) (2) An amendment to the existing Professional Services Agreement with Caltrop Corporation (Fiscal Impact: $73,930.00, Amendment Amount) (3) An amendment to the existing Professional Services Agreement with the Dardanelle Group, Inc. (Fiscal Impact: $25,000.00, Amendment Amount) RECOMMENDED COUNCIL ACTION: (1) Authorize the City Manager, or designee, to execute Change Order Number 32 to the existing Public Works Contract with SEMA Construction, Inc. in the total amount of $674,659.43; (2) Authorize the City Manager, or designee, to execute an amendment to the contract with Caltrop Corporation, in a form approved by the City Attorney, in the amount of $73,930.00, (3) Authorize the City Manager, or designee, to execute an amendment to the contract with the Dardanelle Group, Inc., in a form approved by the City Attorney, in the amount of $25,000.00; and (4) Alternatively discuss and take other action related to this item. BACKGROUND & DISCUSSION: (Background and Discussion continued on the next page) ATTACHED SUPPORTING DOCUMENTS: Summary of Change Order Unit Costs Proposed Scope of Work for the Dardanelle Group, Inc. FISCAL IMPACT: $773,589.43 Capital Improvement Program: Operating Budget: Amount Requested: Account Number: Project Phase: Appropriation Required: ORIGINATED BY: 8t��fi atso REVIEWED ;/ Jack Waif, Interim C $7,304,403.00 (contingency) $773,589.43 301 - 400 - 8203 -8949 Post - Construction No _IQ� of Public Works r 1 DATE: 5 -13 -08 DATE: 012 Background and Discussion (continued) On June 21, 2005, the City entered into a Public Works Agreement in the amount of $19,239,025 with SEMA Construction, Inc. for constructing the Douglas Street Gap Closure Project and retained a 10% construction contingency in the amount of $1,923,903.00 for unforeseen conditions, for a total construction budget of $21,162,928.00. The MTA contributed an additional $5,380,500 for this project, which staff added to the project's available funds. Construction began on November 28, 2005 and a Grand Opening ceremony took place on March 7, 2008. A Process Review Audit was meeting was held on March 27, 2008 with the Federal Highway Administration, Caltrans and City staff, and a full audit report is expected later this summer. An audit will also be conducted by MTA to close out the contract beginning later this fall (completion expected early 2009). Previous Change Orders and Balance of Contingency City Council has approved the following change orders since June 2006 using available contingency funds. Please note that the change order numbers are referenced by the construction engineer and are not sequential. Initial Contingency Balance $1,923,903 2 0% +$5,380,500 Pro C /MTAadd -ons $7,304,403.00 y "i�a1►giir flit June 20, 2006, 2, 3, 6 & 8 $71,490.76 November 8, 2006 1, 11, 13, 14 $156, 860.81 February 20, 2007 10, 15, 16, 17 $283,936.56 Map Cases and Decorative Metro Pylons $25,703.52 June 19, 2007 10 -1, 18, 19, 20, 21, 22 $390,675.00 August 7, 2007 4, 23, 24 $422, 700.00 October 2, 2007 5, 25, 26 $427,614.96 Contract Amendment - Caltrop $250,000.00 Additional ROW Acquisition $1,061,540 December 4, 2007 27, 28, 29, 30, 31 $422,482.00 bii1: a ;�t ,, 3:a1 Proposed Change Orders May 20, 2008 32 $674,659.43 Contract Amendment - Caltrop $73,930 Contract Amendment - Dardanelle Groue $25,000 s: Balance of Contingency $3,017,809.96 Staff has deemed the change orders identified as valid and negotiated change order costs with the contractor. Current Change Order Request No. 32 The terms of SEMA's contract allow for reimbursement for actual construction materials /units used rather than the estimate provided in the original budget proposal. Based on summing the total savings and additional expenses of the line items identified in the construction budget, the construction engineer is now requesting an additional $674,659.43 to reconcile its project costs. The attached Summary of Change Order Unit Costs itemizes the line item savings and overruns reflective of this amount. 013 2 At the time of this staff report, there are two identified punch -list construction items remaining on the SEMA contract. Those items include the MTA granite pavers (already delivered) and the ADA handrail that will traverse the pedestrian path on the west side of Douglas. Both are scheduled to be installed by SEMA in the immediate future (estimated to cost $50,000.00 and already part of the project budget). Caltrop Amendment The City requested that Caltrop provide additional but necessary support during the audits for this project, services not identified in the original contract. These additional services totaled $73,930 and funds are available from the contingency balance for this amendment. This will bring the final total Caltrop contract amount to $2,149,405. Dardanelle Amendment The Dardanelle Group, Inc. has an existing contract with the City of El Segundo for various projects. To effectively close out the Douglas Street Gap Closure project and complete the subsequent Federal Highway Administration process review audit, the Dardanelle Group, Inc. can provide needed grant tracking, accounting and support services associated with this project. The contract amendment amount is $25,000, and funds are available to pay for this amendment from the contingency balance. 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E v 9 U -@ 3 g `^UcL Em� rr3 v7 cg3`�m�o�m o' FJ� �tS m - f-L° -l° c y°o10 a m S W U M m G C m O L 0 .1 .1 9,11 U t) SD UUw U) co U a U) p- M(L W LL LL LL m m }} Y w LL} LL LL LL} J J J J J U U U J J U V1 J J U) J J pp YO �Qj p 8 O o 8 N ~ N M CA N R N O S O O O O O 0 O RN 9 qo% R oo 9 992 .968 tad � N � N t0 10 tO d 0 tD 10 � t0D ^ n n A �p i o IN Id IID lO to P18 °n n vi o °ry o ry ZS $ $ N 0 U9 o In N N e7 N r M N N N c m b N N �O N ci N N 181 l*, I 9 O 2 O O O O O 0 0 0 0 $ N 0 U9 o n O N N N o LD c c m m D D o o 0 m > N (`7 Ol Op ry Q. m C 7 p a > > > n d WL i O i1p { {�i Q QUS �+ U U o pp OI O g O O p o O 8 o O O S CL O h Y n N O' n V h N N N N N N N N 8 S S O O O O O O O O 0 0 0 0 N 0 0 N N N N LD c c m m D D o o m > a a a p d m U Q. m m p a > > > n d WL i i1p { {�i Q QUS �+ U U o o 'o ° °° €� € €'c w w 5 In L L < <nUV7U w u 7 n 7 aj P N 71 y� ii O m m OiU May 14 08 11:01a The Dardanelle Group, Inc 310 - 379 -2816 p.1 THE DARDANELLE GROUP INC. Transponation Poficy • Association Management • Adwcacv City of El Segundo Douglas Street Gap Closure Project Final Funding & Audit Scope of Work The Dardanelle Group, Inc., will perform the following scope of services for the Douglas Street Gap Closure Project as directed by the City of El Segundo. Provide project management and oversight services to the City of El Segundo to support completion of the financial, administrative and audit requirements for the Douglas Street Gap Closure Project. Provide staff support to the Public Works Department to resolve outstanding funding issues, prepare progress reports and invoices as required by funding agencies to secure unfunded balances, identify retention amounts, secure future obligations of federal funds and track funding amounts secured. Coordinate all project files, including project contracts and payments, funding Agency Agreements [MOU's, LOA's] and general files in preparation for Audits. Prepare for and participate in final MTA and Federal audits. Secure retained balances from funding agencies upon audit completion. Provide additional staff assistance to the Department of Public Works as required. May, 2.008 — January 2.009 Rate: $25,000.00 includes overhead and expenses. 106 South Catalina Avenue • Suite A • Redondo Beach, Cahfomia 90277 Phone 310.379.5316 FAX 310-379.1816 TDGroupl@aol.com Los Angeles • Washington, DC • San Francisco U1; MAY -14 -2008 12:40 310 379 2816 97; P.01 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Unfinished Business AGENDA DESCRIPTION: Consideration and possible action to receive and file the staff report pertaining to operations at Campus El Segundo Athletic Fields located at 2201 East Mariposa. (Fiscal Impact: $95,950) RECOMMENDED COUNCIL ACTION: 1). Receive and file the staff report regarding Campus El Segundo Athletic Fields and safety options; 2). Alternatively, discuss and take other action related to this item. BACKGROUND & DISCUSSION: At the April 1, 2008 City Council meeting, direction was provided for staff to investigate safety options at the Campus El Segundo Athletic Fields and to return to Council with a report in May. El Segundo Recreation and Parks, Police, City Manager's office and Information Services Division staff have discussed a variety of options pertaining to safety at the Campus El Segundo Athletic Fields. Several of these options were already in place or were being planned for, and several additional options are proposed for the future. Safety options identified that were already in place include: 1. Part-time Recreation Division supervision staff have cell phones with direct dial options to the El Segundo police so in the event of emergency there is quick access via telephone for police assistance. (continued on following page...) ATTACHED SUPPORTING DOCUMENTS: FISCAL IMPACT: $95,950 Operating Budget: - -- Account Number: - -- Amount Requested: - -- Project Phase: - -- Appropriation Required: Yes_ No _X ORIGINA' s /,Z10v rd Brunette, Recreation and Parks Director REV BB DATE: ack Wayt, InteO City Manager 018 3 BACKGROUND & DISCUSSION: (continued from previous page... ) 2. Part-time Recreation Division supervision staff are directed to call the police whenever they feel uncomfortable approaching field users to enforce rules or if they feel threatened or at -risk from field users. Safety option recently implemented: 3. An additional part-time Recreation Division supervision staff member is scheduled in the evenings or as necessary in order to decrease the possibility for staff being alone and vulnerable to a negative occurrence with field users at the facility. The approximate cost for the remainder of FY 07 -08 is $4,800. Safety options being planned for in the future: 4. Staff are investigating upgraded communication devices or cell phones that allow for immediate emergency alert to the police and that have both GPS tracking and one or two -way communication between part-time Recreation Division supervision staff and police. The approximate cost for the remainder of FY 07 -08 is $1,150. 5. Staff are investigating the purchase of a public address system for the facility. Announcements could be made to inform facility users of facility closure and /or group reservations on individual fields. This would lessen the need for face -to -face contact and enforcement between staff and groups or individuals without field reservations. The approximate cost for this is $4,000. 6. Staff are investigating options for new "dutch" doors to the staff supervision office. These doors would allow for the bottom part of the door to be closed and secured, while the top half would be open. The approximate cost for this is $6,000. 7. Staff had planned for and have proposed the installation of fourteen security cameras at the facility as a 2008 -09 CIP project. This would allow for instant video feeds of the facility to multiple staff sites as well as provide for taping and review. The cost presented to CIPAC for potential funding in 2008 -09 is $80,000. Combined costs for all proposed safety options identified in this report: If all of the safety options identified in this report were implemented, the total cost would approximate $95,950. Options 3 and 4 can be absorbed in the current FY '07 -08 budget. Options 5 through 7 will be proposed in the 2008 -09 budget. 019 § B § � 0 2 } % ( } d\ aR 6z §} � f23 —o 0 & ®§§y§§®;)@ @r ¥ § k | \ \ \ 4 ! \ ) \ ! 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LLI )e o< § /so 'o of (n ( Q k � u� uj j 3 § 7 ( \� \k \\ {) \( \ J } / / } § 2 \ \ \ \( / !|)) o {E \j(\ £t;� »e ) 2&E # k /k}§ /(2 \� kQ |/7 k7)) o;l2m2 ) 2 } R G 2 ! 3 U�U :H CITY OF EL SEGUNDO PAYMENTS BY WIRE TRANSFER 4/25/2008 THROUGH 5/8/2008 Date Payee Amount Description 4/3/2008 Unumprovident 341.40 LTD insurance (prior memo correction) 4/22/2008 State of CA (861.91) Child support withholdings(payee correction) 4/22/2008 Nationwide Retirement 861.91 401 contributions (payee correction) 4/30/2008 Unumprovident 341.40 LTD insurance 4/30/2008 Cal Pers 386,995.78 Health 5/1/2008 Siemens Financial 44,837.50 Qtrly Infra Payment 5/1/2008 Employment Development 50,440.17 State Taxes 5/1/2008 IRS 239,544.11 Federal Taxes 5/2/2008 State of CA 1,153.24 Child support withholdings 5/5/2008 Federal Reserve 100.00 Employee EE Bonds 5/5/2008 Federal Reserve 300.00 Employee I Bonds 5/5/2008 Nationwide Retirement 28,740.22 457 contributions 5/6/2008 Manufactures & Traders 41,699.49 Vantage 457 5/7/2008 Lane Donovan Golf Ptr 21,157.29 Payroll Transfer 5/8/2008 Health Comp 3,086.03 Weekly claims 5/8/2008 Cal Pers 279,845.39 Retirement 4/25 - 5/8/08 Workers Comp Activity 27,865.49 SCRMA checks issued 1,126,447.51 DATE OF RATIFICATION: 5/20/08 TOTAL PAYMENTS BY WIRE: Certified as to the accuracy of the wire transfers by: 1,126,447.51 :511a o Deput Treasu r Date `571 z av Dir or of Finan a Date Manager D to Information n actual expenditures is available in the City Treasurer's Office of the City of El Segundo. 0241 REGULAR MEETING OF THE EL SEGUNDO CITY COUNCIL TUESDAY, MAY 6, 2008 - 5:00 P.M. 5:00 P.M. SESSION CALL TO ORDER — Mayor McDowell ROLL CALL Mayor McDowell - Present Mayor Pro Tern Busch - Present Council Member Brann - Present Council Member Fisher - Present Council Member Jacobson - Present 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 the City Council. Failure to do so shall be a misdemeanor and punishable by a fine of $250. The City Attorney stated that Council would be meeting in closed session pursuant to items identified on the agenda and Government Code §54956.9(b) items were threats of litigation regarding Henry Radio, Claim No. 07-48, March 4, 2008 Regional Water Quality Control Board Notice of Violation, and the Carson Landfill. CLOSED SESSION: The City Council moved 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; as follows: CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION (Gov't Code §54956.9(a)) - -3- matters City of El Segundo vs. City of Los Angeles, et. al. LASC No. BS094279 Solomon vs. City of El Segundo, LASC Case No. BC372401. Jones vs. City of El Segundo, LASC Case No. YC057076 CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code §54956.9(b): -4- potential case (no further public statement is required at this time); Initiation of litigation pursuant to Government Code §54956.9(c): -1- matter. DISCUSSION OF PERSONNEL MATTERS (Gov't Code §54957): -1- matters MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6. 2008, 2008 PAGE NO. 1 022 Public Employee /Appointment — Title: City Manager CONFERENCE WITH CITY'S LABOR NEGOTIATOR (Gov't Code §54957.6): -0- matter CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Gov't Code §54956.8): -0- matter SPECIAL MATTERS: -0- matter Council recessed at 6:50 p.m. MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO. 2 Vzi REGULAR MEETING OF THE EL SEGUNDO CITY COUNCIL TUESDAY, MAY 6, 2008 - 7:00 P.M. 7:00 P.M. SESSION CALL TO ORDER — Mayor McDowell INVOCATION — Pastor Rob McKenna, Four Square Church PLEDGE OF ALLEGIANCE — Council Member Carl Jacobson PRESENTATIONS a. Council Member Brann presented a Proclamation to Stephanie Katsouleas, Interim Public Works Director, announcing the week of May 18th through 24th as "National Public Works Week ". b. Mayor ProTem Busch presented a Proclamation to Dave Cummings, Police Chief, and Kevin Smith, Fire Chief, announcing Saturday, May 10, 2008 as El Segundo Public Safety Day and inviting the community to a joint Open House. C. Council Member Jacobson presented a Proclamation inviting the community to participate in the Elderfest Celebration on Saturday, May 17, 2008. ROLL CALL Mayor McDowell - Present Mayor Pro Tern Busch - Present Council Member Brann - Present Council Member Fisher - Present Council Member Jacobson - Present 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. George Hoops, resident, spoke regarding the sewer fees. A. PROCEDURAL MOTIONS MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO 3 024 Consideration of a motion to read all ordinances and resolutions on the Agenda by title only. MOTION by Council Member Jacobson, SECONDED by Mayor ProTem Busch to read all ordinances and resolutions on the Agenda by title only. MOTION PASSED BY UNANIMOUS VOTE. 5/0 B. SPECIAL ORDERS OF BUSINESS C. UNFINISHED BUSINESS 1. Consideration and possible action to adopt the City of El Segundo Multi- Hazard Mitigation Plan subject to the document's review and approval by the Federal Emergency Management Agency (FEMA). (Fiscal Impact: None) Kevin Smith, Fire Chief, gave a report. MOTION by Council Member Fisher, SECONDED by Council Member Jacobson, to adopt Resolution No. 4549 adopting the City of El Segundo Multi- Hazard Plan in accordance with 44 C.F.R. Section 201.6 and subject to the document's review and approval by FEMA. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 2. Consideration and possible action to receive and file air sampling reports conducted by Forensic Analytical Consulting Services. (Fiscal Impact: $10,000) Stephanie Katsouleas, Interim Public Works Director, gave a report. Council consensus to receive and file indoor and outdoor environmental quality air sampling reports. 3. Consideration and possible action regarding the approval of plans and specifications and authorization to solicit construction bids for construction of a Fire Station at 2261 East Mariposa Avenue to replace the existing Fire Station No. 2. Approved Capital Improvement Program. Project No.: PW 08 -06 (Fiscal Impact: $7,750,000) Kevin Smith, Fire Chief gave a brief report. MOTION by Mayor ProTem Busch, SECONDED by Council Member Fisher to approve plans and specifications and authorize staff to advertise the project for receipt of construction bids. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 D. REPORTS OF COMMITTEES, COMMISSIONS AND BOARDS MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO. 4 025 4. Consideration and possible action regarding recommendations from the Downtown Committee to (1) approve a Downtown El Segundo light -pole banner program; (2) authorize evaluation of a wayfinding signage program; (3) authorize a Professional Services Agreement for program - related creative services, in a form as approved by the City Attorney, with Ryder Communications in an amount of $28,000; and (4) approve a pilot LED parkway decorative lighting project in the 300 block of Main Street and authorize funding in the amount of $5,000. (Fiscal Impact: $33,000). Cris Bennett, Downtown Committee, gave a report. Council consensus to receive a progress report from the Downtown Committee. MOTION by Mayor ProTem Busch, SECONDED by Council Member Fisher to approve Downtown Committee's recommended light -pole banner designs and authorize funding for banner final design and fabrication; Request the Downtown Committee develop a plan for downtown wayfinding signage design and placement and report back to City Council with recommendations; Authorize the City Manager to execute Professional Services Agreement No. 3813, in a form as approved by the City Attorney, with Ryder Communications (formerly City Adworks) in an amount not to exceed $28,000 to develop /fabricate banner signage and provide creative design services for a wayfinding signage program; Approve a pilot LED parkway decorative lighting project along the 300 block of Main Street and authorize funding in the amount of $5,000. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 5. Consideration and possible action regarding the approval of a Professional Services Agreement with Utility Cost Management (UCM) to investigate whether the appropriate rate structure has been applied to the City's electricity and gas use. (Fiscal Impact: None) Stephanie Katsouleas, Interim Public Works Director, gave a report. Michael Kerkorian, Utility Cost Management, answered Council questions. MOTION by Council Member Fisher, SECONDED by Council Member Brann to authorize the City Manager to execute Professional Services Agreement No. 3814 in a form as approved by the City Attorney with Utility Cost Management (UCM). MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 E. CONSENT AGENDA All items listed are to be adopted by one motion without discussion and passed unanimously. If a call for discussion of an item is made, the item(s) will be considered individually under the next heading of business. 6. Approved Warrant Numbers 2565293 to 2565656 on Register No. 14 in the total amount of $1,866,990.25 and Wire Transfers from 4/4/2008 through 4/24/2008 in the total amount of $1,893,760.18. Authorized staff to release. Ratified: Payroll and Employee Benefit checks; checks released early due to contracts or agreement; emergency disbursements and /or adjustments; and wire transfers. MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO. 5 026 7. Approved Regular City Council Meeting Minutes of April 15, 2008 and Special City Council Meeting of April 24, 2008. 8. Authorized the City Manager to enter into Agreement No. 3821 to accept a grant of $52,483.58 in funding from the California Environmental Protection Agency (Cal /EPA) under Assembly Bill 1130, that authorizes the El Segundo Fire Department to develop and implement an aboveground petroleum storage tank inspection program in El Segundo; and adopted Resolution No. 4550 authorizing the implementation of an aboveground storage tank inspection program within El Segundo. (Fiscal Impact: $52,483.58) 9. Waived the formal bidding process per the El Segundo Municipal Code Section 1 -7 -10 and authorized payment to Performance Allison Replacement Transmissions for a major transmission rebuild on Truck 32. (Fiscal Impact: $17,696.06) 10. Adopted Resolution No. 4551 to implement a salary range increase for the position of Emergency Services Coordinator in the 2007/08 Fiscal Year Operating Budget. (Fiscal Impact $6,100) 11. PULLED FOR DISCUSSION BY MAYOR PROTEM BUSCH 12. Adopted plans and specifications for the 2007 -2008 annual contract for curb, handicap access ramps, sidewalk and other minor improvements at various locations citywide. Approved Capital Improvement Program. Project No.: PW 08 -05. CDBG Project No. 601066 -07. (Fiscal Impact: $242,000) Authorized staff to advertise the project for receipt of construction bids. 13. Adopted Resolution No. 4552 authorizing submittal of a Fiscal Year 2008 -2009 application to the California Department of Conservation for a grant authorized under the California Beverage Container Recycling and Litter Reduction Act. (Fiscal Impact: $5,000 in grant fund revenue) 14. Adopted Resolution No. 4553 authorizing the City Manager, or designee to apply for, receive and appropriate funds from the State of California for Capital Improvement Projects to be funded with Proposition 1 B funding. (Fiscal Impact: $400,000 grant fund revenue) 15. Awarded Standard Public Works Contract No. 3815 to Shaw Industries Inc. for the installation of new carpet at the Park Vista Senior Apartments (615 E. Holly Avenue) in the amount of $73,415.73 and the Lakes Golf Course (400 S. Sepulveda Boulevard) in the amount of $19,738.95 (Fiscal Impact: $93,154.68). Authorized the City Manager to execute contract in a form as approved by the City Attorney. 16. Authorized the City Manager to execute a Memorandum of Agreement No. 3816 in a form as approved by the City Attorney with the City of Los Angeles for Monitoring Services to test for bacteria at shoreline storm drain outlets. Testing is required to comply with California's Regional Water Quality Control Board storm water regulations. (Fiscal Impact: $2,100) MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO. 6 02 I 17. Adopted Resolution No. 4554 of the City Council authorizing the City Manager or designee to authorize the County of Los Angeles to act on the City's behalf to apply for, receive, and appropriate grant funds from the California Integrated Waste Management Board for the 14th Cycle Used Oil Block Grant. (Fiscal Impact: None) 18. Authorized the issuance of a blanket purchase order to Blue Diamond Materials, a division of Sully Miller Contracting Company on a single- source basis to supply asphalt paving materials for Street Maintenance Division projects (Fiscal Impact: $35,000). 19. Approved an amendment, in a form approved by the City Attorney, to Agreement No. 3782 with Tony Painting, Inc. The amendment would add items to the original scope of work for painting at the Park Vista Senior Apartments (615 E. Holly Avenue), the Lakes Golf Course (400 S. Sepulveda Boulevard) and the El Segundo Police Department Jail (348 Main Street). Project No.: PW 07 -12. (Fiscal Impact: $26,795.00). Authorized the City Manager, or designee, to execute the amendment. 20. PULLED FOR DISCUSSION BY MAYOR PROTEM BUSCH 21. PULLED FOR DISCUSSION BY MAYOR PROTEM BUSCH 22. Awarded Contract No. 3817 in an amount not to exceed $186,607 RFP 08 -01 to L3 Communications to provide and install mobile, digital, video recording devices in all patrol cars and motorcycles, as well as all related equipment, a computer server, wireless data transfer hardware, and data management software necessary to support the system and other digital media evidence created by the police department. (Fiscal impact: $186,607 — paid from available COPS Grant and Developer Fees.) MOTION by Council Member Brann, SECONDED by Council Member Jacobson to approve Consent Agenda Items 6, 7, 8, 9, 10, 12, 13, 14, 15, 16, 17, 18, 19, and 22. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 CALL ITEMS FROM CONSENT AGENDA 11. Consideration and possible action regarding approval of a professional services agreement with Revenue & Costs Specialists, LLC to provide a Cost Allocation and User Fee Study to update the City's Development Permit Fees (Planning, Building, Plan Check, and Public Works Fees). (Fiscal Impact: $24,000) MOTION by Mayor ProTem Busch, SECONDED by Council Member Fisher to approve Professional Services Agreement No. 3818 with Revenue & Costs Specialists, LLC to provide a Cost Allocation and User Fee Study to update the City's Development Permit Fees (Planning, Building, Plan Check, and Public Works Fees). (Fiscal Impact: $24,000) Authorized the City Manager to sign agreement approved as to form by the City Attorney. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6. 2008, 2008 PAGE NO 7 0;�a 20. Consideration and possible action to adopt a resolution which authorizes the City Manager to direct award a public works contract to Republic Intelligent Transportation Services based upon the recent competitive bid process undertaken by the City of Los Alamitos for similar services. The project includes installing and maintaining 996 Lighting Emitting Diode (LEDs) lamps which will replace existing incandescent traffic signal bulbs. (Fiscal Impact: $151,343) MOTION by Mayor ProTem Busch, SECONDED by Council Member Fisher to adopt Resolution No. 4555 which authorizes the City Manager to direct award a Public Works Contract No. 3819 to Republic Intelligent Transportation Services based upon the recent competitive bid process undertaken by the City of Los Alamitos for similar services. The project includes installing and maintaining 996 Lighting Emitting Diode (LEDs) lamps which will replace existing incandescent traffic signal bulbs. (Fiscal Impact: $151,343) Authorized the City Manager to execute the contract. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 21. Consideration and possible action regarding the approval of the examination plans for the Personnel Merit System job classifications of Senior Plan Check Engineer and Facilities Systems Mechanic. (Fiscal Impact: None) Gary Chicots, Planning and Building Safety Director, responded to Council questions. MOTION by Mayor ProTem Busch, SECONDED by Council Member Fisher to approve the examination plans for the Personnel Merit System job classifications of Senior Plan Check Engineer and Facilities Systems Mechanic. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 F. NEW BUSINESS G. REPORTS — CITY MANAGER - NONE H. REPORTS — CITY ATTORNEY Announced that Council in Closed Session unanimously voted to defend the City in the matter of Jones vs. City of El Segundo, LASC Case No. YC057076 and to provide defense and indemnity to Officer Browning. REPORTS — CITY CLERK - NONE J. REPORTS — CITY TREASURER - NONE K. REPORTS — CITY COUNCIL MEMBERS Council Member Brann — Spoke regarding the activities he has participated in since taking his oath of office. He thanked staff for his orientation and helping him in his new position. Council Member Fisher — NONE MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO 8 029 Council Member Jacobson — Spoke regarding the upcoming Fire and Police Department open house on May 10th Mayor Pro Tern Busch — 23. Consideration of possible action to adopt a resolution supporting SB 1722 (Oropeza), a bill creating a Green Line Construction Authority, for the purpose of connecting the Metro Green Line to Los Angeles International Airport. MOTION by Mayor Pro Tern Busch, SCONDED by Council Member Brann to adopt Resolution No. 4556 supporting SB 1722 and authorize legislative advocacy efforts to promote passage of the bill. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 Requested to agendize for the next meeting an amendment to the Municipal Code with regard to Elections and address the maximum contribution amount of up to $500 and the limit placed on contributions of candidates themselves. Mayor McDowell — 24. Consideration and possible action to adopt a resolution supporting AB2780 (Lieu), a local agency protection measure providing that a public entity is not liable for damages for lost profits if a breach of contract is due to the enactment of a valid initiative. (Fiscal Impact: None.) MOTION by Mayor McDowell, SECONDED by Mayor ProTem Busch to adopt Resolution No. 4557 supporting AB2780 and authorize appropriate legislative advocacy to promote passage of the bill. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0 Stephanie Katsouleas, Interim Public Works Director, explained the water broom that was being distributed to businesses at not cost. PUBLIC COMMUNICATIONS — (Related to City Business Only — 5 minute limit per person, 30 minute limit total) Individuals who have receive 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. Jack Axlerod, resident, spoke regarding world affairs, the recent election and municipal government. MEMORIALS — Ray Knabe, Father of Supervisor Don Knabe. CLOSED SESSION MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO. 9 0"'10 J ADJOURNMENT at 8:20 p.m. Cindy Mortesen, City Clerk MINUTES OF THE REGULAR CITY COUNCIL MEETING MAY 6, 2008, 2008 PAGE NO. 10 031 SPECIAL MEETING OF THE EL SEGUNDO CITY COUNCIL TUESDAY, APRIL 29, 2008 — 5:00 P.M. CALL TO ORDER — Mayor McDowell at 5:00 p.m. ROLL CALL Mayor McDowell - Present Mayor Pro Tern Busch - Present Council Member Brann - Present — for Closed Session Only via Teleconference Council Member Fisher - Present Council Member Jacobson - Present 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 before addressing the City Council. Failure to do so is a misdemeanor and punishable by a fine of $250. - NONE Consideration and possible action to appoint City Attorney as labor negotiator to represent City in negotiations with candidate for Interim City Manager position. MOTION by Mayor McDowell, SECONDED by Council Member Fisher to appoint Mark Hensley, City Attorney as labor negotiator to represent City in negotiations with candidate for Interim City Manager position. MOTION PASSED BY UNANIMOUS VOICE VOTE. 4/0. COUNCIL MEMBER BRANN ABSENT. Mark Hensley, City Attorney, announced that Council would be meeting in closed session pursuant to items identified on the agenda. CLOSED SESSION: The City Council moved 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; as follows: Council Member Brann joined Closed Session Meeting at 5:02 p.m. via Teleconference. DISCUSSION OF PERSONNEL MATTERS (Gov't Code § 54957):-2- Matters Public Employee Appointment/Public Employment. Title: Interim City Manager. Public Employee Appointment/Public Employment. Title: City Manager CONFERENCE WITH LABOR NEGOTIATOR(Gov't Codte Section 54957.6) —1- Matter: Agency designated representative: City Attorney Unrepresented employee: Interim City Manager OPEN SESSION 032 Council moved to Open Session at 5:45 p.m. Council Member Brann absent. Mark Hensley, City Attorney, announced that in Closed Session the City Council, by unanimous vote, formed an ad hoc subcommittee consisting of Council Members Jacobson and Fisher, for purposes of interviewing executive search firms and presenting the Council with a recommendation regarding retention of an executive search firm for purposes of assisting the City in hiring a permanent City Manager. 2. Consideration and possible action regarding appointment of Interim City Manager and approval of employment agreement for Interim City Manager in a form approved by the City Attorney. MOTION by Mayor McDowell, SECONDED by Mayor Pro Tern Busch to appoint Jack Wayt as Interim City Manager and approve Employment Agreement No. 3808 for Interim City Manager in a form approved by the City Attorney. Terms of the agreement to be substantially same the same as the employment agreement under which Mr. Wayt was previously employed with the City. The following specific terms shall be set forth in the agreement: the term of the agreement shall commence on May 5, 2008 and is anticipated to be four to six months in duration (but will be terminable at the will of the City Council); compensation at $83.65 per hour plus reasonable expenses; and Mr. Wayt's employment shall be in compliance with CalPers regulations regarding retired employees. MOTION PASSED BY UNANIMOUS VOICE VOTE. 4/0. COUNCIL MEMBER BRANN ABSENT. ADJOURNMENT at 5:47 p.m. Cathy Domann, Deputy City Clerk 2 033 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Agenda AGENDA DESCRIPTION: Consideration and possible action regarding the approval of the examination plan for the Personnel Merit System job classification of Human Resources Manager. (Fiscal Impact: None) RECOMMENDED COUNCIL ACTION: 1) Approve the examination plan; 2) Alternatively, discuss and take other action related to this item. BACKGROUND & DISCUSSION: Section 1 -6 -9 of the El Segundo Municipal Code, entitled "Examinations ", provides that the Personnel Officer shall review and recommend to the City Manager, who in turn shall recommend to the City Council, an appropriate examination plan and weights for each portion of the examination for Personnel Merit System job classifications. Approval of exam plans for Merit System job classifications in all City Departments has been required since the passage of initiative Ordinance No. 586 in April 1962. (continued on next page) ATTACHED SUPPORTING DOCUMENTS: None FISCAL IMPACT: None Operating Budget: Amount Requested: Account Number: Various Project Phase: Appropriation Required: Yes X NO ORIGINATED BY: DATE: May 7, 2008 Bob Hyland, Interim Direct Human Resources REVI Y. DATE: ack Wayt, Int im City Manager Agenda 570 034 BACKGROUND & DISCUSSION: For departments other than the Police and Fire Departments, the plan may consist of any one or combination of the following techniques: 1. Written; 2. Oral; 3. Demonstration; 4. Any evaluation of education, experience, or skills or physical fitness, which fairly evaluated the relative capacities of the applicants. Police and Fire Departments: The examination plan, for entrance or promotional, for the Police and Fire Departments, shall consist of a written examination and one or more of the following: 1. Oral; 2. Demonstration; 3. Any evaluation of education certification, experience, or skills or any test of manual skills or physical fitness, which fairly evaluates the relative capacities of the applicant. Human Resources Manager (Open- Competitive) Component Weight Structured, Technical and Career Preparation Interview 100% The current testing process is a result of the appointment of the incumbent to the position of Director of Human Resources. 03 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Calendar AGENDA DESCRIPTION: Consideration and possible action regarding the status on staffing and workload issues in the Planning and Building Safety Department. (Fiscal Impact: $30,000) RECOMMENDED COUNCIL ACTION: 1) Receive and file; 2) Authorize staff to fill the vacant Principal Planner and Senior Building Inspector positions; and /or 3) Alternatively, discuss and take other action related to this item. BACKGROUND & DISCUSSION: This report is a follow up to the one presented to the City Council at the meeting on March 18, 2008. At that meeting, staff reported improvements made to the City's computer system to rectify bad data and create new reports that allow for better management of City's development process. This report is intended to provide the Council with the latest up -dated information available. Building and Safety Division There are currently 120 projects in the Building and Safety development plan check process which can be segregated into the following four major steps: Step 1. First Plan Check - Plans are submitted and are waiting for initial plan check. Step 2. Plans Are Picked Up With Corrections - Plans and corrections are with the owner's design team (this phase is when the owner's architects, engineers, and contractors are making changes to the plans in order to comply with corrections made by the City plan checker). Step 3. Re- submittal (Verification of Corrections) — Applicant re- submits the corrected plans and the City plan checker verifies that all corrections have been made. Step 4. Approved - Plans are approved and are ready to issue. (continued on next page) ATTACHED SUPPORTING DOCUMENTS: 1) Undated Plannina Proiects Summary FISCAL IMPACT: $30,000 Operating Budget: $664,600 Amount Requested: $30,000 Account Number: 001400 - 2403 -4101 Project Phase: N/A Appropriation Required: X Yes NO ORIGINATED BYa _ _ DATE: Gary ico , Direct r f Planning and Building Safety REVI E BY DATE: J Wayt, Inter City Manager S PAPlanning & Building Safety \Staff Reports 2008 \5 -20 -08 cc meeting - planning & building safety status.doc 036 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 BACKGROUND & DISCUSSION Paae 2 Below is a table which indicates where the 120 projects are in the Building and Safety development process (Numbers from the previous report are also included for reference): Suildina and Safety Plan Check Reoort Report # of plans Average # of Plans In Average Time Date waiting for Waiting Development Since Plan Resubmitted For plan check Time Process Submittal 3/11/08 50 plans 2.4 weeks 150 plans 14 weeks 5/8/08 25 plans 2.1 weeks 120 plans 14 weeks 120 plans Plans are with Building and Safety Plans are with Applicant Projects Waiting for Projects Applicant Picked up Projects Approved First Plan Check Resubmitted For Plans - Working on by Building & Safety (Step 1) Verification Corrections Ready to Issue (Step 3) (Step 2) (Step 4) 12 Plans 13 Plans 75 Plans 20 Plans Planning Division Applications Attached is a status report on planning projects being processed through the Planning Division. According to the report, there are 35 active projects as of May 12, 2008. This includes eight new projects that have been added to the Planning Division workload since our first report on February 25, 2008, six projects that have been completed including Plaza El Segundo Phase 1 B (one of the Division's priority projects), and three projects that have been withdrawn. Two projects are scheduled for the next Planning Commission meeting on May 22, 2008; two additional projects are scheduled for the June 26, 2008 Planning Commission meeting (the MEPS project and the Aerospace Bridge project that are two of the Division's priority projects); and one project is scheduled for the June 4, 2008 Council meeting. Four to five additional projects including the Aloft Hotel (one of the Division's priority projects) are anticipated to be scheduled for the Planning Commission meetings in June, July, and August. There are three projects still anticipated to be submitted to the City for processing within the next one to two months. 037 PAPlanning & Building Safety \Staff Reports 2008 \5 -20 -08 cc meeting - planning & building safety status.doc EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 BACKGROUND & DISCUSSION Paae 3 Staffing Based on previous reports to the City Council, staff has successfully completed filling some of the vacancies and recruitments for the rest are underway. The Planning Division completed the Principal Planner recruitment and was able to fill only one of the two Principal Planners positions. The Principal Planner began working for the City on March 17, 2008. The Planning Division is currently conducting a new recruitment to fill the remaining Principal Planner position and anticipates filling the position within approximately 2 to 2 '/z months. The Planning Division completed the recruitment for the vacant Planning Assistant position. The position has been filled and the new Planning Assistant began on Monday, May 19, 2008. There are two positions in Building and Safety that need to be addressed. First, the Senior Plan Check Engineer position, previously approved by the Council, is close to being filled. Interviews are scheduled for Thursday May 22, 2008. Staff anticipates filling the position by middle of June. The second position is for the Senior Building Inspector. The current Senior Inspector is scheduled to retire on June 10, 2008. Staff is seeking Council's approval to move forward to start the recruitment process to fill the anticipated vacancy. Therefore, it will be necessary to appropriate $ 30,000 in order to fill the position for the remainder of the fiscal year. PAPlanning & Building Safety \Staff Reports 2008 \5 -20 -08 cc meeting - planning & building safety status.doc 038 Planning Projects (As of May 12, 2008) DEVELOPMENT PROJECTS (28 Projects) Project Type & Location Project Description Status Plaza El Segundo 1. 850 S. Sepulveda Blvd. Plaza E1 Segundo (Phase II) Pending Project Initiation Hotel Projects 2. 101 Continental Blvd. 6 -Story 167 room hotel (Aloft) Draft Mitigated Negative Declaration (MND) submitted to staff for review on May 7th; draft MND out for Public Comment anticipated by third week of May to third week of June; Planning Commission hearing expected in late July or early August 3. 888 N. Sepulveda Blvd. New 9 -Story Hotel Incomplete Application; (Trammel Crow) Awaiting Resubmittal By Applicant 4. 525 N. Sepulveda Blvd. Hotel Parking Structure Incomplete Application; (see note #2) (Hacienda Hotel - Includes Awaiting Resubmittal By Height & Setback Variance) Applicant Data Center Projects 5. 445 N. Douglas St. Equinix Data Center Environmental Document (see Note #2) Being Prepared By Environmental Consultant; Draft MND for Staff Review Anticipated in approximately 2 months) 6. 444 Nash St. Base Partners Data Center Incomplete Application; Awaiting Resubmittal By Applicant 039 Aerospace/LAAFB Pedestrian Bridge 7. 2350 E. El Segundo Bl. Pedestrian Bridge Across El Staff is Finalizing (see Note #2) El Segundo Blvd. (Includes Environmental Setback Variance) Document; Draft MND out for Public Comment May 15 to June 16, 2008; Planning Commission hearing is expected to be scheduled for July 10, 2008. Military Entrance Processing Station 8. 1700 E. Grand Ave. 32,980 sq. ft. Office/Medical Office MND is out for public (see Note #2) Building for a Military Entrance comment from May 1 Processing Station to June 2, 2008; Planning Commission hearing is Scheduled for June 26, 2008; City Council Commercial Condominium Projects 9. 215 California St. 12 -Unit Commercial /Industrial Condominium Development 10. 222 Kansas /431 E. 31 -Unit Commercial /Industrial Grand Avenue Condominium Development Residential Condominium Projects 11. 1700 E Mariposa Ave. 11 -Unit Residential Condominium Development 12. 301 -305 Palm Ave. 7 -Unit Residential Condominium Development 13. 1300 E. Walnut Avenue 2 -Lot Single - Family Subdivision 14. 530 Sheldon St. Wireless Facility Projects 15. 1601 E. Mariposa Ave ZTA to allow condominium subdivisions in the R -2 Zone New utility mounted wireless communications facility in Edison ROW 2 hearing is scheduled for July 15, 2008. Incomplete Application; Resubmitted on 5/2/08; Being Reviewed by Staff Incomplete Application; Resubmitted on 4/18/08; Being reviewed by Staff Incomplete Application; Awaiting Resubmittal By Applicant Incomplete Application; Awaiting Resubmittal By Applicant Planning Commission Hearing on 5/22/08 On Hold By Applicant Incomplete Application; Awaiting Resubmittal By Applicant 040 16. 2151 E. Grand Ave. New Major Wireless Incomplete Application; Communication Facility Awaiting Resubmittal By Applicant 17. 2250 E. Imperial Hwy 18. 445 S. Douglas Street Conditional Use Permits 19. 202 Illinois St. 20. 610 Lairport St. Variances 21. 750 S. Douglas St New major roof - mounted wireless communication facility Incomplete Application; Awaiting Resubmittal By Applicant New Major freestanding wireless New Application Being communication facility Reviewed By Staff Modification to existing CUP for Animal Kennel & Boarding CUP Modification/Variance Request (Auto Driving Museum) Building Addition - Sideyard Setback Encroachment 22. 525 N. Sepulveda Blvd. Outdoor dining patio - front/ sideyard setback encroachment (Hacienda Hotel) Lot Line Adjustments 23. 730 & 750 N. Nash St., 2130 E. Maple & 725 Campus Square West Administrative Use Permits 24. 700 S. Allied Way 25. 409 E. Grand Avenue Merge 4 Parcels Into 2 Parcels Incomplete Application; Awaiting Resubmittal By Applicant Incomplete Application; Awaiting Resubmittal By Applicant Incomplete Application; Resubmitted By Applicant on 4/21/08; Reviewing Plans; Planning Commission Hearing Tentatively to Be Scheduled on June 26, 2008 Pending Completeness Incomplete; On Hold By Applicant Plans Routed For Comment; Documents Being Prepared AUP for Type 41 Alcohol License Planning Commission (The Counter at Plaza El Segundo) Hearing on 5/22/08 AUP for Type 41 Alcohol License Incomplete Application; Awaiting Resubmittal By Applicant 3 041 26. 2361 Rosecrans Avenue AUP for Type 41 Alcohol License Fence Height Adjustments 27. 646 W. Pine Street Wall Height Adjustment Request For 8' High Property Line Wall Subdivision Violation/Parking Covenant 28. 701 &711 S. Aviation B1. Subdivision Violation - Certificate of Compliance & Off -Site Parking Covenants Incomplete Application; Awaiting Resubmittal By Applicant Application Incomplete; Awaiting Resubmittal By Applicant Planning Commission Hearing Held 12/11/07; Continued Hearing to 2/28/08; Planning Commission Authorized Filing Notice of Violation In 30 Days; Appeal Filed On 3/7/08; Council Hearing Scheduled For 6/4/08; Off -Site Parking Covenants Approved on 12/11/07 DEVELOPMENT PROJECTS ANTICIPATED TO BE SUBMITTED (3 Projects) Proiect Tunes 1. Corporate Campus Site Project Description Hotel Project (Thomas Property Group) 2. 1950 -1960 E. Grand Ave. Hotel project (Tishman Speyer) Status Submittal Anticipated In Approximately 30 Days Submittal Anticipated in Approximately 30 Days 3. 2361 Rosecrans Avenue CUP for Outdoor Dining For Submittal Anticipated In Restaurant Approximately 1 week LONG RANGE PLANNING PROJECTS (7 Projects) Proiect Type & Location Proiect Description General Plan Update 1. Citywide Mitigation Fee Studies 2. Citywide Housing Element Planning, Building Safety, Public Works and Fire Prevention Fees Status Staff Reviewing Administrative Draft Housing Element & Negative Declaration Firm Selection To Council on 5/6/08; Kick off Meeting Held on 5/12/08 4 0 �2 3. Citywide Police, Fire & Library Fees Draft in Review On Hold For Completion of Planning, Building Safety and Public Works Fee Study El Segundo Power Plant 4. 301 Vista Del Mar B1. Rezoning -Local Coastal On Hold Until PUC Decision Program Update, Zone Is Issued Regarding Modifying Change, Zone Text The Existing Agreement Amendment & General Plan Amendment to Allow Commercial Development Zone Text Amendments 5. Citywide Off - Street Parking & On Hold Until Additional Loading Standards Staff Is Available; Draft In Progress 6. Citywide Assisted Living Facilities On Hold Until Additional Staff Is Available; Draft In Progress Smoky Hollow Study 7. Smoky Hollow Specific Smoky Hollow Study Of On Hold Until Additional Plan Area Zoning Regulations, Urban Staff Is Available Design & Infrastructure Issues TOTAL NUMBER OF ACTIVE PLANNING PROJECTS (As of 5/12/08): 35 Projects TOTAL NUMBER OF ACTIVE PLANNING PROJECTS (As of 4/21/08):37 Projects TOTAL NUMBER OF ACTIVE PLANNING PROJECTS (As of Council Status Report Date of 3/11/08): 34 Projects TOTAL NUMBER OF ACTIVE PLANNING PROJECTS (As of Council Status Report Date of 2/25/08): 36 Projects Notes: 1. Deeming for Completeness occurs within 30 days or less 2. Projects that have submitted concurrently for plan check with "at risk" letter that no project entitlements have been granted for the required planning and environmental review processes. 3. Projects in bold are priority projects PAPlanning & Building Safcty \Kim \Council Ping Projects List \Current Planning Active Projects051208 doc 5 f 14 3 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Calendar AGENDA DESCRIPTION: Consideration and possible action regarding authorizing the City Manager to purchase two new alternative fuel vehicles at a cost not to exceed $60,000 for use by the Planning and Building Safety Department. (Fiscal Impact: $60,000.00) RECOMMENDED COUNCIL ACTION: 1) Authorize the City Manager to approve the purchase of two alternative fuel vehicles for use by the Planning and Building Safety Department; and /or 2) Alternatively, discuss and take other action related to this item. BACKGROUND & DISCUSSION: The Planning and Building Safety Department has seven vehicles that are used by the Department's building inspectors, code enforcement officer, and RSI inspectors. The Department does not have a sufficient number of vehicles currently for the number of staff requiring vehicles on a daily basis and the Department no longer has a Department pool car because of needing to assign all of the existing vehicles to the building inspectors, RSI inspectors and code enforcement officer. The Department needs two additional vehicles to accommodate the number of staff requiring vehicles on a daily basis and to provide a vehicle to be used as a Department pool car to be shared by the Director, Division Managers, and other planning and building staff that do not have assigned vehicles. The Planning and Building Safety Department's request is to purchase two vehicles, one hybrid Ford Escape and one hybrid Toyota Prius. The cost of each vehicle is anticipated to be approximately $28,000 to $30,000 each, including all taxes and fees. (continued on next page) ATTACHED SUPPORTING DOCUMENTS: N/A FISCAL IMPACT: $60,000.00 Operating Budget: $95,882.00 Amount Requested: $60,000.00 Account Number: 115 -400- 0000 -8105 Project Phase: Vehicle Purchase Appropriation Required: X Yes No ORIGINATED DATE: May 20, 2008 . Gary 7L Dire r of Planning and Building Safety RE DATE: Jack Wayt, terim City Manager PAPlanning & Building Safety \Staff Reports 2008 \5 -20 -08 cc meeting -PBS vehicle purchase AB2766.doc S 044 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 BACKGROUND &DISCUSSION Paae 2 The City has budgeted for the purchase of two very low emission vehicles for use by the Department's building inspectors through the FY 2006/2007 and FY 2007/2008 Planning and Building Safety Department budget, Air Pollution Reduction Fund (Account 115). The State provides these funds to the City pursuant to the AB 2766 Subvention Fund Program administered by the South Coast Air Quality Management District (SCAQMD). Since 1991, local governments have received AB 2766 funds generated by a motor vehicle registration fee surcharge by the Department of Motor Vehicles (DMV) that must be used to implement qualified programs that reduce air pollution from motor vehicles in compliance with federal and State Clean Air Acts. This purchase is an eligible AB 2766 expense. Staff has calculated* the carbon footprint of the new hybrid Prius and Escape and compared the results with a typical non - hybrid vehicle currently in city service. The results are as follows, Toyota Prius Hybrid, 2.310 metric tons per yr. @ 12,000 miles per yr. average. 2. Ford Escape Hybrid FWD, 2.776 metric tons per yr. @ 12,000 miles per yr. average. 3. Ford Crown Victoria (1993) 7.173 metric tons per yr. @ 12,000 miles per yr. average. Staff recommends the City Council authorize the City Manager to purchase two new alternative fuel vehicles at a cost not to exceed $60,000 for use by the Planning and Building Safety Department. *Source, WWW.nature.org PAPlanning & Building Safety \Staff Reports 2008 \5 -20 -08 cc meeting -PBS vehicle purchase AB2766.doc r 4 j EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Agenda AGENDA DESCRIPTION: Consideration and possible action to accept a cash contribution from Chevron Products Company, donated to the El Segundo Fire Department in support of Super CPR Saturday (Cardio- Pulmonary Resuscitation instruction; $1,000) and Suppression Training ($4,000) (Fiscal Impact: $5,000) RECOMMENDED COUNCIL ACTION: 1) Accept donations and authorize the City Manager to transfer the monies into the CPR General Fund account and Suppression Training account; 2) Alternatively, discuss and take other action related to this item. BACKGROUND & DISCUSSION: Super CPR Saturday Since 1996, the El Segundo Fire Department, in conjunction with the American Red Cross and the El Segundo High School, has sponsored its annual Super CPR Saturday event. This event offers FREE Adult CPR training to the community at large and traditionally trains approximately 300 citizens in one day. The event has trained several thousand people from all over the South Bay in the necessary skills to perform CPR and perhaps save a life. Chevron has been an annual contributor to Super CPR Saturday since its inception. Suppression Training The El Segundo Fire Department (ESFD) works cooperatively with the Chevron Fire Department to provide fire protection services to the Chevron El Segundo refinery. (Continued next page) ATTACHED SUPPORTING DOCUMENTS: None FISCAL IMPACT: $5,000 Operating Budget: $2,400 CPR, $26,500 Suppression Training Amount Requested: $1,000 CPR; $4,000 Suppression Training Account Number: 001 - 300 - 0000 -3850 CPR; 001 - 400 - 3202 -6223 Suppression Training Project Phase: n/a Appropriation Required: _Yes X No ORIGINATED BY: DATE: Kevin S. Smith, Fire Chief 5/7/08 REVIEVIED,BY�. 1 i DATE: yt, Inte ' City Manager 9 046 BACKGROUND & DISCUSSION, continued: The Department has been afforded the opportunity to participate in a Petroleum Firefighting course at Texas A &M University. This school provides invaluable knowledge and experience to ESFD Firefighters, who are amongst a list of responders to emergencies at the Chevron El Segundo Refinery. Chevron has graciously offered to provide reimbursement to the City to cover costs of the travel, and room and board for three participants to attend this specialized training in Texas. 047 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent AGENDA DESCRIPTION: Consideration and possible action regarding the approval of two professional service agreements in excess of $10,000 for Accounting, Tax and Advisory of Orange County, L.L.C. (CBIZ) and Macia Gini & O'Connell L.L.P. (formerly Moreland & Associates) in support of the Finance Department. (Fiscal Impact $75,000 off -set with salary savings of $75,000.) RECOMMENDED COUNCIL ACTION: (1) Authorize the City Manager to approve /amend Professional Services Agreements on behalf of the City for temporary professional accounting services with CBIZ in the amount of $38,000 and Macia Gini & O'Connell L.L.P. in the amount of $37,000 for an amount not to exceed $75,000, as approved to form by the City Attorney; (2) Alternatively discuss and take other action related to this item. BACKGROUND & DISCUSSION: Due to a temporary shortage of staffing within the Finance Department (Accounting Manager retirement and Payroll Accountant extended leave), professional services are required to assist with the accounting, budget and other special projects. (Please see attached page) ATTACHED SUPPORTING DOCUMENTS: None FISCAL IMPACT: Operating Budget: Amount Requested: Account Number: Project Phase: Appropriation Required $75,000 $75,000 001 -400 - 2502 -6214 x Yes —No ORIGINATED BY: DATE: s /iLF/og Deborah Cullen, Finance Director REVIEWED DATE: ck Wayt, Interim City nager 10 ZI 8 BACKGROUND & DISCUSSION (Continued): CBIZ and Macia Gini & O'Connell have been providing services over the last few years as required, and staff is requesting approval to utilize these services to assist in the completion of the annual financial audit, payroll, daily accounting management and FY 2008 -2009 budget process, as well as other assignments as needed. Currently, the Accounting Manager position is vacant due to a retirement and the other vacancy due to an employee on extended sick leave. The Accounting Manager position is currently open for recruitment and we anticipate this position will be filled by the beginning of FY 2008 -2009. This funding will ensure staffing levels will be maintained until the beginning of the FY 2008 -2009. Staff is recommending that the City Council authorize the City Manager to execute two Professional Services Agreements for an amount not to exceed $75,000 and until the department has achieved full staffing and key tasks are completed. SCOPE OF SERVICES CBIZ The scope and cost of services are as follows: Assist in the development and verification of FY2006 -2007 final accounting reports. Assist with the development of the FY 2007 -2008 mid year review Assist with the development of FY 2008 -2009 budget documents. Assist with Active Network (CLASS) and Eden System interface upgrades. Assist Fiscal Services Manager in other areas as needed. SCOPE OF SERVICES MACIA GINI & O'CONNELL :- Manage and coordinate all accounting activities; including approving all journal entries and budget adjustments. Reconciliation and review of general ledger accounts, accounts receivables, and accounts payables. - Assist with development of FY 2008 -2009 budget documents and serve as liaison between Finance and other departments for FY 2008 -2009 budget process. Assist with Active Network (CLASS) and Eden System interface upgrades. 049 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Agenda AGENDA DESCRIPTION: Consideration and possible action regarding adoption of a resolution to release liens on 19 affected properties identified in the 1986 Assessment District No.73 for Sewer Improvements. (Fiscal Impact: None) RECOMMENDED COUNCIL ACTION: (1) Approve the attached resolution; (2) Authorize the Mayor to sign the resolution; (3) Authorize the City Clerk to file Notice of Discharge of Assessment Lien with the County Recorder; (4) Alternatively discuss and take other action related to this item. BACKGROUND & DISCUSSION: In 1986, Assessment District 73 was approved by City Council for construction of sewer improvements serving 19 commercial /business properties. The improvements included a force main, gravity sewer and wet well resurfacing in the public right of way. A 19 -year bond was issued to cover the cost of the improvements property liens were subsequently filed with the County Recorder. The last bond payment was made in 2006. It is now in the public interest for the City to adopt the attached resolution confirming that liens against the 19 properties in Assessment District 73 have been discharged and to file a Notice of Discharge with the County Recorder. ATTACHED SUPPORTING DOCUMENTS: Resolution Notice of Discharge of Assessment Lien FISCAL IMPACT: None Operating Budget: N/A Amount Requested: N/A Account Number: N/A Project Phase: None Appropriation Required: No OR_ IGINATED BY: DATE: Stephanja- �<atsouleas, Director of Public Works 5 -13 -08 lack Wayt, Interir -6 City Manager DATE: 1y= QO 1 1 0 0 RESOLUTION NO. A RESOLUTION DISCHARGING ASSESSMENT LIENS FOR ASSESSMENT DISTRICT NO. 73 (SEWER IMPROVEMENTS) IN ACCORDANCE WITH STREETS AND HIGHWAYS CODE § 8701. The City Council of the city of El Segundo does resolve as follows: SECTION 1: The City Council finds as follows: A. In accordance with various resolutions including, without limitation, Resolution No. 3375 adopted on January 21, 1986, the City Council established Assessment District No. 73 and assessed certain real property in accordance with Streets and Highways Code § 3114; B. A Notice of Assessment was recorded with the Los Angeles County Recorder's Office (Serial No. 86- 445584) on or about April 10, 1986; C. The real property included within Assessment District No. 73, and assessed in accordance with City Council action, are set forth in attached Exhibit "A," which is incorporated by reference (the "Properties "); D. The assessments recorded against the Properties, which repaid bonds issued in 1986 for various sewer improvements within Assessment District No. 73, were (except for the possibility of a supplemental assessment not presently anticipated) paid in full in 2006; E. Consequently, the liens against the Properties are fully discharged; and F. It is in the public interest for the City Council to confirm that the liens against the Properties have been discharged. SECTION 2: In accordance with Streets and Highways Code § 8701, the liens against the Properties are discharged. The City Clerk, or designee, is authorized to file a Notice of Discharge of Assessment Lien ( "Notice ") with the Los Angeles County Recorder's Office regarding the Properties. SECTION 3: Neither this Resolution nor the Notice have any effect on the City Council's land use, or other, authority over the Properties because of their inclusion in Assessment District No. 73. SECTION 4: The City Clerk is directed to maintain all files related to Assessment District No. 73 for at least five years from the date the Notice is filed with the Los Angeles County Recorder's Office. SECTION 5: This Resolution will become effective immediately upon adoption. 051 Page 1 of 2 PASSED AND ADOPTED this day of , 2008. Kelly McDowell, Mayor ATTEST: STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS CITY OF EL SEGUNDO ) I, Cindy Mortesen, 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 , 2008, and the same was so passed and adopted by the following vote: AYES: NOES: ABSENT: ABSTAIN: Cindy Mortesen, City Clerk APPROVED AS TO FORM: MARK D. HENSLEY, CITY ATTORNEY Karl H. Berger, Assistant City Attorney Page 2 of 2 050 EXHIBIT A CITY OF EL SEGUNDO 053 ASSESSMENT DISTRICT NO. 73 (SEWER IMPROVEMENTS) RELEASE OF LIEN ASSESSMENT NUMBER APN PROPERTY OWNER 1 4138 -07 -24 Prudential Insurance Company 2 4138 -07 -06 One Continental Plaza Inc. 3 4138 -07 -19 One Continental Plaza Inc. 4 4138 -07 -21 Investment Bankers Ltd. 5 4138 -07 -22 Continental Grand Co. 6 4138 -07 -31 Homart 7 4138 -07 -30 Homart 8 4138 -07 -26 LAX Business Center 9 4138 -07 -25 United Air Lines Inc. 10 4138 -07 -15 G & E /Grandway Venture 11 4138 -07 -16 Continental Grand Associates 12 4138 -07 -32 Chevron USA Inc. 13 4138 -07 -17 Computer Science Corporation 14 4138 -07 -18 Computer Science Corporation 15 4138 -07 -10 Ernest W. Hahn Building Assn. 16 4138 -07 -11 Kilroy- Freehold El Segundo Co. 17 4138 -07 -08 Chevron USA Inc. 18 4138 -07 -15 G & E /Grandway Venture 19 4138 -07 -15 G & E /Grandway Venture 053 RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: City of El Segundo City Clerk's Office 350 Main Street El Segundo, California 90245 NOTICE OF DISCHARGE OF ASSESSMENT LIEN ASSESSMENT DISTRICT NO. 73 (SEWER IMPROVEMENTS) CITY OF EL SEGUNDO LOS ANGELES COUNTY, CALIFORNIA On April 10, 1986, a Notice of Assessment was recorded under Recorder's Serial No. 86- 445584 in the Office of the County Recorder, Los Angeles County, California, pursuant to the requirements of Streets and Highways Code § 3114. The recording that Notice established a lien against the real property shown on attached Exhibit "A," and incorporated by reference ( "Properties "). The recorded assessments against the Properties were paid in full and, except for the possibility of a supplemental assessment not presently anticipated, the associated liens against the said properties were fully discharged. This Notice and its recording have no effect on the powers of the Council of the City of El Segundo with respect to any identified parcel by reason of its inclusion in the Assessment District No. 73 or assessment for the work, acquisition or improvements. Dated: Cindy Mortesen, City Clerk 054 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Agenda AGENDA DESCRIPTION: Consideration and possible action regarding final acceptance of construction related to the City's Residential Sound Insulation Program Group 15 (25 Homes). Project No. RSI 06 -15. (Final contract total = $1,268,124.30). RECOMMENDED COUNCIL ACTION: Recommendation — (1) Accept the work as complete; (2) Authorize the City Clerk to file the City Planning and Building Safety Director's Notices of Completion in the County Recorder's Office; and (3) Alternatively discuss and take other action related to this item. BACKGROUND & DISCUSSION: The project is a part of the City's Residential Sound Insulation (RSI) Program financed by federal grants from the Federal Aviation Administration (FAA) and the settlement agreement with Los Angeles World Airports (LAWA). The RSI Program offers modifications to owners of qualifying residential property in the City of El Segundo that reduce interior sound levels of noise generated by air traffic from neighboring Los Angeles International Airport (LAX). At its meeting on December 19, 2006 the City Council awarded a construction contract to Tron Construction, Inc. for construction related to Group 15. The work has now been completed. The final contract amount based on measured quantities is $1,268,124.30. Staff recommends acceptance of this project. ATTACHED SUPPORTING DOCUMENTS: List of homes in Group 15 FISCAL IMPACT: Amount approved by City Council: Amount Requested: Account Number: Project Phase: Appropriation Required: $1,493,140.00 $1,268,124.30 116 -400- 0000 -8960 Group 15 - Acceptance of the work No ORIGINATED BY: DATE: May 7, 2008 R'� mes S. O'Neill, Program Manager REVIEWED BY: DATE: Jack Wayt, Interim City Manager rJ '12 J RSI Number Project Address 15.01 627 W. Oak Ave. 15.02 15.03 742 Loma Vista 15.04 723 Loma Vista St. 15.05 750 Bayonne 15.06 532 Virginia St. 15.07 536 Richmond ST. 15.08 542 Richmond St. 15.09 508 Richmond 15.10 817 Pepper St. 15.11 826 Pepper St. 15.12 308 E. Maple Ave. 15.13 327/329 E. Oak Ave. 15.14 15.15 744 Sheldon St. 15.16 900 McCarthy Crt. 15.17 601 Lomita St. 15.18 640 Bungalow Dr. 15.19 1219 E. Acacia Ave. 15.20 1208 E. Acacia Ave. 15.21 1116 E. Acacia Ave. 15.22 1418 E. Walnut Ave. 15.23 730 California St. 15.24 1500 E. Maple Ave. 15.25 1440 E. Palm Ave. 056 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Agenda AGENDA DESCRIPTION: Consideration and possible action regarding final acceptance of construction related to the City's Residential Sound Insulation Program Group 16 (30 Homes). Project No. RSI 06 -16. (Final contract total = $1,272,830.93). RECOMMENDED COUNCIL ACTION: Recommendation — (1) Accept the work as complete; (2) Authorize the City Clerk to file the City Planning and Building Safety Director's Notices of Completion in the County Recorder's Office; and (3) Alternatively discuss and take other action related to this item. BACKGROUND & DISCUSSION: The project is a part of the City's Residential Sound Insulation (RSI) Program financed by federal grants from the Federal Aviation Administration (FAA) and the settlement agreement with Los Angeles World Airports (LAWA). The RSI Program offers modifications to owners of qualifying residential property in the City of El Segundo that reduce interior sound levels of noise generated by air traffic from neighboring Los Angeles International Airport (LAX). At its meeting on December 19, 2006 the City Council awarded a construction contract to Tron Construction, Inc. for construction related to Group 16. The work has now been completed. The final contract amount based on measured quantities is $1,272,830.93. Staff recommends acceptance of this project. ATTACHED SUPPORTING DOCUMENTS: List of homes in Group 16 FISCAL IMPACT: Amount approved by City Council: Amount Requested: Account Number: Project Phase: Appropriation Required: $1,430,055.00 $1,272,830.93 116- 400 - 0000 -8960 Group 16 - Acceptance of the work No ORIGINATED BY: DATE: May 7, 2008 SO" James S. O'Neill, Program Manager / REVIEWED BY: DATE: 13 Jack Wayt, Interim City Manager 057 RSI Project Number Address 16.01 421 Valley St. 16.02 443 Loma Vista St. 16.03 415 Concord St. 16.04 16.05 408 Concord St. 16.06 16.07 511 Concord St. 16.08 638 W. Pine 16.09 206 W. Maple Ave. 16.10 613 E. Maple Ave. 16.11 639 Sierra St. 16.12 16.13 714 Bungalow Dr. 16.14 735 Center 16.15 16.16 16.17 1740 E. Sycamore Ave. 16.18 16.19 16.20 16.21 1428 E. Maple Ave. 16.22 1448 E. Maple Ave. 16.23 16.24 1221 E. Oak Ave. 16.25 1431 E. Elm Ave. 16.26 720 Lomita St. 16.27 512 Lomita 16.28 16.29 717 E. Pine 16.30 721 E. Pine Ave. E EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Consent Agenda AGENDA DESCRIPTION: Consideration and possible action regarding award of a contract to S &L Specialty Contracting, Inc. for construction related to Group 27 (36 residences) of the Residential Sound Insulation (RSI) Program. (Estimated construction cost and retention: $975,040) RECOMMENDED COUNCIL ACTION: 1) Award contract to S &L Specialty Contracting, Inc. for Group 27; 2) Authorize the City Manager to execute a construction contract in a form approved by the City Attorney; and 3) Alternatively discuss and take other action related to this item. BACKGROUND & DISCUSSION: On May 13, 2008 the City Clerk's office opened sealed bids for Group 27 (RSI 08 -09) of the City's Residential Sound Insulation (RSI) Program. The results of the bid openings were as follows: 1. S &L Specialty Contracting, Inc. $ 886,400.00 2. Karabuild Development $ 981,328.00 3. Professional Building Contractors, Inc. $1,062,026.00 4. Tron Construction, Inc. $1,079,210.00 5. G Coast Construction $1,196,000.00 (Please see attached page entitled "Background and Discussion (cont.,) ") ATTACHED SUPPORTING DOCUMENTS: 1) Bidder's Proposal and Statement from S &L Specialty Contracting, Inc. FISCAL IMPACT: Operating Budget: $10,200,000 Amount Requested: $ 975,040 Account Number: 116 -400- 0000 -8960 Group: 27 Appropriation Required: _ Yes X No ORIGINATED: DATE: May 13, James S. O'Neill, Program Ma REVIEWED BY: DATE: iy Jack Wayt, Interim City Manager 14 059 Background and Discussion (cont.) A review was performed on the Bid from S &L Specialty Contracting, Inc. for Group 27 was determined to be responsive. S &L Specialty Contracting, Inc. has completed construction work on Groups 5 — 9 (137 homes) on the City's RSI Program, is completing work related to Groups 17, 21 and 22 (86 homes), and has started work related to Groups 23, 25 and 26 (77 homes). The amount requested for the contract is $975,040, which represents the Total Bid amount shown on the bid and an additional 10% of that Total Bid for potential change orders related to unforeseen conditions. As City Council is aware, eighty percent (80 %) of costs associated with the Residential Sound Insulation Program are covered by federal grant funding from the FAA until those funds identified in the Grant Implementation Plan to the City of Los Angeles are exhausted. Remaining expenses, with the exception of elective "Owner Upgrades" selected by property owners, are covered by the settlement with Los Angeles World Airports (LAWA). With the completion of Group 27 and other Groups scheduled to be complete in 2008, the total number of residences completed by the City's RSI Program will be 902. 0G BIDDERS'S PROPOSAL AND STATEMENT CI'T'Y OF EL SEGUNDO, LOS ANGELES COUN'T'Y, CALIFORNIA Project Number RSI 08 -09 "Residential Sound Insulation Program — Group 27 (Re- Bid)" PROPOSAL To the Mayor and City Council City of F.1 Segundo 350 Main St. Fl Segundo, CA 90215 The undersigned declares that he /she has carefully examined the location of the proposed work and has otherwise satisfied himself /herself as to the nature and location of the work, and is full informed as to all conditions and matters which can in any way affect the work or cost thereof, that he /she has examined the Contract Documents, and has read the accompanying "BIDDING INSTRUCTIONS" and hereby agrees to provide the following: To furnish all labor, materials, equipment, transportation, and services and to do all the work required for the "Residential Sound Insulation Program — Group 27 (Re- Bid)" in strict conformity with the Contract Documents and at the following lump sum price, to Wit: ID Address Description Engineer's Bid Estimate Amount Bidder's Property Subtotal 27.01 609 Penn Street RSI Improvements $ � Window 20 Up grade $ _ $ 5�co Windows 3 8i 15 Upgrade Door B UpEiade Doors B, C; an H 1 lardware Upgrade $ E`M.°° $ 27.02 900 Cedar St. 4302 RSI Improvements $ ZZ 'O' $'Z.Z Cep 27.03 900 Cedar St. #303 RSI Improvements $ 2 '°' $ ZZ CM 27.04 900 Cedar St. #304 RSI Improvements $ L\ p $7A &W ° 27.05 900 Cedar St. 4305 RSI Improvements $2 O $ -20&W" 27.06 900 Cedar St. #306 RSI Improvements $ •OD $2 27.07 900 Cedar St. #307 RSI Improvements $ ° $ z $ ,0, $ 27.09 900 Cedar St. #309 RSI improvements 27.10 900 Cedar St. #310 RS1 Improvements $ Q $ Bidder's Proposal and Statement Group 27 (Re -Bid) City of El Segundo Residential Sound Insulation Program 061 27.13 900 Cedar St. #202 RSI Improvements $ ac MWO $ 27.15 900 Cedar St. #204 RSI Improvements $ " $ O "' 27.16 900 Cedar St. #205 RSI Improvements $ p '°' $ 27.17 900 Cedar St. #206 RSI Improvements $ \ '° $ "' 27.18 900 Cedar St. #207 RSI Improvements $ZO $ -5r., ra"re 27.19 900 Cedar St. #208 RSI Improvements $ p %t $ 27.21 900 Cedar St. #210 RSI Improvements $7.0. `° $ O CAD 27.22 900 Cedar St. #211 RSI Improvements A.CM110 $ 2� 27.24 900 Cedar St. 4102 RSI Improvements $ 27.25 900 Cedar St. #103 RSI Improvements $Zp • °° $ 27.26 900 Cedar St. # 104 RSI Improvements $ 1' 27:27 900 Cedar St. # 105 RSI Improvements $Z4tZOP 27.29 900 Cedar St. # 107 RS[ Im rovements $ ZO FuW 27.30 900 Cedar St. # 108 RSI Improvements vzr) C£SJ $ 27.31 900 Cedar St. #109 RSI Improvements $ `O(XS $ 27.32 900 Cedar St. #1 10 RSI Improvements $ O $ 27.33 900 Cedar St. #111 RSI Improvements $ $ 21 QM* 27.34 310 W. Imperial Ave., Unit I RSI Improvements $ 25 zzw $ '~ 27.35 721 W. Sycamore Ave. RSI Improvements Door A Upgrade $ io MAL $ $ O& °. 27.36 770 W. Imperial Ave., Unit 39 RSI Improvements $ 2b OC`A $ 2� 27.37 770 W. Imperial Ave., Unit IS RSI Improvements 0 $ Zo,= C1 $ 27.38 658 W, Acacia Ave. RSI Improvements S.M. sAAvwOl 27.39 641 W. Acacia Ave. RSI Improvements S 2 $ Air Conditioning Upgrade (Mechanics Air Conditioning Upgrade (Electrical) RSI Improvements $ d $ 5b0 $ ' 27.40 207 W. Walnut Ave. $ 27.41 616 W. Walnut Ave. RSI Improvements $ $ '0 Bidder's Proposal and Statement Group 27 (Re -Bid) (DI City of El Segundo al Sound Insulation Program ()6? 27.42 409 West Acacia Ave RSI Improvements Air Conditioning 11 Upgrade (Mechanical) $ Z ,aos' Air Conditioning Upgrade (ElectricaD $ �JMJ $796, 27.43 940 Loma Vista Street RS Improvements $' Air Conditioning Upgrade Mechanical) $ �.d� Air Conditioning Upgrade (Flectrical) $per $ Total Bid (Contract Sum) c � (words) (figures) In case of discrepancy between the words and Figures, the words must prevail. \gyp 5 NOTICE: BIDDERS WILL NOT BE RELEASED DUE TO ERRORS AND ILLEGIBLE BIDS MUST BE DISQUALIFIED NOTICE: Total Bid (Contract Sum) must equal the total of Schedule of Values. If the Total Bid does not equal the total of the Schedule of Values, it is grounds for rejection of the Bid. Furthermore, inconsistencies between the Schedule of Values and the Plans for each Dwelling are grounds for rejection of the Bid This bid is based upon completing the work as set in the Construction Schedule published in the Contract Documents. If awarded the contract for the Work, the undersigned hereby agrees to sign the contract and furnish the necessary bonds not more than ten (10) calendar days after Notice to Proceed date. Enclosed is a Bidder's Bond, certified check or cashier's check, which is not less than ten percent (10 %), as a guarantee that the undersigned will enter into the contract if awarded to the undersigned. The undersigned further agrees that in case of default in executing the required contract with necessary bonds and insurance, within the time limits above specified, said bonds or check and ►noney payable therein must be fortified to and become the property of the City of Fl Segundo, State of'Caliibrnia. Name of Firm: -� Address: �j \S S . �Q����eti�t • _ Bidder's Proposal and Statement 3 City of El Segundo Group 27 (Re -Bid) Residential Sound Insulation Program 063 Telephone Number: Contractor's License Number Type of License License Expiration Date 316- /-�- 7g q-741-6 Type of Entity:❑ Sole Proprietorship El Partnership [)�orporation D Other 1 declare under penalty of perjury that the foregoing is true and correct. Contractor Representative: Title: Signature: sr— Dated this 1!( If Corporation, please attach evidence of authority to sign. lk4lche4 Bidder's Proposal and Statement Group 27 (Re -Bid) City of El Segundo Residential Sound Insulation Program 1. Lt EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: New Business AGENDA DESCRIPTION: Consideration and possible action regarding the presentation of fiscal year 2007 -2008 Midyear Financial Budget Review, approval of fiscal year 2008 -2009 Budget Calendar, and direction on allocating the fiscal year 2006 -2007 General Fund surplus of 3.871 million RECOMMENDED COUNCIL ACTION: (1) Receive and file Fiscal Year 2007 -2008 Midyear Financial presentation, (2) Authorize the allocation of Fiscal Year 2006 -2007 surplus, (3) Direct staff to proceed with Fiscal Year 2008 -2009 Budget Calendar, (4) Alternatively discuss and take other action related to this item BACKGROUND & DISCUSSION: The focus of the FY 2007 -2008 midyear financial review is to assess revenues and expenditures in all funds for the period of October 1, 2007 through March 31, 2008. This report analyzes the estimated totals for revenues, operational and capital expenditures in all funds for the period of October 1, 2007 through September 30, 2008. Staff will also take any direction from the City Council regarding the FY 2008 -2009 budget process. ATTACHED SUPPORTING DOCUMENTS: 1. Proposed 2008 -2009 Budget Calendar FISCAL IMPACT: Operating Budget: Amount Requested: Account Number: Project Phase: Appropriation Required: _ Yes X No ORIGINATED BY: DATE: 'DtbMA1'#df-- Deborah Cullen, Director of Finance 511 q108 REVI - DATE: Jack Wayt, Interi City Manager is 065 BACKGROUND & DISCUSSION (CONTINUED) Midyear Financial Review and Staff Recommendations on Allocating Fiscal Year 2006- 2007 General Fund Surplus Staff has reviewed all revenues and expenditures through March 31, 2008 to determine if all sources and uses are on target with the Final Adopted Budget and highlight any areas that may end the fiscal year significantly above or below budget. This report will review revenues by category first and then go into an analysis of all expenditures with an emphasis on the General Fund. Additionally, at the end of this report staff will include recommendations with regard to appropriate allocation of the Fiscal Year 2006 -2007 General Fund surplus, which was previously deposited into the Economic Uncertainty Fund. At the FY 2007 -2008 Strategic Planning Session in August 2007, City Council provided general direction to staff to transfer any excess General Fund revenues over expenditures (surplus) into the Economic Uncertainty Fund. The General Fund surplus for FY 2006 -2007 that has been transferred into the Economic Uncertainty Fund is $3.871 million. This surplus consists of $813,000 in expenditure savings, net of reserves carried forward from the previous fiscal year, and revenues exceeding budget by a little over $3.0 million. Significant revenue increases compared to budget are; Franchise Tax $710,000, Transient Occupancy Tax $913,000, Building Permits $564,000, Interest on Investments $844,000, Intergovernmental Revenues $341,400 and Plan Check Fees $1.181 million. These revenues increases were offset by decreased revenues compared to budget for Property Tax and VLF Swap $295,000, Sales Tax $337,400, Gas Utility Tax $372,800, Cogenerated Electric $490,200. General Fund Revenues The following is an analysis of General Fund revenues by the ten major categories: a. Property Taxes Currently we are estimating this category to come in at budget but will continue to monitor the potential impact of the County -wide delinquency pool. Delinquencies are allocated to all cities within the county on a pro rata basis. b. Other Taxes (Includes Sales, Utility User's, Transient Occupancy and Other Taxes This category is currently tracking to come in slightly over budget. A positive impact in this category is unexpected revenue received in the Gas Utility User's Tax and Telephone Utility Tax. As you recall in the FY 2007 -2008 budget it was anticipated that there would be a significant revenue reduction in Gas Utility User's Tax due to the uncertainty of the operational status of the local power plant and based on that information we significantly reduced the revenue projections. Currently the City is receiving sporadic revenue from this 06r) BACKGROUND & DISCUSSION (CONTINUED) source and is ahead of target by slightly more than $332,000. It is still very difficult to project this revenue source so we are projecting this revenue remain flat until yearend. Additionally, the Telephone Utility Tax was zeroed out in FY 2007 -2008 based on legal challenges that threaten our UUT ordinance in reference to the Federal Excise Tax, specifically the FET exemptions and exclusions. As a result of numerous federal lawsuits successfully brought by taxpayers against the IRS, the IRS in 2006 issued a Notice directing the telephone companies to discontinue collecting FET on long distance. This ruling resulted in a 75% to 80% reduction in the FET base. The final appellate court decision could occur as early as mid 2009 and the outcome might result in the complete loss of our Telephone Utility Tax. We will continue to closely monitor these two revenue streams. Sales Tax has continued to remain stable for the first two quarters of this fiscal. Compared to the first two quarters of last fiscal year sales tax revenue is up 7.6 %. Although we continue to see growth from new business additions at Plaza El Segundo, statewide sales tax continues to decline and is down 2.6% compared to same period last year and Los Angles County is down 2.2 %. Economists expect sales to continue to decline and initial reports indicate that June receipts for sales occurring January through March of 2008 will continue to be impacted by downward pressure. How this affects our revenue stream is difficult to predict since we do not have a historical base from Plaza El Segundo. We budgeted $1.350 million or 16% increase over prior year actuals and at this time we anticipate coming in slightly under this target. Transient Occupancy Tax continues to reflect steady growth in tourism and travel and is estimated to come in ahead of target with budget. This revenue source is up $122,719 or 7.05% for the first six months of FY 2007 -2008 compared to the same period last fiscal year mainly attributable to an increase in occupancy and rate increases. Also included in this category are Franchise Taxes, Cogenerated Electric and all other utility user's taxes which are trending positively at 51 % of budget received and are expected to meet the budget target. c. Business License Taxes We continue strong growth in this category and the City has received $9.350 million or 101 % of the budget through March 31, 2008. Businesses receive a 50% credit on their business license based on actual Sales and Use Tax the City receives during the period of July to June of the previous year. This credit can offset the business license tax up to 100% of the business license tax liability. d. Other Licenses and Permits and Charges for Services These two categories combined are expected to come in higher than budget. When forecasting for FY 2007 -2008 it was anticipated that the housing and construction slowdown would impact this revenue category and continued growth in Plan Check Fees would taper off G6i BACKGROUND & DISCUSSION (CONTINUED) toward the end of this fiscal year. Currently Plan Check Fees are at 90% of budget which is 46% of this revenue category and while we still anticipate a slow down in this category it appears that Plan Check Fees will exceed budget. However the City has only received 38.8% of budget for building permits compared to 80% received in the same period last year. e. Fines and Forfeitures This category is currently on target with budget. The City has received $245,288 or 49.9% of budget through March 31, 2008. f. Interest and Rentals This category is currently on target with budget. Total Revenues in this category are 53.4% with 50.0% of the fiscal year complete. Total Revenues Overall, General Fund revenues are 59.9% with 50.0% of the fiscal year complete. Revenues in all other funds appear to be on target with the exception of the Water and Sewer funds which are projected to come in below expectations. Currently, the Water Fund is tracking at 47% of revenue received and Sewer is at 42 %. General Fund Expenditures The following is an analysis of General Fund expenditures by major categories: A. Elected Officials and Administrative Support Services This category, which consists of the City Council, City Clerk, City Treasurer, City Manager's office, Finance and Human Resources is currently on target with budget. B. Non Department Non Department expenditures overall are currently on target with budget. C. Public Safety The Police Department in total is on target with budget. Midyear expenditures totaled $7,827,883 or 47% of budget. Expenditures are slightly over budget to date in professional & technical services primarily due to increased psychological and polygraph evaluations as a n68 BACKGROUND & DISCUSSION (CONTINUED) result of new hires. The expenditure percentage trending remains the same in comparison to the same period last year. Police Patrol & Safety division is also in line with the prior year. Overall, the Fire Department has experienced a 1.65% or $108,661 expenditure increase in comparison to the same period last year. Within Fire Suppression, vacancies generated FLSA overtime and leave replacement excess expenditures of $12,950 and $14,850 of budget. In aggregate, Fire Paramedic, Prevention, Environmental Safety divisions are within budget. D. Planning and Buildina Safety This department, which consists of the Planning, Building Safety, and Residential Sound Insulation, is currently on target with budget. However, due to outsourcing of building permits and increase in activity, Planning and Building Safety may ultimately overrun budget. This increase is offset by revenues gains in plan check fees. E. Public Works This function's General Fund divisions consist of Government Buildings, Engineering, Street Services, Street Maintenance, Traffic Safety, Solid Waste Recycling, Wastewater, Storm Drains, Equipment Maintenance and Administration. The total Public Works Department is right on target with actual expenditures of $2,014,538 or 47% of budget. The exception is the Storm Drains Division which had a slight overrun of 4% or $7,360 of budget. F. Recreational and Cultural The Recreation and Cultural function includes the Recreation and Parks Department and the Library. The Parks Department is on target at $856,694 or 44% of budget and Recreation Operations is slightly over budget. In aggregate Recreation and Parks is projected to meet budget at year end. The Library Department is on target with budget. (►60 BACKGROUND & DISCUSSION (CONTINUED) Total General Fund Expenditures With 50% of the fiscal year complete, General Fund expenditures are currently 47% of budget and there are no adjustments needed at this time. Liability Insurance Fund Historically, the Liability Insurance Fund has charged the General Fund over $1 million annually to cover excess claims; however this expense has been trending downward due to proactive claims management by our Third Party Administrator. Currently we are experiencing an upswing in claims activity and have identified several claims that significantly impact our claims reserves. We anticipate raising our budget for claims reserve by close to $1 million and request a budget adjustment for this line item to be funded with the surplus identified from FY 2006 -2007. Staff will have the actuarial study updated for this fund prior to the FY 2008 -2009 budget process and will share the results of that report during the budget process. Golf Course Fund The Golf Course Fund is on budget with expenditures of $990,110 or 45% of total budget; however, the cost for replacement of range balls and mats was erroneously eliminated during the budget process which will ultimately cause the fund to overrun budget by $70,000. Total Expenditures Overall, expenditures for all funds are at 42.1 % of budget with 50% of the year complete. Staff Recommendations: Staff is making the following recommendations for allocating the FY 2006 -2007 General Fund surplus of $3.871 million, which was deposited in the Economic Uncertainty Fund: The following are recommendations for allocating the surplus in FY 07 -08: 1. Fund $700,000 for GASB 45 to fully fund year one of the annual required contribution (ARC) of $4.370 million. The Council approved funding up to $2,000,000 each year in addition to our "pay as you go" not to exceed the ARC. Therefore, we would need to increase the amount approved by Council to $2.370 million for the first year of funding. The budgeted "pay as you go" amount for FY 07 -08 is $1.8 million. We designated 1.5 million out of the FY 06 -07 surplus for the GASB 45 liability. If we plan to fully fund the ARC in the first year the actuary is able to use a discount rate of 7.75 %. If we do not plan to fully fund the ARC in the first year the actuary will have to use a lower discount rate of 4.25 %, which will increase our net Other Post Employment Benefits (OPEB) obligation and ARC. If we choose to not fully fund the ARC in year two we are still able to use the higher discount rate until we have our next actuarial study performed. 2. Designate $900,000 for estimated increase in liability claims expense. BACKGROUND & DISCUSSION (CONTINUED) 3. Per the fund balance policy, increase the General Fund Unreserved, Undesignated fund balance as of September 30, 2007 by the cost of living adjustment which would total $590,000. This would bring the fund balance to just over $13 million or approximately 25.0% of the total General Fund budget. The following are recommendations for allocating the remaining General Fund surplus of $1.6 million at the FY 2008 -2009 Strategic Planning Session: 1. Set aside $500,000 for estimated revenue loss due to one of the top sales tax producers relocating its operations to another City. 2. Set aside $750,000 for funding Capital Improvements Projects. Over the past several years a majority of capital improvement funds were set aside and used for the Athletic Fields and Fire Station #2. With our aging infrastructure, it would be prudent to fund the capital projects that had been re- prioritized into future years. 3. Set aside the remaining balance of $350,000 for replacement of Fire Truck 32. Currently there is approximately $332,000 set aside in the Equipment Replacement Fund designated for Truck 32 through the end of FY 2006 -2007. In FY 2008 -2009, the GASB 45 OPEB liability will be calculated as part of the increase to salaries and benefits, and the identified revenue gains from the Gas Utility Tax and Telephone Utility Tax in FY 2007 -2008 can be targeted to cover the gap related to this funding. Through the first two quarters we have received a combined $450,000 in revenues from these two sources. Based on the recent performance of the Gas Utility Tax we have not transferred the designated $1.2 million that was set aside from the FY 2006 -2007 surplus to fund the gap anticipated by the reduction of this revenue source. I recommend that we change this amount to a designation for future GASB 45 OPEB funding. 0 71 Date (s) 1/2/2008-6/22/2008 2/14/2008 3/3/2008- 6/10/2008 5/28/2008 5/05/2008-5/12/2008 5/20/2008 5/21/2008-6/10/2008 5/27/2008- 6/5/2008 6/10/2008-6/17/2008 6/17/2008 CITY OF EL SEGUNDO BUDGET CALENDAR FISCAL YEAR 2008 -2009 ADOPTED BUDGET Responsibility Activity Finance Update equipment replacement schedule. Department Heads Departments submit CIP requests, including project descriptions, justifications, cost estimates, proposed funding source(s), and cost savings, if any. Changes to current CIP budget should also be submitted at this time. CIPAC/Admin. Services Public Works Department to assemble all departmental requests and schedule CIPAC meetings. Public Works CIPAC meeting designated for public input. Department Heads Departmental preparation of FY 2007 -2008 midyear budget review. City Council /City Manager Presentation to City Council of mid -year financial review pertaining to projected year -end expenditures and revenues for FY 2007 -2008. Final Budget Calendar presented to City Council. Finance /Department Heads Prepare submission of FY 2008 -2009 budget. Submit the following to the Finance Department (FY 2008 -2009 Budget): 1) Proposed fee increases as of October 1, 2008 in accordance with City ordinances, if applicable, 2) Completed expenditure and revenue worksheets, 3) Completed personnel worksheets, 4) Completed Capital Outlay Requests, 5) Completed Travel and Meetings, Professional and Technical Services, Dues and Subscriptions, Training and Education, 6) Completed New Program Requests, if applicable, and 7) Completed departmental and divisional narratives updated on network ( "U" Drive). Finance Finance to review all capital outlay requests submitted by departments. Finance Finance Department inputs and compiles estimated revenues and budget requests, and prepares budget worksheets, narratives and capital requests for submission to the City Manager and distribution to Department Heads in preparation for budget sessions. Public Works Dept. Public Works submits preliminary CIP program to the City Manager for review pending City Council direction. ()740 CITY OF EL SEGUNDO BUDGET CALENDAR FISCAL YEAR 2008 -2009 ADOPTED BUDGET Dates Responsibility Activity 6/23/2008- 6/26/2008 City Manager /Finance Department budget sessions with the City Manager and Director of Finance to discuss departmental budgets, departmental narratives, and proposed reorganizations or program changes. 6/27/2008 City Council, City Manager, Department Heads City Council Strategic Planning Session 6/27/2008- 7/7/08 Finance Finance Department recalculates preliminary budget totals based on adjustments made during departmental budget sessions and submits revised numbers to the City Manager for review. 7/17/2008 Finance Finance compiles modified preliminary budgets, sends to budget coordinators for review. Finance prints preliminary budget and delivers to City Council by July 31st prior to City Council Meeting on August 5th. 8/05/2008 City Council City Council reviews preliminary operating and CIP budgets, and sets dates for public hearings. 8/19/2008 City Council Submission of 2008 -2009 Professional Services Agreements over $10,000 to the City Council for approval. 9/02/2008 All Departments City Council holds a public hearing on the FY 2008 -2009 annual operating budget and the FY 2008 -2009 through 2013 -2014 CIP budget. 9/16/2008 City Council City Council continues public hearing and adopts the Final FY 2008 -2009 annual operating budget, the FY 2008 -2009 through 2013 -2014 CIP budget, and the appropriations limit. 073 EL SEGUNDO CITY COUNCIL MEETING DATE: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Mayor Pro Tern Busch AGENDA DESCRIPTION: Consideration and possible action regarding providing direction to staff to prepare an ordinance amending Title 1, Chapter 9 — "Campaign Contributions and Disclosures," of the El Segundo Municipal Code ( "ESMC ") with regard to campaign finance regulations for consideration by the Council at a future Council Meeting. RECOMMENDED COUNCIL ACTION: 1) Provide direction to staff to prepare an Ordinance amending Title 1, Chapter 9 of the ESMC; 2) Alternatively, discuss and take other action related to this item. BACKGROUND & DISCUSSION: At the May 6, 2008 Council Meeting, Mayor Pro Tern Busch requested that the City Staff place on the next Council Meeting an agenda item relating to the potential amendment to the ESMC with respect to campaign finance regulations. Specifically, the Mayor Pro Tern raised concerns respecting (1) the contribution limit that is currently $499.99 — the Mayor Pro Tern expressed the view that the amount should be raised to $500.00 for practical purposes; and (2) the potential ambiguity regarding the ESMC and whether the campaign contribution limits apply to a Council Member's contribution to his or her own campaign. The Mayor Pro Tern is placing this item on the agenda for purposes of addressing his concerns as set forth above and for purposes of determining if a majority of the Council desires to direct staff to prepare other potential amendments to the ESMC with respect to campaign finance regulations. ATTACHED SUPPORTING DOCUMENTS: None FISCAL IMPACT: NONE ORIGINATED BY: DATE: &Xu , 8,4,64 Eric Busch, Mayor Pro Tern REVIEW BY: DATE: Jac Wayt, Inte im City Manager 16 () 71 TO THE EL SEGUNDO CITY COUNCIL MEETING: May 20, 2008 AGENDA ITEM STATEMENT AGENDA HEADING: Mayor McDowell AGENDA DESCRIPTION: Consideration and possible action regarding the assignments of Council Members to various intergovernmental agencies, other local agencies and subcommittees. RECOMMENDED COUNCIL ACTION: (1) Approve and implement assignments; (2) Alternatively, discuss and take other action related to this item. BACKGROUND & DISCUSSION: After the seating of every newly elected Council Member, Council considers appointments to serve on the various intergovernmental agencies, other local agencies and subcommittees. ATTACHED SUPPORTING DOCUMENTS: A table listing current Council appointments to intergovernmental agencies, local agencies and subcommittees. FISCAL IMPACT: None ORIGINATOR: Date: 4; I o$ May r Kelly McDowel REVI D /Y: Date: J ck Wayt, terim City Manager 17 i75 PROPOSED COUNCIL COMMITTEE ASSIGNMENTS TO BE SENT UNDER SEPARATE COVER ( ) 763 COUNCIL COMMITTEE ASSIGNMENTS May 20, 2008 - April 6, 2010 Lyr Aviation Safety & Noise Abatement Committee (Liaison) Carl Jacobson Bill Fisher City Selection Committee Kelly McDowelF Proxy as Needed Hyperion Citizens Forum Don Brann Carl Jacobson N/A Independent Cities Association (ICA) -52 cities education/advocacy Kelly McDowell N/A Independent Cities Risk Management Authority (ICRMA) Kelly McDowell N/A — (staff ositions) League of California Cities Don Brann Bill Fisher Los Angeles County Sanitation District 5 and South Bay Cities District - (SanDist) Kelly McDowell Carl Jacobson Municipal Area Express Transportation (MAX) Carl Jacobson Bill Fisher Reach Out Against Drugs (ROAD) Eric Busch, Pres. is ex officio Santa Monica Bay Restoration Project- Bay Watershed Council (SMBRP) Don Brann N/A Senior Citizen Housing Corporation Board (Liaison) Carl Jacobson Don Brann South Bay Cities Council of Governments (COG) Kelly McDowell Eric Busch Bill Fisher Carl Jacobson Don Brann South Bay Economic Development Partnership (SBEDP) Don Brann Bill Fisher South Bay Youth Project Don Brann Bill Fisher Southern California Association of Governments — General Assembly (SCAG) Eric Busch Kelly McDowell Southern California Cities Joint Powers Consortium Bill Fisher N/A West Basin Water Association Don Brann N/A Cit /School Affairs Subcommittee Kell McDowell and Don Brann Technolo Subcommittee Bill Fisher and Carl Jacobson Disaster Council Kelly McDowell and Eric Busch *Downtown Subcommittee(eff. Nov. 2005) re $250,000 ex p. Kelly McDowell Golf Comm ittee-Standing Committee reconstituted 10/05/04 Carl Jacobson and Bill Fisher Business Recruitment Task Force Kelly McDowell and Eric Busch LA County West Vector Control District (by Council election in 2004) Sandra Jacobs (4 yr term up in 2008) JOA:Council /Council All /CC Committee Assignments:051606 CC Committee Ass ignments- Extemal /lntemal.doc