2014 Sep 16 - CC PACKETAGENDA
EL SEGUNDO CITY COUNCIL
EMERGENCY OPERATIONS CENTER —
348 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, SEPTEMBER 16, 2014 — 5:00 PM
5:00 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.
SPECIAL ORDER OF BUSINESS:
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; 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(d) (3): -1- matter
1. City of El Segundo vs. City of Los Angeles, et.al. LASC Case No. BS094279
CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION
Significant exposure to litigation pursuant to Government Code §54956.9(d) (2) and (3):
-0- matter.
Initiation of litigation pursuant to Government Code §54956.9(c): -0- matter.
DISCUSSION OF PERSONNEL MATTERS (Gov't Code §54957): -0- matter
APPOINTMENT OF PUBLIC EMPLOYEE (Gov't. Code § 54957): -0- matter
PUBLIC EMPLOYEMENT (Gov't Code § 54957) -0- matter
CONFERENCE WITH CITY'S LABOR NEGOTIATOR (Gov't Code §54957.6): -8-
matters
2
1. Employee Organizations: Police Management Association; Police Officers
Association; Police Support Services Employees Association; Fire Fighters
Association; Supervisory and Professional Employees Association; City
Employees Association; Executive Management Group (Unrepresented Group);
Management/Confidential Group (Unrepresented Group)
Agency Designated Representative: Steve Filarsky and City Manager
CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Gov't Code §54956.8): -0-
matters
3
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, SEPTEMBER 16, 2014 - 7:00 P.M.
7:00 P.M. SESSION
CALL TO ORDER
INVOCATION — Lee Carlile, Pastor, United Methodist Church
PLEDGE OF ALLEGIANCE — Council Member Atkinson
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PRESENTATIONS
a) Proclamation —United Methodist Church 100th Anniversary
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.
CITY COUNCIL COMMENTS — (Related to Public Communications)
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 (PUBLIC HEARING)
1. Consideration and possible action (Continued Public Hearing) regarding
the Fiscal Year 2014 -2015 Budget (including all City Revenues and
Expenditures), and Adoption of Resolutions approving Appropriation Limit
and Preliminary Budget as amended. (Copies of the Fiscal Year 2014 -2015
Preliminary Budget can be found in the Library, City Clerk's office, and on
the City's website.) (Fiscal Year Impact: Total Revenues of $133,522,300;
Total Expenditures of $151,846,500, Prior Year Designations of $18,324,200;
General Fund Revenues of $60,642,700, Expenditures of $64,043,100, Prior
year Designations of $3,400,400) City of El Segundo.
Recommendation — 1) Continue the Public Hearing and receive public testimony.
Adopt the Resolution approving and adopting the Fiscal Year 2014 -2015
Operating Budget. 2) Incorporate "Exhibit A — Fiscal Year 2014 -2015 Change List
of Budget Revisions in all Funds" into the Adopted Budget and transfer any fiscal
year 2013 -2014 General Fund surplus into the Economic Uncertainty Fund in
fiscal year 2014 -2015 once the fiscal year 2013 -2014 audit is complete. 3) Adopt
the Resolution approving and adopting the Appropriations Limit for fiscal year
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2014 -2015, as presented. 4) Alternatively, discuss and take other possible
related action to this item.
2. Consideration and possible action to amend El Segundo Municipal Code
( "ESMC ") § §15 -1 -6, 15 -6A -2, 15- 6A -11, 15 -6D -5, 15 -6D -13 and 15 -8 -2 to add a
definition of "Emergency Shelters "; to allow Emergency Shelters as a
Permitted Use in the Light Industrial (M -1) Zone; to allow Emergency
Shelters as a Conditional Use in the Medium Manufacturing (MM) Zone; to
establish Emergency Shelter Development Standards; and, to remove the
managed production of resources on Agricultural Lands as a permitted use
in the Open Space (O -S) Zone. Applicant: City of El Segundo.
(Fiscal Impact: None)
Recommendation — 1) Open the Public Hearing; 2) Discussion; 3) Introduce, and
waive first reading of an Ordinance for Environmental Assessment No. EA -1066
and Zone Text Amendment No. ZTA 14 -02; 4) Schedule second reading and
adoption of the Ordinance on October 7, 2014; 5) Alternatively, discuss and take
other possible related action to this item.
C. UNFINISHED BUSINESS
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.
3. Warrant Numbers 3002389 through 3002568 on Register No. 23 in the total
amount of $651,836.90 and Wire Transfers from 8/18/14 through 8/31/14 in
the total amount of $842,603.79.
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.
4. Regular City Council Meeting Minutes of August 19, 2014, and Special City
Council Meetinq Minutes of September 9, 2014.
Recommendation — Approval.
5. Consideration and possible action regarding approval of ongoing
professional service agreements and blanket purchase orders for FY 2014-
Gel
2015 in excess of $25,000 for various departments; and possible action to
waive the formal bidding process and authorize the continued purchase of
various goods and services as described below. (Fiscal Impact: General
Fund $1,735,570 including $5,000 Library Developer Fees; Asset Forfeiture
Fund $13,000; Prop A Fund $30,000; Water Enterprise Fund $122,750;
Wastewater (Sewer) Enterprise Fund $26,750; Golf Course Enterprise Fund
$96,000; Workers' Compensation Fund $97,749; Revenue /Expenditure
Balance Sheet Account $200,000; Public Works Full Time Salary Accounts
General Fund, Water & Wastewater Enterprise Funds $200,000)
Recommendation —
(1) Authorize the City Manager to execute an amendment to Agreement No.
4095, in a form approved by the City Attorney, with High Point Strategies, LLC to
(1) extend the term of the agreement to September 30, 2015; (2) authorizes
payment for services up to $75,000 (General Fund); and (3) take such additional,
related, action that may be desirable.
(2) Authorize the City Manager to execute an amendment to Agreement No.
4242, in a form approved by the City Attorney, with to (1) extend the term of the
agreement to September 30, 2015; (2) authorizes payment for services up to
$60,000 (General Fund); and (3) take such additional, related, action that may be
desirable.
(3) Authorize the City Manager to extend ongoing service agreements with Baker
& Taylor Information Services for supplying books and other library materials,
and issuance of blanket purchase order not to exceed $86,800 in FY 2014 -2015.
(General Fund including $5,000 Library Developer Fees)
(4) Authorize the City Manager to extend contract #2235 to Innovative Interfaces,
Inc., for library computer network system maintenance and issuance of blanket
purchase order not to exceed $31,500 (General Fund).
(5) Authorize the City Manager to extend ongoing service agreements with J. Lee
Engineering provides plan check and inspection consulting services for the
Building and Safety Division not to exceed $200,000 in FY 2014 -2015 (General
Fund).
(6) Authorize the City Manager to extend ongoing service agreement with JAS to
provide plan check and inspection consulting services for the Building and Safety
Division not to exceed $75,000 in FY 2014 -2015 (General Fund).
(7) Authorize the City Manager to extend ongoing service agreement with CSG to
provide plan check and inspection consulting services for the Building and Safety
Division not to exceed $75,000 in FY 2014 -2015 (General Fund).
(8) Authorize the City Manager to extend ongoing service agreement with
Scanning Service Corp. to provide service of scanning plans, permits & microfilm
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to digital for Laserfiche document imaging system for the Building and Safety
Division not to exceed $20,000 and Planning Division not to exceed $23,000 in
FY 2014 -2015 for a combined total amount of $43,000 (General Fund).
(9) Authorize the City Manager to extend ongoing service agreement with Pacific
Municipal Consultants (PMC) to provide professional planning consulting and
interim staffing services for the City's Planning Division, not to exceed $35,000 in
FY 2014 -2015 (General Fund).
(10) Authorize the City Manager to extend ongoing service agreement with
Tierra West Advisor's Inc. to provide professional planning consulting and interim
staffing services for the City's Planning Division, not to exceed $35,000 in FY
2014 -2015 (General Fund).
(11) Authorize the City Manager to extend ongoing service agreements with
Westchester Medical Group /Center for Heart and Health to provide annual safety
employees fitness for duty and executive physical examinations not to exceed
$60,000 in FY 2014 -2015 (General Fund).
(12) Authorize the City Manager to extend ongoing service agreement with York
Risk Services Group to administer workers' compensation claims not to exceed
$97,749 in FY 2014 -2015 (Workers' Compensation Fund).
(13) Authorize the El Segundo Fire Department to waive the bidding process per
El Segundo Municipal Code §1 -7 -10 to purchase medical and pharmaceutical
supplies, and piggyback on the City of El Cajon's Bound Tree Medical, Inc.
( "Bound Tree ") Bid #005 -12, and authorize issuance of a blanket purchase order
to Bound Tree for medical and pharmaceutical supplies not to exceed $27,000 in
FY 2014 -2015 (General Fund).
(14) Authorize the City Manager to execute a one -year contract with All Cities
Management Company to provide crossing guard services for the El Segundo
School District not to exceed $80,000 in FY 2014 -2015 (General Fund).
(15) Authorize all El Segundo City Departments to waive the bidding process per
El Segundo Municipal Code § 1 -7 -10 to purchase office supplies, related
products and off -site office services, and piggyback on The Cooperative
Purchasing Network (TCPN) Contract # R5023 awarded to Office Depot, and
authorize issuance of a citywide open purchase order to Office Depot for office
supplies, related products and off -site office services under the agreement not to
exceed $65,000 in FY 2014 -2015 (General Fund).
(16) Authorize all El Segundo City Departments to waive the bidding process per
El Segundo Municipal Code § 1 -7 -10 to purchase City -wide advertising and
authorize issuance of a citywide open purchase order to El Segundo Herald. Off -
site services include Public Hearing notices, Request for Proposal notices,
Department advertising and publishing, printing and distribution of the Recreation
and Parks brochures not to exceed $70,000 in FY 2014 -2015 (General Fund).
(17) Authorize the issuance of a blanket purchase order to Lane Donovan
Partners, LLC (Agreement #3399) to provide management services for The
Lakes Golf Course for an amount not to exceed $96,000 in FY 2014 -2015 (Golf
Course Enterprise Fund).
(18) Authorize the City Manager to extend Agreement # 4096 with TruGreen
Landcare in a form approved by the City Attorney and issuance of a blanket
purchase order to provide weekly landscape services for an amount not to
exceed $160,000 in FY 2014 -2015 (General Fund).
(19) Authorize staff to continue to purchase gasoline and diesel fuel for City
vehicles and equipment through the use of spot market purchasing in an amount
not to exceed $315,000 in FY 2014 -2015 (General Fund = $250,000; Asset
Forfeiture Fund = $13,000; Prop "A" Fund = $30,000; Water Enterprise Fund =
$9,000; Wastewater (sewer) Enterprise Fund = $13,000).
(20) Authorize the issuance of a blanket purchase order to Metron Farnier &
Actaris in an amount not to exceed $100,000 in total for the purchase of single jet
water meters for the City's water system in FY 2014 -2015 (Water Enterprise
Fund).
(21) Authorize the issuance of a blanket purchase order to Blue Diamond
Materials, a division of Sully Miller Contracting Company in an amount not to
exceed $30,000 for the purchase of asphalt paving materials for Street
Maintenance Division projects in FY 2014 -2015 (General Fund).
(22) Authorize the issuance of a blanket purchase order to DataProse
(Agreement # 3227) to provide Water and Sewer divisions utility bill print and
mail services for an amount not to exceed $27,500 in FY 2014 -2015 (Water &
Wastewater (sewer) Enterprise Funds).
(23) Authorize the City Manager to extend the ongoing professional service
Agreement # 4269 with Aerotek for providing temporary staffing service for the
Public Works Department not to exceed $200,000 in FY 2014 -2015 (General
Fund, Water & Wastewater (sewer) Enterprise Funds).
(24) Authorize the city manager to extend ongoing services agreement #4568
with Westcon Engineering for engineering plan check services for the Public
Works Department not to exceed $100,000 in FY 2014 -15 (Revenue /Expenditure
Balance Sheet Account Fund).
(25) Authorize the city manager to extend ongoing services agreement #4622
with D.R. Consultants and Designers, Inc., for engineering plan check services
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for the Public Works Department not to exceed $100,000 in FY 2014 -15
(Revenue /Expenditure Balance Sheet Account Fund).
(26) Authorize the City Manager to extend ongoing services agreement #4672
with Geosyntec Inc for storm water compliance program support for the Public
Works Department, not to exceed $30,000 in FY 2014 -15 (General Fund).
(27) Authorize the City Manager to execute a one -year contract with the Society
for the Prevention of Cruelty to Animals Los Angeles for animal sheltering
services, not to exceed $28,200 in FY 2014 -2015 (General Fund).
(28) Authorize the City Manager to execute a one -year contract with Duncan
Solutions (formerly Enforcement Technology Inc.) for processing of parking
citations /collections, not to exceed $77,000 in FY 2014 -2015 (General Fund).
(29) Authorize the issuance of a blanket purchase order to San Diego Police
Equipment Co., Inc. (SDPECI) and Dooley Enterprises, for the purchase of CCI-
Speer and Federal ammunition, not to exceed $67,000 in FY 2014 -2015
(General Fund).
(30) Authorize the City Manager to execute a one -year contract amendment
and /or purchase order with Tyler Technologies for annual software licensing,
maintenance, and support not to exceed $41,070 in FY 2014 -2015 (General
Fund).
(31) Authorize the City Manager to execute a one -year contract and /or blanket
purchase order with Active Network for annual licensing, maintenance and
support not to exceed $34,000 in FY 2014 -2015 (General Fund).
6. Consideration and possible action to award a Professional Services
Agreement to Willdan Energy Solutions for implementation of Energy
Efficiency Strategic Planning Activities using grant funds recently awarded
by Southern California Edison.
(Fiscal Impact: $100,125 in grant fund award)
Recommendation — 1) Authorize the City Manager to execute an agreement with
Willdan Energy Solutions, in a form approved by the City Attorney, for
implementation of the Energy Efficiency Strategic Plan, Phase 3 activities; 2)
Alternatively, discuss and take other possible action related to this item.
7. Consideration and possible action to authorize the City Manager to execute
a 3 -year License Agreement in a form approved by the City Attorney with
the El Segundo Cooperative Nursery School to operate a non - profit pre-
school at the Clubhouse Building. (Fiscal Impact: Reservation revenues of
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$2,000 in Fiscal Year 2014/15, $2,500 in Fiscal Year 2015/16, and $3,000 in
Fiscal Year 2016/17)
Recommendation — 1) Authorize the City Manager to execute an agreement with
El Segundo Cooperative Nursery School in a form approved by the City Attorney;
2) Alternatively, discuss and take other possible action related to this item.
8. Consideration and possible action to adopt a Resolution approving plans
and Specifications for Sewer Main Improvements at eight locations in the
northwest quadrant of El Segundo, predominantly located north of Franklin
Ave. and west of Main St. Project No. PW 13 -24.
(Fiscal Impact: $800,000.00)
Recommendation — 1) Adopt a Resolution approving plans and specifications for
the Sewer Main Improvement Project; 2) Alternatively, discuss and take other
possible action related to this item.
9. Consideration and possible action to authorize the City Manager to execute
a one year License Agreement in a form approved by the City Attorney with
Southern California Aquatics to operate a Masters Swim Program.
(Fiscal Impact: $6,600 in Reservation Revenues per year)
Recommendation 1) Authorize the City Manager to execute an agreement with
South California Aquatics in a form approved by the City Attorney; 2)
Alternatively, discuss and take other possible action related to this item.
10. Consideration and possible action regarding the adoption of a Conflict of
Interest Code required by The Political Reform Act (Government Code
Section 81000 et. seq.) rescinding Resolution No. 4778, and adopting a new
resolution approving a new Conflict of Interest Code.
(Fiscal Impact: None)
Recommendation — 1) Adopt resolution; 2) Alternatively, discuss and take other
possible action related to this item.
11. Consideration and possible action regarding authorization for the City
Manager to execute two (2) one -year agreements in a form approved by the
City Attorney with four one -year term extensions, for a maximum total
contract length of five years each for RFP No. #14 -07 (On -Call Citywide Low
Voltage Wiring Services).
(Fiscal Impact: None) _
Recommendation — 1) Authorize the City Manager to execute an agreement in a
form approved by the City Attorney with Federal Technology Solutions, Inc. and
NC Partners, Inc.; 2) Alternatively, discuss and take other possible action related
to this item.
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12. Consideration and possible action to receive and file this report regarding
cleaning and repairing drywall and carpet as well as restoring furniture in
the north portion of City Hall without the need for bidding in accordance
with Public Contracts Code §§ 20168 and 22050 and El Segundo Municipal
Code ( "ESMC ") §§ 1 -7 -12 and 1 -7A -4.
(Fiscal Impact: $37,000.00)
Recommendation — 1) Receive and file this report regarding cleaning and
repairing drywall and carpet as well as restoring furniture in the north portion of
City Hall without the need for bidding in accordance with Public Contracts Code
§§ 20168 and 22050 and El Segundo Municipal Code ( "ESMC ") §§ 1 -7 -12 and 1-
7A-4; 2) Alternatively, discuss and take other possible action related to this item.
13. Consideration and possible action to receive and file this report regarding
the emergency repair to remove debris in the attic space of City Hall
without the need for bidding in accordance with Public Contracts Code §§
20168 and 22050 and El Segundo Municipal Code ( "ESMC ") §§ 1 -7 -12 and
1 -7A -4.
Fiscal Impact: $82,354.00)
Recommendation — 1) Receive and file this report regarding the emergency
repair to remove debris in the attic space of City Hall without the need for bidding
in accordance with Public Contracts Code §§ 20168 and 22050 and El Segundo
Municipal Code ( "ESMC ") §§ 1 -7 -12 and 1 -7A -4; 2) Alternatively, discuss and
take other possible action related to this item.
F. NEW BUSINESS
14. Consideration and possible action to tentatively approve installation of a
Class II bike lane on Rosecrans Ave. between Sepulveda Blvd. and
Highland Ave. (Fiscal Impact: Undetermined but expected to be minimal
staff time)
Recommendation — 1) Tentatively approve the installation of a Class II bike lane
on Rosecrans Ave. between Sepulveda Blvd. and Highland Ave.; 2) Alternatively,
discuss and take other action related to this item.
15. Consideration and possible action to review the water and sewer rate
studies, direct staff to commence the Proposition 218 protest procedures
regarding potential increases to the City's water and sewer rates and fees.
Fiscal Impact: $60,000 for ballot preparation and mailing for water rate
increases and sewer rate increases.)
Recommendation — 1) Receive water rate study presentation and proposed
potable water rate increases; 2) Direct staff to implement the Proposition 218
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protest ballot procedures for proposed potable water and sewer rate increases;
3) Adopt a resolution establishing procedures for mailing, handling and counting
Proposition 218 ballots; 4) Set a public Hearing on November 18, 2014 for
Council consideration of the proposed water and sewer rate increases; 5)
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 Dugan -
16. Discussion and possible action regarding a request from local business
owners Kimberly and Ben Wakefield for deferment of newly established
fees for a facility reservation permit at Library Park.
(Fiscal Impact: To Be Determined)
Recommendation — 1) Determine the outcome of the fee waiver request; 2)
Alternatively, discuss and take other possible action related to this item.
Council Member Fellhauer —
Council Member Atkinson —
Mayor Pro Tern Jacobson —
Mayor Fuentes —
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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, 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.
REPORT OF ACTION TAKEN IN CLOSED SESSION (if required)
ADJOURNMENT
POSTED:
DATE:
TIME: 3
NAME: U
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14
j rortamat 11011 Co of V Oepnbo, Calffornfa
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WHEREAS, On April 6,1914, a small group of people met at the home of Mr. and Mrs. H.J.
Barber on Concord Street to plan for the formation of the First Methodist
Episcopal Church of El Segundo.
WHEREAS, The church's articles of incorporation were duly filed on July 17, 1914, and the
Reverend Lawrence V. Lucas became its first full -time pastor, leading services
in a building on property that later became part of the El Segundo High School
campus.
WHEREAS, Due to the dramatic growth of the First Methodist Episcopal Church, a decision
was made to move to a larger facility which was constructed through a
volunteer effort on the southeast corner of Main Street and Mariposa Avenue
and formally dedicated Bishop Charles Wesley Burns on January 29, 1928.
WHEREAS, The First Methodist Episcopal Church became the Community Methodist
Church in 1935 and the United Methodist Church of El Segundo in 1968.
WHEREAS, The church's distinctive, mission style building at 540 Main Street has become
a landmark in this city, and the church's 100 year history is tightly woven into
the fabric of the story of El Segundo.
WHEREAS, Under the leadership of its twenty- seventh pastor, the Reverend Lee A. Carlile,
the church is now honoring its past and embracing its future as a community of
faith in the city of El Segundo.
NOW, THEREFORE, on this 16f day of September, 2014, the Mayor and Members of the City
Council of the City of El Segundo, California, hereby recognize and commend the United
Methodist Church of El Segundo as it celebrates its 100th Anniversary.
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�WayorSuzanne Fuentes
Wayor(Pro 7em Cadjacobson Councif9ilember (DaveAtkinson
CounciOl ember JKarie Feffhauer Cound(Wember Mchaef Dugan
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA STATEMENT AGENDA HEADING: Special Orders of Business
AGENDA DESCRIPTION:
Consideration and possible action (Continued Public Hearing) regarding the Fiscal Year 2014-
2015 Budget (including all City Revenues and Expenditures), and Adoption of Resolutions
approving Appropriation Limit and Preliminary Budget as amended. (Copies of the Fiscal Year
2014 -2015 Preliminary Budget can be found in the Library, City Clerk's office, and on the City's
website.) (Fiscal Impact: Total Revenues of $133,522,300; Total Expenditures of $151,846,500,
Prior Year Designations of $18,324,200; General Fund Revenues of $60,642,700, Expenditures
of $64,043,100, Prior Year Designations of $3,400,400)
RECOMMENDED COUNCIL ACTION:
1. Continue Public Hearing and receive public testimony. Adopt the Resolution approving and
adopting the Fiscal Year 2014 -2015 Operating Budget.
2 Incorporate "Exhibit A — Fiscal Year 2014 -2015 Change List of Budget Revisions in all
Funds" into the Adopted Budget and transfer any fiscal year 2013 -2014 General Fund surplus
into the Economic Uncertainty Fund in fiscal year 2014 -2015 once the fiscal year 2013 -2014
audit is complete.
3. Adopt the Resolution approving and adopting the Appropriations Limit for fiscal year 2014-
2015, as presented.
4. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1) Exhibit A Fiscal Year 2013 -2014 Change List of Budget Revisions in all Funds
2) Resolution approving and adopting the Operating Budget for Fiscal Year 2014 -2015
and Resolution approving and adopting the Appropriation Limit for Fiscal Year 2014-
2015
FISCAL IMPACT: Total Appropriations of $151,846,500; Revenues of $133,522,300 and prior
year designations of $18,324,200. General Fund Appropriations of $64,043,100, Revenues of
$60,642,700, Prior Year Designations of $3,400,400)
Amount Budgeted: n/a
Additional Appropriation: N/A
Account Number(s): None
ORIGINATED BY: Angelina Garcia, Fiscal Services Manager
REVIEWED BY: Deborah Cullen, Director of Fin nce
APPROVED BY: Greg Carpenter, City Manage
BACKGROUND AND DISCUSSION:
1
FY 2014 -2015 Budget
On September 2, 2014 the City Council conducted a Public Hearing on the FY 2014 -2015
Operating Budget.
Revisions from the Preliminary Budget are attached to this report and have been included in the
final budget to be adopted.
Incorporate "Exhibit A — FY 2014 -2015 Change List of Budget Revisions In All Funds"
into the Adopted Budget.
RESOLUTION NO.
A RESOLUTION ADOPTING THE 2014 -2015 FINAL OPERATING
BUDGET FOR THE CITY OF EL SEGUNDO AND ADOPTING THE
2014 -2015 CAPITAL IMPROVEMENT BUDGET.
The City Council of the City of El Segundo does resolve as follows:
SECTION 1: The City Council finds and declares as follows:
A. The City Council has reviewed the proposed final Operating Budget ( "Budget ")
for fiscal years;
B. The Budget is based upon appropriate estimates and financial planning for the
City's operations, services, and capital improvements;
C. The City Council conducted public study sessions on May 28th. 2014, June 26th
2014, August 4th, 2014 and a public hearing on September 2, 2014, and continued
on September 16, 2014;
D. All procedural requirements for adopting the City's budget were fulfilled, and the
City Council was fully informed regarding the City's current finances, projected
revenue, and financial obligations; and
E. It is in the public interest for the City Council to adopt the Budget as proposed by
the City Manager.
SECTION 2: ADOPTION. The Budget attached to this Resolution, and incorporated by
reference, is approved and adopted subject only to the authorizations set forth below. Such
approval and adoption includes, without limitation, the Position Control Listing of Authorized
Positions, Classification and Compensation Plans set forth in the Budget which recognizes new
classifications and removes unused classifications.
SECTION 3: APPROPRIATIONS LIMIT.
A. Article XIIIB of the California Constitution requires the City to set its
Appropriations Limit on an annual basis;
B. The City's Appropriations Limit may be adjusted annually based upon inflation
and population growth.
C. The City Council may choose the method of calculating adjustments to the City's
Appropriations Limit on an annual basis. For inflation, pursuant to Article XIIIB,
§ 8(e)(2), adjustments to the Appropriations Limit may be calculated using either
the percentage change in per capita personal income from the preceding year or
the percentage change in the local assessment roll from the preceding year
because of local nonresidential new construction. For population growth,
pursuant to Government Code § 7901(b), the City may either use the percentage
growth either in its jurisdiction or from the surrounding county.
Page 1 of 4
D. Pursuant to Article XIII -B of the California Constitution, and those Government
Code sections adopted pursuant to Article XIII -B, § 8(f), the City Council chooses
to adjust the City's Appropriations Limit by calculating inflation using the
percentage change in the City's assessment roll from the preceding year because
of local nonresidential new construction and calculating population growth by
using the percentage change in population in Los Angeles County.
E. As a result of the adjustments made to the City's Appropriations Limit, the City
Council sets the Appropriations Limit for fiscal year at $293,612,281.
SECTION 4: BUDGET APPROPRIATIONS. Based upon the Budget, the total General Fund
operating budget is $59,651,000. The City Manager, or designee, is authorized to implement the
following appropriations for City Departments:
DEPARTMENT
A140VW
Elected Officials
$1,015,900
City Manager
1,418,300
City Attorney
449,000
Non Department
4,242,900
Communications Center
1,398,300
Finance
1,844,500
Fire
14,160,100
Human Resources
745,200
Library
2,188,400
Recreation and Parks
5,082,200
Planning and Building
Safety
2,996,700
Police
17,999,600
Public Works
5,925,600
Transfers
4,576,400
SECTION 5: CIP APPROPRIATIONS. Based upon the CIP, a total of $2,140,000 is
appropriated for Capital Improvement Projects for Fiscal Year. The City Manager, or designee,
is authorized to implement the CIP with the following funds and amounts:
FUND
AMOUNT
_
General Fund
$3,200,000
Community Development Block Grant
$48,500
Wastewater Fund
$4,050,000
Water Fund
$1,510,000
State Gas Tax Fund
$400,000
Page 2 of 4
SECTION 6: MISCELLANEOUS APPROPRIATIONS. The City Manager, or designee, is
authorized to implement the following miscellaneous appropriations:
FU N D
AMOUNT'
TRAFFIC SAFETY
$200,000
STATE GAS TAX
400,000
ASSET FORFEITURE
888,600
COMMUNITY DEVELOPMENT BLOCK GRANT
140,300
PROP A TRANSPORTATION
292,300
PROP C TRANSPORTATION
116,600
RESIDENTIAL SOUND INSULATION
29,511,600
C.O.P.S. FUND
100,000
LAWA FUND
11,017,900
AQMD Tree Partnership Program
110,000
DEBT SERVICE FUND
540,000
FACILITIES MAINTENANCE
350,000
WATER FUND
26,185,100
SEWER FUND
7,506,300
GOLF COURSE
2,151,600
EQUIPMENT REPLACEMENT
5,279,300
LIABILITY INSURANCE
1,116,300
WORKERS' COMP RESERVE/ INSURANCE
1,897,300
SECTION 7: REAPPROPRIATION. The City Manager, or designee, is authorized to
reappropriate any unused appropriations for capital projects, special projects, and grant programs
at the close of Fiscal Year 2013 -2014 for the Budget.
SECTION 8: FUND OPERATING RESERVES. The City Manager, or designee, may
appropriate any remaining revenues at the close of Fiscal Year 2013 -2014 into the applicable
Fund operating reserve on September 30, 2014.
SECTION 9: BUDGET ADJUSTMENTS. The Budget may be subsequently adjusted as
follows:
A. By majority vote of the City Council;
B. By the City Manager, or designee, for all appropriation transfers between
programs and sections within a City department and between appropriation units
(e.g., salaries and benefits, services and supplies, and capital outlay) within
programs;
C. By Department Directors for appropriation transfers between appropriation units
within programs;
Page 3 of 4
D. Objects code expenditures within appropriation units in a program are not
restricted so long as funding is available in the appropriation unit as a whole.
SECTION 10: CONTRACTING AUTHORITY.
A. The City Manager, or designee, is authorized to bid and award contracts for the
equipment, supplies, and services approved in the Budget.
B. In accordance with the El Segundo Municipal Code ( "ESMC "), the City Manager
is authorized to execute all contracts awarded for equipment, supplies, and
services approved in the Budget.
C. Notwithstanding any dollar limitation set forth in the ESMC, the City Manager is
authorized to execute contracts for purchasing equipment and supplies that are
individually identified in the Budget regardless of total cost. The City Manager
may, but is not required to, seek additional City Council approval for transactions
made pursuant to this Section.
D. For all other services, equipment, and supplies, the City Manager is authorized to
execute contracts in accordance with the ESMC.
SECTION 11: The City Clerk is directed to certify the adoption of this Resolution; record this
Resolution in the book of the City's original resolutions; and make a minute of the adoption of
the Resolution in the City Council's records and the minutes of this meeting.
SECTION 12: This Resolution will become effective immediately upon adoption and will
remain effective unless repealed or superseded.
PASSED AND ADOPTED September 16, 2014.
ATTEST:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, City Attorney
In
Suzanne Fuentes, Mayor
Karl H. Berger, Assistant City Attorney
Page 4 of 4
CITY OF EL SEGUNDO
EXHIBIT A CHANGE LIST OF EXPENDITURE BUDGET REVISIONS - APPROPRIATIONS ALL FUNDS
FISCAL YEAR 2014 -2015 ADOPTED BUDGET
FISCAL YEAR 2014.2015 BUDGET
Total
Div Account Proposed Inc (Dee) Approved mc(DCr) Balance
Transfers:
(900)
2,60(
Transfer of General fund to Capital Improvement Fund for George Brett Field Liglding
(100)
-
Increase to CDBG Transfer
(3.200)
60C
Transfer to "Life Line" (GF to 501 Water Fund)
(25,000)
95.000
General Fund
(500)
2,500
Preliminary Budget Appropriations inclusive of Transfers Out
1,.100
3,700
ADJUSTMENTS:
(3,000)
19,900
Elected Official - City Treasurer
168,600
1,223,100
' Decrease in Workers Compensation charges
1201
4203
Reduction in Equipment Replacement charge
1201
6207
Council Action - Reduce training budget
1201
6223
Budget Adjustment- Reduce Credit Card Fees to 595,000
1201
6297
Elected Official - City Clerk
(57,900)
1.594,500
" Decrease in Workers Compensation charges
1300
4203
Increase in Equipment Replacement charge
1300
6207
Planning & Building Safety
(17,500)
547,300
" Decrease in Workers Compensation charges
24xx
4203
Fund for Building Safety Manager
2403
4xxx
Reduction in Equipment Replacement charge
24xx
6207
City Manager - IS & HR
(64,600)
532,900
" Decrease in Workers Compensation charges
210112505
4203
Reduction in Equipment Replacement charge
2101/2505/3255
6207
Finance
40,000
16,728,000
" Decrease in Workers Compensation charges
25xx
4203
Council Action - Freeze full -time Accounting Technician and back fill with part-time
25xx
4xxx
Reduction in Equipment Replacement charge
25xx
6207
Human Resources
(5,200)
30,400
" Decrease in Workers Compensation charges
2506
4203
Council Action - Reduce part-time City Receptionist service hours
2506
4xxx
Reduction in Equipment Replacement charge
2506
6207
Non - Denarlment
(27,500)
1,597,300
Council Action - Fund 100% or Crossing Guards
2901
6405
Increase in Equipment Replacement charge
2901
6207
Police Departmentt
(3.000)
16,700
" Decrease in Workers Compensation charges
31xx
4203
Council Action - Reduce staff by No sworn officers
31xx
4xxx
Budget Correction - Adjustment to PSO Salaries
31 xx
4xxx
Budget Correction - Adjust POA COLA from 1.5% to 2%
31xx
4xxx
locrease in Equipment Replacement charge
3101
6207
Fire Denartmenl
44,000
500,200
" Decrease in Workers Compensation charges
32xx
4203
Decrease in Equipment Replacement charge
32xx
6207
Public Works Denartmenl
" Decrease in Workers Compensation charges
26011410114201/4202
4203
Increase in Equipment Replacement charge
26011410161201/4202
6207
Recreation & Parks Department
" Decrease in Workers Compensation charges
5xxx
4203
Council Action - Freeze full -time Park Maint Worker and backftll with part-time
5102
4xxx
Council Action - Reduce Operating hours or Various Rec Facilities, including Acacia Po
52xx
4xxx
Council Action - Reduce Special Event budget
5210
6206
Reduction in Equipment Replacement charge
510115102/6601
6207
Librarp.Services
" Decrease in Workers Compensation charges
61xx
4203
Council Action - Reorganize staff and freeze vacant position
6102
4xxx
Council Action - Fully fund ESUSD Library Support - Personnel
6103
4xxx
Council Action - Fully fund ESUSD Library Support - School Library Materials
6103
5507
Council Action - Fully fund ESUSD Libray Support - Catalog costs
6103
6214
Council Action - Increase in annual software maintenance agreement w/ ESUSD suplor
and fully fund ESUSD Library Support - Maintenace Software
6104
6217
Budget Correction - Adjust Salaries for Library Support
Reduction in Equipment Replacement charge
6101
6207
Total General Fund inclusive of Transfers Out
" To adjust total Workers' Compensation Charges to final valuation report.
Other Funds
Preliminary Budget Appropriations inclusive of Transfers Out
3,500
(900)
2,60(
100
(100)
-
3,800
(3.200)
60C
120,000
(25,000)
95.000
3,000
(500)
2,500
2,600
1,.100
3,700
22,900
(3,000)
19,900
L054,500
168,600
1,223,100
15,500
(300)
15,200
13,300
(2,400)
10,900
249,600
(6,000)
243,600
18,200
(3,100)
15,100
1,652,400
(57,900)
1.594,500
2,100
(1,200)
900
6,700
(1,500)
5,200
564,800
(17,500)
547,300
400
(400)
..
40,000
40,000
80,000
332,400
(121.,800)
210,600
597,500
(64,600)
532,900
17,073,100
(496,600)
16,576,500
16,576,500
11 1, 500
16,688,000
16,688,000
40,000
16,728,000
411,500
45.500
457,000
592,900
(101,900)
491.000
367.500
(27,100)
340,400
35,600
(5,200)
30,400
121,700
1800
125,500
45,700
(7,900)
37,800
1,393,200
(52,200)
1,341,000
1,624,800
(27,500)
1,597,300
44;000
(12,500)
31,500
69,100
(5,500)
63,600
19,700
(3.000)
16,700
462,500
(92,700)
369,800
456,200
85,800
542,000
3,200
3,200
1,000
4,000
5,000
29.300
2;000
31,300
456,200
44,000
500,200
12,100
(200)
11,900
61 183,900 (592,200) 60.591.700
S 64,635,300
$ 64,043,100
S 75,816,500
Asset Forifeiture 0 o9) Fund
Decrease in Salaries and Benefits 3105 4xxx 466.800 (5.400) 461,400 63,753,500
CITY OF EL SEGUNDO
EXHIBIT A CHANGE LIST OF EXPENDITURE BUDGET REVISIONS - APPROPRIATIONS ALL FUNDS
FISCAL YEAR 2014 -2015 ADOPTED BUDGET
FISCAL YEAR 201.1.21115 BUDGET
Total
Div Account Proposed Inc (Dee) Approved I., (M) Balance
Measure R (110 Fund)
Conemunity Development Block Gran! (11 ) Fund
Prop A Fund 1111
Decrease in Salaries and Benerils
Prop C Fund (114)
neercmr to Salarin and BvacOes
Air Pollution Reduction Fund (115)
Adjustment- Elimination of costs not available for reimbursement
.State Gas Tax Fund (106)
Residential Sound Insulation Fund (116)
Decrease in Salaries and Benefits
Increase in Construction Costs
LA WA Fund (111)
Debt Service Fund (202)
Capital Improvement Fund (301)
Economic Uncertainly Fund (401)
Accrual Sick Leave Vacation Fund (404)
Facilities Maintenance (404)
Water (501) Fund
Fund for Principal Civil Engineer - 50
Fund for Part -Time Water Maintenance Worker
Increase in Equipment Replacement charge
Waste Wafer (502) Fund
Fund for Principal Civil Engineer -50
Increase in Equipment Replacement Charge
Golf Fund (503)
Inerease in Equipment Replacement charge
Emlipment Replacement Fund (601)
Decrease in Assets Eligible to be Replaced - Equipment
Decrease in Assets Eligible to be Replaced - Automotive
Increase in Awls Eligible to he Replaced - Communications
Increase in Assets Eligible to be Replaced - Computer
Liability Fund (602)
Workers' Compensation Fund
Developer Fees Expendable Trust
Expendable Trust - Other
Outside Service Trust (708)
Total Revised City Appropriations - Other Funds inclusive of Transfers Out
Total Revised City Appropriations - All Funds inclusive of Transfers Out
529x 4xxxx
529x 4xxxx
0000 4xxx 1,168,400 (2,400) 1,166,000
0000 8960 15,800,000 11,975,500 27,775,500
7102
4xxx
80,100
80,100
7102
4xxx
-
25,000
25,000
7102
6207
37,700
4,000
41,700
4301
4xxx
-
80,100
80,100
4301
4xxx
4301
6207
36,600
3,900
40,500
5301
6207
17,300
1.700
19,000
xxxx
8104
1,339,100
(178,100)
1,161,000
xxxx
8105
1.972.800
(48,700)
1,924,100
xxxx
8106
723,000
32,800
755,800
xxxx
8108
920,000
18,400
938,400
$ 11,986,900 $ 87,803,400
$ 11,394,700 $ 151,846,500
CITY OF EL SEGUNDO
EXHIBIT A CHANGE LIST OF REVENUE BUDGET REVISIONS - ALL FUNDS
FISCAL YEAR 2014 -2015 ADOPTED BUDGET
General Fund
Preliminary Estimated Revenues inclusive of Transfers In
ADJUSTMENTS:
Increase to Current Year Secured Estimate
Increase to Current Year Unsecured Estimate
Increase to Aquatics Drop In Programs
Total General Fund Estimated Revenues inclusive of Transfers In
Other Funds
Preliminary Estimated Revenues inclusive of Transfers In
Correction to Schedule:
Traffic Safety Fund (104)
Adjust Vehicle Code Fines
Adjust Interest on Investments
State Gas Tax Fund (106)
Adjust Interest on Investments
Asset Forfeiture Fund (109)
Adjust Interest on Investments
Adjust hiterest US Treasury
Measure "R" Transit Sales Tax Fund (110)
Adjust Interest on Investments
Measure R Sales Tax
Community Development Block Grant Fund (I 11)
Proposition "A" Transportation Fund (112)
Adjust Interest on Investments
Proposition "A" Sales Tax
Beach Shuttle Passenger Fares
Proposition "C" Transportation Fund (114)
Adjust Interest on Investments
Proposition "C" Sales Tax
A__ it Pollution Reduction Fund (115)
Adjust Interest on Investments
_Residential Sound Insulation Fund (116)
Adjust Interest on Investments
FAA 150 Grant
Sales Records & Reports
Applicant Portion
Hyperion Mitigation Fund (117)
TDA Article 3 Fund (118)
Adjust Interest on Investments
TDA Article 3 - SB 821
FISCAL YEAR 2014 -2015 BUDGET
Account Inc (Dec) Balance
$ 60,955,100
3101 $ (308,500)
3102 $ (12,900)
5202 -3874 $ 9,000
$ (312,400) $ 60,642,700
$
59,756,300
Preliminary Total
$
149,200
3511
S (18,400)
3601
$ (535)
Subtotal
$ (18,935)
Adjusted Total
$
130,265
Preliminary Total
$
502,000
3601
$ 4,650
Adjusted Total
$
506,650
Preliminary Total
$
256,800
3601
$ (150)
3604
(6,000)
Subtotal
S (6,150)
Adjusted Total
$
250,650
Preliminary Total
$
3601
$ 1,000
3746
$ 183,000
Subtotal
$ 184,000
Adjusted Total
$
184,000
Preliminary Total
$
140,300
Preliminary Total
$
246,800
3601
$ 200
3751
$ 50,000
5293 -3858
$ 4,000
Subtotal
$ 54,200
Adjusted Total
$
301,000
Preliminary Total
$
205,100
3601
3754
$ 429000
Subtotal
$ 40,400
Adjusted Total
$
245,500
Preliminary Total
$
20,400
3601
$ (350)
Adjusted Total
$
20,050
Preliminary Total
$
17,326,600
3601
S (1,550)
3755
$ 1,000,000
3812
$ (2,000)
3920
$ (300,000)
Subtotal
$ 696,450.00
Adjusted Total
$
18,023,050
Preliminary Total
$
800
Preliminary Total
$
-
3601
$ 50
3725
$ 13,600
Subtotal
$ 13,650
CITY OF EL SEGUNDO
EXHIBIT A CHANGE LIST OF REVENUE BUDGET REVISIONS - ALL FUNDS
FISCAL YEAR 2014 -2015 ADOPTED BUDGET
C.O.P.S/SLESFFUND (120)
C.O.P.S. Funding
Adjust Interest on Investments
LA WA Fund (122)
Adjust Interest on Investments
LAWA Grant
Federal Grants (124)
Adjust Interest on Investments
State Grants (125)
AB 109 Front -Line Intervention Services
Police Training STC
Debt Service Fund (202)
Developer Contribution Traffic Mitigation
Capital lm ro vement Fund 301
Economic UncertainlvFund (40 1)
Facilities Maintenance Fund (405)
Water Fund (501)
Adjust Interest on Investments
Water Sales
Meter Installation
Reclaimed Water Sales
Miscellaneous Revenue
Sewer Fund (502)
Adjust Interest on Investments
Wastewater User Fees
Wastewater Connection Fees
Annual Quality Surcharge
Golf Course Fund (503)
Equipment Replacement Fund (601)
Adjust Equipment Replacement Charge to other Departments
Transfer in General Fund
Liability Insurance Fund (602)
Adjust to account for Charges to Depts
Workers' Compensation Insurance (603)
Adjust to account for Charges to Depts
FISCAL YEAR 2014 -2015 BUDGET
Account
Inc (Dec)
Balance
Adjusted Total
$
13,650
Preliminary Total
$
-
3207
$ 100,000
3601
$ 1,700
Subtotal
$ 101,700
Adjusted Total
$
101,700
Preliminary Total
$
12,000
3601
$ 20,000
3760
11,175,000
Subtotal
$ 11,195,000
Adjusted Total
$
11,207,000
Preliminary Total
$
-
3601
120
Adjusted Total
$
120
Preliminary Total
$
116,000
3618
90,000
3703
(500)
Subtotal
89,500
Adjusted Total
$
205,500
Preliminary Total
$
1009000
3972
25,000
Adjusted Total
$
125,000
Preliminary Total
$
3,320,000
Preliminary Total
$
750,000
Preliminary Total
$
350,000
Preliminary Total
$
24,936,300
3601
46,500
3851
(1,039,300)
3853
(5,000)
3856
2,628,800
3859
(6,800)
Subtotal
1,624,200
Adjusted Total
$
26,560,500
Preliminary Total
$
4,170,400
3601
229900
3861
(698,400)
3862
(12,000)
3865
217,000
Subtotal
(470,500)
Adjusted Total
$
3,699,900
Preliminary Total
$
2,170,000
Preliminary Total
$
1,712,000
3912
40,500
9001
200,000
Subtotal
240,500
Adjusted Total
$
1,952,500
Preliminary Total
S
1,396,100
3911
$ (74,700)
Adjusted Total
S
1,321,400
Preliminary Total
$
1,875,500
3911
S (356,600)
Adjusted Total
$
1,518,900
Total Other Funds Estimated Revenues inclusive of Transfers In $ 27,124,020 $ 73,098,435
CITY OF EL SEGUNDO
EXHIBIT A CHANGE LIST OF REVENUE BUDGET REVISIONS - ALL FUNDS
FISCAL YEAR 2014 -2015 ADOPTED BUDGET
Total Revised Estimated Revenues Inclusive of Transfers In
Prior Year Designation Fund Reserves
Total Revised Estimated Revenues Inclusive of Transfers In
FISCAL YEAR 2014 -2015 BUDGET
Account Inc (Dec) Balance
$ 26,811,620 $ 133,741,135
$18,105,365
$151,846,500
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA STATEMENT AGENDA HEADING: Special Order of Business - Public Hearing
AGENDA DESCRIPTION:
Consideration and possible action to amend El Segundo Municipal Code (`SSMC ") § §15 -1 -6,
15 -6A -2, 15- 6A -11, 15 -6D -5, 15 -6D -13 and 15 -8 -2 to add a definition of "Emergency Shelters ";
to allow Emergency Shelters as a Permitted Use in the Light Industrial (M -1) Zone; to allow
Emergency Shelters as a Conditional Use in the Medium Manufacturing (MM) Zone; to establish
Emergency Shelter Development Standards; and, to remove the managed production of resources
on Agricultural Lands as a permitted use in the Open Space (O -S) Zone. Applicant: City of El
Segundo (Fiscal Impact: None).
RECOMMENDED COUNCIL ACTION:
1. Open the Public Hearing;
2. Discussion;
3. Introduce, and waive first reading of an Ordinance for Environmental Assessment No.
EA -1066 and Zone Text Amendment No. ZTA 14 -02;
4. Schedule second reading and adoption of the Ordinance on October 7, 2014; and /or
5. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1. Draft Ordinance
2. Planning Commission Staff Report, dated August 28, 2014, and Planning
Commission Resolution No. 2756
3. Map _
FISCAL IMPACT: N/A
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: Kimberly Christensen, AICP, Planning Manager
REVIEWED BY: Sam Lee, Planning and Building §afety Director
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND:
On February 4, 2014, the El Segundo City Council adopted a new Housing Element which was
subsequently certified by the California Department of Housing and Community Development
(HCD). To implement the Housing Element, the City Council should consider adopting the
proposed ordinance adding regulations regarding emergency shelters to the El Segundo
Municipal Code ( "ESMC "). California law requires that the City allow emergency shelters to
operate within its jurisdiction pursuant to the requirements in Government Code § 65583.
Compliance with Government Code § 65583 is a component of the City's newly adopted
Housing Element and was one of the criteria the HCD used in certifying the City's Housing
Element. The City's new Housing Element includes a commitment to allow Emergency Shelters
as a permitted use no later than October 1, 2014. Failure to meet this commitment would risk
non - compliance with State law. This could result in loss of potential State funding opportunities
and could negatively impact certification of the City's Housing Element in future review cycles.
On August 28, 2014, the Planning Commission held a public hearing on the proposed
Environmental Assessment No. 1066 and Zone Text Amendment No. ZTA 14 -02 amending the
El Segundo Municipal Code (`ESMC ") zoning regulations to add a definition "Emergency
Shelters," to allow Emergency Shelters as a Permitted Use in the Light Industrial (M -1) Zone
and as a Conditional Use in the Medium Manufacturing (MM); and to establish development
standards for Emergency Shelters.
Zone Text Amendment No. ZTA 14 -02 also removes "the managed production of resources on
agricultural lands" ( "Agriculture ") as a permitted use in the Open Space (O -S) Zone. The City
has no agricultural land uses, operations, or production. Government Code §65583 and
§65583.2 requires that a local agency's Housing Element provide for a variety of housing types
including housing for agricultural employees. Thus, removing the "Agriculture" designation as a
permitted use in the Open Space (O -S) Zone would eliminate this obsolete designation and bring
the ESMC into compliance with the Housing Element Update.
The attached August 28, 2014 Planning Commission staff report includes Project Background,
Project Description, Analysis, General Plan, Zoning and Environmental Review consistency
discussions.
Planning Commission Hearing
The Planning Commission received no public testimony at the hearing and received no written
communication regarding the proposed zone text amendment. The Commission adopted
Resolution No. 2756, recommending City Council approve Environmental Assessment No. 1066
and approve Zone Text Amendment No. 14 -02.
RECOMMENDATION:
Staff recommends that the City Council introduce and waive first reading of the attached draft
Ordinance to approve Environmental Assessment No. EA -1066 and Zone Text Amendment No.
14 -02. Second reading and adoption of the Ordinance would occur on October 7, 2014.
PAPlanning & Building Safety \0 Planning - Old \PROJECTS (Planning) \1051 - 1075 \EA - 1066\2014.08.28. EA 1066 Emergency
Shelters ZTA cC Staff Report.doc
ORDINANCE NO.
AN ORDINANCE AMENDING EL SEGUNDO MUNICIPAL CODE ( "ESMC ")
§ §15 -1 -6, 15 -6A -2, 15- 6A -11, 15 -613-5, 15- 6D -13, AND 15 -8 -2 TO ADD A
DEFINITION OF "EMERGENCY SHELTERS "; TO ALLOW EMERGENCY
SHELTERS AS A PERMITTED USE IN THE LIGHT INDUSTRIAL (M -1)
ZONE; TO ALLOW EMERGENCY SHELTERS AS A CONDITIONAL USE
IN THE MEDIUM MANUFACTURING (MM) ZONE; TO ESTABLISH
DEVELOPMENT STANDARDS FOR EMERGENCY SHELTERS; AND TO
REMOVE THE MANAGED PRODUCTION OF RESOURCES ON
AGRICULTURAL LANDS AS A PERMTTED USE IN THE OPEN SPACE
(O -S) ZONE FOR THE PURPOSE OF COMPLYING WITH THE 2013 -2021
HOUSING ELEMENT OF THE EL SEGUNDO GENERAL PLAN.
(EA NO. 1066 and ZTA NO. 14 -02)
The City Council of the City of El Segundo does ordain as follows:
SECTION 1: The City Council finds and declares as follows:
A. On May 14, 2014, the City of El Segundo filed an application for Environmental
Assessment No. EA -1066 and Zone Text Amendment No. ZTA 14 -02. The
application proposes an ordinance to amend the El Segundo Municipal Code
( "ESMC ") to add a definition of "Emergency Shelters "; to allow Emergency
Shelters as a Permitted Use in the Light Industrial (M -1) Zone; to allow
Emergency Shelters as a Conditional Use in the Medium Manufacturing (MM)
Zone; to establish development standards for Emergency Shelters; and to
remove the managed production of resources on agricultural lands as a
permitted use in the Open -Space (OS) Zone for the purpose of compliance with
the 2013 -2021 Housing Element of the El Segundo General Plan (the "project ");
B. The application was prepared and reviewed by the City's Planning and Building
Safety Department for, in part, consistency with the General Plan and conformity
with ESMC;
C. The City reviewed the project's environmental impacts under the California
Environmental Quality Act (California Public Resources Code § §21000, et seq.,
"CEQA ") and the regulations promulgated thereunder (14 California Code of
Regulations § §15000, et seq., the CEQA Guidelines ") and the City's
Environmental Guidelines (City Council Resolution No. 3805, adopted March 16,
1993);
D. On August 28, 2014, the El Segundo Planning Commission adopted Resolution
No. 2756 recommending that the City Council adopt this Ordinance;
E. On September 16, 2014 the City Council held a public hearing and considered
the information provided by City staff, public testimony, and the Planning
Commission's recommendations regarding this Ordinance; and
F. The ESMC amendments effectuated by this Ordinance are made based upon
the entire administrative record including, without limitation, testimony and
evidence presented to the City Council at its September 16, 2014 hearing and
the staff report submitted by the Planning and Building Safety Department.
SECTION 2: ESMC § 15 -1 -6 is amended to add the following definitions:
"15 -1 -6: DEFINITIONS:
DIRECTOR: The director of planning and building safety, or designee.
EMERGENCY SHELTER: Housina with minimal supportive services for
homeless persons that is limited to occupancy of six months or less by a
homeless person. No individual or household may be denied emergency
shelter because of an inabilitv to aav in accordance with Health and Safetv
11 :I Ol
HOMELESS PERSON: Has the same definition set forth in 42 U.S.C.
11302.
SECTION 3: ESMC § 15 -6A -2 is amended to read as follows:
"15 -6A -2: PERMITTED USES:
The following uses are permitted in the M -1 Zone:
A. Emergency shelters.
A.B. Fiberglass products, continuous filament lamination of.
�C. General offices and establishments for research, professional and technical
services.
S-.D. General storage, warehousing and ministorage.
9-. E. High and medium bay labs.
F. Light manufacturing uses and related offices.
-G. Manufacturing and assembly of electrical appliances, electronic instruments
and devices, radios and phonographs, including the manufacturing of small tools
and parts such as coils, condensers, transformers, crystal holders, etc.
6
G-.H. Manufacturing of cleaning agents, waxes and finishes.
H-J. Manufacturing of cutlery, hardware, and hand tools and kitchen utensils.
1:J. Manufacturing, processing and packaging of pharmaceuticals, drugs, toiletries
and cosmetics, except soap.
J-.K. Public facilities, including, but not limited to, fire and police facilities, post
offices, and libraries.
K-L. Public utilities, including, but not limited to, power substations and telephone
exchanges.
L—.M. Recreation facilities (public and private).
M-.N. Restaurants and cafes.
#-.O. Other similar uses approved by the d feeteF Of ^ ^mm. unity, eGenemin and
development se FViGesd i rector as provided by GhaptefChapter 22 of this title."
SECTION 4: ESMC § 15 -6A -11 is added to read as follows:
"15- 6A -11: EMERGENCY SHELTERS DEVELOPMENT STANDARDS:
A. Emergency Shelters. Emergency Shelters are subject to the following development
standards:
1. Not more than one emergency, shelter is permitted within a radius of three
hundred (300) feet from another emergency shelter.
2. The emergency shelter facility may provide one or more of the following
specific facilities and services including, without limitation:
a. Child care facilities.
b. Commercial kitchen facilities designed and operated in compliance with
Health and Safety Code _§§ 113700, et seg.;
c. Dinina area:
d. Laundry;
e. Recreation room: and
f. Support services (e.g., training, counseling).
3. Not more than twelve persons can be served on a nightly basis.
3
4. Maximum length of stay of a person in an emergency shelter is limited to one
hundred eighty (180) days in any 12 -month period.
5. The facility must provide a minimum of 50 gross square feet of personal living
space per person served, not including space for common areas.
6. Emergency shelters may operate 24 -hours a dAy to provide sleeping facilities
and other facilities and services. Admittance and intake processing of
emergency shelter clients is limited to 7:00 AM to 10:00 PM daily. Delivery hours
are limited to 7:00 AM to 6:00 PM dailv. Refuse collection is limited to 7:00 AM
to 8:00 PM dailv.
7. Each emergency shelter must have an on -site management office, with at
least one (1_) em llgyee present at all times the emergency shelter is in operation.
A minimum of two (2) employees must be on duty when more than ten (10) beds
are occupied.
8. Each emergency shelter must have on -site security employees, with at least
one (1) security employee present at all times the emergency shelter is in
operation.
9. Staging drop -off, intake, and pick -up of emergency shelter clients must take
place inside a building, at a rear or side entrance not adjacent to a public right -of-
way, or in an interior courtyard. Any exterior waiting areas must be physically
and visually separated from public view of a right -of -way with a minimum six (6)
foot tall decorative masonry wall and /or a six (@) foot tall hedge or similar mature
landscaping as approved by the director. Floor plans for the emergency shelter
must be submitted with the building plans that show the size and location of any
proposed interior and /or exterior waiting or resident intake areas.
10. Outdoor recreation activities MAy be conducted at the facility subject to the
same physical and visual separation requirements as exterior waiting areas as
set forth in this Section.
11. Off- street parking must be provided as set forth in this Code, except that the
number off - street parking spaces provided must be one (1) parking space per
three 3 beds plus one 1 parking space per employee on duty with a minimum
of three (3) employee parking spaces. Notwithstanding this requirement, the
required number of off - street parking spaces cannot exceed the spaces required
for similar uses of the same size in the M -1 Zone.
12. Exterior lighting must_ be provided at all building entrances and outdoor
activity areas, and must be activated between sunset and sunrise of each day.
All exterior liahtina must comely with this Code.
13. Facilities must provide a storage area for refuse and recyclables and must
be fully screened from public view of any public right-of-way and be enclosed by
a solid wall or fence,_ in accordance with this Code. The refuse and recyclable
storage area must be large enough to accommodate the number of bins that are
required to provide the facility with sufficient service so as to avoid the overflow
of material outside of the bins provided.
14. Emergency Shelter application requests and building plans for emergency
shelters must be submitted to the director, and if the application and building
plans meets all applicable standards in this Code, including design, development,
and any other state or local requirement, the Emergency Shelter application may
be approved by the director. Emergency Shelter applications must be approved
before a building permit may be issued."
SECTION 5: ESMC § 15 -6D -5 is amended to read as follows:
"15 -6D -5: USES SUBJECT TO CONDITIONAL USE PERMIT:
The following uses are allowed subject to obtaining a conditional use permit, as
provided by chapter 23 of this title:
A. Automobile service uses, if a three hundred foot (300) minimum distance from
any residentially zoned property is provided. This distance criteria does not apply
to properties east of Sepulveda Boulevard.
B. Emergency Shelters.
B-.C. Freight forwarding.
GD. Outdoor dining, exempting cafes, outdoor dining at restaurants and drive -
through restaurants where outdoor dining comprises twenty percent (20 %) or
less of the total dining area of the restaurant or drive - through restaurant, but
not exceeding two hundred (200) square feet of floor area.
D-. E. Service stations, if a five hundred foot (500) minimum distance from any
residential zoned property is provided. This distance criteria does not apply to
properties east of Sepulveda Boulevard.
F. Other similar uses approved by the director, as provided by chapter 22 of this
title."
SECTION 6: ESMC § 15 -6D -13 is added to read as follows:
"15- 613-13: EMERGENCY SHELTERS DEVELOPMENT STANDARDS:
A. Emergency Shelters. Emergency Shelters are subject to the following development
standards:
1. No more than one emergency shelter is permitted within a radius of three
hundred (300) feet from another emergency shelter.
5
2. The emergency shelter facility may provide one or more of the following
specific facilities and services, including, without limitation:
a. Child care facilities.
b. Commercial kitchen facilities designed and operated in compliance with
Health and Safety Code §§ 113700, et seg.;
c. Dining area;
d. Laundry;
e. Recreation room; and
f. Support services (e.g., training, counseling).
3. Not more than twelve aersons can be served on a niahtiv basis.
4. Maximum length of stay_ in an emergency shelter is limited to one hundred
eighty (180) days in any 12 -month period.
5. The facility must provide a minimum of 50 gross square feet of personal living
space per person served, not including space for common areas.
6. Emergency shelters may operate 24 -hours a day to provide sleeping facilities
and other facilities and services. Admittance and intake processing of
emergency shelter clients is limited to 7:00 AM to 10:00 PM daily. Delivery hours
are limited to 7:00 AM to 6:00 PM dailv. Refuse collection is limited to 7:00 AM
to 8:00 PM dailv.
7. Each emergency shelter must have an on -site management office, with at
least one (1) employee present at all times the emergency shelter is in operation.
A minimum of two (2) employees must be on duty when more than ten (10) beds
are occupied.
8. Each emergency shelter must have on -site security employees, with at least
one (1) security employee present at all times the emergency shelter is in
operation.
9. Staging drop -off, intake, and pick -up of emergency shelter clients must take
place inside a building, at a rear or side entrance not adjacent to _a__p_u_blic right-of-
way, way, or in an interior_ courtyard. Any exterior waiting areas must be physically
and visually separated from public view of a right -of -way with a minimum six (6)
foot tall decorative masonry wall and /or a six (6) foot tall hedge or similar mature
landscaping as approved by the director. Floor plans for the emergencv shelter
must be submitted with the building plans that show the size and location of any
proposed interior and /or exterior waiting or resident intake areas.
10. Outdoor recreation activities may be conducted at the facility subject to the
same physical and visual separation requirements as exterior waiting areas as
set forth in this Section.
11. Off - street parking must be provided as set forth in this Code except that the
number off- street parking spaces provided must be one (1) parking �space ^ per
three (3) beds, plus one (1) parking space per employee on duty with a minimum
of three 3 employee parking spaces, Notwithstanding this re uirement the
required number of off - street parking spaces cannot exceed the spaces ,,required
for similar uses of the same size in the MM Zone.
12. Exterior lighting must be provided at all building entrances and outdoor
activity areas, and must be activated between sunset and sunrise of each day,
All exterior lighting must comply with this Code,
13. Facilities must-provide a storage area for refuse and rec clables and must
be fully screened from public view of any _public right -of -way and be enclosed by
a solid wall or fence, in accordance with this Code. The refuse and recyclable
storage area must be large enough to accommodate the number of bins that are
required to provide the facility with sufficient service so as to avoid the overflow
of material outside of the bins provided.
14. Emergency Shelter application requests and building plans for emergency_
shelters must be submitted to the director, and if the application and building
plans meets all applicable standards in this Code, including design, � development,
and any other state or local requirement, the Emergency Shelter application max
be approved by the director, Emergency Shelter applications must be approved
before a building permit May by a issued."
SECTION 7: ESMC § 15 -8 -2 is amended to read as follows:.
"15 -8 -2: PERMITTED USES:
The following uses are permitted in the O -S Zone:
A. Public outdoor recreation, including, but not limitedAGwithout limitation, ball parks and
bleachers, swimming pools, parks and other areas of active or passive recreational
usage; trails and other suitable corridors including off -road bicycle paths.
B. The preservation and conservation of natural resources, including, but not limited
tewithout limitation, areas required for the preservation of plant and animal life and
areas required to provide visual relief from intense urban development and growth.
C. The managed production of Feseurnoc includinn but net limited to agriGultural land
a44d-mineral deposits.
D. The regulation of areas for public health and safety, including, but not Limited
tewithout limitation, areas which require special management or regulation because
of hazardous or special conditions.
E. Other similar uses approved by the #e-G �merm Ec*n0n* and
Development conaG^sdirector, as provided by Chapter 22 of this TWetitle."
SECTION 8: Environmental Determination: The City Council determines that this
Ordinance is exempt from further environmental review under the California
Environmental Quality Act (Public Resources Code §§ 21000, et seq., "CEQA ") and
CEQA Guidelines (14 California Code of Regulations §§ 15000, et seq.) because it
establishes rules and procedures for construction and operation of new small
commercial facilities. Specifically, the proposed ordinance would allow Emergency
Shelters as a permitted use in the Light Industrial (M -1) Zone and as a conditional use
in the Medium Manufacturing (MM) Zone; remove managed production of resources on
agricultural lands as a permitted use in the Open -Space (OS) Zone; and implement
minor revisions and clarifications to existing regulations and specification of procedures
related to housing and will not have the effect of substantially changing regulatory
standards or findings. The project, therefore, is categorically exempt from further CEQA
review under CEQA Guidelines § 15303. Further, the project is also exempt from
review under CEQA pursuant to CEQA Guidelines § 15061(b)(3) because the project is
for general policies and procedure- making. The project does not authorize any new
development entitlements, but simply establishes policies and procedures. Any
proposed project that will utilize the changes set forth in the proposed ordinance will be
subject to CEQA review as part of the entitlement review of that project. The project will
not adversely impact the environment and is therefore exempt from the provisions of
CEQA.
SECTION 9: If any part of this Ordinance or its application is deemed invalid by a court
of competent jurisdiction, the city council intends that such invalidity will not affect the
effectiveness of the remaining provisions or applications and, to this end, the provisions
of this Ordinance are severable.
SECTION 10: Each and every one of the findings and determinations in this Ordinance
are based on the competent and substantial evidence, both oral and written, contained
in the entire record. The findings and determinations constitute the independent
findings and determinations of the City Council in all respects and are fully and
completely supported by substantial evidence in the record as a whole.
SECTION 11: The City Clerk is directed to certify the passage and adoption of this
Ordinance; cause it to be entered into the City of El Segundo's book of original
ordinances; make a note of the passage and adoption in the records of this meeting;
and, within fifteen (15) days after the passage and adoption of this Ordinance, cause it
to be published or posted in accordance with California law.
SECTION 12: This Ordinance will become effective on the thirty -first (31st) day
following its passage and adoption.
PASSED AND ADOPTED this day of , 2014.
Suzanne Fuentes, Mayor
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO 1
I, Tracy S. Weaver, City Clerk of the City of El Segundo, California, do hereby certify
that the whole number of members of the City Council of said is five; that the foregoing
Ordinance No. was duly introduced by said City Council at a regular meeting
held on the 16th day of September, 2014, and 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 2014, and the
same was so passed and adopted by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Tracy S. Weaver, City Clerk
APPROVED AS TO FORM:
Mark D. Hensley, City Attorney
Karl H. Berger, Assistant City Attorney
PAPlanning & Building Safety \0 Planning - Old \PROJECTS (Planning) \1051- 1075 \EA - 1066\2014.09.16. EA 1066
Emergency Shelters ZTA CC Ordinance.doc
0
CITY OF EL SEGUNDO
PLANNING COMMISSION STAFF REPORT
PUBLIC HEARING: August 28, 2014
SUBJECT: Environmental Assessment No. EA -1066 and Zone
Text Amendment No. ZTA 14 -02 (El Segundo
Municipal Zoning Code Amendment to Implement
the Housing Element)
APPLICANT: City of El Segundo
PROPERTY OWNER: Citywide
REQUEST: El Segundo Municipal Zoning Code Amendment
to Implement the 2013 -2021 Housing Element
PROPERTY INVOLVED: Medium Manufacturing (MM) Zone; Light
Industrial (M -1) Zone; and Open Space (O -S) Zone
I. Introduction
The City Council adopted a new Housing Element on February 4, 2014 which
was subsequently certified by the California Department of Housing and
Community Development (HCD). To implement the Housing Element, the City
Council should consider adopting the draft ordinance which adds regulations
regarding "emergency shelters." This also complies with changes in California
law that require local agencies to allow emergency shelters within their
jurisdictions (see Government Code § 65583).
II. Recommendation
The Planning Commission should consider adopting a resolution recommending
that the City Council adopt an ordinance adding regulations regarding
emergency shelters to the El Segundo Municipal Code ( "ESMC ").
III. Background
California law requires that the City allow emergency shelters to operate within
its jurisdiction. Consistent with these legislative changes, the City Council
adopted a new Housing Element in February 2014. To implement the Housing
Element requires that the City Council consider adopting new land use
regulations regarding emergency shelters.
If adopted, the draft ordinance would amend the ESMC as follows:
1. Permit emergency shelters in the Medium Manufacturing (MM) Zone and the
Light Manufacturing (M -1) Zone by right without discretionary review; and,
2. Remove the managed production of resources on agricultural lands as a
permitted use in the Open -Space (OS) Zone since the City has no
agriculturally designated land uses or existing agricultural operations. This
regulation in the Open Space ((O -S) Zone is outdated and does not reflect
current or projected land uses in the City.
IV. Analysis
Emergency Shelters.
Program 1, "Zoning Revisions" of the Housing Element Update identified the
City's plan for addressing unmet housing needs and removal of constraints to
housing in accordance with California law. The proposed zone text amendment
would address unmet housing needs and remove constraints by:
1) adding a definition of Emergency Shelter to ESMC § 15 -1 -6;
2) allowing Emergency Shelters as a Permitted Use in the Light Industrial (M -1)
Zone and the Medium Manufacturing (MM) Zone; and
3) establishing development standards for Emergency Shelters.
The standards proposed in the draft ordinance are intended to provide adequate
services and ensure the protection of the clients served on site; and to provide
appropriate design criteria to ensure adequate protection and compatibility with
adjacent land uses. Staff believes that the proposed standards accomplish
those objectives.
Permitted Uses in the Open Space (O -S) Zone
Zone Text Amendment No. ZTA 14 -02 proposes to remove "the managed
production of resources on agricultural lands" ( "Agriculture ") as a permitted use
in the Open Space (O -S) Zone. Government Code §65583 and §65583.2
requires that a local agency's Housing Element provide for a variety of housing
types including housing for agricultural employees. The City has no agricultural
land uses, operations, or production. Thus, providing housing for agricultural
employees is not required for the City's Housing Element. Removing the
"Agriculture" designation as a permitted use in the Open Space (O -S) Zone
would eliminate this obsolete designation and bring the ESMC into compliance
with the Housing Element Update.
2
V. General Plan and Zoning Consistency
As set forth in the draft resolution and ordinance, the proposed regulations
comply with the General Plan.
VI. Environmental Review
As set forth in the draft resolution and ordinance, the proposed ordinance is
exempt from further CEQA review. The project does not authorize any new
development entitlements, but simply establishes policies and procedures. Any
proposed project that will utilize the changes set forth in the proposed ordinance
will be subject to CEQA review as part of the entitlement review of that project.
The project will not adversely impact the environment and is therefore exempt
from the provisions of CEQA.
VII. Public Notice
A public hearing notice was posted in the El Segundo Herald, as well as mailed
to various groups and organizations interested in housing issues.
VIII. Conclusion
Staff recommends that the Planning Commission adopt Planning Commission
Resolution No. 2756 recommending that the City Council approve Environmental
Assessment No. EA -1066 and Zone Text Amendment No. ZTA 14 -02, which
amends the ESMC in order to implement the Housing Element.
IX. Exhibits
A. Draft Resolution
B. Draft Ordinance
C. Excerpts of 2013 -2021 Housing Element
Prepared by: Tina Gall, Planning Consultant
L11 AAA t), 6 V ! 1 Il
Kimberly Chris ., AICP, Planning Manager
Planni an ui ' ng Safety Department
Sam L , r
Panning and Building Safety Department
PAPlanning & Building Safety \0 Planning - Old \PROJECTS (Planning) \1051 - 1075 \EA - 1066\2014.08.28. EA 1066 Emergency
Shelters ZTA PC Staff Report.doc
3
RESOLUTION NO. 2756
A RESOLUTION RECOMMENDING THAT CITY COUNCIL ADOPT AN
ORDINANCE AMENDING THE EL SEGUNDO MUNICIPAL CODE
( "ESMC ") REGULATING "EMERGENCY SHELTERS.
(EA NO. 1066 and ZTA NO. 14 -02)
The Planning Commission of the City of El Segundo does resolve as follows:
SECTION 1: The Planning Commission finds and declares that:
A. On February 4, 2014, the City Council of the City of El Segundo adopted
an update to its Housing Element of the General Plan for the period 2013
to 2021;
B. On February 24, 2014, the California Department of Housing and
Community Development certified the City's Housing Element;
C. As part of the adopted Housing Element Update, the City proposed to
consider amending the zoning regulations in the El Segundo Municipal
Code ( "ESMC ") to add Emergency Shelters as a Permitted Use in the
Light Manufacturing (M -1) Zone and as a Conditional Use in the Medium
Manufacturing (MM) Zone, and to remove the managed production of
resources on agricultural lands as a permitted use in the Open Space (O-
S) Zone. The City filed an application to accomplish such actions on May
14, 2014;
D. The application was prepared and reviewed by the City's Planning and
Building Safety Department for, in part, consistency with the General Plan
and conformity with the ESMC;
E. The City reviewed the project's environmental impacts under the California
Environmental Quality Act (California Public Resources Code §§ 21000, et
seq., "CEQA ") and the regulations promulgated thereunder (14 California
Code of Regulations §§ 15000, et seq., the "CEQA Guidelines "), and the
City's Environmental Guidelines (City Council Resolution No. 3805,
adopted March 16, 1993);
F. The Planning and Building Safety Department completed its review and
scheduled the public hearing regarding the application before the Planning
Commission for August 28, 2014;
G. On August 28, 2014, the Planning Commission held a public hearing to
receive public testimony and other evidence regarding the proposed
amendment, including, without limitation, information provided to the
Planning Commission by City staff and public testimony; and
H. This Resolution and its findings are made based upon the evidence
presented to the Commission at its August 28, 2014, hearing including,
without limitation, the staff report submitted by the Planning and Building
Safety Department.
SECTION 2: Factual Findings and Conclusions. The Planning Commission finds as
follows:
A. The City adopted a Housing Element that was subsequently certified by
the California State Department of Housing and Community Development
(HCD) in accordance with California law. The Housing Element proposes
that the City Council amend the ESMC to regulate Emergency Shelters.
B. The proposed Amendment removes the obsolete designation of "managed
production of resources on agricultural lands" from the Open Space (O -S)
Zone to ensure consistency and compatibility with current land uses.
SECTION 3: Environmental Assessment. Because of the facts set forth in Section 2,
the proposed zone text amendment is exempt from further environmental review under
the California Environmental Quality Act (Public Resources Code §§ 21000, et seq.,
"CEQA ") and CEQA Guidelines (14 California Code of Regulations §§ 15000, et seq.)
because it establishes rules and procedures for construction and operation of new small
commercial facilities. Specifically, the proposed ordinance would allow Emergency
Shelters as a Permitted Use in the Light Industrial (M -1) Zone and as a Conditional Use
in the Medium Manufacturing (MM) Zone; remove managed production of resources on
agricultural lands as a permitted use in the Open -Space (OS) Zone; and implement
minor revisions and clarifications to existing regulations and specification of procedures
related to housing and will not have the effect of substantially changing regulatory
standards or findings. The project, therefore, is categorically exempt from further CEQA
review under CEQA Guidelines § 15303. Further, the project is also exempt from
review under CEQA pursuant to CEQA Guidelines § 15061(b)(3) because the project is
for general policies and procedure- making. The project does not authorize any new
development entitlements, but simply establishes policies and procedures. Any
proposed project that will utilize the changes set forth in the proposed ordinance will be
subject to CEQA review as part of the entitlement review of that project. The project will
not adversely impact the environment and is therefore exempt from the provisions of
CEQA.
SECTION 4: General Plan Findings. As required under Government Code § 65860 the
ESMC Amendment proposed by the Ordinance are consistent with the El Segundo
General Plan as follows:
A. The proposed zone text amendment conforms to the Land Use Element
Goals, Objectives and Policies. Specifically, the zone text amendment is
consistent with Land Use Element Goal 5, Policy Objective LU5 -5 in that
the amendment establishes policies and guidelines to permit Emergency
Shelters as a Permitted Use in the Light Manufacturing (M1) Zone and as
6
a Conditional Use in the Medium Manufacturing (MM) Zone and that it will
be consistent with light industrial development near residential areas.
B. The proposed zone text amendment conforms to the Housing Element
Goals, Objectives and Policies. Specifically, the zone text amendment is
consistent with Housing Element Goal 2, Policies 2.1 and 2.3 in that the
amendment will facilitate housing and develop programs to serve special
needs persons as well as provide an allowance in the City's zoning
regulations, as required by California Law, to permit emergency shelters in
industrial zones.
C. The proposed zone text amendment is consistent with Housing Element
Goal 4 in that the amendment will remove governmental constraints to
allow for greater accommodation for housing types for persons with
disabilities and special needs.
D. The proposed zone text amendment is also consistent with the Open
Space and Recreational Facilities Element Goals, Objectives, and
Policies. Specifically, it is consistent with Policy OS1 -1.8 in that the
amendment will remove agriculture as a permitted use in the Open -Space
(OS) zone thus preserving and maintaining publicly -owned park land from
conversion to other land uses.
SECTION 5: Zone Text Amendment Findings. In accordance with ESMC § 15 -26 -4
and based on the findings set forth in Section 2, the proposed Zone Text Amendment is
consistent with the goals, policies, and objectives of the General Plan as follows:
A. It is consistent with the purpose of the ESMC, which is to serve the public
health, safety, and general welfare and to provide the economic and social
advantages resulting from an orderly planned use of land resources.
B. It is consistent with California law and the City's adopted General Plan
Housing Element Goals and Policies as it provides for Emergency
Shelters by removing governmental constraints on housing production and
affordability. Further, it ensures the orderly development of housing
opportunities in non - residential zones to be compatible with surrounding
properties and the public right -of -way.
C. It is consistent with goals of the ESMC to remove obsolete land uses such
as agriculture and to promote consistent and compatible land uses
throughout the City.
SECTION 6: Recommendations. The Planning Commission recommends that the City
Council adopt the ordinance set forth in attached Exhibit "A," which is incorporated into
this resolution by reference.
SECTION 7: Reliance On Record. Each and every one of the findings and
determination in this Resolution are based on the competent and substantial evidence,
3
both oral and written, contained in the entire record relating to the project. The findings
and determinations constitute the independent findings and determinations of the
Planning Commission in all respects and are fully and completely supported by
substantial evidence in the record as a whole.
SECTION 8: Limitations. The Planning Commission's analysis and evaluation of the
project is based on the best information currently available. It is inevitable that in
evaluating a project that absolute and perfect knowledge of all possible aspects of the
project will not exist. One of the major limitations on analysis of the project is the
Planning Commission's lack of knowledge of future events. In all instances, best efforts
have been made to form accurate assumptions. Somewhat related to this are the
limitations on the city's ability to solve what are in effect regional, state, and national
problems and issues. The City must work within the political framework within which it
exists and with the limitations inherent in that framework.
SECTION 9: This Resolution will remain effective until superseded by a subsequent
resolution.
SECTION 10: The Commission secretary is directed to mail a copy of this Resolution to
any person requesting a copy.
4
SECTION 11: This Resolution may be appealed within ten (10) calendar days after its
adoption. All appeals must be in writing and filed with the City Clerk within this time
period. Failure to file a timely written appeal will constitute a waiver of any right of
appeal.
PASSED AND ADOPTED this 28th day of August, 2014.
ATTEST:
Sam Lee, Secretary
APPROVED AS TO FORM:
Mark D. Hensley, City Attorney
David Wagner, Chairperson
City of El Segundo Planning Commission
Karl H. Berger, Assistant City Attorney
Wagner
Baldino
Newman
Nicol
Nisley
PAPlanning & Building Safety \0 Planning - Old \PROJECTS (Planning) \1051 - 1075 \EA - 1066\2014.08.28. EA 1066
Emergency Shelters ZTA PC Resolution 2756.doc
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CITY OF EL SEGUNDO
PAYMENTS BY WIRE TRANSFER
08/18114 THROUGH 08/31/14
Date
Pavee
Amount
Description
8/18/2014
IRS
220,685.53
Federal 941 Deposit
8/18/2014
Employment Development
3,832.72
State SDI payment
8/18/2014
Employment Development
43,902.02
State PIT Withholding
8/20/2014
Cal Pers
108,474.67
EFT Retirement Misc
8/20/2014
8/20/2014
Cal Pers
Cal Pers
273,575.04
EFT Retirement Safety
8/20/2014
Cal Pers
2,785.78
EFT Retirement Safety - Police
8/21/2014
Lane Donovan Golf Ptr
5,985.87
23,233.24
EFT Retirement Misc
Payroll Transfer
8/21/2014
Cal Pers
18,005.39
RBF Benefit
8/22/2014
Health Comp
1,967.67
Weekly claims
8/26/2014
Unum
248.40
Long Term Care Premium
8/29/2014
Health Comp
3,269.27
Weekly claims
8/29/2014
Manufacturers & Traders
22,200.31
457 payment Vantagepoint
8/29/2014
Manufacturers & Traders
477.31
IRA payment Vantagepoint
8/29/2014
Manufacturers & Traders
5,270.93
401 payment Vantagepoint
8/29/2014
US Bank - Trust Acct
7,659.53
PARS payment
8/29/2014
South Bay Credit Union
13,980.38
Payroll credit union deduction pmt
8/29/2014
Nationwide NRS EFT
42,820.10
EFT 457 payment
8/29/2014
Nationwide NRS EFT
1,979.73
EFT 401a payment
8/29/2014
State of CA EFT
910.14
EFT Child support payment
8/16/14 - 8/22/14
Workers Comp Activity
17,160.41
SCRMA checks issued
8/23/14 - 8/29/14
Workers Comp Activity
24,179.35
SCRMA checks issued
842,603.79
DATE OF RATIFICATION:
09/02/14
TOTAL PAYMENTS
BY WIRE:
842,603.79
Certified as to the
accuracy of the wire transfers
by:
41
Deputy City Treasurer
II
Da
Date
I 51
Date
9-9-14
Date
Information on actual expenditures is available in the City Treasurer's Office of the City of El Segundo.
PACity Treasurer \Wire Transfers \Wire Transfers 10 -01 -13 to 9 -30 -14 9/2/2014 1/1
REGULAR MEETING OF THE EL SEGUNDO CITY COUNCIL
TUESDAY, AUGUST 19, 2014 — 5:00 PM
5:00 P.M. SESSION
CALL TO ORDER- Mayor Fuentes at 5:00 PM
ROLL CALL
Mayor Fuentes -
Present
Mayor Pro Tern Jacobson -
Present
Council Member Atkinson -
Present
Council Member Fellhauer -
Present
Council Member Dugan -
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.
SPECIAL ORDER OF BUSINESS:
Mayor Fuentes announced that Council would be meeting in closed session pursuant to
the items listed 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:
CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION (Gov't Code
§54956.9(d) (3): -1- matter
City of El Segundo vs. City of Los Angeles, et.al. LASC Case No. BS094279
CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION
Significant exposure to litigation pursuant to Government Code §54956.9(d) (2) and (3):
-0- matter.
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 14
Initiation of litigation pursuant to Government Code §54956.9(c): -0- matter.
DISCUSSION OF PERSONNEL MATTERS (Gov't Code §54957): -0- matter
APPOINTMENT OF PUBLIC EMPLOYEE (Gov't. Code § 54957): -0- matter
PUBLIC EMPLOYEMENT (Gov't Code § 54957) -0- matter
CONFERENCE WITH CITY'S LABOR NEGOTIATOR (Gov't Code §54957.6): -8-
matters
Employee Organizations: Police Management Association; Police Officers
Association; Police Support Services Employees Association; Fire Fighters
Association; Supervisory and Professional Employees Association; City
Employees Association; Executive Management Group (Unrepresented Group);
Management/Confidential Group (Unrepresented Group)
Agency Designated Representative: Steve Filarsky and City Manager
CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Gov't Code §54956.8): -0-
matters
Adjourned at 6:55 PM
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 2
REGULAR MEETING OF THE EL SEGUNDO CITY COUNCIL
TUESDAY, AUGUST 19, 2014 - 7:00 P.M.
7:00 P.M. SESSION
CALL TO ORDER- Mayor Fuentes at 7:01 PM
INVOCATION — Dina Ferguson, St. Michael Episcopal Church
PLEDGE OF ALLEGIANCE — Council Member Fellhauer
PRESENTATIONS
a. Presentation by Mike Harriel, Public Affairs Manager for Southern California Gas
Company, Daisy Cristobal and Robin Alexander presented an update on the
Advance Meter Project.
ROLL CALL
Mayor Fuentes -
Present
Mayor Pro Tern Jacobson -
Present
Council Member Atkinson -
Present
Council Member Fellhauer -
Present
Council Member Dugan -
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.
Council Consensus to hold a separate Public Communications on the Top Golf item
after Council Member Dugan's presentation.
Andrew Walther, resident, commented on the COPS agenda item B1.
Jane Friedkin, resident, commented on the Recreation and Parks Fee Analysis Task
Force agenda item C3.
Joe Caravello, resident, commented on the drone agenda item K18.
Mike Robbins, resident, commented on the drone agenda item K18.
Melissa Moore, ESUSD Superintendent, commented on agenda item D6.
Loretta Frye, resident, commented on the Recreation and Parks Fee Analysis Task
Force agenda item C3.
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 3
CITY COUNCIL COMMENTS — (Related to Public Communications) None
A. PROCEDURAL MOTIONS
Consideration of a motion to read all ordinances and resolutions on the Agenda by title
only.
MOTION by Mayor Pro Tern Jacobson, SECONDED by Council Member Fellhauer to
read all ordinances and resolutions on the agenda by title only. MOTION PASSED BY
UNANIMOUS VOICE VOTE. 5/0.
B. SPECIAL ORDERS OF BUSINESS (PUBLIC HEARING)
Consideration and possible action to conduct a Public Hearing regarding
operating and capital outlay requests of $100,000 from the existing Citizens
Option for Public Safety (COPS) Supplemental Law Enforcement Services Fund
(SLESF) account by the Chief of Police. The grant requires that expenditures be
utilized to supplement "front line law enforcement." Front line law enforcement
includes funding special enforcement details, and purchasing equipment.
(Fiscal Impact: $100,000 from COPS grant fund)
Mayor Fuentes stated this was the time and place to conduct a public hearing and adopt
a resolution approving the use of COPS grant funds to purchase equipment related to
supplementation of "front line law enforcement ".
City Clerk Weaver stated that proper notice had been given in a timely manner and that
no written communication has been received in the City Clerk's office.
Mayor Fuentes opened the Public Hearing.
Mitch Tavera, Chief of Police, gave a presentation and answered questions from the
Council.
Andrew Walther, resident, commented on the COPS program
Jane Friedkin, resident, commented on this item.
MOTION by Council Member Fellhauer, SECONDED by Council Member Dugan to
close the public hearing. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0
Mark Hensley, City Attorney, read by title only:
RESOLUTION NO. 4882
A RESOLUTION PROVIDING FOR THE IMPLEMENATION OF THE CITIZENS
OPTION FOR PUBLIC SAFETY (COPS) PROGRAM.
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 4
MOTION by Council Member Fellhauer, SECONDED by Mayor Pro Tem Jacobson to
adopt Resolution No. 4882. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0
2. Consideration and possible action regarding adoption of a Resolution authorizing
the City of El Segundo to withdraw from the Los Angeles Region Interoperable
Communications System (LA -RICS) Authority Joint Powers Agreement.
(Fiscal Impact: None at this time)
Mitch Tavera, Chief of Police, gave a presentation and answered questions from
Council.
Council Discussion
MOTION by Council Member Fellhauer, SECONDED by Mayor Pro Tern Jacobson to
adopt Resolution No. 4883 authorizing the City's formal withdrawal as a member of the
Los Angeles Regional Interoperable Communications System (LA -RICS) Authority Joint
Powers Agreement (JPA Agreement) and provide written notice thereof to LA -RICS
prior to November 24, 2014. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0
Mayor Fuentes moved the City Treasurer presentation forward on the agenda.
REPORTS — CITY TREASURER
16. Presentation of new Investment Portfolio Report.
(Fiscal Impact: None)
Crista Binder, City Treasurer and Dino Marsocci , Deputy Treasurer gave a
presentation.
Received and filed the Investment Portfolio Report,
17. Information regarding credit card fees and the City's ability to charge a
convenience fee.
(Fiscal Impact: None)
Crista Binder, City Treasurer and Dino Marsocci , Deputy Treasurer gave a
presentation.
Council Discussion
Received and filed the information regarding credit card fees and the City's ability to
charge a convenience fee.
Council directed staff to develop a City Credit Card Policy, streamline existing
processes and implement a pilot payment threshold of $5,000.00 in FY2014 -15.
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 5
Council also directed the Treasury Department to bring back for discussion other
threshold amounts.
C. UNFINISHED BUSINESS
3. Consideration and possible action to adopt the proposed fee modifications
presented by the Recreation and Parks Fee Analysis Task Force.
(Fiscal Impact: Estimated Annual Increased Revenues of $12,000.00 to
Proposition A and $28,000.00 to General Fund)
Meredith Petit, Recreation and Parks Director, gave a presentation and answered
questions from Council.
Council Discussion
MOTION by Council Member Fellhauer, SECONDED by Council Member Dugan to
approve the amended proposed fee schedule for aquatics programs, transportation
programs services and adopt amended Resolution No. 4884 accepting the new fee
schedule. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0
Meeting recessed at 9:12 PM
Meeting back in session at 9:23 PM
4. Consideration and possible action to enter into a Professional Services
Agreement with Isaac Sports Group to conduct an Aquatics Facility Program,
Financial, and Sustainability Analysis.
(Fiscal Impact: Not to exceed $15,000.00)
Meredith Petit, Recreation and Parks Director, gave a presentation and answered
questions from Council.
Council Discussion
MOTION by Council Member Atkinson, SECONDED by Council Member Fellhauer to
authorize the City Manager to enter into Agreement No. 4668 for consulting services, in
a form approved by the City Attorney, for an Aquatic Facility Program, Financial and
Sustainability Analysis. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0
5. Update and possible action on the ESCenterCal LLC (CenterCal) proposal to
enter into a Due Diligence and Ground Lease Agreement ( "Agreement ") to
lease the driving range portion of the Lakes Golf Course for the purpose of
developing a Top Golf facility.
Greg Carpenter, City Manager, gave a brief update on this item.
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 6
Deborah Cullen, Finance Director, gave a presentation.
Council Discussion
Council Member Dugan gave a presentation.
Council Discussion
Mayor Fuentes stated a 3 minute time limit would be imposed during the Public
Communications concerning the Top Golf proposal.
PUBLIC COMMUNICATIONS — (Related to City Business Only — 3 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.
Dr. Antonio Mendez, resident, commented on Deborah Cullen's presentation.
Liz Garnholz, resident, offended by the recommended 3 minutes to speak.
Jane Friedkin, resident, commented she is not in favor of hiring a firm for analysis on
the Top Golf proposal.
Chad Cook, Hermosa Beach resident, commented on the financials presented this
evening concerning Top Golf.
Les Eisman, resident, asked if someone from the company was here this evening?
Tom Courtney, Manhattan Beach resident, commented on the loss to the city during
the remodel of the range and suggested outsourcing the restaurant portion of the Lakes.
Debra Geist, Manhattan Beach resident, commented on the deal presented in
November 2013. Not in favor of the deal presented.
John Gutt, resident, not in favor of Top Golf proposal.
Rupesh Bhakta, CenterCal Properties LLC, mentioned CenterCal is an El Segundo
based company. Mr. Bhakta proposed the concept and feels the pros out weigh the
cons.
Lorretta Frye, resident, commented she is not in favor of hiring a consultant for the Top
Golf proposal.
Art McFay, Palos Verdes Estates resident, is not in favor of the Top Golf proposal.
Morris Chernick, resident and EDAC member, in favor of the Top Golf proposal and
hiring a professional consultant for the Top Golf proposal.
Peggy Turell, resident, is not in favor of hiring an outside consultant for the Top Golf
proposal.
Council Discussion
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 7
Council Member Fellhauer presented the new CenterCal and Top Golf Properties
Proposal.
Council Consensus directed staff to go out for proposals for a consultant firm, engage
the golf course subcommittee and EDAC in dialogue and once the proposals are
presented to the golf course subcommittee, bring in a third party consultant to evaluate
the Top Golf proposal.
Toni Reina, representing Continental Development Corp and Richard Lundquist,
confirmed an amount of $10,000.00 will be given to the City for a third party consultant
company.
D. REPORTS OF COMMITTEES, COMMISSIONS AND BOARDS
6. Report and possible action on the FY 2014 -15 Budget related to funding of the El
Segundo Unified School District library services and crossing guards.
(Fiscal Impact: Budget savings or additional expense depending on City Council
direction.)
Greg Carpenter, City Manager, gave an update on this item.
Mitch Tavera, Chief of Police, gave a presentation on crossing guards and answered
questions from Council.
Emilee Layne, School Board Member, stated the Board of Education is committed to
finding a solution with the City on the librarians and Crossing Guards joint use
agreement.
Council Discussion
MOTION by Council Member Dugan, SECONDED by Council Member Fellhauer to
continue funding the staffing of School Libraries and Crossing Guards for FY 14/15 to
the El Segundo Unified School District. 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.
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 8
7. Approve Warrant Numbers 3001896 through 3002145 on Register No. 21 in the
total amount of $1,209,167.89 and Wire Transfers from 07 -14 -2014 through 07-
27 -2014 in the total amount of $1,976,328.22. 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.
8. Approve Regular City Council Meeting Minutes of July 15, 2014, Regular City
Council Meeting Minutes of August 5, 2014 and Special City Council
Meeting Minutes of August 12, 2014.
9. Accept as complete the installation of sub - meters on the City's Main Electrical
Meter and authorize the City Clerk to file a Notice of Completion in the County
Recorder's Office. Project No. PW 13 -02.
(Fiscal Impact: $29,000.00)
10. Authorize the City Manager to enter into Easement Agreement No. 4669 with
Southern California Edison to install equipment upgrades at 400 S. Sepulveda
Blvd. for improved service reliability in El Segundo.
(Fiscal Impact: receipt of a one -time $2,000 easement fee)
11. Receive and file the report regarding cleaning and repairing drywall and carpet
as well as restoring furniture in the north portion of City Hall without the need for
bidding in accordance with Public Contracts Code §§ 20168 and 22050 and El
Segundo Municipal Code ( "ESMC ") §§ 1 -7 -12 and 1 -7A -4.
(Fiscal Impact: $37,000.00)
12. Receive and file the report regarding the emergency repair to remove debris in
the attic space of City Hall without the need for bidding in accordance with Public
Contracts Code §§ 20168 and 22050 and El Segundo Municipal Code ( "ESMC ")
§§ 1 -7 -12 and 1 -7A -4.
(Fiscal Impact: $82,354.00)
13.Authorize the City Manager to execute Funding Agreement No. 4670 with the
Los Angeles County Metropolitan Transportation Agency, for the receipt of
$350,000 in Measure R grant funds for Park Place Extension Project
environmental review. (Fiscal Impact: Measure R Grant Revenue $350,000.00)
14.Accept as complete the City Hall heating ventilation and air conditioning system
( "HVAC ") Duct Emergency Repair Project, Project No. PW 14 -05 and authorize
the City Clerk to file a Notice of Completion in the County Recorder's office.
(Fiscal Impact: Measure R Grant Revenue $12,065.00)
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 9
MOTION by Council Member Fellhauer, SECONDED by Council Member Atkinson to
approve Consent Agenda items 7, 8, 9, 10, 11, 12, 13, and 14. MOTION PASSED BY
UNANIMOUS VOICE VOTE. 5/0.
F. NEW BUSINESS
15. Discussion and possible action to reallocate Proposition C Funds to Public Works
Projects and modify transportation services provided by Proposition A Funds.
(Fiscal Impact: To Be Determined)
Meredith Petit, Recreation and Parks, gave a presentation and answered questions
from Council.
Council Discussion
MOTION by Council Member Fellhauer, SECONDED by Council Member Dugan to
table the decision until the Chamber of Commerce can weigh in on the discussion.
MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0.
G. REPORTS — CITY MANAGER - Thanked the staff for their hard work on
tonight's agenda.
H. REPORTS — CITY ATTORNEY - None
REPORTS — CITY CLERK- None
K. REPORTS — CITY COUNCIL MEMBERS
Council Member Fellhauer —
18. Discussion regarding the use of unmanned aerial devices, power model aircraft,
drones, etc., within the City.
(Fiscal Impact: None)
Council Discussion
MOTION by Council Member Fellhauer, SECONDED by Council Member Atkinson to
direct staff to research and draft language for a possible Ordinance concerning this item
and bring back to council at a later meeting. MOTION PASSED BY UNANIMOUS
VOICE VOTE. 5/0.
Mark Hensley, City Attorney, stated that he will look into this matter with Chief Tavera
and get back to the Council.
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 10
Council Member Atkinson — Attended (along with Council Member Dugan) the Meet the
Superintendant event sponsored by ED!
Council Member Dugan - None
Mayor Pro Tern Jacobson — None
Mayor Fuentes — Lost a tree in her yard and thanked all who helped with the matter.
Mentioned the SCROC bill has been shelved.
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.
Lorretta Frye, resident, questioned petitions from residents concerning the fees for Dial -
A -Ride and Senior Citizens.
Jane Friedkin, resident, would like to know who serves on the Golf Subcommittee and
commented on the meeting in general.
Jack Axelrod, resident, commented on the Drone item and other items of concern to Mr.
Axelrod.
Mike Robbins, resident, commented on Mr. Axelrod's comments.
Council commented on Public Communications
MEMORIALS —
ADJOURNMENT at 12:20 AM
Tracy Weaver, City Clerk
MINUTES OF THE REGULAR CITY COUNCIL MEETING
AUGUST 19, 2014
PAGE NO. 11
SPECIAL MEETING OF THE EL SEGUNDO CITY COUNCIL
TUESDAY, SEPTEMBER 9,2014,6:00 P.M.
CALL TO ORDER — Mayor Fuentes at 6:00 p.m.
ROLL CALL
Mayor Fuentes -
Present
Mayor Pro Tern Jacobson -
Present
Council Member Atkinson -
Present
Council Member Fellhauer -
Present
Council Member Dugan -
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..
SPECIAL ORDER OF BUSINESS:
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 CITY'S LABOR NEGOTIATOR (Gov't Code §54957.6):-8- matters
1. Employee Organizations: Police Management Association; Police Officers Association;
Police Support Services Employees Association; Fire Fighters Association; Supervisory and
Professional Employees Association; Employees Association; Executive Management
(unrepresented employees); Management/Confidential (unrepresented employees)
Agency Designated Representative: City Manager and Steve Filarsky
ADJOURNMENT at 8:14 p.m.
Cathy Domann, Deputy City Clerk 11
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action regarding approval of ongoing professional service
agreements and blanket purchase orders for FY 2014 -2015 in excess of $25,000 for
various departments; and possible action to waive the formal bidding process and
authorize the continued purchase of various goods and services as described below.
(Fiscal Impact: General Fund $1,735,570 including $5,000 Library Developer Fees;
Asset Forfeiture Fund $13,000; Prop A Fund $30,000; Water Enterprise Fund $122,750;
Wastewater (Sewer) Enterprise Fund $26,750; Golf Course Enterprise Fund $96,000;
Workers' Compensation Fund $97,749; Revenue /Expenditure Balance Sheet Account
$200,000; Public Works Full Time Salary Accounts General Fund, Water & Wastewater
Enterprise Funds $200,000)
RECOMMENDED COUNCIL ACTION:
(1) Authorize the City Manager to execute an amendment to Agreement No. 4095, in a
form approved by the City Attorney, with High Point Strategies, LLC to (1) extend the
term of the agreement to September 30, 2015; (2) authorizes payment for services up to
$75,000 (General Fund); and (3) take such additional, related, action that may be
desirable.
(2) Authorize the City Manager to execute an amendment to Agreement No. 4242, in a
form approved by the City Attorney, with to (1) extend the term of the agreement to
September 30, 2015; (2) authorizes payment for services up to $60,000 (General Fund);
and (3) take such additional, related, action that may be desirable.
(3) Authorize the City Manager to extend ongoing service agreements with Baker &
Taylor Information Services for supplying books and other library materials, and issuance
of blanket purchase order not to exceed $86,800 in FY 2014 -2015 (General Fund
including $5,000 Library Developer Fees)
(4) Authorize the City Manager to extend contract #2235 to Innovative Interfaces, Inc.,
for library computer network system maintenance and issuance of blanket purchase order
not to exceed $31,500 (General Fund)
(5) Authorize the City Manager to extend ongoing service agreements with J. Lee
Engineering provides plan check and inspection consulting services for the Building and
Safety Division not to exceed $200,000 in FY 2014 -2015 (General Fund)
(6) Authorize the City Manager to extend ongoing service agreement with JAS to provide
plan check and inspection consulting services for the Building and Safety Division not to
exceed $75,000 in FY 2014 -2015 (General Fund)
(7) Authorize the City Manager to extend ongoing service agreement with CSG to
provide plan check and inspection consulting services for the Building and Safety
Division not to exceed $75,000 in FY 2014 -2015 (General Fund)
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 1 of 13 5
(8) Authorize the City Manager to extend ongoing service agreement with Scanning
Service Corp. to provide service of scanning plans, permits & microfilm to digital for
Laserfiche document imaging system for the Building and Safety Division not to exceed
$20,000 and Planning Division not to exceed $23,000 in FY 2014 -2015 for a combined
total amount of $43,000 (General Fund)
(9) Authorize the City Manager to extend ongoing service agreement with Pacific
Municipal Consultants (PMC) to provide professional planning consulting and interim
staffing services for the City's Planning Division, not to exceed $35,000 in FY 2014-
2015 (General Fund)
(10) Authorize the City Manager to extend ongoing service agreement with Tierra West
Advisor's Inc. to provide professional planning consulting and interim staffing services
for the City's Planning Division, not to exceed $35,000 in FY 2014 -2015 (General Fund)
(11) Authorize the City Manager to extend ongoing service agreements with Westchester
Medical Group /Center for Heart and Health to provide annual safety employees fitness
for duty and executive physical examinations not to exceed $60,000 in FY 2014 -2015
(General Fund)
(12) Authorize the City Manager to extend ongoing service agreement with York Risk
Services Group to administer workers' compensation claims not to exceed $97,749 in FY
2014 -2015 (Workers' Compensation Fund)
(13) Authorize the El Segundo Fire Department to waive the bidding process per El
Segundo Municipal Code §1 -7 -10 to purchase medical and pharmaceutical supplies, and
piggyback on the City of El Cajon's Bound Tree Medical, Inc. ( "Bound Tree ") Bid #005-
12, and authorize issuance of a blanket purchase order to Bound Tree for medical and
pharmaceutical supplies not to exceed $27,000 in FY 2014 -2015 (General Fund)
(14) Authorize the City Manager to execute a one -year contract with All Cities
Management Company to provide crossing guard services for the El Segundo School
District not to exceed $80,000 in FY 2014 -2015 (General Fund)
(15) Authorize all El Segundo City Departments to waive the bidding process per El
Segundo Municipal Code § 1 -7 -10 to purchase office supplies, related products and off -
site office services, and piggyback on The Cooperative Purchasing Network (TCPN)
Contract # R5023 awarded to Office Depot, and authorize issuance of a citywide open
purchase order to Office Depot for office supplies, related products and off -site office
services under the agreement not to exceed $65,000 in FY 2014 -2015 (General Fund)
(16) Authorize all El Segundo City Departments to waive the bidding process per El
Segundo Municipal Code § 1 -7 -10 to purchase City -wide advertising and authorize
issuance of a citywide open purchase order to El Segundo Herald. Off -site services
include Public Hearing notices, Request for Proposal notices, Department advertising and
publishing, printing and distribution of the Recreation and Parks brochures not to exceed
$70,000 in FY 2014 -2015 (General Fund)
(17) Authorize the issuance of a blanket purchase order to Lane Donovan Partners, LLC
(Agreement #3399) to provide management services for The Lakes Golf Course for an
amount not to exceed $96,000 in FY 2014 -2015 (Golf Course Enterprise Fund)
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 2 of 13
(18) Authorize the City Manager to extend Agreement # 4096 with TruGreen Landcare in
a form approved by the City Attorney and issuance of a blanket purchase order to provide
weekly landscape services for an amount not to exceed $160,000 in FY 2014 -2015
(General Fund)
(19) Authorize staff to continue to purchase gasoline and diesel fuel for City vehicles
and equipment through the use of spot market purchasing in an amount not to exceed
$315,000 in FY 2014 -2015 (General Fund = $250,000; Asset Forfeiture Fund = $13,000;
Prop "A" Fund = $30,000; Water Enterprise Fund = $9,000; Wastewater (sewer)
Enterprise Fund = $13,000)
(20) Authorize the issuance of a blanket purchase order to Metron Farnier & Actaris in an
amount not to exceed $100,000 in total for the purchase of single jet water meters for the
City's water system in FY 2014 -2015 (Water Enterprise Fund)
(21) Authorize the issuance of a blanket purchase order to Blue Diamond Materials, a
division of Sully Miller Contracting Company in an amount not to exceed $30,000 for the
purchase of asphalt paving materials for Street Maintenance Division projects in FY
2014 -2015 (General Fund)
(22) Authorize the issuance of a blanket purchase order to DataProse (Agreement # 3227)
to provide Water and Sewer divisions utility bill print and mail services for an amount
not to exceed $27,500 in FY 2014 -2015 (Water & Wastewater (sewer) Enterprise Funds)
(23) Authorize the City Manager to extend the ongoing professional service Agreement #
4269 with Aerotek for providing temporary staffing service for the Public Works
Department not to exceed $200,000 in FY 2014 -2015 (General Fund, Water &
Wastewater (sewer) Enterprise Funds)
(24) Authorize the city manager to extend ongoing services agreement #4568
with Westcon Engineering for engineering plan check services for the Public Works
Department not to exceed $100,000 in FY 2014 -15 (Revenue /Expenditure Balance Sheet
Account Fund)
(25) Authorize the city manager to extend ongoing services agreement 44622 with D.R.
Consultants and Designers, Inc., for engineering plan check services for the Public Works
Department not to exceed $100,000 in FY 2014 -15 (Revenue /Expenditure Balance Sheet
Account Fund)
(26) Authorize the City Manager to extend ongoing services agreement #4672
with Geosyntec Inc for storm water compliance program support for the Public Works
Department, not to exceed $30,000 in FY 2014 -15 (General Fund)
(27) Authorize the City Manager to execute a one -year contract with the Society for the
Prevention of Cruelty to Animals Los Angeles for animal sheltering services, not to
exceed $28,200 in FY 2014 -2015 (General Fund)
(28) Authorize the City Manager to execute a one -year contract with Duncan Solutions
(formerly Enforcement Technology Inc.) for processing of parking citations /collections,
not to exceed $77,000 in FY 2014 -2015 (General Fund)
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 3 of 13
(29) Authorize the issuance of a blanket purchase order to San Diego Police Equipment
Co., Inc. (SDPECI) and Dooley Enterprises, for the purchase of CCI -Speer and Federal
ammunition, not to exceed $67,000 in FY 2014 -2015 (General Fund)
(30) Authorize the City Manager to execute a one -year contract amendment and /or
purchase order with Tyler Technologies for annual software licensing, maintenance, and
support not to exceed $41,070 in FY 2014 -2015 (General Fund)
(3 1) Authorize the City Manager to execute a one -year contract and /or blanket purchase
order with Active Network for annual licensing, maintenance and support not to exceed
$34,000 in FY 2014 -2015 (General Fund)
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 4 of 13
ACCOUNT NUMBER
General Fund:
001 - 400 - 2901 -6407
001 - 400 - 3255 -6214
001 - 400 -2901 -5204
001 - 400 -2901 -6201
001 - 400 - 2901 -6405
001 - 400 - 3203 -5204
001 - 400 - 2506 -6214
001 - 400 - 6103 -5505
001 - 400 - 6103 -5507
001 - 400 - 6104 -5501
001 - 400 - 6104 -6217
001 - 400 - 2402 -6214
001 - 400 - 2403 -6214
001 - 400 - 2505 -6217
001 - 400 - 3108 -6206
001 - 400 - 3101 -5217
001 - 400 - 3101 -6206
001 - 400 - 4202 -5204
001 - 400 - 4302 -6206
001 - 400 - 4601 -5215
001 - 400 - 5102 -6206
Subtotal General Fund
AMOUNT REFERENCE NUMBER
$ 75,000.00
#1
60,000.00
#2
65,000.00
#15
70,000.00
#16
80,000.00
#14
27,000.00
#13
60,000.00
#11
20, 000.00
#3
2,200.00
#3
64, 600.00
#3
31, 500.00
#4
20, 000.00
#8
443,000.00
#5, #6, #7, #8, #9, & #10
75,070.00
#30, #31
28, 200.00
#27
67, 000.00
#29
77, 000.00
#28
30, 000.00
#21
30,000.00
#26
250,000.00
#19
160,000.00
#18
$ 1,735,570.00
Other Funds:
109 - 400 - 3105 -5215 $ 13,000.00 #19
112 - 400 - 5292 -5215 30,000.00 #19
603 - 400 - 2321 -6214 97,749.00 #12
703 - 200 - 4101 -2601 200,000.00 #24, #25
Subtotal Other Funds $ 340,749.00
501 - 400 -
7102 -5215
$ 9,000.00
#19
501 - 400 -
7102 -6206
4,600.00
#22
501- 400 -
7102 -6253
9,150.00
: #22
501 - 400 -
7201 -5207
100,000.00
#20
Subtotal Water Enterprise Fund $ 122,750.00
502 - 400 - 4301 -5215
$ 13,000.00 #19
502 - 400 - 4301 -6206
4,600.00 #22
502 - 400 - 4301 -6253
9,150.00 #22
Subtotal Wastewater Enterprise Fund
$ 26,750.00
503 - 400 - 5301 -6214
$ 96,000.00 #17
Subtotal Golf Enterprise Fund
$ 96,000.00
Various 001,501, & 502 Funds $ 200,000.00 #23
Subtotal Various 001,502, & 502 Funds $ 200,000.00
Grand Total $ 2,521,819.00
2014M -16 Citywide Blanket POs for FY 14 -15 FINAL
Page: 5 of 13
ATTACHED SUPPORTING DOCUMENTS: None
FISCAL IMPACT:
Amount Budget: $2,521,819.00
Additional Appropriation: No
Account Number(s): See Schedule (above)
ORIGINATED BY: J. Richard Hogate, Purchasing Agent
REVIEWED BY: Deborah Cullen, Director of Finance
APPROVED BY: Greg Carpenter, City Manager J—
BACKGROUND AND DISCUSSION:
CITY MANAGER
#1 - Hiszh Point Strateeies, LLC
High Point Strategies, LLC. will continue working on behalf of the City as its advisors and
advocate for the City regarding issues relating to Los Angeles World Airports (LAWA) and Los
Angeles International Airport (LAX), transportation issues relating to the Metropolitan
Transportation Authority, or assisting with the City's relationship with other City of Los Angeles
agencies, including Department of Water and Power, and assisting with situation involving the
County of Los Angeles and Wiseburn School District.
This amendment is to extend the Agreement in terms through September 30, 2015 not to exceed
$75,000. Account Number: 001 - 400 - 2901 -6407 (General Fund)
#2 - Willdan Homeland Solutions
Willdan will continue working with the City to provide professional, technical, and consulting
support for the City's Emergency Management program.
This amendment is to extend the Agreement in terms through September 30, 2015 not to exceed
$60,000. Account Number: 001 - 400 - 3255 -6214 (General Fund)
LIBRARY
#3 - Baker and Taylor
Baker and Taylor, the Library's leading supplier of books, music, books on CD, DVD's and
other items, offers substantial savings up to 45% under retail cost. Appropriations are being
requested for the following accounts for fiscal year 2014 -2015:
001 - 400 - 6104 -5501 Adult Materials $64,600
001 - 400 - 6103 -5505 Youth Materials $20,000
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 6 of 13
001 - 400 - 6103 -5507 School Library Materials $ 2,200
$86,800
94 - Innovative Interfaces Inc.
Innovative Interfaces Inc. provides maintenance of the Library's online network system for
cataloging, circulation, patron access to materials, archive collections and administrative
functions in the amount of $31,500 for FY 2014 -2015. Account number 001 - 400 - 6104 -6217
(General Fund)
PLANNING AND BUILDING SAFETY
#5 - J. Lee Engineering
J. Lee Engineering provides plan check and inspection consulting services for the Building and
Safety Division. These services are utilized when workload exceeds the level that would
preclude City staff from meeting customer service expectations. Not to exceed the amount
$200,000 for fiscal year 2014 -2015. Account number: 001 - 400 - 2403 -6214 (General Fund)
#6 - JAS
JAS provides code enforcement, plan check and inspection consulting services for the Building
and Safety Division. These services are utilized when workload exceeds the level that would
preclude City staff from meeting customer service expectations. Not to exceed the amount
$75,000 for fiscal year 2014 -2015. Account number: 001 - 400 - 2403 -6214 (General Fund)
#7 - CSG
CSG provides code enforcement, plan check and inspection consulting services for the Building
and Safety Division. These services are utilized when workload exceeds the level that would
preclude City staff from meeting customer service expectations. Not to exceed the amount
$75,000 for fiscal year 2014 -2015. Account number: 001 - 400 - 2403 -6214 (General Fund)
#8 - Scanning Services Corporation
Scanning Services Corporation scans and inputs data into the City's document Laserfiche
imaging system. The department is no longer microfilming plans. All necessary documents are
scanned and are available on the computer. The requested funds will allow staff to keep moving
in his direction. Additionally, staff hopes to begin converting historical microfilm records for
both the Building and Planning divisions to a digital format so that they are available on the
computer for staff and eventually viewable by the public on the internet. The Building Division
budget is allocating $23,000 and the Planning Division is allocating $20,000 not to exceed
$43,000 in FY 2014 -2015. Account numbers: 001 - 400 - 2402 -6214 in the amount of $20,000 and
001 - 400 - 2403 -6214 in the amount of $23,000 (General Fund)
#9 - Pacific Municipal Consultants (PMC)
PMC provides professional planning and interim staffing services for the Planning Division.
These services are utilized when workload exceeds the level that would preclude City staff from
meeting customer service expectations. Not to exceed the amount $35,000 for fiscal year 2014-
2015. Account number: 001 - 400 - 2403 -6214 (General Fund)
#10 - Tierra West Advisors, Inc.
Tierra West Advisors provides professional planning and interim staffing services for the
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 7 of 13
Planning Division. These services are utilized when workload exceeds the level that would
preclude City staff from meeting customer service expectations. Not to exceed the amount
$35,000 for fiscal year 2014 -2015. Account number: 001 - 400 - 2403 -6214 (General Fund)
HUMAN RESOURCES
#11 - Westchester Medical Group /Center for Heart and Health
The City has a longstanding relationship with Westchester Medical Group /Center for Heart and
Health to provide Safety employees annual Fitness for Duty and Executive physical
examinations. This long standing physical examination program continues to meet or exceed
staff s expectations. Westchester Medical Group /Center for Heart and Health is also
distinguished by their extensive involvement with public sector clients. Together, with its June
2006 relocation from Los Angeles to El Segundo (360 N. Sepulveda Blvd., Suite 3000), and the
significant expansion of its medical facility, the company has increased its accessibility and level
of service to our employees. Westchester Medical Group /Center for Heart and Health also
incorporated a respirator certification component to the Fitness for Duty examinations.
The total cost for FY 14/15 is not to exceed $60,000 for annual safety employee Fitness for Duty
examinations and Executive Physical examinations. Account number: 001 - 400 - 2506 -6214
(General Fund)
#12 - York Risk Services Group, Inc.
YORK Risk Services Group, Inc. (formerly SCRMA — Southern California Risk Management
Associates, Inc.) has served as the third -party administrator (TPA) for workers' compensation
claims since 1988. Following a formal request for proposal process from seven firms in 2008,
the City awarded the contract to YORK Risk Services Group, Inc. The following selection
criteria was considered in continuing to use YORK Risk Services Group, Inc. as the TPA for
Workers' Compensation claims:
• Established record of consistent professional service and reputation within the industry
• High quality references from public entities, particularly full service municipalities
• Staffing and experience levels
• Cost effectiveness of medical and legal cost and legal cost containment services and
activities
• Overall cost - benefit advantages
The contract between the City and YORK Risk Services Group, Inc. has an option to extend for
two additional years beginning within the FY 2013 -2014. The City has chosen to extend the
contract in one -year increments and is currently extending the contract for the 2015 calendar
year. The amendment to this contract for the period January 1, 2015 through December 31, 2015
is not to exceed $97,749. Account number: 603 - 400 - 2321 -6214 (Workers' Compensation Fund)
FIRE DEPARTMENT
#13 - Bound Tree Medical, Inc.
The El Segundo Fire Department has been purchasing and storing paramedic medical supplies
since 1998 as mandated by the County of Los Angeles, Emergency Medical Services Agency.
For seven years, the Fire Department utilized Bound Tree for paramedic medical supplies
through a piggyback on an existing competitively bid award. In 2005, staff recommended a
2014a -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 8 of 13
change in vendors due to supply availability issues and billing problems. Since that time, Bound
Tree has significantly improved its service and has streamlined their ordering process which is
integrated with the Department's internal process. In addition to favorable pricing and timely
deliveries, Bound Tree has since expanded their inventory and offers a full range of
pharmaceutical supplies which allows the Fire Department to consolidate these types of
purchases and receive better pricing with a single vendor.
The El Segundo Fire Department recommends that the City Council waive the formal bidding
process per El Segundo Municipal Code §1 -7 -10 to purchase medical and pharmaceutical
supplies, and piggyback on the formal, competitive bid used by the City of El Cajon. Account
number: 001 - 400 - 3203 -5204 in the amount of $27,000 for fiscal year 2014 -2015 (General Fund)
FINANCE
#14 - All Cities Management Comnany
On September 16, 2008, City Council approved an appropriation for ESUED crossing guard
services under Special Orders of Business, Item #6 within the 2008 -2009 Budget Appropriations
This contract includes 6 crossing guards for a total of 5364 hours. The contract is expected to be
renewed year to year as long as ACMS performance meets the City's and ESUSD's
expectations. The annual cost of funding service this contract is not to exceed $80,000 for fiscal
year 2014 -2015. Account number: 001 - 400 - 2901 -6405 (General Fund)
915 - Office De of
Office Depot is one of the main suppliers for office supplies, related office products and off -site
services for the City. Due to the high volume of purchases made at Office Depot from various
Department /Divisions, purchases for FY 2014 -2015 at Office Depot can only be made through
Citywide Open Purchase. The Blanket Purchase Order will be maintained with Purchasing
Agent. The amount for the purchase order will not exceed $65,000 for FY 2014 -2015 in account
001 - 400 - 2901 -5204 (General Fund) Accounts Payable will prepare monthly journal entries to
charge back the Department /Divisions for the month used base on monthly statement /invoices
from Office Depot.
#16 - El Segundo Herald, Inc.
El Segundo Herald, Inc provides publishing services in the City of El Segundo. Off -site services
include publishing City legal notices and advertising for City Departments and Divisions. In FY
2014/2015, estimated amount of $32,000 will be used for publishing, printing and distribution of
the Recreation and Parks Quarterly Brochure.
Due to high volume of services provided by El Segundo Herald, Inc from various Departments
and Divisions, services for FY 2014 -2015 can only be made through Citywide Blanket Purchase
Order. The Blanket Purchase Order will be maintained with Purchasing Agent. The amount for
the purchase order will not exceed $70,000 for FY 2014 -2015 in account 001 - 400 - 2901 -6201.
The Accounting Division will prepare monthly journal entries to charge back the Departments
and Divisions for the month used base on monthly invoices from the El Segundo Herald, Inc.
(General Fund)
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 9 of 13
RECREATION & PARKS
#17 - Lane Donovan Partners, LLC
On October 22, 2004, the City entered into a Management Agreement #3399 with Lane Donovan
Partners for $108,000 a year to operate and maintain The Lakes at El Segundo. On April 16,
2013, City Council approved one of Lane Donovan's budget cut proposals of $12,000 by
reducing the management fee. The amount for the contract and purchase order for FY 13/14
issued to Lane Donovan is not to exceed $96,000. Account number: 503- 400 -5301 -6214 (Golf
Course Enterprise Fund)
#18 - TruGreen Landcare
On October 19, 2010, the City Council awarded the lowest bid for landscape maintenance
services to TruGreen Landcare for three years (Consent Agenda Item # 5). Under City's
Agreement # 4096, the annual cost is $137,322 for bi- weekly services or $153,504 for weekly
services. The services include 12 parks, 5 median strips, Richmond School Field, Fire Station #2,
Douglass underpass, City Maintenance Facility, and The Lakes parking lot and frontage. In FY
13/14, contract was amended to include maintenance services on Maple Ave. median for $6,000
per fiscal year.
Staff recommends renewing the contract for one year, in a form approved by the City Attorney.
The amount for the contract and purchase order for FY 13/14 is not to exceed $160,000. Account
number: (001- 400 -5102 -6206 General Fund)
PUBLIC WORKS
#19 - Fuel for City Vehicles and Equipment
Generally, fuel is purchased either through spot market purchases or long -term contracts. Spot
purchasing consists of shopping around each time fuel is needed and purchasing fuel from the
lowest priced vendor. This type of purchasing usually occurs when the fuel market is volatile as
it has been for the last three years. During periods of stability, agencies enter into long -term fuel
contracts. Pricing under long -term contact is tied to a published fuel price baseline plus a
markup. The volatility in the market has forced vendors to significantly raise this markup,
making long -term contracts unattractive. Under the City's last long -term contract through Los
Angeles Metropolitan Public Purchasing Agents' Cooperative (LAMPPAC), there was virtually
no markup. When that contract expired in September 2005, the fuel market was quite volatile
and City Council authorized staff to purchase gasoline and diesel fuel through the use of spot
market purchases.
Many agencies including Cities of Manhattan Beach, Redondo Beach and Hawthorne have opted
to purchase fuel through spot purchases in lieu of entering into long -term contracts since the
expiration of the LAMPAC contract. Staff continuously monitors long -term contracts available
in the industry.
Pursuant to El Segundo Municipal Code (ESMC) § 1 -7 -10, relating to purchases and supplies,
the City Council may at any time, by a majority vote and without amending the ESMC, waive
purchasing procedures or alter proceedings to fit a specific purchase, when the waiver is not in
violation of State law. Spot purchasing is the sort of modified purchasing arrangement that
requires such a waiver by Council. It is possible that the total of purchases from any one vendor
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 10 of 13
may exceed $25,000; therefore, Council approval of spot purchasing is requested. The City is
budgeting $315,000 for Fiscal Year 2014 -2015 in accounts:
001 - 400 - 4601 -5215 in the amount of $250,000 (General Fund)
109- 400 - 3105 -5215 in the amount of $13,000 (Police - Asset Forfeiture Fund)
112- 400 -5292 -5215 in the amount of $30,000 (Prop "A" Fund)
501- 400 - 7102 -5215 in the amount of $9,000 (Water Enterprise Fund)
502- 400 - 4301 -5215 in the amount of $13,000 (Wastewater (sewer) Enterprise Fund)
420 - Water Meters — Meti-on Farnier & Actaris
The City's water distribution system includes approximately 250 large commercial compound
water meters three to eight inches in diameter. As large meters age, they become less accurate
and tend to register water usage that is below actual consumption. It is common in the water
industry to replace older large meters as they are typically the greatest source of unbilled water
or lost water. When meters are replaced, the Water Division installs single jet water meters
rather than compound water meters. The single jet meters provide increased metering accuracy,
excellent low flow registration, and less maintenance part. The cost to replace each meter ranges
from $2,000 to $5,000, dependent upon size.
Staff plans to continue replacing failing meters in FY 2014 -2015 and recommends continuing to
purchase meters from Metron Farrier & Actaris, the only two vendors that supply this type of
meter, in an amount not to exceed $100,000 in total. Account number: 501- 400 - 7201 -5207
(Water Enterprise Fund).
921 - Asphalt Paving Materials — Blue Diamond Matcrials
The Street Maintenance Division repairs approximately 50,000 square feet of pavement
annually. Pavement repair work includes potholes, pavement failures, repairs from tree root
damage, utility cuts, general street repairs throughout the City and preparation for slurry seal
projects. Through the Fiscal Year 2014 -2015 budget process, $30,000 was budgeted for the
annual expenditure of asphalt paving materials.
Street Maintenance Division personnel drive a City dump truck to retrieve asphalt paving
materials. There are three local vendors that supply the materials.
Pricing for asphalt paving materials is variable and dependent upon the oil and aggregate
market. The pricing for asphalt concrete in the table above was based on a spot market quote on
August 27, 2014.
Staff recommends continuing the purchase or asphalt paving materials from Blue Diamond
Materials, on a single- source basis, in an amount not to exceed $30,000 for the following
reasons:
1. Closer proximity to City reduces staff driving time, fuel and liability
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 11 of 13
Location
Miles from City
C -2 Asphalt
Concrete /Ton
All American Asphalt
Westminster
27
$82.00
Blue Diamond Materials
Inglewood & Southgate
5 & 17
$68.00 - $70.00
Vulcan Materials
Los Angeles
19
$68.00 - $78.00
Pricing for asphalt paving materials is variable and dependent upon the oil and aggregate
market. The pricing for asphalt concrete in the table above was based on a spot market quote on
August 27, 2014.
Staff recommends continuing the purchase or asphalt paving materials from Blue Diamond
Materials, on a single- source basis, in an amount not to exceed $30,000 for the following
reasons:
1. Closer proximity to City reduces staff driving time, fuel and liability
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 11 of 13
2. Availability of materials — two locations
3. Lowest overall cost when factoring in travel time costs and staff downtime
4. Reduced temperature loss from being transported shorter distances
At this time, Blue Diamond Materials is the more reasonable choice based upon pricing,
proximity and availability. Staff will continue to monitor asphalt concrete prices and return to
Council if a change in vendors is warranted. Account number: 001 - 400 - 4202 -5204 (General
Fund)
#22 - DataProse
DataProse, Inc. provides print and mailing services to the City for Water and Wastewater (sewer)
Utility billings. For FY 2014 -2015, staff recommends amending Agreement # 3227, to reflect a
not to exceed amount of $27,500, broken down as follows:
Professional Services:
• 501- 400 - 7102 -6206 = $4,600 (Water Enterprise Fund)
• 502- 400 - 4301 -6206 = $4,600 (Wastewater (sewer) Enterprise Fund)
Postage:
• 501- 400 - 7102 -6253 = $9,150 (Water Enterprise Fund)
• 502- 400 - 4301 -6253 = $9,150 (Wastewater (sewer) Enterprise Fund)
#23 - Aerotek
On March 1, 2012, the City entered into an On -call Service Agreement with Aerotek to provide
temporary staffing in an amount not to exceed $25,000 for FY 2011 -2012. For FY 2012 -2013,
staff amended Agreement # 4269 for another fiscal year to provide temporary staffing needed by
Public Works Department in an amount not to exceed $200,000. For FY 2014 -2015, staff
recommends amending Agreement # 4269 for another fiscal year to provide temporary staffing
needed by Public Works Department in an amount not to exceed $200,000. Savings from various
full -time salaries accounts in Public Works Department will be used to fund this contract in FY
2014 -2015 (General Fund, Water & Wastewater (sewer) Enterprise Funds from Public Works
Full Time Salaries Accounts)
#24 - Westcon Engineering, Inc.
In February, 2014 the City entered into professional service agreement #4568 with Westcon
Engineering, Inc. (Westcon) to provide plan check services for Public Works. These services are
needed to assist the Engineering Division process the increasing volume of expedited plan check
requests that the city is receiving due to increased building activity. Staff recommends that the
contract be extended through FY 2014 -15 for an additional $100,000, which will be reimbursed
through the collection of plan check fees. Account number: 703 - 200 - 4101 -2601
Revenue /Expenditure Balance Sheet Account.
#25 - D.R Consultants and Designers, Inc.
In June, 2014 the City entered into professional service agreement #4622 with D.R Consultants
and Designers, Inc. to provide plan check services for Public Works. These services are needed
to assist the Engineering Division process the increasing volume of expedited plan check
requests that the city is receiving due to increased building activity. Staff recommends that the
contract be extended through FY 2014 -15 for an additional $100,000, which will be reimbursed
through the collection of plan check fees. Account number: 703 - 200 - 4101 -2601
Revenue /Expenditure Balance Sheet Account.
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 12 of 13
#26 - Geosyntec. Inc.
In August, 2014, the City entered into professional service agreement #4672 with Geosyntec
Consultants to provide MS4 training to City staff as required under the new storm water
mandates and to provide technical support in managing the City's Enhance Watershed
Management Programs and Coordinated Integrated Monitoring Programs. Geosyntec's services
are an extremely cost effective way to assist the City in meeting its requirements under the MS4
permit. Staff recommends that the contract be extended through FY2014 -15 for an additional
$30,000, which will be funded through the storm water account. Account number: 001 -400-
4302 -6206 (General Fund)
POLICE DEPARTMENT
#27 - Society for the Prevention of Cruelty to Animals Los Angeles (SPCALA)
The SPCALA provides animal sheltering services for the Police Department's Animal Control
program. The SPCALA is utilized to shelter dogs, cats, wild animals, etc. that are captured,
found or given to the Animal Control program. The City has contracted with the SPCALA for
sheltering services since the Police Department took over all animal control functions not to
exceed $28,200 in fiscal year 2014 -2015. Account number: 001 - 400 - 3108 -6206 (General Fund)
#28 - Duncan Solutions
Duncan Solutions provides a maintenance contract for the Police Department Traffic Division's
Processing system. This system is utilized by parking personnel to issue parking citations.
Duncan Solutions also provides a collection service for delinquent parking citations not to
exceed $77,000 in fiscal year 2014 -2015. Account number: 001 - 400 - 3101 -6206 (General Fund)
#29 - San Diego Police Equipment Co. Inc. SDPECI and Dooley Enterprises (Dooley)
San Diego Police Equipment provides CCI -Speer and Federal Ammunition and Dooley provides
Winchester Ammunition to the Police Department. SDPECI is the only factory authorized law
enforcement distributor in the State of California to sell CCI -Speer and Federal ammunition.
Dooley is the only factory authorized law enforcement distributor in the State of California to
sell Winchester Ammunition. Both entities supply both duty and training ammunition to the
department, not to exceed $67,000 in FY 2013/2014. Account number: 001 - 400 - 3101 -5217
(General Fund)
#30 - Tyler Technologies Eden Financial Management System
The City utilizes Tyler Technologies financial software to manage the City's General Ledger,
Accounts Receivable, Accounts Payable, Payroll, and Human Resources. This item is for annual
licensing, maintenance, and support of these systems. The total cost will not exceed $41,070 for
fiscal year 2014 -2015. Account number: 001 - 400 - 2505 -6217 (General Fund)
#31 - Active Network
The vendor provides the Class Cashier & Scheduling for the city -wide program. This item is for
annual licensing, maintenance and support of these systems. The total cost will not exceed
$34,000 in fiscal year 2014 -2015. Account number: 001 - 400 - 2505 -6217 (General Fund)
2014 -09 -16 Citywide Blanket POs for FY 14 -15 FINAL Page: 13 of 13
EL SEGUNDO CITY COUNCIL
AGENDA STATEMENT
AGENDA DESCRIPTION:
MEETING DATE: September 16, 2014
AGENDA HEADING: Consent
Consideration and possible action to award a Professional Services Agreement to Willdan
Energy Solutions for implementation of Energy Efficiency Strategic Planning Activities
using grant funds recently awarded by Southern California Edison (Fiscal Impact:
$100,125 in grant fund award).
RECOMMENDED COUNCIL ACTION:
1. Authorize the City Manager to execute an agreement with Willdan Energy Solutions,
in a form approved by the City Attorney, for implementation of the Energy Efficiency
Strategic Plan, Phase 3 activities.
2. Alternatively, discuss and take other possible actions related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Scopes of Work
FISCAL IMPACT: $100,125 receipt of grant monies
Amount Budgeted: None
Additional Appropriation: N/A
Account Number(s): To be assigned
ORIGINATED BY: Nina Tarnay, Project Manager _ W
REVIEWED BY. Stephanie Katsouleas, Public Works Director
APPROVED BY: Greg Carpenter, City Manager./
BACKGROUND AND DISCUSSION:
In April, 2011, Southern California Edison (SCE) awarded El Segundo a $485,000 (Phase VII)
Energy Efficiency Strategic Planning Strategies grant to implement a variety of energy efficiency
educational programs, including training, sub - metering, and on -line permitting. The City is
wrapping up the final tasks required under this grant in advance of the December 31, 2014
completion deadline.
Following the success of its Phase VII program SCE released a Phase III round of Request for
Proposals (RFP) to continue supporting energy efficiency programs. In response to the RFP, the
City submitted a proposal to:
(1) Develop and adopt programs to encourage energy efficiency work through the
City's online permitting process developed in Phases 1 and 2; and
IV
(2) Develop implementation processes and procedures to embed energy efficiency
into City operations, including completing various energy policies including retro-
commissioning policy, Green Building Policy, Benchmarking Policy, the
Greenhouse Gas Inventory Policy and setting up tools such as Enterprise Energy
Management Information System and Portfolio Manager.
On May 10, 2013, SCE notified the City that it was selected for participation in Phase III and
awarded El Segundo a $111,250 grant. Of the total grant amount, $100,125 is earmarked for
direct implementation work and $11,125 for administrative support. As with Phase I and II,
staff recommends that Willdan Energy Solutions once again be retained to carry out the bulk of
tasks associated with this project. Willdan very successfully carried out work under the previous
phases and is in the process of completing the ramp -down tasks necessary to close out that grant.
For continued continuity and due to its directly relevant experience, staff feels that Willdan is the
most qualified firm to build on the work completed to date at the most competitive rate,
primarily because there is no learning curve associated with implementation. Willdan's proposal
for consultation/direct implementation services for Phase 3 of the Energy Efficiency Strategic
Planning Strategies work is attached.
Therefore, staff recommends that City Council award a Professional Services Agreement, in a
form approved by the City Attorney, to Willdan Energy Solutions for Phase III Energy
Efficiency Strategic Planning Activities.
Scope of Work
The Willdan team (Willdan) is prepared to help the City of El Segundo with consultant services
related to the implementing of El Segundo's Strategic Plan Program Phase 3. Our scope of work
includes support on the following ESSP tasks:
■ Task 1: Kick -off Meeting, Program Data, Invoicing, and Reporting Tool
■ Task 2: Develop & Adopt Program - Encourage EE Through Online Permitting Process
■ Task 3: Develop Implementation Processes & Procedures to Embed EE into City Operations
■ Task 4: Invoicing and Reporting
■ Task 5: Task Ramp -Down and Shut -Down Program
Task 1: Kick -off Meeting, Program Data, Invoicing and Reporting
Tool
A. Attend Program Kick -Off Meeting
Willdan will attend the Program kick -off meeting with SCE to discuss Program logistics, coordination,
evaluation, monitoring and verification coordination, invoicing requirements, and any remaining
contract issues at a time and place to be determined by SCE after the issuance of the notice to
proceed (NTP). The tasks related to the kick -off meeting include the following:
To avoid duplication and unnecessary expenditures, SCE will provide information and guidance
regarding currently available resources (e.g., available training programs, templates, etc.) that will be
used by Willdan in assessing pre- existing resources. This will enable Willdan to focus efforts on the
areas in each task where gaps exist.
B. Program Data, Invoicing and Reporting Tool Training
Willdan will attend the kick -off meeting to be trained on the use of SCE's invoicing and reporting tool
(IR Tool). Thereafter, Willdan will use the IR Tool to provide El Segundo invoices and Monthly
Reports each Month.
Task 1 Deliverables:
Deliverables
Due Dates
1. Attend a Program Kick -off meeting
Determined by SCE after the issuance of
that includes IR Tool training.
the NTP.
2. Delivery of updated IR tool to CPM for
IR Tool training plus five (5) Business
review and approval.
Days.
Task 2: Develop and Adopt Program to Encourage EE Through
the On-Line Permitting Process (S6 0,075)
Willdan will work with the City to fully integrate EE into its planning and permitting processes through
the development of a Project Builder Expert System (ProjectBuilder). In doing so, Willdan will build
upon and leverage the success of El Segundo's Online Permit Center, which promotes EE for
frequent "over the counter' permits and was developed through the Strategic Plan Strategies Phase
1 solicitation.
The ProjectBuilder will expand the concept of the Online Permit Center by addressing EE measures
for construction projects from inception through final inspection. The intent of the ProjectBuilder is to
influence larger, more complicated projects including major renovations, additions, and new
construction to utilize EE and DR Measures. ProjectBuilder will expand more fully into the
AttachnienV
Proposal for Consulting Services 3 401
City of E/ Segundo
construction project life cycle, offering an enhanced and earlier opportunity to influence project
decisions concerning energy efficiency, thereby gain access to deeper energy savings.
A. Task Goals and Objectives
Willdan will provide all materials developed under this task to El Segundo for review and comment:
1. Report on Status of Consultant to Support the Task: Willdan will submit to El Segundo
an email reporting on the status of having hired expertise (Willdan Team) to provide support
to complete the activities in this task;
2. Assessment and Planning Report for Project Builder Expert System (Draft and Final):
As an initial step, Willdan will review and assess the on -line permitting processes and
systems of other local governments to gain insight from their experiences. Next Willdan will
evaluate ProjectBuilder for compatibility and integration with its existing back -office
processing and reporting systems. As part of this Assessment and Planning Report, Willdan
will also provide:
• Description of the system and how it will promote energy efficiency to permit
applicants and other viewers;
• Policy statement that describes the functionality of the system, required resources
and timeline for completion; and
• Approach to be used to assess the effectiveness of ProjectBuilder.
The Assessment and Planning Report for ProjectBuilder will also include a discussion of the
sustainability of the City's Program(s) after SCE funds are expended. The report will also
include a list of all non -SCE funding sources and amount funded by each non -SCE source
required to complete this task. A contingency plan will also be included if unexpected delays
or shortfalls occur in receiving non -SCE funding.
Based on feedback received, Willdan team will submit a final draft of the Assessment and
Planning Report.
3. Detailed Specification Report for Project Builder Expert System: The detailed
specification report will provide all requirements for the system, including any required
interfaces, and the plan for installation and implementation of the system.
4. Report on the Installation and Launch of Project Builder Expert System: Willdan will
install, test and launch ProjectBuilder. Willdan will prepare a report on the installation and
launch of the Project Builder Expert System. This report shall include a discussion of the
installation process, identifying any installation issues that arose, as well as "screen shots" of
the installed system that show how the system operates.
5. Plan for Sharing Lessons Learned /Best Practices with Other Local Governments
(Draft and Final): Willdan will prepare a draft report describing lessons learned and its
understanding of best practices experienced during the development and implementation of
ProjectBuilder. Willdan will then also submit a draft plan for sharing this report with other
local governments.
Based on feedback received during the draft review and stakeholder input, Willdan will
prepare and submit to SCE a final plan and will take steps to assure that the final version of
the Program will meet the needs of the City and peer jurisdictions.
6. Monthly Report: Status of this task in the Monthly Report of all on -going activities including
a list of Monthly achievements and outstanding issues.
A achrnent:
Proposal for Consulting Services 4
City of El Segundo
A. Task Performance Indicators
Willdan will fulfill the following goals and objectives:
Leverage existing resources through a review and assessment of similar online permitting
systems;
Encourage more energy efficiency permits through implementing simpler processes:
a. Offer ProjectBuilder to residents, business owners, and contractors for energy
efficiency projects:
i. Install ProjectBuilder;
ii. Streamline internal energy efficiency permit procedures;
Encourage "reach" energy efficiency projects, by increasing the frequency and improving
communication with contractors on energy efficiency "reach `opportunities through
ProjectBuilder.
The Implementer (Willdan) will, at a minimum, track the following information:
1. Number of energy efficiency project permits processed through ProjectBuilder;
2. Type of equipment for energy efficiency projects tracked post - ProjectBuilder
implementation; and
3. Time to process permits using ProjectBuilder
Willdan will quantitatively assess the value and benefits of the Program through;
1. Tracking of energy efficiency projects in El Segundo, including "reach" energy efficiency
activities exceeding Title 24 requirements;
2. Analyzing constituent satisfaction feedback results.
Task 2 Deliverables:
Deliverables
Due Dates
1.
Report on status of Consultant to
NTP plus 1 Month
assist in task im lementation
2.
Draft Assessment and Planning
NTP plus 1 Month
Report for Project Builder Expert
System
3.
Final Assessment and Planning
NTP plus 45 Calendar Days
Report for Project Builder Expert
System
4.
Detailed Specification Report for
NTP plus 3 Months
Project Builder Expert S stem
5.
Installed and Launched Project Builder
NTP plus 10 Months
Expert System
6.
Report on the Installation and Launch
NTP plus 12 Months
of the Project Builder Ex ert S stem
7.
Plan for sharing lessons learned /best
NTP plus 12 Months
practices with other local governments
8.
Monthly Report of tracked
Monthly with Invoicing Requirements
Performance
Attachment:
Proposal for Consulting Services 5
City of El Segundo
Task 3: Develop Implementation Processes & Procedures to
Embed EE into Implernenter's Operations ($40,050)
By participating in Phase 1 of the Strategic Plan Program, El Segundo completed a variety of EE
policies, including a retro- commissioning policy, green building policy, benchmarking policy, a
greenhouse gas inventory policy. Additionally, as part of Phase 1, El Segundo set up tools such as
Enterprise Energy Management Information System (EEMIS) and Portfolio Manager. These policy
documents and tools have laid the groundwork for long -term, sustainable energy savings for El
Segundo. However, individual policies, without proper implementation of those policies, may not
generate actual energy savings; therefore, the gap between policy and implementation needs to be
bridged.
Willdan will develop implementation processes and document working procedures for the policies
and tools developed in Phase 1 of the Strategic Plan Program. By accomplishing this task, El
Segundo's staff will refine processes that will enable staff to work through the roadblocks and
challenges inherent in implementing policy, progressing more expeditiously and strategically than
otherwise would have been possible.
1. Task Goals and Objectives
Willdan will provide all materials developed under this task to El Segundo and SCE for review and
comment:
1. Report on Status of Consultant to Support the Task: Willdan will submit to El Segundo an
email reporting on the status of having hired expertise (the Willdan Team) to provide support
to complete the activities in this task;
2. Assessment and Planning Report for the Development of Implementation Procedures
and Processes (Draft and Final): As an initial step, Willdan will review and assess the
implementation procedures and processes of other local governments to gain insight from
their experiences. Next Willdan will evaluate the following energy policies and describe an
approach to develop integrated procedures for optimal implementation across departments
and functions:
• Retro- commissioning Policy
• Benchmarking Policy
• LEED Certification Policy
• Greenhouse Gas Inventory Policy
• Enterprise Energy Management Information System (EEMIS)
• Portfolio Manager Benchmarking Tool
Willdan shall determine appropriate metrics against which the effectiveness of this task will
be assessed. During development of the implementation procedures, any disparate policies
and tools currently in place will be interlinked. Willdan will coordinate the many overlapping
functionalities into more cohesive energy management procedures that El Segundo's staff
can more easily understand and implement.
Establish Energy Management Team: Willdan will encourage internal collaboration with
key department leads concerning energy costs, energy usage, and other relevant information
by allowing users access to the software's reporting and analysis dashboard. Increasing the
visibility of energy usage will help to educate all stakeholders on the impact of energy
consumption and costs at each facility. Willdan will develop an Energy Management Team
that will meet with energy management staff, building management staff, and other
representatives to help develop a scope of work that identifies the steps necessary to
Attachment:
Proposal for Consulting Services 6
City of El Segundo
implement and sustain El Segundo's energy efficiency policies. Willdan will document in a
memo the establishment of, and tasks to be performed by, the Energy Management Team.
4. Implementation Procedures and Processes (Draft and Final): Willdan will develop a draft
Implementation Procedures and Processes report based on the methodology outlined in the
Assessment and Planning Report and provide to El Segundo and SCE and relevant industry
stakeholders and other experts for review and comment.
Based on feedback received, Willdan will submit to El Segundo /SCE a final Implementation
Procedures and Processes' report.
5. Plan for Sharing Lessons Learned /Best Practices with Other Local Governments
(Draft and Final): Willdan will prepare a draft report describing lessons learned and its
understanding of best practices experienced during the development of implementation
procedures and processes. Willdan will also submit a draft plan for sharing this report with
other local governments.
Based on feedback received during the draft review and stakeholder input, Willdan will
submit to El Segundo /SCE a final report and will take steps to assure that the final version of
the Plan will meet the needs of El Segundo and peer jurisdictions.
6. Report on Task Performance Indicators: Willdan will submit a report on the Task
Performance Indicators identified below, as well as in the Assessment and Planning Report
for this task. This is a crucial step to determine the effectiveness of this task in meeting its
objective of "Embedding Energy Efficiency into City Operations ".
7. Monthly Report: Willdan will provide a status of this task in the Monthly Report of all on-
going activities including a list of Monthly achievements and outstanding issues.
2. Task Performance Indicators
Willdan will identify and describe appropriate metrics that can be used to track task performance and
progress in the Assessment and Planning Report. These Task Performance Indicators will be
reported to SCE for review.
Willdan will quantitatively and /or qualitatively assess the value and benefits of the task through
metrics developed in the Assessment and Planning Report for this task. Metrics may include the
following:
1. Assessing energy cost and consumption by utility type and provider pre -and post -
Implementation Procedures and Processes;
2. Qualitatively assessing the effectiveness of the Implementation Procedures and
3. Processes through participant surveys; Assessing energy cost per square foot and cost
per employee pre -and post - Implementation Procedures and Processes;
4. Assessing carbon emissions pre -and post- Implementation Procedures and Processes;
5. Assessing accuracy of budgets and forecasts pre -and post- Implementation Procedures
and Processes; and
6. Assessing avoided costs pre -and post- Implementation Procedures and Processes.
Attachment:
Proposal for Consulting Services 7
City of El Segundo
Task 3 Deliverables
Deliverables
Due Dates
1.
Report on status of Consultant to
NTP plus 1 Month
support the task
2.
Draft Assessment and Planning
NTP plus 1 Month
Report for the Development of
Implementation Procedures and
Processes
3.
Final Assessment and Planning
NTP plus 45 Calendar Days.
Report for the Development of
Implementation Procedures and
Processes
NTP plus 3 Months
4. Establish Energy Management
Team
5.
Draft Implementation Procedures
NTP plus 9 Months
and Processes
6.
Final Implementation Procedures
_
NTP plus 11 Months
and Processes
7.
Report on Task Performance
NTP plus 14 Months
Indicators
8.
Plan for sharing lessons
NTP plus 12 Months
learned /best practices with other
local governments
9.
Monthly Report: Status of task and
Monthly with Invoicing Requirements
tracked Performance Indicators
Task 4: Invoicing and Reporting
A. Invoicing
Willdan will submit to El Segundo an Invoice Package which includes supporting documentation in
accordance with the requirements delineated Appendix A, "Invoicing Requirements ", the Ts &Cs
(Section 4), and Attachment No.1 of El Segundo's Contract.
SCE may amend the invoicing requirements from time to time, at which time SCE will notify El
Segundo of the changes and issue a Change Order. Willdan will implement these modifications in a
timely manner and reflect any changes in future invoice documentation.
B. Reporting
Willdan will submit to El Segundo all required reports initially as a draft for review and approval by El
Segundo and SCE. Willdan will be responsible for implementing, adhering to, and the submission of,
the items as described in Appendix D, "Regulatory Reporting Requirements ", the Ts &Cs, and
Attachment No.1 of El Segundo's Contract.
SCE may amend the reporting requirements from time to time, at which time SCE will notify El
Segundo of the changes and issue a Change Order. Willdan will implement these modifications in a
timely manner and reflected in future invoice documentation.
Attachmmit;
Proposal for Consulting Services 8
City of El Segundo
Task 4 Deliverables
Deliverables
Due Dates
A. Prepare and submit invoice and
15th Calendar Day of the Month
supporting documentation to El
per Appendix A, "Invoicing
Segundo
Re uirements"
B. Submit final invoice to El Segundo
Aril 15, 2015
C. Prepare and submit Monthly
15 Calendar Day of the Month per
Reports to El Segundo
Appendix D, "Regulatory
Reporting Requirements"
D. Submit Commission Reports
Semi - annually and annually
A. Program Shut -Down: All Program operations will be completely shut down after the last day of
the effective period of the Contract, and no later than December 31, 2014, with the exception of
preparation and submittal of the Final Report, as defined in Task 6 below.
Task 5 Deliverables
Deliverables
Due Dates
A. Complete all services
No later than December 31, 2014
Task 6: Submit Final Program Report
After Program completion, the Implementer will submit a final report that reviews the Program's
progress and accomplishment (the "Final Report "). The Final Report will include the information
referenced in Appendix E, "Final Program Report Template ".
Task 6 Deliverables:
Deliverables
Due Dates
A. Submit draft Final Report for SCE
No later than February 15, 2015
Review and approval
B. Submit revised Final Report for
The earlier of March 31, 2015 or
SCE review and approval
within 2 weeks of receipt of SCE
comments
Attachment:
Proposal for Consulting Services 9 M/ City of El Segundo
Budget Summary
The Willdan Team will not exceed the total amount budgeted by El Segundo for this program of
$100,125.
Table 2: Rate schedule
Job Team Member Company Responsibility Hourly
Function Rate
Principal- Katie Wilson Willdan The Principal -in- Charge will provide $145
in- Charge management oversight of the project
ensuring quality and establishing quality
i control procedures.
I
Project Rosie Kang Willdan The Project Manager will manage the day $125
Manager to day activities for Willdan, providing
implementation analysis and coordination
with city staff and team members.
Energy Ian Villazana Willdan The Energy Analyst will lead efforts in $92
Analyst processes and procedures and evaluating
local jurisdictions.
Software Gary V. Bufkin GVBCC Software Developer will design, develop $125
Developer and implement the custom software for
this project. ti
Attachment:
Proposal for Consulting Services 10
City of El Segundo NA/
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA ITEM STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action to authorize the City Manager to execute a 3 -year License
Agreement in a form approved by the City Attorney with the El Segundo Cooperative Nursery
School to operate a non - profit pre - school at the Clubhouse Building. (Fiscal Impact: Reservation
revenues of $2,000 in Fiscal Year 2014/15, $2,500 in Fiscal Year 2015/16, and $3,000 in Fiscal Year
2016/17)
RECOMMENDED COUNCIL ACTION:
1. Authorize the City Manager to execute an agreement with El Segundo Cooperative Nursery
School in a form approved by the City Attorney
2. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1. Draft License Agreement and Scope of Services
FISCAL IMPACT:
Reservation Revenues of $2,000 in Fiscal Year 14/15, $2,500 in Fiscal Year 15/16, and $3,000
Fiscal Year 16/17
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): 001 - 300 - 0000 -3879 (Reservation Fees)
ORIGINATED BY: Jesse Bobbett, Acting Recreation Superintendent J$
REVIEWED BY: Meredith Petit, Director of Recreation and Parks
APPROVED BY: Greg Carpenter, City Manager,
BACKGROUND & DISCUSSION:
The El Segundo Cooperative Nursery School ( "Co -Op ") has been operating a non - profit pre - school in El
Segundo since 1947. Since the early 1950's the school has utilized the Clubhouse Building at Recreation
Park as its home. During this time, it has served the community by offering this low cost program to El
Segundo Residents utilizing limited funds for 2 part-time staff members and hundreds of parent
volunteer hours to run the program. The program currently serves 24 students per academic year and
operates 3 days per week, Tuesday- Thursday, from 8:30 a.m. — 12:30 p.m., from early September
through early June.
On May 20, 2014, the City Council approved a fee schedule establishing new hourly rates for Recreation
and Parks Department facilities. The newly approved rate for the school to reserve the Clubhouse would
be $15 per hour. The school utilizes the facility approximately 400 hours per year, yielding fees of nearly
$6,000. Due to their non - profit status and low registration costs of the program, paying the entire fee
would potentially force the closure of the school.
In August 2014, Recreation and Parks Staff met with the school to discuss the upcoming change in
reservation fees. Through this meeting, it was determined that the school could realistically afford
about half of the fees, but has requested the fees to be phased in over time.
Staff recommends entering into a License Agreement for the remainder of the 2014 -15 academic
year at a rate of $2,000.00. The proposed license agreement would meet the needs of the 22 families
LICENSE AGREEMENT BETWEEN THE
CITY OF EL SEGUNDO AND
EL SEGUNDO COOPERATIVE NURSERY SCHOOL
THIS LICENSE is made and executed this 17th day of September, 2014, between the
CITY OF EL SEGUNDO, a municipal corporation ( "CITY "), and EL SEGUNDO
COOPERATIVE NURSERY SCHOOL, a California non - profit corporation ( "LICENSEE ").
1. LICENSE; DESCRIPTION OF PROPERTY. CITY licenses LICENSEE to use, on the
terms and conditions in this License, real property located at the George E. Gordon Clubhouse,
300 E. Pine Ave., El Segundo, CA ( "Property"). CITY's action is not, and should not be
construed to be, a conveyance of a property interest or a lease; it is a license to use property only.
2. USE OF PROPERTY.
A. LICENSEE may temporarily use the Property for the purposes of operated a
competitive youth swim team program.
B. CITY may change, amend, or terminate LICENSEE's use of Property at any time,
and in its sole discretion, verbally or in writing.
3. TERM. Except as provided in Section 4, the term of this license will begin on October 1,
2014 and end on September 30, 2017. Upon mutual written agreement between the parties, this
License may be renewed for additional time.
4. TERMINATION.
A. As stated above, CITY may terminate this License at any time with or without
cause, upon written or verbal notification. Termination will be effective upon
notification, unless CITY specifies otherwise.
B. LICENSEE may terminate this License at any time in writing at least five (5) days
before the effective termination date.
C. By executing this document, LICENSEE waives any and all claims for damages
that might otherwise arise from CITY's termination under this Section.
D. Upon termination, LICENSEE will remove all personal property and
improvements from Property within two (2) days. Property will be left in a clean
and orderly fashion.
5. COMPENSATION. In exchange for the use of the facilities at Property, LICENSEE agrees
to pay CITY a sum of Two Thousand Dollars ($2,000) in FY 14/15, Two Thousand Five
Page 1 of 7
Hundred ($2,500) in FY 15/16, and Three Thousand Dollars ($3,000) in FY 16/17 for the term of
this License.
6. CONDEMNATION. If all or part of Property is acquired by eminent domain or purchase in
lieu thereof, LICENSEE acknowledges that it will have no claim to any compensation awarded
for the taking of Property or any portion thereof or for loss of or damage to LICENSEE's
improvements.
7. RELOCATION BENEFITS. LICENSEE acknowledges that it has been informed that
CITY is a public entity and that Property was previously acquired by CITY for a public purpose.
LICENSEE further acknowledges that any rights acquired under this License arose after the date
of acquisition of Property and that said rights are subject to termination when Property is needed
by CITY. LICENSEE hereby acknowledges that at the time of said termination of this License
by CITY, it will not be a "displaced person" entitled to any of the relocation assistance or
benefits offered to displaced persons under State or Federal law.
8. ALTERATIONS. LICENSEE will not make, or cause to be made, any alterations to
Property, or any part thereof, without CITY's prior written consent.
9. HAZARDOUS /TOXIC WASTE. CITY has not, nor, to CITY's knowledge, has any third
party used, generated, stored or disposed of, or permitted the use, generation, storage or disposal
of, any Hazardous Material (as defined below) on, under, about or within Property in violation of
any law or regulation. LICENSEE agrees that it will not use, generate, store or dispose of any
Hazardous Material (as defined below) on, under, about or within Property in violation of any
law or regulation. LICENSEE agrees to defend and indemnify CITY, to the extent stated in
Section 12, against any and all losses, liabilities, claims or costs arising from any breach of any
warranty or agreement contained in this Section. As used in this Section, "Hazardous Material"
means any substance, chemical or waste that is identified as hazardous, toxic or dangerous in any
applicable federal, state or local law or regulation (including petroleum and asbestos).
10. SIGNS. LICENSEE will not place any sign upon Property without CITY's prior written
consent. LICENSEE will pay for all costs of any approved signage and comply with all
applicable sign codes and ordinances.
11. ASSIGNMENT. LICENSEE will not be permitted to assign this License or any interest
therein.
12. INDEMNIFICATION.
A. LICENSEE will hold CITY harmless and free from any and all liability
arising out of this License, or its performance, except for such loss or damage
arising from CITY's sole negligence or willful misconduct. Should CITY be
named in any suit, or should any claim be against it, by suit or otherwise,
whether the same be groundless or not, arising out of this License, or its
performance, pursuant to this License, LICENSEE will defend CITY (at
Page 2 of 7
CITY's request and with counsel satisfactory to CITY) and will indemnify it
for any judgment rendered against it or any sums paid out in settlement or
otherwise.
B. For purposes of this section "CITY" includes CITY's officers, officials,
employees, agents, representatives, and certified volunteers.
C. LICENSEE expressly agrees that this release, waiver, and indemnity agreement is
intended to be as broad and inclusive as is permitted by the law of the State of
California and that if any portion is held invalid, it is agreed that the balance will,
notwithstanding, continue in full legal force and effect.
D. It is expressly understood and agreed that the foregoing provisions will survive
termination of this License.
E. The requirements as to the types and limits of insurance coverage to be
maintained by LICENSEE as required by Section 13 below, and any approval of
said insurance by CITY, are not intended to and will not in any manner limit or
qualify the liabilities and obligations otherwise assumed by LICENSEE pursuant
to this License, including but not limited to the provisions concerning
indemnification.
13. INSURANCE.
A. Before commencing performance under this License, and at all other times this
License is effective, LICENSEE will procure and maintain the following types of
insurance with coverage limits complying, at a minimum, with the limits set forth
below:
Type of Insurance
Commercial general liability:
Business automobile liability:
Workers compensation
Limits combined single)
$2,000,000
$1,000,000
Statutory limits
B. Commercial general liability insurance will meet or exceed the requirements of
the most current ISO Forms. The amount of insurance set forth above will be a
combined single limit per occurrence for bodily injury, personal injury, and
property damage for the policy coverage. Liability policies must be endorsed to
name CITY, its officials, and employees as "additional insureds" under said
insurance coverage and to state that such insurance will be deemed "primary"
such that any other insurance that may be carried by CITY will be excess thereto.
Such insurance will be on an "occurrence," not a "claims made," basis and will
not be cancelable except upon thirty (30) days prior written notice to CITY except
for nonpayment of premiums which may be cancelable upon ten (10) day notice.
Page 3 of 7
C. LICENSEE will furnish to CITY duly authenticated Certificates of Insurance and
Endorsements evidencing maintenance of the insurance required under this
License and such other evidence of insurance or copies of policies as may be
reasonably required by CITY from time to time. Insurance must be placed with
insurers with a current A.M. Best Company Rating equivalent to at least a Rating
of "A:VII." Certificate(s) must reflect that the insurer will provide thirty (30) day
notice of any cancellation of coverage. CONTRACTOR will require its insurer to
modify such certificates to delete any exculpatory wording stating that failure of
the insurer to mail written notice of cancellation imposes no obligation, and to
delete the word "endeavor" with regard to any notice provisions.
D. Should LICENSEE, for any reason, fail to obtain and maintain the insurance
required by this License, CITY may obtain such coverage at LICENSEE's
expense and charge the cost of such insurance to LICENSEE under this License
or terminate pursuant to Section 4.
14. COMPLIANCE WITH LAW. LICENSEE will, at its sole cost and expense, comply with
all of the requirements of all federal, state, and local authorities now in force, or which may
hereafter be in force, pertaining to Property and will faithfully observe in the use of Property all
applicable laws. The judgment of any court of competent jurisdiction, or the admission of
LICENSEE in any action or proceeding against LICENSEE, whether CITY be a party thereto or
not, that LICENSEE has violated any such ordinance or statute in the use of Property will be
conclusive of that fact as between CITY and LICENSEE.
15. BREACH OF AGREEMENT. The violation of any of the provisions of this License will
constitute a breach of this License by LICENSEE, and in such event said License will
automatically cease and terminate.
16. WAIVER OF BREACH. Any express or implied waiver of a breach of any term of this
License will not constitute a waiver of any further breach of the same or other term of this
License.
17. ENTRY BY CITY AND PUBLIC. This License does not convey any property interest to
LICENSEE. Except for areas restricted because of safety concerns, CITY and the general public
will have unrestricted access upon Property for all lawful acts.
18. INSOLVENCY; RECEIVER. Either the appointment of a receiver to take possession of all
or substantially all of the assets of LICENSEE, or a general assignment by the LICENSEE for
the benefit of creditors, or any action taken or offered by LICENSEE under any insolvency or
bankruptcy action, will constitute a breach of this License by LICENSEE, and in such event said
License will automatically cease and terminate.
19. NOTICES. Except as otherwise expressly provided by law, all notices or other
communications required or permitted by this License or by law to be served on or given to
Page 4 of 7
either party to this License by the other party will be in writing and will be deemed served when
personally delivered to the party to whom they are directed, or in lieu of the personal service,
upon deposit in the United States Mail, certified or registered mail, return receipt requested,
postage prepaid, addressed to LICENSEE at:
El Segundo Co -Op Nursery School
300 East Pine Street El Segundo, CA 90245
3646 Barry Ave,
Los Angeles, CA 90066
or to CITY at:
Department of Recreation & Parks
350 Main Street
El Segundo, CA 90245
Either party may change its address for the purpose of this Section by giving written
notice of the change to the other party.
20. ACCEPTANCE OF FACSIMILE SIGNATURES. The Parties agree that agreements
ancillary to this License and related documents to be entered into in connection with this License
will be considered signed when the signature of a party is delivered by facsimile transmission.
Such facsimile signature will be treated in all respects as having the same effect as an original
signature.
21. GOVERNING LAW. This License has been made in and will be construed in accordance
with the laws of the State of California and exclusive venue for any action involving this License
will be in Los Angeles County.
22. PARTIAL INVALIDITY. Should any provision of this License be held by a court of
competent jurisdiction to be either invalid or unenforceable, the remaining provisions of this
License will remain in effect, unimpaired by the holding.
23. ENTIRE AGREEMENT. This instrument and its Attachments constitute the sole
agreement between CITY and LICENSEE respecting Property, the use of Property by
LICENSEE, and the specified License term, and correctly sets forth the obligations of CITY and
LICENSEE. Any agreement or representations respecting Property or its licensing by CITY to
LICENSEE not expressly set forth in this instrument are void.
24. CONSTRUCTION. The language of each part of this License will be construed simply and
according to its fair meaning, and this License will never be construed either for or against either
party.
25. AUTHORITY/MODIFICATION. The Parties represent and warrant that all necessary
action has been taken by the Parties to authorize the undersigned to execute this License and to
Page 5 of 7
engage in the actions described herein. This License may be modified by written agreement.
CITY's city manager, or designee, may execute any such amendment on behalf of CITY.
26. COUNTERPARTS. This License may be executed in any number or counterparts, each of
which will be an original, but all of which together will constitute one instrument executed on
the same date.
IN WITNESS WHEREOF the parties hereto have executed this contract the day and year
first hereinabove written.
CITY OF EL SEGUNDO
Greg Carpenter,
City Manager
ATTEST:
Taxpayer ID No.
Tracy Weaver,
City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, City Attorney
IC
Karl H. Berger, Assistant City Attorney
Page 6 of 7
Exhibit A
Scope of Services
LICENSEE agrees to provide the following services at CITY's George E. Gordon Clubhouse
Drop -In Room:
1. Certified and /or trained staff to operate the El Segundo Cooperative Nursery School
Programs.
CITY agrees that LICENSEE may utilize the following annual schedule:
September to June
• Tuesdays /Wednesdays /Thursdays (8:30am — 12:30pm)
• Parent Meetings on the 2 Tuesdays of every month (7:00 — 8:30pm)
Page 7 of 7
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action to adopt a Resolution approving plans and
Specifications for the Sewer Main Improvement. Project No. PW 13 -24 (Fiscal Impact:
$800,000)
RECOMMENDED COUNCIL ACTION:
1. Adopt a Resolution approving plans and specifications for the Sewer Main
Improvement Project.
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Resolution
Map of Project Area
FISCAL IMPACT: Included in Adopted Budget
Amount Budgeted: $1,000,000 for sewer repairs
Additional Appropriation: No
Account Number(s): 502- 400 - 8204 -8647 (Sewer Enterprise Fund)
ORIGINATED BY: Lifan Xu, Principal Civil Engineer t , W'` 1
REVIEWED BY: Stephanie Katsouleas, Public Works Director
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
In 2010, Advanced Sewer Technologies (AST) conducted a video inspection and conditional
assessment on the City's sanitary sewer collection system's pipes and manholes. The
Conditional Assessment Report found broken pipes, fractures, offsets and various other
deficiencies throughout the system. Staff uses the AST report to serve as its guidance document
for prioritizing the City's highest sewer repair and replacement needs. Based on the AST
report's findings, staff implemented $1,052,044.08 worth of open trench and sewer lining
projects at various locations throughout the Smokey Hollow area as well as on Maple Avenue
last year. Please note that staff evaluates the condition of each priority segment of sewer mains
each year prior to developing plans and specifications to determine which segments can be lined
and which segments are in need of full replacement (e.g., open trench). This, in turn, allows us
implement the best possible options in the most cost - effective manner.
The trenchless portion of this year's sewer repairs started in March, 2014 and was successfully
completed in May, 2014 for $186,515. Trenchless repair (lining) is and cost effective method for
repairing deficiencies in pipes that are still structurally sound but have been compromised and
leak. However, open trench repair is the only suitable method of repair for the more severely
IQ•
damaged sections of sewer pipes. The repairs are predominantly located in the western
residential areas of El Segundo. (See attached Map of Project Area.)
Staff has developed plan and specs for the open trench portion of the sewer repair for this year
and recommends that City Council 1) adopt the attached resolution approving the plans and
specifications for the Sewer Main Improvement (Project No. PW13 -24) and 2) authorize staff to
advertise the project for receipt of construction bids. Staff estimates the following timeline for
the project:
September, 2014
Advertise the Project
November, 2014
City Council Awards Project
January, 2015
Start Construction
May, 2015
Complete Project
RESOLUTION NO. _
A RESOLUTION APPROVING THE PLANS AND SPECIFICATIONS
FOR THE CONSTRUCTION OF SEWER MAIN IMPROVEMENTS,
PW13 -24. PURSUANT TO GOVERNMENT CODE § 830.6 AND
ESTABLISHING A PROJECT PAYMENT ACCOUNT.
The City Council of the City of El Segundo does resolve as follows:
SECTION 1: The City Council finds and declares as follows:
A. The City Engineer prepared plans and specifications for Sewer Main
Improvements, Project NO. PW13 -24 (the "Project "). These plans and
specifications are complete. Construction of the Project may begin;
B, The City Council wishes to obtain the immunities set forth in Government
Code § 830.6 with regard to the plans and construction of the Project.
SECTION 2: Design Immunity; Authorization.
A. The design and plans for the Project are determined to be consistent with
the City's standards and are approved.
B. The design approval set forth in this Resolution occurred before actual
work on the Project construction commenced.
C. The approval granted by this Resolution conforms with the City's General
Plan.
D. The City Engineer, or designee, is authorized to act on the City's behalf in
approving any alterations or modifications of the design and plans
approved by this Resolution.
E. The approval and authorization granted by this Resolution is intended to
avail the City of the immunities set forth in Government Code § 830.6.
SECTION 3: Project Payment Account. For purposes of the Contract Documents
administering the Project, the City Council directs the City Manager, or designee, to
establish a fund containing sufficient monies from the current fiscal year budget to pay
for the Project ( "Project Payment Account "). The Project Payment Account is the sole
source of funds available for the Contract Sum, as defined in the Contract Document
administering the Project.
SECTION 4: The City Clerk is directed to certify the adoption of this Resolution.
SECTION 5: This Resolution will become effective immediately upon adoption.
PASSED AND ADOPTED this __ day of , 2014.
Page 1 of 2
ATTEST:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, City Attorney
Suzanne Fuentes, Mayor
Karl H. Berger, Assistant City Attorney
Page 2 of 2
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EL SEGUNDO CITY COUNCIL
AGENDA STATEMENT
AGENDA DESCRIPTION:
Consideration and possible action to authorize
License Agreement in a form approved by the
Aquatics to operate a Masters Swim Program
Revenues per year)
RECOMMENDED COUNCIL ACTION:
MEETING DATE: September 16, 2014
AGENDA HEADING: Consent Agenda
the City Manager to execute a one year
City Attorney with Southern California
(Fiscal Impact: $6,600 in Reservation
1. Authorize the City Manager to execute an agreement with South California Aquatics
in a form approved by the City Attorney
2. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1. Draft License Agreement and Scope of Services
FISCAL IMPACT: $6,600 in Reservation Revenues per year
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): 001- 300 - 0000 -3879 (Reservation Fees)
ORIGINATED BY: Jesse Bobbett, Acting Recreation Superintendent i;4 8
REVIEWED BY: Meredith Petit, Director of Recre tion and Parks APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
The Department of Recreation and Parks has seen some recent turnover with coaches for the
Masters Adult Swim Program held at The Plunge. With the upcoming departure of the current
coach, Recreation Staff worked with participants to gain their feedback through a community
meeting to discuss the direction of the program. The participants noted that they wanted to keep
the format of the current program while securing consistent coaching and maintaining the same
level of quality.
Staff was subsequently contacted by Southern California Aquatics (SCAR), a non - profit swim
program, to discuss a possible partnership in order to continue offering a local Masters Program
at The Plunge. Southern California Aquatics is the largest Masters Swim Program in the United
States. Established in 1979, SCAQ is an adult swimming club geared towards all levels of adult
swimmer, from novice to Olympian, and currently offers over 50 weekly workouts in the Los
I roles area.
Aber, Southern California Aquatics submitted a proposal to implement a Masters Swim
`1 Segundo. This proposal would meet the needs of current participants and would
the consistent coaching and resources it needs for long term success. Staff
,g into a License Agreement for one year at the proposed rate of $550.00 per
would bring in $6,600 of reservation revenue per year and would operate
y, from 6:00 — 7:00 a.m. at The Plunge. These reduced reservation fees,
per hour, would allow SCAQ to keep registration fees as low as
.cs. Additional hours would be reserved at the rate of $50 per hour.
A]
LICENSE AGREEMENT BETWEEN THE
CITY OF EL SEGUNDO AND
SOUTHERN CALIFORNIA AQUATICS
THIS LICENSE is made and executed this 17th day of September, 2014, between the
CITY OF EL SEGUNDO, a municipal corporation ( "CITY "), and Southern California Aquatics,
a California nonprofit corporation ( "LICENSEE ").
1. LICENSE; DESCRIPTION OF PROPERTY. CITY licenses LICENSEE to use, on the
terms and conditions in this License, real property located at The Urho Saari Swim Stadium, 219
W. Mariposa Ave., El Segundo, CA ( "Property "). CITY's action is not, and should not be
construed to be, a conveyance of a property interest or a lease; it is a license to use property only.
2. USE OF PROPERTY.
A. LICENSEE may temporarily use the Property for the purposes of operated a
competitive youth swim team program.
B. CITY may change, amend, or terminate LICENSEE's use of Property at any time,
and in its sole discretion, verbally or in writing.
3. TERM. Except as provided in Section 4, the term of this license will begin on October 1,
2014 and end on September 30, 2015. Upon mutual written agreement between the parties, this
License may be renewed for additional time.
4. TERMINATION.
A. As stated above, CITY may terminate this License at any time with or without
cause, upon written or verbal notification. Termination will be effective upon
notification, unless CITY specifies otherwise.
B. LICENSEE may terminate this License at any time in writing at least five (5) days
before the effective termination date.
C. By executing this document, LICENSEE waives any and" all 'claims for damages
that might otherwise arise from CITY's termination under this Section.
D. Upon termination, LICENSEE will remove all personal property and
improvements from Property within two (2) days. Property will be left in a clean
and orderly fashion.
5. COMPENSATION. In exchange for the use of the facilities at Property, LICENSEE agrees
to pay CITY a sum of Five Hundred Fifty Dollars ($550) per month ($25 per hour x 22 hours)
and Fifty Dollars ($50) per additional hours for the term of this License.
Page 1 of 7
6. CONDEMNATION. If all or part of Property is acquired by eminent domain or purchase in
lieu thereof, LICENSEE acknowledges that it will have no claim to any compensation awarded
for the taking of Property or any portion thereof or for loss of or damage to LICENSEE's
improvements.
7. RELOCATION BENEFITS. LICENSEE acknowledges that it has been informed that
CITY is a public entity and that Property was previously acquired by CITY for a public purpose.
LICENSEE further acknowledges that any rights acquired under this License arose after the date
of acquisition of Property and that said rights are subject to termination when Property is needed
by CITY. LICENSEE hereby acknowledges that at the time of said termination of this License
by CITY, it will not be a "displaced person" entitled to any of the relocation assistance or
benefits offered to displaced persons under State or Federal law.
8. ALTERATIONS. LICENSEE will not make, or cause to be made, any alterations to
Property, or any part thereof, without CITY's prior written consent.
9. HAZARDOUS/TOXIC WASTE. CITY has not, nor, to CITY's knowledge, has any third
party used, generated, stored or disposed of, or permitted the use, generation, storage or disposal
of, any Hazardous Material (as defined below) on, under, about or within Property in violation of
any law or regulation. LICENSEE agrees that it will not use, generate, store or dispose of any
Hazardous Material (as defined below) on, under, about or within Property in violation of any
law or regulation. LICENSEE agrees to defend and indemnify CITY, to the extent stated in
Section 12, against any and all losses, liabilities, claims or costs arising from any breach of any
warranty or agreement contained in this Section. As used in this Section, "Hazardous Material"
means any substance, chemical or waste that is identified as hazardous, toxic or dangerous in any
applicable federal, state or local law or regulation (including petroleum and asbestos).
10. SIGNS. LICENSEE will not place any sign upon Property without CITY's prior written
consent. LICENSEE will pay for all costs of any approved signage and comply with all
applicable sign codes and ordinances.
11. ASSIGNMENT. LICENSEE will not be permitted to assign this License or any interest
therein.
12. INDEMNIFICATION.
A. LICENSEE will hold CITY harmless and free from any and all liability
arising out of this License, or its performance, except for such loss or damage
arising from CITY's sole negligence or willful misconduct. Should CITY be
named in any suit, or should any claim be against it, by suit or otherwise,
whether the same be groundless or not, arising out of this License, or its
performance, pursuant to this License, LICENSEE will defend CITY (at
CITY's request and with counsel satisfactory to CITY) and will indemnify it
for any judgment rendered against it or any sums paid out in settlement or
Page 2 of 7
otherwise.
B. For purposes of this section "CITY" includes CITY's officers, officials,
employees, agents, representatives, and certified volunteers.
C. LICENSEE expressly agrees that this release, waiver, and indemnity agreement is
intended to be as broad and inclusive as is permitted by the law of the State of
California and that if any portion is held invalid, it is agreed that the balance will,
notwithstanding, continue in full legal force and effect.
D. It is expressly understood and agreed that the foregoing provisions will survive
termination of this License.
E. The requirements as to the types and limits of insurance coverage to be
maintained by LICENSEE as required by Section 13 below, and any approval of
said insurance by CITY, are not intended to and will not in any manner limit or
qualify the liabilities and obligations otherwise assumed by LICENSEE pursuant
to this License, including but not limited to the provisions concerning
indemnification.
13. INSURANCE.
A. Before commencing performance under this License, and at all other times this
License is effective, LICENSEE will procure and maintain the following types of
insurance with coverage limits complying, at a minimum, with the limits set forth
below:
Type of Insurance
Commercial general liability:
Business automobile liability:
Workers compensation
Limits (combined single)
$2,000,000
$1,000,000
Statutory limits
B. Commercial general liability insurance will meet or exceed the requirements of
the most current ISO Forms. The amount of insurance set forth above will be a
combined single limit per occurrence for bodily injury, personal injury, and
property damage for the policy coverage. Liability policies must be endorsed to
name CITY, its officials, and employees as "additional insureds" under said
insurance coverage and to state that such insurance will be deemed "primary"
such that any other insurance that may be carried by CITY will be excess thereto.
Such insurance will be on an "occurrence," not a "claims made," basis and will
not be cancelable except upon thirty (30) days prior written notice to CITY except
for nonpayment of premiums which may be cancelable upon ten (10) day notice.
C. LICENSEE will furnish to CITY duly authenticated Certificates of Insurance and
Page 3 of 7
Endorsements evidencing maintenance of the insurance required under this
License and such other evidence of insurance or copies of policies as may be
reasonably required by CITY from time to time. Insurance must be placed with
insurers with a current A.M. Best Company Rating equivalent to at least a Rating
of "A:VII." Certificate(s) must reflect that the insurer will provide thirty (30) day
notice of any cancellation of coverage. CONTRACTOR will require its insurer to
modify such certificates to delete any exculpatory wording stating that failure of
the insurer to mail written notice of cancellation imposes no obligation, and to
delete the word "endeavor" with regard to any notice provisions.
D. Should LICENSEE, for any reason, fail to obtain and maintain the insurance
required by this License, CITY may obtain such coverage at LICENSEE's
expense and charge the cost of such insurance to LICENSEE under this License
or terminate pursuant to Section 4.
14. COMPLIANCE WITH LAW. LICENSEE will, at its sole cost and expense, comply with
all of the requirements of all federal, state, and local authorities now in force, or which may
hereafter be in force, pertaining to Property and will faithfully observe in the use of Property all
applicable laws. The judgment of any court of competent jurisdiction, or the admission of
LICENSEE in any action or proceeding against LICENSEE, whether CITY be a party thereto or
not, that LICENSEE has violated any such ordinance or statute in the use of Property will be
conclusive of that fact as between CITY and LICENSEE.
15. BREACH OF AGREEMENT. The violation of any of the provisions of this License will
constitute a breach of this License by LICENSEE, and in such event said License will
automatically cease and terminate.
16. WAIVER OF BREACH. Any express or implied waiver of a breach of any term of this
License will not constitute a waiver of any further breach of the same or other term of this
License.
17. ENTRY BY CITY AND PUBLIC. This License does not convey any property interest to
LICENSEE. Except for areas restricted because of safety concerns, CITY and the general public
will have unrestricted access upon Property for all lawful acts.
18. INSOLVENCY; RECEIVER. Either the appointment of a receiver to take possession of all
or substantially all of the assets of LICENSEE, or a general assignment by the LICENSEE for
the benefit of creditors, or any action taken or offered by LICENSEE under any insolvency or
bankruptcy action, will constitute a breach of this License by LICENSEE, and in such event said
License will automatically cease and terminate.
19. NOTICES. Except as otherwise expressly provided by law, all notices or other
communications required or permitted by this License or by law to be served on or given to
either party to this License by the other party will be in writing and will be deemed served when
personally delivered to the party to whom they are directed, or in lieu of the personal service,
Page 4 of 7
upon deposit in the United States Mail, certified or registered mail, return receipt requested,
postage prepaid, addressed to LICENSEE at:
Southern California Aquatics
3646 Barry Ave,
Los Angeles, CA 90066
or to CITY at:
Department of Recreation & Parks
350 Main Street
El Segundo, CA 90245
Either party may change its address for the purpose of this Section by giving written
notice of the change to the other party.
20. ACCEPTANCE OF FACSIMILE SIGNATURES. The Parties agree that agreements
ancillary to this License and related documents to be entered into in connection with this License
will be considered signed when the signature of a party is delivered by facsimile transmission.
Such facsimile signature will be treated in all respects as having the same effect as an original
signature.
21. GOVERNING LAW. This License has been made in and will be construed in accordance
with the laws of the State of California and exclusive venue for any action involving this License
will be in Los Angeles County.
22. PARTIAL INVALIDITY. Should any provision of this License be held by a court of
competent jurisdiction to be either invalid or unenforceable, the remaining provisions of this
License will remain in effect, unimpaired by the holding.
23. ENTIRE AGREEMENT. This instrument and its Attachments constitute the sole
agreement between CITY and LICENSEE respecting Property, the use of Property by
LICENSEE, and the specified License term, and correctly sets forth the obligations of CITY and
LICENSEE. Any agreement or representations respecting Property or its licensing by CITY to
LICENSEE not expressly set forth in this instrument are void.
24. CONSTRUCTION. The language of each part of this License will be construed simply and
according to its fair meaning, and this License will never be construed either for or against either
party.
25. AUTHORITY/MODIFICATION. The Parties represent and warrant that all necessary
action has been taken by the Parties to authorize the undersigned to execute this License and to
engage in the actions described herein. This License may be modified by written agreement.
CITY's city manager, or designee, may execute any such amendment on behalf of CITY.
Page 5 of 7
26. COUNTERPARTS. This License may be executed in any number or counterparts, each of
which will be an original, but all of which together will constitute one instrument executed on
the same date.
IN WITNESS WHEREOF the parties hereto have executed this contract the day and year
first hereinabove written.
CITY OF EL SEGUNDO
Greg Carpenter,
City Manager
ATTEST:
Taxpayer ID No.
Tracy Weaver,
City Clerk
APPROVED AS TO FORM:
MARK D. HENSLEY, City Attorney
Karl H. Berger, Assistant City Attorney
Page 6of7
Exhibit A
Scope of Services
LICENSEE agrees to provide the following services at CITY's Urho Saari Plunge:
1. Certified and Trained Coaching for all levels and abilities of swimmer;
2. City of El Segundo will provide one (1) Lifeguard and one (1) Senior Guard.
CITY agrees that LICENSEE may utilize the facility on Mondays through Fridays from
6:00 am- 7:00 am.
Page 7 of 7
EL SEGUNDO CITY COUNCIL MEETING DATE: August 5, 2014
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action regarding the adoption of a Conflict of Interest Code
required by The Political Reform Act (Government Code Section 81000 et. seq.)
rescinding Resolution No. 4778, and adopting a new resolution approving a new Conflict
of Interest Code. (Fiscal Impact: None)
RECOMMENDED COUNCIL ACTION:
1. Adopt resolution;
2. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Draft Resolution
FISCAL IMPACT: None
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: Cathy Domann, Deputy City Clerk II
REVIEWED BY: Tracy Weaver, City Clerk
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
The California Government Code requires that no later than July of each even numbered year,
the City Council shall direct the City Clerk to review and recommend changes to the City's
Conflict of Interest Code to be adopted no later than October 1, 2014. The City's Code lists
certain "designated employees" that make or participate in the making of decisions which may
foreseeably have a material effect on economic interests. The City's Code supplements state law
(which already requires certain City officials to file conflict of interest disclosure statements) and
its requirements are in addition to other requirements of the Political Reform Act ( "PRA "), such
as a general prohibition against conflicts of interest.
Since the update of the Code in 2012, the City Clerk's office has reviewed the current Code and
is recommending the following changes resulting from the addition or deletion of designated
positions pursuant to Government Code Section 87302. The addition of the new class
specification of RSI Design Coordinator, the elimination of the Deputy Fire Chief class
specification, and the re- titled class specifications of Deputy City Clerk II (formerly Deputy City
Clerk) and Deputy City Treasurer II (formerly Deputy City Treasurer). The class specifications
of Fire Marshal, and Environmental Safety Manager were inadvertently left off the last code
iulbl
update. It has also been determined that the position of License Permit Specialist should be
added and the position of Planning Technician should be deleted.
Additionally, the City Manager, in consultation with the City Attorney, is recommending that
members of certain advisory committees, such as the Economic Development Advisory Council
and the Community Cable Advisory Committee, be removed from the list of designated
employees. As a code reviewing body, the City may exempt certain bodies from its conflict of
interest code, provided that the body does not make final governmental decisions, compel or
prevent governmental decisions, or make substantive recommendations that are, and over an
extended period of time have been, regularly approved without significant amendment or
modification by the City Council (FPPC Regs. § 1870 1 (a)(1)(A)).
With regard to the Economic Development Advisory Council and the Community Cable
Advisory Committee, these committees are solely advisory committees and do not possess
decisionmaking authority as defined by the Fair Political Practices Commission. Indeed, a
review of these committees' by -laws and reports to the City Council confirm that they are
exclusively advisory committees. Accordingly, the City Manager has determined that they are
exempt from the disclosure regulations of the PRA. This exemption shall remain in effect until
the basis for the grant of exemption no longer exists or the expiration of two years, whichever
occurs earlier.
RESOLUTION NO.
A RESOLUTION ADOPTING THE 2014 CONFLICT OF INTEREST
CODE FOR THE CITY OF EL SEGUNDO IN ACCORD WITH THE
POLITICAL REFORM ACT.
The City Council of the City of El Segundo does resolve as follows:
SECTION 1: The City Council finds and declares as follows:
A. The Political Reform Act ( "PRA "; Gov't. Code §§ 81000, et seq.) and regulations
adopted by the Fair Political Practices Commission pursuant to the PRA ( "FPPC
Regs. "; 2 Cal. Code of Regs. §§ 18700, et seq.) require local government to adopt
conflict of interest codes.
B. Section 18730 of the FPPC Regs. sets forth a standard conflict of interest code that
may be adopted by local agencies.
C. On or about July 1, 2014, the City Clerk's Office conducted a review of the City's
conflict of interest code in accord with Government Code § 87306.5 and determined
that changes to the code were needed at that time.
D. To fulfill its obligations under the PRA and FPPC Regs., the City Council will repeal
Resolution No. 4778, adopted July 17, 2012, and adopt a new conflict of interest code
as set forth below.
SECTION 2: Pursuant to FPPC Regs. § 18730, the City of El Segundo adopts a Conflict of
Interest Code to read as follows:
"CONFLICT OF INTEREST CODE FOR THE CITY OF EL SEGUNDO
A. Incorporation of Standard Code.
Under the terms of the Political Reform Act (Gov't Code §§ 81000 et seq.) and
regulations promulgated by the Fair Political Practices Commission (2 Cal. Code of Regs.
§§ 18700, et seq.), the City is required to adopt a conflict of interest code. The City of El
Segundo incorporates by reference 2 Cal. Code of Regs. § 18730, and its amendments,
into this Conflict of Interest Code including, without limitation, the designation of
officials and employees and the disclosure categories set forth below (collectively, "the
Conflict of Interest Code ").
B. Filing of Statements
Designated officials, officers and employees must file Statements of Economic Interest
(Form 700) with the City Clerk or Deputy City Clerk. After receiving Statements of
Economic Interests from City Council members, the City Treasurer, Planning
Page 1 of 6
Commission members, City Attorney, and City Manager, the City Clerk or Deputy City
Clerk, must forward the original to the Fair Political Practices Commission and retain a
copy for the City's files.
Under Government Code § 82011(c), the City Council is the code reviewing body with
respect to the Conflict of Interest Code.
C. Review Procedure
Under Government Code § 87306.5, not later than July 1 of each even numbered year,
the City Council must direct the City Clerk, or Deputy City Clerk, to review the Conflict
of Interest Code. The City Clerk or Deputy City Clerk must submit an amended Conflict
of Interest Code to the City Council if a change in the Conflict of Interest Code is
necessitated by changed circumstance. If changes are not required, the City Clerk or
Deputy City Clerk must submit a written statement to that effect to the City Council not
later than October I of the same year.
D. Designated Positions
The following positions entail the making or participation in the making of decisions that
may have a foreseeable material effect on the officials or officer's financial interests.
COUNCIL, COMMISSIONS, COMMITTEES, & BOARDS
Members of the City Council
Members of the Planning Commission
Members of the Aviation Safety and Noise Abatement Committee
Members of the Capital Improvement Program Advisory Committee
Men+ber-s e f the Ge :tom, Cable Adviser-5- r e- - --
Members of the Disaster Committee
Members of the Environmental Committee
Members of the Investment Advisory Committee
Members of the Library Board of Trustees
Members of the Recreation & Parks Commission
Members of the Senior Housing Board
OFFICE OF THE CITY MANAGER:
City Manager
Assistant City Manager
infefffia4ion Systems Ma-Rage (reassigned to Police Department)
OFFICE OF THE CITY ATTORNEY:
City Attorney
Page 2 of 6
Assistant City Attorney
OFFICE OF THE CITY CLERK:
City Clerk
Deputy City Clerk II (re- titled position)
OFFICE OF THE CITY TREASURER:
City Treasurer
Deputy City Treasurer II (re- titled position)
FINANCE DEPARTMENT:
Director of Finance
Fiscal Services Manager
Accounting Manager
Business Services Manager
Purchasing Agent
FIRE DEPARTMENT
Fire Chief
Pepu4y Fire Chien (deleted position)
Fire Marshal (added position)
Environment Safety Manager (added position)
Battalion Chief(s)
HUMAN RESOURCES DEPARTMENT
Director of Human Resources
Human Resources Manager
LIBRARY DEPARTMENT:
Director of Library Services
Librarian
Senior Librarian(s)
PLANNING & BUILDING SAFETY DEPARTMENT:
Director of Planning & Building Safety
Planning Manager
Building Safety Manager
Residential Sound Insulation Manager
Assistant Planner
Page 3 of 6
Associate Planner
Building Inspector(s)
Construction Coordinator(s)
Economic Development Analyst
Plan Check Engineer
Plaf g T.,eh (deleted position)
Principal Planner
Property Owner Coordinator
RSI Design Coordinator (added position)
License Permit Specialist (added position)
Senior Building Inspector(s)
Senior Plan Check Engineer
POLICE DEPARTMENT
Police Chief
Police Captain(s)
Information Systems Manager (reassigned Information Systems to Police
Department from Office of the City Manager)
PUBLIC WORKS DEPARTMENT
Director of Public Works
Assistant City Engineer
Principal Engineer
General Services Manager
Streets Supervisor
Water Supervisor
Wastewater Supervisor
RECREATION AND PARKS DEPARTMENT
Director of Recreation and Parks
Parks Superintendent
Recreation Superintendent
* Listed in the code for information purposes only. These positions file under
Government Code Section 87200 with the Fair Political Practices Commission.
CONSULTANTS:
All consultants except those included by the City Manager in accordance with the
following procedure:
The City Manager may determine in writing that a particular consultant,
although a "designated position," is hired to perform a range of duties that
Page 4 of 6
requires the consultant to fully comply with the disclosure requirements
described in this section. Such written determination must include a
description of the consultant's duties and, based upon that description, a
statement of the extent of disclosure requirements. The City Manager
determination is a public record and must be retained for public inspection
in the same manner and location as this conflict of interest code.
E. Disclosure Requirements
Designated employees must disclose all interests as required by the Political Reform Act
and regulations promulgated thereto. When a new position classification is created by the
Human Resources Department for City Council approval, the Human Resources
Department will recommend that the City Council decide whether the new position will
be required to file a Statement of Economic Interest and be included as a designated
position in the Conflict of Interest Code.
When the City Council establishes a Commission, Committee, or Board, the City Council
will decide whether the members of the Commission, Committee or Boards be included
as a designated position in the Conflict of Interest Code and the members of the
Commission, Committee or Board so designated by the City Council, will be required to
file a Statement of Economic Interest."
SECTION 3: By adoption of this Resolution, the City Council also hereby ratifies the decision
of the City Manager, finding that the Economic Development Advisory Council and the
Community Cable Advisory Committee are solely advisory committees and therefore exempt
from the disclosure regulations of the Political Reform Act. This exemption shall remain in
effect until the basis for the grant of exemption no longer exists or the expiration of two years,
whichever occurs earlier. Within 30 days after the adoption of this Resolution, any interested
party may submit a request that the grant of exemption be reconsidered by the City Council. The
Mayor shall consider the request and, if in her discretion good cause exists for reconsideration,
she shall schedule the matter for hearing before the City Council.
SECTION 4: Resolution No. 4778 (adopted July 17, 2012) and any other resolution or policy
purporting to establish a conflict of interest code, are superseded by this Resolution and thus
repealed in their entirety.
SECTION 5: Repeal of any provision of any resolution or policy herein will not affect any
penalty, forfeiture, or liability incurred before, or preclude prosecution and imposition of
penalties for any violation occurring before, this Resolution's effective date. Any such repealed
part will remain in full force and effect for sustaining action or prosecuting violations occurring
before the effective date of this Resolution.
SECTION 6: The City Clerk will certify to the passage and adoption of this Resolution and
enter it into the book of original resolutions.
SECTION 7: This Resolution will become effective immediately upon adoption.
Page 5 of 6
PASSED AND ADOPTED this day of September, 2014.
ATTEST:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
Mark D. Hensley, City Attorney
Karl H. Berger, Assistant City Attorney
Page 6 of 6
Suzanne Fuentes, Mayor
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action regarding authorization for the City Manager to
execute two (2) one -year agreements in a form approved by the City Attorney with four
one -year term extensions, for a maximum total contract length of five years each for RFP
No. 414 -07 (On -Call Citywide Low Voltage Wiring Services) (Fiscal Impact: None)
RECOMMENDED COUNCIL ACTION:
1. Authorize the City Manager to execute an agreement in a form approved by the City
Attorney with Federal Technology Solutions, Inc. and NIC Partners, Inc.
2. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Attachment A: Bid Log Sheet
Attachment B: Contractor Responses
FISCAL IMPACT: Included in Adopted Budget
Amount Budgeted: N/A
Additional Appropriation: No
Account Number(s): N/A
ORIGINATED BY: Larry Klingaman, Information Syst s Manage
REVIEWED BY: Mitch Tavera, Chief of Police S
APPROVED BY: Greg Carpenter, City Manager l
BACKGROUND AND DISCUSSION:
Over time, new devices need to be connected to the City network by running low voltage wiring.
Some examples of these devices are Computers, Presentation Monitors, Wireless Access Points,
and IP Cameras. Staff does not have the expertise to install the necessary wiring at City
Facilities. Historically, staff has obtained individual contracts with wiring contractors for specific
installations and repairs at City facilities. This process can take considerable time and causes
unnecessary delays.
Staff decided to create a pool of contractors to perform on call routine installation and
maintenance.
On July 17 and July 24, staff advertised for bids to provide on call citywide low voltage wiring
services. The request for proposal included three sample projects similar to installations that
1 1
frequently occur at City facilities. Bidders were required to complete a proposal sheet for the
sample projects, including their labor rates and material markups.
On August 12, the City Clerk received and opened three (3) bids as follows:
Staff reviewed the proposals and performed reference checks. During the review, staff
determined the markup rate in the proposal from Telenet of 40% to be excessive.
Staff recommends that City Council authorize the City Manager to execute an agreement in a
form approved by the City Attorney with Federal Technology Solutions, Inc and NIC Partners,
Inc.
FEDERAL
NIC
TELENET
Average Rate
$ 70.00
$ 88.83
$ 85.00
Technician Rate
$ 70.00
$ 68.85
$ 85.00
Project Manager Rate
$118.80
Material Markup Rate
15%
20%
40%
Staff reviewed the proposals and performed reference checks. During the review, staff
determined the markup rate in the proposal from Telenet of 40% to be excessive.
Staff recommends that City Council authorize the City Manager to execute an agreement in a
form approved by the City Attorney with Federal Technology Solutions, Inc and NIC Partners,
Inc.
CITY OF EL SEGUNDO
BIDIRFP LOG
BID NO. #14 -07
City of El Segundo
On Call Citywide Low Voltage Wiring Services
Date of BID Opening: Tuesday, August 12, 2014
Time of BID Opening: 11 A.M.
Place of BID Opening: City Clerk's Office
COMPANY NAMEIADDRESS
Pro ect 1
Project 2
Project 3
2. Telenet VOIP, Inc.
850 Parkview Drive North
El Segundo, CA 90245
I,oSIR
/1013 ?�
-71939
$ 1100�21
g2
�$16� a 13t2
� 6 � 2 S7 s-�
Sd
2,07 "
$10 � 7
_.
3. Federal Technology Solutions
Inc.
1530 Consumer Circle, Unit 102
Corona, CA 92887
� $�$ FSg
4.
5. - -
6_
7.
8.
9.
10.
Staff Present:
FORMS16 MOPEN1
City Clerk's Office
City Clerk's Office
RSI, Representative
Company Name: Federal Technology Solutions, Inc.
PROJECT# LABOR HOURS LABOR RATE LABOR TOTAL MATERIALS
1 4
CA 9.75% TAX TOTAL PRICE
Instructions
48.88
-- 6,287.88
1: Estimate the labor hours and then enter into the labor hours cell.
2: Enter your labor rate in the Labor Rate Cell.
3: Multiply the labor hours cell by the labor rate cell and enter the value into the Labor Total Cell.
4: Create and attach a material worksheet showing individual item quantlties and costs.
5: Enter the sum of material costs from your worksheet into the Materials Cell.
6, Calculate tax as 9.75% of the value in the materials cell and enter the value in the CA 9.75% TAX cell.
_Add the Labor 7atal, n�iate_} Is, and CA Tax together and place in the Total Price Cell.
10.47 _
ADDITIONAL AWARD CRITERIA
What percentage of mark -up, above cost, is charged for materials?
How many hours will it take for your company to respond on -site for:
Evaluation of jobsite for quote: 8 Hours
Scheduled work: 4 Hours
I-C -8
15 % _
'70.00
245.00
23.88
15.25
70.00
3,727.50 - 2,332.92
'227.46
O.00
80.00
14.00
[1.47-
Instructions
48.88
-- 6,287.88
1: Estimate the labor hours and then enter into the labor hours cell.
2: Enter your labor rate in the Labor Rate Cell.
3: Multiply the labor hours cell by the labor rate cell and enter the value into the Labor Total Cell.
4: Create and attach a material worksheet showing individual item quantlties and costs.
5: Enter the sum of material costs from your worksheet into the Materials Cell.
6, Calculate tax as 9.75% of the value in the materials cell and enter the value in the CA 9.75% TAX cell.
_Add the Labor 7atal, n�iate_} Is, and CA Tax together and place in the Total Price Cell.
10.47 _
ADDITIONAL AWARD CRITERIA
What percentage of mark -up, above cost, is charged for materials?
How many hours will it take for your company to respond on -site for:
Evaluation of jobsite for quote: 8 Hours
Scheduled work: 4 Hours
I-C -8
15 % _
Company Name: Network Integration Company Partners Inc dba NIC Partners. Inc.
_ PROJECT P`RIC_ING UBMI
PROJECT# L.AROR NMIRS i APIAR RATE 1,ARf1R -rn-rm MArCOIAI C PA n tirai TA V TATS.`'..... -
ADDITIONAL AWARD CRITERIA
What percentage of mark -up, above cost, is charged for materials? 20%
How many hours will it take for your company to respond on -site for:
Evaluation of jobsite for quote: 48 Hours
Scheduled work: 72 Hours
I -C-8
8,405 (Cable Tech)
588.86 (Cable Tee
1
1.00 (PM)
$118.80 (PM)
$697.48
$327.37
$31.92
$1,056.77
2
23.25 (Cable Tech)
5.00 (PM)
$0.85 (Cable Tech
5118.80 (PM)
$2,194.76
$5,234.26
$510.34
$7,939.36
4.4 (Cable Tech)
88.85 (Cable Tech
3
0.75 (PM)
5118.80 (PM)
$392.04
$557.84
$54.39
$1,004.27
Instructions
1: Estimate the labor hours and then enter Into the labor hours cell.
2: Enter your labor rate in the Labor Rate Cell.
3: Multiply the labor hours cell by the labor rate cell and enter the value into the Labor Total Cell.
4: Create and attach a material worksheet showing individual item quantities and costs.
5: Enter the sum of material costs from your worksheet into the Materials Cell.
6: Calculate tax as 9.75% of the value in the materials cell and enter the value in the CA 9.75% TAX cell.
7: Add the Labor Total, Materials, and CA Tax together and lace in the Total Price Cell.
ADDITIONAL AWARD CRITERIA
What percentage of mark -up, above cost, is charged for materials? 20%
How many hours will it take for your company to respond on -site for:
Evaluation of jobsite for quote: 48 Hours
Scheduled work: 72 Hours
I -C-8
Company Name: TELENET VOID, INC.
TAX TOTAL PRICE
1 5 Hrs. $85.00 $425.00 $536.00 $52.26
2 63 Hrs. $85.00 1 $5,365.00 $9,712.00 $946.92
- 3 16 Hrs. $85.00 $1,360.00 $1,000,00 $97.50
Instruetlans
1: Estimate the labor hours and then enter into the labor hours cell.
2: Enter your labor rate in the Labor Rate Cell.
3: Multiply the labor hours cell by the labor rate cell and enter the value into the Labor Total Cell.
4: Create and attach a material worksheet showing individual item quantities and costs.
5: Enter the sum of material costs from your worksheet into the Materials Cell.
6: Calculate tax as 9.75% of the value in the materials cell and enter the value in the CA 9.75% TAX cell.
7: Add the Labor Totai, Materials, and CA Tax together and place in the Total Price Cell.
$1,013.26
$16,013.92
$2,457.50
ADDITIONAL AWARD CRITERIA
What percentage of mark -up, above cost, is charged for materials? 40%
How many hours will it take for your company to respond on -site for:
Evaluation of jobsite for quote: 48 Hrs.
Scheduled work: 5 Days
l-C -8
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action to receive and file this report regarding cleaning and
repairing drywall and carpet as well as restoring furniture in the north portion of City
Hall without the need for bidding in accordance with Public Contracts Code §§ 20168
and 22050 and El Segundo Municipal Code (`SSMC ")§ 1 -7 -12 and 1 -7A -4. (Fiscal
Impact: $37,000.00)
RECOMMENDED COUNCIL ACTION:
(1) Receive and file this report regarding cleaning and repairing drywall and carpet as
well as restoring furniture in the north portion of City Hall without the need for
bidding in accordance with Public Contracts Code §§ 20168 and 22050 and El
Segundo Municipal Code (`SSMC ")§ 1 -7 -12 and 1 -7A -4; and /;or.
(2) Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
None
FISCAL IMPACT: Included in Adopted Budget
Amount Budgeted: $37,000
Additional Appropriation: No.
Account Number(s): 405- 400 - 0000 -6215 (Facilities Maintenance Fund — Repair
& Maintenance Acct.)
ORIGINATED BY: Stephanie Katsouleas, Director of Public Works
REVIEWED BY: Stephanie Katsouleas, Director of Public Works
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
On August 5, 2014 City Council approved an emergency contract with A & V Contractors, Inc.
(A & V) to clean and repair drywall and carpet as well as restore furniture in the north portion of
City Hall (Human Resources, City Clerk's office, server room). As you may recall, damage to
these areas was due to an improperly sealed drain and corresponding rain event which occurred
during the City Hall roofing project. Contract documents are being processed by City staff.
Public Contracts Code § 22050(c) requires that the City Council receive updates at every
regularly scheduled meeting until the emergency repair is completed. Therefore, staff also
recommends that City Council receive and file this report on the status of the emergency repair
to clean and repair drywall and carpet and restore furniture in the north portion of City Hall. 12
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action to receive and file this report regarding the emergency
repair to remove debris in the attic space of City Hall without the need for bidding in
accordance with Public Contracts Code §§ 20168 and 22050 and El Segundo Municipal
Code ( "ESMC ")§ 1 -7 -12 and 1 -7A -4. (Fiscal Impact: $82,354.00)
RECOMMENDED COUNCIL ACTION:
(1) Receive and file this report regarding the emergency repair to remove debris in the
attic space of City Hall without the need for bidding in accordance with Public
Contracts Code §§ 20168 and 22050 and El Segundo Municipal Code ( "ESMC ")§
1 -7 -12 and 1 -7A -4.
(2) Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
None
FISCAL IMPACT: Included in Adopted Budget
Amount Budgeted: $82,354.00
Additional Appropriation: No
Account Number(s): 405- 400 - 0000 -6215 (Facilities Maintenance: Repairs and
Maintenance)
ORIGINATED BY: Stephanie Katsouleas, Director of Public Works h
REVIEWED BY: Stephanie Katsouleas, Director of Public Works
APPROVED BY: Greg Carpenter, City Manager aA
BACKGROUND AND DISCUSSION:
On May 6, 2014 City Council approved a contract to complete the attic cleaning emergency
repair with Empire Building. Contract and insurance documents were finalized on June 9th and
they will work only on Friday through Sunday until the project is complete. Work began on July
18 and is complete for the majority of offices. Work is continuing on the weekends for the
Business License Area, the hallways, and any missed areas.
Public Contracts Code § 22050 (c) requires that the City Council receive updates at every
regularly scheduled meeting until the emergency repair is completed. Therefore, staff
recommends that City Council receive and file this report on the status of the emergency repair
to clean the attic space in City Hall.
13
EL SEGUNDO CITY COUNCIL MEETING DATE: August 19, 2014
AGENDA STATEMENT AGENDA HEADING: New Business
AGENDA DESCRIPTION:
Consideration and possible action to tentatively approve installation of a Class II bike
lane on Rosecrans Ave. between Sepulveda Blvd. and Highland Ave . (Fiscal Impact:
Undetermined but expected to be minimal staff time)
RECOMMENDED COUNCIL ACTION:
Tentatively approve the installation of a Class II bike lane on Rosecrans Ave.
between Sepulveda Blvd. and Highland Ave.
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Map
FISCAL IMPACT: Undetermined
Amount Budgeted: $0
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: Stephanie Katsouleas, .Public Works Director
REVIEWED BY: Stephanie Katsouleas, Public Works Director
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
On September 21, 2010, City Council adopted a resolution authorizing City staff to participate in
the South Bay Regional Bicycle Master Plan planning with the South Bay Bicycle Coalition.
The goal of the plan was to create a master plan that would regionally connect South Bay cities
through a bicycle network and to encourage the allocation of transportation and grant funds to
pedestrian and bicycle networks as they became available. The Bicycle Master Plan was
completed in summer 2011 and was subsequently accepted/approved by Metropolitan
Transportation Authority (Metro) on September 19, 2011.
The Bicycle Master Plan identifies streets throughout El Segundo that are desirable for
installation of bicycle routes, ranging from Class I dedicated routes down to shared road routes.
Several of those routes (Douglas St., Nash St. and Aviation Blvd) are undergoing draft designs
for Council consideration later this fall. Rosecrans Ave., over its full length, is also listed in the
Bicycle Master Plan. For the segment of Rosecrans Ave. between Village Dr. and Sepulveda
Blvd., The Pointe development will be installing a westbound, Class I, dedicated bikeway. Staff
is proposing to continue the westbound bike lane segment with a Class II installation to Highland
Ave. through a partnership with Chevron and Manhattan Beach. This extended bikeway will
provide a safe path of travel for South Bay residents patronizing The Pointe development as well
as for those who commute via bikes along Rosecrans Blvd. It will also compliment the 14
eastbound segment being installed by Manhattan Beach.
The Proposed Bike Way
In January, 2014, the Manhattan Beach City Council approved a motion to install a Class II bike
lane on the eastbound side of Rosecrans Ave from Highland Ave. to Sepulveda Blvd. They also
discussed whether El Segundo would consider installing a corresponding west -bound bike lane
to complete this segment of the Bicycle Master Plan, which if approved by the El Segundo City
Council, would be paid for by the City of Manhattan Beach. As conceived, installation on the
westbound side of Rosecrans Ave. requires 1) an eight (8) foot easement from Chevron for the
first 150ft west of Sepulveda Blvd. and 2) conversion of the #3 lane from a traffic lane to a
dedicated Class II bike lane between Oak St. and Alma Ave.
Sepulveda Blvd. to Oak St.
Because the first 150 ft of Rosecrans Ave. just west of Sepulveda has only two lanes,
additional land is needed to complete the bike route segment between Sepulveda Blvd.
and Oak St. (see attached map). After review of the proposed configuration, Chevron has
confirmed that it is open to providing an 8ft x 150ft area of land adjacent to the sidewalk
on westbound Rosecrans Ave. through an easement agreement with the City of El
Segundo if appropriate indemnification language can be agreed upon. Land surveying
and construction costs would be covered by the City of Manhattan Beach and coordinated
with Chevron. The "behind the curb" dedicated bike lane would extend to just past the
existing bus stop and then segway into the 3rd lane at Oak St.
Oak St. to Alma Ave.
Based on the City's most recent Speed Survey and associated traffic counts, staff has
determined that there would be no significant Level of Service (LOS) reduction on
Rosecrans Ave. by converting one of the three westbound lanes to a dedicated bike lane
between Oak St. and Alma Ave. Even with only two westbound traffic lanes, the street
retains its classification as an "A" LOS (the most desirable classification) based on
existing traffic volumes (15,900 vehicles per day, with a peak hourly rate of 953 for all
three lanes). For this roadway segment, an "A" LOS is designated when each lane does
not exceed 600 vehicles per hour, or 1200 vehicles for two lanes. Lastly, the turn
movement for the large trucks entering Chevron is actually improved by the elimination
of the #3 curbside lane.
Prior to moving forward with expenditure of resources for implementation, including land
surveying and drafting appropriate easement language, staff requests that City Council: 1)
confirm its support of this project to convert the westbound #3 lane from a traffic lane to a
dedicated Class II bike lane on Rosecrans Ave. between Oak St. and Bell Ave. and 2) direct staff
to undertake the steps necessary for implementation.
a' Wide Public
Access Easement.
Wide Landscape
Reconstruct Curb Ramp
for Peds and Bikes.
Construct 6' Wide PCC
ased Class II Class I Bike Path.
Lane.
Relocate fence. " r
construct PCC r
Curb Ramp. i-
i
............... ° o ._. --------------
oC
-/
a
Rosecrans Avenue
West of Sepulveda Boulevard
Bike Lane Concept Sketch — Alternative 2
EL SEGUNDO CITY COUNCIL
AGENDA STATEMENT
AGENDA DESCRIPTION:
MEETING DATE: September 16, 2014
AGENDA HEADING: New Business
Consideration and possible action to review the water and sewer rate studies, direct staff
to commence the Proposition 218 protest procedures regarding potential increases to the
City's water and sewer rates for FY 2014/15- 2018/19 and set a public hearing to consider
an ordinance increasing water and sewer rates and fees . (Fiscal Impact: $60,000 for
ballot preparation and mailing for water rate increases and sewer rate increases.)
RECOMMENDED COUNCIL ACTION:
1. Receive water rate study presentation and proposed potable water rate increases.
2. Direct staff to implement the Proposition 218 protest ballot procedures for proposed
potable water and sewer rate increases.
3. Adopt a resolution establishing procedures for mailing, handling and counting
Proposition 218 ballots.
4. Set a Public Hearing on November 18, 2014 for Council consideration of the
proposed water and sewer rate increases.
5. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Water Rate Study Report
Sewer Rate Study Report
Proposed Resolution regarding Proposition 218 procedures
Draft Notice to Parcel Owners of a Proposed Rate Increase and Notice of a Public
Hearing set for November 18, 2009 at 7:00 p.m.
Sample Ballots
FISCAL IMPACT: Included in Adopted Budget
Amount Budgeted: $60,000.00
Additional Appropriation: N/A
Account Number(s): To Be Assigned
ORIGINATED BY: Lifan Xu, Principal Civil Engineer
REVIEWED BY: Stephanie Katsouleas, Public Wor -s Director
APPROVED BY: Greg Carpenter, City Manager
JIL
BACKGROUND AND DISCUSSION:
The City of El Segundo owns and operates its own water and wastewater divisions. These
operations are set up as separate enterprise funds, which are distinctly separate (financially) from
the City's general fund. As an enterprise, each division is responsible for covering its own
expenses and likewise generates its own income, making each self- sustaining. However,
California's Proposition 218 governs how municipalities can raise water and sewer rates to
cover the expenses associated with operating each enterprise. Under Prop 218, the rates can be
established for up to five years. Thereafter, a new Prop 218 process would be required again.
(see additional explanation about Prop 218 below) The last time the City initiated a Prop 218
protest ballot process for sewer rates was in 2006 and for water rates was in 2009. The ability to
raise water and sewer rates any further has now expired. Thus, in order to establish new water
and sewer rates for the next five years, the City must now conduct a new Proposition 218 protest
ballot process.
Water Department Expenses
The City of El Segundo imports 100% of its potable water, which is ultimately supplied by the
Metropolitan Water District (MWD). El Segundo purchases its water through the West Basin
Municipal Water District (WBMWD, a wholesaler) and supplies that water to residents through
its own distribution network. In January, 2010, when the last round of rates became effective,
the cost of imported water was $861 per acre -ft, or $1.98 per unit.' That rate is now $1171 per
acre -ft and expected to be as high as $1355 per acre -ft within five years. The total expenses
related to operating a municipal water department can be broken down into three basic
categories, which have certain associated costs. These include:
• Potable water (purchase of the actual commodity)
• Operations (staff salaries /benefits, utilities, maintenance, supplies, insurance /claims,)
• Capital Program (infrastructure improvements and replacements)
The total past, current and expected future costs to operate the City's Water Department are
summarized below. These rates will vary somewhat from year to year based on: 1) how much
funding is dedicated to the annual Capital program, 2) variations in operations expenses and 3)
expected increases in the cost of purchasing potable water.
Expense Category
Potable Water
2009
$1.98
2014
$2.69
2018
•
$3.11
Operations
$0.72
$0.68
$0.77
CIP
$0.14
$0.37
$0.74
Total Cost
$2.84
$3.74
$4.62
Less Capacity Charge
- $0.37*
-$0.47
-$0.57
Total Adjusted Cost
$2.47
$3.27
$_4.05
Rate Range
$1.46 — $2.86
$2.04 — $4.15
$2.82 - $5.90 SFR
$3.33 — $4.65 non SFR
Residents see two rates on their water bills, which include: 1) a readiness to serve charge (also
known as a capacity charge) which is based on the size of the customer's meter, and 2)
consumption charge, i.e., the actual cost of potable water used by that customer. The readiness
to serve charge is a fixed monthly charge which does not vary with consumption. However, it
does increase annually with water rate increases. The consumption charge is currently spread
over 8- tiers, which varies depending on the amount of water consumed. In order for the Water
Enterprise to be fully self - sustaining without assistance from the General Fund, the City will
necessarily need to establish new rates through a Prop 218 protest ballot process; if the
proposition passes, the City will be able implement the rate increases proposed herein.
1 A unit of water is defined as 100 cubic feet, or 748 gallons.
Expected Water Department Revenues and Expenses for the Next Five Years
The City of El Segundo projects the revenues and expenses associated with operating a Water
Department and providing reliable drinking water to approximately 5200 users to be:
Projected 2014/15- 2018/19 Water Department Revenues and Expenses
Current Year
FY 2014/15
Projected FY
2015/16
Projected FY
2016/17
Projected FY
2017/18
Projected FY
2018/19
Fixed Expenses
Personnel Services
1,358,776
1,399,539
1,441,525
1,484,771
1,529,314
Administrative Charges
387,280
398,898
410,865
423,191
435,887
Insurance and Claims
509,232
524,509
540,244
556,452
573,145
Subtotal Fixed Expenses
2,255,288
2,322,947
2,392,635
2,464,414
2,538,347
Variable Expenses
Utilities
33,737
34,749
35,791
36,865
37,971
Materials and Supplies
189,211
194,887
200,734
206,756
212,959
Water Purchases - Potable
10,746,820
10,908,022
11,235,263
11,572,321
11,977,352
Water Purchases - Recycled
8,631,560
8,761,033
9,023,864
9,294,580
9,619,891
Contractual Services
77,169
79,484
81,868
84,324
86,854
Repairs and Maintenance
201,273
207,311
213,530
219,936
226,534
Subtotal- Variable Expenses
19,879,769
20,185,487
20,791,051
21,414,783
22,161,561
Total Expense
22,135,057
22,508,433
23,183,686
23,879,197
24,699,907
Capital
Annual Water Main Improvement
1,000,000
1,500,000
1,500,000
1,500,000
1,500,000
AMR Meters
250,000
300,000
300,000
300,000
300,000
Reservoir Maintenance
60,000
-
-
-
-
New Venturi Meters
200,000
-
-
-
Pump Station Improvements
-
600,000
-
-
-
SCADA Upgrade
150,000
-
-
-
New Pipes/Flow Improvements
-
750,000
1:000,000
1,000,000
1,000,000
Yard Piping Modifications
-
250,000
-
-
Valve Replacements
-
-
250,000
250,000
-
Chlorination Facilitv at the Yard
-
-
-
250,000
-
Pressure Reducing Station Improvement
-
-
-
-
500,000
Total Capital
1,510,000
3,300,000
3,300,000
3,300,000
3,300,000
Total Expenditure
23,645,057
25,808,433
26,483,686
27,179,197
27,999,907
Revenues
Potable Water Sales
11,263,572
11,826,750
12,418,088
13,038,992
13,690,942
Recycled Water Sales
8,631,560
8,761,033
9,023,864
9,294,580
9,619,891
Recycled Water Surcharge
2,721,530
2,857,607
3,000,487
3,150.,511
3,308,037
Capacity Char es
1,893,739
1,988,426
2,087,847
2,192,240
2,301,851
Miscelaneous Revenue
29,705
30,596
31,514
32,460
33,433
Interest
12,731
13,113
13,506
13,911
14,329
Total revenues
24,510,401
25,433,816
26,530,286
27,676,323
28,920,721
Annual Retained Earnings
865,343
374,617
46,600
497,126
920,813
Cummulative Retained Earnings
865,343
490,726
537,326
1,034,452
1,955,265
Proposed Potable Water Rate Structure
To help evaluate the need for and propose new potable water rates that will cover the expenses
anticipated over the next five years, staff retained AKM Consulting Engineers to conduct a water
rate study (attached). The study recommends two options for tiered potable water rates that
would fully cover the expenses required to operate the enterprise over the next five years. The
first option represents a continuance of the current 8- tiered rate structure for all users with
moderate monthly increases in each category. The second option proposes to 1) decouple the
single family residential (SRF) rate structure from the other categories (industrial, commercial,
institutional, multi - family) in order to promote more aggressive conservation among single
family residential users and 2) condense the monthly rates into four tiers that are more applicable
to each user group. Both options include subsidized lifeline rates for qualifying households.
Under either option, the proposed rate increases will generate the necessary revenue for
operations, maintenance, capital projects and the purchase of water from West Basin Municipal
Water District (WBMWD). It will also generate a reserve fund for emergencies and water loss.
The capacity charges and fire service charges (for certain user groups) proposed below are the
same for both options and are thus presented only once.
1. Proposed Monthly Capacity Charges and Fire Service Charges
Proposed Monthly Capacity Rates
Meter Size
October 2014
July
2015
July
2016
July
2017
Jul
2018
$ 50.79
July 2019
5/8" x 3/4" and 3/4"
$
9.36
$
9.83
$
10.32
$
10.84
$
11.38
$
11.95
5/8" x 3/4" and 3/4" Lifeline
$
4.68
$
4.92
$
5.16
$
5.42
$
5.69
$
5.98
1'"
$
21.23
$
22.29
$
23.41
$
24.58
$
25.81
$
27.10
1" Lifeline
$
10.62
$
11.15
$
11.70
$
12.29
$
12.90
$
13.55
2"
$
49.29
$
51.75
$
54.34
$
57.06
$
59.91
$
62.90
3"
$
110.95
$
116.50
$
122.33
$
128.44
$
134.86
$
141.61
4"
$
196.86
$
206.71
$
217.04
$
227.90
$
239.29
$
251.25
6"
$
368.06
$
386.46
$
405.78
$
426.07
$
447.37
$
469.74
8"
$
645.23
$
677.49
$
711.36
$
746.93
$
784.28
$
823.49
10"
$
1,009.46
$
1,059.93
$
1,112.93
$
1,168.58
$
1,227.00
$
1,288.35
12"
$
1,453.48
$
1,526.16
$
1,602.47
$
1,682.59
$
1,766.72
$
1,855.05
16"
$
2,580.90
$
2,709.95
$
2,845.44
$
2,987.71
$
3,137.10
$
3,293.96
20"
$
4,030.92
$
4,232.46
$
4,444.09
$
4,666.29
$
4,899.61
$
5,144.59
Monthly Fire Service Charges
Meter Size
October 2014
July 2015
JWy 2016
July 2017
July 2018
July 2019
2"
$ 46.07
$ 48.37
$ 50.79
$ 53.33
$ 56.00
$ 58.80
3"
$ 70.32
$ 73.84
$ 77.53
$ 81.40
$ 85.47
$ 89.75
4"
$ 94.58
$ 99.31
$ 104.27
$ 109.49
$ 114.96
$ 120.71
6"
$ 143.08
$ 150.23
$ 157.75
$ 165.63
$ 173.91
$ 182.61
10"
$ 240.10
$ 252.11
$ 264.71
$ 277.95
$ 291.84
$ 306.44
2. Proposed Monthly Rate Structures (per unit, or 100 ft)
a. Option 1: 8 -Tiers Monthly Consumption Charges for all Users, Including the
Lifeline Rate*
Tier
Range
2014
2015
2016
2017
2018
2019
1
0 -5
$ 2.0435
$ 2.1011
$ 2.2272
$ 2.3608
$ 2.5024
$ 2.6526
1- lifeline
0 -5
$ 1.0219
$ 1.0507
$ 1.1137
$ 1.1806
$ 1.2514
$ 1.3265
2
5 -10
$ 2.7467
$ 2.8242
$ 2.9937
$ 3.1733
$ 3.3637
$ 3.5655
2- Lifeline
5 -10
$ 1.3734
$ 1.4122
$ 1.4969
$ 1.5867
$ 1.6820
$ 1.7829
3
10 -15
$ 3.4497
$ 3.5470
$ 3.7598
$ 3.9854
$ 4.2245
$ 4.4780
4
15 -20
$ 4.1527
$ 4.2698
$ 4.5260
$ 4.7975
$ 5.0854
$ 5.3905
5
20 -30
$ 3.3748
$ 3.4670
$ 3.6750
$ 3.8955
$ 4.1293
$ 4.3770
6
30 -50
$ 3.5154
$ 3.6145
$ 3.8314
$ 4.0613
$ 4.3049
$ 4.5632
7
50 -100
$ 3.6499
$ 3.7528
$ 3.9780
$ 4.2166
$ 4.4696
$ 4.7378
8
100+
$ 3.7263
$ 3.8314
$ 4.0613
$ 4.3050
$ 4.5633
$ 4.8371
* Subject to higher adjustments per West Basin Municipal Water District increases that are passed through
to the City based upon West Basin's increased costs in operations and water purchase imposed after
adoption of these rates.
b. Option 2: 4 -Tiers for SFR Users, 4 -Tiers for Non -SFR Users
Single Family Residence Monthly Consumption Charges
New Tiers
Ran a
2015
2016
2017
2018
2019
1
0 -10
$
2.3200
$
2.4360
$
2.5578
$
2.6857
$
2.8200
1- Lifeline
0 -10
$
1.1600
$
1.2180
$
1.2789
$
1.3428
$
1.4100
2
10 -20
$
4.2698
$
4.4833
$
4.7075
$
4.9428
$
5.1900
3
20 -50
$
4.8500
$
5.0925
$
5.3471
$
5.6145
$
5.8952
4
50+
$
4.2698
$
4.4833
$
4.7075
$
4.9428
$
5.1900
Non - Residential /Multi Family Monthly Consumption Charges
New
Tiers
Ran a
2015
2016
2017
2018
2019
1
1 0 -10
$
2.8242
$
2.9654
$
3.1137
$
3.2694
$
3.4328
2
10 -20
$
3.4500
$
3.6225
$
3.8036
$
3.9938
$
4.1935
3
20 -50
$
3.6500
$
3.8325
$
4.0241
$
4.2253
$
4.4366
4
50+
$
3.8314
$
4.0230
$
4.2241
$
4.4353
$
4.6571
* Subject to higher adjustments per West Basin Municipal Water District increases that
are passed through to the City based upon West Basin's increased costs in operations and
water purchase imposed after adoption of these rates.
The proposed water rates for both options are based upon actual consumption of water and meter
capacity. A survey of current water bills shows that the average residential customer with a 5/8'
x 3/4" meter using 12 units of water per month pays about $39.77 monthly for potable water
service. The proposed rate would increase that bill by $1.31 or $1.33 in the first year depending
on the option chosen. The following table uses the residential consumption average to show the
difference between current and proposed rates:
The actual water bills will vary from month -to month based on amount of water actually used.
Comparison with Other Agencies
A comparison of water rates to those of surrounding agencies is provided in the table below. The
proposed water rate options for FY 2014 /15 are well below average of virtually ever other
agency except Santa Monica.
$90.00
$85,00
$80.00
$75.00
$70 „00
$65.00
$60.00
$55=
$50.00
$45.00
$40.00
$3500
$3000
$2500
$2000
$1500
$1000
$500
$000
Comparison of Monthly Water Bills to Other Agencies
Typical Residence with 3/4" Water Meter and Monthly Use of 12 Units
K
Recycled Water
The City's current agreement with Chevron Products Company and the West Basin Municipal
Water District (WBMWD) allows the City to charge $0.7894 per unit of recycled water sold to
Current
Proposed Option 1
First Year (_ 8 Tiers )
Proposed Option 2:
First Year (4 Tiers
Water Capacity Charge
$8.92
$9.36
$9.36
Water Consumption Charge
$30.85
$31.72
$31.74
Total - Monthly
$39.77
$41.08
$41.10
Net Increase
$1.31
$1.33
Increase Per Da (at 30 Days)
$0.04
$0.04
The actual water bills will vary from month -to month based on amount of water actually used.
Comparison with Other Agencies
A comparison of water rates to those of surrounding agencies is provided in the table below. The
proposed water rate options for FY 2014 /15 are well below average of virtually ever other
agency except Santa Monica.
$90.00
$85,00
$80.00
$75.00
$70 „00
$65.00
$60.00
$55=
$50.00
$45.00
$40.00
$3500
$3000
$2500
$2000
$1500
$1000
$500
$000
Comparison of Monthly Water Bills to Other Agencies
Typical Residence with 3/4" Water Meter and Monthly Use of 12 Units
K
Recycled Water
The City's current agreement with Chevron Products Company and the West Basin Municipal
Water District (WBMWD) allows the City to charge $0.7894 per unit of recycled water sold to
Chevron in addition to the actual cost of the recycled water. The City's renewed Agreement with
Chevron allows the recycled water surcharge to continue increasing at the same percentage as the
potable water charge increases. The recycled water markup for Chevron Products Company for
the FY 2014/15 through FY 2018/19 is shown in the table below:
Proposed Recycled Water Surcharge
Unit of
Existing
Proposed
Proposed
Proposed
Proposed
Proposed
Recycle
2013 -2014
2014 -2015
2015 -2016
2016 -2017
2017 -2018
2018 -2019
water
Surcharge
Surcharge
Surcharge
Surcharge
Surchar a
Surcharge
100 CF
$0.7894
$0.8289
$0.8703
$0.9138
$0.9595
$1.0075
The recycled water surcharge offsets the loss from potable water sales to Chevron that the City
would otherwise have accrued had Chevron no converted to recycled water use. The surcharge
funds are used to help support the functions of the Water Department as well as the City's water
CIP.
Wastewater Ente
Expenses and Proiected Revenues
Like the Water Enterprise Fund, the Sewer Enterprise Fund is intended to be a self sustaining
enterprise that provides wastewater collection services to El Segundo's customer base. The City
is generally divided into two districts, one whose users are predominantly located west of
Sepulveda Blvd. and discharge waste to the City of Los Angeles's Hyperion Treatment Plant and
another whose users are located predominantly east of Sepulveda Blvd. and discharge waste to
the County Sanitation Districts of Los Angeles County.
The sewer fees include four components which have not increased since the last Wastewater
Proposition 218 process conducted in 2004. They are:
• Wastewater Service Fee (flat monthly fee assessed to all users)
• Sewer Fee (assessed to all users based on potable water consumption; e.g., volume fee)
• Treatment Fee (charged to users west of Sepulveda for Hyperion processing, based on
user type and meter size)
• Quality Surcharge (variable and charged to commercial and industrial users west of
Sepulveda Blvd., billed once annual based on constituency of flow; not a part of Prop 218
measure)
There is only one option presented herein for increases to the sewer rate structure. The new
proposed rate will generate sufficient revenue to continue supporting the operations of the
Wastewater Division, including operations and maintenance, capital projects and treatment fees
paid to the City of Los Angeles for waste delivered to its Hyperion Treatment Facility. It will
also provide for emergency response and unanticipated system repairs.
The City of El Segundo expects that the costs of operating the Sewer Department and providing
reliable wastewater service is as follows:
2014/15- 2018/19 Wastewater Department Revenues and Expenses
Expenses
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Fixed Expenses
Personnel Services
S
873,749
S 899,961
$
926,960
S 954,769
$ 983.412
Administrative Charges
$
159,238
$ 164,015
$
168,936
$ 174,004
$ 179,224
Insurance and Claims
$
236,900
$ 244,007
$
251,327
$ 258,867
$ 266,633
Subtotal -Fixed Expenses
$
1,269,887
$ 1,307,984
$
1,347,223
$ 1,387,640
$ 1,429,269
$
$
$
$
$
Variable Expenses
$
$
$
-
$
$ _
Utilities
5
66.950
S 68.959
S
71.027
S 73,158
S 75,353
Materials and Supplies
S
100,734
$ 103,756
$
106,869
S 110,075
$ 113,377
Contractual Services -Other
$
393,023
$ 404,814
$
416,958
$ 429,467
$ 442,351
Contractual Services- Hyperion
S
1,293,800
$ 1,494,600
$
1,567,400_
$ 1,564,600
$ 1,207,000
Repairs and Maintenance
$
84,563
$ 87,100
$
89,713
$ 92,404
$ 95,176
Subtotal - Variable Expenses
$
1,730,297
$ 1,782,206
$
1,835,672
$ 1,890,742
$ 1,947,465
$
$
$
$
$
'Total Expense
$
3,000,184
$ 3,090,190
$
3,182,895
$ 3,278,382
S 3,376,734
Capital
$
-
$
$
S
$ -
Annual Sewer Main Improvement
S
1,000,000
S 1,000,000
S
500,000
S 500,000
$ 500,000
Pump Station Maintenance
$
80,000
$ 80,000
$
80,000_
$ 80,000_
$ 80,000
Pump Station #1 and #7 Upgrade
$
2,200,000
$
$
-
$ -
$ -
Lifeguard Pump and Force Main
$
450,000
S
S
-
S -
S
Pump Station Rehab and Force Main Replacement
S
150,000
$ 500,000
S
100,000
S 300,000
$ 300,000
AMR Meters
$
250,000
$ 300,000
$
300,000
$ 300,000
$ 300,000
El Segundo Relief Sewer
$
-
$ 1,300,000
$
-
$
$
Standard St. Sewer Upgrade
$
$
$
800,000
S
$
Sewer Upgrade
$
$ -
$
-
$ 400,000
$ 400,000
'Total Capital
S
4,130,000
S 3,180,.000
$
1,780,000
$ 1,580,000
S 1,580,000
S
$
S
S
$
'Total Expenditure
$
7,130,184
$ 6,270,190
$
4,962,895
$ 4,858,382
$ 4,956,734
Revenues
$
-
S
$
$
$
WastwaterService Fee
$
967,443
$ 1,044,839
$
1,128,426
$ 1,218,700
$ 1,316,196
.Sewer Charge
$
1,290.137
S 1,393,348
$
1,504,815
S 1,625,201
$ 1,755,217
Treatment Charge
S
1300.000
$ 1,500,000
S
1.600,000
$ 1.600,000
S 1,600,000
Quality Surcharge
$
249,965
$ 249,965
$
249,965
$ 249,965
$ 249,965
Miscelaneous Revenue
$
-
$ -
$
$
$ -
Interest
$
9,974
$ 10,273
$
10,581
$ 10,898
$ 11,225
Total revenues
$
3,817,519
$ 4,198,424
$
4,493,787
$ 4,704,764
$ 4,932,603
,Annual Retained Earnings
$
(3,312,665)
$ (2,071,765)
$
(469,108)
$ (153,618)
$ (24,130)
Cummulative Retained Earnings
S
4,428,229
$ 2,356,463
1 $
1,887,3561
$ 1,733,738
$ 1,709,607
Proposed Fixed Monthly Wastewater Service Fees
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Single Family Residential
3/4'
$
4.85
$ 5.24
$
5.66
$
6.11
$
6.60
1"
$
5.82
$ 6.29
$
6.79
$
7.33
$
7.92
1.5 "
$
6.31
$ 6.81
$
7.36
$
7.95
$
8.58
2"
$
6.79
$ 7.34
$
7.92
$
8.56
$
9.24
Multi- family Residential
3/4'
$
7.77
$ 8.39
$
9.06
$
9.78
$
10.56
1"
$
10.92
$ 11.79
$
12.74
$
13.75
$
14.85
1.5"
$
16.49
$ 17.81
$
19.24
$
20.77
$
22.44
2"
$
36.39
$ 39.30
$
42.44
$
45.83
$
49.50
3"
$
126.14
$ 136.24
$
147.13
$
158.91
$
171.62
4"
$
169.81
$ 183.39
$
198.06
$
213.91
$
231.02
Lifeline
3/4'
$
2.43
$ 2.62
$
2.83
$
3.06
$
3.31
1"'
$
2.43
1 $ 2.62
$
2.83
$
3.06
$
3.31
Commercial (West)
3/4'
$
5.34
$ 5.76
$
6.22
$
6.72
$
7.26
1"'
$
13.82
$ 14.93
$
16.12
$
17.41
$
18.81
1.54'
$
24.26
$ 26.20
$
28.29
$
30.56
$
33.00
2"
$
63.07
$ 68.12
$
73.57
$
79.45
$
85.81
3"
$
135.84
$ 146.71
$
158.45
$
171.12
$
184.81
4"
$
509.411
$ 550.17
$
594.18
$
641.72
$
693.05
6 "°
1 $
509.411
$ 550.171
$
594.18
$
641.72
$
693.05
Commercial (East)
1"
$
5.34
$ 5.76
$
6.22
$
6.72
$
7.26
1.5"
$
33.97
$ 36.68
$
39.62
$
42.79
$
46.21
2"
$
97.03
$ 104.79
$
113.17
$
122.23
$
132.00
3'"
$
135.84
$ 146.71
$
158.45
$
171.12
$
184.81
41'
$
218.32
$ 235.79
$
254.65
$
275.02
$
297.02
61"
$
557.93
$ 602.56
$
650.771
702.83
$
759.05
Industrial (West)
3/4"
$
4.85
$ 5.24
$
5.66
$
6.11
$
6.60
1"'
$
5.82
$ 6.29
$
6.79
$
7.33
$
7.92
1.5"
$
17.95
$ 19.39
$
20.94
$
22.61
$
24.42
21'
$
53.36 !
$ 57.63
$
62.24
$
67.22
$
72.60
3 "
$
135.84
$ 146.71
$
158.45
$
171.12
$
184.81
4"
$
194.07
$ 209.59
$
226.36
$
244.47
$
264.02
6 "
$
194.07
$ 209.59
$
226.36 j
$
244.47
$
264.02
Industrial (East)
3/4"
$
5.34
$ 5.76
$
6.22
$
6.72
$
7.26
1"'
$
13.34
$ 14.41
$
15.56
$
16.80
$
18.15
1.5 "
$
24.26
$ 26.20
$
28.29
$
30.56
$
33.00
2"
$
53.36
$ 57.63
$
62.24
$
67.22
$
72.60
3"
$
218.32
$ 235.79
$
254.65
$
275.02
$
297.02
4"
$
339.61
$ 366.77
$
396.12
$
427.81
$
462.03
6"
$
921.80
$ 995.55
$
1,075.19
$
1,161.20
$
1,254.10
Institutional
3/4"
$
4.85
$ 5.24
$
5.66
$
6.11
$
6.60
1"
$
6.79
$ 7.34
$
7.92
$
8.56
$
9.24
1.5"
$
10.18
$ 11.00
$
11.88
$
12.83
$
13.86
2"
$
14.56
$ 15.72
$
16.98
$
18.34
$
19.81
3 "
$
38.82
$ 41.92
$
45.27
$
48.90
$
52.81
4 "'
$
48.51
$ 52.39
1 $
56.59
$
61.11
$
66.00
6"
$
48.51
$ 52.39
$
56.59
$
61.11
$
66.00
Proposed Month1v Sewer Fees
Proposed Monthiv Treatment Fee
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Single Family Residential
$
0.54
$
0.58
$
0.63
$
0.68
$
0.73
Multi - family Residential
$
0.67
$
0.72
$
0.78
$
0.84
$
0.91
Lifeline
$
0.27
$
0.29
$
0.31
$
0.34
$
0.37
Commercial
$
0.77
$
0.83
$
0.89
$
0.97
$
1.04
Industrial
$
0.77
$
0.83
$
0.89
$
0.97
$
1.04
Institutional
$
0.67
$
0.72
$
0.78
$
0.84
$
0.91
Proposed Monthiv Treatment Fee
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Single Family Residential
3/4'
$
13.51
$
15.59
$
16.63
$
16.63
$
16.63
1"
$
17.18
$
19.82
$
21.15
$
21.15
$
21.15
1.5"
$
18.59
$
21.45
$
22.87
$
22.87
$
22.87
2"
$
19.74
$
22.77
$
24.29
$
24.29
$
24.29
Multi- family Residential
3/4'
$
22.33
$
25.76
$
27.48
$
27.48
$
27.48
1"
$
31.28
$
36.10
$
38.50
$
38.50
$
38.50
1.5"
$
47.72
$
55.07
$
58.74
$
58.74
$
58.74
2"
$
107.03
$
123.50
$
131.73
$
131.73
$
131.73
3" _
$
363.80
$
419.77
$
447.75
$
447.75
$
447.75
4"
$
500.58
$
577.59
$
616.10
$
616.10_
$
616.10
Lifeline
3/4'
$
6.76
$
7.80
$
8.32
$
8.32
$
8.32
1"
$
8.60
$
9.92
$
10.58
$
10.58
$
10.58
Commercial
3/4'
$
15.94
$
18.39
$
19.62
$
19.62
$
19.62
1"
$
39.79
$
45.91
$
48.97
$
48.97
$
48.97
1.5"
$
73.27
$
84.54
$
90.18
$
90.18
$
90.18
2"
$
193.15
$
222.87
$
237.73
$
237.73
$
237.73
3"
$
358.00
$
413.08
$
440.61
$
440.61
$
440.61
4"
$
1,529.74
$
1,765.09
$
1,882.76
$
1,882.76
$
1,882.76
6"
$
1,529.74
$
1,765.09
$
1,882.76
$
1,882.76
$
1,882.76
Industrial
3/4"
$
13.22
$
15.25
$
16.27
$
16.27
$
16.27
1"
$
17.87
$
20.62
$
21.99
$
21.99
$
21.99
1.5"
$
51.63
$
59.58
$
63.55
$
63.55
$
63.55
2"
$
157.62
$
181.87
$
193.99
$
193.99
$
193.99
3"
$
395.11
$
455.89
$
486.29
$
486.29
$
486.29
4"
$
561.35
$
647.71
$
690.89
$
690.89
$
690.89
6"
$
561.35
$
647.71
$
690.89
$
690.89
$
690.89
Institutional
3/4"
$
12.49
$
14.41
$
15.38
$
15.38
$
15.38
1"
$
19.79
$
22.83
$
24.35
$
24.35
$
24.35
1.5"
$
30.11
$
34.74
$
37.06
$
37.06
$
37.06
2"
$
45.65
$
52.68
$
56.19
$
56.19
$
56.19
3"
$
113.21
$
130.63
$
139.34
$
139.34
$
139.34
-4"
$
134.06
$
154.69
$
165.00
$
165.00
$
165.00
6"
$
134.06
$
154.69
1 $
165.001
$
165.00
1 $
165.00
The combined proposed sewer rates are derived from projected expenses and the revenue needed
to cover those projected expenses. The following tables showcase the difference between current
and proposed rates for both wastewater districts:
East of Blvd.
Wastewater Service Fee
Current
$5.39
Proposed I
$5.82
Sewer Fee
$9.00
$9.72
Treatment Fee*
$11.75
$12.18
Total - Monthly
$26.14
$27.72
Net Increase
$1.58
Increase Per Day (at 30 Days)
$0.05
* Treatment fees are paid directly to LACSD through property tax bills
but are shown here for comparison purposes only.
West of Blvd.
Wastewater Service Fee
Current
$5.39
Proposed I
$5.82
Sewer Fee
$9.00
$9.72
Treatment Fee*
$13.45
$17.18
Total - Monthly
$27.84
$32.72
Net Increase
$4.88
Increase Per Da (at 30 Da s)
$0.16
The significant treatment fee increase is a pass through from the
City of Los Angeles and beyond the control of El Segundo.
Comparison with Other Agencies
A comparison of water rates to those of surrounding agencies is provided in the table below. The
proposed wastewater rate options for FY 2014/15 are well below area average, with exception
for Torrance and Inglewood who are currently operating their enterprises at a deficit (which are
funded with accumulated balances from enterprise funds).
$50
$45
$40
$35
$30
$25
$20
$15
$10
$5
Total Monthly Cost of Sewer Service
O
U O 00 C
1 m a m
> c o a a
m U e ~ Q >
M m o m <D (D a) m
C W cn cn cn U) cn
N Q' 93 W
The Proposition 218 Process
In November 1995, the California electorate approved Proposition 218 that requires certain
procedures be followed with regard to "property- related" fee increases imposed by governmental
agencies. Initially, case law indicated that these procedures would not be applicable to water rate
increases. However, a 2006 California Supreme Court decision held Proposition 218 fee increase
procedures must be followed for any proposed increases to the City's water rates. In short, water
rate increases are subject to a "majority protest" process that provides that if a majority of the
parcels in the City protest the proposed rate increase the City cannot impose the increase.
Just as there initially was some disagreement between lawyers and court decisions regarding
which fees were subject to Proposition 218, there is currently a disagreement with respect to the
protest ballot process. Specifically, there is a disagreement amongst attorneys that represent
public agencies (and potentially between the language approved by the voters and some recent
legislation) as to whether tenants that pay for fees covered by Proposition 218 must be afforded
the opportunity to protest proposed fee increases. Last year the state legislature attempted to
clarify this issue by passing legislation that on its face requires that tenants be afforded the
opportunity to protest such fee increases. The City Attorney's Office believes the legislation is
not consistent with Proposition 218 and believes it is potentially invalid since the language in
Proposition 218 stated that the notice regarding the protest process must be sent to the "record
owner" and the owner was the person that had the right to file the protest.
Despite the City Attorney's Office opinion on this matter, staff and the City Attorney agree that
the most conservative approach is to send the protest ballots to the property owners and to the
tenants if the tenant is the water customer. The City is only required to count one protest per
parcel. Accordingly, even if both the owner and tenant file a protest, only one protest shall be
counted for purposes of determining whether there is a "majority protest" as described below.
Proposition 218 requires that the City provide all properties receiving the service for which the
fee is charged (in this case, water treatment and distribution) with a minimum of 45 days written
notice prior to Council holding a public hearing on a proposed rate increase. The property
owners and now tenants have the ability to "protest" the proposed rate increase until the close of
the public hearing. If a majority of the parcels file written protests with the City prior to the close
of the public hearing, Proposition 218 states that the City cannot implement the proposed
increase. If a majority of the parcels do not protest the proposed increase, the Council has the
authority to implement the proposed rate increase.
In accordance with Proposition 218 requirements, several steps have been taken to comply with
the law. Drafts of a Notice to Parcel Owners of a Proposed Rate Increase and a Notice of a
Public Hearing set for November 18, 2014 at 7:00 p.m., and a Schedule of Proposed Water Rate
Adjustments have been prepared and are attached for Council review and comment. The most
current assessor's parcel roll from the Los Angeles County Assessor's office has been obtained
and a direct mailing to each parcel owner within the City limits will be made. Additionally, to
the extent a tenant rather than a property owner is the water customer, a protest notice will be
sent to the tenant utilizing the water billing address that the City has on file. Staff is prepared to
produce the required notices and mail out to all property owners no later than October 2, 2014.
Finally, staff is recommending that Council adopt the attached resolution for purposes of setting
forth some rules and regulations regarding the process for distributing, processing and counting
protest ballots. The rules and regulations are consistent with Proposition 218, legislation relating
to Proposition 218 and the process outlined above. For example, it states who will be sent
notices and ballots, which department at the City is responsible for receiving and storing the
ballots, the process for counting the ballots, and a process by which replacement ballots may be
requested.
Staff is now requesting that City Council:
1. Select which water rate increase option it would like to move forward through the
Proposition 218 protest ballot process.
2. Direct staff to implement the Proposition 218 protest ballot procedures for proposed
potable water and sewer rate increases.
3. Adopt a resolution establishing procedures for mailing, handling and counting
Proposition 218 ballots.
4. Set a Public Hearing on November 18, 2014 for Council consideration of the
proposed water and sewer rate increases.
CITY OF EL SEGUNDO
Water Rate Study 2014
Prepared for:
CITY OF EL SEGUNDO
350 Main Street
El Segundo, California 90245
Prepared by:
AKM CONSULTING ENGINEERS
553 Wald
Irvine, California 92618
September 2014
CITY OF EL SEGUNDO WATER RATE STUDY 2014
TABLE OF CONTENTS
Section No. PAGE
1.
SUMMARY ... ..................................................................................... ................... ................................. ........................... 3
2.
BACKGROUND .................................................................................................................................. ..............................3
3.
EXISTING WATER SYSTEM ......................................................................................................... ..............................4
4.
CAPITAL IMPROVEMENT PROGRAM ..................................................................................... ..............................5
S.
EXISTING WATER RATES AND CHARGES ............................................................................ ..............................5
Current Consumption Charges ................................................................................................ ................,.............6
6.
WATER UTILITY EXPENDITURES ........................................................................................... ..............................7
7.
WATER UTILITY REVENUES ...................................................................................................... ..............................8
8.
PROPOSED RATES .......................................................................................................................... ..............................9
9.
MONTHLY WATER BILLS .......................................................................................................... .............................14
Revenues and Expenses ........................................................................................................... .............................11
10.
COMPARISON OF MONTHLY WATER BILLS ..................................................................... .............................14
Capacity Charges ( Monthly) ................................................................................................... .............................12
LIST OF FIGURES
Fire Service Charges (Monthly) ............................................................................................ .............................12
Figure No. PAGE
1 Historical Water Purchases ...................................................................................................... ..............................4
2 2012 -13 Water Utility Expenditures ................................................................ ..............................7
3 Comparison of Monthly Water Bills to Other Agencies .............................................. .............................15
LIST OF TABLES
Table
No.
PAGE
1
Water Capital Improvement Project Phasing ................................................................... ..............................3
2
Current Monthly Capacity Charges ........................................................................................ ..............................6
3
Current Consumption Charges ................................................................................................ ................,.............6
4
Imputed Unit Cost per 100 Cubic Feet Sold ...................................................... ..............................8
5
Water Utility Revenues - 2012 - 2013 ................................................................................... ..............................9
6
Revenues and Expenses ........................................................................................................... .............................11
7
Capacity Charges ( Monthly) ................................................................................................... .............................12
8
Fire Service Charges (Monthly) ............................................................................................ .............................12
9
Recycled Water Surcharge ...................................................................................................... .............................12
10
Option 1: Consumption Charges ($/100 Cubic Feet) .................................................. .............................13
11
Option 2: Single Family Residence Consumption Charges ($/100 Cubic Feet) .............................13
12
Option 2:Non- Residential /Multi- Family Consumption Charges ($/100 Cubic Feet)
................13
13
Option 1: Average Monthly Bill Comparisons, ........ . ................ .................................................................. 14
14
Option 1: Average Monthly Bill Comparisons ................................................................. .............................14
2
RE Segundo, City of\ES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
This water rate study evaluated the recent expenditures and revenues of the City of El Segundo's water
utility; developed a capital improvement and facility replacement program schedule; and formulated a
funding method that will support the continuing operation of the utility as a self supporting enterprise.
The existing rate structure has a Capacity Charge and a Consumption Charge component. In addition
to the Capacity Charges, an surcharge of $0.7894 per unit (100 cubic feet, or 748 gallons) is applied to
all recycled water consumed by Chevron. The existing Capacity Charge and potable water Consumption
Charge structures were established in 2009, and adjusted annually beginning in 2010. The rate
increases have paralleled the percentage increases in the purchase cost of potable water. The
Metropolitan Water District of Southern California (Metropolitan) has implemented significant
increases in recent years and projects rate increases of approximately 13% over the next five years.
The existing rates, if maintained at the current level, will not generate adequate revenues to support
the operation and maintenance of the water utility, the proposed capital improvement and replacement
program and the increasing cost of imported potable water.
The City of El Segundo operates its water utility as a self sufficient enterprise. In order to continue this,
the water utility will need to generate sufficient revenues to meet normal and emergency demands in
accordance with federal and state requirements, support operations and maintenance, fund its long
term facility replacement and capital improvement program, and establish adequate retained earnings
to respond to emergencies.
Two options for modifying the existing Capacity Charges and potable water Consumption Charges were
evaluated. Option 1 maintains the current Capacity Charge schedule and the eight tier Consumption
Charge structure. Under this option the Consumption Rates and Capacity Charges for all meter sizes
and customers are increased 5% per year for the next five years to generate sufficient revenue to
continue self sufficient operation of the water utility including facility replacement and planned capital
improvements.. Option 2 maintains the current Capacity Charge schedule but simplifies the current
eight (8) tier Consumption Charge structure to four (4) tiers. Separate Consumption Charge schedules
are established for single family residential and non - residential /multi - family residential customers.
Under this option the Consumption Charges and Capacity Charges for all meter sizes and customers are
also increased 5% per year for the next five years to generate sufficient revenue to continue self
sufficient operation of the water utility including facility replacement and planned capital
improvements. The two options generate equivalent amounts of revenue. The Recycled Water
Surcharge Rate is recommended to be also increased 5% per year under both options.
The existing monthly water bill of an average single family /duplex customer with a monthly water use
of 12 units (1,200 cubic feet, or 8,976 gallons) is $39.77. This monthly bill will increase to $41.08 with
Optionl and $41.10 with Option 2. The proposed monthly bill is lower than for the customers of all
nearby cities except Santa Monica.
The City of El Segundo provides water service to the area within its boundaries through approximately
5,200 meters. Sources of supply consist of potable non - interruptible water from Metropolitan through
the West Basin Municipal Water District (West Basin) and recycled water from West Basin.
The City's combined water purchases averaged 17,178 acre feet per year over the past ten years. Over
this period, recycled water use has varied from a low of 6,638 acre feet in 2010 -11 (40.1 percent of the
total) to 9,034 acre feet in 2009 -10 (45.9 percent of the total), with an average of 7,915 acre feet per
R:EI Segundo, City oAES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
year (46.1% of the total). The system is capable of delivering potable water to all the recycled water
customers in the event of an outage of the recycled water source.
Over the past ten years, potable water purchases have varied from a low of 8,075 acre feet in 2013 -14
(48.4 percent of the total) to 10,961 acre feet in 2011 -12 (61.4 percent of the total), with an average of
9,263 acre feet per year (53.9% of the total). Figure 1 shows the potable and recycled water purchases
for the past ten years.
18.000 -
16.000
0 14.000
0
LL
0 12,000
u
Q 10.000
0
8.000
E
Q 6.000
4,000
2,000
Figure 1
Historical Water Purchases
Ten year average = 17,178 AF
FY 04.05 FY 05.06 FY 06 -07 FY 07 -08 FY 08 -09 FY 09-10 FY 10.11 FY 11.12 FY 12.13 FY 13.14
Years
oNon-Interruptbe ■RecycedWater
�3. EXISTING WATER SYSTEM
The system's assets consist of:
e One 3 million gallon (mg) reinforced concrete reservoir
e One 6.3 mg reinforced concrete reservoir
e One 0.2 mg elevated riveted steel reservoir
e One booster pump station with two motor operated vertical turbine pumps of 2,000 gallons per
minute (gpm) capacity each, and one gas engine operated vertical turbine pump of 5,000 gpm
capacity
e 56 miles of transmission and distribution pipes ranging in size from 4 -inch to 27 -inch diameter.
Some of the pipes smaller than 12- inch in diameter date back to 1924.
4
R:EI Segundo, City oflES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
The capital improvement program utilized in this study was developed based upon a review the Water
Master Plan, field reviews of the system facilities, and staffs experience with the existing system. Table
1 shows the projects included in the capital improvement program through fiscal year 2018 -2019.
Table 1
Water Capital Improvement Project Phasing
Description
2014 -2015
2015 -2016
2016 -2017
2017 -2018
2018 -2019
Annual Water Main Improvement
$1,000,000
$1,500,000
$1,500,000
$1,500,000
$1,500,000
AMR Meters
$250,000
$300,000
$300_,000
$300,000
$300,000
Reservoir Maintenance
$60,000
New Venturi Meters
$200,000
SCADA Upgrade
$150,000
New Pi es Flow Improvements
$750,000
$1,000,000
$1,000,000
$1,000,000
Yard Piping Modifications
$250,000
Valve Replacements
$250,000
$250,000
Chlorination Facility at the Yard
$250,000
Pressure Reducing Station Improvement
$500,000
Totall
$1,510,000
$2,7 0,0001
$3,300,0001
$3,300,000
$3,300,000
5. EXISTING WATER RATES AND CHARGES
The City of El Segundo's existing water rates were established in 2009 following a detailed study of the
Water Enterprise's historical financial information, and the capital improvement program
recommended by the Water Master Plan. The existing rate structure has three components:
• Capacity Charges to recover a substantial portion of the fixed costs of the Water Enterprise, and build
an emergency reserve
• Eight tier ascending Consumption Charges for all users.
• Markup of $0.7894 per 100 cubic feet of recycled water served to Chevron.
a. Capacity Charges - A six -year schedule was approved for the monthly Capacity Charges based
upon the assumption that the consumer price index (CPI) would increase at the rate of inflation
(3 percent per year). The ordinance adopting the rate structure allowed increasing the Capacity
Charges at a higher rate than 3 percent if the increase in the CPI was higher in any year. Table 2
shows the currently established Capacity Charges for 2014 -2015.
R:EI Segundo, City of\ES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
Table 2
Current Monthly Capacity Charges
Meter Size
October
2014 -2015
5/8" x 3/4" and 3/4"
$9.36
5/8" x 3/4" and 3/4" Lifeline
$4,68
1" --
$21.23
1" Lifeline
$10.62
1.5"
$ 27.91
2"
$49.29
3"
$110.95
4"
$196.86
6-
$368.06
8"
$645.23
10"
$1,009.46
12"
$1,453.48
16"
$ 2,580.90
20"
$4,030.92
b. Consumption Charges - The first tier of the current Consumption Charge schedule is set lower
than the current cost of water purchased from West Basin, which is currently $2.69 per 100 cubic
feet. The existing potable water Consumption Charges recover the cost of purchased water
starting at the second tier of the rate structure. The balance of the revenues support the variable
expenditures of the Water Enterprise including operations and maintenance and the capital
improvement program. The ordinance adopting the rate structure allowed increases at the same
percentage as West Basin increased the domestic water costs. Current consumption Charges are
shown in Table 3. A previously approved increase is scheduled for January 2015
c. Recycled Water - The City's currently charges $0.7894 per 100 cubic feet (748 gallons) as a
surcharge on the recycled water sold to Chevron on top of the actual cost of the water.
Table 3
Current Consum tion Charge
Tier
Range
(cclf)
Rate
1
0 -5
$2.0435
2
5 -10
$2.7467
3
10 -15
$3.4497
4
15 -20
$4.1527
6
30 -50
$3.5154
7
50 -100
$3.6499
8
100+
1 $3.7263
6
R:EI Segundo, City of1ES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
The water utility's expenditures consist of potable water and recycled water purchases, salaries,
benefits, supplies, public utility services, billing and other service charges, capital -fixed assets, and
water capital improvements. The total potable and recycled water utility expenditures for 2012 -2013
were $21,738,430.
Water purchase cost is the largest expense of the utility, at approximately $18,243,000.
The water utility's expenditures consist of potable water and recycled water purchases, salaries,
benefits, supplies, public utility services, service charges, capital -fixed assets, and water capital
improvements. The water utility expenditures for 2012 -2013 were $21,738,430. Water purchase cost
is the largest expense of the utility, at approximately over $18,243,000. Figure 2 illustrates these
expenditures.
Recycled Water
Purchases
:17
Figure2
2012 -13 Water Utility Expenditures
Personnel
60/ Other
Potable Water
Purchases
51%
Table 4 illustrates the hypothetical unit cost of operating the Water Utility on a unit cost basis per 100
cubic feet of potable water purchased. The largest unit cost component, by far, is water purchases. If
there were no additional revenue from Capacity Charges and the Recycled Water Surcharge, then the
Consumption Charge would have had to have been $4.06 per 100 cubic feet in 2012 -13 to cover
operating expenses and a assumed capital program of $4,000,000 that year. The additional Capacity
Charge and Recycled Water Surcharge revenues allowed the actual Consumption Charge to be set
lower.
R:EI Segundo, City of1ES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
Table 4
Unit Cost per 100 Cubic Feet of
Potable Water Purchased
Expense Category
2012 -2013
Fixed Expenses
Personnel Services
$
0.31
Administrative Charges
$
0.09
Insurance and Claims
$
0.12
Subtotal -Fixed Ex enses
$
0.52
Variable Expenses
Utilities
$
0.01
Materials and Supplies
$
0.04
Water Purchases - Potable
$
2.45
Contractual Services
$
0.02
Repairs and Maintenance
$
0.05
Subtotal - Variable Expenses _
$
2.57
Total Operating Expense
$
3.09
Deferred Capital Improvements
$
0.97
Total Expense
$
4.06
7, WATER UTILITY REVENUES
The water utility's revenues consist of interest and rentals, charges for services and commodities, and
transfers. Table 4 shows the water utility's revenues for 2012 -2013. Revenues derived from the sale of
potable and recycled water are by far the largest portion of the total revenue. There was not a
significant capital program in 2012 -13. In addition, Chevron also pays an annual fixed charge of
$1,009,800 for recycled water facilities that are not owned by the City that is passed directly through to
West Basin.
Revenues were higher than the expenditures primarily due to the minimal amount of capital
improvements implemented in Fiscal Year 2012 -2013.
8
R:EI Segundo, City oNES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
Table 5
Water Utility Revenues 2012 -2013
Fixed Expenses
2012 -2013
Personnel Services
$1,272,174
Administrative Charges
$376,000
Insurance and Claims
$480,000
Subtotal -Fixed Expenses
$2,128,174
Variable Ex euses
Utilities
$31,800
Materials and Supplies
$178,112
Water Purchases - Potable
$11,118,117
Water Purchases- Recycled
$8,019,769
Contractual Services
$72,739
Repairs and Maintenance
$189,719
Subtotal - Variable Expenses
$19,610,256
Total Ex ense
$21,738,430
Revenues
Potable Water Sales
$12,239,421
Recycled Water Sales
$8,019,769
Recycled Water Surcharge
$2,468,508
Capacity Charges
$1,803,561
Miscelaneous Revenue
$28,000
Interest
$12,000
Total revenues
$24,531,259
Annual Retained Earnings
$2,792,829
The City of El Segundo desires to continue to operate its water utility as a self sufficient enterprise. In
order to accomplish this, the water utility will operate the system to meet normal and emergency
demands in accordance with federal and state requirements, fund its long term facility replacement and
capital improvement program, and establish retained earnings to respond to emergencies. Two
options for modifying the potable water Consumption Charges were evaluated. The two options
generate equivalent amounts of revenue.
Option 1 maintains the current Capacity Charge schedule and the eight tier Consumption Charge
structure. Under this option, the Consumption Rates and Capacity Charges for all meter sizes and
9
R:EI Segundo, City oAES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
customers are increased 5% per year for the next five years to generate sufficient revenue to continue
self sufficient operation of the water utility including facility replacement and planned capital
improvements.
Option 2 also maintains the current Capacity Charge schedule, but establishes separate Consumption
Charge schedules for single family residences and non - residential /multi - family residences. Option 2
simplifies the current eight (8) tier Consumption Charge structure to four (4) tiers for single family
residences and four (4) tiers for non - residential /multi - family residences. The Consumption Charge
tiers for single family residences increase rapidly with consumption to encourage water conservation.
The Consumption Charge tiers for non - residential /multi - family residences increase more gradually
since these customers are assumed to have less latitude in implementing water conservation measures
such as reducing exterior irrigation. Under this option, the Consumption Charges and Capacity Charges
for all meter sizes and customers are also increased 5% per year for the next five years to generate
sufficient revenue to continue self sufficient operation of the water utility including facility replacement
and planned capital improvements. The Recycled Water Surcharge rate is recommended to be also
increased 5% per year under both options.
The water utility's revenues and expenses through 2018 -2019 for both options are shown below in
Table 6. It will generate retained earnings of $865,000 in 2014 -15, and approximately $1.95 million
cumulatively by 2018 -19 to defray additional capital projects or unforeseen expenses.
10
R:EI Segundo, City oNES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
Table 6
Revenues and Expenses
11
RE Segundo, City ofiES Water Rate Study (Aug 14)
Current Year
FY 2014/15
Projected FY
2015/16
Projected FY
2016/17
Projected FY
2017/18
Projected FY
2018/19
Fixed Expenses
Personnel Services
1,358,776
1,399,539
1,441,525
1,484,771
1,529,314
Administrative Charges
387,280
398,898
410,865
423,191
435,887
Insurance and Claims
509,232
524,509
540,244
556,452
573,145
Subtotal -Fixed Expenses
2,255,288
2,322,947
2,392,635
2,464,414
2,538,347
Variable Expenses
Utilities
33,737
34,749
35,791
36,865
37,971
Materials and Supplies
189,211
194,887
200,734
206,756
212,959
Water Purchases - Potable
10,746,820
10,908,022
11,235,263
11,572,321
11,977,352
Water Purchases - Recycled
8,631,560
8,761,033
9,023,864
9,294,580
9,619,891
Contractual Services
77,169
79,484
81,868
84,324
86,854
Repairs and Maintenance
201,273
207,311
213,530
219,936
226,534
Subtotal - Variable Ex enses
19,879,769
20,185,487
20,791,051
21,414,783
22,161,561
Total Expense
22,135,057
22,508,433
23,183,686
23,879,197
24,699,907
Capital
Annual Water Main Improvement
1,000,000
1,500,000
1,500,000
1,500,000
1,500,000
AMR Meters
250,000
300,000
300,000
300,000
300,000
Reservoir Maintenance
60,000
-
-
New Venturi Meters
200,000
-
-
Pump Station Improvements
-
600,000
-
-
SCADA Upgrade
-
150,000
-
-
New Pi es Flow Improvements
-
750,000
1,000,000
1,000,000
1,000,000
Yard Piping Modifications
-
-
250,000
-
Valve Re lacements
-
-
250,000
250,000
-
Chlorination Facility at the Yard
-
-
-
250,000
-
Pressure Reducing Station Improvement
-
-
-
-
500,000
Total Capital
1,510,000
3,300,000
3,300,000
3,300,000
3,300,000
Total Expenditure
23,645,057
25,808,433
26,483,686
27,179,197
27,999,907
Revenues
Potable Water Sales
11,263,572
11,826,750
12,418,088
13,038,992
13,690,942
Recycled Water Sales
8,631,560
8,761,033
9,023,864
9,294,580
9,619,891
Recycled Water Surcharge
2,721,530
2,857,607
3,000,487
3,150,511
3,308,037
Capacity Charges
1,893,739
1,988,426
2,087,847
2,192,240
2,301,851
Miscelaneous Revenue
29,705
30,596
31,514
32,460
33,433
Interest
12,731
13,113
13,506
13,911
14,329
Total revenues
24,510,401
25,433,816
26,530,286
27,676,323
28,920,721
Annual Retained Earnings
865,343
374,617
46,600
497,126
920,813
Cummulative Retained Earnin s
865,343
490,726
537,326
1,034,452
1,955,265
11
RE Segundo, City ofiES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
Table 7 shows the Capacity Charge for both rate options, and Table 8 illustrates the monthly Fire
Service Charges for both options. Table 9 shows the Recycled Water Surcharge. Tables 10, 11, and 12
Consumption Charges for the rate two rate options..
Table 7
Capacity Char es (Month y)
Meter Size
October 2014
July 2015
July 2015
July
2016
July 2019
jmly 2017
July
2018
$ 50.79
July 2019
5/8" x 3/4" and 3/4"
$
9.36
$
9.83
$
10.32
$
10.84
$
11.38
$
11.95
5/8" x 3/4" and 3/4" Lifeline
$
4.68
$
4.92
$
5.16
$
5.42
$
5.69
$
5.98
1"
$
21.23
$
22.29
$
23.41
$
24.58
$
25.81
$
27.10
1" Lifeline
$
10.62
$
11.15
$
11.70
$
12.29
$
12.90
$
13.55
2"
$
49.29
$
51.75
$
54.34
$
57.06
$
59.91
$
62.90
3"
$
110.95
$
116.50
$
122.33
$
128.44
$
134.86
$
141.61
4"
$
196.86
$
206.71
$
217.04
$
227.90
$
239.29
$
251.25
6"
$
368.06
$
386.46
$
405.78
$
426.07
$
447.37
$
469.74
8"
$
645.23
$
677.49
$
711.36
$
746.93
$
784.28
$
823.49
10"
$
1,009.46
$
1,059.93
$
1,112.93
$
1,168.58
$
1,227.00
$
1,288.35
12"
$
1,453.48
$
1,526.16
$
1,602.47
$
1,682.59
$
1,766.72
$
1,855.05
16"
$
2,580.90
$
2,709.95
$
2,845.44
$
2,987.71
$
3,137.10
$
3,293.96
20"
$
4,030.92
$
4,232.46
$
4,444.09
$
4,666.29
$
4,899.61
$
5,144.59
Table 8
Fire Service Charges (Monthly)
Meter Size
October 2014
July 2015
July 2016
July 2017
July 2018
July 2019
2"
$ 46.07
$ 48.37
$ 50.79
$ 53.33
$ 56.00
$ 58.80
3''
$ 70.32
$ 73.84
$ 77.53
$ 81.40
$ 85.47
$ 89.75
4"
$ 94.58
$ 99.31
$ 104.27
$ 109.49
$ 114.96
$ 120.71
6"
$ 143.08
$ 150.23
$ 157.75
$ 165.63
$ 173.91
$ 182.61
10"
$ 240.10
$ 252.11
$ 264.71
$ 277.95
$ 291.84
$ 306.44
Table 9
Recycled Water Surcharge ($/100 Cubic Feet)
July 2014
lulv 2015
July 2016
July 2017
July 2018
Luly 2019
$ 0.7894
$ 0.8289
$ 0.8703
$ 0.9138
$ 0.9595
$ 1.0075
12
R:EI Segundo, City of1ES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
Table 10
Option 1: Consumption Charges ($/100 Cubic Feet)
Tier
Range
2014
2015
2016
2017
2018
2019
1
0 -5
$ 2.0435
$ 2.1011
$ 2.2272
$ 2.3608
$ 2.5024
$ 2.6526
1- lifeline
0 -5
$ 1.0219
$ 1.0507
$ 1.1137
$ 1.1806
$ 1.2514
$ 1.3265
2
5 -10
$ 2.7467
$ 2.8242
$ 2.9937
$ 3.1733
$ 3.3637
$ 3.5655
2- Lifeline
5 -10
$ 1.3734
$ 1.4122
$ 1.4969
$ 1.5867
$ 1.6820
$ 1.7829
3
10 -15
$ 3.4497
$ 3.5470
$ 3.7598
$ 3.9854
$ 4.2245
$ 4.4780
4
15 -20
$ 4.1527
$ 4.2698
$ 4.5260
$ 4.7975
$ 5.0854
$ 5.3905
5
20 -30
$ 3.3748
$ 3.4670
$ 3.6750
$ 3.8955
$ 4.1293
$ 4.3770
6
30 -50
$ 3.5154
$ 3.6145
$ 3.8314
$ 4.0613
$ 4.3049
$ 4.5632
7
50 -100
$ 3.6499
$ 3.7528
$ 3.9780
$ 4.2166
$ 4.4696
$ 4.7378
8
100+
$ 3.7263
$ 3.8314
$ 4.0613
$ 4.3050
$ 4.5633
$ 4.8371
Table 11
Option 2: Single Family Residence Consumption Charges ($/100 Cubic Feet)
New Tiers
Ran a
2015
2016
2017
2018
2019
1
0 -10
$
2.3200
$
2.4360
$
2.5578
$
2.6857
$
2.8200
1- Lifeline
0 -10
$
1.1600
$
1.2180
$
1.2789
$
1.3428
$
1.4100
2
10 -20
$
4.2698
$
4.4833
$
4.7075
$
4.9428
$
5.1900
3
20 -50
$
4.8500
$
5.0925
$
5.3471
$
5.6145
$
5.8952
4
50+
$
4.2698
$
4.4833
$
4.7075
$
4.9428
$
5.1900
Table 12
Option 2: Non- Residential /Multi Family Consumption Charges ($/100 Cubic Feet)
New
Tiers
Range
2015
2016
2017
2018
2019
1
0 -10
$
2.8242
$
2.9654
$
3.1137
$
3.2694
$
3.4328
2
10 -20
$
3.4500
$
3.6225
$
3.8036
$
3.9938
$
4.1935
3
-50
$
3.6500
$
3.8325
$
4.0241
$
4.2253
$
4.4366
4
L510+
$
3.8314
$
4.0230
$
4.2241
$
4.4353
$
4.6571
13
R:EI Segundo, City of1ES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
Tables 13 and 14 show the average monthly water bills for single family residential customers with
5/8" x 3/4" and 1" meters based on existing rates for Fiscal Year 2013 -2014, 2014 -2015, and based on
the proposed rates for 2014 -2015 for Options 1 and 2, respectively.
Table 13
Ovtion 1- Average Monthly Bill Comparisons
Meter
Size
Monthly
Water
Use
Existing 2013 -2014
Proposed 2014 -15
Capacity
Charge
Capacity
Charge
Consumption
Charge
Total
Month! Bill
Capacity
Charge
Consumption
Charge
Total
Monthl Bill
5/8 "13/4"
12
$ 8.92
$ 30.85
$ 39.77
$ 9.36
$ 31.72
$ 41.08
1"
18
$ 20.22
$ 53.66
$ 73.88
1 $ 21.23
$ 55.17
$ 76.40
Table 14
Option 2- Average Monthly Bill Comparisons
Meter
Size
Monthly
Water
Use
Existing 2013 -2014
Proposed 2014 -2015
Capacity
Charge
Consumption
Charge
Total
Month! Bill
Capacity
Charge
Consumption
Char a
Total
Monthl Bill
5/8 "13/4"
12
$ 8.92
$ 30.85
$ 39.77
$ 9.36
$ 31.74
$ 41.10
1"
18
$ 20.22
$ 53.66
$ 73.88
1 $ 21.23
$ 57.36
$ 78.59
The existing monthly water bill of an average single family with a monthly water use of 12 units (1,200
cubic feet, or 8,976 gallons) is $39.77. This monthly bill will increase 3.3% to $41.08 with the
previously approved Option 1 rates. This monthly bill would increase essentially the same amount to
$41.10 for the Option 2 rate proposal. The monthly bill for both options is lower than for the customers
of Beverly Hills ($65.01); Culver City, Gardena, Hawthorne, and Lawndale ($71.80); Lomita ($80.57),
Rancho Palos Verdes ($47.98), Rolling Hills ($47.98); Hermosa Beach ($55.86); Redondo Beach
($55.86); Inglewood ($71.80); Manhattan Beach ($71.59), and Torrance ($45.13). Of nearby cities,
only Santa Monica would have monthly water bills lower than El Segundo.
14
R:EI Segundo, City oflES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO WATER RATE STUDY 2014
$9000
$8500
$6000
$7500
$7000
$6500
$6000
$5500
$50.00
$45.00
$40,00
$35,00
$3000
$2500
$2000
$15.00
$1000
$5.00
$0.00
Figure 3
Comparison of Monthly Water Bills to Other Agencies
Comparison of Monthly Water Bills to Other Agencies
Typical Residence with 314" Water Meter and Monthly Use of 12 Units
15
R:EI Segundo, City oNES Water Rate Study (Aug 14)
CITY OF EL SEGUNDO
Sewer Rate Study 2014
Prepared for:
CITY OF EL SEGUNDO
350 Main Street
El Segundo, California 90245
Prepared by:
AKM CONSULTING ENGINEERS
553 Wald
Irvine, California 92618
September 2014
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
TABLE OF CONTENTS
SECTION NO.
PAGE
1.
SUMMARY... ... ................................................................................................... ................................
.................. 3
2.
BACKGROUND .................................................................................................................................
..............................3
3.
EXISTING SEWER SYSTEM ........................................................................................................ ............................... 4
4.
CAPITAL IMPROVEMENT PROGRAM ................................................................................... ............................... 4
5.
EXISTING SEWER RATES AND CHARGES ...........................................................................
............................... 4
6.
SEWER UTILITY EXPENDITURES ..........................................................................................
............................... 6
7.
SEWER UTILITY REVENUES .....................................................................................................
............................... 6
8.
PROPOSED SEWER RATES AND CHARGES ........................................................................
............................... 7
9.
MONTHLY SEWER BILLS ...........................................................................................................
.............................11
10.
COMPARISON OF MONTHLY SEWER BILLS ......................................................................
.............................11
LIST OF FIGURES
FIGURE NO.
PAGE
1
COMPARISON OF MONTHLY SEWER BILLS TO OTHER AGENCIES .........................
.............................12
LIST OF TABLES
TABLE NO. PAGE
1 SEWER CAPITAL IMPROVEMENT PROJECT PHASING .......... .......................................... ................... .... ,.. 4
2 EXISTING WASTEWATER SERVICE FEES ......................................................................... ............................... 5
3 EXISTING SEWER FEES ............................................................................................................ ............................... 5
4 EXISTING TREATMENT FEES .... ............................................................................................... ........... ................ 6
5 SEWER UTILITY REVENUES - 2012 - 2013 ....................................................................... ............................... 7
6 PROPOSED REVENUES AND EXPENSES ............................................................................ ............................... 8
7 WASTEWATER SERVICE FEE ( MONTHLY) ...................................................................... ............................... 9
8 SEWER FEE (PER CCF SEWAGE GENERATION) ............................................................ .............................10
9 TREATMENT FEE (MONTHLY) ............................................................................................. .............................10
10 AVERAGE MONTHLY BILL COMPARISONS EAST OF SEPULVEDA BOULEVARD ..........................11
11 AVERAGE MONTHLY BILL COMPARISONS WEST OF SEPULVEDA BOULEVARD ........................11
2
R:EI Segundo, City oflES Sewer Rate Study (Aug 94)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
1. SUMMARY
The sewer rate study update evaluated the recent expenditures and revenues of the City of El Segundo's
sewer utility; developed a capital improvement and facility replacement program schedule; and
formulated a funding method that will support the operation of the utility as a self supporting enterprise.
The City of El Segundo's existing sewer rates were established in 2004. They have not changed in the last
ten years. The existing rate structure has four components:
• A Wastewater Service Fee is assessed to all sewer customers as a flat monthly fee. The amount of the
fee varies according to customer class and the size of the customer's water meter.
• A Sewer Fee that is assessed to all sewer customers based on sewage generation. The Sewer Fee rate
varies according to customer class.
• A Treatment Fee that is assessed to sewer customers west of Sepulveda Boulevard that defrays the
cost of wastewater treatment provided by the City of Los Angeles at the Hyperion Plant. The
Treatment Fee is assessed as a flat monthly fee based on customer class and the size of the customer's
water meter.
• An annual Quality Surcharge assessed on commercial and industrial customers based on quantity
and strength of wastewater discharged.
The City of El Segundo operates its sewer utility as a self sufficient enterprise. In order to continue this,
the sewer utility will need to generate sufficient revenues to meet normal and emergency demands in
accordance with federal and state requirements, fund its long term facility replacement and capital
improvement program, and establish adequate retained earnings to respond to emergencies.
It is proposed that the Wastewater Service Fee and Sewer Fee be increased 8% per year for the next five
years. It is proposed that the Treatment Fee be increased in accordance with estimates supplied by the
City of Los Angeles, since this cost is not in the control of El Segundo and should be passed through to the
customers receiving service from the Hyperion Plant. This requires a 27.7% increase in 2014 -15, a
15.4% increase in 2015 -16, and a 6.7% increase in 2016 -17. The City of Los Angeles is projecting a
potential decrease in costs in 2017 -18 and 2018 -19 due to reduced capital requirements at the Hyperion
Plant. Consequently no Treatment Fee increase is recommended for those years.
The proposed rate increase generates sufficient revenue to continue self sufficient operation of the sewer
utility including facility replacement and planned capital improvements.
The monthly sewer bill for the average residential customer with a 3/4" water meter east of Sepulveda
Boulevard will increase 8% from $10.49 to $11.33. The monthly sewer bill for the average residential
customer with a 3/4" water meter west of Sepulveda Boulevard will increase 18% from $21.07 to $24.84.
This larger increase is due to increased treatment costs at the Hyperion Plant.
2. BACKGROUND
The City of El Segundo's wastewater collection system west of Sepulveda Boulevard and north of El
Segundo Boulevard consists of nine (9) separate drainage areas. Nine (9) of these areas include a sewer
pump station. The sewage is either pumped to a neighboring drainage area where it can drain by gravity
to the trunk sewers in Imperial Highway or it is pumped directly to the trunk sewers in Imperial Highway
The wastewater flows west in these sewers to the Hyperion Outfall, which then conveys the flows directly
to the Hyperion Treatment Plant. The City of El Segundo contracts with the City of Los Angeles for
treatment of this wastewater at the Hyperion Plant. The cost of this treatment is passed through by the
City of El Segundo to sewer customers west of Sepulveda Boulevard through a Treatment Fee on the bi-
monthly bill.
R:EI Segundo, City oAES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
East of Sepulveda Boulevard, the City land is within the Los Angeles County Sanitation District No. 5. The
City sewers generally convey wastewater flows east to the LACSD trunk sewer in Aviation Boulevard.
Sewer customers east of Sepulveda pay LACSD directly for wastewater treatment. These Wastewater
treatment charges are assessed by LACSD on individual property tax bills.
The City's existing wastewater collection system is made up of a network of gravity sewers and nine
sewer pump stations. The gravity system consists of approximately 50 miles of pipe and over 1,000
maintenance access structures. The majority of the gravity sewers are constructed of vitrified clay pipe
with sizes ranging from 6 -inch to 27 -inch in diameter. Approximately 68 percent of the gravity sewers
are 8- inches in diameter and over 99 percent of pipes are made of vitrified clay.
The sewer system was constructed over the years based on development needs. Approximately 42
percent of the sewers were built in the late 1920's. The second largest development period occurred in
the 1950's. Approximately 27 percent of the City's sewers were built between 1950 and 1959.
The City's wastewater system includes a total of nine pump stations. Eight of these pump stations (No.1,
2, 4, 5, 6, 7, 8, 9) are located west of Sepulveda Boulevard and ultimately contribute to the flow tributary
to the City of Los Angeles Hyperion Treatment Plant. Pump Station No. 13 is located on Grand Avenue
east of Sepulveda Boulevard. Its flow is tributary to the Los Angeles County Sanitation District No. 5
trunk sewer in Aviation Boulevard.
The capital improvement program utilized in this study was developed based upon a review the Sewer
Master Plan, field reviews of the system facilities, and staffs experience with the existing system. Table
1 shows the projects included in the capital improvement program through fiscal year 2018 -2019.
Table 1- Sewer Capital Improvement Project Phasing
.5. —EXISTING SEWER RATES AND CHARGES
The City of El Segundo's existing sewer rates were established in 2004, and have not changed since. The
existing rate structure has four components:
A Wastewater Service Fee is assessed to all sewer customers as a flat monthly fee. The amount of the
fee varies according to customer class and the size of the customer's water meter. The Current
Wastewater Service fees are shown in Table 2.
4
R:EI Segundo, City of1ES Sewer Rate Study (Aug 14)
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Annual Sewer Main Improvement
$ 1,000,000
$ 1,000,000
S 500,000
S
500,000
S 500,000
(Pump Station Maintenance
$ 80,000
$ 80,000
$ 80,000
$
80,000
$ 80,000
Pump Station #1 and #7 Upgrade
$ 2,200,000
S
S .
$
.
$
ILifeguard Pump and Force Main
$ 450,000
$
$ .
$
.
$
(Pump Station Rehab and Force Main Replacement
$ 150,000
$ 500,000
$ 100,000
$
300,000
$ 300,000
AMR Meters
$ 250,000
$ 300,000
$ 300,000
$
300,000
$ 300,000
El Segundo Relief Sewer
$ -
$ 1,300,000
$
$
-
$
Standard St. Sewer Upgrade
$
$
$ 800,000
$
-
$
Sewer Upgrade
$
$ -
$ .
$
400,000
$ 400,000
"Total Capital
$ 4,,130,000
$ 3,180,000
$ 1,780,000
$
1,580,000
$ 1,580,000
.5. —EXISTING SEWER RATES AND CHARGES
The City of El Segundo's existing sewer rates were established in 2004, and have not changed since. The
existing rate structure has four components:
A Wastewater Service Fee is assessed to all sewer customers as a flat monthly fee. The amount of the
fee varies according to customer class and the size of the customer's water meter. The Current
Wastewater Service fees are shown in Table 2.
4
R:EI Segundo, City of1ES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
Table 2- Existing Wastewater Service Fees
Wastewater service Fee
Multi- family Residential
Lifeline
Single Family Residential
3/4'
$ 7.19
3/4'
$ 2.25
3/4'
$ 4.49
1"
$ 10.11
1"
$ 2.25
1" $ 5.39 1.5 " $ 15.27
1,5 " $ 5.84 2" $ 33.69
2" $ 6.29 3" $ 116.80
4" $ 157.23
1.5"
$
31.45
1,5"
$
6" $ 471.68
Industrial (West)
Industrial (East)
Institutional
89.84
3/4"
$ 4.49
'3/4"
$ 4.94
3/4"
$ 4.49
1"
$ 5.39
1"
$ 12.35
1 "'
$ 6.29
1.5"
$ 16.62
1,5"
$ 22.46
1.5"
$ 9.43
2"
$ 49.41
2"
$ 49.41
2"
$ 13.48
3"
$ 125.78
3"
$ 202.15
3"
$ 35.94
4"
$ 179.69
4"
$ 314.45
4"
$ 44.92
6"
$ 179.69
6"
$ 853.52
6"
$ 44.92
A Sewer Fee that is assessed to all sewer customers based on sewage generation. The Sewer Fee rate
varies according to customer class. The current Sewer Fees are shown in Table 3.
Table 3- Existing Sewer Fees
Single Family Residential
Commercial (West)_
0.50
Multi- family Residential
Commercial (East)
0.62
3/4'
$
$
4.94
1"
0.71
$
4.94
1"
Institutional
$
12.80
1.5"
$
31.45
1,5"
$
22.46
2"
$
89.84
2"
$
58.40
3"
$
125.78
3"
$
125.78
4"
$
202.15
4"
$
471.68
6"
$
516.60
A Sewer Fee that is assessed to all sewer customers based on sewage generation. The Sewer Fee rate
varies according to customer class. The current Sewer Fees are shown in Table 3.
Table 3- Existing Sewer Fees
Single Family Residential
$
0.50
Multi- family Residential
$
0.62
Lifeline
$
0.25
Commercial
$
0.71
Industrial
$
0.71
Institutional
$
0.62
• A Treatment Fee that is assessed to sewer customers west of Sepulveda Boulevard that are tributary
to the Hyperion Treatment Plant. The Treatment Fee is assessed as a flat monthly fee based on
customer class and the size of the customer's water meter. The Treatment Fee defrays the cost of
wastewater treatment provided by the City of Los Angeles at the Hyperion Plant. The current
Treatment Fees are shown in Table 4.
5
R EI Segundo, City oflES Sewer Rate Study
{Aug 94}
CITY OF EL SEGUNDO
Table 4- Existing Treatment Fees
SEWER RATE STUDY 2014
Single Family Residential
Multi- family
Residential
Lifeline
3/4'
$ 10.58
3/4'
$ 17.48
3/4'
$ 5.29
1"
$ 13.45
1"
$ 24.49
1"
$ 6.73
1.5"
$ 14.55
1.5"
$ 37.36
2"
$ 15.45
2"
$ 83.79
3"
$ 284.80
4"
$ 391.88
Commercial
Industrial
Institutional
3/4'
$ 12.48
3/4"
$ 10.35
3/4"
$ 9.78
1"
$ 31.15
1"
$ 13.99
1"
$ 15.49
1.5"
$ 57.36
1.5"
$ 40.42
1.5"
$ 23.57
2"
$ 151.21
2"
$ 123.39
2"
$ 35.74
3'"
1 $ 280.26
3"
1 $ 309.311311
$ 88.63
4"
1 $ 1,197.56
4"
1 $ 439.45
4"
$ 104.95
6"
1 $ 1,197.56
6"
1 $ 439.45
6"
1 $ 104.95
• An annual Quality Surcharge assessed on commercial and industrial customers based on quantity and
strength of wastewater discharged.
The sewer utility's expenditures consist of salaries, benefits, administrative fees, supplies, utilities,
repairs and maintenance, contracted services, and sewer capital improvements. The sewer utility
expenditures, exclusive of depreciation, for 2012 -2013 were $2,448,459.
7. SEWER UTILITY REVENUES
The sewer utility's revenues consist of interest, sales and service charges. Table 5 shows the sewer
utility's revenues and expenses for 2012 -2013.
Revenues were higher than the expenditures only due to the minimal amount of capital improvements
implemented in Fiscal Year 2012 -2013.
6
R:EI Segundo, City of\ES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
Table 5 - Sewer Utility Revenues and Expenses - 2012 -2013
Fixed Expenses
Personnel Services
$
729,714
Administrative Charges
$
154,596
Insurance and Claims
$
129,000
Subtotal -Fixed Expenses
$
1,013,310
Variable Expenses
Materials and Supplies
$
81,955
Contractual Services
$
675,515
Repairs and Maintenance
$
677,679
Subtotal - Variable Expenses
$
1,435,149
Total Expense
$
2,448,459
Revenues
Sales and Service Charges
$
3,514,765
Interest
$
9,401
Total revenues
$
3,524,166
The City of El Segundo desires to continue to operate its sewer utility as a self sufficient enterprise. In
order to accomplish this, the sewer utility will operate the system to meet normal and emergency
demands in accordance with federal and state requirements, fund its long term facility replacement and
capital improvement program, and establish retained earnings to respond to emergencies.
It is proposed that the Wastewater Service Fee and Sewer Fee be increased 8% per year for the next five
years. It is proposed that the Treatment Fee be increased in accordance with estimates supplied by the
City of Los Angeles, since this cost is not in the control of El Segundo and should be passed through to the
customers receiving service from the Hyperion Plant. This requires a 27.7% increase in 2014 -15, a
15.4% increase in 2015 -16, and a 6.7% increase in 2016 -17. The large early year increases are necessary
to offset increases in the City of Los Angeles' charges that have been imposed since the last time El
Segundo raised its Treatment Fee. The City of Los Angeles is projecting a potential decrease in costs in
2017 -18 and 2018 -19 due to reduced capital requirements at the Hyperion Plant. Consequently no
Treatment Fee increase is recommended at this time for those years.
The proposed rate increase generates sufficient revenue to continue self sufficient operation of the sewer
utility including facility replacement and planned capital improvements.
Table 6 shows the Wastewater Service Fee, and Table 7 illustrates the per CCF Sewer Fee. Table 8 shows
the recommended Treatment Fee.
R:EI Segundo, City ofiES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
Table 6 - Proposed Revenues and Expenses
Expenses
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Fixed Expenses
Personnel Services
$
873,749
$ 899,961
$ 926,960
$
954,769
$ 983,412
Administrative Charges
S
159,238
$ 164,015
$ 168,936
$
174,004
$ 179,224
Insurance and Claims
$
236,,900
S 244.007
S 251.327
S
258,867
S 266,633
Subtotal -Fixed Expenses
$
1,269,887
$ 1,307,984
$ 1,347,223
$
1,387,640
$ 1,429,269
5
•
$
$
$
$
Variable Expenses
S
5
S
S
S
Utilities
$
66,950
$ 68,959
$ 71,027
$
73,158
$ 75,353
Materials and Supplies
$
100,734
$ 103,756
$ 106,869
$
110,075
$ 113,377
Contractual Services -Other
S
393,023
$ 404,814
$ 416,958
$
429,467
S 442,351
Contractual Services - Hyperion
$
1,.293,800
$ 1,494.600
$ 1,567,400
$
1,564,600
5 1.207.000
Repairs and Maintenance
$
84,563
$ 87,100
$ 89,713
$
92,404
$ 95,176
Subtotal - Variable Expenses
$
1,730,297
$ 1,782,206
$ 1,835,672
$
1,890,742
$ 1,947,465
-
Total Expense
$
3,000,184
$ 3,090,190
$ 3,182,895
$
3,278,382
$ 3,376,734
Capital
$
$
S
$
$
Annual Sewer Main Improvement
S
1,000.000
$ 1,000,000
5 500,000
S
500,000
S 500.000
Pump Station Maintenance
$
80,000
$ 80,000
$ 80,000
$
80,000
$ 80,000
Pump Station #1 and #7 Upgrade
S
2,200,000
$
$
$
-
$
Lifeguard Pump and Force Main
$
450,000
$
$
$
-
$
Pump Station Rehab and Force Main Replacement
$
150,000
$ 500,000
$ 100,000
$
300,000
$ 300,000
AMR Meters
S
250,000
S 300,000
S 300,000
$
300,000
S 300,000
El Segundo Relief Sewer
$
$ 1,300,000
$
$
-
$
Standard St. Sewer Upgrade
$
$ -
$ 800,000
$
$ -
Sewer Upgrade
S
S -
S -
S
400.000
S 400,000
'Total Capital
$
4,130,000
$ 3,180,000
$ 1,780,000
$
1,580,000
$ 1,580,000
Total Expenditure
S
7,130,184
$ 6,270,190
$ 4,962,895
$
4,858,382
$ 4,956,734
$
$
5
S
S
Revenues
$
-
$
$ -
$
-
$ -
Wastwater Service Fee
$
967,443
$ 1,044,839
$ 1,128,426
$
1,218,700
$ 1,316,196
Sewer Charge
$
1,290,137
$ 1,393,348
$ 1,504,815
S
1.625,201
S 1.755,217
Treatment Char e
$
1,300,000
$ 1,500,000
$ 1,600,000
$
1,600,000
$ 1,600,000
Guality Surcharge
$
249,965
$ 249,965
$ 249,965
S
249,965
$ 24.9,965
Miscelaneous Revenue
$
$ -
$ -
5
-
$
Interest
$
9,974
$ 10,273
$ 10,581
$
10,898
$ 11,225
Total revenues
5
3,817,519
S 4,198,424
5 4,493,787
5
4,704,764
$ 4,932,603
$
$ -
5 -
$
$
Annual Retained Earnings
$
(3,312,665 )1
$ (2,071,765)
$ (469,108)
$
(153,618)
$ (24,130)
Cummulative Retained Earnings
1 $
4,428,2291
S 2,356,463
1 $ 1,887,356
5
1,733,738
1 5 1,709,607
R:EI Segundo, City of\ES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
Table 7 - Wastewater Service Fee (Monthly)
R:EI Segundo, City oflES Sewer Rate Study (Aug 14)
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Single Family Residential
3/4'
$
4.85
$
5.24
$
5.66
$
6.11
$
6.60
11'
$
5.82
$
6.29
$
6.79
$
7.33
$
7.92
1.5"
$
6.31
$
6.81
$
7.36
$
7.95
$
8.58
2"
$
6.79
$
7.34
$
7.92
$
8.56
$
9.24
Multi- family Residential
3/4'
$
7.77
$
8.39
$
9.06
$
9.78
$
10.56
1"
$
10.92
$
11.79
$
12.74
$
13.75
$
14.85
1.5"
$
16.49
$
17.81
$
19.24
$
20.77
$
22.44
2"
$
36.39
$
39.30
$
42.44
$
45.83
$
49.50
3"
$
126.14
$
136.24
$
147.13
$
158.91
$
171.62
4"
$
169.81
$
183.39
$
198.06
$
213.91
$
231.02
Lifeline
3/4'
$
2.43
$
2.62
$
2.83
$
3.06
$
3.31
1"
$
2.43
$
2.62
$
2.83
$
3.06
$
3.31
Commercial (West)
3/4'
$
5.34
$
5.76
$
6.22
$
6.72
$
7.26
1'"
$
13.82
$
14.93
$
16.12
$
17.41
$
18.81
1.5"
$
24.26
$
26.20
$
28.29
$
30.56
$
33.00
2"
$
63.07
$
68.12
$
73.57
$
79.45
$
85.81
3"
$
135.84
$
146.71
$
158.45
$
171.12
$
184.81
.4"
$
509.41
$
550.17
$
594.18 1
$
641.72
$
693.05
-6"
$
509.41
$
550.17
$
594.18
$
641.72
$
693.05
Commercial (East)
1"
$
5.34
$
5.76
$
6.22
$
6.72
$
7.26
1.5 "'
$
33.97
$
36.68
$
39.62
$
42.79
$
46.21
2"
$
97.03
$
104.79
$
113.17
$
122.23
$
132.00
3"
$
135.84
$
146.71
$
158.45
$
171.12
$
184.81
4"
$
218.32
$
235.79
$
254.65
$
275.02
$
297.02
6" j
$
557.93
1 $
602.56
1 $
650.77 1
$
702.83
$
759.05
Industrial (West)
3/4"
$
4.85
$
5.24
$
5.66
$
6.11
$
6.60
1"'
$
5.82
$
6.29
$
6.79
$
7.33
$
7.92
1.5"
$
17.95
$
19.39
$
20.94
$
22.61
$
24.42
2"
$
53.36
$
57.63
$
62.24
$
67.22
$
72.60
3"
$
135.84
$
146.71
$
158.45
$
171.12
$
184.81
4"
$
194.07
$
209.59
$
226.36
$
244.47
5
264.02
6"
$
194.07
$
209.59
$
226.36
$
244.47
$
264.02
Industrial (East)
3/4"
$
5.34
$
5.76
$
6.22
$
6.72
$
7.26
1"
$
13.34
$
14.41
$
15.56
$
16.80
$
18.15
1,5"
$
24.26
$
26.20
$
28.29
$
30.56
$
33.00
2 "
$
53.36
$
57.63
$
62.24
$
67.22
$
72.60
3"
$
218.32
$
235.79
$
254.65
$
275.02
$
297.02
4"
$
339.61
$
366.77
$
396.12
$
427.81
$
462.03
6"
$
921.80
$
995.55
$
1,075.19
$
1,161.20
$
1,254.10
Institutional
3/4"
$
4.85
$
5.24
$
5.66
$
6.11
$
6.60
1"'
$
6.79
$
7.34
$
7.92
$
8.56
$
9.24
1.5"
$
10.18
$
11.00
$
11.88
$
12.83
$
13.86
2"
$
14.56
$
15.72
$
16.98
$
18.34
$
19.81
3"
$
38.82
$
41.92
$
45.27
$
48.90
$
52.81
4"
$
48.51
$
52.39
$
56.59
$
61.11
$
66.00
.6"
$
48.51
1 $
52.39
$
56.59
$
61.11
$
66.00
R:EI Segundo, City oflES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
Table 8: Sewer Fee (per CCF sewage generation)
Table 9: Treatment Fee (Monthly)
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Single Family Residential
$
0.54
$
0.58
$
0.63
$
0.68
$
0.73
Multi- family Residential
$
0.67
$
0.72
$
0.78
$
0.84
$
0.91
Lifeline
$
0.27
$
0.29
$
0.31
$
0.34
$
0.37
Commercial
$
0.77
$
0.83
$
0.89
$
0.97
$
1.04
Industrial
$
0.77
$
0.83
$
0.89
$
0.97
$
1.04
Institutional
$
0.67
$
0.72
$
0.78
$
0.84
$
0.91
Table 9: Treatment Fee (Monthly)
10
R:EI Segundo, City oflES Sewer Rate Study (Aug 14)
2014-15__t_
2015 -16 1
2016 -17
2017 -18
2018 -19
Single Family Residential
3/4'
$
13.51
$
15.59
$
16.63
$
16.63
$
16.63
1"
$
17.18
$
19.82
$
21.15
$
21.15
$
21.15
$
18.59
$
21.45
$
22.87
$
22.87
$
22.87
2"
$
19.74
$
22.77
$
24.29
$
24.29
$
24.29
Multi- family Residential
3/4'
$
22.33
$
25.76
$
27.48
$
27.48
$
27.48
1"
$
31.28
$
36.10
$
38.50
$
38.50
$
38.50
1.5 "
$
47.72
$
55.07
$
58.74
$
58.74
$
58.74
2"
$
107.03
$
123.50
$
131.73
$
131.73
$
131.73
3"
$
363.80
$
419.77
$
447.75
$
447.75
$
447.75
4"
$
500.58
$
577.59
$
616.10
$
616.10
$
616.10
Lifeline
3/4'
$
6.76 $
7.80
$
8.32
$
8.32
$
8.32
V.
$
8.60
$
9.92
$
10.58
$
10.58
$
10.58
Commercial
3/4'
$
15.94
$
18.39
$
19.62
$
19.62
$
19.62
1"'
$
39.79
$
45.91
$
48.97
$
48.97
$
48.97
1.5"
$
73.27
$
84.54
$
90.18
$
90.18
$
90.18
2 "
$
193.15
$
222.87
$
237.73
$
237.73
$
237.73
3"
$
358.001
$
413.08
1 $
440.61
1 $
440.61
1 $
440.61
4"
$
1,529.74
$
1,765.09
$
1,882.76
$
1,882.76
$
1,882.76
6"
$
1,529.74
$
1,765.09
$
1,882.76
$
1,882.76
$
1,882.76
Industrial
3/4"
$
13.22
$
15.25
$
16.27
$
16.27
$
16.27
1"
$
17.87
$
20.62
$
21.99
$
21.99
$
21.99
1.5"
$
51.63
$
59.58
$
63.55
$
63.55
$
63.55
2"
$
157.62
$
181.87
$
193.99
$
193.99
$
193.99
3"
$
395.11
$
455.89
$
486.29
$
486.29
$
486.29
4"
$
561.35
$
647.71
$
690.89
$
690.89
$
690.89
6"
$
561.35
$
647.71
$
690.89.1..$
690.89
$
690.89
Institutional
3/4 'q
$
12.49
$
14.41
$
15.38
$
15.38
$
15.38
1"
$
19.79
$
22.83
$
24.35
$
24.35
$
24.35
1.5"
$
30.11
$
34.74
$
37.06
$
37.06
$
37.06
2"
$
45.65
$
52.68
$
56.19
$
56.19
$
56.19
3"
$
113.21
$
130.63
$
139.34
$
139.34
$
139.34
4""
$
134.06
$
154.69
$
165.00
$
165.00
$
165.00
61'
$
134.06
$
154.69
$
165.00
$
165.00
$
165.00
10
R:EI Segundo, City oflES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
The monthly sewer bill for the average residential customer with a 3/4" water meter east of Sepulveda
Boulevard will increase 8% from $10.49 to $11.33. The monthly sewer bill for the average residential
customer with a 3/4" water meter west of Sepulveda Boulevard will increase 18% from $21.07 to $24.84.
This larger increase is due to increased treatment costs at the Hyperion Plant. Tables 10 and 11 show
the average monthly sewer bills for residential customers with 5/8" x 3/4" and 1" meters based on existing
rates for Fiscal Year 2013 -2014, 2014 -2015, and on the proposed rates for 2014 -2015 These meter sizes
serve approximately 77% of the City of El Segundo's sewer customers.
Table 10 - Average Monthly Bill Comparisons East of Sepulveda Boulevard
Table 11 - Average Monthly Bill Comparisons West of Sepulveda Boulevard
Existing 2013 -2014
Proposed 2014 -2015
Meter Size
Avg. Monthly
Water Use
Wastewater
Service Fee
Sewer Fee
Total Monthly
Bill
Wastewater
Service Fee
Sewer Fee
Total
Monthly
Bill
Treatment
Fee
Total
Monthly Bill
5/8 "X3/4"
12
$ 4.49
$ 6.00
$ 10.49
$ 4.85 1
$ 6.48
$ 11.33
1"
18
$ 5.39
j $ 9.00
1 $ 14.39
$ 5.82
$ 9.72
$ 15.54
Table 11 - Average Monthly Bill Comparisons West of Sepulveda Boulevard
As noted above, the total monthly sewer service bill of an average single family residential customer west
of Sepulveda Boulevard with a monthly water use of 12 units (1,200 cubic feet, or 8,976 gallons) is
currently $21.07. This monthly bill will increase to $24.84 with the recommended rates. El Segundo
customers east of Sepulveda pay for sewage treatment directly to Los Angeles County Sanitation District
the equivalent of $11.75 per month through their property tax bills. This is scheduled to increase to
$12.18 in 2015. This brings their total cost of sewer service to $23.51. A survey was conducted of
neighboring cities that levy sewer charges. The monthly bill for El Segundo customers is lower than for
the customers of Beverly Hills ($43.69), Culver City (33.12), Redondo Beach ($26.78); Manhattan Beach
($36.89), and Santa Monica ($44.45). Customers in Torrance ($15.76) and Inglewood ($19.25) have
lower total monthly sewer bills than El Segundo. Torrance currently has a minimal capital improvement
program and operates its sewer utility at an annual deficit. Inglewood is also operating its sewer utility
at a considerable loss. In both cases, the annual deficits are funded from accumulated balances in their
respective sewer funds.
11
R:EI Segundo, City of\ES Sewer Rate Study (Aug 14)
Existing 2013 -2014
Proposed 2014 -15
Meter Size
Avg. Monthly
Water Use
Wastewater
Service Fee
Sewer Fee
Treatment Fee
Total Monthly
Bill
Wastewater
Service Fee
Sewer
Fee
Treatment
Fee
Total
Monthly Bill
5/8 "X314"
12
$ 4.49
$ 6.00
$ 10.58
$ 21.07
$ 4.85
$ 6.48
$ 13.51
$ 24.84
1"
18
$ 5.39
$ 9.00
$ 13.45
$ 27.84
$ 5.82
$ 9.72
$ 17.18
$ 32.72
As noted above, the total monthly sewer service bill of an average single family residential customer west
of Sepulveda Boulevard with a monthly water use of 12 units (1,200 cubic feet, or 8,976 gallons) is
currently $21.07. This monthly bill will increase to $24.84 with the recommended rates. El Segundo
customers east of Sepulveda pay for sewage treatment directly to Los Angeles County Sanitation District
the equivalent of $11.75 per month through their property tax bills. This is scheduled to increase to
$12.18 in 2015. This brings their total cost of sewer service to $23.51. A survey was conducted of
neighboring cities that levy sewer charges. The monthly bill for El Segundo customers is lower than for
the customers of Beverly Hills ($43.69), Culver City (33.12), Redondo Beach ($26.78); Manhattan Beach
($36.89), and Santa Monica ($44.45). Customers in Torrance ($15.76) and Inglewood ($19.25) have
lower total monthly sewer bills than El Segundo. Torrance currently has a minimal capital improvement
program and operates its sewer utility at an annual deficit. Inglewood is also operating its sewer utility
at a considerable loss. In both cases, the annual deficits are funded from accumulated balances in their
respective sewer funds.
11
R:EI Segundo, City of\ES Sewer Rate Study (Aug 14)
CITY OF EL SEGUNDO SEWER RATE STUDY 2014
$50
$45
$40
$35
$30
$25
$20
$15
$10
$5
Figure 1- Comparison of Monthly Sewer Bills to Other Agencies
Total Monthly Cost of Sewer Service
�n
A O f6 U U 0 O O
U 0 v M o w M m ca (D > m -(D m a o 000 0C
a`> M m m 0
aa)) U c ~ 0)n Q
m 0 a) a) a) °) d
m to U) 0 U)
W W
12
R:EI Segundo, City oflES Sewer Rate Study (Aug 14)
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL
SEGUNDO ESTABLISHING PROCEDURES FOR INCREASING
WATER, WASTEWATER, AND SOLID WASTE FEES IN
ACCORDANCE WITH THE REQUIREMENTS OF PROPOSITION 218.
The City Council for the City of El Segundo does resolve as follows:
SECTION 1: The City Council finds and declares as follows:
A. On July 24, 2006, the California Supreme Court confirmed that charges
for water and wastewater services are subject to Proposition 218
procedures (Bighorn - Desert View Water Agency v. Verjil (2006) 39 Cal.4th
205);
B. The City Council anticipates that there will be future increases in water,
wastewater, and solid waste rates. Adopting the policies and procedures
set forth in this Resolution will help implement the requirements set forth
in Article XIIID of the California Constitution and help ensure that the
rights of those persons that are authorized to protest service charges are
preserved;
C. Elections Code § 4000(c)(9) provides that any protest ballot proceeding
required or authorized by California Constitution Articles XIIIC or XIIID
may be conducted wholly by mail. In the event a protest ballot process is
required, the City Council seeks to achieve higher awareness of those
affected by the proposed increase, provide an orderly protest process for
both those receiving the ballots and the City, ensure to the extent
practicable that there is some verification process regarding the protests
received, and to reduce the costs of the protest ballot process; and
D. Adopting this Resolution is in the public interest for the reasons set forth
above and as further stated within Article XIIID and the Proposition 218
and state legislation relating to the implementation of Proposition 218.
SECTION 2: The City Council adopts the procedures set forth in this Resolution for
conducting all proceedings required by California Constitution Article XIIID for utility
fee (as defined below) increases. Where no specific procedures are imposed by Article
XIIID or the Proposition 218 Omnibus Implementation Act (Government Code §§ 53750,
et seq.), the procedures set forth in this Resolution apply. This Resolution may be
referred to as the "Proposition 218 Protest Proceedings Resolution."
SECTION 3: Definitions. Unless the contrary is stated or clearly appears from the
context, the following definitions govern the construction of the words and phrases used
in this Resolution. Words and phrases not defined by this Resolution will have the
Page 1 of 6
meaning set forth in California Constitution Article XIIID or the Proposition 218
Omnibus Implementation Act.
A. "Act" means the Proposition 218 Omnibus Implementation Act found at
Government Code §§ 53750, et seq.;
B. "Article 131)" means California Constitution Article XIIID, § 6;
C. "Manager" means the City Manager or designee;
D. "Property owner" has the same meaning set forth in Article 13D and also
pursuant to the Act includes tenancies of real property where tenants are
directly liable to pay the proposed water or wastewater fee or charge;
E. "Protest" means a written protest filed with the City Clerk in accordance
with Article 13D, the Act, and this Resolution as described in Article 13D,
§ 6(a)(2);
F. "Utility fee" means a fee or charge imposed for potable water, wastewater,
or solid waste services provided to customers in accordance with the El
Segundo Municipal Code ( "ESMC "), and other applicable law, by the City
of El Segundo.
SECTION 4: Calculation of the fee and proposed increase. Utility fees must be
calculated in accordance with the recommendations in the latest independent Rate Study
report or City's internal financial analysis.
SECTION 5: Administration of Proceedings. The City Manager, or designee, is
authorized to implement this Resolution in a manner consistent with the California
Constitution and other applicable law.
SECTION 6: Notice. Notice of a proposed utility fee increase is provided as follows:
A. In general, the City will identify the record property owner(s) of each
parcel to which the utility fee would be applied from it's billing system
database and /or the latest equalized tax roll produced by Los Angeles
County. The City's Utility Billing database and the equalized tax roll is
presumptive evidence of ownership of the land for voting purposes.
B. If either the City's Utility Billing Database or Los Angeles County
Recorder's website shows that more than one property owner has an
interest in a parcel, all property owners (each property owner) must
receive notice at the address shown for the property owner. Both property
owners and parties financially responsible for paying the fee will be
provided notice. In the event that notice is sent for a utility service for
which the City is not currently charging a fee, the notices will be sent to
Page 2 of 6
the property owner based upon the Los Angeles County Recorder's
website and to the street address to which the service would be provided if
the address is different than the address designated for the property owner
on the Los Angeles County Recorder's website.
C. The notice must be sent by first class mail at least forty -five (45) days
before the date set for the public hearing on the utility fee.
D. The form of the notice of hearing will be approved by the City Council
and be on file with the City Clerk.
E. The notice provided by these procedures, in accordance with Article 13D,
supersedes and is in lieu of notice required by any other statutes to levy or
increase a utility fee.
F. The City Clerk, or designee, may certify the proper mailing of notices by
an affidavit which constitutes conclusive proof of mailing in the absence
of fraud.
G. Failure of any person to receive notice does not invalidate the proceedings.
SECTION 7: Protests against Utility Fee Increases.
A. The property owner(s) of parcels subject to the proposed fee increase are
entitled to a single protest for each parcel. When a parcel is held as
community property or in joint tenancy or as a tenancy in common, any
spouse or joint tenant or tenant in common is presumed to have authority
to cast a protest on behalf of such parcel.
& Executors, administrators, and guardians may cast a protest on behalf of
the estate represented by them. If such representatives are shown on the
latest assessment roll as paying taxes and assessments on behalf of the
property owner(s), that fact establishes the right of such representative(s)
to cast a protest. If such representatives are not shown on the latest
assessment roll, the representatives may file with the City Clerk, at any
time before the commencement of the public hearing, or the date of the
election, as the case may be, certified copies of the written documentation
establishing the legal representation.
C. The protest of any public or quasi - public corporation, private corporation,
or unincorporated association may be signed by any person so authorized
in writing by the board of directors or trustees or other managing body
thereof.
D. The Manager is designated as the voting representative with respect to
City -owned property.
Page 3 of 6
E. In any case where the documentation provided to the City Clerk in is
ambiguous or unclear, the City Attorney will determine whether the
documentation is adequate for the purpose provided.
F. In the event a property owner loses or misplaces a protest ballot, upon
request by the property owner the City will provide a replacement protest
ballot unless a properly filled out protest ballot has already been received
for the parcel of property.
SECTION 8 :. Public Hearing.
A. Only protest ballots that (i) were provided by the City to the property
owner in the form approved by the Council and (ii) are properly filled out
and legibly signed by an eligible property owner is made will be counted
as a valid protest. Only one protest shall be counted for each parcel of
property regardless of the number of protests filed by property owners for
the parcel.
B. The City Clerk must stamp each written protest the date and time it is filed
with the City Clerk for purposes of establishing whether the protest was
filed before the close of the public testimony portion of the public hearing.
No protest received after the close of the public testimony portion of the
public hearing can be counted in determining the amount of protest, but
the Council may, in its discretion, consider such protests in making its
decision. Written protests may be withdrawn in writing at any time before
the conclusion of the public testimony portion of the public hearing.
C. At the time and place fixed for the hearing, or at any time to which the
hearing is adjourned, the Council must:
Hear all persons interested in the matter of the proposed fee
increase;
2. Hear all objections, protests or other written communications from
any owner of property subject to the proposed utility fee; and
Take and receive oral and documentary evidence pertaining to the
proposed fee increase.
4. The hearing may be continued from time to time, as the Council
determines necessary to complete its consideration of the proposed
fee increase.
5. If the Council determines, at the close of the public testimony
portion of the public hearing, that votes were received from
Page 4 of 6
property owners representing a majority of the parcels subject to
the proposed fee increase, the Council shall adopt a resolution
setting forth the results of the protest ballot process and the
proceedings shall then be closed and the utility fee cannot be
approved by the City Council.
6. If the Council determines at the close of the public testimony
portion of the public hearing that written protests were not received
from property owners representing a majority of the parcels subject
to the proposed utility fee, the Council shall adopt a resolution
setting forth the results of the protest ballot process and then may
by Ordinance change the utility fee so long as in an amount that
does exceed the amount and methodology set forth in the public
notices sent to the property owners.
SECTION 9: Environmental Review. This Resolution is exempt from review under the
California Environmental Quality Act (California Public Resources Code § § 21000, et
seq., "CEQA ") and CEQA regulations (14 California Code of Regulations §§ 15000, et
seq.) because it establishes rules and procedures to implement government funding
mechanisms; does not involve any commitment to a specific project which could result in
a potentially significant physical impact on the environment; and constitutes an
organizational or administrative activity that will not result in direct or indirect physical
changes in the environment. Accordingly, this Resolution does not constitute a "project"
that requires environmental review (see specifically 14 CCR § 15378(b)(4 -5)).
SECTION 10: If any part of this Resolution or its application is deemed invalid by a
court of competent jurisdiction, the city council intends that such invalidity will not affect
the effectiveness of the remaining provisions or applications and, to this end, the
provisions of this Resolution are severable.
SECTION 11: The City Clerk is directed to certify the passage and adoption of this
Resolution; and cause it to be entered into the City of El Segundo's book of original
Resolutions.
SECTION 12: This Resolution will take effect immediately day following its final
passage and adoption.
Page 5 of 6
PASSED AND ADOPTED this day of , 2014.
ATTEST:
Tracy Weaver, City Clerk
APPROVED AS TO FORM
MARK D. HENSLEY, City Attorney
Karl H. Berger, Assistant City Attorney
Page 6 of 6
Suzanne Fuentes, Mayor
October 2, 2014
IMPORTANT NOTICE TO PARCEL OWNERS
REGARDING PROPOSED INCREASES IN WATER RATE CHARGES AND
SEWER RATE CHARGES AND
NOTICE OF PUBLIC HEARING ON November 18, 2014
Dear City of El Segundo Property Owner /Water Customer:
TAKE NOTICE that on November 18, 2014, at 7:30 pm., the City Council will conduct a Public
Hearing at the City Council Chambers, 350 Main Street, El Segundo, California to consider proposed
water service rate increases associated with providing water services and wastewater collection
service rate increases to property located in the City of El Segundo. Increases are proposed to pay for
increases in the City's costs to acquire water from other agencies, to provide water and services to
properties located within the City, to provide for treatment and discharge of wastewater generated by
those properties, and to meet the regulatory obligations imposed by the State of California
Department of Public Health (DPH) and the U.S. Environmental Protection Agency (EPA).
A recently completed water rate study proposed a multi -year rate schedule to adjust water rates in an
effort to offset the City's cost of providing these services. The FY 2014 -2015 increase is proposed to
be implemented on January 1, 2015. FY 2015 -2016, FY 2016 -2017, FY 2017 -2018, FY 2018 -2019,
rate increases are proposed for implementation on the first of July and January of each subsequent
year due to how annual rate increases are passed through from the Metropolitan Water District and
West Basin Municipal Water District. Complete copies of the water study, entitled "City of El
Segundo Water Rate Study 2014" dated September 2014 are available at City of El Segundo City
Hall, 350 Main Street in the City Clerk's office.
A recently completed sewer rate study proposed a multi -year rate schedule to adjust sewer rates in an
effort to offset the City's cost of providing wastewater collection and treatment services. The FY
2014 -2015 increase is proposed to be implemented on January 1, 2015. FY 2015 -2016, FY 2016-
2017, FY 2017 -2018, FY 2018 -2019, rate increases are proposed for implementation on the first of
January of each subsequent year. Complete copies of the water study, entitled "City of El Segundo
Sewer Rate Study 2014" dated September 2014 are available at City of El Segundo City Hall, 350
Main Street in the City Clerk's office.
The proposed new rates are provided on the enclosed "Schedule of Proposed Service Charge
Increases for Potable Water" and "Schedule of Proposed Service Charge Increases for Wastewater
Collection." Review these to determine how your specific parcel would be affected. Customers are
encouraged to review water and sewer use history found on prior utility bills. Charges are based upon
a combination of meter size and actual usage. If you have any questions on the proposed increase
please call (310) 524 -2368 for assistance. Any adjustment shown, if enacted, will take effect no
earlier than January 2015.
IMPORTANT INFORMATION: If you oppose an increase to your water service charges or sewer
collection charges and wish to protest these actions, you must do so in writing before the close of the
public hearing on November 18, 2015. If you do not oppose the proposed increases, no response is
necessary. A majority protest exists if, at the end of the Public Hearing, there are valid written
protests submitted by owners of a majority of the properties subject to the fee increases. A majority
protest will result in the fee increase not being imposed. Note that no more than one protest per parcel
may be submitted. If you want more information, please contact the City's Water Division Engineer
at (310) 524 -2368.
Provided is a WATER RATE INCREASE PROTEST BALLOT. If you wish to protest
implementation of the multi -year water rate increases, you should 1) check the box on the ballot
indicating that you protest the proposed service charge increases, 2) print and sign your name on the
lines provided, 3) cut or tear off the form where indicated, 4) deliver the signed form to the City Clerk
before the close of the public hearing on November 18, 2018 by one of the following methods: U.S.
mail addressed to City Clerk/Water Rates, City of El Segundo, 350 Main Street, El Segundo,
CA 90245 or hand deliver to the City Clerk's office at the same address
Use separate envelopes for water and sewer rate increase protest ballots
WATER RATE INCREASE PROTEST BALLOT
[BAR CODE HERE]
❑ I rn otest the proposed water service charge increases for FY 2014 -2015 through 2018 -2019.
Print Legibly — Full Name
I own the property at
I am a water customer at
Signature
Address
Address
Return to: City Clerk/Water Rates, City of El Segundo, 350 Main Street, El Segundo CA
90245 before close of the public hearing to be conducted by the City Council on November 18,
2014
------------- - - - - -- cut------------ - - - - -- cut-------------- - - - - -- cut---------------- - - - - -- cut------------ - - - - --
Provided is a SEWER RATE INCREASE PROTEST BALLOT. If you wish to protest
implementation of the multi -year sewer rate increases, you should 1) check the box on the ballot
indicating that you protest the proposed service charge increases, 2) print and sign your name on the
lines provided, 3) cut or tear off the form where indicated, 4) deliver the signed form to the City Clerk
before the close of the public hearing on November 18, 2018 by one of the following methods: U.S.
mail addressed to City Clerk/Water Rates, City of El Segundo, 350 Main Street, El Segundo,
CA 90245 or hand deliver to the City Clerk's office at the same address
Use separate envelopes for water and sewer rate increase protest ballots
SEWER RATE INCREASE PROTEST BALLOT
[BAR CODE HERE]
[] I rp otest the proposed sewer service charge increases for FY 2014 -2015 through 2018 -2019.
Print Legibly — Full Name Signature
I own the property at
Address
I am a water customer at
Address
Return to: City Clerk/Water Rates, City of El Segundo, 350 Main Street, El Segundo CA
90245 before close of the public hearing to be conducted by the City Council on November 18,
2014
------------- - - - - -- cut------------ - - - - -- cut-------------- - - - - -- cut---------------- - - - - -- cut------------ - - - - --
City of El Segundo
Schedule of Propose Service Charge Increases for Potable Water
Capacity Charges (Monthly)
Meter Size
October 2014
ju!Z
2015
ul
2016
July 2019
lul 2017
July
2018
July
2019
5/8" x 3/4" and 3/4"
$
9.36
$
9.83
$
10.32
$
10.84
$
11.38
$
11.95
5/8" x 3/4" and 3/4" Lifeline
$
4.68
$
4.92
$
5.16
$
5.42
$
5.69
$
5.98
1"
$
21.23
$
22.29
$
23.41
$
24.58
$
25.81
$
27.10
1" Lifeline
$
10.62
$
11.15
$
11.70
$
12.29
$
12.90
$
13.55
2 "
$
49.29
$
51.75
$
54.34
$
57.06
$
59.91
$
62.90
3""
$
110.95
$
116.50
$
122.33
$
128.44
$
134.86
$
141.61
4"
$
196.86
$
206.71
$
217.04
$
227.90
$
239.29
$
251.25
6 "
$
368.06
$
386.46
$
405.78
$
426.07
$
447.37
$
469.74
8"
$
645.23
$
677.49
$
711.36
$
746.93
$
784.28
$
823.49
101"
$
1,009.46
$
1,059.93
$
1,112.93
$
1,168.58
$
1,227.00
$
1,288.35
12"
$
1,453.48
$
1,526.16
$
1,602.47
$
1,682.59
$
1,766.72
$
1,855.05
16"
$
2,580.90
$
2,709.95
$
2,845.44
$
2,987.71
$
3,137.10
$
3,293.96
20"
$
4,030.92
$
4,232.46
$
4,444.09
$
4,666.29
$
4,899.61
$
5,144.59
Fire Service Charges (Monthly)
Meter Size
October 2014
July 2015
July 2016
jyly 2017
July 2018
July 2019
2"
$ 46.07
$ 48.37
$ 50.79
$ 53.33
$ 56.00
$ 58.80
3"
$ 70.32
$ 73.84
$ 77.53
$ 81.40
$ 85.47
$ 89.75
4"
$ 94.58
$ 99.31
$ 104.27
$ 109.49
$ 114.96
$ 120.71
6"
$ 143.08
$ 150.23
$ 157.75
$ 165.63
$ 173.91
$ 182.61
101"
$ 240.10
$ 252.11
$ 264.71
$ 277.95
$ 291.84
$ 306.44
Option 1 *: Monthly Consumption Charges per 100 ft3
Tier
Range
2015
2016
2017
2018
2019
1
0 -5
$
2.1011
$
2.2272
$
2.3608
$
2.5024
$
2.6526
1- Lifeline
0 -5
$
1.0507
$
1.1137
$
1.1806
$
1.2514
$
1.3265
2
5 -10
$
2.8242
$
2.9937
$
3.1733
$
3.3637
$
3.5655
2- Lifeline
5 -10
$
1.4122
$
1.4969
$
1.5867
$
1.6820
$
1.7829
3
10 -15
$
3.5470
$
3.7598
$
3.9854
$
4.2245
$
4.4780
4
15 -20
$
4.2698
$
4.5260
$
4.7975
$
5.0854
$
5.3905
5
20 -30
$
3.4670
$
3.6750
$
3.8955
$
4.1293
$
4.3770
6
30 -50
$
3.6145
$
3.8314
$
4.0613
$
4.3049
$
4.5632
7
50 -100
$
3.7528
$
3.9780
$
4.2166
$
4.4696
$
4.7378
8
100+
$
3.8314
$
4.0613
$
4.3050
1 $
4.5633
$
4.8371
Option 2 *: Monthly Single Family Residence Consumption Charges per 100 ft3
New Tiers
Range
July 2016
2015
July 2018
2016
$ 0.7894
2017
$ 0.8703
2018
$ 0.9595
2019
1
0 -10
$
2.3200
$
2.4360
$
2.5578
$
2.6857
$
2.8200
1- Lifeline
0 -10
$
1.1600
$
1.2180
$
1.2789
$
1.3428
$
1.4100
2
10 -20
$
4.2698
$
4.4833
$
4.7075
$
4.9428
$
5.1900
3
20 -50
1 $
4.8500
1 $
5.0925
$
5.3471
$
5.6145
$
5.8952
4
50+
$
4.2698
1 $
4.4833
$
4.7075
$
4.9428
$
5.1900
Option 2 *: Monthly Multi Family and Non- Residential Consumption Charges
per 100 ft3
New
Tiers
Range
July 2016
2015
July 2018
2016
$ 0.7894
2017
$ 0.8703
2018
$ 0.9595
2019
1
0 -10
$
2.8242
$
2.9654
$
3.1137
$
3.2694
$
3.4328
2
10 -20
$
3.4500
$
3.6225
$
3.8036
$
3.9938
$
4.1935
3
1 20 -50
1 $
3.6500
1 $
3.8325
$
4.0241
$
4.2253
$
4.4366
4
50+
1 $
3.8314
1 $
4.0230
$
4.2241
$
4.4353
$
4.6571
Recycled Water Sur cbarge per 100 ft3*
July 2014
July 2015
July 2016
Jul 2017
July 2018
4u12
$ 0.7894
$ 0.8289
$ 0.8703
$ 0.9138
$ 0.9595
* If the Metropolitan Water District and /or West Basin Municipal Water District
increase rates beyond the annual percentage increase identified in the above tables,
then the City's annual water rates will also increase by the same percent.
City of El Segundo
Schedule of Propose Service Charge Increases for Wastewater Collection
Monthly Wastewater Service Fees
2014 -15
2015 -16
2016 -17
12017 -18
2018 -19
Single Family Residential
3/4'
$
4.85
$ 5.24
$ 5.66
$
6.11
$
6.60
1"
$
5.82
$ 6.29
$ 6.79
$
7.33
$
7.92
1.5`"
$
6.31
$ 6.81
$ 7.36
$
7.95
$
8.58
2'"
$
6.79
$ 7.34
$ 7.92
$
8.56
$
9.24
Multi- family Residential
3/4'
$
7.77
$ 8.39
$ 9.06
$
9.78
$
10.56.
1"
$
10.92
$ 11.79
$ 12.74
$
13.75
$
14.85
1.5"
$
16.49
$ 17.81
$ 19.24
$
20.77
$
22.44
2"
$
36.39
$ 39.30
$ 42.44
$
45.83
$
49.50
3"
$
126.14
$ 136.24
$ 147.13
$
158.91
$
171.62
4"
$
169.81
$ 183.39
$ 198.06
1 $
213.91
$
231.02
Lifeline
3/4'
$
2.43
$ 2.62
$ 2.83
$
3.06
$
3.31
1"
$
2.43
$ 2.62
$ 2.83
$
3.06
$
3.31
Commercial (West)
3/4'
$
5.34
$ 5.76
$ 6.22
$
6.72
$
7.26
1"
$
13.82
$ 14.93
$ 16.12
$
17.41
$
18.81
1.5"
$
24.26
$ 26.20
$ 28.29
$
30.56
$
33.00
2"
$
63.07
$ 68.12
$ 73.57
$
79.45
$
85.81
3"
$
135.84
$ 146.71
$ 158.45
$
171.12
$
184.81
4"
$
509.41
$ 550.17
$ 594.18
$
641.72
$
693.05
61"
$
509.41
$ 550.17
$ 59.4.18
$
641.72
$
693.05
Commercial (East)
1"
$
5.34
$ 5.76
$ 6.22
$
6.72
$
7.26
1.5 "
$
33.97
$ 36.68
$ 39.62
$
42.79
$
46.21
2"
$
97.03
$ 104.79
$ 113.17
$
122.23
$
132.00
3""
$
135.84
$ 146.71
$ 158.45
$
171.12
$
184.81
4"
$
218.32
$ 235.79
$ 254.65
$
275.02
$
297.02
6"
$
557.93
$ 602.56
$ 650.77
$
702.83
$
759.05
Industrial (West)
3/41"
$
4.85
$ 5.24
$ 5.66
$
6.11
$
6.60
1"
$
5.82
$ 6.29
$ 6.79
$
7.33
$
7.92
1.5"
$
17.95
$ 19.39
$ 20.94
$
22.61
$
24.42
2 "
$
53.36
$ 57.63
$ 62.24
$
67.22
$
72.60
3"
$
135.84
$ 146.71
$ 158.45
$
171.12
$
184.81
4"'
$
194.07
$ 209.59
$ 226.36
$
244.47
$
264.02
,6l'
$
194.07
$ 209.59
$ 226.36
$
244.47
$
264.02
Industrial (East)
3/4"
$
5.34
$ 5.76
$ 6.22
$
6.72
$
7.26
1"
$
13.34
$ 14.41
$ 15.56
$
16.80
$
18.15
1.5"
$
24.26
$ 26.20
$ 28.29
$
30.56
$
33.00
21"
$
53.36
$ 57.63
$ 62.24
$
67.22
$
72.60
3"
$
218.32
$ 235.79
$ 254.65
$
275.02
$
297.02
4"
$
339.61
$ 366.77
$ 396.12
$
427.81
$
462.03
,6"
$
921.801
$ 995.55
1 $ 1,075.191
$
1,161.20
$
1,254.10
Institutional
3/4"
$
4.85
$ 5.24
$ 5.66
$
6.11
$
6.60
1"
$
6.79
$ 7.34
$ 7.92
$
8.56
$
9.24
1.5"
$
10.18
$ 11.00
$ 11.88
$
12.83
$
13.86
2"
$
14.56
$ 15.72
$ 16.98
$
18.34
$
19.81
3"
$
38.82
$ 41.92
$ 45.27
$
48.90
$
52.81
4"
$
48.51
1 $ 52.39
1 $ 56.59
1 $
61.11
$
66.00
6"
$
48.51 1
$ 52.39
1 $ 56.59
1 $
61.11
$
66.00
Monthly Sewer Fees (per CCF sewage generation)
Treatment Fee (Monthly)
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Single Family Residential
$
0.54
$
0.58
$
0.63
$
0.68
$
0.73
Multi- family Residential
$
0.67
$
0.72
$
0.78
$
0.84
$
0.91
Lifeline
$
0.27
$
0.29
$
0.31
$
0.34
$
0.37
Commercial
$
0.77
$
0.83
$
0.89
$
0.97
1 $
1.04
Industrial
$
0.77
$
0.83
$
0.89
$
0.97
$
1.04
Institutional
$
0.67
1 $
0.72
$
0.78
1 $
0.841
$
0.91
Treatment Fee (Monthly)
2014 -15
2015 -16
2016 -17
2017 -18
2018 -19
Single Family Residential
3/4'
$
13.51
$
15.59
$
16.63
$
16.63
$
16.63
10"
$
17.18
$
19.82
$
21.15
$
21.15
$
21.15
1.5"
$
18.59
$
21.45
$
22.87
$
22.87
$
22.87
2"
$
19.74
$
22.77
$
24.29
$
24.29
$
24.29
Multi- family Residential
3/4'
$
22.33
$
25.76
$
27.48
$
27.48
$
27.48
1"
$
31.28
$
36.10
$
38.50
$
38.50
$
38.50
1.5"
$
47.72
$
55.07
$
58.74
$
58.74
$
58.74
2"
$
107.03
$
123.50
$
131.73
$
131.73
$
131.73
3 "
$
363.80
$
419.77
$
447.75
$
447.75
$
447.75
4"
$
500.58
$
577.59
$
616.10
$
616.10
$
616.10
Lifeline
3/4'
$
6.76
$
7.80
$
8.32
$
8.32
$
8.32
1"
$
8.60
$
9.92
$
10.58
$
10.58
$
10.58
Commercial
3/4'
$
15.94
$
18.39
$
19.62
$
19.62
$
19.62
11"
$
39.79
$
45.91
$
48.97
$
48.97
$
48.97
1.5"
$
73.27
$
84.54
$
90.18
$
90.18
$
90.18
2 "
$
193.15
$
222.87
$
237.73
$
237.73
$
237.73
3'"
$
358.00
$
413.08
$
440.61
$
440.61
$
440.61
4"
$
1,529.74
$
1,765.09
$
1,882.76
$
1,882.76
$
1,882.76
60'
$
1,529.741
$
1,765.09
1 $
1,882.76
1 $
1,882.76
1 $
1,882.76
Industrial
3/4"
$
13.22
$
15.25
$
16.27
$
16.27
$
16.27
11'
$
17.87
$
20.62
$
21.99
$
21.99
$
21.99
1.5"
$
51.63
$
59.58
$
63.55
$
63.55
$
63.55
2"
$
157.62
$
181.87
$
193.99
$
193.99
$
193.99
3 "
$
395.11
$
455.89
$
486.29
$
486.29
$
486.29
4"
$
561.35
$
647.71
$
690.89
$
690.89
$
690.89
6"
$
561.35
$
647.71
$
690.89
$
690.89
$
690.89
Institutional
3/41"
$
12.49
$
14.41
$
15.38
$
15.38
$
15.38
V.
$
19.79
$
22.83
$
24.35
$
24.35
$
24.35
1.5 "
$
30.11
$
34.74
$
37.06
$
37.06
$
37.06
2"
$
45.65
$
52.68
$
56.19
$
56.19
$
56.19
3"
$
113.21
$
130.63
$
139.34
$
139.34
$
139.34
4"
$
134.06
$
154.69
$
165.00
$
165.00
$
165.00
6"
$
134.06
1 $
154.69 1
$
165.00
$
165.00
$
165.00
EL SEGUNDO CITY COUNCIL MEETING DATE: September 16, 2014
AGENDA ITEM STATEMENT AGENDA HEADING: City Council Reports
AGENDA DESCRIPTION:
Discussion and possible action regarding a request from local business owners Kimberly and Ben Wakefield
for deferment of newly established fees for a facility reservation permit at Library Park. (Fiscal Impact: To
Be Determined)
RECOMMENDED COUNCIL ACTION:
(1) Determine the outcome of the fee waiver request; and,
(2) Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
(1) Request Email from Ben Wakefield
FISCAL IMPACT: To Be Determined
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: Michael Dugan, City Council Member
REVIEWED BY: Meredith Petit, Director of Recreation and Parks Alki
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND & DISCUSSION:
On May 20, 2014, the City Council approved a fee schedule establishing new hourly rates for facility
reservation permits within the parks and recreation facilities operated by the Department of Recreation and
Parks. On August 1, 2014, the Department posted notification to the public indicating the new fees would be
effective September 1, 2014. It was also determined that reservations booked prior to August 1, 2014, would
pay the previous fees that were originally quoted upon the date of the booking. Any reservations booked
after the public notification would be quoted fees at the new rates.
Local business owners Ben and Kimberly Wakefield have been operating their Soccer Tots program at
Library Park since April of 2011 on a park reservation basis. The process for reserving the park area for
their program is completed through the following steps: the business completes and submits a permit
application form, staff checks park availability and quotes the price as indicated on the fee schedule, the
business submits payment, and staff issues the permit for facility usage. The Library Park hourly fee for an
El Segundo For - Profit Business was previously $25 /hour. The newly approved fee is $100 /hour.
In early August, Recreation and Parks staff notified the business of the upcoming change in reservation fees.
On August 26, 2014, the Department received a request via email from Mr. Wakefield to consider the
deferment of the fee increase for their upcoming Fall Program Session. On that date, staff had not yet
received a permit application for their upcoming dates, and therefore no permit had been issued. Staff
provided insight and advisement to the Wakefields on the protocol for appealing fees to City Council. On
August 28, 2014, Ms. Wakefield submitted a request via email to two Council Members, Suzanne Fuentes
and Mike Dugan. Mr. Dugan has requested that this item be discussed among the entire City Council for
consideration and possible action.
Furthermore, the Wakefields have requested the City consider a 25% revenue - sharing agreement in lieu of
hourly reservation fees for their program moving forward. This type of agreement would require a License
Agreement to be drafted and approved by staff, the City Attorney, and City Council.
Petit, !Meredith
From: Ben Wakefield [ben@orangeheadsportsia.com)
Sent: Thursday, September 04, 2014 5:03 PM
To: Petit, Meredith
Subject: RE: Request for Fee Increase deferral for Fall session
Hi Meredith,
Thank you for taking the time to put together a recommendation for the City Council meeting on
September 16th. We have also reached out to Mayor Fuentes, and she has acknowledged that she will
be receiving a recommendation from you. Below is what we are proposing. Please let me know if you
have any questions or need more information.
1.) Present: We are requesting to receive a stay of execution for our Library Park rental fees for the
duration of our Fall session. Our Fall session reservation times are as follows:
Saturdays, September 6th — November 15th (excluding November 1St) from 9:OOAM —
1:30PM
Thursdays, September 11th — November 20th (excluding October 16th) from 3:OOPM —
S:OOPM
We opened registration for our Fall session on July 1St, and have already collected registrations
and payments from our participants. When we set the prices for the Fall session we did so with
the expectation that we would be paying the same $25 per hour rental fee that we have paid for
the last 3.5 years. We physically do not have the capital to accommodate a $100 per hour park
rental fee.
2.) Future: Going forward, we are hoping to work out an agreement with the City that will allow us
to continue operating. We are proposing a 25% gross revenue sharing agreement.
Allow me to illustrate using our 10 -week Summer 2014 session, and what the proposed
increases would mean.
For our 10 -week Summer session in El Segundo, we generated $10,835 in gross revenue.
Hourly Rate
Total Park Rental Fees
Percentage of Gross Income
$25
$1875
173%
$100
$7500
69.2%
Paying the newly implemented $100 per hour park rental fee would result in 69.2% of our gross
revenue going just to field space rentals. We would only retain 30.8% of our income, and that is
before paying payroll, taxes, insurance, etc. There is absolutely no way we can sustain that.
A 25% gross revenue sharing agreement would stilt result in a substantial percentage increase in
rental fees, but it is something that is sustainable to us as a business going forward. Also, as we
grow it would increase the amount of money that we are providing the City and would allow us
to experiment more with adding new classes.
Going back to our Summer session example of $10,835 gross revenue, with a 25% gross
revenue sharing fee:
Total Park Rental Fees: $2705
Percentage increase from previous $25 per hour rental fee: 44.2 %.
in this example, a 25% gross revenue sharing model would increase the amount that we have
been paying the City to rent Library Park by 44.2% - a substantial percentage increase, though
something we can sustain (unlike the newly implemented 400% increase).
9/8/2014
For this profit sharing model, we could provide payment in several ways, depending upon what is most convenient for the
City.
• Monthly payments based on income; We will provide a monthly statement breakdown of the income per class,
and submit payment based on that breakdown. This allows us to accommodate for customers that join midsession
for a prorated fee and ensures that the City is receiving adequate payment.
• Payment at the end of the session based on complete numbers: Since we allow participants to join midsession at
prorated fee, we don't have the full income information until the end of the session. This would allow the city to
receive a complete lump sum payment based on every dollar we received throughout the session.
• Payment at the beginning of the session based on customers registered, with an additional payment made at the
end of the session to accommodate for any late joiners.
We have explored the option of becoming part of the Parks & Rec department on several occasions, but because we would be
required to allow Parks & Rec to handle all of our registrations, and our fee structure and payments would be out of our hands, It is
just something that we cannot do. It has never been about the profit sharing.
Now for the subjective justification... We are truly optimistic that we will be able to come to an agreement with the City. We have
spent the last 4 years working hard to build a strong business relationship with the City and becoming part of the community. We
have lived here for nearly 10 years, and have a daughter who has gone through the ES school district since TEDDE. She just started
at ESMS this year. Our business is small, locally owned, and caters primarily to El Segundo residents. We have always tried to be
flexible and accommodate other events in Library Park. We only use a small portion of the park, and over the years we have
happily shared it with many families, dog walkers, yoga groups, personal trainers, sports pictures, and even a wedding. We
graciously relocate or reschedule our classes when other events are taking place in Library Park that preclude us from utilizing the
space. We try to give back to the community in as many ways as we can, both personally and professionally. Our business has
donated to Eagles Nest, the Richmond Street Fall f=estival, the Center Street Ice Cream Social, and the El Segundo Movie in the
Park. My wife and I have volunteered at Richmond Street School for many years, and now both hold PTA Board positions. (I am thl
Race Director for the Run for Education, and she is the Middle School Founders Day Tea Committee Chair.) We consistently
contribute to the Ed l Foundation. I coach and referee AYSO soccer. We love this city and the fact that owning a business here
allows us to give back to it. My wife and I ARE this company, and even in the instances where our business' name has not been
directly affiliated with monetary or temporal contributions it is this business that allows us to give back.
Thank you for taking the time to work with us on this. It means a great deal to us. Please feel free to reach out with any questions.
-Ben