2019 Feb 05 - CC PACKET AGENDA
y EL SEGUNDO CITY COUNCIL
VILEST CONFERENCE ROOM -
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.
MEETING OF THE EL SEGUNDO CITY COUNCIL
TUESDAY, FEBRUARY 5, 2019 — 5:00 PM
5:00 P.M. SESSION
CALL TO ORDER
ROLL CALL
PUBLIC COMMUNICATION — (Related to Citv 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.
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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 sem.) 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
ollows.CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION (Gov't Code
§54956.9(d)(1): -2- matters
1. Galloway v. City of EI Segundo, Los Angeles Superior Court Case No.
BC709378
2. City Employees Association v. City of EI Segundo, Public Employment Relations
Board
CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION
Significant exposure to litigation pursuant to Government Code §54956.9(d)(2): -1-
matters.
Initiation of litigation pursuant to Government Code §54956.9 (d)(4): -1- matters.
DISCUSSION OF PERSONNEL MATTERS (Gov't Code §54957): -0- matters
APPOINTMENT OF PUBLIC EMPLOYEE (Gov't. Code § 54957): -0- matter
PUBLIC EMPLOYMENT (Gov't Code § 54957) -0- matter
CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Gov't Code §54956.8): -0-
matters
CONFERENCE WITH CITY'S LABOR NEGOTIATOR (Gov't Code §54957.6): -6-
matters
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1. Employee Organizations: Police Management Association; Police Support
Services Employees Association; Supervisory, Professional Employees
Association, City Employee Association; and Executive and
Management/Confidential Employees (unrepresented groups).
Agency Designated Representative: Irma Moisa Rodriquez, City Manager, Greg
Carpenter and Human Resources Director.
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AGENDA
EL SEGUNDO CITY COUNCIL
rte` COUNCIL CHAMBER —
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, FEBRUARY 5 - 7:00 P.M.
7:00 P.M. SESSION
CALL TO ORDER
INVOCATION — Pastor Wes Harding, The Bridge
PLEDGE OF ALLEGIANCE — Council Member Pimentel
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PRESENTATIONS
a) Proclamation — Sue Carter Friends of the EI Segundo Library Community Room
b) Presentation — HR Department to introduce new employee, Sylvana Tamura, Sr.
Analyst.
ROLL CALL
PUBLIC COMMUNICATIONS — (Related to Citv 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)
C. UNFINISHED BUSINESS
1. Consideration and possible action regarding a discussion on the City's
accomplishments made towards addressing the California Public
Employees Retirement System (CaIPERS) rising annual costs and long-
term liabilities.
(Fiscal Impact: None)
Recommendation — 1) Consideration and possible action regarding a discussion
on the City's accomplishments made towards addressing the California Public
Employees Retirement System (CaIPERS) rising annual costs and long-term
liabilities; 2) Alternatively, discuss and take other action related to this item.
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D. REPORTS OF COMMITTEES, COMMISSIONS AND BOARDS
2. Consideration and possible action to adopt a Resolution adopting the
revised Technology Committee Bylaws.
(Fiscal Impact: None)
Recommendation — 1) Adopt a Resolution adopting the revised Technology
Committee Bylaws; 2) Alternatively, discuss and take other action related to this
item.
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 3024396 through 3024504 and 9000700 through 9000737
on Register No. 8a in the total amount of $599,701.88 and Wire Transfers
from 1/7/19 through 1/13/19 in the total amount of $2,726,939.40. Warrant
Numbers 3024505 through 3024623 and 9000738 through 9000740 on
Register No. 8b in the total amount of $367,203.60 and Wire Transfers from
1/14/19 through 1/20/19 in the total amount of $436,097.39. Warrant
Numbers 3024624 through 3024682 and 9000741 through 9000742 on
Register No. 8c in the total amount of $126,018.22 and Wire Transfers from
1/21/19 through 1/27/19 in the total amount of$309,880.33.
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 January 15, 2019.
Recommendation — 1) Approval
5. Consideration and possible action regarding Environmental Assessment
No. EA-1231, Zone Text Amendment No. ZTA 18-05 to amend Article A of
Chapter 7 of Title 15 of the EI Segundo Municipal Code related to the
Medium Density Residential (MDR) overlay zone. This amendment will
preserve the existing overlay while making important updates to bring it
into compliance with the new Smoky Hollow Specific Plan.
(Fiscal Impact: None)
Recommendation — 1 Waive second reading and adopt Ordinance No. 1580 for
Environmental Assessment No. EA-1231 and Zone Text Amendment No. ZTA
18-05; 2) Alternatively, discuss and take other action related to this item.
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6. Consideration and possible action regarding City Council approval of
Environmental Assessment No. EA-1232 and Zone Text Amendment No.
ZTA 18-06 to allow massage establishments as a conditionally permitted
use in the Commercial Center (C-4) zone. (Applicant: City of EI Segundo)
Address: Citywide
(Fiscal Impact: None)
Recommendation — 1) Waive second reading and adopt Ordinance No. 1579 for
Environmental Assessment No. EA-1232 and Zone Text Amendment No. ZTA
18-06 to allow massage establishments as a conditionally permitted use in the
Commercial Center (C-4) zone; 2) Alternatively, discuss and take other action
related to this item.
7. Consideration and possible action regarding a request for the allowance of
two new restaurants to serve beer and wine (BBCM), and serve beer, wine,
and distilled spirits (Chin Chin) for on-site consumption. The restaurants
are located within the Urban Mixed Use South Zone at 2041 Rosecrans
Avenue, Suites 120 and 140. EA 1234 AUP 18-05 and EA 1235 AUP 18-06.
Applicant: Wonton Group, LLC.
(Fiscal Impact: None)
Recommendation — 1) Receive and file this report without objecting to the
issuance of the two alcohol permits for the new restaurants at 2041 Rosecrans
Ave, Suites 120 and 140; 2) Alternatively, discuss and take other action related
to this item.
8. Consideration and possible action to accept as complete the FY 17118
Pavement Rehabilitation Project, Project No. PW 18-18.
(Fiscal Impact: $1,201,026.37)
Recommendation — 1) Accept the work as complete; 2) Authorize the City Clerk
to file a Notice of Completion with the County Recorder's Office; 3) Authorize to
increase the construction related contingencies from $105,000 to $112,384.37;
4) Authorize to transfer $57,752.13 from the Sewer Enterprises fund account
#502-400-8204-8647 to #106-400-8203-8943 (State Gas Tax Fund); 5)
Alternatively, discuss and take other action related to this item.
9. Consideration and possible action to accept as complete the Police
Department Floor Replacement, Project No. PW 18-02.
(Fiscal Impact: $251,549.50)
Recommendation — 1) Accept the work as complete; 2) Authorize the City Clerk
to file a Notice of Completion with the County Recorder's Office, 3) Alternatively,
discuss and take other action related to this item.
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10.Consideration and possible action to continue deliberation on the potential
adoption of solid waste collection and disposal fees for one and two unit
residential properties to February 19, 2019, when the Council will also
consider approving a franchise agreement with EDCO to provide solid
waste collection and disposal services for these properties. The Council
held a public hearing on the proposed solid waste collection and disposal
rates on November 6, 2018, and continued its deliberations to this February
5, 2019 Council Meeting.
(Fiscal Impact: None)
Recommendation — 1) Consideration and possible action to continue deliberation
on the potential adoption of solid waste collection and disposal fees for one and
two unit residential properties to February 19, 2019, when the Council will also
consider approving a franchise agreement with EDCO to provide solid waste
collection and disposal services for these properties; 2) Alternatively, discuss and
take other action related to this item.
F. NEW BUSINESS
11.Consideration and possible action to approve the proposed fee schedule
for the City of EI Segundo — Wiseburn Unified School District Aquatics
Center (2240 E. Grand Avenue) to establish user group categories and
long-term rental rates at a discounted rate from the previously-approved
hourly rental rates and approve the selection of Alpha Aquatics, Beach
Cities Swimming, SCAQ, and Tower 26, as primary long-term user groups
of the facility.
(Fiscal Impact: Estimated Annual Revenue $340,000)
Recommendation — 1) Approve the proposed fee schedule to establish
discounted rental rates by user group category and long-term "bulk rate"; and, 2)
Approve the selection of Alpha Aquatics, Beach Cities Swimming, SCAQ, and
Tower 26 as initial primary users of the Aquatics Center for a term of one-year;
and/or, 3) Alternatively, discuss and take other action related to this item.
12.Consideration and possible action to receive and file a presentation on the
City's second annual customer satisfaction survey results that were
conducted with residents and businesses which were based on the Net
Promoter Score methodology and part of the City's strategic work plan.
(Fiscal Impact: $20,000.00)
Recommendation — 1) City Council receive and file a presentation on the City's
second annual customer satisfaction survey; 2) Alternatively, discuss and take
other action related to this item.
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13.Consideration and possible action to receive and file a report on the 2018
year-end crime summary as well as Police Department efforts to reduce
crime and address quality of life issues.
(Fiscal Impact: N/A)
Recommendation — 1) Receive and file report; 2) Alternatively, discuss and take
other action related to this item.
14.Consideration and possible action to receive and file results for the first
and second quarter customer service transaction point survey conducted
at various customer service areas/departments within the City, explore
discussion of evaluating the current effectiveness of the transaction point
survey, and recommendations for potential restructure of the process
during the Fiscal Year 2019-20 Strategic Planning and Budgeting sessions.
(Fiscal Impact: $0)
Recommendation — 1) Receive and file results for the first and second quarter
transaction point survey; 2) Consider possible action to explore reevaluating the
current transaction point survey structure during the Fiscal Year 2019-20
Strategic Planning and Budgeting sessions; 3) Alternatively, discuss and take
other action related to this item.
G. REPORTS — CITY MANAGER
H. REPORTS — CITY ATTORNEY
I. REPORTS — CITY CLERK
J. REPORTS — CITY TREASURER
K. REPORTS — CITY COUNCIL MEMBERS
Council Member Pimentel —
Council Member Nicol —
Council Member Brann —
Mayor Pro Tem Pirsztuk —
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Mayor Boyles —
PUBLIC COMMUNICATIONS — (Related to Citv 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 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.
REPORT OF ACTION TAKEN IN CLOSED SESSION (if required)
ADJOURNMENT
POSTED:
DATE:
TIME:
NAME:
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a) PROCLAMATION
Sue Carter Friends of the EI Segundo Library Community Room
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b) PRESENTATION
HR Department to introduce new employee, Sylvana Tamura, Sr. Analyst
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EL SEGUNDO CITY COUNCIL MEETING DATE: February 5, 2019
AGENDA STATEMENT AGENDA HEADING: Unfinished Business
AGENDA DESCRIPTION:
Consideration and possible action regarding a discussion on the City's accomplishments made
towards addressing the California Public Employees Retirement System (CalPERS)rising annual
costs and long-term liabilities. (Fiscal Impact: $0)
RECOMMENDED COUNCIL ACTION:
1. Consideration and possible action regarding a discussion on the City's
accomplishments made towards addressing the California Public Employees
Retirement System (Ca1PERS)rising annual costs and long-term liabilities.
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
A. Informational brochure on the City's accomplishments towards addressing the
financial issues related to the CalPERS pension costs and liabilities.
B. Bartel &Associates report on the City's unfunded pension liabilities
C. League of California Cities Retirement Sustainability Fact Sheet
FISCAL IMPACT: None
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
STRATEGIC PLAN:
Goal: 5(b) Champion Economic Development and Fiscal Sustainability:
El Segundo approaches its work in a financially disciplined and
responsible way
Objective: 2 The City will maintain a stable, efficient, and transparent financial
environment
ORIGINATED BY: Joseph Lillio, Director of Finance
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
At the December 21, 2016 CalPERS Board (the "Board") meeting, it was approved by the Board
to lower the CalPERS discount rate assumption. The discount rate, or long-term rate of return,
was adjusted from 7.5% to 7.0%. This adjustment will be phased in over a three year period.
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The result of this Board action is an increase of public agency employee contribution costs
beginning in Fiscal Year(FY) 2018-19.
The phase-in of the discount rate change approved by the Board for the next three years is as
follows:
Valuation Date FY for Required Contribution Discount Rate
June 30, 2016 2018-19 7.375%
June 30, 2017 2019-20 7.25%
June 30, 2018 2020-21 7.00%
The lowering of the discount rate had an adverse effect on the City's annual pension related costs
to Ca1PERS. The City's pension plans will see an increase in both the normal cost (the cost of
pension benefits accruing in one year for active members) and the accrued liabilities (the future
cost of pension benefits). These increases to the normal cost and accrued liabilities will result in
higher required employer contributions beginning in FY 2018-19. In addition to the lowering of
the discount rate, Ca1PERS is contemplating additional changes to the pension system to further
mitigate risk. These changes will have added budgetary pressures to the City of El Segundo.
At the request of Dr. Brann, on April 4, 2017, staff brought forth a Council report to consider the
concept of forming an ad-hoc committee in order to effectively address the rising pension costs,
the fiscal challenges, as well as potential solutions the City will need to confront in the coming
years. The composition of this ad-hoc committee was scheduled for the following Council
meeting.
April 18, 2017, City Council approved the formation of an ad-hoc pension committee and
appointed two Council Members to the ad-hoc committee: Mayor Boyles and Council Member
Dr. Brann. This ad-hoc committee was tasked with exploring potential solutions to effectively
address the rising pension costs the City will need to confront in the coming years.
The first ad-hoc meeting was conducted on June 5, 2017 and included the following participants:
• Mayor pro tem Drew Boyles • One Executive/Managerial
• Council Member Dr. Brann representative from each department
• City Manager Greg Carpenter i Two representatives from each of the
• Finance Director Joseph Lillio bargaining units (a primary &
• Finance Manager alternate)
There were five additional ad-hoc meetings in 2017, that were heavily attended, and then the
meetings went to a quarterly rotational schedule beginning in 2018, with the last meeting held on
October 16, 2018. Bartel Associates came to the October meeting and presented a detailed
report on the status of the City's pension plans. Mary Beth from Bartel Associates provided a
presentation (exhibit B) about the City's unfunded pension liabilities, what steps the City has
taken so far to address these liabilities, and potential steps it can take in subsequent years to
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continue addressing the unfunded pension liability of approximately $130 million to the
California Public Employees' Retirement System (CalPERS).
In addition to forming an ad-hoc committee, the City took the position to have a proactive voice
and directly participate in a CalPERS Board meeting in order to have a unique opportunity to
directly impact CalPERS policy. Mayor pro tem Boyles and the Director of Finance, Joseph
Lillio, attended and represented the City of El Segundo's interests at the CalPERS Board
workshop and Board meeting in Sacramento on November 14-15, 2017.
The CalPERS Board workshop included discussion on the various factors impacting the pension
formula (the discount rate, mortality assumptions, market rate assumptions (how much the fund
is projected to earn in the next 10, 20 and 30 years), economic inflation rates, how the assets are
invested (percent in equities versus percent in fixed income), divestment from particular sectors
of the market, social policy, etc. The discussions that came out of this workshop had a direct
influence on CalPERS policy and the rates charged to member agencies. The League of
California Cities (the "League") encouraged member agencies to attend this workshop that only
occurs once every four years. The workshop was well attended by other member agencies and
League representatives.
The League also has seven unique policy committees that allow California cities to debate issues
facing the state and establish policy directions on those issues. The Committee on Governance,
Transparency and Labor Relations (GTLR) is one of the policy committees. One of the main
areas of focus for this committee is to review state legislation as it relates to pension and workers
compensation reform as well as other labor (employer/employee) related issues. The League's
GTLR committee has been very proactive with policy direction on pension reform and guidance.
The Director of Finance, Joseph Lillio, has been appointed to the GTLR committee as a voting
committee member in 2018 and reappointed for 2019. The GTLR committee has presented
pension policy reform to the CalPERS Board and Governor's Office. The City of El Segundo
and the League's efforts to have more local influence on CalPERS board policy is an approach
worthy of continuing to explore moving forward.
Through the process of actively engaging in this very important topic, the City Council and staff
have become well versed on CalPERS pensions and the significant challenges that are eminent in
the coming years. This has allowed the City to effectively position itself to successfully manage
the fiscal challenges facing the City in the years to come.
Through City Council's prudent actions, the City has saved a total of $6,153,000. This
savings has been implemented over the past two years through being proactive & strategic at
addressing the rising pension costs. The details of these savings are as follows as well as
outlined in a pension FAQ (exhibit A):
• Additional Payment towards Unfunded Pension Liabilities in FY 2017-18 and 2018-
19 in the total amount of $3,401,141 (direct reduction of principal) resulting in a
savings of$3,745,000 in interest payments to CalPERS over the next 25-30 years
• Complete Fresh Start (Refinance): In December 2017 City Council approved staff
recommendations to refinance the Miscellaneous Plan (refinanced from 30 years to
22 years), PD 2nd Tier Plan (refinanced to 10 years), and PD PEPRA Plan (refinanced
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to 10 years). The City saved $1.86 million in interest payments to CalPERS over the
next 30 years by adopting the recommendations.
• Pre-payment of the Annual Unfunded Liability (UAL)
o Prepaid the UAL for FY 2017-18, saving $258,000 (immediate savings)
o Prepaid the UAL for FY 2018-19, saving$290,000(immediate savings)
o The City will continue to evaluate this approach each fiscal year. It is
estimated that the savings in subsequent years will be $300,000+per year.
• Set-up IRS Section 115 Pension Trust—Pension Stabilization Fund with PARS
o Initial deposit of$1,000,000 made in April 2018
o Additional $1,000,000 deposit made in October 2018
o $2,000,000 principal plus interest at an annual rate of—5%-6%
• Creation of 2nd Misc Tier (2%@55 to 2% @ 60 was effective 1/l/2013) and 2nd PD
Tier(3% @50 to 3% @ 55 was effective Nov. 2012)
• All Miscellaneous (non-sworn) employees are paying their full employee share of
pension costs, 7%, as of January 1, 2018.
• All Public Safety employees (except police management) are paying their full
employee share of pension costs, 9%, as of June 1, 2017 and will begin paying an
additional 3%, for a total of 12%, as of November 24, 2018.
Staff will continue to seek opportunities to reduce the City's short-term and long-term exposure
to the risks associated with managing public employees' pensions. The City will also continue to
be proactive and engaged in finding viable solutions to address the fiscal concerns with the
CalPERS pension system. Taking this active approach will give the City the flexibility to
successfully navigate the looming fiscal challenges that lie ahead.
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Ct. " 1
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V RVQ E1N FAQ
Fiscal Year 2018-2019
PENSION CORT-1;
OVERVIEWS & FAQS
A „ f - r Over the past two years the City pro activelly &
strategically addressed the rising pension
costsa
FAQ: How much have we saved?
Answer: Total cost savings of $6,153,000.
AM
® Additional paymeni towards Unfunded Pension
* Liabilities. (FY17-18)
FAQ: How much have we paid and what were the
results?
Answer: In FY17-18 the City made a payment of
$1,901,141 (direct reduction of principal) resulting in
savings of $2,587,000 in interest payments to
CaIPERS over the next 25 years.
� + Cava Page 1
Fiscal Year 2018-2019
Prepared by Finance Department
- 18
1
•A a -� •' •�l Rt
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IGUNUO
•INCO■/���il0 111]
OVERVIEWS & FAQS
(CONTINUED )
Mon • Additional payment towards Unfunded Pension
-Liabilities- (FY18-19)
y ' 1 FAQ: How much have we paid and what were the
results?
Answer: In FY18-19 the City made a payment of
$1,500,000 (direct reduction of principal) resulting in
savings of $1,158,000 in interest payments to
CaIPERS over the next 25 years.
• Complete Fresh Start (Refinance)
FAQ: How was refinancing structured and what were
the results?
Answer: In December 2017 City Council approved
staff recommendations to refinance the
Miscellaneous Plan (refinanced from 30 years to 22
years), PD 2nd Tier Plan (refi to 10 years), and PD
i_ PEPRA Plan (refi to 10 years). The City saved $1.86
., million in interest payments to CaIPERS over the
next 30 years.
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Page 2
Fiscal Year 2018-2019
Prepared by Finance Department 19
L SEGUNOD
i
r� '
•iar.aarnaarrn tatr
OVERVIEWS & FAQS
(CONTINUED )
•
Pre-payment of the Annual Unfunded Liability
(UAL)
aw., � _" v4g FAQ: What were the results of the pre-payment?
Answer:
-Prepaid the UAL for FY 2017-18, saving $258k
(immediate savings).
-Prepaid the UAL for FY 2018-19, saving $290k
(immediate savings).
• Set-up IRS Section 115 Pension Trust - Pension
Stabilization Fund with PARS
FAQ: How is the trust structured?
Answer:
-Initial deposit of $1,000,000 made in April 2018.
-Additional $1,000,000 deposit made in October
2018.
-$2,000,000 principal plus interest at an annual rate
of -5%-6%.
�� Gvaa Page 3
Fiscal Year 2018-2019
swim&,, Prepared by Finance Department 20
ILSEGUN U
OVERVIEWS & FAQS
(CONTINUED )
• Creation of new Tiers for new members of the
City
P FAQ: Which Tiers were created?
Answer:
- g � Creation of 2nd Misc Tier (2%@55 to 2% @ 60 was
effective 1/1/2013) and 2nd PD Tier (3% @50 to 3% @
55 was effective Nov. 2012).
• Employees have picked up their full pension
i •'.y`: costs
FAQ: Which groups have made these changes?
Answer:
-All Miscellaneous (non-sworn) employees are
paying the full employee share of 7% as of January 1,
2018.
-All Public Safety employees (except police
management) are paying the full employee share of
9% as of June 1, 2017.
JILSIGUNDO Page 4
Fiscal Year 2018-2019
Prepared by Finance Department 21
ELSEGUN00
.. ....1..:14' _ .. . _2..- i�dd.461iA d 5.
OVERVIEWS & FAOS
(CONTINUED )
• The City has worked closely with professionals in
the pension field and have complied the following
study and information.
FAQ: How did the pension cost get here?
Answer:
• Investment Losses
•CaIPERS Contribution Policy
-Enhanced Benefits
-Demographics
1 Annual Return on Market Value of_ .%sets
� .
� __Su°a
f�
-59°6
s.y,•
-15,09"a
-'_i011°
-i000°•
9Gi 9'rI 95�'79 00 '01�'92i 0_ '931'0_l'96I'0:I'OP U7I 10 I'11� 1' '73� lA ]5 j'1Gf i- 15
r\f\'A 15
.�Dwccmnr Ral�S i/�I1lBU.l�_�61;=3AWC!"!'S'221 2y;vlbr�¢,1,13JJ:t.5119.yf 1 -_d.73 1r1. l iq 16- ��c�,�J �e
Edi. _i� _�r-_{�islnS^�-;r sd _opr -5f 51r,lll 'o
Aboty assumes r*mributions,paymcnss.etc.re'cthvd evenly throughout year.
0
Page S
Fiscal Year 2018-2019
Prepared by Finance Department 22
1 •+sir! � -
ELISIGUNQU
i' - •RCR RIP Rl1H llfi•
OVERVIEWS & FAQS
(CONTINUED)
Miscellaneous
iscellaneous
3 0°0
.moi
0 o
'At °
r
r' r'
r
- 1.5°0
WPM
100U
50 51 52 53, 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70
__.2a•n�460 --.2°.°C.55 2._50o�R 55
2 740;[_155 3°o'd_60 —PEPR\?4*W i2
Safeh-
3-040 --------------------Pw
�wF��►���.«,a+r.+.++++
2.Mb -
50 51 52 53 54 55 56 57 58 59 60
'O. �r.55 '4d�r:40 --'i°'�SS --•3Qo(f 90
PEPRA^_9K&57 -PEPRA 2-5°rir 57 —PEPRA 2, -y4 5-
111411ouvoo Page 6
Fiscal Year 2018-2019
wlil� Prepared by Finance Department 23
r� L!7'"
10
•Ircovraarlo 1l�r•
OVERVIEWS & FAQS
(CONTINUED )
Miscellaneous Demographics
350
300
r '
'_50
200
150
M.
_ 100
50
X47 dl vp N 01 9. vi 7sc 'af ae Y17 'DY 'dd '10 t1 'S- �J 'Is 75 'i6 17
�idcm 171 ;57 kaa � 2il :i' ::1 !6i l9a iad !aP !ll !!d .Df lib !T7 {ft lil [1! lii Idi�
�rA:tms:g Pnvor-.A4,1f! idi idt 171 I'i !i! lii 1Gr !li L4 L'7 .3T :�6 :If ^.Pl :!F !Ci !d7 !dA !:i 3af f
Safety Demographics
'_50
r
200 — - — — —
} 150 - —
100 '
50
� � � �a } j ry + � •].
IM�re•-� Il I is 91 157 l:a � SIt 113 !:] IT, A ]:f k� ?SS I�Cd ��E 4• P�
ric�,fv@Pxmrws 117 ]:.S`I:a M S41 ria 1V 02 1d! 16 1145D it IM ISO SS+ IN :6Y !04 :Id IN :19
IL 1AGYv 14 a Page 7
Fiscal Year 2018-2019
Prepared by Finance Department 24
oilar.
;ELI HIM
r '
•IKcall��llare■fsfla•
OVERVIEWS & FAQS
(CONTINUED )
FAQ: What is our current Miscellaneous group's
Funded Status?
Answer:
fill t nlI'I•:R�\vvrly unll \er uslrl�J Li�diiliUry IJ\lillinnvl
SIN
\lull
t
l nfun Jrd.]T_
SNII 1 nfu�Jril,S.13
MAI
ltl
1'_11
111
-,1116 _1117
•Rrlir.d o lonclisr ■frli�c •t••rt•
' FAQ: What is the Miscellaneous group's historical
funded ratio?
Answer:
IIkIIfriraI Fundrd Rahn
lao�o —
1?(14a
IW"
I
R04'o '
60^o
40%
Ono '�'!t'ld'1�LI 14'19
\54.1 SIL IS IIL.I 1' 1 5111 4x a't 4l Vey 11 111 V[ nl ny '.d Lw ',1 hi
'30'S k 6:i]'0 sums elgmued
Page 8
Fiscal Year 2018-2019
Prepared by Finance Department
25
aC P t i i��•
E�$
tPIN 0
r. au�1
OVERVIEWS & FAQS
(CONTINUED)
Historical viVA
51=10 -
$120
r $100
-1
S80
a S60
Sd0 -
MAI
„1 S20
SO
IrtatF ►t J� 11
t0 , r! 6� N �S 18 !�6
1i►may w {� i ar i6 J! sl i7 _ SE m 61 +a rs n ■1 d` 17 �1 3- 1a
6.30!1S&6.+30.19 itinded states estimated
FAQ: What is the Miscellaneous group's historical
employer contribution rate?
Answer:
Historical Employer Contribution Rates(Percent of Payroll)
304.0
■
it
2000
15% -; +�+
7A"
10°0 !a—f__� i ■
• a- /• • a • • a-a • • • • "• • • a
4 • '
Soo ■ 1
0°0
F1' 1FY Fl. =�- Fl"F1' F1• IFY F't' FY iY FY'FY Fl"
FS"l1-•IF'1';FY
99 DO Ol 02 iD3 OJ OS +76 0' OS i69 10 '7 1] 13 1J IS 16
•N6mlal Cog 6J °i =+�i3O '6 7.7 70 R2IS3 SI i9 i8.'.6BO S.I II 5 i{1 89
tTotal Rate 6.0 00•]4.00 D.0 0.0 64 EO7.�10 ll0J10.3 Of 10 S•12.1113 1' 161 17-191
Page 9
Fiscal Year 2018-2019
Prepared by Finance Department 26
FL� AMo
4
.�_
.t:eauouTeo rlrr•
OVERVIEWS & FAGS
(CONTINUED )
FAQ: What is the projected contribution rate &
funded status for Miscellaneous group?
.. Answer:
owl Y .olr ''Y" Contribution Projection—Percent of Pay
50?0
., QAn
a\no
� � W.
>3 -13 :^a
1(1°
Wa
r �"x 151h Percentile 50lh Pcrceulile 75111 Percentile
Contribution Projection—Percent of Pay
(50ie Percentile)
1 scw.
I
40oe
k328% 33.8"/
26.7% 27.1%27.856 7N, 323%
30Sa 29.0%29.9% 30.6%31.1%31<
23.2% ���.9lSFS'i!ti'if'`R09.r`:af+kSL'�3tiJRfi.•S;2Ai�f'u-:��.4
IO'^ 89% 9.3% 9.6% 9.7% 10.0% 10.1% 10S% 10.3% 10.4% 10AS4 10.51i6
8.1%
18.119 19•`10 ?0:21 ^L'22 '2123 2NN 24125 25!26 :W-17 27,:28 28129 29130
1 lbml Normal Com QUAL Paymam
Page 10
Fiscal Year 2018-2019
Prepared by Finance Department 27
EL S f GUINDO
OVERVIEWS & FAQS
(CONTINUED )
Amortization Policy Comparison
(251h,50th and 751h percentfie)
50%
30%
20%
!I,, qfll
[04.
—50th Percentile-New Policy —50th Percentile-Old Policv
Funded Status Projection
1759,6
125%
100%
75%
5M�
25% 1 1 F I . . . . . . T I
• 75th Percentile -50th Percentile 251h Percentile
ILSIGUNDO Page 11
Fiscal Year 2018-2019
wwi� Prepared by Finance Department 28
EL
I
OVERVIEWS & FAQS
(CONTINUED)
FAQ: What is our current Safety group's Funded
Status?
1 Answer:
(R. (':dPFRS 1„eta auJ 1cmm hd I h,billlie\Ih5lilliunel
VINI
._cll
4
S.11i1
9.61-4.?.vn. 1'nnlw.lml:rnJ
SF11
511111
\:II
ul
G'
1
•I(r1ucJ •lua tiac •-\clilr ■\„cl.
yn h FAQ: What is the Safety group's historical funded
ratio?
Answer: Historical Funded patio
13110„
I M.
hI�! 80 0
Hr o
=0'u
0°u
vs7 Hz 9b yD b 7 n:'a.l ns bf M1 �p 'rl•1! 'I?
a h15"A l 1 IE II:ll I i 1 Af al 7p i'l 5'9 8V b7 S4 lq M s0 dl OR d} pf b1 R! 81
6i3011S&6f30.!19 fimded stains estimated
ILS GUNDO Page 12
Fiscal Year 2018-2019
mmi�, Prepared by Finance Department 29
ELSI�UKOO
•tli/■/P//MFI/Sell.
OVERVIEWS & FAQS
(CONTINUED )
Historical AAL.vs.IIVA
$350
$3M
A
JIV, + -
$200
i< }
- ` $ISO
SIM
$50 -
$o `
i.•t;a1, 63 E a: -ti;aD K�tnb r13�Itr 1:3 I}�I I�� IS' la ltd so= .'I 112::!':sk:� k I'_ �s l]:! =bgl al+t
..iaae!! dl k M I f4} ri:�18! 42 I N? 105 ll� 1]9 l!_ l33 IDS 117 i3b lab S+d Idd 10159 ida 18; �I
I __ 6/3,018 S 6;3W 19 funded status estimated
FAQ: What is the Safety group's historical employer
contribution rate?
Answer:
Historical Employer Contribution Rates(Percent of Payroll)
90°-°
Woo
"0°u
GO°o
tpoa
rr
409. —
l
10°o R
—
%!w an ON 0tH 03+oat Oc+067 p'+1!!t•'DO'111+ 11• t:f 157 1d: it, 16: I" Ids toe
99 00 01 D; 03 04 W 0 0'1 09 09 t0 It 1: 0 tI 1S is 1� I8 19 20
■,1'efl1lN Cps I,t.i 1[:li if.-17J l:.l r'.11s8!6&6_115. IS 15.16 16 t :1'-.1 15 IIS
�1-Tal°IRaM !3_i.! P. 0.4 dd i%� !A ' 1 ! M1`6. 'd JS !.a 5 I�i3i� !D 3 f 793
ILSIGUNDO Page 13
Fiscal Year 2018-2019
wtw� Prepared by Finance Department 30
ti. _
1�.--_.,`�' `� ,`• _��IN N Nom• N� ■� I. � I�,I +l �Y• I � E FES N
II �"
aw
'IOU 0
— •fi4Cii�0■i TTi 1/fi-
OVERVIEWS & FAQS
(CONTINUED )
FAQ: What is the projected contribution rate &
funded status for Safety group?
Answer:
Contribution Rate—Percent of Pay
140°.0
H'.zn
b � 120°0
1 tl0•E qs%" sok.
[i1Pe bL� ,
4(w h
y�asi 2(ro
ILA1
0°0
A ^O ♦ '* ^� ,i ^ 4 l ti
--•rf ��� �a ^:��' ":r ti.ti tib' ,,'� ,,;'� ..�"�' v-
e�
+ �Sth Percentile SOrh Percentile 25Ih Percentile
Contribution Rate—Percent orPay
14V6 (501h Percentile)
1209i,
RV. 9"%959%99 c?
" 86641 888%90.7K 923K
84.2%
I�. 74.8%79.6% 75ti0
1 71A1i d3.4V,'7LF w
6(p, 6;5 .ryC:L.C�;1��:14r bs3sL 67.3ti
56:G%
4G°5 42o�
^ 20% 20.3%21-q•b 22.6%23.0%23.1%23.5%23.5%23.4%23.4%23.3%23.2%23.1%
l849 19120 20111 21i22 2123 23'24 31.'25 25,126 26:27 21,28 _8129 2930
1 Total Normal Crnl —LTAL P.ymail
Page 14
Fiscal Year 2018-2019
Prepared by Finance Department 31
f ELIMUNPO ;
S
OVERVIEWS & FAQS
(CONTINUED)
Amortization Policy Comparison
(251h,50th and 75th Percentile)
100°0 n
8CP
Jt�
(500'i,
04,0
17
JLA �50vh Peromfile-New Policy �50111 lkromrile-Old Policy
Funded Status Projection
150%
125%
15th Percentile 50t Percentile 25th Percentile
Page 15
Fiscal Year 2018-2019
Prepared by Finance Department 32
f S go-
OVERVIEWS
& FAQS
(CONTINUED )
FAQ: What is our combined group's contribution
projection amounts?
Answer:
C onlribulion Pro'edkin $000s
•[' Mi4ccllancous&Safety
530.000
S25.000 22.9 1"90
t :[1.7
21.
1" 19,9 e
S:U.000 17
16A9
IS �
S15.000 '12,49'!3.610— �14,11io 14 14.MIS"
1i:,7.37E3.46
IE.7lt
S10.000 9.7 9;9x+1 ER726
1
S5010
ic6 4.NID 4.737 4.943 5,185 5422
., 3.203 3.621 ;.7h: 3.974 4"'
1 so
18:19 1970 10,21 11,22 2-,:2y 23-24 24.21 .2
j26 ,F,- 2;429 21%129 2930
��-�+�iF-� �Itlicczllaner.is r�a_flly �,\listzllanzrn�s �fq
r ^3G
FAQ: What would it cost to leave CaIPERS?
Answer:
CaIPERS Termination Estiinn tet on June 30.2017 1AinounIs in 3lilliolnsl,
Ongoing PlanI Termination Basis
Discount Rate % !I 7.251.75% 3.00%
Miscellaneous
.3 A.L S 113 5209 $18!
Assets 81 81 81
32 128 106
Safety
4-kL $271 5537 $482
Assets 166 166 166
104 371 316
Total
h
UAL I $136 I $499 $422
Ftulded Ratio 64.4°2 33.1% 36.9%
W - -
ILS110UNDO Page 16
Fiscal Year 2018-2019
Prepared by Finance Department 33
EL S-i-,,
O NQU
OVERVIEWS & FAQS
(CONTINUED )
FAQ: Where can I get more resources?
Answer:
" y 00 >L Visit CalPERS's website for more info on City's pension
costs and actuarial projections.
https://www.calpers.ca.gov/
S-w
]ILS GUN DO Page 16
Fiscal Year 2018-2019
Prepared by Finance Department 34
wl -
CITY
OF EL SEGUNDO
MISCELLANEOUS & SAFETY PLANS
I
Ca1PERS Actuarial Issues — 6/30/17 Valuation
Preliminary Results
Mary Beth Redding,Vice President
Bianca Lin, Assistant Vice President
Matthew Childs, Actuarial Analyst
Bartel Associates, LLC
October 16, 2018
i
Agenda
Topic Pa&e
Definitions 1
How We Got Here 5
Ca1PERS Changes 10
Miscellaneous Plan:
Demographic Information 15
Plan Funded Status 17
Contribution Rates & Projections 23
Safety Plan:
Demographic Information 33
Plan Funded Status 35
Contribution Rates & Projections 41
Combined Miscellaneous and Safety 51
Leaving CalPERS 53
PEPRA Cost Sharing 55
Paying Down the Unfunded Liability 57
Irrevocable Supplemental (§115) Pension trust 63
o:\clients\city of el segundo\projects\calpers\6-30-17\ba elsegundoci 18-10-16 calpers misc safety 17.docx 35
1
DEFINITIONS
■ Ca1PERS Defined Benefit Promise:
• At retirement, employees receive a monthly annuity for life
• Final average pay (monthly) x years of service x factor
❑ Example: 2%@55
❑ Hire age 30, retire at 55 = 25 years of service
❑ 2% x 25 years = 50% of highest 1-year pay, for life
• Cost of living increase up to 2%per year
• No Social Security for Fire & Police employees
■ Member Contributions
• Specified in law
i
❑ Classics = % of PERSable pay
❑ PEPRA= 1/2 of Normal Cost. Can change from year to year
n
October 16,2018
I
DEFINITIONS
1
Basic Pension Rule:
Benefits + Expenses
Contributions* + Investment Earnings
* Employee+Employer
n 36
October 16,2018 2
DEFINITIONS
Present Value of Benefits ■ Present Value of all Projected Benefits:
.Juste 30.2017 The value now of amounts due to be
Future.Normal paid in the future
■ PVB-Present Value of all Projected
Current.Normal Benefits:
Cost
■ Discounted value (at valuation date-
6/30/17), of all future expected benefit
payments based on various (actuarial)
Actuarial
1 ial,ilily assumptions
■ Current Normal Cost:
• Portion of PVB allocated to (or"earned" during) current year
■ Value of employee and employer current service benefit
■ Actuarial Liability:
• Discounted value (at valuation date) of benefits earned through valuation date
[value of past service benefit]
• Portion of PVB "earned" at measurement
October 16,2018 3
f 1 DEFINITIONS
I
Present Value of Benefits Present value of lienefils
.June 30,2016 lune 30.2017
t Unfunded P�'ll _, Unfunded 111'11
(Unfunded (Unfunded
Actuarial Liability) Actuarial Liability)
Liability 1.labilit•
■ Target-Have money in the bank to cover Actuarial Liability (past service)
■ Unfunded Liability -Money short of target at valuation date
■ Unfunded Liability-Money short of target at valuation date
• If all actuarial assumptions were always exactly met, then the plan assets would
always equal AAL
■ Any difference is the unfunded (or overfunded)AAL
• Every year, the actuary calculates the difference between the expected UAAL and
Actual UAAL. This is a new layer or amortization base
■ Each new layer gets amortized (paid off) over a period of time as part of the
contribution [rate].
AM 37
WEN
October 16,2018 4
HOW WE GOT HERE
■ Investment Losses
■ Ca1PERS Contribution Policy
■ Enhanced Benefits
■ Demographics
tl
October 16,2018 5
HOW WE GOT HERE—INVESTMENT RETURN
Annual Returns on Market Value ofAssets
3o_oa°ib=
22.50% }
15.00%
Iso°,o
1
0.00%
I 1
-7.50%
-15.00% j
-22.50%
-30.00% '96 '9i '98 '99 '00 '0 '02 '03I'04 'OS '061'07! 08 '09 10 '11 12 13 14 15 16I 17l18�•+MVA 15.3120.1119.312.SI10.S1-7.2I�.1�3.74x16.612.3111_S19.li'S_1�-24.13.321_i1.1°-i{13.2I18.4�:.4° 1.6°{11.23.6°r
I.—Discount Rate 8.5048.25 8.25 9.25 8.25 8.25 8.25 7.7511'7.75 7.75 7.75 7_i5 7.75 7.75 7.75 7.50 7.50!7.50'7.50 7-50 7.37117.2547.00iV
Above assumes contributions,payments,etc.received evenly throughout year.
ApftL
I; l 38
October 16,2018 6
How WE GOT HERE-OLD CONTRIBUTION POLICY
■ Effective with 2003 valuations:
• Slow (15 year) recognition of investment losses into funded status
• Rolling 30 year amortization of all (primarily investment) losses
■ Designed to:
■ First smooth rates and
• Second pay off UAL
■ Mitigated contribution volatility
AMR
October 16,2018 7
How WE GOT HERE-ENHANCED BENEFITS
■ At Ca1PERS, Enhanced Benefits implemented using all (future & prior) service
■ Typically not negotiated with cost sharing
■ City of El Segundo Tier 1 Tier 2 PEPRA
• Miscellaneous 2%@55 FAE1 2%@60 FAE1 2%@62 FAE3
(Not Enhanced)
• Safety Police 3%@50 FAE1 3%@55 FAE1 2.7%@57 FAE3
• Safety Fire 3%@55 FAE1 N/A 2.7%@57 FAE31
• Note:
❑ FAE1 is highest one year (typically final) average earnings
❑ FAE3 is highest three years (typically final three) average earnings
In, 39
October 16,2018 8 49
HOW WE GOT HERE—ENHANCED BENEFITS
Miscellaneous
3.0°0
2.5%
r r rrrrrrr .wrx.�.w'rrr.
f
r' I
I
r r /
2.0%
///
1.5%
r'
r
r'
r
r'r �
1.0% .
50 51 52 53 54 5 5 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70
---2%@60 --•2%C55 2.5%@55
2.7%CU-55 3°oW60 —PEPRA 20(j'rc62
October 16,2018 9
I� HOW WE GOT HERE—ENHANCED BENEFITS
Safety
r rt
rr
r'
rr
r'
r'
r'
2.5%
rr
2.0% �
1.5%
f
50 51 52 53 54 55 56 57 58 59 60
2°/la'55 2%C50 --•3%C'55 --•3%C50
-PEPRA ora 57 PEPRA 2.5%Cy'57 —PEPRA 2.7%@57
OFr..
October 16,2018 10 � ._ 40
HOW WE GOT HERE—DEMOGRAPHIC
I
■ Around the State
• Large retiree liability compared to actives
❑ State average: 55% for Miscellaneous, 65% for Safety
■ Declining active population and increasing number of retirees
■ Higher percentage of retiree liability increases contribution volatility
■ City of El Segundo percentage of liability belonging to inactives:
• Miscellaneous 62%
• Safety 71%
1
October 16,2018 11
11 CALPERS CHANGES
■ Contribution policy changes:
• No asset smoothing
■ No rolling amortization
• 5-year ramp up
• Included in 6/30/13 valuation(first impact 15/16 rates; full impact 19/20)
■ Assumption changes:
• Anticipate future mortality improvement
■ Other, less significant, changes
• Included in 6/30/14 valuation(first impact 16/17 rates; full impact 20/21)
■ CalPERS Board changed their discount rate:
Rate Initial Full
■ 6/30/16 valuation 7.375% 18/19 22/23
• 6/30/17 valuation 7.25% 19/20 23/24
■ 6/30/18 valuation 7.00% 20/21 24/25
■ December 2018: CalPERS Board selected asset allocation similar to current
portfolio. No change to the discount rate.
41
October 16,2018 12
!I CALPERS CHANGES
I
■ Risk Mitigation Strategy
• Move to more conservative investments over time to reduce volatility
• Only when investment return is better than expected
• Lower discount rate in concert
• Essentially use=50% of investment gains to pay for cost increases
! Likely get to 6.0% over 20+years
• Risk mitigation suspended until 6/30/18 valuation
■ February 2018 Ca1PERS adopted new amortization policy
• Applies only to newly established amortization bases
➢ Fixed dollar amortization rather than % pay
➢ Amortize gains/losses over 20 rather than 30 years
➢ 5-year ramp up (not down) for investment gains and losses
➢ No ramp up/down for other amortization bases
• Minimizes total interest paid over time and pays off UAL faster
• Effective June 30, 2019 valuation for 2021/22 contributions
• Included in this study
Aokk
� October 16,2018 13
CALPERS CHANGES
Discount Rate used as of Actuarial Valuation Date
7.50%
7,21% , ..
orrdib 00
7.00%
6.75/0 b-t5pja b,
t,i.
i +, If. 6 G. ._. h4.
l b4:• b� r<l�
6.50% ��!• bSn:
b• i 0". b• ��+io b} ig?.
z,• ry° 5,. l��.,
6.00% --C�� a bn�b. b. bin
CON
13�°1V�li�►.„!,'►�°{,P6°0S�' ,Yco�i:060fti90(,kA* '�.1�'�p
5.75%
ti'1 �a �l ..3 ;. .� ..`- ..l• �1 .r q .y+a .fit �" .w'7 .�7. .y�i .yW 1 4 .; a '+ }
u.�v�..ti .. .+,..,- ;-';- .• rti0� e�•.yN ryOO'fy0r.3C•�.�'tiQ-�L�. -� .ti -� 1� -�� .�. M�
r+• ii• �' �' r• r' ��r � i.. `- � �' u u' r'• r u Sx d � i. �•. `,``,`. `. �.. r `- `..
25th percentile 50th pe n:e ntile 75th percentile
42
October 16,2018 14
+ SUMMARY OF DEMOGRAPHIC INFORMATION-MISCELLANEOUS i
1997 2007 2016 2017
Actives
■ Counts 174 186 175 168
■ Average
. Age 44 45 45 45
■ City Service 8 9 10 10
. PERSable Wages $ 41,300 $ 58,000 $ 72,200 $ 74,100
■ Total PERSable Wages 7,200,000 13,400,000 13,800,000 13,600,000
Inactive Members
■ Counts
■ Transferred 99 120 137 141
. Separated 50 105 145 152
. Retired
❑ Service 184 273 287
❑ Disability 22 26 28
❑ Beneficiaries 21 29 28
❑ Total 155 227 328 343
■ Average Annual City Provided Benefit
for Service Retireesl N/A $ 13,600 $ 18,000 $ 18,700
■ Active/Retiree Ratio(City) 1.1 0.9 0.5 0.5
■ Active/Retiree Ratio(All Ca1PERS) N/A 1.7 1.3 1.3
' Average City-provided pensions are based on City service&City benefit formula,and are not
representative of benefits for long-service employees.
Agahk
ARM
October 16,2018 15
SUMMARY OF DEMOGRAPHIC INFORMATION-MISCELLANEOUS
350
300
250
200
150
100
50
97 '98 199 00 '01 '02 '03 '04 '05 '06 '07 '0 '09 '10 '11 '1213 '14 '15 '16 '17
�mActive 174 167 180 204 211 215 221 204 199 196 209 211 226 203 176 177 177 171 173 175� 168
�aReceiving Payrnents 155 165 168 l70 174 183 187 197 214 224 227 237 246 275 291 286 294 302 3099x3288 343
Ado}; 43
October 16,2018 16
PLAN FUNDED STATUS-MISCELLANEOUS
June 30, 2016 June 30, 2017
Active AAL $33,200,000 $30,300,000
Retiree AAL 62,900,000 69,800,000
Inactive AAL 11.300,000 12,700,000
Total AAL 107,400,000 112,800,000
Assets 74,800,000 80,500,000
Unfunded Liability 32,600,000 32,300,000
Funded Ratio 69.7% 71.4%
October 16 2018 17
PLAN FUNDED STATUS-MISCELLANEOUS
City CaIPERS.assets and.actuarial Liabilities ($Millions)
$120
5100
Unfunded,$32
580
Unfunded,$33
$60
$40
$20
$0
2016 2017
■Retired in Inactive 0 active ■Assets
[ l
October 16,2018 18 44
PLAN FUNDED STATUS-MISCELLANEOUS
Discount Rate Sensitivity
Actual Estimated Estimated
June 30, 2017 June 30, 2017 June 30, 2017
Discount Rate 7.25% 7.00% 6.00%
AAL $112,800,000 $115,700,000 $130,500,000
Assets 80,500,000 80,500,000 80,500,000
Unfunded Liability 32,300,000 35,200,000 50,000,000
October 16,2018 19
PLAN FUNDED STATUS-MISCELLANEOUS
Unfunded Accrued Liability Changes
■ Unfunded Accrued Liability on 6/30/16 $32,600,000
■ Expected Unfunded Accrued Liability on 6/30/17 33,600,000
■ Other Changes
• Asset Loss (Gain) (2,800,000)
■ Assumption Change 2,100,000
■ Contribution & Experience Loss (Gain) (600,000)
• Total (1,300,000)
■ Unfunded Accrued Liability on 6/30/17 32,300,000
October 16,2018 20 45
�l FUNDED RATIO-MISCELLANEOUS I ,
Historical Funded Ratio
140%
120%
100%
80%
60%
40°/o
20°/o
0%
'96 '977 '9S 99 '00 '0l '0,2 '03 '0.1 '0; '06 '0- '08 '09 '10 '11 '12 'l11'141'151'161'17 'l3 '19
{ •.L VA l0 712 14 13313 11 98 8- 9a 96 10 10 941,64 GG 73 69 73 +S ,S 70 +» 71 71
6/30/18&6/30/19 filnded status estimated
i�
October 16,2018 21
1� FUNDED STATUS(MILLIONS)-MISCELLANEOUS
7
Historical AAL vs.MVA
$140
$120 y
$100 J
$80
$60
$40
$20
$0 96 '97 '98 1'99
'OD '01 '02 '03 1'04 1'05' '06 '07 '08 '09 '10 I'll '1? 'li 1�14 '15 '16 'l7 '18 '19
��A.AI. �8 78 30 3{ 36 38 {� a7 50 c{ 58 6? 68 �5 80 86 S9 92 103 107 113 1d0 1?;4wAwtts 30 36 42 J7 50 45 i[ ;1 37 3: $3 69 da {S 53 63 61 67 77 75 91 3S 8B
6/30/18&6/30/19 funded status estimated
l;
October 16,2018 22 46
CONTRIBUTION RATES-MISCELLANEOUS
Historical Employer Contribution Rates(Percent of Payroll)
304'6 -
25%
20%
15%
100/0 -
5% -�
0% FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY'
99 00 01 02 -03 04 05 lD6 07 08 09 10 11 12 13 14 15 16 17 18 19 20 1
f Normal Cost 6.4 5.3 5.3 7.0 7.6 7.7 7.9 8.2 8.3 8.1 8.0 8.0 7.9 7.8 7.6 8.7 7.7 8.0 8.1 7.8 8.1 8.9
-F Total Rate 6.0 0.0 0.0 0.0 0.0 0.0 6.4 10.210.010.4110-510.5 1 P.5 112:1 13.4 17.0!16.1 17.;19.1 20.6 23.226.81
October 16,2018 23
CONTRIBUTION RATES-MISCELLANEOUS
f I
6/30/16 6/30/17
2018/2019 2019/2020
■ Total Normal Cost 14.8% 15.5%
■ Employee Normal Cost 6.7% 6.7%
■ Employer Normal Cost 8.1% 8.9%
■ Amortization Payments 15.1% 17.9%
■ Total Employer Contribution Rate 23.2% 26.8%
■ 2018/19 Employer Contribution Rate 23.2%
• Payroll <Expected 0.7%
6 Lump Sum Payment $578,992 (0.3%)
• Fresh Start 2.1%
to
6/30/17 Discount Rate & Inflation (1St Year) 1.1%
• 6/30/17 (Gains)/Losses (1St Year) (0.0%)
■ 2019/20 Employer Contribution Rate 26.8%
October 16,2018 24 47
fl FUNDED STATUS-MISCELLANEOUS
1
■ Investment Return:
• June 30, 2018 8.6%2
• Future returns based on stochastic analysis using 1,000 trialS3
25th Percentile 50t1i Percentile 75t' Percentile
• Current Investment Mix 0.1% 7.0% 14.8%
• Ultimate Investment Mix 0.8% 6.0% 11.4%
• Assumes investment returns will, generally be 6.5% (as compared to 7.0%)
over the next 10 years and higher beyond that
■ Assumption Changes—Discount Rate
• Decrease to 7.0% by June 30, 2018 valuation
• Additional Discount Rate decreases due to Risk Mitigation policy
■ No Other: Gains/Losses, Method/Assumption Changes, Benefit Improvements
■ Different from Ca1PERS projection
z based July 2018 Ca1PERS press release
3 Nih percentile means N percentage of our trials result in returns lower than the indicated rates.
�1 i
October 16,2018 25
FUNDED STATUS-MISCELLANEOUS
I 1
■ New hire assumptions:
■ 62.5% of 2018/19 hires are PEPRA members and 37.5% are Classic
members
• Percentage of PEPRA member future hires to increase from 62.5%to 100%
over 15 years
■ Additional Payments in 2018/19
• Unfunded liability paid down by $306,791 on 10/11/18
• Payment applied to 6/30/17 Assumption Change base
i'
October 16,2018 26 48
FUNDED STATUS-MISCELLANEOUS
Conhibntion Projection—Percent of Pay
50%
01,,°Ja g9 9°/°
40%
3g.
' 30%
'16' Y 1 7
�ofn til 69Qfo A°1Q °a
20°/u
Z 3
100/0
0°fo
25th Percentile -50th Porcentile 75th Percentile
l " �1
October 16,2018 27
FUNDED STATUS-MISCELLANEOUS
so9s -
�, wi.ad1'
AI
AQ°°
409° -
56I+ -
I-�
may,.
ZO% I bA�� y tQ�tM'tn•,d�t�
i p
tid t�'�•,��°
%(0
10°Jo tr°16 4��•wAyp}y'y]°qZ�°q�r'A�'aA r'�a•.
tori'cel• 01.
0%
ti� fl � ,.�. r a r;��,� n � -: Sa C�� " '_-; �a �: �� "=' tit+'�� ya �` �;• }'" •� �5 :� k� s= a.�,
25th Parmfile 30kh PercQlllile 75th Percentile
October 16,2018 28 Nzw 49
11 FUNDED STATUS-MISCELLANEOUS
Contribution Projection—Percent of Pay
(501b Percentile)
40%
30% f 29.0% 29.9°/° 30.6°h 31_1"/ 31:7% 3239L 32.896
33.8%
26.7% 27.10/. 27.8%23.2%
20%
i
1
100/0 8.1% 8.9h• 9:3% 9.6% 9.7% 10.0% 10.1% 10.2% 103°/i 10A% 10A% 10.59'-5
0%
18/19 19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/28 28!29 29/30
Total Norutal Cosi —UAL Payment
1 { *'
October 16,2018 29
FUNDED STATUS-MISCELLANEOUS
Con IributienProjection- SO 00s
(50th Percentile)
$7.000 -
1$6.000 51991
5
5,422 ,664
$5.000 VM 5'1 $
4,737
4,500
4,256 7.
$4.000 3,974
3,621 3,762
$3.000 3.203 - -^^—
$2.000 -
$1.000 1.115
1 68 1,426 1,507 1,565 1,624 1,684 1,744 1,804. 1,864
1,200, 1,290
$0
18/19 19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/28 28/29 29/30
—Total - Normal Cost QUAL Payment
� October 16,2018 30jQ
fFUNDED STATUS-MISCELLANEOUS
Amortization Policy Comparison
(25th,50th and 75th Percentile)
50% - -
40%
0
30% d°! Vo f� �A n p
to I
^r3'L to `olo
10% —
olo olo
0%
�K t� ka�`���ti��%o�°����'�)'��'� ,:b c,
'�I
a-50th Pc=ntile-New Policy #+w50th Percearile-Old Policy
�+
October 16,2018 31
fl FUNDED STATUS-MISCELLANEOUS
Funded Status Projection
175%
150%
30.
125% — `N9'4� —
'A,
100%100% �� •
K N•
25%
75th Percentile 50th Percentile 25th Percentile
�i
October 16,2018 32 51
SUMMARY OF DEMOGRAPHIC INFORMATION-SAFETY {
1997 2008 2016 2017
Actives
■ Counts 115 126 97 97
■ Average
Age 40 49 N/A N/A
City Service 14 15 N/A N/A
■ PERSable Wages $ 68,900 $ 115,500 $ 140,200 $ 132,400
■ Total PERSable Wages 7,900,000 14,500,000 13,600,000 12,800,000
Inactive Members
■ Counts
■ Transferred 27 49 39 41
■ Separated 16 15 18 18
■ Retired
❑ Service 70 N/A N/A
❑ Disability 87 N/A N/A
❑ Beneficiaries 15 N/A N/A
❑ Total 117 172 221 225_
■ Active/Retiree Ratio(City) 1.0 0.7 0.4 0.4
■ Active/Retiree Ratio(All Ca1PERS) N/A 1.7 1.3 1.3
October 16,2018 33
SUMMARY OF DEMOGRAPHIC INFORMATION-SAFETY
250 .
200
150
100
50
97 '9S 99 '00 'OI 02 '03 '04 OS '06 07 'Og 109 110 '11 12 13 '11 '15 '16 '17
iaActi�c 115 116 121 122 ll7 124 122 118 114 121 I18 126 125 122 ll: 106 106 106 101 97 97
�ReaivingPa}mrn[s 117 121 I2S 13l H1 146 154 162 162 l65 l69 172 l80 136 194 206 208 203 216 221 225
M52
i} October 16,2018 34
PLAN FUNDED STATUS- SAFETY
I I I
June 30, 2016 June 30, 2017
Active AAL $ 81,600,000 $ 75,200,000
Retiree AAL 175,100,000 190,800,000
Inactive AAL 4,200,000 4,600,000
Total AAL 260,900,000 270,600,000
Assets 159,100,000 166,400,000
Unfunded Liability 101,800,000 104,200,000
Funded Ratio 61.0% 61.5%
October 16,2018 35
PLAN FUNDED STATUS- SAFETY
City CAPERS Assets and ketnarial Liabilities(~Millions)
5300
5200
Unfunded.S102 Unfunded.S104
5151)
5100
SSu
Su
2016 2017
a Retired m Inactive ■Active a Assets
October 16,2018 36 53
fl PLAN FUNDED STATUS-SAFETY
Discount Rate Sensitivity
Actual Estimated Estimated
June 30, 2017 June 30, 2017 June 30, 2017
Discount Rate 7.25% 7.00% 6.00%
AAL $270,600,000 $278,000,000 $314,600,000
Assets 166,400,000 166,400,000 166,400,000
Unfunded Liability 104,200,000 111,600,000 148,200,000
AMIML
1'
October 16,2018 37
FUNDED RATIO-SAFETY
Historical Funded Ratio
l 40*n
120% '
100%
80%
60%
40%
20%
0% '961-97 1"9.3
% 96 '971'98 199 '00 '01 '02 '03 '04 '05 '06 '07 '0S '09 '10 'll '12 113 '14 '15 '16 '17 '18 '19
f MVA 106 118 122 11-7 114 94 81 79 84 89 89 197 85 56 S9 65 60 64 68 65 61 61 64 64
6/30/18&6/30/19 funded status estimated
1,
October 16,2018 38 mw 54
FUNDED STATUS(MILLIONS)-SAFETY
Historical AAL vs.MVA
$350
$300
$250 —
$200 -'
$150
$100
$50
$0 96 '97 '98 '99 'oo '0] '02 '03 '04 '05 1'06 '07 '09 1'09 '10 '11 '12 '13 '14 '15 '14 '17 'IS '19
]w AAL 63 67 76 90 98 108 113 ll7 125 132 145 157 t67 186 198 211 222 228 244 252 261 271 289 317
]a.Sets 67 79 93 105 112 102 92 92 105 117 129 11- 142 105 117 138 134 146 166 165 159 166 185 20'_1
6/30/18&6/30/19 funded status estimated
1�
October 16,2018 39
CONTRIBUTION RATES-SAFETY
Historical Employer Contribution Rates(Percent of Payroll)
900/6
80%
70%
600/6
500/6
40°/6
30%
1
20%
L '--A- i—i ---ic-- -
100/0 i
0%
98/ 99/ 00/ 01/ 02/ 03/ 04/ 05/ 06/ 07/ 08/ 09/ 10/ 11/ 12/ 13/ 14/ 15/ 16/ 17/ 18/ 19/
99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20
-a Nonual Cult 13.1 :11.1'12.5 15.5 [73 17.117.1 L5.816.316.3 15.3'15.615.716.8 16.917.7 17.517.7 18.8 19.020.3 25.2
-W Total Rate 13.5 4.5 1.6 6.3 6.6 17.829.6.31.4.25.725, 25.7:26.826.933 2.35.4.38.4,13.3,46.650.0:55.051.9'79.3
1,
October 16,2018 40 %055
CONTRIBUTION RATES- SAFETY
6/30/16 6/30/17
2018/2019 2019/2020
■ Total Normal Cost 29.4% 30.8%
■ Employee Normal Cost 9.0% 9.2%
■ Employer Normal Cost 20.3% 21.5%
■ Amortization Payments 42.1% 50.4%
■ Total Employer Contribution Rate 62.5% 72.0%
■ 2018/19 Employer Contribution Rate 62.5%
• Payroll <Expected 3.6%
• Payment & Amortization changes in 2017/18 (0.6%)
• Asset Method Change (5t'Year) 2.3%
• 6/30/14 Assumption Change(41 Year) 1.9%
• 6/30/14(Gains)/Losses (411 Year) (2.1%)
• 6/30/15 (Gains)/Losses (3rd Year) 0.7%
• 6130/16 Discount Rate Change(2"d Year) 0.6%
• 6/30/16 (Gains)/Losses (2nd Year) 1.0%
• 6/30/17 Discount Rate & Inflation (1St Year) 2.0%
• 6/30/17 (Gains)/Losses (1St Year) 0.1%
■ 2019/20 Employer Contribution Rate 72.0%
October 16,2018 41 Nmw
l` CONTRIBUTION RATES-SAFETY
7
6/30/17 Valuation
2019/2020 Contribution Rates
Total4 Tier 1 Tier 2 PEPRA
■Base Total Normal Cost 28.7% 28.9% 27.9% 25.0%
■Class 1 Benefits
• Final Average Comp (1=Year) 1.1% 1.2% 1.1% -
• Pre-Retirement Survivor Allowance 1.7% 1.7% 1.7% 1.5%
• Normal Cost Phase-Out 0.8% 0.8% -
■Total Normal Cost 30.7% 31.0% 30.7% 26.5%
■Formula's Expected EE Contr. Rate 9.2% 9.0% 9.0% 12.8%
■ER Normal Cost 21.5% 22.0% 21.7% 13.7%
■Amortization Bases 50.4% 54.0% 4.0% 0.2%
■Amortization of Side Fund - -
■Total ER Contribution 72.0% 76.1% 25.7% 13.9%
■Employee counts 97 85 1 11
■Employee payroll (in 000's) $13,984 $13,036 $131 $817
■ Total ER Contribution $ (in 000's) $ 10,064
° Weighting of total contribution based on projected classic and PEPRA payrolls Aoatk
October 16,2018 42 W 56
CONTRIBUTION PROJECTION-SAFETY
- l R
■ Investment Return:
• June 30, 2018 8.6%5
• Future returns based on stochastic analysis using 1,000 trials
25'Percentile 50th Percentile 75'Percentile
• Current Investment Mix 0.1% 7.0% 14.8%
• Ultimate Investment Mix 0.8% 6.0% 11.4%
• Assumes investment returns will, generally be 6.5% (as compared to 7.0%)
over the next 10 years and higher beyond that
■ Assumption Changes—Discount Rate
• Decrease to 7.0% by June 30, 2018 valuation
• Additional Discount Rate decreases due to Risk Mitigation policy
■ No Other: Gains/Losses, Method/Assumption Changes, Benefit Improvements
■ Different from CaIPERS projection
5 based July 2018 CalPERS press release
G N"'percentile means N percentage of our trials result in returns lower than the indicated rates.
October 16,2018 43
CONTRIBUTION PROJECTION-SAFETY
■ New hire assumptions:
• 75.0% of 2018/19 hires are PEPRA members and 25.0% are Classic
members
• Percentage of PEPRA member future hires to increase from 75.0% to 100%
over 5 years
■ Additional Payments in 2018/19
• Unfunded liability paid down by $1,193,209 on 10/11/18
❑ Payment paid off:
O Tier 16/30/17 Non-Asset Loss bases
O Tier 16/30/12 Golden Handshake bases
O Tier 16/30/11 Golden Handshake bases
O Tier 16/30/08 Benefit Change bases
O Tier 2 6/30/17 Assumption Change base
O Tier 2 6/30/17 Non-Asset Loss bases
O PEPRA 6/30/17 Assumption Change bases
O Police PEPRA 6/30/17 Non-Asset Loss base
❑ Payment paid down Tier 16/30/17 Assumption Change bases by
$356,291
US
October 16,2018 44 57
CONTRIBUTION PROJECTION-SAFETY
Contribution Rate—Percent of Pay
140%
100% w4 a��lp��`� 9{4oj, R9 w!
80% °° 'g.b°1°
cf,, � �Q+o �°!a
°/a ^boob
60 '1
40% –
20%
I
0%
75th Percentile —50th Percentile 25th Percentile
I)
October 16,2018 45
CONTRIBUTION PROJECTION-SAFETY f
I
1400/c Contribution Rate—Percent of Pay
120%
100% a ey.iyo „aµw��• -- - -
IRf�
809./a
'%ej^ 1�
60% �I-
6a
f:
40%
ON
75th Percentile 50th Percentile 25th Percentile
October 16,2018 46 058
CONTRIBUTION PROJECTION- SAFETY
Contribution Rate—Percent of Pay
140°% (50th Percentile)
120%
100% 99.5%84.I% 86.6% 88.8% 90.7% 92.30/a 94.4% 95.9%
80% - - 79.6% o
71,4°/' 74.8'/0 �_� — /°
®
60%
40% -
200/. 203% 21.5°/0 22.5°/° 23.0% 23.1% 23.3%235%..23A%23A% 23.3% 2333% 231%
0% .--,-
18/19 19/20 20/21 21122 22/23 23/24 24/25 25/26 26127 27/28 28129 29/30
Total Normal Cost ■=UJAL Nymelt
October 16,2018 47
CONTRIBUTION PROJECTION- SAFETY
I
Projected Contributions-S000s
5�u.uon (50th Percentile)
�S 18,000 181194
17,084
!s 16.000 16,3" _--_
14,888
514,000 13 14.189
,467
12,737
S12,000 11.725
10,726
510,000 9,289 9,989 9 --9
$8,000 n
$6,000 4
$4,000 — 3,657 3,751 3,847 3,943 4,040 4,137 4,234
3,024 3,013 3,241 3,393 3.497
$2,000 -
$0 - - - --
18/19 19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/28 28/29 29/30
Total Nonnal Cost + UAL Payment 1
CA
October 16,2018 48 59
�l CONTRIBUTION PROJECTION-SAFETY
Amortization Policy Comparison
140% (25th,50th and 75th Percentile)
120%
Ne �
100%
20%
0% 1 1 r r –
\ � •yti 'L 'bti � � � 'bti 'h '� '> `y "h '� 3 "r 'S � � ►x � � a ;». bixt» D.
50th Percentile-New Policy ^50th Percentile-Old Policy —�
October 16 2018 49
11 FUNDED STATUS-SAFETY
Funded Status Projection
150% -
125%
100% r.a"'►�H e
� ��•�tea.^t�^ a�•hy-.M1S.^�...
50% �T---- - - —
75th Percentile 50th Percentile 25th Percentile
APMM
lamOctober 16,2018 50 NW 60
I� COMBINED MISCELLANEOUS AND SAFETY l
I I
Contribution Projection($000s)
Miscellaneous& Safety
530.000 —
24'190
22,7
21x7
19,83 20,74
$20,000 17,95 189
15,99 99
15,5 16366
$15,000 13;51 ..Yds 14.189 14.888 15,56
12,49 12,737 13.467
11,725
$10,000 9989 10,726 _
9,289
$5,000 4256 5,664 5,991
3,621 3,762 3,974 4. X00 4,737 4,943 5,185 5,422
3,203
$0 -, - . . .
18119 19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/28 28/29 29/30
1 a-lldiscellaueous+Safety —/Miscellaneous �45afciy
l October 16,2018 51
1
COMBINED MISCELLANEOUS AND SAFETY
Funded Status Summary on June 30. 2017
(Amounts in$Millions)
Miscellaneous Safety Total
■ AAL $ 113 $ 271 $ 383
■ Assets 81 166 247
■ Unfunded AAL 32 104 136
n Funded Ratio 71.4% 61.5% 64.4%
October 16,2018 52 61
IL LEAVING CALPERS
■ Participation in Ca1PERS is governed by State law and Ca1PERS rules
■ The following are considered "withdrawing" from Ca1PERS:
* Exclude new hires from Ca1PERS & giving them a different pension
• Stop accruing benefits for current employees
■ "Withdrawal" from Ca1PERS:
• Treated as plan termination
• Liability increased for conservative investments
■ Liability increased for future demographic fluctuations
• Liability must be funded immediately by withdrawing agency
i Otherwise, retiree benefits are cut
October 16,2018 53
J LEAVING CALPERS
Ca1PERS Termination Estimates on June 30, 2017 (Amounts in Millions)
Ongoing Plan Termination Basis
Discount Rate 7.25% 1.75% 3.00%
Miscellaneous
AAL $ 113 $209 $187
Assets 81 81 81
UAL 32 128 106
Safety
AAL $271 $537 $482
Assets 166 166 166
UAL 104 371 316
Total
`UAL $136 $499 $422
Funded Ratio 64.4% I 33.1% 36.9%
(1-71)
October 16,2018 54 62
II PEPRA COST SHARING
I
■ Target of 50% of total normal cost for everyone
■ New members must pay greater of 50% of total normal cost or bargained
amount if higher
■ Employer cannot pay any part of new member required employee.contributions
■ Employer may impose current employees pay 50% of total normal cost (limited
to 8% of pay for Miscellaneous and 12% for Safety) if not agreed through
collective bargaining by 1/1/18
■ Miscellaneous Plan:
Classic Members New Members
Tier 1 Tier 2 PEPRA
2%605 FAE1 2%(d),60 FAE1 2%Q,62 FAE3
■ Employer Normal Cost 9.0% 12.7% 6.82%
■ Member Normal Cost 6.9% 6.9% 6.25%
• Total Normal Cost 15.9% 19.7% 13.07%
• 50% Target 8.0% 9.9% 6.54%
October 16,2018 55
11 PEPRA COST SHARING
I f
■ Safety Police Plan:
Classic Members New Members
Tier 1 Tier 2 PEPRA
3%600 FAE1 3%(&,55 FAE1 2.7%(7),57 FAE3
• Employer Normal Cost 24.0%7 21.7% 13.79%
• Member Normal Cost 9.0% 9.0% 12.75%
• Total Normal Cost 33.0% 30.7% 26.54%
! 50% Target 16.5% 15.4% 13.27%
■ Safety Fire Plan:
Classic Members New Members
Tier I Tier 2 PEPRA
3%Q,55 FAE1 N/A 2.7%a,57 FAE3
• Employer Normal Cost 19.3%8 N/A 13.79%
i Member Normal Cost 9.0% N/A 12.75%
• Total Normal Cost 28.3% N/A 26.54%
• 50% Target 14.2% N/A 13.27%
Includes 0.4%for Phase Out of Normal Cost Difference which will end at 2022/23.
R Includes-2.4%for Phase Out of Normal Cost Difference which will end at 2022/23
CS 63
October 16,2018 56 IRZMV
PAYING DOWN THE UNFUNDED LIABILITY&RATE STABILIZATION
I
■ Where do you get the money from?
■ How do you use the money?
1, LS
October 16,2018 57
WHERE DO YOU GET THE MONEY FROM?
■ POB:
• Usually thought of as interest arbitrage between expected earnings and rate
paid on POB
• No guaranteed savings
• PEPRA prevents contributions from dropping below normal cost
❑ Savings offset when investment return is good
■ GFOA Advisory
■ Borrow from General Fund similar to State
■ One time payments
• Council resolution to use a portion of one time money, e.g.
❑ 1/3 to one time projects
❑ 1/3 to replenish reserves and
❑ 1/3 to pay down unfunded liability
64
October 16,2018 58
11 I How DO YOU USE THE MONEY? I
II
■ Internal Service Fund
• Typically used for rate stabilization
• Restricted investments:
❑ Likely low (0.5%4.0%) investment returns
❑ Short term/high quality, designed for preservation of principal
• Assets can be used by Council for other purposes
• Does not reduce Unfunded Liability
LE' 11
October 16,2018 59
How DO YOU USE THE MONEY? I
I � IIIA �
■ Make payments directly to CalPERS:
• Likely best long-term investment return
• Must be considered an irrevocable decision
❑ Extra payments cannot be used as future "credit"
❑ PEPRA prevents contributions from dropping below normal cost
• Option#1: Request shorter amortization period (Fresh Start):
❑ Higher short term payments
❑ Less interest and lower long term payments
❑ Likely cannot revert to old amortization schedule
O Savings offset when investment return is good (PEPRA)
65
October 16,2018 60
it How DO YOU USE THE MONEY? I
I
■ Make payments directly to Ca1PERS (continued):
r Option#2: Target specific amortization bases:
❑ Extra contribution's impact muted by reduced future contributions
O Ca1PERS can't track the "would have been" contribution
❑ No guaranteed savings
O Larger asset pool means larger loss (or gain) opportunity
❑ Paying off shorter amortization bases: larger contribution savings over
shorter period:
O e.g. 10 year base reduces contribution 12.3¢ for$1
O Less interest savings vs paying off longer amortization bases
❑ Paying off longer amortization bases: smaller contribution savings
over longer period:
O e.g. 25 year base reduces contribution 6.5¢ for $1
O More interest savings vs paying off shorter amortization bases
October 16,2018 61
'I ADDITIONAL CONTRIBUTIONS TO CALPERS
I
Estimated SavinLys
J Miscellaneous Safety
2017/18 Additional Contributions to Ca1PERS
Contribution Amount $ 578,992 $1,322,149
Total $ Savings(Interest) 801,000 1,786,000
PV Savings @ 3% 342.000 760,000
Miscellaneous Safety
2018/19 Additional Contributions to CalPERS
Contribution Amount $306,791 $1,193,209
Total $ Savings(Interest) 260,000 898,000
PV Savings @ 3% 114,400 384,000
66
October 16,2018 62
I! IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST J
■ Can only be used to:
• Reimburse City for Ca1PERS contributions
• Make payments directly to Ca1PERS
■ Investments significantly less restricted than City investment funds
• Fiduciary rules govern Trust investments
• Usually, designed for long term returns
■ Assets don't count for GASB accounting
• Are considered Employer assets
■ Over 100 trusts established, mostly since 2015
• Trust providers: PARS, PFM, Keenan
• California Employers' Pension Prefunding Trust (CEPPT) is coming
f,
` October 16,2018 63 Naw
fl IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST j
1 I
■ More flexibility than paying Ca1PERS directly
• City decides if and when and how much money to put into Trust
• City decides if and when and how much to withdraw to pay Ca1PERS or
reimburse Agency
■ Funding strategies typically focus on
• Reducing the unfunded liability
❑ Fund enough to make total CalPERS UAL = 0
❑ Make PEPRA required payments from Trust when overfunded
• Stabilizing contribution rates
❑ Mitigate expected contribution rates to better manage budget
■ Combination
❑ Use funds for rate stabilization/budget predictability
❑ Target increasing fund balance to pay off UAL sooner
R67
October 16,2018 64 40
II IRREVOCABLE SUPPLEMENTAL(§115) PENSION TRUST I
I
■ Consider:
• How much can you put into Trust?
❑ Initial seed money?
❑ Additional amounts in future years?
• When do you take money out?
❑ Target budget rate?
❑ Year target budget rate kicks in?
O Before or after Ca1PERS rate exceeds budgeted rate?
AM
lam
October 16,2018 65
IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST I
I
Miscellaneous Safety
Trust Contributions • April 2018: $1 Million
• October 2018: $1 Million
• April 2019: $0.5 Million
• October 2019: $1 Million
■ October 2020: $1 Million
• Allocation: 20% Miscellaneous,
40% Police and 40% Fire
Trust Earnings 5% 5%
Trust Target
- Target Contribution Rate 33.5% 93.5%
- 1st Year 2029/30 2027/28
- Last Year 2035/36 2033/2634
$ Savings over 20 years $781,000 $2,749,000
PV Savings @ 3% 292,000 956,000
68
October 16,2018 66
it IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST 1
nn1�314f30139 Fmm Oalan.e 150001 500 Calculate
51a6AItdnOn Fund-Rd1e Jl R!lum s.o% Miscellaneous Plan Rafe Stahiliz:dion Fund Balance
T
"p,, 33.5%
19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/28 20/29 29(30 30/31 31/32 32/33 33/34 34/35 35/36 36/37 37738 311/39 39)00
IAI Add ICOnlrl�ullP+515N01 200 200 - - - - - - - -
IBIA00IConlr,bunon-%of pay OA% OAK 0,0% 0.0% 0.0% OA% 0.0% 0.0% 0,0% 0.. 0.0% OAO% 000% 000% 0.00% 0.00% OAO% O,00% 0,00% %0A 0.00%
(Al•151a.40", 154 101 001 00% 00% 00', 001-. 004 00'+, 001 00% 00•, 001'. Or,K UV, 00.. 00111 001 001 a" 001-1
8udpel-WIPE RS R.., 1.1% 271',. 11,-i 290'•-1 799' 306'< 311% 31 1t 323% 328% 3154, 3351 335, 335':, 335^', 3151. 335% 325. 308. 3005 288K
Cdnlnbnle at Target Rate' N N N N N N N N N N Y Y Y Y Y If Y N N N N
Conidbution Rate Projection
36"
sa r
304- 352.
34 33 R--
-0-0
7.' S3 iii 5`.
J2•: 31 7°�
77,77
3o 6
JNSe 30 90 D`°
`>ly 8 m
2N"6 7g-7`,.7.1 '
77fl
26".x" 26,7X.27.1-.,
2476
22%
21-16
�I'9rerf :INII I'rrrinlllr -
October 16,2018 67
1I IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST
I f
Innu16/30/19 Fund Balance 150001 sae Calculate
SEe4v0,d^hrf-9419tl-e— SIM _ Miscellaneous Plan Rafe Stabilization Fund Bnl:mce
rar%el Rate 372-1% -
19/20 20/21 21/22 22/23 23/24 20 25 25/26 26 27 27/20 20/29 29/30 30/31 31/32 32/33 33/34 34/3S 35/36 36/37 37/38 30/39 39/40
IF1 Add ICdnln6ullon$(5000) 200 200 _ _ _
IBi Add'1 Contndulwn-%of pay OA% OA% 0.0% 0A% 0.0% OA% OA% OA% 0A% 0.0% 0.016 0,00% 000K 000% 0.00% 000% 00016 0.00% OAO% 0.— OAO%
IAI•IBI a4%Of Fay IS% 14% 001 001 09% 00% 00% 001 001-1 00% aUY, 001 00% 00% 00% [101 004 OD1 00% 00% 0-
1(i
0%
Budeel-WIPERS Rale 767% 271% 279.4 290% 199% 306% 311% 317% 3231 328% 335% 335% 335% 335% 335% 315% 135% 325% 309% 300'% 288%
Con"'W"alra,ge3Ral0 N N N N N N N N N N Y Y Y Y Y Y Y N N N N
C•onlribution Pnljecliun%15111111%)
SN,INNI
7,0Jfl
59e3 6979
S i,INNI 6 792
E SOi
9.624
Erl !24
S(IMNI el'
:i
S 423
422
a 943
$�,INNI
4.SOp-_. 1,913
54.1-X1
3 974
3,621
53.INNI
52.INN1
do
�a ti; ya Y tis 'i"f ti'ti41ti14ti .011-' ,d=% 11:1^1 ,$ I'll, 4\-f 14P
,a, 1a1
0
-wnwer
VN%1'el mill,
69
October 16,2018 68 %0
Ll IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST I
Inau[6/30/]9 rano Ba'anre($DOa
so Calculate
5[abiluabon ruM•Ba[e of Remm
5,0% Miscellaneous Plan Rale Stabilization Fund Balance
TargPl Rase 335%
19/20 20/21 _21/22 22123 21/24 24/1S 25/26 26/27 27/29 21/29 29/30 30/31 31/32 W33 33/34 3x/35 35/36 36/37 37/36 39/39 39/40
EAI ACEI 515000! 200 200 .
IB)
Add f Com Nta -%or pay 0A% 0.006 BAN 04% am 0,04 a9% O.0% OA% OAK 0.94 0.06% 0.00% 0.00% 000% O.00N 000% O.W% 0.00% 0A0% 0.00%
EAI•(B)a,N Pal 15% 1s% 009 00% 001. 00K 00% 00^: aOx 00% Dox 0 O 00% Do% 0010 00% 00'5; 00% 00% 00, 00%
Bu""-CaIPERSRafe 267% 271% 228% 290% 2R 9% 306% 321% 3175 323% 328% 335% 335% 315% 33.5% 335% 315% 3351E 325% 308% 300% 269%
Cenlrlbulea[7argM Prfe� N N N N N N N N N N y Y Y Y 9 Y If N N N N
Supplemental Trust Balance($000s)
1.4191
♦;10.
I.JINI _,a� ♦Il
1✓
ri
1.2191 1�b
1�
I.INNI qbl •R
%ENI
41X1
Al
JINI ,� ♦31 )!1
21X1
0
,,p.° a i6 ,y�pti` 047 ? tip �o�ti5 �otib ��^ *o�ti� Aav° (6,a-Q tea` tidy *or
b�` ►" •' b" b" b�" b�" bC o' bl" 4 p bA� bb�' b�'
•fi4N11 I'rrcanlilr
October 16,2018 69
�I IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST I f
}
—016/30/19Euro 9,1-CeISo 1 ZAW
SlabR-a0 F.M-Raleof Rel— 5A% 1ard1 Plan Hu(r%1aMli2a11rinF'9ndlld.-
7argel Rale 965% —
39/20 20/21 27/22 22/23 Z3/24 Z4t2S 25/26 26/27 27/29 26/29 29/30 30/31 31/32 32/33 33/34 34/35 35/36 36/37 37/36 39/39 39/40
IAI Aeaa ConnlDu2a15150W1 sm 9W
(BI AOd'ICW,.M' 1,01 pay OA% UM OA GAS 4,0% 04% 04% a0% 089 am ROK oari 1;.0^ OWN 000% 80 4 007% 000% 0At7% 900% OWA
(A1.1BIa1%4(Pa9 57% 56% 00% 00% 00% 00% 00% 0O 00'A 00% 00% 00% 00% 00% 00% 00% 00% 00% M Do% 00%
Burgef-"IPERS Rate 714% 748% 79 6% M 2% 966% 66 9% 90 7% 92 3% 93 5% 915% 935% 93.5♦ 93 5% 93 5% 93 5% 93 9% 99 5% Ba 2% 02 1% 77 1% 75 9%
Pay lBMge CaIPEa5130/Irmml null N N N N N N N N T IF If y y T T N N N N N N
Contribution Rade Pnljeclion
1!0%
INP.
17 1
Ilq•.
y4
(As-.
J11-.
O ♦ as O ♦ ♦b ^ i J
♦q6 .yd"' 1♦C Z•�' ti�� .fti' yS• ,,15' ti�c� ,lye' „ao ,p�. ��• ♦•��= :[� DC7" �v �• �5• �s�` ��a
—ram" mm,Percrnllle
70
October 16,2018 70
II IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST
I
In,lal G/30116 fund palanrt 150001 2,OOD 9Rr,
Aabdllauon rl,ed gale ofAt— 5A% SaP17)'Ian Naw%I,Illlll.tinn Pend ltalancr
carpet Bate 9l4%
19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/26 20/29 29/30 30/31 31/32 32/33 33/34 34135 35/36 36/37 37138 38/39 39/40
(AI ABA IConlnbullon 515[001 000 800
(Al Ade lContnlwl�On-'v of 0aV OA% OA% OA% 01
% OA% OA% 04% 04% 0,0% 0.0% 0. 0.00% 000% 000% 000% 000% 000% 000K 0.00% 000% 0.
(1•IBI A,%ol Pay 5I% 56' 00'- 00'' 001. 00% 001 OMi 0" 0n1 00% 00� ODl 1" 00'• 1"" 01, Ofh 00, 0a"'
9udRel CaIPE656— 1I a1 146'1: 19fi+: A:2". 66 fit. So % 901% 923". 935% 11 IS 935% 915% 915`5 935% 9351 939'1, .111- 642'6 621:1 ill": /S 8K
PaI&IdgcI U11E 951 .!11—) N N N N N M N N Y Y Y Y Y Y Y N N N N N N
Conlrilmlion Prolcelions(SO1111s)
S22.INNI
S211,INN1 19 265 19 6533n GB7
18,1926 1B GZG
1B 910
SIN,INN1
16,1..1
14 A9{
114.1..1
14 46/
11,725
S III.INNI
9,989
1N.INN1
S41NN1
)4.INN1
S2,INM1
—1-.reel -INNb I'YreendIr
� October 16,2018 71
IRREVOCABLE SUPPLEMENTAL(§115)PENSION TRUST
IM116/30/18 rand gala-150001 4000
lmlp .364.4-Am Mre'e•" 54% S:3151p flan Ifae N1.61112.0-Plmd 11A.ar
Target Nate 934% -
19/m 20/21 21/22 22/23 23/24 24/IS 25/26 26/27 27/26 26/21 29130 30/31 31/32 32/33 33/34 34/35 35/36 36/37 37/36 39/39 39140
IAI Ade l C-111b.-5(5000) 000m
161 Add'I C1111-ban-'Sof pay 0.0% OA% OA% 0.0% OAK 0.0% OA% 0A% 9A% OA% 04% 0,W% 0.00% 0A0% 000% 000% 000% 000% 0,00% 0.00% 0310%
(AI 01,1%of Pa, 51% 56% 00% 0ll% On♦ 00% 001 001 001 00% 00% 001 00% OIT. 00% OT. 00% 001 00+5
6udgel•GWENS halo ll 4% 14 91 79 6% 6C 2% 666% 88 6% 901K 92 3% 93 5% 93 5% 93 5% 93 5% 93 5% 93 5% 93 5% 93 9% 69 SY 84 2% 82 1% 17 1% 75 8%
PAY 16.0l"Gll'"517oll/roml T,- N N N N 14- N N N Y Y Y Y Y Y Y N N N N N N
Supplemental Trust Balance(Slllllls)
r;96n
♦_
�,INNI �p'3s
aNN6
!,W6
I�w9 �N
111: X49 ZN5 ;NQ
.r �♦q 'J3o �; Sy. `y �,5. ��r• atib aye a,{s Oyu �\O 3�♦ �Sj. �._ ,_t �F atc �3�� �� �p°j ;s4
�3olh I'rraemile
October 16,2018 72 %0. 71
Retirements stem Sustainab"
A SECURE FUTURE FOR CALIFORNIA CITIES
I
L LEAGUE"
G>U E �CITI ES `
Why is the pension gap so important to address?
Defined benefit pension plans play a vital role in attracting and retaining quality public employees. Many cities, however,
face increasing challenges funding these benefits while maintaining levels of public services their residents expect. Employer
contribution rates have increased dramatically in recent years and will continue to do so for years to come. In 2012, the
Legislature adopted more reasonable and sustainable benefit tiers for new employees. However, it will take decades for
those cost savings to be realized. It is critical that all stakeholders work together to address these challenges head-on in
order for local agencies to continue to provide quality services while retaining our valued employees.
What is CalPERS?
CalPERS, the California Public Employees'
A,. CalPE16 Retirement System, is the nation's largest Nearly 2 Million
pension fund. Established in 1932, it is L individuals
a defined benefit system and members include employees of state
agencies, cities, schools and other local public agencies. At retirement,
an employee who vests in the system, typically five years of service, is w
entitled to collect a monthly payment for life. Nearly 2 million individuals
are in the CalPERS system.
How is CalPERS funded? ►*- � �_�_� ... ,� P:
'f'II1: I'o1'1,E,1)SIV lT1a1l0V.»IEU'l '.1
CalPERS is based on "shared '
responsibility." This meansy
all
PIP Nr.
that retiree payments come 590
11V Ir 4 i
from three sources: investment
earnIngs
earnings, employer and employee
contributions. In fiscal year 2017, E
pension payouts totaled $20.63
billion—a 43 percent increase Changes to investment earnings have a direct effect on employer
contribution rates.As investment earnings decrease, employer
from the amount reported in contributions increase.This means that more money is off the bargaining I
2012. This means that of the table for raises and public services are put under financial strain.
$20.63 billion, a portion equal to
28 cents of every dollar is paid 110/0
for by employers.' Does CAPERS have enough cash on
hand to pay promised benefits?
CalPERS is not fully funded. As of July 2018, CalPERS only had 71% of the funds
required to pay estimated retirement benefits. That means there is only 71 cents for every
dollar needed to fund retiree benefits. CalPERS' goal is to be 100% funded. Should we
face even a mild recession, the funded status could be reduced further. Experts warn
that the system may no longer be viable should the fund drop below 50-55%funded.
'Note: In some cases through negotiations,employees may pay a portion of the employer's share.
League of California Cities 1 1400 K Street, Suite 400 I Sacramento, California 95814 1 Phone: (916)658-8200 1 www.cacit7E2.org
Retirement System Sustainability -
A SECURE FUTURE FOR CALIFORNIA CITIES
Why are contribution payments s]►I
increasing. �
F i
Several factors are resulting in increased employer and in
some case employee contributions. A primary reason for the
increase was the Great Recession in 2008 when CalPERS
suffered a 27% negative return with a gross impact of a
34.75% loss to the fund.
» A recent revision to the fund's Actuarial
Other factors Include: Amortization Policy from 30 years to 20 years will
go into effect in the 2021-22 fiscal year based on the
» Enhanced pension benefits authorized by state law actuarial valuations of 2019. While shortening the
in 2000 for public safety employees and 2001 for all amortization schedule is fiscally prudent for the fund
other public employees, which included a retroactive in the long term, in the short term this may increase
credit for years of service. Subsequently, these city contribution amounts if CalPERS does not hit their
enhanced benefits, negotiated locally, have increased annual investment target of 7 percent. According to
member agency contribution rates and payments CaIPERS, they expect an average of 6.1 percent returns
to retirees. over the next ten years.
» People are living and drawing pensions longer.
CalPERS has increased rates for member agencies to What is at stake for cities and
adjust for longer lifespans.
their employees?
» There are fewer
active employees for Growing employer contributions are having a direct impact
each retiree. In 2001, on city residents and employees. Difficult choices will have to
there were two active be made at the local level as cities work to maintain critical
workers for each retiree. services for their residents. Each city will need to assess its
By 2018, that dropped own liabilities to determine several factors including:
to 1.25 and CaIPERS » The overall service model and which public services may
projects that in 10-20 a,0011 Q16, F need to be reduced;
„yowl. v W=
years there will be » Identification of new or additional revenue sources, find
just 0.6 active workers per retiree. Fewer people ways to make pre-payment contributions; and
paying into the system means higher contribution rates » Revisions to employee health benefits and staffing levels.
from local agencies and their employees.
» When CaIPERS lowers its investment return Collaboration is the key to system
target, also known as the "discount rate," member sustainability
agencies must increase contributions to make up
the difference. CaIPERS authorized an adjustment There are various tools cities can use to address the fiscal
to the discount rate from 7.75% to 7.5% in 2014 challenge created by rising pension costs to provide greater
and then to 7% in 2016. This last adjustment will be financial and retirement security. Most importantly, cities must
phased in over eight years with the member rates rising approach all impacted stakeholders in a collaborative manner
exponentially each year. The full impact of the discount to ensure long-term sustainability of the system. These
rate adjustment will be realized in fiscal year 2024. stakeholders include:
» Local and state employee, employer and retiree
41
% } 010 organizations, etc.;
» CaIPERS Board of Directors and executive leaders;
E5 *7
» The Legislature and Governor's Office; and
For more information,visit: 4�=s:llwww.cacities.araloensians » Neighboring municipalities. 73
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5, 2019
AGENDA STATEMENT AGENDA HEADING: Reports of Committees,
Commissions, and Boards
AGENDA DESCRIPTION:
Consideration and possible action to adopt a Resolution adopting the revised Technology
Committee Bylaws.
(Fiscal Impact:None)
RECOMMENDED COUNCIL ACTION:
1. Adopt a Resolution adopting the revised Technology Committee Bylaws.
2. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1. Revised Technology Committee By-laws
2. Resolution No.
FISCAL IMPACT: None
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
STRATEGIC PLAN:
Goal: 1. Optimize Impact of Technology
Objective: 2. Create effective structure for integrated focus on the technology
needs of the City and its constituents
ORIGINATED BY: Shantae Duren, ISD Administrative Specialist
REVIEWED BY: Charles Mallory, Information Systems Direct
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
The Technology Committee was established as an advisory group to assist City staff to identify
and prioritize technology strategies and projects to improve service delivery. On January 14,2019,
the Technology Committee voted to revise their Bylaws in collaboration with staff to include two
minor changes.
The changes of the revised Bylaws are as follows:
1. Article IV- Membership, Section IV- Removal; currently reads, "Members of the
Technology Committee are expected to attend all meetings. When any member has three
74
consecutive, or a total of 6 or more absences within a 12-month period, the member's seat
shall be deemed vacant." The Technology Committee voted to change the section to read,
"Members of the Technology Committee are expected to attend all meetings. When any
member has three consecutive, or a total of 6 or more absences within a 12-month period,
the member's seat may be deemed vacant if determined so by the Chair and Vice Chair
of the Committee."
The above change allows the Technology Committee to determine if a member's absence
from multiple monthly meetings constitutes the dismissal of the committee member. This
will allow the Committee to take into consideration a member's participation outside of
monthly meetings as well as their contribution during Technology Committee meetings
before determining if their dismissal is what's best for the Committee.
2. Article V- Meetings, Section I- Regular Meetings currently reads, "Regular meetings of
the Technology Committee shall be on the 2nd Monday of every month at 6:00pm. The
location shall be the Police Department Emergency Operations Center (E.O.C.). If the
meeting falls on a holiday then is shall be held on the next day the City is open for business"
will be changed to read "Regular meetings of the Technology Committee shall be on the
2nd Monday of every month at 6:00pm.The Location shall be the conference room located
at Fire Station #2. If the meeting falls on a holiday then it shall be held on the next day
that the City is open for business."
This change is a result of dealing with multiple scheduling conflicts that have come about
with the Police Department Emergency Operations Center (E.O.C.). Fire Station #2
receives less bookings and therefore will cause less scheduling conflicts when hosting the
Committee's monthly meetings.
Based on the recommendations of the Technology Committee, Staff recommends that the City
Council adopt the resolution adopting the revised Technology Committee Bylaws.
75
EXHIBIT A
CITY OF EL SEGUNDO - TECHNOLOGY COMMITTEE
BYLAWS
ARTICLE I— NAME
The name of this organization shall be the Technology Committee, aka ITC (Information
Technology Committee).
ARTICLE II—PURPOSE AND ROLE
Section I - General
The Technology Committee shall collaborate with City staff and the local information
technology community to identify and prioritize technology strategies and projects that are
consistent with governmental standards and improve current systems to provide the City
and the public with improved technology equipment and services. The Committee is a
standing committee that serves at the pleasure of the City Council.
The Committee shall make recommendations that balance the needs of all departments while
taking under consideration that some short-term actions may need to be postponed due to
the overarching and/or long-term goals, budgetary constraints, and other priorities of the
City's IT Department.
The Committee will advise on any and all projects as requested by the City or as required per
these bylaws. However, the higher purpose of the Committee is to work in conjunction with
Staff on the key strategic needs of the City– balancing perceived and unrecognized needs
with current projects. While the Committee may be asked to advise on tactics of IT projects,
it is the fundamental purpose of the Technology Committee to understand the overarching
needs of the City and collaborate with City personnel to ensure that the total needs are met,
not just the project needs.
The Committee shall work with staff and shall submit an annual prioritized list of proposed
projects to the City Council for consideration and potential approval. The IT Director shall
first collect a list of all staff and Committee requested projects and prioritize them according
to need. The Committee shall then review the Director's list of projects and work with the
Director to finalize a list to present to the City Council for approval.
The Committee shall work with staff to provide quarterly reports to the Council regarding the
progress of the projects. The Committee shall not be responsible for managing the projects.
The City Manager and IT Director shall oversee staff as set forth in their respective roles for
purposes of managing projects.
With regard to projects that are anticipated to exceed $50,000, are on the annual prioritized
list of projects, or will be used by the public (residents, visitors, and businesses) the
Committee shall be involved in selection process identified in Section II. For sole source
purchases in excess of$50,000, staff shall make a presentation to the Committee as to why
the purchase qualifies as a sole source purchase. If the Committee disagrees, such will be
Tech Comm Bylaws 02.19
76
noted in the staff report to the Council requesting approval of the purchase. For projects that
are being mandated by another agency and the City is required to purchase a particular
product, the staff shall make a presentation to the Committee regarding the project and
product. If the Committee has concerns about the project and/or product, such concerns
shall be noted in the staff report to the Council requesting authority to purchase the product.
Section II -Technology and Software Selection Process
An immediate goal of the Committee shall be to collaborate with staff and develop a broader
technology and software selection process (TSSP), including template of a request for
proposals form (RFP) for purposes of soliciting IT equipment and services from third party
vendors and quality assurance processes. This work shall be crafted by the City and input
provided by the Committee. The RFP shall include without limitation, functional
requirements, technical requirements, vendor history, maintenance services, integration
requirements, and a request for warranty information. The process shall identify the City
staff positions to be involved in the process and also include developing a timeline for noticing
proposals, for vendors to submit proposals, for staff to evaluate proposals (including
demonstrations), and for staff to provide a recommendation to Council.
The process will also provide a list of success criteria and a functional requirement scorecard
for evaluating proposals. A potential list of viable proposers shall be identified and information
explaining if they did not submit a proposal, why not. The requirements for the TSSP in this
Section are not exhaustive as it is intended that the Committee and staff will identify other
components to include in the process. The Committee and staff shall submit the proposed
TSSP process to the City Council for approval.
The Committee shall not be involved in the drafting of specific proposals or in the ranking,
selection, or recommendation to Council of vendors. However, before proceeding to issue a
request for proposal, a subcommittee of the Committee shall review the request for proposal
and provide input with regard to whether it meets the City's request for proposals
requirements.
Members of the subcommittee shall not create a quorum. This subcommittee shall also
conduct a criteria success ranking of the vendor that staff is recommending to Council that
involves a proposed purchase. This criteria success ranking information shall be included in
the staff report provided to the Council with regard to the recommended award of contract.
ARTICLE III—QUALIFICATIONS
Members of the Technology Committee shall represent a cross section of the community
including both residents and local industry representatives who have expert knowledge in
technology, and general technological practices.
ARTICLE IV— MEMBERSHIP
The Technology Committee shall be composed of eleven (11) voting members and two (2)
members of the City Council to serve as liaison, non-voting members; all of whom shall be
appointed by the Council.
Tech Comm Bylaws 02.19
77
Section I — Selection of members
o The City of EI Segundo shall advertise and solicit applications to fill any vacant
position that might occur. After the application period has closed, the Chair, two (2)
members of the Technology Committee and the IT Director shall review the
applications with the sole purpose of making a recommendation for selection to the
Mayor and members of the City Council. The Council shall interview the
recommended all candidates and the City Council shall make the final selection and
appointments.
Section II —Term of Office
o The term for each voting member of the Technology Committee is four (4) years.
However, the initial terms of 5 of the members shall only be two (2) years so that
the terms shall be staggered to promote the stability of the Committee. The
Committee is a standing advisory committee that serves at the pleasure of the City
Council (see Article VI Section III Duties of the Technology Committee Members).
Section III — Compensation
o Technology Committee members shall serve without compensation and shall
only be reimbursed for expenses approved by the Council.
Section IV— Removal
o Members of the Technology Committee are expected to attend all meetings. When
any member has three consecutive, or a total of 6 or more absences within a 12-
month period, the member's seat may be deemed vacant if determined so by the
Chair and Vice Chair of the Committee.
ARTICLE V— MEETINGS
All meetings of the Committee shall be publicly noticed, open to the public and in a publicly-
accessible location as required by state law.
Section I — Regular Meetings
o Regular meetings of the Technology Committee shall be on the 2nd Monday of
every month at 6:00 pm. The Location shall be the conference room located at Fire
Station #2. If the regular meeting falls on a holiday then it shall be held on the
next day that the City is open for business.
Section II — Special Meetings
o Special Meetings of the Technology Committee may be held at any time upon the
call of the Committee Chair, or by a majority of the voting members, or the City
Council following at least forty-eight (48) hours' notice to each Committee member.
The Committee Chair or a majority of the Technology Committee shall determine
the time and location of the Special Meeting.
Section III — Study Sessions / Workshops / Seminars – N/A.
Section IV — Quorum
Tech Comm Bylaws 02.19
78
o A majority of the voting members of the Technology Committee shall constitute a
quorum. A quorum is necessary for action by the Technology Committee.
Section V — Voting
o Each voting member shall have one vote.
Section VI — Meeting Procedures
o Except as otherwise provided by these Bylaws, City Council Resolutions or state law,
the Technology Committee will follow the latest edition of the Roberts Ru/es of
Orderfor the orderly conduct of meetings.
ARTICLE VI-OFFICERS
Officers of the Technology Committee shall be a Committee Chair and a Vice Chair who
shall serve at the pleasure to the Technology Committee. Term of office shall be for
one (1) year. These Officers shall be voted on at the Committee's first meeting in
January. Duties of the officers shall conform to the regular parliament duties set forth
by the latest edition of the Roberts Ru/es of Order, unless otherwise stated.
Section I — Committee Chair
o The Committee Chair shall preside over the meetings of the Technology
Committee.
Section II — Committee Vice Chair
o During the absence, disability, or disqualification of the Committee Chair,
the Committee Vice Chair shall perform all the duties and be subject to all
the responsibilities of the Committee Chair. The Committee Vice Chair shall
succeed the Committee Chair if he/she vacates the office before the term
expires. If this occurs, a new Committee Vice Chair shall be elected at the
next regular meeting.
Section III — Duties of the Technology Committee Members
o It is intended that the Technology Committee shall serve an advisory body
to the City Council. The duties of the Members are set forth in these
bylaws.
o Members of the Technology Committee shall not perform any services or
work that would normally be performed by City staff or contractors. In
the event a member desires to access City equipment, network or
technology in order to provide advice to the City Council or the staff,
such access may only be granted by the City Manager upon consultation
with the City Attorney. The City has a legal obligation to limit access to
personnel, tax, medical, and other information deemed confidential and
sensitive.
ARTICLE VII—OFFICIAL DOCUMENTS
Section I — Minutes
Tech Comm Bylaws 02.19
79
o Minutes of all meetings shall be prepared and maintained with the Technology
Committee records. Copies shall be distributed to each Technology Committee
member, City Council member, and to the City Clerk.
Section II — Distribution of Documents
o Preparation and distribution of Technology Committee documents to the
members, City Council and City Clerk shall be the responsibility of a
designated staff member from the Information Services
Division/Department.
o The official Technology Committee Agenda and previous meeting
minutes will be available no less than 72 hours before a scheduled
meeting
ARTICLE VIII—ASSISTANCE OF STAFF
The City Manager and IT Director will work with the Technology Committee to provide
information (subject to the limitations set forth in Article VI) and staff assistance as
the Technology Committee may request from time to time. The staff member(s)
designated by the City Manager shall attend meetings of the Technology Committee
and submit such reports as requested by the Technology Committee and as deemed
necessary or desirable, subject to the City Manager in his discretion determining deadlines for
providing such assistance based upon other duties that staff is performing.
ARTICLE IX—AMENDMENTS
The Committee may recommend amendments to these Bylaws. Such
recommendations may be made by simple majority of the voting members at any
meeting of the Technology Committee. Such amendments must be approved by the
City Council.
RECOMMENDED FOR APPROVAL by the Technology Committee—January 14, 2019
PASSED AND ADOPTED by the EI Segundo City Council — February 5, 2019
Tech Comm Bylaws 02.19
80
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL
SEGUNDO ADOPTING THE TECHNOLOGY COMMITTEE'S BY-LAWS
The City Council of the City of EI Segundo does resolve as follows:
SECTION 1: Recitals:
A. On July 19, 2016, the City Council established the EI Segundo
Technology Committee;
B. On January 17, 2017, the City Council adopted Resolution No. 5018,
formally establishing the Technology Committee and adopting its by-laws;
C. On January 14, 2019, the Technology Committee voted to recommend the
City Council approve a revised set of by-laws and requests that the City
Council adopt the Technology Committee's revised by-laws;
D. The City Council desires to adopt the Technology Committee's proposed
by-laws.
SECTION 2: Adoption of By-laws. The by-laws recommended for adoption by the
Committee and attached as Exhibit A are hereby adopted.
SECTION 3: This Resolution will become effective immediately upon adoption and
remain effective unless superseded by a subsequent resolution.
PASSED, APPROVED AND ADOPTED this day of February, 2019.
Drew Boyles, Mayor
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO )
I, Tracy Weaver, City Clerk of the City of EI Segundo, California, do hereby certify that
the whole number of members of the City Council of said City is five; that the foregoing
Resolution No. was duly passed, approved and adopted by said City Council at a
regular meeting held on the day of February, 2019, approved and signed by the
Mayor, and attested to by the City Clerk, by the following vote:
AYES:
-1-
81
NOES:
ABSENT:
ABSTAIN:
Tracy Weaver, City Clerk
APPROVED AS TO FORM:
Mark D. Hensley, City Attorney
-2-
82
CITY OF EL SEGUNDO
WARRANTS TOTALS BY FUND
3024396 3024504 DATE OF APPROVAL: AS OF 2105x19 REGISTER it Sa
9000700 9000737
D01 GENERAL FUND 278,727.46
1D4 TRAFFIC SAFETY FUND -
106 STATE GAS TAX FUND
108 ASSOCIATED RECREATION ACTIVITIES FUND -
105 ASSET FORFEITURE FUND 7.58697
111 COMM-DEVEL.BLOCK GRANT -
112 PROP"A'TRANSPORTATION 3000
114 PROP"C'TRANSPORTATION -
115 AIR QUALITY INVESTMENT PROGRAM
116 HOME SOUND 114STALLATION FUND -
117 HYPERION MITIGATION FUND
1 to TDA ARTICLE 3-SS 821 BIKEWAY FUND
119 MITA GRANT -
121 FEMA
120 C O.P.S.FUND
122 L A W.A.FUND
123 PSAF PROPERTY TAX PUBLIC SAFETY -
262 ASSESSMENT DISTRICT#73
301 CAPITAL IMPROVEMENT FUND -
302 INFRASTRUCTURE REPLACEMENT FUND -
405 FACILITIES MAINTENANCE
501 WATER UTILITY FUND 7.65780
502 WASTEWATER FUND 261,687 10
503 GOLF COURSE FUND -
601 EQUIPMENT REPLACEMENT 1,44833
802 LIABILITY INSURANCE
603 WORKERS COMP.RESERVEIINSURANCE -
701 RETIRED EMP INSURANCE -
702 EXPENDABLE TRUST FUND-DEVELOPER FEES 9,03363
703 EXPENDABLE TRUST FUND-OTHER 6.750.00
708 OUTSIDE SERVICES TRUST f
TOTAL WARRANTS $ 599,701.88 Lf
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
Information on actual expenditures is available in the Director of Finance's office in the
City of EI Segundo.
I certify as to the accuracy of the Demands and the availability of fund for payment thereof.
For Approval:Regular checks held for City council authorization to release.
CODES: VOID CHECKS DUE TO ALIGNMENT:
NIA
R= Computer generated checks for all non-emergency/urgency payments for materials,supplies and
services in support Of City Operations
VOID CHECKS DUE TO INCORRECT CHECK DATE:
For Ratification:
A= Payroll and Employee Benefit checks VOID CHECKS DUE TO COMPUTER SOFTWARE ERROR:
B-F= Computer generated Early Release disbursements and/or adjustments approved by the City
Manager. Such as:payments for utility services,petty cash and employee travel expense NOTES
reimbursements,various refunds,contract employee Services consistent with current contractual
agreements,instances where prompt payment discounts can be obtained or tate payment penalties
can be avoided or when a situation arises that the City Manager approves
H_ ' Handwritten 71iy Re 19 disbu. 1enL5 and/or adjustments approved by the City Manager
FINANCE DIRECTOR •. ` CITY MANAGER
DATE: l !C_, --TE- /-/7-1
00 J
W
CITY OF EL SEGUNDO
PAYMENTS BY WIRE TRANSFER
117119 THROUGH 1113119
Date Paye Description
1/8/2019 State of CA EFT 1,452.91 EFT Child support payment
1/8/2019 Cal Pers 496,216.00 EFT Health Insurance Payment
1/9/2019 Cal Pers 5,032.08 EFT Retirement Safety-Fire-PEPRA New 25020
1/9/2019 Cal Pers 7,540.43 EFT Retirement Safety-Police-PEPRA New 25021
1/9/2019 Cal Pers 21,863,12 EFT Retirement Misc-PEPRA New 26013
1/9/2019 Cal Pers 49,068.70 EFT Retirement Misc-Classic 27
1/9/2019 Cal Pers 68,025.76 EFT Retirement Safety Police Classic- 1 st Tier 28
1/9/2019 Cal Pers 49,726.79 EFT Retirement Safety Fire-Classic 30168
1/9/2019 Cal Pers 4,134.69 EFT Retirement Sfty Police Classic-2nd Tier 30169
1/9/2019 Cal Pers 600.00 Admin Fee-Retired Annuitant Late
119/2019 Cal Pers 200.00 Admin Fee-Late Payroll Reporting
1/9/2019 Cal Pers 200.00 Admin Fee-Late Payroll Reporting
1/9/2019 Cal Pers 1,800.00 Admin Fee- Retired Annuitant Late
1/9/2019 Cal Pers 200.00 Admin Fee- Late Payroll Reporting
1/9/2019 Cal Pers 200.00 Admin Fee- Late Payroll Reporting
1/9/2019 Cal Pers 398.55 EFT Retirement Safety Fire-Classic 30168
119/2019 Cal Pers 200.00 Admin Fee-Late Payroll Reporting
1/9/2019 Cal Pers 9.51 EFT Retirement Misc-Classic 27
119/2019 Cal Pers 2,600.00 Admin Fee-Retired Annuitant Late
1/9/2019 Cal Pers 200.00 Admin Fee-Late Payroll Reporting
1/9/2019 Cal Pers 320,92 EFT Retirement Safety Police Classic- 1 st Tier 28
1/9/2019 Cal Pers 2.89 EFT Retirement Misc-Classic 27
1/10/2019 West Basin 1,967,927.09 H2O payment
1/11/2019 Health Comp 7,613.82 Weekly claims
1/11/2019 Manufacturers &Traders 25,248.47 457 payment Vantagepoint
1/11/2019 Manufacturers &Traders 800.00 IRA payment Vantagepoint
12/31/18-1/6119 Workers Comp Activity 15,395.97 SCRMA checks issued
12/31/18-116/19 Liability Trust-Claims 0.00 Claim checks issued
12/31/18-1/6/19 Retiree Health Insurance (38.30) Health Reimbursment checks issued
2,726,939.40
DATE OF RATIFICATION: 1111119
TOTAL PAYMENTS BY WIRE: 2,726,939.40
Certified as to the
accuracy of the wire transfers by:
Deputy City Treast� I! Date
Director of na c Date
City Managq Date
Information[on actual expenditures is available in the City Treasurer's Office of the City of EI Segundo.
R%Glty TreasureAWire TransferslWire Transfers 10-01-18 to 9-30-19 1/11/2019 111
84
CITY OF EL SEGUNDO
WARRANTS TOTALS BY FUND
3024505 - 3024623 DATE OF APPROVAL: AS OF 2ID5119 REGISTER#8b
9000738 WM74D
001 GENERAL FUND 295,269.73
104 TRAFFIC SAFETY FUND
108 STATE GAS TAX FUND
108 ASSOCIATED RECREATION ACTIVITIES FUND -
109 ASSET FORFEITURE FUND 24,600.79
111 COMM DEVEL.BLOCK GRANT
112 PROP"A"TRANSPORTATION 512.50
114 PROP"C"TRANSPORTATION 12750
115 AIR QUALITY INVESTMENT PROGRAM -
116 HOME SOUND INSTALLATION FUND 12.31
117 HYPERION MITIGATION FUND -
1 ie TDA ARTICLE 3-SO 821 BIKEWAY FUND
119 MTA GRANT
121 FEMA
120 C.O.P.S FUND
122 L A.W A.FUND
123 PSAF PROPERTY TAX PUBLIC SAFETY
202 ASSESSMENT DISTRICT#73
301 CAPITAL IMPROVEMENT FUND 2,01600
302 INFRASTRUCTURE REPLACEMENT FUND •
405 FACILITIES MAINTENANCE -
501 WATER UTILITY FUND 34,912.12
502 WASTEWATER FUND 3,271.45
503 GOLF COURSE FUND •
601 EQUIPMENT REPLACEMENT
602 LIABILITY INSURANCE 2,323.00
603 WORKERS COMP,RESERVEIINSURANCE
701 RETiREDEMP.INSURANCE
702 EXPENDABLE TRUST FUND-DEVELOPER FEES 2,158.20
703 EXPENDABLE TRUST FUND-OTHER 2,000.00
708 OUTSIDE SERVICES TRUST -
TOTAL WARRANTS S 357,203.60
STATE OF CALIFORN[A
COUNTY OF LOS ANGELES
Information on actual expenditures is available in the DireClor of Finance's Office in the
City of EI Segundo.
I certify as to the accuracy of the Demands and the availability of fund for payment thereof.
For Approval:Regular checks held for City council authorization to release.
CODES: VOID CHECKS DUE TQ ALIGNMENT:
rA
R= Computer generated checks for all non-emergencyfurgency payments for materials,supplies and
services in support of City Operations
VOID CHECKS DUE TO INCORRECT CHECK DATE:
For Ratification:
A� Payroll and Employee Benefit checks VOID CHECKS DUE TO COMPUTER SOFTWARE ERROR:
B-F= Computer generated Early Release dicbursements arldfcr ediuslmenls approved by the City
Manager Such as:Payments for utility Services,petty cash and employee travel OxPOnso NOTES
reimbulsmrienls,various refunds,contract emplayoe Safv1005 CWOStentMth wrranl contractual
9 agreemenls.instances Nhrve prompt Payment dhscounts can be obtained or late payment penatt.as
can be avoided or when a siluaiion arises Thal uhe City Manager approves.
H=
!JJ Hanck viten Ilse d samonrs andtof atWStmrnts aporoved by the City ManaWr.
FINANCE DIRECTOR CITY MANAGER
DATE: 1 DATE:
CIO t
01
CITY OF EL SEGUNDO
PAYMENTS BY WIRE TRANSFER
1114119 THROUGH 1/20/19
Date Payee Description
1/14/2019 IRS 235,316.34 Federal 941 Deposit
1/14/2019 Employment Development 51,849.83 State PIT Withholding
1/14/2019 Employment Development 3,701.81 State SDI payment
1/14/2019 Nationwide NRS EFT 54,461.61 EFT 457 payment
1/15/2019 State of CA EFT 1,452.91 EFT Child support payment
1/15/2019 Pitney Bowes 10,000.00 Postage for City Hall
1/15/2019 Chase Bank 21,489.02 Annual Bank Fees
1/18/2019 Health Comp 734.89 Weekly claims
1/18/2019 Joint Council of Teamsters 4,845,00 Vision Insurance payment 11/2018
1/7/19-1/13/19 Workers Comp Activity 27,245.98 SCRMA checks issued
1/7/19-1/13119 Liability Trust-Claims 25,000.00 Claim checks issued
1/7/19-1/13/19 Retiree Health Insurance 0.00 Health Reimbursment checks issued
436,097.39
DATE OF RATIFICATION: 1117119
TOTAL PAYMENTS BY WIRE: 436,097.39
Certified as to the accuracy of the wire transfers by:
Deputy City Treasurerr II Date
75-1;,
Direct Fi }ice Date
City age{ Date
Information Ion actual expenditures is available in the City Treasurer's Office of the City of EI Segundo,
PACity TreasureftWire TransferslWire Transfers 10-01-18 to 9-30-19 1/17/2019 111
86
CITY OF EL SEGUNDO
WARRANTS TOTALS BY FUND
3024624 - 3024682 DATE OF APPROVAL: AS OF 21051`19 REGI 1 ec
9000741 - 9000742
001 GENERAL FUND 116,291 16
104 TRAFFIC SAFETY FUND -
106 STATE GAS TAX FUND
106 ASSOCIATED RECREATION ACTIVITIES FUND -
109 ASSET FORFEITURE FUND -
111 COMM.DEVEL.BLOCK GRANT -
112 PROP"A"TRANSPORTATION -
114 PROP"C"TRANSFORTATION
115 AIR QUALITY INVESTMENT PROGRAM
116 HOME BOUND INSTALLATION FUND -
117 HYPERION MITIGATION FUND
11e TDA ARTICLE 3-SB 821 BIKEWAY FUND -
119 MTA GRANT -
121 FEMA
120 C.O.P.S.FUND
122 L.A.W.A.FUND -
123 PSAF PROPERTY TAX PUBLIC SAFETY
202 ASSESSMENT DISTRICT 973
301 CAPITAL IMPROVEMENT FUND
302 INFRASTRUCTURE REPLACEMENT FUND
405 FACILITIES MAINTENANCE -
501 WATER UTILITY FUND 5,290.26
502 WASTEWATER FUND 1,615.86
503 GOLF COURSE FUND
601 EQUIPMENT REPLACEMENT
602 LIABILITY INSURANCE
603 WORKERS COMP RESERVEANSURANCE -
701 RETIRED EMP.INSURANCE -
702 EXPENDABLE TRUST FUND-DEVELOPER FEES -
703 EXPENDABLE TRUST FUND-OTHER 1,000,00
708 OUTSIDE SERVICES TRUST -
TOTAL WARRANTS S 126.018.22
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
Information on actual expenditures is available in the Director of Finance's Office in the
City of EI Segundo.
I certify as to the accuracy of the Demands and the availability of fund for payment thereof.
For Approval:Regular checks held for City council authorization to release.
CODES: VOID CHECKS DUE TP ALIGNMENT:
NIA
R= Computer generated checks for all non-emergencylurgency payments for materials,Supplies and
services in support of City Operations
VOID CHECKS DUE TO INCORRECT CHECK DATE:
For Ratification:
A= Payroll and Employee Benefit checks VOID CHECKS DUE TO COMPUTER SOFTWARE ERROR:
B-F= Computer generated Early Release disbursements andfor adjustments approved by the City
Manager Such as:payments for utility services,petty cash and employee travel expense NOTES
relmbvr5ements,various refunds.Contract amp!ayee services consistent vAth current contractual
a;;r�erlMnis.L-e5fencas where prompt payment discounts ran to e6fainad Gr falx payment penaltres
- can Ga avpMed or when T situation Prises that the City Manages approves.
H= Handwrillen Earty Release-dllsls�urrsemenk andfor adjustments approved by the pity Mann P.
FINANCE DfREC70R F 1-&— )/,4,
CITY MANAGERDATE: DATE: f..
00
4 22
CITY OF EL SEGUNDO
PAYMENTS BY WIRE TRANSFER
1/21/19 THROUGH 1/27199
Date. Payee Description
1/24/2019 Cal Pers 5,032.08 EFT Retirement Safety-Fire-PEPRA New 25020
1/24/2019 Cal Pers 8,070.10 EFT Retirement Safety-Police-PEPRA New 25021
1/24/2019 Cal Pers 21,326.91 EFT Retirement Misc- PEPRA New 26013
1/24/2019 Cal Pers 49,234.92 EFT Retirement Misc-Classic 27
1/24/2019 Cal Pers 76,301.00 EFT Retirement Safety Police Classic-1 st Tier 28
1/24/2019 Cal Pers 49,803.22 EFT Retirement Safety Fire-Classic 30168
1/24/2019 Cal Pers 4,249.46 EFT Retirement Sfty Police Classic-2nd Tier 30169
1/25/2019 Manufacturers&Traders 25,766.92 457 payment Vantagepoint
1/25/2019 Manufacturers &Traders 800.00 IRA payment Vantagepoint
1/14/19-1120/19 Workers Comp Activity 69,295.72 SCRMA checks issued
1/14119-1120/19 Liability Trust-Claims 0.00 Claim checks issued
1/14/19-1/20/19 Retiree Health Insurance 0.00 Health Reimbursment checks issued
309,880.33
DATE OF RATIFICATION: 1128/19
TOTAL PAYMENTS BY WIRE: 309,880.33
Certified as to the accuracy of the wire transfers by:
Deputy City Treasurer Date
❑e ,
t �a 9Yiq
�rector 3nanc Date
City Mana,gr Date
Lr
Information on actual expenditures is available in the City Treasurer's Office of the City of EI Segundo.
P:1City TreasurerlWire Transfers\Wire Transfers 10-01-18 to 9-30-19 1/28/2019 111
88
MEETING OF THE EL SEGUNDO CITY COUNCIL
TUESDAY, JANUARY 15, 2019 — 5:00 PM
5:00 P.M. SESSION
CALL TO ORDER — Mayor Boyles at 5:07 PM
ROLL CALL
Mayor Boyles Present
Mayor Pro Tem Pirsztuk Present
Council Member Brann Present
Council Member Pimentel Present
Council Member Nicol Present
PUBLIC COMMUNICATION — (Related to City Business Only— 5 minute limit per
person, 30 minute limit total) None
SPECIAL ORDER OF BUSINESS:
Mayor Boyles announced that Council would be meeting in closed session pursuant to
the items listed on the Agenda.
CLOSED SESSION:
The City Council may move into a closed session pursuant to applicable law, including
the Brown Act (Government Code Section §54960, et seq.) for the purposes of
conferring with the City's Real Property Negotiator; and/or conferring with the City
Attorney on potential and/or existing litigation; and/or discussing matters covered under
Government Code Section §54957 (Personnel); and/or conferring with the City's Labor
Negotiators; as follows:
CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION (Gov't Code
§54956.9(d)(1): -0- matters
CONFERENCE WITH LEGAL COUNSEL —ANTICIPATED LITIGATION
Significant exposure to litigation pursuant to Government Code §54956.9(d)(2): -2-
matters.
Initiation of litigation pursuant to Government Code §54956.9 (d)(4): -1- matters.
DISCUSSION OF PERSONNEL MATTERS (Gov't Code §54957): -0- matters
APPOINTMENT OF PUBLIC EMPLOYEE (Gov't. Code § 54957): -0- matter
MINUTES OF THE REGULAR COUNCIL MEETING 4-
JANUARY 15, 2019
PAGE NO. 1
PUBLIC EMPLOYMENT (Gov't Code § 54957) -1- matter
1. Position: City Manager Recruitment
CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Gov't Code §54956.8): -0-
matters
CONFERENCE WITH CITY'S LABOR NEGOTIATOR (Gov't Code §54957.6): -6-
matters
1. Employee Organizations: Police Management Association, Police Support
Services Employees Association; Supervisory, Professional Employees
Association; City Employee Association; and Executive and
Management/Confidential Employees (unrepresented groups).
Agency Designated Representative: Irma Moisa Rodriquez, City Manager, Greg
Carpenter and Human Resources Director.
Adjourned at 6:55 PM
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15,2019
PAGE NO.2
REGULAR MEETING OF THE EL SEGUNDO CITY COUNCIL
TUESDAY, JANUARY 15, 2019 - 7:00 P.M.
7:00 P.M. SESSION
CALL TO ORDER — Mayor Boyles at 7:00 PM
INVOCATION — Pastor Bill Crawford, New City Church
PLEDGE OF ALLEGIANCE — Council Member Dr. Brann
PRESENTATIONS
a) Presentation by Marsha Hansen, EI Segundo City of Commerce, President and
CEO, presented the 2018 Holiday Parade Winners with certificates.
b) Presentation by Barbara Voss, Deputy City Manager, regarding a seating and
dining Area, "Parklet," that will be installed in Downtown EI Segundo.
c) Presentation by Police Chief Whalen introducing EI Segundo's newest Police
Officer, Kaitlin Ross.
ROLL CALL
Mayor Boyles Present
Mayor Pro Tem Pirsztuk Present
Council Member Brann Present
Council Member Pimentel Present
Council Member Nicol Present
PUBLIC COMMUNICATIONS — (Related to City Business Only — 5 minute limit per
person, 30 minute limit total)
Mayor Boyles announced those wishing to comment on item #C3 (EDCO Waste &
Recycling Services) would be allowed to do so after the presentation from Public
Works on the item.
Eric Albertson, resident, commented on the Aquatic Center and the club teams vying for
lane usage regarding the recent RFP that went out to determine which teams would be
awarded lane usage. He is in favor of Alpha Aquatics, due to the fact that most
members are EI Segundo residents.
Phillip Shulman, resident, commented on the recent RFP regarding the Aquatics Center
Lane usage and is in favor of Alpha Aquatics winning the bid, due to the fact that most
members are EI Segundo residents.
Monica Davis, resident, commented on the recent RFP regarding the Aquatics Center
Lane usage and is in favor of Alpha Aquatics winning the bid, due to the fact that most
members are EI Segundo residents.
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15, 2019
PAGE NO. 3
Nick Small, resident and Sanitation District employee, asked Mayor Boyles to help
resolve a two year impasse, regarding negotiating a contract between the professional
staff and management at the Sanitation District. Mayor Boyles attends Board of
Director meetings for the County of Sanitation Districts.
Rachel McPherson, resident, commented on the recent RFP regarding the Aquatics
Center Lane usage and is in favor of Alpha Aquatics winning the bid, due to the fact that
most members are EI Segundo residents.
Octavio Alesi, Founder and Coach of Alpha Aquatics, commented on the recent RFP
regarding the Aquatics Center Lane usage and is in favor of Alpha Aquatics winning the
bid, due to the fact that most members are EI Segundo residents.
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.
MOTION by Council Member Nicol, SECONDED by Council Member Brann to read all
ordinances and resolutions on the agenda by title only. MOTION PASSED BY
UNANIMOUS VOICE VOTE. 5/0
MAYOR BOYLES MOVED ITEM#D7 TO #1 ON THE AGENDA — TIME
CONSIDERATION FOR THE TECHNOLOGY COMMITTEE MEMBERS.
7. Consideration and possible action to receive and file an informational update
from the Information Systems Department and the Technology Committee
regarding the projects completed in 2018.
(Fiscal Impact: None)
Greg Carpenter, City Manager, introduced the item
Charles Mallory, Information Systems Director, Madelon Smith, Technology Committee
Co-Chair and Jessica Davis, Technology Committee member, reported on the item.
Council discussion
Council consensus to receive and file the informational update and status report.
C. UNFINISHED BUSINESS (Out of order due to moving to #2 in order)
Mayor Boyles left the dais to due possible conflict of interest.
MOVED ITEM #C3 TO #2 ON THE AGENDA — TIME CONSIDERATION FOR
RESIDENTS WISHING TO SPEAK ON THE ITEM.
3. Consideration and possible action to direct staff to enter into negotiations for an
exclusive franchise to EDCO Waste & Recycling Services (EDCO) to provide
automated residential and municipal solid waste hauling services.
(Fiscal Impact: Est. $7,620,000.00 over 7 years)
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15,2019
PAGE NO.4
Greg Carpenter, City Manager, introduced the item.
Ken Berkman, Public Works Director and Michelle Leonard, CSC Engineers Consultant,
gave a presentation.
Public Comment:
Tracey Miller-Zarneke, resident and Environmental Committee Chairperson,
encouraged Council to vote in favor of automated residential and municipal solid waste
services.
Bob Turnbull, resident, encouraged Council to vote in favor of automated residential and
municipal solid waste services.
Rachel McPherson, resident and Environmental Committee member, encouraged
Council to vote in favor of automated residential and municipal solid waste services.
Kevin Maggay, resident and Environmental Committee member, encouraged Council to
vote in favor of automated residential and municipal solid waste services.
Vincent Zuppo, resident and Environmental Committee member, encouraged Council to
vote in favor of automated residential and municipal solid waste services and EDCO.
Nancy Rembold, resident, has concerns about her block (W. Mariposa), where there are
3 houses are on a lot and the proposed automated trash hauling. Ms. Rembold also has
concerns her current trash hauler drivers will be displaced if a new hauler is chosen.
Ray Grothaus, General Manager at Republic Hauling Services, the City's current waste
hauler, thanked the residents for the outpouring of support the past few weeks. Mr.
Grothaus also countered a few points made in favor of EDCO Disposal by staff during
the RFP process.
Steve South, President and CEO, mentioned EDCO is a 51 year old company and is
honored to be considered amongst the top 3 contenders for the exclusive franchise
contract with the City.
Council Discussion
During discussion, Council asked questions of Mark Hensley, City Attorney, Ken
Berkman, Public Works Director and Michelle Leonard, CSC Engineers Consultant.
MOTION by Council Member Nicol, SECONDED by Mayor Pro Tem Pirsztuk, directed
staff to enter into negotiations with EDCO for an exclusive 7-year franchise agreement
in a form approved by the City Attorney, with annual estimated cost of $1,088,530.
MOTION PASSED BY VOICE VOTE. 3/1 YES: Nicol Pimentel Pirsztuk NO: Brann
Recessed at 9:49 PM (After item #C3 was concluded)
Reconvened at 9:56 PM (Resumed the regular order of business, beginning with
item #B1)
Mayor Boyle returned to the dais.
B. SPECIAL ORDERS OF BUSINESS (PUBLIC HEARING)
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15, 2019
PAGE NO 5
1. Consideration and possible action regarding Environmental Assessment No. EA-
1232 and Zone Text Amendment No. ZTA 18-06 to allow massage
establishments as a conditionally permitted use in the Commercial Center (C-4)
zone. The adoption of this ordinance is exempt from the California Environmental
Quality Act (CEQA) pursuant to 14 Cal. Code Regs. § 15061(b)(3) because it
consists only of minor revisions to existing zoning regulations and related
procedures and can be seen with certainty that there is no possibility that the
ordinance will have a significant effect on the environment. (Applicant: Street
Retail, Inc.)
(Fiscal Impact: None)
Mayor Boyles stated this was the time and place for a Public Hearing regarding
Environmental Assessment No. EA-1232 and Zone Text Amendment No. ZTA 18-06 to
allow massage establishments as a conditionally permitted use in the Commercial
Center (C-4) zone.
City Clerk Weaver stated that proper notice had been given in a timely manner and that
written communication has been received in the City Clerk's office.
Greg Carpenter, City Manager, introduced the item.
Sam Lee, Planning and Building Safety Director, gave a presentation.
Public Comment:
Jeff Kreshek, Senior Vice President, Leasing West Coast of Federal Realty Investment
Trust, commented on the item, as his company leases for The Plaza.
MOTION by Council Member Brann, SECONDED by Mayor Pro Tem Pirsztuk to close
the public hearing. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0
Council Discussion
Mark Hensley, City Attorney, read by title only:
ORDINANCE NO. 1579
AN ORDINANCE APPROVING ENVIRONMENTAL ASSESSMENT NO. EA 1232 AND
ZONE TEXT AMENDMENT NO. ZTA 18-06 AMENDING THE EL SEGUNDO
MUNICIPAL CODE TO PERMIT MASSAGE ESTABLISHMENTS AS A
CONDITIONALLY PERMITTED USE IN THE COMMERCIAL CENTER (C-4) ZONE.
Council Member Brann introduce the Ordinance. The second reading and adoption of
the Ordinance is scheduled for February 5, 2019.
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15,2019
PAGE NO.6
2. Consideration and possible action regarding Environmental Assessment No. EA-
1231, Zone Text Amendment No. ZTA 18-05 to amend Article A of Chapter 7 of
Title 15 of the EI Segundo Municipal Code related to the Medium Density
Residential (MDR) overlay zone. This amendment will preserve the existing
overlay while making important updates to bring it into compliance with the new
Smoky Hollow Specific Plan.
(Fiscal Impact: None)
Mayor Boyles stated this was the time and place for a Public Hearing regarding
Environmental Assessment No. EA-1231, Zone Text Amendment No. ZTA 18-05 to
amend Article A of Chapter 7 of Title 15 of the EI Segundo Municipal Code related to
the Medium Density Residential (MDR) overlay zone.
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.
Greg Carpenter, City Manager, introduced the item.
Sam Lee, Planning and Building Safety Director, gave a presentation.
Public Comment: None
MOTION by Council Member Brann, SECONDED by Council Member Nicol to close the
public hearing. MOTION PASSED BY UNANIMOUS VOICE VOTE. 5/0
Council Discussion
Mark Hensley, City Attorney, read by title only:
ORDINANCE NO. 1580
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EL SEGUNDO
APPROVING ZONE TEXT AMENDMENT NO. ZTA 18-05 AMENDING ARTICLE A
(MEDIUM DENSITY RESIDENTIAL (MDR) ZONE) OF CHAPTER 7 (OVERLAY
DISTRICTS) TO TITLE 15 (ZONING REGULATIONS) OF THE MUNICIPAL CODE
Council Member Brann introduce the Ordinance. The second reading and adoption of
the Ordinance is scheduled for February 5, 2019.
C. UNFINISHED BUSINESS
MOVED ITEM #C3 TO #2 ON THE AGENDA — TIME CONSIDERATION FOR
RESIDENTS WISHING TO SPEAK ON THE ITEM.
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15, 2019
PAGE NO. 7
4. Rescission of Brown Act Commitment - In Accordance with Government Code
Section 54960.2 (e), consideration and possible action to rescind the
commitment made by the City Council on November 5, 2013, not to hold further
closed session meetings regarding real property negotiations with regard to
ESCenterCal, LLC's ("CenterCal") proposal to enter into a Ground Lease
Agreement to lease the driving range portion of the Lakes Golf Course from the
City for the purpose of developing a Topgolf facility.
(Fiscal Impact: unknown — depends on whether legal proceedings are
commenced.)
Greg Carpenter, City Manager, introduced the item.
Mark Hensley, City Attorney, reported on the item
Council Discussion
MOTION by Mayor Boyles, SECONDED by Mayor Pro Tem Pirsztuk to rescind the
commitment made by the City Council on November 5, 2013, to not hold further closed
session meetings regarding real property negotiations with regard to CenterCal's
proposal to enter into an Agreement to lease the driving range portion of the Lakes Golf
Course from the City for the purpose of developing a Topgolf facility. MOTION PASSED
BY VOICE VOTE. 4/1 YES: Boyles Nicol Pimentel Pirsztuk NO: Brann
ITEM MOVED TO THE FEBRUARY 5, 2019 CITY COUNCIL MEETING.
5. Consideration and possible action regarding a discussion on the City's
accomplishments made towards addressing the California Public Employees
Retirement System (CaIPERS) rising annual costs and long-term liabilities.
(Fiscal Impact: $0)
D. REPORTS OF COMMITTEES, COMMISSIONS AND BOARDS
6. Consideration and possible action to announce the appointment to the Economic
Development Advisory Council and the Technology Committee.
(Fiscal Impact: None)
Mayor Boyles announced the following appointments to the Economic Development
Advisory Council; Richard Lundquist to a full term expiring January 1, 2022, Al Keahi to
a full term expiring January 1, 2022, Bob Healey to a full term expiring January 1, 2022
and Matthew Thompkins to a full term expiring January 1, 2022 and to the Technology
Committee; Todd Felker to a partial term expiring June 30, 2022.
MAYOR BOYLES MOVED ITEM #D7 TO #1 ON THE AGENDA — TIME
CONSIDERATION FOR THE TECHNOLOGY COMMITTEE MEMBERS.
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 COUNCIL MEETING
JANUARY 15,2019
PAGE NO 8
8. Approve Warrant Numbers 3024065 - 3024189 and 9000657 - 9000694 on
Register No. 6a in the total amount of $371,439.52 and Wire Transfers from
12/10/18 - 12/16/18 in the total amount of$2,235,839.12. Warrant Numbers
3024190 - 3024261 and 9000695 - 9000698 on Register No. 6b in the total
amount of $480,646.14 and Wire Transfers from 12/17/18 - 12/23/18 in the total
amount of $713,244.71. Warrant Numbers 3024262 — 3024295 and 9000699 -
9000699 on Register No. 7a in the total amount of $251,771.54 and Wire
Transfers from 12/24/18 — 12/30/18 in the total amount of $65,387.90. Warrant
Numbers 3024296 — 3024395 on Register No. 7b in the total amount of
$425,867.76 and Wire Transfers from 12/31/18 — 1/6/19 in the total amount of
$10,894,193.70. Ratified Payroll and Employee Benefit checks; checks released
early due to contracts or agreement; emergency disbursements and/or
adjustments; and wire transfers.
9. Approve Regular City Council Meeting Minutes of December 18, 2018-
10.Accept as complete the work performed by Ramona, Inc. for the Storm Drain
Pipe Abandonment on Eucalyptus Drive Project in the City of EI Segundo and
authorize the City Clerk to file a Notice of Completion with the County Recorder's
Office. Project No. PW 18-11.
(Fiscal Impact: $101,000.00)
11.Accept as complete the FY 16/17 Sidewalk, Curb and Gutter Replacement
Project and authorize the City Clerk to file a Notice of Completion in the County
Recorder's office. Project No. PW 17-19.
(Fiscal Impact: $153,456.01)
12.Approve the Part-Time/Hourly Classifications Salary Schedule, adopt Resolution
No. 5124 approving the Part-Time/Hourly Classifications Salary Schedule for
Calendar Year 2019, ratify interim compliance measure, and authorize the City
Manager and/or Finance Director to take budgetary actions consistent with the
adoption of the amended salary schedule.
(Fiscal Impact: None)
13.Approve revoking Resolution No. 4656 containing outdated language regarding
providing delegation of authority for making industrial disability determination
recommendations to the City Manager or designee pursuant to Government
Code § 21173 and adopt revised Resolution No. 5125 incorporating updated
language mandated by CaIPERS regarding delegation of authority for industrial
disability retirement recommendations, including when the City Manager will
certify a determination and who is delegated to sign employer originated
applications.
(Fiscal Impact: None)
MOTION by Mayor Pro Tem Pirsztuk, SECONDED by Council Member Pimentel
approving Consent Agenda items 8, 9, 10, 12, and 13. MOTION PASSED BY
UNANIMOUS VOICE VOTE. 5/0
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15,2019
PAGE NO.9
F. NEW BUSINESS - None
G. REPORTS — CITY MANAGER —Announced the Aquatic Center is now open
and thanked all involved who made it possible.
H. REPORTS — CITY ATTORNEY — Passed
I. REPORTS — CITY CLERK — Passed
J. REPORTS — CITY TREASURER — Not Present
K. REPORTS — CITY COUNCIL MEMBERS
Council Member Pimentel — Thanked the residents for their input on the Solid Waste
Services RFP, it is appreciated, mentioned the 18th Amendment Anniversary is
tomorrow, January 16th (Prohibition) and reminded all Martin Luther King Day will be
upon us next week.
Council Member Nicol —Attended the Young American's program at the High School
Performing Arts Center, attended the Aquatic Center Opening and thanked the Fire
Department for their efforts in helping his family during a crisis.
Council Member Brann — Passed
Mayor Pro Tem Pirsztuk —Attended the Aquatic Center Opening and thanked all who
contributed to the event, congratulated the Police Department on the win over the Fire
Department in the Battle of the Badges Basketball game, thanked the Herald for the
"Year in Review" article and wished Mayor Boyles a Happy Birthday,
Mayor Boyles — Congratulated the Police Department on the win over the Fire
Department in the Battle of the Badges Basketball game.
PUBLIC COMMUNICATIONS — (Related to City Business Only — 5 minute limit per
person, 30 minute limit total)
Jack Axelrod, resident, commented on items of concern (City Seal, name change for the
City, would like to see a Council report on the beach conditions, ban on drones,
redesign of the City Hall Plaza and thanked all for their service.
MEMORIALS — None
ADJOURNMENT at 10:29 PM
Tracy Weaver, City Clerk
MINUTES OF THE REGULAR COUNCIL MEETING
JANUARY 15, 2019
PAGE NO 10
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5, 2019
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action regarding Environmental Assessment No. EA-1231, Zone Text
Amendment No. ZTA 18-05 to amend Article A of Chapter 7 of Title 15 of the El Segundo
Municipal Code related to the Medium Density Residential(MDR)overlay zone. This amendment
will preserve the existing overlay while making important updates to bring it into compliance with
the new Smoky Hollow Specific Plan. (Fiscal Impact: None)
RECOMMENDED COUNCIL ACTION:
1. Waive second reading and adopt Ordinance No. 1580 for Environmental Assessment
No. EA-1231 and Zone Text Amendment No. ZTA 18-05,
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENT:
Ordinance No. 1580
FISCAL IMPACT: None
STRATEGIC PLAN: N/A ��',t�
ORIGINATED BY: Gregg McClain, Planning Manager e l
REVIEWED BY: Sam Lee,Planning &Building Safety Director
APPROVED BY: Greg Carpenter, City Manager,
On January 15, 2019, the City Council introduced an Ordinance to amend Article A of Chapter 7
of Title 15 of the El Segundo Municipal Code related to the Medium Density Residential (MDR)
overlay zone. This amendment preserves the existing overlay while making important updates to
bring it into compliance with the Smoky Hollow Specific Plan.
The Council may waive second reading and adopt the Ordinance. If the Ordinance is adopted by
the City Council,the effective date of the Ordinance will be March 5, 2019, which is 30 days
from the adoption date.
ENVIRONMENTAL REVIEW:
The draft ordinance does not have the potential to cause significant effects on the environment
and, therefore, is exempt from the California Environmental Quality Act (CEQA)pursuant to 14
Cal. Code Regs. § 15061(b)(3). The Ordinance amends the El Segundo Municipal Code to
require a discretionary land use permit for specified types of development which, in some cases,
do not currently require a discretionary land use permit. The addition of the discretionary permit
requirement will trigger the application of CEQA and allow the City to analyze the potential
environmental consequences of a proposed development project before making a decision on the
E5
90
merits of an application. The Ordinance does not portend any development or changes to the
physical environment. Following an evaluation of possible adverse impacts, it can be seen with
certainty that there is no possibility that the Ordinance will have a significant effect on the -
environment. Rather,the primary purpose of the proposed Ordinance is to provide a mechanism
that will allow the City to require a CEQA evaluation of future development proposals meeting
specified thresholds.
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ORDINANCE NO. 1580
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EL
SEGUNDO APPROVING ZONE TEXT AMENDMENT NO. ZTA 18-04
AMENDING ARTICLE A (MEDIUM DENSITY RESIDENTIAL (MDR)
ZONE) OF CHAPTER 7 (OVERLAY DISTRICTS) TO TITLE 15 (ZONING
REGULATIONS) OF THE MUNICIPAL CODE
The City Council of the City of EI Segundo does ordain as follows:
SECTION 1: The City Council finds and declares as follows:
A. Since the original Smoky Hollow Specific Plan was developed, certain properties
at the northern edge of the specific plan area were designated for future
conversion from commercial to residential use. These properties were
designated with the Medium Density Residential (MDR) overlay.
B. The MDR overlay was designed to convert properties from the underlying base
zone (formerly Medium Manufacturing, now Smoky Hollow East) to MDR at some
unspecified future date.
C. The MDR overlay chapter of the ESMC contains development standards that are
very closely aligned to Multi-family residential (R-3) zone development standards.
Therefore, activating the overlay and applying the MDR standards as a zone
creates two nearly identical zones.
D. Several MDR overlay properties were activated prior to the new Smoky Hollow
Specific Plan taking effect on November 1, 2018, and were shown on the City's
official zoning map as "MDR Activated."
E. Previously activated MDR properties were rezoned as part of the Smoky Hollow
update in 2018. Their current zone is now R-3 and the "MDR Activated"
designation no longer exists on the zoning map.
F. For the remaining properties in the MDR overlay, activation after the effective
date of this ordinance will result in the activated properties zoning becoming R-3
and the properties simultaneously being removed from the Smoky Hollow
Specific Plan area.
G. On December 13, 2018, the Planning Commission held a duly-noticed hearing on
the proposed Ordinance, received and considered a staff report and oral and
written testimony from the public, and adopted Planning Commission Resolution
No. 2855 recommending that the City Council adopt the proposed Ordinance as
set forth herein.
92
H. On January 15, 2019, the City Council held a duly-noticed hearing where it
received and considered a staff report, the Planning Commission's
recommendation, and oral and written testimony from the public.
SECTION 2: General Plan Findings. As required pursuant to Government Code
section 65860, the City Council finds that the proposed amendments to the EI Segundo
Municipal Code are consistent with the General Plan as follows:
A. This ordinance makes very minor changes to zoning or development
standards in the existing MDR overlay.
B. Considering all its aspects, the proposed ordinance will further the objectives
and policies of the General Plan and will not obstruct their attainment.
SECTION 3: Zone Text Amendment Findings. In accordance with ESMC Chapter 15-
26 (Amendments), and based on the findings set forth in Sections 1 and 2, the City
Council finds that the proposed ordinance is consistent with and necessary to carry out
the purpose of the ESMC as follows:
A. The ordinance 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. The ordinance changes the future activated MDR properties from attaining a
zone of"MDR Activated" to "R-3," which is consistent with previously
activated MDR properties, which are all currently zoned R-3.
SECTION 4: Article A of Chapter 7 of Title 15 is amended in its entirety to read as
follows:
ARTICLE A. MEDIUM DENSITY RESIDENTIAL (MDR) OVERLAY ZONE
15-7A-1: PURPOSE
A. The purpose of the medium density residential (MDR) zone is to provide for
an area within the Smoky Hollow Specific Plan area that is appropriate for
and capable of sustaining residential uses.
B. Moreover, it is the intent in identifying the long-term potential for residential
use in the area designated to establish that residential use is explicitly
excluded from the remainder of the Smoky Hollow specific plan area, except
for single caretaker dwelling units provided for elsewhere in the plan.
C. The MDR zone shall be considered a "floating zone" in that once a need is
identified, this zone can be activated. This floating zone for the Smoky Hollow
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93
Specific Plan area attempts to recognize that future residential market forces
are anticipated in certain portions of the specific plan area and sensible land
use planning dictates their exact locations given adjacent land uses and
proximity to arterial streets.
D. In effect, this zone is not a true "floating zone" in that it does not add more
regulations over the existing Smoky Hollow East base zone. Rather, it is a
"holding zone" which can be activated and used in place of the base zone.
15-7A-2: ACTIVATION
The following processes activate the MDR zone:
A. A General Plan Amendment to change the designation for proposed activated
property from Smoky Hollow Specific Plan to Multi-Family Residential;
B. A Specific Plan Amendment to remove the proposed activated property from
the Smoky Hollow Specific Plan; and
C. A Zone Change application to change the zone of the proposed activated
property from Smoky Hollow East with MDR overlay to Multi-family
Residential (R-3) without MDR overlay.
15-7A-3: DEVELOPMENT STANDARDS
The development standards that apply to the underlying base zone shall apply
unless and until the MDR is activated. If the MDR is properly activated, Multi-
family Residential (R-3) zoning standards shall apply to the activated property
along with the following additional standards:
A. The setback along Grand Avenue shall be 30 feet minimum for properties
east of Kansas Street, whether it is for a front or side yard.
B. Vehicular access to MDR activated properties may not be taken directly from
Grand Avenue.
SECTION 5. California Environmental Quality Act. The City Council finds that this
Ordinance does not have the potential to cause significant effects on the environment
and, therefore, the project is exempt from the California Environmental Quality Act
(CEQA) pursuant to 14 Cal. Code Regs. § 15061(b)(3).
SECTION 6. Construction. This Ordinance must be broadly construed in order to
achieve the purposes stated herein. It is the City Council's intent that the provisions of
this Ordinance be interpreted or implemented by the City and others in a manner that
facilitates the purposes set forth herein.
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94
SECTION 7. Severability. If any part of this Ordinance or its application is deemed
invalid by a court of competent jurisdiction, the City Council intended 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 8. The City Clerk is directed to certify the passage and adoption of this
Ordinance, cause it to be entered into the City of EI Segundo's book of original
ordinances, make a note of the passage and adoption in the records of this meeting,
and, within 15 days after the passage and adoption of this Ordinance, cause a summary
thereof to be published or posted in accordance with California law.
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95
SECTION 9. This Ordinance will go into effect thirty days after its passage and
adoption.
PASSED AND ADOPTED this 5th day of February, 2019.
Drew Boyles, Mayor
APPROVED AS TO FORM:
By,
Mark D. Hensley, City Attorney
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO )
I, Tracy Weaver, City Clerk of the City of EI Segundo, California, do hereby certify that
the whole number of members of the City Council of said City is five; that the foregoing
Ordinance No. was duly introduced by said City Council at a regular meeting
held on the day of 2019, 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 , 2019, and the
same was so passed and adopted by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Tracy Weaver, City Clerk
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96
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5,2019
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action regarding City Council approval of Environmental Assessment
No. EA-1232 and Zone Text Amendment No. ZTA 18-06 to allow massage establishments as a
conditionally permitted use in the Commercial Center(C-4) zone.
(Applicant: City of El Segundo).
Address: Citywide
RECOMMENDED COUNCIL ACTION:
1. Waive second reading and adopt Ordinance No. 1579 for Environmental Assessment
No. EA-1232 and Zone Text Amendment No. ZTA 18-06 to allow massage
establishments as a conditionally permitted use in the Commercial Center (C-4) zone;
and/or,
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1. Ordinance No. 1579
FISCAL IMPACT: None.
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
STRATEGIC PLAN:
Goal: Champion Economic Development and Fiscal Sustainability
Objective: The City will implement a comprehensive economic development strategy
to ensure the City encourages a vibrant business climate that is accessible,
user-friendly and welcoming to all residents and visitors.
ORIGINATED BY: Gregg McClain, Planning Manager C07
REVIEWED BY: Sam Lee, Planning and Buildin Safety Director
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
On January 15, 2019, the City Council introduced an Ordinance amending the EI Segundo
Municipal Code to allow massage establishments as a conditionally permitted use in the
Commercial Center(C-4) zone.
The Council may waive the second reading and adopt the Ordinance. If the Ordinance is adopted
by the City Council at its January 15th meeting, the effective date of the Ordinance will be March
7, 2019, which is thirty (30) days from the adoption date.
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ORDINANCE NO. 1579
AN ORDINANCE APPROVING ENVIRONMENTAL ASSESSMENT NO.
EA 1232 AND ZONE TEXT AMENDMENT NO. ZTA 18-06 AMENDING
THE EL SEGUNDO MUNICIPAL CODE TO PERMIT MASSAGE
ESTABLISHMENTS AS A CONDITIONALLY PERMITTED USE IN THE
COMMERCIAL CENTER (C-4) ZONE.
The City Council of the city of EI Segundo does ordain as follows:
SECTION 1: The Council finds and declares as follows:
A. On October 15, 2018, Street Retail, Inc. filed an application for an
Environmental Assessment and a Zone Text Amendment to permit
massage establishments as a conditionally permitted use in the C-4
(Commercial Center) zone;
B. On December 13, 2018, the Planning Commission held a public hearing to
receive public testimony and other evidence regarding the application
including information provided to the Planning Commission by city staff;
and, adopted Resolution No. 2854 recommending that the City Council
approve the application;
C. On January 15, 2019, the City Council held a public hearing and considered
the information provided by City staff and public testimony regarding this
Ordinance; and
D. This Ordinance and its findings are made based upon the entire
administrative record including testimony and evidence presented to the
City Council at its January 15, 2019 hearing and the staff report submitted
by the Planning and Building Safety Department.
SECTION 2: Factual Findings and Conclusions. The City Council finds that this
ordinance amends the uses subject to a conditional use permit in the C-4 zone to include
massage establishments.
SECTION 3: General Plan Findings. As required under Government Code Section
65860, the ESMC amendments in the ordinance are consistent with the EI Segundo
General Plan as follows:
A. The ordinance is consistent with Goal LU4 of the General Plan Land Use
Element in that it will permit a new commercial use, such as massage
establishments, which will help provide a stable tax base by promoting a
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mixed-use environment in the C-4 zone and.
B. The ordinance is consistent with Objective LU44 of the General Land Use
Element in that it will permit a new use in an existing commercial area and
create a more synergistic mix of uses, which has the potential to maximize
economic benefit and reduce traffic impacts.
C. The ordinance is consistent with Objective ED1-2 of the General Plan
Economic Development Element in that would permit a new use in the C-4
zone, which promotes the diversification of the City's retail and commercial
base.
D. Considering all of its aspects, this ordinance will further the objectives and
policies of the general plan and will not obstruct their attainment.
SECTION 4: Zone Text Amendment Findings. In accordance with ESMC Chapter 15-26
(Amendments), and based on the findings set forth in Section 2, the ordinance is
consistent with and necessary to carry out the purpose of the ESMC as follows:
A. The ordinance 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. The ordinance is necessary to facilitate the development process and
ensure the orderly location of uses in the City.
SECTION 5: Environmental Assessment. Pursuant to the provisions of the California
Environmental Quality Act, Public Resources Code Sections 21000, et seq. ("CEQA"),
and the regulations promulgated thereunder(14 California Code of Regulations §§ 15000,
et seq., the "State CEQA Guidelines"), the ordinance is exempt from further review
(CEQA Section 15061), because it consists only of minor revisions to existing zoning
regulations and related procedures and does not have the potential for causing a
significant effect on the environment.
SECTION 6: ESMC § 15-5G-2 (Commercial Center (C-4) zone uses subject to
conditional use permit) is amended as follows:
The following uses are allowed subject to obtaining a conditional use permit,
as provided by chapter 23 of this title:
A. Micro-brewery with a tasting room and/or dining.
B. On site sale and consumption of alcohol at bars and wine tasting rooms.
2
99
C. similar seo approvod by the Dirootcr, co provided by ohap�mr 2-3 of
rifle. Massage establishments that meet the requirements of title
4, chapter 10 of this Code and anv other requirements imposed by
law.
D. Other similar uses approved by the Director, as provided by chapter
23 of this title.
SECTION 7: CONSTRUCTION. This ordinance must be broadly construed in order to
achieve the purposes stated in this ordinance. It is the City Council's intent that the
provisions of this ordinance be interpreted or implemented by the City and others in a
manner that facilitates the purposes set forth in this ordinance.
SECTION 8: ENFORCEABILITY. Repeal of any provision of the ESMC does not affect
any penalty, forfeiture, or liability incurred before, or preclude prosecution and imposition
of penalties for any violation occurring before this ordinance's effective date. Any such
repealed part will remain in full force and effect for sustaining action or prosecuting
violations occurring before the effective date of this ordinance.
SECTION 9: VALIDITY OF PREVIOUS CODE SECTIONS. If this entire ordinance or its
application is deemed invalid by a court of competent jurisdiction, any repeal or
amendment of the ESMC or other city ordinance by this ordinance will be rendered void
and cause such previous ESMC provision or other the city ordinance to remain in full
force and effect for all purposes.
SECTION 10: SEVERABILITY. If any part of this ordinance or its application is deemed
invalid by a court of competent jurisdiction, the City Council intends that such invalidity
will not affect the effectiveness of the remaining provisions or applications and, to this
end, the provisions of this ordinance are severable.
SECTION 11: The City Clerk is directed to certify the passage and adoption of this
ordinance; cause it to be entered into the City of EI Segundo's Book of Original
Ordinances; make a note of the passage and adoption in the records of this meeting; and,
within 15 days after the passage and adoption of this ordinance, cause a summary thereof
to be published or posted in accordance with California law.
3
100
SECTION 12: This Ordinance will go into effect and be in full force and effect on the
thirty-first (31st) day after its passage and adoption.
PASSED AND ADOPTED this day of 2019.
Drew Boyles, Mayor
APPROVED AS TO FORM:
Mark D. Hensley, City Attorney
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO )
I, Tracy Weaver, City Clerk of the City of EI Segundo, California, do hereby certify that
the whole number of members of the City Council of said City is five; that the foregoing
Ordinance No. was duly introduced by said City Council at a regular meeting held
on the day of 2019, 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 2019, and the same
was so passed and adopted by the following vote:
AYES:
NOES:
ABSENT;
ABSTAIN-
Tracy Weaver, City Clerk
4
101
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5,2019
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action regarding a request for the allowance of two new restaurants to
serve beer and wine (BBCM), and serve beer, wine, and distilled spirits (Chin Chin) for on-site
consumption. The restaurants are located within the Urban Mixed Use South Zone at 2041
Rosecrans Avenue, Suites 120 and 140. EA 1234 AUP 18-05 and EA 1235 AUP 18-06.
Applicant: Wonton Group, LLC. (Fiscal Impact: None)
RECOMMENDED COUNCIL ACTION:
1. Receive and file this report without objecting to the issuance of the two alcohol permits for
the new restaurants at 2041 Rosecrans Ave, Suites 120 and 140; and/or
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1. Crime and Arrest Statistics by Reporting Districts (RD) for July to December 2018
2. Police Reporting Districts Map
3. Administrative Use Permit approval letter and conditions, dated December 12, 2018
4. Planning Commission Staff Report, dated January 10, 2019
FISCAL IMPACT: None
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
STRATEGIC PLAN: N/A
ORIGINATED BY: Brenna Callero, Assistant Planner
REVIEWED BY: Sam Lee, Planning and Building Safety Direct04
APPROVED BY: Greg Carpenter, City Manager 1%
On December 12,2018,the Director of Planning and Building Safety approved two Administrative
Use Permit applications with conditions of approval,allowing the sale of beer and wine at BBCM,
and the sale of beer,wine, and distilled spirits at Chin Chin, located at 2041 Rosecrans Ave, suites
120 and 140. Planning Commission Received and Filed the Director's decision on January 10,
2019. Pursuant to City Council direction from 1995, this matter is brought to the Council's
attention at this time.
Analysis
According to the most recent Crime and Arrest statistics report prepared by the Police Department,
the proposed restaurants are located in Reporting District(RD) 319. Based on the July-December
7
102
2018 data reported by the Police Department,the district had a total of 26 Part I& II crimes and 9
felony/misdemeanor arrests. This rate is 84% higher than the City's average. The Police
Department and the Planning and Building Safety Department do not object to the issuance of the
alcohol permit for the new restaurant.
The Planning Commission's decision to receive and file the Director's decision on January 10,
2019 granted approval for two Administrative Use Permits. The first approval will allow The
Butcher,the Baker, and the Cappuccino Maker(BBCM)to serve beer and wine during their hours
of operation. The restaurant is roughly 3,000 square feet with 2,517 square feet devoted to outdoor
dining. The applicant's requested hours of operation are 7:00 am to 11:00 pm.
The second approval will allow Chin Chin to serve beer, wine, and distilled spirits during their
hours of operation. The restaurant will provide a total of 5, 225 square feet of dining area, with
2,216 square feet of outdoor dining area. The applicants requested hours of operation are 11:00
am to 11:00 pm daily, with alcohol service operating at the same time.
The project site is located in the Urban Mixed Use South zone. Restaurants are a permitted use by
right. On-site and off-site sale of alcohol at a restaurant requires an Administrative Use Permit in
accordance with the Municipal Code. As noted above, this permit was approved by the Director
of Planning and Building Safety and confirmed by the Planning Commission.
The ABC license review process is separate from the City's AUP process. ABC is responsible for
running a complete background check on all alcohol license applicants, as well as conducting site
inspections, before issuing any type of alcohol license. The City reviews compatibility issues.
Environmental Review
The project is categorically exempt from the requirements of the California Environmental Quality
Act (CEQA) pursuant to 14 California Code of Regulations §15301 as a Class 1 categorical
exemption(Existing Facilities).
Conclusion
Staff recommends that the Council receive and file this report without objecting to the issuance of
a new alcohol permit for the site, or alternatively discuss and take another action related to this
item.
103
F-L-SEGILINDQ POLICE ENT
REPORTED PERIOD: JULY — DECEMBER 2018
PART I &II CRIMES AND ARRESTS BY REPORTING DISTRICTIRD)
REPORTING PART I&II FELONY/MISD TOTAL VERAGE BY RD
DISTRICT CRIMES ARRESTS PERCENTAGE+/-
101 27 16 43 +126%
102 18 7 25 +32%
103 5 0 5 -74%
104 14 5 19 0%
105 13 7 20 +5%
106 2 3 5 -74%
107 37 11 48 +153%
108 55 17 72 +279%
109 2 1 3 -84%
110 2 3 5 -74%
111 34 7 41 +116%
112 16 5 _ 21 +11%
113 38 11 49 +158%
114 1 1 2 -89%
115 10 4 14 -26%
116 3 2 5 -74%
201 7 3 10 47%
202 14 5 19 0%
203 9 0 9 -53%
204 6 _ 5 11 -42%
205 24 6 30 +58%
206 10 2 12 -37% _
207 31 10 41 +116%
208 18 3 21 +11%
209 21 3 24 +26%
210 27 10 37 +95%
211 24 9 33 +74%
212 16 3 19 0%
213 7 1 8 -58%
301 14 6 20 +5%
302 7 3 10 -47%
303 5 1 6 -68%
_ 304 2 1 3 -84%
305 14 4 18 -5%
306 6 2 8 -58%
307 13 2 15 -21%
308 34 11 45 +137%
309 6 4 10 -47%
310 3 2 5 -74%
311 11 5 16 -16%
312 11 4 15 -21%
313 2 2 4 -79%
314 0 0 0 0%
315 6 4 10 -47%
316 4 2 6 -68%
317 15 2 16 _ -16%
318 53 12 65 +242%
319 26 9 35 +84%
320 7 2 9 -53%
321 1 _ 1 2 -89%
322 2 0 2 -89%
323 4 2 6 -68%
TOTALS 7217 241 977
Number of Reporting Districts=52
Average#of Part I&II Crimes per Reporting District=14
Average#of Felony/Misdemeanor Part I&II Crime Arrests per Reporting District=5
Average#of Crimes and Arrests per Reporting District=19
(Results from 07/01/2018 throu_h 12/31/2018)
High Crime Area per B&P Code Section 23958.4=>20%
RECORDS/EJ PAGE 1/22/2019 .
104
EL SEGUNDO POLICE DEPARTMENT
HIGH CRIME AREA MAP
EL SEGUNDO POLICE DEPARTMENT
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RECORDS/EJ PAGE 1/22/2019
105
F .SEGUH
Planning & Building Safety Department
•t>tcaaasas ■tiar•
December 12, 2018
Wanton Group EI Segundo LLC
1200 W Washington Blvd.
Los Angeles, CA, 90066
RE: Environmental Assessment 1234: Administrative Use Permit 18-05
Address: 2041 Rosecrans Avenue Suite#120 El Segundo, CA 90245
Dear Mr. Choi:
Your request for an Administrative Use Permit allowing the sale and dispensing of beer,
wine and distilled spirits for on-site consumption (Type 47) at the proposed Chin Chin
Restaurant is approved and subject to the conditions of approval in the attached Exhibit
A. The associated environmental determination and findings supporting the decision are
described in Exhibit B.
Please note that this letter does not constitute the City's final decision in this matter.
This determination is scheduled to be "received and filed" by the Planning Commission
at the January 10, 2019, meeting. Any Planning Commissioner may request that this
permit be discussed and a decision be made by the Commission instead of"received
and filed."
Should you have any questions, please contact Brenna Callero, Assistant Planner at
(310) 524-2342.
Sincerely,
m L , Director
Department of Planning and Building Safety
106
Exhibit A
CONDITIONS OF APPROVAL
In addition to all applicable provisions of the EI Segundo Municipal Code ("ESMC"), David
Choi of Wanton Group EI Segundo LLC ("Applicant") agrees that it will comply with the
following provisions as conditions for the City of EI Segundo's approval of Administrative
Use Permit No. 18-05 ("Project Conditions"):
1. The hours of operation to sell alcohol for on-site consumption is limited to
between 11:00 am to 11:OOpm daily. Any change to the hours of operation or
the hours that alcohol may be served is subject to review and approval by the
Director of Planning and Building Safety.
2. Any subsequent modification to the project as approved must be referred to the
Director of Planning and Building Safety for approval or a determination
regarding the need for Planning Commission review of the proposed
modification.
3. The Planning and Building Safety Department and the Police Department must
be notified of any change of ownership of the approved use in writing within 10
days of the completion of the change of ownership. A change in project
ownership may be cause to schedule a hearing before the Planning
Commission regarding the status of the administrative use permit.
4. The applicant must obtain and maintain all licenses and comply with all
regulations of the Alcoholic Beverage Control (ABC) Act (Business &
Professions Code Section 23300) and the regulations promulgated by the
Board, including the regulations set forth in 4 Cal. Code of Regs. §§55, et seq.
5. All employees tasked to sell alcoholic beverages must provide evidence that
they have either:
a. Obtained an ABC-issued certificate for completion of the Leadership and
Education in Alcohol and Drugs (LEAD) program; or,
b. Completed an accepted equivalent training offered by the ABC district office
to ensure proper distribution of beer, wine, and distilled spirits to adults of
legal age.
c. If a prospective employee designated to sell alcoholic beverages does not
have LEAD or equivalent training, then the applicant must within 15 days of
this decision confirm with the Planning and Building Safety Department that
a date is scheduled with the local ABC district office to complete the LEAD
course.
d. Within 30 days of taking LEAD or equivalent course, employees or their
employer must deliver each required certificate showing completion to the
Police Department.
107
6. The licensee must have readily identifiable personnel to monitor and control
the behavior of customers inside the building premises. Staff must monitor
activity immediately adjacent to the property under the establishment's control
to ensure the areas are generally free of nuisances.
7. If complaints are received regarding excessive noise, or other nuisances
associated with the sale of beer, wine, and distilled spirits the City may, in its
discretion, take action to reviex the Administrative Use Permit and add
conditions or revoke the permit.
8. There must be no exterior advertising of any kind or type indicating the
availability of specific alcoholic beverage products.
9. The building must not be occupied by more persons than allowed by the
California Building Code, as adopted by the ESMC.
10. The building and any outdoor seating must comply with the California Building
and Fire Code requirements, as adopted by the ESMC.
11. The Applicant agrees to indemnify and hold the City harmless from and against
any claim, action, damages, costs (including, without limitation, attorney fees),
injuries, or liability, arising from the City's approval of Environmental
Assessment 1234 or Administrative Use Permit 18-05. Should the City be
named in any suit, or should any claim be brought against it by suit or otherwise,
whether the same be groundless or not, arising out of the City approval of
Environmental Assessment 1234 or Administrative Use Permit 18-05, the
Applicant agrees to defend the City (at the City's request and with counsel
satisfactory to the City) and will indemnify the City for any judgment rendered
against it or any sums paid out in settlement or otherwise. For purposes of this
section, "the City" includes the City of EI Segundo's elected officials, appointed
officials, officers, and employees.
12. David Choi, of Wanton Group El Segundo LLC must acknowledge receipt and
acceptance of the project conditions by executing the acknowledgement below.
These Conditions are binding upon David Choi of Wanton Group EI Segundo LLC and all
successors and assigns to the property at 2041 Rosecrans Avenue, Suite 120 until
superseded by another approval letter or rescinded.
David Choi, on behalf Wanton Group EI Segundo LLC
3
108
Exhibit B
Environmental Determination and Required Findings
Environmental Assessment 1234:
After considering the above facts and findings, the Director finds this project is
categorically exempt from the requirements of the California Environmental Quality Act
(CEQA) pursuant to 14 California Code of Regulations §15301 as a Class 1 categorical
exemption (Existing Facilities) because the proposed project consists of the permitting of
existing private structures and involves a negligible expansion of the use.
Administrative Use Permit 18-05:
The following are the facts in support of each finding for this decision:
Finding 1: There is compatibility of the particular use on the particular site in relationship
to other existing and potential uses within the general area in which the use is proposed
to be located.
1. The project is located in a commercial area and is in proper relation to industrial
and commercial adjacent uses within this area. The project is-situated in a
environment that includes offices, retail, service uses, and other restaurants
nearby. The subject site is located in the Beach Cities Plaza Precise Plan,
where restaurants are permitted.
Finding 2: The proposed use is consistent and compatible with the purpose of the Zone
in which the site is located.
1. The zone of the property is Urban Mixed Use— South. The purpose of this zone is
to provide consistency with and implement policies related to those locations
designated Urban Mixed Use South in the General Plan. The intent of the MU-S
zone is met by having several types of uses occupy a single building.The proposed
restaurant and the addition of alcohol sales as an ancillary use are consistent with
this purpose.
Finding 3: The proposed location and use, and the conditions under which the use would
be operated or maintained will not be detrimental to the public health, safety, or welfare,
or materially injurious to properties or improvements in the vicinity.
1. The proposed closing hours are 11:00 pm every day, so it is unlikely that the
consumption of alcohol in a restaurant setting will cause the establishment to
become a nuisance. The restaurant will be replacing part of a previous
restaurant that had a Type 47 ABC license.
Finding 4: Potential impacts that could be generated by the proposed use, such as noise,
smoke, dust, fumes, vibration, odors, traffic, and hazards have been recognized and
mitigated.
4
109
1. The consumption of beer and wine will not create any new impacts that would
not be normally associated with the operation of a restaurant.
Finding 5: The State Department of Alcoholic Beverage Control has issued or will issue
a license to sell beer, wine and distilled spirits to the Applicant.
1. The City expects the Applicant will obtain a license from the State of California
Department of Alcoholic Beverage Control for on-site sale and consumption of
beer, wine and distilled spirits for restaurants (Type 47). In the event the
Applicant does not receive such license, the City's approval will be null
(Condition No. 4).
5
110
FL SI Hoo lrVr
- Plannin�/y��• & BuildinJ/y�� Safety Department
•7■Cfl.9R41[1 illy• V V �`J
December 12, 2018
Wanton Group EI Segundo LLC
1200 W Washington Blvd.
Los Angeles, CA, 90066
RE: Environmental Assessment 1235: Administrative Use Permit 18-06
Address: 2041 Rosecrans Avenue Suite#140 El Segundo, CA 90245
Dear Mr. Choi:
Your request for an Administrative Use Permit allowing the sale and dispensing of beer
and wine for on-site consumption (Type 41) at the proposed BBCM Restaurant is
approved and subject to the conditions of approval in the attached Exhibit A. The
associated environmental determination and findings supporting the decision are
described in Exhibit B.
Please note that this letter does not constitute the City's final decision in this matter.
This determination is scheduled to be "received and filed" by the Planning Commission
at the January 10, 2019, meeting. Any Planning Commissioner may request that this
permit be discussed and a decision be made by the Commission instead of "received
and filed."
Should you have any questions, please contact Brenna Callero, Assistant Planner at
(310) 524-2342.
Sincerely,
Sam, a Do
rDe
rtment of Pling and Building Safety
111
Exhibit A
CONDITIONS OF APPROVAL
In addition to all applicable provisions of the EI Segundo Municipal Code ("ESMC"), David
Choi of Wanton Group EI Segundo LLC ("Applicant") agrees that it will comply with the
following provisions as conditions for the City of EI Segundo's approval of Administrative
Use Permit No. 18-06 ("Project Conditions"):
1. The hours of operation to sell alcohol for on-site consumption is limited to
between 7:00 am to 11:00pm daily. Any change to the hours of operation or the
hours that alcohol may be served is subject to review and approval by the
Director of Planning and Building Safety.
2. Any subsequent modification to the project as approved must be referred to the
Director of Planning and Building Safety for approval or a determination
regarding the need for Planning Commission review of the proposed
modification.
3. The Planning and Building Safety Department and the Police Department must
be notified of any change of ownership of the approved use in writing within 10
days of the completion of the change of ownership. A change in project
ownership may be cause to schedule a hearing before the Planning
Commission regarding the status of the administrative use permit.
4. The applicant must obtain and maintain all licenses and comply with all
regulations of the Alcoholic Beverage Control (ABC) Act (Business &
Professions Code Section 23300) and the regulations promulgated by the
Board, including the regulations set forth in 4 Cal. Code of Regs. §§55, of seq.
5. All employees tasked to sell alcoholic beverages must provide evidence that
they have either:
a. Obtained an ABC-issued certificate for completion of the Leadership and
Education in Alcohol and Drugs (LEAD) program; or,
b. Completed an accepted equivalent training offered by the ABC district office
to ensure proper distribution of beer, wine, and distilled spirits to adults of
legal age.
c. If a prospective employee designated to sell alcoholic beverages does not
have LEAD or equivalent training, then the applicant must within 15 days of
this decision confirm with the Planning and Building Safety Department that
a date is scheduled with the local ABC district office to complete the LEAD
course.
112
d. Within 30 days of taking LEAD or equivalent course, employees or their
employer must deliver each required certificate showing completion to the
Police Department.
6. The licensee must have readily identifiable personnel to monitor and control
the behavior of customers inside the building premises. Staff must monitor
activity immediately adjacent to the property under the establishment's control
to ensure the areas are generally free of nuisances.
7. If complaints are received regarding excessive noise, or other nuisances
associated with the sale of beer and wine, the City may, in its discretion, take
action to review the Administrative Use Permit and add conditions or revoke
the permit.
8. There must be no exterior advertising of any kind or type indicating the
availability of specific alcoholic beverage products.
9. The building must not be occupied by more persons than allowed by the
California Building Code, as adopted by the ESMC.
10. The building and any outdoor seating must comply with the California Building
and Fire Code requirements, as adopted by the ESMC.
11. The Applicant agrees to indemnify and hold the City harmless from and against
any claim, action, damages, costs (including, without limitation, attorney fees),
injuries, or liability, arising from the City's approval of Environmental
Assessment 1235 or Administrative Use Permit 18-06. Should the City be
named in any suit, or should any claim be brought against it by suit or otherwise,
whether the same be groundless or not, arising out of the City approval of
Environmental Assessment 1235 or Administrative Use Permit 18-06, the
Applicant agrees to defend the City (at the City's request and with counsel
satisfactory to the City) and will indemnify the City for any judgment rendered
against it or any sums paid out in settlement or otherwise. For purposes of this
section, "the City" includes the City of EI Segundo's elected officials, appointed
officials, officers, and employees.
12. David Choi, of Wanton Group EI Segundo LLC must acknowledge receipt and
acceptance of the project conditions by executing the acknowledgement below.
These Conditions are binding upon David Choi of Wanton Group EI Segundo LLC and all
successors and assigns to the property at 2041 Rosecrans Avenue, Suite 140 until
superseded by another approval letter or rescinded.
David Choi, on behalf Wanton Group EI Segundo LLC
3
113
Exhibit B
Environmental Determination and Required Findings
Environmental Assessment 1235:
After considering the above facts and findings, the Director finds this project is
categorically exempt from the requirements of the California Environmental Quality Act
(CEQA) pursuant to 14 California Code of Regulations §15301 as a Class 1 categorical
exemption (Existing Facilities) because the proposed project consists of the permitting of
existing private structures and involves a negligible expansion of the use.
Administrative Use Permit 18-06:
The following are the facts in support of each finding for this decision:
Finding 1: There is compatibility of the particular use on the particular site in relationship
to other existing and potential uses within the general area in which the use is proposed
to be located.
1. The project is located in a commercial area and is in proper relation to industrial
and commercial adjacent uses within this area. The project is situated in a
environment that includes offices, retail, service uses, and other restaurants
nearby. The subject site is located in the Beach Cities Plaza Precise Plan,
where restaurants are permitted.
Finding 2: The proposed use is consistent and compatible with the purpose of the Zone
in which the site is located.
1. The zone of the property is Urban Mixed Use— South. The purpose of this zone is
to provide consistency with and implement policies related to those locations
designated Urban Mixed Use South in the General Plan. The intent of the MU-S
zone is met by having several types of uses occupy a single building.The proposed
restaurant and the addition of alcohol sales as an ancillary use are consistent with
this purpose.
Finding 3: The proposed location and use, and the conditions under which the use would
be operated or maintained will not be detrimental to the public health, safety, or welfare,
or materially injurious to properties or improvements in the vicinity.
1. The proposed closing hours are 11:00 pm every day, so it is unlikely that the
consumption of alcohol in a restaurant setting will cause the establishment to
become a nuisance. The restaurant will be replacing part of a previous
restaurant that had a Type 47 ABC license.
Finding 4: Potential impacts that could be generated by the proposed use, such as noise,
smoke, dust, fumes, vibration, odors, traffic, and hazards have been recognized and
mitigated.
4
114
1. The-consumption of beer and wine will not create any new impacts that would
not be normally associated with the operation of a restaurant.
Finding 5: The State Department of Alcoholic Beverage Control has issued or will issue
a license to sell beer, wine and distilled spirits to the Applicant.
1. The City expects the Applicant will obtain a license from the State of California
Department of Alcoholic Beverage Control for on-site sale and consumption of
beer and wine for restaurants (Type 41). In the event the Applicant does not
receive such license, the City's approval will be null (Condition No. 4).
5
115
EL SEGUNDO PLANNING COMMISSION MEETING DATE: January 10, 2019
AGENDA STATEMENT AGENDA HE, Consent
AGENDA DESCRIPTION:
Consideration and possible action regarding approval of Environmental Assessment 1234:
Administrative Use Permit 18-05 and Environmental Assessment 1235:Administrative Use Permit 18-
06 for On-site alcohol sales for two proposed restaurants at 2041 Rosecrans Avenue, Suites 120 and
140, El Segundo, California. The project is categorically exempt from the requirements of the
California Environmental Quality Act(CEQA)pursuant to 14 California Code of Regulations § 15301
as a Class 1 categorical exemption(Existing Facilities).
Address: 2041 Rosecrans Avenue, Suites 120 and 140
Applicant: David Choi, Wanton Group El Segundo, LLC
RECOMMENDED PLANNING COMMISSION ACTION: Receive and file
ATTACHED SUPPORTING DOCUMENTS: Approval letter dated December 12,2018
ORIGINATED BY: Brenna Callero,Assistant Planner+,,,, ,
REVIEWED BY: Gregg McClain,Planning Manager
APPROVED BY: Sam Lee, Director of Planning and Building Safety
On December 5, 2018 the Director granted approval of an Administrative Use Permit for a Type
47 license for on-site consumption of beer, wine and distilled spirits at 2041 Rosecrans Avenue,
Suitel20, and a Type 41 license for on-site consumption of beer and wine at 2041 Rosecrans
Avenue, Suite 140. The approval includes conditions that protect the City and surrounding users
from potentially negative impacts associated with alcohol consumption. The conditions, findings
of approval, and environmental assessment are provided in the attached approval letters. Staff
believes that the project is appropriate for the location and will not operate in a manner that will
create detrimental impacts, and so recommends that the Commission receive and file this report.
116
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5,2019
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action to accept as complete the FY 17/18 Pavement Rehabilitation
Project,Project No. PW18-18. (Fiscal Impact: $1,201,026.37)
RECOMMENDED COUNCIL ACTION:
1. Accept the work as complete;
2. Authorize the City Clerk to file a Notice of Completion with the County Recorder's Office;
3. Authorize to increase the construction related contingencies from $105,000 to $112,384.37;
4. Authorize to transfer $57,752.13 from the Sewer Enterprises fund account #502-400-8204-
8647 to#106-400-8203-8943 (State Gas Tax Fund)
5. Alternatively, discuss and take other possible actions related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Notice of Completion
Location Map
FISCAL IMPACT: Included in the Adopted FY 2017/18 budget.
Amount Budgeted: $1,291,000
Additional Appropriation: N/A
Account Number(s): 106-400-8203-8943 (State Gas Tax Fund) and
128-400-0000-8383 (SB-1 Expenditures)
110-400-8203-8943 (Measure R Local Return)
Transfer$57,752.13 from 502-400-8204-8647 (Sewer Enterprise
Fund)to 106-400-8203-8943 (State Gas Tax Fund)
STRATEGIC PLAN:
Goal: 4 Develop Quality Infrastructure and Technology
Objective: (a) El Segundo's physical infrastructure supports an appealing, safe, and
effective City.
ORIGINATED BY: Arianne Bola, Senior Associate Eng' b
REVIEWED BY: Ken Berkman, Public Works Director
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
On April 30, 2018, City Council adopted plans and specifications for the Pavement Resurfacing
of the following streets and authorized staff to advertise for bids:
• Sheldon St. —between Grand Ave. and El Segundo Blvd.
• Kansas St. —between Mariposa Ave. and El Segundo Blvd.
• Washington St. —between Mariposa Ave. and Holly Ave.
• Illinois St. —between Mariposa Ave. and Grand Ave. 48
117
• Illinois St. —between Franklin Ave. and El Segundo Blvd.
■ Mariposa Ave. —between Nash St. and Douglas St.
• Douglas St. —between Coral Circle and El Segundo Blvd.
■ Douglas St. —between Park Place and Rosecrans Ave.
■ Nash St.—between Park Place and Rosecrans Ave.
■ Park Place—between Continental Way and Douglas St.
On June 19, 2018, City Council awarded a standard public works contract to All American
Asphalt for $1,050,770.00 and approved an additional $105,000.00 for construction-related
contingencies. City Council also awarded a professional services agreement to KOA
Corporation to provide construction inspection and testing for the Project in the amount of
$73,660.00, with an additional $7,300.00 for contingencies. Construction began on October 1,
2018 and was successfully completed by All American Asphalt on December 28, 2018.
The construction of this project was concurrent with the Pump Station 1 & 7 Modifications
Project, which impacted the adjacent sections of Imperial Avenue, Loma Vista Street, Acacia
Avenue, and the Palm/Virginia intersection. All American Asphalt is also the paving
subcontractor for the pump station project. Seeing the opportunity to benefit from the economy
of scale, staff worked with the contractor to deduct the paving bid items from the pump station
project ($85,000) and add them to this paving project in a change order amount of$57,752.13,
resulting in a savings of $27,247.87 to the pump station project. Therefore, it is justified to
transfer $57,752.13 from 502-400-8204-8647 (Sewer Enterprise Fund) to 106-400-8203-8943
(State Gas Tax Fund).
Other change orders were required due to unforeseen field conditions, quantity adjustments, and
crosswalk installations as recommended in the recently completed Downtown Traffic and
Pedestrian Safety Study.
Staff respectfully recommends that City Council 1) accept the work,as complete; 2) authorize
the City Clerk to file a Notice of Completion with the County Recorder's Office; 3) authorize to
increase the construction related contingencies from $105,000 to $112,384.37; 4) authorize the
transfer of$57,752.13 from the Sewer Enterprise Fund account 502-400-8204-8647 to the State
Gas Tax Fund account 106-400-8203-8943.
Accounting Summary:
$1,050,770.00 All American Asphalt Contract Amount
+$112,384.37 Bid Item Adjustments
+$ 37,056.00 KOA Corporation Inspection Funds Utilized
+$ 816.00 Advertising for Bids in Newspaper
$1,201,026.37 Total Funds Spent
$ 1,291,000.00 Amount Budgeted for the project
-$1,201,026.37 Total Funds Spent
$89,973.63 Unspent Budgeted Amount Returned to Source Accounts
118
Recording Requested by
and When Recorded Mail To:
City Clerk, City Hall
350 Main Street
EI Segundo, CA 90245
NOTICE OF COMPLETION OF CONSTRUCTION PROJECT
Project Name: FY 17/18 Pavement Rehabilitation Project
Project No. : PW 18-18 Contract No. 5551
Notice is hereby given pursuant to State of California Civil Code Section 3093 et seq that:
1. The undersigned is an officer of the owner of the interest stated below in the property
hereinafter described.
2. The full name of the owner is: City of EI Segundo
3. The full address of the owner is: City Hall, 350 Main Street, EI Segundo, CA, 90245
4. The nature of the interest of the owner is: Public Facilities
5. A work of improvement on the property hereinafter described was field reviewed by the
City Engineer on December 28, 2018. The work done was: Street Resurfacing
Improvements.
6. On February 5, 2019, City Council of the City of EI Segundo accepted the work of this
contract as being complete and directed the recording of this Notice of Completion in the
Office of the County Recorder.
7. The name of the Contractor for such work of improvement was: All American Asphalt
8. The property on which said work of improvement was completed is in the City of EI
Segundo, County of Los Angeles, State of California, and is described as follows: FY
17/18 Pavement Rehabilitation Project
9. The street address of said property is: Various locations in EI Segundo, CA 90245
Dated:
Ken Berkman
Public Works Director
VERIFICATION
I, the undersigned, say: I am the Director of Public Works/City Engineer of the City EI Segundo, the
declarant of the foregoing Notice of Completion; I have read said Notice of Completion and know the
contents thereof; the same is true of my own knowledge.
I declare under penalty of perjury the foregoing is true and correct.
Executed on 2019 at EI Segundo, California. 90245
Ken Berkman
Public Works Director
119
i
PW 18-18
FY 17/18 PAVEMENT REHABILITATION
PROJECT LOCATIONS
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EL SEGUNDO CITY COUNCIL MEETING DATE: February 5,2019
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action to accept as complete the Police Department Floor
Replacement, Project No. PW 18-02 (Fiscal Impact: $251,549.50)
RECOMMENDED COUNCIL ACTION:
1. Accept the work as complete;
2. Authorize the City Clerk to file a Notice of Completion in the County Recorder's
Office; or,
3. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Notice of Completion
FISCAL IMPACT: Included in Adopted FY 2017-18 Budget
Amount Budgeted: $254,661.50 for Various Police Department Upgrades
Additional Appropriation: N/A
Account Number(s): 301-400-8201-8708 (Police Dept. Upgrades)
301-400-8201-8412 (Police Flooring Replacement)
301-400-8201-8414 (PD Stairwell)
301-400-8201-8415 (PD Interior Painting)
STRATEGIC PLAN:
Goal: 4 Develop Quality Infrastructure and Technology
Objective: (a) El Segundo's physical infrastructure supports an appealing, safe,
and effective City
Goal: 3 Develop as a Choice Employer & Workforce
Objective: 4 The City has an inspired, engaged workforce
ORIGINATED BY: Orlando Rodriguez, Senior Civil Engineer CC—
REVIEWED BY: Ken Berkman, Public Works Diireec�tor
APPROVED BY: Greg Carpenter, City Manager.
BACKGROUND AND DISCUSSION:
On March 20, 2018, City Council awarded a $206,965.00 standard Public Works Contract and an
additional $20,696.50 for construction related contingencies to Cinbad Industry, Inc.
(Contractor) as the low bidder for the Police Department Floor Replacement Project (Project).
The Project consists of the replacement of the carpet and linoleum flooring in the Police
Department (PD), as well as re-painting of the basement and the stairwell.
121
On November 6, 2018, City Council approved an additional $27,000.00 for additional
improvements at the gym and the mechanical room inside the Police Department that are similar
in scope to the nature of the project.
Construction began on July 16, 2018, and was completed by Cinbad Industry, Inc. on
December 6, 2018. A final inspection of the work has been performed and it was determined that
the project was completed per the plans and specifications and to the satisfaction of the Public
Works Department. The amount of working days for the project increased as a result of the
additional work Police Department staff requested to be performed by the Contractor.
Staff respectfully recommends that City Council accept the work performed by Cinbad Industry,
Inc. as complete and authorize the City Clerk to file a Notice of Completion with the County
Recorder's Office.
Accounting Summary:
$206,965.00 Construction Contract Amount
$43,672.50 Change Order
+ $912.00 Advertising for Bids in Newspaper
$251,549.50 Total Funds Spent
$254,661.50 Budgeted Amount(Contract+ Contingency)
-$251.549.50 Total Funds Spent
$3,112.00 Unspent Budgeted Amount Returned to Police Department Upgrades
Account
122
Recording Requested by
and When Recorded Mail To:
City Clerk, City Hall
350 Main Street
EI Segundo, CA 90245
NOTICE OF COMPLETION OF CONSTRUCTION PROJECT
Project Name: Police Department Floor Replacement Project
Project No. : PW 18-02 Contract No. 5508
Notice is hereby given pursuant to State of California Civil Code Section 3093 et seq that:
i. The undersigned is an officer of the owner of the interest stated below in the property
hereinafter described.
2. The full name of the owner is: City of EI Segundo
3. The full address of the owner is: City Hall, 350 Main Street, EI Segundo, CA, 90245
4. The nature of the interest of the owner is: Public Facilities
5. A work of improvement on the property hereinafter described was field reviewed by the
City Engineer on December 6, 2018. The work done was: painting and floor
replacement.
6. On February 5, 2019, City Council of the City of EI Segundo accepted the work of this
contract as being complete and directed the recording of this Notice of Completion in the
Office of the County Recorder.
7. The name of the Contractor for such work of improvement was: Cinbad Industry, Inc.
8. The property on which said work of improvement was completed is in the City of EI
Segundo, County of Los Angeles, State of California, and is described as follows: Floor
replacement and painting in the City of EI Segundo.
9. The street address of said property is: 348 Main Street, EI Segundo, CA 90245
Dated:
Ken Berkman
Public Works Director
VERIFICATION
I, the undersigned, say: I am the Director of Public Works/City Engineer of the City EI Segundo, the
declarant of the foregoing Notice of Completion; I have read said Notice of Completion and know the
contents thereof; the same is true of my own knowledge.
I declare under penalty of perjury the foregoing is true and correct.
Executed on 2019 at EI Segundo, California.
Ken Berkman
Public Works Director
123
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5, 2019
AGENDA STATEMENT AGENDA HEADING: Consent Agenda
AGENDA DESCRIPTION:
Consideration and possible action to continue deliberation on the potential adoption of solid waste
collection and disposal fees for one and two unit residential properties to February 19, 2019,when
the Council will also consider approving a franchise agreement with EDCO to provide solid waste
collection and disposal services for these properties. The Council held a public hearing on the
proposed solid waste collection and disposal rates on November 6, 2018, and continued its
deliberations to this February 5, 2019 Council Meeting.
(Fiscal Impact: None)
RECOMMENDED COUNCIL ACTION:
1. Consideration and possible action to continue deliberation on the potential adoption of
solid waste collection and disposal fees for one and two unit residential properties to
February 19, 2019, when the Council will also consider approving a franchise agreement
with EDCO to provide solid waste collection and disposal services for these properties;
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
None
FISCAL IMPACT: N/A
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
STRATEGIC PLAN:
Goal: N/A
Objective: N/A
PREPARED BY: City Attorney's office OA
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND AND DISCUSSION:
On November 6, 2018, the City Council held a public hearing regarding the potential adoption of
solid waste collection and disposal rates for one and two unit residential properties. The Council
closed the public hearing and adopted a resolution which recited the results of the Proposition 218
protest process which declared that 2,912 one and two-unit properties existed in the City, and that
1096 properly completed protest ballots were received by the City prior to the close of the public
hearing.
10
124
The Council continued the deliberation on the potential adoption of rates for these one and two
unit properties until February 5, 2019, as staff projected that the proposed agreement with a solid
waste hauler would be ready for potential Council approval at this same meeting. Staff now
anticipates that the solid waste collection and disposal agreement with EDCO, which Council
directed be prepared at its January 15, 2019 Council Meeting, will be ready for Council's
consideration at the February 19, 2019 Council Meeting and staff is recommending that the
Council continue its deliberations on the proposed solid waste collection and disposal fee to this
same meeting.
125
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5, 2019
AGENDA ITEM STATEMENT AGENDA HEADING: New Business
AGENDA DESCRIPTION:
Consideration and possible action to approve the proposed fee schedule for the City of El Segundo—
Wiseburn Unified School District Aquatics Center (2240 E. Grand Avenue) to establish user group
categories and long-term rental rates at a discounted rate from the previously-approved hourly rental
rates and approve the selection of Alpha Aquatics, Beach Cities Swimming, SCAQ, and Tower 26, as
primary long-term user groups of the facility. (Fiscal Impact: estimated annual revenue $340,000)
RECOMMENDED COUNCIL ACTION:
(1) Approve the proposed fee schedule to establish discounted rental rates by user group
category and long-term "bulk rate"; and,
(2) Approve the selection of Alpha Aquatics, Beach Cities Swimming, SCAQ, and Tower 26 as
initial primary users of the Aquatics Center for a term of one-year; and/or,
(3) Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
(1) Lane Rental Fee Comparison Data
FISCAL IMPACT: estimated annual revenue $340,000
Amount Budgeted: N/A
Additional Appropriation: None
Account Number(s): N/A
STRATEGIC PLAN:
Goal: IA El Segundo provides unparalleled service to internal and external
customers.
Objective: 2 City services are convenient,efficient and user-friendly for all residents,
businesses, and visitors.
Goal: 5B El Segundo approaches its work in a financially strategic and
responsible way
Objective: 2 The City will maintain a stable, efficient, and transparent financial
environment
ORIGINATED BY: Meredith Petit, Director of Recreation and Parks
REVIEWED BY: Meredith Petit, Director of Reer ion and Parks
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND & DISCUSSION:
On June 5, 2018,the City Council approved rental rates for at the new El Segundo-Wiseburn Aquatics
Center as follows:
Rental Rates
Per Hour Aquatics Plunge Event Pricing Aquatics
Center Center
'Short Course Lane $ 25 $ 20 Lighting Fee(if applicable) $ 20
Long Course Lane $ 45 N/A riming System $ 55
H2O Polo Course-25-yard TBD N/A Full Day Main Pool(over 6 hours) $ 3,500
H2O Polo Course-25-meter TBD N/A Half Day Main Pool(up to 6 hours) $ 1,850
1120 Polo Course-full-pool TBD N/A Full Day Warm-Up Pool(over 6 hours) $ 700
Extra Staff(if applicablel $ 25 $ 25 Half Day Warm-Up Pool(up to 6 hrs) $ 425
126
On August 7, 2018, the City Council approved the concept of selecting various user groups for the
new City of El Segundo-Wiseburn Unified School District Aquatics Center using a Request for
Proposals process in which the bidder would propose their requested rental needs(i.e.number of lanes,
days of the week, times of day) and an associated rental fee, if different than the established fee. The
primary purpose of the process was to help achieve maximum market value of the pool space during
high-demand times, survey the user groups to determine what the market will bear in terms of pricing,
while also providing a comprehensive set of aquatics programming for El Segundo and Wiseburn
residents.
Staff, working in cooperation with the Aquatics Subcommittee comprised of two Councilmembers
and two Recreation and Parks Commissioners, released RFP #18-10 on September 17, 2018, and
submissions were due on October 1, 2018. The City received nine unique proposals from various user
groups including four youth swim clubs, two youth water polo clubs, two masters [adult] swim clubs,
one masters water polo club,and one triathlon training club. The evaluation process used the following
criteria to score each proposal: Cover Letter (5%), Proposed Vision and Purpose (20%), Description
of Experience (10%), Staffing Plan(10%), Rental Needs and Offer(50%), and References(5%). Staff
also held subsequent interviews with each group which was also a factor in the final rankings.
The proposals were ranked as follows:
1. Beach Cities Swimming
2. Tower 26
3. Trojan Water Polo
4. South Bay United Water Polo
5. Alpha Aquatics
6. Coastal Masters Water Polo
7. South Bay Swim Team
8. SCAQ
9. Wiseburn Swim Club
Proposals included short-course (25-yard) lane hourly rates ranging from $4.17 to $20.00. The lowest
per lane price was associated with a youth water polo group while the highest was from an adult
triathlon training group. Oftentimes pool rates for water polo usage is lower than traditional per lane
swimming based on the fact that fewer individuals participate in the sport but utilize the same amount
of space,therefore water polo groups are often unable to afford to pay the standard per lane rate. When
the three water polo groups are removed, the average short course lane rental rate among the six
swimming groups equals $12.17 per hour. The highest proposed rate for a non-profit swim club was
$15.00 per lane per hour. The three water polo proposals included rates that equated to $9.00, $6.50
and $4.17 per lane per hour, for an average rate of$6.56.
With the intention of setting hourly rates based on the information gathered through the RFP process,
staff recommends to establish a fee structure with the already-approved rates as the highest price point,
or "rack rate", which would be assigned to for-profit business use on short-term rental agreements.
Additional categories such as Non-Profit and Alternate Use (which would include water polo,
government entities, or other discretionary uses during non-peak times) would be added as well as
discounted "bulk rates" for long-term agreements that average 10 or more lane hours per week. The
proposed fee schedule is as follows:
127
City of EI Segundo Wiseburn Unified Short Term Rental Long Term Rental
School District Aquatics Center Hourly Rate Hourly Rate
(< 10hrs/week ) ( > 10hrs/ week)
Competition Pool
Short Course - For Profit $25 $20
Long Course- For Profit $45 $35
Short Course - Non-Profit $20 $15
Long Course- Non-Profit $40 $30
Half Pool-Alternate Use (Non-Profit) $85 $65
Full Pool -Alternate Use (Non-Profit) $200 $150
Teaching Pool
For Profit $25 $20
Non-Profit $15 $10
Full Pool - For Profit $100 $80
Full Pool - Non-Profit $500 $40
If the proposed rates are implemented, the top two revenue-generating user groups for the facility
would be Beach Cities Swimming and Alpha Aquatics, with annual estimated ongoing rental revenue
of$160,000 and $130,000 respectively, with anticipated additional revenue coming from full-facility
rentals for swimming meets.According to the City's projected 5-Year Profit and Loss Forecast,annual
revenue projections for Club and Training Rentals were set at $300,500 for the first full-year of
operation. By selecting these two groups the City will be on track to meet the revenue goals for that
line item. Staff and the subcommittee are not recommending agreements with South Bay Swim Team
or Wiseburn Swim Club at this time.
In addition to the two aforementioned youth swim clubs, staff and the subcommittee recommend
entering into long-terns rental agreements with Tower 26 (For Profit) Triathlon Training and SCAQ
(Non-Profit) Masters Swim Club at the proposed hourly rates. These two groups can be easily
accommodated into the early morning and mid-day hours. Coastal Masters Water Polo can also be
easily accommodated into the schedule but further discussions will determine whether the short-term
or long-term rates will apply.
Because the facility is in high demand and has overall cost recovery goals to meet,detailed scheduling
is critical and complex. The first priority for scheduling is reserved for Wiseburn/DaVinci High School
and El Segundo Unified Athletics Programs. The two school groups are currently scheduled until
5:00pm or 6:00pm most weekdays. Next, the youth swim clubs would be scheduled immediately
following high school groups until 8:00/8:30pm on weekdays, limiting the availability for water polo
or alternative non-peak usage. Staff and the subcommittee continue to evaluate options for the two
youth water polo clubs to determine the best fit for the community given the available space. Staff is
also evaluating what space may be available to offer to youth water polo groups at the Plunge, which
will be determined based on various user groups relocating from the Plunge to the Aquatics Center.
Staff recommends continuing the dialogue with the two water polo clubs and can return to the City
Council with a final recommendation at a later date.
128
Lane Rental Rate Fee Study
City of Carlsbad -Alga Norte Aquatic Center
Non-Resident
Non-Profit Individual Commercial
25 yard lane $20 $24 $24
50 meter lane $36 $40 $40
Resident
Non-Profit Individual Commercial
25 yard lane $18 $21 $21
50 meter lane $32 $36 $36
City of Culver City
Resident Resident— Resident— Non-Resident, Non- Resident Non-
Non-Profit Private Commercial Non- Profit Private Resident
Commercial
25 yard lane $6.33 $8.44 $10.61 $7.05 $9.39 $11.78
1 50 meter $14.25 $19.00 $23.87 $15.85 $21.12 $26.50
lane
City of Santa Monica
Resident Non-Profit Non-Resident Non- Resident"other" Non-Resident
Profit "other"
25 yard lane $5 $10 $20 $40
50 meter lane $10 $20 $40 $80
City of San Bruno
Resident Non-Resident
25 yard lane $20 $25
BBMAC(Coronado High School)
Short Term Standard Rate Long Term
50 meter lane 35 per hour 29 per hour per lane 18.00 per hour
25 yard lane 17.50 per hour 14.50 per hour per lane 10 per hour
Water polo course (30m) 150.00 per hour 99.00 per hour per course 100 per hour per course
Instructional Pool 80.00 per hour 75.00 per hour 70.00 per hour
Extra Lifeguard 24.00 per hour 20.00 per hour per guard 17.00 per hour
CHS Teams $20 per hour per guard
8 Hour Rate $225.00 per hour $175 per hour $155 per hour
129
I�
2018 AQUATIC CENTER SCHEDULE OF FEES:
(Addendum to Board approved TUSD 2018 Schedule of Fees)
Effective 3/20/2018
(Subject to change)
Facility Use (Charged Hourly)
Minimum 2 hours on weekdays;Minimum 4 hours on weekends
Group 1/Group 2 Group 3
Non Profit Direct Cost Fair Rental Value
Full Pool (24 Lanes 25m/8 Lanes 50m) $200.00 $400.00 j
J Half Pool (12 Lanes 25m) $110.00 $220.00
Warm Up Pool (6 Lanes) $75.00 $165.00
Community Room $50.00 $110.00
Ticket Booth $30.00 $60.00
ADDITIONAL/OPTIONAL EQUIPMENT&SERVICES
All fees are per day(unless otherwise noted)
Timing System
Colorado Timing System Scoreboard $500.00 plus labor
j Colorado Timing System (timers, clocks, etc) $150.00
I �
Lighting:
Deck Lights $31.00 per hour
i
Custodial Supply; 50 or less persons 51-100 persons 100+persons
1—4 hours $30.00 $60.00 $90.00
5-8 hours $60.00 $120.00 $180.00
9—12 hours $90.00 $180.00 $270.00
Labor (minimum 2 hours on weekdays; 4 hours on weekends)
Custodial* $64.00/ hour
Facility Supervisor** $74.00/hour
Scoreboard Tech*** $74.00/hour
* Custodian may be scheduled one hour prior to rental,throughout the event and one hour after rental.
**A Facility Supervisor is required to be on duty during the event.
***Only TUSD approved personnel are allowed to operate the Colorado Timing System Scoreboard.
3.12.18
130
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5,2019
AGENDA STATEMENT AGENDA HEADING: New Business
AGENDA DESCRIPTION:
Consideration and possible action to receive and file a presentation on the City's second annual
customer satisfaction survey results that were conducted with residents and businesses which were
based on the Net Promoter Score methodology and part of the City's strategic work plan. (Fiscal
Impact$20,000)
RECOMMENDED COUNCIL ACTION:
1. City Council receive and file a presentation on the City's second annual customer satisfaction
survey.
2. Alternatively, discuss and take other possible action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
1. Residential Survey Presentation
2. Business Survey Presentation
FISCAL IMPACT:
Amount Budgeted: $20,000
Additional Appropriation: N/A
Account Number(s): 001-400-2501-6214
STRATEGIC PLAN:
Goal: 5(b) Champion Economic Development and Fiscal Sustainability:
El Segundo approaches its work in a financially disciplined and
responsible way
Objective: 2 The City will maintain a stable, efficient, and transparent financial
environment
PREPARED BY: Juliana Demers,Revenue Manager —
REVIEWED BY: Joseph Lillio,Director of Finance ��
APPROVED BY: Greg Carpenter, City Manager 56-1
BACKGROUND:
During the FY 2016-17 strategic planning sessions, City Council gave staff direction to look into
conducting a citizen and business satisfaction survey and align the survey with the concept of the
Net Promoter Score (NPS). In continuation to the effort, the same direction was given during FY1 2
2017-18 strategic planning session. The goal is to create benchmarks for the City as the survey
effort continues to be incorporated on an annual basis.
131
The Survey Methodology:
The NPS provides the core measurement for customer experience. In order to calculate the City's
NPS, the survey will use the answer to a key question, using a 0-10 scale.
The NPS question for the residential survey was: On a scale of 0 to 10, where 10 is very likely, 5
is neutral and 0 is very unlikely, based on your personal experiences, how likely would you
recommend the City of El Segundo to a friend or family member considering moving to the area?
The NPS question for the business survey was: On a scale of 0 to 10, where 10 is very likely, 5 is
neutral and 0 is very unlikely, based on your companies experiences, how likely would you
recommend the City of El Segundo to a business associate or colleague?
Respondents are grouped as follows:
• Promoters (score 9-10) are loyal enthusiasts who will keep engaging and refer others, fueling
possible growth.
• Passives (score 7-8) are satisfied but unenthusiastic customers who are vulnerable to alternative
offerings.
• Detractors (score 0-6) are unhappy customers who can damage your brand and impede growth
through negative word-of-mouth.
Subtracting the percentage of Detractors from the percentage of Promoters yields the Net
Promoter Score, which can range from a low of-100 (if every customer is a Detractor) to a high
of 100 (if every customer is a Promoter).
Web surveys were conducted with the businesses and in addition to web surveys residents who
opted out or did not provide emails received paper surveys.
Purnose and Obiectives for the Residential Survey
This study was conducted primarily to assess customer satisfaction with City of El Segundo's
public services. The study was designed to survey City of El Segundo's residents.
Specific objectives included the following:
• Assess customer satisfaction with multiple attributes.
• Measure City of El Segundo's image and general reputation.
• Record customer opinions as to how City of El Segundo can serve them better.
• Assess the extent of customer loyalty based on the Net Promoter process.
• Provide a framework to build an integrated Customer Satisfaction.
Results and Kev Findings in the Residential Survey
Last year's survey results identified the following as the top three areas of concern for our residents:
1. Condition of City Infrastructure: street, sidewalks and public facilities
2. Responsiveness and Overall Vision of City Council
3. Water and Sewer Billing Department Customer Service
132
Listed below are some of the actions the city has taken to address these concerns:
1. Condition of City Infrastructure: street,sidewalks and public facilities
■ Completed the City of El Segundo—Wiseburn Unified School District Aquatics Center,
scheduled to open in December 2018
• Worked with LAX to repave Imperial Avenue
• Renovations are underway at the El Segundo Public Library
• Currently in year 3 of a 5-year paving program to improve pavement conditions citywide
• Completed 1,161 sidewalk repairs and filled 1,3.70 potholes
■ Resurfaced 500,000 SF, or about 7 lane-miles, of roadway in fiscal year 17/18
• Renovated landscaping throughout downtown planters(and enhanced ongoing maintenance)
■ Installed a new picnic shelter at Recreation Park with six new concrete picnic tables
2. Responsiveness and Overall Vision of City Council
• City Council facilitated public strategic planning meetings to develop mission,vision
& goals
• Mayor Boyles provided video updates on social media after City Council meetings
and established office hours to facilitate public communications
• Re-engaged in the process to evaluate options for the future of the Lakes golf course
• Approved the formation of an enhanced Citywide communications program
• Continued to grow engagement in the City E-Newsletter with 17,182 users and visits
from in 61 countries and 1,142 cities globally
3. Water and Sewer Billing Department Customer Service
• Plan to launch an e-payment platform in 2019 that will be mobile friendly and have
improved functionality
• Improved process efficiencies and increased communication channels available to
address customer concerns and questions in a timely manner
When comparing the results of the 2017 survey with this year's results, the numbers hardly
changed. Last year the city earned a NPS of 59% and this year it was 58%. The percentage of
Detractors increased by 1 %this year. Also, there was a 25% increase in respondents to this
year's survey over the prior year. These are remarkable accomplishments.
Despite the specific improvements listed above, the same areas continue to represent zones of an
Issue & Opportunity due to their mean scores coming in below 4.00.
• Responsiveness and overall vision of City Council
• Water and Sewer Billing Department Customer Service (complaint handling & responsiveness)
• Condition of City Infrastructure: streets, sidewalks and public facilities
In this year's responses, detractors were most concerned about the cost of living and taxes. To a
lesser extent Detractors are concerned about noise pollution and the airport and the desire for a
more resident friendly environment. In last year responses, Detractors were most concerned with
effective use of money, improvement of infrastructure, and the desire among some to slow down
growth.
In addition to asking the NPS question, the survey also asked more specific questions soliciting
resident perceptions on particular areas of City operations: Police, Fire, Recreation&Parks,
133
Library services, City infrastructure, Utility Billing, and City Council. These questions were
scored on a response scale of: Very Dissatisfied (1), Dissatisfied (2),Neutral (3), Satisfied (4) or
Very Satisfied (5).
The following areas are viewed as modest strengths by the majority of Residents: (4.00 to 4.33)
• Availability & Responsiveness of Police Department- greater than 4.33
• Responsiveness, knowledge and competency of Fire & Paramedic services - greater than 4.33
• Quality of Recreation and Parks Program offered
• Maintenance and upkeep of Recreation and Parks facilities
• Resources and services provided by the Public Library
Purpose and Obiectives for the Business Survev
This study was conducted primarily to assess customer satisfaction with the City of El Segundo's
products and services. The study was designed to survey a cross section of City of El Segundo's
customers; however, concentrating on key or target accounts. This survey and its measures are
benchmarked to the Malcolm Baldrige National Quality Award.
Specific objectives included the following:
• Assess customer satisfaction with multiple attributes.
• Measure City of El Segundo's image and general reputation.
• Assess the distinctive competence of the City overall.
• Record customer opinions as to how the City can serve them better.
• Assess the extent of customer loyalty.
• Provide a framework to build an integrated Customer Satisfaction and Value
Measurement System.
Results and Kev Findings in the Business Survev
Last year's survey results identified the following as the top three areas of concern for our
businesses:
1. Enhance Business Development and Attraction
2. Improve Customer Service in the Planning and Building and Safety Department
3. Update City Zoning Policies
Listed below are some of the actions the city has taken to address these concerns:
1. Enhance Business Development and Attraction
• Re-engaged in the process to evaluate options for the future of the Lakes golf course
• Launched two websites to attract new businesses and visitors, and to increase revenues
for our existing businesses: DestinationElSCVUndo.com and ElSeaundoBits iness.com
• Formed a downtown committee
• Upgraded landscaping (and enhanced ongoing maintenance), power washed
sidewalks and installed string lighting
134
• Plans are underway to install ambient lighting throughout downtown and a
"parklet" for additional outdoor seating
• Implemented a marketing and public relations campaign to increase tourism and attract
more businesses to the city
2. Improve Customer Service in the Planning and Building and Safety Department
• Recruited and filled two key vacant positions at the customer service counter
■ Developing a new, mobile (smart phone) friendly, city-wide permit system (including a
paperless plan review)to improve efficiency and customer's overall experience
• Installed customer survey kiosks in various areas of the city, including the planning and
building safety counter
3. Update City Zoning Policies
• Updated zoning codes to respond to customer needs, including:
• Corporate Office (CO) zone update to allow service uses
• New way to measure building height that simplifies the calculations
• New zoning interpretation to allow mechanical car lifts in commercial and
industrial zones as an alternative way to increase parking supply
* Updated the Smoky Hollow Specific Plan to streamline approval processes and open the
area to contemporary uses such as creative offices
As a result, the City's business Net Promoter Score has improved by 15 points for a 47%
increase this year; from 32% in the first year to 47%this year. A Net Promoter Score of 47%is
very respectable given that secondary research suggests that cities using NPS will score in the
range of 23%to 28%.
Despite the improved NPS,this year's survey indicates the same areas which represent an Issue&
Opportunity due to their mean scores coming in below 4.00:
• Business Development and Attraction policies
• Responsiveness, knowledge and competency of working with the Planning and Building
Safety Department for plan checks,permits or inspection services
• City Zoning Policies
The primary issue among Detractors is staff responsiveness. Business Friendly which was the
number one issue has become the second most important issue since last year's survey.
In addition, the same areas are continued to be viewed as modest strengths by the majority of
businesses:
■ Business License Renewal Process
• Responsiveness, knowledge and competency of Fire Department & Field Inspection
services
• Availability &Responsiveness of Police Department
The City executive team will develop a plan to address the areas in the residential and business
surveys that have a mean score below 4.0 and are considered NPS detractors or areas of"issues
and opportunities". The executive staff will present the plan of action to the City Council at a
subsequent Council meeting and incorporate these actions into the FY 2019-20 strategic work plan.
135
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Customer Satisfaction Survey Report
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Foreword
This report presents the findings from a Net Promoter/Customer Experience Survey
commissioned by City of El Segundo. ggjKt7 Sahitzons, Tqc. designed the survey. Data
collection, analysis, interpretation, and reporting were also performed by Quq&7 SahitYons,
4?jj41it7 S®llitions, 14c. provides customer Satisfaction Measurement and Management
Systems and consultation services for companies seeking a competitive advantage through the
practical application of value added management and continuous improvement strategies. It
further provides Business Process Redesign, Quality Management Systems development, and
consulting services to assist Residents to improve their customer satisfaction, operational
performance and financial results.
This study was managed by John D. Dickey, President, Qgq&7 Sahitio4s, Iqc. and
implemented through the assistance of the staff of gg4Kt7`�cJudags, _14c. The assistance and
cooperation from everyone from City of El Segundo has been greatly appreciated.
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Resident Satisfaction Survey 2018 Quality Solutions,Inc. Page 2
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Executive Summary
Purpose and Objectives
This study was conducted primarily to assess customer satisfaction with City of El Segundo's public
services. The study was designed to survey City of El Segundo's residents.
Specific objectives included the following:
• Assess customer satisfaction with multiple attributes.
• Measure City of El Segundo's image and general reputation.
• Record customer opinions as to how City of El Segundo can serve them better.
• Assess the extent of customer loyalty based on the Net Promoter process.
■ Provide a framework to build an integrated Customer Satisfaction.
CA)
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Resident Satisfaction Survey 2018 Quality Solutions,Inc.' Page 3
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Executive Summary (coat.)
Key Findings
Methodology
Web surveys were conducted with Residents within the City of El Segundo. Respondents were selected from
the master survey list supplied by City of El Segundo. A final sample of customers was obtained. We sent 1,269
invitations, 221 were undeliverable for a total of 11,048 sent out. We had a 24% response rate or 248 total
responses. Mail surveys were also sent out from City of El Segundo offices. A total of 289 residents responded
via mail. A total of 537 residents responded to some portion of the survey. There were 522 responses to
the Net Promoter Score question. It is very important to note we received feedback from 347 residents last
year, meaning we received over 25% more respondent feedback than last year!
Results
As we have discussed in the past, Net Promoter Score is a tool to measure customer loyalty and the predictive
indicators for customer defection. In case study after case study, companies with higher NPS scores generally
are more profitable than their competition.
City of El Segundo's NPS score is 58%. This is a respectable score given the fact that secondary research
indicates scores are typically lower for public institutions. When compared with the private sector, the score is
not much lower than the best companies who range between 60 and 75%.
When comparing the results of the 2017 survey with this years results, the numbers hardly changed. Last year
the city earned a 59% NPS. The percentage of Detractors declined by 1 % this year. This is still a remarkable
accomplishment given the 25% increase in respondents to this year's survey.
Targeted action plans should also be developed for select companies who make up the Detractor Residents.
The detailed responses will be provided as part of this report in a separate file. City Managers are encouraged to
C.0 examine this raw feedback in more detail.
Resident Satisfaction Survey 2018 Quality Solutions,Inc. Page 4
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Executive Summary cont.
Key Findings
The following areas are viewed as modest strengths by the majority of Residents: (4.00 to 4.33)
• Availability & Responsiveness of Police Department- greater than 4.33
• Responsiveness, knowledge and competency of Fire & Paramedic services - greater than 4.33
• Quality of Recreation and Parks Program offered
• Maintenance and upkeep of Recreation and Parks facilities
• Resources and services provided by the Public Library
Ideally we would like all of these scores to rise to above 4.33, which would most likely occur if
some of the NPS issues with individual Residents were addressed.
There are three areas which represent an Issue & Opportunity due to their mean scores coming in
below 4.00)
• Responsiveness and overall vision of City Council
Water and Sewer Billing Department Customer Service (complaint handling & responsiveness)
Condition of City Infrastructure: streets, sidewalks and public facilities
Detractors were most concerned about the cost of living and taxes. To a lesser extent Detractors
are concerned about noise pollution and the airport and the desire for a more resident friendly
environment.
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Resident Satisfaction Survey 2018 Quality Solutions,Inc. Page 5
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Executive Summary (cont.)
Questionnaire Design
The questionnaire was designed to meet the research objectives described earlier in this report.
Selection of specific items, wording and scale construction was performed following discussions
with City of El Segundo executives. The final version of the survey instrument was approved by
City of El Segundo before it was administered to a representative sample of customers. A copy
of the survey form can be found in the Appendices. Data from the survey was coded and
analyzed without direct linkage to individual respondents to further ensure anonymity of the
respondents.
Data Collection
All customers on the master list were invited by email to participate in a web survey. A mail
survey was also conducted for those residents without email addresses.
Customer Satisfaction Measurement
Customer satisfaction was measured for specific product and service attributes, ranging from
City Zoning Policies to Availability & Responsiveness of Police Department. The complete list
of attributes appears in the survey form.
Resident Satisfaction Survey 2018 Quality Solutions,Inc: Page 6
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Executive Summary (cont.)
Satisfaction was then assessed by asking respondents to rate, on a 5-point scale, how satisfied they were
with City of El Segundo on each attribute.
Measurement Scales:
Satisfaction Scale: 5 = very satisfied, 4 = satisfied, 3 = neutral, 2 = dissatisfied, 1 = very dissatisfied
• Mean scores were analyzed. A mean score of 4.00 or greater is viewed as a strength.
• A mean score of 3.75 or less is viewed as an opportunity for improvement.
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Resident Satisfaction Survey 2018 Quality Solutions,Inc.` Page 7
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Process Owner Current Level of & by Whom Indicators and
Performance Goals
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Resident Satisfaction Survey 2018 Quality Solutions,Inc.` Page 8
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Measuring your Net Promoter ScoreTm
Promoters are your customers who are so enthusiastic about your company or brand that they buy more
than the average customer and delight in referring your business to their fiends,peers,and colleagues_
These customers give you a rating of 9 or 10_
Customers who give you a rating of 7 or 8 are Passive customers_ They may become Promoters if youS
improve your product,service or overall customer experience,but for now they do not factor into the Net J
Promoter Score_
s
Detractors feel mistreated,abused,and hurt_ Their experience is going to drive them to cutback what
they purchase from you and switch to your competition- They are atso not shy about sharing with others ;
their plight and waming current and potential customers to stay away from your company_ Detractors
are customers who give ratings of 6 or lower_
Your Net Promoter Score is calculated by subtracting the percentage of Detractors from Promoters to get an overall NPS as number as shown below:
%of Promoters-%of Detractors=Net Promoter Score(NPS)
Example:
Promoters=56% Detractors Promoters
Passives=36% a 2 3 5 8 s t v
Detractors=8% Not at all Neutral Extremely
Net Promoter Score: 56%-8%=48% likely 14kely
NPS Methodology
We begin with the ultimate question_"How likely would you be to recommend this company to a friend or colleague?" Respondents are asked to respond
using a 0 to 10 scale where 5 is neutral. M effective Net Promoter process is not simply based on asking customers a single question and ending the survey_ It
is important to understand why each respondent gave you the score they did_ Understanding what needs to be improved(or specific actions taken)to raise your
score to a 9 or 10 gives you actionable information which can be targeted for corrective action or process improvement Understanding why a customer gave you
a 9 or 10 helps you to better understand your core competencies_ Our qualitative analysis of follow-up comments from Promoter,Passives,and Detractors is the
key to increasing customer loyalty and profitable growth_
Resident Satisfaction Survey 2018 Quality Solutions,Inc. Page 9
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Net Promoter Score
90% i
Promoters 68% - 10% Detractors = NPS of 58%
8o% A Net Promoter Score of 58% is very respectable given that secondary
research suggests that cities using NPS will score in the range of 23 to
70% ' ' 28%.
When comparing the results of the 2017 survey with this years results,
6o% �Promoters the numbers hardly changed. Last year the city earned a 59% NPS.
Passives The percentage of Detractors declined by 1 % this year.
50% Detractors City of El Segundo needs to develop plans to address some of the
NPS
concerns of the Resident Detractors (those giving scores of 6 or less).
40% �
Cost of living and taxes appears to be the primary driver among the
Distractors.
30%
Some effort should also be made to address some of the concerns of
22% the Passives (scores of 7 & 8).
20%
The comments of the individual Detractors and Passives provide
10% specific guidance.
1 Each comment should be reviewed independently. NPS is a customer
o%
centric process; meaning that action plans address individual customer
City of E1 Segundo-Residents concerns. It is important that each of these Residents are contacted for
follow-up and attempts made to address their concerns.
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Resident Satisfaction Survey 2018 Quality Solutions,Inc. Page 10
Cityof El S � Quality Solutions Inc."
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Loyalty Drivers
Responsiveness and overall vision of City Council
5.00
Resources and services provided by the Public Library 4.00 Availability&Responsiveness of Police Department
3.00
Condition of City Infrastruction:streets,sidewalks and public Responsiveness,knowledge and competency of Fire&
facilities �' , Paramedic services
Maintenance and upkeep of Recreation and Parks facilities ater and Sewer Billing Department Customer Service
(complaint handling&responsiveness)
Quality of Recreation and Parks Program offered
Resident Satisfaction Survey 2018 Quality Solutions,Inc.` Page 11
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25%
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These areas represent significant opportunities for improvement among Detractors.
Individual comments follow for Passive and Detractors.
Resident Satisfaction Survey 2018 Quality Solutions,Inc. Page 12
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Loyalty Drivers
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5.00
Resources and services provided by the Public Library 4.0�_ Ar•nElabtlity&Responsiveness of Police Department
6o% $•00
�Pmmoters
` Passives
Condition of City Infrastruction:streets,sidewalks and public Responsiveness,knowledge and competency of Fire&
50% �Detractors facilities '� Paramedic services
--w—NPS
40%
Maintenance and upkeep ofRecreation and Parks facilities 'Mur and Sewer Billing Department Customer Service
(complaint handling&responsiveness)
30% Detractor Comments
Quality ofRecreation and Parks Program offered
22% � go%
20%
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Resident Satisfaction Survey 2018 Quality Solutions,Inc., Page 42
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Satisfaction Data Summary
Exhibit 2.1 - Resident Respondents
Satisfaction
City of El
Importance Segundo
Attribute Residents
n= 537 537
Responsiveness and overall vision of City Council 0.48 3.57
Availability&Responsiveness of Police Department 0.41 4.37
Responsiveness,knowledge and competency of Fire&Paramedic services 0.35 4.48
Water and Sewer Billing Department Customer Service(complaint handling&
responsiveness) 0.35 3.71
Quality of Recreation and Parks Program offered 0.33 4.10
Maintenance and upkeep of Recreation and Parks facilities 0.30 4.16
Condition of City Infrastruction:streets,sidewalks and public facilities 0.29 3.72
Resources and services provided by the Public Library 0.27 4.14
Strengths:
Availability&Responsiveness of Police Department
Responsiveness,knowledge and competency of Fire&Paramedic services
Quality of Recreation and Parks Program offered
Maintenance and upkeep of Recreation and Parks facilities
Resources and services provided by the Public Library
Issues&Opportunities:
Responsiveness and overall vision of City Council
Water and Sewer Billing Department Customer Service(complaint handling
&responsiveness)
Condition of City Infrastruction:streets,sidewalks and public facilities
Resident Satisfaction Survey 2018 Quality Solutions,Inc., Page 43
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Exhibit 2.2-All Resident Respondents
"How has the city improved over the last year?"
50%
45%
40%
35%
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30%
25%
I
20%
15%
10%
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Resident Satisfaction Survey 2018 Quality Solutions,lnc.� Page 44
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On a scale of 0 to 10, where 10 is Very Likely, 5 is Neutral and 0 is Very Unlikely, based on your
company's experiences, how likely are to you recommend the City of El Segundo to a friend or
family member considering moving to the area?
0 1 2 3 4 5 8 7 8 9 10
Very Unlikely 0 0 0 0 0 0 0 0 0 (F) C) Iry
Likely
What has the City of EI Segundo done to eam vour lovalty?
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Resident Satisfaction Survey 2018 Quality Solutions,Inc.` Page 49
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On a scale of 0 to 10, r�here '10 is Ven,Likely: 5 is Neutral and 0 is Very Unlikely, based aro your
company's experiences, how likely are to you recommend the City of El Segundo to a friend or
family member considering moving to the area?
0 1 2 3 4 5 6 7 8 9 10
0 0 0 0 (F) 0 0 0 0 0 C) Very
Unlikely Likely
What should the city improve upon in order to earn a higher score?
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Resident Satisfaction Survey 2018 Quality Solutions,Inc: Page 50
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For the attributes below,we•mill use a scale of Very Satisfied.Satisfied,Neutral,Dissatisfied,
and Very Dissatisfied.
Based on your Lompanvs experience,how satisfied are you with the following?
Very Very
Dissatisfied Dissatisfied Neutral Satisfied Satisfied
Maintenance and upkeep of
Recreation and Parks O O O O O
families
Quality of Recreation and O O
Parks P+cyan:offered
Resources and services
prodded by the Public O O O O O
LiUrar4
Responsiveness,knowledge
and conwetenry of Fire& O O O O O
Paramedic services
Availability and
Responaneness of Police O O O O O
Department
Condition of City
InfrasWction:streets. O O O O O
sidewalks and public
facilities
Water and Sewer Billing
Depammvi Customer O O O O O
Service(complain[handling
&respmsiveness)
Respoxunreness and overall O O O O O
vision of City Council
How has the city urpm,e:I over the last year?
No
s9dcae Slsyd hpavemam- soma Significad
Decfine Dedm About tlw Same lopmvenwnt Imprwanad
O O O O O
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Resident Satisfaction Survey 2018 Quality Solutions,Inca Page 51
Quality Solutions, Inc.
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Customer Satisfaction Survey Report
For
City of El Segundo — Businesses tLLSIOUNDO
Reporting Period: December 2018 1%
C.31
Business Customer Satisfaction Survey 2018 (luallty Solutions,Inc. Page I
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Foreword
This report presents the findings from a Net Promoter / Customer Experience Survey
commissioned by City of El Segundo. 9U4Kt7 S®ludagq, Inc. designed the survey. Data
collection, analysis, interpretation, and reporting were also performed by (?U-q1it7 S®lUdGOS,
.14C.
9U4Kt7 S®lUdOM, IOC. provides customer Satisfaction Measurement and Management
Systems and consultation services for companies seeking a competitive advantage through the
practical application of value added management and continuous improvement strategies. It
further provides Business Process Redesign, Quality Management Systems development, and
consulting services to assist businesses to improve their customer satisfaction, operational
performance and financial results.
This study was managed by John D. Dickey, President, Qua&7 Solations, .144. and
implemented through the assistance of the staff of �'��li �elir��, ���. The assistance and
cooperation from everyone from City of El Segundo has been greatly appreciated.
U1
Page 2
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc.
Ci* tyo
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Buildi111-1 FOUndations for Exccllcnc�-
Executive Summary
Purpose and Objectives
This study was conducted primarily to assess customer satisfaction with City of El Segundo's products,
sales and service. The study was designed to survey a cross section of City of El Segundo's customers;
however, concentrating on key or target accounts. This survey and its measures are benchmarked to
the Malcolm Baldrige National Quality Award.
Specific objectives included the following:
• Assess customer satisfaction with multiple attributes.
• Measure City of El Segundo's image and general reputation.
■ Assess the distinctive competence of City of El Segundo.
• Record customer opinions as to how City of El Segundo can serve them better.
• Assess the extent of customer loyalty.
• Provide a framework to build an integrated Customer Satisfaction and Value Measurement System.
c�
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc: Page 3
CiEl � uno � QualityQuality Solutions, Inc."t o
BL1j'1 11 i':._ I.OLI11LIM011S tcu- L\C7C11L:11C(
Executive Summary (cont.)
Key Findings
Methodology
Web surveys were conducted with businesses within City of El Segundo. Respondents were selected
from the master survey list supplied by City of El Segundo. A final sample of customers was
obtained. We sent 3,581 invitations, 108 were undeliverable for a total of 3,473 sent out. We had a
9% response rate or 325 total responses. We did receive more responses than last year though the
response rate was slightly lower. This is not surprising given the fact the survey was done closer to
the holidays this year.
Results
As we have discussed in the past, Net Promoter Score is a tool to measure customer loyalty and the
predictive indicators for customer defection. In case study after case study, companies with higher
NPS scores generally are more profitable than their competition.
City of El Segundo's NPS score is 47%. This is a respectable score given the fact that secondary
research indicates scores are typically lower for public institutions. When compared with the private
sector the score is much lower than the best companies who range between 60 and 75%.
More importantly the NPS score rose from 32% last year to 47% this year!!
Targeted action plans should also be developed for select companies who make up the Detractor
businesses.
The detailed responses will be provided as part of this report in a separate file. City Managers are
encouraged to examine this raw feedback in more detail.
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc. Page 4
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Executive Summary (cont.)
Key Finding
The following areas are viewed as modest strengths by the majority of businesses: (4.00 to 4.33)
• Business License Renewal Process
• Responsiveness, knowledge and competency of Fire Department & Field Inspection services
• Availability & Responsiveness of Police Department
Ideally, we would like these scores to rise to above 4.33, which would most likely occur if some
of the NPS issues with individual businesses were addressed.
There are three areas which represent an Issue & Opportunity due to their mean scores comping
in below 4.00)
• Responsiveness, knowledge and competency of working with the Planning and Building
Safety Department for plan checks, permits or inspection services
• Business Development and Attraction policies
City Zoning Policies
The primary issue among Detractors is staff responsiveness. Business Friendly has become the
second most important issue since last year's survey. The real issue for the city is to get to the
root causes of each individual concern among the Detractors and to a lesser extent the Passives.
U1
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Business Customer Satisfaction Survey 2018 Quality Solutions,Inc., Page 5
:'1�� QpalitySolutions, Inc."
Cityof
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Building 1-oundations for Exccllcncl
Executive Summary (cont.)
Questionnaire Design
The questionnaire was designed to meet the research objectives described earlier in this report.
Selection of specific items, wording, and scale construction was performed following discussions
with City of El Segundo executives. The final version of the survey instrument was approved by
City of El Segundo before it was administered to a representative sample of customers. A copy
of the survey form can be found in the Appendices. Data from the survey was coded and
analyzed without direct linkage to individual respondents to further ensure anonymity of the
respondents.
Data Collection
All customers on the master list were invited by email to participate in a web survey.
Customer Satisfaction Measurement
Customer satisfaction was measured for specific product and service attributes, ranging from
City Zoning Policies to Availability & Responsiveness of Police Department. The complete list
of attributes appears in the survey form.
cY1
CO
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc. Page 6
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Executive Summary (coat.)
Satisfaction was then assessed by asking respondents to rate, on a 5-point scale, how satisfied they were
with City of El Segundo on each attribute.
Measurement Scales:
Satisfaction Scale: 5 = very satisfied, 4 = satisfied, 3 = neutral, 2 = dissatisfied, 1 = very dissatisfied
• Mean scores were analyzed. A mean score of 4.00 or greater is viewed as a strength.
• A mean score of 3.75 or less is viewed as an opportunity for improvement.
0
Business Customer Satisfaction Survey 2018 Quality Solutions,lnc.� Page 7
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Key Action Item& Contributing to Improvement-Steps Completed Performance Results
Process Owner Current Level of & by Whom Indicators and
Performance Goals
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Business Customer Satisfaction Survey 2018 Quality Solutions,Inc. Page 8
40'
City of El Seg � QualitySolutions, Inc.°
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Measuring your Net Promoter Score"'
Promoters are your customers who are so enthusiastic about your company or brand that they buy more
than the average customer and delight in referring your business to their friends,peers,and colleagues_ `�.
These customers give you a rating of 9 or 10_
Customers who give you a rating of 7 or 8 are Passive customers_ They may become Promoters if you
improve your product,service or overall customer experience,but for now they do not factor into the Net
Promoter Score_
Detractors feel mistreated,abused,and hurt Their experience is going to drive them to cut back what
they purchase from you and switch to your competition_ They are also not shy about sharing with others
their plight and warning current and potential customers to stay away from your company_Detractors .
are customers who give ratings of 6 or lower_
Your Net Promoter Score is calculated by subtracting the percentage of Detractors from Promoters to get an overall NPS as number as shown below:
%of Promoters-%of Detractors=Net Promoter Score(NPS)
Example:
Promoters=56% Detractors Prorn of ens
Passives=36% z ' °
Debtors=8% Not at all Neutral ExtremeiV
Net Promoter Score: 56%-8%=48% likely likely
NPS Methodology
We begin with the ultimate question_"How likely would you be to recommend this company to a friend or colleague?" Respondents are asked to respond
using a 0 to 10 scale where5 is neutraL M effective Net Promoter process is not simply based on asking customers a single question and ending the survey_ It
is important to understand why each respondent gave you the score they did_ Understanding what needs to be improved(or specific actions taken)to raise your
score to a 9 or 10 gives you actionable information which can be targeted for corrective action or process improvement Understanding why a customer gave you
a 9 or 10 helps you to better understand your core competencies_ Our qualitative analysis of fobw-up comments from Promoter,Passives,and Detractors is the
key to increasing customer loyalty and profitable growth_
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Customer Satisfaction Survey 2018 Quality Solutions,Inc.' Page 9
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g00% - - City of El Segundo - Business
Net Promoter Score
90% Promoters 62% - 15% Detractors = NPS of 47%
A Net Promoter Score of 47% is very respectable given that
so%
secondary research suggests that cities using NPS will score in the
range of 23 to 28%. The NPS score of 47% represents a 15%
70% increase in one year!
City of El Segundo needs to develop plans to address some of
6o% the concerns of the Business Detractors (Those giving scores of
�Promoters
Passives 6 or less).
50% Detractors This process of gaining more Promoters is not an academic
_"-NPs exercise, it directly correlates to customer's purchase/repurchase
40% intentions. Loyal customers/businesses are more likely to
purchase other products and services from you. This will relate to
greater business activity and development within the community.
30% 23% Lastly, their referrals are not simply to colleagues outside of their
business it can be from within. This leads to the transfer of
20% businesses to El Segundo.
There are 36 comments among the detractors. Each comment
io% should be reviewed independently. NPS is a customer centric
process; meaning that action plans address individual customer
0% concerns. It is important that each of these businesses are
M City of F1 Segundo-Businesses contacted for follow-up and attempts made to address their
W
concerns.
Customer Satisfaction Survey 2018 Quality Solutions,Inc. Page 10
Cl* ty of El SegIMua1it Y Solutions Inca
Buildira�; 1=otu,dations for Exccllcncc
Loyalty Drivers
Responsiveness,knowledge and competency of working with
the Planning and Building Safety Department for plan checks,
permits or inspection services
5.00
4•aD
Availability&Responsiveness of Police Department - QO Business Development and Attraction policies
.00
1.0
Responsiveness,knowledge and competency of Fire / City Zoning Policies
Department&Field Inspection services
Business License Renewal Process
Customer Satisfaction Survey 2018 Quality Solutions,Inc.' Page 11
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Detractor Comments
40% _
35%
30%
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a: i5% i5% II
15%
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10% 8%
5% 476 4%, 4%
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public�NoTks andp1ann�ng�B
These areas represent significant opportunities for improvement among Detractors.
Individual comments follow for Passive and Detractors.
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Customer Satisfaction Survey 2018 Quality Solutions,Inc.' Page 12
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Loyalty Drivers
go%
Responsiveness,knowledge and competency of working with
80% - the Planning and Building Safety Department for plan checks,
permits or inspection services
5.00
70% 4.00
Availability&Responsiveness of Police Department .00 Business Development and Attraction policies
.00
6o%
^O Promoters 1.
1 Passives
50% Detractors
Responsiveness,knowledge and competency of Fire
—NPS Department&Field Inspection services City Zoning Policies
40% f
I Business License Renewal Process
30% 23%
1 Detractor Comments
20% III 40% —
35%
10% _
30%
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Customer Satisfaction Survey 2018 Quality Solutions,lnC.� Page 27
Cityof El Seg `. Qlality Solutions, Inca
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Satisfaction Data Summary
Exhibit 2.1 - Respondents
Satisfaction
City of El
Importance Segundo
Attribute Businesses
n= 323 323
Responsiveness,knowledge and competency of working with the Planning and
Building Safety Department for plan checks,permits or inspection services 0.47 3.66
Business Development and Attraction policies 0.46 3.69
City Zoning Policies 0.44 3.52
Business License Renewal Process 0.34 4.24
Responsiveness,knowledge and competency of Fire Department&Field
Inspection services 0.33 4.27
Availability&Responsiveness of Police Department 0.28 4.25
Strengths:
Business License Renewal Process
Responsiveness,knowledge and competency of Fire Department&Field
Inspection services
Availability&Responsiveness of Police Department
Issues&Opportunities:
Responsiveness,knowledge and competency of working with the Planning
and Building Safety Department for plan checks,permits or inspection
services
Business Development and Attraction policies
v City Zoning Policies
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc. Page 28
City of
El SegQuality Solutions, Inc.°
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City of El Segundo
Exhibit 2.2-All Business Respondents
tt How has the city improved overthe lastyear?"
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
Significant Decline Slight Decline No Improvement/About Some Improvement Significant Improvement
� the Same
00
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc: Page 29
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4n a scale of 0 to 10, where 10 is Very Likely, 5 is Neutral and 0 is very Unlikely, based on your
company's experiences, how likely are to you recommend the City of E1 Segundo to a
business associate or colleague?
0 1 2 3 4 5 6 7 8 9 10
Very Unlikely Q 0 a 0 0 0 0 0 0 0 Q Very
Likely
What should the city improve upon in order to earn a higher score?
a�
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc.' Page 44
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On a scale of 0 to 10, where 10 is Very Likely, 5 is Neutral and 0 is`:'ery Unlikely, based on your
company's experiences, how likely are to you recommend the City of Ell Segundo to a
business associate or colleague?
0 1 2 3 4 5 6 7 8 9 10
Unlikely Q 0 0 0 0 0 0 Q ❑ (D 0 Very
Likely
What has the City of EI Segundo done to earn your loyalty?
0
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc.' Page 45
ILIIQualitySolutions Inc.°
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ELSEGUN 0
For the attributes below,we wiil use a scale of Very Satisfied,Satisfied,Neutral,Dissatisfied.
and Very Dlssatisfied.
Based on your company's experience,how satisfied are you with the following?
Very Veer
Dissatisfied Dissatisfied Neutral Satisfied Satisfied
Responsiveness,knowledge
and competency of working
with the Planning and
Budding Safety Department O O O O O
for plan checks,permits,or
inspection services
City Zoning Policies O O O O O
Business Development and O O O O O
Attraction policies
Availability&
Responsiveness of Police O O O O O
Department
Responsiveness,knowledge
and competency of Fire O O O O O
Department&Field
Inspection services
Business License Renewal O O O O O
Process
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc: Page 46
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Based on your scores above,what should the city focus their attention on most and why?
How has the city improved over the last year?
No
Significant Slight Improvement- Some Significant
Decline Decline About the Same Improvement Improvement
0 0 0 0 0
Where have we significantly declined in terms of service?
N
Business Customer Satisfaction Survey 2018 Quality Solutions,Inc.' Page 47
EL SEGUNDO CITY COUNCIL MEETING DATE: February 05,2019
AGENDA STATEMENT AGENDA HEADING: New Business
AGENDA DESCRIPTION:
Consideration and possible action to receive and file a report on the 2018 year-end crime
summary as well as Police Department efforts to reduce crime and address quality of life issues.
(Fiscal Impact: N/A).
RECOMMENDED COUNCIL ACTION:
1. Receive and file report; or,
2. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS: 2018 Crime Report
FISCAL IMPACT: To Be Determined
Amount Budgeted: $0
Additional Appropriation: N/A
Account Number(s): N/A
STRATEGIC PLAN:
Goal: 2 Support Community Safety and Preparedness
Objective: 1 El Segundo is a safe and prepared city
ORIGINATED BY: Bill Whalen, Chief of Police
REVIEWED BY: Bill Whalen, Chief of Police q
APPROVED BY: Greg Carpenter, City Manager)1
BACKGROUND AND DISCUSSION:
The Uniform Crime Reporting Program (UCR) is a nationwide, cooperative statistical effort of
nearly 18,000 law enforcement agencies. Crimes are divided into two categories referred to as
Part 1 and Part 2. Part 1 crimes are generally considered more serious and are subdivided into
Violent Crimes and Property Crimes. The City of El Segundo reports these crimes monthly to the
State of California Department of Justice (CA-DOJ) who in turn reports to the Federal Bureau of
Investigation(FBI).
Because the UCR program has guidelines for the types and status of crimes reported, it is likely
the statistics of prior reported months will change throughout the year. The final report for
calendar year crime data is due to the DOJ in April of the following year. These numbers are then
made public by the FBI in October of the following year. While staff believes the numbers in this
report to be accurate, it is possible they will change slightly due to cases being re-classified prior
to submitting to CA-DOJ.
13
173
In 2018,the City of El Segundo had 784 reported Part 1 crimes. This represents an increase of 57
crimes over the total number for 2017. Of this increase, there were 27 additional Violent Crimes
and 30 additional Property Crimes.
There are four subcategories within Violent Crime and they are: Homicide, Rape, Robbery, and
Aggravated Assaults. The categories of Rape, Robbery, and Aggravated Assaults each saw year
over year increases. The following is a summary of each:
1. There were seven additional rapes for a total of 11 reported to the El Segundo Police
Department (ESPD) in 2018. In 80% of the total number, the suspect was known and/or
an acquaintance of the victim (i.e. family friend, dating relationship). Out of the 11
reported rapes, three cases were closed with an arrest. In seven cases, the offender is
identified and the investigation is on-going. In one case, the suspect has not yet been
identified.
2. There was one additional Robbery for a total of 22 reported to the ESPD. Over half of
these cases were crimes that began as shoplifting and escalated to robbery when force(e.g.
pushing/shoving) or threat of force was used against the store employee.
3. There were 20 additional Aggravated Assaults for a total of 34 reported to the ESPD. An
analysis of these crimes revealed they were primarily domestic violence related or
situations in which both the victim and suspect were engaging in criminal behavior (e.g.
drug dealing).
4. There was one less Homicide in 2018 for a total of zero reported to the ESPD.
There are four subcategories within Property Crime and they are: Burglary, Larceny, Motor
Vehicle Thefts, and Arson. The categories of Burglary, Larceny, and Arson each saw year over
year increases. The following is a summary of each:
1. There were 19 additional Burglaries for a total of 202 reported to ESPD. There were 17
additional Commercial Burglaries. Two locations that accounted for a significant number
of reported burglaries were the Public Storage at 1910 Hughes Way (51) and the Extra
Space Storage at 1017 East El Segundo Blvd. (7). These 58 crimes represented 29%of our
total burglary count. There were 2 additional Residential Burglaries in 2018. The vast
majority of the Residential Burglaries involved suspects stealing bicycles from carports.
There were only three (total) Residential Burglaries during 2018 of a residence currently
being lived in(although unoccupied at time of crime).
2. There were 20 additional Larcenies for a total of 448 reported to ESPD. The most
significant increase within the Larceny category was Shoplifting, which saw 37 additional
reported crimes. The most significant decrease was Thefts from Vehicles which dropped
by 32 reported crimes for a total of 169.
3. There were three additional Arson Crimes reported for a total of three reported to ESPD.
4. There were 64 Motor Vehicle Thefts reported to the ESPD, which represents a reduction
of 17 reported incidents over 2017.
In 2018,the City of El Segundo had 666 reported Part 2 crimes. This represents an increase of 11
crimes over the total number for 2017. There are 19 subcategories of crime within the category of
Part 2 crimes. These are generally considered less serious crimes than Part 1 crime. The most
significant increase in Part 2 crimes was DUI Alcohol/Drugs with 41 additional reported crimes
for a total of 114. These numbers are a result of increased self-initiated activity by patrol officers
174
resulting in the identification and apprehension of impaired drivers. The second most significant
increase was in the category of Vandalism with 34 additional crimes reported for a total of 105.
The two subcategories that saw the most significant decreases were Fraud that decreased by 34 to
a total of 121 and Forgery/Counterfeit that decreased by 16 to a total of 18.
During 2018, the ESPD made a concerted effort to impact crime in addition to addressing quality
of life issues and responding to calls for service. A part of this response strategy was the creation
of the Community Lead Officer program. While the ultimate goal is to increase this team to a total
of four Officers and a Sergeant, they are currently staffed with only two Officers. These Officers
are primarily tasked with addressing the homeless issue within the City of El Segundo and Part I
crime. In addition to their normal daily duties, these two Officers conducted 45 directed patrol
activities that included: bait bike deployment, bait car deployment, burglary surveillance,
prostitution/human trafficking enforcement, ABC decoy operations, homeless outreach and
directed traffic enforcement.
A key piece to the crime suppression strategy is the effort put forth by the officers assigned to the
patrol division. These officers made over 1,000 arrests for crimes including: attempted murder,
robbery, and burglary while responding to 34,693 calls for service. The traffic division also plays
an important role in crime suppression. In 2018 a total (patrol and traffic) of 2,244 citations were
written, which was a 37% increase over 2017. While citations are an important component of the
ESPD traffic safety efforts,there is empirical evidence(July 2013 NHTSA Technical Report)that
high visibility traffic enforcement can reduce crime. While Police Cadets are not directly involved
in crime suppression,they are involved in high visibility parking enforcement. In 2018,the ESPD
Cadets wrote 10,932 parking citations, which was a 17.4% increase over 2017.
In 2018, the ESPD hired a part-time, contract Crime Analyst. The Analyst (who joined ESPD at
the end of May) has been instrumental in thoughtfully directing patrol resources to areas where
crimes are likely to occur. Additionally, the Analyst regularly reviews arrest and stop/detention
information and provides this to officers to assist with maintaining situational awareness. The
analyst also provides support to the detective bureau and has been instrumental in identifying crime
suspects.
The Investigative Division (understaffed at 20%-40% during 2018 due to long term injuries)
maintained an overall clearance rate of 54% of cases assigned. In 2016 (the most recent record
available from the FBI), the national clearance average was 45.6% for violent crimes and 18.3%
for property crimes. Given 91.5% of crimes investigated by the ESPD are property crimes, our
crime clearance rate is significantly higher than the national average.
Also important to the crime suppression strategy is the deployment of the Automated License Plate
Readers. This project was approved in the 2017/2018 budget. There were, however, significant
challenges in getting the program on line. This was largely due to the City of Los Angeles owning
the signal poles where the ESPD wanted to deploy the cameras. ESPD ultimately obtained
permission to mount the cameras but not to access the power serving the signal poles. The ESPD
is now in the process of receiving estimates from Southern California Edison to access their power
from nearby street lights. It is expected this program will be fully operational during the first six
months of calendar year 2019. Staff will be presenting to Council at the February 19th City Council
meeting options to further expand this program.
175
Mi
1 SEGUNDO POLICE DERA4,RTI MENTI
The mission of the EI Segundo Police Department is to provide a safe and secure community while treating all
people with dignity and respect. Each year the EI Segundo Police Department collects and disseminates an
Annual Statistical Report. The statistical crime data in this report provides the Police Department a view of
criminal trends and conduct as a tool for crime analysis.
OVERALL, CRIME IN 2018 INCREASED 8% COMPARED TO THE PREVIOUS YEAR
UNIFORM REPORT PART I CRIMES
OFFENSE 2012 2013 2014 2015 2016 2017 2018 CHANGE
201712018
Homicide 0 0 0 1 0 1 0 -100%
Rape 1 0 4 1 4 4 11 +175%
Robbery 15 19 15 22 25 21 22 +5%
Aggravated Assaults 22 18 30 17 24 14 34 +143%
y
-[ 1_
TOTAL VIOLENT CRIMES 38 J 37 49 I 41 53 I 40 67 +68%
Burglary 156 143 161 147 _ 186 183 202 +10%
Larceny 389 343 305 426 472 423 448 +6%
Motor Vehicle Thefts 50 52 72 48 73 81 64 -21%
Arson 5 6 12 2 3 0 3 +300%
TOTAL PROPERTY CRIMES 600 544 550 623 734 687 717 +4%
TOTAL PART I CRIMES 638 581 599 664 787 727 784 +8%
1000
800 77
600 787 { 727
638 581 599 664
400
200
0
2012 2013 2014 2015 2016 2017 2018 1
I
P .1
J
_ 1
CRIME CLASSIFICATION SUB- TOTAL CATEGORY I
TOTAL
HOMICIDE 0 0
FORCIBLE 9
RAPE ATTEMPTED 2 11 VIOLENT CRIMES AGAINST PEOPLE
HOMICIDE= RAPE_...
FIREARM 3 0 (0%)
KNIFE OR
0
CUTTING INSTR
ROBBERY 22
OTHER DANGER 12
WEAPONS
STRONG-ARM 7 ASSAULTS= '
34(51%)
FIREARM 4
I`
KNIFE OR
6 ROBBERY=
CUTTING INSTR
ASSAULTS- 34 22 (33%)
AGGRAVATED I OTHER DANGER 11
1 WEAPONS HOMICIDE RAPE ® ROBBERY ASSAULT/AGGRAVATED
HANDS,FISTS,
13
FEET,ETC
FORCIBLE 93
BURGLARY UNLAWFUL NO 100 202
FORCE CRIMES AGAINST PROPERTY
ATTEMPTED 9 GRAND ARSON,3,
THEFT... (0%)
PICKPOCKET 3
PURSE SNATCH 3 _ .BURGLARY,
SHOPLIFTING 78 202,(28%)
FROM VEHICLE 169 r
LARCENY VEHICLE PARTS 28 448
BICYCLE 18
FROM BUILDING 60
COIN MACHINE 1
OTHER 88
AUTOS 4.6 LARCENY, .
GRAND THEFT 448,(63%)
TRUCKS/BUSES 15 64
AUTO
ALL OTHER 3 , BURGLARY LARCENY ®GRAND THEFT AUTO ARSON
ARSON ALL ARSON 3 3
TOTAL 784 784
pg.2
177
EL SEGUNDO CITY COUNCIL MEETING DATE: February 5,2018
AGENDA ITEM STATEMENT AGENDA HEADING: New Business
AGENDA DESCRIPTION:
Consideration and possible action to receive and file results for the first and second quarter
transaction point survey, explore discussion of evaluating the current effectiveness of the
transaction point survey, and recommendations for potential restructure of the process
during the Fiscal Year 2019-20 Strategic Planning and Budgeting sessions. (Fiscal Impact:
$0)
RECOMMENDED COUNCIL ACTION:
1. Receive and file results for the first and second quarter transaction point survey
2. Consider possible action to explore reevaluating the current transaction point survey
structure during the Fiscal Year 2019-20 Strategic Planning and Budgeting sessions.
3. Alternatively, discuss and take other action related to this item.
ATTACHED SUPPORTING DOCUMENTS:
Transaction Point Survey Results from Quality Solutions
STRATEGIC PLAN:
Goal: lb El Segundo's engagement with the community ensures excellences — it
understands and exceeds customer expectations
Objective: 2 The City engages in regular, intentional information gathering
FISCAL IMPACT: $ (0)
Amount Budgeted: $0
Additional Appropriation: N/A
PREPARED BY: Juliana Demers, Revenue Manager
REVIEWED BY: Joseph Lillio, Finance Director
APPROVED BY: Greg Carpenter, City Manager
BACKGROUND & DISCUSSION:
Following FY 16-17 strategic planning session, City Council asked staff to look into adding an
additional customer satisfaction survey method to compliment the annual net promoter score survey.
Staff looked into adding a transactional based survey at key customer service desks within the City.
The survey would require feedback following an in person transaction completed in a City facility.
The Transaction Point Survey was aligned in concept with the Annual Business and Residential
survey by utilizing the Net Promoter Score to measure customer experience.
Taking in consideration the time factor of each respondent, the transaction point survey is a very
17814
brief survey which allows for customized feedback in case there is a dissatisfied in person
experience.
The survey launched July 1, 2018 and the communication outreach process included a Facebook,
website, and LinkedIn posting in addition to the staff solicitation at the time of the encounter with
the customer.
The survey is offered onsite through iPads stationed at various City-wide service counters:
• Four iPads are at the Planning and Building, Public Works, Business License transaction counters
at City Hall
• Two iPads are located at the Library, one at each floor
The survey consisted of four questions:
1. What department did you visit today?
(Dropdown menu: Business Tax, Water, Planning, Building and Public Works, Library)
2. What was the reason for you visit? (Based on the answer for question 1, each department will
have a drop down menu (limited to six (6) options):
a. Business License
❑ Apply/renew/pay for business tax
❑ Apply for a Film Permit
❑ Public Records Request
❑ Request Information related to City Services
❑ Trash/Recycle Questions
b. Water
❑ Pay Bill
❑ Start/Stop Service
❑ Change/update mailing Address
❑ Inquiry about a high bill
❑ Report a Leak
❑ Pay for a Red Tag or Shut Off
c. Planning& Building
❑ Apply for Building Permits
❑ Apply for discretionary planning Permits
❑ Check the zoning of a property
❑ Review Plans
❑ Ask about code requirement/Report code violation
❑ Apply for Special Events Permit
❑ Public Works
❑ Encroachment Permits
❑ Drawings, utility placement plans
❑ Inspections
❑ Traffic Committee reports
179
❑ Temporary water meters
❑ Fire flow check
d. Library
❑ Check out/return/extend library material
❑ Register/renew library card
❑ Paying Fines and fees
❑ Purchasing DVDs ordered from the cable office
❑ Request/receiving receipt for donated materials
❑ Library Event
3. Where you able to complete your transaction?
❑ Yes
❑ No
4. Based on your recent experience, how satisfied were you with the service provided?
Scale:
5 Very Satisfied
4 Satisfied
3 Neutral
2 Less than Satisfied
1 Not Satisfied at All
If rated 3 or under from question 4:
5. Based on your score above,please tell us why you were not satisfied or very satisfied with
our performance. (Open ended question)
RESULTS:
During the first six months of the surveys (Julyl, 2018 —December 31, 2018) the respective
counters processed approximately 15,000 transactions and less than I% of the customers served
participated in the survey (total of 142 customers). The highest participation was at the Library with
97 respondents (almost 70% of the entire group of respondents).
Despite the communication efforts with customers, the survey results demonstrate that not many
people are willing to spend the extra time to complete the survey in-person.
In addition, with the implementation of several efficiencies and customer service conveniences such
as online business license transactions and increased subscription to online utility billing, staff
noticed a decline in over the counter transactions which also has an impact on this survey outcome.
In doing research from other agencies and businesses who have successfully implemented the same
type of surveys, staff would like to explore more efficient alternatives for the transaction point
survey such as "pop-up windows" during or after online transactions and follow up email with
survey link.
The contract for the current in-person transaction point survey expires June 30, 2019.
180
Ll Quality Solutions, Inc!)
ES[GUN
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Transactional
QuarterCity of El Segundo
First b ' i
Conducted by
Quality Solutions , Inc ,
P.O. Box 40147
Cleveland, OH 44140
(440) 933-9946
City of El Segundo IIlISolutions Inc.°
Quality
Business Tax
Business Tax-Apply for Film Permit
5
July
4
U August
September
3
2
1 �
0 0 0 0 0. 0 0 0 0 0
0
Very Satisfied Satisfied Neutral Not Satisfied
Cityo f El Segundo
- QualitySolutions Inc.
Business Tax
Business Tax-Apply/Renew/Pay for Business Tax
10
Z0
9
July
8 «August
September
7
6
5
4
3
2
2
1 t<.I
00 0 0 0 0 0 0 0 0 a
W _
0
Very Satisfied Satisfied Neutral Not Satisfied
City of E1 Segundo _ ualit Solutions Inc.°
Y
Business Tax
Business Tax-Request Information Related to City Services
5
4 July
M August
September
3
2
1
00
I
+I
-P-
0
.
Very Satisfied Satisfied Neutral Not Satisfied
Cityof El Segundo Solutions Inc.®
Quality ,
Library Library- Check Out/Return/Extend Library Material
20 20 ' 1
18 '
July
16 �r
M August
14 September
12 r
b
i
10
10 r
8
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5
4
it r
2
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Cityf El Segundo o 1III Quality Solutions, Inca
Library Library- Library Event
z
July
n August
September
1
❑ 0� 0 Y,�._�0. 4
0 U
Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo -091111ba. QualitySolutions Inc.'
Library
Library- Paying Fines and Fees
3
3'
2 July
Q August
September
AM
1 �
i f
i
Oo 0 �0 ��. �D.
0
Very Satisfied Satisfied Neutral Not Satisfied
City of E1 SegundoOualitySolutions Inc.°
Library
Library- Register/Renew Library Card
5
4 July
M August
September
3
2
1
1
o ' ' �'° °
0
Very Satisfied Satisfied Neutral Not Satisfied
Cityf El Segundo oIDI Vitality Solutions, Inc.°
Planning and Building
Planning& Building-Apply for Building Permit
a
4
3 July
August
September
2
00 0 0 0 0 0 0 0
0
Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo i`_ ua1t Solutions Inc."
Planning and Building
Planning& Building-Apply for Special Events Permit
5
4 July
August
September
3
2
17L
p p
O 0 rm
0
Very Satisfied Satisfied Neutral Not Satisfied
City o f El Segundo Quality Solutions Inc.'
,
Planning and Building
Planning& Building-Review Plans
5
July
4
F August
September
3
2
2
1
3
0 ❑ 0 0 0 0 0 0 0 0
,.tom -- s A
0
Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo Uality Solutions Inc.'
Public Works
Public Works -Apply for Encroachment Permits
5
4 July
T11 August
September
3
2 - .
2
1 1 1
cD 0d 0 0 0 0 Q ❑ 0
0
Very Satisfied Satisfied Neutral Not Satisfied
Cityof El Segundo �iiiOtialitySolutions Inc.®
Public Works
Public Works-Pay for Temporary Water Meters
5
4 July
August
September
3
2
1
3
L
w o o_ . o o
� - �,a lm6xr
0
Very Satisfied Satisfied Neutral Not Satisfied
City o f E1 Segundo amok. Quality Solutions, Inc."
Public Works
Public Works-Submit a Traffic Committee Request
5
July
4
E August
September
3
2
1 �
1 R.
� 1
A— fir° o
0
Very Satisfied Satisfied Neutral Not Satisfied
Cityof El Segundo Quality Solutions Inc.°
Public Works
Public Works-Substructure Research
5
4 July
R August
September
3
2
1
0 0 a c,___ .oy �o
cn o
Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo Quality Solutions Inc.°
Water Water- Pay Bill
6
5
5 July
M August
September
4
3
2
1
c� 0
Very Satisfied Satisfied Neutral Not Satisfied
QualityCity of El Segundo Solutions, Inc.°
Water
Water-Change/Update Mailing Address
5
4 July
U August
September
3
2
At� W
1
1
0 0 0 0 0 0 0 0 0 0 4
0
4 Very Satisfied Satisfied Neutral Not Satisfied
City of El SegundoQualitySolutions Inc.
Based on your score, please tell us what we need
to do in order to earn a higher score.
Satisfaction
with Service
Provided once to Question Month Completed Department Visited
Neutral Allow the parent to check out books for their child under the child's library account. Jul Library
Communicate. September Planning and Building
Make faster. September Public works
None qualified personnel. July Planning and Building
00
IIII Quality Solutions, Inc.°
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City of El Segundo
QuarterSecond
Conducted by
Quality Solutions , Inc .
P.O. Box 40147
Cleveland, OH 44140
(440) 933-9946
City oSegundof El lIIISolutions Inc.®
Business Tax
Business Tax-Request Information Related to City Services
5
q October
r1 November
December
3
2
1
e a u n a �o a a
N
O Q
O Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo 1111. ualit Solutions Inc.°
Library
Library-Check Out/Return/Extend Library Material
12
11
10 October
November
December
8
7
6
4
4
2 2 It
4
1 1' �.. 1
N 0 w. 0 O
� 0
Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo QualitySolutions Inc.°
Library
Library- Library Event
13
12
11
10
October
9 r:November
December
8
7
6
5
4
3
2
2
1
3 ❑ Q Q 0 ❑ Q 0
N 0
N
Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo -_ Qyality Solutions Inc."
Library
Library- Paying Fines and Fees
3
2
October
November
December
1
1
U D
N 0
O
W Very Satisfied Satisfied Neutral Not Satisfied
City of El Segundo
Qyalit y Solutions Inc.
Library
Library- Register/Renew Library Card
5
4 October
E November
December
3
2
1
1
N) ° ° 0 � 0
o
Very Satisfied Satisfied Neutral Not Satisfied
Cityof El Segundo
QyaSolutions Inc.°
Planning and Building
Planning& Building-Apply for Building Permit
3
October
2 November
December
1
N p
O
U1 Very Satisfied Satisfied Neutral Not Satisfied
Cityof El Segundo adw_� Quality Solutions, Inc."
Planning and Building
Planning& Building-Ask about Code Requirement/Report Code Violation
5
4 October
n November
December
3
2
1
— 0 �4-
�F Q .
N
O U
07 Very Satisfied Satisfied Neutral Not Satisfied
QualityCity of El Segundo Solutions, Inc.°
Planning and Building
Planning& Building-Review Plans
5
October
4
rl November
December
3
2
1
1
0 0 0 4 0 0 0 0 0 0 4
_ a
0
Iv Very Satisfied Satisfied Neutral Not Satisfied
O
4
City of E1 Segundo - ualit Solutions Inc.°
- � � Y
Based on your score, please tell us what we need
to do in order to earn a higher score.
Satisfaction
with Service
Provided Responseto Question Month Completed Department Visited
Neutral Make the library quieter and have the bathrooms less smelly. October Library
Less than
Satisfied Settle the library. October Library
® Have someone available to tell you what is going on at the desk and return phone calls. October Planning and Building
N
O
00