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2011 04 19 CCF\ ea# 4 4 adja City Council agendas are available on the City's web page @ www.la-quinta.org CITY COUNCIL AGENDA CITY COUNCIL CHAMBERS 78-495 Calle Tampico La Quinta, California 92253 Regular Meeting TUESDAY, APRIL 19, 2011 3:30 P.M. Closed Session / 4:00 P.M. Open Session Beginning Resolution No. 2011- 027 Ordinance No. 487 CALL TO ORDER Roll Call: Council Members: Evans, Franklin, Henderson, Sniff, and Mayor Adolph PUBLIC COMMENT At this time, members of the public may address the City Council on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CLOSED SESSION NOTE: Time permitting the City Council may conduct Closed Session discussions during the dinner recess. In addition, persons identified as negotiating parties are not invited into the Closed Session meeting when acquisition of real property is considered. 1. CONFERENCE WITH LABOR NEGOTIATORS, SKI HARRISON AND THOMAS P. GENOVESE REGARDING NEGOTIATIONS WITH THE LA QUINTA CITY EMPLOYEES ASSOCIATION PURSUANT TO GOVERNMENT CODE SECTION 54957.6 MEET AND CONFER PROCESS e ®': G 1 City Council Agenda 1 April 19, 2011 2. CONFERENCE WITH LABOR NEGOTIATORS SKI HARRISON AND THOMAS P. GENOVESE, REGARDING NEGOTIATIONS WITH THE CITY OF LA QUINTA UNREPRESENTED EMPLOYEES: ACCOUNTING MANAGER, ASSISTANT CITY MANAGER —DEVELOPMENT SERVICES, ASSISTANT CITY MANAGER —MANAGEMENT SERVICES, BUILDING & SAFETY DIRECTOR, BUILDING & SAFETY MANAGER, CITY CLERK, COMMUNITY SAFETY MANAGER, COMMUNITY SERVICES DIRECTOR, ECONOMIC DEVELOPMENT PROJECT MANAGER, EMERGENCY SERVICES COORDINATOR, EXECUTIVE ASSISTANT, EXECUTIVE OFFICE ASSISTANT, FINANCE DIRECTOR, GOLF/PARK LANDSCAPE MANAGER, HUMAN RESOURCES/RISK MANAGER, INFORMATION SERVICES ANALYST, MAINTENANCE MANAGER, MANAGEMENT ANALYST, MANAGEMENT ASSISTANT, PLANNING DIRECTOR, PLANNING MANAGER, PRINCIPAL ENGINEER, PRINCIPAL PLANNER, PUBLIC WORKS DIRECTOR, PUBLIC WORKS INSPECTION SUPERVISOR, PURSUANT TO GOVERNMENT CODE SECTION 54957.6 RECESS TO CLOSED SESSION AND TO REDEVELOPMENT AGENCY RECONVENE AT 4:00 P.M. PLEDGE OF ALLEGIANCE PUBLIC COMMENT At this time members of the public may address the City Council on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CONFIRMATION OF AGENDA PRESENTATIONS 1. PROCLAMATION IN HONOR OF MENTAL HEALTH MONTH AS MAY 2011 TO RIVERSIDE COUNTY MENTAL HEALTH BOARD WRITTEN COMMUNICATIONS — NONE APPROVAL OF MINUTES 1. APPROVAL OF MINUTES OF APRIL 5, 2011 City Council Agenda 2 April 19, 2011.?' Q J 0 ` CONSENT CALENDAR NOTE: Consent Calendar items are considered to be routine in nature and will be approved by one motion. APPROVAL OF DEMAND REGISTER DATED APRIL 19, 2011 2. RECEIVE AND FILE TREASURER'S REPORT DATED FEBRUARY 28, 2011 3. RECEIVE AND FILE REVENUE & EXPENDITURES REPORT FOR FEBRUARY 28, 2011 AND INVESTMENT SUMMARY REPORT FOR QUARTER ENDING MARCH 31, 2011 4. ADOPTION OF CITY OF LA QUINTA 2011-2012 ECONOMIC DEVELOPMENT PLAN 5. ADOPTION OF A RESOLUTION SETTING FORTH THE AMENDED RECORDS RETENTION SCHEDULE FOR DEPARTMENT AND OFFICES OF THE CITY AND APPROVING DESTRUCTION OF RECORDS IN ACCORDANCE THEREWITH 6. APPROVAL OF A GRANT PROPOSAL TO THE STATE OFFICE OF HISTORIC PRESERVATION FOR CONSOLIDATING AND DIGITIZING THE HISTORIC RESOURCE SURVEYS AND UPDATING THE HISTORIC CONTEXT STATEMENT 7. AUTHORIZATION OF OVERNIGHT TRAVEL FOR TWO MEMBERS OF THE CITY COUNCIL TO ATTEND THE LEAGUE OF CALIFORNIA CITIES LEGISLATIVE ACTIONS DAYS CONFERENCE, LEAGUE OF CALIFORNIA CITIES BOARD MEETING AND LEAGUE OF CALIFORNIA CITIES ADVANCED LEADERSHIP WORKSHOP TO BE HELD IN SACRAMENTO, CALIFORNIA, MAY 18-20, 2011 8. APPROVAL OF A RESOLUTION ADOPTING THE CITY OF LA QUINTA FISCALLY RESPONSIBLE REDUCTION PLAN ("FRRP") AND THE CITY OF LA QUINTA EXCESS BENEFIT PLAN AND APPROVING AN ADMINISTRATIVE SERVICES AGREEMENT WITH PARS, A TRUST AGREEMENT FOR THE FRRP, AND AN EXCESS BENEFIT TRUST AGREEMENT 9. APPROVAL OF A PROFESSIONAL SERVICES AGREEMENT WITH NAI CONSULTING, INC. TO PROVIDE PROJECT MANAGEMENT AND CONTRACT ADMINISTRATIVE SUPPORT SERVICES FOR FISCAL YEAR 201 1-2012 vu 0iU3 City Council Agenda 3 April 19, 2011 BUSINESS SESSION 1. CONSIDERATION OF THE SILVERROCK RESORT 2011-2012 ANNUAL PLAN A. MINUTE ORDER ACTION 2. CONSIDERATION OF A RESOLUTION APPROVING THE PRELIMINARY ENGINEER'S REPORT FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1 FOR FISCAL YEAR 2011-2012, AND A RESOLUTION DECLARING INTENT TO LEVY ANNUAL ASSESSMENTS FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1, AND GIVING NOTICE THEREOF A. RESOLUTION ACTIONS STUDY SESSION — NONE REPORTS AND INFORMATIONAL ITEMS 1. ANIMAL CAMPUS COMMISSION (FRANKLIN) 2. BOB HOPE CLASSIC FUND DISTRIBUTION COMMITTEE (FRANKLIN) 3. CITY COUNCIL AD HOC COMMITTEE REPORTS 4. CVAG COMMITTEE REPORTS 5. CHAMBER OF COMMERCE WORKSHOP/INFORMATION EXCHANGE COMMITTEE (HENDERSON) 6. C.V. CONSERVATION COMMISSION (SNIFF) 7. C.V. MOSQUITO AND VECTOR CONTROL DISTRICT (ROBERT COX) 8. C.V. MOUNTAINS CONSERVANCY (FRANKLIN) 9. C.V.W.D. JOINT WATER POLICY COMMITTEE (ADOLPH) 10. IID ENERGY CONSUMERS' ADVISORY COMMITTEE (FRANKLIN) 11. JACQUELINE COCHRAN REGIONAL AIRPORT AUTHORITY (FRANKLIN) 12. LEAGUE OF CALIFORNIA CITIES (HENDERSON) 13. PALM SPRINGS DESERT RESORT COMMUNITIES CONVENTION & VISITORS AUTHORITY (EVANS) 14. PALM SPRINGS INTERNATIONAL AIRPORT COMMISSION (NANCY DORIA) 15. RIVERSIDE COUNTY FREE LIBRARY ADVISORY COMMITTEE (DIANE GUNN) 16. RIVERSIDE COUNTY TRANSPORTATION COMMISSION (HENDERSON) 17. SUNLINE TRANSIT AGENCY/SUNLINE SERVICES GROUP (ADOLPH) 18. ARCHITECTURE AND LANDSCAPING REVIEW COMMITTEE MINUTES DATED FEBRUARY 2, 2011 19. HISTORIC PRESERVATION COMMISSION MINUTES DATED FEBRUARY 17, 2011 20. PLANNING COMMISSION MINUTES DATED FEBRUARY 8, 2011 21. COMMUNITY SERVICES COMMISSION MINUTES DATED MARCH 14, 2011 o..n. 0 3 Q4 City Council Agenda 4 April 19, 2011 DEPARTMENT REPORTS 1. CITY MANAGER A. RESPONSE(S) TO PUBLIC COMMENTS B. UPDATE ON GREEN AND SUSTAINABLE LA QUINTA PROGRAM 2. CITY ATTORNEY 3. CITY CLERK A. UPCOMING EVENTS AND CITY COUNCIL CALENDAR B. SCHEDULE TO CONSIDER COMMISSION APPOINTMENTS 4. BUILDING & SAFETY DEPARTMENT REPORT FOR MARCH 2O11 5. COMMUNITY SERVICES DEPARTMENT REPORT FOR MARCH 2O11 6. FINANCE DEPARTMENT REPORT - NONE 7. PLANNING DEPARTMENT REPORT FOR MARCH 2O11 8. PUBLIC WORKS DEPARTMENT REPORT FOR MARCH 2O11 9. POLICE DEPARTMENT REPORT FOR MARCH 2O11 10. FIRE DEPARTMENT REPORT FOR QUARTER ENDING MARCH 2O11 MAYOR'S AND COUNCIL MEMBERS' ITEMS — NONE RECESS TO REDEVELOPMENT AGENCY MEETING RECONVENE AT 7:00 P.M. NO PUBLIC HEARINGS ARE SCHEDULED, THEREFORE, THE CITY COUNCIL WILL ADJOURN AND NOT RECONVENE AT 7:00 P.M. UNLESS THERE ARE ITEMS FROM THE AFTERNOON SESSION THAT HAVE NOT BEEN CONSIDERED 7-On P_M_ PUBLIC COMMENT At this time members of the public may address the City Council on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. PRESENTATIONS — NONE PUBLIC HEARINGS — NONE ADJOURNMENT City Council Agenda 5 April 19, 2011' 0 ) U 5 The next regular meeting of the City Council will be held on May 3, 2011 commencing with closed session at 3:00 p.m. and open session at 4:00 p.m. in the City Council Chambers, 78-495 Calle Tampico, La Quinta, CA 92253. DECLARATION OF POSTING I, Veronica Montecino, City Clerk of the City of La Quinta, do hereby declare that the foregoing agenda for the La Quinta City Council meeting of April 19, 2011, was posted on the outside entry to the Council Chamber at 78-495 Calle Tampico and on the bulletin boards at 51-321 Avenida Bermudas and 78-630 Highway 111, on April 15, 2011 —DATED- April 14, 2011 A�iG� VERONICA J ONTECINO, City Clerk City of La Quinta, California Public Notices The La Quinta City Council Chamber is handicapped accessible. If special equipment is needed for the hearing impaired, please call the City Clerk's Office at 777-7103, twenty- four (24) hours in advance of the meeting and accommodations will be made. If special electronic equipment is needed to make presentations to the City Council, arrangement should be made in advance by contacting the City Clerk's Office at 777- 7103. A one (1 ) week notice is required. If background material is to be presented to the City Council during a City Council meeting, please be advised that eight (8) copies of all documents, exhibits, etc., must be supplied to the City Clerk for distribution. It is requested that this take place prior to the beginning of the meeting. Any writings or documents provided to a majority of the City Council regarding any item on this agenda will be made available for public inspection at the City Clerk counter at City Hall located at 78-495 Calle Tampico, La Quinta, California, 92253, during normal business hours. City Council Agenda 6 April 19, 2011 a, F S cFM OF tt�ti�w COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Demand Register Dated April 19, 2011 RECOMMENDATION: Approve Demand Register Dated April 19, 2011 BACKGROUND: Prepaid Warrants: 91275 - 91298} 938,769.44 91299 - 91334} 208,229.41 91335 - 91358) 71,634.43 Voids} (80,540.00) Wire Transfers} 487,566.82 P/R 36315 - 36325 233,044.58 P/R Tax Transfers} 65,464.05 Payable Warrants: 91359 - 91523} 3,099,643.40 $5,023,812.13 FISCAL IMPLICATIONS: Demand of Cash -City $3,725,407.46 Demand of Cash -RDA $1,298,054.67 Demand of Cash - HA $350.00 Ak�� John M. Falconer, Finance Director AGENDA CATEGORY: BUSINESS SESSION CONSENT CALENDAR _I STUDY SESSION PUBLIC HEARING 0)07 CITY OF LA QUINTA BANK TRANSACTIONS 3/22/11 - 4/12111 3122/11 WIRE TRANSFER -TASC $1,493.59 3/23111 WIRE TRANSFER -LQCEA $160.00 4/1/11 WIRE TRANSFER - US BANK DBT SVC $120,435.00 4/1/11 WIRE TRANSFER - HEALTH PREMIUM $112,907.84 4/1/11 WIRE TRANSFER -ICMA $15,948.25 4/1/11 WIRE TRANSFER - PIERS $53,958.78 4/1/11 WIRE TRANSFER -LQCEA $160.00 4/1/11 WIRE TRANSFER -PERS $2,303.83 4/5/11 WIRE TRANSFER -TASC $1,493.59 4/8/11 WIRE TRANSFER- LANDMARK $178,705.94 TOTAL WIRE TRANSFER OUT $487 566.82 PREPARED 03/24/2011, 9:15:06 EXPENDITURE APPROVAL LIST PAGE 1 PROGRAM: GM339L AS OF: 03/25/2011 CHECK DATE: 03/25/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------ VEND NO SEQ# VENDOR NAME ----------------------------------------- ------------------------------------------------- EFT, EPAY OR INVOICE VOUCHER P.D. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ----------------------------------------- NO NO DATE ------------------------------------------------------------------------------------------ NO DESCRIPTION AMOUNT AMOUNT 0000015 00 ADT SECURITY SERVICES 43458207 003894 00 03/25/2011 101-5008-419.41-30 APR-JUN PUBLIC BLDG 219.83 43458216 003895 00 03/25/2011 101-5008-419.41-30 APR-JUN PUBLIC BLDG 216.00 43458206 003896 00 03/25/2011 101-5008-419.41-30 APR-JUN PUBLIC BLDG 565.71 VENDOR TOTAL * 1,001.54 0004089 00 BEST BUY NIETO 003924 00 03/25/2011 101-0000-135.00-00 COMPUTER LOAN 1,457.19 VENDOR TOTAL x 1,457.19 0000268 00 COACHELLA VALLEY WATER DIST 315199847726 003911 00 03/25/2011 101-3002-451.41-16 WATER SVC 240.98 316527849054 003906 00 03/25/2011 101-3005-451.40-02 CAMPUS WATER SVC 752.52 315199847726 003909 00 03/25/2011 101-3005-451.40-04 WATER SVC 372.20 315199847726 003910 00 03/25/2011 101-3005-451.40-14 WATER SVC 580.14 315097847624 003914 00 03/25/2011 101-3005-451.40-03 WATER SVC 55.40 315097847624 003915 00 03/25/2011 101-3005-451.40-05 WATER SVC 42.52 306843768054 003917 00 03/25/2011 101-3005-451.32-22 SRR PM10 809.25 315199847726 003912 00 03/25/2011 101-5008-419.41-16 WATER SVC 117.25 315097847624 003916 00 03/25/2011 101-5055-422.41-16 WATER SVC 126.54 315887848414 003907 00 03/25/2011 101-7004-431.41-19 WATER SVC 577.27 315199847726 003908 00 03/25/2011 191-7004-431.41-19 WATER SVC 6,115.40 315097847624 003913 00 03/25/2011 101-7004-431.41-19 WATER SVC3,076.71 VENDOR TOTAL > 12,866.18 0005877 00 DIAZ, FREDDIE LANDSCAPE MAINTENANCE 14371 005924 00 03/25/2011 401-1849-551.45-01 REHAB 52475CARRANZA 400.00 VENDOR TOTAL * 400.00 0005971 00 GARFF PROPERTIES -LA QUINTA LLC 4 003925 00 03/25/2011 406-9002-702.80-05 DISBURSEMENT REQ 892,931.16 VENDOR TOTAL * 892,931.16 0006115 00 GRILL ON MAIN, THE 31511 003924 00 03/25/2011 101-3002-451.56-02 VOLUNTEER -AWARDS 50.00 VENDOR TOTAL * 50.00 0006114 00 HESS, PAUL REIMB 003924 00 03/25/2011 101-5056-425.51-01 MATERIALS/TRAINING 199.54 VENDOR TOTAL * 199.54 0000269 00 IMPERIAL IRRIGATION DIST 50315940 003905 00 03/25/2011 101-5055-422.41-01 ST#70 ELECTRIC SVC 365.08 50428660 003897 00 03/25/2011 101-7004-431,41-07 ELECTRIC SVC 5.38 50427628 003898 00 03/25/2011 101-7004-431.41-07 ELECTRIC SVC 4.11 50186199 003899 00 03/25/2011 101-7004-431.41-04 ELECTRIC SVC 58.77 50183030 003900 00 03/25/2011 101-7004-431.41-04 ELECTRIC SVC 53.68 50015075 003901 00 03/25/2011 101-7004-431.41-07 ELECTRIC SVC 5.38 50015015 003902 00 03/25/2011 101-7004-431.41-04 ELECTRIC SVC 47.33 50015007 003903 00 03/25/2011 101-7004-431.41-04 ELECTRIC SVC 68.94 O v 0 CO PREPARED 03/24/2011, 9:15:06 EXPENDITURE APPROVAL LIST PAGE 2 PROGRAM: GM339L AS OF: 03/25/2011 CHECK DATE: 05/25/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000269 00 IMPERIAL IRRIGATION DIST 50014295 003904 00 03/25/2011 101-7004-431.41-04 ELECTRIC SVC 542.15 VENDOR TOTAL * 1,150.82 0000863 00 IMPERIAL IRRIGATION DIST 4013379 003924 00 03/25/2011 401-1780-551.45-01 METER CONNT FEE 950.00 VENDOR TOTAL * 950.00 0000077 00 JONASSON, TIM REIMB 003924 00 03/25/2011 101-7001-431.51-01 MEALS-ST FRANCIS CHURCH 22.01 VENDOR TOTAL * 22.01 0005529 00 LIFETIME PATIOS 110308-F 003924 00 03/25/2011 101-5008-419.43-88 LATTICE SHADE 1,620.00 VENDOR TOTAL * 1,620.00 0005775 00 MOYA, DANIEL 39 003924 00 03/25/2011 401-1854-551.45-01 REHAB 52050CARRANZA 2,300.00 40 003924 00 03/25/2011 401-1854-551.45-01 REHAB 52050CARRANZA 1,200.00 VENDOR TOTAL * 3,500.00 0003694 00 PAUL, JAMES & SHARON APR'll 003924 00 03/25/2011 101-5054-421.44-04 SUBSTATION RENT 6,666.31 VENDOR TOTAL * 6,666.31 0005540 00 PREMIER ONE COATINGS INC - 584 003924 00 03/25/2011 101-5008-419.43-88 SUBSTATION PAINT "2,500.00 VENDOR TOTAL * 2,500.00 0006116 00 ROWLETT, LEE REBATE 003924 00 03/25/2011 221-0000-463.33-30 WATER MGMT PRGM 1,000.00 VENDOR TOTAL * 11000.00 0000909 00 STANDARD INSURANCE COMPANY 6430680001 003921 00 03/25/2011 101-0000-209.47-00 APR -LIFE INSUR 722.75 6430680001 003922 00 03/25/2011 101-0000-209.55-00 APR-STD/LTD INSUR 5,965.42 VENDOR TOTAL * 6,688.17 0006006 00 STANDARD INSURANCE COMPANY RV 6430680002 003923 00 03/25/2011 101-0000-209.48-00 APR-ADD'L LIFE INSUR 804.60 VENDOR TOTAL * 804,60 0000056 00 TIME WARNER CABLE 90594839 003919 00 03/25/2011 101-5055-422.41-01 NEW ST#32 157.58 90178583 003925 00 03/25/2011 502-0000-512.30-03 APR-INTERNET 503.70 VENDOR TOTAL * 661.28 0004621 00 TOWER ENERGY GROUP 9739725-IN 003920 00 03/25/2011 501-0000-511.43-34 FUEL 3/1-15/11 3,586.64 VENDOR TOTAL * 3,586.64 3892 00 USA MOBILITY WIRELESS, INC. V C PREPARED 03/24/2011, 9:15:06 EXPENDITURE APPROVAL LIST PAGE 3 PROGRAM: GM339L AS OF: 03/25/2011 CHECK DATE: 03/25/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0003892 00 USA MOBILITY WIRELESS, INC. U3393252C 003918 00 03/25/2011 101-4002-415.41-25 PAGERS 77.00 VENDOR TOTAL 77.00 0002290 00 VERIZON CALIFORNIA 771-0105 003893 00 03/25/2011 101-3006-451.41-22 MUSEUM ELEVATOR 116.53 777-1222 003891 00 03/25/2011 101-4002-415.41-22 DSL SVC 3/4-4/3 126.57 UH8-9234 003892 00 03/25/2011 101-5054-421.43-62 DATA LINE 277.52 VENDOR TOTAL * 520.62 0000068 00 VERIZON COMMUNICATIONS 1100796348 003890 00 03/25/2011 101-4002-415.41-22 INTERNET 3/1-4/9 76.39 .VENDOR TOTAL * 76.39 0000070 00 WAL MART COMMUNITY 2501622FXZ 003924 00 03/25/2011 101-1001-411.51-01 UNITED WY DINNER 19.99 VENDOR TOTAL * 19.99 0003350 00 WIMMER, ED REIMB 003924 00 03/25/2011 101-7002-431.51-01 APWA LUCHEON 20.00 VENDOR TOTAL * 20.00 TOTAL EXPENDITURES **** 938,769.44 GRAND TOTAL ******************** 938,769.44 PREPARED 03/31/2011, 9:15:20 EXPENbITURE APPROVAL LIST PAGE 1 PROGRAM: GM339L AS OF: 04/01/2011 CHECK DATE: 04/01/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0001251 00 CALDERON, CHRISTINA REIMB 004083 00 04/01/2011 101-3002-451.56-55 BATTERIES 37.05 VENDOR TOTAL * 37.05 0000138 00 CALIFORNIA PRESERVATION FOUNDATION 31511 004083 00 04/01/2011 101-6001-463.51-01 REGISTRATION/WKSHOP 1,075.00 VENDOR TOTAL * 1,075.00 0006118 00 CALIFORNIA PRESERVATION FOUNDATION JOHNSON 004083 00 04/01/2011 101-6001-463.53-03 MEMBERSHIP 150.00 VENDOR TOTAL * 150.00 0000133 00 CALPERS LONG-TERM CARE PROGRAM 20110401 PR0401 00 04/01/2011 101-0000-209.49-00 PAYROLL SUMMARY 106.00 VENDOR TOTAL * 106.00 0005674 00 CIGNA HEALTH CARE 1214119 004080 00 04/01/2011 101-0000-209.43-00 APR -DENTAL INSUR 8,789.97 VENDOR TOTAL * 8,789.97 0000268 00 COACHELLA VALLEY WATER DIST 114655329660 004078 00 04/01/2011 101-7004-431.41-19 WATER SVC 39.12 278563737672 004078 00 04/01/2011 101-7004-431.41-19 WATER SVC 44.72 VENDOR TOTAL * 83.84 0000267 00 COACHELLA VALLEY WATER DISTRICT 7348 004080 00 04/01/2011 221-0000-463.33-30 WATER PRGM 5,000.00 VENDOR TOTAL * 51000.00 0006047 00 CORAL MOUNTAIN PARTNERS LP 2 004085 00 04/01/2011 401-1852-551.80-04 DISBURSEMENT REQ 80,845.00 VENDOR TOTAL * 80,845.00 0004038 00 CUSH TILE 2812 004083 00 04/01/2011 270-0000-451.43-55 MOSAIC RESTORATION 2,000.00 - VENDOR TOTAL * 2,000.00 0000136 00 GAS COMPANY, THE 9422738006 004083 00 04/01/2011 101-3002-451.41-13 GAS SVC 162.00 15294440449 004080 00 04/01/2011 101-3004-451.41-13 LIBRARY GAS SVC 579.29 2692565001 004080 00 04/01/2011 101-5008-419.41-13 PUBLIC BLDG GAS 597.56 1208591246 004080 00 04/01/2011 101-5055-422.41-13 ST#32 GAS SVC 59.81 VENDOR TOTAL * 1,398.66 0000367 00 GENOVESE, THOMAS P REIMB 004083 00 04/01/2011 101-1002-413.51-01 MEALS-DOUG 31.00 VENDOR TOTAL * 31.00 2006048 00 HABITAT FOR HUMANITY 2 004083 00 04/01/2011 245-9001-703.51-50 DISBURSEMENT REQ 32,030.00 O u IV PREPARED 03/31/2011, 9:15:20 - EXPENDITURE APPROVAL LIST PAGE 2 PROGRAM: GM339L AS OF: 04/01/2011 CHECK DATE: 04/01/2011 CITY OF LA QUINTA, CALIFORNIA ____________________________________________________________________________________________________________________________________ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ____________________________________________________________________________________________________________________________________ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0006048 00 HABITAT FOR HUMANITY VENDOR TOTAL * 32,050.00 0000627 00 HENDERSON, TERRY REIMB 004083 00 04/01/2011 101-1001-411.51-01 NLCB-WASHINGTON 1,370.82 VENDOR TOTAL * 1,370.82 0006114 00 HESS, PAUL REIMB 004083 90 04/01/2011 101-5056-425.51-01 TRAINING SUPPLIES 126.53 VENDOR TOTAL * 126.53 0002097 00 HOWLETT, STEVE REIMB 004083 00 04/01/2011 101-3005-451.51-01 TRAINING/EXAM 535.00 VENDOR TOTAL * 535.00 0003427 00 HSBC BUSINESS SOLUTIONS 11442 004083 00 04/01/2011 101-3003-451.51-33 EVENT -ARTIST 66.74 VENDOR TOTAL * 66.74 0000269 00 IMPERIAL IRRIGATION DIST 50014663 004083 00 04/01/2011 101-3002-451.41-01 ELECTRIC SVC 1,600.54 50315886 004079 00 04/01/2011 101-3004-451.41-01 ELECTRIC SVC 3,644.38 50210171 004079 00 04/01/2011 101-3005-451.40-52 ELECTRIC SVC 3,280.87 VARIOUS 004079 00 04/01/2011 101-3005-451.40-54 ELECTRIC SVC 1,360.62 50076355 004080 00 04/01/2011 101-3005-451.40-56 ELECTRIC SVC 3,566.08 50505537 004080 00 04/01/2011 101-3005-451.40-59 ELECTRIC SVC 4.11 50306529 004080 00 04/01/2011 101-3005-451.40-61 ELECTRIC SVC 276.11 50059934 004080 00 04/01/2011 101-3005-451.40-65 ELECTRIC SVC_ 18.09 50148040 004080 00 04/01/2011 101-3005-451.40-66 ELECTRIC SVC 4.11 50014729 004080 00 04/01/2011 101-3005-451.40-62 ELECTRIC SVC 91.82 50422540 004080 00 04/01/2011 101-3006-451.41-01 ELECTRIC SVC 868.42 50014539 004079 00 04/01/2011 101-5008-419.41-01 PUBLIC BLDG ELECTRIC 9,206.45 50174303 004083 00 04/01/2011 101-5054-421.41-01 BERMUDAS ST 174.43 50439675 004083 00 04/01/2011 101-5054-421.41-01 -CORP CTR 436.27 50315942 004079 00 04/01/2011 101-5055-422.41-01 ST#93 ELECTRIC SVC 634.55 50505446 004079 00 04/01/2011 101-7003-431.41-01 ELECTRIC SVC 245.61 50508826 004079 00 04/01/2011 101-7003-431.41-01 ELECTRIC SVC 409.58 VARIOUS 004084 00 04/01/2011 101-7003-431.41-01 ELECTRIC SVC 62.58 50172258 004078 00 04/01/2011 101-7004-431.41-07 ELECTRIC SVC 9.19 50172261 004078 00 04/01/2011 101-7004-431.41-04 ELECTRIC SVC 44.78 50199550 004078 00 04/01/2011 101-7004-431.41-04 ELECTRIC SVC 47.33 50199552 004079 00 04/01/2011 101-7004-431.41-04 ELECTRIC SVC 48.60 50512456 004079 00 04/01/2011 101-7004-431.41-07 ELECTRIC SVC 32.07 50506324 004079 00 04/01/2011 101-7004-431.41-07 ELECTRIC SVC 4.11 50464779 004079 00 04/01/2011 101-7004-431.41-04 ELECTRIC SVC 58.77 50464801 004079 00 04/01/2011 101-7004-431.41-04 ELECTRIC SVC 63.86 50514012 004079 00 04/01/2011 101-7004-431.41-07 MEDIAN ELECTRIC SVC 4.11 50014566 004083 00 04/01/2011 101-7004-431.41-04 ELECTRIC SVC 47.33 VARIOUS 004085 00 04/01/2011 101-7004-431.41-04 ELECTRIC SVC 4,932.14 VARIOUS 004086 00 04/01/2011 101-7004-431.41-07 ELECTRIC SVC 3,083.14 PREPARED 03/31/2011, 9:15:20 EXPENDITURE APPROVAL LIST PAGE 3 PROGRAM: GM339L AS OF: 04/01/2011 CHECK DATE: 04/01/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000269 00 IMPERIAL IRRIGATION DIST VARIOUS 004087 00 04/01/2011 101-7004-431.41-09 ELECTRIC SVC 16,772.57 VENDOR TOTAL 51,032.62 0004795 00 LIGHTSQUARED LP 1000085795 004080 00 04/01/2011 101-5056-425.41-25 SATELLITE PH 3714-4/13 147.82 VENDOR TOTAL + 147.82 0000040 00 NEXTEL COMMUNICATIONS 916525027104 004080 00 04/01/2011 101-4002-415.41-25 MOBILE PH 2/23-3/22 1,721.40 VENDOR TOTAL r 1,721.40 0000550 00 PALM DESERT, CITY OF 32111 004081 00 04/01/2011 101-1001-411.51-01 LCC RIVERSIDE DIV 45.00 32111 004982 00 04/01/2011 101-1003-413.51-01 LCC RIVERSIDE DIV 45.00 VENDOR TOTAL > 90.00 0000443 00 PUENTE, MARIA MAR'll 004083 00 04/01/2011 101-6001-463.10-10 HISTORICAL PRSV COMM 75.00 VENDOR TOTAL x 75.00 0006024 00 QUARTZ SURFACES 162500233 004083 00 04/O1/2011 401-1851-551.45-01 REHAB 77330SONORA 2,500.00 VENDOR TOTAL > 2,500.00 0000095 00 QUILL, PAUL REIMB 004088 00 04/01/2011 101-6001-463.51-01 '11PLANNNERS INST 153.50 VENDOR TOTAL * 153.50 0005527 00 SOFIA'S CINEMA 4111 004078 00 04/01/2011 101-3001-451,33-62 MOONLIGHT MOVIES 1,875.00 VENDOR TOTAL * 1,875.00 0000150 00 SPARKLETTS 4280957031711 004080 00 04/01/2011 101-5054-421.41-16 WATER SVC 192.06 4281072031711 004080 00 04/01/2011 101-7003-431.56-52 WATER SVC 70.68 VENDOR TOTAL * 262.74 0006117 00 TACO GONZALEZ MEALS 004083 00 04/01/2011 101-5054-421.36-34 BIKE RODEO 105.00 VENDOR TOTAL * 105.00 0000056 00 TIME WARNER CABLE 90594839 004083 00 04/01/2011 101-5055-422.41-01 NEW ST#32 174.15 90277799 004080 00 04/01/2011 502-0000-512.30-03 CABLE 3/20-4/19 8.42 VENDOR TOTAL * 182.57 0005643 00 UNITED STATES POOLS CORPORATION 34209 004083 00 04/01/2011 503-0000-431.43-20 WATER FT RESURFACING 12,533.75 VENDOR TOTAL * 12,533.75 ® 0000063 00 UNITED WAY OF THE DESERT J N ii PREPARED 03/31/2011, 9:15:20 EXPENDITURE APPROVAL LIST PAGE 4 PROGRAM: GM339L AS OF: 04/01/2011 CHECK DATE: 04/01/2011 CITY OF LA QUINTA, CALIFORNIA ____________________________________________________________________________________________________________________________________ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO --------------------------------------------------------------- NO NO DATE NO _____________________________________________________________________ DESCRIPTION AMOUNT AMOUNT 0000063 00 UNITED WAY OF THE DESERT 20110401 PR0401 00 04/01/2011 101-0000-209.81-00 PAYROLL SUMMARY 39.00 VENDOR TOTAL * 39.00 0005228 00 VERIZON BUSINESS 68531273 004080 00 04/01/2011 101-5054-421.41-22 CORP CTR 90.63 VENDOR TOTAL * 90.63 0002290 00 VERIZON CALIFORNIA 777-7376 004078 00 04/01/2011 101-5054-421.41-22 CORP CTR 3/16-4/15 329.65 360-5653 004078 00 04/01/2011 101-7004-431.41-04 SIGNAL 3/7-4/6 43.16 771-9713 004078 00 04/01/2011 101-7004-431.41-04 HWY111/WASH 3/7-4/6 38.18 VENDOR TOTAL 410.99 0002955 00 VERIZON WIRELESS 959132438 004080 00 04/01/2011 101-1001-411.41-25 MOBILE PH 2/14-3/13 67.35 959132438 004080 00 04/01/2011 101-4002-415.41-25 MOBILE PH 2/14-3/13 1,419.13 VENDOR TOTAL * 1,486.48 0001742 00 VISION SERVICE PLAN - (CA) 1019440001 004080 00 04/01/2011 101-0000-209.45-00 APR -VISION INSUR 1,707.30 VENDOR TOTAL * 1,707.30 0000124 00 WILBUR, ALLAN MAR'll 0O4083 00 04/01/2011 101-6001-463.10-10 HISTORICAL PRSV COMM 75.00 VENDOR TOTAL * 75.00 0003350 00 WIMMER, ED REIMB 004083 00 04/01/2011 101-7002-431.51-01 MEALS-PW LUNCHEON 20.00 VENDOR TOTAL * 20.00 0000444 00 WRIGHT, ROBERT MAR'll 004083 00 04/01/2011 101-6001-463.10-10 HISTORICAL PRSV COMM 75.00 VENDOR TOTAL * 75.00 TOTAL EXPENDITURES **** 208,229.41 GRAND TOTAL ******************** 208,229.41 PREPARED 04/06/2011, 16:28:41 EXPENDITURE APPROVAL LIST PAGE 1 PROGRAM: GM339L AS OF: 04/08/2011 CHECK DATE: 04/08/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0006145 00 AVANT STUDIOS 101402 004145 00 04/08/2011 101-5056-425.56-31 OPERATING SUPPLIES 1,049.44 101401 004145 00 04/08/2011 101-5056-425.56-31 OPERATING SUPPLIES 200.00 0006142 00 REBATE 0004905 00 JAN-MAR JAN-MAR 0005755 00 REBATE 0000994 00 2147 2147 0000268 00 110521324960 278545737654 VARIOUS 269363692128 0000267 00 11-2842 0000211 630 0006143 REBATE VENDOR TOTAL * BONAFEDE, MARTIN 004141 00 04/98/2011 221-0000-463.33-30 WATER MGMT PRGM VENDOR TOTAL * CALIFORNIA BUILDING STANDARDS COMM 004149 00 04/08/2011 101-0000-203.06-00 ADMIN FEES 004150 00 04/08/2011 101-5000-342.85-00 ADMIN FEES VENDOR TOTAL * CHAVEZ, ANGELA 004143 00 04/08/2011 221-0000-463.33-30 WATER MGMT PRGM VENDOR TOTAL * COACHELLA VALLEY ECONOMIC 004162 00 04/08/2011 101-1001-411.51-01 CVEP LEGISLATIVE BKFST 004163 00 04/08/2011 101-1003-413.51-01 CVEP LEGISLATIVE BKFST VENDOR TOTAL COACHELLA VALLEY WATER DIST 004134 00 04/08/2011 101-3005-451.40-07 PIONEER PARK 004145 00 04/08/2011 101-3005-451.40-01 WATER SVC 004145 00 04/08/2011 101-3006-451.41-16 WATER SVC 004133 00 04/08/2011 101-5055-422.41-16 ST#70 WATER VENDOR TOTAL * COACHELLA VALLEY WATER DISTRICT 004138 00 04/08/2011 401-1854-551.45-01 SANITATION FEE VENDOR TOTAL * 00 DESERT SUN PUBLISHING CO 004147 00 04/08/2011 00 DIXON, JOHN 004140 00 04/08/2011 0004082 00 DOLPHIN CAPITAL CORP 3188430 004136 00 04/08/2011 0000136 00 GAS COMPANY, THE 16568248591 004148 00 04/08/2011 0006114 00 HESS, PAUL 101-2001-411.55-01 ADS VENDOR TOTAL * 221-0000-463.33-30 WATER MGMT PRGM VENDOR TOTAL * 101-4002-415.56-29 WATER SVC VENDOR TOTAL * 101-5055-422.41-13 ST#93 GAS SVC VENDOR TOTAL * 1,249.44 841.00 841.00 520.00 52.00- 468.00 876.00 876.00 140.00 35.00 175.00 375.18 21.24 122.23 99.01 617.66 4,231.00 4,231.00 500.72 500.72 11000.00 11000.00 266.44 266.44 84.12 84.12 PREPARED 04/06/2011, 16:28:41 EXPENDITURE APPROVAL LIST PAGE 2 PROGRAM: GM339L AS OF: 04/08/2011 CHECK DATE: 04/08/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0006114 00 HESS, PAUL REIMB 004137 00 04/08/2011 101-5056-425.51-01 CERT SUPPLIES 49.56 VENDOR TOTAL 49.56 0000036 00 HOME DEPOT CREDIT SERVICES 4113444 004146 00 04/08/2011 101-3005-451.56-52 SPORTS COMPLEX 5.87 3027106 004146 00 04/08/2011 101-3005-451.56-52 TRASH CANS SPRTS CMPLX 212.06 9114716 004146 00 04/08/2011 101-3005-451.56-52 TRASH CANS 18.03 8196725 004146 00 04/08/2011 101-3005-451.56-52 SPORTS COMPLEX 5.87- 1022557 - 004147 00 04/08/2011 101-3005-451.43-64 TRASH LIDS 37.71 4022169 004147 00 04/08/2011 101-3006-451.43-01 MUSEUM MAINT 5.76 5026769 004146 00 04/08/2011 101-5008-419.43-88 PUBLIC BLDG R&M 6.36 9114716 004146 00 04/08/2011 101-5008-419.56-02 TRASH CANS 28.88 8020288 004146 00 04/08/2011 101-5008-419.43-88 PULBIC BLDG R&M 12.98 4113424 004147 00 04/08/2011 101-5054-421.36-54 TRAILER HITCH 99.80 8015150 004146 00 04/08/2011 101-7003-431.56-52 MATERIAL 13.80 1021176 004147 00 04/08/2011 101-7003-431.56-52 SUPPLIES 43.91 9015026 004146 00 04/08/2011 101-7004-431.56-52 SEAT REPLACEMENT 23.89 5010244 004146 00 04/08/2011 101-7004-431.56-52 MATERIAL 34.76 4210777 004146 00 04/08/2011 101-7004-431.56-52 MATERIAL 27.66 3211042 004146 00 04/08/2011 101-7004-431.56-52 MATERIAL 61.28 2020990 004146 00 04/08/2011 101-7004-431.56-52 MATERIAL 9.72 1010602 004147 00 04/08/2011 101-7004-431.56-52 MATERIAL 38.38 10685 004147 00 04/08/2011 101-7004-431.56-52 MATERIAL 105.44 10771 004147 00 04/08/2011 101-7004-431.56-52 MATERIAL 18.64 5130376 004146 00 04/08/2011 601-0000-451.43-65 SRR DOOR REPAIR 10.30 VENDOR TOTAL 809.36 0000269 00 IMPERIAL IRRIGATION DIST 50435874 004145 00 04/08/2011 101-3005-451.40-51 ELECTRIC SVC 4.11 50229968 004145 00 04/08/2011 101-3005-451.40-61 ELECTRIC SVC 3,207.14 50464348 004135 00 04/08/2011 101-7004-431.41-04 ELECTRIC SVC 51.14 VENDOR TOTAL 3,262.39 0004503 00 LA QUINTA CHAMBER OF COMMERCE 4711 004152 00 04/08/2011 101-1001-411.51-01 MAYORS LUNCHEON 120.00 4711 004153 00 04/08/2011 101-1002-413.51-01 MAYORS LUNCHEON 150.00 4711 004154 00 04/08/2011 101-1003-413.51-01 MAYORS LUNCHEON 90.00 4711 004155 00 04/08/2011 101-1004-413.51-01 MAYORS LUNCHEON 60.00 4711 004156 00 04/08/2011 101-2001-411.51-01 MAYORS LUNCHEON 30.00 4711 004157 00 04/08/2011 101-3001-451.51-01 MAYORS LUNCHEON 30.00 4711 004158 00 04/08/2011 101-4001-415.51-01 MAYORS LUNCHEON 30.00 4711 004159 00 04/08/2011 101-5001-424.51-01 MAYORS LUNCHEON 60.00 4711 004160 00 04/08/2011 101-6001-463.51-01 MAYORS LUNCHEON 30.00 4711 004161 00 04/08/2011 101-7001-431.51-01 MAYORS LUNCHEON 30.00 VENDOR TOTAL 630.00 0000037 00 LOWE'S HOME IMPROVEMENT WAREHOUSE 920581 004145 00 04/08/2011 101-3002-451.43-01 MISC EQUIP R&M 36.84 960777 004145 00 04/08/2011 101-3003-451.51-33 EVENT SUPPLIES 139.96 J PREPARED-04/06/2011, 16:28:41 EXPENDITURE APPROVAL LIST PAGE 3 PROGRAM: GM339L AS OF: 04/08/2011 CHECK DATE: 04/08/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000037 00 LOWE'S HOME IMPROVEMENT WAREHOUSE 920579 004145 00 04/08/2011 101-3003-451.51-33 EVENT SUPPLIES 58.55 920231 004145 00 04/08/2011 101-3003-451.51-33 RETURN CREDIT 28.10- 907811 004145 00 04/08/2011 101-3003-451.51-33 EVENT SUPPLIES 48.22 904894 004145 00 04/08/2011 101-3003-451.51-33 EVENT SUPPLIES 9.57 960604 004145 00 04/08/2011 101-3003-451.56-02 HVAC FILTER 11.93 960135 004145 00 04/08/2011 101-3003-451.56-02 TRAILER SUPPLIES 68.36 960788 004145 00 04/08/2011 101-3005-451.43-64 BELT/SPORTS CMPLX 5.86 920580 004145 00 04/08/2011 101-3005-451.56-52 TRASH BAGS/MUSTARD 110.73 960233 004145 00 04/08/2011 101-5008-419.43-88 PUBLIC BLDG R&M 10.85 904299 004145 00 04/08/2011 101-5008-419.43-88 PUBLIC BLDG R&M 8.67 904299 004145 00 04/08/2011 101-5054-421.43-52 HVAC 5.64 972948 004145 00 04/08/2011 101-7003-431.56-49 ASPHALT MATERIAL 841.12 960016 004145 00 04/08/2011 101-7006-431.56-02 TRFF TECH SUPPLIES 9.03 971806 004145 00 04/08/2011 401-1851-551.45-01 REHAB 77330SONORA 840.15 913074 004145 00 04/08/2011 401-1851-551.45-01 REHAB 77330SONORA 281.66 VENDOR TOTAL * 2,459.04 0006141 00 LUBAS, DENNIS REBATE 004142 00 04/08/2011 221-0000-463.33-30 WATER MGMT PRGM 1,000.00 VENDOR TOTAL * 11000.00 0000614 00 ROOF TILE SPECIALTY INC 5666 004144 00 04/08/2011 401-1851-551.45-01 REHAB 77330SONORA 10,733.00 VENDOR TOTAL * 10,733.00 0006144 00 SAVITT, DEBRA REBATE 004139 00 04/08/2011 221-0000-463.33-30 WATER MGMT PRGM 11000.00 VENDOR TOTAL * 1,000.00 0000415 00 SIERRA LANDSCAPE CO INC 16484RET 004151 00 04/08/2011 401-1818-551.45-01 FINAL 2009-16B 34,679.00 VENDOR TOTAL * 34,679.00 0005513 00 SOCAL & ASSOCIATES PLUMBING INC 3220 004151 00 04/08/2011 401-1854-551.45-01 REHAB 52050CARRANZA 2,100.00 VENDOR TOTAL * 2,100.00 0003020 00 TELEPACIFIC COMMUNICATIONS 27291797-0 004145 00 04/08/2011 101-3001-451.33-13 FB POOL 44.64 27291797-0 004145 00 04/08/2011 101-3005-451.40-04 FB IRRIGATION 44.64 27291797-0 004145 00 04/08/2011 101-3005-451.43-59 LQ PARK 223.20 27291797-0 004145 00 04/98/2011 101-3006-451.41-22 MUSEUM ALARM 44.64 27291797-0 004145 00 04/08/2011 101-4002-415.41-22 PHONE SVC 414.45 27291797-0 004145 00 04/08/2011 101-4002-415.41-22 PHONE SVC 759.82 27291797-0 004145 00 04/08/2011 101-4002-415.41-22 78106 FRANCIS HACK 44.64 27291797-0 004145 00 04/08/2011 101-4002-415.41-22 PHONE SVC 2,176.87 27291797-0 004145 00 04/08/2011 101-4002-415.41-22 SENIOR CENTER 267.84 27291797-0 004145 00 04/08/2011 101-5054-421.41-22 AVE BERMUDAS 135.17 27291797-0 004145 00 04/08/2011 101-7004-431.34-04 78198 CLOUD VIEW 44.64 O v co PREPARED 04/06/2011, 16:28:41 EXPENDITURE APPROVAL LIST PAGE 4 PROGRAM: GM339L AS OF: 04/08/2011 CHECK DATE: 04/08/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0003020 00 TELEPACIFIC COMMUNICATIONS 27291797-0 004145 00 04/08/2011 101-7004-431.34-04 4622 WASHINGTON 44.64 VENDOR TOTAL * 4,245.19 0002290 00 VERIZON CALIFORNIA UHO-2778 004132 00 04/08/2011 101-5054-421.43-62 DATA LINE BERMUDAS 277.52 VENDOR TOTAL * 277.52 0000068 00 VERIZON COMMUNICATIONS 1160767123 004131 00 04/08/2011 101-4002-415.41-22 INTERNET 3/25-4/24 79.99 VENDOR TOTAL * 79.99 TOTAL EXPENDITURES **** 71,634.43 GRAND TOTAL ******************** 71,634.43 PREPARED 04/12/2011, 12:16:20 - EXPENDITURE APPROVAL LIST PAGE 1 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000002 00 ACE HARDWARE 107302 004169 00 04/12/2011 101-5008-419.43-88 PUBLIC BLDG 14.13 107333 004170 00 04/12/2011 101-5098-419.43-88 PUBLIC BLDG 1.95 107176 004171 00 04/12/2011 101-5008-419.43-88 PUBLIC BLDG 29.11 107181 004172 00 04/12/2011 101-5008-419.43-88 PUBLIC BLDG 54.10 107232 004173 00 04/12/2011 101-5055-422.43-61 ST#32 R&M 15.98 VENDOR TOTAL 115.27 0004992 00 ADVANCED INC 13710 004121 00 04/12/2011 101-3002-451.42-15 JANITORIAL SVC 1,493.25 13710 004123 00 04/12/2011 101-3004-451.42-15 JANITORIAL SVC 1,868.30 13710 004122 00 04/12/2011 101-5005-451.42-15 JANITORIAL SVC 1,536.60 13710 004124 00 04/12/2011 101-3006-451.42-15 JANITORIAL SVC 1,121.65 13710 004118 00 04/12/2011 101-5008-419.42-15 JANITORIAL SVC 4,571.65 13710 004119 00 04/12/2011 101-5054-421.42-15 JANITORIAL SVC 893.30 13710 004120 00 04/12/2011 101-7003-431.42-15 JANITORIAL SVC 521.65 VENDOR TOTAL * 12,006.40 0006134 00 AEI CASC CONSULTING 26750 004113 00 04/12/2011 101-7002-431.51-01 TRAINING SWPPP 1,425.00 26750 004112 00 04/12/2011 101-7006-431.51-01 TRAINING SWPPP 1,725.00 VENDOR TOTAL ■ 3,150.00 0005170 00 ALSCO INC LYUM467214 003997 00 04/12/2011 101-7003-431.44-07 UNIFORM RENTAL 100,00 LYUM464766 003999 00 04/12/2011 101-7003-431.44-07 UNIFORM RENTAL 147.59 LYUM469572 004031 00 04/12/2011 101-7003-431.44-07 UNIFORM RENTAL 90.00 LYUM472027 004033 00 04/12/2011 101-7003-431.44-07 UNIFORM RENTAL 80.00 LYUM474393 004195 00 04/12/2011 101-7003-431.44-07 UNIFORM RENTAL 90.00 LYUM467214 003998 00 04/12/2011 101-7004-431.44-07 UNIFORM RENTAL 13.87 LYUM469572 004032 00 04/12/2011 101-7004-431.44-07 UNIFORM RENTAL 9.49 LYUM472027 004034 00 04/12/2011 101-7004-431.44-07 UNIFORM RENTAL 11.99 LYUM474393 004196 00 04/12/2011 101-7004-431.44-07 UNIFORM RENTAL 6.40 VENDOR TOTAL ■ 549.34 0001257 00 ALTEC 70473 004089 00 04/12/2011 101-5001-424.53-01 B&S ADMIN PRINTING 20.00 VENDOR TOTAL * 20.00 0005016 00 ALVAREZ, MARIA ISABEL VARIOUS 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 622.30 VENDOR TOTAL r 622.30 0000296 00 AMERICAN FORENSIC NURSES INC 59564 003993 00 04/1.2/2011 101-5054-421.36-31 BLOOD ALCOHOL 71.08 59674 004091 00 04/12/2011 101-5054-421.36-31 BLOOD ALCOHOL 82.16 VENDOR TOTAL * 153.24 0000016 00 AMERIPRIDE UNIFORM SERVICES 1400066937 004040 00 04/12/2011 101-3002-451.42-15 JANITORIAL 85.45 O v O PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 2 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ----------------- VEND NO _______--------------------------------------------- SEQ# VENDOR NAME _______________________________________________________________ EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000016 00 AMERIPRIDE UNIFORM SERVICES 0005831 00 AQUATECHNEX LLC 2777 004197 00 04/12/2011 2778 004197 00 04/12/2011 0006035 00 ARC IMAGING RESOURCES 726698 004242 00 04/12/2011 0004951 00 ARIDA, NEAL 310103-1 004194 00 04/12/2011 0001499 00 BEST SIGNS INC 76119 004037 00 04/12/2011 0000300 00 BIO-TOX LABORATORIES 22922 003993 00 04/12/2011 22921 003993 00 04/12/2011 0006150 00 BLUE RUNYON 52050 004253 00 04/12/2011 VENDOR TOTAL * 101-3005-451.32-22 MAR-SRR LAKE SVC 101-7004-431.34-04 MAR-SRR LLD LAKE SVC VENDOR TOTAL * 101-7002-431.53-01 PLOTTER PAPER VENDOR TOTAL * 101-3002-451.33-43 INSTRUCTOR PYMT VENDOR TOTAL * 101-3005-451.56-52 CAMPUS DUCK SIGNS VENDOR TOTAL * 101-5054-421.36-31 BLOOD ALCOHOL 101-5054-421.36-31 BLOOD ALCOHOL VENDOR TOTAL * 101-0000-228.30-00 REFUND VENDOR TOTAL * 0003274 00 BODDEN, RENATE VARIOUS 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT VENDOR TOTAL * 0006136 00 BROWN, JAIME AL#991 004129 00 04/12/2011 0006147 00 BUCKLEY, MARLA 52045 004250 00 04/12/2011 0006155 00 BUYACCESS.COM 100000343 004254 00 04/12/2011 0004675 91231644 0000106 00 CALPORTLAND 004129 00 04/12/2011 101-5000-322.20-00 REFUND VENDOR TOTAL * 101-0000-228.30-00 REFUND VENDOR TOTAL * 101-3003-451.56-02 FITNESS CTR LOCKS VENDOR TOTAL * 101-7003-431.56-49 ASPHALT/CONCRETE VENDOR TOTAL * 00 CANON FINANCIAL SERVICES, INC. 85.45 575.00 680.00 1,255.00 225.36 225.36 189.00 189.00 410.40 410.40 1,189.30 136.92 1,326.22 50.00 50.00 268.10 268.10 8.00 8.00 50.00 50.00 1,177.22 1,177.22 340.39 340.39 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 3 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEp# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000106 00 CANON FINANCIAL SERVICES, INC. 10867219 004089 00 04/12/2011 101-4002-415.43-19 CONTRACT CHRG 3,696.52 VENDOR TOTAL * 3,696.52 0000020 00 CAPUTO, ROSEMARY HEIM 310135-1A 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 245.00 - VENDOR TOTAL * 245.00 0000021 00 CAROUEST 7339400394 004029 00 04/12/2011 101-7003-431.56-52 TRAILER REPAIR KITS 55.88 7339400876 004029 00 04/12/2011 101-7003-431.56-52 TRAILER REPAIR KITS 30.98 7339400873 004029 00 04/12/2011 101-7003-431.56-52 TRAILER REPAIR KITS 18.02 7339400958 004029 00 04/12/2011 101-7003-431.56-52 TRAILER PARTS CR 8.36- 7339401422 004074 00 04/12/2011 101-7003-431.56-52 SUPPLY 17.92 VENDOR TOTAL 114.44 0000022 00 COW GOVERNMENT INC WVV3296 004174 00 04/12/2011 101-3001-451.56-02 RESIDENT/FITNESS CARD 46.77 WVG5212 004175 00 04/12/2011 101-3001-451.56-02 RIBBONS -CARDS 444.80 VENDOR TOTAL 491.57 0002298 00 CENTRAL SECURITY SERVICES, INC ' 135099 003992 00 04/12/2011 101-3004-451.41-30 APR-JUN FIRE MONITORING 282.00 135141 003993 00 04/12/2011 101-3004-451.41-30 APR-JUN LIBRARY 96.00 135099 003991 00 04/12/2011 101-5055-422.41-30 APR-JUN FIRE MONITORING 375.00 VENDOR TOTAL * 753.00 0000473 00 CENTURY FORMS INC 69850 003979 00 04/12/2011 401-1781-551.35-07 GLF CART DECALS 847.02 VENDOR TOTAL * 847.02 0004115 00 CHECKMATE TELEPHONE EXCHANGE 110302232101 004197 00 04/12/2011 101-5006-426.51-07 ANSWERING SVC 170.83 VENDOR TOTAL * 170.83 0006137 00 CHRASTKA, DEBRA AL#39074 004129 00 04/12/2011 101-5000-322.20-00 REFUND 4.00 VENDOR TOTAL * 4.00 0000510 00 CLASSIC AUTO TRANSPORT 35032 003981 00 04/12/2011 501-0000-511.43-40 VEH TRANSPORT 85.00 34980 003982 00 04/12/2011 501-0000-511.43-40 VEH TRANSPORT 85.00 VENDOR TOTAL * 170.00 0000355 00 CLEAN STREET 63299 004066 00 04/12/2011 101-7004-431.56-52 SUPPLY 206.75 63298 004064 00 04/12/2011 501-0000-511.43-46 SWEEPER REPAIR 1,123.83 63297 004065 00 04/12/2011 501-0000-511.43-46 SWEEPER REPAIR 3,052.21 VENDOR TOTAL * 4,382.79 0006128 00 CLEANING CONNECTION INC PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 4 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA OUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEO# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0006128 00 CLEANING CONNECTION INC BL#42 004106 00 04/12/2011 101-1000-321.00-00 REFUND 9.00 VENDOR TOTAL * 9.00 0000140 00 COACHELLA VALLEY PRINTING GROUP INC 72419 003987 00 04/12/2011 101-4001-415.53-01 RECEIPT BOOKS 395.28 VENDOR TOTAL * 395.28 0006148 00 COPPLE, DARLENE 52043 004251 00 04/12/2011 101-0000-228.30-00 REFUND 50.00 VENDOR TOTAL * 50.00 0002918 00 COSTCO 32111 003993 00 04/12/2011 401-1767-551.80-04 4TH QTR SALES TAX 102,414.94 VENDOR TOTAL * 102,414.94 0005204 00 CROWSON MANAGEMENT SERVICES LLC 30111 004089 00 04/12/2011 101-7001-431.32-07 GRAFFITI -COMMERCIAL 87.50 VENDOR TOTAL * 87.50 0004038 00 CUSH TILE 2814 004039 00 04/12/2011 101-3005-451.56-52 FB/CAMPUS REPAIRS 500.00 2814 004038 00 04/12/2011 270-0000-451.43-55 FB/CAMPUS REPAIRS 1,400.00 2815 004040 00 04/12/2011 270-0000-451.43-55 CLEAN MOSAICS 11800.00 VENDOR TOTAL * 3,700.00 0000512 00 CVAG CV11099-11 004021 00 04/12/2011 235-0000-463.31-01 2ND OTR AB2766 11,743.76 VENDOR TOTAL * 11,743.76 0003033 00 DATA TICKET, INC. 35262 003976 00 04/12/2011 101-5004-424.31-19 FEB-CITATION SVC 448.72 VENDOR TOTAL * 448.72 0006151 00 DAVID, MARIAM 310104-1 004253 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 1,155.00 VENDOR TOTAL * 1,155.00 0004208 00 DDL TRAFFIC INC. 1593 004060 00 04/12/2011 101-7006-431.32-20 SIGNAL SERVICES 865.56 1594 004061 00 04/12/2011 101-7006-431.32-20 SIGNAL SERVICES 849.25 1592 004062 00 04/12/2011 101-7006-431.32-20 SIGNAL SERVICES 993.38 VENDOR TOTAL * 2,708.19 0000112 00 DEPARTMENT OF JUSTICE 840751 003993 00 04/12/2011 101-5054-421.36-31 BLOOD ALCOHOL 105.00 836065 004089 00 04/12/2011 101-5054-421.36-31 BLOOD ALCOHOL 105.00 VENDOR TOTAL * 210.00 0000072 00 DESERT BUSINESS MACHINES O N W PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 5 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR. NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000072 00 DESERT BUSINESS MACHINES AR89715 084237 00 04/12/2011 101-4002-415.43-19 TYPEWRITER R&M 183.05 VENDOR TOTAL * 183.05 0001661 00 DESERT FOUNTAIN GAS SUPPLY 134485 004236 00 04/12/2011 101-3003-451.51-33 HELUIM RENTAL 8.00 VENDOR TOTAL * 8.00 0001725 00 DESERT HOME CONCIERGE BL#1381 004129 00 04/12/2011 101-1000-321.00-00 REFUND 6.00 VENDOR TOTAL * 6.00 0000307 00 DESERT SANDS UNIFIED SCHOOL DIST 2011/391 004090 00 04/12/2011 101-5054-421.36-16 8/26-10/20 OFFICERS 41,130.36 2011/392 004090 00 04/12/2011 101-5054-421.36-16 10/21-11/17 OFFICERS 19,387.88 VENDOR TOTAL * 60,518.24 0000118 00 DUDEK & ASSOCIATES INC 20110200 004057 00 04/12/2011 401-1839-551.35-07 DESIGN 6,367.50 VENDOR TOTAL * 6,367.50 0000389 00 DUNHAM, KATHY VARIOUS 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 1,557.50 VENDOR TOTAL * 1,557.50 0006125 00 EADE, GIL 51538 004101 00 04/12/2011 101-3000-342.70-00 REFUND 30.00 VENDOR TOTAL * 30.00 0005879 00 EADY, LINDA RAE VARIOUS 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 134.40 VENDOR TOTAL * 134.40 0000598 00 ECONOLITE CONTROL PRODUCTS INC 90543 004129 00 04/12/2011 101-7006-431.56-02 CAMERA REPAIR 1,093.77 VENDOR TOTAL * 1,093.77 0005659 00 ECONOMIC DEVELOPMENT AGENCY 2011-1 004090 00 04/12/2011 101-3006-451.32-15 MUSEUM MGMT 131,250.00 VENDOR TOTAL * 131,250.00 0006140 00 ELSENER, LEONARD F 51795 004129 00 04/12/2011 101-3000-342.70-00 REFUND 55.00 VENDOR TOTAL * 55.00 0006033 00 ENCHANTED MEMORIES PARTIES & RENTAL 12411 004197 00 04/12/2011 101-3003-451.51-33 EGG HUNT EVENT 140.00 VENDOR TOTAL * 140.00 0004499 00 EVANS & ASSOCIATES, DAVID O J N, PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 6 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ---------------------------- VEND NO SEQ# VENDOR NAME ------------------------------------------------------------------------------------------------------- EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0004499 00 EVANS & ASSOCIATES, DAVID 302559 004040 00 04/12/2011 401-1771-551.35-07 DESIGN SVC 329.10 299401 - 004091 00 04/12/2011 401-1771-551.35-07 DESIGN 2,148.34 302560 004040 00 04/12/2011 401-1840-551.34-04 DESIGN SVC 1,057.90 299402 004091 00 04/12/2011 401-1840-551.34-04 DESIGN 112.69 VENDOR TOTAL * 3,648.03 0006153 00 FAIRMONT MIRAMAR HOTEL 66287531 004254 00 04/12/2011 101-6001-463.51-01 LODGING-HPC MEMBERS 2,280.50 VENDOR TOTAL * 2,280.50 0002751 00 FAUSTO'S POOL & SPA SERVICE BL#3717 004129 00 04/12/2011 101-1000-321.00-00 REFUND 13.00 VENDOR TOTAL * 13.00 0000031 00 FIRST CHOICE SERVICES 945051 004117 00 04/12/2011 101-4002-415.56-27 COFFEE 152.26 945053 004129 00 04/12/2011 101-4002-415.56-27 COFFEE SUPPLIES 177.48 945052 004129 00 04/12/2011 101-4002-415.56-27 COFFEE SUPPLIES 46.75 VENDOR TOTAL * 376.49 0003187 00 FOUR SEASONS ESCROW INC 11048-MM 004052 00 04/12/2011 245-9001-703.32-01 TRNSF PROPERTIES 3,100.00 11048-MM 004053 00 04/12/2011 246-9002-703.32-01 TRNSF PROPERTIES 350.00 11047-MM 004054 00 04/12/2011 405-9001-702.32-01 TRNSF PROPERTIES 600.00 11047-MM 004055 00 04/12/2011 406-9002-702.32-01 TRNSF PROPERTIES 600.00 VENDOR TOTAL * 41650.00 0006124 00 FOWLER, ALAN 51462 004100 00 04/12/2011 101-3000-342.70-00 REFUND 30.00 VENDOR TOTAL * 30.00 0006138 00 FRESH AND EASY NEIGHBORHOOD MARKET BL#107249 004129 00 04/12/2011 101-1000-321.00-00 REFUND 125.00 VENDOR TOTAL * 125.00 0006026 00 FUN SERVICES 21294 004235 00 04/12/2011 101-3001-451.80-05 CONTRACT BAL 11899.00 VENDOR TOTAL * 1,899.00 0004899 00 FURINO/GREENE CREATIVE INC 2220 003977 00 04/12/2011 101-1003-413.55-07 AUTO BROADCAST 270.00 2311 004202 00 04/12/2011 101-1003-413.55-07 APR -RETAINER 4,500.00 2310 004203 00 04/12/2011 101-1003-413.55-07 APR -PR RETAINER 11500.00 2316 004204 00 04/12/2011 101-1003-413.55-07 MEDIA BUY-PSP AIRPRT 940.00 2317 004205 00 04/12/2011 101-1003-413.55-07 MEDIA BUY-ALASKA AIR 1,035.50 2292 004206 00 04/12/2011 101-1003-413.55-07 MEDIA BUY -AUTO -COOP 1,113.90 2300 004207 00 04/12/2011 101-1003-413.55-07 MEDIA BUY -BILLBOARD - 3,052.00 2305 004208 00 04/12/2011 101-1003-413.55-07 MEDIA BUY -LOCAL 14,910.15 2307 004209 00 04/12/2011 101-1003-413.55-07 MAR -GRAPHIC DESIGN 3,150.00 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 7 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT _ ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0004899 00 FURINO/GREENE CREATIVE INC 2308 004210 00 04/12/2011 101-1003-413.55-07 MAR -BROADCAST PROD 450.00 2322 004211 00 04/12/2011 101-1003-413.55-07 MAR -MEDIA BUY 599.50 2320 004212 00 04/12/2011 101-1003-413.55-07 DESIGN IPHONE APP 2,500.00 2312 004213 00 04/12/2011 101-1003-413.55-07 APR-WEBSITE UPDATES 500.00 2321 004214 00 04/12/2011 101-1003-413.55-07 WEBSITE REDSIGN 2,700.00 VENDOR TOTAL * 37,221.05 0006146 00 GENTRY, CHRISTINA 51862 004249 00 04/12/2011 101-3000-342.10-00 REFUND 40.00 VENDOR TOTAL * 40.00 0004507 00 GILMORE-KIPHART, KIRSTEN VARIOUS 0O4228 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 253.40 VENDOR TOTAL m 253.40 0005606 00 GOLDNER, ELISE _ 320718-1D 004229 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 36.40 320719-1D 004230 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 9.10 VENDOR TOTAL * 45.50 0002300 00 GRAINGER 9486895965 003990 00 04/12/2011 101-3003-451.56-02 BATTERY -LECTERN 8.60 9450451621 003993 00 04/12/2011 101-5055-422.56-55 ST#32 EQUIPMENT 739.81 9481131267 004063 00 04/12/2011 101-7004-431.56-55 SMALL TOOLS 317.28 VENDOR TOTAL 1,065.69 0000371 00 GUMMER, BRAD 310162-A 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 196.00 320903-1 004231 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 98.00 320902-1 004232 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 227.50 320908-1 004233 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 136.50 VENDOR TOTAL * 658.00 0006129 00 HARLING, GINGER MILEY 004108 00 04/12/2011 101-5000-322.20-00 REFUND 20.00 VENDOR TOTAL * 20.00 0005847 00 HEDGECOCK, JOSHUA 320720-1 004234 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 175.00 VENDOR TOTAL ■ 175.00 0000141 00 HF&H CONSULTANTS, LLC 9710327 003993 00 04/12/2011 101-1004-413.33-22 FEB-PROF SVC 11350.00 VENDOR TOTAL * 1,350.00 0000454 00 HIGH TECH IRRIGATION INC 206627 004067 00 04/12/2011 101-7004-431.56-52 MATERIAL 326.25 206772 004068 00 04/12/2011 101-7004-431.56-52 MATERIAL 217.50 208041 004089 00 04/12/2011 101-7004-431.56-52 LANDSCAPE MATERIAL 217.50 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 8 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------ VEND NO ----------------------------------------------------------------------------------------------------------- SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000454 00 HIGH TECH IRRIGATION INC VENDOR TOTAL > 761.25 0000035 00 HOARD INC, HUGH 60232 003975 00 04/12/2011 101-3004-451.43-52 LIBRARY AC REPAIR 820.08 VENDOR TOTAL * 0004963 00 HUTCHINS MOTOR SPORTS INC 9639534 004095 00 04/12/2011 501-0000-511.43-50 '06HONDA ST1300PA VENDOR TOTAL * 0000863 00 IMPERIAL IRRIGATION DIST 4012972 003754 00 03/18/2011 101-0000-161.10-00 UNDERGRND FEES VENDOR TOTAL * 0005040 00 INDEPENDENT ELECTRIC SUPPLY INC S100642432001 003978 00 04/12/2011 101-7004-431.56-52 MATERIAL/ELECTRIC S100646786001 004029 00 04/12/2011 101-7004-431.56-52 ELECTRICAL S100652214001 004089 00 04/12/2011 101-7004-431.56-52 ELECTRICAL MATERIAL S100658052001 004197 00 04/12/2011 101-7004-431.56-52 ELECTRICAL MATERIAL S100656919001 004197 00 04/12/2011 101-7004-431.56-52 ELECTRICAL MATERIAL S100656203001 004197 00 04/12/2011 101-7004-431.56-52 ELECTRICAL MATERIAL S100654434001 004029 00 04/12/2011 601-0000-451.43-65 ELECaSRR CART STORAGE VENDOR TOTAL * 0004021 00 INDIO, CITY OF 2009-01 003993 00 04/12/2011 401-1803-551.80-01 50TH CANAL CROSSING VENDOR TOTAL * 0000602 00 INLAND POWER EQUIPMENT CO 109969 004193 00 04/12/2011 101-7003-431.56-52 SAW REPAIR VENDOR TOTAL * 0001197 00 INNOVATIVE DOCUMENT SOLUTIONS 100677 004000 00 04/12/2011 101-4002-415.43-19 CONTRACT CHRG VENDOR TOTAL * 0002432 00 INTERRA INC. 1799-1 004220 00 04/12/2011 101-3004-451.43-88 LIBRARY BOOK SLOT VENDOR TOTAL * 0003245 00 J P STRIPING, INC. 11513 004069 00 04/12/2011 101-7003-431.33-65 STRIPING VENDOR TOTAL * 0000194 00 JACOBS, STEVEN 320901-1B 004227 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT VENDOR TOTAL * 0001238 00 JERNIGAN'S, INC 820.08 1,270.24 1,270.24 CHECK #: 91125 .00 147.09 402.36 131.61 182.70 65.25 474.44 357.12 1,760.57 200,000.00 200,000.00 20.38 20.38 6,989.04 6,989.04 475.87 475.87 4,912.50 4,912.50 378.00 378.00 80,540.00- 80,540.00- PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 9 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------ VEND NO SEQ# VENDOR NAME ----------------------------------------------------------------------------------------- - EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ----------------------------------------------- NO NO DATE NO -------- ----------------------------------------------------------------------------- DESCRIPTION AMOUNT AMOUNT 0001238 00 JERNIGAN'S, INC 7476 004089 00 04/12/2011 101-7003-431.56-40 BOOTS-DANNY 119.62 VENDOR TOTAL ■ 119.62 0006120 00 KAUFMAN, KARIN 51604 004105 00 04/12/2011 101-3000-342.10-00 REFUND 55.00 VENDOR TOTAL * 55.00 0006119 00 KIM, TAE H 51616 004096 00 04/12/2011 101-3000-342.70-00 REFUND 60.00 VENDOR TOTAL * 60.00 0000079 00 KINER COMMUNICATIONS 36321 004215 00 04/12/2011 101-1003-413.55-07 MAR-WEDSITE HOSTING 29.00 VENDOR TOTAL ■ 29.00 0001998 00 KOHL'S DEPARTMENT STORES, INC 32111 003993 00 04/12/2011 401-1751-551.80-04 4TH QTR SALES TAX 12,942.25 VENDOR TOTAL * 12,942.25 0000865 00 KRIBBS CONSTRUCTION, BRUCE 3286 004125 00 04/12/2011 101-7003-431.43-73 SIDEWALK 500.00 3287 004048 00 04/12/2011 101-7004-431.56-52 ELECTRICAL 100.00 3285 004126 00 04/12/2011 101-7004-431.56-52 ELECTRIC/FOUNTAINS 125.00 3283 004127 00 04/12/2011 101-7004-431.56-52 ELECTRICAL 100.00 3284 004128 00 04/12/2011 101-7004-431.56-52 ELECTRICAL/FOUNTAINS 375.00 VENDOR TOTAL 1,200.00 0003498 00 L & L AUTOMOTIVE 7076 005993 00 04/12/2011 501-0000-511.43-40 VEH#60 SVC 625.45 7154 004216 00 04/12/2011 501-0000-511.43-40 VEH#57 76.32 7158 004217 00 04/12/2011 501-0000-511.43-40 VEH#70 308.10 VENDOR TOTAL * 1,009.87 0000315 00 LA QUINTA CHAMBER OF COMMERCE 19521 003993 00 04/12/2011 101-1003-413.33-02 CHAMBER CONTRACT 37,500.00 VENDOR TOTAL * 37,500.00 0003480 00 LA QUINTA GOLF ESTATES H.O.A. 52048 004244 00 04/12/2011 101-0000-228.30-00 REFUND 500.00 VENDOR TOTAL * 500.00 0006121 00 LAKE, JOAN 51560 004097 00 04/12/2011 101-3000-342.70-00 REFUND 25.00 VENDOR TOTAL a 25.00 0005876 00 LARKIN, STEPHEN M 310126-1 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 140.00 VENDOR TOTAL * 140.00 0000217 00 LESLIE, JANELLE O U N ' co PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 10 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO NO NO DATE ------------------------------------------------------------------------------------------------------------------------------------ NO DESCRIPTION AMOUNT AMOUNT 0000217 00 LESLIE, JANELLE 310125-A1/A2 004194 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 59.50 VENDOR TOTAL * 0001239 00 LIGHT SOURCE 89731 003986 00 04/12/2011 101-5008-419.43-88 PUBLIC BLDG R&M VENDOR TOTAL * 0000080 00 LOCK SHOP INC, THE BB00513003 003962 00 04/12/2011 101-3005-451.43-64 KEYS 653744 004070 00 04/12/2011 101-7003-431.56-52 MATERIAL 653744 004022 00 04/12/2011 101-7004-431.56-52 LOCKS BB00513003 003963 00 04/12/2011 401-1851-551.45-01 KEYS 0005236 00 LORENZ, ANDREW K 310110-A 004194 00 04/12/2011 0000800 -00 M-S CASH DRAWER LLC 10691273 004076 00 04/12/2011 0002327 00 MANCINI, MARILYN 51822 004247 00 04/12/2011 51823 004248 00 04/12/2011 0006126 00 MARROTTE, ROSE 51676 004104 00 04/12/2011 VENDOR TOTAL * 101-3002-451.33-43 INSTRUCTOR PYMT VENDOR TOTAL * 101-4002-415.56-01 OFFICE SUPPLIES VENDOR TOTAL * 101-3000-342.70-00 REFUND 101-3000-342.70-00 REFUND 101-3000-342.70-00 REFUND VENDOR TOTAL * VENDOR TOTAL * 0004425 00 MARTIN, PANDARA 320710-3 004226 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT VENDOR TOTAL * 0002659 00 MCCABE, JOAN 51493 004103 00 04/12/2011 0005937 00 MIMI'S CAFE LA QUINTA #132 31411 004075 00 04/12/2011 0000958 00 MOLLINDO, RICK 321001-1 004224 00 04/12/2011 321003-1 004225 00 04/12/2011 0006123 00 MORONE, MARGARET O v N 101-3000-342.70-00 REFUND VENDOR TOTAL * 101-3001-451.80-05 CITY PICNIC/BDAY VENDOR TOTAL * 101-3063-451.33-43 INSTRUCTOR PYMT 101-3003-451.33-43 INSTRUCTOR PYMT VENDOR TOTAL * 59.50 104.07 104.07 18.92 72.88 72.88 8.70 173.38 105.00 105.00 60.49 60.49 11.00 30.00 41.00 30.00 30.00 63.00 63.00 24.00 24.00 699.26 699.26 280.00 63.00 343.00 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 11 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0006123 00 MORONE, MARGARET 51492 004099 00 04/12/2011 101-3000-342.70-00 REFUND 24.00 0004711 00 MORRIS, SHELLY 52047 004245 00 04/12/2011 0004701 00 MOUNTAIN VIEW TIRE 62827 004201 00 04/12/2011 0005775 00 MOYA, DANIEL 34 004056 00 04/12/2011 0002103 00 MSA CONSULTING INC 92078 004037 00 04/12/2011 92093-4 004037 00 04/12/2011 0000250 00 NAI CONSULTING INC 25 OF 2009-05 004190 00 04/12/2011 25 OF 2009-05 004181 00 04/12/2011 25 OF 2009-05 004182 00 04/12/2011 25 OF 2009-05 004183 00 04/12/2011 25 OF 2009-05 004184 00 04/12/2011 25 OF 2009-05 004185 00 04/12/2011 25 OF 2009-05 004191 00 04/12/2011 25 OF 2009-05 004186 00 04/12/2011 25 OF 2009-05 004192 00 04/12/2011 25 OF 2009-05 004187 00 04/12/2011 25 OF 2009-05 004188 00 04/12/2011 25 OF 2009-05 004189 00 04/12/2011 0004462 00 NATIONAL GEOGRAPHIC SOCIETY 1000 004166 00 04/12/2011 0001065 00 NIETO, RUBEN 49 004040 00 04/12/2011 0005770 00 OAKES, JOSEPH A 310129-1 004193 00 04/12/2011 320601-1 004222 00 04/12/2011 0000041 00 OFFICE DEPOT 0 V W VENDOR TOTAL r 101-0000-228.30-00 REFUND VENDOR TOTAL * 501-0000-511.43-40 VEH#53 TIRE REPAIR VENDOR TOTAL * 101-5004-424.34-04 DWELLING ABATEMENTS VENDOR TOTAL ■ 401-1812-551.34-04 STREET EXTENTION 401-1813-551.34-04 WASH ST APT TECH VENDOR TOTAL 101-7001-431.32-07 MAR -PROF SVC 401-1762-551.35-07 MAR -PROF SVC 401-1805-551.35-07 MAR -PROF SVC 401-1806-551.32-10 MAR -PROF SVC 401-1812-551.32-10 MAR -PROF SVC 401-1839-551.32-10 MAR -PROF SVC 401-1839-551.32-10 MAR -PROF SVC 401-1841-551.35-07 MAR -PROF SVC 401-1841-551.35-07 MAR -PROF SVC 401-1843-551.35-07 MAR -PROF SVC 401-1846-551.32-10 MAR -PROF SVC 401-1855-551.35-07 MAR -PROF SVC VENDOR TOTAL x 101-3006-451.56-02 MUSEUM BOOKS VENDOR TOTAL > 501-0000-511.43-43 CAR WASH VENDOR TOTAL * 101-3002-451.33-43 INSTRUCTOR PYMT 101-3003-451.33-43 INSTRUCTOR PYMT VENDOR TOTAL * 24.00 100.00 100.00 17.19 17.19 11300.00 11300.00 700.00 3,425.45 41125.45 13,689.44 3,550.00 687.50 387.50 1,700.00 312.50 750.00 425.00 375.00 350.00 125.00 3,312.50 25,664.44 190.74 190.74 711.00 711.00 105.00 210.00 315.00 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 12 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ---------------------------- VEND NO SEQ# ------------------------------------------------------------------------------------------------------- VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000041 00 OFFICE DEPOT 556097681001 004042 00 04/12/2011 101-2001-411.56-01 OFFICE SUPPLIES 80.11 554108013001 003955 00 04/12/2011 101-4002-415.56-07 OFFICE SUPPLIES 75.89 554820399001 003956 00 04/12/2011 101-4002-415.56-07 OFFICE SUPPLIES 851.08 VENDOR TOTAL ■ 1,007.08 0000130 00 ON-TRAC 7077308 004089 00 04/12/2011 101-4002-415.51-31 OVERNIGHT MAIL 129.64 VENDOR TOTAL * 129.64 0004465 00 OSTROW, COOKIE 51541 004102 00 04/12/2011 101-3000-342.70-00 REFUND 24.00 VENDOR TOTAL * 24.00 0001170 00 P.F. PETTIBONE & CO 22432 004051 00 04/12/2011 101-6001-463.56-01 OFFICE SUPPLIES 206.65 VENDOR TOTAL * 206.65 0000518 00 PALM SPRINGS DESERT RESORTS 2011Q4TOT-LQ 004037 00 04/12/2011 101-1003-413.33-04 CVA 4TH QTR TOT_ 30,136.36 VENDOR TOTAL ■ 30,136.36 0006008 00 PC MALL GOV INC S64137830101 004090 1474 00 04/12/2011 502-0000-512.71-01 FIREWALL UPGRADES 6,033.20 VENDOR TOTAL r 6,033.20 0000186 00 PITNEY BOWES 8504335MR11 003985 00 04/12/2011 101-4002-415.43-16 DEC -MAR RENTAL 1,650.00 VENDOR TOTAL * 1,650.00 0005663 00 PLANIT REPROGRAPHICS SYSTEMS 9881 004239 00 04/12/2011 405-9001-702.32-07 CONSULTANTS 12.22 10798 004240 00 04/12/2011 405-9001-702.32-07 CONSULTANTS 11.22 9699 004241 00 04/12/2011 405-9001-702.32-07 CONSULTANTS 14.28 VENDOR TOTAL ■ 37.72 0000840 00 PLATAMONE, CHRISTOPHER 321302-1 004223 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 462.00 VENDOR TOTAL * 462.00 0005127 00 PLUG & PAY TECHNOLOGIES INC 234629172 004219 00 04/12/2011 101-3003-451.33-45 CREDIT CARD FEES 20.00 VENDOR TOTAL * 20.00 0006149 00 POLLARD, WENDY E 52046 004252 00 04/12/2011 101-0000-228.30-00 REFUND 50.00 VENDOR TOTAL * 50.00 0006131 00 PRICELINE POWERSPORTS LLC 181957 004110 00 04/12/2011 501-0000-511.43-50 '96KAWASAKI KZ1000 736.73 O W W. PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 13 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQN VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.D. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0006131 00 PRICELINE POWERSPORTS LLC VENDOR TOTAL 736.73 0000043 00 PRINTING PLACE, THE 110519 003989 00 04/12/2011 101-3001-451.56-02 REGISTRATION FORMS 497.80 110559 003988 00 04/12/2011 101-4002-415.56-07 ENVELOPES 636.19 110558 004090 00 04/12/2011 101-4002-415.56-07 LETTERHEAD 1,518.15 VENDOR TOTAL * 2,652.14 0000406 00 PRINTWORKS 11-0275 004218 00 04/12/2011 101-3001-451.33-04 SAHARA FLYERS 348.00 VENDOR TOTAL * 348.00 0006154 00 PSI DIGITAL IMAGING SOLUTIONS 19376 004254 00 04/12/2011 101-3003-451.56-02 BANNER MATERIAL 223.67 ' VENDOR TOTAL * 223.67 0000408 00 RASHMI-GRAFF, CHARLOTTE 320716-1 004221 00 04/12/2011 101-3003-451.33-43 INSTRUCTOR PYMT 227.50 VENDOR TOTAL * 227.50 0000327 00 RBF CONSULTING INC 11020303 004238 00 04/12/2011 101-7001-431.32-07 FEB-PROF SVC 7,312.87 11020301 004129 00 04/12/2011 401-1806-551.35-07 DESIGN 4,272.88 11020302 004129 00 04/12/2011 401-1843-551.35-07 DESIGN 6,385.88 VENDOR TOTAL * 17,971.63 0004293 00 REPUBLIC INTELLIGENT TRANSPORTATION RI-106843 004059 00 04/12/2011 101-7006-431.32-20 TRFF SIGNAL BKUP 312.75 VENDOR TOTAL * 312.75 0006122 00 RIANO, AURORA 51540 004098 00 04/12/2011 101-3000-342.70-00 REFUND 30.00 52113 004243 00 04/12/2011 101-3000-342.10-00 REFUND 30.00 VENDOR TOTAL * 60.00 0004086 00 RIVERSIDE COUNTY INFORMATION 99900070001102 003996 00 04/12/2011 101-4002-415.41-25 MRK MAINT 24.40 VENDOR TOTAL * 24.40 0004583 00 RIVERSIDE COUNTY SHERIFF DEPT SH0000016074 003993 00 04/12/2011 101-5054-421.36-28 BOOKING FEE 1,941.69 SH0000016028 004001 00 04/12/2011 101-5054-421,36-03 POLICE SVC 11/18-12/15 46,981.30 SH0000016028 004002 00 04/12/2011 101-5054-421.36-23 POLICE SVC 11/18-12/15 15,036.80 SHOOOOO16028 004003 00 04/12/2011 101-5054-421.36-22 POLICE SVC 11/18-12/15 25,550.20 SH0000016028 004004 00 04/12/2011 101-5054-421.36-04 POLICE SVC 11/18-12/15 116,359.38 SHOODO016028 004005 00 04/12/2011 101-5054-421.36-19 POLICE SVC 11/18-12/15 60,650.59 SHO-900016028 004006 00 04/12/2011 101-5054-421.36-13 POLICE SVC 11/18-12/15 9,142.40 SH0000016028 004007 00 04/12/2011 101-5054-421.36-15 POLICE SVC 11/18-12/15 9,142.40 SH0000016028 004008 00 04/12/2011 101-5054-421.36-07 POLICE SVC 11/18-12/15 23,968.71 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 14 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------- VEND NO SEQ# VENDOR NAME ----------------------------------------------------------- EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------- NO NO ---------------------- DATE •------------------------------------------------------------------------------------------ NO DESCRIPTION AMOUNT AMOUNT 0004583 00 RIVERSIDE COUNTY SHERIFF DEPT SH0000016028 004009 00 04/12/2011 101-5054-421.36-25 POLICE SVC 11/18-12/15 - 29,927.28 SH0000016028 004010 00 04/12/2011 101-5054-421.36-01 POLICE SVC 11/18-12/15 505,077.77 SH0000016131 004011 00 04/12/2011 101-5054-421.36-01 POLICE SVC 12/16-1/12 519,214.09 SH0000016131 004012 00 04/12/2011 101-5054-421.36-03 POLICE SVC 12/16-1/12 54,954.72 SH0000016131 004013 00 04/12/2011 101-5054-421.36-23 POLICE SVC 12/16-1/12 15,036.80 SH0000016131 004014 00 04/12/2011 101-5054-421.36-22 POLICE SVC 12/16-1/12 25,550.20 SH0000016131 004015 00 04/12/2011 101-5054-421.36-04 POLICE SVC 12/16-1/12 119,896.51 SH0000016131 004016 00 04/12/2011 101-5054-421.36-19 POLICE SVC 12/16-1/12 62,769.71 SH0000016131 004017 00 04/12/2011 101-5054-421.36-13 POLICE SVC 12/16-1/12 9,142.40 SH0000016131 004018 00 04/12/2011 101-5054-421.36-15 POLICE SVC 12/16-1/12 4,571.20 SH0000016131 004019 00 04/12/2011 101-5054-421.36-07 POLICE SVC 12/16-1/12 20,592.54 SH0000016131 004020 00 04/12/2011 101-5054-421.36-25 POLICE SVC 12/16-1/12 28,970.55 VENDOR TOTAL * 1,704,477.24 0000411 00 RIVERSIDE COUNTY SHERIFFS DEPT 42111 004129 00 04/12/2011 101-5006-426.51-01 RCB CERTIFICATION 539.00 VENDOR TOTAL ■ 539.00 0000044 00 ROSENOW SPEVACEK GROUP INC FEB'11 004193 00 04/12/2011 101-6001-463.32-10 GENERAL PLAN 3,967.50 FEB'll 004193 00 04/12/2011 245-9001-703.32-07 LOW&MOD HSNG#1 11,696.50 FEB'll 004193 00 04/12/2011 246-9002-703.32-07 LOW&MOD HSNG#2 17,247.75 FEB'll 004193 00 04/12/2011 405-9001-702.32-07 CAPITAL PRJ#1 2,617.75 FEB'll 004193 00 04/12/2011 406-9002-702.52-07 CAPITOL PRJ#2 7,365.25 VENDOR TOTAL � 42,894.75 0000493 00 ROTO ROOTER PLUMBERS INC D463166 004165 00 04/12/2011 101-7003-431.43-73 STORM DRAIN -YARD 2,500.00 VENDOR TOTAL * 2,500.00 0000045 00 RUTAN & TUCKER 603337 003948 00 04/12/2011 101-0000-228.10-00 07-017 DEV DEP 44.00 603317 003927 00 04/12/2011 101-1001-411.32-01 GENERAL 7,153.13 603318 003928 00 04/12/2011 101-1001-411.32-01 PERSONNEL GENERAL 6,264.75 603319 003929 00 04/12/2011 101-1001-411.32-04 LITIGATION/GENERAL 528.00 603320 003930 00 04/12/2011 101-1001-411.32-01 CODE ENFORCEMENT 8,448.51 603322 003932 00 04/12/2011 101-1001-411.32-04 LIT/PUBLIC WORKS 1,608.00 603324 003934 00 04/12/2011 101-1001-411,32-01 RETAINER 5,120.00 603336 003947 00 04/12/2011 101-1001-411.32-01 NPDES ADVISE 192.00 603338 003949 00 04/12/2011 101-1001-411.32-01 SILVERROCK 64.50 603339 003950 00 04/12/2011 101-1001-411.32-04 CASAREZ LIT 107.50 603347 003952 00 04/12/2011 101-1001-411.32-01 HOMELESS SHELTER 2,635.00 603351 003953 00 04/12/2011 101-1001-411.32-01 SILVERROCK 26.00 603323 003933 00 04/12/2011 245-9001-703.32-01 AFFD HSNG PA1&2 2,328.00 603324 003935 00 04/12/2011 245-9001-703.32-01 RETAINER 960.00 603326 003940 00 04/12/2011 245-9001-703.32-01 AFFD HSNG PA1 3,768.00 603321 003931 00 04/12/2011 246-9002-703.32-01 MIRAFLORES PRJ 86.00 603324 003936 00 04/12/2011 246-9002-703.32-01 RETAINER 480.00 60-5327 003941 00 04/12/2011 246-9002-703.32-01 AFFD HSNG PA2 10,503.07 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 15 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO --------------------------------------------------- NO NO DATE NO -------------------------------------------------------------------------------- DESCRIPTION AMOUNT AMOUNT 0000045 00 RUTAN & TUCKER 603324 003937 00 04/12/2011 405-9001-702.32-01 RETAINER 960.00 603325 003939 00 04/12/2011 405-9001-702.32-01 CAPITAL IMPRVMT PA1&2 4,939.00 603328 093942 00 04/12/2011 405-9001-702.32-01 CAPITAL IMPRVMT PA1 1,032.00 603331 003945 00 04/12/2011 405-9001-702.32-01 THE RANCH 612.53 603333 003946 00 04/12/2011 405-9001-702.32-01 DESTINATION DEV 1,534.00 603346 003951 00 04/12/2011 405-9001-702.32-01 REDEVELOPMENT LEGIS 21281.00 603324 003938 00 04/12/2011 406-9002-702.32-01 RETAINER 480.00 603329 003943 00 04/12/2011 406-9002-702.32-01 CNTRE a LQ 350.00 603550 003944 00 04/12/2011 406-9002-702,32-01 MILES/WASHINTON 24.00 VENDOR TOTAL * 62,528.99 0002011 00 SHEA HOMES TM35996 - 003983 00 04/12/2011 101-0000-228.10-00 11-004 DEV DEP 369,444.00 VENDOR TOTAL * 369,444.00 0005489 00 SIERRA PACIFIC ELECTRICAL CONTRACTI 21141 004058 1463 00 04/12/2011 101-7006-431.56-02 DAMAGED MAST ARM 5,788.00 VENDOR TOTAL * 5,788.00 0004249 00 SILVERROCK RESORT 97829622 004258 00 04/12/2011 101-0000-203.04-00 3RD QTR SALES TX 156.00 97829622 004257 00 04/12/2011 101-3003-451.56-02 3RD QTR SALES TX 18.00 97829622 004255 00 04/12/2011 101-6001-463.56-01 3RD QTR SALES TX 18.00 97829622 004256 00 04/12/2011 101-7004-431.56-52 3RD QTR SALES TX 48.00 VENDOR TOTAL * 240.00 0001247 00 SMALL, DIANNE 51992 004246 00 04/12/2011 101-3000-342.70-00 REFUND 22.00 VENDOR TOTAL * 22.00 " 0000647 00 SOUTH COAST AIR QUALITY MANAGEMENT 2305402 004129 00 04/12/2011 101-3002-451.41-30 GENERATOR PERMIT 293.21 2306058 004129 00 04/12/2011 101-3002-451.41-30 GENERATOR PERMIT 109.00 VENDOR TOTAL * 402.21 0003805 00 SOUTHWEST BOULDER & STONE 165726-IN 003980 00 04/12/2011 101-5004-424.42-40 CC GRANT PRGM 548.99 VENDOR TOTAL * 548.99 0004791 00 SOUZA, DEBRA A FEDOR 310108-A/A1 004193 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 154.00 VENDOR TOTAL * 154.00 0006130 00 SPARKS, JENNIFER ANIMAL TAG 004109 00 04/12/2011 101-5000-322.20-00 REFUND 40.00 VENDOR TOTAL * 40.00 0000048 00 STAPLES ADVANTAGE 3151558582 003972 00 04/12/2011 101-1003-413.56-01 OFFICE SUPPLIES 38.01 O W A PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 16 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000048 00 STAPLES ADVANTAGE 3151576908 003973 00 04/12/2011 101-1003-413.56-01 OFFICE SUPPLIES 10.86- 3151576911 003974 00 04/12/2011 101-1003-413.56-01 OFFICE SUPPLIES 116.11 3151810256 004023 00 04/12/2011 101-1003-413.56-01 OFFICE SUPPLIES 29.63 3151833716 004093 00 04/12/2011 101-1003-413.56-01 OFFICE SUPPLIES 6.51 3150988469 003966 00 04/12/2011 101-2001-411.56-01 OFFICE SUPPLIES 30.23 3151833717 004025 00 04/12/2011 101-3001-451.56-01 OFFICE SUPPLIES 258.96 3152120445 004167 00 04/12/2011 101-3001-451.56-01 OFFICE SUPPLIES 83.61 3151558584 003967 00 04/12/2011 101-3002-451.56-01 OFFICE SUPPLIES 85.90 3151810257 004028 00 04/12/2011 101-4001-415.56-01 OFFICE SUPPLIES 78.62 3151601077 003968 00 04/12/2011 101-4002-415.56-30 OFFICE SUPPLIES 37.57 3151601078 003970 00 04/12/2011 101-4002-415.56-01 OFFICE SUPPLIES 86.01 3151835718 004026 00 04/12/2011 101-4002-415.56-01 OFFICE SUPPLIES 28.56 3151878278 004027 00 04/12/2011 101-4002-415.56-01 RETURN CREDIT 23.12- 3151508717 004043 00 04/12/2011 101-4002-415.56-07 OFFICE SUPPLIES 308.03 3151558581 004044 00 04/12/2011 . 101-4002-415.56-07 OFFICE SUPPLIES 56.01 3151601077 003969 00 04/12/2011 101-5001-424.56-01 OFFICE SUPPLIES 97.63 3151878277 004045 00 04/12/2011 101-5001-424.56-01 OFFICE SUPPLIES 202.89 3151601075 003971 00 04/12/2011 101-5054-421.56-02 OFFICE SUPPLIES 265.33 3151810255 004024 00 04/12/2011 101-5054-421.56-02 OFFICE SUPPLIES 89.04 3151855731 004094 00 04/12/2011 101-7001-431.56-01 OFFICE SUPPLIES 65.75 3152195241 004168 00 04/12/2011 101-7001-431.56-01 OFFICE SUPPLIES 32.63 VENDOR TOTAL * 1,963.05 0005409 00 STONE'S, CAM AUTOMOTIVE INC. 49401 004046 00 04/12/2011 501-0000-511.43-40 TK#24 SVC 315.28 49368 004047 00 04/12/2011 501-0000-511.43-40 TK#67 SVC 69.56 VENDOR TOTAL a 384.84 0004667 00 SULLIVAN, CHARLES L 310189-A 004193 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 147.00 VENDOR TOTAL > 147.00 0000053 00 SUNLINE TRANSIT AGENCY 42857 004036. 00 04/12/2011 101-4090-341.30-00 MAR -BUS PASSES 170.00- 42857 004035 00 04/12/2011 501-0000-511.43-34 MAR -BUS PASSES 21114.00 VENDOR TOTAL ■ 1,944.00 6003552 00 TESERRA 33343 004049 00 04/12/2011 101-7004-431.34-04 LANDSCAPE MAINT 38,103.97 33317 004050 00 04/12/2011 101-7004-431.34-04 LANDSCAPE MAINT 5,465.00 VENDOR TOTAL * 43,568.97 0004892 00 THYSSENKRUPP ELEVATOR CORP 1117065887 004090 00 04/12/2011 101-3006-451.34-04 MUSEUM ELEVATOR 727.17 VENDOR TOTAL • 727.17 0006152 00 TOMSIC, JUDITH J .-VARIOUS 004253 00 04/12/2011 101-3002-451.33-43 INSTRUCTOR PYMT 410.90 a VENDOR TOTAL 410.90 0000057 00 TOPS'N BARRICADES INC O W U7 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 17 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA VUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0000057 00 TOPS'N BARRICADES INC 1020255 003964 00 04/12/2011 101-7003-431.56-46 SIGNS 44.59 1020257 003965 00 04/12/2011 101-7003-431.56-46 SIGNS 82.22 1020347 004072 00 04/12/2011 101-7003-431.56-52 SOAP BOX DERBY 555.00 1020337 004037 00 04/12/2011 101-7004-431.56-52 SUPPLY 28.22 VENDOR TOTAL x 0000058 00 TRAFFEX ENGINEERS INC 9 OF 10-05 004197 00 04/12/2011 101-7006-431.32-08 MAR-TRFF ENGINEER VENDOR TOTAL r 0000060 00 TRULY NOLEN INC 660015155 004073 00 04/12/2011 101-5055-422.42-20 NEW ST#32 660014571 004178 00 04/12/2011 101-5055-422.42-20 ST#93 PEST CNTRL 660014569 004179 00 04/12/2011 101-5055-422.42-20 ST#70 PEST CNTRL VENDOR TOTAL 0004504 00 TUTHILL CORPORATION 92015390 004037 00 04/12/2011 101-3005-451.56-52 OZONE COMPRESSOR REBUILD VENDOR TOTAL ■ 0000062 00 UNDERGROUND SERVICE ALERT 2011050350 004193 00 04/12/2011 101-7002-431.32-07 MAR -DIG ALERTS 68 VENDOR TOTAL * 0006133 00 US AIR CONDITIONING DISTRIBUTORS 7339851 004111 00 04/12/2011 101-5055-422.43-61 ST#93 R&M VENDOR TOTAL ■ 0004901 00 VA CONSULTING INC 29342-REV 004180 00 04/12/2011 401-1812-551.35-07 DESIGN 0002431 00 VINTAGE ASSOCIATES SI-94552 003959 00 04/12/2011 SI-95178 003957 00 04/12/2011 SI-94552 003960 00 04/12/2011 SI-94552 003961 00 04/12/2011 SI-94552 005958 00 04/12/2011 SI-95441 004071 00 04/12/2011 0006135 00 WELLNESS WORKS 1 004114 00 04/12/2011 0003254 6-10740 s 0004401 00 WILLDAN 004129 00 04/12/2011 00 WILLDAN FINANCIAL SERVICES VENDOR TOTAL 101-3004-451.30-96 MAR -PARK MAINT 101-3005-451.43-70 CAMPUS TREE REPLACE 101-3005-451.34-04 MAR -PARK MAINT 101-3006-451.34-04 MAR -PARK MAINT 101-7004-431.34-04 MAR -PARK MAINT 101-7004-431.56-02 PLANT RPLCMT VENDOR TOTAL x 101-1004-413.32-07 EAP SVC-MARCH VENDOR TOTAL r 101-7001-431.32-07 ENG/TRFF SPEED SURVEY VENDOR TOTAL * 710.03 11,867.50 11,867.50 67.00 50.00 55.00 172.00 970.32 970.32 102.00 102.00 115.23 115.23 11,923.30 11,923.30 560.00 11901.00 31,540.00 425.00 12,200.00 101.38 46,727.58 190.00 190.00 3,520.00 3,520.00 PREPARED 04/12/2011, 12:16:20 EXPENDITURE APPROVAL LIST PAGE 18 PROGRAM: GM339L AS OF: 04/12/2011 CHECK DATE: 04/12/2011 CITY OF LA QUINTA, CALIFORNIA ------------------------------------------------------------------------------------------------------------------------------------ VEND NO SEQ# VENDOR NAME EFT, EPAY OR INVOICE VOUCHER P.O. BNK CHECK/DUE ACCOUNT ITEM CHECK HAND -ISSUED NO ------------------------------------------------------------------------------------------------------------------------------------ NO NO DATE NO DESCRIPTION AMOUNT AMOUNT 0004401 00 WILLDAN FINANCIAL SERVICES 10-13814 004176 00 04/12/2011 735-0000-234.10-00 AD ADMN FEE 148.63 10-13814 004177 00 04/12/2011 740-0000-234.10-00 AD ADMN FEE 806.87 0006127 00 WILLIAMS, RICHARD BL#107470 004107 00 04/12/2011 0006139 00 YEPEZ & SONS FLP2009-052 004129 00 04/12/2011 0005108 TL50933 TL50932 0000201 11-16 a 00 YOUNG ELECTRIC SIGN COMPANY 004194 00 04/12/2011 004029 00 04/12/2011 00 YOUNG ENGINEERING SVC 004037 00 04/12/2011 VENDOR TOTAL a 101-1000-321.00-00 REFUND VENDOR TOTAL > 101-7000-344.61-00 REFUND VENDOR TOTAL 101-7004-431.32-07 ELECTRIC SVC 601-0000-451.43-65 ELEC@SRR CART STORAGE VENDOR TOTAL ■ 101-5002-424.33-28 PLAN CKECKING SVC VENDOR TOTAL > HAND ISSUED TOTAL» TOTAL EXPENDITURES* GRAND TOTAL » » »<>*> 955.50 12.00 12.09 250.00 250.00 373.50 176.00 549.50 4,427.50 4,427.50 80,540.00- 3,099,643.40 80,540.00- 31019,103.40 PREPARED 04/06/2011, 16:46:15 - CITY OF LA QUINTA, CALIFORNIA PAGE 1 PROGRAM: GM313U ACCOUNTS PAYABLE UPDATE LIST REPORT NUMBER 174 GROUP NUMBER 02229 VOID CHECK GROUP ACCOUNTING PERIOD: 10/2011 GROUP USER ID SMANCILLA GROUP CREATED BY SMANCILLA GROUP UPDATED BY SMANCILLA --------------------------------------------- -------------------------------------------------------------------------------------- TRANS# TRANS DATE VOUCHER BK ACCOUNT NUMBER PROJ P.O. VENDOR SEO VENDOR NAME INVOICE NUMBER AMOUNT DESCRIPTION 1 DESCRIPTION 2 DUE DATE CHECK# CHECK DATE TYPE LAST TRANS DISC/RETAINAGE WORK ORDER JOB# FACILITIES ID ------------------------------------------------------------------------------------------------------------------------------------ 100 04/06/2011 003754 00 101-0000-161.10-00 UNDERGRND FEES GROUP TOTALS COUNT: 1 AMOUNT: 80,540.00- i z O W co 0000863 00 IMPERIAL IRRIGATION 4012972 00/00/0000 0091125 03/18/2011 N 80,540.00- w4..r aF 1wQuiKrw COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Receive and File Treasurer's Report dated February 28, 2011 RECOMMENDATION: Receive and file. FISCAL IMPLICATIONS: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: 2- STUDY SESSION: PUBLIC HEARING: Receive and File Treasurer's Report dated February 28, 2011 for the City of La Quinta. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: Receive and File Treasurer's Report dated February 28, 2011 for the City of La Quinta FINDINGS AND ALTERNATIVES: I certify that this report accurately reflects all pooled investments and is in compliance with California Government Code Section 53645 as amended 1 /1 /86; and is in conformity with City Code 3.08.010 to 3.08.070 Investment of Money and Funds. I hereby certify that sufficient investment liquidity and anticipated revenues are available to meet next month's estimated expenditures. q. 0339 Respectfully submitted, John M. Falconer, Finance Director Approved for submission by: Thomas P. Genovese, City Manager Attachment: 1. Treasurer's Report, City of La Quinta J.H. 0-340 K ATTACHMENT 1 MEMORANDUM TO: La Quinta City Council FROM: John M. Falconer, Finance Director[Treasurer SUBJECT: Treasurer's Report for February 28, 2011 DATE: March 31, 2011 Attached is the Treasurers Report for the month ending February 28. 2011. The report is submitted to the City Council each month after a reconciliation of accounts is accomplished by the Finance Department. The following table summarizes the changes in investment types for the month: Investment Be innin Purchased Notes Sold/Matured Othej6138,998,807 ndin Chan e LAIF Certificates of Deposit $ 17,290,980 $ 1,250,000 $ (5,923,122) ,617,858 (4,673, 122) US Treasuries 969,000 94,890,569 (2) 969,000 0 US Gov't Sponsored Enterprises 24,997,992 20,000,000 (2) (20,000,000) 10,900,731 10,162 Commercial Paper 8,998,194 4,000,000 (2) (4,000,000) ,998,581 589 613Corporate Notes 15,095,061 (2) (10,084,062 ,998,807 (10,999Mutual )2,213, Funds 3,593.955 1 380,031 2,213,924Subtotal $ 165,835.751 $ 25,250,000 $ 29923122 $ 2213,949,070 $ 6,886,681,074,367 3,914,463Total $ 166,995,655 $ 29164463 $ 29923122 $ 2213,023,437 $ 2,972,218 I certify that this report accurately reflects all pooled investments and is in compliance with the California Government Code; and is in conformity with the City Investment Policy. As Treasurer of the City of La Quinta, I hereby certify that sufficient investment liquidity and anticipated revenues are available to meet the pools expenditure requirements for the next six months. The City of La Quinta used the Bureau of the Public Debt, U.S. Bank Monthly Statement and the Bank of New York Monthly Custodian Report to determine the fair market value of investments at month end. 3/31/Zo►I LJo4hnM.alconer Date Finance DirectorlTreasurer Footnote (1) The amount reported represents the net increase (decrease) of deposits and withdrawals from the previous month. (2) The amount reported in the other column represents the amortization of premium/discount for the month on US Treasury, Commercial Paper and Agency investments. (3) The cash account may reflect a negative balance. This negative balance will be offset with transfers from other investments before warrants are presented for payment by the payee at the bank. 3 Treasurer's Commentary For the Month of February 2011 Cash Balances — The portfolio size decreased by $2.97 million to end the month at $164.02 million. The major reason for the decrease was $3.16 million spent on Capital Projects. In February, $1.86 million was spent on the Wolff Waters Apartment project, $349,000 was spent on the Coral Mountain Apartment Project, and $278,000 was spent on improvements to the Sports Complex. In addition the cash on hand at the end of February was $5,074,367. This balance was higher than usual because of the semi-annual debt service payment of $5.66 million due on March 1, 2011. Investment Activity — The investment activity resulted in an average maturity increase of four (4) days from the prior month to end the month of February at 210 days. The Treasurer follows a buy and hold investment policy with one (1) Commercial Paper purchase totaling $4 million and one (1) Federal Home Loan Bank Discount Notes totaling $20 million purchased. The sweep account earned $13 in interest income for the month of February and the bank fees for the month were $ 1,990 which resulted in a net decrease of $1,977 in real savings. Portfolio Performance — The overall portfolio performance had a three (3) basis point increase from the prior month and ended at .46% for the month, with the pooled cash investments at .55%. The portfolio yield should continue to stay at these levels for the near future. At this time last year, the portfolio was yielding .48% which reflects the current interest rate environment. Looking Ahead The Treasurer is still concentrating on safety first and foremost. In the short term, the Treasurer will be maintaining a lesser percentage in LAIF due to the Governor's FY 2011/12 budget proposal to eliminate Redevelopment Agencies state-wide. The Treasurer has reduced the LAIF RDA Account to zero until the Governor's budget proposal is finaled. With the decrease in LAIF, the Treasurer will be investing in commercial paper and Federal Home Loan or Federal Farm Credit Sponsored Enterprises (GSE). a,U. 0342 0 C O N N N N C N N N N d z z z Z z z Z z w C N O 8 m a9i 7� a ENw m a d c c 8 D m m m U U LL LL N o a c � D N N N N N N N O p N E O X {p N N N N D N > > D C°- w a1i N j N N U 0 0 0 o a a 0 O E r N o o 0 0 0 0 0 0 v 0 0 °c E> d'c 2 o o N m 0o o o n o c= wN»wN»w o ii v ii v w E w s o' 0 0 0 o 0 0 0 0 0 0 0 o 0 0 coo 0 v 0 0 00.0 0 0 0 0 0 08 N O o O O LO LO LO L6 N O O O O o O O O O O a' e 0 0 0 0°000 v o00 0 0 o e O O 'p O N O O h LL o 10 N N N N O h pl N N N -_ U Q Q M O N W N O) (O O O E o 0 0 0 0 0 0 0 0 0 0 0 00 a E o 0 89886 ' 8 8 8 0 LL'K O M 0 .000. O O O ON 000 o o O M O N - A 0 O O N O - N N O O O O 0 O o o » P a 8 2 m 2 o E E 0° EN O N U p Z -0a �,p c m m D�> m y � � a y O E c o $ d m a Z m d d a a Dc o a i m L o. 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R.I 189E RDAUSBank-CIP Yes 191 An'Sdcan OOW% N/A 1 10085ene5ear,.FBersids 19BBRDAU.SBank` 00t Svc let Aremi 0mAys - 1 AI 1995HOusing Bond$'RDA l82 1006 RDAVS. Bank �SOpcal Funo Yes 1z1Am¢ncan 0000% NA 1.a Saes Bonds-RDA1 19B6 RDA US Barry -CIF Yea Isl Amencan 0000% NIA 1 '[W 15enes BOndS'RDA1 2001 RDAU S. BanF�DO15vc nk -BylP DAURDA 1s1AmeOWn 0000% � A 1 20015eries Bonds' RDA1 200 S Yes Isl Amencn OCDOX N/A 1 20025eries Bonds-RDA1 2002 RDA U. S. BankDalSvc 1sl Amencan 0000% Ni � 1011913 1 20025ene5 Sears 2002 RDA US. BankOF151 AmeriWn in2003 D000% 1011011 A 1 20035ene, Bonds RDA1 Taxable RDA U.S Bank - US Yes P1 AmeitNn 00.% NIA 20035eeryses, Bone. 2003 Taxable RDA U. S BanhL01 Yes tsl Amenan U.% NIP 1 FDAI 20035d�e58mos RpA1 2003Taxable RDA U. 5. 8an'LR Yes 151 Amedon OD00% - N. - 3112058 1 2004 Fiancee AumOTy 200a fin AUN US BanF CIP Yes 151Amancan 0000% 363058 NIA 200a Finanp0 AUNolll 200a FIn Aud U50anh-COI 191 NnP(rCdn 0000% Suotolab M.lie Funo 5 13B0A31 E 1 ]00,031 TOIal Fiscal Agent Investments S 14.372855 S -1 S atl { ta,]1].3i2 Grand Tomn S 164023,437 $ 201,3951 S 19.113 1 S 144100546 e Avange Maturlry 2Be Da a OOSY V City of La Quinta Summary of Investment Activities City, Redevelopment Agency and Financing Authority February 28, 2011 Investments Purchased Name Type Principal Date Yield to Maturity FHLB GSE 20,000,000 2/22/2011 0.071% Metlife Commercial Paper 4,000,000 2/17/2011 0.210% LAIF- City State Pool 800,000 2/16/2011 LAIF- City State Pool 450,000 2/24/2011 LAIF Reinvested Interest Income Total Investments Purchased 25,250,000 - Investments Sold/Matured Name Type Principal Date Yield to Maturity FHLB GSE (20,000,000) 2/22/2011 0.112% John Deere Commercial Paper (4,000,000) 2/17/2011 0.190% LAIF- RDA State Pool (23,122) 2/11/2011 LAIF- City State Pool (300,000) 2/22/2011 LAIF- City State Pool (5,600,000) 2/28/2011 Mutual Funds lBond Draw Total Investments Sold/Matured 1 (29,923,122) Checking & Savings - Net Change $ 3,914,463 s Unamortized Premium/Discount Change investment Prior Month Ending Balance $ 166,995,655 Plus : Investments Purchased 25,250,000 Less: Investments Sold (29,923,122) Checking & Savings - Net Change 3,914,463 Unamortized Premium/Discount chance 11 1- -1 W City or La Costa Distribution Of Cash IS Investments s Balances FeBmary 28, 2011 Distribution of Cash i investments Cit, Totals General Fund $ 75487,809 Gas Taa (349,054) Co mdv Fund Bj82,908 AS 939 1,210 504 mlra9maure Fund 405 763 Developer Impact fees 5,0e9 734 An in Public Places 871,400 Special Revenue 759,917 Interest Fund! 46,456 Capital Project Fund 1.121 284 Eitopmert Replacement Fund 1 675,550 Information Tecl nii Fund 1016,393 Part Epuipment 8 Facility 728.118 Lardscape 8 bunting Fund (118931) SAmRock Result Tmsl AAen Four] (34768) 44g52] Subtotal S 88,85g]20 Redevelopment Agency Totals Pmjetl Area Pmjetl Area Capast lmpmvement Funds $ 31, 115.349 E 24,J03A29 $ 6,]31 .20 Debt Service Funds 3,418316 3.150962 $ 6.569,278 Low B Moderate Income Funds ]330484 22,115052 $ 29045,516 Subtotal E 35,13Z209 1 $ 31,99],9% 1 $ 67,430,143 Housing Authorift Low 8 Mcdamun Income FOWD $ 31]09 $ 2]5 $ 31,4J4 Subtotal $ 3"Oess § jx]s) 5 31.4,H Financing Authority Prefect Funds Debt Service Funds 2 140.00 2140 Subtotal 5 2.140 Total S 16, 3.437 Cash Balances State P001 E Q,J14,fi13 $ 31,314613 $ 46,914 fi12 E 44,123655 $ 41,W3,854 1 313]3,655 E 1],290,980 5 12,617858 U.S. Treasury BiII5M0tes $ 9]935,011 $ 9],958528 $ 6],966 F $ 8I,984.998 $ 6],990,21] $ 94,8]9,318 $ 91690,569 $ 94,900,]31 U.S. Government ScenaOre] Enteryrises E 18.999,298 $ - $ 24999,581 $ § 24,98],892 $ 24,998581 Prime COmmeu:ial Paper S - S - $ - $ - § 6.990,6W8998,00> COryarale Notes $ 15,16],3411 $ 15,155,163 $ 11,1413]8 S 15,t31,2110 $ 15, 119,416 $ 15.t0],239 S 15085 C81 $ 15,084062 Cedi(cales Ot DepOSR $ 969,000 $ Still 003 $ 96g003 $ 98g003 $ 968.000 $ 969,030 $ 959,OW $ 9fig000 0 v Cay of Ledwnn Carn FwM Pn'eipu Fv 1g11 51a Monle Fana+ o�Cw in Casn Flow is Iron P�b�Pe Per ew. . . . . ................ eel e ------------ ////////// CD � � City of La Quinta Chart of Interest Rates September 2010 through February 2011 0.70% , 0.60% 0.50% 0.40% 0.30% Percent 0.20% 0.10% 0.00% !- -- September 10 October 10 November 10 December 10 . January 11 February 11 Months - - - — --- -- -- - --------- - — ---- ---- --- ---- �,-0— Annualized Earnings of Pooled Cash Investments —�—Annualized Earnings of Fiscal Agent Investments • Annualized Earnings of All Investments �—a— Six Month Treasury Bill Rate Two Year Treasury Note Rate �a� Q•c o� is -_•.__ _ gl 'y OF'Ctie' COUNCIL/RDA MEETING DATE: April 19, 2011 AGENDA CATEGORY: ITEM TITLE: Receive and File Revenue and Expenditure BUSINESS SESSION: Report for February 28, 2011 and Investment CONSENT CALENDAR: 3 Summary Report for the Quarter Ending March 31, 2011 STUDY SESSION: PUBLIC HEARING: RECOMMENDATION: Receive and File. FISCAL IMPLICATIONS: None. CHARTER CITY IMPLICATI None. BACKGROUND AND OVERVIEW: Receive and File the Statement of Revenue and Expenditures for February 28, 2011 and Investment Summary Report for the Quarter ending March 31, 2011 for the City of La Quinta. Respectfully submitted, John M. Falconer, Finance Director 0-'5I Approved for submission by: Thomas P. Genovese, City Manager Attachments: 1 . Revenue and Expenditures for February 28, 2011 2. Investment Summary Report dated March 31, 2011 2 ATTACHMENT 1 CITY OF LA QUINTA REVENUES - ALL FUNDS 07/0112010 - 02128/2011 FUNDS ADJUSTED BUDGET RECEIVED % RECEIVED General $36,893,436.00 $17,828,196.71 48.30% Library 2,588,848.00 (222.43) 0.00% Gas Tax Revenue 1,104,000.00 533,676.85 48.30% Federal Assistance 431,087.00 0.00 0.00% JAG Grant 20,643.00 15,092.89 73.10% Slesf (Cops) Revenue 100,090.00 44.65 0.00% Indian Gaming 0.00 0.00 0.00% Lighting & Landscaping 965,300.00 504,575.91 52.30% RCTC 0,00 0.00 0.00% Development Funding 0,00 0.00 0.00% Crime Violent Task Force 0.00 0.00 0.00% AB 939 17,100.00 14,765.72 86.30% Quimby 95.000.00 17,527.26 18.40% Infrastructure 1,450.00 722.99 49.90% Proposition lB 577,455.00 128,685.47 22.30% South Coast Air Quality 57,424.00 46,826.35 81.50% CMAQ/ISTEA 1,007,105.00 21,104.78 2.10% Transportation 446,300.00 201,891.48 45.20% Parks & Recreation 89,200.00 49,963.00 56.00% Civic Center 3,117,600.00 66,271.76 2.10% Library Development 35,500.00 20,235.00 57.00% Community Center 11,600.00 6,305.17 54.40% Street Facility 15,717.00 8,732.91 55.60% Park Facility 2,200.00 1,254.06 57.00% Fire Protection Facility 20,800.00 13,364.16 64.30% Arts In Public Places 33,925.00 37,612.24 110,90% Interest Allocation 0.00 46,456.29 0.00% Capital Improvement 76,696,716.00 8,003,27155 10.40% Equipment Replacement 34,376.00 30.865,77 89.80% Information Technology 6,295.00 4,262.97 67.70% Park Equipment & Facility 2,600.00 1.338.41 51.50% SilverRock Golf 3,652,607.00 1,873,870.15 51.30% SilverRock Golf Reserve 63,429.00 539.29 0.90% La Quinta Public Safety Officer 2,100.00 2.044.41 97.40% La Quinta Financing Authority 6,603,456.00 4,403,862.63 66.70% RDA Project Area No. 1 81,945,190.00 40,318,445.62 49.20% RDA Project Area No. 2 33,755,572.00 17,360,384.70 51.40% La Quinta Housing Authority 408,750.00 166,836.82 40.80% Total - $250,802,871.00 $91,728,804.44 36.60% 3 CITY OF LA OUINTA EXPENDITURES - ALL FUNDS FUNDS ADJUSTED 0]I01/2010-02/2i;i 1 REMAINING General BUDGET EXPENDITURES ENCUMBERED BUDGET PERCENT Library $38, 578,557.W g16,844, 339.22 $149,005,71 $21, 585,212,07 43.7% Gas Tax 1,]23,838.00 975,564.84 0.00 748,273.16 56.6% Federal Assistance 1490,702.00 1, 171, 851.88 0.00 318,650.12 78.6% JAG Grant 431,067.00 0.00 0.00 431,087.00 00% Slesf (Cops) Revenue 20,843.00 15,092.89 0.00 8,550.11 ]3.1% Indian Gaming 100,o90.W O.W 000 100,090.00 0.0% LigMingB Landscaping 000 000 0.00 0.00 p.0% RCTC 965,300.00 643,536.00 0.00 3217 4.W 667, Development Agreement 0.00 0.00 Ooo O.o0 0.0% CV Violent Crime Task Force 0.00 0.00 0.00 ooD 0.0% AS 939 0.00 000 0.00 o.DD O.o% Quimby 488, 588.00 133,320.17 z,ppo.aa 351,26].83 27.4% Infrastructure 10,142,Z70AD 16W,2W.76 0.00 8,535,063.2d 15.8% Proposition tB 393,074.00 0.00 0.00 393,W4.00 00% South South Coast Air Quality 577,45500 142,468.50 000 434, 986.50 24.7% CMAG 308, 106X 259,289.01 0.00 48,P 6.99 84.2% Transpotlecre 1,OW,1D5.00 21,33068 0.00 985,714.32 2.1% Pe0a8 Recreation 4,395,436. 00 703,224,32 0,00 3,692211.68 16.0% Civic Center 9, 800.00 -3,763.91 0.00 6,036.09 38.4% Library Development 261,85800 162,Od5.33 0.00 99,812.67 61.9% Community Center 12,700.00 5,148.59 O.o0 7,551.41 40.5% Sheet Facility 0.00 0.00 O.Oo 0.00 0.0% Park Facility 654,503.W 309,640.59 0.00 344,862.61 4].3% Fire protection 2.91700 1, 144.02 0D0 1,772.96 39.2% Arts In Public Places 6,000.00 2,483.62 0.00 3, 516.38 414% Interest Allocation 476,200. W 59,616.12 0.00 416,583.66 125% Capital 0.00 0,00 0.00 0.00 0.0% Equipment pmentroplace ent Replacement 766%,]18.00 8,003,271.55 92,62271 68,6W,92370 104% moon Infonnalion Technology 631,647.00 132,510.75 0.00 d99,136.25 13625 21.0% Park Maintenance Faality 535,752.O0 252,560.77 32,000 299, 47.1% SilverRock Golf 560,81500 23, 380,1 0.00 537, 434.11 4.2% Sl ck Reserve 3, 823.601,00 2,411, 383. 16 0.00 1,412,217. 84 63.1% Publi IPubli c Safety Officer 0.00 0,00 0.00 0.00 0.0% La QuintFinancing Authority 2,000.00 0.00 0.00 2,000.W 0.0% Leros Housing AAuthority459,350.00 6,600,456. 00 4,405,612 63 O.00 2,194,843. 37 W 7% RDAA Protect ect Area No. 1 142,153.44 0.00 317,20597 0.00 RDA project Area No.2 111910, 932.00 40, 170,OW 82 0.00 71,740875,18 35.9% 47,415,065.00 14,487,591.99 O.W 32,927,494. 01 306% ola 1 10, 0154 0 CITY OF LA QUINTA 07/01/2010 - 02/28/2011 GENERAL FUND REVENUES DETAIL ADJUSTED REMAINING % BUDGET RECEIVED BUDGET RECEIVED TAXES: Property Tax 2,259,500.00 945,293.57 1,314,206.43 41.840% No Low Property Tax Distribution 3,983,630.00 2,196,612.25 1,787,017.75 55.140% Statutory Tax - LQ 208,473.00 0.00 208,473.00 0,000% Statutory Tax - Riverside Cnty 82,400.00 0.00 82,400.00 0.000% Sales Tax 4,977,750.00 2,415,059.70 2,562,690.30 48.520% Sales Tax Reimbursement 1,923,188.00 1,088,006.09 835,181.91 56.670% Document Transfer Tax 384,300,00 223,858.33 160,441.67 58,250% Transient Occupancy Tax 4,000,000.00 1,854,175.67 2,145,824.33 46.350% Transient Occupancy Tax - Mitigation Measures 251,000.00 43,558.04 207,441.96 17.350% Franchise Tax 1,484,600.00 769,812.44 714,787.56 51.850% TOTAL TAXES 19,554.841.00 9,536,376.09 10,018,464.91 48.770% LICENSE & PERMITS: Business License 288,400.00 174,586.44 113,813.56 60.540% Animal License 29,700.00 20,127.00 9,573.00 67.770% Building Permits 200,000.00 166,032.27 33,967.73 83.020% Plumbing Permits 25,000.00 20,655.00 4,345.00 82.620% Mechanical Permits 19,000.00 19,918.87 (918,87) 104.840% Electrical Permits 28,000.00 21,777.47 6,222.53 77.780% Garage Sale Permits 15,000.00 10,500.00 4,500.00 70.000% Misc. Permits 67.000.00 36,264.63 30,735.37 54.130% TOTAL LICENSES & PERMITS 672,100.00 469,861.68 202,238.32 69.910% FEES: Sale of Maps & Publications 4,000.00 1,254.18 2,745.82 31.350% Community Services Fees 351,550,00 249,843.74 101,706.26 71.070% Finance 550.00 165.00 385.00 30,000% Bldg & Safety Fees 170,000.00 121,733.90 48,266.10 71.610% Bldg & Safely Lease Revenue 62,000.00 57,249.31 4,750.69 92.340% SMIP Fees 1,000.00 115.36 884.64 11.540% Community Development Fees 50,000,00 37,105.93 12,894,07 74.210% Public Works Fees 185,500.00 118,585.50 66,914.50 63.930% TOTAL FEES 824,600.00 586,052.92 238,547.08 71.070% INTERGOVERNMENTAL Motor Vehicle In -Lieu 3,314,950.00 1,721,313.01 1,593,636.99 51.930% Motor Vehicle Code Fines 102,900.00 51,249.94 51,650.06 49.810% Parking Violations 56,700.00 25,910.42 30,789.58 45.700% Misc. Fines 166,500.00 84,668.48 81,831.52 50.850% Federal Govt Grants 192,700.00 46,252.13 146,447.87 24.000% County of Riverside Grant 0.00 0.00 0.00 0.000% State of California Grant 25,194.00 2,381.36 22,812.64 9.450% Fire Services Credit - Capital (10150003375010) 528,916.00 296,907.14 232,008.86 56.140% Fire Services Credit -Oper (10150003375000) 7,916.398,00 2,235,655.00 5,680,743.00 28.240% CVWD 16,800.00 8,400.00 8,400.00 50.000% CSA152 Assessment 297,285.00 297,284.63 0.37 100.000% TOTAL INTERGOVERNMENTAL 12,618,343.00 4,770,022.11 7,848,320.89 37.800% INTEREST 2,878,170.00 2,348,404.14 529,765.86 81.590% MISCELLANEOUS Miscellaneous Revenue 18,700.00 25,745.84 (7,045.84) 137.680% AB939 20,000.00 42,017.51 (22,017.51) 210.090% Insurance Recoveries 8,291.00 8,291.00 0.00 100.000% Assmnt Dist Surplus 0.00 0.00 0.00 0.000% Other Mitigation Measures 0.00 0.00 0.00 0.000% Litigation settlement 0.00 0.00 0.00 0.000% Advertising Coop 20,000.00 18,066.00 1,934.00 90,330% Cash Over/(Short) = 50.00 42.27 7.73 84.540% TOTAL MISCELLANEOUS 67,041,00 94,162.62 (27,121.62) 140.460% TRANSFER IN 278,341.00 23,317.15 255,023.85 8.380% TOTAL GENERAL FUND 36,893,436.00 17,828,196.71 19,065,239.29 48.320% I,., 0 D 5 5 5 CITY OF LA OUINTA 07101/2010 - OV28/2011 GENERAL FUND EXPENDITURE SUMMARY ADJUSTED 02/28111 REMAINING BY DEPARTMENT BUDGET EXPENDITURES ENCUMBERED BUDGET PERCENTAGE GENERAL GOVERNMENT: LEGISLATIVE 655,04800 410,992.50 0.00 254065,50 4345% CITY MANAGER'S OFFICE 451, 750.00 277,0%89 000 174,683.11 61.33% DEVELOPMENT SERVICES 1,763, 500. 00 1,059, W3.51 Do 70363649 60.10% MANAGEMENT SERVICES 1,621,150,00 1,%2,903.65 000 558,24635 65.56% TOTAL GENERAL GOVERNMENT 4, 50144800 7810,826.55 0,00 1690,52145 5877% CITY CLERK 616, 154.00 383,724.03 0.00 232,429.97 58.42% TOTAL CITY CLERK 616, 154.00 383,72403 0.00 232,429.97 5842% COMMUNITY SERVICES PARKS B RECREATION ADMINISTRATION 1092, 319.00 676, 734.45 0.00 415, 584.55 61,95% SENIOR CENTER 384,525.00 21591648 0.00 167,608.52 56.41% PARKS B RECREATION PROGRAMS 318,52500 116,517.86 0.00 202, 007.14 36.56% LIBRARY 1442,745.00 275, 906.23 0.00 1,166,838.77 19.12% PARK MAINTENANCE 989,650.00 508,727,36 000 480,92264 51.40% MUSEUM 28109300 7088946 0.00 210203.54 25.52% TOTAL COMMUNITY SERVICES 4,508,85]00 1,865,691.84 0.00 2,643,165.16 41.41% FINANCE: BUILDING S SAFETY: POLICE: FISCAL SERVICES 988,23000 6D0,325.24 0.00 387,9N76 60,75% CENTRAL SERVICES 274, 300.00 135,271.06 0.00 139028.94 49,32% TOTAL FINANCE 1,262,530.00 735,595.3D 0.00 526,93370 58.26% BUILDING B SAFETY -ADMIN 332,300.00 207,046.48 0.00 126253.52 62.31% BUILDING 860,300.00 534899.04 Q00 325,400% 62.18% CODE COMPLIANCE 945,75000 566,864.58 100.00 375,785.42 59.94% ANIMAL CONTROL 370,79000 210.31674 5549 160.417.77 5672% FIRE 4,725, 126,00 2,331,06974 0.00 2,394,056.26 4706% EMERGENCY SERVICES 161, 550.00 41,804.86 0.00 119,745.14 25,88% CIVIC CENTER BUILDING -OPERATIONS 1,158,975.00 815,356,34 0.00 343,618.66 7035% TOTAL BUILDING B SAFETY 8,554, 791.00 4,707,35778 155.49 3,847277.73 53.50% POLICE SERVICES 12, 733,306.00 4,433,226.50 0.00 8,300,07950 34,82% TOTAL PUBLIC SAFETY 12, 733,3DS00 4,433,226.50 0.00 8,300,079. SO 34.82% COMMUNITY DEVELOPMENT: COMMUNITY DEVELOPMENT -ADMIN 1414,925.00 729,860.18 0.DO 685, D64.82 51.58% CURRENT PLANNING 615,500.00 303, 192,29 0.00 31230771 49.26% TOTAL COMMUNITY DEVELOPMENT 2,030,425. 00 1,033,05247 0.00 997,372.53 50.88% PUBLIC WORKS: PUBLIC WORKS ADMINISTRATION 638,090.00 352,769.31 0.00 286,320.69 57,07% DEVELOPMENT B TRAFFIC 720,73500 446,80181 0.00 273,933.19 61.99% MAINT/OPERATIONS- STREETS 2,247.631.00 787,669,89 30,31645 1429,644.66 3504% MAINTIOPERATIONS- LTG/LANDSCAPING 1, 72103000 937,095.02 0.00 783,934.98 54.45% CONSTRUCTION MANAGEMENT 1, 379,735,00 618,64777 118,53377 642,553.46 49. D3% TOTAL PUBLIC WORKS 6, 707,22100 3,142,983.80 148,850.22 3,415,386.98 47.84% TRANSFERS OUT 4,690,638.00 1,646,205. 29 0.00 3,044,43171 96.80% GENERAL FUND REIMBURSEMENTS (7,026 813 00) (391432634) 000 (3112486.66) 66.86% NET GENERAL FUND EXPENDITURES 38,578,55700 16,8 ,339.22 149,005.71 21,585,212,07 46.61% 1.4a. 0) 5 6 s CITY OF LA QUINTA 07/0112010 - 02/28/2011 ALL OTHER FUNDS REVENUE DETAIL ADJUSTED REMAINING % BUDGET RECEIVED BUDGET RECEIVED LIBRARY: County of Riverside 2,588,848.00 0.00 2,588,848.00 0.000% Contributions 0.00 0.00 0.00 0.000% Interest 0.00 (222.43) 222.43 0,000% TOTAL LIBRARY 2,588,848.00 (222.43) 2,589,070.43 -0 010% GAS TAX REVENUE: Section 2105 228,000.00 118,141.87 109,858.13 51.820% Section 2106 138,300.00 75,348.74 62,951.26 54.480% Section 2107 303,800.00 160,861.93 142,938.07 52.950% Section 2107.5 6,000.00 0.00 6,000.00 0.000% Section 2103 427,800.00 179,193.65 248,606.35 41.890% Traffic Congestion Relief 0.00 0.00 0.00 0.000% Interest 100,00 129.66 (2966) 129660% TOTAL GAS TAX 1,104,000.00 533,675.85 570,324A5 48,340% FEDERAL ASSISTANCE REVENUE: CDBG Grant 431,087.00 0.00 431,087.00 0.000% Federal Stimulus 0.00 0.00 0.00 0.000% Interest 0.00 0.00 0.00 0.000% TOTAL FEDERAL ASSISTANCE 431,087.00 0.00 431,087.00 0,000% JAG GRANT Grant Revenue 20,643.00 15,092.89 5,550.11 73,110% - Interest 0.00 0.00 0.00 0.000% TOTAL JAG GRANT 20,643.00 15,092.89 5,550.11 73.110% SLESF(COPS)REVENUE: SLESF (Cops) Funding 100,000.00 0.00 100,000.00 0,000% Interest 90.00 44.65 45.35 49.610% TOTAL SLESF (COPS) 100,090.00 44.65 100,045.35 0.040% INDIAN GAMING Grant revenue 0.00 0.00 0.00 0.000% Interest 0.00 0.00 0.00 0.000% TOTAL INDIAN GAMING 0.00 0.00 0.00 0.000% LIGHTING & LANDSCAPING REVENUE: Assessment 965,300.00 504,575.91 460,724.09 52.270% Developer 0.00 0.00 0.00 0.000% Interest 0.00 0.00 0.00 0.000% TOTAL LIGHTING & LANDSCAPING 965,300.00 504,575.91 460,724.09 52,270% RCTC RCTC Funding 0.00 0.00 0.00 0.000% Transfer in 0.00 0.00 0.00 0.000% TOTAL RCTC DEVELOPMENT AGREEMENT FUND Mitigation Measures 0.00 0.00 0.00 0.000% Interest 0.00 0.00 0.00 0.000% Transfer in 0.00 0.00 0.00 0.000% TOTAL DEV AGREEMENT 0.00 0.00 0.00 0.000% CRIME VIOLENT TASK FORCE Member Contributions - Carryover 0.00 0.00 0.00 0.000% Grant revenue - JAI 0.00 0.00 0.00 0.000% CLET Line 0.00 0.00 0.00 0.000% Asset Forfeiture -State Adjudicated 0.00 0.00 0.00 0.000% Interest 0.00 0.00 0.00 0.000% TOTAL CRIME VIOLENT TASK FORCE 0.00 0.00 0.00 0,000% AB 939 REVENUE: AB 939 Fees 0.00 0.00 0.00 0.000% Interest 4,600.00 2,265.72 2,334.28 49.250% Transfer In 12,500.00 12,500.00 0.00 100.000% TOTAL AS 939 t..H. 0357 07/01/2010 - 02/28/2011 CITY OF LA QUINTA ADJUSTED REMAINING °% ALL OTHER FUNDS REVENUE DETAIL BUDGET RECEIVED BUDGET RECEIVED QUIMBY REVENUE: Quimby Fees 60,000.00 0.00 60,000.00 0.000°% Donations Interest 0.00 0.00 0.00 0.000% TOTAL QUIMBY 35,000.00 17,527.26 17,472.74 50.080°% 0 INFRASTRUCTURE REVENUE: Utility refund 0.00 0.00 0.00 0.000% Interest 1,456.00 722.99 727.01 49.860% Transfer in 0.00 0.00 0.00 0 000% TOTAL INFRASTRUCTURE 1,450.00 722.99 727.01 49.860% PROPOSITION 1 B - SB1266 Prop I Grant 575,785.00 127,851.90 447,933.10 22.200°% Interest 1,670.00 833.57 836.43 49.910% TOTAL PROPOSITION 1 B 51 7 SOUTH COAST AIR QUALITY REVENUE: S.C.A.Q. Contribution 48,900.00 38,402.85 10,497.15 78.530°% MSRC Funding 8,224.00 8,224.26 (0.26) 100,000% Street Sweeping Grant 0.00 0.00 0.00 0.000% Interest 300.00 199.24 100.76 66.410% TOTAL SCAQ 57,424.00 46,826.35 10,597.65 81.540% CMAQ/ISTEA State Grants 1,007,105.00 21,104.78 986,000.22 2.100% Interest 0.00 0.00 0.00 0.000% Transfer in 0.00 0.00 0.00 0.000% TOTAL TRANSPORTATION 1,007,105.00 21,104.78 986,000.22 2.100% TRANSPORTATION Developer fees 341,500.00 194,481.53 147,018.47 56.950% Interest 14,800.00 7,409.95 7,390.05 50.070% Donations 90.000.00 0.00 90,000.00 0.000% Transferin 0.00 0.00 0.00 0,000% TOTAL TRANSPORTATION 446,300.00 201,891.48 244,408.52 45.240% PARKS & RECREATION Developer fees 89,200.00 49,963.00 39,237.00 56.010% Interest 0.00 0.00 0.00 0.000% Transfer in 0.00 0.00 0.00 0.000% TOTAL PARKS &RECREATION 89.200.00 49,963.00 39,237.00 56.010% CIVIC CENTER Developer fees 127,600.00 66,271.76 61,328.24 51.940% Interest 0.00 0.00 0.00 0.000% Transferin 2,990,000.00 0.00 2,990,000.00 0.000% TOTAL CIVIC CENTER 3,117,600.00 66,271.76 3,051,328.24 2,130% LIBRARY DEVELOPMENT Developer fees 35,500.00 20,235.00 15,265.00 57.000% Interest 0.00 0.00 0.00 0.000% Transfer in 0.00 0.00 0.00 0.000% TOTAL LIBRARY DEVELOPMENT 35,500.00 20,235.00 15,265.00 57.000°% COMMUNITY CENTER Developer fees 7,400.00 4,218.00 3,182.00 57.000% Interest 4,200.00 2,087.17 2,112.83 49.690°% TOTAL COMMUNITY CENTER 11,600.00 6,305.17 5,294.83 54.350% 1,14, 0353 8 CITY OF LA QUINTA ALL OTHER FUNDS REVENUE DETAIL 07101 /2010 - 02/28/2011 ADJUSTED REMAINING % BUDGET RECEIVED BUDGET RECEIVED CAPITAL IMPROVEMENT FUND: CVAG CVWD County of Riverside Surface Transportation Funding City of Indio DSUSD IID RCTC Vista Dunes Housing LLP SB821-Bicycle Path Grant State of California APP Contribution Developer Agreement Funding Litigation Settlements Transfers in From Other Funds TOTAL CIP REVENUE 904420 EQUIPMENT REPLACEMENT FUND: Equipment Charges Capital Contribution Sale of Fixed Asset Insurance Recoveries Interest Transfers In TOTAL EQUIPMENT REPLACEMENT INFORMATION TECHNOLOGY FUND 1,920,627.00 300,308.59 1,620,318.41 15.640% 0.00 0.00 0.00 0.000% 163,206.00 102,010.60 61,195.40 62.500% 9,643,637.00 24,388.69 9,619,248.31 0.250% 0.00 0.00 0.00 0.000% 0.00 0.00 0.00 0.000% 160,160.00 146,879.46 13,280.54 91.710% 0.00 0.00 0.00 0.000% 0.00 0.00 0.00 0.000% 87,300.00 0.00 87,300.00 0.000% 0.00 0.00 0.00 0.000% 0.00 0.00 0.00 0.000% 578,075.00 46,000.00 532,075.00 7.960% 0.00 0.00 0.00 0,000% 64,143,711.00 7,383,684.21 56,760,026.79 11,510% 76,696,716.00 8,003,271.55 68,693,444.45 189.570% 27,776.00 27,776.00 0.00 100.000% 0.00 0.00 0.00 0.000% 0.00 0.00 0.00 0.000% 0.00 0.00 0.00 0,000% 6,600.00 3,089.77 3,510.23 46.810% 0.00 0.00 0.00 0.000% 34,376.00 30,865.77 3,510.23 89.790% Charges for services 2,295.00 2,295.00 0.00 100.000% Capital Contribution 0.00 0.00 0.00 0.000% Sale of Fixed Asset 0.00 0.00 0.00 0.000% Interest 4,000.00 1,967.97 2,032.03 49.200% Transfers In 0.00 0.00 0.00 0.000% TOTAL INFORMATION TECHNOLOGY 6,295.00 4,262.97 2,032.03 67,720% PARK EQUIPMENT & FACILITY Charges for services Interest Capital Contributions TOTAL PARK EQUIPMENT & FAC SILVERROCK GOLF Green fees Range fees Resident Card Bob Hope Chrysler Classic Merchandise Food & Beverage Allocated Interest Income Transfers In TOTAL SILVERROCK GOLF SILVERROCK GOLF RESERVE Interest Transfers In TOTAL SILVERROCK GOLF LQ PUBLIC SAFETY OFFICER FUND Transfer In Interest TOTAL LQ PUBLIC SAFETY 0.00 0.00 0.00 0,000% 2,600.00 1,338.41 1,261.59 51.480% 0.00 0.00 0.00 0.000% 2,600.00 1,338.41 1,261.59 51.480% 3,111,458.00 1,590,715.33 1,520,742.67 51.120% 117,656.00 53,684.00 63,972.00 45.630% 105,000.00 58,400.00 46,600.00 56.620% 0.00 0.00 0.00 0.000% 306,493.00 171,070.82 135,422.18 55.820% 12,000.00 0.00 12,000.00 0.000% 0.00 0.00 0.00 0.000% 0.00 0.00 0.00 0.000% 3,652,607.00 1,873,870.15 1,778,736.85 51.300% 1,200.00 539.29 660.71 44.940% 62,229.00 0.00 62,229.00 0.000% 63,429.00 539.29 62,889.71 0.850% 2,000.00 2,000.00 0.00 100.000% 100.00 44.41 55.59 44.410% 2,100.00 2,044.41 55.59 97.350% 0 14%. j 5 9 s 07/0112010 - 02128/2011 CITY OF LA QUINTA ADJUSTED REMAINING % ALL OTHER FUNDS REVENUE DETAIL BUDGET RECEIVED BUDGET RECEIVED STREET FACILITY Developer fees 12,800.00 7,588.89 5,211.11 59.290% Interest 0.00 0.00 0.00 0.000% Transferin 2,917.00 1,144.02 1,772.98 39.220% TOTAL STREET FACILITY 15,717.00 8,732.91 6,984.09 55.560% PARK FACILITY Developer fees 2,200.00 1,254.00 946.00 57.000% Interest 0.00 0.06 (0.06) 0.000% TOTAL PARK FACILITY 2,200.00 1,254.06 945.94 57.000% FIRE PROTECTION FACILITY Developer fees 20,800.00 13,364.16 7,435.84 64.250% Interest 0.00 0.00 0.00 0.000% TOTAL FIRE PROTECTION FACILITY 20,800.00 13,364.16 7,435.84 64.250% ARTS IN PUBLIC PLACES REVENUE: Arts in Public Places 30,825.00 36,060.92 (5,235.92) 116.990% Arts in Public Places Credits Applied 0.00 0.00 0.00 0.000% Insurance Recoveries 0.00 0.00 0.00 0.000% Donations 0.00 0.00 0.00 0.000% Interest 3,100.00 1,551.32 1,548.68 50.040% TOTAL ARTS IN PUBLIC PLACES 33,925.00 37,612.24 (3,687.24) 110.870% INTEREST ALLOCATION FUND: Pooled Cash Allocated Interest 0.00 46,456.29 (46,456.29) 0.000% Transfer In 0.00 0.00 0.00 0.000% TOTAL INTEREST ALLOCATION 0.00 46,456.29 (46,456.29) 0.000% 1, 13. 0360 10 CITY OF LA QUINTA ADJUSTED OV28/11 REMAINING OTHER CITY FUNDS BUDGET EXPENDITURES ENCUMBERED BUDGET EXPENDITURE SUMMARY LIBRARY FUND 0.00 000 0,00 000 INTEREST ADVANCE 000 0.00 0.00 0.00 CAPITAL PURCHASES 1723,83800 9]5,%4.84 0,00 748.273.16 REIMBURSE GENERAL FUND 0.00 0.00 0GO TRANSFER OUT TOTAL LIBRARY FUND 2 GAS TAX 000 0.00 000 0.00 CONTRACT SERVICES 1018, 184.00 677,45500 0.00 338,72800 REIMBURSE GENERAL FUND 47451800 49439588 0050 198]Z88 TRANSFER OUT TOTAL GAS TAX FUND- b76Ebb 1�5T 5,�0 318.8501 FEDERAL ASSISTANCE FUND: 43108700 000 431087,00 TRANSFER OUT TOTAL FEDERAL ASSISTANCE FUND 4 1 1, JAG GRANT TOTAL JAG GRANT 2064300 15092.89 0.00 5550.11 TRANSFER OUT SLESF(COPS) TRANSFER OUT TOTAL SLESF(COPS) FUND 100,09000 0.00 0.00 10c09000 INDIAN GAMING FUND 0,00 000 000 0.00 TRANSFER OUT TOTAL INDIAN GAMING FUND 606 06 00 LIGHTING & LANDSCAPING ASSESSMENT DIST: 965,300.00 643,536 00 0.00 321 ]64.00 400 REIMBURSE GENERAL FUND 000 0.00 0.00 TRANSFER OUT TOTAL LTG/LANDSCAPING FUND pq 1, RCTC 000 0.00 000 0.00 TRANSFER OUT TOTAL RCTC DEVELOPMENT AGREEMENT FUND 0.00 0,00 000 0.00 CONSTRUCTION 0.00 0.00 0.00 0 0 REIMBURSE GENERAL FUND 0.00 0.00 0.00 000 TRANSFER OUT TOTAL DEV AGREEMENT FUND u0 CRIME VIOLENT TASK FORCE o 0.00 0.00 0.00 OPERATING EXPENSES C00o 0. 0.00 0.00 0.00 TRANSFER OUT TOTAL CRIME VIOLENT TASK FORCE AS 939 223, 100A0 7894248 2,D00.00 - 142,157,52 OPERATING EXPENSES 69209,00 46:1"00 0.00 23,065.00 REIMBURSE GENERAL FUND 19427900 8233.69 0.00 188,045.31 TRANSFER OUT TOTAL AS 939 4 .1 1, QUIMBY FUND: 000 0.00 0,00 0.00 FEASIBILITY STUDY 0.00 coo Coo 000 REIMBURSE DEVELOPER FEES 10,14227000 1,607206]6 100 8.535,063.24 TRANSFER OUT TOTALOUIMBV 1014 0. 4 INFRASTRUCTURE FUND p00 0.00 0,00 0.00 CONSTRUCTION 000 000 0.00 coo REIMBURSE GENERAL FUND 393, 074.00 000 0.00 393.07400 TRANSFER OUT TOTAL INFRASTRUCTURE PROPOSITION 1B - SB 1266 TOTAL PROPOSITION 1 B FUND 577455 00 142 458.50 0.00 434,9 TRANSFER OUT SOUTH COAST AIR QUALITY FUND 48,90000 19,33258 0DD 29,56742 PROJECT EXPENDITURES 259206.00 239,956.43 0.00 19,249.5] TRANSFER OUT TOTAL SOUTH COAST AIR QUALITY 1 CMAQ 0,00 O.00 000 0,00 PROJECT EXPENDITURES 1,00] 10500 21 330,68 0,00 985,774.32 TRANSFER OUT TOTAL CMAQ 0 1 13 TRANSPORTATION 0,00 000 coo 000 PROGRAM COSTS 000 0,00 0,00 0.00 CONTRIBUTION 4395,436.00 703,22432 0.00 369221168 TRANSFER OUT TOTAL TRANSPORTATION 4 4. PARKS & RECREATION 9, 8000D 3.76391 000 6,036.09 INTEREST ON ADVANCE 0.00 0.00 Coo 0.00 TRANSFER OUT TOTAL PARKS & RECREATION 980510 CIVIC CENTER 000 2,042.10 0,00 (2,042.10) SERVICES 60,100.00 25499,23 0,00 3 ,600.77 INTEREST ON ADVANCE 201,758.00 134,504.00 0.00 67,254.00 REIMBURSE GENERAL FUND 000 000 000 000 TRANSFER OUT TOTAL CIVIC CENTER 1 16 4 LIBRARY DEVELOPMENT 0.00 000 000 Coo PROGRAM COSTS 12,700.00 5,148,59 0.00 7, 55141 INTEREST ON ADVANCE p,pp 0.00 0.10 0.00 TRANSFER OUT TOTAL LIBRARY DEVELOPMENT 1 14. IA 0161 11 CITY OF LA QUINTA OTHER CITY FUNDS EXPENDITURE SUMMARY ADJUSTED 02128111 REMAINING BUDGET EXPENDITURES ENCUMBERED BUDGET COMMUNITY CENTER PROGRAM COSTS TRANSFER OUT 000 STREET FACILITY 000 0.00 0.00 PROGRAM COSTS 13,100.00 3,82998 0.00 270,02 INTEREST ON ADVANCE INTER 641 411,00 105,810.61 0 00 5,59239 335,592.39 TRANSFER OUT TOTAL STREET FACILITY 0 4 PARK FACILITY coo 0.00 0,00 0 W PROGRAM COSTS 2B700 1, 144.02 0.00 1,772.98 TRANSFER OUT TOTAL PARK FACILITY 4 FIRE PROTECTION 6,000.00 2,483.62 0,00 3,516.38 INTEREST ON ADVANCE 000 000 0.00 000 TRANSFER OUT TOTAL FIRE PROTECTION OIF 60000 q ART IN PUBLIC PLACES FUND 24,700.00 8,46000 0,00 14,473.63 MAINTENANCE EXPENSES-APP 4, 0.00 OPERATING EXPENSES-APP 500.00 251,500.00 926.37 50,929.]5 0.00 0,57025 20g5]0.25 ART PURCHASES ART 200,000.00 000 000 20000000 RASE OUT TOTAL ART IN PUBLIC PLACES 9 .1 CAPITAL IMPROVEMENT FUND 75910021.00 7901.1580512.1350 92,62275 67,792,916 20 PROJECT EXPENDITURES 910,02000 102,11000 0.00 807,90Z5O PROJECT REIMBURSEMENTS TO GEN FUND 000 0.00 0.00 0.00 TRANSFER OUT TOTAL CAPITAL IMPROVEMENT 8 1. EQUIPMENT REPLACEMENT FUND 12],310.00 000 329,252.25 OPERATING EXPENSES 175,08400 1]5,08000 0,00 0.00 1IS DEPRECIATION EXPENSES 0.00 5,200.00 0.00 2W.00 (5,200,00) CAPITAL PURCHASES 0.00 000 TRANSFER OUT TOTAL EQUIPMENT REPLACEMENT FUND 700 1 67 INFORMATION TECHNOLOGY FUND 394,525 207,004 23 32,WS06 115,145.71 OPERATING EXPENSES 97700 94,97]00 0.00 0.00 DEPRECIATION EXPENSES 81250.00 45,556.54 57024 40,12000 40,14022 CAPITAL PURCHASES TOTAL INFORMATION TECHNOLOGY 0 PARK MAINTENANCE FACILITYOPE S9,00000 19,00525 000 39,991.75 44139100 0,00 0,00 441, 39100 DEPRECIATIONSNG PEN DEPRECIATION EXPENSES 0.00 0.00 0.00 0.00 CAPITAL PURCHASES 60424.00 4,372 fib 0.00 5605t36 TRANSFER OUT TOTAL PARK MAINTENANCE FAC SILVERROCK GOLF 3,761, 37200 2,411,383. 16 0.00 1,349,988,84 OPERATING EXPENSES 62,221,10 0.00 0.00 62.22900 TRANSFER OUT TOTAL SILVERROCK GOLF 2 4 TTS6714 1' SILVERROCK GOLF RESERVE 000 0.00 0.00 0.00 TRANSFER OUT TOTAL SILVERROCK GOLF RESERVE LA QUINTA PUBLIC SAFETY CONTRIBUTIONS TOTAL LA QUINTA PUBLIC SAFETY 200000 0.00 0.00 2.000.00 441). 0062 12 City of La Quinta Quarterly Investment Summary March 31, 2011 City Investments WE Footnote 1 T-Bill T-NOTE T-NOTE Union Bank Commercial Paper GE Capital Medium Term Note TLGP Morgan Stanley TLGP FirstBank CD One West Bank CD Rabobank CD Palm Desert Nat'l Bank CD 12/15/2011 12/15/2011 5/19/2011 11/30/2012 10/31/2011 1013112011 6/16/2011 12/9/2011 9/22/2011 8/9/2011 6/16/2011 6/17/2011 6/23/2011 Par Value 20,000,000 17,000,000 13,000,000 30,000,000 2,000,000 10,000,000 5,000,000 5,000,000 5,000,000 240,000 244,000 245,000 240,000 19,984,000 16,975,350 12,999,090 29,936,700 2,049,404 10,005,916 4,996,410 5,093,200 5,043,150 241,149 241,857 246,561 241,817 Less % Attributable to RDA Less % Attributable to Housing Authority Less %Attributable to Financing Authority Total City Pooled Investments Footnote 1 - The Quarterly Investment Report does not include the City of La Quinta checking account, sweep account , Housing Program account or petty cash account. Market Value is based upon most current information available. I certify that this report accurately reflects all pooled investments and is in compliance with the California Government Code; and is in conformity with the City Investment Policy. As Treasurer of the City of La Quinta, I hereby certify that sufficient investment liquidity and anticipated revenues are available to meet the pools expenditure requirements for the next six months. The City of La Quinta used the Bureau of the Public Debt, U.S. Bank Monthly Statement and the Bank of New York Mon hly Custodian Report to determine the fair market value of investments at month end. John M. Falconer Date Finance DI rector/Treasurer i Amortized Cost 19,983,000 16,964,934 12,996,832 29,945,714 2,000,321 10,009,301 4,997,150 5,056,933 5,016,159 240,000 244,000 245,000 240,000 (46,792,655) (542,231) (2,072,306) $62,267,010 T'df 4 4 a" COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Adoption of City of La Quinta 201 1-2012 Economic Development Plan RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Adopt the City of La Quinta 201 1-2012 Economic Development Plan. FISCAL IMPLICATIONS: None for this action. The implementation activities associated with the 2011-2012 Economic Development Plan will be included within the Fiscal Year 201 1-2012 Budget. lei off ra:i94:ZarVAILy, W4W-AI[Qii&I The City Charter and its principles of "home rule" allow the City sufficient flexibility to undertake economic development activities. The Charter allows the City "to utilize revenues from the General Fund to encourage, support, and promote economic development." BACKGROUND AND OVERVIEW: On March 15, 2011, the City Council considered the Draft 2011-2012 Economic Development Plan via a study session. Seven economic development policies and nine key goals/action items were presented to Council for consideration. As noted in the study session, because of the State's proposal to end redevelopment in California and the adverse effect it may have on the City, staff has taken a conservative approach to the 201 1-2012 Economic Development Plan. Rather than proposing new initiatives, staff is recommending continuing with the activities that have proven successful. The Council concurred with this approach; therefore, no major changes were made to the Economic Development Plan. 0-64 The final documents that comprise the City's Economic Development Plan for Fiscal Year 2011-2012 include the Economic Development Plan cover, Economic Development Implementation Plan, Economic Development Plan "Policy" document, City/Redevelopment-owned property map, and the results of a Business Survey conducted by the Coachella Valley Economic Partnership (La Quinta results only) Attachment 1. Once adopted, the City's Economic Development Plan will be one of various components that comprise the City's overall strategic planning effort. The other strategic planning components include: Annual Financial Management Review, Five - Year Capital Improvement Program, Annual Marketing Plan, Five -Year Resource Allocation Plan, and Annual City/Agency Budget. Staff will make the request to fund this plan as part of the preliminary Fiscal Year 201 1-2012 budget process. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1 . Adopt the City of La Quinta 201 1-2012 Economic Development Plan; or 2. Do not adopt the City of La Quinta 201 1-2012 Economic Development Plan; or 3. Provide staff with alternative direction. Respectful4ty-s-bbmitted, Douglas R. Oans Assistant City Manager —Development Services Approved for submission by: Thomas P. Genovese, City Manager Attachment: 1. Economic Development Plan for Fiscal Year 2011-2012 p" 65 ATTACHMENT — GEM ofMh DESERT — _--._ F66 ECONOMIC DEVELOPMENT IMPLEMENTATION The City of La Quints is embarking on its sixteenth year of economic development �JJ initiatives, which are derived from the annual Economic Development Plan ("ED Plan"). This Economic Development Implementation Plan offers an implementation strategy to fulfill the key goals and actions of the ED Plan, and outlines the steps being taken to ensure the economic vitality of the City of La Quinta. III' The ED Plan's comprehensive policy document, first adopted in 1996, is attached for reference and details the City's vision and direction for its economic development activities. lZ The larger policy document also provides more detail on the City's rationale for an economic development plan; lists ED Plan participants; outlines Lo Quinta's resources, opportunities, liabilities, and needs; lays out a business plan and mission statement; and summarizes accomplishments for FY 2010-201 1. The purpose of the first section of the ED Plan, titled Economic Development Implementation Plan, is to achieve a greater understanding of the specific initiatives the City is undertaking to support and stimulate economic development in La Quints. This document contains the following sections: 1) La Quints Community Profile; 2) Economic Development Guiding Policies; 3) Key Goals & Action Items; and 4) Top Priorities of Annual Financial Management Review. ' ECONOMIC DEVELOPMENT PLAN 2011 - 2012 COMMUNITY To better understand La Quinta's economic development initiatives, it is important to be familiar with the community's profile — the "facts and figures" that would lead potential retailers, restaurants, hotels, and businesses to locate here: • Population per the 2010 Census — 37,467 • Population projections: 2015 — 51,000; 2020 — 55,300; 2025 — 58,100 • Seasonal population in 2010 — 17,750 • Median age is 36.4 • Median household income is $74,736 • Total number of households in Lo Quinta in 2010 — 15,365 • Total number of housing units in 2010 — 21,491 (19,309 SFD - 90%) • Median new and resale home price in 2010 — $284,000 • Retail sales in FY 2009/10 reached $569,609 million • Total taxable sales in FY 2009/10 were $621,295 million • La Quinta has an assessed valuation of $1 1.8 billion (FY 2009) • Permit valuation: $45.9 million — 2010; $44.6 million — 2009 • Home to the nationally -acclaimed Arnold Palmer Classic Course at SilverRock Resort • Home to renown special events including the Bob Hope Classic, La Quinta Arts Festival, and Desert Classic Concours d'Elegance • 2009 total hotel room sales for the City of La Quinta amounted to $35.3 million • 2010 traffic counts (2-way, average daily trips): Washington Street @ Highway 11 1 — 66,742; Washington Street @ Fred Waring Drive — 70,030; Highway 111 @ Adams Street — 45,072; Jefferson Street @ Highway 1 1 1 — 65,149 • Characteristics of La Quinta's 5, 10, and 15 mile market area from Highway 1 1 1 / Adams Street 2010 estimates: 5 Mile 10 Mile 15 Mile Population Households i'61;885 178,052 >286,610, 97020 36015$1 1r23;972 _ l Median Age 35.2 33>72 36 5,4 ;ram=d Avg HH Income $84,744 $82,858' $80,167 y 1 ECONOMIC DEVELOPMENT PLAN I .2011 - 2012 I GUIDING The City of La Quinta's guiding policies for economic development are spelled out below, and remain generally the same as in previous years. Policy #1 La Quinta Businesses Promote and support existing La Quinta businesses through a variety of economic development efforts, advertising partnerships, marketing programs, business outreach, and special events. Policy #3 La Quinta Village Explore strategies to attract more residents and visitors to the La Quinta Village (downtown area) to support the existing businesses located a distance from the main commercial corridor. Policy #5 Affordable Housing Develop affordable housing to ensure housing opportunities exist to support current businesses and future business expansion efforts. Policy #7 Green and Sustainable Promote and support Green and Sustainable La Quinta program for conservation and cost savings purposes for Lo Quinta businesses, its residents, and the general welfare of the City. Policy #2 Diverse Economic Base Encourage the development of commercial, office, theater, and light industrial uses within the City (in particular, Highway 111 and Washington Street corridors) to diversify the community's economic base. Policy #4 Hotel Development Support expansion of and additional resort/hospitality development and improve competitiveness in the marketplace; and support future development programs for the boutique and resort hotels at SilverRock Resort. Policy #6 Recreation and Culture Provide recreational and cultural opportunities, and promote La Quinta's quality of life amenities to encourage growth, development, and tourism — all of which support the local economy. ECONOMIC DEVELOPMENT PLAN 2011 - 2012 1., 0^69 KEY GOALS & ACTION The following key goals have been identified as top priorities for supporting and stimulating economic development in the City of La Quinta. Each key goal is accompanied by specific actions that will be undertaken in the near future and in years to come. Action items are broken into Immediate Actions (1 st year, or FY 201 1- 2012), Mid-term Efforts (2nd-4th years), and Long-range Strategy (5th year and beyond). 1. Support Local Businesses (supports Policy #1) Immediate Actions: • Continue implementation of the City's Co-op Marketing Program allowing local businesses to purchase advertising at a reduced rate by partnering with the City and other La Quinta businesses. v, • Continue an out -of -market (Southern California) advertising campaign to attract more visitors to shop/dine, play/stay, and invest in Lo Quinta via online marketing and selected print publications; continue to work with the CVA on regional cooperative advertising. • Maintain a strong business presence on www.PlayinLoQuinto.com (the City's tourism website) via the new, redesigned site which highlights "Hotels," "Restaurants," "Shopping," and "Special Events." • Redesign the La Quinta Shopping Map and update it regularly, and implement a wide promotion and distribution strategy. • Continue to conduct personal visits to local business establishments. • Continue to work with the Chamber of Commerce to support La Quinta businesses and promote Chamber events. • Meet with businesses and property managers to address immediate challenges and concerns. • Explore the possibility of periodic online business surveys to stay connected with merchants and receive regular feedback. Mid-term Efforts: • Evaluate streamlined permitting and other means of business assistance. • Work on viable solutions commensurate to merchant and City resources. Long-range Strategy: • Maintain focus on long-term economic development strategies that provide general fund revenues, improve infrastructure and improve the quality of life. • Maintain ongoing dialogue with businesses and property managers. ECONOMIC DEVELOPMENT PLAN 2011 - 2012 D. r0 KEY GOALS & ACTION 2. Promote and Support Auto Dealerships (supports Policy #1) Immediate Actions: • Work on retention and expansion of current auto dealerships. • Aggressively market La Quinta to new auto dealerships. • Support the auto dealerships and continue to market La Quinta as a car buying destination via the City's Co-op Marketing Program. • Research new funding sources for incentive program(s). Mid-term Efforts: • Support dealership expansion efforts. • Aggressively market La Quinta to new auto dealerships. • Locate new dealerships to the City of La Quinta. Long-range Strategy: • Locate new dealerships to the City of Lo Quinta. 3. Study Future Retail and Consumer Trends (supports Policy #2) Immediate Actions: • Contact businesses that are a good fit for La Quinta to encourage them to do business here via economic development information packets, promoting Lo Quinta's quality of life and strong consumer market; personal phone calls, meetings with staff. • Study retail and consumer trends based on first-hand experiences of experts in the field. Prepare a report that includes facts, figures, and trends the City can share with commercial brokers, property managers, and prospective businesses. Mid-term Efforts: • Consider sharing report with La Quinta business stakeholders during a breakfast event. • Based on information from the retail and consumer trends report, contact businesses fit for La Quinta and invite them to do business in this thriving community. • Work closely with CVEP to implement the Economic Blueprint's goal of regional economic diversification. Long-range Strategy: • Update retail and consumer trends report to keep up with changing economy. -4 ECONOMIC DEVELOPMENT PLAN 2011 - 2012 0:11 KEY GOALS & ACTION 4. Encourage Reuse of Vacant Buildings (supports Policy #2) Immediate Actions: • Identify and recruit tenants for vacant big boxes (e.g., Circuit City and Sam's Club buildings). • Meet with commercial brokers and support their efforts to find new tenants. Mid-term Efforts: • Use data gathered from retail trend and consumer analysis to identify optimum/desired uses for future big box vacancies. Long-range Strategy: • Review general plan policies for long term commercial opportunities. 5. Create Critical Mass in the La Quints Village (supports Policy #3) Immediate Actions: • Encourage and support special events in and around the Village such as the Bob Hope Classic, Chamber car show, Desert Classic Concours d'Elegance, Taste of La Quinta, La Quinta Arts Festival, Art Under the Umbrellas, Blues & Brews, Certified Farmers Market, Moonlight Movies, and other City and non- profit sponsored events. • Update parking requirements for retail, office, and residential land uses. • Purchase properties in Village to facilitate improved public access. Mid-term Efforts: • Explore mixed -use development and encourage office space leasing via the City's General Plan, in an effort to increase foot traffic for Village merchants. Long-range Strategy: • Successful development of pedestrian -friendly infrastructure. • Monitor retail, residential, consumer, and parking trends. ECONOMIC DEVELOPMENT PLAN 2011 - 2012 On 12 KEY GOALS & ACTION 6. Support Hotel and SilverRock Development (supports Policy #4) Immediate Actions: • Work with La Quints Resort & Club on expansion project in an effort to maintain the resort's competitiveness in the market. • Coordinate with Coachella Valley Water District on relocation of the canal at SilverRock Resort site. • Respond to inquiries from potential developers regarding hotel opportunities at SilverRock Resort and throughout the City. Mid-term Efforts: ' /� • Construct permanent clubhouse for Arnold Palmer Classic Course at SilverRock. VeJ • Develop first hotel at SilverRock Resort. Long-range Strategy: • Complete design and construct second golf course at SilverRock Resort; continue to plan and develop retail and other components. • Continue to explore additional hotel development opportunities throughout the City. 7. Build Affordable Housing and Meet State Mandates (supports Policy #5) Immediate Actions: • Implement development plans for construction of 26 new units and rehabilitation of existing 72 units at Washington Street Apartments. Work with developer to implement a housing program for the vacant parcel located adjacent to Washington Street Apartments. • Monitor DDA with Coral Mountain Partners for construction of the Coral Mountain multi- family complex located near Highway 111 and Dune Palms Road. • Complete DDA with selected developer to design and implement.on affordable housing complex at Dune Palms and Westward Ho. • Work with Housing Authority to refine programs for Authority -owned housing properties. Mid-term Efforts: • Construct above -listed projects and recruit/work with development partners on new projects. • Acquire additional sites for future affordable housing projects. Long-range Strategy: • Continue to expand housing options (affordable, special needs, live/work, sustainable). • Acquire additional sites for future affordable housing projects. ECONOMIC DEVELOPMENT PLAN KEY GOALS & ACTION 8. Market Quality of Life and Recreation/Cultural Amenities (supports Policy #6) Immediate Actions: • Continue to promote La Quinta's quality of life and amenities via the implementation of the City's Marketing Plan and its advertising and public communication components. • Support the Healthy Eating Activity Living (HEAL) campaign via the General Plan Update, new parks and playgrounds, collaboration with non -profits on sports/fitness programs as well as a variety of walking, hiking, biking and other physical activities that promote a healthy lifestyle. • Continue marketing to retirees to help stimulate home sales. Create a "Move to La Quinta" page on the City's tourism website and a link on the City website to tourism. Mid-term Efforts: • Explore advertising in lifestyle and real estate publications. • Monitor marketing trends and state-of-the-art marketing programs. • Research technologies that are targeted at new generation of visitors. Long-range Strategy: • Continue to position La Quinta as a great place to live, play, shop, dine, and visit. 9. Promote and Support Green and Sustainable Program (supports Policy #7) Immediate Actions: • Communicate with local businesses regarding green initiatives, sustainable efforts, and incentive programs that will help them conserve and save. Mid-term Efforts: • Work with utility partners (e.g., Imperial Irrigation District, Coachella Valley Water District, The Gas Company) to ensure competitive pricing in La Quinta as compared to other Valley cities serviced by different providers. Long-range Strategy: • Continue to evaluate successful green and sustainable programs that provide cost savings to local businesses, residents, and the City. • Continue to develop partnerships with the various utilities to provide financial incentives, subsidies, products, and programs which are specific to La Quinta businesses and residents. � e s�r jr r ECONOMIC DEVELOPMENT PLAN 2011 - 2012 TOP PRIORITIES OF ANNUAL FINANCIAL MANAGEMENT 70 For purposes of review, below are the goals recently adopted within the 2010 - 2011 City's Annual Financial Management Review. Goals 3 and 4 below support the efforts and priorities of the 201 1- 2012 Economic Development Plan. Ilfl lul IIJI 1. Meet community expectations with diminishing revenues 2. Continue to maintain the existing infrastructure 0 3. Maintain and improve upon City's market share of retail, tourism and service industries M4. Facilitate promotion and technical information to support local businesses 5. Continue to perform due diligence and take proactive stance to fight Governor's proposal to abolish Redevelopment Agencies ECONOMIC DEVELOPMENT PLAN 2011 - 2012 i Contents of Economic Development Plan "Policy" Document This document is organized as follows: i) Introduction • Rationale for this Economic Development Plan ■ Participants in Formulating and Implementing this Plan 2) Resources, Opportunities, Needs, and Liabilities • Key Assets • Liabilities • Projected City/Redevelopment Agency Financial Resources for Economic Development ■ City/Agency Real Estate Assets ■ Infrastructure Needs/City Capital Improvement Program a) Business Plan • Mission Statement • Implementation Policies ■ Fiscal Year 2010-2011 Accomplishments a) Business Support & Development b) Highway 111 Corridor c) Washington Street Corridor d) La Quinta Village e) Resort/Hospitality Opportunities 0 Recreation Opportunities g) Housing h) Green and Sustainable La Quinta Program Exhibit A: City/Agency/Housing Authority Real Estate Assets Map Exhibit B: Business Visitation Survey Results -La Quinta 0)76 Section I 2011-2012 Economic Development Plan Strategies and Tasks to Stimulate Private Investment in La Quinta The City of La Quinta is embarking on the sixteenth year of implementing economic development initiatives. To date, the City's and Redevelopment Agency's efforts have yielded major retailers, upscale restaurants, hotels, a golf venue at SilverRock Resort as well as green and sustainable workforce housing developments. This year presents several challenges. The down economy has reduced the City's revenues due to decreased residential and commercial development, decreased property tax values, and a slowdown in tourism and spending. In addition, the State of California is poised to abolish all redevelopment agencies in the State. Redevelopment has been a major factor in the City's growth and development, taking La Quinta from a small town, prone to flooding and lacking infrastructure, to a major economic force in the Coachella Valley. These factors make economic development efforts that much more important; however, with limited resources, the City must be very focused. Therefore, this year's Economic Development Plan does not include many new initiatives; it instead continues with activities that have proven successful. However, even with these challenges, the City's economic development efforts will continue to maintain a balance between securing quality revenue -generating development while preserving La Quinta's cultural and natural features. The goal is to insure that the short-term gain realized from achieving revenue -generating uses does not compromise the long-term necessity for quality development that withstands the test of time. Thus, the economic development initiatives presented in this Economic Development Plan center on attracting and enhancing revenue -generating enterprises, supporting the local economy, and promoting tourism while protecting open space and environmental attributes as well as expanding recreation opportunities for La Quinta's residents. This Plan outlines a vision and direction for the City's economic development activities. It presents the mission statement, implementation policies, projected resources, and business plan the City and the La Quinta Redevelopment Agency will follow to sustain a comprehensive economic development effort. CITY OF LA QUINTA O April 19, 2011 ECONOMIC DEVELOPMENT PLAN INTRODUCTION PAGE 2 Rationale for this Economic Development Plan The economic development process is the deliberate, judicious intervention in the local economy to foster a business climate that facilitates private investment. This process is neither exact nor fully predictable, and is more of an art than a science. Economic development is a dynamic, ever changing endeavor because it must constantly accommodate the evolving characteristics of the market place. Thus, the City annually reviews and updates this Plan to ensure it reflects and responds to current market conditions, and equally as important, the community's collective vision as to how to accommodate these conditions. Finally, this enterprise parallels the activities associated with building a city; thus this Plan embraces, as outlined in the Economic Development Implementation Plan, immediate actions, mid-term efforts, and a long-term strategy. In 1996, the City of La Quinta adopted the first Economic Development Plan that defined the community's desires for future development, and presented a business plan to guide the City's economic development initiatives. The City then embarked on a planned, pro -active economic development effort for the following reasons: Capture Forecasted Growth for the Coachella Valley A variety of market studies forecast continued growth for the Coachella Valley during the next decade, once the economy improves. Additionally, there is value in marketing La Quinta to "Baby Boomers" as an ideal place to retire, which could stimulate home sales, retail sales, the need for medical services, etc. Despite a slow economy, La Quinta will do all it can to support existing, expanding, and new business opportunities. Due to its prime location and the expanding population of the Eastern Central Coachella Valley, the City is positioned to capture a sizable portion of the projected commercial, resort, and residential development through the business expansion and recruitment efforts delineated in this Economic Development Plan. Balance Municipal Revenue and Expenditure Needs The City's primary revenue resources are transient occupancy and sales taxes. During Fiscal Year 2010-2011 these revenues comprised 28% of the City's total General Fund revenue; sales tax revenue generated approximately 17% of total General Fund revenue and transient occupancy tax revenue will generate approximately 11 % of the total General Fund revenue. Secondary resources are license/permit fees and property tax revenue. A majority of the City's property tax revenue, however, is allocated to the Redevelopment Agency. Approximately 80% of the land area within the City's corporate boundaries is in one of two redevelopment project areas. Combined, these resources maintain existing and CITY OF LA QUINTA Q' 7 8 April 19, 2011 ECONOMIC DEVELOPMENT PLAN INTRODUCTION PAGE 3 provide new services to La Quinta's residential and business communities. Resort and commercial development generates a majority of the municipal revenues received by the City. The City and Redevelopment Agency must strive to maintain/support for two -three years and enlarge the City's revenue base in order to maintain the quality of municipal services La Quinta residents expect. Judiciously Allocate Municipal Resources Like any business, the City continually balances the allocation of financial resources between service costs and infrastructure investment. To prudently accomplish this task, the City annually implements a comprehensive strategic planning effort that meshes this Economic Development Plan with a Five -Year Municipal Service Resource Allocation Plan, a Five -Year Capital Improvement Program, Annual City/Agency Financial Management Strategies, and Annual City/Agency Operating Budgets. This strategic planning effort is focused on and designed to insure that the City has financial resources to provide future municipal services, and address future infrastructure and public facility needs. This Economic Development Plan identifies economic development investment strategies and initiatives that are subsequently funded through the annual City/Redevelopment Agency Capital and Operations budgets. Participants in Formulating and Implementing this Plan This Economic Development Plan delineates initiatives that implement the community's vision of its desired destiny. It outlines policies, activities, and resources the City will pledge to guide and/or influence future development decisions. Thus, the primary participants in formulating and implementing this Plan are the residential and business communities that define La Quinta. When first developed, the City sponsored a series of community forums to solicit community input. The City continues to consult with these communities during the Plan's implementation phases. For example, the City has held public meetings on the 2035 General Plan Update. The General Plan Update will include an economic development chapter. The City also continued a successful Cooperative Marketing Program to assist businesses with advertising, and reached out to businesses via this program and personal site visits. The City Council governs the formulation and implementation of this Plan. Council Members bring forth constituent ideas and needs, and assist with defining the issues, mission, strategy, and overall policies that guide implementation efforts. Finally, City staff plays a strategic role in this endeavor. Staff is charged CITY OF LA QUINTA 0179 April 19, 2011 ECONOMIC DEVELOPMENT PLAN INTRODUCTION PAGE 4 with the responsibility to interface with existing and monitor achieved results. monitor market conditions, solicit community input, new users, implement programs and initiatives, and CITY OF LA QUINTA 0,380 April 19, 2011 ECONOMIC DEVELOPMENT PLAN Section 2011-2012 Economic Development Plan Strategies and Tasks to Stimulate Private Investment in La Quinta This section presents the background data that was used in developing the Business Plan presented in Section 3; it includes a summary of key assets, presents an overview of projected market demand, delineates projected City/Agency resources, and outlines infrastructure needs. Key Assets Review of the City's physical characteristics and discussions with the residential and business communities identify the following key community assets: • an educated, dedicated, and highly motivated residential and business community that share a long history of working in concert to provide a stable environment that supports economic development efforts; • an international reputation for resort and golf amenities resulting from the La Quinta Resort & Club, PGA West, Rancho La Quinta, The Tradition, The Quarry, The Hideaway, Madison Club, Griffin Ranch, La Quinta Country Club, Andalusia, and SilverRock Resort; • the City hosts renowned golf tournaments such as the Bob Hope Classic, which has helped earn it the title of "America's Ultimate Golfing Destination" by the acclaimed Robb Report; • a significant expansion and new professional and medical office space including all three major medical care providers in the Valley: John F. Kennedy Memorial Hospital, Desert Regional Medical Center, and Eisenhower Medical Center; • the Highway 111 Commercial Corridor features a few prime vacant properties of sufficient size to accommodate development that will serve the Eastern Coachella Valley and will generate significant financial returns for both the City and Agency; CITY OF LA QUINTA 0081 April 19, 2011 ECONOMIC DEVELOPMENT PLAN RESOURCES, OPPORTUNITIES AND MARKET PROFILE PAGE 6 • a market area with one of the highest per capita incomes in the Coachella Valley; • the La Quinta Village, a pedestrian scale commercial center nestled in the Santa Rosa Mountains, that offers a setting unparalleled in the Coachella Valley; • La Quinta's commerce, art, and cultural heritage as represented by the La Quinta Chamber of Commerce, La Quinta Arts Foundation, and La Quinta Historical Society, supporting art and cultural activities that attract patrons from California and the greater southwest; • the 525-acre, City -owned SilverRock Resort golf and resort property, home to the Arnold Palmer Classic Course which Golf Magazine selected as one of the "top ten new golf courses that you can play," and which hosted its fourth Bob Hope Classic in January 2011; • a 20,000 square -foot, state-of-the-art public library and expanded 8,400 square -foot museum which offer educational a nd c ultural resources, and community meeting space; • the Lake Cahuilla Recreation Area which provides water sports, equestrian and other outdoor recreation opportunities; • historically steady residential development and sales activity which generated a significant number of new households to support retail, recreation, and service commercial users; • a highly motivated City workforce that understands the needs of the business community and the need to process required City approvals within a short time frame; and • resources that the City/Agency can dedicate to economic development investment. Liabilities Though the assets far outweigh the liabilities, there are limitations that the City must account for when implementing its economic development initiatives; these include the following: • competition between Coachella Valley communities to provide financial incentives to major developers and users, which significantly influence their location decisions; • competition for golf and resort patrons with other Coachella Valley cities that CITY OF LA QUIMTA U 2 April 19, 2011 ECONOMIC DEVELOPMENT PLAN RESOURCES, OPPORTUNITIES AND MARKET PROFILE PAGE 7 are improving their public golf, amenities in order to attract new, and expand existing, resort and hotel uses; • evolving retailing trends that may render existing retail centers obsolete while potentially decreasing the need for new retail centers; • the downturn in global, national, state, and regional economic conditions, which have had a significant effect on La Quinta's economy; • potential Statewide redevelopment agency abolishment and budget uncertainty in the future; and • if redevelopment is not abolished by the State, expiration of Redevelopment Project Areas 1 and 2 (2034 and 2040, respectively). Projected City/Redevelopment Agency Financial Resources for Economic Development As part of its ongoing resource management effort, the City annually evaluates City/Redevelopment Agency financial resources and identifies those resources that can be pledged to economic development initiatives. During development of the 2011-2012 Fiscal Year Budget staff will specifically identify funds available for economic development initiatives. These funds are basically one-time resources that will most likely not be renewed when expended. City/Agency/Housing Authority Real Estate Assets Since 1983, the City and Redevelopment Agency have accumulated real estate assets as a result of major infrastructure projects or as part of the Agency's affordable housing efforts. In 2009, the La Quinta Housing Authority was established to own and operate the Agency's affordable housing stock, as the Agency cannot hold property for extended periods of time. However, due to the potential State actions, the Redevelopment Agency has transferred most of its property assets to the City and the La Quinta Housing Authority. Exhibit A, in the Appendix of this Plan, presents a map of the real estate assets owned by the City, Redevelopment Agency, or La Quinta Housing Authority. City real estate assets currently available for economic development include SilverRock Resort, the City's holdings located at the top of the Cove, several properties in the La Quinta Village (including a municipal parking lot and property adjoining the La Quinta Community Center and Park), and a number of sites for affordable housing opportunities. Infrastructure Needs/City Capital Improvement Program As part of the annual strategic planning effort, the City conducts a comprehensive review of the community's infrastructure needs. The City then addresses these needs through the Five -Year Capital Improvement Program. This Program CITY OF LAQUINTA 0383 April 19, 2011 ECONOMIC DEVELOPMENT PLAN RESOURCES, OPPORTUNITIES AND MARKET PROFILE PAGE 8 identifies both current year and projected five-year capital improvement needs and resources, and delineates an annual funding schedule for specific infrastructure projects. This Economic Development Plan is integrated with the Capital Improvement Program (CIP) to ensure that the infrastructure impediments to specific economic development projects are addressed, or where possible, economic development project implementation activities mitigate site -specific capital improvement needs. Capital Improvement Projects provide jobs and help the economy. Completion of these projects help ensure the City can accommodate current and future traffic growth; provides adequate facilities to serve residents and visitors; and creates a City that's attractive not only to residents and visitors, but to potential investors as well. Notable CIP projects include: Canal Relocation; 'A' Street Extension (Dune Palms Road to Komar Center); Washington Street Apartment Rehabilitation; Jefferson Street Landscape Improvements; Drainage Improvements at various locations; Adams Street Bridge; Sports Complex Improvements; and yearly repair of sidewalks and handicap ramps. CITY OF LA QUINTA 0184 April 19, 2011 ECONOMIC DEVELOPMENT PLAN Section 2011-2012 Economic Development Plan Strategies and Tasks to Stimulate Private Investment in La Quinta In order to proceed with implementation activities, a business plan is required that presents a mission statement describing the intended outcome the community wishes to achieve, and the overall policies that will guide implementation activities. Specific key goals and action items are detailed in the Economic Development Implementation Plan. Mission Statement The mission statement formulated for this economic development effort is as follows: The mission of the Economic Development effort is to actively support the development and expansion of existing businesses, and to proactively recruit sustainable revenue - generating uses that diversify and expand the City's economic base, offer a variety of products and services, increase employment opportunities, enhance City/Agency fiscal resources, preserve and enhance La Quinta's unique environment, and contribute to the quality of life for La Quinta residents. Implementation Policies The following implementation policies direct the City's Economic Development implementation efforts. They address resource and staffing commitments, annexation strategies, use of City assets, and refinement of City processes. These policies help direct City staff as they pursue implementation initiatives. (Note -references to the Redevelopment Agency were left in the following policies; as of this writing, the outcome of the State's proposal is unknown.) Active Participation in Economic Development The City will actively implement economic development initiatives by committing resources to market development opportunities through direct contact with CITY OF LA QUINTA April 19, 2011 ECONOMIC DEVELOPMENT PLATY 0 t� BUSINESS PLAN PAGE 10 property owners and brokers, commercial and industrial enterprises, resort and lodging operators, developers, and the business community. Financial Resources Commitment The City and Redevelopment Agency will annually dedicate funds to support economic development and infrastructure improvement activities. Business Support & Development Support existing La Quinta businesses through a variety of economic development programs, marketing efforts, and special events. A specific objective will involve attracting more people to the La Quinta Village in an effort to support the businesses located in this section of the City. Economic Base Diversification Emphasis will be placed on pursuing opportunities that will dynamically enhance and diversify La Quinta's economic base to include a balance of retail, recreation, and resort uses. City/Agency Private Project Investment City/Redevelopment Agency financial investment will be primarily limited to underwriting infrastructure and municipal fee costs, obtaining operating and use covenants, and rehabilitating/refurbishing older commercial structures and centers for projects that enhance overall City development and growth. Assisted projects will be considered on a case -by -case basis and must feature enhanced design and landscaping amenities, and enhanced building and site maintenance requirements to insure these amenities are maintained for the life of the development. City/Agency Return on Investment When considering City/Redevelopment Agency investment in commercial, resort or office development projects, the City/Redevelopment Agency will endeavor to achieve a 10% to 15% return on the City/Agency investment by the fifth year of operation. Development generated revenue included in this analysis is sales tax, transient occupancy tax, and property tax revenue; City development permit and impact fee revenue may not be included as development project revenue. Further, City service costs must first be deducted from development generated revenue. The City/Redevelopment Agency investment should be fully repaid within a ten-year period, with every attempt to achieve repayment within a five to eight -year period. CITY OF LA QUINTA V 8 6 April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 11 Private Project Investment - Financial Need For commercial, industrial, office or resort development projects that request City/Redevelopment Agency financial investment, the City/Redevelopment Agency must find that off -site infrastructure improvement costs, municipal fee costs, and/or development or rehabilitation costs are so excessive that the project warrants public investment to underwrite some of these costs in order to generate sufficient returns to attract private investment. Further, if City/Redevelopment Agency financial investment is targeted towards obtaining operating and use covenants, the City/Redevelopment Agency must find that the desired user achieves the City/Agency Return on Investment parameters described above and generates additional employment, retail and/or recreation opportunities for La Quinta residents. Reuse of Vacant Commercial Facilities The City/Redevelopment Agency will proactively work to ensure the reuse of commercial facilities that remain vacant for six months or more. These activities will include working with property owners and tenants to identify reuse opportunities, identify site and building improvement needs, and facilitate user/developer recruitment efforts. Land Use Planning In order to maintain, protect, and enhance municipal fiscal balance the City should carefully evaluate the fiscal effect of land use planning. A key issue facing the City is conversion of Tourist Commercial Zoning to Residential and Resort Residential land uses. Prior to consideration of any request to convert land uses a detailed fiscal analysis and fiscal mitigation program shall be required. Highway I I I Corridor In order to enhance commercial opportunities the City/Redevelopment Agency has secured major retail anchors for the east end of this corridor. In doing so, this corridor will have major demand generating anchors located in the corridor's west, middle and eastern sectors. The City/Redevelopment Agency will work on filling remaining vacant parcels, vacant buildings and assisting property owners with rehabilitating/ redeveloping older, obsolete retail centers and continued investment in roadway improvements. CITY OF LA QUINTA 0187 April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 12 Environmental Compatibility In order to maintain, protect and enhance La Quinta's unique physical environment, all new development projects will be reviewed with added emphasis on their compatibility with their environmental setting to insure preservation of La Quinta's unique natural desert and mountain landscape. Green and Sustainable La Quinta Program The City will continue to promote and support the Green and Sustainable La Quinta Program intended to increase the conservation of resources and reduce environmental impacts with an emphasis on energy, water, air quality, solid waste, land use, and transportation. Regional Transportation Opportunities The City will pursue joint efforts with regional agencies that facilitate the expansion of rail and air transportation services, including the Jacqueline Cochran Regional Airport, to support the transportation needs of La Quinta's resort, commercial, residential, and other uses. Annexation Opportunities The City may pursue annexation opportunities, as requested, that are economically sustainable, enhance the City's economic future, provide workforce affordable housing opportunities, and protect environmentally sensitive areas that are crucial to the La Quinta experience. These will include properties that expand park resort and golf course development opportunities, accommodate commercial, industrial, and transportation uses, protect environmentally sensitive areas, scenic vistas, enhance equestrian opportunities, and provide for a variety of housing types. The City will also review potential impacts on current residents and seek ways to mitigate impacts, if they exist. Prior to any annexations in Planning Areas 1 and 2 a detailed fiscal analysis and Plan for Services shall be required. Future annexations should be revenue -neutral or positive to ensure long-term fiscal balance. Municipal Properties The City will pursue the timely sale and/or development of all City/Agency-owned surplus property with uses that maintain, protect and enhance the environment while achieving a return on the initial City/Agency investment. Recreation Opportunities The City will continue to explore recreational opportunities and develop recreational uses for residents and visitors to enjoy. Areas of particular emphasis will include golf, a regional trail system, parks, health and fitness CITY OF LA QUU'TA 0188 April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 13 programs as well as arts, cultural and educational experiences. As Healthy Eating Active Living City ("HEAL") the City encourages alternative transportation and healthy lifestyles. The City has a trail system that links the recreation amenities at Lake Cahuilla and in the Santa Rosa Mountains with the City's residential and resort communities. The City will continue its participation in regional planning efforts to complete a trail system between La Quinta and other Desert cities. The City of La Quinta is conducting a feasibility study of a dual purpose trail along the bank of the White Water Channel. The City collaborates with the Stewards of the Fred Wolff Nature Preserve and the Cove Neighborhood Association to offer educational trail hikes for children and adults from October through May that are popular for tourists. The City collaborated with the Desert Recreation District to support the development of a new fitness facility at the La Quinta Community Center located on Montezuma. The La Quinta Museum and Library provide for cultural and historical programs and activities of interest to tourists. The City also offers numerous special events for children and families to bring residents to the Village, such as Moonlight Movies and the Christmas Tree Lighting Event. Streetscape Improvements Future major arterial streetscape and median improvements will be designed to impart a sense of place and a feeling unique only to La Quinta so residents, visitors and other travelers will experience a sense of arriving at a special destination when traveling to, or through La Quinta. The City Council recently adopted Highway 111 Corridor Landscape Design Guidelines. Highway 111 median landscaping improvements will be designed in accordance with the guidelines. Highway 111 Corridor Land Use DiversWication The City will encourage the development of commercial, service commercial, office, lodging, theater, mixed use and light industrial uses within the Highway 111 Corridor to diversify the community's economic base. The City will also work closely with the Coachella Valley Economic Partnership on implementation of the Coachella Valley Economic Blueprint, aimed at diversifying the regional economy. Staff Development City staff will continually work to refine and improve their skills as they relate to fulfilling the mission of the Economic Development Plan and program while reinforcing the perspective that the City's economic survival depends on City CITY OF LAQUI' A 0)89 April 19, 2011 . ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 14 staffs ability to serve the public in a courteous, efficient and knowledgeable manner. Prepare New and Update Existing Information Documents On an ongoing basis, City staff will prepare new, and update existing, promotional and community information documents for circulation to potential users and developers. Focus will be on documents providing socio-economic data as well as commercial activity reports and public information pieces. Some of the documents will be placed on the City's website for downloading by interested parties. Fiscal Year 2010-2011 Accomplishments The 2010-2011 Economic Development Plan identified specific target areas and activities to accomplish during the fiscal year. The following summarizes the accomplishments by target area as of April 2011. Business Support & Development • Coordinated economic development efforts with La Quinta Chamber in the following areas: business communication, local events, and Workshop/Information Exchange Committee. • Updated a listing and diagram of La Quinta retail and service businesses for City website (Economic Development section) as well as maintained a resource page for businesses. • Worked with the Coachella Valley Water District, Imperial Irrigation District and Southern California Gas Company to encourage residents and businesses to participate in water and energy reduction programs to lower operating costs and reduce greenhouse gas emissions. • Worked with the Coachella Valley Economic Partnership as they implement an "Economic Blueprint" for the Valley that identified key industries to target over the next five years in order to stabilize, grow, and diversify the region's economy. + Worked with CVEP to complete a Valley -wide business survey to identify challenges, needs, concerns, and future plans (i.e., expansion, closure, relocation, layoffs, etc.). 117 La Quinta businesses participated; the survey results are attached to this document. Staff will reach out to participating businesses, especially those that cited major challenges. CITY OF LA QUINTA'„ O J 9 O April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 15 • Initiated work on a business brochure for La Quinta businesses —for both existing ones and those with an interest in coming to La Quinta. These brochures will serve as a valuable resource to offer new businesses during City staff visits, and will be an essential handout at conferences such as ICSC. City Marketing Efforts • Created a City Facebook "Fan Page" titled, "La Quinta California," which has proven to be an excellent interactive communication tool as well as a great way to promote La Quinta businesses, events, and programs. The City's Facebook page has over 1,600 fans, and the City is investing in Facebook ads to increase its fan base. • Completed work on a new website design for www.PlayinLaQuinta.com (the City's tourism website); the redesign went live in early April 2011. Continued to update the site on a quarterly basis (special events, shopping map, dining directory, "Stay" page, etc.). Initiated pay -per -click Internet campaigns, both local and regional, to increase traffic to the site. • Created a new La Quinta tourism "app" for the iPhone, which will go live this spring (2011). The app will be simple and free to download; tourists and residents will get information on shopping, dining, golf, hotels, and special events. • Continued the City's Co-op Marketing Program for La Quinta businesses and key partners. . Executed various advertising campaigns with: Embassy Suites La Quinta, Las Casuelas Quinta, Old Town La Quinta, Rockin' Baja Coastal Cantina, Okura Robata Grill & Sushi Bar, La Quinta Arts Foundation, and the La Quinta auto dealers. • Continued a strong Local Marketing Campaign which supports La Quinta businesses and key partners by attracting more people to La Quinta. The local campaign involved radio as well as ads in The Desert Sun, La Quinta Sun, Desert Entertainer, and PD Style magazine. It had a "shop, stay, dine, play" message and promoted a multitude of special events and programs that La Quinta offers all year , • Worked with key event organizers on leveraging City sponsorships and cross - promotion, and implemented strategies to attract more people to stay/play and shop/dine in La Quinta. Events include Bob Hope Classic, Chamber car show, Concours d'Elegance, Taste of La Quinta, and La Quinta Arts Festival. • Produced visitor and resident communication pieces: La Quinta Area Events brochure, 2011 City Calendar, two City newsletters, and Palm Springs Life advertorial. Integrated shop/dine and stay/play messages to the extent possible. CITY OF LA QUWTA p) 91 April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 16 Completed the City videos in partnership with the National League of Cities; placed the videos on the Play] nLaQuinta.com website to showcase La Quinta's quality of life and opportunities. There are seven separate one - minute videos, including Welcome to the City, Quality of Life, Real Estate and Relocation, Arts and Culture, Tourism, Economic Development, and Education. The most -watched video is Tourism, followed by Real Estate and Relocation, then Quality of Life. Arnold Palmer Classic Course Marketing • Continue to take full advantage of the Bob Hope Classic being played exclusively in La Quinta and the fact that SilverRock is the only public golf course in the Bob Hope rotations that the public can play in 2011-2012 marketing and advertising plans. • Implemented a new 30 second commercial that features "Challenge the Rock" slogan and airs on all local & cable networks in the Coachella Valley. Additionally the 30 second commercial runs in the Destination Connection in - room loop throughout major hotels/resorts in the valley. • Implemented a 60 second YouTube video of SilverRock that features beauty shots and course accolades. • Take advantage of SilverRock being voted once again as the best playing condition golf course in the Palm Springs area by Greenskeeper.org. • Advertised in publications such as Desert Golf Magazine, Palm Springs Life, The Desert Sun, and Alaska Airlines (in-flight magazine). • Continued presence in various golf directories, including: Palm Springs Golf Guide, City Map, and Yellow Pages. • Researched and implemented public relations opportunities with positive messages, e.g., national recognition by Golf Magazine, Golfweek, Zagat, and "A Home Course of the Bob Hope Classic." • Updated www.SilverRock.om website to a new web platform (non -flash) that Apple Computer products (iphone, ipdad, itouch etc...) can also view and navigate throughout the website. • Implemented an animated course flyover feature on the golf course that is featured on the SilverRock website. • Broadcasted SilverRock television spots to air primarily in the local market; and on a national level via the Golf Channel during the Bob Hope Classic. CITY OF LA QUINTA O ) 9 2 April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 17 • Continued electronic marketing, including online paid search advertising and e-blasts to all current users of the SilverRock Resort golf course. Developed discounts for guests and residents and a California Resident Rate program (summer season), and a variety of specials to encourage shoulder season use of the golf course. • Continue to promote online bookings; currently approximately 50-60% of all tee time bookings are done online. Highway II I Corridor • Marketed Highway 111 Corridor development opportunities to auto dealers, and assisted with retention and expansion efforts for existing dealerships. • Worked with the three existing dealerships on developing a cooperative advertising campaign (television), and creating incentive programs for people to test drive and purchase cars in La Quinta. • Partnered with various Highway 111 merchants, via the City's Marketing Cooperative Program, and offered reduced advertising. • Researched potential building reuse opportunities for vacant big boxes; provided customized market and demographic information for, and met with brokers and potential tenants to demonstrate La Quinta's market strength and future potential. • Explored opportunities to locate a mixed -use "lifestyle" center that combines entertainment venues with retail and residential uses in the Highway 111 Corridor. Washington Street Corridor • Worked with Dolphin Partners to facilitate rental of their casitas units; Dolphin plans to sell the casitas to individual owners in Summer 2011. La Quints Village • Partnered with various Old Town restaurants, via the City's Cooperative Marketing Program, and offered reduced -cost advertising. Continued to support and facilitate events that bring people into the Village such as La Quinta Arts Festival, Bob Hope Classic, Concours d'Elegance, Chamber Car Show, and Christmas Tree Lighting Ceremony. Explored opportunities to develop urban infill residential uses in and near the Village to increase demand for the commercial and office uses. CITY OF LA QoMA 0) 9 3 April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 18 • Continued to explore commercial retail development opportunities; initiated property purchases to facilitate future development. Resort/Hospitality Opportunities • Provided information to various developers interested in future development of boutique hotel, resort hotel and resort retail uses • Completed an agreement with CVWD for relocation of the Coachella Canal within SilverRock Resort. • Responded to inquiries from landowners and developers regarding development of additional resort and hospitality uses throughout the City. • Continued cooperative advertising and online paid search with La Quinta hotels driving traffic to the tourism website. Recreation Opportunities • Worked on the trails plans for the top of the Cove and the White Water Channel. • Explored land acquisition opportunities to provide additional park facilities. • Approved participation in the Healthy Eating Activity Living (HEAL) program as a supplement to active community encouragement. • Received the Coachella Valley Health Collaborative's prestigious Healthy City award. • Moved the La Quinta Fitness Center from a cramped location in the Boys and Girls Club into a larger facility at the La Quinta Francis Hack Community Park. • Provided numerous programs, exhibits, classes, etc. at the Museum, Library, and Senior Center. Housing • Completed a Disposition and Development Agreement with Coral Mountain Partners, LP for a multi -family affordable housing complex near Highway 111 and Dune Palms Road. • Continued with the rehabilitation and new development planning activities for Washington Street Apartments. Completed the Project Area No. 2 amendment which added the apartment complex and adjacent vacant property to Redevelopment Project Area No. 2. -� 0994 CITY OF LA QUINTA April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 19 • Continued to look for additional property for future affordable housing development. • Selected an affordable housing developer for the Dune Palms RoadNVestward Ho properties. • Identified bank -owned foreclosed homes that are in need of substantial rehabilitation; initiated purchase and substantial rehabilitation activities for twelve houses; sold three to qualifying households. • Continued site planning activities involving Housing Authority -owned property located at Avenida Montezuma and Avenida Mendoza across from La Quinta Community Park (formerly Francis Hack Park). Green and Sustainable La Quinta Program • Continued to develop the Green and Sustainable La Quinta program by helping residents and businesses consume fewer resources and save money on their utility bills. • Continued to strengthen the conservation partnerships with Coachella Valley Water District, Imperial Irrigation District, Burrtec and the Southern California Gas Company by assisting them in marketing the various programs and rebates available to residents and businesses in La Quinta. • Southern California Gas Company - from January 2010 through August 2010, La Quinta residents installed 68 energy efficiency measures for $4,485 dollars in incentives. Measures included furnaces, dishwashers, clothes dryers and storage water heaters. • IID Home Energy Audits - from July through December 2010 there were 55 audits conducted providing residents with no -cost and low-cost energy efficiency recommendations; also 194 rebates totaling $59,625 have been issued to La Quinta residents, saving more than 179,400 kilowatt hours annually. • Landscape Conversion Program - from July through December 2010 there have been 67 homes that have completed the program and received rebate checks; also, 63 Weather Based Irrigation Controllers have been installed in City of La Quinta homes. • The City and the CVWD established a Water Waste Helpline (1-888-398- 5008) which is intended to allow individuals to report violations contributing to water waste. City and CVWD personnel have been trained to ensure calls are responded to in an efficient manner. The phone number for the helpline is also available on the City's after-hours phone directory. r-n V 9 5 CITY OF LA QUINTA April 19, 2011 ECONOMIC DEVELOPMENT PLAN BUSINESS PLAN PAGE 20 • Explored providing incentives, reducing permit fees, or providing a matching funding program in cooperation with IID for businesses to make improvements that enhance energy efficiency and resource conservation in their buildings. • Continued community outreach via presentations and special events to encourage La Quinta residents to reduce their carbon footprint by providing valuable conservation programs and incentives. • Promoted green efforts via flyers, ads, and press releases; continued to pursue cooperatives with green partners for cost sharing purposes; and continued to provide green tips and updates in the La Quinta City Report (bi- annual newsletter) and the Chamber of Commerce Gem publication. • Maintained a "green" web page on the City website dedicated to the growth of the Green and Sustainable La Quinta Program to keep residents and businesses informed about the latest programs available to them. • Continued to implement energy efficient retrofits to municipal buildings via American Recovery and Reinvestment Act federal stimulus funds. )9S CITY OF LA QUINTA April 19, 2011 ECONOMIC DEVELOPMENT PLAN Exhibit A 2011-2012 Economic Development Plan Strategies and Tasks to Stimulate Private Investment in La Quinta 0?97 CITY OF LA QUINTA ECONOMIC DEVELOPMENT PLAN l City of La Quinta = Property Owner: City of La Quinta �� City/Housing Authority -owned Properties = Property Owner: Housing Authority w O) 98 Exhibit B 2011-2012 Economic Development Plan 0)9g CITY OF LA QUINTA ECONOMIC DEVELOPMENT PLAN COACHELLA VALLEY FCONOMIC VARI%ISR9NIF p_ er —: Business Visitation Survey Results La Quinta Is your business owned by a larger corporation? Yes 31.6% 37 No 68.4% 80 Total Responses 100.0% 117 Is your business owned by a larger corporation? £J3'3.ts Exhibit 1 For classification purposes, what is the PRIMARY nature of your business? (Please check one) Value Percentage Agriculture 0.9% 1 Amusement/Recreation 0,9% 1 Arts/Entertainment 0.9% 1 Education 0.0% 0 Construction 3.4% 4 Distribution 0.0% 0 Finance 3.4% 4 Healthcare 7.7% 9 Hospitality/leisure 1.7% 2 Manufacturing 0.9% 1 Printing/Publishing 0.0% 0 Professional Services (Consulting, Marketing, etc.) 19.7% 23 Restaurant/Food Service 22.2% 26 Retail 20.5% 24 Transportation/Utilities 1.7% 2 Wholesale 0.9% 1 Other 15.4% 18 Total Responses 100.0% 117 For classification purposes, what is the PRIMARY nature of your business? 19.7% 22.2%.20.5S - ... _. 7 7% _. �. ' o. 3'% 34% 1.7% I J\J`eJsa�ec\°¢raV,bJ`�`oc`'~J`oC �Z'J OC �CaC`¢ea\CJa`¢�a\�\tea Ea�Jic�°�J�\k¢SSoc�`�ac\�o p¢`95eor9 o�o\¢Sa\e O`¢` PePF PCg\ Loc O" ,2, �o5p` �`acJ Q`c Qso QeSa ac ys i ... so D.L 0 0 Exhibit 2 How long have you been operating your business in the Coachella Valley? Value Percentage under 2 years 12.0% 14 2 5 years 35.9% 42 6-10years 17.9% 21 11 20 years 15.4% 18 over 20 years 18.8% 22 Total Responses 10U% 117 Now long have you been operating your business in the Coachella Valley? 6-10 years-11-20 years 17.9% 1S.4% - over 20 years 18.8% 2-5 years under 2 years 35.9% 12.0% Exhibit 3 Why did you choose to originally locate your business in the Coachella Valley? Value Percent% Already lived here 33.1% 41 Clients/Customer base 18.5% 23 Cost of Living 0.0% 0 lifestyle/Weather/Amenities 11.3% 14 Land/Building costs 0.8% 1 Purchased a business 8.9% 11 Relocated from another area 12.9% 16 Other 14.5% 18 Total Responses 100.0% 124 Why did you choose to originally locate your business in the Coachella Valley? 33.1% 18 5% -_ 0.0°% 11.3% 0.8% 8.9% 12 9% - - i® % oe oF` �c sr sac zea `o �S ,ea is et �Ss fie' cSa ea P\cya6,\ secs Co ' yz�e Seca f �e\oz � Exhibit 4 In the next 12 months, do you expect the business climate in the Coachella Value Percentage Improve 44% 51 Worsen 15% 18 Remain the Same 41% 48 Total Responses 100.0% 117 In the next 12 months, do you expect the business climate in the Coachella Valley to - Remain the Same 41% I Worsen 15% •� 0101 Exhibit 5 How would you rate the business climate in the Coachella Valley over the past 12 months? Value Percentage Excellent 5.1% 6 Good 19.7% 23 Average 41.9% 49 Poor 27.4% 32 Very Poor 6A% 7 Total Responses 100.0% 117 How would you rate the business climate in the Coachella Valley over the past 12 months? 1&2p7o.49 Very Poor 6.0% ellent 5.1% Exhibit 6 In the part 12 months, would you say your gross revenue has: Value Pecentage Increased 31,62% 37 Decreased 41.03% 48 Remained the Same 27.35% 32 Total Responses 100,00% 117 In the past 12 months, would you say your gross revenue has: Decreased 41.03% Remained the Same 20.69% I Increased 31.62% Exhibit 7 Has your company laid off any employees in the past 12 months? Value Percentage Yes 36.8% 43 No 63.2% 74 Total Responses 100.0% 117 Has your company laid off any employees in the past 12 months? ' _ I I rrott_ 0102 Exhibit 8 What percentage of your gross revenue comes from sales OUTSIDE the Coachella Valley? Value Percentage Less than 1% 32.5% 38 1-25% 29.9% 35 26-50% 17.9% 21 51-75% 8.5% 10 76-99% 9.4% 11 100% 1.7% 2 Total Responses 100.0% 117 What percentage of your gross revenue comes from sales OUTSIDE the Coachella Valley? 32.5%. _,. _ _ 29.9% 6.5% 9.4% 1 7% Value Less than 1% 1-25% 26-50% 51-75% 76-99% Exhibit 9 If you were to locate your business today, would you locate it in the Coachella Valley? Value Percentage Yes 59.0% 69 No 18.8% 22 Don't Know 22.2% 26 Total Responses 100.0% 117 If you were to locate your business today, would you locate it in the Coachella Valley? 59.0% 18.8% 22.2% Yes No Dan't Know ". 0103 Exhibit 30 Overall what are your biggest challenges in running a profitable business in the Coachella Valley? (Please check all that apply) Value Percentage Local economy 10.2% 75 Cash flow 4.8% 35 Available financing 4.4% 32 Seasonal population (Summer months) 9.4% 69 Business environment 3.5% 26 Competition 4.2% 31 Federal Taxes 5.0% 37 State Taxes 5.9% 43 City Fees 3.09A 22 State Regulations 4.1% 30 Local Regulations 3.4% 25 Environmental Regulations 2.6% 19 Hiring/retaining of employees 3.3% 24 Permitting Process 1.6% 12 Sign Ordinances 2.9% 21 Land Costs 3.7% 27 Utility Costs 4.4% 32 Marketing Costs 4.0% 29 Costs of Wages 3.1% 23 Workers Compensation 4.6% 34 Healthcare Costs 5.0% 37 Developing a business plan 1.2% 9 Developing a marketing plan 1.8% 13 Financing 1.6% 12 I.T. (Information Technology) services 1.1% 8 Financial/Accounting services 1.1% 8 Total Responses 100.0% 733 Overall what are your biggest challenges in running a profitable business in the Coachella Valley? (Please check all that apply) F, 03 c� zc ec io° tea +ae a°5 . o°z \°°y \O°s aa5 a�e`o°okay ��°a°�J��S os,ya°caCSa~•la,Q°�J\a?a�J\Pe�J\�°�Q\o ��Q`°��aca�a°aC°��e a�°o��a°°Q°cs�ca`eC5° o eys° t Za° y°oa\ e°a\ ayo ecF 5�° �Sa� L°aiyc9 ,Z,ea\c�s a�°a a °c °e°oC P a\Q°Q p°yc cock `eac R �oc� °�oC �opC4' Soso �a\\P 44- 0104 Exhibit 11 Based on your experience, please rate the following as an advantage or disadvantage in terms of doing business in the Coachella Valley: en„. xod., N/A Quality of life 90.6% 106 2.56% 3 6.84% 8 Business Climate 64.1% 75 25.6%W48 0.3% 12 "Desert" reputation 81.2% 95 5.1%3.7% 16 Area growth potential 82.9% 97 10.3%.8% 8 Cost of Win housin 67.5% 79 20.5%2.0% 14 Educational system 47.9% 56 29.1%3.1% 27 Land or rent costs 60.7% 71 29.1%0.3% 12 Level of crime/public safe 70.9% 83 10.3%8.8% 22 Workforce availability49.6% 58 43.6%.8% 8 Workforce/Career technical training33.3% 39 51.3%5.4% 18 Puhlic trans ortation 48.J% 57 30.8%0.5% 24 State husiness re ulations 37.6% 44 35.0%7.4% 32 Local government 56.4% 66 18.8%4.8% 29 Local business assistance programs 39.3% 46 19.7%1.0% 48 Exhibit 12 Do you own or lease your current businesslocation? Value Percentage Own 15.4% Lease 84.6% Total Responses 1 Do you own or lease your current business location? Own / A15.4% III Lease ; 84.6% i Exhibit 13 Do you plan to renew your lease upon expiration? Value Percentage Yes 53.5% > No 14.1% Not sure 32.3% Total Responses 100% Do you plan to renew your lease upon expiration? No 14.1% I Not sure 32.3% 18 99 117 53 14 32 99 •.4 0145 Have you ever considered expanding in your current location? Value Percentage Yes 31.6% No 68.4% Total Responses Have you ever considered expanding in your current location? i 37 80 117 If yes, would you need financing for the expansion? Value Percentage Yes 43.2% 16 No 56.8% 21 Total Responses 37 If yes, would you need financing for the expansion? NOP- 56.8% Yes 43.2% Exhibit 14-A Do you have any current plans to move your operation? Value Yes No Percentage 12.0% 88.0% Total Responses 100% Do you have any current plans to move your operation? s F ys y No" Yes 096 12.0% %v�xif 14 103 117 -O 0106 Exhibit 14-8 If planning to relocate your business, where would you move? Value Percentage Stay in current city 50.0% 7 another City in the Coachella Valley 35.7% 5 Another area in Riverside County 7.1% 1 Move to another area in California 7.1% 1 Move to another state 0.0% 0 Total Responses 100% 14 If planningto relocateyour business, where would you move? Percentage 50.0% 35.7%_ 7.1% 7.1% Stay in current city another City in the Another area in Move to another area in Move to another state Coachella Valley Riverside County California Exhibit 15 Primary reason (s) for relocating: Value Percentage Lack of busines 16.7% 4 High operating costs 12.5% 3 Lifestyle change 0.0% 0 Climate/weather 0.0% 0 Need more space 20.8% 5 Improve access to customers 20.8% 5 Improve access to qualified employees 8.3% 2 Improve access to suppliers 4.2% 1 Government Regulations 0.0% 0 Other 16.7% 4 Total Responses 100% 24 Primary reason (s) for relocating ---- 12 �,y O.. �ac o6F �Qs �Qs �Qa Deco N- Exhibit 16 Will your company lay off any employees in the next 12 months? Value Percentage Yes 7.7% 9 No 92.3% 108 Total Responses 100% 117 Will your company layoff any employees in the next 12 months? II II Yes No' 7.7% 1� .f 0101 Exhibit 17 Does your company plan to hire any additional employees in the next 12 months in the following classifications? (Please check all that apply) Value Percentage Unskilled 8.5% 30 Semiskilled25.6% 30 Skilled 35.9% 42 Clerical 14.5% 17 Professional/Management 15A% 18 Total Responses 100% 117 Does your company plan to hire any additional employees in the next 12 months in the following classifications? (Please chec�ficlat+at apply) 14.5% Professional/ Management Skilled 30.0% 35.9% Unskilled 8.5% Semi -skilled 25.6% Exhibit 18 What occupation classification do you anticipate will have the greatest demand in the next 5 years at your company? Value Percentage Unskilled 3.9% 5 Semi -skilled 20.3% 26 Skilled 44.5% 57 Clerical 8.6% 11 Professional/Management 22.7% 29 Total Responses 100% 128 What occupation classification do you anticipate will have the greatest demand in the next 5 years at your company? { Clerical Professional/ 8.6% Management Unskilled tip39.4% 3.9% emi-skilled ._ 20.3% Exhibit 19 Does your firm have difficulty recruiting any of the following workers? (Please check all that apply) Value Percentage Unskilled 5.7% 4 Semiskilled10.0% 7 Skilled 44.3% 31 Clerical 8.6% 6 Professional/Management 31.4% 22 Total Responses 100% 70 Does your firm have difficulty recruiting any of the following workers? (Please cher�&ftj apply) 5.7% Semi -skilled li Professional/ 10.0% Management I 29.2% Cledcalf Skilled 8.6% 44.3% 0108 Exhibit 20 Which of the following recruitment methods do you typically use? (Please check all that apply) Value Percentage Hire from within 21.3% 50 Internet 19.1% 45 Job Fair 6.0% 14 Networking/Industry Organizations 12.8% 30 Newspaper 15.7% 37 Schools & Colleges 8.9% 21 Workforce Development Centers(State/Local) 2.6% 6 Temporary Employment/Staffing Agencies 3.8% 9 Other 9.8% 23 Total Responses 100% 235 Which of the following recruitment methods do you typically use? (Please check all that apply) _.21.3%-_ _.. 19.1% 57% 128% 6.0% _ - 3.8% o° ecce � ac M6 mQ¢c �� koco¢ o0 �¢ Exhibit 21 Does your company hire youth; age 16 - 21? Value Percentage Never 23.9% 28 Rarely 29.1% 34 Occasionally 35.0% 41 Frequently 12.0% 14 Total Responses 100.0% 117 Does your company hire youth, age 16 - 21? Never I 23.9% Frequently i c- Occasionally 12.0% 35.0% Exhibit 22 Would your company be interested in placing interns in your workplace? Value Percentage Yes 36.7% 40 No 63.3% 69 Total Responses 100.0% 109 Would your company be interested in placing interns in your workplace? y yes / Y36.7% No 63.3% i on 0109 Exhibit 23 Does your company use its own employees to provide training? Value Percentage Yes 93.9% 107 No 6.1% 7 Total Responses 114 Does your company use its own employees to provide training? No, 6.1% I Exhibit 24 Are there any skills that you find vocational training programs don't teach or need more emphasis in this community: (please check all that apply) Value Percentage Math 15.0% 24 English 18.8% 30 Basic lob Skills 18.1% 29 Computer 16.9% 27 Customer Service 25.6% 41 Other - 5.6% 9 Total Responses 100.0% 160 I Are there any skills that you find vocational training programs don't teach or need more emphasis in this community: (please check all that apply) 25.6% 16.9% 15.0% Math English Basic lob Skills Computer Customer Service Other Exhibit 25 Would your company be interested in collaborating with the local high schools, workforce development centers and colleges/universities to develop more effective career/technical training or educational programs for students? Value Percentage Yes 40.4% 44 No 59.6% 65 Total Responses 100.0% 109 Would your company be interested in collaborating with the local high schools, workforce development centers and colleges/universities to develop more effective career/technical training or educational programs for students? Yes No jl :�40.49Y. 59.6% \, i 0110 Exhibit 26 - A In the last three (3) years have you had contact with any city or county Value Percentage Yes 70.1% 82 No 19.7% 23 Not sure 10.3% 12 Total Responses 100% 117 In the lastthree(3) years have you had contact with any city or county departments? No 19.7% Not sure 10.3% Exhibit 26 - 8 If yes, how would you rate your experience? Value Percentage Excellent 26.83% 22 Good 46.34% 38 Neutral 14.63% 12 Poor 7.32% 6 Very Poor 4.88% 4 Total Responses 100% 82 If yes, how would you rate your experience? j I 26.83%___._ _ — — -- - 14 63% y ].32% I li Excellent Good Neutral Poor Very Poor Exhibit 27 Do you import or export merchandise? Value Percentage Yes 11.1% 13 No 88.9% 104 Total Responses 100% 117 I Do you import or export merchandise? No- �yes 11.1% 188:9% r•t3 0111 Exhibit 27 - 8 Do you use a customs broker? Value Percentage Yes 18.2% 2 No 81.8% 9 Total Responses 11 Do you use a customs broker? yes No 18.2% i 618%t y., Exhibit 27 - C Are you familiar with the Foreign Trade Zone? Value Percentage Yes 9.1% 1 No 90.9% 10 Total Responses 11 Are you familiar with the Foreign Trade Zone? yes 9.1% Noz 1909% i I Exhibit 28 There are a number of local business assistance programs available to local companies; would you like to be contacted about any of the following programs/services? (Please check all that apply) Value Percentage Foreign Trade Zone 2.1% 1 Enterprise Zone 14.6% 7 iHub 6.3% 3 CalWorks 10.4% 5 Workforce Development Centers (Employment Services) 14.6% 7 SCORE (Counselors to America's Small Business) 14.6% 7 SBA (Small Business Administration 18.8% 9 Chamber of Commerce 18.8% 9 Total Responses 100% 48 There are a number of local business assistance programs avallableto local companies; would you like to be contacted about any of the following progmms/services? (Please check all that apply) 14.6% 14.6% 14.6% 6.3% 10.4% 2.1% Foreign Trade Enterprise iHub CaMorks Workforce SCORE SEA (Small Chamber of Zone Zone Development (Counselors to Business Commerce Centers America's Administration (Employment Small Services) Business) 0112 T-Vf 4 4 Quha COUNCIL/RDA MEETING DATE: ITEM TITLE, Adoption of a Resolution Setting Forth the Amended Records Retention Schedule for Departments and Offices of the City and Approving Destruction of Records in Accordance Therewith RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: S STUDY SESSION: PUBLIC HEARING: Adopt a resolution setting forth the amended Records Retention Schedule for departments and offices of the City and approving destruction of records in accordance therewith. FISCAL IMPLICATIONS: None. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: On March 15, 2011, the City Council adopted the Records Retention Schedule by Resolution 201 1-014. At that meeting, Council Members requested detailed information on the retention period for the audio files of public meetings. By memo dated March 30, 2011, staff provided that information, which stated in part: "The audio tape for all public meetings, except the Planning Commission, is kept in the City Clerk vault for a period of five years. Audio tapes are considered a duplicate record once the minutes have been written and approved by the City Council. Staff increased the State's minimum retention of current year+three months after determining five years was the appropriate amount of time to retain the audio tapes for reference purposes." 01.13 At the April 5, 2011 City Council meeting, Council Members requested that staff amend the Retention Schedule to change the retention of City Council audio files to permanent. The attached resolution includes the amended Retention Schedule as Exhibit A. The only change is to file number 704.13 AUDIO RECORDINGS — PUBLIC MEETINGS, which now states that the retention for City Council, Redevelopment Agency, Financing Authority, Housing Authority and Planning Commission meeting audio files is permanent. FINDINGS AND ALTERNATIVES: Thg alternatives available to the City Council include: 1. Adopt a resolution setting forth the amended Records Retention Schedule for departments and offices of the City and approving destruction of records in accordance therewith; or 2. Do not adopt the proposed resolution; or 3. Provide staff with alternative direction. Respectfally submitted, Veronica Mffitebino, CIVIC, City Clerk Approved for submission by: Thomas P. Genovese, City Manager �. 0114 RESOLUTION NO. 2011 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, ADOPTING AN AMENDED RECORDS RETENTION SCHEDULE FOR DEPARTMENTS AND OFFICES OF THE CITY AND APPROVING DESTRUCTION OF RECORDS IN ACCORDANCE THEREWITH WHEREAS, except for records less than two years old and certain other records, Government Code Section 34090 authorizes the head of the city department to destroy any city record, document, instrument, book or paper under his/her charge, without making a copy thereof, after the same is no longer required, with the approval of the City Council by resolution and written consent of the City Attorney; and WHEREAS, the City Council believes there are benefits of ease of administration to adopting a Records Retention Schedule governing the disposition and destruction of official city records in accordance with State and Federal laws, and records management best practices; and WHEREAS, the City Council adopted the Records Retention Schedule by Resolution 201 1-014 on March 15, 201 1; and WHEREAS, the City Council requested and received clarification on the retention of audio recordings of public meetings, and desires to change that retention period for certain public meetings. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: 1. The Records Retention Schedule, attached hereto as Exhibit A and incorporated as part of this Resolution is hereby adopted. 2. The destruction of records no longer required for administrative, legal, fiscal or historical reasons is approved provided it is done in strict compliance with the retention period set forth in the Records Retention Schedule. 3. Records are not to be kept beyond the retention period set forth in the Records Retention Schedule. 4. The Record Retention Schedule adopted by Resolution 2011-014 is hereby rescinded. 0,11. 0115 Resolution No. 2011- Amended Records Retention Schedule Adopted: April 19, 2011 Page 2 of 2 PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 1 gth day of April 2011 by the following vote: AYES: Council Members NOES: ABSENT: ABSTAIN: DON ADOLPH, Mayor City of La Quinta, California ATTEST: VERONICA J. MONTECINO, CIVIC, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California 0116 O F� _j UFFS Description I L TOTAL Primary Scan / Citation Number RETENTION Res onsibilit Image 702.08 ',Election_ Historical Files PERMANENT CLERK CC:no historic value 702.09 '.Handbook City Council until superseded + 2 years CLERK CC:no GC34090 702.10 ',Major Donor & Indep. Exp. Cmte Stmts _ — PERMANENT CLERK CC:no GC81009(b)(g) 702.11 Candidate Election Manuals until superseded + 2 years CLERK CC:no GC34090 702.12 (Petitions: Recalls i 8 mos after election results are certified CLERK CC:no Election Code 17400(a) 702.13 Petitions: Initiatives, Referendums, Charter Amend. ; 8 mosl after election results are certified CLERK CC:no Election Code 17200(a) LITIGATION LEdAULEG 703 LEGALI�VESTIGATION & LITIGATION 703.01 !Requests for Public Records I until completed + 2I until completed + 2 years CLERK CC:yes GC34090 703.02 Requests for Agenda Mailings �', until completed CLERK CC:no reference _ 703.03 !Litigations (City a Party to Suit - Summons, Subpoenas) until settled + 2d + 2 years CLERK CC:yes GC6254 703.04 (_OPEN) 703.05 Protests / Petitions, submitted to Council _ current year + 1 year CLERK CC:no GC50115 & 6253 703.06 'Bankruptcy & Foreclosure Notices (non -City properties - City has an interest eg. lender, contractor, etc) same as related file CLERK CC:no NA _ 703.07 ;Legal Investigations, Civil until closed + 2 years CLERK CC:no GC34090 703.08 ;Subpoenas to Appear / Depositions (City not a Party) current Year + 2 years CLERK yes GC34090 703.09 Subpoenas for Public Records (City not a Party) current Year + 2 years CLERK yes GC34090 CE6 �L/ Cy,764QL/LEG 764/LEG 704 LEGAL OPERATIONS 704.01 Legal Operations, General Reference while current + 2 years related dept CC:no GC34090 704.02a !Notices of Violation / Citations / Incident Reports / Appeals: ISSUED until settled + 2 years issuing dapt CC:no GC34090 704.02b Notices of Violation: RECEIVED by City until settled + 2 years receiving dept CC:no GC34090 704.03 !Compliance Certification Oe Prop. 218 property fees/taxes) PERMANENT PUBLIC WORKS CC:no GC34090 704.04 ,Affidavits PERMANENT CLERK CC:no GC34090 704.05 _ iJudgments and Dismissals PERMANENT CLERK CC:no GC34090 704.06 _�. �'i Proof of Publication (legal published notices) PERMANENT publishing dept CC:yes, PL:yas CCP343,349 et seq; GC911.2, 34090 704.07 _I (Statements of Economic Interest (Form 700) until separated + 7 years CLERK CC:no GC81009(e) 704.08 of Pendency (pre -lien notice) RECORDED PERMANENT CLERK CC:yes GC34090 _'I1Notices 704.09 ,Nuisance/Weed Abatements RECORDED RESOLUTIONS ((also see 1307.02) PERMANENT CLERK CC:yes GC34090 704.10 ;Code Enforce/Animal Control: Administrative Hearings until disposition + 2 years BLDG & SAFETY CC:no GC34090d 704.11 (City Attorney Opinions (confidential) until superseded + 2 years CLERK CC:no GC34090, 6254 704.12 City Attorney Correspondence, General current year + 2 years receiving dept CC:no GC34090 704.13 IiAudio Recordings - Public Meetings Council, RDA, FA, HA, Planning Com=PERMANENT All others = 5 years _ recording dept CC/PL:FTR GC34090.7, LO Council Resolution 2011 704.14 FPPC Regulations (not filings) until superseded CLERK CC:no GC34090 T4t�t 4 4w4uiot& COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Approval of Grant Proposals to the State Office of Historic Preservation for Consolidating and Digitizing the Historic Resource Surveys and Updating the Historic Context Statement RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: / CONSENT CALENDAR: 6 STUDY SESSION: PUBLIC HEARING: Approve grant proposals to the State Office of Historic Preservation (OHP) for consolidating and digitizing the Historic Resource Surveys and updating the Historic Context Statement. FISCAL IMPLICATIONS: The amount requested in the grant proposals is $10,308 for professional consultant fees and $10,308 in -kind match. This grant requires a 40% in -kind match which is staff time spent on the project and does not have a direct fiscal impact on the City. Total project cost is estimated at $20,616. If the City receives a grant award, staff will make the corresponding appropriations for the professional consultant as well as record the revenues from the grant. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: The State Office of Historic Preservation is allocating funds to Certified Local Governments for the development of preservation plans, ordinance revisions, historic contexts and surveys, archaeological preservation plans, design guidelines for historic properties, preservation education and outreach programs, structure reports, and information management. OHP encourages all local governments to make information about their historic preservation programs available online. The City is applying for funds to reformat and augment as necessary two Historic Surveys, which were completed in 1997 and 2006, the first which covered structures built prior to 1950 and the second survey which included all remaining structures over 45 years in age at the time of the survey. This will allow the two reports to read and -w19. 0118 function as one, in a printed version, an electronic version (PDF) available on-line and an interactive digital version for use and maintained by City staff. In addition, staff would like to update the Historic Context Statement which would be of significant benefit in the public education process as it relates to the City's archaeological history. A historic context statement is a document used in planning for a community's historic resources. It identifies the broad patterns of historic development of the community and identifies historic property types, such as buildings, sites, structures, objects or districts, which may represent these patterns of development. In addition, a historic context statement provides direction for evaluating and protecting significant historic resources. As a planning document, it is intended to be a dynamic document, evolving as community needs and desires change. The Historic Context Statement needs to better define the historic and archaeological character of La Quinta. The current Historic Context Statement does not include the area's important agricultural history, which contributed greatly to the early development of La Quinta. A historic preservation/archaeological consultant will be chosen through a Request for Proposal process. A selection committee will be formed and candidates will be interviewed. The selected consultant will work with City staff and the Historic Preservation Commission to prepare these projects for City Council consideration. If the proposal is funded, the projects can begin October 1, 2011, and will be required to be completed by September 30, 2012. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: Approve grant proposals to the State Office of Historic Preservation for consolidating and digitizing the Historic Resource Surveys and updating the Historic Context Statement; or 2. Do not approve grant proposals to the State Office of Historic Preservation for consolidating and digitizing the Historic Resource Surveys and updating the Historic Context Statement; or 3. Provide staff with alternative direction Respectfully submitted, '4� /A* Plumlee, Assistant City Manager — Management Services 0119 Approved for submission by: Thomas P. Genovese, City Manager ,.•• 01210 COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Authorization of Overnight Travel for Two Members of the City Council to Attend the League of California Cities Legislative Actions Days Conference, League of California Cities Board Meeting and League of California Cities Advanced Leadership Workshop to be held in Sacramento, California, May 18-20, 2011 RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: 7 STUDY SESSION: PUBLIC HEARING: Approve authorization of overnight travel for Council Members Henderson and Franklin to attend the League of California Cities Legislative Actions Days Conference, League of California Cities Board Meeting and League of California Cities Advanced Leadership Workshop to be held in Sacramento, California, May 18-20, 2011 FISCAL IMPLICATIONS: The Fiscal Year 2010-2011 Budget has allocated funds for travel, training, and meetings for the City Council. Funds for this conference attendance are available in the Legislative Program's Travel, Training, and Meetings Account (#101-1001-411.51- 01). Expenditures for this meeting are estimated as follows: Registration (Legislative Action Days) $ 40 Registration (Advanced Leadership Workshop) $ 150 Transportation $ 595 Hotel $ 500 Meals $ 300 Per Person $1,585 Total $3.170 01n1 CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW The League of California Cities will be holding their Legislative Action Days Conference and Advanced Leadership Workshop at the Sheraton Grand Hotel in Sacramento, California, May 18-20, 2011 (Attachment 1). The Legislative Action Days Conference will include briefings on current budget issues and strategies, updates on pending legislation and meetings with legislators to discuss important city issues Council Members Henderson and Franklin have expressed an interest in attending. In conjunction, the League of California Cities will be conducting an Advanced Leadership Workshop to be held May 19-20, 2011 and Council Member Franklin has expressed an interest in attending the workshop. The League of California Cities Board of Directors will also meet during the conference. Council Member Henderson is a member of the Board. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Approve authorization of overnight travel for Council Members Henderson and Franklin to attend the League of California Cities Legislative Actions Days Conference, League of California Cities Board Meeting and League of California Cities Advanced Leadership Workshop to be held in Sacramento, California, May 18-20, 201 1; or 2. Do not approve the request for overnight travel; or 3. Provide staff with alternative direction. Respectfully submitted, - P I,UI AA (iZ, Wanda P. Wise -Latta, Executive Assistant 0122 Approved for submission by: Thomas P. Genovese, City Manager Attachment: 1. Announcement - 2011 League of California Cities Legislative Action Days and Advanced Leadership Work 0123 LEAGUE F CITIES ATTACHMENT 2011 Legislative Action Days & Advanced Leadership Workshop Wednesday May 18 - Friday May 20 Sheraton Grand Hotel, Sacramento 0124 Registration an Housing Deadline: 7uesday, April www.cacities.org/evenis Re- gister All attendees must rc gister for the conference otiline prior to reserving a hotel room. Rearm a ion is not complete until full payment is ceccii,cd. Once registration is complete, you will be directed to the housing registration pa;c. Legislative Action Day includes: l# V ednesdar Reception kThursday Breakfast Advanced Leadership Workshop includes: L Thursclay Refreshnicuts k~ Friday Breakfast ice, Scsion. Materials Register online by going to www,cacities.org/events Pre registration is required for this c cnt No onsire registration will be available. To pay by check please: download the registration form online and follow the insnuctions" ®if special accommodations are needed for lacilit'y access, communication andAw diet, plcaac contact our conference rc�7istrar at Cancellations "Iherc rue no refunds for cancellations_ Attendcc substitutions can he made onsitc and are hi ,hly recommended to avoid financial pcmilrics. l-lotel attrition costs may also he billed to attendees for late cancellations. Registration Fees City Sttlf/OI`ficial ❑ S40.00 Others _on'ldemberCity ❑ $1=0.00 Advanced Leader:ship Workshop ❑ $150.1)0 Advanced Leadership Workshop (non-members) l7 $300.00 SPcritse Reception Only ❑ $25.00 A spouse registration is restricted to persons who are not city orpublie officials, related to any partner or company, and has no professional reason to attend the conference. Rcceipt s for these events, nc c (5sary for F+ 11PC reporting, wild. be available at rcgistradon. Hotellnformation &Reservations Sheraton. Grand Hotel Sacramento 1230 J Street • Sacramento, CA 95314 Hotel Rate(pernight,tax andfeesnot included): Single; Double 5144.00 Self" and Valet Parking S18.00 525.00 per day 1 iotel reservation changes inust be. communicated to the hotel using confirmation information 7 days prior to arrival; After this date, all changes Neill incur a financial penalty of all unused nights 'Please DO NOT book a hotel outside of the I_e.ague block C his Evil I c. mse an increase in event costs, liabilities and higher registration rates. Registration must be received by Tuesday, April 26 0125 Legislative Action Days Schedule is tcnative and subject to change Wednesday. May 18 Registration Open 9:00 .. 10:00 a.m. Opening General Session 10:00 - 1.1:30 a_m •Current I;udget: Issues and Strategies *.June Special Flecton (if scheduled) • Pending Legislatiou/Issues of Critical Importance • Updates from the Administration and Legislature Lunch on your own and Meetings in the Capitol 1.1:30 a.m. - 3:00 p.m. Bank Partnerships and Community Investment Strategies for your City 3:00 - 4:30 p.m. (co -hosted by the League's Latino Caucus) Legislative Reception at the Sheraton (invite your legislator) 5:30 - 7:00 p.ni. Evening Free to Dine with Your Legislator 7:00 p.ni_ Thursday, May 19 Breakfast Buffet or Breakfast Meetings with your Legislator 8:00 - SA5 a.m General Session 8:45. 10:00 a.m. • Update: Legislative Redistricting and the Top Two Primary General Assembly (tenative) 10:15 - Noon Legislative Action Days Adjourn Noon Plan individual meetings and lunches with legislators, or key staff Advanced Leadership Workshop Attendance is limited to 75 attendees and advanced registration is required. Thursday, May 19 from 1:30 - 5:00 p.m. Creating More Collaborative Councils: Strategies for Effective Communication, Meeting Management and Public Engagement This 7-hour workshop is strategically designed to prepare council. members to work together and solve problems more effectively. This resrdts driVen training will help your city make the best and most productive use of council meetings. Gain practical tools on how to interact more effectively with ,individual residents and the broader aimmunity. Facilitator; for this workshop will include city officialsand experts in communication meeting management and public engagement. This workshop is planned with the Institute for 1 ocal Government. Group Working Dinner On Your Own Join fellow attendees, select a dining Venue and carry out your assigned activity that will build Upon the day's learning. Friday May 20 from 8:00 -11:30 a.m. The Friday portion of the workshop urill review the homework assignment and attendees will continue to build tin tlae previous days learning to complete the program. Attendance at. hoth days is required and will contribute to your advancement within the Mayors and Council Members Academy, Facilitator: Terry Amsler, Program Director, Collaborative Governance Initiative, Institute for Local Government Speakers: Fvpert Panel is Being Formed Now 01216 Tdf 4 lw4" COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Approval of a Resolution Adopting the City of La Quinta Fiscally Responsible Reduction Plan ("FRRP") and the City of La Quinta Excess Benefit Plan and Approving an Administrative Services Agreement with PARS, a Trust Agreement for the FRRP, and an Excess Benefit Trust Agreement RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: O STUDY SESSION: PUBLIC HEARING: Adopt Resolution 2011-_ adopting the City of La Quinta Fiscally Responsible Reduction Plan (`FRRP"), the City of La Quinta Excess Benefit Plan and approving a PARS Administrative Services Agreement, a Trust Agreement for the FRRP and an Excess Benefit Trust Agreement, subject to City Manager and Legal Counsel final approval. FISCAL IMPLICATIONS: Implementation of the City of La Quinta FRRP and City of La Quinta Excess Benefit Plan will require a one time payment in Fiscal Year 201 1-2012, which will result in an estimated first year net savings of salaries and fringe benefits of $288,000. After Fiscal Year 201 1-2012, the salary and fringe benefit savings are estimated to be $1.1 million annually. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: In response to the economic downturn and declining revenues, the City Council approved Resolution 2011-12 (Attachment 1) at the February 15, 2011 regular 0127 meeting, authorizing the City of La Quinta Fiscally Responsible Reduction Plan (FRRP) under the condition the program would meet the immediate and future fiscal, managerial and operational goals of the City. As an alternative that may assist the City in rightsizing the organization, the City has sought ways to encourage employees to voluntarily separate from the City in order to generate the needed cost savings. The recommended option is the City of La Quinta FRRP. The goals of the program are to accelerate the normal rate of attrition, allow the City to rapidly reduce its workforce and create budget savings to address the budget shortfall. The recommended FRRP is offered through the Public Agency Retirement System (PARS), a private company that has been providing supplementary retirement plans to public agencies since 1983. The FRRP provides several payment options including a benefit equal to 6% of the employee's base pay, payable in a variety of ways, including as a monthly retirement payment over the retiree's lifetime. The eligibility requirements for the FRRP are as follows: Non -Director Employees Employed on 2/15/11 Age 60 by 12/31/11 Min. 5 yrs. City service Min. 10 yrs. public agency service* Resign no later than 6/30/1 1 Retire from CalPERS by 7/1/11 f)irPntnrc Employed on 2/15/11 Age 55 by 12/31/11 Min. 5 yrs. City service Min. 10 yrs. public agency service* Resign no later than 6/30/1 1 Retire from CalPERS by 7/1/11 *Public Agency Service, for purposes of determining eligibility in the Fiscally Responsible Reduction Plan, is defined as service with any district, public authority, public corporation, department or any political subdivision of any of the United States or the federal government, including, but not limited to, states themselves, public school districts, public institutions of higher learning, cities and counties. On February 15, 2011, the City Council authorized the City Manager to offer the City of La Quinta FRRP to eligible employees. Shortly thereafter, information and enrollment packets were sent to 17 employees who met the eligibility requirements. Nine (9) of the eligible employees have requested participation in the FRRP. With this final count, staff adjusted their initial estimates and thoroughly evaluated the short and long-term fiscal and service delivery impacts for every position listed, evaluated various organizational restructuring scenarios, and determined that moving forward with the FRRP would indeed meet the goals initially approved by the City Council. The cost of funding the FRRP and paying the associated administrative fees is approximately equivalent to one year of each participating employee's salary. PARS administrative fees are 5.5% of the money invested in the Trust and paid at the time the money is placed in the Trust. The FRRP will be funded in a lump sum utilizing 0128 salary savings. The savings identified above include the cost of funding the FRRP and the City of La Quinta Excess Benefit Plan, The City is required to appoint a Plan Administrator who, among other things, is authorized to finalize and execute necessary documentation pertaining to the FRRP and to serve as the primary contact at the City for communications from PARS. It is recommended that the City Manager be named the Plan Administrator. Pursuant to Resolution Number 201 1-12, in the event that it is found that benefits under the FRRP are limited under Section 415 of the Internal Revenue Code, the City authorized the Plan Administrator to implement replacement benefit programs at no cost to the City. The Plan Administrator has now determined that an "Excess Benefit Plan" is required in order to provide certain benefits that are intended to be equivalent to those offered under the FRRP, but for the limitations of Code Section 415. Copies of the proposed City of La Quinta Excess Benefit Plan and the Excess Benefit Trust Agreement are provided as Attachments 2 and 3, respectively. The following documents are also provided: 1. The City of La Quinta Fiscally Responsible Reduction Plan (FRRP) which describes the provisions of the retirement plan (Attachment 4); 2. The Agreement for Administrative Services which names PARS as the Plan Trust Administrator for the retirement plan (Attachment 5); and 3. The Trust Agreement for the FRRP, which authorizes Union Bank as Plan Trustee for receipt and disbursement of funds (Attachment 6)• Staff recommends that the City Council adopt the City of La Quinta Fiscally Responsible Reduction Plan and the City of La Quinta Excess Benefit Plan, and approve the Agreement for Administrative Services, the Trust Agreement for the FRRP, and the Excess Benefit Trust Agreement. Human Resources held orientation meetings and workshops during the week of March 7 to further explain the program to eligible employees. The department also organized a series of workshops with CalPERS, Public Agency Retirement Programs (PARS), and Henson Consulting LLC to help the employees make well-informed decisions about their potential retirement. Simultaneously, an assessment was made of every department with employees eligible to retire under the FRRP, reviewing duties and responsibilities, and determining how the work would be accomplished should some or all of the eligible staff members choose to retire. As noted in the February 15 staff report, eligibility does not guarantee participation in the program as it is essential that the City realize long-term budget savings by eliminating or reclassifying the potentially vacated positions. Therefore, the department directors were asked not only to identify cost savings, but to also explain what services would be impacted by a smaller staff size and how those impacts could best be managed. 0129 FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Adopt a Resolution adopting the City of La Quinta Fiscally Responsible Reduction Plan and the City of La Quinta Excess Benefit Plan, and approving the PARS Administrative Services Agreement, Trust Agreement for the FRRP, and the Excess Benefit Trust Agreement, subject to City Manager and Legal Counsel final approval; or 2. Do not adopt a resolution adopting the City of La Quinta Fiscally Responsible Reduction Plan and the City of La Quinta Excess Benefit Plan, and do not approve a PARS Administrative Services Agreement, Trust Agreement for the FRRP, and the Excess Benefit Trust Agreement; or 3. Provide staff with alternative direction. Respectfully submitted, Thomas P. Genovese, City Manager Attachments: 1. Resolution 2011-12 2. City of La Quinta Excess Benefit Plan 3. Excess Benefit Trust Agreement 4. City of La Quinta Fiscally Responsible Reduction Plan (FRRP) 5. PARS Administrative Services Agreement 6. Trust Agreement for the FRRP 0130 RESOLUTION NO. 2011- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, ADOPTING THE CITY OF LA QUINTA FISCALLY RESPONSIBLE REDUCTION PLAN ("FRRP") AND THE CITY OF LA QUINTA EXCESS BENEFIT PLAN, AND APPROVING AN ADMINISTRATIVE SERVICES AGREEMENT WITH PUBLIC AGENCY RETIREMENT SERVICES ("PARS"), A TRUST AGREEMENT FOR THE FRRP, AND AN EXCESS BENEFIT TRUST AGREEMENT, AND AUTHORIZING THE PLAN ADMINISTRATOR TO EXECUTE DOCUMENTS RELATED TO THE FRRP WHEREAS by Resolution Number 2011-12, adopted on February 15, 2011, the City Council resolved to adopt the City of La Quinta Fiscally Responsible Reduction Plan ("FRRP") and to offer such plan to eligible employees; and WHEREAS, the City Council has now determined that the City should seek its own ruling with respect to the FRRP rather than rely on the ruling that was previously issued by the IRS to PARS with respect to its volume submitter plan document; and WHEREAS, legal counsel has prepared a customized FRRP plan document and proposed Trust Agreement for the FRRP, as well as certain additional revisions to the Administrative Services Agreement with PARS, copies of which are attached as Exhibit A; and WHEREAS, pursuant to Resolution Number 2011-12, in the event that it is found that benefits under the FRRP are limited under Section 415 of the Internal Revenue Code, the City Council authorized the Plan Administrator to implement replacement benefit programs at no cost to the City. The Plan Administrator has now determined that an "Excess Benefit Plan" is required in order to provide certain benefits that are intended to be equivalent to those offered under the FRRP, but for the limitations of Code Section 415. Copies of the proposed City of La Quinta Excess Benefit Plan and Excess Benefit Trust Agreement have been prepared by legal counsel and are attached as Exhibit B. 0131 Resolution No. 2011- Adoption of the FRRP & Trust, PARS Administrative Services Agreement, & Excess Benefit Plan and Trust Adopted: April 19, 2011 Page 2 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: 1. The City Council does hereby adopt the revised FRRP, the proposed Trust and the revised Administrative Services Agreement, as described in Exhibit A to this Resolution, effective February 15, 2011. 2. The City Council does hereby adopt the City of La Quinta Excess Benefit Plan and Excess Benefit Trust Agreement, as described in Exhibit B to this Resolution, effective February 15, 2011 . 3. The City's Plan Administrator is hereby authorized to execute the above legal and administrative documents on behalf of the City to implement the FRRP and Trust and to adopt the Excess Benefit Plan and Excess Benefit Trust and to take whatever additional actions are necessary to maintain the City's participation in both. The Plan Administrator is further authorized to take whatever additional actions are required to administer the FRRP and Trust, including the submission of such documents to the Internal Revenue Service for its ruling that the FRRP and Trust meet the requirements of Sections 401(a) and 501(a) of the Internal Revenue Code. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this day of 2011, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ATTEST: VERONICA J. MONTECINO, CIVIC, City Clerk City of La Quinta, California DON ADOLPH, Mayor City of La Quinta, California I.: 0132 Resolution No. 2011- Adoption of the FRRP & Trust, PARS Administrative Services Agreement, & Excess Benefit Plan and Trust Adopted: April 19, 2011 Page 3 (SEAL) APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California 0133 EXHIBIT A The City of La Quinta Fiscally Responsible Retirement Plan Effective February 15, 2011 Defined Benefit Plan NBI: 790408.2 0134 TABLE OF CONTENTS Page INTRODUCTION......................................................................................................................... 1 ARTICLE I PARTICIPATION...........................................................................................2 1.1 Eligibility for Benefits...........................................................................................2 1.2 Definitions...................................................................................3 1.3 Commencement of Benefits................................................................................... 3 1.4 Participation...........................................................................................................4 ARTICLEII BENEFITS....................................................................................................... 5 2.1 Retirement Benefits................................................................:.............................. 5 2.2 Designation of Beneficiary.................................................................................... 5 ARTICLEIII VESTING........................................................................................................ 7 3.1 Vesting...................................................................................................................7 3.2 Full or Partial Termination..................................................................................... 7 3.3 Attainment of Normal Retirement Age.................................................................. 7 3.4 Effect of Vesting.................................................................................................... 7 ARTICLEIV DISTRIBUTIONS...........................................................................................8 4.1 Normal Form of Benefit......................................................................................... 8 4.2 Other Forms of Benefit.......................................................................................... 8 4.3 Actuarial Equivalence.......................................................................................... 17 4.4 Direct Rollovers................................................................................................... 18 ARTICLE V ADMINISTRATION AND AMENDMENT OF PLAN ............................... 21 5.1 Member's Rights Not Subject To Execution....................................................... 21 5.2 Rules and Regulations.......................................................................................... 21 5.3 Amendment and Termination.............................................................................. 22 5.4 Military Service................................................................................................... 23 ARTICLE VI ANNUAL BENEFIT LIMITATIONS.......................................................... 24 6.1 Definitions and Application................................................................................. 24 6.2 Annual Limitation on Benefits............................................................................. 25 ARTICLEVII DEFINITIONS...............................................................................................29 7.1 Definitions............................................................................................................29 NBI: 7904082 -I- 0135 INTRODUCTION The City of La Quinta ("Employer") has adopted this tax qualified governmental defined benefit plan for the benefit of its eligible employees to provide supplemental retirement benefits to eligible employees of the Employer in addition to the benefits employees will receive from the California Public Employees' Retirement System ("CalPERS"). It is intended that this Plan and the Trust established to hold the assets of the Plan shall be qualified under Section 401(a) and tax-exempt under Section 501(a) of the Internal Revenue Code of 1986, together with any amendments thereto (the "Code"). It is further intended that this Plan and the Trust established hereunder shall meet the requirements of a pension trust under California Government Code sections 53215 — 53224, or their successor sections (the "Act"). Furthermore, this Plan is a "governmental plan," as defined in Code Section 414(d) that is intended to be a permanent as distinguished from a temporary plan. At any time prior to the satisfaction of all liabilities with respect to Members and their Beneficiaries under the Trust created pursuant to this Plan, the Trust assets shall not be used for, or diverted to, purposes other than the exclusive benefit of Members or their Beneficiaries, as prescribed in Section 401(a)(2) of the Code. It is intended that the Plan satisfy the requirements of the applicable provisions of the Economic Growth and Tax Relief Reconciliation Act (commonly known as "EGTRRA"), the Pension Protection Act of 2006 (commonly known as the "PPA"), the Heroes Earnings Assistance and Relief Tax Act of 2008 (commonly known as the "HEART Act") and final regulations under Section 415 of the Code, and that the provisions of this Plan reflecting such requirements are hereby made effective as of the dates required by the legislation or guidance referred to in this sentence. NBI: 790408.2 0136 ARTICLE I PARTICIPATION 1.1 Eligibility for Benefits. An Employee shall be eligible to receive Retirement Benefits under this Plan if he meets the requirements under one of the following tiers: 2011; Tier I (a) is classified as a full-time General Employee by the Employer as of February 15, (b) has attained sixty (60) years of age as of December 31, 2011; (c) has completed at least ten (10) years of public service as of June 30, 2011 (for purposes of satisfying this Section 1.1(c), employees age sixty-five (65) and older shall be credited with an additional one-half ('/2) year of service credit); 2011; (d) has completed at least five (5) years of service with the Employer as of June 30, (e) has terminated employment with the Employer on or before June 30, 2011; (f) has applied for benefits under this Plan; and (g) has retired under CalPERS effective no later than July 1, 2011. Tier II (a) is classified as a full-time Director by the Employer (excluding the City Manager) as of February 15, 2011; (b) has attained fifty-five (55) years of age as of December 31, 2011; (c) has completed at least ten (10) years of public service as of June 30, 2011; (d) has completed at least five (5) years of service with the Employer as of June 30, 2011; -2- NB 1790408.2 Ol`37 (e) has terminated employment with the Employer on or before June 30, 2011; (f) has applied for benefits under this Plan; and (g) has retired under CalPERS effective no later than July 1, 2011. The Employer reserves the right to amend this Section 1.1 to make other Employees eligible to receive Retirement Benefits under this Plan. 1.2 Definitions (a) "Director" shall mean any employee hired by the Employer for the purpose of directing a department. (b) "Full-time" shall mean a schedule comprised of at least forty (40) hours worked within a fixed and regularly recurring seven (7) day period. (c) "General Employee" shall mean any employee who is not a "Director" as defined in Section 1.2(a) above. (d) "Public service" shall mean service with any district, public authority, public corporation, department or any political subdivision of any of the United States or the federal government, including but not limited to, states themselves, public school districts, public institutions of higher learning, cities and counties. (e) "Years of service" shall mean the amount of time calculated from an Employee's date of hire with the Employer through June 30, 2011. 1.3 Commencement of Benefits. Benefits shall commence as of the first day of the first month after an Employee meets the eligibility requirements of Section 1.1, and may be made retroactive to such date, provided that an Employee shall not be deemed to have satisfied such eligibility requirements earlier than June 30, 2011. -3- NBI: 7904082 0138 1.4 Participation. An Employee will be credited with one Year of Participation for any year during which the Employee is an Employee of the Employer. -4- N8, 790408.2 0139 ARTICLE II BENEFITS 2.1 Retirement Benefits. The monthly benefit commencing pursuant to Section 1.3 shall be paid in the Normal Form of Benefit and in an amount equal to one -twelfth (1/12) of six percent (6%) of the Member's Final Pay. 2.2 Designation of Beneficiary. (a) Each Member shall have the right to designate a Beneficiary to receive the death benefits, if any, that are payable to a Beneficiary from this Plan. Such designation does not permit the Member to change a person identified under another provision of the Plan as being eligible to receive a benefit. Such designation must be evidenced by a written instrument filed with the Employer, on a form prescribed by the Employer, and signed by the Member. (b) Unless otherwise required under Section 4.2(a)(3), the Beneficiary for a married Member shall be the Member's spouse at the date of death, unless the written consent of such spouse is provided upon a form acceptable to the Employer. Each such designation for death benefits must be evidenced by a written instrument filed with the Employer, on a form prescribed by the Employer, and signed by the Member. If no such designation is on file with the Employer at the time of the death of the Member, or if for any reason at the sole discretion of the Employer, such designation is defective, then the spouse of such Member shall be conclusively deemed to be the Beneficiary designated to receive such benefit. (c) The signature of the Member's spouse shall be required on a designation of beneficiary form or an application for a benefit under the Plan if the spouse is not the Beneficiary, unless the Member declares in writing that one of the following conditions exists: -5- NBI: 790408.2 0140 (1) The Member is not married; (2) The Member does not know, and has taken all reasonable steps to determine, the whereabouts of the spouse; (3) The spouse is incapable of executing the acknowledgment because of an incapacitating mental or physical condition; (4) The Member and spouse have executed a marriage settlement agreement that makes the community property laws inapplicable to the marriage; or (5) The current spouse has no identifiable community property interest. in the benefits. Effective as of January 1, 2005, for purposes of this Section 2.2 only, all references in this Section 2.2 to the term "marriage" shall also include the term "registered domestic partnership." All references to the term "married" shall also include "registered domestic partnership" and all references in this Section 2.2 to the term "spouse" shall also include the term "registered domestic partner." The inclusion of "registered domestic partner" in the definition of "spouse" shall not apply for the purposes of Sections 4.2(d), 4.4 and 6.2 of this Plan. NBI: 990408.2 .• OM ARTICLE III VESTING 3.1 Vesting. A Member will be fully Vested in his Retirement Benefit upon meeting the requirements of Section LL 3.2 Full or Partial Termination. Notwithstanding the vesting schedule, upon the complete discontinuance of Employer contributions to the Plan or upon any full or partial termination of the Plan, the Member's Retirement Benefit shall become one hundred percent (100%) Vested. 3.3 Attainment of Normal Retirement Age. A Member shall be fully Vested in his Retirement Benefit upon attainment of Normal Retirement Age. 3.4 Effect of Vesting. Vesting shall entitle a Member to payment during his lifetime of the Retirement Benefit at the times and upon the conditions specified herein, and shall entitle the Member's survivor or Beneficiary to any death benefits provided herein. Any unpaid Retirement Benefits are forfeited upon the Member's death under the Normal Form of Benefit. NRI: 790408.2 ,. 0142 ARTICLE IV DISTRIBUTIONS 4.1 Normal Form of Benefit. Unless the Member elects another form of benefit as described under Section 4.2, payments to a Member of a Retirement Benefit shall be made in the form of monthly payments commencing pursuant to Section 1.3 and ending on the first day of the month in which the Member's death occurs, in the amount specified in Section 2.1. This form of payment shall be the "Normal Form of Benefit." 4.2 Other Forms of Benefit. In lieu of the Normal Form of Benefit, a Member may elect a form of benefit payment of Actuarial Equivalent value to the Normal Form of Benefit in one of the following forms: (a) Optional Form of Benefit. Under this form of payment: (1) The Member receives a reduced monthly benefit, and if the Member predeceases the Beneficiary, the Beneficiary will receive a monthly payment for the life of the Beneficiary equal to one hundred percent (100%) of such reduced monthly benefit; provided, however, that if the Beneficiary is not the spouse of the Member, this form of payment shall be available only to the extent permitted pursuant to Section 4.2(d)(2)(13)(1)• (2) If the Beneficiary predeceases the Member, the Member's reduced monthly payment will not increase. (3) The Member's designation of a Beneficiary shall become irrevocable upon a date selected by the Employer prior to commencement of benefits if electing this form of payment provided, however, the Beneficiary shall be the Member's spouse at the date to NB 1: 7904082 �.,a 0143 benefits commence, unless the written consent of such spouse is provided upon a form acceptable to the Employer. (4) For the purpose of establishing actuarial equivalence between the Normal and Optional Form of Benefit, the monthly amount of benefit payable under an Optional Form of Benefit shall be a fixed percentage of the monthly amount of benefit payable under the Normal Form of Benefit, as determined by the 1983 GAM and an interest assumption of six percent (6%). (b) Fixed -Term Payout. Under this form of payment: (1) The Member receives a benefit paid over a designated period of time (not to exceed the Member's life expectancy) that is actuarially equivalent to the Normal Form of Benefit. The Member shall determine the term of the payment which shall be no less than five (5) years and no greater than fifteen (15) years. (2) Any remaining payments in the fixed -term payout schedule shall continue to the Beneficiary or subsequent Beneficiaries in the event of the Member's death. (c) Life Annuity with Period Certain. Under this form of payment: (1) At the option of the Member, the benefit shall be paid in fixed monthly payments in the form of a life annuity (using the Member's life as the measuring period), subject to a ten (10) year minimum. (2) In the event the Member dies prior to receiving a total of one hundred and twenty (120) payments, the remaining unpaid monthly payments shall be paid to a designated Beneficiary. -9- NB1: 7904082 0144 (d) Limitations. (1) In the case of a Member who attains age 70-1/2, distribution of such Member's entire interest must commence not later than the first day of April following the later of the calendar year in which such Member attains age 70-1/2 or the calendar year in which the Member retires (the "Required Beginning Date"). In all cases, distributions shall be made in at least the amounts determined in accordance with Code Section 401(a)(9) and the regulations thereunder, as described in Section 4.2(d)(2) below. (2) With respect to required minimum distributions under this Section 4.2(d) for calendar years beginning after December 31, 2002, the following rules shall apply: (A) All distributions required under this Section 4.2(d) shall be determined and made in accordance with the Treasury Regulations under Section 401(a)(9) of the Code, including, without limitation, the minimum distribution incidental benefit requirements. The requirements of this Section 4.2(d) will take precedence over any inconsistent provisions of the Plan, provided that this Section 4.2(d) shall not be considered to allow a Member or Beneficiary to delay a distribution or elect an optional form of benefit not otherwise provided in the Plan. (B) Time and Manner of Distribution (I) The Member's entire interest will begin to be distributed to the Member no later than the Member's Required Beginning Date as defined in Section 4.2(d)(1). (II) If the Member dies before distributions begin, then the Member's entire interest will begin to be distributed no later than as follows: _10- NB1: 790408 2 0145 (a) If the Member's surviving spouse is the Member's sole designated Beneficiary, then distributions to the surviving spouse will begin by December 31 of the calendar year immediately following the calendar year in which the Member died, or by December 31 of the calendar year in which the Member would have attained age 70-1/2, if later. (b) If the Member's surviving spouse is not the Member's sole designated Beneficiary, then distributions to the designated Beneficiary will begin by December 31 of the calendar year immediately following the calendar year in which the Member died. (c) If there is no designated Beneficiary as of September 30 of the year following the year of the Member's death, the Member's entire interest will be distributed by December 31 of the calendar year containing the fifth anniversary of the Member's death. (d) If the Member's surviving spouse is the Member's sole designated Beneficiary and the surviving spouse dies after the Member but before distributions to the surviving spouse begin, this Section 4.2(d)(2)(13)(II), other than Section 4.2(d)(2)(B)(II)(a), will apply as if the surviving spouse were the Member. For purposes of this Section 4.2(d)(2)(B)(1I) and Section 4.2(d)(2)(E), distributions are considered to begin on the Member's Required Beginning Date (or, if Section 4.2(d)(2)(B)(II)(d) applies, the date distributions are required to begin to the surviving spouse under Section 4.2(d)(2)(B)(II)(a)). If annuity -I1- NBI: 7904082 0146 payments irrevocably commence to the Member before the Member's Required Beginning Date (or to the Member's surviving spouse before the date distributions are required to begin to the surviving spouse under Section 4.2(d)(2)(B)(II)(a)), the date distributions are considered to begin is the date distributions actually commence. (III) Unless the Member's interest is distributed in the form of an annuity purchased from an insurance company or in a single sum on or before the Required Beginning Date, as of the first distribution calendar year distributions will be made in accordance with Sections 4.2(d)(2)(C), (D) and (E). If the Member's interest is distributed in the form of an annuity purchased from an insurance company, distributions thereunder will be made in accordance with the requirements of Section 401(a)(9) of the Code and the Treasury Regulations. (C) Determination of Amount to be Distributed Each Year (I) If the Member's interest is paid in the form of annuity distributions under the Plan, payments under the annuity will satisfy the following requirements: (a) the annuity distributions will be paid in periodic payments made at intervals not longer than one year; (b) the distribution period will be over a life (or lives) or over a period certain not longer than the period described in Sections 4.2(d)(2)(D) or (E); -12- NB 1: 7904082 .. O p (c) once payments have begun under a fixed -term payout under Section 4.2(b), the fixed -term payout period will not be changed even if the period certain is shorter than the maximum permitted; (d) payments will either be non -increasing or increase only as follows: (i) by an annual percentage increase that does not exceed the annual percentage increase in a cost of living index that is based on prices of all items and issued by the Bureau of Labor Statistics; (ii) to the extent of the reduction in the amount of the Member's payments to provide for a survivor benefit upon death, but only if the Beneficiary whose life was being used to determine the distribution period described in Section 4.2(d)(2)(D) dies or is no longer the Member's Beneficiary pursuant to a qualified domestic relations order within the meaning of Section 414(p) of the Code; or (iii) to pay increased benefits that result from a Plan amendment. (I1) The amount that must be distributed on or before the Member's Required Beginning Date (or, if the Member dies before distributions begin, the date distributions are required to begin under Sections 4.2(d)(2)(B)(11)(a) or (b)) is the payment that is required for one payment interval. The second payment need not be made until the end of the next payment interval even if that payment -13- NB I : 790408.2 e interval ends in the next calendar year. Payment intervals are the periods for which payments are received, e.g., bi-monthly, monthly, semi-annually, or annually. All of the Member's benefit accruals as of the last day of the first distribution calendar year will be included in the calculation of the amount of the annuity payments for payment intervals ending on or after the Member's. Required Beginning Date. (III) Any additional benefits accruing to the Member in a calendar year after the first distribution calendar year will be distributed beginning with the first payment interval ending in the calendar year immediately following the calendar year in which such amount accrues. (D) Requirements For Annuity Distributions That Commence During Member's Lifetime (1) If the Member's interest is being distributed in the form of a benefit described in Section 4.2(a) for the joint lives of the Member and a nonspouse Beneficiary, annuity payments to be made on or after the Member's Required Beginning Date to the designated Beneficiary after the Member's death must not at any time exceed the applicable percentage of the annuity payment for such period that would have been payable to the Member using the table set forth in Q&A-2(c)(2) of Section 1.401(a)(9)-6 of the Treasury Regulations in the manner described in Q&A-2(c)(1) of the Treasury Regulations. If the form of distribution combines a benefit described in Section 4.2(a) for the joint lives of the Member and a nonspouse Beneficiary and a fixed -term payout annuity, the requirement in -14- NB I: 790408.2 0149 the preceding sentence will apply to annuity payments to be made to the designated Beneficiary after the expiration of the fixed -term payout period. (II) Unless the Member's spouse is the sole designated Beneficiary and the form of distribution is a fixed -term payout annuity, the fixed -term payout period for an annuity distribution commencing during the Member's lifetime may not exceed the applicable distribution period for the Member under the Uniform Lifetime Table set forth in Section 1.401(a)(9)-9, Q&A-2 of the Treasury Regulations for the calendar year that contains the annuity starting date. If the benefit commencement date precedes the year in which the Member reaches age 70, the applicable distribution period for the Member is the distribution period for age 70 under the Uniform Lifetime Table set forth in Section 1.401(a)(9)-9, Q&A-2 of the Treasury Regulations plus the excess of 70 over the age of the Member as of the Member's birthday in the year that contains the benefit commencement date. If the Member's spouse is the Member's sole designated Beneficiary and the form of distribution is a fixed -term payout annuity, the fixed - term payout period may not exceed the longer of the Member's applicable distribution period, as determined under this Section 4.2(d)(2)(D), or the joint life and last survivor expectancy of the Member and the Member's spouse as determined under the Joint and Last Survivor Table set forth in Section 1.401(a)(9)-9, Q&A-3 of the Treasury Regulations, using the Member's and spouse's attained ages as of the Member's and spouse's birthdays in the calendar year that contains the benefit commencement date. -15- NB1: 790408,2 0150 (E) Requirements For Minimum Distributions Where Member Dies Before Date Distributions Begin (I) If the Member dies before the date distribution of his or her interest begins and there is a designated Beneficiary, the Member's entire interest will be distributed, beginning no later than the time described in Sections 4.2(d)(2)(B)(II)(a) or (b), over the life of the designated Beneficiary or over a fixed -term payout period not exceeding: (a) unless the benefit commencement date is before the first distribution calendar year, the life expectancy of the designated Beneficiary is determined using the Beneficiary's age as of the Beneficiary's birthday in the calendar year immediately following the calendar year of the Member's death; or (b) if the benefit commencement date is before the first distribution calendar year, the life expectancy of the designated Beneficiary is determined using the Beneficiary's age as of the Beneficiary's birthday in the calendar year that contains the benefit commencement date. (II) If the Member dies before the date distributions begin and there is no designated Beneficiary as of September 30 of the year following the year of the Member's death, distribution of the Member's entire interest will be completed by December 31 of the calendar year containing the fifth anniversary of the Member's death. -16- NBl : 7904082 0151 (III) If the Member dies before the date distribution of his or her interest begins, the Member's surviving spouse is the Member's sole designated Beneficiary, and the surviving spouse dies before distributions to the surviving spouse begin, this Section 4.2(d)(2)(E) will apply as if the surviving spouse were the Member, except that the time by which distributions must begin will be determined without regard to Section 4.2(d)(2)(B)(II)(a). (F) Definitions (I) Designated Beneficiary. The individual who is designated as the Beneficiary under Section 2.2 of the Plan and is the designated Beneficiary under Section 401(a)(9) of the Code and Section 1.401(a)(9)-4 of the Treasury Regulations. (II) Distribution calendar year. A calendar year for which a minimum distribution is required. For distributions beginning before the Member's death, the first distribution calendar year is the calendar year immediately preceding the calendar year that contains the Member's Required Beginning Date. For distributions beginning after the Member's death, the first distribution calendar year is the calendar year in which distributions are required to begin pursuant to Section 4.2(d)(2)(B)(II). (III) Life expectancy. Life expectancy as computed by use of the Single Life Table in Section 1.401(a)(9)-9, Q&A-I of the Treasury Regulations. (IV) Required Beginning Date. The date set forth in Section 4.2(d)(1). 4.3 Actuarial Equivalence. -17- NB1.7904082 0152 For the purpose of establishing Actuarial Equivalence, the mortality assumption shall be 1983 GAM and the interest assumption shall be six percent (6%) per annum. 4.4 Direct Rollovers. (a) This section applies to all distributions made on or after January 1, 1993. Notwithstanding any provision of the Plan to the contrary that would otherwise limit a distributee's election under this Plan, a distributee may elect, at the time and in the manner prescribed by the Plan Administrator, to have any portion of an eligible rollover distribution paid directly to an eligible retirement plan specified by the distributee in a direct rollover. A distributee includes an Employee or former Employee. In addition, the Employee's or former Employee's surviving spouse and the Employee's or former Employee's spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in Section 414(p) of the Code, are distributees with regard to the interest of the spouse or former spouse. (b) A Beneficiary who is not the spouse of the Member may elect a direct trustee -to - trustee transfer that qualifies as an eligible rollover distribution under this Section 4.4. Such transfer shall be made to an individual retirement account described in Section 408(a) or an individual retirement annuity described in Section 408(b) that is established for the purpose of receiving the distribution on behalf of such Beneficiary. Such individual retirement account shall be deemed an inherited IRA pursuant to the provisions of Section 402(c)(11) of the Code. In the case of a nonspouse Beneficiary, the direct rollover may be made only to an individual retirement account or annuity described in Section 408(a) or Section 408(b) ("IRA") that is established on behalf of the designated Beneficiary and that will be treated as an inherited IRA pursuant to the I" NBL 790408.2 0153 provisions of Section 402(c)(11). Also, in this case, the determination of any required minimum distribution under Section 401(a)(9) that is ineligible for rollover shall be made in accordance with Notice 2007-7, Q&A 17 and 18, 2007-5 I.R.B. 395. (c) Definitions. (1) Eligible Rollover Distribution. An eligible rollover distribution is any distribution of all or any portion of the balance to the credit of the distributee, except that an eligible rollover distribution does not include: any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated Beneficiary, or for a specified period of ten years or more; any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code, any hardship distribution, and the portion of any distribution that is not includible in gross income (determined without regard to the exclusion for net unrealized appreciation with respect to.employer securities), and any other distribution(s) that is reasonably expected to total less than $200 during a year. A portion of a distribution shall not fail to be an eligible rollover distribution merely because the portion consists of after-tax employee contributions which are not includible in gross income. However, such portion may be transferred only to (1) an individual retirement account or annuity described in Section 408(a) or (b) of the Code; (2) for taxable years beginning after December 31, 2001 and before January 1, 2007; to a qualified trust which is part of a defined contribution plan that agrees to separately account for amounts so transferred, including separately accounting for the portion of such distribution which is includible in gross income and the portion of such distribution 19- NBA: 790408.2 0154 which is not so includible; or (3) for taxable years beginning after December 31, 2006, to a qualified trust or to an annuity contract described in Section 403(b), if such trust or contract provides for separate accounting for amounts so transferred (including interest thereon), including separately accounting for the portion of such distribution which is includible in gross income and the portion of such distribution which is not so includible. (2) Eligible Retirement Plan. An eligible retirement plan is an individual retirement account described in Section 408(a) of the Code, an individual retirement annuity described in Section 408(b) of the Code, a qualified defined contribution plan described in Section 401(a) of the Code that accepts the distributee's eligible rollover distribution, an annuity contract described in Section 403(b) of the Code, an annuity plan described in Section 403(a) of the Code, and an eligible plan under Section 457(b) of the Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state and which agrees to separately account for amounts transferred into such plan from this Plan. The definition of eligible retirement plan shall also apply in the case of a distribution to a surviving spouse, or to a spouse or former spouse who is the alternate payee under a qualified domestic relation order, as defined in Section 414(p) of the Code. With respect to eligible rollover distributions made on or after January 1, 2008, an eligible retirement plan shall also include a Roth IRA as described in Section 408A of the Code, provided that the distributee is not restricted from making such a rollover from this Plan to a Roth IRA pursuant to Section 408A(c) of the Code. (3) Direct Rollover. A direct rollover is a payment by the Plan to the eligible retirement plan specified by the distributee. -20- NBI 7904082 ARTICLE V ADMINISTRATION AND AMENDMENT OF PLAN 5.1 Member's Rights Not Subiect To Execution. The right of a Member to a benefit under this Plan is not assignable and is not subject to execution or any other process whatsoever, except to the extent permitted by the Code of Civil Procedure and the Family Code of the State of California. Any payment hereunder required under the California Family Code to a person other than the Member must not alter the form or amount of benefits hereunder, except that to the extent provided in a valid court order, an Actuarially Equivalent payment may be made to the spouse or child of a Beneficiary pursuant to a qualified domestic relations order (as defined in Code Section 414(p)) prior to the Member's retirement. 5.2 Rules and Regulations. The Employer has full discretionary authority to supervise and control the operation of this Plan in accordance with its terms and may make rules and regulations for the administration of this Plan that are not inconsistent with the terms and provisions hereof. The Employer shall determine any questions arising in connection with the interpretation, application or administration of the Plan (including any question of fact relating to age, employment, Compensation or eligibility of Employees) and its decisions or actions in respect thereof shall be conclusive and binding upon any and all persons and parties. The Employer shall have all powers necessary to accomplish its purposes, including, but not by way of limitation, the following: (a) To determine all questions relating to the eligibility of Employees to participate; (b) To construe and interpret the terms and provisions of the Plan; _21 _ NBI: 790408.2 (c) To compute, certify to, and direct the Trustee with regard to the amount and kind of benefits payable to the Members and their Beneficiaries; (d) To authorize all disbursements by the Trustee from the Trust; (e) To maintain all records that may be necessary for the administration of the Plan other than those maintained by the Trustee; and (f) To appoint a Plan Administrator or, any other agent, and to delegate to them or to the Trustee such powers and duties in connection with the administration of the Plan as it may from time to time prescribe, and to designate each such administrator or agent as a fiduciary with regard to matters delegated to him. With respect to management and control of investments, the Employer shall have the power to direct the Trustee in writing with respect to the investment of the Trust assets or any part thereof. Where investment authority, management and control of Trust assets have been delegated to the Trustee by the Employer, the Trustee shall be a fiduciary with respect to the investment, management and control of the Trust assets contributed by the Employer and Members with full discretion in the exercise of such investment, management and control. Where investment authority, management and control of Trust assets are not specifically delegated to the Trustee, the Trustee shall be subject to the direction of the Employer. Expenses and fees in connection with the administration of the Plan and the Trust shall be paid from the Trust assets to the fullest extent permitted by law, unless the Employer determines otherwise. 5.3 Amendment and Termination. The Employer shall have the right to amend, modify or terminate this Plan at any time. In the event of the complete discontinuance of this Plan, the entire interest of each Member NBI: 790408.2 0157 affected thereby shall immediately become 100% Vested. The Employer shall not be liable for the payment of any benefits under this Plan and all benefits hereunder shall be payable solely from the assets of the Trust. Pursuant to Treasury Regulation Section 1.401-2(b), after all liabilities of this Plan to Members and their Beneficiaries have been satisfied following the termination of this Plan, any residual assets of this Plan shall be used for such purposes as determined by the Employer, including a distribution of the assets to the general funds of the Employer. Furthermore, a contribution made by the Employer may be returned if: (1) the contribution is made by reason of a mistake of fact (Section 403(c)(2)(A); (2) the contribution is conditioned on qualification of the Plan under the Code and the Plan does not so qualify; or (3) the contribution is conditioned on its deductibility under Section 404 of the Code. The return to the Employer of the amount involved must be made within one year of the mistaken payment of the contribution, the date of denial of qualification, or disallowance of the deduction. 5.4 Military Service. Effective December 12, 1994, and notwithstanding any provision of this Plan to the contrary, contributions, benefits, and service credit with respect to qualified military service will be provided in accordance with Section 414(u) of the Code. In the case of a Member who dies while performing qualified military service, the survivors of the Member are entitled to any additional benefits (other than benefit accruals relating to the period of qualified military service) provided under the Plan had the Member resumed and then terminated employment on account of death. A Member receiving a "differential wage payment," as defined in Code Section 3401(h)(2) shall be treated as an Employee of the Employer, and the differential wage payment shall be treated as Compensation. -23- NBI'. 7904OU •..1 0153 ARTICLE VI ANNUAL BENEFIT LIMITATIONS 6.1 Definitions and Application. As used in this Article VI, the following terms shall have the meanings specified below. Unless otherwise stated below, the provisions of this Article VI shall apply to Limitation Years beginning on or after January 1, 2009. "Affiliated Company" means a company required to be aggregated with the Employer for Purposes of Code Sections 414(b) and (c), provided, however, the determination under Section 414(b) and (c) of the Code shall be made as if the phrase "more than 50 percent' were substituted for the phrase "at least 80 percent' each place it is incorporated into Section 414(b) and (c) of the Code. "Annual Benefit" means a benefit payable annually in the form of a straight life annuity (with no ancillary benefits) under a plan to which Employees do not contribute and under which no rollover contributions are made, or to which assets have been transferred from a qualified plan that was not maintained by the Employer. If the benefit is payable in a form other than a straight life annuity, such form must be adjusted actuarially to be the equivalent of a straight life annuity before applying the limitations of Section 6.2(a). The actuarial adjustment to the equivalent of a straight life annuity will apply to all Plan benefits except as set forth herein. The actuarial adjustment shall be made in accordance with the provisions of Treasury Regulation Section 1.415(b)-1(c), which are incorporated herein by reference. No actuarial adjustment is required for the following: qualified joint and survivor annuity benefits, pre -retirement disability benefits, pre -retirement death benefits, post -retirement medical benefits, and the value of an automatic benefit increase feature made in accordance with applicable Treasury Regulations. -24- NBI: 790408.2 "Employer" means the Employer and any Affiliated Company that adopts this Plan. "Limitation Year" means a 12-consecutive month period ending on the Anniversary Date. If the Limitation Year is amended to a different 12-consecutive month period, the new Limitation Year must begin on a date within the Limitation Year in which the amendment is made. "Related Plan" means any other defined benefit plan (as defined in Section 415(k) of the Code) maintained by the Employer. "Year of Participation" means the Employee shall be credited with a Year of Participation for each year in which the Employee is an Employee of the Employer. An Employee who is permanently and totally disabled within the meaning of Section 415(c)(3)(C)(i) of the Code for an accrual computation period shall receive a Year of Participation with respect to that period. In addition, for an Employee to receive a Year of Participation for an accrual computation period, the Plan must be established no later than the last day of such accrual computation period. In no event will more than one Year of Participation be credited for any 12- month period. 6.2 Annual Limitation on Benefits. Notwithstanding any other provision of the Plan: (a) The Annual Benefit payable with respect to a Member under the Plan for any Limitation Year shall not exceed an amount equal to $160,000, or such other dollar limitation determined for the Limitation Year by automatically adjusting the $160,000 limitation by the cost of living adjustment factor prescribed by the Secretary of the Treasury under Section 415(d) of the Code in such manner as the Secretary shall prescribe. The new dollar limitation shall apply to Limitation Years ending within the calendar year of the date of the adjustment. -25- NB1: 7904082 0160 (b) If the Member has less than ten Years of Participation with the Employer, the limitation in Section 6.2(a) shall be reduced by multiplying it by a fraction, the numerator of which is the Member's full and partial Years of Participation, and the denominator of which is ten. To the extent provided in Treasury Regulations or in other guidance issued by the Internal Revenue Service, the preceding sentence shall be applied separately with respect to each change in the benefit structure of the Plan. The reduction provided in this paragraph does not apply to payments made to the Member if his payments commence after he has become disabled (within the meaning of Code Section 415(b)(2)(I)), and does not apply to payments made on account of the Member's death. (c) If the Annual Benefit of a Member begins prior to age 62, the limitation under Section 6.2(a) applicable to the Member at such earlier age is an Annual Benefit payable in the form of a straight life annuity beginning at the earlier age that is the actuarial equivalent of the limitation applicable to the Member at age 62 (adjusted under subsection 6.2(b) above, if required). The limitation applicable at an age prior to age 62 shall be determined in accordance with the provisions of Treasury Regulation Section 1.415(b)-1(d), which are incorporated herein by reference. The reduction in this Section 6.2(c) shall not apply for a Member who is a "qualified participant," as defined in Code Section 415(b)(2)(H). (d) If the Annual Benefit of a Member begins after age 65, the limitation under Section 6.2(a) applicable to the Member at such later age is an Annual Benefit payable in the form of a straight life annuity beginning at the later age that is the actuarial equivalent of the limitation applicable to the Member at age 65 (adjusted under subsection 6.2(b) above, if required). The limitation applicable at an age after age 65 shall be determined in accordance with the provisions of Treasury Regulation Section 1.415(b)-1(e), which are incorporated herein by reference. -26- G t NB17904082 01C 1 (e) Pursuant to Treasury Regulation Section 1.415(b)-1(a)(7)(iii), the rate of a Member's accrual shall not be limited by this Article VI (but at all times the annual benefit payable to the Member is subject to the limits set forth in this Article VI). (0 The limitation in Section 6.2(a) is deemed satisfied if the Annual Benefit payable to a Member is not more than $1,000 multiplied by the Member's number of years of service or parts thereof (not to exceed ten) with the Employer, and the Employer (or a predecessor employer) has not at any time maintained a defined contribution plan in which such Member participated. If the Employer maintains one or more defined benefit plans, in addition to this Plan, covering an Employee who is also a Member in this Plan, the sum of the Annual Benefits of all the plans will be treated as a single benefit for the purposes of applying the limitations of Section 6.2(a). For purposes of the preceding sentence, Annual Benefits under a "qualified governmental excess benefit arrangement," as described in Section 415(m)(3) of the Code, shall be disregarded. If the Annual Benefits exceed, in the aggregate, the limitations of Section 6.2(a), the Normal Retirement Benefits under this Plan will be reduced (but not below zero) until the sum of the benefits of the Related Plan(s) satisfy the limitations. In the case of an individual who was a Member in one or more defined benefit plans of the Employer as of the first day of the first Limitation Year beginning after December 31, 1986, the application of the limitations of this Section 6.2 shall not cause the limitation under Section 6.2(a) for such individual under all such defined benefit plans to be less than the individual's Current Accrued Benefit. The preceding sentence applies only if such defined benefit plans met the requirements of Section 415 of the Code, for all Limitation Years beginning before May 6, 1986. For purposes of this Section 6.2(f), an individual's Current Accrued Benefit means a Member's Accrued Benefit -27- NB I : 7904082 0162 under the Plan, determined as if the Member had separated from service as of the close of the last Limitation Year beginning before January 1, 1987, when expressed as an annual benefit within the meaning of Section 415(b)(2) of the Code. In determining the amount of a Member's Current Accrued Benefit, the following shall be disregarded: (i) any change in the terms and conditions of the Plan after May 5, 1986; and (ii) any cost of living adjustments occurring after May 5, 1986. (g) If a Member makes one or more contributions to the Plan to purchase "permissive service credit," as defined in. Code Section 415(n)(3), then the limitations of this Article VI shall be treated as met only if either (i) the limitations provided in Code Section 415(b) are met, determined by treating the accrued benefit derived from such contributions as an annual benefit for purposes of Code Section 415(b), or (ii) the requirements of Code Section 415(c) are met, determined by treating all such contributions as annual additions for purposes of Code Section 415(c). _28_ NBt: 7904082 0163 ARTICLE VII DEFINITIONS 7.1 Definitions. Whenever the following terms are used in the Plan, with the first letter capitalized, they shall have the meanings specified below. "Act" means the California Government Code. "Anniversary Date" means July 1. "Beneficiary" means the person, persons, trust or trusts designated by a Member, or, in the absence of a designation, entitled by will or the laws of descent and distribution, to receive the benefit specified under this Plan if the Member dies and means the Member's executor or administrator if no other Beneficiary is designated and able to act under the circumstances. "Code" means the Internal Revenue Code of 1986, as amended from time to time. "Compensation" means, for Plan Years beginning after December 31, 2001 or 90 days after the opening of the first legislature session on or after January 1, 2002, all compensation for that portion of the Plan Year during which the Employee was a Member, paid in cash by the Employer to the Member for personal services. Compensation in excess of $200,000 shall be disregarded. Such amount shall be adjusted for increases in the cost of living in accordance with Code Section 401(a)(17), except that the dollar increase in effect on January 1 of any calendar year shall be effective for the Plan Year beginning with or within such calendar year. For any short Plan Year the Compensation limit shall be an amount equal to the Compensation limit for the calendar year in which the Plan Year begins multiplied by a ratio obtained by dividing the number of full months in the short Plan Year by twelve (12). -29- NBC 790408.2 0164 For purposes of determining benefit accruals in a Plan Year beginning after December 31, 2001, the annual compensation limit described in this Section 7.1 for determination periods beginning before January 1, 2002 shall be $150,000 for any determination period beginning in 1996 or earlier; $160,000 for any determination period beginning in 1997, 1998, or 1999; and $170,000 for any determination period beginning in 2000 or 2001. "Effective Date" means, unless otherwise indicated herein, February 15, 2011. "Eligible Employee" means an Employee who fulfills the requirements of Section 1.1. "Employee" means an employee of the Employer. "Employer" means the City of La Quinta, which has adopted this Plan. "Final Pay" means the Member's rate of base annual salary as of June 30, 2011, modified to exclude longevity pay, differential pay, special duty pay, special assignment pay, educational incentive pay, and CalPERS Employer Paid Member Contributions (EPMC), if applicable. "Member" means an Employee eligible to receive benefits under this Plan. "Normal Form of Benefit" is the form of benefit described in Section 4.1. "Normal Retirement Age" shall be age sixty-two (62) and meeting the requirements of Section I. I. "Plan" means the City of La Quinta Fiscally Responsible Retirement Plan. "Plan Administrator" means the individual or position designated by the Employer to act on behalf of the Employer in matters relating to this Plan. If no designation is made, the Employer shall be the Plan Administrator. If a Plan Administrator has been appointed the word "Employer" as used in this Plan, shall mean Plan Administrator unless the context indicates a different meaning is intended. -30- NBI 790408.2 t.0- 0165 "Plan Year" means the consecutive twelve-month period beginning on July 1 and ending on June 30. "Public Agency" means an employer authorized under California Government Code Article 1.5, sections 53215 through 53224 to establish a pension trust. "Regulations" means the regulations adopted or proposed by the Department of Treasury from time to time pursuant to the Code. "Retirement Benefits" means the benefits payable to the Member following retirement, as described in Article 11. "Trust" means the qualified trust established to hold the assets of the Plan. "Trustee" means the trustee of the Trust. "Vested" means the nonforfeitable portion of any account maintained on behalf of a Member. "Year of Participation" means any year in which an employee is an Employee of the Employer. -31- NBt: 790408,2 9,11.0166 ADOPTION OF THE CITY OF LA QUINTA SUPPLEMENTARY RETIREMENT PLAN The City of La Quinta Fiscally Responsible Retirement Plan is hereby adopted effective February 15, 2011. 0 NB 1: 790408 2 9„o. 0167 TRUST AGREEMENT PREAMBLE The Huntington Beach City School District and State Center Community College District formed and adopted the Trust (the "Trust') on July 1, 1991 ("Effective Date"). Subsequent to the Effective Date other California public agencies adopted the Trust as the funding vehicle for tax qualified retirement plans for employees. Subsequent to the Effective Date the Trust was amended. Effective as of July 1, 1999 ("Amended Effective Date") the Trust was amended and restated in its entirety as contained herein. This amended and restated Trust shall supersede all prior versions of the Trust as of the Amended Effective Date. 0169• TABLE OF CONTENTS ARTICLE PAGE ARTICLE I DEFINITIONS.............................................................. 1 ARTICLE II THE TRUST PROGRAM ........................................... 2 ARTICLE III ADMINISTRATIVE MATTERS ............................... 6 ARTICLE IV THE TRUSTEE............................................................ 11 ARTICLE V INVESTMENTS........................................................... 17 ARTICLE VI FIDUCIARY RESPONSIBILITIES ........................... 25 ARTICLE VII AMENDMENT, TERMINATION AND MERGER. 28 ARTICLE VIII MISCELLANEOUS PROVISIONS ........................... 30 ARTICLE IX ACKNOWLEDGMENT AND ACCEPTANCE ....... 32 ;; 0110 ARTICLE I DEFINITIONS 1.1 "Act" shall mean California Government Code Sections 53215 — 53224, or their successor sections. 1.2 "Agreement for Administrative Services" shall mean the agreement executed between the Member Agency and the Trust Administrator which authorizes the Trust Administrator to perform specific duties of administering the Member Agency Plan and related Agency Trust. 1.3 "Amended Effective Date" shall mean July 1, 1999, the date the Trust Agreement was amended and restated in its entirety 1.4 "Assets" shall mean all contributions and transfers of assets received by an Agency Trust on behalf of a Member Agency's Plan, together with the income and earnings from such contributions and transfers and any increments accruing to them. 1.5 "Agency Trust" shall mean the legally separate and individual trust, whose provisions are identical to those of the Trust Agreement that is established by a Member Agency when it adopts the Trust by executing an Adoption Agreement. 1.6 "Alternate Trustee" shall mean a trustee, other than the Trustee of the Trust Program, appointed by a Member Agency to serve as a trustee of a portion of such Agency Trust's assets as to which the Trustee serves as custodian. 1.7 "Code" shall mean the Internal Revenue Code of 1986 as amended from time to time. 1.8 "Custodian" shall mean Union Bank of California, N.A. whose duties are limited to those specified in Section 4.3. 1.9 "Delegatee" shall mean an individual or entity, appointed by the Plan Administrator or Member Agency to act in such matters as are specified in the appointment. 1.10 "Effective Date" shall mean July 1, 1991, the date the Trust Program was established. 1.11 "Investment Fiduciary" shall mean the fiduciary with the authority and duty to direct the investment and management (including the power to direct the 0171 acquisition and disposition) of some or all of the Assets of the Agency Trust appointed by a Member Agency for its Agency Trust. 1.12 "Omnibus Account" shall mean an account, established for recordkeeping purposes only, to commingle the Assets of the Agency Trust. 1.13 "Member Agency" shall mean a California public agency that adopts the provisions of the Trust Agreement. 1.14 "Plan" shall mean the tax qualified plan whose assets the Agency Trust holds. 1.15 "Plan Administrator" shall mean the individual designated by position of employment at the Member Agency to act on its behalf in all matters relating to the Member Agency's participation in the Trust Program and Agency Trust. 1.16 "Trust Agreement" shall mean the pro forma trust document adopted by each Member Agency upon execution of an Adoption Agreement, as amended from time to time. 1.17 "Trust Program" shall mean the trust arrangement. 1.18 "Participant" shall mean individual participating in a Member Agency Plan or that individual's beneficiary. 1.19 "Trust Administrator" shall mean the entity that provides the services of the Trust Administrator as described herein. 1.20 "Trustee" shall mean the entity appointed as trustee of the Trust that shall also serve as trustee of each Agency Trust established pursuant to the provisions of this ,Trust Agreement except where an Alternate Trustee has been appointed. ARTICLE II THE TRUST PROGRAM 2.1 Multiple Employer Trust The Trust Program is a multiple employer trust arrangement established to provide economies of scale and efficiency administration to public agencies that adopt it to hold the assets of their Member Agency Plans maintained for the benefit of their employees. The Trust Program consists of the Agency Trusts adopted and not terminated by Member Agencies. 2 0172 2.2 Qualified Governmental Retirement Trust The Trust Program is established pursuant to the provisions of Section 501 of the Internal Revenue Code of 1986, as amended (the "Code"), and California Government Code Sections 53215 through 53224 providing for pension trusts established by public agencies. 2.3 Date of Adoption The date as of which each Member Agency adopts the Trust Program shall be the "Effective Date" of the Trust Agreement and the Agency Trust, as defined in Section 2.5, as to that Member Agency. 2.4 Member Agencies Any California public agency may, by action of its governing body in a writing accepted by the Trustee, adopt the provisions of the Trust Agreement as the trust portion of a qualified governmental retirement plan established for the benefit of its employees. Executing an adoption instrument for the Trust Program ("Adoption Agreement"), attached hereto as Exhibit "A", shall constitute such adoption, unless the Trustee requires additional evidence of adoption. In order for such adoption to be effective, the public agency must also execute an Agreement for Administrative Services with the Trust Administrator, pursuant to section 3.6 of this Trust Agreement. Such adopting employer shall then become a Member Agency of the Trust Program. Each such Member Agency shall, at a minimum, furnish the Trust Administrator with the following documents to support its adoption of the Trust Program: (a) a certified copy of the Member Agency governing body resolution authorizing the adoption of the Trust Agreement and the appointment of an individual designated by position of employment at the Member Agency to act on its behalf in all matters relating to the Member Agency's participation in the Trust Program and Agency Trust ("Plan Administrator"); (b) an original of the Adoption Agreement executed by the Plan Administrator or other duly authorized Member Agency employee; (c) an original of the Agreement for Administrative Services with the Trust Administrator executed by the Plan Administrator or other duly authorized Member Agency employee and the Trust Administrator; 3 01-13 (d) an address notice; and (e) such other documents as the Trustee may reasonably request. 2.5 Agency Trust By adopting the Trust Agreement, as provided in Section 2.4, a Member Agency shall be deemed to have adopted a legally separate and individual Agency Trust whose provisions are identical to those of the Trust Agreement. The Assets of an Agency Trust shall be available only to pay benefits pursuant to the provisions of the Plan to participants and beneficiaries of the Member Agency entitled to receive benefits under the provisions of the Plan. The Agency Trust is created for the purpose of receiving contributions made to fund the Member Agency's Plan; accumulating, managing and investing those contributions; and providing benefits to active or retired participants of the Plan, their joint annuitants, or their beneficiaries. Each Agency Trust shall be used to fund only a single Plan maintained by the Member Agency. A Member Agency may establish additional Agency Trusts to fund the assets of additional Plans by executing one or more additional Adoption Agreement(s). 2.6 Assets of Agency Trust The assets of the Agency Trust shall consist of all contributions and transfers received by the Agency Trust on behalf of the Member Agency's Plan, together with the income and earnings from such contributions and transfers, and any increments accruing to them ("Assets"). All contributions or transfers shall be received by the Trustee in cash or in other property acceptable to the Trustee. The Trustee shall manage and administer the Assets of the Agency Trust without distinction between principal and income. The Trustee and the Trust Administrator shall have no duty to compute any amount to be transferred or paid to the Agency Trust by the Member Agency and the Trustee and the Trust Administrator shall not be responsible for the collection of any contributions or transfers to the Agency Trust. 2.7 Commingling for Investment and Administration The Assets of more than one Agency Trust may be commingled by the Trustee or Investment Fiduciary in one or more Omnibus Accounts for investment and administrative purposes, to provide economies of scale and efficiency of administration to the Agency Trusts. The responsibility for Plan level accounting within this Omnibus Account(s) shall be that of the Trust Administrator. 4 1 0174 2.8 Trustee Accounting The Trustee shall be responsible only for maintaining records and maintaining accounts for the aggregate assets of the Trust Program. The responsibility for Plan level accounting for each Agency Trust, based upon the Omnibus Account(s), shall be that of the Trust Administrator. 2.9 No Diversion of Assets The Assets in each Agency Trust shall be held in trust for the exclusive purpose of providing benefits to the Participants of the Plan for which the Agency Trust is holding assets and defraying the reasonable expenses of such Plan. The Assets shall not be used for or diverted to, any other purpose. 2.10 Type and Nature of Trust Neither the full faith and credit nor the taxing power of each Member Agency, the State of California or any political subdivision thereof other than each Member Agency is pledged to the distribution of benefits hereunder. Except for contributions and other amounts hereunder, no other amounts are pledged to the distribution of benefits hereunder. Distributions of benefits are neither general nor special obligations of any Member Agency, but are payable solely from the Assets of each Agency Trust, as more fully described herein. No employee of any Member Agency or beneficiary may compel the exercise of the taxing power by any Member Agency. Distributions of Assets under any Agency Trust are not debts of any Member Agency, the State of California or any of its political subdivisions within the meaning of any constitutional or statutory limitation or restriction. Such distributions are not legal or equitable pledges, charges, liens or encumbrances, upon any of a Member Agency's property, or upon any of its income, receipts, or revenues, except amounts in the accounts which are, under the terms of each Plan, Agency Trust and the Act, set aside for distributions. Neither the members of the legislative body of any Member Agency nor its officers, employees, agents or volunteers are liable hereunder. 5 1 . 0175 ARTICLE III ADMINISTRATIVE MATTERS 3.1 Appointment of Trustee Two-thirds or more of the Member Agencies acting jointly, may by a two-thirds or greater vote, act to appoint a bank, trust company, retirement board, insurer, committee or such other entity as permitted by California law, to serve as the trustee of the Trust Program ("Trustee"). Such action must be in writing. Upon the written acceptance of such entity, it shall become the Trustee of the Trust Program and, subject to the provisions of Section 3.10, the trustee of each Agency Trust. By executing an Adoption Agreement, the adopting Member Agency hereunder appoints the Union Bank of California, N.A. as the Trustee as of the Amended Effective Date. 3.2 Removal of Trustee Two-thirds or more of the Member Agencies acting jointly, may by a vote of two- thirds or greater, act to remove the Trustee. Such action must be in writing and delivered to the Trustee and the Trust Administrator. Upon such removal from the Trust the Trustee shall also be removed as trustee of each of the Agency Trusts. The Plan Administrator may remove the Trustee as trustee of an Agency Trust by giving at least ninety (90) days prior written notice to the Trustee and the Trust Administrator and withdrawing from the Trust Program. 3.3 Resignation of Trustee The Trustee may resign as trustee of the Trust Program at any time by giving at least ninety (90) days prior written notice to the Trust Administrator and to each Plan Administrator of each Member Agency that has adopted the Trust Agreement and not terminated its participation in the Trust Program. Such resignation shall also be deemed a resignation as trustee of each of the Agency Trusts. The Trustee may resign as trustee of an Agency Trust by giving at least ninety (90) days written notice to the Plan Administrator of such Agency Trust and to the Trust Administrator. The Member Agency's appointment of a successor trustee to the Agency Trust will vest the successor trustee with title to the Assets of its Agency Trust upon the successor trustee's acceptance of such appointment. 3.4 The Plan Administrator The governing body of each Member Agency shall have plenary authority for the administration and investment of the Agency Trust pursuant to the laws and 6 w,. 0176 Constitution of the State of California and applicable federal laws and regulations. Each Member Agency shall by resolution designate a Plan Administrator. Unless otherwise specified in the instrument the Plan Administrator shall be deemed to have authority to act on behalf of the Member Agency in all matters pertaining to the Member Agency's participation in the Trust Program and in regard to the Agency Trust of the Member Agency. Such appointment of a Plan Administrator shall be effective upon receipt and acknowledgment by the Trustee and the Trust Administrator and shall be effective until the Trustee and Trust Administrator are furnished with a resolution of the Member Agency that the appointment has been modified or terminated. 3.5 Failure to Appoint Plan Administrator If a Plan Administrator is not appointed, or such appointment lapses, the Member Agency shall be deemed to be the Plan Administrator. As used in this document, Plan Administrator shall be deemed to mean Member Agency when a Plan Administrator has not been appointed. 3.6 Delegatee The Plan Administrator, acting on behalf of the Member Agency, may delegate certain authority, powers and duties to an entity to act in those matters specified in the delegation ("Delegatee"). Any such delegation must be in a writing that names and identifies the Delegatee, states the effective date of the delegation, specifies the authority and duties delegated, is executed by the Plan Administrator and is acknowledged in writing by the Delegatee, the Trust Administrator (if not the Delegatee) and the Trustee. Such delegation shall be effective until the Trustee and the Trust Administrator are directed in writing by the Plan Administrator that the delegation has been rescinded or modified. 3.7 Certification to Trustee The governing body of each Member Agency, or other duly authorized official, shall certify in writing to the Trustee and the Trust Administrator the names and specimen signatures of the Plan Administrator and Delegatee, if any, and all others authorized to act on behalf of the Member Agency whose names and specimen signatures shall be kept accurate by the Member Agency acting through a duly authorized official or governing body of the Member Agency. The Trustee and the Trust Administrator shall have no liability if it acts upon the direction of a Plan Administrator or Delegatee that has been duly authorized, as provided in Section 3.6, if that Plan Administrator or Delegatee is no longer authorized to act, unless the Member Agency has informed the Trustee and the Trust Administrator of such change. 7 0lfl 3.8 Directions to Trustee Except as provided in Section 5.18 of this Trust Agreement, all directions to the Trustee from the Plan Administrator or Delegatee must be in writing and must be signed by the Plan Administrator or Delegatee, as the case may be. For all purposes of this Trust Agreement, direction shall include any certification, notice, authorization, application or instruction of the Plan Administrator, Delegatee or Trustee appropriately communicated. The above notwithstanding direction may be implied if the Plan Administrator or Delegatee has knowledge of the Trustee's intentions and fails to file written objection. The Trustee shall have the power and duty to comply promptly with all proper direction of the Plan Administrator, or Delegatee, appointed in accordance with the provisions of this Trust Agreement. In the case of any direction deemed by the Trustee to be unclear or ambiguous the Trustee may seek written instructions from the Plan Administrator, the Agency or the Delegatee on such matter and await their written instructions without incurring any liability. If at any time the Plan Administrator or the Delegatee should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of the Trust Program and/or any Agency Trust which may include not taking any action. The Trustee may request directions or clarification of directions received and may delay acting until clarification is received. In the absence of timely direction or clarification, or if the Trustee considers any direction to be a violation of the Trust Agreement or any applicable law, the Trustee shall in its sole discretion take appropriate action, or refuse to act upon a direction. 3.9 Alternate Trustee A Member Agency may appoint a trustee, other than the Trustee, as to a portion of the assets in the Agency Trust by designating such person or entity as an Alternate Trustee on the Adoption Agreement and by specifying which assets shall be subject to the fiduciary management of the Alternate Trustee. Such appointment shall not be effective unless it is in writing, specifies clearly the assets as to which the Alternate Trustee is to have trustee powers, is acknowledged in writing by the Alternate Trustee, is delivered to and acknowledged by the Trustee and the Trust Administrator. Only a bank, trust company, retirement board, insurer, the Member Agency or such entity as permitted by California law to be a trustee may be appointed an Alternate Trustee. Such appointment will become effective upon acceptance by the Alternate Trustee. 8 oi�s 3.10 Powers of Alternate Trustee The Alternate Trustee shall be deemed to have all of the powers and duties and responsibilities specified in the Trust Agreement for the Trustee in Article IV unless otherwise specified in the Adoption Agreement. 3.11 Responsibility of Trustee Upon Appointment of Alternate Trustee Upon the appointment of an Alternate Trustee, the Trustee shall have no liability or responsibility for any matters relating to the management, investment or administration of those assets as to which the Alternate Trustee has been appointed and shall only have the duties set forth in Section 4.3. 3.12 Trust Administrator The Member Agencies have appointed as the Trust Administrator. The Trust Administrator has accepted its appointment subject to each Member Agency's delegation of authority, to act as such, pursuant to Section 3.6 of this Trust Agreement. The Trust Administrator's duties involve the performance of the following services pursuant to the provisions of this Trust Agreement and the Agreement of Administrative Services: (a) Performing periodic accounting of the Agency Trust; (b) Directing the Trustee to make distributions from the Agency Trust to Participants pursuant to the provisions of the Member Agency's Plan and liquidate assets in order to make such distributions; (c) Notifying the Investment Fiduciary of the amount of Assets in the Agency Trust available for further investment and management by the Investment Fiduciary; (d) Allocating contributions, earnings and expenses to each Agency Trust; (e) Directing the Trustee to pay insurance premiums, to pay the fees of the Trust Administrator and to do such other acts as shall be appropriate to carry out the intent of the Agency Trusts; and (f) Such other services as the Member Agency and the Trust Administrator may agree in the Agreement for Administrative Services pursuant to Section 2.4. 9 0119 3.13 The Trust Administrator shall be entitled to rely on, and shall be under no duty to question, direction and/or data received from the Plan Administrator, or other duly authorized entity, in order to perform its authorized duties under this trust agreement. The Trust Administrator shall not have any duty to compute contributions made to the Agency Trust, determine or inquire whether contributions made to the Agency Trust by the Plan Administrator or other duly authorized entity are adequate to meet and discharge liabilities under the Plan; or determine or inquire whether contributions made to the Agency Trust are in compliance with the Plan; The Trust Administrator shall not be liable for non performance of duties if such non performance is directly caused by erroneous, and/or late delivery of, directions or data from the Plan Administrator, or other duly authorized entity. 3.14 Additional Trust Administrator Services The Plan Administrator may at any time retain the Trust Administrator as its agent to perform any act, keep any records or accounts and make any computations which are required of the Member Agency or the Plan Administrator by this Trust Agreement or by the Member Agency's Plan. The Trust Administrator shall be separately compensated for such service and such services shall not be deemed to be contrary to the Trust Agreement. 3.15 Trust Administrator's Compensation As may be agreed upon from time to time by the Member Agency and Trust Administrator, the Trust Administrator will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties with respect to the Agency Trust and to the Trust Program in accordance with Section 53217 of the Act. 3.16 Resignation of Removal of Trust Administrator The Trust Administrator may resign at any time by giving at least one hundred twenty (120) days written notice to each Member Agency of the Trust Program and the Trustee. The Member Agencies, by a two-thirds or greater vote, may remove the Trust Administrator by delivering, at least one hundred twenty (120) days prior to the effective date of such removal, written notice to the Trust Administrator and to the Trustee. 10 0180 ARTICLE IV THE TRUSTEE 4.1 Powers and Duties of the Trustee Except as otherwise provided in Article V and subject to Article VI, the Trustee shall have full power and authority with respect to property held in the Agency Trust to do all such acts, take all proceedings, and exercise all such rights and privileges, whether specifically referred to or not in this document, as could be done, taken or exercised by the absolute owner, including, without limitation, the following: (a) To invest and reinvest the Assets or any part hereof in any one or more kind, type, class, item or parcel of property, real, personal or mixed, tangible or intangible; or in any one or more kind, type, class, item or issue of investment or security; or in any one or more kind, type, class or item of obligation, secured or unsecured; or in any combination of them. To retain the property for the period of time that the Trustee deems appropriate. (b) To acquire and sell options to buy securities ("call' options) and to acquire and sell options to sell securities ("put" options); (c) To buy, sell, assign, transfer, acquire, loan, lease (for any purpose, including mineral leases), exchange and in any other manner to acquire, manage, deal with and dispose of all or any part of the Agency Trust property, for cash or credit and upon any reasonable terms and conditions; (d) To make deposits, with any bank or savings and loan institution, including any such facility of the Trustee or an affiliate thereof provided that the deposit bears a reasonable rate of interest; (e) To invest and reinvest the Assets, or any part thereof in any one or more collective investment trust funds, including common and group trust funds that consist exclusively of assets of exempt pension and profit sharing trusts and individual retirement accounts qualified and tax exempt under the Code, that are maintained by the Trustee or an affiliate thereof. The declaration of trust or plan of operations for any such common or collective fund is hereby incorporated herein and adopted into this Trust Agreement by this reference. The combining of money and other assets of the Agency Trust with money and other assets of other qualified trusts in such fund or funds is specifically authorized. Notwithstanding anything to the contrary in this trust agreement, the Trustee shall have full investment responsibility 11 01B1 over assets of the trust invested in such commingled funds. If the plan and trust for any reason lose their tax exempt status, and the Assets have been commingled with assets of other tax exempt trusts in Trustee's collective investment funds, the Trustee shall within 30 days of notice of such loss of tax exempt status, liquidate the Agency Trust's units of the collective investment fund(s) and invest the proceeds in a money market fund pending investment or other instructions from the Plan Administrator. The Trustee shall not be liable for any loss or gain or taxes, if any, resulting from said liquidation; (f) To place uninvested cash and cash awaiting distribution in one or more mutual funds and/or commingled investment funds maintained by or made available by the Trustee, and to receive compensation from the sponsor of such fund(s) for services rendered, separate and apart from any Trustee's fees hereunder. Trustee or Trustee's affiliate may also be compensated for providing investment advisory services to any mutual fund or commingled investment funds; (g) To borrow money for the purposes of the Agency Trust from any source with or without giving security; to pay interest; to issue promissory notes and to secure the repayment thereof by pledging all or any part of the Assets; (h) To take all of the following actions as following actions as directed by the Investment Fiduciary or other person with investment discretion over the trust assets: to vote proxies of any stocks, bonds or other securities; to give general or special proxies or powers of attorney with or without power of substitution; to exercise any conversion privileges, subscription rights or other options and to make any payments incidental thereto; to consent to or otherwise participate in corporate reorganizations or other changes affecting corporate securities and to delegate discretionary powers and to pay any assessments or charges in connection therewith; and generally to exercise any of the powers of an owner with respect to stocks, bonds, securities or other property held in the Agency Trust; (i) To make, execute, acknowledge and deliver any and all documents of transfer and conveyance and any and all other instruments that may be necessary or appropriate to carry out the powers herein granted; (j) To raze or move existing buildings; to make ordinary or extraordinary repairs, alterations or additions in and to buildings; to construct buildings and other structures and to install fixtures and equipment therein; 12 0182 (k) To pay or cause be paid from the Agency Trust any and all real or personal property taxes, income taxes or other taxes or assessments of any or all kinds levied or assessed upon or with respect to the Agency Trust or the Plan; (1) As directed by the Trust Administrator, to hold term or ordinary life insurance contracts on the lives of Participants (but in the case of conflict between any such contract and the Plan, the terms of the Plan shall prevail); to pay from the Agency Trust the premiums on such contracts; to distribute, surrender or otherwise dispose of such contracts; to pay the proceeds, if any, of such contracts to the proper persons in the event of the death of the insured Participant; to enter into, modify, renew and terminate annuity contracts of deposit administration of immediate participation or other group or individual type with one or more insurance companies and to pay or deposit all or any part of the Agency Trust Assets thereunder; to provide in any such contract for the investment of all or any part of funds so deposited with the insurance company in securities under separate accounts; to exercise and claim all rights and benefits granted to the contract holder by any such contracts; (m) To exercise all the further rights, powers, options and privileges granted, provided for, or vested in trustees generally under applicable federal or California laws, as amended from time to time, it being intended that, except as herein otherwise provided, the powers conferred upon the Trustee herein shall not be construed as being in limitation of any authority conferred by law, but shall be construed as consistent or in addition thereto. 4.2 Additional Trustee Powers In addition to the other powers enumerated above, and whether or not the Member Agency has retained investment authority or delegated it to an Investment Fiduciary or Participants in Participant Directed Accounts, the Trustee in any and all events is authorized and empowered: (a) To invest funds pending required directions in any type of interest -bearing account including without limitation, time certificates of deposit or interest - bearing accounts issued by Union Bank of California N.A., or any mutual fund or short term investment fund ("Fund"), whether sponsored or advised by Union Bank of California or any affiliate thereof; Union Bank of California, N.A. or its affiliate may be compensated for providing such investment advice and providing other services to such Fund, in addition to any Trustee's fees received pursuant to this Trust Agreement; 13 n93 (b) To cause all or any part of the Agency Trust to be held in the name of the Trustee (which in such instance need not disclose its fiduciary capacity) or, as permitted by law, in the name of any nominee, and to acquire for the Agency Trust any investment in bearer form, but the books and records of the Agency Trust shall at all times show that all such investments are a part of the Agency Trust and the Trustee shall hold evidences of title to all such investments; (c) To serve as sole custodian with respect to the Agency Trust Assets; (d) To employ such agents and counsel as may be reasonably necessary in managing and protecting the Assets and to pay them reasonable compensation; to employ any broker -dealer, including a broker -dealer affiliated with the Trustee, and pay to such broker -dealer at the expense of the Agency Trust, its standard commissions; to settle, compromise or abandon all claims and demands in favor of or against the Agency Trust; and to charge any premium on bonds purchased at par value to the principal of the Agency Trust without amortization from the Agency Trust, regardless of any law relating thereto; (e) In addition to the powers listed herein, to do all other acts necessary or desirable for the proper administration of the Agency Trust, as though the absolute owner thereof, (f) To abandon, compromise, contest, arbitrate or settle claims or demands; to prosecute, compromise and defend lawsuits, but without obligation to do so, all at the risk and expense of the Agency Trust; (g) To exercise and perform any and all of the other powers and duties specified in this Trust Agreement or the Plan; (h) To permit such inspections of documents at the principal office of the Trustee as are required by law, subpoena or demand by United States agency; (i) To comply with all requirements imposed by applicable provisions of law; (j) To seek written instructions from the Plan Administrator or other fiduciary on any matter and await their- written instructions without incurring any liability. If at any time the Plan Administrator or the fiduciary should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of this Agency Trust; 14 0184 (k) As directed by the Plan Administrator or Delegatee if duly authorized, to cause the benefits provided under the Plan to be paid directly to the persons entitled thereto under the Plan, and in the amounts and in the manner specified, and to charge such payments against the Agency Trust with respect to which such benefits are payable; (1) To compensate such executive, consultant, actuarial, accounting, investment, appraisal, administrative, clerical, secretarial, medical, custodial, depository and legal firms, personnel and other employees or assistants as are engaged by the Plan Administrator in connection with the administration of the Plan and to pay from the Agency Trust the necessary expenses of such firms, personnel and assistants, to the extent not paid by the Plan Administrator; (m) To act upon proper written directions of the Plan Administrator or Delegatee, including directions given by photostatic transmissions using facsimile signature; (n) To pay from the Agency Trust the expenses reasonably incurred in the administration of the Agency Trust as provided in the Plan; and (o) To maintain insurance for such purposes, in such amounts and with such companies as the Plan Administrator shall elect, including insurance to cover liability or losses occurring by reason of the acts or omissions of fiduciaries but only if such insurance permits recourse by the insurer against the fiduciary in the case of a breach of a fiduciary obligation by such fiduciary. 4.3 Custodial Powers If an Alternate Trustee has been appointed pursuant to Section 3.9, Union Bank of California, N.A. ("Bank") as Custodian, shall only have the following responsibilities: (a) Keep records of all transactions entered into for the Agency Trust and furnish to Alternate Trustee statements no less frequently than quarterly showing all principal and income transactions and Agency Trust Assets, which shall be deemed ratified and approved by Alternate Trustee unless Custodian is advised to the contrary within ninety (90) days of Custodian's mailing thereof by first class mail to Alternate Trustee; 15 0185 (b) Receive payments of income and principal on Agency Trust Assets, and retain or remit in accordance with Alternate Trustee's written instructions; (c) Hold Agency Trust Assets in Bank's name as Custodian for Alternate Trustee or in Bank's nominee name, or, as to securities eligible to be held by the depository trust company or other depository, in its nominee name; (d) Purchase and sell securities, attend to the exchange of securities, deposit or exchange securities of companies in reorganization, and tender securities on redemption or tender offer solely upon direction of Alternate Trustee; (e) Sign the name the name of Alternate Trustee to stock and bond powers and any other instruments required for the proper exercise of Bank's duties, and Bank is appointed Alternate Trustee's attorney -in -fact for these purposes; (f) Forward proxies and accompanying materials to Alternate Trustee to be voted unless directed in writing to the contrary. Disclose Alternate Trustee's name and address in response to requests from issuers of securities and others to facilitate direct communication for proxy and tender offer response; (g) Sell all fractional shares of stock received as a result of stock dividends or other corporate action; (h) Notify Alternate Trustee of any inability to collect income or principal if the securities or other property constituting Assets upon which such amount is payable is in default, or if payment is refused after due demand. Bank shall be under no obligation or duty to take any action to effect collection of defaulted payments, or to file or pursue any bankruptcy or class action claims with respect to Agency Trust; and (i) Perform a telephonic verification to Alternate Trustee or Alternate Trustee's authorized representative or such other security procedure selected by Alternate Trustee prior to wiring funds or following facsimile directions as Bank may require. Alternate Trustee assumes all risk of delay of transfer if Bank is unable to reach Alternate Trustee or Alternate Trustee's authorized representative, or in the event of delay as a result of attempts to comply with any other security procedure selected by Alternate Trustee. 16 M6 ARTICLE V INVESTMENTS 5.1 Investment Fiduciary Except as herein provided, the Plan Administrator shall be the Investment Fiduciary. 5.2 Appointment of Trustee or an Investment Manager as Investment Fiduciary The Plan Administrator may appoint the Trustee or an investment manager as the Investment Fiduciary, with the authority and duty to direct the investment and management of all or any portion of the Assets of the Agency Trust. 5.3 Appointment of Investment Fiduciary No action of the Plan Administrator pursuant to 5.2 shall be effective until a certified copy of the revised Adoption Agreement and, if required, any such resolution of the governing body of the Member Agency or Plan Administrator action is delivered to the Trustee. Upon receipt and acceptance, the Trustee or investment manager, as the case may be, shall assume fiduciary responsibility with respect to the investment and management of such assets of the Agency Trust as are specified in the resolution or action. Any transfer of investment authority to the Trustee or to an investment manager may be revoked by delivering to the Trustee or the investment manager a written notice from either the Member Agency governing body or the Plan Administrator, as the case may be. 5.4 Reliance by Trustee on Investment Fiduciary The appointment, selection and retention of an Investment Fiduciary shall be solely the responsibility of the Member Agency acting through its governing body or the Plan Administrator. The Trustee may rely upon the fact that the Investment Fiduciary is authorized to direct the investment and management of the Assets of the Agency Trust until such time as the Plan Administrator shall notify the Trustee in writing that another Investment Fiduciary has been appointed to replace the Investment Fiduciary named, or, in the alternative, that the Investment Fiduciary named has been removed. 5.5 When Trustee is not Investment Fiduciary The Trustee shall not be the Investment Fiduciary and shall have no responsibility or authority for the investment and management of assets unless specifically 17 0187 designated as the Investment Fiduciary as to some or all of the assets in the Agency Trust and accepts such designation. (a) During such period or periods of time, if any, as the Plan Administrator or an Investment Fiduciary is authorized to direct the investment and management of the Assets of the Agency Trust, the Trustee shall (subject to the overriding limitations hereinafter set forth) effect and change investment of the Assets of the Agency Trust as directed in writing by the Plan Administrator, or Investment Fiduciary, as the case may be, and shall neither effect nor change any such investments without such direction and shall have no right, duty or responsibility to recommend investments or investment changes. The following provisions shall govern the Trustee during such period or periods of time, if any, during which the Plan Administrator or an Investment Fiduciary is authorized to direct the investment and management of the Assets of any Agency Trust; (b) So long as the Plan Administrator retains or reacquires full power and responsibility to direct the Trustee with respect to the investment and management of all or any portion of the Assets of the Agency Trust, the Trustee shall not be liable nor responsible for losses or unfavorable results arising from the Trustee's compliance with proper directions of the Plan Administrator which are made in accordance with the terms of this Trust Agreement and which are not contrary to the provisions of any applicable federal or state statute regulating such investment. (c) In the event an Investment Fiduciary is given authority and responsibility with respect to the investment and management of the Assets of the Agency Trust, neither the Trustee nor the Plan Administrator shall be liable or responsible in any way for any losses or other unfavorable results arising from the Trustee's compliance with investment or management directions received by the Trustee from the Investment Fiduciary. 5.6 Investment Directions Must be in Writing Subject to the provisions of Section 5.18, in order to be valid, all directions concerning investments made by the Plan Administrator, or the Investment Fiduciary, or Trustee may be signed by the authorized person or persons acting on behalf of the Plan Administrator, Investment Fiduciary or Trustee, as the case may be. 18 w.. 0188 5.7 Trustee Reliance On Directions 0 (a) The Trustee shall be entitled to rely upon directions which the Trustee receives. The Trustee shall be under no duty to question any directions of the Investment Fiduciary or Plan Administrator nor to review any securities or other property of the Trust or Agency Trust constituting assets thereof with respect to which an Investment Fiduciary or the Plan Administrator has investment responsibility, nor to make any suggestions to the Investment Fiduciary or Plan Administrator in connection therewith. The Trustee shall, as promptly as possible, comply with any written directions given by the Plan Administrator or an Investment Fiduciary hereunder. The Trustee shall not be liable, in any manner nor for any reason, for the making or retention of any investment pursuant to such directions, nor shall the Trustee be liable for its failure to invest any or all of the Assets of the Agency Trust in the absence of such written directions. The Trustee shall be under no obligation to seek written clarification in the event of ambiguity. (b) During such period of time, if any, as the Plan Administrator, or an Investment Fiduciary, is authorized to direct the Trustee, the Trustee shall have no obligation to determine the existence of any conversion, redemption, exchange, subscription or other right relating to any securities purchased of which notice was given prior to the purchase of such securities, and shall have no obligation to exercise any such right unless the Trustee is informed of the existence of the right and is instructed to exercise such right, in writing, by the Plan Administrator or the Investment Fiduciary, as the case may be, within a reasonable time prior to the expiration of such right. (c) In any event, neither the neither the Plan Administrator nor any Investment Fiduciary referred to above shall direct the purchase, sale or retention of any Assets of the Agency Trust if such directions are not in compliance with applicable law. 5.8 Trustee Fees As may be agreed upon, in writing, between the Plan Administrator and Trustee, the Trustee will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties with respect to the Agency Trust or the Trust 0189 19 5.9 Contributions The Plan Administrator shall make all of its contributions to the Trustee, and shall also transmit all contributions of Plan participants, as may be required or allowed by the Plan, to the Trustee. Such contributions shall be in cash unless the Trustee agrees to accept a contribution that is not in cash. All contributions shall be paid to the Trustee for investment and reinvestment pursuant to the terms of this Trust Agreement. The Trustee shall not have any duty to determine or inquire whether any contributions to the Agency Trust made to the Trustee by any Plan Administrator are in compliance with the Plan; nor shall the Trustee have any duty or authority to compute any amount to be paid to the Trustee by any Plan Administrator; nor shall the Trustee be responsible for the collection or adequacy of the contributions to meet and discharge liabilities under the Plan. The contributions received by the Trustee from each Member Agency shall be held and administered pursuant to the terms hereof without distinction between income and principal. 5.10 Money Market Fund Pending any investment directions, such cash in the Agency Trust in an amount as is reasonable in the discretion of the Trustee, may be deposited in a money market fund selected by the Trustee or the Member Agency. 5.11 Purchase of Contracts The Trustee shall have the authority to purchase individual or group insurance, annuity, preliminary term, group pension, and variable annuity contracts in accordance with the directions of the Plan Administrator or other insurance contracts at the direction of the Plan Administrator or Investment Fiduciary if such contracts are acceptable to the Trustee. The Trustee shall act as custodian of such contracts if an Alternate Trustee is appointed as to such contracts. 5.12 Records (a) The Trustee shall maintain accurate records and detailed accounts of all investments, receipts, disbursements and other transactions hereunder at the Trust level. Such records shall be available at all reasonable times for inspection by the Trust Administrator. The Trustee shall, at the direction of the Trust Administrator, submit such valuations, reports or other information as the Trust Administrator may reasonably require. (b) Valuation. The assets of the Agency Trust shall be valued at their fair market value on the date of valuation, as determined by the Trustee based 20 0190 upon such sources of information as it may deem reliable; provided, however, that the Plan Administrator shall instruct the Trustee as to valuation of assets which are not readily determinable on an established market. The Trustee may rely conclusively on such valuations provided by the Plan Administrator and shall be indemnified and held harmless by the Plan Administrator with respect to such reliance. If the Plan Administrator fails to provide such values, the Trustee may.take whatever action it deems reasonable, including employment of attorneys, appraisers or other professionals, the expense of which will be an expense of administration of the Agency Trust. Transactions in the account involving such hard to value assets may be postponed until appropriate valuations have been received and Trustee shall have no liability therefore. 5.13 Statements (a) Periodically as specified, specified, and within sixty days after June 30, or the end of the Trust's fiscal year if different, Trustee shall render to the Trust Administrator as directed, a written account showing in reasonable summary the investments, receipts, disbursements and other transactions engaged in by the Trustee during the preceding fiscal year or period with respect to the Trust. Such account shall set forth the assets and liabilities of the Trust valued as of the end of the accounting period. (b) The Trust Administrator may approve such statements either by written notice or by failure to express objections to such statements by written notice delivered to the Trustee within 90 days from the date the statement is delivered to the Trust Administrator. Upon approval, the Trustee shall be released and discharged as to all matters and items set forth in such statement as if such account had been settled and allowed by a decree from a court of competent jurisdiction. 5.14 Wire Transfers The Trustee shall follow the Plan Administrator's, Delegatee's, or Trust Administrator's wire transfer instructions in compliance with the written security procedures provided by the party providing the wire transfers. The Trustee shall perform a telephonic verification to the Plan Administrator, Trust Administrator, or Delegatee, of such other security procedure, as selected by the party providing wire transfer directions, prior to wiring funds or following facsimile directions as Trustee may require. The Plan Administrator assumes the risk of delay of transfer if Trustee is unable to reach the Plan Administrator, or in the event of delay as a result of attempts to comply with any other security procedure selected by the directing party. 5.15 Exclusive Benefit. The Assets of the Agency Trust shall be held in trust for the exclusive purpose of providing benefits to the participants and their beneficiaries of the Member Agency Plan, and defraying reasonable expenses of the Plan, and shall not be used for or diverted to any other purpose. No party shall have authority to use or divert such Plan's Assets for the payment of benefits or expenses of any other Member Agency's Plan. 5.16 Delegation of Duties The Plan Administrator, Delegatee, or Trust Administrator, may at any time retain the Trustee as its agent to perform any act, keep any records or accounts and make any computations that are required of the Plan Administrator, Delegatee or Trust Administrator by this Trust Agreement or by the Plan. The Trustee may be compensated for such retention and such retention shall not be deemed to be contrary to this Trust Agreement. 5.17 Distributions All benefits payable pursuant to the Plan shall be paid out of the Assets of the Agency Trust by the Trustee pursuant to the direction of the Plan Administrator or Delegatee. The Trustee shall, from time to time, upon the written direction of the Plan Administrator or Delegatee, make distributions from the Assets of the Agency Trust to or for the benefit of such persons, in such manner in such form(s), in such amounts and for such purposes as may be specified in such directions. The Trustee at the direction of the Plan Administrator or Delegatee may make any distribution required to be made by it hereunder by delivering to the Plan Administrator or Delegatee: Its check payable to the person to whom such distribution is to be made, for delivery to such person; or Its check payable to an insurer for the benefit of such person, for delivery by such insurer; or insurance contracts held on the life of the Participant to whom or with respect to whom the distribution is being made, for redelivery to the person to whom such distribution is to be made; provided that any contract distributed shall be endorsed as non -transferable. 22 019z In directing the Trustee to make distributions, the Plan Administrator or Delegatee shall follow the provisions of the Plan and shall not direct that any distribution be made either during the existence or upon discontinuance of the Plan, which would cause any part of the Assets of the Agency Trust or to be used for or diverted to purposes other than as provided in the Plan and this Trust. In no event shall the Trustee have any responsibility respecting the application of such distributions, nor for determining or inquiring into whether such distributions are in accordance with the Plan. 5.18 Participant Directed Accounts The Member Agency may, by written resolution and execution of the Adoption Agreement, terminate the Plan Administrator's right to direct the investment and management of all or any portion of the Assets of the Agency Trust and allow Participants to direct their own account balances ("Participant Directed Accounts"). Notwithstanding any other provision of this Trust Agreement, for Participant Directed Accounts, the Trustee shall be entitled to act upon proper directions of the Plan Administrator, Trust Administrator, and Participants including directions in writing, or oral instructions which Trustee in its discretion may follow without receipt of written instructions, instruction given by photostatic teletransmission using facsimile signature, or those instructions which are digitally recorded on the UBOC Voice Response Unit ("VRU") or internet website. Trustee is hereby authorized to record conversations and transmissions made in connection with the Agency Trust. Trustee's recording or lack of recording of any such oral, internet or digital instructions, and/or receipt or lack of receipt of facsimile transmissions, as reflected in the Trustee's records maintained in the ordinary course of business shall constitute conclusive proof of Trustee's receipt or non - receipt of such instructions. The Trustee and/or Trust Administrator shall not be liable in any manner for investment or other losses or other liability attributable to Participant's directions, or lack thereof, or exercise of control over the investments of their Participant Directed Accounts. Likewise, the Trustee and/or Trust Administrator shall have no duty or responsibility to review, monitor or make recommendations regarding investments made at the direction of the Participants or the Plan Administrator. In order for Member Agency to be relieved of investment fiduciary liability, the requirements of California law including Section 53213.5 of the California Government Code must be met. The Plan Administrator shall establish uniform and nondiscriminatory rules of the operation of the Participant Directed Accounts, including whether the Participant shall direct the Trustee or direct the Plan Administrator who directs the Trust Administrator who forwards such directions to the Trustee. Member Agency shall designate whether Participant Directed 23 0193 Accounts are to be established pursuant to the provisions of Section 5.18(a) or 5.18(b), below: (a) Participant Direction in Individually Directed Accounts. If the Member Agency has so elected, Participants may have investment direction power over their own segregated account balances ("Individually Directed Account" or "IDA"). Investments may be directed by Participants into assets administratively acceptable to Trustee, as limited by guidelines developed by the Plan Administrator (the "Permissible Investment Guidelines"). Plan Administrator shall notify Participants of the Plan's Permissible Investment Guidelines as in effect from time to time. In the absence of directions from a Participant, the Plan Administrator may direct the investment of the IDA. The Trustee may refuse to comply with the directions of the Participant to Invest in assets other than those listed in its Permissible Investments Guidelines or with directions which the Trustee deems to be improper or contrary to the provisions of the Plan and Agency Trust or the Internal Revenue Code and shall have no liability for such refusal. (b) Participant Directed Account within Plan Administrator Selected Investment Options ("SelectBENEFIT Accounts"): If the Member Agency so elects, the Participant's Account Balance shall be segregated into a Participant Directed Account ("SelectBENEFIT Account"), over which the Participant may direct investment into one or more investment alternatives ("Investment Options"). The Plan Administrator or its appointed Investment Fiduciary shall have full responsibility for designating the Investment Options under the Plan and for selecting the underlying investment vehicle(s) for each designated Investment Option into which a Participant may direct investment of his or her SelectBENEFIT Account. To the extent allowed by law, neither the Member Agency, the Plan Administrator, the Trust Administrator nor the Trustee shall have any responsibility for monitoring the directions of the Participant nor shall the Member Agency, the Plan Administrator, the Trust Administrator or the Trustee be liable in any manner for investment or other losses or other liability for following directions of a Participant. (c) If SelectBENEHT Accounts are established, notwithstanding any other provision of this Trust Agreement, the Member Agency may appoint the Trustee to provide ministerial services as record keeper for such accounts by so indicating in the Member Agency's Adoption Agreement, provided that an acceptable service agreement has been executed by and between the Member Agency, the Plan Administrator, the Trustee and the Trust Administrator. 24 0194 ARTICLE VI FIDUCIARY RESPONSIBILITIES 6.1 More Than One Fiduciary Capacity Any one or more of the fiduciaries with respect to the Trust Agreement or the Agency Trust may, to the extent required thereby or as directed by the Plan Administrator pursuant to this Trust Agreement and the Plan, serve in more than one fiduciary capacity with respect to the Trust Agreement, the Agency Trust and the Plan. 6.2 Fiduciary Discharge of Duties Except as otherwise provided in the Code and applicable law, each fiduciary shall discharge such fiduciary's duties with respect to the Trust Agreement and the Plan: Solely in the interest of the Participants and for the exclusive purpose of providing benefits to Participants, and defraying reasonable expenses of administering the Plan. With the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent man acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of like character and with like aims. By diversifying the investments of the Plan and the Agency Trust so as to minimize the risk of loss and to maximize the rate of return, unless under the circumstances it is clearly prudent not to do so. 6.3 Limitations on Fiduciary Responsibility To the extent permitted by applicable law No fiduciary shall be liable with respect to a breach of fiduciary duty by any other fiduciary if such breach was committed before such party became a fiduciary or after such party ceased to be a fiduciary. No fiduciary shall be liable for a breach by another fiduciary unless the non - breaching fiduciary knowingly participates in such a breach, knowingly undertakes to conceal such breach, or has actual knowledge of such breach and fails to take reasonable steps to remedy such breach. No fiduciary shall be liable for carrying out a proper direction from another fiduciary, including refraining from taking an action in the absence of a proper 25 01913 direction from the other fiduciary possessing the authority and responsibility to make such a direction, which direction the fiduciary in good faith believes to be authorized and appropriate. 6.4 Indemnification of Trustee by Member Agency The Trustee shall not be liable for, and Member Agency shall indemnify, defend (as set out in 6.8 of this Trust Agreement), and hold the Trustee (including its officers, agents, employees and attorneys) and other Member Agencies and Alternate Trustees, harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Member Agency's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.5 Indemnification of Member Agency by Trustee The Member Agency shall not be liable for, and Trustee shall indemnify, defend (as set out in 6.8 of this Trust Agreement), and hold the Member Agency (including its officers, agents, employees and attorneys) and other Member Agencies and Alternate Trustees, harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.6 Indemnification of Trustee by Trust Administrator The Trustee shall not be liable for, and Trust Administrator shall indemnify and hold the Trustee (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trust Administrator's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.7 Indemnification of Trust Administrator by Trustee The Trust Administrator shall not be liable for, and Trustee shall indemnify and hold the Trust Administrator (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or 26 n96 liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.8 Indemnification Procedures Promptly after receipt by an indemnified party of notice or receipt of a claim or the commencement of any action for which indemnification may be sought, the indemnified party will notify the indemnifying party in writing of the receipt or commencement thereof. When the indemnifying party has agreed to provide a defense as set out above that party shall assume the defense of such action (including the employment of counsel, who shall be counsel satisfactory to such indemniee) and the payment of expenses, insofar as such action shall relate to any alleged liability in respect of which indemnity may be sought against the indemnifying party. Any indemnified party shall have the right to employ separate counsel in any such action and to participate in the defense thereof, but the fees and expenses of such counsel shall not be at the expense of the indemnifying party unless (i) the employment of such counsel has been specifically authorized by the indemnifying party or (ii) the named parties to any such action (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential differing interest between them. The indemnifying party shall not be liable to indemnify any person for any settlement of any such action effected without the indemnifying party's consent. 6.9 No Joint and Several Liability This document is not intended to and does not create any joint powers agreement or any joint and several liability. No Member Agency shall be responsible for any contributions, costs or distributions of any other Member Agency. 27 0197 ARTICLE VII AMENDMENT, TERMINATION AND MERGER 7.1 No Obligation to Continue Plan and Trust Continuance of the Agency Trust, participation in the Trust Program and continuation of the Plan are not assumed as a contractual obligation of the Member Agency. 7.2 Amendments (a) The Trust Agreement may only be amended or terminated as provided herein. A two-thirds majority or greater of the Member Agencies shall have the right to amend this Trust Agreement from time to time, and to similarly amend or cancel any amendments. A copy of all amendments shall be delivered to the Trustee, the Trust Administrator and Plan Administrators promptly as each is made. (b) Such amendments shall be set forth in an instrument in writing executed by the amending party, the Trust Administrator and the Trustee. Any amendment may be current, retroactive or prospective, provided, however, that no amendment shall: 1. Cause the Assets of any Agency Trust to be used for or diverted to purposes other than for the exclusive benefit of Participants who have an interest in such Agency Trust or for the purpose of defraying the reasonable expenses of administering such Agency Trust. 2. Have any retroactive effect so as to reduce the benefits of any Participant having an interest in the Agency Trust as of the date the amendment is adopted, except that such changes may be made as may be required to permit this Trust Agreement to meet the requirements of applicable law. 3. Change or modify the duties, powers or liabilities of the Trustee or the Trust Administrator hereunder without its consent. 4. Permit the Assets of any Agency Trust to be used for the benefit of any other Plan of the Member Agency unless the Member Agency agrees to such use. 28 0198 7.3 Termination of Plan A termination of the Plan for which the Agency Trust was established shall not, in itself, effect a termination of an Agency Trust. Upon any termination of the Plan, the Assets of the Agency Trust shall be distributed by the Trustee as and when directed by the Plan Administrator. From and after the date of such termination of the Plan and until final distribution of the Assets the Trustee shall continue to have all the powers provided herein as are necessary or expedient for the orderly liquidation and distribution of such assets and the Agency Trust shall continue until the interests of all Participants have been completely distributed to or for the benefit of the Participants in accordance with the Plan. 7.4 Reversion In the event a Member Agency's Plan is terminated, the vested interest of any Participant shall not be diminished or adversely affected. Except as may be provided in this Trust Agreement or the Plan, such termination shall not vest in the Member Agency any corpus or income under the Agency Trust, nor permit the Plan to discriminate as to coverage, or as to allocation of contributions or earnings, in favor of employees who are officers, shareholders, or highly compensated, nor cause the Agency Trust to lose its exemption pursuant to 501(a) of the Code. No modification, amendment or termination of the Plan shall be construed to be a termination of the Agency Trust so as to require the Trustee to make a distribution of any of the Assets of the Agency Trust to any Participant. In order to make such distribution the Trustee must receive written instructions from the Plan Administrator or Delegatee in a form acceptable to the Trustee. If any Member Agency adopts a Plan whose assets are maintained in an Agency Trust and makes application to the Internal Revenue Service, within one year from the date of adoption of such Plan, for a determination that such Plan is a qualified plan under Section 401(a) of the Code, and if such Plan is determined by the Internal Revenue Service not to be a qualified Plan, then all contributions and investment income attributable to such Plan shall be returned to the Member Agency upon application to the Trustee. 7.5 Fund Recovery Based on Mistake of Fact Except as hereinafter provided, the Assets of the Agency Trust shall never inure to the benefit of the Member Agency. The Assets shall be held for the exclusive purposes of providing benefits to Participants having an interest in the Plan and defraying reasonable expenses of administering the Agency Trust. The sole exception to the foregoing is as follows: 29 0199 Mistake of Fact. In the case of a contribution which is made by the Plan Administrator because of a mistake of fact, that portion of the contribution relating to the mistake of fact (exclusive of any earnings or losses attributable thereto) may be returned to the Plan Administrator, provided such return occurs within one (1) year after discovery by the Plan Administrator of the mistake. If any repayment is payable to the Plan Administrator, then, as a condition to such repayment, and only if requested by Trustee, the Plan Administrator shall execute, acknowledge and deliver to the Trustee its written undertaking, in a form satisfactory to the Trustee, to indemnify, defend and hold the Trustee harmless from all claims, actions, demands or liabilities arising in connection with such repayment. 7.6 Transfers from Other Qualified Plans Notwithstanding any other provision hereof, there may be transferred to the Trustee, upon direction of the Plan Administrator, all or any of the assets held (whether by a trustee, custodian or otherwise) on behalf of any other plan which satisfies the applicable requirements of Section 401 of the Code, and which is maintained for the benefit of any persons who are or will become Participants in the Plan. 7.7 Termination The Trust Agreement may be terminated only by a unanimous agreement of all Member Agencies. Such action must be in writing and delivered to the Trustee and Trust Administrator. ARTICLE VIII MISCELLANEOUS PROVISIONS 8.1 Nonalienation To the maximum extent permitted by law, a Participant's interest in the Agency Trust shall not in any way be liable to attachment, garnishment, assignment or other process, or be seized, taken, appropriated or applied by any legal or equitable process, to pay any debt or liability of the Participant or any other party. Agency Trust Assets shall not be subject to the claims of the Member Agency or the claims of its creditors. 8.2 Saving Clause In the event any provision of this Trust Agreement and each Agency Trust is held 30 0200 illegal or invalid for any reason, said illegality or invalidity shall not affect the remaining parts of the Trust and/or Agency Trust, but this instrument shall be construed and enforced as if said provision had never been included. 8.3 Applicable Law This Trust Agreement and each Agency Trust shall be construed, administered and governed under the Code and the applicable provisions of California law. To the extent any of the provisions of this Trust Agreement or the Plan are inconsistent with the Code or applicable California law, the provisions of the Code or California law shall control. In the event, however, that any provision is susceptible to more than one interpretation, such interpretation shall be given thereto as is consistent with the Trust Agreement and the Plan being a qualified governmental retirement trust and plan within the meaning of the Code. 8.4 Joinder of Parties In any action or other judicial proceedings affecting this Trust Agreement, it shall be necessary to join as parties only the Trustee, the Plan Administrator or Delegatee. No participant or other persons having an interest in any Agency Trust shall be entitled to any notice or service of process unless otherwise required by law. Any judgment entered in such a proceeding or action shall be binding on all persons claiming under this Trust Agreement, provided, however, that nothing in this Trust Agreement shall be construed as to deprive a participant of such participant's right to seek adjudication of such participant's rights under applicable law. 8.5 Employment of Counsel The Trustee may consult with legal counsel (who may be counsel for the Trustee or Member Agency Plan Administrator) and charge the Agency Trust. 8.6 Gender and Number Words used in the masculine, feminine or neuter gender shall each be deemed to refer to the other whenever the context so requires; and words used in the singular or plural number shall each be deemed to refer to the other whenever the context so requires. w, 0201 31 8.7 Headings Headings used in this Trust Agreement are inserted for convenience of reference only and any conflict between such headings and the text shall be resolved in favor of the text. 8.8 Counterparts The Adoption Agreement of this Trust Agreement may be executed in an original and any number of counterparts by the Plan Administrator (executing an Adoption Agreement), the Trust Administrator and the Trustee, each of which shall be deemed to be an original of the one and the same instrument. ARTICLE IX ACKNOWLEDGMENT AND ACCEPTANCE The provisions of the Trust Agreement as contained herein are hereby amended and restated as of the Amended Effective Date. IN WITNESS WHEREOF, the Plan Administrator (by executing the Adoption Agreement) the Trust Administrator and Trustee have executed this Trust Agreement by their duly authorized agents on this day of ACKNOWLEDGED AND ACCEPTED this day of , THE TRUSTEE UNION BANK OF CALIFORNIA, N.A. THE TRUST ADMINISTRATOR Title: Senior Vice President Title: President 32 0202 EXHIBIT "A" ADOPTION AGREEMENT TO THE TRUST AGREEMENT Member Agency: Plan Name: Plan Effective: Plan Administrator: Title: Address: The above referenced California public agency ("Member Agency") adopts the Trust Agreement, as amended and restated effective 7/1/99, as the trust portion ("Agency Trust") of the above referenced qualified plan ("Plan"), effective as of the date set out above. Pursuant to Resolution 2011- dated , which authorizes the adoption of the Trust Agreement and names the above referenced individual by position of employment to act on behalf of the Member Agency in all matters relating to the Member Agency's participation in the Trust Program and Agency Trust ("Plan Administrator"), the Plan Administrator certifies the following entities within the Agency Trust: TRUSTEE: TRUST ADMINISTRATOR: INVESTMENT FIDUCIARY: By: Date: ACCEPTED: Trust Administrator: By: Date: Union Bank, N.A. Union Bank, N.A., acting through its subsidiary HighMark Capital Management, a registered investment advisor. Title: Title: Trustee and Investment Fiduciary: Union Bank, N.A. i� Date: Title: Trustee and Investment Fiduciary: Union Bank, N.A. LZ Date: Title: 0203 AGREEMENT FOR ADMINISTRATIVE SERVICES This Agreement for Administrative Services ("Agreement") is made this day of , 2011, between Phase II Systems, a corporation organized and existing under the laws of the State of California, doing business as Public Agency Retirement Services (hereinafter "PARS") and the City of La Quinta ("Agency"). WHEREAS, Agency is desirous of retaining PARS, as Trust Administrator to the PARS Trust, to provide administrative and consulting services with respect to the qualified and non -qualified City of La Quinta PARS Supplementary Retirement Plan (the "Plan"). NOW THEREFORE, the parties agree: 1. Services. PARS will provide the services pertaining to the Plan as described in the exhibit attached hereto as "Exhibit IA" ("Services") in a timely manner, subject to the further provisions of this Agreement. 2. Fees for Services. PARS will be compensated for performance of the Services as described in the exhibit attached hereto as "Exhibit 1 B". 3. Payment Terms. Payment for the Services will be remitted directly from Plan assets unless otherwise stated in Exhibit I B. In the event that the Agency chooses to make payment directly to PARS, it shall be the responsibility of the Agency to remit payment directly to PARS based upon an invoice prepared by PARS and delivered to the Agency. If payment is not received by PARS within thirty (30) days of the invoice delivery date, the balance due shall bear interest at the rate of 1.5% per month. If payment is not received from the Agency within sixty (60) days of the invoice delivery date, payment plus accrued interest will be remitted directly from Plan assets, unless PARS has previously received written communication disputing the subject invoice that is signed by a duly authorized representative of the Agency. 4. Fees for Services Beyond Scope. Fees for services beyond those specified in this Agreement will be billed to the Agency at the rates indicated in the PARS standard fee schedule in effect at the time the services are provided and shall be payable as described in Section 3 of this Agreement. Before any such services are performed, PARS will provide the Agency with written notice of the subject services, terms, and an estimate of the fees therefore. 5. Information Furnished to PARS. PARS will provide the Services contingent upon the Agency's providing PARS the information specified in the exhibit attached hereto as "Exhibit IC"("Data"). It shall be the responsibility of the Agency to certify the accuracy, content and completeness of the Data so that PARS may rely on such information without further audit. It shall further be the responsibility of the Agency to deliver the Data to PARS in such a manner that allows for a reasonable amount of time for the Services to be performed. Except as specified in Exhibit IA, PARS shall be under no additional duty to question Data received from the Agency, to compute contributions made to the Plan, to determine or inquire whether contributions are adequate to meet and discharge liabilities under the Plan, or to determine or inquire whether contributions made to the Plan are in compliance with the Plan or applicable law. In addition, PARS shall not be liable for nonperformance of Services if such non-performance is caused by or results from erroneous and/or late delivery of Data from the Agency. In the event that the Agency fails to provide Data in a complete, accurate and timely manner and pursuant to the specifications in Exhibit IC, PARS 020 4 reserves the right, notwithstanding the further provisions of this Agreement, to terminate this Agreement upon no less than ninety (90) days written notice to the Agency. 6. Suspension of Contributions. In the event contributions are suspended, either temporarily or permanently, prior to the complete discharge of PARS' obligations under this Agreement, PARS reserves the right to bill the Agency for Services under this Agreement actually completed and accepted by Agency at the rates indicated in PARS' standard fee schedule in effect at the time the services are provided, subject to the terms established in Section 3 of this Agreement. Before any such services are performed, PARS will provide the Agency with written notice of the subject services, terms, and an estimate of the fees therefore. 7. Records. During the term of this Agreement, and for a period of five (5) years after termination of this Agreement, PARS shall provide duly authorized representatives of the Agency access to all records and material relating to calculation of PARS' fees under this Agreement. Such access shall include the right to inspect, audit and reproduce such records and material and to verify reports furnished in compliance with the provisions of this Agreement. All information so obtained shall be accorded confidential treatment as provided under applicable law. 8. Confidentiality. Without the Agency's consent, PARS shall not disclose any information relating to the Plan except to duly authorized officials of the Agency and to parties retained by PARS to perform specific services within this Agreement. The Agency shall not disclose any information relating to the Plan to individuals not employed by the Agency without the prior written consent of PARS, except as such disclosures may be required by applicable lawor where such disclosure is made to the Agency's attorneys (including attorneys not employed by the Agency) to enable such attorneys to advise the Agency with respect to the Plan or any matter related to the Plan. 9. Independent Contractor. PARS is and at all times hereunder shall be an independent contractor. As such, neither the Agency nor any of its officers, employees or agents shall have the power to control the conduct of PARS, its officers, employees or agents, except as specifically set forth and provided for herein. PARS shall pay all wages, salaries and other amounts due its employees in connection with this Agreement and shall be responsible for all reports and obligations respecting them, such as social security, income tax withholding, unemployment compensation, workers' compensation and similar matters. 10. Professional Liability Insurance. During the term of this agreement, PARS will maintain at coverage levels appropriate for this Plan, professional liability insurance covering the services to be provided under this Agreement. 11. Indemnification. PARS and Agency hereby indemnify each other and hold the other harmless, including their respective officers, directors, employees, agents and attorneys, from any claim, loss, demand, liability, or expense, including reasonable attorneys' fees and costs, incurred by the other as a consequence of PARS' or Agency's, as the case may be, acts, errors, or omissions with respect to the performance of their respective duties hereunder, which duties expressly exclude any duty of PARS to submit any application for a determination letter of any kind with respect to the Plan to the IRS. if Agency submits an application to the IRS with respect to the Plan, the Agency shall indemnify and hold PARS harmless from any claim, loss, demand, liability, or expense, including reasonable attorney's fees, incurred by PARS that was caused by either the filing of such application to the IRS with respect to the Plan or a ruling or other action by the IRS 0205 with respect to such application, provided that such claim, loss, demand, liability, or expense is made by, or incurred as a result of, a claim by a participant/beneficiary of the Plan and/or the Agency and no other person or entity,. 12. Compliance with Applicable Law. The Agency shall observe and comply with federal, state and local laws in effect when this Agreement is executed, or which may come into effect during the term of this Agreement, regarding the administration of the Plan. PARS shall observe and comply with federal, state and local laws in effect when this Agreement is executed, or which may come into effect during the term of this Agreement, regarding Plan administrative services provided under this Agreement. 13. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. In the event any party institutes legal proceedings to enforce or interpret this Agreement, venue and jurisdiction shall be in any state court of competent jurisdiction. 14. Force Majeure. When satisfactory evidence of a cause beyond a party's control is presented to the other party, and nonperformance was unforeseeable, beyond the control and not due to the fault of the party not performing, a party shall be excused from performing its obligations under this Agreement during the time and to the extent that it is prevented from performing by such cause, including but not limited to: any incidence of fire, flood, acts of God, acts of terrorism or war, commandeering of material, products, plants or facilities by the federal, state or local government, or a material act or omission by the other party. 15. Ownership of Reports and Documents. The originals of all letters, documents, reports, and data produced for the purposes of this Agreement shall be delivered to, and become the property of the Agency. Copies may be made for PARS but shall not be furnished to others without written authorization from Agency. 16. Records Retention. After the termination of this Agreement, PARS will retain all books, records, ledgers, journals, correspondence and documents in its possession, whether in hard copy or in an electronic format, relating to the Plan for such periods as the Agency and/or the Plan is required to retain such records by applicable law, but in no event for a period ending prior to the date that is six (6) years after all benefits under the Plan have been transferred or distributed. PARS will cooperate in providing to the Agency such information or copies of materials in its possession relating to the Plan as requested by the Agency. 17. Designees. The Plan Administrator of the Agency, or his/her designee, shall have the authority to act for and exercise any of the rights of the Agency as set forth in this Agreement, subsequent to and in accordance with the written authority granted by the Governing Body of the Agency, a copy of which writing shall be delivered to PARS. Any officer of PARS, or his or her designees, shall have the authority to act for and exercise any of the rights of PARS as set forth in this Agreement. 18. Cooperation with Successor. PARS shall cooperate in good faith with the Agency and any successor Trust Administrator in the conversion of the Plan to a new Trust Administrator. PARS will use reasonable efforts to transfer all relevant information concerning the Plan to the Agency or, to a successor Trust Administrator. Should the termination of services be concurrent with a termination of the Plan, PARS will use reasonable efforts to dispose of participant's benefits per0 2 Q 6 the Agency's and, as appropriate, the participants' instructions. PARS shall be paid a termination fee based on the current schedule of termination fees in place at the time of termination of service, if any. If the Plan is funded by a lump sum payment, PARS will not be entitled to a termination fee. 19. Notices. All notices hereunder and communications regarding the interpretation of the terms of this Agreement, or changes thereto, shall be effected by delivery of the notices in person or by depositing the notices in the U.S. mail, registered or certified mail, return receipt requested, postage prepaid and addressed as follows: (A) To PARS: PARS 4350 Von Karman Avenue, Suite 100 Newport Beach, CA 92660 Attention: President (B) To Agency: City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attention: City Manager Notices shall be deemed given on the date received by the addressee. 20. Term of Agreement. This Agreement shall remain in effect for the period beginning April 19, 2011 and ending June 30, 2015 ("Term"). This Agreement will continue unchanged for successive twelve-month periods following the Term unless either party gives written notice to the other party of the intent to terminate prior to ninety (90) days before the end of the Term. 21. Amendment. This Agreement may not be amended orally, but only by a written instrument executed by the parties hereto. 22. Entire Agreement. This Agreement, including exhibits, contains the entire understanding of the parties with respect to the subject matter set forth in this Agreement. In the event a conflict arises between the parties with respect to any term, condition or provision of this Agreement, the remaining terms, conditions and provisions shall remain in full force and legal effect. No waiver of any term or condition of this Agreement by any party shall be construed by the other as a continuing waiver of such term or condition. 23. Provisions That Survive Termination. The following provisions of this Agreement will survive the termination of this Agreement: (A) The indemnification provisions for both the Agency and PARS; (B) PARS' obligation to cooperate in good faith with the Agency and/or successor Trust Administrator; and (C) PARS' obligation to retain and provide documents. 0207 24. Attorney's Fees. In the event any action is taken by a party hereto to enforce the terms of this Agreement, the prevailing party therein shall be entitled to receive its reasonable attorney's fees. 25. Counterparts. This Agreement may be executed in any number of counterparts, and in that event, each counterpart shall be deemed a complete original and be enforceable without reference to any other counterpart. 26. Headings. Headings in this Agreement are for convenience only and shall not be used to interpret or construe its provisions. 27. Effective Date. This Agreement shall be effective on the date first above written, and also shall be the date the Agreement is executed. AGENCY: BY: TITLE:City Manager DATE: PARS: BY: TITLE: DATE: 0208 EXHIBIT IA SERVICES PARS will provide the following services for the City of La Quinta: 1. Plan Consultation Services: (A) Meeting with Agency personnel to discuss the impact to the Agency of implementing a Plan; (B) If appropriate, completing a fiscal analysis, based on data and assumptions provided by Agency, to determine the fiscal feasibility of a Plan; (C) Meeting with Agency personnel to discuss the fiscal analysis and receive feedback on the analysis, data, and assumptions made; (D) Making appropriate revisions to the fiscal analysis as directed by Agency. 2. Plan Installation Services: (A) Meeting with appropriate Agency personnel to discuss plan provisions, implementation timelines, benefit communication strategies, data reporting and contribution submission requirements; (B) Providing the necessary analysis and advisory services to finalize these elements of the Plan; (C) Providing the documentation needed to establish the Plan for review by Agency legal counsel, with the exception of the Plan document which shall be provided by Agency legal counsel. 3. Plan Administration Services: (A) Monitoring the receipt of Plan contributions made by the Agency to the trustee of the PARS Trust Program ("Trustee"), based upon information received from the Agency and the Trustee; (B) Performing periodic accounting of Plan assets, including the allocation of employer contributions, distributions, investment activity and expenses (if applicable), based upon information received from the Agency and/or Trustee; (C) Acting as ongoing liaison between the Participant and the Agency in regard to distribution payments, which shall include use by the Participants of toll -free telephone communication to PARS; (D) Producing benefit illustrations and processing enrollments; OL09 (E) Coordinating the processing of Participant distribution payments pursuant to authorized written Agency certification of distribution eligibility, authorized direction by the Agency, and the provisions of the Plan, and, to the extent possible, based upon Agency - provided Data; (F) Directing Trustee to liquidate Plan assets (if necessary) and make Participant distribution payments, and producing required tax filings regarding said distribution payments; (G) Notifying the Trustee of the amount of Plan assets available for further investment and management, or, the amount of Plan assets necessary to be liquidated in order to fund Participant distribution payments; (H) Coordinating actions with the Trustee as directed by the Plan Administrator within the scope this Agreement; (1) Preparing and submitting a report of Plan activity to the Agency, unless directed by the Agency otherwise; (J) Coordinating and selecting of a licensed actuary to perform actuarial valuation, if required, on a periodic basis to comply with state and federal laws (the actuarial certification fee for which shall be paid by the Agency). (K) Preparing and submitting the Annual Report of Financial Transactions to the California State Controller, as required by law, for the PARS Trust Program, including the required certified audit of the PARS Trust. 4. Plan Compliance Services: Coordinating and preparing changes to the Trust, Plan and other associated legal documents required by federal and state agencies to maintain the Plan in compliance for review by Agency legal counsel. 5. PARS is not licensed to provide and does not offer tax, accounting, legal, investment or actuarial advice. In providing the services specified above, PARS will retain qualified professional service providers at its cost as it deems necessary if the service lies outside its area of expertise. 6. Any analysis provided by PARS is subject to the receipt of accurate information and assumptions as may be provided by Agency. The Agency is responsible for integrating the PARS analysis into any Agency budgetary analysis or decision -making processes. The fiscal projections in the PARS analysis are dependent upon future experience conforming to the assumptions used and the results will be altered to the extent that future experience deviates from these assumptions. It is certain that actual experience will not conform exactly to the assumptions used in the analysis. v 10 EXHIBIT I FEES FOR SERVICES PARS will be compensated for performance of Services, as described in Exhibit IA based upon the following schedule: 1. Upon implementation of the Plan associated with this Agreement, the Agency agrees to pay: (A) An ongoing administration fee equal to five and one-half percent (5.50%) of all contributions made by the Agency on behalf of participants in the subject Plan, subject to a $5,000.00 minimum per year for five years. Fees will be billed to the Trustee as contributions are made by the Agency, and it will be the responsibility of the Trustee to pay those fees from the assets of the Plan. These fees are exclusive of Trustee and investment management fees, which are based on the standard fees charged by the Trustee. Trust Administrator must obtain the Agency's Plan Administrator approval before directing Trustee to pay such fees. (B) A fee equal to actuarial expenses, if any, charged to PARS by an outside contractor for an actuarial valuation of the Agency's Plan ("Actuarial Valuation Fee"). (C) A fee equal to the stated legal fees related to any ongoing federal and/or state required Plan compliance changes. Such fees will not be charged to the Agency without prior authorization by the Plan Administrator. 2. In the event that the Plan associated with this Agreement is not implemented, the Agency agrees to pay a one-time fee equal to $5,000.00, The fee will be billed to the Agency upon notice of cancellation of the Plan and it will be the responsibility of the Agency to pay this fee. 0211 EXHIBIT I C DATA REQUIREMENTS PARS will provide the Services under this Agreement contingent upon receiving the following information: 1. Participant Data (provided by Agency): (A)Participant's Legal Name (B) Participant's Position (C) Participant's Address (D)Participant's Birth Date (E) Participant's Hire Date (F) Participant's Contract Salary (G)Years of Agency Service (H)Retirement Date 2. Executed Legal Documents (provided by Agency) (A) Certified Resolution (B) Adoption Agreement (C) Plan Document (D) Trustee Investment Forms 3. Completed Funding Documents (provided by Agency): (A) Authorization to Pay Benefits Form (B) Funding of PARS Supplementary Retirement Plan Form 4. Completed Enrollment Forms (timely submitted by Participant): (A) Correction Form (B) Enrollment Form (C) Beneficiary Designation Form (D) Tax Withholding Request Form (E) Letter of Resignation 5. Other information pertinent to the Services as reasonably requested by PARS. Q� �Z EXHIBIT B CITY OF LA QUINTA EXCESS BENEFIT PLAN EFFECTIVE FEBRUARY 15, 2011 DEFINED BENEFIT PLAN 0213 TABLE OF CONTENTS ARTICLE I PURPOSE ARTICLE II PARTICIPATION..................................................................... ARTICLE III BENEFITS; VESTING............................................................. 3.1 Amount of Benefit....................................................................... 3.2 Payment of Benefit...................................................................... 3.3 Vesting......................................................................................... 3.4 Actuarial Equvalence................................................................... ARTICLE IV ADMINISTRATION AND AMENDMENT OF THE PLAN 4.1 Rules and Regulations.................................................................. 4.2 Non -Alienation of Benefits.......................................................... 4.3 Funding........................................................................................ 4.4 Taxes............................................................................................ 4.5 Amendment and Termination ...................... :............................... 4.6 Compliance with Laws................................................................ ARTICLE V DEFINITIONS............................................................................ ....................1 .................... 1 .................... 1 .................... 2 .................... 2 ................... 2 .................... 2 .................... 2 .................... 3 .................... 3 .................... 3 .................... 3 0214 ARTICLE I PURPOSE The purpose of this Plan is to supplement the benefits of certain Employees under the City of La Quinta Fiscally Responsible Retirement Plan (the "Supplemental Retirement Plan") to the extent that such benefits are reduced by the limitations on benefits imposed by Section 415 of the Internal Revenue Code of 1986, as amended (the "Code"). ARTICLE II PARTICIPATION Those Employees who are participants in the Supplemental Retirement Plan and whose benefits at the time of payment are reduced by the limitation on benefits imposed by Section 415 of the Code shall be Participants hereunder. ARTICLE III BENEFITS; VESTING 3.1 Amount of Benefit. The value of the benefits which each Participant shall be entitled to receive under this Plan shall be equal to the Actuarial Equivalent of the difference between the actual benefits of such Participant under the Supplemental Retirement Plan and the Actuarial Equivalent of the benefits that would have been payable to the Participant under such plan except for the limitations on benefits imposed by Section 415 of the Code. 3.2 Payment of Benefit. The benefits payable under this Plan shall be payable to the Participant or to any other person who is receiving or entitled to receive benefits with respect to the Participant (the "Distributee") under the Supplemental Retirement Plan. The benefits will be paid in the same form, at the same times and for the same period as benefits are paid with respect to the Distributee under the Supplemental Retirement Plan. Notwithstanding the foregoing, in the event that the present value of the Actuarial Equivalent of the benefit to be paid under this Plan (as determined by the Employer upon the advice of the actuary for PARS) at the commencement 0215 of payment is $5,000 or less, the Employer may, in its discretion, elect to pay the benefit in a single lump sum. 3.3 Vesting. A Participant will be fully vested in his Retirement Benefit upon meeting the requirements of Article 11. 3.4 Actuarial Equivalence. For the purpose of establishing Actuarial Equivalence, the mortality assumption shall be 1983 GAM and the interest assumption shall be 6% per annum. ARTICLE IV ADMINISTRATION AND AMENDMENT OF THE PLAN 4.1 Rules and Regulations. The Employer has full discretionary authority to supervise and control the operation of this Plan in accordance with its terms and may make rules and regulations for the administration of this Plan that are not inconsistent with the terms and provisions hereof. The Employer shall determine any questions arising in connection with the interpretation, application or administration of the Plan (including any question of fact relating to age, employment, compensation or eligibility of employees) and its decisions or actions in respect thereof shall be conclusive and binding upon any and all persons and parties. 4.2 Non -Alienation of Benefits. Except as otherwise provided in the Plan, no right or benefit under the Plan shall be subject to anticipation, alienation, sale, assignment, pledge, encumbrance or charge, and any attempt to anticipate, alienate, sell, assign, pledge, encumber or charge such right or benefit shall be void. No such right or benefit shall in any manner be liable for or subject to the debts, liabilities or torts of a Participant or other benefit recipient. In addition, no right of a Participant or other benefit recipient under the Plan is transferable by inter vivos gift or testamentary disposition. 2 0216 4.3 Funding. The Plan shall be unfunded, and benefits under the Plan shall be paid from the general or retirement fund of the Employer through an Excess Benefit Plan Fund hereby established for payment of administration expense and benefit payments, subject to the claims of the Employer's general creditors. No person other than the Employer shall by virtue of the provisions of the Plan have any interest in such amounts. Title to and beneficial ownership of any assets, whether cash or other investments which the Employer may earmark to pay any amount under the Plan, shall at all times remain with the Employer, and Participants and any other persons entitled to benefits hereunder shall not have any property interest whatsoever in any specific assets of the Employer. The obligation of the Employer to make payments pursuant to the Plan is contractual only. No Participant or other person entitled to benefits hereunder shall have a preferred claim or lien on any assets of the Employer. 4.4 Taxes. The Plan Administrator shall make appropriate arrangements to deduct from all amounts paid under the Plan any taxes required to be withheld with respect to the Plan by any government or governmental agency. 4.5 Amendment and Termination. The Employer shall have the right to amend the Plan (other than this section) or terminate the Plan at any time. If the Plan is terminated, the actuarial equivalent present value of any remaining benefits payable to a Participant or other person shall be paid in a lump sum 30 days after the termination of the Plan. 4.6 Compliance with Laws. It is the intention that this Plan be a "qualified governmental excess benefit arrangement" within the meaning of Section 415(m) of the Code, and may at any time be amended to comply with the Code requirements to maintain such qualification and status. 3 021l ARTICLE V DEFINITIONS Whenever the following terms are used in the Plan, with the first letter capitalized, they shall have the meanings first specified below. "Code" shall mean the Internal Revenue Code of 1986, as amended. "Employer" shall mean the City of La Quinta that has adopted this Plan. "Employee" shall mean an employee of the Employer. "Normal Retirement Age" shall mean sixty-two (62) years of age. "Participant" shall mean those Employees eligible for participation in the Plan. "Plan" shall mean this City of La Quinta Excess Benefit Plan, as amended. "Retirement Benefits" shall mean the benefits payable to the Participant following retirement, as described in Article III. "Supplemental Retirement Plan" shall mean the City of La Quinta Fiscally Responsible Retirement Plan, effective February 15, 2011, as amended. 4 0218 CITY OF LA QUINTA EXCESS BENEFIT PLAN The City of La Quinta Excess Benefit Plan is hereby adopted effective February 15, 2011. Thomas Genovese Title: City Manager Date: 02119 CITY OF LA QUINTA EXCESS BENEFIT TRUST AGREEMENT Section415(m).Trust i 3/8/06 0220 TABLE OF CONTENTS ARTICLE I ESTABLISHMENT AND GENERAL OPERATION OF TRUST ARTICLE 11 Establishment of Trust ............................................... Revocability............................................................... Grantor Trust............................................................. Trust Contributions.................................................... Payments to Employer .............................................. Signing Authority, Administrator ................................ Acceptance of Assets; Trust Composition ...................... Trust Contributions......................................................... No Duty of Trustee to Enforce Collection ....................... Plan Administration......................................................... Participant Accounts....................................................... TaxReporting................................................................. Trust Administrator......................................................... INVESTMENTS Paqe 2.1 Employer Directs Investments....................................................................4 2.2 Appointment of Trustee (or Other Individual or Entity) as Investment Manager...................................................................................................4 2.3 Funding Policy and Investment Guidelines.................................................4 2.4 Disposition of Income.................................................................................5 ARTICLE III TRUSTEE'S POWERS 3.1 General Trustee's Powers..........................................................................5 3.2 Additional Powers.......................................................................................7 3.3 Delegatee...................................................................................................9 3.4 Directions to Trustee..................................................................................9 3.5 Trust Administrator...................................................................................10 3.6 Additional Trust Administrator Services....................................................11 3.7 Trust Administrator's Compensation.........................................................11 3.8 Resignation or Removal of Trust Administrator ........................................ 11 ARTICLE IV TRUSTEE AND EMPLOYER DUTIES 4.1 Legal Duties.............................................................................................11 4.2 Payments to Participants..........................................................................11 Section 415(m).Trust ii 3/8/06 0221 4.3 Accounts and Records.............................................................................12 4.4 Reports.................................................................................................13 4.5 Follow Employer Direction........................................................................13 4.6 Information to be Provided to Trustee......................................................13 ARTICLE V, RESTRICTIONS ON TRANSFER 5.1 Persons to Receive Payment...................................................................14 5.2 Assignment and Alienation Prohibited......................................................14 ARTICLE VI RESIGNATION, REMOVAL AND SUCCESSION 6.1 Resignation or Removal of Trustee..........................................................15 6.2 Designation of Successor.........................................................................15 6.3 Upon Resignation.....................................................................................15 6.4 Court Appointment of Successor..............................................................15 6.5 Successor's Powers.................................................................................15 6.6 Successor's Duties...................................................................................16 ARTICLE VII AMENDMENT 7.1 Power to Amend.......................................................................................16 ARTICLE Vill LIABILITIES 8.1 Declaration of Intent.................................................................................16 8.2 Liability of the Trustee..............................................................................16 8.3 Indemnification.........................................................................................17 ARTICLE IX DURATION, TERMINATION AND REPAYMENTS TO EMPLOYER 9.1 Revocation and Termination.....................................................................18 9.2 Duration.................................................................................................19 ARTICLE X MISCELLANEOUS 10.1 Emergencies and Delegation...................................................................19 10.2 Expenses and Taxes................................................................................19 10.3 Third Parties.............................................................................................20 10.4 Adoption by Affiliate Employer..................................................................20 10.5 Binding Effect; Successor Employer.........................................................21 10.6 Relation to Plan........................................................................................21 10.7 Arbitration of Disputes..............................................................................21 10.8 Attorney Fees and Costs..........................................................................21 10.9 Partial Invalidity........................................................................................22 10.10 Construction.............................................................................................22 Section 415(m).Trust iii 3/8/06 0222 10.11 Notices.................................................................................................22 ARTICLE XI DISTRIBUTIONS IN THE EVENT OF INSOLVENCY OF EMPLOYER 11.1 Trustee Responsibility..............................................................................22 ARTICLE XII EFFECTIVE DATE 12.1 Effective Date...........................................................................................25 Addresses of Parties for Notice................................................................25 Section 415(m).Trust iv 3/8106 0223 TRUST UNDER THE CITY OF LA QUINTA EXCESS BENEFIT PLAN This Trust Agreement (the "Trust Agreement" or "Trust") is made by and between the City of La Quinta (the "Employer"), Public Agency Retirement Services ("PARS" and/or "Trust Administrator") and UNION BANK, N.A., a national banking association (the "Trustee"), and shall be effective upon the Trustee's receipt of assets to be held in trust hereunder. PURPOSE (a) WHEREAS, the Employer has adopted the plan or plans attached as Exhibit A or which subsequently may be designated in writing by the Employer (the "Plan") pursuant to which the Employer expects to incur unfunded liabilities with respect to certain employees of the Employer. (b) WHEREAS, Employer wishes to establish a trust (hereinafter called "Trust") and to contribute to the Trust assets that shall be held therein, subject to the claims of Employer's creditors in the event of Employer's Insolvency, as herein defined, until paid to Plan participants in such manner and at such times as specified in the Plan; (c) WHEREAS, it is the intention of the parties that this Trust shall constitute an unfunded arrangement and shall not affect the status of the Plan as an unfunded plan maintained for the purpose of providing deferred compensation for a select group of employees; (d) WHEREAS, it is the intention of Employer to make contributions to the Trust to provide itself with a source of funds to assist it in the meeting of its liabilities under the Plan; NOW, THEREFORE, the parties do hereby establish the Trust and agree that the Trust shall be comprised, held and disposed of as follows: Section 415(m).Trust 1 3/8/06 0224 ARTICLE I ESTABLISHMENT OF TRUST 1.1 Establishment of Trust. The Employer hereby deposits with Trustee in Trust a sum of money which shall become the principal of the Trust to be held, administered and disposed of by Trustee as provided in the Trust Agreement. IN W11019c1:1I141 Wil 1.2 Revocability. The Trust hereby established shall be revocable by Employer. 1.3 Grantor Trust. The Trust is intended to be a grantor trust, of which Employer is the grantor, within the meaning of Subpart E, Part I, Subchapter J, Chapter 1, Subtitle A of the Internal Revenue Code of 1986, as amended, and shall be construed accordingly. 1.4 Trust Assets. The principal of the Trust, and any earnings thereon shall be held separate and apart from other funds of Employer and shall be used exclusively for the uses and purposes of Participants and Employer's general creditors as herein set forth. Plan participants and beneficiaries of deceased participants (hereinafter called "Participants") shall have no preferred claim on, or any beneficial ownership interest in, any assets of the Trust. Any rights created under the Plan and this Trust Agreement shall be mere unsecured contractual rights of Participants against Employer. Any assets held by the Trust will be subject to the claims of Employer's general creditors under federal and state law in the event of Insolvency, as defined in Article XI herein. 1.5 Payments to Employer. The Employer shall maintain the right and power to direct Trustee to return to Employer or to divert to others any of the Trust assets before all payment(s) of benefits have been made to Participants pursuant to the terms of the Plan. 1.6 Signing Authority: Administrator. The Employer shall certify in writing to the Trustee the names and specimen signatures of all those who are authorized to act as or on behalf of the Employer, and those names and specimen signatures shall be updated as necessary by a duly authorized official of the Employer. The Employer shall promptly notify the Trustee if any person so designated is no longer authorized to act on behalf of the Employer. Until the Trustee receives written notice that a person is no longer authorized to act on behalf of the Employer, the Trustee may continue to rely on the Employer's designation of such person. Section 415(m).Trust 2 3/8/06 0225 1.7 Acceptance of Assets: Trust Composition. All contributions or transfers shall be received by the Trustee in cash or in any other property acceptable to the Trustee. The Trust shall consist of the contributions and transfers received by the Trustee, together with the income and earnings from them and any increments to them. The Trustee shall hold, manage and administer the Trust in accordance with this Trust Agreement without distinction between principal and income. 1.8 Trust Contributions. Employer, in its sole discretion, may at any time, or from time to time, make additional deposits of cash or other property in trust with Trustee to augment the principal to be held, administered and disposed of by Trustee as provided in this Trust Agreement. Neither Trustee nor any Participant shall have any right to compel such additional deposits. 1.9 No Duty of Trustee to Enforce Collection. Notwithstanding anything herein to the contrary, Trustee shall have no authority or obligation to enforce the collection of any contribution or transfer to the Trust. 1.10 Plan Administration. The Employer and not the Trustee shall be responsible for administering the Plan (including without limitation determining the rights of the Employer's employees to participate in the Plan, determining any Participant's right to benefits under such Plan), and issuing statements to Participants of their interest in the trust and Plan. The Employer may delegate such responsibilities to a record keeper. 1.11 Participant Accounts. If required, the Employer shall maintain in an equitable manner a separate account for each Participant under the Plan ("Account") in which it shall keep a record of the share of such Participant under such Plan in the Trust. The Employer may appoint a record keeper to maintain such Accounts. A Participant's Account under the Plan shall represent the portion of the Trust allocated to provide such Participant benefits under such Plan. If the Trustee is directed by the Employer to segregate the Trust into separate Accounts for each Participant, at the time it makes a contribution to the Trust, the Employer shall certify to the Trustee the amount of such contribution being made in respect of each Participant under each Plan. The Trustee may rely on information provided to the Trustee by the Employer and the Trustee's and Employer's determination of Account values shall be conclusive and binding on all interested parties. 1.12 Tax Reporting. The Trustee shall be responsible for individual tax reporting and withholding as directed by the Employer. The Employer agrees to indemnify and defend the Trustee against any liability for the payment of such taxes, interest or penalties resulting from or related to the Trust. Section 415(m).Trust 3 3/8/06 02L6 1.13 Trust Administrator. The Trust Administrator shall be Public Agency Retirement Services. ARTICLE II INVESTMENTS 2.1 Employer Directs Investments. Except as provided in Section 2.2 below, the Employer shall have all power over, and responsibility for, the management, disposition and investment of the Trust assets, and the Trustee shall comply with proper written directions of the Employer concerning those assets. The Employer shall not issue directions in violation of the terms of the Plan and Trust or prohibited by the laws and Constitution of the State of California and applicable federal laws and regulations. Except to any extent required by the laws and Constitution of the State of California and applicable federal laws and regulations, or otherwise provided in this Trust Agreement, the Trustee shall have no duty or responsibility to review, initiate action, or make recommendations regarding Trust assets and shall retain all such assets until directed in writing by the Employer to dispose of them. 2.2 Appointment of Trustee (or Other Individual or Entity) as Investment Manager. The Employer may appoint the Trustee or other appropriately regulated individual or entity as Investment Manager, thereby delegating to the Trustee or other individual or entity the full power, authority and duty to direct the investment and management of all or any portion of the assets of the Trust as specified by the Employer and to the extent provided in Article III, subject to the investment guidelines established by the Employer as provided below. The Employer represents and warrants that any appointment made pursuant to this Section 2.2 complies with the laws and Constitution of the State of California and applicable federal laws and regulations. No appointment and delegation made pursuant to this Section 2.2 shall be effective unless made in writing and signed by both the Trustee and the Employer. 2.3 Funding Policy and Investment Guidelines. The Employer shall have the responsibility for establishing and carrying out a funding policy and method, consistent with the objectives of the Plan and, subject to the laws and Constitution of the State of California and applicable federal laws and regulations, taking into consideration the Plan's short-term and long-term financial needs. To the extent that the Trustee is appointed Investment Manager of all or a portion of the assets of the Trust in accordance with Section 2.2 above, the Trustee's responsibility for investment and diversification of such portion of the assets shall be subject to, and is limited by, the investment guidelines issued to it by the Employer in writing. It is understood that, unless otherwise agreed in writing, the Employer, rather than the Trustee, shall be responsible for the overall diversification of Trust assets. Section 415(m).Trust 4 3/6/06 On Z, 2.4 Disposition of Income. During the term of this Trust, all income received by the Trust, net of expenses and taxes, shall be accumulated and reinvested. ARTICLE III TRUSTEE'S POWERS 3.1 General Trustee's Powers. Trustee shall have, without exclusion, all powers conferred on Trustees by applicable law, unless expressly provided otherwise herein, provided, however, that if an insurance policy is held as an asset of the Trust, Trustee shall have no power to name a beneficiary of the policy other than the Trust, to assign the policy (as distinct from conversion of the policy to a different form) other than to a successor Trustee, or to loan to any person the proceeds of any borrowing against such policy. (a) To invest and reinvest the Trust or any part thereof in any one or more kind, type, class, item or parcel of property, real, personal or mixed, tangible or intangible; or in any one or more kind, type, class, item or issue of investment or security; or in any one or more kind, type class or item of obligation, secured or unsecured; or in any combination of them; (b) To acquire, sell and exercise options to buy securities ("call" options) and to acquire, sell and exercise options to sell securities ("put" options); (c) To buy, sell, assign, transfer, acquire, loan, lease (for any purpose, including beyond the life of this Trust), exchange and in any other manner to acquire, manage, deal with and dispose of all or any part of the Trust property, for cash or credit; (d) To make deposits with any bank or savings and loan institution, including any such facility of the Trustee or an affiliate thereof, provided that the deposit bears a reasonable rate of interest; (e) To retain all or any portion of the Trust in cash temporarily awaiting investment or for the purpose of making distributions or other payments, without liability for interest thereon, notwithstanding the Trustee's receipt of float; (f) To borrow money for the purposes of the Trust from any source other than a party in interest of the Plan, with or without giving security; to pay interest; to issue promissory notes and to secure the repayment thereof by pledging all or any part of the Trust assets; Section 415(m).Trust 5 3/8/06 0228 (g) To take all of the following actions: to vote proxies of any stocks, bonds or other securities; to give general or special proxies or powers of attorney with or without power of substitution; to exercise any conversion privileges, subscription rights or other options, and to make any payments incidental thereto; to consent to or otherwise participate in corporate reorganizations or other changes affecting corporate securities and to delegate discretionary powers and to pay any assessments or charges in connection therewith; and generally to exercise any of the powers of an owner with respect to stocks, bonds, securities or other property held in the Trust; (h) To make, execute, acknowledge and deliver any and all documents of transfer and conveyance and any and all other instruments that may be necessary or appropriate to carry out the powers herein granted; (i) To pay or cause to be paid from the Trust any and all real or personal property taxes, income taxes or other taxes or assessments of any or all kinds levied or assessed upon or with respect to the Trust or the Plan; Q) Subject to the limitations of 3.1, to hold term or ordinary life insurance contracts or to acquire annuity contracts on the lives of Participants (but in the case of conflict between any such contract and a Plan, the terms of the Plan shall prevail); to pay from the Trust the premiums on such contracts; to distribute, surrender or otherwise dispose of such contracts; to pay the proceeds, if any, of such contracts to the proper persons in the event of the death of the insured Participant; to enter into, modify, renew and terminate annuity contracts of deposit administration, of immediate participation or other group or individual type with one or more insurance companies and to pay or deposit all or any part of the Trust thereunder; to provide in any such contract for the investment of all or any part of funds so deposited with the insurance company in securities under separate accounts; to exercise and claim all rights and benefits granted to the contract holder by any such contracts. All payments and exercise of all powers with respect to insurance contracts shall be solely on the direction of Employer; (k) To exercise all the further rights, powers, options and privileges granted, provided for, or vested in trustees generally under applicable federal or state laws, as amended from time to time, it being intended that, except as otherwise provided in this Trust, the powers conferred upon the Trustee herein shall not be construed as being in limitation of any authority conferred by law, but shall be construed as in addition thereto. Section 415(m).Trust 6 3/8/06 0229 (1) Notwithstanding any powers granted to Trustee pursuant to this Trust Agreement or to applicable law, Trustee shall not have any power that could give this Trust the objective of carrying on a business and dividing the gains therefrom, within the meaning of section 301.7701-2 of the Procedure and Administrative Regulations promulgated pursuant to the Internal Revenue Code. 3.2 Additional Powers. In addition to the other powers enumerated above, the Trustee is authorized and empowered: (a) To invest funds in any type of interest -bearing account including, without limitation, time certificates of deposit or interest -bearing accounts issued by UNION BANK, N.A. To use other services or facilities provided by the UnionBanCal Corporation (UNBC), its subsidiaries or affiliates including Union Bank, N.A. (Bank), to the extent allowed by applicable law and regulation. Such services may include but are not limited to (1) the placing of orders for the purchase, exchange, investment or reinvestment of securities through any brokerage service conducted by, and (2) the purchase of units of any registered investment company managed or advised by Bank, UNBC, or their subsidiaries or affiliates and/or for which Bank, UNBC or their subsidiaries or affiliates act as custodian or provide other services for a fee, including, without limitation, the HighMark Group of mutual funds. The parties hereby acknowledge that the Bank may receive fees for such services in addition to the fees payable under this Agreement. Fee schedules for additional services shall be delivered to the appropriate party in advance of the provision of such services. Independent fiduciary approval of compensation being paid to the Bank will be sought in advance to the extent required under applicable law and regulation. If Union Bank, N.A. does not have investment discretion, the services referred to above, as well as any additional services, shall be utilized only upon the appropriate direction of an authorized party. (b) To cause all or any part of the Trust to be held in the name of the Trustee (which in such instance need not disclose its fiduciary capacity) or, as permitted by law, in the name of any nominee, including the nominee name of any depository, and to acquire for the Trust any investment in bearer form; but the books and records of the Trust shall at all times show that all such investments are a part of the Trust and the Trustee shall hold evidences of title to all such investments as are available; Section 415(m).Trust 7 3/8/06 0230 (c) To serve as custodian with respect to the Trust assets, to hold assets or to hold eligible assets at the Depository Trust Company or other depository; (d) To employ such agents and counsel as may be reasonably necessary in administration and protection of the Trust assets and to pay them reasonable compensation; to employ any broker -dealer covered in the self -dealing section, and pay to such broker -dealer its standard commissions; to settle, compromise or abandon all claims and demands in favor of or against the Trust; and to charge any premium on bonds purchased at par value to the principal of the Trust without amortization from the Trust, regardless of any law relating thereto; (e) To abandon, compromise, contest, arbitrate or settle claims or demands; to prosecute, compromise and defend lawsuits, but without obligation to do so, all at the risk and expense of the Trust; (f) To permit such inspections of documents at the principal office of the Trustee as are required by law, subpoena or demand by United States or state agency during normal business hours of the Trustee; (g) To comply with all requirements imposed by law; (h) To seek written instructions from the Employer on any matter and await written instructions without incurring any liability. If at any time the Employer should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion it deems advisable under the circumstances for carrying out the purposes of this Trust. Such actions shall be conclusive on the Employer and the Participants on any matter if written notice of the proposed action is given to Employer five (5) days prior to the action being taken, and the Trustee receives no response; (i) To compensate such executive, consultant, record keeper, actuarial, accounting, investment, appraisal, administrative, clerical, secretarial, custodial, depository and legal firms, personnel and other employees or assistants as are engaged by the Employer in connection with the administration of the Plan and to pay from the Trust the necessary expenses of such firms, personnel and assistants, to the extent not paid by the Employer; Q) To impose a reasonable charge to cover the cost of furnishing to Participants statements or documents; (k) To act upon proper written directions of the Employer or any Participant including directions given by photostatic teletransmission Section 415(m).Trust 8 3/8/06 0231 using facsimile signature. If oral instructions are given, to act upon those in Trustee's discretion prior to receipt of written instructions. Trustee's recording or lack of recording of any such oral instructions taken in Trustee's ordinary course of business shall constitute conclusive proof of Trustee's receipt or non -receipt of the oral instructions; (1) To pay from the Trust the expenses reasonably incurred in the administration of the Trust; (m) To maintain insurance for such purposes, in such amounts and with such companies as the Employer shall elect, including insurance to cover liability or losses occurring by reason of the acts or omissions of fiduciaries (but only if such insurance permits recourse by the insurer against the fiduciary in the case of a breach of a fiduciary obligation by such fiduciary); (n) As directed by the Employer, to cause the benefits provided under the Plan to be paid directly to the persons entitled thereto under the Plan, and in the amounts and at the times and in the manner specified by the Plan, and to charge such payments against the Trust and Accounts with respect to which such benefits are payable; (o) To exercise and perform any and all of the other powers and duties specified in this Trust Agreement or the Plan; and in addition to the powers listed herein, to do all other acts necessary or desirable for the proper administration of the Trust, as though the absolute owner thereof. 3.3 Delegatee. The Employer may delegate certain authority, powers and duties to an entity to act in those matters specified in the delegation ("Delegatee"). Any such delegation must be in a writing that names and identifies the Delegatee, states the effective date of the delegation, specifies the authority and duties delegated, is executed by the Employer and is acknowledged in writing by the Delegatee, the Trust Administrator (if not the Delegatee) and the Trustee. Such delegation shall be effective until the Trustee and the Trust Administrator are directed in writing by the Employer that the delegation has been rescinded or modified. 3.4 Directions to Trustee. Except asotherwise provided in this Trust Agreement, all directions to the Trustee from the Employer or Delegatee must be in writing and must be signed by the Employer or Delegatee, as the case may be. For all purposes of this Trust Agreement, direction shall include any certification, notice, authorization, application or instruction of the Employer, Delegatee or Trustee appropriately communicated. The above Section 415(m).Trust 9 3/8/06 0232 notwithstanding direction may be implied if the Employer or Delegatee has knowledge of the Trustee's intentions and fails to file written objection. The Trustee shall have the power and duty to comply promptly with all proper direction of the Employer, or Delegatee, appointed in accordance with the provisions of this Trust Agreement. In the case of any direction deemed by the Trustee to be unclear or ambiguous the Trustee may seek written instructions from the Employer, the Agency or the Delegatee on such matter and await their written instructions without incurring any liability. If at any time the Employer or the Delegatee should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of the Trust Program and/or any Agency Trust which may include not taking any action. The Trustee may request directions or clarification of directions received and may delay acting until clarification is received. In the absence of timely direction or clarification, or if the Trustee considers any direction to be a violation of the Trust Agreement or any applicable law, the Trustee shall in its sole discretion take appropriate action, or refuse to act upon a direction. 3.5 Trust Administrator. The Employer has appointed PARS as the Trust Administrator. The Trust Administrator has accepted its appointment subject to the Employer's delegation of authority, to act as such, pursuant to Section 3.3 of this Trust Agreement. The Trust Administrator's duties involve the performance of the following services pursuant to the provisions of this trust agreement and the Agreement for Administrative Services: (a) Performing periodic accounting of the Agency Trust; (b) Directing the Trustee to make distributions from the Agency Trust to Participants pursuant to the provisions of the Plan and liquidate assets in order to make such distributions; (c) Notifying the Investment Fiduciary of the amount of Assets in the Agency Trust available for further investment and management by the Investment Fiduciary; (d) Allocating contributions, earnings and expenses to each Agency Trust; (e) Directing the Trustee to pay insurance premiums, to pay the fees of the Trust Administrator and to do such other acts as shall be appropriate to carry out the intent of the Agency Trusts. (f) Such other services as the Employer and the Trust Administrator may agree. Section 415(m).Trust 10 3/8/06 0233 3.6 Additional Trust Administrator Services. The Employer may at any time retain the Trust Administrator as its agent to perform any act, keep any records or accounts and make any computations which are required of the Employer by this Trust Agreement or by the Plan. The Trust Administrator shall be separately compensated for such service and such services shall not be deemed to be contrary to the Trust Agreement. 3.7 Trust Administrator's Compensation. As may be agreed upon from time to time by the Employer and Trust Administrator, the Trust Administrator will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties. 3.8 Resignation or Removal of Trust Administrator. The Trust Administrator may resign at any time by giving at least one hundred twenty (120) days written notice to the Employer and the Trustee. ARTICLE IV TRUSTEE AND EMPLOYER DUTIES 4.1 Legal Duties. The Trustee and Employer shall exercise any of the foregoing powers from time to time as required by law. 4.2 Payments to Participants (a) Employer shall deliver to Trustee a schedule (the "Payment Schedule") that indicates the amounts payable in respect of each Participant, that provides a formula or other instructions acceptable to Trustee for determining the amount so payable, the form in which such amount is to be paid (as provided for or available under the Plan), and the time of commencement for payment of such amounts. Except as otherwise provided herein, Trustee shall make payments to the Participants in accordance with such Payment Schedule. As directed by Employer, the Trustee shall make provision for the reporting and withholding of any federal, state or local taxes that may be required to be withheld with respect to the payment of benefits pursuant to the terms of the Plan and shall pay amounts withheld to the appropriate taxing authorities or determine that such amounts have been reported, withheld and paid by Employer. (b) The entitlement of a Participant to benefits under the Plan shall be determined by Employer or such party as it shall designate under the Plan, and any claim for such benefits shall be considered and reviewed under the procedures set out in the Plan. Section 415(m).Trust ] t 3/8/06 �: 0?34 (c) Employer may make payment of benefits directly to Participants as they become due under the terms of the Plan. Employer shall notify Trustee of its decision to make payment of benefits directly prior to the time amounts are payable to Participants. In addition, if the principal of the Trust, and earnings thereon, are not sufficient to make payments of benefits in accordance with the terms of the Plan, Employer shall make the balance of each such payment as it falls due. Trustee shall notify Employer where principal and earnings are not sufficient. Trustee shall have no duty or obligation to enforce or compel Employer to make payments hereunder. Employer may direct Trustee to reimburse Employer for payments made directly by Employer to Participants, and shall provide the Trustee with such documentation to evidence those direct payments as the Trustee may reasonably request. (1) In the event payments are made by Employer directly to Participants, Employer shall have sole responsibility for the reporting and withholding of any federal, state, or local taxes that may be required to be withheld with respect to the payment of benefits pursuant to the terms of the Plan and shall pay amounts withheld to the appropriate taxing authority. (2) Trustee shall have no duty or responsibility with respect to the above stated reporting, withholding or payment of taxes and shall have no responsibility to determine that Employer has provided for such reporting, withholding or payment of such taxes. (3) Employer shall indemnify and hold Trustee harmless from any and all losses, claims, penalties or damages which may occur as a result of Trustee following in good faith the written direction of the Employer to reimburse Employer for payments made hereunder to Participants and arising from Employer's tax reporting, withholding and payment obligations hereunder. (d) Upon the satisfaction of all liabilities of the Employer under the Plan to all Participants the Trustee shall hold or distribute the Trust in accordance with the written instructions of the Employer. Except as provided in (c) above, at no time prior to the Employer's Insolvency, as defined in Article XI, or the satisfaction of all liabilities of the Employer under the Plan in respect of all Participants having Accounts hereunder shall any part of the Trust revert.to the Employer. 4.3 Accounts and Records. The Trustee shall keep accurate and detailed records of all investments, receipts, disbursements and all other transactions required to be done, including such specific records as shall be agreed upon in writing between the Employer and the Trustee. All such accounts, books Section 415(m).Trust 12 3/8/06 0 7 3tJ ro. and records shall be open to inspection and audit at all reasonable times by the Employer and by the Participants. Within sixty (60) days after the close of each quarter and Plan year and within sixty (60) days after the resignation or removal of the Trustee as provided in Article VI hereof, the Trustee shall render to the Employer a written account showing in reasonable summary the investments, receipts, disbursements and other transactions engaged in by the Trustee during the preceding Plan Year or accounting period with respect to the Trust. Such account shall set forth the assets and liabilities of the Trust. The Employer shall have ninety (90) days after the Trustee's mailing of each such quarterly or final account within which to file with the Trustee written objections to such account. Upon approval or by failure to file with the Trustee written objections to such account within the 90-day period, the Employer shall release and discharge the Trustee from all liability and accountability to the Employer as to all matters and items set forth in such account as if such account had been. settled and allowed by a decree from a court of competent jurisdiction, such settlement and allowance to be final and binding. Notwithstanding anything herein to the contrary, the Trustee shall have no duty or responsibility to obtain valuations of any assets of the Trust Fund, the value of which is not readily determinable on an established market. Employer shall bear sole responsibility for determining said valuations and shall be responsible for providing said valuations to Trustee in a timely manner. Trustee may conclusively rely on such valuations provided by Employer and shall be indemnified and held harmless by Employer with respect to such reliance. 4.4 Reports. The Trustee shall file such descriptions and reports and shall furnish such information and make such other publications, disclosures, registrations and other filings as are required of the Trustee by law. The Trustee shall have no responsibility to file reports or descriptions, publish information or make disclosures, registrations or other filings unless directed by the Employer. 4.5 Follow Employer Direction. The Trustee shall have the power and duty to comply promptly with all proper directions of the Employer. 4.6 Information to be Provided to Trustee. The Employer shall maintain and furnish the Trustee with all reports, documents and information as shall be required by the Trustee to perform its duties and discharge its responsibilities under this Trust Agreement, including without limitation a certified copy of each of the Plan and all amendments thereto. The Trustee shall be entitled to rely on the most recent reports, documents and information furnished to it by the Employer. The Employer shall be Section 415(m).Trust 13 3/8/06 0236 required to notify the Trustee as to the termination of employment of any Participant by death, retirement or otherwise. The Employer shall arrange for each Investment Manager if appointed pursuant to Section 2.2, and each insurance company issuing contracts held by the Trustee pursuant to Section 3.10), to furnish the Trustee with such valuations and reports as are necessary to enable the Trustee to fulfill its obligations under this Trust Agreement, and the Trustee shall be fully protected in relying upon such valuations and reports. ARTICLE V RESTRICTIONS ON TRANSFER 5.1 Persons to Receive Payment. (a) The Trustee shall, except as otherwise provided in section 4.2(d) and subsection (b) hereunder, pay all amounts payable hereunder only to the person or persons designated under the Plan or deposit such amounts to the Participant's checking or savings account as directed by the Employer and not to any other person or corporation, and only to the extent of assets held in the Trust, and shall follow written instructions by the Employer. The Employer's written instructions, to the Trustee to make distributions or not to make distributions, and the amount thereof, shall be conclusive on all Participants. (b) Should any controversy arise as to the person or persons to whom any distribution or payment is to be made by the Trustee, or as to any other matter arising in the administration of the Plan or Trust, the Trustee may retain the amount in controversy pending resolution of the controversy or the Trustee may file an action seeking declaratory relief and/or may interplead the Trust assets in issue, and name as necessary parties the Employer, the Participants and/or any or all persons making conflicting demands. (c) The Trustee shall not be liable for the payment of any interest or income, except for that earned as a Trust investment, on any amount withheld or interpleaded under subsection (b). (d) The expense of the Trustee for taking any action under subsection (b) shall be paid to the Trustee from the Trust. 5.2 Assignment and Alienation Prohibited. Benefits payable to Participants under this Trust Agreement may not be anticipated, assigned (either at law or in equity), alienated, pledged, encumbered or subjected to attachment, Section 415(m).Trust 14 3/8/06 .p0 0231 garnishment, levy, execution or other legal or equitable process. Notwithstanding the foregoing, the Trust shall at all times remain subject to the claims of creditors of the Employer in the event the Employer becomes Insolvent as provided in Article XI. ARTICLE VI RESIGNATION, REMOVAL AND SUCCESSION 6.1 Resignation or Removal of Trustee. Trustee may resign at any time by written notice to the Employer, which shall be effective thirty (30) days after receipt of such notice unless Employer and Trustee agree otherwise. The Employer may remove the Trustee at any time by written notice to the Trustee, which shall be effective thirty (30) days after receipt of such notice unless the Trustee and Employer otherwise agree. 6.2 Designation of Successor: Upon notice of the Trustee's resignation or removal, the Employer shall promptly designate a successor Trustee who will accept transfer of the assets of the Trust. If no successor Trustee is designated Trustee's resignation or removal, then I competent jurisdiction for appointment provided in Section 6.4 below. within thirty (30) days of notice of he Trustee may apply to a court of of a successor or instructions as 6.3 Upon resignation or removal of Trustee and appointment of a successor Trustee, all assets shall subsequently be transferred to the successor Trustee. The transfer shall be completed as soon as administratively feasible after receipt of notice of resignation, removal or transfer and appointment of and acceptance by successor Trustee, unless Employer extends the time limit. 6.4 Court Appointment of Successor. If Trustee resigns or is removed, a successor shall be appointed, in accordance with Section 6.2 hereof, by the effective date of resignation or removal under paragraph 6.1 of this section. If no such appointment has been made, Trustee may apply to a court of competent jurisdiction for appointment of a successor or for instructions. All expenses of Trustee in connection with the proceeding shall be allowed as administrative expenses of the Trust. Until a successor Trustee has accepted its appointment and received transfer of the Trust assets, the Trustee shall be entitled to be compensated for its services according to its published fee schedule then in effect for acting as Trustee. 6.5 Successor's Powers. A successor Trustee shall have the same powers and duties as those conferred upon the original Trustee hereunder. A resigning Section 415(m).Trust 15 3/8/06%. 0238 Trustee shall transfer the Trust assets and shall deliver the assets of the Trust to the successor Trustee as soon as practicable. The resigning Trustee is authorized, however, to reserve such amount as may be necessary for the payment of its fees and expenses incurred prior to its resignation, and the Trust assets shall remain liable to reimburse the resigning Trustee for all fees and costs, expenses or attorneys' fees or losses incurred, whether before or after resignation, due solely to Trustee's holding title to and administration of Trust assets. 6.6 Successor's Duties. A successor Trustee shall have no duty to audit or otherwise inquire into the acts and transactions of its predecessor. ARTICLE VII AMENDMENT 7.1 Power to Amend. This Trust Agreement may be amended by a written instrument executed by Trustee and Employer. No such amendment shall conflict with the terms of the Plan. ARTICLE VIII LIABILITIES 8.1 Declaration of Intent. To the full extent permitted by law, it is the intent of this Article to relieve each fiduciary from all liability for any acts or omissions of any other fiduciary or any other person and to declare the absence of liabilities of all persons referred to in this Article to the extent not imposed by law or by provisions of this Trust Agreement. Each of the following Sections, in declaring such limitation, is set forth without limiting the generality of this Section but in each case shall be subject to the provisions, limitations and policies set forth in this Section. 8.2 Liability of the Trustee. (a) The Trustee shall have no powers, duties or responsibilities with regard to the administration of the Plan or to determine the rights or benefits of any person having or claiming an interest under the Plan or in the Trust or under this Trust Agreement or to examine or control any disposition of the Trust or part thereof which is directed by the Employer, as applicable. (b) The Trustee shall have no liability for the adequacy of contributions for the purposes of the Plan or for enforcement of the payment thereof. Section 415(m).Trust 16 3/8/06 „r 0?39 FW, (c) The Trustee shall have no liability for the acts or omissions of the Employer or Fiduciaries. (d) The Trustee shall have no liability for following proper directions of Employer or Employer's designated Fiduciaries, or any Participant when such directions are made in accordance with this Trust Agreement and the Plan. (e) During such period or periods of time, if any, as Employer or Investment Manager (collectively, "Fiduciary") is directing the investment and management of Trust assets, the Trustee shall have no obligation to determine the existence of any conversion, redemption, exchange, subscription or other right relating to any securities purchased on the directions of such Fiduciary if notice of any such right was given prior to the purchase of such securities. If such notice is given after the purchase of such securities, the Trustee shall notify such Fiduciary. The Trustee shall have no obligation to exercise any such right unless it is instructed to exercise such right, in writing, by the Fiduciary within a reasonable time prior to the expiration of such right. (f) During such period or periods of time, if any, as a Fiduciary is directing the investment and management of Trust assets, if such Fiduciary directs the Trustee to purchase securities issued by any foreign government or agency thereof, or by any corporation domiciled outside of the United States, it shall be the responsibility of the Fiduciary to advise the Trustee in writing with respect to any laws or regulations of any foreign countries or any United States territories or possessions which shall apply, in any manner whatsoever, to such securities, including, but not limited to, receipt of dividends or interest by the Trustee for such securities. Indemnification. (a) The Trustee shall not be liable for, and Employer shall indemnify, defend, and hold the Trustee (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a, result of (1) any acts taken by the Trustee in accordance with directions (or failure to act in the absence of directions) from the Employer, Investment Manager or any other person or entity authorized to act on their behalf which the Trustee reasonably believes to have been given by them, or (2) the Employer's active or passive Section 415(m).Trust 17 3/8/06 0240 negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. (b) The Employer shall not be liable for, and Trustee shall indemnify, defend, and hold the Employer (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. (c) Promptly after receipt by an indemnified party of notice or receipt of a claim or the commencement of any action for which indemnification may be sought, the indemnified party will notify the indemnifying party in writing of the receipt or commencement thereof. When the indemnifying party has agreed to provide a defense as set out above that party shall assume the defense of such action (including the employment of counsel, who shall be counsel satisfactory to such indemnitee) and the payment of expenses, insofar as such action shall relate to any alleged liability in respect of which indemnity may be sought against the indemnifying party. Any indemnified party shall have the right to employ separate counsel in any such action and to participate in the defense thereof, but the fees and expenses of such counsel shall not be at the expense of the indemnifying party unless (i) the employment of such counsel has been specifically authorized by the indemnifying party or (ii) the named parties to any such action (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential differing interest between them. The indemnifying party shall not be liable to indemnify any person for any settlement of any such action effected without the indemnifying party's consent. ARTICLE IX DURATION, TERMINATION AND REPAYMENTS TO EMPLOYER 9.1 Revocation and Termination. The Trust shall not terminate until the date on which Participants are no longer entitled to benefits pursuant to the terms of the Plan, unless sooner revoked in accordance with Section 1.2 hereof. Upon termination of the Trust any assets remaining in the Trust shall be returned to Employer. In the event the Trust is terminated following the distribution of all payments and benefits called for herein, from the date of such termination of the Trust and until the final distribution of the remaining Trust assets, if any, Section 415(m).Trust 18 3/8/06 0241 N. the Trustee shall continue to have all the powers provided under this Trust Agreement that are necessary or desirable for the orderly liquidation and distribution of the Trust. 9.2 Duration. This Trust shall continue in full force and effect for the maximum period of time permitted by law and in any event until the expiration of twenty- one years after the death of the last surviving person who was living at the time of execution hereof who at any time becomes a Participant in the Plan, unless this Trust is sooner terminated in accordance with this Trust Agreement. ARTICLE X MISCELLANEOUS 10.1 Emergencies and Delegation. (a) In case of an emergency, the Trustee may act in the absence of directions from any other person having the power and duty to direct the Trustee with respect to the matter involved and shall incur no liability in so acting. (b) By written notice to the Trustee, the Employer may authorize the Trustee to act on matters in the ordinary course of the business of the Trust or on specific matters upon the signature of its delegate. 10.2 Expenses and Taxes. (a) The Employer, or at its option, the Trust, shall quarterly pay the Trustee its expenses in administering the Trust and reasonable compensation for its services as Trustee at a rate to be agreed upon by the parties to this Trust Agreement, based upon Trustee's published fee schedule. However, the Trustee reserves the right to alter this rate of compensation at any time by providing the Employer with notice of such change at least thirty (30) days prior to its effective date. Reasonable compensation shall include compensation for any extraordinary services or computations required, such as determination of valuation of assets when current market values are not published and interest on funds to cover overdrafts. The Trustee shall have a lien on the Trust for compensation and for any reasonable expenses including counsel, appraisal, or accounting fees, and these shall be withdrawn from the Trust and may be reimbursed by the Employer. (b) Reasonable counsel fees, reasonable costs, expenses and charges of the Trustee incurred or made in the performance of its duties, expenses relating to investment of the Trust such as broker's Section 415(m).Trust 19 3/8/06 0242 commissions, stamp taxes, and similar items and all taxes of any and all kinds that may be levied or assessed under existing or future laws upon or in respect to the Trust or the income thereof, and the Trustee's charges for issuing distribution checks to Participants or their representatives shall be paid from, and shall constitute a charge upon the Trust. (c) In the event any Participant is determined to be subject to federal income tax on any amount under this Trust Agreement prior to the time of payment hereunder, the entire amount determined to be so taxable shall, at the Employer's direction, be distributed by the Trustee to such Participant from the Trust. For the above purposes, a Participant shall be determined to be subject to federal income tax with respect to the Trust upon the earlier of: (a) a final determination by the United States Internal Revenue Service ("IRS") addressed to the Participant which is not appealed to the courts; (b) an opinion of legal counsel designated in writing by the Employer, addressed to the Employer and the Trustee, that, by reason of Treasury Regulations, amendments to the Code, published IRS rulings, court decisions or other substantial precedent, amounts hereunder subject the Participant to federal income tax prior to payment. The Employer shall undertake at its discretion and at its sole expense to defend any tax claims described herein which are asserted by the IRS against any Participant, including attorney fees and costs of appeal, and shall have the sole authority to determine whether or not to appeal any determination made by the IRS or by a lower court. The Employer also agrees to reimburse any Participant under this Section for any interest or penalties in respect of tax claims hereunder upon receipt of documentation thereof. 10.3 Third Parties. (a) No person dealing with the Trustee shall be required to follow the application of purchase money paid or money loaned to the Trustee nor inquire as to whether the Trustee has complied with the requirements hereof. (b) In any judicial or administrative proceedings, only the Employer and the Trustee shall be necessary parties and no Participant or other person having or claiming any interest in the Trust shall be entitled to any notice or service of process (except as required by law). Any judgment, decision or award entered in any such proceeding or action shall be conclusive upon all interested persons. 10.4 Adoption by Affiliated Employer. Any affiliate of the Employer (an "Affiliated Employer") may adopt one or more of the Employer's Plans with the approval of the Employer, and the Affiliated Employer shall concurrently become a Section 415(m).Trust 20 3/8106 02A3 party to this Trust Agreement by giving written notice of its adoption of the Plan and this Trust Agreement to the Trustee. Upon such written notice, the Affiliated Employer shall become a signatory to this Trust Agreement. 10.5 Binding Effect; Successor Employer. This Trust Agreement shall be binding upon and inure to the benefit of any successor to the Employer or its business as the result of merger, consolidation, reorganization, transfer of assets or otherwise and any subsequent successor thereto. In the event of any such merger, consolidation, reorganization, transfer of assets or other similar transaction, the successor to the Employer or its business or any subsequent successor thereto shall promptly notify the Trustee in writing of its successorship and shall promptly supply information required by the Trustee. 10.6 Relation to Plan. All words and phrases used herein shall have the same meaning as in the Plan, and this Trust Agreement and the Plan shall be read and construed together. In the event of any conflict between the terms of the Plan and this Trust Agreement with respect to the rights and duties of the Trustee, this Trust Agreement shall control. Whenever in the Plan it is provided that the Trustee shall act as therein prescribed, the Trustee shall be and is hereby authorized and empowered to do so for all purposes as fully as though specifically so provided herein or so directed by the Employer. 10.7 Mediation and Arbitration of Disputes. If a dispute arises under this Trust Agreement between or among the Employer and Trustee or any Participant, except as provided in Sections 5.1(b) and 6.4, the parties agree first to try in good faith to settle the dispute by mediation under the Commercial Mediation Rules of the American Arbitration Association. Thereafter, any remaining unresolved controversy or claim arising out of or relating to this Agreement, or the performance or breach thereof, shall be decided by binding arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association and Title 9 of California Code of Civil Procedure Sections 1280 et seq. The sole arbitrator shall be a retired or former Judge associated with the American Arbitration Association. Judgement upon any award rendered by the arbitrator shall be final and may be entered in any court having jurisdiction. Each party shall bear its own costs, attorney's fees and its share of arbitration fees. The Alternate Dispute Resolution Agreement in this Agreement does not constitute a waiver of the parties' rights to a judicial forum in instances where arbitration would be void under applicable law, and does not preclude Bank from exercising its rights to interplead the funds of the Account at the cost of the Account. 10.8 Attorney Fees and Costs. If any action is brought by the Trustee or the Employer against the other in a court of law in order to compel arbitration pursuant to Section 10.7 above, the prevailing party in such proceeding to compel arbitration shall be entitled to recover from the other party reasonable attorneys' fees, court costs and necessary disbursements incurred in Section 415(m).Trust 21 3/8/06 02 n .q 4 connection with such proceeding, including but not limited to copying costs, filing fees, expert costs and fees and word processing fees. 10.9 Partial Invalidity. Any provision of this Trust Agreement prohibited by law shall be ineffective to the extent of any such prohibition, without invalidating the remaining provisions hereof. In the event of any such holding, the Employer and Trustee and, if applicable, Participants, will immediately amend this Trust Agreement as necessary to remedy any such defect. 10.10 Construction. This Trust Agreement shall be governed by and construed in accordance with the laws of California. 10.11 Notices. Any notice, report, demand or waiver required or permitted hereunder shall be in writing, shall be deemed received upon the date of delivery if given personally or, if given by mail, upon the receipt thereof, and shall be given personally or by prepaid registered or certified mail, return receipt requested, addressed to Employer and Trustee as listed below in Article XII; if to a Participant, to the last mailing address provided to the Trustee with respect to such individual, provided, however, that if any party or his or its successor shall have designated a different address by written notice to the other parties, then to the last address so designated. ARTICLE XI DISTRIBUTIONS IN THE EVENT OF INSOLVENCY OF EMPLOYER 11.1 Trustee and Employer Responsibility upon notice of Employer's Insolvency: (a) Insolvency. Trustee shall cease payment of benefits to Participants if the Employer is Insolvent. Employer shall be considered "Insolvent" for purposes of this Trust Agreement if (i) Employer is unable to pay its debts as they become due, or (ii) Employer is subject to a pending proceeding as a debtor under the United States Bankruptcy Code. (b) At all times during the continuance of this Trust, as provided in Section 1.4 hereof, the principal and income of the Trust shall be subject to claims of general creditors of Employer under federal and state law as set forth below. (1) The Governing Board and the Plan Administrator designated by the Employer shall have the duty to inform Trustee in writing of Employer's Insolvency. If a person claiming to be a creditor of Employer alleges in writing to Trustee that Employer has become Insolvent, Trustee shall determine whether Employer is Insolvent and, pending such determination, Trustee shall nr Section 415(m).Trust 22 3/8/06 •pre.- ®`'+ J discontinue payment of benefits to Participants. If Trustee is unable to obtain information sufficient to ascertain Insolvency, Trustee may seek instructions of a court of law or submit the matter for arbitration before the American Arbitration Association or interplead the Trust Assets at the expense of the Trust. (2) Unless Trustee has actual knowledge of Employer's Insolvency, or has received written notice from Employer or a person claiming to be a creditor alleging that Employer is Insolvent, Trustee shall have no duty to inquire whether Employer is Insolvent. Trustee may in all events rely on such evidence concerning Employer's solvency as may be furnished to Trustee and that provides Trustee with a reasonable basis for making a determination concerning Employer's solvency. (3) If at any time Trustee has determined that Employer is Insolvent, Trustee shall discontinue payments to Participants and shall hold the assets of the Trust for the benefit of Employer's general creditors. Nothing in this Trust Agreement shall in any way diminish any rights of Participants to pursue their rights as general creditors of Employer with respect to benefits due under the Plan or otherwise. (4) Trustee shall resume the payment of benefits to Participants in accordance with Section 4.2 of this Trust Agreement only after Trustee has determined that Employer is not Insolvent (or is no longer Insolvent). (c) Determination of Insolvency. Upon receipt of the aforesaid written notice of the Employer's Insolvency, the Trustee shall notify the Employer, and the Employer, within thirty (30) days of receipt of such notice, shall engage an arbitrator (the "Arbitrator") acceptable to Trustee, from the American Arbitration Association to determine the Employer's solvency or Insolvency. The Employer shall cooperate fully and assist the Arbitrator, as may be requested by the Arbitrator, in such determination and shall pay all costs relating to such determination. The Arbitrator shall notify the Employer and Trustee separately by registered mail of its findings. If the Arbitrator determines that the Employer is solvent or if once found Insolvent the Employer is no longer Insolvent, the Trustee shall resume holding the Trust assets for the benefit of the Participants and may make any distributions called for under this Trust Agreement, including any amounts which should have been distributed during the period when the Trustee suspended distributions in response to a notice of the Employer's Insolvency, including earnings (or losses) on such Section 415(m).Trust 23 3/8/06 0 46 suspended distributions. If the Arbitrator determines that the Employer is Insolvent or is unable to make a conclusive determination of the Employer's Insolvency, the Trustee shall continue to retain the assets of the Trust until the Employer's status of solvency or Insolvency is decided by a court of competent jurisdiction or it distributes all or a portion of the Trust assets to any duly appointed receiver, trustee in bankruptcy, custodian or to the Employer's general creditors, but only as such distribution is ordered by a court of competent jurisdiction. The Trustee shall have no liability for relying upon the determination of the Arbitrator as to the Employer's solvency or Insolvency. (d) If a court of competent jurisdiction orders distribution of only part of the Trust assets and does not specify the manner in which Trust assets are to be liquidated, the Trustee shall liquidate Trust assets as directed by the Employer. If the Employer fails to provide instructions as to the manner of liquidation within five (5) business days prior to the date the Trustee is required to comply with the court's order, the Trustee shall liquidate and shall have the authority to order any Investment Manager to liquidate the Trust assets in such manner as the Trustee shall determine in its sole and absolute discretion. The Trustee shall not be liable for any damages resulting from the Trustee's exercise in good faith of its power to liquidate assets as provided in this paragraph. (e) Provided that there are sufficient assets, if Trustee discontinues the payment of benefits from the Trust pursuant to subsection (b)(3) hereof and subsequently resumes such payments, the first payment following such discontinuance shall include the aggregate amount of all payments due to Participants under the terms of the Plan for the period of such discontinuance, less the aggregate amount of any payments made to Participants by Employer in lieu of the payments provided for hereunder during any such period of discontinuance of which Trustee has actual knowledge. Section 415(m).Trust 24 3/8/06 p24J Nothing in this Trust Agreement shall in any manner diminish any right of a Participant to pursue his or her rights as a general creditor of the Employer with regard to payments under the Trust or otherwise. ARTICLE XII EFFECTIVE DATE This Trust Agreement shall be effective upon the Trustee's receipt of assets to be held in trust hereunder, and is signed by the parties on the date(s) set forth below their names. UNION BANK, N.A. (Address) By: (typed or printed name) Date: By: (typed or printed name) Date: City of La Quinta "Employer', Sponsor of the Trustee City of La Quinta Excess Benefit Plan (Plan) 78-495 Calle Tampico (Address) La Quinta, CA 92253 By: Thomas Genovese, City Manager (typed or printed name) PUBLIC AGENCY RETIREMENT SERVICES In Title: Date: �2 4b ATTACHMENT 1 RESOLUTION NO. 2011 • 012 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, ADOPTING THE CITY OF LA QUINTA FISCALLY RESPONSIBLE REDUCTION PLAN (FRRP) WHEREAS, the City of La Quinta's multi -year Financial Plan currently identifies a structural budget deficit; and WHEREAS, the City Council finds it to be in the fiscal interest of the City of La Quints (the "City") and its employees to consider the provision of a Fiscally Responsible Reduction Plan ("FRRP") to eligible employees who wish to voluntarily exercise their option to separate from City service; and WHEREAS, under the FRRP, eligible employees are offered participation in a supplementary retirement plan; and WHEREAS, the City of La Quinta is a member of the Public Agency Retirement System ("PARS") Trust for the purpose of providing tax qualified retirement benefits; and WHEREAS, the PARS Trust has made available a supplementary retirement plan (the "PARS Supplementary Retirement Plan"), supplementing CaIPERS and qualifying under the relevant sections of the Internal Revenue Code and the California Government Code. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: 1. The City Council does hereby adopt the FRRP, including the PARS Supplementary Retirement Plan, as described in Exhibit A to this Resolution, effective o'i• IS 2011. 2. The FRRP must have sufficient plan participation to meet the City's fiscal, managerial and operational objectives. If the objectives are not reached, the City may withdraw the FRRP. If the City withdraws the FRRP as to some or all eligible employees, all resignations of employees from whom the offer was rescinded will be automatically revoked. If the City elects to go forward with the FRRP, the PARS Supplementary Retirement Plan shall be implemented, in which case such plan is intended to be a permanent as distinguished from a temporary program, but the City reserves, in its sole and absolute discretion, the right to determine which, if any, employees shall be eligible to participate in the Plan, and the date or dates of their eligibility. 0249 Resolution No. 2011-012 Fiscally Responsible Reduction Plan Adopted: February 16, 2011 Page 2 3. The City Council hereby appoints the City Manager or his designee as the City's Plan Administrator for the FRRP and the PARS Supplementary Retirement Plan, and the individual authorized to determine when and under what parameters the FRRP may be offered in the future, subject to City Council approval. 4. The City's Plan Administrator is hereby authorized to execute the PARS legal and administrative documents on behalf of the City to implement the PARS Supplementary Retirement Plan and to take whatever additional actions are necessary to maintain the City's participation in PARS. The. Plan Administrator is further authorized to take whatever additional actions are required to administer the PARS Supplementary Retirement Plan. In addition, if the City's Plan Administrator finds that the FRRP benefit must be limited under Section 415 of the Internal Revenue Code, then the Plan Administrator will implement replacement benefit programs at no additional cost to the City. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 151h day of February 2011, by the following vote: AYES: Council Member Evans, Franklin, Henderson, Sniff, Mayor Adolph NOES: None ABSENT: None ABSTAIN: None ATTEST: n VERONICA J .40 --City of La Quin.'t (CITY SEAL) j VTECINO, CMC, City Clerk California V%\, �r rr M DON ADOL H, MaVWr City of La Quinta, California 0`,50 Resolution No. 2011-012 Fiscally Responsible Reduction Plan Adopted: February 15, 2011 Page 3 APPROVED AS TO FORM: M. ATHERINE NSON, Ci ttorney City of La Quinta, Californi 2011 PARS Fiscally Responsible Reduction Plan EXHIBIT A City of La 4uinta General Employees & Directors Revised February 15, 2011_ver 8 With regard to the PARS Fiscally Responsible Reduction Plan for 2011, the City proposes the following: 1.0 Eligibility 1.1 Those Full-time General Employees who: a) are employed by the City as of February 15, 2011; b) are sixty (60) years of age as of December 31, 2011; c) have at least ten (10) years of public service as of June 30, 2011; if over 65, employee receives an additional'/2 year of service credit for purposes of eligibility; d) have at least five (5) years of City service as of June 30, 2011; e) Resign from City employment effective no later than June 30, 2011; and f) Retire under PERS effective no later than July 1, 2011. 1.2 Those Full-time Directors (excluding the City Manager) who: g) are employed by the City as of February 15, 2011; h) are fifty-five (55) years of age as of December 31, 2011; i) have at least ten (10) years of public service as of June 30, 2011; j) have at least five (5) years of City service as of June 30, 2011; k) Resign from City employment effective no later than June 30, 2011; and 1) Retire under PERS effective no later than July 1, 2011. 2.0 Participation Requirements 2.1 Participating employees shall submit all required PARS enrollment materials and City Letter of Resignation to PARS on or before the deadline date of April 1, 2011. Resignations of participants are irrevocable as of the enrollment deadline and may not be rescinded unless the City withdraws the incentive pursuant to Paragraph 2.2 below. Prepared by PARS (Public Agency Retirement Services) 2011 PARS Fiscally Responsible Reduction Plan EXHIBIT A City of La Quinta General Employees & Directors Revised February 15, 2011 ver a 2.2 If after the close of the enrollment window the City determines that the plan does not meet the City's fiscal and operational objectives, the City may withdraw the incentive, provided it notifies the employees of the withdrawal of the incentive on or before April 20, 2011. If the City withdraws the incentive for employees, Letters of Resignation will be automatically rescinded. 2.3 Participation in the retirement incentive requires: a. Submission of required PARS enrollment materials and City Letter of Resignation to PARS by April 1, 2011; b. Resignation from City employment effective no later than June 30, 2011; and c. Retirement from PERS on or before July 1, 2011. 3.0 Incentive Payments 3.1 Regarding the basic incentive under this plan: a) The basic, unmodified benefit shall be a monthly cash payment for the lifetime of the participant. b) The monthly cash payment amount shall equal one -twelfth of six percent (6.00%) of Final Pay. c) For purposes of this plan, Final Pay shall be defined as the employee's current base annual salary as of June 30, 2011 exclusive of any additional pays (i.e. longevity pay, differential pay, special duty pay, special assignment pay, educational incentive pay and CalPERS EPMC Contributions, if applicable). 3.2 Alternative monthly forms of payment of equivalent present value to the basic benefit shall be offered. They shall include: a) Joint -and -survivor payments; b) Payments made for the life of the participant, subject to a ten year minimum; and c) Fixed term payments of from five (5) to fifteen (15) years. These payments are guaranteed to the participant for the full term selected. 3.3 The amount of monthly payment shall be fixed as of April 1, 2011 and shall not be subject to increase thereafter. Prepared by PARS (Public Agency Retirement Services) 0253 2011 PARS Fiscally Responsible Reduction Plan EXHIBIT A City of La Quanta General Employees & Directors Revised February 15, 2011_ver 8 3.4 The choice of form of payment (and the choice of payment beneficiary if choosing a joint and survivor form of payment) shall become final as of April 1, 2011 and shall not be subject to change thereafter. 3.5 PARS benefits are to commence August 1, 2011 (retroactive to July 1, 2011). 4.0 Contract Administrator 4.1 The Contract Administrator for the FRRP shall be PARS. 4.2 In the event the plan is cancelled due to insufficient participation, the Employer shall pay PARS a one-time fee of $5,000. 4.3 The fee for PARS shall be 5.5% of plan contributions to the PARS Trust for services related to the FRRP. Prepared by PARS (Public Agency Retirement Services) 0254 2011 PARS Fiscally Responsible Reduction Plan EXHIBIT A City of La Quinta General Employees & Directors Revised February 15, 2011_ver 8 Projected Timeline: 1. City Council approval of PARS FRRP 2. Enrollment Packets Distributed at Orientation 3. Employee Orientation Meeting 4. Employee Enrollment Workshop 5. Enrollment Window Closes/City receives list 6. City provides any replacement/reclassification info 7. City receives Post -Analysis from PARS 8. Plan Administrator announces approval/rescission 9. City funds FRRP 10. Employees Resign from City employment 11. Employee Retire under PERS 12. PARS Benefits Commence Prepared by PARS (Public Agency Retirement Services) February 15, 2011 February 16, 2011 February 16, 2011 March 31, 2011 April 1, 2011 no later than April 5, 2011 no later than April 8, 2011 no later than April 20, 2011 on or before July 10, 2011 on or before June 30, 2011 no later than July 1, 2011 August 1, 2011 (retro to July 1) 0255 ATTACHMENT 2 CITY OF LA QUINTA EXCESS BENEFIT PLAN EFFECTIVE FEBRUARY 15, 2011 DEFINED BENEFIT PLAN 0?-56 TABLE OF CONTENTS ARTICLEI PURPOSE....................................................................................................... 1 ARTICLE II PARTICIPATION......................................................................................... I ARTICLE III BENEFITS; VESTING 3.1 Amount of Benefit........................................................................................... 1 3.2 Payment of Benefit.......................................................................................... 1 3.3 Vesting.............................................................................................................2 3.4 Actuarial Equvalence.......................................................................................2 ARTICLE IV ADMINISTRATION AND AMENDMENT OF THE PLAN ................... 2 4.1 Rules and Regulations...................................................................................... 2 4.2 Non -Alienation of Benefits.............................................................................. 2 4.3 Funding............................................................................................................3 4.4 Taxes................................................................................................................3 4.5 Amendment and Termination.......................................................................... 3 4.6 Compliance with Laws.................................................................................... 3 ARTICLE V DEFINITIONS............................................................................................... 4 0257 ARTICLE I PURPOSE The purpose of this Plan is to supplement the benefits of certain Employees under the City of La Quinta Fiscally Responsible Retirement Plan (the "Supplemental Retirement Plan") to the extent that such benefits are reduced by the limitations on benefits imposed by Section 415 of the Internal Revenue Code of 1986, as amended (the "Code"). ARTICLE II PARTICIPATION Those Employees who are participants in the Supplemental Retirement Plan and whose benefits at the time of payment are reduced by the limitation on benefits imposed by Section 415 of the Code shall be Participants hereunder. ARTICLE III BENEFITS; VESTING 3.1 Amount of Benefit. The value of the benefits which each Participant shall be entitled to receive under this Plan shall be equal to the Actuarial Equivalent of the difference between the actual benefits of such Participant under the Supplemental Retirement Plan and the Actuarial Equivalent of the benefits that would have beenpayable to the Participant under such plan except for the limitations on benefits imposed by Section 415 of the Code. 3.2 Payment of Benefit. The benefits payable under this Plan shall be payable to the Participant or to any other person who is receiving or entitled to receive benefits with respect to the Participant (the "Distributee") under the Supplemental Retirement Plan. The benefits will be paid in the same form, at the same times and for the same period as benefits are paid with respect to the Distributee under the Supplemental Retirement Plan. Notwithstanding the foregoing, in the event that the present value of the Actuarial Equivalent of the benefit to be paid under this Plan (as determined by the Employer upon the advice of the actuary for PARS) at the commencement 0258 of payment is $5,000 or less, the Employer may, in its discretion, elect to pay the benefit in a single lump sum. 3.3 Vesting. A Participant will be fully vested in his Retirement Benefit upon meeting the requirements of Article II. 3.4 Actuarial Equivalence. For the purpose of establishing Actuarial Equivalence, the mortality assumption shall be 1983 GAM and the interest assumption shall be 6% per annum. ARTICLE IV ADMINISTRATION AND AMENDMENT OF THE PLAN 4.1 Rules and Regulations. The Employer has full discretionary authority to supervise and control the operation of this Plan in accordance with its terms and may make rules and regulations for the administration of this Plan that are not inconsistent with the terms and provisions hereof. The Employer shall determine any questions arising in connection with the interpretation, application or administration of the Plan (including any question of fact relating to age, employment, compensation or eligibility of employees) and its decisions or actions in respect thereof shall be conclusive and binding upon any and all persons and parties. 4.2 Non -Alienation of Benefits. Except as otherwise provided in the Plan, no right or benefit under the Plan shall be subject to anticipation, alienation, sale, assignment, pledge, encumbrance or charge, and any attempt to anticipate, alienate, sell, assign, pledge, encumber or charge such right or benefit shall be void. No such right or benefit shall in any manner be liable for or subject to the debts, liabilities or torts of a Participant or other benefit recipient. In addition, no right of a Participant or other benefit recipient under the Plan is transferable by inter vivos gift or testamentary disposition. 2 0259 4.3 Fundin¢. The Plan shall be unfunded, and benefits under the Plan shall be paid from the general or retirement fund of the Employer through an Excess Benefit Plan Fund hereby established for payment of administration expense and benefit payments, subject to the claims of the Employer's general creditors. No person other than the Employer shall by virtue of the provisions of the Plan have any interest in such amounts. Title to and beneficial ownership of any assets, whether cash or other investments which the Employer may earmark to pay any amount under the Plan, shall at all times remain with the Employer, and Participants and any other persons entitled to benefits hereunder shall not have any property interest whatsoever in any specific assets of the Employer. The obligation of the Employer to make payments pursuant to the Plan is contractual only. No Participant or other person entitled to benefits hereunder shall have a preferred claim or lien on any assets of the Employer. 4.4 Taxes. The Plan Administrator shall make appropriate arrangements to deduct from all amounts paid under the Plan any taxes required to be withheld with respect to the Plan by any government or governmental agency. 4.5 Amendment and Termination. The Employer shall have the right to amend the Plan (other than this section) or terminate the Plan at any time. If the Plan is terminated, the actuarial equivalent present value of any remaining benefits payable to a Participant or other person shall be paid in a lump sum 30 days after the termination of the Plan. 4.6 Compliance with Laws. It is the intention that this Plan be a "qualified governmental excess benefit arrangement" within the meaning of Section 415(m) of the Code, and may at any time be amended to comply with the Code requirements to maintain such qualification and status. 3 0260 ARTICLE V DEFINITIONS Whenever the following terms are used in the Plan, with the first letter capitalized, they shall have the meanings first specified below. "Code" shall mean the Internal Revenue Code of 1986, as amended. "Employer" shall mean the City of La Quinta that has adopted this Plan. "Employee" shall mean an employee of the Employer. "Normal Retirement Age" shall mean sixty-two (62) years of age. "Participant" shall mean those Employees eligible for participation in the Plan. "Plan" shall mean this City of La Quinta Excess Benefit Plan, as amended. "Retirement Benefits" shall mean the benefits payable to the Participant following retirement, as described in Article III. "Supplemental Retirement Plan" shall mean the City of La Quinta Fiscally Responsible Retirement Plan, effective February 15, 2011, as amended. 4 p? 61 CITY OF LA QUINTA EXCESS BENEFIT PLAN The City of La Quinta Excess Benefit Plan is hereby adopted effective February 15, 2011. 0 Thomas Genovese Title: City Manager ATTACHMENT 3 CITY OF LA QUINTA EXCESS BENEFIT TRUST AGREEMENT Section 415(m).Trust i 3/8106 Q 2- 6 3 TABLE OF CONTENTS ARTICLE I ESTABLISHMENT AND GENERAL OPERATION OF TRUST Establishment of Trust ....................................... Revocability....................................................... Grantor Trust ..................................................... Trust Contributions ............................................ Payments to Employer ...................................... Signing Authority, Administrator ........................ Acceptance of Assets; Trust Composition ......... Trust Contributions ............................................ No Duty of Trustee to Enforce Collection .......... Plan Administration Pape .................... ....... ............. 2 .........................................2 .........................................2 ....................................................... Participant Accounts ..................................................... Tax Reporting............................................................... Trust Administrator....................................................... INVESTMENTS 2.1 Employer Directs Investments....................................................................4 2.2 Appointment of Trustee (or Other Individual or Entity) as Investment Manager...................................................................................................4 2.3 Funding Policy and Investment Guidelines.................................................4 2.4 Disposition of Income.................................................................................5 ARTICLE III TRUSTEE'S POWERS 3.1 General Trustee's Powers..........................................................................5 3.2 Additional Powers.......................................................................................7 3.3 Delegatee...................................................................................................9 3.4 Directions to Trustee..................................................................................9 3.5 Trust Administrator ................................................ ................................... 10 3.6 Additional Trust Administrator Services....................................................11 3.7 Trust Administrator's Compensation.........................................................11 3.8 Resignation or Removal of Trust Administrator.. ...................................... 11 ARTICLE IV TRUSTEE AND EMPLOYER DUTIES 4.1 Legal Duties.............................................................................................11 4.2 Payments to Participants.... .......................... . ................. .. ......... . ....... 11 Section 415(m).Trust ii 3/8/06 0?64 4.3 Accounts and Records.............................................................................12 4.4 Reports.................................................................................................13 4.5 Follow Employer Direction.........................................................................13 4.6 Information to be Provided to Trustee......................................................13 ARTICLE V RESTRICTIONS ON TRANSFER 5.1 Persons to Receive Payment...................................................................14 5.2 Assignment and Alienation Prohibited......................................................14 ARTICLE VI RESIGNATION, REMOVAL AND SUCCESSION 6.1 Resignation or Removal of Trustee..........................................................15 6.2 Designation of Successor.........................................................................15 6.3, Upon Resignation.....................................................................................15 6.4 Court Appointment of Successor..............................................................15 6.5 Successor's Powers.................................................................................15 6.6 Successor's Duties...................................................................................16 ARTICLE VII AMENDMENT 7.1 Power to Amend.......................................................................................16 ARTICLE VIII LIABILITIES 8.1 Declaration of Intent.................................................................................16 8.2 Liability of the Trustee..............................................................................16 8.3 Indemnification.........................................................................................17 ARTICLE IX DURATION, TERMINATION AND REPAYMENTS TO EMPLOYER 9.1 Revocation and Termination.....................................................................18 9.2 Duration.................................................................................................19 ARTICLE X MISCELLANEOUS 10.1 Emergencies and Delegation...................................................................19 10.2 Expenses and Taxes................................................................................19 10.3 Third Parties.............................................................................................20 10.4 Adoption by Affiliate Employer..................................................................20 10.5 Binding Effect; Successor Employer.........................................................21 10.6 Relation to Plan........................................................................................21 10.7 Arbitration of Disputes..............................................................................21 10.8 Attorney Fees and Costs..........................................................................21 10.9 Partial Invalidity........................................................................................22 10.10 Construction.............................................................................................22 Section415(m).Trust iii 3/8/06 0�65 10.11 Notices.............................................................. ................................... 22 ARTICLE XI DISTRIBUTIONS IN THE EVENT OF INSOLVENCY OF EMPLOYER 11.1 Trustee Responsibility..............................................................................22 ARTICLE XII EFFECTIVE DATE 12.1 Effective Date...........................................................................................25 Addresses of Parties for Notice................................................................25 Section 415(m).Trust iv 3i8i06 0266 TRUST UNDER THE CITY OF LA QUINTA EXCESS BENEFIT PLAN This Trust Agreement (the "Trust Agreement" or "Trust") is made by and between the City of La Quinta (the "Employer"), Public Agency Retirement Services ("PARS" and/or "Trust Administrator") and UNION BANK, N.A., a national banking association (the "Trustee"), and shall be effective upon the Trustee's receipt of assets to be held in trust hereunder. "1 1*61Y4 (a) WHEREAS, the Employer has adopted the plan or plans attached as Exhibit A or which subsequently may be designated in writing by the Employer (the "Plan") pursuant to which the Employer expects to incur unfunded liabilities with respect to certain employees of the Employer. (b) WHEREAS, Employer wishes to establish a trust (hereinafter called "Trust") and to contribute to the Trust assets that shall be held therein, subject to the claims of Employer's creditors in the event of Employer's Insolvency, as herein defined, until paid to Plan participants in such manner and at such times as specified in the Plan; (c) WHEREAS, it is the intention of the parties that this Trust shall constitute an unfunded arrangement and shall not affect the status of the Plan as an unfunded plan maintained for the purpose of providing deferred compensation for a select group of employees; (d) WHEREAS, it is the intention of Employer to make contributions to the Trust to provide itself with a source of funds to assist it in the meeting of its liabilities under the Plan; NOW, THEREFORE, the parties do hereby establish the Trust and agree that the Trust shall be comprised, held and disposed of as follows: Section 415(m).Trust 1 3/8/06 Q? 6 1 ARTICLE I ESTABLISHMENT OF TRUST 1.1 Establishment of Trust. The Employer hereby deposits with Trustee in Trust a sum of money which shall become the principal of the Trust to be held, administered and disposed of by Trustee as provided in the Trust Agreement. 71TL0Z9_1:11Rtr1 1.2 Revocability. The Trust hereby established shall be revocable by Employer. 1.3 Grantor Trust. The Trust is intended to be a grantor trust, of which Employer is the grantor, within the meaning of Subpart E, Part I, Subchapter J, Chapter 1, Subtitle A of the Internal Revenue Code of 1986, as amended, and shall be construed accordingly. 1.4 Trust Assets. The principal of the Trust, and any earnings thereon shall be held separate and apart from other funds of Employer and shall be used exclusively for the uses and purposes of Participants and Employer's general creditors as herein set forth. Plan participants and beneficiaries of deceased participants (hereinafter called "Participants") shall have no preferred claim on, or any beneficial ownership interest in, any assets of the Trust. Any rights created under the Plan and this Trust Agreement shall be mere unsecured contractual rights of Participants against Employer. Any assets held by the Trust will be subject to the claims of Employer's general creditors under federal and state law in the event of Insolvency, as defined in Article XI herein. 1.5 Payments to Employer. The Employer shall maintain the right and power to direct Trustee to return to Employer or to divert to others any of the Trust assets before all payment(s) of benefits have been made to Participants pursuant to the terms of the Plan. 1.6 Signing Authority: Administrator. The Employer shall certify in writing to the Trustee the names and specimen signatures of all those who are authorized to act as or on behalf of the Employer, and those names and specimen signatures shall be updated as necessary by a duly authorized official of the Employer. The Employer shall promptly notify the Trustee if any person so designated is no longer authorized to act on behalf of the Employer. Until the Trustee receives written notice that a person is no longer authorized to act on behalf of the Employer, the Trustee may continue to rely on the Employer's designation of such person. Section 415(m).Trust 2 3/8/06 o26a 1.7 Acceptance of Assets; Trust Composition. All contributions or transfers shall be received by the Trustee in cash or in any other property acceptable to the Trustee. The Trust shall consist of the contributions and transfers received by the Trustee, together with the income and earnings from them and any increments to them. The Trustee shall hold, manage and administer the Trust in accordance with this Trust Agreement without distinction between principal and income. 1.8 Trust Contributions. Employer, in its sole discretion, may at any time, or from time to time, make additional deposits of cash or other property in trust with Trustee to augment the principal to be held, administered and disposed of by Trustee as provided in this Trust Agreement. Neither Trustee nor any Participant shall have any right to compel such additional deposits. 1.9 No Duty of Trustee to Enforce Collection. Notwithstanding anything herein to the contrary, Trustee shall have no authority or obligation to enforce the collection of any contribution or transfer to the Trust. 1.10 Plan Administration. The Employer and not the Trustee shall be responsible for administering the Plan (including without limitation determining the rights of the Employer's employees to participate in the Plan, determining any Participant's right to benefits under such Plan), and issuing statements to Participants of their interest in the trust and Plan. The Employer may delegate such responsibilities to a record keeper. 1.11 Participant Accounts. If required, the Employer shall maintain in an equitable manner a separate account for each Participant under the Plan ("Account") in which it shall keep a record of the share of such Participant under such Plan in the Trust. The Employer may appoint a record keeper to maintain such Accounts. A Participant's Account under the Plan shall represent the portion of the Trust allocated to provide such Participant benefits under such Plan. If the Trustee is directed by the Employer to segregate the Trust into separate Accounts for each Participant, at the time. it makes a contribution to the Trust, the Employer shall certify to the Trustee the amount of such contribution being made in respect of each Participant under each Plan. The Trustee may rely on information provided to the Trustee by the Employer and the Trustee's and Employer's determination of Account values shall be conclusive and binding on all interested parties. 1.12 Tax Reporting. The Trustee shall be responsible for individual tax reporting and withholding as directed by the Employer. The Employer agrees to indemnify and defend the Trustee against any liability for the payment of such taxes, interest or penalties resulting from or related to the Trust. Section 415(m).Trust 3 3/8106 026E 1.13 Trust Administrator. The Trust Administrator shall be Public Agency Retirement Services. ARTICLE II INVESTMENTS 2.1 Employer Directs Investments. Except as provided in Section 2.2 below, the Employer shall have all power over, and responsibility for, the management, disposition and investment of the Trust assets, and the Trustee shall comply with proper written directions of the Employer concerning those assets. The Employer shall not issue directions in violation of the terms of the Plan and Trust or prohibited by the laws and Constitution of the State of California and applicable federal laws and regulations. Except to any extent required by the laws and Constitution of the State of California and applicable federal laws and regulations, or otherwise provided in this Trust Agreement, the Trustee shall have no duty or responsibility to review, initiate action, or make recommendations regarding Trust assets and shall retain all such assets until directed in writing by the Employer to dispose of them. 2.2 Appointment of Trustee (or Other Individual or Entity) as Investment Manager. The Employer may appoint the Trustee or other appropriately regulated individual or entity as Investment Manager, thereby delegating to the Trustee or other individual or entity the full power, authority and duty to direct the investment and management of all or any portion of the assets of the Trust as specified by the Employer and to the extent provided in Article III, subject to the investment guidelines established by the Employer as provided below. The Employer represents and warrants that any appointment made pursuant to this Section 2.2 complies with the laws and Constitution of the State of California and applicable federal laws and regulations. No appointment and delegation made pursuant to this Section 2.2 shall be effective unless made in writing and signed by both the Trustee and the Employer. 2.3 Funding Policy and Investment Guidelines. The Employer shall have the responsibility for establishing and carrying out a funding policy and method, consistent with the objectives of the Plan and, subject to the laws and Constitution of the State of California and applicable federal laws and regulations, taking into consideration the Plan's short-term and long-term financial needs. To the extent that the Trustee is appointed Investment Manager of all or a portion of the assets of the Trust in accordance with Section 2.2 above, the Trustee's responsibility for investment and diversification of such portion of the assets shall be subject to, and is limited by, the investment guidelines issued to it by the Employer in writing. It is understood that, unless otherwise agreed in writing, the Employer, rather than the Trustee, shall be responsible for the overall diversification of Trust assets. Section 415(m).Trust 4 3/8/06 02-10 2.4 Disposition of Income. During the term of this Trust, all income received by the Trust, net of expenses and taxes, shall be accumulated and reinvested. ARTICLE III TRUSTEE'S POWERS 3.1 General Trustee's Powers. Trustee shall have, without exclusion, all powers conferred on Trustees by applicable law, unless expressly provided otherwise herein, provided, however, that if an insurance policy is held as an asset of the Trust, Trustee shall have no power to name a beneficiary of the policy other than the Trust, to assign the policy (as distinct from conversion of the policy to a different form) other than to a successor Trustee, or to loan to any person the proceeds of any borrowing against such policy. (a) To invest and reinvest the Trust or any part thereof in any one or more kind, type, class, item or parcel of property, real, personal or mixed, tangible or intangible; or in any one or more kind, type, class, item or issue of investment or security; or in any one or more kind, type class or item of obligation, secured or unsecured; or in any combination of them; (b) To acquire, sell and exercise options to buy securities ("call" options) and to acquire, sell and exercise options to sell securities ("put" options); (c) To buy, sell, assign, transfer, acquire, loan, lease (for any purpose, including beyond the life of this Trust), exchange and in any other manner to acquire, manage, deal with and dispose of all or any part of the Trust property, for cash or credit; (d) To make deposits with any bank or savings and loan institution, including any such facility of the Trustee or an affiliate thereof, provided that the deposit bears a reasonable rate of interest; (e) To retain all or any portion of the Trust in cash temporarily awaiting investment or for the purpose of making distributions or other payments, without liability for interest thereon, notwithstanding the Trustee's receipt of float; (f) To borrow money for the purposes of the Trust from any source other than a party in interest of the Plan, with or without giving security; to pay interest; to issue promissory notes and to secure the repayment thereof by pledging all or any part of the Trust assets; Section 415(m).Trust 5 3/8/06 Q21- y 1 (g) To take all of the following actions: to vote proxies of any stocks, bonds or other securities; to give general or special proxies or powers of attorney with or without power of substitution; to exercise any conversion privileges, subscription rights or other options, and to make any payments incidental thereto; to consent to or otherwise participate in corporate reorganizations or other changes affecting corporate securities and to delegate discretionary powers and to pay any assessments or charges in connection therewith; and generally to exercise any of the powers of an owner with respect to stocks, bonds, securities or other property held in the Trust; (h) To make, execute, acknowledge and deliver any and all documents of transfer and conveyance and any and all other instruments that may be necessary or appropriate to carry out the powers herein granted; (i) To pay or cause to be paid from the Trust any and all real or personal property taxes, income taxes or other taxes or assessments of any or all kinds levied or assessed upon or with respect to the Trust or the Plan; Q) Subject to the limitations of 3.1, to hold term or ordinary life insurance contracts or to acquire annuity contracts on the lives of Participants (but in the case of conflict between any such contract and a Plan, the terms of the Plan shall prevail); to pay from the Trust the premiums on such contracts; to distribute, surrender or otherwise dispose of such contracts; to pay the proceeds, if any, of such contracts to the proper persons in the event of the death of the insured Participant; to enter into, modify, renew and terminate annuity contracts of deposit administration, of immediate participation or other group or individual type with one or more insurance companies and to pay or deposit all or any part of the Trust thereunder; to provide in any such contract for the investment of all or any part of funds so deposited with the insurance company in securities under separate accounts; to exercise and claim all rights and benefits granted to the contract holder by any such contracts. All payments and exercise of all powers with respect to insurance contracts shall be solely on the direction of Employer; (k) To exercise all the further rights, powers, options and privileges granted, provided for, or vested in trustees generally under applicable federal or state laws, as amended from time to time, it being intended that, except as otherwise provided in this Trust, the powers conferred upon the Trustee herein shall not be construed as being in limitation of any authority conferred by law, but shall be construed as in addition thereto. Section 415(m).Trust 6 3/8/06 O L -I 2 (1) Notwithstanding any powers granted to Trustee pursuant to this Trust Agreement or to applicable law, Trustee shall not have any power that could give this Trust the objective of carrying on a business and dividing the gains therefrom, within the meaning of section 301.7701-2 of the Procedure and Administrative Regulations promulgated pursuant to the Internal Revenue Code. 3.2 Additional Powers. In addition to the other powers enumerated above, the Trustee is authorized and empowered: (a) To invest funds in any type of interest -bearing account including, without limitation, time certificates of deposit or interest -bearing accounts issued by UNION BANK, N.A. To use other services or facilities provided by the UnionBanCal Corporation (UNBC), its subsidiaries or affiliates including Union Bank, N.A. (Bank), to the extent allowed by applicable law and regulation. Such services may include but are not limited to (1) the placing of orders for the purchase, exchange, investment or reinvestment of securities through any brokerage service conducted by, and (2) the purchase of units of any registered investment company managed or advised by Bank, UNBC, or their subsidiaries or affiliates and/or for which Bank, UNBC or their subsidiaries or affiliates act as custodian or provide other services for a fee, including, without limitation, the HighMark Group of mutual funds. The parties hereby acknowledge that the Bank may receive fees for such services in addition to the fees payable under this Agreement. Fee schedules for additional services shall be delivered to the appropriate party in advance of the provision of such services. Independent fiduciary approval of compensation being paid to the Bank will be sought in advance to the extent required under applicable law and regulation. If Union Bank, N.A. does not have investment discretion, the services referred to above, as well as any additional services, shall be utilized only upon the appropriate direction of an authorized party. ' (b) To cause all or any part of the Trust to be held in the name of the Trustee (which in such instance need not disclose its fiduciary capacity) or, as permitted by law, in the name of any nominee, including the nominee name of any depository, and to acquire for the Trust any investment in bearer form; but the books and records of the Trust shall at all times show that all such investments are a part of the Trust and the Trustee shall hold evidences of title to all such investments as are available; Section 415(m).Trust 7 3/8/06 0273 (c) To serve as custodian with respect to the Trust assets, to hold assets or to hold eligible assets at the Depository Trust Company or other depository; (d) To employ such agents and counsel as may be reasonably necessary in administration and protection of the Trust assets and to pay them reasonable compensation; to employ any broker -dealer covered in the self -dealing section, and pay to such broker -dealer its standard commissions; to settle, compromise or abandon all claims and demands in favor of or against the Trust; and to charge any premium on bonds purchased at par value to the principal of the Trust without amortization from the Trust, regardless of any law relating thereto; (e) To abandon, compromise, contest, arbitrate or settle claims or demands; to prosecute, compromise and defend lawsuits, but without obligation to do so, all at the risk and expense of the Trust; (f) To permit such inspections of documents at the principal office of the Trustee as are required by law, subpoena or demand by United States or state agency during normal business hours of the Trustee; (g) To comply with all requirements imposed by law; (h) To seek written instructions from the Employer on any matter and await written instructions without incurring any liability. If at any time the Employer should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion it deems advisable under the circumstances for carrying out the purposes of this Trust. Such actions shall be conclusive on the Employer and the Participants on any matter if written notice of the proposed action is given to Employer five (5) days prior to the action being taken, and the Trustee receives no response; (i) To compensate such executive, consultant, record keeper, actuarial, accounting, investment, appraisal, administrative, clerical, secretarial, custodial, depository and legal firms, personnel and other employees or assistants as are engaged by the Employer in connection with the administration of the Plan and to pay from the Trust the necessary expenses of such firms, personnel and assistants, to the extent not paid by the Employer; Q) To impose a reasonable charge to cover the cost of furnishing to Participants statements or documents; (k) To act upon proper written directions of the Employer or any Participant including directions given by photostatic teletransmission Section 415(m).Trust 8 3/8/06 0274 using facsimile signature. If oral instructions are given, to act upon those in Trustee's discretion prior to receipt of written instructions. Trustee's recording or lack of recording of any such oral instructions taken in Trustee's ordinary course of business shall constitute conclusive proof of Trustee's receipt or non -receipt of the oral instructions; (1) To pay from the Trust the expenses reasonably incurred in the administration of the Trust; (m) To maintain insurance for such purposes, in such amounts and with such companies as the Employer shall elect, including insurance to cover liability or losses occurring by reason of the acts or omissions of fiduciaries (but only if such insurance permits recourse by the insurer against the fiduciary in the case of a breach of a fiduciary obligation by such fiduciary); (n) As directed by the Employer, to cause the benefits provided under the Plan to be paid directly to the persons entitled thereto under the Plan, and in the amounts and at the times and in the manner specified by the Plan, and to charge such payments against the Trust and Accounts with respect to which such benefits are payable; (o) To exercise and perform any and all of the other powers and duties specified in this Trust Agreement or the Plan; and in addition to the powers listed herein, to do all other acts necessary or desirable for the proper administration of the Trust, as though the absolute owner thereof. 3.3 Delegatee. The Employer may delegate certain authority, powers and duties to an entity to act in those matters specified in the delegation ("Delegatee"). Any such delegation must be in a writing that names and identifies the Delegatee, states the effective date of the delegation, specifies the authority and duties delegated, is executed by the Employer and is acknowledged in writing by the Delegatee, the Trust Administrator (if not the Delegatee) and the Trustee. Such delegation shall be effective until the Trustee and the Trust Administrator are directed in writing by the Employer that the delegation has been rescinded or modified. 3.4 Directions to Trustee. Except as otherwise provided in this Trust Agreement, all directions to the Trustee from the Employer or Delegatee must be in writing and must be signed by the Employer or Delegatee, as the case may be. For all purposes of this Trust Agreement, direction shall include any certification, notice, authorization, application or instruction of the Employer, Delegatee or Trustee appropriately communicated. The above Section 415(m).Trust 9 3/8/06 0 75 notwithstanding direction may be implied if the Employer or Delegatee has knowledge of the Trustee's intentions and fails to file written objection. The Trustee shall have the power and duty to comply promptly with all proper direction of the Employer, or Delegatee, appointed in accordance with the provisions of this Trust Agreement. In the case of any direction deemed by the Trustee to be unclear or ambiguous the Trustee may seek written instructions from the Employer, the Agency or the Delegatee on such matter and await their written instructions without incurring any liability. If at any time the Employer or the Delegatee should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of the Trust Program and/or any Agency Trust which may include not taking any action. The Trustee may request directions or clarification of directions received and may delay acting until clarification is received. In the absence of timely direction or clarification, or if the Trustee considers any direction to be a violation of the Trust Agreement or any applicable law, the Trustee shall in its sole discretion take appropriate action, or refuse to act upon a direction. 3.5 Trust Administrator. The Employer has appointed PARS as the Trust Administrator. The Trust Administrator has accepted its appointment subject to the Employer's delegation of authority, to act as such, pursuant to Section 3.3 of this Trust Agreement. The Trust Administrator's duties involve the performance of the following services pursuant to the provisions of this trust agreement and the Agreement for Administrative Services: (a) Performing periodic accounting of the Agency Trust; (b) Directing the Trustee to make distributions from the Agency Trust to Participants pursuant to the provisions of the Plan and liquidate assets in order to make such distributions; (c) Notifying the Investment Fiduciary of the amount of Assets in the Agency Trust available for further investment and management by the Investment Fiduciary; (d) Allocating contributions, earnings and expenses to each Agency Trust; (e) Directing the Trustee to pay insurance premiums, to pay the fees of the Trust Administrator and to do such other acts as shall be appropriate to carry out the intent of the Agency Trusts. (f) Such other services as the Employer and the Trust Administrator may agree. 0276 Section 415(m).Trust 10 3/8/06 3.6 Additional Trust Administrator Services. The Employer may at any time retain the Trust Administrator as its agent to perform any act, keep any records or accounts and make any computations which are required of the Employer by this Trust Agreement or by the Plan. The Trust Administrator shall be separately compensated for such service and such services shall not be deemed to be contrary to the Trust Agreement. 3.7 Trust Administrator's Compensation. As may be agreed upon from time to time by the Employer and Trust Administrator, the Trust Administrator will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties. 3.8 Resignation or Removal of Trust Administrator. The Trust Administrator may resign at any time by giving at least one hundred twenty (120) days written notice to the Employer and the Trustee. ARTICLE IV TRUSTEE AND EMPLOYER DUTIES 4.1 Legal Duties. The Trustee and Employer shall exercise any of the foregoing powers from time to time as required by law. 4.2 Payments to Participants (a) Employer shall deliver to Trustee a schedule (the 'Payment Schedule") that indicates the amounts payable in respect of each Participant, that provides a formula or other instructions acceptable to Trustee for determining the amount so payable, the form in which such amount is to be paid (as provided for or available under the Plan), and the time of commencement for payment of such amounts. Except as otherwise provided herein, Trustee shall make payments to the Participants in accordance with such Payment Schedule. As directed by Employer, the Trustee shall make provision for the reporting and withholding of any federal, state or local taxes that may be required to be withheld with respect to the payment of benefits pursuant to the terms of the Plan and shall pay amounts withheld to the appropriate taxing authorities or determine that such amounts have, been reported, withheld and paid by Employer. (b) The entitlement of a Participant to benefits under the Plan shall be determined by Employer or such party as it shall designate under the Plan, and any claim for such benefits shall be considered and reviewed under the procedures set out in the Plan. Section 415(m).Trust t I 3/8/06 0277 (c) Employer may make payment of benefits directly to Participants as they become due under the terms of the Plan. Employer shall notify Trustee of its decision to make payment of benefits directly prior to the time amounts are payable to Participants. In addition, if the principal of the Trust, and earnings thereon, are not sufficient to make payments of benefits in accordance with the terms of the Plan, Employer shall make the balance of each such payment as it falls due. Trustee shall notify Employer where principal and earnings are not sufficient. Trustee shall have no duty or obligation to enforce or compel Employer to make payments hereunder. Employer may direct Trustee to reimburse Employer for payments made directly by Employer to Participants, and shall provide the Trustee with such documentation to evidence those direct payments as the Trustee may reasonably request. (1) In the event payments are made by Employer directly to Participants, Employer shall have sole responsibility for the reporting and withholding of any federal, state, or local taxes that may be required to be withheld with respect to the payment of benefits pursuant to the terms of the Plan and shall pay amounts withheld to the appropriate taxing authority. (2) Trustee shall have no duty or responsibility with respect to the above stated reporting, withholding or payment of taxes and shall have no responsibility to determine that Employer has provided for such reporting, withholding or payment of such taxes. (3) Employer shall indemnify and hold Trustee harmless from any and all losses, claims, penalties or damages which may occur as a result of Trustee following in good faith the written direction of the Employer to reimburse Employer for payments made hereunder to Participants and arising from Employer's tax reporting, withholding and payment obligations hereunder. (d) Upon the satisfaction of all liabilities of the Employer under the Plan to all Participants the Trustee shall hold or distribute the Trust in accordance with the written instructions of the Employer. Except as provided in (c) above, at no time prior to the Employer's Insolvency, as defined in Article XI, or the satisfaction of all liabilities of the Employer under the Plan in respect of all Participants having Accounts hereunder shall any part of the Trust revert to the Employer. 4.3 Accounts and Records. The Trustee shall keep accurate and detailed records of all investments, receipts, disbursements and all other transactions required to be done, including such specific records as shall be agreed upon in writing between the Employer and the Trustee. All such accounts, books Section 415(m).Trust 12 3/8/06 0278 and records shall be open to inspection and audit at all reasonable times by the Employer and by the Participants. Within sixty (60) days after the close of each quarter and Plan year and within sixty (60) days after the resignation or removal of the Trustee as provided in Article VI hereof, the Trustee shall render to the Employer a written account showing in reasonable summary the investments, receipts, disbursements and other transactions engaged in by the Trustee during the preceding Plan Year or accounting period with respect to the Trust. Such account shall set forth the assets and liabilities of the Trust. The Employer shall have ninety (90) days after,the Trustee's mailing of each such quarterly, or final account within which to file with the Trustee written objections to such account. Upon approval or by failure to file with the Trustee written objections to such account within the 90-day period, the Employer shall release and discharge the Trustee from all liability and accountability to the Employer as to all matters and items set forth in such account as if such account had been settled and allowed by a decree from a court of competent jurisdiction, such settlement and allowance to be final and binding. Notwithstanding anything herein to the contrary, the Trustee shall have no duty or responsibility to obtain valuations of any assets of the Trust Fund, the value of which is not readily determinable on an established market. Employer shall bear sole responsibility for determining said valuations and shall be responsible for providing said valuations to Trustee in a timely manner. Trustee may conclusively rely on such valuations provided by Employer and shall be indemnified and held harmless by Employer with respect to such reliance. 4.4 Reports. The Trustee shall file such descriptions and reports and shall furnish such information and make such other publications, disclosures, registrations and other filings as are required of the Trustee by law. The Trustee shall have no responsibility to file reports or descriptions, publish information or make disclosures, registrations or other filings unless directed by the Employer. 4.5 Follow Employer Direction. The Trustee shall have the power and duty to comply promptly with all proper directions of the Employer. 4.6 Information to be Provided to Trustee. The Employer shall maintain and furnish the Trustee with all reports, documents and information as shall be required by the Trustee to perform its duties and discharge its responsibilities under this Trust Agreement, including without limitation a certified copy of each of the Plan and all amendmehts thereto. The Trustee shall be entitled to rely on the most recent reports, documents and information furnished to it by the Employer. The Employer shall be 3/8/06 Section 415(m).Trust 13 0 L 7 9 required to notify the Trustee as to the termination of employment of any Participant by death, retirement or otherwise. The Employer shall arrange for each Investment Manager if appointed pursuant to Section 2.2, and each insurance company issuing contracts held by the Trustee pursuant to Section 3.10), to furnish the Trustee with such valuations and reports as are necessary to enable the Trustee to fulfill its obligations under this Trust Agreement, and the Trustee shall be fully protected in relying upon such valuations and reports. ARTICLE V RESTRICTIONS ON TRANSFER 5.1 Persons to Receive Payment. (a) The Trustee shall, except as otherwise provided in section 4.2(d) and subsection (b) hereunder, pay all amounts payable hereunder only to the person or persons designated under the Plan or deposit such amounts to the Participants checking or savings account as directed by the Employer and not to any other person or corporation, and only to the extent of assets held in the Trust, and shall follow written instructions by the Employer. The Employer's written instructions, to the Trustee to make distributions or not to make distributions, and the amount thereof, shall be conclusive on all Participants. (b) Should any controversy arise as to the person or persons to whom any distribution or payment is to be made by the Trustee, or as to any other matter arising in the administration of the Plan or Trust, the Trustee may retain the amount in controversy pending resolution of the controversy or the Trustee may file an action seeking declaratory relief and/or may interplead the Trust assets in issue, and name as necessary parties the Employer, the Participants and/or any or all persons making conflicting demands. (c) The Trustee shall not be liable for the payment of any interest or income, except for that earned as a Trust investment, on any amount withheld or interpleaded under subsection (b). (d) The expense of the Trustee for taking any action under subsection (b) shall be paid to the Trustee from the Trust. 5.2 Assignment and Alienation Prohibited. Benefits payable to Participants under this Trust Agreement may not be anticipated, assigned (either at law or in equity), alienated, pledged, encumbered or subjected to attachment, Section 415(m).Trust 14 3/8/06 02IIO garnishment, levy, execution or other legal or equitable process. Notwithstanding the foregoing, the Trust shall at all times remain subject to the claims of creditors of the Employer in the event the Employer becomes Insolvent as provided in Article XI. ARTICLE VI RESIGNATION, REMOVAL AND SUCCESSION 6.1 Resignation or Removal of Trustee. Trustee may resign at any time by written notice to the Employer, which shall be effective thirty (30) days after receipt of such notice unless Employer and Trustee agree otherwise. The Employer may remove the Trustee at any time by written notice to the Trustee, which shall be effective thirty (30) days after receipt of such notice unless the Trustee and Employer otherwise agree. 6.2 Designation of Successor. Upon notice of the Trustee's resignation or removal, the Employer shall promptly designate a successor Trustee who will accept transfer of the assets of the Trust. If no successor Trustee is designated within thirty (30) days of notice of Trustee's resignation or removal, then the Trustee may apply to a court of competent jurisdiction for appointment of a successor or instructions as provided in Section 6.4 below. 6.3 Upon resignation or removal of Trustee and appointment of a successor Trustee, all assets shall subsequently be transferred to the successor Trustee. The transfer shall be completed as soon as administratively feasible after receipt of notice of resignation, removal or transfer and appointment of and acceptance by successor Trustee, unless Employer extends the time limit. 6.4 Court Appointment of Successor. If Trustee resigns or is removed, a successor shall be appointed, in accordance with Section 6.2 hereof, by the effective date of resignation or removal under paragraph 6.1 of this section. If no such appointment has been made, Trustee may apply to a court of competent jurisdiction for appointment of a successor or for instructions. All expenses of Trustee in connection with the proceeding shall be allowed as administrative expenses of the Trust. Until a successor Trustee has accepted its appointment and received transfer of the Trust assets, the Trustee shall be entitled to be compensated for its services according to its published fee schedule then in effect for acting as Trustee. 6.5 Successor's Powers. A successor Trustee shall have the same powers and duties as those conferred upon the original Trustee hereunder. A resigning Section 415(m).Trust 15 3/8/06 0281 Trustee shall transfer the Trust assets and shall deliver the assets of the Trust to the successor Trustee as soon as practicable. The resigning Trustee is authorized, however, to reserve such amount as may be necessary for the payment of its fees and expenses incurred prior to its resignation, and the Trust assets shall remain liable to reimburse the resigning Trustee for all fees and costs, expenses or attorneys' fees or losses incurred, whether before or after resignation, due solely to Trustee's holding title to and administration of Trust assets. 6.6 Successor's Duties. A successor Trustee shall have no duty to audit or otherwise inquire into the acts and transactions of its predecessor. ARTICLE VII AMENDMENT 7.1 Power to Amend. This Trust Agreement may be amended by a written instrument executed by Trustee and Employer. No such amendment shall conflict with the terms of the Plan. ARTICLE VIII LIABILITIES 8.1 Declaration of Intent. To the full extent permitted by law, it is the intent of this Article to relieve each fiduciary from all liability for any acts or omissions of any other fiduciary or any other person and to declare the absence of liabilities of all persons referred to in this Article to the extent not imposed by law or by provisions of this Trust Agreement. Each of the following Sections, in declaring such limitation, is set forth without limiting the generality of this Section but in each case shall be subject to the provisions, limitations and policies set forth in this Section. 8.2 Liability of the Trustee. (a) The Trustee shall have no powers, duties or responsibilities with regard to the administration of the Plan or to determine the rights or benefits of any person having or claiming an interest under the Plan or in the Trust or under this Trust Agreement or to examine or control any disposition of the Trust or part thereof which is directed by the Employer, as applicable. (b) The Trustee shall have no liability for the adequacy of contributions for the purposes of the Plan or for enforcement of the payment thereof. Section 415(m).Trust 16 3/6/06 0282 (c) The Trustee shall have no liability for the acts or omissions of the Employer or Fiduciaries. (d) The Trustee shall have no liability for following proper directions of Employer or Employer's designated Fiduciaries, or any Participant when such directions are made in accordance with this Trust Agreement and the Plan. (e) During such period or periods of time, if any, as Employer or Investment Manager (collectively, "Fiduciary") is directing the investment and management of Trust assets, the Trustee shall have no obligation to determine the existence of any conversion, redemption, exchange, subscription or other right relating to any securities purchased on the directions of such Fiduciary if notice of any such right was given prior to the purchase of such securities. If such notice is given after the purchase of such securities, the Trustee shall notify such Fiduciary. The Trustee shall have no obligation to exercise any such right unless it is instructed to exercise such right, in writing, by the Fiduciary within a reasonable time prior to the expiration of such right. (f) During such period or periods of time, if any, as a Fiduciary is directing the investment and management of Trust assets, if such Fiduciary directs the Trustee to purchase securities issued by any foreign government or agency thereof, or by any corporation domiciled outside of the United States, it shall be the responsibility of the Fiduciary to advise the Trustee in writing with respect to any laws or regulations of any foreign countries or any United States territories or possessions which shall apply, in any manner whatsoever, to such securities, including, but not limited to, receipt of dividends or interest by the Trustee for such securities. 8.3 Indemnification. (a) The Trustee shall not be liable for, and Employer shall indemnify, defend, and hold the Trustee (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a. result of (1) any acts taken by the Trustee in accordance with directions (or failure to act in the absence of directions) from the Employer, Investment Manager or any other person or entity authorized to act on their behalf which the Trustee reasonably believes to have been given by them, or (2) the Employer's active or passive Section 415(m).Trust 17 3/8/06 0283 negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. (b) The Employer shall not be liable for, and Trustee shall indemnify, defend, and hold the Employer (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. (c) Promptly after receipt by an indemnified party of notice or receipt of a claim or the commencement of any action for which indemnification may be sought, the indemnified party will notify the indemnifying party in writing of the receipt or commencement thereof. When the indemnifying party has agreed to provide a defense as set out above that party shall assume the defense of such action (including the employment of counsel, who shall be counsel satisfactory to such indemnitee) and the payment of expenses, insofar as such action shall relate to any alleged liability in respect of which indemnity may be sought against the indemnifying party. Any indemnified party shall have the right to employ separate counsel in any such action and to participate in the defense thereof, but the fees and expenses of such counsel shall not be at the expense of the indemnifying party unless (i) the employment of such counsel has been specifically authorized by the indemnifying party or (ii) the named parties to any such action (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both patties by the same counsel would be inappropriate due to actual or potential differing interest between them. The indemnifying party shall not be liable to indemnify any person for any settlement of any such action effected without the indemnifying party's consent. ARTICLE IX DURATION, TERMINATION AND REPAYMENTS TO EMPLOYER 9.1 Revocation and Termination. The Trust shall not terminate until the date on which Participants are no longer entitled to benefits pursuant to the terms of the Plan, unless sooner revoked in accordance with Section 1.2 hereof. Upon termination of the Trust any assets remaining in the Trust shall be returned to Employer. In the event the Trust is terminated following the distribution of all payments and benefits called for herein, from the date of such termination of the Trust and until the final distribution of the remaining Trust assets, if any, Section 415(m).Trust 18 1 3/8/06 0 9- 84 the Trustee shall continue to have all the powers provided under this Trust Agreement that are necessary or desirable for the orderly liquidation and distribution of the Trust. 9.2 Duration. This Trust shall continue in full force and effect for the maximum period of time permitted by law and in any event until the expiration of twenty- one years after the death of the last surviving person who was living at the time of execution hereof who at any time becomes a Participant in the Plan, unless this Trust is sooner terminated in accordance with this Trust Agreement. ARTICLE X MISCELLANEOUS 10.1 Emergencies and Delegation. (a) In case of an emergency, the Trustee may act in the absence of directions from any other person having the power and duty to direct the Trustee with respect to the matter involved and shall incur no liability in so acting. (b) By written notice to the Trustee, the Employer may authorize the Trustee to act on matters.in the ordinary course of the business of the Trust or on specific matters upon the signature of its delegate. 10.2 Expenses and Taxes. (a) The Employer, or at its option, the Trust, shall quarterly pay the Trustee its expenses in administering the Trust and reasonable compensation for its services as Trustee at a rate to be agreed upon by the parties to this Trust Agreement, based upon Trustee's published fee schedule. However, the Trustee reserves the right to alter this rate of compensation at any time by providing the Employer with notice of such change at least thirty (30) days prior to its effective date. Reasonable compensation shall include compensation for any extraordinary services or computations required, such as determination of valuation of assets when current market values are not published and interest on funds to cover overdrafts. The Trustee shall have a lien on the Trust for compensation and for any reasonable expenses including counsel, appraisal, or accounting fees, and these shall be withdrawn from the Trust and may be reimbursed by the Employer. (b) Reasonable counsel fees, reasonable costs, expenses and charges of the Trustee incurred or made in the performance of its duties, expenses relating to investment of the Trust such as broker's Section 415(m).Trust 19 3/8/06 0285 commissions, stamp taxes, and similar items and all taxes of any and all kinds that may be levied or assessed under existing or future laws upon or in respect to the Trust or the income thereof, and the Trustee's charges for issuing distribution checks to Participants or their representatives shall be paid from, and shall constitute a charge upon the Trust. (c) In the event any Participant is determined to be subject to federal income tax on any amount under this Trust Agreement prior to the time of payment hereunder, the entire amount determined to be so taxable shall, at the Employer's direction, be distributed by the Trustee to such Participant from the Trust. For the above purposes, a Participant shall be determined to be subject to federal income tax with respect to the Trust upon the earlier of: (a) a final determination by the United States Internal Revenue Service ("IRS") addressed to the Participant which is not appealed to the courts; (b) an opinion of legal counsel designated in writing by the Employer, addressed to the Employer and the Trustee, that, by reason of Treasury Regulations, amendments to the Code, published IRS rulings, court decisions or other substantial precedent, amounts hereunder subject the Participant to federal income tax prior to payment. The Employer shall undertake at its discretion and at its sole expense to defend any tax claims described herein which are asserted by the IRS against any Participant, including attorney fees and costs of appeal, and shall have the sole authority to determine whether or not to appeal any determination made by the IRS or by a lower court. The Employer also agrees to reimburse any Participant under this Section for any interest or penalties in respect of tax claims hereunder upon receipt of documentation thereof. 10.3 Third Parties. (a) No person dealing with the Trustee shall be required to follow the application of purchase money paid or money loaned to the Trustee nor inquire as to whether the Trustee has complied with the requirements hereof. (b) In any judicial or administrative proceedings, only the Employer and the Trustee shall be necessary parties and no Participant or other person having or claiming any interest in the Trust shall be entitled to any notice or service of process (except as required by law). Any judgment, decision or award entered in any such proceeding or action shall be conclusive upon all interested persons. 10.4 Adoption by Affiliated Employer. Any affiliate of the Employer (an "Affiliated Employer") may adopt one or more of the Employer's Plans with the approval of the Employer, and the Affiliated Employer shall concurrently become a section 415(m).Trust 20 3/8/06, Q 9-8 6 party to this Trust Agreement by giving written notice of its adoption of the Plan and this Trust Agreement to the Trustee. Upon such written notice, the Affiliated Employer shall become a signatory to this Trust Agreement. 10.5 Binding Effect Successor Employer. This Trust Agreement shall be binding upon and inure to the benefit of any successor to the Employer or its business as the result of merger, consolidation, reorganization, transfer of assets or otherwise and any subsequent successor thereto. In the event of any such merger, consolidation, reorganization, transfer of assets or other similar transaction, the successor to the Employer or its business or any subsequent successor thereto shall promptly notify the Trustee in writing of its successorship and shall promptly supply information required by the Trustee. 10.6 Relation to Plan. All words and phrases used herein shall have the same meaning as in the Plan, and this Trust Agreement and the Plan shall be read and construed together. In the event of any conflict between the terms of the Plan and this Trust Agreement with respect to the rights and duties of the Trustee, this Trust Agreement shall control. Whenever in the Plan it is provided that the Trustee shall act as therein prescribed, the Trustee shall be and is hereby authorized and empowered to do so for all purposes as fully as though specifically so provided herein or so directed by the Employer. 10.7 Mediation and Arbitration of Disputes. If a dispute arises under this Trust Agreement between or among the Employer and Trustee or any Participant, except as provided in Sections 5.1(b) and 6.4, the parties agree first to try in good faith to settle the dispute by mediation under the Commercial Mediation Rules of the American Arbitration Association. Thereafter, any remaining unresolved controversy or claim arising out of or relating to this Agreement, or the performance or breach thereof, shall be decided by binding arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association and Title 9 of California Code of Civil Procedure Sections 1280 et seq. The sole arbitrator shall be a retired or former Judge associated with the American Arbitration Association. Judgement upon any award rendered by the arbitrator shall be final and may be entered in any court having jurisdiction. Each party shall bear its own costs, attorney's fees and its share of arbitration fees. The Alternate Dispute Resolution Agreement in this Agreement does not constitute a waiver of the parties' rights to a judicial forum in instances where arbitration would be void under applicable law, and does not preclude Bank from exercising its rights to interplead the funds of the Account at the cost of the Account. 10.8 Attorney Fees and Costs. If any action is brought by the Trustee or the Employer against the other in a court of law in order to compel arbitration pursuant to Section 10.7 above, the prevailing party in such proceeding to compel arbitration shall be entitled to recover from the other party reasonable attorneys' fees, court costs and necessary disbursements incurred in Section 415(m).Trust 21 3/8/06 L u connection with such proceeding, including but not limited to copying costs, filing fees, expert costs and fees and word processing fees. 10.9 Partial Invalidity. Any provision of this Trust Agreement prohibited by law shall be ineffective to the extent of any such prohibition, without invalidating the remaining provisions hereof. In the event of any such holding, the Employer and Trustee and, if applicable, Participants, will immediately amend this Trust Agreement as necessary to remedy any such defect. 10.10 Construction. This Trust Agreement shall be governed by and construed in accordance with the laws of California. 10.11 Notices. Any notice, report, demand or waiver required or permitted hereunder shall be in writing, shall be deemed received upon the date of delivery if given personally or, if given by mail, upon the receipt thereof, and shall be given personally or by prepaid registered or certified mail, return receipt requested, addressed to Employer and Trustee as listed below in Article XII; if to a Participant, to the last mailing address provided to the Trustee with respect to such individual, provided, however, that if any party or his or its successor shall have designated a different address by written notice to the other parties, then to the last address so designated. ARTICLE XI DISTRIBUTIONS IN THE EVENT OF INSOLVENCY OF EMPLOYER 11.1 Trustee and Employer Responsibility upon notice of Employer's Insolvency: (a) Insolvency. Trustee shall cease payment of benefits to Participants if the Employer is Insolvent. Employer shall be considered "Insolvent" for purposes of this Trust Agreement if (i) Employer is unable to pay its debts as they become due, or (ii) Employer is subject to a pending proceeding as a debtor under the United States Bankruptcy Code. (b) At all times during the continuance of this Trust, as provided in Section 1.4 hereof, the principal and income of the Trust shall be subject to claims of general creditors of Employer under federal and state law as set forth below. (1) The Governing Board and the Plan Administrator designated by the Employer shall have the duty to inform Trustee in writing of Employer's Insolvency. If a person claiming to be a creditor of Employer alleges in writing to Trustee that Employer has become Insolvent, Trustee shall determine whether Employer is Insolvent and, pending such determination, Trustee shall Section 415(m).Trust 22 3/8/06 0288 discontinue payment of benefits to Participants. If Trustee is unable to obtain information sufficient to ascertain Insolvency, Trustee may seek instructions of a court of law or submit the matter for arbitration before the American Arbitration Association or interplead the Trust Assets at the expense of the Trust. (2) Unless Trustee has actual knowledge of Employer's Insolvency, or has received written notice from Employer or a person claiming to be a creditor alleging that Employer is Insolvent, Trustee shall have no duty to inquire whether Employer is Insolvent. Trustee may in all events rely on such evidence concerning Employer's solvency as may be furnished to Trustee and that provides Trustee with a reasonable basis for making a determination concerning Employer's solvency. (3) If at any time Trustee has determined that Employer is Insolvent, Trustee shall discontinue payments to Participants and shall hold the assets of the Trust for the benefit of Employer's general creditors. Nothing in this Trust Agreement shall in any way diminish any rights of Participants to pursue their rights as general creditors of Employer with respect to benefits due under the Plan or otherwise. (4) Trustee shall resume the payment of benefits to Participants in accordance with Section 4.2 of this Trust Agreement only after Trustee has determined that Employer is not Insolvent (or is no longer Insolvent). (c) Determination of Insolvency. Upon receipt of the aforesaid written notice of the Employer's Insolvency, the Trustee shall notify the Employer, and the Employer, within thirty (30) days of receipt of such notice, shall engage an arbitrator (the "Arbitrator") acceptable to Trustee, from the American Arbitration Association to determine the Employer's solvency or Insolvency. The Employer shall cooperate fully and assist the Arbitrator, as may be requested by the Arbitrator, in such determination and shall pay all costs relating to such determination. The Arbitrator shall notify the Employer and Trustee separately by registered mail of its findings. If the Arbitrator determines that the Employer is solvent or if once found Insolvent the Employer is no longer Insolvent, the Trustee shall resume holding the Trust assets for the benefit of the Participants and may make any distributions called for under this Trust Agreement, including any amounts which should have been distributed during the period when the Trustee suspended distributions in response to a notice of the Employer's Insolvency, including earnings (or losses) on such Section 415(m).Trust 23 3/8/06 0289 suspended distributions. If the Arbitrator determines that the Employer is Insolvent or is unable to make a conclusive determination of the Employer's Insolvency, the Trustee shall continue to retain the assets of the Trust until the Employer's status of solvency or Insolvency is decided by a court of competent jurisdiction or it distributes all or a portion of the Trust assets to any duly appointed receiver, trustee in bankruptcy, custodian or to the Employer's general creditors, but only as such distribution is ordered by a court of competent jurisdiction. The Trustee shall have no liability for relying upon the determination of the Arbitrator as to the Employer's solvency or Insolvency. (d) If a court of competent jurisdiction orders distribution of only part of the Trust assets and does not specify the manner in which Trust assets are to be liquidated, the Trustee shall liquidate Trust assets as directed by the Employer. If the Employer fails to provide instructions as to the manner of liquidation within five (5) business days prior to the date the Trustee is required to comply with the court's order, the Trustee shall liquidate and shall have the authority to order any Investment Manager to liquidate the Trust assets in such manner as the Trustee shall determine in its sole and absolute discretion. The Trustee shall not be liable for any damages resulting from the Trustee's exercise in good faith of its power to liquidate assets as provided in this paragraph. (e) Provided that there are sufficient assets, if Trustee discontinues the payment of benefits from the Trust pursuant to subsection (b)(3) hereof and subsequently resumes such payments, the first payment following such discontinuance shall include the aggregate amount of all payments due to Participants under the terms of the Plan for the period of such discontinuance, less the aggregate amount of any payments made to Participants by Employer in lieu of the payments provided for hereunder during any such period of discontinuance of which Trustee has actual knowledge. Section 415(m).Trust 24 3/8/06 0290 Nothing in this Trust Agreement shall in any manner diminish any right of a Participant to pursue his or her rights as a general creditor of the Employer with regard to payments under the Trust or otherwise. ARTICLE XII EFFECTIVE DATE This Trust Agreement shall be effective upon the Trustee's receipt of assets to be held in trust hereunder, and is signed by the parties on the date(s) set forth below their names. UNION BANK, N.A. (Address) 0 Date: in (typed or printed name) (typed or printed name) Date: City of La Quinta "Employer", Sponsor of the Trustee City of La Quinta Excess Benefit Plan (Plan) 78-495 Calle Tampico (Address) La Quinta CA 92253 Thomas Genovese City Manager (typed or printed name) THE TRUST ADMINISTRATOR PUBLIC AGENCY RETIREMENT SERVICES Z Title: Date: 0,? 91 ATTACHMENT 4 The City of La Quinta Fiscally Responsible Retirement Plan Effective February 15, 2011 Defined Benefit Plan NB1: 790408.2 0292 TABLE OF CONTENTS INTRODUCTION ..... Page ARTICLE I PARTICIPATION........................................................................................... 2 1.1 Eligibility for Benefits........................................................................................... 2 1.2 Definitions................................................................................... 3 1.3 Commencement of Benefits................................................................................... 3 1.4 Participation...........................................................................................................4 ARTICLE II BENEFITS.......................................................................................................5 2.1 Retirement Benefits................................................................:.............................. 5 2.2 Designation of Beneficiary .................................................................................... 5 ARTICLE III VESTING........................................................................................................ 7 3.1 Vesting...................................................................................................................7 3.2 Full or Partial Termination..................................................................................... 7 3.3 Attainment of Normal Retirement Age.................................................................. 7 3.4 Effect of Vesting..........................................:......................................................... 7 ARTICLE IV DISTRIBUTIONS........................................................................................... 8 4.1 Normal Form of Benefit......................................................................................... 8 4.2 Other Forms of Benefit.......................................................................................... 8 4.3 Actuarial Equivalence.......................................................................................... 17 4.4 Direct Rollovers................................................................................................... 18 ARTICLE V ADMINISTRATION AND AMENDMENT OF PLAN ............................... 21 5.1 Member's Rights Not Subject To Execution....................................................... 21 5.2 Rules and Regulations...................................................................................:...... 21 5.3 Amendment and Termination.............................................................................. 22 5.4 Military Service................................................................................................... 23 ARTICLE VI ANNUAL BENEFIT LIMITATIONS.......................................................... 24 6.1 Definitions and Application................................................................................. 24 6.2 Annual Limitation on Benefits.............................................................................25 ARTICLE VII DEFINITIONS...............................................................................................29 7.1 Definitions............................................................................................................29 NBt 790408.2 0293 INTRODUCTION The City of La Quinta ("Employer") has adopted this tax qualified governmental defined benefit plan for the benefit of its eligible employees to provide supplemental retirement benefits to eligible employees of the Employer in addition to the benefits employees will receive from the California Public Employees' Retirement System ("CalPERS"). It is intended that this Plan and the Trust established to hold the assets of the Plan shall be qualified under Section 401(a) and tax-exempt under Section 501(a) of the Internal Revenue Code of 1986, together with any amendments thereto (the "Code"). It is further intended that this Plan and the Trust established hereunder shall meet the requirements of a pension trust under California Government Code sections 53215 — 53224, or their successor sections (the "Act"). Furthermore, this Plan is a "governmental plan," as defined in Code Section 414(d) that is intended to be a permanent as distinguished from a temporary plan. At any time prior to the satisfaction of all liabilities with respect to Members and their Beneficiaries under the Trust created pursuant to this Plan, the Trust assets shall not be used for, or diverted to, purposes other than the exclusive benefit of Members or their Beneficiaries, as prescribed in Section 401(a)(2) of the Code. It is intended that the Plan satisfy the requirements of the applicable provisions of the Economic Growth and Tax Relief Reconciliation Act (commonly known as "EGTRRA"), the Pension Protection Act of 2006 (commonly known as the "PPA"), the Heroes Earnings Assistance and Relief Tax Act of 2008 (commonly known as the "HEART Act") and final regulations under Section 415 of the Code, and that the provisions of this Plan reflecting such requirements are hereby made effective as of the dates required by the legislation or guidance referred to in this sentence. NBI : 7904082 0294 2^A ARTICLE I PARTICIPATION 1.1 Eligibility for Benefits. An Employee shall be eligible to receive Retirement Benefits under this Plan if he meets the requirements under one of the following tiers: 2011; Tier I (a) is classified as a full-time General Employee by the Employer as of February 15, (b) has attained sixty (60) years of age as of December 31, 2011; (c) has completed at least ten (10) years of public service as of June 30, 2011 (for purposes of satisfying this Section 1.1(c), employees age sixty-five (65) and older shall be credited with an additional one-half (%2) year of service credit); 2011; (d) has completed at least five (5) years of service with the Employer as of June 30, (e) has terminated employment with the Employer on or before June 30, 2011; (t) has applied for benefits under this Plan; and (g) has retired under CalPERS effective no later than July 1, 2011. Tier 11 (a) is classified as a full-time Director by the Employer (excluding the City Manager) as of February 15,2011; (b) has attained fifty-five (55) years of age as of December 31, 2011; (c) has completed at least ten (10) years of public service as of June 30, 2011; (d) has completed at least five (5) years of service with the Employer as of June 30, 2011; -2- NB 1790408 2 0?95 (e) has terminated employment with the Employer on or before June 30, 2011; (f) has applied for benefits under this Plan; and (g) has retired under CalPERS effective no later than July 1, 2011. The Employer reserves the right to amend this Section 1.1 to make other Employees eligible to receive Retirement Benefits under this Plan. 1.2 Definitions (a) "Director" shall mean any employee hired by the Employer for the purpose of directing a department. (b) "Full-time" shall mean a schedule comprised of at least forty (40) hours worked within a fixed and regularly recurring seven (7) day period. (c) "General Employee" shall mean any employee who is not a "Director" as defined in Section 1.2(a) above. (d) "Public service" shall mean service with any district, public authority, public corporation, department or any political subdivision of any of the United States or the federal government, including but not limited to, states themselves, public school districts, public institutions of higher learning, cities and counties. (e) "Years of service" shall mean the amount of time calculated from an Employee's date of hire with the Employer through June 30, 2011. 1.3 Commencement of Benefits. Benefits shall commence as of the first day of the first month after an Employee meets the eligibility requirements of Section 1.1, and may be made retroactive to such date, provided that an Employee shall not be deemed to have satisfied such eligibility requirements earlier than June 30, 2011. -3- NB1, 790408.2 0296 1.4 Participation. An Employee will be credited with one Year of Participation for any year during which the Employee is an Employee of the Employer. -4- NB1.7904082 02- 9 7 ARTICLE II BENEFITS 2.1 Retirement Benefits. The monthly benefit commencing pursuant to Section 1.3 shall be paid in the Normal Form of Benefit and in an amount equal to one -twelfth (1/12) of six percent (6%) of the Member's Final Pay. 2.2 Designation of Beneficiary. (a) Each Member shall have the right to designate a Beneficiary to receive the death benefits, if any, that are payable to a Beneficiary from this Plan. Such designation does not permit the Member to change a person identified under another provision of the Plan as being eligible to receive a benefit. Such designation must be evidenced by a written instrument filed with the Employer, on a form prescribed by the Employer, and signed by the Member. (b) Unless otherwise required under Section 4.2(a)(3), the Beneficiary for a married Member shall be the Member's spouse at the date of death, unless the written consent of such spouse is provided upon a form acceptable to the Employer. Each such designation for death benefits must be evidenced by a written instrument filed with the Employer, on a form prescribed by the Employer, and signed by the Member. If no such designation is on file with the Employer at the time of the death of the Member, or if for any reason at the sole discretion of the Employer, such designation is defective, then the spouse of such Member shall be conclusively deemed to be the Beneficiary designated to receive such benefit. (c) The signature of the Member's spouse shall be required on a designation of beneficiary form or an application for a benefit under the Plan if the spouse is not the Beneficiary, unless the Member declares in writing that one of the following conditions exists: -5- NB1 790408.2 0298 L9Q (1) The Member is not married; (2) The Member does not know, and has taken all reasonable steps to determine, the whereabouts of the spouse; (3) The spouse is incapable of executing the acknowledgment because of an incapacitating mental or physical condition; (4) The Member and spouse have executed a marriage settlement agreement that makes the community property laws inapplicable to the marriage; or (5) The current spouse has no identifiable community property interest in the benefits. Effective as of January 1, 2005, for purposes of this Section 2.2 only, all references in this Section 2.2 to the term "marriage" shall also include the term "registered domestic partnership." All references to the term "married" shall also include "registered domestic partnership" and all references in this Section 2.2 to the term "spouse" shall also include the term "registered domestic partner." The inclusion of "registered domestic partner in the definition of "spouse" shall not apply for the purposes of Sections 4.2(d), 4.4 and 6.2 of this Plan. NB 1790408 2 6- 0299 ARTICLE III VESTING 3.1 Vesting. A Member will be fully Vested in his Retirement Benefit upon meeting the requirements of Section 1.1. 3.2 Full or Partial Termination. Notwithstanding the vesting schedule, upon the complete discontinuance of Employer contributions to the Plan or upon any full or partial termination of the Plan, the Member's Retirement Benefit shall become one hundred percent (100%) Vested. 3.3 Attainment of Normal Retirement Age. A Member shall be fully Vested in his Retirement Benefit upon attainment of Normal Retirement Age. 3.4 Effect of Vesting. Vesting shall entitle a Member to payment during his lifetime of the Retirement Benefit at the times and upon the conditions specified herein, and shall entitle the Member's survivor or Beneficiary to any death benefits provided herein. Any unpaid Retirement Benefits are forfeited upon the Member's death under the Normal Form of Benefit. -7- NBI 790408.2 0300 ARTICLE IV DISTRIBUTIONS 4.1 Normal Form of Benefit. Unless the Member elects another form of benefit as described under Section 4.2, payments to a Member of a Retirement Benefit shall be made in the form of monthly payments commencing pursuant to Section 1.3 and ending on the first day of the month in which the Member's death occurs, in the amount specified in Section 2.1. This form of payment shall be the "Normal Form of Benefit." 4.2 Other Forms of Benefit. In lieu of the Normal Form of Benefit, a Member may elect a form of benefit payment of Actuarial Equivalent value to the Normal Form of Benefit in one of the following forms: (a) Optional Form of Benefit. Under this form of payment: (1) The Member receives a reduced monthly benefit, and if the Member predeceases the Beneficiary, the Beneficiary will receive a monthly payment for the life of the Beneficiary equal to one hundred percent (100%) of such reduced monthly benefit; provided, however, that if the Beneficiary is not the spouse of the Member, this form of payment shall be available only to the extent permitted pursuant to Section 4.2(d)(2)(D)(I). (2) If the Beneficiary predeceases the Member, the Member's reduced monthly payment will not increase. (3) The Member's designation of a Beneficiary shall become irrevocable upon a date selected by the Employer prior to commencement of benefits if electing this form of payment provided, however, the Beneficiary shall be the Member's spouse at the date 12 NBI: 790408.2 0301 benefits commence, unless the written consent of such spouse is provided upon a form acceptable to the Employer. (4) For the purpose of establishing actuarial equivalence between the Normal and Optional Form of Benefit, the monthly amount of benefit payable under an Optional Form of Benefit shall be a fixed percentage of the monthly amount of benefit payable under the Normal Form of Benefit, as determined by the 1983 GAM and an interest assumption of six percent (6%). (b) Fixed -Term Payout. Under this form of payment: (1) The Member receives a benefit paid over a designated period of time (not to exceed the Member's life expectancy) that is actuarially equivalent to the Normal Form of Benefit. The Member shall determine the term of the payment which shall be no less than five (5) years and no greater than fifteen (15) years. (2) Any remaining payments in the fixed -term payout schedule shall continue to the Beneficiary or subsequent Beneficiaries in the event of the Member's death. (c) Life Annuity with Period Certain. Under this form of payment: (1) At the option of the Member, the benefit shall be paid in fixed monthly payments in the form of a life annuity (using the Member's life as the measuring period), subject to a ten (10) year minimum. (2) In the event the Member dies prior to receiving a total of one hundred and twenty (120) payments, the remaining unpaid monthly payments shall be paid to a designated Beneficiary. -9- NB1: 790408,2 0302 (d) Limitations. (1) In the case of a Member who attains age 70-1/2, distribution of such Member's entire interest must commence not later than the first day of April following the later of the calendar year in which such Member attains age 70-1/2 or the calendar year in which the Member retires (the "Required Beginning Date"). In all cases, distributions shall be made in at least the amounts determined in accordance with Code Section 401(a)(9) and the regulations thereunder, as described in Section 4.2(d)(2) below. (2) With respect to required minimum distributions under this Section 4.2(d) for calendar years beginning after December 31, 2002, the following rules shall apply: (A) All distributions required under this Section 4.2(d) shall be determined and made in accordance with the Treasury Regulations under Section 401(a)(9) of the Code, including, without limitation, the minimum distribution incidental benefit requirements. The requirements of this Section 4.2(d) will take precedence over any inconsistent provisions of the Plan, provided that this Section 4.2(d) shall not be considered to allow a Member or Beneficiary to delay a distribution or elect an optional form of benefit not otherwise provided in the Plan. (B) Time and Manner of Distribution (I) The Member's entire interest will begin to be distributed to the Member no later than the Member's Required Beginning Date as defined in Section 4.2(d)(1). (II) If the Member dies before distributions begin, then the Member's entire interest will begin to be distributed no later than as follows: -10- NBI : 790409.2 0303 (a) If the Member's surviving spouse is the Member's sole designated Beneficiary, then distributions to the surviving spouse will begin by December 31 of the calendar year immediately following the calendar year in which the Member died, or by December 31 of the calendar year in which the Member would have attained age 70-1/2, if later. (b) If the Member's surviving spouse is not the Member's sole designated Beneficiary, then distributions to the designated Beneficiary will begin by December 31 of the calendar year immediately following the calendar year in which the Member died. (c) If there is no designated Beneficiary as of September 30 of the year following the year of the Member's death, the Member's entire interest will be distributed by December 31 of the calendar year containing the fifth anniversary of the Member's death. (d) If the Member's surviving spouse is the Member's sole designated Beneficiary and the surviving spouse dies after the Member but before distributions to the surviving spouse begin, this Section 4.2(d)(2)(13)(I1), other than Section 4.2(d)(2)(13)(1I)(a), will apply as if the surviving spouse were the Member. For purposes of this Section 4.2(d)(2)(B)(II) and Section 4.2(d)(2)(E), distributions are considered to begin on the Member's Required Beginning Date (or, if Section 4.2(d)(2)(B)(1I)(d) applies, the date distributions are required to begin to the surviving spouse under Section 4.2(d)(2)(B)(11)(a)). If annuity -ll- NBI: 790408.2 0304 payments irrevocably commence to the Member before the Member's Required Beginning Date (or to the Member's surviving spouse before the date distributions are required to begin to the surviving spouse under Section 4.2(d)(2)(B)(Il)(a)), the date distributions are considered to begin is the date distributions actually commence. (III) Unless the Member's interest is distributed in the form of an annuity purchased from an insurance company or in a single sum on or before the Required Beginning Date, as of the first distribution calendar year distributions will be made in accordance with Sections 4.2(d)(2)(C), (D) and (E). If the Member's interest is distributed in the form of an annuity purchased from an insurance company, distributions thereunder will be made in accordance with the requirements of Section 401(a)(9) of the Code and the Treasury Regulations. (C) Determination of Amount to be Distributed Each Year (1) If the Member's interest is paid in the form of annuity distributions under the Plan, payments under the annuity will satisfy the following requirements: (a) the annuity distributions will be paid in periodic payments made at intervals not longer than one year; (b) the distribution period will be over a life (or lives) or over a period certain not longer than the period described in Sections 4.2(d)(2)(D) or (E); NB I 7904082 12 0335 (c) once payments have begun under a fixed -term payout under Section 4.2(b), the fixed -term payout period will not be changed even if the period certain is shorter than the maximum permitted; (d) payments will either be non -increasing or increase only as follows: (i) by an annual percentage increase that does not exceed the annual percentage increase in a cost of living index that is based on prices of all items and issued by the Bureau of Labor 0 Statistics; (ii) to the extent of the reduction in the amount of the Member's payments to provide for a survivor benefit upon death, but only if the Beneficiary whose life was being used to determine the distribution period described in Section 4.2(d)(2)(D) dies or is no longer the Member's Beneficiary pursuant to a qualified domestic relations order within the meaning of Section 414(p) of the Code; or (iii) to pay increased benefits that result from a Plan amendment. (11) The amount that must be distributed on or before the Member's Required Beginning Date (or, if the Member dies before distributions begin, the date distributions are required to begin under Sections 4.2(d)(2)(B)(11)(a) or (b)) is the payment that is required for one payment interval. The second payment need not be made until the end of the next payment interval even if that payment -13- NB, 7904082 0306 interval ends in the next calendar year. Payment intervals are the periods for which payments are received, e.g., bi-monthly, monthly, semi-annually, or annually. All of the Member's benefit accruals as of the last day of the first distribution calendar year will be included in the calculation of the amount of the annuity payments for payment intervals ending on or after the Member's Required Beginning Date. (III) Any additional benefits accruing to the Member in a calendar year after the first distribution calendar year will be distributed beginning with the first payment interval ending in the calendar year immediately following the calendar year in which such amount accrues. (D) Requirements For Annuity Distributions That Commence During Member's Lifetime (I) If the Member's interest is being distributed in the form of a benefit described in Section 4.2(a) for the joint lives of the Member and a nonspouse Beneficiary, annuity payments to be made on or after the Member's Required Beginning Date to the designated Beneficiary after the Member's death must not at any time exceed the applicable percentage of the annuity payment for such period that would have been payable to the Member using the table set forth in Q&A-2(c)(2) of Section 1.40 1 (a)(9)-6 of the Treasury Regulations in the manner described in Q&A-2(c)(1) of the Treasury Regulations. If the form of distribution combines a benefit described in Section 4.2(a) for the joint lives of the Member and a nonspouse Beneficiary and a fixed -term payout annuity, the requirement in -14- 0307 NBI7904082 the preceding sentence will apply to annuity payments to be made to the designated Beneficiary after the expiration of the fixed -term payout period. (11) Unless the Member's spouse is the sole designated Beneficiary and the form of distribution is a fixed -term payout annuity, the fixed -term payout period for an annuity distribution commencing during the Member's lifetime may not exceed the applicable distribution period for the Member under the Uniform Lifetime Table set forth in Section 1.401(a)(9)-9, Q&A-2 of the Treasury Regulations for the calendar year that contains the annuity starting date. If the benefit commencement date precedes the year in which the Member reaches age 70, the applicable distribution period for the Member is the distribution period for age 70 under the Uniform Lifetime Table set forth in Section 1.401(a)(9)-9, Q&A-2 of the Treasury Regulations plus the excess of 70 over the age of the Member as of the Member's birthday in the year that contains the benefit commencement date. If the Member's spouse is the Member's sole designated Beneficiary and the form of distribution is a fixed -term payout annuity, the fixed - term payout period may not exceed the longer of the Member's applicable distribution period, as determined under this Section 4.2(d)(2)(D), or the joint life and last survivor expectancy of the Member and the Member's spouse as determined under the Joint and Last Survivor Table set forth in Section 1.401(a)(9)-9, Q&A-3 of the Treasury Regulations, using the Member's and spouse's attained ages as of the Member's and spouse's birthdays in the calendar year that contains the benefit commencement date. -15- f� NBI: 7904082 0308 (E) Requirements For Minimum Distributions Where Member Dies Before Date Distributions Begin (I) If the Member dies before the date distribution of his or her interest begins and there is a designated Beneficiary, the Member's entire interest will be distributed, beginning no later than the time described in Sections 4.2(d)(2)(B)(II)(a) or (b), over the life of the designated Beneficiary or over a fixed -term payout period not exceeding: (a) unless the benefit commencement date is before the first distribution calendar year, the life expectancy of the designated Beneficiary is determined using the Beneficiary's age as of the Beneficiary's birthday in the calendar year immediately following the calendar year of the Member's death; or (b) if the benefit commencement date is before the first distribution calendar year, the life expectancy of the designated Beneficiary is determined using the Beneficiary's age as of the Beneficiary's birthday in the calendar year that contains the benefit commencement date. (II) If the Member dies before the date distributions begin and there is no designated Beneficiary as of September 30 of the year following the year of the Member's death, distribution of the Member's entire interest will be completed by December 31 of the calendar year containing the fifth anniversary of the Member's death. 16- OV9 Nel: 7904052 (III) If the Member dies before the date distribution of his or her interest begins, the Member's surviving spouse is the Member's sole designated Beneficiary, and the surviving spouse dies before distributions to the surviving spouse begin, this Section 4.2(d)(2)(E) will apply as if the surviving spouse were the Member, except that the time by which distributions must begin will be determined without regard to Section 4.2(d)(2)(B)(II)(a). (F) Definitions (I) Designated Beneficiary. The individual who is designated as the Beneficiary under Section 2.2 of the Plan and is the designated Beneficiary under Section 401(a)(9) of the Code and Section 1.401(a)(9)-4 of the Treasury Regulations. (II) Distribution calendar. A calendar year for which a minimum distribution is required. For distributions beginning before the Member's death, the first distribution calendar year is the calendar year immediately preceding the calendar year that contains the Member's Required Beginning Date. For distributions beginning after the Member's death, the first distribution calendar year is the calendar year in which distributions are required to begin pursuant to Section 4.2(d)(2)(13)(II). (III) Life expectancy. Life expectancy as computed by use of the Single Life Table in Section 1.401(a)(9)-9, Q&A-1 of the Treasury Regulations. (IV) Required Beginning Date. The date set forth in Section 4.2(d)(1). 4.3 Actuarial Equivalence. -17- 0310 NBI790408.2 For the purpose of establishing Actuarial Equivalence, the mortality assumption shall be 1983 GAM and the interest assumption shall be six percent (6%) per annum. 4.4 Direct Rollovers. (a) This section applies to all distributions made on or after January 1, 1993. Notwithstanding any provision of the Plan to the contrary that would otherwise limit a distributee's election under this Plan, a distributee may elect, at the time and in the manner prescribed by the Plan Administrator, to have any portion of an eligible rollover distribution paid directly to an eligible retirement plan specified by the distributee in a direct rollover. A distributee includes an Employee or former Employee. In addition, the Employee's or former Employee's surviving spouse and the Employee's or former Employee's spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in Section 414(p) of the Code, are distributees with regard to the interest of the spouse or former spouse. (b) A Beneficiary who is not the spouse of the Member may elect a direct trustee -to - trustee transfer that qualifies as an eligible rollover distribution under this Section 4.4. Such transfer shall be made to an individual retirement account described in Section 408(a) or an individual retirement annuity described in Section 408(b) that is established for the purpose of receiving the distribution on behalf of such Beneficiary. Such individual retirement account shall be deemed an inherited IRA pursuant to the provisions of Section 402(c)(11) of the Code. In the case of a nonspouse Beneficiary, the direct rollover may be made only to an individual retirement account or annuity described in Section 408(a) or Section 408(b) ("IRA") that is established on behalf of the designated Beneficiary and that will be treated as an inherited IRA pursuant to the -18- 0311 NB 1 790408,2 provisions of Section 402(c)(11). Also, in this case, the determination of any required minimum distribution under Section 401(a)(9) that is ineligible for rollover shall be made in accordance with Notice 2007-7, Q&A 17 and 18, 2007-5 I.R.B. 395. (c) Definitions. (1) Eligible Rollover Distribution. An eligible rollover distribution is any distribution of all or any portion of the balance to the credit of the distributee, except that an eligible rollover distribution does not include: any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated Beneficiary, or for a specified period of ten years or more; any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code, any hardship distribution, and the portion of any distribution that is not includible in gross income (determined without regard to the exclusion for net unrealized appreciation with respect to employer securities), and any other distribution(s) that is reasonably expected to total less than $200 during a year. A portion of a distribution shall not fail to be an eligible rollover distribution merely because the portion consists of after-tax employee contributions which are not includible in gross income. However, such portion may be transferred only to (1) an individual retirement account or annuity described in Section 408(a) or (b) of the Code; (2) for taxable years beginning after December 31, 2001 and before January 1, 2007; to a qualified trust which is part of a defined contribution plan that agrees to separately account for amounts so transferred, including separately accounting for the portion of such distribution which is includible in gross income and the portion of such distribution -19- NB 1790408 2 0312 which is not so includible; or (3) for taxable years beginning after December 31, 2006, to a qualified trust or to an annuity contract described in Section 403(b), if such trust or contract provides for separate accounting for amounts so transferred (including interest thereon), including separately accounting for the portion of such distribution which is includible in gross income and the portion of such distribution which is not so includible. (2) Eligible Retirement Plan. An eligible retirement plan is an individual retirement account described in Section 408(a) of the Code, an individual retirement annuity described in Section 408(b) of the Code, a qualified defined contribution plan described in Section 401(a) of the Code that accepts the distributee's eligible rollover distribution, an annuity contract described in Section 403(b) of the Code, an annuity plan described in Section 403(a) of the Code, and an eligible plan under Section 457(b) of the Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state and which agrees to separately account for amounts transferred into such plan from this Plan. The definition of eligible retirement plan shall also apply in the case of a distribution to a surviving spouse, or to a spouse or former spouse who is the alternate payee under a qualified domestic relation order, as defined in Section 414(p) of the Code. With respect to eligible rollover distributions made on or after January 1, 2008, an eligible retirement plan shall also include a Roth IRA as described in Section 408A of the Code, provided that the distributee is not restricted from making such a rollover from this Plan to a Roth IRA pursuant to Section 408A(c) of the Code. (3) Direct Rollover. A direct rollover is a payment by the Plan to the eligible retirement plan specified by the distributee. -20- NBI: 7904082 (,ello 0313 ARTICLE V ADMINISTRATION AND AMENDMENT OF PLAN 5.1 Member's Rights Not Subject To Execution. The right of a Member to a benefit under this Plan is not assignable and is not subject to execution or any other process whatsoever, except to the extent permitted by the Code of Civil Procedure and the Family Code of the State of California. Any payment hereunder required under the California Family Code to a person other than the Member must not alter the form or amount of benefits hereunder, except that to the extent provided in a valid court order, an Actuarially Equivalent payment may be made to the spouse or child of a Beneficiary pursuant to a qualified domestic relations order (as defined in Code Section 414(p)) prior to the Member's retirement. 5.2 Rules and Regulations. The Employer has full discretionary authority to supervise and control the operation of this Plan in accordance with its terms and may make rules and regulations for the administration of this Plan that are not inconsistent with the terms and provisions hereof. The Employer shall determine any questions arising in connection with the interpretation, application or administration of the Plan (including any question of fact relating to age, employment, Compensation or eligibility of Employees) and its decisions or actions in respect thereof shall be conclusive and binding upon any and all persons and parties. The Employer shall have all powers necessary to accomplish its purposes, including, but not by way of limitation, the following: (a) To determine all questions relating to the eligibility of Employees to participate; (b) To construe and interpret the terms and provisions of the Plan; -21- 0314 NB 1: 790408.2 (c) To compute, certify to, and direct the Trustee with regard to the amount and kind of benefits payable to the Members and their Beneficiaries; (d) To authorize all disbursements by the Trustee from the Trust; (e) To maintain all records that may be necessary for the administration of the Plan other than those maintained by the Trustee; and (f) To appoint a Plan Administrator or, any other agent, and to delegate to them or to the Trustee such powers and duties in connection with the administration of the Plan as it may from time to time prescribe, and to designate each such administrator or agent as a fiduciary with regard to matters delegated to him. With respect to management and control of investments, the Employer shall have the power to direct the Trustee in writing with respect to the investment of the Trust assets or any part thereof. Where investment authority, management and control of Trust assets have been delegated to the Trustee by the Employer, the Trustee shall be a fiduciary with respect to the investment, management and control of the Trust assets contributed by the Employer and Members with full discretion in the exercise of such investment, management and control. Where investment authority, management and control of Trust assets are not specifically delegated to the Trustee, the Trustee shall be subject to the direction of the Employer. Expenses and fees in connection with the administration of the Plan and the Trust shall be paid from the Trust assets to the fullest extent permitted by law, unless the Employer determines otherwise. 5.3 Amendment and Termination. The Employer shall have the right to amend, modify or terminate this Plan at any time. In the event of the complete discontinuance of this Plan, the entire interest of each Member _22_ NB I : 7904082 0 315 affected thereby shall immediately become 100% Vested. The Employer shall not be liable for the payment of any benefits under this Plan and all benefits hereunder shall be payable solely from the assets of the Trust. Pursuant to Treasury Regulation Section 1.401-2(b), after all liabilities of this Plan to Members and their Beneficiaries have been satisfied following the termination of this Plan, any residual assets of this Plan shall be used for such purposes as determined by the Employer, including a distribution of the assets to the general funds of the Employer. Furthermore, a contribution made by the Employer may be returned if: (1) the contribution is made by reason of a mistake of fact (Section 403(c)(2)(A); (2) the contribution is conditioned on qualification of the Plan under the Code and the Plan does not so qualify; or (3) the contribution is conditioned on its deductibility under Section 404 of the Code. The return to the Employer of the amount involved must be made within one year of the mistaken payment of the contribution, the date of denial of qualification, or disallowance of the deduction. 5.4 Military Service. Effective December 12, 1994, and notwithstanding any provision of this Plan to the contrary, contributions, benefits, and service credit with respect to qualified military service will be provided in accordance with Section 414(u) of the Code. hr the case of a Member who dies while performing qualified military service, the survivors of the Member are entitled to any additional benefits (other than benefit accruals relating to the period of qualified military service) provided under the Plan had the Member resumed and then terminated employment on account of death. A Member receiving a "differential wage payment," as defined in Code Section 3401(h)(2) shall be treated as an Employee of the Employer, and the differential wage payment shall be treated as Compensation. -23- C NBI 790405.2 0316 ARTICLE VI ANNUAL BENEFIT LIMITATIONS 6.1 Definitions and Application. As used in this Article VI, the following terms shall have the meanings specified below. Unless otherwise stated below, the provisions of this Article VI shall apply to Limitation Years beginning on or after January 1, 2009. "Affiliated Company" means a company required to be aggregated with the Employer for Purposes of Code Sections 414(b) and (c), provided, however, the determination under Section 414(b) and (c) of the Code shall be made as if the phrase "more than 50 percent' were substituted for the phrase "at least 80 percent' each place it is incorporated into Section 414(b) and (c) of the Code. "Annual Benefit" means a benefit payable annually in the form of a straight life annuity (with no ancillary benefits) under a plan to which Employees do not contribute and under which no rollover contributions are made, or to which assets have been transferred from a qualified plan that was not maintained by the Employer. If the benefit is payable in a form other than a straight life annuity, such form must be adjusted actuarially to be the equivalent of a straight life annuity before applying the limitations of Section 6.2(a). The actuarial adjustment to the equivalent of a straight life annuity will apply to all Plan benefits except as set forth herein. The actuarial adjustment shall be made in accordance with the provisions of Treasury Regulation Section 1.415(b)-1(c), which are incorporated herein by reference. No actuarial adjustment is required for the following: qualified joint and survivor annuity benefits, pre -retirement disability benefits, pre -retirement death benefits, post -retirement medical benefits, and the value of an automatic benefit increase feature made in accordance with applicable Treasury Regulations. 24 0317 NBI : 790408.2 " "Employer" means the Employer and any Affiliated Company that adopts this Plan. "Limitation Year" means a 12-consecutive month period ending on the Anniversary Date. If the Limitation Year is amended to a different 12-consecutive month period, the new Limitation Year must begin on a date within the Limitation Year in which the amendment is made. "Related Plan" means any other defined benefit plan (as defined in Section 415(k) of the Code) maintained by the Employer. "Year of Participation" means the Employee shall be credited with a Year of Participation for each year in which the Employee is an Employee of the Employer. An Employee who is permanently and totally disabled within the meaning of Section 415(c)(3)(C)(i) of the Code for an accrual computation period shall receive a Year of Participation with respect to that period. In addition, for an Employee to receive a Year of Participation for an accrual computation period, the Plan must be established no later than the last day of such accrual computation period. In no event will more than one Year of Participation be credited for any 12- month period. 6.2 Annual Limitation on Benefits. Notwithstanding any other provision of the Plan: (a) The Annual Benefit payable with respect to a Member under the Plan for any Limitation Year shall not exceed an amount equal to $160,000, or such other dollar limitation determined for the Limitation Year by automatically adjusting the $160,000 limitation by the cost of living adjustment factor prescribed by the Secretary of the Treasury under Section 415(d) of the Code in such manner as the Secretary shall prescribe. The new dollar limitation shall apply to Limitation Years ending within the calendar year of the date of the adjustment. NBI: 790408.2 25- 0318� (b) If the Member has less than ten Years of Participation with the Employer, the limitation in Section 6.2(a) shall be reduced by multiplying it by a fraction, the numerator of which is the Member's full and partial Years of Participation, and the denominator of which is ten. To the extent provided in Treasury Regulations or in other guidance issued by the Internal Revenue Service, the preceding sentence shall be applied separately with respect to each change in the benefit structure of the Plan. The reduction provided in this paragraph does not apply to payments made to the Member if his payments commence after he has become disabled (within the meaning of Code Section 415(b)(2)(1)), and does not apply to payments made on account of the Member's death. (c) If the Annual Benefit of a Member begins prior to age 62, the limitation under Section 6.2(a) applicable to the Member at such earlier age is an Annual Benefit payable in the form of a straight life annuity beginning at the earlier age that is the actuarial equivalent of the limitation applicable to the Member at age 62 (adjusted under subsection 6.2(b) above, if required). The limitation applicable at an age prior to age 62 shall be determined in accordance with the provisions of Treasury Regulation Section 1.415(b)-1(d), which are incorporated herein by reference. The reduction in this Section 6.2(c) shall not apply for a Member who is a "qualified participant," as defined in Code Section 415(b)(2)(H). (d) If the Annual Benefit of a Member begins after age 65, the limitation under Section 6.2(a) applicable to the Member at such later age is an Annual Benefit payable in the form of a straight life annuity beginning at the later age that is the actuarial equivalent of the limitation applicable to the Member at age 65 (adjusted under subsection 6.2(b) above, if required). The limitation applicable at an age after age 65 shall be determined in accordance with the provisions of Treasury Regulation Section 1.415(b)-1(e), which are incorporated herein by reference. -26- NBI : 7904082 .. 0319 (e) Pursuant to Treasury Regulation Section 1.415(b)-I(a)(7)(iii), the rate of a Member's accrual shall not be limited by this Article VI (but at all times the annual benefit payable to the Member is subject to the limits set forth in this Article VI). (0 The limitation in Section 6.2(a) is deemed satisfied if the Annual Benefit payable to a Member is not more than $1,000 multiplied by the Member's number of years of service or parts thereof (not to exceed ten) with the Employer, and the Employer (or a predecessor employer) has not at any time maintained a defined contribution plan in which such Member participated. If the Employer maintains one or more defined benefit plans, in addition to this Plan, covering an Employee who is also a Member in this Plan, the sum of the Annual Benefits of all the plans will be treated as a single benefit for the purposes of applying the limitations of Section 6.2(a). For purposes of the preceding sentence, Annual Benefits under a "qualified governmental excess benefit arrangement," as described in Section 415(m)(3) of the Code, shall be disregarded. If the Annual Benefits exceed, in the aggregate, the limitations of Section 6.2(a), the Normal Retirement Benefits under this Plan will be reduced (but not below zero) until the sum of the benefits of the Related Plan(s) satisfy the limitations. In the case of an individual who was a Member in one or more defined benefit plans of the Employer as of the first day of the first Limitation Year beginning after December 31, 1986, the application of the limitations of this Section 6.2 shall not cause the limitation under Section 6.2(a) for such individual under all such defined benefit plans to be less than the individual's Current Accrued Benefit. The preceding sentence applies only if such defined benefit plans met the requirements of Section 415 of the Code, for all Limitation Years beginning before May 6, 1986. For purposes of this Section 6.2(o, an individual's Current Accrued Benefit means a Member's Accrued Benefit -27- NB I. 7904082 0 3 2 under the Plan, determined as if the Member had separated from service as of the close of the last Limitation Year beginning before January 1, 1987, when expressed as an annual benefit within the meaning of Section 415(b)(2) of the Code. In determining the amount of a Member's Current Accrued Benefit, the following shall be disregarded: (i) any change in the terms and conditions of the Plan after May 5, 1986; and (ii) any cost of living adjustments occurring after May 5, 1986. (g) If a Member makes one or more contributions to the Plan to purchase "permissive service credit," as defined in Code Section 415(n)(3), then the limitations of this Article VI shall be treated as met only if either (i) the limitations provided in Code Section 415(b) are met, determined by treating the accrued benefit derived from such contributions as an annual benefit for purposes of Code Section 415(b), or (ii) the requirements of Code Section 415(c) are met, determined by treating all such contributions as annual additions for purposes of Code Section 415(c). _28_ NB1, 7904082 0321 ARTICLE VII DEFINITIONS 7.1 Definitions. Whenever the following terms are used in the Plan, with the first letter capitalized, they shall have the meanings specified below. "Act" means the California Government Code. "Anniversary Date" means July I. "Beneficiary" means the person, persons, trust or trusts designated by a Member, or, in the absence of a designation, entitled by will or the laws of descent and distribution, to receive the benefit specified under this Plan if the Member dies and means the Member's executor or administrator if no other Beneficiary is designated and able to act under the circumstances. "Code" means the Internal Revenue Code of 1986, as amended from time to time. "Compensation" means, for Plan Years beginning after December 31, 2001 or 90 days after the opening of the first legislature session on or after January 1, 2002, all compensation for that portion of the Plan Year during which the Employee was a Member, paid in cash by the Employer to the Member for personal services. Compensation in excess of $200,000 shall be disregarded. Such amount shall be adjusted for increases in the cost of living in accordance with Code Section 401(a)(17), except that the dollar increase in effect on January 1 of any calendar year shall be effective for the Plan Year beginning with or within such calendar year. For any short Plan Year the Compensation limit shall be an amount equal to the Compensation limit for the calendar year in which the Plan Year begins multiplied by a ratio obtained by dividing the number of full months in the short Plan Year by twelve (12). -29- NB1: 790408.2 0322 For purposes of determining benefit accruals in a Plan Year beginning after December 31, 2001, the annual compensation limit described in this Section 7.1 for determination periods beginning before January 1, 2002 shall be $150,000 for any determination period beginning in 1996 or earlier; $160,000 for any determination period beginning in 1997, 1998, or 1999; and $170,000 for any determination period beginning in 2000 or 2001. "Effective Date" means, unless otherwise indicated herein, February 15, 2011. "Eligible Employee" means an Employee who fulfills the requirements of Section 1.1. "Employee" means an employee of the Employer. "Employer" means the City of La Quinta, which has adopted this Plan. "Final Pay" means the Member's rate of base annual salary as of June 30, 2011, modified to exclude longevity pay, differential pay, special duty pay, special assignment pay, educational incentive pay, and Ca1PERS Employer Paid Member Contributions (EPMC), if applicable. "Member" means an Employee eligible to receive benefits under this Plan. "Normal Form of Benefit" is the form of benefit described in Section 4.1. "Normal Retirement Age" shall be age sixty-two (62) and meeting the requirements of Section I. L "Plan" means the City of La Quinta Fiscally Responsible Retirement Plan. "Plan Administrator" means the individual or position designated by the Employer to act on behalf of the Employer in matters relating to this Plan. If no designation is made, the Employer shall be the Plan Administrator. If a Plan Administrator has been appointed the word "Employer" as used in this Plan, shall mean Plan Administrator unless the context indicates a different meaning is intended. -30- NB L 790408.2 0323 "Plan Year" means the consecutive twelve-month period beginning on July 1 and ending on June 30. "Public Agency" means an employer authorized under California Government Code Article 1.5, sections 53215 through 53224 to establish a pension trust. "Regulations" means the regulations adopted or proposed by the Department of Treasury from time to time pursuant to the Code. "Retirement Benefits" means the benefits payable to the Member following retirement, as described in Article II. "Trust" means the qualified trust established to hold the assets of the Plan. "Trustee" means the trustee of the Trust. "Vested" means the nonforfeitable portion, of any account maintained on behalf of a Member. "Year of Participation" means any year in which an employee is an Employee of the Employer. -31- N 131: 7904092 0324 ADOPTION OF THE CITY OF LA QUINTA SUPPLEMENTARY RETIREMENT PLAN The City of La Quinta Fiscally Responsible Retirement Plan is hereby adopted effective February 15, 2011. LIN Title: Date: NBl : 7904082 0325 ATTACHMENT 5 AGREEMENT FOR ADMINISTRATIVE SERVICES This Agreement for Administrative Services ("Agreement") is made this day of 2011, between Phase 11 Systems, a corporation organized and existing under the laws of the State of California, doing business as Public Agency Retirement Services (hereinafter "PARS") and the City of La Quinta ("Agency"). WHEREAS, Agency is desirous of retaining PARS, as Trust Administrator to the PARS Trust, to provide administrative and consulting services with respect to the qualified and non -qualified City of La Quinta PARS Supplementary Retirement Plan (the "Plan"). NOW THEREFORE, the parties agree: I. Services. PARS will provide the services pertaining to the Plan as described in the exhibit attached hereto as "Exhibit ]A" ("Services") in a timely manner, subject to the further provisions of this Agreement. 2. Fees for Services. PARS will be compensated for performance of the Services as described in the exhibit attached hereto as "Exhibit I B". 3. Payment Terms. Payment for the Services will be remitted directly from Plan assets unless otherwise stated in Exhibit I B. In the event that the Agency chooses to make payment directly to PARS, it shall be the responsibility of the Agency to remit payment directly to PARS based upon an invoice prepared by PARS and delivered to the Agency. If payment is not received by PARS within thirty (30) days of the invoice delivery date, the balance due shall bear interest at the rate of 1.5% per month. If payment is not received from the Agency within sixty (60) days of the invoice delivery date, payment plus accrued interest will be remitted directly from Plan assets, unless PARS has previously received written communication disputing the subject invoice that is signed by a duly authorized representative of the Agency. 4. Fees for Services Beyond Scope. Fees for services beyond those specified in this Agreement will be billed to the Agency at the rates indicated in the PARS standard fee schedule in effect at the time the services are provided and shall be payable as described in Section 3 of this Agreement. Before any such services are performed, PARS will provide the Agency with written notice of the subject services, terms, and an estimate of the fees therefore. 5. Information Furnished to PARS. PARS will provide the Services contingent upon the Agency's providing PARS the information specified in the exhibit attached hereto as "Exhibit lC"("Data"). It shall be the responsibility of the Agency to certify the accuracy, content and completeness of the Data so that PARS may rely on such information without further audit. It shall further be the responsibility of the Agency to deliver the Data to PARS in such a manner that allows for a reasonable amount of time for the Services to be performed. Except as specified in Exhibit IA, PARS shall be under no additional duty to question Data received from the Agency, to compute contributions made to the Plan, to determine or inquire whether contributions are adequate to meet and discharge liabilities under the Plan, or to determine or inquire whether contributions made to the Plan are in compliance with the Plan or applicable law. In addition, PARS shall not be liable for nonperformance of Services if such non-performance is caused by or results from erroneous and/or late delivery of Data from the Agency. In the event that the Agency fails to provide Data in a complete, accurate and timely manner and pursuant to the specifications in Exhibit I C, PARS (� //�� f� 034�' reserves the right, notwithstanding the further provisions of this Agreement, to terminate this Agreement upon no less than ninety (90) days written notice to the Agency. 6. Suspension of Contributions. In the event contributions are suspended, either temporarily or permanently, prior to the complete discharge of PARS' obligations under this Agreement, PARS reserves the right to bill the Agency for Services under this Agreement actually completed and accepted by Agency at the rates indicated in PARS' standard fee schedule in effect at the time the services are provided, subject to the terms established in Section 3 of this Agreement. Before any such services are performed, PARS will provide the Agency with written notice of the subject services, terms, and an estimate of the fees therefore. 7. Records. During the term of this Agreement, and for a period of five (5) years after termination of this Agreement, PARS shall provide duly authorized representatives of the Agency access to all records and material relating to calculation of PARS' fees under this Agreement. Such access shall include the right to inspect, audit and reproduce such records and material and to verify reports furnished in compliance with the provisions of this Agreement. All information so obtained shall be accorded confidential treatment as provided under applicable law. 8. Confidentiality. Without the Agency's consent, PARS shall not disclose any information relating to the Plan except to duly authorized officials of the Agency and to parties retained by PARS to perform specific services within this Agreement. The Agency shall not disclose any information relating to the Plan to individuals not employed by the Agency without the prior written consent of PARS, except as such disclosures may be required by applicable lawor where such disclosure is made to the Agency's attorneys (including attorneys not employed by the Agency) to enable such attorneys to advise the Agency with respect to the Plan or any matter related to the Plan. 9. Independent Contractor. PARS is and at all times hereunder shall be an independent contractor. As such, neither the Agency nor any of its officers, employees or agents shall have the power to control the conduct of PARS, its officers, employees or agents, except as specifically set forth and provided for herein. PARS shall pay all wages, salaries and other amounts due its employees in connection with this Agreement and shall be responsible for all reports and obligations respecting them, such as social security, income tax withholding, unemployment compensation, workers' compensation and similar matters. 10. Professional Liability Insurance. During the term of this agreement, PARS will maintain at coverage levels appropriate for this Plan, professional liability insurance covering the services to be provided under this Agreement. 11. Indemnification. PARS and Agency hereby indemnify each other and hold the other harmless, including their respective officers, directors, employees, agents and attorneys, from any claim, loss, demand, liability, or expense, including reasonable attorneys' fees and costs, incurred by the other as a consequence of PARS' or Agency's, as the case may be, acts, errors, or omissions with respect to the performance of their respective duties hereunder, which duties expressly exclude any duty of PARS to submit any application for a determination letter of any kind with respect to the Plan to the IRS. If Agency submits an application to the IRS with respect to the Plan, the Agency shall indemnify and hold PARS harmless from any claim, loss, demand, liability, or expense, including reasonable attorney's fees, incurred by PARS that was caused by either the filing of such application to the IRS with respect to the Plan or a ruling or other action by the IRS 0327 with respect to such application, provided that such claim, loss, demand, liability, or expense is made by, or incurred as a result of, a claim by a participant/beneficiary of the Plan and/or the Agency and no other person or entity,. 12. Compliance with Applicable Law. The Agency shall observe and comply with federal, state and local laws in effect when this Agreement is executed, or which may come into effect during the term of this Agreement, regarding the administration of the Plan. PARS shall observe and comply with federal, state and local laws in effect when this Agreement is executed, or which may come into effect during the term of this Agreement, regarding Plan administrative services provided under this Agreement. 13, Applicable Law. This Agreement shall be 'governed by and construed in accordance with the laws of the State of California. In the event any party institutes legal proceedings to enforce or interpret this Agreement, venue and jurisdiction shall be in any state court of competent jurisdiction. 14. Force Majeure. When satisfactory evidence of a cause beyond a party's control is presented to the other party, and nonperformance was unforeseeable, beyond the control and not due to the fault of the party not performing, a party shall be excused from performing its obligations under this Agreement during the time and to the extent that it is prevented from performing by such cause, including but not limited to: any incidence of fire, flood, acts of God, acts of terrorism or war, commandeering of material, products, plants or facilities by the federal, state or local government, or a material act or omission by the other party. 15. Ownership of Reports and Documents. The originals of all letters, documents, reports, and data produced for the purposes of this Agreement shall be delivered to, and become the property of the Agency. Copies may be made for PARS but shall not be furnished to others without written authorization from Agency. 16. Records Retention. After the termination of this Agreement, PARS will retain all books, records, ledgers, journals, correspondence and documents in its possession, whether in hard copy or in an electronic format, relating to the Plan for such periods as the Agency and/or the Plan is required to retain such records by applicable law, but in no event for a period ending prior to the date that is six (6) years after all benefits under the Plan have been transferred or distributed. PARS will cooperate in providing to the Agency such information or copies of materials in its possession relating to the Plan as requested by the Agency. 17. Designees. The Plan Administrator of the Agency, or his/her designee, shall have the authority to act for and exercise any of the rights of the Agency as set forth in this Agreement, subsequent to and in accordance with the written authority granted by the Governing Body of the Agency, a copy of which writing shall be delivered to PARS. Any officer of PARS, or his or her designees, shall have the authority to act for and exercise any of the rights of PARS as set forth in this Agreement. 18. Cooperation with Successor. PARS shall cooperate in good faith with the Agency and any successor Trust Administrator in the conversion of the Plan to a new Trust Administrator. PARS will use reasonable efforts to transfer all relevant information concerning the Plan to the Agency or to a successor Trust Administrator. Should the termination of services be concurrent with a termination of the Plan, PARS will use reasonable efforts to dispose of participant's benefits per 0328 328 the Agency's and, as appropriate, the participants' instructions. PARS shall be paid a termination fee based on the current schedule of termination fees in place at the time of termination of service, if any. If the Plan is funded by a lump sum payment, PARS will not be entitled to a termination fee. 19. Notices. All notices hereunder and communications regarding the interpretation of the terms of this Agreement, or changes thereto, shall be effected by delivery of the notices in person or by depositing the notices in the U.S. mail, registered or certified mail, return receipt requested, postage prepaid and addressed as follows: (A) To PARS: PARS 4350 Von Karman Avenue, Suite 100 Newport Beach, CA 92660 Attention: President (B) To Agency: City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attention: City Manager Notices shall be deemed given on the date received by the addressee. 20. Term of Agreement. This Agreement shall remain in effect for the period beginning April 19, 2011 and ending June 30, 2015 ("Term"). This Agreement will continue unchanged for successive twelve-month periods following the Term unless either party gives written notice to the other party of the intent to terminate prior to ninety (90) days before the end of the Term. 21. Amendment. This Agreement may not be amended orally, but only by a written instrument executed by the parties hereto. 22. Entire Agreement. This Agreement, including exhibits, contains the entire understanding of the parties with respect to the subject matter set forth in this Agreement. In the event a conflict arises between the parties with respect to any term, condition or provision of this Agreement, the remaining terms, conditions and provisions shall remain in full force and legal effect. No waiver of any term or condition of this Agreement by any party shall be construed by the other as a continuing waiver of such term or condition. 23. Provisions That Survive Termination. The following provisions of this Agreement will survive the termination of this Agreement: (A) The indemnification provisions for both the Agency and PARS; (B) PARS' obligation to cooperate in good faith with the Agency and/or successor Trust Administrator; and (C) PARS' obligation to retain and provide documents. 0329 24. Attorney's Fees. In the event any action is taken by a party hereto to enforce the terms of this Agreement, the prevailing party therein shall be entitled to receive its reasonable attorney's fees. 25. Counterparts. This Agreement may be executed in any number of counterparts, and in that event, each counterpart shall be deemed a complete original and be enforceable without reference to any other counterpart. 26. Headings. Headings in this Agreement are for convenience only and shall not be used to interpret or construe its provisions. 27. Effective Date. This Agreement shall be effective on the date first above written, and also shall be the date the Agreement is executed. AGENCY: BY: TITLE:City Manager DATE: PARS: BY: TITLE: DATE: 0330 EXHIBIT IA SERVICES PARS will provide the following services for the City of La Quinta: Plan Consultation Services: (A) Meeting with Agency personnel to discuss the impact to the Agency of implementing a Plan; (B) If appropriate, completing a fiscal analysis, based on data and assumptions provided by Agency, to determine the fiscal feasibility of a Plan; (C) Meeting with Agency personnel to discuss the fiscal analysis and receive feedback on the analysis, data, and assumptions made; (D) Making appropriate revisions to the fiscal analysis as directed by Agency. 2. Plan Installation Services: (A) Meeting with appropriate Agency personnel to discuss plan provisions,. implementation timelines, benefit communication strategies, data reporting and contribution submission requirements; (B) Providing the necessary analysis and advisory services to finalize these elements of the Plan; (C) Providing the documentation needed to establish the Plan for review by Agency legal counsel, with the exception of the Plan document which shall be provided by Agency legal counsel. 3. Plan Administration Services: (A) Monitoring the receipt of Plan contributions made by the Agency to the trustee of the PARS Trust Program ("Trustee"), based upon information received from the Agency and the Trustee; (B) Performing periodic accounting of Plan assets, including the allocation of employer contributions, distributions, investment activity and expenses (if applicable), based upon information received from the Agency and/or Trustee; (C) Acting as ongoing liaison between the Participant and the Agency in regard to distribution payments, which shall include use by the Participants of toll -free telephone communication to PARS; (D) Producing benefit illustrations and processing enrollments; 0331 (E) Coordinating the processing of Participant distribution payments pursuant to authorized written Agency certification of distribution eligibility, authorized direction by the Agency, and the provisions of the Plan, and, to the extent possible, based upon Agency - provided Data; (F) Directing Trustee to liquidate Plan assets (if necessary) and make Participant distribution payments, and producing required tax filings regarding said distribution payments; (G) Notifying the Trustee of the amount of Plan assets available for further investment and management, or, the amount of Plan assets necessary to be liquidated in order to fund Participant distribution payments; (H) Coordinating actions with the Trustee as directed by the Plan Administrator within the scope this Agreement; (I) Preparing and submitting a report of Plan activity to the Agency, unless directed by the Agency otherwise; (J) Coordinating and selecting of a licensed actuary to perform actuarial valuation, if required, on a periodic basis to comply with state and federal laws (the actuarial certification fee for which shall be paid by the Agency). (K) Preparing and submitting the Annual Report of Financial Transactions to the California State Controller, as required by law, for the PARS Trust Program, including the required certified audit of the PARS Trust. 4. Plan Compliance Services: Coordinating and preparing changes to the Trust, Plan and other associated legal documents required by federal and state agencies to maintain the Plan in compliance for review by Agency legal counsel. 5. PARS is not licensed to provide and does not offer tax, accounting, legal, investment or actuarial advice. In providing the services specified above, PARS will retain qualified professional service providers at its cost as it deems necessary if the service lies outside its area of expertise. 6. Any analysis provided by PARS is subject to the receipt of accurate information and assumptions as may be provided by Agency. The Agency is responsible for integrating the PARS analysis into any Agency budgetary analysis or decision -making processes. The fiscal projections in the PARS analysis are dependent upon future experience conforming to the assumptions used and the results will be altered to the extent that future experience deviates from these assumptions. It is certain that actual experience will not conform exactly to the assumptions used in the analysis. 0332 EXHIBIT I FEES FOR SERVICES PARS will be compensated for performance of Services, as described in Exhibit IA based upon the following schedule: 1. Upon implementation of the Plan associated with this Agreement, the Agency agrees to pay: (A) An ongoing administration fee equal to five and one-half percent (5.50%) of all contributions made by the Agency on behalf of participants in the subject Plan, subject to a $5,000.00 minimum per year for five years. Fees will be billed to the Trustee as contributions are made by the Agency, and it will be the responsibility of the Trustee to pay those fees from the assets of the Plan. These fees are exclusive of Trustee and investment management fees, which are based on the standard fees charged by the Trustee. Trust Administrator must obtain the Agency's Plan Administrator approval before directing Trustee to pay such fees. (B) A fee equal to actuarial expenses, if any, charged to PARS by an outside contractor for an actuarial valuation of the Agency's Plan ("Actuarial Valuation Fee"). (C) A fee equal to the stated legal fees related to any ongoing federal and/or state required Plan compliance changes. Such fees will not be charged to the Agency without prior authorization by the Plan Administrator. 2. In the event that the Plan associated with this Agreement is not implemented, the Agency agrees to pay a one-time fee equal to $5,000.00. The fee will be billed to the Agency upon notice of cancellation of the Plan and it will be the responsibility of the Agency to pay this fee. 0333 EXHIBIT I C DATA REQUIREMENTS PARS will provide the Services under this Agreement contingent upon receiving the following information: I. Participant Data (provided by Agency): (A)Participant's Legal Name (B) Participant's Position (C) Participant's Address (D)Participant's Birth Date (E) Participant's Hire Date (F) Participant's Contract Salary (G)Years of Agency Service (H)Retirement Date 2. Executed Legal Documents (provided by Agency): (A) Certified Resolution (B). Adoption Agreement (C) Plan Document (D) Trustee Investment Forms 3. Completed Funding Documents (provided by Agency): (A) Authorization to Pay Benefits Form (B) Funding of PARS Supplementary Retirement Plan Form 4. Completed Enrollment Forms (timely submitted by Participant): (A) Correction Form (B) Enrollment Form (C) Beneficiary Designation Form (D) Tax Withholding Request Form (E) Letter of Resignation 5. Other information pertinent to the Services as reasonably requested by PARS. 0334 ATTACHMENT 6 TRUST AGREEMENT 0335 PREAMBLE The Huntington Beach City School District and State Center Community College District formed and adopted the Trust (the "Trust") on July 1, 1991 ("Effective Date"). Subsequent to the Effective Date other California public agencies adopted the Trust as the funding vehicle for tax qualified retirement plans for employees. Subsequent to the Effective Date the Trust was amended. Effective as of July 1, 1999 ("Amended Effective Date") the Trust was amended and restated in its entirety as contained herein. This amended and restated Trust shall supersede all prior versions of the Trust as of the Amended Effective Date. 0336 TABLE OF CONTENTS ARTICLE PAGE ARTICLE I DEFINITIONS.............................................................. 1 ARTICLE II THE TRUST PROGRAM ........................................... 2 ARTICLE III ADMINISTRATIVE MATTERS ............................... 6 ARTICLE IV THE TRUSTEE............................................................ 11 ARTICLE V INVESTMENTS........................................................... 17 ARTICLE VI FIDUCIARY RESPONSIBILITIES ........................... 25 ARTICLE VII AMENDMENT, TERMINATION AND MERGER. 28 ARTICLE VIII MISCELLANEOUS PROVISIONS ........................... 30 ARTICLE IX ACKNOWLEDGMENT AND ACCEPTANCE ....... 32 0331 ii ARTICLE I DEFINITIONS 1.1 "Act" shall mean California Government Code Sections 53215 — 53224, or their successor sections. 1.2 "Agreement for Administrative Services" shall mean the agreement executed between the Member Agency and the Trust Administrator which authorizes the Trust Administrator to perform specific duties of administering the Member Agency Plan and related Agency Trust. 1.3 "Amended Effective Date" shall mean July 1, 1999, the date the Trust Agreement was amended and restated in its entirety 1.4 "Assets" shall mean all contributions and transfers of assets received by an Agency Trust on behalf of a Member Agency's Plan, together with the income and earnings from such contributions and transfers and any increments accruing to them. 1.5 "Agency Trust" shall mean the legally separate and individual trust, whose provisions are identical to those of the Trust Agreement that is established by a Member Agency when it adopts the Trust by executing an Adoption Agreement. 1.6 "Alternate Trustee" shall mean a trustee, other than the Trustee of the Trust Program, appointed by a Member Agency to serve as a trustee of a portion of such Agency Trust's assets as to which the Trustee serves as custodian. 1.7 "Code" shall mean the Internal Revenue Code of 1986 as amended from time to time. 1.8 "Custodian" shall mean Union Bank of California, N.A. whose duties are limited to those specified in Section 4.3. 1.9 "Delegatee" shall mean an individual or entity, appointed by the Plan Administrator or Member Agency to act in such matters as are specified in the appointment. 1.10 "Effective Date" shall mean July 1, 1991, the date the Trust Program was established. 1.11 "Investment Fiduciary" shall mean the fiduciary with the authority and duty to direct the investment and management (including the power to direct the 0338 acquisition and disposition) of some or all of the Assets of the Agency Trust appointed by a Member Agency for its Agency Trust. 1.12 "Omnibus Account" shall mean an account, established for recordkeeping purposes only, to commingle the Assets of the Agency Trust. 1.13 "Member Agency" shall mean a California public agency that adopts the provisions of the Trust Agreement. 1.14 "Plan" shall mean the tax qualified plan whose assets the Agency Trust holds. 1.15 "Plan Administrator" shall mean the individual designated by position of employment at the Member Agency to act on its behalf in all matters relating to the Member Agency's participation in the Trust Program and Agency Trust. 1.16 "Trust Agreement" shall mean the pro forma trust document adopted by each Member Agency upon execution of an Adoption Agreement, as amended from time to time. 1.17 "Trust Program" shall mean the trust arrangement. 1.18 "Participant" shall mean individual participating in a Member Agency Plan or that individual's beneficiary. 1.19 "Trust Administrator" shall mean the entity that provides the services of the Trust Administrator as described herein. 1.20 "Trustee" shall mean the entity appointed as trustee of the Trust that shall also serve as trustee of each Agency Trust established pursuant to the provisions of this Trust Agreement except where an Alternate Trustee has been appointed. ARTICLE II THE TRUST PROGRAM 2.1 Multiple Employer Trust The Trust Program is a multiple employer trust arrangement established to provide economies of scale and efficiency administration to public agencies that adopt it to hold the assets of their Member Agency Plans maintained for the benefit of their employees. The Trust Program consists of the Agency Trusts adopted and not terminated by Member Agencies. 2 0339 2.2 Qualified Governmental Retirement Trust The Trust Program is established pursuant to the provisions of Section 501 of the Internal Revenue Code of 1986, as amended (the "Code"), and California Government Code Sections 53215 through 53224 providing for pension trusts established by public agencies. 2.3 Date of Adoption The date as of which each Member Agency adopts the Trust Program shall be the "Effective Date" of the Trust Agreement and the Agency Trust, as defined in Section 2.5, as to that Member Agency. 2.4 Member Agencies Any California public agency may, by action of its governing body in a writing accepted by the Trustee, adopt the provisions of the Trust Agreement as the trust portion of a qualified governmental retirement plan established for the benefit of its employees. Executing an adoption instrument for the Trust Program ("Adoption Agreement"), attached hereto as Exhibit "A", shall constitute such adoption, unless the Trustee requires additional evidence of adoption. In order for such adoption to be effective, the public agency must also execute an Agreement for Administrative Services with the Trust Administrator, pursuant to section 3.6 of this Trust Agreement. Such adopting employer shall then become a Member Agency of the Trust Program. Each such Member Agency shall, at a minimum, furnish the Trust Administrator with the following documents to support its adoption of the Trust Program: (a) a certified copy of the Member Agency governing body resolution authorizing the adoption of the Trust Agreement and the appointment of an individual designated by position of employment at the Member Agency to act on its behalf in all matters relating to the Member Agency's participation in the Trust Program and Agency Trust ("Plan Administrator"); (b) an original of the Adoption Agreement executed by the Plan Administrator or other duly authorized Member Agency employee; (c) an original of the Agreement for Administrative Services with the Trust Administrator executed by the Plan Administrator or other duly authorized Member Agency employee and the Trust Administrator; 3 0340 (d) an address notice; and (e) such other documents as the Trustee may reasonably request. 2.5 Agency Trust By adopting the Trust Agreement, as provided in Section 2.4, a Member Agency shall be deemed to have adopted a legally separate and individual Agency Trust whose provisions are identical to those of the Trust Agreement. The Assets of an Agency Trust shall be available only to pay benefits pursuant to the provisions of the Plan to participants and beneficiaries of the Member Agency entitled to receive benefits under the provisions of the Plan. The Agency Trust is created for the purpose of receiving contributions made to fund the Member Agency's Plan; accumulating, managing and investing those contributions; and providing benefits to active or retired participants of the Plan, their joint annuitants, or their beneficiaries. Each Agency Trust shall be used to fund only a single Plan maintained by the Member Agency. A Member Agency may establish additional Agency Trusts to fund the assets of additional Plans by executing one or more additional Adoption Agreement(s). 2.6 Assets of Agency Trust The assets of the Agency Trust shall consist of all contributions and transfers received by the Agency Trust on behalf of the Member Agency's Plan, together with the income and earnings from such contributions and transfers, and any increments accruing to them ("Assets"). All contributions or transfers shall be received by the Trustee in cash or in other property acceptable to the Trustee. The Trustee shall manage and administer the Assets of the Agency Trust without distinction between principal and income. The Trustee and the Trust Administrator shall have no duty to compute any amount to be transferred or paid to the Agency Trust by the Member Agency and the Trustee and the Trust Administrator shall not be responsible for the collection of any contributions or transfers to the Agency Trust. 2.7 Commingling for Investment and Administration The Assets of more than one Agency Trust may be commingled by the Trustee or Investment Fiduciary in one or more Omnibus Accounts for investment and administrative purposes, to provide economies of scale and efficiency of administration to the Agency Trusts. The responsibility for Plan level accounting within this Omnibus Account(s) shall be that of the Trust Administrator. 0341 2.8 Trustee Accounting The Trustee shall be responsible only for maintaining records and maintaining accounts for the aggregate assets of the Trust Program. The responsibility for Plan level accounting for each Agency Trust, based upon the Omnibus Account(s), shall be that of the Trust Administrator. 2.9 No Diversion of Assets The Assets in each Agency Trust shall be held in trust for the exclusive purpose of providing benefits to the Participants of the Plan for which the Agency Trust is holding assets and defraying the reasonable expenses of such Plan. The Assets shall not be used for or diverted to, any other purpose. 2.10 Type and Nature of Trust Neither the full faith and credit nor the taxing power of each Member Agency, the State of California or any political subdivision thereof other than each Member Agency is pledged to the distribution of benefits hereunder. Except for contributions and other amounts hereunder, no other amounts are pledged to the distribution of benefits hereunder. Distributions of benefits are neither general nor special obligations of any Member Agency, but are payable solely from the Assets of each Agency Trust, as more fully described herein. No employee of any Member Agency or beneficiary may compel the exercise of the taxing power by any Member Agency. Distributions of Assets under any Agency Trust are not debts of any Member Agency, the State of California or any of its political subdivisions within the meaning of any constitutional or statutory limitation or restriction. Such distributions are not legal or equitable pledges, charges, liens or encumbrances, upon any of a Member Agency's property, or upon any of its income, receipts, or revenues, except amounts in the accounts which are, under the terms of each Plan, Agency Trust and the Act, set aside for distributions. Neither the members of the legislative body of any Member Agency nor its officers, employees, agents or volunteers are liable hereunder. 5 0342 ARTICLE III ADMINISTRATIVE MATTERS 3.1 Appointment of Trustee Two-thirds or more of the Member Agencies acting jointly, may by a two-thirds or greater vote, act to appoint a bank, trust company, retirement board, insurer, committee or such other entity as permitted by California law, to serve as the trustee of the Trust Program ("Trustee"). Such action must be in writing. Upon the written acceptance of such entity, it shall become the Trustee of the Trust Program and, subject to the provisions of Section 3.10, the trustee of each Agency Trust. By executing an Adoption Agreement, the adopting Member Agency hereunder appoints the Union Bank of California, N.A. as the Trustee as of the Amended Effective Date. 3.2 Removal of Trustee Two-thirds or more of the Member Agencies acting jointly, may by a vote of two- thirds or greater, act to remove the Trustee. Such action must be in writing and delivered to the Trustee and the Trust Administrator. Upon such removal from the Trust the Trustee shall also be removed as trustee of each of the Agency Trusts. The Plan Administrator may remove the Trustee as trustee of an Agency Trust by giving at least ninety (90) days prior written notice to the Trustee and the Trust Administrator and withdrawing from the Trust Program. 3.3 Resignation of Trustee The Trustee may resign as trustee of the Trust Program at any time by giving at least ninety (90) days prior written notice to the Trust Administrator and to each Plan Administrator of each Member Agency that has adopted the Trust Agreement and not terminated its participation in the Trust Program. Such resignation shall also be deemed a resignation as trustee of each of the Agency Trusts. The Trustee may resign as trustee of an Agency Trust by giving at least ninety (90) days written notice to the Plan Administrator of such Agency Trust and to the Trust Administrator. The Member Agency's appointment of a successor trustee to the Agency Trust will vest the successor trustee with title to the Assets of its Agency Trust upon the successor trustee's acceptance of such appointment. 3.4 The Plan Administrator The governing body of each Member Agency shall have plenary authority for the administration and investment of the Agency Trust pursuant to the laws and 6 0343 Constitution of the State of California and applicable federal laws and regulations. Each Member Agency shall by resolution designate a Plan Administrator. Unless otherwise specified in the instrument the Plan Administrator shall be deemed to have authority to act on behalf of the Member Agency in all matters pertaining to the Member Agency's participation in the Trust Program and in regard to the Agency Trust of the Member Agency. Such appointment of a Plan Administrator shall be effective upon receipt and acknowledgment by the Trustee and the Trust Administrator and shall be effective until the Trustee and Trust Administrator are furnished with a resolution of the Member Agency that the appointment has been modified or terminated. 3.5 Failure to Appoint Plan Administrator If a Plan Administrator is not appointed, or such appointment lapses, the Member Agency shall be deemed to be the Plan Administrator. As used in this document, Plan Administrator shall be deemed to mean Member Agency when a Plan Administrator has not been appointed. 3.6 Delegatee The Plan Administrator, acting on behalf of the Member Agency, may delegate certain authority, powers and duties to an entity to act in those matters specified in the delegation ("Delegatee"). Any such delegation must be in a writing that names and identifies the Delegatee, states the effective date of the delegation, specifies the authority and duties delegated, is executed by the Plan Administrator and is acknowledged in writing by the Delegatee, the Trust Administrator (if not the Delegatee) and the Trustee. Such delegation shall be effective until the Trustee and the Trust Administrator are directed in writing by the Plan Administrator that the delegation has been rescinded or modified. 3.7 Certification to Trustee The governing body of each Member Agency, or other duly authorized official, shall certify in writing to the Trustee and the Trust Administrator the names and specimen signatures of the Plan Administrator and Delegatee, if any, and all others authorized to act on behalf of the Member Agency whose names and specimen signatures shall be kept accurate by the Member Agency acting through a duly authorized official or governing body of the Member Agency. The Trustee and the Trust Administrator shall have no liability if it acts upon the direction of a Plan Administrator or Delegatee that has been duly authorized, as provided in Section 3.6, if that Plan Administrator or Delegatee is no longer authorized to act, unless the Member Agency has informed the Trustee and the Trust Administrator of such change. 7 0344 3.8 Directions to Trustee Except as provided in Section 5.18 of this Trust Agreement, all directions to the Trustee from the Plan Administrator or Delegatee must be in writing and must be signed by the Plan Administrator or Delegatee, as the case may be. For all purposes of this Trust Agreement, direction shall include any certification, notice, authorization, application or instruction of the Plan Administrator, Delegatee or Trustee appropriately communicated. The above notwithstanding direction may be implied if the Plan Administrator or Delegatee has knowledge of the Trustee's intentions and fails to file written objection. The Trustee shall have the power and duty to comply promptly with all proper direction of the Plan Administrator, or Delegatee, appointed in accordance with the provisions of this Trust Agreement. In the case of any direction deemed by the Trustee to be unclear or ambiguous the Trustee may seek written instructions from the Plan Administrator, the Agency or the Delegatee on such matter and await their written instructions without incurring any liability. If at any time the Plan Administrator or the Delegatee should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of the Trust Program and/or any Agency Trust which may include not taking any action. The Trustee may request directions or clarification of directions received and may delay acting until clarification is received. In the absence of timely direction or clarification, or if the Trustee considers any direction to be a violation of the Trust Agreement or any applicable law, the Trustee shall in its sole discretion take appropriate action, or refuse to act upon a direction. 3.9 Alternate Trustee A Member Agency may appoint a trustee, other than the Trustee, as to a portion of the assets in the Agency Trust by designating such person or entity as an Alternate Trustee on the Adoption Agreement and by specifying which assets shall be subject to the fiduciary management of the Alternate Trustee. Such appointment shall not be effective unless it is in writing, specifies clearly the assets as to which the Alternate Trustee is to have trustee powers, is acknowledged in writing by the Alternate Trustee, is delivered to and acknowledged by the Trustee and the Trust Administrator. Only a bank, trust company, retirement board, insurer, the Member Agency or such entity as permitted by California law to be a trustee may be appointed an Alternate Trustee. Such appointment will become effective upon acceptance by the Alternate Trustee. 8 0345 3.10 Powers of Alternate Trustee The Alternate Trustee shall be deemed to have all of the powers and duties and responsibilities specified in the Trust Agreement for the Trustee in Article IV unless otherwise specified in the Adoption Agreement. 3.11 Responsibility of Trustee Upon Appointment of Alternate Trustee Upon the appointment of an Alternate Trustee, the Trustee shall have no liability or responsibility for any matters relating to the management, investment or administration of those assets as to which the Alternate Trustee has been appointed and shall only have the duties set forth in Section 4.3. 3.12 Trust Administrator The Member Agencies have appointed as the Trust Administrator. The Trust Administrator has accepted its appointment subject to each Member Agency's delegation of authority, to act as such, pursuant to Section 3.6 of this Trust Agreement. The Trust Administrator's duties involve the performance of the following services pursuant to the provisions of this Trust Agreement and the Agreement of Administrative Services: (a) Performing periodic accounting of the Agency Trust; (b) Directing the Trustee to make distributions from the Agency Trust to Participants pursuant to the provisions of the Member Agency's Plan and liquidate assets in order to make such distributions; (c) Notifying the Investment Fiduciary of the amount of Assets in the Agency Trust available for further investment and management by the Investment Fiduciary; (d) Allocating contributions, earnings and expenses to each Agency Trust; (e) Directing the Trustee to pay insurance premiums, to pay the fees of the Trust Administrator and to do such other acts as shall be appropriate to carry out the intent of the Agency Trusts; and (f) Such other services as the Member Agency and the Trust Administrator may agree in the Agreement for Administrative Services pursuant to Section 2.4. 9 0346 3.13 The Trust Administrator shall be entitled to rely on, and shall be under no duty to question, direction and/or data received from the Plan Administrator, or other duly authorized entity, in order to perform its authorized duties under this trust agreement. The Trust Administrator shall not have any duty to compute contributions made to the Agency Trust, determine or inquire whether contributions made to the Agency Trust by the Plan Administrator or other duly authorized entity are adequate to meet and discharge liabilities under the Plan; or determine or inquire whether contributions made to the Agency Trust are in compliance with the Plan; The Trust Administrator shall not be liable for non performance of duties if such non performance is directly caused by erroneous, and/or late delivery of, directions or data from the Plan Administrator, or other duly authorized entity. 3.14 Additional Trust Administrator Services The Plan Administrator may at any time retain the Trust Administrator as its agent to perform any act, keep any records or accounts and make any computations which are required of the Member Agency or the Plan Administrator by this Trust Agreement or by the Member Agency's Plan. The Trust Administrator shall be separately compensated for such service and such services shall not be deemed to be contrary to the Trust Agreement. 3.15 Trust Administrator's Compensation As may be agreed upon from time to time by the Member Agency and Trust Administrator, the Trust Administrator will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties with respect to the Agency Trust and to the Trust Program in accordance with Section 53217 of the Act. 3.16 Resignation of Removal of Trust Administrator The Trust Administrator may resign at any time by giving at least one hundred twenty (120) days written notice to each Member Agency of the Trust Program and the Trustee. The Member Agencies, by a two-thirds or greater vote, may remove the Trust Administrator by delivering, at least one hundred twenty (120) days prior to the effective date of such removal, written notice to the Trust Administrator and to the Trustee. 0341 10 ARTICLE IV THE TRUSTEE 4.1 Powers and Duties of the Trustee Except as otherwise provided in Article V and subject to Article VI, the Trustee shall have full power and authority with respect to property held in the Agency Trust to do all such acts, take all proceedings, and exercise all such rights and privileges, whether specifically referred to or not in this document, as could be done, taken or exercised by the absolute owner, including, without limitation, the following: (a) To invest and reinvest the Assets or any part hereof in any one or more kind, type, class, item or parcel of property, real, personal or mixed, tangible or intangible; or in any one or more kind, type, class, item or issue of investment or security; or in any one or more kind, type, class or item of obligation, secured or unsecured; or in any combination of them. To retain the property for the period of time that the Trustee deems appropriate. (b) To acquire and sell options to buy securities ("call' options) and to acquire and sell options to sell securities ("put" options); (c) To buy, sell, assign, transfer, acquire, loan, lease (for any purpose, including mineral leases), exchange and in any other manner to acquire, manage, deal with and dispose of all or, any part of the Agency Trust property, for cash or credit and upon any reasonable terms and conditions; (d) To make deposits, with any bank or savings and loan institution, including any such facility of the Trustee or an affiliate thereof provided that the deposit bears a reasonable rate of interest; (e) To invest and reinvest the Assets, or any part thereof in any one or more collective investment trust funds, including common and group trust funds that consist exclusively of assets of exempt pension and profit sharing trusts and individual retirement accounts qualified and tax exempt under the Code, that are maintained by the Trustee or an affiliate thereof. The declaration of trust or plan of operations for any such common or collective fund is hereby incorporated herein and adopted into this Trust Agreement by this reference. The combining of money and other assets of the Agency Trust with money and other assets of other qualified trusts in such fund or funds is specifically authorized. Notwithstanding anything to the contrary in this trust agreement, the Trustee shall have full investment responsibility 11 0348 over assets of the trust invested in such commingled funds. If the plan and trust for any reason lose their tax exempt status, and the Assets have been commingled with assets of other tax exempt trusts in Trustee's collective investment funds, the Trustee shall within 30 days of notice of such loss of tax exempt status, liquidate the Agency Trust's units of the collective investment fund(s) and invest the proceeds in a money market fund pending investment or other instructions from the Plan Administrator. The Trustee shall not be liable for any loss or gain or taxes, if any, resulting from said liquidation; (f) To place uninvested cash and cash awaiting distribution in one or more mutual funds and/or commingled investment funds maintained by or made available by the Trustee, and to receive compensation from the sponsor of such fund(s) for services rendered, separate and apart from any Trustee's fees hereunder. Trustee or Trustee's affiliate may also be compensated for providing investment advisory services to any mutual fund or commingled investment funds; (g) To borrow money for the purposes of the Agency Trust from any source with or without giving security; to pay interest; to issue promissory notes and to secure the repayment thereof by pledging all or any part of the Assets; (h) To take all of the following actions as following actions as directed by the Investment Fiduciary or other person with investment discretion over the trust assets: to vote proxies of any stocks, bonds or other securities; to give general or special proxies or powers of attorney with or without power of substitution; to exercise any conversion privileges, subscription rights or other options and to make any payments incidental thereto; to consent to or otherwise participate in corporate reorganizations or other changes affecting corporate securities and to delegate discretionary powers and to pay any assessments or charges in connection therewith; and generally to exercise any of the powers of an owner with respect to stocks, bonds, securities or other property held in the Agency Trust; (i) To make, execute, acknowledge and deliver any and all documents of transfer and conveyance and any and all other instruments that may be necessary or appropriate to carry out the powers herein granted; (j) To raze or move existing buildings; to make ordinary or extraordinary repairs, alterations or additions in and to buildings; to construct buildings and other structures and to install fixtures and equipment therein; 0349 12 (k) To. pay or cause be paid from the Agency Trust any and all real or personal property taxes, income taxes or other taxes or assessments of any or all kinds levied or assessed upon or with respect to the Agency Trust or the Plan; (1) As directed by the Trust Administrator, to hold term or ordinary life insurance contracts on the lives of Participants (but in the case of conflict between any such contract and the Plan, the terms of the Plan shall prevail); to pay from the Agency Trust the premiums on such contracts; to distribute, surrender or otherwise dispose of such contracts; to pay the proceeds, if any, of such contracts to the proper persons in the event of the death of the insured Participant; to enter into, modify, renew and terminate annuity contracts of deposit administration of immediate participation or other group or individual type with one or more insurance companies and to pay or deposit all or any part of the Agency Trust Assets thereunder; to provide in any such contract for the investment of all or any part of funds so deposited with the insurance company in securities under separate accounts; to exercise and claim all rights and benefits granted to the contract holder by any such contracts; (m) To exercise all the further rights, powers, options and privileges granted, provided for, or vested in trustees generally under applicable federal or California laws, as amended from time to time, it being intended that, except as herein otherwise provided, the powers conferred upon the Trustee herein shall not be construed as being in limitation of any authority conferred by law, but shall be construed as consistent or in addition thereto. 4.2 Additional Trustee Powers In addition to the other powers enumerated above, and whether or not the Member Agency has retained investment authority or delegated it to an Investment Fiduciary or Participants in Participant Directed Accounts, the Trustee in any and all events is authorized and empowered: (a) To invest funds pending required directions in any type of interest -bearing account including without limitation, time certificates of deposit or interest - bearing accounts issued by Union Bank of California N.A., or any mutual fund or short term investment fund ("Fund"), whether sponsored or advised by Union Bank of California or any affiliate thereof, Union Bank of California, N.A. or its affiliate may be compensated for providing such investment advice and providing other services to such Fund, in addition to any Trustee's fees received pursuant to this Trust Agreement; 0350 13 (b) To cause all or any part of the Agency Trust to be held in the name of the Trustee (which in such instance need not disclose its fiduciary capacity) or, as permitted by law, in the name of any nominee, and to acquire for the Agency Trust any investment in bearer form, but the books and records of the Agency Trust shall at all times show that all such investments are a part of the Agency Trust and the Trustee shall hold evidences of title to all such investments; (c) To serve as sole custodian with respect to the Agency Trust Assets; (d) To employ such agents and counsel as may be reasonably necessary in managing and protecting the Assets and to pay them reasonable compensation; to employ any broker -dealer, including a broker -dealer affiliated with the Trustee, and pay to such broker -dealer at the expense of the Agency Trust, its standard commissions; to settle, compromise or abandon all claims and demands in favor of or against the Agency Trust; and to charge any premium on bonds purchased at par value to the principal of the Agency Trust without amortization from the Agency Trust, regardless of any law relating thereto; (e) In addition to the powers listed herein, to do all other acts necessary or desirable for the proper administration of the Agency Trust, as though the absolute owner thereof, (f) To abandon, compromise, contest, arbitrate or settle claims or demands; to prosecute, compromise and defend lawsuits, but without obligation to do so, all at the risk and expense of the Agency Trust; (g) To exercise and perform any and all of the other powers and duties specified in this Trust Agreement or the Plan; (h) To permit such inspections of documents at the principal office of the Trustee as are required by law, subpoena or demand by United States agency; (i) To comply with all requirements imposed by applicable provisions of law; (j) To seek written instructions from the Plan Administrator or other fiduciary on any matter and await their written instructions without incurring any liability. If at any time the Plan Administrator or the fiduciary should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of this Agency Trust; 14 0351 (k) As directed by the Plan Administrator or Delegatee if duly authorized, to cause the benefits provided under the Plan to be paid directly to the persons entitled thereto under the Plan, and in the amounts and in the manner specified, and to charge such payments against the Agency Trust with respect to which such benefits are payable; (1) To compensate such executive, consultant, actuarial, accounting, investment, appraisal, administrative, clerical, secretarial, medical, custodial, depository and legal firms, personnel and other employees or assistants as are engaged by the Plan Administrator in connection with the administration of the Plan and to pay from the Agency Trust the necessary expenses of such firms, personnel and assistants, to the extent not paid by the Plan Administrator; (m) To act upon proper written directions of the Plan Administrator or Delegatee, including directions given by photostatic transmissions using facsimile signature; (n) To pay from the Agency Trust the expenses reasonably incurred in the administration of the Agency Trust as provided in the Plan; and (o) To maintain insurance for such purposes, in such amounts and with such companies as the Plan Administrator shall elect, including insurance to cover liability or losses occurring by reason of the acts or omissions of fiduciaries but only if such insurance permits recourse by the insurer against the fiduciary in the case of a breach of a fiduciary obligation by such fiduciary. 4.3 Custodial Powers If an Alternate Trustee has been appointed pursuant to Section 3.9, Union Bank of California, N.A. ("Bank") as Custodian, shall only have the following responsibilities: (a) Keep records of all transactions entered into for the Agency Trust and furnish to Alternate Trustee statements no less frequently than quarterly showing all principal and income transactions and Agency Trust Assets, which shall be deemed ratified and approved by Alternate Trustee unless Custodian is advised to the contrary within ninety (90) days of Custodian's mailing thereof by first class mail to Alternate Trustee; 0352 15 (b) Receive payments of income and principal on Agency Trust Assets, and retain or remit in accordance with Alternate Trustee's written instructions; (c) Hold Agency Trust Assets in Bank's name as Custodian for Alternate Trustee or in Bank's nominee name, or, as to securities eligible to be held by the depository trust company or other depository, in its nominee name; (d) Purchase and sell securities, attend to the exchange of securities, deposit or exchange securities of companies in reorganization, and tender securities on redemption or tender offer solely upon direction of Alternate Trustee; (e) Sign the name the name of Alternate Trustee to stock and bond powers and any other instruments required for the proper exercise of Bank's duties, and Bank is appointed Alternate Trustee's attorney -in -fact for these purposes; (f) Forward proxies and accompanying materials to Alternate Trustee to be voted unless directed. in writing to the contrary. Disclose Alternate Trustee's name and address in response to requests from issuers of securities and others to facilitate direct communication for proxy and tender offer response; (g) Sell all fractional shares of stock received as a result of stock dividends or other corporate action; (h) Notify Alternate Trustee of any inability to collect income or principal if the securities or other property constituting Assets upon which such amount is payable is in default, or if payment is refused after due demand. Bank shall be under no obligation or duty to take any action to effect collection of defaulted payments, or to file or pursue any bankruptcy or class action claims with respect to Agency Trust; and (i) Perform a telephonic verification to Alternate Trustee or Alternate Trustee's authorized representative or such other security procedure selected by Alternate Trustee prior to wiring funds or following facsimile directions as Bank may require. Alternate Trustee assumes all risk of delay of transfer if Bank is unable to reach Alternate Trustee or Alternate Trustee's authorized representative, or in the event of delay as a result of attempts to comply with any other security procedure selected by Alternate Trustee. 16 0353 ARTICLE V INVESTMENTS 5.1 Investment Fiduciary Except as herein provided, the Plan Administrator shall be the Investment Fiduciary. 5.2 Appointment of Trustee or an Investment Manager as Investment Fiduciary The Plan Administrator may appoint the Trustee or an investment manager as the Investment Fiduciary, with the authority and duty to direct the investment and management of all or any portion of the Assets of the Agency Trust. 5.3 Appointment of Investment Fiduciary No action of the Plan Administrator pursuant to 5.2 shall be effective until a certified copy of the revised Adoption Agreement and, if required, any such resolution of the governing body of the Member Agency or Plan Administrator action is delivered to the Trustee. Upon receipt and acceptance, the Trustee or investment manager, as the case may be, shall assume fiduciary responsibility with respect to the investment and management of such assets of the Agency Trust as are specified in the resolution or action. Any transfer of investment authority to the Trustee or to an investment manager may be revoked by delivering to the Trustee or the investment manager a written notice from either the Member Agency governing body or the Plan Administrator, as the case may be. 5.4 Reliance by Trustee on Investment Fiduciary The appointment, selection and retention of an Investment Fiduciary shall be solely the responsibility of the Member Agency acting through its governing body or the Plan Administrator. The Trustee may rely upon the fact that the Investment Fiduciary is authorized to direct the investment and management of the Assets of the Agency Trust until such time as the Plan Administrator shall notify the Trustee in writing that another Investment Fiduciary has been appointed to replace the Investment Fiduciary named, or, in the alternative, that the Investment Fiduciary named has been removed. 5.5 When Trustee is not Investment Fiduciary The Trustee shall not be the Investment Fiduciary and shall have no responsibility or authority for the investment and management of assets unless specifically 17 0354 designated as the Investment Fiduciary as to some or all of the assets in the Agency Trust and accepts such designation. (a) During such period or periods of time, if any, as the Plan Administrator or an Investment Fiduciary is authorized to direct the investment and management of the Assets of the Agency Trust, the Trustee shall (subject to the overriding limitations hereinafter set forth) effect and change investment of the Assets of the Agency Trust as directed in writing by the Plan Administrator, or Investment Fiduciary, as the case may be, and shall neither effect nor change any such investments without such direction and shall have no right, duty or responsibility to recommend investments or investment changes. The following provisions shall govern the Trustee during such period or periods of time, if any, during which the Plan Administrator or an Investment Fiduciary is authorized to direct the investment and management of the Assets of any Agency Trust; (b) So long as the Plan Administrator retains or reacquires full power and responsibility to direct the Trustee with respect to the investment and management of all or any portion of the Assets of the Agency Trust, the Trustee shall not be liable nor responsible for losses or unfavorable results arising from the Trustee's compliance with proper directions of the Plan Administrator which are made in accordance with the terms of this Trust Agreement and which are not contrary to the provisions of any applicable federal or state statute regulating such investment. (c) In the event an Investment Fiduciary is given authority and responsibility with respect to the investment and management of the Assets of the Agency Trust, neither the Trustee nor the Plan Administrator shall be liable or responsible in any way for any losses or other unfavorable results arising from the Trustee's compliance with investment or management directions received by the Trustee from the Investment Fiduciary. 5.6 Investment Directions Must be in Writing Subject to the provisions of Section 5.18, in order to be valid, all directions concerning investments made by the Plan Administrator, or the Investment Fiduciary, or Trustee may be signed by the authorized person or persons acting on behalf of the Plan Administrator, Investment Fiduciary or Trustee, as the case may be. 18 0355 5.7 Trustee Reliance On Directions (a) The Trustee shall be entitled to rely upon directions which the Trustee receives. The Trustee shall be under no duty to question any directions of the Investment Fiduciary or Plan Administrator nor to review any securities or other property of the Trust or Agency Trust constituting assets thereof with respect to which an Investment Fiduciary or the Plan Administrator has investment responsibility, nor to make any suggestions to the Investment Fiduciary or Plan Administrator in connection therewith. The Trustee shall, as promptly as possible, comply with any written directions given by the Plan Administrator or an Investment Fiduciary hereunder. The Trustee shall not be liable, in any manner nor for any reason, for the making or retention of any investment pursuant to such directions, nor shall the Trustee be liable for its failure to invest any or all of the Assets of the Agency Trust in the absence of such written directions. The Trustee shall be under no obligation to seek written clarification in the event of ambiguity. (b) During such period of time, if any, as the Plan Administrator, or an Investment Fiduciary, is authorized to direct the Trustee, the Trustee shall have no obligation to determine the existence of any conversion, redemption, exchange, subscription or other right relating to any securities purchased of which notice was given prior to the purchase of such securities, and shall have no obligation to exercise any such right unless the Trustee is informed of the existence of the right and is instructed to exercise such right, in writing, by the Plan Administrator or the Investment Fiduciary, as the case may be, within a reasonable time prior to the expiration of such right. (c) In any event, neither the neither the Plan Administrator nor any Investment Fiduciary referred to above shall direct the purchase, sale or retention of any Assets of the Agency Trust if such directions are not in compliance with applicable law. 5.8 Trustee Fees As may be agreed upon, in writing, between the Plan Administrator and Trustee, the Trustee will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties with respect to the Agency Trust or the Trust 19 0356 5.9 Contributions The Plan Administrator shall make all of its contributions to the Trustee, and shall also transmit all contributions of Plan participants, as may be required or allowed by the Plan, to the Trustee. Such contributions shall be in cash unless the Trustee agrees to accept a contribution that is not in cash. All contributions shall be paid to the Trustee for investment and reinvestment pursuant to the terms of this Trust Agreement. The Trustee shall not have any duty to determine or inquire whether any contributions to the Agency Trust made to the Trustee by any Plan Administrator are in compliance with the Plan; nor shall the Trustee have any duty or authority to compute any amount to be paid to the Trustee by any Plan Administrator; nor shall the Trustee be responsible for the collection or adequacy of the contributions to meet and discharge liabilities under the Plan. The contributions received by the Trustee from each Member Agency shall be held and administered pursuant to the terms hereof without distinction between income and principal. 5.10 Money Market Fund Pending any investment directions, such cash in the Agency Trust in an amount as is reasonable in the discretion of the Trustee, may be deposited in a money market fund selected by the Trustee or the Member Agency. 5.11 Purchase of Contracts The Trustee shall have the authority to purchase individual or group insurance, annuity, preliminary term, group pension, and variable annuity contracts in accordance with the directions of the Plan Administrator or other insurance contracts at the direction of the Plan Administrator or Investment Fiduciary if such contracts are acceptable to the Trustee. The Trustee shall act as custodian of such contracts if an Alternate Trustee is appointed as to such contracts. 5.12 Records (a) The Trustee shall maintain accurate records and detailed accounts of all investments, receipts, disbursements and other transactions hereunder at the Trust level. Such records shall be available at all reasonable times for inspection by the Trust Administrator. The Trustee shall, at the direction of the Trust Administrator, submit such valuations, reports or other information as the Trust Administrator may reasonably require. (b) Valuation. The assets of the Agency Trust shall be valued at their fair market value on the date of valuation, as determined by the Trustee based 20 03J1 upon such sources of information as it may deem reliable; provided, however, that the Plan Administrator shall instruct the Trustee as to valuation of assets which are not readily determinable on an established market. The Trustee may rely conclusively on such valuations provided by the Plan Administrator and shall be indemnified and held harmless by the Plan Administrator with respect to such reliance. If the Plan Administrator fails to provide such values, the Trustee may take whatever action it deems reasonable, including employment of attorneys, appraisers or other professionals, the expense of which will be an expense of administration of the Agency Trust. Transactions in the account involving such hard to value assets may be postponed until appropriate valuations have been received and Trustee shall have no liability therefore. 5.13 Statements (a) Periodically as specified, specified, and within sixty days after June 30, or the end of the Trust's fiscal year if different, Trustee shall render to the Trust Administrator as directed, a written account showing in reasonable summary the investments, receipts, disbursements and other transactions engaged in by the Trustee during the preceding fiscal year or period with respect to the Trust. Such account shall set forth the assets and liabilities of the Trust valued as of the end of the accounting period. (b) The Trust Administrator may approve such statements either by written notice or by failure to express objections to such statements by written notice delivered to the Trustee within 90 days from the date the statement is delivered to the Trust Administrator. Upon approval, the Trustee shall be released and discharged as to all matters and items set forth in such statement as if such account had been settled and allowed by a decree from a court of competent jurisdiction. 5.14 Wire Transfers The Trustee shall follow the Plan Administrator's, Delegatee's, or Trust Administrator's wire transfer instructions in compliance with the written security procedures provided by the party providing the wire transfers. The Trustee shall perform a telephonic verification to the Plan Administrator, Trust Administrator, or Delegatee, of such other security procedure, as selected by the party providing wire transfer directions, prior to wiring funds or following facsimile directions as Trustee may require. The Plan Administrator assumes the risk of delay of transfer if Trustee is unable to reach the Plan Administrator, or in the event of delay as a 21 0358 result of attempts to comply with any other security procedure selected by the directing party. 5.15 Exclusive Benefit. The Assets of the Agency Trust shall be held in trust for the exclusive purpose of providing benefits to the participants and their beneficiaries of the Member Agency Plan, and defraying reasonable expenses of the Plan, and shall not be used for or diverted to any other purpose. No party shall have authority to use or divert such Plan's Assets for the payment of benefits or expenses of any other Member Agency's Plan. 5.16 Delegation of Duties The Plan Administrator, Delegatee, or Trust Administrator, may at any time retain the Trustee as its agent to perform any act, keep any records or accounts and make any computations that are required of the Plan Administrator, Delegatee or Trust Administrator by this Trust Agreement or by the Plan. The Trustee may be compensated for such retention and such retention shall not be deemed to be contrary to this Trust Agreement. 5.17 Distributions All benefits payable pursuant to the Plan shall be paid out of the Assets of the Agency Trust by the Trustee pursuant to the direction of the Plan Administrator or Delegatee. The Trustee shall, from time to time, upon the written direction of the Plan Administrator or Delegatee, make distributions from the Assets of the Agency Trust to or for the benefit of such persons, in such manner in such form(s), in such amounts and for such purposes as may be specified in such directions. The Trustee at the direction of the Plan Administrator or Delegatee may make any distribution required to be made by it hereunder by delivering to the Plan Administrator or Delegatee: Its check payable to the person to whom such distribution is to be made, for delivery to such person; or Its check payable to an insurer for the benefit of such person, for delivery by such insurer; or insurance contracts held on the life of the Participant to whom or with respect to whom the distribution is being made, for redelivery to the person to whom such distribution is to be made; provided that any contract distributed shall be endorsed as non -transferable. 22 0359 In directing the Trustee to make distributions, the Plan Administrator or Delegatee shall follow the provisions of the Plan and shall not direct that any distribution be made either during the existence or upon discontinuance of the Plan, which would cause any part of the Assets of the Agency Trust or to be used for or diverted to purposes other than as provided in the Plan and this Trust. In no event shall the Trustee have any responsibility respecting the application of such distributions, nor for determining or inquiring into whether such distributions are in accordance with the Plan. 5.18 Participant Directed Accounts The Member Agency may, by written resolution and execution of the Adoption Agreement, terminate the Plan Administrator's right to direct the investment and management of all or any portion of the Assets of the Agency Trust and allow Participants to direct their own account balances ("Participant Directed Accounts"). Notwithstanding any other provision of this Trust Agreement, for Participant Directed Accounts, the Trustee shall be entitled to act upon proper directions of the Plan Administrator, Trust Administrator, and Participants including directions in writing, or oral instructions which Trustee in its discretion may follow without receipt of written instructions, instruction given by photostatic teletransmission using facsimile signature, or those instructions which are digitally recorded on the UBOC Voice Response Unit ("VRU") or internet website. Trustee is hereby authorized to record conversations and transmissions made in connection with the Agency Trust. Trustee's recording or lack of recording of any such oral, internet or digital instructions, and/or receipt or lack of receipt of facsimile transmissions, as reflected in the Trustee's records maintained in the ordinary course of business shall constitute conclusive proof of Trustee's receipt or non - receipt of such instructions. The Trustee and/or Trust Administrator shall not be liable in any manner for investment or other losses or other liability attributable to Participant's directions, or lack thereof, or exercise of control over the investments of their Participant Directed Accounts. Likewise, the Trustee and/or Trust Administrator shall have no duty or responsibility to review, monitor or make recommendations regarding investments made at the direction of the Participants or the Plan Administrator. In order for Member Agency to be relieved of investment fiduciary liability, the requirements of California law including Section 53213.5 of the California Government Code must be met. The Plan Administrator shall establish uniform and nondiscriminatory rules of the operation of the Participant Directed Accounts, including whether the Participant shall direct the Trustee or direct the Plan Administrator who directs the Trust Administrator who forwards such directions to the Trustee. Member Agency shall designate whether Participant Directed 23 0360 Accounts are to be established pursuant to the provisions of Section 5.18(a) or 5.18(b), below: (a) Participant Direction in Individually Directed Accounts. If the Member Agency has so elected, Participants may have investment direction power over their own segregated account balances ("Individually Directed Account" or "IDA"). Investments may be directed by Participants into assets administratively acceptable to Trustee, as limited by guidelines developed by the Plan Administrator (the "Permissible Investment Guidelines"). Plan Administrator shall notify Participants of the Plan's Permissible Investment Guidelines as in effect from time to time. In the absence of directions from a Participant, the Plan Administrator may direct the investment of the IDA. The Trustee may refuse to comply with the directions of the Participant to Invest in assets other than those listed in its Permissible Investments Guidelines or with directions which the Trustee deems to be improper or contrary to the provisions of the Plan and Agency Trust or the Internal Revenue Code and shall have no liability for such refusal. (b) Participant Directed Account within Plan Administrator Selected Investment Options ("SelectBENEFIT Accounts"): If the Member Agency so elects, the Participant's Account Balance shall be segregated into a Participant Directed Account ("SelectBENEFIT Account"), over which the Participant may direct investment into one or more investment alternatives ("Investment Options"). The Plan Administrator or its appointed Investment Fiduciary shall have full responsibility for designating the Investment Options under the Plan and for selecting the underlying investment vehicle(s) for each designated Investment Option into which a Participant may direct investment of his or her SelectBENEFIT Account. To the extent allowed by law, neither the Member Agency, the Plan Administrator, the Trust Administrator nor the Trustee shall have any responsibility for monitoring the directions of the Participant nor shall the Member Agency, the Plan Administrator, the Trust Administrator or the Trustee be liable in any manner for investment or other losses or other liability for following directions of a Participant. (c) If SelectBENEFIT Accounts are established, notwithstanding any other provision of this Trust Agreement, the Member Agency may appoint the Trustee to provide ministerial services as record keeper for such accounts by so indicating in the Member Agency's Adoption Agreement, provided that an acceptable service agreement has been executed by and between the Member Agency, the Plan Administrator, the Trustee and the Trust Administrator. 24 0361 ARTICLE VI FIDUCIARY RESPONSIBILITIES 6.1 More Than One Fiduciary Capacity Any one or more of the fiduciaries with respect to the Trust Agreement or the Agency Trust may, to the extent required thereby or as directed by the Plan Administrator pursuant to this Trust Agreement and the Plan, serve in more than one fiduciary capacity with respect to the Trust Agreement, the Agency Trust and the Plan. 6.2 Fiduciary Discharge of Duties Except as otherwise provided in the Code and applicable law, each fiduciary shall discharge such fiduciary's duties with respect to the Trust Agreement and the Plan: Solely in the interest of the Participants and for the exclusive purpose of providing benefits to Participants, and defraying reasonable expenses of administering the Plan. With the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent man acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of like character and with like aims. By diversifying the investments of the Plan and the Agency Trust so as to minimize the risk of loss and to maximize the rate of return, unless under the circumstances it is clearly prudent not to do so. 6.3 Limitations on Fiduciary Responsibility To the extent permitted by applicable law: No fiduciary shall be liable with respect to a breach of fiduciary duty by any other fiduciary if such breach was committed before such party became a fiduciary or after such party ceased to be a fiduciary. No fiduciary shall be liable for a breach by another fiduciary unless the non - breaching fiduciary knowingly participates in such a breach, knowingly undertakes to conceal such breach, or has actual knowledge of such breach and fails to take reasonable steps to remedy such breach. No fiduciary shall be liable for carrying out a proper direction from another fiduciary, including refraining from taking an action in the absence of a proper 25 0362 direction from the other fiduciary possessing the authority and responsibility to make such a direction, which direction the fiduciary in good faith believes to be authorized and appropriate. 6.4 Indemnification of Trustee by Member Agency The Trustee shall not be liable for, and Member Agency shall indemnify, defend (as set out in 6.8 of this Trust Agreement), and hold the Trustee (including its officers, agents, employees and attorneys) and other Member Agencies and Alternate Trustees, harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Member Agency's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.5 Indemnification of Member Agency by Trustee The Member Agency shall not be liable for, and Trustee shall indemnify, defend (as set out in 6.8 of this Trust Agreement), and hold the Member Agency (including its officers, agents, employees and attorneys) and other Member Agencies and Alternate Trustees, harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.6 Indemnification of Trustee by Trust Administrator The Trustee shall not be liable for, and Trust Administrator shall indemnify and hold the Trustee (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trust Administrator's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.7 Indemnification of Trust Administrator by Trustee The Trust Administrator shall not be liable for, and Trustee shall indemnify and hold the Trust Administrator (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or 26 0363 liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.8 Indemnification Procedures Promptly after receipt by an indemnified party of notice or receipt of a claim or the commencement of any action for which indemnification may be sought, the indemnified party will notify the indemnifying party in writing of the receipt or commencement thereof. When the indemnifying party has agreed to provide a defense as set out above that party shall assume the defense of such action (including the employment of counsel, who shall be counsel satisfactory to such indemnitee) and the payment of expenses, insofar as such action shall relate to any alleged liability in respect of which indemnity may be sought against the indemnifying party. Any indemnified party shall have the right to employ separate counsel in any such action and to participate in the defense thereof, but the fees and expenses of such counsel shall not be at the expense of the indemnifying party unless (i) the employment of such counsel has been specifically authorized by the indemnifying party or (ii) the named parties to any such action (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential differing interest between them. The indemnifying party shall not be liable to indemnify any person for any settlement of any such action effected without the indemnifying party's consent. 6.9 No Joint and Several Liability This document is not intended to and does not create any joint powers agreement or any joint and several liability. No Member Agency shall be responsible for any contributions, costs or distributions of any other Member Agency. 0364 27 ARTICLE VII AMENDMENT, TERMINATION AND MERGER 7.1 No Obligation to Continue Plan and Trust Continuance of the Agency Trust, participation in the Trust Program and continuation of the Plan are not assumed as a contractual obligation of the Member Agency. 7.2 Amendments (a) The Trust Agreement may only be amended or terminated as provided herein. A two-thirds majority or greater of the Member Agencies shall have the right to amend this Trust Agreement from time to time, and to similarly amend or cancel any amendments. A copy of all amendments shall be delivered to the Trustee, the Trust Administrator and Plan Administrators promptly as each is made. (b) Such amendments shall be set forth in an instrument in writing executed by the amending party, the Trust Administrator and the Trustee. Any amendment may be current, retroactive or prospective, provided, however, that no amendment shall: 1. Cause the Assets of any Agency Trust to be used for or diverted to purposes other than for the exclusive benefit of Participants who have an interest in such Agency Trust or for the purpose of defraying the reasonable expenses of administering such Agency Trust. 2. Have any retroactive effect so as to reduce the benefits of any Participant having an interest in the Agency Trust as of the date the amendment is adopted, except that such changes may be made as may be required to permit this Trust Agreement to meet the requirements of applicable law. 3. Change or modify the duties, powers or liabilities of the Trustee or the Trust Administrator hereunder without its consent. 4. Permit the Assets of any Agency Trust to be used for the benefit of any other Plan of the Member Agency unless the Member Agency agrees to such use. 28 0365 7.3 Termination of Plan A termination of the Plan for which the Agency Trust was established shall not, in itself, effect a termination of an Agency Trust. Upon any termination of the Plan, the Assets of the Agency Trust shall be distributed by the Trustee as and when directed by the Plan Administrator. From and after the date of such termination of the Plan and until final distribution of the Assets the Trustee shall continue to have all the powers provided herein as are necessary or expedient for the orderly liquidation and distribution of such assets and the Agency Trust shall continue until the interests of all Participants have been completely distributed to or for the benefit of the Participants in accordance with the Plan. 7.4 Reversion In the event a Member Agency's Plan is terminated, the vested interest of any Participant shall not be diminished or adversely affected. Except as may be provided in this Trust Agreement or the Plan, such termination shall not vest in the Member Agency any corpus or income under the Agency Trust, nor permit the Plan to discriminate as to coverage, or as to allocation of contributions or earnings, in favor of employees who are officers, shareholders, or highly compensated, nor cause the Agency Trust to lose its exemption pursuant to 501(a) of the Code. No modification. amendment or termination of the Plan shall be construed to be a termination of the Agency Trust so as to require the Trustee to make a distribution of any of the Assets of the Agency Trust to any Participant. In order to make such distribution the Trustee must receive written instructions from the Plan Administrator or Delegatee in a form acceptable to the Trustee. If any Member Agency adopts a Plan whose assets are maintained in an Agency Trust and makes application to the Internal Revenue Service, within one year from the date of adoption of such Plan, for a determination that such Plan is a qualified plan under Section 401(a) of the Code, and if such Plan is determined by the Internal Revenue Service not to be a qualified Plan, then all contributions and investment income attributable to such Plan shall be returned to the Member Agency upon application to the Trustee. 7.5 Fund Recovery Based on Mistake of Fact Except as hereinafter provided, the Assets of the Agency Trust shall never inure to the benefit of the Member Agency. The Assets shall be held for the exclusive purposes of providing benefits to Participants having an interest in the Plan and defraying reasonable expenses of administering the Agency Trust. The sole exception to the foregoing is as follows: 29 0366 Mistake of Fact. In the case of a contribution which is made by the Plan Administrator because of a mistake of fact, that portion of the contribution relating to the mistake of fact (exclusive of any earnings or losses attributable thereto) may be returned to the Plan Administrator, provided such return occurs within one (1) year after discovery by the Plan Administrator of the mistake. If any repayment is payable to the Plan Administrator, then, as a condition to such repayment, and only if requested by Trustee, the Plan Administrator shall execute, acknowledge and deliver to the Trustee its written undertaking, in a form satisfactory to the Trustee, to indemnify, defend and hold the Trustee harmless from all claims, actions, demands or liabilities arising in connection with such repayment. 7.6 Transfers from Other Qualified Plans Notwithstanding any other provision hereof, there may be transferred to the Trustee, upon direction of the Plan Administrator, all or any of the assets held (whether by a trustee, custodian or otherwise) on behalf of any other plan which satisfies the applicable requirements of Section 401 of the Code, and which is maintained for the benefit of any persons who are or will become Participants in the Plan. 7.7 Termination The Trust Agreement may be terminated only by a unanimous agreement of all Member Agencies. Such action must be in writing and delivered to the Trustee and Trust Administrator. ARTICLE VIII MISCELLANEOUS PROVISIONS 8.1 Nonalienation To the maximum extent permitted by law, a Participant's interest in the Agency Trust shall not in any way be liable to attachment, garnishment, assignment or other process, or be seized, taken, appropriated or applied by any legal or equitable process, to pay any debt or liability of the Participant or any other party. Agency Trust Assets shall not be subject to the claims of the Member Agency or the claims of its creditors. 8.2 Saving Clause In the event any provision of this Trust Agreement and each Agency Trust is held 30 0361 illegal or invalid for any reason, said illegality or invalidity shall not affect the remaining parts of the Trust and/or Agency Trust, but this instrument shall be construed and enforced as if said provision had never been included. 8.3 Applicable Law This Trust Agreement and each Agency Trust shall be construed, administered and governed under the Code and the applicable provisions of California law. To the extent any of the provisions of this Trust Agreement or the Plan are inconsistent with the Code or applicable California law, the provisions of the Code or California law shall control. In the event, however, that any provision is susceptible to more than one interpretation, such interpretation shall be given thereto as is consistent with the Trust Agreement and the Plan being a qualified governmental retirement trust and plan within the meaning of the Code. 8.4 Joinder of Parties In any action or other judicial proceedings affecting this Trust Agreement, it shall be necessary to join as parties only the Trustee, the Plan Administrator or Delegatee. No participant or other persons having an interest in any Agency Trust shall be entitled to any notice or service of process unless otherwise required by law. Any judgment entered in such a proceeding or action shall be binding on all persons claiming under this Trust Agreement, provided, however, that nothing in this Trust Agreement shall be construed as to deprive a participant of such participant's right to seek adjudication of such participant's rights under applicable law. 8.5 Employment of Counsel The Trustee may consult with legal counsel (who may be counsel for the Trustee or Member Agency Plan Administrator) and charge the Agency Trust. 8.6 Gender and Number Words used in the masculine, feminine or neuter gender shall each be deemed to refer to the other whenever the context so requires; and words used in the singular or plural number shall each be deemed to refer to the other whenever the context so requires. 31 0368 8.7 Headings Headings used in this Trust Agreement are inserted for convenience of reference only and any conflict between such headings and the text shall be resolved in favor of the text. 8.8 Counterparts The Adoption Agreement of this Trust Agreement may be executed in an original and any number of counterparts by the Plan Administrator (executing an Adoption Agreement), the Trust Administrator and the Trustee, each of which shall be deemed to be an original of the one and the same instrument. ARTICLE IX ACKNOWLEDGMENT AND ACCEPTANCE The provisions of the Trust Agreement as contained herein are hereby amended and restated as of the Amended Effective Date. IN WITNESS WHEREOF, the Plan Administrator (by executing the Adoption Agreement) the Trust Administrator and Trustee have executed this Trust Agreement by their duly authorized agents on this day of ACKNOWLEDGED AND ACCEPTED this day of THE TRUSTEE THE TRUST ADMINISTRATOR UNION BANK OF CALIFORNIA, N.A. am IIn Title: Senior Vice President Title: President 32 0369 EXHIBIT "A" ADOPTION AGREEMENT TO THE TRUST AGREEMENT Member Agency: Plan Name: Plan Effective: Plan Administrator: Title: Address: The above referenced California public agency ("Member Agency") adopts the Trust Agreement, as amended and restated effective 7/1/99, as the trust portion ("Agency Trust") of the above referenced qualified plan ("Plan"), effective as of the date set out above. Pursuant to Resolution 2011- dated , which authorizes the adoption of the Trust Agreement and names the above referenced individual by position of employment to act on behalf of the Member Agency in all matters relating to the Member Agency's participation in the Trust Program and Agency Trust ("Plan Administrator"), the Plan Administrator certifies the following entities within the Agency Trust: TRUSTEE: Union Bank, N.A. TRUST ADMINISTRATOR: INVESTMENT FIDUCIARY: Union Bank, N.A., acting through its subsidiary HighMark Capital Management, a registered investment advisor. By: Title Date ACCEPTED: Trust Administrator: By: Date: Title: Trustee and Investment Fiduciary: Union Bank, N.A. Title: Date: Trustee and Investment Fiduciary: Union Bank, N.A. 0 Date: Title: 0310 V ru COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Approval of a Professional Services Agreement with NAI Consulting, Inc. to Provide Project Management and Contract Administrative Support Services for Fiscal Year 201 1-2012 RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Approve a Professional Services Agreement (PSA) with NAI Consulting, Inc. to provide project management and contract administrative support services from April 20, 2011 to June 30, 2012 for an amount not -to -exceed $306,400, and authorize the City Manager to execute the agreement. FISCAL IMPLICATIONS: Sufficient funding is available to support staff's recommendation to approve a PSA with NAI Consulting, Inc. in the amount not to exceed $306,400. The agreement budget is based on the following NAI Consulting, Inc.'s hours and billing rates: Contract Position Hours Hourly Rate Total Project Manager 1,800 $125 $225,000 Administrative Support 900 $50 $45,000 Professional Civil Engineer 260 $140 $36,400 Total $306,400 The total number of hours for next year remains the same as last year and the hourly rates presented have not increased from those provided during the last four (4) years. The professional services associated with the agreement are charged on a time and materials basis and are assigned directly to the capital improvement projects worked on during each billing cycle. Staff anticipates that approximately $286,400 of the agreement amount will be used to pay the time and materials 0371 charged for project management and contract administration, and professional engineering support for the projects carried over from the previous fiscal year, and for the new projects added during Fiscal Year 2011-2012. The remaining $20,000 has been set aside for the Development Impact Fee (DIF) update, and/or other special projects. The costs associated with this work are typically paid for from the Public Works Department's annual operating budget. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: In the spring of 1997, the Public Works/Engineering Department retained the part- time professional services of Lloyd "Nick" Nickerson, owner of NAI Consulting, Inc. to augment existing engineering staff in the capital improvement division. Mr. Nickerson was retained via an interim contract to provide key professional support with respect to contract administration and project management duties through the balance of the 1996-1997 fiscal year. In the subsequent fiscal year, the City Council directed staff to request proposals from firms in the engineering community for the type of engineering services performed by Mr. Nickerson. Two proposals were received and evaluated with the City Council awarding a two-year contract to NAI Consulting, Inc. In June 1999, the City Council authorized the City Manager to bypass the competitive selection procedure and negotiate directly with NAI Consulting for a continuation of the professional support services provided by Mr. Nickerson. Each year since 1999, the City Council has renegotiated its professional services contract with NAI Consulting for the services provided by Mr. Nickerson. During the past six years, NAI Consulting's contract also included professional engineering design services on a time and material basis, as needed, to provide engineering staff with an efficient means to initiate and administer minor design projects (primarily remedial maintenance projects) that surface unexpectedly in response to concerns voiced by La Quinta residents. NAI's flexibility and comprehensive knowledge of the City's operation have proven invaluable to the City. As in past years, the renewed contract is based on hourly fees, with an amount of $125 per hour for professional project management services, $140 per hour for a professional registered civil engineer, and $50 per hour for administrative support. 0372 The proposed hourly rates for project manager, professional registered civil engineer, and administrative support have not increased from the rates provided during the last four fiscal years. NAI Consulting, Inc. has also agreed to continue providing any reimbursable expenses at cost without markup. Reimbursable expenses include the direct cost of sub -consultant services, printing, postage and/or courier services, etc. Typical services provided by NAI Consulting, Inc. include, but are not limited to: • Prepare and submit necessary documents, and coordinate with various regional, county, state and federal funding agencies to acquire and maintain funding approval; • Prepare and track project schedules; • Prepare correspondence, reports, and memorandums necessary to administer various City capital improvement projects; • Assist with bidding procedures, prepare bid summary comparisons in a table format, and make recommendations for City Council consideration to award Public Works contracts for construction; • Prepare and conduct informal request for proposals to construction support sub - consultants, summarize proposals received and make recommendations for award of Professional Services Agreements; • Monitor and report on project status, budget vs. actual expenditures, and contract time vs. actual time; and • Prepare staff reports for City Council consideration, as necessary. Other work objectives may include: • Preparation of the City's annual 5-year Capital Improvement Program; • Preparation and/or management of the City's DIF update; and • Continued assistance with issues associated with the Coachella Valley TUMF Program. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Approve a PSA with NAI Consulting, Inc. to provide project management and contract administrative support services for an amount not -to -exceed $306,400, and authorize the City Manager to execute the agreement; or 0373 2. Do not approve a PSA with NAI Consulting, Inc.; or 3. Provide staff with alternative direction. Respectfully submitted, dothy R. ass E. Publ ic Wor irec City Engineer Approved for submission by: homas P. Genovese, City Manager Attachment: 1. Professional Services Agreement with NAI Consulting, Inc. 0374 ATTACHMENT 1 PROFESSIONAL SERVICES AGREEMENT THIS AGREEMENT FOR CONTRACT SERVICES (the "Agreement") is made and entered into by and between the CITY OF LA QUINTA, ("City"), a California municipal corporation, and NAI Consulting, Inc. ("Consultant"). The parties hereto agree as follows: 1.0 SERVICES OF CONSULTANT 1.1 Scope of Services. In compliance with all terms and conditions of this Agreement, Consultant shall provide those services related to Project Management and Contract Administrative Support Services, as specified in the "Scope of Services" attached hereto as Exhibit "A" and incorporated herein by this reference (the "services" or "work"). Consultant warrants that all services will be performed in a competent, professional and satisfactory manner in accordance with the standards prevalent in the industry for such services. 1.2 Compliance with Law. All services rendered hereunder shall be provided in accordance with all ordinances, resolutions, statutes, rules, regulations and laws of the City of La Quinta and any Federal, State or local governmental agency of competent jurisdiction. 1.3 Licenses, Permits, Fees and Assessments. Except as otherwise specified herein, Consultant shall obtain at its sole cost and expense such licenses, permits and approvals as may be required by law for the performance of the services required by this Agreement. Consultant shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the performance of the services required by this Agreement. 1.4 Familiarity with Work. By executing this Agreement, Consultant warrants that (a) it has thoroughly investigated and considered the work to be performed, (b) it has investigated the site of the work and fully acquainted itself with the conditions there existing, (c) it has carefully considered how the work should be performed, and (d) it fully understands the facilities, difficulties and restrictions attending performance of the work under this Agreement. Should Consultant discover any latent or unknown conditions materially differing from those inherent in the work or as represented by City, Consultant shall immediately inform City of such fact and shall not proceed except at Consultant's risk until written instructions are received from the Contract Officer (as defined in Section 4.2 hereof). Last revised 2-17-11 1 0375 1.5 Care of Work and Standard of Work. a. Care of Work. Consultant shall adopt reasonable methods during the life of the Agreement to furnish continuous protection to the work performed by Consultant, and the equipment, materials, papers and other components thereof to prevent losses or damages, and shall be responsible for all such damages, to persons or property, until acceptance of the work by City, except such losses or damages as may be caused by City's own negligence. The performance of services by Consultant shall not relieve Consultant from any obligation to correct any incomplete, inaccurate or defective work at no further cost to City, when such inaccuracies are due to the negligence of Consultant. b. Standard of Work. Consultant acknowledges and understands that the services and work contracted for under this Agreement require specialized skills and abilities and that, consistent with this understanding, Consultant's services and work will be held to a heightened standard of quality and workmanship. Consistent with Section 1.4 hereinabove, Consultant represents to City that it holds the necessary skills and abilities to satisfy the heightened standard of work as set forth in this Agreement. 1.6 Additional Services. In accordance with the terms and conditions of this Agreement, Consultant shall perform services in addition to those specified in the Scope of Services ("Additional Services") when directed to do so by the Contract Officer. Consultant shall not perform any Additional Services until receiving prior written authorization from the Contract Officer. It is specifically understood and agreed that oral requests and/or approvals of Additional Services shall be barred and are unenforeceable. Failure of Consultant to secure the Contract Manager's written authorization for Additional Services shall constitute a waiver of any and all right to adjustment of the Contract Sum or time due, whether by way of compensation, restitution, quantum meruit, etc. for Additional Services provided without the appropriate authorization from the Contract Manager. Compensation for properly authorized Additional Services shall be made in accordance with Section 2.2 of this Agreement. 1.7 Special Requirements. Additional terms and conditions of this Agreement, if any, which are made a part hereof are set forth in Exhibit "D" (the "Special Requirements"). In the event of a conflict between the provisions of the Special Requirements and any other provisions of this Agreement, the provisions of the Special Requirements shall govern. Last revised 2-17-11 2 0376 2.0 COMPENSATION 2.1 Contract Sum. For the services rendered pursuant to this Agreement, Consultant shall be compensated in accordance with Exhibit "B" (the "Schedule of Compensation") in a total amount not to exceed Three Hundred Six Thousand, Four Hundred Dollars ($306,400) (the "Contract Sum"), except as provided in Section 1.6. The method of compensation set forth in the Schedule of Compensation may include a lump sum payment upon completion, payment in accordance with the percentage of completion of the services, payment for time and materials based upon Consultant's rate schedule, but not exceeding the Contract Sum, or such other methods as may be specified in the Schedule of Compensation. Compensation may include reimbursement for actual and necessary expenditures for reproduction costs, transportation expense, telephone expense, and similar costs and expenses when and if specified in the Schedule of Compensation. Regardless of the method of compensation set forth in the Schedule of Compensation, Consultant's overall compensation shall not exceed the Contract Sum, except as provided in Section 1.6 of this Agreement, "Additional Services." 2.2 Compensation for Additional Services. Additional services approved in advance by the Contract Manager pursuant to Section 1.6 of this Agreement, "Additional Services," shall be paid for in an amount agreed to in writing by both City and Consultant in advance of the Additional Services being rendered by Consultant. Any compensation for Additional Services amounting to five percent (5%) or less of the Contract Sum may be approved by the Contract Officer. Any greater amount of compensation for additional services must be approved by the La Quinta City Council. Under no circumstances shall Consultant receive compensation for any Additional Services unless prior written approval for the Additional Services is obtained from the Contract Officer pursuant to Section 1.6 of this Agreement. 2.3 Method of Billing. Any month in which Consultant wishes to receive payment, Consultant shall submit to City no later than the tenth (10th) working day of such month, in the form approved by City's Finance Director, an invoice for services rendered prior to the date of the invoice. Such invoice shall (1) describe in detail the services provided, including time and materials, and (2) specify each staff member who has provided services and the number of hours assigned to each such staff member. Such invoice shall contain a certification by a principal member of Consultant specifying that the payment requested is for work performed in accordance with the terms of this Agreement. City will pay Consultant for all expenses stated thereon which are approved by City pursuant to this Agreement no later than thirty (30) days after invoices are received by the City's Finance Department. Last revised 2-17-11 3 7 3.0 PERFORMANCE SCHEDULE 3.1 Time of Essence. Time is of the essence in the performance of this Agreement. 3.2 Schedule of Performance. All services rendered pursuant to this Agreement shall be performed diligently and within the time period established in Exhibit "C" (the "Schedule of Performance"). Extensions to the time period specified in the Schedule of Performance may be approved in writing by the Contract Officer. 3.3 Force Majeure. The time period specified in the Schedule of Performance for performance of the services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of Consultant, including, but not restricted to, acts of God or of the public enemy, fires, earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, acts of any governmental agency other than City, and unusually severe weather, if Consultant shall within ten (10) days of the commencement of such delay notify the Contract Officer in writing of the causes of the delay. The Contract Officer shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period of the forced delay when and if in his or her judgment such delay is justified, and the Contract Officer's determination shall be final and conclusive upon the parties to this Agreement. Extensions to the Schedule of Performance which are determined by the Contract Officer to be justified pursuant to this Section shall not entitle the Consultant to additional compensation in excess of the Contract Sum. 3.4 Term. The term of this agreement shall commence on April 20, 2011 and terminate on June 30, 2012 (initial term). This agreement may be extended upon mutual agreement by both parties (extended term). Unless earlier terminated in accordance with Sections 8.7 or 8.8 of this Agreement, this Agreement shall continue in full force and effect until completion of the services, except as otherwise provided in the Schedule of Performance. 4.0 COORDINATION OF WORK 4.1 Representative of Consultant. The following principals of Consultant are hereby designated as being the principals and representatives of Consultant authorized to act in its behalf with respect to the work specified herein and make all decisions in connection therewith: a. Lloyd "Nick" Nickerson, Jr., President Last revised 2-17-1 1 4 OV8 It is expressly understood that the experience, knowledge, capability, and reputation of the foregoing principals were a substantial inducement for City. to enter into this Agreement. Therefore, the foregoing principals shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder. The foregoing principals may not be changed by Consultant and no other personnel may be assigned to perform the service required hereunder without the express written approval of City. 4.2 Contract Officer. The Contract Officer shall be Timothy R. Jonasson, P.E., Public Works Director/City Engineer or such other person as may be designated by the City Manager of City. It shall be Consultant's responsibility to assure that the Contract Officer is kept informed of the progress of the performance of the services and Consultant shall refer any decisions, which must be made by City to the Contract Officer. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Contract Officer. 4.3 Prohibition Against Subcontracting or Assignment. The experience, knowledge, capability and reputation of Consultant, its principals and employees were a substantial inducement for City to enter into this Agreement. Except as set forth in this Agreement, Consultant shall not contract with any other entity to perform in whole or in part the services required hereunder without the express written approval of City. In addition, neither this Agreement nor any interest herein may be assigned or transferred, voluntarily or by operation of law, without the prior written approval of City. 4.4 Independent Contractor. Neither City nor any of its employees shall have any control over the manner, mode or means by which Consultant, its agents or employees, perform the services required herein, except as otherwise set forth. Consultant shall perform all services required herein as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. Consultant shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of City. 4.5 City Cooperation. City shall provide Consultant with any plans, publications, reports, statistics, records or other data or information pertinent to services to be performed hereunder which are reasonably available to Consultant only from or through action by City. 0319 Last revised 2-17-11 5 5.0 INSURANCE 5.1 Insurance. Prior to the beginning of and throughout the duration of the Work performed under this Agreement, Consultant shall procure and maintain, at its cost, and submit concurrently with its execution of this Agreement, personal and public liability and property damage insurance against all claims for injuries against persons or damages to property resulting from Consultant's acts or omissions rising out of or related to Consultant's performance under this Agreement. The insurance policy shall contain a severability of interest clause providing that the coverage shall be primary for losses arising out of Consultant's performance hereunder and neither City nor its insurers shall be required to contribute to any such loss. A certificate evidencing the foregoing and naming City and its officers and employees as additional insured (on the general liability policy only) shall be delivered to and approved by City prior to commencement of the services hereunder. The following policies shall be maintained and kept in full force and effect providing insurance with minimum limits as indicated below and issued by insurers with A.M. Best ratings of no less than A -:VI: Commercial General Liability (at least as broad as ISO CG 0001) $1,000,000 (per occurrence) $2,000,000 (general aggregate) Commercial Auto Liability (at least as broad as ISO CA 0001) $1,000,000 (per accident) Errors and Omissions Liability $1,000,000 (per claim and aggregate) Workers' Compensation (per statutory requirements) Consultant shall carry automobile liability insurance of $1,000,000 per accident against all claims for injuries against persons or damages to property arising out of the use of any automobile by Consultant, its officers, any person directly or indirectly employed by Consultant, any subcontractor or agent, or anyone for whose acts any of them may be liable, arising directly or indirectly out of or related to Consultant's performance under this Agreement. If Consultant or Consultant's employees will use personal autos in any way on this project, Consultant shall provide evidence of personal auto liability coverage for each such person. The term "automobile" includes, but is not limited to, a land motor vehicle, trailer or semi -trailer designed for travel on public roads. The automobile insurance Last revised 2-17-11 6 0380 policy shall contain a severability of interest clause providing that coverage shall be primary for losses arising out of Consultant's performance hereunder and neither City nor its insurers shall be required to contribute to such loss. Professional Liability or Errors and Omissions Insurance as appropriate shall be written on a policy form coverage specifically designed to protect against acts, errors or omissions of the consultant and "Covered Professional Services" as designated in the policy must specifically include work performed under this agreement. The policy limit shall be no less than $1,000,000 per claim and in the aggregate. The policy must "pay on behalf of" the insured and must include a provision establishing the insurer's duty to defend. The policy retroactive date shall be on or before the effective date of this agreement. Consultant shall carry Workers' Compensation Insurance in accordance with State Worker's Compensation laws with employer's liability limits no less than $1,000,000 per accident or disease. All insurance required by this Section shall be kept in effect during the term of this Agreement and shall not be cancelable without written notice to City of proposed cancellation. The procuring of such insurance or the delivery of policies or certificates evidencing the same shall not be construed as a limitation of Consultant's obligation to indemnify City, its officers, employees, contractors, subcontractors, or agents. 5.2 Remedies. In addition to any other remedies City may have if Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required, City may, at its sole option: a. Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under this Agreement. b. Order Consultant to stop work under this Agreement and/or withhold any payment(s) which become due to Consultant hereunder until Consultant demonstrates compliance with the requirements hereof. C. Terminate this Agreement. Exercise of any of the above remedies, however, is an alternative to any other remedies City may have. The above remedies are not the exclusive remedies for Consultant's failure to maintain or secure appropriate policies or endorsements. Nothing herein contained shall be construed as limiting in any way the extent to which Consultant may be held responsible for payments of damages to persons or property resulting from Consultant's or its subcontractors' performance of work under this Agreement. Last revised 2-17-11 7 0 R ,,,n, V 5.3 General Conditions pertaining to provisions of insurance coverage by Consultant. Consultant and City agree to the following with respect to insurance provided by Consultant: 1. Consultant agrees to have its insurer endorse the third party general liability coverage required herein to include as additional insureds City, its officials, employees and agents, using standard ISO endorsement No. CG 2010 with an edition prior to 1992. Consultant also agrees to require all contractors, and subcontractors to do likewise. 2. No liability insurance coverage provided to comply with this Agreement shall prohibit Consultant, or Consultant's employees, or agents, from waiving the right of subrogation prior to a loss. Consultant agrees to waive subrogation rights against City regardless of the applicability of any insurance proceeds, and to require all contractors and subcontractors to do likewise. 3. All insurance coverage and limits provided by Contractor and available or applicable to this agreement are intended to apply to the full extent of the policies. Nothing contained in this Agreement or any other agreement relating to the City or its operations limits the application of such insurance coverage. 4. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. 5. No liability policy shall contain any provision or definition that would serve to eliminate so-called "third party action over" claims, including any exclusion for bodily injury to an employee of the insured or of any contractor or subcontractor. 6. All coverage types and limits required are subject to approval, modification and additional requirements by the City, as the need arises. Consultant shall not make any reductions in scope of coverage (e.g. elimination of contractual liability or reduction of discovery period) that may affect City's protection without City's prior written consent. 7. Proof of compliance with these insurance requirements, consisting of certificates of insurance evidencing all of the coverages required and an additional insured endorsement to Consultant's general liability policy, shall be delivered to City at or prior to the execution of this Agreement. In the event such proof of any insurance is not delivered as required, or in the event such insurance is canceled at any time and no replacement coverage is provided, City has the right, but not the duty, to obtain any insurance it deems necessary to protect its interests Last revised 2-17-11 8 0332 under this or any other agreement and to pay the premium. Any premium so paid by City shall be charged to and promptly paid by Consultant or deducted from sums due Consultant, at City option. 8. It is acknowledged by the parties of this agreement that all insurance coverage required to be provided by Consultant or any subcontractor, is intended to apply first and on a primary, non-contributing basis in relation to any other insurance or self insurance available to City. 9. Consultant agrees to ensure that subcontractors, and any other party involved with the project that is brought onto or involved in the project by Consultant, provide the same minimum insurance coverage required of Consultant. Consultant agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Consultant agrees that upon request, all agreements with subcontractors and others engaged in the project will be submitted to City for review. 10. Consultant agrees not to self -insure or to use any self -insured retentions or deductibles on any portion of the insurance required herein (with the exception of professional liability coverage, if required) and further agrees that it will not allow any contractor, subcontractor, Architect, Engineer or other entity or person in any way involved in the performance of work on the project contemplated by this agreement to self -insure its obligations to City. If Consultant's existing coverage includes a deductible or self -insured retention, the deductible or self -insured retention must be declared to the City. At that time the City shall review options with the Consultant, which may include reduction or elimination of the deductible or self -insured retention, substitution of other coverage, or other solutions. 11. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Consultant, the City will negotiate additional compensation proportional to the increased benefit to City. 12. For purposes of applying insurance coverage only, this Agreement will be deemed to have been executed immediately upon any party hereto taking any steps that can be deemed to be in furtherance of or towards performance of this Agreement. 13. Consultant acknowledges and agrees that any actual or alleged failure on the part of City to inform Consultant of non-compliance with any Last revised 2-17-1 l 9 0383 insurance requirement in no way imposes any additional obligations on City nor does it waive any rights hereunder in this or any other regard. 14. Consultant will renew the required coverage annually as long as City, or its employees or agents face an exposure from operations of any type pursuant to this agreement. This obligation applies whether or not the agreement is canceled or terminated for any reason. Termination of this obligation is not effective until City executes a written statement to that effect. 15. Consultant shall provide proof that policies of insurance required herein expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Proof that such coverage has been ordered shall be submitted prior to expiration. A coverage binder or letter from Consultant's insurance agent to this effect is acceptable. A certificate of insurance and/or additional insured endorsement as required in these specifications applicable to the renewing or new coverage must be provided to City within five (5) days of the expiration of coverages. 16. The provisions of any workers' compensation or similar act will not limit the obligations of Consultant under this agreement. Consultant expressly agrees not to use any statutory immunity defenses under such laws with respect to City, its employees, officials and agents. 17. Requirements of specific coverage features or limits contained in this section are not intended as limitations on coverage, limits or other requirements nor as a waiver of any coverage normally provided by any given policy. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue, and is not intended by any party or insured to be limiting or all-inclusive. 18. These insurance requirements are intended to be separate and distinct from any other provision in this agreement and are intended by the parties here to be interpreted as such. 19. The requirements in this Section supersede all other sections and provisions of this Agreement to the extent that any other section or provision conflicts with or impairs the provisions of this Section. 20. Consultant agrees to be responsible for ensuring that no contract used by any party involved in any way with the project reserves the right to charge City or Consultant for the cost of additional insurance coverage required by this agreement. Any such provisions are to be deleted with reference to City. It is not the intent of City to reimburse any third party for the cost of complying with these Last revised 2-17-11 10 0384 requirements. There shall be no recourse against City for payment of premiums or other amounts with respect thereto. 21. Consultant agrees to provide immediate notice to City of any claim or loss against Consultant arising out of the work performed under this agreement. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve City. 6.0 INDEMNIFICATION. a. General Indemnification Provision. 1. Indemnification for Professional Liability. When the law establishes a professional standard of care for Consultant's Services, to the fullest extent permitted by law, Consultant shall indemnify, protect, defend and hold harmless City and any and all of its officials, employees and agents ("Indemnified Parties") from and against any and all claims, losses, liabilities of every kind, nature and description, damages, injury (including, without limitation, injury to or death of an employee of Consultant or subconsultants), costs and expenses of any kind, whether actual, alleged or threatened, including, without limitation, incidental and consequential damages, court costs, attorneys' fees, litigation expenses, and fees of expert consultants or expert witnesses incurred in connection therewith and costs of investigation, to the extent same are cause in whole or in part by any negligent or wrongful act, error or omission of Consultant, its officers, agents, employees or subconsultants (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of professional services under this agreement. With respect to the design of public improvements, the Consultant shall not be liable for any injuries or property damage resulting from the reuse of the design at a location other than that specified in Exhibit C without the written consent of the Consultant. 2. Indemnification for Other Than Professional Liability. Other than in the performance of professional services and to the full extent permitted by law, Consultant shall indemnify, defend and hold harmless City, and any and all of its employees, officials and agents from and against any liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including, without limitation, incidental and consequential damages, court costs, attorneys' fees, litigation expenses, and fees of expert consultants or expert witnesses) incurred in connection therewith and costs of investigation, where the same arise out of, are a consequence of, or are in any way attributable to, in whole or in part, the performance of this Agreement by Consultant or by any individual or entity for which Consultant is legally liable, Last revised 2-17-11 11 0385 including but not limited to officers, agents, employees or subconsultants of Consultant. 3. Standard Indemnification Provisions. Consultant agrees to obtain executed indemnity agreements with provisions identical to those set forth herein this section from each and every subconsultant or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this agreement. In the event Consultant fails to obtain such indemnity obligations from others as required herein, Consultant agrees to be fully responsible according to the terms of this section. Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder. This obligation to indemnify and defend City as set forth herein is binding on the successors, assigns or heirs of Consultant and shall survive the termination of this agreement or this section. 4. Indemnity Provisions for Contracts Related to Construction. Without affecting the rights of City under any provision of this agreement, Consultant shall not be required to indemnify and hold harmless City for liability attributable to the active negligence of City, provided such active negligence is determined by agreement between the parties or by the findings of a court of competent jurisdiction. In instances where City is shown to have been actively negligent and where City's active negligence accounts for only a percentage of the liability involved, the obligation of Consultant will be for that entire portion or percentage of liability not attributable to the active negligence of City. b. Indemnification Provision for Desiqn Professionals 1. Applicability of Section 6.0(b). Notwithstanding Section 6.0(a) hereinabove, the following indemnification provision shall apply to Consultants who constitute "design professionals" as the term is defined in paragraph 3 below. 2. Scope of Indemnification. To the fullest extent permitted by law, Consultant shall indemnify, defend, and hold harmless City and City's agents, officers, officials, employees, representatives, and departments (""Indemnified Parties") from and against any and all claims, losses, liabilities of every kind, nature and description, damages, injury (including, without limitation, injury to or death of an employee of Consultant or subconsultants), costs and expenses of any kind, whether actual, alleged or threatened, including, without limitation, incidental and consequential damages, court costs, attorneys' fees, litigation expenses, and fees of expert consultants or expert witnesses incurred in connection therewith and costs of investigation, that arise out of, pertain to, or relate to, directly or indirectly, in whole or in part, the negligence, recklessness, or willful misconduct of Last revised 2-17-11 12 03B6 Consultant, any subconsultant, anyone directly or indirectly employed by them or anyone that they control. 3. Design Professional Defined. As used in this Section 6.0(b), the term "design professional" shall be limited to licensed architects, registered professional engineers, licensed professional land surveyors and landscape architects, all as defined under current law, and as may be amended from time to time by Civil Code § 2782.8. 7.0 RECORDS AND REPORTS. 7.1 Reports. Consultant shall periodically prepare and submit to the Contract Officer such reports concerning Consultant's performance of the services required by this Agreement as the Contract Officer shall require. 7.2 Records. Consultant shall keep such books and records as shall be necessary to perform the services required by this Agreement and enable the Contract Officer to evaluate the cost and the performance of such services. Books and records pertaining to costs shall be kept and prepared in accordance with generally accepted accounting principals. The Contract Officer shall have full and free access to such books and records at all reasonable times, including the right to inspect, copy, audit, and make records and transcripts from such records. 7.3 Ownership of Documents. Originals of all drawings, specifications, reports, records, documents and other materials, whether in hard copy or electronic form, which are prepared by Consultant, its employees, subcontractors and agents in the performance of this Agreement, shall be the property of City and shall be delivered to City upon termination of this Agreement or upon the earlier request of the Contract Officer, and Consultant shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership of the documents and materials hereunder. Consultant shall cause all subcontractors to assign to City any documents or materials prepared by them, and in the event Consultant fails to secure such assignment, Consultant shall indemnify City for all damages suffered thereby. In the event City or any person, firm or corporation authorized by City reuses said documents and materials without written verification or adaptation by Consultant for the specific purpose intended and causes to be made or makes any changes or alterations in said documents and materials, City hereby releases, discharges, and exonerates Consultant from liability resulting from said change. The provisions of this clause shall survive the completion of this Contract and shall thereafter remain in full force and effect. Last revised 2-17-11 13 0331 7.4 Release of Documents. The drawings, specifications, reports, records, documents and other materials prepared by Consultant in the performance of services under this Agreement shall not be released publicly without the prior written approval of the Contract Officer or as required by law. Consultant shall not disclose to any other entity or person any information regarding the activities of City, except as required by law or as authorized by City. 8.0 ENFORCEMENT OF AGREEMENT. 8.1 California Law. This Agreement shall be construed and interpreted both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Riverside, State of California, or any other appropriate court in such county, and Consultant covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. 8.2 Disputes. In the event of any dispute arising under this Agreement, the injured party shall notify the injuring party in writing of its contentions by submitting a claim therefore. The injured party shall continue performing its obligations hereunder so long as the injuring party commences to cure such default within ten (10) days of service of such notice and completes the cure of such default within forty-five (45) days after service of the notice, or such longer period as may be permitted by the Contract Officer; provided that if the default is an immediate danger to the health, safety and general welfare, City may take such immediate action as City deems warranted. Compliance with the provisions of this section shall be a condition precedent to termination of this Agreement for cause and to any legal action, and such compliance shall not be a waiver of any party's right to take legal action in the event that the dispute is not cured, provided that nothing herein shall limit City's right to terminate this Agreement without cause pursuant to Section 8.7. 8.3 Retention of Funds. City may withhold from any monies payable to Consultant sufficient funds to compensate City for any losses, costs, liabilities, or damages it reasonably believes were suffered by City due to the default of Consultant in the performance of the services required by this Agreement. 8.4 Waiver. No delay or omission in the exercise of any right or remedy of a non defaulting party on any default shall impair such right or remedy or be construed as a waiver. City's consent or approval of any act by Consultant requiring City's consent or approval shall not be deemed to waive or render unnecessary City's consent to or approval of any subsequent act of Consultant. Any waiver by either party of any default must be in writing and shall not be a Last revised 2-17-11 14 0388 waiver of any other default concerning the same or any other provision of this Agreement. 8.5 Rights and Remedies are Cumulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative and the exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party. 8.6 Legal Action. In addition to any other rights or remedies, either party may take legal action, at law or at equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement. 8.7 Termination Prior To Expiration Of Term. This section shall govern any termination of this Agreement, except as specifically provided in the following Section 8.8 for termination for cause. City reserves the right to terminate this Agreement at any time, with or without cause, upon thirty (30) days' written notice to Consultant. Upon receipt of any notice of termination, Consultant shall immediately cease all services hereunder except such as may be specifically approved by the Contract Officer. Consultant shall be entitled to compensation for all services rendered prior to receipt of the notice of termination and for any services authorized by the Contract Officer thereafter in accordance with the Schedule of Compensation or such as may be approved by the Contract Officer, except as provided in Section8.3. 8.8 Termination for Default of Consultant. If termination is due to the failure of Consultant to fulfill its obligations under this Agreement, City may, after compliance with the provisions of Section 8.2, take over work and prosecute the same to completion by contract or otherwise, and Consultant shall be liable to the extent that the total cost for completion of the services required hereunder exceeds the compensation herein stipulated (provided that City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to Consultant for the purpose of setoff or partial payment of the amounts owed City as previously stated in Section 8.3. 8.9 Attorneys' Fees. If either party commences an action against the other party arising out of or in connection with this Agreement, the prevailing party shall be entitled to recover reasonable attorneys' fees and costs of suit from the losing party. Last revised 2-17-11 15 0389 9.0 CITY OFFICERS AND EMPLOYEES; NONDISCRIMINATION. 9.1 Non -liability of City Officers and Employees. No officer or employee of City shall be personally liable to Consultant, or any successor in interest, in the event or any default or breach by City or for any amount which may become due to Consultant or to its successor, or for breach of any obligation of the terms of this Agreement. 9.2 Conflict of Interest. No officer or employee of City shall have any personal interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which affects his or her personal interest or the interest of any corporation, partnership or association in which she or he is, directly or indirectly, interested, in violation of any State statute or regulation. Consultant warrants that it has not paid or given and will not pay or give any third party any money or general consideration for obtaining this Agreement. 9.3 Covenant against Discrimination. Consultant covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, marital status, national origin or ancestry in the performance of this Agreement. Consultant shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, marital status, national origin or ancestry. 10.0 MISCELLANEOUS PROVISIONS 10.1 Notice. Any notice, demand, request, consent, approval, communication either party desires or is required to give the other party or any other person shall be in writing and either served personally or sent by prepaid, first-class mail to the address set forth below. Either party may change its address by notifying the other party of the change of address in writing. Notice shall be deemed communicated forty-eight (48) hours from the time of mailing if mailed as provided in this section. To City: CITY OF LA QUINTA Attention: Thomas P. Genovese City Manager 78-495 Calle Tampico P.O. Box 1504 La Quinta, California 92247-1504 To Consultant: NAI Consulting, Inc. Attention: Lloyd Nickerson, Jr. President 68-955 Adelina Road Cathedral City, CA 92234 Last revised 2-17-11 16 0390 10.2 Integrated Agreement. This Agreement contains all of the agreements of the parties and all previous understanding, negotiations and agreements are integrated into and superseded by this Agreement. 10.3 Amendment. This Agreement may be amended at any time by the mutual consent of the parties by an instrument in writing signed by both parties. 10.4 Severability. In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the parties hereunder. 10.5 Authority. The persons executing this Agreement on behalf of the parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said parties and that by so executing this Agreement the parties hereto are formally bound to the provisions of this Agreement. (The remainder of this page intentionally left blank.) Last revised 2-17-11 17 0391 IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates stated below. CITY OF LA QUINTA a California municipal corporation Thomas P. Genovese, City Manager ATTEST: Veronica J. Montecino, CMC, City Clerk APPROVED AS TO FORM: M. Katherine Jenson, City Attorney CONSULTANT: NAI Consulting, Inc. JIM Name: Lloyd Nickerson, Jr. Title: President Date: April 6, 2011 Date Last revised 2-17-11 18 0392 Exhibit A Scope of Services As directed by City Staff, the consultant's services shall include, but are not limited to the performance of the following assignments, duties and tasks: • Prepare and submit necessary documents, and coordinate with various regional, county, state and federal funding agencies to acquire and maintain funding approval. • Prepare and track project schedules. • Prepare correspondence, reports, and memorandums necessary to administer various City capital improvement projects. • Assist with bidding procedures, prepare bid summary comparisons in a table format, and make recommendations for City Council consideration to award Public Works contracts for construction. • Prepare and conduct informal request for proposals to construction support sub - consultants, summarize proposals received and make recommendations for award of Professional Services Agreements. • Monitor and report on project status, budget vs. actual expenditures, and contract time vs. actual time. • Prepare staff reports for City Council consideration, as necessary. Other work objectives may include: • Preparation of the City's annual 5-year Capital Improvement Program; • Preparation and/or management of the City's Development Impact Fee Update; and • Continued assistance with issues associated with the Coachella Valley Transportation Uniform Mitigation Fee (TUMF) Program. 0393 Exhibit B Schedule of Compensation Payment shall be in full at the rates listed in the Schedule of Billing Rates attached herewith for the actual hours submitted in conformance with Section 2.2 of the Agreement. Total compensation for all work under this contract shall not exceed Three Hundred Six Thousand Four Hundred Dollars ($306,400.00) except as specified in Section 1.6 - Additional Services of the Agreement. Services will be billed on a monthly basis for time and materials expended. All man-hour costs to be billed at the following hourly rates. Project Manager/Administrator Professional Civil Engineer Design Engineer CAD Draftsman Project Technician Secretarial Support $125.00 per hour $140.00 per hour $110.00 per hour $85.00 per hour $85.00 per hour $50.00 per hour Any reimbursable expenses shall be provided at cost, without mark-up or additional overhead. 0394 Exhibit C Schedule of Performance Consultant shall complete all services within the TIME LINE ALLOWED BY THE TOTAL CONTRACT SUM. 0395 Exhibit D Special Requirements NONE. Last revised 2-17-11 22 0396 4 4v Qumrry AGENDA CATEGORY: BUSINESS SESSION: i! COUNCIL/RDA MEETING DATE: April 19, 2011 CONSENT CALENDAR: ITEM TITLE: Consideration of the SilverRock Resort STUDY SESSION: 2011-2012 Annual Plan PUBLIC HEARING: RECOMMENDATION: Approve the 2011-2012 Annual Plan as submitted by Landmark Golf Management, LLC which projects operating expenses of $3,501,441 and revenues of $3,441,913 for a net operating loss of $59,528 plus additional expenses of $105,842 for the 2012 Bob Hope Classic Tournament for a net loss of $165,370. FISCAL IMPLICATION Annual Plan The 2011-2012 Annual Plan (Attachment 1) as drafted for SilverRock Resort projects operating expenses of $3,501,441 and revenues of $3,441,913 for a net operating loss of $59,528. As a component of the Annual Plan, the operator is recommending supplemental 2012 Bob Hope Classic Tournament expenses (personnel, materials, and equipment) in the amount of $105,842. If approved, there will be a deficit of $165,370. This proposed Annual Plan for Fiscal Year 201 1-2012 includes the additional costs for the SilverRock entry water feature. These costs include the electrical pumps, the landscape maintenance, and the lake maintenance. In previous years, these items were paid through the Lighting and Landscape District (LLD). In addition to the golf course operating revenues and expenditures, there are also additional City revenues and expenditures that are included for the total SilverRock Resort Golf Course Budget, which will be presented to the City Council in June during the Preliminary Fiscal Year 2011-2012 Budget. The revenue and expenditure projections include $84,000 (1,200 X $70) in revenues for SilverRock Resort Resident Cards and $261,488 in expenditures. These expenditures include staff salary, benefits, and training ($63,245), the Bob Hope Classic Annual Fee and Parking costs ($130,000), facility maintenance and repair ($30,000), bank charges ($32,000), and equipment and vehicle operations ($6,243). With these additional revenues and 0391 expenditures the deficit for Fiscal Year 2011-2012 is projected to be $342,858. Factored into the green fee revenue budget is the loss of seven (7) days of revenue during the 2012 Bob Hope Classic. This loss is estimated to be $150,000 in revenue and 1,500 rounds of golf. Any additional days of course closure for the Bob Hope Classic or for inclement weather would result in further impacts to the revenue budget. As a result of the Food and Beverage License Agreement between the City and Landmark Golf Management, LLC, the food and beverage revenue and expenses are not recognized in the 2011-2012 Annual Plan. Instead, food and beverage revenues and expenses, which are equal, will be accounted for through the Food and Beverage License Agreement. CHARTER CITY IMPLICATIONS: BACKGROUND AND OVERVIEW: The City entered into a Golf Course Management Agreement with Landmark Golf Management, LLC (Operator) in April 2004. Section 3.2.1 of the Agreement provides that the Operator shall submit an Annual Plan to the City Manager, including a projected operating budget, for the upcoming fiscal year. The Annual Plan for Fiscal Year 2010-2011 was $3,304,637 for operating expenses and revenues of $3,384,936 for a net operating income of $80,299 plus additional expenses of $100,007 for the Bob Hope Classic Tournament for a net loss of $19,708. Summary of the Fiscal Year 2011-2012 Landmark Golf LLC Annual Plan Assumptions used in this plan include: • 43,200 rounds of play for Fiscal Year 2011-2012; • No rate changes are recommended; • An average projected revenue of $83.35 per round; • A 2% capital reserve of $62,761 for future golf course improvements/renovations, per the Management Agreement (section 3.10.11; • Entry lake electrical costs of $189,484 that were previously paid from the LLD. • Entry landscape costs of $52,280 that were previously paid from the LLD • Additional lake maintenance costs of $31,200 that was previously shared with the LLD and Redevelopment Agency. Bob Hope Classic Tournament The golf course operator recommends a proposed amount of $105,842 in supplemental expenses for the 2012 Bob Hope Classic as follows: 0398 1. Personnel Costs = $18,842. The additional personnel costs will cover the overtime expenses that will be required to prepare the course for the tournament as well as having the golf course being open to the public through the opening day of the event. 2. Supplies and Materials = $79,000. This amount will cover any unforeseen incidents, such as acts of nature, which may require bunker sand replacement, tree replacement, seed and sod for the turf, and plants for replacement or enhancement purposes. 3. Equipment = $8,000. This amount will cover equipment rental for pumps, generators, and any other equipment they may be necessary for the event. Marketing The Marketing Narrative is on pages 20 and 21 of the proposed 2011-2012 Annual Plan with the Marketing Budget listed on page 16. Direct advertising and creating awareness for SilverRock Resort is budgeted for $254,820. The Arnold Palmer Classic Course is being promoted as a premier golf destination in the Coachella Valley through newspapers, magazines, directories, the internet, television, and radio. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: Approve the 2011-2012 Annual Plan as submitted by Landmark Golf Management, LLC which projects operating expenses of $3,501,441 and revenues of $3,441,913 for a net operating loss of $59,528 plus additional expenses of $105,842 for the 2012 Bob Hope Classic Tournament for a net loss of $165,370; or 2. Do not approve the 2011-2012 Annual Plan as submitted by Landmark Golf Management, LLC;or 3. Approve the Annual Plan with modifications. Respectfully submitted, Edie Hylton Community ervices Director 0399 Approved for submission by: Thomas P. Genovese, City Manager Attachment: 1. 2011-2012 Annual Plan 0400 ATTACHMENT 1 LVERROCK @ SilverRock Resort -Arnold Palmer Classic Course 2011-2012 ANNUAL PLAN Prepared For: City of La Quinta SilverRock Resort Prepared BY: Landmark Golf Management Submitted: April 11, 2011 0 U 1 SILVERROCK RESORT Annual Plan Fiscal Year 2011-2012 Table of Contents Part I -Project Overview Project Fact Sheet 1 Mission Statement 2 Philosophy Statement 3 Organizational Chart 4 Key Employee Staffing and Salaries 5 Part II -Assumptions 2011-2012 Assumptions 6,7 Part III -Operational Financial Projections 2011-2012 Consolidated Income Statement 8 Part IV -Department Detail Golf Rounds and Revenue 9 Golf Shop / Merchandise 10 Carts, Bagroom & Range 11 Course Services 12 Golf Course Maintenance 13,14 General & Administrative 15 Marketing 16 Clubhouse 17 Miscellaneous 18 Part V-Food and Beverage Department Detail 19 Part VI -Other Marketing Narrative Plan 20,21 2011-2012 Golf Rates 22 Bob Hope Assumptions 23 Bob Hope Supplemental Budget 24 OU2 S I I_VEARoc K" PROJECT FACT SHEET COURSE NAME SilverRock Resort -Arnold Palmer Classic Course ADDRESS 79-179 Ahmanson Lane, La Quinta, Ca. 92253 TELEPHONE 1-888-600-7272 1-760-777-8884 WEBS ITE W W W.S ILVERROMORG MANAGEMENT Randy Duncan, PGA, Director of Golf / General Manager Willie Lopez, Golf Course Superintendent COURSE YARDAGE SILVER 7,578 PAR 72 GOLD 7,146 PAR 72 BLUE 6,658 PAR 72 WHITE 5,984 PAR 72 GREEN 5,320 PAR 72 RED 4,884 PAR 72 GRASS TYPES GREENS: TIF DWARF FAIRWAY / TEES: TIF SPORT ROUGHS: TIF SPORT OWNER CITY OF LA QUINTA MANAGED BY LANDMARK GOLF MANAGEMENT, LLC 74-947 HIGHWAY 111, SUITE 200 INDIAN WELLS, CA 92210 PHONE: (760) 776-6688 DATE OPENED February 14, 2005 0403 SILVERROCK RESORT Annual Plan Fiscal Year 2011-2012 Mission Statement "TO BE THE BEST" "TO HAVE THE BEST GOLF FACILITIES" "TO HAVE THE BEST GOLF COURSE CONDITIONS" "TO PROVIDE THE BEST SERVICE" SilverRock Resort is dedicated to providing the finest public golf experience. All Staff Members of the facility play an important role in our Mission. Staff is supported through training and resources to ensure success. SilverRock Resort aspires to represent ownership and management with the highest standard of service in the Golf/Resort Industry and produce superior golf course conditions to meet and exceed the goals. Goals and Objectives: To support our Mission Statement and to achieve the projected Annual Plan; SilverRock Resort will pursue the following goals and objectives: • To hire and train staff members that will provide a high standard of guest services and maintain the highest level of course conditions • To maintain and pursue an aggressive Marketing Plan that benefits/acknowledges the La Quinta Residents, local residents, avid tourist golfers and golfing public • To present a facility and golf course conditions to host the Bob Hope Classic with a continuing strong commitment to be in the rotation of golf clubs • To have each Department operate within their annual budget allowing SilverRock Resort to reach the net operating goals 2 04"4 SILVERROCK RESORT Annual Plan Fiscal Year 2011-2012 PHILOSOPHY STATEMENT After six (6) and a half years of operations, an Annual Plan accommodated the operational start-up through and including grow -in, final construction of the Arnold Palmer Classic Course, a notable Grand Opening Celebration and SilverRock's fourth successful year in the Bob Hope Classic. As the 2011-2012 Annual Plan is implemented, focus will continue to be on broadening the awareness, marketability and noteworthiness of SilverRock Resort's Arnold Palmer Classic Course, golf facilities and amenities. Also a strong emphasis will continue to be placed on SilverRock's participation in future Bob Hope Classic Tournaments which SilverRock is contracted to be part of for the next six (6) years. The philosophy that Landmark Golf Management perpetuates at SilverRock Resort is: an operation that allows management to utilize golf industry best -practices in accommodating market -driven demands as market shifts may occur. Each golf course facility has its own personality and characteristics; therefore, each golf operation is unique to some degree and should be managed with personality and characteristics taken into consideration. Golf operators that adjust procedures to short and long term market and industry fluctuations are better suited to maximize opportunities. In this upcoming seventh complete twelve (12) months of operations, Landmark Golf Management will put forth every effort to better position SilverRock Resort as a place to frequent in the eyes and minds of the influential decision makers in the world of golf. BRAND PROMISE Discover the mystique of SilverRock Resort, the crown jewel of La Quinta and its golf legacy. Rich in both history and legend, the majestic Santa Rosa Mountains frame an unwavering commitment to an exceptional experience at SilverRock Resort. Our Promise: Exceptional in All, For All, Always. 3 0405 Golf Shop Head Golf Professional Asst. Golf Professionals Golf Shop Buyer Sales Associates Guest / Outside Service Outside Services Manager ;arts/Bao Room Starters P.A. Golf Course Maintenance Superintendent Asst. Superintendent Mechamc(s) Irrigation Technician Spre Technician Greenskeeper(s) Administrative Asst. SilverRock Resort 2011-2012 Annual Plan ORGANIZATIONAL CHART Community Services Director I Landmark Golf Management Management Team I SilverRock Resort Golf Club General Mgr. / Director of Golf Accounting Controller Human Resources 4 Admin. Asst. To Controller & GM Food & Beverage F&B Manager Restaurant F&S Server(s) / Cart Attendent(s) Marketing & Tournament Sales 20114012 ANNUAL PLAN Key Em to ee Staffin N,IPAKxn KY: L,6am,rx cKn M,K,9.m.ne DEPARTMENT SUMMARY JUL. AUG. 9EP. OCT. NOV. DEC. JqN. FE6. MAR. APR. MAY JUN. GOLF OPERATION OUTSIOESERWCES OUTSIDE SERVICES MANAGER (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 OUTSIDE SERVICES SUPERVISORS(FULL-TIME)1 I 1 1 1 1 1 1 1 1 1 1 DRIVING RANGE (PART-TIME) 1 1 1 1 1 1 2 2 2 2 1 1 CARTIBAGNALETIBAG DROP(FULL-TIME) 4 4 4 4 4 4 4 4 4 4 4 4 CARTRAGNALETRAG DROP (PART-TIME) 0 0 0 2 2 2 2 2 2 2 1 1 SHUTTLE DRIVER (PART-TIME) 0 0 0 0 2 2 2 2 2 2 0 0 T T 2 9 11 11 12 12 12 12 6 6 GOLF SHOP HEAD GOLF PROFESSIONAL (FULL LIME) 1 I 1 1 1 1 1 1 1 1 1 1 1ST ASSISTANT PROFESSIONAL (FULLTIME) 1 1 1 1 1 1 1 1 1 1 1 1 MERCHANDISER (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 ASSISTANT PROFESSIONAL (FULL TIME) 2 2 2 2 2 2 2 2 2 2 2 2 SALES CLERKS (FULL TIME) 1 1 1 2 2 2 2 2 2 2 2 2 SALES CLERKS (PART TIME) 0 0 1 1 1 1 1 i 1 1 1 0 6 6 ] 5 6 6 6 6 6 l 6 T COURSE SERVICES STARTERS (PART TIME) 3 3 3 3 3 3 3 3 3 3 3 3 RANGERMIARSHALS(PART TIME) 0 0 0 0 2 4 4 4 4 4 0 0 3 ] 3 ] 5 ] T T T T ] ] GOLF COURSE MAINTENANCE SUPERINTENDENT (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 ASST SUPERINTENDENT (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 FOREMANISPRAY TECHNICIAN (FULL TIME) 1 1 HEAD MECHANIC I FACILITY MANAGER (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 t ASST MECHANIC (FULLTME) 1 1 1 1 1 1 1 1 1 1 1 1 HEAD IRRIGATOR (FULL TIME) 1 1 1 1 1 1 1 1 1 t 1 1 ASST IRRIGATOR (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 GREENKEEPERS (FULL TIME) 17 17 9 17 tT tT 17 ti tT tT tT tT ADMINISTRATIVE ASSISTANT (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 TOTAL TURF 6. ADMIN STAFF 25 25 25 25 25 25 25 25 25 25 25 25 LANDSCAPE MAINTENANCE FOREMAN (FULLTIME) 1 1 1 1 1 1 1 1 1 1 1 1 IRRIGATOR (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 LANDSCAPERS (FULL TIME) 6 6 6 6 8 6 6 6 6 6 6 6 TOTAL LANDSCAPE CREW 6 a e 6 a 6 a 6 a 6 6 6 TOTAL COURSE MAINTENANCE STAFF 33 33 ]] 33 33 33 33 33 33 ]] 33 33 FOOD 3 BEVERAGE F I B MANAGER I SUPERVISOR (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 CHEF (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 COOK (FULL TIME) I 1 1 1 1 1 1 1 1 1 1 1 PREP COOK (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 LEAD SERVER (FULL-TIME) 1 1 1 1 1 1 1 1 1 1 1 1 F S B WARIBEVERAGE CARTMALF(FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 F 6 B WAITREVERAGE GARTMALF(PART TIME) 2 2 2 3 3 3 3 3 3 3 3 2 BUSER I DISHWASHER (PART TIME) 1 1 1 1 1 1 1 1 1 1 1 1 9 9 9 10 10 10 10 VI 10 10 10 9 OSA DIRECTOR OF GOLF/GM (FULLTME) 1 1 1 1 1 1 1 1 1 1 1 1 CLUB CONTROLLER (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 t ADMINISTRATIVE ASSISTANT (FULL TIME) 1 1 1 1 1 1 1 1 1 1 1 1 3 3 3 ] ] 3 3 3 ] 3 ] ] MARKETING?OURNAMENT TOURNAMENT SALES) GROUP COORDINATOR (FULL TIME) TOTAL EMPLOYEES SILVERROCK RESORT 2011-2012 ANNUAL PLAN 2011-2012 Assumptions Revenue Green Fees: A green fee includes golf cart and warm-up range balls. A combination of the various green fee rates and green fee mix of Regular, Twilight, and Resident play is anticipated to yield an average rate of $72.64 per round on an annualized basis. The Green fee rates for 201 1-2012 are projected to remain consistent with the prior year's rates due to economic and competitive concerns. It is assumed in this Annual Plan that Resident's Guests will continue to be offered a discount as accompanied guests of La Quinta Resident card holders. The Resident Guest rate represents a 30% discount on the prevailing posted rates and follows similar booking procedures as extended to a La Quinta Resident card holder; booking three (3) days in advance. It is assumed that the golf course will be closed to public play during the Bob Hope Classic from January 16-22, 2012. It is also assumed the overseeding dates will be October 3-31, 2011; over seeding reduces revenues, which is taken into consideration in these projections, due to the course being closed during these dates. It is also projected that aerification will occur in June of 2011 and August of 2011 which reduces revenue for 3-5 days with each of these two (2) aerification cycles. Greens Fee Mix: Through proper marketing, yield management, and limited advanced Resident bookings the projected mix of green fees is: 30% Resident, 25% Public, 10% Public Twilight, & 35% Other (tournaments, wholesalers, juniors, resident guests, replays and discounts). Miscellaneous and Other Revenue: Based on $3.26 per round. This consists of golf club rentals, golf club repairs, handicap fees, driving range fees, rider fees, 15 % of golf lessons and Independent Contractor's Fees (Teaching Professionals). Golf Shop Merchandise: Based on retail sales of $7.45 per round. Cost of Goods Sold Merchandise 53 % Food & Beverage 33 % Expenses Golf Carts, Bag Room, and Driving Range: Includes outside service, valet, bag room, and driving range staff plus supplies and operating expense for this department. There are no projected employee compensation increases for this department in the 201 1-2012 Annual Plan. Golf Shop: Includes golf professionals, merchandising sales staff, receiving staff and golf shop operational expenses. There are no projected employee compensation increases for this department in the 201 1-2012 Annual Plan. ME SILVERROCK RESORT 2011-2012 ANNUAL PLAN Course Services: Includes course service staff consisting of course rangers/starters and related department supplies and materials. There are no projected employee compensation increases for this department in the 2011-2012 Annual Plan. Golf Course Maintenance: Includes grounds maintenance staff, supplies, and materials. Over seeding dates are projected to be October 3-31, 2011, which results in projected higher labor cost and supply costs during the annual overseeding process. There will be areas on the golf course that will continue to not be over -seeded in attempt to reduce seed cost and conserve water. There are projected employee compensation increases in this department during the 2011-2012 Annual Plan not to exceed $15,000 annually. In addition, Front Entry Landscape Maintenance has been added into this department's operating budget. In previous years the Front Entry Landscape Maintenance was budgeted through the LLD or a supplemental budget. Bob Hope Classic: It is assumed that SilverRock Resort will host the 2012 Bob Hope Classic. An Assumption sheet and a Supplemental Budget (not part of the Operations Budget), attached hereto as pages 23 & 24 provide the additional maintenance expenses required to prepare the facility. Water & Electrical: The 2011-2012 Annual Plan includes water and electrical costs to irrigate the golf course and properly maintain the lake system. This is accounted for in the Golf Course Maintenance budget. Electric costs have increased $184,000 annually to cover 100 percent of the electric costs which include the front entry water falls, golf course pump station, north village lake water falls & circulation pumps, cart storage area and clubhouse. Food & Beverage: Includes food & beverage staff and expenses for the temporary clubhouse. There is a separate Agreement for the Food & Beverage Department including the Liquor License arrangement between the City and Landmark Golf Manaaement. There are no projected employee compensation increases for this department in the 201 1-2012 Annual Plan. Marketing: Includes marketing, public relations, advertising, web page, collateral and tournament sales, etc. Refer to pages 20 & 21 for marketing plan narrative. Clubhouse: Includes clubhouse expenses, maintenance/cleaning staff, landscape maintenance, parking lot and entry drive clean up. Roving patrol expenses used to secure the entire property of SilverRock remains included in this departments operating budget. Management Fee: The monthly Management Fee of $7,500 per the Golf Course Management Agreement is budgeted for the 2011-2012 fiscal year. Insurance: Per requirements of the Golf Course Management Agreement in the Annual Plan is the cost for comprehensive golf club insurance policy, general liability, property, equipment and business interruption etc. Personal Property Lease Tax: Exempt, except personal property taxes on equipment purchases or leases which are included in this Annual Plan. Golf Carts Lease: Golf carts are being leased for the Golf Club. The golf carts lease agreement runs through October of 2013. Golf Course Maintenance Equipment was purchased by the City in the fall of 2009. 04J9 2011.2012 ANNUAL PLAN SIIveMock Recon CONSOLIDATED INCOME STATEMENT .avow ..r.unru FOR FISCAL YEAR -DULY 2011 -JUNE 2012 .o...o... i�..n..n,�.,.... 2010.301i AOwalsl 2011 3G,iZ DEPARTMENT Fore.asL �DL)GPi,T.':.: JUL. AUG. SEP. OCT. NOV. DEC. JAN. FEB. MAR. APR. MAY JUN. ROUNDS ROUNDS 43,000 2,500 2,250 3375 300 4,675 3675 2,875 5.050 6200, 5200 4,650 2,450 TOTAL ROUNDS 43,000 2,600 2,250 3,375 300 4,675 3,076 2,875 5,050 6,200 6,200 4,660 2.450 REVENUE WE GREEN FEES 3121700 41 1381424, 90,531 80,395 152,719 17,145 350,450 268,229 252,281 469271 583,188 430,300 289,230 154289 1 MISC. REVIRANGEICARTSIRENTALS 129378 6, 14p` 0. 7,250 _ 5,725 8,088 3,690 16,753 15,004 13,044 18.373 21.190 16,920 9765 5,145 GOLF SHOP MERCHANDISE 372000 8500 7,313 15525 2,400 30,388 24,806 49,594 44186 57.350 39,000 27,900 14,700 FOOD 4 BEVERAGE CONCESSIONS 121000 v;:u1 4$$!--: 500 500 500 11500 1, 500 1, 500 11500 1500 1,Soo Soo 500 500 : ;: TOTAL REVENUE 3575078 _` 106,]81 93,933 176,831 24,735 399,090 309,539 316,419 533,331 663,228 486,720 327,39S 174,6M COSTOFSALES .ST w PRO SHOP 164,746 _?swi470172i'i 4611 3.881 6240 1.274 16,128 13,166 26,322 23,453 30,439 20699 14,808 7,802 AM TOTAL COST OF SALES 764,748 T Op74;t' 41611 3,881 8,240 1,274 16,128 13,166 26,322 23,453 30,439 20,699 14,808 7,902 '4 GROSS PROFIT 3410332 102,270 90,052 168,691 23,491 382,962 296,3T3 290,097 509,879 632,789 466,021 312,587 166,832 lmggg- N',1.' OPERATING EXPENSES GOLF CART503AGSIRANGE 229850 12,414 11551 13,355 23,327 27,839 17,709 19,886 19,886 19,561 19,061 15,875 25.965 5 GOLFSHOP 279,950 :2- 223j32T 17,005 15,905 17,174 13,922 19708 19p08 21,148 19,910 19,910 18,859 22,015 18,061 COURSE SERVICES $3160 `_` 54$9$i 2,255 2,061 3,193 1,971 5,129 6.922 7,071 7,021 7,344 6,513 2, 558 2, 558 GOLF COURSE MAINTENANCE 1531782 115%87 % 124,391 130,041 144,033 261,142 125403 113,021 122,025 117.016 113,332 116182 113,182 116,110 WATER 4 ELECTRIC COST 80965 14 26025 29520 24,175 18.210 18,905 20,415 17.876 22,489 19,555 20,967 24,272 28,040 GENERAL B ADMINISTRATIVE 311'160 ;;� OTT.- 25,452 25602 25,902 25.827 25,827 28,102 26,102 26,502 28,052 26D52 26,802 26,452 MARKETING 257 250 r 42$4,820; 12, 151 14,541 27.876 19,826 28, 184 27,234 29.086 24.766 24.734 22,984 13,216 10,216 CLUBHOUSE 133427 3" 5 : 10.636 10636 10636 11736 10,636 10.636 13236 10,636 11.136 10.626 10,636 11,036 MANAGEMENT FEE(Incls F&B Pro0.oss) 90000 i 21.221 23543 14,938 23,065 (5,453) 6623 4,487 (4,852) (11910) (5,060) 4,579 18,818 CAPITAL RESERVES 60,986 '_f i.TB+ 1.811 1,608 3,054 343 7,009 6,365 5,046 9,385 11664 8,606 5785 3.086 INSURANCE 27,075 2,200 2,200 2,200 2200, 2,200 2,200 2.200 2.200 2.200 2,200 2,200 2,200 PERSONAL PROPERTY LEASE TAXES 15579 =' 14-RpOo 5200, 0 0 9,600 0 0 0 0 0 0 0 0 LEASES(Cet 4 MeiM.) 233'018 -'_t323 480= 19.590 19,590 19,590 19,590 19,590 19.590 19,590 19,590 19,590 19,590 19,590 19,590 TOTAL OPERATING EXPENSES 3,237,924 is i3 01 .. is 280351 286799 306,126 430759 284,977 277,525 287.753 274,549 263,169 266,590 260,711 282, 132 NET INCOME 172,408 `e 628 (178,081) (196,747) (137,535) (407.298) 97,984 18,848 2,344 235,330 369620 199431 51,876 (115,301) NET INCOME% 4.8°/.'3 !'. ,v18$E 466.8% -209.5% -77.8% -1646.6%1 246% 6.1% 0.7% 44.1% 66.7% 41.0%1 15.8% .66.0% C Average Green Fee E7260 :.�E7' _ $36.21 L $3573 $4525 $57.15 $74.96 $72S9 $8775 $92.93 $9606 $82,75 $62.20 $62.98 Average$ Misc. Income Per Rd $301 'E3. $2.90 $2.54 $240 $12.30 $3.58 $4.08 $4.54 $3.64 $3,42 $3.25 S2.10 $2.10 Average$ Merchantllse per Rd E726 } 7;4 $3.40 $3.25 $460 $8.00 $6.50 $675 $17.25 $875 $9.25 $7.50 $6.00 $6.00 Total Avenge Revenue Per Round E82.06 345 $42.71 $41.75 $52.39 $82.45 $85.37 $84.23 $110.06 $105.61 $106.97 $93.60 $70.41 $71.28 20114012 ANNUAL PLAN - SllveMock Resort RUN DATE: l l-Aprvll 12:19 PM Protae0ons -July 2011 to June 2012 PREPAREDRV: Landmark Golf NlmaVment Golf Rounds Total JUL. AUG. I SEP. I OCT I NOV I DEC JAN FEB MAR. I APR JUN. Resident Rude (Weekday) 5,832 338 304 456 41 631 496 388 682 832 702 628 331 Resident Rnd,(Weekend) 7,128 413 371 557 50 71 eW 474 833 ion 858 767 404 Sub-Tot.1 Residern RnG IZ960 250 675 1013 90 1403 1103 so 1515 1860 1560 1395 rr35 %ofTnt.1 090 Public Rnds(Weekday) 4,360 281 353 380 34 526 413 323 568 6% 585 523 276 Public Rnds(Neekend) 5,940 344 309 464 41 643 505 3% 6% 853 715 639 337 Sub -Total Public Rude lamo 625 563 844 75 1169 919 7I9 IM3 1550 13M 1163 613 %:r/rnmr 0.25 Public Ten (Veekdey) 1,9+ 113 101 152 14 210 165 129 222 299 234 209 110 Public Ten (Weekend) 2,376 138 124 186 12 252 202 158 228 ml M6 no 135 Sub -Total Tred,lit Rods 4,320 250 225 338 30 4(18 ml, 288 505 620 520 465 245 %nfrot.l bid Other (Weekday) 6,S 394 354 532 Orr 236 SI9 453 rr95 9Tl 819 T32 ME Other(Weekend) 8,316 481 433 650 58 900 209 553 W2 1194 1001 $95 492 Toummuents 3,024 175 158 216 21 327 257 201 354 AM 3W 326 1B IMmlesalas 3,024 175 158 236 21 327 n7 201 354 4M 364 326 172 Resident Guest 1,512 88 29 118 11 164 129 Im 17l 217 182 163 86 Sfmid By Grlf 1,512 88 29 118 11 164 129 101 177 217 182 163 86 Discounts 3,780 219 Tarr 295 26 409 322 252 442 543 455 402 214 PGA 756 44 39 59 5 82 64 50 88 I09 91 81 43 lunim 250 44 39 59 5 82 64 50 88 IN 91 81 43 Replay 736 44 39 59 5 82 64 W 88 IN 91 81 43 S.b F,cil Oil,, 15,120 895 788 1181 105 1636 1286 loge 1968 2170 1820 16M 858 %ufrotal 0.35 Total Rounds 43,200 2+00 2250 33M 300 4625 3623 28T 500 62W 52M 4650 2450 Green Foes Resident Ends (Weekday) $ 30.90 $ 30.W $ 30.M $ 30.00 $ 45.00 $ 45.00 S 55.00 $ 55.M $ 55 o $ 55.00 $ 45.00 $ 45.00 Resident Red, (Weekend) $ 30.00 $ 30.W $ 30.M $ 30.00 9 45.W $ 45.00 S 55.to $ 55.W $ 5500 $ 55.W $ 45.00 $ 45.W Public pros(Wekday) $ 4000 $ 40.W $ 55.M $ 85to $ 100.00 $ IW.W $ 125.00 $ 14000 $ 135W S 13500 $ SO.W $ BOW Public gnus (Weekend) $ 40.00 $ 40.0a $ 55.M $ 90.00 $ 100.00 S 100.00 $ Ingo $ 14500 $ 150.W $ 135W $ BS.W $ 8001) Public Twi(Weekday) $ 40W $ 4000 $ 50.M $ 60.00 $ 7500 $ 20.00 $ 85.M $ 80W $ B.W $ 80.W $ SS $ 6000 Public Tent (Weekend) $ 40W $ 40M $ 50M $ 60W $ 7500 $ 25.W $ 85.W $ 85W $ B.W $ BOW $ 65.W $ 20.00 Other(lVeekdav) $ 35M $ 3500 $ 50.00 $ 55.co $ 80an $ 25.W $ 90.To $ do.W $ 95W $ 2000 S 6000 $ 60.00 Other (Weekend) $ 40.00 $ 3750 $ 50.00 $ 60.00 $ 85,00 $ 80.W S 90.W $ 95.W $ 95M $ 70.00 $ 6500 $ rrOW Golf Revenue Resident Ends (W'eekdev) rl,A $ 10,125 $ 9,113 $ 13,669 $ 1,215 $ MA I S =326 $ 21,342 $ 32,496 $ 46,M5 $ WIT $ M,249 $ 14,M4 Resident pros (Weekend) 331,994 $ 12,325 $ 11,138 $ 16,206 $ 1,485 $ 34,712 $ 29,282 $ 26,091 $ 45,829 $ 56,265 $ 42,190 $ 34,526 $ 18,191 Public Reds (Weekday) 4%,%9 $ 11,250 $ 10,125 $ 20,883 $ 2,869 $ 52,594 $ 41,344 $ 40,430 $ 29,538 $ 94,163 $ 28,W5 $ 41,850 $ 22,050 Public Ends(Weekend) 625,969 $ 13,7W $ 12,325 $ Q,523 $ 3,713 $ MIMI $ 50,531 $ 49,414 $ I00,684 $ 127,,875 $ 96,525 $ 54,342 $ 26,950 Public Ten (Weekday) 134014 $ 4,500 $ 4,050 S 2,594 $ 810 $ 15,78 $ 11,526 $ 10,992 $ 18,180 $ 23,715 $ 181R0 $ 11,509 $ 6,615 Public Twi(leekend) 170,136 $ 5,500 $ 4,950 $ 9,281 $ 990 $ 19,M4 $ 15,159 $ 13,"1 $ 2R609 $ M,985 $ 221880 $ 16,624 $ 91433 Other (Weekday) 487,202 $ 13,781 $ 12,403 $ 26,598 $ $599 $ 58,905 $ 43,411 $ 40,753 $ 21,584 $ 92,768 $ 57,330 $ 43,943 $ n,153 other(Weekend) 621,342 $ 19,250 $ 16,242 $ 32,4M $ 3,465 $ 76,495 $ 56,595 $ 49,809 $ 92,352 $ 113,383 $ 70,070 $ 58,183 $ 33,W4 Total Revenue 3,138,028 $ 9US31 $ $0,395 S 152,rr19 5 12,145 $ 350,450 $ 269Zto $ i2,281 S 469,21 $ 583,19 $ 43g3W 5 M9,M0 $ 154.M9 Aug. Rate l{ 72.64 $ M.21 $ 15,73 $ 45,25 $ 57..15 $ 74.96 $ T2.99 $ 8275 $ 92.93 $ 94.06 $ 83.25 $ 62.20 S 8298 Mise Revenue Club Rental 21,6W $ 1,250 $ 1,125 $ 1688 $ 150 S 2,338 S 1, 838 $ 1438 $ 2525 $ 3,100 $ 2,600 $ 2325 S 1,225 Driving Range Balls 69,355 $ 3750 $ 3,375 $ 5063 $ 510 S 7,948 $ 6,248 $ 4,888 $ 8,586 S 10,540 $ 7,800 $ 6,975 S 3,675 Rider Fees 6,990 $ 250 $ 225 $ 338 $ 30 $ 468 $ 919 S 219 $ 1,263 $ 1,550 $ 520 $ 465 S 245 Independent losimctor Fees 27,000 $ - $ - $ - $ - $ 4,000 $ 4000 S 4,000 $ S,OW $ !c0oo $ 5,000 S - $ - SallRetreival 4,000 S 1000 $ - $ 1,000 S 1,000 $ 1,000 $ - 8 - GPS Adver85ing Income 1$000 $ 1,000 $ 1.000 $ 1000 $ 2000,$ 2000, $ 2000,$ 1,000 $ 1 Ogg S 1.000 Total 140,N5 $ 7,250 $ 5,725 $ 8,088 $ 3690 $ 16,753 $ 15,004 $ 13.044 $ 16,373 S 21,190 $ 16,920 S 9,765 S 5,145 9 2011-2012 ANNUAL PLAN SllverRock Resort RUNOwrE: ll Apr-D u:D PM PrPectJon. - Jul 201110 June 2012 PItEPAREO ev: Lnu,w.kcnp M+n.eemmr GOLFSHOP-61 GOLF SHOP MERCHANDISE SALES TOTAL JUL AUG. SEP, OCT. NOv. DEC. JAN. FEB. MAR. APR. MAY I JUN. TOTAL #OF ROUN DS 43,200 2,500 2,250 3,375 300 4675 3675 2,875 5,050 6,200 5200, 4,650 2,450 AVERAGE REVENUE/ROUND 37.45 $3.40 $3.25 $4.60 $8.00 $6.60 $6.75 $17.25 $8.75 $9.26 57.60 $6.00 $6.00 TOTAL MERCHANDISE SALES $321,663 8,500 7,313 15,525 2400 30,388 24,806 49,594 44188 57,350 39,000 27,900 14,700 Soft Goods Sales 209,081 5,525 4753 10,091 1, 560 19752 16,124 32,236 28,722 3],2]8 25,350 18,135 9,555 Hard Goods Sales 112,582 2,975 2,559 5434 840 10,636 8,682 11,358 15,466 20,073 13,650 9,765 5.145 TOTAL MERCHANDISE REVENUE 321,663 8,500 7,313 16,525 2,400 30,389 24,006 49,594 44,188 57,350 39,000 27,900 14,700 COST OF SALES 63.08% $3.08% 53.08% 53,00% 53.08% 53.08% 53.08% 53.08% 53.08% 53.08% 53.08% 53.08% 53.08% COS - Merchandise (58%) 176,914 4,675 4,022 8,539 1, 320 16,713 13,643 27,277 24.303 31, 543 21450 15,345 8.085 Purchase Disc Taken -(5%) (8,346) (234) (201) (427) (66) (836) (682) (1364) (1215) (1.5]]) (1, 0]3) (7fi]) (404) Freight -Merchandise 2,654 70 60 128 20 251 205 409 365 473 322 230 121 TOTAL COST OF SALES 170,722 4,511 3,881 8,240 1,274 16,128 13, 166 26322 23,453 30439 20699 14,808 7,802 GROSS PROFIT 160,940 3989 3,431 7,285 1,126 14,259 11640 23,272 20735 26,911 18301 13.092 6,898 SA -4RIES AND BENEFITS Salaries and Wages 148,319 10,867 10867 11,013 8,497 13763 13,763 13763 14.003 14,003 13,093 12,783 12,403 Payroll Taxes 17,040 1,244 1,2" 1,261 973 1,576 1,5]6 1,576 1603 1603 1499 1,464 1.420 WorkersCompensation 6,131 448 448 454 350 567 567 667 577 571 539 527 511 Health Insurance/Benefits 26,811 1,986 1,986 1986, 2,317 2,317 2,317 2,317 2,317 2,317 2, 317 2,317 2.317 TOTAL SALARIES AND BENEFITS SUPPLIES AND MATERIALS 199,902 14,545 14,545 14,714 12,137 18223 18,223 18,223 18,500 18,500 17449 17,090 16,651 OTHER EXPENSES Office Supplies 6,000 500 500 500 500 500 500 500 500 500 500 500 500 Postage 0 Contract SeMces- Merchandise Consultant 6,000 500 500 500 500 500 500 500 500 500 500 500 500 Recruiting / Relocation 0 Dues and Subscriptions 2,300 0 0 0 0 0 0 0 0 0 0 2,300 Freight/Delivery 75 0 0 0 25 25 25 0 0 0 0 0 0 Tavel 90 0 0 0 0 0 0 15 15 15 15 15 15 Uniforms 2,400 100 100 100 100 300 200 500 200 200 20D 200 200 Telephone 1,320 110 110 110 110 110 110 110 110 110 110 110 110 Seminars/Training 5,890 1250 150 1250 500 0 100 1,250 35 35 35 1,250 35 Miscellaneous 460 0 0 0 50 50 50 50 50 50 50 50 50 TOTAL OTHER EXPENSES 24525 2.460 1360 2460 1]85 1485 1,485 2,925 1410 1410 1410 4,925 1,410 TOTAL EXPENSES 223327 17,005 15.905 1],1]4 13,922 19,708 19,708 21, 148 19.910 19,910 18,859 22,015 18051 TOTAL GOLF SHOP MERCHANDISE INCOME (LOSS) (]2,388) (13,017) (12,474) (9,889) 112,796) (S,MB) (8,068) 2,124 825 7,001 (558) (8,923) (11,163) Expendable Supplies are made up of Golf Can Rental Agreements, Golf Club Rental Agreements, Gift Certificates 8 Merchandise Bags Uniforms Each Full -Time Emp receives (1) shill per month 0 Q N 10 2011-2012 ANNUAL PLAN SilverRock Resort RUN DATU: It -April 08:51 AM Projections -July 2011 to June 2012 PREPAREDBY: Linem 1,ir.1 MY.Ylem<nI CARTS, BAGROOM S RANGE.641 TOTAL JUL AUG. SEP. I OCT. I NOV. I DEC. I JAN. FEB. MAR. APR. I MAY JUN. SALARIES AND BENEFITS Salaries and Wages 123,689 7,682 6.985 8,918 4,388 10,802 11,774 13,710 13,710 13,710 13,710 9,390 8,910 Payroll Taxes 16,399 956 870 1,110 546 1,345 1,466 1707 1707 1, 707 1,707 1.169 1,109 Workers' Compensation 5,096 316 288 367 181 445 485 565 565 565 565 387 367 Health lnsurancelBenefits 7,944 662 662 662 662 662 662 662 Si 662 662 662 662 TOTAL SALARIES AND BENEFITS 162,128 9,617 8,804 11,058 6,777 13,264 14,387 16,644 16,644 111 1(1 11,608 11,048 SUPPLIES AND MATERIALS Range Expendable Supplies 6,750 600 600 150 150 1,800 150 1, 000 1,000 150 150 500 500 Towel Replacement _ 1,005 72 72 72 100 185 72 72 72 72 72 72 72 Bottled Water 24,5011 50 So 50 12,000 50 50 50 50 50 50 50 12,000 Can Supplies 2,350 0 0 0 500 1.000 500 75 75 50 50 50 50 Range Balls 9,000 0 0 0 0 9.000 0 0 0 0 0 0 0 TOTAL SUPPLIES AND MATERIALS 43,606 722 722 272 12,760 12,035 772 1,197 1,197 322 322 672 12,622 REPAIRS AND MAINTENANCE Equipment Repair - Golf 3,600 300 300 300 300 300 300 300 300 300 300 300 300 TOTAL REPAIRS AND MAINTENANCE 3,600 300 300 300 300 300 300 300 300 300 300 300 300 OTHER EXPENSES Office Supplies 525 25 25 25 50 50 50 50 50 50 50 5o 50 Printing l Stationary 420 0 0 0 0 0 0 70 70 70 70 70 70 Can Contract Services -($9-per can per mo.80 cans) 0 0 0 0 0 0 0 0 0 0 0 0 0 Can Maintenance 8 Repairs 9,760 750 750 750 1,500 750 750 750 750 750 750 750 750 Freight l Delivery 450 75 75 75 75 75 75 0 0 0 0 0 0 Uniforms 6,200 0 0 0 2,000 500 500 0 0 500 0 1, 500 200 Laundry and Linen 9,600 800 Boo Soo Boo 800 800 800 800 800 Soo 800 800 Miscellaneous 1,150 125 75 75 75 75 75 75 75 125 125 125 125 TOTAL OTHER EXPENSES 27,096 1,775 1,725 1,726 4,600 2,250 2,250 1,745 1,74S 2,295 1,796 3,295 1,995 TOTAL EXPENSES 226,428 12,414 11,551 13,355 23,327 27,839 17,709 19,886 19,886 19,561 19,061 16,875 25,966 Expendable Supplies are made up of - Scorecards, Tees, Pencils, Trash Bags Cups 8 First Aid Supplies. Uniforms- Each employee receives 4 shins, 1 hat per season O t� W 11 2011.2012 ANNUAL PLAN silmamkpwon RUN DATE: H-April 08:51 AM pm ..ns -July 2o11 to gun, M12 PREPAREDRY: Landmark Golf Management Salaries and Wages 43,800 1,800 1,632 2,568 840 4,200 5600 5.880 5,880 6.16D 5,160 2,040 2,040 Payroll Taxes 5,015 206 187 294 96 481 641 673 673 705 591 234 234 Workers' Compensation 1,805 74 67 106 35 173 231 242 242 254 213 84 84 TOTAL SALARIES AND BENEFITS 50,620 2,080 1,686 2,968 971 4,854 6,472 6,796 6,796 7,119 5,963 2,358 2,358 SUPPLIES AND MATERIALS Expendable Supplies 1,050 50 50 100 10D 100 100 100 100 100 100 75 75 TOTAL SUPPLIES AND MATERIALS 1,050 50 50 100 to 100 100 100 100 100 100 75 75 OTHER EXPENSES Uniforms 2,125 75 75 75 800 75 250 75 75 75 400 75 75 Safety Equipment 600 50 50 50 50 50 So 50 50 5o 50 50 50 Miscellaneous 200 0 0 0 50 50 50 50 0 0 0 0 0 TOTAL OTHER EXPENSES 2,926 125 125 125 900 175 350 176 125 125 450 125 125 TOTAL COURSE SERVICES EXPENSES 54,595 2,255 2,061 3,193 1,971 5,129 6,922 7,071 7,021 7,344 6,513 2558 2,558 Expendable Supplies are made up of: Clipboards, Paper (starter sheets, ranger sheets), Towels, Trash Bags Uniforms Each employee receives 4 shirts, 1 hat per season 12 C p 2011-2012 ANNUAL PLAN SllverRook Resort RUN DATE: a-Ar.v 12:IY PM Pro7ectlons- July 2011 to June 2012PREPAREDRY: Lud-EGeltnl.,,,t MAINTENANCE DEPARTMENT-63 TOTAL JUL AUG. SEP. I OCT. I NOV. DEC. JAN. FEB. MAR. APR. MAY I JUN. SALARIES AND BENEFITS Salaries and Wages 669,650 55,056 55 am 55,056 55,05E 55,056 58,167 60,903 55.056 55,061 55,061 55,061 55,061 Overtime Hour, Wages 15,945 0 0 0 10,526 0 0 2,550 0 0 0 0 2,869 Payroll Taxes 78,501 6304 6,304 6,304 T,509 6304 6.660 7,265 6,304 6,304 6304 6,304 6,633 WorkersCompensation 28,026 2268 2268 2,268 2,557 2268 2,396 2, 579 2,268 2,269 2,269 2269 2, 347 Health Insurance/Benefits 104,880 8740 8,740 8,740 8,740 8740 8,740 8,740 6,140 8,740 8,740 8740 8740 TOTAL SALARIES AND BENEFITS 897,002 72,368 72,368 72,368 84,388 72,368 75,963 82,037 72368 72,374 72,374 72,374 76,650 SUPPLIES AND MATERIALS Fertilizer 89,400 8400 16,000 11,000 17500 4,500 1.000 1,000 10,000 5,000 5,000 5,000 5000 FIRNers/Plants 3,060 0 0 1,000 250 0 750 750 100 100 100 Gas &Oils 48,800 4,200 4.200 4,450 1200 4,850 3,500 3,350 3,250 3,500 4,100 3,100 3,100 Golf Course Aocess0nes 12,300 200 200 500 10,000 200 500 200 100 Too 100 100 100 Chemicals & Pesticides 29,300 3,500 2,500 3,500 4,500 2,700 2200, 2.000 2000, 1,500 2.000 900 2,000 Homicide 12,000 0 0 7000 0 5,000 0 0 0 0 0 0 POA Control 7,000 0 0 0 0 3,500 0 3,500 0 0 0 0 0 Sand/Mulch/Bunker 11,460 390 390 5000 2,000 2,000 800 380 100 100 100 100 100 Seed 91,810 350 350 250 88060 350 350 350 350 350 350 350 350 Small Tools 5,000 100 100 2O0o 2000 100 100 100 100 too 100 100 100 Said 3,350 1,000 200 200 250 250 250 500 0 0 0 500 200 Topdressing 7,600 1 250 1 250 0 2, 500 0 0 0 0 0 0 1,300 1 300 TOTAL SUPPLIES AND MATERIALS 321,070 19,390 26,190 34,900 1311,260 23,450 9,450 12,130 16,000 10,750 11,860 11,450 12,250 REPAIRS AND MAINTENANCE Buildings & Bndges 1,760 250 250 250 0 0 0 250 250 0 250 250 Equipment 20,600 1,000 1,000 1000 8,000 1000 1000 1000 1000 1,000 1, 500 1,500 1,Sao Inigati on System 22,660 5,400 5.400 2,200 2.000 900 550 1,200 two 1,000 1,000 1,000 1,000 Pumps 10,500 1.000 1000 1000 1.000 1,000 1,000 1000 1000 1000 1,000 500 0 Lake Ment Contract 31,200 2600 2600 2,600 2,600 2000 2,600 2.600 2,600 2,600 2,600 2,600 2,600 Trees 10,050 a 0 3500 550 0 0 0 a 2,000 4,000 0 0 TOTAL REPAIRS AND MAINTENANCE 96,660 10,260 10,260 10,550 14,160 5,600 5,150 8,060 6,850 7,600 10,100 6,850 5,350 13 2011-2012 ANNUAL PLAN Sllvert Resort Run DATS: a-A,11 U;RPm Proections-JYI 2011 fo JOn82012 PREPAREDRY. 1,ndmre4W4f Manyem 1 MAINTENANCE DEPARTMENT-63 TOTAL JUL I AUG. I SEP. OCT. I NOV. DEC. I JAN. FEB. I MAR. APR. MAY JUN. OTHEREXPENSES Conned Services Soirissue Tests 4,000 0 0 2,000 0 0 0 0 0 0 0 2,000 0 Dues and Subscndrons 640 0 0 0 0 0 0 0 240 0 200 0 100 Employee Education 1,550 50 50 50 50 50 50 50 1,000 50 50 50 50 Equipment Rental 4,200 200 150 150 1,800 600 200 200 200 200 200 200 100 Auto Expense 6,000 500 500 500 500 500 Soo 500 500 500 500 500 Soo Licenses and Permits 1,430 100 100 80 0 0 0 0 0 1,000 150 0 0 M,q.11.neous 1,200 100 100 100 100 100 100 100 100 100 100 100 100 Supplies 4,360 750 750 750 500 500 500 100 100 100 100 100 100 Propane/Natural Gas 180 15 15 15 15 15 15 15 15 15 15 15 15 Safety Equipment B Training 3,850 200 100 750 800 500 400 400 2W 200 100 100 100 Telephone/DSL 10,200 850 850 850 850 850 850 850 850 850 850 850 850 Green Waste Removal 6,288 524 524 524 524 524 524 524 524 524 524 524 524 Uniforms B LinenRowels 11,040 920 920 920 920 920 920 920 920 920 920 920 920 TOTAL OTHER EXPENSES 54,828 4,209 4.059 6,689 6,059 4,569 4,069 3,659 4,649 4,469 3,709 6,359 3,359 TOTAL MAINTENANCE EXP.(EXCL Landscaping', 11369,550 106,217 111,867 124,607 238,857 105,877 94,622 103,876 98,867 96,183 98,033 95,033 96,609 4,500 LANDSCAPE Wages 154,560 12,880 12, 880 12,880 12.880 12,880 12,880 12 880 12 880 12.880 12 880 12, 880 12,080 Overtime Hourly Wages 6,229 0 0 966 3,381 956 0 0 0 0 0 0 966 Paymll Taxes 18,416 1 475 1,475 1.685 1.862 1,585 1,475 1,475 1,475 1,475 1,475 1,475 1,585 Workers' Compensa8on 6,543 531 531 557 624 557 531 531 531 531 531 531 557 Health lnsurence/Benefits 31176 2648 2648 2,648 2,648 2,648 2.648 2,648 2,648 2,648 2,648 2,648 2,648 Landscape Wages A Beneft 217,S74 17,534 17,534 18,636 21,395 18,636 17,534 17,534 17,534 11534 12,534 12,534 18,636 Small Tools Repairs 8 Maintenance - Ddp Irrigation Uniforms TOTAL LANDSCAPE MAINTENANCE COURSE 6 LANDSCAPE MAINTENANCE TOTAL (EXCL UTILITIES) WATER 8 ELECTRICITY COSTS Water Cost Maint. Shop / So Village Lakes Main Meter (FE, PH, CB, CH, NV Lakes) Well TOTAL WATER AND ELECTRIC COST TOTAL COURSE MAINTENANCE EXPENSES 1026 100 100 100 100 100 75 75 75 75 75 75 75 4,250 250 250 500 500 500 500 250 250 250 250 250 500 3480 290 290 290 290 290 290 290 290 290 290 290 290 226329 18,174 18,174 19,526 22,285 19,526 18399 18,149 18149 18,149 18,149 18149 19,501 1,595,879 124,391 130,041 144,033 261, 142 125403 113,021 122025 117,016 113,332 116,182 113,102 116, 11D 43,050 4,960 6,200 6.160 3,960 42,300 4,500 3.800 4,000 3,000 1 dM1,000 16500 19.500 14,000 10.600 14 3,255 2,325 1,860 1,473 1,550 1,550 3,255 6,510 3,000 3,000 3,000 4,000 4000 4,000 3,000 3,000 12,500 15,000 13,000 17,000 14,000 15,4W 18,000 18,500 2011-2012 ANNUAL PUN .a: ory vrP .coons -Jul z0n to Jan. zou vxrraxa:p aT. lsherea,ac.MolemF•m.ai O A DEPARTMENT -6) TOTAL JUL. I AUG. I SEP. I OCT. I NOV. I DEC. I JAN, I FEB. 1 MAR. APR. I MAY JUN. PAYROLL ESDMAlE SALARIES ANO BENEFIlY Salarlesand Wapea 206,BA 1111 17 1531964 17,153 17,153 t1,ISJ I1M4 11,964 11M4 fI,19 9,19 xe Paylall Taxes 28mo 1.964 1.966 1,966 1,95a I,866 1 98a 1,96a "Ill I,95a 1,904 1,98a 1 19fid 1,96a 'Compenaeeon SABo m) )W )m 07 )W )m Headdiwonea Heeltlllmumnce/Benefih VA96 458 tA58 1A58 1,a5B 458 45) IA56 1ASS 458 458 1A58 458 I,658 1658 458 IA58 1458 1458 1A58 TOTAL SAURIES AND BENEFITS 255,381 21282 21282 21,282 21282 21282 21282 21.282 21282 21,2.2 21,252 21.282 21282 Equgmenl Repel 1,ID0 0 100 100 1M 100 100 too 100 100 I00 100 too TOTAL REPAIRS AND MAINTENANCE 1,100 0 100 100 100 100 100 1.0 100 100 IN 1N IN OTHER EXPENSES olfia supplies 120D 100 100 100 IN 1.0 1.0 m0 too IN too 10. 1on Prehn9/statiinary 3,30 100 100 100 1so 10. 400 400 400 400 400 400 400 Postage 900 75 75 75 75 75 75 75 75 75 75 75 75 RecmlOng/Federation 1A0o 0 0 200 200 20. 200 200 200 200 0 0 0 Uiss and Subscriptions 1,7N 50 0 200 5o 50 200 100 400 50 50 500 50 Frei,nd l ONNery 600 50 50 Se 5. 50 50 50 50 50 50 `A 50 Three! 1,100 0 100 0 0 0 0 0 100 0 no 500 200 wamoEan a". 100 100 Soo 100 1➢o z000 too too 100 100 100 100 P . Expense 4,.. soo 400 40o 400 400 400 400 am loll am 400 400 Equipment Rental(Copletl9orage) 6.70 480 480 US 480 480 480 480 480 480 480 480 480 Uniform. 1.060 75 75 75 150 150 75 75 75 75 75 75 75 Plate ... nel Feea U.T. B Set Feee) 10200 850 950 850 850 850 .50 .5. 850 850 B50 .50 No Seminars l Training 2AN, 200 200 200 200 200 200 200 200 200 200 200 200 Payrel Peening 15,20o u00 I,IM 1.100 1, 100 1,mo 110o IIN I'loo I,mo Moo 1100 Ma.Compater suppres(POS rapport Fee.) 5,200 400 400 400 400 400 400 400 seo 400 400 400 600 Bank B AUP Fees 1,on 90 90 90 90 90 90 90 90 90 90 90 90 Misaelleneous 1,200 100 too 100 IDe 100 100 100 100 10. 100 100 100 TOTAL OTHER EXPENSES W,90 l,t To 4220 4.520 4N5 4445 6,720 6720 6,12. 4670 4670 5,420 5ST0 TOTAL O S A EXPENSES 314,671 25,452 25fi02 25,NO 25,827 25,827 28.102 MIN 26.5.2 26.052 26052 26802 26452 Unifarma- Benefit t0 be snared betmen GM Is Controller EnteHarreart8 Promotion -GM promoong propeMforpolential Gients C A 15 2011-2012 ANNUAL PLAN SllverRoc , Resort Projections - July 2011 to June 2012 MARKETING 1 08:51 AM PREPAREDRY: Landmark Golf Management MARKETING DEPARTMENT -66 1 TOTAL I JUL I AUG. I SEP. I OCT. I NOV. I DEC. JAN. I FEB. I MAR. I APR. I MAY I JUN. Salaries and Wages 30,096 2,508 2, 508 2,508 2,508 2, 508 2,508 2,508 2,508 2,508 2,508 2,508 2,508 Payroll Taxes 3,448 287 287 287 287 287 287 287 287 287 287 287 287 Workers' Compensation 1,240 103 103 103 103 103 103 103 103 103 103 103 103 Health Insurance/Benefits 3,972 331 331 331 331 331 331 331 331 331 331 331 331 TOTAL SALARIES AND BENEFITS 38,754 3,229 3,229 3229 3,229 3,229 3,229 3,229 3229 3,229 3,229 3,229 3,229 OMER EXPENSES Office Supplies 1,200 100 100 100 100 100 100 100 100 100 100 100 100 Printing / Stationary 4,425 0 0 200 3,000 200 200 200 125 125 125 126 125 Postage 600 50 50 50 50 50 50 50 50 50 50 50 50 Conrad Services Web Page 4,800 400 400 400 400 400 400 400 400 400 400 400 400 Dues and Subscriptions 735 0 0 0 0 0 0 35 400 300 0 0 0 Uniforms 600 0 0 0 300 50 50 50 50 50 50 0 0 Telephone 1,200 100 100 100 100 100 100 100 100 100 100 100 100 Civic, Community and Trade Show 2,925 75 75 75 750 750 750 75 75 75 75 75 75 Public Relations 3,500 0 0 500 Soo 1,000 50D 500 500 0 0 0 0 Promotions/Meals 300 25 25 25 25 25 25 25 25 25 25 25 25 Promotion - (Media, Vendor Days, etc 700 0 0 0 50 50 50 300 50 50 50 50 50 Advertising (Ad Purchases) 185,731 8,172 10,562 23,197 8,822 21,180 21730 21472 19,112 19,680 18230 8,012 5,562 Collateral Material- (Yrd Sim, Rack Cots, Statn, Doi 9,000 0 0 0 2,500 1,000 0 2, 50D 500 500 500 1,000 500 Miscellaneous 350 0 0 0 0 50 50 50 50 50 50 50 TOTAL OTHER EXPENSES 216,066 8,922 11,312 24,647 16,597 24,955 24,006 25.857 21,537 21,606 19,755 9,987 6,987 TOTAL MARKETING EXPENSES 254,820 12,151 14,"1 27,876 19,826 28,184 27,234 29,086 24,766 24,734 22,984 13,216 10,216 Promotion.Meals - Off property events (Chamber Mixers, Rotaries and entertaining potential clients) PromoticNMedma endor Days- Ratlio/N Onsite Broadcasting. Vendor Days - Show casing property in exchange for positive publicity Q t 16 2011-2012 ANNUAL PLAN 5ilverRotk Resort MARKETING a-AID-n oa:et AM Projections -Jul 2011 f0 June 2012 PREPARED [i Landmark Golf Maon,menl TEMPORARY CLUBHOUSE -800 TOTAL I JUL. I AUG. I SEP. I OCT. I NOV. I DEC. I JAN. I FEB. I MAR. I APR. I MAY IJUN. SUPPLIES AND MATERIALS Expendable Supplies Laundry Supplies TOTAL SUPPLIES AND MATERIALS REPAIRS AND MAINTENANCE Building Structures Restaurant Repairs Equipment Repair TOTAL REPAIRS AND MAINTENANCE OTHER EXPENSES Contract Services Cleaning Telephone Cable -Roadrunner Water Sewer Safety Equipment Natural Gas Flowers and Decorations Building Security (Roving Patrol) Miscellaneous TOTAL OTHER EXPENSES TOTAL CLUBHOUSE EXPENSES 2,400 200 200 200 200 200 200 200 200 200 200 200 200 2,400 200 200 200 200 200 200 200 200 200 200 200 200 4,300 400 400 400 400 400 400 400 400 400 400 400 400 3,600 300 300 300 300 300 300 300 300 300 300 300 300 4,800 400 400 400 400 400 400 400 400 400 400 400 400 4,800 400 400 400 400 400 400 400 400 400 400 400 400 13,200 1,100 1.100 1,100 1,100 1,100 1,100 1,100 1,100 1.100 1,100 1,100 1,100 22,500 1,825 1,825 1,825 2,425 1,825 1,825 1,825 1,825 1.825 1,825 1,825 1,825 13,800 1,150 1,150 1,150 1,150 1,150 1,150 1,150 1,150 1.150 1,150 1,150 1,150 4,080 340 340 340 340 340 340 340 340 340 340 340 340 3,852 321 321 321 321 321 321 321 321 321 321 321 321 0 0 0 0 0 0 0 0 0 0 0 0 0 1,200 100 100 100 100 100 100 100 100 100 100 100 100 3,600 300 300 300 300 300 300 300 300 300 300 300 300 2,400 0 0 0 500 0 0 1,000 0 500 0 0 400 60,400 4.900 4.900 4,900 4,900 4,900 4,900 6,500 4,900 4,900 4,90D 4,900 4,900 2,400 200 200 200 200 200 200 200 200 200 200 200 200 114.232 9,136 9,136 9,136 10,236 9,136 9.136 11,736 9,136 9,636 9,136 9,136 9,536 132,232 10,636 10,636 10,636 11,736 10,636 10,636 13,236 10,636 11,136 10,636 10,636 11,036 Expendable Supplies made up of: Locksmith, Tmshbags, Lightbulbs, Mats, Items related to Maintenance of Clubhouse 17 2011-2012 ANNUAL PLAN SilverRock Resort RUN DATE: L4APr-11 03:05 PM Projections- July 2011 to June 2012 PREPAREDRV: Lndmark G,RM-,,,mem MISC. DEPARTMENT - 980 & 990 1 TOTAL I JUL. I AUG. I SEP. I OCT. I NOV. I DEC. I JAN. I FEB. I M,R. APR. MAV JUN. Management Fee - Fixed 90,000 21,221 23,543 14,938 23.065 (5,453) 6623 4,487 (4,852)- (11,910) (5,060) 4,579 18,818 FF&E Reserve (2.0%) 62,761 1,811 1,608 3,054 343 7,009 5,365 5,046 9,385 11.664 8,606 5,785 3,086 General Liability Insurance 26,400 2,200 2,200 2,200 2,200 2,200 2,200 2200, 2,200 2,200 2,200 2,200 2,200 Property Taxes- Regular($15M @ 125%) 0 0 0 0 0 0 0 0 0 0 0 0 0 Personal Property Taxes 14,800 5,200 0 0 9,600 0 0 0 0 0 0 0 0 193,960 30,432 27,351 20,192 35.208 3,756 14,188 11,733 6,734 1,954 5.746 12,564 24,103 LEASEEXPENSES Gott Cart Leases 144,900 12,075 12,075 12,075 12.075 12,075 12,075 12,075 12,075 12,075 12,075 12,075 12,075 Trailer Leases 7,200 600 600 600 600 600 600 600 600 600 600 600 600 CPS Lease (1-lP-Link) 69,060 5,755 5,755 5,755 5,755 5,755 5,755 5,755 5,755 5,755 5,755 5,755 5,755 Golf Course Rental 13,920 1,160 1,160 1,160 1,160 1,160 1,160 1,160 1,160 1,160 1,160 1,160 1,160 235,080 19,590 19,590 19,590 19,590 19,590 19,590 19,590 19,690 19,590 19.590 19,590 19,590 Q tV O 18 2011-2012 ANNUAL PLAN sYmxmY Reson RCN BATE: II1,-11 U:11 I'm Pre r Jul i0113o June 301i PREPARED BY: Landmark GOUMsn.Beraml Snack SbapTerrece Food 182,274 7000 5,063 11813 1,125 19859 17,455 24.438 23,517 30,500 19,144 15,000 7,350 Beverage Carl Foi 46A50 2500 2.250 3375 875 7013 3,675 3,594 0.189 7,625 5, 105 4,000 2450 Other Food Income 0 0 0 0 0 0 0 Non -Taxable Tournament Site Fee: 0 0 0 0 0 0 0 0 0 0 0 0 0 Speual Evan6 10,000 0 p 0 2,500 2,500 0 0 0 0 2500 2.500 0 TOTAL FOOD REVENUE 260,124 9,500 7,313 15,188 4.300 29.381 21131 26,031 29,700 36125 26,769 2t,500 9,800 BEVERAGE REVENUE Snack Shop4enard Beer 6 Vora 63,306 2,400 2,025 4,050 450 6311 4,961 El" 9,654 IOO8s 0,423 4200 2,573 Snack affi Tames Son as 42,204 1600 1,350 2700 300 4208, 3,308 5663 6,435 6,710 5,616 2800 1]15 Beverage Cat Beer 6 Wine 66,442 20W 2.250 3375 300 9,350 8891 4,6]2 ],42] 9.150 8,934 7,500 4,594 Beverage Cet Spend 66,4142 2000, 2,250 3,375 300 9350 6,891 4,6R ],42] 9150 8934 7,500 4,594 TOTAL BEVERAGE REVENUE 238,394 BOgO ],8]5 13500 1,350 29,219 22050 23,000 30.64 335,0]5 31,96i 22000 13,475 TOTAL FOOD S BEVERAGE REVENUE 479,117 9,300 15,168 28,686 5,650 66,600 43,181 31.031 $0,550 73,200 50,6$6 43,500 23,275 LESS COST OF SALES COS - Fit. (3]%) 85,368 3515 2706 5,619 am 9,946 7,819 10.372 10,991 14,106 8,972 7,030 3,626 COS - Beer & Won (25%) 32,437 1,100 1,089 1856 ISO 3,915 2,963 1,216 4.270 4,804 4,339 2.925 1.792 COS- Sodas (27%) 29,334 972 972 1,640 162 3661 2,753 2.736 3,N3 4,282 3,928 2781 1703 CO& Enployee Meek 22.800 1,900 1,900 1,900 1,900 1900 1 900 1,900 1,900 1900 1,900 1,900 1,900 TOTA L COST OF SALES 169,939 7,487 6,648 11016 2916 19,422 15435 19226 DROm 25092 18,14 14,836 9021 GROSS PROFIT 309,178 10,013 $,"1 17,672 2,735 39.176 2],]46 32,807 39,745 48,108 39,515 29,864 11 SALARIES AND BENEFITS Selard. ant Wager 190,505 15139 15,139 16,372 8,475 16099 16289 18,001 16,373 1SMI 17.012 18,570 16534 Payroll Taxes 21,813 1]33 1,733 1,875 970 1843 1865 2061 1,932 2061 1,918 1,89] 1893 Workers' Compensa0on 7,849 624 624 075 349 663 671 742 695 742 701 683 681 Health madmance, 38,396 2,979 2,979 2979 3,310 3,310 3,310 3,310 3310 3,310 3.310 3,310 2,979 TOTAL SALARIES AND BENEFITS 258,563 20475 20,475 21,900 13,105 21,916 22,135 24,114 22,810 24,114 22,971 22459 22,0SS SUPPLIES AND MATERIALS Expendable Supplies 4,000 300 300 300 300 200 400 400 400 400 400 300 300 Bar Utensils 1,250 150 100 100 too t00 too 1SO 100 100 100 100 100 Menud, Eaton, and Fluoridate 3,825 175 175 175 Soo 250 250 550 350 350 350 350 350 TOTA L SUPPLIES AND MATERIALS 9,075 626 575 575 900 550 750 1,050 B50 850 850 750 750 REPAIRS AND MAINTENANCE Equipment Repair 3000 250 250 250 250 250 250 250 250 250 250 250 250 TOTAL REPAIRS AND MAINTENANCE XHO 250 250 250 250 250 250 250 250 250 250 250 250 OTHER EXPENSES Office Supplies 1,500 100 too 100 250 250 100 100 100 100 too 100 100 Phone 840 70 70 70 70 70 70 70 70 70 70 70 70 Equipment Rental 1,294 109 109 109 95 109 109 109 109 109 109 109 109 NonCeptlel Equipment Soo 50 50 So 50 50 50 50 50 SO 50 50 50 Unirorms 3,400 150 ISO 150 1,000 150 500 ISO 150 150 550 150 150 Laundry and Linen 5,975 525 525 525 200 525 525 525 525 525 525 525 525 L¢aSe Paymenl 12,000 SOp 500 see Isea 1,500 1Soo 1500 1, le0 1see 500 so sun Bank Fees 6,060 505 505 505 505 505 S. 5e5 .1 505 Soo 1. 505 Severe$/Ttard, 275 25 25 25 25 0 25 25 25 25 25 25 25 Cleaning Supple$ 3,596 250 250 250 250 250 250 346 350 350 350 350 350 Licenses and Permits 1,800 0 900 0 0 0 0 Soo 0 0 0 0 MlialHaneous 1,200 100 100 100 100 100 100 100 1N) 100 100 100 100 TOTA L OTHER EXPENSES 38510 2,384 3,284 2,384 4.045 3,509 3734 4,380 3484 3,484 2,884 2,484 2684 TOTAL EXPENSES 309.178 23,734 24584 25,109 l8300 26225 26,869 29.794 27,394 28698 26,955 25,943 25572 TOTAL SOo069EVEMta PROFR 11-1 U (13, 21) (16,01 (7,438) (1 6) 12,953 877 30 13 12 252 194TO 12,560 2, 1 (1131 ) Supplies Expendable Is made up of Smallwares, Paperg0ods, First -aid Uniforms- Each employee receives 4 $hits, 1 tat per season N f..a 19 SilverRock Resort 2011-2012 Marketing Plan Narrative OBJECTIVE: Continue to expand brand awareness for SilverRock Resort, promote the Arnold Palmer Classic Course as a premier golf course in the Coachella Valley and increase golf and golf -related revenues. The July 201 1-June 2012 Marketing Plan is built around an annual Marketing Budget of $254,820. The Marketing Plan includes: advertising and promotions, collateral materials, civic and community networking, public relations, golf/consumer trade shows, and internet websites and e- mail marketing. ADVERTISING and PROMOTIONS Advertising and promotions are targeted for La Quinta Residents and tourist/resort golfers through advertising and media coverage in local, regional and Southern California golf and travel publications. Advertising consists of local newspaper, golf and travel magazines, regional directories, local television and area radio. Advertising is budgeted at $185, 730 for 2011-2012. Newspaper advertising is placed in The Desert Sun with primary emphasis on the sports enthusiasts with weekly "ear ads" appearing on the front page of the Sports Section; ear ads are visible to all readers of the paper. Newspaper advertisement makes up 15% of the Marketing Budget. Special promotions are designed, as needed by season, and placed in various print advertisements. Magazines and directories consist of local and regional magazines, yellow pages and golf -related directories. These ads vary from full page to quarter page ads and are full color. Magazines and directories compose 65% of the advertising budget. Television commercials (30 seconds) are placed on all three (3) local network affiliates (CBS2, KESQ3-ABC, KMIR6-NBC) and Time Warner cable stations. Local radio is used for 30-second spots and specific promotions. TV and radio ads make up 20% of the advertising budget. 20%.0 0422 COLLATERAL MATERIALS Rack cards, scorecards, and information packets presenting SilverRock Resort are used as marketing tools for SilverRock Resort. An emphasis will be placed upon SilverRock's participation in the Bob Hope Classic. Printed material will be produced, as needed, to promote SilverRock Resort as a Home Course of the Bob Hope Classic. CIVIC AND COMMUNITY NETWORKING AND TRADESHOWS SilverRock Resort is positioned as a community -friendly golf facility and is committed to developing strong relationships with community organizations such as the La Quinta Chamber of Commerce and various local service organizations. At various venues locally and around Southern California, trade shows and expos are held that provide an opportunity to promote SilverRock Resort. These trade shows and expos are focused on tourism, golf and golf equipment/apparel, recreation, weddings and other related industries and businesses. TOURNAMENTS & GROUP OUTINGS A continued concentrated effort to attract corporate and group outings will be positioned through various networking opportunities. Tournament business represents a large portion of outside play and is vital to SilverRock's success. JUNIOR GOLF SilverRock will continue to support local Junior Golf by offering various Summer Junior Camps, Junior Rates and being a host course for the La Quinta High School Boys Golf Team. INTERNET WEBSITES AND E-MAIL MARKETING A benefit of memberships in selected local Chambers of Commerce and the Convention and Visitors Authority is access to cross -marketing opportunities through website links to SilverRock Resort. E-mail database marketing is targeted to consumer e-mail addresses that are collected daily through comment cards, tee -time bookings, selected websites and the La Quinta Resident renewal process. This e-mail database is used to send e-mail blasts promoting SilverRock Resort and/or to offer specials during slower days of the seasons in an effort to maximize tee sheet utilization. 21 0423 SilverRock Resort -Arnold Palmer Classic Course GOLF RATES 2011-2012 Reservation Type tBook90Days) Public Public Twi Replay (Booked After Pro) (Book 3 Daysl La Quints Resident La busies Resided Guest (30%off posted rate) (Book98Days) Wholesale Wholesale Twilight Book 1 Da PGA PAID Junior Rate (Before 2b0 p.m.) Junior Rate (After 2:00 p.m.) (Book 1 Davl SEEM BEEM ,ry ,ei MEMEM t affiEffim E 30.00 $ .30.00 S 59.50 $ 73.50 E-75.00. S'.; 85.001 S 50.00. f.. 60:00'. S ; 25.00 ll 25.00: S 25.00E 1 -: 25.00 E 15,001 $ 15.00 2012 2012 Dec 26,Ajpr.30 Dec. 26-A r.30 Mon-T ur Fri -Sun $ 165.00 $ 165.00 $ 95.00 $ 95.00 $ 50.00 $ 50.66 f 55.00 $ 55.00 is 115.50 $ 115.50 Is 135.00 1 $ 135.00 Y 75.00 1 $ 75.00 f 35.00 S 35.00 f 25.00 S 25.00 f 15.00 E 15.00 4nn011 Stand By Golf Rates to vary based upon actual bookings Rates to vary based upon actual bookings Rates to vary based upon actual bookings Rates to vary based upon actual bookings Rates to vary based upon actual bookie (Book Up to 1 Year) Groups (13-H Negotiated Rates Negotiated Rates Negolialed/bies Negotiated Rates Negotiated Rates Negotiated Rates Negotiated Rates Negotiated Rates Negotiated Rates NegovatedRales ` Juniors are 17 and under ` All rates to include green tee, golf cart limited amount of range balls prior to round exceptgoAcall for Juniors ` Non golfers -ride alongs-must abide by dress code, riders permitted based upon availability at a rate of$25 per rider. ` City EmployeesPrevailingResident Rates OTHER FEES Range Not Playing Rateffee 12 Hour $ 7.00 1 Hour $ 10.00 All Day Range Fee $ 25.00 Rental Clubs $ 45.00 Handicap Membership $ 45.00 Golf Lessons 1 Hour $ 75.00 1l2 Hour $ 50.00 O p N 22 SILVERROCK RESORT 2011-2012 ANNUAL PLAN 2011-2012 Bob Hope Assumptions OPERATIONAL EXPENSES Revenue: It is assumed that the golf course will close for public play on Sunday, January 15, 2012 for the Bob Hope Classic and reopen for play on Sunday, January 22, 2012. The golf course will be closed for a total of seven (7) days per the tournament contract. This loss of revenue for seven (7) days has been factored into the 2011-2012 Annual Plan for SilverRock Resort and amounts to a loss of approximately $150,000 in revenue and 1,500 rounds of golf. Any additional days of course closure will impact the revenue budget for the month of January 2012. Wages: It is assumed that the SilverRock Resort hourly Golf Course Maintenance crew of 30 employees will work an additional 41 hours of overtime per person in the month of January to ensure PGA Tour course standards. Also, additional payroll taxes and workers compensation insurance will be an added expense as a result of the extra hours worked. Supplies and Materials: Two (2) extra fertilizer applications (December and January) will be needed to ensure top quality turf conditions. Additional seasonal flowers and plants will be added at the entrance and clubhouse area. Also, additional sand will be required to ensure all sand bunkers on the course are consistent and are in compliance with PGA Tour standards. Additional cool season seed may be required in order to be in compliance with PGA Tour standards; a heavier seed rate will be used when overseeding the fairways, tees and greens in the fall of 2011. If there are any areas of the course that do not meet PGA Tour standards, those areas must be sodded prior to the tournament. Other Expenses: After four (4) years of use, several tournament preparation items totaling $6,000 will need to be replaced (fairway snake, hole cup cutter sharpener, whips, squeegees, rakes). Additional maintenance equipment may be rented short term to get the course ready for PGA Tour standards. 23 0425 2011-2012 ANNUAL PLAN SUPPLEMENTAL BOB HOPE EXPENSES SllverRock Resod Projections- July 2011 to June 2012 Rury DATE: a-wP.n Bass wH PRE-EDBY: Lvnemvrk GellMsv[emenl MAINTENANCE DEPARTMENT -63 TOTAL JUL. AUG. SEP. OCT. NOV. DEC. JAN. FEB. MAR. APR. MAY JUN. SALARIES AND BENEFITS Salanes and Wages 0 0 0 0 0 0 0 0 0 0 0 0 0 Overtime Houdy Wages (30 employees at 41 hours) 16,500 0 0 0 0 0 0 16,500 0 0 0 0 0 Payroll Taxes 1,869 0 0 0 0 0 0 1,889 0 0 0 0 0 Warkere Compensation 463 0 0 0 0 0 0 453 0 0 0 0 0 TOTAL SALARIES AND BENEFITS 18,942 0 0 0 0 0 0 18,842 0 0 0 0 0 SUPPLIES AND MATERIALS Fedilizer 31,000 0 0 0 0 10,000 11,000 10,000 0 0 0 0 0 FlovverePlants 2,000 0 0 0 0 0 2000, 0 0 0 0 0 0 Sand/Bunker 10,000 0 5,000 0 5,000 a 0 0 0 0 0 0 0 Seed 26,000 0 0 0 0 25,000 0 0 0 0 0 0 a Sod 6,000 4,000 2,000 0 0 a 0 0 0 0 0 0 0 Hertn.de 6,000 5,000 TOTAL SUPPLIES AND MATERIALS 79,000 4,000 7,000 0 6,000 35,000 18,000 10,000 0 0 a 0 0 OTHER EXPENSES Equipment Rental 2,000 0 0 0 0 0 0 2,000 0 0 0 0 0 Toumament Preparation Replacement Items 6,000 6,000 TOTAL OTHER EXPENSES 8,000 6,000 0 0 0 0 0 2,000 0 0 0 0 0 TOTAL COURSE MAINTENANCE EXPENSES 105,842 10,000 7,000 0 6,000 35,000 18,000 30,342 0 0 0 0 0 A 24 N T4hf 4 4 a" COUNCIL/RDA MEETING DATE: April 19, 2011 ITEM TITLE: Consideration of a Resolution Approving the Preliminary Engineer's Report for Landscape and Lighting Assessment District 89-1, for Fiscal Year 201 1-2012, and a Resolution Declaring Intent to Levy Annual Assessments for Landscape and Lighting Assessment District 89-1, and Giving Notice Thereof RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: 2' CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Adopt a Resolution approving the Preliminary Engineer's Report for Landscape and Lighting Assessment District 89-1 ("District"), Fiscal Year 201 1-2012; .�1 [i .J Adopt a Resolution of the City Council declaring intention to levy annual assessments for maintenance and servicing landscape and lighting improvements within the boundaries of the territory included in the Citywide Landscape and Lighting Assessment District 89-1, and giving notice thereof; and Consider cost recovery strategies outlined in the staff report which include: 1) special tax 2) formation of a new park assessment district 3) user fee and 4) utility user, sales and general taxes. FISCAL IMPLICATIONS: Adoption of the Resolution is required in order to levy the annual assessment for the district. The estimated total cost for Fiscal Year 2011-2012 is $1,578,009 for maintenance of landscape and lighting, medians, and parkways within the public right- of-way. The estimated assessment levy for the landscape and lighting portion is $964,219. An estimated $253,000 will be collected from CSA 152 assessments for stormwater facilities bringing the total right-of-way deficit to $360,790. Park maintenance costs have been separated from the district costs within the engineer's p.nZ7 report for the district. The parks maintenance cost is estimated to be an additional $1,563,944 for Fiscal Year 2011-2012 bringing the total deficit for right-of-way and parks maintenance to $1,924,734. Staff proposes that this amount be funded through a general fund contribution of $1,924,734 in Fiscal Year 2011-2012. CHARTER CITY IMPLICATIONS: None at this time. BACKGROUND AND OVERVIEW: In 1989, the City Council formed a Citywide Landscape and Lighting Assessment District to fund costs associated with the maintenance, construction and servicing of landscape areas, street lights and traffic signals. Pursuant to the Landscape and Lighting Act of 1972, the City must annually perform a series of activities associated with the district (Attachment 1). An annual engineer's report is required by the Landscape and Lighting Act of 1972 and must include the following information: • A description of the services to be provided throughout the district; • Total costs necessary to provide all services described in the engineer's report; • A diagram showing the boundaries of the district, including special benefit zones; and • An assessment schedule. The preliminary engineer's report, prepared by City staff and Willdan Financial Services with parcel reconciliation support by Willdan Financial Services, provides the required information for the district for Fiscal Year 201 1-2012 (Attachment 2). The preliminary engineer's report projects the following for Fiscal Year 201 1-2012 in comparison to the Fiscal Year 2010-201 1 engineer's report: Citywide Benefit Zone Number of Local Benefit Zones Number of Equivalent Dwelling Units (EDU's) EDU Rate District Revenue FY 2010-201 1 Yes 6 27,116 $35.60/EDU $965,330 FY 201 1-2012 Yes 6 27,085 $35.60/EDU $964,219 04?8 These calculations will be finalized for the final engineer's report in order to provide the most accurate assessment possible. In accordance with previous City Council direction, all residents, including those within the six (6) local benefit zones, will be assessed at a flat rate. The methodology has remained the same under the provisions of Proposition 218. At this time, the estimated Fiscal Year 201 1-2012 district exempt cost (City landscape maintenance cost within the right-of-way) is $1,578,009. Based on this estimate, the citywide benefit assessment would be $58.27/EDU. The current assessment is $35.60. Proposition 218 does not allow for assessment increases unless approved by a simple majority in a public vote. Balloting to raise the assessment can be initiated by the City Council at any time. The City Council is required to approve the preliminary engineer's report and schedule a public meeting and public hearing date to allow affected property owners an opportunity to provide public testimony regarding the proposed changes. Approval of the preliminary engineer's report does not obligate the City to the fees proposed. Only after the public meeting and public hearing are conducted, can the City Council adopt assessment fees for Fiscal Year 2011-2012. The public meeting and public hearing are scheduled for the May 17, 2011 City Council meeting. Upon conclusion of the public hearing, the City Council may approve the assessment levels based upon testimony received at the public meeting and hearing. Since the City is not proposing an increase in the assessment amount, the Landscape and Lighting Act of 1972 requires a one-time noticing ten days in advance of the public meeting/hearings for citywide districts through the newspaper. Attachment 3 is the notice that will be published in The Desert Sun newspaper on Friday, May 6, 2011 at a cost of approximately $123. To proceed with the recommended changes proposed in the preliminary engineer's report (Attachment 2) for the district, the City Council must: Adopt a resolution approving the preliminary engineer's report for Landscape and Lighting Assessment District 89-1, Fiscal Year 201 1-2012; and Adopt a resolution declaring intention to levy annual assessments for construction, maintenance and servicing landscape and lighting improvements within the boundaries of the territory included in the Citywide Landscape and Lighting Assessment District 89-1, and giving notice thereof. A public meeting and hearing has been scheduled for May 17, 2011 at 7:00 p.m. to allow public testimony before the City Council. The public meeting and hearing dates will be noticed through the newspaper unless otherwise directed by the City Council. Upon conclusion of the public hearing, the City Council may adjust the assessment • O.nZ9 levels as necessary and adopt a resolution confirming the assessment diagram and assessment level. Alternative Cost Recovery Strategies On November 6, 2007, City Council held a study session at which time alternative cost recovery strategies for the Landscape & Lighting Assessment District 89-1 were discussed. The staff report included discussion of a special tax, an assessment district and user fees. On May 6, 2008, City Council approved a Professional Services Agreement (PSA) with Willdan Financial Services to complete a feasibility study and benefit analysis of forming a citywide park district to support parks and recreation improvements and ongoing maintenance of existing parks under the provisions of the Landscaping and Lighting Act of 1972. On July 21, 2009, City Council held a study session to review the "Summary Technical Memorandum" (STM) prepared by Willdan Financial Services (Attachment 4), which outlined the preliminary analysis of the City's park, open space and trail improvements and an evaluation of the feasibility of establishing a district to provide a revenue source to support the maintenance and enhancement of the City's recreational improvements. City Council directed staff to bring this matter back for discussion in early 2010. On February 16, 2010, City Council held a second study session in which the options of a special tax vs. formation of an assessment district were discussed. The Council agreed that the City needed to utilize a public education process and begin its efforts in order to deliver a positive message to the community and gain support for either a future special tax or assessment that would support the growing expenses of maintaining City parks, open space and recreational facilities. Willdan Financial Services has provided updated cost information (Attachment 5) and suggested timelines for both special tax and park assessment district formation consulting services (Attachments 6 & 7). The major advantages and disadvantages of each of the possible cost recovery strategies including user fees are discussed below and a summary is included as Attachment 8. Cost Recovery Strategy - Special Tax The advantages of a special tax include that: 1) it does not require the preparation of detailed technical data (i.e. preparing an Annual Engineers Report) or analysis of special and general benefit that is required for an assessment district; 2) it can include overhead and other general costs as long as they are for the stated purpose of the agency; 3) the cost allocation structure for a special tax is typically more simplistic 04210 since its one size fits all; 4) because the allocation structure is more simplistic, it is normally easier to explain to the public during outreach; 5) although it has a greater threshold for passage (i.e. requires a two-thirds approval), voters, as opposed to land owners, normally are more likely to support funding for park and recreational improvements; and 6) it can be drafted to include recreational services and programs as well as right-of-way landscaping. The City's existing L&L district does not currently fund parks and recreational improvements. The disadvantages of a special tax include that: 1) it requires a two-thirds vote (66.7%) approval of registered voters voting in the election; 2) all properties would pay the same amount regardless of how much they use the facilities or how close they are to the facilities; 3) there are restrictions on the use of City funds for public outreach and education; and 4) the vote must be conducted during an election in which members of the City Council are up for election, which is typically more expensive compared to a mailed ballot with an assessment. Willdan Financial provided an updated scope of services and fee proposal estimate of $15,500419,500 (Attachment 5) to provide special tax consulting services to the City in regard to a possible special tax ballot effort to support park, open space and trail systems in time for the June 2012 municipal elections. It is important to note that public outreach efforts are crucial to a special tax measure, and Willdan Financial strongly recommends that the City hire a public relations firm, as well as an opinion polling firm, to assist in the outreach effort. The cost that the County of Riverside will charge for placing the special tax ballot measure on the June 2012 consolidated election is not known at this time. According to the special election timeline (Attachment 6) for placement of a special tax measure on the Riverside County Ballot, the City would need to file resolutions with the Register of Voters calling the election and requesting consolidation services by March 9, 2012 in order to be on the June 2012 ballot. Cost Recovery Strategy - Parks Assessment District The advantages of a park assessment district include: 1) assessments only require a simple majority approval of property owners; 2) properties are assessed only for their proportional special benefits and benefits compared to other properties; 3) there are fewer restrictions on the use of City funds for public outreach and education; 4) balloting can be done at any time during the year; and 5) balloting may be conducted by a mailed ballot which is typically less expensive than balloting during an election. The disadvantages of a park assessment district include: 1) assessment districts require detailed support and analysis through an annual engineer's report in order to determine special vs. general benefit); 2) since assessment districts cannot assess for costs that are of general benefit they usually result in a lower overall assessment .» 0431 compared to a special tax; 3) assessment districts require more than a single assessment rate and a more detailed or complex apportionment than a special tax; 4) public outreach and education can be more challenging to communicate and explain with an assessment district due to the more complex nature of an assessment; 5) out of town and commercial property owners may be less likely to support an assessment and can negatively impact voting results since votes are in proportionate to land ownership; and 5) expansion of existing improvements would likely facilitate modifications to the existing zones (areas of benefit) and increases to assessments for the affected areas; therefore, building in a cost of living increase to the assessment district is highly recommended. The STM (Attachment 3) outlines in detail the method of apportionment (i.e. benefit analysis, assessment methodology, and cost allocations) and the budget/cost assumptions (i.e. total cost allocations and allocations by zone). In the STM prepared by Willdan Financial, a proposed assessment district structure is outlined that includes three zones based on proximity to the City's recreational facilities. The majority of the City would fall into Zone 1 with a proposed assessment of $46.30 per year. A portion at the southeastern part of the City would be in Zone 2 with a proposed assessment of $15.30 per year. The very southeast part of the city would fall into Zone 3 and would have no assessment. In addition, the STM discusses the advantages of developing a special tax versus the creation of a citywide assessment district. Attachment 4 includes the updated cost estimate from Willdan Financial Services, ranging in price from $41,500-$63,000, to provide citywide park assessment district formation services. Attachment 6 is a sample timeline for the formation of a new citywide park assessment district. Cost Recovery Strategy - User Fees The City may also want to consider user fees as a means for recapturing costs from individuals who are directly benefiting from the City's recreational facilities. These fees can include player fees for sports associations. Sports associations utilize the sports parks on an ongoing basis and use these facilities to a far greater degree than the public at large. The cost of utilities for lighting, irrigation and field maintenance is an ongoing expense that continues to increase. Since user fees must tie directly to City's cost for providing the service or facility the City would only be able to recoup a portion of the overall cost of city parks with this strategy. Should the City Council want to pursue this option, staff would prepare a comprehensive report specifically addressing this issue. Cost Recovery Strategy — Utility User, Sales and General Taxes Not included in Willdan's analysis but worth mentioning are utility user, sales and general taxes. These types of taxes have been used by other Coachella Valley Cities 0432 as well as CVAG to fund general or specific projects within their jurisdictions. Utility user taxes can either be special taxes or general taxes, depending on their purpose. They are collected by utility providers as part of its regular billing and then remitted to the taxing entity. The City of Coachella recently adopted a 5% utility user tax as a general tax measure. The funds collected can be used for any city purpose. The measure was only required to be adopted by a majority vote. If a tax measure specifies that the revenues collected will only be used for designated purposes, such as park maintenance, then it would be a special tax, and would have had to have been adopted by a two-thirds vote. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Adopt a Resolution approving the preliminary engineer's report for Landscape and Lighting Assessment District 89-1, for Fiscal Year 201 1-2012 and adopt a Resolution of the City Council declaring intention to levy annual assessments for maintenance and servicing landscape and lighting improvements within the boundaries of the territory included in the Citywide Landscape and Lighting Assessment District 89-1, and giving notice thereof; or 2. Do not adopt the Resolution approving the preliminary engineer's report for Landscape and Lighting Assessment District 89-1, for Fiscal Year 201 1-2012 and provide staff with possible revisions to the report for future consideration. 3. Provide staff with alternative direction. Additionally, if the City Council is interested in pursuing one of the cost recovery alternatives proposed in this report staff will prepare a PSA with Willdan for public outreach and special tax or assessment district formation services to be presented at a future City Council meeting with an appropriation recommendation for City Council consideration. Respectfully submitted, 4othy R. o ass n P.E. Public Works irect r/City Engineer 0433 Approved for submission by: Thomas P. Genovese, City Manager Attachments: 1 . Annual Activities Report 2. Preliminary Engineer's Report 3. Proposed Notice of Public Meeting 4. Willdan Financial Summary Technical Memorandum 5. Willdan Financial Cost Estimates for Services 6. Election Timeline for Special Tax 7. Timeline for Citywide Park Assessment District Formation 8. Summary of Funding Sources 0434 RESOLUTION NO. 2011- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING THE PRELIMINARY ENGINEER'S REPORT FOR FISCAL YEAR 2011/2012 IN CONNECTION WITH LA QUINTA LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1 WHEREAS, the City Engineer has prepared and filed with the City Clerk of the City of La Quinta, California and the City Clerk has presented the City Council such report entitled "La Quinta Landscape and Lighting Assessment District 89-1, Preliminary Engineer's Report" (the "Report"); and WHEREAS, the City Council has carefully examined and reviewed such Report. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: SECTION 1. The Report, as filed, is hereby approved. PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta City Council held on this 191h day of April 2011, by the following vote: AYES: NOES: ABSENT: ABSTAIN: DON ADOLPH, Mayor City of La Quinta, California 0435 Resolution No.2011- Preliminary Engineer's Report FY2011-2012 Adopted: April 19, 2011 Page 2 Uja*tm VERONICA J. MONTECINO, CMC, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California 0436 RESOLUTION NO. 2011- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, DECLARING ITS INTENTION TO LEVY THE ANNUAL ASSESSMENTS FOR CONSTRUCTION, MAINTENANCE, AND SERVICING LANDSCAPING AND LIGHTING IMPROVEMENTS WITHIN THE BOUNDARIES OF THE TERRITORY INCLUDED IN THE CITYWIDE LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1 AND TO LEVY AND COLLECT ASSESSMENTS PURSUANT TO THE LANDSCAPE AND LIGHTING ACT OF 1972 AND GIVING NOTICE THEREOF WHEREAS, the City Council, by its Resolution No. 89-9, initiated proceedings pursuant to provisions of the Landscape and Lighting Act of 1972, being Part 2 of Division 15 of the California Streets and Highways Code, commencing with Section 22500 (hereinafter referred to as "the Act"), for the formation of a Landscape and Lighting Assessment District designated "La Quinta Landscape and Lighting Assessment District 89-1," shall include all of the territory located within the boundaries of the City; and WHEREAS, the City Council desires to levy and collect assessments within Landscape and Lighting Assessment District 89-1 for the Fiscal Year commencing July. 1, 2011 and ending June 30, 2012 to pay the costs and expenses of constructing, operating, maintaining, and servicing landscaping, lighting and appurtenant facilities located within public places in the City; and WHEREAS, the Engineer selected by the City Council has prepared and filed with the City Clerk of the City of La Quinta and the City Clerk has presented to the City Council a report in connection with the Landscape and Lighting Assessment District 89-1 and the City Council did by previous Resolution approve such report. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: SECTION 1. The City Council has previously formed Landscape and Lighting Assessment District 89-1 pursuant to the provisions of the Landscaping and Lighting Act of 1972, being Part 2 of Division 15 of the California Streets and Highways Code, commencing with Section 22500. SECTION 2. The City Council hereby finds that the maintenance and operation of projects identified in the Preliminary Engineer's Report for Landscape 0431 Resolution No. 2011- Preliminary Engineer's Report FY2011-2012 Adopted: April 19, 2011 Page 2 and Lighting Assessment District 89-1 consisting solely of exempt items of sidewalks, streets, sewers, water, flood control, and/or drainage pursuant to Article 13D Section 5(a) of the California Constitution, that the public interest requires the maintenance of the improvements, and declares its intention to levy and collect assessments for the fiscal year commencing July 1, 2011 and ending June 30, 2012 to pay for the costs and expenses of the improvements described in Section 4 hereof. SECTION 3. The territory included within the boundaries of the Assessment District includes all of the land included within the boundaries of the City. SECTION 4. Reference is hereby made to the report of the Engineer on file with the City Clerk of the City of La Quinta for a full and fair description of the improvements, the boundaries of the Assessment District and any zones therein and the proposed assessments upon assessable lots and parcels of land within the Assessment District. SECTION 5. Notice is hereby given that May 17, 2011 at 7:00 p.m. at the City Council Chambers, 78-495 Calle Tampico, La Quinta, California, 92253, is the time and place fixed for a Public Meeting by the City Council to allow public testimony regarding the assessment. SECTION 6. Notice is hereby given that May 17, 2011, at 7:00 p.m. at the City Council Chambers, 78-495 Calle Tampico, La Quinta, California, 92253, is the time and place fixed for a Public Hearing by the City Council on the question of the levy of the proposed assessment for Landscape and Lighting Assessment District 89-1 . Any interested person may file a written protest with the City Clerk prior to the conclusion of the hearing, or, withdrawal of the protest. A written protest shall state all grounds of objections and a protest by a property owner shall contain a description sufficient to identify the property owned by such property owner. At the hearing, all interested persons shall be afforded the opportunity to hear and be heard. SECTION 7. The City Clerk is hereby authorized and directed to give notice of such hearings as provided in the Act. SECTION 8. The City Council hereby designates The Desert Sun as the newspaper in which notice of the Public Hearing shall be published. M1 i Resolution No. 2011- Preliminary Engineer's Report FY2011-2012 Adopted: April 19,2011 Page 3 PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta City Council held on this 1 g1h day of April 2011, by the following vote: AYES: NOES: ABSENT: ABSTAIN: DON ADLOPH, Mayor City of La Quinta, California ATTEST: VERONICA J. MONTECINO, CMC, City Clerk City of La Quinta, California (City Seal) APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California 0439 ATTACHMENT 1 ANNUAL ACTIVITIES LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT Adopt the following Resolutions: 1 . Approve Preliminary Engineer's Report (April 19, 2011). 2. Intention to levy annual assessment and notice of Public Meeting/Hearing (May 17, 2011). 3. Conduct a Public Meeting to allow testimony regarding the proposed assessments prior to Public Hearing (May 17, 2011). 4. Conduct a Public Hearing to allow written protests of the proposed assessment to be considered by the City Council prior to adoption of the final assessments (May 17, 2011). ATTACHMENT 2 s _ ; Uty of La Wonta Streets Ughting and Landscape r 2011/2012 ENGINEER'S ANNUAL LEVY REPORT Intent Meeting: April 19, 2011 Public Hearing: May'17, 2011 :��:., pp/I6..9.p pDpAN�I R/V © EfA7 Finaltcial Savim 044Z 4WILLDAN Financial Services ENGINEER'S REPORT AFFIDAVIT CITY OF LA QUINTA Street Lighting and Landscape District No. 89-1 Riverside County, State of California This Report and the enclosed diagrams show the exterior boundaries of the District as they existed at the time of the passage of the Resolution of Intention. Reference is hereby made to the Riverside County Assessor's maps for a detailed description of the lines and dimensions of parcels within the District. The undersigned respectfully submits the enclosed Report as directed by the City Council. Dated this day of 2011. Willdan Financial Services Assessment Engineer On Behalf of the City of La Quinta By: Adina Vazquez Senior Project Manager, District Administration Services LIM Richard Kopecky R. C. E. # 16742 pgg2 WILLDAN Financial Services ENGINEER'S REPORT CITY OF LA QUINTA STREET LIGHTING AND LANDSCAPE DISTRICT NO. 89-1 I HEREBY CERTIFY that the enclosed Engineer's Report, together with Assessment Roll thereto attached was filed with me on the day of 2011. BY: Veronica J. Montecino, CMC, City Clerk City of La Quinta Riverside County, California I HEREBY CERTIFY that the enclosed Engineer's Report, together with Assessment Roll thereto attached, was approved and confirmed by the City Council of the City of La Quinta, California, on the day of 2011. BY: Veronica J. Montecino, CMC, City Clerk City of La Quinta Riverside County, California I HEREBY CERTIFY that the enclosed Assessment Roll was filed with the County Auditor of the County of Riverside, on the day of 2011. BY: Veronica J. Montecino, CMC, City Clerk City of La Quinta Riverside County, California oaa3 M/WILLDAN Financial Services TABLE OF CONTENTS L OVERVIEW 1 A. INTRODUCTION 1 B. HISTORICAL BACKGROUND AND LEGISLATION 1 It. DESCRIPTION OF THE DISTRICT 2 A. DISTRICT BOUNDARIES AND SPECIFIC AREAS OF IMPROVEMENT 2 B. IMPROVEMENTS WITHIN THE DISTRICT 2 Ill. METHOD OF APPORTIONMENT 3 A. GENERAL 3 B. BENEFITANALYSIS 3 C. METHODOLOGY 5 IV DISTRICT BUDGETS 8 A. DESCRIPTION OF BUDGET ITEMS B. 2011/2012 DISTRICT BUDGET 8 APPENDIX A - DISTRICT ASSESSMENT DIAGRAM 12 APPENDIX B - 201112012 COLLECTION ROLL 13 40/WILLDAN Financial Services L OVERVIEW A. INTRODUCTION The City of La Quinta (the "City") annually levies and collects special assessments in order to provide and maintain the facilities, improvements and services within Street Lighting and Landscape District No. 89-1 (the "District"). The District was formed in 1989 pursuant to the Landscaping and Lighting Act of 1972 (the "1972 Act"), Part 2 of Division 15 of the Streets and Highways Code and authorizes the Agency to annually levy and collect assessments to maintain the services and improvements related thereto. This Engineer's Annual Levy Report (the "Report") describes the District, any changes to the District, and the proposed assessments for Fiscal Year 2011/2012. The proposed assessments are based on the estimated cost to maintain improvements that provide special benefit to properties assessed within the District. The various improvements within the District and the costs of those improvements are identified and budgeted separately, including expenditures, deficits, surpluses, revenues, and reserves. The word "parcel," for the purposes of this Report, refers to an individual property assigned its own Assessor Parcel Number ("APN") by the Riverside County Assessor's Office. The Riverside County Auditor/Controller uses Assessor Parcel Numbers and specific fund numbers on the tax roll to identify properties assessed for special district benefit assessments. Each parcel within the District is assessed proportionately for those improvements provided by the District and from which the parcel receives special benefit. Following consideration of public comments, written protests at a noticed public hearing and review of the Report, the City Council may order amendments to the Report or confirm the Report as submitted. Following final approval of the Report, and confirmation of the assessments, the Council may order the levy and collection of assessments for Fiscal Year 2011/2012 pursuant to the 1972 Act. In such case, the assessment information will be submitted to the County Auditor/Controller, and included on the property tax roll for each benefiting parcel for Fiscal Year 2011/2012. B. HISTORICAL BACKGROUND AND LEGISLATION The assessments for the District provide a special benefit to the parcels assessed, and the City utilizes General Fund Revenues to fund improvements and services that are considered general benefit. 2011/2012 LLD 89-1 Page 1 of 13 0445 PWILLDAN Financial Services This District was formed pursuant to the 1972 Act, which permits the establishment of assessment districts by cities for the purpose of providing for the maintenance of certain public improvements, which include the facilities existing within the District, as those improvements provide a special benefit to parcels. The City Council reviews the current and projected years' costs for the construction, operation, maintenance, and servicing of the District facilities and sets the assessment for the ensuing fiscal year, which runs between July 1 and June 30. A DESCRIPTION OF THE DISTRICT A. DISTRICT BOUNDARIES AND SPECIFIC AREAS OF IMPROVEMENT The boundaries of the District are coterminous with the boundaries of the City. The Diagram of the District showing the exterior boundaries has been submitted to the City Clerk at the City and is included by reference. B. IMPROVEMENTS WITHIN THE DISTRICT The District improvements are the operation, servicing and maintenance of landscaping, lighting and appurtenant facilities, including, but not limited to, personnel, electrical energy, water, materials, contracting services, and other items necessary for the satisfactory operation of these services described as follows: Landscaping and Appurtenant Facilities include, but are not limited to, landscaping, planting, shrubbery, trees, irrigation systems, hardscapes, fixtures, sidewalk maintenance and appurtenant facilities, located within the public street rights -of -way, parkways, medians, trails, and dedicated street, drainage or sidewalk easements within the boundary of the District. • Lighting and Appurtenant Facilities include, but are not limited to, poles, fixtures, bulbs, conduits, equipment including guys, anchors, posts and pedestals, metering devices, controllers and appurtenant facilities as required to provide safety lighting and traffic signals within public street rights -of -way and easements within the boundaries of the District. 2011/2012 LLD 89-1 Page 2 of 13 0446 N4/WILLDAN Financial Services Maintenance is defined as the furnishing of services and materials for the operation and usual maintenance, operation and servicing of the landscaping, public lighting facilities and appurtenant facilities, including repair, removal or replacement of landscaping, public lighting facilities, or appurtenant facilities; providing for the life, growth, health and beauty of the landscaping, including cultivation, irrigation, trimming, spraying, fertilizing and treating for disease or injury; and the removal of trimmings, rubbish, debris and other solid waste. Servicing is defined as the furnishing of water for the irrigation of the landscaping and the furnishing of electric current or energy, gas or other illuminating agent for the public lighting facilities, or for the lighting or operation of landscaping or appurtenant facilities. The plans and specifications for the improvements are on file in the office of the City Engineer and are by reference made a part of this report. ///. METHOD OF APPORTIONMENT A. GENERAL The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements that include the construction, maintenance and servicing of public lights, landscaping and appurtenant facilities. The 1972 Act further requires that the cost of these improvements be levied according to benefit rather than assessed value: "The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements." The formula used for calculating assessments in this District therefore reflects the composition of the parcels, and the improvements and services provided, to apportion the costs based on benefit to each parcel. B. BENEFIT ANALYSIS Properties within the District boundary are found to derive a special benefit from the improvements provided by the District. These properties include single family residential, non-residential, vacant residential and non-residential, golf courses, 2011/2012 LLD 89-1 Page 3 of 13 0441 Nh/WiLLDAN Financial Services agricultural and hillside conservation properties, vacant and remote non- residential and rural and estate residential properties. Special Benefits The method of apportionment (method of assessment) is based on the premise that each assessed parcel receives special benefit from the improvements maintained and funded by the assessments, specifically, landscaping and lighting improvements installed in connection with the development of these parcels. The desirability of properties within the District is enhanced by the presence of well - maintained parks, landscaping and lighting improvements in close proximity to those properties. The annual assessments outlined in this Report are based on the estimated costs to provide necessary services, operation, administration, and maintenance required to ensure the satisfactory condition and quality of each improvement. The special benefits associated with the parks and landscaping improvements are specifically: • Enhanced desirability of properties through association with the improvements. • Improved aesthetic appeal of properties within the District providing a positive representation of the area. • Enhanced adaptation of the urban environment within the natural environment from adequate green space and landscaping. • Environmental enhancement through improved erosion resistance, and dust and debris control. • Increased sense of pride in ownership of property within the District resulting from well -maintained improvements associated with the properties. • Reduced criminal activity and property -related crimes (especially vandalism) against properties in the District through well -maintained surroundings and amenities. • Enhanced environmental quality of the parcels by moderating temperatures, providing oxygenation and attenuating noise. The special benefits of street lighting are the convenience, safety, and security of property, improvements, and goods, specifically: • Enhanced deterrence of crime— an aid to police protection. • Increased nighttime safety on roads and highways. • Improved visibility of pedestrians and motorists. 2011/2012 LLD 89-1 Page 4 of 13 0443 N4/WILLDAN Financial Services • Improved ingress and egress to and from property. • Reduced vandalism, damage to improvements or property, and other criminal acts. • Improved traffic circulation and reduced nighttime accidents and personal property loss. • Increased promotion of business during nighttime hours in the case of commercial properties. The preceding special benefits contribute to a specific enhancement and desirability of each of the assessed parcels within the District. C. METHODOLOGY Pursuant to the 1972 Act, the costs of the District may be apportioned by any formula or method that distributes the net amount to be assessed among the assessable parcels in proportion to the estimated special benefits to be received by each such parcel from the improvements. The special benefit formula used within the District should reflect the composition of the parcels - and the improvements and services provided therein - to apportion the costs based on estimated special benefit to each parcel. The cost to provide maintenance and service of the improvements within the District shall be equitably distributed among each assessable parcel based on the estimated special benefit received by each parcel. Equivalent Dwelling Units To equitably spread special benefit to each parcel, it is necessary to establish a relationship between the various types of properties within the District and the improvements that benefit those properties. Each parcel within the District is assigned an Equivalent Dwelling Unit ("EDU") factor that reflects its land use, size and development, or development potential. Parcels that receive special benefit from the various District improvements are proportionately assessed for the cost of those improvements based on their calculated EDU. The EDU method assessment for this District uses the Single Family Residential parcel as the basic unit of assessment. A Single Family Residential ("SFR") parcel equals one EDU. Every other land -use is assigned an EDU factor based on an assessment formula that equates the property's specific land -use and relative special benefits compared to the Single Family Residential parcel. The EDU method of apportioning special benefits is typically seen as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act, as the benefits to each parcel from the improvements are apportioned as a function of land use type, size, and development. The following table 2011/2012 LLD 89-1 Page 5 of 13 0449 I WILLDAN Financial Services provides a listing of land use types, the EDU factors applied to that land use and the multiplying factor used to calculate each parcel's individual EDU for each improvement provided in the District. During the formation of the District, a methodology was developed to calculate the EDUs for other residential and non-residential land use parcels, which are outlined below for reference. Every land use is assigned EDUs based on the assessment formula approved for the District. Parcels which have been determined to receive greater benefit than the SFR parcel are assigned more than 1 EDU and parcels that are determined to receive lesser benefit than SFR parcels are assigned less than 1 EDU as reflected in the Assessment Methodology. lff D@V@20W Exempt Parcels 0.0 Single Family Residential Parcels 1.0 per unit Non -Residential Parcels 5.0 per acre; 1.0 minimum Vacant Residential Parcels 0.33 per unit Vacant Non -Residential Parcels 1.65 per acre for first 20 acres only Golf Course Parcels 0.50 per acre; 1.0 minimum Agricultural Parcels 0.25 per acre; 1.0 minimum Hillside Conservative Zone Parcels 0.10 per acre Vacant & Remote Parcels 0.825 per acre for first 20 acres only Rural/Estate Residential 1.0 + 0.33 per acre in excess 1 acre Single -Family Residential The City's General Plan allows up to one acre of area for subdivided residential lots. The subdivided single family lot equal to or less than one acre in size is the basic unit for calculation of the benefit assessments. Parcels less than one acre in size zoned for single-family residential use are assessed one (1) EDU. Non -Residential The factor used for converting nonresidential is based on the average number of typical single-family residential lots of five per acre. Therefore, non-residential parcels will be assessed five (5) EDUs per acre with a minimum number per parcel of one (1) EDU. Vacant Residential Parcels defined as single family residential parcels less than one acre and having no structure will be assessed 33 percent (33%) of a single-family dwelling, or 0.33 EDU per parcel. 2011/2012 LLD 89-1 Page 6 of 13 J 1 1 V/WILLDAN Financial Services Vacant Non -Residential Parcels not considered single family residential parcels less than one acre, and having no structure will be assessed based on acreage. The typical development in La Quinta occurs in increments of twenty (20) acres or less. The first twenty (20) acres of a Vacant Non -Residential parcel will be assessed at a rate of 33 percent (33%) of developed nonresidential properties, or 1.65 EDU per acre or any portion of an acre. The minimum number of EDUs per parcel is one (1) EDU. Any parcel of land greater than twenty (20) acres is considered open space and exempt from assessment until such time as parcel subdivision or development occurs. Golf Courses Properties identified as golf courses will be assessed a rate of 10 percent (10%) of the developed nonresidential properties, or 0.50 EDU per acre or any portion of an acre. The minimum number per parcel is one (1) EDU. Agricultural Properties identified as agricultural will be assessed a rate of 5 percent (5%) of developed nonresidential properties, or 0.25 EDU per acre or any portion of an acre. The minimum number per parcel is one (1) EDU. Hillside Conservation Parcels located in areas zoned Hillside Conservation per the City's Official Zoning Map will be assessed on the basis of allowable development within the Hillside Conservation Zone. The parcel will be assessed as one dwelling unit per ten (10) acres or 0.10 EDU per acre or any portion of an acre. Vacant and Remote Non -Residential Parcels (Annexation No. 9) Parcels not considered single family residential parcels less than one (1) acre and do not contain structures, will be assessed based on acreage. The City defines Vacant and Remote Non -Residential as parcels physically separated from City services and not readily able to develop due to difficult access and utility limitations. The land values are typically one half the value of other Vacant Non -Residential parcels because of the high cost of constructing appropriate access and utility infrastructures necessary. The Vacant and Remote Non - Residential parcels are assessed a rate of 0.825 EDUs per acre or portion thereof, for the first twenty (20) acres, with a minimum of one (1) EDU per parcel. Rural/Estate Residential Parcels of one acre or more in size, but having only one residential unit are identified as Rural/Estate Residential. These parcels will be assessed a rate of one (1) EDU for the first acre and 0.33 EDUs for each additional acre or portion of an acre. 2011/2012 LLD 89-1 Page 7 of 13 0451 1 WILLDAN Fnancial Services Exempt Property Publicly owned property and utility rights -of -way are exempt from assessment, as well as parcels of land shown on the County Assessor's records as Vacant Desert Land, Vacant Mountain Land, Agricultural Preserve and Public Utility owned land. This Report does not propose an increase in the District assessment rates for Fiscal Year 2011/2012 over or above the maximum rate established. The proposed rate per EDU for Fiscal Year 2011/2012 is the same rate assessed for Fiscal Year 2010/2011. The base assessment rate to be approved for Fiscal Year 2011/2012 is $35.60. The maximum assessment rate per EDU may not increase without a vote of the property owners in the District. Therefore, the assessment is proposed to remain at the maximum amount of $35.60 per EDU. This equates to total projected assessment revenue of $964,219. The City proposes the remaining $2,177,734 be funded through a General Fund contribution of $1,924,734 and $253,000 of revenue from CSA 152. /F DISTRICT BUDGETS A. DESCRIPTION OF BUDGET ITEMS The 1972 Act requires that a special fund be established and maintained for the revenues and expenditures of the District. Funds raised by assessment shall be used only for the purposes as stated herein. A contribution to the District by the City may be made to reduce assessments, as the City Council deems appropriate. The following describes the services and costs that are funded through the District, shown in the District Budgets. District Costs Personnel — Reflects relevant City Staff salaries, wages and benefits, and also includes Worker's Comp insurance, Stand -By, and Overtime labor. Contract Services — Includes contracted labor, such as the Riverside County Tax Roll Administration Fees, maintenance and repair of traffic signals, tree trimming, and security service. Rental Services — Reflects funds used for the purpose of uniform rental. Vehicle Operations — Includes the maintenance of fleet vehicles. Utilities — Includes the electric, telephone, and water services. 2011/2012 LLD 89-1 Page 8 of 13 0452 NW I LLDAN Financial Services Travel Training & Meetings — Reflects the funds used for the purposes of training and meetings. Information Technology — Includes computers, printers, and other related items and services. Operating Supplies — This item includes plant replacement, safety gear, field materials, and the materials used for the purposes of removing graffiti. Small Tools/Equipment — Includes non -capital small tools and equipment. District Administration — The cost for providing the coordination of District services and operations, response to public concerns and education, as well as procedures associated with the levy and collection of assessments. This item also includes the costs of contracting with professionals to provide any additional administrative, legal or engineering services specific to the District including any required notices, mailings or property owner protest ballot proceedings. B. 2011/2012 DISTRICT BUDGET For the purpose of estimating costs for the maintenance and servicing, actual costs are used where possible. However, where the improvements are new, or where actual maintenance experience is lacking, cost estimates will be used to determine costs. The Budget of estimated cost of operation, servicing, and maintenance for Fiscal Year 2011/2012 is summarized on the next page in Table 1. 2011/2012 LLD 89-1 Page 9 of 13 0453 N&/WILLDAN Financial Services Table 1 Fiscal Year 2011/2012 Budget $202,400 $80,500 $121,900 Personnel Salaries -Permanent Full Time Other Benefits & Deductions 90,550 36,770 53,780 Stand By Stand By Overtime Overtime Total Personnel $292,950 $117,270 $175,680 Contract Annual Lighting & Landscape Report $15,000 $15,000 Services Civic Center Campus Lake Maintenance 4,000 4,000 Landscape Lighting Maintenance 189,000 150,000 39,000 Riverside County Tax Roll Admin Fee 15,000 15,000 Citywide Maintenance Contract 1,017,840 639.360 378,480 Undeveloped Parks PM10 Services 80,000 80,000 Maintenance & Repair 15,000 15,000 CVWD Lease -Pioneer Dog Park 1 1 Tree Trimming 36,000 30,000 6,000 Janitorial Services 28,000 28,000 Security Service - Corporation Yard 2,350 1,350 1,000 Total Contract Services $1,402,191 $850,710 $551,481 Rental Services Uniforms $1,320 $1,320 $0 Total Rental Services $1,320 $1,320 $0 Vehicle Facilities Charges $1,098 $1,098 Operations Fleet Maintenance 4,524 4,524 Facility & Equipment Depreciation 432,234 432,234 Total Vehicle Operations $437 856 $4,524 $433,332 Utilities Electric $295,000 $149,000 $146,000 Phone 800 400 400 Water 362,000 240,000 122,000 Total Utilities $657 800 $389 400 $268 400 Travel Training & $1,130 $530 $600 Meetings Total Travel Training & Meetings $1 130 $530 $600 Information Computers Pdnters and Services $9,053 $4,311 $4,742 Technology Total information Technology $9 053 $4 311 $4 742 Operating Plant Replacement $61,000 $55,000 $6,000 Supplies Graffiti Removal 25,000 10,000 15,000 Safety Gear 400 400 Field Materials 110,000 60,000 50,000 Total Operating Supplies $196 400 $125 400 $71 000 Small Tools I Non -Capital $250 $250 $0 E ui menI Total Small Tools/Equipment $250 $250 $0 Total Landscape & Lighting Budget $2,998 950 $1,493 715 $1,505,235 District Public Works Administration $44,956 $44,956 $0 Administration I CityvAde Administration 98,047 39 338 58,709 Total District Administration $143,003 $84 294 $58 709 Total Landscape & Lialiting Expenditures $3 141 953 $1 578 009 $1 563 944 Less CSA 152 Revenue $253,000 Less General Fund Contribution 1,924,734 Balance to Levy $964,219 Total EDU 27,085 Levy Per EDU $35.60 2011/2012 LLD 89-1 Page 10 of 13 Og54 1\/W I LLDAN Rnancial Services The following information was obtained from the Riverside County Assessor's Secured Roll, Assessor's Parcel Maps, and the City's Planning Department. The land use categories were developed to classify the different land use types in the City. lImA Q921D n4m CAM 11OW P @RD a2ma Agricultural 19.00 371.80 93.31 $3,321.80 93.31 $3,321.80 Exempt 2,257.00 9,734.09 0.00 0.00 0.00 0.00 Golf Course 300.00 3,552.75 1,837.67 65,419.32 1,804.56 65,522.20 Hillside Conservation 12.00 319.03 31.90 1,135.62 1 31.90 1,135.62 Multi -Family Residential 38.00 93.05 643.00 22,890.80 643.00 22,890.80 Non -Residential 245.00 530.22 2,660.25 94,704.90 2,679.65 95,395.54 Rural/ Estate 57.00 116.50 90.70 3,228.34 95.45 3,397.38 Single Family Residential 19,930.00 2,061.38 19,929.00 709,472.40 19,930.00 709,508.00 Vacant/ Remote 23.00 379.97 180.96 6,441.90 214.78 7,646.04 Vacant Non -Residential 1 279.00 1 706.36 1 685.86 24,414.62 767.78 1 27,330.80 Vacant Residential 2,389.00 1 1,139.00 778.46 27,694.66 788.37 28,046.86 Total 25,549.00 19,004.15 26,931.11 $958,724.36 27,084.80 $964,195.04 (1) The difference in the "Balance to Levy" figure in the previous table and the land use classification proposed levy in this table is due to the Riverside County even penny requirement for each charged parcel. At the time of the Report there was an increase in EDU assessed of 153.69 over the prior year estimates. Actual changes will be based on the final County Secured Roll for Fiscal Year 2011/2012. The difference is due to changes in County Land Use Classifications and development. 2011/2012 LLD 89-1 Page 11 of 13 0455 N4/WILLDAN Financial Services APPENDIX A — DISTRICT ASSESSMENT DIAGRAM The Boundary Diagrams for the original districts have previously been submitted to the Clerk of the City in the format required under the 1972 Act and are made part of this Report by reference. The parcel identification, lines and dimensions of each parcel within the District are those lines and dimensions shown on the Assessor Maps of Riverside County for the year in which this Report was prepared and is incorporated by reference and made part of this Report. 2011/2012 LLD 89-1 Page 12 of 13 0456 VVWILLDAN Financial services ,APPENDIX B — 2011/2012 COLLECTION ROLL Parcel identification, for each lot or parcel within the District, shall be the parcel as shown on the Riverside County Assessor Parcel Maps and/or the Riverside County Secured Tax Roll for the year in which this Report is prepared. Non -assessable lots or parcels may include government owned land; public utility owned property, land principally encumbered with public right-of-ways or easements and dedicated common areas. These parcels will not be assessed. A listing of parcels within the District, along with the proposed assessment amounts, has been submitted to the City Clerk and, by reference, is made part of this Report. Upon approval of the Report and confirmation of the assessments, the assessment information will be submitted to the County Auditor/Controller, and included on the property tax roll in Fiscal Year 2011/2012. If the parcels or APNs within the District and referenced in this Report, are re -numbered, re -apportioned or changed by the County Assessor's Office after approval of the Report, the new parcel or APNs with the appropriate assessment amount will be submitted to the County Auditor/Controller. If the parcel change made by the County includes a parcel split, parcel merger or tax status change, the assessment amount submitted on the new parcels or APNs will be based on the method of apportionment and levy amount approved in this Report by the City Council. 2011/2012 LLD 89-1 Page 13 of 13 ..0. 0451 CITY OF LA QU/NTA ATTACHMENT 3 CITY COUNCIL NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the City of La Quinta City Council will hold a PUBLIC HEARING on May 17, 2011, at 7:00 p.m. in the La Quinta City Hall Council Chambers, 78-495 Calle Tampico, La Quinta, California, on the following item: THE FISCAL YEAR 2011/2012 ANNUAL ASSESSMENT FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1 Maintenance of landscape improvements in roadways and drainage facilities is a very important'service in our community. Landscaping, if well maintained, provides beautification and enhancement to the surroundings, along with a positive effect on property values. Adequate street lighting and traffic signals are considered imperative for their contribution to public convenience and safety. At the Public Meeting, City staff will present the proposed assessment levy and will accept questions thereon. At the Public Hearing, the City Council will hear comments in support of and protests against the annual levy prior to acting on the levy of assessments for Fiscal Year 201 1 /2012. Any property owner may mail a protest against the assessment to the City of La Quinta, Timothy R. Jonasson, Public Works Director/City Engineer, P.O. Box 1504, 78-495 Calle Tampico, La Quinta, CA 92253. The annual assessments generated by the existing 1972 Act City of La Quinta Landscaping and Lighting District will fund the cost of providing installation, servicing, maintenance, and operation of landscaping, lighting and appurtenant facilities within the City of La Quinta that are exempt under provisions of Proposition 218 voted in by the California residents during the November 1996 election. In the City's efforts to comply with the requirements of Title II of the Americans With Disabilities Act Of 1990, the City Manager's Department requires that any person in need of any type of special equipment, assistance or accommodation(s) in order to communicate at a City public meeting, must inform the City Manager's Department a minimum of 72 hours prior to the scheduled meeting. A COPY OF THE ENGINEER'S REPORT IS AVAILABLE AT CITY HALL. FOR ADDITIONAL INFORMATION, CONTACT MR. TIMOTHY R. JONASSON, P.E., PUBLIC WORKS DIRECTOR/CITY ENGINEER AT (760) 777-7075. PUBLISH ONCE ON FRIDAY, MAY 6, 2011 0158 May 12, 2009 Page 1 of 19 Memorandum To: Tim Jonasson and Ann Weaver, City of La Quinta From: Jim McGuire, Jennie Carter, Willdan Financial Services Date: May 12, 2009 Re: La Quinta Proposed Park Maintenance District Preliminary Rate Structure Summary of Findings ATTACHMENT 4 On behalf of the City of La Quinta ("City"), Willdan Financial Services ("Willdan") has conducted a preliminary analysis of the City's park, open space and trail improvements to evaluate the feasibility of establishing a district to provide a revenue source (funding) to support the maintenance and enhancement of the City's recreational improvements for the properties within the City. Over the recent months, Willdan has worked closely with City staff gathering relevant information regarding the City's park and recreational improvements and developing the parameters for establishing a possible Citywide Assessment District ("District") to fund the ongoing operational and maintenance costs of the parks, trails and open spaces (collectively referred to as "maintenance"), as well as the long term repairs, renovations and rehabilitation costs associated with those improvements and facilities (collectively referred to as "capital costs"). While this memo identifies an estimate of the possible assessments that may be associated with this District, these assessments are only a preliminary estimate of those possible assessments based on some basic assumptions regarding the overall cost of providing the improvements, cost allocations and the method of apportionment. Ultimately, the various preliminary findings and factors that are outlined in this memo will require further analysis and refinement (particularly the budgeted costs and method of apportionment) if the City decides to move forward with the possible formation of the District. This additional analysis and. refinement of the costs and assessments would be addressed in the development of an Engineer's Report that is required pursuant to the Landscaping and Lighting Act of 1972 and the California Constitution (Proposition 218). As part of this evaluation, Willdan has reviewed the improvements and budget information provided by the City and has researched parcel data and factors that support the formation of an assessment district within the boundaries of the City. Secured roll data, including parcel numbers, acreage, ownership, and land use codes were analyzed against and united with current geographic information system data in an effort to determine a basic method of apportionment and rate structure for an assessment district. While our evaluation concludes that an assessment district is a feasible approach for the City to consider, such a district would require the establishment of benefit zones which would reflect differences in special benefits and assessments within the City (Zones of Benefit). Although approximately 83% of the parcels within the City could be assessed for special benefits received from all park and recreational improvements, approximately 15% would be subject to special benefit assessments for trail maintenance and capital costs only and the remaining properties (less than 29/6) .uo 0459 May 12, 2009 Page 2 of 19 have been identified as receiving no measurable special benefits and would not be assessed for existing improvements. Although our evaluation has determined that an assessment district with zones of benefit is a viable approach to creating a revenue source to support the City's recreational improvements, such an assessment district requires that general benefits be separated from special benefits and the District may only assess for special benefit. Out analysis of the improvements and associated costs suggests that approximately fifty-five percent (559/6) of the regular annual maintenance costs would be considered special benefit, but capital costs, such as enhancement, renovation and rehabilitation of the improvements would be largely considered special benefits and recovered through the assessments, but such projects and costs need to be clearly identified and evaluated further as part of developing an Engineer's Report for the District. As outlined in this memo, we estimate that the City could recover approximately $1,268,500 of the $2,190,200 estimated to fully fund the maintenance and long term needs of the City's. current park, open space and trail system infrastructure. The following provides a more detailed analysis of our findings and identifies key elements for the City to consider. Method of Apportionment Based on the provisions of the 1972 Act and the California Constitution, this section of the memo suinmarize an analysis of the benefits associated with the City's existing park, open space and trail improvements that may be incorporated into a citywide special benefit assessment district (both general and special); the resulting district structure (zones of benefit); and the formulas used to calculate potential proportional special benefit assessments based on the entirety of the cost to provide the improvements (method of assessment). Benefit Analysis The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements, which include _ but are not limited to the construction, maintenance, operation, and servicing of park and recreational improvements. The 1972 Act requires that the cost of these improvements be levied according to benefit rather than assessed value: The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot orparcel from the improvements. " In conjunction with the provisions of the 1972 Act, the California Constitution Article XIIID addresses several key criteria for the levy of assessments, notably: Article XIIID Section 2d defines District as: `District means an area determined by an agency to contain all parcels which will receive a special benefit from a proposed public improvement orproperty-related service"; Q N iD May 12, 2009 Page 3of19 Article XIIID Section 2i defines Special Benefit as: `Special benefit" means a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at lage. General enhancement of property value does not constitute "special benefit. " Article XIIID Section 4a defines proportional special benefit assessments as: `An agency which proposes to levy an assessment shall identr all parcels which will have a special benefit conferred upon then and upon which an assessment will be imposed. The proportionate special ben ft derived by each identified parcel shall be determined in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the property related service being provided No assessment shall be imposed on any parcel which exceeds the reasonable cost of thepropoitional special benefit conferred on thatpanel " The method of apportionment (cost allocation) established for an assessment district requires that each assessed property receives special benefits from the improvements and services that are funded by such assessments, and the assessment obligation for each parcel reflects that parcel's proportional special benefits as compared to other properties that receive special benefits as outlined in the preceding definitions of the 1972 Act and the California Constitution. In reviewing the location and extent of the City's parks, open spaces and trail system (Please refer to Diagram 1— Improvement Details for an overview of the City's park, open spaces and trails) and the relationship these improvements have to properties within the City, it has been determined that all properties in the City (with the exception of the small area east of Monroe Street) are within one and a half miles (1 '/z miles) of an existing park and/or open space area, which is well within what would typically be considered, the average service area for local parks and open spaces. (Please refer to Diagram 2 — Z5 Mile Park and Open Space Radius for an overview of the sphere of influence of the City's park based on a 1'/2 mile radius). Furthermore, these parks and open spaces can be easily accessed by the City's interconnecting trail system that is immediately adjacent to all but approximately two percent (21/o) of the City's properties and/or developments. While this would suggest that collectively, the City's parks, open spaces and trails provide a direct and local benefit to the properties within the City, it is also reasonable to conclude that the use and accessibility to these improvements is not limited to the properties and the owners of such properties and therefore provide some identifiable general benefit. In our evaluation of the City's trail system it was determined that the City has an extensive trail system that extends throughout most of the City and these various trail segments provide direct access to the City's parks and open spaces as well as other trails, of which approximately twenty percent (20%) of these trail segments provide access points to and from areas outside the City. This accessibility from outside the City suggests potential use by the general public and a measurable degree of general benefit. Similarly, consideration must be given to the likely or potential use of the City's parks by the general public to establish a level of general benefit for those improvements. Although actual park usage is often times difficult to quantify, in our research, the City's Community Services_ Department provided policy guidelines that the City has followed for a number of years that has limited non- resident participation in various recreational leagues to be no more than 25%. Clearly this indicates that the City (at least from a policy perspective) has limited or attempted to limit the general public's 0461 May 12, 2009 Page 4 of 19 use of the City's recreational improvements which in turn enhances a special benefit nexus to properties within the City. Collectively, trail accessibility from outside the City and limits on non- resident league participation strongly suggests that less than twenty-five percent (approximately 22.5%) of these combined improvements and their associated maintenance costs would be quantified as general benefit to the public at large. In conjunction with the measure of general benefit to the public at large, it is also recognized that because these improvements are collectively associated with the entire City and are not necessarily specific to a particular development or developments (which is often times the case with assessment, districts), clearly there is some measure of general benefit to the properties within the City as well as the general public. Therefore, in addition to those costs attributable as general benefit to the public at large, it is reasonable to conclude that an additional percentage of the annual maintenance costs for parks, open spaces and trails should be considered general benefit to properties within the City (District). For purposes of this preliminary evaluation, the general benefit to properties within the City has been estimated to be approximately twenty percent (20%) based on two considerations: 1.) If such improvements (park and recreation improvements) provide a certain degree of general benefit to the public at large, properties within the district and the owners of those properties should reasonably have a similar level of general benefit from those improvements (22.5% based on the previous discussion); 2.) Although it is certainly reasonable to conclude that parcels within 1 '/z miles of the City's various parks and open spaces each benefit from such improvements and the trail system clearly enhances that benefit nexus, it is also reasonable to assume that a measure of special benefit requires a more direct local nexus. Therefore, utilizing a reduced park radius of between '/2 of a mile and '/< of a mile (which would be considered reasonable walking distance and clearly a direct local association between the various park sites and the surrounding developments and subdivisions), it has been determined that only about seventeen percent (17%) of the developments, subdivisions and properties within the City would be outside this more closely defined park radius. (Please refer to Diagram 3 — Specia/BeneSt Park Radius for an overview of the sphere of influence of the City's parks based on a radius of less than '/a of a mile). Together these two considerations would suggest an average general benefit percentage of 20% to properties within the District. Based on the preceding discussion, collectively it is reasonable to conclude that approximately forty- three percent (42.5 %) of the City's annual maintenance cost for the existing parks, open spaces and trails should be considered general benefit (22.5 % to the public at large and 20% to properties within the City). However for purposes of this preliminary evaluation, the following discussion regarding budgets and assessments assumes a more conservative estimate of general benefit (Forty- five percent [45%]). This general benefit allocation would be applicable to the regular annual maintenance costs and incidental expenses associated with the improvements. Conversely, the costs to maintain various quasi -park improvements such as City Hall and the Civic Center Campus are considered to be entirely general benefit costs, while capital costs (excluding City Hall -and the Civic Center Campus) are considered to be entirely special benefit because such efforts are for enhancement or expansion of the existing improvements which is entirely for the special benefit of properties in the City. .-0 0462 May 12, 2009 Page 5of19 Assessment Methodology In order to calculate and identify the proportional special benefit received by each parcel and their proportionate share of the improvement costs, it is necessary to consider not only the improvements and services to be provided, but the relationship each parcel has to those improvements as compared to other parcels in the District. Article XIIID Section 4a reads in part: "...The proportionate special bent derived by each identified parcel shall be determined in relationship to the entirety of the capital tort of a public improvement or the maintenance and operation expenses of a public improvement or for the cost of the properly related service being provided. No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on thatparcel." Parks, open spaces and trails, like most public improvements, provide varying degrees of benefit (whether they be general or special) based largely on the extent of such improvements, the location of the improvements in relationship to the properties, and the reason or need for such improvements as it relates to individual properties. In this analysis of a possible citywide district these issues ate each considered in determining the proportional special benefit to each parcel by the use of benefit zones that reflect the extent and location of the improvements in relationship to the properties, as well as the specific use and size of each property which reflects each parcel's need for such improvements and its reasonable cost of the proportional special benefit as compared to other properties that benefit from those improvements. Zones ofBene& In an effort to ensure an appropriate allocation of the estimated annual cost to provide the improvements based on proportional special benefits, this potential citywide assessment district would likely be established with benefit zones ("Zones") as authorized pursuant to Chapter 1 Article 4, Section 22574 of the 1972 Act: "The diagram and assessment may classifi various areas within an assessment district into different Zones where, by reason of variations in the nature, location, and extent of the improvements, the various areas will receive differing degrees of bent from the improvements. A Zone shall consist of all territory which will receive substantially the same degree of bent firm the improvements. " While the California Constitution requires that "the proportionate special bent derived by each identied parcel shall be determined in relationship to the entirety of the capital cost of a public improvement or the maintenance and operation expenses of a public improvement...", it is reasonable to conclude that the location and extent of the specific improvements in relationship to those neighborhoods or groups of parcels immediately adjacent or in close proximity to those improvements must be considered. In reviewing the location and extent of the various park, open space and trail improvements and the relationship these improvements have to properties within the City, it has been determined that these improvements are clearly local amenities that are directly associated with or desired for the development of such properties to their full and best use. As such, these local improvements have a direct and particular special benefit to the properties within close proximity to such improvements, which enhance their access or use of such improvements and provide a level of service and amenities that are not directly associated with other properties. 0463 May 12, 2009 Page G of 19 As previously noted, with the exception of a small percentage of the parcels along the eastern boundary of the City, generally parcels within the City are located within a 1'/z- mile radius of an existing park or open space, and have direct and/or easy access to a park or open space via the City's existing trail system. In narrowing this radius to '/< mile, each parcel's proportional special benefit from the parks and trails is further clarified. In recognition of these differences, the District would initially be established with three (3) Zones to reflect the proportional special benefits that various properties receive from the various improvements and associated costs. The following provides a description of the three Zones: 'Lone 01 Zone 01 incorporates and includes those developments and properties in the City that are within'/< of a mile (radius) of a park and/or open space, and is adjacent to or in close proximity to one of the City's trail segments that provide direct and easy access to those parks and open spaces. Accordingly, parcels within this Zone would be assessed for their proportional share of the costs to maintain these parks, trails and open spaces, as well as their proportionate share to fund related capital improvements, replacements, expansion and renovation of these improvements. Zone 02 Zone 02 incorporates and includes those developments and properties in the City that are more than '/a of a mile (radius) from an existing park and/or open space, but is adjacent to or in close proximity to one of the City's trail segments that provide direct and easy access to those parks and open spaces. Accordingly, parcels within this Zone would be assessed for their proportional share of the annual costs to maintain the trails but not the parks and open spaces. However, because of their easy access to the parks and open space areas via the trail system it has been determined that these properties should be assessed for their proportionate share to fund related capital improvements, replacements, expansion and renovation of not only the trails, but the park and open space improvements. 'Lone 03 Zone 03 incorporates and includes those parcels within the City that are not included in Zones 01 or 02. These developments and properties are more than 3/4 of a mile (radius) from an existing park and/or open space, and are not currently adjacent to or in close proximity to one of the City's existing trail segments. Accordingly, parcels within this Zone would not be assessed for the annual costs to maintain the trails, parks or open spaces. While a case could be made that these parcels would receive special benefits from various capital improvement, replacement, expansion and renovation projects associated with the City's parks, trails and open spaces, those special benefits would likely depend on the specific projects. Therefore, for purposes of this preliminary analysis, it is assumed that properties within Zone 03 would have limited or no special benefit from these projects and would be exempt from special benefit assessments until such time that trails and/or parks are expanded so that these properties have a direct local presence from those improvements. Although our analysis suggests that three Zones of benefit would be initially established for a citywide assessment district based on the current improvement infrastructure, these Zones could potentially be consolidated into two Zones and possibly a single Zone if the City were to add additional trails within Zone 03 and/or construct one or more parks in the eastern area of the City. ,.N 0464 May 12, 2009 Page 7 of 19 Please refer to Diagram 4 —Zone and Improvement Detail fox an overview of the three Zones and the relationship to the various improvements. For clarity purposes, Diagram 5 — Zone Detail provides an overview of the Zones without the improvement overlay. Equivalent Benefit Units In addition to the use of Zones, the method of apportionment established for an assessment district should reflect the proportional special benefit of each parcel utilizing a weighted methodology of apportionment. For purposes of determining an appropriate cost allocation, in this preliminary analysis we have utilized a weighted methodology typically referred to as an Equivalent Benefit Unit (EBU) methodology. This method of apportionment establishes the typically detached single-family home site as the basic unit of assessment. A single-family residential unit is assigned one (1.0) Equivalent Benefit Unit (EBU) and other property types (land uses) are proportionately weighted (weighted EBU) based on a benefit formula that equates each property's specific characteristics and special benefits to that of the single-family residential property. This proportional weighting may be based on several considerations that may include, but are not limited to: the type of development (land use), development -status (developed versus undeveloped), size of the property (acreage or units), population densities or other property related factors including any development restrictions or limitations; as well as the property's location and proximity to the improvements (which is addressed by its Zone designation). For the improvements and assessments outlined in this memo, it has been determined that the most appropriate proportional special benefit calculation for each parcel is reasonably determined by three basic property characteristics: • Location — as previously noted, each parcel in the District shall be identified and grouped into one of three Zones based on each parcel's proximity and relationship to the District improvements. • Land use — for purposes of this analysis, we have classified and grouped various land uses into a few basic categories including: Developed Non -Residential Properties (various commercial, industrial, institutional and other non-residential properties including government owned properties); Residential Properties (Single-family, Multi- family, condominiums and timeshares); and Vacant land (undeveloped properties that may be zoned for either residential or non-residential use). • Property Size — Acreage for non-residential properties; Units for residential properties. Property size (acreage or units) provides a definable and comparative representation of each parcel's proportional special benefit not only to similar types of properties but to other properties as well. The following is a summary of the property types and Equivalent Benefit Unit assignments utilized for this preliminary analysis. The method of special benefit allocation to each parcel type shown below is based on typical industry standards, but adjusted to reflect the City's overall development characteristics including comparable residential density statistics from the U.S. Census Bureau from the years 2005-2007, and other documentation provided by the City. If the City chooses to move forward with the formation of an assessment district, it is likely that this basic allocation by land use 0465 May 12, 2009 Page 8 of 19 may be expanded or modified to more accurately reflect the proportional special benefits to various property types. TYPe "i EBU -'i Multiplier Limits Developed Single Family 1.00 per Parcel No Limits Developed Condo -0.75 per Unit No Limits ;.,Qi 16!«& Vacant 0.50 per Acre Minimum of 1 EBU, Maximum of 5 EBUs per Parcel Based on the preceding method of special benefit allocation to each parcel type shown above and the parcel land use information from the most recent County secured roll data and the County's geographic information system ("GIS"), the following provides a summary of the number of parcels and Equivalent Benefit Units for each land use classification applied in this assessment analysis. Developed Single Family 15,818 15,818.00 Developed Condo 1,279 959.25 Vacant 5,223 7,014.98 Cost Allocations Pursuant to the provisions of the California Constitution, the proportionate special benefit derived by each parcel within an assessment district and its corresponding assessment obligation shall be determined in relationship to the entirety of the capital cost of a public improvement or the maintenance and operation expenses of a public improvement. The following formulas are used to calculate each parcel's Levy Amount (proportional assessment obligation): Step 1: Based collectively on the preceding discussion and findings, the estimated annual cost to provide the various District improvements have been identified as either general benefit or special benefit. Those improvement costs determined to be of general benefit shall not be assessed to properties within the District and these costs are deducted from the total budget to establish the improvement costs determined to be of special benefit. Total Budget — General Benefit Costs = Total Special Benefit Costs Step 2: Those improvement costs determined to be of special benefit are apportioned to each of the three Zones established, in proportion to the cost of providing the improvements for that Zone. As previously noted, it has been determined that May 12, 2009 Page 9of19 properties within Zone 03 do not receive identifiable local special benefits from the City's existing improvements and receive only general benefit from those improvements and facilities. Therefore, no costs are budgeted as special benefit in this Zone and the properties therein are not assessed. Zone Specific Special Benefit Costs = Total Zone Budget Step 3: The Total Zone Budget minus any additional contributions from the City or other revenue sources establishes the "Balance to Levy" for that Zone. This Balance to Levy amount is proportionately allocated to each parcel within the Zone based on their calculated EBU. Total Zone Budget — Additional City Contribution = Balance to Levy (Zone) Step 4: Each parcel's proportional special benefit is calculated based on the Equivalent Benefit Unit rationale previously discussed: Parcel's Land Use Benefit x (Acreage or Units) = Parcel's EBU Step 5: The total number of Equivalent Benefit Units for each Zone is determined by the sum of all individual EBU(s) applied to parcels that receive a special benefit from the improvements. An assessment amount per EBU (Assessment Rate) for each Zone is established by taking the Balance to Levy in that Zone, and dividing that amount by the total number of EBU'(s) for that Zone. Total Balance to Levy/Total EBU = Assessment Rate (Calculated per Zone) Step 6: This Assessment Rate is then applied back to each parcel's individual EBU to determine the parcel's proportionate benefit and assessment obligation. Rate per EBU x Parcel EBU = Parcel Levy Amount The potential costs (budgets) that would be used to establish the assessment rate for each Zone are outlined in the following section. Budget (Cost) Assumptions In this analysis, Willdan has utilized budget details provided by the City for fiscal year 2008/2009, as displayed in the following table, to establish an estimate of expenses to properly maintain the improvements: C 0461 May 12+ 2009 Page 10 gf19 Nblial. Sec., it, & Buildings Utilitie,i k"Id.11t.1h, O'ae.wiitp� I ....... . e ... clan; Total Budget st,rarfit Special Benefit Zoo. 1 1..., 2 Z..o 3 Adams Park 26.900 - 17.000 17627 61,527 24,804 88,801 27687 58,644 54.699 3,945 Civic Comer Campus 54.400 63.000 38.192 155,592 53,740 209,332 209.332 Desert Pride Park 12.000 4.300 8.814 25,114 12,402 37,516 11,301 26.215 24,243 1,972 Fritz Burro Park 30,900 21.750 24.000 20,565 97,215 28,938 126,153 43,747 82,406 77,804 4,602 La Quinton Park 95,300 16.900 88,000 64,633 264,833 90,946 — 4,134 153,779 _ — 13172 , 119,175 4 ,067 236,604 9,105 222,141 8,3 448 14.463 657 LSUaL. tc*ui; 600 Sa Saguaro Park 5.500 2938 , —_—` 9038 . ±aploo 7 ::2N:. :p'JN. .,nr .ft Sri c: 49' Sports Complex 73.000 600 26.500 49.944 150,044 70,216 220,320 61,520 152,BD0 141,624 ll'i76 - v4L,kpe,'r, ii i;,•N;: n.. — :,lY 'ly:,bHi 14 {11, "¢ m :-w PloeeerPark 26,300 17,627 43,927 24, SU 68,731 19.761 48.964 45.019 3.945 .ri,e'7r n•u.Frlf,}ai5:,yu,._, .. _. � r.�.-�..,N :x.. �. ,. :, ss, ,;. -56, i 't�., •& Pioks Sub Total 432AOU z 29 250 5242200r r Bear Creek Trail 35,600 17.791 21,890 75.281 22,684 97.555 33.077 63,988 60.397 3,591 Aab", ILx'O Let s 1ji •: Boo Hob Trail 16,200 - - 6.642 22,642 6,853 29,695 10,279 19.416 18,326 1,090 . Cove to Lake Trail 13.300 6.453 18,753 5.626 24,379 0.439 1S,940 15.045 095 !2pal [{rL v.n vI j, :, :FF .,)till •,x Quarry Trail 13,300 5,453 18,753 6,626 24,379 BA39 15,940 15.045 895 4.xiMv, „,.tam- a 6fukLpurpox4 Trail)NYBC) 17,400 7,134 24,531 7360 11,894 11,040 20,854 19.684 1,170 tl:nl•. fl..e :im0, ;p Wiltlyurpose Trail 3,500 I.435 4.935 1.481 6.416 2.221 4,195 3,959 236 May 12, 2009 Page 11 of 19 Based on the cost assumptions and calculations described in the preceding table, it is estimated that approximately 2.19 million dollars ($2,190,200) is required to maintain the Gty's current park, open space and trail system infrastructure of which approximately $542,600 is budgeted for the Gty's long term repairs, renovations and capital improvement projects. However, only about $1,268,500 of these costs have been identified as special benefit costs, with approximately $1,194,100 being associated with Zone 01 properties; approximately $74,400 associated with Zone 02 properties; and no costs being associated with Zone 03 properties. Utilizing these cost estimates, a preliminary estimate of proposed assessments for properties within the City has been developed based on the equivalent benefit units referenced in the preceding discussions. The following tables provide a summary of the special benefit cost allocations to the various Zones and land use types within those Zones. Total Cost Allocation Developed Single Family 1.00 15,818 15,818.00 $ 644,330 ';b'. :. •c it � Pr, 4,''.: _ -!. Developed Condo 0.75 1,279 959.25 39,074 Vacant 0.50 5,223 7,014.98 285,748 Zone I Cost Allocations Developed Single Family 13,725.00 _$ 635,294 Developed Condo 959.25 44,401 Vacant 5,182.58 239,888 Based on the preceding tables, a single-family residential property in Zone 01 would have an annual assessment of approximately $46.30, which would be the assessment rate per EBU for that Zone. Zone 2 Cost Allocations Developed Single Family 2,093.00 $ 31,946 Developed Condo Vacant 1,437.29 21,938 cq3+z 1'j- '„ �' , • t May 12, 2009 Pale 12 cf19 Based on the preceding tables, a single-family residential property in Zone 02 would have an annual assessment of approximately $15.30, which would be the assessment rate per EBU for that Zone. Zone 3 Cost Allocations Developed Single Family $ Developed_Condo - Vacant 395.12 Based on the preceding table, parcels within Zone 03 only receive general benefit from the existing improvements and therefore this Zone would have an assessment rate that is $0.00 per EBU. If the City elected to pursue the implementation of a special tax rather than an assessment utilizing a similar method of apportionment but not the Zone structure, this same revenue amount (approximately $1,268,500) would equate to an annual tax rate of approximately $40 (amount per a single-family residential property) but applied to all properties in the City including those in Zone 03. If the City wanted to pursue the full funding of the improvements through a special tax (approximately $2,190,200), the annual tax rate would be approximately $94 (amount per a single- family residential property). Regardless of whether the City selects an assessment district or a special tax to fund the Citys parks and recreational improvements, the measure submitted to the property owners or voters should include an annual inflationary adjustment to be applied to future assessment/tax rates. Because the cost of operating, servicing and maintaining park, open space and trail improvements are impacted by inflation over time, the proposed assessment rates or tax rate and corresponding parcel assessment/tax should include an annual inflationary adjustment based on either a set percentage rate, or the annual percentage change in the local Consumer Price Index. Special Tax vs. Assessment District While the primary objective of Willdan's efforts and the focus of this memo has been to outline the feasibility and overall structure necessary to establish a Citywide Assessment District for the City's park, open space and trail system improvements, consideration should also be given to the possibility of establishing a special tax to fund such improvements and costs. Although a special tax requires a two-thirds (66.7%) approval of registered voters to implement compared to the simple majority approval of property owners for an assessment (weighted ballots), the following are some notable distinctions between special taxes and assessments that the City should consider. Advantages of a Special Tax A special tax does not require the detailed support and analysis of special benefit and general benefit required for an assessment and given the recent State Supreme Court decision (Silicon 0470 May 1$ 2009 Page 13 of 19 Vagg Taxpa)s Assaiatwn zmus d)c Sans Clara Caaq Open Spice Authority), judicial review and possible challenges are a greater concern for an assessment than previously was the case; > A special tax can include costs which an assessment cannot (an assessment district cannot assess for general benefit while a special tax is only limited by the purposes specified for the special tax); The cost allocation structure for a special tax is typically more simplistic than an assessment district. A special tax usually is based on a single rate for the entire City (a flat rate that may be applied to various land uses or even a simple per parcel tax) compared to that of an assessment district that because of special benefit and proportionality requirements (particularly for a Citywide district), inevitably requires more than a single assessment rate and a more detailed or complex apportionment to various property types; > Because the cost allocation structure is usually less complicated for a special tax, public education and informational efforts are usually more focused on the need and advantages of the revenue source rather than explaining the differences in assessments which tend to make the ballot measure less controversial; > Although a special tax has a greater voter threshold, those that are most likely to support funding for park and recreational improvements are usually the residents of the City (registered voters). Conversely for an assessment balloting, out-of-town property owners, multi -family residential property owners (apartments) and non-residential properties may be less likely to support such an assessment and could have a significant impact on the voting results; > For the City of La Quinta, in addition to funding park and recreational improvements, a special tax could be constructed to also fund recreational services and programs and/or funding of the City's median landscaping (replacement of the current assessments which has limited revenue capabilities); and For an assessment district, expansion of the existing improvements would likely facilitate modifications to the existing zones (areas of benefit) and increases to the assessments for the affected areas, a special tax would not require such modifications ultimately reducing administrative costs. Advantages of an Assessment The most obvious advantage for pursuing an assessment rather than a special tax is the simple majority approval threshold, and if multi -family residential property owners (apartments) and non-residential properties (specifically commercial properties) are generally supportive of such assessments, the chances for a successful ballot outcome are good; Each property is assessed only for their proportional special benefits and benefits compared to other properties. Properties only pay for the local improvements that directly benefit the property (Example: In the proposed assessment district structure previously discussed, properties in Zone 3 would not be assessed unless and until local parks, open space or trails are constructed in their area); 0471 May 12, 2009 Page 14 gf19 While the City cannot use City funds to advocate either a special tax or an assessment, because approval of an assessment is not considered an election, there are fewer restrictions on the use of City funds for public outreach and education; > Balloting for an assessment can be done anytime during the year (although there are some legal opinions to the contrary), while a special tax requires the election to be scheduled and conducted at specified dates established by the Califomia Elections Code; and Balloting for a new assessment may be conducted by a mailed ballot proceeding, while the balloting for a special tax does not currently provide for a mailed ballot proceeding. (Typically a mailed ballot proceeding is less expensive to conduct than an election handled through the County Registrar of Voters). Additional Considerations The assumptions and calculations detailed in the preceding discussions reflect a preliminary estimate of possible assessment rates for the Citys parks, open spaces and trails based on existing estimated maintenance cost data. Although the estimated assessment rate options outlined in this analysis certainly suggest that an assessment district may be a viable approach to funding the City's parks, open spaces and trails, there are several issues that must be considered: The estimated annual maintenance costs outlined in this memo are based on the Citys Fiscal Year 2008/2009 Park Operations Cost. Our analysis relies heavily on County secured roll data for identifying and determining individual land uses and properly characteristics (which is sometimes incomplete or inaccurate) as well as the County's geographic information system ("GIS"). Although an assessment rate based on this data is certainly appropriate, a detailed audit of all City parcels to identify accurate land use designations for all parcels, acreage for commercial and vacant properties and unit counts for multi -family residential properties is likely needed before assessment rates can be finalized. While we have included Capital costs based on the City's FY 08/09 Budget for Parks, the estimated costs and subsequent assessment rate estimates presented in this memo do not include the possible higher costs that will inevitably result from the City's plans to enhance and renovate the City's existing parks, open spaces and trail system. Further identification and estimates of the associated costs for those specific improvements or enhancements will need to be developed before finalizing an assessment rate that would fund this increased burden. In the neat phases of the project (if authorized by the City) Willdan will continue to refine the methodology presented here by working on the parcel database as well as collaborating with the City staff to develop reasonable cost estimates and methodology for the rate structure. We look forward to our continued collaboration on this project with the entire team as the project progresses. Please feel free to call or email Jim McGuire to discuss these findings at 951.587.3536 and jmcguim@willdan.com 0412 May 12> 2009 Page 15 qf19 Diagram 1 Improvement Details La Quints Park Maintenance District (Parks, Open Spaces and Trails) —mesh.,, • _r Y rf r r W I LLDAN Financial Services Raised 02109 0473 May 12, 2009 Page 16 ,r19 ugd WILLDAN Pinencial Services Diagram 2 1.5 Mile Park and Open Space Radius La Quinta Park Maintenance District (Parks, Open Spaces and Trails) Revised 51109 0474 May 12, 2009 Page 17of19 N N+E S WILLDAN Financial Services Diagram 3 Special Benefit Park Radius La Quints Park Maintenance District (Parks, Open Spaces and Trails) R.V,, C 5n 105 0475 May 12, 2009 Page 18 of 19 Diagram 4 Zone and Improvement Detail La Quinte Park Maintenance District (Parks, Open Spaces and Trails) I W E S �WILLDAN Financial Services Raman 5n M9 w 0476 May 12, 2009 Page 19 ef 19 s W+E s Diagram 5 Zone Detail La Quinta Park Maintenance District (Parks, CIm Spaces and Trails) WILLDAN I Financial Services ReviseU S12109 11,10. 0477 ATTACHMENT La Quinta Estimated Cost of Services: Low Range High Range Survey Services: $18,000 $20,000 Develop Outreach Strategy $5,000 $8,500 Public Relations Firm Efforts $30,000 40 000 Total Outreach Efforts $35,000 $48,500 Option 1: Assessment District Formation: District Engineering Services $15,000 $20,500 Balloting Services $5,500 $7,500 Estimated Mailing Cost $21,000 35 000 Total Formation Services $41,500 $63,000 Option 2: Special Tax: Special Tax Consulting $15,500 $19,500 Special Tax Election TBD TBD «. 0473 Special Election Timeline for placement of a Special Tax Measure on the Riverside County Ballot ATTACHMENT (p e. Last dayto Re 10400, Board of Directors must file Resolutions Calling the Election and Requesting Consolidation f0402, f0403 Services with the Re this date. Both Registrar of Voters b y Resolutions must be adopted at the same time. Board Secretary must submit Ordinance / Measure to the Registrar of Voters Fih) March 9, 2012 Ordinance/Measure E.C. §§ 9222, by this date. The statement of all measures submitted to the voters shall be 9223, 13247 abbreviated an the ballot. The statement shall contain not more than 75 words for each measure to be voted on. (s'8F March 9, 2012 Boundary Changes E C. § 12262 Last day boundary changes may be made for this election. E.C. § 12111; Board Secretary shall publish a notice of election including a synopsis of the (33i March 9, 2012 Public Notice of Electron G.C. §§ 6060, measures). The last day to submit arguments to the Board Secretary should 6061 be included in the notice and it shall be published once. (+'.8) March 9, 2012 Last day to Submit Tax- E.C. § 9400 at In connection with a bond issue specified in E.C. § 9400, a statement shall rate Statement seq. be mailed to the voters with the sample ballot for the bond election. Last day to Withdraw Whenever a legislative body has ordered that a measure be submitted to the March 14, 2012 Measure E.C. §9605 voters of any jurisdiction at an election, the order of election shall not be amended or withdrawn after this date. Impartial Analysis of Attomey of the Board prepares and submits analysis of measure. Analysis ('t;I March 19, 2012 Measure E.C. § 9280 shall be printed in the ballot pamphlet preceding the arguments and shall not exceed 500 wortls. Last day to file E.C. §§ 9262, Last day to file arguments with the Board Secretary. Arguments shall not tfti'. March i9, 2012 Arguments 9283, 9286 exceed 300 words and shall be accompanied by a Statement of Authors form. No more than five authors may sign the statement. iC, March 29, 2012 Last day to file Rebuttals E.0 § 9285 Last day to file rebuttals to arguments with the Board Secretary. Rebuttals to Arguments are limited to 250 words. April 10, 2012 OMerptlnfing of election E.0 §9295 Register of Voters prepares copy for printer and orders ballots. materialsof Mail Sample Ballots and E.C. §§ 9223, !21) 04126/12- - 05/15/12 Election Materials to 9280 at Between these dates the Registrar of Voters shall mail a sample ballot to Voters seq., 13303, G. C. each voter, who is registered at least 29 days prior to the election. § 57148 Process Absentee Voter E.C. § 15101 at. When ballots are to be counted by computer, the Registrar of Voters may 1 i May 25, 2012 and Mailed Ballots seq. begin processing ballots 7 business days prior to the election. No count may be made until after the polls close on election day. The polls will be open from 7:00 a.m. and will close at 8:00 p.m. Absentee June 5, 2012 ELECTION DAY ballots may be turned in, before the polls dose, at any polling place in the jurisdiction. Canvass Election E.C. §§ 10260 at 2 June 7, 2012 Returns seq., 15301 at Registrar of Voters shall commence the official canvass on this day, seq. During the Official Canvass the Elections Official shall conduct a public 3 - 15 O6/OB/12 - 0620/12 One Percent Manual E.C. § 15360 manual tally in 1 percent of the precincts chosen at random by the elections Tally official. No later than this date, the Registrar of Voters will certify the election results. As soon as the canvass is completed, the Registrar of Voters shall send a 20 June 25, 2012 Statement of Results E.C.§§10262, statement of the results of the election to the Board Secretary. The 10263, 15372 statement shall show (1) whole number of votes cast in the District, (2) measures voted upon, (3) number of votes given at each precinct for and against each measure. WILLDAN Financial Services 0479 D / h J 2nntlo ATTACHMENT 7 City oflaQuiara landscape As Lisbon, Maforemnce District F inandivn & BiMns, for Fiscal Yea, M11-M12 "card Ballen Timeline RieWoBMeetin& To diteues the Domes, and oveaell expata[om—Diummn of political issues, Gry Monday 06/13/11 — 06/17/11 Fetay au ddatee,Dmtnctspeclfcs(ndWmgmpmv imm ndsetelms),Wdgetinfoomtwn oranyodacer hcmnthm may impect the survey,proposed ......^e o, engirr.nngzrilytt. Monday 06/21/11 — 09/23/11 Fred, ��Sy Coodueee&efforts Survey wnducmd to dnmii enfeasibility eofpmtteding with spearllaa or mml dome" - Woldan revews and analyan exttmg ropinessnrm.,seevk., budgets and assessments. Eatabkth.n MoMay 09/26/11 — 10/14/11 Friday pre1-- kvy, dmabaseice the ojet. scientific, possible aesenmed, issues and eny additional dommmaton,.,a in,em d mfom.eon needed from du Ciry Mondry 10/17/11 — W/28/11 Foid, Gry pmvidnWild. with anyupdided dooumeneseon separated and updamd cmr,pecien far say proposed upgrades or croon one that trey impazt he han,tran mall and proposed assessmem, Monday 10/31/11 — 11/11/11 Far, Wdldkm b.Partl[imabases and develops mind Disoictstaucause and cost allocations preal dof spread) Monday 11/14/11 — 12/02/11 Friday Wdldan br,ns developing nW worm, me aided draft of the Engineers Repo. Monday 12/OS/It — 12/16/11 Friday Wide. prods]. Cry with draft of PNiminaryP ®seers Repo. Monday 12/19/11 — 12/30/I1 Friday Ciry reviews drafted Report art Pmvid. tommmnu and., Pmpomd modef afire, to the Otmctsuocmce, budget and/orimprovnn.ru Monday 01/02/12 — 01/20/12 Frday WJldan makes throls to ProhnninaryFngineai Report based on descnsion(s)with City staff, Vcdid- uovlarcs re, seed Pee4minuy PnBinufs Report ro fry srart Monday, 01/23/12 — (12/17/12 Form PabGc Ourrcach Effsoop):Public ommuch'. conduclialcaW'c ommacb effao, on h¢Wde brochures, wo,bdmps, ree its rabne, maps, owners abianbe rapeseed and ballot process. Monday 02/20/12 — 03/02/12 Ford, Weld-makescM,g. to preliminary FriaOaeec't Report based on dermame(s) with City e fF, lt'illd., catechists revted Preliminary Engineers Report to Gty staff Monday 03/05/12 — 03/16/12 Fail, Cit mvie madiRad Report and proved. eo,n 1, and my, additional proposed modificarions iced the Report Mmday 03/19/12 — 03/Z/12 Friday W'SWanwbmits ruinMcmmg R.olueonsa.W Rdlrrmnry Engineers Repo.to (aryead dtliven elemmne, topics ofeach to the Gry for udmi en in. the (ary Council packs,c for me Intent Meeamg Tueday M/03/u sit laum Meetug Cowcu vdap.dime Resolmions:l)InOtwrg Proceedings; 2)Adopoonofdm pr®neu's Repo.3) Resolution of lmmr Mand, WIN112 — 01/13/12 Friday Willdan provides Gry mid, doNe of the Nonce& Ballot for rcvicw and appmW Monday 04/16/12 — N/20/12 and, Gry reviews Norim& Deal and pmvidn Wilkins with comments Monday M/23/12 — 04/27/12 Friday Wild- makes final motions to Nonce& Ballot based am Gry acaffcommem, Ptopeary Owae, Ballma and Northeast. Madrid: WJldan py ur, pmccses and needs the niece and billet Monday W/30/12 — 05/04/12 Friday 7Ir doormen.. The notices and! Idia.mint be mated m property owerat of record aleast 45 days p,io,m Public Hearing Monday 05/21/12 — 05/25/12 Friday Will makes memons m Isto®seers his baud on Public Qtrrsi of.,.; WIldas deaB. ll Hearing Resolution, Monday 05/28/12 — W/01/12 beat, W'iUmpmvde CigwWi Fnginees Repo.andPubl.H.rim6Resolutions. Cry rtekws Eugneeis Report and Reich— and mr,iiet land .—. Mortay 06/04/12 — M/08/12 Friday Wildan makes final mvisiom in Importer Report and Resolutions based can City sraffromeears Will submits Pablr Hearing Resolwions and Final En®neeh Repo. m Co, and dtliven chremnic Monday, 06/11/12 — 06/15/12 Friday mines of each to the Gty for criterion to the Ciry Council Vot For the trade, Hearing Public Hearing: Zmared hold, public hearing regarding the District and Noted asunmenu. After the Tuesday 06/19/12 *gable —,a. , has bee. demd T.W.hearing), rise Vapors see then opened mad omitted Tlse City Cauncd may combecon, dreimn ro the cox,CouncJ Idbamsg for adopaion Fthe Rewlmiam ag Emended Public Hearing The precious Hearing may be conmued to thus dam to finalise the honor Tuesday 0]/03/12 tamem. and apio wd of me Public Healy, Remlmearty Fndry 09/10/12 Or Submirml of Levy m Count Rod The mmoal dame pmsevred above or, plaeeholden vad me subjem ro choose. City CouncB meetmp am typically had on rise bit and 3M Tuesday death month at 3.00 p.m. ». 0480 Special Tax • Requires 2/3 Vote (66.7%) of registered voters voting in the election • Must be scheduled during a council election cycle, typically more expensive • Less complicated to communicate during public outreach • Restrictions on the use of City funds to perform public outreach • Funds used for identified purpose • Timed with Council Elections — Earliest is June 2012 ballot • Not collected until January 2013 • Does not require special benefit analysis or annual report • Special Tax for Parks could be as much as $94/year Park Assessment District • Simple majority approval by property owners, includes out-of- town property owners • Can do a mailed ballot, typically less expensive • Typically more complicated to communicate during public outreach • Less restrictions on the use of City funds to perform public outreach • Special benefit analysis required • Preparation of annual Engineers Report required • Cannot assess for general benefit • Can build in an annual cost of living increase • Not collected until January 2012 • Estimated assessment by Zone: Zone 1 $46.30 Zone 2 $15.30 Zone 3 $0 ATTACHMENT 8 User Fees • Adopted by Ordinance • Public Hearing Required • Cannot be property related to meet Prop 218 • Can be adopted at any time REPORTS/INFORMATIONAL ITEM: MINUTES ARCHITECTURE & LANDSCAPING REVIEW COMMITTEE MEETING A regular meeting held at the La Quinta City Hall 78-495 Calle Tampico, La Quinta, CA February 2, 2011 10:04 a.m. CALL TO ORDER A. This regular meeting of the Architecture and Landscaping Review Committee was called to order at 10:04 a.m. by Planning Manager David Sawyer who led the Committee in the flag salute. B. Committee Members Present: Jason Arnold, Kevin McCune, and David Thorns Committee Members Absent: None C. Staff present: Planning Manager David Sawyer, Principal Planner Wally Nesbit, and Secretary Monika Radeva II. CONFIRMATION OF THE AGENDA: Confirmed III. PUBLIC COMMENT: None IV. CONSENT CALENDAR: Staff asked if there were any changes to the Minutes of January 5, 2011. There being no comments or corrections it was moved and seconded by Committee Members McCune/Thoms to approve the minutes as submitted. Unanimously approved. V. BUSINESS ITEMS: A. Tentative Tract Map 36279 (Preliminary Landscaping Plan) a request submitted by Pedcor Commercial Development for consideration of landscaping plans for a proposed ±9-acre tentative tract map located on the southwest corner of Avenue 51 and Madison Street. Principal Planner Wally Nesbit presented the information contained in the staff report, a copy of which is on file in the Planning Department. 0482 Committee Member Thoms said he found the proposed palette of citrus trees to be appropriate for the site. He expressed concerns about relocating the existing trees on the site as citrus trees did not fare well when relocated. In addition, he noted that some of the trees on site were not very well maintained. Staff replied the approved landscaping would be subject to quality control inspections at the time of installation. Mr. Ray Lopez, Owner and Landscape Architect with Ray Lopez Associates, 49374 Gila River Street, Indio, CA 92201, introduced himself and said the applicant's intent for the proposed landscaping plans was to maintain the citrus tree as the theme tree recognizing the historical land use of that general area. Committee Member Thoms said he was not familiar with the proposed Washingtonia Filifera hybrid palm tree. Mr. Lopez explained the differences between the Washingtonia Filifera, Washingtonia Robusta, and Washington Filifera hybrid palm trees, and the benefits associated with the proposed hybrid. Committee Member Thoms asked where the Washingtonia Filifera hybrids would be used on the site. Mr. Lopez said they would be used on either side of the main entry way to the development. He also said that Washingtonia Robusta palm trees would be used in the back near the water fountain. Mr. Lopez said the applicant had not yet decided whether or not the existing water feature would remain and be renovated or if it would be turned into a planter. Staff said that a condition of approval would be included to ensure that the water feature was properly reviewed under the Final Landscaping Plans application. Staff suggested that the Committee identify in their recommendation to the Planning Commission whether or not the existing water feature was being recognized as such or as a planter, as identified on the submitted final landscaping plans. Staff said they would follow up and confer with the applicant regarding the intent for it. Committee Member McCune asked if the water feature was permitted under the original plans. Staff replied it was not. Committee Member McCune asked if Committee Member Thoms had seen the water feature during his site inspection. Committee Member 2 0483 Thorns replied he did not as he was not able to enter into the development. Committee Member McCune asked Mr. Lopez if he thought the water feature was salvageable. Mr. Lopez said it definitely had potential, he explained it was quite large in size and,the base for restoring it was there. Committee Member Thorns suggested the applicant use a mixture of the Washingtonia Robusta and Washingtonia Filifera palm trees for the entrance to create a deviation in the height of the trees. Mr. Lopez said the proposed landscaping already identified a staggering in the height of the trees; however, it only asked for the same type of palm tree. He said he would have to confer with the applicant on this suggestion. Committee Member McCune said he preferred to have only the Washingtonia Filifera hybrids for the entrance, as proposed on the plans, as it would give the entrance a more dominant effect. He said he liked the proposed groupings of palm trees for the inside and outside of the wall, and the staggered height of the palm trees as it led to the retention basin. Committee Member Thoms asked if all of the trees by the entrance would be citrus trees. Staff replied the submitted plans identified only citrus trees. Committee Member Arnold asked if there was existing irrigation on the site and if the applicant was planning on renovating it or installing new irrigation. Mr. Lopez replied there was some irrigation which was not working. He said the applicant had not yet discussed irrigation for the site, but Mr. Lopez's suggestion would be to install everything new. Committee Member Arnold said he was pleased with the proposed landscaping plan and he was looking forward to seeing the site being developed. General discussion followed regarding the maintenance and cost of citrus trees. Committee Member McCune asked if the proposed equestrian trail would be covered with decomposed granite (DG). Mr. Lopez replied it would be possibly a different color DG to create a contrast. He explained he was not experienced in equestrian trails and further research would have to be done. 3 0434 Principal Planner Wally Nesbit said he had consulted with the City's Public Works Department regarding the trail and the response he received was that any ADA accessible material would be acceptable. General discussion followed regarding different cover options for the trail. Committee Member McCune said he was very pleased with the plans and the plant palette. He asked if some type of pavers or cobblestone would be installed to enhance the entry way. Mr. Lopez said he was not aware of any such plans. Committee Member McCune asked if the applicant would put in curb and gutter along Madison Street. Staff replied the applicant would put in full street and arterial improvements. General discussion followed regarding the project site including compliance with Coachella Valley Water District (CVWD) water conservation requirements, the existing water feature, an existing on - site storage barn, limited use of turf, installation of a rail fence for the trail, etc. Mr. Lopez asked if horses would be allowed to ride on the proposed trail. Staff replied they would be allowed. Mr. Lopez asked if that would affect the DG cover and interfere with ADA requirements. Staff replied the Public Works Department would be better able to answer that. General discussion followed about multi -purpose trails within the City that include equestrian use. Committee Member McCune said suggested that the applicant also much easier to wire. Discussion LED lights. he liked the proposed lighting, but consider LED lighting which was followed regarding the benefits of Committee Member Arnold asked if homeowners could have horses in the community. Staff replied the area was zoned for it, but the number of horses allowed would depend on the size of the lot. There being no further discussion, it was moved and seconded by Committee Members Thoms/Arnold to adopt Minute Motion 2011- 002, recommending approval of Tentative Tract Map 36279 4 0485 (Preliminary Landscaping Plan) as submitted, with the following recommendations: • The proposed citrus trees shall all be the same size, with a minimum box size of 24". • Use a mixture of Washingtonia Filifera and Washingtonia Robusta palm trees, 2/3 to 1 /3 accordingly, at the entrance and at the inside corners of the project. • Use cobblestone for the entry way. Unanimously approved. VI. CORRESPONDENCE AND WRITTEN MATERIAL: None VII. COMMITTEE MEMBER ITEMS: None VIII. PLANNING STAFF ITEMS: None IX. ADJOURNMENT: There being no further business, it was moved and seconded by Committee Members Thoms/McCune to adjourn this meeting of the Architecture and Landscaping Review Committee to a Regular Meeting to be held on March 2, 2011. This meeting was adjourned at 10:46 a.m. on February 2, 2011. Resp ctfull submitted, MONIK RADEV Secretary 5 0486 REPORTSANFORMATIONAL ITEM: I -1 MINUTES HISTORIC PRESERVATION COMMISSION MEETING A Regular meeting held at the La Quinta Museum, Meeting Room 77-885 Avenida Montezuma, La Quinta, CA February 17, 2011 This meeting of the Historic Preservation Commission was called to order at 3:00 p.m. by Vice Chairman Allan Wilbur. CALL TO ORDER: Present: Commissioners Maria Chairman Allan Wilbur meeting at 3:04 p.m.) Absent: Chairman Robert Wright Puente, Peggy Redmon, and Vice (Commissioner Sharp joined the Staff Present: Planning Manager David Sawyer, Principal Planner Wallace Nesbit, and Executive Secretary Carolyn Walker II. PUBLIC COMMENT: None. III. CONFIRMATION OF THE AGENDA: Confirmed. IV. CONSENT CALENDAR: It was moved and seconded by Commissioners Redmon/Puente to approve the minutes of January 20, 2011, as submitted. AYES: Commissioners Puente, Redmon, and Vice Chairman Wilbur. NOES: None. ABSENT: Commissioner Sharp and Chairman Wright. ABSTAIN: None. V. BUSINESS ITEMS: A. Cultural Resources Report For Coachella Valley Water District (CVWD's) La Quinta Cove Refuse Removal Project— a request from the City of La Quinta to the Coachella Valley Water District for removal of certain refuse deposits from the property located south of the La Quinta Cove Area, approximately 0.7 miles southerly from the intersection of Calle Tecate and Avenida Ramirez. 0431 Historic Preservation Commission February 17, 2011 Principal Planner Wallace Nesbit presented the information contained in the staff report, a copy of which is on file in the Planning Department. Vice Chairman Wilbur asked for Commissioner comments. Commissioner Redmon said, in the interest of full disclosure, she owned one of the older homes in the Cove, and a lot of this would be of interest to owners of the older Cove homes because of the date of the relics. She added that she also reviewed the report from the standpoint of the cost benefit analysis. She was concerned about the cost to save, or to document, these things versus the actual benefit to the City. She commented on her past experience with the possible types of relics gained from these types of sites which are usually just basic merchandise. Vice Chairman Wilbur asked if she did not believe a qualified monitor needed to be there. Commissioner Redmon said she was very concerned about the cost to the City and the possibility the funds might be better spent elsewhere. Planning Manager Sawyer clarified the City would not be paying for the monitoring; CVWD would. Commissioner Puente asked who would choose the historical monitor. Staff responded the applicant would suggest a possible monitor which would have to be approved by staff. Commissioner Puente asked if the City would keep pieces that are recovered to be stored and displayed at the Museum. Staff responded standard archiving protocol would be followed. General discussion followed regarding what may or may not be found on the site and what had been identified nearby. Vice Chairman Wilbur was very interested in retaining the phrase "qualified monitor" in the conditions. Principal Planner Nesbit described the locations of the refuse piles and said he did not know if the Water District would do the project bit-by- 043E 2 Historic Preservation Commission February 17, 2011 bit or in a wholesale operation which could require more than one person watching to see if there was anything that came up. Planning Manager Sawyer added this was not a standard grading project and, this was not a standard report recommendation either. He added that the phrasing of the recommendation allowed staff to have the flexibility to use common sense on the intensity of the monitoring project on a case -by -case basis; based on a sampling of the types of relics that came up; rather than just setting standard protocol. Vice Chairman Wilbur asked if the current wording allowed that flexibility. Planning Manager Sawyer responded it did, basically, but wording could be added stating "if and when, monitoring is required, the extent of monitoring would be determined by staff at that time". Commissioner Redmon suggested that addition would be needed. Planning Manager Sawyer said they could add it, or it could simply be interpreted that was the direction of the Commission. There being no further discussion, it was moved and seconded by Commissioners Redmon/Puente to adopt Minute Motion 2011-002, recommending acceptance of the Cultural Resources Report for CVWD's La Quinta Cove Refuse Removal Project, as submitted. AYES: Commissioners Puente, Redmon, Sharp and Vice Chairman Wilbur. NOES: None. ABSENT: Chairman Wright. ABSTAIN: None. B. Tour of La Quinta Museum with Johanna Wickman, Museum Manager Planning Manager David Sawyer introduced Ms. Johanna Wickman, Museum Manager of the La Quinta Museum. Ms. Wickman then took the Commission on a tour of the Museum, highlighting such topics as: ■ The Local History Gallery which included the local Cahuilla Indian, Railroad, La Quinta Hotel and Desert Club histories. ■ An overview of the Edward Curtis and Dorothea Lang photo exhibits. 3 io. 0 4 > 9 Historic Preservation Commission February 17, 2011 ■ The new Jurassic Encounter Experience and the "overwhelming" response of the public for the display. Ms. Wickman gave an overview of the upcoming events and the increase of public use and attendance at the Museum. The Commissioners thanked Ms. Wickman for her time and the tour. VI. CORRESPONDENCE AND WRITTEN MATERIAL: None VII. COMMISSIONER ITEMS: A. Commissioner Puente asked if there was any additional information on the Annual Preservation Conference. Staff responded they had not received further information, but anything new would be forwarded to the Commissioners promptly. VIII. PLANNING STAFF ITEMS: None IX. ADJOURNMENT: There being no further business, it was moved and seconded by Commissioners Puente/Redmon to adjourn this Meeting of the Historic Preservation Commission to the next Meeting to be held on March 17, 2011, at the regular meeting location at the City of La Quinta City Hall. This meeting of the Historic Preservation Commission was adjourned on February 17, 2011, at 3:55 p.m. AYES: Commissioners Puente, Redmon, Sharp and Vice Chairman Wilbur. NOES: None. ABSENT: Commissioner Wright. ABSTAIN: None. Submitted by Carolyn Walker Executive Secretary 4 0490 REPORTS/INFORMATIONAL ITEM: 20 MINUTES PLANNING COMMISSION MEETING A regular meeting held at the La Quinta City Hall 78-495 Calle Tampico, La Quinta, CA February 8, 2011 CALL TO ORDER 7:04 P.M. A. A regular meeting of the La Quinta Planning Commission was called to order at 7:04 p.m. by Chairman Alderson. PRESENT: Commissioners Barrows, Quill, Wilkinson, and Chairman Alderson. ABSENT: Commissioner Weber STAFF PRESENT: Planning Director Les Johnson and Secretary Monika Radeva. II. PUBLIC COMMENT: None III. CONFIRMATION OF THE AGENDA: Confirmed IV. CONSENT CALENDAR: There being no comments, or suggestions, it was moved by Commissioners Barrows/Wilkinson to approve the minutes of January 11, 2011 as submitted. AYES: Commissioners Barrows, Quill, Wilkinson, and Chairman Alderson. NOES: None. ABSENT: Commissioner Weber. ABSTAIN: None. V. PUBLIC HEARINGS: A. Zoning Code Amendment 2010-102; a request by the City of La Quinta for consideration of Zoning Code Amendment to the La Quinta Municipal Code, Section 9.60.030, to Permit Review of Alternative Fence Materials Not Currently Identified in the Code Section 9.120.020 "Table of Permitted Uses" to add the Sale of Golf Carts as a Conditionally Permitted Use in the Golf Course Zoning District. 0491 Planning Commission Minutes February 8, 2011 Planning Director Johnson presented the staff report, a copy of which is on file in the Planning Department. Chairman Alderson said he would like the Commission to address the two items separately, first the alternative fence materials, and then the sale of golf carts. He asked if there were any questions of staff. Commissioners Wilkinson and Barrows asked if the owners who had installed the metal fence shown on Attachment #3, at 46700 Cameo Palms Drive, had complied with the Planning Commission's requirement to put caps on top of the metal fence. Staff replied that no action had been taken on the case as it was subject to the decision pending tonight. Staff would notify the owner of what would be required to address this issue after the zoning code amendment was adopted by Council. Chairman Alderson asked if sheet metal fencing was allowed, shouldn't the code specify the type of coating it must have. Staff replied that it would be better to address coating on an application -by - application basis in order to ensure that the metal fencing materials used were architecturally suitable; there was no glare, etc. Chairman Alderson said he was pleased with the fact that staff was revisiting the issue of golf cart sales and refining the allowable boundaries. Commissioner Barrows asked to clarify that the code amendment was specific to allowing Golf Cart Sales in the Golf Course Zoning District, and that it didn't also include neighborhood electric vehicles (NEVs) or the allowance of the sale of golf carts in other zoning districts. Staff replied the section was specifically identified as Golf Cart Sales which did not include other types of electric vehicles. He explained if the amendment was approved, it would be applicable city-wide, meaning, it would allow for consideration of Golf Cart Sales to occur anywhere within the City on a Golf Course zoned property. Staff said the sale of NEVs, in addition to golf carts, was allowed subject to a Conditional Use Permit approval, in retail establishments in areas zoned as Retail/Commercial. -2- Planning Commission Minutes February 8, 2011 There being no further questions of staff Chairman Alderson asked if there was any public comment. There being no questions or public comments, Chairman Alderson opened the matter for Commission discussion. There being no further questions or discussion, it was moved and seconded by Commissioners Quill/Wilkinson to adopt Resolution 2011- 002 recommending approval of the proposed modification of La Quinta Municipal Code Section 9.60.030, to permit review of alternative fence materials, and Section 9.120.020 "Table of Permitted Uses" as submitted. AYES: Commissioners Barrows, Quill, Wilkinson, and Chairman Alderson. NOES: None. ABSENT: Commissioner Weber. ABSTAIN: None. VI. BUSINESS ITEMS: None. VII. CORRESPONDENCE AND WRITTEN MATERIAL: None. Vill. COMMISSIONER ITEMS: A. Report of the City Council Meeting of February 1, 2011, presented by Commissioner Quill. He said the City Council adopted the proposed Non -Motorized Vehicle Transportation Plan. Commissioner Quill said Council discussed the landscaping for the Highway 111 Corridor and a new monument sign, and asked why these items were never presented to the Planning Commission for review and consideration. Staff replied that the Municipal Code protocol for landscaping permits and enhancements to public facilities required only Council review and approval which was why the case was never presented to the Planning Commission. Commissioner Barrows asked if that was because these were projects handled by the La Quinta Redevelopment Agency (RDA). Planning Director Johnson replied that not all projects were RDA projects. He explained it was related to City projects administered directly through City Hall for which the entitlement process did not require Planning 3It.0433 Planning Commission Minutes February 8, 2011 Commission consideration. City Council could decide to have some projects presented to other Boards, Commissions, and/or Committees, and direct staff to do so. Planning Director Johnson said that this policy was currently under review as part of the General Plan Update and could be revised in the not too distant future. Commissioner Barrows asked if the adoption of the Non -Motorized Vehicle Transportation Plan makes the City of La Quinta eligible for the Bicycle Transportation Account (BTA) Grant. Staff replied it did. Commissioner Quill asked if the City would be applying for the grant. Staff replied it was definitely a matter the City was interested in proceeding with, particularly the Whitewater Channel Trail, but that it would not be applying for the grant this year and explained why. Commissioner Barrows asked what was the Planning Commission's responsibility for implementing the adoption of the Non -Motorized Vehicle Transportation Plan. Staff replied that the Non -Motorized Vehicle Transportation Plan was already included in the City's General Plan Transportation Element. The adoption of the plan was merely taking those sections out of the General Plan and combining it with similar information from the County and State and making it its own document. Commissioner Wilkinson asked if there were any other funding options available for the Whitewater Channel Trail. Staff replied there were some and gave a brief description of what those were. B. Chairman Alderson noted Commissioner Barrows was scheduled to report back on the February 15, 2011, Council meeting. C. Quarterly Attendance Record. Chairman Alderson said he was very pleased with the Commission's attendance record. D. Chairman Alderson said Commissioner Weber had notified the Commission that he would be running late. 0494 Planning Commission Minutes February 8, 2011 It was moved and seconded excuse Commissioner Weber's Barrows, Quill, Wilkinson, and ABSENT: Commissioner Weber. IX: DIRECTOR ITEMS: None. X. ADJOURNMENT: by Commissioners Barrows/Quill to absence. AYES: Commissioners Chairman Alderson. NOES: None. ABSTAIN: None. There being no further business, it was moved by Commissioners Wilkinson/Quill to adjourn this regular meeting of the Planning Commission to the next regular meeting to be held on February 24, 2011. This regular meeting was adjourned at 7:35 p.m. on February 8, 2011. Respectfully ubmitted, Monika Radeva, Secretary City of La Quinta, California .4 0495 -5- REPORTS & INFORMATIONAL ITEMS: ZL COMMUNITY SERVICES COMMISSION MINUTES March 14, 2011 CALL TO ORDER A regular meeting of the Community Services Commission was called to order at 5:30 p.m. by Chairperson Fitzpatrick. Commissioner Leidner led the Pledge of Allegiance. PRESENT: Commissioners Blakeley, Engel, Fitzpatrick, Lawrence, and Leidner STAFF PRESENT: Edie Hylton, Community Services Director; Steve Howlett, Golf & Parks Manager; Angela Guereque, Senior Secretary PUBLIC COMMENT: Leduc Dominque, 79200 Camino Rosada, La Quinta, CA 92253, suggested the small dog park at Pioneer Park be extended to the east. Kay Wolff, 77227 Calle Ensenada, La Quinta, CA 92253, spoke regarding the efforts being made to pull up the Sahara Mustard Weed. Neighbors are working together to control Sahara mustard growing in the La Quinta Cove and the Preserve. Several local groups plan weekly "pulls." The next pull is scheduled for 8 a.m. Saturday and will begin in the Calle Tecate parking lot of the Cove. The weed grows fast and can smother other plants and shrubs competing for sunlight and soil moisture. On March 5, 2011, a small group of volunteers filled eleven 32- gallon bags with Sahara mustard. CONFIRMATION OF AGENDA Motion - It was moved by Commissioners Lawrence/Blakeley to confirm the agenda. Motion carried unanimously. PRESENTATIONS: None. APPROVAL OF MINUTES 1. Approval of February 14, 2010 Minutes Motion — It was moved by Commissioners Leidner/Engel to approve the minutes as submitted. Motion carried unanimously. m m Community Services Comrnlssion Minutes March 14, 2011 -2- CONSENT CALENDAR - None. BUSINESS SESSION 1. Consideration of Two "Copper Art Pieces" to be Located at the La Quinta Community Center. Director Hylton presented the staff report. Craig DeWitt, Director of Recreation Services, Desert Recreation District (DRD) was present. Commissioner Leidner asked if the art pieces would be accessible to the public. Mr. DeWitt stated that as long as the facility is open, people will be able to enter and view the art. Commissioner Engel asked if the DRD would be contributing financially toward the art pieces. Director Hylton stated that DRD has not paid any funds into the Art in Public Places fund. Chairperson Fitzpatrick asked why DRD was requesting two pieces. Mr. DeWitt stated that staff is trying to create a spa like atmosphere for people to enjoy. Chairperson Fitzpatrick asked if DRD has any staff trained in water maintenance. Mr. DeWitt stated that there is a staff person on site who is trained in water maintenance. Commissioner Leidner stated a concern with the noise of the water features. Mr. DeWitt stated that there would be water noise, but not extreme. Motion — It was moved by Commissioners Blakeley/Engel to recommend the purchase of both "LaQscape" and "Qui, Marquise" for the La Quinta Community Center in the amount of $18,000. Motion carried with Commissioners Fitzpatrick and Leidner opposed. STUDY SESSION — None. Discussion Regarding the Seasons Dog Park Director Hylton presented the staff report. Joan Raupah, 55069 Oak Hill, La Quinta, CA 92253, stated that the little dog park is too small and the large dog owners are not picking up after themselves. Angela Jewhurst, 54455 Avenida Obregon, La Quinta, CA 92253, agreed with the above comment. 04J1 Community Services Commission Minutes March 14, 2011 -3- Michoel Miller, P.O. Box 254, La Quinta, CA 92247, stated that as a large dog owner this is the only park where a large dog can run. .Suggested making Fritz Burns into a small dog only park. Roger Hopkins, 54145 Avenida Obregon, La Quinta, CA 92253, stated that he is the person who started the campaign years ago for a place to run large dogs. Stated that the design of the options do not give large dogs enough room and cost more in maintenance. Ron Messnick, 78355 Clarke Court, La Quinta, CA 92253, stated that as a small dog owner he believes there are ten times as many small dog owners as large dog owners. Stated that 99% of the time the large dogs do not go into the Option 2 area. Suggested Option 2. Shirley McElroy, 47745 Endless Sky, La Quinta, CA 92253, stated there are three to four times more small dogs than big dogs and the dog parks are for people too. Lilian Morton, 81421 Joshua Tree Court, La Quinta, CA 92253, stated that Seasons Dog Park is a lovely park; however the small dog area is too small. In favor of Option 2 and suggested adding signs to both sides. Sherry Halperin, 50115 Malaga Court, La Quinta, CA 92253, small dog owner who used to go to Fritz Burns Dog Park but there was a lot of work to be done to refurbish it. In favor of Option 2. Wendy Gregoire, 48651 Eisenhower Drive, La Quinta, CA 92253, small dog owner concerned with the large dog area surrounding the small dog area on all three sides. Dr. Claire Lehr, 78152 Calle Las Ramblas, La Quinta, CA 92253, small dog owner concerned about danger. Favors Option 2. Lloyd Ginsberg, 55142 Southern Hills, La Quinta, CA 92253, small dog owner whose dog was killed in the large dog area. Stated that the difference in the size of the small and large areas is terrible. Mark Von Iderstein, 78735 Via Melodia, La Quinta, CA 92253, stated that little dogs have a lot of energy and need more space to run. Many tourists that come into town have small dogs that travel with them. Option 2 seems equitable. Gloria Honz, 48930 Via Verano, Indio, CA 92201, stated she is a Pioneer Park user and will not use Seasons because of the size. 04A Community Services Commission Minutes -4- March 14, 2011 Chairperson Fitzpatrick suggested staff collect information regarding a possible conversion to the Fritz Burns Dog Park and statistics of usage, neighborhood impacts, and return with information to the Commission within 60 days. DEPARTMENT REPORTS 1. Department Report for February 2011 COMMISSIONER ITEMS 1. Report from Commissioners Regarding Meetings Attended. 2. Calendar of Monthly Events PUBLIC HEARING — None. OPEN DISCUSSION ADJOURNMENT It was moved by Commissioners Lawrence/Leidner to adjourn the Community Services Commission meeting at 6:48 p.m. Motion carried unanimously. NEXT MEETING INFORMATION: A Regular Meeting of the Community Services Commission to be held on April 11, 2011 commencing at 5:30 p.m. in the City of La Quinta Study Session Room, 78- 495 Calle Tampico, La Quinta, CA 92253. Submitted by: g* Angela Guereque Community Services Senior Secretary 4JI Department Report: (A OF TO: The Honorable Mayor and Members of the City Council FROM: Bret M. Plumlee, Assistant City Manager, Management Services /lyj DATE: April 19, 2011 I(({{'' SUBJECT: Department Report — Response to Public Comment The following public comment was made at the April 5, 2011 City Council meeting: 1. David Archer, La Quinta Chamber of Commerce, presented the new La Quinta map to the City Council. 0500 Department Report: F`k OF'TktE� TO: The Honorable Mayor and Members of the City Council FROM: Bret M. Plumlee, Assistant City Manager — Management Services DATE: April 19, 2011 SUBJECT: Update on Green and Sustainable La Quinta Program This report provides a quarterly update to La Quinta "green" activities for the period January 2011 through March 2011. City-wide Green Publicity, Projects, Outreach and Activities The City of La Quinta serves as a citrus collection site for Hidden Harvest's expanded citrus recovery program. Hidden Harvest collects excess citrus to donate to agencies that feed the hungry. All residents, country club communities, and businesses are encouraged to drop off their citrus Monday through Friday between the hours of 8:00 a.m. and 5:00 p.m. at the City's collection site which is located at the La Quinta Library parking lot (78-275 Calle Tampico). The City's collection site for Hidden Harvest's citrus recovery program has already collected 20,600 pounds of citrus since it opened on January 7, 2011. Rancho La Quinta also donates citrus to Hidden Harvest and donated 77,800 pounds of citrus! The Hidden Harvest citrus recovery program, which will continue through April 2011, collects excess citrus to donate to agencies that feed the hungry. Additional information on the program is posted on the City's Green website at http://www.la-guinta.org/lndex.aspx?page = 574. Energy Efficiency and Conservation Block Grant The City was allocated $180,700 in Energy Efficiency and Conservation Block Grant (EECBG) funding focusing on energy efficiency retrofit measures for municipal buildings, including City Hall, the Library, and Senior Center. Recently 05-1 City staff has purchased additional manual off/automatic on occupancy sensors for the Senior Center and Library interior lighting and parking lot carport lights. Staff is planning additional energy efficiency retrofits in this Fiscal Year 2010-2011 using EECBG funding. To date the City has spent $41,986.28. Updates of Utility Programs Partnership with Coachella Valley Water District (CVWD) The City and the CVWD established a Water Waste Helpline (1-888-398-5008) which is intended to allow individuals to report violations contributing to water waste. City and CVWD personnel have been trained to ensure calls are responded to in an efficient manner. The phone number for the helpline is also available on the City's after-hours phone directory. As calls are received at CVWD, CVWD staff members are dispatched to the location for follow-up. For after-hours calls and on weekends, calls are responded to the following day or Monday. From January 2011 through March 2011, there were 7 calls related to meter leaks, broken supply lines, flow off landscape, broken spray heads, and other -water running out of resident's garage. The City Municipal Code currently has a provision which prohibits allowing water, including irrigation water, from flowing onto a right of way (street). This provision, when combined with the CVWD/City Water Waste Helpline Program, helps to reduce water waste. The City and CVWD Cooperative Landscape Water Management Program continues to provide La Quinta residents with incentives to replace their turf with drought tolerant landscape. From January 2011 through March 2011, 11 applications received, 20 homes and 2 homeowners associations (HOA) that completed their turf conversions, and 22 rebate checks were issued. January 2011 through March 2011, 21 Weather Based Irrigation Controllers (WBIC) were installed in La Quinta homes. The Cooperative Landscape Water Management Program has been very successful and funding for this program has been fully allocated for this fiscal year. No new applications will be accepted. All applications currently filed with CVWD will be processed until June 30, 2011. The City/CVWD Weather Based Irrigation Clock Rebate Pilot Program ("Smart Controllers") has not been affected and funding is still available through June 30, 2011. In addition, CVWD conducted a Water Management for Landscape Professionals Seminar on January 19, 2011 in Spanish and on January 26, 2011 in English and provided a Water Wise landscape Workshop for Home Gardeners on March 30, 2011. 05.j2 Partnership with Imperial Irrigation District (IID) IID Home Energy Audits continue to be a great way to assist La Quinta residents to save on home energy costs providing no -cost and low-cost energy efficiency recommendations to homeowners. From January 2011 through March 2011, there were 42 audits conducted and 82 Compact Fluorescent Light (CFQ bulbs were provided resulting in 7,462 kWh potential annual energy savings. If the homeowners were to implement the recommended energy retrofits, an additional 16,716 in kWh potential annual energy savings could be realized. In addition, IID offers an Energy Star Rebate program From January 2011 through March 2011, 254 rebates totaling $107,393 have been issued to La Quinta residents resulting in 155,242 kWh potential annual energy savings. IID will be implementing a Small Business Direct Install Pilot Program (DI Program) in La Quinta. It is anticipated that this program will commence no later than June 2011. The DI targets small businesses with a monthly energy demand of 100 kW or less, per customer; the operational costs reduction, local job and small business retention, energy efficiency program awareness and public perception improvements are some of the expected benefits. Program objectives include: • Recognize and address the conservation needs of a small business customer • Improve competitiveness of small business customers through reduced energy related costs • Increase customer awareness of energy efficient business practices to include improvements in operations and maintenance methods The direct installation of the selected energy efficient measures (EEMs) will meet IID's energy efficiency and demand reduction requirements. The program will promote IID as a service provider and possibly serve as a link to other available energy efficient programs. The IID will collaborate with the selected Contractor regarding potential candidates and anticipates coordination with other public agencies during the term of this program. The Energy Efficiency Measures shall include: • Lighting — fluorescent lighting, occupancy sensors, lighting timers, LED signs (Open, Exit) • Refrigeration — occupancy sensors for vending machines, door closures, door gaskets, strip curtains, and LED lighting for reach in coolers • Other — window film, appliance timers, programmable thermostats and other cost-effective measures specific to the business operations The City and IID hosted meetings with IID territory cities on February 23 and March 23, 2011. One objective the combined meeting is to develop a wider partnership with IID and the Coachella Valley cities that are in IID territory modeled after the 05'�3. very solid relationship that La Quinta and IID has developed. Another objective is to try and identify a funding source that IID can provide that is specific to these IID cities, and work through the Desert Cities Energy Partnership. In February, IID hosted a booth at Riverside County Date Festival promoting IID energy management programs to thousands of Coachella Valley residents regarding smart energy use. In March 2011, IID gave a presentation at Trilogy's monthly HOA meeting. The presentation incorporated a synopsis of IID programs and residential energy efficiency tips. Partnership with Southern California Gas Company (Gas Company) The City and Gas Company continue to meet to discuss new ideas for program outreach. Gas Company staff has simplified and emphasized the programs and incentives available to La Quinta residents by providing useful links. This information may be found on the City's "Green" webpage. Please visit http://www.la-guinta.org/index.aspx?page=638 for additional information. For January 2011 to February 2011, 2 rebates totaling $235 were paid to La Quinta residents for a furnace and clothes washer though the Residential Home Energy Efficiency Rebate Program. Waste and Recycling Staff continues to meet and work with Burrtec Waste and Recycling (Burrtec) and Hilton, Farnkopf & Hobson (HF&H) Consulting with regard to waste and recycling management services. Burrtec and HF&H have been cooperative and valuable partners in providing City staff with waste management data and providing quality customer service. The Sharp's Program allows La Quinta residents to properly dispose of used needles and syringes thereby protecting themselves, their families and the community. The program is completely confidential and is FREE to La Quinta residents. From January 2011 to March 2011, 43 "sharps" containers were received from La Quinta residents for proper disposal. In addition, .Burrtec staff continues to work with Harsch Investments at Washington & Highway 111 to find a way to accommodate all the recycling generated from Five Guys Burgers and Fries. Burrtec staff is currently working with PGA West HOA II to possibly going fully automated and using only a 64-gallon carts for recycling. Burrtec also assisted with waste and recycling services for the following special events in La Quinta: Bod Hope Classic, Concours d'Elegance, and La Quinta Arts Festival. 05A City residents are able to dispose of household hazardous waste at Riverside County's Household Hazardous Waste Collection Facility at 1100 Vella Road, Palm Springs (Saturdays only from 9:00 a.m. to 2:00 p.m.). The Coachella Valley Transfer Station located at 87-011 Landfill Road (near Coachella) accepts Anti- freeze, Batteries, Oil, and Paint (ABOP) on Mondays through Fridays from 8:00 a.m. to 5:00 p.m. and Saturdays from 8:00 a.m. to noon. The Burrtec Waste and Recycling facility, at 41-800 Corporate Way in Palm Desert, is open to La Quinta residents for free disposal of batteries, fluorescent bulbs and tubes, all electronics, oil and oil filters Monday through Friday from 9:00 a.m. to 4:00 p.m. and Saturdays from 8:00 a.m. to noon. La Quinta residents may also dispose of green waste (up to 500 pounds per trip) on Monday through Friday from 9:00 a.m. to 3:00 p.m. (Saturdays 8:00 a.m. to noon). Conclusion The City has been very pro -active in developing programs, training staff and reaching out to La Quinta residents to ensure reduction in water and energy consumption and greenhouse gas emissions. Please visit the City's "Green" webpage http://www.la-quinta.org/lndex.aspx?page=574 to obtain additional information on what the City is doing to "go green". Staff will continue to make significant efforts to meet the City Council's expectations to protect the environment and maintain a "Green and Sustainable La Quinta." DEPARTMENT REPORT: 3 A CITY COUNCIL'S UPCOMING EVENTS APRIL 19 CITY COUNCIL MEETING APRIL 30 CITY PICNIC & BIRTHDAY PARTY AT FRITZ BURNS MAY 2 HAPPY BIRTHDAY LA QUINTA - 29 YEARS MAY 3 CITY COUNCIL MEETING MAY 14 HOUSEHOLD HAZARDOUS WASTE COLLECTION MAY 17 CITY COUNCIL MEETING MAY 30 CITY HALL CLOSED / MEMORIAL DAY JUNE 7 CITY COUNCIL MEETING JUNE 21 CITY COUNCIL MEETING JULY 5 C ITY COUNCIL MEETING JULY 19 C ITY COUNCIL MEETING 05 6 April 2011 Monthly Planner MondaySunday ..Friday March May S M T W T F S S M T W T F S 1 2 3 4 5.. 1 2 3 4 5 6 7 7 6 7 8 9 10 11 12 8 9 10 11 12 13 14 13 14 15 16 17 18 19 15 16 17 I8 19 20 21 20 21 22 23 24 25 26 22 23 24 25 26 27 28 27 28 29 30 31 29 30 31 3 4 5 6 7 8 9 10:00 AM Transp 3:00 PM City Council 10.00 AM -ALRC 12:00 PM Mayors Lunch Henderson Meeting 6'.00 PM IID Energy Cane -Franklin 10 11 12 13 14 15 16 10:09 AM Pub. Shy 7:00 PM Planning 9:00 AM RCTC 11 00 AM CVCC-Sniff 12:00 PM Energyl 9:00 AM (NA -Evans Henderson Commission Henderson Environs Sniff 530 PM Communty Services Commission 4:00 PM Investment Advisory Board 6:00 PM League - Henderson 17 18 19 20 21 22 23 3:00 PM City Council Meeting 10:00 AM Homelessness Crus, Franklin 3:00 PM Historic Preset vation Commission 12:00 PA°. HCRC Franklin 2 00 PM J.Cochran Reg Airpotl-Franklin 24 25 26 27 28 29 30 10:30 AM RCTC Budget - 7:00 PM Planning Commis 12:00 PM Sunflna Adolph 9:00 AM LAFCO 10:00 City Picnic & Birthday Party at Henderson lion Cancelled Henderson Fritz Fluins Park 6:00 PM Exec Come. Adolph Printed by Calendar Creator Plus on 4/12/2011 . 05:1 May 2011 Monthly Planner YJ 1 2 3 4 5 6 7 10:00 AM tamp 3'.00 PM City Council 1000AM-ALRC National Day of Prayer Henderson Meeting 600 PM 110 Energy Corte -Franklin Happy Birthday La Cluirea - 29 years 8 9 10 11 12 13 14 10:00 AM Pub. Sfty- 7:00 PM Planning 9:00 AM HCTC- 9.30 Am Animal Campos- Household Hazardous Franklin Waste Collection Henderson Commission Henderson 11,00 AM CVCC-snit! 3:00 PM Mms. 4:00 PM Investment 12:00 PM Energyl ConsversancY Franklin Advisory Board Enviran: Sniff 5:30 PM Community seryices Commission 6:00 PM League Henderson 11 16 11 18 19 20 21 3:00 PM City Council 10'.00 AM Homelessness 3:00 PM Historic Preset 9'.00 AM CVA-Evans Meeting Cmte-Ftnklin vation Commission 12:00 PM HCBC Franklin 22 23 24 25 26 27 28 10:30 AM HCTC Budget 7:00 PM Planning Commis 12:00 PM Sunline Adolph 9:00 AM LAFCO Henderson lion Cancelled Henderson 29 30 31 April June S M T W T F S S M T W T F S� 2 2 3 4 3 4 5 G 7 8 9 L62 7 8 9 10 11 Memorial Day 10 I1 12 13 14 15 I6 14 15 16 17 18 (CITY HALL CLOSED) 17 18 19 20 21 22 23 21 22 23 24 25 i 24 25 26 27 28 29 30 28 29 30 j Printed by Calendar Creator Plus on 4/12/2011 O J ] June 2011 Monthly Planner Monday- Tuesday Wednesday Thursday Friday 3 ---Sunday 1 2 4 May 10:00 AM -ALRC 1200 PM Mayors Lunch S M T W T F S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 5 6 7 8 9 10 11 10:00 AM Transp 3.00 PM City council 9:00 AM RCTC 11:00 AM CVCcsnin Henderson Meeting Henderson 12:00 PM Energy) 6:00 PM CVAG E.ec 4:00 PM Investment Envimn. Sniff Cmte-Adolph 6'.00 PM IID Energy Advisory Board Chno, Franklin 12 13 14 15 16 17 18 10:00 AM Pub. Sty 7:OD PM Planning 10:00 AM Homelessness 3:00 PM Historic Preset 9:00 AM CVA-Evans Henderson Commission Cmte-Franklin 12:00 PM FICK Franklin vation Commission 5 30 PM Community Services Commission 2:00 PM J. Cochran Reg Airport -Franklin 6:00 PM League Henderson 19 20 21 22 23 24 25 3:00 PM City council 12:00 PM SunflneAdolph 9:00 AM LAFCO Meeting Henderson 26 27 28 29 30 July 10:30 AM RCTC Budget 7:00 PM Planning Commis Henderson sion Cancelled 6:00 PM Exec Cmle. I 2 Adolph 10 I� 12 13 l4 1S 16 17 I8 19 20 21 22 23 24 25 26 27 26 29 30 31 Printed by Calendar Creator Plus on 4/12/2011 05 A DEPARTMENT REPORT: 3 B a, ok 4 4a Qu&roT4ht CF`y OF Tt�'�w TO: The Honorable Mayor and Members of the City Council FROM: Veronica J. Montecino, CMC, City Clerk DATE: April 19, 2011 ✓� SUBJECT: Discussion Regarding Schedule to Consider Commission Appointments Staff is requesting direction from the City Council to schedule City Boards, Committee, and Commission applicant interviews. Last year, the City Council chose to begin the June 1, 2010 meeting at 1:00 p.m, to conduct interviews and make appointments to the City Boards, Committee and Commissions. The regular City Council meetings in June 2011 are scheduled for the 7" and 21 s`. It is anticipated that a special meeting will be scheduled for June 23rd to consider the Fiscal Year 2011- 2012 budget. Applications are being accepted through May 20, 201 1 for consideration of appointments to 12 vacancies as follows: Architecture & Landscaping Review Committee — 2 Community Services Commission — 3 Historic Preservation Commission — 0 Housing Commission — 4 Investment Advisory Board — 1 Planning Commission — 2 All appointments should be made prior to the expiration of terms on June 30, 2011. 0510 DEPARTMENT REPORT: 4 T4t!t 4 4 a" TO: The Honorable Mayor and Members of the City Council FROM: Tom Hartung, Director of Building & Safety DATE: April 19, 2011 RE: Department Report — March, 2011 Attached please find the statistical summaries for building permits, Animal Control, Code Compliance, and garage sale permits for the month of March. The statistical summaries depict the following highlights: • Year-to-date building permit valuation is $9,199,270 which represents an issuance of 110 building permits in March; • Animal Control handled 452 cases in March; • Code Compliance initiated 373 cases in March; • Garage sale permits generated $1640 revenue in March. 0511 CITY OF LA QUINTA BUILDING PERMIT STATISTICS 2011 2010 2009 Permits Permits Permits Issued Total Valuation Issued Total Valuation Issued Total Valuation Month SFD `Total (dollars) SFD Total (dollars) SFD Total (dollars) January 3 1091 4,132,179 5= W 3,375,943 1 84, 1,890,966 :,February 3i 95� 2,690,022 21 671 -__-.- --___.___ 2,828,292 21 85: 2,741,141 ,March i 5 110 i 2,377,069 1 i 93 � 1,397,147 6 119; 3,291,631 April - - 1+ 113i 3,096,643 --------------- 4 98'i 4,357,452 May - - 3j 83i 1,771,872, 20. 109: 6,142,470 June i- - 2% 1221 3,735,552 28� 131, 5,726,972 ]uly - - - 3 110 -- 3,300,240 14 136 4,059,252 August - -` - 0 1161 2,056,306 7 99 3,638,865 September - - ----_._.,.. 13 147 m.m._ __-_ , 5,914,455 2` 130 2,677,822 October - - - 1 1641, 4,925,8321 3 101 3,326,234 November - -` 11 127 _ _____----___ ,_____._,__ 4,819,437 151 73 4,643,862 - _.------ December - i -; 414 133 ! 8,762,074 1 j 87 ; 2,142,020 Total 111 314' 9,199,270 73 1,361 45,983,793, 103I 1,252', 44,638,687 PERMIT STATISTICS BY APPLICATION TYPE FOR THE PERIOD 3/01/11 THRU 3/31/11 CITY OF LA QUINTA FOR ISSUED PERMITS OF ALL PERMIT TYPES DEPARTMENT - BUILDING & SAFETY ---- --------- ---------- .--_.------------------- --------------------- __ THIS PERIOD -- SAME PERIOD PREV YEAR -------- APPLICATION TYPE __ ______-FEES- ------- SAME APPLE PERMITS APPL VALUATN FEES AFFLS PERMITS APPL VALUATE FEES AC A➢DITION - COMMERCIAL 1 4 26645 594.56 0 0 8 0 49000 .00 1114.98 AR ADDITION - RESIDENTIAL 6 22 87892 2437.55 2 19 22460 594.76 BOCK WALL/FENCE 20 20 47062 882.00 16 6 6 i1900 201.50 1 1 1000 33.50 ELEC ELECTRICAL 21 21 155599 1031.28 8 8 43126 350.26 MECH MECHANICAL 5 6 11396 381.98 7 7 19792 702.65 PAT PATIO COVER - RESIDENTIAL 0 0 0 .00 PC PATIO COVER - COMMERCIAL 1 1 2394 .00 15 28293 437.29 8 8 39550 219.39 15 PLBG PLUMBING 4 10 49000 967.12 1 4 83700 1110.69 RC REMODEL - COMMERCIAL 8 46118 1053.08 10 15 28916 999.68 RER REMODEL - RESIDENTIAL 6 8 36 237000 4717.50 RPL POOL - RESIDENTIAL 15 64 405788 2313.52 10 10 98661 300.00 RR RE -ROOF 7 5 7 25 46316 1366459 210.00 13583.04 1 5 716379 5763.64 SFD DWELLING - SINGLE FAMILY DETACHED 2 2 6000 66.00 5 5 35200 165.00 SIGN SIGN 2 3 46250 81.39 1 2 50000 64.38 SOL SOLAR 2 3 10300 240.30 1 3 1200 90.04 SOTB STRUCTURES OTHER THAN BUILDINGS '_00 5 5 500 500.00 SPIN SPECIAL INSPECTION 1 1 100.00 TOTALS: 110 209 2377069 30293.71 93 145 1397147 17013.37 C) C'l F� CAD O F— 2011 Animal Control Statistical Report ANIMAL PICK-UPS Jan I Feb I Mar Apr May Jun Jul Aug Sep Oct Nov Dec 7year To Date Dogs Alive 13 23 43 79 Dead 2 1 1 4 Owner Turn In (OTI 01 11 4 1 1 1 5 Cats Alive 33 34 28 95 Dead 7 14 10 1 1 1 1 1 1 1 1 31 Owner Turn In (OTI) 01 01 1 1 1 1 1 1 1 1 1 0 Other Animals Alive 101 101 11 1 1 1 1 1 1 31 Dead 71 8 9 24 Owner Turn In (OTI) 0 0 0 0 Total Animal Pick -Ups Alive 56 67 82 205 Dead 16 23 20 59 Owner Turn In (OTI) 0 1 4 5 Total Animals Removed 72 91 106 269 INCIDENTS HANDLED Bite Reports 3 6 3 12 Animal Trap Set Ups 18 13 6 37 Cruelty to Animals 0 1 1 2 Vicious Animal Restraining 0 1 0 1 Zoning 0 0 0 0 Lost/Found 0 0 0 0 Outside Agency 0 0 0 0 Other 146 1741 194 .514 Total Incidents Handled 1671 1951 204 1 1 1 1 1 1 1 1 566 VIOLATIONS Dogs at Large 26 24 40 90 Noise Disturbance 6 1 14 21 Animal Welfare 2 1 3 6 License Violation 60 21 83 164 Other 14 2 2 18 Total Violations 108 49 142 299 Total Monthly Incidents 347 3351 452 1 1 1134 C:� F-! CJ1 2011 Code Compliance Statistical Report ABATEMENTS Jan I Feb I Mar I Apr May Jun Jul Aug Sep Oct Nov Dec Year To Date NUISANCE ABATEMENTS Property Maintenance Started 1311 1731 299 1 603 Completed 1361 1911 197 1 1 524 Zoning Code Violations Started 10 14 16 40 Completed 10 20 14 44 WEED ABATEMENTS Started 3 81 24 1 35 Completed 23 51 8 1 1 1 1 1 1 1 1 1 1 36 VEHICLE ABATEMENTS Started 231 231 25 171 Completed 171 251 11 1 1 1 1 1 1 1 1 153 BUILDING CODE VIOLATIONS Started 131 29 Completed 101 81 12 1 30 Total Started 1801 2251 373 1 778 Total Completed 196 249 242 681 Case Follow -Ups 747 753 897 2397 BUSINESS LICENSE INSPEC Started 1 3 1 5 Completed 3 5 3 11 GARAGE SALE PERMITS 121 97 164 382 GOLF CART PERMITS 2 1 1 4 HOME OCCUPATION INSPEC 4 12 11 27 MASSAGE PERMITS 3 1 1 5 POOL DRAINING PERMITS 11 6 11 28 DEPARTMENT REPORT: S TO: Honorable Mayor and Members of the City Council FROM: Edie Hylton, Community Services Directortry DATE: April 19, 2011 SUBJECT: Community Services Department Report for March 2011 Upcoming events of the Community Services Department for May 2011: Computers *MS Excel *MS Outlook Photoshop Elements, Senior Center Photos to Artwork, Senior Center Intermediate Computers, Senior Center Conquering MS Excel, Senior Center Dance *Line Dancing *Ballroom Dance *Swing/Latin Fusion *Dance Workshop Dance, Play & Pretend, La Quinta High School Beginning Ballet (5-10 yrs.), La Quinta High School Dance and Cheer (6-9 yrs.), La Quinta High School Excursions A Day in Carlsbad Exercise & Fitness *Morning Workout *Mat Pilates *Core Stability Ball *Yoga for Health *Yoga for Seniors *Tai Chi Chuan/Qi Gong Nature Walks, Bear Creek Nature Trail W.E.L.L. Morning Walks, Civic Center Campus Outdoor Interval Training, Civic Center Campus Sculpt Tone, Senior Center Tai Chi Chuan/Qi Gong, Fitness Center Yoga AM, Library Yoga PM, Museum J 6 Jazzercise, Senior Center Zumba, Senior Center Free Programs *Quitters *Woodcarvers Leisure Enrichment Hawaiian Culture & Hula (9-13 yrs; 14 & up), Senior Center Italian for Everyone, Senior Center Acrylic Landscape Painting (18 & up), Senior Center First Time Home Buyers, Senior Center Motherhood Memory Cords, Senior Center Music Beginning Guitar, Senior Center Special Events *Dessert Competition Luncheon *Evening Dance *Culinary Showcase Moonlight Movies, Old Town Special Interest *Mature Driver *Watercolor *Sketching and Drawing Sports Events Evening Disc Golf Tournament, La Quinta Park W.E.L.L. 1 K/51K Charity Walk, Civic Center Campus *Senior Center class or activity •1. 0517 Community Services Department Attendance Report for the Month of March 2011 Summary Sheet Program 2011 2010 Variance Sessions Per Month 2011 2010 Leisure Classes 167 103 641 93 84 Special Events 70 50 20 2 1 Sports 712 592 120 23 19 Fitness Center 756 871 -115 27 27 Senior Center 1409 1547 -138 109 99 Total 3,114 3,163 -49 254 230 Senior Services Senior Center 251 322 -711 9 11 Total 251 322 -711 9 11 Sports User Groups La Quinta Park Use AYSO 400 600 -200 26 27 LQ Sports & Youth 150 150 0 23 23 Desert Boot Camp 50 50 0 10 10 Sports Complex LQ Sports & Youth 800 900 -100 27 '27 Facility/Park Rentals Senior Center Private Part 100 300 -200 1 2 Churches-2 300 600 -300 4 8 Museum Meeting Room 0 0 0 0 0 Osher Classes 50 120 -70 8 9 Library Classroom 600 360 240 10 6 Civic Center Campus Private Part 501 0 50 1 0 Park Rentals La Quinta Park 300 150 150 5 3 Fritz Burns Park 100 50 50 2 1 Total 2,900 3,280 -380 117 116 Total Programs 6,265 6,765 -500 380 357 Volunteer Hours Senior Center 1 3371 2711 66 Total Volunteer Hours 1 337 271 66 05A Community Services Program Report for March 2011 2011 2010 2011 2010 Participants Participants Variance Meetings Meetin s Leisure Classes Acrylic Painting 10 6 4 3 1 Tai Chi Chuan 3 7 -4 9 16 Zumba 34 21 13 10 9 RelaxingMovements 5 0 5 6 0 Yoga - Morning 12 0 12 4 0 Yoga - Evening 11 0 11 4 0 Outdoor Training 3 0 3 6 0 Ballet/ Tap 4- 6 141 8 6 3 3 Ballet/ Tap 7- 10 71 6 1 3 3 Dance And Cheer 7 7 0 1 2 Adobe Photo Basic 6 3 3 3 3 Computers - Beg. 5 6 -1 2 3 Computers - Powerpoint 4 0 4 2 0 Microsoft Word 3 0 3 2 0 Guitar - Beg. 8 12 -4 3 3 Rock Solo 3 0 3 3 0 Italian For Everyone ill 0 11 3 0 Jazzercise 12 11 1 8 14 Body Sculpting/ Core Workout 9 6 3 18 9 Totals 167 93 74 93 66 2011 2010 ?nit gnin Participants Participants Variance Meetings Meetings Special Events Tails On Trails 70 50 20 1 1 Temecula Wineries Excursion 50 251 1 Totals 120 751 45 21 2 2011 2010 9ntl -InIn Participants Participants Variance Meetings Meetings Sports & Fitness Fitness Center 756 871 -115 27 27 Open Gym Basketball 533 535 -2 14 15 Open Gym Volleyball 84 57 27 5 4 Disc Golf Clinic & Tournament 25 0 25 1 0 W.E.L.L. Walking Club 22 0 22 1 0 Nature Walk 48 0 48 2 0 Totals 1468 1463 5 50 46 lCommunity Services Totals 1,7551 1,6311 1241 1451 114 05*9 Monthly Revenue Report for March 2011 Monthly Revenue - Facility Rentals 2011 2mn Libra $ - $ 75.00 $ v 75.00 Museum $ 600.00 $ 2,400.00 $ 1,800.00 Senior Center $ 825.00 $ 2,655.00 $ 1,830.00 Parks $ 460.00 $ 260.00 $ 200.00 Sports Fields $ 600.00 $ 1,105.00 $ 505,00 Monthly Facility Revenue $ 2,485.00 $ 6,495.00 $ 4,010.00 Monthly Revenue Senior Center $ 7,828.00 1 $ 5.991.00 1 $ 1.837.no Community Services $ 7,911.00 $ 4,657.50 $ 3,253.50 La Quinta Resident Cards $ 11,970.00 $ 4,215.00 $ 7,755.00 Fitness Cards $ 750.00 $ 875.00 $ 125.00 Total Revenue $ 28,459.00 $ 15,738.50 $ 12,720.50 Revenue Year to Date Facility Revenue $ 40,615.50 $ 44,778.00 $ 4,162.50 Senior Center * $ 41,452.50 $ 62,633.50 $ 21,181.00 Community Services $ 41,748.00 $ 36,841.50 $ 4,906.50 La Quinta Resident Cards $ 70,265.00 $ 27,615.00 $ 42,650.00 Fitness Cards $ 5,550.00 $ 5,640.00 $ 90.00 Total Revenue to Date $ 199,631.00 $ 177,508.00 $ 22,123.00 * In 2010, the City received a $10,000 donation from David Orme's Trust which was used to update the Senior Center computer lab. In 2011, revenue decreased due to a reduction in classes offered and reduction of fees. 0520 Senior Center Attendance Senior Center Program Report for March 2011 Participation Participation Variance I Meetings Meetings 2011 1 2010 1 2011 2010 r Activities PACK 2 99ers** 230 362 132 4Social/Party 235 361 126 9 12 & Wellness Day 30 65 -351 1 1 Monthly Birthday Party 45 45 01 1 1 Monthly Luncheon St. Patrick's) 101 85 161 1 1 Movie Time 521 44 81 4 3 Putting Action 11 11 0 4 4 Tennis 228 132 96 8 9 Wii Bowling4 10 6 4 3 Senior Activity Total 936 1115 -1791 36 38 Senior Leisure Classes Acrylic Landscape Painting 5 0 51 2 0 Bridge Basics 22 0 22 2 0 Ceramics 5 0 5 2 0 Computers 13 13 0 5 4 Core Stability Ball 4 0 4 2 0 Dog Training 7 4 3 3 3 Exercise 44 68 -24 7 11 Golden Tones 64 64 0 5 4 Hooked on Loops 4 7 -31 2 2 Line Dancing 11 0 111 3 0 Mat Pilates 22 29 -71 7 11 Politics & Prose (Discussion Group) 43 0 431 3 0 Quilters 40 39 11 4 4 Sketch/Draw 20 11 91 3 4 Swing/Latin Fusion 10 12 -21 3 4 Tai Chi Chuan/Qi Gong 6 7 -11 2 4 Ukulele Beginning 6 4 21 3 2 Ukulele Players 61 60 1 3 5 Watercolor 29 33 -4 3 3 Woodcarvers 36 21 15 3 2 Yoga for Health 11 21 -10 3 4 Yoga for Seniors 10 0 10 3 0 Senior Leisure Classes Total 473 393 80 73 67 TOTAL SENIOR PROGRAMS 1409 1508 -99 109 105 Senior Services AARP Tax Assistance 79 91 -12 8 11 FIND** 95 198 -103 4 4 HICAP 4 35 -31 2 5 Legal Consultation 6 4 2 1 1 FREE Seminars/Presentations/Screenings (2)* 21 26 -5 2 5 Volunteers 46 48 -2 n/a n/a TOTAL SENIOR SERVICES 251 402 -139 9 15 SENIOR CENTER TOTAL 16601 1910 -238 118 1zo *Included: Forest Lawn presentation & DRMC presentation. ** New ACBL Bridge group - This group is smaller than the original ACBL group. **FIND bread supply has decreased. 05Z1 Parks Activities Updates For March 2011 The concession building at the Sports Complex was painted and the new "Sports Complex" sign was installed. New backstops made from matching recycled material were also installed. Opening day for LQSYA baseball was Saturday, March 5, 2011. The facility was completely accessible to the users as the contractors for the Sports Complex Rehabilitation Project were mostly finished. The only remaining item was the installation of the fabric for the shade structures. The shade structures were finished two weeks later. The bridges at the Civic Center Campus have been refurbished. The contractor removed surface rust from the bottom of the bridges then primed and refinished the metal railings in their original color. A group of Homeowners in the La Quinta Cove gathered for a neighborhood "Mustard Patrol." The group hiked throughout the Cove and picked the Sahara Mustard weeds as well as passed out flyers to residents asking for their help to eliminate this weed from the community. Sahara Mustard is an invasive weed that threatens native spring flowers. Each weed produces up to 9,000 seeds and has spread throughout the Coachella Valley. The Cove homeowners group is planning a "Mustard Patrol" every weekend. Six "Do Not Feed the Ducks" signs were installed around the Civic Center Campus. Staff has witnessed throughout each day up to six groups at a time feeding the ducks with loafs of bread. People may think they are helping the ducks but according to research, this activity is unhealthy for the ducks as well as creating possible health risks to park users. The following is a flyer that will be provided at the base of the signs to educate people wanting to feed the ducks. Is Feeding Ducks Bread Bad? By Melissa Mayntz, About.com Guide Du k:.nys do not get the prop. ;;utrtlor ` o -,i gating hre, iJahv: niah fOxf Ie 05'_ 2 Many birders were first introduced to the joys of avian' wildlife by feeding ducks bread at a local park or pond. While we may have grown up thinking this was an environmentally responsible and humane way to dispose of old or stale bread, feeding the ducks is actually unhealthy and potentially dangerous for the birds. What Bread Is to Ducks Bread and similar products such as crackers, chips, donuts and popcorn are a great source of carbohydrates but they offer little other nutritional value for ducks, waterfowl and other birds. In fact, bread is the equivalent to junk food for the birds, and too much bread can lead to excessive weight and malnutrition as well as many other problems. Offered in extreme moderation, bread is not harmful to ducks or birds, but that moderation is hard to judge. While one family may only feed the ducks once every few weeks, there are many other families and individuals who are also feeding the ducks, which leads to a diet based almost solely on unhealthy bread products. Environmentally conscious birders will refrain from offering any bread to ducks to avoid dietary problems and other issues caused by a carbohydrate rich diet. Why Bread is Bad for Ducks Not only can bread be fattening to ducks and make it harder for them to fly and otherwise evade predators, feeding ducks bread can also lead to other problems. • Duckling Malnutrition: In an area where ducks are regularly fed bread, ducklings will not receive adequate nutrition for proper growth and development. Furthermore, because ducks will naturally seek out an easy food source such as human handouts, ducklings will not learn to forage for natural foods as easily. • Overcrowding: Where an easy food source is abundant, ducks and other waterfowl will lay more eggs and the pond or lake will become overcrowded. This makes it more difficult for the birds to seek out healthier food sources and increases the likelihood of territorial aggression. • Pollution: When too much bread is offered to ducks, not all of it will be eaten. The soggy, uneaten bread is unsightly and rotting bread can create noxious odors as well as lead to greater algae growth that can clog natural waterways. This concentrates the pollution and can eventually eradicate fish and other life in the vicinity. • Diseases: Feeding ducks bread can increase the spread of diseases in two ways. First, a carbohydrate -rich diet leads to greater defecation, and bird feces easily harbor bacteria responsible for numerous diseases, including avian botulism. Second, moldy bread can cause aspergillosis, a fatal lung infection that can decimate entire duck and waterfowl flocks. • Pest Attraction: Rotting supplies of food leftover from sated ducks will attract other unwelcome pests such as rats, mice and insects. These pests can also harbor additional diseases that can be dangerous to humans. • Loss of Natural Behavior: When birds become accustomed to handouts, they lose their natural fear of humans and may become aggressive in order to get more food. Their loss of fear can also cause other dangers, such as a willingness to cross busy roads in order to reach picnickers and other likely sources of food. 057-3 Department Report: I OF TO: The Honorable Mayor and Members of the City Council FROM: Les Johnson, Planning Directt.19 DATE: April 19, 2011 SUBJECT: Department Report for the Month of March 2011 Attached please find a copy of the Planning Department Report which outlines the current cases processed by staff for the month of March 2011. 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E a) E >, N '> o a) Q ❑ a N Cl Q N E " m �. a) E N U U U N a) c M M c n a c o-[ Nc aa) c a) � aa6 mUc o 0 N `6aco 0a) CM _ o cm oc°) E w a) co E; aso ) a u> o o 2 ao Yc0 -0 a) Jo ° -°o Cl CAo c p0 a° c c E 0 a Qa ❑w ()-oi a_ani)U)(n-FH>N0NU 0515 N F- F- U Q z O_ Fn M O U (D Z_ Z Z a J a O (° N LO n N Z O H a E U M w "O -m 'O 'O 'O -O -m -O 'O 'O '° 'O 'O 0 0 m m m m 0 m 0 N m m 0 m m m 0 O w Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y LU Y E E E E E E E E E E E E E E E E > O fq N N fA N fq N ul N N N f/1 fn N �/1 f/1 d O M O O O O O N m 010 0 010 0 Q Q W ( t Z F- Z) O J O Q LL P: W Z cc LU w O Q a } NY C Y Y y d F- y Y E m c U m a(n a�i w to mc c Em U �n E J U° E E u —° a a' a) m CL a LL a L= N N N LL C a �' m 2 CO _ O V 'N LL N Q G Q U Q dN Q .n E N U U N m (0 fC @°�N m o t" m m E LL F a> C a O -° c LL E au a m m m m° U ' o cc Co w 0 N z ,> , z J O vU-- m m �U rn Q Q ° m°° m°�* a Y m m— °° 0 0 QUOwLLo2M(nMMF-F >NN F F- M 05-26 DEPARTMENT REPORT: D 04 �� ZP Q"Krcv MEMORANDUM 'y of IK6 TO: The Honorable Mayor and Members of the City Council FROM: Timothy R. Jonasson, P.E., Public Works Director/City Engineer DATE: April 19, 2011 SUBJECT: Public Works Department Report for April 2011 Attached please find the following: 1 . Citizen Service Request Summary; 2. Encroachment Permit and Plan Check Services Summary; 3. Capital Improvement Plan Status Update; 4. Monthly Summary of Public Works Tasks; mothy R. onass n Public Wor s Director/City Engineer 0 5'1 MARCH 2O11 MONTHLY SUMMARY PLAN CHErk cFa�nr.Fs 0 C17 N co THE CURRENT AVERAGE NUMBER OF PLAN CHECK ROUNDS FROM SUBMITTAL TO APPROVAL IS 2.06. 4/8/2011 Page 1 of 1 CITY OF LA QUINTA PUBLIC WORKS DEPARTMENT CITIZEN SERVICE REQUEST MONTHLY SUMMARY (MARCH 2O11) SBRVICE " ' UMBER 'NUMBER"`" ON PROGRESS SAM A MBERQF`OAY - TEGO R CENED CGMPLETEB OG 'IANGE SER4ICE.REOUE$T 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Construction 0 Issues 0 2 0 0 0 0 0 0 0 0 0 0 0 0 Debris Removal 2 2 Development 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Issues 0 0 0 0 0 1 0 0 0 0 0 0 0 0 Drainage 1 1 1 1 0 0 0 0 1 0 0 0 0 41 Graffiti Removal 41 41 0 37 1 Irrigation 3 3 0 1 0 2 0 0 0 0 0 0 0 0 0 0 0 0 3 7 Landscaping] 7 5 2 0 0 1 1 0 0 0 0 2 0 1 Tree Maintenance 1 0 0 0 0 0 0 0 0 0 0 0 1 2 Lighting/ 2 2 0 Electrical 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 PM-10 )Dust) 0 0 Complaint 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Sidewalk Repair 0 0 0 3 1 0 0 0 1 0 0 0 1 0 0 1 0 0 4 Sign 4 Maintenance/ Replacement 0 0 0 0 0 0 0 0 0 0 0 0 SilverRock 0 0 0 0 0 Resort 1 0 1 0 0 0 0 0 0 0 0 0 0 0 2 Street 2 1 Maintenance 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Street Sweeping 0 0 0 Tffic Signals/ ra 2 2 0 0 0 1 0 0 0 0 0 1 0 0 0 0 2 Traffic Control Trash Removall 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Waste Management Olher 2 2 0 0 0 0 0 0 0 0 0 0 0 0 0 2 2 =Total Amount= SO"-�W>. __:. .62- �. �. 4 �43 _' v. _ .-5::::= _ '3 .W 1 _ . .v 1;g19 O CST t. c.0 City of La Ouinta CAPITAL IMPROVEMENT PLAN - PROJECT STATUS UPDATE FISCAL YEAR 2010/2011 Prnipnt Stntuq Anril 2011 PROJECT BUDGET DESIGN CONSTRUCTION REMARKS start - end start -end Design Consultant/Contractor FISC EAR 20061200r- C-1---- ECT 2006-06 Adams Street $12,184,926 03/08 - 07/10 6/11 - 3/13 Design: RBF Consulting. Contractor: TBD. Caltrans approved Bridge Improvements the long awaited construction funding on December 9, (Design Phase) 2010.T.Y. Lin was selected as the Construction Manager for the project.. Construction bids were received on April 7, 2011 Staff is performing it's due diligence for the lowest responsive bidder. Award recommendations will be submitted for the City Council's consideration during its May 3, 2011 meeting. The construction phase of the project is expected to last approximately 18 months. ISG Y -A 200200 .•Pis •5 TBD Design: VA Consulting - $79,296 Contractor. TBD. This 2007-07 Dune Palms at $430,000 07/09 - 04/11 Retail Center Traffic project will be developed as part of the A Street extension Signal (Dune Palms Road easterly to Komar Center). The PS&E phase is proceeding on schedule. Staff has secured easements with DSUSD and Walmart. In addition, easements are being prepared for dedication of the street and drainage areas from the adjacent Self Storage facility. 2010-13 Miles Avenue $197,000 10/07 - 12/10 04/11 - 07/11 Design: DEA - $17,720. Contractor: TBD. Design Median Island Landscape complete. Bids were opened on February 9` with Marina Improvements Landscape the low bidder. The project was awarded by City Council on March 15t and contracts have been signed by the contractor. A pre -construction meeting is scheduled for April 7th FISCAL-YER2008/ 009 G1 ROJECTS 1 of 4 FISCAL 2O09/2010'CIP PRUJECT 1!EAR 2009-01 Avenue 50 $350,000 N/A TBD The City of Indio is serving as lead agency for this regional Bridge (Spanning the All project. The MOU between the City of La Quinta and City of American Canal) Indio was approved by the City Council on July 21, 2009. Awaiting completion of plans by City of Indio. Project subject to CVAG cash flow capacity. 2009-02 Madison Street $575,000 N/A TBD The City of Indio is serving as lead agency for this regional (Avenue 50 to Avenue project. This project will be initiated in the near future. The 52) City signed a joint use agreement with CVWD for two relocated irrigation laterals. Awaiting completion of plans by the City of Indio. Project funding subject to CVAG cash flow capacity. 2009-03 Highway 111 $1,321,624 08/10 - 06/11 TBD Design - RGA Landscape Architects, Inc. - $77,125. Median Island Landscape Construction - TBD. Design is underway. The City Council Improvements (Adams approved the Highway 111 Design Guidelines on February 1, St. to Jefferson Street) 2011. The PS&E phase for the Median Island Landscape Improvements, between Adams Street and Jefferson Street is underway. 2009-04 Dune Palms $1,812,199 09/09 - 06/11 TBD Design - RBF Consulting, Inc. - $110,294. Construction - Road Widening TBD. The City Council awarded of a Professional Services (Whitewater River to Agreement to RBF Consulting, Inc. on April 20, 2010. Westward Ho Dr.) The design phase is underway. 2009-10 A -Street $1,001,670 10109 - 12/11 TBD Design: VA Consulting - Traffic signal improvements - PS&E Extension (Dune Palms scheduled for City Council approval on March 1st. MSA to Komar Center) Consulting - through housing project developer - A street extension to Komar Center. Contractor. TBD Phase I includes the installation of a new traffic signal at Dune Palms Road and A -Street and a portion of the new roadway. Phase II will include the remainder of the roadway improvements to be constructed with the RDA housing project. The engineering phase of this project is underway. s CD U1 CID 2 of 2009-14 Highway 111 $282,976 09/09 - 07/10 TBD Staff is coordinating with IID. Application in process for Utility Undergrounding undergrounding of wires. The design fee has been sent to IID. (So. Side Highway 111 Received IID report on January 31, 2011. The City received adjacent to RDA owned a cost of approximately $80,000 for the IID portion of the property) work to underground the poles. The City'sportion of the work is estimated to cost approximately $200,000. 2009-22 - Eisenhower $450,000 3/10 - 11/10 02/11 - 05/11 Design - In house. This project is partially funded with Drive, Calle Tampico Congestion Mitigation Air Quality Funds. Bids were opened on Signal Interconnect December Vt and Pro Tech Engineering is the apparent low bidder with a bid of $235,656. The City Council awarded the project on 1 /4/1 1 . The contractor was marked utilities and is scheduled to start boring operations on April 13th. 2009-24 - Adams, Miles $440,000 3/10 - 11/10 04/11 - 07/11 Design - In house. This project is partially funded with Dune Palms Signal Congestion Mitigation Air Quality (CMAQ) Funds. Bids were Interconnect opened on December 1" and Flat Iron Electrical Group is the low bidder with a bid of $277,825. The City Council awarded the project on 1 /4/1 1 . Pre -construction meeting was held on March 10`". Currently waiting on equipment. FISCA[Y=EAR 2009120 D__ �_s RO lEr'T _. - 2010-03 Avenue 50 $171,079 09/10 - 05/11 TBD Design: Dudek - $61,380. A RFP to obtain professional Park Avenue Drainage engineering services was approved by the City Council on Improvements August 3, 2010. The City council awarded a Professional Services Agreement to Dudek to prepare the PS&E for this project on November 16, 2010. The design phase of this project is underway. 2010-04 Avenue 48 @ $212,325 09/10 - 05/11 TBD Design: Dudek (Combined wth 2010-03). A RFP to obtain Jefferson St. Drainage professional engineering services was approved by the City and Landscape Council on August 3, 2010. The design phase of this project Improvements is underway. 2010-05 Colonel Page $118,511 06/10 -12/10 12/20/10 - 4/11 Design: DEA - $19,950. The site improvements have been Middte School Restroom advertised for bid. Bids were opened on November 4`" and Contreras Construction is the low bidder. A pre -construction meeting was held December 141h. Work has started and the O cn restroom building has been placed. Sewer line modifications have been made. Staff is proceeding with project N acceptance and is anticipating going to City council on May 17`h. 2010-06 Washington St. $445,018 09/10 — 05/11 TBD Design: Webb Engineering - $70,696. A RFP to obtain Dual Left Turn Lane at professional engineering services was approved by the City Ave 48 Council on August 3, 2010. Proposals have been received. The City Council awarded a PSA for the engineering phase of this project to Webb Engineering on November 16, 2010. The engineering phase is underway. 2010-07 Highway 111 $26 ,,277 03/11 -TBD TBD City Council authorized moving into the design phase for the Dedicated Right Turn Washington Street and Highway 1 1 1 Intersection Lane improvements which include this lane. Staff is sending the report findings and request for funding to CVAG. 2010-08 Phase II $313,296 08/10 — 06/11 TBD A RFP to obtain professional engineering services was approved Washington Street by the City Council on August 3, 2010. The City Council approved a PSA with RBF Consulting for the engineering phase Drainage Improvements of this project on December 21, 2010. The engineering phase is underway. 2010-09 Washington $130,414 09/10 — 05/11 TBD Design: Webb Engineering (combined with 2010-06). A RF Street Dedicated Right to obtain professional engineering services was approved by Turn Lane at Eisenhower the City Council on August 3, 2010. Design contract Drive awarded to Albert A. Webb Associates on November 16, 2010. The engineering phase of this project is underway. 2010-11 New Traffic $430,414 03/11 —TBD TBD The City Council approved an RFP to obtain professional Signal (Eisenhower Dr. engineering services on November 16, 2010. The RFP has at Sinaloa been advertised. Proposals were received by the City on December 16, 2010. Feasibility analysis is underway. O CTi W W 4 of MONTHLY SUMMARY OF PUBLIC WORK TASKS MONTH OF: March, 2011 Employee's Hourly Labor Breakdown Crew#1 Crew #2 Crew #3 Maint. Mg. Code Activity 5 Men 4 Men 3 Men 1 Man Total 1000 Policing/Inspection 50 88 1 11 150 1001 Pot Hole -Repair/Patching 23 3 0 0 26 1002 Crack/Joint-Repair 6 6 0 0 12 1003 Pavement Marking/Legends 0 4 0 0 4 1004 Pavement Marking/Striping 0 0 0 0 0 1005 Curb Painting 0 0 0 0 0 1006 Other Traffic Controls 15 48 0 2 65 1007 Curb & Gutter Repair/Const. 0 0 0 0 0 1008 Other Concrete Repairs/Const. 59 0 0 2 61 1009 Street Sign Install (New) 10 0 0 0 10 1010 Street Sign Repair/Maint 65 16 0 5 86 1011 Debris Removal 19 36 7 3 1 65 1012 Right of Way Maint. 25 63 77 0 1 165 1021 CLEAN Catch Basin Inlet/Outlet 0 0 0 0 0 1022 Rondo Channel Outlet/Vault 3 0 0 0 3 1022A Desert Club Outlet/Vault 0 0 0 0 0 1023 S.D./D.W../C.B. Repair/Maint. 0 21 0 2 23 1024 Gutter/Median Sand Removal 0 0 0 0 0 1025 Street Sweeping (Machine) 0 168 0 0 168 1026 Street Sweeping (Hand) 0 2 0 0 2 1027 Sidewalk/Bike Path Cleaning 0 0 3 0 1 3 1028 Dust Control 0 0 0 0 1 0 1029 Flood Control 0 0 0 0 1 0 1031 Parks/Retention Basins Inspection/Clean-L 0 3 95 1 99 1041 Irrig/ Weeding, Shrubs & Tree Trimming 96 70 188 7 361 1051 Landscape/Irrigation Contract Managemen 0 0 31 15 46 1052 Lighting/Electrical Contract Management 0 01 36 12 48 1061 Small Tools Repair/Maint. 6 0 4 0 10 1062 Equipment Repair/Maint. 5 0 0 0 5 1063 Vehicle Repair Maint. 7 14 1 0 22 1081 Trash/Litter/Recycable Removal 0 0 23 0 23 1082 Vandalism Repairs 0 3 0 0 3 1083 Graffiti Removal 173 56 18 9 256 1084 Maint. Yard Building Maint. 18 6 8 3 35 1085 Seminarslfraining 45 27 3 17 92 1086 Special Events 0 4 4 0 8 1087 Citizen Complaints/Requests 201 30 0 0 231 1088 Meeting 6 45 11 30 1 92 1089 Office (Phone, paperwork, reports, Misc.) 42 42 9 59 152 SUBTOTAL 874 755 519 178 2326 1091 Over Time 7 34 10 0 51 1094 Jury Duty( 0 0 9 0 9 1095 Sick Leave 61 27 5 18 111 1096 Vacation 11 10 39 0 60 1097 Holiday 0 0 0 0 0 1098 Floating Holiday 24 8 0 0 32 1099 Worker Comp/ Bereavement/ STD 30 0 24 0 54 SUBTOTAL 133 79 87 18 317 TOTAL HOURS 1007 834 606 196 2643 TOTAL MILES 47071 39131 30021 170 11792 0534 Department Report: 11 LA U I TA P*LICE Served by the Riverside Courty Sherffs Deparhnerrt Police Department Monthly Report March 2011 Prepared for 0535 • La Quinta Police Department SIGNIFICANT ACTIVITY REPORT Captain Raymond Gregory Chief of Police Tuesday, March 1, 2011 No Significant Activity Wednesday, March 2, 2011 2:54 AM — Officers responded to Hwy I I I and Adams in reference to a report of a disturbance. Joseph William Gilbert, 47, of Palm Desert was arrested and booked for public intoxication. 11:30 AM — School Resource Officers arrested a male juvenile, 16, of La Quinta at Summit High School for a no bail vandalism warrant. The juvenile was booked at Indio Juvenile Hall. 4:44 PM — Special Enforcement Team officers served an arrest warrant in the 79900 block of Cassia St. Joe Galaviz, 40, of La Quinta was arrested for a criminal threats warrant. He was booked into the Indio Jail. 5i00 PM — Special Enforcement Team officers conducted a traffic stop at Highway I I I and Jefferson St. Angie Rocha, 22, of Indio was arrested for possession of more than one once of marijuana. He was booked into the Indio Jail. 5:27 PM — Special Enforcement Team officers conducted a traffic stop at Highway 111 and Adams St. Alfred Keith, W4, of Indio was arrested for possession of methamphetamine. He was booked into the Indio Jail. Thursday, March 3, 2011 No Significant Activity Friday, March 4, 2011 2:IS AM — Officers conducted a traffic stop on a "blacked out" vehicle on Avenida Cortez and contacted the occupants, Stanford Neal Stringer, 19, of La Quinta, and a 14 year old juvenile. Neither subject could state who legally owned the vehicle. Officers determined that the vehicle was an un-reported stolen and had just been taken. Officers also located additional stolen property in the vehicle. Both suspects were arrested for auto theft, possession of stolen property and burglary. 11:00 AM — Special Enforcement Team officers responded to a Palm Desert business where they arrested Heather Clark for a felony domestic violence warrant. Clark was also a person of interest in a residential "cat" burglary investigation that occurred in October 2010, in La Quinta. Upon Clark's arrest, officers located an Oregon driver's license that had been taken during the burglary. Clark was booked into the Indio Jail for the felony warrant and possession of stolen property. 11:30 AM — School Resource Officers arrested a female juvenile, 15, at La Quinta High School for possession of a controlled substance. The juvenile was booked into Indio Juvenile Hall. 1:30 PM — Special Enforcement Team officers and Indio Investigations served a search warrant in the 50900 block of Calle Paloma. Stolen property related to a burglary in the 52500 block of Ave. Navarro on 12/26/10 was located inside the house. A handgun was also seized from the residence. Marijuana plants and marijuana was also seized from the eesidence. An arrest warrant was prepared for Alexander Ortega, 23, of Ca Quinta for possession of stolen property. Q536 Saturday, March 5, 2011 • 1:33 AM — Officers conducted an occupied vehicle check on Manila and Luzon, Indio. Two subjects fled from the vehicle and a female was detained. Monica Rubio, 28, of Indio was found in possession of a stolen driver's license out of La Quinta. Rubio was arrested for possession of stolen property. 3:47 AM -- Officers conducted a traffic stop on Hwy I I I and Costco Dr. Beverly Godinez Baltierra, 23, of Indio was arrested for driving under the influence. 5:16 AM — Officers were dispatched to a single vehicle traffic collision at Ave. 50 west of Jefferson Blvd. Bianca Bravo, 20, of Coachella was subsequently arrested and booked into Indio Jail for driving under the influence. 4:08 PM — Officers conducted a traffic stop at Jefferson and Ave 52. Teodora Zaragoza, 59, of Indio was arrested for driving under the influence. 4:38 PM -- Special Enforcement Team officers responded to the 78900 block of Highway I I I in reference to a theft in progress. Officers arrested Eddie Garcia, 44, of Indio for possession of methamphetamine, parole violation and petty theft. Zeynia Medina, 23, of Indio for petty theft, possession of drug paraphernalia and being under the influence of a controlled substance. Maribel Guzman, 28, of Thermal for being under the influence of a controlled substance and possession of drug paraphernalia. All three subjects were booked into the Indio Jail. 4:45 PM — Officers responded to La Quinta Community Park, Blackhawk Way and Adams, regarding subjects believed to be smoking marijuana. Cesar Garcia, 18, of La Quinta was arrested for possession of a butterfly knife. 6:16 PM — Officers responded to Avenida Montezuma and Calle Nogales regarding a report of indecent behavior. Ernest Baraza, 38, of Indio was arrested and booked for committing lewd acts in public. •Sunday, March 6, 2011 1:30 AM — Officers conducted a pedestrian check in the 47700 block of Dune Palms Rd. Priscilla Ramirez, 27, of Thermal was arrested for a felony warrant for theft and a misdemeanor traffic warrant. She was booked at Indio Jail. 7:08 PM — Officers responded to the 53900 block of Avenida Madero regarding a domestic violence incident. Bogar Barrera, 39, of La Quinta was arrested and booked at the Indio jail for spousal battery. 7:51 PM -- Officers responded to the area of Calle Arroba and Avenida Montezuma in regards to two lights seen on the ridge line just west of that area. It appeared that the lights were signaling. Air support was requested but was unavailable. A request for air units to fly over the area in the morning was made. At the time of the call no one had reported any lost hikers or late arrivals. Monday, March 7, 2011 2:15 AM — Officers responded to a report of a traffic collision at Eisenhower Dr. and Calle Hidalgo. Officers located a vehicle with two flat tires just north of Calle Hidalgo. Travis Matthew Brown, 21, of La Quinta was sitting in the driver's seat. Brown was arrested and booked for driving under the influence. 10:30 AM -- Officers responded to the 78900 block of Hwy I I I regarding a report of shoplifting in progress. Investigation resulted in Kristen Taylor, 24, of Palm Desert and Zachary Hermann, 23, of Palm Desert being arrested for commercial burglary and possession of methamphetamine. Both subjects were booked into the Indio Jail. 3:55 PM — Officers responded to a report of suspicious circumstances in the 51300 block of Avenida Ramirez. The property owner had recently purchased the residence in an auction and arrived to inspect the residence. Arriving at the residence he found the remnants of a marijuana growing operation. Officers photographed the paraphernalia and collected the plants. • 0531 4:15 PM -- Community Service Officers responded to the scene of a non -injury collision at Jefferson St. and Ave 52. • Officers observed that one driver appeared to be under the influence of alcohol at the time of the collision. Traffic Services Officers were called to the scene and arrested Brenda Stouffer, 62, of La Quinta for driving under the influence. Stouffer was booked at the Indio Jail. Tuesday, March 8, 2011 11:00 AM — Officers responded to the 50600 block of Eisenhower Dr. regarding a check the welfare call. Officers entered the residence and found an adult male deceased. The Coroner's Office and Investigations were notified. The incident is being investigated as a suicide. 6:45 PM — Officers responded to the area of Avenida Montezuma and Calle Arroba regarding multiple reports of residents seeing lights on the mountains west of the intersection. A resident reported that he had seen three subjects hike up the mountain. Later that day he found an empty cardboard box for six, Hampton Bay, solar lamps next to his mailbox. Officers, using binoculars, observed six lights on the hill. 10:08 PM — Officers responded to the 44600 block of Calle Santa Barbara regarding a spousal abuse. Benjamin Van Skike, 32, of La Quinta was arrested for felony spousal abuse. Wednesday, March 9, 2011 5:30 PM — Special Enforcement Team officers conducted a probation compliance check in the 78500 block of Sanita Drive. Michael Lachman, 41, of La Quinta was arrested for being under the influence of a controlled substance, possession of drug paraphernalia and violation of probation. Thursday, March 10, 2011 W45 PM — Special Enforcement Team officers served a property related search warrant in the 80600 block of Key argo Avenue, Indio. The search warrant stemmed from an ongoing burglary investigation of a La Quinta residence. Items stolen in the burglary were located during the search. Friday, March 11, 2011 6:57 PM -- Officers responded to an armed robbery in the 79300 block of Hwy 111. An armed suspect entered a business brandishing a handgun. He took money from the safe and cash registers and exited the store. Saturday, March 12, 2011 1:48 AM — Officers were dispatched to a traffic collision at Washington St. and Rancho La Quinta. Daniel Salvador Garcia, 36, of Indio was involved in a single vehicle motorcycle collision. Garcia was subsequently arrested, cited and released for driving under the influence. 1:09 PM -- Officers responded to a vehicle burglary in the 52000 block of Avenida Villa. The victim's vehicle window was broken and items were taken. There are no witnesses or suspect information. 2:02 PM — Officers responded to the area of Hwy I I I and Dunes Palms regarding a reckless driver. Deputies located the vehicle and the driver, Tamra Lynn Thompson, 46, of Morongo Valley was found to be intoxicated. Thompson was arrested for driving under the influence. The passenger, John Antonacci, 49, of Morongo Valley was arrested for public intoxication. Both subjects were booked into the Indio Jail. 6:50 PM -- Officers responded to a disturbance in the 53400 block of Avenida Herrera. A 17 year -old male juvenile was transported to Oasis Mental Health for a 72-hour evaluation �1:15 PM — Officers responded to the 53400 block of Avenida Herrera, reference a family disturbance. Joel Gomez, 0, of La Quinta was arrested and booked for public intoxication and resisting arrest. 0538 Sunday, March 13, 2011 • 12:35 AM — Officers responded to a report of a traffic collision with injuries at Eisenhower Dr, and Calle Durango. Kimberly Michelle Brexler, 31, of Bermuda Dunes was arrested and booked for driving under the influence and driving on a suspended license. 2:22 PM — Officers responded to the area of Washington Street and Calle Tampico and arrested Christine Marie Bennett, 53, of La Quinta for driving under the influence. Bennett was booked into the Indio Jail. 8:00 PM — Officers responded to the 51800 block of Avenida Martinez regarding a drunk and disorderly subject causing a disturbance at the location. John Blough, 38, of La Quinta, was arrested for felony vandalism and booked into the Indio Jail. Mondav, March 14. 2011 7:45 AM — School Resource Officers arrested Juan Carlos Felix, 31, of Indio for annoying and molesting a La Quinta High School student as she was walking to school at Highway I I I and Dune Palms Road. The suspect was booked at the Indio Jail and additional charges of providing false information to a peace officer and possession of a fraudulent government document (California Drivers License) were added. 1:30 PM — The Business District Officer arrested Rudy Hernandez, 23, of Indio for commercial burglary in the 78900 block of Highway 111. Stolen jewelry was recovered and returned to the victim. The suspect was booked at Indio Jail. 2:30 PM -- School Resource Officers arrested a La Quinta High School student for battery and witness intimidation. The victim, a La Quinta High student, is a witness in a criminal case against the suspect. The victim was assaulted in an attempt to stop him from testifying. The suspect was booked at Indio Juvenile Hall. 0:37 PM — Officers responded to the area of Fred Waring Dr. and Washington St. regarding a reckless driver. Upon arrival, officers found the driver passed out in the vehicle. Officers observed a handgun on the driver's lap. Rogelio Damian Covarrubias, 30, of Cathedral City was arrested for driving under the influence, felon in possession of a firearm and other dangerous weapons. 4:30 PM — Officers responded to the 53400 block of Avenida Martinez regarding a disturbance at the location. Alan Wren, 38, of La Quinta was arrested for misdemeanor vandalism and two misdemeanor warrants. Wren was transported and booked into the Indio Jail. Tuesday, March 15, 2011 2:14 AM — Officers responded to Eisenhower Dr. and Calle Tampico regarding an individual requesting help. Tyler Scott Robinson, 22, of La Quinta was contacted and subsequently arrested and booked for public intoxication. 11:59 AM — Officers responded to the 52400 block of Avenida Vallejo where they found an adult female performing CPR on her 16 month old son who had fallen into the family's pool. The child was transported to JFK Hospital and stabilized. He was then transported to Loma Linda for precautionary reasons. 5:15 PM — Officers responded to the 79800 block of Highway I I I in reference to a domestic disturbance. David Baker, 34, of Thermal was arrested for misdemeanor spousal battery and booked into the Indio Jail. 6:26 PM — Officers responded to the 78900 block of Highway I I I regarding a suspicious male and female at the location. Seanna Weiss, 34, of Palm Desert, Steven McCloskey, 53, of Palm Desert and Chad Hanna, 41, of Palm Springs were arrested for commercial burglary, conspiracy and possession of burglary tools. All three were transported and booked into the Indio Jail. 38 PM — Officers responded to the 78900 block of Highway I I I regarding a theft. Reyna J. Ramos, 34, of Indio, as arrested for theft and booked into the Indio Jail. 0539 • Wednesday. March 16, 2011 2:35 PM — Special Enforcement Team officers arrested Kristie Mauracooper, 44, of La Quinta in the 78700 block of Sagebrush for a felony fraud warrant. She was booked into the Indio Jail. 10:28 PM — Officers responded to an armed robbery that occurred in the 79400 block of Hwy 111. Four suspects entered and forced one employee to the floor and another employee was made to open the safe. The suspects took the employees ID and cell phone and fled. Thursday. March 17, 2011 10:09 AM — Officers responded to the 78800 block of Highway I I I regarding a disturbance. A male at the location was verbal with employees and was making verbal threats to someone on his cell phone. Officers interviewed the manager and suspect but found that no threats were made to anyone working at the location. 11:12 AM — Officers responded to an unattended death in the 44500 block of Vista Dunes. An adult female had been found deceased by the apartment manager. Neighbors called the apartment manager because the subject had not been seen for two days. There were no signs of foul play. 12:30 PM — The Business District Officer arrested Raymond Seawright, 53, of Coachella for defrauding an innkeeper and public intoxication in the 79400 block of Highway 111. 3:29 PM — Officers responded to a disturbance in the 50600 block of Eisenhower Drive. An adult female, 19, of La Quinta was transported to Oasis Mental Health for a 72-hour evaluation. 8:03 PM — Officers arrested Carlos Rodriguez, 19, of Cathedral City for petty theft in the 49400 block of Eisenhower • Drive. Rodriguez was booked into the Indio Jail. Friday, March 18, 2011 4:45 AM — Officers conducted an occupied vehicle check at Fred Waring and Jefferson St. Officers found Michael Pena, 24, of Indio passed out behind the wheel of his vehicle. Pena was arrested for driving under the influence. 10:48 AM -- Officers responded to an injury traffic collision inside Rancho La Quinta Country Club. The driver of the car said she was driving south bound on Adams and attempted to brake at Avenue 48, however, the vehicle's brakes failed. Brenda Martinez, 28, of Indio was charged for being an unlicensed driver and child endangerment. None of the children in the vehicle were in seat belts or car seats. Officers confirmed the braking system was not working and the vehicle maintenance was poor. 12:04 PM — Officers responded to a battery investigation in the 52900 block of Avenida Mendoza. Gustavo Castenada, 24, of La Quinta was arrested and booked for felony domestic battery. Saturday. March 19, 2011 11:15 AM — Officers responded to the 52600 block of Avenida Rubio regarding a domestic disturbance. Joe De la Riva, 45, of Indio was arrested for felony domestic violence and child endangerment and booked into the Indio Jail after receiving medical clearance at JFK Hospital. Sunday, March 20, 2011 1:35 PM — Officers responded to the 78600 block of Hwy I I I in reference to a subject being detained by store employees. Investigation revealed Francisco Mendez, 55, of Desert Hot Springs left the store with liquor he had hidden inside plastic bags. Mendez was arrested for burglary and transported to JFK hospital for an okay to book. •Mendez was subsequently booked into the Indio Jail. .3:30 PM -- Officers conducted a follow up investigation and located Steven Vonstein, 55, of Palm Desert at the bus stop located at Hwy 11 I and Dune Palms Road. Vonstein had previously been suspected of accessing pornography on library computers. During a consent search of Vonstein's backpack, officers located what appeared to be child pornography. He was arrested and booked into jail. 11:23 PM -- Officers responded to an attempted suicide in the 47700 block of Dune Palms Rd. She was transported to JFK Hospital for treatment of non -life threatening injuries. Monday. March 21, 2011 2:57 PM — Officers responded to the area of Adams Street and Miles Avenue regarding a report of vandalism at the location. A male juvenile was arrested for vandalizing an electrical box with graffiti. The juvenile was released to the custody of his mother. Misdemeanor vandalism charges will be filed out of custody. 8:46 PM — Officers responded to Calle Montezuma and Eisenhower Drive in reference to a report of a mentally disturbed female armed with a knife. An adult female, 47, of La Quinta was transported to the Riverside County Mental Health Clinic for evaluation. Tuesday. March 22.2011 10:50 AM — Officers responded to the 51700 block of Avenida Diaz regarding a missing juvenile. Investigation determined that the juvenile had not returned home after spending the weekend with a friend in Big Bear. Officers spoke with the friend by phone who stated he saw the missing juvenile the night before and he was fine and had been hanging with friends in the Huntington Beach / Garden Grove area. Officers contacted the Huntington Beach Police Department and Garden Grove Police Department and had them check addresses in the area but they were unable to locate the juvenile. •7:12 PM — Officers responded to the 51600 block of Avenida Alvarado in reference to a violation of a restraining order. Andres Montemayor, 44, of La Quinta had broken into the residence while the protected party was away. Officers found Montemayor in a bedroom and he was arrested for residential burglary and violation of a restraining order. He was booked into the Indio Jail. 9:12 PM — Officers responded to the 80100 block of Avenue 52 in reference to an attempted suicide at the location. An adult male, 25, of La Quinta was transported to the Riverside County Mental Health Clinic for evaluation. Wednesday, March 23, 2011 9:33 AM — Officers responded to the 54000 block of Avenida Herrera regarding a report of an attempted suicide. It was reported that a male juvenile, 17, was transported to Oasis Mental Health. 1:56 PM — Officers responded to the 78500 block of Hwy I I I regarding a subject vomiting outside a vehicle in the parking lot. Officers contacted James Woodson, 45, of Desert Hot Springs. Woodson was arrested for a driving under the influence warrant and transported to Indio Jail. Thursday, March 24, 2011 No Significant Activity Friday, March 25, 2011 No Significant Activity Saturday. March 26.2011 25 AM -- Officers conducted a traffic stop on Hwy 111 and Dune Palms and arrested Christopher Dale Rodgers, 22, f Escondido for driving under the influence. 0541 3:44 AM — Officers conducted a traffic stop on Dune Palms and Hwy 111. Officers observed that the driver, Daniel • Calderon Ramirez, 26, of Palm Desert appeared to have been involved in an altercation. Ramirez admitted to assaulting his girlfriend at their residence in Palm Desert. Officers requested Palm Desert station officers to check the welfare of the girlfriend. Palm Desert officers confirmed that a felony spousal abuse had occurred and Ramirez was arrested. 12:50 PM — Officers responded to the 79200 block of Camino Rosada regarding a residential burglary. Investigation revealed unknown suspect(s) entered the residence and stole three handguns. No exterior point of entry was located, however, the master bedroom door was forced open. 3:26 PM — Officers responded to the 79900 block of Hwy I I I in regards to an attempted theft of a vehicle. The suspect, Jaime Ayon, 33, of La Quinta had gotten into a running vehicle that was parked in front of the location and backed out of parking spot. When confronted by the vehicle owner, Ayon fled the location on foot. Officers arrived and located Ayon running through the wash. Ayon was arrested and booked into jail. 4:55 PM — Officers responded to the 51400 block of Avenida Obregon regarding a family disturbance. An adult female at the location has had an extensive mental health history and stopped taking her medication. The female was transported to Oasis Mental Health. 6:43 PM — Officers responded to the 78900 block of Hwy I I I in regards to two subjects stealing merchandise. Kristin Saint Charles, 29, and Sergio Campos, 28, both of Yucca Valley, were arrested and booked. Sunday, March 27, 2011 No Significant Activity. Monday, March 28, 2011 010:38 PM — Officers were dispatched to the 79000 block of Via San Clara regarding a report of an act of vandalism. Paul Tortorella, 29, of Coachella was arrested and booked for breaking a window at the location. Tuesday. March 29.2011 9:38 AM — Officers investigated a report of a domestic restraining order violation in the 78600 block of Highway 111. Sammy Garcia, 47, of La Quinta was arrested and booked for the court order violation and a misdemeanor burglary warrant. 3:40 PM — Patrol Officers conducted a traffic stop at Highway I I I and Dune Palms. When officers conducted a search of the vehicle they located a stolen credit card and driver's license. The vehicle owner admitted to knowing the property was stolen. He was booked into the Indio Jail for possession of stolen property and violation of probation. 7:45 PM -- Officers responded to the 78900 block of Hwy I I I regarding a female stealing items from the business. Officers arrested Irene Rubio, 46, of Coachella for commercial burglary. 8:32 PM — Special Enforcement Team officers responded to a report of vandalism in the area of Calle Paloma and Avenida La Fonda. It was reported that several subjects in a truck were driving around the area damaging mailboxes. The truck was located and investigation determined that four juveniles were responsible for damaging fourteen mailboxes. The juveniles were released to their parents. Wednesday, March 30, 2011 12:40 AM — Officers were dispatched to a report of an unattended death in the 79800 block of Desert Willow. An adult male, 70, of La Quinta was found deceased at the location. 10:40 AM — School Resource Officers at LQHS arrested a 17 year old student for sales of marijuana. The Coachella 'MFValley Narcotics Task Force was notified and the student was booked at Indio Juvenile Hall. 0542 • 1:45 PM — Patrol Officers were dispatched to the 79900 block of Highway I I I regarding shoplifters in custody. Bridget Huffman, 23, and Casey Bullock, 25, both of Bermuda Dunes were arrested and booked for commercial burglary. 0 Thursday. March 31, 2011 5:36 AM — Officers responded to JFK Hospital regarding a report of an assault with a deadly weapon. Joseph Marco Guerrero, 32, of Indio stated he does not want prosecution and refused to cooperate further. Guerrero lied about his name to hospital staff and the officers on scene. A charge of providing false info to a peace officer will be filed. 5:38 PM — Patrol Officers were dispatched to a report of a traffic collision at Hwy I I I and Dune Palms. A vehicle traveling east on Hwy I I I failed to stop for a red light and collided with a vehicle making a turn to go south on Dune Palms. After the initial collision, one vehicle then collided with the traffic signal on the south east corner of Hwy I I I and Dune Palms severing the pole from its base and causing the traffic lights to quit working. 05,3 • 0 Deputy Stephan Davis Deputy Christian Bloomquist Deputy Jason Chancellor CITY OF LA QUINTA Special Enforcement Team March 2011 Sgt. Alan Northrup Summary of Activity Deputy Josh Reinbolz Deputy Rick Dominquez Deputy Jesus Borrego Type of ACtivi # of Incidents Type of ACtivi # of Incidents Programs 8 Search Warrants 7 Vehicle Checks/Stops 114 Probation/Parole Searches 19 Pedestrian Checks 31 Arrest Warrants Served 10 Follow-ups 35 Arrests/Filing - Felony 16 Citations Issued 6 Arrests/Filings - Misd. 15 SIGNIFICANT ACTIVITY Officers from the La Quinta SET, Coachella CAT, and Indio Police Department Investigation Unit worked in cooperation to serve several search warrants. The warrants stem from a shooting in the city of Indio where a five year old boy was accidentally shot. One of the search warrants was served at the Wolf Waters Apartment Complex in the city of La Quinta. The primary suspect in the shooting was said to be living at the location. During the service of the search warrant the primary suspect was located in the Wolf Waters Apartment. He was taken into custody by Indio Police Department and taken to the Indio Police Station for questioning. La Quinta SET Officers conducted a follow up investigation regarding a residential burglary that occurred in PGA West in October 2010. Officers located the primary suspect at her place of employment in the city of Palm Desert. Upon her arrest, Officers searched her personal belongings and located stolen property belonging to the victim of the residential burglary. La Quinta SET later served a search warrant at the suspect's residence in Indio and located additional stolen property. The suspect was booked into the Indio Jail for the warrant and possession of stolen property. Members of the La Quinta SET, in partnership with the Indio Investigations Unit, served a property related search warrant in the city of La Quinta in response to a vehicle theft investigation. In addition to the vehicle theft investigation, it was believed several stolen appliances from a La Quinta 0544 • residential burglary would be at the location. During the service of the search warrant several stolen appliances, marijuana, (12) marijuana plants, and a .380 handgun were recovered from the residence. The primary suspect was not at the location and charges were filed with the District Attorneys Office. i • Officers from the La Quinta SET were trained in Crowd Control Techniques at the Palm Desert Sheriff Station. The training was in response to the Koch Bros protest in Rancho Mirage in the last week of January, which La Quinta SET participated in maintaining crowd control. The training covered the use of equipment specifically designed for crowd control and tactics used in the event of an unruly crowd. La Quinta SET officers continue be involved with their community by participating in events that promote a healthy relationship between La Quinta Police and the citizens of La Quinta. Members of the team worked with the La Quinta Traffic Team and La Quinta School Resource Officers in the Bicycle Rodeo at the La Quinta Park. The bicycle Rodeo promoted bicycle safety and provided an obstacle course for bicyclists to practice their riding skills. Bicycle helmets were given to bicyclists in need of the necessary safety equipment and a local bicycle shop was present to provide mechanical tune-ups to ensure the participants were riding safe bicycles. Members of SET also volunteered their personal time to participate in Tip -A -Cop at the Red Robin in La Quinta. The proceeds raised from the Tip -A -Cop fundraised were donated to the Special Olympics. 0545 n CITY OF LA QUINTA Traffic Services Team Report March 2011 Traffic Services Team Sgt. Crounse Cpl. Olson Dep. Reynolds Dep. Heffley Dep. Wiggs C.S.O. Delaney SIGNIFICANT ACTIVITY The City of La Quinta has seen an increase of 6% in collisions on public roadways for the month of March (35 to 37). When all collision activity is counted, the residents and visitors throughout our city have also seen an increase of 37% for the year 2011, in comparison to 2010. There has also been an increase of 20% in the number of Hit and Run collisions for the current year when compared to last year. . Public roadway collision activity continues to be greatest during the weekdays, with Fridays accounting for 25% of the total activity. 46% of those collisions occur between the afternoon hours of 12:00pm and 4:00 pm. Additionally, the leading cause of collisions, Unsafe Speed, was the cause of 37.14% of all collision activity. The City of La Quinta has seen an increase of 100% in the number of injuries resulting from collisions for the month of March (from 9 to 18). This data tends to indicate more occupants are not wearing their seatbelts and the speeds of vehicles involved in collisions are increasing. Vehicles traveling at unsafe speeds is the primary collision factor for the City of La Quinta. As a result, La Quinta Traffic Services focus their attention toward education and enforcement of drivers who travel at unsafe speeds. Further, because of the increase in occupant injuries, Traffic Services will focus on occupant restraint violations. Since it takes a significant period of time to compile data, the monthly Traffic Collision Statistics and Data Report contain only those reports which have been completed. Often times collision investigations require further follow up and are forwarded to the La Quinta Traffic Team. Traffic Services dedicates their time to conducting proactive enforcement while also following up on investigative leads. As a result, some investigations are pending and current collision data is not complete. In keeping with all developing trends, traffic services constantly shifts its focus to meet • the leading causes of collisions within the city. 0546 CITY OF LA QUINTA Business District Deputy Report March 2011 Deputy William Fiebig SUMMARY OF ACTIVITY Business Management Contacts 19 Investigations 13 Suspects Arrested / Charged 7 SIGNIFICANT ACTIVITY I am investigating a credit card fraud in which a local resident had his account number compromised. The suspect then purchased electronic equipment at a local retail store. This investigation is ongoing. • I investigated a commercial burglary at a local retail store. The suspect walked out of the store without paying for the merchandise. When confronted, the suspect became irate with store employees. When the police were called, the suspect grabbed her infant child, ran to her vehicle, and drove away at a high rate of speed almost colliding with another vehicle. Through additional investigation, the suspect was identified and charges are being filed. I am investigating a follow-up case in which a suspect stole the victim's wallet containing her personal information and credit cards from a local restaurant. The suspect also burglarized another victim's vehicle and stole personal items and credit cards. The suspect then made numerous purchases using the victim', s stolen credit cards at a local retail store. The suspect was identified through my investigation. A search warrant was issued for the suspect's residence to look for the stolen credit cards and other stolen property. I am investigating a fraud by false pretenses and a commercial burglary in which a suspect, whom I have identified, steals expensive Lego sets, removes some of the Lego's, and repackages the Lego's with some of the pieces missing. He then marks the Lego box by making a small slit in the box so he knows which Lego box he has already taken Lego's from and returned for a full refund. The suspect has been doing this crime involving Lego sets across state lines. I have identified the suspect and criminal charges • and a search warrant will be sought. 05A1 • I arrested a subject who entered a local restaurant, ordered food and did not pay for the meal or drinks. The suspect was also intoxicated. I arrested the suspect for defrauding an Inn -Keeper and public intoxication. I arrested a suspect for begging after the suspect was warned by police not to return to the area unless she had a business license for her activity. The suspect was also found to be intoxicated and walking in -and -out of traffic. I arrested the suspect for begging and public intoxication. I am investigating a case involving a suspect stealing high priced colognes from a local retail store. The suspect conceals the colognes inside a pillow and purchases the pillow without purchasing the colognes concealed inside the pillow. I have identified the suspect through my investigation and criminal charges for commercial burglary are being filed. I am investigating a commercial burglary incident at a local retail store in which a suspect enters the store through the rear emergency exit, steals expensive chain saws, and runs out the same door. During the last incident, the suspect dropped the merchandise. while running from the scene. Latent prints were collected. Attempts to identify the suspect continue. I identified a suspect who repeatedly stole various merchandise from a local retail . store. Charges are pending against the suspect once a loss prevention report and video is provided by the retailer. I am investigating a commercial burglary, check fraud, and commercial burglary case where a victim's identity and credit cards were stolen. Criminal charges against the suspects, whom I have identified, will be forthcoming. During a series of recent routine business property checks, I observed several individuals loitering behind the business after hours; All subjects have been documented in "Field -Interview" contact cards. BUSINESS/COMMUNITY EVENTS I am developing a "shoulder Tap" ABC program to deter individuals who purchase alcohol for minors from local stores in La Quinta. This program which proves very successful will be implemented in the near future. I am working, in conjunction with Business District CSO Curia, to develop a Loss Prevention / Organized Retail Crime Seminar and training session. The first meeting of this program will be held during the later part of April. I assisted in the planning and preparation for the public safety and bike rodeo. I coordinated having departmental mounted horse units for display and a k-9 (Bloodhound) • tracking dog at the event. I also arranged to have a clown for the kids. 0543 • BUSINESS COMMUNITYSPECIAL PROJECTS I am working with La Quinta Code Enforcement'to develop a continued plan to inspect local massage businesses in La Quinta. The purpose of these regular inspections is to ensure businesses are in compliance within city operational and safety guidelines and to ensure no criminal activity like prostitution or other inappropriate sex crimes are occurring. 0 •11 05g9 CITY OF LA QUINTA School Resource Officer March 2011 Officer D. Alexander La Quinta Middle School Franklin Elementary School Truman Elementary School Adams Elementary School Summary ofActivity Type of Activity Number of Incidents Reports 6 Arrests 5 Business Check 0 District Attorney Filings 5 Traffic Stops 3 Y.A.T. Referrals 5 Home Visits 3 Follow-up Investigations 2 Vehicle Checks 4 Public Assist 15 Pedestrian Checks 17 Traffic Citations I SIGNIFICANT ACTIVITY La Quinta Middle School I arrested 5 Juveniles in the month of March for the following crimes; theft, possession of Marijuana and possession of tobacco paraphernalia on school property. John Adams Elementary School I conducted an investigation regarding an incorrigible minor. Benjamin Franklin Elementary School I conducted a Stranger Danger Presentation to all fifth grade students at the request of the Principal. I conducted an investigation regarding vandalism. Harry Truman Elementary School I continue to conduct traffic control before and after school in an attempt to alleviate the traffic congestion in front of the school as well as on Park Avenue north of Avenue 50. .»_ 0550 E • CITY OF LA QUINTA School Resource Officer Report March 2011 Officer C. Trueblood Summit High School Paige Middle School Horizon School Summa of Activity Type of Activity Number of Incidents Reports 9 Arrests 6 Assist Other Departments 2 Pedestrian Checks 13 Vehicle Check 1 Area Checks 4 Traffic Citations 0 City Munici al Code Citations 13 Business Checks 5 Follow-up Investigations 4 Public Assists 5 Calls for Service 23 SIGNIFICANT ACTIVITY On March 24, 2011 at approximately 1140 hours I arrested a 16 year old male juvenile at Summit High School. I caught the juvenile in the bathroom in the act of pouring drinks from two .750 ml Tequila bottles into a water bottle to pass to another student. The juvenile was found to be under the influence of alcohol as well. He was cited for possession of alcohol on school grounds by a minor and released to parents. Through the investigation I learned he had possibly already provided other students with alcohol. He provided us with an incorrect name and that person was found to not be under the influence. • On March 24, 2011 at approximately 1300 hours I arrested two 16 year old females at Summit High School. One of them for battery and the other for minor under the influence of alcohol. The female who was under the influence was highly intoxicated. She had consumed alcohol provided to her by the juvenile I had arrested earlier that day. At that time she identified her self as another student by name. The other student found out she had used her name causing her to be questioned by security and became upset with the intoxicated female which led to a physical assault. Charges were filed out of custody on both minors and they were released to parents. .0 0551 ri U • On March 30, 2011 at approximately 1345 hours I arrested a 19 year old male student, Ivan Montoya at Summit High School. Montoya had learned someone had allegedly placed a gang hit on him by writing "187 Ivan Montoya" on a piece of paper. He was visibly upset and said he was going to "Take care of whoever did it'. His class got out earlier than all other classes and he was directed to leave the campus before the other students to avoid any altercations however he refused. As soon as school ended Ivan waited by the main entry for another student who he believed was responsible for writing the threat. Montoya took off his shirt and began trying to fight the other juvenile however was stopped by his friends who were holding him back. They drug him down the hallway toward the north side of the school as he continued to scream and try to get toward the other juvenile. He finally began walking away at which time I began following him trying to get him to stop to which he did not comply. He slammed his fists into the walls and then exited the school and began walking quickly toward the front entrance. I followed him and continued to tell him to stop which he refused to do. As he approached the front entrance he walked quickly toward the same juvenile and began challenging him to a fight. DSUSD security stepped in front of him to prevent the fight at which time Montoya shoved the agent to try and get to the juvenile. I pepper sprayed Montoya which immediately halted the assault. He was placed in custody for battery, resisting arrest and challenging to a fight. He was booked at the Indio Jail for the above listed charges and an ICE Hold was obtained for him as he was an undocumented immigrant. • On March 31, 2011 at approximately 0715 hours I detained six students at Summit High School for challenging to a fight. The juveniles were detained after I witnessed a large group of them in front of the school attempting to fight each other. The altercation stemmed from tensions between rival tagging crews (gangs) from Indio DUSK and DTC which are two large graffiti crews in the east valley area. All of the juveniles were cited for challenging to a fight in a public place, suspended and released to parents. The information was passed along to Indio Police for their graffiti suppression efforts. .M 0552 0 0 Officer R. Smith La Quinta High School CITY OF LA QUINTA School Resource Officer Report March 2011 Summary of Activity Type of Activity Criminal Reports Number of Incidents 21 Arrests 16 Y.A.T. Filings 4 Cit Park Area Checks 15 Vehicle Checks 6 Pedestrian Checks 45 County Citations 6 Public Assist 7 investigations Follow-up 9 FgistrictAttorney Filings 7 Home Visits 4 Business Checks 5 SIGNIFICANT ACTIVITY I made eight drug and/or alcohol related arrests over the course of the month. Three of the juveniles were arrested for sales cases and the others were arrested for possession of narcotics and alcohol. One of the significant arrests was made for sales of LSD on campus. All juveniles are pending court proceedings. I arrested an adult male after he made inappropriate comments and gestures to a female juvenile who was walking to La Quinta High School in the morning. The male was a landscaper assigned to the area of Corporate Center and Dune Palms Rd. It was determined he was in possession of a fraudulent driver's license and was using a false business license to obtain clients in addition to harassing the female juvenile. He admitted to doing so in an interview and he was booked at the jail. He was also determined to have reentered the country illegally a second time and will be deported to Mexico again. The investigation of the false business license continues. 0553 i a �J CITY OF LA QUINTA Community Service Officer Report March 2011 Patrol C.S.O. Artesia Diaz Patrol C.S.O. Melinda Verdugo Traffic Services C.S.O. Bridget Delaney' Business District C.S.O. Philip Curia Summary of Activity Type of Activity Number of Incidents Burglary Investigations 7 Grand Theft Reports 5 PettyTheft Reports 5 Vandalism/Malicious Mischief Reports 7 Traffic Collision Response 26 Vehicle Code or Parking Citations 15 Abandoned Vehicles Tagged/WarningTagged/Warning 11 Towed Vehicles 1 Lost or Found Property Reports 7 Stolen Vehicle Report 0 Custodial / Non -Custodial Transport 17 Miscellaneous Calls 100 0554 9 • Danese Maldonado Volunteer Coordinator CITY OF LA QUINTA Citizens On Patrol Community Policing Office Monthly Volunteer Report March 2011 Summary of Activitv Community Policinq Office Number Citizens On Patrol Number Monthly Volunteer Hours 156 Traffic Control / Collision 2 Hours Y.T.D. 470 Business Checks 133 Hours 4/03 to Present 20,494 Community Events 2 CPO Monthly Visits 113 Courtesy Notifications 2 CPO Y.T.D. Visits 323 Miscellaneous 0 CPO Visits 4/03 to Present 17,604 Neighborhood Patrol 69 Vacation Checks 67 Patrol Hours 153 Y.T.D. Patrol Hours 326 Hours 7/06 to Present 6,497 CA rate for value received for volunteers is $16.24 - 2010 totals to May = $16,264 savings. Total savings since 2003 = $379,431. CA rate for value received changed and is now $23.29. Totals since January 2011 = $18,792. Total savings since 2003 = $465,594.00 We currently have 12 active office volunteers who staff and maintain the Community Policing Office in Old Town. These volunteers do a variety of data entry functions as well as assisting community members who enter the office. We currently have 9 Citizen on Patrol volunteers serving our community. The Citizens On Patrol team members participated in the La Quinta Arts Festival as well as the Traffic Services Team community bicycle rodeo. 0555 Department Report: q 11 LA' Served by the PJverside County Sherffs Departient Crime Statistics ' Summary February -- 2011 • Prepared for 0 0556 • G! rl 10 11 12 13 • CITY OF LA QUINTA Crime CRIME Comparison February -- February February YTD 2011 YTD 2010 2011 2010 AGGRAVATED ASSAULTS 4 3 10 7 BURGLARY 39 39 79 80 BURGLARY - VEHICLE 24 17 44 30 DOMESTIC VIOLENCE 17 16 31 31 HOMICIDE 0 1 0 1 NARCOTICS VIOLATIONS 24 30 44 46 ROBBERY 6 0 10 0 ROBBERY - CAR JACKING 0 0 0 0 SEX CRIME FELONY 4 3 5 7 SEX CRIME MISDEMEANOR 0 0 1 1 SIMPLE ASSAULTS 6 6 10 15 THEFT 55 50 108 113 VEHICLE THEFT 1 5 5 13 CITY OF LA QUINTA Average Response Time February 2011 TYPE OF CALL RESPONSE TIME (MINUTES) NUMBER OF INCIDENTS EMERGENCY 1.7, 1 ROUTINE 8.37 1,084 ' Data from Riverside Co. Sheriffs Department Data Warehouse, Average Response Time Report. 11 »- 0557 9 E r -I L J Crime Distribution Table Feb-11 % of Total Feb-10 % of Total 1 AGGRAVATED ASSAULTS 4 2.22% 3 1.76% 2 BURGLARY 39 21.67% 39 22.94% 3 BURGLARY -VEHICLE 24 13.33% 17 10.00% 4 DOMESTIC VIOLENCE 17 9.44% 16 9.410/. 5 HOMICIDE 0 0.00% 1 0.59% 6 NARCOTICS VIOLATIONS 24 13.33% 30 17.65% 7 ROBBERY 6 3.33% 0 0.00% 8 ROBBERY - CAR JACKING 0 0.00% 0 0.00% 9 SEX CRIME FELONY 4 2.22% 3 1.76% 10 SEX CRIME MISDEMEANOR 0 0.00% 0 0.00% 11 SIMPLE ASSAULTS 6 3.33% 6 3.53% 12 THEFT 55 30.56% 50 29.41% 13 VEHICLE THEFT 1 0.56% 5 2.94% Total 180 97.78% 170 98.24% CITY OF LA QUINTA February 2011 Crime Distribution 60 50 3 9 40 30 —24 17 c , 20 s 10 .. ....: .. .. ,. ..,.,. 0 > w CC.. < O x < Z... yb w O> > H < r>i, chi m '3 >� o� °x cb� > a� zt3 r C< r> �� o� zit �' cyiH Z0 �n m > m m >> A 0558 0 120 100 80 60 40 20 0 11 ou w 40 30 20 10 Month to Month Crime Comparison February 2011 -. I. i. —6-6— Jim go •/'A LJ SG1 �� Ej m y0 CO 9� z ["n z_ tJx > a� rr -i < m s +f Year to Date Crime Comparison February 10 7980 44 4446 0 OI p 00 7 5 11 10-11 ids 13 6 7 9 W <O x <z A A 3 > -� < p c c O O o O -am `yW G G 0- O`T' m � +y A e Febnary 2011 0 Febnury2010 0559 Month to Month Calls for Service Comparison February 2011 ® Feb-11 © Feb-10 3,000 2,500 , 2,000 1 �4g 1, 500, 1,000 En 500 q 0 Total Non-Crimnal Criminal • Year to Date Calls for Service Comparison 0 YTD 2011 0 YTD 2010 6,000 5,000 �d 4, 000 2, 906 3,000 2;262-- 2,000 1,000 0 Total Non -Criminal Criminal • .ro_ 0560 Department Report tO City of Quints Fire Department Quarterly Report January I through March 31, 2011 Presented by: Pete Blakemore Battalion Chief 0561 R VERSIDE COUNTY FIRE DEPARTMENT IN COOPERATION WITH THE CALIFORNIA DEPARTMENT OF FORESTRY AND FIRE PROTECTION John R. Hawkins - Fire Chief 210 West San Jacinto Avenue — Perris, CA 92570 (951)940-6900—www.rvcfire.org PROUDLY SERVING THE UNINCORPORATEDAREAS April7, 2011 OF RIVERSIDE COUNTY AND THE CITIES OF: BANNING Honorable Mayor Adolph and Members of the City Council BEAUMONT City of La Quinta CALIMESA P.O. Box 1504 La Quinta, CA 92253 CANYON LAKE COACHELLA Ref: Quarterly Report DESERT HOT SPRINGS It is my pleasure to provide you with the first Quarterly Fire Department Report for 2011, EASNALE This report summarizes activities and responses made by the Riverside County Fire INDIAN WELLS Department within the City of La Quinta. INDIO From January 1 through March 31, 2011, units responded to a total of 863 calls for service LAKE ELSINORE within the City of La Quinta. These responses are broken down as follows: LA QUINTA MENIFEE . Medical Aids 643 MORENO VALLEY • False Alarms 72 PALM DESERT • .Structure Fires 10 • Vegetation Fires 0 PERRIS • Rescues (accidents, entrapments) 63 RANCHO MIRAGE • Other Fires (vehicle, refuse, etc.) 11 Rusuoux CSD Public Service Assists 48 (Non -emergency assistance) SAN JACINTO • Fire Menace Standby 16 TEMECULA (Fuel spill, gas leak etc.) WILDOMAR By comparison, there were a total 699 calls for service during the same period of time in 2010. This equates to an increase of approximately 23 % in calls for service. BOARD OF Below is a summary of various activities that occurred in the City during the first quarter of SUPERVISORS: 2011. BOB BUSTER DISTRICT 1 JOHNTAVAGLIONE • SPECIAL EVENTS DISTRICT 2 JEFF STONE • Firefighters from the La Quinta Battalion provided complete EMS and Fire DISTRICT 3 Protection services during the Bob Hope Golf Classic. During this week, your JOHN BENOIT firefighters provided over 1000 hours of coverage to an estimated 100,000 DlsrRIcr4 spectators on three separate golf courses. During this period of specialized MARIONASHLEY coverage there were 17 EMS incidents that required a response, treatment and DISTRICT 5 transport to a medical facility. This is in addition to maintaining daily coverage of fire stations in the city. 0569 Students Tour the Hazardous Materials Unit Students pose for a photo next to the fire truck at Station 32 Firefighters practice rescue and suppression tactics • FIRE PREVENTION / ENFORCEMENT / PUBLIC INFORMATION • On January 21, 2011, Cal -FIRE Law Enforcement Officers arrested a 22 year old male La Quinta resident for Arson. This was a result of an investigation that took place over several months. • February 2, 2011 students from the La Quinta High School Public Safety Academy toured Fire Station 93 on Adams St. During this tour the students were provided a glimpse into the daily life as a firefighter, • March 15, 2011 students from Ben Franklin School toured Fire Station 32 in the Cove. Students were provided fire prevention materials, education and a chance to see the fire equipment. Over 100 children attended this event. • La Quinta Firefighters assisted city staff in teaching C.E.R.T during the month of March 2011. • TRAINING ACTIVITIES • La Quinta Firefighters continue to training to improve and maintain efficiencies. Training topics in this quarter include Advanced Life Care, Mass Causality Incidents, basic hose drills and rescue. • EMERGENCY OPERATIONS • January 20, 2011: Single family structure fire 78000 block Mission Dr (Rancho La Quinta Country Club). Fire confined to kitchen counter area. $ 45000 loss / $ 500000 save • March 7, 2011: Single Family structure fire 57000 block Via Vista (Puerta Azul CC). Fire confined to garage. $ 10000 loss / $ 150000 save • March 11, 2011: Full Arrest at the La Quinta Arts Festival. CPR started by off duty Metro - Dade Florida paramedic. La Quinta Fire Paramedics continued ALS and transported to local hospital. Patient survived and made a full recovery. • March 18, 2011: Single Family structure fire 51000 block Avd Velasco. Fire confined to y garage and vehicles in the driveway. $ 50000 Loss / $ 150000 Save • March 24, 2011: Injured hiker on the Cove to Lake Trail. La Quinta Firefighters hiker to patient (66 year old female with dizziness, shortness of breath, chest pains), initiated advanced life care (ALS) and requested Fire rescue helicopter. Cal -FIRE Copter 902 responded directly to the trail site, loaded patient and flew approximately 2 miles to an awaiting ground ambulance for transport to local hospital. Respectfully Submitted, John Hawkins County Fire Chief By: `A?A_ --- Pete Blakemore Battalion Chief 0563 La Qu i nta City Fire Responses QuarteAy T oWs al Emergencies ❑ False Alarms ❑ Structure Fire ❑ Vegetation Fires ❑ Rescues ❑ Other Fires ❑ Public Service Assists ❑ Fire Menace Standby Jan Feb Mar Totals Medical Emergencies 219 209 215 643 False Alarms 18 37 17 72 Structure Fire 6 1 3 10 Vegetation Fires 0 0 0 0 Rescues 19 16 28 63 Other Fires 1 8 1 2 1 11 Public Service Assists 17 13 18 48 Fire Menace Standby 5 4 7 16 TOTALSI 292 281 1 290 1 863 0564 La Quintal City Fire Responses Quarterly Totals Quarterly Comparisons 02010 02011 700 600 500 400 300 200 100 0 p `Oa• d�s� Z `�9� `Os� rye G6�. 'o °di '9i �� dr• °es �� °S �e �c�`Os s�sfs 06y First 2010 2011 Medical Emergencies 522 643 False Alarms 72 72 Structure Fire 5 10 Vegetation Fires 1 0 Rescues 38 63 Other Fires 15 11 Public Service Assists 33 48 Fire Menace Standby 13 16 TOTALS 699 863 4m2oi 1 0565 La Quinta City Quarterly Report Fire Safety Specialist Month / Activity Annual Business Inspections New Construction Inspections New Construction Plan Checks New and Current Planning Cases Jan 26 11 10 10 Feb 39 6 4 8 Mar 1 49 1 16 1 3 1 9 TOTALS1 114 1 33 1 17 1 27 4TH Quarter Inspector Summary 14% ■Annual Business Inspections ■ New Construction 90/0 Inspections ❑ New Construction Plan Checks 1760% % jo 13 New and Current Planning Cases 0 csi rn rn